S. 2140 — Haskell Indian Nations University Improvement Act

This section sets forth congressional findings on the history and operations of Haskell Indian Nations University—a tuition-free federal institution within the Bureau of Indian Education that serves over 900 students from approximately 140 Indian tribes—and recent management challenges with its funding, facilities, and student safety, concluding that establishing the university as a federally chartered corporation with an independent board of trustees is desirable to fulfill the federal government's responsibility to provide high-quality education to Indians.

This section states the purposes of the Act: (1) to establish Haskell Indian Nations University as a federally chartered educational institution; (2) to provide the University independence from the Bureau of Indian Education (BIE) to improve its ability to deliver high-quality education to Indian students; (3) to grant the University the tax status of a charitable organization to accept private donations; and (4) to affirm the federal treaty and trust responsibility to Indians.

This section defines terms used in the Act, including (1) appropriate committees of Congress (Committees on Appropriations, Health, Education, Labor, and Pensions, and Indian Affairs of the Senate; and Committees on Appropriations, Education and Workforce, and Natural Resources of the House); (2) Board (Board of Trustees of the University established by section 8(a)); (3) contribution (monetary payment by the University toward an employee's health and retirement plans); (4) Indian Tribe (an Indian or Alaska Native tribe, band, nation, pueblo, village, or community recognized by the Secretary of the Interior pursuant to 25 U.S.C. 5131(a), which requires annual Federal Register publication of the list of federally recognized tribes); (5) Indian Tribes of Kansas (Prairie Band Potawatomi Nation, Kickapoo Tribe of Indians of the Kickapoo Reservation in Kansas, Sac and Fox Nation of Missouri in Kansas and Nebraska, and Iowa Tribe of Kansas and Nebraska); (6) ISDEAA terms (Indian and Tribal organization as defined in 25 U.S.C. 5304); (7) legacy institution (Haskell Indian Nations University as operated by the Bureau of Indian Education before enactment); (8) Secretary (Secretary of the Interior); and (9) University (Haskell Indian Nations University as the federally chartered corporation established by section 5(a), except as provided in section 2).

This section establishes Haskell Indian Nations University—a Bureau of Indian Education institution providing postsecondary education primarily to Native American students—as a federally chartered corporation under the direction and control of the Board, with perpetual succession until dissolved by an Act of Congress and subject to charter amendments by Congress.

This section establishes the primary functions of the University as (1) providing tuition-free scholarly study for Indians and (2) establishing programs that culminate in the awarding of degrees and certificates in accredited fields. The section further requires the Board to establish policies and internal organization for all University subdivisions, administrative entities, and departments; set their specific responsibilities at its discretion; and develop additional departments and programs as necessary.

This section establishes a Board of Trustees for the University composed of 15 voting members—who must be enrolled members of Indian Tribes, widely recognized in education, and representative of diverse expertise (including finance, law, higher education, and Tribal leadership)—appointed by the President with the advice and consent of the Senate, and 1 nonvoting member who is the president of the student body. For initial appointments, the 15 voting members consist of (1) designees of each of the 12 Bureau of Indian Affairs regions, (2) a designee of the Indian Tribes of Kansas, (3) a member of the Haskell Indian Nations University Alumni Association, and (4) an at-large member of an Indian Tribe. Voting members serve 6-year terms, with no more than 3 consecutive terms (except as provided elsewhere), and may continue serving until a successor is appointed. This section requires the Secretary (of the Interior, by context) to establish nomination procedures within 90 days of enactment, including deadlines for Tribal nominations (60 days after procedures established), submission to the President (90 days thereafter), and Presidential appointments (90 days after nominations received); if no nomination from a BIA region, the President appoints a qualified individual from that region who need not be a Tribal member. The President must consult Tribes, publish term expirations 120 days in advance, solicit regional nominations, ensure regional/Tribal representation, and carry out certain requirements through the Board, which provides recommendations on nominees. Initial and successive Board members undergo background checks: initial members via FBI fingerprint checks and Office of Personnel Management investigations facilitated by the Secretary of Education; successive members per Board bylaws equivalent to federal education agency standards, with authority to contract federal services.

This section authorizes the Board, in carrying out the Act, to exercise 10 specified powers, including (1) adopting a corporate seal; (2) making contracts; (3) suing and being sued; (4) obtaining legal representation; (5) using, with approval, services and facilities of federal agencies (with payment credited to the relevant appropriation); (6) using U.S. mails; (7) obtaining experts and consultants under 5 U.S.C. §3109 (i.e., temporary or intermittent services without regard to competitive service or pay limits, subject to statutory authorization); (8) acquiring and operating property and equipment; (9) obtaining insurance or making loss provisions; and (10) other related powers. The section further requires separate accounting for non-federal funds and imposes fiduciary duties (i.e., care, loyalty, good faith, confidentiality, and disclosure) on Board members, with authority for the University to obtain insurance for them.

This section establishes an Executive Board composed of (1) the Chairman of the Board, (2) the Vice Chairman, (3) the Secretary, (4) the Treasurer, and (5) an at-large member elected by the Board from members appointed under section 8(b)(1)(A)(i). The section specifies that vacancies in the at-large position are filled by Board election to complete the term; limits regular meetings to not more than 24 per calendar year, with special meetings called by the Chairman or three members; sets a majority quorum; and authorizes the Executive Board to exercise all Board powers subject to Board approval.

This section establishes the office of President of the University, appointed by the Board as chief executive officer. The section (1) provides for transition by deeming the legacy institution's president on the day before enactment as Interim President until reappointed or replaced, with required Board action to reappoint or appoint a new president within two years of enactment; (2) assigns the president responsibility for University policies and functions and authority over personnel and activities, subject to the Board and its chairman; (3) authorizes the Board to fix the president's compensation, including health and retirement benefits; and (4) allows removal of the president by a vote of 11 of the 15 Board members for inefficiency, neglect of duty, or malfeasance in office.

This section exempts the University from civil service laws (title 5, U.S. Code), except as specified; authorizes the University President, with Board approval, to appoint staff, fix their compensation (including health and retirement benefits), and prescribe duties; and requires the President to establish or modify employment policies and procedures within 180 days of appointment covering positions, compensation, entitlements, conditions, discharge (with notice and grievance procedures), leave, and related matters. The section further (1) allows staff appeals of non-reemployment or discharge decisions to the Board, which may overturn by majority vote; (2) provides for crediting, liquidation, and transfer of leave for employees moving to or from the University; (3) applies these rules to individuals appointed after enactment (with no effect on pre-enactment legacy institution employees' employment or compensation, except termination of their civil service positions on enactment); (4) excludes contractors; (5) deems the University an agency for collective bargaining (ch. 71, title 5, U.S. Code); (6) applies federal workers' compensation (ch. 81, title 5, U.S. Code); and (7) requires background checks for current legacy institution and new University employees per Board-established standards equivalent to those of federal education agencies, with annual certifications due by September 1 submitted to the President, Secretary, and congressional committees.

This section requires the University to make contributions toward health and retirement costs for all employees, including faculty and staff, at levels consistent with federal agency requirements under applicable federal law and amounts federal agencies pay into similar plans. It authorizes the University's Board to offer alternative benefits for recruitment and retention; makes all employees eligible for such benefits subject to the University's compliance with the contribution requirements; directs the University to establish a compliance framework for timely contributions in accordance with federal guidelines; and requires annual audits by the Inspector General of the Department of the Interior.

This section authorizes the University to develop a policy (1) limiting admission to and enrollment in its programs to members of Indian tribes, descendants of a grandparent who is a member of an Indian tribe, or individuals with 1/4 degree of Indian blood as evidenced by a Certificate of Degree of Indian Blood (CDIB) issued by the Bureau of Indian Affairs; and (2) extending preference to members of Indian tribes in University employment and in contracts, fellowships, and grants awarded by the University. This section further directs the University president, in carrying out hiring under section 12(b), to give preference to members of Indian tribes to the maximum extent practicable.

This section establishes the nonprofit and nonpolitical nature of the University by (1) prohibiting it from issuing shares of stock or declaring or paying dividends, (2) barring any part of its income or assets from inuring to the benefit of directors, officers, employees, or other individuals except as salary or reasonable compensation for services, and (3) prohibiting contributions to or support for any political party or candidate for elective public office.

This section exempts the University—including its franchise, capital, reserves, income, and property—from all taxation imposed by the United States, any Indian tribe, or any state or political subdivision thereof. The section further subjects the University to tort liability only to the extent of a federal agency under the Federal Tort Claims Act (chapter 171 of title 28, United States Code), treating the University as a federal agency and its president as the agency head for such purposes.

This section transfers to the University the functions of the legacy institution, along with all personnel, liabilities, contracts, real and personal property, assets, and records determined by the OMB Director to be primarily connected to those functions. Transferred personnel receive no reduction in classification or compensation for one year after the transfer date. This section provides that laws and regulations applicable to the legacy institution continue in effect with respect to the University (if appropriate and consistent with this Act), and all references to the legacy institution or its transferred officers in federal law are deemed to refer to the University. This section assigns to the University responsibility for its obligations incurred after the date of enactment and limits its responsibility for federal program requirements (administrative, regulatory, or statutory) to events occurring on or after enactment, including reports, audits, and other information; the Secretary is responsible for obligations incurred on or before enactment that become payable within two years of enactment. (Thus, the United States may not seek monetary damages or repayment from the University for any pre-enactment actions or omissions.)

This section designates Lawrence, Kansas, as the permanent headquarters location for the University; authorizes the University to establish branches at additional locations, acquire land, or lease land as necessary to fulfill its functions; and requires the Secretary to convey to the University, upon enactment, all U.S. right, title, and interest in property of the legacy institution, including all facilities thereon. Conveyed land and facilities must be used solely to further purposes described in section 3 (which may include demolition) and, except for transfer to the Indian Health Service, may not be sold or otherwise conveyed.

This section requires the University to comply with (1) the American Indian Religious Freedom Act (42 U.S.C. 1996 et seq.), (2) the Archaeological Resources Protection Act of 1979 (16 U.S.C. 470aa et seq.), and (3) division A of subtitle III of title 54, United States Code (i.e., National Historic Preservation Act provisions). It applies all federal criminal laws relating to larceny, embezzlement, or conversion of U.S. funds or property to the University's funds and property. It further specifies that funds received by the University under the Act are not federal money for meeting matching requirements for any federal grant, contract, or cooperative agreement and do not subject the University to laws requiring non-federal matching funds as a condition for federal assistance applications (with no effect on the review, prioritization, or acceptance of such applications).

This section establishes a program enhancement endowment trust fund for Haskell Indian Nations University by authorizing deposits of appropriated amounts into the trust fund at a federally insured institution, matched by (1) an initial $5 million capital contribution from the university, (2) additional university capital contributions matching private funds raised on a dollar-for-dollar basis for every $5 million raised through fundraising or bequests, and (3) any in-kind contributions of non-fully depreciable real or personal property valued per Treasury procedures; permits use of trust fund interest for university operations (e.g., maintenance, administration, personnel, student services); and requires return of the federal capital contribution to the Treasury if university capital or property is misused. The section amends Section 200402(e)(1) of title 54, United States Code, to expressly include Haskell Indian Nations University and the Southwestern Indian Polytechnic Institute as eligible schools under the National Parks and Public Land Legacy Restoration Fund (i.e., making them eligible for deferred maintenance funding allocations). The section further specifies trust fund administration mirroring investment conditions under the Higher Education Act endowment program (20 U.S.C. 1065(c)(2)), including no private inurement, authorization to secure loans for facilities construction or improvement, and safeguards (e.g., recordkeeping) to protect the federal financial interest.

This section establishes an independent Endowment Board of Trustees to oversee the management and investment of the University's endowment funds under section 20. The University's Board appoints Endowment Board members by an affirmative vote of 11 of its 15 members, and the Endowment Board must operate separately from—but in conjunction with—the Board to align investments with the University's mission. The Endowment Board is responsible for (1) managing and overseeing investment and allocation of the endowment trust fund, (2) developing and implementing investment policies and strategies to optimize financial performance, and (3) reporting regularly to the Board on fund performance with recommendations as appropriate.

This section directs the Board to prepare a master plan evaluating the short-term and long-term facilities needs of the University, including all facets of existing programs and support activities as well as development and construction requirements (e.g., infrastructure and site analysis, phased architectural and engineering plans, cost projections, and landscaping). The section further requires the Board to submit an initial master plan—including a prioritization of needs—to the appropriate congressional committees no later than two years after enactment and to submit updated master plans no later than two years after the initial submission and every five years thereafter.

This section requires the University President to submit an annual report to the appropriate congressional committees and the Board describing the University's status, a detailed statement of all private and public funds and gifts received and their disposition, and recommendations for improvement. It further requires the Board to submit budget proposals to Congress—not later than 180 days after the initial Board members are Senate-confirmed and each fiscal year thereafter, and by April 1 of each calendar year—for the two succeeding fiscal years, after first submitting each proposal to the Office of Management and Budget (OMB) Director for advice and recommendations. Finally, it prohibits Congress from considering private fundraising or bequests received by the University when determining appropriations based on such budget proposals.

This section authorizes discretionary appropriations of not less than $27 million for each fiscal year to carry out the Act; $5 million for an initial capital contribution by the University to a trust fund in FY2026; and not less than $5 million for successive trust fund contributions. It provides that amounts appropriated to carry out the Act become available for obligation on June 1 of the fiscal year and remain available until September 30 of the succeeding fiscal year and authorizes two separate appropriations in the same fiscal year to transition to this forward-funding schedule. It expresses the sense of Congress that the University receive annual appropriation increases necessary to provide a high-quality educational experience in a safe, secure, and comfortable campus environment.