Tribal business success: Key takeaways from leaders, owners

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SIOUX FALLS, S.D. (Dakota News Now) - Driving through the Midwest, you may see tribal land with new construction, flashy casinos, golf courses, and then a few hours later, the depths of poverty.

Some may be asking, why are some tribal nations flourishing, while others struggle? Tribal business leaders shared their insights.

On the Winnebago Reservation just south of Sioux City, Ho Chunk Inc. has a reputation for economic success. Last year’s annual income was $600 million. CEO Lance Morgan has been with Ho Chunk for 31 years. Tribal business has its challenges.

“We’re all on top of a very shaky, umm, economic system, you know? Sometimes tribes layer gaming on it, sometimes they layer corporate structure, sometimes energy resources. But when you look at South Dakota, you don’t have the huge gaming because the population is small. You don’t have a lot of resources either. And you also have a lot of governments who have an election every two or three years and start over. You know, if you were designing a system to hurt a group of people, this is probably what you would do,” Morgan said.

J. Garret Renville of Sisseton Whapeton sees the success with Ho Chunk Inc. and has formed a connection.

“Lance Morgan also serves on our Economic Development Board,” Renville explained.

Morgan shared what has worked for them.

“Separation of the business from politics, along with the staggered and just enough money to get started, is the secret sauce to get going,” Morgan said.

Renville would like to see a change in elections by the time his term is up in the next year.

“Business moves at a different pace than tribal governments or politics. I hope we could have some constitutional change to stagger terms that give way to stability,” Renville said.

Seth Pearman, helping launch Flandreau Sioux Tribe’s Native Nations Cannabis, sees three key factors to success: developing a strong business plan, Robust tribal codes, and engaged leadership.

At Lower Brule, agriculture has been a main source of income. The tribe is diversifying.

“We did receive our first check from doing mortgages in Texas, and you know, it’s that’s just getting started, so. You know, hopefully, we could do something quarterly,” said tribal chairman Boyd Gourneau.

While the entire council is up for election every two years at Crow Creek, Chairman Peter Lengkeek would like to see it changed.

“It was designed to create chaos and dissension. And we fall right into it every two years,” Lengeek said.

He wants so much more for his relatives.

“Fort Thompson, the average life expectancy is 45 years old. And it just breaks my heart,” Lengeek said.

The Bureau of Indian Affairs provides various options for tribes to set up a business, from an LLC to a separate corporate entity. More information can be found here.

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