Alaska Native
Yulista Holding, LLC
Pushing Boundaries
ANCs find success investing beyond state borders
By Vanessa Orr
O

ne of the main goals of Alaska Native Corporations (ANCs) is to earn money for their shareholders. And while many have been very successful in starting and running businesses within the state’s borders, there are even more opportunities to be found nationally and internationally. To this end, many regional and village corporations have expanded their business holdings far beyond the 49th State, not only to provide a new source of revenue for their parent companies but to service clients across the country and the world.

“If an ANC only does business within the state, the market is very limited,” says Josh Herren, president and CEO of Yulista Holding, a Calista Corporation subsidiary based in Alabama. “In some cases, you need to branch out to where the customers are in order to expand your business.

“It can also expand the financial footprint of the organization, which opens doors for paying dividends, as well as providing jobs and other opportunities,” he adds. “It keeps the corporation a viable ongoing entity, which is the intent of ANCSA [Alaska Native Claims Settlement Act].”

Meeting Customer Needs
Even with conference calls and Zoom, there’s still nothing better than being face-to-face with clients—especially when, in the case of Yulista, the “home office” is more than 4,000 miles away.

Up until 2002, Yulista was mostly an Alaska-based company. Then it landed a large Army contract in Huntsville, Alabama, which it still holds to this day.

“We moved our operational headquarters to Huntsville because our customer base got so big that it just made sense to have our operations here,” says Herren of the holding company that now has ten subsidiaries in twenty-eight different states. Of the company’s 2,000 total employees, 1,000 work in Huntsville with the rest distributed across the nation.

The move also allowed the corporation to add efficiencies and to make better use of its workforce.

“We had support employees in Alabama and some in Alaska, and they were doing basically the same work. Moving our headquarters to Huntsville not only allowed us to get closer to our customers but to become more efficient,” says Herren, adding that a number of Yulista employees who remained in the state moved into jobs in the accounting and human resources departments at Calista Corporation.

The move also enabled Yulista, originally a single subsidiary of Calista known as Yulista Management Services, to diversify its services.

“In the beginning, Yulista had just one big contract, and from a shared risk perspective, if that contract went away, there was concern about what would happen with both Yulista and Calista,” says Herren. “By diversifying the business, we could reduce our reliance on a single contract and generate more shareholder value.”

Yulista team members inspecting mission-essential equipment.

Yulista Holding, LLC

Yulista team members inspecting mission-essential equipment on aircraft
Yulista team members inspecting mission-essential equipment.

Yulista Holding, LLC

At the Redstone Gateway in Huntsville, Alabama, Yulista has a 4,800-square-foot paint facility with across-draft recirculating paint booth.
At the Redstone Gateway in Huntsville, Alabama, Yulista has a 4,800-square-foot paint facility with across-draft recirculating paint booth.

Yulista Holding, LLC

Embracing Expansion
As village and regional ANCs grow, some seek to expand beyond Alaska’s borders. According to the Alaska Research and Development Council, in 2018, Bering Straits Native Corporation had twenty-five subsidiaries, from professional services to hardware retail to aerospace logistics services, and employed more than 1,500 people worldwide, with approximately 27 percent located in Alaska. Bristol Bay Native Corporation and its subsidiaries employed approximately 4,000 people worldwide, with 40 percent in Alaska. And Koniag Development Corporation, a wholly-owned subsidiary of Koniag, employed approximately 1,100 people in a dozen subsidiaries, 8 percent of whom worked in Alaska. Of NANA Regional Corporation’s 13,000 employees at operations spanning the globe, 32 percent held positions in Alaska.

In many cases, one of the prime drivers of national expansion is ANCs’ ability to take advantage of the federal government’s 8(a) program, which gives them a foothold into government contracting. The program, which was created to assist small, disadvantaged businesses, including firms owned by ANCs, is designed to help these companies in gaining access to federal and private procurement markets through the award of sole source and set-aside contracts.

“The 8(a) program and its set-aside contracts can provide kind of a kick-off point for ANCs to get into the business world and the government contracting world a lot faster,” says Herren, adding that Yulista, an aerospace defense contractor that provides Army aviation support, base operation support, and range maintenance, now receives more competitive contracts than direct awards. “We have certain advantages from a competitive standpoint to access new markets, and we’ve learned how to leverage that.”

In some cases, ANCs choose to invest in already established companies, which can help to expand their reach into national and international markets.

The Brice Family of Companies was purchased by Calista in July 2010 and is now known as Bilista Holding. While still based in Alaska, it includes a number of 8(a) companies that have a nationwide presence, including Brice Environmental, which runs logistically complex environmental and construction projects in rural and remote locations; Brice Engineering, which provides engineering, environmental consulting, and construction services; Brice Civil Constructors, which deals with marine, construction, and environmental remediation projects; and STG Pacific, which is involved in specialty foundations, vertical, horizontal, and heavy industrial construction.

“When Calista bought our companies, one of the primary reasons was to get ready to train shareholders to work on the Donlin Mine project,” explains Sam Robert Brice, president of Bilista Holding. “At that time, it was thought that the mine was three to five years away, and here we are in 2021 with that same prospect.

“In the meantime, Calista’s president and board of directors asked us to continue growing our business to support the growing shareholder numbers at Calista,” he continues, adding that when the company was purchased in 2010, Calista had about 13,000 shareholders. Today, that number totals more than
33,000 individuals.

“Without the Donlin project, we knew that we had to find work outside of Alaska to meet that goal, so we started ramping up in 8(a) programs that offered opportunities out-of-state; at the time, we had four businesses, and we’ve since grown to ten, mainly utilizing 8(a) to grow inside and outside of Alaska.”

While most of Bilista’s work is in the United States, one of its subsidiaries provides services in Kuwait and Germany, and they have been working on Wake Island in the Pacific for the past four years.

“Some of the businesses are set up with permanent offices in states other than Alaska; Tunista Construction, for example, is based out of Tacoma, Washington, and Brice Environmental has offices throughout the United States,” says Brice.

“We try to take our cultural aspects and bring them into Yulista. We are not suits in a conference room; we are Alaska folks that have a real personal tie to our organization, and we really communicate that to our teams in the states.”
Josh Herren, President/CEO, Yulista Holding
Keeping the Connection
With subsidiaries located all over the globe, it’s important to keep the lines of communication open.

“I don’t check in with Alaska every day, but we do have a meeting about every two weeks with the executive members, and I talk to Calista’s President and CEO, Andrew Guy, quite often,” says Herren. “While we work at the direction of Calista to meet the needs of the shareholders, they let us operate pretty autonomously. We have a lot of freedom to run the business.”

The companies are tied together financially, with subsidiaries sending profits to their parent corporation, which are then distributed as dividends or used to provide other types of shareholder support. In Calista’s case, having these out-of-state subsidiaries has been a win on both ends; Yulista and Bilista both provide jobs and job training to Calista shareholders, and both contribute financially to Calista’s bottom line.

Brice Builders, an 8(a) construction company and subsidiary of Calista Corporation, is performing work at Tyndall Air Force Base, Florida, supporting the rebuild of the base after it was hit by Hurricane Michael in October 2018. The initial contract has a period of performance of two years and is valued in excess of $18 million.

Brice Builders, an 8(a) construction company and subsidiary of Calista Corporation, is performing work at Tyndall Air Force Base, Florida
Brice Builders, an 8(a) construction company and subsidiary of Calista Corporation, is performing work at Tyndall Air Force Base, Florida, supporting the rebuild of the base after it was hit by Hurricane Michael in October 2018. The initial contract has a period of performance of two years and is valued in excess of $18 million.

Jake Muirhead

Calista subsidiaries Brice Civil Constructors and Tunista Construction teamed up to work on the 2020 McChord Runway Emergency Repair project in Tacoma, Washington
Calista subsidiaries Brice Civil Constructors and Tunista Construction teamed up to work on the 2020 McChord Runway Emergency Repair project in Tacoma, Washington. A decades-old culvert failed underneath the runway in early 2020, cutting it in half. Brice Civil Constructors won the job based on its rapid schedule-based design-build approach and opened the runway approximately thirty days ahead of schedule in December 2020.

Justin Vena

One of the only drawbacks is that since these subsidiaries are not located in Alaska, shareholder hire, which is an ANC priority, can be a challenge.

“We try to actively develop a shareholder workforce, but it’s a little challenging when a number of our operations are outside the state,” says Brice, adding the Bilista does a lot of work in communities in rural Alaska to promote hiring. “We are always looking for opportunities to bring on shareholders that are interested in the business and who are comfortable working inside and outside of Alaska.”

“We’ve definitely struggled with shareholder hire in the past; it’s a little difficult to get shareholders interested in coming to Huntsville, where there are snakes and spiders, and it’s hot and muggy,” says Herren, who is originally from Nenana. “There’s big difference between Alabama and Alaska.”

To interest more shareholders, Yulista began a robust internship program that allows young Calista shareholders to go to Huntsville in the summer to get a taste of what working for Yulista is like. “If they want to come back, the door is always open,” says Herren, noting that since the program’s inception, more shareholders work for the company now than in the past.

One other difficulty caused by so much distance is keeping employees connected to their Native culture, as well as Calista’s corporate culture. To this end, the subsidiaries try to provide opportunities for employees to become part of the bigger picture.

“We try to take our cultural aspects and bring them into Yulista,” says Herren, adding that a lot of the company’s employees are excited to work with a group of shareholders that are Alaska-based and not Wall Street-based. “We are not suits in a conference room; we are Alaska folks that have a real personal tie to our organization, and we really communicate that to our teams in the states.”

“We try to actively develop a shareholder workforce, but it’s a little challenging when a number of our operations are outside the state… We are always looking for opportunities to bring on shareholders that are interested in the business and who are comfortable working inside and outside of Alaska.”
Sam Robert Brice, President, Bilista Holding
Each year Yulista sponsors an employee-led backpack campaign to provide 1,000 backpacks and school supplies to three schools in the Calista region. “Our highest-performing employees get to fly to Alaska to deliver the backpacks, and they get to see first-hand what happens in the villages,” says Herren. “They come back and share their stories, and that keeps us tied to our shareholders.

“While we may be in another state, we don’t forget where we came from,” he adds.

According to Brice, when Calista bought the Brice Family of Companies, he knew it would be a good fit.

Yulista employees donated 100 backpacks with school supplies to the Downtown Rescue Mission in Huntsville, AL. Each year, the company’s employee-led backpack campaign also provides 1,000 backpacks and school supplies to three schools in the Calista region as a way to strengthen ties with shareholders.

Yulista Holding, LLC

Yulista employees donated 100 backpacks with school supplies to the Downtown Rescue Mission in Huntsville, AL. Each year, the company’s employee-led backpack campaign also provides 1,000 backpacks and school supplies to three schools in the Calista region as a way to strengthen ties with shareholders.

Yulista Holding, LLC

Yulista employees donated 100 backpacks with school supplies to the Downtown Rescue Mission in Huntsville, AL.
“We’re not a large corporate business, but a series of smaller, family-owned companies, and we felt that when we meshed with Calista, we would be able to keep that culture alive,” he says. “We’ve been able to stay who we are, and as we continue to grow, that’s the type of people we like to bring into the organization.”

Even from far away, ANCs and their subsidiaries share a bond that many other companies—even those located much closer to each other—cannot replicate.

“The shareholder element is a powerful piece; I consistently remind our team in Huntsville that there is a meaningful purpose behind what we do every day,” says Herren. “And the employees really rally behind it.