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Mr. MERITT. That includes the traveling expenses of Indian Office officials, as well as the special agents.

The CHAIRMAN. Does that include hotel bills?

Mr. MERITT. Yes, sir.

The CHAIRMAN. They are not included in that, are they?

Mr. MERITT. That would include the hotel bills of the traveling officials from the Indian Bureau, and we allow the special agents a per diem of $3; but that is included in the expense account.

Mr. CAMPBELL. The hotel bills are not included in this traveling expense, then?

Mr. MERITT. Yes, sir.

Mr. CAMPBELL. It looks to me, Mr. Meritt, as though in the administration there could be a very substantial saving in that traveling expense, by proper distribution of the agents.

Mr. MERITT. It is rather large, and we will look into the matter, Mr. Campbell, with a view of reducing the amount to the lowest figure possible.

Mr. CARTER. Part of that appropriation is used for traveling expenses of the commissioner, isn't it?

Mr. MERITT. Yes, sir. All of his traveling expenses are paid out of this appropriation.

The CHAIRMAN. If there are no other questions we will pass to the next item.

Mr. MERITT. The next item is for the pay of Indian inspectors:

For pay of 6 Indian Service inspectors, exclusive of 1 chief inspector, at salaries not to exceed $2,500 per annum and actual traveling and incidental expenses, and $3 per diem in lieu of subsistence when actually employed on duty in the field, $30,000.

We are asking for the same amount as was appropriated last year, and we offer for the record the following justification:

Inspectors, Indian Service.

• Fiscal year ending June 30, 1917, amount appropriated.......

Fiscal year ended June 30, 1916:

Amount appropriated.

Amount expended –

Unexpended balance..

Analysis of expenditures:
Salaries and wages.
Traveling expenses--

Total

$30,000.00

30, 000, 00 14, 302.92

15, 697. 08

8,333.33 5, 969. 59

14, 302. 92

Frequent and thoroughgoing inspection is essential for safeguarding the Indian Service. The vast material interests of the Indians are closely interwoven with their social and industrial life, for the administration of which there are about 137 bonded officers in charge of schools and agencies, and 31 disbursing officers with functions of varying importance, under whom are practically 6,000 employees. The duties devolving upon these officers require visits to the different reservations and other Government activities at such times as special occasion may require or in the line of regular inspection duty. They act in conjunction with other special agents and supervisors who have been coordinated into a corps of inspecting officials covering the Indian Field Service.

The balance of $15,697.08 on account of the unused portion of the appropriation for Indian inspectors was due to the fact that the entire inspecting corps provided for by the appropriation was not appointed earlier in the year.

As these are among the most important of the Indian Service field officers, it was essential that careful and discriminating selection be made in the men appointed.

The following shows the inspectors who have been appointed during the fiscal year, with the date of their entrance on duty:

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It is expected in a short while to have the corps of inspecting officials completed to the limit, when the entire amount of the appropriation will be required. Mr. CARTER. What is the difference between an inspector and a special agent?

Mr. MERITT. There is very little difference in the duties performed, Mr. Carter, only we did not have sufficient special agents to cover the field, and these six inspectors were appropriated for about three years ago, with a view of having closer inspection of the schools and agencies of the Indian Service.

Mr. CARTER. They all do the same work, do they not?

Mr. MERITT. Very largely.

Mr. CARTER. Or similar work.

Mr. MERITT. Excepting that special agents are utilized in taking charge of a school or an agency where a superintendent is suspended until a regular employee can be placed in charge.

Mr. CAMPBELL. I notice in the analysis of these expenditures that you have traveling expenses of $5,969. That is in addition to the $29,000 in the former item?

Mr. MERITT. Yes, sir; that covers the traveling expenses, which includes hotel bills of these six inspectors. They travel all over the Indian field service.

Mr. CAMPBELL. Is the bureau duplicating these items? Are we paying for them twice?

Mr. MERITT. No, sir.

Mr. CAMPBELL. Why is it necessary to make these two appropriations?

Mr. MERITT. These are different officials, Mr. Campbell. These are the six inspectors that have been provided for for the last three years in the Indian bill. The other appropriation is a general appropriation which covers miscellaneous duties and activities. Among these are special agents. We have only a very few special agents. The balance of the appropriation is used for miscellaneous purposes, to cover incidentals that may arise in connection with the year's work in the Indian Service, where there are no specific appropriations available.

The CHAIRMAN. I see in line 3 of the same page (13) you have the words "actual traveling and incidental expenses." Why is it necessary to put that in?

Mr. MERITT. That was put in at the suggestion of the accounting officers to cover such necessary incidental expenses as might be incurred by the inspectors.

Mr. CAMPBELL. I see you have an unexpended balance of $15,697. Mr. MERITT. That is for the reason that the inspectors were not appointed until after a good part of the last fiscal year had elapsed. It will take practically this entire appropriation to cover the expenses of the six inspectors if they are employed the entire fiscal year-which they will be now that they have been appointed. The CHAIRMAN. The next item is:

For the purpose of determining the heirs of deceased Indian allottees having any right, title, or interest in any trust or restricted property, under regulations prescribed by the Secretary of the Interior, $100,000: Provided, That the Secretary of the Interior is hereby authorized to use not to exceed $25,000 for the employment of additional clerks in the Indian Office in connection with the work of determining the heirs of deceased Indians, and examining their wills, out of the $100,000 appropriated herein: Provided further, That the provisions of this paragraph shall not apply to the Osage Indians, nor to the Five Civilized Tribes of Indians in Oklahoma.

Mr. MERITT. We offer for the record the following justification for this item:

Determining heirs of deceased Indian allottees.

Fiscal year ending June 30, 1917, amount appropriated__.

Fiscal year ended June 30, 1916:

Amount appropriated

Amount expended

Unexpended balance

Analysis of expenditures:

Salaries and wages

Traveling expenses

Transportation of supplies

Telegraph and telephone service_

Fuel, illuminants, lubricants, etc_--

Educational, stationery, and office supplies_

Sundry supplies, equipment, etc

Rent_

Miscellaneous

$100, 000. 00

100, 000, 00

81, 919. 80

18, 080. 20

75, 325. 54

5, 321.96

9.78

4.91

62.00

670, 38

117.49

334.83

72.91

81, 919. 80

NOTE. $19,529.15 of the amount for salaries was paid to clerks in the Indian Office.

The appropriation of $100,000 asked for the fiscal year ending June 30, 1918, to be used for the purpose of conducting hearings and taking evidence to determine the heirs of deceased Indian allottees, in accordance with the provisions of the act of June 25, 1910 (36 Stats. L., 855), is necessary to enable the department to continue the work required by the act above referred to.

For the fiscal year ended June 30, 1916, $100,000 was appropriated, and with this amount the Indian Office, through a corps of examiners of inheritance, has been enabled to make great strides in bringing this class of the Indian work up to date.

During the last fiscal year 4,086 estates of deceased Indians, in which a $15 fee was collectible, were finally acted upon by the Secretary of the Interior. In addition thereto 260 cases, in which no fees were charged, also received final consideration by the department. Also, in addition thereto, 5,014 miscellaneous cases were disposed of, 178 wills approved and 68 wills disapproved, and during this year the heirship work on the following Indian agencies was brought up to date:

Fort Peck, Mont.; Blackfeet, Mont.; Kiowa, Okla.; Pala, Cal.; Yankton, S. Dak.; Crow Creek, S. Dak.; Santee, Nebr.; Omaha, Nebr.

There is no increase in the amount or change in the language of the bill.

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The CHAIRMAN. The next item is:

For the purpose of encouraging industry and self-support among the Indians and to aid them in the culture of fruits, grains, and other crops, $450,000, or so much thereof as may be necessary, to be immediately available, which sum may be used for the purchase of seed, animals, machinery, tools, implements, and other equipment necessary, in the discretion of the Secretary of the Interior, to enable Indians to become self-supporting: Provided, That said sum shall be expended under conditions to be prescribed by the Secretary of the Interior for its repayment to the United States on or before June 30, 1925.

I see you have raised that from $300,000 to $450,000. I would like to have some explanation of that.

Mr. MERITT. I offer the following justification for this item:

Industry among Indians.

Fiscal year ending June 30, 1917, amount appropriated, immedi

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$300, 000, 00

600, 000. 00

162, 748. 56

437, 251. 44

404, 790.57

32, 460. 87

13, 292. 24 900. 34

13, 787.96 1, 291. 32 6. 69 31, 667.30

13.75

224, 608. 71 60, 917. 55 15, 941. 40 2,366. 36 1, 474. 03 37,547. 43 975.49

404, 790. 57

This is a very important item, and, as will be noted, it is reimbursable to the United States. Reimbursable money of this character heretofore advanced to be used for the benefit of the Indians by authority of Congress has been of much assistance to the Indians in many ways. Appropriations for this purpose have been made in the following acts in the amounts stated: Act of April 30, 1908 (35 Stats. L., 70-S3), and March 3, 1909 (35 Stats. L., 781-795), for Fort Belknap, Mont.

$25,000

Act of April 4, 1910 (36 Stats. L., 269–277), for Tongue River Reservation

15,000

Act of March 3, 1911 (36 Stats. L., 1058-1062), for general use at all reservations.

30,000

Act of June 30, 1913 (38 Stats. L., 77-80) for general use at all reservations

100, 000

Act of August 1, 1914 (38 Stats. L., 582-586), for general use at
all reservations

Act of August 1, 1914 (38 Stats. L., 582-594), for cattle for Tongue
River Reservation....

Act of August 1, 1914 (38 Stats. L., 582-595), for cattle for Standing
Rock Reservation, advanced from tribal funds in the Treasury---
Joint resolution of March 4, 1915 (38 Stats. L., 1228), for general
use at all reservations__

600, 000

25,000

100, 000

600, 000

Act of May 18, 1916 (Pub. No. 80, p. 4), for general use at all reservations___

Act of May 18, 1916 (Pub. No. 80, p. 18), for Blackfeet Reservation, Mont___.

Total

$300, 000

100,000

1, 895, 000

Property consisting of work stock, agricultural equipment, and seeds costing $29,768.28 was purchased with the money appropriated for the Fort Belknap Reservation, The amount expended in excess of $25,000 represents repayments made by Indians, Congress in the appropriating act having given authority to use until June 1, 1915, for purposes similar to those for which the original appropriation was made, all repayments received from Indians. Up to the present time the Indians have repaid approximately $12,469.42, leaving a balance due the United States of $12,530.58. Of the amount still due the United States the sum of $7,581.59 is owing by individual Indians and $4,948.99 from the tribe as a whole. The tribal indebtedness arose through the purchase of agricultural equipment and incidental expenses in connection with the promotion of industry for the benefit of the tribe rather than for particular individuals, and this amount will be reimbursed from funds which may hereafter accrue to the tribe. It is believed that pactically all of the money appropriated by Congress will be returned in the next few years. Up to this time much leniency has been shown the Indian debtors, for the reason that in past years they have been unfortunate in the cattle industry, in which they lost heavily through deaths, strays, and perhaps thefts, and it has been the intention to give them an opportunity first to get onto their feet again, so to speak, before pressing them for a complete liquidation of these old accounts. The sum of $15,000 appropriated for the benefit of the Indians of the Tongue River Reservation has been of a tremendous amount of good to the Northern Cheyenne Indians. As stated in previous hearings, Indians were enabled to obtain cattle and engage in the cattle industry. Others were furnished with stallions for the improvement of their pony type of horses. Still others were furnished with wagons and harness, which enabled them to engage in the freighting business and procure from that source a good income for the support of themselves and families. And still others were furnished with agricultural equipment and seeds so that they might farm the lands under the irrigation system constructed by the Government adjacent to the Tongue River in the eastern part of the reservation. As will be shown in the follow

ing concise statement, the Indians have repaid an amount totaling considerably more than the original appropriation, much of which was reexpended under the provisions of the appropriating act, which permitted the use of the repayments in the same manner and for the same purposes as the original appropriation until June 30, 1916:

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Unexpended in Treasury June 30, 1916____

$15,000.00 21, 894. 76

36, 894. 76 34, 248. 80

2,645.96

The act of March 3, 1911, provided that the repayments made by the Indians may again be expended in the same manner and for the same purposes as the original appropriation until June 30, 1917; and the act of June 30, 1913, provided that the repayments made by the Indians under its provisions may be likewise used until June 30, 1924. As both of these appropriations are available for the same purposes and subject to the same rules, they are combined on the books of the Indian Office. The following figures will show briefly the amounts and purposes for which expenditures were made from these two appropriations: Appropriated March 3, 1911. Appropriated June 30, 1913.

Repayments to June 30, 1916

Total for expenditure. Expenditures to June 30, 1916_

Balance

$30, 000, 00 100,000.00

130, 000, 00 29, 926. 31

159,926. 31 116, 904, 54

43, 021.77

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