[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2069 Referred in Senate (RFS)]

  2d Session
                                H. R. 2069


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                           September 28, 2006

                                Received

                           November 13, 2006

     Read twice and referred to the Committee on Energy and Natural 
                               Resources

_______________________________________________________________________

                                 AN ACT



To authorize the exchange of certain land in Grand and Uintah Counties, 
                     Utah, 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.

    This Act may be cited as the ``Utah Recreational Land Exchange Act 
of 2006''.

SEC. 2. FINDINGS AND PURPOSES.

    (a) Findings.--Congress finds that--
            (1) the area surrounding the Colorado River in Grand and 
        San Juan Counties, Utah, and Dinosaur National Monument and the 
        Book Cliffs in Uintah County, Utah, contains nationally 
        recognized scenic vistas, significant archaeological and 
        historic resources, valuable wildlife habitat, and outstanding 
        opportunities for public recreation that are enjoyed by 
        hundreds of thousands of people annually;
            (2) the State of Utah owns multiple parcels of land in the 
        area that were granted to the State under the Act of July 16, 
        1894 (28 Stat. 107, chapter 138), to be held in trust for the 
        benefit of the public school system and other public 
        institutions of the State;
            (3) the parcels of State trust land are largely scattered 
        in checkerboard fashion amid the Federal land comprising the 
        area of the Colorado River corridor, the Dinosaur National 
        Monument, and the Book Cliffs;
            (4) the State trust land in the area of the Colorado River 
        corridor, Dinosaur National Monument, and the Book Cliffs 
        includes significant natural and recreational features, 
        including--
                    (A) portions of Westwater Canyon of the Colorado 
                River;
                    (B) the nationally recognized Kokopelli and 
                Slickrock trails;
                    (C) several of the largest natural rock arches in 
                the United States;
                    (D) multiple wilderness study areas and proposed 
                wilderness areas; and
                    (E) viewsheds for Arches National Park and Dinosaur 
                National Monument;
            (5) the large presence of State trust land located in the 
        Colorado River corridor, Dinosaur National Monument, and the 
        Book Cliffs area makes land and resource management in the area 
        more difficult, costly, and controversial for the United States 
        and the State of Utah;
            (6) although the State trust land was granted to the State 
        to generate financial support for public schools in the State 
        through the sale or development of natural resources, 
        development of those resources in the Colorado River corridor, 
        Dinosaur National Monument, and the Book Cliffs area may be 
        incompatible with managing the area for recreational, natural, 
        and scenic resources;
            (7) the United States owns land and interests in land in 
        other parts of the State of Utah that can be transferred to the 
        State in exchange for the State trust land without jeopardizing 
        Federal management objectives or needs; and
            (8) it is in the public interest to exchange federally 
        owned land in the State for the Utah State trust land located 
        in the Colorado River Corridor, Dinosaur National Monument, and 
        the Book Cliffs area, on terms that are fair to the United 
        States and the State of Utah.
    (b) Purpose.--It is the purpose of this Act to direct, facilitate, 
and expedite the exchange of certain Federal land and non-Federal land 
in the State to further the public interest by--
            (1) exchanging Federal land that has limited recreational 
        and conservation resources; and
            (2) acquiring State trust land with important recreational, 
        scenic, and conservation resources for permanent public 
        management and use.

SEC. 3. DEFINITIONS.

    In this Act:
            (1) Federal land.--The term ``Federal land'' means the land 
        located in Grand, San Juan, and Uintah Counties, Utah, that is 
        identified on the maps as--
                    (A) ``BLM Subsurface only Proposed for Transfer to 
                State Trust Lands'';
                    (B) ``BLM Surface only Proposed for Transfer to 
                State Trust Lands''; and
                    (C) ``BLM Lands Proposed for Transfer to State 
                Trust Lands''.
            (2) Grand county map.--The term ``Grand County Map'' means 
        the map prepared by the Bureau of Land Management entitled 
        ``Utah Recreational Land Exchange Act Grand County'' and dated 
        September 22, 2006.
            (3) Maps.--The term ``maps'' means the Grand County Map and 
        the Uintah County Map.
            (4) Non-federal land.--The term ``non-Federal land'' means 
        the land in Grand, San Juan, and Uintah Counties, Utah, that is 
        identified on the maps as--
                    (A) ``State Trust Land Proposed for Transfer to 
                BLM''; and
                    (B) ``State Trust Minerals Proposed for Transfer to 
                BLM''.
            (5) Secretary.--The term ``Secretary'' means the Secretary 
        of the Interior.
            (6) State.--The term ``State'' means the State of Utah, as 
        trustee under the Utah State School and Institutional Trust 
        Lands Management Act (Utah Code Ann. 53C-1-101 et seq.).
            (7) Uintah county map.--The term ``Uintah County Map'' 
        means the map prepared by the Bureau of Land Management 
        entitled ``Utah Recreational Land Exchange Act Uintah County'' 
        and dated September 22, 2006.

SEC. 4. EXCHANGE OF LAND.

    (a) In General.--If, not later than 30 days after the date of 
enactment of this Act, the State offers to convey to the United States 
title to the non-Federal land, the Secretary shall--
            (1) accept the offer; and
            (2) on receipt of acceptable title to the non-Federal land 
        and subject to valid existing rights, convey to the State all 
        right, title, and interest of the United States in and to the 
        Federal land.
    (b) Conveyance of Parcels in Phases.--
            (1) In general.--Notwithstanding that appraisals for all of 
        the parcels of Federal land and non-Federal land may not have 
        been completed under section 5, parcels of the Federal land and 
        non-Federal land may be exchanged under subsection (a) in 3 
        phases beginning on the date on which the appraised values of 
        the parcels included in the applicable phase are approved under 
        section 5(b)(5).
            (2) Phases.--The 3 phases referred to in paragraph (1) 
        are--
                    (A) phase 1, consisting of the non-Federal land 
                identified as ``phase one'' land on the Grand County 
                Map;
                    (B) phase 2, consisting of the non-Federal land 
                identified as ``phase two'' land on the Grand County 
                Map and the Uintah County Map; and
                    (C) phase 3, consisting of any remaining non-
                Federal land that is not identified as ``phase one'' 
                land or ``phase two'' land on the Grand County Map or 
                the Uintah County Map.
            (3) No agreement on exchange.--If agreement has not been 
        reached with respect to the exchange of an individual parcel of 
        Federal land or non-Federal land, the Secretary and the State 
        may agree to set aside the individual parcel to allow the 
        exchange of the other parcels of Federal land and non-Federal 
        land to proceed.
    (c) Appurtenant Water Rights.--Any conveyance of a parcel of 
Federal land or non-Federal land under this Act shall include the 
conveyance of water rights appurtenant to the parcel conveyed.
    (d) Timing.--
            (1) In general.--Except as provided in paragraphs (2) and 
        (3), the exchange of land authorized by subsection (a) shall be 
        completed not later than 330 days after the date on which the 
        State makes the Secretary an offer to convey the non-Federal 
        land under that subsection.
            (2) Exception.--The deadline established under paragraph 
        (1) shall not apply to a parcel of land, the value of which is 
        being determined under section 5(b)(6)(C).
            (3) Extension.--The Secretary and the State may mutually 
        agree to extend the deadline specified in paragraph (1).
    (e) Compliance.--Except as otherwise provided in this Act, the 
exchange of land shall be carried out in compliance with all laws and 
regulations applicable to the exchange of Federal land for non-Federal 
land.

SEC. 5. EXCHANGE VALUATION, APPRAISALS, AND EQUALIZATION.

    (a) Equal Value Exchange.--The value of the Federal land and non-
Federal land to be exchanged under this Act--
            (1) shall be equal; or
            (2) shall be made equal in accordance with subsection (c).
    (b) Appraisals.--
            (1) In general.--The value of the Federal land and the non-
        Federal land shall be determined by appraisals conducted in 
        accordance with--
                    (A) section 206(d) of the Federal Land Policy and 
                Management Act of 1976 (43 U.S.C. 1716(d)); and
                    (B) section 2201.3 of title 43, Code of Federal 
                Regulations (or successor regulations).
            (2) Selection of appraiser.--The appraisals of the Federal 
        land and non-Federal land shall be conducted by 1 or more 
        independent third-party appraisers selected jointly by the 
        Secretary and the State.
            (3) Costs.--
                    (A) In general.--The Secretary and the State shall 
                share third-party appraisal costs equally.
                    (B) Adjustment.--The Secretary and the State may 
                agree to adjust the relative value of the Federal land 
                and non-Federal land to be exchanged under this Act if 
                the Secretary or the State has paid a disproportionate 
                share of the third-party appraisal costs.
            (4) Valuation of unleased federal land; revenue sharing.--
                    (A) In general.--Any parcel of Federal land that, 
                as of the date of appraisal, is not leased under the 
                Mineral Leasing Act (30 U.S.C. 181 et seq.), shall be 
                appraised without regard to the presence of minerals 
                subject to lease under that Act, if, after conveyance 
                of the applicable parcel to the State, the State agrees 
                to pay to the United States--
                            (i) 50 percent of any bonus or rental 
                        payments (in the form of money or other 
                        consideration) that the State receives for the 
                        disposition of any interest in the minerals 
                        after the date of conveyance; and
                            (ii) an amount equal to--
                                    (I) the fraction of gross proceeds 
                                from mineral production (in the form of 
                                money or other consideration) to which 
                                the United States would have been 
                                entitled as a production royalty if the 
                                land had been--
                                            (aa) retained by the United 
                                        States; and
                                            (bb) leased under the 
                                        provisions of that Act in 
                                        effect on the date of this Act; 
                                        minus
                                    (II) the portion of production 
                                royalties that would otherwise be 
                                payable to the State under section 35 
                                of the Mineral Leasing Act (30 U.S.C. 
                                191).
                    (B) Obligation as covenant.--The obligation of the 
                State to pay bonus, rental, and royalty revenues to the 
                United States under subparagraph (A) shall be a 
                permanent covenant running with the applicable parcel 
                of Federal land conveyed to the State.
                    (C) Special account.--All revenues received by the 
                United States under this paragraph shall be deposited 
                in a special account in the Treasury of the United 
                States and shall be available without further 
                appropriation to the Secretary until expended for--
                            (i) the equalization of values as provided 
                        in subsection (c)(1);
                            (ii) the purchase of lands or interests 
                        therein within the State of Utah that are 
                        otherwise eligible for purchase under the 
                        Federal Lands Transaction Facilitation Act (43 
                        U.S.C. 2301 et. seq.); or
                            (iii) the purchase of lands or interests 
                        therein owned by the State of Utah as trustee 
                        under the Utah State School and Institutional 
                        Trust Lands Management Act that are determined 
                        by the Secretary to have outstanding 
                        characteristics for outdoor recreation, 
                        wildlife habitat, wilderness, or other natural 
                        resources.
                    (D) Acquisition.--Any land acquired under this 
                section shall be--
                            (i) from a willing seller;
                            (ii) contingent on the conveyance of title 
                        acceptable to the Secretary, using title 
                        standards of the Attorney General;
                            (iii) at a price not to exceed fair market 
                        value consistent with applicable provisions of 
                        the Uniform Appraisal Standards for Federal 
                        Land Acquisitions; and
                            (iv) managed as part of the unit within 
                        which it is contained.
            (5) Review and approval.--
                    (A) In general.--Not later than 120 days after the 
                date on which the appraiser is selected under paragraph 
                (2), the appraiser shall submit to the Secretary and 
                the State a copy of the completed appraisals for 
                review.
                    (B) Approval or disapproval.--Not later than 90 
                days after the date of receipt of an appraisal under 
                subparagraph (A), the Secretary and the State shall 
                independently approve or disapprove the appraisal.
            (6) Determination of value.--
                    (A) Determination by secretary and state.--If the 
                Secretary and the State are unable to agree on the 
                value of a parcel of land, the value of the parcel may 
                be determined by the Secretary and the State in 
                accordance with paragraphs (2) and (4) of section 
                206(d) of the Federal Land Policy and Management Act of 
                1976 (43 U.S.C. 1716(d)).
                    (B) Valuation of leased federal land.--
                            (i) In general.--If value is attributed to 
                        any parcel of Federal land because of the 
                        presence of minerals subject to leasing under 
                        the Mineral Leasing Act (30 U.S.C. 191 et 
                        seq.), and the parcel is subject to an existing 
                        lease under that Act, the value of the parcel 
                        shall be equal to the value of the parcel as 
                        determined under this section, as adjusted 
                        under clause (ii).
                            (ii) Adjustment.--
                                    (I) In general.--The value of the 
                                parcel subject to a lease under clause 
                                (i) shall be reduced by the percentage 
                                of the Federal revenue sharing 
                                obligation under section 35(a) of the 
                                Mineral Leasing Act (30 U.S.C. 191(a)).
                                    (II) No property right.--An 
                                adjustment under subclause (I) shall 
                                not be considered to be a property 
                                right of the State.
                    (C) Determination by court.--
                            (i) In general.--Notwithstanding any other 
                        provision of law, if the Secretary and the 
                        State have not agreed on the value of a parcel 
                        by the date that is 1 year after the date of 
                        enactment of this Act, a Federal district court 
                        (including the United States District Court for 
                        the District of Utah, Central Division) shall 
                        have jurisdiction to determine the value of the 
                        parcel.
                            (ii) Limitation.--An action to determine 
                        the value of a parcel under clause (i) shall be 
                        brought not earlier than 1 year, but not more 
                        than 3 years, after the date of enactment of 
                        this Act.
                    (D) Availability of appraisals.--
                            (i) In general.--All final appraisals, 
                        appraisal reviews, and determinations of value 
                        for land to be exchanged under this Act shall 
                        be available for public review at the Utah 
                        State Office of the Bureau of Land Management 
                        at least 30 days before the conveyance of the 
                        applicable parcels.
                            (ii) Publication.--The Secretary shall 
                        publish in a newspaper of general circulation 
                        in Salt Lake County, Utah, a notice that the 
                        appraisals are available for public inspection.
    (c) Equalization of Values.--
            (1) Surplus of non-federal land.--If after completion of 
        the appraisal and dispute resolution process under subsection 
        (b), the value of the non-Federal land exceeds the value of the 
        Federal land the Secretary shall, in partial exchange for the 
        non-Federal land, provide for payment to the State of the 
        amount necessary to equalize values from funds made available 
        under the special account established by subsection (b)(4)(C). 
        The State shall be entitled to receive a reasonable rate of 
        interest at a rate equivalent to a five-year Treasury note on 
        the balance of the value owed by the United States from the 
        effective date of the exchange until full value is received by 
        the State.
            (2) Surplus of federal land.--If after completion of the 
        appraisal and dispute resolution process under subsection (b), 
        the value of the Federal land exceeds the value of the non-
        Federal land, the value of the Federal land and non-Federal 
        land may be equalized by--
                    (A) the Secretary, after consultation with the 
                State, removing parcels of Federal land from the 
                exchange until the value is equal; or
                    (B) the Secretary and the State adding additional 
                State trust land to the non-Federal land, if--
                            (i) the additional land has been appraised 
                        in accordance with an ongoing Federal 
                        acquisition process or program; and
                            (ii) the appraised value (as determined 
                        under clause (i)) has been accepted by the 
                        Secretary.
            (3) Notice and public inspection.--
                    (A) In general.--If the Secretary and the State 
                determine to add or remove land from the exchange, the 
                Secretary shall--
                            (i) publish in a newspaper of general 
                        circulation in Salt Lake County, Utah, a notice 
                        that identifies when and where a revised 
                        exchange map will be available for public 
                        inspection; and
                            (ii) transmit to the Committee on Energy 
                        and Natural Resources of the Senate and the 
                        Committee on Resources of the House of 
                        Representatives a copy of the revised exchange 
                        map.
                    (B) Limitation.--The Secretary and the State shall 
                not add or remove land from the exchange until at least 
                20 days after the date on which the notice is published 
                under subparagraph (A)(i) and the map is transmitted 
                under subparagraph (A)(ii).
    (d) Resource Report.--
            (1) In general.--With respect to each parcel of Federal 
        land to be conveyed to the State, the Secretary shall prepare a 
        report, based on land management plans, resource inventories, 
        and surveys existing on the date on which the report is 
        prepared, that identifies any significant resource values, 
        issues, or management concerns associated with the parcel.
            (2) Notice and inspection.--A report shall be subject to 
        the public notice and inspection in accordance with subsection 
        (b)(6)(D).

SEC. 6. STATUS AND MANAGEMENT OF LAND AFTER EXCHANGE.

    (a) Administration of Non-Federal Land.--
            (1) In general.--Subject to paragraph (2) and in accordance 
        with section 206(c) of the Federal Land Policy and Management 
        Act of 1976 (43 U.S.C. 1716(c)), the non-Federal land acquired 
        by the United States under this Act shall become part of, and 
        be managed as part of, the Federal administrative unit or area 
        in which the land is located.
            (2) Mineral leasing and occupancy.--
                    (A) In general.--Subject to valid existing rights, 
                the non-Federal land acquired by the United States 
                under this Act shall be withdrawn from the operation of 
                the mineral leasing and mineral material disposal laws 
                until the later of--
                            (i) the date that is 2 years after the date 
                        of enactment of this Act; or
                            (ii) the date on which the Record of 
                        Decision authorizing the implementation of the 
                        applicable resource management plans under 
                        section 202 of the Federal Land Policy and 
                        Management Act of 1976 (43 U.S.C. 1712) is 
                        signed.
                    (B) Exception.--Any land identified on the maps as 
                ``Withdrawal Parcels'' is withdrawn from the operation 
                of the mineral leasing and mineral material disposal 
                laws.
            (3) Receipts.--
                    (A) In general.--Any receipts derived from the non-
                Federal land acquired under this Act shall be paid into 
                the general fund of the Treasury.
                    (B) Applicable law.--Mineral receipts from the non-
                Federal land acquired under this Act shall not be 
                subject to section 35 of the Mineral Leasing Act (30 
                U.S.C. 191).
    (b) Withdrawal of Federal Land Prior to Exchange.--Subject to valid 
existing rights, during the period beginning on the date of enactment 
of this Act and ending on the earlier of the date that is 3 years after 
the date of enactment of this Act or the date on which the Federal land 
is conveyed under this Act, the Federal land is withdrawn from--
            (1) disposition (other than disposition under section 4) 
        under the public land laws;
            (2) location, entry, and patent under the mining laws; and
            (3) the operation of--
                    (A) the mineral leasing laws;
                    (B) the Geothermal Steam Act of 1970 (30 U.S.C. 
                1001 et seq.); and
                    (C) the first section of the Act of July 31, 1947 
                (commonly known as the ``Materials Act of 1947'') (30 
                U.S.C. 601).
    (c) Grazing Permits.--
            (1) In general.--If land acquired under this Act is subject 
        to a lease, permit, or contract for the grazing of domestic 
        livestock in effect on the date of acquisition, the person or 
        entity acquiring the land shall allow the grazing to continue 
        for the remainder of the term of the lease, permit, or 
        contract, subject to the related terms and conditions of user 
        agreements, including permitted stocking rates, grazing fee 
        levels, access rights, and ownership and use of range 
        improvements.
            (2) Renewal.--To the extent allowed by Federal or State 
        law, on expiration of any grazing lease, permit, or contract 
        described in paragraph (1), the holder of the lease, permit, or 
        contract shall be entitled to a preference right to renew the 
        lease, permit, or contract.
            (3) Cancellation.--
                    (A) In general.--Nothing in this Act prevents the 
                Secretary or the State from canceling or modifying a 
                grazing permit, lease, or contract if the land subject 
                to the permit, lease, or contract is sold, conveyed, 
                transferred, or leased for nongrazing purposes by the 
                party.
                    (B) Limitation.--Except to the extent reasonably 
                necessary to accommodate surface operations in support 
                of mineral development, the Secretary or the State 
                shall not cancel or modify a grazing permit, lease, or 
                contract because the land subject to the permit, lease, 
                or contract has been leased for mineral development.
            (4) Base properties.--If land conveyed by the State under 
        this Act is used by a grazing permittee or lessee to meet the 
        base property requirements for a Federal grazing permit or 
        lease, the land shall continue to qualify as a base property 
        for the remaining term of the lease or permit and the term of 
        any renewal or extension of the lease or permit.
    (d) Hazardous Materials.--
            (1) In general.--The Secretary and, as a condition of the 
        exchange, the State shall make available for review and 
        inspection any record relating to hazardous materials on the 
        land to be exchanged under this Act.
            (2) Costs.--The costs of remedial actions relating to 
        hazardous materials on land acquired under this Act shall be 
        paid by those entities responsible for the costs under 
        applicable law.

SEC. 7. AUTHORIZATION OF APPROPRIATIONS.

    There are authorized to be appropriated such sums as are necessary 
to carry out this Act.

            Passed the House of Representatives September 27, 2006.

            Attest:

                                                 KAREN L. HAAS,

                                                                 Clerk.