[Congressional Bills 115th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3115 Introduced in House (IH)]

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115th CONGRESS
  1st Session
                                H. R. 3115

 To provide for a land exchange involving Federal land in the Superior 
 National Forest in Minnesota acquired by the Secretary of Agriculture 
             through the Weeks Law, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             June 29, 2017

   Mr. Nolan (for himself, Mr. Peterson, Mr. Emmer, Mr. Tipton, Mr. 
Lamborn, Mr. Lewis of Minnesota, Mr. Westerman, Mr. McClintock, and Mr. 
    Gosar) introduced the following bill; which was referred to the 
                     Committee on Natural Resources

_______________________________________________________________________

                                 A BILL


 
 To provide for a land exchange involving Federal land in the Superior 
 National Forest in Minnesota acquired by the Secretary of Agriculture 
             through the Weeks Law, 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 ``Superior National 
Forest Land Exchange Act of 2017''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. Findings.
Sec. 3. Purpose and need for NorthMet Land Exchange.
Sec. 4. Definitions.
Sec. 5. NorthMet Land Exchange.
Sec. 6. Valuation of NorthMet Land Exchange.
Sec. 7. Maps and legal descriptions.
Sec. 8. Post-exchange land management.
Sec. 9. Miscellaneous provisions.

SEC. 2. FINDINGS.

    Congress makes the following findings:
            (1) On January 9, 2017, the Forest Service issued a Final 
        Record of Decision approving the NorthMet Land Exchange between 
        the United States and Poly Met Mining, Inc., a Minnesota 
        Corporation, involving National Forest System land in the 
        Superior National Forest in Minnesota.
            (2) The Final Record of Decision is based on the Final 
        Environmental Impact Statement for the NorthMet Mining Project 
        and Land Exchange.
            (3) The Final Record of Decision was issued as the result 
        of a complex, multi-year review under the National 
        Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.) and 
        other laws and a public-input process that included--
                    (A) the October 2009 publication of a Draft 
                Environmental Impact Statement on the mining operation;
                    (B) a 2009 Forest Service Feasibility Analysis of 
                the Land Exchange and Forest Service inclusion as a co-
                lead agency on the land exchange and proposed mining 
                operation;
                    (C) a September 2010 Agreement to Initiate a land 
                exchange between Poly Met and the Forest Service;
                    (D) the December 2013 completion of a Supplemental 
                Draft Environmental Impact Statement analyzing the 
                mining operation and the land exchange;
                    (E) the November 2015 completion of a Final 
                Environmental Impact Statement on the mining operation 
                and the land exchange;
                    (F) the November 2015 issuance of a Forest Service 
                draft Record of Decision approving the NorthMet Land 
                Exchange; and
                    (G) the December 2016 execution of a Memorandum of 
                Agreement under section 306108 of title 54, United 
                States Code (former section 106 of the National 
                Historic Preservation Act).
            (4) The 6,650 acres of Federal land proposed for conveyance 
        to Poly Met in the NorthMet Land Exchange is National Forest 
        System land, the surface estate of which is administered as 
        part of the Superior National Forest, but which is underlain by 
        the privately owned NorthMet ore body.
            (5) Poly Met owns and controls the mineral rights to the 
        NorthMet ore body through long-term mineral leases and proposes 
        to build an open pit mine to recover the minerals.
            (6) The United States owns the remainder of the property 
        rights, including the surface that would be removed to access 
        the minerals as proposed by Poly Met, and this separate 
        ownership of the surface and subsurface, known as a split 
        estate, raises fundamental legal and land management conflicts.
            (7) The Federal land was purchased by the Forest Service, 
        for National Forest System purposes, under the authority of 
        section 6 of the Act of March 1, 1911 (commonly known as the 
        Weeks Law; 16 U.S.C. 515), and the Forest Service has taken the 
        position that the mineral rights that were reserved when the 
        lands were acquired by the United States in 1935 do not include 
        the right to surface mine as proposed by Poly Met.
            (8) Due to the incompatibility between National Forest 
        management objectives and Poly Met's intended mining 
        operations, in the absence of a land exchange, the Forest 
        Service is not willing or able to authorize such private, 
        surface mining operations on lands of the Superior National 
        Forest.
            (9) Poly Met disagrees with the Forest Service position and 
        argues that the mineral rights it seeks to utilize provide for 
        access to the minerals by any mining method, including open pit 
        or surface mining.
            (10) This fundamental conflict raises the possibility of 
        litigation between Poly Met and the Forest Service that has no 
        certain outcome and could set an adverse judicial precedent, 
        not only for the 6,650 acres of Federal land, but also for 
        other lands owned by the United States that were acquired under 
        the authority of section 6 of the Act of March 1, 1911 
        (commonly known as the Weeks Law; 16 U.S.C. 515).
            (11) The NorthMet Land Exchange would permanently resolve 
        this fundamental conflict and risk to the United States.
            (12) Consummation of the NorthMet Land Exchange will not 
        authorize Poly Met's mining proposal to occur because other 
        governmental entities, primarily the State of Minnesota and the 
        United States Army Corps of Engineers, will still have the 
        responsibility and authority to make decisions related to 
        approval of the mining proposal.
            (13) Under the NorthMet Land Exchange, the United States 
        will acquire 6,690 acres of non-Federal private land that will 
        be open to public use and enjoyment and managed as a part of 
        the Superior National Forest.

SEC. 3. PURPOSE AND NEED FOR NORTHMET LAND EXCHANGE.

    (a) Purpose.--It is the purpose of this Act to further the public 
interest by consummating the NorthMet Land Exchange as specifically set 
forth in this Act.
    (b) Need.--In addition to the findings under section 2 of this Act 
supporting the advisability and need for the NorthMet Land Exchange, 
according to the Final Record of Decision, the NorthMet Land Exchange 
is advisable and needed because the NorthMet Land Exchange will--
            (1) result in a 40-acre net gain in National Forest System 
        lands;
            (2) improve the spatial arrangement of National Forest 
        System lands by reducing the amount of ownership boundaries to 
        be managed by 33 miles;
            (3) improve management effectiveness by exchanging isolated 
        Federal lands with no public overland access for non-Federal 
        lands that will have public overland access and be accessible 
        and open to public use and enjoyment;
            (4) result in Federal cost savings by eliminating certain 
        easements and their associated administration costs;
            (5) meet several of the priorities identified in the land 
        and resource management plan for Superior National Forest to 
        protect and manage administratively or congressionally 
        designated, unique, proposed, or recommended areas, including 
        acquisition of 307 acres of land to the administratively 
        proposed candidate Research Natural Areas, which are managed by 
        preserving and maintaining areas for ecological research, 
        observation, genetic conservation, monitoring, and educational 
        activities;
            (6) promote more effective land management that would meet 
        specific National Forest needs for management, including 
        acquisition of over 6,500 acres of land for new public access, 
        watershed protection, ecologically rare habitats, wetlands, 
        water frontage, and improved ownership patterns;
            (7) convey Federal land generally not needed for other 
        Forest resource management objectives, because such land is 
        adjacent to intensively developed private land including 
        ferrous mining areas, where abundant mining infrastructure and 
        transportation are already in place, including--
                    (A) a large, intensively developed open pit mine 
                lying directly to the north of the Federal land;
                    (B) a private mine railroad, powerlines, and roads 
                lying directly to the south of the Federal land; and
                    (C) already existing ore processing, milling, and 
                tailings facilities located approximately 5 miles to 
                the west of the Federal land; and
            (8) provide a practical resolution to complex issues 
        pertaining to the development of private mineral rights 
        underlying the Federal land surface, and thereby avoid 
        potential litigation which could adversely impact the status 
        and management of the Federal land and other National Forest 
        System land acquired under the authority of section 6 of the 
        Act of March 1, 1911 (commonly known as the Weeks Law; 16 
        U.S.C. 515).

SEC. 4. DEFINITIONS.

    In this Act:
            (1) Collection agreements.--The term ``Collection 
        Agreements'' means the following agreements between the 
        Secretary and Poly Met pertaining to the NorthMet Land 
        Exchange:
                    (A) The agreement dated August 25, 2015.
                    (B) The agreement dated January 15, 2016.
            (2) Federal land parcel.--The term ``Federal land parcel'' 
        means all right, title, and interest of the United States in 
        and to approximately 6,650 acres of National Forest System 
        land, as identified in the Final Record of Decision, within the 
        Superior National Forest in St. Louis County, Minnesota, as 
        generally depicted on the map entitled ``Federal Land Parcel-
        NorthMet Land Exchange'', and dated June, 2017.
            (3) Non-federal land.--The term ``non-Federal land'' means 
        all right, title, and interest of Poly Met in and to 
        approximately 6,690 acres of land in four separate tracts 
        (comprising 10 separate land parcels in total) within the 
        Superior National Forest to be conveyed to the United States by 
        Poly Met in the land exchange as generally depicted on an 
        overview map entitled ``Non-Federal Land Parcels-NorthMet Land 
        Exchange'' and dated June 2017, and further depicted on 
        separate tract maps as follows:
                    (A) Tract 1.--Approximately 4,650 acres of land in 
                St. Louis County, Minnesota, generally depicted on the 
                map entitled ``Non-Federal Land Parcel-NorthMet Land 
                Exchange-Hay Lake Tract'', and dated June, 2017.
                    (B) Tract 2.--Approximately 320 acres of land in 4 
                separate parcels in Lake County, Minnesota, generally 
                depicted on the map entitled ``Non-Federal Land 
                Parcels-NorthMet Land Exchange-Lake County Lands'', and 
                dated June, 2017.
                    (C) Tract 3.--Approximately 1,560 acres of land in 
                4 separate parcels in Lake County, Minnesota, generally 
                depicted on the map entitled ``Non-Federal Land 
                Parcels-NorthMet Land Exchange-Wolf Lands'', and dated 
                June, 2017.
                    (D) Tract 4.--Approximately 160 acres of land in 
                St. Louis County, Minnesota, generally depicted on the 
                map entitled ``Non-Federal Land Parcel-NorthMet Land 
                Exchange-Hunting Club Lands'', dated June, 2017.
            (4) Northmet land exchange.--The term ``NorthMet Land 
        Exchange'' means the land exchange specifically authorized and 
        directed by section 5 of this Act.
            (5) Poly met.--The term ``Poly Met'' means Poly Met Mining 
        Corporation, Inc., a Minnesota Corporation with executive 
        offices in St. Paul, Minnesota, and headquarters in Hoyt Lakes, 
        Minnesota.
            (6) Record of decision.--The term ``Record of Decision'' 
        means the Final Record of Decision of the Forest Service issued 
        on January 9, 2017, approving the NorthMet Land exchange 
        between the United States and PolyMet Mining, Inc., a Minnesota 
        Corporation, involving National Forest System land in the 
        Superior National Forest in Minnesota.
            (7) Secretary.--The term ``Secretary'' means the Secretary 
        of Agriculture.
            (8) State.--The term ``State'' means the State of 
        Minnesota.

SEC. 5. NORTHMET LAND EXCHANGE.

    (a) Exchange Authorized and Directed.--
            (1) In general.--Subject to section 6(c)(1) and other 
        conditions imposed by this Act, if Poly Met offers to convey to 
        the United States all right, title, and interest of Poly Met in 
        and to the non-Federal land, the Secretary shall accept the 
        offer and convey to Poly Met all right, title, and interest of 
        the United States in and to the Federal land parcel.
            (2) Land exchange expedited.--Subject to the conditions 
        imposed by this Act, the NorthMet Land Exchange directed by 
        this Act shall be consummated not later than 90 days after the 
        date of enactment of this Act.
    (b) Form of Conveyance.--
            (1) Non-federal land.--Title to the non-Federal land 
        conveyed by Poly Met to the United States shall be by general 
        warranty deed subject to existing rights of record, and 
        otherwise conform to the title approval regulations of the 
        Attorney General of the United States.
            (2) Federal land parcel.--The Federal land parcel shall be 
        quitclaimed by the Secretary to Poly Met by an exchange deed.
    (c) Exchange Costs.--
            (1) Reimbursement required.--Poly Met shall pay or 
        reimburse the Secretary, either directly or through the 
        Collection Agreements, for all land survey, appraisal, land 
        title, deed preparation, and other costs incurred by the 
        Secretary in processing and consummating the NorthMet Land 
        Exchange. The Collection Agreements, as in effect on the date 
        of the enactment of this Act, may be modified through the 
        mutual consent of the parties.
            (2) Deposit of funds.--All funds paid or reimbursed to the 
        Secretary under paragraph (1)--
                    (A) shall be deposited and credited to the accounts 
                in accordance with the Collection Agreements;
                    (B) shall be used for the purposes specified for 
                the accounts; and
                    (C) shall remain available to the Secretary until 
                expended without further appropriation.
    (d) Conditions on Land Exchange.--
            (1) Reservation of certain mineral rights.--Notwithstanding 
        subsection (a), the United States shall reserve the mineral 
        rights on approximately 181 acres of the Federal land parcel as 
        generally depicted on the map entitled ``Federal Land Parcel-
        NorthMet Land Exchange'', and dated June, 2017.
            (2) Third-party authorizations.--As set forth in the Final 
        Record of Decision, Poly Met shall honor existing road and 
        transmission line authorizations on the Federal land parcel. 
        Upon relinquishment of the authorizations by the holders or 
        upon revocation of the authorizations by the Forest Service, 
        Poly Met shall offer replacement authorizations to the holders 
        on at least equivalent terms.

SEC. 6. VALUATION OF NORTHMET LAND EXCHANGE.

    (a) Appraisals.--The Congress makes the following new findings:
            (1) Appraisals of the Federal and non-Federal lands to be 
        exchanged in the NorthMet Land Exchange were formally prepared 
        in accordance with the Uniform Appraisal Standards for Federal 
        Land Acquisitions, and were approved by the Secretary in 
        conjunction with preparation of the November 2015 Draft Record 
        of Decision on the NorthMet Land Exchange.
            (2) The appraisals referred to in paragraph (1) determined 
        that the value of the non-Federal lands exceeded the value of 
        the Federal land parcel by approximately $425,000.
            (3) Based on the appraisals referred to in paragraph (1), 
        the United States would ordinarily be required to make a 
        $425,000 cash equalization payment to Poly Met to equalize 
        exchange values under the Federal Land Policy and Management 
        Act of 1976 (43 U.S.C. 1701 et seq.), unless such an 
        equalization payment is waived by Poly Met.
    (b) Values for Consummation of Land Exchange.--The appraised values 
of the Federal and non-Federal land determined and approved by the 
Secretary in November 2015, and referenced in subsection (a)--
            (1) shall be the values utilized to consummate the NorthMet 
        Land Exchange; and
            (2) shall not be subject to reappraisal.
    (c) Waiver of Equalization Payment.--
            (1) Condition on land exchange.--Notwithstanding section 
        206(b) of the Federal Land Policy and Management Act (43 U.S.C. 
        1716(b)), and as part of its offer to exchange the non-Federal 
        lands as provided in section 5(a)(1) of this Act, Poly Met 
        shall waive any payment to it of any monies owed by the United 
        States to equalize land values.
            (2) Treatment of waiver.--A waiver of the equalization 
        payment under paragraph (1) shall be considered as a voluntary 
        donation to the United States by Poly Met for all purposes of 
        law.

SEC. 7. MAPS AND LEGAL DESCRIPTIONS.

    (a) Minor Adjustments.--By mutual agreement, the Secretary and Poly 
Met may correct minor or typographical errors in any map, acreage 
estimate, or description of the Federal land parcel or non-Federal land 
to be exchanged in the NorthMet Land Exchange.
    (b) Conflict.--If there is a conflict between a map, an acreage 
estimate, or a description of land under this Act, the map shall 
control unless the Secretary and Poly Met mutually agree otherwise.
    (c) Exchange Maps.--The maps referred to in section 4 depicting the 
Federal and non-Federal lands to be exchanged in the NorthMet Land 
Exchange, and dated June, 2017, depict the identical lands identified 
in the Final Record of Decision, which are on file in the Office of the 
Supervisor, Superior National Forest.

SEC. 8. POST-EXCHANGE LAND MANAGEMENT.

    (a) Non-federal Land.--Upon conveyance of the non-Federal land to 
the United States in the NorthMet Land Exchange, the non-Federal land 
shall become part of the Superior National Forest and be managed in 
accordance with--
            (1) the Act of March 1, 1911 (commonly known as the Weeks 
        Law; 16 U.S.C. 500 et seq.); and
            (2) the laws and regulations applicable to the Superior 
        National Forest and the National Forest System.
    (b) Planning.--Upon acquisition by the United States in the 
NorthMet Land Exchange, the non-Federal lands shall be managed in a 
manner consistent with the land and resource management plan applicable 
to adjacent federally owned lands in the Superior National Forest. An 
amendment or supplement to the land and resource management plan shall 
not be required solely because of the acquisition of the non-Federal 
lands.
    (c) Federal Land.--Upon conveyance of the Federal land parcel to 
Poly Met in the NorthMet Land Exchange, the Federal land parcel shall 
become private land and available for any lawful use in accordance with 
applicable Federal, State, and local laws and regulations pertaining to 
mining and other uses of land in private ownership.

SEC. 9. MISCELLANEOUS PROVISIONS.

    (a) Withdrawal of Acquired Non-Federal Land.--The non-Federal lands 
acquired by the United States in the NorthMet Land Exchange shall be 
withdrawn, without further action by the Secretary, from appropriation 
and disposal under public land laws and under laws relating to mineral 
and geothermal leasing.
    (b) Withdrawal Revocation.--Any public land order that withdraws 
the Federal land parcel from appropriation or disposal under a public 
land law shall be revoked without further action by the Secretary to 
the extent necessary to permit conveyance of the Federal land parcel to 
Poly Met.
    (c) Withdrawal of Federal Land Pending Conveyance.--The Federal 
land parcel to be conveyed to Poly Met in the NorthMet Land Exchange, 
if not already withdrawn or segregated from appropriation or disposal 
under the mineral leasing and geothermal or other public land laws upon 
enactment of this Act, is hereby so withdrawn, subject to valid 
existing rights, until the date of conveyance of the Federal land 
parcel to Poly Met.
    (d) Act Controls.--In the event any provision of the Record of 
Decision conflicts with a provision of this Act, the provision of this 
Act shall control.
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