Statement of Administration Policy: H.R. 3621 - Southern California Indian Land Transfer Act

(House)
(Hunter, Packard and McCandless (R) California)

The Administration strongly opposes Title II of H.R. 3621 because it would provide up to $100 million for a new Federally subsidized financial corporation for Indian economic development that would duplicate existing programs. Title II would also place the Federal Government at considerable financial risk without providing for adequate Federal oversight. Title II largely duplicates, at high cost, existing Bureau of Indian Affairs direct loan and quaranty programs authorized by the Indian Financing Act. In fact, on September 22, 1988, the President approved P.L. 100-442 which substantially expanded the scope of the Indian Financing Act and increased the total loan guarantee authorization under the Act from $200 million to $500 million.

If H.R. 3621 were presented to the President, the Secretary of the Interior and the Director of OMB would recommend that the bill be vetoed.

In addition, the Administration opposes Title I of H.R. 3621 because it violates longstanding policy requiring the payment of fair market value for Federal lands conveyed to non-Federal entities.