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Alaska Native Corporations - growth over 40 years

September 18, 2012

The Alaska land claims were settled in 1971 with the passage of the Alaska Native Claims Settlement Act ( ANCSA) by the US Congress.

In return for abrogating claims Alaska natives received up to 180,000 km2 of land and were paid $463 million. The land and money were divided among regional, urban, and village corporations. Settlement benefits would accrue to those with at least one-fourth Native ancestry. Of the approximately 80,000 Natives enrolled under ANCSA, those living in villages (approximately 2/3s of the total) would receive 100 shares in both a village and a regional corporation. The twelve regional corporations within the state would administer the settlement funds.

The following thirteen regional corporations were created under ANCSA:

ANCSA also created about 200 separate “village corporations.” The shares held by natives in their regional and village corporations have no market value because they cannot be sold or traded. But shares can be passed down to family members. So, the only financial benefit shareholders gain is through dividends, which vary greatly from one ANC to the next. Native communities also benefit in areas where ANCs contribute to local social programs, provide scholarships and pay for cultural programs.

Commentary

Economically, the Alaska Native Corporations have evolved into sophisticated corporate entities employing tens of thousands of Alaskans, native and non-native alike. In 2008, for example, Native corporations earned $5.8 B from federal contracts. In 2009, revenue of the 13 regional Native Corp.s topped $6 B.

Sources

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