CHARLES "BUD" TANSEY INTERVIEW [BEGIN SIDE 1] This is Brad Cole from Northern Arizona University. We're at the home of Charles "Bud" Tansey in Farmington, New Mexico. [Today is March 10, 1998.] Also present in the room is Ed Foutz, and Lew Steiger is running the camera and sound equipment. We're going to interview Mr. Tansey about his experiences with the United Indian Traders Association. Cole: Charles, if you could tell us, to begin with, when and where were you born? Tansey: I was born in Kansas City, Kansas, May 6, 1915. That's in Wyandotte County. Cole: What is your educational background? Tansey: Well, I went through high school in Kansas City, Kansas; went a year to Kansas City Kansas Junior College, then went to Kansas University my sophomore year and half of my junior year. The clothing store that I worked in, The College Shop, was closed down by the company that owned it, as were the ones in Norman, Oklahoma and Columbia, Missouri. And without a job, I couldn't stay in school. My grandfather lived in Albuquerque, New Mexico, and was quite a wealthy man. My uncle also lived there, and I had a cousin living there. My grandfather said, "Well…" He'd been giving me a little bit of money to go to school, but it wasn't enough to go on. And he said, "Well, come on out and go to the University of New Mexico." So I came out in February of 1935, and went to school there, and then summer school. I had enough hours then to get into law school. You just needed three years at that time, unless you were going to go to Harvard or Yale or someplace--then you had to have a degree. I guess he sort of thought, "Well, you're a good boy and you've done well," so he said, "I'll send you to law school if you'd like to go." And actually, he didn't know how much it cost. He'd have sent me anywhere I'd said. I could have gone to Harvard (chuckles), as far as the money was concerned. He said, "How much are you going to need?" And I said, "Well, I think I'll need $75 a month, and $100 in September for the first semester, and $100 in February." In those days, that was the way the term ran. And I might tell you that my last year in law school at K.U., the tuition was $15 a semester, and $1 extra fee for I guess athletic tickets or something. But it cost me $16! And I knew one fellow who worked in a store that was owned by my best friend's father, who made $35 a month, and that's what he went to school on. You all can't probably relate to that too much, but the $75 a month I had--and if I'd have said I needed $100, I'd have gotten it--made me in pretty good shape. I really had plenty of money. Of course, I didn't get that in the summertime, I just got it for the nine months of the school year. I went back and went through law school there at Kansas University and graduated in 1938. The Class of '38 was the largest K.U. Law School class up to that time. There were fifty-four of us, and there'd never been a class of over about thirty-five or six before that, and until after the war [World War II], there was never another class that was over forty. And we've remained a very cohesive class. We've had a lot of reunions, and we're going to have another one the twenty-fifth of April, a dinner in Lawrence. There are twenty-four survivors of those fifty-four, and possibly three more. There are three people we haven't been able to locate for years, and we don't know whether they're living or dead. I think to give you a perspective, you all have got to know something about my law class. We had two women in my class, which was unusual in law school in 1938, and one of them, Mildred Mitchell, was black. I would almost think she might be the first black attorney that we ever had in the country. She was a brilliant girl, and everybody really liked her. But women in law school were very unusual in those days. After graduation from law school, I passed the Kansas Bar and went back to Kansas City, Kansas and practiced for a year. My grandfather came back to Kansas City to consult with a relative who was a vice- president of Commerce Trust Company, which was a very large bank, about purchasing the American Bank of Carlsbad. He wanted advice of this relative, who was a very experienced banker. When he got ready to come back, he said, "Bud, why don't you come on back to New Mexico with me and go down to Carlsbad with your uncle and help out and advise him legally on the purchase of the bank?" And of course I couldn't refuse to do that (chuckles) because he'd sent me through law school. I'm sure he had it pretty well planned out, because after we got the deal closed, the man who'd been vice- president of the bank, they made him president, said to me, "You know, why don't you stay in Carlsbad and practice law? We need a young lawyer here." (chuckles) And I did, and got admitted to the New Mexico Bar in 1939, and have practiced in New Mexico ever since, with the exception of thirty-eight months in the Navy in World War II. The school year 1947-48, and summer school, I taught law at Washburn University in Topeka, Kansas, in the law school, and taught a summer school class at Kansas University. Then [I] came back to New Mexico. I don't know whether it was a mistake or not. The man that was dean of the law school had promised me--I got paid $3,600 for that year of teaching--and he'd promised me that they would raise me to $3,900 a year after one year. It came spring and school was about to be out, and he said, "Well, we're not going to be able to pay you that $3,900." I said, "Well, to heck with you, I'm through." And I resigned and left. He then was fired shortly thereafter (chuckles) and a man who had been dean emeritus went back in to act as dean. He called me in before I left town, and said, "I wish you'd stay. We'll give you that money." And I said, "Well, I've moved out of the apartment and stored my furniture, and I think I'd better just go ahead and go." So I came back to New Mexico, and then came up to Farmington. I didn't want to practice again in Carlsbad, because I have an allergy to something down there that makes me break out all over periodically. When I practiced down there, some mornings I'd get up to go to the office or go to try a case, and my eyes would be swelled shut. So that's why I left there, and I didn't want to go back. The man who'd been judge in Carlsbad, James McGee, was on the Supreme Court, and he'd been kind of a father figure to me when I started practicing law--he'd been very good to me. He and a couple of other lawyers said, "You ought to go up to Farmington. The oil and gas business is going to break loose up there, and that's going to be a real good place." And of course when I came up here in 1948, Farmington only had just a little over 3,000 people. The 1950 census, I believe, gave us 3,700 people. There was one paved road, the main street through town, but it wasn't paved out to the curb, and that was the only paving that we had here. Aztec only had about 750 people, and I doubt if Bloomfield had 150. So it was a very rural community. There were situations in my practice with some of the justices of the peace that Abe Lincoln would have been completely at home, had he been with me in that court. I tried one case, the J.P. had a photography studio downtown. I don't know that anybody ever had a photograph taken there, but he held his court there. And he sat in a rocking chair, and my client who was, I don't remember, accused of some misdemeanor, sat in a chair, and I sat in a straight chair. [He] had a pot- bellied stove, it was hot. He had about five dogs that jumped all over you and smelled terrible. And that's the way we tried the case. It was another J.P. over in Aztec who had his offices upstairs in his apartment. I defended two boys that were accused of chicken stealing. It was a preliminary hearing, and we got through with the hearing, and I moved to dismiss after the district attorney had put on his case. I said, "He hasn't proved that these boys took those chickens at all." And the J.P. said, "Well, Mr. Tansey, you're probably right, but I think you could ask him [i.e., the defendant (Tr.)] some questions, and we'd find that he was guilty. So I'm going to rule that he has to go to trial." (chuckles) I suspect things were like that in the nineteenth century. Law was a lot different than it is now. In the sixty years I've been a lawyer, I honestly believe it's changed as much as it did in the previous 250 years. It's been a tremendous change, not at all the same. Cole: Once you were in Farmington, did you begin to become involved with oil and gas law? Tansey: Well, the oil and gas thing did not really pick up until July 1 of 1950, which is when El Paso Natural Gas Company was given their first pipeline right-of-way to California. Then things really began to pick up, and I did start doing some oil and gas work after that; and subsequently did legal work for Amoco, which at that time was Stansland and then became Pan American, and is now Amoco; and for Phillips Petroleum Company; and Gulf Oil Company; and some local people also--and some smaller operators--and did a little oil and gas practice all during my career, although I didn't do a whole lot. The last few years, we had a younger attorney who was really a specialist in oil and gas. I would never claim to really be that. And then in the fall of 1950, I went back to Washington, D.C. to the American Bar Association Convention, and I had written a letter to the editor of The Times-Hustler, which was a weekly newspaper here, in regard to water and the Navajos. And there was, at that time, I felt an obvious grab by the white people-- or an attitude by the white people--that they could take all the water and the Navajos didn't really have an interest much in it. And I wrote this letter to the editor, thinking it would be just a little letter to the editor, and it appeared with a big headline on the front page of that week's paper. The word got back to Norman Littell, who was general counsel for the Navajos, and he contacted me in Washington and asked me to come in, and interviewed me. In 1951 I was hired as associate general counsel for the Navajo Tribe, and started doing a lot of work for them. I was supposed to give them twenty hours a week of my time. When I first started, that was fine. I had twenty hours available, I wasn't that busy with my private practice. Eventually I got to where it was really a burden. And they had me traveling a lot--I was all over the country with the Navajos, and doing business for the Navajos. When the Upper Colorado River Storage Project Act was being considered in Congress, I was in Washington for two weeks with Sam Ahkeah [sp??] and the advisory committee for testimony before the Senate Interior Committee and the House Committee, and in fact, really wrote most of Sam Ahkeah�s testimony for him, and was with him all the time. After a considerable struggle, we did get the Upper Colorado River Compact backed, and part of it, of course, was for Navajo Dam and for the water for the Navajos. In order to get it, we had to agree that--my memory tells me 50,000 acre-feet, but it may be 100,000 acre-feet, had to go in trans-mountain diversion over to the Rio Grande to be used by the eastern slope, Albuquerque, and put into the Rio Grande. The Navajos didn't much want to agree to that, but we just simply advised them that Clinton Anderson, one of the senators from New Mexico, Dennis Chavez, and Tony Fernandez, who was our only representative at the time, would not back the project at all unless they agreed to it. The only reason the Upper Colorado River Storage Project got through was because of the influence of Chavez and Anderson and Fernandez. Chavez had a great deal of seniority, and Anderson was very influential because he'd been Secretary of Agriculture and had been in the House of Representatives and then become senator. And Senator Millikin from Colorado. And they put that across. California, especially, and Arizona to some extent, fought like everything not to have that Upper Colorado River Storage Project Act passed, because California to a great extent, and Arizona to a slight extent, were using the extra water that went down. And the reason California wanted it, one of the reasons I think that California developed so much industrially, was that they got cheap dump power. You know what dump power is? That's the power that you get from extra water that goes over the dam, that you can let go over and run the generators. And that could be sold to California at very, very low prices, so that they just had very, very cheap power. And a lot of their industrial development--they were more interested in that electrical power, I think, than they were the actual water. They weren't doing too bad on water, but they fought us, and the environmentalists fought against it quite strongly. Interestingly enough, one of the people that was an environmentalist that fought against it was U. S. Grant, III. (chuckles) He was quite a character. I got started in that, and I had had experience in water law, and I'd had some experience in mining, oil, and gas law down in Carlsbad. And that Norman Littell, general counsel in Washington D.C., really didn't know anything about either one of those. Now, he's a fine attorney, but he didn't know anything about those things, and that was what I was hired to do, and we worked out--the uranium industry was developing, and I worked out resolutions of the Tribal Council under which there could be uranium leases made, and uranium could be developed. Then one of the other things that I was really involved with was negotiation with the United Indian Traders Association over leases to operate on the Reservation. If I can digress just a little bit, the first active Indian trader I ever had any dealings with was Earl LeRoy Kennedy who had Lukachukai Trading Post. And that was an old trading family. I had taken over the practice of a deceased lawyer who was quite elderly, who had come up here during the war, from Oklahoma. He apparently had done work for Earl, and he had done his income tax returns. So Earl came in and asked me to do his income tax returns. I think he had some other little business he first came in for, and asked me if I would. And being a young lawyer and not having much practice, I was still doing income tax returns. It wasn't very profitable, but it made a little money. And so Earl came in. I got here in 1948, and he came in sometime early in 1949 for me to do his 1948 taxes. He brought in two brown paper sacks that had some sales slips and different things in it, and had figures written on the side of the sacks, and that was his records from his trading post (chuckles) to make his income tax returns on. And he did bring me in an income tax return for the previous year. I think probably I knew a little more about taxes than this elderly lawyer had. There hadn't been any income tax when he'd started practicing law, and I don't think he'd ever taken a course in taxation, but I very fortunately, in looking it over and making out the 1948 return found that for 1947 Earl had overpaid his taxes quite extensively. And of course he probably always overpaid them, because with that kind of records, he probably cheated himself far more than he cheated the government. But I got something over a thousand dollars back for him when we sent in his tax return, and he loved me like a brother. (laughter) I went on doing his business and doing his tax returns probably through 1949, 1950, 1951, and then I got to where I had enough practice, and it wasn't profitable for me to do tax returns. That was something for a bookkeeper or an accountant to do. They could do it better and faster and they could make a little money out of it, but I couldn't do a tax return for Earl for the fifteen or twenty dollars that he wanted to pay for it--it just wasn't worth it. And I told him I couldn't do it anymore, and I guess it made him mad (chuckles), because I never really got any more business out of him. But the interesting side of that, Earl was a typical country man and Indian trader, and he wore Levis or blue jeans. And as many rancher and country types do, he wore 'em way down low on himself--they looked like they were almost gonna slide off, and his shirt tail was always out. And my kids were little at that time. My daughter was in the second grade when we came up here, and the two older boys weren't in school yet. Our youngest son was born up here, he wasn't born then. And my kids were in the office a time or two when Earl came in, and after that, when they'd come in and they'd see Earl, they'd say, "Oh, Daddy, Droopy Drawers Kennedy was in to see you today, wasn't he?" (laughter) He was not the first person involved in Indian trading that I got acquainted with, or who had been in it. The first person I probably ever knew that had been an Indian trader was Merrill [phonetic spelling] Taylor. We got acquainted with Merrill and Miriam Taylor right after we came to town. And then I got acquainted very well with Jack Cline, who had the Fruitland Trading Company, which wasn't on the Reservation, but was an Indian trading post. And I worked a lot with Jack on political matters, and we also formed a fruit growers' association up here and built a warehouse and got the legislature to pass some law where we could make the people raising apples and peaches all, grade them properly and all, to try to get more of a sale for them. At that time, San Juan County had lots and lots and lots of orchards. They've all been built on by houses now, practically. There's very little orchard here. I don't know whether there are any peach orchards to speak of at all anymore, and not too many apple orchards. But at that time, that was a big thing up here, and oil and gas hadn't developed much. I got involved with Jack. And then after I went to work for the Navajo Tribe, very quickly we got into negotiations. Eddie's a little young to really remember this. I don't think you were really involved as a trader (chuckles) in 1951 or 1952, were you, Eddie? Foutz: No. No, I was not. Tansey: You were too young. But the traders had had trading permits or licenses from the government, from the Bureau of Indian Affairs, and they built their trading posts on the land on the Reservation, which had been assigned to them. Some of them were fair-sized tracts of land, and some of them weren't very big. Norman Littell was the first attorney, really, that the Navajo Tribe had, and he felt that the traders should pay the Navajos some money for their leases and operating on the Reservation. And the traders came into the deal with the position that "we own that land, and we own those buildings, and we don't have to lease them, and we don't have to pay anything." And the traders were represented by McQuatters and Stephenson, I guess it was, in Flagstaff. McQuatters, I'm sure, is dead. Stephenson may still be alive, he may still be practicing. He'd be a man of my age, I expect, however. McQuatters was older. And McQuatters did the negotiations, and I did them for the tribe, and we did them mostly at the El Rancho Hotel in Gallup. We'd meet there, that was kind of halfway in between. Somebody from the tribe--and I'm not sure--Sam Ahkeah sat in some, and Maurice McCabe, who was the secretary of the tribe sat in, and a man by the name of Brown, who was an Anglo, but who was hired as their controller, because of the financial aspects, sat in. And it took us a long time to get--and I know that McQuatters knew enough law to know better. Even by mistake, if you build a house on my land, it's my house. Now, you might, under the rules of unjust enrichment, get a little something out of it, but you might not either. There are cases where the person built a house on somebody else's land and a house becomes a part of the realty when it's built on land. And it took a long time to convince the traders that all those buildings and everything they had belonged to the Navajo Tribe. And finally they agreed, well, they guessed so. So then we worked out leases for twenty- five years, which was the most the law would allow at that time, and I got resolutions drawn up and passed by the tribal council and approved by the Bureau of Indian Affairs authorizing the leasing. And most of the leases I think were probably made about 1954 or 1955. And things went along fairly smoothly after that--at least between the tribe and the traders on those leases. But then when the leases started running out after twenty-five years, and the renewal came up, the DNA had come along on the Reservation, representing the Indians. And the tribe had some people, and I don't remember names anymore, that were a little more aggressive, and it was a real struggle to get leases renewed at any reasonable situation. Of course by that time I was on the other side of the picture. I had resigned and I don't think I started working for the Traders, became secretary and general counsel, till 1960 or the early sixties. I think it was a number of years. I can relate it to one thing: I served in the New Mexico legislature in 1957 and 1958, and I know I was not representing the traders at that time. So it had to come sometime after that. And I've never known for sure why the traders decided to hire me, but I think Russell Foutz and Ralph Bilby and somebody else came to see me and asked me if I would be willing to be general counsel and secretary for the Traders Association. And I don't remember what they paid me at the time, but they put me on a retainer. And I must have done the work for close to twenty years, and then when I retired--that would probably have been sometime after 1980, after I was sixty-five. We had another lawyer in the firm, Byron Caton, who's now a district judge, and with the agreement of the Traders, I turned that over to him. And I guess James Payne took over the legal work. And really, there was not much that went on at all. I can't remember all of the traders that I had a lot of dealings with, and who [was on] the board of directors, but I know that Ralph Bilby may have been president, actually, when I started. And it might have been Russell [Foutz]. And then Harold Springer was the treasurer, and later his son, Jay Springer, became treasurer after he died. At some time Walter Kennedy was a director, and Lavoy McGee was a director [also Bill Palmer of Crownpoint and Elijah Blair]. Paul Babbitt took Ralph Bilby's place, representing the Babbitt interests. Ralph Bilby was married to a sister of Paul Babbitt, as I recall. Is that right? Foutz: That is right. Tansey: I think that's correct. 'Lij [Elijah] Blair was a director along in there. Raymond Blair, to my recollection, was never a director. I don't ever remember Raymond being. Foutz: Raymond was not a director--or Brad either one. Tansey: I didn't think so. And I didn't remember Brad ever being a director. Foutz: No. Tansey: Of course Eddie was a director, and Dale Bond was a director. Sam Drolet was director. Was Clarence Wheeler ever a director? I don�t remember. Foutz: Not to my memory, he was not. Tansey: I don't believe he was. Foutz: I don't think he was. Steiger: We spoke to him this morning, and didn't he say that he was? Cole: I thought he said in 1975 he became a [director.] Tansey: He was a director? I can't remember. Foutz: If he said that, I would have to believe he was then. You [Cole] would have a record of that, but I'm sure he must have been then. Tansey: Yeah, I just wasn't sure. I kind of thought maybe he was, but I wasn't sure. And one of the things that I've never known, were Whiff Wheeler and Lloyd Wheeler related? Foutz: Whiff Wheeler is Lloyd Wheeler's father. Tansey: Right, I know that. I did legal work for Whiff Wheeler and Lloyd Wheeler. Foutz: And then Lloyd Wheeler was the son, and who else was… Oh, and Clarence would be distantly related to him, but he is related. Tansey: He is related. I never knew that. Foutz: At a distance, yes. Tansey: I knew Whiff Wheeler long before I knew Clarence Wheeler. And then of course Lloyd came along as his son. I knew them. I don't know, was Bob Layton ever a member of the Traders Association? Foutz: Willard Leighton was. I don't know that Bob ever was a member. Tansey: Yeah, I'm pretty sure Willard was, because I had dealings with both of them, and I kind of thought that Willard was, and I knew he and his wife pretty well, too. They bought some land where they built that real nice house in town from my cousin and her husband, who happened to be Tom and Vivien Dodge. And Tom Dodge was the son of Chee Dodge. And my cousin married Tom in about 1937. They had one child, Cynthia, and she died in childbirth. She had lupus, and in those days they couldn't cure it. Tom and Vivien are both dead. Vivien died before Tom. They had moved and retired down to Scottsdale, or outside of Scottsdale, and she dropped over dead of a heart attack on the golf course. Foutz: Oh, did she? Tansey: Yeah. Foutz: He was certainly a distinguished-looking man. Tansey: Oh, Tom really was. Foutz: I can remember the first time I met him, I was so impressed with his look. He was gray, but very distinguished-looking. Tansey: I got a real kick out of knowing Tom, and visiting in his and Vivien's home in Gallup. They lived in Gallup for quite a while, and I visited them there after I came out here. And they were up in Farmington and visited with us, too. Well, I've about run out of what I know to say. I've rambled a lot. I don't know whether you've gotten anything out of this or not. Cole: What were your primary duties with the Indian Traders Association? Tansey: Well, of course I was secretary, so I had the duties of getting out notices and communications and working with the president, helping with setting meetings and sending out notices of meetings. The president presided at the meetings, but I would sit up with him at the head table and we would work out the election of directors and things like that. And then along in the late sixties and through the seventies-- and I don't have the files that belong to my office, and I don't know whether Robin Strother has kept them all or not. I know that the files that I got from the Traders, that were the Traders files, have been passed on to you all. I had a hard time keeping those from getting thrown away. Our files and our legal files, I don't know whether Robin has kept the older ones or not. But sometime along in there, the Truth in Lending Act was passed by Congress. The traders had always had a way of dealing with the Navajos, and dealing with pawn and handling it. And it became necessary that they deal more formally with it, that they abide with the annual percentage rate on their loans and all, and they hadn't done that. We got hauled into court. My recollection is that Clarence Wheeler got hauled into Federal Court down in Phoenix, and Raymond Blair got hauled into court down there, and because it involved a situation that affected all traders, the Traders Association paid me and a Phoenix attorney to go into court and represent them on those things. And we never did go to trial on any of them, and we got them settled. And I don't remember whether the traders or the Traders Association paid some settlement figures or not--that's just gone from me. I don't think we really paid anything particularly, but they were required to abide by the rules. And the way trading is done, a lot of that was just impractical. We later had long discussions with the tribe really being represented by the DNA over tribal regulations on how lending and all would be operated. And of course a lot of the, I would say, bleeding hearts and do-gooders, just figured that the traders had just cheated the Navajos out of everything they had. They had no conception of how trading operated, and how important, from way back in the nineteenth century and up into the twentieth, how important the trader had been to the Indian. They really couldn't have come into modern living without the trader. That was the source of their ability to make money. They sold their wool, and the wool was a big thing. I represented the Traders in a lot of negotiations over wool, and how that was handled. And along about that time also, we had hearings all over the country. We had hearings here in Farmington, and I was involved both with the Traders and for the San Juan Hospital, which is now the San Juan Regional Medical Center. Of course, the hearings accused all of us of just mistreating the Indians terribly. The hospital was accused of not taking care of them in the emergency room. And in the early days, we didn't have professional emergency room doctors like you do now. You had to call in different doctors that were practicing in town, took the duty different nights, and you had to call them in, and things didn't always go smoothly, and it was a real problem, and we got jumped all over on in hearings by--I guess it was a committee appointed by Congress, to go around and hold hearings, and they held them up here. And that carried over with the Indian traders, and accusations of the traders. Most of them were either post offices or the mail for their customers came to them there, and they were accused of opening it and stealing checks out of it, and all kinds of things--none of which was ever proved, but the worst publicity that you can imagine about it. And it was a very difficult thing to fight against. I was asked, on behalf of the traders, to give an interview while this was all going on, for Walter Cronkite, to be on the CBS Evening News. And they sent a camera crew and an interviewer in here, and they decided that they'd have me do it outdoors, up at the airport, and have me make a statement. I made a statement that I thought was honest and correct, but tried to correct some things that were being said about the Indian traders that just simply were not true. I got all through with this interview, and I don't know, in a night or two, it was on Walter Cronkite's program, and they assured me, oh, yeah, whatever I said would be on. Well, they didn't put it all on, they didn't put a lot of the good stuff on. And it just infuriated me, and I called up CBS and told them I was going to sue them, and the Traders would sue them and all, and they said, "Oh, we just have to cut these interviews down. We just can't put this whole thing on." I said, "Well, you told me you would, and you've left out most of the things that I said in defense of the traders." I guess I've never appreciated Walter Cronkite [since then]. I don't know whether he personally did it or not, but I've never appreciated him since, because they cut out what we were trying to do to defend ourselves. It just really gripes you. But it grew out of the sixties and what went on in the seventies, and the very liberal approach to things, and the anti-establishment approach to things. The Traders, of course, were considered, as far as the Indians, they were the establishment side. I wish I could remember better all of those things, but it's been at least twenty years ago since that took place, and I just can't remember all the details. I can't even remember the name of the lawyer in Phoenix that I got to help us on the suits over truth in lending and over regulations and the way the traders were operating. But whoever it was, he was in one of the big Phoenix law firms, and was really an expert in that law. He really knew it and did us a great job. He got us out of--as I say, I don't think that… And I only remember Raymond Blair and Clarence Wheeler. I'm sure there were one or two others that were involved in those suits, but I can't remember anybody except them, and I think they stick out in my mind--and especially Raymond--because they were so terribly angry over this whole thing. And actually, they hadn't complied with the law. But they hadn't really had an opportunity, and it just wasn't the way that trading and pawn and credit had been handled. And they had to learn how to do it, and they were obligated to do it, but the attitude of the government, and the DNA, was just very radical about it. They sort of took the position, "Well, we really ought to take you out and hang you." It was real difficult. It was an interesting time, but details really escape me, except it was in Federal Court in Phoenix. Cole: What exactly is the DNA? Tansey: The DNA is the… Can you say the Navajo name? Do you know what it is? Foutz: I could at one time, and I cannot [now], but I can write it out. Tansey: Yeah, it's a long name, but called "DNA," and actually, they have an office in Farmington now, and they really are the poverty law program. They first started working with the Navajos, but they've spread out now. They represent poverty law, and the government program which provides some money, and then they raise money in other ways. They were really… Do you remember Richard Hughes? Foutz: Yes. Tansey: He was out at Shiprock, he was a young lawyer out of Harvard, and just as radical as anybody you ever ran into. He practices in Santa Fe now, and has for a long time. I think, in my opinion, he's become a little more respectable now. He's even been a member of the Bar Association government. I've never heard that he was quite as radical as he used to be. He does still represent a lot of environmental interests and all. He's not changed completely, but he was really difficult to deal with when we were working on new trading regulations that they were going to adopt and we were trying to get them to be reasonable. 'Lij Blair went down to--I don't remember whether you [Ed] went or not, but we went down to Navajo headquarters. Foutz: Window Rock? Tansey: At Window Rock, once or twice, and met down there around the table, and talked about regulations and trying to get them to… This all came along at the time when leases, the twenty-five year leases were running out for everybody, and they really had some radical ideas about what they wanted to do. It was just going to be very difficult for trading. And in fact, trading has never been the same. The trading posts as they existed before then--when the twenty-five- year leases were made in the fifties, it didn't change things too much. But then when those leases started running out, things really began to change. And it was just darned hard to get a lease. Back when I was working for the Navajo Tribe and we were negotiating on those first leases--and it may be one of the things that caused the Traders to come to me--Norman Littel, the general counsel, and a lot of the Navajo people, would have made those leases in such a way that the traders could not have borrowed capital to operate at all. And the leases had to be made in such a way that banks could lend the trader money and take a mortgage on the buildings and everything. You couldn't get a mortgage on the land because you can't do that on tribal land--but you could take a mortgage on the buildings and improvements and the stock and everything, and be able to foreclose on it. If the trader went broke and didn't pay them, they could take it over and then they would have the right to close it out or to sell it to somebody that they could get in there to operate it that would pay their money back. And I just had had enough experience dealing with small business that I just told the tribe and the other people, "You can't do it that way. These people are like anybody else. They don't all sit around with a million dollars to buy goods and operate their trading posts and lend money and do all those things. A lot of them--maybe not all of them--but a lot of them have to borrow capital to operate. And if you can't give some security of some kind, you can't get the capital to operate." Now, I'm sure there were traders that had assets off the Reservation that could raise capital, and I think one of the things that I heard mentioned the other day, and that I agree with--in fact, it was 'Lij Blair who said it--that if it hadn't been for �Ma� Sammons, whose name is Harriet Sammons, and she was the main owner and the president of the First National Bank of Farmington, if it hadn't been for her lending money to traders in the early days--and I'm sure there was somebody in Gallup and somebody in Flagstaff did--but apparently Mrs. Sammons just carried a heck of a lot of traders, and carried them on good faith without really having security, except the traders. And she was that kind of a person. She was the kind of a person that if she didn't like you, it wouldn't make any difference if you had a million dollars and wanted to borrow a hundred, she wouldn't loan you a hundred dollars. But if she liked you and thought you were the right kind of a person and [would] pay it back, and you wanted to borrow ten thousand and you didn't have a hundred, she'd loan you the ten thousand. I guess 'Lij got here early enough, in the forties, to have known about it and had some dealings [with her] because he made that remark at that luncheon the other day, that trading would never have existed as it did if Ma Sammons hadn't been available to make loans to the traders. I don't know whether Russell would verify that or not. Foutz: Oh, I think so, absolutely. Tansey: But she was real good to them. Cole: Were you involved with the various tax issues, like sales tax, that happened with the traders on the Reservation? Tansey: Yes, a lot of that came up. It was among the other things that came up. All of those issues, from the 1950s on, became constant issues. There isn't any doubt, from a legal standpoint, the Navajo people have a right through their government to levy some taxes on individuals and businesses operating on the Reservation. But the problem with the tax situation is that the United States can tax, the states of Arizona and New Mexico and Utah can tax, and then if the Navajo Tribe taxes on top of that, it makes a pretty serious situation. The Navajos, of course, insisted that the State could not levy gross receipts tax on trading on the Reservation. And at the time I was involved in it-- and I know we went to Santa Fe at least once or twice on it--the ultimate result was, and the rulings by the New Mexican--I don't know what happened in Arizona, because I think somebody else… And we didn't have as much trouble with Arizona over that tax--it was New Mexico. I'm not sure we had any trouble at that time with Arizona. But New Mexico finally agreed that any item sold by trading posts and traders on the Reservation to non-Indians, the gross receipts tax was to be collected. Any business done with Indians, the gross receipts tax did not apply. And I don't know whether that's still effective or not. Still doing that? Foutz: That still is. Tansey: Well, we had a lot of argument about it, because the Revenue Department of New Mexico wanted to collect gross receipts tax on all business done by Indian traders on the Reservation. It just was not legal, and I think we convinced them it wasn't legal, because they gave up on that, and agreed, the last time I was involved in it, that only sales to non-Indians would be taxed. Cole: In the archives of the organization, I was reading about an issue with the endangered species bird feathers. Were you involved in that at all? Tansey: No, I was never involved in anything on the bird feathers. I never had any involvement in that. I'm aware of it, but I was not involved in it. Cole: What about any of the issues concerning the Navajo-Hopi land relocation? Tansey: I really wasn't involved in that. I knew about it, and I might have been, in a sense, peripherally involved in it. Sometimes I was asked for opinions, but I never played any part in it--either in the hearings with Congress, or the actions of Congress, or any court proceedings. I didn't have anything to do with it at all. Actually, a lot of that came after I was active. Cole: And then you did mention being involved in some wool negotiations. What would that have been about? Tansey: (sigh) Well, I'm trying to remember exactly what. I just remember having meetings in Gallup. And I think maybe we had a meeting once over in Flagstaff. I don't think we ever had any in Farmington that I recall. I just remember that wool and the handling of wool and the sale was involved, and I just can't tell you any details about it. I just don't remember. Were you in on any of that, Ed? Do you remember? Foutz: That was before my time. Tansey: Well, that's what I thought. Foutz: That was a little earlier. That would probably be Ralph Babbitt and Russell, and that era just before I really became active in it. I was with Russell, but too young. You know, just of interest, but… [END SIDE 1, BEGIN SIDE 2] Cole: [gives tape ID] We were just talking with Charles about what the viewpoint of the Navajo Tribe was toward traders when he was the attorney with the tribe back in the early 1950s. Tansey: My recollection of all the Navajos that I worked with on our negotiations, and our discussions, and in advisory committee meetings, and in council meetings--and I might clear up, the advisory committee is what would ordinarily, if you and I had anything, be called an executive committee. It's not called the executive committee by the Navajos, never has been, since back in the days of Collier, who was the Indian Commissioner, who back in the thirties came in and made them reduce their livestock on the Reservation--and the executive committee they blamed for going along with that and causing a lot of that. And they had had an executive committee, and they quit. But getting back to what I was saying, all of those people, as far as I can remember, did not have bad opinions of the traders. I think you could certainly have gone out and found a Navajo someplace who thought he'd been wronged by a trader, who had a bad opinion. But the general opinion, that was not what was behind negotiations. Things were just changing and developing. The government, the Bureau of Indian Affairs, I'm sure, probably started it off to some extent, in feeling that the tribe, with its government, its development, should have something to do with governing trading and trading posts. And I'm sure when they got their general counsel, that the matter came up of who owns these trading posts? They're on the Reservation, and I'm sure that before I was involved, I think Mr. Littell became attorney in 1947. I'm sure that he told them, "Those trading posts are on Indian land, and you've got a right to get some rent for them, or some lease money." And that's where the negotiations started. And I don't think they started with animosity at all. I don't think they started with the tribe's attitude of, "We're gonna get to the traders and we're gonna run 'em off the Reservation," and things like that. That did not exist. I don't think there was any real animosity, as Eddie Foutz has said, in regard to trading, until the late sixties and the seventies, and until the Truth in Lending Act came in, and a lot of other regulations, and we had changes in the Interior Department, the Commissioner of Indian Affairs. And then we got this government poverty law program, and the DNA came in, and I'm sure that it started off with them having some Indians who did come to see them and say, "I pawned a valuable piece of jewelry," or something else, "with 'X' trader, and he won't give it back to me." They got to looking into it, and I'm sure there were other complaints that mail had come to the trading post, checks had come, that they hadn't gotten them like they thought they should get them; or they'd owed the trader money, and he'd wanted them to pay out of it, and they didn't want to pay out of it. And the DNA got all worked up, and it created, I think, some animosity, and I think then there began to be, probably in tribal government, some animosity toward trading and trading posts. I think there got to be a feeling, "Well, these traders are all rich, they're all making a lot of money, and they're taking it away from us, and we've got to stop that." And it got a little acrimonious. But at the time of my representing the tribe, I really don't… Actually, my recollection is that some of the traders took a more aggressive attitude than the tribe and the Indians did. They had had those trading posts for generations, and they'd been able to run them the way they wanted to, and they didn't like the idea of having to get leases and pay rent and have regulations. But even there, I don't remember any real animosity at all. We negotiated for months--it was really over several years, and sometimes we wouldn't meet for three or four months at a time because we couldn't get together, or we were trying to work out how we'd handle it--and I was trying to draw up a form of lease that would be reasonable that would give the tribe and the Bureau of Indian Affairs what they wanted, but would give the traders breathing room, as I said, to borrow capital, to operate, and conduct their business in a reasonable manner. But most of the individual Navajos that I knew--it's kind of like we are. The American people tend to swear at Congress and everything, but your own congressman, he's all right. Well, I think some of the Indians took the attitude that traders and trading posts were bad-- "But not my trader. He's good." That's kind of human nature. But I don't remember any real antagonism. Cole: We were talking a little bit about the DNA, and you might explain, was that a tribal program? Tansey: No, the DNA is the government poverty program, which you would find, I'm sure, you've got it in Phoenix; you've got it in Flagstaff, I'm sure; you've got it in Albuquerque, New York City, Kansas City, Los Angeles. You have government-sponsored lawyers, and they're paid by appropriations, and they represent the poor people who cannot afford to have attorneys. Of course the only people that are left out are the middle class. If you have got a $30,000-a-year job, you can't afford to spend a lot of money for an attorney on litigation, but the poverty program can't help you either. So the rich and the real poor get along fine, and the middle class are the people that suffer. (Laughter) Cole: Maybe one more question about annual meetings and things of that nature, what you remember about those, and the social events. Tansey: Well, the United Indian Traders Association had its business aspects and represented the traders on legal and business matters, but the United Indian Traders Association was also very much of a social organization. And some of the best times I can remember are the annual meetings of the Indian Traders Association. They met one year in Gallup, and then one year in Flagstaff, and then one year in Farmington, and rotated around between the three cities. They met and conducted business, but they had a dinner, and usually a dance, and at the meeting often some grand arguments over whether liquor would be served or not (chuckles) because we had a few who just absolutely… I guess you would say they were good Mormons. Foutz: I guess you would. I remember Dale Bonds was really one. Tansey: Dale Bonds was adamant. Raymond and Marilene and Blair were adamant. And 'Lij and Brad and their wives were just on the opposite side. Foutz: "The Association shouldn't spend its money furnishing liquor for free." ____________. Tansey: But usually--I don't remember any meeting where they didn't have liquor, but there was a lot of… We had some bands or little orchestras sometimes, didn't we? I think we almost always did. I remember I worked a lot on at least a couple of the meetings that we had here in Farmington, and we'd have the dinner and dance at the country club, and we'd get one of the local bands to play. It was a real nice get- together. It gave the traders an opportunity to be really acquainted, because they sometimes came from long distances. And I'm sure that there were times when they didn't see each other any time except at an annual meeting, and they could compare notes on how things were going. I'm sure Eddie would know better than I would, but I'm sure that they sometimes talked about rugs and what was good and what was bad, and what kind of prices you could get for them, and where you could sell them, and where you could get them. And I know that at times they did talk about the sheep and the wool and the price of wool. There were some wool- buying programs, but I just don't remember the details about them. I'm sure that those things were discussed. But a lot of the time it was just--outside of the formal meeting, it was just social visiting and having a good time, and people seeing each other more than they had for a long time. Trading posts, even clear up until fairly recently--and they can still be now, to some extent--were pretty isolated places, so it was good to get together. It was like any other group of doctors or lawyers or accountants or chambers of commerce or anything else--there's a lot of social aspect to all of those things. I think it was probably out of that that maybe some of the beginnings of the Traders Association, way back when it started, was really a social thing, almost more than anything else. I read a little of the very early history of it and looked at some things, and I think there was a lot of social aspect to it. But it was a real fun thing. Usually, everybody brought their wife along. Of course, a lot of times, the trader's wife was just about as active in the trading business as the trader was. But my wife always went. I think there was one annual meeting that she didn't go to, but all the rest of the time, when I went, why, she came along with me. And we had directors' meetings, and those were kind of moved around, too. I can remember going over to Flagstaff for a number of directors' meetings. I can remember flying over a few times. I remember once I flew over for a directors' meeting and it was when Ralph Bilby was on the board of directors, or at least active, because I remember after the meeting was over, I had a flight out back to Farmington that night-- that was in the days of Frontier [Airlines]--and the Bilbys took me out to their house and we had drinks and then I think they took me out to dinner, because I don't think my flight came through Flagstaff until about nine o'clock at night. We went out to dinner, and I flew back. Cole: Is there any particular trait that you picked up on that makes an Indian trader or personality? Tansey: (long pause) I don't really know how to answer that. There's a lot of difference between the different traders that I knew--just an awful lot of difference. I really don't know how to answer it. I found all the traders that I ever knew to be friendly-- not all completely outgoing, but all, as far as my relationship, I found them all to be friendly. I did legal work for some of them that had nothing to do with trading. I did legal work for Raymond Blair before I was ever attorney for the Traders Association. I've got a rug that he gave me, because he was pleased with the way I represented him in a case we had in court. But other than my finding both, generally speaking, the men and their wives very friendly, I don't know any other way to describe them. Foutz: I don't think I ____ anything about _________. Cole: Lew, do you have any? Steiger: I would�ve, but I've lost it. There was one that came along, I should have written it down. Cole: Is there anything you'd like to add, Bud? Tansey: No, I don't think so. Foutz: Bud, as you know the politics of the Navajo Tribe, and it still hasn't changed much, and the Indian Traders Association is so changed in the needs and the things, that there's hardly a need for the Association anymore--is there in your view at all? Tansey: Well, I think the Indian Traders Association really has become defunct, because it doesn't serve a purpose anymore. Trading has changed so much. And at one time we changed the name of the United Indian Traders Association to Navajo Business Association. Foutz: That's right, Navajo Business Association. Cole: Indian Country Business. Foutz: Yes, okay, that's right. Tansey: And then we changed it back to United Indian Traders. I was not the instigator of that change, and I can't remember who was. But the reason that that was made was because the traders were beginning to lose interest in it, and they thought they could get other business people besides traditional traders as members, and thought they could get some Navajo as members. And there were some Navajos who were beginning to get trading posts, and they were getting in businesses and all. I think everybody wanted to see the Traders Association go on, and they could just see that it just wasn't. And probably because of changes in regulations, changes of operations, and changes of travel and communications, it just is something that has seen its time, and its time has kind of passed. There's not the same reason for it that there was, even ten or fifteen years ago. I wouldn't see that that situation is going to go back to the way it was, or ever be the same at all. I don't think you can keep an Indian Traders Association really going anymore. Cole: Thank you. Tansey: You're welcome. I hope I've helped you a little bit. I don't know that I have, because my memory is not the best in the world. I haven't been able to give you details on some of these things. Foutz: You know, Bud, the thing that I hear is you come from such a different slant and background, and even more unique than that, you worked with the tribe, and with their chairmen and their politics there, to where it's very, very interesting to me to hear some of the comments that you made. And I can tell you as a trader I learned from it, because, you know, it's a whole different little bit of a slant. I really appreciate it, I think it's wonderful, I think it's great. And [we�re] going to miss you to death. Tansey: I hope it's helpful. Foutz: I'm going to check with Strother tomorrow and just call down and see if he happens to have those legal papers, and make a note of that [if] it's all right? He happens to be a lawyer I've got on retention. I'll touch base with Robin. Robin's one that keeps things, he may have them. Tansey: Until February of last year, we had a law firm here that I had formed. The first of February last year, we dissolved it, because I had totally dropped out of practicing law, and we had lost a couple of lawyers that we didn't like to lose. We had a big, expensive building that the ones that were left could not really afford to keep up, and they had a chance to sell it for an awful good price. So we just decided the thing to do was dissolve the law firm. Before it was dissolved, Robin Strauther had taken over, because James Payne had left to go to Florida. And so he took your files with him and was representing you in the case that you had in court, trying to decide what to do with your money. Foutz: Yeah. Well, I'll just touch base with him _________________. Tansey: He should have. And if he has the old files, and I guess all of your problems are settled. The Indian Traders Association doesn't really need Robin as a lawyer anymore, but he can certainly keep those files they've passed on to him. But if he's got them, and you want to get them to me to look over, maybe I can find out a little more detail about things. I don't know what files are left. We had to clean out an awful lot of files and get rid of them. We had a completely separate storage building full of files, and when the firm dissolved, why… So some of the old files may have gone by the wayside, and those Indian Traders files that had been passed on to me when I became secretary, they weren't passed on to me as attorney, they were passed on as secretary. I had a heck of a time keeping those from getting thrown out. I kept periodically saying, "Now, do you still have those files out there? Don't destroy those files." Foutz: Well, all those files have been turned over to the _______ writer. Tansey: You've got those. And actually, I never went through those whole files in detail. I had occasion from time-to-time that I'd need to go back and look at something, but I can't say that I ever completely looked over all those files, because I didn't have any need to, there was no occasion to. Once in a while something would come up, and I would have to go back and see if I could find something that would give us a little history about what had happened, but there was very little occasion to use them. They were just handed on to me as secretary to keep for the Indian Traders Association. And I'm glad they were preserved, and got to you, because I'm sure there's a lot of really interesting stuff in them. Foutz: I think a lot of the old records came through Ike Merry that were lost, and Gallup, which is a shame--the real early ones. I think they got lost. Cole: Who was the secretary before I took over? Foutz: Ike Merry. Tansey: Right! Ike Merry. I could not think of his name. Foutz: Ike Merry. And for years he had been secretary _______________. Tansey: Oh, yeah. Foutz: My understanding is that a lot of the old records were lost, either in mud and rain, or a combination of the two. But we lost a lot. He was also secretary for the Gallup Indian ceremonials… Tansey: Yes, that's right. Foutz: And they, too, lost a lot of their early records in the same way. Tansey: That's right. I could not think of Ike's name to save my soul. Foutz: He was [secretary] for years, and he was good. Tansey: Yeah. Well, I guess he just got to the point--he was still alive when I took over. Foutz: Oh, he got to the point that he was _________. Tansey: But he just couldn't do it anymore. Foutz: He could not. Tansey: And that's why they… It was really kind of unusual to ask somebody like me to be both secretary and general counsel. But I'll tell you, Eddie… Are you still recording? Steiger: I am. I can… Tansey: No, that's all right. I was just going to say that being attorney and secretary of the Indian Traders Association was one of the most pleasant things that ever happened to me as a lawyer and as a man. I really… And I look back now and wish that I had kept on doing it longer than I did, but I just got too old and too tired. Foutz: Well, and you were a busy person. You got on that water commission, and you had a lot of challenges to take care of. Tansey: That took a lot of time. Foutz: Oh, it did! I remember you were traveling a lot, and there were too many times when we'd go to hold a meeting, and you were out on a hearing somewhere, and you just had to be there, and I understand that. Tansey: I was an attorney for the New Mexico Interstate Streams Commission for years. I just was constantly going to… Also, as that, I was also an attorney for the Upper Colorado River Commission. And they were constantly having Upper Colorado River Commission meetings, and New Mexico Interstate Streams Commission meetings. And we had those meetings everywhere from Cheyenne, Wyoming; to Santa Fe, New Mexico; to Albuquerque; to Los Angeles, California; to Las Vegas, Nevada. When the Colorado River Commission and the Upper Colorado River Commission met, they loved to meet in Las Vegas. (laughter) You know, that's a great deal! And of course it's all expense paid. Foutz: Right. That was great. Well, that's wonderful. We appreciate your time. Charles, I want to just tell you how much I appreciate you doing this, and taking the time, because you've been an integral part of the Association since I can remember. Instead of a legal counsel so much, I've always looked on you as just part of the Association, because it was one and the same to me. So I�d say ____________. Tansey: You kind of sound like Lavoy McGee. He called Robert up to talk to him, and he said, "You know, we didn't really think of your dad as the attorney, we thought of him as a trader." Foutz: No! That�s the very idea! I just thought of you as the Association, I did. That was what was great [about] it. [END OF INTERVIEW]