Economic Development Models in Indian Country

Social Investment Enterprises

Community-based enterprises - Buffalo As Relatives

- Honor the Earth

What is an economic development model?

• The way that the Tribe, or tribal members within the community earn income or develop physical community projects

• Includes individually owned business, tribally owned business and enterprises

• Creation of an economic base to sustain community needs beyond the federal government

The Western Economic Development Model

• Individual entrepreneur, company or tribal business targets an area with goal of earning maximum profits

• Creates a plan for the new enterprise, locates capital for the start-up or new venture

• Business earns gross income, makes payments to lender, and hopes to generate enough income to stay in business until profits can sustain the business

Problems with the Western Model in Indian Country

• Decisions to start or expand business are made according to profit motive, not necessarily on what the community needs

• Reservation communities lack adequate capital or collateral for capital loans

• External capital lenders reap the profits and leave when they choose to

• Tribal members often lack sufficient income to support tribal enterprises

Sustainable Models of Economic Development for Tribal Nations

• Social Investment enterprises• Community-based enterprises

- Buffalo As Relatives- Honor the Earth

Social Enterprises

• Business decisions are based upon increasing community benefit, not merely on profit maximization

• Can require more labor through “sweat equity”, decreasing the need for large capital investment

• Profits stay in the community and are shared by many

BUFFALO AS RELATIVES

• Economic Development using a Relationship-Based and Sustainable Model

RELATIONSHIP/KINSHIP • Relating to Buffalo Nation as relatives• Relationship between the Buffalo Nation and

the environment; buffalo wrap their tongue around the grass/plants and break it off thereby preserving the roots and enabling the plants to grow again (cattle tear the roots out)

• Family and extended family model that ensures social order among Buffalo

Buffalo Economy • Buffalo were source of nourishment, both

nutritionally and spiritually, for many indigenous nations.

• Buffalo were nearly wiped out• Many Indigenous communities are returning

to restoring buffalo herds as a source of food, spiritual sustenance and economic development.

• Buffalo roam and don’t overgraze one area• Preserves the natural habitat, more

economical

Village Earth and the Lakota Buffalo Caretakers Cooperative

• Partnership to develop a market and supply chain involving buffalo producers on the Pine Ridge Indian Reservation

• Respecting buffalo social structure as “family” and “extended family”; e.g. not taking the calves from their mothers at an early age to fatten them up using grain.

• Not using feedlot but raising full time in a pasture, which creates sustainable process

FOR MORE INFORMATION

http://www.lakotabuffalocaretakers.orghttp://www.villageearth.org/pages/Projects/PineRidge/index.php

/

Honor The EarthHonor The Earth

Sustainable Tribal EconomiesResorting Energy & Food Sovereignty

InNative America

Honor The EarthHonor The EarthOrganization History Organization History

Honor the Earth is a Native-led organizationestablished by Winona La Duke & Indigo

Girls, Amy Ray and Emily Saliers in 1993 to address

two primary needs:

• Break the geographical & political isolation of Native CommunitiesBreak the geographical & political isolation of Native Communities

• Increase financial resources for organizing & change Increase financial resources for organizing & change

Honor The EarthHonor The Earth

Mission & VisionMission & VisionWe believe in a sustainable world that is predicated on transforming economic, social, and political

relationships that have been based on systems of conquests towards

systems based on just relationships with each other and the

natural world.We are committed to restoring a paradigm that

recognizes our collective humanity and joint dependence on the

Earth

Honor The EarthHonor The Earth

Honor the Earth - Building Resilience Honor the Earth - Building Resilience WorkWork

The initiative focuses on two areas of work to support

Native communities' capacity for relocalizing Native

energy & food economies through:• Food Sovereignty Projects• Energy Sovereignty ProjectsWhich can result in Sustainable Tribal

Economies

Honor The EarthHonor The Earth

The Basics of a Sustainable The Basics of a Sustainable CommunityCommunity

An economy is the creation and distribution of wealth a

community. Wealth can be in the form of wampum,buffalo, corn, sheep, energy, or other items such as

cash

Cash is not essential in an economy, yet Native communities have become increasingly cash

dependent

Honor The EarthHonor The Earth

Breaking the Cycle of DependencyBreaking the Cycle of Dependency

The structure of dependant economics puts Native communities at risk of constant destabilization and

often at the mercy of outside forces..

To become self sustaining and create a new economy in

Native communities – we have to break the cycle of

dependency.

Honor The EarthHonor The Earth

Breaking the Cycle of Dependency Breaking the Cycle of Dependency

In a world where tribes have been pushed to create cash driven

economies, there is another more resilient way to live and it begins

with valuing who we are and reclaiming our own definition of wealth.

Restoring a local economy rooted in Native knowledge is essential to

revitalizing the health and sustainability of Native communities.

Honor The EarthHonor The EarthCreating New Tribal EconomiesCreating New Tribal Economies

Native communities can stabilize their tribal economies through

localization. By developing their own energy and food sources, tribes

can create vibrant and resilient tribal economies that will ensure the

survival in the face of economic and environmental challenges in the

future.

Honor The EarthHonor The EarthSolutions for Building Sustainable Solutions for Building Sustainable

TribalTribalEconomies:Economies:• Solar EnergySolar Energy• Wind EnergyWind Energy• Micro HydropowerMicro Hydropower• Sustainable BioMass & BioFuelsSustainable BioMass & BioFuels• Restoring Traditional FoodsRestoring Traditional Foods

For More Information: For More Information: www.honortheearth.org

Sustainable Tribal Economies – A Guide toSustainable Tribal Economies – A Guide to

Restoring Energy and Food Sovereignty in Native Restoring Energy and Food Sovereignty in Native America - Honor the Earth PublicationAmerica - Honor the Earth Publication

Honor The EarthHonor The Earth““We are the Keepers of this earth. We are the Keepers of this earth.

Those Those are divinely mandated instructions are divinely mandated instructions

to us.to us.We are at an incredible challenge at We are at an incredible challenge at

this this part of our journey. What a blessing part of our journey. What a blessing

and and what a responsibility.” what a responsibility.” Dr. Henrietta Mann Dr. Henrietta Mann

Nov. 2009Nov. 2009