After 50 years, ANCSA has proven remarkably successful

This year marks the 50th anniversary of the Alaska Native Claims Settlement Act. The Act, which settled the land claims of Alaska’s Native people, was passed by the U.S. Congress on Dec. 18, 1971. The land claim, which was based on aboriginal use and occupancy, returned more than 40 million acres of land to Alaska’s Native people, who numbered approximately 80,000 at the time. ANCSA also rendered payment of nearly $1 billion for lands that could not be returned to them because the title had already been granted to other entities or reserved by the federal government for other uses.

The settlement, often heralded as the largest in the long history of U.S.-Native American relationships, has proven to be remarkably successful. When measured from the standpoint of self-determination, the act provided unprecedented opportunities. When it was being negotiated, the U.S. wanted less Native American dependency and Alaska Natives wanted freedom from the often meddling oversight of the Bureau of Indian Affairs. For the administrative structure, both sides agreed on corporations rather than a reservation system. As a result, the aspirations of both were largely accomplished. Alaska Natives can buy and sell assets, make contracts and otherwise manage their lands as they see fit. And the U.S. government can now contract with these entities to carry out its health, education and social obligations to the Native people.

Some Native people were still concerned about the quality of services they would receive. Social services are often provided by a reservation system, and they were worried that the corporations would mainly be concerned with money matters and land management. So besides managing the assets of the settlement, Alaska Natives saw other self-determination opportunities — in the nonprofit areas. Under contract with the federal government, the state of Alaska and various private foundations, these Native nonprofit entities successfully manage their own health, housing, education and social services. Thousands of people are employed and tens of millions of dollars are under Native management.

This brings me to what should, perhaps, be an important point of interest to most Alaskans — and that is the large contributions made by the Native community to the overall economy of our state. This largely ignored economy is often misunderstood and rarely featured in articles discussing the state’s economy.

For nearly 50 years, the 12 regional corporations, more than 180 village corporations, and more than 30 nonprofit entities have contributed billions of dollars to the state’s economy. They employ tens of thousands of people, distribute many millions of dollars in dividends, and spend more millions with the purchase of goods and services. For example, Southcentral Foundation, the nonprofit health corporation for the Cook Inlet region, employs more than 2,400 people and is a partner with its regional counterparts in the management of the Alaska Native Medical Center. And CIRI, the Anchorage-based regional corporation, has — alone, over the past 40 years — distributed a total of nearly $1.25 billion in dividends to its approximately 9,000 shareholders. The regional corporations are also largely responsible for the lion’s share of the development of natural resources, such as timber and minerals, in Alaska. For example, the Red Dog zinc mine that operates in Northwest Alaska is owned by NANA Corporation. Revenues from the mine are shared with the other 11 corporations. Many of these organizations operate nationally, some even internationally, and they all return their earnings to Alaska and their Alaskan shareholders rather than to distant boardrooms elsewhere.

Alaskans are lucky to have these homegrown economic engines thriving in our state, helping to sustain the economy in good times and bad. Thanks to the Native men and women of the Alaska Federation of Natives who, in 1971, fashioned a settlement of such quality and endurance. Ironically, many of those young leaders of the time came out of BIA boarding schools. So this anniversary is certainly cause for celebration, and may such successes continue for the benefit of all Alaskans.

Roy M. Huhndorf is a former president and CEO of Cook Inlet Region, Inc., where he also serves as a member of the Board of Directors. He has also been a director of organizations such as the Alaska Federation of Natives, where he served as co-chair, the Anchorage and Alaska State Chambers of Commerce, United Way of Anchorage and the University of Alaska Board of Regents. Huhndorf currently serves as a director of Southcentral Foundation and the Alaska Native Medical Center Joint Operating Board. He lives in Nikiski.

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