This bill directs the Secretary of the Interior to pay $33.9 million to the Keweenaw Bay Indian Community to settle land claims related to the uncompensated taking of reservation land, while also extinguishing the Community's claims to those lands and ensuring clear title for current landowners. It also restricts the use of settlement funds for acquiring land for gaming purposes.
Gary Peters
Senator
MI
The Keweenaw Bay Indian Community Land Claim Settlement Act of 2025 seeks to compensate the Keweenaw Bay Indian Community for the uncompensated taking of reservation land by the U.S. government. The Act directs the Secretary of the Interior to transfer $33.9 million to the Community, which can be used for various purposes, excluding land acquisition for gaming. Upon payment, the Act extinguishes all Community claims to the specified lands, ensuring clear title for current landowners. It also prevents the Community from using funds from the settlement to acquire land for gaming purposes.
The "Keweenaw Bay Indian Community Land Claim Settlement Act of 2025" directs the federal government to pay $33.9 million to the Keweenaw Bay Indian Community (KBIC) as compensation for land taken within the L'Anse Indian Reservation boundaries back in the late 1800s and early 1900s. This wasn't a land sale; the bill acknowledges the U.S. basically took the land without properly compensating the KBIC, violating treaty agreements from 1854 (SEC. 2). The core purpose is to right a historical wrong and provide the Community with funds for things like economic development, governmental services, and resource protection (SEC. 5).
The bill has two main, interconnected parts: money for the KBIC and clear land titles for current property owners. The $33.9 million payment, scheduled to be appropriated in fiscal year 2026, is meant to cover the loss of approximately 2,743 acres of "Reservation Swamp Lands" and between 1,333.25 and 2,720 acres of "Reservation Canal Lands" (SEC. 4). Think of it as the government finally paying its overdue bill, with interest, for land it improperly transferred to the State of Michigan decades ago (SEC. 2). In exchange for this payment, the KBIC gives up all claims to these specific lands (SEC. 6). This is a big deal for current landowners within the affected areas of the L'Anse Reservation (defined by specific township and range coordinates in SEC. 4) because it eliminates any legal uncertainty about their property rights. No more worrying about old land claims popping up.
Here's a key restriction: the KBIC cannot use any of the settlement money to acquire land for gaming purposes (SEC. 5, SEC. 7). This is a significant limitation on how the Community can use the funds. The bill also prevents the Secretary of the Interior from taking land into trust for the KBIC if it's going to be used for gaming. For example, if the KBIC wanted to use some of the funds to buy land for a new casino, this bill says "no way." They could, however, invest in other businesses, improve infrastructure on existing tribal lands, or support educational programs – the bill is pretty open-ended about uses other than gaming.
Imagine a local business owner who's been operating on land within the L'Anse Reservation for years, always with a nagging concern about potential historical land claims. This bill, once enacted, would remove that cloud of uncertainty, allowing them to invest and plan for the future with more confidence. On the KBIC side, the $33.9 million represents a substantial influx of resources. While the gaming restriction is a limitation, the funds could still be used for a wide range of projects that benefit the Community. It's also worth noting that this bill is about more than just money; it's about acknowledging a historical injustice and attempting to provide a fair resolution (SEC. 3). The challenge will be in ensuring the funds are used effectively and that the restrictions on gaming don't create unintended obstacles for the KBIC's long-term economic development.