116TH CONGRESS 

1ST SESSION S. 209 

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 2019’’ 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), 

25 the applicability or effect of any Federal law re-
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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. 5362) 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 

25 through the Director of the Office of Self-Gov-
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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, 2 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 (4) in subsection (k), by striking ‘‘section 

17 405(c)(1)’’ and inserting ‘‘section 412(c)’’; and 

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

19 ‘‘(m) OTHER PROVISIONS.— 

20 ‘‘(1) EXCLUDED FUNDING.—A funding agree21 ment shall not authorize an Indian Tribe to plan, 

22 conduct, administer, or receive Tribal share funding 

23 under any program that— 
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1 ‘‘(A) is provided under the Tribally Con2 trolled Colleges and Universities Assistance Act 

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

4 ‘‘(B) is provided for elementary and sec5 ondary schools under the formula developed 

6 under section 1127 of the Education Amend7 ments of 1978 (25 U.S.C. 2007). 

8 ‘‘(2) SERVICES, FUNCTIONS, AND RESPONSIBIL9 ITIES.—A funding agreement shall specify— 

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

11 funding agreement; 

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

13 the funding agreement; and 

14 ‘‘(C) the responsibilities of the Indian 

15 Tribe and the Secretary under the funding 

16 agreement. 

17 ‘‘(3) BASE BUDGET.— 

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

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

20 for a stable base budget specifying the recur21 ring funds (which may include funds available 

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

23 Indian Tribe, for such period as the Indian 

24 Tribe specifies in the funding agreement, sub-
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1 ject to annual adjustment only to reflect 

2 changes in congressional appropriations. 

3 ‘‘(B) LIMITATIONS.—Notwithstanding sub4 paragraph (A), a funding agreement shall not 

5 specify funding associated with a program de6 scribed in subsection (b)(2) or (c) unless the 

7 Secretary agrees. 

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

9 A funding agreement shall prohibit the Secretary 

10 from waiving, modifying, or diminishing in any way 

11 the trust responsibility of the United States with re12 spect to Indian Tribes and individual Indians that 

13 exists under treaties, Executive orders, court deci14 sions, and other laws. 

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

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

17 funding agreement without the consent of the Indian 

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

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

20 become effective on the date specified in the funding 

21 agreement. 

22 ‘‘(p) EXISTING AND SUBSEQUENT FUNDING AGREE23 MENTS.— 

24 ‘‘(1) SUBSEQUENT FUNDING AGREEMENTS.— 

25 Absent notification from an Indian Tribe that the 
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1 Indian Tribe is withdrawing or retroceding the oper2 ation of one or more programs identified in a fund3 ing agreement, or unless otherwise agreed to by the 

4 parties to the funding agreement or by the nature 

5 of any noncontinuing program, service, function, or 

6 activity contained in a funding agreement— 

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

8 full force and effect until a subsequent funding 

9 agreement is executed, with funding paid annu10 ally for each fiscal year the agreement is in ef11 fect; and 

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

13 agreement shall be retroactive to the end of the 

14 term of the preceding funding agreement for 

15 the purposes of calculating the amount of fund16 ing to which the Indian Tribe is entitled. 

17 ‘‘(2) DISPUTES.—Disputes over the implemen18 tation of paragraph (1)(A) shall be subject to section 

19 406(c). 

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

21 Indian Tribe that was participating in self-govern22 ance under this title on the date of enactment of the 

23 PROGRESS for Indian Tribes Act shall have the 

24 option at any time after that date— 
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1 ‘‘(A) to retain its existing funding agree2 ment (in whole or in part) to the extent that 

3 the provisions of that funding agreement are 

4 not directly contrary to any express provision of 

5 this title; or 

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

7 in a manner consistent with this title. 

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

9 Indian Tribe may, at the discretion of the Indian 

10 Tribe, negotiate with the Secretary for a funding 

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

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

13 Self-Determination and Education Assistance Act (25 

14 U.S.C. 5361 et seq.) is amended by striking sections 404 

15 through 408 and inserting the following: 

16 ‘‘SEC. 404. COMPACTS. 

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

18 and enter into a written compact with each Indian Tribe 

19 participating in self-governance in a manner consistent 

20 with the trust responsibility of the Federal Government, 

21 treaty obligations, and the government-to-government re22 lationship between Indian Tribes and the United States. 

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

24 shall— 
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1 ‘‘(1) specify and affirm the general terms of the 

2 government-to-government relationship between the 

3 Indian Tribe and the Secretary; and 

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

5 shall control during the term of the compact. 

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

7 may be amended only by agreement of the parties. 

8 ‘‘(d) EFFECTIVE DATE.—The effective date of a com9 pact under subsection (a) shall be— 

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

11 by the parties; or 

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

13 the parties. 

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

15 shall remain in effect— 

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

17 or 

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

19 retrocession, or reassumption. 

20 ‘‘(f) EXISTING COMPACTS.—An Indian Tribe partici21 pating in self-governance under this title, as in effect on 

22 the date of enactment of the PROGRESS for Indian 

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

24 date— 
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1 ‘‘(1) to retain its negotiated compact (in whole 

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

3 compact are not directly contrary to any express 

4 provision of this title; or 

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

6 consistent with this title. 

7 ‘‘SEC. 405. GENERAL PROVISIONS. 

8 ‘‘(a) APPLICABILITY.—An Indian Tribe and the Sec9 retary shall include in any compact or funding agreement 

10 provisions that reflect the requirements of this title. 

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

12 participating in self-governance shall ensure that internal 

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

14 and procedures, conflicts of interest in the administration 

15 of programs. 

16 ‘‘(c) AUDITS.— 

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

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

19 funding agreement under this title. 

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

21 apply cost principles under the applicable Office of 

22 Management and Budget circular, except as modi23 fied by— 

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

25 106; or 
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1 ‘‘(B) any exemptions to applicable Office 

2 of Management and Budget circulars subse3 quently granted by the Office of Management 

4 and Budget. 

5 ‘‘(3) FEDERAL CLAIMS.—Any claim by the Fed6 eral Government against an Indian Tribe relating to 

7 funds received under a funding agreement based on 

8 any audit under this subsection shall be subject to 

9 section 106(f). 

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

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

12 consolidate programs, or reallocate funds for programs, in 

13 a compact or funding agreement in any manner that the 

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

15 Indian community being served— 

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

17 does not have the effect of denying eligibility for 

18 services to population groups otherwise eligible to be 

19 served under applicable Federal law; and 

20 ‘‘(2) except that, with respect to the realloca21 tion, consolidation, and redesign of programs de22 scribed in subsection (b)(2) or (c) of section 403, a 

23 joint agreement between the Secretary and the In24 dian Tribe shall be required. 

25 ‘‘(e) RETROCESSION.— 
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1 ‘‘(1) IN GENERAL.—An Indian Tribe may fully 

2 or partially retrocede to the Secretary any program 

3 under a compact or funding agreement. 

4 ‘‘(2) EFFECTIVE DATE.— 

5 ‘‘(A) AGREEMENT.—Unless an Indian 

6 Tribe rescinds a request for retrocession under 

7 paragraph (1), the retrocession shall become ef8 fective on the date specified by the parties in 

9 the compact or funding agreement. 

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

11 a specification of an effective date in the com12 pact or funding agreement, the retrocession 

13 shall become effective on— 

14 ‘‘(i) the earlier of— 

15 ‘‘(I) 1 year after the date on 

16 which the request is submitted; and 

17 ‘‘(II) the date on which the fund18 ing agreement expires; or 

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

20 agreed upon by the Secretary and the In21 dian Tribe. 

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

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

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

25 this title, the Indian Tribe— 
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1 ‘‘(1) shall not be entitled to contract with the 

2 Secretary for funds under section 102, except that 

3 the Indian Tribe shall be eligible for new programs 

4 on the same basis as other Indian Tribes; and 

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

6 of programs in accordance with the compact or 

7 funding agreement. 

8 ‘‘(g) RECORDS.— 

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

10 specifies otherwise in the compact or funding agree11 ment, records of an Indian Tribe shall not be consid12 ered to be Federal records for purposes of chapter 

13 5 of title 5, United States Code. 

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

15 Tribe shall— 

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

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

18 days, provide the Secretary with reasonable ac19 cess to the records to enable the Department to 

20 meet the requirements of sections 3101 through 

21 3106 of title 44, United States Code. 

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

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

24 shall include a provision to monitor the performance of 
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1 trust functions by the Indian Tribe through the annual 

2 trust evaluation. 

3 ‘‘(b) REASSUMPTION.— 

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

5 agreement shall include provisions for the Secretary 

6 to reassume a program and associated funding if 

7 there is a specific finding relating to that program 

8 of— 

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

10 natural resource, or public health and safety 

11 that— 

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

13 the Indian Tribe; and 

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

15 out the compact or funding agreement; or 

16 ‘‘(B) gross mismanagement with respect to 

17 funds transferred to an Indian Tribe under a 

18 compact or funding agreement, as determined 

19 by the Secretary in consultation with the In20 spector General, as appropriate. 

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

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

23 unless— 
29 

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1 ‘‘(A) the Secretary first provides written 

2 notice and a hearing on the record to the In3 dian Tribe; and 

4 ‘‘(B) the Indian Tribe does not take cor5 rective action to remedy the mismanagement of 

6 the funds or programs, or the imminent jeop7 ardy to a trust asset, natural resource, or pub8 lic health and safety. 

9 ‘‘(3) EXCEPTION.— 

10 ‘‘(A) IN GENERAL.—Notwithstanding para11 graph (2), the Secretary may, on written notice 

12 to the Indian Tribe, immediately reassume op13 eration of a program if— 

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

15 imminent and substantial jeopardy and ir16 reparable harm to a trust asset, a natural 

17 resource, or the public health and safety 

18 caused by an act or omission of the Indian 

19 Tribe; and 

20 ‘‘(ii) the imminent and substantial 

21 jeopardy and irreparable harm to the trust 

22 asset, natural resource, or public health 

23 and safety arises out of a failure by the In24 dian Tribe to carry out the terms of an ap25 plicable compact or funding agreement. 
30 

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1 ‘‘(B) REASSUMPTION.—If the Secretary re2 assumes operation of a program under subpara3 graph (A), the Secretary shall provide the In4 dian Tribe with a hearing on the record not 

5 later than 10 days after the date of reassump6 tion. 

7 ‘‘(c) INABILITY TO AGREE ON COMPACT OR FUND8 ING AGREEMENT.— 

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

10 participating Indian Tribe are unable to agree, in 

11 whole or in part, on the terms of a compact or fund12 ing agreement (including funding levels), the Indian 

13 Tribe may submit a final offer to the Secretary. 

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

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

16 or more of the officials designated pursuant to para17 graph (4), the Secretary shall review and make a de18 termination with respect to the final offer, except 

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

20 days for circumstances beyond the control of the 

21 Secretary, upon written request by the Secretary to 

22 the Indian tribe. 

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

24 paragraph (2) may be extended for any length of 
31 

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

2 the Secretary. 

3 ‘‘(4) DESIGNATED OFFICIALS.— 

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

5 designate one or more appropriate officials in 

6 the Department to receive a copy of the final 

7 offer described in paragraph (1). 

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

9 designated, the Director of the Office of the Ex10 ecutive Secretariat and Regulatory Affairs shall 

11 be the designated official. 

12 ‘‘(5) NO TIMELY DETERMINATION.—If the Sec13 retary fails to make a determination with respect to 

14 a final offer within the period specified in paragraph 

15 (2), including any extension agreed to under para16 graph (3), the Secretary shall be deemed to have 

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

18 compact or funding agreement provision concerning 

19 a program described under section 403(c), the Sec20 retary shall be deemed to have rejected the offer 

21 with respect to such provision and the terms of 

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

23 apply. 

24 ‘‘(6) REJECTION OF FINAL OFFER.— 
32 

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1 ‘‘(A) IN GENERAL.—If the Secretary re2 jects a final offer (or one or more provisions or 

3 funding levels in a final offer), the Secretary 

4 shall— 

5 ‘‘(i) provide timely written notification 

6 to the Indian Tribe that contains a specific 

7 finding that clearly demonstrates, or that 

8 is supported by a controlling legal author9 ity, that— 

10 ‘‘(I) the amount of funds pro11 posed in the final offer exceeds the 

12 applicable funding level as determined 

13 under section 106(a)(1); 

14 ‘‘(II) the program that is the 

15 subject of the final offer is an inher16 ent Federal function or is subject to 

17 the discretion of the Secretary under 

18 section 403(c); 

19 ‘‘(III) the Indian Tribe cannot 

20 carry out the program in a manner 

21 that would not result in significant 

22 danger or risk to the public health or 

23 safety, to natural resources, or to 

24 trust resources; 
33 

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1 ‘‘(IV) the Indian Tribe is not eli2 gible to participate in self-governance 

3 under section 402(c); 

4 ‘‘(V) the funding agreement 

5 would violate a Federal statute or reg6 ulation; or 

7 ‘‘(VI) with respect to a program 

8 or portion of a program included in a 

9 final offer pursuant to section 

10 403(b)(2), the program or the portion 

11 of the program is not otherwise avail12 able to Indian Tribes or Indians 

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

14 ‘‘(ii) provide technical assistance to 

15 overcome the objections stated in the noti16 fication required by clause (i); 

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

18 hearing on the record with the right to en19 gage in full discovery relevant to any issue 

20 raised in the matter, and the opportunity 

21 for appeal on the objections raised, except 

22 that the Indian Tribe may, in lieu of filing 

23 such appeal, directly proceed to initiate an 

24 action in a United States district court 

25 under section 110(a); and 
34 

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1 ‘‘(iv) provide the Indian Tribe the op2 tion of entering into the severable portions 

3 of a final proposed compact or funding 

4 agreement (including a lesser funding 

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

6 reject, subject to any additional alterations 

7 necessary to conform the compact or fund8 ing agreement to the severed provisions. 

9 ‘‘(B) EFFECT OF EXERCISING CERTAIN

10 OPTION.—If an Indian Tribe exercises the op11 tion specified in subparagraph (A)(iv)— 

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

13 right to appeal the rejection by the Sec14 retary under this section; and 

15 ‘‘(ii) clauses (i), (ii), and (iii) of sub16 paragraph (A) shall apply only to the por17 tion of the proposed final compact or fund18 ing agreement that was rejected by the 

19 Secretary. 

20 ‘‘(d) BURDEN OF PROOF.—In any administrative ac21 tion, hearing, appeal, or civil action brought under this 

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

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

24 the evidence, the validity of the grounds for a re25 assumption under subsection (b); and 
35 

†S 209 ES

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

2 grounds for rejecting a final offer made under sub3 section (c). 

4 ‘‘(e) GOOD FAITH.— 

5 ‘‘(1) IN GENERAL.—In the negotiation of com6 pacts and funding agreements, the Secretary shall at 

7 all times negotiate in good faith to maximize imple8 mentation of the self-governance policy. 

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

10 this title in a manner that maximizes the policy of 

11 Tribal self-governance. 

12 ‘‘(f) SAVINGS.— 

13 ‘‘(1) IN GENERAL.—To the extent that pro14 grams carried out for the benefit of Indian Tribes 

15 and Tribal organizations under this title reduce the 

16 administrative or other responsibilities of the Sec17 retary with respect to the operation of Indian pro18 grams and result in savings that have not otherwise 

19 been included in the amount of Tribal shares and 

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

21 for funding agreements entered into for programs 

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

23 savings available to the Indian Tribes or Tribal or24 ganizations for the provision of additional services to 
36 

†S 209 ES

1 program beneficiaries in a manner equitable to di2 rectly served, contracted, and compacted programs. 

3 ‘‘(2) DISCRETIONARY PROGRAMS OF SPECIAL

4 SIGNIFICANCE.—For any savings generated as a re5 sult of the assumption of a program by an Indian 

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

7 made available to that Indian Tribe. 

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

9 not waive, modify, or diminish in any way the trust re10 sponsibility of the United States with respect to Indian 

11 Tribes and individual Indians that exists under treaties, 

12 Executive orders, other laws, or court decisions. 

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

14 final agency action and relates to an appeal within the 

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

16 be made by— 

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

18 position at a higher organizational level within the 

19 Department than the level of the departmental agen20 cy in which the decision that is the subject of the 

21 appeal was made; or 

22 ‘‘(2) an administrative law judge. 

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

24 101(a) of the PROGRESS for Indian Tribes Act, each 

25 provision of this title and each provision of a compact or 
37 

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1 funding agreement shall be liberally construed for the ben2 efit of the Indian Tribe participating in self-governance, 

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

4 Tribe. 

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

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

7 Tribal self-governance may carry out any construction 

8 project included in a compact or funding agreement under 

9 this title. 

10 ‘‘(b) TRIBAL OPTION TO CARRY OUT CERTAIN FED11 ERAL ENVIRONMENTAL ACTIVITIES.—In carrying out a 

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

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

14 some Federal responsibilities under the National Environ15 mental Policy Act of 1969 (42 U.S.C. 4321 et seq.), divi16 sion A of subtitle III of title 54, United States Code, and 

17 related provisions of other law and regulations that would 

18 apply if the Secretary were to undertake a construction 

19 project, by adopting a resolution— 

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

21 represent the Indian Tribe and to assume the status 

22 of a responsible Federal official under those Acts, 

23 laws, or regulations; and 

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

25 States courts for the purpose of enforcing the re-
38 

†S 209 ES

1 sponsibilities of the certifying Tribal officer assum2 ing the status of a responsible Federal official under 

3 those Acts, laws, or regulations. 

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

5 (b), nothing in this section authorizes the Secretary to in6 clude in any compact or funding agreement duties of the 

7 Secretary under the National Environmental Policy Act 

8 of 1969 (42 U.S.C. 4321 et seq.), division A of subtitle 

9 III of title 54, United States Code, and other related pro10 visions of law that are inherent Federal functions. 

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

12 construction project under this title, an Indian Tribe 

13 shall— 

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

15 and Tribal building codes, architectural and engi16 neering standards, and applicable Federal guidelines 

17 regarding design, space, and operational standards, 

18 appropriate for the particular project; and 

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

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

21 in which the facility will be built; and 

22 ‘‘(B) certify that— 

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

24 work required by the specific construction 

25 involved; and 
39 

†S 209 ES

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

2 plans and specifications meet or exceed the 

3 applicable construction and safety codes. 

4 ‘‘(e) TRIBAL ACCOUNTABILITY.— 

5 ‘‘(1) IN GENERAL.—In carrying out a construc6 tion project under this title, an Indian Tribe shall 

7 assume responsibility for the successful completion 

8 of the construction project and of a facility that is 

9 usable for the purpose for which the Indian Tribe 

10 received funding. 

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

12 project carried out by an Indian Tribe under this 

13 title, the Indian Tribe and the Secretary shall nego14 tiate a provision to be included in the funding agree15 ment that identifies— 

16 ‘‘(A) the approximate start and completion 

17 dates for the project, which may extend over a 

18 period of one or more years; 

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

20 including the scope of work, references to de21 sign criteria, and other terms and conditions; 

22 ‘‘(C) the responsibilities of the Indian 

23 Tribe and the Secretary for the project; 

24 ‘‘(D) how project-related environmental 

25 considerations will be addressed; 
40 

†S 209 ES

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

2 project; 

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

4 comply with the codes referenced in subsection 

5 (d)(1) and applicable Federal laws and regula6 tions; 

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

8 will bear any additional costs necessary to meet 

9 changes in scope, or errors or omissions in de10 sign and construction; and 

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

12 issue a certificate of occupancy, if requested by 

13 the Indian Tribe, based upon the review and 

14 verification by the Secretary, to the satisfaction 

15 of the Secretary, that the Indian Tribe has se16 cured upon completion the review and approval 

17 of the plans and specifications, sufficiency of 

18 design, life safety, and code compliance by 

19 qualified, licensed, and independent architects 

20 and engineers. 

21 ‘‘(f) FUNDING.— 

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

23 construction projects carried out under this title 

24 shall be included in funding agreements as annual or 
41 

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1 semiannual advance payments at the option of the 

2 Indian Tribe. 

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

4 shall include all associated project contingency funds 

5 with each advance payment, and the Indian Tribe 

6 shall be responsible for the management of such con7 tingency funds. 

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

9 Tribe, construction project funding proposals shall be ne10 gotiated pursuant to the statutory process in section 105, 

11 and any resulting construction project agreement shall be 

12 incorporated into the funding agreement as addenda. 

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

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

15 by the Secretary and the Indian Tribe— 

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

17 to the satisfaction of the Secretary, that project 

18 planning and design documents prepared by the 

19 Indian Tribe in advance of initial construction 

20 are in conformity with the obligations of the In21 dian Tribe under subsection (d); and 

22 ‘‘(B) before the project planning and de23 sign documents are implemented, the Secretary 

24 shall review and verify to the satisfaction of the 

25 Secretary that subsequent document amend-
42 

†S 209 ES

1 ments which result in a significant change in 

2 construction are in conformity with the obliga3 tions of the Indian Tribe under subsection (d). 

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

5 the Secretary with project progress and financial re6 ports not less than semiannually. 

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

8 conduct onsite project oversight visits semiannually 

9 or on an alternate schedule agreed to by the Sec10 retary and the Indian Tribe. 

11 ‘‘(i) APPLICATION OF OTHER LAWS.—Unless other12 wise agreed to by the Indian Tribe and except as otherwise 

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

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

15 or regulation pertaining to Federal procurement (includ16 ing Executive orders) shall apply to any construction pro17 gram or project carried out under this title. 

18 ‘‘(j) FUTURE FUNDING.—Upon completion of a facil19 ity constructed under this title, the Secretary shall include 

20 the facility among those eligible for annual operation and 

21 maintenance funding support comparable to that provided 

22 for similar facilities funded by the Department as annual 

23 appropriations are available and to the extent that the fa24 cility size and complexity and other factors do not exceed 

25 the funding formula criteria for comparable buildings. 
43 

†S 209 ES

1 ‘‘SEC. 408. PAYMENT. 

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

3 body of an Indian Tribe and under the terms of an appli4 cable funding agreement, the Secretary shall provide fund5 ing to the Indian Tribe to carry out the funding agree6 ment. 

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

8 the Indian Tribe, a funding agreement shall provide for 

9 an advance annual payment to an Indian Tribe. 

10 ‘‘(c) AMOUNT.— 

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

12 and sections 403 and 405, the Secretary shall pro13 vide funds to the Indian Tribe under a funding 

14 agreement for programs in an amount that is equal 

15 to the amount that the Indian Tribe would have 

16 been entitled to receive under contracts and grants 

17 under this Act (including amounts for direct pro18 gram and contract support costs and, in addition, 

19 any funds that are specifically or functionally related 

20 to the provision by the Secretary of services and 

21 benefits to the Indian Tribe or its members) without 

22 regard to the organization level within the Depart23 ment at which the programs are carried out. 

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

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

26 to, another Indian Tribe. 
44 

†S 209 ES

1 ‘‘(d) TIMING.— 

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

3 any compact or funding agreement entered into 

4 under this title, the Secretary shall transfer to the 

5 Indian Tribe all funds provided for in the funding 

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

7 funding for periods covered by joint resolution 

8 adopted by Congress making continuing appropria9 tions, to the extent permitted by such resolution. 

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

11 the date of enactment of the PROGRESS for Indian 

12 Tribes Act, in any instance in which a funding 

13 agreement requires an annual transfer of funding to 

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

15 semiannual or other periodic transfers of funding to 

16 be made commencing at the beginning of a fiscal 

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

18 than 10 days after the apportionment of such funds 

19 by the Office of Management and Budget to the De20 partment, unless the funding agreement provides 

21 otherwise. 

22 ‘‘(e) AVAILABILITY.—Funds for trust services to indi23 vidual Indians shall be available under a funding agree24 ment only to the extent that the same services that would 
45 

†S 209 ES

1 have been provided by the Secretary are provided to indi2 vidual Indians by the Indian Tribe. 

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

4 may provide for multiyear funding. 

5 ‘‘(g) LIMITATIONS ON AUTHORITY OF THE SEC6 RETARY.—The Secretary shall not— 

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

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

9 service unit office or other funds due under this title 

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

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

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

13 transfer over a period of years; or 

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

15 this title— 

16 ‘‘(A) to make funding available for self17 governance monitoring or administration by the 

18 Secretary; 

19 ‘‘(B) in subsequent years, except as nec20 essary as a result of— 

21 ‘‘(i) a reduction in appropriations 

22 from the previous fiscal year for the pro23 gram to be included in a compact or fund24 ing agreement; 
46 

†S 209 ES

1 ‘‘(ii) a congressional directive in legis2 lation or an accompanying report; 

3 ‘‘(iii) a Tribal authorization; 

4 ‘‘(iv) a change in the amount of pass5 through funds subject to the terms of the 

6 funding agreement; or 

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

8 program for which the funds were pro9 vided; 

10 ‘‘(C) to pay for Federal functions, includ11 ing— 

12 ‘‘(i) Federal pay costs; 

13 ‘‘(ii) Federal employee retirement ben14 efits; 

15 ‘‘(iii) automated data processing; 

16 ‘‘(iv) technical assistance; and 

17 ‘‘(v) monitoring of activities under 

18 this title; or 

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

20 displaced by self-determination contracts under 

21 this Act or self-governance under this title. 

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

23 elects to carry out a compact or funding agreement with 

24 the use of Federal personnel, Federal supplies (including 

25 supplies available from Federal warehouse facilities), Fed-
47 

†S 209 ES

1 eral supply sources (including lodging, airline transpor2 tation, and other means of transportation, including the 

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

4 resources (including supplies, services, and resources 

5 available to the Secretary under any procurement con6 tracts in which the Department is eligible to participate), 

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

8 transfer such personnel, supplies, or resources to the In9 dian Tribe under this title. 

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

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

12 due under a compact or funding agreement authorized 

13 under this title. 

14 ‘‘(j) INTEREST OR OTHER INCOME.— 

15 ‘‘(1) IN GENERAL.—An Indian Tribe may re16 tain interest or income earned on any funds paid 

17 under a compact or funding agreement to carry out 

18 governmental purposes. 

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

20 retention of interest or income under paragraph (1) 

21 shall not diminish the amount of funds an Indian 

22 Tribe is entitled to receive under a funding agree23 ment in the year the interest or income is earned or 

24 in any subsequent fiscal year. 
48 

†S 209 ES

1 ‘‘(3) INVESTMENT STANDARD.—Funds trans2 ferred under this title shall be managed by the In3 dian Tribe using the prudent investment standard, 

4 provided that the Secretary shall not be liable for 

5 any investment losses of funds managed by the In6 dian Tribe that are not otherwise guaranteed or in7 sured by the Federal Government. 

8 ‘‘(k) CARRYOVER OF FUNDS.— 

9 ‘‘(1) IN GENERAL.—Notwithstanding any provi10 sion of an appropriations Act, all funds paid to an 

11 Indian Tribe in accordance with a compact or fund12 ing agreement shall remain available until expended. 

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

14 Tribe elects to carry over funding from one year to 

15 the next, the carryover shall not diminish the 

16 amount of funds the Indian Tribe is entitled to re17 ceive under a funding agreement in that fiscal year 

18 or any subsequent fiscal year. 

19 ‘‘(l) LIMITATION OF COSTS.— 

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

21 be obligated to continue performance that requires 

22 an expenditure of funds in excess of the amount of 

23 funds transferred under a compact or funding agree24 ment. 
49 

†S 209 ES

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

2 time the Indian Tribe has reason to believe that the 

3 total amount provided for a specific activity under a 

4 compact or funding agreement is insufficient, the In5 dian Tribe shall provide reasonable notice of such in6 sufficiency to the Secretary. 

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

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

9 increase the amount of funds transferred under the 

10 funding agreement, the Indian Tribe may suspend 

11 performance of the activity until such time as addi12 tional funds are transferred. 

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

14 reduces any programs, services, or funds of, or pro15 vided to, another Indian Tribe. 

16 ‘‘(m) DISTRIBUTION OF FUNDS.—The Office of Self17 Governance shall be responsible for distribution of all Bu18 reau of Indian Affairs funds provided under this title un19 less otherwise agreed by the parties to an applicable fund20 ing agreement. 

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

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

23 PROGRESS for Indian Tribes Act applies to subsections 

24 (a) through (m). 
50 

†S 209 ES

1 ‘‘SEC. 409. FACILITATION. 

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

3 law (including section 101(a) of the PROGRESS for In4 dian Tribes Act), the Secretary shall interpret each Fed5 eral law and regulation in a manner that facilitates— 

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

7 agreements; and 

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

9 ‘‘(b) REGULATION WAIVER.— 

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

11 to the Secretary a written request for a waiver of 

12 applicability of a Federal regulation, including— 

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

14 the regulation sought to be waived; and 

15 ‘‘(B) the basis for the request. 

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

17 Not later than 120 days after receipt by the Sec18 retary and the designated officials under paragraph 

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

20 shall approve or deny the requested waiver in writ21 ing to the Indian Tribe. 

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

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

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

25 the Secretary. 
51 

†S 209 ES

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

2 shall designate one or more appropriate officials in 

3 the Department to receive a copy of the waiver re4 quest described in paragraph (1). 

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

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

7 specific finding by the Secretary that the identified 

8 text in the regulation may not be waived because 

9 such a waiver is prohibited by Federal law. 

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

11 the Secretary fails to make a determination with re12 spect to a waiver request within the period specified 

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

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

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

16 waiver request relating to programs eligible under 

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

18 shall be deemed to have denied the request. 

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

20 under this section shall be final for the Department. 

21 ‘‘SEC. 410. DISCRETIONARY APPLICATION OF OTHER SEC22 TIONS. 

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

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

25 at the option of a participating Indian Tribe or Indian 
52 

†S 209 ES

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

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

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

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

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

6 subsection (a) shall— 

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

8 in full in this title; 

9 ‘‘(2) supplement or replace any related provi10 sion in this title; and 

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

12 this title. 

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

14 incorporation at the negotiation stage of a compact or 

15 funding agreement, the incorporation shall— 

16 ‘‘(1) be effective immediately; and 

17 ‘‘(2) control the negotiation and resulting com18 pact and funding agreement. 

19 ‘‘SEC. 411. ANNUAL BUDGET LIST. 

20 ‘‘The Secretary shall list, in the annual budget re21 quest submitted to Congress under section 1105 of title 

22 31, United States Code, any funds proposed to be included 

23 in funding agreements authorized under this title. 

24 ‘‘SEC. 412. REPORTS. 

25 ‘‘(a) IN GENERAL.— 
53 

†S 209 ES

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

2 year, the Secretary shall submit to Congress a re3 port regarding the administration of this title. 

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

5 to the Office of Self-Governance and to the appro6 priate committees of Congress a detailed annual 

7 analysis of unmet Tribal needs for funding agree8 ments under this title. 

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

10 shall— 

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

12 funding agreements, annual audit reports, and data 

13 of the Secretary regarding the disposition of Federal 

14 funds; 

15 ‘‘(2) identify— 

16 ‘‘(A) the relative costs and benefits of self17 governance; 

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

19 specifically or functionally related to the provi20 sion by the Secretary of services and benefits to 

21 self-governance Indian Tribes and members of 

22 Indian Tribes; 

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

24 Tribe and the corresponding reduction in the 

25 Federal employees and workload; and 
54 

†S 209 ES

1 ‘‘(D) the funding formula for individual 

2 Tribal shares of all Central Office funds, to3 gether with the comments of affected Indian 

4 Tribes, developed under subsection (d); 

5 ‘‘(3) before being submitted to Congress, be dis6 tributed to the Indian Tribes for comment (with a 

7 comment period of not less than 30 days); 

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

9 of each Indian Tribe or Tribal organization; and 

10 ‘‘(5) include a list of— 

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

12 determines, in consultation with Indian Tribes 

13 participating in self-governance, are eligible for 

14 negotiation to be included in a funding agree15 ment at the request of a participating Indian 

16 Tribe; and 

17 ‘‘(B) all such programs which Indian 

18 Tribes have formally requested to include in a 

19 funding agreement under section 403(c) due to 

20 the special geographic, historical, or cultural 

21 significance of the program to the Indian Tribe, 

22 indicating whether each request was granted or 

23 denied, and stating the grounds for any denial. 

24 ‘‘(c) REPORT ON NON-BIA PROGRAMS.— 
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1 ‘‘(1) IN GENERAL.—In order to optimize oppor2 tunities for including non-BIA programs in agree3 ments with Indian Tribes participating in self-gov4 ernance under this title, the Secretary shall review 

5 all programs administered by the Department, other 

6 than through the Bureau of Indian Affairs, the Of7 fice of the Assistant Secretary for Indian Affairs, or 

8 the Office of the Special Trustee for American Indi9 ans, without regard to the agency or office con10 cerned. 

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

12 shall establish programmatic targets, after consulta13 tion with Indian Tribes participating in self-govern14 ance, to encourage bureaus of the Department to en15 sure that an appropriate portion of those programs 

16 are available to be included in funding agreements. 

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

18 (b)(5) and targets under paragraph (2) shall be pub19 lished in the Federal Register and made available to 

20 any Indian Tribe participating in self-governance. 

21 ‘‘(4) ANNUAL REVIEW.— 

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

23 annually review and publish in the Federal Reg24 ister, after consultation with Indian Tribes par-
56 

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1 ticipating in self-governance, revised lists and 

2 programmatic targets. 

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

4 lists and programmatic targets, the Secretary 

5 shall consider all programs that were eligible 

6 for contracting in the original list published in 

7 the Federal Register in 1995, except for pro8 grams specifically determined not to be con9 tractible as a matter of law. 

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

11 later than January 1, 2020, the Secretary shall, in con12 sultation with Indian Tribes, develop a funding formula 

13 to determine the individual Tribal share of funds con14 trolled by the Central Office of the Bureau of Indian Af15 fairs and the Office of the Special Trustee for inclusion 

16 in the compacts. 

17 ‘‘SEC. 413. REGULATIONS. 

18 ‘‘(a) IN GENERAL.— 

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

20 after the date of enactment of the PROGRESS for 

21 Indian Tribes Act, the Secretary shall initiate proce22 dures under subchapter III of chapter 5 of title 5, 

23 United States Code, to negotiate and promulgate 

24 such regulations as are necessary to carry out this 

25 title. 
57 

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1 ‘‘(2) PUBLICATION OF PROPOSED REGULA2 TIONS.—Proposed regulations to implement this title 

3 shall be published in the Federal Register not later 

4 than 21 months after the date of enactment of the 

5 PROGRESS for Indian Tribes Act. 

6 ‘‘(3) EXPIRATION OF AUTHORITY.—The author7 ity to promulgate regulations under paragraph (1) 

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

9 date of enactment of the PROGRESS for Indian 

10 Tribes Act. 

11 ‘‘(b) COMMITTEE.— 

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

13 committee established pursuant to section 565 of 

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

15 shall have as its members only representatives of the 

16 Federal Government and Tribal government. 

17 ‘‘(2) LEAD AGENCY.—Among the Federal rep18 resentatives described in paragraph (1), the Office of 

19 Self-Governance shall be the lead agency for the De20 partment. 

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

22 shall adapt the negotiated rulemaking procedures to the 

23 unique context of self-governance and the government-to24 government relationship between the United States and 

25 Indian Tribes. 
58 

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1 ‘‘(d) EFFECT.— 

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

3 regulation that is inconsistent with this Act. 

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

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

6 Act and except with respect to programs described 

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

8 conflicting provision of law (including any conflicting 

9 regulations). 

10 ‘‘(3) EFFECTIVENESS WITHOUT REGARD TO

11 REGULATIONS.—The lack of promulgated regula12 tions on an issue shall not limit the effect or imple13 mentation of this title. 

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

15 GUIDANCE, AND RULES. 

16 ‘‘Unless expressly agreed to by a participating Indian 

17 Tribe in a compact or funding agreement, the partici18 pating Indian Tribe shall not be subject to any agency 

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

20 Department, except for— 

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

22 and 

23 ‘‘(2) regulations promulgated pursuant to sec24 tion 413. 
59 

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1 ‘‘SEC. 415. APPEALS. 

2 ‘‘Except as provided in section 406(d), in any admin3 istrative action, appeal, or civil action for judicial review 

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

5 the Secretary shall have the burden of proof of dem6 onstrating by a preponderance of the evidence— 

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

8 and 

9 ‘‘(2) the consistency of the decision with the re10 quirements and policies of this title. 

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

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

13 Related Agencies Appropriations Act, 1991 (Public Law 

14 101–512; 104 Stat. 1959), shall apply to compacts and 

15 funding agreements entered into under this title. 

16 ‘‘SEC. 417. AUTHORIZATION OF APPROPRIATIONS. 

17 ‘‘There are authorized to be appropriated such sums 

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

19 TITLE II—INDIAN SELF20 DETERMINATION 

21 SEC. 201. DEFINITIONS; REPORTING AND AUDIT REQUIRE22 MENTS; APPLICATION OF PROVISIONS. 

23 (a) DEFINITIONS.— 

24 (1) IN GENERAL.—Section 4 of the Indian Self25 Determination and Education Assistance Act (25 
60 

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

2 and inserting the following: 

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

4 entered into under title I (or a grant or cooperative agree5 ment used under section 9) between a Tribal organization 

6 and the appropriate Secretary for the planning, conduct, 

7 and administration of programs or services that are other8 wise provided to Indian Tribes and members of Indian 

9 Tribes pursuant to Federal law, subject to the condition 

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

11 entered into under title I (or grant or cooperative agree12 ment used under section 9) shall be— 

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

14 or 

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

16 subject to any Federal procurement law (including 

17 regulations);’’. 

18 (2) TECHNICAL AMENDMENTS.—Section 4 of 

19 the Indian Self-Determination and Education Assist20 ance Act (25 U.S.C. 5304), as amended by para21 graph (1), is further amended— 

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

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

24 ‘Indian Tribe’ means’’; and 
61 

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

2 organization’ means’’ and inserting ‘‘ ‘Tribal or3 ganization’ or ‘tribal organization’ means’’. 

4 (b) REPORTING AND AUDIT REQUIREMENTS.—Sec5 tion 5 of the Indian Self-Determination and Education As6 sistance Act (25 U.S.C. 5305) is amended— 

7 (1) in subsection (b)— 

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

9 project or undertaking referred to in the pre10 ceding subsection of this section’’ and inserting 

11 ‘‘after the retention period for the report that 

12 is submitted to the Secretary under subsection 

13 (a)’’; and 

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

15 ‘‘The retention period shall be defined in regu16 lations promulgated by the Secretary pursuant 

17 to section 413.’’; and 

18 (2) in subsection (f)(1), by inserting ‘‘if the In19 dian Tribal organization expends $500,000 or more 

20 in Federal awards during such fiscal year’’ after 

21 ‘‘under this Act,’’. 

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

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

24 after the date of enactment of this Act. 
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1 (d) APPLICATION OF OTHER PROVISIONS.—Sections 

2 4, 5, 6, 7, 102(c), 104, 105(a)(1), 105(f), 110, and 111 

3 of the Indian Self-Determination and Education Assist4 ance Act (25 U.S.C. 5304, 5305, 5306, 5307, 5321(c), 

5 5323, 5324(a)(1), 5324(f), 5331, and 5332) and section 

6 314 of the Department of the Interior and Related Agen7 cies Appropriations Act, 1991 (Public Law 101–512; 104 

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

9 entered into under title IV of the Indian Self-Determina10 tion and Education Assistance Act (25 U.S.C. 5361 et 

11 seq.). 

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

13 Section 102 of the Indian Self-Determination and 

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

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

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

17 that’’ and inserting ‘‘economic enterprises (as de18 fined in section 3 of the Indian Financing Act of 

19 1974 (25 U.S.C. 1452)), except that’’; and 

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

21 ‘‘(f) GOOD FAITH REQUIREMENT.—In the negotia22 tion of contracts and funding agreements, the Secretary 

23 shall— 
63 

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

2 maximize implementation of the self-determination 

3 policy; and 

4 ‘‘(2) carry out this Act in a manner that maxi5 mizes the policy of Tribal self-determination, in a 

6 manner consistent with— 

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

8 and 

9 ‘‘(B) the PROGRESS for Indian Tribes 

10 Act. 

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

12 101(a) of the PROGRESS for Indian Tribes Act, each 

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

14 funding agreement shall be liberally construed for the ben15 efit of the Indian Tribe participating in self-determination, 

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

17 Tribe.’’. 

18 SEC. 203. ADMINISTRATIVE PROVISIONS. 

19 Section 105 of the Indian Self-Determination and 

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

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

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

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

24 102 and 103’’; and 

25 (2) by adding at the end the following: 
64 

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

2 otherwise provided by law, the Secretary shall interpret 

3 all Federal laws (including regulations) and Executive or4 ders in a manner that facilitates, to the maximum extent 

5 practicable— 

6 ‘‘(1) the inclusion in self-determination con7 tracts and funding agreements of— 

8 ‘‘(A) applicable programs, services, func9 tions, and activities (or portions thereof); and 

10 ‘‘(B) funds associated with those pro11 grams, services, functions, and activities; 

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

13 contracts and funding agreements; and 

14 ‘‘(3) the achievement of Tribal health objec15 tives. 

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

17 CONTROLS.—In considering proposals for, amendments 

18 to, or in the course of, a contract under this title and com19 pacts under titles IV and V of this Act, if the Secretary 

20 determines that the Indian Tribe lacks adequate internal 

21 controls necessary to manage the contracted program or 

22 programs, the Secretary shall, as soon as practicable, pro23 vide the necessary technical assistance to assist the Indian 

24 Tribe in developing adequate internal controls. As part of 

25 that technical assistance, the Secretary and the Tribe shall 
65 

†S 209 ES

1 develop a plan for assessing the subsequent effectiveness 

2 of such technical assistance. The inability of the Secretary 

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

4 subsection shall not result in the reassumption of an exist5 ing agreement, contract, or compact, or declination or re6 jection of a new agreement, contract, or compact. 

7 ‘‘(2) The Secretary shall prepare a report to be in8 cluded in the information required for the reports under 

9 sections 412(b)(2)(A) and 514(b)(2)(A). The Secretary 

10 shall include in this report, in the aggregate, a description 

11 of the internal controls that were inadequate, the technical 

12 assistance provided, and a description of Secretarial ac13 tions taken to address any remaining inadequate internal 

14 controls after the provision of technical assistance and im15 plementation of the plan required by paragraph (1).’’. 

16 SEC. 204. CONTRACT FUNDING AND INDIRECT COSTS. 

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

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

19 amended— 

20 (1) in subparagraph (A)— 

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

22 inserting ‘‘; and’’; and 

23 (B) in clause (ii), by striking ‘‘expense re24 lated to the overhead incurred’’ and inserting 

25 ‘‘expense incurred by the governing body of the 
66 

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1 Indian Tribe or Tribal organization and any 

2 overhead expense incurred’’; 

3 (2) by redesignating subparagraph (B) as sub4 paragraph (C); and 

5 (3) by inserting after subparagraph (A) the fol6 lowing: 

7 ‘‘(B) In calculating the reimbursement rate 

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

9 not less than 50 percent of the expenses de10 scribed in subparagraph (A)(ii) that are in11 curred by the governing body of an Indian 

12 Tribe or Tribal organization relating to a Fed13 eral program, function, service, or activity car14 ried out pursuant to the contract shall be con15 sidered to be reasonable and allowable.’’. 

16 SEC. 205. CONTRACT OR GRANT SPECIFICATIONS. 

17 Section 108 of the Indian Self-Determination and 

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

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

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

21 ‘‘contain’’; 

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

23 agreement contained in subsection (c), by inserting 

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

25 the Indian Self-Determination and Education Assist-
67 

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1 ance Act (25 U.S.C. 5321),’’ before ‘‘such other pro2 visions’’; and 

3 (3) in subsection (b)(7)(C) of the model agree4 ment contained in subsection (c), in the second sen5 tence of the matter preceding clause (i), by striking 

6 ‘‘one performance monitoring visit’’ and inserting 

7 ‘‘two performance monitoring visits’’. 

Passed the Senate June 27, 2019. 

Attest: 

Secretary. 
116TH CONGRESS 

1ST SESSION S. 209 

AN ACT 

To amend the Indian Self-Determination and Eduposes. ernance by Indian Tribes, and for other pur- cation Assistance Act to provide further self-gov-