[House Report 111-513]
[From the U.S. Government Publishing Office]
111th Congress Report
HOUSE OF REPRESENTATIVES
2d Session 111-513
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FOUNTAINHEAD PROPERTY LAND TRANSFER ACT
_______
June 28, 2010.--Committed to the Committee of the Whole House on the
State of the Union and ordered to be printed
_______
Mr. Rahall, from the Committee on Natural Resources, submitted the
following
R E P O R T
[To accompany H.R. 1554]
[Including cost estimate of the Congressional Budget Office]
The Committee on Natural Resources, to whom was referred the
bill (H.R. 1554) to take certain property in McIntosh County,
Oklahoma, into trust for the benefit of the Muscogee (Creek)
Nation, and for other purposes, having considered the same,
report favorably thereon with an amendment and recommend that
the bill as amended do pass.
The amendment is as follows:
Strike all after the enacting clause and insert the
following:
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Fountainhead Property Land Transfer
Act''.
SEC. 2. TRANSFER OF LAND; LAND INTO TRUST.
(a) In General.--Immediately after completion of the survey required
under subsection (b), the receipt of consideration and costs required
under subsection (c), and satisfaction of all terms specified by the
Secretary and the Secretary of the Army under subsection (d),
administrative jurisdiction of the Property shall be transferred from
the Secretary of the Army to the Secretary and the Secretary shall take
the Property into trust for the benefit of the Tribe.
(b) Survey.--The exact acreage and legal description of the Property
shall be determined by a survey satisfactory to the Secretary and the
Secretary of the Army.
(c) Consideration; Costs.--The Tribe shall pay--
(1) to the Secretary of the Army fair market value of the
Property, as determined by the Secretary of the Army; and
(2) all costs and administrative expenses associated with the
transfer of administrative jurisdiction of the Property and
taking the Property into trust pursuant to subsection (a),
including costs of the survey provided for in subsection (b)
and any environmental remediation.
(d) Other Terms and Conditions.--The transfer of administrative
jurisdiction of the Property and taking the Property into trust shall
be subject to such other terms and conditions as the Secretary and the
Secretary of the Army consider appropriate to protect the interests of
the United States, including reservation of flowage easements
consistent with the Acquisition Guide Line for Flowage Easement for the
Lake Eufaula project and other applicable policies for that project.
(e) Definitions.--For the purposes of this section:
(1) Property.--The term ``Property'' means, subject to valid
existing rights, all right, title, and interest of the United
States in and to the Federal land generally described as the
approximately 18 acres of Federal land located in McIntosh
County, Oklahoma, within the boundary of the Muscogee (Creek)
Nation and located in Northwest Quarter of Section 3, Township
10 North, Range 16 East, McIntosh County, Oklahoma, at Lake
Eufaula.
(2) Secretary.--The term ``Secretary'' means the Secretary of
the Interior.
(3) Tribe.--The term ``Tribe'' means the Muscogee (Creek)
Nation.
(f) Gaming.--Gaming pursuant to the Indian Gaming Regulatory Act (25
U.S.C. 2701 et seq.) may not be conducted on the Property, except as
provided under section 20(b)(1)(A) of the Indian Gaming Regulatory Act
(25 U.S.C. 2719(b)(1)(A)), notwithstanding the exception contained in
section 20(a)(2) of that Act (25 U.S.C. 2719(a)(2)).
PURPOSE OF THE BILL
The purpose of H.R. 1554 is to take certain property in
McIntosh County, Oklahoma, into trust for the benefit of the
Muscogee (Creek) Nation, and for other purposes.
BACKGROUND AND NEED FOR LEGISLATION
The Muscogee (Creek) Nation has over 69,000 enrolled
citizens and is headquartered in east-central Oklahoma. As part
of their effort to create a resort hotel and casino near Lake
Eufaula, the Nation purchased the Fountainhead Lodge and 48
surrounding acres through a foreclosure auction in 2005. This
property included a 188-room hotel, a recreational building,
and some duplex cabins. A lease on 18 acres of land owned by
the U.S. Army Corps of Engineers (Corps) came with the
property.
Once a survey of the purchased property was completed, it
was determined that the recreational building was located
entirely on the Corps' land. In 2006, representatives of the
Creek Nation met with the Corps to discuss development of the
property. The Corps suggested that the Corps transfer ownership
of the leased land to the Creek Nation to assist in its future
development as a resort.
Enactment of H.R. 1554, and approval of their recently
filed trust application for the 48 acres purchased in 2005,
would allow the Nation to move forward with their plans to
build a destination hotel and casino near Lake Eufaula. The
bill provides that provides that after completion of a survey,
the receipt of consideration and costs and satisfaction of
certain terms, the Secretary of the Army shall transfer
administrative jurisdiction of certain property to the
Secretary of the Interior, who shall take the property into
trust for the benefit of the Nation. The legislation requires
the Nation to pay fair market value for the property as well as
all costs related to the transfer. This bill also provides that
gaming may only be conducted on the property pursuant to
section 20(b)(1)(A) of the Indian Gaming Regulatory Act.
COMMITTEE ACTION
H.R. 1554 was introduced by Rep. Dan Boren (D-OK) on March
17, 2009 and was referred to the Committee on Natural
Resources. The Committee held a hearing on H.R. 1554 on April
21, 2010. Mr. George Skibine, Acting Principal Deputy Assistant
Secretary for Indian Affairs, testified in support of this
legislation but expressed concerns with the way the bill was
drafted.
On June 16, 2010 the Committee met to consider H.R. 1554.
Rep. Boren offered an amendment in the nature of a substitute
that provides for the involvement of the Secretary of the Army
in making certain decisions regarding the transfer of lands,
which addressed the drafting concerns expressed by the
Administration. The amendment in the nature of a substitute
also clarifies that gaming is not allowed under Section
20(a)(2) of IGRA, known as the ``Oklahoma exception.'' The
amendment in the nature of a substitute was agreed to by voice
vote. H.R. 1554, as amended, was then favorably reported to the
House of Representatives by voice vote.
COMMITTEE OVERSIGHT FINDINGS AND RECOMMENDATIONS
Regarding clause 2(b)(1) of rule X and clause 3(c)(1) of
rule XIII of the Rules of the House of Representatives, the
Committee on Natural Resources' oversight findings and
recommendations are reflected in the body of this report.
CONSTITUTIONAL AUTHORITY STATEMENT
Article I, section 8 of the Constitution of the United
States grants Congress the authority to enact this bill.
COMPLIANCE WITH HOUSE RULE XIII
1. Cost of Legislation. Clause 3(d)(2) 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 this bill. However, clause 3(d)(3)(B)
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 402 of the
Congressional Budget Act of 1974.
2. Congressional Budget Act. As required by clause 3(c)(2)
of rule XIII of the Rules of the House of Representatives and
section 308(a) of the Congressional Budget Act of 1974, this
bill does not contain any new budget authority, spending
authority, credit authority, or an increase or decrease in
revenues or tax expenditures.
3. General Performance Goals and Objectives. As required by
clause 3(c)(4) of rule XIII, the general performance goal or
objective of this bill is to take certain property in McIntosh
County, Oklahoma, into trust for the benefit of the Muscogee
(Creek) Nation, and for other purposes.
4. Congressional Budget Office Cost Estimate. Under clause
3(c)(3) of rule XIII 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 this bill from the Director of the Congressional Budget
Office:
H.R. 1554--Fountainhead Property Land Transfer Act
H.R. 1554 would transfer 18 acres of land from the Army
Corps of Engineers (the Corps) to the Department of the
Interior (DOI) to be held in trust for the Muscogee Creek
Nation. Based on information from the Corps, CBO estimates that
implementing the legislation would increase offsetting receipts
(a credit against direct spending) by about $2 million.
Under the bill, the Muscogee Creek Nation would pay fair
market value to the Corps for the purchase of 18 acres of land
in Oklahoma, which would be held in trust by DOI. Based on
information from the Corps, CBO estimates that the value of the
affected land is about $2 million. The bill also would require
the tribe to pay all costs associated with transferring
administrative jurisdiction of the land from the Corps to DOI.
According to the Corps, the affected land does not
currently generate any receipts and is not expected to be sold
or generate receipts over the next 10 years. Therefore, CBO
estimates that implementing the legislation would increase
offsetting receipts by about $2 million.
The Statutory Pay-As-You-Go Act of 2010 establishes budget
reporting and enforcement procedures for legislation affecting
direct spending or revenues. H.R. 1554 would increase
offsetting receipts; therefore, pay-as-you-go procedures would
apply. The net budgetary changes that are subject to pay-as-
you-go procedures are shown in the following table.
CBO ESTIMATE OF PAY-AS-YOU-GO EFFECTS FOR H.R. 1554, THE FOUNTAINHEAD PROPERTY LAND TRANSFER ACT, AS ORDERED REPORTED BY THE HOUSE COMMITTEE ON NATURAL
RESOURCES ON JUNE 16, 2010
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By fiscal year, in millions of dollars--
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2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2010-2015 2010-2020
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NET INCREASE OR DECREASE (-) IN THE DEFICIT
Statutory Pay-As-You-Go Impact....................... 0 -2 0 0 0 0 0 0 0 0 0 -2 -2
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H.R. 1554 contains no intergovernmental or private-sector
mandates as defined in the Unfunded Mandates Reform Act and
would impose no costs on state, local, or tribal governments.
The bill would benefit the Muscogee tribe and any costs to the
tribe would be incurred voluntarily.
The CBO staff contact for this estimate is Jeff LaFave. The
estimate was approved by Theresa Gullo, Deputy Assistant
Director for Budget Analysis.
COMPLIANCE WITH PUBLIC LAW 104-4
This bill contains no unfunded mandates.
EARMARK STATEMENT
H.R. 1554 does not contain any congressional earmarks,
limited tax benefits, or limited tariff benefits as defined in
clause 9 of rule XXI.
PREEMPTION OF STATE, LOCAL OR TRIBAL LAW
This bill is not intended to preempt any State, local or
tribal law.
CHANGES IN EXISTING LAW
If enacted, this bill would make no changes in existing
law.