Treasury awards $73M to Tribal governments to help small businesses

The U.S. Department of the Treasury has approved approximately $73 million in funding for 39 Tribal governments through its State Small Business Credit Initiative (SSBCI).

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The funding, via the American Rescue Plan, is part of the largest and most expansive one-time investment for Tribal governments for small business financing in U.S. history.

“For the past two and a half years, the Biden-Harris Administration has committed to strengthening its relationship with Tribal nations to support Tribal economic growth and self-determination,” Deputy Secretary Wally Adeyemo said. “Today’s announcement is an historic investment in Tribal entrepreneurship, small business growth, and innovation as a part of President Biden’s Investing in America agenda. This funding will help reduce barriers to capital access for Tribal communities which have historically experienced limited federal investment in economic development.”

The American Rescue Plan (ARP) reauthorized and expanded SSBCI, providing nearly $10 billion to states, the District of Columbia, territories, and Tribal governments to increase access to capital and promote entrepreneurship, especially in traditionally underserved communities.

Further, the ARP includes the first-ever inclusion of dedicated, direct support to Tribal governments under SSBCI, with allocations totaling more than $500 million available for Tribal small businesses and enterprises.

“The funding announced today has the potential to serve as a lifeline for Native Americans, who experience a poverty rate twice the national average,” Chief Lynn Malerba, Treasurer of the United States, citing the 2018 United States Commission on Civil Rights Broken Promises report, said. “Today’s plan approvals will enable Tribal government, Native-owned, and other businesses within a Tribe’s jurisdiction to support and sustain a small business ecosystem that creates economic opportunities for Tribal citizens and their surrounding local and regional communities.”

Among the grants, up to $22 million was awarded to 25 Tribal governments applying jointly through the Affiliated Tribes of Northwest Indians Economic Development Corporation (ATNI-EDC). ATNI-EDC will operate SSBCI programs on behalf of the 25 Tribes—spread across California, Oregon, Washington, Idaho, and Arizona. Also, $2 million was awarded to the Menominee Indian Tribe of Wisconsin (MITW), while up to $1.4 million was granted to the Yurok Tribe of California, the largest in the state, to operate new loan participation programs.