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Mr. Dodd. No, sir.

Mr. Johnson. As their representative said, they want lawyers on the other side of the fence.

Mr. Dodd. Yes.

Mr. Johnson. That is customary.

Mr. Leavy. I think if they had a bona-fide need for counsel they ought to employ counsel on the ground who are members of the bar where the suits are threatened and who are familiar with the situation, rather than distant counsel, like New York City counsel.

SUPPORT OF CHIPPEWA INDIANS OF MINNESOTA

Mr. Johnson. The next item of tribal funds is found on page 240. in regard to the Chippewas in Minnesota.

Mr. Dodd. I submit the following justification for the record:

The Consolidated Chippewa Agency, at Cass Lake, Minn., has jurisdiction over the Chippewa Indians in the State of Minnesota belonging to the Fond du Lac. Twin Lakes, Grand Portage, Pine Point, Nett Lake, Leech Lake, Mille Lac, and White Earth Reservations, with a total Indian population of approximately 12,680. In addition there are approximately 1,968 members of the Red Lake Chippewa Band under the jurisdiction of the Red Lake Agency.

The principal sum on deposit to the credit of the Chippewa Indians accrued under section 7 of the act approved January 14, 1889 (25 Stat. 645). Any expenditures made from the principal Chippewa fund are divided between the Consolidated Chippewa and the Red Lake jurisdictions on the basis of population, approximately 88 percent being allocated the former and 12 percent the latter. The present balance in this fund, after setting aside all amounts authorized for expenditure during 1937, is approximately $438,120. Receipts from all sources duxine the past year were only $5,723.

Past history in connection with expenditures from Chippewa tribal funds fully justify transferring the administrative expenses of the Consolidated Chippewa and Red Lake Agencies to gratuity funds. The balance in the fund is now less than a half-million dollars. While much of the fund has been distributed to the Indians per capita, a large part thereof lias been used for agency administration, hospital support, and for educational and other purposes. Thus capital that could be used advantageously in financing a program for the advancement qf this group of Indians has been diminished, and only meager permanent benefits have been obtained.

The expenditures during 1936 from this fund were as follows:

[table]

The 1937 appropriation is being used approximately as follows:

(a) (6) te)

Support of indigent Indians

Conservation of health

Developing agriculture and stock raising among Indians

Support of Indians and administration of Indian pro perty (agency administration)

$40,000

11,400

4,000

29,600

Total 85,000

Amount retained for 1938.—This item, as submitted, provides funds for relief purposes only, including boarding home care for some pupils who are attending public schools.

It is difficult to determine what the relief situation might be during 1938. Relief agencies and work projects are taking care of the situation this year, except for some of the old and indigent Indians to whom rations are being issued; and for hospitalization, dental and medical service, and burial expense, by the Indian Service. In the event the present source of relief should cease and work should not be available, the amount requested would be extremely limited.

It has been estimated that approximately 10,000 Indians of the Cass Lake jurisdiction have been on relief rolls during the past year. This includes both work and direct relief. Of this number approximately 20 percent must be taken care of through direct relief by the Indian Service, direct relief by other Federal, State, or county agencies, boarding schools, and foster home care of children. It is this class of relief clients that must have consideration. If it becomes necessary for the various counties to assume the cost of direct relief, the Indian Service will be required to take care of at least a part of the direct-relief load for the reason that the counties are not financially able to carry it.

A portion of this fund is being used this year for foster-home care of school children, and it will be necessary to carry these charges during 1938. It may also be found desirable to provide for some of the old and indigent, by placing these unfortunates in homes of individuals qualified to give home care. In such cases monthly allowances would be made for those being given this home care.

Transfer of other charges.—The remaining balance to the credit of these Indian and the extremely small annual accruals, will not permit further inroads fo Indian administration. To repeat the 1937 appropriations in 1938 would pro duce the following effect upon the tribal fund:

Balance, July 1, 1936 $438, 120

Appropriations, 1937:

Tuition for public-school children $63, 750

Support of hospitals 80,000

Agency administration and relief 85, 000

Total appropriations, 1937 228, 750

Balance, June 30, 1937 209, 370

On June 30, 1920, the Chippewa Indians (Red Lake excluded) had $5,343,216 on deposit in the Treasury. To that was subsequently added by special legislative enactment about $3,000,000. Thus, in a period of 16 years this once vast estate, together with annual accruals thereto, has diminished to so small an amount that further appropriations for Indian Service operations are not justified. We therefore propose to transfer to gratuity funds the following amounts:

(a) Agriculture and stock raising $4, 000

(b) Conservation of health 11, 400

(c) Support of Indians 29, 600

Total 45,000

(a) This represents salaries and expenses of two farm agents employed to aid the Indians in their agricultural pursuits. The net salary of the two positions is $3,360, the remaining $640 being used for traveling and other expenses of these employees.

(6) Three full-time physicians, and one employed on a contract basis, are paid from this fund. The net salaries aggregate $9,900. Since they are assigned to reservation practice, it is necessary that they be provided with transportation facilities and that funds be provided for purchase of gasoline and oil, car repairs, purchase of medical supplies, and other incidental expenses in connection with their duties. The $11,400 covers salaries and expenses of these employees.

(c) General agency administrative expenses cover purchases of new equipment, repair of office equipment, automobile*, and farm machinery, travel expense of employees, communication service, purchase of stationery and office supplies, and numerous incidental expenses of maintaining the Consolidated Chippewa and Red Lake Agencies. The salaries of 10 clerks, 2 field clerks, a field aide, and an Indian assistant are paid from this appropriation.

Language change.—The text changes proposed in the first part of the item are wlf-explanatory, when considered in connection with the statements immediately Preceding.

Aid to the indigents would not be necessary if they had any cash, or assets that wuld be converted into cash. Land holdings of these individuals no doubt would revert to the tribe, upon death of the allottee, in keeping with the purpose of the Indian Reorganization Act. We therefore propose elimination of the text requiring reimbursement of funds used in aiding indigent Chippewa Indians.

Mr. Dodd. There is a reduction of $45,000 covering the transfer to agriculture and stock raising, $4,000; transfer to conservation of health, $11,400; and transfer to support of Indians, $29,600.

The $40,000 is to be used for the care of indigent Chippewa Indians

Now as we stated before, we are keeping in this bill $104,000 of charges against the Chippewa funds.

Their income last year was only $5,000 and to continue this appropriation this year and in 1939 the money that is already in the bill will break the Chippewa Indians.

Mr. Johnson. I think in the case of these Indians we are justified in doing it, but in some instances they are bringing in bills to give per capita to the Indians and yet transfer it out of the gratuity item.

Mr. Dodd. Those bills, though, Mr. Chairman-, are not endorsed by the Department.

Mr. Johnson. I am glad to know that.

EXPENSES OF TRIBAL OFFICERS, FIVK CIVILIZED TRIBES

Mr. Johnson. The next item in regard to tribal funds is found on page 24 and relates to the expenses of tribal officers of the Five Civilized Tribes, Oklahoma.

Mr. Dodd. I submit the following statement for the record:

Regular appropriation, 1937 act $33. 600

Base for 1938 33, 600

Total estimate, 1938 33, 600

The act of June 28, 1898 (30 Stat., p. 495), and subsequent agreements between the Choctaw, Chickasaw, Creek, and Seminole Tribes, Oklahoma, authorized the allotment of lands and equalization of allotment payments to members of the several tribes. The total expenditure involved under this authorization in the past has not exceeded $30,000. It is not possible to determine a definite figure due to the equalization of allotments feature, but there is no great amount involved for this purpose in any 1 year. The disbursements have been largely for salaries and expenses of tribal officials. The following statement gives in detail the expenditures for salaries and expenses of the several tribal officers during 1936:

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The affairs of the Cherokees have been closed; the Creeks have a small amount of tribal property yet to be disposed of; the Choctaws and Chickasaws have a considerable acreage of coal and asphalt lands and other valuable assets upon which only a small amount is realized annually; and the Seminoles have a small amount of tribal property remaining, including the Mekusukcy School plant. Valuable oil wells are located on the land of this school.

The following tabulation sets forth the status of tribal funds of the Five Civilised Tribes:

[table]

i Of the amount to the credit of the Creek Nation, $118,185 is the balance of a Judgment awarded by the Court of Claims.

Expenditures contemplated for the fiscal year 1938 consist of salaries and expenses of tribal officers approximately as follows:

[table]

Payment of any of the salaries and expenses mentioned will depend upon the availability of tribal funds. Under no circumstances are such expenditures chargeable to appropriations from the Federal Treasury.

APPROPRIATION FOR CREEK NATION CHIEF

Mr. Johnson. I notice in this item that you call for an appropriation of $600 for the chief of the Creek Nation.

A distinguished Indian gentleman by the name of Bruner appeared before this committee, and also called on me in my office. Mr. Bruner is very insistent that this $600 item be eliminated. He says it is a waste of money, that this chief of the Creek Nation does not earn a salary and is not entitled to the $600. What is your judgment?

Mr. Dodd. Our judgment is, first, that Mr. Bruner was not speaking for the Creek Nation as a whole, but for one small group of Creeks; second, that Mr. Canard, the chief of the Creek Nation, is rendering a service to his people which is worth the $600 a year that he is paid.

We put that item in the bill at the request of representatives of the Creek Indians several years ago. It was carried for a good many years and was dropped when we were thinking of cutting loose entirely from the Five Tribes. The Creeks had no money and not much tribal property, and they were doing nothing, and so we dropped it; but all the other groups of the Five Civilized Tribes have their tribal representatives, and the Creeks felt that they likewise should have someone to represent them in matters with the local agents and with other Government officials and committees of Congress.

Mr. Johnson. And is it your judgment that the Creeks really want this done?

Mr. Dodd. Yes, sir.

PRESERVATION COUNCIL HOUSE OF CHOCTAW NATION

Mr. Johnson. The next item in regard to tribal funds, page 243, relating to the Tuskahoma council house, is bracketed out.

Mr. Dodd. This item was inserted in the appropriation bill at the request of representatives of the Choctaw Nation. Steps have been taken to reacquire the property, and plans are in progress for restoring this structure, which has an historical value to the Choctaw people.

SUPPORT OF OSAGE AGENCY AND PAY OF TRIBAL OFFICERS

Mr. Johnson. The next item is for the support of the Osage Agency in Oklahoma.

Mr. Dodd. I submit the following justification for the record:

Appropriations for the support of Osage Agency, and for financing the supervision of oil and gas activities, were much larger during years of peak production For the past few years the appropriations have been:

1935 SI09, 220

1936 161,000

1937 159, 000

1931 $264,000

1932 259, 000

1933 150, 000

1934 125, 000

The appropriation for the present year included the following increase*:

(a) Repair of agency buildings SI, 500

(6) Purchase of automobiles 2, 000

(c) 1 clerk 1, SOU

(d) Lawbooks 1,200

Total 6.500

Items (a) and (c) represent annual recurring charges. Items (fc) and (d) were special items which are deducted in arriving at the base figure for 193$.

The increases requested for next year are discussed in the order of their appearance in the tabulation preceding. The entire amount requested is covered by an approving resolution of the tribal council.

Promotions, $2,000.-—This is to provide one-step promotions for a few deserving employees at this agency. No increases of any consequence have been granted in recent years.

Automobile replacements, $2,500.—This agency has 22 automobiles in operation for general official use. No replacements were made in 1934 or 1935. Special provision was made for replacements this year to the extent of $2,000. Further purchases of new cars will be necessary in 1938.

New personnel, field offices, $16,580.—This item covers the following positions:

1 senior clerk $2, 800

1 stenographer and typist (junior clerk), for assistance in guardianship

and probate matters 1, 440

1 junior clerk for stenographic help for appraiser, farm agent, educational

field agent, and field nurse 1, 440

2 Indian assistants for the Hominy and Fairfax offices, at $1,080 each 2, 160

2 Indian assistants capable of doing stenographic work to assist with

Indian supervision 2, 160

1 Indian assistant in tax department 1, 080

1 senior clerk for loans and investments 2, 100

1 junior clerk for operation of bookkeeping machines 1, 440

1 Indian assistant to assist in the accounting division 1, OSO

1 Indian assistant for switchboard operator 1, 0S0

Total 16,780

The need for these positions is outlined in a communication from the acting superintendent under date of July 8, 1936, from which we quote as follows:

"Since the reduction in the personnel in this office in 1932, work has been greatly handicapped and we have been unable to handle same efficiently. The Osage Indians as a whole desire their business handled in an efficient manner, but they

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