Mission Success – Tribal Prosperity
Contracting with a Tribal Company
TIGUA, INC
Tribally-Owned 8(a)
Definitions - 25 U.S.C 450b
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25 U.S.C. 450b “Indian tribe” means any Indian tribe, band, nation, or other organized
group or community, including any Alaska Native village or regional or village
corporation as defined in or established pursuant to the Alaska Native Claims Settlement
Act(85 Stat. 688) [43 U.S.C 1601 et seq. 1], which is recognized as eligible for the
special programs and services provided by the United States to Indians because of the
status as Indians.
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“tribal organization” means the recognized governing body of any Indian tribe; any
legally established organization of Indians which is controlled, sanctioned, or chartered
by such governing body or which is democratically elected by the adult members of the
Indian community to be served by such organization and which includes the maximum
participation of Indians in all phases of its activities: Provided, that in any case where a
contract is let or grant made to an organization to perform services benefiting more than
one Indian tribe, the approval of each such Indian tribe shall be a prerequisite to the
letting or making of such contract or grant
TIGUA, INC
Definitions - SBA
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The term “qualified Indian tribe” means an Indian tribe as defined in section
4(a) of the Indian Self-Determination and Education Assistance Act, which
owns and controls 100 per centum of a small business concern.
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A Tribal Owned small business concern is one:
– Wholly owned by 1 or more Indian tribal governments, or by a corporation that is
wholly owned by 1 or more Indian tribal governments; or
– Owned in part by 1 or more Indian tribal governments, or by a corporation that is
wholly owned by 1 or more Indian tribal governments, if all other owners are either
United States citizens or small business concerns
TIGUA, INC
Why Unique Rights
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Indian reservations and Alaska Native villages suffer from some of the worst poverty
in this country, with unemployment levels in excess of 60%. For example, a recent
federal study found that the area of the country with the lowest life expectancy in the
country was not an urban ghetto but an Indian reservation. Because of the lack of
resources, there is little individual entrepreneurship on reservations.
Instead, the Indian tribal governments and Alaska Native Corporations (the Alaska
equivalent of tribes) have the primary responsibility for promoting economic
development.
On the premise that it is both appropriate and necessary to use the Federal
government’s massive procurement activity to help jump-start reservation economies.
Congress has given tribes and Alaska Native Corporations (ANCs) unique rights in
the Federal procurement process. These rights provide the Federal agencies and
federal contractors with strong incentives to contract with tribal and ANC firms.
All of these special provisions are contingent upon the tribal and ANC-owned
firms providing quality services and supplies to the Federal agencies and
performing 51% of the labor hours with their own direct labor
TIGUA, INC
Tribal 8(A) Program
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Tribal 8(a)s eligible for sole source awards of unlimited value (13 CFR 124.506(b))
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A Participant concern owned and controlled by an Indian Tribe or an ANC may be
awarded a sole source 8(a) contract where the anticipated value of the procurement
exceeds the applicable competitive threshold if SBA has not accepted the requirement into
the 8(a) BD program as a competitive procurement.
Acquisitions up to $20M can be done without justification & approval required by FAR
6-303, 6-304
Award cannot be protested (13 CFR 124.517)
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• The eligibility of a Participant for a direct negotiated or competitive 8(a) requirement may not be
challenged by another participant or any other party, either to SBA or any administrative forum as
part of a bid or other contract protests.
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Direct negotiation with Tribal Company
SDB & Native American Credits
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Federal Agencies contracting to Tribal Company are able to claim Small Disadvantaged
Business (SDB) and Native American credits (FAR 13 CFR124.109(a)(4))
Tribal 8(a)s are eligible for direct outsourcing of non-inherently governmental
services or functions under OMB circular A76 without study or cost comparison
(Public Law 107-117 (Defense Appropriations Act FY2002), Sec. 8014)
TIGUA, INC
Benefits for Client
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Government
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Sole source
• Reduces workload demand on Government contracting and customer resources otherwise
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required by full acquisition process, especially if large number of proposals
Allows limited Government contracting resources to focus on large acquisitions
Allows Government to negotiate to a Government-budgeted number
Meet small business goals (e.g., SB, SDB, 8(a), Hub Zone)
Small tribal companies positioned for success – backed by tribe or parent corporation
Prime Contractors
– Earn SB/SDB credit for subcontracting goals regardless of Tribal Company’s size or
business classification (52.219-9(d)(1)(i))
• Assured credit during contract duration -- can’t “outgrow” status
• Large business capability for small business credit
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5% DoD Rebate
• A contractor of a Federal agency under any Act of Congress may be allowed an additional
amount of compensation equal to 5 percent of the amount paid to a subcontractor or supplier
that is an Indian organization or Indian owned economical enterprise (DFAR 252.226-7001)
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Strategic partnership affords access to small business market
TIGUA, INC
Benefits for Tribe
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Contract revenues support tribal economic and community development
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• Health and welfare
• Education and training opportunities
• Housing
• Employment
Contracts can provide job opportunities to tribal members and their decedents
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Tribes are socioeconomically disadvantaged -- lag behind US in poverty, unemployment,
housing shortages and other critical social characteristics
Profits aid tribal members
Many tribal members have served in our Armed Forces
Develop capabilities that transfer to commercial opportunities
Subcontract to individual Native American owned companies
TIGUA, INC
Built for Success – Tribal Structure
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Alaska Native companies developed for business success
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• Regional Corporation Board of Directors
• Government companies developed Board of Directors
• Act as a business not a Government
Tribes are a government structure not a business structure
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Regional corporations developed and trained in a business structure
Tribal Government structure to provide for welfare of all tribal members
Provide inherently government services to members
Successful tribal companies
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Separate business operations from government process
Develop a Board of Directors appointed by Tribal Council but operate independently
Have separate funding and accounting from the Tribe
Develop business codes within the Tribe
Tribal company pays dividends to Tribal Government
Clear objectives for business growth
Ability to secure bonding outside of the Tribal Government
TIGUA, INC
Tribal Sovereign Immunity
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What is it?
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Why is this important?
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Tribal sovereignty refers to inherent authority of indigenous tribes to govern themselves
within the borders of US. The federal government recognizes tribal nation as “domestic
dependent nations”
Sovereign Immunity states an Indian tribe is not subject to suit in a state court - even for
breach of contract involving off-reservation commercial conduct
564 federally recognized Indian tribes
There is not Sovereign Immunity when contracted directly with federal government.
This would be an issue when Tribe is subcontracted or Tribe has a subcontractor.
• Consider Limited Waiver Of Sovereign Immunity
What is Limited Waiver of Sovereign Immunity?
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Allows Tribal Company to waive Sovereign Immunity for specific contract or relationship
Puts Tribal Company and partner company on equal footing with regards to dispute
resolution -- allows for either a lawsuit in state courts or for binding arbitration
TIGUA, INC
EXAMPLE OF STRUCTURE -TIGUA
Tigua Inc
John Baily
Tigua Technology Services
Tigua Construction
Tigua Transportation
Tigua Enterprises
Tigua Capital
Small Business
Small Business
Small Business
8(a) SDB
Investment
Company/Real Estate
IT
Construction
Fuels
Facility O&M
Comm
Asphalt/Paving
Supply
Grounds
Security Systems
Facility Renovation
Warehouse
Custodial
TIGUA, INC
Tribal Overview - Tigua
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Ysleta del Sur Pueblo (Tigua Indians), >1600 tribal members
Located in El Paso, TX, area since 1680
Federally recognized in 1987
Employ separated model with established boundaries between tribal
politics and business
– Governance: Tribal Council; Tribal Government
– Business: Board of Directors; Tigua Inc. (holding company)
– Tribal sovereignty can be waived for contract T&Cs
TIGUA, INC
Services
 Public Works/Civil Engineering
 Logistics/Supply/Warehouse/Transportation
 Housing
 Minor Construction
 Environmental
 IT/Communications/Security Systems
 Law Enforcement/Security Services
 Fire Protection
 Emergency Management
 Health
 Product Supplies
TIGUA, INC
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First Hand
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Experience
Facility maintenance and renovation
Asphalt and road projects
Landscaping
IT
Supply/Warehouse/Transportation
Product supplier (fuels, lubricants, comm/data components)
Reach Back
– Full support and backing of Tribal Government departments
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Maintenance and Environmental
Housing
Management of Information Systems
Law Enforcement
Health and Human Services (Medical Clinic and Daycare)
Emergency Management and Fire Protection
Recreation and Wellness Center
– Business units share tribal bond with Government departments
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• Direct, immediate access to staff and their expertise
• Benefit from each other’s services
• Ex: Maintenance Dep’t provided on-site help to move two modular buildings at Ft Bliss
Corporate Management
– Various service contracts up to $60M
– Federal Government clients (Army, Air Force, Navy, GSA, NOAA, NASA)
– Managing large and small business subcontractors
TIGUA, INC
Contact Info
Primary
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Name: John Baily
Title: CEO
Office Phone: (915) 298-0639
Cell Phone: (915) 780-3218
E-Mail: jbaily@tiguainc.org
Alternate
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Name: Doug Creighton
Title: Director, Business Development
Office Phone: (915) 525-6513
Cell Phone: (915) 525-6513
E-Mail: dcreighton@tiguainc.org
TIGUA, INC
www.tiguainc.org