Native American Challenge Demonstration Project Act of 2011 - Directs the Secretary of Commerce to establish and implement the Native American Millennium Challenge Demonstration Project to provide coordinated and integrated federal economic development assistance to remote Native American communities.
Specifies: (1) the federal agencies that may coordinate such assistance, and (2) the programs that may be integrated.
Requires the Secretary to provide unified accounting, budgeting, and auditing standards to an eligible Indian tribe, tribal organization, or Native Hawaiian organization with whom a compact is executed for a maximum period of 5 years (extendable for up to 10 years). Provides authority to integrate the services of various federal assistance programs into a single, coordinated program.
Directs the Secretary to develop an application and selection process for eligible entities to enter into such Native American Challenge compacts. Requires that priority be given to rural and remote eligible entities located in census districts with high Native American unemployment or poverty rates.