[Senate Report 117-284]
[From the U.S. Government Publishing Office]
Calendar No. 686
117th Congress } { Report
SENATE
2d Session } { 117-284
_______________________________________________________________________
UNIVERSITY OF UTAH REVERSIONARY INTEREST CONVEYANCE
_______
December 20, 2022.--Ordered to be printed
_______
Mr. Manchin, from the Committee on Energy and Natural Resources,
submitted the following
R E P O R T
[To accompany S. 3370]
[Including cost estimate of the Congressional Budget Office]
The Committee on Energy and Natural Resources, to which was
referred the bill (S. 3370), to release the reversionary
interest of the United States in certain non-Federal land in
Salt Lake City, Utah, 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. 3370 is to release the reversionary
interest of the United States in a 593-acre parcel of land in
Salt Lake City, Utah.
BACKGROUND AND NEED
The Recreation and Public Purposes Act (R&PP Act)
authorizes the Secretary of the Interior to convey up to 640
acres of public land to a State, local government, or State
instrumentality for public purposes. (43 U.S.C. 869). Although
the Act does not define the term ``public purpose,'' the
Department of the Interior's regulations implementing the Act
say that it ``means for the purpose of providing facilities or
services for the benefit of the public in connection with . . .
public health, safety or welfare.'' The lands can be used for
commercial or residential purposes only if the use is
``necessary for and integral to,'' and an ``essential part
of,'' the public purpose. (43 C.F.R. 2740.0-5(d)).
The grantee must show ``that the land will be used for an
established or definitely proposed project'' before the land
can be conveyed under the R&PP Act. (43 U.S.C. 869). The
grantee ``may not change the use specified in the conveyance to
another or additional use except, with the consent of the
Secretary'' for other public purposes. ``If at any time after
the lands are conveyed by the Government, . . . the lands are
devoted to a use other than that for which the lands were
conveyed, without the consent of the Secretary, title to the
lands shall revert to the United States.'' (43 U.S.C. 869-2).
The Secretary of the Interior conveyed 593 acres of public
land to the University of Utah under the R&PP Act in 1968. The
patent states that the land was conveyed ``for purposes of
academic expansion of the University of Utah, for an arboretum,
and for highway and utility rights-of-way to serve those
purposes.'' More specifically, the patent required the
University to ``comply with the provisions of [an] approved
management plan of development and management,'' filed with the
Bureau of Land Management in 1968, ``or with any revision
approved by the Secretary. . . .''
The patent further stated that it was ``issued under the
provision that, if . . . the lands are devoted to a use other
than that for which the lands were conveyed, without the
consent of the Secretary of the Interior or his delegate, title
shall revert to the United States.'' Alternatively, the patent
provided that, instead of forfeiting title, the University
could ``pay the United States an amount equal to the difference
between the price paid for the land,'' which was $2.50 per
acre, ``and 50 percent of the fair market value of the patented
lands'' in 1968 plus interest.
The University of Utah established and is currently
operating an academic research park on a large portion of the
patented lands. Although the patent does not specifically
mention a research park, the University's application for the
land and the management plan approved in 1968 ``show that a
research park was one of the uses intended by the University.''
The Acting Secretary of the Interior, Fred Russell,
acknowledged ``that the Department has been fully cognizant of
the intended use of the land for research park purposes'' in a
letter to the University in December 1970. The Acting Secretary
plainly stated that ``the Department approved the University's
development plan and therefore approved such use,'' and ``in
effect, incorporates'' the research park, in effect, by
reference. He also found ``that use of the land for a Research
Park is a valid public purpose. . . .''
``Thus,'' the Acting Secretary concluded, ``we see no
problem with use of the land for the Research Park, provided
that such use is in conformity with the development plan.
Whether any particular phase of development conforms to that
plan is a matter for separate consideration.'' In other words,
while the Department of the Interior approved use of the
patented lands for the research park more than 50 years ago, it
reserved for ``separate consideration'' whether future phases
of development would conform to the approved development plan.
For over 50 years, the University of Utah has built and
operated the research park in the belief that it is in
compliance with the terms of the land conveyance. Recently,
however, the Bureau of Land Management has raised concerns that
activities previously authorized by the Bureau including use of
the land for a research park, and some proposed updates to the
development plan desired by the University, may not be allowed
under the R&PP Act.
S. 3370 would release the reversionary interest of the
United States in the land, thereby vesting fee title in the
University.
LEGISLATIVE HISTORY
S. 3370 was introduced by Senators Lee and Romney on
December 9, 2021. The Subcommittee on Public Lands, Forests,
and Mining held a hearing on S. 3370 on June 7, 2022.
Representative Stewart introduced a companion measure in the
House of Representatives, H.R. 6240. The House Natural
Resources Subcommittee on National Parks, Forests, and Mining
held a hearing on H.R. 6240 on June 23, 2022.
COMMITTEE RECOMMENDATION AND TABULATION OF VOTES
The Senate Committee on Energy and Natural Resources, in
open business session on July 21, 2022, by a majority vote of a
quorum present, recommends that the Senate pass S. 3370.
The roll call vote on reporting the measure was 12 yeas, 8
nays as follows:
YEAS NAYS
Mr. King Mr. Manchin
Mr. Kelly Mr. Wyden
Mr. Barrasso Ms. Cantwell
Mr. Risch Mr. Sanders*
Mr. Lee Mr. Heinrich
Mr. Daines Ms. Hirono
Ms. Murkowski Ms. Cortez Masto*
Mr. Hoeven Mr. Hickenlooper
Mr. Lankford
Mr. Cassidy
Ms. Hyde-Smith
Mr. Marshall
*Indicates vote by proxy.
SUMMARY
S. 3370 releases to the University of Utah, without
consideration, the revisionary interest of the United States in
approximately 593 acres of land located in Salt Lake, Utah.
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, November 21, 2022.
Hon. Joe Manchin,
Chairman, Committee on Energy and Natural Resources,
U.S. Senate, Washington, DC.
Dear Mr. Chairman: The Congressional Budget Office has
prepared the enclosed table summarizing estimated budgetary
effects and mandates information for some of the legislation
that has been ordered reported by the Senate Committee on
Energy and Natural Resources during the 117th Congress.
If you wish further details, we will be pleased to provide
them. The CBO staff contact for each estimate is listed on the
enclosed table.
Sincerely,
Phillip L. Swagel,
Director.
Enclosure.
SUMMARY ESTIMATES OF LEGISLATION ORDERED REPORTED
The Congressional Budget Act of 1974 requires the
Congressional Budget Office, to the extent practicable, to
prepare estimates of the budgetary effects of legislation
ordered reported by Congressional authorizing committees. In
order to provide the Congress with as much information as
possible, the attached table summarizes information about the
estimated direct spending and revenue effects of some of the
legislation that has been ordered reported by the Senate
Committee on Energy and Natural Resources during the 117th
Congress. The legislation listed in this table generally would
have small effects, if any, on direct spending or revenues, CBO
estimates. Where possible, the table also provides information
about the legislation's estimated effects on spending subject
to appropriation and on intergovernmental and private-sector
mandates as defined in the Unfunded Mandates Reform Act.
ESTIMATED BUDGETARY EFFECTS AND MANDATES INFORMATION
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
Increases On-
Spending Subject Pay-As-You-Go Budget
Bill Title Status Last Action Budget Function Direct Spending, Revenues, 2023- to Appropriation, Procedures Deficits Mandates Contact
Number 2023-2032 2032 2023-2027 Apply? Beginning In
2033?
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S. 3370 University of Ordered 07/21/22 300 0 0 Not estimated No No No Lilia
Utah Research reported Ledezma
Park Act
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S. 3370 would release the federal government's reversionary interest on a 593-acre parcel of land commonly called ``Research Park'' to the University of Utah without consideration. CBO
estimates that enacting S. 3370 would not affect direct spending or revenues. CBO has not estimated the discretionary costs of implementing the bill. The bill contains no intergovernmental
or private-sector mandates as defined in the Unfunded Mandates Reform Act.
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. 3370. 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. 3370, as ordered reported.
CONGRESSIONALLY DIRECTED SPENDING
S. 3370, 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 June 7, 2022, hearing on S. 3370 follows:
Statement of Nada Wolff Culver, Deputy Director, Policy & Programs,
Bureau of Land Management, U.S. Department of the Interior
S. 3370, the University of Utah Research Park Act, would
release, without consideration, the Federal government's
reversionary interest in a 593-acre parcel conveyed by patent
to the University of Utah (University) under the R&PP Act.
analysis
The BLM regularly transfers public land to local
governments and nonprofits for a variety of public purposes.
These transfers are typically accomplished under the provisions
of the R&PP Act or through direction supplied through specific
Acts of Congress. The R&PP Act is a statute frequently used by
the BLM to help States, local communities, and nonprofit
organizations obtain lands--at no or low cost--for important
public purposes such as parks, schools, hospitals and other
health facilities, fire and law enforcement facilities,
courthouses, social services facilities, and public works.
Because these public purpose lands are conveyed at far
below market value, R&PP Act conveyances and many similar
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 consistently required
the payment of fair market value for the reversionary interest,
in accordance with FLPMA requirements for disposal of lands or
interests in land.
In the 1930s, the U.S. Department of the Army
decommissioned Fort Douglas near Salt Lake City, Utah, and
transferred ownership of this property to the Department. On
October 18, 1968, the BLM issued to the University a R&PP
patent, numbered 43-99-0012, ``for purposes of academic
expansion of the University of Utah, in Salt Lake City Utah,
for an arboretum, and for highway and utility rights-of-way to
serve those purposes.'' Today, the lands identified in S.3370--
commonly referred to as ``Research Park''--contains a complex
of technology, education, and medical buildings, among other
uses. Over the years, the University has approached the BLM to
request additional uses on the property, which in some cases
were for uses not allowed under the R&PP Act.
FLPMA, which is the authority under which the BLM generally
disposes of public land or interests without limit, requires
receipt of fair market value for public lands or interests
transferred out of public ownership. This serves to ensure that
taxpayers are fairly compensated for the conveyance of public
lands or interests out of Federal ownership. The BLM supports
the bill's goal of conveying the reversionary interest in this
parcel to the University. As with previous such proposals, we
recommend amending S. 3370 to ensure the payment of fair market
value for the reversionary interest. However, the Department
recognizes that there may be circumstances, as determined by
Congress, in which the public benefits of a proposed transfer
outweigh financial considerations.
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 bill as ordered
reported.
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