United States v. Navajo Nation Case Brief
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Case Brief Summary & Legal Analysis
tl;dr: The Navajo Nation sought damages for an alleged breach of trust in federal approval of coal-lease amendments. The Court reversed a ruling favoring the Tribe because the governing statute and regulations imposed no specific duty supporting damages for the challenged conduct.
Legal Significance: The decision applies the Mitchell framework to tribal trust claims: a general federal trust relationship does not establish a damages remedy. Tribes must identify specific statutory or regulatory duties and show that the governing law can fairly be interpreted as mandating compensation for their breach.
Case Facts & Court Holding
Key Facts & Case Background
A 1964 coal lease between the Navajo Nation and Peabody’s predecessor permitted reasonable royalty adjustments by the Secretary of the Interior. In 1984, an authorized Area Director raised the royalty from 37.5 cents per ton to 20 percent of gross proceeds. Peabody appealed administratively, and Deputy Assistant Secretary Fritz appeared ready to reject its appeal.
After meeting privately with Peabody representatives, Secretary Hodel suggested that Fritz delay decision and encourage negotiations. The Tribe received no notice of the meeting or the Secretary’s memorandum. Facing severe economic pressure, it resumed negotiations. The resulting amendments provided a 12½ percent royalty, retroactive payments, and other financial and contractual terms. The Tribal Council approved the amendments, and the Secretary approved them in 1987. The Area Director’s decision was then vacated by stipulation.
In 1993, the Tribe sued the United States in the Court of Federal Claims, seeking $600 million for an alleged breach of trust. That court granted the Government summary judgment: although it found general fiduciary duties had been violated, it found no statutory or regulatory obligation mandating compensation. The Federal Circuit reversed and remanded for determination of damages and further proceedings. The Supreme Court granted certiorari.
Court Holding & Legal Precedent
Issue: Do the Indian Mineral Leasing Act of 1938 and its implementing regulations support damages under the Indian Tucker Act for the Secretary’s alleged breach of trust in approving the negotiated coal-lease amendments?
The Tribe’s compensation claim failed because no applicable provision of the IMLA or its implementing regulations imposed a duty supporting damages for the challenged conduct. The Secretary’s coal-leasing approval role did not entail comprehensive resource management or an enforceable obligation to obtain a higher royalty or conduct an independent economic analysis. The Court reversed the Federal Circuit’s judgment and remanded for further proceedings consistent with its opinion.
IRAC Legal Analysis
Legal Issue
Do the Indian Mineral Leasing Act of 1938 and its implementing regulations support damages under the Indian Tucker Act for the Secretary’s alleged breach of trust in approving the negotiated coal-lease amendments?
Conclusion
The decision limits damages claims arising from federal approval of tribal coal leases to duties grounded in applicable substantive law. It does not resolve potential damages obligations concerning oil and gas leases or approval of coal leases violating the regulatory minimum royalty.
Legal Rule
The Indian Tucker Act, 28 U. S. C. § 1505, supplies consent to suit but creates no substantive rights. A Tribe must identify substantive law establishing specific fiduciary or other duties and allege their breach; the court must then determine whether that law can fairly be interpreted as mandating compensation. A general trust relationship alone is insufficient, although an express damages provision is unnecessary. United States v. Mitchell, 445 U. S. 535 (1980) (Mitchell I); United States v. Mitchell, 463 U. S. 206, 216–219, 225–226 (1983) (Mitchell II).
Legal Analysis
The Court treated Mitchell I and Mitchell II as controlling. Mitchell I rejected damages based on a limited statutory trust that assigned land management to Indian allottees. Mitchell II permitted damages where detailed statutes and regulations imposed comprehensive federal management responsibilities. The IMLA’s coal-leasing scheme resembled the former: Tribes negotiated leases, while the Secretary primarily approved them. Imposing broader managerial duties would conflict with the statute’s tribal self-determination objective.
The Tribe identified no applicable statutory or regulatory standard requiring a higher royalty or an independent economic study. The governing regulations prescribed a ten-cent-per-ton minimum, which the Tribe did not contend the amended lease violated. The Court therefore left open whether approval of a lease below that minimum could support damages. It also declined to consider the Tribe’s argument that the effective royalty violated federal policy because the Tribe had not relied on that argument below.
Neither 25 U. S. C. § 399 nor the Indian Mineral Development Act governed this lease. Later regulations imposing best-interest requirements did not govern the events at issue.
The alleged unfairness of the Secretary’s intervention likewise supplied no damages claim without a specific statutory or regulatory duty. The applicable administrative process did not prohibit the challenged ex parte contacts. Either party could have transferred the appeal to a Board proceeding with stricter procedural requirements, but neither did. Moreover, Fritz’s anticipated ruling would not necessarily have secured a higher royalty because the Secretary retained review authority. The Court’s conclusion concerned enforceability in damages, not approval of the Secretary’s conduct.
Separate opinions
Souter, dissenting: Joined by Stevens and O’Connor, Souter would have affirmed the Federal Circuit. He read the Secretary’s approval authority, informed by statutory purposes, legislative history, and the historical protective role of federal approval, as imposing a specific fiduciary duty. At minimum, the Secretary should withhold approval when there is good reason to doubt the royalty’s market reasonableness or when his own conduct unfairly disadvantaged the Tribe. The Tribe’s evidence concerning valuation studies and the Secretary’s intervention sufficed to survive summary judgment, although disputed facts and the amendments’ overall benefits left ultimate recovery unresolved.
The Opinions
Summary
- The Indian Mineral Leasing Act of 1938 (IMLA) does not create a fiduciary duty that is enforceable against the U.S. for money damages.
- Following Mitchell I, the Court found the IMLA creates only a limited trust relationship because it prioritizes tribal self-determination in lease negotiations, giving the Secretary of the Interior only a secondary approval role.
- A general trust relationship is insufficient; a tribe must identify a specific statute or regulation that mandates compensation for a breach.
Full text
Complete unedited opinion text as published by the court
delivered the opinion of the Court.
This case concerns the Indian Mineral Leasing Act of 1938 (IMLA), 52 Stat. 347, 25 U. S. C. § 396a et seq., and the role it assigns to the Secretary of the Interior (Secretary) with respect to coal leases executed by an Indian Tribe and a private lessee. The controversy centers on 1987 amendments to a 1964 coal lease entered into by the predecessor of Peabody Coal Company (Peabody) and the Navajo Nation (Tribe), a federally recognized Indian Tribe. The Tribe seeks to recover money damages from the United States for an alleged breach of trust in connection with the Secretary’s approval of coal lease amendments negotiated by the Tribe and Peabody. This Court’s decisions in United States v. Mitchell, 445 U. S. 535 (1980) (Mitchell I), and United States v. Mitchell, 463 U. S. 206 (1983) (Mitchell II), control this case. Concluding that the controversy here falls within Mitchell Fs domain, we hold that the Tribe’s claim for compensation from the Federal Government fails, for it does not derive from any liability-imposing provision of the IMLA or its implementing regulations.
I
A
The IMLA, which governs aspects of mineral leasing on Indian tribal lands, states that “unallotted lands within any Indian reservation,” or otherwise under federal jurisdiction, “may, with the approval of the Secretary , be leased for mining purposes, by authority of the tribal council or other authorized spokesmen for such Indians, for terms not to exceed ten years and as long thereafter as minerals are produced in paying quantities.” §396a. In addition “to providing] Indian tribes with a profitable source of revenue,” Cotton Petroleum Corp. v. New Mexico, 490 U. S.
Prior to enactment of the IMLA, decisions whether to grant mineral leases on Indian land generally rested with the Government. See, e. g., Act of June 30, 1919, ch. 4, § 26, 41 Stat. 31, as amended, 25 U. S. C. § 399; see also infra, at 509 (describing § 399). Indian consent was not required, and leases were sometimes granted over tribal objections. See H. R. Rep. No. 1872, 75th Cong., 3d Sess., 2 (1938); S. Rep. No. 985, 75th Cong., 1st Sess., 2 (1937); 46 Fed. Cl. 217, 230 (2000). The IMLA, designed to advance tribal independence, empowers Tribes to negotiate mining leases themselves, and, as to coal leasing, assigns primarily an approval role to the Secretary.
Although the IMLA covers mineral leasing generally, in a number of discrete provisions it deals particularly with oil and gas leases. See 25 U. S. C. § 396b (requirements for public auctions of oil and gas leases); §396d (oil and gas leases are “subject to the terms of any reasonable cooperative unit or other plan approved or prescribed by [the] Secretary”); § 396g (“[T]o avoid waste or to promote the conservation of natural resources or the welfare of the Indians,” the Secretary may approve leases of Indian lands “for the subsurface storage of oil and gas.”). The IMLA contains no similarly specific prescriptions for coal leases; it simply remits coal leases, in common with all mineral leases, to the governance of rules and regulations promulgated by the Secretary. § 396d.
During all times relevant here, the IMLA regulations provided that “Indian tribes . . . may, with the approval of the Secretary ... or his authorized representative, lease their land for mining purposes.” 25 CFR §211.2 (1985). In line with the IMLA itself, the regulations treated oil and gas leases in more detail than coal leases. The regulations re
B
The Tribe involved in this case occupies the largest Indian reservation in the United States. Over the past century, large deposits of coal have been discovered on the Tribe’s reservation lands, which are held for it in trust by the United States. Each year, the Tribe receives millions of dollars in royalty payments pursuant to mineral leases with private companies.
Peabody mines coal on the Tribe’s lands pursuant to leases covered by the IMLA. This case principally concerns Lease 8580 (Lease or Lease 8580), which took effect upon approval by the Secretary in 1964. App. 188-220. The Lease established a maximum royalty rate of 37.5 cents per ton of coal, id., at 191, but made that figure “subject to reasonable adjustment by the Secretary of the Interior or his authorized representative” on the 20-year anniversary of the Lease and every ten years thereafter, id., at 194.
As the 20-year anniversary of Lease 8580 approached, its royalty rate of 37.5 cents per ton yielded for the Tribe only “about 2% of gross proceeds.” 263 F. 3d 1325, 1327 (CA Fed. 2001). This return was higher than the ten cents per ton minimum established by the then-applicable IMLA regula
In March 1984, the Chairman of the Navajo Tribal Council wrote to the Secretary asking him to exercise his contractually conferred authority to adjust the royalty rate under Lease 8580. On June 18, 1984, the Director of the Bureau of Indian Affairs for the Navajo Area, acting pursuant to authority delegated by the Secretary, sent Peabody an opinion letter raising the rate to 20 percent of gross proceeds. Id., at 8-9.
Contesting the Area Director’s rate determination, Peabody filed an administrative appeal in July 1984, pursuant to 25 CFR § 2.3(a) (1985). 46 Fed. Cl., at 222.
On July 17, 1985, Secretary Hodel sent a memorandum to Deputy Assistant Secretary Fritz. App. 117-118. The memorandum “suggested]” that Fritz “inform the involved parties that a decision on th[e] appeal is not imminent and urge them to continue with efforts to resolve this matter in a mutually agreeable fashion.” Id., at 117. “Any royalty adjustment which is imposed on those parties without their concurrence,” the memorandum stated, “will almost certainly be the subject of protracted and costly appeals,” and “could well impair the future of the contractual relationship”
The Tribe was not told of the Secretary’s memorandum to Fritz, but learned that “‘someone from Washington’ had urged a return to the bargaining table.” 46 Fed. Cl., at 223; see App. 342-344. Facing “severe economic pressure,” 263 F. 3d, at 1328; App. 355-356, the Tribe resumed negotiations with Peabody in August 1985, 46 Fed. Cl., at 223.
On September 23, 1985, the parties reached a tentative agreement on a package of amendments to Lease 8580. Ibid.
In August 1987, the Navajo Tribal Council approved the amendments. 46 Fed. Cl., at 224. The parties signed a final agreement in November 1987, App. 309, and Secretary Hodel approved it on December 14, 1987, id., at 337-339. Shortly thereafter, pursuant to the parties’ stipulation, the Area Director’s decision was vacated. 46 Fed. Cl., at 224.
In. 1993, the Tribe brought suit against the United States in the Court of Federal Claims, alleging, inter alia, that the Secretary’s approval of the amendments to the Lease constituted a breach of trust. The Tribe sought $600 million in damages.
The Court of Appeals for the Federal Circuit reversed. 263 F. 3d 1325 (2001). The Government’s liability to the Tribe, it said, turned on whether “the United States controls the Indian resources.” Id., at 1329. Relying on 25 U. S. C. §399 and regulations promulgated thereunder, the Court of Appeals determined that the measure of control the Secretary exercised over the leasing of Indian lands for mineral development sufficed to warrant a money judgment against the United States for breaches of fiduciary duties connected to coal leasing. 263 F. 3d, at 1330-1332. But see infra, at 509. The appeals court agreed with the Federal Claims Court that the Secretary’s actions regarding Peabody’s administrative appeal violated the Government’s fiduciary obligations to the Tribe, in that those actions “suppressed] and concealed] ” the decision of the Deputy Assistant Secretary, and “thereby favor[ed] Peabody interests to the detriment of Navajo interests.” 263 F. 3d, at 1332. Based on these
Judge Schall concurred in part and dissented in part. Id., at 1333-1341. It was not enough, he maintained, for the Tribe to show a violation of a general fiduciary relationship stemming from federal involvement in a particular area of Indian affairs. Rather, a Tribe “must show the breach of a specific fiduciary obligation that falls within the contours of the statutes and regulations that create the general fiduciary relationship at issue.” Id., at 1341. In his view, “the only government action in this case that implicated a specific fiduciary responsibility” was the Secretary’s 1987 approval of the Lease amendments. Id., at 1339. The Secretary had been deficient, Judge Schall concluded, in approving the amendments without first conducting an independent economic analysis of the amended agreement. Id., at 1339-1341.
The Court of Appeals denied rehearing. We granted certiorari, 535 U. S. 1111 (2002), and now reverse.
II
A
“It is axiomatic that the Umted States may not be sued without its consent and that the existence of consent is a prerequisite for jurisdiction.” Mitchell II, 463 U. S., at 212. The Tribe asserts federal subject-matter jurisdiction under 28 U. S. C. § 1505, known as the Indian Tucker Act. That Act provides:
“The United States Court of Federal Claims shall have jurisdiction of any claim against the United States accruing after August 13, 1946, in favor of any tribe . . . whenever such claim is one arising under the Constitution, laws or treaties of the United States, or Executive orders of the President, or is one which otherwise would\*503 be cognizable in the Court of Federal Claims if the claimant were not an Indian tribe, band, or group.”10
“If a claim falls within the terms of the [Indian] Tucker Act, the United States has presumptively consented to suit.” Mitchell II, 463 U. S., at 216.
Although the Indian Tucker Act confers jurisdiction upon the Court of Federal Claims, it is not itself a source of substantive rights. Ibid.; see Mitchell I, 445 U. S., at 538. To state a litigable claim, a tribal plaintiff must invoke a rights-creating source of substantive law that “can fairly be interpreted as mandating compensation by the Federal Government for the damages sustained.” Mitchell II, 463 U. S., at 218. Because “[t]he [Indian] Tucker Act itself provides the necessary consent” to suit, ibid., however, the rights-creating statute or regulation need not contain “a second waiver of sovereign immunity,” id., at 218-219.
B
Mitchell I and Mitchell II are the pathmarking precedents on the question whether a statute or regulation (or combination thereof) “can fairly be interpreted as mandating compensation by the Federal Government.” Mitchell II, 463 U. S., at 218.
In Mitchell I, we considered whether the Indian General Allotment Act of 1887 (GAA), 24 Stat. 388, as amended, 25 U.S.C. §331 et seq. (1976 ed.) (§§331-333 repealed 2000), authorized an award of money damages against the United
We held that the GAA did not create private rights enforceable in a suit for money damages under the Indian Tucker Act. After examining the GAA’s language, history, and purpose, we concluded that it “created only a limited trust relationship between the United States and the allottee that does not impose any duty upon the Government to manage timber resources.” Mitchell I, 445 U. S., at 542. In particular, we stressed that §§ 1 and 2 of the GAA removed a standard element of a trust relationship by making “the Indian allottee, and not a representative of the United States,.. . responsible for using the land for agricultural or grazing purposes.” Id., at 542-543; see id., at 543 (“Under this scheme,... the allottee, and not the United States, was to manage the land.”). We also determined that Congress decided to have “the United States ‘hold the land... in trust’ not because it wished the Government to control use of the land ..., but simply because it wished to prevent alienation of the land and to ensure that allottees would be immune from state taxation.” Id., at 544. Because “the Act [did] not . . . authoriz[e], much less requir[e], the Government to manage timber resources for the benefit of Indian allottees,” id., at 545, we held that the GAA established no right to recover money damages for mismanagement of such resources. We left open, however, the possibility that other sources of law might support the plaintiffs’ claims for damages. Id., at 546, and n. 7.
In Mitchell II, we held that a network of other statutes and regulations did impose judicially enforceable fiduciary
As to managing the forests and selling timber, we noted, Congress instructed the Secretary to be mindful of “the needs and best interests of the Indian owner and his heirs,” 25 U. S. C. § 406(a), and specifically to take into account:
“(1) the state of growth of the timber and the need for maintaining the productive capacity of the land for the benefit of the owner and his heirs, (2) the highest and best use of the land, including the advisability and practicality of devoting it to other uses for the benefit of the owner and his heirs, and (3) the present and future financial needs of the owner and his heirs.” Ibid.
Proceeds from timber sales were to be paid to landowners “or disposed of for their benefit.” Ibid. Congress’ prescriptions, Interior Department regulations, and “daily supervision over the harvesting and management of tribal timber” by the Department’s Bureau of Indian Affairs, we emphasized, combined to place under federal control “[virtually every stage of the process.” Mitchell II, 463 U. S., at 222 (internal quotation marks omitted); see id., at 222-224 (describing comprehensive timber management statutes and regulations promulgated thereunder).
Having determined that the statutes and regulations “established] fiduciary obligations of the Government in the management and operation of Indian lands and resources,” we concluded that the relevant legislative and executive prescriptions could “fairly be interpreted as mandating compensation by the Federal Government for damages sustained.” Id., at 226. A damages remedy, we explained, would “fur-the[r] the purposes of the statutes and regulations, which
To state a claim cognizable under the Indian Tucker Act, Mitchell I and Mitchell II thus instruct, a Tribe must identify a substantive source of law that establishes specific fiduciary or other duties, and allege that the Government has failed faithfully to perform those duties. See 463 U. S., at 216-217, 219. If that threshold is passed, the court must then determine whether the relevant source of substantive law “can fairly be interpreted as mandating compensation for damages sustained as a result of a breach of the duties [the governing law] impose[s].” Id., at 219. Although “the undisputed existence of a general trust relationship between the United States and the Indian people” can “reinforc[e]” the conclusion that the relevant statute or regulation imposes fiduciary duties, id., at 225, that relationship alone is insufficient to support jurisdiction under the Indian Tucker Act. Instead, the analysis must train on specific rights-creating or duty-imposing statutory or regulatory prescriptions. Those prescriptions need not, however, expressly provide for money damages; the availability of such damages may be inferred. See id., at 217, n. 16 (“[T]he substantive source of law may grant the claimant a right to recover damages either expressly or by implication.” (internal quotation marks and citation omitted)).
C
We now consider whether the IMLA and its implementing regulations can fairly be interpreted as mandating compensation for the Government’s alleged breach of trust in this case. We conclude that they cannot.
1
The Tribe’s principal contention is that the IMLA’s statutory and regulatory scheme, viewed in its entirety, attaches
The IMLA and its implementing regulations impose no obligations resembling the detailed fiduciary responsibilities that Mitchell II found adequate to support a claim for money damages.
Instead, the Secretary’s involvement in coal leasing under the IMLA more closely resembles the role provided for the Government by the GAA regarding allotted forest lands. See Mitchell I, 445 U. S., at 540-544. Although the GAA required the Government to hold allotted land “in trust for the sole use and benefit of the Indian to whom such allotment shall have been made,” id., at 541 (quoting 25 U. S. C. § 348), that Act did not “authoriz[e], much less requir[e], the Government to manage timber resources for the benefit of Indian allottees,” Mitchell I, 445 U. S., at 545. Similarly here, the IMLA and its regulations do not assign to the Secretary managerial control over coal leasing. Nor do they even establish the “limited trust relationship,” id., at 542, existing under the GAA; no provision of the IMLA or its regulations contains any trust language with respect to coal leasing.
Moreover, as in Mitchell I, imposing fiduciary duties on the Government here would be out of line with one of the statute's principal purposes. The GAA was designed so that “the allottee, and not the United States, . . . [would] manage the land.” Id., at 543. Imposing upon the Government a fiduciary duty to oversee the management of allotted lands would not have served that purpose. So too here. The IMLA aims to enhance tribal self-determination by giving Tribes, not the Government, the lead role in negotiating mining leases with third parties. See supra, at 494. As the Court of Federal Claims recognized, “[t]he ideal of Indian self-determination is directly at odds with Secretarial control over leasing.” 46 Fed. Cl., at 230.
The Tribe nevertheless argues that the actions of the Secretary targeted in this case violated discrete statutory and regulatory provisions whose breach is redressable in an action for damages. In this regard, the Tribe relies extensively on 25 U. S. C. § 399, see, e. g., Brief for Respondent 22-23,30-31, upon which the Court of Appeals placed considerable weight as well, see 263 F. 3d, at 1330-1331; supra, at 501. That provision, however, is not part of the IMLA and does not govern Lease 8580. Enacted almost 20 years before the IMLA, § 399 authorizes the Secretary to lease certain unallotted Indian lands for mining purposes on terms she sets, and does not provide for input from the Tribes concerned. See supra, at 494. In exercising that authority, the Secretary is authorized to “perform any and all acts .. . as may be necessary and proper for the protection of the interests of the Indians and for the purpose of carrying the provisions of this section into full force and effect.” §399. But that provision describes the Secretary’s leasing authority under § 399; it does not bear on the Secretary’s more limited approval role under the IMLA.
Similarly unavailing is the Tribe’s reliance on the Indian Mineral Development Act of 1982 (IMDA), 25 U. S. C. §2101 et seq. See Brief for Respondent 23-24, 30. The IMDA governs the Secretary’s approval of agreements for the development of certain Indian mineral resources through exploration and like activities. It does not establish standards governing the Secretary’s approval of mining leases negotiated by a Tribe and a third party. The Lease in this case, in short, falls outside the IMDA’s domain. See Reply Brief 12-13.
Citing 25 U. S. C. §396a, the IMLA’s general prescription, see supra, at 493, the Tribe next asserts that the Secretary violated his “duty to review and approve any proposed coal lease with care to promote IMLA’s basic purpose and the [Tribe’s] best interests.” Brief for Respondent 39. To sup
In the circumstances presented, the Tribe maintains, the Secretary’s eventual approval of the 12Vz percent royalty violated his duties under § 396a in two ways. First, the Secretary’s approval was “improvident,” Tr. of Oral Arg. 48, because it allowed the Tribe’s coal “to be conveyed for what [the Secretary] knew to be about half of its value,” id., at 49. Second, Secretary Model’s intervention into the Lease adjustment process “skewed the bargaining” by depriving the Tribe of the 20 percent rate, rendering the Secretary’s subsequent approval of the 121A percent rate “unfair.” Id., at 50.
The Tribe’s vigorously pressed arguments headlining § 396a fare no better than its arguments tied to § 399 and the IMDA; the § 396a arguments fail, for they assume substantive prescriptions not found in that provision.
In sum, neither the IMLA nor any of its regulations establishes anything more than a bare minimum royalty. Hence, there is no textual basis for concluding that the Secretary's approval function includes a duty, enforceable in an action for money damages, to ensure a higher rate of return for the Tribe concerned. Similarly, no pertinent statutory or regulatory provision requires the Secretary, on pain of damages, to conduct an independent “economic analysis” of the reasonableness of the royalty to which a Tribe and third party have agreed. 263 F. 3d, at 1340 (concurring opinion below, finding such a duty).
Here again, as the Court of Federal Claims ultimately determined, see supra, at 501, the Tribe’s assertions are not grounded in a specific statutory or regulatory provision that can fairly be interpreted as mandating money damages. Nothing in §396a, the IMLA’s basic provision, or in the IMLA’s implementing regulations proscribed the ex parte communications in this case, which occurred during an administrative appeal process largely unconstrained by formal requirements. See 25 CFR § 2.20 (1985) (Commissioner may rely on “any information available to [him] . . . whether formally part of the record or not.”); supra, at 496-497, n. 3. Either party could have effected a transfer of Peabody’s appeal to the Board. See 25 CFR § 2.19(b) (1985); supra, at 496-497, n. 3. Exercise of that option would have triggered review of a more formal character, in which ex parte communications would have been prohibited. See 43 CFR § 4.27(b) (1985). But the Tribe did not elect to transfer the matter to the Board, and the regulatory proscription on ex parte contacts applicable in Board proceedings thus did not govern.
We note, moreover, that even if Deputy Assistant Secretary Fritz had rendered an opinion affirming the 20 percent royalty approved by the Area Director, it would have been open to the Secretary to set aside or modify his subordinate’s decision. See supra, at 498, n. 4. As head of the Department of the Interior, the Secretary had “authority to review any decision of any employee or employees of the Department.” 43 CFR § 4.5(a)(2) (1985); cf. Michigan Citizens for Independent Press v. Thornburgh, 868 F. 2d 1285 (CADC) (upholding Attorney General’s approval, over the contrary conclusions of an administrative law judge and the Justice Department’s Antitrust Division, of a joint operating agreement under the Newspaper Preservation Act), aff’d by an equally divided Court, 493 U. S. 38 (1989) (per curiam). Ac
* * *
However one might appraise the Secretary’s intervention in this case, we have no warrant from any relevant statute or regulation to conclude that his conduct implicated a duty enforceable in an action for damages under the Indian Tucker Act. The judgment of the United States Court of Appeals for the Federal Circuit is accordingly reversed, and the case is remanded for further proceedings consistent with this opinion.
It is so ordered.
In 1996, well after the events at issue here, the minimum rate on new coal leases was increased to “12½ percent of the value of production produced and sold from the lease.” 61 Fed. Reg. 35658 (1996); 25 CFR § 211.43(a)(2) (1997). The amended regulations further state, however, that “[a] lower royalty rate shall be allowed if it is determined to be in the best interest of the Indian mineral owner.” § 211.43(b).
As required by the regulations, see 25 CFR §2.11 (1985), Peabody served its notice of appeal on the Tribe, which exercised its right to file a response, see §2.12.
The regulations then in effect required the Deputy Assistant Secretary to “Mender a written decision on the appeal” or “[r]efer the appeal to the Board of Indian Appeals” (Board), “[w]ithin 30 days after all time for
The Deputy Assistant Secretary’s draft opinion letter stated that the ruling “is based on the exercise of my discretionary authority and is final for the Department.” App. 97. Had the letter issued, Peabody would not have been entitled to seek further review by the Board. See 25 CFR § 2.19(c)(2) (1985) (the Board may review decisions by the Commissioner of Indian Affairs only if the decision states that it “is based on interpretation of law”); see also supra, at 496 (Deputy Assistant Secretary was acting as the Commissioner of Indian Affairs). But even if the opinion letter had issued as drafted, Peabody could have asked Secretary Hodel to exercise his “authority to review any decision of any employee or employees of the Department.” 43 CFR § 4.5(a)(2) (1985). The Secretary could have “rendered] the final decision” himself, § 4.5(a)(1), or “direct[ed the Deputy Assistant Secretary] to reconsider [his] decision,” § 4.5(a)(2).
The parties also agreed to raise the royalty rate under another lease not in issue here, which covered coal located within a former joint use area shared by the Navajo Nation and the Hopi Tribe. 46 Fed. Cl. 217, 224 (2000). Unlike Lease 8580, that lease did not contain a provision subjecting its rate to reasonable adjustment by the Secretary. Id., at 233.
Twelve and one-half percent is the minimum royalty rate set by Congress for leases to mine coal on federal lands, see 30 U. S. C. § 207(a), and is also the customary rate found in most such leases issued or readjusted after 1976, see Department of Interior, Minerals Management Serv., Min
The Tribe argues, in its presentation to this Court, that the 12Va percent provided in amended Lease 8580 is only a “facial royalty rate,” Brief for Respondent 11, and that the actual rate is lower, see Tr. of Oral Arg. 33. That assertion is based in part on the Tribe’s agreement under the amended Lease to relinquish its claim for $33 million in back taxes and $56 million in back royalties, see 46 Fed. Cl., at 224, and in part on proposed findings of fact the Tribe submitted to the Court of Federal Claims, which the Government did not specifically dispute. See App. in No. 00-5086 (CA Fed.), pp. A2703-A2727. The proposed findings stated that a provision in the amended Lease “signifying a non-standard method of calculating the royalty,” App. 180 (Proposed Findings ¶314), “resulted in royalty payments lower than the minimum allowable for federal coal,” id., at 181 (Proposed Findings ¶ 315). To the extent the Tribe here assails the Secretary’s approval of Lease 8580 as inconsistent with the then-prevailing federal policy not to approve rates below 12Vfe percent, we do not pursue the point, for the Tribe failed to rely on it below. See 46 Fed. Cl., at 233 (“[T]here is no claim by the [Tribe] that the [Secretary’s] 1987 approval of Lease 8580 ... ran afoul of th[e] [federal] policy” of not approving IMLA leases with royalty rates of less than 12V£ percent.).
Before this Court’s decision in Kerr-McGee Corp. v. Navajo Tribe, 471 U. S. 195 (1985), it was unsettled whether the Tribe could levy taxes without the approval of the Secretary of the Interior. The imposition of a severance tax, of course, augmented the amount payable by the lessee
The Tribe has filed a separate action against Peabody, claiming improper influence over the Government’s actions with respect to the Lease. See Navajo Nation v. Peabody Holding Co., Civ. Action No. 99-469 (D. C., June 24, 2002). The Tribe’s complaint in that action alleges violations of the federal Racketeer Influenced and Corrupt Organizations Act, 18 U. S. C. § 1961 et seq., and related wrongdoing, inter alia, breach of contract, interference with fiduciary relationship, conspiracy, and fraudulent concealment. See Navajo Nation v. Peabody Holding Co., 209 F. Supp. 2d 269, 272 (DC 2002) (ruling on pretrial motions).
The Court of Federal Claims also rejected the Tribe’s claim for breach of contract, determining that the Secretary was not a party to the Lease and that his contractual authority to adjust the Lease-specified royalty rate carried with it no obligation to do so. 46 Fed. Cl., at 234-236. The Tribe did not appeal that ruling.
The reference to claims “which otherwise would be cognizable in the Court of Federal Claims” incorporates the Tucker Act, 28 U. S. C. § 1491. See Mitchell II, 463 U. S., at 212, n. 8; Mitchell I, 445 U. S. 535, 539 (1980). The Tucker Act grants the Court of Federal Claims “jurisdiction to render judgment upon any claim against the United States founded either upon the Constitution, or any Act of Congress or any regulation of an executive department, or upon any express or implied contract with the United States, or for liquidated or unliquidated damages in cases not sounding in tort.” 28 U.S.C. § 1491(a)(1).
We rule only on the Government’s role in the coal leasing process under the IMLA. As earlier recounted, see supra, at 494, both the IMLA and its implementing regulations address oil and gas leases in considerably more detail than coal leases. Whether the Secretary has fiduciary or other obligations, enforceable in an action for money damages, with respect to oil and gas leases is not before us.
Both the Tribe and the dissent refer to portions of 25 CFR pt. 211 that require administrative decisions affecting tribal mineral interests to be made in the best interests of the tribal mineral owner. See Brief for Respondent 27, 31; post, at 516-517. We note, however, that the referenced regulatory provisions were adopted more than a decade after the events at issue in this case. See 61 Fed. Reg. 35653 (1996).
The Lease itself authorized the Secretary to make “reasonable [royalty] adjustment[s].” App. 194. As noted above, however, see supra, at 501, n. 9, the Court of Federal Claims determined, and the Tribe does not here dispute, that the Secretary is not a signatory to the Lease and that the Lease is not contractually binding on him. See 46 Fed. Cl., at 234-236. We thus perceive no basis for infusing the Secretary’s approval function under §396a with substantive standards that might be derived from his adjustment authority under the Lease, and certainly no basis for concluding that an alleged “breach” of those standards is cognizable in an action for money damages under the Indian Tucker Act.
Because the Tribe does not contend that the amended Lease failed to meet the minimum royalty under the regulations then in effect, we need not decide whether the Secretary’s approval of such a lease would trigger money damages. See Reply Brief 15 (“The Court may . . . assume for present purposes that a failure by the Secretary to ensure, prior to approving a proposed lease, that its terms (or amendments) comply with the regulation specifying the minimum royalty rate to which the parties may agree would support a claim under the Tucker Act.”).
Under 30 U. S. C. § 207(a), that customary rate was also a statutorily defined minimum for federal coal leases. See supra, at 498-499, n. 6. Section 207(a), which applies to federal lands in general, did not apply to leases of Indian lands until 1996, when 25 CFR § 211.43(a)(2) was promulgated. See Reply Brief 13-14. At the pre-1996 times relevant here, the sole specific provision governing Tribe-private lessee coal leases was the ten cents per ton minimum prescribed in 25 CFR § 211.15(c) (1985).
Citing language from the legislative history, the dissent stresses that the IMLA aimed in part to “give the Indians the greatest return from their property,” post, at 516 (quoting S. Rep. No. 985, 75th Cong., 1st Sess., 2 (1937)), and suggests that the Secretary’s approval role encompasses an enforceable duty to further that objective, see post, at 517. We have cautioned against according “talismanic effect” to the Senate Report’s “reference to ‘the greatest return from [Indian] property,’ ” and have observed