Hearings to examine impacts of government shutdowns and agency reductions in force on Native communities.

2025-10-29

Summary

This meeting addressed the severe and wide-ranging impacts of government shutdowns and reductions in force (RIFs) on Native communities across the United States[ 00:15:45-00:16:18 ] [ 00:19:07-00:19:32 ]

. Speakers emphasized that the government's failure to maintain continuous operations and staffing jeopardizes essential services, undermines treaty obligations, and creates significant hardship for Native peoples[ 00:16:19-00:16:24 ] [ 00:19:07-00:19:32 ] . The discussions highlighted the urgent need for stable funding and policy reforms to protect these vulnerable communities from political stalemates.

Undermining Federal Trust and Treaty Obligations

The federal government's trust and treaty obligations to Native communities are being severely compromised by current shutdowns and RIFs, extending beyond specific agencies like IHS, BIA, or BIE to all tribal-serving programs across the federal government[ 00:16:19-00:16:24 ] [ 00:18:22 ]

. These obligations are not discretionary or charitable acts, but rather legal commitments. Furloughing federal employees directly prevents the fulfillment of these responsibilities, leaving Native communities without critical services like healthcare, education, housing, and public safety[ 00:19:07-00:19:32 ] . This situation forces tribes to dip into limited savings, reallocate funds, or even declare states of emergency, creating profound instability[ 00:16:54 ] [ 00:19:32 ] .

Critical Impacts on Essential Services

The shutdown and RIFs have immediate and devastating effects on essential services for Native communities[ 00:19:48 ]

. Food security is gravely threatened as programs like SNAP and WIC face funding shortfalls, leading to tribal leaders redirecting funds and appealing for food donations, particularly as winter approaches in colder regions[ 00:16:42 ] . Education programs, including Impact Aid, Head Start, and Johnson O'Malley, are at a standstill due to furloughed staff and eliminated positions, jeopardizing funding for schools and support services for Native students[ 00:16:46 ] . Healthcare, though somewhat protected by advanced appropriations for IHS, still faces gaps in funding for certain accounts and challenges from staff attrition and high vacancy rates within IHS, leading to concerns about preventable deaths[ 00:17:03 ] . Economic development is also hindered, with the potential abolishment of the CDFI Fund threatening vital access to capital, credit, and financial education for communities in "banking deserts".

The Problem of Reductions in Force (RIFs)

Reductions in Force are characterized as a choice made by the administration, distinct from the automatic impacts of a shutdown, and are exacerbating the crisis in Native communities. These RIFs eliminate employees with valuable institutional knowledge and established relationships, diminishing the effectiveness of crucial federal programs[ 00:18:05 ]

. Specifically, the Office of Indian Education has seen severe staff terminations, with seven out of nine employees terminated, effectively crippling its ability to process grants and support tribal education departments. The proposed abolishment of the CDFI Fund and its staff is viewed as an "economic devastation," hindering financial access and investment in tribal lands. The lack of transparency regarding which federal employees are furloughed versus permanently terminated creates further confusion and uncertainty for tribal leaders attempting to navigate federal support systems[ 01:14:16 ] [ 01:15:39 ] [ 01:15:45 ] .

Calls for Long-term Solutions and Stable Funding

There is a unified call for immediate and long-term solutions to prevent future disruptions. Key recommendations include securing advanced appropriations for all federal Indian funding to insulate programs from shutdowns and continuing resolutions, ensuring predictability and certainty for Native communities. Full and mandatory funding is proposed as a more robust approach to fulfill federal obligations. Specifically, speakers urged for the reversal of RIFs, the protection of tribal-serving staff, the permanent reauthorization of the Special Diabetes Program for Indians (SDPI), and improved cross-departmental coordination within HHS for tribal health funding. The current crisis is seen as an opportunity for critical review and reform of how the federal government finances its obligations to Native nations.

Tone of the Meeting

The tone of the meeting was largely one of profound concern and urgency, coupled with frustration over the "inexcusable" failure of Congress to fulfill its duties[ 00:15:56 ] . Speakers conveyed a sense of crisis, detailing the "devastating" real-world impacts on Native communities, which they described as "life-threatening" in some cases[ 00:19:48 ]

. There was a strong undercurrent of advocacy, emphasizing the non-discretionary nature of federal trust and treaty obligations and calling for immediate and systemic reform. Despite the gravity of the situation, there was also a shared commitment to finding solutions and a recognition of the resilience of tribal governments.

Participants

Transcript

Lisa A. Murkowski

are restricted to essential functions while appropriations have lapsed. Congress's failure to do our work, in my view, is inexcusable. We've got to come together, which means we've got to talk to one another, and it can't be about who's winning, who's losing, because right now those that are losing are the American people, including the first Americans across the country. So today we're going to hear about how government shutdowns and agency reductions in force impact Native communities. When federal employees are furloughed, the people responsible for carrying out the government's trust and treaty obligations are unable to do their jobs. This disrupts Native communities' access to essential federal resources and services. Tribes and Native leaders are reaching out for help, and they're being told, well, can't help you now. The government is not open. And all the while, Native parents who rely on SNAP are worrying about how to feed their families. Head start renewal deadlines are approaching with no one to process them. Maintenance and repairs at health care facilities are stalled, and tribal governments are dipping into their limited savings if they haven't used them up already. We know how past government shutdowns have hurt Native communities. During the 2018 partial government shutdown, the Indian Health Service had no advance appropriations at the time. forcing tribes and tribal organizations to cut services, exhaust on-hand medical supplies, and even consider temporarily closing health care facilities. So funding for IHS isn't a luxury. I think we know well, for many, it is a matter of life and death. And that's why, back in 2013, we were able to introduce legislation to provide advanced funding, advanced appropriations for IHS. We knew then it was going to be a long haul, But it was the right thing to do. And in the FY23 appropriations bill, we finally secured advanced appropriations for most of the IHS accounts.

Lisa A. Murkowski

So today, as health care facilities across the country continue operating with minimal disruption during the shutdown, I think we can see the real impact that that had. In 2025, We've also seen reductions in force, the RIFs, across many departments and agencies affecting the administration of federal programs that Native communities rely on. The loss of employees with deep institutional knowledge and longstanding relationships with Native communities weakens the effectiveness of these crucial federal programs. On October 10th, additional RIF notices were issued. We're going to hear today about the impacts at the CDFI Fund, which supports Native CDFIs in expanding economic opportunities in Indian country, at the Office of Indian Education and the Impact Aid Office, where cuts threaten education opportunities for Native students, and at HHS, where staff reductions to SAMHSA, HRSA, home programs that fill gaps left by IHS, especially when it comes to behavioral health. Now, not all of these offices have Indian or tribe in their names, but each plays a critical role in serving Native communities, and all are part of carrying out the federal government's trust and treaty responsibilities. I've consistently reminded agencies of the unique government to government relationship, and that these obligations must be upheld, even in times of challenge. Well, it's kind of a meeting under perhaps not the best circumstances right now. I do hope that today's hearing will be a productive one. We all want our government to work. We want our government to serve all the people of the United States, including our Native peoples. And as Senators, I think it's our responsibility to listen and understand the day-to-day impacts that communities are facing during this shutdown, and that's what we intend to do here today. I'll now turn to

Lisa A. Murkowski

Vice Chair for his opening statement.

Brian Emanuel Schatz

Thank you, Chair Murkowski, and thank you to our witnesses for being here. When the federal government shuts down, our trust and treaty and legal obligations do not vanish, but they are put at risk. Promises to provide health care, housing, education, and public safety among so many other critical services are all on the chopping block. Communities are scrambling to secure alternate or reserve funding just in case their federal funds fall through, and several tribes have already declared states of emergency due to the funding and service shortfalls. And it's not the first time. In 2018, we learned just how devastating a government shutdown is for Native communities. A few examples, general assistance payments for food, clothing, shelter, and utility needs of low-income Native individuals and families were suspended. Funding for foster care and long-term care for children and elders, suspended. Funds for tribal operations, suspended. During that shutdown, the president of the National Congress of American Indians Jefferson Keel warned us that, quote, Indian country cannot afford and America should not stand for another one. But here we are again.

Sign up for free to see the full transcript

Accounts help us prevent bots from abusing our site. Accounts are free and will allow you to access the full transcript.