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Native Contracting

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The Senate Committee on Small Business and Entrepreneurship met Wednesday to examine fraud and oversight in Small Business Administration programs and federal contracting, with lawmakers sharply divided over the scope of abuse. 

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The Poarch Band of Creek Indians says Sen. Joni Ernst (R-Iowa) misinterpreted procurement data and never contacted the tribe before publicly suggesting one of its federal contracting firms may have violated Small Business Administration rules.

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A central pillar of tribal federal contracting — the second biggest economic driver in Indian Country — has come under fresh scrutiny in Washington. Sen. Joni Ernst (R-Iowa), who is calling for a pause on Small Business Administration 8(a) set-asides, has cited several tribal and Alaska Native enterprises in letters to federal agencies. But those companies say her allegations rely on incomplete or incorrect information, setting up a sharp dispute over how the program is being portrayed.

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The Prairie Band Potawatomi Nation on Tuesday terminated senior management of its economic development corporation after a tribal subsidiary secured a $29.9 million federal contract to design potential U.S. Immigration and Customs Enforcement detention facilities.

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The U.S. Small Business Administration on Friday directed every firm in the 8(a) Business Development Program to submit detailed financial records within 30 days, expanding a federal examination of a contracting system that plays a central economic role for tribes, Alaska Native Corporations and Native Hawaiian Organizations.

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Alaska Native Corporation-owned Akima has secured a $369 million Air Force contract to build an advanced maintenance training system for the T-7A Red Hawk, expanding its defense presence in Alabama. 

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The U.S. Department of the Treasury said it has ordered a comprehensive audit of approximately $9 billion in contracts awarded through preference-based programs, including the Small Business Administration's 8(a) Business Development Program. 

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The Small Business Administration has suspended tribally owned ATI Government Solutions from obtaining new federal contracts while the agency investigates allegations the company fraudulently used its tribal status to secure over $100 million in no-bid contracts.

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The Tunica-Biloxi Tribe of Louisiana has acquired GovStrive, a federal human resources consulting firm, expanding the tribe's federal contracting operations beyond infrastructure work into workforce solutions. Terms were not disclosed. 

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Cherokee Federal said it will acquire the Salesforce practice of HigherEchelon, known as HESFP, effective Nov. 1, the company announced Oct. 7.