IC 

115TH CONGRESS 

2D SESSION S. 2515 

IN THE HOUSE OF REPRESENTATIVES 

OCTOBER 2, 2018 

Referred to the Committee on Natural Resources 

AN ACT 

To amend the Indian Self-Determination and Education Assistance Act to provide further self-governance by Indian 

Tribes, and for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 


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1 SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 

2 (a) SHORT TITLE.—This Act may be cited as the 

3 ‘‘Practical Reforms and Other Goals To Reinforce the Ef4 fectiveness of Self-Governance and Self-Determination for 

5 Indian Tribes Act of 2018’’ or the ‘‘PROGRESS for In6 dian Tribes Act’’. 

7 (b) TABLE OF CONTENTS.—The table of contents of 

8 this Act is as follows: 

Sec. 1. Short title; table of contents. 

TITLE I—TRIBAL SELF-GOVERNANCE 

Sec. 101. Tribal self-governance. 

TITLE II—INDIAN SELF-DETERMINATION 

Sec. 201. Definitions; reporting and audit requirements; application of provisions. 

Sec. 202. Contracts by Secretary of the Interior. 

Sec. 203. Administrative provisions. 

Sec. 204. Contract funding and indirect costs. 

Sec. 205. Contract or grant specifications. 

9 TITLE I—TRIBAL SELF10 GOVERNANCE 

11 SEC. 101. TRIBAL SELF-GOVERNANCE. 

12 (a) EFFECT OF PROVISIONS.—Nothing in this Act, 

13 or the amendments made by this Act, shall be construed— 

14 (1) to modify, limit, expand, or otherwise af15 fect— 

16 (A) the authority of the Secretary of the 

17 Interior, as provided for under the Indian Self18 Determination and Education Assistance Act 


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1 (as in effect on the day before the date of en2 actment of this Act), regarding— 

3 (i) the inclusion of any non-BIA pro4 gram (as defined in section 401 of the In5 dian Self-Determination and Education 

6 Assistance Act) in a self-determination 

7 contract or funding agreement under sec8 tion 403(c) of such Act (as so in effect); 

9 or 

10 (ii) the implementation of any con11 tract or agreement described in clause (i) 

12 that is in effect on the day described in 

13 subparagraph (A); 

14 (B) the meaning, application, or effect of 

15 any Tribal water rights settlement, including 

16 the performance required of a party thereto or 

17 any payment or funding obligation thereunder; 

18 (C) the authority, jurisdiction, or responsi19 bility of a State to manage, control, or regulate 

20 fish and wildlife under State law (including reg21 ulations) on land or water in the State, includ22 ing Federal public land; 

23 (D) except for the authority provided to 

24 the Secretary as described in subparagraph (A), 

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1 lated to the protection or management of fish 

2 or wildlife; or 

3 (E) any treaty-reserved right or other right 

4 of any Indian Tribe as recognized by any other 

5 means, including treaties or agreements with 

6 the United States, Executive orders, statutes, 

7 regulations, or case law; or 

8 (2) to authorize any provision of a contract or 

9 agreement that is not consistent with the terms of 

10 a Tribal water rights settlement. 

11 (b) DEFINITIONS.—Section 401 of the Indian Self12 Determination and Education Assistance Act (25 U.S.C. 

13 5361) is amended to read as follows: 

14 ‘‘SEC. 401. DEFINITIONS. 

15 ‘‘In this title: 

16 ‘‘(1) COMPACT.—The term ‘compact’ means a 

17 self-governance compact entered into under section 

18 404. 

19 ‘‘(2) CONSTRUCTION PROGRAM; CONSTRUCTION

20 PROJECT.—The term ‘construction program’ or ‘con21 struction project’ means a Tribal undertaking relat22 ing to the administration, planning, environmental 

23 determination, design, construction, repair, improve24 ment, or expansion of roads, bridges, buildings, 

25 structures, systems, or other facilities for purposes 


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1 of housing, law enforcement, detention, sanitation, 

2 water supply, education, administration, community, 

3 health, irrigation, agriculture, conservation, flood 

4 control, transportation, or port facilities, or for other 

5 Tribal purposes. 

6 ‘‘(3) DEPARTMENT.—The term ‘Department’ 

7 means the Department of the Interior. 

8 ‘‘(4) FUNDING AGREEMENT.—The term ‘fund9 ing agreement’ means a funding agreement entered 

10 into under section 403. 

11 ‘‘(5) GROSS MISMANAGEMENT.—The term 

12 ‘gross mismanagement’ means a significant viola13 tion, shown by a preponderance of the evidence, of 

14 a compact, funding agreement, or statutory or regu15 latory requirement applicable to Federal funds for a 

16 program administered by an Indian Tribe under a 

17 compact or funding agreement. 

18 ‘‘(6) INHERENT FEDERAL FUNCTION.—The 

19 term ‘inherent Federal function’ means a Federal 

20 function that may not legally be delegated to an In21 dian Tribe. 

22 ‘‘(7) NON-BIA PROGRAM.—The term ‘non-BIA 

23 program’ means all or a portion of a program, func24 tion, service, or activity that is administered by any 


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1 bureau, service, office, or agency of the Department 

2 of the Interior other than— 

3 ‘‘(A) the Bureau of Indian Affairs; 

4 ‘‘(B) the Office of the Assistant Secretary 

5 for Indian Affairs; or 

6 ‘‘(C) the Office of the Special Trustee for 

7 American Indians. 

8 ‘‘(8) PROGRAM.—The term ‘program’ means 

9 any program, function, service, or activity (or por10 tion thereof) within the Department that is included 

11 in a funding agreement. 

12 ‘‘(9) SECRETARY.—The term ‘Secretary’ means 

13 the Secretary of the Interior. 

14 ‘‘(10) SELF-DETERMINATION CONTRACT.—The 

15 term ‘self-determination contract’ means a self-de16 termination contract entered into under section 102. 

17 ‘‘(11) SELF-GOVERNANCE.—The term ‘self-gov18 ernance’ means the Tribal Self-Governance Program 

19 established under section 402. 

20 ‘‘(12) TRIBAL SHARE.—The term ‘Tribal share’ 

21 means the portion of all funds and resources of an 

22 Indian Tribe that— 

23 ‘‘(A) support any program within the Bu24 reau of Indian Affairs, the Office of the Special 


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1 Trustee for American Indians, or the Office of 

2 the Assistant Secretary for Indian Affairs; and 

3 ‘‘(B) are not required by the Secretary for 

4 the performance of an inherent Federal func5 tion. 

6 ‘‘(13) TRIBAL WATER RIGHTS SETTLEMENT.— 

7 The term ‘Tribal water rights settlement’ means any 

8 settlement, compact, or other agreement expressly 

9 ratified or approved by an Act of Congress that— 

10 ‘‘(A) includes an Indian Tribe and the 

11 United States as parties; and 

12 ‘‘(B) quantifies or otherwise defines any 

13 water right of the Indian Tribe.’’. 

14 (c) ESTABLISHMENT.—Section 402 of the Indian 

15 Self-Determination and Education Assistance Act (25 

16 U.S.C. 458bb) is amended to read as follows: 

17 ‘‘SEC. 402. TRIBAL SELF-GOVERNANCE PROGRAM. 

18 ‘‘(a) ESTABLISHMENT.—The Secretary shall estab19 lish and carry out a program within the Department to 

20 be known as the ‘Tribal Self-Governance Program’. 

21 ‘‘(b) SELECTION OF PARTICIPATING INDIAN

22 TRIBES.— 

23 ‘‘(1) IN GENERAL.— 

24 ‘‘(A) ELIGIBILITY.—The Secretary, acting 

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1 ernance, may select not more than 50 new In2 dian Tribes per year from those tribes eligible 

3 under subsection (c) to participate in self-gov4 ernance. 

5 ‘‘(B) JOINT PARTICIPATION.—On the re6 quest of each participating Indian Tribe, two or 

7 more otherwise eligible Indian Tribes may be 

8 treated as a single Indian Tribe for the purpose 

9 of participating in self-governance. 

10 ‘‘(2) OTHER AUTHORIZED INDIAN TRIBE OR

11 TRIBAL ORGANIZATION.—If an Indian Tribe author12 izes another Indian Tribe or a Tribal organization to 

13 plan for or carry out a program on its behalf under 

14 this title, the authorized Indian Tribe or Tribal or15 ganization shall have the rights and responsibilities 

16 of the authorizing Indian Tribe (except as otherwise 

17 provided in the authorizing resolution). 

18 ‘‘(3) JOINT PARTICIPATION AS ORGANIZA19 TION.—Two or more Indian Tribes that are not oth20 erwise eligible under subsection (c) may be treated 

21 as a single Indian Tribe for the purpose of partici22 pating in self-governance as a Tribal organization 

23 if— 

24 ‘‘(A) each Indian Tribe so requests; and 


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1 ‘‘(B) the Tribal organization itself, or at 

2 least one of the Indian Tribes participating in 

3 the Tribal organization, is eligible under sub4 section (c). 

5 ‘‘(4) TRIBAL WITHDRAWAL FROM A TRIBAL OR6 GANIZATION.— 

7 ‘‘(A) IN GENERAL.—An Indian Tribe that 

8 withdraws from participation in a Tribal orga9 nization, in whole or in part, shall be entitled 

10 to participate in self-governance if the Indian 

11 Tribe is eligible under subsection (c). 

12 ‘‘(B) EFFECT OF WITHDRAWAL.—If an In13 dian Tribe withdraws from participation in a 

14 Tribal organization, the Indian Tribe shall be 

15 entitled to its Tribal share of funds and re16 sources supporting the programs that the In17 dian Tribe is entitled to carry out under the 

18 compact and funding agreement of the Indian 

19 Tribe. 

20 ‘‘(C) PARTICIPATION IN SELF-GOVERN21 ANCE.—The withdrawal of an Indian Tribe 

22 from a Tribal organization shall not affect the 

23 eligibility of the Tribal organization to partici24 pate in self-governance on behalf of one or more 


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1 other Indian Tribes, if the Tribal organization 

2 still qualifies under subsection (c). 

3 ‘‘(D) WITHDRAWAL PROCESS.— 

4 ‘‘(i) IN GENERAL.—An Indian Tribe 

5 may, by Tribal resolution, fully or partially 

6 withdraw its Tribal share of any program 

7 in a funding agreement from a partici8 pating Tribal organization. 

9 ‘‘(ii) NOTIFICATION.—The Indian 

10 Tribe shall provide a copy of the Tribal 

11 resolution described in clause (i) to the 

12 Secretary. 

13 ‘‘(iii) EFFECTIVE DATE.— 

14 ‘‘(I) IN GENERAL.—A withdrawal 

15 under clause (i) shall become effective 

16 on the date that is specified in the 

17 Tribal resolution and mutually agreed 

18 upon by the Secretary, the with19 drawing Indian Tribe, and the Tribal 

20 organization that signed the compact 

21 and funding agreement on behalf of 

22 the withdrawing Indian Tribe or Trib23 al organization. 

24 ‘‘(II) NO SPECIFIED DATE.—In 

25 the absence of a date specified in the 


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1 resolution, the withdrawal shall be2 come effective on— 

3 ‘‘(aa) the earlier of— 

4 ‘‘(AA) 1 year after the 

5 date of submission of the re6 quest; and 

7 ‘‘(BB) the date on 

8 which the funding agree9 ment expires; or 

10 ‘‘(bb) such date as may be 

11 mutually agreed upon by the Sec12 retary, the withdrawing Indian 

13 Tribe, and the Tribal organiza14 tion that signed the compact and 

15 funding agreement on behalf of 

16 the withdrawing Indian Tribe or 

17 Tribal organization. 

18 ‘‘(E) DISTRIBUTION OF FUNDS.—If an In19 dian Tribe or Tribal organization eligible to 

20 enter into a self-determination contract or a 

21 compact or funding agreement fully or partially 

22 withdraws from a participating Tribal organiza23 tion, the withdrawing Indian Tribe— 


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1 ‘‘(i) may elect to enter into a self-de2 termination contract or compact, in which 

3 case— 

4 ‘‘(I) the withdrawing Indian 

5 Tribe or Tribal organization shall be 

6 entitled to its Tribal share of unex7 pended funds and resources sup8 porting the programs that the Indian 

9 Tribe will be carrying out under its 

10 own self-determination contract or 

11 compact and funding agreement (cal12 culated on the same basis as the 

13 funds were initially allocated to the 

14 funding agreement of the Tribal orga15 nization); and 

16 ‘‘(II) the funds referred to in 

17 subclause (I) shall be withdrawn by 

18 the Secretary from the funding agree19 ment of the Tribal organization and 

20 transferred to the withdrawing Indian 

21 Tribe, on the condition that sections 

22 102 and 105(i), as appropriate, shall 

23 apply to the withdrawing Indian 

24 Tribe; or 


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1 ‘‘(ii) may elect not to enter into a self2 determination contract or compact, in 

3 which case all unexpended funds and re4 sources associated with the withdrawing 

5 Indian Tribe’s returned programs (cal6 culated on the same basis as the funds 

7 were initially allocated to the funding 

8 agreement of the Tribal organization) shall 

9 be returned by the Tribal organization to 

10 the Secretary for operation of the pro11 grams included in the withdrawal. 

12 ‘‘(F) RETURN TO MATURE CONTRACT STA13 TUS.—If an Indian Tribe elects to operate all or 

14 some programs carried out under a compact or 

15 funding agreement under this title through a 

16 self-determination contract under title I, at the 

17 option of the Indian Tribe, the resulting self-de18 termination contract shall be a mature self-de19 termination contract as long as the Indian 

20 Tribe meets the requirements set forth in sec21 tion 4(h). 

22 ‘‘(c) ELIGIBILITY.—To be eligible to participate in 

23 self-governance, an Indian Tribe shall— 

24 ‘‘(1) successfully complete the planning phase 

25 described in subsection (d); 


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1 ‘‘(2) request participation in self-governance by 

2 resolution or other official action by the Tribal gov3 erning body; and 

4 ‘‘(3) demonstrate, for the 3 fiscal years pre5 ceding the date on which the Indian Tribe requests 

6 participation, financial stability and financial man7 agement capability as evidenced by the Indian Tribe 

8 having no uncorrected significant and material audit 

9 exceptions in the required annual audit of its self10 determination or self-governance agreements with 

11 any Federal agency. 

12 ‘‘(d) PLANNING PHASE.— 

13 ‘‘(1) IN GENERAL.—An Indian Tribe seeking to 

14 begin participation in self-governance shall complete 

15 a planning phase as provided in this subsection. 

16 ‘‘(2) ACTIVITIES.—The planning phase shall— 

17 ‘‘(A) be conducted to the satisfaction of 

18 the Indian Tribe; and 

19 ‘‘(B) include— 

20 ‘‘(i) legal and budgetary research; and 

21 ‘‘(ii) internal Tribal government plan22 ning, training, and organizational prepara23 tion. 

24 ‘‘(e) GRANTS.— 


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1 ‘‘(1) IN GENERAL.—Subject to the availability 

2 of appropriations, an Indian Tribe or Tribal organi3 zation that meets the requirements of paragraphs 

4 (2) and (3) of subsection (c) shall be eligible for 

5 grants— 

6 ‘‘(A) to plan for participation in self-gov7 ernance; and 

8 ‘‘(B) to negotiate the terms of participa9 tion by the Indian Tribe or Tribal organization 

10 in self-governance, as set forth in a compact 

11 and a funding agreement. 

12 ‘‘(2) RECEIPT OF GRANT NOT REQUIRED.—Re13 ceipt of a grant under paragraph (1) shall not be a 

14 requirement of participation in self-governance.’’. 

15 (d) FUNDING AGREEMENTS.—Section 403 of the In16 dian Self-Determination and Education Assistance Act 

17 (25 U.S.C. 5363) is amended— 

18 (1) by striking subsection (a) and inserting the 

19 following: 

20 ‘‘(a) AUTHORIZATION.—The Secretary shall, on the 

21 request of any Indian Tribe or Tribal organization, nego22 tiate and enter into a written funding agreement with the 

23 governing body of the Indian Tribe or the Tribal organiza24 tion in a manner consistent with— 


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1 ‘‘(1) the trust responsibility of the Federal Gov2 ernment, treaty obligations, and the government-to3 government relationship between Indian Tribes and 

4 the United States; and 

5 ‘‘(2) subsection (b).’’; 

6 (2) in subsection (b)— 

7 (A) in paragraph (1)— 

8 (i) in the matter preceding subpara9 graph (A), by striking ‘‘without regard to 

10 the agency or office of the Bureau of In11 dian Affairs’’ and inserting ‘‘the Office of 

12 the Assistant Secretary for Indian Affairs, 

13 and the Office of the Special Trustee for 

14 American Indians, without regard to the 

15 agency or office of that Bureau or those 

16 Offices’’; 

17 (ii) by redesignating subparagraphs 

18 (A) and (B) as clauses (i) and (ii), respec19 tively, and indenting the margins of such 

20 clauses accordingly; 

21 (iii) by striking ‘‘including any pro22 gram’’ and inserting the following: ‘‘includ23 ing— 

24 ‘‘(A) any program’’; 

25 (iv) in subparagraph (A)— 


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1 (I) in clause (i), as redesignated 

2 by clause (ii), by striking the semi3 colon at the end and inserting ‘‘; 

4 and’’; and 

5 (II) in clause (ii), as so redesig6 nated, by striking ‘‘and’’ after the 

7 semicolon; 

8 (v) by redesignating subparagraph (C) 

9 as subparagraph (B); 

10 (vi) in subparagraph (B), as redesig11 nated by clause (v), by striking the semi12 colon and inserting ‘‘; and’’; and 

13 (vii) by adding at the end the fol14 lowing: 

15 ‘‘(C) any other program, service, function, 

16 or activity (or portion thereof) that is provided 

17 through the Bureau of Indian Affairs, the Of18 fice of the Assistant Secretary for Indian Af19 fairs, or the Office of the Special Trustee for 

20 American Indians with respect to which Indian 

21 Tribes or Indians are primary or significant 

22 beneficiaries;’’; 

23 (B) in paragraph (2)— 

24 (i) by striking ‘‘section 405(c)’’ and 

25 inserting ‘‘section 412(c)’’; and 


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1 (ii) by inserting ‘‘and’’ after the semi2 colon at the end; 

3 (C) in paragraph (3), by striking the semi4 colon at the end and inserting a period; and 

5 (D) by striking paragraphs (4) through 

6 (9); 

7 (3) in subsection (f)— 

8 (A) in the subsection heading, by striking 

9 ‘‘FOR REVIEW’’; 

10 (B) by striking ‘‘such agreement to—’’ and 

11 all that follows through ‘‘Indian tribe’’ and in12 serting ‘‘such agreement to each Indian Tribe’’; 

13 (C) by striking ‘‘agreement;’’ and inserting 

14 ‘‘agreement.’’; and 

15 (D) by striking paragraphs (2) and (3); 

16 and 

17 (4) by adding at the end the following: 

18 ‘‘(m) OTHER PROVISIONS.— 

19 ‘‘(1) EXCLUDED FUNDING.—A funding agree20 ment shall not authorize an Indian Tribe to plan, 

21 conduct, administer, or receive Tribal share funding 

22 under any program that— 

23 ‘‘(A) is provided under the Tribally Con24 trolled Colleges and Universities Assistance Act 

25 of 1978 (25 U.S.C. 1801 et seq.); or 


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1 ‘‘(B) is provided for elementary and sec2 ondary schools under the formula developed 

3 under section 1127 of the Education Amend4 ments of 1978 (25 U.S.C. 2007). 

5 ‘‘(2) SERVICES, FUNCTIONS, AND RESPONSIBIL6 ITIES.—A funding agreement shall specify— 

7 ‘‘(A) the services to be provided under the 

8 funding agreement; 

9 ‘‘(B) the functions to be performed under 

10 the funding agreement; and 

11 ‘‘(C) the responsibilities of the Indian 

12 Tribe and the Secretary under the funding 

13 agreement. 

14 ‘‘(3) BASE BUDGET.— 

15 ‘‘(A) IN GENERAL.—A funding agreement 

16 shall, at the option of the Indian Tribe, provide 

17 for a stable base budget specifying the recur18 ring funds (which may include funds available 

19 under section 106(a)) to be transferred to the 

20 Indian Tribe, for such period as the Indian 

21 Tribe specifies in the funding agreement, sub22 ject to annual adjustment only to reflect 

23 changes in congressional appropriations. 

24 ‘‘(B) LIMITATIONS.—Notwithstanding sub25 paragraph (A), a funding agreement shall not 


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1 specify funding associated with a program de2 scribed in subsection (b)(2) or (c) unless the 

3 Secretary agrees. 

4 ‘‘(4) NO WAIVER OF TRUST RESPONSIBILITY.— 

5 A funding agreement shall prohibit the Secretary 

6 from waiving, modifying, or diminishing in any way 

7 the trust responsibility of the United States with re8 spect to Indian Tribes and individual Indians that 

9 exists under treaties, Executive orders, court deci10 sions, and other laws. 

11 ‘‘(n) AMENDMENT.—The Secretary shall not revise, 

12 amend, or require additional terms in a new or subsequent 

13 funding agreement without the consent of the Indian 

14 Tribe, unless such terms are required by Federal law. 

15 ‘‘(o) EFFECTIVE DATE.—A funding agreement shall 

16 become effective on the date specified in the funding 

17 agreement. 

18 ‘‘(p) EXISTING AND SUBSEQUENT FUNDING AGREE19 MENTS.— 

20 ‘‘(1) SUBSEQUENT FUNDING AGREEMENTS.— 

21 Absent notification from an Indian Tribe that the 

22 Indian Tribe is withdrawing or retroceding the oper23 ation of one or more programs identified in a fund24 ing agreement, or unless otherwise agreed to by the 

25 parties to the funding agreement or by the nature 


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1 of any noncontinuing program, service, function, or 

2 activity contained in a funding agreement— 

3 ‘‘(A) a funding agreement shall remain in 

4 full force and effect until a subsequent funding 

5 agreement is executed, with funding paid annu6 ally for each fiscal year the agreement is in ef7 fect; and 

8 ‘‘(B) the term of the subsequent funding 

9 agreement shall be retroactive to the end of the 

10 term of the preceding funding agreement for 

11 the purposes of calculating the amount of fund12 ing to which the Indian Tribe is entitled. 

13 ‘‘(2) DISPUTES.—Disputes over the implemen14 tation of paragraph (1)(A) shall be subject to section 

15 406(c). 

16 ‘‘(3) EXISTING FUNDING AGREEMENTS.—An 

17 Indian Tribe that was participating in self-govern18 ance under this title on the date of enactment of the 

19 PROGRESS for Indian Tribes Act shall have the 

20 option at any time after that date— 

21 ‘‘(A) to retain its existing funding agree22 ment (in whole or in part) to the extent that 

23 the provisions of that funding agreement are 

24 not directly contrary to any express provision of 

25 this title; or 


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1 ‘‘(B) to negotiate a new funding agreement 

2 in a manner consistent with this title. 

3 ‘‘(4) MULTIYEAR FUNDING AGREEMENTS.—An 

4 Indian Tribe may, at the discretion of the Indian 

5 Tribe, negotiate with the Secretary for a funding 

6 agreement with a term that exceeds 1 year.’’. 

7 (e) GENERAL REVISIONS.—Title IV of the Indian 

8 Self-Determination and Education Assistance Act (25 

9 U.S.C. 5304 et seq.) is amended by striking sections 404 

10 through 408 and inserting the following: 

11 ‘‘SEC. 404. COMPACTS. 

12 ‘‘(a) IN GENERAL.—The Secretary shall negotiate 

13 and enter into a written compact with each Indian Tribe 

14 participating in self-governance in a manner consistent 

15 with the trust responsibility of the Federal Government, 

16 treaty obligations, and the government-to-government re17 lationship between Indian Tribes and the United States. 

18 ‘‘(b) CONTENTS.—A compact under subsection (a) 

19 shall— 

20 ‘‘(1) specify and affirm the general terms of the 

21 government-to-government relationship between the 

22 Indian Tribe and the Secretary; and 

23 ‘‘(2) include such terms as the parties intend 

24 shall control during the term of the compact. 


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1 ‘‘(c) AMENDMENT.—A compact under subsection (a) 

2 may be amended only by agreement of the parties. 

3 ‘‘(d) EFFECTIVE DATE.—The effective date of a com4 pact under subsection (a) shall be— 

5 ‘‘(1) the date of the execution of the compact 

6 by the parties; or 

7 ‘‘(2) such date as is mutually agreed upon by 

8 the parties. 

9 ‘‘(e) DURATION.—A compact under subsection (a) 

10 shall remain in effect— 

11 ‘‘(1) for so long as permitted by Federal law; 

12 or 

13 ‘‘(2) until termination by written agreement, 

14 retrocession, or reassumption. 

15 ‘‘(f) EXISTING COMPACTS.—An Indian Tribe partici16 pating in self-governance under this title, as in effect on 

17 the date of enactment of the PROGRESS for Indian 

18 Tribes Act, shall have the option at any time after that 

19 date— 

20 ‘‘(1) to retain its negotiated compact (in whole 

21 or in part) to the extent that the provisions of the 

22 compact are not directly contrary to any express 

23 provision of this title; or 

24 ‘‘(2) to negotiate a new compact in a manner 

25 consistent with this title. 


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1 ‘‘SEC. 405. GENERAL PROVISIONS. 

2 ‘‘(a) APPLICABILITY.—An Indian Tribe and the Sec3 retary shall include in any compact or funding agreement 

4 provisions that reflect the requirements of this title. 

5 ‘‘(b) CONFLICTS OF INTEREST.—An Indian Tribe 

6 participating in self-governance shall ensure that internal 

7 measures are in place to address, pursuant to Tribal law 

8 and procedures, conflicts of interest in the administration 

9 of programs. 

10 ‘‘(c) AUDITS.— 

11 ‘‘(1) SINGLE AGENCY AUDIT ACT.—Chapter 75 

12 of title 31, United States Code, shall apply to a 

13 funding agreement under this title. 

14 ‘‘(2) COST PRINCIPLES.—An Indian Tribe shall 

15 apply cost principles under the applicable Office of 

16 Management and Budget circular, except as modi17 fied by— 

18 ‘‘(A) any provision of law, including section 

19 106; or 

20 ‘‘(B) any exemptions to applicable Office 

21 of Management and Budget circulars subse22 quently granted by the Office of Management 

23 and Budget. 

24 ‘‘(3) FEDERAL CLAIMS.—Any claim by the Fed25 eral Government against an Indian Tribe relating to 

26 funds received under a funding agreement based on 


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1 any audit under this subsection shall be subject to 

2 section 106(f). 

3 ‘‘(d) REDESIGN AND CONSOLIDATION.—Except as 

4 provided in section 407, an Indian Tribe may redesign or 

5 consolidate programs, or reallocate funds for programs, in 

6 a compact or funding agreement in any manner that the 

7 Indian Tribe determines to be in the best interest of the 

8 Indian community being served— 

9 ‘‘(1) so long as the redesign or consolidation 

10 does not have the effect of denying eligibility for 

11 services to population groups otherwise eligible to be 

12 served under applicable Federal law; and 

13 ‘‘(2) except that, with respect to the realloca14 tion, consolidation, and redesign of programs de15 scribed in subsection (b)(2) or (c) of section 403, a 

16 joint agreement between the Secretary and the In17 dian Tribe shall be required. 

18 ‘‘(e) RETROCESSION.— 

19 ‘‘(1) IN GENERAL.—An Indian Tribe may fully 

20 or partially retrocede to the Secretary any program 

21 under a compact or funding agreement. 

22 ‘‘(2) EFFECTIVE DATE.— 

23 ‘‘(A) AGREEMENT.—Unless an Indian 

24 Tribe rescinds a request for retrocession under 

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1 fective on the date specified by the parties in 

2 the compact or funding agreement. 

3 ‘‘(B) NO AGREEMENT.—In the absence of 

4 a specification of an effective date in the com5 pact or funding agreement, the retrocession 

6 shall become effective on— 

7 ‘‘(i) the earlier of— 

8 ‘‘(I) 1 year after the date on 

9 which the request is submitted; and 

10 ‘‘(II) the date on which the fund11 ing agreement expires; or 

12 ‘‘(ii) such date as may be mutually 

13 agreed upon by the Secretary and the In14 dian Tribe. 

15 ‘‘(f) NONDUPLICATION.—A funding agreement shall 

16 provide that, for the period for which, and to the extent 

17 to which, funding is provided to an Indian Tribe under 

18 this title, the Indian Tribe— 

19 ‘‘(1) shall not be entitled to contract with the 

20 Secretary for funds under section 102, except that 

21 the Indian Tribe shall be eligible for new programs 

22 on the same basis as other Indian Tribes; and 

23 ‘‘(2) shall be responsible for the administration 

24 of programs in accordance with the compact or 

25 funding agreement. 


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1 ‘‘(g) RECORDS.— 

2 ‘‘(1) IN GENERAL.—Unless an Indian Tribe 

3 specifies otherwise in the compact or funding agree4 ment, records of an Indian Tribe shall not be consid5 ered to be Federal records for purposes of chapter 

6 5 of title 5, United States Code. 

7 ‘‘(2) RECORDKEEPING SYSTEM.—An Indian 

8 Tribe shall— 

9 ‘‘(A) maintain a recordkeeping system; and 

10 ‘‘(B) on a notice period of not less than 30 

11 days, provide the Secretary with reasonable ac12 cess to the records to enable the Department to 

13 meet the requirements of sections 3101 through 

14 3106 of title 44, United States Code. 

15 ‘‘SEC. 406. PROVISIONS RELATING TO THE SECRETARY. 

16 ‘‘(a) TRUST EVALUATIONS.—A funding agreement 

17 shall include a provision to monitor the performance of 

18 trust functions by the Indian Tribe through the annual 

19 trust evaluation. 

20 ‘‘(b) REASSUMPTION.— 

21 ‘‘(1) IN GENERAL.—A compact or funding 

22 agreement shall include provisions for the Secretary 

23 to reassume a program and associated funding if 

24 there is a specific finding relating to that program 

25 of— 


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1 ‘‘(A) imminent jeopardy to a trust asset, a 

2 natural resource, or public health and safety 

3 that— 

4 ‘‘(i) is caused by an act or omission of 

5 the Indian Tribe; and 

6 ‘‘(ii) arises out of a failure to carry 

7 out the compact or funding agreement; or 

8 ‘‘(B) gross mismanagement with respect to 

9 funds transferred to an Indian Tribe under a 

10 compact or funding agreement, as determined 

11 by the Secretary in consultation with the In12 spector General, as appropriate. 

13 ‘‘(2) PROHIBITION.—The Secretary shall not 

14 reassume operation of a program, in whole or part, 

15 unless— 

16 ‘‘(A) the Secretary first provides written 

17 notice and a hearing on the record to the In18 dian Tribe; and 

19 ‘‘(B) the Indian Tribe does not take cor20 rective action to remedy the mismanagement of 

21 the funds or programs, or the imminent jeop22 ardy to a trust asset, natural resource, or pub23 lic health and safety. 

24 ‘‘(3) EXCEPTION.— 


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1 ‘‘(A) IN GENERAL.—Notwithstanding para2 graph (2), the Secretary may, on written notice 

3 to the Indian Tribe, immediately reassume op4 eration of a program if— 

5 ‘‘(i) the Secretary makes a finding of 

6 imminent and substantial jeopardy and ir7 reparable harm to a trust asset, a natural 

8 resource, or the public health and safety 

9 caused by an act or omission of the Indian 

10 Tribe; and 

11 ‘‘(ii) the imminent and substantial 

12 jeopardy and irreparable harm to the trust 

13 asset, natural resource, or public health 

14 and safety arises out of a failure by the In15 dian Tribe to carry out the terms of an ap16 plicable compact or funding agreement. 

17 ‘‘(B) REASSUMPTION.—If the Secretary re18 assumes operation of a program under subpara19 graph (A), the Secretary shall provide the In20 dian Tribe with a hearing on the record not 

21 later than 10 days after the date of reassump22 tion. 

23 ‘‘(c) INABILITY TO AGREE ON COMPACT OR FUND24 ING AGREEMENT.— 


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1 ‘‘(1) FINAL OFFER.—If the Secretary and a 

2 participating Indian Tribe are unable to agree, in 

3 whole or in part, on the terms of a compact or fund4 ing agreement (including funding levels), the Indian 

5 Tribe may submit a final offer to the Secretary. 

6 ‘‘(2) DETERMINATION.—Not more than 60 

7 days after the date of receipt of a final offer by one 

8 or more of the officials designated pursuant to para9 graph (4), the Secretary shall review and make a de10 termination with respect to the final offer, except 

11 that the 60-day period may be extended for up to 30 

12 days for circumstances beyond the control of the 

13 Secretary, upon written request by the Secretary to 

14 the Indian tribe. 

15 ‘‘(3) EXTENSIONS.—The deadline described in 

16 paragraph (2) may be extended for any length of 

17 time, as agreed upon by both the Indian Tribe and 

18 the Secretary. 

19 ‘‘(4) DESIGNATED OFFICIALS.— 

20 ‘‘(A) IN GENERAL.—The Secretary shall 

21 designate one or more appropriate officials in 

22 the Department to receive a copy of the final 

23 offer described in paragraph (1). 

24 ‘‘(B) NO DESIGNATION.—If no official is 

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1 ecutive Secretariat and Regulatory Affairs shall 

2 be the designated official. 

3 ‘‘(5) NO TIMELY DETERMINATION.—If the Sec4 retary fails to make a determination with respect to 

5 a final offer within the period specified in paragraph 

6 (2), including any extension agreed to under para7 graph (3), the Secretary shall be deemed to have 

8 agreed to the offer, except that with respect to any 

9 compact or funding agreement provision concerning 

10 a program described under section 403(c), the Sec11 retary shall be deemed to have rejected the offer 

12 with respect to such provision and the terms of 

13 clauses (ii) through (iv) of paragraphs (6)(A) shall 

14 apply. 

15 ‘‘(6) REJECTION OF FINAL OFFER.— 

16 ‘‘(A) IN GENERAL.—If the Secretary re17 jects a final offer (or one or more provisions or 

18 funding levels in a final offer), the Secretary 

19 shall— 

20 ‘‘(i) provide timely written notification 

21 to the Indian Tribe that contains a specific 

22 finding that clearly demonstrates, or that 

23 is supported by a controlling legal author24 ity, that— 


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1 ‘‘(I) the amount of funds pro2 posed in the final offer exceeds the 

3 applicable funding level as determined 

4 under section 106(a)(1); 

5 ‘‘(II) the program that is the 

6 subject of the final offer is an inher7 ent Federal function or is subject to 

8 the discretion of the Secretary under 

9 section 403(c); 

10 ‘‘(III) the Indian Tribe cannot 

11 carry out the program in a manner 

12 that would not result in significant 

13 danger or risk to the public health or 

14 safety, to natural resources, or to 

15 trust resources; 

16 ‘‘(IV) the Indian Tribe is not eli17 gible to participate in self-governance 

18 under section 402(c); 

19 ‘‘(V) the funding agreement 

20 would violate a Federal statute or reg21 ulation; or 

22 ‘‘(VI) with respect to a program 

23 or portion of a program included in a 

24 final offer pursuant to section 

25 403(b)(2), the program or the portion 


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1 of the program is not otherwise avail2 able to Indian Tribes or Indians 

3 under section 102(a)(1)(E); 

4 ‘‘(ii) provide technical assistance to 

5 overcome the objections stated in the noti6 fication required by clause (i); 

7 ‘‘(iii) provide the Indian Tribe with a 

8 hearing on the record with the right to en9 gage in full discovery relevant to any issue 

10 raised in the matter, and the opportunity 

11 for appeal on the objections raised, except 

12 that the Indian Tribe may, in lieu of filing 

13 such appeal, directly proceed to initiate an 

14 action in a United States district court 

15 under section 110(a); and 

16 ‘‘(iv) provide the Indian Tribe the op17 tion of entering into the severable portions 

18 of a final proposed compact or funding 

19 agreement (including a lesser funding 

20 amount, if any), that the Secretary did not 

21 reject, subject to any additional alterations 

22 necessary to conform the compact or fund23 ing agreement to the severed provisions. 


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1 ‘‘(B) EFFECT OF EXERCISING CERTAIN

2 OPTION.—If an Indian Tribe exercises the op3 tion specified in subparagraph (A)(iv)— 

4 ‘‘(i) the Indian Tribe shall retain the 

5 right to appeal the rejection by the Sec6 retary under this section; and 

7 ‘‘(ii) clauses (i), (ii), and (iii) of sub8 paragraph (A) shall apply only to the por9 tion of the proposed final compact or fund10 ing agreement that was rejected by the 

11 Secretary. 

12 ‘‘(d) BURDEN OF PROOF.—In any administrative ac13 tion, hearing, appeal, or civil action brought under this 

14 section, the Secretary shall have the burden of proof— 

15 ‘‘(1) of demonstrating, by a preponderance of 

16 the evidence, the validity of the grounds for a re17 assumption under subsection (b); and 

18 ‘‘(2) of clearly demonstrating the validity of the 

19 grounds for rejecting a final offer made under sub20 section (c). 

21 ‘‘(e) GOOD FAITH.— 

22 ‘‘(1) IN GENERAL.—In the negotiation of com23 pacts and funding agreements, the Secretary shall at 

24 all times negotiate in good faith to maximize imple25 mentation of the self-governance policy. 


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1 ‘‘(2) POLICY.—The Secretary shall carry out 

2 this title in a manner that maximizes the policy of 

3 Tribal self-governance. 

4 ‘‘(f) SAVINGS.— 

5 ‘‘(1) IN GENERAL.—To the extent that pro6 grams carried out for the benefit of Indian Tribes 

7 and Tribal organizations under this title reduce the 

8 administrative or other responsibilities of the Sec9 retary with respect to the operation of Indian pro10 grams and result in savings that have not otherwise 

11 been included in the amount of Tribal shares and 

12 other funds determined under section 408(c), except 

13 for funding agreements entered into for programs 

14 under section 403(c), the Secretary shall make such 

15 savings available to the Indian Tribes or Tribal or16 ganizations for the provision of additional services to 

17 program beneficiaries in a manner equitable to di18 rectly served, contracted, and compacted programs. 

19 ‘‘(2) DISCRETIONARY PROGRAMS OF SPECIAL

20 SIGNIFICANCE.—For any savings generated as a re21 sult of the assumption of a program by an Indian 

22 Tribe under section 403(c), such savings shall be 

23 made available to that Indian Tribe. 

24 ‘‘(g) TRUST RESPONSIBILITY.—The Secretary may 

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1 sponsibility of the United States with respect to Indian 

2 Tribes and individual Indians that exists under treaties, 

3 Executive orders, other laws, or court decisions. 

4 ‘‘(h) DECISION MAKER.—A decision that constitutes 

5 final agency action and relates to an appeal within the 

6 Department conducted under subsection (c)(6)(A)(iii) may 

7 be made by— 

8 ‘‘(1) an official of the Department who holds a 

9 position at a higher organizational level within the 

10 Department than the level of the departmental agen11 cy in which the decision that is the subject of the 

12 appeal was made; or 

13 ‘‘(2) an administrative law judge. 

14 ‘‘(i) RULES OF CONSTRUCTION.—Subject to section 

15 101(a) of the PROGRESS for Indian Tribes Act, each 

16 provision of this title and each provision of a compact or 

17 funding agreement shall be liberally construed for the ben18 efit of the Indian Tribe participating in self-governance, 

19 and any ambiguity shall be resolved in favor of the Indian 

20 Tribe. 

21 ‘‘SEC. 407. CONSTRUCTION PROGRAMS AND PROJECTS. 

22 ‘‘(a) IN GENERAL.—Indian Tribes participating in 

23 Tribal self-governance may carry out any construction 

24 project included in a compact or funding agreement under 

25 this title. 


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1 ‘‘(b) TRIBAL OPTION TO CARRY OUT CERTAIN FED2 ERAL ENVIRONMENTAL ACTIVITIES.—In carrying out a 

3 construction project under this title, an Indian Tribe may, 

4 subject to the agreement of the Secretary, elect to assume 

5 some Federal responsibilities under the National Environ6 mental Policy Act of 1969 (42 U.S.C. 4321 et seq.), divi7 sion A of subtitle III of title 54, United States Code, and 

8 related provisions of other law and regulations that would 

9 apply if the Secretary were to undertake a construction 

10 project, by adopting a resolution— 

11 ‘‘(1) designating a certifying Tribal officer to 

12 represent the Indian Tribe and to assume the status 

13 of a responsible Federal official under those Acts, 

14 laws, or regulations; and 

15 ‘‘(2) accepting the jurisdiction of the United 

16 States courts for the purpose of enforcing the re17 sponsibilities of the certifying Tribal officer assum18 ing the status of a responsible Federal official under 

19 those Acts, laws, or regulations. 

20 ‘‘(c) SAVINGS CLAUSE.—Notwithstanding subsection 

21 (b), nothing in this section authorizes the Secretary to in22 clude in any compact or funding agreement duties of the 

23 Secretary under the National Environmental Policy Act 

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1 tion Act (16 U.S.C. 470 et seq.), and other related provi2 sions of law that are inherent Federal functions. 

3 ‘‘(d) CODES AND STANDARDS.—In carrying out a 

4 construction project under this title, an Indian Tribe 

5 shall— 

6 ‘‘(1) adhere to applicable Federal, State, local, 

7 and Tribal building codes, architectural and engi8 neering standards, and applicable Federal guidelines 

9 regarding design, space, and operational standards, 

10 appropriate for the particular project; and 

11 ‘‘(2) use only architects and engineers who— 

12 ‘‘(A) are licensed to practice in the State 

13 in which the facility will be built; and 

14 ‘‘(B) certify that— 

15 ‘‘(i) they are qualified to perform the 

16 work required by the specific construction 

17 involved; and 

18 ‘‘(ii) upon completion of design, the 

19 plans and specifications meet or exceed the 

20 applicable construction and safety codes. 

21 ‘‘(e) TRIBAL ACCOUNTABILITY.— 

22 ‘‘(1) IN GENERAL.—In carrying out a construc23 tion project under this title, an Indian Tribe shall 

24 assume responsibility for the successful completion 

25 of the construction project and of a facility that is 


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1 usable for the purpose for which the Indian Tribe 

2 received funding. 

3 ‘‘(2) REQUIREMENTS.—For each construction 

4 project carried out by an Indian Tribe under this 

5 title, the Indian Tribe and the Secretary shall nego6 tiate a provision to be included in the funding agree7 ment that identifies— 

8 ‘‘(A) the approximate start and completion 

9 dates for the project, which may extend over a 

10 period of one or more years; 

11 ‘‘(B) a general description of the project, 

12 including the scope of work, references to de13 sign criteria, and other terms and conditions; 

14 ‘‘(C) the responsibilities of the Indian 

15 Tribe and the Secretary for the project; 

16 ‘‘(D) how project-related environmental 

17 considerations will be addressed; 

18 ‘‘(E) the amount of funds provided for the 

19 project; 

20 ‘‘(F) the obligations of the Indian Tribe to 

21 comply with the codes referenced in subsection 

22 (d)(1) and applicable Federal laws and regula23 tions; 

24 ‘‘(G) the agreement of the parties over who 

25 will bear any additional costs necessary to meet 


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1 changes in scope, or errors or omissions in de2 sign and construction; and 

3 ‘‘(H) the agreement of the Secretary to 

4 issue a certificate of occupancy, if requested by 

5 the Indian Tribe, based upon the review and 

6 verification by the Secretary, to the satisfaction 

7 of the Secretary, that the Indian Tribe has se8 cured upon completion the review and approval 

9 of the plans and specifications, sufficiency of 

10 design, life safety, and code compliance by 

11 qualified, licensed, and independent architects 

12 and engineers. 

13 ‘‘(f) FUNDING.— 

14 ‘‘(1) IN GENERAL.—Funding appropriated for 

15 construction projects carried out under this title 

16 shall be included in funding agreements as annual or 

17 semiannual advance payments at the option of the 

18 Indian Tribe. 

19 ‘‘(2) ADVANCE PAYMENTS.—The Secretary 

20 shall include all associated project contingency funds 

21 with each advance payment, and the Indian Tribe 

22 shall be responsible for the management of such con23 tingency funds. 

24 ‘‘(g) NEGOTIATIONS.—At the option of the Indian 

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1 gotiated pursuant to the statutory process in section 105, 

2 and any resulting construction project agreement shall be 

3 incorporated into the funding agreement as addenda. 

4 ‘‘(h) FEDERAL REVIEW AND VERIFICATION.— 

5 ‘‘(1) IN GENERAL.—On a schedule negotiated 

6 by the Secretary and the Indian Tribe— 

7 ‘‘(A) the Secretary shall review and verify, 

8 to the satisfaction of the Secretary, that project 

9 planning and design documents prepared by the 

10 Indian Tribe in advance of initial construction 

11 are in conformity with the obligations of the In12 dian Tribe under subsection (d); and 

13 ‘‘(B) before the project planning and de14 sign documents are implemented, the Secretary 

15 shall review and verify to the satisfaction of the 

16 Secretary that subsequent document amend17 ments which result in a significant change in 

18 construction are in conformity with the obliga19 tions of the Indian Tribe under subsection (d). 

20 ‘‘(2) REPORTS.—The Indian Tribe shall provide 

21 the Secretary with project progress and financial re22 ports not less than semiannually. 

23 ‘‘(3) OVERSIGHT VISITS.—The Secretary may 

24 conduct onsite project oversight visits semiannually 


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1 or on an alternate schedule agreed to by the Sec2 retary and the Indian Tribe. 

3 ‘‘(i) APPLICATION OF OTHER LAWS.—Unless other4 wise agreed to by the Indian Tribe and except as otherwise 

5 provided in this Act, no provision of title 41, United States 

6 Code, the Federal Acquisition Regulation, or any other law 

7 or regulation pertaining to Federal procurement (includ8 ing Executive orders) shall apply to any construction pro9 gram or project carried out under this title. 

10 ‘‘(j) FUTURE FUNDING.—Upon completion of a facil11 ity constructed under this title, the Secretary shall include 

12 the facility among those eligible for annual operation and 

13 maintenance funding support comparable to that provided 

14 for similar facilities funded by the Department as annual 

15 appropriations are available and to the extent that the fa16 cility size and complexity and other factors do not exceed 

17 the funding formula criteria for comparable buildings. 

18 ‘‘SEC. 408. PAYMENT. 

19 ‘‘(a) IN GENERAL.—At the request of the governing 

20 body of an Indian Tribe and under the terms of an appli21 cable funding agreement, the Secretary shall provide fund22 ing to the Indian Tribe to carry out the funding agree23 ment. 


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1 ‘‘(b) ADVANCE ANNUAL PAYMENT.—At the option of 

2 the Indian Tribe, a funding agreement shall provide for 

3 an advance annual payment to an Indian Tribe. 

4 ‘‘(c) AMOUNT.— 

5 ‘‘(1) IN GENERAL.—Subject to subsection (e) 

6 and sections 403 and 405, the Secretary shall pro7 vide funds to the Indian Tribe under a funding 

8 agreement for programs in an amount that is equal 

9 to the amount that the Indian Tribe would have 

10 been entitled to receive under contracts and grants 

11 under this Act (including amounts for direct pro12 gram and contract support costs and, in addition, 

13 any funds that are specifically or functionally related 

14 to the provision by the Secretary of services and 

15 benefits to the Indian Tribe or its members) without 

16 regard to the organization level within the Depart17 ment at which the programs are carried out. 

18 ‘‘(2) SAVINGS CLAUSE.—Nothing in this section 

19 reduces programs, services, or funds of, or provided 

20 to, another Indian Tribe. 

21 ‘‘(d) TIMING.— 

22 ‘‘(1) IN GENERAL.—Pursuant to the terms of 

23 any compact or funding agreement entered into 

24 under this title, the Secretary shall transfer to the 

25 Indian Tribe all funds provided for in the funding 


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1 agreement, pursuant to subsection (c), and provide 

2 funding for periods covered by joint resolution 

3 adopted by Congress making continuing appropria4 tions, to the extent permitted by such resolution. 

5 ‘‘(2) TRANSFERS.—Not later than 1 year after 

6 the date of enactment of the PROGRESS for Indian 

7 Tribes Act, in any instance in which a funding 

8 agreement requires an annual transfer of funding to 

9 be made at the beginning of a fiscal year or requires 

10 semiannual or other periodic transfers of funding to 

11 be made commencing at the beginning of a fiscal 

12 year, the first such transfer shall be made not later 

13 than 10 days after the apportionment of such funds 

14 by the Office of Management and Budget to the De15 partment, unless the funding agreement provides 

16 otherwise. 

17 ‘‘(e) AVAILABILITY.—Funds for trust services to indi18 vidual Indians shall be available under a funding agree19 ment only to the extent that the same services that would 

20 have been provided by the Secretary are provided to indi21 vidual Indians by the Indian Tribe. 

22 ‘‘(f) MULTIYEAR FUNDING.—A funding agreement 

23 may provide for multiyear funding. 

24 ‘‘(g) LIMITATIONS ON AUTHORITY OF THE SEC25 RETARY.—The Secretary shall not— 


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1 ‘‘(1) fail to transfer to an Indian Tribe its full 

2 share of any central, headquarters, regional, area, or 

3 service unit office or other funds due under this title 

4 for programs eligible under paragraph (1) or (2) of 

5 section 403(b), except as required by Federal law; 

6 ‘‘(2) withhold any portion of such funds for 

7 transfer over a period of years; or 

8 ‘‘(3) reduce the amount of funds required under 

9 this title— 

10 ‘‘(A) to make funding available for self11 governance monitoring or administration by the 

12 Secretary; 

13 ‘‘(B) in subsequent years, except as nec14 essary as a result of— 

15 ‘‘(i) a reduction in appropriations 

16 from the previous fiscal year for the pro17 gram to be included in a compact or fund18 ing agreement; 

19 ‘‘(ii) a congressional directive in legis20 lation or an accompanying report; 

21 ‘‘(iii) a Tribal authorization; 

22 ‘‘(iv) a change in the amount of pass23 through funds subject to the terms of the 

24 funding agreement; or 


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1 ‘‘(v) completion of an activity under a 

2 program for which the funds were pro3 vided; 

4 ‘‘(C) to pay for Federal functions, includ5 ing— 

6 ‘‘(i) Federal pay costs; 

7 ‘‘(ii) Federal employee retirement ben8 efits; 

9 ‘‘(iii) automated data processing; 

10 ‘‘(iv) technical assistance; and 

11 ‘‘(v) monitoring of activities under 

12 this title; or 

13 ‘‘(D) to pay for costs of Federal personnel 

14 displaced by self-determination contracts under 

15 this Act or self-governance under this title. 

16 ‘‘(h) FEDERAL RESOURCES.—If an Indian Tribe 

17 elects to carry out a compact or funding agreement with 

18 the use of Federal personnel, Federal supplies (including 

19 supplies available from Federal warehouse facilities), Fed20 eral supply sources (including lodging, airline transpor21 tation, and other means of transportation, including the 

22 use of interagency motor pool vehicles), or other Federal 

23 resources (including supplies, services, and resources 

24 available to the Secretary under any procurement con25 tracts in which the Department is eligible to participate), 


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1 the Secretary shall, as soon as practicable, acquire and 

2 transfer such personnel, supplies, or resources to the In3 dian Tribe under this title. 

4 ‘‘(i) PROMPT PAYMENT ACT.—Chapter 39 of title 31, 

5 United States Code, shall apply to the transfer of funds 

6 due under a compact or funding agreement authorized 

7 under this title. 

8 ‘‘(j) INTEREST OR OTHER INCOME.— 

9 ‘‘(1) IN GENERAL.—An Indian Tribe may re10 tain interest or income earned on any funds paid 

11 under a compact or funding agreement to carry out 

12 governmental purposes. 

13 ‘‘(2) NO EFFECT ON OTHER AMOUNTS.—The 

14 retention of interest or income under paragraph (1) 

15 shall not diminish the amount of funds an Indian 

16 Tribe is entitled to receive under a funding agree17 ment in the year the interest or income is earned or 

18 in any subsequent fiscal year. 

19 ‘‘(3) INVESTMENT STANDARD.—Funds trans20 ferred under this title shall be managed by the In21 dian Tribe using the prudent investment standard, 

22 provided that the Secretary shall not be liable for 

23 any investment losses of funds managed by the In24 dian Tribe that are not otherwise guaranteed or in25 sured by the Federal Government. 


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1 ‘‘(k) CARRYOVER OF FUNDS.— 

2 ‘‘(1) IN GENERAL.—Notwithstanding any provi3 sion of an appropriations Act, all funds paid to an 

4 Indian Tribe in accordance with a compact or fund5 ing agreement shall remain available until expended. 

6 ‘‘(2) EFFECT OF CARRYOVER.—If an Indian 

7 Tribe elects to carry over funding from one year to 

8 the next, the carryover shall not diminish the 

9 amount of funds the Indian Tribe is entitled to re10 ceive under a funding agreement in that fiscal year 

11 or any subsequent fiscal year. 

12 ‘‘(l) LIMITATION OF COSTS.— 

13 ‘‘(1) IN GENERAL.—An Indian Tribe shall not 

14 be obligated to continue performance that requires 

15 an expenditure of funds in excess of the amount of 

16 funds transferred under a compact or funding agree17 ment. 

18 ‘‘(2) NOTICE OF INSUFFICIENCY.—If at any 

19 time the Indian Tribe has reason to believe that the 

20 total amount provided for a specific activity under a 

21 compact or funding agreement is insufficient, the In22 dian Tribe shall provide reasonable notice of such in23 sufficiency to the Secretary. 

24 ‘‘(3) SUSPENSION OF PERFORMANCE.—If, after 

25 notice under paragraph (2), the Secretary does not 


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1 increase the amount of funds transferred under the 

2 funding agreement, the Indian Tribe may suspend 

3 performance of the activity until such time as addi4 tional funds are transferred. 

5 ‘‘(4) SAVINGS CLAUSE.—Nothing in this section 

6 reduces any programs, services, or funds of, or pro7 vided to, another Indian Tribe. 

8 ‘‘(m) DISTRIBUTION OF FUNDS.—The Office of Self9 Governance shall be responsible for distribution of all Bu10 reau of Indian Affairs funds provided under this title un11 less otherwise agreed by the parties to an applicable fund12 ing agreement. 

13 ‘‘(n) APPLICABILITY.—Notwithstanding any other 

14 provision of this section, section 101(a) of the 

15 PROGRESS for Indian Tribes Act applies to subsections 

16 (a) through (m). 

17 ‘‘SEC. 409. FACILITATION. 

18 ‘‘(a) IN GENERAL.—Except as otherwise provided by 

19 law (including section 101(a) of the PROGRESS for In20 dian Tribes Act), the Secretary shall interpret each Fed21 eral law and regulation in a manner that facilitates— 

22 ‘‘(1) the inclusion of programs in funding 

23 agreements; and 

24 ‘‘(2) the implementation of funding agreements. 

25 ‘‘(b) REGULATION WAIVER.— 


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1 ‘‘(1) REQUEST.—An Indian Tribe may submit 

2 to the Secretary a written request for a waiver of 

3 applicability of a Federal regulation, including— 

4 ‘‘(A) an identification of the specific text in 

5 the regulation sought to be waived; and 

6 ‘‘(B) the basis for the request. 

7 ‘‘(2) DETERMINATION BY THE SECRETARY.— 

8 Not later than 120 days after receipt by the Sec9 retary and the designated officials under paragraph 

10 (4) of a request under paragraph (1), the Secretary 

11 shall approve or deny the requested waiver in writ12 ing to the Indian Tribe. 

13 ‘‘(3) EXTENSIONS.—The deadline described in 

14 paragraph (2) may be extended for any length of 

15 time, as agreed upon by both the Indian Tribe and 

16 the Secretary. 

17 ‘‘(4) DESIGNATED OFFICIALS.—The Secretary 

18 shall designate one or more appropriate officials in 

19 the Department to receive a copy of the waiver re20 quest described in paragraph (1). 

21 ‘‘(5) GROUNDS FOR DENIAL.—The Secretary 

22 may deny a request under paragraph (1) upon a 

23 specific finding by the Secretary that the identified 

24 text in the regulation may not be waived because 

25 such a waiver is prohibited by Federal law. 


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1 ‘‘(6) FAILURE TO MAKE DETERMINATION.—If 

2 the Secretary fails to make a determination with re3 spect to a waiver request within the period specified 

4 in paragraph (2) (including any extension agreed to 

5 under paragraph (3)), the Secretary shall be deemed 

6 to have agreed to the request, except that for a 

7 waiver request relating to programs eligible under 

8 section 403(b)(2) or section 403(c), the Secretary 

9 shall be deemed to have denied the request. 

10 ‘‘(7) FINALITY.—A decision of the Secretary 

11 under this section shall be final for the Department. 

12 ‘‘SEC. 410. DISCRETIONARY APPLICATION OF OTHER SEC13 TIONS. 

14 ‘‘(a) IN GENERAL.—Except as otherwise provided in 

15 section 201(d) of the PROGRESS for Indian Tribes Act, 

16 at the option of a participating Indian Tribe or Indian 

17 Tribes, any of the provisions of title I may be incorporated 

18 in any compact or funding agreement under this title. The 

19 inclusion of any such provision shall be subject to, and 

20 shall not conflict with, section 101(a) of such Act. 

21 ‘‘(b) EFFECT.—Each incorporated provision under 

22 subsection (a) shall— 

23 ‘‘(1) have the same force and effect as if set out 

24 in full in this title; 


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1 ‘‘(2) supplement or replace any related provi2 sion in this title; and 

3 ‘‘(3) apply to any agency otherwise governed by 

4 this title. 

5 ‘‘(c) EFFECTIVE DATE.—If an Indian Tribe requests 

6 incorporation at the negotiation stage of a compact or 

7 funding agreement, the incorporation shall— 

8 ‘‘(1) be effective immediately; and 

9 ‘‘(2) control the negotiation and resulting com10 pact and funding agreement. 

11 ‘‘SEC. 411. ANNUAL BUDGET LIST. 

12 ‘‘The Secretary shall list, in the annual budget re13 quest submitted to Congress under section 1105 of title 

14 31, United States Code, any funds proposed to be included 

15 in funding agreements authorized under this title. 

16 ‘‘SEC. 412. REPORTS. 

17 ‘‘(a) IN GENERAL.— 

18 ‘‘(1) REQUIREMENT.—On January 1 of each 

19 year, the Secretary shall submit to Congress a re20 port regarding the administration of this title. 

21 ‘‘(2) ANALYSIS.—Any Indian Tribe may submit 

22 to the Office of Self-Governance and to the appro23 priate committees of Congress a detailed annual 

24 analysis of unmet Tribal needs for funding agree25 ments under this title. 


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1 ‘‘(b) CONTENTS.—The report under subsection (a)(1) 

2 shall— 

3 ‘‘(1) be compiled from information contained in 

4 funding agreements, annual audit reports, and data 

5 of the Secretary regarding the disposition of Federal 

6 funds; 

7 ‘‘(2) identify— 

8 ‘‘(A) the relative costs and benefits of self9 governance; 

10 ‘‘(B) with particularity, all funds that are 

11 specifically or functionally related to the provi12 sion by the Secretary of services and benefits to 

13 self-governance Indian Tribes and members of 

14 Indian Tribes; 

15 ‘‘(C) the funds transferred to each Indian 

16 Tribe and the corresponding reduction in the 

17 Federal employees and workload; and 

18 ‘‘(D) the funding formula for individual 

19 Tribal shares of all Central Office funds, to20 gether with the comments of affected Indian 

21 Tribes, developed under subsection (d); 

22 ‘‘(3) before being submitted to Congress, be dis23 tributed to the Indian Tribes for comment (with a 

24 comment period of not less than 30 days); 


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1 ‘‘(4) include the separate views and comments 

2 of each Indian Tribe or Tribal organization; and 

3 ‘‘(5) include a list of— 

4 ‘‘(A) all such programs that the Secretary 

5 determines, in consultation with Indian Tribes 

6 participating in self-governance, are eligible for 

7 negotiation to be included in a funding agree8 ment at the request of a participating Indian 

9 Tribe; and 

10 ‘‘(B) all such programs which Indian 

11 Tribes have formally requested to include in a 

12 funding agreement under section 403(c) due to 

13 the special geographic, historical, or cultural 

14 significance of the program to the Indian Tribe, 

15 indicating whether each request was granted or 

16 denied, and stating the grounds for any denial. 

17 ‘‘(c) REPORT ON NON-BIA PROGRAMS.— 

18 ‘‘(1) IN GENERAL.—In order to optimize oppor19 tunities for including non-BIA programs in agree20 ments with Indian Tribes participating in self-gov21 ernance under this title, the Secretary shall review 

22 all programs administered by the Department, other 

23 than through the Bureau of Indian Affairs, the Of24 fice of the Assistant Secretary for Indian Affairs, or 

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1 ans, without regard to the agency or office con2 cerned. 

3 ‘‘(2) PROGRAMMATIC TARGETS.—The Secretary 

4 shall establish programmatic targets, after consulta5 tion with Indian Tribes participating in self-govern6 ance, to encourage bureaus of the Department to en7 sure that an appropriate portion of those programs 

8 are available to be included in funding agreements. 

9 ‘‘(3) PUBLICATION.—The lists under subsection 

10 (b)(5) and targets under paragraph (2) shall be pub11 lished in the Federal Register and made available to 

12 any Indian Tribe participating in self-governance. 

13 ‘‘(4) ANNUAL REVIEW.— 

14 ‘‘(A) IN GENERAL.—The Secretary shall 

15 annually review and publish in the Federal Reg16 ister, after consultation with Indian Tribes par17 ticipating in self-governance, revised lists and 

18 programmatic targets. 

19 ‘‘(B) CONTENTS.—In preparing the revised 

20 lists and programmatic targets, the Secretary 

21 shall consider all programs that were eligible 

22 for contracting in the original list published in 

23 the Federal Register in 1995, except for pro24 grams specifically determined not to be con25 tractible as a matter of law. 


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1 ‘‘(d) REPORT ON CENTRAL OFFICE FUNDS.—Not 

2 later than January 1, 2019, the Secretary shall, in con3 sultation with Indian Tribes, develop a funding formula 

4 to determine the individual Tribal share of funds con5 trolled by the Central Office of the Bureau of Indian Af6 fairs and the Office of the Special Trustee for inclusion 

7 in the compacts. 

8 ‘‘SEC. 413. REGULATIONS. 

9 ‘‘(a) IN GENERAL.— 

10 ‘‘(1) PROMULGATION.—Not later than 90 days 

11 after the date of enactment of the PROGRESS for 

12 Indian Tribes Act, the Secretary shall initiate proce13 dures under subchapter III of chapter 5 of title 5, 

14 United States Code, to negotiate and promulgate 

15 such regulations as are necessary to carry out this 

16 title. 

17 ‘‘(2) PUBLICATION OF PROPOSED REGULA18 TIONS.—Proposed regulations to implement this title 

19 shall be published in the Federal Register not later 

20 than 21 months after the date of enactment of the 

21 PROGRESS for Indian Tribes Act. 

22 ‘‘(3) EXPIRATION OF AUTHORITY.—The author23 ity to promulgate regulations under paragraph (1) 

24 shall expire on the date that is 30 months after the 


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1 date of enactment of the PROGRESS for Indian 

2 Tribes Act. 

3 ‘‘(b) COMMITTEE.— 

4 ‘‘(1) MEMBERSHIP.—A negotiated rulemaking 

5 committee established pursuant to section 565 of 

6 title 5, United States Code, to carry out this section 

7 shall have as its members only representatives of the 

8 Federal Government and Tribal government. 

9 ‘‘(2) LEAD AGENCY.—Among the Federal rep10 resentatives described in paragraph (1), the Office of 

11 Self-Governance shall be the lead agency for the De12 partment. 

13 ‘‘(c) ADAPTATION OF PROCEDURES.—The Secretary 

14 shall adapt the negotiated rulemaking procedures to the 

15 unique context of self-governance and the government-to16 government relationship between the United States and 

17 Indian Tribes. 

18 ‘‘(d) EFFECT.— 

19 ‘‘(1) REPEAL.—The Secretary may repeal any 

20 regulation that is inconsistent with this Act. 

21 ‘‘(2) CONFLICTING PROVISIONS.—Subject to 

22 section 101(a) of the PROGRESS for Indian Tribes 

23 Act and except with respect to programs described 

24 under section 403(c), this title shall supersede any 


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1 conflicting provision of law (including any conflicting 

2 regulations). 

3 ‘‘(3) EFFECTIVENESS WITHOUT REGARD TO

4 REGULATIONS.—The lack of promulgated regula5 tions on an issue shall not limit the effect or imple6 mentation of this title. 

7 ‘‘SEC. 414. EFFECT OF CIRCULARS, POLICIES, MANUALS, 

8 GUIDANCE, AND RULES. 

9 ‘‘Unless expressly agreed to by a participating Indian 

10 Tribe in a compact or funding agreement, the partici11 pating Indian Tribe shall not be subject to any agency 

12 circular, policy, manual, guidance, or rule adopted by the 

13 Department, except for— 

14 ‘‘(1) the eligibility provisions of section 105(g); 

15 and 

16 ‘‘(2) regulations promulgated pursuant to sec17 tion 413. 

18 ‘‘SEC. 415. APPEALS. 

19 ‘‘Except as provided in section 406(d), in any admin20 istrative action, appeal, or civil action for judicial review 

21 of any decision made by the Secretary under this title, 

22 the Secretary shall have the burden of proof of dem23 onstrating by a preponderance of the evidence— 

24 ‘‘(1) the validity of the grounds for the decision; 

25 and 


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1 ‘‘(2) the consistency of the decision with the re2 quirements and policies of this title. 

3 ‘‘SEC. 416. APPLICATION OF OTHER PROVISIONS. 

4 ‘‘Section 314 of the Department of the Interior and 

5 Related Agencies Appropriations Act, 1991 (Public Law 

6 101–512; 104 Stat. 1959), shall apply to compacts and 

7 funding agreements entered into under this title. 

8 ‘‘SEC. 417. AUTHORIZATION OF APPROPRIATIONS. 

9 ‘‘There are authorized to be appropriated such sums 

10 as may be necessary to carry out this title.’’. 

11 TITLE II—INDIAN SELF12 DETERMINATION 

13 SEC. 201. DEFINITIONS; REPORTING AND AUDIT REQUIRE14 MENTS; APPLICATION OF PROVISIONS. 

15 (a) DEFINITIONS.— 

16 (1) IN GENERAL.—Section 4 of the Indian Self17 Determination and Education Assistance Act (25 

18 U.S.C. 5304) is amended by striking subsection (j) 

19 and inserting the following: 

20 ‘‘(j) ‘self-determination contract’ means a contract 

21 entered into under title I (or a grant or cooperative agree22 ment used under section 9) between a Tribal organization 

23 and the appropriate Secretary for the planning, conduct, 

24 and administration of programs or services that are other25 wise provided to Indian Tribes and members of Indian 


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1 Tribes pursuant to Federal law, subject to the condition 

2 that, except as provided in section 105(a)(3), no contract 

3 entered into under title I (or grant or cooperative agree4 ment used under section 9) shall be— 

5 ‘‘(1) considered to be a procurement contract; 

6 or 

7 ‘‘(2) except as provided in section 107(a)(1), 

8 subject to any Federal procurement law (including 

9 regulations);’’. 

10 (2) TECHNICAL AMENDMENTS.—Section 4 of 

11 the Indian Self-Determination and Education Assist12 ance Act (25 U.S.C. 5304), as amended by para13 graph (1), is further amended— 

14 (A) in subsection (e), by striking ‘‘ ‘Indian 

15 tribe’ means’’ and inserting ‘‘ ‘Indian tribe’ or 

16 ‘Indian Tribe’ means’’; and 

17 (B) in subsection (l), by striking ‘‘ ‘tribal 

18 organization’ means’’ and inserting ‘‘ ‘Tribal or19 ganization’ or ‘tribal organization’ means’’. 

20 (b) REPORTING AND AUDIT REQUIREMENTS.—Sec21 tion 5 of the Indian Self-Determination and Education As22 sistance Act (25 U.S.C. 5305) is amended— 

23 (1) in subsection (b)— 

24 (A) by striking ‘‘after completion of the 

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1 ceding subsection of this section’’ and inserting 

2 ‘‘after the retention period for the report that 

3 is submitted to the Secretary under subsection 

4 (a)’’; and 

5 (B) by adding at the end the following: 

6 ‘‘The retention period shall be defined in regu7 lations promulgated by the Secretary pursuant 

8 to section 413.’’; and 

9 (2) in subsection (f)(1), by inserting ‘‘if the In10 dian Tribal organization expends $500,000 or more 

11 in Federal awards during such fiscal year’’ after 

12 ‘‘under this Act,’’. 

13 (c) EFFECTIVE DATE.—The amendment made by 

14 subsection (b)(2) shall not take effect until 14 months 

15 after the date of enactment of this Act. 

16 (d) APPLICATION OF OTHER PROVISIONS.—Sections 

17 4, 5, 6, 7, 102(c), 104, 105(a)(1), 105(f), 110, and 111 

18 of the Indian Self-Determination and Education Assist19 ance Act (25 U.S.C. 5304, 5305, 5306, 5307, 5321(c), 

20 5323, 5324(a)(1), 5324(f), 5331, and 5332) and section 

21 314 of the Department of the Interior and Related Agen22 cies Appropriations Act, 1991 (Public Law 101–512; 104 

23 Stat. 1959), apply to compacts and funding agreements 

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1 tion and Education Assistance Act (25 U.S.C. 5361 et 

2 seq.). 

3 SEC. 202. CONTRACTS BY SECRETARY OF THE INTERIOR. 

4 Section 102 of the Indian Self-Determination and 

5 Education Assistance Act (25 U.S.C. 5321) is amended— 

6 (1) in subsection (c)(2), by striking ‘‘economic 

7 enterprises’’ and all that follows through ‘‘except 

8 that’’ and inserting ‘‘economic enterprises (as de9 fined in section 3 of the Indian Financing Act of 

10 1974 (25 U.S.C. 1452)), except that’’; and 

11 (2) by adding at the end the following: 

12 ‘‘(f) GOOD FAITH REQUIREMENT.—In the negotia13 tion of contracts and funding agreements, the Secretary 

14 shall— 

15 ‘‘(1) at all times negotiate in good faith to 

16 maximize implementation of the self-determination 

17 policy; and 

18 ‘‘(2) carry out this Act in a manner that maxi19 mizes the policy of Tribal self-determination, in a 

20 manner consistent with— 

21 ‘‘(A) the purposes specified in section 3; 

22 and 

23 ‘‘(B) the PROGRESS for Indian Tribes 

24 Act. 


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1 ‘‘(g) RULE OF CONSTRUCTION.—Subject to section 

2 101(a) of the PROGRESS for Indian Tribes Act, each 

3 provision of this Act and each provision of a contract or 

4 funding agreement shall be liberally construed for the ben5 efit of the Indian Tribe participating in self-determination, 

6 and any ambiguity shall be resolved in favor of the Indian 

7 Tribe.’’. 

8 SEC. 203. ADMINISTRATIVE PROVISIONS. 

9 Section 105 of the Indian Self-Determination and 

10 Education Assistance Act (25 U.S.C. 5324) is amended— 

11 (1) in subsection (b), in the first sentence, by 

12 striking ‘‘pursuant to’’ and all that follows through 

13 ‘‘of this Act’’ and inserting ‘‘pursuant to sections 

14 102 and 103’’; and 

15 (2) by adding at the end the following: 

16 ‘‘(p) INTERPRETATION BY SECRETARY.—Except as 

17 otherwise provided by law, the Secretary shall interpret 

18 all Federal laws (including regulations) and Executive or19 ders in a manner that facilitates, to the maximum extent 

20 practicable— 

21 ‘‘(1) the inclusion in self-determination con22 tracts and funding agreements of— 

23 ‘‘(A) applicable programs, services, func24 tions, and activities (or portions thereof); and 


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1 ‘‘(B) funds associated with those pro2 grams, services, functions, and activities; 

3 ‘‘(2) the implementation of self-determination 

4 contracts and funding agreements; and 

5 ‘‘(3) the achievement of Tribal health objec6 tives. 

7 ‘‘(q)(1) TECHNICAL ASSISTANCE FOR INTERNAL

8 CONTROLS.—In considering proposals for, amendments 

9 to, or in the course of, a contract under this title and com10 pacts under titles IV and V of this Act, if the Secretary 

11 determines that the Indian Tribe lacks adequate internal 

12 controls necessary to manage the contracted program or 

13 programs, the Secretary shall, as soon as practicable, pro14 vide the necessary technical assistance to assist the Indian 

15 Tribe in developing adequate internal controls. As part of 

16 that technical assistance, the Secretary and the Tribe shall 

17 develop a plan for assessing the subsequent effectiveness 

18 of such technical assistance. The inability of the Secretary 

19 to provide technical assistance or lack of a plan under this 

20 subsection shall not result in the reassumption of an exist21 ing agreement, contract, or compact, or declination or re22 jection of a new agreement, contract, or compact. 

23 ‘‘(2) The Secretary shall prepare a report to be in24 cluded in the information required for the reports under 

25 sections 405(b)(1) and 514(b)(2)(A). The Secretary shall 


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1 include in this report, in the aggregate, a description of 

2 the internal controls that were inadequate, the technical 

3 assistance provided, and a description of Secretarial ac4 tions taken to address any remaining inadequate internal 

5 controls after the provision of technical assistance and im6 plementation of the plan required by paragraph (1).’’. 

7 SEC. 204. CONTRACT FUNDING AND INDIRECT COSTS. 

8 Section 106(a)(3) of the Indian Self-Determination 

9 and Education Assistance Act (25 U.S.C. 5325(a)(3)) is 

10 amended— 

11 (1) in subparagraph (A)— 

12 (A) in clause (i), by striking ‘‘, and’’ and 

13 inserting ‘‘; and’’; and 

14 (B) in clause (ii), by striking ‘‘expense re15 lated to the overhead incurred’’ and inserting 

16 ‘‘expense incurred by the governing body of the 

17 Indian Tribe or Tribal organization and any 

18 overhead expense incurred’’; 

19 (2) by redesignating subparagraph (B) as sub20 paragraph (C); and 

21 (3) by inserting after subparagraph (A) the fol22 lowing: 

23 ‘‘(B) In calculating the reimbursement rate 

24 for expenses described in subparagraph (A)(ii), 

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1 scribed in subparagraph (A)(ii) that are in2 curred by the governing body of an Indian 

3 Tribe or Tribal organization relating to a Fed4 eral program, function, service, or activity car5 ried out pursuant to the contract shall be con6 sidered to be reasonable and allowable.’’. 

7 SEC. 205. CONTRACT OR GRANT SPECIFICATIONS. 

8 Section 108 of the Indian Self-Determination and 

9 Education Assistance Act (25 U.S.C. 5329) is amended— 

10 (1) in subsection (a)(2), by inserting ‘‘subject 

11 to subsections (a) and (b) of section 102,’’ before 

12 ‘‘contain’’; 

13 (2) in subsection (f)(2)(A)(ii) of the model 

14 agreement contained in subsection (c), by inserting 

15 ‘‘subject to subsections (a) and (b) of section 102 of 

16 the Indian Self-Determination and Education Assist17 ance Act (25 U.S.C. 5321),’’ before ‘‘such other pro18 visions’’; and 

19 (3) in subsection (b)(7)(C) of the model agree20 ment contained in subsection (c), in the second sen21 tence of the matter preceding clause (i), by striking 


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1 ‘‘one performance monitoring visit’’ and inserting 

2 ‘‘two performance monitoring visits’’. 

Passed the Senate September 28, 2018. 

Attest: JULIE E. ADAMS, 

Secretary. 


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