- Details
- By Brian Edwards
- Health Care
The Justice Department has authorized a $400 million settlement with the Alaska Native Tribal Health Consortium, resolving a dispute over contract support costs tied to federally funded healthcare programs.
ANTHC sued the federal government in 2021, alleging it had not received contract support costs owed under the Indian Self-Determination and Education Assistance Act. The consortium administers healthcare programs that the federal government would otherwise operate for American Indians and Alaska Natives in Alaska.
The dispute centered on whether the government was required to reimburse administrative costs associated with revenue ANTHC collected from third-party payers, including Medicare and commercial insurers.
The settlement follows the U.S. Supreme Court's 2024 decision in Becerra v. San Carlos Apache Tribe, which clarified the federal government's obligation to reimburse qualifying contract support costs on certain third-party healthcare revenue under ISDEAA. The Justice Department subsequently negotiated the settlement with ANTHC.
“Our $400M settlement with ANTHC provides the consortium with support and autonomy for the healthcare services they provide to American Indians and Alaska Natives,” Acting Attorney General Todd Blanche said in a statement.
ANTHC President and CEO Natasha Singh said the settlement addresses costs long owed to tribes that assumed responsibility for delivering healthcare on the federal government's behalf.
“This settlement marks an important step toward ensuring that resources accurately reflect the true cost of operating a complex tribal health system and advancing self-determination in healthcare,” Singh said in a statement.
ANTHC said its board has committed resources in anticipation of the settlement to several capital projects, including an expansion of the Alaska Native Medical Center, construction of a skilled nursing facility and technology and infrastructure upgrades across its statewide health system.
“This gives us a stronger foundation to expand access, improve care, support our workforce and make thoughtful long-term investments,” Singh said.
