• Home
  • Latest
  • Fortune 500
  • Finance
  • Tech
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia
Leadershipdakota access pipeline

The Dakota Pipeline Could Devastate Some of the Poorest People in America

By
Alicia Adamczyk
Alicia Adamczyk
and
Money
Money
Down Arrow Button Icon
By
Alicia Adamczyk
Alicia Adamczyk
and
Money
Money
Down Arrow Button Icon
November 6, 2016, 1:01 PM ET
US-ENVIRONMENT-PROTEST
Two children walk together in oil pipeline protest encampment near Cannon Ball, North Dakota where members of the tribe and their supporters have gathered to voice their opposition to the Dakota Access Pipeline (DAPL), September 3, 2016. Drive on a state highway along the Missouri River, amid the rolling hills and wide prairies of North Dakota, and you'll come across a makeshift camp of Native Americans -- united by a common cause. Members of some 200 tribes have gathered here, many raising tribal flags that flap in the unforgiving wind. Some have been here since April, their numbers fluctuating between hundreds and thousands, in an unprecedented show of joint resistance to the nearly 1,200 mile-long Dakota Access oil pipeline. / AFP / Robyn BECK (Photo credit should read ROBYN BECK/AFP/Getty Images)ROBYN BECK AFP/Getty Images

For many members of the Standing Rock Sioux Tribe, the Dakota Access pipeline is just another hit against a group that’s been taking economic punches for generations.

The tribe has lived in North and South Dakota for hundreds of years, yet members have little say in how their ancestral land is used by the federal government. Meanwhile, sky-high unemployment rates and poverty levels have afflicted the Sioux for decades.

Now, tribe members and protestors say the pipeline could imperil the Sioux drinking water and the environmental health of the land they live on. (For more background information on the project, check out this explainer from TIME.)

Natives have the highest poverty rate of any racial group in the country, and the Sioux suffer especially startling statistics. More than 40% of the reservation’s population has an income below the federal poverty line, compared to 13.8% for the U.S. on average. Indian Country Today put the unemployment rate at Standing Rock at a shocking 86% in 2013, and many of the Sioux are without electricity, running water, or complete kitchens, per a 2012 economic outlook report prepared by the tribe.

“They’re poor, they’re dirt poor,” said Richard Monette, a professor at the University of Wisconsin Law School and past president of the Native American Bar Association. “It’s unbelievable what we’ve done to them.”

Tribe Vows to Fight North Dakota Pipeline Through Winter

The Standing Rock Sioux Tribe is part of the Great Sioux Nation, and its economy depends largely on farming and cattle ranching, according to the tribe’s website, as well as two casinos owned by the Tribe. Almost 60% of those with full-time jobs are employed by the government.

“Social welfare programs such as Social Security Income, Temporary Assistance for Needy Families (TANF), and Supplemental Security Income (SSI)—comprise almost 30% of all income on the reservation,” the report notes.

The sources of the reservation’s poverty are long and varied, but much of it can be traced to land ownership.

The Black Hills Gold Rush in the 1870s led to the forced cessation of some of the tribe’s land to the United States government, breaking peace treaties that had been signed by the Sioux and the government. (Notably, the Natives did not benefit from the discovery of gold in their sacred land.) Continuing that tradition, the federal government seized thousands more acres of land from the tribe in the 1950s and ‘60s in order to build dams across the Missouri River Basin.

That land, which had been used by the Sioux for farming and hunting, was flooded and destroyed, and the reservation never recovered from the economic toll, Monette said. According to MSNBC, hundreds of families were displaced, exacerbating poverty.

Dakota Access Pipeline Protesters Stay Near Camp After Arrests

“That’s why the placement of this pipeline is so significant,” Monette said. It’s on land that the Sioux still consider theirs—given that, in their eyes, the federal government had no right to take it to begin with, and didn’t compensate them for it.

Nor does the tribe technically own the land they have left, The Atlantic reports; it is held in a trust by the federal government. That means the tribe has little leverage when dealing with massive companies like Energy Transfer Partners, the company building the pipeline. It’s not as if they can buy the land the company wants to build on—they have no money. Relatedly, they can’t develop the natural resources in “their” land to earn any income, they can’t borrow against the land, and they certainly can’t sell it.

And, as noted above, they have few other economic resources. Which brings us back to the pipeline.

North Dakota Pipeline Protest Turns Violent After Native American Burial Grounds Allegedly Damaged

As Naomi Schaefer Riley writes in the New York Post, the ranchers just off of the reservation who do actually own their land gave permission for the pipeline to be built—and they were paid for it. That’s not an option for the Sioux.

That the Dakota Access pipeline is being built on land that used to be part of the Standing Rock reservation, under its main water source, and through its sacred sites is another affront in a long history of them. To add further insult, the pipeline was originally slated to be built north of Bismarck, but was moved further south after public outcry that a leak would destroy drinking water. That same criticism appears to be being ignored when it’s made by native people.

The Tribe was not consulted on the pipeline (another disrespect to a supposedly sovereign nation). Monette said if it had been, perhaps the state and Energy Transfer Partners could have worked with the tribe to build the pipeline through the reservation, rather than under the water supply, so that the Sioux could reap some of the tax benefits from the project. “Why should they be pure and money-less?” he asked.

This article originally appeared on MONEY.

About the Authors
Alicia Adamczyk
By Alicia AdamczykSenior Writer
LinkedIn iconTwitter icon

Alicia Adamczyk is a former New York City-based senior writer at Fortune, covering personal finance, investing, and retirement.

See full bioRight Arrow Button Icon
By Money
See full bioRight Arrow Button Icon

Latest in Leadership

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025

Most Popular

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • Future 50
  • World’s Most Admired Companies
  • See All Rankings
Sections
  • Finance
  • Leadership
  • Success
  • Tech
  • Asia
  • Europe
  • Environment
  • Fortune Crypto
  • Health
  • Retail
  • Lifestyle
  • Politics
  • Newsletters
  • Magazine
  • Features
  • Commentary
  • Mpw
  • CEO Initiative
  • Conferences
  • Personal Finance
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
About Us
  • About Us
  • Editorial Calendar
  • Press Center
  • Work At Fortune
  • Diversity And Inclusion
  • Terms And Conditions
  • Site Map

Latest in Leadership

Eric Vaughan
AILayoffs
This CEO laid off nearly 80% of his staff because they refused to adopt AI fast enough. 2 years later, he says he’d do it again
By Nick LichtenbergJanuary 11, 2026
12 hours ago
kathy fang
SuccessRestaurants
From Merrill Lynch to wok station: the daughter of San Francisco’s Chinese food dynasty who defied her parents—by working alongside them
By Nick LichtenbergJanuary 11, 2026
17 hours ago
Justin Harlan
Commentaryremote work
I run one of America’s most successful remote work programs and the critics are right. Their solutions are all wrong, though
By Justin HarlanJanuary 11, 2026
18 hours ago
Personal Financefinancial planning
A major factor in Gen Z and millennial divorce is ‘financial future faking.’ It’s like long-term partner catfishing about money
By Sydney LakeJanuary 11, 2026
19 hours ago
Ryan Serhant
SuccessCareers
Ryan Serhant started his career hand modeling for $150 an hour—it paid for his real estate firm, and now he sells 9-figure penthouses to billionaires
By Preston ForeJanuary 11, 2026
20 hours ago
SuccessCareers
1 in 3 college grads admit their degrees weren’t financially worth it—now they can’t save for retirement because they’re drowning in debt
By Orianna Rosa RoyleJanuary 11, 2026
20 hours ago

Most Popular

placeholder alt text
Economy
Trump may be raising your taxes with his tariffs but he could actually cut inflation with them, too, SF Fed says
By Jake AngeloJanuary 6, 2026
5 days ago
placeholder alt text
AI
This CEO laid off nearly 80% of his staff because they refused to adopt AI fast enough. 2 years later, he says he'd do it again
By Nick LichtenbergJanuary 11, 2026
12 hours ago
placeholder alt text
Economy
As U.S. debt soars past $38 trillion, the flood of corporate bonds is a growing threat to the Treasury supply
By Jason MaJanuary 10, 2026
1 day ago
placeholder alt text
Economy
A Supreme Court ruling that strikes down Trump's tariffs would be the fastest way to revive the stalling job market, top economist says
By Jason MaJanuary 11, 2026
10 hours ago
placeholder alt text
Health
Bill Gates warns the world is going 'backwards' and gives 5-year deadline before we enter a new Dark Age
By Eleanor PringleJanuary 9, 2026
3 days ago
placeholder alt text
Success
Gen Z are arriving to college unable to even read a sentence—professors warn it could lead to a generation of anxious and lonely graduates
By Preston ForeJanuary 9, 2026
3 days ago

© 2025 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.