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Department of the Interior Bureau of Indian Affairs Ron Demaray - Presenter

Department of the Interior Bureau of Indian Affairs Ron Demaray - Presenter. Contract Support Costs. Indian Self-Determination and Education Assistance Act (ISDEAA) P.L. 93-638. P.L. 93-638 P.L. 93-638 Enacted January 4, 1975 (Signed by President Gerald Ford)

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Department of the Interior Bureau of Indian Affairs Ron Demaray - Presenter

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  1. Department of the InteriorBureau of Indian AffairsRon Demaray - Presenter Contract Support Costs

  2. Indian Self-Determination and Education Assistance Act (ISDEAA) P.L. 93-638 • P.L. 93-638 • P.L. 93-638 Enacted January 4, 1975 (Signed by President Gerald Ford) • Gave T/TOs Authority to contract with DOI and DHEW (DHHS) for direct operation of programs serving their tribal members. • P.L. 100-472 • 1988 Amendments Passed October 5, 1988 • Simplified the ISD contracting process and facilitated the assumption of IHS programs by tribal governments. Introduced CSC provisions at Section 106 - Now §5325.

  3. Indian Self-Determination and Education Assistance Act (ISDEAA) P.L. 93-638 • PROMULGATION OF REGULATIONS • 18 months to issue regulations • Directed use of Negotiated Rulemaking • BIA and IHS met with Tribes • DOI & HHS revised the Final Rule • Initial effort to draft Regulations ended up as a total failure • Congress chose to amend P.L. 93-638 again…

  4. Indian Self-Determination and Education Assistance Act (ISDEAA) P.L. 93-638 • P.L. 103-413 • 1994 Amendments Passed October 25, 1994 • Titled “Contract Reform Act of 1994” • Title I significantly Amends P.L. 93-638 and 1988 amendments, • Intended to limit the inappropriate exercise of discretion by the DOI and HHS • Limited the promulgation of regulations • Implements, by statute, many of the areas that had been subjects for regulations under 1988 Amendments • Model Contract – specifies terms of P.L. 93-638 Contracts entered into between U.S. and Indian T/TOs

  5. 25 C.F.R. Part 900 – Title I Regulations • PROMULGATION OF REGULATIONS • 18 months to issue regulations • Directed use of Negotiated Rulemaking • 1994 Amendments restricted areas in which regulations could be developed • Final Joint Rule Implementing P.L. 103-413, the Indian Self-Determination Contract Reform Act of 1994 published in Federal Register JUNE 24, 1996 • Final Rule – 25 C.F.R. Part 900 – became effective August 23, 1996

  6. 25 C.F.R. Part 1000 – Title IV, Self-Governance Regulations • PROMULGATION OF REGULATIONS • Self-Governance started as a demonstration project within the IHS under P.L. 102-573 • P.L. 103-435 amendments expanded Self-Governance authority in 1994 CSC authority is the same for Title IV, Title V and Title I

  7. Bureau of Indian Affairs Contract Support Cost Policy Part 13, Chapter 7, INDIAN AFFAIRS MANUAL Indian Self-Determination Contract Support Costs

  8. Indian Health Service Contract Support Cost Policy Part 6, Chapter 3, INDIAN HEALTH MANUAL Contract Support Costs

  9. Contract Support Cost Policy • BIA Part 13, Chapter 7 AUTHORITY • Statute & Regulations • 25 U.S.C. §§ 5301 et seq. ISDEAA • 25 CFR part 900 • 25 CFR Part 1000 • IHS Part 6, Chapter 3 AUTHORITY • Title I of the ISDEAA, 25 U.S.C. §§ 5301 - 5332 • Title V of the ISDEAA, 25 U.S.C. §§ 5381 - 5399

  10. P.L. 93-638, Indian Self-Determination and Education Assistance Act • 25 U.S.C. § 5325(a)(1)- Secretarial Amount The amount of funds provided under the terms of self-determination contracts entered into pursuant to this [Act] shall not be less than the appropriate Secretary would have otherwise provided for the operation of the programs or portions thereof for the period covered by the contract, without regard to any organizational level within the Department of the Interior or the Department of Health and Human Services, as appropriate, at which the program, function, service, or activity or portion thereof, including supportive administrative functions that are otherwise contractible, is operated.

  11. P.L. 93-638, Indian Self-Determination and Education Assistance Act • 25 U.S.C. § 5325(a)(2) – Contract Support There shall be added to the amount required by paragraph (1) contract support costs which shall consist of an amount for the reasonable costs for activities which must be carried on by a tribal organization as a contractor to ensure compliance with the terms of the contract and prudent management, but which: • normally are not carried on by the respective Secretary in his [or her] direct operation of the program; or • are provided by the Secretary in support of the contracted program from resources other than those under contract.

  12. P.L. 93-638, Indian Self-Determination and Education Assistance Act • 25 U.S.C. § 5325(a)(3) – Contract Support (1) The contract support costs that are eligible costs for the purposes of receiving funding under this [Act] shall include the costs of reimbursing each tribal contractor for reasonable and allowable costs of - a) direct program expenses for the operation of the Federal program that is the subject of the contract, and b) any additional administrative or other expense related to the overhead incurred by the tribal contractor in connection with the operation of the Federal program, function, service, or activity pursuant to the contract, except that such funding shall not duplicate any funding provided under [25 U.S.C. § 5325(a)(1)].

  13. P.L. 93-638, Indian Self-Determination and Education Assistance Act • 25 U.S.C. § 5325(a)(3) – Renegotiation (2) On an annual basis, during such period as a tribe or tribal organization operates a Federal program, function, service, or activity pursuant to a contract entered into under this [Act], the tribe or tribal organization shall have the option to negotiate with the Secretary the amount of funds that the tribe or tribal organization is entitled to receive under such contract pursuant to this paragraph.

  14. P.L. 93-638, Indian Self-Determination and Education Assistance Act • 25 U.S.C. § 5325(a)(5) – Startup Costs (2) Subject to paragraph (6), during the initial year that a self-determination contract is in effect, the amount required to be paid under paragraph (2) shall include startup costs consisting of the reasonable costs that have been incurred or will be incurred on a one time basis pursuant to the contract necessary – (1) to plan, prepare for, and assume operation of the [PFSA] that is the subject of the contract; and (2) to ensure compliance with the terms of the contract and prudent management.

  15. P.L. 93-638, Indian Self-Determination and Education Assistance Act • 25 U.S.C. § 5325(a)(6) – Pre-Award Costs Costs incurred before the initial year that a self-determination contract is in effect may not be included in the amount required to be paid under paragraph (2) if the Secretary does not receive written notification of the nature and extent of the costs prior to the date on which such costs are incurred.

  16. Managing Contract Support Costs • Tribes should spend their BIA (IHS) funding first • Remember Pre-Award & Startup any time you expand your Programs • DCSC is driven by BIA (IHS) salaries • Manage pass-through & exclusions • BIA (IHS) CSC Workgroups

  17. Contract Support Cost Education • BIA Website: https://www.indianaffairs.gov/sites/bia.gov/files/assets/public/raca/manual/pdf/idc2-060037.pdf • IHS Website: https://www.ihs.gov/ODSCT/index.cfm/contract-support-costs/ • Brief Statutory Overview: (6 minutes) https://www.youtube.com/watch?v=g0BMJ91wYhY&feature=youtu.be • Key Definitions: (6.5 minutes) https://www.youtube.com/watch?v=7pbNn3fEtAE&feature=youtu.be • Direct Contract Support Costs: (17 minutes) • https://www.youtube.com/watch?v=wvPwyCkShu4&feature=youtu.be • Indirect Contract Support Costs: (22.5 minutes) • https://www.youtube.com/watch?v=ML_nouH1aIo&feature=youtu.be • New Policy Changes (Oct. 2017): (5 minutes) • https://www.youtube.com/watch?v=8pEVygDeKHc&feature=youtu.be

  18. Demaray Consulting, LLC. 25039 North 50th Avenue, Phoenix, AZ 85083 Ph. (240) 778-3215 - RBDemaray@DemarayConsulting.com • Self-Determination • Self-Governance • Contract Support Costs • Indirect Costs • Direct Service Tribes • Tribal Consultation • Technical Assistance

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