Nygren vetoes parts of 2025 budget, citing unfair cuts to Executive Branch

By Donovan Quintero
Navajo Times

WINDOW ROCK – The Navajo Nation has approved its budget for fiscal 2025, but disputes over funding led President Buu Nygren to issue a series of line-item vetoes. The tribal president expressed frustration that while the president’s office faced significant funding cuts, the Legislative Branch retained a large operating budget.

The total budget for fiscal 2025 is $511,994,589, divided among the three branches of government, statutory set-asides, fixed costs, and specific programs. For the first six months of the fiscal year, the tribal government operated under a continuing resolution that expires at the end of March.

The comprehensive budget was approved since the continuing resolution was set to expire at the end of this month.

On Sept. 16, 2024, the Council passed the continuing resolution, CS-39-24, to prevent government shutdowns and layoffs by extending funding from Oct. 1, 2024, through March 31, 2025. However, Nygren vetoed parts of the continuing resolution later that month, arguing that it lacked a straightforward funding approach.

In a September letter to Speaker Crystalyne Curley, Nygren criticized the Council’s decision to fully fund some programs while limiting others to six months of funding. He stated that this approach created financial uncertainty for departments and made long-term planning difficult. Additionally, he objected to the Council’s use of Personnel Lapse Funds and Permanent Trust Fund Income to balance the budget without a full debate on their allocation.

Fifty percent of fiscal budget

The continuing resolution provided most government programs with 50 percent of their fiscal 2024 budget while fully funding essential services such as higher education scholarships, veterans’ services, and fixed-cost programs. The Executive Branch received $196.7 million, and the Legislative and Judicial branches were also funded at 50 percent of their prior year’s levels.

Nygren’s vetoes focused on removing over $2.7 million in legislative expenses, including travel, consulting, attorney fees, and media costs, from the continuing resolution. He argued that passing an entire budget should be the priority rather than funding unnecessary expenditures. His vetoes eliminated travel budgets for the Council, its committees, and Legislative staff and discretionary funds for consulting services.

In September, the Council responded, questioning whether Nygren exceeded his line-item veto authority by eliminating funding for legislative attorneys, legislative district assistants, and staff support.

A referendum passed in 2009 granted the tribal president a line-item veto power that cannot be overridden.

Contradicting campaign promises

Curley stated in a Council press release that his actions contradicted his campaign promises to collaborate with the Council. The press release further noted that Nygren’s vetoes removed nearly $1 million allocated for attorney positions and legal services and $200,000 for LDAs who work directly with communities to address local concerns.

Nygren defended his vetoes, arguing that the continuing resolution was not a short-term budget since it fully funded some programs while limiting others to six months. He also took issue with the Council’s use of lapse funds and trust income without broader discussion.

The dispute escalated when, on March 8, Nygren issued line-item vetoes after the Council approved the comprehensive budget for the remainder of the fiscal year. In the final fiscal 2025 Comprehensive Budget, the Executive Branch received $464,875,886, the Legislative Branch was allocated $21,101,742, and the Judicial Branch was assigned $18,896,924. Fixed costs, which cover essential expenses such as utilities, telecommunications, and insurance, totaled $36,545,252.

Removing funding from Legislative Branch

In his March 8 vetoes, Nygren removed funding from the Legislative Branch, citing concerns that while the Council reduced the president’s budget, it maintained substantial discretionary funds for itself. His original request for his office was $6.9 million, but after cuts, his office was left with $4.9 million, of which $3.7 million was designated for personnel costs. After necessary adjustments, Nygren stated that OPVP would have only $236,111 remaining for operational expenses, which he called unreasonably low.

By comparison, Nygren pointed out that the Legislative Branch retained over $6 million in operational funds, and nine programs within the branch collectively had over $3 million for operations. Before his vetoes, central allocations included $3.35 million for the Navajo Nation Council, $4.29 million for the speaker’s office, and $2.93 million for the legislative counsel’s office.

Specific allocations

Mandatory statutory programs also received specific allocations, including $29,095,000 for the Permanent Fund, $4,849,000 for the Land Acquisition Trust Fund, and $9,698,000 for the Veterans Trust Fund. Higher education funding remained a priority, with $12.4 million allocated to the Diné Higher Education Grant Fund. The Capital Outlay Match Fund and the Water Rights Claims Fund each received $2 million.

To counterbalance the funding cuts imposed on his office, Nygren used his line-item veto power to remove discretionary funds from the Legislative Branch, including contractual services for the speaker’s and the legislative counsel’s offices. He stressed that the Legislative Branch still had over $5 million in operating funds, including over $1 million for travel expenses, $500,000 for supplies, and $700,000 for unique transactions.

Despite the disputes, Nygren said he is open to negotiations. He proposed reinstating $2 million in legislative funds, which he vetoed if an equal amount is restored to his office. He maintained that the budget should reflect a balanced distribution of resources to ensure the government operates effectively for the Navajo people.

The Council has yet to respond to Nygren’s latest line-item vetoes publicly.

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