Deadline nears for Colorado heirs to claim Native American settlement awards

DURANGO, Colo. — Heirs of more than 17,000 deceased Individual Indian Money account holders have until June 30, 2025, to submit probate documents and claim compensation from a federal class action settlement. Roughly $38 million remains unclaimed.

The funds are part of the 2009 Cobell v. Salazar lawsuit, which determined the federal government mismanaged more than 300,000 trust accounts for Native American individuals. The case resulted in a $3.4 billion settlement — $1.4 billion went to individual class members, and $2 billion was used to help tribes buy back land that had been divided over generations.

“Many deceased class members were affiliated with tribes that surround Colorado,” said William Dorris, a lead attorney in the case who is based in Atlanta. 

“We believe many of their heirs have migrated to Colorado, whether that’s Durango, Denver, or areas like Grand Junction. So we think there are a lot of Native Americans in Colorado who may have ancestors on the list.”

The Department of the Interior oversees IIM accounts, which hold assets in trust for Native American citizens. The funds are managed by JP Morgan and earn interest based on investment performance.

IIM accounts were created to manage money earned from land that was allotted to individual Native Americans under the 1887 General Allotment Act. As land was passed down through generations, ownership became divided among many different heirs, and the federal government took on the role of trustee to manage both the land and the money it generated.

Colorado is home to more than 70,000 people who identify as American Indian/Alaska Native, according to Census data. Indigenous nations native to what is now Colorado include the Arapaho, Cheyenne, Apache, Comanche, Shoshone and Ute.

To check settlement eligibility, individuals can search for relatives on the Cobell Settlement website. Heirs can prove eligibility with documents such as a small estate affidavit, will or tribal, state, or federal probate order. They can then submit an heir claim to the Kroll Settlement Administration, a firm that provides notice and administration service for class action settlements. 

Dorris said the process is expected to wrap up by the end of the year, regardless of how many claims are filed, with monetary distributions likely before then.

“Over 95% of the funds have been distributed,” he said. “But we’d very much like to get this last bit of funds to the right people.”

After June 30, any remaining funds and interest will go to the Cobell Education Scholarship Fund, which provides financial aid to Native American students pursuing post-secondary education.