Statement of Phillip A. Singerman, Ph.D.

Assistant Secretary for Economic Development

U.S. Department of Commerce

Testimony Before the U.S. Senate Committee on Indian Affairs

April 21, 1999

The Economic Development Administration (EDA) was established under the Public Works and Economic Development Act of 1965 to generate jobs, and stimulate industrial and commercial growth in economically distressed areas of the country. EDA assistance is available to rural and urban communities experiencing high unemployment, low income, or other severe economic distress. We work in partnership with other federal agencies, state and local governments, regional economic development districts, public and private non-profit organizations, and Indian tribes to develop and implement their revitalization strategies.

In adhering to this mission, EDA has a thirty-year history of providing federal assistance to Native American and Alaska Native communities, finding these to be among the highest in distress in the country. We have cultivated a strong working relationship with Native American tribes over the years, working with communities to identify priorities and implement strategies for self-empowerment, job growth, and commercial investment. In fact, since Fiscal Year 1993, EDA has funded 453 Native American and Alaska Native projects totaling over $53.1 million. Of this amount, over $35.6 million were for public works and technical assistance grants. The remaining dollars were for EDA planning grants. We believe that our record is a good one, and we remain committed to aggressively targeting program dollars to these areas of highest distress.

EDA also provides funding to over sixty tribes or tribal organizations through our planning program. The planning program, among other things, supports the formulation of economic development in Indian country and the retention of full-time permanent jobs for unemployed and underemployed Native Americans and Alaska Natives.

On August 6, 1998, President Clinton directed the Department of Commerce, the Department of the Interior, and the Small Business Administration to develop, in consultation with other interested parties, including governments, a strategic plan for coordinating existing Federal economic development initiatives for Native American and Alaska Native communities. On December 17, 1998, these agencies presented a report to the President. This report noted that one of the most important factors for successful economic development in Indian country is the ability to access information and assistance. More detailed information is available in the attached document, which we submit for the record.

As a critical component of that initiative, the Department of Commerce was charged with assessing the technology infrastructure needs of American Indian and Alaska Native communities. This study, funded by EDA, is being performed by researchers at New Mexico State University, with a target completion date of June 15, 1999. In order to provide an interim report on the study, two New Mexico State University researchers, accompanied by EDA staff, briefed a number of your committee staff on April 2, fielding questions and disseminating information. We will ensure that the Committee is provided with copies of the completed study. Our hope is that the findings of this comprehensive report will generate positive action at the federal level.

EDA is also examining the unique criteria surrounding successful reservation economic development through a study entitled, "Effective Economic Development Practices in Native American Economic Development." Through the study, successful projects will be utilized as case studies to develop models and facilitate improved economic development practices. The National Congress of American Indians (NCAI) is conducting the research under an EDA grant approved in September 1998.

Another EDA-funded initiative of 1996 produced a comprehensive directory of American Indian Reservations and Trust Areas, a vital tool for economic developers and commercial investors in Native American communities. This document is available on the EDA Web site.

I would also call your attention to the attached document outlining other Department of Commerce Native American and Alaska Native programs, particularly the Global Diversity Initiative (GDI) of the United States and Foreign Commercial Service (USFCS), focused on increasing the number of minority-owned firms exporting their products and services abroad. I am accompanied today by Marcia Warren, with the USFCS, who is a member of the Santa Anna Pueblo Tribe.

To briefly highlight other Commerce initiatives:

• The Minority Business Development Agency (MBDA) has established the Office of Native American Programs (NAP), which consists of eight Native American Business Development Centers (NABDCs) and a Native American Business Consultant (NABC) to provide management and technical assistance to the Native American business community.



• In 1995, Commerce and the American Indian Science and Engineering Society (AISES) signed a Memorandum of Understanding which provides the cooperative framework for the Commerce/AISES "Project Partnership Program." Administered by the National Oceanic and Atmospheric Administration (NOAA), the AISES Program helps to increase the educational opportunities offered by Commerce for AISES students.



• The Telecommunications and Information Infrastructure Assistance Program (TIIAP) provides matching grants on a competitive basis to non-profit institutions, and state, local and tribal governments so they can acquire and use advanced, modern communications and information technology to improve their communities. TIIAP, administered by the National Telecommunications and Information Administration (NTIA), has funded 18 model tribal projects since 1994.



• NTIA's Public Telecommunications Facilities Program (PTFP) provides matching grants to non-profit entities for the planning, construction, and replacement of outdated public radio and television equipment, serving more than forty tribal communities throughout the United States.



• The Patent and Trademark Office (PTO), in consultation with tribal organizations, is exploring the possibility of conducting workshops to aid Native Americans in protecting intellectual property through a patent or trademark.



• The Tourism Industries office in the International Trade Administration (ITA) is co-sponsoring with private industry the American Pathways 2000 program, a component of First Lady Hillary Rodham Clinton's Millennium Program. American Pathways 2000 encourages the development of tour itineraries in the United States that will highlight diverse cultures and heritages of this country, including Native American cultures.

Under the leadership of Secretary Daley and Secretary Brown, the Department of Commerce has consistently brought forward strong programs and initiatives to aid in the financial growth and development of Native American communities. Such programs will continue to be a priority in the future, and the Commerce Department remains committed to these efforts. After a careful review of S. 401, the Native American Business Development, Trade Promotion and Tourism Act of 1999, the Commerce Department has concluded that the agency bureaus cited above are currently fulfilling the goals and objectives of the legislation. We look forward to working with you in identifying areas of need in Indian Country that can be addressed within the authorities and jurisdictions of the bureaus of the Commerce Department.

Thank you again for this opportunity. Marcia Warren and I would be pleased to respond to any questions.