A New Paradigm: A New Paradigm: The Indian Country The Indian Country

EconomyEconomy

A PowerPoint presentation by Alan Parker, faculty for Native Law & PolicyThe Evergreen State College, Olympia WA

June 19, 2006

The Indian Country Economy:The Indian Country Economy:A New ParadigmA New ParadigmThe Indian Country Economy:The Indian Country Economy:A New ParadigmA New Paradigm

Webster’s defines Webster’s defines an economy as:” …an economy as:” …a system of a system of producing, producing, distributing and distributing and consuming wealth.”consuming wealth.”

Each Tribal Nation Each Tribal Nation is responsible for is responsible for designing its own designing its own tribal economy tribal economy based on its own based on its own economic policies economic policies and strategies.and strategies.

Tribal economies Tribal economies have much in have much in common.common.

What is the What is the “Indian Country “Indian Country

Economy”?Economy”?

Indian Country Economy (ICE) = the collective resource base, production Indian Country Economy (ICE) = the collective resource base, production capabilities and service capacity in all of “Indian Country”.capabilities and service capacity in all of “Indian Country”.

Tribal sovereignty is used to give competitive advantage to tribal enterprises in the Tribal sovereignty is used to give competitive advantage to tribal enterprises in the marketplace . marketplace .

““Produced in Indian CountryProduced in Indian Country” is a brand label for some Indian Country products. ” is a brand label for some Indian Country products. ““Strategic Geographic Location” is a valuable asset and an economic resource of Strategic Geographic Location” is a valuable asset and an economic resource of

the ICE.the ICE.

The “Tribal Gaming” ExampleThe “Tribal Gaming” Example

Tribal Gaming is common Tribal Gaming is common to many tribal economies.to many tribal economies.

Tribal sovereignty creates Tribal sovereignty creates the opportunity for tribal the opportunity for tribal gaming.gaming.

Federal law requires tribal Federal law requires tribal gaming enterprises be gaming enterprises be owned by the tribe.owned by the tribe.

Class III tribal gaming Class III tribal gaming requires a state-tribal requires a state-tribal compact.compact.

Pawnee Nation

Plans $100 Million

Casino Resort

What other elements are common What other elements are common to the Indian Country Economy?to the Indian Country Economy?

Tribal ownership means all tribal members have a stake in tribal Tribal ownership means all tribal members have a stake in tribal economy.economy.

““Natural” and “environment friendly” is associated with Native Natural” and “environment friendly” is associated with Native American products.American products.

Tribal economic success = tribal political strength in the local and Tribal economic success = tribal political strength in the local and state “political economy.”state “political economy.”

Dakota Dunes opens in 2006Dakota Dunes opens in 2006

Indian Country regions = a distinctive mix of natural resources.Indian Country regions = a distinctive mix of natural resources. Pacific NW tribes have fisheries and timber.Pacific NW tribes have fisheries and timber. Fossil fuel energy, wind and hydro are abundant in the Rockies. Fossil fuel energy, wind and hydro are abundant in the Rockies. Indian Agriculture base in mid-west = livestock and crops.Indian Agriculture base in mid-west = livestock and crops. Southwest tribes location = broadband telecom. opportunities.Southwest tribes location = broadband telecom. opportunities. Tribal contracting preferences for government procurement. Tribal contracting preferences for government procurement.

Besides Gaming what common Besides Gaming what common resources make up the ICE?resources make up the ICE?

Are there common economic Are there common economic strategies among tribes?strategies among tribes?

Most sectors of ICE have created an Most sectors of ICE have created an intertribal support organization. (e.g., intertribal support organization. (e.g., timber, agriculture, gaming, etc.) timber, agriculture, gaming, etc.)

The highest priority has been “job creation”The highest priority has been “job creation” The next highest is diversification locallyThe next highest is diversification locally Tribal independence is a strong tradition Tribal independence is a strong tradition

and there are few examples of tribal joint and there are few examples of tribal joint ventures.ventures.

Buy-Indian is not widely practiced by tribesBuy-Indian is not widely practiced by tribes

Examples of joint Examples of joint business dealsbusiness deals

Four Fires, LLC and Three Fires, LLCFour Fires, LLC and Three Fires, LLC Mohegan, Pequot, etc., intertribal investment in gaming.Mohegan, Pequot, etc., intertribal investment in gaming. Native American National Bank.Native American National Bank. Alaska Native Regional Corporations.Alaska Native Regional Corporations. More?More?

““A rising tide lifts all boats!”: Economically and politically.A rising tide lifts all boats!”: Economically and politically. Tribes with capital systematically invest in The Indian Country Tribes with capital systematically invest in The Indian Country

Economy (syndicates, mutual funds and Indian investment vehicles)Economy (syndicates, mutual funds and Indian investment vehicles) These investments offer competitive options for risk and reward.These investments offer competitive options for risk and reward. Intertribal trade and investment puts tribal sovereignty to workIntertribal trade and investment puts tribal sovereignty to work

WHAT IS THE NEW PARADIGM?

The New Paradigm: continuedThe New Paradigm: continued

Tribes with common resources join together to access new markets.Tribes with common resources join together to access new markets. Marketing cooperatives serve common sectors of ICE: access higher Marketing cooperatives serve common sectors of ICE: access higher

end marketsend markets Tribal suppliers with strong management and quality control serve tribal Tribal suppliers with strong management and quality control serve tribal

retailers (casino-based food service enterprises, etc.)retailers (casino-based food service enterprises, etc.)

What steps lead to What steps lead to the ICE vision?the ICE vision?

Indian supplier – Indian buyer models - tribal buy-Indian policies.Indian supplier – Indian buyer models - tribal buy-Indian policies. Business research proves feasibility and multiplier effectsBusiness research proves feasibility and multiplier effects Business schools conduct “due diligence” and document economic Business schools conduct “due diligence” and document economic

values for each sector of the ICEvalues for each sector of the ICE Financial instruments, programs and institutions need Indian expertise Financial instruments, programs and institutions need Indian expertise

to serve tribal investors and enterprisesto serve tribal investors and enterprises Tribal investment needed for research programsTribal investment needed for research programs

““The Indian Country The Indian Country Economy”Economy”

A Powerful visionA Powerful vision

An emergent RealityAn emergent Reality

A realistic game plan for today and A realistic game plan for today and tomorrow!tomorrow!

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