[Congressional Bills 108th Congress]
[From the U.S. Government Publishing Office]
[S. 2790 Introduced in Senate (IS)]







108th CONGRESS
  2d Session
                                 S. 2790

 To provide for the conveyance of certain public land in northwestern 
New Mexico by resolving a dispute associated with coal preference right 
                      lease interests on the land.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                           September 10, 2004

 Mr. Domenici introduced the following bill; which was read twice and 
              referred to the Committee on Indian Affairs

_______________________________________________________________________

                                 A BILL


 
 To provide for the conveyance of certain public land in northwestern 
New Mexico by resolving a dispute associated with coal preference right 
                      lease interests on the land.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Bisti PRLA Dispute Resolution Act''.

SEC. 2. WITHDRAWAL OF COAL PREFERENCE RIGHT LEASE APPLICATIONS.

    (a) In General.--Notwithstanding any other provision of law, if any 
of the coal preference right lease applications captioned NMNM 3752, 
NMNM 3753, NMNM 3754, NMNM 3755, NMNM 3835, NMNM 3837, NMNM 3918, NMNM 
3919, NMNM 6802, NMNM 7235 and NMNM 8745 are withdrawn by the holder or 
holders of the applications, the Secretary of the Interior, acting 
through the Bureau of Land Management (referred to in this Act as the 
``Secretary''), shall issue under section 4(a)(2) to each such holder 
or holders a certificate of bidding rights (in such form and manner as 
provided for under regulations promulgated by the Secretary under the 
Mineral Leasing Act (30 U.S.C. 181 et seq.)) that constitutes the 
combined fair market value, as determined under section 3, of the coal 
reserves for each coal preference right lease application withdrawn by 
the holder.
    (b) Relinquishment.--The relinquishment of all rights associated 
with the coal preference lease applications withdrawn shall be 
effective on the date of the issuance of the certificate of bidding 
rights under section 4(a)(2).
    (c) No Adjudication.--The withdrawals and issuances required under 
subsection (a) shall occur without any further adjudication of coal 
preference right lease applications by the Secretary.

SEC. 3. METHOD FOR DETERMINING FAIR MARKET VALUE.

    (a) In General.--Notwithstanding any other provision of law, this 
section shall apply to the issuance of a certificate of bidding rights 
under section 4(a)(2).
    (b) Value of Coal Reserves.--
            (1) In general.--The fair market value of the coal reserves 
        of any coal preference right lease application withdrawn under 
        section 2(a) shall be determined by the panel established under 
        paragraph (2).
            (2) Panel.--
                    (A) Establishment.--Not later than 30 days after 
                the date of enactment of this Act, the Secretary shall 
                establish a panel to determine the fair market value of 
                the coal reserves of any coal preference right lease 
                applications withdrawn under section 2(a).
                    (B) Membership.--The panel shall be composed of 3 
                representatives, of whom--
                            (i) 1 representative shall be appointed by 
                        the Secretary;
                            (ii) 1 representative shall be appointed by 
                        the holder of the preference right lease 
                        application; and
                            (iii) 1 representative shall be appointed 
                        by the Governor of the State of New Mexico.
            (3) Mineral appraiser.--The Secretary shall contract with a 
        qualified coal reserve appraiser to assist the panel 
        established under paragraph (2)(A) in determining the fair 
        market value of a coal reserve.
            (4) Supplemental information.--In determining the fair 
        market value of a coal reserve, the panel may supplement any 
        information provided to the panel, as the panel determines to 
        be appropriate.
            (5) Determination.--Not later than 75 days after the date 
        on which the panel is established under paragraph (2)(A), the 
        panel shall submit to the Secretary the determination of the 
        panel with respect to the fair market value of a coal reserve 
        of any coal preference right lease application withdrawn by the 
        holder.

SEC. 4. ISSUANCE OF PATENTS TO RELINQUISHED PREFERENCE RIGHT LEASE 
              APPLICATIONS.

    (a) In General.--Notwithstanding any other provision of law, not 
later than 120 days after the withdrawal of a coal preference right 
lease application, the Secretary shall--
            (1) issue to the Navajo Nation patents to the land, 
        including the mineral estate, subject to the coal preference 
        right lease application withdrawn--
                    (A) in full and final satisfaction of the right of 
                the Navajo Nation to select land in New Mexico under 
                section 11 of the Navajo-Hopi Land Settlement Act of 
                1974 (25 U.S.C. 640d-10); and
                    (B) to facilitate land consolidation and facilitate 
                mineral development in northwest New Mexico; and
            (2) issue a certificate of bidding rights in the amount of 
        the fair market value determined under section 3.
    (b) Enforcement.--The duties of the Secretary under this section 
shall be considered nondiscretionary and enforceable in a mandamus 
proceeding brought under section 1361 of title 28, United States Code.

SEC. 5. USE OF EXCHANGE BIDDING RIGHTS.

    (a) In General.--Notwithstanding any other provision of law--
            (1) a certificate of bidding rights issued under section 
        4(a)(2) shall--
                    (A) be subject to such procedures as the Secretary 
                may establish pertaining to notice of transfer and 
                accountings of holders and their balances;
                    (B) be transferable by the holder or holders of the 
                certificate of bidding rights in whole or in part; and
                    (C) constitute a monetary credit that, subject to 
                paragraph (2), may be applied, at the election of the 
                holder or holders of the certificate of bidding rights, 
                against--
                            (i) rentals, advance royalties, or 
                        production royalties payable to the Secretary 
                        under Federal coal leases; and
                            (ii) bonus payments payable to the 
                        Secretary in the issuance of a Federal coal 
                        lease or Federal coal lease modification under 
                        the coal leasing provisions of the Mineral 
                        Leasing Act (30 U.S.C. 181 et seq.); and
            (2) in a case in which a certificate of bidding rights 
        issued under section 4(a)(2) is applied by the holder or 
        holders of the certificate of bidding rights as a monetary 
        credit against a payment obligation under a Federal coal lease, 
        the holder or holders--
                    (A) may apply the bidding rights only against 50 
                percent of the amount payable under the lease; and
                    (B) shall pay the remaining 50 percent as provided 
                for under the lease in cash or cash equivalent.
    (b) Payment Under Lease Obligations.--Any payment of a Federal coal 
lease obligation by the holder or holders of a certificate of bidding 
rights issued under section 4(a)(2)--
            (1) shall be treated as money received under section 35 of 
        the Mineral Leasing Act (30 U.S.C. 191); but
            (2) shall be credited and redistributed by the Secretary 
        only as follows:
                    (A) 50 percent of the amount paid in cash or its 
                equivalent shall be--
                            (i) distributed to the State in which the 
                        lease is located; and
                            (ii) treated as a redistribution under 
                        section 35 of the Mineral Leasing Act (30 
                        U.S.C. 191).
                    (B) 50 percent of the amount paid through a 
                crediting of the bidding rights involved shall be 
                treated as a payment that is subject to redistribution 
                under that section to the Reclamation and Miscellaneous 
                Receipts accounts in the Treasury.
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