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 TABLF OF CONTENTS

Committee on Interior and

Ilsular Affairs

United States Senate August 17, 1954

Bills submitted to the Comumittee to be inserted in tho Record

No R. 223c --- Page-- 2

--- 000--
Kuzniar
CL
EXECUTIVE SESSION CONFIDENTIAL

H. R. 2233

e . a

TO PROVIDE FOR THE ACQUISITION OF LANDS BY THE UNITED

STATES REQUIRED FOR THE RESERVOIR CREATED BY THE CONSTRUCTION

OF OAHE DAM ON THE MISSOURI RIVER AND FOR REHABILITATION OF

THE INDIANS OF THE CHEYENNE RIVER SIOUX RESERVATION, SOUTH

DAKOTA, AND FOR OTHER PURPOSES.

TUESDAY, AUGUST 17, 1954

United States Senate,

Committee on Interior and Insular

Affairs,

Washington, D. C.

The committee met at 5:15 p. m. pursuant to call, in

Room P-38, the Capitol, Arthur V. Watkins (presiding).

Present; Senators Watkins, Malone, Dworshak, Barrett

Crippa, Murray, Long and Jackson.

Present also: Kirkley S. Coulter, Chief Clerk; Stewart

French, Staff Member; and N. ". MoSherry, Assistant Chief

Clerk; John Jex, Office of Senator Watkins.

Senator Watkins (presiding)' The committee will please

come to order.

We have at this time H. R. 2233, a bill to provide for

the acquisition of lands by the United States required for

Oahe Dam on the
the reservoir created by tho construction of

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 2

Missouri River and for rehabilitation of the Indians of the

Cheyenne River Sioux Reservation, South Dakota, and for other

purposes.

The bill will be inserted in the record at this point.

(H. R. 2233 is as follows:)

_ . ... I . . .. . . .. . l __ r
 Senator Watkins. The Sioux Indians on the Cheyenne

Indian Reservation, South Dakota, their property will be

flooded when they finish the dam on the river at the point

where the reservation is located.

This bill is to settle their damages and give them some

rehabilitation money so they can be moved. It was sent back

here by virtue of previous law that went into effect some

time ago in the 81st Congress setting up machinery for them

to get an appraisement and an agreement with the Army Engineers

who are building this project, but they did not get that so

they reported back to the Congress.

We have had various types and kinds of appraisements.

The Indiano want a lot more money than the bill I ant willing to

recommend carries, I do not know, Senator Case is one who has

been backing this and Congressman Berry of South Dakota, in

the House, Chairman of the Indian Committee, it is in his

District. I might say that Senator Mundt is also interested

in it.

What I am willing to recommend is that as far as I am

concerned, we have had hearings on it, we have a hearing re-

cord; the full damages for the taking, full compensation, is

for $5,384,000.14 and that is worked out in connection with

their various claims and appraisals. It is higher than either

the Army Engineers' appraisal or the MRB, which is the Missouri

River Board appraisals, sot up by the Department of the In-

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 4
terror. It is higher than that but it is considerably lower

than the Indians think they ought to have. This takes care

of severance damage, it takes care of all the elements of

value in the property. I wanted it in one lump rather than

to take the direct benefits and then the indirect benefits,

because the Army said the indirect benefits they were claiming

were actually duplication and instead of paying for the com-

penaution that they were entitled to, they were doubling it

up. In addition, they should have some money because they

are in pretty bad condition and that would be used for rehab-

ilitation purposes.

I thought we would follow somewhat the same schedule

we followed on the Navajos.

Senator Barrett. The House bill was $12,000,000, Mr.

Chairman?

Senator Watkins. Almost $13,000,000 altogether. Our

figures come to $10,600,000.

Mr. Jex. The thing we did not include in there was a

reimbursement, which provides for travel expenses and so

forth, of $100,000, and also in the figure that we had we

did not include the $600,000 for Forestry.

Senator Barrett. How many acres are involved?

Senator Watkins. 10000 acres and a lot of it is bottom-

land in the bottom of the Cheyenne River and a lot of bench

land. Bench land has depreciated in value by taking away the

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 winter location for their homes down on the River. It is

more money than actually I think they w<uld get if they vent

into court but at the same time, considring everything, I

think it is a fair settlement. I thini: it is a fairly liberal

settlement, as a matter of fact.

Senator Murray. Are they satisfied with it?

Senator Watkins. I do not think they areever satisfied.

They came in for $19,000,000.

Mr. Jex. They originally asked for $23,000,000.

Senator Wakins. Senator Crippa, I might say that this

will not rehabilitate them. These people need money, just as

the Navajos did. I believe it figures out to so much per

capital.

Mr. Jex. On the basis of the Navajos, $1,200 per capita,

which gives them $5,160,000 for rehabilitation over ten years.

Senator Barrett. Do we give the $1,940,000 for the

acreage?

Senator Watkins. It figures out for the severance and all

the indirect, we put it in one item, and that us the value of

land, $5,354,000.

Mr. Jax. There is this item in it, Senator Barrett.

The Bureau testified that it would cost $1,414,000 to put

these Indians in the same circumstances,up on the plateau

land,that they are now in in the bottom lands. That is the

because
only way we could figure severance in this instance,

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 6
the natural cover that the bottomland affords, you cou.2. not

get them in, so you had to figure sheds to protect the cattle,

and then the veils.

Senator Watkins. Thjy claim $5,000,000 for Indirect

benefits, as I recall.

Mr. Jex. They said that severance alone ws $4,000,000-

some odd hundred thousand.

Senator Barrett. I do not know that it makes too much

difference; we have this rehabilitation matter anyway, and we

would probably be giving them some help regardless of this.

Senator Watkins. Personally, I do not like this way of

settling damages on reclamation projects or flood control

projects.

Senator Murray. There are special circumstances here,

however. The Indians, as you say, are in need of rehabilita-

tion.

Senator Watkilz:. Yes, and I put it under that heading,

because, if you do not, then some Whites might be in a position

to say, "Look what you have given those Indians." In other

words, you might set a dangerous precedent.

Senator Barrett. I move that the bill, as amended, be

reported favorably to the Senate of the United States.

Senator Watkins. Is there any objection to reporting

the bill?

We have Senators Cordon, Watkins, Barrett, Crippa, Malone,

;I~arsra~am~8~lrraerr~lrrrru~nailarrr~
 7
Murray Dworshak, Jackson and Long. We have nine.

That is the order, and it will be reported.

(Whereupon, at 5:30 o'clock p. m. the committee re-

cessed, subject to the call of the chair.)