Audit, no Peacemaking for Navajo Oil & Gas Company

HERE AT NAVAJO COUNCIL WHERE COUNCIL CONTINUES TO DEBATE REPORT ON NAVAJO OIL AND GAS COMPANY FROM CHIEF LEGISLATIVE COUNSEL LEVON HENRY.

DELEGATE RUSSELL BEGAYE
my question and concern is when the Council was reduced to 24, which was done because that was the will of the people, the composition of the shareholders for Navajo Oil and Gas Company was reduced from 11 to 5. But the Navajo Supreme Court ignored that.

DELEGATE LEONARD PETE
We are very young nation and we have to go through growth pain and suffer consequences but learn from mistakes and that is true of what we did with NOG charter.

DELEGATE CHARLES DAMON II
If you go to documents that shareholders approved and see how our decision was based on professionalism of board to work with banks and make a good judgement. there was a Denver office, and $34 million lost and why Board members changed. we know that some board members were confirmed by council but they have not taken seats cuz of conflict between Board and Shareholders. NOG is not enterprise. they are separate to allow NOG to leverage dollars.

DELEGATE EDMUND YAZZIE
I still have several questions and i hear colleagues talking about Ke’ and Peacemaking. that is good but there is a lot that still needs to be brot out. this is just report but we are hearing only portion of this conflict. i believe Delegates shud be shareholders and maybe there is conflict. so i ask that we meet again and we listen to all parties to resolve this right away. if we were not fighting, we cud have bought fuel which wud have allowed us to provide inexpensive fuel for people.

and here we have to take the criticism but i need more information. we get some information from newspapers and that is not good.

DELEGATE KATHERINE BENALLY
I still have questions about Delegates Russell Begaye, Mel Begay, Charles Damon II. Are we jeopardizing ethics filing? I thought we were going to have Peacemaking and so if we want to go with bilagaana way, then council needs to prohibit Begaye, Begay, Damon from speaking

NAVAJO DEPARTMENT OF JUSTICE DEPUTY ATTORNEY GENERAL DANA BOBROFF
there is nothing in law from delegates that have ethics filings against them from taking part in debate.

IN THE BACKGROUND, DELEGATE LEONARD TSOSIE JOKINGLY SAYS, I hearby declare Delegate Russell Begaye guilty.

DELEGATE WALTER PHELPS
there appears to be need for legislation for the NOG charter and the Council can look at special session.

DELEGATE ROSCOE SMITH
wat needs to be done is forensic audit, which would provide facts/information for an oversight committee administrative hearing. and we can’t forget Navajo Supreme Court ruling, which must be honored in our discussion. regarding enterprises, enterprises were created to be at arm’s length from council. I believe the Navajo Nation is on the threashhold of becoming a powerhouse.

DELEGATE NELSON BEGAY
I came here to debate Capital Improvement Project five-year expenditure plan and hope we get to it.

DELEGATE KATHERINE BENALLY
I read that shareholders have no authority. I don’t support putting enterprises in charter status. My committee vice chairperson roscoe smith said “arms length.” is that the way we are going to start operating? is this how we want our enterprises directed? if those are not the solution then we shud not go in that direction. i support special master which sounds like Peacemaking. But i’d really like to hear how that wud work.

I went over to NOG Louis Denetsosie and NOG Robert Joe to ask if take part in Peacemaking session. We cannot as Council push our enterprises to be chartered. it may be solution to getting “rich.” but who is getting rich? just a few. Not the Navajo Nation. NOG not giving back to tribal revenues and why role of shareholders important. We shouldn’t abolish shareholders.

DELEGATE ROSCOE SMITH
Wen speak arms-length is about using arbitration. NOG is 100 percent Navajo and there is no waiver of Navajo sovereign immunity.

when i was in my first term, tribal budget was $110 million and I asked if not cap at $110 million. but over last 12 years, something positive in tribal economony, today tribal budget is about $170 million. so in doing buiness, how do we do that? there is CDFI, Narbona growth fund. right now part of problem is we bring someone in from outside and they take profits. cud that be reversed? NOG is 100 percent Navajo issue so what use to resolve issue?

SPEAKER PRO TEMP BATES
so wat do we want to do? forensic in 30 days? ratify charter? council create hearing body?

CHIEF LEGISLATIVE COUNSEL LEVON HENRY
there was question from Delegate R. Begaye about standing committees and successor committees, which is in charter, when Council from 88 to 24, that line about successor committee, does that address five standing committee. Navajo Supreme Court said that the quorum is 7 and 5 not quorum. so shareholders cud not remove board member. so that is the question.

DELEGATE ALTON SHEPHERD
my issue is that Supreme Court said that 5 not quorum so I suggested that we go back to standing committees and appoint more shareholders cuz charter has not been ratified by the Council.

DELEGATE RUSSELL BEGAYE
We just need to ratify charter and it was held hostage just because of political maneuvering so let’s put before Council. we get about $40 million from oil and gas. Forensic audit needs to happen and we shud not rush. Some board members reported to shareholders about mismanagement of NOG funds.

DELEGATE KATHERINE BENALLY
I still support Peacemaking and if NOG Board and Shareholders don’t support then they shud step down. I am asking to sit down and resolve. if go western dispute resolution then we are just paying a large amount of attorney fees. someone made comparision that we were fighting as children. we need to show discipline which will resolve these problems. we need elder with wisdom to guide through dispute. if that doesn’t work then they need to step down.

SPEAKER PRO TEMP BATES
we can go with Peacemaking and return in 10 days and remember all parties need to agree. Forensic audit will continue and be ready in 30-45 days. Office of Speaker will start Peacemaking Proces

VOTE ON REPORT BY CHIEF LEGISLATIVE COUNSEL LEVON HENRY AND ETHICS DIRECTOR VERNON ROANHORSE ON NAVAJO OIL AND GAS COMPANY/NOG
7 IN FAVOR, 9 OPPOSED, WHICH MEANS THAT THE DIRECTIVE FOR PEACEMAKING WAS DEFEATED BUT THAT FORENSIC AUDIT WOULD BE DONE.

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