STATE CAPITOL, PHOENIX – The Native American
Caucus met yesterday for a presentation on the collection and distribution of
transaction privilege tax, which is more commonly called sales tax, on Arizona’s
Native American lands.
“I appreciate that
so many people, including non-Native American legislators, attended our TPT
presentation. Amending TPT collection and distribution has been a priority for
the Native American caucus for years,” Rep. Sally Ann Gonzales, D-Tucson
(District 3), said.
At the meeting, Elain Smith, representing the
Arizona Department of Revenue’s Office of Economic Research and Analysis, gave
the caucus an overview of Arizona’s TPT system. In fiscal year 2015, the state
collected more than $46.3 million in TPT revenue from Arizona’s Native American
nations. However, Native American nations received only about $2.6 million in
the form of state funding for the Diné College and the Navajo Technical
College.
“It is important to
discuss this issue at the legislature because our current TPT collection and
distribution system is racially biased and its inequity harms our Native
American communities. Significant revenue is generated for the state on Indian
land, but our reservations are left out of the distribution of that money,” Rep.
Albert Hale, D-St. Michaels (District 7), said.
Rep. Gonzales agreed that the return to Native
American nations is too low.
“Currently, Diné College and Navajo Technical
College are the only Native American entities that receive TPT revenue. And the
money they do receive is less than six percent of the TPT revenue collected on
reservations. This system is totally unfair to Arizona’s Native American
communities,” Rep. Gonzales said.
Rep. Jennifer D.
Benally, D-Tuba City (District 7), reiterated the importance of the Native
American Caucus meetings and said she hopes legislators and the public continue
to attend.
“Arizonans need to know how much money is collected
by the state from all of Arizona’s 22 Native American nations, and that the
money going back to Indian nations does not reflect their contributions. This is
not an issue just for members of the Native American Caucus, but for all state
legislators and all Arizonans,” Rep. Benally said.
