“Successful Model in Business Development”

1. Division of Indian Affairs Presents “Successful Model in Business Development” Information Series

2. The Division Created in 1953 when the Utah State Legislature adopted “Indian Affairs Act”, and the first director was hired in 1956.

3. Our primary role is to promote positive intergovernmental relations with and between all: Primary Role • Utah Indian Tribes • Office of Governor • Federal and • State agencies • Local entities.

4. Primary Service Our primary service is • information and • referral as it pertains to assisting Utah Indian Tribes.

5. Mission To assist Utah Indian Tribes and Urban Indian Communities to seek alternatives in solving problems and to strengthen their way of life socially and economically.

6. Failure In the past, attempts have been made to help Indian People, but those attempts have been based upon prescribed methods of helping white Americans. Those methods don’t work.

7. Utah American Indian Reservation Statistics • Current population of Utah American Indians living below the federal poverty guidelines: 57.4% • Average Per Capita Income: $6,738 • Currently 46.4% of the individuals living on reservations do not have even a high school diploma. • Only 4.5% of Utah Indians on reservations get post high school diplomas. Statistics extrapolated from the Dixie, Fishlake & Manti-LaSal National Forests Forest Plan Revision Social and Economic Assessment

8. UDIA’s Philosophy American Indian people must begin to solve American Indian problems.

9. Self Determination is the Key Indian people must begin the healing process, learn coping skills necessary to overcome systemic failures, acquire management skills and learn to become competitive in business. Take charge!

10. The cart before the horse In the past, tribal governing bodies were entertaining complex business development opportunities prior to mastering governance and establishing stable governments. When tribes failed to follow-through with plans, it contributed to further failures.

11. This failure became cyclical Failure to address educational deficiencies and chronic social problems contributed to weak governments which lead to failed businesses

12. Cycle of Defeat Social Dysfunction: economic plight, criminal behavior, substance abuse, maladministration Highly complex governmental and corporate business models launched without allowing for Tribe self-determination Mismanagement, Delinquency, Negligence, Exploitation

13. UDIA believes it is critical to break the cycle of failure This requires self-examination and acknowledgement of the seriousness of: 1) educational deficiencies 2) chronic social problems 3) cultural differences that complicate all other circumstances.

14. Cultural Differences Cowboys • Patriarchal • Scientific • Linear • Competitive • Ownership of land • Control of nature • Analytical • Hierarchy Indians • Matriarchal • Spiritual • Holistic • Cooperative • Land held in common • Harmony with nature • Creative • Egalitarian

15. Unless cultural differences are acknowledged… A pattern of confusion and blaming will continue to dominate discussions about solutions to these problems

16. We must learn to crawl before we can walk • Start at the bottom with education first • Then work our way to the top • Improve our leadership potential • Improve our management of government programs • Collaborate with other tribes

17. Pyramid of Success Business Development QualityManagement & Governance Leadership & Community Development EDUCATION

18. UDIA has learned of two new significant developments: The Harvard Project on American Indian Economic Development The Choctaw Model of Success

19. The Harvard Project on American Indian Economic Development • Study covering the change between 1990-2000 in the economic development of Indians on reservations • Although substantial gaps remain between the Native population and the rest of the U.S., rapid economic development is taking place among gaming and non-gaming Tribes alike.

20. The UDIA Solution – what we have learned from the Harvard Project: • Tribes must master governance principles • Tribes must have stable governments • Tribes must be aware of cultural differences • Tribes must learn to develop long range plans that lead to sound business execution

21. What UDIA has learned: • Overcoming problems in education will result in a well trained work force • A trained work force will lead to improved managerial leadership • Better management will lead to better planning and marketing • Tribes should develop commercial codes to encourage lending on the reservation lands

22. 1969 Average schooling 6th grade level No education offered after 10th grade and no kindergarten 70% without basic housing needs covered No running water or indoor plumbing, homelessness high 80% unemployment rate – those employed are sharecroppers Alcoholism, teen pregnancy, abuse prevalent Choctaw Model of Success

23. The Groundwork 1969-1985 • Put in their own superintendent, restructured education, and standardized curriculum • Trained Indian teachers from preschool-secondary levels • Opened adult education program • Taught classes in Family life, home management, thrift and economy, agricultural science, preservation of wildlife and natural resources • Opened Youth Rehabilitation Center

24. Business Development 1980-current • Planned 30 acre industrial park • Established Chahta Enterprise as supplier for Packard Electric • American Greetings opened a plant • Choctaw Manufacturing opened • Printing/direct mail/telemarketing firm • American Plastics • Silver Star Casino

25. Today • 2nd largest employer in State of Mississippi • 12,000 jobs; 172.6 million payroll taxes • 5.8 mil property tax • Prestigious Hammer award for outstanding education reform • 85% speak Choctaw as their primary language, English second • Bok Chitto Elementary selected to be a world finalist for International schools Cyberfair

26. Does an Education Crisis Exist in Utah? Indian student dropout rates in rural areas range from 60-80% statewide. The current state of education for Indian children is appalling. They are consistently at the bottom of every standardized test given to Utah’s children.

27. If so, what do we do about it? • First of all, acknowledge that a severe educational gap does exist. • Then take action to institute non-traditional approaches to counteract the failure. • Brain Gym • Brain Train • Auditory Discrimination Endepth • Small student/teacher ratio • Games • Key Boarding

28. Phase I – Governance Phase II - Business • Leadership training • Policies and procedures • Property and supplies management • Indirect costs management • Single audit act requirements • Personnel training • Access to affordable housing, jobs, and healthcare • Long range planning • Feasibility studies • Business plans • Business partnerships • Financing plans • Investment planning • Investment

29. Business Technical and professional assistance to tribes in the following areas: • marketing analysis • feasibility plans • business plans • trouble-shooting business failure • long range economic development planning • financing information (federal, state, and private sources), and affordable housing.

30. Partners • Utah Tribal Leaders • Utah Tribal Education Directors • Westminster College • -School of Business • Rocky Mountain American Indian Economic and Education Foundation, Inc. • Jane Goodall’s Roots and Shoots project • American Express • Mental Health Asso. in Utah • National Indian Justice Center, Santa Rosa, CA • Utah Division of Indian Affairs • Utah American Indian Housing Council • University of Utah • School of Business

31. Written by Forrest S. Cuch Editing and Graphics by Rebecca Nelson