The Justice Department has authorized a $400 million settlement to resolve litigation brought by the Alaska Native Tribal Health Consortium over contract support costs under the Indian Self-Determination and Education Assistance Act (ISDEAA). The dispute centered on the federal government’s obligation to fund the overhead and administrative expenses tribal entities incur when they assume responsibility for delivering healthcare services that the government would otherwise provide.

The settlement is notable not just for its size, but for what it says about the federal government’s continuing exposure in ISDEAA funding disputes.