By Troy Littledeer | UKB Media Director
WASHINGTON, D.C. — On Monday, Feb. 3, a federal judge put a stop to a White House plan that would have caused a freeze on money for grants and loans. The plan came from the Office of Management and Budget (OMB), but it got messy and fast. Another judge had already paused it on Jan. 28, and the OMB eventually canceled it on Jan. 29. Even so, people—especially Native American tribes—are still confused and worried.
Bryan Shade, a member of the United Keetoowah Band of Cherokee Indians, is a lawyer at Lippes Mathias in Washington, D.C. He is also an advisor to the UKB and works with multiple tribes. Shade says cutting off their money would be a big problem. “If you’re running a health clinic that you contracted through the Indian Health Service and you don’t get your funds, your service stops,” Shade said. “You’re not able to provide critical healthcare to your tribal populations, many of which are located in very remote areas with limited access or no access at all to health resources.”
The trouble started when 22 states sued, and a judge paused the freeze memo on that Tuesday. By that Wednesday, the OMB said the plan was off the table. Shade thinks it was a trick.
“I think the consensus, at least on the left, is that it was a maneuver to make the court case moot,” he said. “The case that was filed over the initial OMB memo is withdrawn; the government can go back on Monday and say, ‘Hey, we’ve withdrawn this, the case is moot,’ and attempt to get it withdrawn.”
Even though the freeze is gone, Shade’s law firm is telling tribes across the country to act fast.
“The big thing is to draw down any funds that are available,” he said. “If the money is not drawn down and the drawdown system goes down, you’re just kind of out of luck until that drawdown system comes back up.”
The drawdown system is how tribes get federal money into their bank accounts to pay for things like healthcare and other programs. Tribal leaders in Oklahoma spoke out about the government’s actions. Tribes like the Absentee Shawnee Tribe said they’re ready with backup plans, and the Ponca Tribe said they’ll hold the government accountable for keeping its promises. The Native American Rights Fund also talked to tribal leaders, who are still nervous even though the memo is gone.
Shade explains that tribes get money differently than others. They get cash for things like heating and cooling, but they also get funds because of old agreements called treaties and a law from 1975.
“There’s the Indian Self Determination and Education Assistance Act; that’s Public Law 93-638 that creates this contracting mechanism,” Shade said. “The tribes become federal actors under 638. It’s not your typical block grant that would go out to a nonprofit.”
This law, called “638,” lets tribes use federal money to run their own programs.
“It’s not Federal Financial Assistance, and that term gets thrown around a lot when politicians say we need to tighten our budget, we need to curb the deficit, or what have you,” Shade added. “These are contractually due funds; they’re not discretionary.
These are not grants or programs that can be cut on a whim. They are contractual obligations of the United States, and the United States should pay its bills.”
Shade is telling tribes to talk to their members of Congress and explain how a funding freeze would hurt healthcare, safety, and their communities. He says this isn’t about politics—it’s about fairness. “There should be a recognition that this is a debt owed by the government to these tribes, and we’re gonna pay our bills,” he said.
The memo might be history, but tribes are still on edge, hoping the government doesn’t pull something like this again.
(The Associated Press contributed to this report.)
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