Tribe denounces 'false' reporting on water project

The Chippewa Cree Tribe of Rocky Boy's Indian Reservation has issued a release saying work on a regional water project is proceeding and that an article reporting that the Bureau of Reclamation had temporarily halted funding on the project contained comments that were "not only taken out of context but untrue."

"The numbers reported by the local newspapers don't match the facts," Richard "Ricky" Morsette, acting chair of the tribe's Business Committee, said in the release.

A March 21 Associated Press article reported BOR had frozen funds on the water project, and that a letter from a BOR director obtained by AP commended the tribe for restoring funds and self-reporting the problem, but that "re-allocation of funds without consultation is a serious non-compliance matter with potentially long-lasting implications."

The issue is funding for and work on a regional water system that grew out of the Chippewa Cree Tribe's water compact it negotiated with the state of Montana and the federal government.

The system will use a water treatment plant, operated by the tribe, at Tiber Dam, and transport the water to nearly 30,000 people in the area, including on Rocky Boy's Indian Reservation and from Loma to the Canadian border and from Dutton through Conrad, Cut Bank and Shelby north to Sweetgrass, including Havre and rural water systems in Hill, Chouteau, Liberty, Pondera, Teton, Glacier and Toole counties.

Ken Blatt St. Marks, who was elected chair of the Business Committee last fall but whom the other members removed from his position March 25, has said money was missing from the accounts for the water project, administered by the tribally owned Chippewa Cree Construction Corp., and that the tribe replaced that money using other funds once the bureau started investigating.

In the press release, the Business Committee said all funds are accounted for and accounting staff is working with BOR to make sure all of the paperwork is in order, including efforts to recover from two years of federal disaster declarations for flooding in 2010 and 2011.

"The Construction Corporation invested $5 million of their own funds to rebuild the tribe's clinic that was destroyed during the floods," Morsette said in the release.

St. Marks has said he was removed from office because he was working with federal investigators on the water project issue and other misuse of funds and misconduct on the reservation.

The Business Committee said in a press release after it removed St. Marks that he was removed due to "neglect of duty and gross misconduct."

The tribal officials have generally declined to be interviewed by the Havre Daily News on the suspension and removal of St. Marks, instead issuing press releases. The Associated Press article reported that tribal officials referred the reporter to a tribal attorney, who told the reporter he was not authorized to comment and later issued a written statement on behalf of tribal leaders.

Morsette said in Monday's release that the tribal government provided St. Marks with "repeated, in-depth explanations and financial records showing where federal funds and business revenues are allocated. He refused to listen to our budget and accounting staff who attempted to work with him to clear his confusion.

BOR spokesman Tyler Johnson said this morning that the problems it was investigating with the water project were irregularities in accounting, and the bureau didn't say it was freezing funds.

"We were letting the tribe know their accounting was not accurate," Johnson said.

He said money was not frozen because of that issue, it was frozen in a standard budgeting process that puts money on a 90-day hold. That process froze the funding until May 21, but had nothing to do with the accounting issues, Johnson said.

Morsette said in the release that funding is scheduled to be released May 21 following the 90-day review period.

Johnson said some other issues with the water project included potential conflicts of interest, with a company owned by St. Marks and a company owned by Chippewa Cree Construction Corp. head Tony Belcourt both receiving contracts for the project.

The issue with St. Marks' company has been resolved by his removal as chair of the tribal council, Johnson said. He said he is not aware that the potential conflict with Belcourt's business has been resolved.

Morsette said in the release that the tribal government and leaders have delayed making statements and releasing information "in order to refute this unfounded and harmful publicity.

"We ask that our tribal members and business partners please have patience as we work to take the Chippewa Cree in a positive direction," he added.

Rocky Boy chair candidates announced

The Chippewa Cree Election Committee has announced the list of certified candidates for the May 21 special election to take the place of ousted Business Committee Chair Ken Blatt St. Marks.

St. Marks is one of the candidates in the election.

The other people listed as candidates for chair of the tribal council are Luanne Belcourt, Bert Corcoran, "Big Mike" Corcoran, Curtis A. Monteau Jr., Richard "Ricky" Morsette and state Sen. Jonathan Windy Boy, D-Box Elder.

The other council members unanimously removed St. Marks from office March 25, due to "neglect of duty and gross misconduct," they said in a press release following their action.

St. Marks has said it was a repercussion of his trying to clean up what he calls misuse of federal money and other misconduct by tribal officials.