Alaska Native regional corporations are receiving a decreasing amount of their revenue from a government contracting program that gives preferential treatment to disadvantaged businesses.
A report from the Alaska Native Claims Settlement Act Regional Association shows that total revenue earned through the 8(a) contracting program by the 12 corporations was $2.4 billion in 2014, down from $3.6 billion in 2010.
The Alaska Dispatch News reports that obtaining contracts through the 8(a) program has become more difficult and costly due to several factors, including budget cuts and reform legislation.
The Small Business Administration program allows businesses owned by socially or economically disadvantaged individuals to have a better chance at winning federal government contracts.
Federal legislation in 2010 reduced the value and number of contracts awarded to Alaska Native and other tribal entities.
