Ask the Scholar
Document scope · 1 page
Scholar
Ask about this object, its catalog metadata, its source description, or the page inventory.
For page-specific OCR and visual context, open one of the page chats.
Scholar Source Context
Document identity
localId
1669676
label
1976/10/18 S1659 Judgement Funds for Grand River Band of Ottawa Indians
core
doc
dtoType
document
citationUrl
pageCount
1
Source metadata
id
1669676
sourceUrl
contentType
document
title
1976/10/18 S1659 Judgement Funds for Grand River Band of Ottawa Indians
citationUrl
collections
White House Records Office: Legislation Case Files
Legislation Case Files
subjects
Michigan
Legislation
thumbnailUrl
largeImageUrl
imageCount
1
hasImages
yes
source
import
hasTranscription
no
Source extras
naId
1669676
coverageEndDate
logicalDate
1976-10-31
month
10
year
1976
coverageStartDate
logicalDate
1976-10-01
month
10
year
1976
levelOfDescription
fileUnit
recordType
description
ocrSource
nara-archive
Single page context
seq
1
pageIndex
0
type
document
mediaId
d01c68fd2ac05f7a
ocrText
The original documents are located in Box 65, folder "10/18/76 S1659 Judgement Funds for
Grand River Band of Ottawa Indians" of the White House Records Office: Legislation
Case Files at the Gerald R. Ford Presidential Library
Copyright Notice
The copyright law of the United States (Title 17, United States Code) governs the making of
photocopies or other reproductions of copyrighted material. Gerald R. Ford donated to the United
States of America his copyrights in all of his unpublished writings in National Archives collections.
Works prepared by U.S. Government employees as part of their official duties are in the public
domain. The copyrights to materials written by other individuals or organizations are presumed to
remain with them. If you think any of the information displayed in the PDF is subject to a valid
copyright claim, please contact the Gerald R. Ford Presidential Library.
Exact duplicates within this folder were not digitized.
APPROVED OCT 18
& 10/18/16
THE WHITE HOUSE
ACTION
WASHINGTON
Last Day: October 19
October 16, 1976
Net
MEMORANDUM FOR
THE PRESIDENT
1/18/18/76
FROM:
JIM CANNON
SUBJECT:
S. 1659 - Judgment Funds for Grand
River Band of Ottawa Indians
archies
10/18/76
Attached for your consideration is S. 1659, sponsored by
Senators Hart and Griffin.
The enrolled bill provides for the disposition of funds
appropriated to pay a judgment in favor of the Grand River
Band of Ottawa Indians made by the Indian Claims Commission.
S. 1659 is necessitated by the inability of the Secretary
of the Interior and the affected Grand River Band of Ottawa
Indians to agree upon a plan, pursuant to the Indian Judgment
Funds Distribution Act.
In addition to providing for the actual distribution of judgment
funds, S. 1659 provides for:
-- the division of funds among members of the Grand River
Band of Ottawa Indians (one-fourth degree blood or more)
enrolled as of a certain date or meeting other designated
criteria;
-- the Secretary of the Interior to determine the final
eligibility of all applicants and to establish procedures
for distribution of judgment funds to enrollees, their
heirs or legatees; and
-- exempts per capita payments under the Act from Federal and
State income taxes and from consideration as income or
resources under the Social Security Act or any other
Federal or federally assisted program, such as food stamps.
Except for the blood quantum provision and the exclusion of
per capita payments from eligibility criteria for any Federal
or federally assisted program, the bill conforms with what
Interior supported in committee.
SEALS
Digitized from Box 65 of the White House Records Office Legislation Case Files at the Gerald R. Ford Presidential Library
2
A detailed explanation of the provisions of the enrolled bill
is provided in OMB's enrolled bill report at Tab A.
Agency Recommendations
The Department of Agriculture recommends disapproval of S. 1659
on the grounds that the exemption of the per capita payments
from eligibility tests concerning the food stamp program
should not be allowed.
The Department of the Interior recommends approval of S. 1659.
OMB recommends approval because:
"Given the one-time nature of these payments, the desirability
of obtaining a final resolution of the protracted dispute
between Interior and the Grand River Ottawa Band, and the
fact that there already exists a number of inconsistencies
in the way in which various benefits are treated in determining
eligibility for various Federally assisted programs, we do
not believe that the bill contains sufficient objectionable
features to recommend disapproval. Moreover, the provision
that exempts these funds from eligibility determination for
all Federal programs is identical to language in a similar
Indian fund disposition bill which you approved on December
31, 1975."
Staff Recommendations
Max Friedersdorf, Counsel's Office (Kilberg), Bill Baroody
(Patterson) and I recommend approval of the enrolled bill.
Recommendation
That you sign S. 1659 at Tab B.
RESIDENT
EXECUTIVE OFFICE OF THE PRESIDENT
OFFICE
OFFICE OF MANAGEMENT AND BUDGET
STATE
STATES
WASHINGTON, D.C. 20503
OCT 13 1976
MEMORANDUM FOR THE PRESIDENT
Subject: Enrolled Bill S. 1659 - Judgment funds for Grand
River Band of Ottawa Indians
Sponsor - Sen. Hart (D) Michigan and Sen. Griffin
(R) Michigan
Last Day for Action
October 19, 1976 - Tuesday
Purpose
Provides for the disposition of funds appropriated to pay
a judgment in favor of the Grand River Band of Ottawa
Indians made by the Indian Claims Commission.
Agency Recommendations
Office of Management and Budget
Approval
Department of the Interior
Approval
Department of Health, Education
and Welfare
Defers to Interior (Informally)
Indian Claims Commission
No recommendation
Department of Agriculture
Disapproval (Memoran-
dum of Disapproval
attached) (Informally)
Discussion
The Indian Judgment Funds Distribution Act of 1973 author-
izes the Secretary of the Interior to cooperate with
affected Indians in the development of plans for the use
or distribution of payments on claims adjudicated by the
Indian Claims Commission or the Court of Claims. The Act
requires that such plans be submitted to Congress and
2
if neither the Senate nor the House of Representatives
disapproves the plan it becomes operative. Whenever
major policy issues arise between the recipient group
and the Secretary as to the content of the plan, the
Act provides further that the Secretary may submit legis-
lation to Congress providing for distribution.
S. 1659 is necessitated by the inability of the Secre-
tary of the Interior and the affected Grand River Band
of Ottawa Indians to agree upon a plan, pursuant to the
Indian Judgment Funds Distribution Act.
On March 27, 1967, the Indian Claims Commission approved
a monetary award of $932,620 to the Grand River Band of
Ottawa Indians as payment for certain of their lands.
Funds to pay the award were appropriated by the Congress
in 1968. However, when the Secretary of the Interior
submitted the plan for distribution of the Grand River
Band funds to the Senate, a majority of the Band opposed
it on the grounds that although Band descendants are not
federally recognized and they have no formally organized
political entity to receive funds, eligibility to share
in the award should be strictly limited to those who have
one-fourth Grand River Ottawa Indian blood. Following
congressional inaction during the statutory 60-day review
period, the Secretary withdrew the plan in order to accom-
modate those members of Congress who opposed it because
it did not limit eligibility by blood quantum. In
accordance with the Indian Judgment Funds Distribution
Act, legislation similar to S. 1659 was introduced in
the 92nd and 93rd Congresses by Senator Hart, but it
expired at the end of those Congresses.
In addition to providing for the actual distribution of
judgment funds, S. 1659 provides for the division of
funds among members of the Grand River Band of Ottawa
Indians (one-fourth degree blood or more) enrolled as
of a certain date or meeting certain other designated
criteria; provides for the Secretary of the Interior to
determine the final eligibility of all applicants and
3
to establish procedures for distribution of judgment
funds to enrollees, their heirs or legatees; and,
exempts per capita payments under the Act from Federal
and State income taxes and from consideration as income
or resources under the Social Security Act or any other
Federal or federally assisted program, such as food stamps.
Except for the blood quantum provision and the exclusion
of per capita payments from eligibility criteria for any
Federal or federally assisted program, the enrolled bill
conforms with what Interior had supported in committee.
These non-conforming features are discussed below.
Agency Comments
In its enrolled bill letter, Interior expresses regret
that Congress did not delete the one-fourth Grand River
Ottawa blood restriction from S. 1659, but states that
"in light of the long delay in the distribution of funds
and the insistence of the Indians and the Congress on
the blood degree requirement, we do not believe this pro-
vision should prevent Presidential approval of the enrolled
bill. " Interior also notes:
"With regard to the provision of section 6
which exempts these funds from eligibility
determination for Federal benefits, recent
statutes have provided precedent for such
a provision
Further, insofar as this
provision applies to the Social Security
Act, it is consistent with section 7 of
the Indian Judgment Fund Distribution Act
which exempts these funds from eligibility
consideration for Social Security benefits
this distribution is only a one-time pay-
ment for the specific purpose of redressing
a legal wrong by the United States
[and]
not to provide an accession to wealth or
on-going income."
4
HEW has advised us that they have no objection to the
exemption of these per capita payments from eligibility
tests concerning the food stamp and other federally
assisted programs. Taking a different view, Agriculture
recommends veto on the grounds that such exemptions should
not be allowed with respect to the food stamp program.
Recommendation
Given the one-time nature of these payments, the desir-
ability of obtaining a final resolution of the protracted
dispute between Interior and the Grand River Ottawa Band,
and the fact that there already exists a number of anom-
alies and inconsistencies in the way in which various
benefits are treated in determining eligibility for various
federally assisted programs, we do not believe that the
bill contains sufficient objectionable features to warrant
disapproval. Moreover, the provision that exempts these
funds from eligibility determination for all Federal pro-
grams is identical to language in a similar Indian fund
disposition bill which you approved on December 31, 1975
(P.L. 94-189) Accordingly, we concur in Interior's con-
clusion that:
"In our judgment the need for this legisla-
tion outweighs the reservations outlined
...
and we recommend that the President approve
the enrolled bill."
James T. Lynn
Director
Enclosures
THE WHITE HOUSE
10
ACTION MEMORANDUM
WASHINGTON
LOG NO.:
19
Date:
Time:
October 13
900pm
FOR ACTION: George Humphreys an cc (for information): Jack Marsh
Brad Patterson sign
Ed Schmults
Max Friedersdorf sign
Steve McConahey
Bobbie Kilberg on Robert Hartmann
Paul Leach
FROM THE STAFF SECRETARY
DUE: Date: October 14
Time:
530pm
SUBJECT:
S.1659-Judgment funds for Grand River Band of
Ottawa Indians
ACTION REQUESTED:
For Necessary Action
For Your Recommendations
Prepare Agenda and Brief
Draft Reply
X
For Your Comments
Draft Remarks
REMARKS:
pèèase return to judy johnston,ground floor west wing
PLEASE ATTACH THIS COPY TO MATERIAL SUBMITTED.
If you have any questions or if you anticipate a
delay in submitting the required material, please
K. R. COLE, JR.
telephone the Staff Secretary immediately.
For the President
OF THE INTERIOR
United States Department of the Interior
OFFICE OF THE SECRETARY
March
3,
1849
WASHINGTON, D.C. 20240
OCT 8 - 1976
Dear Mr. Lynn:
This responds to your request for the views of this Department
on the enrolled bill S. 1659, "To provide for the disposition of
funds appropriated to pay a judgment in favor of the Grand River
Band of Ottawa Indians in Indian Claims Commission docket No.
40-K and for other purposes."
We recommend that the President approve the enrolled bill.
As enrolled, S. 1659 concerns the disposition of judgment funds
in Indian Claims Commission Docket numbered 40-K. The bill would
direct that funds derived from this award, after the payment of
attorneys fees and expenses, be paid per capita to all persons of
Grand River Band of Ottawa Indian blood who: have 1/4 degree or
more of Grand River Ottawa Blood; are United States citizens;
and whose name or the name of a lineal ancestor from whom they
claim eligibility appears as a Grand River Ottawa on the Roll of
1908, approved by the Secretary of the Interior, February 18,
1910, or on any available census roll or other records acceptable
to the Secretary.
The Grand River Band of Ottawa Indians sought additional payment
for 1,140,740 acres of land in southeastern Michigan that they
had ceded to the United States under the Treaty of August 29, 1821.
On March 27, 1968, the Indian Claims Commission entered a final
award of $932,620.01 in docket No. 40-K "on behalf of and for
the benefit of the Grand River Band of Ottawa Indians as it was
constituted on March 25, 1822, the effective date of the Treaty
of August 29, 1821." Covering funds were appropriated by the Act
of October 21, 1968 (82 Stat. 1190, 1198). After the payment of
litigation costs, including attorney fees, and with interest
earned since appropriation of the funds, there is now some $1.4
million to be distributed.
The Grand River Band descendants have no reservation or other
land base at the present time. They are not formally organized,
nor are they recognized by the Federal Government as a political
entity.
AMERICAN REVOLUTION WEDENTENNAL
1776-1976
Approximately 1,000 persons who claim Grand River Band descent
formed the Northern Michigan Ottawa Association, primarily for
the purpose of pressing claims against the United States on behalf
of its membership. The membership of this organization includes
Chippewa and Potawatomi Indians as well as Ottawas. Although
the Association is not a tribal entity and is not recognized as
such, its members have been active in making plans concerning
the funds in docket No. 40-K through the Grand River Ottawa
Descendants' Committee, formed within the Association for that
purpose.
On March 18, 1972, representatives of the Bureau of Indian Affairs
met with the Grand River Ottawa Descendants' Committee at Muskegon,
Michigan to discuss the disposition of the award funds. One point
on which the Committee and the BIA did not reach agreement was
whether eligibility to share in the judgment award should be
limited to persons possessing at least one-forth degree Grand
River Band of Ottawa blood. S. 1659 as enrolled contains this
requirement.
Pursuant to the Indian Judgment Funds Use and Distribution Act
of 1973 (87 Stat. 466), a Hearing of Record was held on May 18,
1974, in Michigan, on a proposal for the use of the funds. It
was attended by persons who believe they are Grand River Band
descendants. The testimony was overwhelmingly in favor of
restricting participation in the judgment funds by blood quantum.
This Department's general policy with respect to descendancy
situations involving judgment funds is that all descendants,
regardless of their blood quantum, should be eligible to share in
the award. However, the Grand River band descendants have strongly
and consistently opposed this policy with respect to them, both
at the 1972 meeting and 1974 hearing. Further, in resolutions
dating back to 1952 they have supported this distribution limitation.
They maintain that Federally-recognized tribes, who have blood
degree requirements for membership, may distribute judgment awards
on that basis. They feel that they deserve the same consideration
in setting eligibility for participation as that given recognized
tribes in similar judgment situations. The Grand River Band
descendants estimate that distribution of the judgment funds to
all lineal descendants without a blood quantum restriction could
include as many as 15,000 persons, instead of the 3,000 individuals
they estimate to be of one-quarter degree blood.
While we regret that Congress did not delete this requirement, we
recognize that eight years have elapsed since Congress appropriated
funds to pay the judgment awards and these funds have not yet been
2
distributed. In this connection, we would note that Congress
requested the Secretary to withdraw the judgment distribution
plan which he had submitted on October 30, 1974, because the plan
did not require the blood quantum restriction. The Secretary
withdrew the plan. In light of the long delay in the distribution
of funds and the insistence of the Indians and the Congress on
the blood degree requirement, we do not believe that this provision
should prevent Presidential approval of the enrolled bill.
Under section 6 of the enrolled bill, none of the funds distributed
per capita or held in trust would be subject to income taxes, nor
considered as income or resources in determining eligibility for
any Federal programs. This section provides the normal tax exemption
which applies to judgment awards pursuant to section 7 of the Indian
Judgment Funds Use and Distribution Act of 1973 (87 Stat. 468).
With regard to the provision of section 6 which exempts these funds
from eligibility determination for Federal benefits, recent statutes
have provided precedent for such a provision. Similar sections
are contained in the Act of December 22, 1974, "The Navajo-Hopi
Act," (88 Stat. 1712), the Act of October 19, 1975, "The Submarginal
Lands Act," (89 Stat. 577), and the Act of December 31, 1975, "The
Sac and Fox Judgment Distribution Act," (89 Stat. 1093). Further,
insofar as this provision applies to the Social Security Act, it
is consistent with section 7 of the Indian Judgment Fund Distribution
Act which exempts these funds from eligibility consideration for
Social Security Act benefits. We would further note that this
distribution is only a one-time payment for the specific purpose
of redressing a legal wrong by the United States. The theory
behind such a payment is to make the Grand River Band of Ottawa
Indians legally whole, not to provide an accession to wealth or
on-going income.
If this bill is disapproved because of the provisions of section 6,
the distribution of the award would be further delayed.
In our judgment, the need for this legislation outweighs the reservations
outlined herein, and we recommend that the President approve the
enrolled bill.
Sincerely yours,
Commissioner of Indian Affairs
Honorable James T. Lynn
Director, Office of
Management and Budget
Washington, D.C.
3
INDIAN CLAIMS COMMISSION
RIDDELL BUILDING, 6TH FLOOR
1730 K STREET NW.
WASHINGTON, D.C. 20006
October 7, 1976
Mr. James Frey
Assistant Director for
Legislative Reference
Office of Management and Budget
Washington, D. C. 20503
Re: S. 1659
Enrolled Bill
Dear Mr. Frey:
This is in reply to your request dated October 6, 1976,
regarding enrolled bill S. 1659, an act "To provide for the
disposition of funds appropriated to pay a judgment in favor
of the Grand River Band of Ottawa Indians in Indian Claims
Commission docket numbered 40-K, and for other purposes."
This bill does not involve any matters now pending before,
or over which this Commission has jurisdiction. Accordingly,
we express no views or recommendations on the merits of this
bill.
Sincerely yours,
June KKuybendell Kuykendall
THE WHITE HOUSE
WASHINGTON
October 14, 1976
MEMORANDUM FOR JAMES M. CANNON
I recommend that the
President sign Enrolled Bill s 1659.
Brad Patt
Bradley H. Patterson, Jr.
NEW FORD LIBRARY
10-13-26.m.
EXECUTIVE OFFICE OF THE PRESIDENT
OFFICE OF MANAGEMENT AND BUDGET
FAX:
WASHINGTON, D.C. 20503
OCT 13 1976
MEMORANDUM FOR THE PRESIDENT
Subject: Enrolled Bill S. 1659 - Judgment funds for Grand
River Band of Ottawa Indians
Sponsor - Sen. Hart (D) Michigan and Sen. Griffin
(R) Michigan
Last Day for Action
October 19, 1976 - Tuesday
Purpose
Provides for the disposition of funds appropriated to pay
a judgment in favor of the Grand River Band of Ottawa
Indians made by the Indian Claims Commission.
Agency Recommendations
Office of Management and Budget
Approval
Department of the Interior
Approval
Department of Health, Education
and Welfare
Defers to Interior (Informally)
Indian Claims Commission
No recommendation
Department of Agriculture
Disapproval (Memoran-
dum of Disapproval
attached) (Informally)
Discussion
The Indian Judgment Funds Distribution Act of 1973 author-
izes the Secretary of the Interior to cooperate with
affected Indians in the development of plans for the use
or distribution of payments on claims adjudicated by the
Indian Claims Commission or the Court of Claims. The Act
requires that such plans be submitted to Congress and
Attached document was not scanned because it is duplicated elsewhere in the document
THE WHITE HOUSE
10
TION MEMORANDUM
WASHINGTON
LOG NO.:
:
Time:
October 13
900pm
FOR ACTION: George Humphreys
CC (for information):
Jack Marsh
Brad Patterson
Ed Schmults
Max Friedersdorf
Steve McConahey
Bobbie Kilberg
Robert Hartmann
Paul Leach
FROM THE STAFF SECRETARY
DUE: Date: October 14
Time:
530pm
SUBJECT:
S.1659-Judgment funds for Grand River Band of
Ottawa Indians
ACTION REQUESTED:
For Necessary Action
For Your Recommendations
Prepare Agenda and Brief
Draft Reply
X
For Your Comments
Draft Remarks
REMARKS:
please return to judy johnston, ground floor west wing
K.Lazarus
10/14
PLEASE ATTACH THIS COPY TO MATERIAL SUBMITTED.
If you have any questions or if you anticipate a
delay in submitting the required material, please
James M. Cannen
telephone the Staff Secretary immediately.
For the President
THE WHITE HOUSE
ACT ON MEMORANDUM
WASHINGTON
LOG NO.:
Dat
Time:
October 13
900pm
FOR ACTION:
George Humphreys
cc (for information):
Jack Marsh
Brad Patterson
Ed Schmults
Max Friedersdorf
Steve McConahey
Bobbie Kilberg
Robert Hartmann
Paul Leach
FROM THE STAFF SECRETARY
DUE: Date: October 14
Time:
530pm
SUBJECT:
S.1659-Judgment funds for Grand River Band of
Ottawa Indians
ACTION REQUESTED:
For Necessary Action
For Your Recommendations
Prepare Agenda and Brief
Draft Reply
X
For Your Comments
Draft Remarks
REMARKS:
please return to judy johnston, ground floor west wing
Recommend appraval
my
PLEASE ATTACH THIS COPY TO MATERIAL SUBMITTED.
If you have any questions or if you anticipate a
M. Cannon
delay in submitting the required material, please
telephone the Staff Secretary immediately.
James For the President
THE WHITE HOUSE
10
ACTION EMORANDUM
WASHINGTON
LOG NO.:
Date:
Time:
(
ber 13
900pm
FOR ACTION:
George Humphreys
CC (for information):
Jack Marsh
Brad Patterson
Ed Schmults
Max Friedersdorf
Steve McConahey
Bobbie Kilberg
Robert Hartmann
Paul Leach
FROM THE STAFF SECRETARY
DUE: Date: October 14
Time:
530pm
SUBJECT:
S.1659-Judgment funds for Grand River Band of
Ottawa Indians
ACTION REQUESTED:
For Necessary Action
For Your Recommendations
Prepare Agenda and Brief
Draft Reply
X
For Your Comments
Draft Remarks
REMARKS:
please return to judy johnston, ground floor west wing
I recomed fut approval
PLEASE ATTACH THIS COPY TO MATERIAL SUBMITTED.
If you have any questions or if you anticipate a
M. Cannes
delay in submitting the required material, please
telephone the Staff Secretary immediately.
James For the President
STATES DEPARTMENTO TOTALITY
DEPARTMENT OF AGRICULTURE
OFFICE OF THE SECRETARY
WASHINGTON, D.C. 20250
October I 4. 1976
Honorable James T. Lynn, Director
Office of Management and Budget
Washington, D. C. 20503
Dear Mr. Lynn:
This is in reply to your request for a report on the enrolled bill
S. 1659 which provides for the disposition of funds appropriated to
pay a judgment in favor of the Grand River Band of Ottawa Indians.
The Department recommends that the President veto S. 1659 because we
object to Section 6 of the bill. The Department has no comment on the
other provisions of the bill since they are under the jurisdiction of
the Department of the Interior.
Section 6 of this bill provides that sums payable to individuals or
held in trust shall be disregarded in determining a person's eligi-
bility for assistance under the Social Security Act or any other
Federal or federally-assisted program. The legislative history
clearly states that the per capita payments made to individuals
are exempt from being considered income or resources for purposes
of determining Food Stamp Program eligibility. This provision was
added to the bill to insure that individuals participating in the
Food Stamp Program will not lose benefits because of their receipt
of per capita payments. (Senate Report No. 94-577, page 4.)
In the 1971 amendments to the Food Stamp Act, the Congress mandated
that national eligiblity standards be established for the Food Stamp
Program. Such standards are based on the principle that all cash
payments received by the household should be considered in determining
its food stamp eligibility and level of benefits. By excluding the
payments to the Grand River Band of Ottawa Indians, a special class
of recipients would be created which would not have to meet the
standards used for other households. Depending on the amount of the
per capita payments, non-needy households could become eligible to
participate.
Further, the amendment could encourage other government programs to
seek food stamp exclusions for their special payments. Although some
disregards have already been enacted, the Department has consistently
opposed them and continues to strongly oppose the expansion of this
policy.
Honorable James T. Lynn, Director
2
S. 1659 can be expected to result in a slight increase of Food Stamp
Program costs, because the disregard of the payments will allow some
households with total resources over the program limitations to
receive program benefits. Even though we estimate the cost of this
bill to be minimal, we believe the policy set by approving disregards
from income or resources has the potential of becoming costly if
future judgments are awarded and disbursed in the same manner.
Sincerely,
John . Tably
John A. Knebel
Acting Secretary
STATEMENT FOR THE PRESIDENT
ON DISAPPROVING S. 1659
Today I have refused to sign S. 1659, a bill to provide for the disposition
of funds appropriated to pay a judgment in favor of the Grand River Band
of Ottawa Indians.
I oppose this bill because in addition to providing for the disposition
of funds involved in the judgment, this bill also entitles the Grand River
Band of Ottawa Indians to special consideration under Social Security Act
programs and other Federal or federally-assisted programs. Section 6 of
the bill exempts the per capita payments to the individual Indians from
being considered as income or resources for purposes of determining food
stamp or welfare assistance eligibility.
In effect this means the individual Indian households are entitled to
welfare or food stamp benefits in addition to the cash received as a part
of the judgment funds.
Provisions to disregard certain payments from being considered income or
resources are contrary to the basic premise that eligibility for welfare
or food stamps should be based on need. When disregards such as the one
provided for in Section 6 of S. 1659 are allowed, non-needy households
can be eligible for food stamps or welfare assistance even though the
resources available to the household exceed the eligibility limits which
have been determined appropriate for the program.
In addition, provisions to disregard certain payments result in increased
cost to the taxpayers, since such disregards result in expanded program
2
participation of those households who have certain exempted income
or resources.
I realize that the cost of S. 1659 is estimated to be minimal. Moreover,
I realize that I have in the past approved bills which included disregard
provisions similar to the provision in S. 1659. My administration, however,
has consistently been opposed to such provisions and I believe the
continued inclusion of such provisions in laws has the potential of
becoming extremely costly if future judgments are awarded and disbursed
in the same manner as the judgment handled in S. 1659.
THE WHITE HOUSE
ACTION MEMORANDUM
WASHINGTON
LOG NO.:
10/14/76
9:33 a.m.
9
Date:
Time:
October 13
900pm
FOR ACTION: George Humphreys
CC (for information): Jack Marsh
Brad Patterson
Ed Schmults
Max Friedersdorf
Steve McConahey
Bobbie Kilberg
Robert Hartmann
Paul Leach
FROM THE STAFF SECRETARY
DUE: Date: October 14
Time:
530pm
SUBJECT:
S.1659-Judgment funds for Grand River Band of
Ottawa Indians
ACTION REQUESTED:
For Necessary Action
For Your Recommendations
Prepare Agenda and Brief
Draft Reply
X
For Your Comments
Draft Remarks
REMARKS:
please return to judy johnston, ground floor west wing
10/14- copy sent far researching nm
ON
no
PLEASE ATTACH THIS COPY TO MATERIAL SUBMITTED.
If you have any questions or if you anticipate a
M. Cannon
delay in submitting the required material, please
telephone the Staff Secretary immediately.
James For the President
Calendar No. 556
94TH CONGRESS
SENATE
REPORT
1st Session
No. 94-577
GRAND RIVER BAND OF OTTAWA INDIANS
DISPOSITION OF JUDGMENT FUNDS
DECEMBER 18 (legislative day, DECEMBER 15), 1975.-Ordered to be printed
Mr. ABOUREZK, from the Committee on Interior and Insular Affairs,
submitted the following
REPORT
[To accompany S. 1659]
The Committee on Interior and Insular Affairs, to which was re-
ferred the bill (S. 1659) to provide for the disposition of funds appro-
priated to pay a judgment in favor of the Grand River Band of Ottawa
Indians in Indian Claims Commission docket numbered 40-K, and for
other purposes, having considered the same, reports favorably thereon
with amendments and recommends that the bill, as amended, do pass.
AMENDMENTS
The amendments are as follows:
(1) On page 1, lines 8 and 9, delete the words "and expenses of the
Grand River Band of Ottawas Descendants Committee".
(2) On page 2, lines 15 through 19, strike the entire proviso, and
place a period after "United States".
(3) On page 3, line 14, after the word "taxes" delete the remainder
of that line and all of lines 15, 16, and 17, and add the following:
nor shall such funds or their availability be considered as in-
come or other resources or otherwise utilized as the basis for
denying or reducing the financial assistance or other benefits
to which such household or member would otherwise be en-
titled to under the Social Security Act or any other Federal
or Federally-assisted program.
PURPOSE OF THE MEASURE
The purpose of the measure is to provide for the disposition of funds
appropriated to pay a judgment in favor of the Grand River Band of
Ottawa Indians in Indian Claims Commission docket numbered 40-K.
57-010
2
3
BACKGROUND AND NEED
In anticipation of the subject award, the Descendants Committee
has been compiling a roll of Grand River Band descendants based on
The Grand River Band of Ottawa Indians, through docket 40-K,
lineal descendancy from person named on the Grand River Band por-
claimed additional payment for over one million acres of land in south-
tion of a roll approved by the Secretary of the Interior. For determin-
eastern Michigan that they had ceded to the United States under an
ing blood quantum, the Descendants Committee has assumed that all
1821 treaty. On March 27, 1967, the Indian Claims Commission ap-
persons named on that roll were fullbloods.
proved an award of $932,620.01 in settlement of the claim. Funds to
Because the persons who claim Grand River Band descendancy are
cover the award were appropriated by the Act of October 21, 1968 (82
members of a non-Federally recognized entity, they are ineligible to
Stat. 1190, 1198).
Under normal circumstances, the disposition of Indian judgment
participate in programs and services administered by the Bureau of
funds adressed in S. 1659 would have been disposed of pursuant to
Indian Affairs for tribal groups under their jurisdiction. However,
Public Law 93-134, the Act of October 19, 1973 (87 Stat. 466), the
during the Subcommittee hearing on S. 1659, the Descendants Com-
Indian Judgment Funds Distribution Act. That Act authorizes the
mittee witnesses revealed that the Bureau of Indian Affairs had recog-
Secretary of the Interior to cooperate with affected Indians in the de-
nized their roll in identifying persons who possess Grand River
velopment of plans for the use or distribution of judgment funds
Ottawa Indian blood of the degree of one-fourth or more and extended
certain Bureau services to such individuals. In a later communication
awarded to them by the Indian Claims Commission or the Court of
Claims. The Act provides further that such plans be submitted to Con-
to the Committee, the Department confirmed this testimony.
gress and if neither the Senate nor the House of Representatives passes
LEGISLATIVE HISTORY
a resolution disapproving a plan it becomes operative.
On November 19, 1974, the Secretary of the Interior submitted to
Senator Hart (Michigan) introduced S. 1659 on May 6, 1975. The
the Senate a plan to provide for the use and distribution of the judg-
bill was the subject of a hearing before the Subcommittee on Indian
ment funds awarded in docket 40-K. However, at the hearing of rec-
Affairs on September 26, 1975. Departmental and Indian witnesses
ord, pursuant to the Indian Judgment Funds Distribution Act, a
testified in behalf of the proposed measure at that time. The Depart-
majority of the Grand River Band of Ottawa Indians present opposed
ment of the Interior recommended enactment of S. 1659, if amended as
the plan offered by the Bureau of Indian Affairs, Department of the
suggested in their legislative report.
Interior. Notwithstanding the Indians' opposition to such plan, and
Measures similar to S. 1659 were introduced in the 92nd and 93rd
without trying to accommodate the wishes of the Indians to the extent
Congresses by Senator Hart; however, neither bill was considered
it could, the Secretary submitted its original plan to the Congress.
and both died at the end of those Congresses.
Strenuous objections to the plan were raised by the Grand River Band
of Ottawa Indians.
COMMITTEE RECOMMENDATION AND TABULATION OF VOTES
A resolution disapproving the plan was introduced in the Senate
early in the 94th Congress. Because of the lengthy period of time re-
The Senate Committee on Interior and Insular Affairs, in open busi-
quired to organize the 94th Congress, the Senate was unable to con-
ness session on December 12, 1975, by unanimous vote of a quorum
sider the resolution prior to expiration of the 60-day review.
present recommended that the Senate adopt S. 1659, if amended as de-
In order to accommodate Congressional action, the Secretary with-
scribed herein.
drew the proopsed plan. In accordance with the Indian Judgment
COMMITTEE AMENDMENTS
Funds Distribution Act, legislation was introduced providing for
distribution of the subject funds.
The Committee adopted two of the four amendments recommended
The major point of contention over the disposition of the judgment
by the Department of the Interior, and a third amendment proposed
funds in docket 40-K was the Secretary of the Interior's insistence
by Senator Bartlett.
that the funds be distributed to all persons who were born on or prior
Section 1 was amended by striking language which would have au-
to and are living on the date of the Act, and whose name or the name
thorized payment of expenses incurred by the Grand River Band of
of a lineal ancestor from who they claim eligibility apears on certain
Ottawas Descendants Committee in connection with the claim in
early rolls named in the bill or any available census rolls or other
docket 40-K. There is no evidence of a contractual or other legal obli-
records acceptable to the Secretary. The Secretary argues that since
gation to compensate the Descendants Committee for such expenses.
the band descendants are not Federally-recognized they have no for-
The Department's proposed amendment to section 2 which would
mally organized political entity to receive the funds.
have authorized the Secretary to utilize a 1910 payment roll in identi-
The Grand River Band of Ottawas Descendants Committee argues
fying potential beneficiaries to the claim was rejected by the Com-
in favor of S. 1659 which limits eligibility to share in the award to
mittee. The Departmental report failed to justify the use of this roll.
persons who possess Grand River Ottawa Indian blood of one-fourth
Based on the Subcommittee hearing record on S. 1659, as previously
degree or more and disqualifies individuals enrolled in any tribe other
discussed, the Committee rejected the Department's proposed amend-
than the Grand River Band of Ottawa Indians or the Ottawa and
ment to section 2 which would have removed the one-fourth degree
Chippewa Tribe of Michigan.
blood quantum criteria required for eligible participants to share in
the award. The Committee noted that the Act of September 17, 1967
S.R. 577
S.R. 577
6
7
Approximately 1,000 persons who claim Grand River Band descent
"Under my instructions from you, the degree of blood does not de-
formed the Northern Michigan Ottawa Association, primarily for the
termine the right to enrollment [emphasis added] * * * To
deter-
purpose of pressing claims against the United States on behalf of its
mine the degree of blood of members of this tribe will entail many
membership. The membership of this organization includes Chippewa
more months of work, if, indeed, it can be accomplished at all. Cer-
and Potawatomi Indians as well as Ottawas. Although the Associa-
tainly it cannot be done with accuracy, since there is not, to my knowl-
tion is not a tribal entity and is not recognized as such, its members
edge any existing record upon which to base such determination and,
have been active in making plans concerning the funds in docket No.
if done at all, must be by oral testimony."
40-K through the Grand River Ottawa Descendants' Committee,
In compiling the roll Durant had found that many persons of little,
formed within the Association for that purpose.
if any, Indian blood on the 1870 roll had intermarried with the tribal
On March 18, 1972, representatives of the Bureau of Indian Affairs
members and had been enrolled by consent of the chiefs and headmen
met with the Grand River Ottawa Descendants Committee and their
through friendship, sympathy or other influences. He reported to the
attorney at Muskegon, Michigan to discuss the disposition of the
Commissioner that within the same families some children of mixed
award funds. The one point on which the Committee and the BIA did
blood were placed on the 1870 roll while others were not. He added
not reach agreement was whether eligibility to share in the judgment
that chiefs and headmen were willing to permit the enrollment on the
award should be limited to persons possessing at least one-fourth
1908 roll of all those half-bloods and their children then living who
degree Grand River Band of Ottawa blood. The Descendants Com-
had been enrolled in 1870, but not those half-bloods and their children
mittee insists on this blood quantum requirements but we can find no
who had been denied enrollment in 1870.
basis for determining blood quantum for descendants of the Grand
For the above reasons, we find no basis for establishing Grand River
River Band as a condition for sharing in the award.
Band of Ottawa blood quantum as a condition for sharing in the
The BIA did agree with the request of the Descendants Committee
award. All descendants should share in the judgment.
that the age of 18 years be established as the age of majority for pur-
Section 1 of the bill would provide for payment of expenses of the
poses of the claims award distribution and that minors' shares be
Grand River Band of Ottawas Descendants Committee out of the
held in trust for them until the age of majority is reached.
award. This Committee is not recognized as a tribal entity. We cannot
It was also agreed that the Durant Roll of Ottawa and Chippewa
accept its roll as an official roll of Grand River Band of Ottawas de-
Indians approved by the Secretary of the Interior on February 18,
scendants and can find no basis for compensating the Committee for its
1910, be established as a roll from which to trace lineal descendancy.
expenses or efforts in compiling a roll or for other activities with re-
This roll was prepared by BIA Special Agent H. D. Durant as a
gard to eligibility to share in the claims award distribution.
census roll of all persons and their descendants who were on a roll of
Finally, under the proviso in section 2, no person would be eligible
the Ottawa and Chippewa Tribe of Michigan in 1870, and living on
for enrollment as a descendant of the Grand River Band of Ottawa
March 7, 1907. The BIA recommended that in establishing eligibility
Indians if he is an enrolled member of any tribe other than Grand
to share in the award other rolls or records acceptable to the Secretary
River Band of Ottawa Indians or the Ottawa and Chippewa Tribe of
of the Interior should also be used as the Durant Roll does not
Michigan.
include the names of all persons of Grand River Band descent who
This proviso would eliminate all descendants of the Grand River
were living at the time of the Roll's preparation. The Committee
Band of Ottawas from sharing in this award if they are members of
agreed.
another tribe. It is not an unusual circumstance for persons who are
Pursuant to the Indian Judgment Funds Use and Distribution Act
enrolled members of one tribe to share in a per capita distribution as
of 1947 (87 Stat. 466), a Hearing of Record was held on May 18, 1974,
descendants of a different aboriginal entity. The distribution of
in Michigan, on a proposal for the use of the funds. It was attended
awards to the Kiowa, Comanche and Apache Tribes (82 Stat. 880;
by persons who believe they are Grand River Band descendants. The
and 73 Stat. 598), permitted payment of per capita shares to persons
testimony was overwhelmingly in favor of restricting participation in
who were eligible as descendants of one entity but were enrolled mem-
the judgment funds to persons of not less than one-fourth degree
bers of different tribes. A similar situation exists with the Mississippi
Grand River Band of Ottawa Indian blood.
Sioux and Otoe-Missouri judgment distribution, among others.
The Department of the Interior does not support this position. Our
Based upon the above comments, we recommend the following
long-standing policy with respect to all descendancy situations involv-
amendments:
ing judgment funds is that all descendants, regardless of their blood
(1) On page 1, lines 8 and 9, we recommend the deletion of the
quantum, should be eligible to share in the award. This is our position
words "and expenses of the Grand River Band of Ottawas Descend-
concerning the Grand River Band of Ottawa Indians, and their
ants Committee".
eligibility to share in the judgment in docket No. 40-K.
(2) On page 2, line 11, after the word "1910" we recommend strik-
On January 25, 1910, one month before the Secretary approved the
ing the word "or" and inserting in lieu thereof "or on the payment roll
1908 roll, Special Agent Durant wrote the Commissioner of Indian
derived therefrom approved May 17, 1910, or."
Affairs with regard to the issue of blood quantum. In his letter he
(3) On page 2, lines 13 and 14, we recommend the deletion of (c)
stated:
who possess Grand River Ottawa Indian blood of the degree of one-
fourth or more; and (d)," and insert in lieu thereof "and (c)".
S.R. 577
S.R. 577
8
(4) On page 2, lines 15 thru 19, we suggest that the entire proviso
be deleted and a period be placed after "United States".
The Office of Management and Budget has advised that there is no
objection to the presentation of this report from the standpoint of the
Administration's program.
Sincerely yours,
JOHN KYL,
Assistant Secretary of the Interior.
EXECUTIVE OFFICE OF THE PRESIDENT,
OFFICE OF MANAGEMENT AND BUDGET,
Washington, D.C., November 6, 1975.
Hon. HENRY M. JACKSON,
Chairman, Committee on Interior and Insular Affairs, U.S. Senate,.
Dirksen Senate Office Building, Washington, D.C.
DEAR MR. CHAIRMAN: Reference is made to the Committee's request
for the views of this Office on S. 1659, a bill "To provide for the dis-
position of funds appropriated to pay a judgment in favor of the
Grand River Band of Ottawa Indians in Indian Claims Commission
docket No. 40-K, and for other purposes."
In the report which it is submitting to your Committee on this bill,
the Department of the Interior recommends the enactment of S. 1659
if amended in the manner proposed in the departmental report.
The Office of Management and Budget concurs in the views of the
Department of the Interior and would support the enactment of
S. 1659 if amended as recommended in the Department's report.
Sincerely,
JAMES M. FREY,
Assistant Director for Legislative Reference.
CHANGES IN EXISTING LAW
In compliance with subsection (4) of Rule XXIX of the Standing
Rules of the Senate, the Committee states that no change in existing
law would be made by S. 1659.
S.R. 577
S. 1659
Ainety-fourth Congress of the United States of America
AT THE SECOND SESSION
Begun and held at the City of Washington on Monday, the nineteenth day of January,
one thousand nine hundred and seventy-six
An Act
To provide for the disposition of funds appropriated to pay a judgment in favor
of the Grand River Band of Ottawa Indians in Indian Claims Commission
docket numbered 40-K, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled, That, notwithstand-
ing any other provision of law, the funds appropriated by the Act of
October 21, 1968 (82 Stat. 1190, 1198), to pay a judgment to the Grand
River Band of Ottawa Indians in Indian Claims Commission docket
numbered 40-K, together with any interest thereon, after payment
of attorney fees and litigation expenses and such expenses as may be
necessary in effecting the provisions of this Act, shall be distributed
as provided herein.
SEC. 2. The Secretary of the Interior shall prepare a roll of all
persons of Grand River Band of Ottawa Indian blood who meet the
following requirements for eligibility: (a) they were born on or prior
to and were living on the date of this Act; and (b) their name or the
name of a lineal ancestor from whom they claim eligibility appears
as a Grand River Ottawa on the Ottawa and Chippewa Tribe of
Michigan, Durant Roll of 1908, approved by the Secretary of the
Interior, February 18, 1910, or on any available census rolls or other
records acceptable to the Secretary of the Interior; (c) who possess
Grand River Ottawa Indian blood of the degree of one-fourth or
more; and (d) are citizens of the United States.
SEC. 3. Applications for enrollment must be filed with the Great
Lakes Agency of the Bureau of Indian Affairs at Ashland, Wisconsin,
in the manner and within the time limits prescribed for that purpose.
The determination of the Secretary of the Interior regarding the
eligibility of an applicant shall be final.
SEC. 4. The judgment funds shall be distributed per capita to the
persons whose names appear on the roll prepared in accordance with
section 2 of this Act.
SEC. 5. Sums payable to adult living enrollees or to adult heirs or
legatees of deceased enrollees shall be paid directly to such persons.
Sums payable to enrollees or their heirs or legatees who are less than
eighteen years of age or who are under legal disability shall be paid
in accordance with such procedures, including the establishment of
trustees, as the Secretary of the Interior determines appropriate to
protect the best interests of such persons.
S. 1659-2
SEC. 6. None of the funds distributed per capita or held in trust
under the provisions of this Act shall be subject to Federal or State
income taxes, nor shall such funds or their availability be considered
as income or other resources or otherwise utilized as the basis for
denying or reducing the financial assistance or other benefits to which
such household or member would otherwise be entitled to under the
Social Security Act or any other Federal or federally assisted program.
SEC. 7. The Secretary of the Interior is authorized to prescribe
rules and regulations to carry out the provisions of this Act.
Speaker of the House of Representatives.
Vice President of the United States and
President of the Senate.