Tribally-owned businesses are at a disadvantage under current regulations, Walsh commits to removing unnecessary hurdle.

(US SENATE)—Senator John Walsh demanded the repeal of a provision of the National Defense Authorization Act that puts tribally-owned businesses at a disadvantage.

Walsh signed a letter to the Senate Appropriations Committee requesting the repeal of a provision that negatively impacts tribal businesses. Montana Senator Jon Tester also signed the letter. In 2010, Congress included section 811 in the National Defense Authorization Act that requires a separate justification and approval be provided to tribal small business owners when a contract is awarded to any contractor in excess of $20 million. Since December 2012, there has been a 60 percent decline in these contracts to tribal businesses.

“This regulation is a barrier to doing business with tribally-owned businesses that provide essential services and support good-paying jobs,” Walsh said. “We’re working to cut costly out-of-control overseas service contracts so that we can make smart investments that promote businesses here at home."

Tribes have stated that the number of available contracts has continued to decline since the National Defense Authorization installed the $20 million cap.

Last week, Walsh announced the CUTS Act to reduce the national debt and eliminate waste in the Defense Department by reducing service contracts back to pre-Iraq War levels. Taxpayers have spent more than $2 trillion on service contracts since 2002, driven by an increase in overseas contracts.