Brookings Report: Decrease in Federal and Philanthropy Funding in Indian Country Drives Critical Need Gap

Initial analysis published by Brookings and the American Indian College Fund shows sustained, predictable investment needed to build long-term economic sustainability for Native and surrounding communities.

Denver, Colo., Aug. 11, 2026 (GLOBE NEWSWIRE) -- Tribal communities have been historically underfunded in areas such as infrastructure, health, education, clean energy, and economic development, even despite the federal government’s trust and treaty obligations to Indian Country. When the pandemic shined a spotlight on the critical needs Native communities still faced, historic investments from the federal government and philanthropy followed. But today the funding picture in Indian Country is quite different due to federal funding cuts and the inability of philanthropy dollars to fill the gap, according to Underinvestment in Indian Country: How federal and philanthropic funding to Native Americans falls short, and how to fix it, an initial analysis published as a partnership between Brookings and the American Indian College Fund.

The passage of the One Big Beautiful Bill Act (OBBBA) in 2025 and the executive branch’s cancellation of grants and contracts to Tribes and Native-serving organizations as part of its federal spending cuts and agency closures significantly reduced investments in clean energy, food assistance, and health care in Indian Country. Meanwhile, today less than 1% of the nation’s philanthropic investments serve Indian Country. Indian Country receives 88 cents of every $100 in U.S. philanthropic investment. Of this, only 51 cents goes directly to organizations and causes that exclusively service Native people and communities.

In the case of the federal government, these cuts are a violation of its trust and treaty responsibilities. But this is also irresponsible and short-sighted.  Investment in Indian Country benefits Native and non-Native Americans alike; for example, in Native higher education, every dollar invested in Tribal Colleges and Universities (TCUs) returns $1.60 in tax revenue and public sector savings. The report Underinvestment in Indian Country: How federal and philanthropic funding to Native Americans falls short, and how to fix it aims to increase federal and philanthropic investment in Native communities and improve its efficacy through several recommendations, including:

Making greater use of mandatory federal funding. Most Native-serving federal programs currently depend upon annual discretionary appropriations, which make funding vulnerable to political shifts, government shutdowns, inflation erosion, and year-to-year stagnation. By moving more Native funding into mandatory funding, eligible Tribes, citizens, and communities would be more likely to receive the full amount of funding they are entitled to through creating more stable, predictable, and need-responsive investments.

Making federal investment data more accessible. The report maintains that current data on federal spending for Native Americans remains inconsistent, incomplete, and difficult to use. The Native American Funding Crosscut, an annual government-wide report published by the Office of Management and Budget detailing federal funding allocations and proposed federal budget requests for Tribal and other Native programs has improved, but data is still reported differently by agency, with the Crosscut typically published as a PDF. If Congress required OMB to publish the Crosscut annually with program-level detail, standardized agency reporting, and downloadable data in formats such as Excel or CSV, this would help Tribes, Native organizations, policymakers, and funders more easily identify gaps and make better informed investment decisions.

Reform philanthropic approaches to Native funding. The report urges philanthropy to move beyond incidental or one-time grants to make a greater impact with sustained funding by providing long-term, patient capital to make Native communities more sustainable; to support Native-led organizations and Native intermediaries; to offer capacity-building assistance and flexible application processes; to incorporate grassroots Native community perspectives into the grantmaking process; to hire more Native staff to build internal cultural knowledge; to improve and protect data on Native-focused grantmaking; and to leverage peer networks by committing to funding Native causes while advocating for other philanthropies to do the same.

Underinvestment in Indian Country: How federal and philanthropic funding to Native Americans falls short, and how to fix it is the first of a series that will share improved data about federal and philanthropic investment in Native communities. It is intended to serve as a guidebook for federal, state, regional, and philanthropic investors; policymakers, and others to help them build stronger regional economies, improve public services, revitalize Native cultures, and improve Native communities.

The Underinvestment in Indian Country: How federal and philanthropic funding to Native Americans falls short, and how to fix it report was written by Robert Maxim, Glencora Haskins, and Danika Grieser. To read or download a free copy of the report, please visit https://www.brookings.edu/articles/investing-in-indian-country/.

Robert Maxim (Mashpee Wampanoag), leads Brookings Metro’s work on Tribal economies. Maxim’s research has focused on an array of different research and policy issues in Indian Country. On Tribal economies, Maxim has written about the impact of federal investments and federal funding cuts on Tribal communities; the need to reform federal funding for Tribal nations; Native workers' ability to access to remote work; the role of Native American community development financial institutions in Tribal economic development; the exclusion of Native Americans from economic data; and how state and regional policy can improve data about Tribal nations, citizens, and communities. Maxim has also researched and written on Native American education, including policy responses to remedy the lingering impacts of federal Indian boarding schools on Tribal communities, ideas for improving federal higher education data about Native American students, and policy proposals to support Native students and Native American-serving higher educational institutions. His work on identity in Indian Country has explored how federal data misrepresents Native American identity. Within Brookings, he has led efforts to resurface the Institution’s historic engagement in Tribal communities, including the Meriam Report, and to engage with Native-led organizations on enabling future research centering Native American people. Maxim’s research and commentary on Native communities have appeared in numerous national, regional, and Native-led media outlets, including the New York Times, Washington Post, National Public Radio, Marketplace, Time, Federal News Network, Indian Country Today, Native News Online, Native America Calling, and others.

Glencora Haskins—Glencora Haskins is the Senior Research Associate & Applied Research Manager at Brookings Metro, where she researches place-based strategies for inclusive economic development. As part of the Applied Research team, Haskins works with local leaders, regional implementers, and federal officials to translate and codify new insights on regional policy and programmatic solutions that can be scaled nationally. Haskins’s recent work follows the federal government’s new modern industrial strategy, and how targeted regional investments in innovation, talent, and infrastructure can create economic opportunity for more people in more places. She also leads the production of Brookings Metro’s Local Government ARPA Investment Tracker and annual Metro Monitor, which support local and regional leaders in making data-driven decisions based on current and actionable insights about their communities. Haskins earned her Master of Science in Applied Economics from Johns Hopkins University. Prior to her work at Brookings, Haskins used her background in economics to develop and manage analytical models focused on the impact of tourism and arts and cultural institutions in state and local economies across the eastern U.S.

Danika Grieser—Danika Grieser is an incoming J.D. candidate at Stanford Law School and a former intern at the Brookings Institution.

About the American Indian College Fund — The American Indian College Fund has been the nation’s largest charity supporting Native higher education for 37 years. The College Fund believes “Education is the answer” and provided more than $23 million in scholarships and other student support for higher education in 2024-25. Since its founding in 1989 the College Fund has provided more than $391 million in scholarships, programs, community, and tribal college support. The College Fund also supports a variety of programs at the nation’s 34 accredited tribal colleges and universities, which are located on or near Indian reservations, ensuring students have the tools to graduate and succeed in their careers. The College Fund consistently receives top ratings from independent charity evaluators. It earned a four-star rating from Charity Navigator, a Platinum Seal of Transparency from Candid (Guidestar), and the “Best in America Seal of Excellence” from the Independent Charities of America. The College Fund was also named as one of the nation’s top 100 charities to the Better Business Bureau’s Wise Giving Alliance. For more information about the American Indian College Fund, please visit collegefund.org.

About Brookings — Brookings equips decisionmakers with nonpartisan research and policy strategies to create a more prosperous and secure country and world.

Journalists—The American Indian College Fund does not use the acronym AICF. On second reference, please use the College Fund.

Attachments

• Glencora Haskins
• Robert Maxim

Dina Horwedel
American Indian College Fund
303-430-5350
dhorwedel@collegefund.org

Colleen R. Billiot
American Indian College Fund
720-214-2569
cbilliot@collegefund.org