H. R. 1167
One Hundred Sixth Congress
of the
United States of America
AT THE SECOND SESSION
Begun and held at the City of Washington on Monday,
the twenty-fourth day of January, two thousand
An Act
To amend the Indian Self-Determination and Education Assistance Act to provide
for further self-governance by Indian tribes, and for other purposes.
Be it enacted by the Senate and House of Representatives of
the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ‘‘Tribal Self-Governance Amend-
ments of 2000’’.
SEC. 2. FINDINGS.
Congress finds that—
(1) the tribal right of self-government flows from the
inherent sovereignty of Indian tribes and nations;
(2) the United States recognizes a special government-
to-government relationship with Indian tribes, including the
right of the Indian tribes to self-governance, as reflected in
the Constitution, treaties, Federal statutes, and the course
of dealings of the United States with Indian tribes;
(3) although progress has been made, the Federal bureauc-
racy, with its centralized rules and regulations, has eroded
tribal self-governance and dominates tribal affairs;
(4) the Tribal Self-Governance Demonstration Project,
established under title III of the Indian Self-Determination
and Education Assistance Act (25 U.S.C. 450f note) was
designed to improve and perpetuate the government-to-govern-
ment relationship between Indian tribes and the United States
and to strengthen tribal control over Federal funding and pro-
gram management;
(5) although the Federal Government has made consider-
able strides in improving Indian health care, it has failed
to fully meet its trust responsibilities and to satisfy its obliga-
tions to the Indian tribes under treaties and other laws; and
(6) Congress has reviewed the results of the Tribal Self-
Governance Demonstration Project and finds that transferring
full control and funding to tribal governments, upon tribal
request, over decision making for Federal programs, services,
functions, and activities (or portions thereof )—
(A) is an appropriate and effective means of imple-
menting the Federal policy of government-to-government
relations with Indian tribes; and
(B) strengthens the Federal policy of Indian self-deter-
mination.
H. R. 1167—2
SEC. 3. DECLARATION OF POLICY.
It is the policy of Congress—
(1) to permanently establish and implement tribal self-
governance within the Department of Health and Human Serv-
ices;
(2) to call for full cooperation from the Department of
Health and Human Services and its constituent agencies in
the implementation of tribal self-governance—
(A) to enable the United States to maintain and
improve its unique and continuing relationship with, and
responsibility to, Indian tribes;
(B) to permit each Indian tribe to choose the extent
of its participation in self-governance in accordance with
the provisions of the Indian Self-Determination and Edu-
cation Assistance Act relating to the provision of Federal
services to Indian tribes;
(C) to ensure the continuation of the trust responsi-
bility of the United States to Indian tribes and Indian
individuals;
(D) to affirm and enable the United States to fulfill
its obligations to the Indian tribes under treaties and other
laws;
(E) to strengthen the government-to-government rela-
tionship between the United States and Indian tribes
through direct and meaningful consultation with all tribes;
(F) to permit an orderly transition from Federal
domination of programs and services to provide Indian
tribes with meaningful authority, control, funding, and
discretion to plan, conduct, redesign, and administer pro-
grams, services, functions, and activities (or portions
thereof ) that meet the needs of the individual tribal
communities;
(G) to provide for a measurable parallel reduction in
the Federal bureaucracy as programs, services, functions,
and activities (or portion thereof ) are assumed by Indian
tribes;
(H) to encourage the Secretary to identify all programs,
services, functions, and activities (or portions thereof ) of
the Department of Health and Human Services that may
be managed by an Indian tribe under this Act and to
assist Indian tribes in assuming responsibility for such
programs, services, functions, and activities (or portions
thereof ); and
(I) to provide Indian tribes with the earliest oppor-
tunity to administer programs, services, functions, and
activities (or portions thereof ) from throughout the Depart-
ment of Health and Human Services.
SEC. 4. TRIBAL SELF-GOVERNANCE.
The Indian Self-Determination and Education Assistance Act
(25 U.S.C. 450 et seq.) is amended by adding at the end the
following:
H. R. 1167—3
‘‘TITLE V—TRIBAL SELF-GOVERNANCE
‘‘SEC. 501. DEFINITIONS.
‘‘(a) IN GENERAL.—In this title:
‘‘(1) CONSTRUCTION
PROJECT.—The term ‘construction
project’—
‘‘(A) means an organized noncontinuous undertaking
to complete a specific set of predetermined objectives for
the 
planning, 
environmental 
determination, 
design,
construction, 
repair, 
improvement, 
or 
expansion 
of
buildings or facilities, as described in a construction project
agreement; and
‘‘(B) does not include construction program administra-
tion and activities described in paragraphs (1) through
(3) of section 4(m), that may otherwise be included in
a funding agreement under this title.
‘‘(2) 
CONSTRUCTION
PROJECT
AGREEMENT.—The 
term
‘construction project agreement’ means a negotiated agreement
between the Secretary and an Indian tribe, that at a
minimum—
‘‘(A) establishes project phase start and completion
dates;
‘‘(B) defines a specific scope of work and standards
by which it will be accomplished;
‘‘(C) identifies the responsibilities of the Indian tribe
and the Secretary;
‘‘(D) addresses environmental considerations;
‘‘(E) identifies the owner and operations and mainte-
nance entity of the proposed work;
‘‘(F) provides a budget;
‘‘(G) provides a payment process; and
‘‘(H) establishes the duration of the agreement based
on the time necessary to complete the specified scope of
work, which may be 1 or more years.
‘‘(3) GROSS MISMANAGEMENT.—The term ‘gross mismanage-
ment’ means a significant, clear, and convincing violation of
a compact, funding agreement, or regulatory, or statutory
requirements applicable to Federal funds transferred to an
Indian tribe by a compact or funding agreement that results
in a significant reduction of funds available for the programs,
services, functions, or activities (or portions thereof ) assumed
by an Indian tribe.
‘‘(4) INHERENT FEDERAL FUNCTIONS.—The term ‘inherent
Federal functions’ means those Federal functions which cannot
legally be delegated to Indian tribes.
‘‘(5) INTER-TRIBAL
CONSORTIUM.—The term ‘inter-tribal
consortium’ means a coalition of two more separate Indian
tribes that join together for the purpose of participating in
self-governance, including tribal organizations.
‘‘(6) SECRETARY.—The term ‘Secretary’ means the Secretary
of Health and Human Services.
‘‘(7) SELF-GOVERNANCE.—The term ‘self-governance’ means
the program of self-governance established under section 502.
‘‘(8) TRIBAL
SHARE.—The term ‘tribal share’ means an
Indian tribe’s portion of all funds and resources that support
H. R. 1167—4
secretarial programs, services, functions, and activities (or por-
tions thereof ) that are not required by the Secretary for
performance of inherent Federal functions.
‘‘(b) INDIAN TRIBE.—In any case in which an Indian tribe has
authorized another Indian tribe, an inter-tribal consortium, or a
tribal organization to plan for or carry out programs, services,
functions, or activities (or portions thereof ) on its behalf under
this title, the authorized Indian tribe, inter-tribal consortium, or
tribal organization shall have the rights and responsibilities of
the authorizing Indian tribe (except as otherwise provided in the
authorizing resolution or in this title). In such event, the term
‘Indian tribe’ as used in this title shall include such other authorized
Indian tribe, inter-tribal consortium, or tribal organization.
‘‘SEC. 502. ESTABLISHMENT.
‘‘The Secretary shall establish and carry out a program within
the Indian Health Service of the Department of Health and Human
Services to be known as the ‘Tribal Self-Governance Program’ in
accordance with this title.
‘‘SEC. 503. SELECTION OF PARTICIPATING INDIAN TRIBES.
‘‘(a) CONTINUING PARTICIPATION.—Each Indian tribe that is
participating in the Tribal Self-Governance Demonstration Project
under title III on the date of the enactment of this title may
elect to participate in self-governance under this title under existing
authority as reflected in tribal resolution.
‘‘(b) ADDITIONAL PARTICIPANTS.—
‘‘(1) IN GENERAL.—In addition to those Indian tribes partici-
pating in self-governance under subsection (a), each year an
additional 50 Indian tribes that meet the eligibility criteria
specified in subsection (c) shall be entitled to participate in
self-governance.
‘‘(2) TREATMENT OF CERTAIN INDIAN TRIBES.—
‘‘(A) IN GENERAL.—An Indian tribe that has withdrawn
from participation in an inter-tribal consortium or tribal
organization, in whole or in part, shall be entitled to partici-
pate in self-governance provided the Indian tribe meets
the eligibility criteria specified in subsection (c).
‘‘(B) EFFECT OF WITHDRAWAL.—If an Indian tribe has
withdrawn from participation in an inter-tribal consortium
or tribal organization, that Indian tribe shall be entitled
to its tribal share of funds supporting those programs,
services, functions, and activities (or portions thereof ) that
the Indian tribe will be carrying out under the compact
and funding agreement of the Indian tribe.
‘‘(C) PARTICIPATION IN SELF-GOVERNANCE.—In no event
shall the withdrawal of an Indian tribe from an inter-
tribal consortium or tribal organization affect the eligibility
of the inter-tribal consortium or tribal organization to
participate in self-governance.
‘‘(c) APPLICANT POOL.—
‘‘(1) IN
GENERAL.—The qualified applicant pool for self-
governance shall consist of each Indian tribe that—
‘‘(A) 
successfully 
completes 
the 
planning 
phase
described in subsection (d);
‘‘(B) has requested participation in self-governance by
resolution or other official action by the governing body
of each Indian tribe to be served; and
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‘‘(C) has demonstrated, for 3 fiscal years, financial
stability and financial management capability.
‘‘(2) CRITERIA FOR DETERMINING FINANCIAL STABILITY AND
FINANCIAL MANAGEMENT CAPACITY.—For purposes of this sub-
section, evidence that, during the 3-year period referred to
in paragraph (1)(C), an Indian tribe had no uncorrected signifi-
cant and material audit exceptions in the required annual
audit of the Indian tribe’s self-determination contracts or self-
governance funding agreements with any Federal agency shall
be conclusive evidence of the required stability and capability.
‘‘(d) PLANNING PHASE.—Each Indian tribe seeking participation
in self-governance shall complete a planning phase. The planning
phase shall be conducted to the satisfaction of the Indian tribe
and shall include—
‘‘(1) legal and budgetary research; and
‘‘(2) internal tribal government planning and organizational
preparation relating to the administration of health care pro-
grams.
‘‘(e) GRANTS.—Subject to the availability of appropriations, any
Indian tribe meeting the requirements of paragraph (1)(B) and
(C) of subsection (c) shall be eligible for grants—
‘‘(1) to plan for participation in self-governance; and
‘‘(2) to negotiate the terms of participation by the Indian
tribe or tribal organization in self-governance, as set forth
in a compact and a funding agreement.
‘‘(f ) RECEIPT OF GRANT NOT REQUIRED.—Receipt of a grant
under subsection (e) shall not be a requirement of participation
in self-governance.
‘‘SEC. 504. COMPACTS.
‘‘(a) COMPACT REQUIRED.—The Secretary shall negotiate and
enter into a written compact with each Indian tribe participating
in self-governance in a manner consistent with the Federal Govern-
ment’s trust responsibility, treaty obligations, and the government-
to-government relationship between Indian tribes and the United
States.
‘‘(b) CONTENTS.—Each compact required under subsection (a)
shall set forth the general terms of the government-to-government
relationship between the Indian tribe and the Secretary, including
such terms as the parties intend shall control year after year.
Such compacts may only be amended by mutual agreement of
the parties.
‘‘(c) EXISTING COMPACTS.—An Indian tribe participating in the
Tribal Self-Governance Demonstration Project under title III on
the date of the enactment of this title shall have the option at
any time after the date of the enactment of this title to—
‘‘(1) retain the Tribal Self-Governance Demonstration
Project compact of that Indian tribe (in whole or in part)
to the extent that the provisions of that funding agreement
are not directly contrary to any express provision of this title;
or
‘‘(2) instead of retaining a compact or portion thereof under
paragraph (1), negotiate a new compact in a manner consistent
with the requirements of this title.
‘‘(d) TERM AND EFFECTIVE DATE.—The effective date of a com-
pact shall be the date of the approval and execution by the Indian
tribe or another date agreed upon by the parties, and shall remain
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in effect for so long as permitted by Federal law or until terminated
by mutual written agreement, retrocession, or reassumption.
‘‘SEC. 505. FUNDING AGREEMENTS.
‘‘(a) FUNDING AGREEMENT REQUIRED.—The Secretary shall
negotiate and enter into a written funding agreement with each
Indian tribe participating in self-governance in a manner consistent
with the Federal Government’s trust responsibility, treaty obliga-
tions, and the government-to-government relationship between
Indian tribes and the United States.
‘‘(b) CONTENTS.—
‘‘(1) IN GENERAL.—Each funding agreement required under
subsection (a) shall, as determined by the Indian tribe,
authorize the Indian tribe to plan, conduct, consolidate, admin-
ister, and receive full tribal share funding, including tribal
shares of discretionary Indian Health Service competitive
grants 
(excluding 
congressionally 
earmarked 
competitive
grants), for all programs, services, functions, and activities
(or portions thereof ), that are carried out for the benefit of
Indians because of their status as Indians without regard to
the agency or office of the Indian Health Service within which
the program, service, function, or activity (or portion thereof )
is performed.
‘‘(2) INCLUSION
OF
CERTAIN
PROGRAMS, SERVICES, FUNC-
TIONS, AND ACTIVITIES.—Such programs, services, functions, or
activities (or portions thereof ) include all programs, services,
functions, activities (or portions thereof ), including grants
(which may be added to a funding agreement after an award
of such grants), with respect to which Indian tribes or Indians
are primary or significant beneficiaries, administered by the
Department of Health and Human Services through the Indian
Health Service and all local, field, service unit, area, regional,
and central headquarters or national office functions so
administered under the authority of—
‘‘(A) the Act of November 2, 1921 (42 Stat. 208; chapter
115; 25 U.S.C. 13);
‘‘(B) the Act of April 16, 1934 (48 Stat. 596; chapter
147; 25 U.S.C. 452 et seq.);
‘‘(C) the Act of August 5, 1954 (68 Stat. 674; chapter
658);
‘‘(D) the Indian Health Care Improvement Act (25
U.S.C. 1601 et seq.);
‘‘(E) the Indian Alcohol and Substance Abuse Preven-
tion and Treatment Act of 1986 (25 U.S.C. 2401 et seq.);
‘‘(F) any other Act of Congress authorizing any agency
of the Department of Health and Human Services to admin-
ister, carry out, or provide financial assistance to such
a program, service, function or activity (or portions thereof )
described in this section that is carried out for the benefit
of Indians because of their status as Indians; or
‘‘(G) any other Act of Congress authorizing such a
program, service, function, or activity (or portions thereof )
carried out for the benefit of Indians under which appro-
priations are made available to any agency other than
an agency within the Department of Health and Human
Services, in any case in which the Secretary administers
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that program, service, function, or activity (or portion
thereof ).
‘‘(c) INCLUSION IN COMPACT OR FUNDING AGREEMENT.—It shall
not be a requirement that an Indian tribe or Indians be identified
in the authorizing statute for a program or element of a program
to be eligible for inclusion in a compact or funding agreement
under this title.
‘‘(d) FUNDING AGREEMENT TERMS.—Each funding agreement
under this title shall set forth—
‘‘(1) terms that generally identify the programs, services,
functions, and activities (or portions thereof ) to be performed
or administered; and
‘‘(2) for the items identified in paragraph (1)—
‘‘(A) the general budget category assigned;
‘‘(B) the funds to be provided, including those funds
to be provided on a recurring basis;
‘‘(C) the time and method of transfer of the funds;
‘‘(D) the responsibilities of the Secretary; and
‘‘(E) any other provision with respect to which the
Indian tribe and the Secretary agree.
‘‘(e) SUBSEQUENT FUNDING AGREEMENTS.—Absent notification
from an Indian tribe that is withdrawing or retroceding the oper-
ation of one or more programs, services, functions, or activities
(or portions thereof ) identified in a funding agreement, or unless
otherwise agreed to by the parties, each funding agreement shall
remain in full force and effect until a subsequent funding agreement
is executed, and the terms of the subsequent funding agreement
shall be retroactive to the end of the term of the preceding funding
agreement.
‘‘(f ) EXISTING
FUNDING
AGREEMENTS.—Each Indian tribe
participating in the Tribal Self-Governance Demonstration Project
established under title III on the date of the enactment of this
title shall have the option at any time thereafter to—
‘‘(1) retain the Tribal Self-Governance Demonstration
Project funding agreement of that Indian tribe (in whole or
in part) to the extent that the provisions of that funding agree-
ment are not directly contrary to any express provision of
this title; or
‘‘(2) instead of retaining a funding agreement or portion
thereof under paragraph (1), negotiate a new funding agree-
ment in a manner consistent with the requirements of this
title.
‘‘(g) STABLE BASE FUNDING.—At the option of an Indian tribe,
a funding agreement may provide for a stable base budget specifying
the recurring funds (including, for purposes of this provision, funds
available under section 106(a)) to be transferred to such Indian
tribe, for such period as may be specified in the funding agreement,
subject to annual adjustment only to reflect changes in congres-
sional appropriations by sub-sub activity excluding earmarks.
‘‘SEC. 506. GENERAL PROVISIONS.
‘‘(a) APPLICABILITY.—The provisions of this section shall apply
to compacts and funding agreements negotiated under this title
and an Indian tribe may, at its option, include provisions that
reflect such requirements in a compact or funding agreement.
‘‘(b) CONFLICTS OF INTEREST.—Indian tribes participating in
self-governance under this title shall ensure that internal measures