Dear Tribal Leader:

This letter is part of a dialogue with American Indian and Alaskan Native leaders regarding efforts of the Department of the Interior ("Department") to organize its trust activities more effectively. The enclosed report provides both an informative analysis and a schedule for further regional and national consultation. I hope the information will facilitate your participation in the consultation process regarding the Department's efforts to improve Indian services.

Last year, in an effort to focus more management attention on our fiduciary trust responsibilities, the Department announced a proposal to create an additional Assistant Secretary position, who would have been charged with managing Indian trust assets. Following earlier consultation efforts, it became clear that the Department's proposal would not receive broad support from Indian country.

I have said, on a number of occasions, that I would entertain other reorganizational proposals so long as they are consistent with our commitment to achieving trust management improvements. Early this year, at the suggestion of the National Congress of American Indians ("NCAI"), the Department agreed to sponsor a joint Tribal Leaders/DOI Trust Reform Task Force ("Task Force") to develop alternative proposals for reorganizing our Indian affairs activities.

On June 4, 2002, the Task Force presented an initial report containing its findings and recommendations. The Task Force, like other groups within Indian Country, has rejected the Departments' original proposal. Nevertheless, the Task Force also reinforced the need for some type of significant change to better organize the management of trust assets. I am heartened by the finding that "the Task Force believes that there is a need for reform, and that the status quo is not acceptable."

The Task Force report demonstrates that there are several other viable options that may achieve meaningful reorganization while obtaining the support of Indian Country. Given that the efforts of the Task Force are yielding these valuable opportunities for moving forward cooperatively, the Department does not plan to pursue its original proposal further. I am looking forward to continued progress of the Task Force to delineate an organizational structure that facilitates improvement in the Department's performance in managing trust assets for the benefit of American Indian beneficiaries.

The Task Force suggested that their report, outlining these alternatives, should be shared with Indian Country for further consultation. In addition, I have also received comments from the Special Trustee for American Indians that express concerns about the alternatives being offered. Please consider each document as part of our ongoing consultation process.

Your expeditious review and comments on these alternatives is requested as I plan on hearing from tribal leaders directly at the NCAI mid-year meeting on Wednesday, June 19, 2002 in Bismark, ND. If possible, I would appreciate receiving your comments prior to that meeting.

On June 26, the Task Force Co-Chairmen are also planning to testify together, at a Senate hearing regarding their findings and recommendations, along with consultation comments received by that date. There will be further opportunity to provide comments after the Senate hearing as well.

Written comments on the Task Force report and the memorandum from the Special Trustee for American Indians can be forwarded to Ms. Aurene Martin, Acting Deputy Assistant Secretary for Indian Affairs, U.S. Department of the Interior, 1849 C Street, N.W., Washington, D.C. 20240. Comments, via fax, can be sent to (202) 208-6334.

Thank you for participating in the consultation process. It is my hope that we will be able to adopt a new organizational structure, with the broad support of Indian Country, at some point in the near future. We look forward to working with you to improve our service to trust beneficiaries.

Sincerely,



Gale A. Norton