United States DepartmentoftheInterior OFFICE OF THE SECRETARY WASHINGTON, D.C. 20240 CCT 9 B79 Honorable Henry M. Jackson Chairman, Cammittee on Energy and Natural Resources United States Senate Washington, D. C. ; os ° 20510 Dear Mr. Caiman: This responds to your request for a report on E.R. 3756 as passed by the House of Representatives on May 7, 1979, a bill "To authorize appropriations for certain insular areas of the United States, and for other purposes." The Administration recommends that H.R. 3756 be enacted with the amendments described below. Section 101 Section 101 would provide an cper-erded authorization of finds for - the Trust Territory of the Pacific Islands after 1980, both as to - time and amount. The Administration has no objection to the oper ended provisions. We believe that language that is open-ended as to amount gives recognition to the need for Trust Territory budget flexibility in light of the changes taking place there. Open-ended timing would accommodate the schechile that might arise from agreement reached “ with the Micronesians on future political status terminating the trusteeship by the end of 1981. ‘Section 12 - Section 102would authorize the appropriation of SO percent of the outstanding amountspayable under the adjudicated claims and final awards made by the Micronesian Claims Commission under Title If the Micronesian Claims Act of 1971. These awards amount to To date, Japan and the United States have made available a it Million. total of $11.8 millim (with Japan's share in goods Ont sey which has been paid or made available on a pro rata basis to Ti Claimants. P.L. 95-1é muthovizes payment bf the remaining amounts” Outstanding upon a 50 percent contribution by Japan. Since Japan has made no further contribution, the balance of $22.6 million inTitleI awards remains unpaid. Claims relating to the immediate post-seare ‘and post war period (the Title IT claims), totaling approximately $32 million, have been paid. on oe TERS ee TRE aye ‘of ee -~ ,