Little Shell could lose $417K in stimulus money

BILLINGS, Mont. (AP) – State officials say $417,000 in federal stimulus money that had been slated for a Montana Indian tribe could instead go toward reducing a hole in the state’s budget.

That recommendation – which must be approved by the governor – comes after state audits of the tribe revealed it suffered from sloppy accounting practices.

Marissa Kozel with the Commerce Department says the tribe remains eligible for $200,000 in stimulus funds, but first must prove it has its financial house in order.

With projections that the state could be running out of money by 2011, Gov. Brian Schweitzer has asked agencies to come up with plans to cut costs by 5 percent.

To reach that figure, the Montana Commerce Department wants to return to the general fund $417,000 in proposed stimulus money for the Little Shell.