Guest Column: Vote ‘no’ in Oct. 24 referendum on Transportation Stimulus Plan

By Peterson Zah

Preserving the Navajo Nation’s Permanent Trust Fund is critical to securing the future of the Navajo people.

For this reason, I urge you to vote “no” in the Oct. 24 referendum on the Transportation Stimulus Plan.

The Navajo Nation received $217 million 31 years ago in the historic Kerr-McGee v. Navajo Nation decision in the U.S. Supreme Court. This victory for our power to tax served as the funding source for an investment of $26 million in the first year of the Permanent Trust Fund.

We created other trust funds to serve chapter governments, provide college scholarships and vocational education, for the handicapped, senior citizens, for Navajo Academy/Preparatory School, land acquisition and for our veterans.

When the 1986 Navajo Nation Council approved the plan for the Permanent Trust Fund, they did so because they wanted to establish a source of income for future generations and to replace the revenue from depleting natural resources such as coal, timber, oil and gas.

The Permanent Trust Fund, along with other similar funds, has now grown to well over $3 billion. The interest it earned last year is over $65 million.

This amount is added to the tribe’s budgeting process or is designated for special projects with a five-year plan pursuant to the enabling legislation.

In addition to the trust fund, the 15th Navajo Nation Council mandated that 12 percent of all revenue will go into the fund to help it grow. We restricted any spending of the fund’s principal for 20 years and only after a two-thirds voted by the Council and if two-thirds of the voters approve.

In October 2002, the Council created the Navajo Nation Permanent Trust Fund Working Group, appointing citizens from the communities, to develop a spending plan. The work group held public hearings on and off the reservation. The work group, of which I was chosen to be chairman, submitted four recommendations – instead of a spending plan – to the Council in the fall of 2003.

The recommendations are: 1. Develop a vision and strategic plan for the nation as a whole to provide guidance; 2. Reinvest all fund income; 3. Resist further legislative diversions of the fund income and other provisions that increase its vulnerability; and, 4., Establish a Navajo Nation Endowment Committee to determine future spending of the fund’s income (interest).

During all these years, a small group of volunteers have worked to safeguard the fund and allow it to reach its present high of over $3 billion.

Last year, the 23rd Council approved a five-year plan to spend $150 million for water infrastructure and economic development and agricultural projects.

But there is always pressure for the Council to dip into the principal of the fund – especially during an election year. The delegates always want to spend, spend, spend and they want more, more, more.

In September 2014, the nation received a large settlement of $554 million for the federal government’s mismanagement of our trust assets. On Dec. 31, 2014, the Council established the Sihasin Fund. After various costs were subtracted from the settlement amount, $409 million remained and public hearings were held on how best to use this money.

These spending proposals are troubling and I urge restraint. We are facing large, important issues and problems and we need to deal with these. For example, in the next few years water will become a big issue for everyone, not just the Navajos. California has mandatory water usage restrictions. In Nevada, Lake Mead is at an all-time low. All eyes are looking at our water rights. We must be ready when that day comes.

Another critical area is our youth. A lot of social issues going on right now are impacting our young people. We need well thought out and effective programs to help them.

The same concerns apply to every segment of our population, to every resource we own, to our status as a nation, and to our future generations to come.

I am somewhat surprised that we have many friends and supporters who agree with us, and we will continue to advocate for the protection of the Permanent Trust Fund. We will fight any attempt at improper spending and will work for the disclosure of all relevant information to the people so that they can make an informed decision.

You, the people, need to remind our leaders that these reserves and trust funds are set aside for our children, grandchildren, their children and the future generations.

In 1986, we planted a seed and its growth is beautiful to see. The vision of your leaders back then is coming to fruition. We must let it continue to grow to serve the long-term needs of the Navajo people.

Once again, I urge you to vote “no” in the Oct. 24 referendum.

Peterson Zah is former chairman of the Navajo Tribal Council and former president of the Navajo Nation. For many years, he was director of DNA-People’s Legal Services. He serves as a special assistant to President Russell Begaye.

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