[Congressional Record Volume 143, Number 152 (Tuesday, November 4, 1997)]
[House]
[Pages H9931-H9937]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




PROVIDING FOR THE DIVISION, USE, AND DISTRIBUTION OF JUDGMENT FUNDS OF 
                      OTTAWA AND CHIPPEWA INDIANS

  Mr. SAXTON. Mr. Speaker, I move to suspend the rules and pass the 
bill (H.R. 1604) to provide for the division, use, and distribution of 
judgment funds of the Ottawa and Chippewa Indians of Michigan pursuant 
to dockets numbered 18-E, 58, 364, and 18-R before the Indian Claims 
Commission, as amended.
  The Clerk read as follows:

                               H.R. 1604

       Be it enacted by the Senate and House of Representatives of 
     the United States of America in Congress assembled,

     SECTION 1. TABLE OF CONTENTS.

       The table of contents for this Act is as follows:

Sec. 1. Table of contents.
Sec. 2. Findings; purpose.
Sec. 3. Definitions.
Sec. 4. Division of funds.
Sec. 5. Development of tribal plans for use or distribution of funds.
Sec. 6. Preparation of judgment distribution roll of descendants.
Sec. 7. Plan for use and distribution of Bay Mills Indian Community 
              funds.
Sec. 8. Plan for use of Sault Ste. Marie Tribe of Chippewa Indians of 
              Michigan funds.
Sec. 9. Plan for use of Grand Traverse Band of Ottawa and Chippewa 
              Indians of Michigan funds.
Sec. 10. Payment to newly recognized or reaffirmed tribes.
Sec. 11. Treatment of funds in relation to other laws.
Sec. 12. Treaties not affected.

     SEC. 2. FINDINGS; PURPOSE.

       (a) Findings.--Congress finds the following:
       (1) Judgments were rendered in the Indian Claims Commission 
     in dockets numbered 18-E, 58, and 364 in favor of the Ottawa 
     and Chippewa Indians of Michigan and in docket numbered 18-R 
     in favor of the Sault Ste. Marie Tribe of Chippewa Indians.
       (2) The funds Congress appropriated to pay these judgments 
     have been held by the Department of the Interior for the 
     beneficiaries pending a division of the funds among the 
     beneficiaries in a manner acceptable to the tribes and 
     descendency group and pending development of plans for the 
     use and distribution of the respective tribes' share.
       (3) The 1836 treaty negotiations show that the United 
     States concluded negotiations with the Chippewa concerning 
     the cession of the upper peninsula and with the Ottawa with 
     respect to the lower peninsula.
       (4) A number of sites in both areas were used by both the 
     Ottawa and Chippewa Indians. The Ottawa and Chippewa Indians 
     were intermarried and there were villages composed of members 
     of both tribes.
       (b) Purpose.--It is the purpose of this Act to provide for 
     the fair and equitable division of the judgment funds among 
     the beneficiaries and to provide the opportunity for the 
     tribes to develop plans for the use or distribution of their 
     share of the funds.

     SEC. 3. DEFINITIONS.

       For purposes of this Act the following definitions apply:
       (1) The term ``judgment funds'' means funds appropriated in 
     full satisfaction of judgments made in the Indian Claims 
     Commission--
       (A) reduced by an amount for attorneys fees and litigation 
     expenses; and
       (B) increased by the amount of any interest accrued with 
     respect to such funds.
       (2) The term ``dockets 18-E and 58 judgment funds'' means 
     judgment funds awarded in dockets numbered 18-E and 58 in 
     favor of the Ottawa and Chippewa Indians of Michigan.
       (3) The term ``docket 364 judgment funds'' means the 
     judgment funds awarded in docket numbered 364 in favor of the 
     Ottawa and Chippewa Indians of Michigan.
       (4) The term ``docket 18-R judgment funds'' means the 
     judgment funds awarded in docket numbered 18-R in favor of 
     the Sault Ste. Marie Band of Chippewa Indians.
       (5) The term ``judgment distribution roll of descendants'' 
     means the roll prepared pursuant to section 6.
       (6) The term ``Secretary'' means the Secretary of the 
     Interior.

     SEC. 4. DIVISION OF FUNDS.

       (a) Docket 18-E and 58 Judgment Funds.--The Secretary shall 
     divide the docket 18-E and 58 judgment funds as follows:
       (1) The lesser of 13.5 percent and $9,253,104.47, and 
     additional funds as described in this section, for newly 
     recognized or reaffirmed tribes described in section 10 and 
     eligible individuals on the judgment distribution roll of 
     descendants.
       (2) 34.6 percent to the Sault Ste. Marie Tribe of Chippewa 
     Indians of Michigan and the Bay Mills Indian Community, of 
     which--
       (A) the lesser of 35 percent of the principal and interest 
     as of December 31, 1996, and $8,313,877 shall be for the Bay 
     Mills Indian Community; and
       (B) the remaining amount (less $161,723.89 which shall be 
     added to the funds described in paragraph (1)) shall be for 
     the Sault Ste. Marie Tribe of Chippewa Indians of Michigan.
       (3) 17.3 percent (less $161,723.89 which shall be added to 
     the funds described in paragraph (1)) to the Grand Traverse 
     Band of Ottawa and Chippewa Indians of Michigan.
       (4) 17.3 percent (less $161,723.89 which shall be added to 
     the funds described in paragraph (1)) to the Little Traverse 
     Bay Bands of Odawa Indians of Michigan.
       (5) 17.3 percent (less $161,723.89 which shall be added to 
     the funds described in paragraph (1)) to the Little River 
     Band of Ottawa Indians of Michigan.
       (6) Any funds remaining after distribution pursuant to 
     paragraphs (1) through (5) shall be divided and distributed 
     to each of the recognized tribes listed in this subsection in 
     an amount which bears the same ratio to the amount so divided 
     and distributed as the distribution of judgment funds 
     pursuant to each of paragraphs (2) through (5) bears to the 
     total distribution under all such paragraphs.
       (b) Docket 364 Judgment Funds.--The Secretary shall divide 
     the docket 364 judgment funds as follows:
       (1) The lesser of 20 percent and $28,026.79 for newly 
     recognized or reaffirmed tribes described in section 10 and 
     eligible individuals on the judgment distribution roll of 
     descendants.
       (2) 32 percent to the Sault Ste. Marie Tribe of Chippewa 
     Indians of Michigan and the Bay Mills Indian Community, of 
     which--
       (A) 35 percent shall be for the Bay Mills Indian Community; 
     and
       (B) the remaining amount shall be for the Sault Ste. Marie 
     Tribe of Chippewa Indians of Michigan.
       (3) 16 percent to the Grand Traverse Band of Ottawa and 
     Chippewa Indians of Michigan.
       (4) 16 percent to the Little Traverse Bay Bands of Odawa 
     Indians of Michigan.
       (5) 16 percent to the Little River Band of Ottawa Indians 
     of Michigan.
       (6) Any funds remaining after distribution pursuant to 
     paragraphs (1) through (5) shall be divided and distributed 
     to each of the recognized tribes listed in this subsection in 
     an amount which bears the same ratio to the amount so divided 
     and distributed as the distribution of judgment funds 
     pursuant to each of paragraphs (2) through (5) bears to the 
     total distribution under all such paragraphs.
       (c) Docket 18-R Judgment Funds.--The Secretary shall divide 
     the docket 18-R judgment funds as follows:
       (1) 65 percent to the Sault Ste. Marie Tribe of Chippewa 
     Indians of Michigan.

[[Page H9932]]

       (2) 35 percent to the Bay Mills Indian Community.
       (d) Amounts for Newly Recognized or Reaffirmed Tribes or 
     Individuals on the Judgment Distribution Roll of Descendants 
     Held in Trust.--Pending distribution under this Act to newly 
     recognized or reaffirmed tribes described in section 10 or 
     individuals on the judgment distribution roll of descendants, 
     the Secretary shall hold amounts referred to in subsections 
     (a)(1) and (b)(1) in trust.

     SEC. 5. DEVELOPMENT OF TRIBAL PLANS FOR USE OR DISTRIBUTION 
                   OF FUNDS.

       (a) Disbursement of Funds.--(1) Except as provided in 
     paragraphs (2), (3), and (4), the Secretary shall disburse 
     each tribe's respective share of the judgment funds described 
     in subsections (a), (b), and (c) of section 4 not later than 
     30 days after a plan for use and distribution of such funds 
     has been approved in accordance with this section. 
     Disbursement of a tribe's share shall not be dependent upon 
     approval of any other tribe's plan.
       (2) Section 7 shall be the plan for use and distribution of 
     the judgment funds described in subsections (a)(2)(A), 
     (b)(2)(A), and (c)(2) of section 4. Such plan shall be 
     approved upon the enactment of this Act and such funds shall 
     be distributed by the Secretary to the Bay Mills Indian 
     Community not later than 90 days after the date of the 
     enactment of this Act to be used and distributed in 
     accordance with section 7.
       (3) Section 8 shall be the plan for use and distribution of 
     the judgment funds described in subsections (a)(2)(B), 
     (b)(2)(B), and (c)(1) of section 4. Such plan shall be 
     approved upon the enactment of this Act and such funds shall 
     be distributed by the Secretary to the Sault Ste. Marie Tribe 
     of Chippewa Indians of Michigan not later than 90 days after 
     the date of the enactment of this Act to be used and 
     distributed in accordance with section 8.
       (4) Section 9 shall be the plan for use and distribution of 
     the judgment funds described in subsections (a)(3) and (b)(3) 
     of section 4. Such plan shall be approved upon the enactment 
     of this Act and such funds shall be distributed by the 
     Secretary to the Grand Traverse Band of Ottawa and Chippewa 
     Indians of Michigan, not later than 90 days after the date of 
     the enactment of this Act to be used and distributed in 
     accordance with section 9.
       (b) Approval or Comment of Secretary.--(1) Except as 
     otherwise provided in this Act, each tribe shall develop a 
     plan for the use and distribution of its respective share of 
     the judgment funds. The tribe shall hold a hearing or general 
     membership meeting on its proposed plan. The tribe shall 
     submit to the Secretary its plan together with an 
     accompanying resolution of its governing body accepting such 
     plan, a transcript of its hearings or meetings in which the 
     plan was discussed with its general membership, any documents 
     circulated or made available to the membership on the 
     proposed plan, and comments from its membership received on 
     the proposed plan.
       (2) Not later than 90 days after a tribe makes its 
     submission under paragraph (1), the Secretary shall--
       (A) if the plan complies with the provisions of section 
     3(b) of the Indian Tribal Judgment Funds Use or Distribution 
     Act (25 U.S.C. 1403(b)), approve the plan; or
       (B) if the plan does not comply with the provisions of 
     section 3(b) of the Indian Tribal Judgment Funds Use or 
     Distribution Act (25 U.S.C. 1403(b)), return the plan to the 
     tribe with comments advising the tribe why the plan does not 
     comply with such provisions.
       (c) Response by Tribe.--The tribe shall have 60 days after 
     receipt of comments under subsection (b)(2), or other time as 
     the tribe and the Secretary agree upon, in which to respond 
     to such comments and make such response by submitting a 
     revised plan to the Secretary.
       (d) Submission to Congress.--(1) The Secretary shall, 
     within 45 days after receiving the governing body's comments 
     under subsection (c), submit a plan to Congress in accordance 
     with the provisions of section 3(b) of the Indian Tribal 
     Judgment Funds Use or Distribution Act (25 U.S.C. 1403(b)). 
     If the tribe does not submit a response pursuant to 
     subsection (c), the Secretary shall, not later than 45 days 
     after the end of the response time for such a response, 
     submit a plan to Congress in accordance with the provisions 
     of section 3(b) of the Indian Tribal Judgment Funds Use or 
     Distribution Act (25 U.S.C. 1403(b)).
       (2) If a tribe does not submit a plan to the Secretary 
     within 8 years of the date of enactment of this Act, the 
     Secretary shall approve a plan which complies with the 
     provisions of section 3(b) of the Indian Tribal Judgment 
     Funds Use or Distribution Act (25 U.S.C. 1403(b)).
       (e) Governing Law After Approval by Secretary.--Once 
     approved by the Secretary under this Act, the effective date 
     of the plan and other requisite action, if any, is determined 
     by the provisions of section 5 of the Indian Tribal Judgment 
     Funds Use or Distribution Act (25 U.S.C. 1405).
       (f) Hearings Not Required.--Notwithstanding section 3 and 
     section 4 of the Indian Tribal Judgment Funds Use or 
     Distribution Act (25 U.S.C. 1403 and 25 U.S.C. 1404), the 
     Secretary shall not be required to hold hearings or submit 
     transcripts of any hearings held previously concerning the 
     Indian judgments which are related to the judgment funds. The 
     Secretary's submission of the plan pursuant to this Act shall 
     comply with section 4 of the Indian Tribal Judgment Funds Use 
     or Distribution Act (25 U.S.C. 1404).

     SEC. 6. PREPARATION OF JUDGMENT DISTRIBUTION ROLL OF 
                   DESCENDANTS.

       (a) Preparation.--
       (1) In general.--The Secretary shall prepare, in accordance 
     with parts 61 and 62 of title 25, Code of Federal 
     Regulations, a judgment distribution roll of all citizens of 
     the United States who--
       (A) were born on or before the date of enactment of this 
     Act;
       (B) were living on the date of the enactment of this Act;
       (C) are of at least one-quarter Michigan Ottawa or Chippewa 
     Indian blood, or a combination thereof;
       (D) are not members of the tribal organizations listed in 
     section 4;
       (E) are lineal descendants of the Michigan Ottawa or 
     Chippewa bands or tribes that were parties to either the 1820 
     treaty (7 Stat. 207), the 1836 treaty (7 Stat. 491), or the 
     1855 treaty (11 Stat. 621);
       (F) are lineal descendants of at least one of the groups 
     described in subsection (d); and
       (G) are not described in subsection (e).
       (2) Time limitations.--The judgment distribution roll of 
     descendants prepared pursuant to paragraph (1)--
       (A) shall not be approved before 8 years after the date of 
     the enactment of this Act or a final determination has been 
     made regarding each petition filed pursuant to section 10, 
     whichever is earlier; and
       (B) shall be approved not later than 9 years after the date 
     of the enactment of this Act.
       (b) Applications.--Applications for inclusion on the 
     judgment distribution roll of descendants must be filed with 
     the superintendent, Michigan agency, Bureau of Indian 
     Affairs, Sault Ste. Marie, Michigan, not later than 1 year 
     after the date of enactment of this Act.
       (c) Appeals.--Appeals arising under this section shall be 
     handled in accordance with parts 61 and 62 of title 25, Code 
     of Federal Regulations.
       (d) Groups.--The groups referred to in subsection (a)(1)(F) 
     are Chippewa or Ottawa tribe or bands of--
       (1) Grand River, Traverse, Grand Traverse, Little Traverse, 
     Maskigo, or L'Arbre Croche, Cheboigan, Sault Ste. Marie, 
     Michilmackinac; and
       (2) any subdivisions of any groups referred to in paragraph 
     (1).
       (e) Ineligible Individuals.--An individual is not eligible 
     under this section, if that individual--
       (1) received benefits pursuant to the Secretarial Plan 
     effective July 17, 1983, for the use and distribution of 
     Potawatomi judgment funds;
       (2) received benefits pursuant to the Secretarial Plan 
     effective November 12, 1977, for the use and distribution of 
     Saginaw Chippewa judgment funds;
       (3) is a member of the Keweenaw Bay Chippewa Indian 
     Community of Michigan on the date of the enactment of this 
     Act;
       (4) is a member of the Lac Vieux Desert Band of Lake 
     Superior Chippewa Indians on the date of the enactment of 
     this Act; or
       (5) is a member of a tribe whose membership is 
     predominantly Potawatomi.
       (f) Use of Horace B. Durant Roll.--In preparing the 
     judgment distribution roll of descendants under this section, 
     the Secretary shall refer to the Horace B. Durant Roll, 
     approved February 18, 1910, of the Ottawa and Chippewa Tribe 
     of Michigan, as qualified and corrected by other rolls and 
     records acceptable to the Secretary, including the Durant 
     Field Notes of 1908-1909 and the Annuity Payroll of the 
     Ottawa and Chippewa Tribe of Michigan approved May 17, 1910. 
     The Secretary may employ the services of the descendant group 
     enrollment review committees.
       (g) Payment of Funds.--Subject to section 10, not later 
     than 90 days after the approval by the Secretary of the 
     judgment distribution roll of descendants prepared pursuant 
     to this section, the Secretary shall distribute per capita 
     the funds described in subsections (a)(1) and (b)(1) of 
     section 4 to the individuals listed on that judgment 
     distribution roll of descendants. Payment under this 
     section--
       (1) to which a living, competent adult is entitled under 
     this Act shall be paid directly to that adult;
       (2) to which a deceased individual is entitled under this 
     Act shall be paid to that individual's heirs and legatees 
     upon determination of such heirs and legatees in accordance 
     with regulations prescribed by the Secretary; and
       (3) to which a legally incompetent individual or an 
     individual under 18 years of age is entitled under this Act 
     shall be paid in accordance with such procedures (including 
     the establishment of trusts) as the Secretary determines to 
     be necessary to protect and preserve the interests of that 
     individual.

     SEC. 7. PLAN FOR USE AND DISTRIBUTION OF BAY MILLS INDIAN 
                   COMMUNITY FUNDS.

       (a) Tribal Land Trust.--(1) The Executive Council of the 
     Bay Mills Indian Community shall establish a nonexpendable 
     trust to be known as the ``Land Trust''. Not later than 60 
     days after receipt of the funds distributed to the Bay Mills 
     Indian Community pursuant to this Act, the Executive Council 
     of the Bay Mills Indian Community shall deposit 20 percent of 
     the share of the Bay Mills Indian Community into the Land 
     Trust.
       (2) The Executive Council shall be the trustee of the Land 
     Trust and shall administer the Land Trust in accordance with 
     this section. The Executive Council may retain or hire a 
     professional trust manager and may pay the prevailing market 
     rate for such services. Such payment for services shall be

[[Page H9933]]

     made from the current income accounts of the trust and 
     charged against earnings of the current fiscal year.
       (3) The earnings generated by the Land Trust shall be used 
     exclusively for improvements on tribal land or the 
     consolidation and enhancement of tribal landholdings through 
     purchase or exchange. Any land acquired with funds from the 
     Land Trust shall be held as Indian lands are held.
       (4) The principal of the Land Trust shall not be expended 
     for any purpose, including but not limited to, per capita 
     payment to members of the Bay Mills Indian Community.
       (5) The Land Trust shall be maintained as a separate 
     account, which shall be audited at least once during each 
     fiscal year by an independent certified public accountant who 
     shall prepare a report on the results of such audit. Such 
     report shall be a public document, and shall be available for 
     inspection by any member of the Bay Mills Indian Community.
       (6) Notwithstanding any other provision of law, the 
     approval of the Secretary of any payment from the Land Trust 
     shall not be required and the Secretary shall have no trust 
     responsibility for the investment, supervision, 
     administration, or expenditure of funds from the Land Trust.
       (b) Land Claims Distribution Trust.--(1) The Executive 
     Council of the Bay Mills Indian Community shall establish a 
     nonexpendable trust to be known as the ``Land Claims 
     Distribution Trust Fund''. Not later than 60 days after 
     receipt of the funds distributed to the Bay Mills Indian 
     Community pursuant to this Act, the Executive Council of the 
     Bay Mills Indian Community shall deposit into the Land Claims 
     Distribution Trust Fund the principal funds which shall 
     consist of--
       (A) amounts remaining of the funds distributed to the Bay 
     Mills Indian Community after distribution pursuant to 
     subsections (a) and (c);
       (B) 10 percent of the annual earnings generated by the Land 
     Claims Distribution Trust Fund; and
       (C) such other funds which the Executive Council chooses to 
     add to the Land Claims Distribution Trust Fund.
       (2) The Executive Council shall be the trustee of the Land 
     Claims Distribution Trust Fund and shall administer the Land 
     Claims Distribution Trust Fund in accordance with this 
     section. The Executive Council may retain or hire a 
     professional trust manager and may pay for said services the 
     prevailing market rate. Such payment for services shall be 
     made from the current income accounts of the trust and 
     charged against earnings of the current fiscal year.
       (3) 90 percent of the annual earnings of the Land Claims 
     Distribution Trust Fund shall be distributed on October 1 of 
     each year after the creation of the trust fund to any person 
     who--
       (A) is enrolled as a member of the Bay Mills Indian 
     Community;
       (B) is at least 55 years of age as of the annual 
     distribution date; and
       (C)(i) has been enrolled as a member of the Bay Mills 
     Indian Community for a minimum of 25 years as of the annual 
     distribution date, or
       (ii) was adopted as a member of the Bay Mills Indian 
     Community on or before June 30, 1996.
       (4) In the event that a member of the Bay Mills Indian 
     Community who is eligible for payment under subsection 
     (b)(3), should die after preparation of the annual 
     distribution roll and prior to the October 1 distribution, 
     that individual's share for that year shall be provided to 
     the member's heirs at law.
       (5) In the event that a member of the Bay Mills Indian 
     Community who is at least 55 years of age and who is eligible 
     for payment under subsection (b)(3), shall have a guardian 
     appointed for said individual, such payment shall be made to 
     the guardian.
       (6) Under no circumstances shall any part of the principal 
     of the Land Claims Distribution Trust Fund be distributed as 
     a per capita payment to members of the Bay Mills Indian 
     Community, or used or expended for any other purpose by the 
     Executive Council.
       (7) The Land Claims Distribution Trust Fund shall be 
     maintained as a separate account, which shall be audited at 
     least once during each fiscal year by an independent 
     certified public accountant who shall prepare a report on the 
     results of such audit. Such report shall be a public document 
     and shall be available for inspection by any member of the 
     Bay Mills Indian Community.
       (8) Notwithstanding any other provision of law, the 
     approval of the Secretary of any payment from the Land Claims 
     Distribution Trust Fund shall not be required and the 
     Secretary shall have no trust responsibility for the 
     investment, supervision, administration, or expenditure of 
     the Fund.
       (c) Land Claims Initial Payment.--As compensation to the 
     members of the Bay Mills Indian Community for the delay in 
     distribution of the judgment fund, payment shall be made by 
     the Executive Council within 30 days of receipt of the Bay 
     Mills Indian Community's share of the judgment fund from the 
     Secretary, as follows:
       (1) The sum of $3,000 to each enrolled member of the Bay 
     Mills Indian Community living on the date of enactment of 
     this legislation, who has attained the age of 55 years, but 
     is less than 62 years of age, if that individual was adopted 
     into or a member of the Bay Mills Indian Community on or 
     before June 30, 1996.
       (2) The sum of $5,000 to each enrolled member of the Bay 
     Mills Indian Community living on the date of enactment of 
     this legislation, who is at least 62 years of age and less 
     than and 70 years of age, if that individual was adopted into 
     or a member of the Bay Mills Indian Community on or before 
     June 30, 1996.
       (3) The sum of $10,000 to each enrolled member of the Bay 
     Mills Indian Community living on the date of enactment of 
     this legislation, who is 70 years of age or older, if that 
     individual was adopted into or a member of the Bay Mills 
     Indian Community on or before June 30, 1996.
       (d) Annual Payments From Land Claims Distribution Trust 
     Fund.--The Executive Council shall prepare the annual 
     distribution roll and ensure its accuracy prior to August 30 
     of each year prior to distribution. The distribution roll 
     shall identify each member of the Bay Mills Indian Community 
     who, on the date of distribution, will have attained the 
     minimum age and membership duration required for distribution 
     eligibility, as specified in subsection (b)(3). The number of 
     eligible persons in each age category defined in this 
     subsection, multiplied by the number of shares for which the 
     age category is entitled, added together for the 3 
     categories, shall constitute the total number of shares to be 
     distributed each year. On each October 1, the shares shall be 
     distributed as follows:
       (1) Each member who is at least 55 years of age and less 
     than 62 years of age shall receive 1 share.
       (2) Each member who is between the ages of 62 and 69 years 
     shall receive 2 shares.
       (3) Each member who is 70 years of age or older shall 
     receive 3 shares.

     SEC. 8. PLAN FOR USE OF SAULT STE. MARIE TRIBE OF CHIPPEWA 
                   INDIANS OF MICHIGAN FUNDS.

       (a) Self-Sufficiency Fund.
       (1) The Sault Ste. Marie Tribe of Chippewa Indians of 
     Michigan (referred to in this section as the ``Sault Ste. 
     Marie Tribe''), through its board of directors, shall 
     establish a trust fund for the benefit of the Sault Ste. 
     Marie Tribe which shall be known as the ``Self-Sufficiency 
     Fund''. The principal of the Self-Sufficiency Fund shall 
     consist of--
       (A) the Sault Ste. Marie Tribe's share of the judgment 
     funds transferred by the Secretary to the board of directors 
     pursuant to subsection (e);
       (B) such amounts of the interest and other income of the 
     Self-Sufficiency Fund as the board of directors may choose to 
     add to the principal; and
       (C) any other funds that the board of directors of the 
     Sault Ste. Marie Tribe chooses to add to the principal.
       (2) The board of directors shall be the trustee of the 
     Self-Sufficiency Fund and shall administer the Fund in 
     accordance with the provisions of this section.
       (b) Use of Principal.--
       (1) The principal of the Self-Sufficiency Fund shall be 
     used exclusively for investments or expenditures which the 
     board of directors determines--
       (A) are reasonably related to--
       (i) economic development beneficial to the tribe; or
       (ii) development of tribal resources;
       (B) are otherwise financially beneficial to the tribe and 
     its members; or
       (C) will consolidate or enhance tribal landholdings.
       (2) At least one-half of the principal of the Self-
     Sufficiency Fund at any given time shall be invested in 
     investment instruments or funds calculated to produce a 
     reasonable rate of return without undue speculation or risk.
       (3) No portion of the principal of the Self-Sufficiency 
     Fund shall be distributed in the form of per capita payments.
       (4) Any lands acquired using amounts from the Self-
     Sufficiency Fund shall be held as Indian lands are held.
       (c) Use of Self-Sufficiency Fund Income.--The interest and 
     other investment income of the Self-Sufficiency Fund shall be 
     distributed--
       (1) as an addition to the principal of the Fund;
       (2) as a dividend to tribal members;
       (3) as a per capita payment to some group or category of 
     tribal members designated by the board of directors;
       (4) for educational, social welfare, health, cultural, or 
     charitable purposes which benefit the members of the Sault 
     Ste. Marie Tribe; or
       (5) for consolidation or enhancement of tribal lands.
       (d) General Rules and Procedures.--
       (1) The Self-Sufficiency Fund shall be maintained as a 
     separate account.
       (2) The books and records of the Self-Sufficiency Fund 
     shall be audited at least once during each fiscal year by an 
     independent certified public accountant who shall prepare a 
     report on the results of such audit. Such report shall be 
     treated as a public document of the Sault Ste. Marie Tribe 
     and a copy of the report shall be available for inspection by 
     any enrolled member of the Sault Ste. Marie Tribe.
       (e) Transfer of Judgment Funds to Self-Sufficiency Fund.--
       (1) The Secretary shall transfer to the Self-Sufficiency 
     Fund the share of the funds which have been allocated to the 
     Sault Ste. Marie Tribe pursuant to section 4.
       (2) Notwithstanding any other provision of law, after the 
     transfer required by paragraph (1) the approval of the 
     Secretary for any payment or distribution from the principal 
     or income of the Self-Sufficiency Fund shall not be required 
     and the Secretary shall have no trust responsibility for the 
     investment,

[[Page H9934]]

     administration, or expenditure of the principal or income of 
     the Self-Sufficiency Fund.
       (f) Lands Acquired Using Interest or Other Income of the 
     Self-Sufficiency Fund.--Any lands acquired using amounts from 
     interest or other income of the Self-Sufficiency Fund shall 
     be held in trust by the Secretary for the benefit of the 
     tribe.

     SEC. 9. PLAN FOR USE OF GRAND TRAVERSE BAND OF OTTAWA AND 
                   CHIPPEWA INDIANS OF MICHIGAN FUNDS.

       (a) Land Claims Distribution Trust Fund.--(1) The share of 
     the Grand Traverse Band of Ottawa and Chippewa Indians of 
     Michigan (hereafter in this section referred to as the 
     ``Band''), as determined pursuant to subsections (a)(3) and 
     (b)(3) of section 4, shall be deposited by the Secretary in a 
     nonexpendable trust fund to be established by the Tribal 
     Council of the Band to be known as the ``Land Claims 
     Distribution Trust Fund'' (hereafter in this section referred 
     to as the ``Trust Fund'').
       (2) The principal of the Trust Fund shall consist of--
       (A) the funds deposited into the Trust Fund by the 
     Secretary pursuant to this subsection;
       (B) annual earnings of the Trust Fund which shall be 
     retained, and added to the principal; and
       (C) such other funds as may be added to the Trust Fund by 
     action of the Tribal Council of the Band.
       (b) Management of the Trust Fund.--The Tribal Council of 
     the Band shall be the trustee of the Trust Fund and shall 
     administer the Fund in accordance with this section. In 
     carrying out this responsibility, the Tribal Council may 
     retain or hire a professional trust manager and may pay the 
     prevailing market rate for such services. Such payment for 
     services shall be made from the current income accounts of 
     the Trust Fund and charged against the earnings of the fiscal 
     year in which the payment becomes due.
       (c) Trust Fund as Loan Collateral.--(1) The Trust Fund 
     shall be used by the Band as collateral to secure a bank loan 
     equal to 80 percent of the principal of the Trust Fund at the 
     lowest interest rate then available. Such loan shall be used 
     by the Band to make a one-time per capita payment to all 
     eligible members.
       (2) The loan secured pursuant to this subsection shall be 
     amortized by the earnings of the Trust Fund. The Tribal 
     Council of the Band shall have the authority to invest the 
     principal of the Trust Fund on market risk principles that 
     will ensure adequate payments of the debt obligation while at 
     the same time protecting the principal.
       (d) Elders' Land Claim Distribution Trust Fund.--(1) Upon 
     the retirement of the loan obtained pursuant to subsection 
     (c), the Tribal Council shall establish the Grand Traverse 
     Band Elders' Land Claims Distribution Trust Fund (hereafter 
     in this section referred to as the ``Elders' Trust Fund''). 
     There shall be deposited into the Elders' Trust Fund the 
     principal and all accrued earnings that are in the Land 
     Claims Distribution Trust Fund on the date of retirement of 
     such loan.
       (2) Upon establishment of the Elders' Trust Fund, the 
     Tribal Council of the Band shall make a one-time payment to 
     any person who is living on the date of the establishment of 
     the Elders' Trust Fund, and who was an enrolled member of the 
     Band for at least 2 years prior to, the date of the enactment 
     of this Act as follows:
       (A) $500 for each member who has attained the age of 55 
     years, but is less than 62 years of age.
       (B) $1,000 for each member who has attained the age of 62 
     years, but is less than 70 years of age.
       (C) $2,500 for each member who is 70 years of age or older.
       (3) After distribution pursuant to paragraph (2), the net 
     annual earnings of the Elders' Trust Fund shall be 
     distributed as follows:
       (A) 90 percent shall be distributed on October 1 of each 
     year after the creation of the Elder's Trust Fund to all 
     living enrolled members of the Band who have attained the age 
     of 55 years upon such date, and who shall have been an 
     enrolled member of the Band for not less than 2 years upon 
     such date.
       (B) 10 percent shall be added to the principal of the 
     Elders' Trust Fund.
       (4) Distribution pursuant to paragraph (3)(A) shall be as 
     follows:
       (A) One share for each person on the current annual Elders' 
     roll who has attained the age of 55 years, but is less than 
     62 years of age.
       (B) Two shares for each person who has attained the age of 
     62 years, but is less than 70 years of age.
       (C) Three shares for each person who is 70 years of age or 
     older.
       (5) None of the funds in the Elders' Trust Fund shall be 
     distributed or expended for any purpose other than as 
     provided in this subsection.
       (6) The Elders' Trust Fund shall be maintained as a 
     separate account, which shall be audited at least once during 
     each fiscal year by an independent certified public 
     accountant who shall prepare a report on the results of such 
     audit. Such report shall be reasonably available for 
     inspection by the members of the Band.
       (7) The Tribal Council of the Band shall prepare an annual 
     Elders' distribution roll and ensure its accuracy prior to 
     August 30 of each year. The roll shall identify each member 
     of the Band who has attained the minimum age and membership 
     duration required for distribution eligibility pursuant to 
     paragraph (3)(A).
       (e) General Provisions.--(1) In the event that a tribal 
     member eligible for a payment under this section shall die 
     after preparation of the annual distribution roll, but prior 
     to the distribution date, such payment shall be paid to the 
     estate of such member.
       (2) In any case where a legal guardian has been appointed 
     for a person eligible for a payment under this section, 
     payment of that person's share shall be made to such 
     guardian.
       (f) No Secretarial Responsibilities for Trust Fund.--The 
     Secretary shall have no trust responsibility for the 
     investment, supervision, administration, or expenditure of 
     the Land Claims Distribution Trust Fund or the Elders' Trust 
     Fund.

     SEC. 10. PAYMENT TO NEWLY RECOGNIZED OR REAFFIRMED TRIBES.

       (a) Eligibility.--In order to be eligible for tribal funds 
     under this Act, a tribe that is not federally recognized or 
     reaffirmed on the date of the enactment of this Act--
       (1) must be a signatory to either the 1836 treaty (7 Stat. 
     491) or the 1855 treaty (11 Stat. 621);
       (2) must have a membership that is predominantly Chippewa 
     and Ottawa;
       (3) shall not later than 6 months after the date of the 
     enactment of this Act, submit to the Bureau of Indian Affairs 
     a letter of intent for Federal recognition if such a letter 
     is not on file with the Bureau of Indian Affairs; and
       (4) shall not later than 3 years after the date of the 
     enactment of this Act, submit to the Bureau of Indian Affairs 
     a documented petition for Federal recognition if such a 
     petition is not on file with the Bureau of Indian Affairs.
       (b) Distribution of Funds Allotted for Newly Recognized or 
     Reaffirmed Tribes.--Not later than 90 days after a tribe that 
     has submitted a timely petition pursuant to subsection (a) is 
     federally recognized or reaffirmed, the Secretary shall 
     segregate and hold in trust for such tribe, its respective 
     share of the funds described in sections 4(a)(1) and (b)(1), 
     $3,000,000 plus 30 percent of any income earned on the funds 
     described in section 4(a)(1) and (b)(1) up to the date of 
     such distribution.
       (c) Distribution of Funds Allotted for Certain 
     Individuals.--If, after the date of the enactment of this Act 
     and before approval by the Secretary of the judgment 
     distribution roll of descendants, Congress or the Secretary 
     recognizes a tribe which has as a member an individual that 
     is listed on the judgment distribution roll of descendants as 
     approved pursuant to section 6, the Secretary shall, not 
     later than 90 days after the approval of such judgment 
     distribution roll of descendants, remove that individual's 
     name from the descendants roll and reallocate the funds 
     allotted for that individual to the fund established for such 
     newly recognized or reaffirmed tribe.
       (d) Funds Subject to Plan.--Funds held in trust for a newly 
     recognized or reaffirmed tribe shall be subject to plans that 
     are approved in accordance with this Act.
       (e) Determination of Membership in Newly Recognized or 
     Reaffirmed Tribe.--
       (1) Submission of membership roll.--For purposes of this 
     section--
       (A) if the tribe is acknowledged by the Secretary under 
     part 83 of title 25, Code of Federal Regulations, the 
     Secretary shall use the tribe's most recent membership list 
     provided under such part;
       (B) unless otherwise provided by the statutes which 
     recognizes the tribe, if Congress recognizes a tribe, the 
     Secretary shall use the most recent membership list provided 
     to Congress. If no membership list is provided to Congress, 
     the Secretary shall use the most recent membership list 
     provided with the tribe's petition for acknowledgment under 
     part 83 of title 25, Code of Federal Regulations. If no such 
     list was provided to Congress or under such part, the newly 
     recognized tribe shall submit a membership list to the 
     Secretary before the judgment distribution roll of 
     descendants is approved or the judgment funds shall be 
     distributed per capita pursuant to section 6;
       (C) a tribe that has submitted a membership roll pursuant 
     to this section may update its membership rolls not later 
     than 180 days before distribution pursuant to section 6.
       (2) Failure to submit updated membership roll.--If a 
     membership list was not provided--
       (A) to the Secretary, the Secretary will use the tribe's 
     most recent membership list provided to the Bureau of Indian 
     Affairs in their petition for Federal acknowledgment filed 
     under part 83 of title 25, Code of Federal Regulations, 
     unless otherwise provided in the statute which recognized the 
     tribe;
       (B) to the Bureau of Indian Affairs, the newly recognized 
     or reaffirmed tribe shall submit a membership list before the 
     judgment distribution roll of descendants is approved by the 
     Secretary, unless otherwise provided in the statute which 
     recognized the tribe; and
       (C) before the judgment distribution roll of descendants is 
     approved, the judgment funds shall be distributed per capita 
     pursuant to section 6.

     SEC. 11. TREATMENT OF FUNDS IN RELATION TO OTHER LAWS.

       The eligibility for or receipt of distributions under this 
     Act by a tribe or individual shall not considered as income, 
     resources, or otherwise when determining the eligibility for 
     or computation of any payment or other benefit to such tribe, 
     individual, or household under--

[[Page H9935]]

       (1) any financial aid program of the United States, 
     including grants and contracts subject to the Indian Self-
     Determination Act; or
       (2) any other benefit to which such tribe, household, or 
     individual would otherwise be entitled under any Federal or 
     federally assisted program.

     SEC. 12. TREATIES NOT AFFECTED.

       No provision of this Act shall be construed to constitute 
     an amendment, modification, or interpretation of any treaty 
     to which a tribe mentioned in this Act is a party nor to any 
     right secured to such a tribe or to any other tribe by any 
     treaty.

  The SPEAKER pro tempore. Pursuant to the rule, the gentleman from New 
Jersey [Mr. Saxton] and the gentleman from Michigan [Mr. Kildee] each 
will control 20 minutes.
  The Chair recognizes the gentleman from New Jersey [Mr. Saxton].
  Mr. SAXTON. Mr. Speaker, I yield myself such time as I may consume.
  Mr. Speaker, H.R. 1604 will provide for the division, use and 
distribution of judgment funds of the Ottawa and Chippewa Indians of 
Michigan pursuant to the Indian Claims Commission dockets.
  These judgment funds were appropriated by Congress years ago and have 
been held by the Department of Interior for the beneficiaries. The 
funds would be divided according to a formula included in H.R. 1604 
between individuals and on judgment distribution rules of decedents to 
be created by the Secretary of the Interior and 5 Michigan tribes. 
Those portions of the funds to be distributed to each tribe shall be 
disbursed after a plan for use and distribution by each tribe has been 
approved by the Secretary of the Interior.
  This is a good bill, it is fair. It has been approved by the tribes 
with whom we have worked who are entitled to the distribution of money. 
The Federal Government has delayed the distribution of these funds long 
enough. It is now time to act, and I urge a ``yea'' vote.
  Mr. Speaker, I reserve the balance of my time.
  Mr. KILDEE. Mr. Speaker, I yield myself such time as I may consume.
  (Mr. KILDEE asked and was given permission to revise and extend his 
remarks.)
  Mr. KILDEE. Mr. Speaker, the legislation before us today, the 
Michigan Land Claims Settlement Act, will resolve a long-standing 
injustice perpetrated against the Chippewa and Ottawa Indian Nations in 
Michigan.
  Over a century and a half ago, the Chippewa and Ottawa Tribes signed 
a treaty in which the Michigan Indian Nations agreed to cede over 12 
million acres of land to the Federal Government in exchange for a 
series of annuities to be paid to the tribes. This land encompassed 
most of the upper Lower Peninsula of Michigan and the eastern part of 
the upper peninsula. The final compensation considered paid to these 
tribes was approximately 15 cents an acre.
  In 1948, the tribes filed suit with the Indian Claims Commission to 
examine the fairness of compensation paid to the Michigan tribes. After 
a thorough and exhaustive review, the Indian Claims Commission called 
the 15 cents an acre payment an ``unconscionable consideration'' and 
determined the tribes should have been given 90 cents an acre for their 
land. In 1971, the tribes were awarded over $10 million by the Congress 
to settle this lands claim.
  These monies were placed in a trust fund that has been administered 
by the BIA for the last 26 years. Today, that fund is worth over $74 
million.
  The legislation before us, Mr. Speaker, will allow these funds to be 
distributed to the tribes. H.R. 1604 represents a negotiated compromise 
between the Michigan tribes and descendency groups to finally bring 
about the justice they so rightly deserve.
  When the House Committee on Resources considered this bill, it was 
passed by a voice vote. The administration is supportive of this bill, 
and I am hopeful that the Senate will take it up before we adjourn this 
year. I urge my colleagues to support this important legislation.
  Mr. Speaker, I reserve the balance of my time.
  Mr. SAXTON. Mr. Speaker, I reserve the balance of my time.
  Mr. KILDEE. Mr. Speaker, I yield such time as he may consume to the 
gentleman from Michigan [Mr. Stupak].
  Mr. STUPAK. Mr. Speaker, I thank the gentleman for yielding me this 
time, since most of these lands were ceded in my district.
  I just want to say I certainly endorse this proposal. I hope it will 
be passed. It is long overdue. It has been a long time, 1971, this 
money has been sitting here. I thank the chairman and the gentleman 
from Michigan [Mr. Kildee], the ranking member, for all their hard work 
in moving this legislation forward. It is a good, fair settlement. The 
Native Americans are entitled to this money and I certainly strongly 
support this legislation, and I thank the Members for assisting us in 
getting to this stage here today.
  Mr. YOUNG of Alaska, Mr. Speaker, I submit the following: section-by-
section analysis H.R. 1604, to provide for the division, use, and 
distribution of judgment funds of the Ottawa and Chippewa Indians of 
Michigan pursuant to dockets numbered 18-E, 58, 364, and 18-R before 
the Indian Claims Commission.


                      section 1. table of contents

       Section 1 of the bill provides the Table of Contents for 
     the Act.


                      section 2. findings: purpose

       Subsection (a) contains various Congressional findings 
     relating to the Act. These findings specifically note that 
     judgments were rendered in the Indian Claims Commission in 
     dockets numbered 18-E, 58 and 364 in favor of the Ottawa and 
     Chippewa Indians of Michigan and in docket numbered 18-R in 
     favor of the Sault Ste. Marie Bank of Chippewa Indians. It 
     also notes that the funds Congress appropriated to pay these 
     judgments have been held by the U.S. Department of the 
     Interior pending a division of the fund in a manner 
     acceptable to the tribes and descendance group and pending 
     the development of plans for the use and distribution of the 
     respective tribe's share.
       Subsection (b) states that the purpose of this Act is to 
     provide for a fair and equitable division of these judgment 
     funds among the beneficiaries and to allow the tribes to 
     develop plans for the use and distribution of their 
     respective shares of the funds.


                         section 3. definitions

       This section defines the important terms used in the Act.


                      section 4. division of funds

       Subsection (a) provides for the Secretary of the Interior's 
     division of the principal and interest generated by the funds 
     appropriated to pay the claims stemming from dockets 18-E and 
     58.
       Paragraph (1) provides that the lesser of 13.5% or 
     $9,253,104.47 of the funds shall be paid to newly recognized 
     or reaffirmed tribes as well as individuals whose names are 
     found on the judgment distribution roll of descendants which 
     the Secretary of the Interior is mandated to develop pursuant 
     to section 6 of this Act.
       Paragraph (2) states that the Bay Mills Indian Community 
     and the Sault Ste. Marie Tribe of Chippewa Indians shall each 
     receive a share of the next 34.6% of these monies. Of this 
     34.6%, the Bay Mills Indian Community shall receive the 
     lesser of 35% of the principal and interest as of December 
     31, 1997, or $8,313,877 and the Sault Ste. Marie Tribe of 
     Chippewa Indians shall receive the remaining amount minus 
     $161,723.89 that will be added to the funds described in 
     paragraph (1).
       Paragraphs (3)-(5) provide that the Grand Traverse Band of 
     Ottawa and Chippewa Indians of Michigan, the Little Traverse 
     Bay Bands of Odawa Indians of Michigan and the Little River 
     Band of Ottawa Indians of Michigan shall each receive 17.3% 
     of the principal and interest, minus $161,723.89 from each 
     tribe to be added to the fund provided for in paragraph (1).
       Paragraph (6) states that any funds remaining after the 
     aforementioned distributions are made shall be divided among 
     the recognized tribes listed in paragraphs (1)-(5) of this 
     section in an amount which bears the same ratio to the amount 
     so divided and distributed as the distribution of judgment 
     funds pursuant to each of subsections (1)-(5) above bears to 
     the total distribution under all such subsections.
       Subsection (b) explains how the Secretary of the Interior 
     is to divide the principal and interest generated on the 
     funds appropriated to pay the claims stemming from docket 
     364.
       Paragraph (1) provides that the lesser of 20% or $28,026.79 
     of the principal and interest shall be paid to the 
     individuals whose names are found on the judgment 
     distribution roll of descendants which the Secretary of the 
     Interior is mandated to develop pursuant to section 6 of this 
     Act.
       Paragraph (2) states that the Bay Mills Indian Community 
     and the Sault Ste. Marie Tribe of Chippewa Indians shall each 
     receive a share of the next 32% of these monies. Of this 32%, 
     the Bay Mills Indian Community shall receive 35% and the 
     Sault Ste. Marie Tribe of Chippewa Indians shall receive the 
     remaining amount.
       Paragraphs (3)-(5) provide that the Grand Traverse Band of 
     Ottawa and Chippewa Indians of Michigan, the Little Traverse 
     Bay Bands of Odawa Indians of Michigan and the Little River 
     Bank of Ottawa Indians of Michigan shall each receive 16% of 
     the principal and interest.
       Paragraph (6) states that any funds remaining after the 
     aforementioned distributions are made shall be divided 
     between the recognized tribes listed in this subsection in an 
     amount which bears the same ratio to the

[[Page H9936]]

     amount so divided and distributed as the distribution of 
     judgment funds pursuant to each of subsections (1)-(5) above 
     bears to the total distribution under all such subsections.
       Subsection (c) provides for the Secretary of the Interior 
     to pay 65% of the principal and interest generated on the 
     funds appropriated to pay the claims stemming from docket 18-
     R to the Sault Ste. Marie Tribe of Chippewa Indians of 
     Michigan and 35% to the Bay Mills Indian Community.
       Subsection (d) requires the Secretary to hold all amounts 
     to be paid to the individuals whose names are found on the 
     judgment distribution roll of descendants, developed pursuant 
     to section 6 of this Act, in trust until those monies are 
     distributed to those individuals.


section 5. development of tribal plans for use or distribution of funds

       Section 5 provides for the development of tribal plans for 
     the use and distribution of these judgment funds to the Bay 
     Mills Indian Community, the Sault Ste. Marie Tribe of 
     Chippewa Indians, the Grand Traverse Band of Ottawa and 
     Chippewa Indians of Michigan, the Little Traverse Bay Bands 
     of Odawa Indians of Michigan and the Little River Band of 
     Ottawa Indians of Michigan.
       Paragraph (1) requires the Secretary to distribute the 
     funds allocated by this Act to the Grand Traverse Band of 
     Ottawa and Chippewa Indians of Michigan, the Little Traverse 
     Bay Bands of Odawa Indians of Michigan and the Little River 
     Band of Ottawa Indians of Michigan no later than 30 days 
     after each tribe submits and the Secretary approves a plan 
     for that tribe's use and distribution of its respective 
     share.
       Paragraphs (2), (3) and (4) provide that the plans set 
     forth in sections 7, 8 and 9 of this Act detailing the Bay 
     Mills Indian Community's, the Sault Ste. Marie Tribe's, and 
     the Grand Traverse Band's use and distribution of their 
     respective shares of these judgment monies shall be deemed 
     approved by the enactment of this Act. It also requires the 
     Secretary to distribute the monies allocated to these tribes 
     no later than 90 days after the enactment of this Act and 
     requires the tribes to use these monies in the manner 
     provided by the aforementioned plans.
       Subsection (b) describes the process that the Little 
     Traverse Bay Bands of Odawa Indians of Michigan, and the 
     Little River Band of Ottawa Indians of Michigan must 
     undertake to obtain the release of their respective shares of 
     these judgment funds. This subsection requires each tribe to 
     develop a plan for the use and distribution of its respective 
     share. It further requires the tribe to hold a hearing or 
     general membership meeting on that proposed plan and submit 
     that plan together with a tribal government resolution, a 
     transcription of its hearing or meeting on the plan, any 
     documents circulated or made available to the membership on 
     the plan, and the comments it received to the Secretary of 
     the Interior. It also establishes time-lines within which the 
     Secretary must act on the plans and the steps the Secretary 
     must take if a tribe does not submit a plan within eight 
     years of the date of enactment.


  section 6. preparation of judgment distribution roll of descendants

       Section 6 requires the Secretary to develop a judgment 
     distribution roll of descendants and details the procedures 
     that he must follow in performing that task. This roll must 
     be developed within nine years after the date of enactment of 
     this Act and in accordance with parts 61 and 62 of title 25, 
     of the Code of Federal Regulations. The roll shall consist of 
     the names of all citizens of the United States who were both 
     born and living on or before the date of enactment of this 
     Act and who are at least one-quarter Michigan Ottawa or 
     Chippewa Indian blood, or a combination thereof. This roll 
     shall not include persons who are members of one of the 
     tribes receiving judgment funds pursuant to section 4 of this 
     Act. The persons whose names are contained on this roll must 
     be lineal descendants whose Michigan Ottawa or Chippewa 
     ancestry is derived from the Chippewa and/or Ottawa Bands of 
     Cheboigon, Grand River, Traverse, Grand Traverse, Little 
     Traverse, Maskigo, L'Arbre Croche, Michilmackinac, Sault Ste. 
     Marie, or any Ottawa or Chippewa subdivisions of any of these 
     groups. The Secretary shall also exclude from this roll 
     the names of persons who are deemed ineligible under 
     subsection (e).
       In preparing this roll of descendants, the Secretary shall 
     refer to the Horace B. Durant Roll, approved February 18, 
     1910, of the Ottawa or Chippewa Tribe of Michigan, as that 
     roll has been qualified and corrected by other rolls and 
     records acceptable to the Secretary, including the Durant 
     Field Notes of 1908-1909 and the Annuity Payroll of the 
     Ottawa or Chippewa Tribe of Michigan approved May 17, 1910. 
     The Secretary is authorized to employ the services of 
     descendant group enrollment review committees to assist in 
     this effort.


section 7. plan for use and distribution of bay mills indian community 
                                 funds

       The section establishes an approved plan for the Bay Mills 
     Indian Community's use of its share of the judgment funds. 
     Specifically the section authorizes the establishment of two 
     tribal trust funds, a ``Land Trust'' which shall be used 
     exclusively for the improvement of current and future tribal 
     lands and the consolidation of the tribal land base, and a 
     ``Land Claims Distribution Trust'' which shall be used to 
     assist Bay Mills Members over the age of 55. Both funds shall 
     be administered by the Bay Mills Executive Council. The 
     Secretary of the Interior shall have no trust responsibility 
     for the investment, supervision, administration or 
     expenditure of the funds once they are transferred to these 
     tribal accounts. The funds are, however, subject to an annual 
     audit and the auditor's report must be made available for 
     inspection by any member of the tribe.


 section 8. plan for use of sault ste. marie tribe of chippewa indians 
                           of michigan funds

       This section establishes an approved plan for the Sault 
     Ste. Marie Tribe's use of its share of the judgment funds. 
     Specifically it authorizes the tribe to establish a ``Self-
     Sufficiency'' trust fund for the benefit of the tribe. This 
     fund is administered by the tribe's board of directors. The 
     principal of this fund must be used exclusively for 
     investments or expenditures which the board determines are 
     financially beneficial to the tribe, reasonably related to 
     economic development, for the development of tribal 
     resources, or for the consolidation or enhancement of tribal 
     land holdings. The income produced by the fund can be used in 
     one of five ways. It can be added to the fund's principal, it 
     can be distributed as a dividend to tribal members, it can be 
     distributed as per capita payment to some group or category 
     of tribal members, or it can be used for educational, social 
     welfare, health, cultural, or charitable purposes which 
     benefit the tribe's members, or it can be used to purchase or 
     exchange land to consolidate or enhance the tribal land 
     holdings. All lands so acquired shall be held as Indian lands 
     are held. The fund must be maintained as a separate account 
     and shall be subject to an audit by a certified public 
     accountant at least once a year. The Secretary of the 
     Interior must transfer the tribe's share of said judgment 
     funds directly into this fund and the approval of the 
     Secretary shall not be required for any payment or 
     distribution from the principal or income of the fund, nor 
     shall the Secretary have any trust responsibility for the 
     investment, supervision, administration, or expenditure of 
     the funds it contains.


 section 9. plan for use of grand traverse band of ottawa and chippewa 
                       indians of michigan funds

       Section 9 of the bill authorizes the Secretary to deposit 
     the total share of the Grand Traverse Band, as determined in 
     section 4(a)(3) and section 4(b)(3), into a ``Land Claims 
     Distribution Trust Fund'' to be established by the Band. The 
     Band is empowered to use such funds as collateral for a loan 
     in the amount of 80% of the share. The proceeds of this loan 
     would be used by the Band to make a per capita payment to its 
     members. The annual earnings of the Trust Fund, less amounts 
     for administration, would be used to amortize the loan.
       As soon as the loan was repaid from the proceeds of the 
     Trust Fund, the Band would create a new trust fund to be 
     known as the ``Elders Land Claims Distribution Trust Fund.'' 
     The principal and accrued earnings remaining in the first 
     fund would then be deposited in the Elders' Trust Fund. 
     Thereafter, 90% of the earnings of the Elders' Trust Fund 
     would be used by the Band to make supplementary income 
     payments to their elderly members. The remaining 10% of the 
     earnings would be added to the principal of the Elders' Trust 
     Fund each year.


      section 10. payment to newly recognized or reaffirmed tribes

       This section requires the Secretary to distribute the funds 
     in section 4(a)(1) of this Act to the persons listed on the 
     judgment distribution roll of descendants and to the newly 
     recognized or reaffirmed tribes. This roll shall be prepared 
     pursuant to section 6 of this Act. Upon federal recognition 
     or reaffirmation, each tribe will receive a minimum of $3 
     million or more as called for in this section. The per capita 
     payments are to be made directly to each living competent 
     adult. However, if a person entitled to receive these funds 
     is deceased, the funds shall be paid to that individual's 
     heirs or legatees in accordance with the regulations 
     prescribed by the Secretary. If a person entitled to a share 
     of these funds is legally incompetent or is under the age of 
     18 years, the funds shall be paid in accordance with the 
     procedures which the Secretary determines are necessary to 
     protect and preserve the person's interests.
       Subsection 10(c) provides that if, after the date of 
     enactment of this Act, but before the Secretary's approval of 
     the judgment distribution roll of descendants, a tribe is 
     recognized, Congressionally or by the Secretary, which 
     includes one or more individuals whose names are on the 
     judgment distribution roll of descendants, the funds allotted 
     for that individual shall be held in trust for that newly 
     recognized or affirmed tribe. These funds shall then be 
     subject to a plan approved in accordance with this Act.
       Subsection 10(e) provides criteria to be used by the 
     Secretary in determining whether one of more persons whose 
     names are contained on the judgment distribution roll of 
     descendants is included in a newly recognized tribe.
       Subsection 10(e)(1)(A) provides that if the tribe is 
     acknowledged by the Secretary under part 83 of title 25 of 
     the Code of Federal Regulations, the Secretary shall use the 
     tribe's most recent membership list provided under that part. 
     If a tribe is recognized by Congress, the Secretary shall use 
     the most recent membership list provided to Congress, unless 
     the recognition statute otherwise provides. If the tribe did 
     not submit a membership list to Congress, the Secretary shall 
     use

[[Page H9937]]

     the most recent membership list it was provided under part 83 
     of title 25 of the Code of Federal Regulations. If none of 
     these lists were provided, the newly recognized tribe shall 
     submit a membership list to the Secretary before the judgment 
     fund distribution roll of descendants is approved. If it 
     fails to do so, its share of the funds will be distributed to 
     the individuals named on the judgment fund distribution roll 
     of descendants.
       Subsection 10(e)(2) provides that if a membership list was 
     not provided to the Secretary, the Secretary will use the 
     tribe's most recent membership list provided to the Bureau of 
     Indian Affairs in their petition for federal acknowledgment 
     filed under part 83, of title 25 of the Code of Federal 
     Regulations, unless the statute which recognized the tribe 
     provides otherwise. If the Bureau of Indian Affairs was not 
     provided a membership list, the tribe must submit a 
     membership list to the Secretary before the judgment 
     distribution is approved, unless the statute which recognized 
     the tribe provides otherwise. If the tribe fails to provide 
     either of these lists before the judgment distribution roll 
     of descendants is approved, the judgment funds are to be 
     distributed per capita as provided for in section 9 of this 
     Act.


        section 11. treatment of funds in relation to other laws

       Section 11 provides that an individual's or tribe's 
     eligibility or receipt of distributions under this Act shall 
     not be considered as income, resources, or otherwise when 
     determining that tribe's or individual's eligibility for or 
     computation of any payment or other benefit under any 
     financial aid program of the United States, including grants 
     and contracts subject to the Indian Self-Determination Act 
     and any other benefit to which such tribe, household, or 
     individual would otherwise be entitled under any federal or 
     federally assisted program.


                   section 12. treaties not affected

       This section makes it clear that no provision of the Act 
     shall be construed to constitute an amendment, modification, 
     or interpretation of any treaty to which a tribe mentioned in 
     the Act is a party, nor to any right secured to such a tribe, 
     or to any other tribe by any treaty.

  Mr. KILDEE. Mr. Speaker, I yield back the balance of my time.
  Mr. SAXTON. Mr. Speaker, I yield back the balance of my time.
  The SPEAKER pro tempore. The question is on the motion offered by the 
gentleman from New Jersey [Mr. Saxton] that the House suspend the rules 
and pass the bill, H.R. 1604, as amended.
  The question was taken.
  Mr. SAXTON. Mr. Speaker, I object to the vote on the ground that a 
quorum is not present and make the point of order that a quorum is not 
present.
  The SPEAKER pro tempore. Pursuant to clause 5, rule I, and the 
Chair's prior announcement, further proceedings on this motion will be 
postponed.
  The point of no quorum is considered withdrawn.

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