[Senate Report 115-409]
[From the U.S. Government Publishing Office]
Calendar No. 708
115th Congress } { Report
SENATE
2d Session } { 115-409
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PERSHING COUNTY ECONOMIC DEVELOPMENT AND CONSERVATION ACT
_______
December 4, 2018.--Ordered to be printed
_______
Ms. Murkowski, from the Committee on Energy and Natural Resources,
submitted the following
R E P O R T
[To accompany S. 414]
[Including cost estimate of the Congressional Budget Office]
The Committee on Energy and Natural Resources, to which was
referred the bill (S. 414) to promote conservation, improve
public land management, and provide for sensible development in
Pershing County, Nevada, and for other purposes, having
considered the same, reports favorably thereon without
amendment and recommends that the bill do pass.
PURPOSE
The purpose of S. 414 is to promote conservation, improve
public land management, and provide for sensible development in
Pershing County, Nevada.
BACKGROUND AND NEED
When work began on the transcontinental railroad in 1863,
the Federal government granted railroad companies with
ownership of every other square mile of land across the West,
while retaining ownership of the squares of land in between.
The land grants allowed railroad companies to pay for
construction of the transcontinental railroad by selling their
sections. The resulting checkerboard land ownership pattern
still stretches across the northern portion of the State of
Nevada in a broad band along the I-80 west corridor within
Pershing County (County).
In Pershing County more than 75 percent (nearly 2.9 million
acres) of the land is owned by the United States and
administered by the Bureau of Land Management (BLM). BLM
manages the public land for multiples uses, including mineral
development, livestock grazing, recreation, and conservation.
The checkerboard ownership pattern that persists today presents
significant land management challenges for the County and BLM.
For more than a decade, Pershing County has sought to resolve
the status of checkerboard lands, wilderness study areas, and
other public land management challenges.
LEGISLATIVE HISTORY
S. 414 was introduced on February 16, 2017, by Senators
Heller and Cortez Masto. The Subcommittee on Public Lands,
Forests, and Mining, held a hearing on S. 414 on February 7,
2018.
Similar legislation, H.R. 1107, was introduced in the House
of Representatives by Representative Amodei on February 16,
2017, and referred Natural Resources Committee. The Natural
Resources Committee reported H.R. 1107 on September 28, 2017
(H. Rept. 115-336), and the legislation was agreed to, as
amended, by voice vote, in the House of Representatives, on
January 16, 2018. The Subcommittee on Public Lands, Forests,
and Mining held a hearing on H.R. 1107 on February 7, 2018.
In the 114th Congress, similar legislation, S. 3102, was
introduced on June 28, 2016, by Senators Heller and Reid. The
Energy and Natural Resources Committee held a hearing on S.
3102 on September 22, 2016.
Similar legislation, H.R. 5752, was introduced by
Representatives Amodei, Hardy, Heck, and Titus on July 13,
2016, and referred to the Natural Resources Committee.
The Senate Committee on Energy and Natural Resources met in
open business session on October 2, 2018, and ordered S. 414
favorably reported.
COMMITTEE RECOMMENDATION
The Senate Committee on Energy and Natural Resources, in
open business session on October 2, 2018, by a majority voice
vote of a quorum present, recommends that the Senate pass S.
414. Senator Cantwell asked to be recorded as voting no.
SECTION-BY-SECTION ANALYSIS
Section 1. Short title; Table of contents
Section 1 provides the short title and a table of contents.
Section 2. Definitions
Section 2 provides key definitions.
TITLE I--CHECKERBOARD LAND RESOLUTION
Section 101. Findings
Section 101 declares that Congress finds that since the
passage of the Pacific Railway Act, a checkerboard land pattern
of public and private land exists in Pershing County that is
expensive to manage and frustrating for both private landowners
and the Federal Government. This section further finds that
appraisal values of the parcels will be similar, and that
consolidation of the parcels will help the County's tax base
and simplify Federal land management.
Section 102. Definitions
Section 102 provides key definitions for title I.
Section 103. Sale or exchange of eligible land
Subsection (a) directs the Secretary of the Interior
(Secretary), in cooperation with the County, to sell or
exchange eligible land.
Subsection (b) requires the Secretary and County to jointly
select the eligible land.
Subsection (c) requires the County to certify to the
Secretary that qualified bidders will comply with local
planning and zoning laws.
Subsection (d)(1) requires the sale of exchange or eligible
land to be consistent with the Federal Land Policy and
Management Act of 1976 (FLPMA, 43 U.S.C. 1713, 1716(a)(1)) and
conducted through either a competitive sale, for at least fair
market value, or an exchange for private land.
Subsection (d)(2) requires the Secretary to conduct a mass
appraisal of the eligible land to determine whether the likely
value of any parcel exceeds $500 per acre and make the results
public. Such mass appraisal is to occur within one year of the
Act's enactment and every five years thereafter.
Subsection (d)(3) directs the Secretary to exclude any
parcel that is likely valued at more than $500 per acre from
the acre-for-acre exchange. This subsection also authorizes the
Secretary to finalize acre-for-acre exchanges for parcels that
exceed the valuation threshold under certain circumstances.
Subsection (d)(4) requires the Secretary, within one year
of the Act's enactment, to identify Management Priority Areas,
that include greater sage-grouse habitat; are part of a
wildlife corridor or critical habitat; have outdoor recreation
value, public access for hunting, fishing, and other
recreational purposes; have significant cultural, historical,
ecological, or scenic value; or has value for improving Federal
land management. This subsection further clarifies that Federal
management of those lands cannot be changed based solely on
that designation.
Subsection (e) withdraws eligible land from entry and
appropriation under public land and mining laws; location,
entry, and patent under mining laws; and mineral and geothermal
leasing laws. This subsection also lifts the withdrawal upon
sale or exchange of a parcel of eligible land or, for a parcel
that is not sold or exchanged, two years after the parcel was
offered for sale or exchange pursuant to this title.
Subsection (f)(1) requires the Secretary to offer eligible
parcels for sale at least once a year until the limitation is
reached or the County requests a postponement. This subsection
also limits the total acreage of eligible land sold to 150,000
acres.
Subsection (f)(2) requires the Secretary to offer eligible
parcels for exchange, within one year of the identification of
the Management Priority Areas and at least once a year until
the limitation is reached or the County requests a
postponement.
Subsection (f)(3) requires the Secretary, at the County's
request, to postpone or exclude from a sale or exchange all or
a portion of the eligible land.
Section 104. Disposition of proceeds
Subsection (a) requires the proceeds from a land sale under
section 103 or 201 to be disbursed as follows: five percent to
the State for education purposes; 10 percent to the County; and
the remaining 85 percent to the ``Pershing County Special
Account'' in the U.S. Treasury to be used by the Secretary, in
consultation with the County, for specified land management
activities.
Subsection (b) requires the special account established
under subsection (a)(3) to be invested and earn interest.
Subsection (c) requires the Secretary to submit a report to
the County and Committees of jurisdiction every five years on
the operation and use of the special account.
TITLE II--LAND CONVEYANCES AND TRANSFERS
Section 201. Conveyances of covered land
Subsection (a) provides key definitions for this section.
Subsection (b)(1) requires the Secretary, within 180 days
of enactment of this legislation, to offer for sale at the fair
market value, the remaining right, title, and interest in and
to covered land to qualified entities.
Subsection (b)(2) requires the Secretary, within one year
of acceptance of an offer to purchase a parcel of land, to
convey the land to the qualified entity.
Subsection (b)(3) merges any prior interest in the
locatable minerals and the right to use the surface held by a
qualified entity with all right, title, and interest conveyed
by the United States to ensure that the qualified entity
receives fee simple title to the purchased covered land.
Subsection (b)(4) requires the Secretary to determine the
fair market value of the land in accordance with applicable law
and appraisal standards.
Subsection (b)(5) requires the qualified entity to pay all
conveyance-related costs as a condition of the conveyance.
Subsection (b)(6) requires the map to be on file and
publicly available with the BLM.
Subsection (b)(7) authorizes the Secretary, in consultation
with the County, to make minor corrections to the map or
description of covered land.
Subsection (c) requires any proceeds collected under this
section to be disposed of pursuant to section 104.
Subsection (d) terminates the Secretary's authority to
convey covered land 10 years after the Act's enactment.
Section 202. Conveyances of land for use as a public cemetery
Section 202 requires the Secretary to convey, without
consideration, approximately 10 acres of Federal land depicted
on the map as ``Unionville Cemetery'' to the County to be used
as a public cemetery.
TITLE III--WILDERNESS AREAS
Section 301. Additions to the National Wilderness Preservation System
Subsection (a) designates 12,339 acres of BLM land as the
Cain Mountain Wilderness; 24,900 acres of BLM land as the
Bluewing Wilderness; 22,822 acres of BLM land as the Selenite
Peak Wilderness; 11,855 acres of BLM land as the Mount Limbo
Wilderness; 13,875 acres of BLM land as the North Sahwave
Wilderness; 35,339 acres of BLM land as the Grandfathers'
Wilderness; and 14,942 acres of BLM land as the Fencemaker
Wilderness. All land acreage is approximate and depicted on
specified maps.
Subsection (b) requires the boundary of any portion of a
wilderness area to be 100 feet from the centerline of a road,
if bordered by a road.
Subsection (c) requires the Secretary to produce a map of
each new wilderness area and make it publicly available in the
appropriate BLM office. This subsection also authorizes the
Secretary to make technical corrections to the map or legal
description. This subsection further withdraws the designated
wilderness areas from all forms of entry, appropriation, and
disposal under public land laws; location, entry, and patent
under mining laws; and mineral and geothermal leasing or
mineral materials laws.
Section 302. Administration
Subsection (a) requires the Secretaries to manage the new
wilderness areas in accordance with the Wilderness Act (16
U.S.C. 1131 et seq.).
Subsection (b) allows any grazing in the wilderness areas
that exists prior to the Act's enactment, to continue, subject
to certain regulations, policies, and practices.
Subsection (c) makes clear that any land within the
boundaries of the new wilderness areas, if acquired by the
Federal government after the Act's enactment, will be added to
the wilderness area.
Subsection (d) states that Congress does not intend for a
wilderness area designation to create protective perimeters or
buffer zones around the wilderness area. The subsection also
specifies that nonwilderness activities or uses that can be
seen or heard from within the wilderness area are not
precluded.
Subsection (e) makes clear that nothing in this legislation
restricts or precludes military activities in the airspace over
the wilderness areas.
Subsection (f) authorizes the Secretary to take appropriate
action to control fire, insects, and disease in the wilderness
areas.
Subsection (g) authorizes the Secretary to install and
maintain hydrologic, meteorological, and climatological data
collection devices in the wilderness areas.
Subsection (h)(1) finds that wilderness areas are generally
not suitable for the use of development of new water resource
facilities.
Subsection (h)(2) specifies the section's purpose.
Subsection (h)(3) states that nothing in this Act creates
an express or implied reservation of a water rights by the
United States in a wilderness area; affects any State water
rights in existence as of the date of the Act's enactment;
establishes a precedent for future wilderness designations;
affects the interpretation or designation made under any other
Act; or affects an interstate compact of other water
apportionment decree between the State and other States.
Subsection (h)(4) directs the Secretary to proceed pursuant
to Nevada water law to obtain and hold any water rights.
Subsection (h)(5) defines the term ``Water Resource
Facility'' and prohibits the Secretary from developing a new
water resource facility within the wilderness areas.
Subsection (i) authorizes the placement of temporary
telecommunications facilities in the Selenite Peak Wilderness.
Section 303. Wildlife management
Subsection (a) makes clear that the authority of the State
to manage fish and wildlife in the wilderness areas is neither
affected nor diminished.
Subsection (b) authorizes the Secretary to conduct any
necessary management activities to maintain or restore fish and
wildlife populations and their habitat.
Subsection (c) authorizes the State of Nevada to continue
using aircraft to manage sage-grouse and other wildlife in the
wilderness areas.
Subsection (d) directs the Secretary to authorize
structures and facilities for wildlife water development
projects, including wildlife guzzlers, under certain
conditions.
Subsection (e) authorizes the Secretary, if necessary for
public safety, administration, or compliance with certain laws,
to prohibit hunting, trapping, and fishing in the wilderness
areas. The Secretary is required to consult with the
appropriate State agency before taking such action, except in
emergency situations.
Subsection (f) authorizes the State to conduct wildlife
management activities in the wilderness areas in accordance
with the 2003 ``Memorandum of Understanding between the Bureau
of Land Management and the Nevada Department of Wildlife
Supplement No. 9'' and all applicable laws and regulations.
Section 304. Release of wilderness study areas
Section 304 releases from section 603(c) of FLPMA
approximately 48,600 acres of public land in the China
Mountain, Mt. Limbo, Selenite Mountains, Tobin Range, and
Augusta Mountains wilderness study areas that have been
adequately studied and not designated as wilderness. This
section further requires the land to be managed in accordance
with section 202 of FLPMA.
Section 305. Native American cultural and religious areas
Subsection (a) makes clear that nothing in this title
alters or diminishes treaty rights of any Indian Tribe.
Subsection (b) makes clear that the traditional collection
of pine nuts in a wilderness area for personal, noncommercial
use, can continue.
COST AND BUDGETARY CONSIDERATIONS
The following estimate of the costs of this measure has
been provided by the Congressional Budget Office:
S. 414 would establish a process to sell or exchange up to
400,000 acres of federal land administered by the Bureau of
Land Management (BLM) in Pershing County, Nevada, and also
would designate 136,000 acres of other federal lands as
wilderness.
The bill would require BLM to conduct a mass appraisal of
the affected lands. Using information from the Department of
the Interior's Office of Valuation Services, CBO estimates that
conducting the appraisal would cost roughly $1 million; such
spending would be subject to the availability of appropriated
funds.
Title I would direct BLM to work with Pershing County to
jointly select parcels from roughly 300,000 acres of federal
land that would be conveyed to the county through sale or
exchange. Because BLM has already identified those lands for
disposal, CBO expects that any lands conveyed in this region
eventually will be conveyed under current law. Under the bill,
the agency would only be required to sell lands valued at more
than $500 an acre. CBO expects that lands valued at less than
$500 an acre would be exchanged. The bill would authorize the
agency to spend any proceeds from the sale of land, which would
increase direct spending; however, using information from BLM
regarding the amount of similar lands sold state-wide in Nevada
over the last five years (between 1,000 and 3,000 acres) and
the value of those lands (between $100 and $300 an acre), CBO
estimates that any proceeds generated by the sale of the
affected lands and the associated direct spending would be
insignificant over the 2019-2028 period.
Title II would require BLM to offer mining claims covering
roughly 100,000 acres in Pershing County for sale at fair
market value. However, CBO expects that few individuals or
firms would elect to purchase those lands because under current
law they would have the option to patent their mining claims
after December 7, 2018. Mineral patents allow individuals and
firms to acquire title to hardrock minerals and the associated
surface rights under a federal mining claim at below-market
rates. Each year since 1994, the Congress has included
provisions in annual appropriations acts that prohibit BLM from
accepting or processing applications for mineral patents.
Because patents are prohibited only in the year the
appropriations acts are enacted, or the timeframe in which
continuing resolutions are in effect, BLM will be authorized to
issue mineral patents after December 7, 2018; the Congress
would have to extend that prohibition in subsequent
legislation. CBO expects that individuals or firms seeking to
acquire title to federal mining claims generally would opt for
a patent rather than purchase the claims using the process
established under the bill. Thus, CBO estimates that enacting
that provision would have no significant budgetary effect.
Title III would designate 136,000 acres of federal land as
wilderness. Designating federal land as wilderness could have
an effect on the budget if the property generates receipts for
the government and collection of those receipts would end under
the wilderness designation. Because the bill would preserve
existing grazing rights on the affected lands and CBO does not
expect those lands to generate any other proceeds over the next
10 years, we estimate that enacting that provision would have
no effect on the federal budget.
Because enacting S. 414 would affect direct spending, pay-
as-you-go procedures apply; however, CBO estimates that the net
effect on direct spending would not be significant. Enacting
the bill would not affect revenues.
CBO estimates that enacting S. 414 would not increase net
direct spending or on-budget deficits in any of the four
consecutive 10-year periods beginning in 2029.
S. 414 contains no intergovernmental or private-sector
mandates as defined in the Unfunded Mandates Reform Act.
On September 27, 2017, CBO transmitted a cost estimate for
H.R. 1107, the Pershing County Economic Development and
Conservation Act, as ordered reported by the House Committee on
Natural Resources on June 27, 2017. The two pieces of
legislation are similar, and CBO's estimates of their budgetary
effects are the same.
The CBO staff contact for this estimate is Janani
Shankaran. The estimate was reviewed by H. Samuel Papenfuss,
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 S. 414. 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. 414, as ordered reported.
CONGRESSIONALLY DIRECTED SPENDING
S. 414, as ordered 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 the Department of the Interior at
the February 7, 2018, hearing on S. 414 follows:
Statement of Brian Steed, Deputy Director for Policy & Programs, Bureau
of Land Management, U.S. Department of the Interior
Thank you for inviting the Department of the Interior
(Department) to testify on S. 414, the Pershing County Economic
Development and Conservation Act. This bill authorizes public
land sales, exchanges, and conveyances in Pershing County,
Nevada, and designates approximately 136,600 acres of public
lands managed by the Bureau of Land Management (BLM) as seven
new wilderness areas.
Pershing County, located in northwestern Nevada, is home to
nearly 7,000 people and encompasses just over 6,000 square
miles. BLM-managed public lands in this part of Nevada provide
opportunities for economic development and jobs, hunting and
other forms of outdoor recreation, mineral development,
livestock grazing, and conservation.
In 1976, with the passage of the Federal Land Policy and
Management Act (FLPMA), Congress directed the BLM to retain
management of most public lands, thereby reducing the acreage
that had been available for disposal in earlier years. Under
FLPMA, the BLM is directed to sustain the health, diversity,
and productivity of the public lands for the use and enjoyment
of present and future generations. The FLPMA also sets forth
the BLM's multiple-use mission, directing that public lands be
managed for a variety of uses, such as energy development,
livestock grazing, conservation, mining, and recreation.
S. 414 directs Federal land sales, exchanges, and
conveyances in Pershing County, Nevada. The legislation also
designates approximately 136,600 acres of public lands as seven
wilderness areas and releases approximately 48,600 acres of
BLM-managed WSAs from further study.
Title I of S. 414 directs the sale, at fair market value,
or exchange of up to approximately 334,000 acres of BLM-managed
public lands as specified on the legislative map and that have
been identified as potentially suitable for disposal as part of
the land use planning process. Title I requires that all lands
authorized for sale or exchange be appraised en masse within
one year of enactment and every five years thereafter. Any of
these lands with an appraised value of less than $500 per acre
may be exchanged on an acre-for-acre basis with private land in
a Management Priority Area, as identified by the Secretary,
within the area depicted on the legislative map. Land sales
under Title I may not exceed 150,000 acres; exchanges are
exempted from this limitation. The first land sale must be
completed within one year of enactment, with at least one sale
conducted every year thereafter, until the acreage limit for
sales has been reached, or a sale postponement period requested
by the county.
Title II of the bill directs the sale, at fair market value
as determined by an appraisal, of up to approximately 102,000
acres of BLM-managed public lands identified on the legislative
map to a ``qualified entity,'' which is defined in the bill as
the owner or authorized leaseholder of the mining claims, mill
sites, or tunnel sites currently existing on any portion of the
lands to be sold. The qualified entity would assume all costs
of the sales, including survey and administrative costs.
Proceeds from the sales directed by Titles I and II of the
bill would be disbursed to the State of Nevada, Pershing
County, and a special account in the U.S. Treasury for a number
of specific purposes, including reimbursing costs associated
with preparing sales, habitat conservation and restoration, and
securing public access to Federal lands, among others.
Title III of S. 414 designates seven wilderness areas
totaling approximately 136,600 acres. Of these lands,
approximately 55,100 acres are within existing wilderness study
areas (WSAs) and approximately 81,500 acres have not previously
been identified as suitable for wilderness by the BLM. Title
III also releases approximately 48,600 acres from WSA status,
allowing these areas to be managed according to the existing
BLM land use plans. The Department notes that the lands
proposed for wilderness designation by S. 414 generally serve
as habitat for a diversity of plant and animal life and provide
important opportunities for hiking, hunting, rock climbing,
camping, horse packing, and other forms of outdoor recreation
in the Nevada desert.
Only Congress can determine whether to designate WSAs as
wilderness or to release them for other multiple uses. The WSAs
included in the proposed wilderness designations have been
pending final resolution by Congress since 1991.
As a matter of policy, the Department supports the
completion of land exchanges and transfers that further the
public interest, consolidate ownership of scattered tracts of
land to make them more manageable, and advance public policy
objectives. The Department strongly supports restoring full
collaboration and coordination with local communities and
making the Department a better neighbor.
In his confirmation hearing, Secretary Zinke stated to the
Committee that he does not support the wide-scale sale or
transfer of Federal lands. The Department has substantive as
well as minor technical modifications to recommend, and we look
forward to working with the sponsor and the Committee to
resolve these issues. The Department appreciates the work of
Senator Heller on S. 414 and his efforts to promote multiple
uses and foster economic development on BLM lands in Nevada.
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. 414 as ordered reported.
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