[Senate Hearing 111-20]
[From the U.S. Government Publishing Office]
S. Hrg. 111-20
RECEIVING THE VIEWS AND PRIORITIES OF
INTERIOR SECRETARY KEN SALAZAR WITH
REGARD TO MATTERS OF INDIAN AFFAIRS
=======================================================================
HEARING
before the
COMMITTEE ON INDIAN AFFAIRS
UNITED STATES SENATE
ONE HUNDRED ELEVENTH CONGRESS
FIRST SESSION
__________
FEBRUARY 12, 2009
__________
Printed for the use of the Committee on Indian Affairs
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COMMITTEE ON INDIAN AFFAIRS
BYRON L. DORGAN, North Dakota, Chairman
JOHN BARRASSO, Wyoming, Vice Chairman
DANIEL K. INOUYE, Hawaii JOHN McCAIN, Arizona
KENT CONRAD, North Dakota LISA MURKOWSKI, Alaska
DANIEL K. AKAKA, Hawaii TOM COBURN, M.D., Oklahoma
TIM JOHNSON, South Dakota MIKE CRAPO, Idaho
MARIA CANTWELL, Washington MIKE JOHANNS, Nebraska
JON TESTER, Montana
TOM UDALL, New Mexico
_____, _____
Allison C. Binney, Majority Staff Director and Chief Counsel
David A. Mullon Jr., Minority Staff Director and Chief Counsel
C O N T E N T S
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Page
Hearing held on February 12, 2009................................ 1
Statement of Senator Barrasso.................................... 2
Statement of Senator Dorgan...................................... 1
Statement of Senator Johanns..................................... 18
Statement of Senator Johnson..................................... 4
Statement of Senator Murkowski................................... 4
Statement of Senator Tester...................................... 4
Statement of Senator Udall....................................... 5
Prepared statement........................................... 5
Witnesses
Salazar, Hon. Ken, Secretary of the Interior, U.S. Department of
the Interior................................................... 6
Prepared statement........................................... 9
Appendix
Devers, Hon. Chris, Chairman, Pauma Band of Mission Indians;
Chairman, Council of Energy Resource Tribes, prepared statement 23
Dorame, Hon. Charles, Chairman, Northern Pueblos Tributary Water
Rights Association, prepared statement......................... 26
Lewis, Tsosie, CEO, Navajo Agricultural Products Industry,
prepared statement............................................. 28
Response to written questions submitted to Hon. Ken Salazar by:
Hon. Byron L. Dorgan......................................... 30
Hon. Maria Cantwell.......................................... 35
Hon. Tom Coburn, M.D......................................... 34
Hon. John McCain............................................. 37
Hon. Jon Tester.............................................. 38
RECEIVING THE VIEWS AND PRIORITIES OF INTERIOR SECRETARY KEN SALAZAR
WITH REGARD TO MATTERS OF INDIAN AFFAIRS
----------
THURSDAY, FEBRUARY 12, 2009
U.S. Senate,
Committee on Indian Affairs,
Washington, DC.
The Committee met, pursuant to notice, at 9:30 a.m. in room
628, Dirksen Senate Office Building, Hon. Byron L. Dorgan,
Chairman of the Committee, presiding.
OPENING STATEMENT OF HON. BYRON L. DORGAN,
U.S. SENATOR FROM NORTH DAKOTA
The Chairman. We are going to call the hearing to order.
This is a hearing of the Senate Indian Affairs Committee. We
have other colleagues who will join us, but in the interest of
the Interior secretary's time, we want to begin on time.
I am honored to welcome the Honorable Ken Salazar, who is
the Secretary of the Department of the Interior. I understand
from Mr. Secretary that this is his first formal appearance
before the U.S. Senate since his confirmation on January 20th.
I want to say, and I know I speak for my colleague, Senator
Barrasso, that I was honored to vote affirmatively on the
confirmation of Senator Salazar. I think he is going to be a
great Secretary of the Interior.
In that job, he has the solemn responsibility of carrying
out our Nation's treaty and trust obligations to federally-
recognized Indian tribes. While the trust obligation is
Government-wide, the Interior Department is the principal
agency that is charged with meeting the Government's trust
responsibilities to American Indians. The government-to-
government relationship that exists between the United States
and Indian tribes stems from some of the oldest documents that
helped form this Union. Debates of the Continental Congress
acknowledge the sovereign status of tribes. The debates
contemplated trade and commerce agreements with tribal
governments, and those discussions carried over into the
formation of the Constitution for this Country.
The sovereign status of tribes is prominently acknowledged
in the Constitutions' commerce clause. That clause recognizes
that Congress ``has the power to regulate commerce with foreign
nations, among several states and with Indian tribes.''
In our part of the Country, most tribes refer to the 1868
Treaty of Fort Laramie as the governing document for their
relationship with the United States. Fort Laramie was located
in the Wyoming Territory, the State of our distinguished Vice
Chairman. That treaty established reservations not only in
Wyoming, but in North Dakota, South Dakota, Montana. And in
that treaty, the United States made specific promises, explicit
promises, to provide for public safety, education, health care
and the general welfare of the reservation communities.
It is safe to say, I believe, that we have not met those
responsibilities. Some of the highest unemployment in our
Nation exists on reservations, including the reservations of
the Northern Great Plains States. We have, I believe, a crisis
in Indian health care, with 40 percent of the needs unmet. In
any part of this Country, they call that health care rationing.
And it should be front page headline news, because it is
scandalous.
We have very significant challenges in Indian education and
significant challenges in Indian housing issues. We need to do
better as a country to meet our obligations. We have made
promises, we have signed the line in treaty agreements, and we
have trust responsibilities.
I have used the word shameful, that in three of the last
four years, I believe, we have not even had an Assistant
Secretary of Indian Affairs. That position has been vacant.
That is not a good way to discharge our responsibilities.
That burden doesn't fall on the shoulders of Secretary
Salazar. He has only been in this position for a couple of
weeks. We call him before this Committee and appreciate very
much his willingness to come before the Committee today to talk
about the challenges and the obligations and talk about his
stewardship as Secretary of the Interior and the opportunities
he has to address some of these issues. We will be interested
in talking to him about, I am sure, about education, health
care, law enforcement, which I have not mentioned, and a good
number of other issues.
I will especially be interested in talking to him about the
Assistant Secretary position, because I think it is important
we have good leadership and continuity. I thank Mr. Skibine for
filling in as Acting while we have been waiting for this change
and for the selection of a new Assistant Secretary as well.
Having said all that, Mr. Secretary, thank you so much for
being here today. We appreciate the opportunity to hear your
thoughts and to ask you some questions.
Let me call on the Vice Chairman, Senator Barrasso, for
comments.
STATEMENT OF HON. JOHN BARRASSO,
U.S. SENATOR FROM WYOMING
Senator Barrasso. Thank you very much, Mr. Chairman.
Good morning, Mr. Secretary. I am delighted to have you
here. I look forward to hearing from you on your views and
priorities regarding Indian Affairs at the Department of
Interior.
First of all, let me say how pleased I am to see that a
fellow westerner, a former member of the Senate, is going to be
heading up the Department of Interior. I want to congratulate
you on this new position and note that not only has the
Secretary been a colleague during my time in the senate, but
really a true friend and a friend of the people of Wyoming and
to the west. I am very pleased that you are here.
It would be very difficult to find a better, more qualified
person to take over the important work that is being carried
out by the Department of Interior at this time. So I look
forward to working with Secretary Salazar during this Congress,
not only to address the many challenges that Indian Country is
facing, and there are many, some old, some new, but also to
assist Indian Country in opening its doors to a thoughtful plan
and sustainable economic development. I may be new at this job
as Vice Chairman of the Committee on Indian Affairs, but
regardless, I am a firm believer in the notion that a healthy,
vibrant, educated community isn't possible without
opportunities, opportunities for individuals to earn a good
living, and without high levels of employment.
Mr. Chairman, as you and the Secretary are both well aware,
the western United States is home to vast energy reserves, many
of which are situated on tribal lands. We have talked about
that before in this Committee. Development of our domestic
energy resources is critical to our Country's energy security.
It also happens to create good-paying jobs which in turn create
robust local economies.
Indian lands have tremendous potential for energy
development. Not all tribes have these mega-casinos. And this
is especially true of the tribes in the inter-mountain west and
the Great Plains. Some tribes in these areas have been blessed
with mineral and energy resources which, if developed with care
and with planning, could play a major role in turning around
the local economies in reservation communities. As is certainly
the case for the Wind River Reservation in my home State of
Wyoming, and for other reservations as well.
For example, the Office of Indian Energy and Economic
Development at the Department of Interior states that while
Indian lands comprise only 5 percent of the total lands of the
United States, they contain nearly 20 percent of the United
States' energy reserves, with 15 million acres of undeveloped
energy resources. These tribes need a Secretary who will help
them realize the potential of their energy, mineral and other
natural resources.
Another critical area that has been neglected for far too
long is law and order on Indian lands. The Chairman and I had a
chance to visit about that last week. The current law
enforcement statistics in Indian Country are unacceptable. On
the Wind River Reservation in Wyoming, there are usually no
more than two full-time police officers on 24 hour duty for an
area that is nearly the size of Connecticut.
Mr. Chairman, I am sure you would agree that non-Indian
communities would not tolerate such a low level of protection.
There is no reason that Indian communities should expect
anything less than other communities in the way of law and
order and public safety.
So I applaud the Chairman for your efforts in the 110th
Congress to improve law enforcement and public safety in Indian
Country, and look forward to working with you and with
Secretary Salazar toward that end in the 111th Congress. So I
want to thank you, Mr. Secretary, for your willingness to be
here today, for your willingness to serve and I am looking
forward to hearing your views and recommendations on these and
other issues.
Thank you, Mr. Chairman.
The Chairman. Senator Barrasso, thank you.
Mr. Secretary, I know you have served on many committees
here in the Senate. Perhaps in some committees they have
allowed long, ponderous and torturous opening statements by
every member of the Committee so that we could have witnesses
come and listen. And you have perhaps served on committees
where there are no opening statements other than the Chairman
and Ranking Member.
So let me ask my colleagues if they would have a one minute
statement, so that we can get to the Secretary. Let me call on
my colleague, Senator Johnson.
STATEMENT OF HON. TIM JOHNSON,
U.S. SENATOR FROM SOUTH DAKOTA
Senator Johnson. Thank you, Chairman Dorgan.
Secretary Salazar, welcome back to the Senate. You are a
good friend, and I appreciate your coming here today.
Mr. Secretary, as we move forward with the new
Administration, I would like to extend an invitation to you to
visit South Dakota and see first-hand the many issues that face
our reservations and Indian communities. As you know, five of
the seven poorest counties in the U.S. are reservation counties
in South Dakota. I look forward to working with you and again,
want to thank you for your testimony today.
Thank you.
The Chairman. Thank you.
Senator Murkowski.
STATEMENT OF HON. LISA MURKOWSKI,
U.S. SENATOR FROM ALASKA
Senator Murkowski. Thank you, Mr. Chairman. I don't need to
hear myself talk, I am here to hear the Secretary speak this
morning. I have made the invitation to you to join us in
Alaska, so you can come and meet some of over 200 federally-
recognized tribes in Alaska. I know that we will have an
opportunity to educate you more on some of the particular
challenges that we face up north, and I look forward to that
opportunity.
But more importantly, more timely this morning, to hear
your views and comments before the Committee. Thank you.
The Chairman. Senator Tester.
STATEMENT OF HON. JON TESTER,
U.S. SENATOR FROM MONTANA
Senator Tester. Thank you, Mr. Chairman.
Secretary Salazar, it is good to have you here. I will tell
you that it is a little odd to call you Secretary Salazar, so
it is going to take me a second. If I slip a ``Senator'' in now
and then, you will have to forgive me.
The challenges, well, let's put it this way. Where there
are challenges, there is opportunity. There is a lot of
opportunity in Indian Country right now, because the challenges
are great. The list is long, the Chairman and Ranking Member
went over them. All I will say is that I have been somewhat
critical of the bureaucracy that you are going to be
overseeing. And I know that you will be able to get good people
in good positions and hold them accountable for the jobs they
do. We have responsibilities here that we need to take
seriously, and I know you will. It is great to have you here,
Secretary Salazar.
The Chairman. Senator Udall.
STATEMENT OF HON. TOM UDALL,
U.S. SENATOR FROM NEW MEXICO
Senator Udall. Thank you, Mr. Chairman.
Secretary Salazar, great to have you here. You are a good
friend. We served as Attorneys General and I know that you have
taken an interest in all your public life and native issues. So
I look forward to working with you on that.
Yesterday, the National Congress of American Indians
president gave a speech on four areas of concern to native
communities. I think he hit the nail on the head. He is a New
Mexican, he is the head of our All-Indian Pueblo Council, a
gentleman by the name of Joe Garcia. And he said first, we need
economic development in Indian Country, and for the inclusion
of Indian Country in the new Administration's economic recovery
efforts.
Second, the need for reauthorization and improvement of the
Indian Health Care Improvement Act. Third, high crime rates and
a dilapidated system of prisons and jails need to be fixed. And
fourth, a struggling education system with consistently low
scores and crumbling schools. So you are a part of this new
Administration and you are part of the new hope for Native
Americans and all of us look forward to working with you
closely to make sure that their dreams are fulfilled.
Thank you very much, Mr. Chairman. I hope to put the rest
of my statement into the record, because I wanted to keep it to
one minute, just like you asked.
The Chairman. Without objection.
[The prepared statement of Senator Udall follows:]
Prepared Statement of Hon. Tom Udall, U.S. Senator from New Mexico
Secretary Salazar, I would like to begin by congratulating you on
your confirmation to serve in President Obama's cabinet. I was pleased
to support your nomination and look forward to working with you on so
many of the issues of great importance to the states out west. Issues
that you know well.
The economic difficulties that all Americans are now being
confronted with at this time of economic downturn, are merely a glimpse
into the stark reality that has been the modern history of the Native
American Tribes.
My state of New Mexico is home to almost 200,000 members of 22
different tribes and pueblos, all of which are grappling with issues of
safety, healthcare, education, environmental degradation, economic
deprivation, and inadequate infrastructure.
These needs of New Mexico tribes are replicated across the nation.
In his State of Tribal Nations address this week, NCAI President Joe
Garcia highlighted four areas of concern for Native American
communities across the country. These included:
First, the need for economic development, and for the
inclusion of Indian Country in the new administration's
economic recovery efforts.
Second, the need for reauthorization and improvement of the
Indian Healthcare Improvement act.
Third, high crime rates and a dilapidated system of prisons
and jails in Indian Country.
And fourth, a struggling education system with consistently
low test scores and crumbling schools.
Secretary Salazar, you are part of the new administration and part
of a new hope for Native Americans. There are many issues I look
forward to working with you and the President on for Indian Country.
Particular to my state are a number of tribal water settlements that
are making their way through Congress. These settlements have been in
ongoing negotiations for a long time and are finally nearing the finish
line. Once we achieve that, which I am confident we will, it is
imperative that funding be provided to implement these settlements.
Another issue of particular relevance to New Mexico is the awful
and tragic legacy of uranium development in the Navajo and Hopi
Nations. Over the last year, the Bureau of Indian Affairs and Indian
Health Service have worked with me and my colleagues in the House to
create a five-year plan that addresses this legacy. This public health
and environmental disaster left a trail of contamination and sickness
that must be addressed. I look forward to coordinating with you and the
other agencies of oversight to move the five-year plan forward.
But as you well know, there are many issues that affect almost all
tribes. As a U.S. Senator, you worked hard to address the issue of
rampant methamphetamine use in Native American Communities. I applaud
your efforts on this front, but as you no doubt are aware, we need to
do more.
So too do we need to do more to address sexual assault. One in
three Native American women will experience sexual assault in her life
time. This is an atrocity. In the next year it is essential that
Congress coordinate efforts with you at the Department of Interior to
make paths for prevention and ensure proper resources are available to
police forces, crisis centers, and hospitals.
Secretary Salazar, there are 526 federally-recognized tribes in
this nation. These tribes are comprised of vibrant individuals and
vibrant communities. You have the great opportunity to work with these
communities. I look forward to working with you to ensure that the
federal government is fully embraces its trust responsibility and
confronts immediate crisis' as well as years of depredation in Indian
Country.
Thank you.
The Chairman. Mr. Secretary, thank you for being with us.
And we would be happy to hear your testimony and then begin
some questions. You may proceed.
STATEMENT OF HON. KEN SALAZAR, SECRETARY OF THE INTERIOR, U.S.
DEPARTMENT OF THE INTERIOR
Secretary Salazar. Thank you very much, Chairman Dorgan,
for inviting me here. And to Ranking Member Barrasso, thank you
for both of your kind comments, as well as to all of my, I
think you will all always be my colleagues. They say once a
Senator, always a Senator. So Senator Murkowski, Senator
Johnson, Senator Tester, Senator Udall, you are all my friends
and my colleagues. I very much look forward to working on the
many challenges that we do have.
I think Senator Tester perhaps said it well, when he said
there is lots of opportunity and places where there are lots of
issues and lots of problems. Indeed, when we talked about the
issues that we face with Indian Country and our Native American
agenda, there are lots of issues there and lots of work to be
done.
I was asked by Chairman Dorgan to come before this
Committee some time ago, and we were not able to do it before
the Senate confirmation process, which I think took place on
January 20th. So this is my first appearance before a committee
in my formal capacity as Secretary of Interior. And I think it
is fitting and appropriate that I am before this Committee
which is a committee that provides such a strong voice for the
First Americans of the United States of America. So I
appreciate the invitation and I look forward to the discussion
this morning, and more importantly, I look forward to the days,
weeks and years ahead where we will confront the challenges
that we face across this Country with Native American
communities, and we will do that together.
Let me say at the outset that I think one of the things
that the Committee and Native American communities and leaders
around this Country should very much understand is that the
Nation's First Americans are going to have a place at the table
under President Obama's Administration. He was very clear about
that as he went around the Country in his campaign. He has been
very clear about that with me, and we will make sure that
issues of Native Americans are a high priority within the Obama
Administration. It is a high commitment by the President.
Indeed, this last week, the First Lady, Michelle Obama,
visited the Department of Interior. One of the things she spoke
about is that there would be a position in the White House that
would also help us in terms of putting the spotlight on the
needs and issues of Native American communities. So we will
work on it to make sure that it happens.
Let me make five or six points at the outset and then
hopefully just engage in a conversation with you. I do have a
more formal statement for the record.
The Chairman. Without objection, that will be included in
the record.
Secretary Salazar. Let me say first, I think that it is
important for me as Secretary of Interior to make sure that the
positions that we have in the Department of Interior reflect
the face of America. I am committed to having a face at the
Department of Interior from top to bottom that is reflective of
the face of America. In that context, we are very close, I have
selected a person to be the Assistant Secretary for Indian
Affairs. The vetting is underway. It is a name which is a famed
name across Indian Country, who will help us in dealing with
many of the challenges and issues that we confront.
But I will not stop with the President's appointment and
Senate's hopeful confirmation of the Assistant Secretary for
Indian Affairs. It seems to me appropriate and proper that we
move forward and make sure the Native Americans are also
included in other positions. And I do have offers, and we are
currently going through the vetting process to Native Americans
for the position of Solicitor General for the Department of
Interior. It will be the first time in the Department that we
have a Native American who will serve as Solicitor General for
the Department of Interior.
I also have made an offer to a Native American who will
become the Commissioner for the Bureau of Reclamation within
the Department of Interior. Those are non-traditional positions
for Native Americans to hold within the Department. But I think
the people that we have here that we hopefully will get
confirmed by this Senate in the next month or two are the kind
of 800 pound gorillas that you want to work on the major
problems that face the Department of Interior.
So I want to say that at the outset in response to Chairman
Dorgan's longstanding concern about the failure of the last
Administration to fill the Assistant Secretary for Indian
Affairs for a period of up to four years.
Let me speak to four issues. They are the issues which I
think Senator Udall, you spoke about, which I referred to
yesterday and statements were made by our Native American
leaders. First, I understand the importance of economic
development. When you have reservations that have unemployment
rates as high as 80 percent, where the per capita income for
many of our Indian communities is half of what it is for the
non-Native communities, it is clear that we have some major
economic development challenges across Indian Country. I am
hopeful that that will be one of those areas that we can work
on, we can bring about new economic development opportunities
for the Indian communities across our State.
I believe the economic stimulus package, which I know some
of you on this panel are supporting, some of you have concerns
about the package, nonetheless, I think when that package comes
across the finish line, there will be a significant infusion
into Indian Country that hopefully will help us deal with some
of the economic development challenges that we face in Indian
Country. But I do intend to work with my Assistant Secretary of
Indian Affairs and within the programs of the Department of
Interior to put a spotlight on creating economic development
opportunities.
Secondly, energy development. We all know in this
Committee, and many of you who are here who serve on the Energy
Committee, the challenge that we face on this signature issue
of the 21st century. And we will move forward with a very
robust agenda that will develop a comprehensive energy plan for
the Nation. It will involve the use of our conventional
resources, oil, gas, and coal. But it will also move us forward
to usher in a new frontier of renewable energy. And as we move
forward with that agenda, it is going to be very important that
that whole agenda is one that is fully shared by our Native
American communities. Many of our best places for the
development of wind energy and solar energy, for example, are
found right in the reservations. And that, coupled with the
already robust resources that are being developed in many of
our reservations around the Country create significant economic
development opportunities for our Indian tribes.
Third, the issue of education. For me and many of you who
know my own story, you know that I strongly believe that
education is the keystone to everything else. My whole family,
all eight of us in my generation became first generation
college graduates, all of my siblings became first generation
college graduates. I am here today as Secretary of Interior in
large part because of the educational opportunities that I had.
I want to provide those same kinds of opportunities to the
First Americans of our Country. So we will work hard to make
sure that that happens. We have about 50,000 students in 183
schools in reservations around the Country. We have major
problems in those schools, including performance in those
schools, including dilapidated buildings. Our hope is that we
will be able to put significant energy behind creating
opportunities for the young people who attend those schools.
Fourth, law enforcement. I understand very much what
happens with lawlessness in reservations. In my own state, with
the Mountain Utes and the Southern Utes, we have had
experiences over the last 10 years during the time that I
served as Attorney General, as well as during the time that I
served as United States Senator, where we have seen, frankly,
the rule of law essentially abandoned, especially in one of
those reservations.
So we have brought in resources that have included
partnerships with the local FBI and local government to address
some of the shortages that we have with respect to enforcing
the law on those reservations. There is no reason why we cannot
do more. I will be working closely to develop a program that
focuses in on the law enforcement issues.
I know from some of my friends in Indian Country, they have
told me that methamphetamine is the scourge of the Indian
reservations across the entire Country. Some have said that,
you think about the level of usage and the scourge that it is
creating in the reservation, it is the number one problem on
the reservations today. So we need to do a lot more with law
enforcement. I look forward to working with the tribes, as well
as working with our law enforcement authorities, both at the
Federal, State and local level, to see how we can bring about
additional resources to make sure that the rule of law is
upheld.
And finally, I will comment on the trust status and some of
the trust issues that have been raised, which have been
problematic for past Administrations, both Democrats and
Republicans. Two of my predecessors in the last 12 years have
been held in contempt of court for the management of the trust
assets of the Native Americans under the trust responsibilities
of my department.
The Cobell litigation is an outgrowth of the frustration
with the management of those assets. We will try in the months
ahead to see whether we can bring that litigation to
conclusion. But as important as that litigation may be, it is
also important that we manage the trust assets in an
appropriate manner. We will commit the energies of the
Department to make sure that we get that done.
So in conclusion, Mr. Chairman and members of the
Committee, I very much look forward to working with you. I
believe that as we look at all these challenges we face, we all
know that you can't wave a magic wand and all of a sudden the
issue will be resolved. It is going to take a steady hand and a
long-term sustainable commitment to address these issues,
whether it is the issue of law enforcement, economic
development, health care or the rest of the issues we talked
about.
But I am convinced that in partnership with you and in
partnership with the tribes of America that we can make a
difference, we can help change the world. But as we change the
world, it is also important that we also change the world in a
positive way for the Native American communities of our
Country.
[The prepared statement of Secretary Salazar follows:]
Prepared Statement of Hon. Ken Salazar, Secretary of the Interior, U.S.
Department of the Interior
Thank you, Chairman Dorgan, Vice Chairman Barrasso, and Members of
the Committee. This is my first hearing since being confirmed as
Secretary of the Interior. I am proud that my first hearing as the
Secretary of the Interior is about America's First Americans. I am also
honored to appear before the Senate Indian Affairs Committee to discuss
the Department of the Interior's role for Indian Affairs.
During his campaign for the Presidency, President Obama spoke out
in support of empowering Indian people in the development of the
national agenda. As President, he recognizes that federally recognized
Indian tribes are sovereign, self-governing political entities that
enjoy a government-to-government relationship with the United States
government, as expressly recognized in the U.S. Constitution. I, too,
am a strong supporter of the principle of tribal self-determination and
will work to fully enable tribal self-governance.
As Secretary of the Interior, I will work hard to empower America's
Native American communities by helping address economic development,
education, and law enforcement and other major challenges faced in
Indian country.
There are many challenges facing our Native American communities. I
believe that together, we can create many opportunities for these
communities to thrive and flourish. I am committed to restoring the
integrity of the government-to-government relationship with Indian
tribes. Together, through consultation and with a spirit of mutual
respect and understanding, we can address these challenges and can
create stronger economies and safer Native American communities.
I am committed to ensuring that the Department of the Interior
fulfills the trust responsibility of the United States. I will also
seek to resolve the unending litigation about the management of these
lands and assets. I would also like to reiterate my commitment to the
settlement of Indian water rights claims.
While there are many important priority issues for Indian country
that I will address as Secretary, today I would like to discuss with
you more fully four important areas for the Nation's Native American
communities: Economic Opportunities, Energy Development and Climate
Change, Education, and Law Enforcement.
Economic Opportunities
For too long, Native Americans have experienced some of the most
severe socioeconomic conditions in the United States. More than a
quarter of all Native Americans live in poverty and unemployment rates
reach 80 percent on some reservations. Real per-capita income of
Indians is less than half of the U.S. level. Eight of the ten poorest
counties in America include Indian reservations. Housing conditions in
many of these areas are inadequate, and about 14 percent of all
reservation families have no electricity.
I believe that the Department of the Interior should be a partner
with tribal communities to advance sustainable economic development. A
good partnership between tribes and departmental programs in key areas
will stimulate a much needed economic boost for tribal economies and
the national economy. The Department's capacity to address
infrastructure and employment needs through its programs will provide a
framework for robust national economic development. Our programmatic
outreach will extend from tribal water projects and loan guarantee
programs to workforce training and transportation programs.
In addition, the economic stimulus package will provide much needed
economic development for Native communities. The bill would provide
funds for infrastructure and workforce development, and create
thousands of jobs.
Today, approximately half of the 562 federally recognized tribes
operate gaming facilities. This has created 670,000 jobs nationwide and
provided $11 billion to federal and state governments through taxes and
other revenue. The vast majority of these gaming operations are small
enterprises that provide jobs to tribal members. Gaming revenues are
important tribal resources for funding education, healthcare, law
enforcement, and other essential tribal government functions. As
Secretary of the Interior, I will implement the regulatory framework
established by the Indian Gaming Regulatory Act and promote the
government-to-government relationship between tribes and the federal
government and continue to work with states and local governments on
these matters.
Energy Development and Climate Change
A defining issue of our time is energy and climate change. We must
succeed as a Nation to create a new energy frontier. As Secretary of
the Interior, I have been tasked by President Obama to take a key role
in our moon shot to energy independence and addressing climate change.
Indian lands can be a rich source of conventional fossil fuels. But
they also have major renewable energy potential. One of the greatest
opportunities for economic development for tribes can be the
development of alternative energy sources, including solar, wind, and
geothermal resources.
Indian country offers some of the premier wind energy sites in the
United States. The Office of Indian Energy and Economic Development has
identified 77 reservations that possess commercial-scale wind resources
and the ability to support viable wind-based economies. Forty of these
locations are in states that enacted a Renewable Portfolio Standard
requiring utilities to purchase a certain percentage of their power
from renewable sources.
Renewable energy projects could also spark creation of thousands of
green-collar jobs. I look forward to exploring with our Native partners
the potential for wind, geothermal, biomass and solar energy
development that exists on those lands.
Education
A key to success for the Nation's First Americans is a high-quality
education. The Department of the Interior is responsible for 183
elementary and secondary schools and dormitories as well as two Bureau-
operated post-secondary institutions. Our school systems serve
approximately 47,000 students on or near 63 reservations in 23 states.
Tribes today are struggling to preserve their native languages. We
will be examining ways to preserve those languages through the Indian
education system. We must also examine the No Child Left Behind Act and
its implementation and the issues it has raised in Indian schools. I
agree with President Obama and Vice President Biden that our children
and our country need a vision for a 21st century education in Indian
schools. This begins by demanding more reform and accountability and
asking parents to take responsibility for their children's success. An
example of this is the Family and Child Education (FACE) program,
administered by the Bureau of Indian Education, which provides funding
for Indian students and their families and prepares children for Indian
education opportunities through early childhood education.
Participation of children in the FACE program reduces the need for
school-age special education by 50 percent. Additionally, this vision
includes recruiting, retaining, and rewarding teachers who teach in
Bureau of Indian Education schools. I will work on implementing the
President's plan to restore the promise of America's public education,
and ensure that American Indian children are provided the opportunity
to lead the world in creativity and success.
Law Enforcement
Finally, I want to fight crime in Indian country. As Colorado's
Attorney General, I led efforts to make communities safer, fight crime,
prosecute gangs, and address youth and family violence. These same
problems plague Indian country. The crime rates on most reservations
are unacceptably high. I will use my law enforcement experience to work
with the kinds of partnerships that will help bring about safer
communities, which in turn create stronger communities.
The United States, through the Bureau of Indian Affairs, Office of
Justice Services, and tribal programs, provides public safety and
judicial services to Indian tribes and their communities. The
Department provides either directly or through Indian Self-
Determination and Self-Governance contracts and compacts basic law
enforcement services; local court services; detention and corrections
programs; and professional training related to policing, detention and
judicial services.
As Secretary, I plan to address several key issues relating to law
enforcement in Indian country. Violent crime in Indian country must be
aggressively confronted and we will continue to work with Tribes and
the Department of Justice in this regard. We will continue to
aggressively attack methamphetamine trafficking and abuse in Indian
communities. In a 2006 survey, 74 percent of tribal law enforcement
officials reported methamphetamine to be the leading threat to their
tribes. The dramatic increase in the use of this drug has brought with
it increases in domestic violence, child neglect, crimes against women,
and weapons charges. I also plan to address the serious declining
conditions of detention facilities in Indian country as well as
staffing needs for those facilities. And finally, I want to work on
strengthening tribal court systems.
Safer communities mean stronger communities. We must continue to
work together, the federal government, States, and tribes, to ensure
the safety and security of our First Americans. It is a responsibility
that I take very seriously.
Conclusion
Thank you for the opportunity to share my views on some of the
critical Native American issues with the Committee. I look forward to
working with you. Thank you.
The Chairman. Mr. Secretary, thank you very much for your
comments and your thoughts.
Let me begin by saying, I don't intend to tarnish the
Bureau of Indian Affairs completely, but I do have great
difficulty with the BIA. I think it is unbelievably
bureaucratic, very difficult to move on things. I won't give
you all the evidence of that, but I hope you will tip that
agency upside down, shake it and then set it back upright to
see if we can rearrange it and make it work. Part of that, of
course, is selecting the right Assistant Secretary, getting
somebody in place.
Again, I know there are some wonderful people that work in
the BIA. But I could tell you stories that would just make you
furious about the lack of things getting done over there. It is
just big, bureaucratic and not very workable.
I am going to put a chart I think that shows oil
development. This happens to be something I am working on, and
by the way, thanks to George Skibine and some others, we made
some progress. But oil development, you will see in the middle
there, the Indian reservation is the gray. All the other marks
there, the yellow and green, that is all oil wells that have
been dug in the Bakken Shale, the biggest oil play in America.
You will see there are oil wells drilled north, west, and
south. The problem is that big old blank space in the middle;
they are not drilling many wells. Why? Because there is a 49-
step process to get a permit. You have four different groups in
the Interior Department that have to sign off: BIA, Minerals
Management, BLM, Office of Special Trustee. The result is, all
this oil development is going on, and the place where it is
most needed and where oil exists under that ground is not
happening very much.
Now, we have made some progress. I have been pushing in
recent months, we finally have made some progress on the
virtual process and so on. And I appreciate that. But I tell
you this only to say that in the absence of somebody saying,
look, there is something massively wrong here, you have a 49-
step process with four agencies.
It is just such an apt description of what is wrong. I was
at an Indian reservation some while ago. They showed me a
building that had been built, a beautiful building, I think it
was three or four stories, maybe three stories high. Completely
vacant. I said, why are there no tenants? They said, well, we
have been waiting for the BIA to sign the lease. I said, how
long have you been waiting for the BIA to sign the lease? Well,
about a year, year and a half. Paper is in, just didn't get it
done. So that big old building on the reservation sits empty.
Well, enough about that. It is going to require effective,
strong leadership to change a culture, in my judgment, in the
BIA. You have described someone that you are vetting for
Assistant Secretary. I understand that you are confident this
is a person who can do that job. You are right that three of
the last four years it has been vacant. And you feel, let me
let you say it again, you feel confident you are on the trail
of the right person to lead the BIA?
Secretary Salazar. Let me just say that I have been serving
as Secretary of Interior only since the 21st of January. At
this point, I am the only person confirmed by the U.S. Senate
to run the Department of interior. It is a big department with
many bureaus and many agencies, 67,000 employees. There is a
lot of work to be done. So we are spending a lot of time
getting our team together. But we are searching for the best
talent in the United States of America. I am confident that the
talent we will be able to bring in will be able to provide the
kind of organizational changes that you allude to.
The 49-step process that you allude to is, I think,
absolutely abysmal. It is something that needs to be fixed. We
will give it a high priority. Laura Davis, who is not subject
to Senate confirmation and is an Associate Secretary already,
is working on trying to move forward to address a particular
issue with respect to the permitting delays on the reservation
that you spoke about, Senator Dorgan.
So we are on the case. I recognize that one of the
realities that we have to do is take a look at what we have
inherited and try to make changes to make it work better.
The issues of Native Americans are not to be partisan
issues, they are not to be Democrat or Republican issues. But
there is a fact that without an Assistant Secretary of Indian
Affairs in place for the last three or four years, many of
these issues have simply not been addressed. So we will be
addressing them, especially as we get our feet on the ground
and start getting our management team in place.
The Chairman. The Economic Recovery act will almost
certainly pass the Congress by week's end. That has about, I
believe $2.8 billion of funding for a range of issues on Indian
reservations. It deals particularly with construction projects,
detention facilities, and a range of issues that will put
people to work and also construct some long-delayed projects. I
assume that you are working with your staff in order to be able
to implement that and put the money out in a way that puts
people to work and begins to address some of those needs?
Secretary Salazar. We are indeed. From our point of view,
the infusion of the economic stimulus money is about creating
jobs. But beyond creating jobs, it is about creating some
sustainability on some of these issues that confront us,
whether it is in the world of the Native American community or
whether it is other issues. So we are working hard on it. We
are very aware of the opportunity that is presented to us. And
it is for that reason that even yesterday I was probably having
10 conversations with different people about helping us get the
team in place. Because it is difficult, frankly, to move
forward with a program that is as robust as the one we have in
the Economic Recovery Program when we need to have people to
make sure that we can implement in a quick fashion the
opportunity that is presented to us.
The Chairman. Mr. Secretary, we are going to be doing some
listening sessions around the Country with tribal leaders and
tribal members. We are also going to do some tours of some
Indian reservations and we hope perhaps to invite you on a tour
some place down the line, to join some members of this
Committee to go out and tour some reservations and meet with
some tribal members.
I also want to make a point that we are going to continue
to make Indian health care and the Indian Health Care
Improvement Act a significant priority of this Committee. That
is over in Health and Human Services with respect to the
Federal agency.
But the other piece that we are working on, and we began in
the last session, is this law enforcement piece. We have such
serious problems in law enforcement across the Country. On the
Standing Rock Indian Reservation, we have violent crime that is
five times the rate of the national average. It has nine full-
time police officers that are supposed to patrol an area the
size of Connecticut.
So an urgent call that comes in to law enforcement from
someone who has just been raped or the victim of violent crime,
they might have the law enforcement folks show up 10 hours
later, 12 hours later, maybe the next day. It is a very serious
problem, and we are taking it seriously. We have put together a
piece of legislation that is bipartisan. We had 12 colleagues
sign on. We want to work carefully with you and your
organization, and the BIA, because we have to fix it. It
requires some resources, but it also requires some
reorganization as well. I wanted to just mention that to you.
The key, I think, is for all of us to work together as you
assume the reins at Interior and we try to focus on some of
these critical issues.
I do want to mention that we have been joined by Senator
Johanns. We welcome you to the Committee, and we are pleased
you are here. We load this Committee with folks from the
northern Great Plains, as you know, who have a very significant
interest in these issues.
Let me call on the Vice Chairman.
Senator Barrasso. Thank you very much, Mr. Chairman.
Thank you, Mr. Secretary. I appreciated your comments. I am
delighted that you are currently vetting someone for Assistant
Secretary of the Bureau of Indian Affairs, a position that was
too long vacant. I am delighted to hear your comments about the
importance of economic development, energy development,
education, law enforcement, one right after another. I want to
echo so many of the comments by Chairman Dorgan. We are going
to address issues with Indian health. I am looking forward to
working with him.
Like all the members of this Committee, I have experience
within our own State of concerns. On the Wind River Reservation
there is an irrigation system. The GAO reported in 2006 that
there was over $84 million in deferred maintenance. Congress
appropriated $3 million for this in fiscal year 2006 and 2007.
The State of Wyoming, and I was in the State legislature,
provided a matching amount, another $3 million for repairs.
There still appear to be delays and difficulties in
spending draw-downs from the BIA for the project repair and
maintenance. I will ask you or your staff to look into this and
ensure that the Department will cooperate and coordinate better
with the Eastern Shoshone and Northern Arapaho Tribes to
complete the irrigation project repairs in a timely manner for
money that has already been appropriated. So if I could ask you
to look into that, Mr. Secretary, I would appreciate it.
We talked about law enforcement, and we talked about
education. And you mentioned your own family experience, which
is the same as my own in terms of how important education was.
Safe schools to me is the key. That plays into both the issue
of education as well as into the issue of law enforcement. The
Wind River Reservation in Wyoming is almost the size of the
State of Connecticut. We have two officers in an area that
size. So it can be 12 hours or the next day until someone can
respond to a law enforcement problem.
So I would ask that you also try to address the issue of
school safety as part of both education as well as law
enforcement. I don't know if you have any thoughts on that, or
how you want to pursue these issues in a timely manner, Mr.
Secretary.
Secretary Salazar. Senator Barrasso, I appreciate the
question. Let me just say, on school safety, obviously, I was
the Attorney General on April 20, 1999, when the bloodiest
school shooting in America took place right in my State. So I
have spent a lot of my time in public service actually working
on trying to create safe schools, and have ideas about how we
can take the blueprints of the kinds of plans that have been
created at the University of Colorado for school violence
prevention and the like. So we will look at that in connection
with the creation of safe schools.
On the Wind River Reservation and the water project, let me
take a look at that and have my staff look into that and see
where we are and where we might be helpful.
If I may, just reverting back, Senator Dorgan raised two
issues on health care and law enforcement. Your eloquent
speeches last year will never be forgotten by me as I sat in
the chair and I heard you describe the reality of the dismal
health care conditions in Indian Country. And though it is not
my department, there is a role I will play there, and indeed,
even last week have talked to members of the House of
Representatives about the importance of that particular
legislation.
On law enforcement, I think that the experience that I
bring from law enforcement, as well as the experience that my
chief of staff, Tom Strickland, will bring to the law
enforcement issues. He will be very helpful. Tom Strickland
served as United states Attorney for Colorado. He knows these
issues in terms of the partnerships that need to be brought
together. So it will be a high, high priority for my
Administration to deal with the law enforcement issues that
both of you mentioned.
Senator Barrasso. Thank you, Mr. Secretary.
Thank you, Mr. Chairman.
The Chairman. Senator Tester.
Senator Tester. Thank you, Mr. Chairman.
I want to tell you what a pleasure it is to have you here
today, Secretary Salazar. There are tons of issues out there,
the Chairman and Ranking Member have delineated them pretty
well. I am just going to touch on a couple that are pretty big
from my perspective.
One of them is Indian water settlements. We have got two
authorized in the State of Montana, I think there are four
others in the Country that are pending here in Congress. I just
wanted to know your perspective on those water settlements. I
know your focus right now, it is kind of unfair, your focus
right now is building a team, and I appreciate that. I really
think that is critically important.
But as you look out, where do you see these water
settlements, as far as the completion of them? Basically what I
am going to ask you in the end is, is the Department going to
take an active role in trying to help us get these water
settlements through?
Secretary Salazar. Senator Tester, I thank you for your
friendship and your guidance on so many issues, including this
issue. We will recognize there are four, five, perhaps six
settlements that are in the offing, some of which have been
introduced in the prior Congress. And they will be of high
priority for me. There may have been other Secretaries of
Interior, but I have worked on many of these settlements
myself, including the one that resulted in the Indian water
rights settlements in Colorado. Colorado stands, I think,
almost alone as a State where we don't have any issues with our
Native American tribes, because we were able to resolve these
settlements. I know they were complex and difficult and
expensive. But some of them have dragged on for too long,
decade after decade after decade without any resolution.
So when you get to the point where you have the dynamics of
the possibility of settlement, I think it is important for
there to be leadership, including the leadership of the
Secretary of Interior, to try to get it across the finish line.
So we will pay attention to them. We will make sure that we
have them prioritized. In fact, last night, I was having
conversations about someone who might be a special counsel just
on Indian water rights settlements that will work within the
Secretary's office. So it is high on our radar screen.
Senator Tester. Thank you very much. The tribal recognition
process is an issue that, it needs improvement from my
perspective. Let me give you an example. We have a band of
Indians in Montana called the Little Shell that actually
started in 1978 trying to get recognition, shortly after the
bill was passed to allow the process for a tribe to achieve
recognition. Over the last 31 years, they have had information
requested of them which I think is appropriate, but it has gone
on and on and on. Actually, it was about a month or two ago I
thought maybe we were going to finally get a decision, and it
has been delayed for another six months.
I think the Chairman has said before, and I agree with him,
I would like to see the process work. I don't really want to
see Congress have to intervene for recognition of tribes. But
the truth is, from my perspective, it shouldn't take 31 years
for a tribe to get recognition. And all I am asking for is an
answer, yes or no, do you think there are things you can do to
speed up this process of tribal recognition to make sure that,
number one, the information, when they get the information, I
don't know why it is continually put off, I don't, but they can
ultimately come to a conclusion or make a decision? What is
your perspective on the tribal recognition process and how do
you see it moving forward under your leadership?
Secretary Salazar. Senator Tester, I think that when one
has to wait for a process that lasts 31 years to get an answer,
that it is too long. So I think this is an area which needs
examination to determine what it is that we can do to try to
improve it. It is a complicated issue, it is not a simple issue
in terms of tribal recognition and the legal implications that
result from that kind of recognition.
But there is no reason why we should have a process that
essentially just ends in an endless road year after year after
year. So we will take a look at the process and see if there
are ways in which we can improve upon it.
Senator Tester. Thank you. One other thing, and like I
said, when I first got to this Committee, when I first got this
appointment, I met with a group, and I said, what are the
issues. They started laying out the issues and finally, after
about 10 minutes, I said, stop. We have to prioritize, because
you have too much stuff. And that is kind of the way this
Committee meeting could be. There are so many issues out there,
as you know full well, that we could literally spend all day
talking about the challenges in Indian Country.
I do want to talk about the first thing that you talked
about as you referred to Senator Udall's statement on economic
development and how critically important it is that we get the
unemployment rate down and we get the business community
cooking in Indian Country.
What role do you see tribal colleges playing in the
economic future of Indian Country?
Secretary Salazar. I think tribal colleges, Senator Tester,
are very important in terms of creating the kind of educated
workforce that is needed to bring about that kind of economic
development. And I do think that many of the problems that we
see on the reservations beyond the high unemployment rate, the
dropout rates, the issues with law enforcement, the high crime
rates on the reservation, are frankly rooted in the economic
condition in those reservations.
So I think the more we can do for education, the more we
will then be able to change about the economic realities that
are faced by First Americans across this Country. So I
recognize the nexus that is there.
Senator Tester. Well, I appreciate that. I think I will
just close with this. Before you were confirmed to this
position, I made an offer for you to come to Montana. That
offer is still there. And we can take a look at both what is
going on in Indian Country and some things that the Department
of Interior has specific oversight of. We look forward to
making that happen. Thank you.
Secretary Salazar. Thank you, Senator Tester.
If I may, Chairman Dorgan, one of the realities of this
Department that I have frankly discovered in the first few
weeks that I have been there is that there is a perception that
this is a department only of the west. It is not a department
only of the west, it is a department of all of America. When
you think about the reach of this Department, it is from sea to
shining sea and out beyond the seas, because of the continental
shelf and the 1.75 billion acres that are there. The Native
American communities have a presence, frankly, all across the
Country, and they have different kinds of issues, depending on
whether they are from the High Plains or the eastern coasts and
the like.
So one of the things that I actually find very interesting
and very challenging is trying to get around to the different
places where the responsibilities of the Department are frankly
at stake and are on display. Certainly whether it is Montana or
North Dakota or South Dakota, I can think of lots of different
things from Native American issues to water projects to
national park issues to a whole host of other things that are
important to your State.
So I hope to be able to spend as much time as I can coming
out to your respective States and joining Chairman Dorgan. Also
perhaps I was thinking in North Dakota, maybe a trip out to a
reservation, but also to see some of the energy projects that
you and I have talked about, as well as some of the water
projects. So it would become a matter of timing and scheduling,
because there is also the reality, I have to spend some time at
work and getting the job done. But I will try to do as much as
I can.
The Chairman. Before I call on Senator Johanns, let me make
a point on this issue of tribal recognition. I went through a
list of things we are going to work on, health care, law
enforcement, housing, education and so on. And in education,
tribal colleges, as my colleagues have mentioned.
This issue of tribal recognition is enormously troubling to
me, because I don't want the Congress or this Committee to be
the arbiter of who should be recognized and who shouldn't be
recognized. That is a job that should be done by the Interior
Department through a process that we have described in law and
for which you have written some regulations in the Interior
Department.
But my colleague from Montana is absolutely correct, Mr.
Skibine knows that we have complained about this for a long
while, the system isn't working. We really do have, in many
cases, 20, 30 or longer years in which tribes file petitions
and never quite get an answer, and it gets delayed and delayed
and delayed. It is just not working. Perhaps on your watch, we
can make this system work, so that we have a recognition system
at the agency that will actually function and get a final
resolution of these issues.
We have the Lumbee Tribe, some Virginia tribes, Little
Shell, we have a good number of tribes that have come to the
Congress saying, we want you to pass legislation giving us
recognition. I would much prefer that that be done in Interior.
Lumbee has a separate issue, because they are prevented from
going through this process in Interior.
But we want to work with you on that. I know my colleague
from Montana feels that way. We really want to figure out how,
determine how we can help you fix this process. In the
meantime, we are going to have some hearings in an effort to
work with these tribes to determine how long has it been, what
has been the problem with their petitions and do we have to
move or do we wait for the process.
So I just wanted to say that, because I think it is very
important. Many of them have been waiting a long time, and many
have died while the petitions have been in front of the
Interior Department.
Senator Johanns.
STATEMENT OF HON. MIKE JOHANNS,
U.S. SENATOR FROM NEBRASKA
Senator Johanns. Thank you, Mr. Chairman.
Let me start out, if I could, Mr. Secretary, and speak in
reference to what the Chairman was talking about, relative to
energy and exploration. I thought that map was very telling.
This is my first hearing, so I thought it probably would not be
appropriate for me to stand up and cheer or yell amen.
But the Chairman is right, this takes too long. And a
process that has that many steps, I will be very honest, I am
not sure why people bother with it. Because it has to be so
impossibly cumbersome.
So I lend my bipartisan voice here in saying, this is
something that really needs some attention. You will get strong
applause on this Committee if you can tackle this one.
Another thing that I just wanted to offer as a suggestion,
because it worked very, very well for me as a governor. I would
have an annual tribal summit, and we would work on an agenda
and really put some time and effort into it. I don't know if
you can do that on a national basis, but one of the things I
would encourage is to go out to the States and maybe have a
tribal summit in a few states each year, where you can really
zero in on those tribes and what their issues are. I think
listening is always a very good thing, and they will be very
excited to have you there listening.
Now if I might zero in on a couple of things here, health
care. I will never forget visiting a reservation in Nebraska as
governor, and I visited a dialysis center. It was very, very
nice. It had just opened, and it was doing exactly what people
hoped it would do. But as we talked about the need for that
center, and I am drawing on memory here, but I think I was told
that 40 percent of the adult population on that reservation had
diabetes. It is just an enormously serious health condition, as
you know. There are just so many things that happen to a
person's health if they have diabetes, none of them good.
I would really ask you for your thoughts on this and how we
might develop maybe even some kind of focused effort here to
deal with this. Because it is not only treating diabetes, it is
what gets us to that. Is it diet? Is it alcohol abuse? What is
it and how do we get in front of this? Because this is a plague
upon Indian Country. And if we don't deal with this, it is hard
for me to imagine these other issues that we are concerned
about work very well.
Your thoughts on that, Mr. Secretary?
Secretary Salazar. First, Senator Johanns, let me
congratulate you on your election, and now your service in the
U.S. Senate. I was thinking that the last time that you and I
had a conversation, I was up there and you were down here.
[Laughter.]
Senator Johanns. Let me say the view is better from here.
[Laughter.]
Secretary Salazar. There is life after being a Secretary,
see. But I am very excited about the current position that I
have. Congratulations to you.
Let me just say, your concept of an annual summit, that may
make some sense for us. Let me try to figure out whether that
is something that we can in fact do. It probably would be more
effective, frankly, if we did that together. We might do that
with this Committee and others that are involved.
That leads me a little bit to the issue of health care.
There are some aspects of health care that we can work on
within the Department of Interior, but most of that is over in
HHS. And so how we work on this panoply of issue is going to
require a commitment on the part of the entire Administration
to deal with these issues. President Obama is committed to
making sure that we change the conditions in Indian Country,
all across the Country.
So I am certain that whoever it is that becomes the Cabinet
Secretary for HHS will have this as a high priority.
I think the issue of diabetes in the Native American
communities is frankly only more stark than it is with the rest
of the Nation, and the problems we have with health care. How
we move forward with health care reform, especially in the area
of prevention, is something that is very important. I have seen
relatives of mine, frankly, die from diabetes conditions. There
are things that can be done early on in life to try to prevent
all the health problems that are associated with that
particular condition.
So it will be something that will be on my radar screen. It
will be something that I will work on with my fellow Cabinet
members and with President Obama to try to address in the great
program that we need to move forward to deal with the health
care crisis that we have in this Country.
And like with all other problems that we are facing in
America today, when you look at Indian Country, the problems
there are simply exacerbated over what we see with non-Native
American communties.
Senator Johanns. A final thought I just wanted to offer,
and it is really not a question, but it is a final thought. And
I think you touched on it, and it is very good. The inter-
relationship between the departments is so hugely important. I
must admit, as a Cabinet member, it took me a while to figure
that out. But once we figured it out and started pooling our
resources and our talent, et cetera, things just went a lot
better. It did seem like you could kind of get through some of
the red tape. I just think anything you can do to work with the
Ag Department, Health and Human Services, will pay big
dividends. And the sooner you start that, the more opportunity
you have.
So I think those things are just enormously helpful and
very positive. And I would encourage you to do that.
Secretary Salazar. Thank you very much.
Senator Johanns. And congratulations to you. I was excited
by your nomination. I think you are the right person for the
job, and I will wrap up by saying, you do have some challenges.
But I wish you the best, and if I can help, let me know.
Secretary Salazar. Thank you very much, Senator.
The Chairman. Mr. Secretary, it is probably safe to say
this will be the easiest hearing you will have attended as
Secretary when you finish your service as Secretary. I think
most of us are pleased that you are there and wish you well.
Senator Johanns has talked about the diabetes issue. I
wanted to mention that it is a scourge, and imposes such a
heavy cost and heavy burden on the Indian population in this
Country. We do have a special diabetes program, as you know,
but that is, in many ways, complicated. We have that, I
believe, funded through Labor HHS, in the appropriations
process here. We have the Indian Health Service funded through
the Interior appropriations process, despite the fact that the
Indian Health Service is over in Health and Human Services.
So we need to find a way to see if we can bring this,
establish some order here and how we consider these issues. As
soon as we have people in place and nominated and confirmed, we
will have Indian health folks in front of us and hopefully the
Secretary of Health and Human Services as well to talk about
Indian health.
As you know, we have our own special diabetes program
focused on reservations. It has to gain a lot of our attention
and focus because it imposes such a huge burden. Many, many
years ago, when my colleague, the late Mickey Leland from
Texas, served with me in the House, we went along with
Congressman Penney from Minnesota to do a hearing out on a
reservation on diabetes. And it was a pretty unbelievable
hearing. On that reservation, I believe the rate of diabetes
was not double, triple or quadruple the national average, it
was ten times the national average. It is just a devastating
impact on the population in Indian Country.
So my colleague from Nebraska is absolutely right. We want
to make that a priority in our Indian health care
considerations.
Let me complete this hearing as I started it. It is not
easy to get your arms around the Bureau of Indian Affairs, just
because it is a big old bureaucracy. Probably there are some
good people working there. But there are other people who, I
think, view themselves as human brake pads and try to slow
everything down and stop it if they can. So we need to make
that agency an agency that all of us can be proud of, that is
on the front end of making things happen, making good things
happen to address the significant problems that exist in Indian
Country. All of us know that they were here to greet any one of
our ancestors who showed up, they were the First Americans. And
I have often said the First Americans should not have second
class health care or second class education or second class
housing. We need to work on these issues, because we have made
commitments and solemn promises and have a trust responsibility
that we have not yet met.
I was so pleased when your nomination was announced,
because I know your background and have served with you and
know your acquaintance with these issues. You don't come to
this job not having had an acquaintance with all of these
issues affecting Native Americans. I know that from your
service here in the Senate and also from your service in
Colorado.
So I appreciate the work that I know you will do to
coordinate with this Committee on so many issues and we
appreciate your attendance here today.
Secretary Salazar. If I may, Chairman Dorgan, let me also
say that I am the first to recognize that I have a lot to learn
about these issues. When I look at the collective wisdom that
you bring, along with the rest of the members of the Committee
and the staff of this Committee, we need your help. You know
what the issues are and you have spoken to them so eloquently
over the years. Ultimately, we will be able to succeed in
dealing with these issues, from health care to law enforcement
to education, to economic development, to trust
responsibilities, frankly, if we have the working relationship
where we are able to steal your ideas and learn from you as we
move forward.
So I very much look forward to working with you.
The Chairman. Well, that is very well stated. This is not
some mysterious illness for which we don't know a cure. We know
the issues out there, we know how to address them and deal with
them if we commit the resources and our time and our
dedication. I thank you for serving as Interior Secretary.
This hearing is adjourned.
[Whereupon, at 10:30 a.m., the Committee was adjourned.]
A P P E N D I X
Prepared Statement of Hon. Chris Devers, Chairman, Pauma Band of
Mission Indians; Chairman, Council of Energy Resource Tribes
Introduction
Good morning Chairman Dorgan, Vice Chairman Barrasso, and
distinguished members of the Committee on Indian Affairs. On behalf of
CERT's 57 member Indian tribes, I want to thank you for holding today's
hearing to receive the views of Secretary Ken Salazar on matters
related to Indian affairs and policies.
My name is Chris Devers and I am Chairman of the Pauma Band of
Mission Indians in California and also Chairman of the Council of
Energy Resource Tribes (CERT) which has its headquarters in Denver, CO.
I would like to congratulate Secretary Salazar on his confirmation
by the U.S. Senate and pledge to him CERT's good will and strong desire
to work together on the many challenges we will confront together in
the coming years. I am pleased to submit the following statement
regarding energy development, environmental stewardship, job creation,
and trust management in Indian country.
CERT was founded in 1975 by American Indian tribal leaders when our
country was in the midst of what was then known as the ``Arab Oil
Embargo.'' The embargo was put in place by the Organization of
Petroleum Exporting Countries in response to America's support for
Israel in the 1973 Arab-Israeli War. Many of us remember that the
embargo caught America flat-footed and resulted in higher prices for
heating oil and gas rationing that created long lines at the gas
stations.
Back then, our national leaders promised that we would ``end our
dependence on foreign oil'' and return America to a position of
unquestioned strength in the world. Well, here we are nearly 40 years
later and our dependence on imported oil and even natural gas has grown
much worse. Historical context is important because CERT's mission is
to support its member Indian tribes in the development of their
management capabilities and the use of their energy resources to build
sustainable economies and strong political institutions.
The Department of the Interior (DoI) is integral to the success of
our member tribes and indeed Indian tribes across the country.
President Obama has made clear that when it comes to meeting the energy
needs of America, his Administration will pursue an ``all of the
above'' approach to include renewable and non-renewable energy sources.
I wish to make clear to the Committee that CERT is in agreement with
this approach and that American Indian energy is American energy and
when it comes to meeting our energy needs and related job creation, we
should stress the development of our domestic supplies.
The Potential of American Indian Energy
American Indian energy holds enormous potential to create thousands
of good-paying jobs, generate significant revenues, and aid in the
development of tribal economies as well as help satisfy the American
economy's need for a reliable energy supply. Three factors contribute
to this scenario:
1. The enormous tradition energy reserves such as oil, gas, and
coal, and the promise of renewable resources owned by Indian
tribes;
2. The pricing environment for energy products; and
3. The enactment by Congress in 2005 and 2007 of classically
liberal, pro-production energy policies. \1\
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\1\ These are the Energy Policy Act of 2005 (Pub.L. 109-58) and the
Energy Independence and Security Act of 2007 (Pub.L. 110-240). Both
statutes contain provisions favorable to Indian tribal energy
development and environmental management.
One merely witness the phenomenal success of the Southern Ute
Indian Tribe in southwest Colorado, the Ute Tribe of the Uintah and
Ouray Reservation in northeast Utah, and the Osage Nation in eastern
Oklahoma to understand that American Indian energy resources, prudently
managed, can transform Indian economies and assist tribes in achieving
real and lasting self-determination.
Indian Tribal Energy Resources and the Pricing Environment
American Indian tribes in the lower 48 states--especially those in
the Rocky Mountain west--own an enormous amount of energy resources.
With the current Federal restrictions on exploring for energy in the
Great Lakes, the eastern portion of the Gulf of Mexico, the California
coastline, and the Alaska National Wildlife Refuge (ANWR), Indian
tribal resources and lands in the Rocky Mountain West present one of
the most significant opportunities for domestic production in the
United States.
In what is now a dated analysis, in 2001 the U.S. Department of the
Interior (DoI) estimated the total dollar value of energy produced from
Indian tribal lands for the period 1934-2001 to be $34 billion. These
revenues derived from 743 million tons of coal, 6.5 billion cubic feet
of natural gas, and 1.6 million barrels of oil. In terms of undeveloped
reserves and undiscovered resources, the DoI projected that Indian
tribal lands could prospectively generate $875 billion, derived from 53
billion tons of coal, 37 billion cubic feet of natural gas, and 5.3
million barrels of oil. These projections were made in 2001 and in the
intervening 7 years, the price of energy products has increased
significantly so that, currently, the likely revenue projection would
be nearly $1.5 trillion.
The New Energy Laws of 2005 and 2007
On August 8, 2005, President Bush signed into law the Energy Policy
Act of 2005 (Pub.L. 109-58) which included as Title V the Indian Tribal
Energy Development and Self Determination Act. The new law authorizes a
variety of Federal technical and financial assistance to participating
Indian tribes and seeks to reduce administrative obstacles at the
Federal level to encourage greater levels of energy development on
tribal lands.
Unlike some congressional enactments, the new Indian tribal energy
law does not discriminate in terms of renewable versus non-renewable
resources. Instead, the law leaves the decisions over whether and how
to develop tribal energy resources to the Indian tribe and the energy
markets. The centerpiece of the new law is the authority provided to
the Secretary of the Interior to negotiate and enter agreements
(``Tribal Energy Resource Agreements'') with willing tribes that would
govern energy and related environmental activities on tribal lands.
Final regulations to implement the Tribal Energy Resource
Agreements (TERA) authority were issued in 2007 and the Department's
Office of Indian Energy and Economic Development (OIEED) is now poised
to work with interested tribes to negotiate what are essentially bi-
lateral agreements between the Department and the tribes. CERT urges
the Secretary to ensure that the TERA process continues, that Indian
tribes are apprised of their options under the new law, and that the
OIEED and the tribes have the funding they need to ensure the success
of the new energy law.
Similarly, in 2007, Congress enacted and the President signed the
Energy Independence and Security Act (``EISA'', Pub.L. 110-140) which
contains significant opportunities for tribes and tribal colleges to
receive research, development, and production grants related to
renewable and alternative energy development. The Act authorizes
billions of dollars for these purposes and is the most significant
energy research law to be enacted in years.
Energy Project Development is Key
The new energy laws were signed into law in 2005 and 2007 and the
regulations to implement them are now in effect. For the past four
fiscal years, the Congress has appropriated funds for the OIEED and the
Department of Energy's Office of Indian Policy and Programs, both of
which are charged with administering the new laws. These offices have
been very active and responsive to the potential for Indian tribal
energy and have assisted Indian tribes that seek to develop their
energy resources.
CERT's perspective on all of these developments is that the next
steps involve Indian tribes inventorying their energy resources,
identifying potential projects, and working with energy and financial
partners to bring these projects to completion. The Department can and
should play a vigorous role in assisting tribes in these efforts.
The tribal energy programs carried out by the OIEED are
administered in the Minerals and Mining account within the BIA's Trust-
Natural Resources Management budget activity. For FY 2009, this account
will receive a total of $2 million: $1.4 million is for grants to
tribes, and $600,000 for the OIEED to consult with Indian tribes and
begin the TERA review process. To launch energy projects in earnest,
CERT believes increases of $1 million for grants to Indian tribes and
$500,000 for TERA implementation are justified.
The OIEED also manages the Indian Guaranteed Loan Program which
guarantees loans made by private financial institutions for a wide
variety of tribal economic activities including energy development.
The Indian Guaranteed Loan Program is among the most flexible and
efficient tools to encourage tribal economic development, including
energy development. The BIA provides approximately 50 new loans
annually under the program. Existing loans range from $250,000 to $18
million. Every dollar appropriated to the program is leveraged at least
sixteen-fold, thereby maximizing the funding available to Indian
country from private lenders. CERT urges the Secretary seek $12 million
in FY 2010 to facilitate economic development in Indian country and
encourage private investment on Indian lands.
The Office of Minerals Evaluation
The Office of Minerals Evaluation (OME) performs subsurface
economic evaluation to determine the value of the subsurface estate for
Indian trust and restricted lands. For Indian tribes and individual
Indian land owners, this is an important step to obtain Secretarial
approval for mineral leases. Without this evaluation, it is impossible
for the Secretary to determine that the Indian interest owner is
obtaining fair value.
CERT understands that at one point in 2008, the Department was
considering outsourcing these appraisals, a move that CERT opposes. The
OME is uniquely situated to utilize data from Indian tribes and within
the Department to generate fair appraisals that the Indian landowners
have confidence in. Any plan to outsource this function would erode
this confidence.
A ``National Tribal Energy Efficiency Initiative''
In addition to renewable projects, another initiative that would
generate jobs in the short-run and long-run, will have positive
environmental impacts in Indian country, and will produce greater
economic benefits for virtually every Indian tribe in the country. The
initiative CERT has in mind would be something along the lines of a
``National Tribal Energy Efficiency Initiative'' that could fund
virtually every Indian tribe. The initiative would be massive but, if
properly structured, would maximize the use of local labor and local
Indian contractors.
In addition to home weatherization, the initiative could include
all tribal government buildings and Federal facilities located on
tribal lands. The high cost of heating and cooling because of poorly-
constructed and poorly-insulated buildings equipped with highly
inefficient lighting and H-VAC systems erodes program budgets, reduces
services and produces environments that are not healthy for workers or
for people who use access the facilities. It would dramatically reduce
the operating and maintenance costs for health clinics, hospitals,
schools and tribal colleges, tribal administrative buildings, and other
structures on tribal lands.
The initiative would also have an immediate impact on the utility
bills for heating for the most vulnerable Indian populations in the
Northern tier of the country from the Pacific Northwest to Maine, the
Tribes of the Four Corners Area, and the poor families of the Oklahoma
Indian Tribes. And for the desert southwest Tribes, their weather
related issues come in the summer months. Regardless of their
geography, all of the Tribes have vulnerable populations: the elderly,
infants and the disabled.
In a relatively short period of years, the initiative would
transform Indian Country from among the most energy inefficient to
among the more energy efficient and would lead to better health, more
efficient programs and more competitive tribal economies. The energy
savings could be measured in real dollars because the good thing about
energy efficiency is that the savings are not one-time occurrences but
accrue year after year. Even a massive Federal expenditure in an
initiative of this type would be repaid in savings in 3 to 5 years, and
would continue for another 10 to 20 years, depending on building
maintenance.
Improving and Reforming Trust Management Practices
For decades, the issue of trust improvement and reform has
bedeviled the United States and Indian country and lead to costly and
acrimonious litigation and legislative battles that have sapped the
morale of the Department and lead to a massive loss of confidence by
the Indian tribes.
Efforts to reform the broken trust management system have resulted
in any number of proposals and counterproposals that ultimately have
not served the interests of the Indian beneficiaries. The simple fact
is that the often-tepid attempts to reorganize and reform the Bureau of
Indian Affairs, Office of Special Trustee for American Indians, and
other Departmental offices have failed and the ongoing failure is
resulting in the underutilization of Indian land and trust assets and a
reduced material standard of living for Indian people. The Obama
Administration and Secretary Salazar have committed to working with
Indian country on the many issues that continue to challenge tribal
governments and Indian people.
Among these should be the following which involve working with both
the Indian tribes and the Congress:
Achieving negotiated settlements of both the soon-to-be re-
named Cobell v. Salazar Individual Indian Money (IIM) lawsuit
and the Indian tribal trust cases that are now pending;
Developing a comprehensive, effective, and well-funded
approach to stop and reverse the effects of fractionation and
reconsolidate the Indian land base;
Effectuating necessary changes in the law to foster land and
natural resource management regimes that respect tribal
authority and maximize decision-making; and
Reshaping the Bureau of Indian Affairs, the Office of
Special Trustee for American Indians, and the other
Departmental offices so that these agencies can respond to and
serve the needs of Indian tribes and their members.
Conclusion
Chairman Dorgan, this concludes my statement and I would be happy
to answer any questions you might have on these matters.
Thank you again for the opportunity to express the views of CERT
and its member tribes.
______
Prepared Statement of Hon. Charles Dorame, Chairman, Northern Pueblos
Tributary Water Rights Association
Introduction
Good morning Chairman Dorgan, Vice Chairman Barrasso, and
distinguished members of the Committee on Indian Affairs. My name is
Charles Dorame and I am the Chairman of the Northern Pueblos Tributary
Water Rights Association (NPTWRA) which is comprised of the Pueblos of
Nambe, Pojoaque, San Ildefonso, and Tesuque.
I want to thank you for convening this important hearing to receive
the views of Secretary Ken Salazar on matters of Indian affairs and
also to congratulate Secretary Salazar on his recent confirmation by
the U.S. Senate. I would be remiss if I did not also congratulate our
former congressman Tom Udall on his election to the United States
Senate and his decision to join this Committee which we, of course,
applaud.
Last, I would like to give this Committee and the Secretary our
sincere pledge to work collaboratively on the issues sure to come
before us in the coming years, including legislation to resolve long-
standing water rights litigation involving the Pueblos in New Mexico.
In 2008, legislation was introduced by then-Congressman Udall and
Senators Bingaman and Domenici to provide congressional ratification to
the Settlement Agreement to resolve the case of State of New Mexico ex
rel. State Engineer v. Aamodt, No. 66cv6639 MV/LCS (D.N.M.). As this
Committee knows, the Aamodt case has been left unresolved for 43 years.
These settlement bills (H.R. 6768 and S. 3381) were subject to
legislative hearings in the committees of jurisdiction and the Senate
version was reported favorably to the full Senate for its
consideration.
Since the autumn of 2008, the Pueblos of Nambe, Pojoaque, San
Ildefonso, and Tesuque (``the Four Pueblos'') have been working in good
faith with the State of New Mexico and representatives of the U.S.
Departments of Interior and Justice to resolve outstanding issues
relating to the prospective liability of the U.S. and the structure of
the way the settlement would be financed. Negotiations with the state
and Federal parties are continuing in an effort to resolve these
matters.
Background on the Settlement and Its Terms
In the Pojoaque River Basin (``the Basin''), a tributary of the Rio
Grande in northern New Mexico, conflicts over scarce water resources
were litigated for decades. In 1966, then-State Engineer S.E. Reynolds
brought suit against all water right claimants in the Basin to
determine the nature and extent of their water rights. This case, State
of New Mexico ex rel. State Engineer v. Aamodt, No. 66cv6639 MV/LCS
(D.N.M.) was litigated for decades but in January 2006 a comprehensive
Settlement Agreement was entered between by the Four Pueblos, the State
of New Mexico, the City of Santa Fe, the County of Santa Fe, and
others.
The settlement parties have worked hard and in good faith to
identify and agree to areas of mutual interest and to fairly negotiate
those matters that proved contentious.
Once approved by Congress, the Settlement Agreement would achieve a
number of important priorities including the following: (1) Securing
water to meet the current and future needs of the Four Pueblos; (2)
Protecting the longstanding water uses and resources that make the
Basin unique; (3) Preserving the centuries-old non-Pueblo irrigation in
the Basin; and (4) Providing water for current and future uses by all
of the Basin's residents.
The Pojoaque Basin Regional Water System
The centerpiece of the Settlement Agreement is the proposed
construction of a water system for the Basin which will have the
capacity to deliver 2,500 acre feet per year of water from the Rio
Grande to the Four Pueblos. It will also be able to deliver 1,500 acre
feet per year to the County Water Utility to serve future water users
in the Basin as well as present domestic well owners who choose to
connect to the system. The source of the water has been identified with
the assistance of the State of New Mexico, the County, the U.S.
Department of Interior, and the settling parties. The water system's
provision of water to non-Pueblo water users is important to the
Pueblos because it will reduce stress on the groundwater resources of
the Basin. Without the construction of the water systems, the
litigation cannot be settled.
The total project cost of the settlement is nearly $305 million
which would be used to construct the Pueblo and County combined water
system; county connections; the Pueblo Water Acquisition Fund; the
Pueblo Conservation Fund; City Water Delivery Offsets; the Pueblo
O.M.&R. Fund; the County Water Utility O.M.&R.; County Water Rights
Acquisition; and Inbasin Water Rights Transferred to County Water
Utility. Simply put, without the construction of the water systems, the
litigation cannot be settled.
Project Costs and the Reclamation Water Settlements Fund
The total project cost of the settlement is about $305 million of
which about $175 million would be the federal contribution, with the
State of New Mexico, Santa Fe County and the City of Santa Fe prepared
to contribute in excess of $130 million to the proposed settlement.
As this Committee knows, since 1990, the Executive Branch has
gauged all Indian land and water settlements against the ``Criteria and
Procedures'' that were issued in that year. While no proposed Indian
water settlement is perfect in terms of meeting the Criteria and
Procedures, the Aamodt settlement is as close to a neat fit that is
likely to come before the Congress.
For many years, Senators from western states have grappled with the
problem of financing Indian land and particularly water settlements. On
April 19, 2007, Senator Bingaman introduced S. 1171, the Northwestern
New Mexico Rural Water Projects Act which included language to create a
``Reclamation Water Settlements Fund'' (``Reclamation Fund'') in the
U.S. Treasury to fund the water settlements of the Navajo Nation and
other Indian tribes.
The Reclamation Fund would make available some $500 million satisfy
the Navajo settlement and an additional $250 million to satisfy the
Aamodt and Taos settlements. The Reclamation Fund would also fund other
Indian water settlements in Montana and Arizona.
Legislation to establish the Reclamation Fund was not enacted in
the 110th Congress and, accordingly, on January 6, 2009, Senator
Bingaman reintroduced a bill to authorize more than 100 separate pieces
of legislation. This bill, the ``Omnibus Public Land Management Act''
(S.22) includes the Northwestern New Mexico Rural Water Projects Act,
the Duck Valley Paiute Water Settlement Act, and others. The Senate
passed the measure on January 15, 2009 and it is under consideration in
the House.
Conclusion
Mr. Chairman, the time is right for the swift enactment of
legislation to ratify the Aamodt Settlement Agreement and we are
encouraged that the negotiation and settlement of Indian water
settlements will be a priority for Secretary Salazar and the Obama
Administration. This concludes my statement and I would be happy to
answer any questions you might have at this time.
______
Prepared Statement of Tsosie Lewis, CEO, Navajo Agricultural Products
Industry
Introduction
Good morning Chairman Dorgan, Vice Chairman Barrasso, and
distinguished members of the Committee on Indian Affairs. My name is
Tsosie Lewis and I am the Chief Executive Officer of the Navajo
Agricultural Products Industry (NAPI), an economic enterprise wholly-
owned by the Navajo Nation located near Farmington, NM.
I am very pleased to submit this prepared statement for the
Committee's Oversight Hearing to receive the views of Interior
Secretary Ken Salazar on matters related to Indian affairs and
policies.
I would first like to congratulate Secretary Salazar on his recent
confirmation and pledge to him and the department NAPI's desire to work
collaboratively on matters of mutual concern. Secretary Salazar's
family settled in New Mexico in the 17th century and for five
generations has ranched and farmed the land in the San Luis Valley in
Colorado.
NAPI Management and Operations
Secretary Salazar's long and distinguished public service has
demonstrated his commitment to the wise use of our nation's natural
resources, land, and water. It is with this in mind that I note NAPI's
guiding principle: Caring for our land. Caring for our future.
Currently operating a farm of approximately 70,000 acres, NAPI is one
of the largest employers of Navajo Nation members on the Navajo Nation
and contributes some $100 million annually into the economy of the Four
Corners Area.
In its operations, NAPI has stressed the use of the state-of-the-
art technology and environmentally friendly practices. The major crops
grown and sold by NAPI include alfalfa; corn; onions; wheat and small
grains; potatoes; pinto beans; and specialty crops. NAPI is governed by
a 5-member Board of Directors and for a farm of its size has a
modestly-sized management of 7 persons.
NAPI operates 4 departments as follows:
1. Operations & Maintenance (O&M) Department. NAPI performs the
required Operations and Maintenance (O&M) through a Public Law 93-638
contract with the Bureau of Indian Affairs (BIA). The O&M Department is
responsible for water delivery to NAPI farmlands using the Navajo
Indian Irrigation Project (NIIP) storage, carriage, and distribution
facilities. The O&M Department operates and maintains all aspects of
the NIIP facilities that have been transferred to BIA.
2. On-Farm Development (OFD) Department. NAPI's On-Farm Development
Department (OFD) is also funded through a Public Law 93-638 contract
with the BIA and is dedicated exclusively for the development of new
irrigation systems. This funding allows for assessment and planning and
proceeds to constructing self-propelled irrigation center pivot
systems, underground water lines, electrical systems for water control
and radio telemetry systems.
3. Agricultural Testing and Research Laboratory (ATRL) Department.
NAPI's Agricultural Testing and Research Laboratory Department (ATRL)
was established to meet the needs of the NIIP and to provide analytical
services and technical assistance to NAPI personnel.
4. Navajo Agricultural Marketing Industry (NAMI). Rounding out the
major departments NAPI operates, NAMI's responsibility is to enhance
the market share of NAPI products and to look for opportunities to
introduce the ``Navajo Pride'' line of products into new markets both
domestically and overseas. These products include alfalfa, pinto beans,
potatoes, corn, grains, and specialty crops.
Through years of hard work and prudent use of our scarce resources,
NAPI has become a profitable, high-tech agribusiness that is
competitive in the American market and in the international
marketplace. NAPI has participated with the U.S. Department of
Agriculture in international trade shows to market our goods. NAPI also
has entered a rare bi-lateral agricultural purchasing agreement with
Cuba under which we ship commodities to the island in exchange for hard
currency.
In December 2008, the New Mexico Department of Agriculture
acknowledged and certified NAPI's agricultural practices and in
particular those related to food safety in the field, in growing the
crops, and in harvesting. The State's certification also brings with it
a coveted spot on the preferred vendor list for consumers in New Mexico
and elsewhere. Representative customers of ``Navajo Pride'' products
include Del Monte, Wal-Mart, Basha's, Frito Lay, American Italian Pasta
Company, and many other.
Opportunities for Economic Growth and Jobs
NAPI currently operates 70,000 acres under cultivation--many with
trademarked Navajo Pride brand agricultural products. In addition, NAPI
offers beneficial leasing opportunities for other agricultural
producers and currently has lease contracts with Navajo Mesa Farms,
Pumpkin Patch Fundraisers, and others. There are also significant
processing plant opportunities including an industrial park, which is
divided into five to ten acre parcels. NAPI now operates a popcorn
facility and a bean plant that packages and ships dry, edible pinto
beans. NAPI also operates a potato cleaning facility that operates
nearly around the clock and ships NAPI-grown potatoes across the
country.
To bring value-added to the potato operation, NAPI is laying the
groundwork for the construction and operation of a potato processor and
french-fry plant to serve restaurants, retailers, and wholesalers in
the region and across the country. Other potential opportunities from
these business sites would include russet and chipper potatoes, carrot
products and cold-packing vegetables and lettuce. NAPI lands are also
leased to sheep and cattle owners for both winter grazing and summer
pasture and we believe these activities can be expanded significantly
in the years to come.
Irrigation Infrastructure Rehabilitation
As with any commercial enterprise, NAPI faces numerous challenges
in its desire to increase revenues and create jobs in the Farmington
area. High energy costs, lagging consumer demand, and lack of credit
are all contributing to slower growth and profitability for NAPI. The
most immediate challenge, however, is one that can be overcome with the
stroke of a pen by Secretary Salazar. Some history is in order before
discussing this issue.
Congress first authorized construction of the Navajo Indian
Irrigation Project (NIIP) in 1962 with 1976 seen as the date of
completion of the project. The NIIP legislation implemented an
agreement negotiated among the Navajo Nation, the State of New Mexico,
and the United States under which the United States committed to
construct and maintain an 110,630-acre farm on roughly the same time
frame as the San Juan-Chama Diversion Project (``Diversion Project'').
The Diversion Project was completed on-schedule and now serves the
population of the Rio Grande Valley yet the NIIP languishes for lack of
Federal funding and the commitment of the Interior Department to
fulfill the obligations it assumed decades earlier.
NAPI is the instrumentality charged with operating a commercial
farm on NIIP lands. Forty-seven years after enactment, the NIIP is only
70 percent complete. For the past 8 years, Federal funding for both
construction and maintenance of the NIIP has not been forthcoming. This
lack of Federal funding risks the integrity of NAPI's irrigation
infrastructure as well as the viability of NAPI's operations for years
into the future.
Five months ago, NAPI and the Navajo Nation reached consensus that,
as a one-time matter, $7.3 million in Federal construction funding
already appropriated for NIIP in Fiscal Year 2008 should be re-
programmed to enable NAPI to rehabilitate the center pivots that are so
crucial to its operations.
In addition, the Bureau of Indian Affairs--Navajo Regional Office
agrees with the urgency of the irrigation infrastructure situation as
well as the proposed re-programming of funding to rectify this
situation. I can assure the Committee that the Appropriations
Committees in both the House and Senate as well as the New Mexico
delegation have been apprised of the re-programming and have indicated
their willingness to support it.
Conclusion
I thank the Chairman for the opportunity to discuss these matters
and would be happy to answer any question you might have at this time.
______
Response to Written Questions Submitted by Hon. Byron L. Dorgan to
Hon. Ken Salazar
[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]
Response to Written Questions Submitted by Hon. Tom Coburn, M.D. to
Hon. Ken Salazar
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Response to Written Questions Submitted by Hon. Maria Cantwell to
Hon. Ken Salazar
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Response to Written Questions Submitted by Hon. John McCain to
Hon. Ken Salazar
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Response to Written Questions Submitted by Hon. Jon Tester to
Hon. Ken Salazar
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