`[Senate Hearing 118-452]
[From the U.S. Government Publishing Office]


                                                        S. Hrg. 118-452

                    STATE OF NATIVE AMERICAN HOUSING

=======================================================================

                                HEARING

                               BEFORE THE

                            SUBCOMMITTEE ON
                  HOUSING, TRANSPORTATION, AND COMMUNITY 
                                DEVELOPMENT

                                 OF THE

                              COMMITTEE ON
                   BANKING,HOUSING,AND URBAN AFFAIRS
                          UNITED STATES SENATE

                    ONE HUNDRED EIGHTEENTH CONGRESS

                             FIRST SESSION

                                   ON

             EXAMINING THE STATE OF NATIVE AMERICAN HOUSING

                               __________

                             JUNE 13, 2023

                               __________

  Printed for the use of the Committee on Banking, Housing, and Urban 
                                Affairs
                                
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                Available at: https: //www.govinfo.gov /

                               __________

                   U.S. GOVERNMENT PUBLISHING OFFICE                    
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----------------------------------------------------------------------------------- 


            COMMITTEE ON BANKING, HOUSING, AND URBAN AFFAIRS

                       SHERROD BROWN, Ohio, Chair

JACK REED, Rhode Island              TIM SCOTT, South Carolina
ROBERT MENENDEZ, New Jersey          MIKE CRAPO, Idaho
JON TESTER, Montana                  MIKE ROUNDS, South Dakota
MARK R. WARNER, Virginia             THOM TILLIS, North Carolina
ELIZABETH WARREN, Massachusetts      JOHN KENNEDY, Louisiana
CHRIS VAN HOLLEN, Maryland           BILL HAGERTY, Tennessee
CATHERINE CORTEZ MASTO, Nevada       CYNTHIA M. LUMMIS, Wyoming
TINA SMITH, Minnesota                J.D. VANCE, Ohio
KYRSTEN SINEMA, Arizona              KATIE BOYD BRITT, Alabama
RAPHAEL G. WARNOCK, Georgia          KEVIN CRAMER, North Dakota
JOHN FETTERMAN, Pennsylvania         STEVE DAINES, Montana

                     Laura Swanson, Staff Director

               Lila Nieves-Lee, Republican Staff Director

                       Elisha Tuku, Chief Counsel

                  Amber Beck, Republican Chief Counsel

                      Cameron Ricker, Chief Clerk

                      Shelvin Simmons, IT Director

                       Pat Lally, Assistant Clerk

                                 ______

   Subcommittee on Housing, Transportation, and Community Development

                      TINA SMITH, Minnesota, Chair

               CYNTHIA M. LUMMIS, Wyoming, Ranking Member

JACK REED, Rhode Island              MIKE CRAPO, Idaho
ROBERT MENENDEZ, New Jersey          MIKE ROUNDS, South Dakota
JON TESTER, Montana                  JOHN KENNEDY, Louisiana
CATHERINE CORTEZ MASTO, Nevada       BILL HAGERTY, Tennessee
KYRSTEN SINEMA, Arizona              J.D. VANCE, Ohio
RAPHAEL G. WARNOCK, Georgia          KATIE BOYD BRITT, Alabama
JOHN FETTERMAN, Pennsylvania

                Tim Everett, Subcommittee Staff Director

        Kelsey Pristach, Republican Subcommittee Staff Director

                                  (ii)


                            C O N T E N T S

                              ----------                              

                         TUESDAY, JUNE 13, 2023

                                                                   Page

Opening statement of Chair Smith.................................     1
    Prepared statement...........................................    22

Opening statements, comments, or prepared statements of:
Senator Lummis...................................................     3
    Prepared statement...........................................    23

                               WITNESSES

Chelsea Fish, Executive Director, National American Indian 
  Housing Council................................................     4
    Prepared statement...........................................    23
    Responses to written questions of:
        Senator Cortez Masto.....................................    72
        Senator Lummis...........................................    72
Patrick Goggles, Executive Director, Northern Arapaho Housing 
  Authority......................................................     7
    Prepared statement...........................................    29
    Responses to written questions of:
        Senator Cortez Masto.....................................    73
        Senator Lummis...........................................    73
Pete Upton, CEO, Native CDFI Network, and Executive Director, 
  Native360 Loan Fund............................................     8
    Prepared statement...........................................    30
    Responses to written questions of:
        Senator Cortez Masto.....................................    74
        Senator Lummis...........................................    75
Tammy Moreland, Chairperson, Minnesota Tribal Collaborative to 
  Prevent and End Homelessness...................................     9
    Prepared statement...........................................    69
    Responses to written questions of:
        Senator Cortez Masto.....................................    75
        Senator Lummis...........................................    75

              Additional Material Supplied for the Record

Statement submitted by the Cedar Band of Paiute Indians, Lower 
  Brule Sioux Tribe, Rosebud Sioux Tribe.........................    77
Statement submitted by the Federal Reserve Bank of Minneapolis...    87
Statement submitted by Cook Inlet Housing Authority..............    93

                                 (iii)

 
                    STATE OF NATIVE AMERICAN HOUSING

                              ----------                              


                         TUESDAY, JUNE 13, 2023

                               U.S. Senate,
  Committee on Banking, Housing, and Urban Affairs,
    Subcommittee on Housing, Transportation, and Community 
                                               Development,
                                                    Washington, DC.
    The Subcommittee met at 2:30 p.m., in room SD-538, Dirksen 
Senate Office Building, Hon. Tina Smith, Chair of the 
Subcommittee, presiding.

             OPENING STATEMENT OF CHAIR TINA SMITH

    Chair Smith. Good afternoon. I want to call this Housing, 
Transportation, and Community Development Subcommittee to 
order. Thank you so much to our witnesses for participating 
today and thank you also to Senator Lummis and all of your team 
for working us on this bipartisan hearing.
    When Senator Lummis and I first met to discuss our goals 
for this Subcommittee, Native housing emerged as a top priority 
for both of us, and we both understand that finding affordable 
housing is a challenge for every community right now, but in 
Native and Tribal communities barriers to housing and home 
ownership are particularly challenging. And as we know, if you 
do not have a safe, decent place to call home, nothing else in 
your life works, not your education, not your job, not your 
family, not your health, not anything.
    Native people experience this reality in very tangible and 
specific ways, as Tribal leaders in Minnesota and around the 
country tell me all the time. Minnesota is home to 11 sovereign 
Tribal nations and large Indigenous communities in the Twin 
Cities and Duluth and Bemidji, and housing challenges in Native 
communities, in Minnesota and around the country, stretch 
across the entire housing continuum, from the lack of emergency 
shelter to a shortage of home ownership opportunities on Tribal 
lands. People struggle to get mortgages and appraisals and 
title insurance. If you own a home, keeping it in good repair 
can be difficult because of a shortage of contractors and 
skilled tradespeople. Tribal communities are often rural and 
remote which adds to the cost of infrastructure like water and 
sewer.
    These issues are common in rural communities, but they are 
exacerbated on Tribal land. Leased land and trust land each 
come with their own challenges. Mortgage lending on trust land 
can mean months or sometimes even years of administrative 
delays, working through the BIA, and many lenders just will not 
do business at all on trust lands.
    Mortgages on leased lands can also face lengthy 
administrative delays. Senator Rounds and I partnered on a bill 
to take the first step on fixing these problems 3 years ago, 
and earlier this year Senator Rounds and Senator Thune and 
Senator Tester and I introduce a bill to take the next step in 
addressing these delays.
    In addition, much of the housing stock on Tribal land is 
substandard and needs significant repair. Homes lack full 
plumbing, complete kitchens, and sufficient heating. According 
to HUD study, housing in Tribal lands is about six times more 
likely to have heating or plumbing deficiencies in comparison 
to the rest of the country. Repairs and maintenance are 
expensive, so many Tribes end up spending scarce Federal 
housing dollars maintaining existing housing rather than 
building the additional units that are needed to meet demand. 
The result is unsafe homes that can sit vacant and boarded up, 
even as the demand for housing is increasing.
    So even with recent increases, inflation-adjusted funding 
for the Indian Housing Block Grant is well below where it was 
25 years ago, and well below what I believe is needed to meet 
the trust and treaty obligations of the Federal Government for 
housing in Native communities.
    Housing shortages and homelessness are experienced on 
Tribal land when families crowd into homes not nearly big 
enough for all the people living there. This is sometimes 
called ``doubling up,'' which could suggest a relative sleeping 
on a couch or sharing a bedroom, but in practice overcrowding 
can be much more intense, with reports of 15 or even 20 people 
sharing a two-bedroom home. Native communities have strong 
cultural traditions of not letting relatives go without a place 
to stay when you have a house to share, and I can tell you in 
cold climates like Minnesota and Wyoming, sleeping outside can 
be deadly.
    In May of 2021, in my first hearing as Chair of this 
Subcommittee, we held a hearing on Native housing issues, and 
we heard about the need for more supportive housing that 
combines shelter with culturally specific programming to 
support Native people experiencing homelessness. In my home 
State of Minnesota, Native Americans account for 13 percent of 
people experiencing homelessness, despite being only about 1 
percent of the State's overall population. Without culturally 
specific programming and trauma-informed systems, Native people 
living with homelessness struggle to get access to the services 
and the stable housing that they need.
    We have also heard about the importance of reauthorizing 
the Native American Housing Assistance and Self-Determination 
Act, or NAHASDA. This was last updated in 2014, and it is far 
past time that that important bipartisan legislation that will 
cut red tape for housing development in Native communities 
better uphold our promises to Native veterans and put a stop to 
drug use and violent crime. I am very grateful to Senator 
Schatz and Senator Murkowski for leading this effort in the 
last Congress, and I look forward to working with them to 
finally get this done.
    So I look forward to hearing from our witnesses today about 
what we are doing that is working, what is not working, what 
needs reform, and what needs more support. These are issues of 
bipartisan interest and places where we have demonstrated the 
capacity to work together. So I look forward to building on 
that shared sense of purpose and progress so that we can make 
progress on issues for Native communities.
    So thank you very much, and I now turn to Senator Lummis 
for her opening statement.

         OPENING STATEMENT OF SENATOR CYNTHIA M. LUMMIS

    Senator Lummis. Thank you, Madame Chairwoman, and thank you 
to our witnesses for joining us today.
    I especially want to thank Mr. Patrick Goggles for being 
here today. Mr. Goggles brings vast knowledge and experience 
working on Tribal housing. His resume is very impressive, 
currently serving as the Executive Director of the Northern 
Arapaho Tribal Housing Authority. Mr. Goggles formerly served 
in the Wyoming State Legislature and on the Northern Arapaho 
Business Council. Thanks so much, Patrick, for being here.
    And I want to thank to the rest of the witnesses as well. 
The expertise on this panel is exceptional.
    In my State of Wyoming, we have two federally recognized 
Tribes, the Northern Arapaho and Eastern Shoshone. Both Tribes 
share the Wind River Reservation. The Wind River Reservation is 
the seventh-largest American Indian reservation in size and 
fifth-largest in population. Lack of safe, affordable, and 
available housing impacts communities across Wyoming, but 
especially on the Wind River Reservation. The housing gap has 
widened as the demand for housing is outpacing new 
construction.
    In many cases, as the Chairwoman mentioned, 
multigenerational families are overcrowded in homes. These 
homes often have serious plumbing and electrical problems and 
are in dire need of repair.
    Congress has provided funding for Native American housing 
programs for several decades. Tribes and tribally designated 
housing entities use the funding for a range of affordable 
housing activities to benefit low-income Tribal households. 
This includes developing new housing for rental or home 
ownership, maintaining and operating existing housing units, 
building infrastructure, and offering housing-related services.
    So I look forward to your advice and counsel on all of 
these issues.
    Additionally, want to talk about the uniquenesses of 
working with Indian trust lands. On trust lands, the Bureau of 
Indian Affairs must process and certify mortgages issued by 
Federal agencies and lenders. In some cases, the BIA has taken 
months to process mortgages. It creates particular problems in 
areas that have Tribal trust lands available but do not have 
fee ownership land available.
    That is why I have cosponsored the Tribal Trust Land 
Homeownership Act with Chairwoman Smith, to create deadlines 
that BIA must meet for processing title documents. If you have 
other issues you want to raise about how that legislation could 
improve the delivery of services in this area please let us 
know.
    I, along with several Members of this Subcommittee, are 
members of the Senate Community Development Financial 
Institutions Caucus. The Caucus is a platform to address the 
needs of CDFIs so that they have the resources to serve their 
communities. I believe CDFIs are a wise investment to multiply 
our Federal dollars for maximum impact.
    In closing, our witnesses today provide unique perspectives 
on the state of Native American housing, and I look forward to 
hearing your testimony. I thank you again for being here, and I 
am looking forward to learning ways to ensure Tribal housing 
needs are met.
    Thank you, Madam Chairman. I yield back.
    Chair Smith. Thank you so much. I will now introduce our 
witnesses, and thank you, Senator Lummis, for introducing Mr. 
Goggles. Welcome to the Committee, Mr. Goggles.
    In addition I would like to introduce Chelsea Fish, who is 
Executive Director of the National American Indian Housing 
Council. Ms. Fish is a citizen of the Seminole Nation of 
Oklahoma. For over 15 years she has worked at the national 
level to address socioeconomic concerns on behalf of Tribal 
communities on issues ranging from Tribal gaming and Native 
small businesses to health and food sovereignty. Ms. Fish 
earned her bachelor of science in health education with an 
emphasis on public health from the University of District of 
Columbia. She is originally from Tishomingo, Oklahoma--I said 
that correct, I hope--and currently lives with her family in 
Washington, DC. Welcome.
    Pete Upton is the CEO of the Native CDFI Network, and 
Executive Director of the Native360 Loan Fund. Mr. Upton is a 
member of the Ponca Tribe of Nebraska. He serves CEO, as I 
said, of the Native CDFI Network, which represents Native CDFIs 
around the country. In addition, Mr. Upton is the Executive 
Director of the Native360 Loan Fund, a certified Native CDFI 
supporting Native American business owners in Nebraska, Iowa, 
and South Dakota.
    And joining us virtually is Tammy Moreland, who is Chair of 
the Minnesota Tribal Collaborative to Prevent and End 
Homelessness. Ms. Moreland is a member of the Mille Lacs Band 
of Ojibwe. She currently serves as the Chair of the Minnesota 
Tribal Collaborative, which was formed by Minnesota Tribal 
Nations in 2014 to understand, prevent, and end homelessness of 
Native People's in Minnesota.
    In addition to her role with the Minnesota Tribal 
Collaborative, Ms. Moreland is a longtime employee of Tribal 
Family Services and public health departments.
    We will begin with our in-person witnesses and then turn to 
Ms. Moreland, and for witnesses you each have 5 minutes for 
your opening statements. Each of you, I think, have a clock in 
front of you to help you stay oriented to that, and your full 
written statement will be made part of the record.
    Ms. Fish, you are recognized for your opening statement.

    STATEMENT OF CHELSEA FISH, EXECUTIVE DIRECTOR, NATIONAL 
                AMERICAN INDIAN HOUSING COUNCIL

    Ms. Fish. [Speaks Native language.] Hi. My name is Chelsea 
Fish. Did you make it through the night OK? I hope you did.
    I am the Executive Director of the National American Indian 
Housing Council. As Senator Smith mentioned, I am a member of 
the Seminole Nation of Oklahoma and originally from a very 
small town called Tishomingo in southeastern Oklahoma, in one 
of the poorest counties of the State, Johnston County.
    We grew up living in a very overcrowded home in my family. 
We lived just off of a dirt road, and there were ab out 20 of 
us at any given time nestled into my grandmother's home on our 
original trust land, that was heated by a wood stove.
    The National American Indian Housing Council was created by 
Tribal housing programs back in 1974, and for over five decades 
we have provided invaluable training and technical assistance 
to all Tribes, Tribal housing entities, and to Congress. We 
represent 293 members, all of which are federally recognized, 
and represent 493 Tribal housing organizations, all of whom are 
constituents of this Congress.
    Ladies and gentlemen, I really appreciate the opportunity 
to deliver this message on behalf of Tribal communities this 
afternoon. It really is an outstanding opportunity for me, 
coming from the background that I do, just a small little 
country girl from the middle of nowhere, or so I thought.
    Thank you for allowing this opportunity. I stand before you 
to shed light on a very pressing issue, and that issue is 
housing in Native American communities and here in the United 
States. It is uncanny how unaware that people are of the 
housing conditions on Tribal territories and reservations. 
Every day I talk to people who are completely oblivious to some 
of the amounts of poverty and impoverished situations, and 
really the downtrodden situations that we find on Indian 
reservations. It is like nowhere else.
    Despite the progress made in recent decades, many Tribal 
communities continue to face the significant challenges of 
poverty, including substandard housing, overcrowding, and 
homelessness. The median income of a Native American household 
is 30 percent less than the national average.
    Native American communities also experience higher rates of 
substandard housing with a significant number of homes lacking 
complete plumbing, kitchen, and sufficient heating. I will say 
that again--significant amount of homes. We are looking at 15.9 
percent of homes being overcrowded compared to only 2.2 
nationally.
    The lack of adequate housing in Indian Country is a direct 
result of insufficient funding and resources. The Native 
American Housing Assistance and Self-Determination Act was 
enacted in 1996, and it was a step in the right direction, but 
Congress has failed to fulfill its trust obligation and really 
has been neglectful of the Tribal community, by keeping funding 
stagnant for more than 20 years.
    The purchasing power of these funds, allocated for what we 
know as the Indian Housing Block Grant, which is the mechanism 
for getting money out to the Tribes for developing housing, has 
diminished significantly due to inflation, leading to a rapid 
decline in new housing construction. Since 1998, Tribal housing 
programs have lost $3.4 billion in funding by not keeping up 
with inflation, compared to our sister program, the National 
Public Housing Program.
    To address the housing crisis in Indian Country we need 
Congress to increase funding, and we plead with Congress to 
increase this funding in NAHASDA. The current funding levels 
are inadequate, many Tribes receiving less than $500,000 to 
operate their housing programs. Tribes simply cannot build more 
homes with such limited funding. Our geographical challenges 
alone, including isolation, the lack of developed housing, 
inaccessible lending markets only exacerbate this problem.
    Reauthorizing NAHASDA is crucial. We need an increased 
amount of resources and programmatic changes that streamline 
our housing programs. This reauthorization bill contains 
provisions that can enhance Tribal access to finding, simply 
various aspects of HUD and the Indian Housing Block Grant 
program.
    Tribes need the flexibility to tailor their housing plans 
to their specific needs and priorities. An example of this 
flexibility is the prioritization of funds. As Senator Smith 
mentioned, Indians and Native Americans will not allow our 
elders and our needy and our vulnerable persons to go without. 
They will be prioritized, so a lot of our funds go to the 
prioritization of housing for elderly, and that leaves mothers 
of children, single mothers of children, parents whose children 
are going into the homes of family members, and so on and so 
forth, without.
    I would like to highlight a couple of examples to 
illustrate the current housing situation in Native American 
communities. In Nulato, Alaska, which is a remote village with 
no roads leading in or out, there is need for nearly 20 homes. 
The population is Nulato is just over 200. But the estimated 
cost of construction of a single-family home is over $670,000. 
The current income level at the NAHASDA rate in Nulato only 
allows for 29 percent of a home to be built in one single year.
    Similarly, the Comanche Nation Housing Authority in 
Oklahoma focuses on rehabilitating existing homes due to 
limited funding. There are resources available from various 
funding Federal agencies, including HUD, U.S. Treasury, U.S. 
Department of Agriculture, Veterans Administration. However, 
Tribes often face enormous barriers in accessing these 
resources.
    Some of these programs have requirements in them that do 
not honor and respect Tribal sovereignty and self-determination 
by forcing them to collaborate with other community-based 
organizations to have pass-through access to the resources.
    But moreover, home ownership remains a significant 
challenge in Indian Country. As we all just discussed in our 
opening, Federal trust land cannot be used to secure a home 
loan, and lenders see doing business with Tribes a risk. There 
is no incentive for lenders to do business with Tribal nations 
or Tribal citizens. There are no penalties for doing so either. 
Native borrowers----
    Chair Smith. I am so sorry to interrupt you, Ms. Fish. You 
are about 2 minutes over, so if you could wrap up we will be 
able to get at the rest of your comments in our questions as 
well.
    Ms. Fish. It says I have 2 minutes, 30 seconds remaining.
    Chair Smith. No. That is how much you are over.
    Ms. Fish. I am sorry.
    Chair Smith. That is OK.
    Ms. Fish. I apologize.
    Chair Smith. No worries. No worries.
    Ms. Fish. It is the responsibility of this Committee and 
Congress to fulfill its treaty obligations to Tribal nations 
and restore NAHASDA. Thank you very much.
    Chair Smith. Thank you so much.
    Mr. Goggles.

  STATEMENT OF PATRICK GOGGLES, EXECUTIVE DIRECTOR, NORTHERN 
                   ARAPAHO HOUSING AUTHORITY

    Mr. Goggles. Good afternoon. Chair Smith and Vice Chair 
Lummis, for the record my name is W. Patrick Goggles. I am the 
Executive Director of Northern Arapaho Tribal Housing, and we 
are located on the Wind River Indian Reservation in Wyoming.
    I want to get started with the things that we came here to 
talk about, and that is, first and foremost in mind, is the 
reauthorization of the Native American Housing Assistance and 
Self-Determination Act of 1996. And the reason that it concerns 
me is, like any other community in Wyoming or in Minnesota, the 
flow of funds into your community help you plan, develop, and 
implement those types of, in my case, housing projects. I have 
one current project that I have been working on for 6 years. It 
is $9.1 million, and I will be completing that project in 
September of 2023. But it has taken me 6 years to do that.
    And so it is important that we reauthorization the funding 
streams that we receive through NAHASDA to allow us to do those 
strategic types of planning that help us plan the types of 
affordable housing that we are going to construct. Not only 
that but looking forward to home ownership for many Federal 
members.
    And just real quickly, I manage 234 houses. Some of my 
houses are overcrowded, unsuitable crowding. I have one 5-
bedroom house that has 27 people in it, and I have another 3-
bedroom house that has 15 people in it. The overcrowding is 
acute. The shortage of housing on our reservation is very 
acute. There are no private ownerships of individual family 
homes on the Wind River Indian Reservation currently. And that 
is my take on NAHASDA because it will help provide us with an 
added allocation that we plan with.
    Just so you understand what my director said, the 
unemployment rate on my reservation is 35 percent, and getting 
the kind of incomes to afford to make a house payment, it is 
very difficult to do that.
    A few years ago, Congress first funded the Competitive 
Indian Housing Block Grant to allow Tribes and their housing 
entities to apply for development funds. They are not included 
in the regular IHBC, Indian Housing Block Grant. These are 
competitive funds that we apply for. And the experience has 
been the larger Tribes and the medium Tribes and the smaller 
Tribes is not a level playing field.
    I cannot afford to have an engineer on my staff. An 
engineer is worth their weight in gold in helping you determine 
how you are going to build on your Tribal lands. We have gaming 
revenue on our reservation, but that goes for the other needs 
that our Tribe has such as social services, and Human Services 
such as dealing with the addictions of meth and fentanyl on our 
reservation. So those are real-life kinds of things that we 
deal with because we are in a rural, isolated community.
    My other folks that I represent, because I am Region V 
representative for Montana, Wyoming, Colorado and Utah, and the 
other Region III, North and South Dakota and Nebraska, are 
really isolated with large land-based Tribes. So many of our 
reservations experience the lack of essential services such as 
fire prevention such as EMT service. In our neck of the woods, 
law and order is the Bureau of Indian Affairs, and you can have 
response times up to 30 minutes to 2 hours, waiting for an EMT 
or a police officer to arrive on the scene. By the time they 
show up, you know, other incidents have occurred.
    So I wanted to say that much. I know my 5 minutes went 
pretty fast, but I want to answer some of your questions with 
some more additional information for you. Thank you.
    Chair Smith. Thank you so much, Mr. Goggles.
    Mr. Upton.

    STATEMENT OF PETE UPTON, CEO, NATIVE CDFI NETWORK, AND 
            EXECUTIVE DIRECTOR, NATIVE360 LOAN FUND

    Mr. Upton. Thank you, Chair Smith and Ranking Member Lummis 
and the Subcommittee for this opportunity to present today.
    My name is Pete Upton, and I am an enrolled citizen of the 
Ponca Tribe of Nebraska, and I am the CEO of the Native CDFI 
Network, and I keep my feet grounded in the work that I do. I 
am the Executive Director of Native360 Loan Fund, and we serve 
Nebraska, South Dakota, Iowa, and Kansas. On behalf of the 
Native CDFI Network and the 90 certified and emerging Native 
CDFIs we serve, I welcome the opportunity to present about the 
capital access challenges facing Native home ownership and the 
pivotal role that Native CDFIs play in addressing those 
challenges and what Congress can do to enhance the Native 
CDFI's ability to home ownership.
    Despite recent progress by Native CDFIs, the challenges 
facing Native home ownership remains severe. Native communities 
and Native CDFIs face numerous challenges in providing home 
loans to Native communities. The challenges include access to 
low-interest, long-term funding for Native CDFIs, the scarcity 
of availability of housing stock, the lack of infrastructure 
and skilled workers which further hampers the construction and 
renovation of homes. Land issues, including limited 
availability, complex structures also pose hurdles for 
expanding housing opportunities for the Native populations. 
These multifaceted challenges highlight the need for targeted 
support and innovation solutions addressing the housing needs 
in Indian Country. And I want to stress innovative solutions 
and targeted support, and I will get into that when we get into 
the questions.
    The state of affairs is challenging, but there is an 
effective solution, and that is Native CDFIs when it comes to 
Native home ownerships. Native CDFIs are proven irreplaceable 
engines for growing vibrant Native economies. According to the 
Treasury, for every dollar invested in CDFIs they create $8 in 
private sector investments.
    Our impact is particularly significant in the area of 
Native home ownership, where Native CDFIs are playing a 
crucial. Native CDFIs provide affordable home loans, assistance 
with downpayments, homebuyer education, Native communities who 
have been overlooked by the traditional lenders. Native CDFIs 
are there to provide the support. By offering specialized 
financial products, comprehensive technical support, and 
extensive community engagement, we are expanding access to 
affordable home ownership opportunities within Native 
communities.
    Simply put, Native CDFIs need the support from Congress to 
grow its capacity to meet the moment. We have identified six 
key ways Congress can strengthen Native home ownership and the 
vital role Native CDFIs play in the endeavor.
    First, support us in ensuring that proposed Native CDFI 
certification reforms do not harm Native CDFIs. The ongoing 
reform process of CDFI certification application and 
regulations by the CDFI Fund pose challenges for Native CDFIs. 
The proposed changes could hinder their ability to promote home 
ownership and economic progress in Indian Country.
    Native CDFIs would either need to make drastic operational 
changes or alter their programs and products, or forego 
certification, resulting in reduced access to vital capital for 
serving their Native community. We urge Congress to address our 
concerns by advocating for a formal listening session with the 
CDFI Fund and the Native CDFI leaders, executive directors, to 
discuss and address the potential impacts of these reforms.
    Second, establish a Native Advisory Committee within 
Treasury and the CDFI Fund. This committee should be made up of 
Native CDFI executive leaders that would engage directly with 
Treasury and the CDFI Fund and provide valuable input on how 
policy and programs impact the flow of capital to communities 
and listen to the Native CDFIs who are the boots on the ground 
in the community, doing the work. Congress should mandate that 
Treasury establish a Native Advisory Committee made up of CDFI 
executive directors, and that committee would meet at least 
annually with the Treasury Secretary and the CDFI director.
    Third, increase NACA appropriations to $50 million. Capital 
is needed to provide long-term, low-interest funding for 
homeowners, Native American homeowners.
    And fourth, increase the annual funding of the HUD Section 
4 to $50 million and establish a 10 percent set-aside for 
Native communities.
    Fifth, pass the Rural Housing Reform Act.
    And finally, pass the Native American Direct Loan Home Act.
    And I want to conclude by thanking the Congress and this 
Subcommittee and encouraging you to maintain a relationship and 
a collaboration with Native CDFI leaders in developing funding 
of innovative policies that address the capital needs of Indian 
Country.
    Chair Smith. Thank you very much.
    And last we will hear from Ms. Tammy Moreland, who is 
joining us virtually.

  STATEMENT OF TAMMY MORELAND, CHAIRPERSON, MINNESOTA TRIBAL 
         COLLABORATIVE TO PREVENT AND END HOMELESSNESS

    Ms. Moreland. Aanii Boozhoo, Niigaanii Animikii Benesi Ikwe 
ninidizhizikaaz, Migizi nindoodem, Odawa Anishinaabe Kwe 
ndawaa, Wiikwewang nindonjiibaa.
    My Government name is Tammy Moreland. I have a small 
correction. I am a Tribal member of the Grand Traverse Band of 
Ottawa and Chippewa Indians. I work for the Mille Lacs Band of 
Ojibwe in central Minnesota, and I work for the 
Aanjibimaadizing Program. I have the honor and the 
responsibility of chairing the Minnesota Tribal Collaborative 
to prevent and end homelessness, which is a tribally initiated 
and innovative approach to address housing and homelessness for 
American Indians in Minnesota.
    I am honored to appear before you today to talk about the 
Minnesota Tribal Collaborative's work to ending homelessness to 
State and Federal change. Thank you, Senator Smith, for calling 
this hearing and inviting me to testify on behalf of the 
Minnesota Tribal Collaborative.
    The Minnesota Tribal Collaborative was funded in 2014, when 
a group of Tribal Housing and Human Services staff in northern 
and central Minnesota began to meet together with other 
supporting organizations to learn from each other about new 
resources and ideas for promising practices that help meet the 
unique needs of American Indians experiencing homelessness.
    In addition to the direct services that it provides, the 
Minnesota Tribal Collaborative has a strong advocacy for 
reforming State and Federal law. We have been successful 
lobbying for changes to State and Federal law because of our 
first-hand experience with homelessness and its root causes and 
because we never give up. The reform to the Federal law that 
the collaborative has accomplished with Senator Tina Smith and 
other allies on Capitol Hill means that not only Minnesota 
Tribes will have access to increased Federal funding support 
but hundreds of Tribes throughout the United States will also 
be able to access those increased resources for our shared 
mission to reduce homelessness in Indian communities.
    In Minnesota, American Indians are more than 12 times more 
likely to experience homelessness and to be homeless longer 
than the white population. The most recent reservation homeland 
study, conducted in 2018, found that half of the people 
homeless on reservations were children, youth, and elders. Most 
people met the definition of a chronic or long-term homeless, 
and nearly half of the people surveyed had a chronic health 
condition that impacted their ability to work or find housing.
    Our collaborative is successful because the Minnesota 
Tribal Collaborative are fearless. We usually take the hard way 
and not the easy way to accomplish our goals, and our goals are 
not just for us, but we look forward several generations. The 
Minnesota Tribal Collaborative wants future generations to know 
that we came together with leaders to write new rules for 
society about how to thrive together. We experienced immense 
challenges, but in the end we succeeded. We want future 
generations to know that this was a powerful generation that 
rose from adversities, and we gave them legacies and resources 
to take inspiration from. We want them to look at us with 
courage, as we went through a difficult period of triumph and 
struggle. We hope they will talk about us as examples to 
emulate, as something to be, and to go onward to the future 
with.
    We want to end homelessness in our communities. The members 
of the Minnesota Tribal Collaborative always show up, we 
challenge the status quo, and we hold ourselves and other 
accountable for change. We have made changes, significant 
changes, and we intend to make more. We believe that nothing 
about us should happen without us, and we push to be part of 
meetings, funding, trainings, and we always insist that our 
voices are heard.
    For the Tribes to be successful in ending homelessness, 
both on and off the reservation, we ask the following from 
Congress. I have five points, but due to time I am only going 
to mention one. We ask that you support Tribal efforts to end 
homelessness among Tribal members as they move between the 
reservation and urban communities. Federal policies have pushed 
American Indians into and out of reservation communities for 
decades. This destruction in community life is one of the root 
causes of homelessness.
    Today the Federal Government should support Tribes' efforts 
to meet the needs of Tribal members where they are today. This 
is a Federal Government problem that can be solved by Tribes 
and the Federal Government working together.
    Miigwetch. Thank you for your time, and by partnering 
together and sharing resources, we can end homelessness for 
America's first people. Thank you.
    Chair Smith. Thank you so much. Thanks to all of our 
witnesses for your testimony today.
    We will now move to a 5-minute round of questions from 
Members of the Committee, and I defer to Senator Tester from 
Montana to begin.
    Senator Tester. Well, I want to thank the Chair, and I also 
want to thank all the folks who testified here today. I 
appreciate it very much.
    You know, it has always been very, very difficult to get 
NAHASDA passed, and it is something that is very, very 
important, and we need to get it funded at a level that will 
work.
    I agree with you, Ms. Fish. People do not understand the 
housing challenges in Indian Country. Many folks back here do 
not understand the trust responsibilities we have to Native 
Americans. They are special to Native Americans. And I do think 
that the housing goes hand-in-hand with those responsibilities. 
I have also said that if we really want to address any issue--I 
do not care if it is schools, law enforcement, housing, the 
list is quite long, especially for those large land-based 
Tribes--then we need to figure out ways to empower Tribes to do 
that and support them in their efforts.
    One of the ways that was supposed to do that is through 
HUD's Training and Technical Assistance Program, ensuring that 
Tribes are knowledgeable and able to make housing decisions for 
their communities. It is not easy work.
    I have heard from Tribes in Montana who have had difficulty 
in accessing the technical assistance system as it is currently 
implemented by Housing and Urban Development. So this question 
is for you, Ms. Fish, and you can add in, Mr. Goggles, Mr. 
Upton, Ms. Moreland, if you would like.
    NAIHC runs a Technical Assistance Training Program for 
Tribal housing entities. From your perspective, what needs to 
be done to improve training and technical assistance to Tribes 
that are utilizing those HUD dollars, to really make a 
difference getting housing in Indian Country?
    Ms. Fish. Thank you, Senator Tester. One of the ways that 
we have explored developing an efficacious technical assistance 
delivery system is to return to the way that our technical 
assistance funding was passed down to the National American 
Indian Housing Council. We currently work off of a cooperative 
agreement. The process for receiving technical assistance 
assignments, invoicing for that technical assistance is very 
burdensome. The administrative process alone, working through 
this mechanism, I have two staff members that predominantly do 
this work, working in the DRGR, working with the different 
operational systems that HUD has in place, working with their 
Office of Procurement. OPM is very difficult. Getting contracts 
passed that support the technical assistance delivery is very 
difficult, working through that mechanism.
    And so we have explored the option to return to the old 
way, which was where we received a grant, and we were able to 
receive the technical assistance requests directly and then 
deliver the technical assistance. In the same stroke or in the 
same step, we are also able to develop best practices, case 
studies and do our own research in a very streamlined way.
    There you go.
    Senator Tester. Good. Would anybody else like to comment? 
Mr. Goggles.
    Mr. Goggles. Senator Tester, thank you. TNTA at the 
National American Indian housing level works. I can attest to 
that. I have 13 years of unmodified opinions on my financial 
compliance audits. So we are good stewards of the Federal 
assistance and Uncle Sam's dollar. It impacts how we deliver 
services to our clientele. So I know the TNTA works. When we 
had it before at NAIHC we had folks coming to our reservation 
without too much of a bureaucratic system in place. Now it is 
more having a couple of folks that you have to jump through 
some hoops for. But getting that service to us, getting out the 
grantees helps them understand Federal regulation, like 2 CFR, 
understanding Native American Housing and Self-Determination 
Act, understanding the eligible activities that you can 
participate in, and the kinds of activities under the Indian 
Communities Development Block Grant Program.
    Senator Tester. OK. And really quickly, and it is for you, 
Mr. Upton, you listed a half a dozen things that we could do in 
Congress. Could you give me your number one issue, of those 
six?
    Mr. Upton. Of the six would be to increase appropriations 
for the NACA program. It was stagnant from 2014 to roughly 2020 
at $16 million. There are 72 Native CDFIs, and it is up to 
approximately $23 million now. Fifty million is what we need, 
and that would make a huge impact, especially if we are going 
to make Native CDFIs 184 lenders, we need capital.
    Senator Tester. Thank you. Thank you, Madam Chair.
    Chair Smith. Thank you, Senator Tester.
    Senator Lummis.
    Senator Lummis. Thank you, Madam Chairman.
    Mr. Goggles, you mentioned it took 6 years to jump through 
all the hoops necessary to get your now September 2023 project 
to this point. Could you describe some of those hoops, and how 
can we help cut that down, the amount of time?
    Mr. Goggles. Vice Chair Lummis, one of the areas has been 
the working relationship with the Bureau of Indian Affairs 
Realty Department. It took me approximately 2 years to master-
lease the subdivision metes and bounds of the survey that we 
did, plus 2 years of delay from the pandemic. So it took me 
about 4 years to obtain the leasing authority through the 
Bureau of Indian Affairs. Currently they are understaffed. 
There are only two people in the Realty Division at the Wind 
River agency. So that is one of the challenges is getting the 
land.
    The other challenge is when we develop a project, 
infrastructure is always one-third of our development cost. At 
the Chief Black Coal project, $9.1 million total, and $2 
million is for infrastructure. And putting that infrastructure 
according to Federal regulation, according to ONAP and HUD 
regulations, under the Indian Housing Block Grant, under the 
Indian Community Development Block Grant, and the use of 
community facilities from USGA, each one has its own set of 
regulations.
    Senator Lummis. Yeah. That is so embarrassing.
    Mr. Goggles. So navigating these regulatory requirements 
requires experience. It requires training, like we were talking 
about TNTA. Everybody's shop does their own thing.
    The third is environmental reviews.
    Senator Lummis. Are those houses on well and septic?
    Mr. Goggles. We are developing this project with domestic 
water, domestic wastewater and drainage. Individual homesites 
use the septic system and cisterns when they are developing, 
even out in the country, and there are 2\1/2\ acres generally. 
What I have leased for a subdivision is about 20 acres. For 20 
homes, the cost is part of that, for the 10 units that I am 
building, that are 3-bedroom, $252,000 apiece, for the 10. 
Four-bedrooms, $267,000 apiece. These are manufactured housing 
units.
    Senator Lummis. Geez.
    Mr. Goggles. Yep.
    Senator Lummis. And it was earlier mentioned, numbers like 
$600,000. I cannot remember who said that.
    Mr. Goggles. That is in Alaska.
    Senator Lummis. Oh, in Alaska.
    Mr. Goggles. In Alaska, just talking to my colleagues in 
that area, there are two seasons up there. That is the season 
that they play basketball and the other is for getting 
materials up there in a timely manner so you can construct a 
house.
    So two very different methods of building, in the Northern 
Plains, Great Plains of our area versus Alaska, they are very 
different. In the Southwest you find very different methods as 
well.
    Senator Lummis. Can you see ways that we could fold the 
programs you mentioned into one and streamline it?
    Mr. Goggles. Under the Indian Community Development Block 
Grant program we could make that program more flexible, that it 
could fund infrastructure. One of the areas that I am working 
on is redevelopment of streets. They have not been repaired or 
rebuilt since the time they were first put in by HUD. And now 
that I have taken over, I am having difficulties just preparing 
streets.
    This last winter, we were using our monies to provide snow 
removal services because of an extremely harsh winter.
    Senator Lummis. Extremely harsh.
    Mr. Goggles. Extremely harsh winter. So the Indian 
Community Development Block Grant, making that program more 
flexible. And the Indian Housing Block Grant as well. You know, 
we can use these funds to develop infrastructure and fund 
development at the same time.
    Senator Lummis. What if you find a house that needs 
plumbing and electrical upgrades, and heating upgrades? Are 
there programs that are easily accessible to take care of those 
needs?
    Mr. Goggles. Senator Lummis, under our Indian Housing Block 
Grant we repair and rehab and modernize housing. Some of the 
housing stock I have now is about 40 years old. So when you get 
into that house you are going to repair electrical because back 
40 years ago we did not have the electrical devices we have 
now. And the houses need two bathrooms, not just one. So you 
are looking at the modernization of houses so they have at 
least two bathrooms. And in the case of the pandemic, you could 
quarantine a family in that type of house with two bathrooms.
    Senator Lummis. Yeah, good point. Thank you, Mr. Goggles. I 
appreciate it.
    Mr. Goggles. Thank you.
    Chair Smith. Senator Lummis, if you have additional 
questions you would like to ask so you do not break up your 
flow, please go right ahead.
    Senator Lummis. OK, great. Thank you.
    Ms. Fish, what reforms do you think are necessary to 
improve NAIHC?
    Ms. Fish. I just want to clarify, the National American 
Indian Housing Council?
    Senator Lummis. I guess I have the wrong acronym. What is 
it--NAHASDA?
    Ms. Fish. NAHASDA?
    Senator Lummis. I am sorry. I get the acronyms mixed up. I 
intended to say NAHASDA.
    Ms. Fish. We simply need to get this legislation passed. 
That is the first grand step is simply passing the legislation.
    Senator Lummis. OK. Mr. Upton, how are Native Community 
Development Financial Institutions providing support to 
prospective Native homeowners?
    Mr. Upton. You know, first of all, I think they are being 
innovative with the products that they design, and also they 
are really focusing efforts in collaborative ways, statewide 
and regionally, by developing collaborations of Native CDFIs. 
They provide support when it comes to Native home ownership. 
That is where Native CDFIs come into play.
    Senator Lummis. But do they work on Tribal trust lands, or 
can it only work on fee land?
    Mr. Upton. No. I was just up in South Dakota last week and 
this was interesting. Of the 86 related loans that were closed 
last year, totaling $7 million in South Dakota, CDFIs made up 
85 percent of the lending, and those were acquisitions, 39 
homes, 9 homes were newly constructed, and 7 were interim 
construction, and 24 rehabs. But Native CDFIs made up the 
lending portion of that, 85 percent of it came from Native 
CDFIs.
    Senator Lummis. Thank you. And then a quick question for 
Ms. Moreland. Do you find there is data available to accurately 
determine housing needs on and off the reservation?
    Ms. Moreland. I believe that there is a start, at least in 
Minnesota, for collecting the data. Minnesota has worked with 
Wilder Research, and they do a reservation-specific survey, and 
this is the year that we are doing it. We are going to be doing 
it toward the end of this year. And we will be able to collect 
that data. We have been working with Wilder since about 2006, 
so we do have some data that is available.
    One of the innovative things with the data that we collect 
with Wilder is Wilder has respected Tribal sovereignty, and the 
data that is collected is owned by each Tribe, and the Tribe 
will decide how they would like to disperse that information 
and use that information. So it is not data that is being 
collected by non-Natives, used in a non-Native way. The Tribes 
own their data.
    Senator Lummis. Thank you. And this question is for anyone 
who wishes to weigh in. Are there special programs for Native 
American veterans to obtain housing, and who administers those 
and how are they working? Ms. Fish.
    Ms. Fish. Thank you for the question, Senator Lummis. Yes, 
there are programs that allow access to housing for Native 
American veterans. One bill that is out there right now that 
was introduced by Congressman Tom Cole is the Tribal HUD-VASH, 
which is a result of a demonstration program allowing vouchers 
to be used for the subsidization of housing for veterans. And 
it has worked very well, and we are looking at, in the future, 
being able to transition those into home ownership as well.
    Another program that allows for home ownership and purchase 
is run out of the Department of Veterans Affairs.
    Senator Lummis. Veterans Affairs. OK.
    Mr. Upton. Could I comment on that one?
    Senator Lummis. Yes, please, and then I will yield back.
    Mr. Upton. OK. The other bill that I think that really 
needs the support is the Native American Direct Loan 
Improvement Act. It is Senate bill 185, as part of the five 
veteran bills that went to the floor on April 26, 2023, and 
unfortunately failed. But it would create $5 million of 
relending program that would allow Native CDFIs who intimately 
understand Native communities and the mortgage lending process 
on Tribal trust properties to obtain a loan through the Native 
American Direct Loan Program at 1 percent interest and allow 
veterans to use the program to refinance non-VA mortgages so 
that Native veterans have the same opportunity as non-Native 
veterans to use their VA benefits to refinance existing 
mortgage loans. So that one would be extremely important to 
pass.
    Senator Lummis. Thank you, witnesses.
    Chair Smith. Thank you very much.
    We are now going to turn to Senator Cortez Masto, from 
Nevada, who is asking her questions remotely.
    Senator Cortez Masto. Thank you, Madam Chair. Thanks to the 
Ranking Member as well.
    It has been a great discussion and I could not agree more 
with my colleagues, and the need to pass NAHASDA and so many 
other essential housing bills that we can to support Tribal 
housing.
    Let me ask a question that has not been asked yet, around 
manufactured homes, because I know there is a lot of support in 
Nevada, and really across the country, where I see a third of 
new homes on Tribal lands are manufactured homes. And Ms. Fish, 
let me ask you this question. One, why is there that popularity 
in Tribal homes? Are there financing issues associated with 
these Tribal homes, and are there programs, including CDFI 
funds, that help home buyers finance a manufactured home?
    So maybe, Ms. Fish, let me start with you.
    Ms. Fish. I want to respond and give you an example of the 
Rosebud Sioux Tribe with the manufacturing of homes. So in the 
'60s there was a Tribal housing program that created 
transitional housing for the Rosebud Sioux Tribe Tribal 
citizens. They were living in downtrodden circumstances and 
living in shacks and tents. So they were transitioned into this 
temporary housing.
    Then, in the late '60s, you had something called Sioux 400, 
which built 400, 2-bedroom houses that now have three to four 
families living in them. In the '70s and '80s, there were 
approximately 1,200 or 1,160 homes created, and that is the 
stock of housing that the Rosebud Sioux Tribe now uses in their 
formulated Indian Housing Block Grant. They have since 
purchased, to your point, a housing plant. They purchased that 
12 years ago, and now plan to use ARPA funds to supplement the 
manufacturing of 100 new homes in the next 2 years. In addition 
to that, they used ARPA funds to furnish kitchens and develop 
innovative kitchen designs that folks would be able to have 
shared spaces that would accommodate eating at a table, and so 
on and so forth.
    I do not know the details around the CDFI network and their 
support of manufactured homes, but I do know that they----
    Senator Cortez Masto. ----single-family construction homes. 
Is that right?
    Ms. Fish. Yes.
    Senator Cortez Masto. OK. I would be curious, because I 
know this is an option that should be considered. But I also 
understand, and I am grateful that the ARPA funds and other 
appropriations that we have identified have helped. But I am 
curious how the financing comes together, if CDFI can be a part 
of it.
    And then let me just put on your radar, there is a new HUD 
program called Preservation and Reinvestment Initiative for 
Community Enhancement Grant Program, called PRICE. It was 
included in the Appropriations Bill, and it provided $225 
million in grants to assist manufactured home communities 
already existing, to repair their sewer and water, to fix the 
roads, to support flood mitigation. I am curious if the Tribes 
have taken advantage of those funds or are even aware of those 
funds that are eligible. And they are only there for a short 
period of time.
    So those are two questions. Let me throw those out there. 
And maybe, Mr. Upton, CDFI. Is there an option for that 
financing to come to help manufactured homes?
    Mr. Upton. You know, again, the challenge with Native CDFIs 
is it is underfunded for the last 10 to 15 years, especially 
for the appropriations under the NACA program. Currently, 
again, it is about $23 to $23 million, and we have the 
appropriations to increase to $50 million. And by being able to 
leverage private dollars with that, that would make a 
significant impact.
    Manufactured housing is a product that Native CDFIs would 
finance, but 9 times out of 10, before I came on this trip I 
reached out to probably 20 to 30 Native CDFIs, and the No. 1 
challenge was the lack of capital. We do not have the capital. 
And I know in the HUD Section 184 it was, well, they are 
wanting to make CDFIs lenders. Well, we cannot be lenders 
without the appropriate capital. You know, you are inviting us 
to a game that we cannot play.
    Senator Cortez Masto. So has the Federal Home Loan Bank 
system, in your area, are they providing advancements or 
support for housing, particularly in Tribal communities? I am 
curious.
    Mr. Upton. You know, in our particular area we are 
multistate. I am not an expert on what they provide, but I do 
know it is very limited when it comes to Native CDFIs.
    Senator Cortez Masto. Yeah, and that is a problem. And 
listen, we see it. I know my time is running out and I 
appreciate it, Madam Chairwoman. But we have seen the benefits 
through the CARES Act, through the American Rescue Plan, 
through ARPA, where we actually carve out and focus on set-
asides for our Tribal communities, and I think it is so 
important we continue to do so.
    But we also talked if there are other funding 
opportunities, whether it is the Home Loan Banks--there are 
Home Loan Banks that their mission is to be in our communities, 
looking at affordable housing, and housing in general, that 
they also are focusing on our Tribal communities.
    And then the only other final question I have is to the 
extent that you are not aware of that new HUD program, the 
PRICE program, that helps existing manufactured homes, I hope 
you take advantage of those opportunities as well.
    So thank you. I am going to stop there. Thank you so much.
    Chair Smith. Thank you, Senator Cortez Masto.
    We have Senator Sinema, who is also joining us remotely. 
Senator Sinema.
    Senator Sinema. Thank you, Madam Chair, and thank you to 
our witnesses for being here today.
    Twenty-two federally recognized Tribes call Arizona home, 
and I am proud to work with them closely to be a voice and 
advocate for Indian Country. It is important to me that Tribes 
receive the respect, recognition, and resources owed to them by 
the Federal Government.
    There is a housing shortage throughout Arizona, but the 
issues that face Tribal communities in Arizona are unique, 
complex, and deserve additional attention and focus.
    So Ms. Fish, thank you for being here. I have heard from 
Native housing authorities in Arizona about the growing problem 
of fentanyl and methamphetamine use in their communities, which 
is a trend we are also seeing in non-Native communities. My 
understanding is that the cost of remediating housing units 
where drug use has occurred is quite expensive, particularly 
for smaller Tribes.
    Is this a problem in other parts of the country, and more 
generally, what can you share with the Subcommittee today on 
this topic?
    Ms. Fish. Thank you for the question, Senator. The short 
answer is yes. This is a very common problem in Indian Country 
or in Tribal communities, and in fact, we spend most of our 
Indian Housing Block Grant funds in remediating, maintaining, 
and rehabbing homes than we do in any type of development or 
new construction of homes. Yes.
    Senator Sinema. Thank you. I have also heard that this is a 
growing problem, and the Tribes are using their Indian Housing 
Block Grant allocations to pay for remediation costs. One Tribe 
in Arizona told me that they are spending around $1 million per 
year on remediation activities associated with meth and 
fentanyl. This worries me for many reasons, but especially 
because it means that these dollars are not used toward 
expanding affordable housing.
    So Ms. Fish, is this scenario I just described in Arizona 
an outlier, or is this happening all over?
    Ms. Fish. This is happening all over.
    Senator Sinema. Thank you. I am working to provide some 
more attention and funding on this issue, to help Tribal 
housing authorities address remediation issues and expand 
access to affordable housing in Indian Country.
    Switching gears now, I want to touch on the HEARTH Act and 
Indian home ownership briefly. As you all know, the HEARTH Act 
allows for leasing of Tribal trust lands, in accordance with 
Tribal law, without requiring the Interior Department to 
approve each transaction. I would like to hear briefly from 
each of our witnesses today on why more Tribes have not 
utilized this law, and are there barriers that we should be 
aware of that we can assist with?
    And I am also going to submit this question for the record 
so that each of you have more opportunity to provide expansive 
responses.
    So if you would, in the time that we have together, be 
somewhat brief.
    Mr. Goggles. Thank you. This is Patrick Goggles from the 
State of Wyoming. John Barrasso sponsored that legislation, 
consulting myself on the use of it. On the Wind River Indian 
Reservation we have two Tribes, the Northern Arapaho and the 
Eastern Shoshone, and getting the two Tribes to agree on a set 
of regulations that govern each Tribe commonly has been 
difficult to come by.
    The HEARTH Act allows Tribes, or Tribe, in some cases, 
whether it is a single Tribe on the reservation, to promulgate 
regulations under the HEARTH Act for leasing. They still have 
to have the Bureau of Indian Affairs' approval to implement 
those regulations in terms of leasing of individual homesites 
or subdivision in their area, which includes rights of ways, 
easements, road easements, and utility rights of way.
    In my case, I use a utility license agreement with the 
Northern Arapaho Tribe in place of the HEARTH Act right now to 
get that job done and streamline that process.
    Mr. Upton. Senator, I always refer to what we do on a daily 
basis as a big jigsaw puzzle. Each community has their own set 
of pieces, and just like you mentioned there, not utilizing the 
HEARTH program and utilizing another program that fits, that is 
really what we do on a daily basis, is we look for what fits 
for our community and what is going to be streamlined and 
probably the quickest and the fastest, and what we are most 
comfortable with.
    And Native CDFIs, whether it comes to fund, you know, not 
every Native CDFIs probably can use the 502, but they might be 
able to use other programs. So we are constantly looking for 
different pieces to make it work in our communities. Each 
community is a little bit different. Last week I spent a week 
up in South Dakota with the South Dakota Native Home Ownership 
Coalition. There were about eight Native CDFIs in the room, and 
they introduced the new Freddie Mac program, and only maybe two 
of them said it could work for them. I said, but that is a 
positive thing because that piece fits your puzzle.
    Ms. Fish. Thank you for the question. The short answer is 
that it is difficult and very challenging for Tribes. So the 
Tribes work with the BIA's Realty Office to be able to exercise 
the HEARTH Act, and that Realty Office is challenged with 
getting Tribes ready to take over leasing, and they need the 
local capacity to take over. So really it is a capacity issue 
within Tribes themselves and also within the BIA. So that 
component of the process is so overwhelming that Tribes are 
discouraged from being able to exercise it.
    Chair Smith. Thank you, Senator Sinema.
    Senator Sinema. Thank you, Chairwoman.
    Chair Smith. Thank you very much.
    So, let's see. I have a couple of questions I would like to 
follow up on. Mr. Upton, let me start with you. You, in your 
testimony, you refer to these proposed rule changes at the 
Department of Treasury. You and I have spoken about this 
before, I think, when I came to visit the Native CDFI 
Coalition.
    Could you just identify, with a little bit more 
specificity, what you see as some of the challenges--or let me 
put it this way, how those proposed rules would negatively 
affect how Native CDFIs operate.
    Mr. Upton. Probably the top of mind for me would be when it 
comes to the prohibiting balloon payments, doing an 
amortization for maybe 30 years and ballooning it after 10 to 
15 years. I mean, that is a daily practice in the banking 
industry. And then also prohibiting interest-only loans. We 
deal with so many contractors, and that is how they operate. 
And we do not let our loans go evergreen, like on our interest-
only loans. There are very skilled contractors that we use. 
They do a job, they draw down on their line of credit, and when 
the job is over they pay it off and they roll onto the next 
job. And that would really prohibit a lot of Native CDFIs by 
being creative in finding new products to get Native 
homeowners.
    And one more point I just want to draw. We had a loan back 
in 2013, that we did, when we did a balloon payment, 30 years, 
15-year balloon on it. And we bought it for $90,000, and she 
would not have been able to get into that loan. She could not 
have afforded a 15-year mortgage, but we were able to go 30. We 
bought it for $90,000, and just recently sold it for about 
$200,000. So that was a significant increase.
    Chair Smith. You used the analogy of a puzzle and how it is 
constantly trying to figure out how to put these puzzles 
together. And I think one of the things we have learned is that 
Native CDFIs are particularly skilled at understanding how to 
put those pieces of the puzzle together for Native people on 
Tribal land. And so I think I will continue to lift up these 
concerns with the Treasury rules. I think that they are 
important to keep in mind.
    Mr. Upton. Thank you.
    Chair Smith. Ms. Morehead, you, in your testimony, 
identified five, I think, or so, important issues for us to 
consider, and you focused on one of them. I want to focus in on 
another of them, which has to do with the issue of how 
continuum of care work.
    You came to my office. I think we had a discussion about 
this a couple of years ago, and we talked about how Tribes were 
not eligible to receive funding to respond to homelessness 
under the Continuum of Care program. And so we worked together 
with Senator Murkowski to pass the Tribal Access to Homeless 
Assistance Act. It is a mouthful, but it essentially allowed 
Tribes to become able to participate in this.
    But I think you and I both know there have been some issues 
with implementation here. Could you just talk a bit about why 
it was important to make this change to allow Tribes to 
participate in Continuum of Care, and what we need to do so 
that this is actually working well for Tribes?
    Ms. Moreland. Thank you for the question. One of the issues 
that we are finding that is a struggle to implement is the pro 
rata on how they decide how much funding you get. Tribes 
typically are checkerboard--at least they are here in 
Minnesota--which means that their land is not touching each 
other. And so the formula kind of gets messed up, and we would 
not receive very much funding, enough funding to actually have 
a project. So we can apply through our Continuum of Care, but 
that is not something that we want to do. We want to be able to 
receive that funding directly.
    With the formula, we would like for the formula to be 
distributed kind of like they are in the territories. When 
Federal dollars go to like State agencies, it rarely trickles 
down to Indian communities when it comes through the State 
government. And so by providing the Tribes greater access to 
the money by receiving it directly, that will help projects 
that can be meaningful, and it can help address the root cause 
to homelessness.
    Chair Smith. Thank you.
    Ms. Moreland. One other quick thing that goes to the thing 
about HUD's definition of homelessness. In Minnesota, we have 
really cold winters, and families, like the other partners have 
said, have a lot of overcrowding in our houses. And then by 
having the overcrowding then that makes the houses become 
substandard. And so if the definition was changed it would 
allow access to help the individuals. When a person is homeless 
and then they go for the winter and they stay with a relative, 
just for a short period of time, then they become un-homeless 
because they are housed, even though technically they are 
really still homeless. They are just staying somewhere so they 
can stay alive.
    And so it would be something to consider changing that 
definition of what homelessness is for HUD. So many of the 
times here in Minnesota, I do not know if people are familiar 
about fish shacks or fish houses. It is a tiny, little house 
and it sits on a lake. Usually there is a propane heater and 
maybe a wood stove and a bed, and a hole in the floor so you 
can fish. And quite frequently we have people who are living in 
these very small fish houses because they do not have anywhere 
else to go. And if they are living in a fish house, then that 
makes them housed, and so then they do not fit in the 
definition of being homeless.
    Chair Smith. Thank you. That is very helpful. I think 
Senator Lummis and I are both familiar with fish houses.
    I am past my time, but I am going to ask one last question, 
and then unless Senator Lummis has other questions I will be 
ready to close this up. But I want to just ask a question of 
Mr. Goggles. Everybody, all of our members of the panel, have 
talked about how important it is to reauthorize NAHASDA, which 
I certainly agree with. I was wondering, Mr. Goggles, if you 
could give us just one or two very specific examples about how 
a reauthorized NAHASDA would help you and when it is not 
reauthorized how that hinders you in your work.
    Mr. Goggles. Thank you, Senator, for the question. First of 
all, in the past we have lived off a continuing resolution. 
Under a continuing resolution you are allocated funds that are 
only good for that year, so you do not know what you are going 
to get the following fiscal year.
    Chair Smith. Right. You cannot plan.
    Mr. Goggles. In terms of planning, yes. Just like any other 
municipality in the country, if you have a known stream of 
revenue coming your way you can plan for those projects, but 
you can also plan to fund your employees as well, them not 
knowing if they are going to get a raise or not, and me not 
being able to give it makes me the bad guy. So that would be 
one instance of the reauthorization of NAHASDA.
    The other is that what we are asking for in the 
reauthorization is Section 8, the Housing Choice Voucher. Under 
the Housing Choice Voucher, most of America receives home 
assistance with the Housing Choice Voucher. We, in Indian 
Country, are not able to use Section 8 because of the acute 
shortage on our reservation. We would be able to use Section 8 
in the local municipalities to help ease the overcrowding or 
acute lack of housing in our area. That would be very helpful 
to us.
    Those are two short examples, Senator. Thank you.
    Chair Smith. Thank you very much.
    Well, I want to thank all of our witnesses today for being 
here and for providing excellent testimony. Before we adjourn I 
would like to enter into the record a report on Native 
homelessness in Minnesota and a report on homelessness 
mortality. Is there any objection to that? Hearing none, that 
is so ordered.
    Chair Smith. For Senators who wish to submit questions for 
the record, those questions are due 1 week from today, which 
will be Tuesday, June 20th. For our witnesses, you will have 45 
days to respond to any questions for the record.
    Thank you again for taking the time to participate in this 
hearing. Thank you to Senator Lummis. And with that this 
hearing is adjourned.
    [Whereupon, at 3:46 p.m., the hearing was adjourned.]
    [Prepared statements, responses to written questions, and 
additional material supplied for the record follow:]
                 PREPARED STATEMENT OF CHAIR TINA SMITH
    Good afternoon. The Subcommittee on Housing, Transportation, and 
Community Development will come to order.
    Thank you to our witnesses for participating today, and thank you 
to Senator Lummis and her team for working with us on this bipartisan 
hearing.
    When Senator Lummis and I first met to discuss our goals for this 
Subcommittee this Congress, Native housing emerged as a top priority 
for both of us.
    Finding affordable housing is a challenge for every community right 
now, but in Native and Tribal communities, barriers to housing and home 
ownership are particularly challenging.
    And we know, without safe, decent place to call home, nothing in 
your life works--not your work, your family, your health, not anything.
    Native people experience this reality in very tangible and specific 
ways--as Tribal leaders in Minnesota and around the country tell me all 
the time.
    Minnesota is home to 11 sovereign Tribal nations, and large 
Indigenous populations in the Twin Cities, Duluth, and Bemidji.
    Housing challenges in Native communities stretch across the entire 
housing continuum, from the lack of emergency shelter to a shortage of 
home ownership opportunities on Tribal lands. People struggle to get 
mortgages, appraisals, and title insurance. If you own a home, keeping 
it in good repair can be difficult because of a shortage of contractors 
and skilled trades-people. Tribal communities are often rural and 
remote, which adds to the costs of infrastructure like water and sewer.
    These issues are common in all rural communities, but they are 
exacerbated on Tribal land.
    Lease land and trust land each come with their own challenges. 
Mortgage lending on trust land can mean months or years of 
administrative delays working through the BIA, and many lenders won't 
do business on trust lands at all. Mortgages on lease land can also 
face lengthy administrative delays. Sen. Rounds and I partnered on a 
bill to take the first step on fixing these problems 3 years ago, and 
earlier this year, Senators Rounds, Thune, Tester, and I introduced a 
bill to take the next step to addressing these delays.
    In addition, much of the housing stock on Tribal land is 
substandard and needs significant repair. Homes lack full plumbing, 
complete kitchens, and sufficient heating. According to a HUD study, 
housing in Tribal areas is about six times more likely to have heating 
or plumbing deficiencies in comparison to the rest of the country. 
Repairs and maintenance are expensive, and so many Tribes end up 
spending scarce Federal housing dollars maintaining existing housing 
up, rather than building more units to meet the demand for more 
housing. The result is unsafe homes that sit vacant and boarded up, 
even as the demand for housing is increasing.
    Even with recent increases, inflation-adjusted funding for the 
Indian Housing Block Grant is well below where it was 25 years ago--and 
well below what I believe is needed to meet the trust and treaty 
obligations of the Federal Government for housing in Native 
communities.
    Housing shortages and homelessness are experienced on Tribal land 
when families crowd into homes not nearly big enough for all the 
people. This is sometimes called ``doubling up,'' which suggests a 
relative sleeping on a couch or sharing a bedroom. In practice, 
overcrowding is much more intense, with reports of fifteen or even 
twenty people sharing a two-bedroom home. Native communities have 
strong cultural traditions of not letting relatives go without a place 
to stay when you have a house to share. In cold winter climates like 
Minnesota, and Wyoming, sleeping outside can be deadly.
    In May 2021, in my first hearing as chair, this Subcommittee held a 
hearing on Native housing issues, and we heard about the need for more 
supportive housing that combines shelter with culturally specific 
programming to support Native people experiencing homelessness. In my 
home State of Minnesota, Native Americans account for 13 percent of 
people experiencing homeless despite being only about one percent of 
the State's overall population. Without culturally specific programming 
and trauma-informed systems, Native people experiencing homelessness 
struggle to access services and find stable housing.
    We also heard about the importance of reauthorizing of the Native 
American Housing Assistance and Self-Determination Act, or NAHASDA. 
That was last updated in 2014, and it's far past time to pass that 
important, bipartisan legislation that will cut red tape for housing 
development in Native communities, better uphold our promises to Native 
veterans, and put a stop to drug use and violent crime. I'm grateful to 
Senator Schatz and Senator Murkowski for leading this effort in the 
last Congress, and I look forward to working with them to finally get 
this done.
    I look forward to hearing from our witnesses today about what we 
are doing that is working, what's not working, what needs reform, and 
what needs more support. These are issues of bipartisan interest, and 
places where we've demonstrated the capacity to work together. I look 
forward to building on that shared sense of purpose to make progress on 
these important issues for Native communities.
    I'll now turn to Senator Lummis for her opening statement.
                                 ______
                                 
              PREPARED STATEMENT OF SENATOR CYNTHIA LUMMIS
    Thank you, Madame Chairwoman. And thank you to our witnesses for 
joining us today.
    I want to start by welcoming Mr. Patrick Goggles. Mr. Goggles 
brings vast knowledge and experience working on Tribal housing.
    His resume is impressive, currently serving as the Executive 
Director of the Northern Arapaho Tribal Housing Authority. Mr. Goggles 
formerly served in the Wyoming State Legislature and on the Northern 
Arapaho Business Council.
    Thank you to the rest of the witnesses. The expertise on this panel 
will certainly provide for a robust conversation on an issue that is so 
critical to Tribal nations across the country.
    In my State of Wyoming, we have two federally recognized Tribes, 
the Northern Arapaho and Eastern Shoshone. Both Tribes share the Wind 
River Reservation. The Wind River Reservation is the seventh-largest 
American Indian reservation in size and fifth largest in population.
    Lack of safe, affordable, and available housing impacts communities 
across Wyoming, but especially on the Wind River Reservation. The 
housing gap has widened, as the demand for housing is outpacing new 
construction.
    In many cases, multigenerational families are overcrowded in homes. 
These homes often have serious plumbing and electrical problems and are 
in dire need of repair.
    Congress has provided funding for Native American housing programs 
for several decades.
    Tribes and tribally designated housing entities use the funding for 
a range of affordable housing activities to benefit low-income Tribal 
households. This includes developing new housing for rental or home 
ownership, maintaining and operating existing housing units, building 
infrastructure, and offering housing-related services.
    I look forward to hearing from the panel of witnesses about the 
challenges they have encountered when working with Federal agencies and 
ways these programs can be improved to better serve their communities.
    Additionally, I am concerned about the barriers to home ownership 
on Tribal lands. Home ownership is shown to benefit and stabilize 
communities, but there are many factors making this more difficult for 
Native people.
    On trust lands, the Bureau of Indian Affairs must process and 
certify mortgages issued by Federal agencies and lenders. In some 
cases, the BIA has taken months to process mortgages.
    That is why I have cosponsored the Tribal Trust Land Homeownership 
Act with Chair Smith, to create deadlines that BIA must meet for 
processing title documents.
    This leads me to recognize the work of Native Community Development 
Financial Institutions, which serve as a vehicle for economic growth in 
communities that have often faced barriers to accessing capital and 
financial services.
    I, along with several Members of this Subcommittee, are members of 
the Senate Community Development Finance Caucus. The Caucus is a 
platform to address the needs of CDFIs so that they have the resources 
to serve their communities. I believe CDFIs are a wise investment to 
multiply our Federal dollars for maximum impact.
    In closing, our witnesses today provide unique perspectives on the 
state of Native American housing.
    I look forward to hearing their testimony and discussing ways to 
ensure Tribal housing needs are met.
                                 ______
                                 
                   PREPARED STATEMENT OF CHELSEA FISH
      Executive Director, National American Indian Housing Council
                             June 13, 2023
    Good afternoon. My name is Chelsea Fish, and I am the Executive 
Director of the National American Indian Housing Council. I am a 
citizen of the Seminole Nation. I want to thank Chairwoman Smith, Vice 
Chair Lummis, and all Members serving on this Subcommittee for 
acknowledging Native American housing as a pressing issue and having 
this hearing today. This is an opportunity to recognize and understand 
that Tribal housing issues and the reauthorization of the Native 
American Housing Assistance and Self-Determination Act (NAHASDA) are 
important priorities for Tribes, their members, and for this 118th 
Congress. I also want to thank this Committee, as stewards of 
Government and ally of Tribal nations, for continuing to ensure the 
United States is fulfilling its trust and treaty obligations towards 
Indian Country with respect to providing safe, affordable housing 
opportunities in Tribal communities and to Native people anywhere in 
the country.
Background on the National American Indian Housing Council
    The National American Indian Housing Council (NAIHC) was created by 
Tribal housing programs in 1974 and for nearly five decades has 
provided invaluable Training and Technical Assistance (T&TA) to all 
Tribes and Tribal housing entities; provided information to Congress 
regarding the issues and challenges that Tribes face in their housing, 
infrastructure, and community development efforts; and worked with key 
Federal agencies to ensure their programs' effectiveness in Native 
communities. Overall, NAIHC's primary mission is to promote and support 
American Indians, Alaska Natives, and Native Hawaiians in their self-
determined goal to provide culturally relevant and quality affordable 
housing for Native people.
    NAIHC is a membership organization comprised of 293 members 
representing 493 \1\ Tribes and Tribal housing organizations. NAIHC's 
membership includes Tribes and tribally designated. There are 574 
federally recognized Indian Tribes and Alaska Native villages in the 
United States, all of which are eligible for membership in NAIHC. Other 
NAIHC members include State-recognized Tribes eligible for housing, 
housing entities across the United States, including Alaska and 
Hawai`i. NAIHC members are constituents of every Member of this 
Committee, either directly through Tribes located in your States, or 
generally through the United States' Government-to-Government 
relationship with all Tribes within the United States. NAIHC represents 
our members' unified interests and are deeply appreciative of your work 
to improve the lives of Indigenous Peoples throughout the Country.
---------------------------------------------------------------------------
     \1\ There are 574 federally recognized Indian Tribes and Alaska 
Native villages in the United States, all of which are eligible for 
membership in NAIHC. Other NAIHC members include State-recognized 
Tribes eligible for assistance under the 1937 Housing Act and that were 
subsequently provided funding pursuant to the Native American Housing 
Assistance and Self-Determination Act of 1996, and the Department of 
Hawaiian Home Lands, the State agency that administers the Native 
Hawaiian Housing Block Grant program.
---------------------------------------------------------------------------
Profile of Indian Country
    There are 574 federally recognized Indian Tribes in the United 
States. Despite progress over the last few decades, many Tribal 
communities continue to suffer from some of the highest unemployment 
and poverty rates in the United States. Historically, Native Americans 
in the United States have also experienced higher rates of substandard 
housing and overcrowded homes than other demographics. The U.S. Census 
Bureau reported in the 2019 American Community Survey data that 
American Indians and Alaska Natives were almost twice as likely to live 
in poverty as the rest of the population--23.0 percent compared with 
12.3 percent. The median income for an American Indian Alaska Native 
household is 30 percent less than the national average ($45,476 versus 
$65,712).
    In addition, overcrowding, substandard housing, and homelessness 
are far more common in Native American communities. In January 2017, 
the Department of Housing and Urban Development (HUD) published an 
updated housing needs assessment for Tribal communities. According to 
the assessment, 5.6 percent of homes on Native American lands lacked 
complete plumbing and 6.6 percent lacked complete kitchens. These are 
nearly four times than the national average, which saw rates of 1.3 
percent and 1.7 percent, respectively. The assessment also found that 
12 percent of Tribal homes lacked sufficient heating.
    The assessment highlighted the issue of overcrowded homes in Indian 
Country, finding that 15.9 percent of Tribal homes were overcrowded, 
compared to only 2.2 percent of homes nationally. The assessment 
concluded that to alleviate the substandard and overcrowded homes in 
Indian Country, 68,000 new units need to be built.
    In 2018, the United States Commission on Civil Rights updated its 
``Broken Promises'' report first released in 2003, and found that 
housing conditions had deteriorated, with the number of overcrowded 
households or households with inadequate plumbing growing by 21 
percent, and the number of families facing severe housing costs growing 
by 55 percent.
State of Housing Development in Indian Country
    Since the Native American Housing Assistance and Self-Determination 
Act (NAHASDA) was enacted in 1996, Tribes have built over 37,000 new 
units according to HUD. Between FY 2007 and 2010, Tribes were averaging 
over 2,400 new unit construction, but it dropped significantly in 
recent years to only 2,000 new units between 2011 and 2014. HUD 
estimates less than 1,000 new units will be built in future years as 
Tribes focus on maintaining existing housing stock over new 
development.
    The problem is evident. Indian Country needs to build more housing 
units to meet its persistent and growing need which is largely due to 
the lack funding and insufficient resources. The solution is simple, 
and it starts with Congress fulfilling its trust obligation but instead 
Congress has kept funding for the Indian Housing Block Grant (IHBG) 
(established by NAHASDA) at stagnant levels for more than 20 years. 
Lawmakers have been decreasing the amounts of housing assistance to 
Tribal communities each year by leveling funding for NAHASDA programs 
while inflation has grown over the last two decades. In that time, 
inflation has diminished the purchasing power of those dollars and new 
unit construction has drastically declined as Tribes must shift their 
efforts to rehabilitating existing units.
    In FY20, Congressional IHBG formula funding was $650 million which 
provided roughly two-thirds the purchasing power that Tribes received 
at the inception of NAHASDA in FY98 ($600 million in FY 1998). In IHBG 
funding tracking since NAHASDA's passage has revealed that annual 
appropriations compared to inflation-adjusted levels have caused Tribal 
housing programs to lose $3.4 billion since FY 1998. Recent funding 
additions to NAHASDA programs, such as the competitive IHBG funding, 
are welcome and encouraging, but alone are insufficient to make up for 
the loss of funding over time.
    Since 1997, Tribes have used IHBG funding to create almost 41,500 
affordable housing units and restored an additional 105,000 units. 
Autonomy over IHBG funds allows Tribes to leverage private investments 
alongside Federal dollars to create more affordable housing for Tribal 
citizens and families. However, higher costs of construction and land 
acquisition remain the largest hurdle for Tribes and increased 
development costs and loss of purchasing power has motivated many 
Tribes to shift its priorities away from constructing new units and 
focus instead on rehabilitating and maintaining existing housing units.
    According to HUD's Housing Needs Study, an estimated 68,000 units 
are needed to address Indian Country's overcrowded and substandard 
housing conditions, though with new housing construction or acquisition 
fairly stagnant at around 1,000 new units per year in Tribal 
communities, it is highly likely that the need has only increased. It 
is the responsibility of this Committee and Congress to uphold treaty 
and trust obligations that includes funding and resources for housing 
opportunities across Indian Country.
    To put the funding into perspective, the FY 2021 IHBG funding 
levels provide 379 Tribes/grantees with less than $500,000 to operate 
their housing program, which includes managing their existing housing 
units, providing low-income rental assistance, other housing services 
AND developing new housing units. Further, 175 of the IHBG grantees 
received less than $100,000 a year to carry out these activities. 
Tribes simply cannot build more homes with the inadequate funding from 
IHBG and ICDBG alone.
    Geographic challenges continue to impede housing efforts on Tribal 
lands. Isolated areas often lack a developed housing and lending 
market, leaving them almost entirely dependent on Federal funding. 
Building costs in rural areas surge as a result of the need to 
transport materials, as well as their need to accommodate workers. Many 
reservations are not in close proximity to power, water, roads, and 
other services which not only adds to their overall building costs, but 
also discourages outside funding and development interests.
    NAHASDA was passed in 1996 to streamline Tribes' access to housing 
programs dollars by consolidating multiple programs into a single block 
grant. However, with the lack of increased appropriations to NAHASDA 
programs, Tribes are again piecing their housing programs together by 
finding resources from different programs across the Federal 
Government. In a 2018 survey conducted by NAIHC, only 17 percent of our 
members who responded indicated they planned to utilize non-HUD funds 
in their programs. So, while there are various resources available to 
Tribes, it takes a lot of work to gather these pieces and leverage it 
with multiple funding opportunities, while also operating the day-to-
day housing program and caring about the community.
    The Laguna Housing Development and Management Enterprise (LHDME) 
has established one of the most effective housing authorities in Indian 
Country by leveraging different sources of funding and utilizing 
programs such as Low-Income Housing Tax Credits (LIHTC) to build homes 
for their members. The ``Laguna #3'' Housing Project is currently 
underway and will provide housing for 20 families by fall 2024.
Elevating the State of Native American Housing
    The success of Tribal housing programs was evident early on in 
NAHASDA, when Tribes were producing new housing units at rates similar 
to or higher than HUD prior to NAHASDA's enactment. The success of 
NAHASDA and Tribal housing programs stems from NAHASDA's self-
determination roots that allow Tribes themselves to develop their own 
Indian Housing Plan for the communities. Tribe tailor these plans to 
their housing needs and priorities and its able provide the flexibility 
Tribes need to carry out their programs. For example, a Tribe can 
prioritize senior assisted housing, rental assistance, or home 
ownership by incorporating those services in their Indian Housing Plan. 
Tribes know best how to take care of their own citizens which is the 
main reason lawmakers should focus their efforts to empower Tribes by 
reauthorizing NAHASDA.
    Reauthorization of NAHASDA means increased resources: NAHASDA was 
last reauthorized in 2008 and expired in 2013. While Congress has 
continued to provide funding to NAHASDA programs, and even increased 
some program funding in the last few years, there are some programmatic 
changes that recent reauthorization bills contain that could streamline 
various aspects of HUD and IHBG programs. For example, one long-
standing fix would address duplicative environmental reviews, which 
Tribes often face when they leverage multiple Federal funding sources. 
Recent reauthorization bills have also contained provisions to create 
an Assistant Secretary for Indian Housing to provide enhanced attention 
at the senior leadership of HUD.
    The Senate reauthorization bills from the 117th Congress also has 
several important leveraging provisions that allow Tribal housing 
projects to utilize the Indian Health Service's Sanitation funds, 
provide access to HUD Housing Counseling grants, and encourage 
leveraging other Federal funds by relaxing match requirements. Other 
smaller fixes include simplifying Total Development Cost allowances, 
clarifying the rent-to-ownership process and allowing Tribes to assist 
with student housing. One provision related to promoting Tribal 
sovereignty and self-determination, a key component of NAHASDA, would 
allow Tribes to set minimum rent rates for its housing units, and NAIHC 
supports its continued inclusion in NAHASDA reauthorization efforts.
    NAIHC recognizes the progress that has been made on getting NAHASDA 
reauthorization enacted, and particularly would like to thank the Chair 
and Vice Chair of the Senate Committee on Indian Affairs for their 
efforts.
Example: Housing Situation of Nulato, Alaska
    Nulato, Alaska, is located on the west bank of the Yukon River 310 
air miles west of Fairbanks. It lies in the Nulato Hills, across the 
river from the Innoko National Wildlife Refuge. There are no roads that 
lead in or out of the community. The Population of Nulato, according to 
the 2020 US Census, is 239 people. The price of a gallon of unleaded 
gasoline is $7.20, heating oil is $6.80 and shipping from Fairbanks via 
airline is $1.80 per pound of cargo, groceries or otherwise. A round 
trip air ticket to Fairbanks, the closest urban community, is $500 per 
person. $2500 for a family of 5.
    Nulato has 4 homeless elders, 12 homeless young adults and a 
housing need of 20 homes. Much of the adult community live with their 
parents or relatives. Most homes were built in the early 80s and are up 
to 70's code. Windows are not Egress as they either do not open or 
cannot fit an adult in case of emergency. Electrical systems are 
corroded or also out of code. There are no electricians, nor plumbers 
who live in Nulato so contracted rehabilitation is out of the question.
    Current housing construction of a single-family home is estimated 
to cost $670,000. The current income level for NAHASDA for the Nulato 
Tribal Council is $200,101. At which rate 29 percent of a home can be 
built in one year's time. That is not including any cost of real 
estate. That means it would take 3.3 years of program income in order 
to complete one home.
Example: Comanche Nation, OK
    On trend with most Tribes and Tribal housing programs that are 
shifting focus from housing development to housing rehab, in 2022, the 
Comanche Nation Housing Authority (CNHA) expended its IHBG funds mainly 
on modernizing and rehabilitating existing homes for Tribal citizens 
living within the five-county service area in Oklahoma.


    HUD Office of Native American Programs. Tribes across Indian 
Country rely heavily on assistance from HUD Office of Native American 
Program (ONAP) Headquarters and regional offices to help clarify 
NAHASDA programming and funding eligible activities. Tribes utilize and 
benefit from many HUD housing programs and resources, some general, 
some Tribe-specific, including the Indian Community Development Block 
Grant (ICDBG), the HUD 184 Native American Loan Guarantee Program, 
NAHASDA Title VI Loan Guarantee Program, the formula funded and 
competitive IHBG programs, and Native Hawaiian programs. Other HUD 
programs have varying levels of eligibility for Tribes. Because Tribes 
depend on funding and services from these programs, it is imperative 
that Congress and Federal partners improve Tribal access on a more 
national scope.
    HUD ONAP has opportunities to strengthen its partnership with 
Tribes and Tribal housing programs with policy flexibilities and fixes. 
The best example is the HUD Housing Counseling program, which Tribes 
are currently ineligible to apply for funds but may soon find 
themselves subject to housing counseling regulations not tailored for 
Tribal communities. Another example is the Continuum of Care program, 
which was addressed by Congress through the inclusion of the Tribal 
Access to Homeless Assistance Act in the FY 2021 Consolidated 
Appropriations Act in which Tribes are now eligible to participate in. 
In addition to HUD, Tribes can find housing resources at the U.S. 
Treasury, such as tax credit programs and the recently created 
Emergency Rental Assistance Program and Homeowner Assistance Funds; the 
U.S. Department of Agriculture and its Rural Housing programs; the 
Veterans Administration and its Native American Direct Loan Program; 
and others.
    Home Ownership. There are many barriers to home ownership in Indian 
Country namely the that Federal trust land cannot be used to secure a 
home loan. Instead, Tribes can issue a leasehold interest to the 
borrower that can be used as collateral. Generally, banks see doing 
business with Tribes and/or Tribal citizens as a risk because if the 
borrower defaults on the loan, the lender cannot seize the land from a 
Tribe to recoup monies. Other socioeconomic determinants like isolation 
and poverty also factor into inequitable lending practices among Native 
American families. The history of subjugation, expropriation, 
assimilation, and the undermining of Tribal self-determination are 
evident in the long standing prejudices and traumas which have 
contributed to systemic issues that continue to disadvantage Native 
Americans and impeded mortgage lending on reservation lands.
    In addition, Native borrowers on average pay approximately 2 
percent more than borrowers off-reservation which can total an 
additional $100,000 over a 30-year mortgage. Investment from lenders is 
often hindered by a lengthy review process that is needed when 
investing in Federal trust land. As a result, approximately 93 percent 
of loans granted through HUD programs have been on fee land. Lack of 
investment from lenders can also be attributed to a disparity in 
professional resources needed to plan and implement larger housing 
developments. However, lawmakers have the ability to strengthen housing 
programs that expand and enhance home ownership opportunities for 
Tribal citizens and veterans.
Example: Salish and Kootenai Housing Authority; Flathead Indian 
        Reservation, MT
    The Salish and Kootenai Housing Authority's (SKHA) Homebuyer 
Readiness Program offers Tribal citizens the tools and resources need 
to become responsible homeowners. SKHA offers downpayment and closing 
cost assistance for Tribal members and sees approximately 155 clients 
annually. Every applicant must complete the Pathways Home curriculum, a 
comprehensive homebuyer education program sponsored by the National 
American Indian Housing Council. SKHA learned that working with local 
banks and lenders builds trust with the borrower. Though not all 
interested clients qualify or get approved, SKHA continues to assist 
with credit repair to prepare them for home ownership.
    HUD Section 184 Loan Guarantee Program: The 184 Loan Guarantee 
program helps a Tribe or Tribal member secure a mortgage for an 
existing or new-construction home by providing a loan guarantee to a 
private sector bank or lending institution. While the program is 
targeted to Tribal communities and nearby service areas, the program 
has struggled to incentivize mortgages on trust lands in Tribal 
communities, where many families reside on land that their families 
have held for generations. Obstacles include a slow and burdensome 
title process involving the Department of the Interior's Bureau of 
Indian Affairs and banks and lenders general preference to work with 
the more familiar property held ``in fee,'' Improvements include 
streamlining the process at the BIA, encouraging more private lenders 
to participate in the program generally and participate through 
mortgages specifically on trust lands.
    VA Native American Direct Loan Program: The Veteran Affairs Native 
American Direct Loan Program (NADLP) provides loans to eligible Native 
American veterans to purchase, construct, or improve homes on certain 
types of land. However, according to a 2022 GAO Study, in FY 2012-2021, 
the VA NADL issued only 89 loans to veterans across the United States, 
91 loans in Hawai`i, and none in Alaska. This represents loans to less 
than 1 percent of the estimated potentially eligible population of 
64,000-70,000 veterans in these areas. The NADL loans don't require 
downpayments or mortgage insurance, and closing costs are limited, 
according to the announcement. The VA has poorly upheld its obligations 
to Native veterans though recently the VA lowed its loan interest rate 
from 6 percent to 3.5 percent for Native veterans. This effort is 
appreciated but is only a start to addressing the housing needs for 
Native veterans who bravely served this country. It is well known that 
Native Americans have served in the United States Armed Forces as 
higher rates than any other demographic, so it is vital that Native 
veterans are provided the support they deserve and have earned through 
their service.
    Further incentivize private investment in Tribal communities: 
Indian Country is almost always last to receive the attention of 
private, commercial banking. The lack of economies of scale in Tribal 
communities, increased development costs, and the complexities of 
Tribal lands and communities (both actual and perceived) simply lead 
private banking to avoid Tribal areas. While there have been national 
tax credit programs or other incentives available for years to spur 
development in underserved areas, the programs have generally been less 
effective for Indian Country. Strengthening incentives for development 
in Indian Country or creating specific set-asides or mandates through 
these programs is needed to ensure that Tribal communities are not left 
further behind.
    Urban Indian Housing. There is little research on the housing 
experiences of American Indian and Alaska Native people in urban areas, 
but the need is evident with the high number of unsheltered or homeless 
Native Americans. The Indian Health Service states that about 70 
percent of AIAN people live in urban areas.
Example: Siletz Tribe of Oregon
    The Siletz Tribe of Oregon and the Native American Youth 
Association (NAYA) partnered to open the Mamook Tokatee ``Making 
Beautiful'', a housing community for artist and American Indians and 
Alaska Natives living in Portland who are experiencing homelessness or 
struggling with addictions. Siletz filled in the financial gaps using 
funding from the Indian Housing Block Grant to set aside 20 units for 
Tribal members which helps alleviate stress on the housing needs for 
American Indians and Alaska Natives living in urban areas. Mamook also 
offers resident and support services and is only one several projects 
that NAYA has partnered with Tribes to support housing services through 
IHBG.
    Make HUD-VASH Permanent and Expand to All Tribes: Currently, only 
26 Tribes have participated in the Tribal HUD-VASH program, which 
provides both housing and supportive services to Tribal veterans and 
their families that are homeless or at-risk of homelessness. HUD-VASH 
is another example of a larger, national housing program that 
originally left Tribal communities out when it was created in 2008. 
Congress expanded the program through a Tribal demonstration project 
beginning in FY 2015. The program has identified obstacles, such as the 
lack of housing stock in Tribal communities to house veterans through 
the program and the need for greater supportive services from the VA to 
Native veterans in Tribal communities. Many of the Tribes participating 
in the pilot have found ways to provide these supportive services 
through various partnerships between the VA and Tribal or IHS 
professionals and Tribes may be more able to secure housing units for 
the program if it was made permanent and Tribes had more certainty for 
future funding of the program.
    Restore Access to Section 8 Vouchers: Prior to NAHASDA, many Tribes 
have been receiving tenant-based vouchers to provide low-income rental 
assistance to members in Tribal communities. With NAHASDA providing the 
single block grant to Tribes, NAHASDA expressly restricted Tribes from 
accessing vouchers moving forward. However, with NAHASDA funds 
remaining stagnant (or decreasing due to inflation), Tribes find it 
difficult to provide the same low-income rental assistance year-to-year 
or to expand that assistance as new housing units come online in their 
communities. Congress routinely adds vouchers to the larger national 
program to keep pace with the need, or to fund existing vouchers 
adequately each year, while Tribal programs have no similar mechanism. 
While the restriction on section 8 vouchers could be removed entirely, 
past NAIHC resolutions have called for the specific restoration of 
vouchers for LIHTC projects in Tribal communities, as the two programs 
work together well in the non-Tribal setting.
Conclusion
    NAIHC thanks the Members of this Subcommittee for holding this 
important hearing and we want to thank all the Members of Congress who 
have introduced and sponsored bills and supported efforts to improve 
housing opportunities in Tribal communities. Tribes have consistently 
shown how far they can stretch their housing dollars to help the most 
members of their community as possible, and NAIHC and Tribal housing 
programs look forward to working with our partners in Congress and 
Federal agencies to continue building safe, affordable housing in our 
communities. NAIHC asks for the full Committee's support to reauthorize 
NAHASDA, increase funding to critical Tribal housing programs, and help 
address the incredible need for housing units and developments across 
Indian Country.
                                 ______
                                 
                 PREPARED STATEMENT OF PATRICK GOGGLES
         Executive Director, Northern Arapaho Housing Authority
                             June 13, 2023
    For the record my name is W. Patrick Goggles, Executive Director of 
Northern Arapaho Tribal Housing. I reside on the Wind River Indian 
Reservation, Wyoming.
    I am also a Region V board member to the National American Indian 
Housing Council, the national organization representing Federally 
recognized Tribes, Tribally Designated Housing Entities and Tribal 
Housing Authorities from Hawai`i, Alaska, and the lower 48 States.
    First and foremost, I would recommend the Committee to consider the 
reauthorization of Native American Housing Assistance and Self-
Determination Act (NAHASDA) of 1996. The reauthorization of the NAHASDA 
would provide Tribes and their housing entities the opportunity to 
plan, develop, and construct affordable housing on Tribal lands. 
NAHASDA has not been reauthorized since 2013, for at least 10 years. 
NAHASDA has been funded by continuing resolutions that provide a yearly 
allocation to Tribal Housing entities and leaves little room to 
effectively plan for affordable housing development, either rental or 
home ownership. NAHASDA provides Tribal recipients with an annual 
allocation; the Indian Housing block grant (IHBG). The block grant 
funds the operation of Tribal housing operations that also provides 
meaningful employment to Tribes. As a side note, the unemployment rate 
on the Wind River Indian Reservation is approximately 35 percent.
    Three years ago, Congress first funded the Competitive Indian 
Housing Block Grant to allow Tribes and their housing entities to apply 
for development funds that were not included in their regular block 
grant. The challenge for Tribes to compete, especially Tribes, without 
gaming revenue is to match or leverage requirement of the Competitive 
Indian Housing Block Grant. Leverage requirements become a significant 
barrier to Tribes and THDEs of all sizes and capacities to access 
additional funds to satisfy the competitive leveraging requirements. I 
urge the Committee to direct HUD ONAP to remove all competitive 
requirements related to the Competitive Indian Housing Block Grant as 
well as the Indian Community Development Block Grant. Removing the 
leveraging requirements will allow more Tribes to compete for these 
important supplemental development funds.
    The challenge of building affordable housing on Tribal lands in the 
total of cost of development; Infrastructure is approximately one-third 
of the total development costs. Current Federal assistance prioritizes 
``construction-ready'' projects. In the regions I represent, Region V 
(Montana, Wyoming, Colorado, and Utah) and Region III (North Dakota, 
South Dakota, Nebraska), many of the Tribes are large land-based Tribes 
supporting rural Native communities that are miles from the basic 
essential services, such as emergency services (fire, ambulance, law 
enforcement).
    I would encourage the Subcommittee to allow Tribal housing programs 
to gain access to the Housing Choice Voucher (HVC) /Section 8 program 
that now comprises the vast majority of housing assistance funds 
provided in the United States. Access to Section 8/HCV would allow 
Tribes to provide housing vouchers to their tax credit and other units 
in the same manner public housing authorities are doing today. Housing 
stock on Indian Reservation is virtually nonexistent. Conditions of 
overcrowding and an acute shortage of safe and stable affordable 
housing units on Tribal lands have existed during my 20 years as the 
Executive Director of Northern Arapaho Tribal Housing.
    Tribes are also working to expand housing opportunities for Tribal 
members with affordable rental units as well as home ownership. Under 
the HUD Section 184 loan guarantee, Tribes and individual Tribal 
members can seek assistance to access lending funds to purchase or 
build a home on Tribal lands. It is my opinion that HUD-ONAP should be 
consulting Tribes when proposing a change to the Section 184 loan 
program. The current changes to the Section 184 program are making it 
increasingly difficult to use the program on Tribal lands which was the 
original intent of the 184 program. HUD has announced that it is 
drafting a handbook to operate the new Section 184 program and Tribes 
should be involved in the drafting as well.
    In regards to Native American Veterans, the HUD-VASH (Veterans 
Supportive Housing) voucher has been implemented for the last few years 
as a demonstration project. I would encourage the Subcommittee to 
consider funding the Tribal VASH on a regional basis to allow for all 
Tribes to participate. Regional VASH voucher pools could be established 
for each ONAP region to allow all TDHEs access to vouchers to service 
Native American veterans.
    In my experience as an Executive Director, over the years, the one 
barrier has been the inability of the Bureau of Indian Affairs (BIA) to 
lease Tribal lands to housing entities or Tribal members in a timely 
manner. I have experience instances of three to four years to finalize 
a master lease for a Tribal subdivision or two to three years for a 
Tribal member to lease a homesite. I would encourage the Subcommittee 
to visit with the Select Committee of Indian Affairs on a congressional 
level to fully understand the scope of their stewardship on Trust and 
allotted Tribal lands.
    In closing, Northern Arapaho Tribal Housing appreciates the 
Subcommittee on Housing, Transportation, and Community Development for 
the invitation to myself as Executive Director to provide testimony. I 
would like to thank the Chair of the Subcommittee on Housing, 
Transportation, and Community Development Senator Tina Smith and 
Ranking Republican Member Cynthia Lummis, Wyoming, for holding the 
hearing on housing for American Indians and Alaska Native Communities.
                                 ______
                                 
                    PREPARED STATEMENT OF PETE UPTON
 CEO, Native CDFI Network, and Executive Director, Native360 Loan Fund
                             June 13, 2023
    On behalf of the Native CDFI Network (NCN) and the 64 Treasury-
certified Native community development financial institutions (CDFIs) 
and roughly two dozen emerging Native CDFIs we serve across 27 States, 
I welcome this opportunity to present to this Subcommittee our shared 
perspectives on the capital access challenges related to housing and in 
particular home ownership faced by American Indian, Alaska Native, and 
Native Hawaiian communities, the pivotal role Native CDFIs play in 
helping to address those challenges and the tremendous potential they 
possess to further cultivate economic growth in those communities, and 
what Congress can do to transform that potential into reality.
The Capital Access Challenges Facing Native Housing and Home Ownership 
        in Indian Country
    Despite recent advancements and success stories forged by Native 
CDFIs, Tribal governments, other key Native-run entities, and our 
partners across Indian Country, the challenges facing Native housing 
and home ownership remain severe and pervasive. As the Center for 
Indian Country Development with the Federal Reserve Bank of Minneapolis 
explains, ``in 2016, just 52.9 percent of all Natives were homeowners, 
down from 55.5 percent in 2000. In Tribal areas, there is a strong and 
as yet unmet demand for home ownership among Native households: 75 
percent report a strong desire to own their home. Concerns about 
chronic housing shortages, quality, and over-crowdedness suggest 
additional demand for new investments in private homes in Indian 
Country.'' \1\ Historic and persisting redlining as well as chronic 
underinvestment in vital Federal programs like the Native American CDFI 
Assistance (NACA) Program continue to plague Indian Country's access to 
capital generally and financing for Native home ownership in 
particular. These factors and others contribute to a situation where, 
among other troubling statistics, Native people live in overcrowded 
households at a rate of nearly 700 percent higher than the rest of the 
U.S. population, \2\ and the number of Native families facing severe 
housing costs grew by 55 percent over a recent 15-year period. \3\
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     \1\ Center for Indian Country Development (Patrice Kunesh, ed.), 
``Tribal Leaders Handbook on Homeownership'', Federal Reserve Bank of 
Minneapolis, 2018, p. 4 (https://www.minneapolisfed.org/-/media/files/
community/indiancountry/resources-education/cicd-tribal-leaders-
handbook-on-home-ownership.pdf).
     \2\ Diane K. Levy, et al., ``Housing Needs of American Indians and 
Alaska Natives in Urban Areas: A Report From the Assessment of American 
Indian, Alaska Native, and Native Hawaiian Housing Needs'', U.S. 
Department of Housing and Urban Development, Office of Policy 
Development and Research, January 2017 (https://www.huduser.gov/portal/
sites/default/files/pdf/NAHSG-UrbanStudy.pdf).
     \3\ U.S. Commission on Civil Rights, ``Broken Promises: Continuing 
Federal Funding Shortfall for Native Americans'', Briefing Report, 
December 2018, p. 137 (https://www.usccr.gov/files/pubs/2018/12-20-
Broken-Promises.pdf).
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    Meanwhile, Indian Country's challenges when it comes to financial 
literacy, access to credit, and the prices Native people pay when they 
finally do get a home loan are equally severe. Just before the pandemic 
hit in 2019, the Federal Reserve found that Native Americans living on 
reservations who want to buy homes are significantly more likely to 
have high-priced mortgages, and those mortgage rates average nearly two 
percentage points higher than for non-Native people outside 
reservations. \4\ According to the Federal Reserve, this means a Native 
family purchasing a $140,000 home on a reservation could pay $100,000 
more over the course of a 30-year loan than a non-Native purchasing a 
home outside a reservation would pay.
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     \4\ Laura Cattaneo and Donna Feir, ``The Higher Price of Mortgage 
Financing for Native Americans'', Working Paper Series No. 1906, 
Federal Reserve Bank of Minneapolis, September 17, 2019, p. 1 (https://
www.minneapolisfed.org/media/assets/papers/cicdwp/2019/cicd-wp-
201906.pdf).
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    This state of affairs is simply unacceptable, but there is a proven 
solution for improving it--Native CDFIs.
The Vital Role Native CDFIs Play in Native Housing and Home Ownership
    As the CDFI Fund explains on its website, Native CDFIs' origins can 
be traced to the 1994 Congressional legislation authorizing the Fund's 
creation, which contained among its provisions the mandating of a study 
examining lending and investment practices in Native communities. \5\ 
Titled the ``Native American Lending Study'', the study identified 17 
major barriers to investment in Indian Country, and ``affirmed the 
importance of developing Native CDFIs to play a key role in the broader 
effort to lead Native Communities into the Nation's economic 
mainstream.'' \6\
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     \5\ CDFI Fund, ``Native Initiatives'' webpage, U.S. Department of 
the Treasury (https://www.cdfifund.gov/programs-training/programs/
native-initiatives).
     \6\ CDFI Fund, ``The CDFI Fund's Native Initiatives: Fostering 
Economic Self-Determination for Your Native Community'', Fact Sheet, 
U.S. Department of the Treasury, February 2020, p. 1 (https://
www.cdfifund.gov/sites/cdfi/files/documents/cdfi7205-fs-ni-
updatedfeb20.pdf).
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    In the two decades since the study's release, Native CDFIs have 
proven themselves vital engines for fueling the growth of healthy, 
vibrant Native economies and communities. In the CDFI Fund's own words, 
Native CDFIs are ``an important part of the CDFI Fund's mission to 
expand the capacity of financial institutions to provide credit, 
capital, and financial services to underserved populations and 
communities in the United States,'' and they are making a 
``considerable impact'' by ``helping to transform their communities. 
They are creating businesses and jobs in places that desperately need 
them. They are providing personal financial education and business 
training to persons who have been excluded from our Nation's economic 
mainstream. They are helping to change the lives of the people they 
serve.'' \7\ According to the Treasury Department, investments made in 
CDFIs produce an eight-fold return, with each $1 creating $8 in private 
sector investments. \8\
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     \7\ CDFI Fund, ``Financing Native Leaders for Tomorrow: Native 
Initiatives Strategic Plan FY 2009-2014'', U.S. Department of the 
Treasury, 2009, p. 3 (https://www.cdfifund.gov/sites/cdfi/files/
documents/native-american-strategic-plan.pdf).
     \8\ Treasury Secretary Janet Yellen, ``Native CDFIs: Stepping Up 
To Serve Indian Country Through the Pandemic and Beyond'', Native CDFI 
Network, July 2021, p. 1 (https://nativecdfi.net/wp-content/uploads/
2021/09/NCN-Pandemic-Report.pdf).
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    Nowhere is Native CDFIs' impact more profound than with Native home 
ownership. A growing number of Native CDFIs across the country offer 
home ownership loans, downpayment assistance, and homebuyer training to 
Native people who have been and continue to be purposefully ignored by 
mainstream lending institutions. Simply put, without Native CDFIs, 
these people would have no path to becoming homeowners and building a 
solid financial foundation and source of intergenerational wealth for 
their families. For example, in South Dakota over a recent 15-month 
period, 85 percent of the total home loans made to Native people across 
the State were financed by Native CDFIs. \9\
---------------------------------------------------------------------------
     \9\ South Dakota Native Homeownership Coalition, ``Our Collective 
Path to Native Homeownership'' (January 2022-April 2023), Data 
Infographic, April 2023.
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    Native CDFIs exemplify and advance the mission of the CDFI Fund by 
enabling home ownership for Native people who have never owned a home 
through HUD opportunities such as Section 184 Loan Guarantees, HUD 
housing counseling, and other existing Federal programs such as the 
USDA 502 Direct Loan program, the Veterans Affairs Native American 
Direct Home Loan program, and the Federal Home Loan Bank system. These 
various Federal tools are helpful, but they are universally underfunded 
and need to be enhanced and expanded to address the immense scope of 
the home ownership challenges that Native communities continue to face.
    It is worth noting that each Native CDFI crafts and implements its 
own innovative, customized solutions to these challenges based on its 
intimate understanding of the Native community or communities it 
serves. NCN works to uplift and enhance the ability of each Native CDFI 
to do so. Geographic location plays a significant role in shaping the 
challenges these institutions work to address. While some NCDFIs 
exclusively serve reservations, others cater to federally designated 
service counties. Some serve exclusively rural Native communities, and 
others serve both urban and rural Native communities. Some serve a 
single Native community in a concentrated geography, while others serve 
multiple communities across an expansive region. This diversity 
highlights the need for thoughtful, self-determined approaches and 
solutions tailored to the specific missions and service areas of each 
Native CDFI and the particular needs and cultures of the distinct 
Native community or communities they serve.
    The challenges encountered by Native CDFIs are multifaceted, 
requiring a holistic approach to problem solving. They include limited 
access to low-cost lending capital as well as financial resources 
supporting organizational capacity building, overly rigid Federal 
programs, non-Native predatory lenders, and low financial literacy 
among existing and potential Native CDFI clients. Addressing these 
challenges requires precise, localized solutions that can be likened to 
puzzle pieces that need to come together to form a complete picture. It 
also requires effective collaboration and coordination between Native 
CDFIs and various stakeholders, including Congress, Federal agencies, 
and the Native CDFI Network.
    By recognizing the distinctiveness of each Native CDFI and the 
range of obstacles they face, stakeholders can work together to support 
the development of comprehensive strategies. A holistic approach that 
combines increased funding, streamlined processes, and enhanced 
collaboration will empower Native CDFIs to overcome their unique 
challenges and fulfill their crucial role in addressing housing and 
home ownership needs across American Indian, Alaska Native, and Native 
Hawaiian communities.
    Native CDFIs are uniquely positioned to understand the specific 
needs, cultural context, and financial circumstances of Native 
communities. They have a deep understanding of the challenges faced by 
individuals and families seeking home ownership and work tirelessly to 
develop solutions that meet their demonstrated and understood needs. 
Through tailored financial products, technical assistance, and 
community outreach, Native CDFIs have proven to be pivotal in 
increasing access to affordable housing and home ownership 
opportunities.
    However, despite their significant progress, Native CDFIs need 
support from Congress to grow that progress to meet the moment. One 
critical step Congress can take is to provide increased funding for 
programs that support Native CDFIs. This includes allocating resources 
to strengthen the capacity of Native CDFIs, enabling them to expand 
their reach, develop new impactful programs, and meet the unique 
challenges faced by their communities. We ask Congress to recognize 
Native CDFIs as an irreplaceable tool to deploy affordable capital to 
Indian Country.
Requests of the U.S. Senate Subcommittee on Housing, Transportation, 
        and Community Development and Congress as a Whole
    NCN and the Native CDFIs we serve have collectively identified the 
following six key ways that Congress can strengthen Native home 
ownership across the country and specifically the vital role of Native 
CDFIs in that endeavor:
    Support Native CDFIs' efforts to ensure Treasury's reforms to CDFI 
Certification strengthen--and not harm--Native CDFIs across the 
country: As you know, the Treasury Department and CDFI Fund are close 
to completing their process to reform the CDFI Certification 
Application and related regulations. Unfortunately, their proposed 
reforms threaten to hamper Native CDFIs' ability to sustain and grow 
economic progress and specifically home ownership in Indian Country by 
needlessly placing them in a no-win position: either (1) drastically 
change the way they operate and the types of needs-based programs and 
products they offer simply to conform to the CDFI Fund's proposed rigid 
certification requirements, or (2) forego attaining or retaining 
certification, which will result in significantly reduced access to the 
capital and credit they need to serve their clients (see multiple 
comment letters attached for more details).
    Particularly troubling among the CDFI Fund's proposed reforms are 
its prohibitions of interest-only mortgage loans, mortgage loans with 
balloon payments, and mortgage loans with terms longer than 30 years. 
Many Native CDFIs currently offer interest-only loans and loans with 
balloon payments to provide affordable home ownership opportunities to 
Native clients that otherwise would not have access to mortgage loans. 
For example, one Native CDFI offers a 30-year amortized mortgage loan 
product that features a 5-year balloon payment. The CDFI works with 
borrowers to help ensure they can refinance their loans with the local 
credit union before the balloon payment is due. This prepares and 
incentivizes borrowers to enter the financial mainstream, as well as 
allowing the CDFI to turn over capital more quickly to serve a much 
larger number of home buyers. Other innovative interest-only and/or 
balloon loan products offered by Native CDFIs that help Native people 
access affordable and flexible capital to meet their needs include home 
equity lines of credit, construction loans, housing development loans, 
and downpayment assistance loans. Many of these would no longer be 
allowed under the proposed new limitations. Some Native CDFIs also 
offer terms on mortgage loans longer than 30 years to make them 
affordable, including USDA loans they deploy featuring terms of 38 
years. Although longer-term mortgage loans could lead to a slower 
accumulation of equity, they provide families with housing security 
through fixed housing payments--not to mention the pride of home 
ownership. Altogether, according to two recent NCN surveys, roughly 40 
percent of Native CDFIs currently provide at least one of these types 
of loans to their clients.
    NCN and the Native CDFIs we represent and serve call upon Congress 
and specifically this Subcommittee to help us elevate our concerns with 
Treasury and the CDFI Fund, and also support our recent request of 
Treasury and the CDFI Fund to hold a formal listening session with 
Native CDFIs regarding the proposed reforms to the CDFI Certification 
Application and related regulations before those reforms are finalized 
so Native CDFIs' concerns can be directly heard and addressed (see 
attached request letter).
    Establish a Native Advisory Committee within Treasury and the CDFI 
Fund: The current CDFI Certification reform process has illustrated to 
Native CDFI leaders (yet again) the dire need for the voices of 
American Indian, Alaska Native, and Native Hawaiian community and 
economic development practitioners (including Native CDFI leaders) to 
directly and substantively inform the design and implementation of 
Treasury and CDFI Fund programs and policies--notably the NACA 
program--that impact Indian Country, the flow of capital to Native 
communities, and the ability of Native CDFIs to foster community 
development and asset building in those communities. Congress should 
mandate that Treasury establish this Committee, which should meet at 
least annually with the Secretary of the Treasury and the U.S. 
Treasurer, and more frequently with Treasury's newly established Office 
of Tribal and Native Affairs.
    Increase the annual Congressional appropriation for the CDFI Fund's 
Native American CDFI Assistance (NACA) Program to $50 million: As NCN 
indicated in our recent letter (cosigned by 65 other organizations, see 
attached) to the Senate and House Appropriations Committees, a sizeable 
increase in annual NACA program funding is desperately needed to 
address the significant unmet needs of Native CDFIs for lending 
capital, particularly when it comes to home construction and home 
ownership. For example, a 2022 NCN survey of 16 Native CDFIs (just one 
quarter of the country's 64 Treasury-certified Native CDFIs) found 
their projected 3-year unmet loan capital needs collectively totaled 
$166 million. \10\ Meanwhile, for FY 2022, funding requests made by 
applicant Native CDFIs for the NACA Base-Financial Assistance (FA) 
funding exceeded the amount awarded by the CDFI Fund by 49 percent, and 
their requests for NACA Technical Assistance (TA) funding exceeded the 
amount awarded by the CDFI Fund by 15 percent. \11\
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     \10\ NCN, ``NCN Market Demand Study'', New England Market 
Research, Inc., October 2022.
     \11\ For the FY 2022 funding round of the NACA Program, the CDFI 
Fund received Base-FA applications from 29 organizations that requested 
$25.5 million in Base-FA awards. It awarded $17.1 million to 19 of 
those 29 organizations (https://www.cdfifund.gov/sites/cdfi/files/2023-
02/2022-NACA-Award-Book.pdf). The CDFI Fund also received TA 
applications from 19 organizations requesting $2.7 million in TA 
awards, and it awarded $2.35 million (https://www.cdfifund.gov/news/
481).
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    Strengthen the HUD Section 4 Program by increasing its annual 
appropriation to $50 million and establishing a 10 percent set-aside 
for Native communities for FY 2024: The HUD Section 4 Capacity Building 
for Community Development and Affordable Housing Program is the only 
Federal program explicitly designed to increase and enhance the 
capacity of community-based nonprofit organizations to effectively 
serve the affordable housing and community development needs of low-
income communities. In real dollars, Congressional funding for the 
Section 4 Program has decreased by more than 25 percent since 2004, 
despite the fact the low-income population served by Section 4 dollars 
has grown considerably. In addition, low-income families are 
disproportionately bearing the brunt of surging housing, 
transportation, and food costs related to rising inflation. A 
significant increase to $50 million is justified for these reasons, but 
also because the Section 4 Program works. Over the past 5 years, 
Section 4 dollars have been deployed to construct and rehabilitate more 
than 40,000 affordable homes for low-income households. Critically, 
every $1 in Section 4 funding leverages more than $20 in additional 
public and private investments, which vastly exceeds the 3-to-1 match 
the law requires. Meanwhile, a 10 percent set-aside for Native 
communities is needed because Section 4 dollars have largely bypassed 
Indian Country since the program's inception, based on extensive 
anecdotal evidence provided by Native nonprofit organizations dedicated 
to addressing the affordable housing and community development needs of 
Tribal communities. A 10 percent set-aside for Tribal communities ($5 
million total) will ensure that Section 4 funding equitably serves low-
income communities across the country based on the relative breadth and 
severity of their documented needs for affordable housing and community 
development resources (see attached NCN's letter to Congress featuring 
these requests).
    Pass the Rural Housing Service Reform Act of 2023: Title III of 
this legislation (S. 1389) makes the extraordinarily successful USDA 
Section 502 relending demonstration program permanent and extends it to 
all of Indian Country. S. 1389 authorizes the USDA Secretary to use $50 
million of the existing 502 Direct Loan appropriations for a national 
relending program specifically for Native communities. The 
demonstration project--implemented in 2018--made two Native CDFIs 
eligible borrowers under the 502 Program and enabled them to relend to 
qualified families for the construction, acquisition, and 
rehabilitation of affordable housing on Tribal trust land, and resulted 
in those CDFIs doubling in 1 year the number of home loans that USDA 
had provided on two Indian reservations in South Dakota during the 
previous decade. The project demonstrated that Native CDFIs are 
uniquely equipped to deploy mortgage capital efficiently and 
effectively in Tribal communities, in part because of the supportive 
services they provide their clients, including homebuyer education, 
post-purchase and foreclosure prevention counseling, and other 
technical assistance. By collaborating with USDA, Native CDFIs can 
efficiently deploy mortgage capital to eligible Native families seeking 
to become homeowners. This legislation should be passed by the Senate 
with all due haste.
    Pass the Native American Direct Loan (NADL) Improvement Act of 
2023: S. 185 was part of a package of five veterans bills that went to 
the Senate floor on April 26, 2023. Unfortunately, the cloture vote 
failed, so the bill did not move forward. Among its many critical 
provisions in support of Native veterans, the legislation: (1) creates 
a $5 million NADL relending program that would allow Native CDFIs, who 
intimately understand Native communities and the mortgage lending 
process on Tribal trust land, to obtain a loan through the Native 
American Direct Loan program at a 1 percent interest rate and relend 
those funds to qualified Native veteran borrowers (the CDFI would repay 
the loan to the VA Department); (2) allow veterans to use NADL to 
refinance non-VA mortgages so that Native veterans have the same 
opportunity as non-Native veterans to use their VA loan benefit to 
refinance any existing mortgage loan; and (3) expand VA's NADL outreach 
program by partnering with Tribes, tribally designated housing 
entities, Native CFDIs, and local nonprofits to conduct outreach, 
homebuyer education, housing counseling, post-purchase education, and 
other technical assistance as needed (see attached NCN letter to U.S. 
Senators for more details). Native veterans deserve access to these 
much-needed home loan benefits.
Conclusion
    In closing, NCN and Native CDFIs urge Congress and this 
Subcommittee to build upon the focus of this hearing by continuing to 
collaborate with Native CDFIs and their leaders to devise and fund 
creative policy solutions that recognize and address the significant 
and uniquely complex capital access needs facing Indian Country, and 
the unique ability of Native CDFIs to deploy capital effectively for 
Native home ownership and other community development and asset 
building purposes that meet the distinct needs of each and every Native 
community. Native CDFIs stand ready to work with you to advance this 
goal.
[GRAPHICS NOT AVAILABLE IN TIFF FORMAT]

                  PREPARED STATEMENT OF TAMMY MORELAND
    Chairperson, Minnesota Tribal Collaborative to Prevent and End 
                              Homelessness
                             June 13, 2023
    Aanii Boozhoo, Niigaanii Animikii Benesi Ikwe ninidizhizikaaz,
    Migizi nindoodem,
    Odawa Anishinaabe Kwe ndawaa, Wiikwewang nindonjiibaa.
    Hello, my name is She Leads in Front Thunderbird Woman, I am Bald 
Eagle Clan, an Ottawa woman from the place by the big bay.
    My Government name is Tammy Moreland, I am a Tribal member of Grand 
Traverse Band of Ottawa and Chippewa Indians.
    I have the honor and responsibility of chairing the ``Minnesota 
Tribal Collaborative to Prevent and End Homelessness'', which is a 
tribally initiated and innovative approach to addressing housing and 
homelessness of American Indians in Minnesota. I am honored to appear 
before you today to talk about the Minnesota Tribal Collaborative's 
work toward ending homelessness through State and Federal change.
    Thank you, Senator Smith for calling this hearing and for inviting 
me to testify on behalf of the Minnesota Tribal Collaborative.
    The Minnesota Tribal Collaborative was formed in 2014 when a group 
of Tribal housing and human services staff in northern and central 
Minnesota began meeting together with some other supporting 
organizations to learn from each other about new resources and ideas 
for promising practices that help meet the unique needs of American 
Indians experiencing homelessness in Minnesota.
    While American Indians are about 1 percent of the general 
population in Minnesota, American Indians are 12 percent of the 
homeless population in Minnesota. We gave shape to the Minnesota Tribal 
Collaborative to ensure that the voices of the disproportionately large 
number of American Indians in Minnesota who are experiencing 
homelessness is heard.
    The Minnesota Tribal Collaborative developed a Memorandum of 
Understanding (MOU) which was signed in 2014 by five Tribal 
governments: Bois Forte Band of Chippewa, Leech Lake Band of Ojibwe, 
Mille Lacs Band of Ojibwe, Red Lake Nation, and White Earth Nation. The 
Fond du Lac Band of Lake Superior Chippewa signed the MOU in 2018. The 
MOU provides a framework for us to plan and problem-solve together. It 
structures our efforts around our common purpose as we collaborate on 
actions that ``address historical barriers and unique needs'' of Tribal 
members experiencing housing instability and homelessness in the 
Reservation and urban communities where our Tribal members live.
    The Minnesota Tribal Collaborative has two classes of members--
voting members and nonvoting members. Voting members are appointed by 
the Tribal Councils of their Tribal governments, and are either Band 
members or descendants of Federally recognized Tribal nations. Many of 
the voting members have lived experience with being homeless. The 
nonvoting members provide technical assistance and support to the 
Collaborative, such as grant writing, reporting, and program 
implementation. American Indian culture and traditions are the 
foundation of the work done by the Minnesota Tribal Collaborative. 
Culturally relevant approaches have proven to be effective in 
addressing historical trauma and the trauma of experiencing 
homelessness.
    In addition to the direct services that it provides, the Minnesota 
Tribal Collaborative has been a strong advocate for reforming State and 
Federal law. We have been successful lobbying for changes to State and 
Federal law because of our first-hand experience with homelessness and 
its root causes and because we never give up. The reforms to Federal 
law that the Collaborative has accomplished with Senator Tina Smith and 
other allies on Capitol Hill means that not only Minnesota Tribes will 
have access to increased Federal funding support but hundreds of other 
Tribes throughout the United States will also be able to access those 
increased resources in our shared mission to reduce homelessness in 
Indian communities.
    The Minnesota Tribal Collaborative is a true collaboration--it is 
rare to have a meeting where a Tribe hasn't sent its representative. 
Our meetings have full agendas and rotate among our different 
reservations. The host Tribe provides a meal to everyone and at times 
takes the other members on tours of housing or emergency shelters in 
its communities. Members regularly rely on each other to help if a Band 
member in need of assistance is located in a different part of 
Minnesota. The Collaborative pushes to be part of meetings at the State 
and Federal level and holds lawmakers accountable when they ``forget'' 
to include Tribes. The informal motto of the Collaborative could be, 
``Nothing about us--without us.''
    The Minnesota Tribal Collaborative has a formal charter and 
policies and procedures that describe its decision-making process. Many 
decisions are made by consensus. When a vote is taken, it is very rare 
to have a vote that isn't unanimous. All members work to serve American 
Indians who are experiencing homelessness in Minnesota. The issue of--
whose client it is--never affects this collaboration. Currently the 
Collaborative is meeting more frequently to budget for an increase in 
State funds and to explore how to improve reporting. Training and 
support are provided to members who might be understaffed or need extra 
help.
    One of the reasons the Minnesota Tribal Collaborative was formed 
was to maximize resources for American Indians who are at risk of or 
experiencing homelessness. In Minnesota, American Indians are more than 
12 times more likely to experience homelessness and to be homeless 
longer than the white population. The most recent reservation homeless 
survey (conducted in October 2018) found that half of the people 
homeless on reservations were children, youth, and elders. Most people 
(77 percent) met the definition of chronic or long term homeless--
homeless for over a year or having multiple episodes of homelessness 
over 3 years. Nearly half of the people surveyed (47 percent) had a 
chronic health condition that impacted their ability to work and find 
housing.
    Homelessness looks different in reservation communities; it looks 
like 16 people living in a two-bedroom house that might not have 
running water or someone living in an ice house or camper year around. 
Before the reservation homeless survey was done in 2006, the belief was 
that Indians like to double up, that it was cultural preference. Yet 
the reservation homeless survey showed that 99 percent of the people 
surveyed who were doubled up in overcrowded households would take 
separate housing if it was affordable, safe and made available.
    Applying for State funding as a collaborative increases the 
likelihood of getting funding and an adequate amount of funding. The 
Minnesota Tribal Collaborative has been able to streamline the 
application process by submitting one funding application for six 
Tribes. The Collaborative has just contracted with a White Earth Band 
member to have a data coordinator to improve our data collection, 
reporting and financial reconciliation. The Minnesota Tribal 
Collaborative is working with State agencies on honoring data 
sovereignty. For centuries data on American Indians has been misused to 
blame Tribes for the poor outcomes of their Tribal members. It is 
imperative that entities that want data on homelessness and American 
Indians be taught how to respect Tribal sovereignty. This is a complex 
task topic that usually requires some hard conversations. The members 
of the Minnesota Tribal Collaborative have presented on this topic at a 
national level and are in the middle of ongoing conversations with 
State staff.
    Our collaboration is successful because the members of the 
Minnesota Tribal Collaborative are fearless. We usually take the hard 
way, not the easy way to accomplish our goals. And the goals aren't 
just for us but we think forward several generations. The Minnesota 
Tribal Collaborative wants future generations to know that we came 
together with leaders to rewrite new rules for society about how to 
thrive together. We experienced immense challenges but, in the end, we 
succeeded. We want future generations to know this was a powerful 
generation that rose from adversities and we gave them legacies and 
resources to take inspiration from. We want them to look at us with awe 
and courage, as we went through a difficult period of struggle and 
triumph. We hope they talk about us as examples to emulate, as 
something to be, and to go onward to the future with. We want to end 
homelessness for our communities. The members of the Minnesota Tribal 
Collaborative always show up, challenge the status quo, and hold 
ourselves and others accountable for change. We have made changes; 
significant changes and we intend to make more. We also believe that 
nothing about us should happen without us and we push to be part of 
meetings, funding, and trainings, always insisting that our voice be 
heard.
    During the worst of the COVID-19 pandemic, the Tribes that are part 
of the Minnesota Tribal Collaborative accessed State and Federal 
resources to keep people housed and to quickly rehouse people who were 
homeless. We helped people stay safe and healthy from COVID-19. The six 
Tribes that are part of the Minnesota Tribal Collaborative used nearly 
$20 million in COVID relief funding from the Federal Government to keep 
6,761 households in housing. Now we are working to address the opioid 
crisis and continue our work to end homelessness. We envision a future 
where everyone thrives not just survives.
Federal Requests
    For Tribes to successfully end homelessness both on and off 
reservations, we ask for the following assistance from Congress:

  1.  Authorize Tribal Access to the Emergency Solutions Grant. Tribes 
        and Tribal organizations should have an equitable opportunity 
        to benefit from this funding source so we can better provide a 
        broader continuum of housing assistance and services to our 
        homelessness populations both on and off the reservation.

  2.  Change the HUD Continuum of Care Definition. HUD's continuum of 
        care definition of homelessness does not include severe 
        overcrowding and substandard housing conditions to be 
        considered when determining whether a person is homeless. In 
        much of Indian Country, harsh winter conditions in isolated and 
        rural areas mean homeless people have no options other than 
        doubling up in already overcrowded homes or seeking shelter in 
        flimsy, temporary structures like fish shacks.

  3.  Include Tribes in a Formula for Pro Rata Distribution Like 
        Territories Are Provided. Federal assistance rarely trickles 
        down to Indian communities when it is sent through State 
        governments. Provide Tribes with greater access to more money 
        for community planning and development purposes and Continuum 
        of Care projects so Tribes can meaningfully address the root 
        causes of homelessness.

  4.  Support Tribal Efforts To Address Homelessness Among Tribal 
        Members as They Move Between Reservation and Urban Communities. 
        Mercurial Federal policies have pushed American Indians into 
        and out of reservation communities for decades. This disruption 
        of community life is one of the root causes of homelessness. 
        Today, the Federal Government should support Tribal efforts to 
        meet the needs of Tribal members where they are today. This is 
        a Federal Government problem that can be solved by Tribes and 
        the Federal Government working together.

  5.  Congress Should Push CMS To Approve a New Medicaid Encounter Rate 
        Category of Housing Services. A comprehensive approach to 
        continuum of care services relevant to people who are homeless, 
        reflected in a daily encounter rate, would allow Tribal 
        providers to have enough funding to pay for the inter-related 
        services that are needed to help move clients from homelessness 
        to housed and remaining housed.

    Miigwetch! And thank you for your time and attention. By partnering 
together and sharing resources we can end homelessness for America's 
first people.
               RESPONSES TO WRITTEN QUESTIONS OF
             SENATOR CORTEZ MASTO FROM CHELSEA FISH

Q.1. What investment--grants, low-interest loans, CDFI 
investments, etc.--does your organization or member Tribes 
receive from our Nation's 11 Federal Home Loan Banks?

A.1. Response not received in time for publication.

Q.2. Do you think Federal Home Loan Banks meet the housing and 
community economic development investment needs of Tribes?

A.2. Response not received in time for publication.

Q.3. Do Federal Home Loan Banks provide Tribes with low-cost 
financing to leverage the housing grant funds Congress provided 
to Tribes?

A.3. Response not received in time for publication.

Q.4. Do you think the Federal Home Loan Banks should provide 
more support for affordable housing, such as downpayment 
assistance, low-cost financing, credit enhancement, or 
providing a secondary market for special purpose credit 
programs for Tribes?

A.4. Response not received in time for publication.

Q.5. Why are manufactured homes a popular housing choice on 
Tribal lands?

A.5. Response not received in time for publication.

Q.6. For manufactured home buyers on Tribal lands, what 
financing options are available to them?

A.6. Response not received in time for publication.

Q.7. Are there Federal housing programs including CDFI Funds 
that help homebuyers finance a manufactured home purchase with 
affordable loans? Are there affordable private sector financing 
options?

A.7. Response not received in time for publication.

Q.8. Do you feel a permanent chassis is necessary for 
manufactured homes in your communities? Or do you feel the 
definition of manufactured home, which is limited to structures 
that are built on a permanent chassis, should be changed?

A.8. Response not received in time for publication.

Q.9. Are Tribal home builders considering extreme heat, floods, 
and drought in the design of their homes? If so, what are they 
considering?

A.9. Response not received in time for publication.

Q.10. Are Tribal housing leaders considering preventative 
action to decrease the catastrophic impact of floods, drought, 
and fire? If so, what are they considering?

A.10. Response not received in time for publication.
                                ------                                


        RESPONSES TO WRITTEN QUESTIONS OF SENATOR LUMMIS
                       FROM CHELSEA FISH

Q.1. Are there updates to programs that support the 
construction and rehabilitation of Native American housing that 
could make it faster and cheaper to provide additional 
affordable housing units on Tribal lands?

A.1. Response not received in time for publication.

Q.2. Are there policy proposals you recommend to support Native 
American home ownership on Tribal lands?

A.2. Response not received in time for publication.
                                ------                                


               RESPONSES TO WRITTEN QUESTIONS OF
           SENATOR CORTEZ MASTO FROM PATRICK GOGGLES

Q.1. What investment--grants, low-interest loans, CDFI 
investments, etc.--does your Tribe receive from our Nation's 11 
Federal Home Loan Banks?

A.1. Response not received in time for publication.

Q.2. Do you think Federal Home Loan Banks meet the housing and 
community economic development investment needs of Tribes?

A.2. Response not received in time for publication.

Q.3. Do Federal Home Loan Banks provide Tribes with low-cost 
financing to leverage the housing grant funds Congress provided 
to Tribes?

A.3. Response not received in time for publication.

Q.4. Do you think the Federal Home Loan Banks should provide 
more support for affordable housing, such as downpayment 
assistance, low-cost financing, credit enhancement, or 
providing a secondary market for special purpose credit 
programs?

A.4. Response not received in time for publication.

Q.5. In your testimony, you mentioned difficulties with finding 
matching funds. Have you had discussions with the Federal Home 
Loan Bank of Des Moines to discuss possible investments that 
could match Indian Housing Block Grant funds or other programs?

A.5. Response not received in time for publication.
                                ------                                


        RESPONSES TO WRITTEN QUESTIONS OF SENATOR LUMMIS
                      FROM PATRICK GOGGLES

Q.1. Please list the various Federal agencies and programs you 
commonly work with when developing a typical housing project.

A.1. Response not received in time for publication.

Q.2. Please identify common inefficiencies when working with 
these programs, such as overlapping or contradictory 
requirements, where changes to the programs and their 
requirements could make development faster or less expensive to 
accomplish.

A.2. Response not received in time for publication.

Q.3. Please quantify the administrative burden of participating 
in these programs in terms of the number of people you employ 
and the portion of their work time spent on meeting 
administrative requirements such as reporting.

A.3. Response not received in time for publication.
                                ------                                


               RESPONSES TO WRITTEN QUESTIONS OF
              SENATOR CORTEZ MASTO FROM PETE UPTON

Q.1. What investment--grants, low-interest loans, CDFI 
investments, etc.--does your organization or members receive 
from our Nation's 11 Federal Home Loan Banks?

A.1. Response not received in time for publication.

Q.2. Do you think Federal Home Loan Banks meet the housing and 
community economic development investment needs of Tribes?

A.2. Response not received in time for publication.

Q.3. Do Federal Home Loan Banks provide Tribes with low-cost 
financing to leverage the housing grant funds Congress provided 
to Tribes?

A.3. Response not received in time for publication.

Q.4. Do you think the Federal Home Loan Banks should provide 
more support for affordable housing, such as downpayment 
assistance, low-cost financing, credit enhancement, or 
providing a secondary market for special purpose credit 
programs?

A.4. Response not received in time for publication.

Q.5. How many Native American CDFis are (1) members of a 
Federal Home Loan Bank and (2) receive advances?

A.5. Response not received in time for publication.

Q.6. Why are manufactured homes a popular housing choice on 
Tribal lands?

A.6. Response not received in time for publication.

Q.7. For manufactured home buyers on Tribal lands, what 
financing options are available to them? Are there affordable 
private sector financing options?

A.7. Response not received in time for publication.

Q.8. Are there Federal housing programs including CDFI Funds 
that help homebuyers finance a manufactured home purchase with 
affordable loans?

A.8. Response not received in time for publication.

Q.9. Do you feel a permanent chassis is necessary for 
manufactured homes in your communities? Or do you feel the 
definition of manufactured home, which is limited to structures 
that are built on a permanent chassis, should be changed?

A.9. Response not received in time for publication.

Q.10. Are Tribal home builders considering extreme heat, 
floods, and drought in the design of their homes? If so, what 
are they considering?

A.10. Response not received in time for publication.

Q.11. Are Tribal housing leaders considering preventative 
action to decrease the catastrophic impact of floods, drought, 
and fire? If so, what are they considering?

A.11. Response not received in time for publication.
                                ------                                


        RESPONSES TO WRITTEN QUESTIONS OF SENATOR LUMMIS
                        FROM PETE UPTON

Q.1. HUD's Section 184 Indian Home Loan Guarantee Program was 
created to help increase Native access to home ownership by 
providing a guarantee to lenders on mortgage loans made to 
Native borrowers. Last December, HUD proposed a new rule that 
would make Native CDFIs as eligible lenders under the 184 
program. What is your experience with this program and how can 
it be improved for more effective for lending on reservations?

A.1. Response not received in time for publication.
                                ------                                


               RESPONSES TO WRITTEN QUESTIONS OF
            SENATOR CORTEZ MASTO FROM TAMMY MORELAND

Q.1. What investment--grants, low-interest loans, CDFI 
investments, etc.--does your Tribe receive from our Nation's 11 
Federal Home Loan Banks?

A.1. No.

Q.2. Do you think Federal Home Loan Banks meet the housing and 
community economic development investment needs of Tribes?

A.2. I do not have experience with Federal Home Loan Banks.

Q.3. Do Federal Home Loan Banks provide Tribes with low-cost 
financing to leverage the housing grant funds Congress provided 
to Tribes?

A.3. I do not have experience with Federal Home Loan Banks.

Q.4. Do you think the Federal Home Loan Banks should provide 
more support for affordable housing, such as downpayment 
assistance, low-cost financing, credit enhancement, or 
providing a secondary market for special purpose credit 
programs?

A.4. I do not have experience with Federal Home Loan Banks.
                                ------                                


        RESPONSES TO WRITTEN QUESTIONS OF SENATOR LUMMIS
                      FROM TAMMY MORELAND

Q.1. The 2020 Census revealed that 87 percent of people who 
identify as Native American live outside of Tribal areas. Given 
your experience, how do Tribes split their resources to meet 
the needs of their Tribal members living on and off the 
reservation? How does this vary and are there best practices 
that you have observed?

A.1. We often hear about how housing is a ``social determinant 
of health'' which makes sense, as shelter is a core need of 
humans.
    Key findings from the Minnesota Homeless Mortality Report, 
2017-2021 that was published January 26, 2023.
    Researchers looked at data for 93,923 people experiencing 
homelessness who accessed services such as shelters or 
transitional housing. Key findings included: The rate of death 
is 3 times higher among people who experience homelessness 
People Experiencing Homelessness in Minnesota than the general 
population. 20-year-olds experiencing homelessness in Minnesota 
have the same rate of death as 50-year-olds in the general 
population.
    Mortality across each racial and ethnic group is higher 
among People Experiencing Homelessness than in the general 
Minnesota population. American Indian People Experiencing 
Homelessness have 1.5 times higher rates of death than other 
People Experiencing Homelessness and 5 times higher rates of 
death than the general Minnesota population.
    Deaths from substance use are 10 times higher among People 
Experiencing Homelessness than the general Minnesota 
population. 1 in 10 substance use deaths in Minnesota are among 
People Experiencing Homelessness.
    One in 3 of all deaths among PEH are caused by substance 
use, especially opioids including fentanyl.
    Minnesota Tribal Collaborative has received a SAMHSA grant 
to address opioid issues.
    Initial funding for reservation focus and we asked to have 
that funding expanded to focus and include urban populations. 
By negotiating additional funding with this change in scope we 
are able to hire two outreach workers through the collaborative 
partners at White Earth to work with the Urban population.
    Minnesota Tribal Collaborative has received a SAMHSA grant 
to address opioid issues.
    Working as a collaborative makes us stronger. We learn from 
each other and support each other in the work that we do. Other 
community partners come to the table to learn from us and to 
support our work. With each success we have become more 
confident.
    Remembering that each member of the collaborative is an 
equal partner. We all worked on and agree to follow our mission 
``While honoring Tribal sovereignty, we will work together to 
maximize resources and obtain sustainable housing options 
through innovative efforts of our Tribal governments and 
communities.''
    Tribes have the knowledge and skills needed to effectively 
reduce disparities in homelessness faced by American Indian 
populations.

    Investing in Tribal services leads to positive 
        outcomes for American Indians.

    Tribes' ability to design and oversee their own 
        programming. Serving as a member and leader on boards 
        supports community and can expand opportunities to 
        improve lives of Tribal members. ``To make change, we 
        must be at the right places at the right time.''
              Additional Material Supplied for the Record
STATEMENT SUBMITTED BY CEDAR BAND OF PAIUTE INDIANS, LOWER BRULE SIOUX 
                       TRIBE, ROSEBUD SIOUX TRIBE
[GRAPHICS NOT AVAILABLE IN TIFF FORMAT]

       STATEMENT SUBMITTED BY FEDERAL RESERVE BANK OF MINNEAPOLIS
[GRAPHICS NOT AVAILABLE IN TIFF FORMAT]

          STATEMENT SUBMITTED BY COOK INLET HOUSING AUTHORITY
[GRAPHICS NOT AVAILABLE IN TIFF FORMAT]

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