[Senate Report 113-289]
[From the U.S. Government Publishing Office]


                                                       Calendar No. 629
113th Congress                                                   Report
                                 SENATE
 2d Session                                                     113-289

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                     ANCHORAGE LAND CONVEYANCE ACT

                                _______
                                

               December 10, 2014.--Ordered to be printed

                                _______
                                

   Ms. Landrieu, from the Committee on Energy and Natural Resources, 
                        submitted the following

                              R E P O R T

                         [To accompany S. 182]

    The Committee on Energy and Natural Resources, to which was 
referred the bill (S. 182) to provide for the unencumbering of 
title to non-Federal land owned by the city of Anchorage, 
Alaska, for the purposes of economic development by conveyance 
of the Federal reversion interest to the City, having 
considered the same, reports favorably thereon with an 
amendment and recommends 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 ``Anchorage Land Conveyance Act of 
2014''.

SEC. 2. CONVEYANCE OF FEDERAL REVERSIONARY INTEREST IN LAND LOCATED IN 
                    ANCHORAGE, ALASKA.

  (a) Definitions.--In this section:
          (1) Municipality.--The term ``Municipality'' means the 
        municipality of Anchorage, Alaska.
          (2) Secretary.--The term ``Secretary'' means the Secretary of 
        the Interior.
  (b) Conveyance Required.--If, during the 1-year period beginning on 
the date of completion of the appraisal required by subsection (d), the 
Municipality submits to the Secretary an offer to acquire the Federal 
reversionary interest in all land described in subsection (c), the 
Secretary shall convey to the Municipality that reversionary interest 
by not later than 30 days after the date of receipt of the offer.
  (c) Description of Land.--The land referred to in subsection (b) is 
described as follows:
          (1) Block 42, Original Townsite of Anchorage, Anchorage 
        Recording District, Third Judicial District, State of Alaska, 
        consisting of approximately 1.93 acres, commonly known as ``The 
        Egan Center'', ``Petrovich Park'', and ``Old City Hall''.
          (2) Lots 9, 10, and 11, Block 66, Original Townsite of 
        Anchorage, Anchorage Recording District, Third Judicial 
        District, State of Alaska, consisting of approximately 0.48 
        acres, commonly known as ``the parking lot at 7th Avenue and I 
        Street''.
          (3) Lot 13, Block 15, Original Townsite of Anchorage, 
        Anchorage Recording District, Third Judicial District, State of 
        Alaska, consisting of approximately 0.24 acres of an unimproved 
        vacant lot located at H Street and Christensen Drive.
  (d) Appraisal.--
          (1) In general.--Subject to paragraph (2), not later than 180 
        days after the date on which the Secretary selects an appraiser 
        that is mutually acceptable to the Secretary and the 
        Municipality under paragraph (2)(A), the Secretary shall 
        complete an appraisal of the Federal reversionary interest in 
        the land described in subsection (c).
          (2) Requirements.--The appraisal under paragraph (1) shall 
        be--
                  (A) conducted by an appraiser that is mutually 
                acceptable to the Secretary and the Municipality; and
                  (B) completed in accordance with the Uniform 
                Appraisal Standards for Federal Land Acquisitions and 
                the Uniform Standards of Professional Appraisal 
                Practice.
  (e) Consideration.--
          (1) In general.--As consideration for conveyance of the 
        Federal reversionary interest under subsection (b), the 
        Municipality shall pay to the Secretary an amount equal to the 
        appraised value of the Federal reversionary interest, as 
        determined by the appraisal under subsection (d).
          (2) Deadline.--The consideration under paragraph (1) shall be 
        paid not later than 30 days after the date of the conveyance.
  (f) Costs of Conveyance.--As a condition of the conveyance of the 
Federal reversionary interest under subsection (b), all costs 
associated with the conveyance, including the cost of the appraisal 
required by subsection (d), shall be paid by the Municipality.

                                PURPOSE

    The purpose of S. 182 is to remove reversionary interests 
on three parcels of land that were originally conveyed by the 
Federal Government to the city of Anchorage, Alaska, to allow 
the City to use the parcels for purposes of economic.

                          BACKGROUND AND NEED

    Between 1922 and 1982, the Bureau of Land Management issued 
title for three parcels of land to the City of Anchorage, with 
a requirement that the lands be used only for public purposes. 
The transfers were done using various administrative 
authorities and also legislative authority from Congress. Each 
of the deeds transferring title to the City of Anchorage 
included a reversionary clause providing that the lands would 
revert to the United States if they were not used for public 
purposes.
    The parcels, all in downtown Anchorage, range in size from 
a quarter-acre to just under two acres, cumulatively totaling 
2.65 acres. The parcels are currently used for a variety of 
public purposes such as the original City Hall, a public park, 
and a city parking facility.
    The City of Anchorage believes that after decades of 
dedicated public use of these properties, the requirement that 
they be used for public purposes has been fulfilled. For 
example, one of the parcels is the 1.93-acre site in downtown 
Anchorage that since the early 1980s has been the site of the 
William A. Egan Convention Center. With the completion of the 
Dena'ina Civic and Convention Center in 2010, the tract is now 
surplus to municipal needs.
    The City of Anchorage is interested in the economic 
development of these parcels of lands and would like to be able 
to sell them commercially, which is prohibited by the 
reversionary interests included in the legislative and 
administrative conveyances.

                          LEGISLATIVE HISTORY

    Senators Murkowski and Begich introduced S. 182 on January 
30, 2013. The Subcommittee on Public Lands, Forests, and Mining 
held a hearing on November 20, 2013 (S. Hrg. 113-342). At its 
business meeting on November 20, 2014, the committee ordered 
the bill favorably reported with an amendment in the nature of 
a substitute.
    Similar legislation, H.R. 585, was introduced by 
Representative Don Young on February 6, 2013. The House 
Subcommittee on Public Lands and Environmental Regulation held 
a hearing on H.R. 585 on June 6, 2013. In the 112th Congress, a 
similar bill, S. 3633, was introduced by Senators Murkowski and 
Begich on November 15, 2013.

                        COMMITTEE RECOMMENDATION

    The Senate Committee on Energy and Natural Resources, in 
open business session on November 13, 2014, by a voice vote of 
a quorum present, recommended that the Senate pass S. 182, if 
amended as described herein.

                          COMMITTEE AMENDMENT

    During its consideration of S. 182, the Committee adopted 
an amendment in the nature of a substitute containing technical 
changes to the bill.

                      SECTION-BY-SECTION ANALYSIS

    Section 1 provides the short title, ``Anchorage Land 
Conveyance Act of 2013.''
    Section 2(a) defines key terms.
    Subsection (b) directs the Secretary of the Interior to 
convey the reversionary interests of the United States in the 
identified three parcels of land to the City of Anchorage.
    Subsection (c) describes the parcels.
    Subsection (d) requires the Secretary to complete an 
appraisal of the reversionary interest.
    Subsection (e) requires the City of Anchorage to pay to the 
Secretary the appraised value of the reversionary interest.
    Subsection (f) requires the City to pay all costs 
associated with the conveyance.

                   COST AND BUDGETARY CONSIDERATIONS

    The Congressional Budget Office estimate of the costs of 
this measure has been requested but was not received at the 
time the report was filed. When the Congressional Budget Office 
completes its cost estimate, it will be posted on the Internet 
at www.cbo.gov.

                      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 S. 182.
    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 S. 353, as ordered reported.

                   CONGRESSIONALLY DIRECTED SPENDING

    S. 182, as reported, does not contain any congressionally 
directed spending items, limited tax benefits, or limited 
tariff benefits as defined in rule XLIV of the Standing Rules 
of the Senate.

                        EXECUTIVE COMMUNICATIONS

    The testimony provided by Steven A. Ellis, Acting Deputy 
Director for the Bureau of Land Management at the November 30, 
2013, Subcommittee on Public Lands, Forests, and Mining hearing 
on S. 182 follows:

 Statement of Steven A. Ellis, Acting Deputy Director, Bureau of Land 
                 Management, Department of the Interior

    Thank you for inviting the Department of the Interior to 
testify on S. 182, the Anchorage Land Conveyance Act. The bill 
provides for the conveyance of the Federal government's 
reversionary interest in three parcels of land in downtown 
Anchorage, Alaska. The Bureau of Land Management (BLM) can 
support S. 182 if amended to ensure the payment of fair market 
value for the conveyance of reversionary interest in these 
parcels to the City of Anchorage, consistent with previous 
legislative proposals.


                               background


    The BLM regularly transfers lands to local governments and 
nonprofits for a variety of public purposes. These are 
typically accomplished under the provisions of the Recreation 
and Public Purposes Act (R&PP) or through direction supplied 
through Acts of Congress. The R&PP Act is an extremely popular 
vehicle utilized by the BLM to help states, local communities, 
and nonprofit organizations obtain at no or low cost lands for 
important public purposes. Examples include parks, schools, 
hospitals and other health facilities, fire and law enforcement 
facilities, courthouses, social services facilities and public 
works. Because these lands are transferred at far below market 
value, R&PP conveyances and many legislated conveyances include 
a reversionary clause requiring that lands be used for public 
purposes or revert to the Federal government. Over the years, 
the BLM has addressed many requests to release the Federal 
government's reversionary interest in such lands and has 
consistently required the payment of fair market value for the 
reversionary interest.
    Between 1922 and 1982, the BLM issued title for three 
parcels of land to the City of Anchorage for public purposes. 
These were done under various authorities both administrative 
and legislatively directed by Congress. Each of the deeds 
transferring title to the City of Anchorage included a 
reversionary clause. At the present time, the parcels are used 
for a variety of purposes including the original City Hall, a 
small public park, a city parking facility and other 
governmental purposes.
    It is our understanding that the City of Anchorage is 
interested in the economic development potential of each of 
these parcels of land and would like to be able to sell them 
commercially, something that is prohibited by the 
administrative and legislative mandates that transferred the 
lands to Anchorage. The parcels, all in downtown Anchorage, 
range in size from a quarter-acre to just under two acres.


                                 s. 182


    S. 182 would convey the remaining reversionary interest of 
the United States in these three parcels of land identified in 
the bill to the City of Anchorage at no cost and requires that 
Anchorage pay all costs associated with the conveyance.
    The BLM supports the goal of conveying the reversionary 
interest on these parcels to the City of Anchorage. As with 
previous such proposals, we recommend amending the legislation 
to ensure the payment of fair market value for the reversionary 
interest and to ensure that the city's acceptance of the 
reversionary interest is voluntary. The value of the 
reversionary interest would be established through an appraisal 
by the Department of the Interior's Office of Valuation 
Services. Upon receiving that appraisal, the city could make a 
decision on purchasing the reversionary interest on any or all 
of the parcels, thus owning the land outright. All costs 
associated with this conveyance, including the appraisal, would 
be the responsibility of the City of Anchorage.
    We note that Section 3(a) contains a broad waiver 
provision, which may be unnecessary. We would like to work with 
the sponsor and the committee to ensure that any barriers to 
completion of the transfer are addressed.


                               conclusion


    Thank you for the opportunity to testify. We look forward 
to working with the sponsor and the Committee to address the 
needs of the City of Anchorage.

                        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 S. 182, as ordered 
reported.