2017 NAFSA Year in Review
2017 proved to be a busy year for financial services, and as the only Native trade association fully dedicated to advocating for tribal lending, NAFSA looked to keep pace with the ever-changing regulatory and policy landscape around consumer finance.
Here is a quick review of what NAFSA staff and membership did this past year in the furtherance of our mission “to advocate for tribal sovereignty, promote responsible financial services, and provide better economic opportunity in Indian Country for the benefit of tribal communities.”
Advocacy on the Hill
Last year kicked off with what is expected to be an important method for advocating for tribal sovereignty- speaking with Congresspersons and officials in Washington, D.C. NAFSA Executive Director Gary Davis set the tone early in the year by visiting with prominent Senators about the “most significant Tribal economic development opportunity since the onset of Indian gaming.” Davis would become a frequent presence on the Hill in 2017.
NAFSA staff, with the help of members of the Board, worked diligently to establish a working relationship with federal officials, including visiting with staff at the Consumer Financial Protection Bureau (CFPB). Staff remained engaged in key legislation and policy by submitting comments on the proposed Indian Trader regulations and lending support to the Jobs for Tribes Act. In commenting on the Indian Trader regulations, Davis reiterated that it is “important federal laws keep pace with the rapidly digitizing world.”
NAFSA staff and members made more than 50 visits to members of Congress in 2017. Many of those visits targeted members of Congress on key committees like the House Financial Services Committee, the Senate Banking Committee, and the Senate Committee on Indian Affairs.
NAFSA held its first ever “Capitol Hill Day” in July with a reception attended by members of Congress and visits to Congressional offices for NAFSA members the following day. Discussing the event, Davis said, “Whether it’s how tribal lenders are serving the underbanked or the increased employment and community investment created by tribal lending entities, NAFSA’s members tell our industry’s incredible story best. We will continue to advocate for a robust tribal presence in the financial services sector.”
Spreading the Message Around Indian Country and Within the Financial Services Industry
Advocacy in Washington, D.C. is only one way NAFSA staff fulfill the organization’s mission and educate the public on the responsible financial services offered by our members. Staff attended and were featured as keynote speakers and panelists at a wide variety of industry and Native gatherings in 2017.
NAFSA staff attended the Epic User Conference in January 2017, hosted by NAFSA associate member Epic Loan Systems. There, staff helped teach an array of service providers about tribal lending and its incredible potential.
Davis announced a new era for NAFSA at the National Center for American Indian Enterprise Development’s National Reservation Economic Summit in March in Las Vegas. NAFSA served as the presenting sponsor for the largest economic development gathering in Indian Country. NAFSA transformed its space at the Summit into a “Financial Services Expo,” complete with vendor demonstrations and featured speaker content.
During his keynote speech, Davis remarked that “this is only the beginning for our industry and trade association. Less than two weeks ago, as we made our way across the Capitol, Members of Congress were impressed with the fact that our tribes are serving people that the American banking system is not.”
NAFSA lent its expertise in legal, regulatory, and banking policy to NAFSA member the Lac du Flambeau tribe during its 4th Annual Tribal Lending Summit.
To help manage the organization’s growing presence on the Hill, NAFSA hired former government affairs specialist for the Navajo Nation and Liaison for Native American Affairs to the U.S. Secretary of Defense, Joe Sarcinella as Chief Operations Officer and General Counsel.
Sarcinella wasted no time acclimating to tribal lending, assisting in amicus briefs to the Supreme Court and the U.S. District Court in Kansas, as well as representing the organization at meetings across the United States. He even coordinated a Hill reception at the Native American Contractors Association Conference in Washington, D.C. Sarcinella’s deep knowledge and established relationships on the Hill and in Indian Country added immediate value to NAFSA’s operations during a busy fall season.
NAFSA staff travels ended a whirlwind 2017 by stressing the organization’s best practices before a gathering of tribal lenders in Minneapolis. Davis spoke of the importance of a cooperative industry best practices to strengthen the self-regulation of tribal online lending.
To build on the energy from that Minneapolis event, NAFSA will be holding a first of its kind tribal lending regulatory workshop at the organization’s headquarters in Washington, D.C. on February 15, 2018.
Work with the Media
As NAFSA’s presence and expertise grew throughout 2017, the organization quickly became an authority on tribal lending and online financial services. This translated to frequent interactions with the media.
Correcting the misrepresentations surrounding the industry is a crucial component of NAFSA’s advocacy efforts. Teaching others about the regulatory sophistication of tribal lending became a constant refrain in 2017.
NAFSA lend its industry expertise to Bloomberg for a story on the true lender debate. Bipartisan legislation is now being considered that would correct deviations from the “valid when made” doctrine. As Davis noted to Bloomberg, “NAFSA member tribal lending enterprises are structured in a way in which the lending enterprise that originated the loan is also the entity that services the loan, which means they do not encounter true lender concerns.” In general, we continue to stress that tribes interested in consumer lending must perform due diligence and avoid injurious business deals that can potentially damage the reputation and sovereign status of legitimate tribal lending entities.
Buzzfeed reached out to NAFSA to discuss the importance of self-regulation in tribal lending as a case involving multiple tribal lenders was under consideration for petition to the U.S. Supreme Court.
Before Indian Country Today was forced to shutter its offices, the omnipresent Native publication produced a feature article on the positive presence tribal lending has in NAFSA member communities.
Executive Director Davis’s op-ed in Washington, D.C. publication the Hill regarding tribal sovereignty’s importance to developing tribal communities capped NAFSA’s media presence for 2017. The editorial represented a manifestation of NAFSA’s mission and a fitting send-off of 2017, budding with potential for what 2018 can bring.
