Transcript Self-Governance 2.0 - National Congress of American Indians

Self-Governance
2.0
Objectives
 Advise about OMB Passback request for a paper on
Tribal Self-Governance 2.0 that expands the
principles of Self-Governance
 Develop tribal workgroup
 Brief discussion of other models of U.S. government-
to-government financial relationships
 As part of 2.0, how to increase the number of Self-
Governance Tribes
2
 258 Tribes in Self-Governance, out of 567 Tribes
 105 Funding Agreements
 Included in Self-Governance are 11 consortia in
Alaska
3
Self-Governance
4
 Briefly the Self-Governance Program was intended
to:

Formalize relations between the United States and Indian
Tribes on a government-to-government basis

Allow Indian Tribes to determine internal priorities, redesign
programs and reallocate resources to more effectively and
efficiently meet the needs of our tribal communities

Promote greater social, economic, political self-sufficiency
among Indian Tribes
4
Self-Governance
5

Establish better tribal accountability through local autonomy

Reduce the size and inefficiency of the Bureau of Indian Affairs
by shifting the agency’s role from day-to-day management of
tribal affairs to protectors and advocates

“Shaping Our Own Future: An Overview and Red Paper Issued
by the Jamestown Klallam and Lummi Indian Tribes and the
Quinault Indian Nation,” 1989
5
Goals for 2.0
 STREAMLINE oversight process
 PROVIDE Tribes lump sum funding agreements for
all programs, not just TPA base
 ALLOW Tribes to determine how the funds are spent
 ALLOW Tribes to track performance data and
outcomes
 REPORT how the funds were spent as part of the
single audit process
6
Questions
 Can it be done administratively?
 Is there a need for a change to the Indian Self-
Determination Act?
 Which Tribes are interested in doing this?
 What criteria, if any, should be used to select Tribes for
participation?
 How would the lump sum be calculated?
 How can the number of Self-Governance Tribes be
increased?
7
Questions
 Define what is meant by “all programs?”
 A-133 Single Audits check compliance with OMB
circulars, require accounting and management systems,
do not necessarily report on how funds are spent, what
kind of reporting is envisioned beyond single audits, if
any?
 Should the role of the federal government be defined in
tribal self-governance plans?
 Should the role of OST and other federal offices be
identified and defined?
8
Questions
 Should an information dissemination network be
established and used to identify best practices?
 Should venture capital be made available?
 Should strategies to develop income and
employment be developed for implementation?
 Should a process and IT system be developed to
adjust lump sum funding to appropriations for a
given year?
9
Current Activity
 Alert Tribes that this process is beginning
 Solicit tribal ideas
 Develop a small workgroup of tribal representatives
 Continue discussions with U.S. agencies that have
government-to-government financial relationships
with territories and foreign governments
10
First Steps to 2.0 for Consideration
 Determine what needs to be done internally to
reduce regional reprograming of funds back to OSG
 Determine what needs to be done to avoid OSG
doing fund returns back to the regions
 Determine what additional funds, not in a Tribe’s
TPA base, can be moved as a part of a lump sum
amount
11
First Steps to 2.0 for Consideration
 Determine if Tribes should track performance data
and outcomes
 Maintain that a single audit is all that is needed for
purposes of reporting
 Determine how to address competitive, special need,
or earmarked, non-recurring funds or programs
12
First Steps to 2.0 for Consideration
13
 Determine if any BIA review and monitoring of
programs are required:
 Trust
 Law
Program Evaluation
enforcement, courts, and detention
13
Brainstorming about 2.0
14
 Should there be a standardized, simplified funding
document for all federal programs? (contrary to
original self-governance principles)
 What else?
14
Ongoing Comparative Research of Other
Government-to-Government Programs
1.
Millennium Challenge
– Country Compacts
2.
US AID
– Country Agreements
3.
Insular Affairs
– Compacts of Free Association
4.
State Department
– Country Agreements
15
Ongoing Comparative Research
 Millennium Challenge, USAID, Insular Affairs, and
the State Department

Internal financial and program processes for offices
that move US monetary aid as a lump sum to foreign
countries

Delegation of roles and responsibilities

Accountability standards for the countries
16
DOI – Insular Affairs
 “Compacts of Free Association” between the United
States and territories:







American Samoa
Guam
Commonwealth of the Northern Mariana Islands
U.S. Virgin Islands
Republic of Marshall Islands
Federated States of Micronesia
Republic of Palau
 Each gets a lump sum payment and also other
discretionary funds
17
DOI – Insular Affairs
Insular Affairs FY 2012
American Samoa
$36,249,000
Guam
$85,816,000
Commonwealth of
the Northern
Mariana Islands
$16,798,000
U.S. Virgin Islands
$262,500,000
Republic of
Marshall Islands
$69,524,000
Federated States
of Micronesia
$106,044,000
Republic of Palau $13,747,000
Insular Affairs 2012 Budget
$619 million
Office of Insular Affairs 2013
$9.5 million
VS.
SG Tribes 2012 Budget
$408 million
Office of Self-Governance 2013
$1.5 million
18
Compact of Free Association
 Goals

To support the “long-term security interests of the United
States in the western Pacific and Caribbean and address
serious economic and fiscal problems impacting the insular
areas…”

To provide funds for said territories to become economically
self-sustaining by a date certain

Example: Micronesia Compact’s projected date of expiration is
2023
19
Implementing “Compact of Free Association”
 Implementation

Requires monitoring, quarterly reports, heavy federal
interventions and involvement in territories’ financial and
programmatic internal operations
 Single Lump Sum

A good idea

Accountability pieces are very intrusive in terms of financial
operations as compared to how Self-Governance is organized
20
State Department
 Some discussion has started with the State
Department concerning U.S. assistance to foreign
countries

Discovered a Treasury program that helps foreign countries
with financial infrastructure
21
 Every year there are at least 3 or 5 tribes that apply
to enter Self-Governance
 Some of these Tribes do not have 3 years of audits
that are free of material weaknesses and these Tribes
are not accepted to the Self-Governance Program
because the statutory/regulatory criteria is not met
 What can be done to address this?
22
Challenges To All Tribes
23
 A remotely located tribe loses its finance person or
CFO and is unable to find expertise in the
community.
 A Tribe continually does not submit its Single Audit
year after year.
 A new tribal administration arrives and the tribal
finance office undergoes a total replacement.
 What happens?
23
U.S. Department of Treasury, Office of Technical
Assistance (OTA)
 Core Mission:

To develop strong financial sectors

To develop sound public financial management
 Where:

Countries where federal U.S. assistance is provided
and there is a strong commitment to reform
24
OTA’s Five Core Areas
 Budget Policy and Accountability
 Banking and Financial Services
 Government Debt Issuance and Management
 Financial Crimes
 Revenue Policy and Administration
25
OTA’s Technical Assistance
 OTA has the ability to assist in areas, such as:

Auditing

Accounting

Information technology system development

Macroeconomic and monetary policy management

Infrastructure finance
26
OTA’s Technical Assistance
 OTA currently operates programs in more
than 50 countries.
 Use of the Office’s services are free to the
countries requesting service
27
OTA Structure Offers Ideas for Technical
Assistance Model for Tribes
 OTA – a starting point for Tribal TA?
 Tribes might receive assistance for:

Addressing audits

Reviewing financial management systems

Stabilizing financial infrastructure when tribal
governments change hands
28
Technical Assistance Possibilities
 Develop a federal contract with Indian organization
or agency that could directly contract with
individuals who have expertise in tribal finance for
all federal grant/contracted/compacted programs
available to Tribes
OR
 Develop a federal office with a team of financial and
audit experts on tribal finances
29
Technical Assistance Possibilities
 The organization could provide a core group of
seasoned tribal finance and audit experts
 The organization would provide its services for free
to the Tribes
 The organization would help Tribes with recruitment
of finance and audit staff
30
Technical Assistance Possibilities
 The organization could provide internships
and jobs for Native students through regional
university-tribal partnerships

Develop students and staff expertise in:

Finance

Accounting

Audits

All federal and state programs that Tribes receive
31
The End or the Beginning
Comments, Questions, and
Concerns
[email protected]
Director, Office of Self-Governance
32