Native Entrepreneur Bill Moves Forward

By Isaac White.

A bill that underscores a significant commitment to the economic empowerment of Native American communities, the House Small Business Committee recently gave its unanimous bipartisan approval to the Native American Entrepreneurial Opportunity Act. This pivotal piece of legislation, championed by Representative Sharice Davids (D-KS), who is an enrolled member of the Ho-Chunk Nation, alongside Representative Eli Crane (R-AZ-02), is poised to transform the landscape of support provided by the Small Business Administration’s (SBA) Office of Native American Affairs (ONAA).

Designated as H.R. 7102, the bill is crafted to substantially boost the profile and operational reach of the ONAA within the SBA. Its enactment is aimed at addressing the specialized economic and entrepreneurial requirements of Native communities through heightened federal engagement and support, mirroring the establishment of comparable offices across various federal departments. This strategic initiative is part of a broader agenda to weave Native American perspectives into the fabric of federal economic policy and support mechanisms.

Introduced initially by Davids in 2021, the Native American Entrepreneurial Opportunity Act has similarly cleared committee hurdles in the Senate this year, showcasing its wide-reaching support and the urgency of its mandates. Davids’ advocacy extends beyond this legislation, encompassing efforts to enhance oversight of relief programs, combat fraud within the SBA, and safeguard small business owners. Furthermore, her role on the Subcommittee on Economic Growth, Tax, and Capital Access has seen her focus on fortifying supply chains for small to medium-sized manufacturers and curbing operating expenses, thereby bolstering the backbone of the American economy.

The impetus for the Act stems from the identified constraints of the ONAA, notably its absence of formal authority and the chronic underfunding that has critically impaired its capacity to serve Native-owned small businesses effectively. The fluctuating budget of the ONAA, oscillating between a mere $1 million to a peak of $5 million annually, coupled with limited staffing, has historically marginalized Native American interests within the strategic planning of the SBA.

The legislative proposal envisions a recalibration of the ONAA’s structure, advocating for the creation of an Assistant Administrator position within the SBA, who would have a direct reporting line to the SBA Administrator. This new role is expected to foster enhanced coordination with other SBA offices and pertinent federal departments, channeling resources more effectively to support entrepreneurial growth, contracting opportunities, and access to capital within Native communities.

Integral to the ONAA’s revamped mandate would be its engagement with Indian tribes, Alaska Native corporations, Native Hawaiian Organizations, and businesses owned by members of these communities. The objective is to offer holistic support for entrepreneurial ventures, refine policy frameworks, and amplify existing programs to meet the nuanced needs of Native businesses comprehensively. The Act also underscores the importance of providing direct financial aid, spearheading educational outreach efforts, and facilitating tribal consultations to explore potential enhancements to SBA’s offerings and processes.

“Small businesses are the heartbeat of our communities and economy, and Tribal businesses are often important employers on reservations and their surrounding areas,” said Davids. “We must break down barriers and increase access to resources so that every entrepreneur and business owner can grow their operation and succeed, and it all begins with having a seat at the table. I appreciate the broad bipartisan support for this bill, which aims to provide Native entrepreneurs with direct access to SBA leadership.” Representative Davids said this in light of the momentous event, stressing the critical nature of the Act for fostering economic vibrancy within tribal economies.

She further accentuated the bipartisan endorsement of the bill as a pivotal stride toward eliminating obstacles for Native entrepreneurs, granting them “direct access to SBA leadership,” and significantly improving their prospects for success.

As the Native American Entrepreneurial Opportunity Act progresses through the legislative pipeline, anticipation builds around its potential to effectuate meaningful change. By institutionalizing the ONAA’s role within the SBA and guaranteeing focused leadership and resources, the Act is poised to rectify longstanding support deficiencies, paving the way for a future marked by enhanced economic development and prosperity for Native American communities. This initiative represents a vital step in acknowledging and addressing the unique challenges faced by Native entrepreneurs, ensuring their access to the tools and resources necessary for sustainable growth and success.

Many expressed their support for this initiative:

“Ho-Chunk Inc. applauds Representative Davids’ commitment to advancing this important bipartisan legislation to provide statutory authority for the establishment of the Office of Native American Affairs within the Small Business Administration,” said Annette Hamilton, Vice President and Chief Operating Officer, Ho-Chunk Inc. “The SBA Office of Native American Affairs is a critical partner to Tribally-owned entities and ensures that decisions made within the Administration are conducted with consultation and culturally-tailored solutions. Tribally-owned entities are essential economic drivers for communities that have long been disadvantaged, so having a permanent position at SBA will serve to enhance continuity in the programs that have been so effective for Winnebago tribal members.”

“Economic development in our tribal communities is crucial—not just for those communities, but for everyone in our districts and states,” said Representative Eli Crane (R-AZ-02). “This bill will help draw more attention to the resources available to tribal business owners through the SBA and encourage the ONAA to continue developing new methods for outreach to ensure that tribal businesses are not overlooked—all without unnecessarily expanding government.”

“The Office of Native American Affairs provides important opportunities, support, and education to numerous Native owned businesses across the country,” said Quinton Carroll, Executive Director, Native American Contractors Association. “The Native American Entrepreneurial Opportunity Act will advance and move the office forward with stability to bolster economic development in Native communities.”