oversight

Information on Federally Owned Submarginal Land Proposed To Be Held in Trust for the Stockbridge Munsee Indian Community in Wisconsin

Published by the Government Accountability Office on 1971-10-27.

Below is a raw (and likely hideous) rendition of the original report. (PDF)

            REPORT TO COMMITTEE                                       ov 9 793
            ON IN   IOR AND INSULAR                                   AFFAIRS
            UNITED STATES SENAXE.
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            Information. On Federally Owned <Fx-%T
                                               1’                                v




            Submarginal Land Proposed -To B&---.
            Held In Trust For The
            Stockbridge Munsee Indian
            Community In Wisconsin
                                         B-   147652,   B-   147655



            Bureau of Indian Affairs
            Department of the Interior
             E-147652
             B-147655
                                  c;JL

             Dear     Mrc   ChaiTman:

                      In accordance         with your request          of April     1, 1971, this
             is our report       containing       information        on federally      owned sub-
             marginal       land on the Stockbridge             Munsee     Reservation      in Wis-
             consin     proposed      to be held in trust         for the Stockbridge         Mun-
             see Indian       Community.         Gur comments           on S. 1230, which
             would convey        beneficial      interest     in this land to the Indians,
             have been furnished            separately.

                      The information         in this report        updates      information           con-
             tained    in our 1962 report          on the review         of proposed         legislation
             for conveyance        to certain      Indian   tribes      and groups         of submar-
             ginal land administered            by the Bureau          of Indian      Affairs,        De-
             partment     of the Interior        (B-147652,        ~-147655,        August       13,
             1962).

                    A report        updating     information        on land proposed           to be
             held in trust       for the Minnesota           Chippewa      Tribe       in Minnesota
             is also being furnished            separately,        Updated       information        on
             the other     tribes     mentioned       in the 1962 report           will be fur-
             nished   later.

                     We plan to make          no further     distribution  of this report
             unless    specifically      requested,      and then we shall    make    distri-
             bution   only after your agreement             has been obtained      or public
.   -        announcement           has been made by you concerning           the contents
             of the report.

                                                                 Sincerely       yours,




                                                                 Comptroller         General
                                                                 of the United       States

        ( i -c-The Honorable      Henry           M. Jackson,         Chairman                 _, ,
          ’ Committee        on Interior           and Insular        Affairs             y : - s* ’
              United  States   Senate

                                         50Tf-i   ANNIVERSARY            1921-    1971
      COMPTROLLERGENERAL'S REPORT TO                                         INFORMATION ON FEDERALLY OWNED
      THE COMVITTEE ON INTERIOR AND                                          SUBMARGINALLAND PROPOSED TO BE
      INSULAR AFFAIRS, UNITED STATES                                         HELD IN TRUST FOR THE STOCKBRIDGE
      SENATE                                                                 MUNSEE INDIAN COMMUNITY IN
                                                                             WISCONSIN
                                                                         '   Bureau of    Indian  Affairs         6
I                                                                            Department     of the Interior        ? .’
I -                                                                      ,’ B-147652,     B-147655

I
      DIGEST
      ------
I


      WHYTHE REVIEW WASMADE

               The Chairman       of the Senate          Committee    on Interior        and Insular        Affairs,       in
               a letter     dated April        1, 1971, requested           the General      Accounting        Office      (GAO)
               to provide      the Committee           an updated    version      of GAO's 1962 report             on the
               review    of proposed       legislation         for conveyance        to certain      Indian      tribes      and
               groups    of submarginal          land administered          by the Bureau of Indian              Affairs,
               Department      of the Inte"i;li;br       (B-147652,     B-147655,       August    13, 1962).           The
               Chairman     also requested           GAO to examine       into    how conveyance        of the lands          in
               question     can contribute           to the social
                                                                _---    and    economic     development
                                                                                             ".                of    the
               Indian    groups    involved.


      FINDINGS AND CONCLUSIONS

               Under proposed      legislation         beneficial     interest    in 13,077     acres,      more or
               less,   of submarginal          land on or near the Stockbridge            Reservation        in
               Shawano County,       Wisconsin,        would be conveyed       to the tribe      with title        to
               be held in trust        by the United         States   Government.     Using values          of com-
               parable    land published          by the county     assessor,     GAO estimates        that    the mar-
               ket value     of the land to be conveyed             is $600,000.      (See p. 6.)

               Improvements       on the land consist         of 31 houses and a church.      (See p. 8.)
               The unimproved         land is used primarily       for timber   production from which
               the Government,          over the 5-year     period   ended December 31, 1970, received
               revenues     averaging       $14,500 annually.       (See p. 8.)

               According        to the Bureau of            Indian   Affairs,    the submarginal             land has some
               potential        for development           for recreational,        residential,          commercial,      and
               industrial         purposes.        (See     p. 11.)     Bureau and tribal          officials        have stated
               that     the tribe       has not had         the financial     resources         to undertake       such de-
               velopment,         and that   title        to the land is essential              to development         of the
               land's      potential.       (See p.         12.)

               If beneficial         interest      in the submarginal      land is conveyed    to the Stock-
               bridge    Munsee      Community,       the revenues    from timber  cutting    permits,  which
               presently     are     being    collected     by the Government,    would accrue to the
               tribe,    except      for that      portion   the Bureau would charge       to cover its

                                                                                             CT, 27,IW                Il.
                                                                     1
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                   administrative          costs.      GAO believes       that such      revenues       could   help the
                   tribe     advance     its economic         and social     standing,      provided       they are in-
                   vested      in planning,       establishing,        and operating        enterprises        which would
                   employ      Indians and have reasonable               chances of      success.         (See p. 14.)


         I
         I -

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         t




                       Tear Sheet
                            Contents


DIGEST                                                             1

CHAPTER

      1    INTRODUCTION AND SCOPE                                  3
               Stockbridge Munsee tribal   lands                   3
               Submarginal and other reservation         land      6

      2    INFOmTION       ON SrnWIN&          AND TRIBAL L4NDS    8
               Improvements        on submarginal    land          8
               Present uses of submarginal           land          8
               Efforts     to develop submarginal         and
                  tribal     lands                                11
               Planned uses of submarginal           and tribal
                  lands                                           11
               Natural     and mineral     resources              13
               Tribal    financial     resources                  13
               Conclusion                                         14

APPENDIX

      I    Letter     dated April  1, 1971, from the Chair-
             man, Committee onInterior        and Insular
             Affairs,      United States Senate                   16

                             ABSREVIATIONS

BIA        Bureau    of Indian     Affairs

GAO        General    Accounting      Office
COMPTROLLER GENERAL'SREPORTTO                      ~N~~~~T~~N ON FEDERALLYOWNED
THE COeMVITTEEON INTERIOR AND                     SUB~~~~NAL LAND PROPOSEDTO BE
INSULAR AFFAIRS, UNITED STATES                    HELD IN TRUST FOR THE STOCKBRIDGE
SENATE                                            MUNSEEINDIAN COMMUNITYIN
                                                  WISCONSIN
                                                  Bureau of Inda’an Affairs
                                                  Department of the Interior
                                                   B-147652,   B-147655


DIGEST
------

WHYTHE REVIEW WASM4DE
    The Chairman of the Senate Committee on Interior       and Insular Affairs,      in
    a letter  dated April 1, 1971, requested the General Accounting Office (GAO)
    to provide the Committee an updated version of GAO's 1962 report on the
    review of proposed legislation      for conveyance to certain    Indian tribes and
    groups of submarginal   land administered     by the Bureau of Indian Affairs,
    Department of the Interior     (B-147652, B-147655, August 13, 1962).        The
    Chairman also requested GAD to examine into how conveyance of the lands in
    question can contribute    to the social and economic development of the
    Indian groups involved.

E'INDINGS AND CONCLUSIONS

     Under proposed legislation     beneficial  interest  in 13,077 acres, more or
     less, of submarginal     land on or near the Stockbridge    Reservation in
     Shawano County, Wisconsin, would be conveyed to the tribe with title       to
     be held in trust by the United States Government.        Using values of com-
     parable land published by the county assessor, GAO estimates that the mar-
     ket value of the land to be conveyed is $600,000.        (See p. 6.)

     Improvements on the land consist of 31 houses and a church.   (See p. 8.)
     The unimproved land is used primarily for timber production from which
     the Government9 over the &year period ended December 31, 1970, received
     revenues averaging  $14,500 annually. (See po 8.)

     According to the Bureau of Indian Affairs,        the submarginal         land has some
     potential  for development for recreational)        residential,      comercial,    and
     industrial   purposes.    (See pa 11.)   Bureau and tribal       officials     have stated
     that the tribe has not had the financial       resources to undertake such de-
     velopment,   and that title   to the land is essential        to development of the
     land's potential.      (See p. 12.)

     If beneficial       interest   in the submarginal  land is conveyed to the Stock-
     bridge Munsee       Community, the revenues from timber cutting permits, which
     presently     are   being collected   by the Government, would accrue to the
     tribe,    except    for that portion the Bureau would charge to cover its
administrative   costs.     GAO believes   that such revenues could help the
tribe advance its economic and social standing,         provided     they are in-
vested in planning,     establishing,    and operating  enterprises      which would
employ Indians and have reasonable        chances of success.       (See p. 14.)




                                        2
                                  CWTER      1

                         INTRODUCTION AND SCOPE

        Pursuant     to a request dated April       1, 1971, from the
Chairman of the Senate Committee on Interior                and Insular
Affairs      (see app. I>, the General Accounting           Office has ob-
tained     information    to update certain     factual     data contained
in our August 1962 report         on submarginal      land administered
by the Bureau of Indian Affairs          (BIA),     Department of the
Interior.      1 That report    was submitted     to the House and Sen-
ate Committees on Interior         and Insular     Affairs.

       The Chairman's   request was made in connection        with a
bill   which would convey beneficial      interest   in certain    fed-
erally   owned submarginal     land to the Stockbridge     Munsee In-
dian Community in Wisconsin with title          to be held in trust
by the United States Government.         This report   presents    up-
dated information     on those lands.

        To obtain    the information,         we reviewed      pertinent     rec-
ords and interviewed         officials       at BIA headquarters          in Wash-
ington,     D.C.; the BIA Area Office            in Minneapolis,        Minnesota;
the BIA Great Lakes Agency Office                in Ashland,     Wisconsin;
and the Stockbridge        Reservation.          We also interviewed         the
Agriculture      Department's       District     Conservationist         and a ge-
ologist     of the U.S. Geological           Survey, Department of the In-
terior,     to obtain   their      opinions    on certain      matters within
their    areas of expertise.

STOCKBRIDGE MUNSEE TRIBAL LARDS

       The Stockbridge     and Munsee Band of Mohican Indians   set-
tled in Wisconsin      in the second decade of the 1800s.     Under
treaty   arrangement     of September 23, 1822, this group acquired


1Report    on Review of Proposed Legislation      for Conveyance to
 Certain    Indian    Tribes and Groups of Submarginal   Land Admin-
 istered    by Bureau of Indian     Affairs, Department  of the In-
 terior    (B-147652,     B-147655, August 13, 1962).



                                         3
lands in a locality then known as Stockbridge             between    what
is now Kaukauna and Green Bay, Wisconsin.

        Under the Treaty of 1856, the Stockbridge             and Munsee
Indians    ceded to the United States their             land at Stock-
bridge,    Wisconsin,    and some land in Minnesota.           In consid-
eration    of this transfer,    the United States selected           and
gave the Indians      for their   reservation       a tract   of land in
Shawano County in east central         Wisconsin near the southern
boundary of the Menominee Indian           reservation,      now Menominee
county.

      Under the Act of February   6, 1871, the tract of land
set apart under the Treaty of 1856 was appraised      and sold
by the United States for the benefit      and relief of the
Stockbridge   and Munsee Indians,  except

      'I*** not exceeding      eighteen   contiguous     sections,
      embracing such as are now actually            occupied and
      improved,      and are best adapted to agricultural
      purposes,      subject to allotment     to members of the
      Indian    party of said tribe     **.sr

The act further     provided    that the allotments    be held in
trust  for individuals       or their   heirs and that any surplus
lands be held either       subject    to allotment  or be disposed      of
for the common benefit        of the tribe.

      Under an act for the relief         of the Stockbridge  and
Munsee Indians,     approved on March 3, 1893, all tribal        mem-
bers who acquired      possession   of lands under the allotments
of 1856 and 1871, and who since then, by themselves           or by
their  lawful   heirs,   had continuously      resided on the lands,
were declared    to be the owners of such lands.

      Between 1893 and 1909 the Federal Government gave title
to the Indians  who then apparently  sold or disposed of the
land because Federal jurisdiction   had been removed.

       Under the Indian Reorganization         Act of 1934 (25 U.S.C.
4651, the Government purchased 1,050 acres of former reser-
vation    lands, together   with existing      improvements.    In
March 1937 the Secretary       of the'Interior      established   the new
Stockbridge     Reservation  and the land was placed in tribal
trust.   Over the following     4 to 5 years the Government pur-
chased 1,200 additional     acres of former reservation          lands
pursuant   to the authority    of the Indian     Reorganization      Act.
These purchases brought     the new Stockbridge       Reservation      to
its present   size of 2,250 acres.       Ascording    to BIA records,
the Government paid a total       of $22,534 for the 2,250 acres
which is held under tribal      trust.




                                     5
 SUBMARGINAL AND OTHER RESERVATION LANDS

        In addition    to the tribal trust    lands, the former res-
ervation     land consists   of submarginal     land owned by the
Government and land owned by individuals            and timber compa-
nies.     The submarginal    land owned by the Government,       in-
cluding     40 acres of such land near but outside         the bound-
aries of the former reservation,         is the land in which bene-
ficial    interest   is proposed to be conveyed to the Stock-
bridge Munsee Community.

       The submarginal   land was acquired    by the Government
under the provisions     of title   II of the National      Industrial
Recovery Act of June 16, 1933 (48 Stat. 2001, the Emergency
Relief   Appropriation   Act of April    8, 1935 (49 Stat, 1151,
and section    55 of the Act of August 24, 1935 (49 Stat. 750,
781).    The land, purchased at a cost of $69,546,         comprises
13,077 acres including      the 4.0 acres located   outside     the
boundaries    of the former reservation.

        On the basis of land values published           by the county
assessor's      office    for the various    types of lands (forest,
agricultural,        and swamp and wastelands),       applied   to the
acreages of the types of lands as classified                in a BIA in-
ventory,      we estimate     that the current    market value of the
submarginal      land is $600,000.        In 1962 we reported     that the
market value of this land, estimated             on the same basis, was
$214,4.00.

        The following                                      table shows the present    classes of owner-
 ship of the land                                        comprising the original   Stockbridge  Munsee
 reservation.
                                                          Ownership                                                                            Acres
                      Tribal  trust                                                                                                        2,250
                      Government-owned                                      (submarginal)                                                 12,997a
                      Other (individuals                                      and timber
                         companies)                                                                                                            7,868
                                    Total              acres                                                                              23,115
afhis      figure       does not include          the 4C-acre        parcel    located     near but outside     the       boundaries           of the reservation,   or another
  40-acre        parcel,    located     within      the reservation,        for which        the Government’s         title    was     found      to be defective.     Good
 title    to this Parcel          is apparently        held by the State            of Wisconsin.




                                                                                              6
      BIA Great Lakes Agency records showed that about 500
Indians lived on or near the reservation  as of March 1971.
At the time of our 1962 review, agency officials   told us
that  about 200 Indians lived on or near the reservation.
We did not examine into the reasons for the significant    in-
crease in the number of Indians residing on the reservation.




                                7
                           AND TRIBAL EMDS

ImRo!7EB!ENTs ON SUBI!tAFGINAIJ IdND

      BIA and tribal  representatives     told us that they were
unaware of any major improvements      on the submarginal   land
since 1962 when the improvements      consisted  of about 36
houses and a church.     As of August 1971, improvements      on the
submarginal  land consisted     of 31 houses and the church.

        The tribeDs    business administrator         told us that a youth
building,     financed   with $8,500 contributed          by a private
foundation,      was under construction         on the submarginal     land
and that arrangements        were being made to include         a baseball
diamond and other outside           sport facilities      on a 20-acre par-
cel of the submarginal         land.

PRESENT USES OF SUBMARGINAL LAND

      The unimproved    submarginal   land is used primarily      for
the production    of timber under a timber management plan im-
plemented by BIA foresters       in 1963,  The principal     market-
able species are maple, aspen, hemlock, yellow birch,            and
basswood.

       During     calendar   year 1970, BIA issued 34 permits for
harvesting      timber from the submarginal     land, from which
revenues of        $13,836 accrued to the Government.      From incep-
tion of the       timber management plan in 1963 through the end
of calendar       year 1970, the Government received     timber per-
mit revenues        of $86,142.   Over the 5-year period ended De-
cember 31,      1970, these revenues averaged $14,500 annually.

       All of the 1970 permits were issued to tribal           members
who sold the harvested       timber to timber companies and indi-
vidual    non-Indians.   These timbering    activities     provided
about 8 man-years of employment to tribal            members.    Free-
use permits were issued to tribal        members who needed timber
for their     personal uses,
       None of the submarginal   land was leased by BIA but it
has issued revocable   permits to the tribe       for three parcels
which comprise a total    of less than 10 acres.         The tribe
uses one land parcel for tribal      headquarters      and subpermits
the other two parcels   to a church and a used car dealer.
The car dealer pays the tribe      $50 annually     for the subper-
mitted   land.

       BIA foresters     and the Agriculture      Department's   District
Conservationist      told us that timber production        was the most
economical      use of the submarginal      lands (and tribal    lands as
well).     A BIA forester    told us that the next best use would
be to develop rivers       and streams into recreational       areas.

       In the fall   of 1969 BIA took an inventory      of the utili-
zation of the submarginal      and tribal   lands on the Stockbridge
reservation.      The reported  results   were as follows.

                                                  Acres
                                           Submar-     Tribal
                       Use                  pinal       trust

              Forest                        12,399       1,972
              Agriculture                       286          67
              Swamp or wasteland                352         211

                   Total     acres          13,037       2,250

       Of the submarginal  land suitable  for agriculture,    160
acres were being farmed at the time of our review.         The re-
maining 126 acres of such land consisted      of small scattered
parcels   sometimes used for producing   hay.

        Prior to 1960, the tribal        council    made assignments      of
parcels      of the submarginal     land to members of the community.
Revenue from the assignments           accrued to the tribe.         Some of
the assignees       built houses and other improvements           on these
tracts.       In 1960, the Commissioner       of Indian Affairs       de-
clared the assignments        null and void because the Bureau held
title    to the submarginal      land and the tribe       had no valid     au-
thority      over such land.     He stated,      however,  that other ar-
rangements       should be made for the assignees'         continued     occu-
pancy of the land.


                                       9
       The Commissioner   recommended that the Bureau issue re-
vocable permits to the tribe      and that the tribe       issue sub-
permits to those using the land.        No revocable     permits,      ex-
cept for the three mentioned      above, have been issued and the
tribe   continued  to make assignments    to its members.         At the
time of our review,     about 6,200 acres of submarginal          land
had been assigned by the tribe      in parcels    ranging     in size
from 2 to 40 acres and the tribe       has continued     to charge a
fee of $2 to $10 for each assignment.
                                        .



    EFFORTS TO DEVELOP SUBMARGINAL AND TRIBAL LARDS

         Except for the timber management plan implemented     in
    1963, efforts   to develop the submarginal and tribal  lands
    have not resulted   in significant changes in the use of the
    lands since 1962.
           In 1965 the Great Lakes Agency Office prepared                  a real
    estate planning         report on the tribal    and submarginal         lands.
    In addition     to timber production        and harvesting,       the report
    cited as other potential         uses for reservation        lands (1) de-
    velopment    of recreational       areas to include      camping, hunting,
    and fishing     facilities,     (2) residential     housing,      and (3) com-
    mercial    and industrial      development.     The  report     did    not show
    separately    the acreages of tribal         and submarginal        lands suit-
    able for those purposes.

            The Agency Office's      land     records and our discussions
    with the tribal       land chairman         indicated      that,   following
    the issuance of the 1965 real             estate planning        report,       the
    Stockbridge       Munsee Community      inquired       into the prices of
    various     privately    owned lands      within     the reservation,          in-
    cluding     a tract   of 160 acres      adjacent       to a trout      stream for
    use as a recreation        area.    A   lack of funds prevented              the
    tribe    from purchasing      any of    the lands.

          Neither    the tribe      nor BIA had any detailed       plans for
    other recreational       activities    showing specific      locations,
    types of activities,        or estimates      of funds needed to develop
    the recreational     potential      of tribal    or submarginal      lands.

    PLANNED USES OF SUBMARGINAL
    AND TRIBAL LANDS
.
          BIA and tribal      officials told us of the following pro-
    posed projects     which would be located   on or make use of sub-
    marginal   or tribal    lands.

            In July 1971, BIA and tribal       officials        held discussions
    with a non-Indian       firm that was interested          in locating     a
    plant for recycling         plastics on submarginal         land.    The avail-
    ability    of water was a principal      factor      in considering       the
    desired     location.      The company's proposal       would require       the
    Stockbridge       Munsee Community to provide        sufficient      land, a

                                            11
    good road, a rail    siding,    an initial    cash investment     of
    $250,000,  and other financing,        as warranted,   for a 30-percent
    share in the profits      of the recycling     plant after    debt re-
    tirement.   No decision      had been made on the proposal        at the
    time of our review.
-
          The tribe has also applied     to         participate     in a program,
    sponsored by the Upper Great Lakes              Regional    Commission, un-
    der which Indians   would be trained            to operate and manage a
    wild rice paddy project.    A tribal            official    told us that
    the tribe   has two trainee candidates              and is looking   for two
    more.

           Tribal     officials      also told us that the Department          of
    Housing and Urban Development                had approved the financing
    for the construction           of 40 houses under its turnkey          III
    program.       Under turnkey        III,    a developer   constructs   the
    house for the tribal           housing authority        and the Indian
    family    obtains       an equity      in the house through monthly pay-
    ments and through maintenance                of its house.

           BIA and tribal      officials       cited financial      limitations
    as the principal      deterrent        to further     development      of reser-
    vation    land.    The officials         emphasize the tribe's         need to
    obtain    title  to the submarginal            land as essential       to devel-
    opment of the land's         potential.          They said that the income
    now accruing     to the Government from timber cutting                   on the
    land was needed as a source of funds for developing                       land
    resources.

          A Bureau official       told us that,  if beneficial       interest
    in the submarginal       land is conveyed to the tribe,        the Bu-
    reau would continue        to manage and protect    the forest      land
    and administer     timber sales,     The Government would retain
    5 or 10 percent      from the gross timber cutting        revenues to
    cover these costs in whole or in part,           as required     by the
    Federal regulations        (25 CFR 141.18).




                                            12
                                          ,      ,



NATURAL AND MINERAL          RESOURCES

        The soil on the reservation             is predominantly         medium
textured      loam and silt        loam topsoil     on rolling      topography
with many stones and boulders.                Agency and tribal          represen-
tatives      stated they knew of no mineral            surveys or of any
potentially        valuable     minerals    on the submarginal         land other
than a limited         amount of sand and gravel.              In response        to a
BIA request        for information       concerning    certain      submarginal
land projects,         the Director      of the U.S. Geological            Survey
said in October 1970 that the submarginal                    land on the Stock-
bridge Reservation           was without     value for minerals,           either
metalliferous         or nonmetalliferous.          A Geological       Survey
geologist       told us, however,        that this opinion        was based on
several     available       sources of information         and that the Geo-
logical     Survey had not made a detailed             survey on the Stock-
bridge Reservation.

     BIA and tribal    officials      stated that the submarginal
land which is adjacent       to streams is suitable   for summer
home sites and recreational        purposes.

TRIBAL    FINANCIAL      RESOURCES

      The tribal   records as of May 8, 1971,                 showed a cash
balance of $3,154 and liabilities    of $285.                  We did not ver-
ify these figures.

      Buildings      on tribal lands were the same ones shown on
the tribal     records in 1962 as having cost $3,500.

      The tribe  has made no recent efforts      to appraise its
land.   However, a tribal    balance sheet prepared by BIA's
Great Lakes Agency Office,      but not verified   by us, showed
the value of the tribal    land as $124,759 as of December 31,
1961.   The basis for the valuation     was not shown.

        The Stockbridge    Munsee Community expects to receive
about $137,000 as its share of an Indian Claims Commission
award to three tribes       in Wisconsin      in settlement    of claims
arising    out of treaties     entered   into between 1832 and 1835.
The tribe    plans to distribute       a portion    of the award to its
members on a per capita basis and retain              the balance for
development     of tribal   resources.      The tribe    has made no

                                          13
                                      l        .




        decision regarding the amounts to be distributed      and re-
        tained for development.
        CONCLW%ON
    .          If beneficial  interest    in the submarginal land is
        transferred   to the Stockbridge Munsee Community, the reve-
        nues from timber-cutting       permits, which presently are being
        collected by the @verment,         would accrue to the tribe,
        except for that portion the Bureau would charge to cover
        its administrative    costs.     Such net revenues could help the
        tribe advance its economic and social standing, provided
        they are invested in planning, establishing,        and operating
        enterprises   which would employ Indians and have reasonable
        chances of success.




.




                                          14
            l        .




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    c




        APPENDIX




.




                15
                                                                                 APPENDIX I




m        B-147652
     i B-147655                                         April       1, 1971


             Honorable   Elmer B. Staats
             Comptroller   General of the         United        States
             Washington,    D. C.

             Dear Elmer:

                            This letter is in reference     to the Comptroller
             General's      Report on Submarginal   Land which was submitted              to
             the House      and Senate Committees   on Interior   and Insular            Affairs
             on August      131 1962.

    ij
         3               Recently,   Senator   Gordon Allott,      ranking       minority
             member of the Committee,       and I introduced     two bills        S. 1217 and
             S. 1230 to convey beneficial       interest    in submarginal          lands to
             the Indians    on the White Earth Reservation          in Minnesota          and the
             Stockbridge    Munsee Indian    Community in Wisconsin,           respectively,
             with title   to be held in trust      by the United       States     Government,
             The bills   were based on Executive        Communications       transmitted        to
             the Congress by the Administration.

                         Hearings     were held on the proposed           legislation     on
             March 26# 1971, with testimony          being presented         by Administration
.            and tribal   officials,,       The proposed     legislation       was discussed
             before   the full     Committee   in executive       session    on March 31, 1971.
             At that timeo Senator Allott          moved that the two bills           be tabled
             until   such time as the Comptroller           General could present         the
             Committee   with an updated revision           of the 1962 report.

                            Please consider     this    letter    an official     request  to
             have your      staff   begin an updating        of the document in question,
             Alsos you      or representatives       from your office         may find it
             useful   to    discuss    this matter     with Mr. Jerry       T. Verkler,   Staff
             Director      of the Committee.

                            In preparing  for the revision,    I believe           it is
             important      for you to give recognition     to the fact          that both
                                                          4          .                 APPENDIX      I


            Honorable      Elmer    B, Staats                  -2-             April     1, 1971


            the Administration             and Congress have, in a sense, repudiated
            the so-called          "termination"         policies    of the 1950's.           President
            Nixon's      Indian     Message to Congress of July 8, 1970, clearly
    a       states      a policy      of "Self-Determination,             without     Termination,"
            Also* during         the past Congressr             a number of concurrent           resolu-
            tions     repudiating        termination        as a policy       in the Indian        field
            were introduced            in both Houses of Congress,                 The multi-agency
            involvement        in Indian        affairs     with identifiable         Federal
            expenditures         in excess of $625 million              in the 1971 fiscal
            year is further           evidence       that we view development            of the
            human and natural            resources       of our Indian       citizens     as a more
            realistic       approach to this            complex problem,

                        E am hopeful         that the updating        of your 1962 Report on
            Submarginal    Lands will       be undertaken      within    the more positive
        I   climate   of Indian     affairs      today,    and that your staff     will   examine
            closely   how the conveyance           of the lands in question       to Indian
            tribes   can contribute        to their     social   and economic    advancement.

                       Enclosed     are copies     of S, 1217 and S. 1230 currently
            pending before    our Committee.        Will    you please      review these
            bills  now and submit an immediate           report    to the Committee      on
            them to expedite     our consideration         of this   legislation,

                           With    every    good wish8




*   .




            HMJ:fgr
            Enclosures

            Note:    Copies of S. 1217 and S. 1230 have not been reproduced herein.
                     The requested report on the bills is being furnished  separately.




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