[Congressional Record Volume 144, Number 51 (Thursday, April 30, 1998)]
[Extensions of Remarks]
[Page E731]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]


      LEGISLATION INTRODUCED TO REMEDY SPECIAL USE PERMITS PROBLEM

                                 ______
                                 

                           HON. ROBERT SMITH

                               of oregon

                    in the house of representatives

                        Thursday, April 30, 1998

  Mr. SMITH of Oregon. Mr. Speaker, today I am introducing legislation 
to remedy a problem that affects several thousand holders of special 
use permits in our national forests. These permits have been authorized 
since 1915, and many of these permits have been passed down through 
families over those years.
  For several months now, the Forest Service has been reappraising the 
cabins and other recreational homes on these sites, and as the 
appraisal process continues, I am concerned that the Forest Service has 
gone far afield in its real estate valuations in determining what are 
typical categories of lots occupied by recreational special use 
permittees.
  For example, reports of reappraisals and new fees coming from the 
Sawtooth National Recreation Area in Idaho show that more than one-
third of permittees will have their fees increased in a range of 100 to 
500 percent. Reports of fees ranging from a few hundred dollars into 
the tens of thousands do not appear to be fair, nor related to the true 
costs to the government of running the permit program, and may not 
generally reflect the value of the permit to the holder.
  A permit holder has limited use of the cabin or recreational home; 
the facility may not be used as a year-round residence or used for any 
commercial purpose, and permittees certainly will never own the 
property in the same sense any other person obtains title in fee simple 
to a property. In fact, a holder is liable to lose the occupancy permit 
at the Forest Service's discretion, including the Forest Service 
deciding just not to renew the permit.
  Other limitations apply: the number and type of improvements are 
restricted, direct permit transfers are not allowed; and the land may 
only be used for personal recreation. There are no services such as 
fire protection, road maintenance, water or sanitation services 
offered.
  As mentioned above, the current reappraisal process has problems. 
These cabins are not owned in the usual sense but rather are 
constructed for a use that is specified and prescribed by the Forest 
Service. So, there are problems with appraising these sites at what the 
Forest Service believes to be their fair market value.
  The five percent assessment rate also is a problem. And, it has been 
reported the Forest Service understands there are questions about 
applying a five percent multiplier to the property valuation and 
whether or not it is a valid method for determining the fee.
  The bill I am introducing today seeks to fix the problem of 
exorbitant permit holder fees.
  The bill covers all special use permits for recreational homeowners 
on National Forest System lands; it establishes a base fee as that fee 
in effect on January 1, 1998 or the fee in effect upon enactment; it 
increases the fee annually based on the inflation rate; it allows for 
transfers of the permit by a permit holder to a spouse, child or 
grandchild without requiring a change to the permit; it requires any 
other transfer of a permit to be subject to a fee adjustment in a 
manner otherwise prescribed by law or regulation; and it allows permit 
renewals after enactment to be issued using the permit fee that was 
last in effect.

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