Tribal Self-Governance Amendments of 2000
PL 106-260 (H.R.1167), enacted 08/18/2000

PUBLIC LAW 106-260—AUG. 18, 2000 
114 STAT. 711 
Public Law 106-260 
106th Congress 
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 inher-
ent sovereignty of Indian tribes and nations; 
(2) the United States recognizes a special govemment-
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 govemment-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 implement-
ing the Federal policy of government-to-govemment rela-
tions with Indian tribes; and 
(B) strengthens the Federal policy of Indian self-deter-
mination. 
Aug. 18, 2000 
[H.R. 1167] 
Tribal Self-
Governance 
Amendments of 
2000. 
25 u s e 450 note. 
25 u s e 458aaa 
note. 
114 STAT. 712 
PUBLIC LAW 106-260—AUG. 18, 2000 
25 u s e 458aaa 
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-govemment 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: 
PUBLIC LAW 106-260—AUG. 18, 2000 
114 STAT. 713 
"TITLE V—TRIBAL SELF-GOVERNANCE 
"SEC. 501. DEFINITIONS. 
25 USC 458aaa. 
"(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 
114 STAT. 714 
PUBLIC LAW 106-260—AUG. 18, 2000 
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. 
25 use 
"SEC. 502. ESTABLISHMENT. 
458aaa—1 
"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. 
25 use 
"SEC. 503. SELECTION OF PARTICIPATING INDIAN TRIBES. 
458aaa—2 
"(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 
PUBLIC LAW 106-260—AUG. 18, 2000 
114 STAT. 715 
"(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. 
25 USC 
"(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 
114 STAT. 716 
PUBLIC LAW 106-260—AUG. 18, 2000 
in effect for so long as permitted by Federal law or until terminated 
by mutual written agreement, retrocession, or reassumption. 
25 use 
"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 
PUBLIC LAW 106-260—AUG. 18, 2000 
114 STAT. 717 
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. 
25 USC 
"(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 
114 STAT. 718 
PUBLIC LAW 106-260—AUG. 18, 2000 
Applicability. 
Notice. 
are in place to address conflicts of interest in the administration 
of self-governance programs, services, functions, or activities (or 
portions thereof). 
"(c) AUDITS.— 
"(1) SINGLE AGENCY AUDIT ACT.—The provisions of chapter 
75 of title 31, United States Code, requiring a single agency 
audit report shall apply to funding agreements under this title. 
"(2) COST PRINCIPLES.—^An Indian tribe shall apply cost 
principles under the applicable OfHce of Management and 
Budget circular, except as modified by section 106 other provi-
sions of law, or by any exemptions to applicable Office of 
Management and Budget circulars subsequently granted by 
the Office of Management and Budget. No other audit or 
accounting standards shall be required by the Secretary. Any 
claim by the Federal Government against the Indian tribe 
relating to funds received under a funding agreement based 
on any audit under this subsection shall be subject to the 
provisions of section 106(f). 
"(d) RECORDS.— 
"(1) IN GENERAL.—^Unless an Indian tribe specifies other-
wise in the compact or funding agreement, records of the Indian 
tribe shall not be considered Federal records for purposes of 
chapter 5 of title 5, United States Code. 
"(2) RECORDKEEPING SYSTEM.—The Indian tribe shall main-
tain a recordkeeping system, and, after 30 days advance notice, 
provide the Secretary with reasonable access to such records 
to enable the Department of Health and Human Services to 
meet its minimum legal recordkeeping system requirements 
under sections 3101 through 3106 of title 44, United States 
Code. 
"(e) REDESIGN AND CONSOLIDATION.—^An Indian tribe may 
redesign or consolidate programs, services, functions, and activities 
(or portions thereof) included in a funding agreement under section 
505 and reallocate or redirect funds for such programs, services, 
functions, and activities (or portions thereof) in any manner which 
the Indian tribe deems to be in the best interest of the health 
and welfare of the Indian community being served, only if the 
redesign or consolidation does not have the effect of denying eligi-
bility for services to population groups otherwise eligible to be 
served under applicable Federal law. 
"(f) RETROCESSION.—^An Indian tribe may retrocede, fully or 
partially, to the Secretary programs, services, functions, or activities 
(or portions thereof) included in the compact or funding agreement. 
Unless the Indian tribe rescinds the request for retrocession, such 
retrocession will become effective within the timeframe specified 
by the parties in the compact or funding agreement. In the absence 
of such a specification, such retrocession shall become effective 
on— 
"(1) the earlier of— 
"(A) 1 year after the date of submission of such request; 
or 
"(B) the date on which the funding agreement expires; 
or 
"(2) such date as may be mutually agreed upon by the 
Secretary and the Indian tribe. 
"(g) WITHDRAWAL.— 
"(1) PROCESS.— 
PUBLIC LAW 106-260—AUG. 18, 2000 
114 STAT. 719 
"(A) IN GENERAL.—^An Indian tribe may fully or par-
tially withdraw from a participating inter-tribal consortium 
or tribal organization its share of any program, function, 
service, or activity (or portions thereof) included in a com-
pact or funding agreement. 
"(B) EFFECTIVE DATE.—The withdrawal referred to in 
subparagraph (A) shall become effective within the time-
frame specified in the resolution which authorizes transfer 
to the participating tribal organization or inter-tribal 
consortium. In the absence of a specific timeframe set 
forth in the resolution, such withdrawal shall become effec-
tive on— 
"(i) the earlier of— 
"(I) 1 year after the date of submission of 
such request; or 
"(II) the date on which the funding agreement 
expires; or 
"(ii) such date as may be mutually agreed upon 
by the Secretary, the withdrawing Indian tribe, and 
the participating tribal organization or inter-tribal 
consortium that has signed the compact or funding 
agreement on behalf of the withdrawing Indian tribe, 
inter-tribal consortium, or tribal organization. 
"(2) DISTRIBUTION OF FUNDS.—^When an Indian tribe or 
tribal organization eligible to enter into a self-determination 
contract under title I or a compact or funding agreement under 
this title fully or partially withdraws from a participating inter-
tribal consortium or tribal organization— 
"(A) the withdrawing Indian tribe or tribal organization 
shall be entitled to its tribal share of funds supporting 
those programs, services, functions, or activities (or portions 
thereof) that the Indian tribe will be carrying out under 
its own self-determination contract or compact and funding 
agreement (calculated on the same basis as the funds were 
initially allocated in the funding agreement of the inter-
tribal consortium or tribal organization); and 
"(B) the funds referred to in subparagraph (A) shall 
be transferred from the funding agreement of the inter-
tribal consortium or tribal organization, on the condition 
that the provisions of sections 102 and 105(i), as appro-
priate, shall apply to that withdrawing Indian tribe. 
"(3) REGAINING MATURE CONTRACT STATUS.—If an Indian 
tribe elects to operate all or some programs, services, functions, 
or activities (or portions thereof) carried out under a compact 
or funding agreement under this title through a self-determina-
tion contract under title I, at the option of the Indian tribe, 
the resulting self-determination contract shall be a mature 
self-determination contract. 
"(h) NONDUPLICATION.—For the period for which, and to the 
extent to which, funding is provided under this title or under 
the compact or funding agreement, the Indian tribe shall not be 
entitled to contract with the Secretary for such funds under section 
102, except that such Indian tribe shall be eligible for new programs 
on the same basis as other Indian tribes. 
"SEC. 507. PROVISIONS RELATING TO THE SECRETARY. 
25 USC 
"(a) MANDATORY PROVISIONS.— 
458aaa-6. 
114 STAT. 720 
PUBLIC LAW 106-260—AUG. 18, 2000 
Deadline. 
"(1) HEALTH STATUS REPORTS.—Compacts or funding agree-
ments negotiated between the Secretary and an Indian tribe 
shall include a provision that requires the Indian tribe to 
report on health status and service delivery— 
"(A) to the extent such data is not otherwise available 
to the Secretary and specific funds for this purpose are 
provided by the Secretary under the funding agreement; 
and 
"(B) if such reporting shall impose minimal burdens 
on the participating Indian tribe and such requirements 
are promulgated under section 517. 
"(2) REASSUMPTION.— 
"(A) IN GENERAL.—Compacts or funding agreements 
negotiated between the Secretary and an Indian tribe shall 
include a provision authorizing the Secretary to reassume 
operation of a program, service, function, or activity (or 
portions thereof) and associated funding if there is a spe-
cific finding relative to that program, service, function, 
or activity (or portion thereof) of— 
"(i) imminent endangerment of the public health 
caused by an act or omission of the Indian tribe, and 
the imminent endangerment arises out of a failure 
to carry out the compact or funding agreement; or 
"(ii) gross mismanagement with respect to funds 
transferred to a tribe by a compact or funding agree-
ment, as determined by the Secretary in consultation 
with the Inspector General, as appropriate. 
"(B) PROHIBITION.—The Secretary shall not reassume 
operation of a program, service, function, or activity (or 
portions thereof) unless— 
"(i) the Secretary has first provided written notice 
and a hearing on the record to the Indian tribe; and 
"(ii) the Indian tribe has not taken corrective action 
to remedy the imminent endangerment to public health 
or gross mismanagement. 
"(C) EXCEPTION.— 
"(i) IN GENERAL.—^Notwithstanding subparagraph 
(B), the Secretary may, upon written notification to 
the Indian tribe, immediately reassume operation of 
a program, service, function, or activity (or portion 
thereof) if— 
"(I) the Secretary makes a finding of imminent 
substantial and irreparable endangerment of the 
public health caused by an act or omission of the 
Indian tribe; and 
"(II) the endangerment arises out of a failure 
to carry out the compact or funding agreement. 
"(ii) REASSUMPTION.—If the Secretary reassumes 
operation of a program, service, function, or activity 
(or portion thereof) under this subparagraph, the Sec-
retary shall provide the Indian tribe with a hearing 
on the record not later than 10 days after such re-
assumption. 
"(D) HEARINGS.—In any hearing or appeal involving 
a decision to reassume operation of a program, service, 
function, or activity (or portion thereof), the Secretary shall 
have the burden of proof of demonstrating by clear and 
PUBLIC LAW 106-260—AUG. 18, 2000 
114 STAT. 721 
convincing evidence the validity of the grounds for the 
reassumption. 
"(b) FINAL OFFER.—In the event the Secretary and a partici-
pating Indian tribe are unable to agree, in whole or in part, on 
the terms of a compact or funding agreement (including funding 
levels), the Indian tribe may submit a final offer to the Secretary. 
Not more than 45 days after such submission, or within a longer Deadline, 
time agreed upon by the Indian tribe, the Secretary shall review 
and make a determination with respect to such offer. In the absence 
of a timely rejection of the offer, in whole or in part, made in 
compliance with subsection (c), the offer shall be deemed agreed 
to by the Secretary. 
"(c) REJECTION OF FINAL OFFERS.— 
"(1) IN GENERAL.—If the Secretary rejects an offer made 
under subsection (b) (or one or more provisions or funding 
levels in such offer), the Secretary shall provide— 
"(A) a timely written notification to the Indian tribe 
that contains a specific finding that clearly demonstrates, 
or that is supported by a controlling legal authority, that— 
"(i) the amount of funds proposed in the final 
offer exceeds the applicable funding level to which 
the Indian tribe is entitled under this title; 
"(ii) the program, function, service, or activity (or 
portion thereof) that is the subject of the final offer 
is an inherent Federal function that cannot legally 
be delegated to an Indian tribe; 
"(iii) the Indian tribe cannot carry out the program, 
function, service, or activity (or portion thereof) in 
a manner that would not result in significant danger 
or risk to the public health; or 
"(iv) the Indian tribe is not eligible to participate 
in self-governance under section 503; 
"(B) technical assistance to overcome the objections 
stated in the notification required by subparagraph (A); 
"(C) the Indian tribe with a hearing on the record 
with the right to engage in full discovery relevant to any 
issue raised in the matter and the opportunity for appeal 
on the objections raised, except that the Indian tribe may, 
in lieu of filing such appeal, directly proceed to initiate 
an action in a Federal district court pursuant to section 
110(a); and 
"(D) the Indian tribe with the option of entering into 
the severable portions of a final proposed compact or 
funding agreement, or provision thereof, (including a lesser ' 
funding amount, if any), that the Secretary did not reject, 
subject to any additional alterations necessary to conform 
the compact or funding agreement to the severed provi-
sions. 
"(2) EFFECT OF EXERCISING CERTAIN OPTION.—If an Indian 
tribe exercises the option specified in paragraph (1)(D), that 
Indian tribe shall retain the right to appeal the Secretary's 
rejection under this section, and subparagraphs (A), (B), and 
(C) of that paragraph shall only apply to that portion of the 
proposed final compact, funding agreement, or provision thereof 
that was rejected by the Secretary. 
"(d) BURDEN OF PROOF.—^With respect to any hearing or appeal 
or civil action conducted pursuant to this section, the Secretary 
114 STAT. 722 
PUBLIC LAW 106-260—AUG. 18, 2000 
shall have the burden of demonstrating by clear and convincing 
evidence the validity of the grounds for rejecting the offer (or 
a provision thereof) made under subsection (b). 
"(e) GOOD FAITH.—In the negotiation of compacts and funding 
agreements the Secretary shall at all times negotiate in good faith 
to maximize implementation of the self-governance policy. The Sec-
retary shall carry out this title in a manner that maximizes the 
policy of tribal self-governance, in a manner consistent with the 
purposes specified in section 3 of the Tribal Self-Governance Amend-
ments of 2000. 
"(f) SAVINGS.—^To the extent that programs, functions, services, 
or activities (or portions thereof) carried out by Indian tribes under 
this title reduce the administrative or other responsibilities of the 
Secretary with respect to the operation of Indian programs and 
result in savings that have not otherwise been included in the 
amount of tribal shares and other funds determined under section 
508(c), the Secretary shall make such savings available to the 
Indian tribes, inter-tribal consortia, or tribal organizations for the 
provision of additional services to program beneficiaries in a manner 
equitable to directly served, contracted, and compacted programs. 
"(g) TRUST RESPONSIBILITY.—^The Secretary is prohibited from 
waiving, modifjang, or diminishing in any way the trust responsi-
bility of the United States with respect to Indian tribes and indi-
vidual Indians that exists under treaties. Executive orders, other 
laws, or court decisions. 
"(h) DECISIONMAKER.—^A decision that constitutes final agency 
action and relates to an appeal within the Department of Health 
and Human Services conducted under subsection (c) shall be made 
either— 
"(1) by an official of the Department who holds a position 
at a higher organizational level within the Department than 
the level of the departmental agency in which the decision 
that is the subject of the appeal was made; or 
"(2) by an administrative judge. 
25 use 
"SEC. 508. TRANSFER OF FUNDS. 
458aaa—7 
"(a) IN GENERAL.—Pursuant to the terms of any compact or 
funding agreement entered into under this title, the Secretary shall 
transfer to the Indian tribe all funds provided for in the funding 
agreement, pursuant to subsection (c), and provide funding for 
periods covered by joint resolution adopted by Congress making 
continuing appropriations, to the extent permitted by such resolu-
tions. In any instance where a funding agreement requires an 
annual transfer of funding to be made at the beginning of a fiscal 
year, or requires semiannual or other periodic transfers of funding 
to be made commencing at the beginning of a fiscal year, the 
first such transfer shall be made not later than 10 days after 
the apportionment of such funds by the Office of Management 
and Budget to the Department, unless the funding agreement pro-
vides otherwise. 
"(b) MULTIYEAR FUNDING.—^The Secretary is authorized to 
employ, upon tribal request, multiyear funding agreements. Ref-
erences in this title to funding agreements shall include such 
multiyear funding agreements. 
"(c) AMOUNT OF FUNDING.—The Secretary shall provide funds 
under a funding agreement under this title in an amount equal 
to the amount that the Indian tribe would have been entitled 
PUBLIC LAW 106-260—AUG. 18, 2000 
114 STAT. 723 
to receive under self-determination contracts under this Act, 
including amounts for direct program costs specified under section 
106(a)(1) and amounts for contract support costs specified under 
section 106(a) (2), (3), (5), and (6), including any funds that are 
specifically or functionally related to the provision by the Secretary 
of services and benefits to the Indian tribe or its members, all 
without regard to the organizational level within the Department 
where such functions are carried out. 
"(d) PROHIBITIONS.— 
"(1) IN GENERAL.—Except as provided in paragraph (2), 
the Secretary is expressly prohibited from— 
"(A) failing or refusing to transfer to an Indian tribe 
its full share of any central, headquarters, regional, area, 
or service unit office or other funds due under this Act, 
except as required by Federal law; 
"(B) withholding portions of such funds for transfer 
over a period of years; and 
"(C) reducing the amount of funds required under this 
Act— 
"(i) to make funding available for self-governance 
monitoring or administration by the Secretary; 
"(ii) in subsequent years, except pursuant to— 
"(I) a reduction in appropriations from the pre-
vious fiscal year for the program or function to 
be included in a compact or funding agreement; 
"(II) a congressional directive in legislation or 
accompanying report; 
"(III) a tribal authorization; 
"(IV) a change in the amount of pass-through 
funds subject to the terms of the funding agree-
ment; or 
"(V) completion of a project, activity, or pro-
gram for which such funds were provided; 
"(iii) to pay for Federal functions, including Federal 
pay costs, Federal employee retirement benefits, auto-
mated data processing, technical assistance, and moni-
toring of activities under this Act; or 
"(iv) to pay for costs of Federal personnel displaced 
by self-determination contracts under this Act or self-
governance; 
"(2) EXCEPTION.—^The funds described in paragraph (1)(C) 
may be increased by the Secretary if necessary to carry out 
this Act or as provided in section 105(c)(2). 
"(e) OTHER RESOURCES.—In the event an Indian tribe elects 
to carry out a compact or funding agreement with the use of 
Federal personnel. Federal supplies (including supplies available 
from 
Federal 
warehouse 
facilities). 
Federal 
supply 
sources 
(including lodging, airline transportation, and other means of 
transportation including the use of interagency motor pool vehicles) 
or other Federal resources (including supplies, services, and 
resources available to the Secretary under any procurement con-
tracts in which the Department is eligible to participate), the Sec-
retary shall acquire and transfer such personnel, supplies, or 
resources to the Indian tribe. 
"(f) 
REIMBURSEMENT TO INDIAN 
HEALTH 
SERVICE.—^With 
respect to functions transferred by the Indian Health Service to 
an Indian tribe, the Indian Health Service shall provide goods 
114 STAT. 724 
PUBLIC LAW 106-260—AUG. 18, 2000 
and services to the Indian tribe, on a reimbursable basis, including 
payment in advance with subsequent adjustment. The reimburse-
ments received from those goods and services, along with the funds 
received from the Indian tribe pursuant to this title, may be credited 
to the same or subsequent appropriation account which provided 
the funding, such amounts to remain available until expended. 
Applicability. 
"(g) PROMPT PAYMENT AcT.—Chapter 39 of title 31, United 
States Code, shall apply to the transfer of funds due under a 
compact or funding agreement authorized under this title. 
"(h) INTEREST OR OTHER INCOME ON TRANSFERS.—An Indian 
tribe is entitled to retain interest earned on any funds paid under 
a compact or funding agreement to carry out governmental or 
health purposes and such interest shall not diminish the amount 
of funds the Indian tribe is authorized to receive under its funding 
agreement in the year the interest is earned or in any subsequent 
fiscal year. Funds transferred under this title shall be managed 
using the prudent investment standard. 
"(i) CARRYOVER OF FUNDS.—^All funds paid to an Indian tribe 
in accordance with a compact or funding agreement shall remain 
available until expended. In the event that an Indian tribe elects 
to carry over funding from 1 year to the next, such carryover 
shall not diminish the amount of funds the Indian tribe is author-
ized to receive under its funding agreement in that or any subse-
quent fiscal year. 
"(j) PROGRAM INCOME.—^All Medicare, Medicaid, or other pro-
gram income earned by an Indian tribe shall be treated as supple-
mental funding to that negotiated in the funding agreement. The 
Indian tribe may retain all such income and expend such funds 
in the current year or in future years except to the extent that 
the Indian Health Care Improvement Act (25 U.S.C. 1601 et seq.) 
provides otherwise for Medicare and Medicaid receipts. Such funds 
shall not result in any offset or reduction in the amount of funds 
the Indian tribe is authorized to receive under its funding agree-
ment in the year the program income is received or for any subse-
quent fiscal year. 
"(k) LIMITATION OF COSTS.—^An Indian tribe shall not be obli-
gated to continue performance that requires an expenditure of 
funds in excess of the amount of funds transferred under a compact 
or funding agreement. If at any time the Indian tribe has reason 
to believe that the total amount provided for a specific activity 
in the compact or funding agreement is insufficient the Indian 
tribe shall provide reasonable notice of such insufficiency to the 
Secretary. If the Secretary does not increase the amount of funds 
transferred under the funding agreement, the Indian tribe may 
suspend performance of the activity until such time as additional 
funds are transferred. 
25 use 
458aaa-8. 
"SEC. 509. CONSTRUCTION PROJECTS. 
"(a) IN GENERAL.—Indian tribes participating in tribal self-
governance may carry out construction projects under this title 
if they elect to assume all Federal responsibilities under the 
National Environmental Policy Act of 1969 (42 U.S.C. 4321 et 
seq.), the National Historic Preservation Act (16 U.S.C. 470 et 
seq.), and related provisions of law that would apply if the Secretary 
were to undertake a construction project, by adopting a resolution— 
PUBLIC LAW 106-260—AUG. 18, 2000 
114 STAT. 725 
"(1) designating a certifying officer to represent the Indian 
tribe and to assume the status of a responsible Federal official 
under such laws; and 
"(2) accepting the jurisdiction of the Federal court for the 
purpose of enforcement of the responsibilities of the responsible 
Federal official under such environmental laws. 
"(b) NEGOTIATIONS.—Construction project proposals shall be 
negotiated pursuant to the statutory process in section 105(m) 
and resulting construction project agreements shall be incorporated 
into funding agreements as addenda. 
"(c) CODES AND STANDARDS.—^The Indian tribe and the Sec-
retary shall agree upon and specify appropriate building codes 
and architectural and engineering standards (including health and 
safety) which shall be in conformity with nationally recognized 
standards for comparable projects. 
"(d) RESPONSIBILITY FOR COMPLETION.—^The Indian tribe shall 
assume responsibility for the successful completion of the construc-
tion project in accordance with the negotiated construction project 
agreement. 
"(e) FUNDING.—Funding for construction projects carried out 
under this title shall be included in funding agreements as annual 
advance payments, with semiannual payments at the option of 
the Indian tribe. Annual advance and semiannual payment amounts 
shall be determined based on mutually agreeable project schedules 
reflecting work to be accomplished within the advance pa3mient 
period, work accomplished and funds expended in previous payment 
periods, and the total prior payments. The Secretary shall include 
associated project contingency funds with each advance payment 
installment. The Indian tribe shall be responsible for the manage-
ment of the contingency funds included in funding agreements. 
"(f) APPROVAL.—^The Secretary shall have at least one oppor-
tunity to approve project planning and design documents prepared 
by the Indian tribe in advance of construction of the facilities 
specified in the scope of work for each negotiated construction 
project agreement or amendment thereof which results in a signifi-
cant change in the original scope of work. The Indian tribe shall 
provide the Secretary with project progress and financial reports 
not less than semiannually. The Secretary may conduct onsite 
project oversight visits semiannually or on an alternate schedule 
agreed to by the Secretary and the Indian tribe, 
"(g) WAGES.—^All laborers and mechanics employed by contrac-
tors and subcontractors (excluding tribes and tribal organizations) 
in the construction, alteration, or repair, including painting or deco-
rating of a building or other facilities in connection with construc-
tion projects funded by the United States under this Act shall 
be paid wages at not less than those prevailing wages on similar 
construction in the locality as determined by the Secretary of Labor 
in accordance with the Davis-Bacon Act of March 3, 1931 (46 
Stat. 1494). With respect to construction alteration, or repair work 
to which the Act of March 3, 1931, is applicable under this section, 
the Secretary of Labor shall have the authority and functions set 
forth in the Reorganization Plan numbered 14, of 1950, and section 
2 of the Act of June 13, 1934 (48 Stat. 948). 
"(h) APPLICATION OF OTHER LAWS.—Unless otherwise agreed 
to by the Indian tribe, no provision of the Office of Federal Procure-
ment Policy Act, the Federal Acquisition Regulations issued pursu-
ant thereto, or any other law or regulation pertaining to Federal 
114 STAT. 726 
PUBLIC LAW 106-260—AUG. 18, 2000 
25 use 
458aaa-9. 
25 use 
458aaa-10. 
25 use 
458aaa-ll. 
Deadline. 
Deadline. 
procurement (including Executive orders) shall apply to any 
construction project conducted under this title. 
"SEC. 
5
1
0
. 
FEDERAL 
PROCUREMENT 
LAWS 
AND 
REGULATIONS. 
"Regarding construction programs or projects, the Secretary 
and Indian tribes may negotiate for the inclusion of specific provi-
sions of the Office of Federal Procurement and Policy Act (41 
U.S.C. 401 et seq.) and Federal acquisition regulations in any 
funding agreement entered into under this part. Absent a negotiated 
agreement, such provisions and regulatory requirements shall not 
apply. 
"SEC. 511. CIVIL ACTIONS. 
"(a) CoNTRAeT DEFINED.—For the purposes of section 110, the 
term 'contract' shall include compacts and funding agreements 
entered into under this title. 
"(b) APPLICABILITY OF CERTAIN LAWS.—Section 2103 of the 
Revised Statutes (25 U.S.C. 81) and section 16 of the Act of June 
18, 1934 (48 Stat. 987; chapter 576; 25 U.S.C. 476), shall not 
apply to attorney and other professional contracts entered into 
by Indian tribes participating in self-governance under this title. 
"(c) REFERENCES.—^All references in this Act to section 1 of 
the Act of June 26, 1936 (49 Stat. 1967; chapter 831) are hereby 
deemed to include the first section of the Act of July 3, 1952 
(66 Stat. 323; chapter 549; 25 U.S.C. 82a). 
"SEC. 512. FACILITATION. 
"(a) SECRETARIAL INTERPRETATION.—^Except as otherwise pro-
vided by law, the Secretary shall interpret all Federal laws. Execu-
tive orders, and regulations in a manner that will facilitate— 
"(1) the inclusion of programs, services, functions, and 
activities (or portions thereof) and funds associated therewith, 
in the agreements entered into under this section; 
"(2) the implementation of compacts and funding agree-
ments entered into under this title; and 
"(3) the achievement of tribal health goals and objectives. 
"(b) REGULATION WAIVER.— 
"(1) IN GENERAL.—^An Indian tribe may submit a written 
request to waive application of a regulation promulgated under 
section 517 or the authorities specified in section 505(b) for 
a compact or funding agreement entered into with the Indian 
Health Service under this title, to the Secretary identifying 
the applicable Federal regulation sought to be waived and 
the basis for the request. 
"(2) APPROVAL.—^Not later than 90 days after receipt by 
the Secretary of a written request by an Indian tribe to waive 
application of a regulation for a compact or funding agreement 
entered into under this title, the Secretary shall either approve 
or deny the requested waiver in writing. A denial may be 
made only upon a specific finding by the Secretary that identi-
fied language in the regulation may not be waived because 
such waiver is prohibited by Federal law. A failure to approve 
or deny a waiver request not later than 90 days after receipt 
shall be deemed an approval of such request. The Secretary's 
decision shall be final for the Department. 
"(c) ACCESS TO FEDERAL PROPERTY.—In connection with any 
compact or funding agreement executed pursuant to this title or 
PUBLIC LAW 106-260—AUG. 18, 2000 
114 STAT. 727 
an agreement negotiated under the Tribal Self-Governance Dem-
onstration Project established under title III, as in effect before 
the enactment of the Tribal Self-Governance Amendments of 2000, 
upon the request of an Indian tribe, the Secretary— 
"(1) shall permit an Indian tribe to use existing school 
buildings, hospitals, and other facilities and all equipment 
therein or appertaining thereto and other personal property 
owned by the Government within the Secretary's jurisdiction 
under such terms and conditions as may be agreed upon by 
the Secretary and the Indian tribe for their use and mainte-
nance; 
"(2) may donate to an Indian tribe title to any personal 
or real property found to be excess to the needs of any agency 
of the Department, or the General Services Administration, 
except that— 
"(A) subject to the provisions of subparagraph (B), title 
to property and equipment furnished by the Federal 
Government for use in the performance of the compact 
or funding agreement or purchased with funds under any 
compact or funding agreement shall, unless otherwise 
requested by the Indian tribe, vest in the appropriate 
Indian tribe; 
"(B) if property described in subparagraph (A) has 
a value in excess of $5,000 at the time of retrocession, 
withdrawal, or reassumption, at the option of the Secretary 
upon the retrocession, withdrawal, or reassumption, title 
to such property and equipment shall revert to the Depart-
ment of Health and Human Services; and 
"(C) all property referred to in subparagraph (A) shall 
remain eligible for replacement, maintenance, and improve-
ment on the same basis as if title to such property were 
vested in the United States; and 
"(3) shall acquire excess or surplus Government personal 
or real property for donation to an Indian tribe if the Secretary 
determines the property is appropriate for use by the Indian 
tribe for any purpose for which a compact or funding agreement 
is authorized under this title. 
"(d) MATCHING OR COST-PARTICIPATION REQUIREMENT.^AII 
funds provided under compacts, funding agreements, or grants made 
pursuant to this Act, shall be treated as non-Federal funds for 
purposes of meeting matching or cost participation requirements 
under any other Federal or non-Federal program. 
"(e) STATE FACILITATION.—States are hereby authorized and 
encouraged to enact legislation, and to enter into agreements with 
Indian tribes to facilitate and supplement the initiatives, programs, 
and policies authorized by this title and other Federal laws bene-
fiting Indians and Indian tribes. 
"(f) RULES OF CONSTRUCTION.—Each provision of this title and 
each provision of a compact or funding agreement shall be liberally 
construed for the benefit of the Indian tribe participating in self-
governance and any ambiguity shall be resolved in favor of the 
Indian tribe. 
"SEC. 513. BUDGET REQUEST. 
25 USC 
458aaa—12 
"(a) REQUIREMENT OF ANNUAL BUDGET REQUEST.— 
"(1) IN GENERAL.—^The President shall identify in the President, 
annual budget request submitted to Congress under section 
114 STAT. 728 
PUBLIC LAW 106-260—AUG. 18, 2000 
1105 of title 31, United States Code, all funds necessary to 
fully fund all funding agreements authorized under this title, 
including funds specifically identified to fund tribal base 
budgets. All funds so appropriated shall be apportioned to 
the Indian Health Service. Such funds shall be provided to 
the Office of Tribal Self-Governance which shall be responsible 
for distribution of all funds provided under section 505. 
"(2) RULE OF CONSTRUCTION.—Nothing in this subsection 
shall be construed to authorize the Indian Health Service to 
reduce the amount of funds that a self-governance tribe is 
otherwise entitled to receive under its funding agreement or 
other applicable law, whether or not such funds are apportioned 
to the Office of Tribal Self-Governance under this section. 
"(b) PRESENT FUNDING; SHORTFALLS.—In such budget request, 
the President shall identify the level of need presently funded 
and any shortfall in funding (including direct program and contract 
support costs) for each Indian tribe, either directly by the Secretary 
of Health and Human Services, under self-determination contracts, 
or under compacts and funding agreements authorized under this 
title. 
25 use 
"SEC. 514. REPORTS. 
458aaa-13. 
«/ \ * 
T^ 
"(a) ANNUAL REPORT.— 
Deadline. 
"(1) IN GENERAL.—Not later than January 1 of each year 
after the date of the enactment of the Tribal Self-Governance 
Amendments of 2000, the Secretary shall submit to the Com-
mittee on Indian Affairs of the Senate and the Committee 
on Resources of the House of Representatives a written report 
regarding the administration of this title. 
"(2) ANALYSIS.—^The report under paragraph (1) shall 
include a detailed analysis of the level of need being presently 
funded or unfunded for each Indian tribe, either directly by 
the Secretary, under self-determination contracts under title 
I, or under compacts and funding agreements authorized under 
this Act. In compiling reports pursuant to this section, the 
Secretary may not impose any reporting requirements on 
participating Indian tribes or tribal organizations, not otherwise 
provided in this Act. 
"(b) CONTENTS.—^The report under subsection (a) shall— 
"(1) be compiled from information contained in funding 
agreements, annual audit reports, and data of the Secretary 
regarding the disposition of Federal funds; and 
"(2) identify— 
"(A) the relative costs and benefits of self-governance; 
"(B) with particularity, all funds that are specifically 
or functionally related to the provision by the Secretary 
of services and benefits to self-governance Indian tribes 
and their members; 
"(C) the funds transferred to each self-governance 
Indian tribe and the corresponding reduction in the Federal 
bureaucracy; 
"(D) the funding formula for individual tribal shares 
of all headquarters funds, together with the comments 
of affected Indian tribes or tribal organizations, developed 
under subsection (c); and 
PUBLIC LAW 106-260—AUG. 18, 2000 
114 STAT. 729 
25 use 
458aaa-14. 
"(E) amounts expended in the preceding fiscal year 
to carry out inherent Federal functions, including an identi-
fication of those functions by type and location; 
"(3) contain a description of the method or methods (or 
any revisions thereof) used to determine the individual tribal 
share of funds controlled by all components of the Indian Health 
Service (including funds assessed by any other Federal agency) 
for inclusion in self-governance compacts or funding agree-
ments; 
"(4) before being submitted to Congress, be distributed Deadline, 
to the Indian tribes for comment (with a comment period of 
no less than 30 days, beginning on the date of distribution); 
and 
"(5) include the separate views and comments of the Indian 
tribes or tribal organizations. 
"(c) REPORT ON FUND DISTRIBUTION METHOD.—Not later than Deadline. 
180 days after the date of the enactment of the Tribal Self-Govern-
ance Amendments of 2000, the Secretary shall, after consultation 
with Indian tribes, submit a written report to the Committee on 
Resources of the House of Representatives and the Committee on 
Indian Affairs of the Senate that describes the method or methods 
used to determine the individual tribal share of funds controlled 
by all components of the Indian Health Service (including funds 
assessed by any other Federal agency) for inclusion in self-govern-
ance compacts or funding agreements. 
"SEC. 515. DISCLAIMERS. 
"(a) No FUNDING REDUCTION.—Nothing in this title shall be 
construed to limit or reduce in any way the funding for any program, 
project, or activity serving an Indian tribe under this or other 
applicable Federal law. Any Indian tribe that alleges that a compact 
or funding agreement is in violation of this section may apply 
the provisions of section 110. 
"(b) FEDERAL TRUST AND TREATY RESPONSIBILITIES.—^Nothing 
in this Act shall be construed to diminish in any way the trust 
responsibility of the United States to Indian tribes and individual 
Indians that exists under treaties. Executive orders, or other laws 
and court decisions. 
"(c) OBLIGATIONS OF THE UNITED STATES.—The Indian Health 
Service under this Act shall neither bill nor charge those Indians 
who may have the economic means to pay for services, nor require 
any Indian tribe to do so. 
"SEC. 516. APPUCATION OF OTHER SECTIONS OF THE ACT. 
"(a) MANDATORY APPLICATION.—All provisions of sections 5(b), 
6, 7, 102(c) and (d), 104, 105(k) and (1), 106(a) through (k), and 
111 of this Act and section 314 of Public Law 101-512 (coverage 
under chapter 171 of title 28, United States Code, commonly known 
as the 'Federal Tort Claims Act'), to the extent not in conflict 
with this title, shall apply to compacts and funding agreements 
authorized by this title. 
"(b) DISCRETIONARY APPLICATION.—At the request of a partici-
pating Indian tribe, any other provision of title I, to the extent 
such provision is not in conflict with this title, shall be made 
a part of a funding agreement or compact entered into under 
this title. The Secretary is obligated to include such provision at 
the option of the participating Indian tribe or tribes. If such provi-
sion is incorporated it shall have the same force and effect as 
25 use 
458aaa-15. 
114 STAT. 730 
PUBLIC LAW 106-260—AUG. 18, 2000 
25 use 
458aaa-16. 
Deadline. 
Federal Register, 
publication. 
25 use 
458aaa-17. 
if it were set out in full in this title. In the event an Indian 
tribe requests such incorporation at the negotiation stage of a 
compact or funding agreement, such incorporation shall be deemed 
effective immediately and shall control the negotiation and resulting 
compact and funding agreement. 
"SEC. 517. REGULATIONS. 
"(a) IN GENERAL.— 
"(1) PROMULGATION.—Not later than 90 days after the date 
of the enactment of the Tribal Self-Governance Amendments 
of 2000, the Secretary shall initiate procedures under sub-
chapter III of chapter 5 of title 5, United States Code, to 
negotiate and promulgate such regulations as are necessary 
to carry out this title. 
"(2) PUBLICATION OF PROPOSED REGULATIONS.—Proposed 
regulations to implement this title shall be published in the 
Federal Register by the Secretary no later than 1 year after 
the date of the enactment of the Tribal Self-Governance Amend-
ments of 2000. 
"(3) EXPIRATION OF AUTHORITY.—The authority to promul-
gate regulations under paragraph (1) shall expire 21 months 
after the date of the enactment of the Tribal Self-Governance 
Amendments of 2000. 
"(b) COMMITTEE.— 
"(1) IN GENERAL.—^A negotiated rulemaking committee 
established pursuant to section 565 of title 5, United States 
Code, to carry out this section shall have as its members 
only Federal and tribal government representatives, a majority 
of whom shall be nominated by and be representatives of Indian 
tribes with funding agreements under this Act. 
"(2) REQUIREMENTS.—The committee shall confer with, and 
accommodate participation by, representatives of Indian tribes, 
inter-tribal consortia, tribal organizations, and individual tribal 
members. 
"(c) ADAPTATION OF PROCEDURES.—^The Secretary shall adapt 
the negotiated rulemaking procedures to the unique context of 
self-governance and the government-to-govemment 
relationship 
between the United States and Indian tribes. 
"(d) EFFECT.—^The lack of promulgated regulations shall not 
limit the effect of this title. 
"(e) EFFECT OF CIRCULARS, POLICIES, MANUALS, GUIDANCES, 
AND RULES.—Unless expressly agreed to by the participating Indian 
tribe in the compact or funding agreement, the participating Indian 
tribe shall not be subject to any agency circular, policy, manual, 
guidance, or rule adopted by the Indian Health Service, except 
for the eligibility provisions of section 105(g) and regulations 
promulgated under section 517. 
"SEC. 518. APPEALS. 
"In any appeal (including civil actions) involving decisions made 
by the Secretary under this title, the Secretary shall have the 
burden of proof of demonstrating by clear and convincing evidence— 
"(1) the validity of the grounds for the decision made; 
and 
"(2) that the decision is fully consistent with provisions 
and policies of this title. 
PUBLIC LAW 106-260—AUG. 18, 2000 
114 STAT. 731 
"SEC. 519. AUTHORIZATION OF APPROPRIATIONS. 
"(a) IN GENERAL.—There are authorized to be appropriated 
such sums as may be necessary to carry out this title. 
"(b) AVAILABILITY OF APPROPRIATIONS.—Notwithstanding any 
other provision of this Act, the provision of funds under this Act 
shall be subject to the availability of appropriations and the Sec-
retary is not required to reduce funding for programs, projects, 
or activities serving a tribe in order to make funds available to 
another tribe or tribal organization under this Act.". 
SEC. 5. TRIBAL SELF-GOVERNANCE DEPARTMENT. 
The Indian Self-Determination and Education Assistance Act 
(25 U.S.C. 450 et seq.) is amended by adding at the end the 
following: 
25 use 
458aaa-18. 
**TITLE 
VI—TRIBAL 
ANCE—DEPARTMENT 
AND HUMAN SERVICES 
SELF-GOVERN- 2
5
u
s
c
4
5
o
f 
OF 
HEALTH "
*
" 
"SEC, 601. DEFINITIONS. 
"(a) IN GENERAL.—In this title, the Secretary may apply the 
definitions contained in title V. 
"(b) OTHER DEFINITIONS.—In this title: 
"(1) AGENCY.—^The term 'agency* means any agency or other 
organizational unit of the Department of Health and Human 
Services, other than the Indian Health Service. 
"(2) SECRETARY.—The term 'Secretary' means the Secretary 
of Health and Human Services. 
"SEC. 602. DEMONSTRATION PROJECT FEASIBILITY. 
"(a) STUDY.—^The Secretary shall conduct a study to determine 
the feasibility of a tribal self-governance demonstration project for 
appropriate programs, services, functions, and activities (or portions 
thereof) of the agency. 
"(b) CONSIDERATIONS.—In conducting the study, the Secretary 
shall consider— 
"(1) the probable effects on specific programs and program 
beneficiaries of such a demonstration project; 
"(2) statutory, 
regulatory, or other 
impediments to 
implementation of such a demonstration project; 
"(3) strategies for implementing such a demonstration 
project; 
"(4) probable costs or savings associated with such a dem-
onstration project; 
"(5) methods to assure quality and accountability in such 
a demonstration project; and 
"(6) such other issues that may be determined by the 
Secretary or developed through consultation pursuant to section 
603. 
"(c) REPORT.—Not later than 18 months after the date of the 
enactment of this title, the Secretary shall submit a report to 
the Committee on Indian Affairs of the Senate and the Committee 
on Resources of the House of Representatives. The report shall 
contain— 
"(1) the results of the study under this section; 
Deadline. 
114 STAT. 732 
PUBLIC LAW 106-260—AUG. 18, 2000 
"(2) a list of programs, services, functions, and activities 
(or portions thereof) within each agency with respect to which 
it would be feasible to include in a tribal self-governance dem-
onstration project; 
"(3) a list of programs, services, functions, and activities 
(or portions thereof) included in the list provided pursuant 
to paragraph (2) that could be included in a tribal self-govern-
ance demonstration project without amending statutes, or 
waiving regulations that the Secretary may not waive; 
"(4) a list of legislative actions required in order to include 
those programs, services, functions, and activities (or portions 
thereof) included in the list provided pursuant to paragraph 
(2) but not included in the list provided pursuant to paragraph 
(3) in a tribal self-governance demonstration project; and 
"(5) any separate views of tribes and other entities con-
sulted pursuant to section 603 related to the information pro-
vided pursuant to paragraphs (1) through (4). 
"SEC. 603. CONSULTATION. 
"(a) STUDY PROTOCOL.— 
"(1) CONSULTATION WITH INDIAN TRIBES.—^The Secretary 
shall consult with Indian tribes to determine a protocol for 
consultation under subsection (b) prior to consultation under 
such subsection with the other entities described in such sub-
section. 
"(2) REQUIREMENTS FOR PROTOCOL.—The protocol shall 
require, at a minimum, that— 
"(A) the govemment-to-government relationship with 
Indian tribes forms the basis for the consultation process; 
"(B) the Indian tribes and the Secretary jointly conduct 
the consultations required by this section; and 
"(C) the consultation process allows for separate and 
direct recommendations from the Indian tribes and other 
entities described in subsection (b). 
"(b) CONDUCTING STUDY.—In conducting the study under this 
title, the Secretary shall consult with Indian tribes, States, counties, 
municipalities, program beneficiaries, and interested public interest 
groups, and may consult with other entities as appropriate. 
"SEC. 604. AUTHORIZATION OF APPROPRIATIONS. 
"There are authorized to be appropriated such sums as may 
be necessary to carry out this title. Such sums shall remain avail-
able until expended.". 
SEC. 6. AMENDMENTS CLARIFYING CIVIL PROCEEDINGS. 
Section 102(e)(1) of the Indian Self-Determination and Edu-
cation Assistance Act (25 U.S.C. 450f(e)(1)) is amended by inserting 
after "subsection (b)(3)" the following: "or any civil action conducted 
pursuant to section 110(a)". 
SEC. 7. SPEEDY ACQUISITION OF GOODS, SERVICES, OR SUPPLIES. 
Section 105(k) of the Indian Self-Determination and Education 
Assistance Act (25 U.S.C. 450j(k)) is amended— 
(1) by striking "deemed an executive agency" and inserting 
"deemed an executive agency and part of the Indian Health 
Service"; and 
(2) by adding at the end the following: "For purposes of 
carrying out such contract, grant, or agreement, the Secretary 
PUBLIC LAW 106-260—AUG. 18, 2000 
114 STAT. 733 
shall, at the request of an Indian tribe, enter into an agreement 
for the acquisition, on behalf of the Indian tribe, of any goods, 
services, or supplies available to the Secretary from the General 
Services Administration or other Federal agencies that are 
not directly available to the Indian tribe under this section 
or under any other Federal law, including acquisitions from 
prime vendors. All such acquisitions shall be undertaken 
through the most efficient and speedy means practicable, 
including electronic ordering arrangements.". 
SEC. 8. PATIENT RECORDS. 
Section 105 of the Indian Self-Determination and Education 
Assistance Act (25 U.S.C. 450j) is amended by adding at the end 
the following: 
"(o) PATIENT RECORDS.— 
"(1) IN GENERAL.—At the option of an Indian tribe or tribal 
organization, patient records may be deemed to be Federal 
records under those provisions of title 44, United States Code, 
that are commonly referred to as the 'Federal Records Act 
of 1950' for the limited purposes of making such records eligible 
for storage by Federal Records Centers to the same extent 
and in the same manner as other Department of Health and 
Human Services patient records. 
"(2) TREATMENT OF RECORDS.—Patient records that are 
deemed to be Federal records under those provisions of title 
44, United States Code, that are commonly referred to as 
the 'Federal Records Act of 1950' pursuant to this subsection 
shall not be considered Federal records for the purposes of 
chapter 5 of title 5, United States Code.". 
SEC. 9. ANNUAL REPORTS. 
Section 106 of the Indian Self-Determination and Education 
Assistance Act (25 U.S.C. 450J-1) is amended— 
(1) by redesignating subsections (c) through (n) as sub-
sections (d) through (o), respectively; and 
(2) by inserting after subsection (b), the following: 
"(c) ANNUAL REPORTS.—^Not later than May 15 of each year. Deadline, 
the Secretary shall prepare and submit to Congress an annual 
report on the implementation of this Act. Such report shall include— 
"(1) an accounting of the total amounts of funds provided 
for each program and the budget activity for direct program 
costs and contract support costs of tribal organizations under 
self-determination; 
"(2) an accounting of any deficiency in funds needed to 
provide required contract support costs to all contractors for 
the fiscal year for which the report is being submitted; 
"(3) the indirect cost rate and type of rate for each tribal 
organization that has been negotiated with the appropriate 
Secretary; 
"(4) the direct cost base and type of base from which 
the indirect cost rate is determined for each tribal organization; 
"(5) the indirect cost pool amounts and the types of costs 
included in the indirect cost pool; and 
"(6) an accounting of any deficiency in funds needed to 
maintain the preexisting level of services to any Indian tribes 
affected by contracting activities under this Act, and a state-
ment of the amount of funds needed for transitional purposes 
79-194 O - 00 - 25 : QL 3 Part 1 
114 STAT. 734 
PUBLIC LAW 106-260—AUG. 18, 2000 
to enable contractors to convert from a Federal fiscal year 
accounting cycle, as authorized by section 105(d).". 
SEC. 10. REPEAL. 
Title III of the Indian Self-Determination and Education Assist-
ance Act (25 U.S.C. 450f note) is repealed. 
25 u s e 450f 
SEC. 11. SAVINGS PROVISION. 
Funds appropriated for title III of the Indian Self-Determina-
tion and Education Assistance Act (25 U.S.C. 450f note) shall be 
available for use under title V of such Act. 
SEC. 12. APPUCATION TO ALASKA. 
(a) Notwithstanding any other provision of law, nothing in 
this Act, the amendments made thereby, nor its implementation, 
shall affect— 
(1) the right of the Consortium or Southcentral Foundation 
to carry out the programs, functions, services and activities 
as specified in section 325 of Public Law 105-83 (111 Stat. 
55-56); or 
(2) the prohibitions in section 351 of section 101(e) of divi-
sion A, Public Law 105-277. 
(b) Section 351 of section 101(e) of division A, Public Law 
105-277 and section 326 of Public Law 105-83 (111 Stat. 57) 
are amended by inserting "as amended" after the phrase "Public 
Law 93-638 (25 U.S.C. 450 et seq.)" where such phrase appears 
in each section. 
25 u s e 458aaa 
SEC. 13. EFFECTIVE DATE. 
Except as otherwise provided, the provisions of this Act shall 
take effect on the date of the enactment of this Act. 
Approved August 18, 2000. 
LEGISLATIVE HISTORY—H.R. 1167 (S. 979): 
HOUSE REPORTS: No. 106-477 (Comm. on Resources). 
SENATE REPORTS: No. 106-221 accompanying S. 979 (Comm. on Indian Affairs). 
CONGRESSIONAL RECORD: 
Vol. 145 (1999): Nov. 17, considered and passed House. 
Vol. 146 (2000): Apr. 4, considered and passed Senate, amended, in lieu of 
S. 979. 
July 24, House concurred in Senate amendment with 
amendments pursuant to H. Res. 562. 
July 26, Senate concurred in House amendments.