[Senate Report 108-404]
[From the U.S. Government Publishing Office]
Calendar No. 795
108th Congress Report
SENATE
2d Session 108-404
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A BILL TO ESTABLISH A NATIVE AMERICAN-OWNED FINANCIAL ENTITY TO PROVIDE
FINANCIAL SERVICES TO INDIAN TRIBES, NATIVE AMERICAN ORGANIZATIONS, AND
NATIVE AMERICANS, AND FOR OTHER PURPOSES
_______
November 10, 2004.--Ordered to be printed
Filed, under authority of the order of the Senate of October 11, 2004
_______
Mr. Campbell, from the Committee on Indian Affairs, submitted the
following
R E P O R T
[To accompany S. 519]
The Committee on Indian Affairs, to which was referred the
bill (S. 519) to establish a Native American-owned financial
entity to provide financial services to Indian tribes, Native
American organizations, and Native Americans, and for other
purposes, having considered the same, reports favorably thereon
with an amendment in the nature of a substitute and recommends
that the bill (as amended) do pass.
Purpose
The purpose of S. 519, as introduced, is to establish a
Congressionally-chartered corporation under the jurisdiction of
the U.S. Department of Housing and Urban Development that would
be capitalized and owned by tribal shareholders, the Department
of Hawaiian Homelands, Alaska Native Corporations and other
entities that wish to invest in the corporation.
Background
Despite a national unemployment rate of 5.4%, the jobless
rate in Native American communities hovers around 50%, with
some Indian economies experiencing unemployment rates near 80%.
These rates are nearly twice that of the national unemployment
rate in the Great Depression of the 1930's. Despite some recent
successes with casino gaming, energy ventures, and other
business opportunities, many tribes still suffer a severe lack
of jobs and high unemployment, intense poverty and a lack of
physical infrastructure.
In addition to the litany of unmet needs in Native
communities, there is a severe lack of economic information and
analyses of economic conditions in tribal economies.
With existing Federal assistance uncoordinated, fragmented
and spread thinly, Indian tribes have difficulty obtaining
sufficient funds to undertake meaningful development
efforts.\1\
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\1\ See Report of the General Accounting Office: Relationship to
EDA Grants and Self Determination Contracting is Mixed, September 2004,
GAO-04-847; see also Report of the General Accounting Office: Economic
Development, Federal Assistance Programs for American Indians and
Alaska Natives, December 2001, GAO-02-193.
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Further, the current budget constraints limits prospects
for major increases in assistance funding in the foreseeable
future.\2\
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\2\ See FY1995-FY2005 Interior Appropriations Legislation for
recent trends in economic spending for Indian Country.
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It is also well-documented that native entrepreneurs and
communities lack access to capital for both home mortgages and
commercial purposes.\3\ While existing Federal programs such as
the Indian Loan Guaranty Program \4\ provide business loan
guarantees to Native entrepreneurs, these programs do little to
assist tribes in identifying inhibitors to growth and
conversely to attract and retain private sector investment and
business activity.
---------------------------------------------------------------------------
\3\ See Report of the General Accounting Office: Native American
Housing: Home-ownership opportunities on Trust Lands Are Limited,
February 24, 1998, GAO/FCED-98-49; see also The Report of the Native
American Lending Study, Community Development Financial Institutions
Fund, November 2001.
\4\ See the Indian Financing Act of 1974, 25 U.S.C. 1451 et. seq.,
as amended.
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As such, there is a need for a new Indian economic
development paradigm as well as creative sources of economic
analysis, capital, and technical expertise to spur growth and
development in Native communities.
Federally-Chartered Corporation
As introduced, S. 519 would establish the Native American
Capital Development Corporation (NACDC), a Congressionally-
chartered corporation under the jurisdiction of the U.S.
Department of Housing and Urban Development (HUD). The NACDC
would be capitalized and owned by Indian tribal shareholders,
the Department of Hawaiian Homelands, Alaska Native
Corporations and other entities that wish to invest in the
corporation.
The primary mission of the Corporation would be to provide
financing, including loan guarantees, to member tribes for
infrastructure and commercial ventures and project financing,
including loan syndications, for majority Native-owned
businesses.
It should be made clear that S. 519 does not propose a
retail or commercial bank, but rather a new entity designed to
supplement and assist the efforts of commercial banks now
serving Native communities.
Development and Diagnostic Funds
As introduced, S. 519 would have established two
initiatives aimed at stimulating investment and economic
development in Native economies:
(1) The ``Native American Economies Diagnostic
Studies Fund'' to assist tribes in identifying
inhibitors to economic growth and job creation; and
(2) The ``Native American Incubation Center Fund'' to
provide capital and technical support to tribal
governments to identify and make feasible opportunities
and activities designed to bring investment, growth and
job creation.
The Substitute Amendment
For nearly ten years the Committee has conducted formal
hearings and informal discussions related to the concept and
mechanics of establishing a Tribally-Owned Development
Corporation, as envisioned in S. 519. Since 1995 when the
Native American Financial Services Organization Act (S. 436)
was first introduced in the Senate, formal and informal
discussions have failed to resolve a number of key issues
including, but not limited to, capitalization, choice and
methods of incorporation, the ownership structure of the
Corporation and the lending activities of such a Corporation.
Accordingly, rather than formally establishing such a
Corporation, a substitute amendment was developed to direct a
study be undertaken to determine the feasibility of forming an
Indian tribal development corporation and the results of that
study be reported back to Congress within 9 months.
The substitute amendment also directs the Native Business
Development Office (NABDO) within the Department of Commerce to
undertake the study in conjunction with the Study Group. The
NABDO was established in 2000 within the office of the
Secretary of Commerce by the Native American Business
Development, Trade Promotion, and Tourism Act, Pub. L. 106-464,
which, in turn, was enacted to bring greater focus and
resources to the problems surrounding economic development in
Native communities.
Summary of Substitute to S. 519
The substitute amendment launches a feasibility study to
determine whether a Tribally-Owned Development Corporation
should be undertaken in future legislation. A section-by-
section description of the changes contained in the substitute
amendment follows.
Section 1. Short Title.
This Act may be cited as the ``Indian Tribal Development
Corporation Feasibility Study Act of 2004''.
Section 2. Feasibility Study.
Section 2 amends the Native American Business Development,
Trade Promotion, and Tourism Act (25 U.S.C. 4303(b)) by
inserting a new section (6) entitled the ``Tribal Development
Corporation Feasibility Study''.
The Secretary of Commerce is directed to establish the
``Tribal Development Corporation Feasibility Study Group'' to
consist of 12 members from Indian Tribes, Alaska Natives,
Native Hawaiians, a representative from the private sector and
an official from the Department of the Treasury.
Within 270 days after enactment of this Act, the Study
Group is responsible for conducting a study on the feasibility
of establishing an Indian Tribal Development Corporation. The
study will be submitted to the Senate Committees on Indian
Affairs, Appropriations, and the House Committees on Resources
and Appropriations.
The Study will discuss the financial feasibility of
establishing a corporation and whether that corporation would
have a positive economic impact on Native American reservation
communities.
The Study will contain a discussion and determination of
the best alternatives in the structure, organization, and
lending terms and conditions of the Corporation, including the
most appropriate structure of capital contributions to best
serve, and be acceptable to, Native interests. The discussion
should also determine the basic terms and conditions under
which funding would be provided to member Indian tribes.
The Study should identify tribal, Federal, or State
policies and legal and regulatory conditions and infrastructure
deficiencies that impede investment, both private and public,
needed to promote economic development and to provide
recommendations for remedial actions that can be undertaken by
an Indian tribe to overcome such inhibitors of investment.
Finally, the Study shall determine the capital structure of
the Corporation and the financial instruments needed to ensure
its success. The Study Group will disband 120 days after the
Group submits its report to Congress.
Legislative History
The Native American Capital Formation and Economic
Development Act of 2003 (S. 519) was introduced on March 5,
2003, by Senator Campbell and was referred to the Committee on
Indian Affairs. Hearings were held on the bill on April 30,
2003 and on July 21, 2004. On September 29, 2004, the Committee
convened a business meeting to consider S. 519 and other
measures that had been referred to it, and on that date, the
Committee favorably reported a substitute amendment to S. 519.
Committee Recommendation and Tabulation of Vote
On September 29, 2004, the Committee on Indian Affairs, in
an open business session, adopted an amendment in the nature of
a substitute to S. 519 by voice vote and ordered the bill, as
amended, reported favorably to the Senate.
Cost and Budgetary Consideration
The cost estimate for S. 519 as calculated by the
Congressional Budget Office, is set forth below:
S. 519--Indian Tribal Development Corporation Feasibility Study Act of
2004
Summary: S. 519 would direct the Department of Commerce to
establish the Tribal Development Corporation Feasibility Study
Group. CBO estimates that implementing this legislation would
cost $5 million over the 2005-2009 period, assuming
appropriation of the specified amounts.
Enacting the bill would not affect direct spending or
revenues. S. 519 contains no intergovernmental or private-
sector mandates as defined in the Unfunded Mandates Reform Act
(UMRA) and would impose no costs on state, local, or tribal
governments.
Estimated cost to the Federal Government: The estimated
budgetary impact of S. 1438 is shown in the following table.
The costs of this legislation fall within budget function 450
(community and regional development).
----------------------------------------------------------------------------------------------------------------
By fiscal year, in millions of dollars--
--------------------------------------------
2005 2006 2007 2008 2009
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CHANGES IN SPENDING SUBJECT TO APPROPRIATION
Authorization Level................................................ 3 2 0 0 0
Estimated Outlays.................................................. 3 2 0 0 0
----------------------------------------------------------------------------------------------------------------
Basis of estimate: For this estimate, CBO assumes that the
bill will be enacted near the beginning of fiscal year 2005,
that specified amounts will be appropriated for each year, and
that outlays will occur at historical rates for similar
programs.
S. 519 would amend the Native American Business
Development, Trade Promotion, and Tourism Act of 2000 to
authorize the appropriation of $3 million in 2005 and $2
million in 2006 for the Tribal Development Corporation
Feasibility Study Group. That group would be composed of 12
members from varied Indian interests, the private sector, and
the federal government. The group would examine various aspects
of a potential Indian Tribal Development Corporation and report
on those efforts within 270 days following enactment of the
bill. The group would dissolve within 120 days after completing
a report.
Intergovernmental and private-sector impact: S. 519
contains no intergovernmental or private-sector mandates as
defined in UMRA and would impose no costs on state, local, or
tribal governments.
Estimate prepared by: Federal Costs: Mike Waters; Impact on
State, Local, and Tribal Governments: Marjorie Miller; Impact
on the Private Sector: Karen Raupp.
Estimate approved by: Peter H. Fontaine, Deputy Assistant
Director for Budget Analysis.
Regulatory Impact Statement
Paragraph 11(b) of rule XXVI of the Standing Rules of the
Senate requires that each report accompanying a bill to
evaluate the regulatory paperwork and impact that would be
incurred in implementing the legislation. The Committee has
concluded that enactment of S. 519 will create only de minimis
regulatory or paperwork burdens.
Executive Communications
The Committee has received no official communication from
the Administration on the provisions of the bill.
Changes in Existing Law
In compliance with subsection 12 of rule XXVI of the
Standing Rules of the Senate, the Committee states that the
enactment of S. 519 will result in the following changes in 25
U.S.C. Sec. 4303(b) et seq., with existing language which is to
be deleted in black brackets and the new language to be added
in italic:
(b) Duties of the Secretary.--
(1) In general.--The Secretary, acting through the
Director, shall ensure the coordination of Federal
programs that provide assistance, including financial
and technical assistance, to eligible entities for
increased business, the expansion of trade by eligible
entities, and economic development on Indian lands.
(2) The Secretary, acting through the Director, shall
coordinate Federal programs relating to Indian economic
development, including any such program of the
Department of the Interior, the Small Business
Administration, the Department of Labor, or any other
Federal agency charged with the Indian economic
development responsibilities.
(3) In carrying out the duties described in paragraph
(1), the Secretary, acting through the Director, shall
ensure the coordination of, or, as appropriate, carry
out--
(A) Federal programs designed to provide
legal, accounting, or financial assistance to
eligible entities;
(B) market surveys;
(C) the development of promotional materials;
(D) the financing of business development
seminars;
(E) the facilitation of marketing;
(F) the participation of appropriate Federal
agencies or eligible entities in trade fairs;
(G) any activity that is not described in
subparagraphs (A) through (F) that is related
to the development of appropriate markets; and
(H) any other activity that the Secretary, in
consultation with the Director, determines to
be appropriate to carry out this section.
(4) In conjunction with the activities described in
paragraph (3), the Secretary, acting through the
Director, shall provide--
(A) financial assistance, technical
assistance, and administrative services to
eligible entities to assist those entities
with--
(i) identifying and taking advantage
of business development opportunities;
and
(ii) compliance with appropriate laws
and regulatory practices; and
(B) such other assistance as the Secretary,
in consultation with the Director, determines
to be necessary for the development of business
opportunities for eligible entities to enhance
the economics of Indian tribes.
(5) Priorities.--In carrying out the duties and
activities described in paragraphs (3) and (4), the
Secretary, acting through the Director, shall give
priority to activities that--
(A) provide the greatest degree of economic
benefits to Indians; and
(B) foster long-term stable economies of
Indian tribes.
(6) Tribal development corporation feasibility.--
(A) In general.--The Secretary shall
establish the Tribal Development Corporation
Feasibility Study Group (referred to in this
paragraph as the ``Group'').
(B) Members.--The Group shall be comprised of
12 members, as follows:
(i) Representatives of indian
tribes.--Five members of the Group
shall be representatives of federally
recognized Indian tribes.
(ii) Representatives of the alaska
native community.--Three members of the
Group shall be representatives of the
Alaska Native Community.
(iii) Representative of the native
hawaiian community.--One member of the
Group shall be a representative of the
Native Hawaiian Community.
(iv) Representative of the private
sector.--Two members of the Group shall
be representatives of nongovernmental
economic activities carried out by
private enterprises in the private
sector.
(v) Federal officials.--One member of
the Group shall be a representative of
the Department of Treasury with
demonstrated experience in
international economic development and
international financial institutions.
(C) Chairperson.--The members of the Group
shall select a Chairperson
(D) Personnel and services.--
(i) In general.--The Chairperson of
the Group may appoint and terminate
such personnel as are necessary to
enable the Group to perform its duties.
(ii) Procurement of services.--The
Chairperson may procure such services
as are necessary to enable the Group to
perform the duties of the Group.
(E) Study.--
(i) In general.--Not later than 270
days after the date of enactment of
this subparagraph, the group shall--
(I) conduct a study to
determine the feasibility of
establishing an Indian Tribal
Development Corporation
(referred to in this
subparagraph as the
``Corporation''); and
(II) submit to the Committee
on Indian Affairs and the
Committee on Appropriations of
the Senate and the Committee on
Resources and the Committee on
Appropriations of the House of
Representatives a report that
describes the results of the
study and any recommendations
of the Group for further
legislative action.
(ii) Contents.--The report shall
contain--
(I) a discussion and
determination of the financial
feasibility of the Corporation,
including whether the
Corporation can be, over the
long term, financially self-
sustainable;
(II) a discussion and
determination of the probable
economic impact of the
Corporation, including a
demonstration of the
quantitative and qualitative
economic impact on Native
American communities;
(III) a discussion and
determination of the best
alternatives in the structure,
organization, and lending terms
and conditions of the
Corporation, including the most
appropriate structure of
capital contributions to best
serve, and be acceptable to,
Native interests;
(IV) a discussion and
determination of the basic
terms and conditions under
which funding would be provided
to member Indian tribes;
(V) a discussion of
nonfinancial and advisory
activities to be undertaken by
the Corporation, including the
use of diagnostic studies by
the Corporation to--
(aa) identify tribal,
Federal, or State
policies and legal and
regulatory conditions
and infrastructure
deficiencies that
impede investment, both
private and public,
needed to promote
economic development;
(bb) the financial
instruments that will
be required by the
Corporation to ensure
its success.
(F) Termination of study group.--The Group
shall terminate 120 days after the date on
which the Group submits the report under
subparagraph (E).
(G) Authorization of appropriations.--There
are authorized to be appropriated to carry out
this paragraph--
(i) $3,000,000 for fiscal year 2005;
and
(ii) $2,000,000 for fiscal year 2006.
[(6)] (7) Prohibition.--The Secretary may not provide
under this section assistance for any activity related
to the operation of a gaming activity on Indian lands
pursuant to the Indian Gaming Regulatory Act (25 U.S.C.
2710 et. seq.)
Supplemental Materials
Salish Kootenai College,
Pablo, MT, April 29, 2003.
Senator Ben Nighthorse Campbell,
Committee on Indian Affairs,
Hart Senate Office Building, Washington, DC.
Honorable Senator Nighthorse Campbell: This letter is to
support S 519 Native American Capital Formation and Economic
Development Act of 2003. I am writing to request your help and
support, especially for Tribal Business Information Centers.
We sincerely appreciate your consideration of supporting S
519. We know there is a budgetary pressure in Washington
however, if you are willing to support S 519 we will provide
you with whatever information and assistance you need, on a
timely basis.
Thank you Senator and we invite you to Salish Kootenai
College to see our Tribal Business Information Center. If you
or your staff should have any questions about our Tribal
Business Information Center or request of support, please do
not hesitate to call me at (406) 275-4959.
Yours truly,
Joe McDonald,
President.
------
United Sioux Tribes of South Dakota,
Pierre, SD, September 3, 2004.
Re Support of S. 519.
Hon. Ben Nighthorse Campbell,
U.S. Senate,
Washington, DC.
Dear Mr. Chairman: On behalf of the United Sioux Tribes of
South Dakota, North Dakota, and Nebraska, we write in general
support of S. 519, which would establish an Indian-owned
financial entity to provide a variety of services to Indian
organizations, tribes and individual Indians. We are willing to
endorse this legislation because we understand that the
corporate structure of this entity is designed to guarantee
majority Indian ownership. While we also feel that this might
not be enough to guarantee total ``buy-in'' from Indian country
immediately, we believe that it has tremendous potential to
begin to fill the current overwhelming need for capital and
technical assistance that frustrates economic development
within reservation communities.
In particular we endorse the ``Native American Economies
Diagnostic Studies Fund,'' which would support investment
policy reforms, facilitate diagnostic studies of reservation
economies, and allow financial and other data to be collected
nationwide throughout Indian country. While many different
Federal agencies have collected data and issued reports on this
problem, a centralized clearinghouse for such data is sorely
needed, as is a centralized and accessible location for
technical assistance and support. Although the legislation does
not include this kind of detail, we would recommend that
through this fund, websites and materials are developed that
would make it easier for intertribal organizations, tribes, and
Indian individuals to evaluate and utilize the economic
development resources provided by many different Federal
agencies today, sometimes with very little coordination.
We also support establishment of the ``Native American
Economic Incubation Center Fund.'' We believe that nation
building goes hand in hand with true and lasting economic
success, and this fund is designed to both reward and
facilitate this process.
We understand that legislation is always a work in progress
and can be amended as conditions and ideas about what is
workable change. Overall, we support the bill as a significant
step in the right direction, and we thank you for your
continued dedication to promoting healthy economies in Indian
country.
Sincerely,
Chairman Michael B. Jandreau,
UST Board of Directors.
Southern Ute Indian Tribal Council,
Ignacio, CO, September 30, 2004.
Re S. 519.
Hon. Ben Nighthorse Campbell,
U.S. Senate,
Committee on Indian Affairs,
Washington, DC.
Dear Chairman Campbell: I am writing in response to your
request of September 9, 2004, to answer questions regarding S.
519. Before outlining my thoughts on the issues raised in your
letter, I would like to thank you for giving the Southern Ute
Indian Tribe an opportunity to provide input on this
legislation.
The Southern Ute Indian Tribe (Tribe) is a recognized
leader of economic development in Indian Country as a result of
sound planning and implementation of its financial plans. As
such, the Tribe has faced and dealt with many of the problems
described in S. 519's proposed findings. The Tribe agrees that
cooperative efforts, calling upon, the strengths of the
federal, local and tribal governments, as well as the financial
backing of the private sector, are needed to help Indian
Country achieve sustainable progress and success in economic
development.
The Tribe is not currently involved in any cooperative
agreements for economic development with other Indian tribes. A
tribal development corporation, as contemplated by S. 519,
could provide the opportunity to develop such partnership,
fostering cooperation that could help tribes share successful
economic development strategies and ideas. A tribal development
corporation could serve as an extension of the national Indian
community and provide a forum for Indian leaders to access
their counterparts, with the goal of creating the associations
necessary to spur economic development throughout Indian
country.
A tribal development corporation could also help the
Tribe's economic development plans in the same fashion. Despite
the ongoing success of this Tribe, many tribal members, like
all other Indian people, still face unemployment, poor health,
substandard housing and the social ills associated with these
problems. Regardless of this Tribe's economic success, a tribal
development corporation would assist the Tribe in addressing
the types of economic development that can, over the long term,
sustain the growth that the Tribe has already enjoyed. The
Tribe's economic development and diversification plans would be
buoyed by the potential for help from a broad range of sources,
all centered within the auspices of the development corporation
created by S. 519.
A large part of the Southern Ute Indian Tribe's success
story has been the insistence, by tribal leaders and tribal
members, that each tribal venture is thoroughly investigated,
planned and executed. Such diligent preparation and planning
requires that the Tribe gather the best and most accurate data
available. For example, when the Tribe considered the prospect
of opening a gaming facility on the Reservation, a wide-ranging
study regarding the potential impacts of such an operation was
performed. The Tribe moved forward with its plans only after
the study showed that a casino would have overwhelmingly
positive impacts on the Reservation economy and tribal
employment. The Tribe would therefore look forward to accessing
detailed information regarding both economic development
opportunities and the forecasted results of any such
development that would be available through the tribal economic
development corporation proposed by S. 519.
Another factor that continues to contribute to the economic
progress of the Tribe is the predictability afforded to outside
investors by the Tribe's legal codes and Tribal Court. The
Enforcement of Secured Transactions Code, for example, was
initially adopted by the Tribe in 1980 and has since been
revised twice to provide for more effective implementation and
application of the Code. Many other titles of the Southern Ute
Indian Tribal Code address business issues within the
Reservation, such as the Employment Rights Code (Title 17), the
Severance Tax Code (Title 21), the Excavation Code (Title 22),
the Sales Tax Ordinance and Ordinance No. 86-01 for the
Regulation of Oil and Gas Development Activities. With tribal
business codes like these, and the assurance of a well-
established, stable and competent Tribal Court, outside
investors and businesses are encouraged to participate in the
Tribe's economic growth and development. While S. 519 will play
a significant role in assisting other tribes in their
development of similar codes, it is important to remember that
the most effective tribal codes are those that are organic to
the tribal community that they protect. Thus, while technical
expertise and business acumen will become available to tribes
through S. 519, each tribe would still need to independently
draft and implement effective business and financial codes
tailored to their particular tribal environment.
As for the concepts contained in Title VI of S. 519, Indian
Country has seen what may prove to be a catastrophic decline in
federal appropriations for the Indian Health Service and other
programs aimed at the well being of Native America. The Tribe
hopes that the appropriations called for in Title VI of S. 519
will actually meet the needs of Native American financial
institutions, but, in the current national economic and
political climate, this hope may not be entirely realistic.
Nonetheless, the spirit of Title VI is positive and Section 601
of S. 519 emphasizes the importance of financial assistance to
Native American financial institutions. The Tribe would like to
see the spirit of Title VI translate into concrete federal
financial assistance for Indian economic development.
In closing, let me again emphasize the Southern Ute Indian
Tribe's view that this legislation will provide important
economic development opportunities for all tribes. These
opportunities will become increasingly critical to the
continued successful, self sustained development of Indian
Country, especially in light of the current state of diminished
federal funding. If properly implemented, the provisions of S.
519 will fulfill another aspect of the federal government's
ongoing trust responsibility and provide a much-needed jump-
start for economic development in Indian Country, and we
appreciate the opportunity to provide our comments.
Sincerely,
Howard D. Richards, Sr.,
Chairman, Southern Ute Indian Tribe.
Fort Belknap Indian Community,
Harlem, MT, April 29, 2003.
Hon. Ben Nighthorse Campbell,
Russell Senate Office Building,
Washington, DC.
Dear Senator Nighthorse Campbell: The Fort Belknap Indian
Community Council supports your efforts to include Tribal
Business Information Centers in the amendments of S. 519, The
Native American Capital Formation and Economic Development Act
of 2003.
Since Fort Belknap TBIC's inception in 1995, twenty-four
(24) new small businesses have started. These new businesses
have created 29 full-time jobs and 3 part-time jobs. This is a
monumental endeavor on our reservation, where the unemployment
rate has averaged from 65% to 71% over the past twenty years.
The Fort Belknap TBIC encourages and assists community
members in developing their entrepreneurship skills that lead
to individual independence and promotes community economic
development. From fall 1999 to fall 2002, the center has
offered 63 classes/workshops, with 434 participants taking
advantage of the specialized entrepreneurial training.
Major accomplishments of Fort Belknap Tribal Business
Information Center are:
Produced award winning business plans (1999
& 2000);
Received the ``Best Practices Award'' from
H.U.D. for its business incubator (May 2001);
Developed a Uniform Commercial Code (2001);
Formed a Financial Institution Planning
Committee to establish a Credit Union Branch on Fort
Belknap (2001-2002);
Established a partnership with Rural
Development and Finance Initiative to establish a micro
loan fund;
Completed a reservation-wide Educational
Needs Assessment (2001-2002);
Planned and implemented an Arts & Crafts
Fair and Cultural Food Demonstration (July 2001 and
2002); and
Assisted two communities on the Fort Belknap
Indian Reservation on the process of how to form their
own Community Development Corporations. IRS 501 (3)
applications have been filed (2002).
There are nearly 20 TBICs operating in the nation and we
are independently seeking funding on a continual basis to
underwrite administrative and operating expenses, special
projects and technical assistance for low-income American
Indian entrepreneurs. Financial resources in both the public
and private sectors are decreasing for communities that suffer
chronic poverty conditions. The downturn in the stock market
has dramatically changed the amount of charitable contributions
available from foundations and the federal government budget
cuts in rural economic development have been reduced as well.
On behalf of Fort Belknap College-TBIC and Fort Belknap
Indian Community, we appreciate and support your efforts in
obtaining an appropriation that would guarantee a line item
funding for Tribal Business Information Centers. The TBICs play
a major role in the revitalization of our economies on the
isolated Indian reservations.
If there are any questions, please do not hesitate to call
me at (406) 353-8303.
Sincerely,
Ben Speakthunder,
President, Fort Belknap Indian Community Council.
------
Fort Belknap College,
Harlem, MT, April 29, 2003.
Hon. Ben Nighthorse Campbell,
Russell Senate Office Building,
Washington, DC.
Dear Senator Nighthorse Campbell: The Fort Belknap Tribal
Business Information Center supports your efforts to include
Tribal Business Information Centers in the amendments of S.
519, The Native American Capital Formation and Economic
Development Act of 2003.
Tribal Business Information Centers were created to address
the unique conditions encountered by reservation-based American
Indian businesses and to serve tribal communities in their
efforts to create, develop and expand small businesses. TBICs
provide culturally tailored business development assistance to
potential and current small business owners.
Since Fort Belknap TBIC's inception in 1995, twenty-four
(24) new small businesses have started. These new businesses
have created 29 full-time jobs and 3 part-time jobs. This is a
monumental endeavor on our reservation, where the unemployment
rate has averaged from 65% to 71% over the past twenty years.
The Fort Belknap TBIC encourages and assists community
members in developing their entrepreneurship skills that lead
to individual independence and promotes community economic
development. From fall 1999 to fall 2002, the center has
offered 63 classes/workshops, with 434 participants taking
advantage of the specialized entrepreneurial training.
Major accomplishments of Fort Belknap Tribal Business
Information Center are:
Produced award winning business plans (1999
& 2000);
Received the ``Best Practices Award'' from
H.U.D. for its business incubator (May 2001);
Developed a Uniform Commercial Code (2001);
Formed a Financial Institution Planning
Committee to establish a Credit Union Branch on Fort
Belknap (2001-2002);
Established a partnership with Rural
Development and Finance Initiative to establish a micro
loan fund;
Completed a reservation-wide Educational
Needs Assessment (2001-2002);
Planned and implemented an Arts & Crafts
Fair and Cultural Food Demonstration (July 2001 and
2002); and
Assisted two communities on the Fort Belknap
Indian Reservation on the process of how to form their
own Community Development Corporations. IRS 501 (3)
applications have been filed (2002).
On behalf of Fort Belknap Tribal Business Information
Center, we support your efforts in obtaining an appropriation
that would guarantee a line item funding for Tribal Business
Information Centers. The TBICs play a major role in the
revitalization of our economies on the isolated Indian
reservations.
If there are any questions, please do not hesitate to call
me at (406) 353-4672.
Sincerely,
Mildred Kinsey,
Director, Fort Belknap Tribal Business Information Center.