25 C.F.R. Subpart G—Tribal Accounts
Title 25 - Indians
A tribal account is opened when OTFM receives income from the sources described in §115.702. The OTFM is required to provide each tribe with a statement of performance quarterly, within or no later than 20 business days after the close of every quarterly statement period. Yes, a tribe may contact OTFM at any time to: (a) Request information about account transactions and balances; (b) Make arrangements to access account information electronically; or (c) Receive a monthly statement. The statement of performance will identify the source, type, and status of the trust funds deposited and held in a trust account; the beginning balance; the gains and losses; receipts and disbursements; and the ending account balance of the quarterly statement period. No, under the Trust Reform Act we are only responsible for accounting for those trust funds received into, and maintained by, the Department's trust funds management system. If a contract for the sale or use of trust assets specifies that payments are to be made directly to a tribe, we will not accept these trust funds into a tribal trust account. Where a tribe under 25 U.S.C. 450f et seq. has contracted or compacted with the federal government to operate a federal program and the tribe, operating the federal program on behalf of the Secretary, receives trust funds for the sale or use of trust assets pursuant to a contract that specifies that payments are to be made to the Secretary on behalf of a tribe or an individual [the owner of the trust assets], the tribe must follow §115.708 for the deposit of the trust funds into the trust account. (a) If the tribe requests assistance or if Congress directs the Secretary to provide assistance, BIA will provide technical assistance on developing a judgment use and distribution plan to a tribe. (b) BIA will review all tribal requests for distribution of tribal judgment funds to ensure that each request complies with any requirements associated with the use of that money found in statutory language, congressional directives, court orders, court-approved settlements, settlement agreements, use and distribution plans, or bond or loan payments. Upon the request of a tribe, OTFM will consult with the tribe annually to develop investment strategies to accommodate the cash flow needs of the tribe. The value of trust fund investments made by OTFM will vary depending on the type of investment and, including but not limited to, the following: (a) Current interest rates; (b) Whether the security/investment is held to its maturity; and (c) Original purchase price. However, as long as the purchase price of the security/investment is made at or below face value and the security/investment is held until maturity or payoff, the security/investment will not lose principal invested funds. Tribes may recommend certain investments to OTFM, but the recommendations must be in accordance with the statutory requirements set forth in 25 U.S.C. §§161a and 162a. The OTFM will make the final investment decision based on prudent investment practices. A tribe may apply to withdraw its trust funds from OTFM for investment and management by the tribe. The tribe's request to withdraw funds must be in accordance with the requirements of the Trust Reform Act and 25 CFR part 1200, subpart B, unless otherwise specified by statutory language or the controlling document which governs the use of the trust funds. Tribal trust funds withdrawn under the Trust Reform Act may be returned to OTFM under the following conditions: (a) A tribe must make a written request to OTFM to redeposit all or part of the withdrawn trust funds; (b) No tribal trust funds may be redeposited to a tribal trust account during the first six months after being withdrawn, except with the approval of the Secretary; (c) Tribal trust funds may only be returned to OTFM a maximum of twice a year, except with the approval of the Secretary; and (d) A tribe must return withdrawn trust funds in accordance with the requirements of the Trust Reform Act in 25 CFR, part 1200, subpart C. If a tribe's use of trust funds is limited by statutory language or other federal law(s) and a tribe uses those trust funds in direct violation of those laws, absent an approved modification which allows for the expenditures, we will require the tribe to reimburse its trust fund account. OTFM will only disburse the available balance of the trust funds in a tribal trust account in accordance with a use and distribution plan, if applicable, and will not overdraw a tribal trust account. If a tribe's trust funds are invested in securities that have not matured, OTFM will only sell the asset to make cash available to the tribe if: (a) There are no restrictions against the sale, and (b) A tribe provides OTFM with a tribal resolution stating that: (1) The security must be sold; (2) The tribe acknowledges that they may incur a penalty when the security is sold; and (3) The tribe acknowledges that the security may lose value if it is sold prior to maturity. A tribe may redeposit funds not used for a particular purpose or project if: (a) The funds were withdrawn in accordance with: (1) The terms of Trust Reform Act; (2) The terms of the legislative settlement; or (3) The terms of a judgment use and distribution plan; and (b) The tribe can provide documentation showing the source of the funds to be redeposited.
Title 25: Indians
PART 115—TRUST FUNDS FOR TRIBES AND INDIVIDUAL INDIANS
Subpart G—Tribal Accounts
§ 115.800 When does OTFM open a tribal account?
§ 115.801 How often will a tribe receive information about its trust account(s)?
§ 115.802 May a tribe make a request to OTFM to receive information about its trust account more frequently?
§ 115.803 What information will be provided in a statement of performance?
§ 115.804 Will we account to a tribe for those trust funds the tribe receives through direct pay?
§ 115.805 If a tribe is paid directly under a contract for the sale or use of trust assets, will we accept those trust funds for deposit into a tribal trust account?
§ 115.806 How will the BIA assist in the administration of tribal judgment fund accounts?
Investing and Managing Tribal Trust Funds
§ 115.807 Will OTFM consult with tribes about investments of tribal trust funds?
§ 115.808 Could trust fund investments made by OTFM lose money?
§ 115.809 May a tribe recommend to OTFM how to invest the tribe's trust funds?
§ 115.810 May a tribe directly invest and manage its trust funds?
§ 115.811 Under what conditions may a tribe redeposit funds with OTFM that were previously withdrawn under the Trust Reform Act?
§ 115.812 Is a tribe responsible for its expenditures of trust funds that are not made in compliance with statutory language or other federal law?
§ 115.813 Is there a limit to the amount of trust funds OTFM will disburse from a tribal trust account?
§ 115.814 If a tribe withdraws money from its trust account for a particular purpose or project, may the tribe redeposit any money that was not used for its intended purpose?
Withdrawing Tribal Trust Funds
§ 115.815 How does a tribe request trust funds from a tribal trust account?
To request trust funds from a tribal trust account, a tribe may:
(a) Make a written request to the BIA or the OTFM that is signed by the proper authorizing official(s), list the amount of trust funds to be withdrawn, provide any additional documentation or information required by law to withdraw certain trust funds, and must include a tribal resolution approving the withdrawal of the specified amount of trust funds; or
(b) Contact the OTFM to withdraw funds in accordance with the Trust Reform Act and 25 CFR part 1200.
§ 115.816 May a tribe's request for a withdrawal of trust funds from its trust account be delayed or denied?
(a) Action on a tribe's request for a withdrawal of trust funds may be delayed or denied if:
(1) The tribe did not submit all the necessary documentation;
(2) The tribe's request is not signed by the proper authorizing official(s);
(3) OTFM does not have documentation from the tribe certifying its recognized, authorizing officials;
(4) The tribe's request is in conflict with statutory language or the controlling document governing the use of the trust funds; or
(5) The BIA or OTFM requires clarification regarding the tribe's request.
(b) If action on a tribe's request to withdraw trust funds will be delayed or denied, the BIA or the OTFM will:
(1) Notify the tribe within ten (10) working days of the date of a request made under §115.815(a);
(2) Notify the tribe under the time frames established in 25 CFR part 1200 for requests made under the Trust Reform Act; and
(3) Provide technical assistance to the tribe to address any problems.
§ 115.817 How does OTFM disburse money to a tribe?
Upon receipt of all necessary documentation, OTFM will process the request for disbursement and send the tribe the requested amount of trust funds within one business day. Whenever possible, trust funds will be disbursed electronically to an account in a financial institution designated by the tribe. If there are circumstances that preclude electronic payments, OTFM will mail a check.
Unclaimed Per Capita Funds
§ 115.818 What happens if an Indian adult does not cash his or her per capita check?
(a) If an Indian adult does not cash his or her per capita check within twelve (12) months of the date the check was issued, the check will be canceled and the trust funds will be deposited into a “returned per capita account” where the funds will be maintained until we receive a request for disbursement by the Indian adult or for disposition by a tribe pursuant to §115.820.
(b) If an Indian adult's per capita check is returned to us as undeliverable, the trust funds will be immediately deposited into a “returned per capita account” where the funds will be maintained until we receive a request for disbursement by the individual or for disposition by a tribe pursuant to §115.820.
§ 115.819 What steps will be taken to locate an individual whose per capita check is returned as undeliverable or not cashed within twelve (12) months of issuance?
The OTFM will notify a tribe of the names of the individuals whose per capita checks were returned as undeliverable or not cashed within twelve (12) months of issuance and will take reasonable action, including utilizing electronic search tools, to locate the individual entitled to receive the per capita funds.
§ 115.820 May OTFM transfer money in a returned per capita account to a tribal account?
Funds in a returned per capita account will not automatically be returned to a tribe. However, a tribe may apply under 25 U.S.C. 164 and Public Law 87–283, 75 Stat. 584 (1961), to have the unclaimed per capita funds transferred to its account for the tribe's use after six years have passed from the date of distribution.
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