II 112th CONGRESS 1st Session S. 988 IN THE SENATE OF THE UNITED STATES May 12, 2011 Mr. Schumer introduced the following bill; which was read twice and referred to the Committee on Energy and Natural Resources A BILL To ensure that local educational agencies and units of local governments are compensated for tax revenues lost when the Federal Government takes land into trust for the benefit of a federally recognized Indian tribe or an individual Indian.

1.

Short title

This Act may be cited as the Land-In-Trust Schools and Local Governments Equitable Compensation Act.

2.

Mandatory payments for certain land held in trust

(a)

Agreement

As soon as practicable after the date of enactment of this Act, the Secretary of the Interior (referred to in this section as the Secretary) shall attempt to negotiate an agreement among the applicable local education agency or unit of local government, the Secretary, the appropriate State, and, if appropriate, any federally recognized Indian tribe or individual Indian, under which all parties agree that the amounts described in subsection (b) shall be— (1)waived in whole or in part; (2)limited for an agreed upon number of years; or (3)otherwise adjusted, including adjusting the timing of any payments. (b)

Transfer of amounts

If an agreement is not entered into under subsection (a), for the first fiscal year beginning after the date of enactment of this Act and each fiscal year thereafter, the Secretary of the Treasury shall transfer directly to the Secretary of Interior from the general fund of the Treasury, without further appropriation, such amounts as are necessary, after taking into account any other amounts appropriated to make payments under this subsection, to make payments from the Secretary to the applicable local educational agency or unit of local government in an amount necessary to ensure that the local educational agency or unit of local government receives full payment for the amount of property tax revenues lost as a result of land under the jurisdiction of the local educational agency or unit of local government being held in trust by the United States for the benefit of a federally recognized Indian tribe or an individual Indian, to be calculated in a manner that provides that the taxes (otherwise payable but for the status of the land being held in trust) shall be assessed and paid annually at the same rate as the taxes would be assessed and paid if not in trust.

3.

Effective date

This Act shall apply to all land taken into trust by the United States for the benefit of a federally recognized Indian tribe or an individual Indian on or after October 1, 2008.