We recently provided an update regarding ongoing activities involving the Small Business Administration (SBA) and the SBA’s 8(a) Program, including one on a hearing held by Senate Committee on Small Business and Entrepreneurship on December 10, 2025.

On February 10, 2026, the Senate Committee on Indian Affairs conducted a separate oversight hearing entitled “Economic Self-Determination in Action: Examining the Small Business Administration Native 8(a) Program.” The Indian Affairs Committee is chaired by Senator Lisa Murkowski (AK) and vice-chaired by Senator Brian Schatz (HI). Several additional senators participated, including Senators Markwayne Mullin (OK), Steve Daines (MT), and Catherine Cortez Masto (NV).

Four witnesses also testified: the Honorable Chuck Hoskin Jr., Principal Chief – Cherokee Nation; Ms. Katherine Carlton, President – Chugach Alaska Corporation and Policy Chair of the Native American Contractor’s Association (NACA); Ms. Polly Watson, Vice President of Operations – Bristol Bay Native Corporation (BBNC); and Ms. Cariann Ah Loo, President – Native Hawaiian Organizations Association (NHOA). Senator Sullivan (AK) also submitted a statement for the record.

The Committee focused on critical balance that the SBA 8(a) Program strikes between providing crucial support to the federal government alongside economic development in Native communities. Key takeaways included a program overview and successes, highlighting community economic benefits, and oversight considerations:

• • Program Success and Unique Origin: Senator Murkowski cited the 8(a) Program as a success story. She underscored: (a) that the United States has unique obligations to Indian Tribes and Native people that are grounded in the Constitution, treaties, statutes, court decisions, and Executive Orders; (b) Native entity eligibility in the 8(a) Program arose from Congress’s exercise of authority over Indian Affairs; and (c) Alaska has an even more unique background as it relates to Alaska Native Corporation (ANCs) eligibility in the 8(a) Program under the Alaska Native Claims Settlement Act (ANCSA). Senator Murkowski referenced a letter from SBA Administrator Loeffler confirming that the Native SBA 8(a) Program is not DEI, which was entered into the record.
  • Community Economic Self-Determination: Committee members and witness testimony highlighted support for Native economies and self-determination through earned revenue community reinvestments in education, workforce development and training, cultural preservation, economic stability, scholarships, internships, wildlife recovery, law enforcement, healthcare, housing, and overall community support. Additional emphasis was given to the breadth of essential federal support by contractors, as well as the unique needs and challenges for rural communities.
  • Benefits to the Federal Government: Senator Cortez Masto focused her question on benefits to the federal government by delivering contracting awards through the program. The response addressed broad-based capacity and the excellent and nimble delivery of services—frontline support alongside support for families.
  • Oversight and Compliance: There was a general consensus regard the importance of oversight, compliance, and accountability measures. On this topic, Vice Chair Schatz stressed the importance of data and data collection. Senator Murkowski separately solicited testimony regarding sole-source / set aside contracts in terms of bidding and performance processes, but which emphasized the still rigorous submission requirements including detailed technical and price proposals, line-by-line price negotiations, as well as the ultimate role of the contracting officer in making an award based on qualifications, price reasonableness, and the government’s best interests.

Additional testimony addressed strict performance standards and enforcement mechanisms with a range of governmental options for post-award performance issues, including the issuance of cure or show cause notices, withheld payments, negative performance evaluations, contract termination/default, and suspension or debarment. Finally, testimony addressed the role of the contracting officer and limits on subcontracting.

A common thread throughout the hearing was the need for a more robust understanding of the unique legal and historical aspects of the Native 8(a) program, as well as the importance of ongoing education on the benefits to Native communities.

Given the current environment, we will continue to follow developments regarding the SBA and provide appropriate updates.

This article summarizes aspects of the law and opinions that are solely those of the authors. This article does not constitute legal advice. For legal advice regarding your situation, you should contact an attorney.