[Senate Report 106-67]
[From the U.S. Government Publishing Office]



                                                       Calendar No. 137
106th Congress                                                   Report
                                 SENATE
 1st Session                                                     106-67

======================================================================



 
           MOTION PICTURE FEES IN NATIONAL PARK SYSTEM UNITS

                                _______
                                

                  June 7, 1999.--Ordered to be printed

                                _______


  Mr. Murkowski, from the Committee on Energy and Natural Resources, 
                        submitted the following

                              R E P O R T

                        [To accompany H.R. 154]

    The Committee on Energy and Natural Resources, to which was 
referred the Act (H.R. 154) to provide for the collection of 
fees for the making of motion pictures, television productions, 
and sound tracks in National Park System and National Wildlife 
Refuge System units, and for other purposes, having considered 
the same, reports favorably therein with an amendment and an 
amendment to the title and recommends that the act, as amended, 
do pass.
    The amendments are as follows:
    1. Strike out all after the enacting clause and insert in 
lieu thereof the following:

SECTION 1. COMMERCIAL FILMING

    (a) Commercial Filming Fee.--The Secretary of the Interior and the 
Secretary of Agriculture (hereinafter individually referred to as the 
``Secretary'' with respect to lands under their respective 
jurisdiction) shall require a permit and shall establish a reasonable 
fee for commercial filming activities or similar projects on Federal 
lands administered by the Secretary. Such fee shall provide a fair 
return to the United States and shall be based upon the following 
criteria:
          (1) the number of days the filming activity or similar 
        project takes place on Federal land under the Secretary's 
        jurisdiction;
          (2) the size of the film crew present on Federal land under 
        the Secretary's jurisdiction; and
          (3) the amount and type of equipment present.
The Secretary may include other factors in determining an appropriate 
fee as the Secretary deems necessary.
    (b) Recovery of Costs.--The Secretary shall also collect any costs 
incurred as a result of filming activities or similar projects, 
including but not limited to administrative and personnel costs. All 
costs recovered shall be in addition to the fee assessed in subsection 
(a).
    (c) Still Photography.--(1) Except as provided in paragraph (2), 
the Secretary shall not require a permit nor assess a fee for still 
photography on lands administered by the Secretary if such photography 
takes place where members of the public are generally allowed. The 
Secretary may require a permit, fee, or both, if such photography takes 
place at other locations where members of the public are generally not 
allowed, or where additional administrative costs are likely.
    (2) The Secretary shall require a permit and shall establish a 
reasonable fee for still photography that uses models or props which 
are not a part of the site's natural or cultural resources or 
administrative facilities.
    (d) Protection of Resources.--The Secretary shall not permit any 
filming, still photography or other related activity if the Secretary 
determines--
          (1) there is a likelihood of resource damage;
          (2) there would be an unreasonable disruption of the public's 
        use and enjoyment of the site; or
          (3) that the activity poses health or safety risks to the 
        public.
    (e) Use of Proceeds.--(1) All fees collected under this Act shall 
be available for expenditure by the Secretary, without further 
appropriation, in accordance with the formula and purposes established 
for the Recreational Fee Demonstration Program (Public Law 104-134). 
All fees collected shall remain available until expended.
    (2) All costs recovered under this Act shall be available for 
expenditure by the Secretary, without further appropriation, at the 
site where collected. All costs recovered shall remain available until 
expended.
    (f) Processing of Permit Applications.--The Secretary shall 
establish a process to ensure that permit applications for commercial 
filming, still photography, or other activity are responded to in a 
timely manner.

    2. Amend the title so as to read ``An Act to allow the 
Secretary of the Interior and the Secretary of Agriculture to 
establish a fee system for commercial filming activities on 
Federal land, and for other purposes''.

                         purpose of the measure

    The purpose of H.R. 154, as ordered reported, is to 
authorize the Secretary of the Interior and the Secretary of 
Agriculture to assess fees for commercial filming activities on 
Federal lands, and to retain the revenues collected in 
accordance with the Recreational Fee Demonstration Program.

                          background and need

    Although commercial filming is allowed on most Federal 
lands, each agency has different policies and authorities. It 
is generally the policy of Federal land management agencies to 
allow photography and filming when consistent with the 
protection and public enjoyment of resources. In addition to 
the entertainment and other values that may be communicated 
using visual information, many of the films produced in parks 
also may carry an environmental and educational message to the 
public.
    National Park Service.--In units of the National Park 
Service manages filming activities to ensure that the natural, 
historical, and cultural resources are protected, and that 
filming should not conflict with the public's normal use of the 
park. Permits are not needed when filming for personal use, for 
media and news events and for commercial still photography 
(unless it involves a product or service advertisement or the 
use of models, sets, or props). The park manager determines if 
a proposed filming or photography activity falls into the 
category of a normal visitor activity, a First Amendment right 
or a special park use requiring a permit.
    While filming conditions may be imposed, the Park Service 
may not reserve the right to approve the script or the film 
produced in the National Park System area as a condition of the 
permit. Under 43 CFR 5.1(a) a bond or cash deposit may be 
required in amounts equal to the estimated cost to the Park 
Service for cleanup or restoration that would be required if 
the permittee failed to meet permit conditions. General 
liability insurance is also required to protect the Park 
Service against claims connected with injury or damage from 
action of the permittee.
    Filming activities authorized by permit are monitored by 
National Park Service employees to assure compliance with the 
terms and conditions of the permit. The Park Service is 
currently prohibited by regulation (43 CFR 5.1(b)) from 
charging a fee for filming within the parks. The National Park 
Service does have the authority to recover costs associated 
with processing permit requests and monitoring a shoot. The 
Park Service is also allowed to accept voluntary contributions, 
though it is prohibited from soliciting them.
    In February 1998, the Park Service solicited public review 
and comment on its revised guideline for filming and 
photography. Fifteen responses were received and a summary of 
those comments was produced in September 1998.
    The National Park Service reviewed the permits issued for 
filming between 1990 and 1997. The report indicated that 16 
park units issued the most permits (about 2800) between 1995 
and 1997. Many of the permits were for small productions; some 
of which were commercial in nature, others of which were 
educational. However, the Park Service does issue a significant 
number of permits to makers of major motion pictures parks and 
have played important roles in many high-grossing films. 
Examples include:
          --White Sands National Monument and Death Valley 
        National Monument were used in the movie ``Star Wars'';
          --The Linville Falls Trail in Blue Ridge Parkway was 
        used for the ambush scene in ``Last of the Mohicans'';
          --``Dances with Wolves'' was filmed in part in the 
        Badlands National Park;
          --``In the Line of Fire'' was filmed at several 
        National Park Service sites throughout the National 
        Capital Region.
    Bureau of Land Management.--The Bureau of Land Management 
(BLM) has authority under 43 CFR 2920 to issue permits for 
filming on public lands. Permits are issued for both commercial 
motion picture filming and still photography. Requests are 
generally handled at the local field level and each of its 
State offices set its own schedules. Three States (California, 
Utah and Nevada) process the vast majority of permits. Most 
permits are for commercials, both print and television, 
although some are for feature length movies and television 
productions. Both rental fees and cost recovery fees are 
charged. For instance, in California the rental fee ranges from 
$250 per day to $600 per day depending upon the number of 
people at the site. About $300,000 in rental fees in collected 
annually and deposited into the general Treasury. Cost recovery 
fees include processing and monitoring; the minimum processing 
fee is $125 with a $50 monitoring fee. However, when extensive 
monitoring is required, cost recovery fees can be substantial. 
The BLM issues approximately 1000 permits per year.
    Forest Service.--The Forest Service has authority under 36 
CFR 251.50 to charge fair market value for filming. It allows 
its regional offices to set schedules. For example, the Pacific 
Southwest Regional Office has set fees up to $600 per day for 
filming in sites in California. Between 1500 and 2000 permits 
are issued each year and between $500,000 and $1 million is 
collected from commercial filming permits. All of the revenue 
is currently returned to the U.S. Treasury and deposited as 
miscellaneous receipts. Permits are not required for still 
photographs except when (1) commercial photographers take 
pictures of public land users with the express purpose of 
selling the photographs; (2) the photography features a 
commercial product; or (3) when the photography would adversely 
impact the public lands. The Administration's Fiscal Year 2000 
Forest Service's legislative proposals include authority for 
the Secretary of Agriculture to retain and expend, without 
further appropriation, commercial filming fee revenues.
    As ordered reported, H.R. 154 will standardize the 
authorities for all Federal land management agencies and allow 
them to retain all fees and costs collected.

                          legislative history

    H.R. 154 was passed by the House of Representatives on 
April 13, 1999 and was referred to the Committee on Energy and 
Natural Resources.
    On March 24, 1999 the Subcommittee on National Parks, 
Historic Preservation and recreation held a hearing on two 
similar, but not identical, bills: S. 338, a bill to provide 
for the collection of fees for the making of motion pictures, 
television productions, and sound tracks in units of the 
Department of the Interior, and for other purposes; and S. 568, 
a bill to allow theDepartment of the Interior and the 
Department of Agriculture to establish a fee system for commercial 
filming activities in a site or resource under their jurisdictions.
    At its business meeting on May 19, 1999, the Committee on 
Energy and Natural Resources ordered H.R. 154, favorably 
reported, as amended.

                        committee recommendation

    The Committee on Energy and Natural Resources, in open 
business session on May 19, 1999, by a unanimous voice vote of 
a quorum present, recommends that the Senate pass H.R. 154, as 
amended as described herein.

                          committee amendment

    During its consideration of H.R. 154 the Committee adopted 
an amendment in the nature of a substitute. As passed by the 
House of Representatives, H.R. 154 would apply to filming 
activities on lands administered by the National Park Service 
and U.S. Fish and Wildlife Service. The Committee amendment 
includes all areas administered by the Secretary of the 
Interior as well as National Forest System lands administered 
by Secretary of Agriculture.
    The amendment directs the Secretary of Agriculture and the 
Secretary of the Interior to require a permit and establish a 
reasonable fee for commercial filming activities or similar 
activities or projects on lands under their respective 
jurisdiction. Fees are to based on specific criteria including 
the number of days of filming activity on Federal lands; the 
size of the crew; and the amount and type of equipment present.
    The amendment directs the Secretaries to recover 
administrative and personnel cost incurred by the United States 
with the permitted activity.
    The amendment further directs the Secretaries to only 
require a permit and fee for still photography if the activity 
takes place where members of the general public are generally 
not allowed or if the activity requires the use of models or 
props.
    The amendment also directs the Secretaries to not permit 
any filming or photography if there is a likelihood of resource 
damage; or if there would be an unreasonable disruption of the 
public's use and enjoyment of the site; and/or the activity 
poses health or safety risks to the public.
    Finally the Secretaries are directed to establish a process 
to ensure that permit applications are responded to in a timely 
manner.
    The title of the bill was amended to include both the 
Secretary of Agriculture and the Secretary of the Interior to 
reflect that the provisions of this legislation would apply to 
all land management agencies under their respective 
jurisdiction.

                      section by section analysis

    Section 1 (a) directs the Secretary of the Interior and the 
Secretary of Agriculture (with respect to lands under their 
jurisdictions) to require a permit and establish a reasonable 
fee for commercial filming activities or similar projects on 
Federal land administered by each Secretary. The fee must 
provide fair return to the United States and be based on the 
following criteria:
          --the number of days the filming or similar project 
        takes place on Federal land under the Secretary's 
        jurisdiction;
          --the size of the crew present on Federal land under 
        the Secretary's jurisdiction;
          --the amount and type of equipment present.
The Secretary may include other factors in determining 
appropriate fees.
    Subsection (b) directs the Secretary (Interior or 
Agriculture, as appropriate) to also collect incurred costs as 
a result of the filming or similar projects, including but not 
limited to administrative and personnel cots. These cost are to 
be in addition to the fee from subsection (a).
    Subsection (c) exempts still photography from permits and 
fees if it takes place where members of the public are 
generally allowed. However, the Secretary may require a permit, 
fee or both if the photography takes place where members of the 
general public are not generally allowed or if additional 
administrative costs or likely. But, the Secretary must require 
a permit and must establish a reasonable fee for still 
photography that uses models or props which are not part of a 
site's natural and cultural resources or administrative 
facilities.
    Subsection (d) directs the Secretary not to permit filming, 
still photography or related activity if the Secretary 
determines there is the likelihood of resource damage or there 
would be an unreasonable disruption of the public's use and 
enjoyment of the site or if the activity poses health or safety 
risks to the public.
    Subsection (e) provides that the fees collected are to be 
available for expenditure by the Secretary, without further 
appropriation, in accordance with the formula and purposes 
established for the Recreational Fee Demonstration Program 
(Public Law 104-134) and are to remain available until 
expended. In addition, all costs recovered are to be available 
for expenditure by the Secretary, without further 
appropriation, and are to remain available until expended.
    Subsection (f) directs the Secretary to establish a process 
to ensure permit applications for commercial filming, still 
photography, or other activity are responded to a timely 
manner.

                   cost and budgetary considerations

    The following estimate of costs of this measure has been 
provided by the Congressional Budget Office:

                                     U.S. Congress,
                               Congressional Budget Office,
                                      Washington, DC, May 26, 1999.
Hon. Frank H. Murkowski,
Chairman, Committee on Energy and Natural Resources, U.S. Senate, 
        Washington, DC.
    Dear Mr. Chairman: The Congressional Budget Office has 
prepared the enclosed cost estimate for H.R. 154, an act to 
allow the Secretary of the Interior and the Secretary of 
Agriculture to establish a fee system for commercial filming 
activities on federal land.
    If you wish further details on this estimate, we will be 
pleased to provide them. The CBO staff contact is Deborah Reis.
            Sincerely,
                                          Barry B. Anderson
                                    (For Dan L. Crippen, Director).
    Enclosure.

               congressional budget office cost estimate

H.R. 154--An act to allow the Secretary of the Interior and the 
        Secretary of Agriculture to establish a fee system for 
        commercial filming activities on federal land

    Summary: H.R. 154 would direct the Secretaries of 
Agriculture and the Interior to establish fees for commercial 
filming conducted on public lands, and would authorize agencies 
within their departments to retain and spend any resulting 
receipts without further appropriation action. The act would 
direct the Secretaries to require permits for filming and to 
establish a schedule of rates, which would be based on factors 
such as the number of persons on site and the duration of 
filming.
    H.R. 154 could affect both the collection and use of 
offsetting receipts; therefore, pay-as-you-go procedures would 
apply. For the most part, any change in offsetting receipts 
would be matched by an equal change in spending, though not 
necessarily in the same fiscal year, resulting in no net impact 
on direct spending. For two agencies, however, there would be a 
small net increase (less than $500,000 annually) in direct 
spending because these agencies would be able to spend receipts 
that they currently must deposit in the U.S. Treasury. CBO 
estimates that in aggregate any increases or decreases in 
offsetting receipts and spending would probably be at most a 
few million dollars a year.
    The act contains no intergovernmental or private-sector 
mandates as defined in the Unfunded Mandates Reform Act (UMRA) 
and would not affect the budgets of state, local, or tribal 
governments.
    Commercial Filming on Public Lands Under Current Law: Under 
current law, the Forest Service (which is in the Department of 
Agriculture) and most land management agencies within the 
Department of the Interior (DOI) already allow commercial 
filming and similar activities on lands they administer. The 
vast majority of films made on these lands are commercials or 
other short-duration projects, such as still photography; only 
a handful made each year are full-length feature films. All of 
the federal land management agencies are allowed to charge some 
fees for filming on public lands, but the rates they are 
allowed to charge, the basis of those charges, and the rules 
governing spending of the resulting proceeds vary widely.
    The Forest Service (which is authorized to set market-value 
rates for filming in national forests) charges up to $600 per 
day for the 1,500 to 2,000 permits it issues annually. The 
Forest Service collected an average of about $400,000 annually 
over the last few years from such fees, which it returned to 
the Treasury. The agency also may charge a $200 application fee 
and may recover other direct costs, if any, and it is presently 
developing regulations to implement such charges under existing 
authority. The Bureau of Land Management (BLM) has authority 
similar to that of the Forest Service and charges between $100 
and $750 per day as a land rental fee. Receipts from rentals 
are returned to the Treasury, but the agency is allowed to 
retain and spend additional fees collected for processing 
applications and for cost reimbursement. In the few instances 
where the agency imposes such additional fees, they range from 
$200 to $1,000 per application. BLM issues between 300 and 400 
applications annually, which CBO estimates earn the federal 
government less than $100,000 a year in total.
    The National Park Service (NPS) and the U.S. Fish and 
Wildlife Service (USFWS) are more limited in their authority to 
charge fees because they may not impose fees that are greater 
than the amounts necessary to cover the cost of processing of 
applications and the direct costs of activities attributable to 
the filming, such as on-site monitoring. After the Forest 
Service, the NPS issues the most filming permits--over 900 for 
each of the last three years. On average over this period, the 
NPS earned $1 million or less per year, or about $1,000 per 
film, which includes application fees and cost reimbursements 
as well as small donations (about $50 per film). All of these 
amounts were retained and spent by the agency. The USFWS, which 
currently issues fewer than 100 permits per year, imposes no 
charge for processing applications or cost recovery.
    Estimated cost to the Federal Government: CBO cannot 
estimate the amount of offsetting receipts that would be earned 
under the new authorities contained in H.R. 154. Nevertheless, 
because this legislation also would allow the agencies to spend 
whatever new receipts are earned, we estimate that enacting 
H.R. 154 would have no significant net impact on the federal 
budget over the next several years. The act would probably 
result in a net increase in spending because it would provide 
new authority for the Forest Service and BLM to retain and use 
receipts they currently return to the Treasury, but CBO 
estimates that this provision would have little effect.
    Impact on the National Park Service.--The major potential 
budgetary impact of the legislation would be on the NPS. But 
the act's effect would depend on many behavioral factors that 
cannot be predicted with confidence, and it is therefore 
difficult to estimate how much the NPS would earn and spend 
under H.R. 154. Based on information provided by that agency, 
we expect that it would most likely follow the fee structure 
used by the Forest Service. It is not clear whether adopting 
this structure would result in any additional receipts. In 
fact, based on the limited information available, it appears 
that the NPS already earns more on commercial filming than the 
Forest Service--on fewer permits. The most likely reason for 
this is the relatively high amounts collected by the NPS as 
cost recovery, probably because filming on NPS sites generally 
requires more monitoring and agency resources. (In contrast, 
the Forest Service seldom provides much on-site assistance.) It 
is also possible that longer, more personnel-intensive films 
are shot at NPS sites or that the agency waives fees less often 
than Forest Service does for educational films.
    The NPS might earn additional receipts under H.R. 154 
because the new authority to charge rates that exceed actual 
costs and to spend funds without appropriation action may 
induce the agency to promote filming at more sites. In 
addition, adopting the Forest Service fee schedule would 
probably result in higher fees on some films made at sites that 
already allow filming because the NPS could add up to $600 per 
day to the amounts it already charges for processing 
applications and recovering other direct costs. It is also 
possible, however, that the agency would lose some collections 
if it raises its fees because the number of films made in park 
units could drop in response. In fact, the agency has indicated 
that it intends to raise certain fees in order to discourage 
overuse of some park units. In either case, CBO does not expect 
the impact on receipts to be great. The most the agency could 
lose is the $1 million that it now collects each year. 
Potential gains could be more, but we estimate that they would 
total no more than a few million dollars a year.
    It is possible that H.R. 154 would have little or no impact 
on NPS filming activities, particularly if other, nonmonetary 
factors do not change. For example, the film industry has 
indicated that an important factor in its choice of filming 
sites is agency cooperation. As a result, many film makers use 
Forest Service or nonfederal lands rather than NPS sites 
because applications are processed more quickly and their 
presence is more readily accepted., Thus, the industry may 
continue to use lands administered by the Forest Service 
(regardless of any rate increases that agency may impose as a 
result of this act) or owned by private parties or other 
governmental entities (some of whom presently charge more than 
any federal agency).
    Impact on Other Federal Agencies.--CBO expects that the act 
would have little effect on the budget of the USFWS because 
that agency, while very likely to charge fees once it has the 
authority to do so, would probably not promote more filming on 
its lands for environmental reasons. We also expect that the 
act would have little impact on BLM, which would be allowed to 
retain receipts from land rentals that currently are returned 
to the Treasury. BLM already charges fees that are close to 
those that the Forest Service now charges or that the NPS would 
charge under the bill. BLM would be unlikely to increase its 
rates under the act because higher fees would be uncompetitive. 
Spending the portion of the $100,000 a year it now returns to 
the Treasury would not have any significant impact. Finally, 
H.R. 154 would probably have no effect on receipts of the 
Forest Service, because the agency already charges value-
related fees for filming and will also be implementing cost-
recovery charges under existing authority. Spending of these 
amounts would have little effect on the budget.
    This estimate is based on information obtained from the 
Association of Independent Commercial Producers, the Motion 
Picture Association, and federal agencies, including DOI, the 
Forest Service, the NPS, BLM, and USFWS.
    Pay-as-you-go considerations: The Balanced Budget and 
Emergency Deficit Control Act sets up pay-as-you-go procedures 
for legislation affecting direct spending or governmental 
receipts (revenues). CBO estimates that the net impact of H.R. 
154 on direct spending would be less than $500,000 a year over 
the next several years.
    Intergovernmental and Private-Sector impact: H.R. 154 
contains no intergovernmental or private-sector mandates as 
defined in UMRA and would not affect the budgets of state, 
local, or tribal governments.
    Previous CBO estimate: On March 19, 1999, CBO prepared a 
cost estimate for H.R. 154 as ordered reported by the House 
Committee on Resources on March 3, 1999. The two versions of 
the bill differ somewhat, but we estimate that neither would 
have a significant budgetary effect.
    Estimate prepared by: Deborah Reise.
    Estimate approved by: Robert A. Sunshine, Deputy Assistant 
Director for Budget Analysis.

                      regulatory impact evaluation

    In compliance with paragraph 11(b) of rule XXVI of the 
Standing Rules of the Senate, the Committee makes the following 
evaluation of the regulatory impact which would be incurred in 
carrying out H.R. 154. The bill is not a regulatory measure in 
the sense of imposing Government-established standards of 
significant economic responsibilities on private individuals 
and businesses.
    No personal information would be collected in administering 
the program. Therefore, there would be no impact on personal 
privacy.
    Little, if any, additional paperwork would result from 
enactment of H.R. 154, as ordered reported.

                        executive communications

    At the Subcommittee hearing a representative from the 
National Park Service testified in support of both S. 338, and 
S. 568. However, the National Park Service deferred to the 
Department of Justice on some unidentified first amendment 
concerns on both S. 338 and S. 568. A copy of the 
administration's testimony at the subcommittee hearing follows:

Statement of Stephen Saunders, Deputy Assistant Secretary for Fish and 
                           Wildlife and Parks

    Mr. Chairman, thank you for the opportunity to present the 
Department of the Interior's views on S. 338, a bill to provide 
for the collection of fees for the making of motion pictures, 
television productions, and soundtracks on units within the 
Department of Interior, and for other purposes and S. 568, a 
bill to provide for commercial filming activities on the 
Department of Interior lands. The Administration is in favor of 
this concept and has supported similar legislation that passed 
the House in the 105th Congress as well as H.R. 154 introduced 
by Representative Hefley in the 106th Congress. However, the 
Department of Justice has identified first amendment concerns 
with S. 568 and S. 338 as currently written. We will defer to 
the Department of Justice on these concerns.
    S. 338 and S. 568 would allow the Secretary of the Interior 
to charge a fee sufficient to provide a fair return to the 
government for filming on all lands administered by the 
Department of the Interior. S. 338 would also repeal the 
present regulations governing the issuance of film permits in 
parks, and refuges. Under existing regulation 43 CFR 5.1(b), 
the National Park Service (NPS), and the U.S. Fish and Wildlife 
Service (FWS) are prohibited from charging fees for the making 
of motion pictures, television productions, or sound tracks on 
NPS or FWS units. The regulation does not prohibit NPS and FWS 
from recovering the costs associated with administering film 
permits.
    Units of the park system, the wildlife refuge system, and 
Bureau of Land Management (BLM) lands have played significant 
roles in many different types of motion picture, television 
productions, and commercial advertisements. Over the past three 
fiscal years, more than 1,000 permits were issued for filming 
on BLM-managed lands. NPS has issued approximately 4,500 
filming permits during this time. Many of the permits issued by 
NPS, BLM, and FWS are for small productions, some of which are 
commercial in nature, others of which are educational. However, 
a significant number of permits are issued to makers of major 
television and motion picture productions.
    Although parks and refuges were created to conserve and 
protect natural resources and wildlife, they have played 
important roles in many films with high grossing revenues. The 
400-years-old fortification known as ``El Morro'' in the San 
Juan National Historic Site was used in the movie ``Amistad'' 
to depict a slave-trading market; the white sands of White 
Sands National Monument were used in the movie ``Star Wars'' to 
depict an otherworldly landscape; and the Linville Falls Trail 
in Blue Ridge Parkway was used for the ambush scene in ``Last 
of the Mohicans.'' These are but a few of the hundreds of 
memorable films that have been made in national parks over the 
years. The list includes ``Dance with Wolves,'' filmed in part 
in Badlands National Park, ``The Deer Hunter,'' made in part in 
Lake Chelan National Recreation Area, and ``In the Line of 
Fire,'' filmed at several NPS sites throughout the National 
Capital Region. FWS units have also playedhost to memorable 
motion pictures. The exciting chase scene at the opening of ``The 
Raiders of the Lost Ark,'' with Harrison Ford was filmed in Hanalei and 
Huleia National Wildlife Refuges. The movie ``Uncommon Valor,'' a story 
about a Vietnam War veteran, was filmed in part at the same refuges in 
Hawaii. Recently, filming of the movie ``Random Hearts'' with Harrison 
Ford occurred in part at Patuxent Research Refuge in Maryland.
    It is often the unique nature of public lands that attracts 
filmmakers. In some cases, public lands may be the only option 
for a filmmaker whose story is inextricably tied to something 
that may only exist on public lands. We believe the public has 
the right to be compensated for the commercial use of this 
uniqueness.
    The BLM filming policy is governed by the 43 CFR 2920 
regulations, which allows the agency to recover its costs for 
processing and monitoring permits and to charge fair market 
value for filming. Cost recovery can be substantial on major 
productions. The BLM allows each of its state offices to set 
their own fee schedules based on market values of filming 
activities on other lands. The California office, for instance, 
will charge up to $600 per day per location for the use of its 
public lands for filming. The BLM's fee schedule does not 
appear to be a deterrent for filming on the public lands 
managed by BLM, as these lands have been used as sites for such 
films as ``The Horse Whisperer,'' ``The River Wild,'' and 
``Maverick.''
    Other land-owning governmental entities charge even higher 
fees than our sisters federal agencies. The Navajo Nation, for 
instance, charges up to $2,000 a day for the use of Monument 
Valley, the site of many memorable films. Similarly, the city 
of Beverly Hills in California charges fees that exceed $2,000 
per day for filming in its city parks.
    NPS and FWS are also concerned that their inability to 
charge fees may be attracting filmmakers to Department lands 
and facilities who would otherwise seek alternative locations 
if fees were charged for the use of Department lands and 
facilities. The mission of NPS and FWS is to protect natural 
and cultural resources and wildlife. These agencies were not 
set up to attract filming business. Yet, by prohibiting these 
agencies from establishing fees the present regulations make 
these public lands more attractive to filmmakers whose films 
could also be made on other governmental or tribal lands.
    The authority given to the Secretary in S. 338 and S. 568 
would allow the Secretary to establish a schedule of rates for 
fees based on such factors as the number of people on site, 
duration of activities, the use of ``special use'' areas 
including wilderness, and any surface disturbances authorized 
under a permit. Both bills allow for fees to be remitted to a 
special account in the Treasury and to be available to the 
Secretary. S. 338 would allow the fees collected for filming on 
Interior public lands and facilities to be distributed in an 
eighty/twenty split. Eighty percent of the fees in the account 
would go back to the park, refuge unit, or BLM office that 
generated the fees. Twenty percent of these fees would be 
available for distribution through the region where the fee was 
collected. S. 568 would allow the park, refuge unit, or BLM 
office to retain one hundred percent of the filming fees 
collected to be used for visitor services or resource 
management projects and programs. We support fees being 
retained by the agencies and would like to work with the 
committee on the appropriate formula for distribution of these 
fees.
    Subsection (b)(4)(B) of S. 338 would require each 
individual under the permit to pay the regular entrance fee 
into the park, refuge unit or BLM office. Under current 
regulations, we do not charge an entrance fee for commercial or 
other activities unrelated to recreation. By definition filming 
in a park, refuge unit, or BLM office would be under the 
category of a non-recreational visit and therefore would not be 
subject to an entrance fee. We recommend changing this 
subsection in the legislation to conform to our current 
regulations.
    Subsection (b)(4)(e) of S. 388 sets up a civil penalty 
schedule for a violation of the act. The Department of the 
Interior has the authority under current laws and regulations 
to prosecute anyone who violates this Act. Since we would use 
these existing laws and regulations, there is no need for this 
subsection of S. 338.
    The Department is extremely supportive of the goals of S. 
338 and S. 568. The public deserves to receive a fair return 
for the use of Department lands and facilities that play an 
important role in motion pictures, television productions, and 
soundtracks. The public will also benefit from a fee 
distribution system that would allow each land management 
agency to retain the fees generated under these permits. We are 
confident that S. 338 and S. 568 would accomplish this goal 
without compromising the Department's primary mission of 
protecting the resources under its care. Thank you for this 
opportunity to testify. I would be happy to answer any of your 
questions.

                        changes in existing law

    In compliance with paragraph 12 of rule XXVI of the 
Standing Rules of the Senate, the Committee notes that no 
changes in existing law are made by H.R. 154, as ordered 
reported.

                                  
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