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Judge blocks relief funds for ANCs for nowSenators defend ANCsA federal judge last week issued an emergency order upholding tribal governments’ rights to receive $8 billion in coronavirus relief funds approved by Congress and denying access to those funds to for-profit Alaska Native Corporations. Judge Amit Mehta, of the U.S. District Court for the District of Columbia, agreed with the tribal governments that ANCs are not eligible under the definition used in the CARES Act. He issued a preliminary injunction to temporarily prevent any of the funds from going to the ANCs. Defending the ANCs, Sens. Lisa Murkowski and Dan Sullivan, and Rep. Don Young, all R-AK, say the relief funds will go only to COVID-19 relief and not to add to corporate profits. “ANCs are responding to the crisis alongside tribes. ANCs are backfilling funding for tribal social service programs, helping with Native elder meal delivery and providing burial assistance,” they wrote in a recent column. They also cited several other efforts by ANCs, including help with shipping and groceries and providing temporary housing and emergency supply kits. However, Judge Mehta wrote that no one presented evidence in court of ANCs providing such services. The dispute is not over. Treasury Dept. officials wrote to the court on May 1 stating they had “not yet arrived at a determination” of how to distribute the tribal funds, the New York Times wrote. Tribal governments, which brought the initial lawsuit, are suing the Treasury Dept. again to force immediate release of the funds to fight the pandemic. While Judge Mehta blocked distributions to the ANCs, the judge did not order that the entire $8 billion go to the federally-recognized tribal governments. The judge apparently left the door open for some money to be awarded--but not distributed--to ANCs until the legal dispute is concluded. The ANCs are for-profit corporations with shareholders, primarily tribal members, set up under Alaska law in the 1970s. They are very active in federal contracting, with about $10 billion in annual awards. Tribal governments had sought the $8 billion funding to help them deliver health and welfare services to tribal members during the pandemic. The tribes said they would lose a substantial portion of that aid to ANCs if the ANCs were deemed eligible for it.
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