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Hearings to examine impacts of government shutdowns and agency reductions in force on Native communities.
Meeting•Senate Indian Affairs•Oct 29, 2025 · 2:00 PM
Summary
Senate Indian Affairs held a meeting on Oct 29, 2025 at 2:00 PM in Dirksen Senate Office Building, Room 628.
Record
The meeting has its transcript on the record.
Transcript
The transcript runs to 9,353 lines and 536,114 characters, as the Government Publishing Office printed it.
senate-hearing-62968.txt1[Senate Hearing 119-312]2[From the U.S. Government Publishing Office]34 S. Hrg. 119-31256 IMPACTS OF GOVERNMENT SHUTDOWNS AND AGENCY REDUCTIONS IN FORCE ON7 NATIVE COMMUNITIES89=======================================================================1011 HEARING1213 before the1415 COMMITTEE ON INDIAN AFFAIRS16 UNITED STATES SENATE1718 ONE HUNDRED NINETEENTH CONGRESS1920 FIRST SESSION2122 __________2324 OCTOBER 29, 20252526 __________2728 Printed for the use of the Committee on Indian Affairs2930[GRAPHIC(S) NOT AVAILANLE IN TIFF FORMAT3132 U.S. GOVERNMENT PUBLISHING OFFICE3362-968 PDF WASHINGTON : 20263435 COMMITTEE ON INDIAN AFFAIRS3637 LISA MURKOWSKI, Alaska, Chairman38 BRIAN SCHATZ, Hawaii, Vice Chairman39JOHN HOEVEN, North Dakota MARIA CANTWELL, Washington40STEVE DAINES, Montana CATHERINE CORTEZ MASTO, Nevada41MARKWAYNE MULLIN, Oklahoma TINA SMITH, Minnesota42MIKE ROUNDS, South Dakota BEN RAY LUJAN, New Mexico43JERRY MORAN, Kansas4445Amber Ebarb, Majority Staff Jennifer Romero, Minority Staff46 Director Director and Chief Counsel47Lucy Murfitt, Chief Counsel Alanna Purdy, Policy Advisor48Jocelyn Broman, Counsel Caroline Ackerman, Legislative49Sarah McKinnis, Legislative Assistant50 Assistant51 C O N T E N T S5253 ----------54 Page55Hearing held on October 29, 2025................................. 156Statement of Senator Cortez Masto................................ 3757Statement of Senator Murkowski................................... 158Statement of Senator Schatz...................................... 259Statement of Senator Smith....................................... 396061 Witnesses6263Bird, Kerry D., President, National Indian Education Association. 1564 Prepared statement........................................... 1765Harris, Hon. Sarah E., Vice Chairwoman, Mohegan Tribe; Secretary,66 United South and Eastern Tribes Sovereignty Protection Fund.... 467 Prepared statement........................................... 668Locklear, II., Anthony, Tribal Member, Lumbee Tribe; CEO,69 National Indian Health Board................................... 2870 Prepared statement........................................... 3071Mallot, Ben, President, Alaska Federation of Natives............. 1172 Prepared statement........................................... 1373Upton, Pete, CEO, Native CDFI Network, Executive Director,74 Native360 Loan Fund............................................ 2075 Prepared statement........................................... 217677 Appendix7879Blankenship, Cory, Executive Director, Native American Finance80 Officers Association, prepared statement....................... 5681BlueEyes, Faye, Administrative Advisor, Dine Grant Schools82 Association (DGSA), prepared statement......................... 5083Crevier, Francys, CEO, National Council of Urban Indian Health,84 prepared statement............................................. 7585Fort Belknap Indian Community (FBIC), prepared statement......... 5286Jake, Gjermundson C., President, Ramah Navajo School Board, Inc.,87 prepared statement............................................. 6588Lawrence, Kari Jo, CEO, Intertribal Agriculture Council, prepared89 statement...................................................... 5490Letters and supplemental information submitted for the record9192Maxim, Robert and Glencora Haskins, Brookings Institution,93 prepared statement............................................. 4994Pesina, Andrea, President, National Indian Head Start Directors95 Association, prepared statement................................ 6896Rackliff, Jennifer, Executive Director, National Indian Child97 Care Association, prepared statement........................... 7398Response to Written Questions Submitted by Hon. Ben Ray Lujan to:99 Kerry D. Bird................................................ 120100 Anthony Locklear, II......................................... 111101 Ben Mallott.................................................. 115102 Pete Upton................................................... 117103Response to written questions submitted by Hon. Brian Schatz to:104 Kerry D. Bird................................................ 118105 Hon. Sarah E. Harris......................................... 106106 Anthony Locklear, II......................................... 108107 Ben Mallott.................................................. 112108 Pete Upton................................................... 116109Standing Rock Sioux Tribe, prepared statement.................... 63110Unok, Alberta, President/CEO, Alaska Native Health Board,111 prepared statement............................................. 47112Wright, Jr., Larry, Executive Director, National Congress of113 American Indians, prepared statement........................... 58114115 IMPACTS OF GOVERNMENT SHUTDOWNS AND AGENCY REDUCTIONS IN FORCE ON116 NATIVE COMMUNITIES117118 ----------119120 WEDNESDAY, OCTOBER 29, 2025121122 U.S. Senate,123 Committee on Indian Affairs,124 Washington, DC.125 The Committee met, pursuant to notice, at 2:00 p.m. in room126628, Dirksen Senate Office Building, Hon. Lisa Murkowski,127Chairman of the Committee, presiding.128129 OPENING STATEMENT OF HON. LISA MURKOWSKI,130 U.S. SENATOR FROM ALASKA131132 The Chairman. Good afternoon. I call this oversight hearing133to order.134 Today marks day 29 of a full government shutdown. None of135the 12 appropriations bills have been passed by Congress, and136departments and agencies are restricted to essential functions137while appropriations have lapsed. Congress' failure to do our138work, in my view, is inexcusable.139 We have got to come together, which means we have to talk140to one another. And it can't be about who is winning, who is141losing. Because right now, those who are losing are the142American people, including the First Americans across the143Country.144 So today we are going to hear about how government145shutdowns and agency reductions in force impact Native146communities. When Federal employees are furloughed, the people147responsible for carrying out the Government's trust and treaty148obligations are unable to do their jobs. This disrupts Native149communities' access to essential Federal resources and150services.151 Tribes and Native leaders are reaching out for help, and152they are being told, well, we can't help you now, the153government is not open. And all the while, Native parents who154rely on SNAP are worrying about how to feed their families.155Head Start renewal deadlines are approaching with no one to156process them. Maintenance and repairs at health care facilities157are stalled, and tribal governments are dipping into their158limit savings, if they haven't used them up already.159 We know how past government shutdowns have hurt Native160communities. During the 2018 partial government shutdown, the161Indian Health Service had no advance appropriations at the162time, forcing tribes and tribal organizations to cut services,163exhaust on-hand medical supplies, and even consider temporarily164closing health care facilities.165 Funding for IHS isn't a luxury. I think we know well for166many, it is a matter of life and death. That is why back in1672013, we were able to introduce legislation to provide advance168appropriations for IHS. We knew them it was going to be a long169haul. But it was the right thing to do.170 And in the Fiscal Year 2023 appropriations bill, we finally171secured advance appropriations for most of the IHS accounts. So172today, as health care facilities across the Country continue173operating with minimal disruption during the shutdown, I think174we can see the real impacts that that had.175 In 2025, we have also seen reductions in force, the RIFs,176across many departments and agencies affecting the177administration of Federal programs that Native communities rely178on. The loss of employees with deep institutional knowledge and179longstanding relationships with Native communities weakens the180effectiveness of these crucial Federal programs.181 On October 10th, additional RIF notices were issued. We are182going to hear today about the impacts at the CDFI Fund, which183supports Native CDFIs in expanding economic opportunities in184Indian Country; at the Office of Indian Education and the185Impact Aid Office, where cuts threaten education opportunities186for Native students; and at HHS, where there are staff187reductions to SAMHSA, HRSA, home programs that fill gaps left188by IHS, especially when it comes to behavioral health.189 Now, not all of these offices have Indian or Tribe in their190names. But each plays a critical role in serving Native191communities. And all are part of carrying out the Federal192Government's trust and treaty responsibilities.193 I have consistently reminded agencies of the unique194government-to-government relationship and that these195obligations must be upheld, even in times of challenge.196 It is kind of a meeting under perhaps not the best197circumstances right now. I do hope that today's hearing will be198a productive one. We all want our government to work. We want199our government to serve all the people of the United States,200including our Native peoples.201 As Senators, I think it is our responsibility to listen and202understand the day-to-day impacts that communities are facing203during this shutdown, and that is what we intend to do here204today.205 I will now turn to the Vice Chair for his opening206statement.207208 STATEMENT OF HON. BRIAN SCHATZ,209 U.S. SENATOR FROM HAWAII210211 Senator Schatz. Thank you, Chair Murkowski, and thank you212to our witnesses for being here.213 When the Federal Government shuts down, our trust and214treaty and legal obligations do not vanish. But they are put at215risk. Promises to provide health care, housing, education, and216public safety, among so many other critical services, are all217on the chopping block.218 Communities are scrambling to secure alternate or reserve219funding just in case their Federal funds fall through, and220several tribes have already declared states of emergency due to221the funding and service shortfalls.222 And it is not the first time. In 2018, we learned just how223devastating a government shutdown is for Native communities. A224few examples: general assistance payments for food, clothing,225shelter and utility needs of low-income Native individuals and226families were suspended. Funding for foster care and long-term227care for children and elders, suspended. Funds for tribal228operations, suspended.229 During that shutdown, the president of the National230Congress of American Indians, Jefferson Keel, warned us that231``Indian Country cannot afford and America should not stand for232another one.'' But here we are again.233 We are on day 29 of this government shutdown on track to234being the longest on record. That is nothing to brag about,235especially because it is no ordinary shutdown. This time, it is236also on track to being the most damaging to Federal workers.237 RIFs are happening right now across the Federal Government238that are choking off funds and services promised to Native239communities. As we speak, the Office of Indian Education staff240of the Department of Education are receiving their RIF notices.241 Without these Federal workers, Native education programs242required by law could grind to a halt. It doesn't have to be243this way. Punishing Federal workers with pink slips is a244choice. It is not a requirement under the Anti-Deficiency Act.245It is not something that automatically occurs at the end of the246Federal fiscal year. This is a choice that has nothing to do247with the fact that we are in a shutdown.248 This shutdown is robbing agencies of staff needed to carry249out the trust obligations to American Indians, Native, and250Alaska Natives. Native communities can't put Federal funding to251work or fully exercise their self-determination if their252fiduciary, the United States Government, is out of the office.253 Let me be clear what we are talking about here. Native254programs are not DEI spending, they are not charity. They are255the law. Attempting to cancel funds for Native programs, RIFing256more than 4,200 Federal employees and eliminating tribal257consultation policies, that is not the United States Government258meeting its trust and legal obligations. It is this259administration's attempt to resuscitate failed policies of260termination.261 I look forward to this hearing and this discussion about262how this is impacting Indian Country and Alaska Natives, and263Native Hawaiians. I thank you again for being willing to264testify.265 The Chairman. Thank you to our Vice Chair.266 We will now turn to our witnesses. We have today the267Honorable Vice Chairwoman Sarah Harris, who is the Secretary268for United South and Eastern Tribes. She will be followed by269Mr. Ben Mallot, who is the President of the Alaska Federation270of Natives; Mr. Kerry Bird, who is the Board President for the271National Indian Education Association; Mr. Pete Upton, who is272the CEO of the Native CDFI Network; and Mr. A.C. Locklear, who273is the CEO of the National Indian Health Board.274 I want to thank you all for taking the time to be before275the Committee today. I want to single out my friend, Ben276Mallot, who has had a very busy week up in Alaska, actually277busy weeks. We had a major disaster in western Alaska during278this shutdown.279 I also want to recognize Willie Nunn, all of the FEMA280personnel who have surged up to the State working around the281clock on recovery operations. Again, all without pay. I am282very, very grateful for their dedication and for all the283Federal employees who are coordinating with the tribes and the284tribal organizations, the State. My team has been in there as285we are all working to deliver services to those who have been286displaced. So know that we continue to keep our attention287there.288 I want to remind the witnesses that we have your full289written testimony. It will be made part of the official record.290We would ask you to keep your oral testimony to no more than291five minutes, so we have time for questions from members.292 I have shared with some of you that we anticipate having a293vote here somewhere in the 2:15, 2:30 period. So you will see294movement back and forth. But we are going to try to keep the295hearing moving.296 Let's turn first to Vice Chairwoman Harris, with your297testimony, please.298299 STATEMENT OF HON. SARAH E. HARRIS, VICE CHAIRWOMAN, MOHEGAN300 TRIBE; SECRETARY, UNITED SOUTH AND301 EASTERN TRIBES SOVEREIGNTY PROTECTION FUND302303 Ms. Harris. Chairman Murkowski, Vice Chairman Schatz, and304members of the Committee, thank you for the opportunity to305provide testimony. I am Sarah Harris, Vice Chairwoman of the306Mohegan Tribe.307 I am here today in my capacity as the Secretary of the308United South and Eastern Tribes Sovereignty Protection Fund.309This hearing is timely, as Indian Country is facing the impacts310of what is on track to be the longest government shutdown in311history. While we have experienced lengthy shutdowns in the312past, including the 2018 through 2019 shutdown, we must also313contend with the upheaval that the current administration's314policies are bringing to the functioning and composition of the315Federal Government, many of which appear to be implemented316without regard to program, services, funding and contracts that317tribal nations and our people are owed.318 These changes, including reductions in force, are319exacerbating the negative impacts of this shutdown for Indian320nations, citizens and communities. It is critically important321to underscore that allowing shutdowns caused by partisan322disagreement to impact the delivery of trust and treaty323obligations is unacceptable.324 Although we celebrate the certainty that advance325appropriations have brought to IHS at this time, tribal nations326access funding and services throughout the Federal Government,327the vast majority of which remains unprotected. Our tribal328nations are working to ensure that citizens have continued329access to food, as nutrition programs like SNAP and WIC are330running out of funds.331 For example, USET SPF's board president, Penobscot Chief332Kirk Francis, was unable to testify today because he is333currently working with his tribal council to reallocate over334$200,000 in other funding to bridge the gap in nutrition and335funding for November alone. This includes asking tribal hunters336to donate moose meat so that elders can be fed.337 As the temperature continues to drop this fall, at least 12338of our member nations are without Low Income Heating Assistance339through the Department of Health and Human Services. The CDC is340extremely delayed in sharing disease prevalence data with our341tribal epidemiology center as South Carolina faces a measles342outbreak and we enter flu season.343 Finally, some tribal nations are being forced to consider344taking out lines of credit to continue providing services to345their citizens and communities.346 Congress and the administration must work together to347ensure the shutdown is lifted as soon as possible. The longer348the shutdown continues, the greater the likelihood of349compounding impacts to essential services in Indian Country,350those that are the responsibility of the Federal Government.351 We urge the administration to work with Indian Country to352ensure its policies, including RIFs, do not affect the delivery353of trust and treaty obligations. Beginning on January 20th, as354we do with every administration, tribal nations have approached355the White House, the Office of Management and Budget, and356numerous Federal agencies and departments seeking partnership357and to educate them on the unique legal and moral obligations358the United States holds to Indian nations, tribal nation359citizens and communities.360 We have explained why these obligations supersede the361administration's priorities relating to the scope and size of362the Federal Government. This includes requests for exemptions363from the administration's RIFs for tribal-serving positions,364both through the Department of Government Efficiency, and now365through OMB.366 Despite this advocacy, many tribal-serving positions have367been eliminated over the course of this year. Tribal368organizations have also come together in response to the early369actions of the administration, including USET SPF and our370sister organizations here today.371 Currently, a total of 37 member organizations, the372Coalition of Tribal Sovereignty, is a non-partisan373collaboration of local, regional, and national tribal374organizations, working together to safeguard tribal sovereignty375and uphold the United States' delivery of trust and treaty376obligations. Since February, the coalition has sent over 50377letters to the Executive Branch.378 Broadly, these communications offer the following messages.379Indian Country is being unintentionally swept into the380administration's broad implementation of its policy priorities.381Because of trust and treaty obligations, tribal programs are382not like other Federal programs, and must be treated383differently.384 Tribal nations and the Trump administration have important385overlapping goals and we must focus our energies on pursuing386those goals together. At present, however, our focus is being387drawn to protecting Indian Country from collateral harm caused388by imprecise implementation of the Trump administration's389priorities.390 It is critical that all branches of the Federal Government391recognize that IHS, BIA, and BIE are not the sole agencies392charged with delivering trust and treaty obligations. Tribal393nations access funding and services throughout the Federal394Government, for which we have prepaid with our lands, resources395and the lives of our ancestors.396 It is simply not enough to only protect these agencies from397the impacts of policy changes and position eliminations. All398tribal-serving personnel, programs and agencies must be exempt399from these actions.400 Turning our attention back to this Committee and Congress401more broadly, the shutdown and this year's Federal upheaval402should inspire you to think differently about how trust and403treaty obligations are funded and carried out. In the short404term, all Federal Indian funding must be protected from405shutdowns and continuing resolutions through advance406appropriations. This would ensure that the Federal Government407continues to meet its obligations regardless of politics and408provides some certainty to our people, patients and employees409each year.410 In the long term, full and mandatory funding would better411exemplify the obligations of the United States to tribal412nations.413 In closing, we urge this Congress to bring the414destabilizing effects of its own inaction to an end for Indian415Country. We thank the Committee for the opportunity to testify,416and look forward to partnering as you seek to advance and417improve the delivery of trust and treaty obligations.418 Thank you.419 [The prepared statement of Ms. Harris follows:]420421 Prepared Statement of Hon. Sarah E. Harris, Vice Chairwoman, Mohegan422 Tribe; Secretary, United South and Eastern Tribes Sovereignty423 Protection Fund424 Chairman Murkowski, Vice Chairman Schatz, and Members of the Senate425Committee on Indian Affairs, thank you for the opportunity to testify426on the impacts that the federal government shutdown and reductions in427force are having in Indian Country. My name is Sarah Harris and I serve428as the Mohegan Tribe's Vice Chairwoman, as well as the Secretary for429United South and Eastern Tribes and United South and Eastern Tribes430Sovereignty Protection Fund (USET SPF).431 USET SPF is a non-profit, inter-Tribal organization advocating on432behalf of thirty-three (33) federally recognized Tribal Nations from433the Northeastern Woodlands to the Everglades and across the Gulf of434Turtle Island. \1\ USET SPF is dedicated to promoting, protecting, and435advancing the inherent sovereign rights and authorities of Tribal436Nations and in assisting its membership in dealing effectively with437public policy issues.438---------------------------------------------------------------------------439 \1\ USET SPF member Tribal Nations include: Alabama-Coushatta Tribe440of Texas (TX), Catawba Indian Nation (SC), Cayuga Nation (NY),441Chickahominy Indian Tribe (VA), Chickahominy Indian Tribe-Eastern442Division (VA), Chitimacha Tribe of Louisiana (LA), Coushatta Tribe of443Louisiana (LA), Eastern Band of Cherokee Indians (NC), Houlton Band of444Maliseet Indians (ME), Jena Band of Choctaw Indians (LA), Mashantucket445Pequot Indian Tribe (CT), Mashpee Wampanoag Tribe (MA), Miccosukee446Tribe of Indians of Florida (FL), Mi'kmaq Nation (ME), Mississippi Band447of Choctaw Indians (MS), Mohegan Tribe of Indians of Connecticut (CT),448Monacan Indian Nation (VA), Nansemond Indian Nation (VA), Narragansett449Indian Tribe (RI), Oneida Indian Nation (NY), Pamunkey Indian Tribe450(VA), Passamaquoddy Tribe at Indian Township (ME), Passamaquoddy Tribe451at Pleasant Point (ME), Penobscot Indian Nation (ME), Poarch Band of452Creek Indians (AL), Rappahannock Tribe (VA), Saint Regis Mohawk Tribe453(NY), Seminole Tribe of Florida (FL), Seneca Nation of Indians (NY),454Shinnecock Indian Nation (NY), Tunica-Biloxi Tribe of Louisiana (LA),455Upper Mattaponi Tribe (VA), and the Wampanoag Tribe of Gay Head456(Aquinnah) (MA).457---------------------------------------------------------------------------458Introduction459 As the Committee is already aware, this has been a challenging year460of upheaval and uncertainty for the federal funding and programs due to461Tribal Nations, citizens, and communities in fulfillment of trust and462treaty obligations. Despite legal mandates for the provision of Tribal463programs and funding, as well as Tribal consultation requirements, the464Trump Administration continues to implement policy priorities without465first insulating Indian Country from impacts. These actions have466generated confusion, fear, and real consequences throughout Indian467Country. This includes freezing and potentially reallocating vital468federal funding, firing federal employees with vital expertise, and469proposing changes to programs important to Indian Country. We have also470been wrongly caught up in Administration efforts related to illegal471immigration and diversity, equity, and inclusion and environmental472justice programs.473 From our perspective, these actions represent a misunderstanding of474our unique political status under the law and the United States' legal475requirement to deliver on its trust and treaty obligations. Each of the476mandates issued by the Administration has acknowledged that it is not477meant to affect ongoing legal requirements. Tribal-serving programs and478funding are legally required by trust and treaty obligations and479associated implementing statutes--they are not discretionary.480 Now, we find ourselves impacted by what is currently on track to481become the longest shutdown in history, the effects of which are482intensified by the implementation of the Administration's policy483priorities, including Reductions in Force. On top of ongoing chronic484underfunding and its accordant challenges, Tribal Nations face the485problem of discretionary funding that is almost always delayed. Since486Fiscal Year (FY) 1998, there has only been one year (FY 2006) in which487appropriated funds for the Indian Health Service (IHS) and Bureau of488Indian Affairs (BIA) were released prior to the beginning of the new489fiscal year. Due to Congressional inaction and gridlock resulting from490unrelated issues, these delays in funding severely hinder the federal491government's execution of its trust obligations to Tribal Nations--492having destabilizing and disruptive effects on the provision of basic493government services in Indian Country. This includes vital programs and494services such as housing, law enforcement, road maintenance, social495services, and health care--to name a few. Tribal Nations have long496urged the federal government to insulate the federal fiduciary497obligation from its own failures to enact appropriations legislation.498 This is not a question about addressing poverty and needs across499Indian Country. Our relationship is much more than this. This is500ultimately a question about honor, about fulfilling commitments and501promises. A nation's exceptionalism is grounded in these principles.502Inadequate and unstable Indian Country funding needs to be viewed as503unfilled treaty and trust obligations. This funding is not delivered on504the basis of poverty or for social welfare purposes. The federal505government's trust obligations are the result of the millions of acres506of land and extensive resources ceded to the U.S., in exchange for507which it is legally and morally obligated to provide benefits and508services in perpetuity--a debt that must be paid regardless of509political disagreement. At no point has the government fully delivered510upon these obligations, but we are currently forced to confront the511current shutdown during a period of remarkable uncertainty for Tribal512Nations, citizens, and communities, and the future composition of the513federal government.514Impacts of Federal Government Shutdown515 As is becoming lamentably routine in Washington, the recent516shutdown was precipitated by political disagreement that doesn't517directly implicate Indian Country. Yet, because the majority of our518funding appears on the discretionary side of the federal budget, year519after year, the execution of the federal fiduciary trust obligation is520held hostage to partisanship and gridlock. As you are likely well-521aware, the 2018-2019 shutdown, given its historic length, nearly522brought the funding and services the United States is obligated to523provide to Tribal Nations to a halt.524 The effects of the 35-day shutdown on the federal government's525execution of its trust and treaty obligations to Tribal Nations rippled526across Indian Country. More than 50 percent of BIA workers were527furloughed. And while nearly 60 percent of IHS employees were forced to528continue working without pay, as of late January, the agency had begun529to deny specialty care. This, combined with chronic underfunding,530resulted in tragic ends, up to and including loss of life in Indian531Country--all due to the federal government's inaction.532 The current shutdown is also having negative impacts on Indian533Country, including USET SPF member Tribal Nations. While the IHS is534largely protected, thanks to Advance Appropriations, this represents535only one Tribal-serving agency within the federal government. With536federal funding comprising large swaths of Tribal budgets, member537Tribal Nations are beginning the fiscal year with additional538uncertainty and upheaval.539 USET SPF member Tribal Nations are grappling with how to ensure540that citizens have access to federal nutrition programs--some are541already experiencing the impacts of the Women, Infants, and Children542(WIC) program exhausting state funds and now others are having to543determine how to feed their citizens in the absence of the Supplemental544Nutrition Assistance Program (SNAP). As the temperature continues to545drop this fall, at least twelve USET SPF member Tribal Nations,546including several in northern states, are without Low-Income Heating547Assistance through the Department of Health and Human Services. The548Centers for Disease Control and Prevention (CDC) is extremely delayed549in sharing disease prevalence data with our Tribal epidemiology center,550as South Carolina faces a measles outbreak and we enter influenza551season. We understand that some Tribal Nations are concerned about the552protection of ancestral remains and sacred sites when federal lead553agency staff are furloughed. In addition, because the authority expired554along with FY 2025 appropriations, member Tribal Nations cannot bill555Medicare for telehealth services to our elders. Finally, some Tribal556Nations are being forced to consider taking out lines of credit to557continue providing services to their citizens and communities.558 With this in mind, it is critical that Congress and the559Administration work together to ensure the shutdown is lifted560expeditiously. The longer the shutdown continues, the greater the561likelihood of compounding impacts to essential services in Indian562Country--those that are the responsibility of the federal government.563Reductions in Force Do Not Uphold Trust and Treaty Obligations564 While Tribal Nations are no stranger to shutdowns due issues565outside of our control, the Administration's policy decisions and566efforts to radically change the composition and functioning of the567federal government are compounding the shutdown's impact. At present,568much of the execution of federal trust and treaty obligations due to569Tribal Nations is reliant on personnel throughout the federal570government. These federal personnel provide direct services and571technical support, they oversee the provision of funding, including572through contracting and compacting, they share information, including573vital public health data, and engage in litigation on behalf of Tribal574Nations, among many other responsibilities. Prior to this575Administration taking office, Indian Country was keenly aware of576staffing shortages throughout the federal government, including those577at IHS and BIA with preexisting vacancy rate percentages in the double578digits. These shortages contribute to chronic failures to fully execute579upon trust and treaty obligations.580 From the earliest days of this current Administration, as we do581with any Administration, Tribal Nations have approached the White582House, Office of Management and Budget (OMB), and numerous federal583agencies and departments in partnership to educate them on the unique584legal and moral obligations the United States holds to Tribal Nations,585citizens, and communities, and why these obligations supersede the586Administration's priorities related to the size and scope of the587federal government. This includes requests for exemptions for Tribal-588serving positions from the Administration's reductions in force--both589through the Department of Government Efficiency and now through OMB.590Despite this advocacy, many Tribal-serving positions have been591eliminated over the course of this year.592 While, once again, the IHS has largely been protected from593reductions in force, we have seen numerous positions throughout the594Department of Health and Human Services eliminated, including the CDC,595National Institutes for Health, the Substance Abuse and Mental Health596Services Administration, and the Administration on Children and597Families. Over the course of this year, this has resulted in delays598and, in some cases, the cession of critical funds, services, and data599sharing for Tribal Nations.600 In a recent filing in the American Federation of Government601Employees, AFLCIO, et al. v. U.S. Office of Management and Budget, et602al., and absent Tribal consultation, the Department of the Interior603(DOI) revealed the intent to abolish 2,050 positions in this current604round of Reductions in Force. This includes positions at the Bureau of605Land Management, Bureau of Ocean Energy Management, Bureau of606Reclamation, Bureau of Safety and Environmental Enforcement, Fish and607Wildlife Service, National Park Service, Offices of Contracting and the608Interior Business Center. Although the Bureaus of Indian Affairs and609Indian Education are not included in this filing, all of the610aforementioned agencies and departments are of importance to Tribal611Nations and trust and treaty obligations. These proposed staffing612eliminations are on top of Reductions in Force that took place within613the Department earlier this year, including those achieved from614Deferred Resignation and Voluntary Early Retirement, which were offered615to Indian Affairs personnel in spite of a March 17th memo stating,616``Indian Affairs programs and organizations are exempt from this617[voluntary early retirement/voluntary separation] window pending the618conduct of Tribal consultations.''619 It is critical that this Administration and all branches of the620federal government recognize that IHS, BIA, and BIE are not the sole621agencies charged with delivering upon trust and treaty obligations.622Tribal Nations access funding and services throughout the federal623government, for which we have prepaid with our lands, resources, and624the lives of our ancestors. It is simply not enough to only protect625these agencies from the impacts of policy changes and position626eliminations. All Tribal-serving personnel, programs, and agencies must627be exempted and excepted from these actions in accordance with trust628and treaty obligations.629Advocacy through the Coalition for Tribal Sovereignty630 Coming together in response to the early actions of the631Administration and currently at a total of 37 member organizations,632including USET SPF and many of our sister organizations testifying633today, the Coalition for Tribal Sovereignty \2\ (CTS) is a nonpartisan634collaboration of local, regional, and national inter-tribal policy-635focused non-profit organizations working together to safeguard Tribal636sovereignty and uphold the United States' delivery of trust and treaty637obligations to Tribal Nations, Tribal citizens, and Tribal community638members across the United States. As a coalition, the Tribal639organizations of CTS engage collectively with federal policy makers640regarding actions taken by Trump Administration and offers a framework641that enables member Tribal organizations to build consensus on key642messages, thereby allowing them to speak with one powerful, consistent643voice.644---------------------------------------------------------------------------645 \2\ https://coalitionfortribalsovereignty.org/coalition-action-646center/about/647---------------------------------------------------------------------------648 Through this coalition, we have sent over 50 communications to the649Executive Branch beginning in early February of this year. Broadly,650these letters offer the following messages to the Administration:651652 Indian Country is being unintentionally swept up in the653 Administration's broad implementation of its policy priorities;654 and655656 Because of trust and treaty obligations, Tribal programs are657 not like other federal programs and should be treated658 differently; and659660 Tribal Nations and the Trump Administration have important661 overlapping goals, and we must focus our energies on pursing662 those goals together. We share a foundational understanding663 that local communities, such as Tribal Nations, are best suited664 to address their people's needs and to keep them safe. This665 translates into a desire for the federal government to remove666 barriers that prevent Tribal Nations from effectively caring667 for our people; and668669 At present, however, our focus is being necessarily drawn to670 protecting Indian Country from collateral harm caused by671 imprecise implementation of Trump Administration priorities.672673 Our topline requests in these communications are:674675 Engage with us--prior to taking action--so we can help the676 Administration understand how we fit into its carve-outs;677678 Affirmatively state that programs and funding delivered to679 Tribal Nations and Tribal citizens and communities are680 delivered in recognition of our unique political status and681 trust and treaty obligations;682683 Exempt us from any pauses or reductions to federal funding;684 and685686 Exempt all Indian Country-serving positions and offices from687 any workforce reductions or hiring freezes.688689 We note and appreciate that several federal Departments have taken690some steps to clarify that implementation of the Administration's691Executive Orders and priorities should not impact the United States'692delivery on trust and treaty obligations. However, it is not clear that693this is resulting in appropriate action to protect federal Indian694programs and funding or the federal employees who see that trust and695treaty obligations are carried out. For example, in Department of696Interior (DOI) Secretarial Order 3416 issued on January 30th, designed697to implement the Administration's policy priorities related to698elimination of Diversity Equity, Inclusion, and Accessibility (DEIA)699initiatives, DOI said ``[n]othing in this Order shall be construed to700eliminate, rescind, hinder, impair, or otherwise affect activities that701implement legal requirements independent of the rescinded equity-702related EOs, including but not limited to . . . the statutory703authorities, treaty, and/or trust obligations of the Department and its704Bureaus/Offices to Tribal nations.'' Despite DOI's recognition that the705federal government owes Indian Country trust obligations, including706spelled out in statutory authorities and treaties, DOI continues to cut707important Indian Affairs funding and reduce the number of federal708employees serving Indian Country. This continues as DOI is engaged in709Tribal consultation on workforce optimization.710 More recently, CTS wrote to OMB \3\ to urge that it to promptly711issue a directive to all federal agencies exempting federal employees712serving Tribal Nations, Tribal citizens, or Tribal communities from any713Reduction in Force (RIF) actions or furloughs. This directive would be714consistent with trust and treaty obligations and the President's715priorities, as well as authorized by the Anti-Deficiency Act. However,716not only have we not seen a response to this letter from OMB or the717White House, we also have not seen any directive that would protect the718positions charged with executing on sacred trust and treaty719obligations. We continue to seek a joint meeting with OMB in order to720brief its leadership on its responsibilities to Indian Country.721---------------------------------------------------------------------------722 \3\ https://coalitionfortribalsovereignty.org/wp-content/uploads/7232025/09/9.29.2025-CTS-Letter-to-OMB-re-Exemption-for-Federal-Employees-724Serving-Tribal-Nations.pdf725---------------------------------------------------------------------------726Support for Codification and Expansion of Advance Appropriations727 USET SPF continues to express its gratitude for the historic728achievement of advance appropriations for IHS. Thanks to advance729appropriations, the agency's clinical services have experienced730budgetary certainty during this shutdown and in the face of several731continuing resolutions. However, there remain opportunities to codify732this practice for IHS and work to expand this mechanism to all Tribal733offices, programs, and funding throughout the federal government.734 The vast majority of funding for Indian programs, including IHS,735appears on the discretionary side of the budget. That our funding is736vulnerable to governmental inaction and partisanship is a failure of737the federal government to honor its sacred duty to Tribal Nations. In738the short-term, all federal Indian funding must be protected from739shutdowns and continuing resolutions through advance appropriations740legislation. This would ensure that the federal government continues to741meet its obligations regardless of politics and provide some certainty742to our people, patients, and employees each year. It would also bring743our funding into parity with other discretionary programs that the744federal government deems critical, including those at the Department of745Education, Department of Housing and Urban Development, Department of746Labor, and the Department of Veterans Affairs which are authorized for747advance appropriations. Finally, it would represent a more complete748recognition of the federal trust responsibility and obligations.749 With this in mind, USET SPF lends its unequivocal support to750legislation that would put an end to the instability of CRs and751shutdowns for all federal Indian agencies, programs, and funding. This752includes strong support for advance appropriations authority for both753IHS and BIA. USET SPF strongly supports S. 2771, the Indian Programs754Advance Appropriations Act (IPAAA), which would enshrine in statute755advance appropriations for IHS, BIA, and BIE. Passage of this756legislation, and the certainty it would bring, is long overdue.757Indian Country Funding Mechanisms Need Comprehensive Overhaul758 While we strongly support advance appropriations as a vital759mechanism to bring certainty in the short-term, in the long-term USET760SPF is calling for a comprehensive reexamination of federal funding761delivered to Indian Country across the federal government. Because of762our history and unique relationship with the United States, the trust763obligation of the federal government to Native peoples, as reflected in764the federal budget, is fundamentally different from ordinary765discretionary spending and should be considered mandatory in nature.766Inadequate funding to Indian Country needs to be viewed as unfilled767treaty and trust obligations and should not be vulnerable to year to768year ``discretionary'' decisions by appropriators. Recently, some in769Congress have called for mandatory funding for specific agencies770serving Indian Country. USET SPF strongly supports this proposal, which771is more consistent with the federal trust obligation, and urges that772this be expanded to include all federal Indian programs. Notably,773earlier this week, Brookings issued a report calling for advance774appropriations in the short-term and mandatory funding in the long-term775for Tribal-serving agencies and programs.776 Further, with a renewed focus on domestic issues and putting777America first, this focus must also include a commitment to rebuilding778the sovereign Tribal Nations that exist within the domestic borders of779the United States. Much like the U.S. investment in the rebuilding780European nations following World War II via the Marshall Plan, the781legislative and executive branches should commit to the same level of782responsibility to assisting in the rebuilding of Tribal Nations, as our783current circumstances are, in large part, directly attributable to the784shameful acts and policies of the United States.785 Further, USET SPF is urging the expansion of self-governance, along786with P.L. 102-477 authority, to all federal agencies, programs, and787funds. Much of the federal funding across Indian Country is delivered788through the competitive grant process (and often through the states).789Not only is this an abrogation of the federal trust responsibility to790force Tribal Nations to compete for federal dollars, the competitive791grant process often precludes Tribal Nations from having access to792those dollars at all. Grant funding fails to reflect the unique nature793of the federal trust obligation and Tribal sovereignty by treating794Tribal Nations as non-profits rather than governments. Self-governance795Contracting and Compacting should be an available option across the796federal system.797 In addition, USET SPF urges Congress to exercise its oversight798authority in determining how much actual funding actually reaches799Indian Country. The Office of Management and Budget (OMB) asserts that800over $30 billion in federal dollars is appropriated to Indian Country801annually. From the perspective of Tribal advocates, including those who802serve on budget formulation committees for federal agencies, this803number seems to be widely inflated, with far less actually reaching804Tribal Nations and Tribal citizens. We suspect that OMB arrives at this805figure by tallying the amount for which Tribal Nations and entities are806eligible, regardless of whether these dollars actually reach Indian807Country. Both USET SPF and the Tribal Interior Budget Council (TIBC)808have asked OMB for a full accounting of federal funding distributed to809Indian Country. To date, OMB has not responded to this request. USET810SPF firmly believes that this information is absolutely essential to811the measurement of the federal government's own success in meeting its812obligations and the work of Tribal Nations. More than ever, it is813important to understand how OMB quantifies federal spending to Tribal814Nations, citizens, and communities, including how it determines whether815to continue supporting Tribal-serving funds, programs, and personnel.816Conclusion817 USET SPF urges this Congress to act swiftly to bring the818destabilizing effects of its own inaction to an end for Indian Country.819It is critical that the federal government reopen and resume delivering820upon trust and treaty obligations. We also ask that this body do more821to protect the execution of trust and treaty obligations from the822damaging effects of volatility in federal policy. One way to do this is823to ensure we are insulated from continuing resolutions and government824shutdowns. In the long-term, and in pursuit of a relationship more825reflective of this obligation, USET SPF urges this Committee, Congress,826and all branches of the federal government to ensure that full and827mandatory funding for trust and treaty obligations is realized in our828lifetimes. USET SPF thanks the Committee for the opportunity to testify829and looks forward to partnering with its members to bring this to830fruition.831832 The Chairman. Thank you so much, Vice Chairman.833 Next we turn to Mr. Mallot. Welcome.834835 STATEMENT OF BEN MALLOT, PRESIDENT, ALASKA FEDERATION OF836 NATIVES837838 Mr. Mallot. Thank you, Senator, and Vice Chair Schatz,839members of the Committee.840 Thank you for having this hearing today. It is really841critical and timely for our tribal communities.842 My name is Ben Mallot, as Senator Murkowski mentioned. I843have the honor to serve as president of AFN. AFN is Alaska's844largest statewide Native organization. Membership includes over845170 federally-recognized tribes, 154 regional corporations, 11846regional corporations and regional non-profits, over 160,000847Alaska Natives.848 As I went through working on my testimony for today, I849reached out to all of our member organizations. I am lucky to850hear that most of our tribal organizations and communities851prepared for the shutdown. But as we approach 30 days of852shutdown, many of them did not prepare for that long of a853shutdown.854 As you mentioned, we are in day 29. A prolonged shutdown in855Alaska becomes life-threatening for many of our communities. It856also delays ability for our tribes who are very capacity857strained to do reporting, and to also work on additional858permits and grants. It is critical for Alaska, our construction859season, it is summer right now, is when our tribes have to get860orders in for doing infrastructure and critical supplies for861our communities.862 Also, while many of our tribes and organizations planned863for a shutdown, we cannot always plan for weather. As Senator864Murkowski mentioned, on October 12th, we had a very serious865typhoon that hit Alaska. It was no other typhoon that hit866Alaska in our history, and over thousands of Alaska Natives867were evacuated to Anchorage.868 I want to thank the work of the Federal Government in the869State of Alaska, and also our delegation, your team, Senator870Murkowski, for responding to the storm. It is really critical871that we have these employees responding.872 It is also critical that they get paid for their work in873responding to save our communities. I recognize that. I want to874thank the many Federal employees who are working right now in875response to the storm who are not getting paid right now.876 Also, I recognize that during this storm event, IHS allowed877organizations such as YKC to respond immediately to this storm.878I want to thank and also highlight, so members of this panel879will know, how important in this event IHS is for our880communities.881 Also, as we go into the impact of the shutdown, I cannot882highlight enough just how food security is critical for us883right now. As SNAP is about to end on Friday, we are looking at884the ability for our communities to decide between heating and885fuel. For example, right now, in Kotzebue, Alaska, a gallon of886milk is $12.99, a 24-count of eggs is $13.19. A four-pack of887bathroom tissue, just the single ply, is $8. A loaf of bread is888over $6. Stove oil is $7.79. Six cans of corned beef hash is889$39.89. Without SNAP and without LIHEAP, it is critical for our890communities to decide between heating and fuel.891 Right now, I looked up the weather and in Utqiagvik it is 3892degrees but it feels like minus 9. And Bethel is 17 degrees.893Kotzebue is 15 degrees. My mom's home village of Rampart is 21894degrees with light snow, and my father's hometown of Yakutat,895which is a lot further south is a balmy 35 degrees.896 We are right now in November, or almost November. It is897going to get colder. Without LIHEAP, without SNAP, our898communities and tribal citizens will have to decide between899fuel and food. In Anvik, 65 percent of the revenue from their900store comes from SNAP. In Riaktat [phonetically], about $2,000901a week comes from SNAP.902 In these communities, such as Anvik and Riaktat, the903villages store is often the most stable jobs in the community.904It is critical for this to happen.905 LIHEAP is also critical for our communities, as I906mentioned, especially for elders. They are going to decide907between heat and fuel. In some of our communities, elders are908there alone and may not have family to help them with food909security.910 Also during this time, with the government shutdown, also911that could cause cancellations more specifically around the912Federal Subsistence Board, which is unable to meet right now.913 During the pandemic, the Federal Assistance Board was able914to open up mercy hunts to allow communities and tribal915organizations and tribes, to open up and get moose for food916security during the pandemic. During this shutdown, they cannot917meet.918 Also delays in the ability for regional advisory committees919to meet and also have no local voice in food security at this920time. What this does also impacts our progress, as Alaska is a921very large State with very difficult travel. To reschedule a922meeting of FSB or reschedule a meeting takes a lot of923coordination and could put these meetings back months.924 I want to close right now, but right now the impact is925still uncertain for many of the communities. The RIFs, we don't926know what will happen until the government reopens. When that927happens, we do not know.928 Right now, the burden of many of our local communities is929actually on the shoulders of our tribes and local ANCs. We930don't know the impact until the government reopens and we are931worried that as the government reopens there might be delays in932getting funds necessary to our communities in a timely manner.933 With this said, as members of this panel will say, we urge934the Committee to be innovative, look at how we will reopen935government and support our tribal communities.936 With that said, I will close. Again, quyana, gunalcheesh,937for this hearing today. And thank you for your leadership,938Senator Murkowski.939 [The prepared statement of Mr. Mallot follows:]940941 Prepared Statement of Ben Mallot, President, Alaska Federation of942 Natives943I. Introduction944 Chairman Murkowski, Vice Chairman Schatz, and members of the945Committee:946 Thank you for inviting me to speak with you today regarding the947impacts of the ongoing federal government shutdown and agency948reductions in force on our Alaska Native communities. I would like to949offer a special thank you to Senator Murkowski for her leadership in950advocating for Alaska and for the Alaska Native people.951 My name is Ben Mallott, and I serve as the President of the Alaska952Federation of Natives (AFN). AFN is the largest statewide Alaska Native953organization. Our membership includes over 140,000 Alaska Natives and954their institutions set up to serve our people. AFN's membership955includes federally recognized tribes, regional tribal consortiums,956regional non-profit organizations, and Alaska Native Claims Settlement957Act (ANCSA) village and regional corporations.958 Many of our tribal organizations have worked hard to position959themselves to weather the impacts of a shutdown. Alaska Native entities960receiving federal assistance engage in best practices to prepare for961and utilize all available funding prior to a lapse in federal962appropriations to keep our programs stable and our operations963uninterrupted to the greatest extent possible during a shutdown. But964when a shutdown drags on for a prolonged period, there is little we can965do to keep the impacts to our organizations and communities at bay.966Tomorrow we will hit the critical 30-day mark of the shutdown, and our967organizations will be facing difficult realities and decisions about968the ability to carry out certain programs and whether tribal staff must969be laid off. A prolonged shutdown places many Alaska Native entities970and communities in a difficult and potentially life-threatening971position. So please keep in mind that the impacts I raise today will972continue to grow until the shutdown ends.973II. Impacts of the Federal Government Shutdown and RIFs974a. Disaster Recovery for Western Alaska975 I would be remiss if I did not start my remarks by acknowledging976that our communities in Western Alaska's Yukon-Kuskokwim Delta are977still reeling from the devastating impacts of Typhoon Halong, which978struck our state on October 12. Disaster recovery in this region is979unlike other regions in our country. These communities are remote with980no access to roads and are hundreds of miles from cities to where these981residents must evacuate. Both short and long-term recovery efforts are982complex, and reliable communication with federal agencies assisting in983disaster recovery like FEMA is essential. While the federal government984is working on immediate response to Typhoon Halong, the shutdown985creates further complications and uncertainties for our communities in986the region devasted by the Typhoon. Many of the people forced to987evacuate the region now face a lengthy recovery process that will988require substantial engagement with the federal government. Any delay989or confusion caused by the shutdown adds a tremendous burden to our990already hurting people in the region. Relief efforts are being991supported by federal employees working without pay. We appreciate these992workers' vital contributions, and we want to see them be paid for their993work, including back pay for their unpaid work these past few weeks.994995 Threats to Food and Heat Availability and Assistance996997 We are deeply concerned about the impacts of the shutdown and its998implications for food availability and assistance in Alaska. From the999Federal Subsistence Board to SNAP benefits, the shutdown is threatening1000the availability of food in our Alaska Native communities. This is1001compounded by the fact that winter is upon us in Alaska. As1002temperatures approach 0 degrees up north, a gallon of milk is $13. Our1003people are about to be in the very real situation of having to pick1004between food and heat.1005 Our people rely heavily on subsistence to feed our families and to1006fill freezers to get through the long, dark winters. Subsistence1007activities on federal lands are managed through the Interior1008Department's Federal Subsistence Board, which has canceled its Regional1009Advisory Committee meetings across the state in October. These meetings1010are critically important for governance of the subsistence system our1011rural Alaska Native communities depend on to survive.1012 SNAP benefits expire on Friday, and it will have a devastating1013impact in Alaska. SNAP serves approximately 66,000 Alaskans, including1014thousands of Alaska Native peoples who live in remote or economically1015disadvantaged regions. The State of Alaska has confirmed that due to1016the federal shutdown, November benefits will not be issued to SNAP1017recipients, removing a critical food security lifeline for families and1018individuals. The loss of SNAP benefits will deepen food insecurity and1019threaten the well-being of Alaska Native elders, children, and1020families. Further, the lack of SNAP benefits will overwhelm informal1021food assistance programs or organizations, such as food banks, in1022communities where they exist, to say nothing of the impacts for1023communities where they do not exist.1024 The shutdown will also pose a threat to vulnerable households1025across the state that rely on federal assistance for heating their1026homes, such as the Low Income Home Energy Assistance Program (LIHEAP).1027New funding for the LIHEAP program will be unavailable during the1028shutdown, undermining a critical support system for Alaska Native1029families and elders during harsh winter conditions. At least one Alaska1030Native housing authority had to tell their community members that while1031they will take new LIHEAP applications during the shutdown, payments1032are on hold until the shutdown ends.1033 A continued shutdown will force too many Alaska Native families,1034elders, and people to choose between basic human needs such as food or1035home heating during the winter months.1036b. Lack of Consultation1037 Lack of federal employees carrying out federal agency actions and1038responsibilities compromises the government's legal requirements to1039engage in meaningful consultation with Tribes and Alaska Native1040Corporations. Internal agency training and education is an essential1041part of building the right agency talent and capacity to engage in1042meaningful consultation, especially in Alaska, where additional1043training is required to educate agency professionals about the unique1044status of Native land and the unique and diverse systems of Native1045governance in Alaska. It often takes years for the right relationships1046to be built. Simply put, reductions in workforce at both the regional1047and headquarters levels compromise the ability of federal agencies to1048meet their consultation obligations.1049 And during a shutdown--especially one as long as the current lapse1050in appropriations--there is essentially no path for our communities to1051engage in real discussions with agency personnel making key decisions1052affecting our livelihoods. For example, as mentioned above, the Federal1053Subsistence Board is canceling or delaying its Regional Advisory1054Committee meetings across the state in October, which are critically1055important for governance of the subsistence system our rural Alaska1056Native communities depend on to survive.1057c. Impacts to Health Care1058 While other witnesses today will speak more on the impacts of the1059shutdown on Tribal health, I want to share with you concerns raised by1060Alaska Native health care providers.1061 We deeply appreciate Congress providing the Indian Health Service1062(IHS) advance appropriations. This has been very helpful to insulate1063IHS programs from the government shutdown. However, there are a number1064of Tribal health programs and services that are not included in the1065advance appropriations that are being affected. While Tribes have been1066paid health services and other related funding, they have not been paid1067contract support costs, 105(l) lease payments, or certain other1068facility services that are needed to support health operations.1069Contract support costs help fund the administrative and overhead costs1070associated with carrying out health services. The 105(l) lease payments1071help to fund maintenance and improvement activities for health1072facilities. These types of payments are not being processed during the1073shutdown under a lapse in appropriations.1074 The shutdown also impacts other aspects of Tribal health. For1075example, the Centers for Medicare & Medicaid Services Tribal Technical1076Advisory Group (CMS TTAG) may have to cancel its upcoming meeting if1077the shutdown is still in effect. The TTAG is an important advisory body1078to the CMS Administrator providing expertise on CMS policies,1079guidelines, and programmatic issues affecting IHS and Tribal health1080programs. Medicaid is one of these extremely important programs, which1081provides from 40-60 percent of funding for IHS and Tribal programs.1082This upcoming meeting is very important for the TTAG since they are1083working with CMS to develop operational guidance and recommendations to1084implement several Tribal provisions included in the One Big Beautiful1085Bill Act.1086III. Conclusion1087 Thank you again for inviting me to speak today. I look forward to1088answering any questions you may have about our Alaska Native1089communities and the shutdown impacts discussed here today.10901091 The Chairman. Gunalcheesh, Ben.1092 Mr. Bird, welcome.10931094 STATEMENT OF KERRY D. BIRD, PRESIDENT, NATIONAL INDIAN1095 EDUCATION ASSOCIATION10961097 Mr. Bird. Thank you, Senator Murkowski. Good afternoon.1098 My name is Kerry Bird. I am the President of the National1099Indian Education Association. I am a citizen of the Sisseton1100Wahpeton Oyate of South Dakota, and a descendant of the Lumbee1101Tribe of North Carolina.1102 On behalf of the NIEA, the students, educators and tribal1103nations we serve, I am here today to share the distressing1104situation facing our Native youth, a situation which1105intensifies each day the shutdown continues.1106 Across the Country, the shutdown and reductions in force1107have crept into our classrooms, our early childhood programs1108and our homes. What began as a budget dispute in Washington has1109become a daily crisis in Indian Country.1110 When our ancestors signed treaties with the United States,1111they did so in exchange for certain guarantees. One of these1112was that our children and our children's children would be1113educated. This obligation is not a discretionary choice; it is1114a payment on a debt owed.1115 These promises are what every Native parent holds onto when1116they send their child to school each morning. It is what keeps1117a principal in Shiprock, New Mexico and a Head Start worker in1118Sisseton, South Dakota, showing up, even when the Federal1119Government is not.1120 At the Department of Education, the Office of Impact Aid,1121which provides $1.6 billion annually to federally-impacted1122school districts, has come to a standstill. With the staff1123furloughed for over a month and no forward funding, essential1124payments have not arrived.1125 In South Dakota, Montana and New Mexico, school districts1126are burning through reserves just to meet payroll. For some1127schools, these dollars make up 50 percent of the budgets which1128keep them open.1129 The situation is just as severe at the Administration for1130Children and Families. Beginning on November 1st, 12 American1131Indian and Alaska Head Start grantees serving over 2,5001132children will face an immediate funding shortfall.1133 The Cherokee Nation in Oklahoma has already prepared to1134step in to keep their centers open. But smaller tribes across1135the Country may not have the reserves. They are being forced to1136decide between keeping their early childhood classrooms open or1137feeding their communities, as SNAP and nutrition programs also1138face funding gaps.1139 This is not a choice tribal nations should ever have to1140make. These impacts show the fragility of the system. Programs1141that were designed to uphold the Federal Government's moral and1142legal promises are now being held hostage.1143 Thankfully, while other agencies have gone dark, BIE1144offices and schools have stayed open, not because the system is1145immune to the shutdown, but because the government understands1146that Federal employees within the BIE are unique and must be1147protected.1148 The administration has designated all BIE staff as excepted1149or exempted. Teachers are still in classrooms, bus drivers are1150still on their routes, dormitory staff are still caring for1151students far from home. That is how it should be. And how it1152would always be if the entire system were to receive advance1153appropriations.1154 Meanwhile, Native students outside of BIE schools are at1155unique risk. More than 90 percent of Native children attend1156public schools, many in rural reservation-adjacent districts1157which depend on Federal programs such as Title VI, Impact Aid,1158and Johnson-O'Malley. Like Impact Aid, JOM is not forward-1159funded. During a shutdown, payments to tribal contractors and1160Indian Parent committees are frozen. That means tutoring stops,1161after-school support is canceled while communities wait for1162Washington to act.1163 For many native families, JOM is one of the only visible1164signs that the Federal Government remembers its educational1165promise to their children. The Indian Programs Advance1166Appropriations Act would fix would this by ensuring all BIE1167accounts, not just school operations, are fully insulated from1168shutdowns. This Committee's leadership, combined with the1169support of appropriators, has already shown how this approach1170works by protecting IHS.1171 This Committee is critical to making that happen for the1172rest of our programs. We urge this Committee to educate your1173peers and protect tribal-serving offices and accounts from any1174future attempts to play politics with the Federal Government's1175solemn obligations.1176 At the Department of Education, the Office of Elementary1177and Secondary Education has been hollowed out. According to1178court filings earlier this month, more than 130 positions have1179been eliminated on top of staff reduction in the spring. Of the1180282 employees who staffed the office just a year ago, fewer1181than 100 remain.1182 Twenty-nine days ago, the entire Office of Indian Education1183was furloughed. As of 15 minutes ago, we have official1184confirmation that seven of nine staff in the same office have1185been terminated. That means no one to process grants, approve1186budgets, or support tribal education departments and Indian1187Parent committees.1188 If these terminations are allowed to go into full effect,1189the Indian education programs as we know them would be1190functionally eliminated.1191 But it is not OIE alone that is at risk. The Office of1192Impact Aid, which supports 537 Indian land school districts,1193alongside millions of military connected students, has been1194almost entirely laid off. The United States trust obligations1195cannot be fulfilled if the Federal staff responsible for1196carrying it out no longer exist. If these workforce reductions1197continue, and if shutdowns are allowed to repeatedly disrupt1198the flow of education funding, the United States will be in1199direct violation of its trust and treaty obligations.1200 Education is a promise to our people as part of the1201guarantees this Nation made. It cannot be withheld because of1202political stalemates or administrative restructuring.1203 Today, I ask you to keep that promise. I ask Congress to1204reopen the Government. I ask you to work with the1205administration to rescind the RIFs that target tribal-serving1206staff, and to make sure that Native children will never again1207be caught in the crossfire of political shutdown.1208 Thank you for your attention to this urgent matter and for1209your continued commitment to upholding the promises made to1210tribal nations and Native students. Thank you.1211 [The prepared statement of Mr. Bird follows:]12121213 Prepared Statement of Kerry D. Bird, President, National Indian1214 Education Association1215 On behalf of the National Indian Education Association (NIEA) and1216students, educators, and Tribal Nations we serve, thank you for this1217opportunity to provide testimony regarding the challenges we face in1218the ongoing federal government shutdown. NIEA was founded to advance1219comprehensive, culture-based educational opportunities for American1220Indians, Alaska Natives, and Native Hawaiians and to advocate for1221educational excellence by working to ensure that students receive high-1222quality academic and cultural education.1223 Rooted in treaties between Tribal Nations and the federal1224government, the U.S. Constitution, federal law, and U.S. Supreme Court1225decisions, the federal government has a direct fiduciary responsibility1226to Tribal Nations and their citizens. The trust and treaty1227responsibility is an acknowledgement that the debt paid for by our1228ancestors through the loss of life and land, is to be paid for, in1229part, with education. Currently, Tribal Nations, Native education, and1230the programs which serve them face an escalating crisis. The disruption1231of critical federal operations, delays in funding, and deteriorating1232capacity of federal offices due to Reductions in Force (RIF) are1233threatening the very core of educational obligations to Native1234children. The federal government is at risk of directly violating the1235United States' trust and treaty obligations to Tribal Nations by1236dismantling the very offices charged with carrying them out.1237I. Department of Education1238 The Department of Education (ED)'s Office of Elementary and1239Secondary Education (OESE) has been hollowed out. According to the1240court documents filed on October 10th in the U.S. District Court for1241the Northern District of California, ED eliminated 132 positions within1242OESE. These RIFs follow an already thinned agency following the 471243percent reduction in staff on March 10, 2025. Of the 282 full-time1244employees who staffed OESE in 2024, fewer than 100 remain. Those who1245remain are largely political appointees, office directors, and staff1246whose roles align with the administration's priorities. As far as NIEA1247has been notified, the Office of Indian Education (OIE) has not been1248exempted from these RIFs, and if they are carried out to their fullest,1249are at risk of being functionally eliminated. The entire OIE staff,1250including its director, were furloughed at the beginning of the1251shutdown and now face the potential that they will be formally1252terminated as soon as the government reopens, or as soon as they are1253legally allowed to access their emails.1254 The Office of Impact Aid, which primarily exists to care for school1255districts which serve military families and Native children on federal1256lands, has reportedly been entirely laid off except for its director.1257Nationwide, every school district which relies on Impact Aid, including1258the 537 Indian land school districts are feeling an extreme tightening1259of their budgets as Impact Aid is not forward funded. Annually, Impact1260Aid provides approximately $895 million to school districts with1261federal Indian trust lands, most of which are in western and rural1262states. The National Indian Impacted Schools Association reports that1263there are school districts in Minnesota, Montana, and South Dakota who1264have reached out in frustration as they may reach a critical funding1265tipping point in the coming weeks. Without these payments, schools are1266now drawing down reserves and as the shutdown continues could face1267cutting essential staff and services, with many reporting a tipping1268point in the coming weeks. Further, the elimination of the Impact Aid1269staff means that payment calculations, reimbursements, and compliance1270reviews will not be processed in a timely manner and face not being1271processed at all. These schools not only need the federal government's1272help, they are owed it.1273 The United States' trust and treaty responsibility for education is1274not discretionary. Through binding treaties, statutes, and court1275decisions, the federal government promised to provide educational1276opportunities for Native children, obligations prepaid with Tribal1277lands and resources. The Office of Indian Education and other positions1278across ED, exist to uphold those promises. OIE administers Title VI of1279the Every Student Succeeds Act, providing over $110 million in annual1280grants to more than 1,200 school districts and Tribal entities serving1281roughly 423,000 Native students nationwide. These programs sustain1282Native language and culture, academic enrichment, and community-driven1283educational priorities. With OIE staff furloughed or terminated, no one1284remains to process or disburse funding agreements, approve carryover1285budgets, or provide technical assistance. As a result, Tribal Education1286Departments, school districts, and Indian Parent Committees would be1287forced to suspend programs, cancel services, and delay hiring, placing1288schools and students in limbo across Indian Country.1289 The situation is equally dire for Alaska Native and Native Hawaiian1290Education programs, which together support roughly $80 million in local1291education projects focused on Native language revitalization, cultural1292restoration, and STEM education in remote and rural areas. If program1293administrators are lost, there would be no one to monitor active grants1294or process new awards. The Office of Rural and Native Education, which1295includes the Alaska Native Education and Native Hawaiian Education1296programs, will at the very least feel the strain of significantly1297diminished staff across OESE, and at worse face the potential of also1298having their administrators terminated. For communities already1299grappling with difficulties in some of the most remote districts of the1300United States, this abrupt disruption undermines years of progress and1301the selfdetermination these programs were designed to support.1302II. Administration for Children and Families1303 Beyond the Department of Education, the shutdown and related1304workforce reductions have also severely disrupted Tribal early1305childhood, child welfare, and family support systems administered1306through the Administration for Children and Families (ACF) within the1307Department of Health and Human Services (HHS). Head Start remains one1308of the most critical federal investments in Native communities,1309providing culturally grounded early childhood education, nutrition, and1310family support services that lay the foundation for lifelong learning1311and wellbeing--services which are irreplaceable, especially in rural1312Tribal areas where there are no alternatives. As the shutdown drags on,1313the already difficult situation for Head Start programs continues to1314worsen. On November 1st, 12 AIAN Head Start grantees, serving almost13152,500 students and employing almost 600 staff members, face a dire1316funding gap. Tribes across Arizona, California, Michigan, Minnesota,1317Montana, Oklahoma, and Washington are looking for contingencies to1318cover the gap the federal government has left them with. In the best1319case, Tribes which have the funding to cover the gap in the meantime1320are able to step in. The largest November 1 grantee, the Cherokee1321Nation, is prepared to do just that. However, if any Tribes are1322stretched too thin, covering these programs alongside nutrition and1323other critical services to their communities, these Head Start programs1324would face closure. At least one AIAN Head Start program in Michigan is1325facing such a situation. Tribal Nations should not be forced to choose1326between food for their communities and keeping educational and child1327care institutions open. The longer the shutdown continues, the more we1328will be forced to make impossible decisions.1329 ACF, alongside the Bureau of Indian Affairs, provide the primary1330federal funding that allows Tribal child welfare programs to keep1331children safe and families intact. If the shutdown extends beyond 301332days, those critical services face disruption, including the assistance1333that Tribes provide to state child welfare cases involving Native1334families. At ACF, continuing staff reductions, regional office1335closures, and now the shutdown have created an unrelenting cycle of1336disruption. According to the National Indian Child Welfare Association,1337Tribal Nations have been unable to access timely information on FY 20261338funding applications, reporting requirements, or technical assistance.1339The cancellation of two Tribal consultations on the Supporting1340America's Children and Families Act (P.L. 118-258), along with the1341cancellation of the November ACF Tribal Advisory Committee meeting, has1342further cut off communication. ACF had planned to share critical1343updates on technical assistance and the approval process for Tribal1344Title IV-B Child Welfare grant applications, but that information1345remains unavailable. The lack of communication, access, and timely1346funding has left Tribal Nations in an untenable position, while1347vulnerable Native children, families, and state partners are left1348wondering whether Tribal services and support will be available at all.1349 These impacts bleed across servings and are acutely felt in Tribal1350communities. All members of the ACF Tribal Engagement Team, the five1351Native staff who collectively advised all ACF divisions on how to1352better serve Tribal Nations, have been furloughed. Their absence leaves1353a critical void in agency coordination and cultural understanding1354across child welfare, early childhood, and family support programs.1355Meanwhile, we know that the US Department of Agriculture (USDA) and the1356Department of Justice (DOJ) are continuing forward with their1357consultations. Our children deserve the same.1358III. Bureau of Indian Education1359 While we are deeply concerned about the effects of the shutdown1360across federal agencies, we are grateful that nearly all Bureau of1361Indian Education (BIE) staff have been designated as ``excepted'' or1362``exempted'' employees and have continued reporting to work to sustain1363critical school operations. In direct contrast to the widespread1364furloughs and Reductions in Force (RIFs) now affecting the Department1365of Education and ACF, BIE staff have been rightfully protected. Their1366continued presence reflects the importance of education as a trust1367responsibility and ensures that instruction and student services1368continue uninterrupted across both BIE-operated and Tribally Controlled1369Schools.1370 However, the shutdown still reveals critical vulnerabilities within1371the BIE system. While core school operations are forward funded,1372ensuring that teachers and staff can be paid, Operations and1373Maintenance (O&M) appropriations are not forward funded and depend on1374annual appropriations which have now expired. These dollars pay for1375essential services such as heating, electricity, water, sanitation,1376safety inspections, and emergency repairs for more than 180 BIEfunded1377school facilities. Without new appropriations, O&M funds cannot be1378obligated or reimbursed, leaving superintendents and facilities1379managers scrambling to maintain safe and healthy learning environments.1380Many schools, especially in northern, rural states, rely on these funds1381for fuel deliveries and winterization contracts. A prolonged shutdown1382could delay those contracts, resulting in facility closures, unsafe1383conditions, or costly emergency responses later in the fiscal year.1384 The Indian Programs Advance Appropriations Act would directly1385address this issue by ensuring that the entirety of the BIE receives1386not only forward funding but advance appropriations, fully insulating1387Tribal schools from the disruptions of annual funding lapses. This1388measure represents the final step in safeguarding BIE schools and1389students from shutdowns and the political uncertainty of continuing1390resolutions.1391 As mentioned previously, changes and furloughs within the ED1392affecting Impact Aid and Title VI programs, have left Native-serving1393education programs and funding at public schools extremely vulnerable.1394As early as 1934, Congress recognized that the federal trust and treaty1395obligation to education must support all Native students, regardless of1396where they attend school. The Johnson-O'Malley (JOM) program was1397created to support students in public schools, and unlike the rest of1398the BIE program funds, JOM is not forward-funded. The JOM program1399supports supplemental academic, cultural, and youth programming for1400nearly 300,000 Native students nationwide. During a shutdown, payments1401and reimbursements to Tribal contractors and Indian Parent Committees1402are frozen, halting tutoring, after-school programs, and cultural1403activities that have already been planned and budgeted for the school1404year.1405 While the BIE is in the better of the scenarios of each of these1406agencies, it is by no means completely protected. BIE schools also1407receive funds from the Department of ED, funds which may be slowed or1408paused as the shutdown continues. BIE schools may struggle to pay for1409last minute maintenance costs. And public schools serving Native1410students may not receive funding from JOM or Impact Aid and even face1411the possibility of Title VI and related funding being severely1412diminished if RIFs are fully implemented in OIE. It is clear Indian1413education needs a path forward with an open and operational federal1414government.1415IV. Conclusion1416 Across the board, it is clear that Indian Country needs support1417immediately. By issuing RIFs that may eliminate a department's primary1418Tribal liaison office, the federal government would effectively sever1419its own consultation channel. In another department, cancelling1420consultations amidst the moment which Tribal Nations most need to be1421heard is not only frustrating, it is failing their needs. The moral and1422legal implications could not be clearer. The United States' trust1423obligations to provide education to Native children were not negotiated1424as temporary or conditional. Congress must act immediately to reopen1425the government, and we urge this Committee to work with the1426Administration to walk back any planned or executed reductions to1427Tribal-serving staff as soon as possible. Thank you for your attention1428to this urgent matter and for your continued commitment to upholding1429the United States' obligations to Tribal Nations and Native students.14301431 The Chairman. Thank you, Mr. Bird.1432 Mr. Upton, welcome.14331434 STATEMENT OF PETE UPTON, CEO, NATIVE CDFI NETWORK, EXECUTIVE1435 DIRECTOR, NATIVE360 LOAN FUND14361437 Mr. Upton. Thank you, Chair Murkowski and Vice Chair Schatz1438and the Committee for this opportunity to share today.1439 My name is Pete Upton. I am an enrolled member of the Ponca1440Tribe of Nebraska. I serve as the CEO for the Native CDFI1441Network, the only national membership organization dedicated to1442supporting Native Community Development Financial Institutions.1443 I also serve as the Executive Director of Native360 Loan1444Fund, a Native-certified CDFI serving Native people in1445Nebraska, South Dakota, Kansas, and Iowa.1446 On behalf of NCN and the nearly 100 certified and emerging1447Native CDFIs we serve, I express our grave concern regarding1448the reduction in force action on October 10th to terminate all1449CDFI Fund staff and abolish the CDFI Fund altogether. These1450actions will economically devastate tribal communities.1451 According to a recent Federal Reserve study, 46 percent of1452tribal communities are located in banking deserts. Native CDFIs1453are typically the only financial institution serving these1454communities, providing access to capital, credit, and financial1455education where no alternative exists.1456 Abolishing the Fund will cause severe, immediate and long-1457term harm to Native CDFIs' ability to serve the growing small1458business, homeownership, agriculture, and consumer lending1459needs of tribal communities, the needs long ignored by1460mainstream banking institutions.1461 We are already experiencing the impacts. The Fiscal Year14622025 appropriated fands for the Native American CDFI Assistance1463Program remain frozen with no Treasury staff at work to1464finalize these agreements or release the awards, choking off1465critical seed capital for the Native CDFIs whose average asset1466size is just $5.8 million.1467 Meanwhile, dozens of Native CDFIs awaiting Treasury1468certification, recertification, remain in limbo with no one to1469process their applications.1470 The RIF and the looming abolishment of the Fund also spell1471a demise for the New Markets Tax Credits Program, a key1472financing tool that cultivates private investments in vital1473economic and community development projects on tribal lands.1474Without Fund staff to administer it, the latest double round of1475New Markets Tax Credits won't be allocated to Native Community1476Development entities or other CDEs serving Indian Country.1477 Also in danger is Congress' bipartisan push to expand and1478make permanent the successful USDA 502 Native Relending1479Program, which will enhance the Native CDFIs' proven ability to1480foster homeownership among Native people by issuing them1481mortgage loans on tribal lands.1482 Last and perhaps most troubling, abolishing the Fund will1483end the Federal process of certifying CDFIs, the official stamp1484of approval Native CDFIs use to secure investments from non-1485Federal sources. This will dramatically reduce the flow of1486capital for farm, ranch, and other business development,1487housing and homeownership, and community infrastructure1488projects when Indian Country's need for such capital increases1489substantially with each passing year.1490 In the CDFI Fund's own words, Native CDFIs are helping1491transform their communities, they are creating businesses and1492jobs in places that desperately need them. They are providing1493personal financial education and business training to persons1494who have been excluded from our Nation's economic mainstream.1495They are helping to change the lives of the people they serve.1496 The United States fulfills its trust and treaty obligations1497to tribal nations in part by providing funding to Native1498organizations like CDFIs that directly serve tribal nations and1499their citizens. The CDFI Fund and the NACA program are not1500handouts. They are practical fulfillment of those trust and1501treaty obligations, ensuring Native people have the same access1502to financial economic opportunities as all other Americans.1503 We thank and commend the 105 GOP members of Congress who1504sent a letter to the administration last week in support of1505CDFIs and the Fund, a resounding testament to the fact that1506CDFIs are not a partisan issue. They deserve the continued1507support of the Federal Government, so they can continue their1508vital work, which can only happen if the administration's RIF1509action and its plan to abolish the CDFI fund are abolished.1510 We stand ready to partner with you to achieve this goal.1511Thank you.1512 [The prepared statement of Mr. Upton follows:]15131514 Prepared Statement of Pete Upton, CEO, Native CDFI Network, Executive1515 Director, Native360 Loan Fund1516 On behalf of the Native CDFI Network (NCN) and the 65 Treasury-1517certified Native community development financial institutions (CDFIs)1518and nearly three dozen emerging Native CDFIs we serve across nearly 301519states, I welcome this opportunity to share with this Committee our1520grave concern regarding the Reduction in Force (RIF) action of October152110, 2025 to terminate all CDFI Fund staff in keeping with the1522Administration's plan to abolish the Fund altogether.1523These Actions Will Economically Devastate Tribal Communities1524 According to a recent Federal Reserve Bank of Philadelphia study,152546 percent of Tribal communities are located in banking deserts, ``over152612 times the national average of 3.8 percent.'' \1\ Established in1527large part to address these deserts, Native CDFIs are typically the1528only financial institutions serving these communities, providing access1529to capital, credit, and financial education where no alternatives1530exist.1531 If left to stand, the RIF action of October 10th and the ensuing1532abolishment of the CDFI Fund will cause severe immediate and long-term1533harm to Native CDFIs' ability to serve the growing small business,1534homeownership, agricultural, and consumer lending needs of Tribal1535communities, needs that have long been ignored by mainstream banking1536institutions.1537 Native CDFIs and the Tribal communities we serve are already1538experiencing the impacts. Possessing an average asset size is just $5.71539million dollars, \2\ Native CDFIs rely heavily on Native American CDFI1540Assistance (NACA) Program Financial Assistance (FA) and Technical1541Assistance (TA) awards from the CDFI Fund to serve Tribal communities1542and scale their operations to meet their growing needs. Yet, FY 20251543Congressionally appropriated funding for the NACA Program remains1544frozen, with no Treasury staff at work to finalize agreements or1545release awards, choking off this critical ``seed capital'' for Native1546CDFIs. Meanwhile, dozens of Native CDFIs awaiting Treasury1547recertification remain stuck in limbo, with no one to process their1548applications.1549 The RIF and looming abolishment of the Fund also spell the demise1550of the New Markets Tax Credits Program, a key financing tool that1551cultivates private investment in vital economic and community1552development projects on tribal lands. Without Fund staff to administer1553it, the latest double round of New Markets Tax Credits won't be1554allocated in part to Native Community Development Entities and other1555CDEs serving Indian Country.1556 Also in danger is Congress's bipartisan push to expand and make1557permanent the highly successful USDA Section 502 Native Relending1558Program (see below), which will enhance Native CDFIs' proven ability to1559foster homeownership among Native people by issuing them mortgage loans1560on tribal lands.1561 Last and perhaps most troubling, abolishing the Fund will end the1562federal process for certifying CDFIs--an official stamp of approval1563Native CDFIs use to secure significant investments from non-federal1564sources. This will create a cascading effect that dramatically reduces1565the flow of capital for farm, ranch, and other business development;1566housing and homeownership; and community infrastructure projects when1567Indian Country's need for such capital increases substantially with1568each passing year.1569Indian Country's Acute Capital Access Gaps: A Longstanding Challenge1570 To understand the need to not only protect but strengthen the CDFI1571Fund and specifically the NACA Program, one must recognize the severe,1572longstanding lack of access to capital that Tribal communities--1573particularly those in rural areas--confront today. Consider:15741575 Significant barriers to investment: As the CDFI Fund1576 explains, Native CDFIs' origins can be traced to the 19941577 Congressional legislation authorizing the Fund's creation,1578 which contained among its provisions the mandating of a study1579 examining lending and investment practices in Tribal1580 communities. \3\ Titled the Native American Lending Study, it1581 identified 17 major barriers to investment in Indian Country,1582 and ``affirmed the importance of developing Native CDFIs to1583 play a key role in the broader effort to lead Native1584 Communities into the nation's economic mainstream.'' \4\15851586 Few to no banking options: According to the Board of1587 Governors of the Federal Reserve, in 2020 the majority of1588 American Indian/Alaska Native counties had an average of three1589 bank branches, compared to an average of nine in other rural1590 counties and an average of 26 nationally. \5\15911592 Significantly more likely to live in banking deserts: In1593 2024, the Federal Reserve Bank of Philadelphia released a new1594 report titled ``U.S. Bank Branch Closures and Banking1595 Deserts,'' which finds that banking deserts--defined as1596 neighborhoods with no bank branches nearby--across U.S.1597 communities are on the rise, evident in a decline in the total1598 number of bank branches of 5.6 percent, an increase in the1599 number of banking deserts of 217, and an increase in the number1600 of Americans living in banking deserts of 760,000. Critically,1601 the report found that ``Majority-American Indian and Alaska1602 Native tract populations are disproportionately represented in1603 [banking] deserts'' (see statistic shared on page 1). \6\16041605 The Community Reinvestment Act--a failed approach:1606 Unfortunately, a growing body of research reveals that the1607 Community Reinvestment Act (CRA) has failed to compel or1608 effectively incentivize banking institutions' investment in1609 Native nations and communities. As the CDFI Fund's landmark1610 2016 Access to Capital and Credit in Native Communities report1611 points out, while the CRA ``was not intended to exclude Native1612 Communities living on tribal lands.in practice it often does,''1613 and banks under the Act's current regulations can easily1614 satisfy CRA requirements without having to do business in or1615 with Native nations and communities if they so choose (as most1616 do), and they are not required to affirmatively disclose that1617 they have failed to make CRA-qualified investments in and with1618 Tribal Nations and communities. \7\16191620 Homeownership costs Native people more: In 2019, the Federal1621 Reserve found that Native people living on reservations who1622 want to buy homes are significantly more likely to have high-1623 priced mortgages, and those mortgage rates average nearly two1624 percentage points higher than for non-Native people outside1625 reservations. \8\ According to the Federal Reserve, this means1626 a Native family purchasing a $140,000 home on a reservation1627 could pay $100,000 more over the course of a 30-year loan than1628 a non-Native purchasing a home outside a reservation would pay.16291630 Access to capital Indian Country remains elusive: More1631 recently, a 2023 National Community Reinvestment Coalition1632 study found, for example, that: (1) ``none of the three largest1633 home lenders in the US issue federally guaranteed mortgages for1634 the construction of new permanent homes within tribal lands'';1635 (2) half of all home purchase loans on tribal lands are used to1636 purchase manufactured mobile homes (which decrease in value1637 rather than foster generational wealth-building), which is four1638 times the rate elsewhere; and (3) just 0.004 percent of small1639 business dollars loaned in Arizona and 0.012 percent in New1640 Mexico went to borrowers on tribal lands. \9\16411642Native CDFIs' Unique and Proven Ability to Close Indian Country's1643 Access to Capital Gap1644 Across Indian Country, Tribal communities establish CDFIs to target1645and close these capital access gaps so sustainable economic growth can1646take root and grow in those communities. Consider:16471648 Native CDFIs epitomize the CDFI Fund's mission: In the CDFI1649 Fund's own words, Native CDFIs are ``an important part of the1650 CDFI Fund's mission to expand the capacity of financial1651 institutions to provide credit, capital, and financial services1652 to underserved populations and communities in the United1653 States,'' and they are making a ``considerable impact'' by1654 ``helping to transform their communities. They are creating1655 businesses and jobs in places that desperately need them. They1656 are providing personal financial education and business1657 training to persons who have been excluded from our nation's1658 economic mainstream. They are helping to change the lives of1659 the people they serve.'' \10\ In short, Native CDFIs epitomize1660 what the CDFI Fund sees as the hallmark for CDFI certification:1661 ``those working at the margins and beyond to consciously and1662 deliberately make impact.'' \11\16631664 The NACA Program--an engine for Indian Country community and1665 economic development: The nearly 100 Treasury-certified and1666 emerging Native CDFIs across the country deploy NACA FA and TA1667 awards to support and expand their capacity to meet the acute1668 and rapidly growing capital access needs of Tribal communities.1669 Since FY 2010, for example, NACA FA recipients have used their1670 awards to originate nearly $2.6 billion in total loans and1671 investments in distressed and underserved communities, provide1672 more than $659 million in financing to nearly 4,340 businesses,1673 and support the development of nearly 500 units of affordable1674 housing. \12\16751676 Native CDFIs--providing a range of critical supports:1677 According to the Center for Indian Country Development (CICD)1678 at the Federal Reserve Bank of Minneapolis, to directly address1679 the specific capital access gaps detailed above, as of 2025, 651680 percent of Native CDFIs provide business loans and 73 percent1681 provide micro loans for businesses, and many (69 percent) also1682 provide consumer loans to foster financial inclusion and1683 economic activity in local communities. In addition, 29 percent1684 of Native CDFIs provide mortgage loans--including U.S.1685 Department of Housing and Urban Development Section 184 loans,1686 which are designed to facilitate homeownership in Native1687 American communities--and 39 percent provide home improvement1688 loans. \13\ Meanwhile, a 2021 CICD study revealed that Native1689 CDFIs help to substantially increase the credit scores of1690 Native people ``in credit distress.'' \14\16911692 Uniquely positioned and equipped to cultivate Native1693 homeownership: In a compelling testament to the unique ability1694 of Native CDFIs to help Native people become homeowners on1695 tribal lands, in 2018 the USDA Section 502 Direct Home Loan1696 Program's demonstration project made two Native CDFIs eligible1697 borrowers under the 502 Program and enabled them to relend to1698 qualified families for the construction, acquisition, and1699 rehabilitation of affordable housing on tribal trust land. The1700 project resulted in those CDFIs doubling in one year the number1701 of home loans that USDA had provided on two Indian reservations1702 in South Dakota during the previous decade--which is why1703 Congress is currently working in bipartisan fashion to make1704 this program permanent and expand it nationally to enable all1705 Native CDFIs to issue 502 loans. \15\17061707 An extraordinary and reliable return on investment:1708 According to the Treasury Department, investments made in CDFIs1709 produce an eight-fold return, with each $1 creating $8 in1710 private sector investments. \16\ CDFIs also are safe1711 investments, with a loan default rate of 0.36 percent in 2023,1712 roughly half the rate of traditional banks. \17\17131714 The resources don't meet the growing demand: Yet Native1715 CDFIs remain significantly undercapitalized. For example, a1716 2024 NCN survey of 51 Native CDFIs found their projected three-1717 year unmet loan capital needs collectively totaled $8 billion.1718 \18\ Meanwhile, in FY 2024, only 70 percent ($43.2 million) of1719 the total NACA Base-Financial Assistance (FA) funding requested1720 by applicant Native CDFIs ($61.6 million) was awarded by the1721 CDFI Fund. Similarly, just 67 percent ($3.7 million) of the1722 total NACA Technical Assistance (TA) funding requested by1723 applicant Native CDFIs ($5.5 million) was awarded. \19\17241725Broad, Bipartisan Support for the CDFI Fund and Native CDFIs1726 The CDFI Fund and Native CDFIs specifically have long enjoyed the1727bipartisan support of Congress, which has long recognized the1728irreplaceable benefits that CDFIs generate for Americans who are1729looking to gain a toehold in our shared American economy. This is1730perhaps most strikingly evident in the Senate Community Development1731Finance Caucus, a growing bipartisan body of the upper chamber of1732Congress that now boasts 30 members--15 Republicans and 15 Democrats.1733In a recent and resounding testament to the fact that CDFIs are not a1734partisan issue, last week 105 GOP members of Congress sent a letter to1735the Administration last week in support of CDFIs and the CDFI Fund,1736which declared that CDFIs ``play an important role in supporting1737economic development in rural and underserved communities in our1738states. They enhance the viability of community development projects,1739especially in rural areas, by offering flexible financing tools such as1740longer loan terms and interest-only repayment periods'' (see letter1741attached).1742 Reinforcing this message, also last week the Federal Reserve Board1743of Governors publicly stated that ``through flexible underwriting,1744tailored lending, and deep community development relationships, CDFIs1745meet credit needs through good times and bad,'' and ``help fuel the1746revitalization of neighborhoods, small businesses, and local1747economies.'' These institutions also have a ``strong track record'' for1748performance and results, and the ``demand for their services continues1749to grow.'' \20\1750Action Needed to Sustain Federal Support for Native CDFIs1751 Native CDFIs in particular embody the founding intent of the CDFI1752Fund: to provide seed capital that grows local economies. They serve1753rural and underserved communities that often lack access to mainstream1754financial institutions and traditional sources of credit. With a proven1755record of performance and community impact, Native CDFIs represent the1756ideal investment for this kind of catalytic seed capital--turning1757limited federal resources into lasting economic opportunity across1758Indian Country and beyond.1759 NCN and the nearly 100 Native CDFIs serving Indian Country call on1760Congress, the White House, the Office of Management and Budget, and the1761Treasury Department to continue its longstanding bipartisan support of1762Native CDFIs and the proven benefits they bring to Tribal Nations and1763communities by:17641765 considering convening an oversight hearing with OMB and1766 Treasury officials to examine the implications of the CDFI Fund1767 staffing reductions and assess their potential impact on low-1768 income Native and rural communities that rely on Native CDFIs;17691770 maintaining the $35 million funding level for the NACA1771 Program in the final FY 2026 Appropriations package and1772 ensuring the final FY 2026 Appropriations package includes1773 sufficient funding for the CDFI Fund to support adequate staff1774 to effectively administer the CDFI certification process and1775 distribute NACA Program awards in a timely fashion; and17761777 supporting inclusion of Amendment #3732--which features four1778 provisions designed to grow the work of CDFIs including the1779 expansion of the USDA 502 Native CDFI relending program--in the1780 final National Defense Authorization Act package.17811782Conclusion: Native CDFIs Represent a Practical Fulfillment of the1783 Federal Government's Trust and Treaty Obligations to Tribal1784 Nations1785 In closing, the United States fulfills its trust and treaty1786obligations to Tribal Nations in part through the provision of federal1787funding to Tribal Nations and Native organizations such as Native CDFIs1788that directly serve Tribal Nations and their citizens. The CDFI Fund1789and the NACA Program are not handouts--they are a practical fulfillment1790of those trust and treaty obligations, ensuring Native people have the1791same access to financial and economic opportunities as all other1792Americans. Native CDFIs are among the most efficient and impactful1793financial institutions in the nation, stretching limited resources to1794drive economic growth in some of the country's most economically1795distressed communities, especially across rural America (the vast1796majority of Native CDFIs are based in and serve rural communities).1797They deserve the continued support of the federal government so they1798can continue their vital work, which can only happen if the action of1799October 10, 2025 and its overall plan to abolish the CDFI Fund are1800reversed.1801 NCN and Native CDFIs remain committed to working collaboratively1802with all branches of the federal government to achieve this goal and1803ensure that Native CDFIs can continue to catalyze economic and1804community development and growth across Indian Country. Thank you.1805 ENDNOTES1806 1 Federal Reserve Bank of Philadelphia, U.S. Bank Branch Closures1807and Banking Deserts, February 2024, p. 91808 https://www.philadelphiafed.org/-/media/FRBP/Assets/Community-1809Development/Reports/Banking-Deserts-1810Report-Feb-2024.pdf.1811 2 Center for Indian Country Development, Understanding the Native1812CDFI landscape: A Center for Indian Country Development survey1813quantifies the shared practices and distinctive characteristics of1814Native Community Development Financial Institutions, Federal Reserve1815Bank of Minneapolis, September 4, 2025 https://www.minneapolisfed.org/1816article/2025/understanding-the-native-cdfi-landscape#:-1817:text=Experience.,average%20size%20of%20$5.7%20million.1818 3 CDFI Fund, ``Native Initiatives'' webpage https://1819www.cdfifund.gov/programs-training/programs/native-initiatives.1820 4 CDFI Fund, CDFI Fund's Native Initiatives Fact Sheet: Fostering1821Economic Self-Determination for Your Native Community (Updated),1822February 2020 https://www.cdfifund.gov/sites/cdfi/files/documents/1823cdfi7205_fs_ni_updatedfeb20.pdf.1824 5 Board of Governors of the Federal Reserve, Lael Brainerd.1825Modernizing and Strengthening CRA Regulations: A Conversation with the1826National Congress of American Indians, November 10, 2020. https://1827www.bis.org/review/r201111b.pdf (via webcast).1828 6 Federal Reserve Bank of Philadelphia, U.S. Bank Branch Closures1829and Banking Deserts, February 2024, p. 9 https://1830www.philadelphiafed.org/-/media/FRBP/Assets/Community-Development/1831Reports/Banking-Deserts-1832Report-Feb-2024.pdf.1833 7 Native Nations Institute. Access to Capital and Credit in Native1834Communities. Tucson, AZ: Native Nations Institute, 2016, p. 94 http://1835nni.arizona.edu/application/files/8214/6378/9056/1836Access_to_Capital_and_Credit_in_Native_Communities.pdf, accessed August18371, 2022); citing Native CDFI Network, ``Community Reinvestment Act:1838Interagency Questions and Answers Regarding Community Reinvestment,''1839May 17, 2013.1840 8 Laura Cattaneo and Donna Feir, The Higher Price of Mortgage1841Financing for Native Americans, Working Paper Series No. 1906, Federal1842Reserve Bank of Minneapolis, September 17, 2019, p. 1 https://1843www.minneapolisfed.org/-/media/assets/papers/cicdwp/2019/cicd-wp-1844201906.pdf).1845 9 National Community Reinvestment Coalition, Redlining the1846Reservation: The Brutal Cost of Financial Services Inaccessibility in1847Native Communities, December 2023, p. 5 https://ncrc.org/redlining-the-1848reservation-the-brutal-cost-of-financial-services-inaccessibility-in-1849native-communities/.1850 10 CDFI Fund, Financing Native Leaders for Tomorrow: Native1851Initiatives Strategic Plan FY 2009-2014, 2008, p. 3 https://1852www.cdfifund.gov/sites/cdfi/files/documents/native-american-strategic-1853plan.pdf.1854 11 Ibid.1855 12 CDFI Fund, Native American CDFI Assistance Program Award Book FY18562024, p. 1 https://www.cdfifund.gov/system/files/2024-11/1857NACA_Program_FY_2024_Award_Book_Final.pdf.1858 13 Center for Indian Country Development, ``Understanding the1859Native CDFI landscape,'' Federal Reserve Bank of Minneapolis, September18602025 https://www.minneapolisfed.org/article/2025/understanding-the-1861native-cdfi-landscape.1862 14 Center for Indian Country Development, ``Native CDFIs improve1863credit outcomes for Indian Country residents,'' Federal Reserve Bank of1864Minneapolis, April 28, 2021 https://www.minneapolisfed.org/article/18652021/native-cdfis-improve-credit-outcomes-for-indian-1866country-residents.1867 15 Native CDFI Network, NCN Joint Letter to Congress Supporting1868Tribal Rural Housing Access Act, May 13, 2024, p. 2 Joint-Indian-1869Country-Letter-Supporting-Tribal-Rural-Housing-Access-Act-FINAL-5-13-187024.pdf.1871 16 Treasury Secretary Janet Yellen (Native CDFI Network (NCN),1872Native CDFIs: Stepping Up to Serve Indian Country Through the Pandemic1873and Beyond, Native CDFI Network, July 2021, p. 1 https://1874nativecdfi.net/wp-content/uploads/2021/09/NCN-Pandemic-Report.pdf.1875 17 America's Credit Unions, ``STATEMENT from America's Credit1876Unions on Secretary Bessent's Clarification on the CDFI Fund,'' March187718, 20251878https://www.americascreditunions.org/news-media/press-release/1879statement-americas-credit-unions-secretary-bessents-clarification-1880cdfi#:-:text=1881The%20CDFI%20Fund%20has%20demonstrated,practices%20and%20effective1882%20risk%20management.1883 18 NCN, NCN Market Demand Study, April 2024.1884 19 CDFI Fund, Native American CDFI Assistance Program Award Book FY18852024, 20241886 https://www.cdfifund.gov/media/8016696/download?inline, accessed1887January 24, 2025).1888 20 Federal Reserve Governor Michael S. Barr, October 22, 2025 (Nora1889Macaluso, ``Fed's Barr, in speeches, notes benefits of CDFIs,1890`Bank On' program,'' VitalLaw, October 23, 20251891 https://www.vitallaw.com/news/community-development-fed-s-barr-in-1892speeches-notes-benefits-of-cdfis-bank-on-program/1893blw01bc940240c8d74e08b83ba5d1fcb7b76f?refURL1894=https%3A%2F%2Fwww.google.com%2F#).18951896 Attachment18971898 October 23, 20251899Hon. Scott Bessent,1900Secretary of the Treasury,1901U.S. Department of the Treasury,1902Washington, D.C.19031904Hon. Russell Vought,1905Director,1906The Office of Management and Budget,1907Washington, D.C.19081909Dear Secretary Bessent and Director Vought,19101911 We write to affirm our continued support for the Community1912Development Financial Institutions (CDFI) Fund and the role it plays in1913supporting our shared goal of creating economic prosperity throughout1914the country. The Trump Administration has made bringing down the cost1915of housing, growing small businesses, and driving economic opportunity1916for all Americans key pillars of its agenda. We strongly urge the1917Administration to continue carrying out the statutory obligations of1918the CDFI Fund that are essential to ensuring private investments reach1919our states and districts.1920 CDFIs play an important role in supporting economic development in1921rural, tribal and other underserved communities in our states. They1922enhance the viability of community development projects, especially in1923rural areas, by offering flexible financing tools such as longer loan1924terms and interest-only repayment periods. Since its inception over 301925years ago, the CDFI Fund has awarded more than $7.4 billion to CDFIs,1926community development organizations, and financial institutions through1927its funding programs, allocated $76 billion in tax credits through the1928New Markets Tax Credit Program (NMTC), and guaranteed nearly $2.51929billion in bonds through the CDFI Bond Guarantee Program. It is unclear1930how these programs will continue to operate if the CDFI Fund's1931obligations cease to function.1932 President Trump's first Administration worked with Congress to make1933historic investments into the CDFI community. Additionally, we have1934worked with the Trump Administration to improve the programs1935administered by the Fund. The President's signature legislation, the1936One Big Beautiful Bill Act (OBBBA), made the NMTC permanent at $51937billion in annual allocation authority. Over the duration of the tax1938credit, NMTC has created over one million jobs, disproportionately in1939rural America. Most recently, the Senate-passed Fiscal Year 20261940National Defense Authorization Act includes language to improve1941transparency at the Fund and establish a secondary market to enable1942CDFIs to get more capital to small businesses.1943 The CDFIs and developers who rely on a functioning CDFI Fund are1944essential to expanding our nation's housing supply. Not only are CDFIs1945key drivers of development and preservation of affordable housing, but1946the Capital Magnet Fund (CMF) is a tool used by the CDFI Fund to scale1947housing investments to build new housing and bring down housing costs.1948CMF dollars often pair with the Low-Income Housing Tax Credit (LIHTC),1949which the OBBBA permanently expanded and strengthened. Stable delivery1950of CMF dollars will help LIHTC meet its full potential in addressing1951our nation's housing shortage and improving housing affordability for1952everyday Americans.1953 While we understand difficult decisions must be made amid the1954ongoing Democratic government shutdown and our nation's unsustainable1955fiscal trajectory, eliminating all work done by the CDFI Fund will1956negatively impact our economy long-term. We stand ready to work with1957the Administration to make additional improvements at the Fund to1958ensure it fulfills its purpose of serving communities left behind by1959the federal government and the traditional finance sector. Thank you1960for your consideration of our request. We look forward to your reply.19611962 Sincerely,19631964 Mike Crapo, U.S. Senator; Young Kim, Member of Congress; Susan1965 M. Collins, U.S. Senator; Tom Cole, Member of Congress; Tom1966 Cotton, U.S. Senator; Steve Daines, U.S. Senator; Tim Scott,1967 U.S. Senator; Bill Cassidy, M.D., U.S. Senator; Bill Huizenga,1968 Member of Congress; Mike Flood, Member of Congress; Cindy Hyde-1969 Smith, U.S. Senator; Trent Kelly, Member of Congress; Roger F.1970 Wicker, U.S. Senator; David G. Valadao, Member of Congress;1971 Todd Young, U.S. Senator; Nicholas A. Langworthy, Member of1972 Congress; Steve Womack, Member of Congress; Nathaniel Moran,1973 Member of Congress; Eric A. ``Rick'' Crawford, Member of1974 Congress; David P. Joyce, Member of Congress; Lisa Murkowski,1975 U.S. Senator; Mike Ezell, Member of Congress; James C. Justice,1976 U.S. Senator; Claudia Tenney, Member of Congress; M. Michael1977 Rounds, U.S. Senator; John R. Moolenaar, Member of Congress;1978 Tim Sheehy, U.S. Senator; Brian K. Fitzpatrick, Member of1979 Congress; John Hoeven, U.S. Senator; Michael V. Lawler, Member1980 of Congress; Thom Tillis, U.S. Senator; Troy Downing, Member of1981 Congress; Kevin Cramer, U.S. Senator; Pete Sessions, Member of1982 Congress; Deb Fischer, U.S. Senator; Andrew R. Garbarino,1983 Member of Congress; Katie Boyd Britt, U.S. Senator; Earl L.1984 ``Buddy'' Carter, Member of Congress; James E. Risch, U.S.1985 Senator; Chuck Edwards, Member of Congress; Mitch McConnell,1986 U.S. Senator; Michelle Fischbach, Member of Congress; David H.1987 McCormick, U.S. Senator; Bruce Westerman, Member of Congress;1988 John Cornyn, U.S. Senator; Mariannette J. Miller-Meeks, M.D.,1989 Member of Congress; Dan Sullivan, U.S. Senator; Michael Guest,1990 Member of Congress; Jerry Moran, U.S. Senator; Tim Moore,1991 Member of Congress; Blake D. Moore, Member of Congress; Jeff1992 Hurd, Member of Congress; Nicole Malliotakis, Member of1993 Congress; Rob Bresnahan, Jr., Member of Congress; Don Bacon,1994 Member of Congress; Brad Finstad, Member of Congress; Lloyd1995 Smucker, Member of Congress; Ryan K. Zinke, Member of Congress;1996 Jack Bergman, Member of Congress; Dusty Johnson, Member of1997 Congress; Pete Stauber, Member of Congress; Juan Ciscomani,1998 Member of Congress; Marlin A. Stutzman, Member of Congress;1999 Mark Alford, Member of Congress; Charles E. Grassley, U.S.2000 Senator; Mar!a E. Salazar, Member of Congress; Doug LaMalfa,2001 Member of Congress; Harold Rogers, Member of Congress; Robert2002 B. Aderholt, Member of Congress; Max L. Miller, Member of2003 Congress; Michael R. Turner, Member of Congress; Mike Collins,2004 Member of Congress; Ashley Hinson, Member of Congress; Zach2005 Nunn, Member of Congress; Bryan Steil, Member of Congress; Mike2006 Carey, Member of Congress; Monica De La Cruz, Member of2007 Congress; Mario Diaz-Balart, Member of Congress; Rich2008 McCormick, MD, MBA, Member of Congress; Ryan Mackenzie, Member2009 of Congress; Mike Rogers, Member of Congress; Pete Ricketts,2010 U.S. Senator; Elise M. Stefanik, Member of Congress; Scott2011 DesJarlais, M.D., Member of Congress; John H. Rutherford,2012 Member of Congress; David Kustoff, Member of Congress; Randy2013 Feenstra, Member of Congress; Nicholas J. Begich III,2014 Congressman for All Alaska; Carol D. Miller, Member of2015 Congress; Pat Harrigan, Member of Congress; Jefferson Shreve,2016 Member of Congress; Thomas H. Kean, Jr., Member of Congress;2017 Dale W. Strong, Member of Congress; Gabe Evans, Member of2018 Congress; Vern Buchanan, Member of Congress; Michael K.2019 Simpson, Member of Congress; Addison P. McDowell, Member of2020 Congress; Derek Schmidt, Member of Congress; John Rose, Member2021 of Congress; Adrian Smith, Member of Congress; Cliff Bentz,2022 Member of Congress; Erin Houchin, Member of Congress; Rudy2023 Yakym III, Member of Congress; Darin LaHood, Member of2024 Congress; Russ Fulcher, Member of Congress.20252026 The Chairman. Thank you, Mr. Upton.2027 We will finally hear from Mr. Locklear. Welcome.20282029 STATEMENT OF ANTHONY LOCKLEAR, II., TRIBAL MEMBER, LUMBEE2030 TRIBE; CEO, NATIONAL INDIAN HEALTH BOARD20312032 Mr. Locklear. Chairwoman Murkowski, Vice Chairman Schatz2033and members of the Committee, on behalf of NIHB and the 5742034federally-recognized tribal nations we serve, thank you for2035this opportunity to testify.2036 My name is A.C. Locklear. I am a member of the Lumbee Tribe2037of North Carolina, and serve as the Chief Executive Officer for2038the National Indian Health Board, the only national tribally-2039led organization dedicated to advancing the health of all2040tribal nations.2041 For more than 50 years, NIHB has worked to ensure that the2042United States meets its trust and treaty obligations to tribal2043nations, obligations affirmed in law that do not stop during2044government shutdowns.2045 While IHS plays a central role, the duty to provide for the2046health and well-being of American Indians and Alaska Natives2047extends across all of HHS. According to OMB's 2024 Native2048American funding crosscut, HHS administers over $12 billion in2049Native related funding.2050 Yet HHS still lacks comprehensive department-wide crosscut2051on how these dollars and others reach tribal communities.2052Without it, it is difficult to show how RIFs and the shutdown2053disrupt services. Every day, the ITU system, including Federal,2054tribal and urban programs, relies on Federal appropriations to2055pay staff, keep clinics open and provide lifesaving care. When2056that funding stops, even briefly, the impact is immediate and2057severe.2058 Before advance appropriations, IHS was the only Federal2059health care agency without funding during shutdowns. Clinics2060reduced critical services, providers went unpaid, and tribes2061relied on emergency funds, even facing credit downgrades and2062real world impacts. In one tribal community, the inability to2063sustain operations led to the loss of 10 community members'2064lives.2065 Thanks to Congressional action and this Committee's2066leadership, IHS continues full operations during this shutdown.2067No closures, no furloughs, no missed payments.2068 When severe storms struck western Alaska earlier this2069month, the Yukon-Kuskokwim Health Corporation responded2070immediately because it was funded. That is what stability looks2071like in action.2072 But gaps remain. Roughly $1.3 billion across six IHS2073accounts are not covered by advance appropriations. For now,2074IHS is covering those costs while also ensuring that2075commissioned Corps officers in tribal facilities continue to2076receive pay. But that stop-gap is unsustainable.2077 Similarly, the Special Diabetes Program for Indians is also2078affected. As the Nation's most effective initiative for2079combatting diabetes in Indian Country, SDPI is responsible for2080a 84 percent drop in uncontrolled diabetes-related2081hospitalizations, and estimates show it saved IHS between $1742082million and $520 million in health care costs.2083 SDPI has had only minimal increases in recent years and2084lacks stable multi-year funding. This shutdown puts the program2085in jeopardy, forcing IHS to rely on unobligated balances to2086keep it running.2087 NIHB strongly supports the permanent reauthorization of2088SDPI in no less than $20 million annually with automatic2089funding increases. Programs like SDPI prove that predictable2090and advance funding improves program outcomes, extends lives,2091and upholds the Federal trust responsibility.2092 Advance appropriations work. Now every tribal health2093program must be protected so tribes never face a lapse in care.2094Additionally, workforce reductions are eroding capacity across2095HHS. We are grateful that Secretary Kennedy is protecting IHS2096and Tribal Affairs staff from the deepest cuts. Still, IHS and2097other health program staff are not fully exempt from hiring2098freezes and workforce impacts.2099 The Voluntary Early Retirement Authority saw IHS lose over21001,000 employees through retirement attrition. Since then, over2101500 positions have been filled, while the agency faces the2102lowest offer acceptance rate in its history and a 30 percent2103overall vacancy rate. Forty-three percent of IHS facilities are2104so thinly staffed that losing just one physician could force2105closure. These losses translate into preventable deaths in2106tribal communities.2107 Across the rest of HHS, RIFs and hiring freezes have2108further reduced workforce that tribes rely on for grant2109management and critical technical assistance. At the2110Administration for Community Living, regional administrators2111who once served as direct points of contact for tribes were2112eliminated earlier this year, leaving tribal programs2113navigating this complex system on their own.2114 Shutdowns and RIFs are not just fiscal events. They2115directly weaken the government's capacity to meet its trust and2116treaty obligations.2117 As Native communities confront the Nation's most severe2118health disparities, we need to strengthen, not weaken, the2119Federal health infrastructure that underpins tribal self-2120determination and the well-being of our people. We must extend2121protections to all IHS accounts, rebuild the workforce,2122permanently reauthorize SDPI, and improve coordination across2123HHS through a true crosscut of tribal health funding.2124 Our sovereignty does not shut down. The Federal trust2125responsibility cannot be reduced in force.2126 Thank you, and I welcome any questions you may have.2127 [The prepared statement of Mr. Locklear follows:]21282129 Prepared Statement of Anthony Locklear, II., Tribal Member, Lumbee2130 Tribe; CEO, National Indian Health Board2131 Chairwoman Murkowski, Vice Chairman Schatz, and distinguished2132members of the Committee, on behalf of the National Indian Health Board2133(NIHB) and the 574+ sovereign federally recognized American Indian and2134Alaska Native Tribal Nations we serve, thank you for this opportunity2135to provide testimony on the Impacts of Government Shutdowns and Agency2136Reductions in Force on Native Communities. This partial government2137shutdown is not an administrative inconvenience for Native communities2138and the health-related services on which they rely. It is a direct test2139of the United States' ability to uphold its trust and treaty2140responsibilities to Tribal Nations. Every shutdown, every delay, and2141every reduction in the federal workforce has real and lasting2142consequences for Native communities. Consequences that are even more2143dire for our communities and Tribes because of the historical2144underfunding faced by Indian Tribes and the Indian health system, and2145are compounded by the unique and varying needs of Indian Tribes. My2146name is A.C. Locklear. I am a member of the Lumbee Tribe of North2147Carolina and serve as the Chief Executive Officer for the National2148Indian Health Board (NIHB).2149 Founded in 1972, the National Indian Health Board (NIHB) is the2150only national Tribal organization solely dedicated to advocating for2151the health and public health of all 574 federally recognized American2152Indian and Alaska Native Tribal Nations. Governed by a Board of2153Directors representing each of the twelve Indian Health Service Areas,2154NIHB serves as the unified voice of Tribal governments to reinforce2155Tribal sovereignty, strengthen Tribal health systems, secure resources,2156and build capacity to achieve the highest level of health and well-2157being for our People.2158Trust and Treaty Obligation2159 Tribal Nations have a unique legal and political relationship with2160the United States. Over the course of a century, sovereign Tribal2161Nations and the United States entered more than 300 Treaties that2162required the federal government to assume specific, enduring, and2163legally enforceable fiduciary obligations to the Tribes. Through its2164acquisition of land and resources, the United States formed a fiduciary2165relationship with Tribal Nations, recognizing a trust relationship to2166safeguard Tribal rights, lands, and resources. \1\ In fulfillment of2167this Tribal trust relationship, the United States ``charged itself with2168moral obligations of the highest responsibility and trust'' toward2169Tribal nations. \2\ Congress affirmed this duty through the Indian2170Health Care Improvement Act (IHCIA), \3\ declaring it the policy of the2171United States ``to ensure the highest possible health status for2172Indians and to provide all resources necessary to effect that policy.''2173---------------------------------------------------------------------------2174 \1\ Worcester v. Georgia, 31 U.S. 515 (1832).2175 \2\ Seminole Nation v. United States, 316 U.S. 286, 296-97 (1942).2176 \3\ 25 U.S.C. 16022177---------------------------------------------------------------------------2178 In 1955, in partial fulfillment of its constitutional obligations,2179Congress established the Indian Health Service (IHS), one of three2180entities that comprise the Indian health system. The Indian health2181system is a three-part network that includes federally operated,2182Tribally operated, and urban Indian health programs, often referred to2183collectively as the ``I/T/U system.'' Today, the Indian health system2184includes 43 Indian hospitals (51 percent of which are Tribally2185operated) and 650 Indian health centers, clinics, and health stations2186(86 percent of which are Tribally operated). \4\ Federally operated IHS2187hospitals range in size from six to 133 beds and are open 24 hours a2188day for emergency care. IHS-operated facilities offer a range of care,2189including primary care, pharmacy, laboratory, and x-ray services.2190However, when specialized services are not available at these sites,2191health services are purchased from public and private providers through2192the IHS-funded purchased/referred care (PRC) program. Additionally, 412193urban Indian programs offer services ranging from community health to2194comprehensive primary care.2195---------------------------------------------------------------------------2196 \4\ Indian Health Service. (2024). The Indian Health Care System--2197Fact Sheet. Retrieved from: https://www.ihs.gov/sites/newsroom/themes/2198responsive2017/display_objects/documents/factsheets/IHSProfile.pdf2199---------------------------------------------------------------------------2200 Tribally operated facilities are managed by sovereign Tribal2201Nations through self-determination contracts and self-governance2202compacts authorized under the Indian Self-Determination and Education2203Assistance Act (ISDEAA). These Tribal health systems now deliver most2204care across Indian Country, managing hospitals, clinics, behavioral2205health centers, and public health departments. These entities are2206indistinguishable from their federal counterparts in scope and2207professionalism despite being funded primarily through IHS2208appropriations and third-party reimbursements. Urban Indian2209organizations (UIOs), authorized under Title V of the IHCIA, extend2210culturally grounded care to the American Indian and Alaska Native2211people who live in urban areas. Together, the I/T/U system forms the2212backbone of health care delivery for Native people. Each of the three2213components is essential, and each is dependent on predictable,2214equitable federal funding.2215 The federal obligation to provide health care to American Indians2216and Alaska Natives extends beyond the IHS. Congress and the courts have2217consistently affirmed that the federal trust responsibility encompasses2218all programs that affect the health and welfare of Tribal Nations, not2219only those that carry the word ``Indian'' in their title. Accordingly,2220the U.S. Department of Health and Human Services (HHS), through its2221various agencies and offices, shares in this duty. Each HHS division2222that funds, regulates, or delivers health, and public health, services2223to Tribal communities is acting in furtherance of that same trust and2224treaty responsibility.2225 While IHS serves as the primary federal agency charged with2226delivering direct health services to Tribes, the broader HHS plays an2227equally vital role in upholding the federal trust and treaty2228responsibility for Indian health. Programs housed across HHS agencies,2229such as the Health Resources and Services Administration's (HRSA)2230maternal and child health grants, the Substance Abuse and Mental Health2231Services Administration's (SAMSHA) behavioral health and substance-use2232prevention initiatives, the Centers for Disease Control and2233Prevention's (CDC) Tribal public health infrastructure and disease2234prevention programs, the Centers for Medicare and Medicaid Services'2235(CMS) administration of Medicaid and Medicare, as well as the2236Administration for Children and Families' (ACF) long term supports and2237service programs, and the Administration for Community Living's (ACL)2238Native American Caregivers Support program, all provide essential2239support to Tribal governments and health systems as part of the federal2240government's trust responsibility. These investments strengthen the2241economies and health of Native communities by funding providers,2242expanding behavioral health capacity, supporting workforce development,2243and ensuring public health preparedness.2244 When coordinated effectively, these HHS programs act in concert2245with IHS to fulfill the United States' fiduciary responsibility to2246provide for the health and well-being of Tribal Nations. Ensuring their2247stability through consistent appropriations and dedicated Tribal2248engagement is therefore not only good public health policy, but also a2249continuation of the federal government's enduring legal and moral2250commitments to the first peoples of this nation. Although we know that2251Tribal health funding streams reach far beyond the Indian health2252system, it is often difficult to properly document and track the2253totality of Tribal health funding and the shortfalls without a proper2254Office of Management and Budget annual funding report, commonly2255referred to as a ``crosscut.'' When funding streams are not clearly2256identified, it becomes difficult to link financial resources to health-2257data infrastructure, staffing, or surveillance capacity in Tribal2258communities. Without a clear funding map, Tribal public health systems2259are under-resourced in staffing, data systems, or IT infrastructure2260because the link between funding and capability isn't visible. Without2261a clear funding map, Tribal public health systems may be under-2262resourced in staffing, data systems, or IT infrastructure because the2263link between funding and capability isn't visible.2264The Indian Health Service Funding2265 This year, IHS will celebrate its 70th anniversary. However, at no2266point in the 70 years has Congress fully funded the agency at the level2267of need. Although NIHB is glad Congress has provided nominal increases2268to the IHS each year, these increases are insufficient to keep up with2269rising medical and non-medical inflation, population growth, and often2270geographically isolated communities that increase facility maintenance2271costs and other expenses. The result is that, year after year, the2272Indian health system is unable to make meaningful improvements in2273reducing the significant health disparities experienced by American2274Indian/Alaska Native (AI/AN) Peoples.2275 Year after year, the federal government has failed Native2276communities by drastically underfunding the IHS far below the2277demonstrated need. According to the IHS National Tribal Budget2278Formulation Workgroup, IHS appropriations must reach $73 billion in FY22792027 to fully meet the current health needs. This amount includes full2280estimates for all services, facilities, and improvements needed to2281bring the Indian health system up to the same standards as the general2282U.S. population. In contrast, the FY 2024 enacted amount for IHS was2283$7.22 billion. Similarly, in 2023, IHS spending on medical care per2284user was only $4,078, while the national average was $13,493. However,2285some IHS areas and Tribes are not even funded at the IHS national2286average of $4,078 per user. This is despite years of statements to this2287effect from NIHB and Tribes across the country. In 2018, the U.S.2288Commission on Civil Rights found that, ``Federal funding for Native2289American programs across the government remains grossly inadequate to2290meet the most basic needs the federal government is obligated to2291provide. Native American program budgets generally remain a barely2292perceptible and decreasing percentage of agency budgets.'' \5\2293---------------------------------------------------------------------------2294 \5\ U.S. Commission on Civil Rights. ``Broken Promises: Continuing2295Federal Funding Shortfall for Native Americans.'' December 2018.2296Available at: https://www.usccr.gov/files/pubs/2018/12-20-Broken-2297Promises.pdf2298---------------------------------------------------------------------------2299 Meanwhile, in FY 2024, IHS accounts were reduced to make room for2300growing Contract Support Costs (CSC) and Section 105(l) Lease Payments.2301With an already dramatically underfunded health system and the rising2302costs of providing health care nationwide, there is little room to2303crimp to accommodate these costs. The accounts that bore the brunt were2304the facilities and the electronic health record line items. This, of2305course, is compounded by years of sub-inflationary budget increases the2306agency has weathered, further diminishing IHS' purchasing power.2307 According to the IHS and Tribal Health Care Facilities' Needs2308Assessment Report to Congress, the need for facilities funding remains2309enormous. In 1992, the IHS established its current new construction2310priority list. Over 30 years later, of the original 27 facilities on2311the list, seven remain to be fully funded. IHS hospitals now average 392312years of age, more than three times the average age of U.S. not-for-2313profit hospitals (11.5 years). Aging facilities risk code non-2314compliance, lower productivity, and compromises for healthcare2315services. At the existing replacement rate, a new 2026 facility would2316not be replaced for 290 years.2317 IHS exists to serve the health care needs of AI/ANs. However, as a2318direct result of the continued underfunding of IHS, quality and2319comprehensive health services remain inaccessible across many Tribal2320communities. In 2023, the CDC reported that the life expectancy for AI/2321ANs declined by nearly seven years, to 65.2 years, the same as the2322total U.S. population in 1944. This difference is 11.2 years fewer than2323the life expectancy of 76.4 years for the non-Hispanic white2324population.2325 AI/ANs experience some of the worst health outcomes in the United2326States and are dramatically poorer compared with the rest of the U.S.2327population. Additionally, AI/ANs continue to experience historical2328trauma from damaging federal policies, including those from the2329boarding school era and the forced removal from Tribal lands, as well2330as continuing threats to culture, language, and access to traditional2331foods. These compounding events along with chronic underfunding and2332access in Native communities have resulted in AI/AN populations2333experiencing high rates of poverty, high unemployment rates, barriers2334to accessing higher education, poor housing, lack of transportation,2335geographic isolation, and insufficient economic mobility, which2336contribute to poor health outcomes. Historic and persistent2337underfunding of the Indian health system has resulted in problems with2338access to care and has limited the ability of the Indian health system2339to provide the full range of medications and services that could help2340prevent or reduce the complications of chronic diseases.2341Tribal Impacts of the 2025 Government Shutdown2342 A federal government shutdown, even a partial shutdown, brings2343immense stress and uncertainty for Tribal Nations and the programs that2344serve Native communities. The I/T/U system relies directly on federal2345appropriations to sustain its day-to-day operations and to deliver2346culturally grounded, lifesaving care to AI/ANs. When that flow of2347funding halts, even briefly, the impact reverberates through every2348level of care, from clinic payroll to medication access to preventive2349health outreach.2350 While the 2025 shutdown has demonstrated progress for the Indian2351health system due to the availability of advance appropriations,2352persistent vulnerabilities remain. Through funding enacted in FY 2025,2353IHS clinical services and most operational accounts critical for front-2354line support remain funded, ensuring that hospitals, clinics, and2355pharmacies are open and care continues uninterrupted. This stability2356represents a historic success for Tribal advocacy and proves that2357advance appropriations work. This success should serve as a model for2358all federal programs serving Indian Country.2359Vulnerable Tribal Health Funding Streams2360 However, not every IHS account was protected. Several key funding2361lines, including the Facilities Construction, Sanitation Facilities2362Construction, the Indian Health Care Improvement Act Fund, Electronic2363Health Records, Contract Support Costs (CSC), and Section 105(l) lease2364payments. These combined accounts represent more than $1.3 billion of2365IHS' FY 2025 budget, including approximately $979 million for CSC and2366$349 million for 105(l) leases. \6\ These resources are essential for2367sustaining the infrastructure and operations that make healthcare2368delivery possible: maintaining safe water systems, repairing aging2369facilities, funding administrative costs for Tribally operated2370programs, and reimbursing lease obligations required under self-2371governance compacts. When funding for these lines lapses, Tribes face2372construction delays, halted sanitation projects, deferred maintenance,2373and gaps in lease payments that threaten operational stability. These2374shortfalls demonstrate that even within IHS, advance appropriations2375must be expanded to cover the full range of accounts that uphold2376patient safety, facility integrity, and Tribal self-determination.2377---------------------------------------------------------------------------2378 \6\ Continuing Appropriations and Extensions Act, H.R. 9747, 118th2379Cong. (2024)2380---------------------------------------------------------------------------2381 The shutdown has also exposed vulnerabilities across other federal2382health agencies. HRSA and SAMHSA funds were delayed, jeopardizing2383behavioral health programs, maternal health initiatives, and suicide2384prevention services. The CDC and Environment Protection Agency (EPA)2385programs that fund Tribal public health infrastructure, environmental2386safety, and clean water projects were paused or slowed, disrupting2387vital community health operations. When their functions pause, the2388effects are immediate.2389Supplemental Nutrition Assistance Program2390 The shutdown has also disrupted nutrition security, which is2391inseparable from health in Indian Country. The Supplemental Nutrition2392Assistance Program (SNAP) provides vital food assistance to roughly2393170,000 to 500,000 Tribal citizens, including many who live outside2394areas eligible for the Food Distribution Program on Indian Reservations2395(FDPIR). With one in four Tribal citizens experiencing food insecurity,2396any lapse in SNAP benefits would devastate families and deepen existing2397health disparities. According to the U.S. Department of Agriculture2398(USDA), SNAP funding will expire on October 31, 2025, without2399congressional action. To prevent this, Senator Josh Hawley (R-MO)2400introduced the Keep SNAP Funded Act of 2025 (S. 3024), which would2401extend flat funding for FY 2026 and restore any missed payments2402retroactively. NIHB strongly supports this legislation and urges swift2403action to ensure uninterrupted benefits. Food security is health2404security, and ensuring stable access to SNAP is an essential part of2405the federal government's trust responsibility and treaty obligations to2406Tribal Nations.2407The Special Diabetes Program for Indians2408 One of the most visible examples of how funding instability harms2409Tribal health is the Special Diabetes Program for Indians (SDPI).2410Established by Congress in 1997, SDPI remains the nation's most2411effective federal initiative for combating diabetes in Indian Country.2412Over nearly three decades, SDPI has achieved a 54 percent reduction in2413end-stage renal disease and a 50 percent decline in diabetic eye2414disease among American Indian and Alaska Native adults. \7\ From 20002415to 2015, hospitalizations for uncontrolled diabetes among AI/AN adults2416dropped 84 percent, due in large part to SDPI innovative initiatives.2417\8\ The program has also generated major federal savings, including2418saving Medicare an estimated $52 million per year and reducing broader2419HHS healthcare costs by $174-$520 million annually. \9\2420---------------------------------------------------------------------------2421 \7\ Indian Health Service. 2024 IHS Diabetes Care and Outcome Audit2422Results, available at https://www.ihs.gov/sites/sdpi/themes/2423responsive2017/display_objects/documents/factsheets/2424Audit2024FactSheet.pdf. Accessed on October 26, 2025.2425 \8\ Agency for Healthcare Research and Quality (AHRQ). Data2426Spotlight: Hospital admissions for uncontrolled diabetes improving2427among American Indians and Alaska Natives. AHRQ Publication No. 18(19)-24280033-7-EF. December 2018. https://www.ahrq.gov/sites/default/files/2429wysiwyg/research/findings/nhqrdr/dataspotlight-aian-diabetes.pdf.2430Accessed on October 27, 2025.2431 \9\ Department of Health and Human Service, The Special Diabetes2432Program for Indians: Estimates of Medicare Savings, ASPE Issue Brief,2433May 10, 2019, available at https://aspe.hhs.gov/sites/default/files/2434private/pdf/261741/SDPI_Paper_Final.pdf. Accessed on October 27, 2025.2435---------------------------------------------------------------------------2436 Despite its success, SDPI was flat-funded at $150 million for more2437than 20 years before finally receiving a modest increase to $1592438million in FY 2024 and 2025. However, the 2025 government shutdown has2439placed this critical program in jeopardy. As of October 1, 2025, the2440IHS has relied on unobligated balances to sustain operations2441temporarily. Lapses in funding, like the lapse created by this2442shutdown, and the ongoing cycle of temporary extensions and yearly2443renewals create significant uncertainty for the programs. Additionally,2444it leaves program administrators and participants in limbo. This2445instability makes it difficult for Tribal and urban Indian health2446programs to plan long-term strategies, retain skilled staff, and2447sustain vital diabetes prevention and treatment initiatives.2448 The NIHB strongly supports the permanent reauthorization of the2449SDPI at a minimum of $200 million annually, with automatic annual2450funding increases matched to the rate of medical inflation.2451Additionally, the NIHB supports amending the SDPI's authorizing2452statute, the Public Health Service Act, to permit Tribes and Tribal2453organizations to receive SDPI funds through self-determination and2454self-governance contracts and compacts. This change will establish the2455SDPI as an essential health service and remove the barriers of2456competitive grants, which do not honor the Trust and Treaty obligations2457to Tribal nations. Self-governance also removes unnecessary2458administrative burdens that leaves more funding available for direct2459patient care. Self-governance Supports Tribal sovereignty by2460transferring control of the program directly to Tribal governments.2461Success of Advance Appropriations for the Indian Health Service2462 For decades, the IHS was subject to the devastating impacts of2463government shutdowns. In 2022, after years of advocacy by Indian Tribes2464and NIHB, Congress provided the IHS with advance appropriations for the2465first time, ending its status as the only federal healthcare provider2466without advance funding.2467 The continuity of services and normal operations provided by2468advance appropriations at IHS during this shutdown reveals the critical2469need for advanced funding for the I/T/U system. Before the enactment of2470advance appropriations, the IHS was subject to the full impact of2471government shutdowns, disrupting all levels of care delivery. During2472the 35-day government shutdown in 2019, the IHS was the only federal2473healthcare entity without funding. While direct care services remained2474exempt, providers did not receive pay. In addition, administrative and2475technical staff responsible for scheduling patient visits, processing2476referrals, and managing health records were furloughed. Contracts with2477vendors for sanitation services and facilities upgrades went weeks2478without payment, prompting many Tribes to exhaust alternative resources2479to stay current on these bills. Many Tribes reported losing physicians2480to other hospitals and health systems unaffected by the shutdown. At2481the height of the budget instability, some Tribal governments were2482forced to reconcile their budgets up to 21 times in a single fiscal2483year due to successive short-term continuing resolutions, each lasting2484anywhere from a single day to several months. \10\ This constant2485uncertainty strained cash flow and, in some cases, triggered credit2486downgrades for Tribes financing critical health facilities.2487---------------------------------------------------------------------------2488 \10\ US Senate Permanent Subcommittee on Investigations. ``The True2489Cost of Government Shutdowns.'' February 2019. Available at: https://2490www.hsgac.senate.gov/wp-content/uploads/imo/media/doc/2019-09-249117%20PSI%20Staff%20Report%20-%20Government%20Shutdowns.pdf. Accessed on2492October 27, 2025.2493---------------------------------------------------------------------------2494 While it is impossible to measure the full scope of adversity2495brought on by the 35-day government shutdown, one reality remains2496clear: Indian Country was both unequivocally and disproportionately2497impacted. Through advance appropriations, the difference is clear.2498Advance appropriations have helped maintain stability during uncertain2499times. While Native communities are still affected, the IHS remains2500functional and responsive during the second-longest shutdown in US2501history. The IHS remains open thanks to the members of this Committee,2502as advance appropriations allow clinics to stay open, payroll to2503continue, and patients to receive care today. These advance funds have2504directly allowed IHS direct service facilities to maintain services and2505critical programs, while also planning for the future.2506 Advance appropriations also helped Tribal health systems respond to2507unexpected emergencies. On October 11, 2025, eleven days into the2508federal shutdown, Western Alaska was slammed by remnants of Typhoon2509Halong, which brought hurricane-force winds and life-threatening2510floods. In southwestern Alaska, the Yukon-Kuskokwim Health Corporation2511(YKHC) assisted in coordinating response efforts and aiding in the2512rescue mission. Initial reports from YKHC indicated that Tribal leaders2513requested that medical providers and prescription medications be2514provided to Kwigillingok, Kipnuk, Tuntutuliak, and Chefornak. YKHC2515immediately coordinated with medical teams to assist these remote2516locations. Through available funds, YKHC provided services for2517community members in need and funded other relief efforts.2518Impacts of the Reductions in Force2519 Ongoing RIFs, early retirements, and hiring freezes across the HHS2520have created serious instability for Tribal Nations and the federal2521programs that serve them. These are not abstract bureaucratic changes;2522they directly weaken the government's capacity to fulfill its trust and2523treaty obligations to Tribal Nations. Since early 2025, workforce2524reductions and hiring freezes within HHS, particularly at the IHS,2525HRSA, SAMHSA, and CDC, have significantly reduced the personnel2526supporting Tribal programs. The uncertainty surrounding these actions2527has devastated morale, driving experienced staff and clinicians to2528leave the Indian health system altogether.2529 The IHS already operates with severe shortages, including a 302530percent overall provider vacancy rate and a 36 percent physician2531vacancy rate. Many facilities are so thinly staffed that losing just2532one physician-level provider could force closure; 43 percent of IHS2533facilities would have to shut their doors if that occurred. These2534shortages are not new. A 2018 Government Accountability Office report2535found that IHS clinics often lack enough doctors and nurses to deliver2536timely, quality care. \11\ Staffing is not a bureaucratic detail--it is2537literally a matter of life and death in many Tribal communities.2538---------------------------------------------------------------------------2539 \11\ 3 U.S. Government Accountability Office, Indian Health2540Service: Agency Faces Ongoing Challenges Filling Provider Vacancies,2541GAO-18-580, published August 15, 2018, available at: https://2542www.gao.gov/products/gao-18-580, accessed on: January 27, 2025.2543---------------------------------------------------------------------------2544 When workforce reductions intersect with funding instability, it2545means lives are at risk. These losses of personnel and capacity2546translate into preventable deaths in Tribal communities, from2547precipitous births, cardiac events, untreated diabetes complications,2548and preventable suicides. We know these impacts because we have lived2549them. Before IHS had advance appropriations, during previous government2550shutdowns, members of our families died from exactly these kinds of2551emergencies.2552 The ripple effects extend throughout the IHS system. Area and2553Service Unit offices report bottlenecks in supply orders, personnel2554actions, and reimbursements for CSCs and Section 105(l) leases, forcing2555Tribes to deplete reserves or reduce services. As remaining staff2556shoulder impossible workloads, burnout and attrition accelerate. These2557reductions are especially damaging for Direct Service Tribes, who rely2558on IHS-operated care as an expression of sovereignty and trust2559responsibility. When federal staffing cuts eliminate positions or defer2560replacements, those Tribes are unfairly penalized, deprived of2561resources that would otherwise be available through self-governance2562contracts or compacts.2563 Beyond the clinical impact, RIFs have also eroded institutional2564knowledge and broken coordination and communication channels critical2565to Tribal consultation and intergovernmental collaboration. While NIHB2566appreciates Secretary Kennedy's efforts to protect Tribal Affairs2567offices, countless other federal staff--grant managers, liaisons, and2568technical assistance providers--play indispensable roles in connecting2569agencies to Tribal governments. Their departures have delayed grant2570awards, slowed decision-making, and disrupted key programs like HRSA's2571Rural Tribal Maternal Health Initiative, SAMHSA's Tribal Behavioral2572Health Grants, and CDC's various public health programs.2573Impacts on the Administration for Community Living2574 When the 2025 HHS reductions went into effect, Tribes lost the2575bridge between federal policy and community well-being. The Regional2576Administrators (RAs) within the Administration for Community Living and2577Administration on Aging served as the direct point of contact for all2578574 federally recognized Tribes. The RAs provided application guidance,2579training, and consistent support that enabled Tribal programs to2580connect resources with real people--ensuring Elders received meals,2581caregivers had help, and communities could prevent unnecessary2582institutional care. Their removal has left Tribal programs, especially2583smaller and under-resourced ones, to navigate complex systems alone.2584 The result is not administrative efficiency, but a loss of access2585to quality of life and positive healthcare outcomes, as Elders and2586people with disabilities are unable to receive meals, caregiving, and2587other community-based services that keep them independent in the places2588they call home. People who once remained safely in our communities are2589now at higher risk of institutional placement. The financial impact is2590significant considering the national average cost of nursing home care2591is $111,324 per year compared to $49,900 for home- and community-based2592care. \12\ When Tribes administer these programs, these costs are often2593reduced further yet the outcomes remain positive with reported high2594rates of care satisfaction.2595---------------------------------------------------------------------------2596 \12\ Genworth Financials Care Scout ``Cost of Care'' calculator,2597accessed at https://www.carescout.com/cost-of-care2598---------------------------------------------------------------------------2599 Title VI of the Older Americans Act remains the only federal2600funding stream dedicated exclusively to Tribal aging and disability2601services. Yet, only about half of Tribes are current grantees, and the2602absence of ACL technical assistance has made access increasingly2603fragile. These programs are vital--according to the National Resource2604Center on Native American Aging (NRCNAA), 42.5 percent of Elders rely2605on Title VI food programs for nutrition support \13\ or would otherwise2606go hungry.2607---------------------------------------------------------------------------2608 \13\ NRCNAA triennial survey of Title VI Elders, Cycle VII 2020-26092023, accessed at https://www.nrcnaa.org/assets/5727-27214/cycle-8-2610data-book.pdf2611---------------------------------------------------------------------------2612 Across Indian Country, more than 945,000 Elders age 60 and older2613now depend on these programs. The ``Baby Boomer'' generation's aging2614will triple the number of Elders 65 and older in the coming years.2615Among them, 36.7 percent report a disability, including Veterans with2616service-related disabilities. Locally administered, tribally operated2617programs remain the most efficient and fiscally responsible model.2618Every dollar invested in these home- and community-based services stays2619in the community, supports local jobs, and reduces downstream costs to2620Medicare and Medicaid. Yet coordination between ACL/AoA and Tribal2621health programs has been hindered by staff reductions that have slowed2622communication, impeded program operations, and increased administrative2623burdens.2624 To restore function and strengthen partnerships, the NIHB supports2625reinstating ACL/AoA Regional Administrators to restore technical2626assistance, training, and communication with Tribal grantees.2627Additionally, the NIHB recommends extending HHS deadlines for Tribal2628Title VI applications to prevent service interruptions and avoid more2629costly nursing-home spending, as well as engaging Tribal Leaders in2630consultation before any further changes to staff or programs impacting2631Native communities.2632Impacts on the Health Resources and Services Administration2633 HRSA's maternal health funding and corresponding programs provide2634critical public health funding to Tribal nations across the US.2635However, the current government shutdown and the resulting RIFs have2636exacerbated HRSA's inability to properly provide technical assistance2637to grantees, leaving many Tribal nations struggling to implement grant2638programs. For example, Healthy Start, the nation's longest-running2639federal program dedicated to infant and maternal health, has been2640severely disrupted, with major staffing and funding impacts. The2641Healthy Start initiative enrolls pregnant women, partners, and infants2642up to 18 months of age for care coordination, education, health2643referrals, and social supports. This is a critical program for Tribal2644nations as AI/AN mothers experience some of the highest maternal death2645rates in the US while also facing numerous barriers to accessing care.2646The chronic underfunding of the IHS and lack of care access across2647rural settings, leave many AI/AN mothers and infants in care deserts.2648 Additionally, administrative bottlenecks have also emerged within2649HRSA's regional offices, where staff reductions have limited the2650agency's ability to provide technical assistance and monitor grantee2651performance. Tribal programs that depend on HRSA's guidance, such as2652health workforce development and health clinic support, are now2653experiencing gaps in oversight, communication, and program evaluation.2654These disruptions have real consequences for Tribal populations. Fewer2655HRSA staff mean fewer resources to recruit and retain clinicians in2656shortage areas, less support for maternal and child health programs,2657and reduced capacity to respond to public health emergencies. For2658Tribal Nations that already face workforce shortages and infrastructure2659challenges, the cumulative effect is a decline in access to timely,2660quality care. Moreover, uncertainty surrounding future funding and2661staffing has weakened morale across HRSA's workforce. Experienced grant2662officers and program specialists have departed, taking with them years2663of institutional knowledge that are not easily replaced. This loss of2664expertise undermines HRSA's long-standing ability to provide technical2665assistance to Tribal Nations as Tribes seek to improve the health of2666their people.2667 Ultimately, the RIFs have triggered a crisis of confidence in the2668federal commitment to Indian Country. Every lost or unfilled position2669represents diminished capacity to uphold treaty and trust obligations.2670At a time when Native communities continue to experience some of the2671nation's most severe health disparities--from suicide and overdose to2672chronic disease--weakening the federal health infrastructure that2673supports them is not only short-sighted; it is a retreat from decades2674of bipartisan progress toward Tribal self-determination and improving2675the health and well-being of American Indian and Alaska Native people.2676Conclusion2677 Government shutdowns and reductions in force are not administrative2678inconveniences; they are breaches of the United States' trust and2679treaty obligations to Tribal Nations. Every time federal operations are2680halted, or federal positions are eliminated, it forces Tribal Nations2681to bear the cost of broken promises. According to the Senate Permanent2682Subcommittee on Investigations, the last three shutdowns alone cost the2683federal government $3.7 billion in back pay and at least $338 million2684in lost revenue, late fees, and administrative waste. Those figures2685capture not only the fiscal waste but the human cost to Indian Country2686is far greater.2687 When the federal government shuts down or sheds its workforce, the2688consequences are immediate. Clinics lose providers, programs lose2689oversight, and communities lose lifelines. The recent RIFs, early2690retirements, and hiring freezes across HHS and IHS have compounded this2691instability, hollowing out the very systems that sustain Tribal health2692and safety. In small, rural communities, the loss of even one provider,2693grant manager, or emergency responder can mean the difference between2694stability and crisis--or between life and death.2695 Even after funding is restored or staffing plans are rewritten, the2696damage lingers. The uncertainty erodes trust, drives away skilled2697staff, and disrupts essential services that cannot easily be restarted.2698The trust responsibility is not subject to political cycles or budget2699impasse--it is a binding and moral duty that must be honored in both2700policy and practice.2701 As Congress and the Administration work to restore stability to the2702federal budget and workforce, they must ensure that the federal2703commitment to Tribal Nations is protected from disruption. The federal2704government's trust and treaty obligations do not shut down, and they2705cannot be reduced in force. Tribal Nations deserve consistency,2706respect, and a government that keeps its word. Our sovereignty does not2707shut down. Our people cannot wait.2708 Thank you for your time, and for this opportunity to address the2709committee and answer your questions.27102711 Senator Schatz. [Presiding.] Thank you very much, and2712thanks to all the testifiers.2713 Senator Cortez Masto?27142715 STATEMENT OF HON. CATHERINE CORTEZ MASTO,2716 U.S. SENATOR FROM NEVADA27172718 Senator Cortez Masto. Thank you. Thank you all for being2719here.2720 Mr. Locklear, let me start with you. As we know, November27211st, funds for the Supplemental Nutrition Assistance Program,2722SNAP, will run out. For my tribe in Death Valley, the loss of2723SNAP funding means that 200 families, or 50 to 60 percent of2724their tribe, would lose access to essential food support.2725 In response, the tribe is preparing to rely on traditional2726practices, such as hunting elk to feed their members. It is2727important to highlight how serious of an issue this will2728become. This Saturday, tribes all across our Country will lose2729access to essential food services.2730 Mr. Locklear, can you specify what actions or emergency2731measures the Indian Health Board is planning to take to address2732the health impacts of the loss of SNAP support for our tribal2733communities?2734 Mr. Locklear. Sure, absolutely. We are working with our2735partners across Indian Country, including the Coalition for2736Tribal Sovereignty, to ensure that we are providing the most2737resources for tribes to understand what their options are2738during this time. There are tribes who are, as we mentioned2739earlier, who have already issued state of emergencies who are2740going to really access their own funding.2741 Ultimately, tribes are going to have to tap into their2742funding to provide for their resources for their people. That2743is funding that may run out, that they have on reserve.2744 Senator Cortez Masto. So can I ask you, let's talk2745specifically Death Valley. If they were to reach out to you,2746what would you tell them where they could go for assistance?2747 Mr. Locklear. I would probably coordinate, so in the2748National Indian Health Board, we work with our partners who2749work with SNAP. We don't directly work with SNAP at the2750National Indian Health Board.2751 Senator Cortez Masto. Right.2752 Mr. Locklear. But we do support those who do. We ultimately2753will help with any issues that come out of it related to health2754in any way that we can.2755 Senator Cortez Masto. And is that something you obviously2756normally do, but are you putting additional staff dedicated to2757addressing this during this period?2758 Mr. Locklear. That is a wonderful question. Unfortunately,2759due to funding restraints and also that most of the national2760organizations such as NIHB, non-profits, rely heavily on2761Federal funding to support a lot of their programs, which are2762also being restricted at this time.2763 Senator Cortez Masto. Outside of the government shutdown2764that restriction has occurred?2765 Mr. Locklear. Yes.2766 Senator Cortez Masto. Limitations to funding, losing staff.2767 Mr. Locklear. Limitations to funding have consistently2768occurred. So we are looking at other partners, philanthropy, to2769help bolster that. But we are putting our own resources and our2770own reserves to make sure that we are supporting Indian Country2771in this moment the best that we can.2772 Senator Cortez Masto. Thank you. I appreciate that.2773 Mr. Upton, in Indian Country where access to homeownership2774is already limited, the Community Development Financial2775Institutions have been a critical resource in helping our2776tribal families access financing, especially after natural2777disasters.2778 Can you talk a little about, with the proposed elimination2779of the CDFI Fund, how do you see this impacting the ability of2780tribal communities to make long-term housing decisions and2781recover from natural disasters?2782 Mr. Upton. Thank you for that question. The elimination of2783the CDFI fund would be detrimental to all the hard work,2784especially getting the USDA 502 relending program, the momentum2785going for that. Because that program proved to support two2786Native CDFIs in 2019, did more home loans in one year than the2787USDA did in 10 years.2788 Senator Cortez Masto. Right.2789 Mr. Upton. The fact of the matter is, Native CDFIs, we are2790in our communities. We know our communities and we are there2791working every day in our communities to get homeowners into a2792home.2793 The elimination of these funds, the way that we capital2794stack any more and the way that we bring deals together, it is2795Native communities helping Native communities. I can see the--2796we have had the biggest struggle in getting low-interest, long-2797term capital. And finally with the USDA 502 relending program,2798it is finally in sight that we could do that. It is potentially2799a $50 million annual allotment for housing. And it would put us2800back 10, 15 years of all the hard work that our Native CDFIs2801have done.2802 If the fund is eliminated, our work would stop. And we are2803going to have to find another avenue. But the CDFI fund itself,2804it is a stamp for investors to say that, you are investable. So2805we bring in private capital at a rate of eight to one.2806 So to answer your question, it would be devastating for our2807tribal communities. Right now, Native CDFIs are playing a big,2808big part of it and bringing other partners in on a daily basis2809to supply housing for our tribal communities.2810 Senator Cortez Masto. Thank you.2811 Senator Schatz. Senator Smith?28122813 STATEMENT OF HON. TINA SMITH,2814 U.S. SENATOR FROM MINNESOTA28152816 Senator Smith. Thank you so much, Vice Chair Schatz. And2817thanks to all of you for being here today. This is such a2818useful opportunity for us to hear about what is happening, the2819real-life impacts, as we struggle through this administration,2820this shutdown.2821 I am really glad to see Mr. Upton here. You have been such2822a great friend and advocate and helped my office in many ways,2823as we have done all the work on CDFIs and Native CDFIs.2824 So maybe I will start by following up a bit on Senator2825Cortez Masto's questions. I am trying to get at what are kind2826of the actual, on-the-ground impacts of the way in which the2827mass firing of the CDFI Fund at Treasury, what impact that is2828really having.2829 In your testimony you write about how none of the three2830largest home lenders in the U.S. issue federally-guaranteed2831mortgages for the construction of new permanent homes on tribal2832lands. So, like zero. This is where CDFIs have played such an2833integral role, as you said, because you know your communities.2834 I want to pause on that for a minute and see if there is2835any additional information you think would be useful for the2836Committee to understand when we think about that kind of2837financial desert on tribal lands when it comes to home2838mortgages without CDFIs.2839 Mr. Upton. Without CDFIs, the greatest challenge that we2840have is being able to bring in, I spoke with the CDFIs up in2841Alaksa yesterday. It is an ecosystem that we have.2842 Senator Smith. Right.2843 Mr. Upton. And it is bringing in all the Federal programs2844to support the capital needs to home mortgages. Whether it be2845new market tax credits, the USDA, there is a number of2846leveraging tools that we use to fulfill our long-term capital2847needs.2848 I think more than anything, the shutdown currently, what it2849is doing, when you think about this, the CDFI fund itself,2850there is about $6 billion of funding that they roll out2851annually.2852 I just ran the numbers through a couple of colleagues,2853there are about 81 employees currently at the CDFI Fund before2854the RIF. With that $6 billion, they administer the policy, they2855review the applications, they word process the compliance, the2856monitoring, the data analysis, the reporting, the cross-agency2857coordination. But more than anything, they oversee the2858certification.2859 So there is so much that those staff members do that is not2860happening right now. And without the 2025 awards that should be2861rolled out as we speak here, the TA awards were announced, but2862there is no one to process those awards.2863 More than anything, it is causing maybe, I wouldn't say a2864lot of fear, but it is that golden stamp that philanthropy sees2865that you are a certified Native CDFI and you are investable. So2866maybe there might be some treading back a little bit. It is2867going to slow the process down if we don't get the staff2868reversed and get them back to work.2869 Senator Smith. Get those RIF'ed people back on the ground,2870right, exactly.2871 Mr. Upton. Yes.2872 Senator Smith. Well, there is so much to talk about here. I2873appreciate very much your being here.2874 I want to turn to Ms. Harris. Thank you so much for being2875here. Though I was not here for opening statements, I2876understand that you spoke about how the president of USET is2877not able to be here because they are busy trying to figure out2878how to cover the gaps, huge gaps that are being left in the2879nutrition program because of this looming, the refusal by the2880President to spend money that he is authorized to spend to pay2881for SNAP programs.2882 And of course, tribal lands have this kind of, the2883nutrition assistance programs are extremely important, SNAP,2884but then you also have the FDPIR program which is really2885important. I am hearing from Minnesota tribes that there is a2886kind of switching happening right now, as people are trying to2887figure out, where is the best place to be able to get stable2888sources of nutrition assistance for folks on tribal lands.2889People are in the midst of trying to figure out how to change2890their benefits.2891 And all of this on top of all these massive cuts to SNAP2892that happened in the One Big Beautiful Bill, so-called.2893 So I would love to just hear you comment on this and say a2894bit more about what you are hearing from members of the2895communities that you represent.2896 Ms. Harris. Certainly. I think that one of the things that2897has been incredibly challenging for tribes during shutdown and2898with the RIFs is just the complete lack of transparency.2899 Senator Smith. Yes. You don't know what to do, where to go.2900 Ms. Harris. No one knows what to do or what is going on,2901and they also can't get in touch with any of their agency2902partners at this point in time. So everyone is just sort of2903flying in the dark and trying to do the best that they can at2904this moment in time.2905 I think it is important to recognize, too, that tribal2906nations, we already face longstanding and continuing challenges2907with providing access to healthy and nutritious food for our2908citizens. And the challenges contribute to health and2909educational and overall wellness disparities across all of our2910tribal communities.2911 The current situation with SNAP and WIC only further2912exacerbates the situation. We must further subsidize to provide2913for the failure of our Federal partners to meet their trust and2914treaty obligations.2915 Senator Smith. Yes.2916 Ms. Harris. Tribal nations are having to, my own tribal2917nation is having to monetarily subsidize for the WIC and SNAP2918benefits that some of our citizens are not providing. And given2919the emergent nature of all this crisis, tribes are scrambling.2920So they are spending their own time and resources to provide2921the most basic of human needs, food, for their citizens.2922 Senator Smith. I note that I am out of time, and so I am so2923sorry to cut you off, but I want to respect the Chair and Vice2924Chair.2925 I really want to put a point on what you said about how the2926Federal Government has a trust and treaty responsibility to2927provide nutrition assistance, housing, other fundamental basics2928as part of the treaties that we signed. This is not a ``nice2929to,'' it is not a ``may,'' it is a ``shall.'' And that is the2930difference here.2931 Ms. Harris. Yes.2932 Senator Smith. Thank you.2933 The Chairman. [Presiding.] Thank you, Senator Smith.2934 Thank you all for your testimony that you have shared. I2935think particularly as we are going into the winter in Alaska,2936and I know that in many parts of Indian Country, it is very2937real up in Minnesota, maybe not so much in Hawaii or Nevada,2938but the concerns about food versus fuel that you have2939referenced, Mr. Mallot, I think they are very real, when we2940talk about food insecurity.2941 We have heard and seen the pictures of the loss from2942Typhoon Halong, and you see devastation within the village. The2943part of it that is really heartrending is when you see freezers2944that had been stocked with subsistence foods, the seal, the2945berries, all that had been gathered that would take these2946families through the winter that now is lost because there is2947no power in these villages.2948 So their food source for the winter is gone. And then the2949reliance on SNAP, as you have pointed out, in so many of these2950communities.2951 So this is a point that for many in Alaska is tangibly real2952and tangibly frightening. So everything that we can do to make2953sure that that SNAP and WIC funding is able to proceed I think2954has to be a priority for us.2955 I appreciate the comment that you made, Vice Chairman2956Harris, in recognizing that it is not just IHS, BIE, BIA that2957are tribal programs that we need to focus on, that this is2958where the trust and treaty responsibility is. It is through so2959many tribal-serving programs. And that is what we are talking2960about here, across so many of these accounts, and how our2961Native people are impacted.2962 I think it is somewhat timely, apparently there is an2963analysis that has been released by the Brookings Institute2964about what they call structural flaws in how the Federal2965Government finances its obligations to Native nations, Native2966American people, actually suggesting that this might, the2967impact of the shutdown and the real-world consequences on what2968it means for food, for fuel, for access to financing, for2969healthcare, for education, that maybe this is that moment for2970reform.2971 So rather than kind of reverting to business as usual, we2972kind of reevaluate how the Federal Government is meeting its2973funding obligations to our tribes and Native citizens.2974 I wanted to ask you, Mr. Bird, because in your comment2975about the impact of the RIFs on Office of Indian Education, you2976said that seven of nine have been terminated as of today, is2977that correct?2978 Mr. Bird. Yes, that is correct.2979 The Chairman. So, seven out of nine are terminated. We have2980the office, we have the director of the office in place, right?2981 Mr. Bird. Correct.2982 The Chairman. And then this is an office that administers2983millions of dollars in formulae and discretionary grants. I am2984told that last month, 28 grants were awarded from the Office2985for Alaska Native education.2986 So, effectively, you have nobody at home to award these2987grants, administer these grants, is that a fair summation of2988where we are right now?2989 Mr. Bird. Yes, that is pretty fair. They basically have no2990contact within the office to handle their drawdowns for their2991funds, to relay technical assistance, to help with their data2992collection that they need to process for their school2993districts. So really they have basically no help in the D.C.2994office, in the Office of Indian Education.2995 And it is so important for students to get the academic2996support, tutoring, assistance for the Indian Parent committees.2997So the lack of resources in D.C., in the Office of Indian2998Education, is lacking. That really leaves the communities2999struggling in their school districts to understand what is3000happening.3001 The Chairman. And then you also touched on Tribal Head3002Start, and I am hearing from grantees in my State that are3003concerned about the impact effective November 1 in terms of3004these grantees. But also not being able to access technical3005assistance. There is a stop work order that was received.3006 What impact will that have on our Tribal Head Starts, if3007there is nobody there to help with technical assistance?3008 Mr. Bird. In some communities, obviously, they have to3009prepare for their next round or request for funding. So they3010don't really have the information in place to provide for their3011auditing purposes as far as getting ready to submit their next3012level of funding sources.3013 So they are behind the eight-ball, basically, because they3014need the assistance up front before they even apply for their3015next round of funding.3016 The Chairman. Mr. Upton, I want to turn to you about CDFIs3017and the certifications by Treasury. You basically said that3018there is no Treasury staff to process these certifications.3019 So if you can't process them, tell me what happens? Tell me3020what happens in terms of the inability of Treasury to move3021forward with any certifications when you are talking about3022access to capital markets.3023 Mr. Upton. Without certification, it really gives,3024certification gives investors, philanthropy partners, Federal3025agencies, confidence that the funds they deploy to us, whether3026it be through the form of a grant, it is that golden stamp that3027we are going to deploy that money with integrity,3028accountability, and measurable impact.3029 The Chairman. So you are saying it is a stamp of approval.3030So if you don't have the stamp, does that mean that you are3031less likely to be able to access that loan?3032 Mr. Upton. You are going to be less likely to have a3033philanthropy--philanthropy already, Native-led organizations,3034are less than 2 percent of total philanthropy giving. With the3035Native CDFIs especially it is so important that we have that3036certification.3037 Because without it, I fear that philanthropy isn't going to3038as giving and as open, too. There is no guarantee, it is the3039certification, it is the golden stamp that you are what you say3040you are. And the CDFI Fund has certified that all of your3041accountability, you are doing what you said you were going to3042do with the money that they gave you.3043 And that is probably the most important when it comes to3044bringing on private investors and private capital to the work3045that we do, is that it builds the trust, it builds a trusting3046relationship with our funders.3047 Without it, there are many programs that you are required3048to have that CDFI certification to even apply. And I know there3049are a lot of investments through, whether it be investment from3050a bank also, they are going to require some sort of3051certification. So I think that is my fear, that those types of3052investments will disappear, and they will disappear quickly.3053 The Chairman. Let me turn to Vice Chair Schatz.3054 Senator Schatz. Thank you, Chair Murkowski.3055 Secretary Harris, thanks for being here. We have seen3056tribes furlough some of their own staff and have to take loans3057out. Can you just drill down for me on some of the scenarios3058that certain tribes are going through with this lack of3059funding? Tell us what is happening.3060 Ms. Harris. We are hearing from different member tribes of3061USET. One of the things we have heard anecdotally that tribes3062are looking at is securing lines of credit. Because right now,3063there were grants that they anticipated would be coming, but3064there is no information about whether or not they will be3065coming or not.3066 And when we are taking out lines of credit, we are also3067incurring interest payments on those lines of credit. Then that3068later pulls tribal funding away from things that could be going3069to programs. Then at the end of the day, there is no guarantee3070that those will even come through.3071 My own tribe is having to supplement SNAP assistance and3072also our day care facility is due to have a grant. We just3073recently opened that, and now we are having to supplement that3074and pay for the day care facility on our own.3075 I know that many of our tribal members are setting up food3076banks and trying to work with State and local governments in3077order to supplement that. Others, as I mentioned in my opening3078remarks, are trying to supplement with their own hunting and3079traditional foods.3080 I think overall, the biggest thing is just that there is no3081transparency, there is no end in sight. And there is no3082information, tribal governments are resilient and resourceful3083and we are problem solvers. But it is difficult to know what3084you are even solving for, if it is short term, or if it is long3085term.3086 So I think everyone right now is just dealing with what is3087in front of them and trying to find stop-gap measures to3088provide for our tribal citizens until there is more clarity. I3089guess at this point, starting to anticipate that this may be a3090lot longer, and that will require more thinking and more3091measures on how to deal with it.3092 Senator Schatz. You may not be able to answer this3093question, because I am not sure any of us quite know, but it3094seems to me there are at least two things going on. There is3095the expiration of the appropriations bill, and that has pretty3096direct impacts on tribes. But then there is also these RIFs3097that are not really required under the Anti-Deficiency Act.3098 Can you figure out what is causing what?3099 Ms. Harris. The RIFs, I know I can speak from my own3100experience, the RIFs are causing us to not be able to even3101know, in some cases, I mean, we don't know if the person is3102furloughed or we don't know if the person has been permanently3103let go.3104 Historically speaking, I can say that I worked during the3105Obama administration as the Chief of Staff for Indian Affairs.3106At that point in time, and I checked this today, we had around31078,000 employees when we went through the 2013 shutdown.3108Currently, there are about 6,000 employees as identified in the3109September 2025 contingency planning. Even at that point in3110time, we were struggling to meet the need.3111 The fact is that RIFs violate the trust and treaty3112obligations, and no one is arguing that Indian Affairs or the3113BIA were ever overstaffed or overfunded, and no one argues that3114other Federal agencies don't have the same trust and treaty3115obligations as the BIA and BIE. It is the opposite.3116 And Congress has again and again, on a bipartisan basis,3117sought to ameliorate this inequality. But the RIFs are3118basically taking a hatchet to the progress that we have made in3119the delivery of trust obligations. It is really taking the3120authority of Congress away to provide for the trust and treaty3121obligations.3122 But I think it is, really, in essence it just a lack of3123information about what is actually going on, who is actually3124still at the department, if this is a temporary shutdown thing3125or if it going to be a permanent RIF situation. I think it is3126leaving our members confused and without the ability to even3127properly confront the problem that is in front of us.3128 Senator Schatz. Yes, I think obviously we have some policy3129disagreements related to the shutdown and even related to3130Indian Country. But I think it is at least fair if this3131administration is going to sort of execute a rolling series of3132RIFs, and because of my relationship with the Chair, I am3133trying to avoid any sort of partisan vibe here.3134 But it is at least fair to try to figure out what is3135related to the shutdown and what is not. Because I am quite3136worried that we could end up on the other side of this shutdown3137in a short-term continuing resolution while we work on the rest3138of the appropriations process. And then we find that, hmm,3139turns out two-thirds of the problems were just a lack of human3140beings to push out grants, to communicate with Tribes and3141Tribal leaders, and programs that serve Native people across3142the country.3143 So I actually think we as a committee need to sort out, to3144the extent that it is possible, what is what. And I understand3145that in the politics of it all, it is part of a piece, right?3146It is a point that one party is trying to make to the other,3147and then the other party, and then it is just partisan warfare.3148 But you need to know, if this thing is over at some point3149next month, are your problems over? Or are you still suffering3150through 30 percent of it? 90 percent of it? 2 percent of it?3151 And the fact that we don't know the answer to that, that we3152don't know and you don't know, I think is a problem. We need to3153at least ground ourselves in the same set of facts.3154 The Chairman. Yes, thank you for sharing that, Senator3155Schatz.3156 I would agree. I think we need that kind of information. I3157don't remember how early it was in this session that we had a3158hearing here in Indian Affairs to look at the impact of some of3159the reductions in force, with the layoffs, the impact that the3160layoffs were having on, again, so many of these tribal-serving3161programs, where we had the Secretary of HHS say very clearly, I3162am going to hold IHS harmless in this, and when it came to3163those layoffs, we saw that.3164 But I think it was important for the administration to see,3165it is not just in, again, IHS, BIA, BIE. It is in so many of3166these other programs where again, tribal citizens are being3167served.3168 So understanding the implications of all of this is part of3169where we are today.3170 I want to ask a couple of really quick follow-ons. Mr.3171Mallot, this one is directed to you. I was asked earlier in the3172hallway by a reporter about LIHEAP. Because they know for us in3173the north and those in the east this time of year, LIHEAP is3174important to our colder-weather places.3175 I was asked, do I have any idea how long LIHEAP funds are3176going to be available? And I am told that there was supposed to3177be a new round of funding supposed to go out to the States and3178the tribes by the 1st of November. That is apparently not going3179to happen. Some tribes may have leftover funds.3180 Are you hearing from folks back home about LIHEAP?3181 Mr. Mallot. Thank you, Senator, for that question. In my3182oral remarks, I also wanted to you for sponsoring Senate Bill31833024, the Keep SNAP Funded Act. Thank you for that.3184 Regarding LIHEAP, I was able to talk to Jackie Pata this3185morning, and she mentioned LEAP for Southeast. You are right,3186the funding that hits November 1st might not happen. Right now,3187LIHEAP is administered by tribes or tribal organizations in3188each region of Alaska. They usually start elders first, so I3189believe they are taking applications right now in the hopes3190that the government will open in time.3191 If November 1 doesn't hit, they don't have any funds to3192give out assistance. And with SNAP, especially for our elders,3193who are first in line for LIHEAP, it is going to have them3194figuring out between medication, food, or heat for their homes.3195 As I went through and got comments from the communities, a3196lot of our rural Alaska communities don't have local food3197banks. It is up to the tribe that does that service. And LIHEAP3198is a big one of that. So for our elders especially, they might3199have an application in. There is no guarantee when they will3200get that funding. So yes, it is going to be crunch as we hit3201November with SNAP and LIHEAP.3202 With that said, we also know about the RIFs or furloughs.3203If the government reopens next week, how long would it take3204them to get the money out, and any delays that are going to3205further exacerbate the system, the process.3206 The Chairman. There is so much uncertainty that is at play3207here. We can't figure out the path forward right now on our3208spending bills. Although I am a little bit more optimistic on3209that today.3210 But it just seems that there is more and more concerns that3211are coming up, whether it is the general funds, the smaller3212tribes talking about, we don't have very much left in our3213available funds here, the potential that some of our tribal3214employees are going to have to start working without pay or3215being laid off, challenges that come with paying banks when3216105(l) and contract support cost payments aren't coming in.3217 So there is all of this that is at play that is just so3218challenging, so difficult, so worrisome. And in my view, so3219unnecessary. There is no good reason for a shutdown ever. And3220yet we are in the midst of the second longest. And I have no3221desire in wanting to beat the goal of the longest government3222shutdown.3223 So my hope is that not only will we get the government open3224quickly, we will get a move on with our appropriations bills3225that need to be resolved now. But also, going forward, a more3226certain process. And again, given the comments that we have3227heard from the Vice Chair and what I said earlier about maybe3228looking at this as a moment for critical review about how we,3229the Federal Government, meet the trust responsibilities and3230obligations to our tribes, to American Indians, Alaska Natives,3231and Native Hawaiians. This might be the kick in the fanny that3232we need to look a little more critically at that.3233 Ladies and gentlemen, thank you for making the effort to be3234here today. Thank you for your testimony. For those who would3235ask for follow-up questions for the record, we are going to3236hold it open for a couple of weeks now.3237 Again, thank you for being part of our very important3238hearing today and allowing these issues to come forward.3239 With that, the Committee stands adjourned.3240 [Whereupon, at 3:14 p.m., the hearing was adjourned.]32413242 A P P E N D I X32433244Prepared Statement of Alberta Unok, President/CEO, Alaska Native Health3245 Board3246 Chairman Murkowski, Vice Chairman Schatz, and Members of the Senate3247Committee on Indian Affairs, thank you for the opportunity to provide3248written testimony on the impacts that the federal government shutdown3249and reductions in force are having in Indian Country. The Alaska Native3250Health Board (ANHB) provides the following comments regarding the3251impacts of the government shutdown on the Alaska Tribal Health System3252(ATHS). ANHB was established in 1968 with the purpose of promoting the3253spiritual, physical, mental, social, and cultural well-being and pride3254of Alaska Native people. ANHB is the statewide voice on Alaska Native3255health issues and is the advocacy organization for the ATHS, which is3256comprised of Tribal health programs that serve all 229 tribes and over3257234,000 Alaska Native and American Indian people throughout the state.3258 The ongoing government shutdown is having significant impacts on3259the ATHS and the communities that we serve. ANHB urges the members of3260the Senate Committee on Indian Affairs to work with Congressional3261leadership to institute systems to protect all Tribal-serving programs3262from future lapses in appropriations.3263I. Advance appropriations for the Indian Health Service (IHS) are3264 crucial to the continued functioning of the Tribal health3265 system and must be approved for FY 2027 and future years3266 Solely because IHS received advance appropriations for fiscal year3267(FY) 2026, IHS's staff and funding have not been as impacted by the3268current government shutdown as many other agencies. This means they can3269continue transferring funds to Tribal programs and responding to Tribal3270health provider needs. The ATHS has received about seventy percent of3271its IHS funding for FY 2026, allowing us to continue to provide3272services to beneficiaries and to keep clinic doors open. And of course,3273around the country, advance appropriations have allowed IHS to keep its3274own hospitals and clinics open and to continue providing essential3275life-saving services.3276 Advance appropriations are also providing significant benefits3277outside of the shutdown context. Tribal contractors under the Indian3278Self-Determination and Education Assistance Act (ISDEAA) can improve3279their financial stability, better plan for services, and retain3280qualified health professionals with increased job security for3281providers--all because they have a reliable source of funds that does3282not lapse at year end. This improves the care that the ATHS is able to3283provide to beneficiaries. For example, when providers have more3284security, they are more likely to continue working in the Tribal health3285system, rather than seeking out more stable employment opportunities in3286the private sector. This allows doctors to know their patients better,3287to spot changes over time, and to provide better care.3288 Tribes have long called for permanent advance appropriations for3289IHS and for moving the entire IHS budget to mandatory appropriations,3290and the current shutdown has only further highlighted the importance of3291taking such actions. We are deeply concerned about the possible harms3292to the Tribal health system if IHS does not receive an advance3293appropriation for FY 2027.3294II. Despite IHS's advance appropriation, the government shutdown has3295 still delayed payments to Tribes and Tribal Health3296 Organizations and stalled certain agency activities3297 Although IHS's advance appropriations have insulated the ATHS and3298other Tribal health providers from some of the harms of the shutdown,3299there are several categories of IHS spending that do not receive3300advance appropriations and where funding has therefore lapsed. These3301funds support facilities construction, sanitation facilities3302construction (including water and sewer installation in rural Alaskan3303communities), Contract Support Costs, and 105(l) leases. Tribes have3304not received FY 2026 funds for these categories.3305 While some Tribal contractors may be able to rely on reserves to3306continue normal operations for a while, not all contractors are in such3307a position. And even those with reserve funds will eventually need to3308tap into their program funds to cover fixed administrative and3309facilities costs if the shutdown continues. This is particularly3310concerning in Alaska as the winter season begins. As the weather3311becomes colder and the days grow shorter, Tribes and Tribal health3312organizations cannot let rural clinics and hospitals freeze or go dark,3313or decide not to turn on their heating systems. We will be forced to3314divert other funds to cover the high costs of fuel and electricity in3315order to keep our facilities open in communities where they are the3316only source of health care, for beneficiaries and non-beneficiaries3317alike.3318 In addition, although IHS staff are largely in place, all attorneys3319serving IHS with the Department of Health and Human Services Office of3320General Counsel have been furloughed. This has resulted in a complete3321halt to many routine agency activities. Meetings have been cancelled,3322and long-scheduled negotiations have been indefinitely postponed.3323Amendments to Annual Funding Agreements cannot be approved or finalized3324without the involvement of IHS's attorneys. And efforts to settle3325significant agency underpayments that the Supreme Court decreed are3326statutorily due to Tribal ISDEAA contractors in Becerra v. San Carlos3327Apache Tribe have stalled. Almost all Tribes are still waiting to be3328made whole, nearly eighteen months after that decision was handed down.3329 In order to avoid similar harms in future shutdowns, we urge3330Congress to move Contract Support Costs and section 105(l) lease3331payments to mandatory spending (if not the whole IHS budget) to reflect3332their obligatory nature and ensure further stability. We also ask3333Congress to expand IHS's advance appropriations to all remaining IHS3334budget line items.3335III. Funding from the Special Diabetes Program for Indians has lapsed3336 When the FY 2025 Continuing Resolution expired, this also marked3337the expiration of funding for the Special Diabetes Program for Indians3338(SDPI). The SDPI has been a resounding success over the past three3339decades, causing the trajectory of diabetes in Indian country to change3340and lowering the prevalence of diabetes among Alaska Native and3341American Indian people during the same time when diabetes prevalence3342rose in the general population. Although IHS has stated that it will3343use remaining unobligated balances to keep this program running for as3344long as possible, the uncertainty around this funding is deeply3345concerning to ANHB and the entire ATHS and threatens to undo these3346three decades of progress.3347IV. Furloughs at SAMHSA have led to significant communication gaps and3348 halted important activities3349 Cuts and furloughs at the Substance Abuse and Mental Health3350Services Administration (SAMHSA) have harmed the ATHS. SAMHSA's Grant3351Project Officers (GPOs) were furloughed when the shutdown began, and3352Tribes have had no communications with them since October 1. Many ATHS3353Tribal health providers have staff that work on grant-funded programs;3354their questions are going unanswered and activities that require3355approval from the GPO have been left pending. For example, SAMHSA3356switched to a new client-level evaluation tool on October 1. A training3357session on this new tool and related-data submission activities was3358scheduled for that week and was cancelled. Although a guide to data3359submission in the new tool was provided, no SAMHSA staff are available3360to answer questions or clarify issues raised by the guide. Reopening3361the government, and ensuring that these staff return to their jobs, is3362necessary to help continue this important work.3363V. A lapse in funding for SNAP and WIC will harm tens of thousands of3364 Alaskans and create gaps that the State, community3365 organizations, and the Tribal health system simply cannot fill3366 ANHB is also deeply concerned about the decision by the federal3367government not to provide full benefits to households under the3368Supplemental Nutrition Assistance Program (SNAP) starting on November33691. The status of these payments has been in flux, amidst litigation and3370an emergency declaration by the State of Alaska. But in the meantime,3371the delay in making these payments is hurting Alaskans. And the impact3372of missed or partial payments, or even delayed payments, is enormous.3373Alaska's food pantries and food banks simply do not have the resources3374to fill the gap that the federal government is leaving. They are3375already strained by the increased need among federal workers who have3376been furloughed or are currently working without pay, and among3377evacuees of the massive flooding and damage caused by Typhoon Halong.3378This comes on top of a collapse in many of our State's fisheries,3379leaving few subsistence resources to fill the gap.3380 Relatedly, ANHB is monitoring the status of the Special3381Supplemental Nutrition Assistance Program for Women, Infants, and3382Children (WIC). The State of Alaska has communicated that their federal3383funding for WIC is running out. They have reported that they have3384funding for State staff until November 19 and funding for food vouchers3385until December 1. Tribal health organizations will have to pull from3386other resources to support the staff working in the WIC program during3387the second half of November if the shutdown continues in order to keep3388this program operational until December 1. After that, this benefit3389will lapse as well. In Interior Alaska alone, over 650 Alaska Native/3390American Indian households are receiving WIC services. A lapse in this3391funding will harm these families, leaving the most vulnerable Alaskans3392without adequate food as we head into the long winter months. This3393situation cannot be normalized-we must do better by our next3394generation.3395 ______33963397 Joint Prepared Statement of Robert Maxim and Glencora Haskins,3398 Brookings Institution3399 Dear Committee Members,3400 Thank you, Chairman Lisa Murkowski, Vice Chairman Brian Schatz, and3401members of the Committee for the opportunity to provide this written3402statement for the record. We are authors of a Brookings Institution3403report, ``The government shutdown shows the need to reform how the3404federal government funds Native American Tribes and communities,''3405which we co-authored with our colleague Danika Grieser and Liz Malerba3406of the United South and Eastern Tribes Sovereignty Protection Fund. Our3407report, which Chairman Murkowski referenced during the hearing,3408assesses the Tribal-serving federal agencies most impacted by the3409ongoing federal government shutdown, and recommends far-reaching3410reforms to federal funding to Tribal Nations, citizens, and3411communities. We have enclosed a copy of the report for the3412Congressional Record. * We are writing this statement in our personal3413capacity and the views expressed in this written statement are our own.3414---------------------------------------------------------------------------3415 * The information referred to has been retained in the Committee3416files.3417---------------------------------------------------------------------------3418 We are responding to Chairman Murkowski's call to view this3419government shutdown as a ``moment for critical review about how we, the3420federal government, meet the trust responsibilities and obligations to3421our Tribes, to American Indians, Alaska Natives, and Native3422Hawaiians.'' Our report offers several approaches to achieve this goal.3423 One option would be for Congress to greatly expand the share of3424funding to Indian Country that is covered by advance appropriations.3425Currently, the Indian Health Service is the only major Tribal-serving3426agency that is funded by advance appropriations. The positive impacts3427of advance appropriations have been evident throughout the shutdown,3428with IHS, Tribally operated healthcare programs, and urban Indian3429health programs able to continue offering critical, at times3430lifesaving, care. This is a stark contrast with the 2019 federal3431government shutdown, when IHS, Tribal healthcare programs, and urban3432Indian health programs were forced to limit services and close3433facilities.3434 In contrast, other federal agencies serving Indian Country have3435been forced to furlough a significant number of workers during the3436shutdown. For example, nearly 37 percent of the Bureau of Indian3437Affairs, over 87 percent of the Substance Abuse and Mental Health3438Services Administration, and nearly 92 percent of the Food and3439Nutrition Service were furloughed. In addition, other workers at3440agencies serving Indian Country have been forced to work without pay3441since October 1.3442 Congress has introduced bipartisan legislation to provide advance3443appropriations to several agencies and funding lines beyond IHS, and to3444confirm IHS's authority for advance appropriations. However, the scope3445of the bill has been limited to funding at IHS, BIA, and BIE. The FY34462024 Native American Funding Crosscut shows that a total of 323447different federal departments and agencies are currently providing3448funding and services to Indian Country, in fulfillment of trust and3449treaty obligations. In our report we propose expanding advance3450appropriations beyond just IHS, BIA, and BIE by providing all programs3451that serve Tribal nations, citizens, and communities, as accounted for3452in the Native American Funding Crosscut, with advance appropriations3453equal to, at a minimum, their FY 2025-enacted discretionary spending.3454Doing so would ensure that critical programs across the federal3455government serving Tribal Nations, citizens, and communities can3456continue to operate in the event of a future shutdown.3457 Although advance appropriations would help mitigate issues related3458to government shutdowns, they would not solve every funding challenge.3459Multiple previous reports published by Native organizations and the3460U.S. federal government have highlighted the need for more significant3461use of mandatory funding in supporting Tribes and Native people, as3462well as the need to remove restrictions around the utilization of3463funding. Increasing the share of programs for Tribes and Native3464American people that are financed by direct mandatory spending would3465have at least two additional benefits. First, it would protect funding3466to Tribes from being targeted for funding rescissions, such as those3467that Congress passed earlier in 2025. Second, converting existing3468discretionary appropriations to mandatory spending could allow more3469programs to meet the full needs of all eligible program participants,3470rather than having to cap eligibility, benefits, or services due to3471funding restrictions.3472 To start, Congress could move discretionary funding lines for3473Tribal administrative costs and facilities leases to mandatory funding.3474These are two natural first items, as federal courts have affirmed3475across multiple cases that these costs must be paid in full, regardless3476of the appropriations process.3477 From there, our report provides further guidance on how Congress3478could go about moving more funding for Indian Country to mandatory3479funding. We would be happy to provide additional information to the3480Committee as needed to support your legislative responsibilities.3481 Both the federal government shutdown and the continuing resolution3482to reopen the government underscore the urgent need to reform funding3483for Tribal Nations, citizens, and communities. The continuing3484resolution passed by Congress only funds the government through January348530, 2026. This means that Tribes and federal agencies can only plan for3486less than three months of government operations. In addition, a short-3487term CR leaves open the risk of another shutdown in just a few months.3488In the spirit of Chairman Murkowski's call-to-action, now is the moment3489to reform federal funding to Tribal Nations, citizens, and communities.3490 We thank you for your continued attention to the critical issue of3491federal funding for Indian Country, and welcome the opportunity to work3492further with the Committee on this topic.3493 ______34943495Prepared Statement of Faye BlueEyes, Administrative Advisor, Dine Grant3496 Schools Association (DGSA)3497 Dear Chairman Murkowski, Vice Chair Schatz, and Members of the3498Senate Committee on Indian Affairs:3499 Ya'at'eeh, my name is Faye BlueEyes and I serve as the3500Administrative Advisor for the Dine Grant Schools Association (DGSA).3501Established in 2016, the DGSA represents 13 schools on the Navajo3502Nation reservation which operate as Tribally Controlled Schools Act,3503P.L. 100-297 (TCSA) grantees. DGSA appreciates the opportunity to3504provide information to the Senate Committee on Indian Affairs (SCIA)3505regarding the impacts of the government shutdown and agency reductions3506in force on DGSA's member schools.3507 As discussed below, my testimony covers impacts on our member3508schools including:35093510 The need for full forward funding for all education related3511 accounts and programs across federal agencies, including, but3512 not limited to, Facilities Operations and Maintenance funds,3513 Education Construction funds, and Johnson O'Malley (JOM) funds;3514 and35153516 The need to except from furlough all staff who service3517 Indian education programs, including Bureau of Indian Affairs3518 (BIA) staff and staff at the Department of Education's Office3519 of Indian Education (OIE); and35203521 Teacher shortages and the Presidential Proclamation on H-1B3522 Visas.35233524TCSA grants are forward funded, but funds are often still delayed3525 Fortunately, TCS and Bureau of Indian Education (BIE) operated3526schools are forward funded. The 2025-2026 K-12 school year was funded3527in the FY 2025 appropriations bill, and those funds will remain3528available to support continued instructional and related educational3529services at our member schools throughout the school year and into35302026. The TCSA requires BIE to transfer eighty percent of schools'3531education funds by July 1, 2025, and the balance of twenty percent3532funds is due on December 1, 2025. However, the BIE is chronically late3533in transferring funds to DGSA schools, despite these statutory3534deadlines, which prevents schools from budget planning and providing3535adequate services to students.3536TCSA grantees are still impacted bv non-forward funded programs and3537 agency furloughs3538 Although our schools have already received a significant portion of3539their BIE funds for this school year, and it therefore may appear that3540they are not impacted by the government shutdown, we are still impacted3541with respect to non-forward funded programs. Facilities Operations and3542Maintenance (O&M) funds, and Education Construction funds,--meaning3543that during a government shutdown, their appropriations lapse and the3544funds are not available to our schools until Congress acts to fund the3545government. Organizations such as DGSA have been advocating for O&M3546funding to be forward funded for many years.3547 O&M funding is vital to the health, safety, and learning3548environment of our students and staff. These funds support critical3549services such as:35503551 Custodial and janitorial operations; and35523553 Electrical power, water, gas, and propane utilities; and35543555 Routine and emergency maintenance--including repairs to3556 water systems, ventilation, and fire safety infrastructure.35573558 O&M accounts are already underfunded and not forward funded,3559creating major challenges during federal government shutdowns or when3560Congress operates under Continuing Resolutions. Funds are often delayed3561until late in the year or after the school year ends, forcing schools3562to borrow from instructional budgets (such as the Indian School3563Equalization Program (ISEP)). This disrupts financial planning, delays3564TCSA Grant Support Cost calculations, and ultimately reduces resources3565available for student learning.3566 Currently, school construction projects and requests for assistance3567from BIA Facilities and Maintenance staff are at a standstill amidst3568shutdown furloughs and the lapse in funding. Forward funding these3569accounts would:35703571 Allow schools to plan budgets from the start of the school3572 year35733574 Ensure educational programs are not disrupted by facility3575 budget shortfalls35763577 Prevent costly emergency repairs through timely repairs35783579 Ensure safe, functional facilities for our students and3580 staff35813582 Early and predictable access to O&M funding would allow our schools3583to focus on education, not financial uncertainty.3584While all BIE personnel is exempt during the shutdown, vital non-BIE3585 personnel is not3586 Even though all 2,961 employees of the BIE are exempt personnel3587under the 2025 BIE contingency plan, only 37 percent of BIA staff are3588considered exempt, including staff in the Facilities and Maintenance3589offices, and the entire staff at the OIE have received reduction-in-3590force notices. Our schools are still impacted by these furloughs and3591RIFs of non-BIE personnel. We strongly encourage Congress to work with3592federal agencies to ensure these vital positions remain exempt during3593furlough and fully funded.3594Impact ofthe Supplemental Nutrition Assistance Program3595 The Supplemental Nutrition Assistance Program--known as SNAP--ended3596on November 1, 2025. This change will have a serious impact on families3597across our Nation, and especially on our children. For many Navajo3598families, SNAP has not just been a benefit--it has been a lifeline.3599 It has helped parents put food on the table and ensured that our3600children have been fed and come to school ready to learn.3601 We know that a hungry child cannot focus on lessons or thrive3602academically. Their energy, attention, and motivation are all affected3603when they do not have enough to eat. This situation will not only3604affect students' ability to learn, but also their overall health and3605wellbeing.3606 Our schools will also feel the burden. When students come to school3607hungry, the responsibility often falls on the schools to provide more3608meals, more snacks, and more support. This will strain already limited3609budgets and resources. Schools may be forced to cut from other3610essential programs to meet the growing need for food.3611Teacher Shortages and impact of Presidential Proclamation on H-1B visas3612 The absence of certified teachers reaches beyond our classrooms. It3613touches the entire Navajo Nation. Without strong education, we lose3614future leaders, skilled workers, and engaged citizens. We see fewer3615Navajo professionals in healthcare, law, engineering, and education.3616The result is a weakened workforce and increased dependency on systems3617outside our control. This undermines our journey toward educational3618sovereignty and self-sufficiency.3619 At this moment, the national teacher shortage crisis is so severe3620across BIE-funded schools on the Navajo Nation that our schools have3621been hiring international graduates authorized to work under an H-1B3622Visa. On September 21, 2025, a Presidential Proclamation entitled3623``Restriction on Entry of Certain Nonimmigrant Workers'' came into3624effect which introduced a $100,000 annual fee for employers sponsoring3625technically skilled foreign workers on H-1B visas. The President's3626announcement specifically identified highpaying tech jobs filled by3627foreign workers as an area of concern, but the Proclamation will have a3628significant impact on schools and educators, including educators on the3629Navajo Nation.3630 This Proclamation did not include an exemption for TCSA grantees3631and will likely create additional vacancies for teachers. It is not3632feasible for Tribally Controlled Schools to sponsor the new H-1B fee or3633for our teachers to be able to front the $100,000 cost--a cost greater3634than our teacher's yearly salaries. The severity of teacher shortages3635across schools on the Navajo Nation is compounded by the fact that many3636schools are in remote, high-elevation regions with:36373638 Unpaved or poorly maintained access roads36393640 Harsh weather conditions (heavy snow, muddy terrain)36413642 Limited access to essential services such as grocery stores,3643 medical care, and vehicle repair36443645 These factors make recruitment and retention extremely difficult,3646particularly when schools lack adequate employee housing.3647 While federal law mandates that BIE teachers and counselors receive3648salaries comparable to Department of Defense educators, local public3649schools in states like New Mexico are now offering higher salaries,3650outpacing what BIE-funded schools can provide. This disparity makes it3651nearly impossible to attract and retain high-quality educators. DGSA3652has continued to advocate that Congressional appropriators require the3653BIE to clearly display funding amounts required to comply with Defense3654Department-equivalent pay rates and to include sufficient funding in3655its budget request to comply with these requirements.3656 In addition to ensuring that BIE educators are paid at rates3657required by federal law, ensuring that all employees of BIE-funded3658schools receive Federal Employee Retirement System (FERS) benefits3659would significantly bolster the ability of BIE-funded schools to3660attract and retain quality teachers. Thank you for your continued3661support of Tribally Controlled Schools and Native students and3662educators.3663 ______36643665 Prepared Statement of the Fort Belknap Indian Community (FBIC)3666Introduction3667 The Fort Belknap Indian Community (FBIC) submits this testimony for3668the record in response to the U.S. Senate Committee on Indian Affairs3669hearing on ``Impacts of Government Shutdowns and Agency Reductions in3670Force on Native Communities.'' The Fort Belknap Reservation is the3671homeland to the Assiniboine (Nakoda) and Gros Ventre (Aaniiih) Tribes.3672Our Reservation is in north central Montana and is rural and remote.3673Our Reservation includes about 652,000 acres and is almost as large as3674the State of Rhode Island. We have nearly 7,000 members living on or3675near our Reservation.3676 Like many other large land base tribes, we ceded vast lands and3677resources and reserved a permanent homeland in exchange for the support3678and protection of the United States. Our Reservation was established3679through a series of treaties beginning in 1855, as well as3680Congressional Acts, Executive Orders, and an 1888 Agreement and Act of3681Congress. As set out in Article VI, Clause 2 of the U.S. Constitution,3682our Treaties are the Supreme Law of the Land.3683 The services and programs the United States provides FBIC are not3684optional obligations, they are formal commitments made through Treaties3685ratified by the United States and upheld by the Constitution. Every day3686the Federal government shutdown continues, our essential services,3687healthcare, social programs, housing, education, and law enforcement,3688are put in jeopardy. The United States must keep its word and honor the3689solemn Treaties entered with FBIC and other Indian tribes. Funding to3690fulfill the United States' Treaty and trust responsibilities to Indian3691tribes should be mandatory funding. Treaty programs and services should3692not be subject to partisan Congressional politics.3693Federal Funding Lapse Jeopardizes Tribal Liheap and Child Welfare3694 FBIC provides social and welfare services in five areas: Social3695Services, Indian Child Welfare, Child Welfare, Meth Initiative, and3696Domestic Violence. Social Services play an important role in preventing3697child abuse and neglect, investigating and prosecuting abuse and3698neglect, and providing treatment for children and families. In 2021,3699Social Services had 166 FBIC children placed in foster care off-3700Reservation and 92 Indian children placed in foster care on the3701Reservation. Our budget is severely underfunded for foster care3702services. For the past 23 years, FBIC has carried out its contract with3703the Bureau of Indian Affairs (BIA) with little to no increases in3704funding.3705 The Fort Belknap Head Start Program provides essential child3706welfare services to children from FBIC and surrounding counties. FBIC3707recognizes that the closure of this vital program would have3708devastating community impacts. While FBIC agreed to cover November3709expenses during the appropriations lapse, using our limited Tribal3710funding to underwrite the Federal government's lapse in funding3711fundamentally violates the trust and Treaty responsibilities owed to3712our Tribe and future generations. Therefore, immediate action is3713required to restore federal appropriations so that FBIC can redirect3714its limited resources back to the priorities it was established to3715serve.3716 FBIC is also extremely concerned about the potential lapse in3717funding for Supplemental Nutrition Assistance Program (SNAP) benefits.3718FBIC serves a Tribal membership of 7,000 members, a significant portion3719of whom rely on SNAP benefits to maintain basic food security. The3720interruption or exhaustion of these funds would trigger a food crisis3721within our community, immediately impacting the most vulnerable,3722including children and elders. To help mitigate this lapse in funding3723for November benefits, the Island Mountain Development Group (IMDG), an3724autonomous economic development corporation established by the Fort3725Belknap Indian Community Council, is providing a $250 gift card to Fort3726Belknap enrolled Tribal members who live on the Reservation or in the3727towns of Dodson or Harlem, Montana.3728 We are grateful we can act, but forcing IMDG to divert funds from3729established scholarship opportunities and community improvement grants3730places a severe strain on our operational capacity. Covering essential3731federal nutrition gaps with Tribal resources is a clear and profound3732violation of the federal trust and Treaty responsibilities ensuring our3733community's welfare.3734 Furthermore, we are extremely concerned about the pending3735expiration of Low Income Home Energy Assistance Program (LIHEAP)3736funding. The continuing resolution passed in May 2025 provided only3737$41,036 to FBIC. These funds are critical to our operations: 40 percent3738supports heating (propane assistance), 5 percent supports cooling for3739elderly or handicapped members at risk of heat-related illness, and the3740remainder covers year-round and weatherization needs. As winter weather3741approaches, any lapse in this funding can directly lead to life-or-3742death situations for our Tribal members. The threat of life-or-death3743situations for our most vulnerable members due to a Federal funding3744lapse is a direct breach of the trust and Treaty responsibilities that3745guarantee FBIC's well-being.3746Federal Funding Lapses Undermine Tribal Law Enforcement3747 The failure to adequately fund Tribal law enforcement is a glaring3748example of the Department of the Interior's failure to fulfill its3749Treaty and trust obligations, underscoring the critical need for Indian3750Affairs to secure more resources. Our Reservation is the size of a3751small state, yet we are grossly under-resourced, operating with only3752seven patrol officers and two temporary officers when we need at least375312. This crisis stems from chronic underfunding.3754 In 1997, the Bureau of Indian Affairs provided $1.2 million for law3755enforcement, and 27 years later in 2023, this has only increased to3756$1.3 million. Our officers are overworked, stressed, and often work3757without backup due to high turnover. This is directly tied to the fact3758that our BIA contract provides some of the lowest officer pay in3759Montana, making competitive recruitment and retention exceptionally3760difficult. We requested at least $5.194 million per year for our3761contract last year and demand significant and immediate increases in3762base funding, starting with an essential Cost-of-Living Adjustment3763(COLA), as the last base funding increase was in FY 2020. Reorganizing3764existing, insufficient staff and resources--such as consolidating3765administrative functions--will fail to address increased drug3766trafficking and violent crime; these changes will not result in3767competitive wages or improve officer retention.3768 This systemic failure is made worse by the federal shutdown. The3769lapse takes a particularly severe and immediate toll on our officers3770when they are forced to work without pay, which is unacceptable and3771demoralizing. This creates an impossible financial hardship for our3772officers and their families, diverting their attention from essential3773community safety concerns. Furthermore, the crisis extends to our3774justice system, our BIA Correctional Programs lack funding for3775effective rehabilitation, leading to the expensive and disruptive3776shipping of incarcerated members far from home. For example, a BIA3777facility near us in Hardin, Montana, can hold over 400 inmates but is3778only staffed for about 20, forcing most of our members to be sent to3779distant locations like Oklahoma. Finally, to truly improve conditions,3780local officials must be granted decisionmaking authority, as every3781regional or national referral causes us to lose a crucial opportunity3782to improve the administration of justice and protect our people.3783Conclusion3784 The burden of the Federal government shutdown is adding up. From3785forcing our law enforcement to work without pay to jeopardizing winter3786heating and basic nutrition, the federal funding lapses will push the3787Fort Belknap Indian Community toward a financial and humanitarian3788crisis. Each day the lapse continues, the Federal government is in3789direct breach of its trust and Treaty responsibilities, which were3790established when our Tribe ceded our permanent homeland. These are not3791discretionary programs; they are non-negotiable commitments. We will3792not stand by while our people face the loss of food security and safety3793because of political gridlock. Congress must act immediately to restore3794full appropriations and establish mandatory, stable funding for all3795Tribal services and uphold the legal obligations owed to the FBIC and3796future generations.3797 ______37983799 Prepared Statement of Kari Jo Lawrence, CEO, Intertribal Agriculture3800 Council3801 Dear Chairman Murkowski and Vice Chairman Schatz:3802 Thank you for holding a Senate Committee on Indian Affairs hearing3803on the ``Impacts of Government Shutdowns and Agency Reductions in Force3804on Native Communities'' on Oct. 29, 2025. The Intertribal Agriculture3805Council (IAC) is a national non-profit organization founded by a3806coalition of federally recognized Tribes in 1987 to pursue and promote3807the conservation, development, and use of Tribes' agricultural3808resources. We offer the following comment letter on the impacts of3809government shutdowns and reductions in force (RIFs) on Indian3810agriculture, food systems, and local economies.3811Summary of key Tribal agricultural impacts of the government shutdown3812 USDA and BIA are responsible for core functions required before3813Tribes or individual Tribal producers can access key credit programs,3814agreed upon payments for conservation practices, trust land management3815resources, leases, probate files, and more. The prolonged government3816shutdown has resulted in Tribes and individual Tribal producers':38173818 Inability to access new lines of credit through Farm Loan3819 Programs at the Farm Service Agency (FSA), leading to delays in3820 purchasing forage, seeds, livestock, and other essential inputs3821 for new and experienced producers alike38223823 Inability to immediately access payment for cattle and other3824 agricultural products sold (Producers who received checks that3825 required FSA endorsement--two-party checks--were unable to3826 obtain the FSA endorsement required to cash the check)38273828 Inability to get conservation payments from the Natural3829 Resources Conservation Service (NRCS), despite fulfilling3830 agreed-upon practices, threatening the financial stability of3831 individual Tribal producers' farms and ranches that operate on3832 millions of acres of Tribal lands (and in worse case scenarios,3833 leading some producers to taking out exorbitant interest, pay-3834 day style loans to navigate the over extension on their3835 operating lines of credit that these delayed conservation3836 payments would have otherwise covered)38373838 Inability to receive Title Status Reports (TSRs) or3839 appraisals of trust land from BIA, documents that are often3840 necessary to access USDA programs38413842 Inability to pay leases or obtain new leases through BIA,3843 preventing Tribal producers from accessing lands needed for3844 farming or ranching38453846 Inability to obtain probate services at BIA, keeping3847 valuable agricultural land away from heirs and out of3848 production38493850Impact of government shutdowns3851Lack of access to new lines of credit at FSA3852 Individual Tribal producers \1\ nationwide utilize farm ownership3853and operating loans available through USDA's Farm Service Agency (FSA).3854Access to financing is essential for agriculture operations which often3855include high upfront costs for land, equipment, inputs, and labor3856needed to remain competitive and sustain production. A study on3857agricultural financing in Indian Country found that 73 percent of3858Tribal producers polled were limited by lack of access to capital, and3859that overall unmet financing need in Indian agriculture exceeds $423860billion. With 86 percent of Tribal communities lacking even a single3861lending institution, FSA plays a critical role in financing Tribal3862producers who cannot access other forms of financing (in many instances3863because commercial lenders refuse to collateralize Tribal trust lands).3864That is, back-up capital options are few and far between, even in the3865form of short-term bridge loans.3866---------------------------------------------------------------------------3867 \1\ In Indian Country, the term Tribal producer can extend to3868individual, enrolled Tribal members who own their agricultural3869operations, as well as Tribes that own agricultural operations.3870---------------------------------------------------------------------------3871 The government shutdown has throttled this critical source of3872credit for Tribal producers. While IAC appreciates the partial3873reopening of county FSA offices, many of the programs that Tribal3874producers utilize, such as Farm Operating Loans and Farm Ownership3875Loans, remain closed to new loan applications. Delays in accessing3876these programs have compounding impacts: In an IAC survey of the3877shutdown impacts, a Tribal producer reported they are unable to move3878forward with purchases for forage--hay feed for livestock to supplement3879or replace grass and other plants that die off during the winter3880weather. Because of the shutdown, this producer will have to make3881difficult choices between waiting for the government to reopen and3882process his loan, which may drive up the cost of forage later in the3883season; seeking an alternative source of credit such as a friends and3884family or a payday loan; or going without.3885 Beginning Tribal producers are also being impacted. In the IAC3886survey, two beginner producers reported that they are unable to utilize3887Beginning Farmer and Rancher Loans at FSA, delaying their operations.3888Delays in receiving farm income from two-party checks3889 For the three weeks that FSA county offices were fully closed,3890Tribal producers with FSA operating loans were unable to receive3891payments from the sale of their livestock, as the payment was in the3892form of a two-party check that requires both FSA and the producer to3893endorse. Many producers' entire year's income comes from this sale, and3894any encumbrances from an FSA Operating or Farm Ownership Loan means3895they cannot access the proceeds from this sale until an FSA Farm Loan3896Programs Staff endorses the check.3897 The partial reopening of FSA county offices has enabled some3898producers to get their checks endorsed, but inconsistent policies,3899staffing, and office hours across offices has created unnecessary3900uncertainty and confusion.3901Delays in receiving conservation payments from NRCS3902 Many Tribal producers continue to wait on over-due payments from3903NRCS for agreed upon conservation practices the Tribal producers have3904either fulfilled or are in the process of fulfilling, most critically3905from the Conservation Stewardship Program (CSP) and the Environmental3906Quality Incentives Program (EQIP). These programs provide technical and3907financial assistance for producers to integrate conservation into3908working lands. EQIP payments are typically made on a reimbursement3909basis, meaning during the shutdown, producers are waiting for promised3910reimbursements of often tens of thousands of dollars many had already3911budgeted for operational expenses. CSP offers an annual payment, so3912delays of over a month due to a government shutdown may seriously3913jeopardize a producer's operation.3914Delays in Title Status Reports (TSRs), appraisals, probate, and other3915 administrative processes at BIA3916 Tribal producers operating on trust lands must often obtain3917additional documentation and complete additional processes at the3918Bureau of Indian Affairs. To secure an FSA Farm Operating Loan on3919Tribal trust land, a producer must first obtain a title status report3920(TSR) and appraisal from BIA. Producers and loan officers--at both3921commercial banks and the FSA--report that TSRs can take 90+ days to3922process, and appraisals may take 6 to 9 months. With the government3923shutdown, the backlog for appraisals and TSRs will only be worsened.3924 Tribal producers are also reporting that because BIA is closed,3925probate cases are being resolved, locking land up from heirs and out of3926production. According to the Congressional Research Service, BIA3927already has a backlog of more than 32,000 cases, and resolving a case3928can take multiple years. \2\ This backlog and these delays will only3929worsen the longer the government shutdown continues.3930---------------------------------------------------------------------------3931 \2\ CRS. Jan. 2024. https://www.congress.gov/crs-product/R47908#--3932Toc1575178673933---------------------------------------------------------------------------3934Delays in renewing or obtaining new leases3935 Tribal producers are also unable to obtain new leases or renew3936agricultural leases from BIA to operate on trust lands. Without these3937leases, Tribal producers lack the authority to begin or continue3938agricultural operations on these lands--and delays of even a few weeks3939can lead to missing key windows for fall or winter planting or losing3940time for grazing livestock. In addition, Tribal producers often need3941leases to access key FSA and NRCS programs.3942Impact of Reductions in Force (RIFs) and other staff departures3943 Current workforce shortages have led to profound inefficiencies3944that delay critical responses and approvals for Tribes and Tribal3945producers, directly leading to lost income, financial instability, and3946missed economic opportunities in Indian agriculture, as well as3947significant degradation and loss of financial value to trust lands. The3948failure to maintain adequate staffing to meet Tribal needs is an3949abrogation of the federal government's trust and treaty obligations to3950Tribes.3951Staff shortages at USDA3952 According to USDA's own numbers, over 15,000 employees have left3953USDA since the start of the year--a loss of approximately 15 percent of3954the USDA workforce. \3\ As a result, the USDA workforce is the smallest3955it has been in at least 27 years. \4\ According to the National3956Association of Farmer Elected Committees, which represents FSA county3957committees, there are fewer than 6,000 FSA County Office employees, \5\3958a loss of several thousand staff from just a few years ago, across39592,300 county offices. These workforce have exacerbated challenges3960Tribal producers face obtaining loans, enrolling in conservation3961programs, receiving payments, getting checks endorsed, and other3962essential services.3963---------------------------------------------------------------------------3964 \3\ Secretary Memorandum: SM 1078-015. July 2025. https://3965www.usda.gov/sites/default/files/documents/sm-1078-015.pdf3966 \4\ CalCAN. August 2025. https://calclimateag.org/usda-staffing-3967crisis-mass-departures-undermine-local-ag-support/3968 \5\ NAFEC. Sept. 2025. https://www.nafecfsa.com/--files/ugd/3969af9f1b_4966d99317ee456e809944a3ff74a4fd.pdf3970---------------------------------------------------------------------------3971Staff shortages at BIA3972 Tribes and Tribal producers have long expressed concerns with staff3973shortages at the BIA. The lack of sufficient staffing at BIA's Division3974of Real Estate Services and Division of Natural Resources has led to3975significant inefficiencies in the management of agricultural trust3976assets, land inventories and surveys, and management of feral horses,3977leading to land degradation and financial losses for Tribal landowners3978and lessees alike. Inadequate staffing has led directly to:39793980 Failure to fully implement the American Indian Agricultural3981 Resource Management Act of 1993 (AIARMA) and to assist Tribes3982 with establishing Agricultural Resource Management Plans3983 (ARMPs).39843985 Inadequate inventorying and monitoring of Tribal3986 agricultural resources,which are the basis for land use3987 planning and allocation decisions by BIA and Tribal landowners.3988 Tribal landowners cannot make informed, financially- and3989 ecologically-sound decisions without complete, up-to-date data3990 and assessments.39913992 Inadequate management of feral horses, an invasive species3993 that been linked to degradation of rangeland ecosystems,3994 including severe soil erosion and trampling that leads to3995 destruction of native plants, traditional medicinal plants,3996 natural springs, fishery habitats, and food resources for3997 native wildlife such as moose, elk, and deer39983999 Inadequate processing, monitoring, and enforcement of leases4000 and grazing permits40014002 Inadequate enforcement of trespass regulations, leading to4003 damage and/or depletion of agricultural trust resources.40044005 The consequences of government shutdowns and staff reductions are4006severe and far-reaching for Tribes and Tribal producers. We urge you to4007prioritize solutions that safeguard the vital agricultural resources4008and economic well-being of Tribal producers. Thank you for your4009commitment to this urgent issue.4010 ______40114012 Prepared Statement of Cory Blankenship, Executive Director, Native4013 American Finance Officers Association4014Introduction4015 Chairwoman Murkowski, Vice Chair Schatz, and Members of the Senate4016Committee on Indian Affairs (SCIA). Thank you for the opportunity to4017submit testimony on behalf of NAFOA, founded as the Native American4018Finance Officers Association, to be included in the record for the SCIA4019Oversight Hearing on ``Impacts of Government Shutdowns and Agency4020Reductions in Force on Native Communities'', which took place on4021October 29, 2025. For over 40 years, NAFOA has worked to grow Tribal4022economies and strengthen Tribal finance through advocacy, education,4023and policy development. Rooted in self-determination, our member Tribes4024and their enterprises represent the diverse economic landscape of4025Indian Country.4026 We know that any pause in federal operations, and particularly a4027prolonged shutdown, negatively impacts Tribes, Tribal Communities, and4028their neighbors. A federal shutdown prohibits the federal government4029from fulfilling its trust and treaty obligations to Tribal Nations.4030While we appreciate the work the Committee is doing to both understand4031the impact of the shutdown and work to ensure that Native Communities4032around the country aren't disproportionately impacted, the unfortunate4033fact is that Tribal communities are especially vulnerable to the4034consequences of a government shutdown. The week after the Committee4035held this oversight hearing, NAFOA hosted a roundtable for member4036Tribes, and between the roundtable and other direct member outreach, we4037know that Tribes are facing incredible economic challenges resulting4038from both the shutdown and recent Reduction in Force (RIF)4039announcements. At NAFOA, we remain committed to collecting and sharing4040stories of impact and helping our member Tribes with tools and4041resources to navigate federal funding and operational pauses.4042TTAC, Treasury, and the Administration4043 This year, NAFOA has worked diligently to build a strong working4044relationship with the Administration and with the Department of the4045Treasury in particular. As an advisor to the Treasury Tribal Advisory4046Committee (TTAC), we value the work and significant progress of the4047Treasury this year on critical and long-overdue Tribal issues like the4048proposed rules regarding wholly-owned Tribally chartered corporate4049entities and the Tribal General Welfare Exclusion (GWE) Act. We4050appreciate the Administration's efforts to correct decades of delays4051and reduce government overreach with the proposed final rules on these4052two critical issues, which have hindered economic growth and prosperity4053in Tribal communities and rural America. We are also eager to work with4054the new leadership at Treasury, including the new IRS CEO Frank4055Bisignano and Deputy Secretary Derek Theurer. We also greatly value4056Treasurer Brandon Beach and Assistant Secretary of Tax Policy Ken Kies'4057engagement on Tribal issues supporting the President's pro-growth4058agenda for Tribal Nations.4059Economic Development: The Shutdown and Reduction in Force4060 In addition to the strains of the government shutdown, Tribal4061Nations are concerned about ongoing Reductions In Force in critical4062positions across the federal government serving Tribal Nations. The4063Administration has made a number of RIF announcements that will4064negatively impact Tribal Nations and their abilities to grow and4065maintain robust Tribal economies and provide for the basic needs of4066their citizens. Tribes across the country have informed us of4067challenges with accessing critical systems, a lack of information from4068federal agencies, and considerable uncertainty about the potential4069impact of such actions. RIFs place additional hardships on already4070strained Tribal support programs and services. RIFs during a federal4071government shutdown only exacerbates the problem, increasing the damage4072done to communities that are already struggling with a decreased, or4073entirely lacking, amount of federal aid and/or responsiveness.4074 One example of a program impacted by the RIF, and which NAFOA has4075received numerous instances of feedback regarding, is the Community4076Development Financial Institution (CDFI) and the related Native4077American CDFI Assistance (NACA) program. Through the NACA Program,4078competitive awards are made to Native CDFIs in the form of loans,4079grants, equity investments, deposits, and credit union shares. This4080multiplies the impact of federal investments and allows Native CDFIs to4081pursue a variety of goals, from small business creation to affordable4082housing development, as well as other community development pursuits.4083However, on October 11th the entire staff of the CDFI Fund received RIF4084notices with termination date effective December 13th. This action4085would have severe and lasting impacts on the nearly 100 Native4086community development financial institutions serving Tribal Nations and4087communities across Indian Country.4088 As members of this Committee are aware, the CDFI program has broad,4089bipartisan support and has been an important engine for economic4090development where financing might not otherwise be available. This was4091exemplified earlier this year when Senators from both sides of the4092aisle requested the allocation of more than $300m in Congressionally4093appropriated funding. In a bipartisan letter signed by more than twenty4094Senators, they outlined why the program is critical:40954096 ``Since its inception over three decades ago, the CDFI Fund4097 has proven critical to the CDFI sector's success and has met4098 the mission to create a public-private partnership to promote4099 access to capital in our most underserved rural and urban4100 communities. Each year CDFIs leverage federal dollars from the4101 CDFI Fund with private-sector investment to boost small4102 business formation, increase housing production, and deliver4103 new capital to America's forgotten communities.''41044105 The NACA program has been an especially successful part of the CDFI4106program overall. The nearly 100 Treasury-certified and emerging Native4107CDFIs across the country--who have an average asset size of just $5.74108million--rely heavily on NACA Financial Assistance (FA) and Technical4109Assistance (TA) awards to support and expand their capacity to meet the4110acute and rapidly growing capital access needs of Native communities--4111needs that mainstream banking institutions have long ignored. Last4112month, NAFOA sent a letter to the Administration and Congress,4113encouraging them to maintain the $35 million funding level for the NACA4114Program in the final FY 2026 Appropriations package and ensuring the4115final FY 2026 Appropriations package includes sufficient funding for4116the CDFI Fund to support adequate staff to effectively administer the4117CDFI certification process and distribute NACA Program awards in a4118timely fashion.4119 These RIFs directly contradict the intent of Congress and4120statutorily authorized and appropriated funds. The impact of such4121action, if allowed, will likely be felt for years and any attempt to4122restart this critical program will likely result in significant delays4123and continued challenges for Tribal Nations. In the meantime, what4124staff remains would be hard-pressed to provide necessary technical4125assistance that might make or break the success of a given program or4126initiative.4127Advanced Appropriations4128 Lastly, the shutdown illustrates some of the issues Tribes face4129when it comes to budget forecasting and financial planning, as the4130inconsistency of funding from the government puts an incredible strain4131on Tribal accounting offices. The day before the hearing, the Brookings4132Institute, with Tribal partners, released a research paper on the4133impact of the shutdown on Tribes and how it shows the need for reform.4134The paper's conclusion echoes what NAFOA has been hearing from members4135nationwide:41364137 ``The impacts are likely to be particularly severe for many4138 Tribes and Native communities, some of which are among the4139 least-resourced places in the country, and many of whom are4140 dependent upon federal funding to provide services to their4141 people.''41424143 To address this issue, for the past few years NAFOA has recommended4144changing Tribally funded programs under the discretionary4145classification to the mandatory classification. Reclassifying programs4146would help Tribes with financial planning and make budget forecasting4147far more accurate, something that is very important to the business4148development of Tribes that have an oversized reliance on federal4149programs and funds. One of the programs that NAFOA strongly supports4150for reclassification is the Contract Support Costs and Payments for4151Tribal Leases. Previous President's Budgets have also called for4152reclassification of these programs, as did the recent Congressional S.4153Rept. 118-83. Now is the time to make these changes and help ensure4154that Tribal4155Closing4156 Thank you all again for the opportunity to submit testimony on this4157critical issue. Congress must take steps to ensure the federal4158government upholds its trust and treaty obligations to Tribal Nations4159without disruption, delay, or compromise. We urge Congress and the4160Administration to ensure all Tribal programs and federal offices4161serving Tribal Nations remain fully operational, adequately staffed,4162and receive their full, Congressionally authorized funds.4163 ______41644165 Prepared Statement of Larry Wright, Jr., Executive Director, National4166 Congress of American Indians4167 The National Congress of American Indians (NCAI), founded in 19444168and based in Washington, D.C., is the oldest, largest, and most4169representative national organization comprised of American Indian and4170Alaska Native Tribal governments and their citizens. NCAI advises and4171educates the public, state governments, and the federal government on a4172broad range of issues involving Tribal sovereignty, self-government,4173treaty rights, and policies affecting Tribal Nations. NCAI's primary4174focus is protecting the inherent sovereign legal rights of Tribal4175Nations through positions dictated by consensus-based resolutions.4176These resolutions are promulgated at NCAI's national conventions by the4177organization's membership, representing approximately 300 Tribal4178Nations that renew membership annually.4179 Through policy resolutions and other processes, NCAI also serves4180the broad policy interests of Tribal governments by working daily to4181promote strong Tribal and federal government-to-government policies.4182Below is an overview of a few of the many Tribal-specific programs4183impacted by the shutdown, agency reductions-in-force (RIFs),4184deregulation, and reorganization efforts that have impacted Tribal4185Nations and their members during this uncertain time.4186I. Overview of Impacts of Shutdown on Tribal Nations4187 When it was clear that the necessary appropriations would not be4188made for Fiscal Year 2026, NCAI moved with urgency and purpose to4189prepare Tribal Nations with facts, tools, and a plan of action.4190 NCAI convened a specialized webinar, Understanding Federal4191Government Shutdown Impacts on Tribal Nations, for Tribal leaders and4192communities to walk through what a lapse in appropriations means for4193core services. We covered agency guidance, answered questions live, and4194shared resources that leaders could use to brief councils and4195communities the same day.4196 NCAI launched a centralized online hub so Tribal governments had4197resources and guidance in one place, including the Office of Management4198and Budget (OMB) and agency shutdown guidance, a list of funded4199accounts, a comprehensive FAQ, a template letter to OMB, and draft4200talking points with a call script for congressional outreach and4201constituent updates. These materials were designed for immediate4202download and use at the department level. NCAI, in coordination with4203the Coalition for Tribal Sovereignty, urged and continues to urge4204Congress to provide advance appropriations for all Tribal funding--4205including Bureau of Indian Affairs (BIA) and pressing OMB to exempt4206Tribal funding lines and Tribal-serving positions from cuts or4207reductions in force.4208 Finally, NCAI released a short survey for Tribal leaders and4209advocates to report impacts in real time. The survey asks two core4210questions:42114212 1. What impact is the federal government shutdown having on4213 your program or community? Help us bring programs and accounts4214 to life for Congress.42154216 2. What have you, your organization, or your community been4217 doing to lessen the impacts of a government shutdown?42184219A. Impacts of the Federal Government Shutdown4220 Tribal leaders and advocates reported that their communities and4221programs were facing funding disruptions, operational challenges, and4222community-level impacts as a direct result of the shutdown, as well as4223cascading ripple effects. This shutdown undermines Tribal self-4224governance, a priority of this Administration, and strains the4225government-to-government relationship. Further, it causes secondary4226economic impacts--such as job losses, reduced childcare, and halted4227projects--which will have negative impacts on Tribal Nations and4228surrounding communities that will continue long after funding flows4229again.4230 Critical services, like policing, family protection, social4231services, elder care, and emergency management, are either stopped or4232delayed as a result of a lack of funding and Tribal Nations having to4233prioritize one critical service over another. Projects dependent on4234federal grants or loan guarantees are stalled, jeopardizing the4235financial stability of Tribal Nations. Tribal governments and programs4236(e.g., senior meal sites, elder nutrition, cultural preservation) have4237shut down or reduced hours, leading to furloughs. Agencies like BIA and4238United States Department of Agriculture (USDA) have been largely4239unresponsive, preventing reporting, compliance checks, and drawdowns.4240B. Tribal Actions to Lessen Impacts of Federal Government Shutdown4241 Tribal Nations are resorting to a variety of strategies to minimize4242the significant and negative impacts on Tribal Nations caused by the4243lack of appropriations. Many Tribal Nations and organizations are4244drawing from reserves or contingency funds to maintain essential4245services and staff. Tribal Nations are cutting spending, reducing4246hours, furloughing staff, and delaying noncritical projects. Some are4247prioritizing essential services and using limited reserves to maintain4248operations temporarily. Emergency declarations and contingency planning4249are being activated to mitigate impacts. Tribal Nations are also4250increasing community support efforts, such as food drives, mutual aid,4251and reliance on traditional practices. Tribal Nations and Tribal4252citizens also are relying on emotional and cultural coping strategies,4253such as prayer and returning to traditional healing.4254II. Tribal Specific Programs and Concerns4255A. Access to Food: SNAP, WIC, and FDPIR4256 One in four Tribal citizens experiences food insecurity. \1\ An4257estimated 170,000-500,000 Tribal members participate in the4258Supplemental Nutrition Assistance Program (SNAP), \2\ and 81,600 Tribal4259women, children, and infants participate in the Special Supplemental4260Nutrition Program for Women, Infants, and Children (WIC). \3\ When4261Congress allows these essential food benefits to lapse, we see4262devastating impacts on Tribal communities. Tribal members and families4263are already struggling with the increased cost of food--especially on4264reservations, where the cost of basic staples comes at an even higher4265price. According to one study, a gallon of milk costs 40 percent more4266in Indian Country. A loaf of bread is 85 percent more expensive, and4267chicken is 71 percent more.4268---------------------------------------------------------------------------4269 \1\ Feeding America, 2021, https://www.feedingamerica.org/sites/4270default/files/2021-03/National%20Projections%20Brief_3.9.2021_0.pdf.4271 \2\ Center on Budget and Policy Priorities, 2022, https://4272www.cbpp.org/research/food-assistance/the-historical-determinants-of-4273food-insecurity-in-native-communities.4274 \3\ FNS, 2025, https://www.fns.usda.gov/research/wic/participant-4275program-characteristics-2020-charts.4276---------------------------------------------------------------------------4277 NCAI--as one of the original co-founders of the Native Farm Bill4278Coalition (NFBC or Coalition)--endorsed the Coalition's October 27,42792025, letter to Congress urging immediate action to prevent the4280imminent lapse of benefits provided through SNAP and WIC. NCAI4281encourages Congress to continue ensuring SNAP and WIC remains fully4282funded and that USDA uses the SNAP contingency reserve and tariff4283revenue to ensure SNAP and WIC enrollees receive full benefits for4284November 2025 as outlined earlier this month by the White House. \4\4285Federal feeding programs are not welfare programs for Tribal Nations:4286Tribal Nations prepaid for these benefits through the ceding of4287millions of acres of land and other concessions made in treaties.4288Tribal Nations cannot afford a lapse in food benefits.4289---------------------------------------------------------------------------4290 \4\ USDA, 2025, https://web.archive.org/web/20251001155705/https://4291www.usda.gov/sites/default/files/documents/fy2026-usda-lapse-plan.pdf.4292---------------------------------------------------------------------------4293 In addition to our concerns about access to SNAP and WIC, we are4294concerned about unintended consequences to the Food Distribution4295Program on Indian Reservations (FDPIR) for three reasons. First, NCAI4296has heard reports of increased enrollment in FDPIR, a program that may4297not be prepared for an influx of new enrollments for November and into4298the future, as Tribal members worry about their access to SNAP and WIC.4299USDA and Congress should provide oversight of FDPIR operations,4300including monitoring increased enrollment, adequate purchasing,4301warehousing, and distribution of food. Additionally, we encourage4302Congress to support increased appropriations for FDPIR sites that4303experience significant unexpected increases, ensuring that Tribal4304members maintain access to food.4305 Second, as you know, dual enrollment in SNAP and FDPIR is4306prohibited. Due to the uncertainty of receiving SNAP benefits coupled4307with the USDA's November 8, 2025, guidance only allowing the4308distribution of partial benefits for the month of November, \5\ many4309Tribal members are scrambling to close their SNAP cases and switch to4310FDPIR. While USDA issued guidance to provide flexibility to FDPIR sites4311about the certification of closed SNAP cases on October 31, 2025,4312significant uncertainty remains for these members caught in the flux.4313Congress must work in a bipartisan manner to remove the unnecessary4314prohibition on the dual use of SNAP and FDPIR in the same month. This4315barrier prevents Tribal members from accessing food when they need it4316most, including during federal government shutdowns.4317---------------------------------------------------------------------------4318 \5\ 5 FNS, 2025, https://www.fns.usda.gov/snap/updated-4319supplemental-nutrition-assistance-program-snap-november-benefit-4320issuance11-84321---------------------------------------------------------------------------4322 Third, NCAI is concerned that USDA is transitioning FDPIR storage4323and distribution contracts to new vendors during such an uncertain4324period. Tribal Nations cannot afford another FDPIR warehouse crisis,4325especially during a potential lapse of SNAP benefits. Congress should4326provide oversight of the transition to the new storage and distribution4327vendors.4328 In the long term, we urge Congress to support the 638 Authority for4329Tribal Nations to assume administration of both SNAP and FDPIR. This4330expanded authority will transform food systems in Native communities by4331bolstering local agricultural economies, increasing access to healthy4332and traditional foods, and creating new opportunities for Tribal4333workforce development and local producers who desperately need access4334to reliable food markets.4335B. CDFI Fund4336 The National Congress of American Indians endorses the oral and4337written testimony submitted by the Native CDFI Network (NCN) to the4338Senate Committee on Indian Affairs and joins NCN in urgently calling on4339Congress to reverse the October 10, 2025, Reduction in Force (RIF)4340action that terminated all CDFI Fund staff and to halt the4341Administration's plan to abolish the Fund altogether. According to a4342Federal Reserve Bank of Philadelphia study, 46 percent of Tribal4343communities are located in banking deserts--over 12 times the national4344average of 3.8 percent. \6\ The 65 Treasury-certified Native CDFIs and4345recently emerging Native CDFIs that NCN represents are typically the4346only financial institutions serving our Tribal Nations, citizens, and4347their communities, providing access to capital, credit, and financial4348education where no alternatives exist. The RIF action and looming4349abolishment of the CDFI Fund will economically devastate our Tribal4350communities and severely harm Native CDFIs' ability to serve the4351growing small business, homeownership, agricultural, and consumer4352lending needs that mainstream banking institutions have long ignored in4353Indian Country.4354---------------------------------------------------------------------------4355 \6\ Federal Reserve Bank of Philadelphia, U.S. Bank Branch Closures4356and Banking Deserts, February 2024, p. 9.4357---------------------------------------------------------------------------4358 Tribal Nations are already experiencing devastating impacts from4359this action. With an average asset size of just $5.7 million, \7\4360Native CDFIs rely heavily on Native American CDFI Assistance (NACA)4361Program awards to serve our communities and scale their operations. So4362far, the FY 2025 congressionally-appropriated NACA funding remains4363frozen, and no Treasury staff remain to finalize agreements or release4364awards--essentially choking off critical seed capital that Tribal4365communities depend on for economic development. Many of Indian4366Country's Native CDFIs awaiting recertification remain uncertain, with4367no one to process applications. The abolishment will also end the New4368Markets Tax Credits Program that brings private investment to Tribal4369lands, jeopardize Congress's bipartisan push to expand the USDA Section4370502 Native Relending Program, and eliminate the federal CDFI4371certification process that Native CDFIs use to secure significant non-4372federal investments for projects in Indian Country.4373---------------------------------------------------------------------------4374 \7\ Center for Indian Country Development, Understanding the Native4375CDFI landscape, Federal Reserve Bank of Minneapolis, September 4, 2025.4376---------------------------------------------------------------------------4377 The CDFI Fund and the NACA Program are not charity; they are a4378practical fulfillment of the federal government's trust and treaty4379obligations to Tribal Nations ensuring American Indian and Alaskan4380Native (AI/AN) people have the same access to financial and economic4381opportunities as all other Americans. Since FY 2010, NACA recipients4382have originated nearly $2.6 billion in total loans and investments in4383Tribal communities, provided more than $659 million in financing to4384nearly 4,340 Native-owned businesses, and supported the development of4385nearly 500 units of affordable housing in Indian Country. \8\ Treasury4386Department data shows that investments in CDFIs produce an eight-fold4387return, with each $1 creating $8 in private sector investments, \9\4388while CDFIs maintain a loan default rate of just 0.36%--roughly half4389the rate of traditional banks. \10\ The consequences of inaction are4390severe: Native people living on reservations face mortgage rates nearly4391two percentage points higher than non-Native people outside4392reservations, meaning a Native family purchasing a $140,000 home could4393pay $100,000 more over a 30-year loan. \11\4394---------------------------------------------------------------------------4395 \8\ CDFI Fund, Native American CDFI Assistance Program Award Book4396FY 2024, p. 1.4397 \9\ Treasury Secretary Janet Yellen (Native CDFI Network, Native4398CDFIs: Stepping Up to Serve Indian Country Through the Pandemic and4399Beyond, July 2021, p. 1)4400 \10\ America's Credit Unions, ``STATEMENT from America's Credit4401Unions on Secretary Bessent's Clarification on the CDFI Fund,'' March440218, 2025.4403 \11\ Laura Cattaneo and Donna Feir, The Higher Price of Mortgage4404Financing for Native Americans, Working Paper Series No. 1906, Federal4405Reserve Bank of Minneapolis, September 17, 2019, p. 1.4406---------------------------------------------------------------------------4407 NCAI urges Congress to take immediate action to protect this4408critical infrastructure for Indian Country's economic development by:44094410 Convening an oversight hearing with OMB and U.S. Treasury4411 officials to examine the implications of CDFI Fund staffing4412 reductions and assess their impact on Tribal Nations;44134414 Maintaining the $35 million funding level for the NACA4415 Program in the final FY 2026 Appropriations package and4416 ensuring sufficient funding for adequate CDFI Fund staff to4417 effectively administer the certification process and distribute4418 awards in a timely fashion;44194420 Supporting inclusion of Amendment #3732 in the final FY264421 National Defense Authorization Act package, which features4422 provisions to expand the USDA 502 Native CDFI relending4423 program.44244425 Tribal Nations cannot afford the economic devastation that will4426result from the elimination of the CDFI Fund and the freezing of NACA4427Program funding.4428C. Housing4429 The National Congress of American Indians urges Congress to address4430the severe operational breakdown at BIA realty offices nationwide,4431which is creating unprecedented barriers to Tribal homeownership and4432economic development. Staff reductions across BIA realty offices--4433through retirements and position eliminations--have occurred without4434any internal or external notification protocols. Lenders attempting to4435secure Title Status Reports (TSR) for home loans on trust land are4436receiving no response to emails and phone calls, with no out-of-office4437notifications or contact information for alternative staff. It has been4438shared with NCAI that lenders have waited six weeks or longer to4439discover that their point of contact was no longer employed, leaving4440loan applications in limbo and Tribal borrowers unable to access4441homeownership opportunities. This lack of basic institutional4442communication represents a fundamental failure in the federal4443government's trust responsibility to facilitate Tribal housing4444development.4445 The impact of these staffing failures extends beyond administrative4446inconvenience--it actively inhibits Tribal families from purchasing4447homes and blocks Tribal housing programs from accessing critical4448capital. The ongoing shutdown is further compounding these challenges4449by slowing the processing of USDA Rural Development Section 502 direct4450loans to Tribal borrowers and Section 502 relending loans to Native4451CDFIs. These programs are essential tools for Tribal homeownership and4452community development, particularly in areas where conventional4453financing is unavailable due to trust land status. At the same time,4454the U.S. Department of Housing and Urban Development's (HUD) Office of4455Native American Programs has active competitive funding opportunities--4456including the Indian Housing Block Grant Competitive and Indian4457Community Development Block Grant programs--that require HUD staff to4458manage deadlines, process applications, and award funds. The absence of4459HUD employees to provide technical assistance, process requests, or4460oversee these competitive grant programs could halt critical housing4461services and construction projects across Indian Country. While some4462Tribal Nations can draw down existing funds or rely on reserves, many4463do not have that cushion. For those programs, delayed disbursements or4464lack of federal support means immediate disruption to housing stability4465for Native families.4466 We urge Congress to take immediate action to restore functionality4467to Tribal housing operations and ensure continuity of all programs4468serving Indian Country. Specifically, Congress must:44694470 Maintain USDA Rural Development operations during the4471 shutdown, ensuring Section 502 loans continue to reach Tribal4472 borrowers and Native CDFIs.44734474 Ensure the HUD's Office of Native American Programs has the4475 staffing and resources necessary to manage active competitive4476 grant deadlines and provide technical assistance to Tribal4477 housing programs. Tribal housing programs are not optional--4478 they are grounded in solemn trust and treaty commitments, which4479 were prepaid with millions of acres of land and other4480 concessions made in treaties.44814482 Exempt all federal employees serving Tribal Nations, Tribal4483 citizens, and Tribal communities from any shutdown-related4484 furloughs or reductions in force, citing federal trust and4485 treaty obligations as well as the critical need to preserve4486 essential public safety, housing, and health services in Indian4487 Country.44884489 Support the immediate passage of the Native American Housing4490 Assistance and Self-Determination Act (NAHASDA)4491 Reauthorization.44924493 Support passage of S.723/H.R.2130, the Tribal Trust Land4494 Homeownership Act of 2025, which attempts to expand Tribal4495 homeownership opportunities by transforming the BIA mortgage4496 approval process through enforceable processing deadlines,4497 mandatory communication protocols, Trust Asset and Accounting4498 Management System data access for Tribal Nations and lenders,4499 and enhanced accountability.45004501III. Conclusion4502 The ongoing government shutdown has deeply undermined the federal4503government's trust and treaty responsibilities to Tribal Nations,4504threatening essential services, economic stability, and the health and4505safety of Native communities. From halted housing and public safety4506programs to frozen food assistance and economic development funds, the4507impacts are immediate and compounding. Tribal Nations have demonstrated4508resilience by deploying emergency measures, drawing down limited4509reserves, and supporting one another--but these efforts are not4510sustainable.4511 NCAI strongly urges Congress and the Administration to act without4512delay to reopen the federal government and restore full operations for4513all agencies serving Indian Country. Tribal programs are not4514discretionary; they are the tangible expressions of the United States'4515solemn commitments to Tribal Nations. To prevent future disruptions to4516critical services, we further call on Congress to work in a bipartisan4517manner with Tribal governments to enact advance or mandatory4518appropriations for all Indian Country funding lines across the federal4519government.4520 Only through bipartisan collaboration and sustained consultation4521with Tribal Nations can we ensure that the federal trust and treaty4522obligations are met and that Tribal communities are no longer held4523hostage to political gridlock. NCAI stands ready to work with Congress4524and the Administration to secure these commitments and safeguard the4525well-being and sovereignty of Tribal Nations now and for generations to4526come.4527 ______45284529 Prepared Statement of the Standing Rock Sioux Tribe4530Introduction4531 The Standing Rock Sioux Tribe (Tribe) submits this testimony for4532the record in response to the U.S. Senate Committee on Indian Affairs4533``Oversight Hearing Impacts of Government Shutdowns and Agency4534Reductions In Force on Native Communities.'' Our Standing Rock4535Reservation encompasses 2.3 million acres in North and South Dakota. We4536have over 16,000 enrolled members with over half residing on the4537Reservation. Our infrastructure needs stretch across an area the size4538of the States of Delaware and Rhode Island combined.4539 The programs and services the United States committed to provide in4540our 1851 and 1868 Treaties should not be subject to partisan politics4541over funding the Federal government. We paid upfront for the services4542and programs guaranteed in our Treaties by ceding vast and priceless4543lands, waters, and resources to the United States. Since making those4544solemn agreements and signing those Treaties, the United States has4545repeatedly failed to secure our lands, waters, and resources and has4546chronically underfunded the programs and services owed to the Tribe.4547 As a large land base Tribe, the area we govern and the programs and4548services owed to our members are stretched over a large area. This4549increases pressure on our limited resources like social services, law4550enforcement, health care, roads, and more. When you compound this4551existing strain with a Federal government shutdown and federal agency4552reductions in force (RIF), our already limited resources become4553dangerously strained.4554 Congress' inability to fund the government impacts large land base4555tribes like our Tribe more than most. The unemployment rate on our4556Reservation is above 50 percent and 40 percent of our families live in4557poverty. Our Reservation is rural and remote. Our primary economic4558resources are cattle ranching and farming, our rural casinos, and4559government programs. Much of our economy relies on federal funding for4560programs and services that are owed to us for the lands and resources4561that we ceded to the United States in Treaties.4562 For these reasons, on October 23, 2025, the Standing Rock Sioux4563Tribe declared a state of emergency in response to the escalating4564impacts of the Federal government shutdown. This declaration reflects4565the immediate threat the shutdown poses to the health, safety, and4566welfare of our citizens and addresses the importance of reinstating4567operations and fulfilling their trust and treaty obligations to Indian4568Tribes. Our biggest and most immediate concern is the effect the4569government shutdown will have on our social services programs.4570Critical Social Services at Risk4571 The economic reality in our territories highlights this hardship.4572Our Tribal communities continue to struggle with high unemployment4573rates stemming from a chronic lack of sustainable job opportunities.4574The Tribe administers vital programs, including the Supplemental4575Nutrition Assistant Program (SNAP) benefits, Women Infant Children4576(WIC) program, Low Income Home Energy Assistance Program (LIHEAP), and4577the Food Distribution Program on Indian Reservations (FDPIR). Our SNAP4578program has 20,341 recipients with over 50 percent being children,4579totaling over $1.4 million for the last three months alone. Our WIC4580Program has 203 monthly participants averaging $20,163 per month, and4581LIHEAP has 902 participants with an average of $125,000 per month for4582fuel assistance. FDPIR supports 4,403 participants with a total retail4583value of $891,607.50. These numbers reflect families, elderly, and4584children who rely on these programs to meet their most basic needs. Any4585disruption has an immediate and harmful impact on the health and4586stability of our community.4587 Despite a recent court order requiring the U.S. Department of4588Agriculture to pay SNAP benefits, participants will only receive a4589partial payment and be forced to make difficult decisions on groceries.4590This is why we issued a letter to our Congressional Delegation4591requesting an exemption for Tribal members to be able to participate in4592both SNAP and FDPIR during states of emergency like Federal government4593shutdowns. If Tribal members are unable to receive SNAP benefits for an4594extended period, it is extremely important the Tribe has the ability to4595feed our people with the FDPIR program. Forcing Indian tribes to only4596feed certain individuals is inhumane and violates our inherent right to4597protect our people. We paid in land, let us feed our people.4598 The stability of our community also relies on our Child Protection4599Services (CPS). Our CPS are severely underfunded and alarmingly4600understaffed, with only a couple of investigators assigned to protect4601hundreds of vulnerable children. With Indian children comprising a4602staggering 40-50 percent of foster care in North and South Dakota,4603Indian Affairs lack of resources tragically forces us to place children4604off-Reservation, undermining family bonds. RIFs to achieve ``workforce4605optimization'' and ``efficiency'' come at the cost of protecting our4606youth.4607Community Safety and Stability Also at Risk4608 The protection of our community is also affected by the Federal4609government shutdown, and the Bureau of Indian Affairs (BIA) law4610enforcement is a glaring example of the Federal government's failure to4611fulfill its Treaty and trust obligations. Our BIA law enforcement4612program operates with only seven patrol officers covering the area of4613two small states. This is a bleak and dangerous contrast to the minimum4614of 20 officers needed. This severe shortage directly leads to dangerous4615situations, unacceptable response times, and rampant officer burnout.4616Couple the lack of resources with no pay due to a Federal government4617shutdown will continue to wear down the physical and mental health of4618BIA law enforcement.4619 In addition, the pervasive lack of officer housing, forcing most to4620commute 70 miles from Bismarck, North Dakota, severely impacts4621effective patrol hours. Compounding this, hiring bottlenecks within BIA4622critically delays the law enforcement hiring process, causing qualified4623candidates to seek employment elsewhere and perpetuating this life-4624threatening law enforcement shortage. Any restructuring of Indian4625Affairs must prioritize a drastic increase in public safety personnel,4626coupled with competitive pay, housing solutions, and efficient hiring4627processes.4628 Similar to the Federal government shutdown, the planned closure and4629consolidation of numerous BIA Regional Offices across the country4630present a significant threat to the timely administration of grazing4631permits on tribal and individually owned Indian lands. BIA Regional4632Offices are responsible for managing and protecting the trust lands,4633assets, and natural resources held in trust by the United States for4634Tribes and individuals. The elimination of local BIA field offices,4635many of which provide essential, localized, in-person support in rural4636areas with limited Internet access, would force Tribal members and4637ranchers to travel significant distances to access these vital4638services. This reduction will create substantial administrative delays,4639hindering the ability of ranchers to secure or renew permits promptly,4640and jeopardizing the economic stability of tribes.4641Advance Appropriations for Essential Tribal Services4642 To address the funding issues that tribes experience during4643shutdowns of the Federal government, we support legislation like S.46442771, the Indian Programs Advance Appropriations Act of 2025. S. 27714645authorizes advanced appropriations for certain BIA, Bureau of Indian4646Education (BIE), and Indian Health Service (IHS) accounts. BIA covered4647accounts include the Operations of Indian Programs which encompass Road4648Maintenance and Public Safety and Justice.4649 This bill would provide stable, long-term funding for federal4650Indian programs that are guaranteed to us in our Treaties. This4651approach is already working well for the Indian Health Service (IHS)4652during this current shutdown. Because of advance funding, there are no4653service interruptions or uncertainty for the delivery of healthcare.4654This proven approach must be applied to all federal Indian programs to4655ensure our communities continue to receive the critical services they4656are owed.4657 In 2023, Congress provided IHS with advance funding for the first4658time, a historic achievement. However, current law does not require IHS4659to continue receiving advance appropriations, nor does it provide4660similar authority for the BIE and BIA. S. 2771 would provide the4661statutory authority to safeguard this financial security for our trust4662and Treaty responsibilities at these agencies going forward.4663Conclusion4664 The crisis we face, from food insecurity to endangering our4665community, is a direct result of the United States' failure to honor4666its trust and Treaty obligations to our Tribe. The solution is clear4667and proven by the advance appropriations that Congress provides to IHS.4668We need advanced appropriations across Indian programs and services to4669ensure the partisan political budget battles never threaten the health,4670stability, and safety of the Standing Rock Sioux Tribe and the4671commitments that the United States made in Treaties.4672 We call on Congress to recognize that this is not a budget issue;4673it is a moral and legal obligation. We demand passage of legislation4674that protects our essential services, guaranteeing that political4675gridlock in the capital never again compromises the health, stability,4676and safety of the Standing Rock Sioux Tribe.4677 ______46784679 Prepared Statement of Gjermundson C. Jake, President, Ramah Navajo4680 School Board, Inc.4681 Dear Chairman Murkowski, Vice Chair Schatz, and Members of the4682Senate Committee on Indian Affairs:4683 Ya'at'eeh my name is Gjermundson C. Jake and I serve as the4684President of the Ramah Navajo School Board, Inc. (RNSB). RNSB operates4685a complex of Head Start, Early Intervention, Family and Child Education4686(FACE), Elementary, Junior High, and High Schools, the Pine Hill Health4687Center, and several social services programs on the Ramah Navajo4688Reservation in New Mexico. In 1970, RNSB established the Ramah Navajo4689High School, the first Indian community school governed by an4690allIndian, locally controlled school board. Our efforts were a model4691for the groundbreaking 197 5 Indian Self-Determination and Education4692Assistance Act, PL 93-638 (ISDEAA). Today, RNSB provides quality4693services and programs to address our community's needs and uplift their4694economic conditions.4695 RNSB's FACE-12 programs are primarily forward funded through the4696Bureau of Indian Education (BIE) and have therefore been relatively4697insulated from immediate funding disruptions. However, certain Indian4698Education accounts are not forward funded, such as Facilities4699Operations and Maintenance, which disrupts our ability to maintain a4700quality learning environment for our students. We also appreciate the4701opportunity to provide information to the Senate Committee on Indian4702Affairs (SCIA) regarding the impacts of the government shutdown and4703agency reductions in force on all of our programs, particularly those4704that are not forward funded, but still provide critical services to our4705community.4706 Because of the shutdown, RNSB has stepped into the role of the4707federal government as trustee for the wellbeing of its people. RNSB's4708Head Start grant renews annually on November 1, and many RNSB families4709rely on the Supplemental Nutrition Assistance Program (SNAP) and the4710Women, Infants, and Children (WIC) program for meals. With nothing4711appropriated for the Head Start program in Fiscal Year 2026 and SNAP4712and WlC benefits in a tenuous state, RNSB is grateful to be in a4713position to use its own investment funds to ensure continuity of its4714Head Start program, which provides essential health, education,4715nutrition, and family services to the community. During a government4716shutdown when families have fewer resources to rely on, Head Start4717becomes an even more critical program. It is paramount, therefore, that4718Congress insulate Head Start from the effects of government shutdowns.4719For these reasons and as described in my testimony herein, RNSB4720respectfully requests that SCIA support the following legislative4721priorities to ease the burden on Tribal Nations during government4722shutdowns:47234724 Ensure a statutory reimbursement mechanism for RNSB's4725 operation of programs with lapsed appropriations in the4726 reopening bill;47274728 Secure forward funding for Head Start and all education4729 related accounts and programs across federal agencies,4730 including, but not limited to, Facilities Operations and4731 Maintenance funds, Education Construction funds, and Johnson4732 O'Malley (JOM) funds;47334734 Except or exempt from furlough all staff who service Indian4735 education programs, including Bureau of Indian Affairs (BIA)4736 staff, staff at the Department of Education's Office of Indian4737 Education (OIE), and staff in Region XI of the Office of Head4738 Start.473947401. The RNSB Board of Directors has authorized use of investment income4741 to cover RNSB Head Start's fixed costs through December and4742 continues to provide vital care to our community in this time4743 of need4744 The ongoing shutdown coincided with RNSB's Head Start grant renewal4745date of November 1, 2025 . RNSB's Head Start Program is funded to serve474660 students with 17 staff members who are impacted by a lapse in4747funding. The timing of the grant renewal created significant4748uncertainty regarding the continuity of critical early childhood4749services in our community. While the Administration has been able to4750divert funds to pay partial SNAP benefits and military salaries, no4751alternative funding sources exist for Head Start besides Congressional4752appropriations. Under the Antideficiency Act (31 U.S.C. 1341 ),4753agencies generally cannot obligate funds during a lapse in4754appropriations; without an explicit reimbursement mechanism from4755Congress, Tribal grantees who advance non-federal funds do so at4756significant financial risk.4757 Not only does the lapse in funding affect our Head Start services,4758the government shutdown has prevented RNSB from accessing the technical4759assistance and federal mechanisms necessary to renew its grants prior4760to its expiration date. With little to no preparation, RNSB will4761experience even further delays in receiving our new fiscal year funds4762once the government reopens.47634764 In exercising its fiduciary duties, the Board of Directors chose to4765utilize RNSB 's investment income to cover Head Start's fixed costs4766(GSA leases, salaries, utilities, etc.) through December 2025. If the4767shutdown does not end before January 1, 2026, the Board of Directors4768will re-evaluate the use of investment funds and our Head Start program4769may be forced to close.47704771 RNSB also continues to provide essential care to all members of the4772Ramah Navajo community, including families of our students. Due to the4773lapse in SNAP and WIC funds, many in our community were left with4774uncertainty over how to provide meals for their families. RNSB4775continues to check in on families in our community (beyond students4776served by our K-12 and Head Start programs) and provide essential4777resources, including meals for those in need. In addition, the state of4778New Mexico has stepped in to cover reimbursements for nutritious meals4779and snacks provided to our Head Start families through the Child and4780Adult Care Food Program, which has experienced delays in federal4781reimbursements due to the shutdown. While RNSB is grateful for the4782supplemental resources that enable us to continue to provide meals to4783our neediest families, these are only temporary measures, and we remain4784concerned about the food insecurity of our community if the shutdown4785drags on.47862. Congress must provide assurance that there will be a statutorv4787 reimbursement mechanism in the reopening bill that would enable4788 RNSB to re-coup expenses for operating its Head Start program4789 during the shutdown with investment funds4790 The RNSB Board of Directors urges Congress to provide a statutory4791mechanism to reimburse RNSB for use of its investment income to keep4792its Head Start program operational during the government shutdown. The4793Board of Directors takes its fiduciary responsibility seriously and4794made the crucial decision to provide continuity of early childhood4795services to our community with investment income. This use of funds was4796on an emergency basis, and RNSB will need to re-evaluate its use of4797investment funds if the shutdown continues past December. A crucial4798factor in RNSB's decision will be whether Congress provides assurance4799that there will be a reimbursement of expended investment income.4800 RNSB urges Congress to include language in the reopening bill which4801mirrors the Further Additional Continuing Appropriations Act of 2019:48024803 SEC 139. (a) If a State (or another Federal grantee) used4804 State funds (or the grantee's nonFederalfund) to continue4805 carrying out a Federal program or furloughed State employees4806 (or the grantee's employees) whose compensation is advanced or4807 reimbursed in whole or in part by the Federal Government-48084809 (1) such furloughed employees shall be compensated at their4810 standard rate of compensation for such period;48114812 (2) the State (or such other grantee) shall be reimbursed for4813 expenses that would have been paid by the Federal Government4814 during such period had appropriations been available, including4815 the cost of compensating such. furloughed employees, together4816 with interest thereon calculated under section 6503(d) of title4817 31, United States Code; and48184819 (3) the State (or such other grantee) may use funds available4820 to the State (or the grantee) under such Federal program to4821 reimburse such State (or the grantee), together with interest4822 thereon calculated under section 6503(d) of title 31, United4823 States Code.48244825 (b) For purposes of this section, the term ``State'' and the4826 term ``grantee'' shall have the meaning as such term is defined4827 under the applicable Federal program under subsection (a). In4828 addition, 'to continue carrying out a Federal program' means4829 the continued performance by a Stale or other Federal grantee,4830 during the period of a lapse in appropriations, of a Federal4831 program that the State or such other grantee had been carrying4832 out prior to the period of the lapse in appropriations.48334834 (c) The authority under this section applies with respect to4835 any period in fiscal year 2019 (not limited to periods4836 beginning or ending after the date of the enactment of this4837 Act) during which there occurs a lapse in appropriations with4838 respect to any department or agency of the Federal Government4839 which, but for such lapse in appropriations, would have paid,4840 or made reimbursement relating to, any of the expenses referred4841 lo in this section with respect to the program involved.4842 Payments and reimbursements under this authority shall be made4843 only to the extent and in amounts provided in advance in4844 appropriations Acts. \1\4845---------------------------------------------------------------------------4846 \1\ Pub. L. No. 116-5, 132 Stat. 3124 (2019).484748483. Congress must forward-fund Head Start to ensure stability during4849 government shutdowns4850 The 2025 shutdown has caused uncertainty in our community regarding4851funding for the Head Start program, salaries, and reimbursements4852because it is not forward funded. The potential for temporary closure4853of our program has on-the-ground impacts that have the potential to4854lead to reduced enrollment and cutbacks in transportation and meals.4855Forward funding is a mechanism by which some of the harmful impacts of4856a government shutdown could be mitigated in the future. Al/AN Head4857Start programs and the children, families, and communities they serve4858stand to benefit greatly from the clarity and certainty that forward4859funding for the program would provide. RNSB would be happy to work with4860SCIA on legislative language and strategy to secure forward funding for4861Head Start.48624. Congress must forward fund all Indian Education accounts, including4863 Facilities Operations and Facilities Maintenance, or enact the4864 Indian Programs Advance Appropriations Act4865 Although our schools have already received a significant portion of4866their BIE funds for this school year, and it therefore may appear that4867they are not impacted by the government shutdown, we are still impacted4868with respect to non-forward funded programs. Facilities Operations and4869Maintenance (O&M) funds are not forward-funded--meaning that during a4870government shutdown, their appropriations lapse and the funds are not4871available to our schools until Congress acts to fund the government.4872 Operations and Maintenance funding is essential for the health and4873safety of students and staff at RNSB. It supports vital services like4874janitorial staff, electrical power, potable water, pest control, and4875other utilities. Maintenance funding covers routine and emergency4876repairs, ensuring proper infrastructure for facilities such as water4877towers, ventilation systems, and fire safety equipment. By ensuring4878that school facilities are regularly assessed and maintained, schools4879are able to prevent smaller issues from evolving into larger, costly,4880and time-consuming emergencies and ensure the safety and comfort of our4881students and staff to engage in productive learning.4882 The Facilities Operations and Maintenance accounts are crucial for4883school budgets but remain underfunded and are not forward-funded. As a4884result, during government shutdowns or when operating on a Continuing4885Resolution, schools often cannot access these funds until late in the4886school year or even after the school year ends. This forces schools to4887borrow from forward-funded accounts like the Indian School Equalization4888Program (ISEP), creating accounting issues and potentially leading to4889service cuts. Additionally, delayed funding affects the timely4890calculation of Tribal Grant Support Costs. Forward funding these4891accounts would enhance efficiency and lead to long-term cost savings by4892helping address maintenance needs before they escalate into costly4893construction projects.4894 The Indian Programs Advance Appropriations Act (S. 2771/H.R. 5328)4895would also directly address this issue by ensuring that the entirety of4896the BIE receives not only forward funding, but advance appropriations,4897fully insulating Tribal schools from the disruptions of annual funding4898lapses. This measure represents the final step in safeguarding BIE4899schools and students from shutdowns and the political uncertainty of4900continuing resolutions.49015. Congress must except or exempt from furlough all federal staff that4902 administer Indian Education programs, including AI/AN Head4903 Start4904 Even though all 2,961 employees of the BIE are exempt personnel4905under the 2025 BIE contingency plan, only 37 percent of BIA staff are4906considered exempt, including staff in the Facilities and Maintenance4907offices, and the entire staff at the OIE have received reduction-in-4908force notices. Our schools are still impacted by these furloughs and4909RIFs of non-BIE personnel. When inadequate staff are working to support4910BIE school facilities, our maintenance needs go unaddressed. In4911addition, RNSB has lost contact with the Office of Head Start while its4912Head Start grant has expired and it awaits approval on a facilities4913funding application that was submitted long ago.4914 RIFs and furloughs during the government shutdown have only4915exacerbated an existing problem for federal offices serving Indian4916Education programs. When the White House launched its reorganization of4917the Executive Branch, the BIE dipped to an over 50 percent vacancy4918rate. Further, when the Office of Head Start closed five Head Start4919regional offices, Region XI, the region dedicated to AI/AN Head Start4920grantees, was not closed, but at least half the staff in Region XI were4921diverted to other regions that suddenly found themselves with4922exponentially larger caseloads due to regional office consolidation.4923The redirecting of Region XI staff to other regions merely exacerbated4924a problem that already existed in Region XI: high rates of staff4925turnover and chronic vacancies. RNSB has been assigned at least seven4926different program specialists and grants management specialists since49272020. This high rate of turnover requires RNSB to restart the process4928of building rapport with the specialist, educating the specialist on4929the unique needs of Tribal Head Start programs and RNSB specifically,4930and reiterating outstanding requests. As a result, projects stall and4931RNSB is prevented from effectively partnering with the Office of Head4932Start to administer the best Head Start services for the Ramah Navajo4933community.4934 Like the BIE, the Office of Head Start would be considered exempt4935from furlough if its programs were forward funded. We strongly4936encourage Congress to work with federal agencies to ensure vital4937positions serving Indian Education programs remain exempt or excepted4938during furlough and fully funded.4939Conclusion4940 Thank you for your continued support of Tribally Controlled Schools4941and Native students and educators.4942 ______49434944 Prepared Statement of Andrea Pesina, President, National Indian Head4945 Start Directors Association4946 Chairman Murkowski, Vice Chairman Schatz, and Members of the4947Committee:4948 Thank you for the opportunity to submit testimony on behalf of the4949National Indian Head Start Directors Association (NIHSDA) regarding the4950impacts of the government shutdown and agency reductions in force4951(RIFs) on American Indian/Alaska Native (AI/AN) Head Start programs. We4952deeply appreciate the Committee's commitment to upholding the United4953States' trust and treaty obligations to Tribal Nations, which do not4954lapse alongside appropriations, and ensuring continuity of effective,4955quality programs and services to Native people despite Congressional4956stalemates.4957About NIHSDA and AI/AN Head Start4958 NIHSDA represents over 150 Tribal Head Start and Early Head Start4959programs across the United States, serving more than 20,000 Native4960children annually. These programs are not only early education4961services--they are comprehensive, community-driven systems of care that4962provide critical health screenings, nutrition support, mental health4963services, and family engagement in a culturally rooted and sovereign4964framework. They are essential public health and social service4965providers, uniquely situated to meet the needs of Native children and4966families in Tribal communities. Core services include:49674968 Comprehensive Health Screenings: Including vision, hearing,4969 developmental, dental, behavioral, and immunization checks,4970 ensuring early detection and follow-up care.49714972 Preventive Health and Nutrition Services: Programs provide4973 healthy meals, growth monitoring, and nutrition education4974 tailored to local and cultural dietary needs.49754976 Mental and Behavioral Health Services: On-site mental health4977 consultation, trauma-informed supports, and social-emotional4978 learning integrated into the classroom environment.49794980 Family Services and Case Management: Programs conduct family4981 needs assessments and provide referrals to housing, food4982 assistance, substance abuse recovery, and domestic violence4983 services.49844985 Parent and Caregiver Support: Services include parenting4986 education, goal setting, and advocacy to promote self-4987 sufficiency and strengthen family well-being.49884989 Emergency and Wraparound Support: Assistance with4990 transportation, clothing, and other urgent needs, especially in4991 crisis situations.49924993 Culturally Responsive and Sovereignty-Driven Approaches: AI/4994 AN programs partner with Tribal health departments, incorporate4995 traditional practices and healing, and reflect the values,4996 governance, and priorities of their communities.49974998 These essential services not only support children's immediate4999development, but also address long-standing disparities in health5000access, educational outcomes, and economic opportunity. AI/AN Head5001Start programs are often one of the few consistent providers of5002preventive health and social services in Tribal communities.5003 When the government shuts down, the essential services that AI/AN5004Head Start programs provide are put in jeopardy. When Head Start goes5005unfunded, Tribes are forced to divert resources to keep their Head5006Start programs open, and if a Tribe lacks access to those resources, it5007may be forced to shut down until the government reopens. Tribes are5008unable to access the technical assistance necessary to renew their Head5009Start grants, which will further delay their receipt of new fiscal year5010funds. These serious problems only compound existing issues involving5011staff turnover, regional office closures, and RIFs at the Office of5012Head Start, which prevent Tribes from effectively administering quality5013and compliant Head Start programs.5014 NIHSDA surveyed AI/AN Head Start directors to assess how the5015federal government shutdown and related federal workforce reductions5016have affected their programs. Respondents represent Tribal Head Start5017and Early Head Start programs across multiple regions and funding5018cycles. The findings reveal severe disruption of program operations,5019communication, and compliance--compounded by the recent reduction of5020Region XI (AI/AN) Office of Head Start staff by half earlier this year.5021The combined impact of the shutdown, staffing cuts, and Training/5022Technical Assistance (TTA) stop-work order has left programs without5023critical federal guidance or support during active grant and review5024cycles.5025Government Shutdown and RIF Impacts on AI/AN Head Start Programs50261. Funding Expiration and Program Closures5027 481 AI/AN Head Start centers operate in 26 states, providing vital5028services to children and families and employing thousands--teachers,5029family service workers, bus drivers, cooks, and more. These programs5030serve as economic engines in Tribal communities, enabling 73 percent of5031participating families to work, attend school, or complete job5032training. Without sustained federal investment, these families risk5033losing both child care and jobs--further weakening Tribal economies.5034This would have devastating consequences, not only for the children and5035families directly impacted but also for the broader community and5036economy.5037 On October 31, 2025, 12 AI/AN Head Start grants serving nearly50382,500 children and employing nearly 600 staff members expired. While5039the Administration has been able to divert funds to pay partial5040benefits under the Supplemental Nutrition Assistance Program and5041military salaries, no alternative funding sources exist for Head Start5042besides Congressional appropriations. Therefore, these twelve AI/AN5043Head Start programs have been forced to turn to non-federal resources5044to keep their doors open and continue providing critical services to5045their communities. Some Tribes, such as the Fort Belknap Indian5046Community and the Cherokee Nation, have been able to rely on Tribal5047funds to support Head Start operations, but Tribes may be unable to5048sustain programming if the shutdown drags on much longer. Other5049programs, such as the Ramah Navajo School Board (RNSB), have used5050Tribal funds to support essential Head Start operations and staffing5051costs, but require a statutory mechanism for federal reimbursement of5052those funds. If these Tribes did not have the resources to continue5053operating Head Start without federal appropriations, they may have been5054forced to shut down their programs entirely.5055 On November 30, 2025, 13 additional AI/AN Head Start grants will5056expire. That's $27 million funding over 2,000 enrollment slots in 95057states. If the shutdown drags on, these grantees will also be forced to5058create contingency plans, divert funds to cover costs, and potentially5059reduce services or even close their doors entirely. These communities5060cannot afford to go without these services.50612. Furloughs, Reductions in Force, and Lack of Contact with the Office5062 of Head Start5063 Not only does the lapse in funding affect AI/AN Head Start5064services, the government shutdown has prevented Tribes whose grants5065have expired from accessing the technical assistance and federal5066mechanisms necessary to renew their grants prior to their expiration5067date. With little to no preparation, these Tribes will experience even5068further delays in receiving their new fiscal year funds once the5069government reopens.5070 Staff furloughs affect more than just grantees whose grants have5071expired. Many NIHSDA members have reported that they have not had5072contact with the Office of Head Start since August, leaving critical5073questions regarding upcoming grant renewals, Change of Scope requests,5074carryover requests, low-cost extensions, monitoring reviews, facility5075improvement and construction applications, and new requirements5076unanswered. Monthly program specialist calls have been suspended5077without notice or status updates from staff. Tribes that have submitted5078final reports, corrective actions, or appeals have received no5079response, leaving programs in ``unknown status.'' The lack of technical5080assistance and support from the Office of Head Start has stalled Tribal5081operations, created uncertainty and confusion, and prevented Tribes5082from budget, compliance, and project planning for their programs. When5083Tribes are unable to obtain guidance on governance, reporting, and5084policy interpretation, it creates uncertainty around the correctness of5085pending submissions and upcoming FA1 and FA2 reviews, which can affect5086funding continuity. Additionally, Tribes may be unable to complete5087required reports and submissions without guidance and are uncertain5088whether missed deadlines will be forgiven when federal operations5089resume.5090 Head Start is a complex and heavily regulated program. Every day,5091hardworking Tribal employees dedicate substantial time and resources5092toward reporting, oversight, and monitoring to ensure compliance with5093program requirements and avoid disruptions in funding. When Tribes are5094held accountable to a complex set of federal standards, it is the5095responsibility of the United States to provide a federal support system5096to help Tribes succeed. The shutdown has effectively eliminated that5097federal support system, while Tribes continue to be held to account.5098 The lost contact during the shutdown has only exacerbated a dire5099staffing situation at the Office of Head Start due to reorganization5100efforts earlier in the year. On April 1, 2025, the Office of Head Start5101abruptly closed and laid off all staff in five of its regional offices.5102Region XI, the region dedicated to AI/AN Head Start grantees, was not5103closed, but at least half the staff in Region XI were diverted to other5104regions that suddenly found themselves with exponentially larger5105caseloads due to regional office consolidation. The redirecting of5106Region XI staff to other regions merely exacerbated a problem that5107already existed in Region XI: high rates of staff turnover and chronic5108vacancies. One NIHSDA member has been assigned at least seven different5109grants management specialists since 2020. This high rate of turnover5110requires the Tribal grantee to restart the process of building rapport5111with the specialist, educating the specialist on the unique needs of5112Tribal Head Start programs and the specific Tribe, and reiterating5113outstanding requests. As a result, projects stall and Tribes are5114prevented from effectively partnering with the Office of Head Start to5115administer the best Head Start services for their communities.5116 Finally, the shutdown has coincided with the integration of seven5117AI/AN Head Start grants into the Public Law 102-477, as amended (PL5118477) program, which began in the summer of 2024. NIHSDA supports5119Tribes' sovereign authority to exercise their right under the PL 4775120law to propose integration of Head Start into their PL 477 plans, as5121well as the Bureau of Indian Affairs' (BIA) exclusive authority to5122approve or disapprove integration of federal programs into PL 4775123plans. Head Start is a program with numerous statutory, regulatory, and5124administrative requirements, while the purpose of the PL 477 law is to5125``reduc[e] administrative, reporting, and accounting costs.'' \1\ To5126ensure the smooth implementation of Head Start integration into PL 4775127plans in compliance with all applicable federal laws, NIHSDA has5128convened monthly meetings with the BIA, the Office of Head Start, and5129the PL 477 Tribes to collaborate on implementation matters.5130---------------------------------------------------------------------------5131 \1\ 25 U.S.C. 3401.5132---------------------------------------------------------------------------5133 The shutdown and lack of federal staff at both the BIA and the5134Office of Head Start to support Tribes administering Head Start through5135a brand new mechanism has brought all progress implementing PL 4775136integration to a halt. PL 477 Tribes with upcoming FA1 reviews have no5137guidance (or ability to obtain guidance) around protocol or the roles5138of the BIA and the Office of Head Start in conducting these reviews.5139Therefore, Tribes risk being unprepared for these upcoming reviews and5140falling out of compliance. Additionally, while non-PL 477 Tribes have5141been able to access the Payment Management System to draw down Head5142Start funds as normal, PL 477 integration requires an extra step in the5143funds transfer process in which the Office of Head Start must transfer5144funds to the BIA within 30 days of apportionment. \2\ The BIA then5145transfers the funds to the PL 477 Tribe via the Tribe's 638 agreement.5146The lack of staff at the BIA and Office of Head Start have left PL 4775147Tribes unable to access their Head Start funds.5148---------------------------------------------------------------------------5149 \2\ Id. 3412(a).5150---------------------------------------------------------------------------51513. Impact of the Training and Technical Assistance Stop Work Order5152 Not only did the Office of Head Start place most staff on furlough5153during the government shutdown, it also issued a stop work order to the5154Training and Technical Assistance (TTA) System, which is contracted out5155to improve the knowledge, skills, and practices of Head Start grant5156recipient staff to implement quality programs. The suspension of all5157TTA services has had an extreme negative effect on program quality,5158compliance, and staff development. Programs have been unable to access5159assistance for facility applications, budget revisions, and fiscal5160reviews, leaving Head Start directors unable to confirm compliance with5161Office of Head Start fiscal protocols. There has been no access to5162education specialists for curriculum guidance, CLASS \3\ preparation,5163or teacher coaching. Therefore, programs may not align instruction with5164the Head Start Early Learning Outcomes Framework or cultural curriculum5165standards, threatening program quality. Health and safety staff have5166not received health and mental health guidance or information on5167updated immunization requirements or inspection compliance. Even when5168updated health standards have been communicated to Tribal staff, there5169is no guidance or clarity on how to implement them during the shutdown.5170Head Start Policy Council and Tribal Council trainings have been5171cancelled or postponed, leaving new directors and governing bodies5172without required orientations and compliance trainings. Finally,5173reviews and corrective actions are delayed, while required TTA-linked5174activities for CLASS, enrollment, and leadership transitions cannot5175proceed.5176---------------------------------------------------------------------------5177 \3\ The Classroom Assessment Scoring System (CLASS) is an5178observation instrument that assesses the quality of teacher-child5179interactions in center-based preschool classrooms.5180---------------------------------------------------------------------------5181 Some programs have been forced to hire outside consultants at an5182additional cost to replace lost TTA services. This gap in support5183greatly affects AI/AN Head Start programs' ability to ensure compliance5184while delivering high-quality services to families.51854. Collateral Impacts of Nutrition Funding Delays5186 NIHSDA members have reported increased food insecurity among5187families due to reductions and delays in benefits under the5188Supplemental Nutrition Assistance Program (SNAP) and delayed5189reimbursements under the Child and Adult Care Food Program (CACFP). As5190holistic programs providing nutrition services, Head Start agencies5191fill the increased gap in meal and nutrition services left by SNAP and5192CACFP shortages, but without any additional funds. Federal funding for5193SNAP ran out on November 1, and SNAP payments have been left in limbo5194due to the high-stakes legal battle that has fluctuated significantly5195over a matter of days. CACFP reimbursements have also been delayed,5196forcing some states to step in to cover reimbursements. Head Start5197grantees already stretch their federal funding as far as possible to5198meet community needs, and increased food insecurity can make costs5199skyrocket and strain AI/AN Head Start vendor relationships with food5200providers. Shortages in other federal programs significantly impact5201Head Start, making protecting Head Start during government shutdowns5202all the more imperative.5203How Congress Can Insulate Tribal Head Start Programs from the Impacts5204 of Government Shutdowns and Agency Reductions in Force52051. Congress must include a statutory reimbursement mechanism in the5206 reopening bill that would enable AI/AN Head Start programs that5207 have used their own funds to recoup expenses for operating Head5208 Start during the shutdown5209 As mentioned above, NIHSDA members whose Head Start grants have5210expired have turned to Tribal funds to supplement the lapse in federal5211funds and keep their program doors open. These Tribes may need to5212continue relying on their own funds even after the government reopens5213while the Office of Head Start takes time to send out Notices of Award5214and initiate the grant renewal process. Therefore, NIHSDA requests that5215SCIA support the inclusion of language in the reopening bill that would5216reimburse grantees for funds expended to support the continuation of5217federal programs during the lapse in appropriations. Language5218accomplishing this was included in the Further Continuing5219Appropriations Act of 2019, which reopened the government after the52202018-2019 government shutdown:52215222 SEC. 139. (a) If a State (or another Federal grantee) used5223 State funds (or the grantee's non-Federal funds) to continue5224 carrying out a Federal program or furloughed State employees5225 (or the grantee's employees) whose compensation is advanced or5226 reimbursed in whole or in part by the Federal Government--52275228 (1) such furloughed employees shall be compensated at their5229 standard rate of compensation for such period;52305231 (2) the State (or such other grantee) shall be reimbursed5232 for expenses that would have been paid by the Federal5233 Government during such period had appropriations been5234 available, including the cost of compensating such furloughed5235 employees, together with interest thereon calculated under5236 section 6503(d) of title 31, United States Code; and52375238 (3) the State (or such other grantee) may use funds5239 available to the State (or the grantee) under such Federal5240 program to reimburse such State (or the grantee), together with5241 interest thereon calculated under section 6503(d) of title 31,5242 United States Code.52435244 (b) For purposes of this section, the term ``State'' and the5245 term ``grantee'' shall have the meaning as such term is defined5246 under the applicable Federal program under subsection (a). In5247 addition, `to continue carrying out a Federal program' means5248 the continued performance by a State or other Federal grantee,5249 during the period of a lapse in appropriations, of a Federal5250 program that the State or such other grantee had been carrying5251 out prior to the period of the lapse in appropriations.52525253 (c) The authority under this section applies with respect to5254 any period in fiscal year 2019 (not limited to periods5255 beginning or ending after the date of the enactment of this5256 Act) during which there occurs a lapse in appropriations with5257 respect to any department or agency of the Federal Government5258 which, but for such lapse in appropriations, would have paid,5259 or made reimbursement relating to, any of the expenses referred5260 to in this section with respect to the program involved.5261 Payments and reimbursements under this authority shall be made5262 only to the extent and in amounts provided in advance in5263 appropriations Acts. \4\5264---------------------------------------------------------------------------5265 \4\ Pub. L. No. 116-5, 132 Stat. 3124 (2019).52665267 NIHSDA urges Congress to include a similar provision in the5268upcoming reopening bill.52692. Congress must forward-fund Head Start to ensure stability during5270 government shutdowns5271 Forward funding for Head Start could mitigate many of the harmful5272impacts of the government shutdown described in this testimony. Forward5273funds become available during the last quarter of the budget year and5274continue into at least the following fiscal year. By making funds5275available for a period of more than 12 months, forward funded programs5276are able to conduct long-term budget planning, create contingency plans5277and safety nets, and ensure a continuity of programming for recipients.5278The vast majority of Indian education accounts, including Elementary5279and Secondary Education Act funds and the Indian School Equalization5280Program, are forward funded for these very reasons, as well as to5281accommodate programs with significant budgetary obligations during the5282summer and fall in alignment with the academic school year. NIHSDA5283would be happy to work with SCIA on legislative language and strategy5284to secure forward funding for Head Start.52853. Congress must direct the Office of Head Start to restore staffing5286 levels in Region XI to adequately and efficiently administer5287 all AI/AN Head Start programs and ``except'' or ``exempt'' all5288 Tribal-serving employees of the Office of Head Start5289 As extensively detailed in this testimony, the Office of Head Start5290has been hit hard by furloughs during the government shutdown, as well5291as the reduction in force efforts conducted by the Department of Health5292and Human Services earlier this year. Such severe staffing shortages5293prevent AI/AN Head Start agencies from accessing the critical federal5294support necessary to maintain compliance with Head Start requirements5295and provide quality services to families. Therefore, NIHSDA seeks5296SCIA's support in working with the Department of Health and Human5297Services to (1) ensure Region XI is fully staffed, and (2) ensure vital5298positions serving Tribal Head Start programs remain excepted or exempt5299during furlough.5300Conclusion5301 For 60 years, Tribal Head Start and Early Head Start programs have5302served as foundational systems of care and opportunity for Native5303children and families. These programs honor cultural identity, promote5304educational success, and strengthen Tribal communities. The federal5305government must uphold its trust responsibility by ensuring equitable,5306stable, and culturally grounded support for these services, even during5307government shutdowns.5308 We thank SCIA for its commitment to oversight and for recognizing5309the vital role of Tribal Head Start in delivering essential health,5310education, and social services to Native children and families.5311 ______53125313 Prepared Statement of Jennifer Rackliff, Executive Director, National5314 Indian Child Care Association5315Introduction5316 On behalf of the National Indian Child Care Association (NICCA), I5317am submitting the following comments regarding the impacts of the5318recent federal shutdown on Tribal early childhood programs-specifically5319Tribal Child Care and Development Fund (CCDF) grantees and other Tribal5320early learning programs. These comments reflect both organizational5321observations and direct feedback from Tribal program leaders.5322Disruptions in Federal Support and Regional Infrastructure5323 The shutdown magnified existing challenges stemming from the5324elimination of five ACF Regional Offices earlier this year. These5325regions collectively serve approximately 80 percent of Tribal5326governments. Their closure resulted in:53275328 Loss of long-serving federal staff with extensive5329 institutional knowledge of Tribal child care.53305331 Significant gaps in assigned federal points of contact, with5332 some programs going months without a designated OCC5333 representative.53345335 Newly assigned federal staff who, through no fault of their5336 own, often lack adequate training or experience with Tribal5337 CCDF programs and Tribal governance structures.53385339 Recent layoffs of additional regional staff--including those5340supporting Tribes in Region VIII--have further reduced federal capacity5341at a time when programs need more guidance, not less.5342Federal Staffing Reductions Affecting Technical Assistance5343 Staff reductions have also affected the Tribal Child Care Capacity5344Building Center (TCC CBC), the national technical assistance provider5345for Tribal CCDF. Several senior staff members with long-standing5346relationships across Indian Country were laid off, resulting in:53475348 Slower response times for TA requests;53495350 Interrupted continuity of training; and53515352 Reduced support for new Tribal staff and smaller programs.53535354 In addition, the Office of Early Childhood Development (ECD) has5355reportedly eliminated its cross-office staff who previously coordinated5356work between the Office of Child Care (OCC) and the Office of Head5357Start (OHS). This change will impede collaboration across early5358childhood programs and create further challenges for Tribal communities5359working to strengthen integrated early learning systems.5360Financial Implications for Tribal Programs5361Tribal CCDF5362 Because Tribal CCDF is forward funded, programs have been partially5363protected from immediate shutdown effects. However, reduced staffing,5364communication gaps, and uncertainty within OCC have slowed5365implementation of essential activities--including quality improvements,5366facility projects, and planned service expansions.5367 Tribes have also reported delays in Tribal CCDF Plan approvals and5368funding distribution. Some have received only partial mandatory5369funding, while others have not yet received discretionary funds or full5370Notices of Award.5371Tribal Head Start5372 The shutdown poses a direct and urgent threat to Tribal Head Start5373operations. Approximately 12 Tribal Head Start programs--nearly 105374percent of all Tribal grantees serving 2,400 children and employing 6005375staff--have November 1 grant start dates. Many may not receive timely5376grant awards or drawdown authority.5377 Several Tribes have reported that they are temporarily covering5378program costs to avoid classroom closures, but this is not sustainable.5379Delays in Tribal Ccdf Plan Approval and Funding5380 The 2025-2027 Tribal CCDF Plans were submitted in July 2025. As of5381this submission:53825383 Many programs have not received official approval or5384 feedback.53855386 Several programs have been told their plans were accepted5387 but have not received full Notices of Award.53885389 Funding has been inconsistent, with some Tribes receiving5390 only partial mandatory funds and no discretionary funds.53915392 Some grantees can draw down limited preliminary amounts but5393 have not received their full allocation or award letters.53945395 These delays directly affect staffing decisions, provider payments,5396and the capacity to maintain or expand child care services.5397Direct Tribal Program Feedback5398 Tribal CCDF Administrators shared the following real-time impacts:53995400 ``Our plan was accepted, and we only received partial5401 mandatory funding and nothing for discretionary as of this5402 text.''54035404 ``Our plan was accepted and approved. We can draw down money.5405 We have not received an award letter with the total amount.''54065407 ``My plan was accepted and approved but funding and NOA has5408 not been received as of yet.''54095410 ``Another Tribal Regional contact laid off. The Tribal5411 Technical Assistance Center has had layoffs.''54125413 These statements underscore widespread delays and inconsistent5414communication across multiple regions.5415Broad Programmatic Impacts5416Tribal CCDF Plans5417 Despite timely submissions, many Tribes have not received approval5418or formal feedback on their 2025-2027 plans. Programs are continuing5419operations with the assumption that approval will eventually be5420granted.5421Regional Staffing5422 Ongoing regional staff layoffs--most recently in Region VIII--have5423further diminished federal capacity, compounding the impact of earlier5424office closures.5425Technical Assistance5426 The national TA infrastructure supporting Tribal CCDF has been5427weakened by staff reductions within the Tribal Child Care Capacity5428Building Center, including the loss of senior staff uniquely5429experienced in Tribal early childhood systems.5430Additional Tribal Program Impacts5431 In one reported case, a Tribe has been forced to completely5432restructure its education, learning, and human services departments due5433to shutdown-related disruptions and ongoing OCC structural issues. This5434has included laying off long-term employees and eliminating entire5435program areas. These decisions do not align with the Tribe's priorities5436but were made necessary by prolonged federal delays, lack of5437communication, and uncertainty surrounding funding and plan approvals.5438Cross-Office Coordination5439 The removal of ECD's cross-office team has impeded alignment5440between OCC and OHS. This creates further barriers to system5441integration in Tribal communities that rely on coordinated approaches5442across child care, Head Start, home visiting, and other early learning5443supports.5444Cumulative Impacts5445 The combined effects of office closures, staff layoffs, TA5446reductions, and award delays have resulted in:54475448 Slower federal response times for Tribal inquiries;54495450 Lack of clarity on plan approvals and compliance5451 expectations;54525453 Delayed guidance on allowable uses of CCDF and Head Start5454 funds;54555456 Uncertainty around reporting timelines and grant5457 modifications; and54585459 Increased administrative burden, especially for smaller5460 Tribes with limited staff.54615462 This environment of uncertainty undermines Tribal governments'5463ability to deliver stable, high-quality services for children and5464families.5465Consequences for Tribal Communities and Families5466 The cumulative impact of shutdown delays, federal staffing5467shortages, and disrupted technical assistance affects far more than5468administrative operations. These challenges directly influence:54695470 Children's cultural, social-emotional, and early learning5471 development.54725473 The availability and stability of child care for Tribal5474 families.54755476 Continuity of early learning services.54775478 Tribal governments' ability to build and sustain culturally5479 grounded early childhood systems.54805481 Workforce participation and economic stability within Tribal5482 communities.54835484 Tribal governments' broader economic stability.54855486 For many Tribal communities--especially rural and remote ones--5487child care options are already scarce. Federal instability compounds5488these existing barriers.5489Recommendations5490 NICCA urges the federal government to:54915492 1. Provide immediate written updates to all Tribal CCDF and5493 Tribal Head Start programs regarding award status, plan5494 approval, and expected timelines.54955496 2. Restore or replace lost federal and TA staff capacity with5497 individuals trained in Tribal early childhood systems.54985499 3. Rebuild cross-office coordination between OCC and OHS to5500 support integrated Tribal early childhood systems.55015502 4. Protect Tribal child care and early learning programs from5503 future shutdown impacts through advanced obligational authority5504 or alternative funding mechanisms.55055506 5. Consult directly with Tribes and Tribal organizations to5507 identify long-term solutions for federal staffing and5508 communication structures.5509 ______55105511 Prepared Statement of Francys Crevier, CEO, National Council of Urban5512 Indian Health5513 My name is Francys Crevier, I am Algonquin and the Chief Executive5514Officer of the National Council of Urban Indian Health (NCUIH), a5515national representative advocating for the 41 Urban Indian5516Organizations (UIOs) contracting with the Indian Health Service (IHS)5517under the Indian Health Care Improvement Act (IHCIA) and the American5518Indians and Alaska Native patients they serve. On behalf of NCUIH and5519these 41 UIOs, I would like to thank Chairman Murkowski, Vice Chairman5520Schatz, and Members of the Committee for your leadership to improve5521health outcomes for urban Indians and for the opportunity to provide5522testimony on the current impacts of the government shutdown. We5523respectfully request the following:55245525 Extend Advance Appropriations to All Indian Country Serving5526 Programs55275528 Request Reduction in Force Exemptions for All Federal5529 Employees Serving Indian Country55305531A Brief History on Urban Indian Organizations5532 As a preliminary issue, ``urban Indian'' refers to any American5533Indian or Alaska Native (AI/AN) person who is living in an urban area,5534either permanently or temporarily. UIOs were created by urban AI/AN5535people with the support of Tribes, starting in the 1950s in response to5536severe problems with health, education, employment, and housing. \1\5537Congress formally incorporated UIOs into the Indian Health System in55381976 with the passage of the Indian Health Care Improvement Act5539(IHCIA). Today, over 70 percent of AI/AN people live in urban areas.5540UIOs are an integral part of the Indian health system, comprised of the5541Indian Health Service, Tribes, and UIOs (collectively I/T/U), and5542provide essential healthcare services, including primary care,5543behavioral health, and social and community services, to patients from5544over 500 Tribes in 38 urban areas across the United States.5545---------------------------------------------------------------------------5546 \1\ Relocation, National Council for Urban Indian Health, 2018.55472018_0519_Relocation.pdf(Shared) Adobe cloud storage5548---------------------------------------------------------------------------5549Advance Appropriations for the Indian Health Service Critical to5550 Maintaining Services in the Shutdown5551 The historic inclusion of advance appropriations for IHS in the5552FY23 appropriations bill and its subsequent continuation in following5553FY spending packages has proved to be critical during the current5554government shutdown. Previously, the I/T/U system was the only major5555federal health care provider funded through annual appropriations. As5556such, in previous shutdowns, clinic staff had to go without pay, some5557UIOs reduced services, while others had to shutdown completely. These5558impacts were severe and long lasting in our communities.5559 With IHS currently receiving advance appropriations, funding has5560been able to flow to UIOs without delay during the current shutdown,5561ensuring that services are maintained for the community. As one UIO5562leader said, ``The last government shutdown impacted our ability to5563provide full services, which resulted in 10 members of our community5564losing their lives. Advance Appropriations has allowed us to stay open5565and continue serving our people, and that stability has truly saved5566lives.'' Advance appropriations has been a crucial step towards5567ensuring long-term, stable funding for IHS, which improves5568accountability and increases staff recruitment and retention at IHS.5569 Unfortunately, not all line items within the IHS budget are5570protected under advance appropriations, notably, Sanitation Facilities5571Construction, the Indian Health Care Improvement Act Fund, Facilities5572Construction, Contract Support Costs (CSC), Section 105(l) lease5573payments, and Electronic Health Records. These accounts account for5574more than $1.3 billion in the IHS budget. \2\5575---------------------------------------------------------------------------5576 \2\ Continuing Appropriations and Extensions Act, H.R. 9747, 118th5577Cong. (2024)5578---------------------------------------------------------------------------5579 Additionally, the Bureau of Indian Affairs (BIA) and the Bureau of5580Indian Education (BIE) do not receive any advance appropriations. While5581not related to health, these departments have a significant importance5582to the many functions in Indian Country. One Montana UIO has informed5583us that they have completed and submitted their application for the5584BIA's loan guarantee for their $21 million capital project. However,5585the shutdown has stalled communication with federal staff, making it5586impossible to confirm if or when the loan guarantee will be approved.5587As a result, their ability to move forward with vital renovations and5588begin construction has been delayed, placing both the project and its5589anticipated benefits to their community at risk. This situation5590highlights how the disruption to federal processes is threatening5591essential infrastructure and jeopardizing much-needed investment in5592Indian Country.5593 The success of advance appropriations for IHS demonstrates that now5594more than ever Congress should pass S. 2771, the Indian Programs5595Advance Appropriations Act of 2025, which would extend advance5596appropriations to BIA and BIE.5597Proposed Reduction in Force Threatens Trust Obligations5598 The current Office of Management and Budget (OMB) proposed5599Reduction in Force (RIFs) represent a serious threat to programs and5600staff within the Department of Health and Human Services (HHS) that5601serve Indian country. While portions of the process have been5602temporarily paused following a Temporary Restraining Order (TRO) issued5603in response to legal challenges, the threat of these RIFs has created5604significant fear about the potential instability that would arise from5605these actions.5606 The federal government owes a trust obligation to provide adequate5607healthcare to American Indian and Alaska Native people. It is the5608policy of the United States ``to ensure the highest possible health5609status for Indians and urban Indians and to provide all resources5610necessary to effect that policy.'' \3\ This trust obligation is5611fulfilled, in part, through direct delivery of programs and services5612and through the provision of federal funding to Tribal programs and5613UIOs. Using the government shutdown as pretext to RIF federal5614employees, with no exemption for federal employees serving Indian5615Country, decimates the ability of the United States to carry out its5616sacred obligations to American Indian and Alaska Native communities.5617---------------------------------------------------------------------------5618 \3\ 25 U.S.C. 1602(1).5619---------------------------------------------------------------------------5620 We request that the Committee request that OMB issue guidance to5621exempt Indian Country programs and federal employees serving Indian5622Country from RIFs in order to uphold United States' delivery on trust5623and treaty obligations.5624Conclusion5625 While the inclusion of advance appropriations for IHS has been a5626lifesaving step forward, the current shutdown and threat of RIFs5627underscore the urgent need for further Congressional and Administrative5628action. Extending advance appropriations to all Indian Country-serving5629programs and protecting the federal workforce that upholds the trust5630and treaty responsibilities of the United States are essential to5631ensuring continuity of care and stability in our communities. We thank5632the Committee for its steadfast leadership and urge continued5633bipartisan collaboration to safeguard the health and well-being of all5634American Indian and Alaska Native people, no matter where they live.5635 ______56365637 Teresa Sarabia, Juneau, AK5638 October 29, 20255639Hon. Lisa Murkowski5640Senate Committee on Indian Affairs,5641Hart Senate Office Building,5642Washington, DC 205105643 Subject: Impacts of the Government Shutdown on Tribal5644 Citizens and Communities56455646Dear Senator Murkowski:56475648 In response to the Senate Committee on Indian Affairs' recent5649request for information on how the federal government shutdown is5650impacting Tribal Nations, I am writing to share the experiences and5651challenges being felt by citizens of the Central Council of the Tlingit5652& Haida Indian Tribes of Alaska.5653 The shutdown threatens to halt or delay essential services that our5654families rely on, including healthcare, housing, education, social5655services, and food assistance. These programs are far more than5656government initiatives--they are lifelines that sustain the well-being5657of our Elders, children, and working families, and help preserve the5658health, stability, and resilience of our tribal communities. Each day5659the shutdown continues deepens uncertainty and hardship, putting our5660people at risk.5661 In Southeast Alaska, where the cost of living is high and access to5662resources is already limited, interruptions to federal funding has5663immediate and lasting impacts. Programs such as Head Start,5664Supplemental Nutrition Assistance, Tribal Temporary Assistance for5665Needy Families, housing and energy assistance, and health services are5666particularly vulnerable.5667 Beyond the direct impacts on families, the shutdown strains tribal5668governments and employees who work tirelessly to deliver services under5669self-governance compacts and grants. When federal funds are withheld,5670tribes are forced to make impossible choices: suspend services that5671support tribal citizens, lay off employees (also our tribal citizens),5672or deplete limited trust funds--actions that weaken long-term5673sustainability and self-determination.5674 As tribal citizens, we deserve stability, dignity and respect.5675Federal funding is not a favor; it represents the United States' trust5676and treaty obligations to tribal nations. When that commitment falters,5677the ripple effects are felt in every corner of our communities--in our5678homes, our schools, and our ability to care for one another.5679 Gunalcheesh, Haw'aa (Thank You) for your attention and for seeking5680input directly from tribes and tribal citizens. We appreciate the5681Senate Committee's commitment to Indian Country and urge these lived5682experiences translate into meaningful federal action that ensures the5683continuity of tribal services and strengthens the federal government's5684fulfillment of its trust and treaty obligations.56855686 Sincerely,5687 Teresa Sarabia, Tlingit & Haida Employee5688 ______56895690 October 24, 20255691 Juneau, AK5692Hon. Lisa Murkowski,5693Hart Senate Office Building,5694Washington DC.56955696 Subject: Impacts of the Government Shutdown on Tribal5697 Citizens and Communities56985699Dear Senator Murkowski,57005701 Ya'at'eeh, Haw'aa (Thank You) for your attention and for seeking5702input directly from tribes and tribal citizens. We appreciate the5703Senate Committee's commitment to Indian Country and urge these lived5704experiences translate into meaningful federal action that ensures the5705continuity of tribal services and strengthens the federal government's5706fulfillment of its trust and treaty obligations.57075708 In response to the Senate Committee on Indian Affairs' recent5709request for information on how the federal government shutdown is5710impacting Tribal Nations, I am writing to share the experiences and5711challenges being felt by citizens of the Central Council of the Tlingit5712& Haida Indian Tribes of Alaska.5713 The shutdown threatens to halt or delay essential services that our5714families rely on, including healthcare, housing, education, social5715services, and food assistance. These programs are far more than5716government initiatives--they are lifelines that sustain the well-being5717of our Elders, children, and working families, and help preserve the5718health, stability, and resilience of our tribal communities. Each day5719the shutdown continues deepens uncertainty and hardship, putting our5720people at risk.5721 In Southeast Alaska, where the cost of living is high and access to5722resources is already limited, interruptions to federal funding has5723immediate and lasting impacts. Programs such as Head Start,5724Supplemental Nutrition Assistance, Tribal Temporary Assistance for5725Needy Families, housing and energy assistance, and health services are5726particularly vulnerable.5727 Beyond the direct impacts on families, the shutdown strains tribal5728governments and employees who work tirelessly to deliver services under5729self-governance compacts and grants. When federal funds are withheld,5730tribes are forced to make impossible choices: suspend services that5731support tribal citizens, lay off employees (also our tribal citizens),5732or deplete limited trust funds--actions that weaken long-term5733sustainability and self-determination.5734 As tribal citizens, we deserve stability, dignity and respect.5735Federal funding is not a favor; it represents the United States' trust5736and treaty obligations to tribal nations. When that commitment falters,5737the ripple effects are felt in every corner of our communities--in our5738homes, our schools, and our ability to care for one another.57395740 Sincerely,5741 Paula M. Phillips, Tlingit & Haida Employee5742 ______57435744 Western Governors' Association5745 October 30, 20255746Hon. Lisa Murkowski;5747Hon. Brian Schatz,5748Hart Senate Office Building,5749Washington DC.57505751Dear Chairman Murkowski and Vice Chairman Schatz:57525753 Attached please find Western Governors' Association (WGA) policy5754resolutions 2023-09, Missing and Murdered Indigenous Persons, and 2025-575505, Physical and Behavioral Health Care in Western States.5756 The resolutions contain Western Governors' recommendations5757addressing the need to maintain essential services for tribal5758communities during lapses in federal funding.5759 I request that you include this document in the permanent record of5760the hearing, as it articulates Western Governors' collective and5761bipartisan policy on this important issue.5762 Thank you for your consideration of this request.57635764 Sincerely,5765 Jack Waldorf, Executive Director57665767 Attachments57685769 policy resolution 2023-09--missing and murdered indigenous persons5770A. BACKGROUND5771 American Indian and Alaska Native people, particularly women, are5772disproportionately likely to experience violence, murder, or to go5773missing. This disproportionate risk is encapsulated as the Missing and5774Murdered Indigenous Persons (MMIP) crisis. The MMIP crisis is fueled by5775complex and historic underlying factors impacting indigenous5776communities, including: insufficient law enforcement resources,5777funding, and cultural understanding among non-tribal law enforcement5778agencies; lack of non-tribal and tribal collaboration; a shortage of5779personnel on historic tribal lands; substance abuse issues; historic5780lack of trust of non-tribal entities; and deficient housing and5781infrastructure. Additionally, tribal nations receive a variety of5782funding that can vary by state and status, including Pub. L. 2805783tribes, treaty tribes, and tribes that have administrative control5784through Pub. L. 93-638. The Governors and states represented herein do5785not intend for language used to be legally binding or to be viewed as a5786reflection or concession of any Governor or state's position related to5787the reservation status of any specific tribe.5788B. GOVERNORS' POLICY STATEMENT5789Addressing Law Enforcement Shortages5790 1. Having sufficient law enforcement personnel is important to5791ensure timely response and adequate resources for MMIP cases. Western5792Governors urge the Bureau of Indian Affairs (BIA) to increase the5793number of tribal officers on lands under tribal and federal5794jurisdiction and increase the pace of hiring officers.5795 2. Tribal officers employed by BIA or tribes use the 638 process to5796self-administer federal funds to support their tribal police forces.5797Western Governors recommend that BIA ensure that 638 tribes receive5798funding equivalent to the BIA tribal police pay scale to allow 6385799tribes to support officers at an equivalent level to BIA-administered5800tribal police forces.5801 3. Tribal courts and justice systems provide critical5802infrastructure to process and prosecute MMIP cases. Western Governors5803recommend appropriate, ample funding for tribal courts and justice5804systems.5805 4. While MMIP cases occur across both urban and rural Native5806populations, Western Governors recognize that there are specific5807limitations for law enforcement in rural communities. Western Governors5808encourage creative solutions to support the recruitment and retention5809of tribal officers, particularly housing programs to ensure that tribal5810officers can remain within their communities.5811 5. Currently, tribal officers can receive training from the BIA's5812Indian Policy Academy in New Mexico and the Indian Policy Academy5813Advanced Training Center in North Dakota, both of which can be a5814significant distance for recruits to travel for basic training. Western5815Governors urge BIA to expand beyond the single tribal officer training5816program and create regionalized law enforcement training programs that5817reduce the burden of training for officers.5818 6. Western Governors recognize diverse agreement opportunities5819exist, such as cross deputization, joint powers agreements, and mutal5820aid agreements, to assist with the speed of law enforcement response5821and suit the variety of systems and scenarios across the West, and5822support efforts to share best practices.5823 7. The AMBER Alert system is the only nationwide alert system for5824those who are missing or abducted. Across the West, states have also5825implemented state-specific MMIP alert systems. Western Governors5826support efforts to create MMIP alert systems and increase inclusion of5827state level systems into federal alert systems.5828Support Systems5829 8. BIA victim services advocates provide direct services to victims5830and crucial assistance for victims navigating complex bureaucratic5831systems. Western Governors request federal funding for victim services5832advocates.5833 9. Ensuring federal staff receive cultural sensitivity training5834provides staff with the ability to effectively work with survivors.5835Western Governors urge federal agencies to implement culturally5836sensitive training and response courses for new employees working on5837all aspects of MMIP.5838 10. Western Governors call for greater transparency on how federal5839funding is allocated among tribes with 638 status and BIA administered5840services. Specifically, Western Governors implore the federal5841government to coordinate and collaborate with survivor support services5842at the state and tribal level so that survivors and their communities5843receive the maximum amount of resources.5844 11. To ensure wrap around services, Western Governors urge Congress5845to increase funding for mental and behavioral health services for5846survivors and their communities.5847Collaboration5848 12. MMIP cases span across many jurisdictions, which can complicate5849response times. Western Governors urge federal partners to streamline5850emergency response communications across related federal agencies,5851including BIA and the Federal Bureau of Investigation.5852 13. The consistent collection of data across jurisdictions and each5853level of government is necessary to understand the scope and scale of5854MMIP cases. Western Governors support sharing best practices for data5855sharing agreements to allow for a more comprehensive view of the5856crisis.5857 14. Several western states have created their own MMIP offices to5858act as liaisons between tribal, state, and federal partners. Western5859Governors support federal efforts to develop and strengthen MMIP state-5860level offices and other state-level MMIP initiatives.5861 15. During any lapse in funding, Western Governors recommend that5862the federal government work collaboratively with states and tribes to5863ensure continuity of essential services with discretionary funding.5864C. GOVERNORS' MANAGEMENT DIRECTIVE5865 1. The Governors direct WGA staff to work with Congressional5866committees of jurisdiction, the Executive Branch, and other entities,5867where appropriate, to achieve the objectives of this resolution.5868 2. Furthermore, the Governors direct WGA staff to consult with the5869Staff Advisory Council regarding its efforts to realize the objectives5870of this resolution and to keep the Governors apprised of its progress5871in this regard.5872 This resolution will expire in June 2026. Western Governors enact5873new policy resolutions and amend existing resolutions on a semiannual5874basis. Please consult http://www.westgov.org/resolutions for the most5875current copy of a resolution and a list of all current WGA policy5876resolutions.58775878 policy resolution 2025-05--physical and behavioral health care in5879 western states5880A. BACKGROUND5881 Ensuring access to high-quality, affordable health care is critical5882to enhancing the quality of life in western states for our growing5883populations and serves as a foundation for building and maintaining5884healthy, vibrant communities and robust economies. However, western5885states face unique health care challenges, many of which have been5886compounded by the COVID-19 pandemic. The West experiences a high5887prevalence of behavioral health conditions compared to other regions,5888with rates increasing at an alarming pace in recent years, particularly5889among young adults. The fourteen states with the highest suicide rates5890in the country are in our footprint. Overdose deaths are down5891nationally, but on the rise in many western states. Low population5892densities and the vast distances between population centers in the West5893pose distinct barriers to care, making it difficult for providers to5894establish economically sustainable health care practices. Factors such5895as acute provider shortages, especially in rural and underserved areas,5896and limited access to broadband and telehealth services have further5897hindered the ability to provide comprehensive care to western5898residents.5899B. GOVERNORS' POLICY STATEMENT5900 1. Western Governors envision a health care system in which5901everyone has equal access to quality health care services. Federal5902efforts to address health care workforce and access needs should5903reflect early, meaningful, and substantive input from Governors, who5904are best positioned to assess the needs of their states and territories5905and help develop solutions to meet these needs. State-federal5906collaboration and coordination are integral to addressing these health5907care challenges. Wherever possible, and where appropriate, the federal5908government should respect state and territorial authority and maximize5909flexibility granted to states and Governors.5910 2. Western Governors believe patients should have the same access5911to behavioral health care as they have for physical health care,5912including prevention and early intervention services and supports for5913chronic conditions like mental illness.5914 3. Western Governors support efforts to improve the quality and5915quantity of behavioral health services and supports available to our5916residents, as these services and supports are essential to reducing5917suicide rates and treating a range of behavioral health conditions,5918including mental illness and substance use disorders (SUDs).5919 4. Western Governors recognize and support efforts at the federal,5920state, and local levels to promote the integration of physical and5921behavioral health services. The Governors encourage Congress to adopt5922legislation and the Administration to implement policies that support5923states' integration efforts and encourage health care providers to5924better integrate behavioral and physical health into their practice of5925care.5926 5. Despite efforts by Western Governors to address the shortage of5927qualified health care workers, significant challenges remain. Governors5928urge the federal government to examine and implement programs to ensure5929states have an adequate health care workforce--including in primary5930care, maternal health, behavioral health, and oral health, as well as5931other in-demand specialties--that is prepared to serve diverse5932populations in urban, suburban, and rural communities. For example, the5933federal government should consider expanding the availability of visas5934for foreign health care workers and increasing funding for programs5935that incentivize health care workers practicing in high-need areas.5936Additionally, the federal government should consider funding new types5937of personnel, such as community health workers or promotores, to5938further extend the health care team and ensure that patients are5939connected to resources. Understanding that there remain significant5940disparities in access and treatment for many populations, the Governors5941support efforts to increase diversity and representation in the health5942care workforce to improve health outcomes for all.5943 6. Western Governors also support innovation within the behavioral5944health workforce to create new classifications and address gaps in the5945continuum of care professionals.5946 7. Rural and frontier communities in the West face unique5947challenges in accessing the full range of health care services. Western5948Governors urge the federal government to consider payment models that5949recognize the critical role of community health centers and other rural5950health care providers and their position as the only access point for5951health care services in many areas. In addition, Western Governors urge5952the Centers for Medicare and Medicaid Services (CMS) to adjust Medicare5953reimbursement rates to support the viability of rural Emergency Medical5954Services (EMS) and more accurately reflect the ways in which personnel5955provide care in these communities, including by offering coverage for5956code A0998, Ambulance Response and Treatment, No Transport, and making5957community paramedicine eligible for reimbursement under code 99600.5958These changes would allow EMS personnel to treat patients on site and5959provide critical health care services while they wait to respond to5960emergencies.5961 8. Western Governors recognize the critical role of the Indian5962Health Service (IHS) in providing health care services to tribal5963nations across the West and urge Congress to continue to appropriate5964advance funding for IHS to avoid the undue hardship associated with5965lapses in federal funding. Western Governors believe additional support5966for IHS is needed to combat the opioid crisis, which disproportionately5967affects tribal nations. We request adequate resources for treatment and5968behavioral health centers to help stop opioid related deaths, including5969support for tribal law enforcement efforts to combat drug related5970offenses.5971 9. The federal government should work with states and territories5972to facilitate the deployment of broadband to underserved and rural5973areas, recognizing that adequate broadband access has a direct5974correlation to rural populations' ability to access telehealth and5975telemedicine.5976 10. Western Governors urge the federal government to make permanent5977certain waivers and authorizations granted during the COVID-19 public5978health crisis to provide flexibility and increase access to telehealth5979and remote monitoring. We propose actions to create an environment5980conducive to the expansion of telehealth beyond the pandemic, including5981but not limited to permanently changing provisions of 42 CFR and5982Section 1834(m) of the Social Security Act (SSA) such as:59835984 a. Waiving interactive telecommunications systems requirements5985 and permitting audio-only visits for certain services (42 CFR5986 410.78(a)(3));59875988 b. Increasing flexibility in the types of practitioners that5989 may bill for their services when furnished as Medicare5990 telehealth services from the distant site, which expands the5991 type of practitioner that can provide services through5992 telehealth and allows all practitioners eligible to bill5993 Medicare for services to deliver those services via telehealth5994 (Section 1834(m)(4)(E) of the SSA);59955996 c. Making Federally Qualified Health Centers and Rural Health5997 Clinics qualified distant site providers of telehealth services5998 for services beyond behavioral health, when appropriate5999 (1834(m) of the SSA);60006001 d. Granting clinicians the ability to provide remote patient6002 monitoring services to new and established patients for both6003 acute and chronic disease management and for patients with only6004 one disease condition (1834(m) of the SSA);60056006 e. Eliminating originating site requirements to allow patients6007 to take visits from their homes for services beyond behavioral6008 health (42 CFR 409.46(e)); and60096010 f. Expanding geographies to include all counties, not just6011 those located outside metropolitan statistical areas or in6012 health professional shortage areas, for services beyond6013 behavioral health (1834(m) of the SSA).60146015 Any changes to federal telehealth policy should ensure that6016 patient needs are at the center of those changes. Any changes6017 should also ensure that patient choice to receive in-person6018 services is preserved and only clinically appropriate services6019 are provided via telehealth.60206021 11. Western Governors acknowledge the importance of improving our6022nation's public health preparedness and response systems. The federal6023government must examine the lessons learned from COVID-19 in6024collaboration with states and territories, and ensure that we have the6025capability and necessary public health infrastructure investment to6026effectively confront future public health challenges. We recommend that6027the federal government clarify pandemic response roles and build6028operational capacity within the appropriate health-related agencies.6029The federal government should also consider how to expand our6030international health surveillance and public health threat detection6031mechanisms.6032 12. Western Governors recognize the role that social determinants6033of health (SDOH) have on the health outcomes and well-being of our6034citizens, and the effect that social determinants--including economic6035stability, education, social and community context, and neighborhood6036and built environment--have on an individual's health status. Western6037Governors support efforts to identify risks facing high utilizers of6038health care services, including food insecurity, domestic violence6039risk, unmet transportation needs, lack of housing and housing6040instability, utility, and other essential supports and services, and to6041develop innovative models designed to improve coordination of medical6042and non-medical services and use of evidence-based interventions. These6043models can provide valuable information on how meeting non-health needs6044and addressing other social determinants can improve overall health6045status and decrease health spending.6046 13. Western Governors encourage Congress to adopt legislation that6047would empower states and local governments to address persistent6048economic and social conditions--like limited access to health care6049providers, stable housing, reliable transportation, healthy foods, and6050high-quality education--that often hinder health outcomes. Such6051legislation would assist states and territories in developing plans to6052target social determinants that negatively affect health outcomes for6053western populations.6054 14. Western Governors recognize that the United States has higher6055infant and maternal mortality compared to other high-income countries.6056While western states and territories are taking steps to reduce these6057rates, we urge the federal government to consider additional steps in6058collaboration with state efforts to improve maternal health outcomes.6059The closure of birthing hospitals in both urban and rural areas,6060limited access to prenatal and postnatal health care services,6061including home visiting programs and related support structures, and6062supportive medical services addressing medical and behavioral issues6063should be considered in efforts to reduce infant and maternal mortality6064rates.6065 15. Western states have implemented a wide range of innovative6066health care interventions through Medicaid waivers offered under6067Section 1115 of the Social Security Act. For example, some states are6068enrolling individuals in Medicaid prior to their release from prison to6069prevent disruptions in behavioral health treatment, promote successful6070reentry, and reduce recidivism. Others are expanding access to6071supportive housing with coordinated health and social services to6072better support and sustain recovery for individuals with behavioral6073health conditions. Western Governors support these and other state-led6074approaches to solving systemic health care challenges and urge CMS to6075review and approve state 1115 waivers swiftly. Further, Western6076Governors urge Congress to provide the resources needed to support6077prompt approval of state plans while considering scaling up state6078proposals that are found to be effective.6079 16. The 988 Suicide and Crisis Lifeline, which was implemented in60802022, offers 24/7 call, text, and chat access to crisis counselors by6081connecting callers to a network of over 200 state- and local-funded6082crisis contact centers. Western Governors recognize that 988 is a6083critical aspect of a broader crisis care system that must have the6084capacity to prevent, recognize, respond, de-escalate, and follow up6085from crises across a continuum, from crisis planning to early stages of6086support and respite, crisis stabilization and intervention, and post-6087crisis follow-up and support for individuals and their families. As6088Western Governors continue strengthening 988 and the crisis care6089systems across our states, we request sustained funding from Congress6090for these efforts.6091 17. Western Governors urge the federal government to recognize the6092importance of school-based mental health services in allowing youth to6093learn problem-solving and coping skills, engage and connect with peers6094and others in their community, and be successful in school. CMS has6095provided federal guidance on ways in which states can elevate and6096encourage the expansion of school health services; however, without6097additional funding to support such recommendations, many schools,6098particularly those in rural and frontier areas, are challenged to6099implement these practices due to a lack of resources to invest in6100workforce, behavioral health services, and telehealth infrastructure.6101 18. Western Governors urge the federal government to develop an6102evidence-based, culturally competent national education and awareness6103campaign to reduce the stigma associated with mental health and SUDs6104and encourage individuals to seek help for these health conditions.6105 19. Western Governors believe the federal government should work6106toward treating addiction as a chronic illness and work with Western6107Governors to develop strategies for addressing SUD that work in concert6108with state and territorial efforts and recognize regional variations in6109SUD patterns.6110 20. Many barriers still exist for people to receive medications for6111opioid use disorder (MOUD) and lifesaving interventions. Western6112Governors support legislative action to increase access to MOUD for6113patients with SUD. Western Governors also request that the Drug6114Enforcement Administration (DEA) allow buprenorphine to be dispensed in6115the field by appropriately licensed and DEA-registered practitioners.6116 21. Western Governors support legislation to address the so-called6117Institutions for Mental Diseases (IMD) exclusion to improve access to6118SUD treatment and recovery services at residential and inpatient6119facilities with more than 16 beds, as well as to the full continuum of6120community-based behavioral health care. While changes made in the 20246121Consolidated Appropriations Act (Pub. L. 118-42) are a significant step6122forward, states still face barriers to providing appropriate treatment6123in residential and inpatient settings. Until a robust legislative6124solution is enacted, the federal government should continue working6125with states to provide IMD waivers that offer important flexibility and6126improve access to treatment for patients with SUD. Implementation of6127these waivers must also occur in connection with the expansion and6128maintenance of the community-based continuum of behavioral health care6129to ensure individuals receive services at the lowest level of6130clinically appropriate care.6131 22. Continued support and investment for the Office of the National6132Coordinator for Health Information Technology (ONC) and Centers for6133Disease Control and Prevention (CDC) data modernization efforts will6134allow western states and territories to update and maintain their data6135systems, leading to a better understanding of health concerns affecting6136communities. Federal support for these programs should include6137sustainable, ongoing funding to states that is flexible to allow for6138new initiatives and to support ongoing operations of existing work6139supporting data modernization efforts. ONC and CDC should provide6140frameworks to ensure consistency of data collected across states and6141territories for ease of monitoring and partnership across6142jurisdictions.6143 23. The exchange of health information is fragmented and often does6144not occur, limiting the ability of a provider or team of providers to6145understand the complete needs of a patient and provide whole-of-person6146care. Western Governors believe the federal government should take6147steps to support and help sustain states' administration of6148Prescription Drug Monitoring Programs (PDMPs) and ensure that6149electronic health records and PDMPs are fully interoperable between6150states and the federal government, accessible to relevant health care6151providers, including opioid treatment providers, and include adequate6152protections for patients from stigmatization and discrimination.6153 24. Congress passed the Radiation Exposure Compensation Act and the6154Energy Employees Occupational Illness Compensation Program Act to6155compensate individuals who contracted certain cancers and other6156diseases following radiation exposures due to nuclear weapons testing6157and production activities. Western Governors support maintaining and6158funding these programs, expanding them to more accurately include the6159affected populations of downwind states and defense production workers,6160and extending them to ensure that individuals receive compensation for6161the effects of these national security radiation exposures.6162C. GOVERNORS' MANAGEMENT DIRECTIVE6163 1. The Governors direct WGA staff to work with congressional6164committees of jurisdiction, the Executive Branch, and other entities,6165where appropriate, to achieve the objectives of this resolution.6166 2. Furthermore, the Governors direct WGA staff to consult with the6167Staff Advisory Council regarding its efforts to realize the objectives6168of this resolution and to keep the Governors apprised of its progress6169in this regard.6170 This resolution will expire in December 2027. Western Governors6171enact new policy resolutions and amend existing resolutions on a6172semiannual basis. Please consult http://www.westgov.org/resolutions for6173the most current copy of a resolution and a list of all current WGA6174policy resolutions.6175 ______61766177 Gila River Indian Community6178 October 27, 20256179Hon. Lisa Murkowski;6180Hon. Brian Schatz,6181Hart Senate Office Building,6182Washington DC.61836184Dear Chairman Murkowski and Vice Chairman Schatz,61856186 I am writing on behalf of the Gila River Indian Community6187(``Community'') to express concerns regarding the impacts of the6188federal shutdown on important programs within the Community.6189 I want to highlight our Community's immediate concerns with the6190impacts of the shutdown and ongoing reductions in force at federal6191agencies.6192 As a governmental entity, tribal governments are reliant on our6193federal and state governmental partners to fulfill their side of the6194government-to-government relationship. When one side of the6195relationship ceases operations, it has a direct, and outsized, impact6196on our tribal communities. In the case of a governmental shutdown, it6197brings uncertainty to both programmatic funding and also to the ability6198of federal employees to carry out functions that tribes rely on6199functions that are necessary to meet the needs of our members.6200 With Congress unable to agree on a path forward on appropriations6201bills, we are still operating under fiscal year 2024 funding levels. In6202the House and Senate fiscal year 2026 Interior Appropriations bills,6203Congress rejected the Administration's proposed cuts to Department of6204the Interior and Indian Health Service programs and provided funding6205increases where appropriate for important programs used to secure the6206health and safety of our communities and our members. With this funding6207impasse in place, it becomes less likely that funding bills will be6208able to be enacted by the end of this year--leaving our programs6209chronically underfunded.6210 In addition to tribal programs, our members are also significantly6211impact by other federal programs such as SNAP. In the State ofArizona6212alone, approximately 900,000 citizens utilize SNAP benefits. Included6213in this number are members of the Community--both on and off the6214Reservation--who rely on the SNAP program to meet daily nutritional6215needs. Our members who rely on the SNAP program are most often our6216elders, those with disabilities, or those whose employment salaries are6217insufficient to provide the daily nutritional needs for their families.6218A disruption in this federally-funded, and state-run program will6219create food insecurity for our most vulnerable members who rely on this6220program. To date, the federal government has indicated that a SNAP6221contingency fund will not be utilized to supplement funding shortages--6222and the majority of states have not planned for this lapse in funding.6223 If the shutdown persists for several more weeks. other programs6224that serve our most vulnerable members could also be cut--including the6225Special Supplement Nutrition Program for Women, Infants, and Children.6226 As Congress continues its discussions and negotiations around6227reopening the federal government, I ask that you keep in mind the6228tribal programs being impacted, and those federal programs that may not6229be funded--simply because negotiations are not occurring between the6230parties.6231 Our tribal leadership within the Community understands that elected6232leaders need to make difficult funding decisions. However, these6233decisions should not come at the expense of programs that support our6234tribal members, our most vulnerable members, and at the expense of the6235government-to-government relationship that is reliant on both of us--6236federal and tribal governments--to uphold our end of the relationship.6237 Thank you for your attention to the impacts of the shutdown on6238Indian Country, our tribal members, our members who are federal6239employees, and our communities.62406241 Sincerely,6242 Hon. Stephen Roe Lewis, Governor6243 ______62446245 Yukon-Kuskokwim Delta Regional Tribal Government6246 October 29, 20256247Hon. Lisa Murkowski;6248Hon. Brian Schatz,6249Hart Senate Office Building,6250Washington DC.62516252Dear Chairman Murkowski and Vice Chairman Schatz,62536254 On behalf of the Yukon-Kuskokwim Delta Regional Tribal Government6255(Y-K RTG), representing various federally recognized Tribes across6256southwest Alaska, I write this letter in response to the October 29,62572025, Oversight Hearing titled, ``Impacts of Government Shutdowns and6258Agency Reductions in Force on Native Communities''. Our Villages are6259urging an end to this federal government shutdown.6260Typhoon Halong6261 The timing of this shutdown could not be more catastrophic. On6262October 8, 2025, Typhoon Halong brought hurricane-force winds and6263record flooding to our region. The storm claimed the lives of three6264elders. More than 1,500 residents have been displaced to Bethel or6265Anchorage. Over a dozen villages report substantial damage and nearly626650 have reported impacts. Kipnuk and Kwigillingok have evacuated almost6267their entire communities. The Delta's extreme remoteness, air and water6268access only, and high cost of living magnifies our struggles. Winter is6269closing in while our water, sewer, and power systems are in poor6270conditions.6271The Shutdown Hits Us Harder6272 Smaller, rural Tribal governments like ours rely heavily on federal6273dollars and agency action to operate. We do not have casinos, oil and6274gas revenues, or a local tax base to float months of operations. This6275dependency was not chosen; it is the result of federal policies that6276disrupted our traditional ways of life, dismantled our traditional6277economies, and imposed governance structures without providing6278sustainable tools for Tribal government economic self-sufficiency and6279self-governance.6280 When the federal government shuts down funds and reimbursements6281stall, agencies go dark, and reaching important staff and decision-6282makers by phone or email becomes nearly impossible. We are forced to6283front-load scarce dollars or strip other Tribal programs just to keep6284essentials running, all at significant financial risk with long-term6285impact to our planning and staffing. Government shutdowns are6286inefficient and impose significant costs.6287Federal Responsibilities6288 The shutdown is not a mere inconvenience, it interrupts the United6289States' trust and statutory responsibilities to Alaska Native federally6290recognized Tribes. Our programs are not political bargaining chips;6291they are commitments arising from decades of federal direction and6292control that changed where and how our Tribes live and govern. Those6293responsibilities should not pause for continuing resolutions or debt-6294limit debates.6295 Many of our Villages were sited in low-lying, erosion-prone areas6296in part because of federal schooling and settlement policies. Kipnuk,6297for example, was settled in the 1920s so children could attend the6298mandatory federal Indian school. Families were told that their children6299would otherwise be taken away to distant boarding schools if they did6300not settle in what is now Kipnuk. Today, Kipnuk and neighboring6301Kwigillingok are no longer safe to inhabit. The locations federal6302policy pressured our people to occupy are now among the most climate-6303exposed places in Alaska.6304Federal Recognition6305 The Y-K RTG is following the model of Alaska's two other regional6306tribal governments (i.e. Inupiat Community of the Arctic Slope and6307Central Council Tlingit and Haida Indian Tribes of Alaska) pooling6308resources and capacity across our 56 Tribes to coordinate emergency6309response. We hope to provide essential services that are not currently6310being provided, and to improve long-term resilience. We are doing our6311part to stand up regional solutions despite structural disadvantages we6312did not create.6313 Many of our Tribes face significant administrative capacity6314challenges due to their remote locations, limited infrastructure, and6315resource constraints. Yet each Tribe carries important responsibilities6316for its citizens and communities. To improve efficiency and advance6317Tribal self-governance, we are seeking recognition and support for6318regional governance structures, where Tribes choose to organize6319collectively. Regional approaches can help reduce administrative6320duplication and create stronger coordination around key issues such as6321public safety, infrastructure development, and emergency response.6322 Federal support for regionally led, tribally driven governance6323models, where multiple federally recognized Tribes voluntarily6324collaborate, can alleviate burdens on both Tribal and federal systems.6325These models should be grounded in self-determination, guided by6326democratic processes among participating Tribes, and designed to6327supplement, not replace, individual Tribal sovereignty. We urge you to6328consider legislation to recognize regional governance. Vast geographic6329scale and logistical challenges demand innovative solutions.6330 Immediate Requests to Congress:63316332 1. End the shutdown immediately. Our people (mourning loved6333 ones, displaced from homes, and facing ongoing disaster6334 conditions) cannot bear additional harm from suspended federal6335 functions.63366337 2. Designate tribal programs as ``essential'' during any6338 future shutdowns. The trust responsibility and core tribal6339 programs must continue without interruption, just as other6340 critical federal obligations do. Federal commitments to Alaska6341 Native and American Indian Tribes must not be contingent on6342 continuing resolutions or debt-limit negotiations.63436344 We ask for immediate action as noted above, and a long-terms fixes6345such as federal recognition. The tribes we represent have a political,6346government-to-government relationship with the United States, and on6347their behalf, we ask for support to stabilize and improve the Y-K6348Delta. Our Tribes will continue to struggle until our self-6349determination is truly recognized.63506351 Sincerely,6352 James Akerelrea, President6353 ______63546355National Association of Federally Impacted Schools (NAFIS);6356 National Indian Impacted Schools Association (NIISA)6357 October 27, 20256358Hon. Lisa Murkowski;6359Hon. Brian Schatz,6360Hart Senate Office Building,6361Washington DC.63626363Hon. Bruce Westerman;6364Hon. Jared Huffman,6365U.S. House of Representatives Washington, DC.63666367Dear Chair Murkowski, Chair Westerman, Ranking Member Schatz, and6368Ranking Member Huffman:63696370 On behalf of the National Association of Federally Impacted Schools6371(NAFIS) and the National Indian Impacted Schools Association (NIISA),6372we write to express our deep concern about the recent reduction-in-6373force (RIF) of nearly all staff within the U.S. Department of6374Education's Impact Aid Program Office. We recognize that the Senate6375Committee on Indian Affairs and the House Committee on Natural6376Resources do not have direct jurisdiction over the Department of6377Education or the Impact Aid Program. However, given your leadership on6378issues affecting Native communities, we respectfully request that you6379express to the Department and the Office of Management and Budget your6380concern about how these staffing losses threaten the timely and6381effective delivery of Impact Aid funds to school districts serving6382Native students.6383 Over 90 percent of Native American students attend local public6384schools, many of which rely on Impact Aid to provide essential6385educational services. Impact Aid compensates districts for the loss of6386local tax revenue due to the presence of federal and tribal lands and6387for the additional costs associated with educating federally connected6388children, including those residing on or near Indian lands.6389 Impact Aid is a federal obligation, born of treaties, trust6390responsibility, and the unique status of tribal lands as non-taxable.6391In the United States Code, Impact Aid's statutory purpose acknowledges6392a need to provide financial assistance to local school districts to, in6393part, ``fulfill the responsibilities of the Federal Government with6394respect to Indian tribes'' (20 U.S.C. 7701). The program is a critical6395lifeline for Native communities, ensuring that schools serving their6396students have the resources to provide equitable, high-quality6397education that honors and supports their cultural and community6398connections.6399 The combined effects of the government shutdown and the RIF have6400left the Impact Aid Program's ability to process applications, issue6401payments, and communicate with districts in jeopardy. Many school6402districts serving Native students depend on timely Impact Aid payments6403to meet payroll, maintain operations, and support programs that reflect6404and sustain Native languages, traditions, and values. They were6405anticipating initial payments in October that they have not received6406and urgently need. Once the government reopens, it is critical that6407they get payments as soon as possible--but without the Impact Aid staff6408in place, it is unclear how the program will function. Any further6409delay in payments or breakdown in communication threatens to harm6410students, families, and communities that already face unique6411educational and economic challenges.6412 Your voices carry significant weight in ensuring that federal6413agencies understand the implications of these actions on Native6414students and communities. We urge you to communicate to the Department6415of Education and OMB the importance of restoring staffing capacity in6416the Impact Aid Office and ensuring the continued functioning of this6417critical program, particularly during this period of federal6418disruption.6419 We appreciate your commitment to improving educational6420opportunities for Native students and families, and we thank you for6421your attention to this urgent matter.64226423 Sincerely,6424 Cherise Imai, Executive Director, (NAFIS)64256426 Brent Gish, Executive Director, (NIISA)6427 ______64286429 Navajo Nation Washington Office6430 October 27, 20256431Hon. Ben Ray Luja,6432Russell Senate Office Building,6433Washington, DC.64346435 Oversight Hearing ``Impacts of Government Shutdowns and6436 Agency Reductions in Force on Native Communities''64376438Dear Senator Lujan,64396440 On behalf of the Navajo Nation (``Nation''), thank you for the6441opportunity submit information for the Senate Committee on Indian6442Affairs' upcoming hearing regarding the impacts of the government6443shutdown and reductions in force on tribes.6444 The Navajo Nation is the largest land-based American Indian tribe6445in the United States, encompassing over 27,000 square miles--an area6446larger than the state of West Virginia--with portions of three states--6447Arizona, New Mexico, and Utah--spanning into our boundaries. We have6448nearly 420,000 citizens and approximately half of our citizens reside6449on our reservation making the Nation's on-reservation Indian6450populations nearly one-third of the total on-reservation Indian6451population in the United States. The federal government has a long-6452standing obligation to provide education to the Navajo people and to6453promote our general welfare under the Treaty of 1868.6454 The Nation has experienced a myriad of woes resulting from the6455federal government shutdown. As a cruel irony, because of the6456confusion, insecurity, and strain created by the shutdown, it has been6457difficult to measure its full impact. Below are examples of issues and6458concerns we are currently aware of and we will provide a more detailed6459accounting for the record after the hearing.6460 The largest looming concern is the expected loss of the6461Supplemental Nutrition Assistance Program (SNAP) benefits on November64621, 2025. SNAP is delivered to our members through our state partners.6463It was reported by the Center for Indigenous Resilience at the6464University of Arizona in 2021 that approximately one-third of Navajo6465households relied on SNAP benefits. Because of the shutdown and lack of6466funding for SNAP, all three of our state partners have issued6467statements that they will not be providing SNAP benefits beginning6468November 1, 2025.6469 Another area where the shutdown is having an impact is in6470education. Across our Bureau of Indian Education (BIE) schools, our6471public schools, and our Tribally Controlled Universities (TCU), delays6472in funding are hurting our students.6473 For many of our schools the furloughs at the agency are preventing6474funds from being released that are needed for the day-to-day6475operations. There is a growing concern, too, that as the shutdown drags6476on that notice of funding opportunities will not be released and grant6477applications will not be processed leading to substantial cuts at our6478programs. One of our Head Start schools has already reported that it6479will run out of funds on October 31, 2025, and have to close its doors6480because of the lack of staff at the Office of Head Start to process6481funding.6482 We learned from one of our TCUs, Dine College, that Pell Grant6483disbursements that were delayed prior to the shutdown have still not6484been processed. Over 500 of their college students rely on those funds6485for basic education and housing expenses. As a result, Dine College is6486acting as promisor to its cafeteria vendor to make sure that those6487students living on campus are still able to eat and is providing6488vouchers for the students for books and other education expenses. While6489the school is able to make exceptions for the students to continue in6490their studies should the shutdown continue, there is a reasonable6491concern that the funding may never come and that these students and the6492institution may end up saddled in crippling debt through no fault of6493their own.6494 Despite forward funding, we have received reports that some of our6495schools have yet to receive their Indian School Equalization Program6496funds and their Impact Aid funds. Our schools rely heavily on these6497sources of funding for basic educational programs and operations. In6498Arizona alone, the Nation has eight public school districts who provide6499services to approximately 16,500 students with an average of 80 percent6500of their funding (or an estimated $98 million total) coming from Impact6501Aid. The schools in these districts often serve as the lifeline of6502their communities, providing not only education but also meals,6503cultural programs, and access to services that extend beyond the6504classroom. Further, the proposed reductions in force at the Office of6505Indian Education and Impact Aid Office has our educators concerned that6506the funding will never come, and that the long-rumored recissions in6507Indian education may be coming next. Without Impact Aid, many of our6508districts would struggle to maintain basic operations, hire and retain6509qualified teachers, or meet the growing needs of their students.6510 Education is not the only area where we have been impacted by6511delays. Just prior to the shutdown, the Nation reached an agreement to6512take over the Padres Mesa Demonstration Ranch under the Office of6513Navajo Hopi Indian Relocation (ONHIR). Our goal, however, was to work6514with the Department of the Interior (DOI) to coordinate taking on more6515of ONHIR's operations or to ensure that those services were6516appropriately carried out by DOI. Unfortunately, the DOI solicitor that6517was working with us was furloughed thereby halting all conversations.6518As a result, there are still nearly 20 Navajo relocatees with6519applications pending final determination or appeals over the rights6520promised to them in the 1974 Navajo Hopi Indian Land Settlement Act,6521which created the largest federally-mandated removal of U.S. citizens6522since the internment of Japanese-Americans during World War II. All in6523all, approximately 16,000 Navajos and 100 Hopis were relocated.6524 Across the Nation furloughs at the Bureau of Indian Affairs (BIA)6525are causing delays, as well. All business site lease transactions that6526require federal authorization or participation through the BIA have6527been suspended. This includes approvals for new leases, renewals,6528terminations, and compliance enforcement actions. The Regional Business6529Development Offices report multiple lease cases pending BIA review,6530including expirations, sublease renewals, and enforcement matters.6531Without federal participation, these transactions cannot move forward,6532halting both small and large-scale development projects. The backlog6533that will result from this shutdown is expected to create lasting6534delays in economic activity, investor confidence, and revenue6535generation.6536 Multiple land withdrawal proposals remain pending due to the6537unavailability of BIA review and action. These proposals are critical6538for advancing economic development zones, retail expansions, and6539infrastructure projects, including ongoing initiatives in the Chinle6540region. The inability to move these forward slows long-term economic6541planning and limits opportunities for new commercial growth and land6542use development.6543 Federal procurement and contracting activities have been suspended,6544affecting Navajo vendors and service providers that rely on federal6545contracts for operations and revenue. This disruption directly impacts6546cash flow and employment stability among businesses engaged in federal6547projects within Navajo communities. A protracted suspension could erode6548confidence among contractors and reduce opportunities for Navajo-owned6549enterprises to participate in federal procurement.6550 For our Indian Health Service (IHS) facilities, the shutdown6551presents a different problem. We are grateful that Congress provided6552advance appropriations to the IHS for FY26--and we are hopeful that6553this shutdown will alert all members of Congress to the need for6554advance appropriations across Indian Country and to support your6555legislation doing that. However, for IHS advance appropriations do not6556resolve everything. At the end of this year, it is possible that the6557Affordable Care Act's enhanced premium tax credits will expire. If that6558happens, health care premiums will likely increase and many Americans6559will forgo enrollment. Should that happen the IHS--which is considered6560as a payer of last resort and relies heavily on reimbursements--will6561receive an influx of uninsured patients that neither it nor Congress6562planned for. Currently, information provided to use by the National6563Indian Health Board estimated that 126,000 American Indian or Alaskan6564Natives would lose their health care if the tax credits expire. The6565result of this is that an already strained and underfunded health care6566system will be strained even further causing a reduction in services6567and staff across IHS facilities, and possibly even the closure of6568entire IHS facilities. However Congress resolves its differences with6569these tax credits, it is imperative that Indian Country have a seat at6570the discussions so we are not ignored in the solution.6571 The matters raised here only represent a portion of the concerns6572and consequences created by the federal government shutdown. While we6573will supplement the information in this letter with comments for the6574hearing record, it is likely that a full accounting of the impacts of6575this shutdown will be something the Nation will be reckoning with for6576years to come.65776578 Respectfully,6579 Vincent P. Redhouse, Executive Director6580 ______65816582 October 27, 20256583Dear Senator Lujan,65846585 I hope this message finds you well. I am writing on behalf of the6586Pueblo of Picuris, one of the smallest and most rural of the New Mexico6587Pueblos, to share how government shutdowns and ongoing federal6588instability are devastating our people, our programs, and our progress.6589 As a direct-service tribe, we rely heavily on the Bureau of Indian6590Affairs, Indian Health Service, and other federal partners to deliver6591essential services. When these agencies close or reduce staff during6592shutdowns, our operations are immediately disrupted. Programs stop6593midstream, critical reimbursements are delayed, and communication6594channels with our federal partners go silent. Our small administrative6595team is left struggling to maintain health, safety, and infrastructure6596needs with no outside support.6597 When funding interruptions hit IHS or Medicaid reimbursements, our6598Health Station and pharmacy are forced to stretch limited resources6599just to keep the doors open. Referrals, dental care, and preventative6600services are delayed, leaving our members without consistent access to6601medical care.6602 At the same time, critical BIA infrastructure and public works6603projects, such as maintenance of BIA Road 201 and forestry or wildfire6604mitigation work, come to a halt when federal personnel are furloughed.6605These aren't abstract delays they are safety and access issues for our6606families, emergency responders, and school buses.6607 Picuris is at a crucial point in our economic development. We are6608building new enterprises our health station, travel center, renewable6609energy projects, and others to achieve economic independence and self-6610sufficiency. But even our private vendors and lenders lose confidence6611when federal operations pause, creating barriers to credit,6612contracting, and payroll stability. The combination of shutdowns and6613new executive orders that increase federal processing timelines and6614review requirements compounds these challenges. What once took weeks6615now takes months, and every added layer of delay has a magnified impact6616on small, rural tribes like ours.6617 Worse still, with no cash reserves to sustain operations during6618prolonged shutdowns, we cannot continue essential services without6619federal support. Unlike larger or self-governance tribes, we have no6620financial cushion to float payroll or advance program costs. When6621reimbursements stop, we are forced to suspend programs, lay off staff,6622or shut down entirely--without any guarantee of reimbursement once the6623government reopens. We are simply left to absorb the losses.6624 In addition, recent executive actions and shifting federal6625priorities have already cost us key funding streams. Living under this6626constant unpredictability is like living with a rattlesnake--you don't6627know when it will strike, but you know it will. The uncertainty6628surrounding federal ``2025 plans'' and proposed reductions intensifies6629this anxiety. For small, direct-service tribes with little economic6630cushion, every unexpected policy change or funding delay inflicts real6631harm.6632 Beyond the immediate service impacts, our tribal housing projects6633under NAHASDA, community safety and victim support initiatives, and6634education programs are also at risk. When grant drawdowns are frozen or6635agency staff are furloughed, even programs that technically remain6636funded become inaccessible in practice. Each day of delay makes it6637harder for us to sustain operations, meet payroll, and serve our6638families.6639 Every shutdown, every rescinded award, and every missed payment6640erodes what little progress we've built. It weakens community trust,6641drains staff morale, and damages long-term partnerships. The erosion of6642the federal trust responsibility--a legally recognized obligation under664325 U.S.C. 5301 et seq.--is not just disappointing; it is6644unacceptable. When the federal government fails to uphold consistent,6645reliable funding for essential tribal services, it is failing its own6646law and breaching that trust.6647 Even though it has sadly become too common for tribes like ours to6648be disregarded or treated as afterthoughts, I am asking you--please--to6649support the creation of an advance appropriation mechanism for tribal6650programs, similar to what exists for the Indian Health Service. We also6651urge Congress to extend that same protection to all essential tribal6652services--public safety, education, infrastructure, and natural6653resource programs--so that they remain operational regardless of a6654federal shutdown.6655 The continued disregard for tribal obligations is slowly killing6656our ability to sustain our communities. We have the will, the people,6657and the plans--but we need the government we partner with to keep its6658promises.6659 We deeply appreciate your ongoing advocacy and understanding of6660what tribes like Picuris face daily. We stand ready to provide further6661information or testimony for the record at your convenience.66626663 Respectfully,6664 Lt. Gov. Craig Quanchello6665 ______66666667 October 29, 20256668Dear Senator Lujan,66696670 I am writing to express deep concern over the potential lapse of6671the Supplemental Nutrition Assistance Program (SNAP) beginning November66721. For the Pueblo of Picuris and the surrounding Penasco Valley6673communities, this would have devastating consequences. We live in one6674of the poorest regions of Taos County, where a large portion of6675families Native and non-Native alike rely on SNAP to meet their most6676basic nutritional needs.6677 Here, many of our elders, single parents, and working families6678already live on the edge. If SNAP benefits stop, our community will6679face immediate food insecurity. There are no large grocery chains6680nearby, and the small local stores already struggle to stay stocked and6681affordable. When benefits pause, they lose revenue, which in turn means6682fewer deliveries, less inventory, and higher prices for everyone. This6683becomes a spiral that hurts every household in the valley--not just6684those receiving assistance.6685 Food should be recognized as an essential service in this country.6686We can send billions overseas to support other nations, yet we fail to6687protect the most basic human need of our own people. Rural families,6688especially those like ours who quietly do their best to survive, are6689too often forgotten. They are the ones who work hard, follow the rules,6690and rarely ask for help, yet they end up paying the highest price when6691government systems fail.6692 It's true that some people may misuse or abuse food assistance6693programs, but the majority of recipients in communities like ours are6694honest, hardworking families who simply cannot make ends meet in an6695economy where the cost of living rises faster than wages. They don't6696complain they simply adapt, make sacrifices, and keep moving forward.6697But there's only so much a family or a community can endure before it6698breaks.6699 Beyond continuing SNAP, we urge Congress and the Administration to6700take immediate, lawful actions during this shutdown to protect tribal6701and rural communities: Authorize the use of existing carryover and6702unobligated funds within BIA, IHS, and USDA to sustain food,6703healthcare, and safety programs. Establish a Tribal Continuity Fund to6704provide short term, interest free bridge support to tribes that must6705continue payroll and essential services. Expand advance appropriations6706beyond IHS to include BIA, HUD, and USDA tribal programs. Direct OMB6707and agency leadership to classify food, healthcare, housing, and6708emergency response as essential services under the Antideficiency Act,6709allowing them to continue during funding lapses. Require a Tribal6710Continuity Task Force of BIA, IHS, HUD, and Treasury to coordinate6711emergency responses for tribes within 48 hours of a shutdown. These6712actions can be taken without new legislation or additional spending6713only the will to honor the commitments already made.6714 Senator, I want to thank you and your team sincerely for reaching6715out to our tribal leaders and asking for real stories from the ground.6716We know every office, every agency, and every person has their own6717challenges and priorities but these steps can save lives. In a time6718when unity and compassion are needed most, we ask that you continue to6719be our voice in Washington and help make these solutions a reality.6720 This is not a new request or a new law it is part of the federal6721trust responsibility, promised long ago and reaffirmed in 25 U.S.C. 67225301. We should not have to stand here asking for the most basic6723necessities of life: food, safety, and dignity. For us, survival is not6724an event that happens during a shutdown it's what we do every single6725day.6726 We thank you and everyone involved for hearing us, for caring, and6727for taking these stories forward. Our hope is that by standing together6728as tribes, as rural communities, as New Mexicans we can remind the6729nation that strength begins with compassion and that unity is not a6730luxury it's a necessity for survival.67316732 Respectfully,6733 Craig Quanchello6734 ______67356736 Santa Ana Agricultural Enterprise--MEMORANDUM6737 October 27, 20256738Myron Armijo, Governor6739Kevin C. Montoya, Lieutenant Governor67406741 Subject: Impact of Government Shutdown on Santa Ana6742 Agricultural Enterprise6743Overview6744 This summary provides an update on the potential impacts of the6745federal government shutdown on the Santa Ana Agricultural Enterprise6746(SAAE), including its four operating sectors: the Vineyard, Nursery,6747Grain Mill, and Farm Operations.6748Current Status6749 At this time, the government shutdown has no direct operational or6750financial impact on the Santa Ana Agricultural Enterprise as a whole.6751All sectors, with the exception of the Nursery, continue to operate6752under normal conditions and budgets.6753Nursery Program Impact6754 The Nursery has identified minor delays and uncertainties related6755to federally funded partnership programs. These include collaborations6756with:67576758 The Institute of Applied Ecology67596760 Partners for Fish and Wildlife67616762 The Lincoln National Forest Service67636764 Current grant-funded activities remain unaffected; however, new6765proposals for contractual work under the FY 2026 programs are6766temporarily on hold. These proposals include three key initiatives:67676768 1. Seedling propagation contracts ($6,000 revenue source)67696770 2. On-site projects involving raised bed installations for soil6771 and sample testing ($3,500 revenue)67726773 3. Shrub and pollinator habitat development projects ($7,2006774 revenue source)67756776 4. Total, ($16,700 contractual revenue)67776778Summary6779 In summary, the federal government shutdown currently poses no6780financial or operational threat to the SAAE's ongoing functions. Only6781the Nursery sectors federally supported future proposals may experience6782administrative or timeline delays until federal operations resume.6783Conclusion6784 This concludes the white page report for the Santa Ana Agricultural6785Enterprise as of October 27, 2025.67866787 Ryan Garcia, Director of Agricultural6788 ______67896790 Santa Ana Tribal Police Department6791 October 27, 20256792Governor Myron Armijo; Lt. Governor Kevin C. Montoya,6793Pueblo of Santa Ana Leadership,6794Santa Ana Pueblo, NM67956796 RE: SAPD Operations Status During Federal Shutdown67976798Governor Armijo and Lt. Governor Montoya,67996800 Santa Ana Tribal Police remains fully operational. We are not6801directly affected by the current federal shutdown because our BIA P.L.680293-638 contract funds for this year were drawn down in advance. The6803five officer positions supported by that contract are covered, and--by6804design--those same five positions are also built into our Tribal Police6805Department budget. This resilience step, informed by prior shutdown6806experience, ensures no gap in staffing or public-safety services for6807our community.6808 The only outstanding item is our DOJ CTAS grant application. We6809have not yet received an award decision, and routine federal grant6810actions are often delayed during a shutdown. In short: services6811continue, staffing is stable, and we will notify you the moment we6812receive CTAS news.68136814 Respectfully,6815 Bennett Leon, Chief of Police6816 ______68176818 white paper on federal shutdown effects on pueblo of santa ana-6819department of natural resources (dnr), dated october 28, 2025, by doug6820 mckenna, dnr director6821 The Pueblo of Santa Ana, Department of Natural Resources is6822responsible for the protection, preservation, and conservation of6823natural resources for current and future generations of tribal6824community members. There are six (6) divisions under DNR including6825Water Resources, Conservation Enforcement, Range and Wildlife,6826Environmental, GIS and Restoration. The department consists of forty-6827two (42) employees with many tribal members working in each of the6828divisions. These programs are supported by tribal leadership and tribal6829council for the benefit of the tribal community,6830 Many projects and programs are supported by federal grants6831administrated by several federal agencies. These programs enhance6832traditional values through the protection of the tribe's natural and6833cultural resources.6834Synopsis68356836 There are no project/program managers overseeing federal6837 grants available for updates, questions and direction with US6838 Department of Interior (USDOI) agencies including the BIA and6839 USFWS and Environmental Protection Agency (EPA). Misinformation6840 and not knowing any answers causing confusion with tribal6841 managers from their federal partners.68426843 Meetings cancelled by federal partners with re-occurring6844 scheduling with the US Army Corp of Engineers (USACE), EPA, BIA6845 and USFWS, these activities were for coordination of many6846 projects and discuss areas of concern.68476848 Grants that are classified as reimbursables have been6849 suspended by the DNR Director until monies are obtained,6850 through drawdowns, from federal government agencies before6851 initiating any contracts. This jeopardizes tribal commitments6852 on ongoing projects.68536854 Legal obligations with contractors and other entries with6855 signed 638 Contracts that are paused by the current6856 administration which may force litigation in federal courts.68576858 Attending workshops were federal project managers and6859 employees participate on their own as volunteers and not6860 representing their agencies, they attend because of their6861 dedication to the tribal communities on a personal level.68626863 Tribal managers don't know what to expect in the future with6864 current administration and congressional delegation in6865 reference to natural resources, conservation, fish and6866 wildlife, environmental and water resources for tribal6867 communities.68686869Reported by Divisions under DNR, see the following comments6870Water Resources Division6871 Currently for the Water Resources Division the government shutdown6872hasn't influenced the water grants. The concern will be if the shutdown6873continues then we will see the impact of not having access to EPA and6874BIA's resources. One of the biggest effects is that we will not be able6875to make drawdowns from the committed money that we were awarded from6876these federal agencies. Another effect of the shutdown is the absence6877of communication with the federal agencies. Communication is key,6878without the federal agencies present the Pueblo will not be able to6879progress and move forward in decisionmaking of water issues and6880matters.6881Conservation Enforcement Division6882 The Pueblo of Santa Ana Conservation Enforcement Division6883(Division) is responsible for enforcing the Pueblo's natural resource6884laws, and regulations to include fish and wildlife, cultural resources,6885environmental protection and to pursue violations on Pueblo lands. It6886is comprised of ten Conservation Officers who patrol remote areas,6887repair infrastructure, manage hunting and fishing activities on the6888Pueblo and conduct public outreach activities. The Division is6889primarily funded through Tribal Resources and has an annual operating6890budget of approximately $1.2 million.6891 For FY 2026 the Division applied for the Coordinated Tribal6892Assistance Solicitation (CTAS) Grant in coordination with the Santa Ana6893Police Department. In its application, the division requested6894approximately $330K to be used for the acquisition of law enforcement6895equipment including training, vehicles and ruggedized laptop computers6896compatible with the County's new Dispatch Center. The grant recipients6897were originally scheduled to be notified on October 1, 2025, but the6898announcement has been postponed due to the Government shutdown and6899subsequent lack of appropriated funding. Although this grant was never6900awarded, the division was hopeful that these funds would be allocated6901to help defray the cost of replacing aging equipment and improve6902dispatch capabilities for the division.6903 Indirectly, the division may be negatively impacted if the Santa6904Ana Tribal Council funds other programs within the Department of6905Natural Resources in lieu of federal resources. In such a case, it is6906anticipated that all divisions may be negatively impacted due to6907scarcity of funds and fiscal tightening measures.6908Range and Wildlife Division6909 The Endangered Species Program under BIA Parks, Wildlfie, and6910Recreation has stalled because of shutdown as well as PL-638 contract6911modifications to existing contracting.6912 Also, Conservation Stewardship Program and Environmental Quality6913Incentives Program under USDA-NRCS have been affected by shutdown as6914there is no one available to accept/review contract proposals.6915Environmental Division6916 BIA Tribal Electrification Program (TEP):69176918 BIA has not been able to respond to inquiries and furloughed. Since6919the Trump Administration took office, and the shutdown, this has led to6920an unsettling thought of renewable energy projects being threatened.6921 Our AOR is an essential employee for DOT and confused if she can6922work on our contract. We are waiting for guidance from the BIA Regional6923Director Brian Bald Eagle.6924 Also, once we sign a contract for the Engineering Procurement and6925Construction (EPC), we are not sure if BIA will approve drawdown6926requests ASAP due to staff not being present to approve. This is also6927unsettling on how to move forward once we get to the EPC contract6928(about a month out).69296930 EPA:69316932 Some EPA project officers have been furloughed, but our workplan6933deliverables are progressing. Our EPA Regional Tribal Operations6934Committee (RTOC) tribal caucus and meeting have been cancelled; this is6935an important meeting between tribes and EPA in the Region.69366937 USACE NALEMP:69386939 Points of contact with the USACE have been furloughed; however, we6940are able to work with USACE consultants.6941GIS Division6942 Impacts of the current shut down create a lingering effect of the6943most recent budget cuts experienced by several federal government6944agencies.6945 In particular, the GIS Division has the need for infrequent contact6946with BIA mainly to access land records and the need for GPS needs. A6947continuing government shutdown impairs our ability to access records6948and respond to the needs of tribal members.6949 Direct impacts due to the government shutdown include a shuttered6950BIA BOGS (Branch of Geospatial Support). BOGS grants federally6951recognized tribes' access to several GIS programs through the DOI BPA.6952In addition, they regularly hold training on GIS topics to deepen the6953capacity of tribal governments.6954 Right now, there has not been an issue with licensing and use of6955our main GIS program (ESRI ArcPro). However, if there is a prolonged6956shutdown, issues may arise since the GIS Division is required to submit6957an annual renewal of the Enterprise License Agreement (ELA) to BOGS6958which is typically completed near the end of the year. The ELA becomes6959the basis of our ability to access free or reduce cost licenses.6960Restoration Division6961 1. We don't have contacts on the fed side. Meetings canceled.69626963 2. Funding freeze. All our money to operate comes from fed dollars.6964So, no real directive on applying or receiving funding.69656966 3. Our fish survey this week will be conducted without a fish6967biologist. So, lack of expertise that we used in the past.69686969 4. No interest in natural resources by current administration.6970 ______69716972 executive summary: santa ana department of education (sade)6973 The federal government entered a lapse of appropriations beginning6974October 1, 2025, after Congress failed to pass full-year funding for FY69752026. As a result, many federal agencies, including the U.S. Department6976of Education (ED), are operating under contingency plans, with new6977grant awards suspended and many discretionary functions halted or6978delayed.6979 For the Santa Ana Department of education (SADE), the key6980considerations are:69816982 Although Santa Ana has state-driven grants and allocations6983 from the New Mexico Public Education Department (NMPED) are not6984 federal, the Johnson O'Malley (JOM) and Administration for6985 Children & Families (ACF) offer grant program federal grants to6986 tribes and tribal organizations, so it is potentially6987 vulnerable to the shutdown.69886989 The immediate risk appears moderate the JOM and ACF award6990 has already been obligated to The Pueblo of Santa Ana, and some6991 funds are disbursed; however, if new funds, reimbursements, or6992 administrative approvals are pending (or if the program year6993 overlaps into FY 2026), SADE will monitor for disruptions.69946995 The Pueblo's NMPED state grants remain intact (state-funded6996 and outside the federal appropriation lapse), the state side of6997 our operations remains stable.69986999 Proactive contingency planning is advisable, ensuring7000 continuity of critical educational services to SADE students.70017002Background7003The Johnson O'Malley (JOM) Program70047005 The JOM program provides federal funds to assist with the7006 educational needs of eligible Indian students attending public7007 schools, and to support tribal education entities.70087009 Because it is federally administered (via ED or sometimes7010 the Bureau of Indian Education depending on implementation) it7011 is subject to federal appropriation processes.70127013Santa Ana Department of Education Funding Mix70147015 SADE receives funding from state allocations via the NMPED7016 (for example state grants, allocations, and assistance) which7017 are not dependent on the federal government shutdown.70187019 The JOM program funds are federal, so they are the portion7020 of your educational funding mix that carries shutdown risk.70217022 It is important to isolate which part of our budget is7023 Tribal and state-funded vs federal-funded and track the JOM7024 component carefully.70257026Potential Impacts to Santa Ana Department of Education70271. Impact on Tamaya Learning Center (Child Care and Development Fund) &7028 SADE (JOM Funded Programs)7029 The Tamaya Learning Center receives CCDF funding through the ACF to7030support early childhood services for Santa Ana Pueblo families. During7031the current federal funding lapse:70327033 New awards and reimbursements under CCDF may be delayed or7034 suspended, depending on ACF's contingency operations.70357036 Due to the furlough of Child Care and Development Fund7037 staff, communication with the Pueblo of Santa Ana has been7038 minimal.70397040 Reimbursement-based expenditures (such as staffing7041 (overtime),tutoring services, supplies, and training costs) may7042 face processing backlogs, potentially straining program7043 continuity.70447045 Administrative approvals or modifications (e.g., budget7046 revisions, carry-over requests, and reporting deadlines) may7047 not be processed until appropriations resume.70487049 If the shutdown persists, the continuity of childcare7050 services-particularly federally supported slots or staff funded7051 under CCDF-could be impacted.70527053 1. Delayed Payments or Reimbursement Requests70547055 --If the JOM program has a reimbursement-based model (tribe7056 submits costs and is reimbursed), delays at ED could slow the7057 processing of those reimbursements.70587059 --If a new JOM award or extension is pending for FY 2026 (or7060 the next program year) and ED cannot execute award documents7061 due to the shutdown, new funding may be delayed or frozen.70627063 --While the immediate award may have been made, any carry-7064 forward or supplemental could be at risk.70657066 2. Administrative/Regulatory Support Delays70677068 --Even if funds continue to flow, slower responses may hamper7069 program management.70707071 3. Service Interruptions for Students (Indirectly)70727073 --Although your NMPED-funded programs remain stable, any7074 disruption in JOM funding might force temporary scaling back of7075 JOM-funded services (e.g., supplemental tutoring, higher7076 education scholarships, and enrichment activities) that rely7077 exclusively on those funds.70787079 --If the shutdown is prolonged, and if the tribe depends on7080 JOM funds for staffing or programs, continuity of those7081 services could be compromised.70827083 4. Program Planning & New Award Risks70847085 --If the program year transitions into FY 2026 and ED is7086 unable to allocate funds, there may be a gap.70877088Specific Considerations for SADE70897090 Interactions with NMPED (state funding) are not impacted by7091 the shutdown--SADE's core state-funded operations are stable.70927093 SADE's risk comes from the federal JOM and ACF funding7094 stream.70957096 --The grant is partially awarded and obligated for the7097 current program year.70987099 --What is the scheduled timing of payments and7100 reimbursements?71017102 SADE will coordinate with SA finance/grants offices to7103 ensure tribal funds in our budget can cover any short-term7104 delay in JOM and ACF payments, to avoid disruption of JOM-7105 funded services to tribal students.71067107 As soon as possible, SADE will communicate with our JOM and7108 ACF program officer at ED (or the appropriate federal contact)7109 to confirm status of award and any expected delays due to the7110 shutdown.71117112Recommendations & Action Steps7113Short-Term (Immediate: next 1-3 months)71147115 Inventory JOM funding: Create a summary of your current JOM7116 award(s), including amount, period of performance, obligated7117 amount, reimbursement status, pending proposals or7118 modifications, and cash flow timing.71197120 Monitor federal contact status: SADE will contact our7121 federal JOM program officer and reach out (in writing) to7122 request status confirmation of the current award and whether7123 the shutdown is affecting processing of payments or7124 modifications.71257126 Program-priority ranking: SADE will rank our JOM-funded7127 activities in order of priority so that if funds are7128 momentarily interrupted, we will know which services to7129 sustain, and which might temporarily slow.71307131Medium-Term (3-12 months)71327133 Scenario planning: SADE will develop scenarios for varying7134 durations of the shutdown. For each scenario, SADE will7135 identify which components of JOM and ACF-funded programs could7136 be delayed, frozen, or reduced, and what mitigation strategies7137 you would enact.71387139 Budget flexibility: Revise future JOM/ACF budgets (for7140 upcoming fiscal/program year) to include contingency buffer7141 lines or flexibility (deferring non-essential expenditures)7142 until full award certainty is obtained.71437144 Coordination with state funding: SADE will consider whether7145 state funds (from NMPED) might temporarily cover critical7146 services typically supported by JOM funds, if delays occur, to7147 ensure no service disruption to students.71487149 Documentation and compliance readiness: SADE will ensure all7150 current JOM/ACF grant documentation (budget modifications,7151 reimbursements, program reports) is up to date, so that when7152 the federal processes resume, we are ready to submit without7153 additional delay.71547155 Advocacy readiness: SADE will coordinate with other tribes/7156 education organizations receiving JOM/ACF funds to monitor7157 developments at the federal level and be prepared for joint7158 advocacy if needed.71597160Long-Term (Beyond 12 months)71617162 Policy-level engagement: SADE will stay abreast of federal7163 policy regarding the JOM program and any changes in its7164 funding, authorization, or administration, especially given the7165 larger federal education landscape disruptions.71667167Key Risk Factors & Mitigating Considerations71687169------------------------------------------------------------------------7170 Impact on Santa Ana7171 Risk Factor Pueblo's Education Mitigation Approach7172 Dept7173------------------------------------------------------------------------7174Delay in JOM/ACF Could force temporary Cash modeling, use of7175 reimbursements or new suspension of JOM- bridging Tribal7176 award funded services, cause higher education7177 cash-flow stress funds, prioritizing7178 critical services7179Pending budget If federal approval is Maintain flexible7180 modifications or delayed, we cannot budget7181 expansions in JOM/ACF expand services.7182 grant7183Federal administrative Slows program Ensure all7184 delays (monitoring, modifications, documentation is7185 approvals) reporting, compliance current, maintain7186 actions contact with federal7187 officer7188Shutdown prolongation Longer disruption could Scenario planning,7189 or repeat occurrence affect award for new reserves, alternative7190 fiscal year or carry- funding fallback7191 forward funds7192Stakeholder If services are scaled Transparent7193 expectations (tribal back, community might communication, set7194 students, parents) be disappointed or realistic7195 trust impacted expectations,7196 maintain core7197 services7198------------------------------------------------------------------------71997200 Important mitigating factor: Because our state-funded grants7201 via NMPED are not affected by the federal shutdown, our base7202 operations remain stable.72037204Conclusion7205 The Santa Ana Department of Education will send the Director of7206Education and the Education Program Manager to attend the Johnson7207O'Malley (JOM) Conference in Denver, Colorado, from November 8th7208through November 10th.7209 This conference provides an important opportunity to collaborate7210with other tribal education departments, federal representatives, and7211program administrators to strengthen educational services for our7212students.7213 Our primary concern during this time is the potential impact of the7214federal government shutdown on existing and upcoming federal grants. We7215will be seeking updates and guidance at the conference to understand7216any implications for current funding cycles, new grant applications,7217and program continuity.7218 While the 2025 federal government shutdown does introduce risk to7219the federal portion of our education funding (specifically the JOM/ACF7220grant program), it does not jeopardize our state grants from NMPED.7221That provides a solid foundation.7222 The key vulnerabilities lie in whether the JOM/ACF award is fully7223obligated, whether reimbursements or approvals are pending, and how7224long the federal shutdown continues. By taking proactive steps now7225(inventorying funds, prioritizing services, and building contingency7226plans), the Santa Ana Department of Education will mitigate disruption7227and continue delivering critical services to Santa Ana students.7228 ______72297230 executive summary--impacts of the federal shutdown on the pueblo of7231santa ana's health & human services department (posa hhs) prepared by:7232 dr. mariam campos-marquetti, director of health & human services--7233 october 27, 20257234Overview7235 The federal government shutdown that began on October 1, 2025, is7236disrupting essential health and social services at the Pueblo of Santa7237Ana. Although some Indian Health Service (IHS) activities remain7238operational through advance appropriations, most grantfunded programs,7239technical assistance, and interagency coordination are delayed or7240paused.7241 The POSA Health & Human Services Departm ent oversees multiple7242programs that directly support community health, safety, and elder7243wellbeing. The shutdown's impacts are widespre ad across:72447245 IHS-funded Community Health Representative (CHR) Program72467247 I HS-funded Substance Abuse & Behavioral Health Program72487249 Older Americans Act Title VI Programs for Elders (Senior7250 Center congregate meals, home-delivered meals, transportation,7251 caregiver support)72527253 BIA Indian Child Welfare Act (ICWA) Program72547255 Office for Victims of Crime (OVC)/Social Services Program72567257 Adult Day Program (ADP)72587259 Public & Population Health Initiatives72607261 Community Health Council (NM DOH-supported)72627263 Administrative & Finance Division72647265Immediate Operational Impacts72667267 Federal grant drawdowns, reimbursements, and approvals are7268 delayed.72697270 Technical advisors and regional contacts are largely7271 unreachable.72727273 Procurement and vendor payments tied to federal funding are7274 stalled.72757276 Elders, families, and survivors face di sruptions in meal7277 delivery, crisis response, and case timelines.72787279 The Senior Center, which operates on a $187,000 state grant (NM7280ALTSD) supplemented by Title VI federal and tribal funds, remains open7281but faces pressure due to delayed reporting, reimbursements, and7282technical assistance.7283Financial & Programmatic Risks72847285 Short-term: slowdowns in outreach, procurement, and7286 training.72877288 Mid-term: cash-flow stress from delayed reimbursements;7289 increased client demand in behavioral health and OVC services.72907291 Long-term: potential service reductions, staffing freezes,7292 and risks to continuation funding if reporting and proposal7293 deadlines cannot be met.72947295Actions Underway7296 POSA HHS has initiated mitigation strategies to sustain core7297services, including:72987299 Prioritizing essential operations: home-delivered meals, CHR7300 outreach, behavioral health crisis response, and victim7301 advocacy.73027303 Conducting cash-flow modeling to anti cipate 60-90-day7304 reimbursement delays.73057306 Establishing redundant contacts across federal agencies and7307 documenting all unanswered inquiries.73087309 Preparing extension letters and early report submissions to7310 minimize compliance risl<.73117312 Standing up a Shutdown Working Group to coordinate7313 contingency planning across programs.73147315Requests tor Congressional Action7316 The Pueblo of Santa Ana respectfully requests the Senator's support7317for:73187319 1. Immediate passage of a clean funding resolution to restore7320 operations and clear backlogs.73217322 2. Advance appropriations or mandatory funding across all major7323 tribal-serving programs (IHS, BIA, OVC, Title VI).73247325 3. Automatic deadline relief for tribal reports, RFPs, and7326 continuation grants during shutdowns.73277328 4. Rapid technical assistance restoration and accelerated7329 reimbursements within 30-45 days of reopening.73307331 5. Permanent structural protections for tribal nations,7332 including data collection on shutdown impacts.73337334Conclusion7335 The current shutdown threatens the health, safety, and wellbeing of7336Santa Ana's most vulnerable members--our elders, families, and7337survivors. The Department of Health & Human Services continues to7338operate with resilience and contingency measures, but sustained federal7339action is critical to prevent service disruption and long-term harm.7340Support from our Senators for funding continuity, deadline relief, and7341durable tribal protections will safeguard essential health and human7342services at the Pueblo of Santa Ana and across Indian Country.7343 ______73447345 white paper: impacts of the federal shutdown on the pueblo of santa7346 ana's health & human services department--from: dr. mariam campos-7347marquetti, director, health & human services (hhs), pueblo of santa ana7348 (posa)7349Executive Summary7350 The federal government shutdown that began on October 1, 2025, is7351materially affecting the Pueblo of Santa Ana's Health & Human Services7352(HHS) operations. While certain federal agencies (e.g., the Indian7353Health Service, IHS) have partial insulation through advance7354appropriations, many of our grant-funded activities, technical7355assistance, new RFPs, amendments, and interagency coordination are7356delayed or paused.7357 For POSA HHS, the interruption threatens the following core7358programs and services:73597360 I HS-funded Community Health Representative (CHR) Program73617362 I HS-funded Substance Abuse & Behavioral Health Program73637364 Older Americans Act Title VI Programs for Elders (Senior7365 Center congregate meals, home-delivered meals, caregiver7366 support, transportation, wellness/health screening, social7367 engagement)73687369 BIA Indian Child Welfare Act (ICWA) Program73707371 Office for Victims of Crime (OVC)/Social Services73727373 Adult Day Program (ADP), tribally administered73747375 Public Health & Population Health initiatives (screenings,7376 prevention, community education)73777378 Community Health Council (NM DOH-supported coordination)73797380 Administrative & Finance Division (grants, reporting,7381 procurement, compliance)73827383 Compounding these risks, we have been unable to reach several7384federal technical advisors, and deadlines for reports, drawdowns, RFPs,7385and proposals are at risk. This paper (1) identifies operational7386vulnerabilities, (2) assesses short-, mid-, and long-term impacts, (3)7387outlines mitigation and contingency measures now underway, and (4)7388presents concrete legislative and administrative requests for our U.S.7389Senator.7390Context: Shutdown & Tribal Programs73917392 Congress did not enact full FY-2026 appropriations or a7393 continuing resolution by Oct 1, triggering a lapse in funding.73947395 Advance appropriations lessen but do not eliminate exposure:7396 core operations may continue in places, yet grant actions,7397 modifications, reimbursements, and technical assistance are7398 frequently delayed.73997400 Tribal programs historically experience disproportionate7401 harm during shutdowns due to reliance on federal approvals,7402 cost reimbursements, and technical guidance that pause or slow7403 substantially.74047405POSA HHS Program Overview & Risk Points740674071) IHS-Funded Community Health Representative (CHR) Program What it7408 does: Home and community outreach to elders and high-risk7409 members; health education; navigation; screenings; linkage to7410 meals and services.74117412 Shutdown risks:74137414 Delays in contract support cost (CSC) payments and grant7415 modifications.74167417 Training/TA pauses; Area/HQ approvals and email7418 responsiveness degraded.74197420 Activities dependent on new or discretionary funds are7421 vulnerable.74227423Operational impacts at POSA:74247425 Scheduling, outreach intensity, and home-based coordination7426 may slowespecially critical for homebound elders.74277428 Heightened staff uncertainty around budgets and timelines;7429 hiring/onboarding delays.74307431 Compliance/reporting compression increases audit and7432 continuation-funding risks.743374342) IHS-Funded Substance Abuse & Behavioral Health Program7435 What it does: SUD treatment, behavioral health counseling, case7436management, crisis response, and referral coordination.74377438 Shutdown risks:74397440 Delays in new awards, amendments, and drawdowns (including7441 SAMHSA/IHS discretionary streams).74427443 Reduced TA/oversight; evaluation and monitoring time lines7444 slip. Operational impacts at POSA:74457446 Essential care continues, but expansions and new initiatives7447 are at risk.74487449 Rising demand (shutdown stressors) may collide with7450 constrained capacity.74517452 Training and data/report deadlines at risk, impacting future7453 eligibility.745474553) Title VI Programs for Elders (Senior Center & Related Services)7456 What it funds: Congregate Meals (Senior Center), Home-Delivered7457Meals, Supportive Services (transportation, homemaker, chore),7458Caregiver Support (respite, training, counseling), Health Screening/7459Wellness, Socialization & Cultural Activities.7460 Funding profile: The Senior Center currently operates on a $187,0007461state grant from the New Mexico Aging & Long-Term Services Department7462(ALTSD), supplemented by Title VI federal funds and tribal funds.74637464 Shutdown risks:74657466 Delays in report acceptances, technical assistance,7467 amendments, and cash disbursements tied to federal processing.74687469 Vendor/contractor payments and purchase orders slowed.74707471 Operational impacts at POSA:74727473 Senior Center reopening scale-up could slip due to vendor7474 and staffing uncertainties.74757476 Home-delivered meals face supply and invoicing friction.74777478 Caregiver supports and screenings may delay ramp-up,7479 reducing preventive touchpoints.748074814) BIA ICWA Program7482 What it does: ICWA casework; court coordination; family7483reunification; foster/kinship placement; compliance and training.74847485 Shutdown risks: BIA contracts/agreements and discretionary items7486delayed; training/TA unavailable or minimal.74877488 Operational impacts at POSA:74897490 Case timelines and court coordination can slip; training and7491 placement approvals slow.74927493 Staff face higher administrative burden without federal7494 guidance; continuation cycles may bunch up.749574965) Office for Victims of Crime (OVC)/Social Services7497 What it does: Trauma-informed advocacy; cri sis response; safety7498planning; referrals; coordination with law enforcement/courts.74997500 Shutdown risks: OVC grant actions (reimbursements, modifications,7501continuation) delayed; TA intermittent.75027503 Operational impacts at POSA:75047505 Time-critical services risk responsiveness gaps; staff7506 safety/training supports lag.75077508 Proposal/reporting time lines may compress, threatening7509 continuation funding.751075116) Adult Day Program (ADP)7512 What it does: Provides supervised daily care, socialization, and7513support services for elders and adults with disabilities.75147515 Shutdown risks: Federal grant review delays for any linked7516facility, staffing, or services expansions.75177518 Operational impacts at POSA: Paused service enrollment and7519contractor payment uncertainty.752075217) Public Health & Population Health7522 What it does: Community health education, screenings, prevention7523campaigns, immunization events, and health literacy initiatives.75247525 Shutdown risks: Delayed communication with federal partners (IHS/7526CDC) on training, reporting, and coordination.75277528 Operational impacts at POSA: Interrupted coordination for7529screenings and outreach; potential delays in planned events.753075318) Community Health Council7532 What it does: NM DOH-supported multi-sector coordination on7533priority health needs. Shutdown risks: State coordination continues,7534but federal data sharing and guidance are limited during the lapse.75357536 Operational impacts at POSA: Reduced alignment with federal7537initiatives and delayed applications that depend on federal7538coordination.753975409) Administrative & Finance Division7541 What it does: Grants management, reporting, procurement, and7542compliance across all HHS programs.75437544 Shutdown risks: Federal approval for contracts and reimbursements7545delayed; staff time diverted to contingency processes.75467547 Operational impacts at POSA: Cash-flow pressure and audit7548vulnerability as reporting windows tighten post-shutdown.75497550Cross-Cutting Risks Now Evident75517552 Technical advisors unreachable or significantly delayed;7553 approvals and guidance stalled.75547555 Grant reporting and proposal/RFP time lines jeopardized by7556 system and staffing slowdowns.75577558 Procurement and vendor payments delayed where federal7559 approvals/reimbursements are involved.75607561 Equity risks: elders, victims of crime, children/families in7562 ICWA cases, and members with SUD/MH needs face heightened harm7563 from even short disruptions.75647565Impact Assessment for POSA HHS7566Short Term (less than or equal to 30 days)75677568 Core I HS-supported operations continue, but training,7569 hiring, procurement, and expansions are delayed.75707571 Senior Center ramp-up vulnerable to PO/vendor slowdowns;7572 home-delivered meals supply/invoicing friction.75737574 Technical assistance is intermittent; approvals and7575 clarifications lag.75767577 Reports/proposals may be submitted into a queue with delayed7578 federal action; risk of deadline collisions later.75797580Mid Term (30-90 days)75817582 Contract support cost and vendor reimbursements delays7583 create cash-flow stress.75847585 Behavioral health and OVC see demand up, capacity7586 constrained; ICWA coordination lags.75877588 Staff morale/retention pressure; cautious approach to hiring7589 and program buildouts.75907591 Grant reviews shift; competitive windows may compress or7592 slip unpredictably.75937594 Potential need to tap tribal reserves, postpone non-critical7595 capital and expansions.75967597Long Term (hreater than 90 days)75987599 Extended shutdown could force service reductions, hiring7600 freezes, and project deferrals.76017602 Health and safety outcomes degrade: elder nutrition/social7603 isolation, relapse risk, victim safety, child welfare7604 timelines.76057606 Community trust erodes if reopenings slip and services7607 pause.76087609 Future funding jeopardized by missed/stacked deadlines and7610 compliance compression.76117612Mitigation & Contingency Measures (In Progress/Planned)7613A) Immediate (Initiated/Ready to Initiate)76147615 1. Map every award, deadline, and cash-flow dependency (6-127616months); flag discretionary/new-award exposure.76177618 2. Establish redundant points of contact at IHS/BIA/DOJ; log7619unanswered inquiries to support extension requests.76207621 3. Sustain staff and community communication: what continues vs.7622what may shift; reassure elders and high-risk members.76237624 4. Protect core services: home-delivered meals, CHR outreach, BH7625crisis response, OVC advocacy; pre-stage vendor contracts.76267627 5. Procurement review: identify federal-dependent approvals; plan7628tribal bridging where critical.76297630 6. Cash-flow modeling: 60-90-day reimbursement delay scenario;7631define trigger points for tribal reserves.76327633 7. Reporting/proposals: submit early when possible; document7634federal system/TA delays; pre-draft extension letters.76357636B) Medium Term (If Shutdown Persists)76377638 1. Flex program management: pause non-essential enhancements (e.g.,7639phased ADP build-out) to protect essentials.76407641 2. Leverage partnerships: temporary state/county supports; regional7642tribal cooperation for training and shared resources.76437644 3. Advocacy documentation: quantify missed visits, meals, case7645delays, and cost impacts; prepare a weekly one-pager.76467647 4. Recovery planning: anticipate backlog (payments, on boarding,7648audits) and build a 60-day catch-up plan.76497650C) Long-Term Structural76517652 1. Adopt a tribal bridge-fund policy for elder nutrition, BH/OVC7653crisis services, and ICWA case continuity.76547655 2. Diversify funding: state, philanthropic, and academic partners7656for evaluation/training and gap services.76577658 3. Modernize grants & procurement: live tracker, deadline buffers,7659and a ``shutdownrisk'' check in all RFPs.76607661 4. Advocate for reform: support advance appropriations and7662automatic CR mechanisms to avoid future shutdown harm.76637664Specific Requests for Our U.S. Senator7665 1. Pass an immediate, clean funding vehicle (CR or omnibus) to7666restore agency operations and clear reimbursement backlogs.76677668 2. Enact universal advance appropriations (or mandatory funding)7669across key tribalserving programs (I HS-including CSC and construction,7670BIA social services/lCWA, OVC tribal set-asides, and OAA Title VI).76717672 3. Authorize automatic deadline relief (reporting, continuation7673applications, postaward actions) during shutdowns, with no penalty to7674tribes.76757676 4. Direct agencies to prioritize elder nutriti on, ICWA timelines,7677BH/OVC crisis services, and CHR outreach in emergency operations.76787679 5. Require rapid TA restoration: maintain skeleton TA/grants staff7680or publish singlepoint hotlines for tribal governments du ring lapses.76817682 6. Accelerate reimbursements after reopening (e.g., surge teams) to7683clear tribal backlogs within 30-45 days.76847685 7. Fund data and evaluation to document shutdown harms in Indian7686Country and support permanent protections.76877688Next Steps for POSA Leadership7689 1. Stand up a Shutdown Working Group (program leads, Grants/7690Finance/Procurement) to deliver a 30-day contingency plan this week.76917692 2. Activate cash-flow safeguards per the delay scenario; pre-7693authorize limited draws from tribal reserves if triggers are met.76947695 3. Transmit the Senator Packet: this white paper, a one-page7696executive brief, the program impact dashboard, and time-se nsitive7697deadlines needing extensions.76987699 4. Hold weekly leadership huddles until federal operations7700normalize; maintain a shared log of disruptions and costs.77017702Conclusion7703 Even with partial insulation, the shutdown is degrading the7704reliability of core health and human services relied upon by our7705elders, families, and survivors. The most acute nearterm risks involve7706elder nutrition and social connection, behavioral-health/OVC crisis7707response, and ICWA timelines--areas where delays convert quickly into7708measurable harm.7709 POSA HHS is executing contingency steps to protect essential7710services, but sustained federal action is needed. Support for immediate7711funding, durable advance appropriations across tribal-serving programs,7712automatic dea dline relief, and rapid TA/reimbursement resumption will7713directly safeguard lives and hea lth in our community and across Indian7714Country.7715 ______77167717 pueblo of tesuque--existing impacts from 2025 fall shutdown7718 The Pueblo of Tesuque is a sovereign Native American nation located7719in the foothills of the Sangre de Cristo Mountains, just north of Santa7720Fe, New Mexico. It is one of the state's smallest Pueblos, with a7721population of about 800, but the Pueblo encompasses more than 17,0007722acres, including Aspen Ranch and the Vigil Land Grant high in the Santa7723Fe National Forest near the Santa Fe ski area.7724 Tesuque is one of the more traditional and conservative pueblos,7725with a strong focus on cultural preservation, environmental protection,7726and economic self-sufficiency. The Pueblo's efforts in cultural and7727language preservation are a top priority, often through education and7728the protection of sacred sites.7729 The government shutdown generally has a broad, disproportionate7730impact on Native American communities, including the Pueblo of Tesuque,7731due to the nation-to-nation relationship and reliance on federal7732funding to fulfill trust obligations. There will be financial strain on7733our tribal government resources.7734 For the Pueblo of Tesuque, services affected during this shutdown7735are not immediately public, the impacts typically fall into the7736following critical areas:77377738 The Pueblo may have to use its own reserve funds to maintain7739 essential services, which can strain tribal finances.77407741 Delays or freezes in the disbursement of federal grants and7742 contracts can halt or slow down tribal operations and projects.77437744 The suspension of key farm and food assistance programs7745 threatens the financial stability of producers and the food7746 security of families.77477748 --Supplemental Nutrition Assistance Program (SNAP) and WIC.7749 If the shutdown prolongs, federal funding for programs like7750 SNAP and the Special Supplemental Nutrition Program for Women,7751 Infants, and Children (WIC) could lapse, leading to food7752 insecurity for tribal members.7753 ______77547755 tribal historic preservation office--director larry samuel7756 A core priority is the preservation of Tesuque's unique culture and7757language. This includes protecting ancestral lands and traditional7758practices. The Pueblo is actively involved in efforts to repatriate7759historical artifacts and maintain its traditional way of life. The7760Pueblo's government and related entities work to uphold the Pueblo's7761sovereignty and protect its cultural heritage.7762 The Pueblo of Tesuque is deeply concerned about the increase threat7763to our ancestral and irreplaceable cultural sites and historic lands7764resulting from the ongoing federal government shutdown.7765 Due to the lapse in appropriations, critical federal employees7766including archaeologists, land managers, rangers, and law enforcement7767officers responsible for protecting cultural resources on federal lands7768surrounding the Pueblo and areas of cultural significance have been7769furloughed or are operating with severely diminished capacity. This7770situation creates a dangerous void in oversight that directly7771jeopardizes our sacred sites and cultural heritage.7772 The government shutdown leaves our ancestral resources vulnerable7773to:77747775 Vandalism and Irreparable Damage:77767777 --Unstaffed federal lands are susceptible to illegal entry,7778 vandalism, and the defacing of ancient petroglyphs,7779 archaeological sites, and historic structures. Such damage to7780 these sites, which hold the history and spirit of our people,7781 is often irreversible.77827783 Looting and Theft:77847785 --The lack of patrol and security on cultural resource lands7786 increases the risk of archaeological artifacts being looted and7787 removed, a direct violation of federal law and a devastating7788 loss to our cultural patrimony.77897790 Halted Preservation Work:77917792 --Essential cultural resource management activities,7793 environmental monitoring, and consultations required under the7794 National Historic Preservation Act (NHPA) are suspended,7795 stalling critical preservation and protection efforts.77967797 Failure of Trust Responsibility:77987799 --The federal government's inability to maintain sufficient7800 protection for these lands constitutes a failure to uphold its7801 treaty and trust responsibilities to the Pueblo of Tesuque and7802 other Tribal Nations, whose history is deeply tied to these7803 ancestral landscapes.78047805 The Pueblo of Tesuque urges Congress to immediately end this7806political stalemate and restore full funding to the agencies charged7807with protecting these cultural heritage sites, ensuring that our sacred7808sites, which belong to all future generations, are safe from harm. The7809permanent damage to a cultural site cannot be compensated with back7810pay; once destroyed, it is lost forever.7811 ______78127813 transportation department--director: robert frenier7814 The Pueblo of Tesuque's Transportation Department is responsible7815for the planning, maintenance, and development of the Pueblo's7816transportation infrastructure. The department is tasked with the7817planning, design, construction, and maintenance of the Pueblo's road7818network, often in collaboration with federal partners like the Bureau7819of Indian Affairs (BIA). This includes the continual assessment of the7820roadway system to identify and implement improvements.7821 The Pueblo of Tesuque acknowledges that the BIA Transportation7822Program is generally one of the few tribal services that continues to7823operate during a federal government shutdown. This continued function7824is due to its funding source being largely non-lapsing funds from the7825Department of Transportation's Highway Trust Fund, which makes it7826exempt from the annual appropriations lapse.7827 The following are possible significant risks and challenges to the7828Pueblo's infrastructure and community due to the shutdown:78297830 Risk to Project Approvals:78317832 --Although the funding source is protected, furloughs within7833 the BIA and the Federal Highway Administration (FHWA) it can7834 cause a severe slowdown or halt to the administrative process.78357836 --Essential approvals for new road construction, maintenance7837 contracts, and the processing of Tribal Transportation7838 Improvement Program (TTP) plans may be delayed, preventing7839 upcoming work from starting.78407841 Maintenance of Existing Infrastructure:78427843 --The continued operation relies on the minimal staff deemed7844 ``essential,'' who are often working without pay and currently7845 understaffed. This undermines the effectiveness of the BIA's7846 responsibility for emergency road maintenance, snow removal due7847 to upcoming weather or flooding issues, bridge inspections, and7848 safety improvements on the pueblo roads.7849 ______78507851 agricultural services department--interim director: cesar barrionuevo7852 The Pueblo of Tesuque's Farms Department is an integral part of its7853commitment to cultural preservation, food sovereignty, and community7854health. Its primary mission is to revive traditional farming practices7855while also integrating modern, low-tech, and sustainable techniques to7856provide healthy food for the Pueblo community. In recent year, the7857pueblo has faced surface water depletions for irrigating and will7858utilize ground water to supplement.7859 The federal government shutdown is creating an immediate and7860profound crisis for agricultural producers and vulnerable citizens,7861especially within Tribal communities, as the U.S. Department of7862Agriculture (USDA) is forced to furlough approximately half of its7863workforce.7864 The shutdown severely compromises the services for farmers:78657866 USDA78677868 --Offices Closed--No word on Congressional Direct Spending7869 Fund award78707871 Conservation Programs Frozen:78727873 --The Natural Resources Conservation Service (NRCS) has7874 furloughed the vast majority of its staff.78757876 --Stops technical assistance and contact for new and ongoing7877 conservation projects.78787879 The Pueblo of Tesuque urges Congress to prioritize not only funding7880restoration but also a long-term solution, such as mandatory forward-7881funding for all critical Tribal programs, to shield our essential7882services from future political crises.7883 ______78847885 utility department--director: carlos casias7886 The Pueblo of Tesuque's Utility Department work is vital for the7887Pueblo's self-governance and its ability to provide essential, modern7888services to its citizens. It works to secure and protect the Pueblo's7889water resources and manage infrastructure in a way that is sustainable7890and in compliance with federal regulations. The department is7891responsible for ensuring the Pueblo has a supply of safe drinking7892water. The department operates and maintains the Pueblo's wastewater7893treatment systems. The Utility Authority oversees solid waste disposal7894services. Key issues include aging infrastructure, capacity7895limitations, and inefficiencies in sludge management.78967897 Permitting Delays:78987899 --BIA staff responsible for approving rights-of-way, leases,7900 and permits necessary for utility line installation across7901 trust lands are furloughed, bringing new infrastructure and7902 maintenance projects to a standstill.7903 ______79047905 realty department--director: brenda m. atencio7906 The Pueblo of Tesuque's Realty Department is a critical7907governmental entity responsible for the management, preservation, and7908protection of the Pueblo's land and real estate assets. The department7909provides technical assistance to the Pueblo's Governor, Tribal Council,7910and community members on a range of land and real estate issues. They7911are responsible for creating and maintaining essential documents, such7912as easements, rights-of-way, and utility service line agreements.7913 The following are issues the Realty Department is dealing with due7914to the shutdown:79157916 Bureau of Indian Affairs (BIA) Operations:79177918 --No Contact79197920 --No access to Trust Asset Accounting Management System7921 (TAAMS); which is the system of record for trust land7922 management for the Department of the Interior. The division7923 provides user training, maintains documentation,79247925 --Staff on Furlough cannot respond to emails79267927 --No documents processed79287929 --Permitting Delays:79307931 *BIA staff responsible for approving rights-of-way, leases,7932 and permits.7933 ______79347935 information technology department--network and communications7936 administrator: jeremy yepa7937 IT Department determines information services requirements for the7938Pueblo of Tesuque, establishing priorities for systems development and7939data processing requirements, evaluating and projecting hardware and7940software needs, and developing budget work programs to provide the7941staff equipment necessary to implement required computer operating7942systems, information and communication services.7943 The following are issues the IT Department is dealing with due to7944the shutdown:79457946 Telecommunications:79477948 --While many programs funded by the Bipartisan Infrastructure7949 Law, such as the Tribal Broadband Connectivity Grant, continue7950 to be funded, the technical assistance and administrative staff7951 needed to manage and implement these projects may be7952 furloughed, leading to operational bottlenecks.79537954 Possible slow down in ordering equipment for upcoming7955 projects.7956 ______79577958department of environment and natural resources (denr)--denr director:7959 ryan swazo-hinds7960 The Pueblo of Tesuque is a leader in environmental stewardship and7961currently the Environmental Protection Agency (EPA) Region 6 Regional7962Tribal Operations Committee (RTOC) Co-Chair. DENR focuses on watershed7963management, wildland restoration, and the removal of invasive species7964to protect its lands from wildfires and improve ecosystem health. The7965Pueblo actively works to secure and protect its aboriginal and7966immemorial water rights, which are essential for traditional7967agriculture and the long-term well-being of the community. Tesuque7968often collaborates with federal agencies like the Bureau of Indian7969Affairs, Bureau of Land Management and USDA Forest Service on co-7970stewardship agreements to manage and protect culturally significant7971lands.7972 The ongoing federal government shutdown critically undermines the7973Pueblo's inherent sovereign right and the federal trust responsibility7974to manage and protect our ancestral lands, water, and cultural7975resources. Essential environmental and natural resource functions7976within the Department of the Interior (DOI) and the BIA are being7977severely curtailed, with a direct and immediate impact on our7978community's well-being and long-term economic stability. With key staff7979at the BIA and other regulatory agencies furloughed, the ability of the7980Pueblo to engage meaningfully on federal actions-including resource7981development, permitting, and regulatory changes-has been frozen.7982 The following are issues the DENR is dealing with due to the7983shutdown:79847985 Environmental Protection Agency (EPA)79867987 --DENR's EPA Performance Partnership Grant (PPG) $311,552.007988 was not awarded on time, due to the Water Program still working7989 through their budgets. Due to staff furlough, the award has not7990 been awarded.79917992 --No contact with EPA Project Officers.79937994 --Fall Region 6 EPA Tribal Caucus and RTOC Meeting canceled7995 due to no EPA employees able to travel.79967997 The near complete closure of the EPA severely limits the Pueblo's7998ability to access technical assistance and grant support for managing7999local air and water quality and responding to localized environmental8000hazards.80018002 Bureau of Indian Affairs (BIA) Operations:80038004 --No Contact80058006 Wildland Fire Management: The BIA's Wildland Fire Program is8007largely continuing using non-lapsing funds, but the overall8008coordination and preparatory work for fire season are compromised by a8009scaled-back federal presence.80108011 USDA Forest Service, Santa Fe National Forest.80128013 --Canceled out government to government consultation set up8014 on October 1, 2025. Environmental Review and Permitting: All8015 non-emergency processing of permits, leases, and environmental8016 reviews under the National Environmental Policy Act (NEPA) and8017 the National Historic Preservation Act (NHPA) has ceased.8018 ______80198020 housing department--sage mountainflower8021 Housing at Tesuque Pueblo blends deep-rooted indigenous8022architectural styles with modern, tribally-managed programs are working8023to provide affordable, safe, and culturally appropriate homes for its8024members. Due to limited availability of new affordable units, some8025households may experience overcrowding. A portion of the housing stock8026may be older, leading to issues with incomplete plumbing, incomplete8027kitchens, structural needs, and other substandard conditions requiring8028rehabilitation. The goal is utilizes federal funding, such as the8029Indian Housing Block Grant (IHBG), to plan and execute projects,8030include new housing construction by building new affordable homes for8031Tribal members.8032 The U.S. Department of Housing and Urban Development (HUD) Office8033of Native American Programs (ONAP) is operating at a near-complete8034standstill, directly cutting off vital financial arteries:80358036 Indian Housing Block Grant (IHBG)80378038 --No ability to contact staff for assistance to current8039 grant.80408041 --While Tribally Designated Housing Entities (TDHEs) may draw8042 down previously obligated funds, the shutdown freezes all new8043 competitive IHBG and Indian Community Development Block Grant8044 (ICDBG) awards80458046 Administrative Freeze: The large-scale furlough of HUD/ONAP8047 staff prevents the processing of grant agreements, submission8048 of financial reports, and the provision of essential technical8049 assistance and oversight necessary to keep housing projects on8050 track.8051 ______80528053 Response to Written Questions Submitted by Hon. Brian Schatz to8054 Hon. Sarah E. Harris8055 Question 1. The 2025 federal government shutdown and the concurrent8056agency Reductions in Force (RIFs) are creating unprecedented strains on8057Tribes, compounding challenges that existed before the shutdown. These8058strains include cancelled or frozen funds, hiring freezes, staffing8059gaps from voluntary separations (including early retirements and8060``fork-in-the-road'' offers), and breakdowns in communication with8061agencies. What specific disruptions or harms (e.g., delayed program8062funding, paused contracts, delayed consultations, halted services,8063etc.) stem directly from the lapse in appropriations?8064 Answer. Numerous challenges for Tribal Nations stem from this and8065previous federal shutdowns and the subsequent lapse in appropriations.8066These include the abrupt loss of access to funding delivered to Tribal8067Nations, citizens, and communities in fulfillment of trust and treaty8068obligations. Many Tribal Nations rely on this funding to support8069critical government operations and have little or no other funding in8070reserve to bridge the gap during a shutdown. The longer a shutdown8071persists, the more precarious the situation becomes for the8072governmental operations of many Tribal Nations. Tribal Nations are8073obligated to continue providing essential services to our citizens and8074communities, like nutrition, public safety, and social services--8075regardless of whether the federal government is functional. During this8076shutdown, some USET SPF member Tribal Nations considered taking out8077loans to cover costs and others were forced to reallocate funding8078earmarked for other purposes.8079 As the Committee knows, Tribal Nations should not be made to8080subsidize federal trust and treaty obligations, but this is a regular8081occurrence, both during and outside of shutdowns. There was a time when8082some Tribal governments were labeled dysfunctional. Now Tribal Nations8083are forced to fill the gap created by a dysfunctional federal8084government. The cost of dysfunction is borne by our children,8085communities, and elders.8086 Relatedly, shutdowns often result in the furlough of Tribal staff8087along with federal staff, along with delays in program funding. The8088uncertainty and economic impacts of protracted shutdowns can cause8089permanent loss of Tribal staff (as well as federal staff) in possession8090of key expertise that cannot easily be replaced. This compounds and8091exacerbates existing workforce attraction and retention challenges8092across Indian Country and within the federal government. It also8093jeopardizes program growth, development, and continuity at the Tribal8094level.80958096 Question 1a. What additional or distinct challenges are Tribes8097experiencing as a result of the agency RIFs occurring during the8098shutdown (e.g., permanent loss of key staff, reduced points of contact,8099diminished institutional knowledge)?8100 Answer. The RIFs during and prior to the shutdown have caused8101considerable confusion and uncertainty for Indian Country. For example,8102during the shutdown, it was particularly difficult to determine whether8103federal staff had been furloughed or RIF'd. Even federal staff were8104reporting that they did not have clarity from agency leadership on8105their employment status. Beyond RIFs at the CDFI Fund, it was8106particularly difficult to determine whether RIFs at other agencies,8107such as HHS, affected Tribal-serving positions and programs.8108 More broadly, permanent RIFs of Tribal-serving positions are8109uniquely damaging to the execution of trust and treaty obligations.8110Indian Country is extremely diverse and the laws and policy governing8111the Tribal-federal relationship are complex and multilayered. The loss8112of expert personnel creates gaps in knowledge that cannot easily be8113filled--with new personnel or with technology.8114 A helpful analogy is US international diplomacy. In that context,8115it is considered axiomatic that diplomats serving a particular nation8116must have a deep understanding of that nation's history, people and8117government which all inform its current circumstances, challenges and8118opportunities. It is this deep knowledge that strengths and informs the8119nation-to-nation relationship and is essential to effective diplomacy8120and positive outcomes for all.8121 Tribal Nations expect and deserve the same consideration, as the8122Tribal-federal relationship is diplomatic in nature. Agency staff are8123most effective when they have deep knowledge and relationships within8124Indian Country and federal Indian policy. Appointees, who come and go8125with each administration, do not necessarily have this knowledge and,8126therefore, must rely on seasoned agency staff. Indiscriminate RIFs and8127other actions, including relocations and reassignments, deprive8128decision makers of this expertise, which is damaging to the execution8129of trust and treaty obligations, as well as the Tribal-federal8130relationship.81318132 Question 1b. Of the challenges facing Native communities during8133this period, what proportion would you attribute primarily to the8134shutdown versus the agency RIFs?8135 Answer. During the shutdown, it was extremely difficult to8136determine which disruptions were caused by the lapse in appropriations8137and which had another cause, such as the RIFs. Over the course of 2025,8138there has been a distinct lack of transparency and communication from8139the Executive Branch regarding RIFs, reorganizations, and other8140restructuring. While the impacts of a federal government shutdown are8141always destabilizing, this disruption was intensified by RIFs and other8142issues, such as the Administration's resistance to utilizing the SNAP8143contingency fund.81448145 Question 1c. In what ways are the shutdown and the RIFs interacting8146to intensify or prolong disruptions in federal-Tribal relations and8147service delivery?8148 Answer. Historically, there have always been challenges with8149Tribal-serving staffing levels at federal agencies. When I served at8150Interior, I know that Indian affairs had around 8,000 employees. Even8151then, we faced challenges which had compounded from many years of8152inadequate staffing.8153 The fact is that RIFs violate trust and treaty obligations. No one8154argues that Indian Affairs or BIE are overstaffed or overfunded. No one8155argues that other federal agencies do not have the same trust and8156treaty obligations as BIA, BIE, and IHS. Quite the opposite--Congress8157has time and again on a bi-partisan basis took action to ameliorate8158this generational inequity.8159 The RIFs take a hatchet to that progress, breaking the delivery of8160obligations from the inside out and at the same time undermining8161Congress. Those resources are not reallocated to Tribal Nations, but8162rechanneled for purposes completely unrelated to trust and treaty8163obligations.8164 An awareness and understanding of the bedrock principles of the8165Tribal-federal relationship is essential to this work. Add on top of8166that the fact that every Tribal Nation's relationship is impacted by8167many factors. For example, historical context, particular provisions of8168treaties and land claims settlements, the composition and structure of8169each Tribal government, can all widely differ. There is not a one-size-8170fits-all approach to this work.81718172 Question 2. The Office of Management and Budget (OMB) Office of8173Information and Regulatory Affairs (OIRA) memorandum issued on October817421, 2025, ``Streamlining the Review of Deregulatory Actions,'' directs8175agencies to bypass Tribal consultation required by executive orders and8176laws even when such deregulation involves Tribes. Combined with RIFs8177and limited agency communication during the shutdown, the OIRA8178memorandum further strains the federal-Tribal relationship by8179undermining required consultations. Please describe how the OIRA8180memorandum's directive to bypass Tribal consultation despite Executive8181Order 13175 and longstanding trust and treaty obligations could impact8182Tribal equities. Please also include specific examples of potential8183harm and any legal or policy concerns.8184 Answer. Although there are examples of burdensome regulations that8185Indian Country would like to see streamlined, modified, or eased in8186ways that promote and advance the exercise of Tribal sovereignty,8187Tribal consultation must always occur when the federal government takes8188action that affects us--whether through prospective regulation or8189deregulation. Executive Order 13175 and other Tribal consultation8190requirements serve critical purposes: to ensure that we are not harmed8191by federal actions and that we are able to provide guidance on how best8192to execute these actions in accordance with trust and treaty8193obligations. Federal policy and the Tribal-federal relationship8194benefits considerably when Tribal input is meaningfully and thoroughly8195solicited and acted upon. Moreover, the federal government is legally8196and morally obligated to engage in consultation.8197 We are concerned that the OIRA memorandum will result in8198deregulation without notice or the benefit of Tribal guidance. This8199could affect our ability to protect sacred sites and cultural8200resources, public health, or our natural environment. It could also8201complicate efforts to promote the exercise of Tribal sovereignty or8202other positive deregulatory action, given the great diversity of8203circumstance, tradition, and history found throughout Indian Country.8204Tribal consultation is always required when a federal action with8205potential impacts on Tribal Nations, citizens, or communities.82068207 Question 3. Tribes are reporting that staff furloughs at the8208Department of the Interior are delaying critical real estate activities8209at the Bureau of Indian Affairs (BIA) needed for economic development,8210housing, and infrastructure and energy projects, and suspending federal8211procurement and contracting activities. What impacts will the backlog8212of, for example, lease transactions, land withdrawals, real estate8213documentation requests, and right-of-way approvals that result from8214this extended shutdown, have on Tribes and Tribal organizations?8215 Answer. The shutdown will further compound challenging facing real8216estate processes at Interior. The lengthy backlogs at real estate8217services are well known. It is not unusual for delays in these8218processes to be so protracted that component steps need to be repeated.8219One cause of delays is inadequate staffing. There are opportunities to8220address these backlogs by recognizing Tribal Nation authority to assume8221parts of the process, such as the provisions outlined in the UNLOCKED8222Act, real estate appraisals, or other components.82238224 Question 3a. How will suspension of federal procurement and8225contracting activities impact businesses and industry on Tribal lands,8226and what are the direct impacts of these disrupted activities on Tribal8227employment and economies during the shutdown? Please provide data, if8228available, on the share of businesses/industry that rely on federal8229procurement and contracting on Tribal lands in your answer.8230 Answer. All Tribal Nations have positive economic impacts on their8231surrounding communities and businesses. We hire non-Native employees,8232make purchases from community businesses, and create circumstances that8233bring additional economic development to our regions.8234 Approximately 3/4 of USET member Tribal Nations are currently8235engaging in or developing federal contracting economic activities, and8236a majority of those firms are 8(a) and HUBZone certified. A 2022 study8237by The Center for Indian Country Development (CICD) found that Federal8238contracting revenue for Tribal Nations has grown faster than revenue8239from gaming and natural resources development. Outside gaming,8240contractual services generate the most revenue for USET Tribal Nations8241and our communities.8242 The revenue from these enterprises supports Tribal community8243programs that are underfunded by the federal government. Native entity8244enterprises adapt traditional corporate models to benefit their8245communities, and, in a few cases, with USET membership even expand to8246have a global reach.82478248 Question 4. Despite the IHS, BIA, and BIE being exempted from8249furloughs and RIFs, many federally-funded staff must work without pay8250during the shutdown, such as BIA and Tribal police officers. How has8251the shutdown affected staffing recruitment, retention, and morale8252challenges for federal and Tribal programs, especially in the public8253safety space?8254 Answer. As previously stated, protracted shutdowns are highly8255destabilizing for Tribal and federal personnel. Many of these personnel8256cannot afford to go without regular paychecks. The uncertainty and8257economic impacts from lengthy shutdowns often result in staff turnover8258at the Tribal level. Tribal Law enforcement agencies routinely operate8259without proper staffing, requiring officers to work long hours without8260time off, creating enormous safety and wellness issues for those8261officers who serve our Tribal communities. These shortages are mostly8262the result of the longstanding shortfalls in federal funding for Tribal8263public safety programs, with harmful consequences that include an8264inability to hire sufficient numbers of police officers and many8265existing police officers leaving Tribal Nations for better wages and8266benefits in non-Tribal employment. Shutdowns only exacerbate these8267inequities. USET SPF Resolution 2025:001 calls Tribal consultation on8268this issue, the ability for Tribal Nations to reprogram funding to8269address officer shortages, and supports federal retirement and benefit8270parity for Tribal law enforcement.8271 ______82728273 Response to Written Questions Submitted by Hon. Brian Schatz to8274 Anthony Locklear, II8275 Question 1. The 2025 federal government shutdown and the concurrent8276agency Reductions in Force (RIFs) are creating unprecedented strains on8277Tribes, compounding challenges that existed before the shutdown. These8278strains include cancelled or frozen funds, hiring freezes, staffing8279gaps from voluntary separations (including early retirements and8280``fork-in-the-road'' offers), and breakdowns in communication with8281agency staff. What specific disruptions or harms (e.g., delayed program8282funding, paused contracts, delayed consultations, halted services,8283etc.) stem directly from the lapse in appropriations?8284 Answer. The shutdown has exposed numerous vulnerabilities across8285many federal health agencies. First and foremost, all work at the8286Department of Health and Human Services, outside of the Indian Health8287Service was disrupted from the lapse in appropriations. Health8288Resources and Services Administration (HRSA) and Substance Abuse and8289Mental Health Services Administration (SAMHSA) funds were delayed,8290jeopardizing behavioral health programs, maternal health initiatives,8291and suicide prevention services. The CDC and Environment Protection8292Agency (EPA) programs that fund Tribal public health infrastructure,8293environmental safety, and clean water projects were paused or slowed,8294disrupting vital community health operations. Additionally, Tribal8295Advisory Committees, including the Centers for Medicare and Medicaid8296Services (CMS) Tribal Technical Advisory Group (TTAG), were unable to8297meet, directly disrupting communication channels between CMS and Tribal8298leaders. When these functions pause, the effects are immediate.82998300 Question 1a. What additional or distinct challenges are Tribes8301experiencing as a result of the agency RIFs occurring during the8302shutdown (e.g., permanent loss of key staff, reduced points of contact,8303diminished institutional knowledge)?8304 Answer. The Reductions in Force at the Department of Health and8305Human Services have resulted in numerous challenges for Tribes. Since8306early 2025, workforce reductions and hiring freezes within HHS,8307particularly at the IHS, HRSA, SAMHSA, and CDC, have significantly8308reduced the personnel supporting Tribal programs. The uncertainty8309surrounding these actions has devastated morale, driving experienced8310staff and clinicians to leave the Indian health system altogether.8311Additionally, administrative bottlenecks have also emerged, where staff8312reductions have limited the ability to provide technical assistance,8313monitor grantee performance, and eroded institutional knowledge. The8314result of these actions is not administrative efficiency, but a loss of8315access to quality of life and positive healthcare outcomes.83168317 Question 1b. Of the challenges facing Native communities during8318this period, what proportion would you attribute primarily to the8319shutdown versus the agency RIFs?8320 Answer. While the shutdown has been harmful for Indian Country,8321advance appropriations for the Indian Health Service has shielded the8322Tribal health system from the most harmful and damaging impacts.8323However, ongoing reductions in force, early retirements, and hiring8324freezes across HHS have created serious instability for Tribal Nations8325and the federal programs that serve them.83268327 Question 1c. In what ways are the shutdown and the RIFs interacting8328to intensify or prolong disruptions in federal-Tribal relations and8329service delivery?8330 Answer. While the Indian Health Service has been sheltered from the8331most damaging impacts of the shutdown, the impacts beyond IHS at the8332Department of Health and Human Services have had a direct impact on8333Tribal relations and care delivery. For instance, Tribes who choose to8334exercise their right to self-determination under the Indian Self-8335Determination and Education Assistance Act enter negotiations with IHS8336through a process led by attorneys at the Office of General Counsel.8337The OGC office has seen severe cuts from the reductions in force, as8338well as placed on furlough during the shutdown. This means that all8339ISDEAA negotiations, already delayed by staffing challenges at OGC, are8340completely on pause until after the shutdown. This directly impacts8341Tribal sovereignty and disrupts Tribal self-determination under ISDEAA.83428343 Question 2. The Office of Management and Budget (OMB) Office of8344Information and Regulatory Affairs (OIRA) memorandum issued on October834521, 2025, titled, ``Streamlining the Review of Deregulatory Actions''8346directs agencies to bypass Tribal consultation required by executive8347orders and laws, even when such deregulation involves Tribes. Combined8348with RIFs and limited agency communication during the shutdown, the8349OIRA memorandum further strains the federal-Tribal relationship by8350undermining required consultations. Please describe how the OIRA8351memorandum's directive to bypass Tribal consultation despite Executive8352Order 13175 and longstanding trust and treaty obligations could impact8353Tribal equities. Please also include specific examples of potential8354harm and any legal or policy concerns.8355 Answer. The OIRA memorandum directing agencies to bypass Tribal8356consultation for deregulatory actions raises serious concerns for8357Tribal health and directly conflicts with Executive Order 13175 as well8358as upholding the federal trust responsibility. When combined with8359agency reductions in force and limited communication during government8360shutdowns, this directive increases the risk that health-related8361federal decisions affecting Tribal communities will be made without8362Tribal input or awareness. Many federal regulations are foundational to8363protecting public health and ensuring access to care in Indian Country.8364Deregulation without Tribal consultation risks weakening or removing8365safeguards that directly affect Tribal health systems and community8366wellbeing.8367 For example, Deregulatory actions affecting Indian Health Service8368operations, Medicaid, Medicare, or related federal health programs may8369disrupt care delivery, reimbursement, and workforce stability at Tribal8370and IHS facilities. Without consultation, agencies may overlook how8371regulatory changes affect Tribes that rely on these programs as their8372primary source of health care. Additionally, rollbacks of public health8373preparedness requirements, surveillance, data-sharing, or interagency8374coordination may reduce Tribes' ability to respond effectively to8375public health emergencies, including infectious disease outbreaks and8376environmental exposures. These risks are heightened when agencies lack8377staffing or capacity due to RIFs or shutdowns.8378 Government shutdowns and agency RIFs reduce federal capacity for8379consultation, technical assistance, and timely communication. When8380deregulation proceeds without consultation under these conditions,8381Tribes are more likely to learn of changes after implementation,8382limiting their ability to mitigate harm or adjust health service8383delivery.8384 In addition to direct harms to Tribal communities, there are also8385legal and policy concerns with the memorandum. First and foremost, OMB8386guidance cannot override an Executive Order. Presuming that Tribal8387consultation is unnecessary for deregulatory actions is inconsistent8388with EO 13175. Many health-related regulations implement the federal8389government's obligation to protect Tribal health and fulfill the8390federal trust responsibility. Removing them without Tribal consultation8391risks undermining that obligation. Finally, excluding Tribes from8392deregulation decisions increases the likelihood of poorly informed8393policy changes, service disruptions, and legal challenges. By8394encouraging agencies to bypass Tribal consultation for deregulatory8395actions, the OIRA memorandum risks undermining Tribal health8396protections at a time when federal capacity is already strained.8397Ensuring that Executive Order 13175 applies to all federal actions,8398including deregulation, is essential to protecting Tribal health and8399maintaining effective federal-Tribal coordination.84008401 Question 3. You testified that more than 1,000 IHS employees8402accepted early retirement offers in early 2025 and that IHS is facing8403its lowest offer acceptance rate in history. While Secretary Kennedy8404has exempted clinical staff from some administrative decisions,8405including hiring freezes, not all IHS positions have received these8406exemptions. During the shutdown, can IHS hire new employees, including8407administrative staff, even with advance appropriations for Fiscal Year84082026 in place? If not, how does this impact the existing recruitment8409and retention challenges at IHS, i.e., what is the real impact of these8410employee losses and poor recruitment rates on IHS' ability to serve8411Indian Country? Also, please specify how the inability to hire8412administrative and other non-clinical positions impacts IHS facilities'8413ability to serve patients.8414 Answer. During the shutdown, the Indian Health Service is allowed8415to hire new employees. However, the already excruciatingly slow process8416has been delayed even more by administrative staff at HHS who have been8417furloughed. Also, although the IHS has continued hiring during the8418shutdown, the rate of employee loss compared to new hires has created8419severe challenges. Many facilities are so thinly staffed that losing8420just one physician-level provider could force closure. Other facilities8421are concerned they may be forced to reduce service offerings due to8422lack of adequate staffing. Any impact to services, including facility8423closure, has prohibits the federal government from fulfilling its8424obligation to provide high-quality healthcare to all American Indians8425and Alaska Natives.84268427 Question 3a. Even with exemptions in place for some IHS positions8428(i.e. clinical), how are funding and job stability uncertainty8429impacting recruitment?8430 Answer. Since early 2025, workforce reductions and hiring freezes8431within HHS, particularly at the Indian Health Service (IHS), have8432significantly reduced the personnel supporting Tribal programs. The8433uncertainty surrounding these actions has devastated morale, driving8434experienced staff and clinicians to leave the Indian health system8435altogether. Additionally, the IHS already operates with severe8436shortages, including a 30 percent overall provider vacancy rate and a843736 percent physician vacancy rate at any given time. However, directly8438due to reductions in force, added hiring challenges, and unprecedented8439low rates of job acceptance, the IHS is currently operating at an8440overall 35 percent vacancy rate. Many facilities are so thinly staffed8441that losing just one physician-level provider could force closure; 438442percent of IHS facilities would have to shut their doors if that8443occurred. The IHS has also been forced to move providers across the8444country and mobilize more than 70 Public Health Service Officers to8445keep facilities from closure. While staffing shortages are not a new8446concept for the IHS, senior leadership has reported unprecedented rates8447of providers not accepting offers, which only complicates an already8448long hiring process.84498450 Question 3b. How are IHS staffing levels impacting grant8451administration and Tribes' ability to access timely awards?8452 Answer. The Indian Health Service is experiencing issues related to8453staffing levels across the board, including grant administration. High8454vacancy rates reduce the agency's ability to process applications,8455issue awards, and provide critical technical assistance. Tribes often8456rely on the IHS to provide technical assistance and administrative8457infrastructure for grant management and administration. The Indian8458Health Service Division of Grants Management is critical to upholding8459the federal government's trust responsibility.8460 ______84618462 Response to Written Questions Submitted by Hon. Ben Ray Lujan to8463 Anthony Locklear, II8464 Question 1. You highlighted that advance appropriations for IHS8465have provided stability during shutdowns. Can you describe specific8466ways in which Tribal health services have remained operational this8467year due to advance appropriations?8468 Answer. The continuity of services and normal operations provided8469by advance appropriations at IHS during this shutdown reveals the8470critical need for advanced funding for the I/T/U system. Before the8471enactment of advance appropriations, the IHS was subject to the full8472impact of government shutdowns, disrupting all levels of care delivery.8473During the 35-day government shutdown in 2019, direct care services8474remained non-exempt, but providers did not receive pay. In addition,8475administrative and technical staff responsible for scheduling patient8476visits, processing referrals, and managing health records were8477furloughed. Contracts with vendors for sanitation services and8478facilities upgrades went weeks without payment, prompting many Tribes8479to exhaust alternative resources to stay current on these bills. Many8480Tribes reported losing physicians to other hospitals and health systems8481unaffected by the shutdown. At the height of the budget instability,8482some Tribal governments were forced to reconcile their budgets up to 218483times in a single fiscal year due to successive short-term continuing8484resolutions, each lasting anywhere from a single day to several months.8485This constant uncertainty strained cash flow and, in some cases,8486triggered credit downgrades for Tribes financing critical health8487facilities. However, thanks to advance appropriations for FY26, the8488difference is clear. The IHS remains open thanks to the members of this8489Committee, as advance appropriations allow clinics to stay open,8490payroll to continue, and patients to receive care today. These advance8491funds have directly allowed IHS direct service facilities to maintain8492services and critical programs, while also planning for the future.84938494 Advance appropriations also helped Tribal health systems respond to8495unexpected emergencies. On October 11, 2025, eleven days into the8496federal shutdown, Western Alaska was slammed by remnants of Typhoon8497Halong, which brought hurricane-force winds and life-threatening8498floods. In southwestern Alaska, the Yukon-Kuskokwim Health Corporation8499(YKHC) assisted in coordinating response efforts and aiding in the8500rescue mission. Initial reports from YKHC indicated that Tribal leaders8501requested that medical providers and prescription medications be8502provided to Kwigillingok, Kipnuk, Tuntutuliak, and Chefornak. YKHC8503immediately coordinated with medical teams to assist these remote8504locations. Through available funds, YKHC provided services for8505community members in need and funded other relief efforts.85068507 Question 2. What has the impact of the shutdown on IHS accounts8508that do not receive advance appropriations?8509 Answer. Although the Indian Health Service is mainly funded by8510advance appropriations, there are six accounts that are not covered by8511the advance. These include, healthcare facilities construction,8512sanitation facilities construction, contract support costs, 105(l)8513lease payments, electronic health records, and the Indian Health Care8514Improvement Act fund. Therefore, the Indian Health Service has relied8515on Fiscal Year 2025 carry-over and third-party revenue to fund these8516accounts. Thankfully, the Indian Health Service has been able to remain8517fully open, functional, and not missed a single payment throughout the8518entire shutdown. With that said, one of the largest impacts has been8519contract support costs and Tribal 105(l) lease payments. While some8520Tribal providers may be able to remain afloat for a while without8521receiving these payments, at some point they will have to dig into8522program funds to pay fixed administrative and facility costs if8523appropriations do not come through. Additionally, there are other8524Tribal providers reporting fear about how they are going to keep the8525lights on without these appropriations.85268527 Question 3. How would advance appropriations for all IHS accounts8528help the IHS to better deliver on the trust responsibility to provide8529health care to American Indians and Alaska Natives?8530 Answer. The 2025 government shutdown has proven that advance8531appropriations for the Indian Health Service are lifesaving, efficient,8532and highly successful. The IHS has been able to continue providing8533high-quality services to all of Indian Country, without missing a8534single paycheck or payment. Additionally, even though the IHS was able8535to cover remaining accounts without advance appropriations with third-8536party revenue and carry-over funds during this shutdown, it is not a8537guarantee that the IHS will always have the funds available to fund8538these accounts in a shutdown. Therefore, it is imperative advance8539appropriations is expanded for all IHS accounts ensure the Indian8540Health Service can always remain 100 percent open and functional during8541federal government shutdowns.85428543 Question 4. How are staffing reductions and the government shutdown8544impacting IHS's ability to fill vacancies, both in terms of recruitment8545and completing the lengthy hiring process?8546 Answer. Ongoing RIFs, early retirements, and hiring freezes across8547HHS have created serious instability for Tribal Nations and the federal8548programs that serve them. These are not abstract bureaucratic changes;8549they directly weaken the government's capacity to fulfill its trust and8550treaty obligations to Tribal Nations. Since early 2025, workforce8551reductions and hiring freezes within HHS, particularly at the Indian8552Health Service (IHS), have significantly reduced the personnel8553supporting Tribal programs. The uncertainty surrounding these actions8554has devastated morale, driving experienced staff and clinicians to8555leave the Indian health system altogether.8556 Additionally, the IHS already operates with severe shortages,8557including a 30 percent overall provider vacancy rate and a 36 percent8558physician vacancy rate at any given time. However, directly due to8559reductions in force, added hiring challenges, and unprecedented low8560rates of job acceptance, the IHS is currently operating at an overall856135 percent vacancy rate. Many facilities are so thinly staffed that8562losing just one physician-level provider could force closure; 438563percent of IHS facilities would have to shut their doors if that8564occurred. The IHS has also been forced to move providers across the8565country and mobilize more than 70 Public Health Service Officers to8566keep facilities from closure. While staffing shortages are not a new8567concept for the IHS, senior leadership has reported unprecedented rates8568of providers not accepting offers, which only complicates an already8569excruciatingly long hiring process. Staffing is not a bureaucratic8570detail, it is literally a matter of life and death in many Tribal8571communities.8572 ______85738574 Response to Written Questions Submitted by Hon. Brian Schatz to8575 Ben Mallott8576 Question 1. The 2025 federal government shutdown and the concurrent8577agency Reductions in Force (RIFs) are creating unprecedented strains on8578Tribes, compounding challenges that existed before the shutdown. These8579strains include cancelled or frozen funds, hiring freezes, staffing8580gaps from voluntary separations (including early retirements and8581``fork-in-the-road'' offers), and breakdowns in communication with8582agency staff. What specific disruptions or harms (e.g., delayed program8583funding, paused contracts, delayed consultations, halted services,8584etc.) stem directly from the lapse in appropriations?8585 Answer. The specific disruptions and harms that stem directly from8586the lapse in appropriations are too numerous to list. Just from loss of8587SNAP and WIC benefits alone, there was a 20-30 percent increase in need8588at the available food banks. There are over 25,000 Alaska Native8589households statewide that depend on SNAP benefits. There was lack of8590funding for families depending on energy assistance through LIHEAP,8591forcing many families to go without heat during the coldest time of the8592year in Alaska. Multiple village tribes reported that they could not8593process grants, access project officers, amend budgets, or get8594reimbursed for work already performed. This puts tribal jobs and8595services at risk and threatens the health and welfare of tribal8596citizens and families.8597 While the Indian Health Service (IHS) operations had the benefit of8598advance appropriations, some of the IHS programs are not included.8599These include Facilities construction, facilities sanitation8600construction, the 501(l) lease program, and contract support costs8601(which supports third party services that cannot be provided by tribal8602health contractors directly). There are at least 300 participants in8603the IHS 501(l) lease program in Alaska. Without advance appropriations8604for these critical programs, the Alaska Native health care providers8605have to pull from other resources and sources of funds--overall this8606impacts the services and efficiencies of Native healthcare.8607 The Tribes, Tribal Health entities, and Tribal Housing entities8608will definitely face cashflow issues and delays in services.8609Ultimately, this could lead to a stop in some services, which will be8610detrimental to our people in so many ways--lack of food, healthcare,8611heat, education support, mental health support, job security and more.86128613 Question 1a. What additional or distinct challenges are Tribes8614experiencing as a result of the agency RIFs occurring during the8615shutdown (e.g., permanent loss of key staff, reduced points of contact,8616diminished institutional knowledge)?8617 Answer. There were many challenges and impacts, too many to list.8618Here are a few specific examples of impacts from RIFs:86198620 All employees administering the Low-Income Heat and Energy8621 Assistance Program (LIHEAP) were terminated which completely8622 stopped the application process and delivery of those grants,8623 which also prompted the Administration to then zero out the8624 budget for FY26. This impacts thousands of Alaska Native8625 households dependent upon these programs.86268627 Department of Justice terminated the Office of Environmental8628 Justice and has lost 70 percent of its Attorneys, which will8629 impact the civil, voting, environmental justice rights of many8630 socially, economically, racially and politically disadvantaged8631 groups, including Alaska Natives.86328633 National Oceanic and Atmospheric Administration (NOAA)8634 weather monitoring and research staff RIFs and site closures8635 affect the health and safety of many tribes and villages in8636 Alaska that rely immensely on the weather monitoring and8637 reporting provided by NOAA. Our rural and remote communities8638 can be very impacted by devastating weather conditions, as we8639 saw recently with Typhoon Halong, but even by the common8640 weather conditions in Alaska.86418642 RIFs at the Federal Emergency Management Agency (FEMA) and8643 funding reductions overall at the Agency have and will impact8644 the emergency assistance needs of our communities during and8645 after disasters, such as Typhoon Halong, flooding in Juneau8646 related to the glacial lake outbursts, earthquakes, and other8647 coastal storm and erosion disasters.86488649 Question 1b. Of the challenges facing Native communities during8650this period, what proportion would you attribute primarily to the8651shutdown versus the agency RIFs?8652 Answer. While both are quite impactful to our Native communities,8653the government shutdown and furloughs were disproportionately more8654impactful during this period. If I am forced to put a number on it, I8655would say at least 75 percent more impactful, but it is hard to8656quantify the extreme impact and insecurity that this provided. You8657cannot function when an entire agency that is critical to the Native8658community is completely shut down. For example:86598660 All IHS attorneys were furloughed, which caused delays in8661 contract negotiations, routine agency activities, and canceled8662 meetings.86638664 The Substance Abuse and Mental Health Services8665 Administration (SAMHSA) furloughed all grant officers, leaving8666 questions unanswered, approvals pending, and required use of a8667 new reporting portal with no training or guidance.86688669 Bureau of Indian Affairs furloughed staff resulted in lack8670 of access to project offices, unprocessed grants, lack of8671 reimbursement for work already performed, and reporting portals8672 were closed. Without these funds, tribal jobs and services are8673 at risk.86748675 Office of Subsistence Management and Federal Subsistence8676 Board canceled meetings and its regulatory and management8677 obligations were on hold. Accordingly, they were not available8678 to address any emergency hunting or fishing requests if made,8679 which would have been critical during loss of SNAP and WIC.86808681 Question 1c. In what ways are the shutdown and the RIFs interacting8682to intensify or prolong disruptions in federal-Tribal relations and8683service delivery?8684 Answer. This is like a perfect storm of consequential impacts to8685our Native communities. Essentially life and death impacts for some8686rural communities and tribal citizens. For example, in the Interior of8687Alaska, SNAP is a lifeline for at least two villages--Alatna and8688Anvik--which rely almost exclusively on SNAP to feed their families.8689Without SNAP resources, the village residents who need it will turn to8690the Tribe. If the Tribe is in a deficiency due to lack of grant payment8691and contract support from the BIA and IHS, then there is no one else to8692turn to. There are no food banks available in rural villages. While our8693people are resilient and will find a way to survive, it is an unfair8694disruption in the obligations of the Federal Government's trust8695responsibility to Native people.8696 If you are seeking a specific example, at the IHS, with the lawyers8697at the Agency on furlough, meetings were canceled to complete8698settlement of underpayments to Tribes because of the San Carlos court8699decision on contract support costs. This prolonged the ability of the8700Tribes to be made whole, after carrying the burden of costs that were8701supposed to be borne by the Federal Government. This is a clear example8702of the prolonged disruption in federal-Tribal relations and service8703delivery.8704 All of this causes stress and a sense of instability and8705uncertainty in our Native communities. There is fear that with the RIFs8706and future government shutdowns, we will continue to face these8707challenges. Additionally, the IHS advanced appropriations were recently8708put into question, and we fear that they are in danger in future8709appropriations cycles. If advanced appropriations were not in place for8710Indian Health care services, the circumstances discussed above would8711have been far worse and indescribable.87128713 Question 2. The Office of Management and Budget (OMB) Office of8714Information and Regulatory Affairs (OIRA) memorandum issued on October871521, 2025, titled, ``Streamlining the Review of Deregulatory Actions''8716directs agencies to bypass Tribal consultation required by executive8717orders and laws, even when such deregulation involves Tribes. Combined8718with RIFs and limited agency communication during the shutdown, the8719OIRA memorandum further strains the federal-Tribal relationship by8720undermining required consultations. Please describe how the OIRA8721memorandum's directive to bypass Tribal consultation despite Executive8722Order 13175 and longstanding trust and treaty obligations could impact8723Tribal equities. Please also include specific examples of potential8724harm and any legal or policy concerns.8725 Answer. The purpose behind the Executive Order 13175, in our view,8726was to describe another means by which the Federal Government could8727exercise its longstanding trust and treaty obligations to tribes and8728all indigenous peoples of the United States. It was not creating a new8729right but rather spelling out another process by which the Federal8730government ensures that it respects and protects the rights of Tribes8731and exercises its government-to-government obligations. Therefore,8732bypassing the Executive Order 13175 does not remove those obligations8733of the Federal Government towards Tribes and Native peoples. Those8734obligations remain and precede any Executive Order. These rights exist8735inherently and are recognized in the Constitution of the United States8736and through longstanding federal law and jurisprudence.8737 This OIRA memorandum merely provides the agencies with an excuse to8738potential violate those rights and to potentially harm important8739resources of Tribes and Alaska Natives. This will certainly provide a8740strain on the federal-tribal relationship now and in the immediate8741future if actual applied to circumvent tribal and Alaska Native8742consultation on federal actions that impact tribal and Alaska Native8743lands, resources, and rights. I see this resulting in litigation,8744legislation, and other legal and political harm that will take many8745decades to overcome.87468747 Question 3. Tribes are reporting delays to critical federal8748activities needed for disaster relief, economic development, housing,8749and infrastructure and energy projects, as well as suspending federal8750procurement and contracting activities. What are the immediate impacts8751of suspended agency activities on relief efforts in western Alaska?8752 Answer. The RIFs at FEMA and the ongoing government shutdown have8753certainly slowed the response time of FEMA in providing disaster relief8754in Alaska related to relief efforts in Western Alaska. These RIFs were8755in place before the disaster, and we knew that they could be8756potentially disastrous and impactful for our State and our rural8757communities. This proved to be correct. Adding the government shutdown8758only furthered these delays. As a result, the local nonprofits,8759communities, and individuals had to step in as best as they could to8760fill the void. This helped but was not where near the level that was8761needed for the impact. Especially when two communities were completely8762destroyed and thousands of people were displaced and homeless. There8763was a need for housing, food, clothing, search and rescue, clean-up,8764infrastructure and energy restoration, none of which was possible8765without FEMA and other federal agency emergency relief and support.8766Sadly, the need remains for many of the community members displaced by8767these tragic events.87688769 Question 3a. What impacts will the backlog of agency actions that8770result from this extended shutdown have on Alaska Native Tribes, Alaska8771Native Corporations, and Alaska Tribal organizations? For some of our8772Tribes, Alaska Native Corporations, and Alaska Tribal organizations, we8773lost contracts and construction opportunities for the year. Our8774construction and infrastructure seasons are short. If grants or permits8775are not approved on time, and payments are not made, then activities8776related to projects or construction have to be delayed for another year8777in many instances.8778 Answer. All of this causes such a sense of instability and8779uncertainty in our Tribes, Alaska Native Corporations, Alaska Native8780Organizations, and Native communities. There is fear that we will8781continue to face these challenges with RIFs, eliminated agencies, and8782future government shutdowns. Additionally, the IHS advanced8783appropriations were recently put into question, and we fear that they8784are in danger in future appropriations cycles, as discussed above.8785Ultimately, this also makes it difficult for long-term planning and8786hopes for the future.87878788 Question 3b. What share of businesses and industry in Alaska Native8789villages rely on federal procurement and contracting activities, and8790what are the direct impacts of these disrupted activities on Tribal8791employment and economies during the shutdown?8792 Answer. A significant portion of our Tribal governments exercise8793self-governance through 638 compacts with the Federal government. The8794same is true of the services that were formerly provided by the Indian8795Health Service (IHS) in Alaska. These are nearly all provided through8796compact or contract in Alaska. The impact of RIFs and government8797shutdowns at the agencies that are supposed to implement these compacts8798and contracts are difficult to measurable. We survived this shutdown.8799If we continually operate with such uncertainty, our Tribes, Tribal8800Members, and Alaska Native people will suffer from diminished and8801inefficient services and lost employment opportunities.8802 In terms of economic development, Alaska Native Corporations and8803Tribes are reliant on the 8(a) and small business contracting8804opportunities, some more than others. I do not have a percentage or8805share of industry available that is recent, but I am aware that in88062021, Alaska Native Corporations received $11 billion in contracting8807revenue, employed over 8,000 Alaskans, and supported more than $68808billion in economic activity in the State. Lack of available8809procurement and contracting staff at the Small Business Administration,8810Department of Defense, or other agencies, would have a direct impact on8811these activities and disrupt the economic opportunities of Alaska8812Native Corporations and Tribes in Alaska, as well as employment8813opportunities.8814 Thank you for the opportunity to provide answers to these follow-up8815questions. Please do not hesitate to reach out to me if you have8816further questions or require further clarification.8817 ______88188819 Response to Written Questions Submitted by Hon. Ben Ray Lujan to8820 Ben Mallott8821 Question 1. You discussed that certain Tribal health programs, such8822as contract support costs and 105(l) lease payments, are still8823vulnerable. How does the lack of advance appropriations for these8824accounts affect day-to-day operations at Tribal health facilities in8825Alaska?8826 Answer. As I stated in my testimony, while the Indian Health8827Service (IHS) operations had the benefit of advance appropriations,8828some of the IHS programs are not included and therefore not shielded or8829protected during government shutdowns. These include Facilities8830construction, facilities sanitation construction, the 501(l) lease8831program, and contract support costs (which supports third party8832services that cannot be provided by tribal health contractors8833directly). There are at least 300 participants in the IHS 501(l) lease8834program in Alaska. Without advance appropriations for these critical8835programs, the Alaska Native health care providers must pull from other8836resources and sources of funds--overall this impacts the services and8837efficiencies of Native healthcare.8838 The IHS is legally and statutorily required to pay Contract Support8839Costs (CSC) and 105(l) lease to Tribes and Tribal organizations8840carrying out agreements under the Indian Self-Determination and8841Education Assistance Act (ISDEAA). These payments are essential for8842Tribes and Tribal Organizations (T/TOs) to operate the programs,8843services, functions, and activities that have been compacted or8844contracted from the federal government. Without advance appropriations,8845these accounts remain vulnerable to federal funding lapses. As binding8846obligations that IHS must pay to T/THOs carrying out ISDEAA agreements,8847the Administration and Congress should include CSC and 105(l) lease8848payments in the Advance Appropriation or the Office of Management and8849Budget should be allowed to pay them under an ``exceptional8850apportionment'' to ensure compliance with the law.8851 When CSC or 105(l) payments are delayed, T/TOs are forced to shift8852funding from other programmatic areas that do receive advance8853appropriations to cover mandatory administrative expenses. This shifts8854away funding from important patient services and from facility8855maintenance and utilities that are important for life-safety compliance8856requirements. Timely and predictable CSC and 105(l) funding is8857especially important for smaller T/TOs that have smaller economies of8858scale and lack sufficient financial reserves to utilize during funding8859gaps.8860 In sum, Tribal health programs will face cashflow issues and delays8861in services, despite the advance appropriations, due to critical IHS8862programs that are not included in such advance appropriations.8863Ultimately, this could lead to a stop or delay in some services, which8864will be detrimental to our people in so many ways, including lack of8865efficient, safe, sanitary, and fully-operational health care and8866facilities.8867 ______88688869 Response to Written Questions Submitted by Hon. Brian Schatz to8870 Pete Upton8871 Question 1. The 2025 federal government shutdown and the concurrent8872agency Reductions in Force (RIFs) are creating unprecedented strains on8873Tribes, compounding challenges that existed before the shutdown. These8874strains include cancelled or frozen funds, hiring freezes, staffing8875gaps from voluntary separations (including early retirements and8876``fork-in-the-road'' offers), and breakdowns in communication with8877agency staff.88788879 a. What specific disruptions or harms (e.g., delayed program8880funding, paused contracts, delayed consultations, halted services,8881etc.) stem directly from the lapse in appropriations?88828883 b. What additional or distinct challenges are Tribes experiencing8884as a result of the agency RIFs occurring during the shutdown (e.g.,8885permanent loss of key staff, reduced points of contact, diminished8886institutional knowledge)?88878888 c. Of the challenges facing Native communities during this period,8889what proportion would you attribute primarily to the shutdown versus8890the agency RIFs?88918892 d. In what ways are the shutdown and the RIFs interacting to8893intensify or prolong disruptions in federal-Tribal relations and8894service delivery?88958896 Answer. An organizational member of the newly-formed Coalition for8897Tribal Sovereignty (CTS), the Native CDFI Network (NCN) has played a8898key role--along with its CTS partners--in capturing and highlighting8899the various impacts that RIFs and the government shutdown have had and8900will have on Tribal Nations and communities. The permanent and8901temporary loss of experienced staff across key federal agencies has8902resulted in: abrupt endings to long-term relationships between staff8903and specific Tribal Nations and Native-serving entities such as CDFIs;8904delays in responding to time-sensitive correspondences; delays in8905providing critical technical assistance, particularly with respect to8906grant administration, compliance, and reporting (and CDFI certification8907compliance); and a shortage of personnel with the requisite clearances8908and expertise to review or approve federal funding drawdowns and8909expenditures by Tribal Nations and Tribal-serving organizations. As CTS8910points out, ``Indian Country is not opposed to reducing federal8911government waste and improving federal government efficiency. However,8912actions to achieve the Administration's goals must not interfere with8913the United States' fulfillment of its trust and treaty obligations.''89148915 Question 2. How has Tribal access to credit been impacted by recent8916RIFs and funding decisions across the federal government? Please8917include specific examples relating to credit needed to cover expenses8918during a shutdown.8919 Answer. While the Native CDFI Network (NCN) has not been made aware8920of any specific examples relating to credit needed to cover expenses8921during the most recent government shutdown, generally when government8922shutdowns do occur, they disproportionately impact Tribal communities8923that typically are more heavily dependent on the uninterrupted flow of8924federal resources than other communities across the United States. With8925thousands of tribal citizen clients across the country, we see8926firsthand the direct impacts that governments shutdowns have on Native8927people, from reductions or delays in the Tribal and federal services8928upon which they rely to the furloughing or loss of their jobs because8929those positions depend heavily on federal dollars. This dynamic is8930pervasive in Tribal communities in large part because, as the Brookings8931Institution recently pointed out, ``most funding for Indian Country is8932based on discretionary spending, rather than mandatory spending. When8933Native American programs are funded with discretionary spending, it8934means that Congress must affirmatively pass appropriations bills to8935fund them every year, despite the perpetual nature of these promises to8936Indian Country. If Congress does not pass a funding bill by the start8937of the government fiscal year on October 1, discretionary payments and8938services to Tribes and Native communities are halted, as is currently8939happening during this government shutdown. In contrast, mandatory8940spending programs, such as Social Security and Medicare, provide8941guaranteed benefits to recipients based on certain criteria. These8942permanently authorized programs are unaffected by government shutdowns8943or limited by annual appropriations.'' \1\ The federal government8944cannot effectively meet its trust and treaty obligations to Tribal8945Nations and their citizens unless and until the federal funding streams8946upon which they rely are transitioned to advance appropriations over8947the short-term and converted to mandatory spending by Congress over the8948long run so that Indian Country is insulated against the severe harms8949caused by future government shutdowns.8950---------------------------------------------------------------------------8951 \1\ Robert Maxim et al., ``The government shutdown shows the need8952to reform how the federal government funds Native American Tribes and8953communities,'' Brookings Institution, October 28, 2025 https://8954www.brookings.edu/articles/the-government-shutdown-shows-the-need-to-8955reform-how-the-federal-government-funds-native-american-tribes-and-8956communities/.89578958 Question 3. The Office of Management and Budget (OMB) Office of8959Information and Regulatory Affairs (OIRA) memorandum issued on October896021, 2025, titled, ``Streamlining the Review of Deregulatory Actions''8961directs agencies to bypass Tribal consultation required by executive8962orders and laws, even when such deregulation involves Tribes. Combined8963with RIFs and limited agency communication during the shutdown, the8964OIRA memorandum further strains the federal-Tribal relationship by8965undermining required consultations. a. Please describe how the OIRA8966memorandum's directive to bypass Tribal consultation despite Executive8967Order 13175 and longstanding trust and treaty obligations could impact8968Tribal equities. Please also include specific examples of potential8969harm and any legal or policy concerns.8970 Answer. The Native CDFI Network and the Native CDFIs we serve8971across the country are greatly concerned about this OIRA memorandum,8972particularly as it pertains to deregulatory actions being considered8973and/or taken by the U.S. Department of the Treasury, U.S. Department of8974Agriculture, U.S. Department of Housing and Urban Development, and the8975Small Business Administration. Implementation of this memorandum by8976these agencies and others essentially will eviscerate the genuine,8977nation-to-nation consultation between the federal government and Tribal8978Nations mandated by Executive Order 13175, and inevitably will result8979in new or weakened regulations that harm the economic and community8980development efforts of Tribal Nations and those entities--like Native8981CDFIs--that serve Tribal communities precisely because those efforts8982and the sovereign goals they seek to achieve were not considered or8983were actively ignored in the development of those regulations. Across8984the federal government, the voice of Indian Country will be8985structurally excluded from federal decisionmaking, which constitutes a8986direct violation of the federal government's trust and treaty8987obligations to Tribal Nations.8988 ______89898990 Response to Written Questions Submitted by Hon. Ben Ray Lujan to8991 Pete Upton8992 Question 1. Our office has heard from Tribal community development8993organizations, including the New Mexico-based housing organization8994Homewise, about the critical role that the CDFI Fund plays in providing8995seed capital and unique financing opportunities in Tribal communities.8996Given the recent announcement that all CDFI Fund staff will be subject8997to a reduction in force (RIF) effective December 13th, 2025, how do you8998anticipate these staffing reductions will affect the ability of Native8999CDFIs to serve their communities, deploy capital, and support economic9000development projects?9001 Answer. While H.R. 5371, the Continuing Resolution (CR) that ended9002the recent government shutdown, reversed the RIF action of October 10,90032025 that terminated all staff of the CDFI Fund, said CR only protects9004the CDFI Fund staff from further mass personnel action through January900530, 2026. The CR also didn't neutralize Treasury and OMB's rationale9006for terminating the CDFI Fund staff as part of its plan ``to implement9007the abolishment of the Community Development Financial Institutions9008(CDFI) Fund, which is based upon the Department of the Treasury9009determination that its programs, projects, and activities do not align9010with the President's priorities.''9011 If the RIF of the CDFI Fund staff is reinstituted after January 30,90122026, this action and the ensuing abolishment of the CDFI Fund will9013cause severe immediate and long-term harm to Native CDFIs' ability to9014serve the growing small business, homeownership, agricultural, and9015consumer lending needs of Tribal communities, needs that have long been9016ignored by mainstream banking institutions.9017 Possessing an average asset size is just $5.7 million dollars, \2\9018Native CDFIs rely heavily on Native American CDFI Assistance (NACA)9019Program Financial Assistance (FA) and Technical Assistance (TA) awards9020from the CDFI Fund to serve Tribal communities and scale their9021operations to meet their growing needs. In part because of the9022government shutdown, as of this writing FY 2025 Congressionally9023appropriated funding for the NACA Program has yet to be disbursed, with9024no clear timetable for if and when it will be. If the CDFI Fund staff9025is subjected to another RIF action early next year, it will endanger9026this FY 2025 funding as well as the FY 2026 funding for the NACA9027Program that Congress is currently working to finalize.9028---------------------------------------------------------------------------9029 \2\ Center for Indian Country Development, Understanding the Native9030CDFI landscape: A Center for Indian Country Development survey9031quantifies the shared practices and distinctive characteristics of9032Native Community Development Financial Institutions, Federal Reserve9033Bank of Minneapolis, September 4, 2025 https://www.minneapolisfed.org/9034article/2025/understanding-the-native-cdfi-landscape#:-9035:text=Experience.,average%20size%20of%20$5.7%20million.9036---------------------------------------------------------------------------9037 Another potential RIF and the looming abolishment of the Fund also9038spell the demise of the New Markets Tax Credits Program, a key9039financing tool that cultivates private investment in vital economic and9040community development projects on tribal lands. Without Fund staff to9041administer it, the latest double round of New Markets Tax Credits won't9042be allocated in part to Native Community Development Entities and other9043CDEs serving Indian Country.9044 Last but not least, terminating the CDFI Fund staff and abolishing9045the Fund will end the federal process for certifying CDFIs--an official9046stamp of approval Native CDFIs use to secure significant investments9047from non-federal sources. This will create a cascading effect that9048dramatically reduces the flow of capital for farm, ranch, and other9049business development; housing and homeownership; and community9050infrastructure projects when Indian Country's need for such capital9051increases substantially with each passing year.9052 ______90539054 Response to Written Questions Submitted by Hon. Brian Schatz to9055 Kerry D. Bird9056 Question 1. The 2025 federal government shutdown and the concurrent9057agency Reductions in Force (RIFs) are creating unprecedented strains on9058Tribes, compounding challenges that existed before the shutdown. These9059strains include cancelled or frozen funds, hiring freezes, staffing9060gaps from voluntary separations (including early retirements and9061``fork-in-the road'' offers), and breakdowns in communication with9062agency staff. What specific disruptions or harms (e.g., delayed program9063funding, paused contracts, delayed consultations, halted services,9064etc.) stem directly from the lapse in appropriations?9065 Answer. The lapse in appropriations directly impacts Native9066communities and schools across the country, affecting both day-to-day9067operations in Tribal communities and critical functions at the federal9068level. During the 2025 shutdown, Tribal program administrators and9069schools were unable to reach program officers and did not receive9070technical assistance.9071 On the ground, delayed program funding and service delays prevented9072education providers, school districts, and Tribes from providing9073essential services to Native youth. Unfortunately, in some cases, we9074see some programs must come to a complete standstill. Many tribes have9075reported that during the shutdown, they needed to look for or lean on9076external funding to fill the gap where federal funding has been9077disrupted. Programs like Head Start were presented with a series of9078issues, predominantly concerning the status of new grant timelines, and9079staff were unable to access any sort of technical assistance. This may9080prove to have long-lasting effects that pose issues for early childhood9081care providers and our Native children. In the future, these effects9082may be mitigated through means of forward funding or advance9083appropriations.90849085 Question 1a. What additional or distinct challenges are Tribes9086experiencing as a result of the agency RIFs occurring during the9087shutdown (e.g., permanent loss of key staff, reduced points of contact,9088diminished institutional knowledge)?9089 Answer. If the RIFs imposed on Tribal-serving, Tribal eligible9090programs, and offices were to remain in effect--we would see immense9091disruption on the ground throughout Indian Country. This would result9092in more than a delay in services, but rather a complete dissolution of9093the government's trust and treaty responsibilities. Without9094knowledgeable staff who provide technical assistance, guidance, and9095release millions of dollars in funding to school districts, Tribes, and9096other native-serving institutions every year. Although RIFs were9097rescinded when the government reopened, we worry that staff are at risk9098while their programs are being transferred. In addition to the9099challenges listed, the RIFs also are creating delays in getting9100Congress approved funded programs out. For instances, in the Department9101of Education, while Office of Indian Education offices are back to9102work, many of those responsible for releasing grants had previously9103been reduced. This delays the release of grants and programs that meet9104the needs of tribal communities. Since OIE staff cannot release on9105their own, they are stuck waiting for approval and the release of grant9106programs, delaying the ability for communities to efficient, in the9107Department of Education, while Office of Indian Education offices are9108back to work, many of those responsible for releasing grants have been9109reduced. This delays the release of grants and programs that meet the9110needs of tribal communities. Since OIE staff cannot release on their9111own, they are stuck waiting for approval and the release of grant9112programs, delaying the ability for communities to efficiently plan.91139114 Question 1b. Of the challenges facing Native communities during9115this period, what proportion would you attribute primarily to the9116shutdown versus the agency RIFs?9117 Answer. Our understanding of Native communities' experience with9118government shutdowns is a story pieced together over time. Throughout9119the years, we see that a lapse in appropriations delays discretionary9120funding to school districts on and near Tribal lands, particularly9121regarding Impact Aid. These experiences can be measured and compared9122from shutdown to shutdown, with varying Tribal capacities for accessing9123reserves or other resources. On the other hand, the Reductions in Force9124(RIFs) made within the Department of Education created an additional9125layer of disruption for Tribes and Native communities. While these9126communities experienced funding uncertainty and concerns with food9127security, they were also upright advocating for the life of these9128programs. If the RIFs were to stand, they would extend shutdown effects9129and inherently limit technical assistance and leave communication lines9130unmonitored. Reducing personnel permanently would erode the nation-to-9131nation relationship and negate the federal government's trust and9132treaty obligation to provide education for those who have and retain9133their treaty rights. We caught a glimpse of what this would look like9134during the shutdown. The lack of contact, program uncertainty, and9135delays in funding created serious confusion in Native communities.91369137 Question 1c. In what ways are the shutdown and the RIFs interacting9138to intensify or prolong disruptions in federal-Tribal relations and9139service delivery?9140 Answer. Federal government shutdowns negate trust and treaty9141responsibilities, and RIFs would blatantly restrict the government's9142ability to fulfill their treaty obligations. Initially, even the9143employees were unaware of the RIFs within the Office of Indian9144Education and the Office of Impact Aid, it took Congressional outreach9145to ensure ED provided clarity in writing of the intended RIFs. This9146inflicted a great deal of confusion with Tribes, schools, and federal9147employees. Reducing the workforce in the Office of Indian Education9148sets a negative precedent with Tribal Nations that retracts decades of9149trust building the federal government has done with its tribal9150partners. While shutdowns alone are difficult for Tribes to weather,9151advocating against RIFs has since limited capacity across the board.9152However, what is most clear is that Tribal leaders need to be aware of9153what is happening with these programs. Tribes have a right to be9154consulted with and to consent to changes that directly affect Tribal9155interests, citizens, and their rights.91569157 Question 2. Could forward funding or advance appropriations for9158Impact Aid, Title VI Indian Education, and Johnson-O'Malley programs9159better protect schools in future shutdowns? If so, are there any other9160federal education programs that would benefit from forward funding or9161advance appropriations?9162 Answer. Forward funding and advance appropriations are mechanisms9163that would shield Tribal-serving schools, public schools, and Native9164students from future shutdowns. Releasing funding prior to annual9165appropriations allows schools to plan without interruption. There is a9166clear and successful precedent for this approach. Advance9167appropriations for Indian Health Service (IHS) have helped ensure9168continuity of care for Tribal citizens during shutdowns, preventing9169interruptions in essential services. Applying this same framework to9170Indian education programs would similarly protect Native students by9171ensuring uninterrupted access to the classroom, staff, and nutritious9172meals.9173 Forward funding amounts are dispersed early in the fiscal year9174intended to be used for the following fiscal year and for the purpose9175of education--this timeline is closely aligned with the school year.9176Bureau of Indian Education programs, such as Student Transportation and9177Indian School Equalization Program (ISEP) are among some of the9178programs that would benefit from forward funding.9179 One of the most effective ways these funding mechanisms would help9180Tribes would be to begin with placing Impact Aid on an advance9181appropriations schedule. In addition to these programs, other formula-9182based education programs such as Title I, Part A, and the Individuals9183with Disabilities Education Act (IDEA) would also benefit from forward9184funding due to their role in staffing and essential student services.91859186 Question 3. What are states, Tribes, and Native-serving schools9187doing to weather the funding pauses, communication lapses, and RIFs at9188the Department of Education?9189 Answer. States, Tribes and Native-serving schools weathered through9190the 43-day shutdown at differing levels of capacity. Some Tribes were9191able to pull from their reserves to operate and support programs while9192others may have considered taking out loans or lines of credit.9193However, losing contact and technical assistance has left Tribes and9194early education providers in the dark regarding upcoming deadlines and9195best practices for compliance. Although, there have been cases in which9196Tribal Head Starts have had no other choice but to close their doors9197until funding becomes available.9198 While many of the services that educators, schools, and Tribes9199access from the Department of Education became unavailable due to9200furloughs, Tribes immediately banded together once it was confirmed9201that the staff had been terminated. Tribes know that without staff9202administering funding and providing technical support, schools will not9203receive an adequate amount of support to supply students with quality9204resources and opportunities.92059206 Question 4. On November 1, at least 12 Tribal Head Start grantees9207with 599 staff serving 2,434 children across 8 states (AZ, CA, MI, MN,9208MT, NM, OK, WA) were unable to draw down funds. If known, what were the9209impacts to these programs, and did they have to scale back staff,9210services, or other functions because of the prolonged shutdown?9211 Answer. Tribal Head Start staff and students were deeply affected9212by the lack of technical assistance and funding gaps. The 12 Tribal9213Head Start grantees awarded on November 1 did not receive funding when9214it was expected and were forced to consider using tribal funding,9215closing their doors, or drawing back services, such as transportation.9216These decisions were made depending on the budgetary capacity of Tribal9217Nations participating in this latest award cycle.92189219 Question 5. How have Tribal Colleges and Universities (TCUs) and9220their students been impacted by the shutdown and RIFs?9221 Answer. This question would be best answered by our colleagues at9222the American Indian Higher Education Consortium (AIHEC).92239224 Question 5a. How are Pell Grant disbursements impacting TCU9225students and campus services?9226 Answer. This question would be best answered by our colleagues at9227the American Indian Higher Education Consortium (AIHEC).92289229 Question 6. Despite forward funding, some Bureau of Indian9230Education (BIE)-funded schools are reporting delays in Indian School9231Equalization Program (ISEP) funds. From your perspective, is the9232primary cause of this delay staffing furloughs, RIFs, or hiring9233freezes, or staff functions being scaled back during the shutdown?9234 Bureau funded schools have experienced delayed ISEP funding despite9235forward funding because the BIE simultaneously has an active hiring9236freeze and an extreme staffing deficit. This may have been further9237exasperated by furloughing during the shutdown. However, considering9238that forward funding takes place during the beginning of July, it would9239be fair to say that this is a result of the hiring freeze that is in9240place per the Presidential Memorandum issued on January 15, 2025. It is9241NIEA's stance that the BIE should be able to hire within the office,9242but also to exempt teachers applying at BIE schools from the hiring9243freeze.92449245 Question 7. The Office of Management and Budget (OMB) Office of9246Information and Regulatory Affairs (OIRA) memorandum issued on October924721, 2025, titled, ``Streamlining the Review of Deregulatory Actions''9248directs agencies to bypass Tribal consultation required by executive9249orders and laws, even when such deregulation involves Tribes. Combined9250with RIFs and limited agency communication during the shutdown, the9251OIRA memorandum further strains the federal-Tribal relationship by9252undermining required consultations.92539254 Please describe how the OIRA memorandum's directive to bypass9255Tribal consultation despite Executive Order 13175 and longstanding9256trust and treaty obligations could impact Tribal equities. Please also9257include specific examples of potential harm, and any legal or policy9258concerns.9259 Answer. The October 21, 2025, OIRA memorandum to bypass Tribal9260consultation reinforces a dangerous precedent and poses a serious risk9261to Tribal sovereignty and self-determination. Overall, it is eroding9262the government's trust and treaty responsibilities. Tribal consultation9263is not an afterthought, rather it is a statutory requirement. Negating9264this requirement opens the federal government and its agencies up to9265potential legal risks. Within education and social programs more9266specifically, a lack of consultation results in less meaningful9267engagement, weakened trust, and withering institutional strength.9268 ______92699270 Response to Written Questions Submitted by Hon. Ben Ray Lujan to9271 Kerry D. Bird9272 Question 1. Your testimony makes it clear that the shutdown effects9273on Tribal Head Start programs are immediate and devastating. What are9274you hearing from Tribal education providers about the choices they are9275being forced to make?9276 Answer. Tribal education providers are letting us know that the9277shutdown has made it extremely difficult to manage operations and has9278slowed decisionmaking. Head Start grantees did not have access to9279training and technical assistance for upcoming refunding applications9280deadlines, carryover requests, and general guidance. In absence of any9281guidance from their federal project officers, Head Start directors9282worried their applications would be late or incomplete, and they9283worried that they would not be in compliance.9284 It is impossible for new grantees and new staff to remain in9285compliance throughout the shutdown without access to any of the9286comprehensive services provided by the federal government. We have9287heard some have turned to external consultants to fill in the gaps.9288While on the other hand, some cannot maintain operations altogether.92899290 Question 2. The Ramah Navajo School Board, Alamo Navajo School9291Board, and San Felipe Pueblo have indicated that their Head Start grant9292renewal coincides with the ongoing shutdown, threatening a complete9293halt in services. If Tribal grantees, such as Ramah, Alamo and San9294Felipe Pueblo, use their own investment or non-federal funds to sustain9295programs during a shutdown, what challenges do they face to being9296reimbursed once the lapse in appropriations ceases, or to accessing9297other sources of capital to cover short-term costs?9298 Answer. The Ramah Navajo School Board, Alamo Navajo School Board,9299and San Felipe Pueblo face significant financial risks while using9300their own investments to fill funding gaps. Once the lapse in9301appropriations ceases, it is not likely that these grantees will be9302reimbursed if they have used other sources of funding to cover the gap9303in costs. Using Tribal funds to keep schools in service ultimately9304takes money away from other necessary services.93059306 Question 3. In your testimony, you discussed the importance of9307Impact Aid Program. Given the current disruption in funding, how are9308school districts that rely on Impact Aid coping financially with the9309lack of funding flow, and what short-term relief options, if any are9310available to them to maintain essential staff and services?9311 Answer. When funds are not appropriated on time, we see that9312Impacted Schools face some of the most severe funding deficits across9313the country. In these cases, taking out lines of credit or loans often9314results in long-term financial burdens. Tribes and school districts9315that may turn to these options are often rural and economically9316constrained and are simply not in a position to absorb the shock of9317delayed Impacted funds. Some school districts, like Todd County in9318South Dakota, rely on Impact Aid for nearly 40 percent of its annual9319operating budget. To cope with funding gaps at the beginning of the9320fiscal year, we see that schools may draw down their reserves, cutting9321spending elsewhere, and limiting services. If Congress decides to9322forward fund Impacted Schools on reservation lands, they will receive9323more predictable funding streams and be shielded from future shutdowns.93249325 Question 4. With the recent Reductions in Force (RIFs) within the9326Office of Impact Aid, leaving only limited capacity to process payments9327and conduct compliance reviews, how might these staffing reductions and9328resulting delays affect educational quality, staffing stability, and9329the delivery of student support services--particularly for Native9330students in rural or high need districts?9331 Answer. Reductions in Force (RIFs) within the Office of Impact Aid9332have sharply limited federal capacity to process payments, review9333applications, and conduct compliance oversight. Many districts,9334especially those with high percentages of Native students, are uniquely9335dependent on Impact Aid to meet basic operational needs. Staffing9336reductions at the federal level therefore create systemic, cascading9337harm at the local level. Impact Aid can make up the majority of a9338school's operating budget, and without it arriving upon the beginning9339of a fiscal year, school districts may begin to consider borrowing or9340taking loans to continue operating and providing services.93419342 Question 5. How have early childhood education providers, schools,9343and Tribal Colleges and Universities dealt with lapses or delays in9344nutrition program benefits for students during the shutdown?9345 Answer. Native families experiencing food insecurity receiving9346benefits from programs like SNAP and WIC lean harder on early childhood9347education providers, schools, and other institutions to provide extra9348support during lapses or delays in funding. However, institutions like9349Head Start have not received any additional funding to provide support9350for families amidst the shutdown. Schools are maintaining focus on9351providing healthy and nutritious meals and snacks during school hours.9352With delayed SNAP benefits, some Tribes turn to subsistence hunting9353while others fill in the gaps with Tribal reserve funding.