[Congressional Bills 104th Congress]
[From the U.S. Government Publishing Office]
[H.R. 721 Introduced in House (IH)]







104th CONGRESS
  1st Session
                                H. R. 721

 To establish fair market value pricing of Federal natural assets, and 
                          for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                            January 27, 1995

   Mr. Miller of California (for himself, Mr. Vento, Mr. Torres, Mr. 
    Hinchey, Mr. Gejdenson, Mr. Rahall, Mr. Meehan, Mr. Yates, Mrs. 
      Maloney, Ms. Slaughter, Mr. Nadler, Mr. Stark, Mr. Frank of 
   Massachusetts, Ms. Roybal-Allard, Mr. Goss, Mr. Abercrombie, Mr. 
  Ackerman, and Mr. Sanders) introduced the following bill; which was 
    referred to the Committee on Resources and, in addition, to the 
 Committees on Ways and Means, Agriculture, and Government Reform and 
 Oversight, for a period to be subsequently determined by the Speaker, 
 in each case for consideration of such provisions as fall within the 
                jurisdiction of the committee concerned

_______________________________________________________________________

                                 A BILL


 
 To establish fair market value pricing of Federal natural assets, and 
                          for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Public Resources 
Deficit Reduction Act of 1995''.
    (b) Table of Contents.--

Sec. 1. Short title; table of contents.
                      TITLE I--GENERAL PROVISIONS

Sec. 101. Fair market value for resource disposal.
Sec. 102. Fees from program beneficiaries.
Sec. 103. Revenues from sale, lease, and transfer of assets.
                  TITLE II--REVENUE FROM MINING CLAIMS

Sec. 201. Definitions.
Sec. 202. Mining claim maintenance requirements.
Sec. 203. Royalty.
Sec. 204. Severance tax.
Sec. 205. Fund for abandoned locatable minerals mine reclamation.
Sec. 206. Limitation on patent issuance.
Sec. 207. Purchasing power adjustment.
Sec. 208. Savings clause.
Sec. 209. Effective date.
                           TITLE III--HELIUM

Sec. 301. Amendment of helium act.
Sec. 302. Authority of Secretary.
Sec. 303. Sale of crude helium.
Sec. 304. Elimination of stockpile.
Sec. 305. Repeal of authority to borrow.
         TITLE IV--USE OR DISPOSAL OF FEDERAL NATURAL RESOURCES

Sec. 401. Annual domestic livestock grazing fee.
Sec. 402. Elimination of below-cost timber sales of timber from 
                            National Forest System lands.
Sec. 403. Timberland suitability.
Sec. 404. Cost of water used to produce surplus crops.
Sec. 405. Reduction in maximum amount of payments under agricultural 
                            assistance programs to reflect receipt of 
                            Federal irrigation water.
Sec. 406. Off budget expenditures.
Sec. 407. Deposit of Taylor Grazing Act receipts in Treasury.
Sec. 408. Repeal of livestock feed assistance program.
Sec. 409. Communication permits.
Sec. 410. Oil and gas rentals.
                   TITLE V--NATIONAL PARK CONCESSIONS

Sec. 501. Findings and policy.
Sec. 502. Definitions.
Sec. 503. Repeal of Concessions Policy Act of 1965.
Sec. 504. Concession contracts and other authorizations.
Sec. 505. Competitive selection process.
Sec. 506. Franchise fees.
Sec. 507. Use of franchise fees.
Sec. 508. Duration of contract.
Sec. 509. Transfer of contract.
Sec. 510. Protection of concessioner investment.
Sec. 511. Rates and charges to public.
Sec. 512. Concessioner performance evaluation.
Sec. 513. Recordkeeping requirements.
Sec. 514. Exemption from certain lease requirements.
Sec. 515. No effect on ANILCA provisions.
Sec. 516. Implementation.
Sec. 517. Authorization of appropriations.

                      TITLE I--GENERAL PROVISIONS

SEC. 101. FAIR MARKET VALUE FOR RESOURCE DISPOSAL.

    (a) In General.--Notwithstanding any other provision of law, no 
timber, minerals, forage, or other natural resource owned by the United 
States, no Federally owned water, and no hydroelectric energy generated 
at a Federal facility may be sold, leased, or otherwise disposed of by 
any department, agency, or instrumentality of the United States for an 
amount less than fair market value, as determined by such department, 
agency, or instrumentality.
    (b) Existing Contracts, Leases, Etc.--
            (1) Existing arrangements.--The provisions of subsection 
        (a) shall not apply to any existing contract, lease, or other 
        binding arrangement entered into before the date of the 
        enactment of this Act unless such contract, lease or other 
        arrangement is renewed or extended after such date of 
        enactment.
            (2) Arrangements entered into in 5-year period.--The 
        provisions of subsection (a) shall take effect on the date 5 
        years after the date of enactment of this Act in the case of 
        any contract, lease, or other binding arrangement entered into 
        or renewed or extended after such date but before the date 5 
        years after such date.
            (3) Arrangements entered into after 5 years.--The 
        provisions of subsection (a) shall apply immediately to all 
        contracts, leases, or other binding arrangements entered into 
        or renewed or extended after the date 5 years after the 
        enactment of this Act.
    (c) Waiver.--The President may waive the requirements of subsection 
(a) whenever the President determines that such waiver is in the 
national interest. The President shall submit a notice to Congress 
containing an explanation of the reasons for any such determination 
within 60 days after the date of the determination.

SEC. 102. FEES FROM PROGRAM BENEFICIARIES.

    (a) General Authority.--The Secretary of the Interior and the 
Secretary of Agriculture are each authorized to establish and collect 
from persons subject to programs administered by each such Secretary 
such user fees as may be necessary to reimburse the United States for 
the expenses incurred in administering such programs. The aggregate 
amount of fees that may be assessed and collected under this section by 
each such Secretary in any fiscal year from persons subject to any such 
program shall not exceed the aggregate amount of expenses incurred in 
administering such program in such fiscal year.
    (b) Effective Date; Oil and Gas Lease Transfers.--The Secretary of 
the Interior and the Secretary of Agriculture may, by rule, establish 
the applicable effective date of any fee to be imposed under this 
section, except that fees shall be established and collected under this 
section from each person receiving a transfer of a Federal onshore oil 
and gas lease after the date of the enactment of this section.

SEC. 103. REVENUES FROM SALE, LEASE, AND TRANSFER OF ASSETS.

    (a) In General.--Section 1105(a) of chapter 11 of title 31, United 
States Code, is amended by inserting at the end the following new 
paragraph:
            ``(28) a separate statement of--
                    ``(A) projected revenues during the fiscal year for 
                which the budget is submitted from the anticipated 
                sale, lease, or transfer of any physical asset; and
                    ``(B) the estimated price at which this asset or a 
                comparable asset would be sold in an arms length 
                transaction in the private sector;
        asset by asset and aggregated by major functional category.''.
    (b) Effective Date.--The amendment made by subsection (a) shall 
become effective for fiscal year 1997 and shall be fully reflected in 
the fiscal year 1997 budget submitted by the President in February 1996 
as required by section 1105(a) of title 31, United States Code.

                  TITLE II--REVENUE FROM MINING CLAIMS

SEC. 201. DEFINITIONS.

    (a) Definitions.--As used in this title:
            (1) The term ``locatable mineral'' means any mineral not 
        subject to disposition under any of the following:
                    (A) the Mineral Leasing Act (30 U.S.C. 181 and 
                following);
                    (B) the Geothermal Steam Act of 1970 (30 U.S.C. 100 
                and following);
                    (C) the Act of July 31, 1947, commonly known as the 
                Materials Act of 1947 (30 U.S.C. 601 and following); or
                    (D) the Mineral Leasing for Acquired Lands Act (30 
                U.S.C. 351 and following).
            (2) The term ``mineral activities'' means any activity for, 
        related to or incidental to mineral exploration, mining, 
        beneficiation and processing activities for any locatable 
        mineral, including access. When used with respect to this 
        term--
                    (A) The term ``exploration'' means those techniques 
                employed to locate the presence of a locatable mineral 
                deposit and to establish its nature, position, size, 
                shape, grade and value.
                    (B) The term ``mining'' means the processes 
                employed for the extraction of a locatable mineral from 
                the earth.
                    (C) The term ``beneficiation'' means the crushing 
                and grinding of locatable mineral ore and such 
                processes as are employed to free the mineral from 
                other constituents, including but not necessarily 
                limited to, physical and chemical separation 
                techniques.
                    (D) The term ``processing'' means processes 
                downstream of beneficiation employed to prepare 
                locatable mineral ore into the final marketable 
                product, including but not limited to, smelting and 
                electrolytic refining.
            (3) The term ``mining claim'' means a claim for the 
        purposes of mineral activities.
            (4) The term ``Secretary'' means, unless otherwise provided 
        in this title, the Secretary of the Interior acting through the 
        Director of the Minerals Management Service.

SEC. 202. MINING CLAIM MAINTENANCE REQUIREMENTS.

    (a) In General.--The holder of each mining claim located on lands 
open to location shall pay to the Secretary an annual claim maintenance 
fee of $100 per claim per calendar year.
    (b) Time of Payment.--The claim maintenance fee payable pursuant to 
subsection (a) for any year shall be paid on or before August 31 of 
each year, except that for the initial calendar year in which the 
location is made, the locator shall pay the initial claim maintenance 
fee at the time the location notice is recorded with the Bureau of Land 
Management.
    (c) Oil Shale Claims Subject to Claim Maintenance Fees Under Energy 
Policy Act of 1992.--This section shall not apply to any oil shale 
claims for which a fee is required to be paid under section 2511(e)(2) 
of the Energy Policy Act of 1992 (106 Stat. 3111; 30 U.S.C. 242).
    (d) Claim Maintenance Fees Payable Under 1993 Act.--The claim 
maintenance fees payable under this section for any period with respect 
to any claim shall be reduced by the amount of the claim maintenance 
fees paid under section 10101 of the Omnibus Budget Reconciliation Act 
of 1993 with respect to that claim and with respect to the same period.
    (e) Waiver.--(1) The claim maintenance fee required under this 
section may be waived for a claim holder who certifies in writing to 
the Secretary that on the date the payment was due, the claim holder 
and all related parties held not more than 10 mining claims on lands 
open to location. Such certification shall be made on or before the 
date on which payment is due.
    (2) For purposes of paragraph (1), with respect to any claim 
holder, the term ``related party'' means each of the following:
            (A) The spouse and dependent children (as defined in 
        section 152 of the Internal Revenue Code of 1986), of the claim 
        holder.
            (B) Any affiliate of the claim holder.
    (f) Co-ownership.--Upon the failure of any one or more of several 
co-owners to contribute such co-owner or owners' portion of the fee 
under this section, any co-owner who has paid such fee may, after the 
payment due date, give the delinquent co-owner or owners notice of such 
failure in writing (or by publication in the newspaper nearest the 
claim for at least once a week for at least 90 days). If at the 
expiration of 90 days after such notice in writing or by publication, 
any delinquent co-owner fails or refuses to contribute his portion, his 
interest in the claim shall become the property of the co-owners who 
have paid the required fee.

SEC. 203. ROYALTY.

    (a) Reservation of Royalty.--Production of all locatable minerals 
from any mining claim located under the general mining laws, or mineral 
concentrates or products derived from locatable minerals from any 
mining claim located under the general mining laws, as the case may be, 
shall be subject to a royalty of 8 percent of the gross income from 
such production. The claimholder and any operator to whom the 
claimholder has assigned the obligation to make royalty payments under 
the claim and any person who controls such claimholder or operator 
shall be jointly and severally liable for payment of such royalties.
    (b) Duties of Claim Holders, Operators, and Transporters.--(1) A 
person--
            (A) who is required to make any royalty payment under this 
        section shall make such payments to the United States at such 
        times and in such manner as the Secretary may by rule 
        prescribe; and
            (B) shall notify the Secretary, in the time and manner as 
        may be specified by the Secretary, of any assignment that such 
        person may have made of the obligation to make any royalty or 
        other payment under a mining claim.
    (2) Any person paying royalties under this section shall file a 
written instrument, together with the first royalty payment, affirming 
that such person is liable to the Secretary for making proper payments 
for all amounts due for all time periods for which such person as a 
payment responsibility. Such liability for the period referred to in 
the preceding sentence shall include any and all additional amounts 
billed by the Secretary and determined to be due by final agency or 
judicial action. Any person liable for royalty payments under this 
section who assigns any payment obligation shall remain jointly and 
severally liable for all royalty payments due for the claim for the 
period.
    (3) A person conducting mineral activities shall--
            (A) develop and comply with the site security provisions in 
        operations permit designed to protect from theft the locatable 
        minerals, concentrates or products derived therefrom which are 
        produced or stored on a mining claim, and such provisions shall 
        conform with such minimum standards as the Secretary may 
        prescribe by rule, taking into account the variety of 
        circumstances on mining claims; and
            (B) not later than the 5th business day after production 
        begins anywhere on a mining claim, or production resumes after 
        more than 90 days after production was suspended, notify the 
        Secretary, in the manner prescribed by the Secretary, of the 
        date on which such production has begun or resumed.
    (4) The Secretary may by rule require any person engaged in 
transporting a locatable mineral, concentrate, or product derived 
therefrom to carry on his or her person, in his or her vehicle, or in 
his or her immediate control, documentation showing, at a minimum, the 
amount, origin, and intended destination of the locatable mineral, 
concentrate, or product derived therefrom in such circumstances as the 
Secretary determines is appropriate.
    (c) Recordkeeping and Reporting Requirements.--(1) A claim holder, 
operator, or other person directly involved in developing, producing, 
processing, transporting, purchasing, or selling locatable minerals, 
concentrates, or products derived therefrom, subject to this Act, 
through the point of royalty computation shall establish and maintain 
any records, make any reports, and provide any information that the 
Secretary may reasonably require for the purposes of implementing this 
section or determining compliance with rules or orders under this 
section. Such records shall include, but not be limited to, periodic 
reports, records, documents, and other data. Such reports may also 
include, but not be limited to, pertinent technical and financial data 
relating to the quantity, quality, composition volume, weight, and 
assay of all minerals extracted from the mining claim. Upon the request 
of any officer or employee duly designated by the Secretary or any 
State conducting an audit or investigation pursuant to this section, 
the appropriate records, reports, or information which may be required 
by this section shall be made available for inspection and duplication 
by such officer or employee or State.
    (2) Records required by the Secretary under this section shall be 
maintained for 6 years after cessation of all mining activity at the 
claim concerned unless the Secretary notifies the operator that he or 
she has initiated an audit or investigation involving such records and 
that such records must be maintained for a longer period. In any case 
when an audit or investigation is underway, records shall be maintained 
until the Secretary releases the operator of the obligation to maintain 
such records.
    (d) Audits.--The Secretary is authorized to conduct such audits of 
all claim holders, operators, transporters, purchasers, processors, or 
other persons directly or indirectly involved in the production or 
sales of minerals covered by this title, as the Secretary deems 
necessary for the purposes of ensuring compliance with the requirements 
of this section. For purposes of performing such audits, the Secretary 
shall, at reasonable times and upon request, have access to, and may 
copy, all books, papers and other documents that relate to compliance 
with any provision of this section by any person.
    (e) Cooperative Agreements.--(1) The Secretary is authorized to 
enter into cooperative agreements with the Secretary of Agriculture to 
share information concerning the royalty management of locatable 
minerals, concentrates, or products derived therefrom, to carry out 
inspection, auditing, investigation, or enforcement (not including the 
collection of royalties, civil or criminal penalties, or other 
payments) activities under this section in cooperation with the 
Secretary, and to carry out any other activity described in this 
section.
    (2) Except as provided in paragraph (4)(A) of this subsection 
(relating to trade secrets), and pursuant to a cooperative agreement, 
the Secretary of Agriculture shall, upon request, have access to all 
royalty accounting information in the possession of the Secretary 
respecting the production, removal, or sale of locatable minerals, 
concentrates, or products derived therefrom from claims on lands open 
to location under the general mining laws.
    (3) Trade secrets, proprietary, and other confidential information 
shall be made available by the Secretary pursuant to a cooperative 
agreement under this subsection to the Secretary of Agriculture upon 
request only if--
            (A) the Secretary of Agriculture consents in writing to 
        restrict the dissemination of the information to those who are 
        directly involved in an audit or investigation under this 
        section and who have a need to know;
            (B) the Secretary of Agriculture accepts liability for 
        wrongful disclosure; and
            (C) the Secretary of Agriculture demonstrates that such 
        information is essential to the conduct of an audit or 
        investigation under this subsection.
    (f) Interest and Substantial Underreporting Assessments.--(1) In 
the case of mining claims where royalty payments are not received by 
the Secretary on the date that such payments are due, the Secretary 
shall charge interest on such under payments at the same interest rate 
as is applicable under section 6621(a)(2) of the Internal Revenue Code 
of 1986. In the case of an underpayment, interest shall be computed and 
charged only on the amount of the deficiency and not on the total 
amount.
    (2) If there is any underreporting of royalty owed on production 
from a claim for any production month by any person liable for royalty 
payments under this section, the Secretary may assess a penalty of 10 
percent of the amount of that underreporting.
    (3) If there is a substantial underreporting of royalty owed on 
production from a claim for any production month by any person 
responsible for paying the royalty, the Secretary may assess an 
additional penalty of 10 percent of the amount of that underreporting.
    (4) For the purposes of this subsection, the term 
``underreporting'' means the difference between the royalty on the 
value of the production which should have been reported and the royalty 
on the value of the production which was reported, if the value which 
should have been reported is greater than the value which was reported. 
An underreporting constitutes a ``substantial underreporting'' if such 
difference exceeds 10 percent of the royalty on the value of production 
which should have been reported.
    (5) The Secretary shall not impose the assessment provided in 
paragraphs (2) or (3) of this subsection if the person liable for 
royalty payments under this section corrects the underreporting before 
the date such person receives notice from the Secretary that an 
underreporting may have occurred, or before 90 days after the date of 
the enactment of this section, whichever is later.
    (6) The Secretary shall waive any portion of an assessment under 
paragraph (2) or (3) of this subsection attributable to that portion of 
the underreporting for which the person responsible for paying the 
royalty demonstrates that--
            (A) such person had written authorization from the 
        Secretary to report royalty on the value of the production on 
        basis on which it was reported, or
            (B) such person had substantial authority for reporting 
        royalty on the value of the production on the basis on which it 
        was reported, or
            (C) such person previously had notified the Secretary, in 
        such manner as the Secretary may by rule prescribe, of relevant 
        reasons or facts affecting the royalty treatment of specific 
        production which led to the underreporting, or
            (D) such person meets any other exception which the 
        Secretary may, by rule, establish.
    (7) All penalties collected under this subsection shall be 
deposited in the Treasury.
    (g) Expanded Royalty Obligations.--Each person liable for royalty 
payments under this section shall be jointly and severally liable for 
royalty on all locatable minerals, concentrates, or products derived 
therefrom lost or wasted from a mining claim located or converted under 
this section when such loss or waste is due to negligence on the part 
of any person or due to the failure to comply with any rule, 
regulation, or order issued under this section.
    (h) Exception.--No royalty shall be payable under subsection (a) 
with respect to minerals processed at a facility by the same person or 
entity which extracted the minerals if an urban development action 
grant has been made under section 119 of the Housing and Community 
Development Act of 1974 with respect to any portion of such facility.
    (i) Effective Date.--The royalty under this section shall take 
effect with respect to the production of locatable minerals after the 
enactment of this Act, but any royalty payments attributable to 
production during the first 12 calendar months after the enactment of 
this Act shall be payable at the expiration of such 12-month period.

SEC. 204. SEVERANCE TAX.

    (a) Severance Tax on Minerals.--Chapter 36 of the Internal Revenue 
Code of 1986 (relating to certain other excise taxes) is amended by 
adding at the end the following new subchapter:

         ``Subchapter G--Tax on Severance of Locatable Minerals

``SEC. 4500. TAX ON SEVERANCE OF LOCATABLE MINERALS.

    ``(a) In General.--There is hereby imposed a tax on gross income 
resulting from the severance of any locatable mineral, or mineral 
concentrates or products, from a mine or other natural deposit located 
within the United States.
    ``(b) Amount of Tax.--The amount of the tax imposed by subsection 
(a) shall be 8 percent of the gross income derived from the locatable 
mineral, or from the mineral concentrates or products, severed as 
described in such subsection.
    ``(c) Exception If Royalty Imposed.--Subsection (a) shall not apply 
to gross income with respect to which a royalty is imposed by section 
203 of the Public Resources Deficit Reduction Act of 1995.''.
    (b) Conforming Amendment.--The table of subchapters for chapter 36 
of such Code (relating to certain other excise taxes) is amended by 
adding at the end the following new item:

                              ``Subchapter G. Tax on severance of 
                                        locatable minerals.''.

SEC. 205. FUND FOR ABANDONED LOCATABLE MINERALS MINE RECLAMATION.

    (a) Establishment of Fund.--(1) There is established on the books 
of the Treasury of the United States a trust fund to be known as the 
Abandoned Locatable Minerals Mine Reclamation Fund (hereinafter in this 
title referred to as the `Fund'). The Fund shall be administered by the 
Secretary acting through the Director of the Office of Surface Mining 
Reclamation and Enforcement.
    (2) The Secretary shall notify the Secretary of the Treasury as to 
what portion of the Fund is not, in the Secretary's judgment, required 
to meet current withdrawals. The Secretary of the Treasury shall invest 
such portion of the Fund in public debt securities with maturities 
suitable for the needs of such Fund and bearing interest at rates 
determined by the Secretary of the Treasury, taking into consideration 
current market yields on outstanding marketplace obligations of the 
United States of comparable maturities. The income on such investments 
shall be credited to, and form a part of, the Fund.
    (b) Amounts.--The following amounts shall be credited to the Fund:
            (1) All moneys received from royalties under section 203.
            (2) All taxes collected under section 4500 of the Internal 
        Revenue Code of 1986.
            (3) All donations by persons, corporations, associations, 
        and foundations for the purposes of this section.
    (c) Use and Objectives of the Fund.--The Secretary is authorized, 
subject to appropriations, to use moneys in the Fund for the 
reclamation and restoration of land and water resources adversely 
affected by past mineral activities on lands the legal and beneficial 
title to which resides in the United States, land within the exterior 
boundary of any National Forest System unit.
    (d) Specific Sites and Areas Not Eligible.--The provisions of 
section 411(d) of the Surface Mining Control and Reclamation Act of 
1977 shall apply to expenditures made from the Fund established under 
this section.
    (e) Fund Expenditures.--Moneys available from the Fund may be 
expended for the purposes specified in subsection (d) directly by the 
Director of the Office of Surface Mining Reclamation and Enforcement. 
The Director may also make such money available for such purposes to 
the Director of the Bureau of Land Management, the Chief of the United 
States Forest Service, the Director of the National Park Service, 
Director of the United States Fish and Wildlife Service, to any other 
agency of the United States, to an Indian tribe, or to any public 
entity that volunteers to develop and implement, and that has the 
ability to carry out, all or a significant portion of a reclamation 
program under this title.
    (f) Authorization of Appropriations.--Amounts credited to the Fund 
are authorized to be appropriated for the purpose of this section 
without fiscal year limitation.

SEC. 206. LIMITATION ON PATENT ISSUANCE.

    (a) Mining Claims.--After the date of enactment of this Act, no 
patent shall be issued by the United States for any mining claim 
located under the general mining laws unless the Secretary determines 
that, for the claim concerned--
            (1) a patent application was filed with the Secretary on or 
        before January 27, 1995; and
            (2) all requirements established under sections 2325 and 
        2326 of the Revised Statutes (30 U.S.C. 29 and 30) for vein or 
        lode claims and sections 2329, 2330, 2331, and 2333 of the 
        Revised Statutes (30 U.S.C. 35, 36, and 37) for placer claims 
        were fully complied with by that date.
If the Secretary makes the determinations referred to in paragraphs (1) 
and (2) for any mining claim, the holder of the claim shall be entitled 
to the issuance of a patent in the same manner and degree to which such 
claim holder would have been entitled to prior to the enactment of this 
Act, unless and until such determinations are withdrawn or invalidated 
by the Secretary or by a court of the United States.
    (b) Mill Sites.--After the date of enactment of this Act, no patent 
shall be issued by the United States for any mill site claim located 
under the general mining laws unless the Secretary determines that for 
the mill site concerned--
            (1) a patent application for such land was filed with the 
        Secretary on or before January 27, 1995; and
            (2) all requirements applicable to such patent application 
        were fully complied with by that date.
If the Secretary makes the determinations referred to in paragraphs (1) 
and (2) for any mill site claim, the holder of the claim shall be 
entitled to the issuance of a patent in the same manner and degree to 
which such claim holder would have been entitled to prior to the 
enactment of this Act, unless and until such determinations are 
withdrawn or invalidated by the Secretary or by a court of the United 
States.

SEC. 207. PURCHASING POWER ADJUSTMENT.

    The Secretary shall adjust all dollar amounts established in this 
title for changes in the purchasing power of the dollar every 10 years 
following the date of enactment of this Act, employing the Consumer 
Price Index for all-urban consumers published by the Department of 
Labor as the basis for adjustment, and rounding according to the 
adjustment process of conditions of the Federal Civil Penalties 
Inflation Adjustment Act of 1990 (104 Stat. 890).

SEC. 208. SAVINGS CLAUSE.

    Nothing in this Act shall be construed as repealing or modifying 
any Federal law, regulation, order or land use plan, in effect prior to 
the effective date of this Act, that prohibits or restricts the 
application of the general mining laws, including such laws that 
provide for special management criteria for operations under the 
general mining laws as in effect prior to the effective date of this 
Act, to the extent such laws provide environmental protection greater 
than required under this title.

SEC. 209. EFFECTIVE DATE.

    Except as otherwise provided in section 206 (relating to limitation 
on patent issuance) this title shall take effect on the date 1 year 
after the date of enactment of this Act.

                           TITLE III--HELIUM

SEC. 301. AMENDMENT OF HELIUM ACT.

    Except as otherwise expressly provided, whenever in this title an 
amendment or repeal is expressed in terms of an amendment to, or repeal 
of, a section or other provision, the reference shall be considered to 
be made to a section or other provision of the Helium Act (50 U.S.C. 
167 to 167n).

SEC. 302. AUTHORITY OF SECRETARY.

    Sections 3, 4, and 5 are amended to read as follows:

``SEC. 3. AUTHORITY OF SECRETARY.

    ``(a) Extraction and Disposal of Helium on Federal Lands.--(1) The 
Secretary may enter into agreements with private parties for the 
recovery and disposal of helium on Federal lands upon such terms and 
conditions as he deems fair, reasonable and necessary. The Secretary 
may grant leasehold rights to any such helium. The Secretary may not 
enter into any agreement by which the Secretary sells such helium other 
than to a private party with whom the Secretary has an agreement for 
recovery and disposal of helium. Such agreements may be subject to such 
rules and regulations as may be prescribed by the Secretary.
    ``(2) Any agreement under this subsection shall be subject to the 
existing rights of any affected Federal oil and gas lessee. Each such 
agreement (and any extension or renewal thereof) shall contain such 
terms and conditions as deemed appropriate by the Secretary.
    ``(3) This subsection shall not in any manner affect or diminish 
the rights and obligations of the Secretary and private parties under 
agreements to dispose of helium produced from Federal lands in 
existence at the enactment of the Public Resources Deficit Reduction 
Act of 1995 except to the extent that such agreements are renewed or 
extended after such date.
    ``(b) Storage, Transportation and Sale.--The Secretary is 
authorized to store, transport, and sell helium only in accordance with 
this Act.
    ``(c) Monitoring and Reporting.--The Secretary is authorized to 
monitor helium production and helium reserves in the United States and 
to periodically prepare reports regarding the amounts of helium 
produced and the quantity of crude helium in storage in the United 
States.

``SEC. 4. STORAGE AND TRANSPORTATION OF CRUDE HELIUM.

    ``(a) Storage and Transportation.--The Secretary is authorized to 
store and transport crude helium and to maintain and operate existing 
crude helium storage at the Bureau of Mines Cliffside Field, together 
with related helium transportation and withdrawal facilities.
    ``(b) Cessation of Production, Refining, and Marketing.--Effective 
one year after the date of enactment of the Public Resources Deficit 
Reduction Act of 1995, the Secretary shall cease producing, refining 
and marketing refined helium and shall cease carrying out all other 
activities relating to helium which the Secretary was authorized to 
carry out under this Act before the date of enactment of the Public 
Resources Deficit Reduction Act of 1995, except those activities 
described in subsection (a).
    ``(c) Disposal of Facilities.--(1) Within one year after the date 
of enactment of the Public Resources Deficit Reduction Act of 1995, the 
Secretary shall dispose of all facilities, equipment, and other real 
and personal property, together with all interests therein, held by the 
United States for the purpose of producing, refining and marketing 
refined helium. The disposal of such property shall be in accordance 
with the provisions of law governing the disposal of excess or surplus 
properties of the United States.
    ``(2) All proceeds accruing to the United States by reason of the 
sale or other disposal of such property shall be treated as moneys 
received under this chapter for purposes of section 6(f). All costs 
associated with such sale and disposal (including costs associated with 
termination of personnel) and with the cessation of activities under 
subsection (b) shall be paid from amounts available in the helium 
production fund established under section 6(f).
    ``(3) Paragraph (1) shall not apply to any facilities, equipment, 
or other real or personal property, or any interest therein, necessary 
for the storage and transportation of crude helium.
    ``(d) Existing Contracts.--All contracts which were entered into by 
any person with the Secretary for the purchase by such person from the 
Secretary of refined helium and which are in effect on the date of the 
enactment of the Public Resources Deficit Reduction Act of 1995 shall 
remain in force and effect until the date on which the facilities 
referred to in subsection (c) are disposed of. Any costs associated 
with the termination of such contracts shall be paid from the helium 
production fund established under section 6(f).

``SEC. 5. FEES FOR STORAGE, TRANSPORTATION AND WITHDRAWAL.

    ``Whenever the Secretary provides helium storage, withdrawal, or 
transportation services to any person, the Secretary is authorized and 
directed to impose fees on such person to reimburse the Secretary for 
the full costs of providing such storage, transportation, and 
withdrawal. All such fees received by the Secretary shall be treated as 
moneys received under this Act for purposes of section 6(f).''.

SEC. 303. SALE OF CRUDE HELIUM.

    Section 6 is amended as follows:
            (1) Subsection (a) is amended by striking out ``from the 
        Secretary'' and inserting ``from persons who have entered into 
        enforceable contracts to purchase an equivalent amount of crude 
        helium from the Secretary''.
            (2) Subsection (b) is amended by inserting ``crude'' before 
        ``helium'' and by adding the following at the end thereof: 
        ``Except as may be required by reason of subsection (a), sales 
        of crude helium under this section shall be in amounts as the 
        Secretary determines, in consultation with the helium industry, 
        necessary to carry out this subsection with minimum market 
        disruption.
            (3) Subsection (c) is amended by inserting ``crude'' before 
        ``helium'' after the words ``Sales of'' and by striking 
        ``together with interest as provided in subsection'' and all 
        that follows down through the period at the end of such 
        subsection and inserting the following:
``all funds required to be repaid to the United States as of October 1, 
1994 under this section (hereinafter referred to as `repayable 
amounts'). The price at which crude helium is sold by the Secretary 
shall not be less than the amount determined by the Secretary as 
follows:
            ``(1) Divide the outstanding amount of such repayable 
        amounts by the volume (in mcf) of crude helium owned by the 
        United States and stored in the Bureau of Mines Cliffside Field 
        at the time of the sale concerned.
            ``(2) Adjust the amount determined under paragraph (1) by 
        the Consumer Price Index for years beginning after December 31, 
        1994.''.
            (4) Subsection (d) is amended to read as follows:
    ``(d) Extraction of Helium From Deposits on Federal Lands.--All 
moneys received by the Secretary from the sale or disposition of helium 
on Federal lands shall be paid to the Treasury and credited against the 
amounts required to be repaid to the Treasury under subsection (c) of 
this section.''.
            (5) Subsection (e) is repealed.
            (6) Subsection (f) is amended by inserting ``(1)'' after 
        ``(f)'' and by adding the following at the end thereof:
    ``(2) Within 7 days after the commencement of each fiscal year 
after the disposal of the facilities referred to in section 4(c), all 
amounts in such fund in excess of $2,000,000 (or such lesser sum as the 
Secretary deems necessary to carry out this Act during such fiscal 
year) shall be paid to the Treasury and credited as provided in 
paragraph (1). Upon repayment of all amounts referred to in subsection 
(c), the fund established under this section shall be terminated and 
all moneys received under this Act shall be deposited in the Treasury 
as General Revenues.''.

SEC. 304. ELIMINATION OF STOCKPILE.

    Section 8 is amended to read as follows:

``SEC. 8. ELIMINATION OF STOCKPILE.

    ``(a) Review of Reserves.--The Secretary shall review annually the 
known helium reserves in the United States and make a determination as 
to the expected life of the domestic helium reserves (other than 
federally owned helium stored at the Cliffside Reservoir) at that time.
    ``(b) Sales.--Not later than January 1, 2005, the Secretary shall 
commence making sales of crude helium from helium reserves owned by the 
United States in such amounts as may be necessary to dispose of all 
such helium reserves in excess of 600 million cubic feet (mcf) by 
January 1, 2015. The sales shall be at such times and in such lots as 
the Secretary determines, in consultation with the helium industry, to 
be necessary to carry out this subsection with minimum market 
disruption. The price for all such sales, as determined by the 
Secretary in consultation with the helium industry, shall be such as 
will ensure repayment of the amounts required to be repaid to the 
Treasury under section 6(c).
    ``(c) Discovery of Additional Reserves.--The discovery of 
additional helium reserves shall not affect the duty of the Secretary 
to make sales of helium as provided in subsection (b), as the case may 
be.''.

SEC. 305. REPEAL OF AUTHORITY TO BORROW.

    Sections 12 and 15 are repealed.

         TITLE IV--USE OR DISPOSAL OF FEDERAL NATURAL RESOURCES

SEC. 401. ANNUAL DOMESTIC LIVESTOCK GRAZING FEE.

    Section 401 of the Federal Land Policy and Management Act of 1976 
(43 U.S.C. 1751) is hereby amended by adding at the end the following 
new subsections:
    ``(c)(1) Notwithstanding any other provision of law, the Secretary 
of Agriculture, with respect to National Forest lands in the 16 
contiguous Western States (except National Grasslands) administered by 
the United States Forest Service where domestic livestock grazing is 
permitted under applicable law, and the Secretary of the Interior with 
respect to public domain lands administered by the Bureau of Land 
Management where domestic livestock grazing is permitted under 
applicable law, shall establish beginning with the grazing season which 
commences on March 1, 1996, an annual domestic livestock grazing fee 
equal to fair market value: Provided, That the fee charged for any 
given year shall not increase nor decrease by more than 33.3 percent 
from the previous year's grazing fee.
    ``(2)(A) For purposes of this subsection, the term `fair market 
value' is defined as follows:

                                                                        
                            Appraised Base Value x Forage Value Index   
   Fair Market Value=   ------------------------------------------------
                                               100                      
                                                                        

    ``(B) For the purposes of subparagraph (A)--
            ``(i) the term `Forage Value Index' means the Forage Value 
        Index (FVI) computed annually by the Economic Research Service, 
        United States Department of Agriculture, and set with the 1996 
        FVI equal to 100; and
            ``(ii) the term `Appraised Base Value' means the 1983 
        Appraisal Value conclusions for mature cattle and horses 
        (expressed in dollars per head or per month), as determined in 
        the 1986 report prepared jointly by the Secretary of 
        Agriculture and the Secretary of the Interior entitled `Grazing 
        Fee Review and Evaluation', dated February 1986, on a westwide 
        basis using the lowest appraised value of the pricing areas 
        adjusted for advanced payment and indexed to 1996.
    ``(3) Executive Order No. 12548, dated February 14, 1986, shall not 
apply to grazing fees established pursuant to this Act.
    ``(d) The grazing advisory boards established pursuant to 
Secretarial action, notice of which was published in the Federal 
Register on May 14, 1986 (51 Fed. Reg. 17874), are hereby abolished, 
and the advisory functions exercised by such boards, shall, after the 
date of enactment of this sentence, be exercised only by the 
appropriate councils established under this section.
    ``(e) Funds appropriated pursuant to section 5 of the Public 
Rangelands Improvement Act of 1978 (43 U.S.C. 1904) or any other 
provision of law related to disposition of the Federal share of 
receipts from fees for grazing on public domain lands or National 
Forest lands in the 16 contiguous western States shall be used for 
restoration and enhancement of fish and wildlife habitat, for 
restoration and improved management of riparian areas, and for 
implementation and enforcement of applicable land management plans, 
allotment plans, and regulations regarding the use of such lands for 
domestic livestock grazing. Such funds shall be distributed as the 
Secretary concerned deems advisable after consultation and coordination 
with the advisory councils established pursuant to section 309 of this 
Act and other interested parties.''.

SEC. 402. ELIMINATION OF BELOW-COST TIMBER SALES OF TIMBER FROM 
              NATIONAL FOREST SYSTEM LANDS.

    (a) In General.--The National Forest Management Act of 1976 is 
amended by inserting after section 14 (16 U.S.C. 472a) the following 
new section:

``SEC. 14A. ELIMINATION OF BELOW-COST TIMBER SALES FROM NATIONAL FOREST 
              SYSTEM LANDS.

    ``(a) Requirement That Sale Revenues Exceed Costs.--On and after 
October 1, 2001, in appraising timber and setting a minimum bid for 
trees, portions of trees, or forest products located on National Forest 
System lands proposed for sale under section 14 or other provision of 
law, the Secretary of Agriculture shall ensure that the estimated cash 
returns to the United States Treasury from each sale exceed the 
estimated costs to be incurred by the Federal Government in preparation 
or as a result of that sale.
    ``(b) Costs To Be Considered.--For purposes of estimating under 
this section the costs to be incurred by the Federal Government from 
each timber sale, the Secretary shall assign to the sale the following 
costs:
            ``(1) The actual appropriated expenses for sale preparation 
        and harvest administration incurred or to be incurred by the 
        Federal Government from the sale and the payments to counties 
        to be made as a result of the sale.
            ``(2) A portion of the annual timber resource planning 
        costs, silvicultural examination costs, other resource support 
        costs, road design and construction costs, road maintenance 
        costs, transportation planning costs, appropriated 
        reforestation costs, timber stand improvement costs, forest 
        genetics costs, general administrative costs (including 
        administrative costs of the national and regional offices of 
        the Forest Service), and facilities construction costs of the 
        Federal Government directly or indirectly related to the timber 
        harvest program conducted on National Forest System lands.
    ``(c) Method of Allocating Costs.--The Secretary shall allocate the 
costs referred to in subsection (b)(2) to each unit of the National 
Forest System, and each proposed timber sale in such unit, on the basis 
of harvest volume.
    ``(d) Transitional Requirements.--To ensure the elimination of all 
below-cost timber sales by the date specified in subsection (a), the 
Secretary shall progressively reduce the number and size of below-cost 
timber sales on National Forest System lands as follows:
            ``(1) In fiscal years 1996, 1997, and 1998, the quantity of 
        timber sold in below-cost timber sales on National Forest 
        System lands shall not exceed 75 percent of the quantity of 
        timber sold in such sales in the preceding fiscal year.
            ``(2) In fiscal year 1999, the quantity of timber sold in 
        below-cost timber sales on National Forest System lands shall 
        not exceed 65 percent of the quantity of timber sold in such 
        sales in fiscal year 1998.
            ``(3) In fiscal year 2000, the quantity of timber sold in 
        below-cost timber sales on National Forest System lands shall 
        not exceed 50 percent of the quantity of timber sold in such 
        sales in the fiscal year 1999.
    ``(e) Below-Cost Timber Sale.--For purposes of this section, the 
term `below-cost timber sale' means a sale of timber in which the costs 
to be incurred by the Federal Government exceed the cash returns to the 
United States Treasury.''.
    (b) Findings.--Section 2 of the Forest and Rangeland Renewable 
Resources Planning Act of 1974 (16 U.S.C. 1600) is amended--
            (1) by striking ``and'' at the end of paragraph (6);
            (2) by striking the period at the end of paragraph (7) and 
        inserting ``; and''; and
            (3) by adding at the end the following new paragraph:
            ``(8) the practice of selling timber from National Forest 
        System lands for less than the cost to the Federal Government 
        of growing the timber and preparing the timber for sale is not 
        in the best interests of the United States, and such below-cost 
        sales should be eliminated in an orderly manner to achieve a 
more economically and environmentally sound timber program for the 
National Forest System.''.

SEC. 403. TIMBERLAND SUITABILITY.

    Section 6(k) of the Forest and Rangeland Renewable Resources 
Planning Act of 1974 (16 U.S.C. 1604(k)) is amended to read as follows:
    ``(k) Determination of Suitability of Lands for Timber 
Production.--
            ``(1) Determination required.--In revising land management 
        plans developed pursuant to this section, the Secretary shall 
        identify lands within the management area that are not suited 
        for timber production based on physical, economic, or other 
        relevant factors. The Secretary shall review the 
        identifications made under this paragraph during each revision 
        of the forest plan.
            ``(2) Evidence of economic unsuitability.--The Secretary 
        shall identify lands as economically unsuitable for timber 
        production under paragraph (1) if--
                    ``(A) the expected cash returns to the United 
                States Treasury that would result from the sale of 
                standing timber on the lands do not exceed the expected 
                costs that would be incurred by the Federal Government 
                in preparation or as a result of such sales; or
                    ``(B) the expected cash returns to the United 
                States Treasury that would result from the sale of 
                subsequent timber stands on the lands do not exceed the 
                expected costs that would be incurred by the Federal 
                Government in preparation or as a result of such sales.
            ``(3) Costs to be considered.--For purposes of estimating 
        under paragraph (2) the costs to be incurred by the Federal 
        Government from timber sales conducted on the lands being 
        reviewed, the Secretary shall assign to sales on such lands the 
        following costs:
                    ``(A) The appropriated expenses for sale 
                preparation and harvest administration that would be 
                incurred by the Federal Government from such sales and 
                the payments to counties that would be made as a result 
                of such sales.
                    ``(B) A portion of the annual timber resource 
                planning costs, silvicultural examination costs, other 
                resource support costs, road design and construction 
                costs, road maintenance costs, transportation planning 
                costs, appropriated reforestation costs, timber stand 
                improvement costs, forest genetics costs, general 
                administrative costs (including administrative costs of 
                the national and regional offices of the Forest 
                Service), and facilities construction costs of the 
                Federal Government directly or indirectly related to 
                the timber harvest program conducted on National Forest 
                System lands.
            ``(4) Method of allocating costs.--The Secretary shall 
        allocate the costs referred to in paragraph (3)(B) to each unit 
        of the National Forest System on the basis of harvest volume.
            ``(5) Prohibition on timber harvests on unsuitable lands.--
        In the case of lands identified under paragraph (1) as 
        unsuitable for timber production, no timber harvesting shall 
        occur on such lands for a period of 10 years or the life of the 
        plan, whichever is greater.
            ``(6) Definitions.--For purposes of this subsection:
                    ``(A) The term `standing timber' means an existing 
                stand of timber that has not been harvested.
                    ``(B) The term `subsequent timber stand' means a 
                regenerated stand of timber produced on land from which 
                standing timber has been harvested.''.

SEC. 404. COST OF WATER USED TO PRODUCE SURPLUS CROPS.

    Section 9 of the Reclamation Project Act of 1939 (43 U.S.C. 485h) 
is amended by inserting at the end thereof the following new 
subsection:
    ``(g)(1) Any contract entered into under authority of this section 
or any other provision of Federal reclamation law shall require that 
the organization agree by contract with the Secretary to pay full cost 
for the delivery of water used in the production of any crop of an 
agricultural commodity for which an acreage reduction program is in 
effect under the provisions of the Agricultural Act of 1949 (7 U.S.C. 
1421 et seq.).
    ``(2) The Secretary shall announce the amount of the full cost 
payment for the succeeding year on or before July 1 of each year.
    ``(3) As used in this subsection, the term `full cost' shall have 
the meaning given such term in paragraph (3) of section 202 of the 
Reclamation Reform Act of 1982 (43 U.S.C. 390bb(3)).
    ``(4) Paragraph (1) shall apply to any contract entered into or 
amended after the date of enactment of this subsection.''.

SEC. 405. REDUCTION IN MAXIMUM AMOUNT OF PAYMENTS UNDER AGRICULTURAL 
              ASSISTANCE PROGRAMS TO REFLECT RECEIPT OF FEDERAL 
              IRRIGATION WATER.

    (a) Price Support Programs.--Title X of the Food Security Act of 
1985 is amended--
            (1) by redesignating sections 1001D (7 U.S.C. 1308-4) and 
        1001E (7 U.S.C. 1308-5) as sections 1001E and 1001F, 
        respectively; and
            (2) by inserting after section 1001C (7 U.S.C. 1308-3) the 
        following new section:

``SEC. 1001D. REDUCTION OF PAYMENT LIMITATIONS TO REFLECT RECEIPT OF 
              FEDERAL IRRIGATION WATER.

    ``(a) Reduction of Payment Limitations Required.--If a person 
subject to section 1001 receives Federal irrigation water for 
agricultural purposes from the operation of a Federal reclamation 
project, the payment limitations specified in paragraphs (1) and (2) of 
such section and applicable to such person shall be reduced for the 
year in which such person receives irrigation water. The amount of the 
reduction shall be equal to the total value during that year of the 
subsidy portion of the contract with such person for the delivery of 
the irrigation water.
    ``(b) Determination of Subsidy Portion of Water Contract.--The 
subsidy portion of an irrigation water delivery contract is equal to 
the amount by which full cost for the delivery of the irrigation water 
exceeds the actual contract price for the delivery of the water.
    ``(c) Definitions.--For purposes of this section, the terms 
`contract', `full cost', `irrigation water', and `project' have the 
meanings given such terms in section 202 of the Reclamation Reform Act 
of 1982 (43 U.S.C. 390bb).''.
    (b) Noninsured Crop Disaster Assistance.--Subsection (h) of section 
519 of the Federal Crop Insurance Act (7 U.S.C. 1519), as added by 
section 112 of the Federal Crop Insurance Reform Act of 1994 (title I 
of Public Law 103-354; 108 Stat. 3202), is amended--
            (1) by redesignating paragraph (5) as paragraph (6); and
            (2) by inserting after paragraph (4) the following new 
        paragraph:
            ``(5) Effect of receipt of irrigation water.--
                    ``(A) Reduction of payment limitation.--If a person 
                who receives payments under this title also receives, 
                during the same year, Federal irrigation water for 
                agricultural purposes from the operation of a Federal 
                reclamation project, the payment limitation specified 
                in paragraph (2) for such person shall be reduced for 
                that year. The amount of the reduction shall be equal 
                to the total value during that year of the subsidy 
                portion of the contract with such person for the 
                delivery of the irrigation water.
                    ``(B) Determination of subsidy portion of water 
                contract.--The subsidy portion of an irrigation water 
                delivery contract is equal to the amount by which full 
                cost for the delivery of the irrigation water exceeds 
                the actual contract price for the delivery of the 
                water.
                    ``(C) Definitions.--For purposes of this paragraph, 
                the terms `contract', `full cost', `irrigation water', 
                and `project' have the meanings given such terms in 
                section 202 of the Reclamation Reform Act of 1982 (43 
                U.S.C. 390bb).''.
    (c) Conforming Amendments.--Section 1001 of the Food Security Act 
of 1985 (7 U.S.C. 1308) is amended by striking ``through 1001C'' in 
paragraphs (1)(A), (1)(B), (2)(A), and (5)(A) and inserting ``through 
1001D''.

SEC. 406. OFF BUDGET EXPENDITURES.

    (a) Knutson-Vandenberg Fund.--Section 3 of the Act of June 9, 1930 
(commonly known as the Knutson-Vandenberg Act; 16 U.S.C. 576b), is 
amended by striking ``and shall constitute a special fund, which is 
hereby appropriated and made available until expended,'' in the second 
sentence and inserting ``and are authorized to be appropriated''.
    (b) Deposits from Brush Disposal.--The paragraph relating to 
deposits from brush disposal under the heading ``forest service'' in 
the Act of August 11, 1916 (39 Stat. 462; 16 U.S.C. 490), is amended by 
striking ``and constitute a special fund, which is hereby appropriated 
and shall remain available until expended'' and inserting ``and are 
authorized to be appropriated for the purpose of disposing of such 
brush and other debris''.
    (c) National Forests Roads and Trails.--Section 7 of Public Law 88-
657 (16 U.S.C. 538) is amended by striking ``may be placed in a fund to 
be available'' and inserting ``are authorized to be appropriated''.
    (d) Timber Salvage Sale Fund.--Section 303(d) of Public Law 96-451 
(16 U.S.C. 1606a) is amended by inserting ``, subject to annual 
appropriations,'' after ``The Secretary of Agriculture''.

SEC. 407. DEPOSIT OF TAYLOR GRAZING ACT RECEIPTS IN TREASURY.

    Section 10 of the Taylor Grazing Act (43 U.S.C. 315i) is amended by 
striking all after ``miscellaneous receipts'' and inserting in lieu 
thereof a period.

SEC. 408. REPEAL OF LIVESTOCK FEED ASSISTANCE PROGRAM.

    (a) Repeal.--The Emergency Livestock Feed Assistance Act of 1988 
(title VI of the Agricultural Act of 1949; 7 U.S.C. 1471-1471j) is 
repealed.
    (b) Effect of Repeal on Approved Applications for Assistance.--The 
repeal of the Emergency Livestock Feed Assistance Act of 1988 by 
subsection (a) shall not affect the provision of payments or benefits 
under such Act pursuant to a completed application approved by the 
Secretary of Agriculture before the date of the enactment of this Act, 
and the Emergency Livestock Feed Assistance Act of 1988, as in effect 
on the day before the date of the enactment of this Act, shall continue 
to apply to the provision of payments or benefits pursuant to such an 
application.

SEC. 409. COMMUNICATION PERMITS.

    (a) In General.--No permit, lease, or authorization for the use of 
any area of the public lands or National Forests for communication 
uses, including but not limited to radio and television broadcast, 
mobile radio, cellular telephone, or microwave relay facilities, shall 
remain in force and effect after October 1, 1995, unless, by such date, 
and by October 1 of each year thereafter, the holder of such permit, 
lease, or authorization pays to the Secretary of the Interior or the 
Secretary of Agriculture, as appropriate, an amount equal to the fair 
market value, as determined by such Secretary, of the right to use and 
occupy such area for such communication uses.
    (b) Definition.--For the purposes of this section, the term 
``public lands'' shall have the same meaning as defined in section 
103(e) of the Federal Land Policy Management Act of 1976 (43 U.S.C. 
1702(e)).

SEC. 410. OIL AND GAS RENTALS.

    The Mineral Leasing Act is amended as follows:
            (1) In section 14 by striking out ``a rental of $1 per 
        acre'' and inserting ``a rental established by the Secretary of 
        the Interior'' and by adding the following at the end thereof: 
        ``The Secretary shall establish fair market value rental fees 
        under this section based upon the rental fees which would be 
        charged in arm's length transactions for comparable leases of 
        oil and gas resources on non-Federal land.''
            (2) In section 17(d) by striking out ``rental of not less 
        than $1.50 per acre per year for the first through fifth years 
        of the lease and not less than $2 per acre per year for each 
year thereafter'' and inserting ``rental established by the Secretary 
of the Interior'' and by adding the following at the end thereof: ``The 
Secretary shall establish fair market value rental fees under this 
section based upon the rental fees which would be charged in arms 
length transactions for comparable leases of oil and gas resources on 
non-Federal land.''
            (3) In section 21(a) by striking out ``rental, payable at 
        the beginning of each year, at the rate of 50 cents per acre 
        per annum, for the lands included in the lease,'' and inserting 
        ``rental established by the Secretary of the Interior'' and by 
        adding the following at the end thereof: ``The Secretary shall 
        establish fair market value rental fees under this section 
        based upon the rental fees which would be charged in arms 
        length transactions for comparable leases on non-Federal 
        land.''
            (4) In section 31(e)(2) by striking ``rate of not less than 
        $10 per acre per year, or the inclusion in a reinstated lease 
        issued pursuant to the provisions of section 17(c) of this Act 
        of a requirement that future rentals shall be at a rate not 
        less than $5 per acre per year'' and inserting ``fair market 
        value rate (but not less than $10 per acre per year)''.
            (5) In section 31(f)(3) by striking out ``of not less than 
        $5 per acre per year'' and inserting ``established by the 
        Secretary at fair market value based upon the rental fees which 
        would be charged in arms length transactions for comparable 
        leases on non-Federal land.''

                   TITLE V--NATIONAL PARK CONCESSIONS

SEC. 501. FINDINGS AND POLICY.

    (a) Findings.--In furtherance of the Act of August 25, 1916 (39 
Stat. 535), as amended (16 U.S.C. 1, 2-4), which directs the Secretary 
of the Interior to administer areas of the National Park System in 
accordance with the fundamental purpose of conserving their scenery, 
wildlife, natural and historic objects, and providing for their 
enjoyment in a manner that will leave them unimpaired for the enjoyment 
of future generations, the Congress finds that the preservation and 
conservation of park resources and values requires that such public 
accommodations, facilities, and services within such areas as the 
Secretary, in accordance with this Act, determines necessary and 
appropriate--
            (1) should be provided only under carefully controlled 
        safeguards against unregulated and indiscriminate use so that 
        visitation will not unduly impair park resources and values; 
        and
            (2) should be limited to locations and designs consistent 
        to the highest practicable degree with the preservation and 
        conservation of park resources and values.
    (b) Policy.--It is the policy of the Congress that--
            (1) development on Federal lands within a park shall be 
        limited to those facilities that the Secretary determines are 
        necessary and appropriate for public use and enjoyment of the 
        park in which such facilities and services are located;
            (2) development within a park should be consistent to the 
        highest practicable degree with the preservation and 
        conservation of the park's resources and values;
            (3) park facilities and services the Secretary determines 
        suitable to be provided by parties other than the Secretary 
        should be provided by private persons, corporations, or other 
        entities, except when no private interest is qualified and 
        willing to provide such facilities and services;
            (4) if the Secretary determines that development should 
        occur within a park, such development shall be designed, 
        located, and operated in a manner that is consistent with the 
        purposes for which such park was established;
            (5) the right to provide such services and to develop or 
        utilize facilities should be awarded to the person, 
        corporation, or entity submitting the best proposal through a 
        competitive selection process; and
            (6) such facilities or services should be provided to the 
        public at reasonable rates.

SEC. 502. DEFINITIONS.

    As used in this title:
            (1) The term ``concessioner'' means a person, corporation, 
        or other entity to whom a concession contract has been awarded.
            (2) the term ``concession contract'' means a contract, or 
        permit, (but not an authorization issued pursuant to section 
        504(b) of this title) to provide facilities or services, or 
        both, at a park.
            (3) The term ``facilities'' means improvements to real 
        property within parks used to provide accommodations, 
        facilities, or services to park visitors.
            (4) The term ``franchise fee'' means the fee required by a 
        concession contract to be paid to the United States in 
        consideration for the privileges afforded by such contract to 
        the holder thereof, which may be expressed as a percentage of 
        revenues derived by the contract holder from activities 
        authorized by the contract, and which shall be in addition to 
        fees required to be paid to the United States for the use of 
        federally-owned buildings or other facilities.
            (5) The term ``fund'' means the Park Improvement Fund 
        established under section 8(b).
            (6) The term ``park'' means a unit of the National Park 
        System.
            (7) The term ``proposal'' means the complete proposal for a 
        concession contract offered by a potential or existing 
        concessioner in response to the minimum requirements for the 
        contract established by the Secretary.
            (8) The term ``Secretary'' means the Secretary of the 
        Interior.

SEC. 503. REPEAL OF CONCESSIONS POLICY ACT OF 1965.

    (a) Repeal.--The Act of October 9, 1965, Public Law 89-249 (79 
Stat. 969, 16 U.S.C. 20-20g), entitled ``An Act relating to the 
establishment of concession policies in the areas administered by 
National Park Service and for other purposes'', is hereby repealed. The 
repeal of such Act shall not affect the validity of any contract 
entered into under such Act, but the provisions of this title shall 
apply to any such contract except to the extent such provisions are 
inconsistent with the express terms and conditions of the contract. 
Nothing in this title that is inconsistent with a prospectus issued 
before January 27, 1995, shall apply to the contract with respect to 
which such prospectus was issued. The Secretary is authorized to award 
a concession contract prior to promulgation of new regulations to 
implement this title if the Secretary determines that protection of 
public health and safety warrant such action, provided that such 
contract is consistent with this title.
    (b) Transition.--Nothing in this Act that is inconsistent with a 
prospectus issued before April 1, 1994, shall apply to the contract 
with respect to which such prospectus was issued. The Secretary is 
authorized to award a concession contract prior to promulgation of new 
regulations to implement this Act if the Secretary determines that 
protection of public health and safety warrant such action, provided 
that such contract is consistent with this Act.
    (c) Conforming Amendment.--The fourth sentence of section 3 of this 
Act of August 25, 1916 (16 U.S.C. 3; 39 Stat. 535) is amended by 
striking all through ``no natural'' and inserting in lieu thereof, ``No 
natural''.

SEC. 504. CONCESSION CONTRACTS AND OTHER AUTHORIZATIONS.

    (a) Concessions.--(1) Subject to the findings and policy stated in 
section 501 of this title and the provisions of this section, the 
Secretary may award concession contracts that authorize private 
persons, corporations, or other entities to provide services to park 
visitors and to utilize facilities if the Secretary determines that 
such award is the appropriate means for such authorization.
    (2) Concession contracts shall be awarded only to the extent that 
the Secretary finds that the services to be provided and the facilities 
to be utilized pursuant to each such contract are necessary and 
appropriate for the accommodation of visitors to a park.
    (3) The provision of services and the utilization of facilities 
pursuant to concession contracts shall be consistent with all 
applicable requirements of law, including laws relating generally to 
the administration and management of units of the National Park 
Service, and with the general management plan, concessions plan, and 
other relevant plans developed by the Secretary for the relevant park.
    (b) Other Authorizations.--(1) To the extent specified in this 
subsection, the Secretary, upon request, may authorize a private 
person, corporation, or other entity to provide services to park 
visitors otherwise than by award of a concession contract.
    (2)(A) The authority of this subsection may be used only to 
authorize provision of services to park visitors that the Secretary 
determines have minimal impact on park resources and values and will be 
consistent with the purposes for which the park was established and 
with all applicable management plans for such park.
    (B) The Secretary shall require payment of a reasonable fee for 
issuance of an authorization under this subsection. The fees shall 
remain available without further appropriation to be used to recover 
the costs of managing and administering this subsection.
    (C) The Secretary shall require that the provision of services 
under such an authorization be accomplished in a manner consistent to 
the highest practicable degree with the preservation and conservation 
of park resources and values.
    (D) The Secretary shall take appropriate steps to limit the 
liability of the United States arising from the provision of services 
under such an authorization.
    (E) The Secretary shall have no authority under this subsection to 
issue more authorizations than are consistent with the preservation and 
proper management of park resources and values, and shall establish 
such other conditions for issuance of such an authorization as the 
Secretary determines appropriate for protection of visitors, provision 
of adequate and appropriate visitor services, and protection and proper 
management of the resources and values of the National Park System.
    (3) Any authorization issued under this subsection shall be limited 
to commercial operations with annual gross revenues of not more than 
$25,000 resulting from the services provided within the park pursuant 
to such authorization.
    (4) The term of any authorization issued under this subsection 
shall not exceed 2 years.
    (5) An entity seeking or obtaining an authorization pursuant to 
this subsection shall not be precluded from also submitting proposals 
for concession contracts.

SEC. 505. COMPETITIVE SELECTION PROCESS.

    (a) In General.--(1) Except as provided in subsection (b), and 
consistent with the provisions of subsection (g), any concession 
contract entered into pursuant to this title shall be awarded to the 
person submitting the best proposal, as determined by the Secretary 
through the competitive selection process specified in this section.
    (2) Within 180 days after the date of enactment of this title, the 
Secretary shall promulgate appropriate regulations establishing a 
process to implement this section.
    (3) The regulations referred to in paragraph (2) shall include 
provisions for establishing a method or procedure for the resolution of 
disputes between the Secretary and a concessioner in those instances 
where the Secretary has been unable to meet conditions or requirements 
or provide such services, if any, as set forth in a prospectus pursuant 
to sections 505(c)(2) (D) and (E).
    (b) Temporary Contract.--Notwithstanding the provisions of 
subsection (a), the Secretary may award on a noncompetitive basis a 
temporary concession contract if the Secretary determines such an award 
to be necessary in order to avoid interruption of services to the 
public at a park. Prior to making such a determination, the Secretary 
shall take all reasonable and appropriate steps to consider alternative 
actions to avoid such interruptions.
    (c) Prospectus.--(1) Prior to soliciting proposals for a concession 
contract at a park, the Secretary shall prepare a prospectus soliciting 
proposals, shall publish a notice of its availability at least once in 
such local or national newspapers or trade publications as the 
Secretary determines appropriate, and shall make such prospectus 
available upon request to all interested parties.
    (2) The prospectus shall include, but need not be limited to, the 
following information:
            (A) The minimum requirements for such contract, as set 
        forth in subsection (d).
            (B) The terms and conditions of the existing concession 
        contract awarded for such park, if any, including all fees and 
        other forms of compensation provided to the United States by 
        the concessioner.
            (C) Other authorized facilities or services which may be 
        included in a proposal.
            (D) Facilities and services to be provided by the Secretary 
        to the concessioner, if any, including but not limited to, 
        public access, utilities, and buildings.
            (E) Minimum public services to be offered within a park by 
        the Secretary, including but not limited to, interpretive 
        programs, campsites, and visitor centers.
            (F) Such other information related to the concessions 
        operation as is provided by the Secretary pursuant to a 
        concession contract or is otherwise available to the Secretary, 
        as the Secretary determines is necessary to allow for the 
        submission of competitive proposals.
    (d) Minimum Proposal Requirements.--(1) No proposal shall be 
considered which fails to meet the minimum requirements included in the 
prospectus. Such minimum requirements shall include payment to the 
United States of a franchise fee and shall also include, but need not 
be limited to, the following:
            (A) The minimum acceptable franchise fee, fees for use of 
        any Federal buildings or other facilities, and any other fees 
        to be paid to the United States.
            (B) The duration of the contract.
            (C) Any facilities, services, or capital investments 
        required to be provided by the concessioner.
            (D) Measures that will be required in order to ensure the 
        protection and preservation of park resources and values.
    (2) The Secretary may reject any proposal, notwithstanding the 
amount of franchise fee offered, if the Secretary determines that the 
person, corporation, or entity making such proposal is not qualified, 
is likely to provide unsatisfactory service, or that the proposal is 
not sufficiently responsive to the objectives of protecting and 
preserving park resources and of providing necessary and appropriate 
facilities or services to the public at reasonable rates.
    (3) If all proposals submitted to the Secretary either fail to meet 
the minimum requirements or are rejected by the Secretary, the 
Secretary shall establish new minimum contract requirements and re-
initiate the competitive selection process pursuant to this section.
    (e) Selection of Best Proposal.--(1) In selecting the best 
proposal, the Secretary shall consider the following principal factors:
            (A) The responsiveness of the proposal to the objectives of 
        protecting and preserving park resources and of providing 
        necessary and appropriate facilities and services to the public 
        at reasonable rates.
            (B) The experience, expertise, and related background of 
        the person, corporation, or other entity submitting the 
        proposal, including whether the person, corporation, or entity 
        submitted the proposal has established a record of outstanding 
        performance in providing the same or similar facilities or 
        services.
            (C) The financial capability of the person, corporation, or 
        entity submitting the proposal.
            (D) The proposed franchise fee: Provided, That 
        consideration of revenue to the United States shall be 
        subordinate to the objectives of protecting and preserving park 
        resources including cultural resources, and of providing 
        necessary and appropriate facilities or services to the public 
        at reasonable rates.
    (2) The Secretary may also consider such secondary factors as the 
Secretary deems appropriate.
    (3) In developing regulations to implement this title, the 
Secretary shall consider the extent to which plans for employment of 
Indians (including Native Alaskans) and involvement of businesses owned 
by Indians, Indian tribes, or Native Alaskans in the operation of 
concession contracts should be identified as a factor in the selection 
of a best offer under this section.
    (f) Congressional Notification.--(1) The Secretary shall submit any 
proposed concession contract with anticipated annual gross receipts in 
excess of $1,000,000 (indexed to 1993 constant dollars) or a duration 
in excess of ten years to the Committee on Energy and Natural Resources 
of the United States Senate and the Committee on Resources of the 
United States House of Representatives.
    (2) The Secretary shall not award any such proposed contract until 
at least 60 days subsequent to the submission thereof to both 
Committees.
    (g) No Preferential Right of Renewal.--(1) Except as provided in 
paragraph (2), the Secretary shall not grant a preferential right to a 
concessioner to renew a concession contract executed pursuant to this 
title.
    (2)(A) The Secretary shall grant a preferential right of renewal 
with respect to a concession contract covered by subsection (h) and (i) 
subject to the requirements of subsection (h) or (i), as appropriate.
    (B) As used in this paragraph and subsections (h) and (i), the term 
``preferential right of renewal'' means that the Secretary shall allow 
a concessioner satisfying the requirements of this paragraph the 
opportunity to match the terms and conditions of any competing proposal 
which the Secretary determines to be the best offer.
    (C) A concessioner who exercises a preferential right of renewal in 
accordance with the requirements of this paragraph shall be entitled to 
award of the new concession contract with respect to which such right 
is exercised.
    (h) Outfitting and Guide Contracts.--(1) Except as provided in 
subsection (i), the provisions of subsection (g)(2) shall apply only--
            (A) to a concession contract--
                    (i) which solely authorizes a concessioner to 
                provide outfitting, guide, river running, or other 
                substantially similar services within a park; and
                    (ii) which does not grant such concessioner any 
                interest in any structure, fixture, or improvement 
                pursuant to section 11 of this Act; and
            (B) where the concessioner has been awarded an annual 
        rating of ``Excellent'' in at least 50 percent of the annual 
        ratings during the term of the contract;
            (C) where the concessioner has not received any annual 
        unsatisfactory ratings during the term of the contract; and
            (D) where the Secretary determines that the concessioner 
        has submitted a responsive proposal for a new contract which 
        satisfies the minimum requirements established by the Secretary 
        pursuant to section 6 of this Act.
    (2) In granting a preferential right of renewal pursuant to 
subsection (g)(2), the Secretary shall not require concessioner to 
match any portion of a proposed franchise fee which exceeds by more 
than 10 percent the minimum fee established by the Secretary in the 
prospectus for such contract.
    (3)(A) With respect to a concession contract (or extension thereof) 
covered by this subsection, which is in effect on the date of enactment 
of this Act, the provisions of this paragraph shall apply if the holder 
of such contract, under the laws and policies in effect on the day 
before the date of enactment of this Act, would have been entitled to a 
preferential right of renewal upon the expiration of such contract.
    (B) Upon the expiration of a concession contract (or extension 
thereof) covered by this paragraph, the Secretary, with respect to the 
award of a new concession contract to provide the same or substantially 
similar services as those authorized by the previous contract or 
extension, shall allow the holder of such contract or extension the 
right to exercise a preferential right of renewal to the same extent as 
would have been the case under the laws and policies in effect on the 
day before the date of enactment of this Act.
    (4)(A) In promulgating regulations to implement this subsection, 
the Secretary shall include a rating category of ``Excellent'', and 
shall establish clear and achievable standards necessary for the award 
of such rating, including but not necessarily limited to criteria 
relating to--
            (i) protection of the park's resources and values;
            (ii) furtherance of the educational, recreational, and 
        other purposes for which the Secretary manages the park; and
            (iii) the adequacy of services provided to park visitors.
    (B) The Secretary shall take appropriate steps to enable all 
holders of contracts covered by this subsection, and all parties 
seeking to obtain such contracts, to be aware of the criteria 
established pursuant to this paragraph.
    (i) Contracts With Annual Gross Receipts Under $500,000.--(1) The 
provisions of subsection (g)(2) shall also apply to a concession 
contract--
            (A) which the Secretary estimates will result in annual 
        gross receipts of less than $500,000;
            (B) where the Secretary has determined that the 
        concessioner has operated satisfactorily during the term of the 
        contract (including any extensions thereof); and
            (C) that the concessioner has submitted a responsive 
        proposal for a new concession contract which satisfies the 
        minimum requirements established by the Secretary pursuant to 
        section 6 of this Act.
    (2) The provisions of this subsection shall not apply to a 
concession contract covered by subsection (h).

SEC. 506. FRANCHISE FEES.

    (a) In General.--Franchise fees, however stated, shall not be less 
than the minimum franchise fee established by the Secretary for each 
contract. The minimum franchise fee shall be determined in a manner 
that will provide the concessioner with a reasonable opportunity to 
realize a profit on the operation as a whole, commensurate with the 
capital invested and the obligations assumed.
    (b) Multiple Contracts Within a Park.--If multiple concession 
contracts are awarded to authorize concessioners to provide the same 
outfitting, guide, river running, or other similar services at the same 
approximate location within a specific park, the Secretary shall 
establish a standardized schedule of franchise fees for all such 
contracts, subject to periodic review and revision by the Secretary.

SEC. 507. USE OF FRANCHISE FEES.

    (a) Special Account.--Except as provided in subsection (b), all 
receipts including fees for use of federally owned buildings or other 
facilities collected pursuant to this title shall be covered into a 
special account established in the Treasury of the United States. 
Amounts covered into such account in a fiscal year shall be available 
for expenditure, subject to appropriation, solely as follows:
            (1) 50 percent shall be allocated among the units of the 
        National Park System in the same proportion as franchise fees 
        collected from a specific unit bears to the total amount 
        covered into the account for each fiscal year, to be used for 
        resource management and protection, maintenance activities, 
        interpretation, and research.
            (2) 50 percent shall be allocated among the units of the 
        National Park System on the basis of need, in a manner to be 
        determined by the Secretary, to be used for resource management 
        and protection, maintenance activities, interpretation, and 
        research.
    (b) Park Improvement Fund.--(1) In lieu of collecting all or a 
portion of the franchise fees that would otherwise be collected 
pursuant to the concession contract, the Secretary shall, where the 
Secretary determines it to be practicable, require a concessioner to 
establish a Park Improvement Fund in which the concessioner shall 
deposit the franchise fees that would otherwise be required by the 
contract.
    (2) The fund shall be maintained by the concessioner in an interest 
bearing account in a federally insured financial institution. The 
concessioner shall maintain the fund separately from any other funds or 
accounts and shall not co-mingle the monies in the fund with any other 
monies. The Secretary may establish such other terms, conditions, or 
requirements as the Secretary determines to be necessary to ensure the 
financial integrity of the fund.
    (3) Monies from the fund, including interest, shall be expended 
solely for activities and projects within the park which are consistent 
with the park's general management plan, concessions plan, and other 
applicable plans, and which the Secretary determines will enhance 
public use, safety, and enjoyment of the park, including but not 
limited to projects which directly or indirectly support concession 
facilities or services required by the concession contract, but no 
expenditure from the fund shall have the effect of creating or 
increasing any compensable interest of any concessioner in any such 
facilities. A concessioner shall not be allowed to make any advances or 
credits to the fund.
    (4) A concessioner shall not be granted any interest in 
improvements made from fund expenditures, including any interest 
granted pursuant to section 310 of this title.
    (5) Nothing in this subsection shall affect the obligation of a 
concessioner to insure, maintain, and repair any structure, fixture, or 
improvement assigned to such concessioner and to insure that such 
structure, fixture, or improvement fully complies with applicable 
safety and health laws and regulations.
    (6) The concessioner shall maintain proper records for all 
expenditures made from the fund. Such records shall include, but not be 
limited to invoices, bank statements, canceled checks, and such other 
information as the Secretary may require.
    (7) The concessioner shall annually submit to the Secretary a 
statement reflecting total activity in the fund for the preceding 
financial year. The statement shall reflect monthly deposits, 
expenditures by project, interest earned, and such other information as 
the Secretary requires.
    (8) A fund established pursuant to this subsection may not be used 
for any capital expenditure exceeding $2,500,000 in any fiscal year 
unless such expenditure from a fund has been authorized in advance by 
Act of Congress. The Secretary shall annually inform the Congress 
concerning the actual and projected use of moneys in each fund 
established pursuant to this subsection.
    (9) Upon the termination of a concession contract, or upon the sale 
or transfer of such contract, any remaining balance in the fund shall 
be transferred by the concessioner to the successor concessioner, to be 
sued solely as set forth in this subsection. In the event there is no 
successor concessioner, the fund balance shall be deposited into the 
special account established in subsection (a).

SEC. 508. DURATION OF CONTRACT.

    (a) Maximum Term.--A concession contract entered into pursuant to 
this title shall be awarded for a term not to exceed ten years: 
Provided, however, That the Secretary may award a contract for a term 
not to exceed twenty years if the Secretary determines that a longer 
term is a necessary component of the overall contract in order to 
reduce the costs to the United States of acquiring possessory interests 
or to carry out the policies of this title and other laws applicable to 
the National Park System.
    (b) Temporary Contract.--A temporary concession contract awarded on 
a non-competitive basis pursuant to section 505(b) of this title shall 
be for a term not to exceed two years.

SEC. 509. TRANSFER OF CONTRACT.

    (a) In General.--(1) No concession contract may be transferred, 
assigned, sold, or otherwise conveyed by a concessioner without prior 
written notification to, and approval of the Secretary.
    (2) The Secretary shall not unreasonably withhold approval of a 
transfer, assignment, sale, or conveyance of a concession contract, but 
shall not approve the transfer of a concession contract to any 
individual, corporation or other entity if, among other matters, the 
Secretary determines that--
            (A) such individual, corporation or entity is, or is likely 
        to be, unable to completely satisfy all of the requirements, 
        terms, and conditions of the contract;
            (B) such transfer, assignment, sale or conveyance is not 
        consistent with the objectives of protecting and preserving 
        park resources, and of providing necessary and appropriate 
        facilities or services to the public at reasonable rates;
            (C) such transfer, assignment, sale, or conveyance relates 
        to a concession contract which does not provide to the United 
        States consideration commensurate with the probable value of 
        the privileges granted by the contract; or
            (D) the terms of the transfer, assignment, sale, or 
        conveyance directly or indirectly attribute a significant value 
        to intangible assets or otherwise may so reduce the opportunity 
        for a reasonable profit over the remaining term of the contract 
        that the United States would be required to make substantial 
        additional expenditures in order to avoid interruption of 
        services to park visitors.
    (b) Congressional Notification.--Within thirty days after receiving 
a request to approve a transfer, assignment, sale, or other conveyance 
of a concession contract with anticipated annual gross receipts in 
excess of $1,000,000 (indexed to 1993 constant dollars) or a duration 
in excess of 10 years, the Secretary shall notify the Committee on 
Energy and Natural Resources of the United States Senate and the 
Committee on Resources of the United States House of Representatives of 
such proposal. Approval of such proposal, if granted by the Secretary, 
shall not take effect until sixty days after the date of notification 
of both Committees.

SEC. 510. PROTECTION OF CONCESSIONER INVESTMENT.

    (a) Existing Structures.--(1) A concessioner who, pursuant to a 
concession contract, before the date of enactment of this title 
acquired or constructed, or as of such date was required by such a 
contract to commence acquisition or construction, of any structure, 
fixture, or improvement upon land owned by the United States within a 
park, shall have a possessory interest therein, to the extent provided 
by such contract, the value of such possessory interest to be 
determined for all purposes on the basis of applicable laws and 
contracts in effect on the day before such date of enactment.
    (2) The provisions of this subsection shall not apply to a 
concessioner whose contract in effect on the date of enactment of this 
title does not include recognition of a possessory interest.
    (3)(A)(i) Except as provided in subparagraph (B), with respect to a 
concession contract entered into on or after the date of enactment of 
this title, the provisions of subsection (b) shall apply to any 
existing structure, fixture, or improvement as defined in paragraph 
(1), except that the value of the possessory interest as of the 
termination date of the first contract expiring after the date of 
enactment of this title shall be used as the basis for depreciation, in 
lieu of the actual original cost of such structure, fixture, or 
improvement.
    (ii) Notwithstanding Generally Accepted Accounting Principles, a 
concessioner with a possessory interest as provided in subsection (a) 
may, at the termination date of the first contract expiring after the 
date of enactment of this Act, re-estimate the useful life of the 
applicable structure, fixture, or improvement, consistent with 
subsection (b): Provided, That the estimated useful life of such 
structure, fixture, or improvement shall not thereafter be 
reestablished or revalued.
    (B) If the Secretary determines during the competitive selection 
process that all proposals submitted either fail to meet the minimum 
requirements or are rejected (as provided in section 505), the 
Secretary may, solely with respect to a structure, fixture, or 
improvement covered under this paragraph, suspend the depreciation 
provisions of subsection (b)(1) for the duration of the contract: 
Provided, That the Secretary may suspend such depreciation provisions 
only if the Secretary determines that the establishment of other new 
minimum contract requirements is not likely to result in the submission 
of satisfactory proposals, and that the suspension of the depreciation 
provisions is likely to result in the submission of satisfactory 
proposals.
    (b) New Structures.--(1) On or after the date of enactment of this 
title, a concessioner who constructs or acquires a new, additional, or 
replacement structure, fixture, or improvement upon land owned by the 
United States within a park, pursuant to a concession contract, shall 
have an interest in such structure, fixture, or improvement equivalent 
to the actual original cost of acquiring or constructing such 
structure, fixture, or improvement, less straight line depreciation 
over the estimated useful life of the asset according to Generally 
Accepted Accounting Principles: Provided, That in no event shall the 
estimated useful life of such asset exceed the depreciation period used 
for such asset for Federal income tax purposes.
    (2) In the event that the contract expires or is terminated prior 
to the estimated useful life of an asset described in paragraph (1), 
the concessioner shall be entitled to receive from the United States or 
the successor concessioner payment equal to the value of the 
concessioner's interest in such structure, fixture, or improvement. A 
successor concessioner may not revalue the interest in such structure, 
fixture, or improvement, the method of depreciation, or the estimated 
useful life of the asset.
    (3) Title to any such structure, fixture, or improvement shall be 
vested in the United States.
    (c) Insurance, Maintenance and Repair.--Nothing in this section 
shall affect the obligation of a concessioner to insure, maintain, and 
repair any structure, fixture, or improvement assigned to such 
concessioner and to insure that such structure, fixture, or improvement 
fully complies with applicable safety and health laws and regulations.

SEC. 511. RATES AND CHARGES TO PUBLIC.

    The reasonableness of a concessioner's rates and charges to the 
public shall, unless otherwise provided in the prospectus and contract, 
be judged primarily by comparison with those rates and charges for 
facilities and services of comparable character charged by parties in 
reasonable proximity to the relevant park and operating under similar 
conditions, with due consideration for length of season, seasonal 
variance, average percentage of occupancy, accessibility, availability 
and costs of labor and materials, type of patronage, and other factors 
deemed significant by the Secretary.

SEC. 512. CONCESSIONER PERFORMANCE EVALUATION.

    (a) Regulations.--Within one hundred and eighty days after the date 
of enactment of this title, the Secretary, after an appropriate period 
for public comment, shall publish regulations establishing standards 
and criteria for evaluating the performance of concessioners operating 
within parks.
    (b) Periodic Evaluation.--(1) The Secretary shall periodically 
conduct an evaluation of each concessioner operating under a concession 
contract pursuant to this title to determine whether such concessioner 
has performed satisfactorily. In evaluating a concessioner's 
performance, the Secretary shall seek and consider applicable reports 
and comments from appropriate Federal, State, and local regulatory 
agencies, and shall seek and consider the views of park visitors and 
concession customers. If the Secretary's performance evaluation results 
in an unsatisfactory rating of the concessioner's overall operation, 
the Secretary shall so notify the concessioner in writing, and shall 
provide the concessioner with a list of the minimum requirements 
necessary for the operation to be rated satisfactory.
    (2) The Secretary may terminate a concession contract if the 
concessioner fails to meet the minimum operational requirements 
identified by the Secretary within the time limitations established by 
the Secretary at the time notice of the unsatisfactory rating is 
provided to the concessioner.
    (3) If the Secretary terminates a concession contract pursuant to 
this section, the Secretary shall solicit proposals for a new contract 
consistent with the provisions of this title.
    (c) Congressional Notification.--The Secretary shall notify the 
Committee on Energy and Natural Resources of the United States Senate 
and the Committee on Resources of the United States House of 
Representatives of each unsatisfactory overall annual rating and of 
each concession contract terminated pursuant to this section.

SEC. 513. RECORDKEEPING REQUIREMENTS.

    (a) In General.--Each concessioner shall keep such records as the 
Secretary may prescribe to enable the Secretary to determine that all 
terms of the concessioner's contract have been and are being faithfully 
performed, and the Secretary, the Inspector General of the Department 
of the Interior, or any of the Secretary's duly authorized 
representatives shall, for the purpose of audit and examination, have 
access to such records and to other books, documents and papers of the 
concessioner pertinent to the contract and all the terms and conditions 
thereof as the Secretary and the Inspector General deem necessary.
    (b) General Accounting Office Review.--The Comptroller General of 
the United States or any of his or her duly authorized representatives 
shall, until the expiration of five calendar years after the close of 
the business year for each concessioner, have access to and the right 
to examine any pertinent books, documents, papers, and records of the 
concessioner related to the contracts or contracts involved, including 
those related to any Park Improvement Funds established pursuant to 
section 507(b).

SEC. 514. EXEMPTION FROM CERTAIN LEASE REQUIREMENTS.

    The provisions of section 321 of the Act of June 30, 1932 (47 Stat. 
412; 40 U.S.C. 303b), relating to the leasing of buildings and 
properties of the United States, shall not apply to contracts awarded 
by the Secretary pursuant to this title.

SEC. 515. NO EFFECT ON ANILCA PROVISIONS.

    Nothing in this title shall be construed to amend, supersede, or 
otherwise affect any provision of the Alaska National Interest Lands 
Conservation Act (16 U.S.C. 3101 et seq.).

SEC. 516. IMPLEMENTATION.

    (a) Audit Requirement.--Beginning with fiscal year 1997, the 
Inspector General of the Department of the Interior shall conduct a 
biennial audit of the Secretary's implementation of this title and the 
award and management of concession contracts and authorizations 
described in section 504(b).
    (b) Biennial Reports.--Beginning on June 1, 1997, and biannually 
thereafter the Secretary and the Inspector General of the Department of 
the Interior shall submit a report to the Committee on Energy and 
Natural Resources of the United States Senate and the Committee on 
Resources of the United States House of Representatives on the 
implementation of this title and the effect of such implementation on 
facilities operated and services provided pursuant to concession 
contracts.
    (c) Information From Secretary.--In each report required by this 
section, the Secretary shall--
            (1) identify any concession contracts which have been 
        renewed, renegotiated, terminated, or transferred during the 2 
        years prior to the submission of the report and identify any 
        significant changes in the terms of the new contract;
            (2) state the amount of franchise fees, the rates which 
        would be charged for services, and the level of other services 
        required to be provided by the concessioner in comparison to 
        that required in any previous concession contract for the same 
        facilities or services at the same park;
            (3) assess the degree to which facilities are being 
        maintained, using the condition of such facilities on the date 
        of enactment of this Act as a baseline;
            (4) indicate whether competition has been increased or 
        decreased with respect to the awarding of concession contracts;
            (5) set forth the total amount of revenues received and 
        financial obligations incurred or reduced by the Federal 
        Government as a result of enactment of this Act for the 
        reporting period and in comparison with previous reporting 
        periods and the baseline year of 1993, including the costs, if 
        any, associated with the acquisition of possessory interests; 
        and
            (6) include information concerning any park improvement 
        funds established pursuant to section 507(b) of this title, 
        including--
                    (A) the total amount of funds deposited into and 
                expended from each such fund during the preceding 2-
                year period; and
                    (B) the purposes for which expenditures from such 
                funds during such period were used.
    (d) Information From Inspector General.--In each report required by 
this section, the Inspector General of the Department of the Interior 
shall include information as to the results of the audit required by 
subsection (a), including--
            (1) the status of the Secretary's implementation of this 
        title;
            (2) the extent to which such implementation has furthered 
        the policies of this title, as set forth in section 501, and 
        has led to an increase or decrease in competition for 
        concession contracts;
            (3) the adequacy of recordkeeping and other requirements 
        imposed on establishment and use of park improvement funds 
        established pursuant to section 507(b); and
            (4) any recommendations the Inspector General may find 
        appropriate in order to further the purposes of this title and 
        other laws applicable to the National Park System or to assure 
        that park improvement funds established pursuant to section 
        507(b) are maintained and expenditures therefrom are used in 
        accordance with this title and sound business practices.

SEC. 517. AUTHORIZATION OF APPROPRIATIONS.

    There is authorized to be appropriated such sums as may be 
necessary to carry out this title.
                                 <all>
HR 721 IH----2
HR 721 IH----3
HR 721 IH----4
HR 721 IH----5
HR 721 IH----6
HR 721 IH----7