The potential of SBDC to focus resources on Native American Tribes. – Rep. Tom Udall

Thank you for inviting me today to address the Executive Council Winter Session of the National Congress of American Indians. It is truly my privilege to be here among so many important tribal leaders, friends of Indian Country, and the many leaders of the United States.

(Many thanks to Dan Ripke Director – Center for Economic Development – California State University, Chico for passing this along.- Russ)

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I would like to take this opportunity to commend NCAI for its years of important contributions to Indian Country, and to personally acknowledge two members of its executive committee, First Vice President Joe Garcia from San Juan Pueblo and Southwest Area Vice President John Gonzales from San Ildefonso Pueblo, both in New Mexico.

The District that I have the honor of representing includes these and 12 other Pueblos, as well as the Jicarilla Apache Reservation and a portion of the Navajo Nation. As such, I am a staunch advocate of tribal sovereignty, self-determination and self-sufficiency. The core of our relationship-the federal-tribal relationship- has to be government-to-government consultation.

Also, as a member of the House Resources Committee, I am acutely sensitive to the federal government’s trust responsibility toward tribes and nations. This is an issue that I had the opportunity to discuss with many of you at last year’s NCAI Winter Conference. It is still critically important that we continue efforts to improve the accounting procedures that relate to Indian lands and other trust properties. This Administration has to do a lot better on the government’s trust responsibility (story).

I would like to discuss an issue of great importance to Indian Country—President Bush’s FY05 budget. The Budget sets priorities. This Administration’s priorities are all wrong.

The President’s budget blueprint shortchanges a host of crucial tribal needs and I am astonished at how deep the cuts are for Indian Country. I am particularly disappointed in the president’s underfunding of the Indian Health Service (IHS). The FY05 budget proposal includes only $2.1 billion for the IHS clinical services account that funds individual health care services. This is far below the $5 billion level at which most experts agree that IHS needs to be funded. Last year’s FY04 budget cut IHS by 18 million. This is even more troubling considering that recent IHS funding levels have failed even to keep pace with medical inflation or population growth.

Further highlighting the severity of the situation is a study of federal health care spending per capita that was conducted by the Civil Rights Commission which showed alarming figures. This study found that the United States spends about $3,800 per year per federal prisoner, while spending about half that, $1,900 per year, per Native American. On its face, this disparity between federal health care expenditures for federal prisoners and Native Americans is cause for concern. It is all the more disturbing when compared with what this study showed for per capita health care spending for the U.S. general population, which is over $5,000 per year. Clearly these disparities need to be addressed. Unfortunately though, IHS funding is not the only harmful cut in the president’s FY05 budget. In fact, it is simply one of many damaging cuts.

The President’s budget proposal also guts IHS health facilities construction funding by more than 50%; it goes from $94 million to $42 million in 2005. The budget calls for a reduction in BIA school construction funding by $65.8 million from last year. BIA construction would drop by almost 20%, going from $351.1 million in 2004 to $283.1 million in 2005. Despite the fact the President promised more in the campaign (highlight New Mexico meeting with tribes). The Indian Land and Water Claims Settlements Account would decrease from $60.6 million in 2004 to $34.8 million in 2005. Native American Housing and Self-Determination Act, or NAHASDA (Na-has-da) Block Grants would also be cut this year.

I’ll be working in a bipartisan manner to reverse these and other budget cuts. For example, cuts within the Department of Justice are also alarming–the Tribal COPS program would be cut by 20%, going from $25 million in 2004 to $20 million in 2005. The Indian Alcohol and Drug Abuse Prevention Program would be cut by nearly 20% to $4.2 million in 2005. The Tribal Courts program would be cut from $8 million in 2004 to $5.9 million in 2005. Also, Funding for the Tribal Prison Construction would be cut entirely this year. It was $2 million in FY04.

This is just a glimpse into the President’s FY05 Budget. I’m sure I don’t need to tell anyone in attendance here today that these cuts have serious implications for Native Americans not only in my home state of New Mexico, but throughout the country.

As a Vice Co-chair of the Congressional Native American Caucus, I am committed to working with my colleagues in the caucus and in the House to address the funding inadequacies in the FY05 Budget Proposal. For the future of Indian country, we must shift the priorities reflected in this budget.

We also must continue to work together to tackle the issue of economic development on tribal lands. The current economic situation on Native American lands is very grave. However, it does hold promise for the future. The average unemployment rate on these lands is over 10 times the national average. At the same time, small business creation is at an all-time high. There is reason to be optimistic about the future of small business development on tribal lands.

It is with these facts in mind and the desire to help Native American, Native Alaskan, and Native Hawaiian entrepreneurs capitalize on these positive developments that I introduced H.R. 1166. My bill ensures that Native Americans, Native Alaskans, and Native Hawaiians seeking to create, develop, and expand small businesses have full access to the counseling and technical assistance available through the SBA’s SBDC program. The legislation does have specific requirements, however, to ensure these business development tools are provided in a culturally sensitive way. These tools offered by the SBDCs can assist Native Americans with the information and opportunity to build sustainable businesses in their communities.

For those of you unfamiliar with the Small Business Development Centers, it is a program set up under the U.S. Small Business Administration to provide management assistance to current and prospective small business owners. SBDCs offer one-stop assistance to individuals and small businesses by providing a wide variety of information and guidance in central and easily accessible branch locations. The program is a cooperative effort of the private sector, the educational community and federal, state and local governments. It enhances economic development by providing small businesses with management and technical assistance. There are now 63 Lead Small Business Development Centers (SBDCs) – at least one in every state, the District of Columbia, Guam, Puerto Rico, Samoa and the U.S. Virgin Islands — with a network of more than 1100 service locations. SBDC assistance is tailored to the local community and the needs of individual clients. Each center develops services in cooperation with local SBA district offices to ensure statewide coordination with other available resources.

My legislation seeks to bring the highly effective SBDC program to Indian Country. Not enough has been done to assist Native Americans in building their businesses and I believe that increasing access for Native American entrepreneurs to this program will help spark economic development and growth in Native American communities.

As a member of the House Small Business Committee, I am extremely aware that small businesses are the fuel for the engine of this country’s economic development. Small Businesses create 75 percent of all new employment opportunities, make up 99 percent of all employers, and provide almost half of all sales in this country. That is why it is so imperative that we take steps to help ensure that small business development reaches the places in this country where economic prosperity has yet to be realized.

I am pleased to inform you that my bill passed the House on March 31, 2003 by a vote of 378 to 14, and it is awaiting further action in the Senate. So any help you can give with our friends and allies in the Senate would be appreciated.

One final issue that I would like to touch on briefly while our country’s brave military men and women are stationed throughout the world is the honorable tradition of Native Americans serving in our nation’s armed forces.

Historically, Native Americans have the highest record of service per capita of any ethnic group. And while many Native American Veterans no doubt opt for burials in National Cemeteries and State Cemeteries throughout the country, many others would like the option to be buried in veteran cemeteries on tribal lands.

To help honor those who bravely serve, I have introduced H.R. 2983, the Native American Veterans Burial Fairness Act of 2003. This bill puts tribes on equal footing with state governments by allowing them to apply for grants to establish, expand or improve tribal veterans cemeteries. This bill simply puts tribes on a level playing field with states for state cemetery grants.

I believe it is time that Native American veterans who have served our country so honorably are allowed to pursue a decent, dignified resting place on their tribal lands.

As you know, this is an election year. And it’s going to be as close as it was in 2000. I know NCAI is a non-partisan organization, so I’m not going to encourage anyone to vote for a particular candidate TODAY. However, I think you can tell from my comments which candidate I’ll be supporting in November.

Whomever you intend to support in the Presidential Election, I cannot impress upon you enough how important it is for all Native Americans to vote. You need to make sure everyone who is eligible to vote actually gets out and registers to vote. Then, you must work very hard to make sure they actually go out and vote on November 2nd.

The stakes are too high for Native Americans all across this great land. And, particularly in the Southwest, we have two key swing states – New Mexico & Arizona – where the Native American vote will be critical to the outcome of this election. Again, register and get out the vote. Thank you.

I would like to close by saying that I am honored to again have the opportunity to come before NCAI today. Clearly we face many difficult challenges ahead, but together we can build on the good work that you are all doing every day and overcome the obstacles facing Indian Country. Thank you.