[Senate Report 109-313]
[From the U.S. Government Publishing Office]
Calendar No. 556
109th Congress Report
SENATE
2d Session 109-313
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HOLLOMAN AIR FORCE BASE LAND EXCHANGE ACT
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July 31, 2006.--Ordered to be printed
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Mr. Domenici, from the Committee on Energy and Natural Resources,
submitted the following
R E P O R T
[To accompany H.R. 486]
The Committee on Energy and Natural Resources, to which was
referred the Act (H.R. 486) to provide for a land exchange
involving private land and Bureau of Land Management land in
the vicinity of Holloman Air Force Base, New Mexico, for the
purpose of removing private land from the required safety zone
surrounding munitions storage bunkers at Holloman Air Force
Base, having considered the same, reports favorably thereon
with an amendment and recommends that the Act, as amended, do
pass.
The amendment is as follows:
Strike out all after the enacting clause and insert in lieu
thereof the following:
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Holloman Air Force Base Land Exchange
Act''.
SEC. 2. DEFINITIONS.
In this Act:
(1) Federal land.--The term ``Federal land'' means the land
administered by the Secretary consisting of a total of
approximately 320 acres, as depicted on the map.
(2) Map.--The term ``map'' means the map entitled ``Holloman
AFB Land Exchange'' and dated May 19, 2006.
(3) Non-federal land.--The term ``non-Federal land'' means
the parcel consisting of a total of approximately 241 acres of
land, as depicted on the map, that is--
(A) contiguous to Holloman Air Force Base, New
Mexico; and
(B) located within the required safety zone
surrounding munitions storage bunkers at the
installation.
(4) Owner.--The term ``owner'' means an owner that is able to
convey to the United States clear title to the non-Federal
land.
(5) Secretary.--The term ``Secretary'' means the Secretary of
the Interior.
SEC. 3. LAND EXCHANGE.
(a) In General.--If the owner submits to the Secretary a request to
exchange the non-Federal land for the Federal land or a portion of the
Federal land, the Secretary shall convey to the owner all right, title,
and interest of the United States in and to the Federal land or the
applicable portion of the Federal land.
(b) Consideration.--As consideration for the conveyance of the
Federal land under subsection (a), the owner shall convey to the United
States all right, title, and interest of the owner in and to the non-
Federal land.
(c) Addition to Military Reservation.--On acquisition of the non-
Federal land by the Secretary, the Secretary shall--
(1) assume jurisdiction over the non-Federal land; and
(2) amend the withdrawal for the Holloman Air Force Base to
include the non-Federal land.
(d) Interests Included in Exchange.--Subject to valid existing
rights, the land exchange under this Act shall include the conveyance
of all surface, subsurface, mineral, and water rights to the Federal
land and non-Federal land exchanged.
(e) Compliance With Federal Land Policy and Management Act.--
(1) In general.--Except as provided in paragraph (2), the
Secretary shall carry out the land exchange under this section
in accordance with section 206 of the Federal Land Policy and
Management Act of 1976 (43 U.S.C. 1716).
(2) Cash equalization.--Notwithstanding section 206(b) of the
Federal Land Policy and Management Act of 1976 (43 U.S.C.
1716(b)), a cash equalization payment may be made in excess of
25 percent of the appraised value of the Federal land.
(f) No Amendment to Management Plan Required.--The exchange of
Federal land and non-Federal land shall not require an amendment to the
White Sands Resource Management Plan.
(g) Disposition and Use of Proceeds.--
(1) Disposition of proceeds.--The Secretary shall deposit any
cash equalization payments received under this Act in the
Federal Land Disposal Account established under section 206(a)
of the Federal Land Transaction Facilitation Act (43 U.S.C.
2305(a)).
(2) Use of proceeds.--Amounts deposited under paragraph (1)
shall be expended in accordance with section 206(c) of the
Federal Land Transaction Facilitation Act (43 U.S.C. 2305(c)).
(h) Additional Terms and Conditions.--The Secretary may require any
additional terms and conditions for the land exchange that the
Secretary considers to be appropriate to protect the interests of the
United States.
PURPOSE OF THE MEASURE
The purpose of H.R. 486 is to provide for a land exchange
involving private land and Bureau of Land Management land in
the vicinity of Holloman Air Force Base, New Mexico, for the
purpose of removing private land from the required safety zone
surrounding munitions storage bunkers at Holloman Air Force
Base.
BACKGROUND AND NEED
In the mid 1990's, Holloman Air Force Base (Holloman) began
increased training operations with the German Air Force. Those
operations necessitated increased use of a munitions storage
area (``MSA'') and triggered a new safety review of the area in
1997. That review resulted in a recommendation that the
explosive clear zone (``ECZ'') surrounding the MSA be expanded.
Since this zone encroached on neighboring private property,
Holloman needed to secure restrictive easements or ownership of
the lands in order to meet their safety regulations with regard
to the MSA.
Without an explosive clear zone, Holloman is unable to use
the entire designed capacity of the bunker. This directly
affects the ability of Holloman Air Force Base to meet fully
its mission.
Though Holloman was able to negotiate several restrictive
easements on private lands within the ECZ, they were unable to
come to agreement on the lands identified in this bill. This
bill resolves the issue to the satisfaction of both parties and
allows Holloman to secure the full safety zone required.
LEGISLATIVE HISTORY
H.R. 486 was introduced by Representative Pearce on
February 1, 2005. The House of Representatives passed H.R. 486
by a voice vote on March 14, 2005. The Subcommittee on Public
Lands and Forests held a hearing on H.R. 486 on May 5, 2005. At
the business meeting on May 24, 2006, the Committee on Energy
and Natural Resources ordered H.R. 486 favorably reported with
an amendment. H.R. 4808, a similar bill, was introduced during
the 108th Congress by Representative Pearce and passed the
House of Representatives on September 28, 2004, by voice vote.
Similar language was included in the Senate as an amendment to
H.R. 620 which passed the Senate on December 7, 2004.
COMMITTEE RECOMMENDATION
The Committee on Energy and Natural Resources, in open
business session on May 24, 2006, by a unanimous voice vote of
a quorum present recommends that the Senate pass H.R. 486, if
amended as described herein.
COMMITTEE AMENDMENT
During its consideration of H.R. 486, the Committee adopted
an amendment in the nature of a substitute. The amendment
captures the intent of the original bill, clarifies where
receipts are deposited, and makes other changes recommended by
the Department of the Interior.
SECTION-BY-SECTION ANALYSIS
Section 1 and 2 provides the short title and defines key
terms used in the bill.
Section 3(a) directs the Secretary of the Interior to
exchange all right, title, and interest of the United States in
certain Federal lands in New Mexico for certain non-Federal
lands if requested by the owner of the non-Federal lands.
Subsection (b) directs the owner, in exchange for such
conveyance, to convey to the United States all right, title,
and interest in the non-Federal land.
Subsection (c) directs the Secretary to assume jurisdiction
over the non-Federal land and to amend the withdrawal for
Holloman Air Force Base to include the non-Federal land.
Subsection (d) provides that the interests included in the
exchange are subject to valid existing rights and shall
comprise all surface, subsurface, mineral and water rights in
the lands.
Subsection (e) requires the Secretary to carry out the land
exchanges in accordance with the Federal Land Policy Management
Act of 1976, except that it authorizes a cash equalization
payment to the Government in excess of 25 percent of the
appraised value of the public lands.
Subsection (f) specifies that the exchange shall not
require an amendment to the White Sands Resource Management
Plan.
Subsection (g) directs that cash equalization payments to
be deposited and used in accordance with the Federal Land
Transaction Facilitation Act (43 U.S.C. 2305(c)).
Subsection (e) provides the Secretary discretion to include
additional terms and conditions to protect the interests of the
United States.
COST AND BUDGETARY CONSIDERATIONS
The following estimate of the cost of this measure has been
provided by the Congressional Budget Office:
H.R. 486--Holloman Air Force Base Land Exchange Act
H.R. 486 would provide for an exchange of federal and
private land near Holloman Air Force Base in New Mexico. CBO
estimates that implementing the act would increase offsetting
receipts and associated direct spending, but we expect that
these effects would offset each other over the next few years.
Enacting H.R. 486 would not affect revenues.
H.R. 486 contains no intergovernmental or private-sector
mandates as defined in the Unfunded Mandates Reform Act and
would not significantly affect the budgets of state, local, or
tribal governments.
H.R. 486 would direct the Secretary of the Interior to
convey 320 acres of federal land and associated interests in
New Mexico to private landowners. In exchange, those landowners
would convey 241 acres of land and interests to the Secretary.
The act would provide that the exchange would be carried out
under the Federal Land Policy and Management Act of 1976
(FLPMA), which requires that cash payments be made to equalize
the value of the two properties. In contrast with FLPMA,
however, H.R. 486 would allow such payments to exceed 25
percent of the value of the federal property. Any payment
received by the federal government would be deposited into
BLM's federal land disposal account and would be available,
without further appropriation, to acquire land in New Mexico.
Based on recent land sales near Holloman and the relative
size of the two parcels of land to be exchanged under the bill,
CBO estimates that the Bureau of Land Management (BLM) would
receive a cash equalization payment of about $2 million in
fiscal year 2007. We estimate that BLM would spend this amount,
without further appropriation, over the next few years to
acquire other New Mexico lands for the Department of the
Interior.
CBO expects that other budgetary effects of the bill would
be minimal. According to BLM, the property to be conveyed by
the federal government generates no significant offsetting
receipts (a credit against direct spending) and is not expected
to do so over the next 10 years.
Also, we estimate that administrative costs related to the
exchange, which would be subject to the availability of
appropriated funds, would be less than $200,000. Those costs
would include upfront appraisal and mapping expenses as well as
ongoing costs to manage newly acquired land.
The CBO staff contact for this estimate is Deborah Reis.
This estimate was approved by Peter H. Fontaine, 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. 486. The bill is not a regulatory measure in
the sense of imposing Government-established standards or
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 the
enactment of H.R. 486.
EXECUTIVE COMMUNICATIONS
The views of the Administration were included in testimony
provided by the Department of the Interior at the Subcommittee
hearing follows:
Statement of Thomas P. Lonnie, Assistant Director, Minerals, Realty and
Resource Protection, Bureau of Land Management, Department of the
Interior
Thank you for the opportunity to present the views of the
U.S. Department of the Interior on H.R. 486, legislation
providing for an exchange of public and private land in the
vicinity of Holloman Air Force Base \1\ in New Mexico. In
previous testimony on similar legislation (H.R. 4808) given in
the 108th Congress, we raised significant concerns, several of
which have been addressed in H.R. 486. One concern previously
identified in our testimony on H.R. 4808 remains outstanding,
and we have identified new concerns described more fully in
this testimony. The Department has significant concerns with
H.R. 486 and could support the bill if our concerns are
addressed.
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\1\ Holloman AFB is in south-central New Mexico, near the town of
Alamogordo in Otero County. Operated by the United States Air Force,
the installation covers nearly 60,000 acres. It is located on lands
withdrawn from the public domain for military purposes under Public
Land Order 833.
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BACKGROUND
As an initial matter, the Department views this as a unique
situation using Bureau of Land Management (BLM) lands and the
provisions of the Federal Land Policy and Management Act
(FLPMA) of 1976 (P.L. 94-579) to resolve this issue involving
the military's need for private lands in Otero County, New
Mexico. Given this, we do not expect this matter to serve as
precedent for future BLM land exchanges.
Approximately 241 acres of the Mesa Verde Ranch, owned by
Randall, Jeffrey, and Timothy Rabon, are situated within the
explosive safety zone surrounding a Munitions Storage Area at
Holloman AFB. The safety zone for the Munitions Storage Area
was previously included in easements immediately adjacent to
the eastern boundary of the base, but several of the safety
zone easements have terminated. To secure the safety zone
around the Munitions Storage Area, Holloman AFB considered
acquiring the Rabons' 241 acres through acquisition, land
trade, conservation easement, or condemnation. Acting on behalf
of Holloman AFB, the U.S. Army Corps of Engineers offered to
buy the 241 acres from the Rabons. However, the parties failed
to reach agreement on a purchase price.
On December 29, 2003, the Rabons submitted a land exchange
proposal to the BLM under which they would convey the 241 acres
to Holloman AFB in exchange for BLM conveying to them certain
inholdings--parcels of BLM-managed public land located within
the Rabons' ranch. On July 9, 2004, H.R. 4808 was introduced,
which directed the exchange of the Rabons' 241 acres for
parcels of BLM-managed public land located within the Mesa
Verde Ranch (the same parcels identified in the Rabons'
proposal to the BLM of December 29, 2003). At a September 14,
2004, hearing of the House Resources Subcommittee on National
Parks, Recreation, and Public Lands, the BLM testified that it
had significant concerns with H.R. 4808. The legislation was
not enacted. In the meantime, the military still has been
unable to reach agreement with the Rabons on a price at which
Holloman AFB could purchase the land.
H.R. 486
Under H.R. 486, the Rabons would convey to the United
States three parcels of private land, totaling approximately
241 acres, contiguous to Holloman AFB and located within the
required safety zone surrounding munitions storage bunkers at
the base. H.R. 486 directs the Secretary of the Interior
(Secretary) to convey to the Rabons approximately 320-acres of
public domain land currently managed by the BLM in the state of
New Mexico. As distinguished from the BLM parcels identified in
H.R. 4808 in the last Congress, the 320-acre parcel of public
land which the Secretary is directed to convey to the Rabons
under H.R. 486 is not located within the boundaries of the Mesa
Verde Ranch; rather, it is located near the southern portion of
the city of Alamogordo, New Mexico, and has been identified for
retention under the BLM's land use planning process.
H.R. 486 directs the Secretary to carry out the exchange in
the manner provided in section 206 [``Exchanges''] of the
Federal Land Policy and Management Act (FLPMA) of 1976 (P.L.
94-579), but waives the provision in section 206(b) which
limits the amount of cash that may be paid to equalize exchange
values of the Federal land conveyed.
We commend the bill's sponsor for addressing in H.R. 486
several of the concerns we previously raised in testimony on
H.R. 4808. Specifically:
In response to our concern that H.R. 4808
should specify which acres of public land and
privately-owned lands are intended for the exchange,
H.R. 486 provides a precise description of the lands to
be involved in the exchange.
We asked for the opportunity to develop a
map to portray accurately the exchange proposed in H.R.
4808, and to include reference to the map in the
legislation. Subsequent to the September 14, 2004,
hearing on H.R. 4808, the Rabons selected different
parcels of public land they wished to acquire. The BLM
developed a map, which is referenced in section 1(a) of
H.R. 486. We note that the bill should be amended to
reflect the name of the map as ``Alamogordo Rabon
Exchange''.
We objected to the provision in H.R. 4808
that would have deducted the Rabons' previous expenses
(incurred in their response to the military's efforts
to purchase the 241 acres) from any cash equalization
payment due to the Federal government as contrary to
the public interest. This provision does not appear in
H.R. 486.
In response to our assertion that it was
important that lands involved in the proposed exchange
be of equal value based upon appraisals prepared in
accordance with the Uniform Appraisal Standards for
Federal Land Acquisition, H.R. 486 directs the
Secretary to carry out the exchange in the manner
provided in section 206 of FLPMA. This will assure that
the appraisals will comply with Federal appraisal
standards and the U.S. Department of Justice Uniform
Standards for Federal Land Acquisition.
CONCERNS WITH H.R. 486
One provision in H.R. 486 remains unchanged from H.R. 4808.
We testified as to our concern with this provision at the
September 14, 2004, hearing on H.R. 4808. We continue to have
concerns with this provision.
Specifically, as in H.R. 4808, H.R. 486 requires the
Secretary of the Interior to assume administrative jurisdiction
over the 241-acre parcel to be conveyed by the Rabons. As
stated in our testimony on H.R. 4808, this acquired land should
not be placed under the administrative jurisdiction of the
Secretary of the Interior. The Federal government's sole
purpose in acquiring this 241-acre parcel is for the protection
of military interests at Holloman AFB. The acquired land should
therefore be withdrawn to the Secretary of the Army for that
purpose and included within existing Public Land Order 833.
H.R. 486 directs the Secretary to carry out the land
exchange in the manner provided in section 206 of FLPMA. Under
section 206, lands proposed for exchange with the United States
government must be of equal value with the lands to be conveyed
out of Federal ownership. If lands proposed for an exchange are
not of equal value, subsection (b) of section 206 provides for
a cash payment to be made by either the government or the
private-property owner, as appropriate, in order to equalize
the values of the lands involved in the exchange, provided the
payment amount does not exceed 25 percent of the total value of
the lands transferred out of Federal ownership.
H.R. 486 [section 1(d)(1)] waives the 25 percent limitation
in section 206(b) of FLPMA. The effect of this provision in
H.R. 486 is that the dollar amount of any cash payment to
equalize the values in this exchange would not be limited. This
is inconsistent with the section 206 FLPMA process. In
addition, generally an exchange proponent is responsible for
paying appraisal costs. If the legislation requires the
government to pay this cost, funds should be provided for this
purpose.
We would like to work with the Committee to address these
concerns.
Thank you again for the opportunity to testify on H.R. 486.
I would be glad to answer any 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 the Act H.R. 486, as
ordered reported.