[1] The Act reversed a 30-year effort by the federal government under its preceding termination policy to sever treaty relationships with and obligations to Indian tribes.

The Act was the result of 15 years of change, influenced by American Indian activism, the Civil Rights Movement, and community development based on grassroots political participation.

[2][3] The Indian Reorganization Act (IRA) of 1934 was an early step in the renewal of tribal self-governance, in the forms of creation of constitutions and employment of counsel.

In the 1950s, some members of Congress passed legislation to renew the effort to have Native Americans assimilate, and to terminate the special relationship between the federal government and tribal nations.

"[4] Under these contracts, tribes agree to set up a particular program (in areas such as resource management, law enforcement, education, childcare, and environmental protection) while meeting federal requirements and guidelines in order to receive funding and support.

[5] In addition, the United States Supreme Court in Cherokee Nation of Oklahoma v. Leavitt[6] found that the Federal government was liable for payments under a 638 contract.