[Congressional Record Volume 146, Number 99 (Wednesday, July 26, 2000)]
[Senate]
[Pages S7704-S7714]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
INDIAN LAND CONSOLIDATION ACT AMENDMENTS OF 1999
Mr. DeWINE. Mr. President, I ask unanimous consent that the Senate
now proceed to the consideration of Calendar No. 714, S. 1586.
The PRESIDING OFFICER. The clerk will report the bill by title.
The legislative clerk read as follows:
A bill (S. 1586) to reduce the fractionated ownership of
Indian Lands, and for other purposes.
There being no objection, the Senate proceeded to consider the bill,
which had been reported from the Committee on Indian Affairs, with an
amendment:
[Strike out all after the enacting clause and insert the part printed
in italic]
S. 1586
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 ``Indian Land Consolidation
Act Amendments of 2000''.
SEC. 2. FINDINGS.
Congress finds that--
(1) in the 1800's and early 1900's, the United States
sought to assimilate Indian people into the surrounding non-
Indian culture by allotting tribal lands to individual
members of Indian tribes;
(2) as a result of the allotment Acts and related Federal
policies, over 90,000,000 acres of land have passed from
tribal ownership;
(3) many trust allotments were taken out of trust status,
often without their owners consent;
(4) without restrictions on alienation, allotment owners
were subject to exploitation and their allotments were often
sold or disposed of without any tangible or enduring benefit
to their owners;
(5) the trust periods for trust allotments have been
extended indefinitely;
(6) because of the inheritance provisions in the original
treaties or allotment Acts, the ownership of many of the
trust allotments that have remained in trust status has
become fractionated into hundreds or thousands of interests,
many of which represent 2 percent or less of the total
interests;
(7) Congress has authorized the acquisition of lands in
trust for individual Indians, and many of those lands have
also become fractionated by subsequent inheritance;
(8) the acquisitions referred to in paragraph (7) continue
to be made;
(9) the fractional interests described in this section
provide little or no return to the beneficial owners of those
interests and the administrative costs borne by the United
States for those interests are inordinately high;
(10) in Babbitt v. Youpee (117 S Ct. 727 (1997)), the
United States Supreme Court found that the application of
section 207 of the Indian Land Consolidation Act (25 U.S.C.
2206) to the facts presented in that case to be
unconstitutional, forcing the Department of the Interior to
address the status of thousands of undivided interests in
trust and restricted lands;
(11)(A) on February 19, 1999, the Secretary of Interior
issued a Secretarial Order which officially reopened the
probate of all estates where an interest in land was ordered
to escheat to an Indian tribe pursuant to section 207 of the
Indian Land Consolidation Act (25 U.S.C. 2206); and
(B) the Secretarial Order also directed appropriate
officials of the Bureau of Indian Affairs to distribute such
interests ``to the rightful heirs and beneficiaries without
regard to 25 U.S.C. 2206'';
(12) in the absence of comprehensive remedial legislation,
the number of the fractional interests will continue to grow
exponentially;
(13) the problem of the fractionation of Indian lands
described in this section is the result of a policy of the
Federal Government, cannot be solved by Indian tribes, and
requires a solution under Federal law.
[[Page S7705]]
(14) any devise or inheritance of an interest in trust or
restricted Indian lands is based on Federal law; and
(15) consistent with the Federal policy of tribal self-
determination, the Federal Government should encourage the
recognized tribal government that exercises jurisdiction over
a reservation to establish a tribal probate code for that
reservation.
SEC. 3. DECLARATION OF POLICY.
It is the policy of the United States--
(1) to prevent the further fractionation of trust
allotments made to Indians;
(2) to consolidate fractional interests and ownership of
those interests into usable parcels;
(3) to consolidate fractional interests in a manner that
enhances tribal sovereignty;
(4) to promote tribal self-sufficiency and self-
determination; and
(5) to reverse the effects of the allotment policy on
Indian tribes.
SEC. 4. AMENDMENTS TO THE INDIAN LAND CONSOLIDATION ACT.
The Indian Land Consolidation Act (25 U.S.C. 2201 et seq.)
is amended--
(1) in section 202--
(A) in paragraph (1), by striking ``(1) `tribe' '' and
inserting ``(1) `Indian tribe' or `tribe' '';
(B) by striking paragraph (2) and inserting the following:
``(2) `Indian' means any person who is a member of any
Indian tribe or is eligible to become a member of any Indian
tribe at the time of the distribution of the assets of a
decedent's estate;'';
(C) by striking ``and'' at the end of paragraph (3);
(D) by striking the period at the end of paragraph (4) and
inserting ``; and''; and
(E) by adding at the end the following:
``(5) `heirs of the first or second degree' means parents,
children, grandchildren, grandparents, brothers and sisters
of a decedent.'';
(2) in section 205--
(A) in the matter preceding paragraph (1)--
(i) by striking ``Any Indian'' and inserting ``(a) In
General.--Subject to subsection (b), any Indian'';
(ii) by striking the colon and inserting the following: ``.
Interests owned by an Indian tribe in a tract may be included
in the computation of the percentage of ownership of the
undivided interests in that tract for purposes of determining
whether the consent requirement under the preceding sentence
has been met.'';
(iii) by striking ``: Provided, That--''; and inserting the
following:
``(b) Conditions Applicable to Purchase.--Subsection (a)
applies on the condition that--'';
(B) in paragraph (2)--
(i) by striking ``If,'' and inserting ``if''; and
(ii) by adding ``and'' at the end; and
(C) by striking paragraph (3) and inserting the following:
``(3) the approval of the Secretary shall be required for a
land sale initiated under this section, except that such
approval shall not be required with respect to a land sale
transaction initiated by an Indian tribe that has in effect a
land consolidation plan that has been approved by the
Secretary under section 204.'';
(3) by striking section 206 and inserting the following:
``SEC. 206. TRIBAL PROBATE CODES; ACQUISITIONS OF FRACTIONAL
INTERESTS BY TRIBES.
``(a) Tribal Probate Codes.--
``(1) In general.--Notwithstanding any other provision of
law, any Indian tribe may adopt a tribal probate code to
govern descent and distribution of trust or restricted lands
that are--
``(A) located within that Indian tribe's reservation; or
``(B) otherwise subject to the jurisdiction of that Indian
tribe.
``(2) Possible inclusions.--A tribal probate code referred
to in paragraph (1) may include--
``(A) rules of intestate succession; and
``(B) other tribal probate code provisions that are
consistent with Federal law and that promote the policies set
forth in section 3 of the Indian Land Consolidation Act
Amendments of 2000.
``(3) Limitations.--The Secretary shall not approve a
tribal probate code if such code prevents an Indian person
from inheriting an interest in an allotment that was
originally allotted to his or her lineal ancestor.
``(b) Secretarial Approval.--
``(1) In general.--Any tribal probate code enacted under
subsection (a), and any amendment to such a tribal probate
code, shall be subject to the approval of the Secretary.
``(2) Review and approval.--
``(A) In general.--Each Indian tribe that adopts a tribal
probate code under subsection (a) shall submit that code to
the Secretary for review. Not later than 180 days after a
tribal probate code is submitted to the Secretary under this
paragraph, the Secretary shall review and approve or
disapprove that tribal probate code.
``(B) Consequence of failures to approve or disapprove a
tribal probate code.--If the Secretary fails to approve or
disapprove a tribal probate code submitted for review under
subparagraph (A) by the date specified in that subparagraph,
the tribal probate code shall be deemed to have been approved
by the Secretary, but only to the extent that the tribal
probate code is consistent with Federal law and promotes the
policies set forth in section 3 of the Indian Land
Consolidation Act Amendments of 2000.
``(C) Consistency of tribal probate code with act.--The
Secretary may not approve a tribal probate code, or any
amendment to such a code, under this paragraph unless the
Secretary determines that the tribal probate code promotes
the policies set forth in section 3 of the Indian Land
Consolidation Act Amendments of 2000.
``(D) Explanation.--If the Secretary disapproves a tribal
probate code, or an amendment to such a code, under this
paragraph, the Secretary shall include in the notice of
disapproval to the Indian tribe a written explanation of the
reasons for the disapproval.
``(E) Amendments.--
``(i) In general.--Each Indian tribe that amends a tribal
probate code under this paragraph shall submit the amendment
to the Secretary for review and approval. Not later than 60
days after receiving an amendment under this subparagraph,
the Secretary shall review and approve or disapprove the
amendment.
``(ii) Consequence of failure to approve or disapprove an
amendment.--If the Secretary fails to approve or disapprove
an amendment submitted under clause (i), the amendment shall
be deemed to have been approved by the Secretary, but only to
the extent that the amendment is consistent with Federal law
and promotes the policies set forth in section 3 of the
Indian Land Consolidation Act of 2000.
``(3) Effective dates.--A tribal probate code approved
under paragraph (2) shall become effective on the later of--
``(A) the date specified in section 207(f)(5); or
``(B) 180 days after the date of approval.
``(4) Limitations.--
``(A) Tribal probate codes.--Each tribal probate code
enacted under subsection (a) shall apply only to the estate
of a decedent who dies on or after the effective date of the
tribal probate code.
``(B) Amendments to tribal probate codes.--With respect to
an amendment to a tribal probate code referred to in
subparagraph (A), that amendment shall apply only to the
estate of a descendant who dies on or after the effective
date of the amendment.
``(5) Repeals.--The repeal of a tribal probate code shall--
``(A) not become effective earlier than the date that is
180 days after the Secretary receives notice of the repeal;
and
``(B) apply only to the estate of a decedent who dies on or
after the effective date of the repeal.
``(c) Authority Available to Indian Tribes.--
``(1) Application.--The recognized tribal government that
has jurisdiction over an Indian reservation (as defined in
section 207(c)(5)) may exercise the authority provided for in
paragraph (2).
``(2) Authority to make payments in lieu of inheritance of
interest in land.--
``(A) Prohibition.--An individual who is not an Indian
shall not be entitled to receive by devise or descent any
interest in trust or restricted land, except by reserving a
life estate under subparagraph (B)(ii), within the
reservation over which a tribal government has jurisdiction
if, while the decedent's estate is pending before the
Secretary, the tribal government referred to in paragraph (1)
pays to the Secretary, on behalf of such individual, the
value of such interest. The interest for which payment is
made under this subparagraph shall be held by the Secretary
in trust for the tribal government.
``(B) Exception.--
``(i) In general.--Subparagraph (A) shall not apply to any
interest in trust or restricted land if, while the decedent's
estate is pending before the Secretary, the ineligible non-
Indian heir or devisee described in such subparagraph
renounces the interest in favor of a person or persons who
are otherwise eligible to inherit.
``(ii) Reservation of life estate.--The non-Indian heir or
devisee described in clause (i) may retain a life estate in
the interest and convey the remaining interest to an Indian
person.
``(iii) Presumption.--In the absence of any express
language to the contrary, a conveyance under clause (ii) is
presumed to reserve to the life estate holder all income from
the lease, use, rents, profits, royalties, bonuses, or sales
of natural resources during the pendency of the life estate
and any right to occupy the tract of land as a home.
``(C) Payments.--With respect to payments by a tribal
government under subparagraph (A), the Secretary shall--
``(i) upon the request of the tribal government, allow a
reasonable period of time, not to exceed 2 years, for the
tribal government to make payments of amounts due pursuant to
subparagraph (A); or
``(ii) recognize alternative agreed upon exchanges of
consideration between the ineligible non-Indian and the tribe
in satisfaction of the payment under subparagraph (A).
``(d) Use of Proposed Findings by Tribal Justice Systems.--
``(1) Tribal justice system defined.--In this subsection,
the term `tribal justice system' has the meaning given that
term in section 3 of the Indian Tribal Justice Act (25 U.S.C.
3602).
``(2) Regulations.--The Secretary by regulation may provide
for the use of findings of fact and conclusions of law, as
rendered by a tribal justice system, as proposed findings of
fact and conclusions of law in the adjudication of probate
proceedings by the Department of the Interior.'';
(4) by striking section 207 and inserting the following:
``SEC. 207. DESCENT AND DISTRIBUTION; ESCHEAT OF FRACTIONAL
INTERESTS.
``(a) Testamentary Disposition.--
``(1) In general.--Except as provided in this section,
interests in trust or restricted land may be devised only
to--
``(A) the decedent's Indian spouse or any other Indian
person; or
``(B) the Indian tribe with jurisdiction over the land so
devised.
``(2) Non-indian estate.--Any devise not described in
paragraph (1) shall create a non-Indian estate in Indian land
as provided for under subsection (c).
``(3) Joint tenancy with right of survivorship.--If a
testator devises interests in the same
[[Page S7706]]
parcel of trust or restricted land to more than 1 person, in
the absence of express language in the devise to the
contrary, the devise shall be presumed to create a joint
tenancy with right of survivorship.
``(b) Intestate Succession.--
``(1) In general.--Subject to paragraphs (2) and (3), with
respect to an interest in trust or restricted land passing by
intestate succession, only a spouse or heirs of the first or
second degree may inherit such an interest.
``(2) Non-indian estate.--Notwithstanding paragraph (1), a
non-Indian spouse or non-Indian heir of the first or second
degree may only receive a non-Indian estate in Indian land as
provided for under subsection (c).
``(3) Joint tenancy.--
``(A) In general.--Unless modified by a tribal probate code
that is approved under section 206--
``(i) any heirs of the first or second degree that inherit
an interest that constitutes 5 percent or more of the
undivided interest in a parcel of trust or restricted land,
shall hold such interest as tenants in common; and
``(ii) any heirs of the first or second degree that inherit
an interest that constitutes less than 5 percent of the
undivided interest in a parcel of trust or restricted land,
shall hold such interest as joint tenants with the right of
survivorship.
``(B) Renouncing of rights.--The heirs who inherit an
interest as tenants in common with a right of survivorship
under subparagraph (A)(ii) may renounce their right of
survivorship in favor of one or more of their co-owners.
``(4) Acquisition of interest by indian co-owners.--An
Indian co-owner of a parcel of trust or restricted land may
prevent the escheat of an interest in Indian lands for which
there is no legal heir by paying into the decedent's estate,
the fair market value of the interest in such land. If more
than 1 Indian co-owner offers to pay for such interest, the
highest bidder shall obtain the interest. If no such offer is
made, the interest will escheat to the tribe that exercises
jurisdiction over the land.
``(c) Non-Indian Estates.--
``(1) Rights of non-indian estate holders.--
``(A) In general.--An individual who receives a non-Indian
estate in Indian land under subsection (a)(2) or (b)(2)--
``(i) shall receive a proportionate share of the proceeds
of any lease, use, rents, profits, royalties, bonuses, or
sale of natural resources based on their share of the
decedent's interest in such land; and
``(ii) may--
``(I) convey or deed by gift the decedent's interest in
trust or restricted land to an Indian or the tribe with
jurisdiction over the land; or
``(II) devise the decedent's interest to either an Indian
or an Indian tribe as provided for in subsection (a)(1) or a
non-Indian as provided for in subsection (a)(2).
``(B) Decedent's interest.--In this section, the term
`decedent's interest' means the equitable title held by the
last Indian owner of an interest in trust or restricted
lands.
``(2) Escheat and intestate succession.--If the holder of a
non-Indian estate in Indian land dies without having devised
or conveyed the interest of the individual under paragraph
(1)(A)(ii), the decedent's interest in the trust or
restricted land involved shall--
``(A) descend to the non-Indian estateholder's Indian
spouse or Indian heirs of the first or second degree as
provided for in subsection (b)(3); or
``(B) in the case of a decedent that does not have an
Indian spouse or heir of the first or second degree, descend
to the Indian tribe having jurisdiction over the trust or
restricted lands.
``(3) Acquisition of interest by indian co-owners.--An
Indian co-owner of a parcel of trust or restricted land may
prevent the escheat of an interest to the tribe under
paragraph (2) by paying into the estate of the owner of a
non-Indian estate in Indian land the fair market value of the
interest. If more than 1 Indian co-owner offers to pay for
such interest, the highest bidder shall obtain the interest.
``(4) Devise of interest.--If the owner of a non-Indian
estate in Indian land devises the interest in such land to a
person who is not an Indian, at the discretion of the
Secretary and subject to the availability of appropriations,
the Secretary may, pursuant to section 213, acquire such
interest, with or without the consent of the devisee, by
depositing the value of the interest in the estate of the
owner of the non-Indian estate in Indian land.
``(5) Rule of construction.--
``(A) In general.--With respect to a decedent's interest in
trust or restricted lands under this subsection, until such
time as an Indian or an Indian tribe acquires such interest
through inheritance, escheat, or conveyance, the Secretary
shall be treated as the holder of the remainder from the life
estate.
``(B) Limitation.--Subparagraph (A) shall not be construed
to authorize the Secretary to retain any of the proceeds from
the lease, use, rents, profits, royalties, bonuses, or sale
of natural resources with respect to the trust or restricted
lands involved.
``(6) Descent of off-reservation lands.--
``(A) Indian reservation defined.--For purposes of this
paragraph, the term `Indian reservation' includes lands
located within--
``(i)(I) Oklahoma; and
``(II) the boundaries of an Indian tribe's former
reservation (as defined and determined by the Secretary);
``(ii) the boundaries of any Indian tribe's current or
former reservation; or
``(iii) any area where the Secretary is required to provide
special assistance or consideration of a tribe's acquisition
of land or interests in land.
``(B) Descent.--Upon the death of an individual holding an
interest in trust or restricted lands that are located
outside the boundaries of an Indian reservation and that are
not subject to the jurisdiction of any Indian tribe, that
interest shall descend either--
``(i) by testate or intestate succession in trust to an
Indian; or
``(ii) in fee status to any other devises or heirs.
``(d) Approval of Agreements.--The official authorized to
adjudicate the probate of trust or restricted lands shall
have the authority to approve agreements between a decedent's
heirs and devisees to consolidate interests in trust or
restricted lands. The agreements referred to in the preceding
sentence may include trust or restricted lands that are not a
part of the decedent's estate that is the subject of the
probate. The Secretary may promulgate regulations for the
implementation of this subsection.
``(e) Estate Planning Assistance.--
``(1) In general.--The Secretary shall provide estate
planning assistance in accordance with this subsection, to
the extent amounts are appropriated for such purpose.
``(2) Requirements.--The estate planning assistance
provided under paragraph (1) shall be designed to--
``(A) inform, advise, and assist Indian landowners with
respect to estate planning in order to facilitate the
transfer of trust or restricted lands to a devisee or
devisees selected by the landowners; and
``(B) assist Indian landowners in accessing information
pursuant to section 217(g).
``(3) Contracts.--In carrying out this section, the
Secretary may enter into contracts with entities that have
expertise in Indian estate planning and tribal probate codes.
``(f) Notification to Indian Tribes and Owners of Trust or
Restricted Lands.--
``(1) In general.--Not later than 180 days after the date
of enactment of the Indian Land Consolidation Act Amendments
of 2000, the Secretary shall notify Indian tribes and owners
of trust or restricted lands of the amendments made by the
Indian Land Consolidation Act Amendments of 2000.
``(2) Specifications.--The notice required under paragraph
(1) shall be designed to inform Indian owners of trust or
restricted land of--
``(A) the effect of this Act, with emphasis on the effect
of the provisions of this section, on the testate disposition
and intestate descent of their interests in trust or
restricted land; and
``(B) estate planning options available to the owners,
including any opportunities for receiving estate planning
assistance or advice.
``(3) Requirements.--The Secretary shall provide the notice
required under paragraph (1)--
``(A) by direct mail for those Indians with interests in
trust and restricted lands for which the Secretary has an
address for the interest holder;
``(B) through the Federal Register;
``(C) through local newspapers in areas with significant
Indian populations, reservation newspapers, and newspapers
that are directed at an Indian audience; and
``(D) through any other means determined appropriate by the
Secretary.
``(4) Certification.--After providing notice under this
subsection, the Secretary shall certify that the requirements
of this subsection have been met and shall publish notice of
such certification in the Federal Register.
``(5) Effective date.--The provisions of this section shall
not apply to the estate of an individual who dies prior to
the day that is 365 days after the Secretary makes the
certification required under paragraph (4).''; and
(5) by adding at the end the following:
``SEC. 213. PILOT PROGRAM FOR THE ACQUISITION OF FRACTIONAL
INTERESTS.
``(a) Acquisition by Secretary.--
``(1) In general.--The Secretary may acquire, at the
discretion of the Secretary and with the consent of the
owner, except as provided in section 207(c)(4), and at fair
market value, any fractional interest in trust or restricted
lands.
``(2) Authority of Secretary.--
``(A) In general.--The Secretary shall have the authority
to acquire interests in trust or restricted lands under this
section during the 3-year period beginning on the date of
certification that is referred to in section 207(f)(5).
``(B) Required report.--Prior to expiration of the
authority provided for in subparagraph (A), the Secretary
shall submit the report required under section 218 concerning
whether the program to acquire fractional interests should be
extended or altered to make resources available to Indian
tribes and individual Indian landowners.
``(3) Interests held in trust.--Subject to section 214, the
Secretary shall immediately hold interests acquired under
this Act in trust for the recognized tribal government that
exercises jurisdiction over the reservation.
``(b) Requirements.--In implementing subsection (a), the
Secretary--
``(1) shall promote the policies provided for in section 3
of the Indian Land Consolidation Act Amendments of 2000;
``(2) may give priority to the acquisition of fractional
interests representing 2 percent or less of a parcel of trust
or restricted land, especially those interests that would
have escheated to a tribe but for the Supreme Court's
decision in Babbitt v. Youpee, (117 S Ct. 727 (1997));
``(3) to the extent practicable--
``(A) shall consult with the reservation's recognized
tribal government in determining which tracts to acquire on a
reservation;
``(B) shall coordinate the acquisition activities with the
reservation's recognized tribal government's acquisition
program, including a tribal land consolidation plan approved
pursuant to section 204; and
``(C) may enter into agreements (such agreements will not
be subject to the provisions of the Indian Self-Determination
and Education Assistance Act of 1974) with the reservation's
recognized tribal government or a subordinate entity of the
tribal government to carry out some or
[[Page S7707]]
all of the Secretary's land acquisition program; and
``(4) shall minimize the administrative costs associated
with the land acquisition program.
``(c) Sale of Interest to Indian Landowners.--
``(1) In general.--At the request of any Indian who owns at
least 5 percent of the undivided interest in a parcel of
trust or restricted land, the Secretary shall convey an
interest acquired under this section to the Indian landowner
upon payment by the Indian landowner of the amount paid for
the interest by the Secretary.
``(2) Limitations.--
``(A) Tribal consent.--If an Indian tribe that has
jurisdiction over a parcel of trust or restricted land owns
10 percent or more of the undivided interests in a parcel of
such land, such interest may only be acquired under paragraph
(1) with the consent of such Indian tribe.
``(B) Limitation.--With respect to a conveyance under this
subsection, the Secretary shall not approve an application to
terminate the trust status or remove the restrictions of such
an interest.
``SEC. 214. ADMINISTRATION OF ACQUIRED FRACTIONAL INTERESTS,
DISPOSITION OF PROCEEDS.
``(a) In General.--Subject to the conditions described in
subsection (b)(1), an Indian tribe receiving a fractional
interest under section 213 may, as a tenant in common with
the other owners of the trust or restricted lands, lease the
interest, sell the resources, consent to the granting of
rights-of-way, or engage in any other transaction affecting
the trust or restricted land authorized by law.
``(b) Conditions.--
``(1) In general.--The conditions described in this
paragraph are as follows:
``(A) Except as provided in subsection (d), until the
purchase price paid by the Secretary for an interest referred
to in subsection (a) has been recovered, any lease, resource
sale contract, right-of-way, or other document evidencing a
transaction affecting the interest shall contain a clause
providing that all revenue derived from the interest shall be
paid to the Secretary.
``(B) Subject to subparagraph (C), the Secretary shall
deposit any revenue derived under subparagraph (A) into the
Acquisition Fund created under section 216.
``(C) The Secretary shall deposit any revenue that is paid
under subparagraph (A) that is in excess of the purchase
price of the fractional interest involved to the credit of
the Indian tribe that receives the fractional interest under
section 213 and the tribe shall have access to such funds in
the same manner as other funds paid to the Secretary for the
use of lands held in trust for the tribe.
``(D) Notwithstanding any other provision of law, including
section 16 of the Act of June 18, 1934 (commonly referred to
as the `Indian Reorganization Act') (48 Stat. 987, chapter
576; 25 U.S.C. 476), with respect to any interest acquired by
the Secretary under section 213, the Secretary may approve a
transaction covered under this section on behalf of a tribe
until--
``(i) the Secretary makes any of the findings under
paragraph (2)(A); or
``(ii) an amount equal to the purchase price of that
interest has been paid into the Acquisition Fund created
under section 216.
``(2) Exception.--Paragraph (1)(A) shall not apply to any
revenue derived from an interest in a parcel of land acquired
by the Secretary under section 213 after--
``(A) the Secretary makes a finding that--
``(i) the costs of administering the interest will equal or
exceed the projected revenues for the parcel involved;
``(ii) in the discretion of the Secretary, it will take an
unreasonable period of time for the parcel to generate
revenue that equals the purchase price paid for the interest;
or
``(iii) a subsequent decrease in the value of land or
commodities associated with the land make it likely that the
interest will be unable to generate revenue that equals the
purchase price paid for the interest in a reasonable time; or
``(B) an amount equal to the purchase price of that
interest in land has been paid into the Acquisition Fund
created under section 216.
``(c) Effect on Indian Tribe.--
``(1) In general.--Paragraph (2) shall apply with respect
to any undivided interest in allotted land held by the
Secretary in trust for a tribe if a lease or agreement under
subsection (a) is otherwise applicable to such undivided
interest by reason of this section even though the Indian
tribe did not consent to the lease or agreement.
``(2) Application of lease.--The lease or agreement
described in paragraph (1) shall apply to the portion of the
undivided interest in allotted land described in such
paragraph (including entitlement of the Indian tribe to
payment under the lease or agreement), and the Indian tribe
shall not be treated as being a party to the lease or
agreement. Nothing in this section (or in the lease or
agreement) shall be construed to affect the sovereignty of
the Indian tribe.
``SEC. 215. ESTABLISHING FAIR MARKET VALUE.
``(a) In General.--For purposes of this Act, the Secretary
may develop a system for establishing the fair market value
of various types of lands and improvements. Such a system may
include determinations of fair market value based on
appropriate geographic units as determined by the Secretary.
Such system may govern the amounts offered for the purchase
of interests in trust or restricted lands under section 213.
``(b) Rule of Construction.--Nothing in this section shall
be construed to prevent the owner of an interest in trust or
restricted lands from appealing a determination of fair
market value made in accordance with this section.
``SEC. 216. ACQUISITION FUND.
``(a) In General.--The Secretary shall establish an
Acquisition Fund to--
``(1) disburse appropriations authorized to accomplish the
purposes of section 213; and
``(2) collect all revenues received from the lease, permit,
or sale of resources from interests in trust or restricted
lands transferred to Indian tribes by the Secretary under
section 213.
``(b) Deposits; Use.--
``(1) In general.--Subject to paragraph (2), all proceeds
from leases, permits, or resource sales derived from an
interest in trust or restricted lands described in subsection
(a)(2) shall--
``(A) be deposited in the Acquisition Fund; and
``(B) as specified in advance in appropriations Acts, be
available for the purpose of acquiring additional fractional
interests in trust or restricted lands.
``(2) Maximum deposits of proceeds.--With respect to the
deposit of proceeds derived from an interest under paragraph
(1), the aggregate amount deposited under that paragraph
shall not exceed the purchase price of that interest under
section 213.
``SEC. 217. TRUST AND RESTRICTED LAND TRANSACTIONS.
``(a) Policy.--It is the policy of the United States to
encourage and assist the consolidation of land ownership
through transactions involving individual Indians and between
Indians and a reservation's recognized tribal government in a
manner consistent with the policy of maintaining the trust
status of allotted lands. Nothing in this section shall be
construed to apply to or to authorize the sale of trust or
restricted lands to a person who is not an Indian.
``(b) Sales and Exchanges Between Indians and Between
Indians and Indian Tribes.--
``(1) In general.--
``(A) Estimate of value.--Notwithstanding any other
provision of law and only after the Indian selling or
exchanging an interest in land has been provided with an
estimate of the value of the interest of the Indian pursuant
to this section--
``(i) the sale or exchange of an interest in trust or
restricted land may be made for an amount that is less than
the fair market value of that interest; and
``(ii) the approval of a transaction that is in compliance
with this section shall not constitute a breach of trust by
the Secretary.
``(B) Waiver of requirement.--The requirement for an
estimate of value under subparagraph (A) may be waived in
writing by an Indian selling or exchanging an interest in
land with an Indian person who is the owner's spouse,
brother, sister, lineal ancestor of Indian blood, lineal
descendant, or collateral heir.
``(2) Limitation.--For a period of 5 years after the
Secretary approves a conveyance pursuant to this subsection,
the Secretary shall not approve an application to terminate
the trust status or remove the restrictions of such an
interest.
``(c) Acquisition of Interest by Secretary.--An Indian, or
the recognized tribal government of a reservation, in
possession of an interest in trust or restricted lands, at
least a portion of which is in trust or restricted status on
the date of enactment of the Indian Land Consolidation Act
Amendments of 2000 and located within a reservation, may
request that the interest be taken into trust by the
Secretary. Upon such a request, the Secretary shall forthwith
take such interest into trust.
``(d) Status of Lands.--The sale or exchange of an interest
in trust or restricted land under this section shall not
affect the status of that land as trust or restricted land.
``(e) Gift Deeds.--
``(1) In general.--An individual owner of an interest in
trust or restricted land may convey that interest by gift
deed to--
``(A) an individual Indian; or
``(B) the Indian tribe that exercises jurisdiction over
that land.
``(2) Special rule.--With respect to any gift deed conveyed
under this section, the Secretary shall not require an
appraisal and the transaction shall be consistent with this
Act and any other provision of Federal law.
``(f) No Termination.--During the 7-year period beginning
on the date on which the Secretary approves a conveyance of
an interest in trust or restricted land under subsection (e),
the Secretary shall not approve an application to terminate
the trust status of, or remove the restrictions on, such an
interest.
``(g) Land Ownership Information.--Notwithstanding any
other provision of law, the names and mailing addresses of
the Indian owners of trust or restricted lands, and
information on the location of the parcel and the percentage
of undivided interest owned by each individual, or of any
interest in trust or restricted lands, shall, upon written
request, be made available to--
``(1) other Indian owners of interests in trust or
restricted lands within the same reservation;
``(2) the tribe that exercises jurisdiction over the
reservation where the parcel is located or any person who is
eligible for membership in that tribe; and
``(3) prospective applicants for the leasing, use, or
consolidation of such trust or restricted land or the
interest in trust or restricted lands.
``SEC. 218. REPORTS TO CONGRESS.
``(a) In General.--Prior to expiration of the authority
provided for in section 213(a)(2)(A), the Secretary, after
consultation with Indian tribes and other interested parties,
shall submit to the Committee on Indian Affairs and the
Committee on Energy and Natural Resources of the Senate and
the Committee on Resources of the House of Representatives a
report that indicates, for the period covered by the report--
``(1) the number of fractional interests in trust or
restricted lands acquired; and
[[Page S7708]]
``(2) the impact of the resulting reduction in the number
of such fractional interests on the financial and realty
recordkeeping systems of the Bureau of Indian Affairs.
``(b) Report.--The reports described in subsection (a) and
section 213(a) shall contain findings as to whether the
program under this Act to acquire fractional interests in
trust or restricted lands should be extended and whether such
program should be altered to make resources available to
Indian tribes and individual Indian landowners.
``SEC. 219. APPROVAL OF LEASES, RIGHTS-OF-WAY, AND SALES OF
NATURAL RESOURCES.
``(a) Approval by the Secretary.--
``(1) In general.--Notwithstanding any other provision of
law, the Secretary may approve any lease or agreement that
affects individually owned allotted land, if--
``(A) the owners of not less than the applicable percentage
(determined under subsection (b)) of the undivided interest
in the allotted land that is covered by the lease or
agreement consent in writing to the lease or agreement; and
``(B) the Secretary determines that approving the lease or
agreement is in the best interest of the owners of the
undivided interest in the allotted land.
``(2) Rule of construction.--Nothing in this section shall
be construed to apply to leases involving coal or uranium.
``(b) Applicable Percentage.--
``(1) Percentage interest.--The applicable percentage
referred to in subsection (a)(1) shall be determined as
follows:
``(A) If there are 5 or fewer owners of the undivided
interest in the allotted land, the applicable percentage
shall be 100 percent.
``(B) If there are more than 5 such owners, but fewer than
11 such owners, the applicable percentage shall be 80
percent.
``(C) If there are more than 10 such owners, but fewer than
20 such owners, the applicable percentage shall be 60
percent.
``(D) If there are 20 or more such owners, the applicable
percentage shall be a majority of the interests in the
allotted land.
``(2) Determination of owners.--
``(A) In general.--For purposes of this subsection, in
determining the number of owners of, and their interests in,
the undivided interest in the allotted land with respect to a
lease or agreement, the Secretary shall make such
determination based on the records of the Department of the
Interior that identify the owners of such lands and their
interests and the number of owners of such land on the date
on which the lease or agreement involved is submitted to the
Secretary under this section.
``(B) Rule of construction.--Nothing in subparagraph (A)
shall be construed to authorize the Secretary to treat an
Indian tribe as the owner of an interest in allotted land
that did not escheat to the tribe pursuant to section 207 as
a result of the Supreme Court's decision in Babbitt v.
Youpee, (117 S Ct. 727 (1997)).
``(c) Authority of Secretary to Sign Lease or Agreement on
Behalf of Certain Owners.--The Secretary may give written
consent to a lease or agreement under subsection (a)--
``(1) on behalf of the individual Indian owner if the owner
is deceased and the heirs to, or devisees of, the interest of
the deceased owner have not been determined; or
``(2) on behalf of any heir or devisee referred to in
paragraph (1) if the heir or devisee has been determined but
cannot be located
``(d) Effect of Approval.--
``(1) Application to all parties.--
``(A) In general.--Subject to paragraph (2), a lease or
agreement approved by the Secretary under subsection (a)
shall be binding on the parties described in subparagraph
(B), to the same extent as if all of the owners of the
undivided interest in allotted land covered under the lease
or agreement consented to the lease or agreement.
``(B) Description of parties.--The parties referred to in
subparagraph (A) are--
``(i) the owners of the undivided interest in the allotted
land covered under the lease or agreement referred to in such
subparagraph; and
``(ii) all other parties to the lease or agreement.
``(2) Effect on indian tribe.--
``(A) In general.--Subparagraph (B) shall apply with
respect to any undivided interest in allotted land held by
the Secretary in trust for a tribe if a lease or agreement
under subsection (a) is otherwise applicable to such
undivided interest by reason of this section even though the
Indian tribe did not consent to the lease or agreement.
``(B) Application of lease.--The lease or agreement
described in subparagraph (A) shall apply to the portion of
the undivided interest in allotted land described in such
paragraph (including entitlement of the Indian tribe to
payment under the lease or agreement), and the Indian tribe
shall not be treated as being a party to the lease or
agreement. Nothing in this section (or in the lease or
agreement) shall be construed to affect the sovereignty of
the Indian tribe.
``(e) Distribution of Proceeds.--
``(1) In general.--The proceeds derived from a lease or
agreement that is approved by the Secretary under subsection
(a) shall be distributed to all owners of undivided interest
in the allotted land covered under the lease or agreement.
``(2) Determination of amounts distributed.--The amount of
the proceeds under paragraph (1) that are distributed to each
owner under that paragraph shall be determined in accordance
with the portion of the undivided interest in the allotted
land covered under the lease or agreement that is owned by
that owner.
``(f) Rule of Construction.--Nothing in this section shall
be construed to amend or modify the provisions of Public Law
105-188 (25 U.S.C. 396 note), the American Indian
Agricultural Resources Management Act (25 U.S.C. 3701 et
seq.) or any other Act that provides specific standards for
the percentage of ownership interest that must approve a
lease or agreement on a specified reservation.
``SEC. 220. APPLICATION TO ALASKA.
``(a) Findings.--Congress find that--
``(1) numerous academic and governmental organizations have
studied the nature and extent of fractionated ownership of
Indian land outside of Alaska and have proposed solutions to
this problem; and
``(2) despite these studies, there has not been a
comparable effort to analyze the problem, if any, of
fractionated ownership in Alaska.
``(b) Application of Act to Alaska.--Except as provided in
this section, this Act shall not apply to land located within
Alaska.
``(c) Rule of Construction.--Nothing in this section shall
be construed to constitute a ratification of any
determination by any agency, instrumentality, or court of the
United States that may support the assertion of tribal
jurisdiction over allotment lands or interests in such land
in Alaska.''.
SEC. 5. JUDICIAL REVIEW.
Notwithstanding section 207(f)(5) of the Indian Land
Consolidation Act (25 U.S.C. 2206(f)(5)), after the Secretary
of Interior provides the certification required under section
207(f)(4) of such Act, the owner of an interest in trust or
restricted land may bring an administrative action to
challenge the application of such section 207 to their
interest in trust or restricted lands, and may seek judicial
review of the final decision of the Secretary of Interior
with respect to such challenge.
SEC. 6. AUTHORIZATION OF APPROPRIATIONS.
There are authorized to be appropriated not to exceed
$8,000,000 for fiscal year 2001 and each subsequent fiscal
year to carry out the provisions of this Act (and the
amendments made by this Act) that are not otherwise funded
under the authority provided for in any other provision of
Federal law.
SEC. 7. CONFORMING AMENDMENTS.
(a) Patents Held in Trust.--The Act of February 8, 1887 (24
Stat. 388) is amended--
(1) by repealing sections 1, 2, and 3 (25 U.S.C. 331, 332,
and 333); and
(2) in the second proviso of section 5 (25 U.S.C. 348)--
(A) by striking ``and partition''; and
(B) by striking ``except'' and inserting ``except as
provided by the Indian Land Consolidation Act or a tribal
probate code approved under such Act and except''.
(b) Ascertainment of Heirs and Disposal of Allotments.--The
Act of June 25, 1910 (36 Stat. 855) is amended--
(1) in the first sentence of section 1 (25 U.S.C. 372), by
striking ``under'' and inserting ``under the Indian Land
Consolidation Act or a tribal probate code approved under
such Act and pursuant to''; and
(2) in the first sentence of section 2 (25 U.S.C. 373), by
striking ``with regulations'' and inserting ``with the Indian
Land Consolidation Act or a tribal probate code approved
under such Act and regulations''.
(c) Transfer of Lands.--Section 4 of the Act of June 18,
1934 (25 U.S.C. 464) is amended by striking ``trust:'' and
inserting ``trust, except as provided by the Indian Land
Consolidation Act:''.
Amendment No. 4019
(Purpose: To provide for a complete substitute)
Mr. DeWINE. Mr. President, I send an amendment to the desk and ask
for its immediate consideration.
The PRESIDING OFFICER. The clerk will report.
The legislative clerk read as follows:
The Senator from Ohio [Mr. DeWine], for Mr. Campbell,
proposes an amendment numbered 4019.
(The text of the amendment is printed in today's Record Under
``Amendments Submitted.'')
Mr. CAMPBELL. Mr. President, on September 15, 1999, I introduced S.
1586, the Indian Land Consolidation Act Amendments of 2000. At that
time I pledged to work with all interested parties to address the
vexing problems associated with fractionated ownership of Indian lands.
These lands were carved out of Indian reservations in the late 19th and
early 20th centuries. Within only a few generations, the ownership of
the allotments was divided among dozens of the heirs of the original
owners of these parcels. This situation has only grown worse as each
decade passes.
In 1983, Congress tried to solve fractionation when it enacted the
Indian Land Consolidation Act (ILCA), P.L. 94-459. The ILCA prevented
small undivided interests from passing by either devise or descent.
Only those interests that produced more than $100 in revenue in the
preceding year were exempted. In 1987 the Supreme Court ruled in Hodel
v. Irving, 481 U.S. 704, that those provisions of the ILCA violated the
5th Amendment by taking property without just compensation.
Then in 1992, the General Accounting Office surveyed 12 Indian
reservations with fractionated ownership and reported to Congress:
[[Page S7709]]
BIA's workload for ownership records is substantial. The
agency maintains about 1.1 million records for the 12
reservations. Over 60 percent of the records represent small
ownership interests of Indian individuals--some as small as
one four thousandth of 1 percent. (GAO/RCED-92-96BR)
In 1994, the Department of Interior began a national consultation
with tribal leaders and landowners concerning the need to address
fractionation through a comprehensive legislative proposal. Based on
these consultations, in June 1997, the Administration submitted a
legislative proposal on land fractionation to Congress.
Also in 1997, the Supreme Court ruled in Babbitt v. Youpee, 519 U.S.
234 that the 1984 amendments to the ILCA did not go far enough to alter
the Court's previous finding that the ILCA violated the 5th Amendment.
On November 4, 2000, the Senate Indian Affairs Committee (SCIA) held
a joint hearing on S. 1586 with the House Committee on Resources.
On March 23, 2000, the SCIA reported S. 1586. Relying on a suggestion
in the Supreme Court's 1987 opinion, the reported bill allowed an owner
to devise fractional interests of less than 2%, but eliminated the
intestate descent of such interests. These interests were allowed to
``escheat'' to the tribe exercising jurisdiction over the parcel.
Because of the controversy associated with the escheat provision,
Committee staff continued to work with interested parties to develop a
proposal for addressing fractionation without the use of escheat.
On June 14, 2000, the SCIA reported S. 1586 with an amendment in the
nature of a substitute. In response to concerns that probate reform
should be comprehensive, the reported version of the bill was not
limited to smaller fractional interests. Instead the bill addressed
both the problem of fractionated ownership and the loss of trust land
through devise and descent. The bill provided that non-Indian heirs and
devisees would receive ``non-Indian interests in Indian land,'' rather
than fee title to trust and restricted land. In most instances, these
interests would operate as if they were a life estate in the interest.
S. 1586 was endorsed on June 28, 2000 by the National Congress of
American Indians (NCAI), the largest and most representative tribal
organization in the Nation, through Resolution Jun-00-044. The
Resolution requested that the bill's sponsor continue to work with NCAI
to address technical issues.
Throughout June and July, a concerted effort has been made to consult
with Indian tribes, landowners, and inter-tribal organizations, BIA
personnel, and interested academics to clarify and simplify the bill.
For example, in many instances a ``non-Indian estate in Indian land''
might prove a more complicated interest than was necessary to achieve
the bill's objective. It was recommended that the bill's non-Indian
estate should simply be replaced by an ordinary life estate.
A proposed amendment in the nature of a substitute has been produced.
The amendment differs from the version reported by the SCIA on June 14,
2000 in the following ways:
The definition of ``Indian'' is amended. As reported on June 14,
2000, the definition included members of Indian tribes and those
eligible for membership in an Indian tribe. The proposed amendment adds
a provision for: ``any person who has been found to meet the definition
of `Indian' under a provision of Federal law if the Secretary
determines that using such law's definition of Indian is consistent
with the purposes of this Act.'' This amendment will ensure that
individuals who are treated as Indians for other purposes of Federal
law will also be treated as Indian for purposes of this Act.
Section 207 dealing with the devise and descent of interests in trust
and restricted lands has been rewritten to provide that non-Indians
inheriting interest in trust and restricted land will now receive life
estates in place of ``non-Indian interests in Indian land.'' The owner
of allotted land who does not have any Indian heirs may devise his
interest to non-Indian heirs. Such a devise may then reserve a life
estate if the remainder interest is acquired by the tribe under section
206(c).
Section 206(c), which allows Indian tribes to acquire interests
devised to non-Indians has been rewritten for clarity.
As reported on June 14, 2000, S. 1586 provided that interests of 5%
or less that pass by intestate succession would be inherited with the
right of survivorship to prevent further fractionation. Since the BIA
is in the process of reforming its trust and probate management system,
the proposed amendment provides that this provision will not take
effect until the Secretary certifies that the BIA has a process in
place to track interests held with the right of survivorship.
A separate subsection concerning gift deeds is now incorporated into
another section that allows the Secretary to approve conveyance of
trust land to Indians. Also, trust land may now be conveyed to Indians
by a person of Indian ancestry who owns trust land, but does not meet
the ILCA''s definition of Indian.
A second title to S. 1586 includes the text from S. 1315 and its
House counterpart H.R. 3181, which allow the Secretary of Interior to
approve oil and gas leases on lands allotted to individual Navajo
Indians, as long as the specified majority of owners of undivided
interests approve the transaction. S. 1315 and H.R. 3181 were
introduced at the request of the Navajo Allottee Association, Shii Shi
Keyah.
I have described S. 1586 as the ``cornerstone'' of the Committee's
efforts to reform the BIA's management of land fractionation. Without
this bill, interests will continue to fractionate. That is why the
Department of the Interior continues to support this bill, even though
it differs greatly from the Department's original proposal.
As far back as 1934, a member of the House of Representatives
referred to fractionated interests as: ``a meaningless system of minute
partitioning in which all thought of the possible use of the land to
satisfy human needs is lost in a mathematical haze of bookkeeping.'' S.
1586 provides a framework that will allow the Federal government,
tribal governments, and those who own interests in allotments to begin
addressing these issues.
Mr. DeWINE. Mr. President, I ask unanimous consent that the amendment
be agreed to, the committee amendment be agreed to, as amended, the
bill be read the third time and passed, the motion to reconsider be
laid upon the table, and any statements relating to the bill be printed
in the Record.
The PRESIDING OFFICER. Without objection, it is so ordered.
The amendment (No. 4019) was agreed to.
The committee amendment, in the nature of a substitute, as amended,
was agreed to.
The bill (S. 1586), as amended, was read the third time and passed.
S. 1586
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 ``Indian Land Consolidation
Act Amendments of 2000''.
TITLE I--INDIAN LAND CONSOLIDATION
SEC. 101. FINDINGS.
Congress finds that--
(1) in the 1800's and early 1900's, the United States
sought to assimilate Indian people into the surrounding non-
Indian culture by allotting tribal lands to individual
members of Indian tribes;
(2) as a result of the allotment Acts and related Federal
policies, over 90,000,000 acres of land have passed from
tribal ownership;
(3) many trust allotments were taken out of trust status,
often without their owners consent;
(4) without restrictions on alienation, allotment owners
were subject to exploitation and their allotments were often
sold or disposed of without any tangible or enduring benefit
to their owners;
(5) the trust periods for trust allotments have been
extended indefinitely;
(6) because of the inheritance provisions in the original
treaties or allotment Acts, the ownership of many of the
trust allotments that have remained in trust status has
become fractionated into hundreds or thousands of undivided
interests, many of which represent 2 percent or less of the
total interests;
(7) Congress has authorized the acquisition of lands in
trust for individual Indians, and many of those lands have
also become fractionated by subsequent inheritance;
(8) the acquisitions referred to in paragraph (7) continue
to be made;
(9) the fractional interests described in this section
often provide little or no return to the beneficial owners of
those interests and the administrative costs borne by the
United States for those interests are inordinately high;
(10) in Babbitt v. Youpee (117 S Ct. 727 (1997)), the
United States Supreme Court
[[Page S7710]]
found the application of section 207 of the Indian Land
Consolidation Act (25 U.S.C. 2206) to the facts presented in
that case to be unconstitutional, forcing the Department of
the Interior to address the status of thousands of undivided
interests in trust and restricted lands;
(11)(A) on February 19, 1999, the Secretary of Interior
issued a Secretarial Order which officially reopened the
probate of all estates where an interest in land was ordered
to escheat to an Indian tribe pursuant to section 207 of the
Indian Land Consolidation Act (25 U.S.C. 2206); and
(B) the Secretarial Order also directed appropriate
officials of the Bureau of Indian Affairs to distribute such
interests ``to the rightful heirs and beneficiaries without
regard to 25 U.S.C. 2206'';
(12) in the absence of comprehensive remedial legislation,
the number of the fractional interests will continue to grow
exponentially;
(13) the problem of the fractionation of Indian lands
described in this section is the result of a policy of the
Federal Government, cannot be solved by Indian tribes, and
requires a solution under Federal law.
(14) any devise or inheritance of an interest in trust or
restricted Indian lands is a matter of Federal law; and
(15) consistent with the Federal policy of tribal self-
determination, the Federal Government should encourage the
recognized tribal government that exercises jurisdiction over
a reservation to establish a tribal probate code for that
reservation.
SEC. 102. DECLARATION OF POLICY.
It is the policy of the United States--
(1) to prevent the further fractionation of trust
allotments made to Indians;
(2) to consolidate fractional interests and ownership of
those interests into usable parcels;
(3) to consolidate fractional interests in a manner that
enhances tribal sovereignty;
(4) to promote tribal self-sufficiency and self-
determination; and
(5) to reverse the effects of the allotment policy on
Indian tribes.
SEC. 103. AMENDMENTS TO THE INDIAN LAND CONSOLIDATION ACT.
The Indian Land Consolidation Act (25 U.S.C. 2201 et seq.)
is amended--
(1) in section 202--
(A) in paragraph (1), by striking ``(1) `tribe' '' and
inserting ``(1) `Indian tribe' or `tribe' '';
(B) by striking paragraph (2) and inserting the following:
``(2) `Indian' means any person who is a member of any
Indian tribe or is eligible to become a member of any Indian
tribe, or any person who has been found to meet the
definition of `Indian' under a provision of Federal law if
the Secretary determines that using such law's definition of
Indian is consistent with the purposes of this Act;'';
(C) by striking ``and'' at the end of paragraph (3);
(D) by striking the period at the end of paragraph (4) and
inserting ``; and''; and
(E) by adding at the end the following:
``(5) `heirs of the first or second degree' means parents,
children, grandchildren, grandparents, brothers and sisters
of a decedent.'';
(2) in section 205--
(A) in the matter preceding paragraph (1)--
(i) by striking ``Any Indian'' and inserting ``(a) In
General.--Subject to subsection (b), any Indian'';
(ii) by striking the colon and inserting the following: ``.
Interests owned by an Indian tribe in a tract may be included
in the computation of the percentage of ownership of the
undivided interests in that tract for purposes of determining
whether the consent requirement under the preceding sentence
has been met.'';
(iii) by striking ``: Provided, That--''; and inserting the
following:
``(b) Conditions Applicable to Purchase.--Subsection (a)
applies on the condition that--'';
(B) in paragraph (2)--
(i) by striking ``If,'' and inserting ``if''; and
(ii) by adding ``and'' at the end; and
(C) by striking paragraph (3) and inserting the following:
``(3) the approval of the Secretary shall be required for a
land sale initiated under this section, except that such
approval shall not be required with respect to a land sale
transaction initiated by an Indian tribe that has in effect a
land consolidation plan that has been approved by the
Secretary under section 204.'';
(3) by striking section 206 and inserting the following:
``SEC. 206. TRIBAL PROBATE CODES; ACQUISITIONS OF FRACTIONAL
INTERESTS BY TRIBES.
``(a) Tribal Probate Codes.--
``(1) In general.--Notwithstanding any other provision of
law, any Indian tribe may adopt a tribal probate code to
govern descent and distribution of trust or restricted lands
that are--
``(A) located within that Indian tribe's reservation; or
``(B) otherwise subject to the jurisdiction of that Indian
tribe.
``(2) Possible inclusions.--A tribal probate code referred
to in paragraph (1) may include--
``(A) rules of intestate succession; and
``(B) other tribal probate code provisions that are
consistent with Federal law and that promote the policies set
forth in section 102 of the Indian Land Consolidation Act
Amendments of 2000.
``(3) Limitations.--The Secretary shall not approve a
tribal probate code if such code prevents an Indian person
from inheriting an interest in an allotment that was
originally allotted to his or her lineal ancestor.
``(b) Secretarial Approval.--
``(1) In general.--Any tribal probate code enacted under
subsection (a), and any amendment to such a tribal probate
code, shall be subject to the approval of the Secretary.
``(2) Review and approval.--
``(A) In general.--Each Indian tribe that adopts a tribal
probate code under subsection (a) shall submit that code to
the Secretary for review. Not later than 180 days after a
tribal probate code is submitted to the Secretary under this
paragraph, the Secretary shall review and approve or
disapprove that tribal probate code.
``(B) Consequence of failures to approve or disapprove a
tribal probate code.--If the Secretary fails to approve or
disapprove a tribal probate code submitted for review under
subparagraph (A) by the date specified in that subparagraph,
the tribal probate code shall be deemed to have been approved
by the Secretary, but only to the extent that the tribal
probate code is consistent with Federal law and promotes the
policies set forth in section 102 of the Indian Land
Consolidation Act Amendments of 2000.
``(C) Consistency of tribal probate code with act.--The
Secretary may not approve a tribal probate code, or any
amendment to such a code, under this paragraph unless the
Secretary determines that the tribal probate code promotes
the policies set forth in section 102 of the Indian Land
Consolidation Act Amendments of 2000.
``(D) Explanation.--If the Secretary disapproves a tribal
probate code, or an amendment to such a code, under this
paragraph, the Secretary shall include in the notice of
disapproval to the Indian tribe a written explanation of the
reasons for the disapproval.
``(E) Amendments.--
``(i) In general.--Each Indian tribe that amends a tribal
probate code under this paragraph shall submit the amendment
to the Secretary for review and approval. Not later than 60
days after receiving an amendment under this subparagraph,
the Secretary shall review and approve or disapprove the
amendment.
``(ii) Consequence of failure to approve or disapprove an
amendment.--If the Secretary fails to approve or disapprove
an amendment submitted under clause (i), the amendment shall
be deemed to have been approved by the Secretary, but only to
the extent that the amendment is consistent with Federal law
and promotes the policies set forth in section 102 of the
Indian Land Consolidation Act of 2000.
``(3) Effective dates.--A tribal probate code approved
under paragraph (2) shall become effective on the later of--
``(A) the date specified in section 207(g)(5); or
``(B) 180 days after the date of approval.
``(4) Limitations.--
``(A) Tribal probate codes.--Each tribal probate code
enacted under subsection (a) shall apply only to the estate
of a decedent who dies on or after the effective date of the
tribal probate code.
``(B) Amendments to tribal probate codes.--With respect to
an amendment to a tribal probate code referred to in
subparagraph (A), that amendment shall apply only to the
estate of a decedent who dies on or after the effective date
of the amendment.
``(5) Repeals.--The repeal of a tribal probate code shall--
``(A) not become effective earlier than the date that is
180 days after the Secretary receives notice of the repeal;
and
``(B) apply only to the estate of a decedent who dies on or
after the effective date of the repeal.
``(c) Authority Available to Indian Tribes.--
``(1) In general.--If the owner of an interest in trust or
restricted land devises an interest in such land to a non-
Indian under section 207(a)(6)(A), the Indian tribe that
exercises jurisdiction over the parcel of land involved may
acquire such interest by paying to the Secretary the fair
market value of such interest, as determined by the Secretary
on the date of the decedent's death. The Secretary shall
transfer such payment to the devisee.
``(2) Limitation.--
``(A) In general.--Paragraph (1) shall not apply to an
interest in trust or restricted land if, while the decedent's
estate is pending before the Secretary, the non-Indian
devisee renounces the interest in favor of an Indian person.
``(B) Reservation of life estate.--A non-Indian devisee
described in subparagraph (A) or a non-Indian devisee
described in section 207(a)(6)(B), may retain a life estate
in the interest involved, including a life estate to the
revenue produced from the interest. The amount of any payment
required under paragraph (1) shall be reduced to reflect the
value of any life estate reserved by a non-Indian devisee
under this subparagraph.
``(3) Payments.--With respect to payments by an Indian
tribe under paragraph (1), the Secretary shall--
``(A) upon the request of the tribe, allow a reasonable
period of time, not to exceed 2 years, for the tribe to make
payments of amounts due pursuant to paragraph (1); or
``(B) recognize alternative agreed upon exchanges of
consideration or extended payment terms between the non-
Indian devisee
[[Page S7711]]
described in paragraph (1) and the tribe in satisfaction of
the payment under paragraph (1).
``(d) Use of Proposed Findings by Tribal Justice Systems.--
``(1) Tribal justice system defined.--In this subsection,
the term `tribal justice system' has the meaning given that
term in section 3 of the Indian Tribal Justice Act (25 U.S.C.
3602).
``(2) Regulations.--The Secretary by regulation may provide
for the use of findings of fact and conclusions of law, as
rendered by a tribal justice system, as proposed findings of
fact and conclusions of law in the adjudication of probate
proceedings by the Department of the Interior.'';
(4) by striking section 207 and inserting the following:
``SEC. 207. DESCENT AND DISTRIBUTION.
``(a) Testamentary Disposition.--
``(1) In general.--Interests in trust or restricted land
may be devised only to--
``(A) the decedent's Indian spouse or any other Indian
person; or
``(B) the Indian tribe with jurisdiction over the land so
devised.
``(2) Life estate.--Any devise of an interest in trust or
restricted land to a non-Indian shall create a life estate
with respect to such interest.
``(3) Remainder.--
``(A) In general.--Except where the remainder from the life
estate referred to in paragraph (2) is devised to an Indian,
such remainder shall descend to the decedent's Indian spouse
or Indian heirs of the first or second degree pursuant to the
applicable law of intestate succession.
``(B) Descent of interests.--If a decedent described in
subparagraph (A) has no Indian heirs of the first or second
degree, the remainder interest described in such subparagraph
shall descend to any of the decedent's collateral heirs of
the first or second degree, pursuant to the applicable laws
of intestate succession, if on the date of the decedent's
death, such heirs were a co-owner of an interest in the
parcel of trust or restricted land involved.
``(C) Definition.--For purposes of this section, the term
`collateral heirs of the first or second degree' means the
brothers, sisters, aunts, uncles, nieces, nephews, and first
cousins, of a decedent.
``(4) Descent to tribe.--If the remainder interest
described in paragraph (3)(A) does not descend to an Indian
heir or heirs it shall descend to the Indian tribe that
exercises jurisdiction over the parcel of trust or restricted
lands involved, subject to paragraph (5).
``(5) Acquisition of interest by indian co-owners.--An
Indian co-owner of a parcel of trust or restricted land may
prevent the descent of an interest in Indian land to an
Indian tribe under paragraph (4) by paying into the
decedent's estate the fair market value of the interest in
such land. If more than 1 Indian co-owner offers to pay for
such an interest, the highest bidder shall obtain the
interest. If payment is not received before the close of the
probate of the decedent's estate, the interest shall descend
to the tribe that exercises jurisdiction over the parcel.
``(6) Special rule.--
``(A) In general.--Notwithstanding paragraph (2), an owner
of trust or restricted land who does not have an Indian
spouse, Indian lineal descendant, an Indian heir of the first
or second degree, or an Indian collateral heir of the first
or second degree, may devise his or her interests in such
land to any of the decedent's heirs of the first or second
degree or collateral heirs of the first or second degree.
``(B) Acquisition of interest by tribe.--An Indian tribe
that exercises jurisdiction over an interest in trust or
restricted land described in subparagraph (A) may acquire any
interest devised to a non-Indian as provided for in section
206(c).
``(b) Intestate Succession.--
``(1) In general.--An interest in trust or restricted land
shall pass by intestate succession only to a decedent's
spouse or heirs of the first or second degree, pursuant to
the applicable law of intestate succession.
``(2) Life estate.--Notwithstanding paragraph (1), with
respect to land described in such paragraph, a non-Indian
spouse or non-Indian heirs of the first or second degree
shall only receive a life estate in such land.
``(3) Descent of interests.--If a decedent described in
paragraph (1) has no Indian heirs of the first or second
degree, the remainder interest from the life estate referred
to in paragraph (2) shall descend to any of the decedent's
collateral Indian heirs of the first or second degree,
pursuant to the applicable laws of intestate succession, if
on the date of the decedent's death, such heirs were a co-
owner of an interest in the parcel of trust or restricted
land involved.
``(4) Descent to tribe.--If the remainder interest
described in paragraph (3) does not descend to an Indian heir
or heirs it shall descend to the Indian tribe that exercises
jurisdiction over the parcel of trust or restricted lands
involved, subject to paragraph (5).
``(5) Acquisition of interest by indian co-owners.--An
Indian co-owner of a parcel of trust or restricted land may
prevent the descent of an interest in such land for which
there is no heir of the first or second degree by paying into
the decedent's estate the fair market value of the interest
in such land. If more than 1 Indian co-owner makes an offer
to pay for such an interest, the highest bidder shall obtain
the interest. If no such offer is made, the interest shall
descend to the Indian tribe that exercises jurisdiction over
the parcel of land involved.
``(c) Joint Tenancy; Right of Survivorship.--
``(1) Testate.--If a testator devises interests in the same
parcel of trust or restricted lands to more than 1 person, in
the absence of express language in the devise to the
contrary, the devise shall be presumed to create joint
tenancy with the right of survivorship in the land involved.
``(2) Intestate.--
``(A) In general.--Any interest in trust or restricted land
that--
``(i) passes by intestate succession to more than 1 person,
including a remainder interest under subsection (a) or (b) of
section 207; and
``(ii) that constitutes 5 percent or more of the undivided
interest in a parcel of trust or restricted land;
shall be held as tenancy in common.
``(B) Limited interest.--Any interest in trust or
restricted land that--
``(i) passes by intestate succession to more than 1 person,
including a remainder interest under subsection (a) or (b) of
section 207; and
``(ii) that constitutes less than 5 percent of the
undivided interest in a parcel of trust or restricted land;
shall be held by such heirs with the right of survivorship.
``(3) Effective date.--
``(A) In general.--This subsection (other than subparagraph
(B)) shall become effective on the later of--
``(i) the date referred to in subsection (g)(5); or
``(ii) the date that is six months after the date on which
the Secretary makes the certification required under
subparagraph (B).
``(B) Certification.--Upon a determination by the Secretary
that the Department of the Interior has the capacity,
including policies and procedures, to track and manage
interests in trust or restricted land held with the right of
survivorship, the Secretary shall certify such determination
and publish such certification in the Federal Register.
``(d) Descent of Off-Reservation Lands.--
``(1) Indian reservation defined.--For purposes of this
subsection, the term `Indian reservation' includes lands
located within--
``(A)(i) Oklahoma; and
``(ii) the boundaries of an Indian tribe's former
reservation (as defined and determined by the Secretary);
``(B) the boundaries of any Indian tribe's current or
former reservation; or
``(C) any area where the Secretary is required to provide
special assistance or consideration of a tribe's acquisition
of land or interests in land.
``(2) Descent.--Except in the State of California, upon the
death of an individual holding an interest in trust or
restricted lands that are located outside the boundaries of
an Indian reservation and that are not subject to the
jurisdiction of any Indian tribe, that interest shall descend
either--
``(A) by testate or intestate succession in trust to an
Indian; or
``(B) in fee status to any other devises or heirs.
``(e) Approval of Agreements.--The official authorized to
adjudicate the probate of trust or restricted lands shall
have the authority to approve agreements between a decedent's
heirs and devisees to consolidate interests in trust or
restricted lands. The agreements referred to in the preceding
sentence may include trust or restricted lands that are not a
part of the decedent's estate that is the subject of the
probate. The Secretary may promulgate regulations for the
implementation of this subsection.
``(f) Estate Planning Assistance.--
``(1) In general.--The Secretary shall provide estate
planning assistance in accordance with this subsection, to
the extent amounts are appropriated for such purpose.
``(2) Requirements.--The estate planning assistance
provided under paragraph (1) shall be designed to--
``(A) inform, advise, and assist Indian landowners with
respect to estate planning in order to facilitate the
transfer of trust or restricted lands to a devisee or
devisees selected by the landowners; and
``(B) assist Indian landowners in accessing information
pursuant to section 217(e).
``(3) Contracts.--In carrying out this section, the
Secretary may enter into contracts with entities that have
expertise in Indian estate planning and tribal probate codes.
``(g) Notification to Indian Tribes and Owners of Trust or
Restricted Lands.--
``(1) In general.--Not later than 180 days after the date
of enactment of the Indian Land Consolidation Act Amendments
of 2000, the Secretary shall notify Indian tribes and owners
of trust or restricted lands of the amendments made by the
Indian Land Consolidation Act Amendments of 2000.
``(2) Specifications.--The notice required under paragraph
(1) shall be designed to inform Indian owners of trust or
restricted land of--
``(A) the effect of this Act, with emphasis on the effect
of the provisions of this section, on the testate disposition
and intestate descent of their interests in trust or
restricted land; and
``(B) estate planning options available to the owners,
including any opportunities for receiving estate planning
assistance or advice.
``(3) Requirements.--The Secretary shall provide the notice
required under paragraph (1)--
``(A) by direct mail for those Indians with interests in
trust and restricted lands for
[[Page S7712]]
which the Secretary has an address for the interest holder;
``(B) through the Federal Register;
``(C) through local newspapers in areas with significant
Indian populations, reservation newspapers, and newspapers
that are directed at an Indian audience; and
``(D) through any other means determined appropriate by the
Secretary.
``(4) Certification.--After providing notice under this
subsection, the Secretary shall certify that the requirements
of this subsection have been met and shall publish notice of
such certification in the Federal Register.
``(5) Effective date.--The provisions of this section shall
not apply to the estate of an individual who dies prior to
the day that is 365 days after the Secretary makes the
certification required under paragraph (4).'';
(5) in section 208, by striking ``section 206'' and
inserting ``subsections (a) and (b) of section 206''; and
(6) by adding at the end the following:
``SEC. 213. PILOT PROGRAM FOR THE ACQUISITION OF FRACTIONAL
INTERESTS.
``(a) Acquisition by Secretary.--
``(1) In general.--The Secretary may acquire, at the
discretion of the Secretary and with the consent of the
owner, and at fair market value, any fractional interest in
trust or restricted lands.
``(2) Authority of Secretary.--
``(A) In general.--The Secretary shall have the authority
to acquire interests in trust or restricted lands under this
section during the 3-year period beginning on the date of
certification that is referred to in section 207(g)(5).
``(B) Required report.--Prior to expiration of the
authority provided for in subparagraph (A), the Secretary
shall submit the report required under section 218 concerning
whether the program to acquire fractional interests should be
extended or altered to make resources available to Indian
tribes and individual Indian landowners.
``(3) Interests held in trust.--Subject to section 214, the
Secretary shall immediately hold interests acquired under
this Act in trust for the recognized tribal government that
exercises jurisdiction over the land involved.
``(b) Requirements.--In implementing subsection (a), the
Secretary--
``(1) shall promote the policies provided for in section
102 of the Indian Land Consolidation Act Amendments of 2000;
``(2) may give priority to the acquisition of fractional
interests representing 2 percent or less of a parcel of trust
or restricted land, especially those interests that would
have escheated to a tribe but for the Supreme Court's
decision in Babbitt v. Youpee, (117 S Ct. 727 (1997));
``(3) to the extent practicable--
``(A) shall consult with the tribal government that
exercises jurisdiction over the land involved in determining
which tracts to acquire on a reservation;
``(B) shall coordinate the acquisition activities with the
acquisition program of the tribal government that exercises
jurisdiction over the land involved, including a tribal land
consolidation plan approved pursuant to section 204; and
``(C) may enter into agreements (such agreements will not
be subject to the provisions of the Indian Self-Determination
and Education Assistance Act of 1974) with the tribal
government that exercises jurisdiction over the land involved
or a subordinate entity of the tribal government to carry out
some or all of the Secretary's land acquisition program; and
``(4) shall minimize the administrative costs associated
with the land acquisition program.
``(c) Sale of Interest to Indian Landowners.--
``(1) Conveyance at request.--
``(A) In general.--At the request of any Indian who owns at
least 5 percent of the undivided interest in a parcel of
trust or restricted land, the Secretary shall convey an
interest acquired under this section to the Indian landowner
upon payment by the Indian landowner of the amount paid for
the interest by the Secretary.
``(B) Limitation.--With respect to a conveyance under this
subsection, the Secretary shall not approve an application to
terminate the trust status or remove the restrictions of such
an interest.
``(2) Multiple owners.--If more than one Indian owner
requests an interest under (1), the Secretary shall convey
the interest to the Indian owner who owns the largest
percentage of the undivided interest in the parcel of trust
or restricted land involved.
``(3) Limitation.--If an Indian tribe that has jurisdiction
over a parcel of trust or restricted land owns 10 percent or
more of the undivided interests in a parcel of such land,
such interest may only be acquired under paragraph (1) with
the consent of such Indian tribe.
``SEC. 214. ADMINISTRATION OF ACQUIRED FRACTIONAL INTERESTS,
DISPOSITION OF PROCEEDS.
``(a) In General.--Subject to the conditions described in
subsection (b)(1), an Indian tribe receiving a fractional
interest under section 213 may, as a tenant in common with
the other owners of the trust or restricted lands, lease the
interest, sell the resources, consent to the granting of
rights-of-way, or engage in any other transaction affecting
the trust or restricted land authorized by law.
``(b) Conditions.--
``(1) In general.--The conditions described in this
paragraph are as follows:
``(A) Until the purchase price paid by the Secretary for an
interest referred to in subsection (a) has been recovered, or
until the Secretary makes any of the findings under paragraph
(2)(A), any lease, resource sale contract, right-of-way, or
other document evidencing a transaction affecting the
interest shall contain a clause providing that all revenue
derived from the interest shall be paid to the Secretary.
``(B) Subject to subparagraph (C), the Secretary shall
deposit any revenue derived under subparagraph (A) into the
Acquisition Fund created under section 216.
``(C) The Secretary shall deposit any revenue that is paid
under subparagraph (A) that is in excess of the purchase
price of the fractional interest involved to the credit of
the Indian tribe that receives the fractional interest under
section 213 and the tribe shall have access to such funds in
the same manner as other funds paid to the Secretary for the
use of lands held in trust for the tribe.
``(D) Notwithstanding any other provision of law, including
section 16 of the Act of June 18, 1934 (commonly referred to
as the `Indian Reorganization Act') (48 Stat. 987, chapter
576; 25 U.S.C. 476), with respect to any interest acquired by
the Secretary under section 213, the Secretary may approve a
transaction covered under this section on behalf of a tribe
until--
``(i) the Secretary makes any of the findings under
paragraph (2)(A); or
``(ii) an amount equal to the purchase price of that
interest has been paid into the Acquisition Fund created
under section 216.
``(2) Exception.--Paragraph (1)(A) shall not apply to any
revenue derived from an interest in a parcel of land acquired
by the Secretary under section 213 after--
``(A) the Secretary makes a finding that--
``(i) the costs of administering the interest will equal or
exceed the projected revenues for the parcel involved;
``(ii) in the discretion of the Secretary, it will take an
unreasonable period of time for the parcel to generate
revenue that equals the purchase price paid for the interest;
or
``(iii) a subsequent decrease in the value of land or
commodities associated with the land make it likely that the
interest will be unable to generate revenue that equals the
purchase price paid for the interest in a reasonable time; or
``(B) an amount equal to the purchase price of that
interest in land has been paid into the Acquisition Fund
created under section 216.
``(c) Tribe Not Treated as Party to Lease; No Effect on
Tribal Sovereignty, Immunity.--
``(1) In general.--Paragraph (2) shall apply with respect
to any undivided interest in allotted land held by the
Secretary in trust for a tribe if a lease or agreement under
subsection (a) is otherwise applicable to such undivided
interest by reason of this section even though the Indian
tribe did not consent to the lease or agreement.
``(2) Application of lease.--The lease or agreement
described in paragraph (1) shall apply to the portion of the
undivided interest in allotted land described in such
paragraph (including entitlement of the Indian tribe to
payment under the lease or agreement), and the Indian tribe
shall not be treated as being a party to the lease or
agreement. Nothing in this section (or in the lease or
agreement) shall be construed to affect the sovereignty of
the Indian tribe.
``SEC. 215. ESTABLISHING FAIR MARKET VALUE.
``For purposes of this Act, the Secretary may develop a
system for establishing the fair market value of various
types of lands and improvements. Such a system may include
determinations of fair market value based on appropriate
geographic units as determined by the Secretary. Such system
may govern the amounts offered for the purchase of interests
in trust or restricted lands under section 213.
``SEC. 216. ACQUISITION FUND.
``(a) In General.--The Secretary shall establish an
Acquisition Fund to--
``(1) disburse appropriations authorized to accomplish the
purposes of section 213; and
``(2) collect all revenues received from the lease, permit,
or sale of resources from interests in trust or restricted
lands transferred to Indian tribes by the Secretary under
section 213 or paid by Indian landowners under section
213(c).
``(b) Deposits; Use.--
``(1) In general.--Subject to paragraph (2), all proceeds
from leases, permits, or resource sales derived from an
interest in trust or restricted lands described in subsection
(a)(2) shall--
``(A) be deposited in the Acquisition Fund; and
``(B) as specified in advance in appropriations Acts, be
available for the purpose of acquiring additional fractional
interests in trust or restricted lands.
``(2) Maximum deposits of proceeds.--With respect to the
deposit of proceeds derived from an interest under paragraph
(1), the aggregate amount deposited under that paragraph
shall not exceed the purchase price of that interest under
section 213.
``SEC. 217. TRUST AND RESTRICTED LAND TRANSACTIONS.
``(a) Policy.--It is the policy of the United States to
encourage and assist the consolidation of land ownership
through transactions--
``(1) involving individual Indians;
[[Page S7713]]
``(2) between Indians and the tribal government that
exercises jurisdiction over the land; or
``(3) between individuals who own an interest in trust and
restricted land who wish to convey that interest to an Indian
or the tribal government that exercises jurisdiction over the
parcel of land involved;
in a manner consistent with the policy of maintaining the
trust status of allotted lands. Nothing in this section shall
be construed to apply to or to authorize the sale of trust or
restricted lands to a person who is not an Indian.
``(b) Sales, Exchanges and Gift Deeds Between Indians and
Between Indians and Indian Tribes.--
``(1) In general.--
``(A) Estimate of value.--Notwithstanding any other
provision of law and only after the Indian selling,
exchanging, or conveying by gift deed for no or nominal
consideration an interest in land, has been provided with an
estimate of the value of the interest of the Indian pursuant
to this section--
``(i) the sale or exchange or conveyance of an interest in
trust or restricted land may be made for an amount that is
less than the fair market value of that interest; and
``(ii) the approval of a transaction that is in compliance
with this section shall not constitute a breach of trust by
the Secretary.
``(B) Waiver of requirement.--The requirement for an
estimate of value under subparagraph (A) may be waived in
writing by an Indian selling, exchanging, or conveying by
gift deed for no or nominal consideration an interest in land
with an Indian person who is the owner's spouse, brother,
sister, lineal ancestor of Indian blood, lineal descendant,
or collateral heir.
``(2) Limitation.--For a period of 5 years after the
Secretary approves a conveyance pursuant to this subsection,
the Secretary shall not approve an application to terminate
the trust status or remove the restrictions of such an
interest.
``(c) Acquisition of Interest by Secretary.--An Indian, or
the recognized tribal government of a reservation, in
possession of an interest in trust or restricted lands, at
least a portion of which is in trust or restricted status on
the date of enactment of the Indian Land Consolidation Act
Amendments of 2000 and located within a reservation, may
request that the interest be taken into trust by the
Secretary. Upon such a request, the Secretary shall forthwith
take such interest into trust.
``(d) Status of Lands.--The sale, exchange, or conveyance
by gift deed for no or nominal consideration of an interest
in trust or restricted land under this section shall not
affect the status of that land as trust or restricted land.
``(e) Land Ownership Information.--Notwithstanding any
other provision of law, the names and mailing addresses of
the Indian owners of trust or restricted lands, and
information on the location of the parcel and the percentage
of undivided interest owned by each individual, or of any
interest in trust or restricted lands, shall, upon written
request, be made available to--
``(1) other Indian owners of interests in trust or
restricted lands within the same reservation;
``(2) the tribe that exercises jurisdiction over the land
where the parcel is located or any person who is eligible for
membership in that tribe; and
``(3) prospective applicants for the leasing, use, or
consolidation of such trust or restricted land or the
interest in trust or restricted lands.
``(f) Notice to Indian Tribe.--After the expiration of the
limitation period provided for in subsection (b)(2) and prior
to considering an Indian application to terminate the trust
status or to remove the restrictions on alienation from trust
or restricted land sold, exchanged or otherwise conveyed
under this section, the Indian tribe that exercises
jurisdiction over the parcel of such land shall be notified
of the application and given the opportunity to match the
purchase price that has been offered for the trust or
restricted land involved.
``SEC. 218. REPORTS TO CONGRESS.
``(a) In General.--Prior to expiration of the authority
provided for in section 213(a)(2)(A), the Secretary, after
consultation with Indian tribes and other interested parties,
shall submit to the Committee on Indian Affairs and the
Committee on Energy and Natural Resources of the Senate and
the Committee on Resources of the House of Representatives a
report that indicates, for the period covered by the report--
``(1) the number of fractional interests in trust or
restricted lands acquired; and
``(2) the impact of the resulting reduction in the number
of such fractional interests on the financial and realty
recordkeeping systems of the Bureau of Indian Affairs.
``(b) Report.--The reports described in subsection (a) and
section 213(a) shall contain findings as to whether the
program under this Act to acquire fractional interests in
trust or restricted lands should be extended and whether such
program should be altered to make resources available to
Indian tribes and individual Indian landowners.
``SEC. 219. APPROVAL OF LEASES, RIGHTS-OF-WAY, AND SALES OF
NATURAL RESOURCES.
``(a) Approval by the Secretary.--
``(1) In general.--Notwithstanding any other provision of
law, the Secretary may approve any lease or agreement that
affects individually owned allotted land or any other land
held in trust or restricted status by the Secretary on behalf
of an Indian, if--
``(A) the owners of not less than the applicable percentage
(determined under subsection (b)) of the undivided interest
in the allotted land that is covered by the lease or
agreement consent in writing to the lease or agreement; and
``(B) the Secretary determines that approving the lease or
agreement is in the best interest of the owners of the
undivided interest in the allotted land.
``(2) Rule of construction.--Nothing in this section shall
be construed to apply to leases involving coal or uranium.
``(3) Definition.--In this section, the term `allotted
land' includes any land held in trust or restricted status by
the Secretary on behalf of one or more Indians.
``(b) Applicable Percentage.--
``(1) Percentage interest.--The applicable percentage
referred to in subsection (a)(1) shall be determined as
follows:
``(A) If there are 5 or fewer owners of the undivided
interest in the allotted land, the applicable percentage
shall be 100 percent.
``(B) If there are more than 5 such owners, but fewer than
11 such owners, the applicable percentage shall be 80
percent.
``(C) If there are more than 10 such owners, but fewer than
20 such owners, the applicable percentage shall be 60
percent.
``(D) If there are 20 or more such owners, the applicable
percentage shall be a majority of the interests in the
allotted land.
``(2) Determination of owners.--
``(A) In general.--For purposes of this subsection, in
determining the number of owners of, and their interests in,
the undivided interest in the allotted land with respect to a
lease or agreement, the Secretary shall make such
determination based on the records of the Department of the
Interior that identify the owners of such lands and their
interests and the number of owners of such land on the date
on which the lease or agreement involved is submitted to the
Secretary under this section.
``(B) Rule of construction.--Nothing in subparagraph (A)
shall be construed to authorize the Secretary to treat an
Indian tribe as the owner of an interest in allotted land
that did not escheat to the tribe pursuant to section 207 as
a result of the Supreme Court's decision in Babbitt v.
Youpee, (117 S Ct. 727 (1997)).
``(c) Authority of Secretary to Sign Lease or Agreement on
Behalf of Certain Owners.--The Secretary may give written
consent to a lease or agreement under subsection (a)--
``(1) on behalf of the individual Indian owner if the owner
is deceased and the heirs to, or devisees of, the interest of
the deceased owner have not been determined; or
``(2) on behalf of any heir or devisee referred to in
paragraph (1) if the heir or devisee has been determined but
cannot be located
``(d) Effect of Approval.--
``(1) Application to all parties.--
``(A) In general.--Subject to paragraph (2), a lease or
agreement approved by the Secretary under subsection (a)
shall be binding on the parties described in subparagraph
(B), to the same extent as if all of the owners of the
undivided interest in allotted land covered under the lease
or agreement consented to the lease or agreement.
``(B) Description of parties.--The parties referred to in
subparagraph (A) are--
``(i) the owners of the undivided interest in the allotted
land covered under the lease or agreement referred to in such
subparagraph; and
``(ii) all other parties to the lease or agreement.
``(2) Tribe not treated as party to lease; no effect on
tribal sovereignty, immunity.--
``(A) In general.--Subparagraph (B) shall apply with
respect to any undivided interest in allotted land held by
the Secretary in trust for a tribe if a lease or agreement
under subsection (a) is otherwise applicable to such
undivided interest by reason of this section even though the
Indian tribe did not consent to the lease or agreement.
``(B) Application of lease.--The lease or agreement
described in subparagraph (A) shall apply to the portion of
the undivided interest in allotted land described in such
paragraph (including entitlement of the Indian tribe to
payment under the lease or agreement), and the Indian tribe
shall not be treated as being a party to the lease or
agreement. Nothing in this section (or in the lease or
agreement) shall be construed to affect the sovereignty of
the Indian tribe.
``(e) Distribution of Proceeds.--
``(1) In general.--The proceeds derived from a lease or
agreement that is approved by the Secretary under subsection
(a) shall be distributed to all owners of undivided interest
in the allotted land covered under the lease or agreement.
``(2) Determination of amounts distributed.--The amount of
the proceeds under paragraph (1) that are distributed to each
owner under that paragraph shall be determined in accordance
with the portion of the undivided interest in the allotted
land covered under the lease or agreement that is owned by
that owner.
``(f) Rule of Construction.--Nothing in this section shall
be construed to amend or modify the provisions of Public Law
105-188 (25 U.S.C. 396 note), the American Indian
Agricultural Resources Management Act (25 U.S.C. 3701 et
seq.), title II of the Indian Land Consolidation Act
Amendments of 2000,
[[Page S7714]]
or any other Act that provides specific standards for the
percentage of ownership interest that must approve a lease or
agreement on a specified reservation.
``SEC. 220. APPLICATION TO ALASKA.
``(a) Findings.--Congress find that--
``(1) numerous academic and governmental organizations have
studied the nature and extent of fractionated ownership of
Indian land outside of Alaska and have proposed solutions to
this problem; and
``(2) despite these studies, there has not been a
comparable effort to analyze the problem, if any, of
fractionated ownership in Alaska.
``(b) Application of Act to Alaska.--Except as provided in
this section, this Act shall not apply to land located within
Alaska.
``(c) Rule of Construction.--Nothing in this section shall
be construed to constitute a ratification of any
determination by any agency, instrumentality, or court of the
United States that may support the assertion of tribal
jurisdiction over allotment lands or interests in such land
in Alaska.''.
SEC. 104. JUDICIAL REVIEW.
Notwithstanding section 207(g)(5) of the Indian Land
Consolidation Act (25 U.S.C. 2206(f)(5)), after the Secretary
of Interior provides the certification required under section
207(g)(4) of such Act, the owner of an interest in trust or
restricted land may bring an administrative action to
challenge the application of such section 207 to the devise
or descent of his or her interest or interests in trust or
restricted lands, and may seek judicial review of the final
decision of the Secretary of Interior with respect to such
challenge.
SEC. 105. AUTHORIZATION OF APPROPRIATIONS.
There are authorized to be appropriated not to exceed
$8,000,000 for fiscal year 2001 and each subsequent fiscal
year to carry out the provisions of this title (and the
amendments made by this title) that are not otherwise funded
under the authority provided for in any other provision of
Federal law.
SEC. 106. CONFORMING AMENDMENTS.
(a) Patents Held in Trust.--The Act of February 8, 1887 (24
Stat. 388) is amended--
(1) by repealing sections 1, 2, and 3 (25 U.S.C. 331, 332,
and 333); and
(2) in the second proviso of section 5 (25 U.S.C. 348)--
(A) by striking ``and partition''; and
(B) by striking ``except'' and inserting ``except as
provided by the Indian Land Consolidation Act or a tribal
probate code approved under such Act and except''.
(b) Ascertainment of Heirs and Disposal of Allotments.--The
Act of June 25, 1910 (36 Stat. 855) is amended--
(1) in the first sentence of section 1 (25 U.S.C. 372), by
striking ``under'' and inserting ``under the Indian Land
Consolidation Act or a tribal probate code approved under
such Act and pursuant to''; and
(2) in the first sentence of section 2 (25 U.S.C. 373), by
striking ``with regulations'' and inserting ``with the Indian
Land Consolidation Act or a tribal probate code approved
under such Act and regulations''.
(c) Transfer of Lands.--Section 4 of the Act of June 18,
1934 (25 U.S.C. 464) is amended by striking ``member or:''
and inserting ``member or, except as provided by the Indian
Land Consolidation Act,''.
TITLE II--LEASES OF NAVAJO INDIAN ALLOTTED LANDS
SEC. 201. LEASES OF NAVAJO INDIAN ALLOTTED LANDS.
(a) Definitions.--In this section:
(1) Indian tribe.--The term ``Indian tribe'' has the
meaning given the term in section 4(e) of the Indian Self-
Determination and Education Assistance Act (25 U.S.C.
450b(e)).
(2) Individually owned navajo indian allotted land.--The
term ``individually owned Navajo Indian allotted land'' means
Navajo Indian allotted land that is owned in whole or in part
by 1 or more individuals.
(3) Navajo indian.--The term ``Navajo Indian'' means a
member of the Navajo Nation.
(4) Navajo indian allotted land.--The term ``Navajo Indian
allotted land'' means a single parcel of land that--
(A) is located within the jurisdiction of the Navajo
Nation; and
(B)(i) is held in trust or restricted status by the United
States for the benefit of Navajo Indians or members of
another Indian tribe; and
(ii) was--
(I) allotted to a Navajo Indian; or
(II) taken into trust or restricted status by the United
States for a Navajo Indian.
(5) Owner.--The term ``owner'' means, in the case of any
interest in land described in paragraph (4)(B)(i), the
beneficial owner of the interest.
(6) Secretary.--The term ``Secretary'' means the Secretary
of the Interior.
(b) Approval by the Secretary.--
(1) In general.--The Secretary may approve an oil or gas
lease or agreement that affects individually owned Navajo
Indian allotted land, if--
(A) the owners of not less than the applicable percentage
(determined under paragraph (2)) of the undivided interest in
the Navajo Indian allotted land that is covered by the oil or
gas lease or agreement consent in writing to the lease or
agreement; and
(B) the Secretary determines that approving the lease or
agreement is in the best interest of the owners of the
undivided interest in the Navajo Indian allotted land.
(2) Percentage interest.--The applicable percentage
referred to in paragraph (1)(A) shall be determined as
follows:
(A) If there are 10 or fewer owners of the undivided
interest in the Navajo Indian allotted land, the applicable
percentage shall be 100 percent.
(B) If there are more than 10 such owners, but fewer than
51 such owners, the applicable percentage shall be 80
percent.
(C) If there are 51 or more such owners, the applicable
percentage shall be 60 percent.
(3) Authority of secretary to sign lease or agreement on
behalf of certain owners.--The Secretary may give written
consent to an oil or gas lease or agreement under paragraph
(1) on behalf of an individual Indian owner if--
(A) the owner is deceased and the heirs to, or devisees of,
the interest of the deceased owner have not been determined;
or
(B) the heirs or devisees referred to in subparagraph (A)
have been determined, but 1 or more of the heirs or devisees
cannot be located.
(4) Effect of approval.--
(A) Application to all parties.--
(i) In general.--Subject to subparagraph (B), an oil or gas
lease or agreement approved by the Secretary under paragraph
(1) shall be binding on the parties described in clause (ii),
to the same extent as if all of the owners of the undivided
interest in Navajo Indian allotted land covered under the
lease or agreement consented to the lease or agreement.
(ii) Description of parties.--The parties referred to in
clause (i) are--
(I) the owners of the undivided interest in the Navajo
Indian allotted land covered under the lease or agreement
referred to in clause (i); and
(II) all other parties to the lease or agreement.
(B) Effect on indian tribe.--If--
(i) an Indian tribe is the owner of a portion of an
undivided interest in Navajo Indian allotted land; and
(ii) an oil or gas lease or agreement under paragraph (1)
is otherwise applicable to such portion by reason of this
subsection even though the Indian tribe did not consent to
the lease or agreement,
then the lease or agreement shall apply to such portion of
the undivided interest (including entitlement of the Indian
tribe to payment under the lease or agreement), but the
Indian tribe shall not be treated as a party to the lease or
agreement and nothing in this subsection (or in the lease or
agreement) shall be construed to affect the sovereignty of
the Indian tribe.
(5) Distribution of proceeds.--
(A) In general.--The proceeds derived from an oil or gas
lease or agreement that is approved by the Secretary under
paragraph (1) shall be distributed to all owners of the
undivided interest in the Navajo Indian allotted land covered
under the lease or agreement.
(B) Determination of amounts distributed.--The amount of
the proceeds under subparagraph (A) distributed to each owner
under that subparagraph shall be determined in accordance
with the portion of the undivided interest in the Navajo
Indian allotted land covered under the lease or agreement
that is owned by that owner.
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