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Show ~ REPORT OF THE COMMISSIONER OF INDUX AFFAIRS. 57 Mkxion Indians.-Some $12,000 was expended during the year in the construction of a new ditch on the Pala Reservation, in Cali-fornia, to replace the one destroyed by floods, as mentioned in my last report. On November 7,1906, Chief Engineer Code reported that the hold-ings of B. B. Barney should beJong to the ,4gua Caliente Indians and thus put an end to bickerings and disputes which are inevitable where members of two races are jointly interested inthe same water supply. Special Agent Kelsey had recommended the same thing; and on December 17 the Department authorized the purchase of Mr. Barney's property for $6,000, to be taken from the $100,000 appropriated for the purchase of lands and water rights for Indians in California. A deed conveying the water rights, pipe line, lands, and other prop-erty was approved by the Attorney-General on July 5, 1907, and the tra.nsfer has been made. A further sum of some $7,600 from this appropriation has been expended to increase the water supply on the ' - Pauma., Cahuilla, Cabezon, San Augustin, Mission and Pechanga reservations. Pima.-On January 23, 1907, Chief Engineer Code reported that after txe submission of the joint report of Special Agent Granville and himself, dated April 26, 1906referred to in my last report-- he had learned of new developments in the Salt River Valley recla-mation project which would insure a large amount of surph~sp ower. A plan was accordingly arranged whereby this Bureau was to sign an agreement with the Water-Users' Association of the Salt River Valley for power for pumping water on 10,000 acres of land on the Pima reservation, in Arizona, the power-to be delivered at the nort,h boundary of the reservation; the extension of the line to the various pumping plants on the reservation, and' the construction work, were to be done by the eng'ineers of the Reclamation Service and paid for from the funds available for the irrigation of Pima lands; anh the Indians were to be required to pa7 the same construction and . maintenance charges for power delivered to the reservation line as were assessed generally against the lands of the Salt River project; In pursuance thereof, an item was inserted in the current Indian appropriation act (34 Stat. L.,l022), providing- That the Secretary of the interior may,. in his discretion, use such part of the three hundred thousand dollars heretofore appropriated for an irrigation system for the Pima Indians in the payment of such Indians' proportionate part of the construction of the Salt River project, and such funds may be trans-ferred to the reclamation fund, to be expended by that Service in accordance with its rules and regiIlations; the Indians to receive a credit. upon the reclamatlou charge assessed against their lands under the Salt River project for the amount so transferred. An agreement signed by the president and the secretary of the Salt River Valley Water Users' Association, to include the lands of |