Murkowski leads hearing emphasizing importance of SBA Native 8(a) Program for native communities

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Senator Lisa Murkowski - Chairman of the Indian Affairs committee | Official U.S. Senate Headshot

Murkowski leads hearing emphasizing importance of SBA Native 8(a) Program for native communities

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U.S. Senator Lisa Murkowski (R-Alaska), Chairman of the Senate Committee on Indian Affairs, recently led an oversight hearing focused on the Small Business Administration Native 8(a) Program. The session examined the program’s impact on economic self-determination for Native communities.

Chairman Murkowski addressed criticism about the legitimacy of the SBA Native 8(a) program and rejected claims that it is based on diversity, equity, and inclusion (DEI) initiatives.

“This program is a success story. It’s not a fraud, as some have alleged,” Murkowski said. “Quite honestly, that’s terminology that I would just categorically reject.”

Murkowski stated that the program supports federal procurement while advancing economic opportunities for Native communities across the country. She clarified that Native participation in 8(a) stems from Congress’s constitutional authority over Indian Affairs and longstanding federal trust responsibilities to Native peoples.

“It was not based on race. It was not based on DEI, but it was based on Congress’s constitutional authority over Indian Affairs and a longstanding federal trust responsibility to Native peoples,” Murkowski said.

She cautioned against restricting the program, arguing such actions would remove a key contracting tool from federal agencies and disadvantage Native communities.

“In truth, it would actually cost the federal government a key contracting tool and further disadvantage Native peoples around the country,” she said.

The Senate Committee on Indian Affairs plays a central role in supporting self-determination for Native American communities through policy development and oversight. The committee also oversees legislation related to education, health care, economic development, tribal sovereignty, and other issues involving tribes across regions including Alaska. More information can be found at https://www.indian.senate.gov/.

During questions at the hearing, Murkowski noted increased scrutiny of the 8(a) program comes from misunderstandings about its history and purpose. She pointed out real benefits delivered by the initiative:

“These are substantive. These are real. These are meaningful, and they are making a difference, just as the obligation that we have under the federal trust responsibility requires,” she said.

Ms. Carlton described how important economic activity is for self-determination: “The missing piece from this structure was the economic engine, and the 8(a) program filled this gap.”

Ms. Watson spoke about generational impacts: “My presence here today is the symbol of the real impact of the 8(a) program,” Watson said. “The program connects economic development to long-term self-determination and creates opportunities that extend across generations well into the future.”

Murkowski asked witnesses how shareholders in remote villages benefit from 8(a), noting high costs in those areas:

“The reality is, many of the villages for your shareholders are extraordinarily expensive to live,” she said while referencing travel costs between Perryville and Anchorage as well as building material expenses. “When we say cash into the village, it is helping to offset the extraordinarily high cost of living.”

She also highlighted results achieved for federal agencies:

“We’ve heard of the benefits that the program brings to the federal government… The federal government doesn’t have to come back to the 8(a) contractor. They do it because they’re getting good value and performance is good.”

Senator Markwayne Mullin (R-OK) discussed how Cherokee Nation uses proceeds from contracting programs to support tribal government operations quickly—helping both Native and non-Native residents.

“Rural northeast Oklahoma would hurt incredibly bad if suddenly contracting was sucked out of economy,” Mullin said. “…just from federal contracting some of that $10 million went immediately into scaling up a law enforcement system.”

Senator Steve Daines (R-MT) commented on successes among Montana tribes:

“The Small Business Administration’s 8(a) program has helped tribally operated businesses in Montana grow and serve their communities,” Daines said. He emphasized how these organizations find ways beyond tax revenue or full reliance on federal funding to deliver social services.

Daines cited examples such as S&K Technologies and Buffalo Horse Inc., stating: “Tribally owned entities like S&K Technologies and Buffalo Horse Inc use 8(a) program to enhance self-determination & build long-term economic sustainability…They welcome oversight condemn fraud & have proven records over several years.”

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