Treasury of the United States for the education of Indian children in any sectarian school. This declaration was held by the United States Supreme Court, (210 U. S. 50), as applying to public moneys gratuitously appropriated and not to tribal or trust funds belonging to the Indians themselves. The decision however was an interpretation of a contract wherein the total annual payment from the funds from which the expenditure was to be made did not exceed the pro rata shares of the Indians signing the petition for the school. In almost every instance where sectarian schools are operating, the Government has school facilities available and where, as often happens, the signers of the petitions for the operation of sectarian schools do not represent the majority of the adult Indian population of the several reservations or tribes, it is apparent that the greater portion of the cost of the tuition of Indian children attending such schools falls on those who may not have been a party to the petition for the school. It would naturally follow that when expenditures for the welfare of the tribe are made from the fund bearing the tuition charges, no distinction being made between signers and nonsigners of petitions, Indians who send their children to the sectarian school would benefit to a greater extent than do those who did not use the school. USE OF TRIBAL FUNDS, SAC AND FOX AGENCY In an examination of the records of the Sac and Fox Agency and Sanatorium at Toledo, Iowa, it was developed that $10,000 of the tribal funds of the Sac and Fox Indians of Iowa authorized by the act of March 3, 1921 (41 Stat. 1234), to be used for the construction, maintenance, and operation of a drainage system for the Indians' lands had been withheld from the principal sum since 1923 in making pro rata distributions to Indians. It was proposed to use this fund in effecting drainage of about 600 acres of swampy land within the reservation and adjacent to the Iowa River. While the amount had been segregated upon the books of the Indian Office since March, 1923, no segregation had been made on the Treasury records, therefore the 5 per cent interest credited on the fund under the act of April 4, 1910 (36 Stat. 280), included interest on the $10,000. In February, 1928, it was definitely determined that the drainage project would not be undertaken and the amount was restored to the principal fund on the books of the Indian Office, and as there had been payments of pro rata shares of interest and shares of the tribal fund between March, 1923, and February, 1928, the Indians who in that period received pro rata payments of principal did not participate in distribution of the interest accruing on the $10,000 nor did they receive their proportionate share of said sum. This matter was called to the attention of the Secretary of the Interior who, on November 27, 1928, submitted to this office a schedule proposing an equitable adjustment in behalf of those Indians entitled to share in the $10,000 and interest accrued thereon. At the same agency the following situation with respect to taxation of lands exists: The lands within the reservation were purchased by the Indians, with annuity funds drawn prior to leaving their Kansas reservation, and have never been allotted but are held as tribal property. In the deed of purchase the Governor of Iowa was named trustee and by an act approved February 14, 1896, the State of Iowa tendered jurisdiction over the Indians to the United States, section 3 of the act reading in part as follows: Nothing contained in this act shall be so construed as to prevent on any of the lands referred to in this act the service of any judicial process issued by or returnable to any court of this State or judge thereof, or to prevent such courts from exercisingˇjurisdiction of crimes against the laws of Iowa committed thereon * or to prevent the establishment and maintenance of highways and the exercise of the right of eminent domain * * * over lands now or hereafter owned by or held in trust for said Indians, or to prevent the taxation of said lands for the State, county, bridge, county-road, and district-road purposes, and such other purposes as the general assembly may from time to time by special statute provide. By the act of June 10, 1896 (29 Stat. 331), the United States accepted and assumed jurisdiction over the Indians and their lands in question subject to the limitations prescribed in the State act. Over a 14-year period ended with the year 1927 the Sac and Fox Indians in Tama County, Iowa, paid total taxes of $18,796.22, of which amount $4,434.83 was road tax. The north and south road through the reservation, about 21⁄2 miles, the only road to many of the Indian homes, is very rough and in bad weather is almost impassable. This road is also used by others than the Indians. Efforts to get the county to repair the road and bridges have met with refusal upon the ground that they are on Indian property. The Indians of this reservation are largely dependent upon their own efforts in obtaining a livelihood and in order to secure funds to pay taxes, which during the period stated above averaged over $1,300 annually, have been forced to lease 520 acres of their land, which has reduced the per capita acreage available for cultivation to less than 3 acres. MENOMINEE INDIAN RESERVATION On this reservation a tree nursery is operated, the expenses of which are paid from the "Menominee 4 per cent fund." The project is for reforestation purposes, but the Indians are objecting to the 4 per cent fund bearing the expense and also contend that the building occupied by the supervisor is needed as a home for aged and indigent Indians of the tribe. IRRIGATION CHARGES Charges of this nature have caused no little discontent among the Indians against whose lands the charges have been assessed. While the construction charges of some projects were paid outright from tribal funds and some charged against tribes as reimbursable loans. the operation and maintenance charges, except where paid by lessees, operate as liens against the lands and are accumulating at a rate that is fast absorbing the value of the land. These charges had legislative approval, consequently their removal, if made in any manner other than through payment, is for consideration by the Congress. If not removed by the time the trust period expires on the several allotments it is not seen how fee patents, "discharged of said trust and free from all charge and incumbrance whatsoever", can be issued as is provided for in the trust patents now in force. FIVE CIVILIZED TRIBES In the case of Wirt K. Winton, administrator of Charles F. Winton, deceased, et al. v. Jack Amos et al., known as the Mississippi Choctaws, the Court of Claims on June 12, 1922, rendered judgment in favor of Robert L. Owen and associates for $175,000 for services in behalf of the rights to citizenship in the Choctaw Nation of 1,643 Mississippi Choctaw Indians whereby said Indians became eligible to benefits under tribal agreements with the United States. By the act of September 22, 1922 (42 Stat. 1053), the Secretary of the Interior was authorized to pay to Robert L. Owen and his associates the amount of the judgment, namely $175,000, out of any funds then or thereafter due the Mississippi Choctaws, meeting any deficiency out of the reserve for unpaid Choctaw per capita funds thereafter due Mississippi Choctaws per capita. On November 14, 1922, payment in satisfaction of the judgment was made, $38,823.25 from individual funds of the Mississippi Choctaws, and $136,176.75 from "Indian moneys, proceeds of labor, Choctaw unallotted lands". Since that time and up to June 30, 1928, repayments to the latter fund amounting to $62,683.68 have been made from individual funds and per capita shares, leaving a balance due the fund as of June 30, 1928, of $73,493.07. The legal diversion of funds from "Indian moneys, proceeds of labor, Choctaw unallotted lands", even though full reimbursement is finally made, has deprived the tribe of interest on the sum diverted and has delayed the partitioning of such sum. The investigation at the Hayward Indian School, Wisconsin, developed that of the $10,000 appropriated for the fiscal year 1928, by the act of January 12, 1927 (44 Stat. 956), "to carry out the provisions of the Chippewa treaty of September 30, 1854 (10 Stat. 1109)”, $9,000 was paid in annuities (90 shares at $100 each) and the remaining $1,000 allotted by the Commissioner of Indian Affairs to cover unforeseen needs. Of the $1,000, $500 was transferred to the personal accounts of two old and indigent Indians ($200 to one and $300 to the other) which latter amounts were paid in monthly installments for their maintenance. This $500 was credited to their accounts in addition to the credit of the regular $100 annuity in each case. The act of January 12, 1927, provided: * * said sum of $10,000 to be expended in purchase of lands or for the benefit of said Indians by the Commissioner of Indian Affairs: Provided, That in the discretion of the Commissioner of Indian Affairs, the per capita share of any said Indians under this appropriation may be paid in cash. An examination of the treaty of September 30, 1854, shows that it provides for the payment of annuities but does not provide for the care of old and indigent Indians. The provision in the appropriation act for the payment of the $10,000 through "per capita shares" appears not to have been complied with when $1,000 of the amount appropriated was diverted to other uses. The tabulation referred to on page 40 follows: Classification of disbursements of Indian moneys, proceeds of labor, Flathead Indians (support) pers. 3. Automobile parts, accessories, and repairs, including tires and tubes. 4. Automobile (and motors) gas, 10. Electricity, service charges. 30. Hospital supplies and equip- 34. Livestock, purchase of. 36. Feed for livestock. 41. Office equipment and appliances. 42. Periodicals, magazines, and pa 44. Photographic work. 45. Police protection, 4.65 5.15 including board of prisoners. 46. Postage, money-order fees, and telegrams. Classification of disbursements of Indian moneys, proceeds of labor, Flathead Indians (support)-Continued REIMBURSABLE SALES AND AGREEMENTS For many years Congress has appropriated out of the general fund in the Treasury amounts which could be used in the Indian Service for the purchase of building material, household and farm supplies, farm and other equipment, livestock, etc., for sale to Indians. The appropriation acts contain provisions for repayment and have from time to time placed restrictions on the amount which may be used at any one agency, or on the use of any part of such funds for the purchase of tribal herds. The general appropriation is entitled "Industry Among Indians," and the appropriation for the fiscal year 1928, act of January 12, 1927 (44 Stat. 942), is worded as follows: 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, $175,000, or so much thereof as may be necessary, which sum may be used for the purchase of seeds, animals, machinery, tools, implements, and other equipment necessary, and for advances to Indians having irrigable allotments to assist them in the development and cultivation thereof, in the discretion of the Secretary of the Interior, to enable Indians to become self-supporting: Provided, That the expenditures for the purposes above set forth shall be under conditions to be prescribed by the Secretary of the Interior for its repayment to the United States on or before June 30, 1933: Provided further, That not to exceed $15,000 of the amount herein appropriated shall be expended on any one reservation or for the benefit of any one tribe of Indians, and that no part of this appropriation shall be used for the purchase of tribal herds: Provided further, That the Secretary of the Interior is hereby authorized, in his discretion and under such rules and regulations as he may prescribe, to make advances from this appropriation to old, disabled, or indigent Indian allottees, for their support, to remain a charge and lien against their lands until paid. In addition to appropriations from the general fund Congress has from time to time authorized the expenditure of tribal funds for similar purchases for resale, and the Bureau of Indian Affairs has also sanctioned at times such use of tribal funds. While not directly applicable to the subject considered under this heading, appropriations have been made for irrigation and drainage. projects, with proviso that the construction costs become a lien on the Indians' property, and the maintenance and operation costs be for repayment by the Indian allottee or water user. 38507-S. Doc. 263, 70-2- -4 |