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majority of the ferry passengers are non-Indian. To the best of our knowledge no other tribe in the United States is saddled with the responsibility of operating a ferry system. The uniqueness of the Inchelium Ferry might explain in part the BIA's failure to adequately provide for its operation.

To cover the cost of operating the ferry, $225,000 was added to the Colville Agency base in 1981. The costs of operation, however, have sky-rocketed, owing primarily to the increased fuel cost; but there has been no corresponding increase to the Agency base to cover the increased costs. As a result, the Colville Indian Agency has been forced to reduce expenditures on the regular banded programs each year since 1981. In 1984 this reduction equals $215,000. The Colville Agency estimated it will spend $430,000 in FY 85 as compared to the $250,000 in 1981. None of these reductions to meet the Ferry commitment have been covered by increased funding to Colville.

The loss of funds to the operation of the ferry has had a particularly adverse effect on roads maintenance. While road maintenance costs have also climbed, the funds available to respond to the problems have been reduced as funds are siphoned off to operate the ferry. For example, roads maintenance in 1982 was $625,000, where as in 1984 BIA spent only $538,000 less than required to meet minimum maintenance standards.

Because of the expected increased cost of ferry operations and the inability of the Agency to further reduce expenditures for other vital programs, reservation roads are deteriorating rapidly; snow removal has been curtailed; inventories of culverts, tires, and batteries have been depleted; and an inoperable sander ($5,500) has not been replaced.

The Colville Business Council believes that current BIA budgeting practices have inadvertently worked a severe hardship on the Colville Tribes and on the Indian and non-Indian citizens who depend on the reservation road system. Congress must act to correct the problem.

Funding of Soil Conservation Study

The Colville Indian Reservation is a water poor land where full development of agricultural resources has been long impeded owing to the absence of an adequate water inventory. In 1980 through FY 85 the Tribes received federal funding under the BIA 10-year water plan to undertake a water inventory on the reservation. That study would be completed in 1986. However, no funds to allow for the study's completion have been identified in the President's 1986 budget request. The Colville Confederated Tribes requests that Congress consider earmarking needed funds in the 1986 budget to complete the water inventory.

The purpose of the water inventory is to identify all irrigable acreage on the reservation and to determine what agricultural programs would be most appropriate for each area identified. The semi-arid climate and mountainous terrain dictates that available water be diverted to the highest and best The study is of critical importance for the Colville

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Reservation because much of the prime farm land on the reservation was taken for the construction of Grand Coulee and Chief Joseph federal Dams. Completion of the water inventory will allow marginal lands and unused lands to be reclaimed by tribal members, providing needed industry and employment for members. The study's completion will also provide needed information to assist in the cooperative resolution of water rights issues on the reservation.

The study now is 80% completed. Almost 95% of the field work is finished and we expect all field work to be completed by the end of FY 85. However, without completion funding for FY 86 the data collected will be useless. The additional and final assistance will enable the data compiled from the field work to be put into a form that will be useful to the Tribes and the Department of Agriculture, which has, through the Soil Conservation Service, acted in partnership with the Tribes throughout the project.

In order to complete the inventory without serious interruption, funds should be made expressly available on October 1, 1985 so that the services of the Soil Conservation employees and the staff working under the Tribe's 638 contract can continue to do their jobs without risk of the BIA halting operations pending the issuance of an advice of allotment.

Indian Housing Program

In 1980 there were 1,765 substandard homes out of a total of 2,183 houses on the Colville Reservation. We expect the number to continue to be significant when a new survey is completed in May, 1985.

If Housing Improvement Program funds are discontinued there is no alternative source of funding to upgrade these houses. Unemployment now exceeds 60% among Indian reservation residents. On the reservation there are now 2,320 persons living below the poverty level in 539 households (4.3 in each household). There is, therefore, little likelihood that their housing needs will be corrected without continued federal assistance.

Major problems in reservation housing include, uninsulated houses, substandard or nonexistant electrical service, the need for rewiring, rotting kitchen and bathroom subfloors, overcrowding that requires bedroom additions, and lack of water. These problems are exacerbated on the Colville Indian Reservation where temperatures are extreme, sometimes reaching well below zero in the winter.

Thank you once again for the opportunity to testify.

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THURSDAY, APRIL 4, 1985.

WITNESS

WHITE EARTH RESERVATION TRIBAL COUNCIL

DARRELL WADENA, CHAIRMAN

Mr. DICKS. Mr. Wadena.
Nice to have you here.

Mr. WADENA. Thank you.

I appreciate the opportunity to testify before you. I am testifying today for the Minnesota Chippewa Tribe that represents six bands in Minnesota and with respect to the FY '86 budget for the Bureau of Indian Affairs.

We join with our fellow tribe persons across the country to request funding for this program at the FY '85 level.

Mr. DICKS. Yes. We have had a lot of testimony on this.

Mr. WADENA. Also cost-of-living increases. Even though Congress has appropriated the funds for this purpose, in prior years the tribe has not shared in those funds. Now we request two specific actions of this Committee in that regard.

Number one, that you query BIA officials in its policy and procedure to allocate its funds for contractors; and that you accept Chairman Udall's proposal at $3,183,000 be restored to the BIA appropriations for cost-of-living increase or for 638 employees.

The third category is self-determination grants. Here again, the determination in grant funds are vital to permit the tribes to more effectively manage such contract. To concur with Chairman Udall's recommendation that $4,300,000 be restored to this purpose.

Recognizing the current budget constraints for new construction, and in this period of self-determination, the White Earth Tribal Council proposes to secure the necessary funds to construct a new or expanded health facility for lease to the IHS under the provisions of Section 704 of P.L. 94-437.

It is requested that the IHS appropriations for FY 1986 include approval for the IHS to enter into a 20-year lease for a 14,804 net square feet health facility at White Earth. The tribes believe it important that the Committee be informed on the BIA Central Office request.

Mr. DICKS. Your time is up, so if you want to summarize anything else or want to mention anything else, go right ahead.

Mr. WADENA. Well, I guess it is pretty well spelled out in the written testimony. I will submit that, Mr. Chairman.

Mr. DICKS. Are you also testifying for the White Earth Band of Chippewas?

Mr. WADENA. Yes, I am.

Mr. DICKS. If you want to say anything about that, just go ahead. Mr. WADENA. We request that the baseline budget of the BIA be increased by $295,000, and be marketed to the White Earth Conversation Department for biological management. This, in combination with band and tribal funds will cover nearly all management of natural resources and conservation law enforcement on the White Earth Reservation. Such funding will allow the tribe to manage the natural resources so that their yield can be increased,

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thereby improving the economy of the area and resulting in increased jobs and food to the local people, regardless of their being Indian or non-Indian affiliated. It will also aid in the reservation's ability to coordinate with the State and improve the management of the resources previously unregulated and over-exploited.

Mr. Chairman, the White Earth people appreciate the support you and the Committee have provided to the programs that are so vital to our well being. We are hopeful you will be able to fund the requests contained herein.

Mr. DICKS. Well, we appreciate your being here a few minutes early so you could proceed.

Thank you very much.
[Statement follows:]

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