OPA

The Commission on Fiscal Accountability of the Nation's Energy Resources will hold its first meeting on July 27 in Washington, Commission Chairman David F. Linowes announced today.

Formation of the Commission to investigate problems of waste and loss of revenues from energy resources, principally oil and gas, extracted from Federal and Indian tribal lands, was announced this week by Interior Secretary James Watt.

Linowes said that royalty underpayments and theft may have amounted to "hundreds of millions" of dollars annually. The Commission will conduct its investigation and report its findings and recommendations for improved procedures in six months. Linowes stated "the mission of the Commission is one of fact finding, not an adversary one. We intend to evaluate the reports prepared by the General Accounting Office, the Office of Audit and Investigation, the Inspector General and the Geological Survey, as well as the of other groups, including the staffs of the various Congressional Committees involved. It is also expected that there will be onsite investigations at some of the regional centers. Cooperation and assistance will be requested of the major oil companies who lease lands from the Federal Government or the Indian tribes. The findings will be related to the substance of what has been done and what is planned by the Department and others."

Linowes said that Secretary Watt has now completed selections for the five member Commission with the appointment of Mary Gardiner Jones of Washington, D.C., an attorney and consumer affairs specialist Who is Vice President for Consumer Affairs for Western Union Telegraph Co. Ms. Jones is a former member of the Federal Trade Commission, President of the Consumer Interest Research Institute and former President and Board Member of the National Consumers League, and a former Professor in the College of Commerce and Business Administration and College of Law, University of Illinois. She served as trial attorney in the New York office of 'the U.S. Department of Justice from 1953 to 1961.

The first meeting will be held at 10:15 a.m. in Room 2010 of the New Executive Office Building at 17th Street and Pennsylvania Avenue, N.W. Its purpose, Linowes said, will be an orientation and organizational session to plan the Commission's approach to carrying out its mandate.

No public testimony will be heard at this meeting; however, persons wishing to submit written statements may do so. The meeting is open to the public but, since seating is limited, the public will be accommodated on a first come, first served basis.

Linowes is the Harold Boeschenstein, Professor of Political Economy and Public Policy, at the University of Illinois, and is an internationally known authority on accounting and auditing. In addition to Linowes and Jones, the other members of the Commission are Elmer B. Staats, former Comptroller General of the United States; Michel T. Halbouty, a nationally prominent Houston oil producer and petroleum engineer, and Charles .J. Mankin, Director of the Oklahoma Geological Survey and Director of the Energy Resource Center based at the University of Oklahoma.

Interior Secretary James Watt announced today he has made available $180,000 to the Grand Traverse Band of Ottawa-Chippewa Indians of Suttons Bay, Michigan for new impoundment gear in their commercial fishing operation.

The funds will be used for a demonstration project in which the tribe will upgrade its fishing methods by switching from gill nets to trap nets. The trap net method of fishing allows more selective fishing -- taking only those fish that are easily marketable such as whitefish and chub -- and protects the Lake Michigan lake trout fishery.

"We are pleased we could make these funds available through Interior's Fish and Wildlife Service," Watt said. "With the cooperation of the Grand Traverse Band, we are taking a first major step in protecting the Indians' treaty fishing rights and the Great Lakes fishery. We think this is the kind of investment in America that the Interior Department can and should make."

The tribe plans to begin the demonstration project as soon as a tug and other necessary gear can be purchased.

A $10,998,701 Bureau of Reclamation contract to provide, install and test 30 electric motors to drive pumps at three Central Arizona Project (CAP) pumping plants has been awarded to Siemens-Allis, Inc., Milwaukee, Wisconsin, Commissioner Robert N Broadbent announced today.

Broadbent said under the contract, 10 motors each will be installed at the Hassayampa Pumping Plant in Maricopa County about 22 miles south of Wickenburg, Arizona Little Harquahala Pumping Plant approximately 9 miles southeast of Hope, Arizona; and Bouse Hills Pumping Plant about 6 miles east of Bouse, Arizona. The last two plants are in Yuma County.

The motors range from 2,250 to 14,000 horsepower. Total pumping capacity at each plant will be 3,000 cubic feet per second. Pumps will lift water 118 feet at Bouse Hills, 113 feet at Little Harquahala, and 192 feet at Hassayampa.

A contract to provide the pumps, discharge valves, and valve operating systems at the three plants was awarded in September 1979 to Nissho-Iwai American Corp., Los Angeles, for $10,900,000.

In September 1979, the Guy F. Atkinson Co., South San Francisco, was awarded a $24,579,758 contract to build the Hassayampa Pumping Plant .structure. The Bouse Hills and Little Harquahala structures are being built by Boecon Corp., Tukwila, Washington, under a single $51,638,083 contract awarded in March 1980.

Havasu, the only other pumping plant on the Granite Reef Aqueduct--and the westernmost in the CAP system--is being built by S. J. Groves and Sons Co., Sparks, Nevada, under a $34,035,630 contract awarded in September 1978. A $5,245,300 contract went to Hitachi America Ltd., New York City, in March 1980 to furnish and install pumps, valves, and valve operating systems at Havasu.

One other CAP pumping plant is also under construction. Ball/Conco-BPA, Danville, Calif., was awarded a $26,458,414 contract in November 1980 to build the Salt-Gila Pumping Plant. The plantsite near Mesa, marks the upstream end of the 58- mile-long Salt-Gila Aqueduct adjoining the Granite Reef Aqueduct. Pumps and motors at the Salt-Gila plant will be installed by Nissho-Iwai American Corp. The contract, for $5,250,000, was awarded in September 1980. Plant pumps will lift water 84 feet.

Colorado River water is scheduled to be delivered via CAP facilities into Maricopa County and the Phoenix area by 1985. The water will flow into Pinal County the same year. Water delivery in northern Pima County is expected by 1987, and to Tucson and other Pima County users by 1988.

An average of 1.2 million acre-feet of water a year will flow through the CAP aqueduct system to supplement central Arizona resources and help reduce ground water overdrafting.

Interior's Assistant Secretary for Indian Affairs Ken Smith told Indian leaders and state and federal government officials that Indian tribal governments have "the primary responsibility for the social and economic well-being of the people on their reservations."

Smith, speaking at a workshop in Scottsdale, Arizona on the provision of human services on reservations, said that though the Bureau of Indian Affairs provides assistance to tribes, the principal duties remain with the tribe's government.

"They must provide the decisions and leadership necessary for a reservation's productive future. That is a function the BIA cannot -- and should not -- attempt to do."

Smith said the federal government in the next few years would be diminishing its role in state and local governmental affairs -- including those of tribal governments. The reduction in federal presence, he said, would occur in direction, regulation and funding. Strong, local government is essential, under these conditions, Smith said, for the efficient and capable delivery of governmental services.

Though many Indian tribes are still struggling to acquire the management and financial skills necessary for the administration of any government, Smith said he planned to encourage tribal administration of programs presently run by the BIA. He said assistance with bookkeeping and managerial functions would be provided the smaller tribes, but administrative standards would not be lowered. "We will work with tribal governments to succeed, because they must make their own decisions, set their priorities and plans for the future."

The workshop was sponsored by the Arizona Inter-Tribal Council, the Arizona Department of Economic Security and the Western States Policy Office.

Federal, State and Tribal leaders held their third meeting in Ann Arbor on July 21 and 22 in the search for solutions to problems concerning the northern Great Lakes fishery off Michigan's coastlines.

The group, composed of representatives of the Secretary of the Interior, Michigan Governor's office, Michigan Department of Natural Resources, and leaders of the Bay Mills, Grand Traverse and Sault Ste. Marie Tribes issued the following statement:

"The third meeting of this group continued the frank and open discussions which characterized the previous meetings. Genuine progress was made toward the goal of a comprehensive agreement, which will protect both the fishery resources, and the interests of the Tribes and the State.

"The group received progress reports from the tripartite working groups established at earlier meetings including the following:

State of the fishery resource,

Fishing gear conversion

Enforcement

"The working group on the fishery resource presented its preliminary report and will complete the final report within two weeks. The report will discuss the status of selected fisheries in the lakes and identify preliminary total allowable catch levels for species in selected areas.

"The gear conversion group provided preliminary data regarding the numbers of treaty fisherman who might be able to convert from gill nets to selective gear and identified related cost factors. In addition, the group reported that the Department of the Interior issued a grant of $180,000 to the Grand Traverse Band for a pilot gear conversion program. The Band will use the funds to purchase trap-nets and related equipment.

"The enforcement group reported that there appears to be no legal barrier to establishing joint management and enforcement programs between the Tribes and the State. The Interior Department and the Tribes also reported that two additional Federal enforcement officers and four additional Tribal officers were committed to the field to enforce the Tribal fishing regulations.

"The Tribes and the State presented early draft proposals outlining possible comprehensive plans to resolve the issue. Each party will respond to these draft proposals and continue the dialogue to determine areas of agreement and the extent of disagreements. There was also agreement that the negotiation process needs to be accelerated. "The parties also agreed that each may raise issues in certain forums to protect their interests. However, these representations shall not impair the negotiation process and the parties remain committed to pursuing a settlement. .. Twenty-one persons attended the meeting, chaired by Interior Deputy Under Secretary William P. Horn. The group will meet again in Ann Arbor on August 4, 5 and 6.

Interior Assistant Secretary Ken Smith told Indian leaders meeting in Billings, Montana, August 11, that he would be heading up a Cabinet Council working group responsible for developing an Indian policy for the Reagan Administration.

Addressing the 9th annual convention of the National Tribal Chairman's Association, Smith said that Interior Secretary James Watt was responsible for elevating the Indian issue "to the Cabinet Council level, only one step away from the Presidential decision level."

Robert Carleson, a special assistant to the President for policy development, will be the principal White House representative on the working group, Smith said. The chaired working group would be a sub-unit of the Cabinet Council on Human Resources, by the Secretary of Health and Human Services, Richard S. Schweiker. The group would include representatives from six Federal departments: Health and Human Services, Justice, Housing and Urban Development, Agriculture, Education and Labor.

"I believe this development alone," Smith said, "re-emphasizes Secretary Watt's desire -- and that of President Reagan -- to keep Indians in the mainstream of our society during this administration."

Smith is a Wasco Indian from the Warm Springs Reservation in Oregon. As general manager of the Confederation of Warm Springs Tribes, he was responsible for the development of a very successful timber industry and other tribal enterprises.

Smith stressed throughout his talk his belief in the ability of tribal governments to manage their own affairs with less dependency on the Federal government. He said, "I believe the proper role of the Bureau of Indian Affairs and the other Federal agencies is to encourage and foster an atmosphere that will enable tribal government to move toward less dependency on the Federal Government."

Speaking of a BIA policy to consult with tribal leaders, Smith said: "It would be totally inconsistent with my strong belief in self-determination for Indian tribal governments to fail to recognize the value and necessity of a well-designed, formal consultation process -- as well as frequent, informal consul­tation. We want your recommendations." But he added, "Consultation must not mean that we ask your permission to make a decision. We cannot, and will not, abdicate our management responsibility. "

Smith said that past Federal funding of reservation projects was not always helpful. "Money has been wasted in programs that were not thought out well, not integrated into any reservation plan and, consequently, had no lasting effect." He said that he was working to coordinate Indian programs from the various Federal agencies, but added: "The tribal governments now are challenged to come up with better ideas, better planning and better management. Their enterprises and development programs should be worth the investment of tribal capital and sound enough to attract funding the private sector."

Smith promised the tribal leaders, "I will "Work with you . . . to help you build strong tribal governments and well-managed economic development programs.” He said that those working in Indian Affairs could achieve their goals only to the extent that they helped Indian tribes reach their goals of self-determination and self-sufficiency.

The Bureau of Indian Affairs has announced that it is reinstituting comprehensive stock reduction efforts, including impoundment when necessary, in the former Navajo-Hopi Joint Use area.

Impoundment as a means of livestock reduction was discontinued May 11, at the request of Navajo Tribal Chairman Peter MacDonald for a discussion of procedures and issues. The BIA is responsible, under a mandate of the Navajo-Hopi Land Settlement Act (P.L. 93-531), for keeping the number of livestock within the carrying capacity of the range in the now partitioned areas.

Kenneth L. Payton, Acting Interior Deputy Assistant Secretary for Indian Affairs, told MacDonald in a letter dated August 12 that Hopi Tribal Chairman Abbott Sekaquaptewa "stressed the requirement of the law that livestock within the area be reduced to its carrying capacity by January 8, 1982 and his expectation that the law would be carried out in a manner which would enable the Hopi Tribe to have access to and make use of the land which has been partitioned to them." There are about 6,000 Navajos residing and grazing livestock on land partitioned to the Hopi.

Payton said that the BIA Phoenix area office, responsible for the stock reduction on land partitioned to the Hopi, would accept and process grazing permit applications made by the Navajo Tribe on behalf of individuals unable or unwilling to file their own applications. He said that the carrying capacity of the grazing lands throughout the area would be reappraised as quickly as possible and that at least 48 hours notice would be given to individuals whose livestock would be subject to impoundment. He asked Chairman MacDonald to submit more information for a proposed feed lot plan.

It was his desire, Payton said, that voluntary compliance with regulations would be the chief means of carrying out the mandate of the law.

Payton described the procedures to be followed as consistent with the law and, for the most part, the major concerns expressed by MacDonald. He told MacDonald: "While we recognize that the stock reduction continues to be counter to the wishes and desires of the Navajo Tribe and the people impacted by the reduction, I am counting on your cooperation and that of the Navajo Tribal Government in the process" so that the requirements of the law will occur in a way that is least disturbing to all concerned.

Interior Assistant Secretary Ken Smith announced today that Maurice W. Babby, an Oglala Sioux, has been named director of the Bureau of Indian Affairs Sacramento area.

Babby succeeds William E. Finale, Sacramento area director since 1968, who has accepted an assignment as director of the Phoenix area for a period not to exceed six months. Finale, a 30-year Interior veteran, has announced plans to retire within the next year.

Babby, director of the Bureau's office of administration in Washington, D. C., the past year, worked in the Sacramento office from 1958 to 1965. He was tribal operations officer and program officer in the area. He was superintendent of the Fort Belknap agency in Montana 1967-70 and assistant area director at Billings, 'Montana 1970-79.

A graduate of Sacramento State University, Babby earned a law degree from the La Salle Extension University in 1969 and a Masters in Public Administration from the University of Oklahoma in 1977. He has also completed the Interior Department's management training program.

Finale was named director of the Sacramento area office in 1968 after five years of service as deputy assistant commissioner (community affairs) in Washington, D. C.

A graduate of Western Reserve University, with a Masters' in education, Finale began his career with the Interior Department as education and training officer for of the Pacific. He was named administrative the Trust Territories Trust Territories in 1957.

Finale, 56, came to the Bureau of Indian Affairs in 1961 as senior program officer in Washington, D. C.

Bureau of Indian Affairs officials from Washington, D.C., will be meeting September 14-17 with Alaska State officials and Alaska Native representatives to discuss a proposed transfer of as many as 20 BIA-operated village schools to state operation in the 1982-83 school year. The Bureau currently operates 39 elementary village schools serving approximately 2,100 students.

Coming to Alaska will be Interior's Deputy Assistant Secretary for Indian Affairs, Roy H. Sampsel and the BIA's Director of Indian Education Programs Earl Barlow.

They will meet September 14 with representatives of Alaska Native organizations in Anchorage and go to Juneau September 15 for meetings with Governor Jay Hammond and State Education Commissioner Marshall Lind.

Barlow will then meet on the 16th with members of the Alaska State Board of Education at Ketchikan and with Rural Education Attendance Area superintendents at Anchorage on the 17th. He will also meet with BIA school officials that same day.

"It has long been the plan," Sampsel said, "to transfer the operation and control of these village schools to the State." Between 1967 and 1970, 28 BIA schools became part of the State system and in this past year two more schools were transferred to State operation.

Sampsel noted that the State, according to its own constitution, is required to "maintain a system of public schools open to all children of the State." He said the State has indicated a willingness to accept the transfer of the BIA schools beginning in fiscal year 1983.

In addition to the village elementary schools, the Bureau operates one boarding high school, Mt. Edgecumbe. Present plans call for the school to be closed after the 1981-82 school year because it duplicates and competes with state education programs.

Interior Assistant Secretary Ken Smith has appointed Carl Shaw, a Cherokee Indian, as his special assistant and director of public affairs for the Bureau of Indian Affairs.

Smith said that Shaw would be the principal counselor to the Assistant Secretary and the Deputy Assistant Secretary for Operations on all matters of public affairs nature.

Shaw, a native of Nacogdoches, Texas, was director of the BIA' s public information office in 1972. He transferred to the Department of Health, Education and Welfare in 1973 where he was a public information specialist and assistant to the assistant secretary for public affairs. In that position, he served for three years as advance man for the HEW Secretary Caspar Weinberger. He resigned from the federal government in 1979 to go into a private business venture.

In his new position, Shaw has responsibility for the direction and supervision of the BIA's public information staff. Principal functions include press relations, preparing informational materials for the general public and drafting speeches or briefing materials.

Shaw's first position with the federal government in Washington was as a public information specialist for the Rural Electrification Administration in 1967. In 1972 he worked briefly in a White House position as assistant press coordinator for the President's Office of Emergency Preparedness.

Born in 1937, Shaw served three years in the U.S. Army, 1956-59. In 1960-65 he worked as a reporter on several East Texas dailies and directed a successful political campaign for Congressman John Dowdy of Texas, subsequently serving as his administrative assistant in Washington. From 1965 to 1967 he was director of public relations for the Deep East Texas Electric Cooperative.