[House Report 105-784]
[From the U.S. Government Publishing Office]



105th Congress                                                   Report
                        HOUSE OF REPRESENTATIVES
 2d Session                                                     105-784
_______________________________________________________________________


 
AMENDING THE ALASKA NATIVE CLAIMS SETTLEMENT ACT, REGARDING HUNA TOTEM 
   CORPORATION PUBLIC INTEREST LAND EXCHANGE, AND FOR OTHER PURPOSES

                                _______
                                

October 6, 1998.--Committed to the Committee of the Whole House on the 
              State of the Union and ordered to be printed

_______________________________________________________________________


  Mr. Young of Alaska, from the Committee on Resources, submitted the 
                               following

                              R E P O R T

                             together with

                            DISSENTING VIEWS

                        [To accompany H.R. 3088]

      [Including cost estimate of the Congressional Budget Office]

  The Committee on Resources, to whom was referred the bill 
(H.R. 3088) to amend the Alaska Native Claims Settlement Act, 
regarding Huna Totem Corporation public interest land exchange, 
and for other purposes, having considered the same, report 
favorably thereon without amendment and recommend that the bill 
do pass.

                          Purpose of the Bill

    The purposes of H.R. 3088 are to amend the Alaska Native 
Claims Settlement Act, regarding the Huna Totem Corporation 
public interest land exchange, and for other purposes.

                  Background and Need for Legislation

    H.R. 3088 provides for a land exchange between the Huna 
Totem Corporation, a Village Corporation in Southeast Alaska 
that was organized under the Alaska Native Claims Settlement 
Act (ANCSA), and the United States.
    The Huna Totem Corporation of the city of Hoonah in 
Southeast Alaska was awarded lands pursuant to ANCSA. Some of 
these lands have significant timber resources, and the 
Corporation has been active in the timber industry because 
logging provides important economic benefits to its Native 
shareholders.
    A significant portion of Huna Totem's property lies on part 
of the local watershed and within view of the city because 
ANCSA mandated the Corporation's land selection to be within or 
adjacent to the core township enclosing the village. However, 
there is considerable controversy within Hoonah over 
potentially logging this property because of the proximity of 
the logging to the city and the watershed. Huna Totem would 
prefer to acquire land away from the City, and by extension 
away from the local controversy, through an equal-value land 
exchange with the United States.
    H.R. 3088 resolves the local problem through an equal-value 
land exchange. Under the bill, the Corporation transfers 
approximately 2,000 acres of the watershed/view lands to the 
United States in exchange for lands of an equal value and 
accessible to Hoonah, selected from areas specified in the 
bill. The lands conveyed to the U.S. under H.R. 3088 are added 
to the Tongass National Forest. The bill also contains a 
provision prohibiting Huna Totem Corporation from exporting 
unprocessed logs from the new lands it acquires.

                            Committee Action

    H.R. 3088 was introduced on November 13, 1997, by 
Congressman Don Young (R-AK). The bill was referred to the 
Committee on Resources. On February 25, 1998, the Committee 
held a hearing on H.R. 3088, where testimony was received from 
the Administration, the Huna Totem Corporation, and an 
environmental organization from southeast Alaska. On September 
16, 1998, the Full Resources Committee met to consider H.R. 
3088. No amendments were offered and the bill was ordered 
favorably reported by voice vote to the House of 
Representatives.

            Committee Oversight Findings and Recommendations

    With respect to the requirements of clause 2(l)(3) of rule 
XI of the Rules of the House of Representatives, and clause 
2(b)(1) of rule X of the Rules of the House of Representatives, 
the Committee on Resources' oversight findings and 
recommendations are reflected in the body of this report.

                   Constitutional Authority Statement

    Article I, section 8, and Article IV, section 3 of the 
Constitution of the United States grant Congress the authority 
to enact H.R. 3088.

                        Cost of the Legislation

    Clause 7(a) of rule XIII of the Rules of the House of 
Representatives requires an estimate and a comparison by the 
Committee of the costs which would be incurred in carrying out 
H.R. 3088. However, clause 7(d) of that rule provides that this 
requirement does not apply when the Committee has included in 
its report a timely submitted cost estimate of the bill 
prepared by the Director of the Congressional Budget Office 
under section 403 of the Congressional Budget Act of 1974.

                     Compliance With House Rule XI

    1. With respect to the requirement of clause 2(l)(3)(B) of 
rule XI of the Rules of the House of Representatives and 
section 308(a) of the Congressional Budget Act of 1974, H.R. 
3088 does not contain any new budget authority, spending 
authority, credit authority, or an increase or decrease in tax 
expenditures. According to the Congressional Budget Office, 
enactment of this bill could decrease offsetting receipts of 
less than $500,000 a year over the 1999-2003 time period.
    2. With respect to the requirement of clause 2(l)(3)(D) of 
rule XI of the Rules of the House of Representatives, the 
Committee has received no report of oversight findings and 
recommendations from the Committee on Government Reform and 
Oversight on the subject of H.R. 3088.
    3. With respect to the requirement of clause 2(l)(3)(C) of 
rule XI of the Rules of the House of Representatives and 
section 403 of the Congressional Budget Act of 1974, the 
Committee has received the following cost estimate for H.R. 
3088 from the Director of the Congressional Budget Office.

               Congressional Budget Office Cost Estimate

                                     U.S. Congress,
                               Congressional Budget Office,
                                Washington, DC, September 18, 1998.
Hon. Don Young,
Chairman, Committee on Resources,
House of Representatives, Washington, DC.
    Dear Mr. Chairman: The Congressional Budget Office has 
prepared the enclosed cost estimate for H.R. 3088, a bill to 
amend the Alaska Native Claims Settlement Act, regarding Huna 
Totem Corporation public interest land exchange, and for other 
purposes.
    If you wish further details on this estimate, we will be 
pleased to provide them. The CBO staff contact is Victoria V. 
Heid.
            Sincerely,
                                         June E. O'Neill, Director.
    Enclosure.

H.R. 3088--A bill to amend the Alaska Native Claims Settlement Act, 
        regarding Huna Totem Corporation public interest land exchange, 
        and for other purposes

    CBO estimates that enacting this bill would not have a 
significant impact on the federal budget. Because the bill 
could affect offsetting receipts (a form of direct spending), 
pay-as-you-go procedures would apply, but we estimate that any 
increase in direct spending would total less than $500,000 per 
year. H.R. 3088 contains no intergovernmental or private-sector 
mandates as defined in the Unfunded Mandates Reform Act and 
would impose no significant costs on the budgets of state, 
local, or tribal governments.
    H.R. 3088 would direct the Secretary of Agriculture to 
convey the surface estate to certain federal lands in the 
Tongass National Forest to the Huna Totem Corporation, and also 
to convey the subsurface estate to such federal lands to the 
Sealaska Corporation. The federal land to be conveyed would be 
selected by the two corporations from federal lands depicted on 
the map described in the bill dated September 1, 1997. The bill 
also provides that the Huna Totem Corporation and Sealaska 
convey to the United States approximately 2,000 acres of 
surface and subsurface estates.
    H.R. 3088 does not specify the federal land to be conveyed 
to the Huna Totem Corporation, but it does provide that the 
exchange be on the basis of equal value, unless the Secretary 
determines it is in the public interest to make the exchange 
for other than equal value. For the purpose of this estimate, 
CBO assumes that the lands exchanged under the bill would be of 
approximately equal value. CBO expects that enacting this bill 
could decrease offsetting receipts to the federal government. 
According to the Forest Service, the agency would generally 
consider the area acquired from the corporation to be 
unsuitable for future harvesting because it lies within the 
watershed and viewshed for the city of Hoonah. Some of the 
federal land that could be conveyed to the corporation under 
H.R. 3088 currently does not generate federal timber receipts 
because it has been logged recently; however, a portion of the 
federal land that could be conveyed is not currently being 
harvested because it has been set aside as part of a 
conservation reserve under the Tongass National Forest 
management plan. According to the Forest Service, if the 
corporation harvested those areas following exchange, then the 
agency would be obliged under the forest management plan to 
reserve another area of federal land within the Tongass 
National Forest for conservation that would otherwise have been 
harvested under current law. Therefore, enacting the bill could 
decrease offsetting receipts to the federal government. We 
estimate that any increase in direct spending from forgoing 
timber receipts under H.R. 3088 would total less than $500,000 
a year over the 1999-2003 period.
    On October 6, 1997, CBO prepared a cost estimate for S. 
1158, the Huna Totem Corporation Land Exchange Act, as ordered 
reported by the Senate Committee on Energy and Natural 
Resources on September 24, 1997. The two bills are similar, and 
the estimated costs are the same.
    The CBO staff contact for this estimate is Victoria V. 
Heid. This estimate was approved by Paul N. Van de Water, 
Assistant Director for Budget Analysis.

                    Compliance With Public Law 104-4

    H.R. 3088 contains no unfunded mandates.

         Changes in Existing Law Made by the Bill, as Reported

  In compliance with clause 3 of rule XIII of the Rules of the 
House of Representatives, changes in existing law made by the 
bill, as reported, are shown as follows (new matter is printed 
in italic):

ALASKA NATIVE CLAIMS SETTLEMENT ACT

           *       *       *       *       *       *       *


SEC. 41. HUNA TOTEM CORPORATION LAND EXCHANGE.

  (a) Exchange.--In exchange for lands and interests described 
in subsection (b), the Secretary of Agriculture shall, subject 
to valid existing rights, convey to Huna Totem Corporation the 
surface estate and to Sealaska Corporation the subsurface 
estate of the Federal lands identified by Huna Totem 
Corporation pursuant to subsection (c).
  (b) Lands Described.--The surface estate to be conveyed by 
Huna Totem Corporation and the subsurface estate to be conveyed 
by Sealaska Corporation to the United States pursuant to this 
section are to the municipal watershed lands as shown on the 
map dated September 1, 1997, and labeled ``Attachment A'', and 
are further described as follows:

                Municipal Watershed and Greenbelt Buffer

                            C.R.M., T43S, R61E

Portion of                                                   Approximate
  section:                                                      acres:  
    16........................................................        2 
    21........................................................      610 
    22........................................................      227 
    23........................................................       35 
    26........................................................      447 
    27........................................................      400 
    33........................................................      202 
    34........................................................       76 
                        -----------------------------------------------------------------
                        ________________________________________________
        Approximate total.....................................     1,999

  (c) Identification of Lands.--
          (1) In general.--Not later than 90 days after the 
        conveyance to the United States pursuant to subsection 
        (a), Huna Totem Corporation may identify lands readily 
        accessible to the village of Hoonah and, where 
        possible, located on the road system to the village of 
        Hoonah, as depicted on the map dated September 1, 1997, 
        and labeled ``Attachment B''. Huna Totem Corporation 
        shall submit to the Secretary of Agriculture a written 
        description of such identified lands.
          (2) Equal value.--The value of the lands identified 
        pursuant to paragraph (1) may not exceed the value of 
        the lands described in subsection (b).
  (d) Timing of Conveyance.--Not later than 90 days after the 
written description of identified lands is submitted to the 
Secretary pursuant to subsection (c), the Secretary shall 
convey all right, title, and interest of the United States to 
such lands to Huna Totem Corporation.
  (e) Timber Manufacturing; Export Restriction.--
Notwithstanding any other provision of law, timber harvested 
from lands conveyed to Huna Totem Corporation under this 
section shall not be available for export as unprocessed logs 
from Alaska, nor may Huna Totem Corporation sell, trade, 
exchange, substitute, or otherwise convey such timber to any 
person for the purpose of exporting that timber from the State 
of Alaska.
  (f) Relation to Other Requirements.--The lands conveyed to 
Huna Totem Corporation and Sealaska Corporation under this 
section shall be considered, for all purposes, lands conveyed 
under this Act.
  (g) Maps.--The maps referred to in this section shall be 
maintained on file in the office of the Chief, United States 
Forest Service, and in the office of the Secretary of the 
Interior, Washington, D.C. The acreage cited in this section is 
approximate, and if a discrepancy arises between cited acreage 
and the lands depicted on the specified maps, the maps shall 
control. The maps do not constitute an attempt by the United 
States to convey State or private land.

                            DISSENTING VIEWS

    H.R. 3088 has earned the dubious distinction of generating 
veto threats from both the Secretary of the Interior and the 
Secretary of Agriculture.
    This is not a land exchange that has been negotiated 
between two parties and is in the public interest. Instead, the 
corporation is foisting land upon the Forest Service that the 
agency has zero interest in acquiring or managing. Moreover, 
the bill gives the Huna Corporation the authority to select 
2,000 acres of old-growth forest from the Tongass National 
Forest, with the Forest Service having no say in where these 
lands are selected.
    A primary reason that both Departments are opposing this 
bill and recommending a veto is because it sets an unacceptable 
precedent by reopening Native entitlements under the 1971 
Alaska Native Claims Settlement Act. Over 200 Alaska village 
corporations received land around their villages in the 
Settlement Act. It would have been insulting to Alaska natives 
had Congress concluded that Native-owned corporations were not 
responsible enough to protect their own communities from 
undesired activities. Yet H.R. 3088 would have the federal 
government acquire core village lands, based on the misguided 
premise that Congress intended every acre conveyed to Native 
corporations be logged or developed, no matter what the 
consequences to the village residents.
    In this case, the community of Hoonah understandably does 
not want more logging in their backyard, given that the Huna 
Corporation has clear-cut most of its 23,000 acre entitlement. 
But the remedy for this voluntary decision by corporate 
officials is to seek more national forest land to log. To 
establish the precedent that any or all of the 200 village 
corporations can come to Congress to trade village lands out 
and up for more economically desirable lands would undo the 
1971 Settlement Act and have significant consequences for 
management of federal lands across Alaska.

                                                     George Miller.

                                
