Statements on Introduced Bills and Joint Resolutions

Floor Speech

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Mr. DAINES. Mr. President, this year marks the 10-year anniversary of the Indian coal production tax credit. This is a crucial tax incentive that levels the playing field for the future development of tribal coal resources that are currently subject to more regulatory requirements than comparable development on private, State or Federal land. The credit protects the economic viability of existing tribal coal mining projects which support much needed tribal jobs and provide a major source of non-Federal revenue for coal-producing tribes.

Over the past 10 years, the Indian production coal tax credit has proven to be an essential tool in the work of Montana tribes to achieve self-sufficiency, increase economic opportunity, and create good-paying jobs for tribal members. It also has had a significant impact on Montana's economy as a whole.

In fact, in the State of Montana, the Crow tribe relies on coal production for good-paying jobs and as much as two-thirds of the Crow Nation's annual non-Federal budget, partially funding Crow elder programs, higher education for tribal youth, and other essential services for the Crow's 13,000 enrolled members.

Current unemployment on the Crow reservation is 47 percent. It would be over 80 percent if it weren't for the coal jobs. In fact, just last month, I chaired the first ever energy and jobs Senate field hearing on the Crow reservation back in Montana. I heard firsthand how the tax credit is creating economic opportunities for members of the Crow tribe. Yet the current nature of annual reauthorization has resulted in unnecessary uncertainty.

The Crow tribe, as well as all who rely on the Indian coal production tax credit, deserve a long-term solution that provides them with the support and certainty they desperately need. In fact, at last month's hearing, Crow chairman Darrin Old Coyote testified, ``There are a few federal tax incentives that encourage investment and development in Indian country, but their utility is diminished by their short-term nature.''

For those who have spent time on the Crow reservation and throughout Southeastern Montana, the economic benefits are most evident. The Indian coal production tax credit has served as a catalyst for creating jobs and fostering tribal self-determination.

In fact, the Harvard Project on American Indian Economic Development recently published a study of preliminary findings which analyzed the economic effects of this tax provision. The study found that the Indian coal production tax credit contributed 1,600 jobs across Montana and generated $107 million in royalties and tax revenue for the Crow tribe in 2013 alone. In addition, the tax credit stimulates $95 million in wages for the State of Montana. The Indian coal production tax credit, which expired at the end of 2014 after a 1-year extension, continues to serve the Crow tribe as an effective mechanism for economic development. However, it is a constant source of angst due to Congress's unwillingness to adopt an extension of this provision.

The benefits of this tax credit are evident on tribal lands, especially in Montana. In fact, displayed prominently in my Washington, DC, office is a note from Crow chairman Old Coyote's daughter Evelyn. I have it framed in my office. She wrote: ``Please keep the coal tax credit going to help me and other Crow kids have a brighter future.''

A permanent extension provides much needed certainty to invest in large-scale energy production projects and provides a path forward for the long-term prosperity of our tribal nations.

Today, I am introducing much needed legislation that addresses the problem and gives our tribes certainty. I appreciate my colleague Montana Senator Jon Tester for joining me in this important effort. I wish to thank Montana Representative Ryan Zinke for introducing a companion bill in the House of Representatives. I also wish to thank the bipartisan Senate team that includes Senators Barrasso, Moran, and Heitkamp for sponsoring this bill. Together, we will continue to advance this legislation for the betterment of Native American tribes.

While there is still more to be done to better serve our tribes, the permanent extension of the Indian coal production tax credit is a good start. I believe this vital piece of legislation will continue to bring more good-paying jobs to Montana and to our Nation, and I strongly urge my colleagues in the Senate to support it.

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