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Dear USET/USET SPF Family,
Yesterday, the Indian Health Service (IHS) announced
a Final Rule on revised regulations for implementation of the Buy Indian Act. This Final Rule will provide IHS with the authority to set-aside procurement contracts for Indian-owned and controlled businesses and supplements the Federal Acquisition Regulations (FAR) and the Department of Health and Human Services Acquisition Regulations (HHSAR).
The Final Rule becomes effective on March 14, 2022 and will provide the following—
- Alleviate unnecessary regulatory burdens on Indian Economic Enterprises;
- Expand applications of the Buy Indian Act to all construction activities, which include the planning, design, and construction of health care facilities, personnel quarters, and water supply and waste disposal facilities;
- Better adherence to the statutory language of the Buy Indian Act;
- Strengthen oversight of the Buy Indian Act to reduce potential for fraud and abuse; and
- Clarify the preference for Indian Economic Enterprises.
For more information on the IHS Buy Indian Act Final Rule please view the publication in the Federal Register by clicking here, or view the IHS Buy Indian Act Fact Sheet by clicking here. For questions please contact Santiago Almaraz, IHS Head of Contracting Activity at santiago.almaraz@ihs.gov, or Ken Truesdale, Acting Director, Division of Acquisition Policy at kenneth.truesdale@ihs.gov.
USET SPF submitted comments
to IHS on June 21, 2021 in response to its Notice of Proposed Rulemaking to update its Buy Indian Act regulations. We generally supported IHS’s proposed revisions and updates to its Buy Indian Act regulations, but recommended increased coordination with the Department of the Interior (DOI) as it was in the process of simultaneously updating its Buy Indian Act regulations. In the Final Rule, IHS has confirmed that the updated Buy Indian Act acquisition policies and procedures are consistent with rules proposed and/or adopted by DOI.
Additionally, USET SPF recommended that IHS update internal accountability and communication standards and establish efficient monitoring and compliance protocols to enhance the success of the Buy Indian Act in promoting economic growth for Tribal Nations. We also recommended that IHS Contracting Officers at each IHS Area Office be required to submit quarterly and annual reports to IHS Headquarters on the status of completed solicitations, any deviation determinations, updates on current Buy Indian Act contracts, and information on any pending or planned solicitations. In the Final Rule, IHS stated that it plans to update its internal Indian Health Manual in support of the Buy Indian Act to provide for specific processes and details on training, reporting, and compliance. IHS also stated that it will require each IHS Area Office to report quarterly on all deviations and challenges.
For more information, please contact Brian Howard, USET SPF Senior Policy Analyst, at bhoward@usetinc.org.
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