IHS Issues Final Rules Implementing the Buy Indian Act

On January 13, 2022 the Secretary of the Department of Health and Human Services (HHS) issued its Final Rule governing the implementation of the Buy Indian Act (Act). This rule clarifies the preference for Indian-owned and controlled businesses and removes barriers by alleviating unnecessary regulatory burdens. If you’re a frequent visitor to our blogs, you may be thinking, “wait what, didn’t you just blog about this last November?” Actually, the subject of the blog about the Buy Indian Act from November was the proposed rules governing the Buy Indian Act issued by the Department of Interior (DOI) covering procurements of the Bureau of Indian Affairs (BIA). HHS’s Final Rules issued on January 13th  (Final Rule) supplement and amend regulations guiding implementation of the Buy Indian Act for procurements by the Indian Health Service (IHS).

Given the long scattershot implementation of the  Buy Indian Act, how the Act it is applied to different agencies, the multiple notices of proposed changes to the Buy Indian Act, along with the general decentralized structure of procurement regulations, it can all be a bit confusing. A bit of background may help to put it all in context.

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Department of the Interior Proposes Rules to Remove Barriers in Buy Indian Act Contracting Opportunities

The Department of the Interior (DOI) proposes to revise regulations implementing the Buy Indian Act, which provides the Department with authority to set aside procurement contracts for Indian-owned and controlled businesses. The proposed rule is to revise current procurement regulations that have created barriers to Indian Economic Enterprises (IEEs) from full participation in the DOI’s procurement process. The proposed rule is here.

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Buy Indian Act: New Policy Memo Aims To Increase Set-Asides

Buy Indian Act set-asides might increase following the Department of the Interior’s recent release of a Buy Indian Act National Policy Memorandum.

In the January 2016 Memorandum, the DOI establishes a policy of maximizing the use of the Buy Indian Act and increasing the number of Buy Indian Act set-asides.  The Buy Indian Act Memorandum comes in the wake of a GAO Report issued last summer, which criticized the Bureau of Indian Affairs and the Indian Health Service for their implementation of the Buy Indian Act.

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