Abandoned Hardrock Mines Reclamation Act of 1997

Summary: Abandoned Hardrock Mines Reclamation Act of 1997 - Sets forth a fee schedule under which a producer of hardrock minerals from a mine that was within a mining claim that has subsequently been patented under the general mining laws must pay the Secretary of the Interior a reclamation fee computed as a specified percentage of net proceeds. 
Establishes the Abandoned Minerals Mine Reclamation Fund, composed of such fees for the reclamation and restoration of land and water resources adversely affected by past minerals activities (other than coal and fluid minerals activities).

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Abandoned Hardrock Mines Reclamation 
Act of 1997''.

SEC. 2. RECLAMATION FEE.

    (a) Reservation of Reclamation Fee.--Any person producing hardrock 
minerals from a mine that was within a mining claim that has 
subsequently been patented under the general mining laws shall pay a 
reclamation fee to the Secretary under this section. The amount of such 
fee shall be equal to a percentage of the net proceeds from such mine. 
The percentage shall be based upon the ratio of the net proceeds to the 
gross proceeds related to such production in accordance with the 
following table:

Net proceeds as percentage of gross Rate of fee as percentage of net 
        proceeds                            proceeds
Less than 10...................................................    2.00
10 or more but less than 18....................................    2.50
18 or more but less than 26....................................    3.00
26 or more but less than 34....................................    3.50
34 or more but less than 42....................................    4.00
42 or more but less than 50....................................    4.50
50 or more.....................................................    5.00
    (b) Exemption.--Gross proceeds of less than $500,000 from minerals 
produced in any calendar year shall be exempt from the reclamation fee 
under this section for that year if such proceeds are from one or more 
mines located in a single patented claim or on two or more contiguous 
patented claims.
    (c) Payment.--The amount of all fees payable under this section for 
any calendar year shall be paid to the Secretary within 60 days after 
the end of such year.
    (d) Disbursement of Revenues.--The receipts from the fee collected 
under this section shall be paid into an Abandoned Minerals Mine 
Reclamation Fund.
    (e) Effective Date.--This section shall take effect with respect to 
hardrock minerals produced in calendar years after December 31, 1996.

SEC. 3. ABANDONED MINERALS MINE RECLAMATION FUND.

    (a) Establishment.--
            (1) There is established on the books of the Treasury of 
        the United States an interest-bearing fund to be known as the 
        Abandoned Minerals Mine Reclamation Fund (hereafter referred to 
        in this section as the ``Fund''). The Fund shall be 
        administered by the Secretary.
            (2) The Secretary shall notify the Secretary of the 
        Treasury as to what portion of the Fund is not, in his 
        judgment, required to meet current withdrawals. The Secretary 
        of the Treasury shall invest such portion of the Fund in public 
        debt securities with maturities suitable for the needs of such 
        Fund and bearing interest at rates determined by the Secretary, 
        taking into consideration current market yields on outstanding 
        marketplace obligations of the United States of comparable 
        maturities. The income on such investments shall be credited 
        to, and from a part of, the Fund.
    (b) Use and Objectives of the Fund.--The Secretary is, subject to 
appropriations, authorized to use moneys in the Fund for the 
reclamation and restoration of land and water resources adversely 
affected by past mineral (other than coal and fluid minerals) and 
mineral material mining, including but not limited to, any of the 
following:
            (1) Reclamation and restoration of abandoned surface mined 
        areas.
            (2) Reclamation and restoration of abandoned milling and 
        processing areas.
            (3) Sealing, filing, and grading abandoned deep mine 
        entries.
            (4) Planting of land adversely affected by past mining to 
        prevent erosion and sedimentation.
            (5) Prevention, abatement, treatment, and control of water 
        pollution created by abandoned mine drainage.
            (6) Control of surface subsidence due to abandoned deep 
        mines.
            (7) Such expenses as may be necessary to accomplish the 
        purposes of this section.
    (c) Eligible Areas.--
            (1) Land and waters eligible for reclamation expenditures 
        under this section shall be those within the boundaries of 
        States that have lands subject to the general mining laws--
                    (A) which were mined or processed for minerals and 
                mineral materials or which were affected by such 
mining or processing, and abandoned or left in an inadequate 
reclamation status prior to the date of enactment of this title;
                    (B) for which the Secretary makes a determination 
                that there is no continuing reclamation responsibility 
                under State or Federal laws; and
                    (C) for which it can be established that such lands 
                do not contain minerals which could economically be 
                extracted through the reprocessing or remining of such 
                lands.
            (2) Sites and areas designated for remedial action pursuant 
        to the Uranium Mill Tailings Radiation Control Act of 1978 (42 
        U.S.C. 7901 and following) or which have been listed for 
        remedial action pursuant to the Comprehensive Environmental 
        Response Compensation and Liability Act of 1980 (42 U.S.C. 9601 
        and following) shall not be eligible for expenditures from the 
        Fund under this section.

SEC. 4. DEFINITIONS.

    As used in this Act:
            (1) The term ``gross proceeds'' means the value of any 
        extracted hardrock mineral which was:
                    (A) sold;
                    (B) exchanged for any thing or service;
                    (C) removed from the country in a form ready for 
                use or sale; or
                    (D) initially used in a manufacturing process or in 
                providing a service.
            (2) The term ``net proceeds'' means gross proceeds less the 
        sum of the following deductions:
                    (A) The actual cost of extracting the mineral.
                    (B) the actual cost of transporting the mineral to 
                the place or places of reduction, refining and sale.
                    (C) The actual cost of reduction, refining and 
                sale.
                    (D) The actual cost of marketing and delivering the 
                mineral and the conversion of the mineral into money.
                    (E) The actual cost of maintenance and repairs of:
                            (i) All machinery, equipment, apparatus and 
                        facilities used in the mine.
                            (ii) All milling, refining, smelting and 
                        reduction works, plants and facilities.
                            (iii) All facilities and equipment for 
                        transportation.
                    (F) The actual cost of fire insurance on the 
                machinery, equipment, apparatus, works, plants and 
                facilities mentioned in subsection (E).
                    (G) Depreciation of the original capitalized cost 
                of the machinery, equipment, apparatus, works, plants 
                and facilities mentioned in subsection (E).
                    (H) All money expended for premiums for industrial 
                insurance, and the actual cost of hospital and medical 
                attention and accident benefits and group insurance for 
                all employees.
                    (I) The actual cost of developmental work in or 
                about the mine or upon a group of mines when operated 
                as a unit.
                    (J) All royalties and severance taxes paid to the 
                Federal Government or State governments.
            (3) The term ``hardrock minerals'' means any mineral other 
        than a mineral that would be subject to disposition under any 
        of the following if located on land subject to the general 
        mining laws:
                    (A) the Mineral Leasing Act (30) U.S.C. 181 and 
                following);
                    (B) the Geothermal Steam Act of 1970 (30 U.S.C. 100 
                and following);
                    (C) the Act of July 31, 1947, commonly known as the 
                Materials Act of 1947 (30 U.S.C. 601 and following; or
                    (D) the Mineral Leasing for Acquired Lands Act (30 
                U.S.C. 351 and following).
            (4) The term ``Secretary'' means the Secretary of the 
        Interior.
            (5) The term ``patented mining claim'' means an interest in 
        land which has been obtained pursuant to sections 2325 and 2326 
        of the Revised Statutes (30 U.S.C. 29 and 30) for vein or lode 
        claims and sections 2329, 2330, 2331, and 2333 of the Revised 
        Statutes (30 U.S.C. 35, 36 and 37) for placer claims, or 
        section 2337 of the Revised Statutes (30 U.S.C. 42) for mill 
        site claims.
            (6) The term ``general mining laws'' means those Acts which 
        generally comprise Chapters 2, 12A, and 16, and sections 161 
        and 162 of title 30 of the United States Code.