expenses (including mileage at 10 cents per mile when privately owned automobile is used), long-distance telephone, telegrams, taxi fares, notary fees, costs of printing or reproducing documents, overtime stenographic services and stenographic services not performed in the office of the attorneys, and the compensation, expenses, and other costs of employing appraisers and other technical, professional (nonlegal) and expert assistance: Provided, however, That all such expenditures shall be itemized and verified by the attorneys incurring the same, and shall be accompanied by proper vouchers, and shall be paid only on the approval of the Commissioner of Indian Affairs; and Provided further, That such expenditures shall not exceed in the aggregate $2,500 in any 1 year, unless the excess expenditure is authorized by the nation and the Commissioner of Indian Affairs. 7. No assignment of the obligations of this agreement in whole or in part, and no assignment or encumbrance of any interest in the compensation agreed to be paid under this agreement shall be made without the consent of the nation and the Secretary of the Interior, or his representative. Any assignment of the obligations of this agreement and/or any assignment or encumbrance of any interest in the compensation agreed to be paid in violation of the provisions of this paragraph shall operate to terminate the agreement, and in such event no attorney having any interest in the agreement or in the fee provided hereunder shall be entitled to any compensation for any services rendered to the date of the termination of the agreement. 8. The death, withdrawal, or addition of any partner or associate in the firm of Strasser, Spiegelberg, Fried & Frank shall not operate to terminate or otherwise modify this agreement. In addition, it is agreed that services rendered on behalf of the nation by any partner or associate of the firm of Strasser, Spiegelberg, Fried & Frank shall constitute services performed by the attorneys in accordance with this agreement. 9. This agreement shall be effective as of October 15, 1959, and shall remain in effect for 3 years with respect to the attorneys' services as general counsel to the nation as provided in paragraph 2, and for 10 years with respect to the attorneys' services in safeguarding the nation's rights and property under the Allegheny River (Kinzua Dam) project, as provided in paragraph 4. This agreement may be terminated for cause by joint action of the nation and the Commissioner of Indian Affairs, or upon 60 days' notice by either party. If the agreement is so terminated, in whole or in part, the attorneys shall be entitled to compensation up to the date of termination in accordance with this agreement at the rate specified in paragraph 3 for general counsel services and on a quantum meruit basis for services performed under paragraph 4. graph 4. In witness whereof, the parties have hereunto set their hands and seals on the dates and at the places set forth opposite their names. Special session of council. The Seneca Nation of Indians, Saturday, October 17, 1959. In the Allegany Reservation Courthouse at Jimersontown, N.Y. Theodore Gordon moved, seconded by DeForrest Billy, that we retain Arthur K. Lazarus, Jr., as our general counsel and our attorney for the Kinzua Dam litigation, negotiations, or settlements. Motion carried. I certify that this is a true copy of the resolution as it appears in the minutes of the council session. CORDELIA J. ABRAMS, Deputy Clerk, Seneca Nation of Indians. DEPARTMENT OF THE INTERIOR, Washington, D.C. The foregoing contract between the Seneca Nation and the law firm of Strasser, Spiegelberg, Fried, Frank and Kampelman is hereby approved pursuant to Revised Statutes, section 2103 (1875), 25 U.S.C. 81, subject to the conditions that 1. The reference to "overtime stenographic services and stenographic services not performed in the office of the attorneys," shall be deleted; 2. Any additional funds for expenses above those provided for in the contract shall be authorized by the Seneca Nation and approved by the Secretary of the Interior or his authorized representative in advance of their incurrence by the attorneys; and 3. References to the Commissioner of Indian Affairs shall mean the Secretary of the Interior or his authorized representative. This approval is given on the express understanding that the payment of compensation and reimbursement of expenses are subject to the availability of funds which are not required under the act of August 14, 1950 (64 Stat. 442), to be paid pro rata to the members of the Seneca Nation. DECEMBER 5, 1960. FRED A. SEATON, Secretary of the Interior. Mr. Lazarus. The third item was a matter that came up for discussion yesterday relating to improvements on the Allegany Reservation, which were constructed by nonmembers of the nation, but in which the Seneca Nation may assert a claim because the improvement is located on lands belonging to the nation and the individual or organization which constructed the building had no lease or permit from the nation to put up the improvement. To take care of that, I would like to suggest an amendment to section 2(d), page 6, line 20. At the end of the sentence, change the period to a comma and add the following words: "exclusive of the interest, if any, of the Seneca Nation in houses, structures, or other improvements within the Allegany Indian Reservation claimed by nonmembers of the nation." I have checked this language with Mr. Hart and I believe that the corps has no objection to it. Mr. HALEY. Mr. Lazarus, before we leave that, involved in this item are only three parcels; is that correct? Mr. LAZARUS. At most, three structures and probably just one. Mr. HALEY. Under conditions made by the tribe, if certain things are done by these individuals, it would settle that situation? Mr. LAZARUS. That is correct. Mr. HALEY. You are hopeful that can be done? Mr. LAZARUS. We fully expect it will happen because it is in the interest of the individual to pay a very nominal sum of money in return for avoiding a lawsuit. Mr. HALEY. Mr. Hart, do you agree with the statement of Mr. Lazarus with regard to this amendment? That is the position of the corps? Mr. HART. The corps has no objection to that amendment, sir. It is our understanding that the issues that might come up will be settled either by negotiation or by litigation in court. The tracts will be placed or have been placed in court, and the only probability of any real dispute, I would anticipate, would be in connection with the school. So far as the corps is concerned, we are going to pay someone. However it would be finally determined between the parties will not affect us one way or the other as we see it ultimately. Mr. ABELE. Mr. Chairman. Mr. HALEY. Mr. Abele. Mr. ABELE. Was that amendment worded so that any improvements to lands in the village of Salamanca, which would be on the reservation and claimed, would it eliminate those? Mr. LAZARUS. Yes; going back to the original section on which this amendment is tagged, it deals only with the taking of property under this act, and the taking of property under this act is outside the city of Salamanca. Mr. HALEY. Does any member of the committee have any questions he would like to direct to the gentlemen before us at this time? If not, again I thank you gentlemen. I believe we have two sets of appraisers here, is that right, Dr. Taylor? Dr. TAYLOR. That is right. Mr. HALEY. I would like to hear from them as to how they have arrived at especially the figures where there is a difference of opinion. Mr. Hart, do you have your appraiser here? Mr. HART. Yes, sir. With your permission, I would like to call first on Colonel de Melker, who has been negotiating and is very close to this situation, and ask him to sort of perhaps give you a brief statement of the Army's position here. Then he can call on the respective parties. Mr. HALEY. Very well. Colonel, we are glad to have you back with us this morning. You are getting to be a familiar face around here. If you will identify your colleagues who are on your side, so to speak, for the record, we will be glad to hear from you. Colonel DE MELKER. On my right is Mr. Robert Stewart, of the Huntley & Huntley Corp. Mr. Chairman, I believe we have available for insertion in the record the qualifications of Mr. Stewart as well as the firm of Huntley & Huntley. With the committee's permission, I would like to have those inserted in the record. Also I have Mr. Viggo Hansen, of the Hansen Appraisal Service, Buffalo, N.Y. We also have qualifications for Mr. Hansen, which we would like to insert in the record. Mr. HALEY. These documents will be made a part of the files and will be available to any member of the committee. The subcommittee will now go into executive session, and the witnesses that we have before us plus the attorney for the tribe and, of course, that includes you, too, Mr. Holmes, as a representative of the Indian Bureau. The rest of the audience will be excused. Mr. MORRIS. Will this be classified material so far as this hearing is concerned? Mr. HALEY. It will be. I want to warn the members of the committee that this will be classified material not to be divulged. Mr. ASPINALL. Mr. Chairman, I would like the press to understand that the material we are likely to receive at this hearing has some effect upon litigation which is going on and will continue to go on. This is the reason for this. There is no reason to try to cover up or anything at all. It is to see that the channels of government are allowed to work in accordance with what are known as judicial procedures. (Whereupon, the subcommittee proceeded to reconvene in executive session.) (COMMITTEE NOTE.-During the remainder of the morning session, the afternoon of December 10 and the morning of December 13, the subcommittee members read H.R. 1794 for amendment and agreed on the bill which follows:) Mr. HALEY introduced the following bill; which was referred to the Committee on Interior and Insular Affairs [Omit the part struck through and insert the part printed in italic] A BILL To authorize the acquisition of and the payment for a flowage easement and rights-of-way over lands within the Allegany Indian Reservation in New York, required by the United States for the Allegheny River (Kinzua Dam) project, to provide for the relocation, rehabilitation, social and economic development of the members of the Seneca Nation, and for other purposes. 1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 3 [1]That in furtherance of the Allegheny River Dam and |