59–010 

Calendar No. 364 

114TH CONGRESS REPORT " ! SENATE 2d Session 114–207 

TO PROVIDE FOR INDIAN TRUST ASSET MANAGEMENT 

REFORM, AND FOR OTHER PURPOSES 

FEBRUARY 8, 2016.—Ordered to be printed 

Mr. BARRASSO, from the Senate Committee on Indian Affairs, 

submitted the following 

R E P O R T 

[To accompany S. 383] 

The Senate Committee on Indian Affairs, to which was referred 

the bill (S. 383) to provide for Indian trust asset management reform, and for other purposes, having considered the same, reports 

favorably thereon with an amendment (in the nature of a substitute) and recommends that the bill, as amended, do pass. 

PURPOSE

The purpose of S. 383, as amended, is to reaffirm the Federal 

government’s fiduciary trust responsibilities to Indian tribes. S. 

383, as amended, will establish a demonstration project to give Indian tribes, on a voluntary basis, the opportunity to manage their 

trust assets. These Indian trust assets are currently held in trust 

and managed by the Federal government. This bill will also authorize the Secretary of the Department of the Interior to transition the 

functions of the Office of the Special Trustee for American Indians 

to one or more appropriate agencies, offices, or bureaus within the 

Department of the Interior. 

BACKGROUND

There exists a Federal trust responsibility through treaties, statutes, and historical relations, to protect and support Indian tribes 

and individual Indians. The United States holds in trust over 55 

million surface acres and 57 million acres of subsurface minerals 


smartinez on DSK4TPTVN1PROD with REPORTS-SEN
2 

1 U.S. Department of the Interior, Office of the Special Trustee for American Indians, About 

OST, Statistics and Facts, available at http://www.doi.gov/ost/about_us/statistics-and-facts.cfm. 2 Id. 

3 Id. 

4General Allotment (Dawes) Act, Act of Feb. 8, 1887, ch. 119, 24 Stat. 388 (codified as 25 

U.S.C. § 331 (1887)) (repealed 1934). 5See generally, U.S. Department of the Interior, Office of the Special Trustee for American 

Indians, About OST, available at http://www.doi.gov/ost/about_us/index.cfm. 6 Id. 

7 American Indian Trust Fund Reform Act of 1994, Pub. L. No. 103–412, 108 Stat. 4239, 25 

U.S.C. 4001 et seq. (1994). 8 Carol Hardy Vincent et al., Interior, Environment, and Related Agencies: FY 2007 Appropriations, Congressional Research Service, Mar. 7, 2007 (RL33399). 9See, U.S. Department of the Interior, Office of the Special Trustee for American Indians, 

About OST, available at http://doi.gov/ost/about_us/index.cfm. 10See, e.g., U.S. Senate Committee on Indian Affairs, Hearing on Backlogs at the Department 

of the Interior: Land into Trust Acquisitions; Environmental Impact Statements; Probate; Appraisals and Lease Approvals Before the S. Comm. on Indian Affairs, 110th Cong. (2007); Senate 

Committee on Indian Affairs, Hearing on Where’s the Trustee? U.S. Department of the Interior 

Backlogs Prevents Tribes From Using Their Lands Before the S. Comm. on Indian Affairs, 111th 

Cong. (2009). 11 Id. 

for American Indians and Alaska Natives.1 The Department of the 

Interior (DOI or Department) manages more than 124,300 leases 

and approximately $4.9 billion in trust funds for Indian tribes 

through the Office of the Special Trustee for American Indians.2

According to the Department, there is nothing comparable to this 

in the commercial trust sector.3

Creation of the Office of the Special Trustee for American Indians 

The Indian trust was developed from a series of Congressional 

actions, beginning with the General Allotment Act of 1887 (Dawes 

Act).4 Due to policy changes related to the Indian trust, significant 

confusion developed over time. The American Indian Trust Fund 

Management Reform Act of 1994 (1994 Act) was enacted in an attempt to address the confusion.5 While the 1994 Act did provide 

some clarity, ‘‘issues of whether the Indian trust is governed by the 

Administrative Procedures Act or by the common law of trusts’’ 

continue to be litigated, and Indian trust issues still remain unresolved.6

The 1994 Act created the Office of the Special Trustee for American Indians (OST) within the Department, and was the first major 

step taken by Congress to reform the Federal government’s management of Indian trust funds.7 Under the 1994 Act, ‘‘[t]he OST 

generally oversees the reform of the [DOI] management of Indian 

trust assets, the direct management of Indian trust funds, establishment of an adequate trust fund management system, and support of [D]epartment claims settlement activities related to the 

trust funds.’’ 8 The OST was intended to improve the accountability 

and management of Indian trust funds and Individual Indian 

Money (IIM) accounts held in trust by the Federal government.9

Reforming the management of Indian trust assets 

In past Congressional hearings, the issue of whether the OST 

has failed in its efforts to oversee the implementation of Indian 

trust asset management reforms has been raised.10 There is concern that there is insufficient oversight over the OST and that, contrary to Congressional intent, the OST’s involvement may have 

caused greater confusion, burdens, and delays in the processing of 

trust asset transactions for Indian tribes.11


smartinez on DSK4TPTVN1PROD with REPORTS-SEN
3 

12 Id. 13See, The Office of the Special Trustee Has Implemented Several Key Trust Reforms Required 

by the 1994 Act, but Important Decisions about its Future Remain, Government Accountability 

Office, GAO–07–104 (Dec. 2006). 14 Id. 15See, U.S. Department of the Interior, Bureau of Indian Affairs, Who We Are, available at 

http://bia/gov/WhoWeAre/BIA/OTS. 16The six divisions are: Real Estate Services, Land Titles and Records, Probate, Natural Resources, Forestry and Wildland Fire Management, and Water and Power. 17See, e.g., House Committee on Natural Resources, Subcommittee on Indian, Insular, and 

Alaska Native Affairs, Legislative Hearing on H.R. 329, H.R. 521, H.R. 812, 114th Cong. (2015). 

Another concern has also been raised that the OST has outlived 

its statutory purpose and is performing functions outside the scope 

of its authority.12 When Congress established the OST, they acknowledged that the office would be temporary in order for the Department to reform its management system of Indian trust assets. 

The major reforms that the OST was tasked with were completed 

years ago.13 The Government Accountability Office (GAO) stated 

that the ‘‘OST estimates that almost all key reforms needed to develop an integrated trust management system and to provide improved trust services will be completed by November 2007.’’ 14

The Office of Trust Services—a separate office within the DOI 

under the Bureau of Indian Affairs—also has trust-related responsibilities to Indian tribes and individual Indians.15 There are six divisions within the Office of Trust Services that provide assistance 

to Indian trust owners. The Office of Trust Services oversees the 

management, development, and protection of trust and restricted 

lands, natural resources, and real estate services for Indian 

tribes.16 There is concern that functions of the Office of Trust Services overlap with those of the OST, creating confusion and unnecessary redundancies within the Department.17 The OST manages Indian trust funds while the Office of Trust Services manages Indian 

trust land and non-monetary trust resources. Although both offices 

are within the Department, there is little to no communication or 

coordination between the OST and the Office of Trust Services. 

NEED FOR LEGISLATION

The Federal government has mismanaged Indian trust assets 

continually over the last 40 years. This bill, S. 383, as amended, 

would streamline the Federal government’s role in the management of Indian trust assets to allow for Indian tribes to have greater involvement. Indian tribes would become more self-determining 

in the handling of their trust assets and continue to strengthen 

tribal sovereignty. The OST was not meant to be a permanent office. Directing the Secretary to submit a report to Congress that includes a transition plan will inform Congress to decide whether the 

functions of the OST should be transitioned to other agencies or 

bureaus within the Department, and will reduce costs, redundancy, 

and bureaucracy once the OST is reformed. 

LEGISLATIVE HISTORY

114th Congress 

S. 383 was introduced on February 5, 2015, by Senator Mike 

Crapo (R–ID), along with Senator James Risch (R–ID) as an original cosponsor. Senator Patty Murray (D–WA) was added as a cosponsor on January 20, 2016. The bill was referred to the Senate 


smartinez on DSK4TPTVN1PROD with REPORTS-SEN
4 

Committee on Indian Affairs (Committee). The Committee held an 

oversight hearing, ‘‘A Path Forward: Trust Modernization and Reform for Indian Lands,’’ where the substance of S. 383 was discussed. On July 29, 2015, the Committee met at a business meeting to consider the bill. One amendment was offered and adopted, 

and the bill, as amended, was ordered to be favorably reported to 

the Senate by voice vote. 

The House companion bill, H.R. 812, the Indian Trust Asset Reform Act was introduced by Representative Michael K. Simpson 

(R–ID) on February 9, 2015. The original cosponsors are Representatives Tom Cole (R–OK) and Denny Heck (D–WA). Representatives 

Suzan K. DelBene (D–WA), Paul A. Gosar (R–AZ), Walter B. Jones, 

Jr. (R–NC), Derek Kilmer (D–WA), Raul R. Labrador (R–ID), Cathy 

McMorris Rodgers (R–WA), Mark Pocan (D–WI), and David G. 

Reichert (R–WA) were added as cosponsors. The bill was referred 

to the House Subcommittee on Indian, Insular and Alaska Native 

Affairs (Subcommittee). On April 14, 2015, the Subcommittee held 

a hearing on the bill. The House Committee on Natural Resources 

met at a business meeting to consider H.R. 812 on February 3, 

2016. One amendment in the nature of a substitute was offered 

and adopted, and the bill, as amended, was ordered to be favorably 

reported to the House by unanimous consent. 

Previous Congresses 

Since the 107th Congress, there have been numerous bills concerning Indian trust asset reform and management introduced in 

the Senate and the House of Representatives beginning with S. 

2212, the Indian Trust Asset and Trust Fund Management and Reform Act of 2002. S. 2212 was introduced by Senator John McCain 

(R–AZ), along with Senators Thomas S. Daschle (D–SD) and Tim 

Johnson (D–SD) as cosponsors. The bill was referred to the Committee where a hearing was held on the bill. No further action was 

taken on S. 2212. 

In the 108th Congress, Senator John McCain (R–AZ), along with 

Senators Thomas A. Daschle (D–SD) and Tim Johnson (D–SD) introduced S. 175, the Indian Trust Asset and Trust Fund Management and Reform Act of 2003. The bill was referred to the Committee but no further action took place. During the same Congress, 

Senator John McCain (R–AZ), along with Senators Thomas A. 

Daschle (D–SD), Daniel K. Inouye (D–HI), and Tim Johnson (D– 

SD), introduced S. 1459, the American Indian Trust Fund Management Reform Act Amendments Act of 2003. The bill was referred to 

the Committee but no further action took place. The House companion bill was H.R. 2981, the American Indian Trust Fund Management Reform Act Amendments Act of 2003, introduced by Representative Mark Udall (D–CO) and original cosponsor Representative Nick J. Rahall, II (D–WV). H.R. 2981 was referred to the 

House Committee on Natural Resources where no further action 

was taken. 

The Indian Trust Reform Act of 2005, S. 1439, was introduced by 

Senator John McCain (R–AZ) with Senator Byron L. Dorgan (D– 

ND) as an original cosponsor in the 109th Congress. The bill was 

referred to the Committee on Indian Affairs where three hearings 

were held on the bill. No further action was taken on S. 1439. The 

House companion bill was H.R 4322, introduced by Representative 


smartinez on DSK4TPTVN1PROD with REPORTS-SEN
5 

18 Elouise Cobell, et al. v. Ken Lee Salazar, et al., 573 F.3d 808 (2009); 387 U.S. App. D.C. 

339 (2009). 19FAQs, Indian Trust Settlement (2015), available at http://www.indiantrust.com/faq. 

Richard W. Pombo (R–CA), with Representative Nick J. Rahall, II 

(D–WV) as an original cosponsor. The bill was referred to the 

House Committee on Resources where no further action was taken 

on the bill. 

In the 111th Congress, H.R. 4783, the Claims Resolution Act of 

2010, was enacted and became Public Law 111–291. One of the 

purposes of H.R. 4783 was to settle the 14 year class action lawsuit, Elouise Cobell et al. v. Ken Salazar et al.,18 by resolving 

claims that the Federal government violated its trust duties to individual Indian trust beneficiaries. ‘‘The IIM [(Individual Indian 

Money)] accounts primarily contain money collected by the 

[F]ederal government from farming and grazing leases, timber 

sales, mining, oil and gas production, and other activities on trust 

land, as well as certain per capita distributions. The funds in IIM 

accounts are held in trust by the [F]ederal government for the benefit of individual Indians.’’ 19

During the 112th Congress, Senator Mike Crapo (R–ID), along 

with Senator James E. Risch (R–ID), introduced S. 3679, the Indian Trust Asset Reform Act. The bill was referred to the Committee where no further action was taken. The House companion 

bill was H.R. 6617, the Indian Trust Asset Reform Act, introduced 

by Representative Michael K. Simpson (R–ID). H.R. 6617 was referred to the House Subcommittee on Indian and Alaska Native Affairs where no further action was taken. These bills, and subsequent related legislation, were based on two titles of S. 1439/H.R. 

4322 as introduced in the 109th Congress: the Indian Trust Asset 

Demonstration Project and the restructuring of the Office of the 

Special Trustee for American Indians. Both are incorporated in S. 

383 (114th). 

Senators Mike Crapo (R–ID) and James E. Risch (R–ID) introduced S. 165, the Indian Trust Asset Reform Act, in the 113th Congress. The bill was referred to the Committee and the Committee 

held an oversight hearing, ‘‘Improving the Trust System: Continuing Oversight of the Department of the Interior’s Buy-Back 

Program,’’ where testimony was heard on S. 165. The Committee 

took no further action on S. 165. The House companion bill, H.R. 

409, the Indian Trust Asset Reform Act was introduced by Representative Michael K. Simpson (R–ID), with Representatives Tom 

Cole (R–OK) and Raul R. Labrador (R–ID) as cosponsors. H.R. 409 

was referred to the House Subcommittee on Indian and Alaska Native Affairs where a hearing was held on the bill but no further action was taken. 

SUMMARY OF SUBSTITUTE AMENDMENT

At a Committee business meeting held on July 8, 2015, Senator 

Crapo (R–ID) offered an amendment in the nature of a substitute. 

The amendment was agreed to. 

In addition to technical corrections, the substitute amendment 

clarifies and amends the Findings and Definitions sections, and the 

Titles of the Act. Section 204, Indian Trust Asset Management 

Plan (Plan), is amended to expand what functions or activities perVerDate Sep 11 2014 06:25 Feb 09, 2016 Jkt 059010 PO 00000 Frm 00005 Fmt 6659 Sfmt 6602 E:\HR\OC\SR207.XXX SR207

smartinez on DSK4TPTVN1PROD with REPORTS-SEN
6 

20 Helping Expedite and Advance Responsible Tribal Home Ownership Act of 2012 (HEARTH 

ACT), Pub. L. No. 112–151 (2012). 

formed by an Indian tribe can be included in the contents of the 

Plan. 

The substitute amendment removes the Standards and Trust Responsibility provisions from the Applicable Laws in section 204(c) 

and incorporates the removed subsection into sections 205 and 206. 

Section 204(e), Approval of Certain Agreements by Indian Tribe, 

shifted to its own section in the substitute amendment, section 205, 

Forest Land Management and Surface Leasing Activities. Trust 

Responsibility in section 205(g) was amended to state the United 

States is not liable for losses sustained by an Indian tribe as a result of executing a forest land management activity, or by any 

party to a lease, both pursuant to tribal regulations under section 

205(b). 

In section 206, Effect of Title, an additional subsection (c) is 

added to further clarify the future liability of the Federal government for losses resulting from an Indian tribe directing that a 

transaction or activity be terminated, or managed by a lesser 

standard than the Federal standards in a Plan. 

S. 383, as amended, authorizes the contracting and compacting 

of trust asset management for Indian tribes under the Indian SelfDetermination and Education Assistance Act (ISDEAA) (25 U.S.C. 

450 et seq.). To further clarify, the ISDEAA or its related regulations shall not be affected by this Act. 

In section 206(e), Separate Approval, clarifies that an Indian 

tribe may submit tribal regulations that provide for the HEARTH 

Act 20 treatment of forest management activities for review and approval without needing to submit in a Plan. 

As amended, a new Section 304(c) is added to clarify that the 

transition plan and report required by Section 304 does not, by 

itself, cause the termination of OST. Additional revisions are made 

to sections 301, 305, and 306 for clarity and consistency. 

SECTION-BY-SECTION ANALYSIS OF S. 383, AS ORDERED REPORTED

Section 1—Short title; Table of contents 

This section states that the Act may be cited as the ‘‘Indian 

Trust Asset Reform Act.’’ 

TITLE I—RECOGNITION OF TRUST RESPONSIBILITY

Section 101. Findings 

This section sets forth the findings of Congress that— 

There exists a unique relationship between the Federal government and the governments of Indian tribes; 

There exists a unique Federal responsibility to Indians; 

Through treaties, statutes, and historical relations with Indian 

tribes, the United States has undertaken a unique trust responsibility to protect and support Indian tribes and Indians; 

The Fiduciary responsibilities of the United States to Indians 

also are founded in part on specific commitments made through 

written treaties and agreements securing peace, in exchange for 

which Indians have surrendered claims to vast tracts of land, 


smartinez on DSK4TPTVN1PROD with REPORTS-SEN
7 

which provided legal considerations for permanent, ongoing performance of Federal trust duties; and 

The foregoing historic Federal-Tribal relations and understandings have benefitted the people of the United States as a 

whole for centuries and have established enduring and enforceable 

Federal obligations to which the national honor has been committed. 

Section 102. Reaffirmation of policy 

This section reaffirms the fiduciary responsibilities of the United 

States to Indian tribes, including a duty to promote tribal self-determination regarding governmental authority and economic development. 

TITLE II—INDIAN TRUST ASSET MANAGEMENT DEMONSTRATION

PROJECT

Section 201. Short title 

This section states that this title may be cited as the ‘‘Indian 

Trust Asset Management Demonstration Project Act of 2015.’’ 

Section 202. Definitions 

This section sets forth definitions— 

‘‘Indian tribe’’ has the meaning given the term in the Indian Self 

Determination and Education Assistance Act (25 U.S.C. 450b); 

‘‘Project’’ means the Indian trust asset demonstration project established under section 203(a); and 

‘‘Secretary’’ means the Secretary of the Interior. 

Section 203. Establishment of demonstration project; Selection of 

participating Indian tribes 

Section 203(a) states that the Secretary shall establish and carry 

out the Indian trust asset management demonstration project, in 

accordance with this title. 

Section 203(b) provides that an Indian tribe shall be eligible to 

participate in the Project if the Indian tribe submits to the Secretary an application under subsection (c); and if the Secretary approves the application of the Indian tribe. This section also provides notice requirements for the Secretary to provide each approved Indian tribe to participate in the Project. 

Section 203(c) provides the application content requirements for 

the Secretary to consider an Indian tribe’s application to be eligible 

to participate in the Project. 

Section 203(d) provides that the Project shall be in effect for 10 

years after the date of enactment of this Act; and may be extended 

at the discretion of the Secretary. 

Section 204. Indian trust asset management plan 

Section 204(a) provides the proposed Indian trust asset management plan requirements for an Indian tribe to follow once they receive a notice from the Secretary under section 203(b)(2). This subsection also provides the content requirements and provisions that 

must be included in the proposed Indian trust asset management 

plan. On receipt of a written request from the Indian tribe, the Secretary shall provide to the Indian tribe any technical assistance 


smartinez on DSK4TPTVN1PROD with REPORTS-SEN
8 

and information, including budgetary information, that the Indian 

tribe determines to be necessary for preparation of a proposed plan. 

Section 204(b) sets forth that not later than 120 days after the 

date on which an Indian tribe submits a proposed Indian trust 

asset management plan under subsection (a), the Secretary shall 

approve or disapprove the proposed plan. This subsection also describes the requirements for disapproval of a proposed plan submitted by an Indian tribe. The Secretary shall provide written notice to an Indian tribe if their proposed plan is disapproved. The 

Indian tribe may resubmit an amended plan not later than 90 days 

after the date on which the Indian tribe receives the written notice 

of disapproval. If the Secretary fails to approve or disapprove a proposed plan in accordance with paragraph (1), the plan shall be considered to be approved. An Indian tribe may seek judicial review 

of a determination of the Secretary, in accordance with the Administrative Procedure Act, if the Secretary disapproves the proposed 

plan of an Indian tribe; and the Indian tribe has exhausted all administrative remedies. 

Section 204(c) states that subject to section 205, an Indian trust 

asset management plan, and any activity carried out under the 

plan, shall not be approved unless the proposed plan is consistent 

with any treaties, statutes, and Executive Orders that are applicable to trust assets, or the management of the trust assets, identified in the plan. 

Section 204(d) provides an Indian tribe the requirements to follow if they want to terminate an approved Indian trust asset management plan. This subsection also sets forth the effective date for 

when the terminated plan takes effect. 

Section 205. Forest land management and surface leasing activities 

Section 205(a) sets forth definitions— 

‘‘Forest Land Management Activity’’ means any activity described in section 304(4) of the National Indian Forest Resources 

Management Act (25 U.S.C. 3103(4)). 

‘‘Interested Party’’ means an Indian or non-Indian individual, entity, or government the interests of which could be adversely affected by a tribal trust leasing decision made by an applicable Indian tribe. 

‘‘Surface Leasing Transaction’’ means a residential, business, agricultural, or wind or solar resource lease of land the title to which 

is held—in trust by the United States for the benefit of an Indian 

tribe; or in fee by an Indian tribe, subject to restrictions against 

alienation under Federal law. 

Section 205(b) states that the Secretary may approve an Indian 

trust asset management plan that includes a provision authorizing 

the Indian tribe to enter into, approve, and carry out a surface 

leasing transaction or forest land management activity without approval of the Secretary, regardless of whether the surface leasing 

transaction or forest land management activity would require such 

an approval under otherwise applicable law (including regulations), 

if certain conditions are met. 

Section 205(c) provides for which types of transactions an Indian 

tribe can authorize to carry out. This subsection also allows for an 

Indian tribe to be able to select which transactions and activities 

are authorized to be carried out by the Indian tribe. 


smartinez on DSK4TPTVN1PROD with REPORTS-SEN
9 

Section 205(d) allows for an Indian tribe to request technical assistance from the Secretary for development of a regulatory environmental review process required under subsection (b)(2)(B)(ii) of 

this section. This subsection also provides technical assistance by 

the Secretary to an Indian tribe through contracts, grants, or 

agreements entered into in accordance with, and made available to 

entities eligible for, contracts, grants, or agreements under the Indian Self-Determination and Education Assistance Act (25 U.S.C. 

450 et seq.). 

Section 205(e) states that an Indian tribe shall have the authority to rely on the Federal environmental review process, rather 

than any Tribal environmental review process, if an Indian tribe 

carries out a project or activity funded by a Federal agency. 

Section 205(f) provides for documentation requirements Indian 

tribes must follow if they execute a surface leasing transaction or 

forest land management activity. 

Section 205(g) states that the United States shall not be liable 

for losses sustained by an Indian tribe as a result of the execution 

of any forest land management activity pursuant to tribal regulations under subsection (b) of this section, or by any party to a lease 

executed pursuant to tribal regulations under subsection (b) of this 

section. This subsection allows for the Secretary to fulfill the trust 

obligation of the United States to Indian tribes by enforcing the 

provisions of, or canceling, any lease executed by the Indian tribe 

under this section. 

Section 205(h) provides an interested party, after exhausting any 

available tribal remedies, the option to submit a petition to the 

Secretary to determine whether an Indian tribe is complying with 

their tribal regulations. If the Secretary determines a violation has 

occurred, the Secretary may take any action determined to be necessary to remedy the violation, including rescinding the approval of 

the tribal regulations and reassuming Federal responsibility for the 

approval of leases of tribal trust land. Documentation of the violation of tribal regulations will be necessary and the Secretary shall 

issue a written determination of the violation; provide written notice to the violating Indian tribe; and prior to the exercise of any 

remedy, the rescission of the approval of the regulation involved, 

or the reassumption of the trust asset transaction approval responsibilities, provide the Indian tribe a hearing on the record and a 

reasonable opportunity to cure the alleged violation. 

Section 206. Effect of title 

Section 206(a) states that subject to section 205 and this section, 

nothing in this title or an approved Indian trust asset management 

plan shall independently diminish, increase, create, or otherwise 

affect the liability of the United States or an Indian tribe participating in the Project for any loss resulting from the management 

of an Indian trust asset under an Indian trust asset management 

plan. 

Section 206(b) sets forth the United States shall not be liable to 

any party (including any Indian tribe) for any term of, or any loss 

resulting from the terms of, an Indian trust asset management 

plan that provides for management of a trust asset at a less stringent standard than the Secretary would otherwise require or adhere to in absence of an Indian trust asset management plan. 


smartinez on DSK4TPTVN1PROD with REPORTS-SEN
10 

Section 206(c) states that subsection (b) applies to losses resulting from a transaction or activity described in that subsection even 

if the Indian trust asset management plan is terminated under section 204(d) or rescinded under section 205(h). 

Section 206(d) provides that nothing in this title amends or otherwise affects the application of any treaty, statute, regulation, or 

Executive Order that is applicable to Indian trust assets or the 

management or administration of Indian trust assets, except as 

provided in subsection (e) and sections 204 and 205. This subsection also provides that nothing in this title limits or otherwise 

affects the authority of an Indian tribe, including one participating 

in the Project, to enter into and carry out a contract, compact, or 

other agreement under the Indian Self-Determination and Education Assistance Act (25 U.S.C. 450 et seq.) (including regulations). 

Section 206(e) provides that if an Indian tribe does not submit 

or intend to submit an Indian trust asset management plan, an Indian tribe may submit tribal regulations governing forest land 

management activities to the Secretary for review and approval. 

Section 206(f) states that nothing in this title enhances, diminishes, or otherwise affects the trust responsibility of the United 

States to Indian tribes or individual Indians. 

TITLE III—IMPROVING EFFICIENCY AND STREAMLINING PROCESSES

Section 301. Purpose 

Section 301 provides the purpose of Title III is to ensure a more 

efficient and streamlined administration of duties of the Secretary 

with respect to providing services and programs to Indian tribes 

and Indians, including the management of Indian trust resources. 

Section 302. Definitions 

Section 302 sets forth definitions— 

‘‘BIA’’ means the Bureau of Indian Affairs. 

‘‘Department’’ means the Department of the Interior. 

‘‘Secretary’’ means the Secretary of the Interior. 

‘‘Under Secretary’’ means the individual appointed to the position 

of Under Secretary for Indian Affairs established under section 

303(a). 

Section 303. Under Secretary for Indian Affairs 

Section 303(a) provides that the Secretary may establish in the 

Department the position of Under Secretary for Indian Affairs, who 

shall report directly to the Secretary. 

Section 303(b) sets forth that the President shall appoint the 

Under Secretary with the advice and consent of the Senate. This 

subsection also provides when this Act is enacted, the Secretary 

may assume the position of Under Secretary without appointment 

if the Secretary was appointed by the President, with the advice 

and consent of the Senate, and no later than 180 days after this 

Act is enacted, the Secretary approves the assumption of the position of Under Secretary. 

Section 303(c) provides the duties of the Under Secretary, as directed by the Secretary, shall be to coordinate with the Special 

Trustee for American Indians to ensure an orderly transition of the 


smartinez on DSK4TPTVN1PROD with REPORTS-SEN
11 

functions of the Special Trustee to the appropriate agencies, offices, 

or bureaus within the Department. This subsection also allows for 

the Under Secretary to provide regular consultation with Indian 

tribes and Indians that own interests in trust resources and trust 

fund accounts. 

Section 303(d) provides that the Under Secretary may appoint 

and fix the compensation for their personnel determined to be necessary in carrying out the functions transferred within this section. 

This subsection provides other personnel requirements of the officers or employees appointed by the Under Secretary. 

Section 304. Office of Special Trustee for American Indians 

Section 304(a) provides that no later than one year after enactment of this Act the Secretary shall prepare and, after consultation 

with Indian tribes and appropriate tribal organizations, submit a 

report to Congress. 

Section 304(b) states the Secretary, at the request of an Indian 

tribe or consortia of Indian tribes, shall include fiduciary trust offices in a contract, compact, or other agreement under the Indian 

Self-Determination and Education Assistance Act (25 U.S.C. 450 et 

seq.). 

Section 304(c) states that nothing in this section or the report 

terminates the Office of the Special Trustee; or affects the application of sections 302 and 303 of the American Indian Trust Fund 

Management Reform Act of 1994 (25 U.S.C. 4042, 4043). 

Section 305. Appraisals and valuations 

Section 305(a) provides that no later than 18 months after the 

enactment of this Act, the Secretary, in consultation with Indian 

tribes and tribal organizations, shall ensure that appraisals and 

valuations of Indian trust property are administered by a single 

bureau, agency, or other administrative entity within the Department. 

Section 305(b) provides that the Secretary shall establish and 

publish in the Federal Register the minimum qualifications for individuals to prepare appraisals and valuations of Indian trust property, no later than one year after enactment of this Act. 

Section 305(c) states that when an Indian tribe or Indian beneficiary submits to the Secretary an appraisal or valuation that satisfies the minimum qualifications described in subsection (b), and 

the submission acknowledges the intent of the Indian tribe or Indian beneficiary to have the appraisal or valuation considered 

under this subsection, the appraisal or valuation shall not require 

any additional review or Secretarial approval; and shall be considered final for purposes of effectuating the transaction for which the 

appraisal or valuation is required. 

Section 306. Cost savings 

Section 306(a) provides that for any program, function, service, 

or activity of the Office of Special Trustee that will not be operated 

or carried out after the date of enactment of this Act as a result 

of a transfer of functions and personnel, the Secretary shall identify the amounts the Secretary would have expended to carry out 

the program, function, service, and activity; and provide to the 

Tribal/Interior Budget Council a list that describes the programs, 


smartinez on DSK4TPTVN1PROD with REPORTS-SEN
12 

functions, services, and activities identified in paragraph (1); and 

the amounts associated with each program, function, service, and 

activity. 

Section 306(b) states that not later than 90 days after the date 

of receipt of a list under subsection (a)(2), the tribal representatives 

of the Tribal/Interior Budget Council and the representatives of 

any other appropriate entities that advise the Secretary on Indian 

budget or funding issues may provide recommendations to the Secretary, the Office of Management and Budget, and four Committees 

in the House of Representatives and Senate. 

COST AND BUDGETARY CONSIDERATIONS

The following cost estimate, as provided by the Congressional 

Budget Office, dated January 29, 2016, was prepared for S. 383: 

JANUARY 29, 2016. 

Hon. JOHN BARRASSO, 

Chairman, Committee on Indian Affairs, 

U.S. Senate, Washington, DC. 

DEAR MR. CHAIRMAN: The Congressional Budget Office has prepared the enclosed cost estimate for S. 383, the Indian Trust Asset 

Reform Act. 

If you wish further details on this estimate, we will be pleased 

to provide them. The CBO staff contact is Megan Carroll. 

Sincerely, 

KEITH HALL. 

Enclosure. 

Under current law, the Department of the Interior (DOI) is responsible for managing financial assets held in trust by the federal 

government for the benefit of Indian tribes. S. 383 would amend 

current law to give tribes more authority to manage their own assets. The bill also would expand tribes’ authority to enter into 

leases for certain services and activities on tribal land—particularly related to management of tribally owned natural resources— 

without DOI’s approval. 

CBO does not expect that implementing S. 383 would affect the 

federal government’s overall costs to provide services and other assistance to tribes. Under current law, some of those costs are incurred directly by DOI; in other cases, the department provides financial support for tribes to perform such work. In the latter case, 

DOI typically retains a role in approving and overseeing contracts 

and other agreements entered into by the tribe for such activities. 

Under the bill, to the extent that tribes shift toward hiring nonfederal contractors to manage financial assets, DOI might face increased costs to review and approve such contracts. At the same 

time, CBO expects that expanding tribes’ authority to use certain 

leases to procure services related to natural resources owned by the 

tribe would reduce the department’s administrative workload. 

Taken as a whole, CBO estimates that any net change in federal 

costs—which would be subject to appropriation—would be insignificant in any given year. 

Because enacting S. 383 would not affect direct spending or revenues, pay-as-you-go procedures do not apply. CBO estimates that 

enacting S. 383 would not increase net direct spending or on-budgVerDate Sep 11 2014 06:25 Feb 09, 2016 Jkt 059010 PO 00000 Frm 00012 Fmt 6659 Sfmt 6602 E:\HR\OC\SR207.XXX SR207

smartinez on DSK4TPTVN1PROD with REPORTS-SEN
13 

et deficits in any of the four consecutive 10-year periods beginning 

in 2026. 

S. 383 contains no intergovernmental or private-sector mandates 

as defined in the Unfunded Mandates Reform Act. Any costs incurred by tribes as a result of using additional authority granted 

by the bill would be incurred voluntarily. 

The CBO staff contact for this estimate is Megan Carroll. The estimate was approved by H. Samuel Papenfuss, Deputy Assistant 

Director for Budget Analysis. 

EXECUTIVE COMMUNICATIONS

The Committee has received no communications from the Executive Branch regarding S. 383, as amended. 

REGULATORY AND PAPERWORK IMPACT STATEMENT

Paragraph 11(b) of rule XXVI of the Standing Rules of the Senate requires each report accompanying a bill to evaluate the regulatory and paperwork impact that would be incurred in carrying 

out the bill. The Committee believes that S. 383, as amended, will 

have a minimal impact on regulatory or paperwork requirements. 

CHANGES IN EXISTING LAW

In compliance with subsection 12 of rule XXVI of the Standing 

Rules of the Senate, the Committee finds that the enactment of S. 

383, as amended, will not make any changes in existing law. 

Æ 


smartinez on DSK4TPTVN1PROD with REPORTS-SEN