109th CONGRESS
1st Session
S. 1439
To provide for Indian trust asset management reform and resolution
of historical accounting claims, and for other purposes.
IN THE SENATE OF THE UNITED STATES
July 20, 2005
Mr. MCCAIN (for himself and Mr. DORGAN) introduced the following bill; which
was read twice and referred to the Committee on Indian Affairs
A BILL
To provide for Indian trust asset management reform and resolution
of historical accounting claims, and for other purposes.
Be it enacted by the Senate and House of Representatives of the United
States of America in Congress assembled,
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) Short Title- This Act may be cited as the `Indian Trust Reform Act of
2005'.
(b) Table of Contents- The table of contents for this Act is as follows:
Sec. 1. Short title; table of contents.
TITLE I--SETTLEMENT OF LITIGATION CLAIMS
Sec. 103. Individual Indian Accounting Claim Settlement Fund.
Sec. 104. General distribution.
Sec. 105. Claims relating to share determination.
Sec. 106. Claims relating to method of valuation.
Sec. 107. Claims relating to constitutionality.
Sec. 108. Attorneys' fees.
Sec. 109. Waiver and release of claims.
Sec. 110. Effect of title.
TITLE II--INDIAN TRUST ASSET MANAGEMENT POLICY REVIEW COMMISSION
Sec. 203. Meetings and procedures.
Sec. 206. Commission personnel matters.
Sec. 207. Exemption from FACA.
Sec. 208. Authorization of appropriations.
Sec. 209. Termination of Commission.
TITLE III--INDIAN TRUST ASSET MANAGEMENT DEMONSTRATION PROJECT ACT
Sec. 303. Establishment of demonstration project; selection of participating
Indian tribes.
Sec. 304. Indian trust asset management plan.
Sec. 305. Effect of title.
TITLE IV--FRACTIONAL INTEREST PURCHASE AND CONSOLIDATION PROGRAM
Sec. 401. Fractional interest program.
TITLE V--RESTRUCTURING BUREAU OF INDIAN AFFAIRS AND OFFICE OF SPECIAL TRUSTEE
Sec. 503. Under Secretary for Indian Affairs.
Sec. 504. Transfer of functions of Assistant Secretary for Indian Affairs.
Sec. 505. Office of Special Trustee for American Indians.
Sec. 506. Hiring preference.
Sec. 507. Authorization of appropriations.
TITLE VI--AUDIT OF INDIAN TRUST FUNDS
Sec. 601. Audits and reports.
Sec. 602. Authorization of appropriations.
TITLE I--SETTLEMENT OF LITIGATION CLAIMS
SEC. 101. FINDINGS.
(1) Congress has appropriated tens of millions of dollars for purposes of
providing an historical accounting of funds held in Individual Indian Money
accounts;
(2) as of the date of enactment of this Act, the efforts of the Federal
Government in conducting historical accounting activities have provided
information regarding the feasibility and cost of providing a complete historical
accounting of IIM account funds;
(3) in the case of many IIM accounts, a complete historical accounting--
(A) may be impossible because necessary records and accounting data are
missing or destroyed;
(B) may take several years to perform even if necessary records are available;
(C) may cost the United States hundreds of millions and possibly several
billion dollars; and
(D) may be impossible to complete before the deaths of many elderly IIM
account beneficiaries;
(4) without a complete historical accounting, it may be difficult or impossible
to ascertain the extent of losses in an IIM account as a result of accounting
errors or mismanagement of funds, or the correct amount of interest accrued
or owned on the IIM account;
(5) the total cost to the United States of providing a complete historical
accounting of an IIM account may exceed--
(A) the current balance of the IIM account;
(B) the total sums of money that have passed through the IIM account;
and
(C) the enforceable liability of the United States for losses from, and
interest in, the IIM account;
(6)(A) the delays in obtaining an accounting and in pursuing accounting
claims in the case styled Cobell v. Norton, Civil Action No. 96-1285 (RCL)
in the United States District Court for the District of Columbia, have created
a great hardship on IIM account beneficiaries; and
(B) many beneficiaries and their representatives have indicated that they
would rather receive monetary compensation than experience the continued
frustration and delay associated with an accounting of transactions and
funds in their IIM accounts;
(7) it is appropriate for Congress, taking into consideration the findings
under paragraphs (1) through (6), to provide benefits that are reasonably
calculated to be fair and appropriate in lieu of performing an accounting
of an IIM account, or assuming liability for errors in such an accounting,
mismanagement of IIM account funds (including undetermined amounts of interest
in IIM accounts, losses in which may never be discovered or quantified if
a complete historical accounting cannot be performed), or breach of fiduciary
duties with respect to the administration of IIM accounts, in order to transmute
claims by the beneficiaries of IIM accounts for undetermined or unquantified
accounting losses and interest to a fixed amount to be distributed to the
beneficiaries of IIM accounts;
(8) in determining the amount of the payments to be distributed as described
in paragraph (7), Congress should take into consideration, in addition to
the factors described in paragraphs (1) through (6)--
(A) the risks and costs to IIM account beneficiaries, as well as any delay,
associated with the litigation of claims that will be resolved by this
title; and
(B) the benefits to IIM account beneficiaries available under this title;
(9) the situation of the Osage Nation is unique because, among other things,
income from the mineral estate of the Osage Nation is distributed to individuals
through headright interests that belong not only to members of the Osage
Nation, but also to members of other Indian tribes, and to non-Indians;
and
(10) due to the unique situation of the Osage Nation, the Osage Nation,
on its own behalf, has filed various actions in Federal district court and
the United States Court of Federal Claims seeking accountings, money damages,
and other legal and equitable relief
SEC. 102. DEFINITIONS.
(1) ACCOUNTING CLAIM- The term `accounting claim' means any claim for an
historical accounting of a claimant against the United States under the
Litigation.
(2) CLAIMANT- The term `claimant' means any beneficiary of an IIM account
(including an heir of such a beneficiary) that was living on the date of
enactment of the American Indian Trust Fund Management Reform Act of 1994
(25 U.S.C. 4001 et seq.).
(3) IIM ACCOUNT- The term `IIM account' means an Individual Indian Money
account administered by the Bureau of Indian Affairs.
(4) LITIGATION- The term `Litigation' means the case styled Cobell v. Norton,
Civil Action No. 96-1285 (RCL) in the United States District Court for the
District of Columbia.
(5) SECRETARY- The term `Secretary' means the Secretary of the Treasury.
(6) SETTLEMENT FUND- The term `Settlement Fund' means the fund established
by section 103(a).
(7) SPECIAL MASTER- The term `Special Master' means the special master appointed
by the Secretary under section 103(b) to administer the Settlement Fund.
SEC. 103. INDIVIDUAL INDIAN ACCOUNTING CLAIM SETTLEMENT FUND.
(1) IN GENERAL- There is established in the general fund of the Treasury
a fund, to be known as the `Individual Indian Accounting Claim Settlement
Fund'.
(2) INITIAL DEPOSIT- The Secretary shall deposit into the Settlement Fund
to carry out this title not less than $ [Struck out->][
XX ][<-Struck out] ,000,000,000 from funds
appropriated under section 1304 of title 31, United States Code.
(b) Special Master- As soon as practicable after the date of enactment of
this Act, the Secretary shall appoint a Special Master to administer the Settlement
Fund in accordance with this title.
(1) IN GENERAL- The Special Master shall use not less than 80 percent of
amounts in the Settlement Fund to make payments to claimants in accordance
with section 104.
(2) METHOD OF VALUATION AND CONSTITUTIONAL CLAIMS- The Special Master may
use not to exceed 12 percent of amounts in the Settlement Fund to make payments
to claimants described in--
(3) ATTORNEYS' FEES- The Special Master may use not to exceed [Struck out->][
XX ][<-Struck out] percent of amounts
in the Settlement Fund to make payments to claimants for attorneys' fees
in accordance with section 108.
(d) Costs of Administration- The Secretary may use not more than [Struck out->][
XX ][<-Struck out] percent of amounts in
the Settlement Fund to pay the costs of--
(1) administering the Settlement Fund; and
(2) otherwise carrying out this title.
SEC. 104. GENERAL DISTRIBUTION.
(a) Payments to Claimants-
(1) IN GENERAL- Not later than 1 year after the date on which the Secretary
publishes in the Federal Register the regulations described in subsection
(d), the Special Master shall distribute to each claimant from the Settlement
Fund an amount equal to the sum of--
(A) the per capita share of the claimant of $ [Struck out->][
XX ][<-Struck out] ,000,000,000 of the
amounts described in section 103(c)(1); and
(B) of $ [Struck out->][ XX ][<-Struck
out] ,000,000,000 of the amounts described in section 103(c)(1), the additional
share of the claimant, to be determined in accordance with a formula established
by the Secretary under subsection (d)(1).
(A) IN GENERAL- An heir of a claimant shall receive the entire amount
distributed to the claimant under paragraphs (1) and (3).
(B) MULTIPLE HEIRS- If a claimant has more than 1 heir, the amount distributed
to the claimant under paragraphs (1) and (3) shall be divided equally
among the heirs of the claimant.
(3) RESIDUAL AMOUNTS- After making each distribution required under sections
106, 107, and 108, the Special Master shall distribute to claimants the
remainder of the amounts described in paragraphs (2) and (3) of section
103(c), in accordance with paragraph (1)(B).
(b) Requirement for Distribution- The Special Master shall not make a distribution
to a claimant under subsection (a) until the claimant executes a waiver and
release of accounting claims against the United States in accordance with
section 109.
(c) Location of Claimants-
(1) RESPONSIBILITY OF SECRETARY OF THE INTERIOR- The Secretary of the Interior
shall provide to the Special Master any information, including IIM account
information, that the Special Master determines to be necessary to--
(A) identify any claimant under this title; or
(B) apply a formula established by the Secretary under subsection (d).
(2) CLAIMANTS OF UNKNOWN LOCATION-
(A) IN GENERAL- The Special Master shall deposit in an account, for future
distribution, amounts under this title for each claimant who--
(i) is entitled to receive a distribution under this title, as determined
by the Special Master; and
(ii) has not been located by the Special Master as of the date on which
a distribution is required under subsection (a)(1).
(B) LOCATION OF CLAIMANTS-
(i) RESPONSIBILITY OF SECRETARY OF THE INTERIOR- The Secretary of the
Interior shall provide to the Special Master any information and assistance
necessary to locate a claimant described in subparagraph (A)(ii).
(ii) CONTRACTS- The Special Master may enter into contracts with an
Indian tribe or an organization representing individual Indians in order
to locate a claimant described in subparagraph (A)(ii).
(1) IN GENERAL- The Secretary shall promulgate any regulations that the
Secretary determines to be necessary to carry out this title, including
regulations establishing a formula to determine the share of each claimant
of payments under subsection (a)(1).
(2) FACTORS FOR CONSIDERATION- In developing the formula described in paragraph
(1), the Secretary shall take into consideration the amount of funds that
have passed through the IIM account of each claimant during the period beginning
on January 1, 1980, and ending on December 31, 2005, or another period,
as the Secretary determines to be appropriate.
SEC. 105. CLAIMS RELATING TO SHARE DETERMINATION.
(a) In General- Subject to subsection (b), any claimant may seek judicial
review of the determination of the Special Master with respect to the amount
of a share payment of a claimant under section 104(a)(1).
(b) Requirements- A claimant shall file a claim under subsection (a)--
(1) not later than 180 days after the date of receipt of a notice by the
claimant under subsection (c); and
(2) in the United States district court for the district in which the claimant
resides.
(c) Notice- The Secretary shall provide to each claimant a notice of the right
of any claimant to seek judicial review of a determination of the Special
Master with respect to the amount of the share payment of the claimant under
section 105.
(d) Subsequent Appeals- A claim relating to a determination of a United States
district court relating to an appeal under subsection (a) shall be filed only
in the United States Court of Appeals for the District of Columbia.
SEC. 106. CLAIMS RELATING TO METHOD OF VALUATION.
(a) In General- Not later than 1 year after the date of enactment of this
Act, a claimant may seek judicial review of the method of distribution of
a payment to the claimant under section 104(a).
(b) Requirements- A claim under subsection (a)--
(1) shall not be filed as part of a class action claim against any party;
and
(2) shall be filed only in the United States Court of Federal Claims.
(1) IN GENERAL- The Special Master shall use only amounts described in section
103(c)(2)(A) to satisfy an award under a claim under this section.
(2) PAYMENTS TO CLAIMANTS- A claimant that files a claim under this subsection
shall not be eligible to receive a distribution under section 104(a).
(d) Effect of Claim- The filing of a claim under this section shall be considered
to be a waiver by the claimant of any right to an award under section 104.
SEC. 107. CLAIMS RELATING TO CONSTITUTIONALITY.
(a) In General- Any claimant may seek judicial review in the United States
District Court for the District of Columbia of the constitutionality of the
application of this title to an individual claimant.
(1) JUDICIAL PANEL- A claim under this section shall be determined by a
panel of 3 judges, to be appointed by the chief judge of the United States
District Court for the District of Columbia.
(2) CONSOLIDATION OF CLAIMS-
(A) IN GENERAL- The judicial panel may consolidate claims under this section,
as the judicial panel determines to be appropriate.
(B) PROHIBITION OF CLASS ACTION CASES- A claim under this section shall
not be filed as part of a class action claim against any party.
(3) DETERMINATION- The judicial panel may award a claimant such relief as
the judicial panel determines to be appropriate, including monetary compensation.
(1) IN GENERAL- The Special Master shall use only amounts described in section
103(c)(2)(B) to satisfy an award under a claim under this section.
(2) PAYMENTS TO CLAIMANTS- A claimant that files a claim under this subsection
shall not be eligible to receive a distribution under section 104(a).
(d) Effect of Claim- The filing of a claim under this section shall be considered
to be a waiver by the claimant of any right to an award under section 104.
SEC. 108. ATTORNEYS' FEES.
(a) In General- The Special Master may use amounts described in section 103(c)(3)
to make payments to claimants for costs and attorneys' fees incurred under
the Litigation before the date of enactment of this Act, or in connection
with a claim under section 104, at a rate not to exceed $ [Struck out->][
XX ][<-Struck out] per hour.
(1) IN GENERAL- The Special Master may make a payment under subsection (a)
only if, as of the date on which the Special Master makes the payment, the
applicable costs and attorneys' fees have not been paid by the United States
pursuant to a court order.
(2) ACTION BY ATTORNEYS- To receive a payment under subsection (a), an attorney
of the claimant shall submit to the Special Master a written claim for costs
or fees under the Litigation.
SEC. 109. WAIVER AND RELEASE OF CLAIMS.
(a) In General- In order to receive an award under this title, a claimant
shall execute and submit to the Special Master a waiver and release of claims
under this section.
(b) Contents- A waiver and release under subsection (a) shall contain a statement
that the claimant waives and releases the United States (including any officer,
official, employee, or contractor of the United States) from any legal or
equitable claim under Federal, State, or other law (including common law)
relating to any accounting of funds in the IIM account of the claimant on
or before the date of enactment of this Act.
SEC. 110. EFFECT OF TITLE.
(a) Substitution of Benefits-
(1) IN GENERAL- The benefits provided under this title shall be considered
to be provided in lieu of any claims under Federal, State, or other law
originating before the date of enactment of this Act for--
(A) losses as a result of accounting errors relating to funds in an IIM
account;
(B) mismanagement of funds in an IIM account; or
(C) interest accrued or owed in connection with funds in an IIM account.
(2) LIMITATION OF CLAIMS- Except as provided in this title, and notwithstanding
any other provision of law, a claimant shall not maintain an action in any
Federal, State, or other court for an accounting claim originating before
the date of enactment of this Act.
(3) JURISDICTION OF COURTS-
(A) IN GENERAL- Except as otherwise provided in this title, no court shall
have jurisdiction over a claim filed by an individual or group for the
historical accounting of funds in an IIM account on or before the date
of enactment of this Act, including any such claim that is pending on
the date of enactment of this Act.
(B) LIMITATION- This paragraph does not prevent a court from ordering
an accounting in connection with an action relating to the mismanagement
of trust resources that are not funds in an IIM account on or before the
date of enactment of this Act.
(b) Acceptance as Waiver- The acceptance by a claimant of a benefit under
this title shall be considered to be a waiver by the claimant of any accounting
claim that the claimant has or may have relating to the IIM account of the
claimant.
(c) Receipt of Payments Have No Impact on Benefits Under Other Federal Programs-
The receipt of a payment by a claimant under this title shall not be--
(1) subject to Federal or State income tax; or
(2) treated as benefits or otherwise taken into account in determining the
eligibility of the claimant for, or the amount of benefits under, any other
Federal program, including the social security program, the medicare program,
the medicaid program, the State children's health insurance program, the
food stamp program, or the Temporary Assistance for Needy Families program.
(d) Certain Claims- Nothing in this title precludes any court from granting
any legal or equitable relief in an action by an Indian tribe or Indian nation
against the United States, or an officer of the United States, filed or pending
on or before the date of enactment of this Act, seeking an accounting, money
damages, or any other relief relating to a tribal trust account or trust asset
or resource.
TITLE II--INDIAN TRUST ASSET MANAGEMENT POLICY REVIEW COMMISSION
SEC. 201. ESTABLISHMENT.
There is established a commission, to be known as the `Indian Trust Asset
Management Policy Review Commission,' (referred to in this title as the `Commission'),
for the purposes of--
(1) reviewing trust asset management laws (including regulations) in existence
on the date of enactment of this Act governing the management and administration
of individual Indian and Indian tribal trust assets;
(2) reviewing the management and administration practices of the Department
of the Interior with respect to individual Indian and Indian tribal trust
assets; and
(3) making recommendations to the Secretary of the Interior and Congress
for improving those laws and practices.
SEC. 202. MEMBERSHIP.
(a) In General- The Commission shall be composed of 12 members, of whom--
(1) 4 shall be appointed by the President;
(2) 2 shall be appointed by the Majority Leader of the Senate;
(3) 2 shall be appointed by the Minority Leader of the Senate;
(4) 2 shall be appointed by the Speaker of the House of Representatives;
and
(5) 2 shall be appointed by the Minority Leader of the House of Representatives.
(b) Qualifications- The membership of the Commission shall include--
(1) at least 6 members who are representatives of federally recognized Indian
tribes with reservation land or other trust land that is managed for--
(C) crop, timber, mineral, or other resource production purposes;
(2) at least 1 member (including any member described in paragraph (1))
who is or has been the beneficial owner of an individual Indian monies account;
and
(3) at least 4 members who have experience in--
(A) Indian trust resource (excluding a financial resource) management;
(B) fiduciary investment management;
(C) financial asset management; and
(D) Federal law and policy relating to Indians.
(c) Date of Appointments-
(1) IN GENERAL- The appointment of a member of the Commission shall be made
not later than 90 days after the date of enactment of this Act.
(2) FAILURES TO APPOINT- A failure to make an appointment in accordance
with paragraph (1) shall not affect the powers or duties of the Commission
if sufficient members are appointed to establish a quorum.
(1) TERM- A member shall be appointed for the life of the Commission.
(2) VACANCIES- A vacancy on the Commission--
(A) shall not affect the powers or duties of the Commission; and
(B) shall be filled in the same manner as the original appointment was
made.
SEC. 203. MEETINGS AND PROCEDURES.
(a) Initial Meeting- Not later than 150 days after the date of enactment of
this Act, the Commission shall hold the initial meeting of the Commission
to--
(1) elect a Chairperson; and
(2) establish procedures for the conduct of business of the Commission,
including public hearings.
(b) Subsequent Meetings- The Commission shall meet at the call of the Chairperson.
(c) Quorum- 7 members of the Commission shall constitute a quorum, but a lesser
number of members may hold hearings.
(d) Chairperson- The Commission shall elect a Chairperson from among the members
of the Commission.
SEC. 204. DUTIES.
(a) Reviews and Assessments- The Commission shall review and assess--
(1) Federal laws (including regulations) applicable or relating to the management
and administration of Indian trust assets; and
(2) the practices of the Department of the Interior relating to the management
and administration of Indian trust assets.
(b) Consultation- In conducting the reviews and assessments under subsection
(a), the Commission shall consult with--
(1) the Secretary of the Interior;
(2) federally recognized Indian tribes; and
(3) organizations that represent the interests of individual owners of Indian
trust assets.
(c) Recommendations- After conducting the reviews and assessments under subsection
(a), the Commission shall develop recommendations with respect to--
(1) changes to Federal law that would improve the management and administration
of Indian trust assets by the Secretary of the Interior;
(2) changes to Indian trust asset management and administration practices
that would--
(A) better protect and conserve Indian trust assets;
(B) improve the return on those assets to individual Indian and Indian
tribal beneficiaries; or
(C) improve the level of security of individual Indian and Indian tribal
money account data and assets; and
(3) proposed Indian trust asset management standards that are consistent
with any Federal law that is otherwise applicable to the management and
administration of the assets.
(d) Report- Not later than 2 years after the date on which the Commission
holds the initial meeting, the Commission shall submit to the Committee on
Indian Affairs of the Senate, the Committee on Resources of the House of Representatives,
and the Secretary of the Interior a report that includes--
(1) an overview and the results of the reviews and assessments under subsection
(a); and
(2) any recommendations of the Commission under subsection (c).
SEC. 205. POWERS.
(a) Hearings- The Commission may hold such hearings, meet and act at such
times and places, take such testimony, and receive such evidence as the Chairperson
determines to be appropriate to carry out this title.
(b) Information From Federal Agencies-
(1) IN GENERAL- The Commission may secure directly from a Federal agency
such information as the Chairperson determines to be necessary to carry
out this title.
(2) PROVISION OF INFORMATION- On request of the Chairperson, the head of
a Federal agency shall provide information to the Commission.
(c) Access to Personnel- For purposes of carrying out this title, the Commission
shall have reasonable access to staff responsible for Indian trust asset management
and administration of--
(1) the Department of the Interior;
(2) the Department of the Treasury; and
(3) the Department of Justice.
(d) Postal Services- The Commission may use the United States mail in the
same manner and under the same conditions as other Federal agencies.
(e) Gifts- The Commission may accept, use, and dispose of gifts or donations
of services or property to the same extent and under the same conditions as
other Federal agencies.
SEC. 206. COMMISSION PERSONNEL MATTERS.
(a) Compensation of Members-
(1) NON-FEDERAL EMPLOYEES- A member of the Commission who is not an officer
or employee of the Federal Government shall be compensated at a rate equal
to the daily equivalent of the annual rate of basic pay prescribed for level
IV of the Executive Schedule under section 5315 of title 5, United States
Code, for each day (including travel time) during which the member is engaged
in the performance of the duties of the Commission.
(2) FEDERAL EMPLOYEES- A member of the Commission who is an officer or employee
of the Federal Government shall serve without compensation in addition to
the compensation received for the services of the member as an officer or
employee of the Federal Government.
(b) Travel Expenses- A member of the Commission shall be allowed travel expenses,
including per diem in lieu of subsistence, at rates authorized for an employee
of an agency under subchapter I of chapter 57 of title 5, United States Code,
while away from home or regular place of business of the member in the performance
of the duties of the Commission.
(1) IN GENERAL- The Chairperson may, without regard to the civil services
laws (including regulations), appoint and terminate an executive director
and such other additional personnel as are necessary to enable the Commission
to perform the duties of the Commission.
(2) CONFIRMATION OF EXECUTIVE DIRECTOR- The employment of an executive director
shall be subject to confirmation by the Commission.
(A) IN GENERAL- Except as provided in subparagraph (B), the Chairperson
may fix the compensation of the executive director and other personnel
without regard to the provisions of chapter 51 and subchapter III of title
5, United States Code, relating to classification of positions and General
Schedule pay rates.
(B) MAXIMUM RATE OF PAY- The rate of pay for the executive director and
other personnel shall not exceed the rate payable for level V of the Executive
Schedule under section 5316 of title 5, United States Code.
SEC. 207. EXEMPTION FROM FACA.
The Federal Advisory Committee Act (5 U.S.C. App.) shall not apply to the
Commission if all hearings of the Commission are held open to the public.
SEC. 208. AUTHORIZATION OF APPROPRIATIONS.
There are authorized to be appropriated such sums as are necessary to carry
out this title.
SEC. 209. TERMINATION OF COMMISSION.
The Commission and the authority of the Commission under this title shall
terminate on the date that is 3 years after the date on which the Commission
holds the initial meeting of the Commission.
TITLE III--INDIAN TRUST ASSET MANAGEMENT DEMONSTRATION PROJECT ACT
SEC. 301. SHORT TITLE.
This title may be cited as the `Indian Trust Asset Management Demonstration
Project Act of 2005'.
SEC. 302. DEFINITIONS.
(1) PROJECT- The term `Project' means the Indian trust asset management
demonstration project established under section 303(a).
(2) OTHER INDIAN TRIBE- The term `other Indian tribe' means an Indian tribe
that--
(A) is federally recognized;
(B) is not a section 131 Indian tribe; and
(C) submits an application under section 303(c).
(3) SECRETARY- The term `Secretary' means the Secretary of the Interior.
(4) SECTION 131 INDIAN TRIBE- The term `section 131 Indian tribe' means
any Indian tribe that is participating in the demonstration project under
section 131 of title III, division E of the Consolidated Appropriations
Act, 2005 (Public Law 108-447; 118 Stat. 2809).
SEC. 303. ESTABLISHMENT OF DEMONSTRATION PROJECT; SELECTION OF PARTICIPATING
INDIAN TRIBES.
(a) In General- The Secretary shall establish and carry out an Indian trust
asset management demonstration project, in accordance with this title.
(b) Selection of Participating Indian Tribes-
(1) SECTION 131 INDIAN TRIBES- A section 131 Indian tribe shall be eligible
to participate in the Project if the section 131 Indian tribe submits to
the Secretary an application under subsection (c).
(A) IN GENERAL- Any other Indian tribe shall be eligible to participate
in the Project if--
(i) the other Indian tribe submits to the Secretary an application under
subsection (c); and
(ii) the Secretary approves the application of the other Indian tribe.
(i) 30 OR FEWER APPLICANTS- If 30 or fewer other Indian tribes submit
applications under subsection (c), each of the other Indian tribes shall
be eligible to participate in the Project.
(ii) MORE THAN 30 APPLICANTS-
(I) IN GENERAL- If more than 30 other Indian tribes submit applications
under subsection (c), the Secretary shall select 30 other Indian tribes
to participate in the Project.
(II) PREFERENCE- In selecting other Indian tribes under subclause
(I), the Secretary shall give preference to other Indian tribes the
applications of which were first received by the Secretary.
(A) IN GENERAL- The Secretary shall provide a written notice to each Indian
tribe selected to participate in the Project.
(B) CONTENTS- A notice under subparagraph (A) shall include--
(i) a statement that the application of the Indian tribe has been approved
by the Secretary; and
(ii) a requirement that the Indian tribe shall submit to the Secretary
a proposed Indian trust asset management plan in accordance with section
304.
(1) IN GENERAL- To be eligible to participate in the Project, an Indian
tribe shall submit to the Secretary a written application in accordance
with paragraph (2).
(2) REQUIREMENTS- The Secretary shall take into consideration an application
under this subsection only if the application--
(A) includes a copy of a resolution or other appropriate action by the
governing body of the Indian tribe, as determined by the Secretary, in
support of or authorizing the application;
(B) is received by the Secretary by the date that is 180 days after the
date of enactment of this Act; and
(C) states that the Indian tribe is requesting to participate in the Project.
(d) Duration- The Project shall remain in effect for a period of 8 years after
the date of enactment of this Act.
SEC. 304. INDIAN TRUST ASSET MANAGEMENT PLAN.
(A) IN GENERAL- Not later than 120 days after the date on which an Indian
tribe receives a notice from the Secretary under section 303(b)(3), the
Indian tribe shall submit to the Secretary a proposed Indian trust asset
management plan in accordance with paragraph (2).
(i) IN GENERAL- Except as provided in clause (ii), any Indian tribe
that fails to submit the Indian trust asset management plan of the Indian
tribe by the date specified in subparagraph (A) shall no longer be eligible
to participate in the Project.
(ii) EXTENSION- The Secretary shall grant an extension of not more than
60 days to an Indian tribe if the Indian tribe submits a written request
for such an extension before the date described in subparagraph (A).
(2) CONTENTS- A proposed Indian trust asset management plan shall include
provisions that--
(A) identify the trust assets that will be subject to the plan, including
financial and nonfinancial trust assets;
(B) establish trust asset management objectives and priorities for Indian
trust assets that are located within the reservation, or otherwise subject
to the jurisdiction, of the Indian tribe;
(C) allocate trust asset management funding that is available for the
Indian trust assets subject to the plan in order to meet the trust asset
management objectives and priorities;
(D) if the Indian tribe has contracted or compacted functions or activities
under the Indian Self-Determination and Education Assistance Act (25 U.S.C.
450 et seq.) relating to the management of trust assets--
(i) identify the functions or activities that are being performed by
the Indian tribe under the contracts or compacts; and
(ii) describe the proposed management systems, practices, and procedures
that the Indian tribe will follow; and
(E) establish procedures for nonbinding mediation or resolution of any
dispute between the Indian tribe and the United States relating to the
trust asset management plan.
(3) AUTHORITY OF INDIAN TRIBES TO DEVELOP SYSTEMS, PRACTICES, AND PROCEDURES-
For purposes of preparing and carrying out a management plan under this
section, an Indian tribe that has compacted or contracted activities or
functions under the Indian Self-Determination and Education Assistance Act
(25 U.S.C. 450 et seq.), for purposes of carrying out the activities or
functions, may develop and carry out trust asset management systems, practices,
and procedures that differ from any such systems, practices, and procedures
used by the Secretary in managing the trust assets if the systems, practices,
and procedures of the Indian tribe meet the requirements of the laws, standards,
and responsibilities described in subsection (c).
(4) TECHNICAL ASSISTANCE AND INFORMATION- The Secretary shall provide to
an Indian tribe any technical assistance and information, including budgetary
information, that the Indian tribe determines to be necessary for preparation
of a proposed plan on receipt of a written request from the Indian tribe.
(b) Approval and Disapproval of Proposed Plans-
(A) IN GENERAL- Not later than 120 days after the date on which an Indian
tribe submits a proposed Indian trust asset management plan under subsection
(a), Secretary shall approve or disapprove the proposed plan.
(B) REQUIREMENTS FOR DISAPPROVAL- The Secretary shall approve a proposed
plan unless the Secretary determines that--
(i) the proposed plan fails to address a requirement under subsection
(a)(2);
(ii) the proposed plan includes 1 or more provisions that are inconsistent
with subsection (c); or
(iii) the cost of implementing the proposed plan exceeds the amount
of funding available for the management of trust assets that would be
subject to the proposed plan.
(2) ACTION ON DISAPPROVAL-
(A) NOTICE- If the Secretary disapproves a proposed plan under paragraph
(1)(B), the Secretary shall provide to the Indian tribe a written notice
of the disapproval, including any reason why the proposed plan was disapproved.
(B) ACTION BY TRIBES- An Indian tribe the proposed plan of which is disapproved
under paragraph (1)(B) may resubmit an amended proposed plan not later
than 90 days after the date on which the Indian tribe receives the notice
under subparagraph (A).
(3) FAILURE TO APPROVE OR DISAPPROVE- If the Secretary fails to approve
or disapprove a proposed plan in accordance with paragraph (1), the plan
shall be considered to be disapproved under clauses (i) and (ii) of paragraph
(1)(B).
(4) JUDICIAL REVIEW- An Indian tribe may seek judicial review of the determination
of the Secretary in accordance with subchapter II of chapter 5, and chapter
7, of title 5, United States Code (commonly known as the `Administrative
Procedure Act') if--
(A) the Secretary disapproves the proposed plan of the Indian tribe under
paragraph (1) or (3); and
(B) the Indian tribe has exhausted any other administrative remedy available
to the Indian tribe.
(c) Applicable Laws; Standards; Trust Responsibility-
(1) APPLICABLE LAWS- An Indian trust asset management plan, and any activity
carried out under the plan, shall not be approved unless the proposed plan
is consistent with--
(A) all Federal treaties, statutes, regulations, Executive orders, and
court decisions that are applicable to the trust assets, or the management
of the trust assets, identified in the plan; and
(B) all tribal laws that are applicable to the trust assets, or the management
of trust assets, identified in the plan, except to the extent that the
laws are inconsistent with the treaties, statutes, regulations, Executive
orders, and court decisions referred to in subparagraph (A).
(2) STANDARDS- Subject to the laws referred to in paragraph (1)(A), an Indian
trust asset management plan shall not be approved unless the Secretary determines
that the plan will--
(A) protect trust assets from loss, waste, and unlawful alienation;
(B) promote the interests of the beneficial owner of the trust asset;
(C) conform, to the maximum extent practicable, to the preferred use of
the trust asset by the beneficial owner, unless the use is inconsistent
with a treaty, statute, regulation, Executive order, or court decision
referred to in paragraph (1)(A);
(D) protect any applicable treaty-based fishing, hunting and gathering,
and similar rights relating to the use, access, or enjoyment of a trust
asset; and
(E) require that any activity carried out under the plan be carried out
in good faith and with loyalty to the beneficial owner of the trust asset.
(3) TRUST RESPONSIBILITY- An Indian trust asset management plan shall not
be approved unless the Secretary determines that the plan is consistent
with the trust responsibility of the United States to the Indian tribe and
individual Indians.
(1) IN GENERAL- An Indian tribe may terminate an Indian trust asset management
plan on any date after the date on which a proposed Indian trust asset management
plan is approved by providing to the Secretary--
(A) a notice of the intent of the Indian tribe to terminate the plan;
and
(B) a resolution of the governing body of the Indian tribe authorizing
the termination of the plan.
(2) EFFECTIVE DATE- A termination of an Indian trust asset management plan
under paragraph (1) takes effect on October 1 of the first fiscal year following
the date on which a notice is provided to the Secretary under paragraph
(1)(A).
SEC. 305. EFFECT OF TITLE.
(a) Liability- Nothing in this title, or a trust asset management plan approved
under section 304, shall independently diminish, increase, create, or otherwise
affect the liability of the United States or an Indian tribe participating
in the Project for any loss resulting from the management of an Indian trust
asset under an Indian trust asset management plan.
(b) Effect on Other Laws- Nothing in this title amends or otherwise affects
the application of any treaty, statute, regulation, Executive order, or court
decision that is applicable to Indian trust assets or the management or administration
of Indian trust assets, including the Indian Self-Determination and Education
Assistance Act (25 U.S.C. 450 et seq.).
(c) Trust Responsibility- Nothing in this title diminishes or otherwise affects
the trust responsibility of the United States to Indian tribes and individual
Indians.
TITLE IV--FRACTIONAL INTEREST PURCHASE AND CONSOLIDATION PROGRAM
SEC. 401. FRACTIONAL INTEREST PROGRAM.
Section 213 of the Indian Land Consolidation Act (25 U.S.C. 2212) is amended--
(1) by redesignating subsection (d) as subsection (h); and
(2) by inserting after subsection (c) the following:
`(d) Purchase of Interests in Fractionated Indian Land-
`(1) INCENTIVES- In acquiring an interest under this section in any parcel
of land that includes undivided trust or restricted interests owned by not
less than 20 separate individuals, as determined by the Secretary, the Secretary
may include in the offered purchase price for the interest, in addition
to fair market value, an amount not less than $100 and not to exceed $350,
as an incentive for the owner to sell the interest to the Secretary.
`(2) SALE OF ALL TRUST OR RESTRICTED INTERESTS- If an individual agrees
to sell to the Secretary all trust or restricted interests owned by the
individual, the Secretary may include in the offered purchase price, in
addition to fair market value and the incentive described in paragraph (1),
an amount not to exceed $2,000, as the Secretary determines to be appropriate,
taking into consideration the avoided costs to the United States of probating
the estate of the individual or an heir of the individual.
`(e) Certain Parcels of Highly Fractionated Indian Land-
`(1) DEFINITION OF OFFEREE- In this subsection, the term `offeree' does
not include the Indian tribe that has jurisdiction over a parcel of land
for which an offer is made.
`(A) IN GENERAL- If the Secretary determines that a tract of land consists
of not less than 200 separate undivided trust or restricted interests,
the Secretary may offer to purchase the interests in the tract, in accordance
with this subsection, for an amount equal to the sum of--
`(i) the fair market value of the interests; and
`(ii) an additional amount, to be determined by the Secretary, not less
than triple the fair market value of the interest.
`(B) REQUIREMENT- The Secretary shall make an offer under subparagraph
(A) not later than 3 days before the date on which the Secretary mails
a notice of the offer to the offeree under paragraph (3).
`(A) IN GENERAL- The Secretary shall provide to an offeree, by certified
mail to the last known address of the offeree, a notice of any offer to
purchase land under this subsection.
`(B) INCLUSIONS- A notice under subparagraph (A) shall include in plain
language, as determined by the Secretary--
`(i) the date on which the offer was made;
`(ii) the name of the offeree;
`(iii) the location of the tract of land containing the interest that
is the subject of the offer;
`(iv) the size of the interest of the offeree, expressed in terms of
a fraction or a percentage of the tract of land described in clause
(iii);
`(v) the fair market value of the tract of land described in clause
(iii);
`(vi) the fair market value of the interest of the offeree;
`(vii) the amount offered for the interest in addition to fair market
value under paragraph (2)(A)(ii);
`(viii) a statement that the offeree shall be considered to have accepted
the offer for the amount stated in the notice unless a notice of rejection
form is deposited in the United States mail not later than 90 days after
the date on which the offer is received; and
`(ix) a self-addressed, postage pre-paid notice of rejection form.
`(A) IN GENERAL- An offer made under this subsection shall be considered
to be accepted by the offeree if--
`(i) the certified mail receipt for the offer is signed by the offeree;
and
`(ii) the notice of rejection form described in paragraph (3)(B)(ix)
is not deposited in the United States mail by the date that is 90 days
after the date on which the offer is received.
`(B) REJECTION- An offer made under this subsection shall be considered
to be rejected by the offeree if--
`(i) the notice of rejection form described in paragraph (3)(B)(ix)
is deposited in the United States mail by the date that is 90 days after
the date on which the offer is received; or
`(ii) the certified mail receipt for the offer is returned to the Secretary
unsigned by the offeree.
`(5) WITHDRAWAL OF ACCEPTANCE; NOTICE-
`(A) WITHDRAWAL OF ACCEPTANCE- A person that is considered to have accepted
an offer under paragraph (4)(A) may withdraw the acceptance by depositing
in the United States mail a notice of withdrawal of acceptance form by
the date that is 30 days after the date of receipt of the notice under
subparagraph (B).
`(B) NOTICE- The Secretary shall provide to any person that is considered
to have accepted an offer under paragraph (4)(A), by certified mail, restricted
delivery, to the last known address of the person, a preaddressed, postage
prepaid withdrawal of acceptance form and a notice stating that--
`(i) the offer made to the person is considered to be accepted; and
`(ii) the person has the right to withdraw the acceptance by depositing
in the United States mail the notice of withdrawal of acceptance form
by the date that is 30 days after the date on which the notice was delivered
to the person.
`(6) NOTICE OF ACCEPTANCE AND RIGHT TO APPEAL- The Secretary shall provide
to any person that has been served with a notice under paragraph (5)(B)
and fails to withdraw the acceptance of the offer in accordance with paragraph
(5)(A), by first class mail to the last known address of the person, a notice
stating that--
`(A) the offer made to the person is considered to be accepted and not
timely withdrawn; and
`(B) after exhausting all administrative remedies, the person may appeal
any determination of the Secretary in accordance with paragraph (7).
`(7) JUDICIAL REVIEW- A person described in paragraph (6) may appeal any
determination of the Secretary with respect to--
`(A) the number of owners of undivided interests in a tract of land required
under paragraph (2);
`(B) the fair market value of a tract of land or interest in land;
`(C) the date on which a notice of rejection form was deposited in the
United States mail under paragraph (4)(B)(i); or
`(D) the date on which a notice of withdrawal of acceptance form was deposited
in the United States mail under paragraph (5)(A).
`(f) Offer to Settle Claims Against the United States-
`(1) IN GENERAL- The Secretary may make an offer to any individual owner
(not including an Indian tribe) of a trust or restricted interest in a tract
of land to settle any claim that the owner may have against the United States
relating to the specific tract of land of which the interest is a part (not
including a claim for an accounting described in title I of the Indian Trust
Reform Act of 2005).
`(2) REQUIREMENTS- An offer to settle claims under this subsection shall--
`(B) be delivered to an individual owner by the Secretary in person or
through first class mail; and
`(i) the name of the individual owner;
`(ii) a description of the tract of land to which the offer relates;
`(iii) the amount offered to settle a claim of the individual owner;
`(iv) the manner and date by which the individual owner shall accept
the offer;
`(v) a statement that the individual owner is under no obligation to
accept the offer;
`(vi) a statement that the individual owner has the right to consult
an attorney or other advisor before accepting the offer;
`(vii) a statement that acceptance of the offer by the individual owner
will result in a full and final settlement of all claims, known and
unknown, of the individual owner (including the heirs and assigns of
the individual owner) against the United States relating to the tract
of land identified in the offer; and
`(viii) a statement that the settlement proposed by the offer does not
cover any claim for an accounting described in title I of the Indian
Trust Reform Act of 2005.
`(3) ACCEPTANCE- No acceptance of an offer under this subsection shall be
valid or binding on the individual owner unless the acceptance--
`(B) is signed by the individual owner;
`(D) is attached to a copy of, or contains all material terms of, the
offer to which the acceptance corresponds.
`(4) LIMITATION- No offer to purchase an interest under this section or
any other provision of law shall be conditioned on the acceptance of an
offer to settle a claim under this subsection.
`(5) OTHER LAWS- The authority of the Secretary to settle claims under this
subsection shall be in addition to, and not in lieu of, the authority of
the Secretary to settle claims under any other provision of Federal law.
`(g) Borrowing From Treasury-
`(1) ISSUANCE OF OBLIGATIONS-
`(A) IN GENERAL- To the extent approved in annual appropriations Acts,
the Secretary may issue to the Secretary of the Treasury obligations in
such amounts as the Secretary determines to be necessary to acquire interests
under this Act, subject to approval of the Secretary of the Treasury,
and bearing interest at a rate to be determined by the Secretary of the
Treasury, taking into consideration current market yields on outstanding
marketable obligations of the United States of comparable maturities to
the obligations.
`(B) LIMITATION- The aggregate amount of obligations under subparagraph
(A) outstanding at any time shall not exceed $ [Struck out->][
XXXXXX ][<-Struck out] .
`(2) FORMS AND DENOMINATIONS- The obligations issued under paragraph (1)
shall be in such forms and denominations, and subject to such other terms
and conditions, as the Secretary of the Treasury may prescribe.
`(A) IN GENERAL- Revenues derived from land restored to the Tribe under
this Act shall be used by the Secretary to pay the principal and interest
on the obligations issued under paragraph (1).
`(B) ASSURANCE OF REPAYMENT- The Secretary shall ensure, to the maximum
extent possible, that the revenues described in subparagraph (A) provide
reasonable assurance of repayment of the obligations issued under paragraph
(1).
`(4) AUTHORIZATION OF APPROPRIATIONS- There are authorized to be appropriated
to the Secretary for each fiscal year beginning after the date of enactment
of this subsection such sums as are necessary to cover any difference between--
`(A) the total amount of repayments of principal and interest on obligations
issued to the Secretary of the Treasury under paragraph (1) during the
previous fiscal year; and
`(B) the total amount of repayments described in subparagraph (A) that
were contractually required to be made to the Secretary of the Treasury
during that fiscal year.
`(h) Receipt of Payments Have No Impact on Benefits Under Other Federal Programs-
The receipt of a payment by an offeree under this title shall not be--
`(1) subject to Federal or State income tax; or
`(2) treated as benefits or otherwise taken into account in determining
the eligibility of the offeree for, or the amount of benefits under, any
other Federal program, including the social security program, the medicare
program, the medicaid program, the State children's health insurance program,
the food stamp program, or the Temporary Assistance for Needy Families program.'.
TITLE V--RESTRUCTURING BUREAU OF INDIAN AFFAIRS AND OFFICE OF SPECIAL TRUSTEE
SEC. 501. PURPOSE.
The purpose of this title is to ensure a more effective and accountable administration
of duties of the Secretary of the Interior with respect to providing services
and programs to Indians and Indian tribes, including the management of Indian
trust resources.
SEC. 502. DEFINITIONS.
(1) BUREAU- The term `Bureau' means the Bureau of Indian Affairs.
(2) OFFICE- The term `Office' means the Office of Trust Reform Implementation
and Oversight referred to in section 503(c).
(3) SECRETARY- The term `Secretary' means the Secretary of the Interior.
(4) UNDER SECRETARY- The term `Under Secretary' means the individual appointed
to the position of Under Secretary for Indian Affairs, established by section
503(a).
SEC. 503. UNDER SECRETARY FOR INDIAN AFFAIRS.
(a) Establishment of Position- There is established in the Department of the
Interior the position of Under Secretary for Indian Affairs, who shall report
directly to the Secretary.
(1) IN GENERAL- Except as provided in paragraph (2), the Under Secretary
shall be appointed by the President, by and with the advice and consent
of the Senate.
(2) EXCEPTION- The officer serving as the Assistant Secretary for Indian
Affairs on the date of enactment of this Act may assume the position of
Under Secretary without appointment under paragraph (1) if--
(A) the officer was appointed as Assistant Secretary for Indian Affairs
by the President by and with the advice and consent of the Senate; and
(B) not later than 180 days after the date of enactment of this Act, the
Secretary approves the assumption.
(c) Duties- In addition to the duties transferred to the Under Secretary under
sections 504 and 505, the Under Secretary, acting through an Office of Trust
Reform Implementation and Oversight, shall--
(1) carry out any activity relating to trust fund accounts and trust resource
management of the Bureau (except any activity carried out under the Office
of the Special Trustee for American Indians before the date on which the
Office of the Special Trustee is abolished), in accordance with the American
Indian Trust Fund Management Reform Act of 1994 (25 U.S.C. 4001 et seq.);
(2) develop and maintain an inventory of Indian trust assets and resources;
(3) coordinate with the Special Trustee for American Indians to ensure an
orderly transition of the functions of the Special Trustee under section
505;
(4) supervise any activity carried out by the Department of the Interior,
including--
(A) to the extent that the activities relate to Indian affairs, activities
carried out by--
(i) the Commissioner of Reclamation;
(ii) the Director of the Bureau of Land Management; and
(iii) the Director of the Minerals Management Service; and
(B) intergovernmental relations between the Bureau and Indian tribal governments;
(5) to the maximum extent practicable, coordinate activities and policies
of the Bureau with activities and policies of--
(A) the Bureau of Reclamation;
(B) the Bureau of Land Management; and
(C) the Minerals Management Service;
(6) provide for regular consultation with Indians and Indian tribes that
own interests in trust resources and trust fund accounts;
(7) manage and administer Indian trust resources in accordance with any
applicable Federal law;
(8) take steps to protect the security of data relating to individual Indian
and Indian tribal trust accounts; and
(9) take any other measure the Under Secretary determines to be necessary
with respect to Indian affairs.
SEC. 504. TRANSFER OF FUNCTIONS OF ASSISTANT SECRETARY FOR INDIAN AFFAIRS.
(a) Transfer of Functions- There is transferred to the Under Secretary any
function of the Assistant Secretary for Indian Affairs that has not been carried
out by the Assistant Secretary as of the date of enactment of this Act.
(b) Determinations of Certain Functions by the Office of Management and Budget-
If necessary, the Office of Management and Budget shall make any determination
relating to the functions transferred under subsection (a).
(c) Personnel Provisions-
(1) APPOINTMENTS- The Under Secretary may appoint and fix the compensation
of such officers and employees as the Under Secretary determines to be necessary
to carry out any function transferred under this section.
(2) REQUIREMENTS- Except as otherwise provided by law--
(A) an officer or employee described in paragraph (1) shall be appointed
in accordance with the civil service laws; and
(B) the compensation of the officer or employee shall be fixed in accordance
with title 5, United States Code.
(d) Delegation and Assignment-
(1) IN GENERAL- Except as otherwise expressly prohibited by law or otherwise
provided by this section, the Under Secretary may--
(A) delegate any of the functions transferred to the Under Secretary by
this section and any function transferred or granted to the Under Secretary
after the date of enactment of this Act to such officers and employees
of the Office as the Under Secretary may designate; and
(B) authorize successive redelegations of such functions as the Under
Secretary determines to be necessary or appropriate.
(2) DELEGATION- No delegation of functions by the Under Secretary under
this section shall relieve the Under Secretary of responsibility for the
administration of the functions.
(e) Reorganization- The Under Secretary may allocate or reallocate any function
transferred under this section among the officers of the Office, and establish,
consolidate, alter, or discontinue such organizational entities in the Office,
as the Under Secretary determines to be necessary or appropriate.
(f) Rules- The Under Secretary may prescribe, in accordance with the provisions
of chapters 5 and 6 of title 5, United States Code, such rules and regulations
as the Under Secretary determines to be necessary or appropriate to administer
and manage the functions of the Office.
(g) Transfer and Allocations of Appropriations and Personnel-
(1) IN GENERAL- Except as otherwise provided in this section, the personnel
employed in connection with, and the assets, liabilities, contracts, property,
records, and unexpended balances of appropriations, authorizations, allocations,
and other funds employed, used, held, arising from, available to, or to
be made available in connection with, the functions transferred by this
section, subject to section 1531 of title 31, United States Code, shall
be transferred to the Office.
(2) UNEXPENDED FUNDS- Unexpended funds transferred pursuant to this subsection
shall be used only for the purposes for which the funds were originally
authorized and appropriated.
(h) Incidental Transfers-
(1) IN GENERAL- The Director of the Office of Management and Budget, at
any time the Director may provide, may make such determinations as are necessary
with regard to the functions transferred by this section, and make such
additional incidental dispositions of personnel, assets, liabilities, grants,
contracts, property, records, and unexpended balances of appropriations,
authorizations, allocations, and other funds held, used, arising from, available
to, or to be made available in connection with such functions, as are necessary,
to carry out this section.
(2) TERMINATION OF AFFAIRS- The Director of the Office of Management and
Budget shall provide for the termination of the affairs of all entities
terminated by this section and for any further measures and dispositions
as are necessary to effectuate the purposes of this section.
(1) IN GENERAL- Except as otherwise provided by this section, the transfer
pursuant to this section of full-time personnel (except special Government
employees) and part-time personnel holding permanent positions shall not
cause any such employee to be separated or reduced in grade or compensation
for a period of at least 1 year after the date of transfer of the employee
under this section.
(2) EXECUTIVE SCHEDULE POSITIONS- Except as otherwise provided in this section,
any person who, on the day preceding the date of enactment of this Act,
held a position compensated in accordance with the Executive Schedule prescribed
in chapter 53 of title 5, United States Code, and who, without a break in
service, is appointed to a position in the Office having duties comparable
to the duties performed immediately preceding such appointment shall continue
to be compensated in the new position at not less than the rate provided
for the previous position, for the duration of the service of the person
in the new position.
(3) TERMINATION OF CERTAIN POSITIONS- Positions whose incumbents are appointed
by the President, by and with the advice and consent of the Senate, the
functions of which are transferred by this title, shall terminate on the
date of enactment of this Act.
(j) Separability- If a provision of this section or the application of this
section to any person or circumstance is held invalid, neither the remainder
of this section nor the application of the provision to other persons or circumstances
shall be affected.
(k) Transition- The Under Secretary may use--
(1) the services of the officers, employees, and other personnel of the
Assistant Secretary for Indian Affairs relating to functions transferred
to the Office by this section; and
(2) funds appropriated to the functions for such period of time as may reasonably
be needed to facilitate the orderly implementation of this section.
(l) References- Any reference in a Federal law, Executive order, rule, regulation,
delegation of authority, or document relating to the Assistant Secretary for
Indian Affairs, with respect to functions transferred under this section,
shall be deemed to be a reference to the Under Secretary.
(m) Recommended Legislation- Not later than 180 days after the effective date
of this title, the Under Secretary, in consultation with the appropriate committees
of Congress and the Director of the Office of Management and Budget, shall
submit to Congress any recommendations relating to additional technical and
conforming amendments to Federal law to reflect the changes made by this section.
(1) CONTINUING EFFECT OF LEGAL DOCUMENTS- Any legal document relating to
a function transferred by this section that is in effect on the date of
enactment of this Act shall continue in effect in accordance with the terms
of the document until the document is modified or terminated by--
(C) a court of competent jurisdiction; or
(D) operation of Federal or State law.
(2) PROCEEDINGS NOT AFFECTED- This section shall not affect any proceeding
(including a notice of proposed rulemaking, an administrative proceeding,
and an application for a license, permit, certificate, or financial assistance)
relating to a function transferred under this section that is pending before
the Assistant Secretary on the date of enactment of this Act.
SEC. 505. OFFICE OF SPECIAL TRUSTEE FOR AMERICAN INDIANS.
(a) Termination- Notwithstanding sections 302 and 303 of the American Indian
Trust Fund Management Reform Act of 1994 (25 U.S.C. 4042; 4043), the Office
of Special Trustee for American Indians shall terminate on the effective date
of this section.
(b) Transfer of Functions- There is transferred to the Under Secretary any
function of the Special Trustee for American Indians that has not been carried
out by the Special Trustee as of the effective date of this section.
(c) Determinations of Certain Functions by the Office of Management and Budget-
If necessary, the Office of Management and Budget shall make any determination
relating to the functions transferred under subsection (b).
(d) Personnel Provisions-
(1) APPOINTMENTS- The Under Secretary may appoint and fix the compensation
of such officers and employees as the Under Secretary determines to be necessary
to carry out any function transferred under this section.
(2) REQUIREMENTS- Except as otherwise provided by law--
(A) any officer or employee described in paragraph (1) shall be appointed
in accordance with the civil service laws; and
(B) the compensation of such an officer or employee shall be fixed in
accordance with title 5, United States Code.
(e) Delegation and Assignment-
(1) IN GENERAL- Except as otherwise expressly prohibited by law or otherwise
provided by this section, the Under Secretary may--
(A) delegate any of the functions transferred to the Under Secretary under
this section and any function transferred or granted to the Under Secretary
after the effective date of this section to such officers and employees
of the Office as the Under Secretary may designate; and
(B) authorize successive redelegations of the functions as are necessary
or appropriate.
(2) DELEGATION- No delegation of functions by the Under Secretary under
this section shall relieve the Under Secretary of responsibility for the
administration of the functions.
(f) Reorganization- The Under Secretary may allocate or reallocate any function
transferred under subsection (b) among the officers of the Office, and establish,
consolidate, alter, or discontinue such organizational entities in the Office
as the Under Secretary determines to be necessary or appropriate.
(g) Rules- The Under Secretary may prescribe, in accordance with the provisions
of chapters 5 and 6 of title 5, United States Code, such rules and regulations
as the Under Secretary determines to be necessary or appropriate to administer
and manage the functions of the Office.
(h) Transfer and Allocations of Appropriations and Personnel-
(1) IN GENERAL- Except as otherwise provided in this section, the personnel
employed in connection with, and the assets, liabilities, contracts, property,
records, and unexpended balances of appropriations, authorizations, allocations,
and other funds employed, used, held, arising from, available to, or to
be made available in connection with the functions transferred by this section,
subject to section 1531 of title 31, United States Code, shall be transferred
to the Office.
(2) UNEXPENDED FUNDS- Unexpended funds transferred pursuant to this subsection
shall be used only for the purposes for which the funds were originally
authorized and appropriated.
(i) Incidental Transfers-
(1) IN GENERAL- The Director of the Office of Management and Budget, at
any time the Director may provide, may make such determinations as are necessary
with regard to the functions transferred by this section, and make such
additional incidental dispositions of personnel, assets, liabilities, grants,
contracts, property, records, and unexpended balances of appropriations,
authorizations, allocations, and other funds held, used, arising from, available
to, or to be made available in connection with such functions, as are necessary,
to carry out this section.
(2) TERMINATION OF AFFAIRS- The Director of the Office of Management and
Budget shall provide for the termination of the affairs of all entities
terminated by this section and for any further measures and dispositions
as are necessary to effectuate the purposes of this section.
(1) IN GENERAL- Except as otherwise provided by this section, the transfer
pursuant to this section of full-time personnel (except special Government
employees) and part-time personnel holding permanent positions shall not
cause any such employee to be separated or reduced in grade or compensation
for a period of at least 1 year after the date of transfer of the employee
under this section.
(2) EXECUTIVE SCHEDULE POSITIONS- Except as otherwise provided in this section,
any person who, on the day preceding the effective date of this section,
held a position compensated in accordance with the Executive Schedule prescribed
in chapter 53 of title 5, United States Code, and who, without a break in
service, is appointed to a position in the Office having duties comparable
to the duties performed immediately preceding such appointment, shall continue
to be compensated in the new position at not less than the rate provided
for the previous position, for the duration of the service of the person
in the new position.
(3) TERMINATION OF CERTAIN POSITIONS- Positions the incumbents of which
are appointed by the President, by and with the advice and consent of the
Senate, and the functions of which are transferred by this title, shall
terminate on the effective date of this section.
(k) Separability- If a provision of this section or the application of this
section to any person or circumstance is held invalid, neither the remainder
of this section nor the application of the provision to other persons or circumstances
shall be affected.
(l) Transition- The Under Secretary may use--
(1) the services of the officers, employees, and other personnel of the
Special Trustee relating to functions transferred to the Office by this
section; and
(2) funds appropriated to those functions for such period of time as may
reasonably be needed to facilitate the orderly implementation of this section.
(m) References- Any reference in a Federal law, Executive order, rule, regulation,
delegation of authority, or document relating to the Special Trustee, with
respect to functions transferred under this section, shall be deemed to be
a reference to the Under Secretary.
(n) Recommended Legislation- Not later than 180 days after the effective date
of this title, the Under Secretary, in consultation with the appropriate committees
of Congress and the Director of the Office of Management and Budget, shall
submit to Congress any recommendations relating to additional technical and
conforming amendments to Federal law to reflect the changes made by this section.
(1) CONTINUING EFFECT OF LEGAL DOCUMENTS- Any legal document relating to
a function transferred by this section that is in effect on the effective
date of this section shall continue in effect in accordance with the terms
of the document until the document is modified or terminated by--
(C) a court of competent jurisdiction; or
(D) operation of Federal or State law.
(2) PROCEEDINGS NOT AFFECTED- This section shall not affect any proceeding
(including a notice of proposed rulemaking, an administrative proceeding,
and an application for a license, permit, certificate, or financial assistance)
relating to a function transferred under this section that is pending before
the Special Trustee on the effective date of this section.
(p) Effective Date- This section shall take effect on December 31, 2008.
SEC. 506. HIRING PREFERENCE.
In appointing or otherwise hiring any employee to the Office, the Under Secretary
shall give preference to Indians in accordance with section 12 of the Act
of June 8, 1934 (25 U.S.C. 472).
SEC. 507. AUTHORIZATION OF APPROPRIATIONS.
There are authorized to be appropriated such sums as are necessary to carry
out this title.
TITLE VI--AUDIT OF INDIAN TRUST FUNDS
SEC. 601. AUDITS AND REPORTS.
(a) Financial Statements and Internal Control Report-
(1) FINANCIAL STATEMENTS- For each fiscal year beginning after the enactment
of this Act, the Secretary of Interior shall prepare financial statements
for individual Indian, Indian tribal, and other Indian trust accounts in
accordance with generally accepted accounting principles of the Federal
Government.
(2) INTERNAL CONTROL REPORT- Concurrently with the financial statements
under by paragraph (1), the Secretary shall prepare an internal control
report that--
(A) establishes the responsibility of the Secretary for establishing and
maintaining an adequate internal control structure and procedures for
financial reporting under this Act; and
(B) assesses the effectiveness of the internal control structure and procedures
for financial reporting under subparagraph (A) during the preceding fiscal
year.
(b) Independent External Auditor-
(1) IN GENERAL- The Comptroller General of the United States shall enter
into a contract with an independent external auditor to conduct an audit
and prepare a report in accordance with this subparagraph.
(2) AUDIT REPORT- An independent external auditor shall submit to the Committee
on Indian Affairs of the Senate, and make available to the public, an audit
of the financial statements under subsection (a)(1) in accordance with--
(A) generally accepted auditing standards of the Federal Government; and
(B) the financial audit manual jointly issued by the Government Accountability
Office and the Council on Integrity and Efficiency of the President.
(3) ATTESTATION AND REPORT- In conducting the audit under paragraph (2),
the independent external auditor shall attest to, and report on, the assessment
of internal controls made by the Secretary under subsection (a)(2)(B).
(4) PAYMENT FOR AUDIT AND REPORT-
(A) TRANSFER OF FUNDS- On request of the Comptroller General, the Secretary
shall transfer to the Government Accountability Office from funds made
available for administrative expenses of the Department of Interior the
amount requested by the Comptroller General to pay for an annual audit
and report.
(i) IN GENERAL- The Controller General shall credit the amount of any
funds transferred under subparagraph (A) to the account established
for salaries and expenses of the Government Accountability Office.
(ii) AVAILABILITY- Any amount credited under clause (i) shall be made
available on receipt, without fiscal year limitation, to cover the full
costs of the audit and report.
SEC. 602. AUTHORIZATION OF APPROPRIATIONS.
There are authorized to be appropriated such sums as are necessary to carry
out this title.
END
