103D CONGRESS

1ST SESSION H. R. 2399

AN ACT

To provide for the settlement of land claims of the

poses.relationship with the Tribe, and for other purCarolina and the restoration of the Federal trustCatawba Tribe of Indians in the State of South
103D CONGRESS

1ST SESSION H. R. 2399

AN ACT

To provide for the settlement of land claims of the Catawba

Tribe of Indians in the State of South Carolina and

the restoration of the Federal trust relationship with

the Tribe, and for other purposes.

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled,

3 SECTION 1. SHORT TITLE.

4 This Act may be cited as the ‘‘Catawba Indian Tribe

5 of South Carolina Land Claims Settlement Act of 1993’’.

6 SEC. 2. DECLARATION OF POLICY, CONGRESSIONAL FIND7 INGS AND PURPOSE.

8 (a) FINDINGS.—The Congress declares and finds

9 that:
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1 (1) It is the policy of the United States to pro2 mote tribal self-determination and economic self-suf3 ficiency and to support the resolution of disputes

4 over historical claims through settlements mutually

5 agreed to by Indian and non-Indian parties.

6 (2) There is pending before the United States

7 District Court for the District of South Carolina a

8 lawsuit disputing ownership of approximately

9 140,000 acres of land in the State of South Carolina

10 and other rights of the Catawba Indian Tribe under

11 Federal law.

12 (3) The Catawba Indian Tribe initiated a relat13 ed lawsuit against the United States in the United

14 States Court of Federal Claims seeking monetary

15 damages.

16 (4) Some of the significant historical events

17 which have led to the present situation include:

18 (A) In treaties with the Crown in 1760

19 and 1763, the Tribe ceded vast portions of its

20 aboriginal territory in the present States of

21 North and South Carolina in return for guaran22 tees of being quietly settled on a 144,000-acre

23 reservation.

24 (B) The Tribe’s district court suit con25 tended that in 1840 the Tribe and the State en-
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1 tered into an agreement without Federal ap2 proval or participation whereby the Tribe ceded

3 its treaty reservation to the State, thereby giv4 ing rise to the Tribe’s claim that it was dispos5 sessed of its lands in violation of Federal law.

6 (C) In 1943, the United States entered

7 into an agreement with the Tribe and the State

8 to provide services to the Tribe and its mem9 bers. The State purchased 3,434 acres of land

10 and conveyed it to the Secretary in trust for the

11 Tribe and the Tribe organized under the Indian

12 Reorganization Act.

13 (D) In 1959, when Congress enacted the

14 Catawba Tribe of South Carolina Division of

15 Assets Act (25 U.S.C. 931–938), Federal

16 agents assured the Tribe that if the Tribe

17 would release the Government from its obliga18 tion under the 1943 agreement and agree to

19 Federal legislation terminating the Federal

20 trust relationship and liquidating the 1943 res21 ervation, the status of the Tribe’s land claim

22 would not be jeopardized by termination.

23 (E) In 1980, the Tribe initiated Federal

24 court litigation to regain possession of its treaty

25 lands and in 1986, the United States Supreme
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1 Court ruled in South Carolina against Catawba

2 Indian Tribe that the 1959 Act resulted in the

3 application of State statutes of limitations to

4 the Tribe’s land claim. Two subsequent deci5 sions of the United States Court of Appeals for

6 the Fourth Circuit have held that some portion

7 of the Tribe’s claim is barred by State statutes

8 of limitations and that some portion is not

9 barred.

10 (5) The pendency of these lawsuits has led to

11 substantial economic and social hardship for a large

12 number of landowners, citizens and communities in

13 the State of South Carolina, including the Catawba

14 Indian Tribe. Congress recognizes that if these

15 claims are not resolved, further litigation against

16 tens of thousands of landowners would be likely;

17 that any final resolution of pending disputes through

18 a process of litigation would take many years and

19 entail great expenses to all parties; continue eco20 nomically and socially damaging controversies; pro21 long uncertainty as to the ownership of property;

22 and seriously impair long-term economic planning

23 and development for all parties.

24 (6) The 102d Congress has enacted legislation

25 suspending until October 1, 1993, the running of
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1 any unexpired statute of limitation applicable to the

2 Tribe’s land claim in order to provide additional

3 time to negotiate settlement of these claims.

4 (7) It is recognized that both Indian and non5 Indian parties enter into this settlement to resolve

6 the disputes raised in these lawsuits and to derive

7 certain benefits. The parties’ Settlement Agreement

8 constitutes a good faith effort to resolve these law9 suits and other claims and requires implementing

10 legislation by the Congress of the United States, the

11 General Assembly of the State of South Carolina,

12 and the governing bodies of the South Carolina

13 counties of York and Lancaster.

14 (8) To advance the goals of the Federal policy

15 of Indian self-determination and restoration of ter16 minated Indian Tribes, and in recognition of the

17 United States obligation to the Tribe and the Fed18 eral policy of settling historical Indian claims

19 through comprehensive settlement agreements, it is

20 appropriate that the United States participate in the

21 funding and implementation of the Settlement

22 Agreement.

23 (b) PURPOSE.—It is the purpose of this Act—

24 (1) to approve, ratify, and confirm the Settle25 ment Agreement entered into by the non-Indian set-
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1 tlement parties and the Tribe, except as otherwise

2 provided by this Act;

3 (2) to authorize and direct the Secretary to im4 plement the terms of such Settlement Agreement;

5 (3) to authorize the actions and appropriations

6 necessary to implement the provisions of the Settle7 ment Agreement and this Act;

8 (4) to remove the cloud on titles in the State

9 of South Carolina resulting from the Tribe’s land

10 claim; and

11 (5) to restore the trust relationship between the

12 Tribe and the United States.

13 SEC. 3. DEFINITIONS.

14 For purposes of this Act:

15 (1) The term ‘‘Tribe’’ means the Catawba In16 dian Tribe of South Carolina as constituted in ab17 original times, which was party to the Treaty of

18 Pine Tree Hill in 1760 as confirmed by the Treaty

19 of Augusta in 1763, which was party also to the

20 Treaty of Nation Ford in 1840, and which was the

21 subject of the Termination Act, and all predecessors

22 and successors in interest, including the Catawba In23 dian Tribe of South Carolina, Inc.

24 (2) The term ‘‘claim’’ or ‘‘claims’’ means any

25 claim which was asserted by the Tribe in either Suit,
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1 and any other claim which could have been asserted

2 by the Tribe or any Catawba Indian of a right, title

3 or interest in property, to trespass or property dam4 ages, or of hunting, fishing or other rights to natu5 ral resources, if such claim is based upon aboriginal

6 title, recognized title, or title by grant, patent, or

7 treaty including the Treaty of Pine Tree Hill of

8 1760, the Treaty of Augusta of 1763, or the Treaty

9 of Nation Ford of 1840.

10 (3) The term ‘‘Executive Committee’’ means

11 the body of the Tribe composed of the Tribe’s execu12 tive officers as selected by the Tribe in accordance

13 with its constitution.

14 (4) The term ‘‘Existing Reservation’’ means

15 that tract of approximately 630 acres conveyed to

16 the State in trust for the Tribe by J.M. Doby on

17 December 24, 1842, by deed recorded in York Coun18 ty Deed Book N, pp. 340–341.

19 (5) The term ‘‘General Council’’ means the

20 membership of the Tribe convened as the Tribe’s

21 governing body for the purpose of conducting tribal

22 business pursuant to the Tribe’s constitution.

23 (6) The term ‘‘Member’’ means individuals who

24 are currently members of the Tribe or who are en25 rolled in accordance with this Act.
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1 (7) The term ‘‘Reservation’’ or ‘‘Expanded Res2 ervation’’ means the Existing Reservation and the

3 lands added to the Existing Reservation in accord4 ance with section 12 of this Act, which are to be

5 held in trust by the Secretary in accordance with

6 this Act.

7 (8) The term ‘‘Secretary’’ means the Secretary

8 of the Interior.

9 (9) The term ‘‘service area’’ means the area

10 composed of the State of South Carolina and

11 Cabarrus, Cleveland, Gaston, Mecklenburg, Ruther12 ford, and Union counties in the State of North

13 Carolina.

14 (10) The term ‘‘Settlement Agreement’’ means

15 the document entitled ‘‘Agreement in Principle’’ be16 tween the Tribe and the State of South Carolina and

17 attached to the copy of the State Act and filed with

18 the Secretary of State of the State of South Caro19 lina, as amended to conform to this Act and printed

20 in the Congressional Record.

21 (11) The term ‘‘State’’ means, except for sec22 tion 6 (a) through (f), the State of South Carolina.

23 (12) The term ‘‘State Act’’ means the Act en24 acted into law by the State of South Carolina on

25 June 14, 1993, and codified as S.C. Code Ann., sec-
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1 tions 27–16–10 through 27–16–140, to implement

2 the Settlement Agreement.

3 (13) The term ‘‘Suit’’ or ‘‘Suits’’ means Ca4 tawba Indian Tribe of South Carolina v. State of

5 South Carolina, et al., docketed as Civil Action No.

6 80–2050 and filed in the United States District

7 Court for the District of South Carolina; and Ca8 tawba Indian Tribe of South Carolina v. The United

9 States of America, docketed as Civil Action No. 90–

10 553L and filed in the United States Court of

11 Federal Claims.

12 (14) The term ‘‘Termination Act’’ means the

13 Act entitled ‘‘An Act to provide for the division of

14 the tribal assets of the Catawba Indian Tribe of

15 South Carolina among the members of the Tribe

16 and for other purposes’’, approved September 21,

17 1959 (73 Stat. 592; 25 U.S.C. 931–938).

18 (15) The term ‘‘transfer’’ includes (but is not

19 limited to) any voluntary or involuntary sale, grant,

20 lease, allotment, partition, or other conveyance; any

21 transaction the purpose of which was to effect a

22 sale, grant, lease, allotment, partition, or convey23 ance; and any act, event or circumstance that re24 sulted in a change in title to, possession of, domin-
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1 ion over, or control of land, water, minerals, timber,

2 or other natural resources.

3 (16) The term ‘‘Trust Funds’’ means the trust

4 funds established by section 11 of this Act.

5 SEC. 4. RESTORATION OF FEDERAL TRUST RELATIONSHIP.

6 (a) RESTORATION OF THE FEDERAL TRUST RELA7 TIONSHIP AND APPROVAL, RATIFICATION, AND CON8 FIRMATION OF THE SETTLEMENT AGREEMENT.—On the

9 effective date of this Act—

10 (1) the trust relationship between the Tribe and

11 the United States is restored; and

12 (2) the Settlement Agreement and the State

13 Act are approved, ratified, and confirmed by the

14 United States to effectuate the purposes of this Act,

15 and shall be complied with in the same manner and

16 to the same extent as if they had been enacted into

17 Federal law.

18 (b) ELIGIBILITY FOR FEDERAL BENEFITS AND

19 SERVICES.—Notwithstanding any other provision of law,

20 on the effective date of this Act, the Tribe and the Mem21 bers shall be eligible for all benefits and services furnished

22 to federally recognized Indian tribes and their members

23 because of their status as Indians. On the effective date

24 of this Act, the Secretary shall enter the Tribe on the list

25 of federally recognized bands and tribes maintained by the
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1 Department of the Interior; and its members shall be enti2 tled to special services, educational benefits, medical care,

3 and welfare assistance provided by the United States to

4 Indians because of their status as Indians, and the Tribe

5 shall be entitled to the special services performed by the

6 United States for tribes because of their status as Indian

7 tribes. For the purpose of eligibility for Federal services

8 made available to members of federally recognized Indian

9 tribes because of their status as Indian tribal members,

10 Members of the Tribe in the Tribe’s service area shall be

11 deemed to be residing on or near a reservation.

12 (c) REPEAL OF TERMINATION ACT.—The Termi13 nation Act is repealed.

14 (d) EFFECT ON PROPERTY RIGHTS AND OTHER OB15 LIGATIONS.—Except as otherwise specifically provided in

16 this Act, this Act shall not affect any property right or

17 obligation or any contractual right or obligation in exist18 ence before the effective date of this Act, or any obligation

19 for taxes levied before that date.

20 (e) EXTENT OF JURISDICTION.—This Act shall not

21 be construed to empower the Tribe with special jurisdic22 tion or to deprive the State of jurisdiction other than as

23 expressly provided by this Act or by the State Act. The

24 jurisdiction and governmental powers of the Tribe shall

25 be solely those set forth in this Act and the State Act.
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1 SEC. 5. SETTLEMENT FUNDS.

2 (a) AUTHORIZATION FOR APPROPRIATION.—There is

3 hereby authorized to be appropriated $32,000,000 for the

4 Federal share which shall be deposited in the trust funds

5 established pursuant to section 11 of this Act or paid pur6 suant to section 6(g).

7 (b) DISBURSEMENT IN ACCORDANCE WITH SETTLE8 MENT AGREEMENT.—The Federal funds appropriated

9 pursuant to this Act shall be disbursed in four equal an10 nual installments of $8,000,000 beginning in the fiscal

11 year following enactment of this Act. Funds transferred

12 to the Secretary from other sources shall be deposited in

13 the trust funds established pursuant to section 11 of this

14 Act or paid pursuant to section 6(g) within 30 days of

15 receipt by the Secretary.

16 (c) FEDERAL, STATE, LOCAL AND PRIVATE CON17 TRIBUTIONS HELD IN TRUST BY SECRETARY.—The Sec18 retary shall, on behalf of the Tribe, collect those contribu19 tions toward settlement appropriated or received by the

20 State pursuant to section 5.2 of the Settlement Agreement

21 and shall either hold such funds totalling $18,000,000, to22 gether with the Federal funds appropriated pursuant to

23 this Act, in trust for the Tribe pursuant to the provisions

24 of section 11 of this Act or pay such funds pursuant to

25 section 6(g) of this Act.
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1 (d) NONPAYMENT OF STATE, LOCAL, OR PRIVATE

2 CONTRIBUTIONS.—The Secretary shall not be accountable

3 or incur any liability for the collection, deposit, or manage4 ment of the non-Federal contributions made pursuant to

5 section 5.2 of the Settlement Agreement, or payment of

6 such funds pursuant to section 6(g) of this Act, until such

7 time as such funds are received by the Secretary.

8 SEC. 6. RATIFICATION OF PRIOR TRANSFERS; EXTINGUISH9 MENT OF ABORIGINAL TITLE, RIGHTS AND

10 CLAIMS.

11 (a) RATIFICATION OF TRANSFERS.—Any transfer of

12 land or natural resources located anywhere within the

13 United States from, by, or on behalf of the Tribe, any

14 one or more of its Members, or anyone purporting to be

15 a Member, including but without limitation any transfer

16 pursuant to any treaty, compact, or statute of any State,

17 shall be deemed to have been made in accordance with

18 the Constitution and all laws of the United States, and

19 Congress hereby approves and ratifies any such transfer

20 effective as of the date of such transfer. Nothing in this

21 section shall be construed to affect, eliminate, or revive

22 the personal claim of any individual Member (except for

23 any Federal common law fraud claim) which is pursued

24 under any law of general applicability that protects non25 Indians as well as Indians.
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1 (b) ABORIGINAL TITLE.—To the extent that any

2 transfer of land or natural resources described in sub3 section (a) of this section may involve land or natural re4 sources to which the Tribe, any of its Members, or anyone

5 purporting to be a Member, or any other Indian, Indian

6 nation, or Tribe or band of Indians had aboriginal title,

7 subsection (a) of this section shall be regarded as an extin8 guishment of aboriginal title as of the date of such

9 transfer.

10 (c) EXTINGUISHMENT OF CLAIMS.—By virtue of the

11 approval and ratification of any transfer of land or natural

12 resources effected by this section, or the extinguishment

13 of aboriginal title effected thereby, all claims against the

14 United States, any State or subdivision thereof, or any

15 other person or entity, by the Tribe, any of its Members,

16 or anyone purporting to be a Member, or any predecessors

17 or successors in interest thereof or any other Indian, In18 dian Nation, or tribe or band of Indians, arising at the

19 time of or subsequent to the transfer and based on any

20 interest in or right involving such land or natural re21 sources, including without limitation claims for trespass

22 damages or claims for use and occupancy, shall be deemed

23 extinguished as of the date of the transfer.

24 (d) EXTINGUISHMENT OF TITLE.—(1) All claims and

25 all right, title, and interest that the Tribe, its Members,
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1 or any person or group of persons purporting to be Ca2 tawba Indians may have to aboriginal title, recognized

3 title, or title by grant, patent, or treaty to the lands lo4 cated anywhere in the United States are hereby extin5 guished.

6 (2) This extinguishment of claims shall also extin7 guish title to any hunting, fishing, or water rights or

8 rights to any other natural resource claimed by the Tribe

9 or a Member based on aboriginal or treaty recognized title,

10 and all trespass damages and other damages associated

11 with use, occupancy or possession, or entry upon such

12 lands.

13 (e) BAR TO FUTURE CLAIMS.—The United States is

14 hereby barred from asserting by or on behalf of the Tribe

15 or any of its Members, or anyone purporting to be a Mem16 ber, any claim arising before the effective date of this Act

17 from the transfer of any land or natural resources by deed

18 or other grant, or by treaty, compact, or act of law, on

19 the grounds that such transfer was not made in accord20 ance with the laws of South Carolina or the Constitution

21 or laws of the United States.

22 (f) NO DEROGATION OF FEE SIMPLE IN EXISTING

23 RESERVATION, OR EFFECT ON MEMBERS’ FEE INTER24 ESTS.—Nothing in this Act shall be construed to diminish

25 or derogate from the Tribe’s estate in the Existing Res-
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1 ervation; or to divest or disturb title in any land conveyed

2 to any person or entity as a result of the Termination Act

3 and the liquidation and partition of tribal lands; or to di4 vest or disturb the right, title and interest of any Member

5 in any fee simple, leasehold or remainder estate or any

6 equitable or beneficial right or interest any such Member

7 may own individually and not as a Member of the Tribe.

8 (g) COSTS AND ATTORNEYS’ FEES.—The parties to

9 the Suits shall bear their own costs and attorneys’ fees.

10 As provided by section 6.4 of the Settlement Agreement,

11 the Secretary shall pay to the Tribe’s attorneys in the

12 Suits attorneys’ fees and expenses from, and not to exceed

13 10 percent of, the $50,000,000 obligated for payment to

14 the Tribe by Federal, State, local, and private parties pur15 suant to section 5 of the Settlement Agreement.

16 (h) PERSONAL CLAIMS NOT AFFECTED.—Nothing in

17 this section shall be deemed to affect, diminish, or elimi18 nate the personal claim of any individual Indian which is

19 pursued under any law of general applicability (other than

20 Federal common law fraud) that protects non-Indians as

21 well as Indians.

22 (i) FEDERAL PAYMENT.—In the event any of the

23 Federal payments are not paid as set forth in section 5,

24 such failure to pay shall give rise to a cause of action by

25 the Tribe against the United States for money damages
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1 for the amount authorized to be paid to the Tribe in sec2 tion 5(a) in settlement of the Tribe’s claim, and the Tribe

3 is authorized to bring an action in the United States Court

4 of Claims for such funds plus applicable interest. The

5 United States hereby waives any affirmative defense to

6 such action.

7 (j) STATE PAYMENT.—In the event any of the State

8 payments are not paid as set forth in section 5 of this

9 Act, such failure to pay shall give rise to a cause of action

10 in the United States District Court for the District of

11 South Carolina by the Tribe against the State of South

12 Carolina for money damages for the amount authorized

13 to be paid to the Tribe by the State in § 27–16–50 (A)

14 of the State Act in settlement of the Tribe’s claim. Pursu15 ant to § 27–16–50 (E) of the State Act, the State of South

16 Carolina waives any Eleventh Amendment immunity to

17 such action.

18 SEC. 7. BASE MEMBERSHIP ROLL.

19 (a) BASE MEMBERSHIP ROLL CRITERIA.—Within

20 one year after enactment of this section, the Tribe shall

21 submit to the Secretary, for approval, its base membership

22 roll. An individual is eligible for inclusion on the base

23 membership roll if that individual is living on the date of

24 enactment of this Act and—
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1 (1) is listed on the membership roll published

2 by the Secretary in the Federal Register on Feb3 ruary 25, 1961 (26 FR 1680–1688, ‘‘Notice of

4 Final Membership Roll’’), and is not excluded under

5 the provisions of subsection (c);

6 (2) the Executive Committee determines, based

7 on the criteria used to compile the roll referred to

8 in paragraph (1), that the individual should have

9 been included on the membership roll at that time,

10 but was not; or

11 (3) is a lineal descendant of a Member whose

12 name appeared or should have appeared on the

13 membership roll referred to in paragraph (1).

14 (b) BASE MEMBERSHIP ROLL NOTICE.—Within 90

15 days after the enactment of this Act, the Secretary shall

16 publish in the Federal Register, and in three newspapers

17 of general circulation in the Tribe’s service area, a notice

18 stating—

19 (1) that a base membership roll is being pre20 pared by the Tribe and that the current membership

21 roll is open and will remain open for a period of 90

22 days;

23 (2) the requirements for inclusion on the base

24 membership roll;
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1 (3) the final membership roll published by the

2 Secretary in the Federal Register on February 25,

3 1961;

4 (4) the current membership roll as prepared by

5 the Executive Committee and approved by the Gen6 eral Council; and

7 (5) the name and address of the tribal or Fed8 eral official to whom inquiries should be made.

9 (c) COMPLETION OF BASE MEMBERSHIP ROLL.—

10 Within 120 days after publication of notice under sub11 section (b), the Secretary, after consultation with the

12 Tribe, shall prepare and publish in the Federal Register,

13 and in three newspapers of general circulation in the

14 Tribe’s service area, a proposed final base membership roll

15 of the Tribe. Within 60 days from the date of publication

16 of the proposed final base membership roll, an appeal may

17 be filed with the Executive Committee under rules made

18 by the Executive Committee in consultation with the Sec19 retary. Such an appeal may be filed by a Member with

20 respect to the inclusion of any name on the proposed final

21 base membership roll and by any person with respect to

22 the exclusion of his or her name from the final base mem23 bership roll. The Executive Committee shall review such

24 appeals and render a decision, subject to the Secretary’s

25 approval. If the Executive Committee and the Secretary
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1 disagree, the Secretary’s decision will be final. All such

2 appeals shall be resolved within 90 days following publica3 tion of the proposed roll. The final base membership roll

4 of the Tribe shall then be published in the Federal Reg5 ister, and in three newspapers of general circulation in the

6 Tribe’s service area, and shall be final for purposes of the

7 distribution of funds from the Per Capita Trust Fund es8 tablished under section 11(h).

9 (d) FUTURE MEMBERSHIP IN THE TRIBE.—The

10 Tribe shall have the right to determine future membership

11 in the Tribe; however, in no event may an individual be

12 enrolled as a tribal member unless the individual is a lineal

13 descendant of a person on the final base membership roll

14 and has continued to maintain political relations with the

15 Tribe.

16 SEC. 8. TRANSITIONAL AND PROVISIONAL GOVERNMENT.

17 (a) FUTURE TRIBAL GOVERNMENT.—The Tribe

18 shall adopt a new constitution within 24 months after the

19 effective date of this Act.

20 (b) EXECUTIVE COMMITTEE AS TRANSITIONAL

21 BODY.—(1) Until the Tribe has adopted a constitution,

22 the existing tribal constitution shall remain in effect and

23 the Executive Committee is recognized as the provisional

24 and transitional governing body of the Tribe. Until an
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1 election of tribal officers under the new constitution, the

2 Executive Committee shall—

3 (A) represent the Tribe and its Members in the

4 implementation of this Act; and

5 (B) during such period—

6 (i) have full authority to enter into con7 tracts, grant agreements and other arrange8 ments with any Federal department or agency;

9 and

10 (ii) have full authority to administer or op11 erate any program under such contracts or

12 agreements.

13 (2) Until the initial election of tribal officers under

14 a new constitution and by-laws, the Executive Committee

15 shall—

16 (A) determine tribal membership in accordance

17 with the provisions of section 7; and

18 (B) oversee and implement the revision and

19 proposal to the Tribe of a new constitution and con20 duct such tribal meetings and elections as are re21 quired by this Act.

22 SEC. 9. TRIBAL CONSTITUTION AND GOVERNANCE.

23 (a) INDIAN REORGANIZATION ACT.—If the Tribe so

24 elects, it may organize under the Act of June 18, 1934

25 (25 U.S.C. 461 et seq.; commonly referred to as the ‘‘In-
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1 dian Reorganization Act’’). The Tribe shall be subject to

2 such Act except to the extent such sections are inconsist3 ent with this Act.

4 (b) ADOPTION OF NEW TRIBAL CONSTITUTION.—

5 Within 180 days after the effective date of this Act, the

6 Executive Committee shall draft and distribute to each

7 Member eligible to vote under the tribal constitution in

8 effect on the effective date of this Act, a proposed con9 stitution and bylaws for the Tribe together with a brief,

10 impartial description of the proposed constitution and by11 laws and a notice of the date, time and location of the

12 election under this subsection. Not sooner than 30 days

13 or later than 90 days after the distribution of the proposed

14 constitution, the Executive Committee shall conduct a se15 cret-ballot election to adopt a new constitution and bylaws.

16 (c) MAJORITY VOTE FOR ADOPTION; PROCEDURE IN

17 EVENT OF FAILURE TO ADOPT PROPOSED CONSTITU18 TION.—(1) The tribal constitution and bylaws shall be

19 ratified and adopted if—

20 (A) not less than 30 percent of those entitled

21 to vote do vote; and

22 (B) approved by a majority of those actually

23 voting.

24 (2) If in any such election such majority does not ap25 prove the adoption of the proposed constitution and by-
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1 laws, the Executive Committee shall prepare another pro2 posed constitution and bylaws and present it to the Tribe

3 in the same manner provided in this section for the first

4 constitution and bylaws. Such new proposed constitution

5 and bylaws shall be distributed to the eligible voters of

6 the Tribe no later than 180 days after the date of the

7 election in which the first proposed constitution and by8 laws failed of adoption. An election on the question of the

9 adoption of the new proposal of the Executive Committee

10 shall be conducted in the same manner provided in sub11 section (b) for the election on the first proposed constitu12 tion and bylaws.

13 (d) ELECTION OF TRIBAL OFFICERS.—Within 120

14 days after the Tribe ratifies and adopts a constitution and

15 bylaws, the Executive Committee shall conduct an election

16 by secret ballot for the purpose of electing tribal officials

17 as provided in the constitution and bylaws. Subsequent

18 elections shall be held in accordance with the Tribe’s con19 stitution and bylaws.

20 (e) EXTENSION OF TIME.—Any time periods pre21 scribed in subsections (b) and (c) may be altered by writ22 ten agreement between the Executive Committee and the

23 Secretary.
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1 SEC. 10. ADMINISTRATIVE PROVISIONS RELATING TO JU2 RISDICTION, TAXATION, AND OTHER MAT3 TERS.

4 In the administration of this Act:

5 (1) All matters involving tribal powers, immuni6 ties, and jurisdiction, whether criminal, civil, or reg7 ulatory, shall be governed by the terms and provi8 sions of the Settlement Agreement and the State

9 Act, unless otherwise provided in this Act.

10 (2) All matters pertaining to governance and

11 regulation of the reservation (including environ12 mental regulation and riparian rights) shall be gov13 erned by the terms and provisions of the Settlement

14 Agreement and the State Act, including, but not

15 limited to, section 17 of the Settlement Agreement

16 and section 27–16–120 of the State Act, unless oth17 erwise provided in this Act.

18 (3) The Indian Child Welfare Act of 1978 (25

19 U.S.C. 1901 et seq.) shall apply to Catawba Indian

20 children except as provided in the Settlement Agree21 ment.

22 (4) Whether or not the Tribe, under section

23 9(a), elects to organize under the Act of June 18,

24 1934, the Tribe, in any constitution adopted by the

25 Tribe, may be authorized to exercise such authority
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1 as is consistent with the Settlement Agreement and

2 the State Act.

3 (5) In no event may the Tribe pledge or hy4 pothecate the income or principal of the Catawba

5 Education or Social Services and Elderly Trust

6 Funds or otherwise use them as security or a source

7 of payment for bonds the Tribe may issue.

8 (6) The Indian Self-Determination and Edu9 cation Assistance Act (25 U.S.C. 450 et seq.) shall

10 apply to the Tribe except to the extent that such ap11 plication may be inconsistent with this Act or the

12 Settlement Agreement.

13 SEC. 11. TRIBAL TRUST FUNDS.

14 (a) PURPOSES OF TRUST FUNDS.—All funds paid

15 pursuant to section 5 of this Act, except for payments

16 made pursuant to section 6(g), shall be deposited with the

17 Secretary in trust for the benefit of the Tribe. Separate

18 trust funds shall be established for the following purposes:

19 economic development, land acquisition, education, social

20 services and elderly assistance, and per capita payments.

21 Except as provided in this section, the Tribe, in consulta22 tion with the Secretary, shall determine the share of settle23 ment payments to be deposited in each Trust Fund, and

24 define, consistently with the provisions of this section, the

25 purposes of each Trust Fund and provisions for admin-
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•HR 2399 EH

1 istering each, specifically including provisions for periodic

2 distribution of current and accumulated income, and for

3 invasion and restoration of principal.

4 (b) OUTSIDE MANAGEMENT OPTION.—(1) The

5 Tribe, in consultation with and subject to the approval of

6 the Secretary, as set forth in this section, is authorized

7 to place any of the Trust Funds under professional man8 agement, outside the Department of the Interior.

9 (2) If the Tribe elects to place any of the Trust

10 Funds under professional management outside the De11 partment of the Interior, it may engage a consulting or

12 advisory firm to assist in the selection of an independent

13 professional investment management firm, and it shall en14 gage, with the approval of the Secretary, an independent

15 investment management firm of proven competence and

16 experience established in the business of counseling large

17 endowments, trusts, or pension funds.

18 (3) The Secretary shall have 45 days to approve or

19 reject any independent investment management firm se20 lected by the Tribe. If the Secretary fails to approve or

21 reject the firm selected by the Tribe within 45 days, the

22 investment management firm selected by the Tribe shall

23 be deemed to have been approved by the Secretary.

24 (4) Secretarial approval of an investment manage25 ment firm shall not be unreasonably withheld, and any
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•HR 2399 EH

1 Secretarial disapproval of an investment management firm

2 shall be accompanied by a detailed explanation setting

3 forth the Secretary’s reasons for such disapproval.

4 (5)(A) For funds placed under professional manage5 ment, the Tribe, in consultation with the Secretary and

6 its investment manager, shall develop—

7 (i) current operating and long-term capital

8 budgets; and

9 (ii) a plan for managing, investing, and distrib10 uting income and principal from the Trust Funds to

11 match the requirements of the Tribe’s operating and

12 capital budgets.

13 (B) For each Trust Fund which the Tribe elects to

14 place under outside professional management, the invest15 ment plan shall provide for investment of Trust Fund as16 sets so as to serve the purposes described in this section

17 and in the Trust Fund provisions which the Tribe shall

18 establish in consultation with the Secretary and the inde19 pendent investment management firm.

20 (C) Distributions from each Trust Fund shall not ex21 ceed the limits on the use of principal and income imposed

22 by the applicable provisions of this Act for that particular

23 Trust Fund.

24 (D)(i) The Tribe’s investment management plan shall

25 not become effective until approved by the Secretary.
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•HR 2399 EH

1 (ii) Upon submission of the plan by the Tribe to the

2 Secretary for approval, the Secretary shall have 45 days

3 to approve or reject the plan. If the Secretary fails to ap4 prove or disapprove the plan within 45 days, the plan shall

5 be deemed to have been approved by the Secretary and

6 shall become effective immediately.

7 (iii) Secretarial approval of the plan shall not be un8 reasonably withheld and any secretarial rejection of the

9 plan shall be accompanied by a detailed explanation set10 ting forth the Secretary’s reasons for rejecting the plan.

11 (E) Until the selection of an established investment

12 management firm of proven competence and experience,

13 the Tribe shall rely on the management, investment, and

14 administration of the Trust Funds by the Secretary pursu15 ant to the provisions of this section.

16 (c) TRANSFER OF TRUST FUNDS; EXCULPATION OF

17 SECRETARY.—Upon the Secretary’s approval of the

18 Tribe’s investment management firm and an investment

19 management plan, all funds previously deposited in trust

20 funds held by the Secretary and all funds subsequently

21 paid into the trust funds, which are chosen for outside

22 management, shall be transferred to the accounts estab23 lished by an investment management firm in accordance

24 with the approved investment management plan. The Sec25 retary shall be exculpated by the Tribe from liability for
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•HR 2399 EH

1 any loss of principal or interest resulting from investment

2 decisions made by the investment management firm. Any

3 Trust Fund transferred to an investment management

4 firm shall be returned to the Secretary upon written re5 quest of the Tribe, and the Secretary shall manage such

6 funds for the benefit of the Tribe.

7 (d) LAND ACQUISITION TRUST.—(1) The Secretary

8 shall establish and maintain a Catawba Land Acquisition

9 Trust Fund, and until the Tribe engages an outside firm

10 for investment management of this trust fund, the Sec11 retary shall manage, invest, and administer this trust

12 fund. The original principal amount of the Land Acquisi13 tion Trust Fund shall be determined by the Tribe in con14 sultation with the Secretary.

15 (2) The principal and income of the Land Acquisition

16 Trust Fund may be used for the purchase and develop17 ment of Reservation and non-Reservation land pursuant

18 to the Settlement Agreement, costs related to land acquisi19 tion, and costs of construction of infrastructure and devel20 opment of the Reservation and non-Reservation land.

21 (3)(A) Upon acquisition of the maximum amount of

22 land allowed for expansion of the Reservation, or upon re23 quest of the Tribe and approval of the Secretary pursuant

24 to the Secretarial approval provisions set forth in sub25 section (b)(5)(D) of this section, all or part of the balance
30

•HR 2399 EH

1 of this trust fund may be merged into one or more of the

2 Economic Development Trust Fund, the Education Trust

3 Fund, or the Social Services and Elderly Assistance Trust

4 Fund.

5 (B) Alternatively, at the Tribe’s election, the Land

6 Acquisition Trust Fund may remain in existence after all

7 the Reservation land is purchased in order to pay for the

8 purchase of non-Reservation land.

9 (4)(A) The Tribe may pledge or hypothecate the in10 come and principal of the Land Acquisition Trust Fund

11 to secure loans for the purchase of Reservation and non12 Reservation lands.

13 (B) Following the effective date of this Act and be14 fore the final annual disbursement is made as provided

15 in section 5 of this Act, the Tribe may pledge or hypoth16 ecate up to 50 percent of the unpaid annual installments

17 required to be paid to this Trust Fund, the Economic De18 velopment Trust Fund and the Social Services and Elderly

19 Assistance Trust Fund by section 5 of this Act and by

20 section 5 of the Settlement Agreement, to secure loans to

21 finance the acquisition of Reservation or non-Reservation

22 land or infrastructure improvements on such lands.

23 (e) ECONOMIC DEVELOPMENT TRUST.—(1) The Sec24 retary shall establish and maintain a Catawba Economic

25 Development Trust Fund, and until the Tribe engages an
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•HR 2399 EH

1 outside firm for investment management of this Trust

2 Fund, the Secretary shall manage, invest, and administer

3 this Trust Fund. The original principal amount of the

4 Economic Development Trust Fund shall be determined

5 by the Tribe in consultation with the Secretary. The prin6 cipal and income of this Trust Fund may be used to sup7 port tribal economic development activities, including but

8 not limited to infrastructure improvements and tribal

9 business ventures and commercial investments benefiting

10 the Tribe.

11 (2) The Tribe, in consultation with the Secretary,

12 may pledge or hypothecate future income and up to 50

13 percent of the principal of this Trust Fund to secure loans

14 for economic development. In defining the provisions for

15 administration of this Trust Fund, and before pledging

16 or hypothecating future income or principal, the Tribe and

17 the Secretary shall agree on rules and standards for the

18 invasion of principal and for repayment or restoration of

19 principal, which shall encourage preservation of principal,

20 and provide that, if feasible, a portion of all profits derived

21 from activities funded by principal be applied to repay22 ment of the Trust Fund.

23 (3) Following the effective date of this Act and before

24 the final annual disbursement is made as provided in sec25 tion 5 of this Act, the Tribe may pledge or hypothecate
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•HR 2399 EH

1 up to 50 percent of the unpaid annual installments re2 quired to be paid by section 5 of this Act and by section

3 5 of the Settlement Agreement to secure loans to finance

4 economic development activities of the Tribe, including

5 (but not limited to) infrastructure improvements on Res6 ervation and non-Reservation lands.

7 (4) If the Tribe develops sound lending guidelines ap8 proved by the Secretary, a portion of the income from this

9 Trust Fund may also be used to fund a revolving credit

10 account for loans to support tribal businesses or business

11 enterprises of tribal members.

12 (f) EDUCATION TRUST.—The Secretary shall estab13 lish and maintain a Catawba Education Trust Fund, and

14 until the Tribe engages an outside firm for investment

15 management of this Trust Fund, the Secretary shall man16 age, invest, and administer this Trust Fund. The original

17 principal amount of this Trust Fund shall be determined

18 by the Tribe in consultation with the Secretary; subject

19 to the requirement that upon completion of all payments

into the Trust Funds, an amount equal to at least 1 20 ⁄3 of

21 all State, local, and private contributions made pursuant

22 to the Settlement Agreement shall have been paid into the

23 Education Trust Fund. Income from this Trust Fund

24 shall be distributed in a manner consistent with the terms

25 of the Settlement Agreement. The principal of this Trust
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•HR 2399 EH

1 Fund shall not be invaded or transferred to any other

2 Trust Fund, nor shall it be pledged or encumbered as se3 curity.

4 (g) SOCIAL SERVICES AND ELDERLY ASSISTANCE

5 TRUST.—(1) The Secretary shall establish and maintain

6 a Catawba Social Services and Elderly Assistance Trust

7 Fund and, until the Tribe engages an outside firm for in8 vestment management of this Trust Fund, the Secretary

9 shall manage, invest, and administer the Social Services

10 and Elderly Assistance Trust Fund. The original principal

11 amount of this Trust Fund shall be determined by the

12 Tribe in consultation with the Secretary.

13 (2) The income of this Trust Fund shall be periodi14 cally distributed to the Tribe to support social services

15 programs, including (but not limited to) housing, care of

16 elderly, or physically or mentally disabled Members, child

17 care, supplemental health care, education, cultural preser18 vation, burial and cemetery maintenance, and operation

19 of tribal government.

20 (3) The Tribe, in consultation with the Secretary,

21 shall establish eligibility criteria and procedures to carry

22 out this subsection.

23 (h) PER CAPITA PAYMENT TRUST FUND.—(1) The

24 Secretary shall establish and maintain a Catawba Per

25 Capita Payment Trust Fund in an amount equal to 15
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•HR 2399 EH

1 percent of the settlement funds paid pursuant to section

2 5 of the Settlement Agreement. Until the Tribe engages

3 an outside firm for investment management of this Trust

4 Fund, the Secretary shall manage, invest, and administer

5 the Catawba Per Capita Payment Trust Fund.

6 (2) Each person (or their estate) whose name appears

7 on the final base membership roll of the Tribe published

8 by the Secretary pursuant to section 7(c) of this Act will

9 receive a one-time, non-recurring payment from this Trust

10 Fund.

11 (3) The amount payable to each member shall be de12 termined by dividing the trust principal and any accrued

13 interest thereon by the number of Members on the final

14 base membership roll.

15 (4)(A) Subject to the provisions of this paragraph,

16 each enrolled member who has reached the age of 21 years

17 on the date the final roll is published shall receive the pay18 ment on the date of distribution, which shall be as soon

19 as practicable after date of publication of the final base

20 membership roll. Adult Members shall be paid their pro

21 rata share of this Trust Fund on the date of distribution

22 unless they elect in writing to leave their pro rata share

23 in the Trust Fund, in which case such share shall not be

24 distributed.
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•HR 2399 EH

1 (B) The pro rata share of adult Members who elect

2 not to withdraw their payment from this Trust Fund shall

3 be managed, invested and administered, together with the

4 funds of Members who have not attained the age of 21

5 years on the date the final base membership roll is pub6 lished, until such Member requests in writing that their

7 pro rata share be distributed, at which time such Mem8 ber’s pro rata share shall be paid, together with the net

9 income of the Trust Fund allocable to such Member’s

10 share as of the date of distribution.

11 (C) No member may elect to have their pro rata share

12 managed by this Trust Fund for a period of more than

13 21 years after the date of publication of the final base

14 membership roll.

15 (5)(A) Subject to the provisions of this paragraph,

16 the pro rata share of any Member who has not attained

17 the age of 21 years on the date the final base membership

18 roll is published shall be managed, invested and adminis19 tered pursuant to the provisions of this section until such

20 Member has attained the age of 21 years, at which time

21 such Member’s pro rata share shall be paid, together with

22 the net income of the Trust Fund allocable to such Mem23 ber’s share as of the date of payment. Such Members shall

24 be paid their pro rata share of this Trust Fund on the

25 date they attain 21 years of age unless they elect in writ-
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•HR 2399 EH

1 ing to leave their pro rata share in the Trust Fund, in

2 which case such share shall not be distributed.

3 (B) The pro rata share of such Members who elect

4 not to withdraw their payment from this trust fund shall

5 be managed, invested and administered, together with the

6 funds of members who have not attained the age of 21

7 years on the date the final base membership roll is pub8 lished, until such Member requests in writing that their

9 pro rata share be distributed, at which time such Mem10 ber’s pro rata share shall be paid, together with the net

11 income of the Trust Fund allocable to such Member’s

12 share as of the date of distribution.

13 (C) No Member may elect to have their pro rata

14 share retained and managed by this Trust Fund beyond

15 the expiration of the period of 21 years after the date of

16 publication of the final base membership roll.

17 (6) After payments have been made to all Members

18 entitled to receive payments, this Trust Fund shall termi19 nate, and any balance remaining in this Trust Fund shall

20 be merged into the Economic Development Trust Fund,

21 the Education Trust Fund, or the Social Services and El22 derly Assistance Trust Fund, as the Tribe may determine.

23 (i) DURATION OF TRUST FUNDS.—Subject to the

24 provisions of this section and with the exception of the

25 Catawba Per Capita Payment Trust Fund, the Trust
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•HR 2399 EH

1 Funds established in accordance with this section shall

2 continue in existence so long as the Tribe exists and is

3 recognized by the United States. The principal of these

4 Trust Funds shall not be invaded or distributed except

5 as expressly authorized in this Act or in the Settlement

6 Agreement.

7 (j) TRANSFER OF MONEY AMONG TRUST FUNDS.—

8 The Tribe, in consultation with the Secretary, shall have

9 the authority to transfer principal and accumulated in10 come between Trust Funds only as follows:

11 (1) Funds may be transferred among the Ca12 tawba Economic Development Trust Fund, the Ca13 tawba Land Acquisition Trust Fund and the Ca14 tawba Social Services and Elderly Assistance Trust

15 Fund, and from any of those three Trust Funds into

16 the Catawba Education Trust Fund; except, that the

17 mandatory share of State, local, and private sector

18 funds invested in the original corpus of the Catawba

19 Education Trust Fund shall not be transferred to

20 any other Trust Fund.

21 (2) Any Trust Fund, except for the Catawba

22 Education Trust Fund, may be dissolved by a vote

23 of two-thirds of those Members eligible to vote, and

24 the assets in such Trust Fund shall be transferred

25 to the remaining Trust Funds; except, that (A) no
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•HR 2399 EH

1 assets shall be transferred from any of the Trust

2 Funds into the Catawba Per Capita Payment Trust

3 Fund, and (B) the mandatory share of State, local

4 and private funds invested in the original corpus of

5 the Catawba Education Trust Fund may not be

6 transferred or used for any non-educational pur7 poses.

8 (3) The dissolution of any Trust Fund shall re9 quire the approval of the Secretary pursuant to the

10 Secretarial approval provisions set forth in sub11 section (b)(5)(D) of this section.

12 (k) TRUST FUND ACCOUNTING.—(1) The Secretary

13 shall account to the Tribe periodically, and at least annu14 ally, for all Catawba Trust Funds being managed and ad15 ministered by the Secretary. The accounting shall—

16 (A) identify the assets in which the Trust

17 Funds have been invested during the relevant period;

18 (B) report income earned during the period,

19 distinguishing current income and capital gains;

20 (C) indicate dates and amounts of distributions

21 to the Tribe, separately distinguishing current in22 come, accumulated income, and distributions of prin23 cipal; and

24 (D) identify any invasions or repayments of

25 principal during the relevant period and record pro-
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•HR 2399 EH

1 visions the Tribe has made for repayment or restora2 tion of principal.

3 (2)(A) Any outside investment management firm en4 gaged by the Tribe shall account to the Tribe and sepa5 rately to the Secretary at periodic intervals, at least quar6 terly. Its accounting shall—

7 (i) identify the assets in which the Trust Funds

8 have been invested during the relevant period;

9 (ii) report income earned during the period,

10 separating current income and capital gains;

11 (iii) indicate dates and amounts of distributions

12 to the Tribe, distinguishing current income, accumu13 lated income, and distributions of principal; and

14 (iv) identify any invasions or repayments of

15 principal during the relevant period and record pro16 visions the Tribe has made for repayment or restora17 tion of principal.

18 (B) Prior to distributing principal from any Trust

19 Fund, the investment management firm shall notify the

20 Secretary of the proposed distribution and the Tribe’s pro21 posed use of such funds, following procedures to be agreed

22 upon by the investment management firm, the Secretary,

23 and the Tribe. The Secretary shall have 15 days within

24 which to object in writing to any such invasion of prin-
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•HR 2399 EH

1 cipal. Failure to object will be deemed approval of the dis2 tribution.

3 (C) All Trust Funds held and managed by any invest4 ment management firm shall be audited annually by a cer5 tified public accounting firm approved by the Secretary,

6 and a copy of the annual audit shall be submitted to the

7 Tribe and to the Secretary within four months following

8 the close of the Trust Funds’ fiscal year.

9 (l) REPLACEMENT OF INVESTMENT MANAGEMENT

10 FIRM AND MODIFICATION OF INVESTMENT MANAGEMENT

11 PLAN.—The Tribe shall not replace the investment man12 agement firm approved by the Secretary without prior

13 written notification to the Secretary and approval by the

14 Secretary of any investment management firm chosen by

15 the Tribe as a replacement. Such Secretarial approval

16 shall be given or denied in accordance with the Secretarial

17 approval provisions contained in subsection (b)(5)(D) of

18 this section. The Tribe and its investment management

19 firm shall also notify the Secretary in writing of any revi20 sions in the investment management plan which materially

21 increase investment risk or significantly change the invest22 ment management plan, or the agreement, made in con23 sultation with the Secretary pursuant to which the outside

24 management firm was retained.
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•HR 2399 EH

1 (m) TRUST FUNDS NOT COUNTED FOR CERTAIN

2 PURPOSES; USE AS MATCHING FUNDS.—None of the

3 funds, assets, income, payments, or distributions from the

4 trust funds established pursuant to this section shall at

5 any time affect the eligibility of the Tribe or its Members

6 for, or be used as a basis for denying or reducing funds

7 to the Tribe or its Members under any Federal, State, or

8 local program. Distributions from these Trust Funds may

9 be used as matching funds, where appropriate, for Federal

10 grants or loans.

11 SEC. 12. ESTABLISHMENT OF EXPANDED RESERVATION.

12 (a) EXISTING RESERVATION.—The Secretary is au13 thorized to receive from the State, by such transfer docu14 ment as the Secretary and the State shall approve, all

15 rights, title, and interests of the State in and to the Exist16 ing Reservation to be held by the United States as trustee

17 for the Tribe, and, effective on the date of such transfer,

18 the obligation of the State as trustee for the Tribe with

19 respect to such land shall cease.

20 (b) EXPANDED RESERVATION.—(1) The Existing

21 Reservation shall be expanded in the manner prescribed

22 by the Settlement Agreement.

23 (2) Within 180 days following the date of the enact24 ment of this Act, the Secretary, after consulting with the

25 Tribe, shall ascertain the boundaries and area of the exist-
42

•HR 2399 EH

1 ing reservation. In addition, the Secretary, after consult2 ing with the Tribe, shall engage a professional land plan3 ning firm as provided in the Settlement Agreement. The

4 Secretary shall bear the cost of all services rendered pur5 suant to this section.

6 (3) The Tribe may identify, purchase and request

7 that the Secretary place into reservation status, tracts of

8 lands in the manner prescribed by the Settlement Agree9 ment. The Tribe may not request that any land be placed

10 in reservation status, unless those lands were acquired by

11 the Tribe and qualify for reservation status in full compli12 ance with the Settlement Agreement, including section 14

13 thereof.

14 (4) The Secretary shall bear the cost of all title ex15 aminations, preliminary subsurface soil investigations, and

16 level one environmental audits to be performed on each

17 parcel contemplated for purchase by the Tribe or the Sec18 retary for the Expanded Reservation, and shall report the

19 results to the Tribe. The Secretary’s or the Tribe’s pay20 ment of any option fee and the purchase price may be

21 drawn from the Catawba Land Acquisition Trust Fund.

22 (5) The total area of the Expanded Reservation shall

23 be limited to 3,000 acres, including the Existing Reserva24 tion, but the Tribe may exclude from this limit up to 600

25 acres of additional land under the conditions set forth in
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•HR 2399 EH

1 the Settlement Agreement. The Tribe may seek to have

2 the permissible area of the Expanded Reservation en3 larged by an additional 600 acres as set forth in the Set4 tlement Agreement.

5 (6) All lands acquired for the Expanded Reservation

6 may be held in trust together with the Existing Reserva7 tion which the State is to convey to the United States.

8 (7) Nothing in this Act shall prohibit the Secretary

9 from providing technical and financial assistance to the

10 Tribe to fulfill the purposes of this section.

11 (c) EXPANSION ZONES.—(1) Subject to the condi12 tions, criteria, and procedures set forth in the Settlement

13 Agreement, the Tribe shall endeavor at the outset to ac14 quire contiguous tracts for the Expanded Reservation in

15 the ‘‘Catawba Reservation Primary Expansion Zone’’, as

16 defined in the Settlement Agreement.

17 (2) Subject to the conditions, criteria, and procedures

18 set forth in the Settlement Agreement, the Tribe may elect

19 to purchase contiguous tracts in an alternative area, the

20 ‘‘Catawba Reservation Secondary Expansion Zone’’, as de21 fined in the Settlement Agreement.

22 (3) The Tribe may propose different or additional ex23 pansion zones subject to the authorizations required in the

24 Settlement Agreement and the State Act.
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•HR 2399 EH

1 (d) NON-CONTIGUOUS TRACTS.—The Tribe, in con2 sultation with the Secretary, shall take such actions as are

3 reasonable to expand the Existing Reservation by assem4 bling a composite tract of contiguous parcels that border

5 and surround the Existing Reservation. Before requesting

6 that any non-contiguous tract be placed in Reservation

7 status, the Tribe shall comply with section 14 of the Set8 tlement Agreement. Upon the approval of the Tribe’s ap9 plication under and in accordance with section 14 of the

10 Settlement Agreement, the Secretary, in consultation with

11 the Tribe, may proceed to place non-contiguous tracts in

12 Reservation status. No purchases of non-contiguous tracts

13 shall be made for the Reservation except as set forth in

14 the Settlement Agreement and the State Act.

15 (e) VOLUNTARY LAND PURCHASES.—(1) The power

16 of eminent domain shall not be used by the Secretary or

17 any governmental authority in acquiring parcels of land

18 for the benefit of the Tribe, whether or not the parcels

19 are to be part of the Reservation. All such purchases shall

20 be made only from willing sellers by voluntary conveyances

21 subject to the terms of the Settlement Agreement.

22 (2) Notwithstanding any other provision of this sec23 tion and the provisions of the first section of the Act of

24 August 1, 1888 (ch. 728, 25 Stat. 357; 40 U.S.C. 257),

25 and the first section of the Act of February 26, 1931 (ch.
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•HR 2399 EH

1 307, 46 Stat. 1421; 40 U.S.C. 258a), the Secretary or

2 the Tribe may acquire a fractional interest in land other3 wise qualifying under section 14 of the Settlement Agree4 ment for treatment as Reservation land for the benefit of

5 the Tribe from the ostensible owner of the land if the Sec6 retary or the Tribe and the ostensible owner have agreed

7 upon the identity of the land to be sold and upon the pur8 chase price and other terms of sale. If the ostensible owner

9 agrees to the sale, the Secretary may use condemnation

10 proceedings to perfect or clear title and to acquire any

11 interests of putative co-tenants whose address is unknown

12 or the interests of unknown or unborn heirs or persons

13 subject to mental disability.

14 (f) TERMS AND CONDITIONS OF ACQUISITION.—All

15 properties acquired by the Tribe shall be acquired subject

16 to the terms and conditions set forth in the Settlement

17 Agreement. The Tribe and the Secretary, acting on behalf

18 of the Tribe and with its consent, are also authorized to

19 acquire Reservation and non-Reservation lands using the

20 methods of financing described in the Settlement Agree21 ment.

22 (g) AUTHORITY TO ERECT PERMANENT IMPROVE23 MENTS ON EXISTING AND EXPANDED RESERVATION

24 LAND AND NON-RESERVATION LAND HELD IN TRUST.—

25 Notwithstanding any other provision of law or regulation,
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•HR 2399 EH

1 the Attorney General of the United States shall approve

2 any deed or other instrument which conveys to the United

3 States lands purchased pursuant to the provisions of this

4 section and the Settlement Agreement. The Secretary or

5 the Tribe may erect permanent improvements of a sub6 stantial value, or any other improvements authorized by

7 law on such land after such land is conveyed to the United

8 States.

9 (h) EASEMENTS OVER RESERVATION.—(1) The ac10 quisition of lands for the Expanded Reservation shall not

11 extinguish any easements or rights-of-way then encumber12 ing such lands unless the Secretary or the Tribe enters

13 into a written agreement with the owners terminating such

14 easements or rights-of-way.

15 (2)(A) The Tribe, with the approval of the Secretary,

16 shall have the power to grant or convey easements and

17 rights-of-way, in a manner consistent with the Settlement

18 Agreement.

19 (B) Unless the Tribe and the State agree upon a

20 valuation formula for pricing easements over the Reserva21 tion, the Secretary shall be subject to proceedings for con22 demnation and eminent domain to acquire easements and

23 rights of way for public purposes through the Reservation

24 under the laws of the State in circumstances where no

25 other reasonable access is available.
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1 (C) With the approval of the Tribe, the Secretary

2 may grant easements or rights-of-way over the Reserva3 tion for private purposes, and implied easements of neces4 sity shall apply to all lands acquired by the Tribe, unless

5 expressly excluded by the parties.

6 (i) JURISDICTIONAL STATUS.—Only land made part

7 of the Reservation shall be governed by the special juris8 dictional provisions set forth in the Settlement Agreement

9 and the State Act.

10 (j) SALE AND TRANSFER OF RESERVATION

11 LANDS.—With the approval of the Secretary, the Tribe

12 may sell, exchange, or lease lands within the Reservation,

13 and sell timber or other natural resources on the Reserva14 tion under circumstances and in the manner prescribed

15 by the Settlement Agreement and the State Act.

16 (k) TIME LIMIT ON ACQUISITIONS.—All acquisitions

17 of contiguous land to expand the Reservation or of non18 contiguous lands to be placed in Reservation status shall

19 be completed or under contract of purchase within 10

20 years from the date the last payment is made into the

21 Land Acquisition Trust; except that for a period of 20

22 years after the date the last payment is made into the

23 Catawba Land Acquisition Trust Fund, the Tribe may,

24 subject to the limitation on the total size of the Reserva25 tion, continue to add parcels to up to two Reservation
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•HR 2399 EH

1 areas so long as the parcels acquired are contiguous to

2 one of those two Reservation areas.

3 (l) LEASES OF RESERVATION LANDS.—The provi4 sions of the first section of the Act of August 9, 1955

5 (ch. 615, 69 Stat. 539; 25 U.S.C. 415) shall not apply

6 to the Tribe and its Reservation. The Tribe is authorized

7 to lease its Reservation lands for terms up to but not ex8 ceeding 99 years, with or without the approval of the Sec9 retary. With regard to any lease of Reservation lands not

10 approved by the Secretary, the Secretary shall be excul11 pated by the Tribe from any liability arising out of any

12 loss incurred by the Tribe as a result of the unapproved

13 lease.

14 (m) NON-APPLICABILITY OF BIA LAND ACQUISITION

15 REGULATIONS.—The general land acquisition regulations

16 of the Bureau of Indian Affairs, contained in part 151

17 of title 25, Code of Federal Regulations, shall not apply

18 to the acquisition of lands authorized by this section.

19 SEC. 13. NON-RESERVATION PROPERTIES.

20 (a) ACQUISITION OF NON-RESERVATION PROP21 ERTIES.—The Tribe may draw upon the corpus or accu22 mulated income of the Catawba Land Acquisition Trust

23 Fund or the Catawba Economic Development Trust Fund

24 to acquire and hold parcels of real estate outside the Res25 ervation for the purposes and in the manner delineated
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1 in the Settlement Agreement. Jurisdiction and status of

2 all non-Reservation lands shall be governed by section 15

3 of the Settlement Agreement.

4 (b) AUTHORITY TO DISPOSE OF LANDS.—Notwith5 standing any other provision of law, the Tribe may lease,

6 sell, mortgage, restrict, encumber, or otherwise dispose of

7 such non-Reservation lands in the same manner as other

8 persons and entities under State law, and the Tribe as

9 land owner shall be subject to the same obligations and

10 responsibilities as other persons and entities under State,

11 Federal, and local law.

12 (c) RESTRICTIONS.—Ownership and transfer of non13 Reservation parcels shall not be subject to Federal law re14 strictions on alienation, including (but not limited to) the

15 restrictions imposed by Federal common law and the pro16 visions of the section 2116 of the Revised Statutes (25

17 U.S.C. 177).

18 SEC. 14. GAMES OF CHANCE.

19 (a) INAPPLICABILITY OF INDIAN GAMING REGU20 LATORY ACT.—The Indian Gaming Regulatory Act (25

21 U.S.C. 2701 et seq.) shall not apply to the Tribe.

22 (b) GAMES OF CHANCE GENERALLY.—The Tribe

23 shall have the rights and responsibilities set forth in the

24 Settlement Agreement and the State Act with respect to

25 the conduct of games of chance. Except as specifically set
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1 forth in the Settlement Agreement and the State Act, all

2 laws, ordinances, and regulations of the State, and its po3 litical subdivisions, shall govern the regulation of gambling

4 devices and the conduct of gambling or wagering by the

5 Tribe on and off the Reservation.

6 SEC. 15. GENERAL PROVISIONS.

7 (a) SEVERABILITY.—If any provision of section 4(a),

8 5, or 6 of this Act is rendered invalid by the final action

9 of a court, then all of this Act is invalid. Should any other

10 section of this Act be rendered invalid by the final action

11 of a court, the remaining sections of this Act shall remain

12 in full force and effect.

13 (b) INTERPRETATION CONSISTENT WITH SETTLE14 MENT AGREEMENT.—To the extent possible, this Act shall

15 be construed in a manner consistent with the Settlement

16 Agreement and the State Act. In the event of a conflict

17 between the provisions of this Act and the Settlement

18 Agreement or the State Act, the terms of this Act shall

19 govern. In the event of a conflict between the State Act

20 and the Settlement Agreement, the terms of the State Act

21 shall govern. The Settlement Agreement and the State Act

22 shall be maintained on file and available for public inspec23 tion at the Department of the Interior.

24 (c) IMPACT OF SUBSEQUENTLY ENACTED LAWS.—

25 No law or regulation of the United States (1) which ac-
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1 cords or relates to a special status or right of or to any

2 Indian, Indian nation, tribe or band of Indians, Indian

3 lands, Indian reservations, Indian country, Indian terri4 tory or land held in trust for Indians, and also (2) affects

5 or preempts the civil, criminal, or regulatory jurisdiction

6 of the State, including without limitation, laws of the

7 State relating to land use or environmental matters, shall

8 apply within the State.

9 (d) ELIGIBILITY FOR CONSIDERATION TO BECOME

10 AN ENTERPRISE ZONE OR GENERAL PURPOSE FOREIGN

11 TRADE ZONE.—Notwithstanding the provisions of any

12 other law or regulation, the Tribe shall be eligible to be13 come, sponsor and operate (1) an ‘‘enterprise zone’’ pursu14 ant to title VII of the Housing and Community Develop15 ment Act of 1987 (42 U.S.C. 11501–11505) or any other

16 applicable Federal (or State) laws or regulations; or (2)

17 a ‘‘foreign-trade zone’’ or ‘‘subzone’’ pursuant to the For18 eign Trade Zones Act of 1934, as amended (19 U.S.C.

19 81a–81u) and the regulations thereunder, to the same ex20 tent as other federally recognized Indian Tribes.

21 (e) GENERAL APPLICABILITY OF STATE LAW.—Con22 sistent with the provisions of section 4(a)(2), the provi23 sions of South Carolina Code Annotated, section 27–16–

24 40, and section 19.1 of the Settlement Agreement are ap25 proved, ratified, and confirmed by the United States, and
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1 shall be complied with in the same manner and to the

2 same extent as if they had been enacted into Federal law.

3 (f) SUBSEQUENT AMENDMENTS TO THE SETTLE4 MENT AGREEMENT OR STATE ACT.—Consent is hereby

5 given to the Tribe and the State to amend the Settlement

6 Agreement and the State Act if consent to such amend7 ment is given by both the State and the Tribe, and if such

8 amendment relates to—

9 (1) the jurisdiction, enforcement, or application

10 of civil, criminal, regulatory, or tax laws of the Tribe

11 and the State;

12 (2) the allocation or determination of govern13 mental responsibility of the State and the Tribe over

14 specified subject matters or specified geographical

15 areas, or both, including provision for concurrent ju16 risdiction between the State and the Tribe;

17 (3) the allocation of jurisdiction between the

18 tribal courts and the State courts; or

19 (4) technical and other corrections and revisions

20 to conform the State Act and the Agreement in

21 Principle attached to the State Act to the Settlement

22 Agreement.

23 SEC. 16. TAX TREATMENT OF INCOME AND TRANSACTIONS.

24 Notwithstanding any provision of the State Act, the

25 Settlement Agreement, or this Act (including any amend-
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1 ment made under section 15(f)), nothing in this Act, the

2 State Act, or the Settlement Agreement—

3 (1) shall amend or alter the Internal Revenue

4 Code of 1986, as amended, or any rules or regula5 tions promulgated thereunder, or

6 (2) shall affect the treatment under such Code

7 of any person or transaction other than by reason of

8 the restoration of the trust relationship between the

9 United States and the Tribe.

10 SEC. 17. EFFECTIVE DATE.

11 Except for sections 7, 8, and 12, the provisions of

12 this Act shall become effective upon the transfer of the

13 Existing Reservation under section 12 to the Secretary.

Passed the House of Representatives September 27,

1993.

Attest:

Clerk.

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