In Historic Settlement, US to Pay $1 Billion to Native Tribes

In a historic settlement, the U.S. federal government agreed to pay almost US$1 billion to Native American tribes, ending 25 years of litigation over the government’s failure to fully cover service costs on reservations.

The settlement, filed in a New Mexico court, provides a payment of US$940 million to 645 plaintiffs, including the Oglala Sioux Tribe, Zuni Pueblo and Ramah Chapter of the Navajo Nation.

If approved in federal district court, the settlement will end a 25-year legal battle over the U.S. government’s failure to fully fund contracts with Native American tribes to support their own services, including law enforcement, forest management, housing and education.

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“Today’s proposed settlement, together with President Obama’s request for full, mandatory funding of tribal contract support costs in the future, removes one of the significant obstacles to tribal self-determination and self-governance,” said Kevin K. Washburn, Assistant Secretary of the Bureau of Indian Affair.

“Tribes can now be confident that the federal government will pay sufficient costs to allow them to be successful in running federal programs,” Washburn added, according to Indian Country Today Media Network.

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The payment is a result of a lawsuit filed in 1990 when the government rejected the demand of Native American tribes to fully cover service costs. The government asserted it could decide both on the amount and the timing of their payment. The case moved to the Supreme Court, which ruled in favor of the tribes.

“This landmark settlement represents another important step in the Obama Administration’s efforts to turn the page on past challenges in our government-to-government relationship with tribes,” Interior Secretary Sally Jewell said in a press release. “Tribal self-determination and self-governance will continue to be our North Star as we navigate a new chapter in this important relationship, and we are committed to fully funding contract support costs so that tribal contracting can be more successful.”