[Congressional Bills 105th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2789 Introduced in House (IH)]







105th CONGRESS
  1st Session
                                H. R. 2789

To save taxpayers money, reduce the deficit, cut corporate welfare, and 
   protect and restore America's natural heritage by eliminating the 
   fiscally wasteful and ecologically destructive commercial logging 
program on Federal public lands and to facilitate the economic recovery 
  and diversification of communities dependent on the Federal logging 
                                program.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                            October 31, 1997

   Ms. McKinney (for herself, Mr. Leach, Mr. Filner, Mr. Stark, Mr. 
     McDermott, Mr. Gutierrez, Mr. Lewis of Georgia, Mr. Brown of 
 California, Mr. Dixon, and Mr. Waxman) introduced the following bill; 
which was referred to the Committee on Agriculture, and in addition to 
  the Committees on Resources, and Education and the Workforce, 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 save taxpayers money, reduce the deficit, cut corporate welfare, and 
   protect and restore America's natural heritage by eliminating the 
   fiscally wasteful and ecologically destructive commercial logging 
program on Federal public lands and to facilitate the economic recovery 
  and diversification of communities dependent on the Federal logging 
                                program.

    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 ``National Forest 
Protection and Restoration Act of 1997''.
    (b) Table of Contents.--The table of contents of this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. Definitions.
Sec. 3. Findings.
Sec. 4. Prohibition on timber sales to protect Federal public lands.
Sec. 5. Effect of prohibition on existing timber sale contracts.
Sec. 6. Authorization of appropriations.
Sec. 7. Natural heritage restoration.
Sec. 8. Worker retraining.
Sec. 9. Allocation of funds.

 SEC. 2. DEFINITIONS.

    For purposes of this Act:
            (1) Agencies.--The term ``agencies'' means the Forest 
        Service, the Bureau of Land Management, and the United States 
        Fish and Wildlife Service.
            (2) Commercial logging.--The term ``commercial logging'' 
        means the sale of timber, or the execution of a timber sale, 
        regardless of the stated reasons for such sale or whether the 
        timber is standing, fallen, living, or dead.
            (3) Federal public lands.--The term ``Federal public 
        lands'' means--
                    (A) all lands in the United States included in the 
                National Forest System;
                    (B) all lands in the United States included in the 
                National Wildlife Refuge System; and
                    (C) all lands under the jurisdiction of the Bureau 
                of Land Management.
            (4) Roadless area.--The term ``roadless area'' means any 
        inventoried roadless area, an area of at least 5,000 contiguous 
        acres which contains 0.5 miles or less of improved road per 
        1,000 acres, or an area of less than 5,000 contiguous acres 
        which is adjacent to a unit of the National Wilderness 
        Preservation System or National Park System and which contains 
        0.5 miles or less of improved road per 1,000 acres.
            (5) Timber sales.--The term ``timber sale'' means the sale 
        of timber, or the offering of timber for sale or consideration, 
        regardless of the stated reasons for such sale, or whether the 
        timber is standing, fallen, living, or dead. The term does not 
        include free-use permits or paid permits under the personal use 
        component of the Forest Service or BLM timber program.

 SEC. 3. FINDINGS.

    Congress finds the following:
            (1) Polls conducted by the Forest Service show that a 
        strong majority of the American people think that natural 
        resources on Federal public lands should not be made available 
        to produce consumer goods.
            (2) The Forest Service report on its timber sale program 
        for fiscal year 1994 shows that recreation and tourism in the 
        National Forest System creates over 30 times more jobs, and 
        generates over 30 times more income, than commercial logging on 
        national forests.
            (3) According to Forest Service figures, timber cut from 
        Federal public lands comprises less than five percent of the 
        annual timber consumption of the United States.
            (4) The vast majority of America's original pristine 
        forests have been logged, and what little primary forest that 
        remains exists almost entirely on public lands.
            (5) The ecological crisis resulting from this severe 
        habitat loss and fragmentation of American forests requires 
        bold action to protect this Nation's natural heritage so that 
        pristine forests may remain pristine, and damaged forests may 
        have an opportunity to recover.
            (6) The 1995 report of the Comptroller General regarding 
        distribution of Forest Service timber sales receipts (GAO/RCED-
        95-237FS) reveals that, of the hundreds of millions of dollars 
        of taxpayer money that is annually expended on the Forest 
        Service timber sales program, only a small fraction finds its 
        way back to the Federal Treasury, resulting in an enormous net 
        loss to taxpayers.
            (7) The timber-oriented counties in Oregon, Washington, and 
        California which currently receive a percentage of timber sales 
        receipts from commercial logging are guaranteed, by existing 
        Federal Law (section 13982 and 13983 of Public Law 103-66 (107 
        Stat. 681, 682)), to continue to receive these payments at near 
        historic levels through the year 2003, regardless of logging 
        levels on public lands.
            (8) Forests absorb rainfall, retard stream runoff, reduce 
        floods, increase slope stability, and retain topsoil, and 
        retard soil erosion and siltation in streams, irrigation 
        ditches, and reservoirs.
            (9) Commercial logging has many indirect costs which are 
        very significant, but not easily measured, such as flooding 
        damage and relief of flooding damage through Federal funds, 
        damage to the salmon fishing industry; and harm to the 
        recreation and tourism industries.
            (10) A congressionally commissioned scientific study of the 
        Sierra Nevada forests found that more than any other human 
        activity, commercial logging has increased the risk and 
        severity of fires by removing the cooling shade of trees and 
        leaving flammable debris (see Sierra Nevada Ecosystem Project 
        Final Report to Congress, Vol. 1 Assessment Summaries and 
        Management Strategies, 1996).
            (11) It is in the interests of the American people to 
        protect watersheds on Federal public lands in order to prevent 
        potentially damaging and deadly floods.

 SEC. 4. PROHIBITION ON TIMBER SALES TO PROTECT FEDERAL PUBLIC LANDS.

    (a) Prohibition on New Timber Sales.--Notwithstanding any other 
provision of law, effective as of the date of the enactment of this 
Act, no timber sales shall be prepared, advertised, offered, or awarded 
on Federal public lands and, except as provided in section 5, no 
commercial logging shall occur on Federal public lands.
    (b) Exceptions.--The gathering of firewood or other wood for 
personal, noncommercial use, through free-use permits or paid permits 
under the personal use component of the Forest Service's timber program 
or equivalent BLM or U.S. Fish and Wildlife Service program, to the 
extent allowed under existing law, is not prohibited by subsection (a) 
but must be consistent with the provisions of section 7 of this Act.
    (c) Native American Tribes.--Nothing contained in this Act shall be 
construed to modify, amend, or breach any treaty, in existence on the 
date of enactment of this Act, with any Native American tribe.

SEC. 5. EFFECT OF PROHIBITION ON EXISTING TIMBER SALE CONTRACTS.

    (a) Remaining Salvage Rider Sales.--Notwithstanding any outstanding 
judicial order or administrative proceeding interpreting section 2001 
of Public Law 104-19 (109 Stat. 240; 16 U.S.C. 1611 note), the 
Secretary of Agriculture and the Secretary of the Interior shall 
immediately suspend each timber sale or activity that was being 
undertaken in whole or in part under the authority provided in such 
section.
    (b) Roadless Areas.--Notwithstanding any other provision of law, 
the Secretary of Agriculture and the Secretary of the Interior shall 
immediately suspend each timber sale in any roadless area on Federal 
public lands.
    (c) Phase-Out Period Authorized.--There shall be a 2-year period to 
phase out those timber sale contracts in existence as of the date of 
the enactment of this Act. The phase-out period shall begin on the date 
of the enactment of this Act. Any remaining timber sales on Federal 
public lands shall be automatically suspended upon the expiration of 
the phase-out period. Notwithstanding any other provision of law, no 
commercial logging shall occur anywhere on Federal public lands after 
the end of the phase-out period.
    (d) Early Termination.--For all timber sales suspended under 
subsection (a), subsection (b), and subsection (c) of this subsection, 
the Secretary concerned shall--
            (1) exercise any provision of the original contract that 
        authorizes termination and payment of specified damages; or
            (2) terminate the contract to avoid adverse effects on the 
        environment or natural resources.
    (e) Payment for Timber Sale Contracts Relinquished.--Any claim, 
whether as a result of a judgment or an agreement against the Federal 
Government, arising from termination of any timber sale contract under 
subsection (d) of this subsection, may be--
            (1) paid from funds made available under section 1304 of 
        title 31, United States Code, and shall not require 
        reimbursement under section 13(c) of the Contract Disputes Act 
        of 1978 (41 U.S.C. 612(c));
            (2) offset by forgiveness of a Federal Government loan or 
        loan guarantee;
            (3) paid through funds appropriated for the purpose; or
            (4) paid through the transfer of funds from any of the 
        following Forest Service or Bureau of Land Management timber 
        accounts:
                    (A) Timber sales management.
                    (B) Forest land vegetation management.
                    (C) Forest roads program.
                    (D) General administration related to commercial 
                logging.
    (f) Disputes.--Any claim by a purchaser against the Federal 
Government relating to a contract terminated under this section shall 
be subject to the Contract Disputes Act of 1978 (41 U.S.C. 601 et 
seq.).

SEC. 6. AUTHORIZATION OF APPROPRIATIONS.

    (a) Calculation of Logging Subsidy.--The Secretary of Agriculture, 
in consultation with the Secretary of the Interior, shall determine the 
average amount of Federal funds appropriated annually from the General 
Fund of the Treasury over the last five years for commercial logging 
and commercial logging-related activities on Federal public lands. In 
making this determination, the Secretary shall include amounts expended 
for the following, using estimates, where necessary:
            (1) Timber sales management.
            (2) Forest-land vegetation management.
            (3) Land management planning, inventory, and monitoring 
        related to commercial logging.
            (4) Research related to commercial logging.
            (5) The portion of the forest roads and road maintenance 
        program related to commercial logging.
            (6) General administration expenses related to commercial 
        logging.
            (7) Landline location related to commercial logging.
            (8) Law enforcement related to commercial logging.
            (9) The portion of the forest fire fighting and prevention 
        program related to commercial logging.
            (10) The portion of any other activities related to 
        commercial logging.
    (b) Authorization.--There are authorized to be appropriated such 
sums as may be necessary to carry out the provisions of this Act in the 
years subsequent to its passage, but not to exceed one-third of the 
logging subsidy amount calculated in subsection (a) of this section.
    (c) Administrative Expenses.--Not more than ten percent of the 
funds appropriated or allocated to carry out sections 7 and 8 be 
reserved for the administration of activities authorized under those 
sections.

SEC. 7. NATURAL HERITAGE RESTORATION.

    (a) Natural Heritage Restoration Corps.--The Secretary of the 
Interior and the Secretary of Agriculture shall each establish a 
special unit (to be known as the Natural Heritage Restoration Corps) 
for the purposes of conducting, in areas of Federal public lands where 
commercial logging has occurred, the following activities:
            (1) Restore native vegetative cover.
            (2) Conduct prescribed burning where necessary to reduce 
        fire risk caused by commercial logging.
            (3) Stabilize slopes and soils so as to prevent or reduce 
        further erosion.
            (4) Recontour slopes to their original contours, where 
        deemed appropriate and beneficial.
            (5) Decommission and obliterate logging roads in order to 
        recover roadless characteristics.
            (6) Remove man-made barriers to natural fish spawning runs.
            (7) Generally restore, as much as possible, such areas to 
        their natural condition as existed prior to the occurrence of 
        commercial logging.
    (b) Personnel and Equipment.--The Natural Heritage Restoration 
Corps shall hire the necessary personnel, which may include private 
contractors, and purchase or lease the necessary equipment to implement 
the Natural Heritage Restoration Plans and achieve the goals and 
objectives as set forth by the Secretaries of Agriculture and Interior 
under this section. There shall be a hiring preference for dislocated 
timber workers who have been terminated or laid off, or have received a 
notice of termination or lay off, as a consequence of the passage of 
this Act.
    (c) Natural Heritage Restoration Plans.--
            (1) National forest system lands.--For lands in the 
        National Forest System, the Secretary of Agriculture shall 
        develop Natural Heritage Restoration Plans at the regional 
        level to carry out the activities specified in subsection (a) 
        of this section in accordance with the standards, guidelines, 
        and procedures developed in subsection (d) of this section. 
        Such Plans shall be completed no later than eighteen months 
        after the date of enactment of this Act.
            (2) BLM and national wildlife refuge lands.--For lands 
        under the jurisdiction of the Bureau of Land Management, and, 
        as necessary for National Wildlife Refuges, the Secretary of 
        the Interior shall develop Natural Heritage Restoration Plans 
        at the regional level to carry out the objectives of subsection 
        (a) of this section in accordance with the standards, 
        guidelines, and procedures developed in subsection (d) of this 
section. Such plans shall be completed no later than eighteen months 
after the date of enactment of this Act.
    (d) Developing Standards, Guidelines, and Procedures for 
Restoration.--
            (1) Responsibilities of the secretaries.--The Secretary of 
        Agriculture and Secretary of the Interior shall develop 
        regional standards, guidelines, and procedures for restoration 
        as soon as practicable after the date of enactment of this Act, 
        and shall begin to incorporate these regional standards, 
        guidelines, and procedures into land management plans for 
        Federal public lands as soon as practicable. The Secretaries 
        shall complete such incorporation for all Federal public lands 
        by no later than two years after the date of enactment of this 
        Act. The Secretaries shall report to the Congress on the 
        progress of such incorporation in the annual report required by 
        section 8(c) of the Forest and Rangeland Renewable Resources 
        Planning Act of 1974 (16 U.S.C. 1606(c)) and section 311 of the 
        Federal Land Policy and Management Act of 1976 (43 U.S.C. 
        1741).
            (2) Committee of scientists.--In carrying out the purposes 
        of this subsection, the Secretary of the Interior shall appoint 
        a committee of scientists for each of the Forest Service 
        regions in the United States who are not officers or employees 
        of the Forest Service or BLM. The committee shall provide 
        scientific and technical advice and counsel on proposed 
        standards, guidelines, and procedures to assure that an 
        effective interdisciplinary approach is proposed and adopted 
        for the development of Natural Heritage Restoration Plans for 
        each region. The committee shall terminate upon promulgation of 
        the standards, guidelines, and procedures, but the Secretary 
        shall, from time to time, appoint similar committees when 
        considering revisions of regional standards, guidelines, and 
        procedures. Standards, guidelines, and procedures for 
        developing Natural Heritage Restoration Plans for each region 
        shall be completed no later than one year after the date of 
        enactment of this Act. The views of the committees shall be 
        included in the public information supplied when the standards 
        and guidelines are proposed for adoption.
            (3) Clerical and technical assistance.--Clerical and 
        technical assistance, as may be necessary to discharge the 
        duties of the committee of scientists established under 
        paragraph (2) of this subsection, shall be provided from the 
        personnel of the Department of Agriculture or the Department of 
        Interior, as appropriate.
            (4) Compensation.--While attending meetings of the 
        committee, the members shall be entitled to receive 
        compensation at a rate of $200 per diem, including travel time, 
        and while away from their homes or regular places of business 
        they may be allowed travel expenses, including per diem in lieu 
        of subsistence, as authorized by section 5703 of title 5, 
        United States Code, for persons in the Government service 
        employed intermittently.
    (e) Interim Needs for Restoration.--During the interim period while 
regional standards, guidelines, and procedures are being developed, the 
Secretary of Agriculture and Secretary of the Interior shall identify 
interim needs for restoration and take prompt action to begin 
restoration work with available personnel, until the Natural Heritage 
Restoration Corps is established. Interim needs for restoration shall 
be limited to prescribed burning and slash disposal where necessary to 
reduce fire risk, and stabilization of slopes and soils so as to 
prevent or reduce further erosion and land sliding in areas which have 
been logged.
    (f) Restoration Goals and Objectives.--Within one year of the date 
of enactment of this Act, the Secretary of Agriculture and the 
Secretary of the Interior shall develop specific restoration goals and 
objectives for each Unit of the Federal public lands, and shall, within 
the same time period, develop a specific schedule to accomplish those 
goals and objectives with the funds made available to carry out this 
section, as authorized in section 6 of this Act.
    (g) Plan Transition.--Except as otherwise provided in section 4 and 
5, and elsewhere in this Act, any plan, policy, or guidance of the 
Agencies, with respect to Federal public lands, in effect on the date 
of enactment of this Act shall continue to apply to such lands until 
such plan, policy or guidance is revised, amended, or changed as 
provided in this section.
    (h) Public Participation.--This subsection shall be carried out in 
compliance with the National Environmental Policy Act of 1969 and its 
implementing regulations.

SEC. 8. WORKER RETRAINING.

    (a) Eligible Individual Defined.--For the purposes of this section, 
the term ``eligible individual'' means an individual who--
            (1) is an eligible dislocated worker, as that term is 
        defined in section 301(a) of the Job Training Partnership Act 
        (29 U.S.C. 1651(a)); and
            (2) has been terminated or laid off, or has received a 
        notice of termination or lay off, as a consequence of the 
        passage of this Act, or as a consequence of management 
        decisions on Federal public lands prior to the passage of this 
        Act.
    (b) Determinations of Eligibility.--The determination of whether an 
individual is an eligible individual shall be made by the Secretary of 
Labor, pursuant to criteria established by the Secretary of Labor, in 
consultation with the Secretaries of Agriculture and the Interior.
    (c) Grants Authorized.--The Secretary of Labor may make grants to 
States, substate grantees (as defined by section 312 of the Job 
Training Partnership Act (29 U.S.C. 1661a), employers, employer 
associations, and representatives of employees--
            (1) to provide training, adjustment assistance, and 
        employment services to eligible individuals; and
            (2) to make needs-related payments to eligible individuals 
        in accordance with subsection (h) of this section.
    (d) Priority and Approval.--
            (1) Priority.--In reviewing applications for grants under 
        subsection (c) of this section, the Secretary of Labor shall 
        give priority to applications proposing to provide training, 
        adjustment assistance, and services in areas which have the 
        greatest number or percentage of eligible individuals.
            (2) Needs-related payments required.--The Secretary of 
        Labor shall not approve an application for a grant under 
        subsection (c) of this section unless the application contains 
        assurances that the applicant will use grant funds to provide 
        needs-related payments in accordance with subsection (h) of 
        this section.
    (e) Use of Funds.--Subject to the requirements of subsections (f), 
(g), and (h) of this section, grants under subsection (c) of this 
section may be used for any purpose for which funds may be used under 
section 314 of the Job Training Partnership Act (29 U.S.C. 1661c).
    (f) Job Search Allowance.--
            (1) Allowance authorized.--Grants under subsection (c) of 
        this section for adjustment assistance may be used to provide 
        job search allowances to eligible individuals. Such allowance, 
        if granted, shall provide reimbursement to the individual of 
        not more than 90 percent of the cost of necessary job search 
        expenses, as prescribed by regulations of the Secretary of 
        Labor, but may not exceed $1,200 unless the need for a greater 
        amount is justified in the application and approved by the 
        Secretary of Labor.
            (2) Criteria for granting job search allowances.--A job 
        search allowance may be granted only--
                    (A) to assist an eligible individual who has been 
                totally separated in securing a job within the United 
                States; and
                    (B) where the Secretary of Labor determines that 
                such employee cannot reasonably be expected to secure 
                suitable employment in the commuting area in which the 
                worker resides.
    (g) Relocation Allowance.--
            (1) Allowance authorized.--Grants under subsection (c) of 
        this section for adjustment assistance may be used to provide 
        relocation allowances to eligible individuals. Such an 
        allowance may only be granted to assist an eligible individual 
        in relocating within the United States and only if the 
        Secretary of Labor determines that such employee;
                    (A) cannot reasonably be expected to secure 
                suitable employment in the commuting area in which the 
                employee resides;
                    (B) has obtained suitable employment affording a 
                reasonable expectation of long-term duration in the 
                area in which the employee wishes to relocate, or has 
                obtained a bona fide offer of such employment, and
                    (C) is totally separated from employment at the 
                time relocation commences.
            (2) Amount of relocation allowance.--The amount of any 
        relocation allowance for any eligible individual may not exceed 
        the amount which is equal to the sum of--
                    (A) 90 percent of the reasonable and necessary 
                expenses, specified in regulations prescribed by the 
                Secretary, incurred in transporting an individual and 
                the individual's family, if any, and household effects; 
                and
                    (B) a lump sum equivalent to 3 times the employee's 
                average weekly wage, up to a maximum payment of $1,200, 
                unless the need for a greater amount is justified in 
                the application and approved by the Secretary of Labor.
    (h) Needs-Related Payments.--The Secretary of Labor shall prescribe 
regulations with respect to the use of funds from grants under 
subsection (c) of this section for needs-related payments in order to 
enable eligible individuals to complete training or education programs 
under this section. Such regulations shall--
            (1) require that such payments shall be provided to an 
        eligible individual only if such individual--
                    (A) does not qualify or has ceased to qualify for 
                unemployment compensation;
                    (B) has been enrolled in training by the end of the 
                13th week of the individual's initial unemployment 
                compensation benefit period, or, if later, the end of 
                the 8th week after an individual is informed that a 
                short-term layoff will in fact exceed six months; and
                    (C) is participating in training or education 
                programs under this section, except that such 
                regulations shall protect an individual from being 
                disqualified pursuant to this clause for a failure to 
                participate that is not the fault of the individual;
            (2) provide that to qualify for such payments the 
        individual currently receives, or is a member of a family which 
        currently receives, a total family income (exclusive of 
        unemployment compensation, child support payments, and welfare 
        payments) which, in relation to family size, is not in excess 
        of the lower living standard income level;
            (3) provide that the levels of such payments shall be equal 
        to the higher of--
                    (A) the applicable level of unemployment 
                compensation; or
                    (B) the poverty level determined in accordance with 
                criteria established by the Director of the Office of 
                Management and Budget;
            (4) provide for the adjustment of payments to reflect 
        changes in total family income; and
            (5) provide that the grantee shall obtain information with 
        respect to such income, and changes therein, from the eligible 
        individual.
    (i) Regulations.--The Secretary of Labor shall prescribe 
regulations to carry out this section not later than 180 days after the 
date of enactment of this Act.

SEC. 9. ALLOCATION OF FUNDS.

    (a) Availability of Certain Accounts.--Notwithstanding any other 
provision of law, from the date of the enactment of this Act through 
the duration of the two-year phase-out period provided in section 5 
plus one year thereafter, all funds in each of the following Forest 
Service and Bureau of Land Management accounts, including any funds 
deposited into these accounts during the two-year phase-out period, 
shall be used only to carry out the provisions of this Act:
            (1) Timber salvage funds (including the Salvage Sale Fund).
            (2) The fund established under section 3 of the Act of June 
        9, 1930 (commonly known as the Knutson-Vandenberg Act; 16 U.S.C 
        576b).
            (3) The fund containing moneys associated with the 
        Purchaser-Elect Roads Program.
    (b) Allocation of Timber Sales Revenues During Phase-Out Period.--
Notwithstanding any other provision of law, from the date of the 
enactment of this Act through the duration of the two-year phase-out 
period, all timber sale revenues from Federal public lands shall be 
deposited in the Knutson-Vandenberg Fund.
    (c) Abolishment of Accounts.--Notwithstanding any other provision 
of law, the funds referred to in subsection (a) of this section shall 
be used to carry out the provisions of this section until no funds 
remain in such accounts, after which these accounts shall be abolished.
    (d) Payments to States.--Revenue sharing payments to States from 
timber sale receipts, which have annually been made pursuant to the Act 
of May 23, 1908 (16 U.S.C. 500) shall, for each fiscal year after the 
date of passage of this Act (including the fiscal year in which passage 
occurs) through fiscal year 2003, be paid from the funds referred to in 
subsection (a) of this section, except that no such payments shall be 
made for counties already receiving ``Spotted Owl Payments'' pursuant 
to Public Law 103-66, 107 Stat. 681, 682. These payments shall be made 
in an amount equivalent to the revenue- sharing payments to States from 
timber sale receipts in fiscal year 1996 ($125.4 million). Should the 
monies in the funds referred to in subsection (a) of this section fall 
below $380 million cumulatively, the Secretary of the Treasury shall 
make these payments out of money in the Treasury not otherwise 
appropriated.
    (e) Worker Retraining.--Monies shall be distributed from the funds 
referred to in subsection (a) of this section to carry out the purposes 
of section 8. Such distributions shall be made in amounts up to $100 
million in the first year of the phase-out period, and $100 million and 
$150 million, respectively, in the subsequent two years.
    (f) Alternatives to Wood.--From the funds referred to in subsection 
(a) of this section, at least $1 million and up to $3 million shall be 
distributed to the Environmental Protection Agency (EPA) to fund an 
investigation into wood-free alternative products for paper and 
construction. Within one year of the date of passage of this Act, the 
Administrator shall make recommendations for grants to entities 
involved in the development and production of the most environmentally 
sound non-wood alternatives for paper and construction products. Up to 
$30 million from the funds referred to in subsection (a) of this 
section shall be made available to the EPA for such grants, which shall 
be made within three years after the date of passage of this Act.
    (g) Allocation of Remaining Funds.--Any funds remaining in the 
accounts referred to in subsection (a) of this section in the fourth 
year after the passage of this Act shall be deposited into the general 
fund of the United States Treasury.
                                 <all>