OPA

Secretary of the Interior Manuel Lujan and Barron Collier today signed agreements on the terms and conditions for closing on the Phoenix Indian School land exchange by December 18, 1996. "This exchange will provide substantial benefits for Indian tribes, the City of Phoenix, and our national parks and refuge systems, Lujan said. “These agreements represent long and arduous negotiations and a great deal of work by Congress, the city of Phoenix, the Interior Department and officials of the Arron Collier Company. I am convinced this is the best possible agreement and that it protects the interests of all parties." In exchange for approximately 68 acres of the former Phoenix Indian School site in Phoenix, Arizona, the Federal Government will acquire from Collier about 108,000 acres of Florida wetlands important to the protection of the Everglades and fish and wildlife resources in that area.

The agreement also obligates Collier to pay $34.9 million at the end of 30 years and to make 30 consecutive annual interest .payments of almost $3 million into Indian education funds established by the agreement starting one year after the closing date. The obligations for payment of the monies earmarked for Indian education are secured by liens on Collier's interest in 15 acres of the Indian School property and on about 7 1/2 acres of downtown Phoenix land that Collier will receive as a result of and exchange with the city of Phoenix. Because, of the delayed closing of the land exchange until December 1996, funds for Indian education may not be available until 1997. The Secretary expressed regret over this delay, but concluded that a delayed closing was better than no exchange at all.

The exchange largest in terms of dollar value in the history of the Department of the Interior, was initiated to provide for the acquisition of environmentally sensitive wetlands in Florida, and to secure supplemental funding for Indian education, Of the 108,000 acres in Florida, more than 83,000 than 20,000 acres to Ten Thousand Island National Wildlife Refuge, and more than 4,000 acres to Florida panther National wildlife Refuge.

The Phoenix Indian School was closed in 1990. Legislation enacted in 1998 to govern disposal of the federal property, allocates 11.5 acres to the veterans Administration, 4.5 acres to the State Veterans administration, and 20 acres to the city of Phoenix. The remaining acreage is to exchange for the Florida lands held by Collier. Under an agreement with the city of Phoenix, Collier is to retain 15 acres of the Indian School property it is obtain under the legislation and the company will exchange the remainder for property in the downtown area. The City of Phoenix plans a park on the land it would acquire in the exchange.

The U. S. Supreme Court rendered its decision on the Seminole Tribe of Florida v. Florida et al., case on March 27, 1996. The 5 to 4 decision held that the "Eleventh Amendment prevents Congress from authorizing suits in federal court by Indian tribes against States to enforce" the provision in the Indian Gaming Regulatory Act (IGRA) requiring States to "negotiate in good faith."

"This decision is not only a strike against American Indians' access to federal courts to enforce federal rights against a State, but jeopardizes the rights of all Americans to use the federal courts to ensure that States comply with federal law." said Ada E. Deer, Assistant Secretary for Indian Affairs. "I agree with Justice Stevens' assessment that this 'decision is fundamentally' a mistake.

The court's decision will prohibit Indian tribes from using the federal courts as a vehicle to compel States to negotiate in good faith for casino gaming, but all of the other provisions of the IGRA remain intact.

"The Bureau of Indian Affairs stands staunchly behind the Indian tribes and their right to conduct Indian gaming." "We will protect this American Indian right and exercise our trust responsibility to assist Indian tribes to engage in authorized gaming under the IGRA." said Ms. Deer.

There are 557 federally recognized Indian tribes which would be allowed to conduct Indian gaming under the IGRA, but currently there are only 282 tribes that are actively conducting Indian gaming and of this amount approximately 1/5 ( 126) tribes have tribal-state compacts authorizing casino gaming.

Indian gaming authorized under the IGRA, unlike non-Indian gaming, requires that the proceeds from the gaming operation be used to (1) fund tribal government operations or programs, (2) provide for the general welfare of the Indian tribe and its members, (3) promote tribal economic development, (4) donate to charitable organizations, or (5) help fund operations of local government agencies. "Indian gaming has been a general boost for some Indian tribal governments and has been instrumental in directly improving the living conditions of Indian people on various Indian reservations. States Ms. Deer. "Take for example the Oneida Tribe of Wisconsin that has used the proceeds to fund school, develop Tribal infrastructure, and to provide for the general welfare." "I pledge my direct and dedicated support to Indian tribes to continue to conduct Indian gaming under the IGRA."

Ada E. Deer, Assistant Secretary for Indian Affairs, invites everyone to participate in a POW WOW sponsored by the Bureau of Indian Affairs Equal Employment Office and the Bureau's Combined Federal Campaign (CFC) in celebration of National American Indian Heritage Month. The POW WOW will be held outside (weather permitting) and open to the public. This event will feature music, traditional dance, storytelling, cultural displays, and Native American lore. The activity will also feature representatives from various Native American organizations. , This POW WOW will be held on November 20, 1996 at RAWLINS PARK, which is on the north side of the OPM building on 19th & "E" Streets, NW. In case of inclement weather the event will take place in the Department of the Interior's Main Auditorium on 19th and "C" Streets, NW.

Events will begin at 10:00 AM until 2:00 PM. The sequence of events is as follows:

On October 29, 1996 President Clinton signed a proclamation, designating the month of November 1996 as National American Indian Heritage Month., "I join the President in affirming tribal self-governance and sovereignty, 11 Ms. Deer said." Our most important resource is our Indian children. The President, in this proclamation vows that American Indians will not be left behind as the bridge to the 21st century is constructed. We must focus on developing our single most important asset -- our Indian children."

In the proclamation the President states "It means that American Indian children and youth must be provided a solid education and the opportunity to go on to college." On October 21, 1996 President Clinton signed an executive order that expands opportunities for federal assistance to tribal colleges and universities that serve approximately 25,000 American Indian and Alaska Native students. This executive order:

• Reaffirms the special relationship of the federal government to American Indians and Alaskan Natives, ensures that tribal colleges and universities are fully recognized as accredited institutions, establishes a mechanism to increase accessibility of federal resources committed to tribal colleges/universities in their communities on a sustaining basis, promotes access to high quality educational opportunities for economically disadvantaged students, promotes the preservation and revitalization of American Indian/Alaskan Native languages and cultural traditions, and provides innovative approaches to relationships between tribal colleges and early childhood programs.

These are exciting times as we begin building the bridge for the American Indian community for the 21st century. This is a season of change. Accordingly, the BIA's observance theme is "SEASONS OF CHANGE." President Clinton"... urge[s] all Americans, as well as their elected representatives at the Federal, State, local, and tribal levels, to observe this month with appropriate programs, ceremonies, and activities. “In this context the BIA extends an open invitation to everyone to join us on this day.”

The Department of the Interior has presented to Congress an initial report that outlines proposed legislative settlement options for resolving disputed balances in Tribal trust accounts. The report and recommendations are in response to a five-year study by a national accounting firm which examined billions of dollars in Tribal trust fund transactions handled by the Bureau of Indian Affairs for a 20-year period beginning in 1972.

"We are committed to resolving these issues in a manner that is fair to the Tribes and fair to the public, and that does justice," said Secretary of the Interior Bruce Babbitt. "Where the government has been found to owe money, we will pay it, with interest."

The study, which was undertaken for the BIA by the national accounting firm Arthur Andersen, LLP, determined that 86 percent - or $15.3 billion - of the $17.7 billion the BIA handled in Tribal trust fund non-investment transactions from July 1972 to September 1992 could be reconciled, i.e., supporting documents could be located. Of the reconciled transactions, Arthur Andersen detected an error rate of only .01%. Other components of the project assessed the accuracy of other transactions, the reasonableness of investments, and the propriety of income collected. Overall, slightly less than half of the errors detected were to the detriment of the Tribes and the balance were to the benefit of the Tribes.

Where the BIA was found to have made errors to the detriment of a Tribe, the Department proposes that funds be restored to the Tribe, with interest. Where a Tribe may owe the government money after netting all errors relating to that Tribe's account, the amount would be forgiven. For claims where a Tribe disputes a transaction based on the Tribe's own documentation, or for claims where a Tribe disputes the BIA's documentation used to reconcile a transaction, those claims would be addressed through mediation.

There were also transactions in the amount of $2.4 billion that could not be reconciled, meaning that during the course of the study, the BIA was not able to locate documentation to support the accuracy of the transaction as reflected in the BIA's books (known as the general ledger). The report indicates that with respect to three quarters of this amount, there is relatively little risk that a Tribe did not have use of its own money (although the funds conceivably could have been credited to the wrong account of that Tribe). As a result, settlement options with regard to the unreconciled transactions will focus on the remaining $575 million in transactions. Options to address these transactions, as well as any other claims that Tribes may have involving transactions outside the scope of the 20-year study, will be the focus of consultation efforts by the Department with the Tribes.

"The overriding objective of this settlement is to achieve fairness and justice with respect to Tribal trust account balances," states the Interior Department report. "We are committed to doing the best job we can, recognizing the limitations of what has occurred in the past and the available information, to restore funds to Tribal trust accounts that have suffered losses as a result of inadequacies in the Department's management and accounting systems. The effort must be principled and undertaken in good faith, while, at the same time, protecting the public fiscally where little or no reasonable likelihood of loss exists."

The Interior Department was guided by the following objectives in formulating its legislative proposals:

• achieve a settlement that is fair
• achieve the most resource-efficient settlement of claims (in terms of conserving federal government and Tribal time, money, and staff, including attorneys' and expert witness fees)
• encourage settlement by providing incentives to settle and by providing disincentives to litigation
• use the most informal settlement processes available rather than litigation to encourage Tribal participation
• obtain funding for the settlement without reducing appropriations for the BIA budget and Tribal programs
• achieve final agreement on account balances through September 30, 1995, as required in the Act, as an agreed upon starting point for the future

The Interior Department report was submitted by Secretary Babbitt to the Senate Committee on Indian Affairs and the House Committee on Natural Resources. The Department will be consulting with Tribes on the options contained in the report, including meetings in January in Portland, Oregon; Denver, Colorado; Phoenix, Arizona; and Washington, D.C. It will submit further proposals to Congress for settling Tribal trust fund account balances in April 1997. In addition, early next spring, the Special Trustee, appointed by the President to reform the Department's trust management systems, will submit his strategic plan to the Secretary and Congress for bringing the trust accounting and management functions up to industry standards.

For many of the years leading up to Alaska's statehood the Federal Government had periodic interest in converting Alaska into a penal colony. The idea seems to have started during Andrew Johnson's Administration and ran out sometime in the 1940's when Harold Ickes was Secretary of the Interior.

It's my impression that a lot of Alaskans suspect that the penal colony view, is still prevalent in Washington. The fact is that this couldn't be farther from the truth. We think of Alaska as you do, not as America’s “last frontier,” but as America’s "great frontier."

I wouldn’t be honest with you unless I told you that I envy you. Each of you is in a unique position to ensure that your state is developed in an ordered preserving the land's vital non-economic values. You are in a position to utilize the most advanced technologies to ensure that economic development is compatible with the magnificence of your environment. You are in a position to create meaningful land use plans that provide not only for orderly growth, but which will preserve the integrity of the delicate Arctic ecology.

The bigness and greatness of your land is also significant to all Americans. They own a large -- very large chunk -- of it: About 350 million acres today are under Federal management.

When President Nixon was inaugurated in 1969 no government body had yet been tasked to develop an environmentally safe plan to utilize North Slope resources. There was a "freeze order" on the leasing of Alaska lands and only five million acres had formally changed hands in fulfillment of the 103-million-acre commitment in the Statehood Act of 1958.

This afternoon I'd like to speak to you about my responsibility as trustee for the public lands in Alaska, and about our programs for Alaska's future. This trusteeship is unique because we act not only in the interest of Alaskans. But in the interest of all Americans.

We are anxious to get on with the development of oil resources on the North Slope. Since May of 1969. When President Nixon established a Federal Task Force on Alaskan Oil Development, we have taken broad and far-reaching action.

We opened the decision-making process to the public and held three significant series of' open hearings. And in this effort we consulted with every element of state and local government.

We developed the strictest environmental and technical stipulations ever drafted and organized surveillance teams to enforce these controls.

We completed a 6-volume environmental impact study in cooperation with over 20 state and federal agencies-- the most, comprehensive study of its kind.

We conducted exhaustive examinations of all feasible alternatives, including Canadian routes and other energy sources.

I have announced my decision to issue the necessary permit, and am convinced that the Trans-Alaska Pipeline is one of the most environmentally safe undertakings in American history.

Aside from that, the Pipeline is critical to our national security. It is estimated that by 1985 America will be required to import over half of our oil supply. Without the pipeline this would mean increasing dependence upon the politically unstable oil-rich nations of the Mideast -- it would mean an increased deficit in our "balance of payments – it would mean we would be increasingly subjected to vindictive pricing policies from other oil producing countries.

The Office of Emergency Preparedness, and our State Department strongly feel we must build the Trans-Alaskan. Pipeline to support national security goals, and that we cannot afford a 3 to 5 year delay inherent in the Canadian route.

As you know, the trans-Alaska matter is in the courts. Hopefully the first decision--by the trial court--will be rendered before Labor Day. No matter who wins there, the case undoubtedly will. Then go to the Court of Appeals. After that it may well go to the Supreme Court. Consequently this litigation could go for as long as a year or 18 months or even more. We must be candid in our understanding of that.

Frankly, I know that our decision 'to proceed with the pipeline is in the best national interest of the country.

We have been responsive to national needs for more energy.

We have been responsive to Alaskans' needs for avenues of economic development.

We have been responsive to needs for B balanced development of natural resources without jeopardizing the environment.

You are all aware of the impact the Trans-Alaska Pipeline will have on your state. I think the remarks of your very capable senator, Ted Stevens, before the Joint Economic Committee sum it up well.

"Twenty-two thousand jobs will be created in Alaska in connection with pipeline construction and a gross payroll of $800 million will be generated.”

The Pipeline will mean unprecedented social and economic change for your State and for Alaskans.

I’m here today to tell you that we at Interior and in the Nixon Administration are proud of the conscientious fashion in which the Pipeline decision was made. Let me reaffirm that position: "God and the country willing; there will be a Pipeline."

Another area of concern I would like to distress is that of native claims and land, withdrawals. I know that for many in Alaska these are very difficult issues. The development of the Pipeline and the future economic course of this great State are inter-related to these issues.

President Nixon signed the Alaska Native Claims Settlement Act last December 18th bringing to an end a conflict which began in 1887.

Since that date we have taken certain actions:

We have set aside some 99 million acres from which Native groups will choose 40 million acres for their villages and regional corporations. The remainder will be made available for state selection and federal classification.

We announced the same day the preliminary withdrawal of an additional 80 million acres to be studied as additions to the national forests, parks, wildlife refuges and wild and scenic river systems. The final withdrawal of these lands will take place by September 18th this year – and we will meet that deadline.

We have withdrawn 1.2 million acres as an addition to the existing transportation and utility corridor. This corridor runs from Prudhoe Bay to the Canadian border and will provide for several utility systems.

In the meantime I have requested recommendations from the Joint Federa1­ State Land Use Planning Commission for Alaska, created by the Alaska Native Claims Act, for the optimum use of those withdrawn lands.

Under the Act, the Commission is to undertake a process of land use planning and make recommendations of areas for Federal retention; Federal and State lands to be made available for disposal and uses of lands remaining in Federal and State ownership. It also is charged with advising on proposed land selection by the State and by Alaska Natives (Indians, Eskimos and Aleuts).

Some 35 million acres of land identified by the State in January of this year are available now for state selections. The Bureau of Land Management is committed to speeding action on all formal applications by the State for these lands.

While all is not yet ready for the State of Alaska to select all the lands that make, up the remainder of the entitlement under the Statehood Act, we have taken vigorous steps toward that goal.

Just last week 17 patents were issued, to the State for 260,000 acres.

To ensure that the land withdrawals, are handled properly the Joint Federal-State Land Use Planning Commission, headed by, Jack Horton, and authorized by the Native Claims Act will report annually to the Congress until 1976.

Your Joint Federal-State Land Use Planning Commission provides Alaskans with a management framework to make recommendations to the State and Federal Governments, regarding the optimum use, disposal and protection of the land. Action by the Congress, actions by the Department of the Interior and future actions by the Commission will provide the foundation for an orderly land use plan for Alaska. A land use plan that will protect the interests, of the State and one that provides opportunity for its future development.

One that will protect the vast and invaluable resources of the State unmatched anywhere in the world.

One that will protect the inalienable and vested interest of the American people.

One that will protect the interests of Alaska's Native people, and their entitlement to a fair share of the land and natural resources.

At last then we are at the beginning of a new age for Alaska; an age in which conservation is matched with, progress; an age in which development is matched with equity.

As Governor Egan said, "This joint approach in planning the future' of Alaska presents an opportunity not utilized in the development of any of the other States of the Nation."

The future of this frontier and of your children will depend upon careful and ordered planning as well a strong leadership at every level in government, in industry, and in your communities.

I would like to conclude with a few remarks directed to Alaska's most pressing problem -- your economy.

I know these last years have not been easy ones, I know that many of you have suffered from natural disasters and that the Pipeline delay has meant a lot to you not just in economic cost but in human cost.

I want to talk to you about your future and about that is happening now in our national economy.

A year ago President Nixon initiated new economic policies. He put a freeze on wages and on prices to halt spiraling inflation as well as to stimulate economic growth. We have had a year to see whether these policies would work. We have had a year to listen to political charges that they could fail, and have listened to skeptics who said America's economy was doomed.

Let us look at the record.' Recent economic reports indicate that inflation has been cut from 6.1 percent in 1969 to 2.9 percent in the last year. Over 82.6 million Americans have jobs today more than ever before. Since May of 1971 alone almost 2 and half million new Jobs have been created. Interest rates are down -- unemployment is down -- and our Gross National Product is solidly on the way up.

In short, the, President’s economic policies are working. More Americans are working and making more money today than at any previous time in American history. But more important, not only are America's workers making more money, but in contrast with any previous time, their money is buying more.

President 'Nixon and this Administration are unequivocally committed to continuing these policies for our economic prosperity.

You are at the threshold of one of the greatest undertakings in the history of our Nation -- the development of Alaska's natural and mineral resources.

It is an awesome task. A task which will provide the greatest challenge to your spirited leadership.

As I stand here before you l am convinced that you have that capacity, I am convinced that you will answer that challenge -- for Alaska's people, areas great as their State

Proposed regulations to govern the preparation of three separate rolls of Delaware Indians eligible to share in the distribution of $4 million in Indian Claims Commission awards are being published in the Federal Register, Commissioner of Indian Affairs William E. Hallett said today.

On August 1, 1980, President Carter signed legislation (P.L. 96-38) setting forth provisions for the distribution of the judgment funds among four Delaware groups: the Delaware Tribe of Western Oklahoma, Cherokee Delawares, Kansas Delawares and Idaho Delawares.

The law provides compensation to the Kansas and Idaho Delawares for their exclusion from an earlier award divided among the Cherokee Delawares and the Delaware Tribe of Western Oklahoma and then directs that 17 percent of the balance be apportioned to the Delaware Tribe of Western Oklahoma, with the remainder divided on a per capita basis among the Cherokee, Kansas and Idaho Delawares.

The three rolls of Delawares to be prepared are: 1) a tribal membership roll of the Delaware Indians of Western Oklahoma; 2) a descendancy roll of Kansas and Idaho Delawares excluded from the earlier award; and 3) a descendancy roll of Cherokee, Kansas and Idaho Delawares. Comments on the proposed regulations should be sent within 30 days of publication to the Bureau of Indian Affairs, Division of Tribal Government Services 1951 Constitution Avenue, N. W., Washington, D. C. 20245. For further information, call Kathleen Slover at 703/235-8276.

Commissioner of Indian Affairs William Hallett today announced the appointment of Susan Drake to his Public Information Staff in the Washington Office. Ms. Drake, who will head the publications function for the BIA, will be responsible for the annual report, fact sheets, newsletters, brochures and the many BIA publications distributed to the general public.

Hallett said Ms. Drake comes highly qualified for this assignment, being an honors graduate of' the Northwestern University Medill School of Journalism and holder of a Master's degree in journalism from Columbia University Ms. Drake has won several writing awards including the Pulitzer Traveling Fellowship at Columbia in 1977 and the New York City Women’s Press Club Scholarship in 1976

She was a reporter with The Sun Bulletin in Binghamton, New York, in 1975 and interned with Newsday in Long Island, New York, in 1976 before joining Newsweek as Assistant Editor in 1977, Ms. Drake was Associate Editor for Newsweek from 1978-1980. Ms. Drake was born on a farm near Louisville, Kentucky, and grew up in a suburb of St. Louis.

The Bureau of Indian Affairs has agreed to provide neutral observers for the May 26 election of officials of the Red Lake Band of Chippewa Indians of Minnesota.

Roy Sampsel, Interior's Deputy Assistant Secretary for Indian Affairs, said the four Departmental and BIA observers are being provided at the request of Band officials. "We will make technical assistance available regarding the conduct of balloting to choose three officers and four district representatives to serve four-year terms on the Band's governing body,” he added.

The request for the observers came during Sampsel's April 3 visit to the Red Lake Reservation. The first phase of technical assistance was provided on April 21 when two BIA representatives were sent to the reservation to become acquainted with election procedures and make suggestions for their improvement.

In an effort to help assure that all concerned parties are given fair treatment in the May 26 election. Departmental representatives will observe each state in the election. Sampsel said that if the observers are convinced that the election has been properly conducted, the Department will promptly recognize the results.

The four representatives will be named in early May.

The Minerals Management Service (MMS has extended the deadline to five days for oil and gas operators to report the startup of production from new wells or wells recompleted in new intervals on Federal and Indian lands.

MMS Director Harold E. Doley, Jr., said the previous one-day deadline for reporting the startup of production to district supervisors was impractical.

"To avoid penalties, operators felt compelled to hand-deliver written notifications, sometimes at great expense," Doley said.

The Commission on Fiscal Accountability of the Nation's Energy Resources had recommended that operators immediately report the start of new production from every well -- not just a one-time notification when the first well on a lease begins production -- as a way to tighten Federal royalty collections from onshore and offshore leases. The new requirement has been made a condition for district supervisors to grant applications for drilling permits and is effective immediately.

The Senate Energy and Natural Resources Committee has also recognized the validity of a five-day deadline in its consideration of the Federal Royalty Management Act of 1982 (S. 2305).

Doley said the new deadline "will accommodate the concerns of operators by setting a practical deadline, while still meeting the intent of the Commission’s recommendation for immediate reporting of production starts."

Continuing a program he initiated in July to speed the settlement of Indian water claims through negotiation rather than litigation, Interior Secretary James Watt will meet today with a delegation of Indian leaders, western industry spokesmen and Governors.

"This is part of our cooperative, Good Neighbor Policy of discussing and negotiating problems facing the Indian tribes, the State and the Federal Governments," Watt said.

"This meeting was requested by the Western Regional Council in an effort to help achieve the goals I announced five months ago when I established the machinery to negotiate Indian water rights claims as expeditiously as possible both for the benefit of the Indian and non-Indian communities," Watt said. "Although the program is only five months old it already has made substantial progress, negotiating a settlement to the Papago water claim in Arizona and identifying other claims where negotiations may be fruitful.

"The concept was endorsed in a letter to me signed by spokesmen for the Western Regional Council, the Western Governors' Policy Office, the Council of Energy Resources Tribes, the Native American Rights Fund, and the National Congress of American Indians. In that letter they asked for this opportunity to discuss additional steps they believe would speed the process we had already begun.

"There are more than 50 claims," Watt noted, "and each one is unique. We are approaching this on a case-by-case basis, and we are not forcing negotiation on any of the parties. We are giving the highest priority to providing the support of this Department where it is requested and where there is a fair chance that our efforts will help bring about settlement."

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(Attached is a background paper outlining the meeting and the July 14, 1982, press release which announced the program.)

Western Indian Water Rights Negotiations

BACKGROUND

On July 14, 1982, Secretary Watt established an Interior Pol icy Advisory Group and set up the machinery to help resolve outstanding Indian water claims through negotiation. The first major action under this process was the successful negotiation of an agreement to settle the Papago claims in Arizona. The Department is identifying other claims where this program could help speed settlement and is involved in other negotiations. There presently are pending over 50 court cases involving Indian claims to Western water. Additionally, many tribes have formally asserted other water claims as a prelude to bringing suit, and other tribes have claims still in a nascent stage. Many of the cases have been pending for over 10 years, and the oldest was filed in 1915. Thus, litigation clearly does not afford a prompt resolution of tribal claims to water.

REAGAN ADMINISTRATION POLICY

On June 1, 1982, President Reagan strongly endorsed negotiated settlement as "The most appropriate means of resolving Indian water rights disputes". The President set two basic rules for this process. First, the United States must be a major party in the negotiations if its interests will be affected and second, local water users and other defendants in pending litigation must make a fair contribution to any settlement.

INTERIOR PROGRAM TO IMPLEMENT THE POLICY

A. Institutional Mechanism

Earlier this year, Secretary Watt responded to the President's direction by creating the Interior Policy Advisory Group on Indian water claims. He designated Solicitor William H. Coldiron to chair the Group, which includes all assistant secretaries and bureau directors whose programs might be affected by Indian water rights litigation. Deputy Under Secretary William P. Horn was named coordinator-of negotiations, and works with a team which includes Lawrence J. Jensen, Associate Solicitor for Indian Affairs and David G. Houston, Deputy Assistant Secretary for Land and Water Resources. Subsequent to the successful Papago negotiations, former Deputy Solicitor David E. Lindgren was brought back to the Department to act as deputy coordinator and special counsel for negotiations.

Assistant Secretary for Indian Affairs, Kenneth L. Smith; Assistant Secretary for Land and Water Resources, Garrey E. Carruthers; Assistant Secretary for Fish and Wild life and Parks G. Ray Arnett Bureau of Reclamation Commissioner, Robert N Broadbent, Fish and Wildlife Service Director, Robert Jansen; and National Park Service Director, Russell Dickenson.

Department staff has begun a systematic review of all pending litigation and known claims which have not yet been filed in court to assess their susceptibility to a negotiated settlement. In this process, the Department has sought and will continue to seek the advice of the governor of each affected state, the chair of each affected tribe, and leaders of Indian and water user organizations.

B. Departmental Program for Negotiations

Each Indian water rights case is unique. Each case varies from the others as to the development potential of the reservation involved, the abundance or scarcity of water, the type and extent of non-Indian development which uses water, the equities attendant to the non-Indian development, and the willingness of the affected parties to enter negotiations.

The elements of the Department's settlement program take all these factors into account. First, future negotiations will occur only when the Tribe whose claim is involved and the affected non-Indians (State, municipalities, and private water users, as the case may be) evidence some interest in beginning the settlement process. Second, because each negotiating situation is unique, the Department recognizes that the appropriate accommodation among the parties will be unique. Thus, an approach followed in one situation cannot serve as a precedent for the settlement of another. Third, in a given case, where the tribe and State or other non-Indian parties agree on a particular resolution to the dispute, the Department will acquiesce-in that agreement (and not seek to impose on those parties its idea of a better settlement) if such restraint will not prejudice the legitimate interests of the United States or of the tribe. Fourth, the basic guidelines set by President Reagan will be followed: non-Indians whose water uses are protected by any settlement must make a substantial contribution to it, and the Federal government must be a major participant when Federal interests are affected.

In sum, the Department's program is a process which allows all the parties to a particular. Indian water rights controversy, including the United States, to devise substantive terms for settlement which accommodate the unique facts of that case.

C. Specific Cases In Process

Since the Interior Policy Advisory Group was created five months ago, the Department has successfully concluded formal negotiations in one case and discussions are proceeding in four others.

1. Papago Indian Reservation/City of Tucson (groundwater) Negotiations for agreement in principle successfully concluded, implementing legislation enacted, detailed follow-on contract being negotiated.
2. Fort Peck Indian Reservation/Montana Reserved Water Rights Compact Commission (Missouri River). - Agreement in principle between tribal and State officials is close, draft compact being negotiated.
3. Mission Bands of Indians/City of Escondido and Vista Irrigation District, California (San Luis Rey River) - Formal negotiations in process, economic analysis being prepared by Interior funded consultants.
4. Yakima Indian Nation/State of Washington (Yakima River) - Preliminary informational meetings held with tribal council members, State officials and representatives of local irrigation districts. ·The first phase of a Department and State sponsored study has been concluded, and the second phase has begun.
5. Pyramid Lake Paiute Tribe/Truckee-Carson Irrigation District (Pyramid Lake) - Negotiations in process.

D. Specific Cases under Consideration

Parties to the following disputes have indicated an interest in concerning negotiations:

Nisqually Tribe/Cities of Centralia and Tacoma, Washington.

Fort Berthold Tribe/State of North Dakota.