The reception area at the Nimkee Memorial Wellness Center. Photo from Saginaw Chippewa Tribe

The Saginaw Chippewa Tribe of Michigan is suing the federal government for failing to fully pay contract support costs for health care.

The tribe entered into a self-determination contract with the Indian Health Service. But the agency underpaid by at least $120,000 in fiscal year 2006, the lawsuit states.

"The government is liable to the tribe for the unpaid amount of the tribe’s full contract support cost requirement, together with accrued interest, attorneys’ fees, and costs," the complaint, which was posted by Turtle Talk, states.

The U.S. Supreme Court has twice ruled that the IHS must fully fund self-determination contracts, including additional support costs. The Obama administration has since finalized $679 million in claims and is proposing a permanent solution in the fiscal year 2016 budget by making contract support costs a mandatory item.

The agency is consulting tribes about the proposal, according to a letter sent to tribal leaders on Monday.

Get the Story:
Tribe suing federal government (The Mt. Pleasant Morning Sun 2/12)

Fiscal Year 2016 Budget Documents:
IHS Budget Overview | HHS Budget in Brief | IHS Budget Justification

Related Stories:
Robert McSwain named acting director of Indian Health Service (2/10)
Indian Health Service tops $5B mark with new budget proposal (02/02)
Ron Allen: Mandatory funding needed for contract support costs (12/29)
Native Sun News: Tribes walk out of contract support cost meeting (08/29)
Alaska tribes still in contract support costs negotiations with IHS (08/14)