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CNO Council Reserves Money for Scholarships

Cherokee Nation of Oklahoma News
the People's Voice ~ Friday, February 11, 2000

Copyright © 2000 CNO
All Rights Reserved


TAHLEQUAH - Two legislative acts approved by the Cherokee Nation of Oklahoma (CNO) Councilors during their regular meeting on February 14, will reserve additional money for college scholarships.

The $1,036,831 added from the act, entitled “Motor Fuel Tax Education Scholarship Appropriation Act,” will be spent for non-PELL Scholarships and placed in a separate interest-bearing account. The added money brings the total budget reserved for scholarships to $2,820,003.

With the money now available, each Cherokee student granted a scholarship will receive $8,000 for four years of college. Approximately 500-550 students receive financial assistance each academic year. More and more students apply each year since the blood quantum requirement for grants is no longer restricted so funding is limited.

Applicants must have be enrolled members of the CNO or the United Keetoowah Band of Cherokee Indians and attending, or planning to attend, a regionally-accredited post-secondary institution. Applicants must also apply for financial aid at their selected institution, demonstrate financial need and accept any aid offered by the institution. The deadline for submission of an application is April 1 of each year.

The second education act, entitled the “Motor Fuel Tax Education Trust Appropriation Act,” set aside an additional $2 million for scholarships. The Cherokee Nation is authorized by contract to expend Motor Fuel Tax revenue for highway and bridge construction, health, corrections, law enforcement and education.

A trust fund will be established with the $2 million, and money will not be spent from it until July 1, 2017, when the tribe’s Motor Fuel Tax compact with the state expires. Chairman of the council’s executive and finance committee, Harold DeMoss, said in 17 years the $2 million invested plus the 25 percent taken from each quarterly Motor Fuel Tax check from the state should provide the Cherokee Nation with approximately $60 million in reserve for scholarships.

DeMoss said he hopes future councils will only use the interest from the money after it matures and not spend this money before it does. He said after 17 years the tribe should reap $3 million a year in interest for scholarships.

“We are always talking about doing this but never do it,” DeMoss said. “I’m very proud to be a part of a council that is doing this.”

The council also confirmed Principal Chief Chad Smith’s nominations for various boards with one exception. Jim Carson, William Glass and Wathene Young were unanimously approved to serve on the Cherokee Nation Industries Board. Janie Simms Hipp and Darrell Matlock will serve on the Employee Appeals Board. Bob McSpadden will serve on the Cherokee Nation Enterprises Board, Jim McGee was confirmed to serve on the Cherokee Nation Gaming Board and Drew Wilcoxen will serve on the Housing Authority of the Cherokee Nation Board. Smith’s nominee for the Judicial Appeals Tribunal, Stacy Leeds, was withdrawn.

During Chief Smith’s state of the nation address, he asked for report on Census 2000 activities for the tribe. Laura Harjo, Cherokee Nation Census 2000 liaison, explained the importance of participating in the upcoming census and asked the council to encourage their constituents to fill out their census forms to prevent an under-count of tribal members. The numbers compiled by the census are used as a guide by the federal government for allocating money.

Constitution Commissioner Ralph Keen Jr. presented a report on the status of the revised Cherokee Constitution to the council. He said the Bureau of Indian Affairs has not yet moved to approve the constitution, which was revised during a constitution convention in Tahlequah last spring.

Officials from the constitution commission, members of the tribal council and Chief Smith attended a meeting with BIA director Kevin Gover two months ago to try to gain approval of the revised constitution, Keen said. The Cherokee Nation has not heard from the BIA since the meeting, he said.

Keen said, after consulting with Chief Smith and his legal staff, the commission wishes to amend the 1976 Cherokee Constitution to remove the language that requires the BIA to approve amendments to the constitution. After the amendment is made, Cherokee citizens would have the opportunity to vote on the amendment.

“We never contemplated the BIA would refuse our document,” Keen said. “In the future we could control our own destiny.”

The council agreed to take up the matter in the near future and place it on their Rules Committee agenda. Keen said two special elections will have to take place, one for the amendment to the 1976 Constitution and one for the amendments made to the constitution last spring.

Cherokee Nation Enterprises representative Mike Watkins reported to the council that CNE had made $1.8 million in its first quarter, which began last October. For January, CNE’s profit was approximately $500,000, he said.

For the first seven months of its fiscal year Cherokee Nation Industries has made $26.4 million in sales, reported CEO Hiram McFarland. This year’s sales have already more than doubled last year’s total sales, which were $10 million, he said. The biggest improvement was in CNI’s telecommunications section, which has already earned $16.2 million compared to $3.2 million in 1999.

Along with telecommunications contracts, CNI has contracts with the military and health industry and has a distributorship, McFarland said.

In new business three resolutions were approved. One supports an application to the Corporation for National Service for a Learn and Serve America School-based Program for a $100,000 grant. This is the ninth year the Cherokee Nation will receive the grant, which is used to help youth develop civic responsibility by providing them with opportunities to serve their community.

A resolution authorizing the purchase and placement of 3 acres of land in trust for a food distribution center in Sallisaw was approved. The cost of the land was $20,000 and is located near the Blue Ribbon Downs racetrack. The third resolution authorized the purchase and placement of approximately 12 acres of land in trust in Muskogee for a clinic.

The council unanimously approved two other legislative acts that amended the tribe’s fiscal year 2000 budget. The first approved amended Legislative Act 20-99 to add $1,958,466, which brought the total budget to $152,583,620. A portion of the added money, $1,224,243, came from Department of Interior carryover money from 1999.

The second act amended legislative act 3-2000 to increase the fiscal year 2000 budget by $3,400,000 for a total of $155,983,000. Added funds represent $800,000 interest income form the Indian Health Service compact for FY 2000 that was designated for a new Cherokee Nation EMS building; $1,100,000 from Motor Fuel Tax money designated for the EMS building; $800,000 from Cherokee Nation Enterprise special dividends; and $700,000 from Motor Fuel Contract funds.

The CNE dividends and Motor Fuels Tax Compact funds will be applied toward the balance of over expenditures in previous budgets.

Money from these two amendments plus the money set aside for the scholarships brought the 2000 budget to a final total of $159,020,451.

The next tribal council meeting is set for March 13.


Related path:

** Official Site of the Cherokee Nation of Oklahoma


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