Highlighted in this report is the 1976-77 work of the ten member Commission on Indian Services which was established in 1976 to compile information on services available to Indians, to develop programs to inform Indians of services available to them, to develop programs to make Indian wants and needs known to public and private agencies, and to assess Indian programs of state agencies. Background for understanding the impact on Oregon of the relationships between Indian tribes, the states, and the federal government is presented through discussion of treaty obligations, PL 280 (1953), and the policy of termination. Commission efforts to promote increased communication and cooperation among Indians, federal agencies, national Indian organizations and multi-state organizations are outlined. Summaries are given of the Commission proposals made during the 1977 legislative session on alcoholism program funding, burial sites protection, confiscation of fishing equipment, tribal police training and certification, state taxation of Klamath distributions, and incomes earned on reservations. The activities of the Commission committees on budgets, children's services, corrections, education, and elderly services are reviewed. Other areas of concern described are affirmative action, alcohol and drug services, Columbia River Management Plan, employment assistance, housing, minority and small business assistance, legal services, and volunteer services. (NEC)