SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Gallatin Land Consolidation Act of 
1998''.

 SEC. 2. FINDINGS.

    Congress finds that--
            (1) the land north of Yellowstone National Park possesses 
        outstanding natural characteristics and wildlife habitats that 
        make the land a valuable addition to the National Forest 
        System;
            (2) it is in the interest of the United States to establish 
        a logical and effective ownership pattern for the Gallatin 
        National Forest, reducing long-term costs for taxpayers and 
        increasing and improving public access to the forest;
            (3) it is in the interest of the United States for the 
        Secretary of Agriculture to enter into an Option Agreement for 
        the acquisition of land owned by Big Sky Lumber Co. to 
        accomplish the purposes of this Act; and
            (4) other private property owners are willing to enter into 
        exchanges that further improve the ownership pattern of the 
        Gallatin National Forest.

 SEC. 3. DEFINITIONS.

    In this Act:
            (1) BLM land.--The term ``BLM land'' means approximately 
        2,000 acres of Bureau of Land Management land (including all 
        appurtenances to the land) that is proposed to be acquired by 
        BSL, as depicted in Exhibit B to the Option Agreement.
            (2) BSL.--The term ``BSL'' means Big Sky Lumber Co., an 
        Oregon joint venture, and its successors and assigns, and any 
        other entities having a property interest in the BSL land.
            (3) BSL land.--The term ``BSL land'' means approximately 
        54,000 acres of land (including all appurtenances to the land 
        except as provided in section 4(e)(1)(D)(i)) owned by BSL that 
        is proposed to be acquired by the Secretary of Agriculture, as 
        depicted in Exhibit A to the Option Agreement.
            (4) Eastside national forests.--The term ``Eastside 
        National Forests'' means national forests east of the 
        Continental Divide in the State of Montana, including the 
        Beaverhead National Forest, Deerlodge National Forest, Helena 
        National Forest, Custer National Forest, and Lewis and Clark 
        National Forest.
            (5) National forest system land.--The term ``National 
        Forest System land'' means approximately 29,000 acres of land 
        (including all appurtenances to the land) owned by the United 
        States in the Gallatin National Forest, Flathead National 
        Forest, Deerlodge National Forest, Helena National Forest, Lolo 
        National Forest, and Lewis and Clark National Forest that is 
        proposed to be acquired by BSL, as depicted in Exhibit B to the 
        Option Agreement.
            (6) Option agreement.--The term ``Option Agreement'' 
        means--
                    (A) the document signed by BSL, dated July 29, 1998 
                and entitled ``Option Agreement for the Acquisition of 
                Big Sky Lumber Co. Lands Pursuant to the Gallatin Range 
                Consolidation and Protection Act of 1993'';
                    (B) the exhibits and maps attached to the document 
                described in subparagraph (A); and
                    (C) an exchange agreement to be entered into 
                between the Secretary and BSL and made part of the 
                document described in subparagraph (A).
            (7) Secretary.--The ``Secretary'' means the Secretary of 
        Agriculture.

 SEC. 4. GALLATIN LAND CONSOLIDATION COMPLETION.

    (a) In General.--Notwithstanding any other provision of law, and 
subject to the terms and conditions of the Option Agreement--
            (1) if BSL offers title acceptable to the Secretary to the 
        BSL land--
                    (A) the Secretary shall accept a warranty deed to 
                the BSL land and a quit claim deed to agreed to mineral 
                interests in the BSL land;
                    (B) the Secretary shall convey to BSL, subject to 
                valid existing rights and to other terms, conditions, 
                reservations, and exceptions as may be agreed to by the 
                Secretary and BSL, fee title to the National Forest 
                System land; and
                    (C) the Secretary of the Interior shall convey to 
                BSL, by patent or otherwise, subject to valid existing 
                rights and other terms, conditions, reservations, and 
                exceptions as may be agreed to by the Secretary of the 
                Interior and BSL, fee title to the BLM land;
            (2) if BSL places title in escrow acceptable to the 
        Secretary to 11\1/2\ sections of the BSL land in the Taylor 
        Fork area as set forth in the Option Agreement--
                    (A) the Secretary shall place Federal land in the 
                Bangtail and Doe Creek areas of the Gallatin National 
                Forest, as identified in the Option Agreement, in 
                escrow pending conveyance to the Secretary of the 
                Taylor Fork land, as identified in the Option Agreement 
                in escrow;
                    (B) the Secretary, subject to the availability of 
                funds, shall purchase 7\1/2\ sections of BSL land in 
                the Taylor Fork area held in escrow and identified in 
                the Option Agreement at a purchase price of $4,150,000; 
                and
                    (C) the Secretary shall acquire the 4 Taylor Fork 
                sections identified in the Option Agreement remaining 
                in escrow, and any of the 6 sections referred to in 
                subparagraph (B) for which funds are not available, by 
                providing BSL with timber sale receipts from timber 
                sales on the Gallatin National Forest and other 
                eastside national forests in the State of Montana in 
                accordance with subsection (c); and
            (3)(A) as funds or timber sale receipts are received by 
        BSL--
                    (i) the deeds to an equivalent value of BSL Taylor 
                Fork land held in escrow shall be released and conveyed 
                to the Secretary; and
                    (ii) the escrow of deeds to an equivalent value of 
                Federal land shall be released to the Secretary in 
                accordance with the terms of the Option Agreement; or
            (B) if funds or timber sale receipts are not provided to 
        BSL as provided in the Option Agreement, BSL shall be entitled 
        to receive patents and deeds to an equivalent value of the 
        Federal land held in escrow.
    (b) Valuation.--
            (1) In general.--The property and other assets exchanged or 
        conveyed by BSL and the United States under subsection (a) 
        shall be approximately equal in value, as determined by the 
        Secretary.
            (2) Difference in value.--To the extent that the property 
        and other assets exchanged or conveyed by BSL or the United 
        States under subsection (a) are not approximately equal in 
        value, as determined by the Secretary, the values shall be 
        equalized in accordance with methods identified in the Option 
        Agreement.
    (c) Timber Sale Program.--
            (1) In general.--The Secretary shall implement a timber 
        sale program, according to the terms and conditions identified 
        in the Option Agreement and subject to compliance with 
        applicable environmental laws (including regulations), judicial 
        decisions, memoranda of understanding, small business set-aside 
        rules, and acts beyond the control of the Secretary, to 
        generate sufficient timber receipts to purchase the portions of 
        the BSL land in Taylor Fork identified in the Option Agreement.
            (2) Implementation.--In implementing the timber sale 
        program--
                    (A) the Secretary shall provide BSL with a proposed 
                annual schedule of timber sales;
                    (B) as set forth in the Option Agreement, receipts 
                generated from the timber sale program shall be 
                deposited by the Secretary in a special account 
                established by the Secretary and paid by the Secretary 
                to BSL;
                    (C) receipts from the Gallatin National Forest 
                shall not be subject to the Act of May 23, 1908 (16 
                U.S.C. 500); and
                    (D) the Secretary shall fund the timber sale 
                program at levels determined by the Secretary to be 
                commensurate with the preparation and administration of 
                the identified timber sale program.
    (d) Rights-of-Way.--As specified in the Option Agreement--
            (1) the Secretary, under the authority of the Federal Land 
        Policy and Management Act of 1976 (43 U.S.C. 1701 et seq.), 
        shall convey to BSL such easements in or other rights-of-way 
        over National Forest System land for access to the land 
        acquired by BSL under this Act for all lawful purposes; and
            (2) BSL shall convey to the United States such easements in 
        or other rights-of-way over land owned by BSL for all lawful 
        purposes, as may be agreed to by the Secretary and BSL.
    (e) Quality of Title.--
            (1) Determination.--The Secretary shall review the title 
        for the BSL land described in subsection (a) and, within 45 
        days after receipt of all applicable title documents from BSL, 
        determine whether--
                    (A) the applicable title standards for Federal land 
                acquisition have been satisfied and the quality of the 
                title is otherwise acceptable to the Secretary of 
                Agriculture;
                    (B) all draft conveyances and closing documents 
                have been received and approved;
                    (C) a current title commitment verifying compliance 
                with applicable title standards has been issued to the 
                Secretary; and
                    (D) the title includes both the surface and 
                subsurface estates without reservation or exception 
                (except as specifically provided in this Act), 
                including--
                            (i) minerals, mineral rights, and mineral 
                        interests (including severed oil and gas 
                        surface rights), subject to and excepting other 
                        outstanding or reserved oil and gas rights;
                            (ii) timber, timber rights, and timber 
                        interests (except those reserved subject to 
                        section 251.14 of title 36, Code of Federal 
                        Regulations, by BSL and agreed to by the 
                        Secretary);
                            (iii) water, water rights, ditch, and ditch 
                        rights;
                            (iv) geothermal rights; and
                            (v) any other interest in the property.
            (2) Conveyance of title.--
                    (A) In general.--If the quality of title does not 
                meet Federal standards or is otherwise determined to be 
                unacceptable to the Secretary of Agriculture, the 
                Secretary shall advise BSL regarding corrective actions 
                necessary to make an affirmative determination under 
                paragraph (1).
                    (B) Title to subsurface estate.--Title to the 
                subsurface estate shall be conveyed by BSL to the 
                Secretary in the same form and content as that estate 
                is received by BSL from Burlington Resources Oil & Gas 
                Company Inc. and Glacier Park Company.
    (f) Timing of Implementation.--
            (1) Land-for-land exchange.--The Secretary shall accept the 
        conveyance of land described in subsection (a) not later than 
        45 days after the Secretary has made an affirmative 
        determination of quality of title.
            (2) Land-for-timber sale receipt exchange.--As provided in 
        subsection (c) and the Option Agreement, the Secretary shall 
        make timber receipts described in subsection (a)(3) available 
        not later than December 31 of the fifth full calendar year that 
        begins after the date of enactment of this Act.
            (3) Purchase.--The Secretary shall complete the purchase of 
        BSL land under subsection (a)(3)(B) not later than 30 days 
        after the date on which appropriated funds are made available 
        and an affirmative determination of quality of title is made 
        with respect to the BSL land.

SEC. 5. OTHER FACILITATED EXCHANGES.

    (a) Authorized Exchanges.--
            (1) In general.--The Secretary shall enter into the 
        following land exchanges if the landowners are willing:
                    (A) Wapiti land exchange, as outlined in the 
                documents entitled ``Non-Federal Lands in Facilitated 
                Exchanges'' and ``Federal Lands in Facilitated 
                Exchanges'' and dated July 1998.
                    (B) Eightmile/West Pine land exchange as outlined 
                in the documents entitled ``Non-Federal Lands in 
                Facilitated Exchanges'' and ``Federal Lands in 
                Facilitated Exchanges'' and dated July 1998.
            (2) Equal Value.--Before entering into an exchange under 
        paragraph (1), the Secretary shall determine that the parcels 
        of land to be exchanged are of approximately equal value, based 
        on an appraisal.
    (b) Section 1 of the Taylor Fork Land.--
            (1) In general.--The Secretary is encouraged to pursue a 
        land exchange with the owner of section 1 of the Taylor Fork 
        land after completing a full public process and an appraisal.
            (2) Report.--The Secretary shall report to Congress on the 
        implementation of paragraph (1) not later than 180 days after 
        the date of enactment of this Act.

SEC. 6. GENERAL PROVISIONS.

    (a) Minor Corrections.--
            (1) In general.--The Option Agreement shall be subject to 
        such minor corrections and supplemental provisions as may be 
        agreed to by the Secretary and BSL.
            (2) Notification.--The Secretary shall notify the Committee 
        on Energy and Natural Resources of the Senate, the Committee on 
        Resources of the House of Representatives, and each member of 
        the Montana congressional delegation of any changes made under 
        this subsection.
            (3) Boundary adjustment.--
                    (A) In general.--The boundary of the Gallatin 
                National Forest is adjusted in the Wineglass and North 
                Bridger area, as described on maps dated July 1998, 
                upon completion of the conveyances.
                    (B) No limitation.--Nothing in this subsection 
                limits the authority of the Secretary to adjust the 
                boundary pursuant to section 11 of the Act of March 1, 
                1911 (commonly known as the ``Weeks Act'') (16 U.S.C. 
                521).
                    (C) Allocation of land and water conservation fund 
                moneys.--For the purposes of section 7 of the Land and 
                Water Conservation Fund Act of 1965 (16 U.S.C. 460l-9), 
                boundaries of the Gallatin National Forest shall be 
                considered to be the boundaries of the National Forest 
                as of January 1, 1965.
    (b) Public Availability.--The Option Agreement--
            (1) shall be on file and available for public inspection in 
        the office of the Supervisor of the Gallatin National Forest; 
        and
            (2) shall be filed with the county clerk of each of 
        Gallatin County, Park County, Madison County, Granite County, 
        Broadwater County, Meagher County, Flathead County, and 
        Missoula County, Montana.
    (c) Compliance With Option Agreement.--The Secretary, the Secretary 
of the Interior, and BSL shall comply with the terms and conditions of 
the Option Agreement except to the extent that any provision of the 
Option Agreement conflicts with this Act.
    (d) Status of Land.--All land conveyed to the United States under 
this Act shall be added to and administered as part of the Gallatin 
National Forest and Deerlodge National Forest, as appropriate, in 
accordance with the Act of March 1, 1911 (5 U.S.C. 515 et seq.), and 
other laws (including regulations) pertaining to the National Forest 
System.
    (e) Management.--
            (1) Public process.--Not later than 30 days after the date 
        of completion of the land-for-land exchange under section 
        4(f)(1), the Secretary shall initiate a public process to amend 
        the Gallatin National Forest Plan and the Deerlodge National 
        Forest Plan to integrate the acquired land into the plans.
            (2) Process time.--The amendment process under paragraph 
        (1) shall be completed as soon as practicable, and in no event 
        later than 540 days after the date on which the amendment 
        process is initiated.
            (3) Limitation.--An amended management plan shall not 
        permit surface occupancy on the acquired land for access to 
        reserved or outstanding oil and gas rights or for exploration 
        or development of oil and gas.
            (4) Interim management.--Pending completion of the forest 
        plan amendment process under paragraph (1), the Secretary 
        shall--
                    (A) manage the acquired land under the standards 
                and guidelines in the applicable land and resource 
                management plans for adjacent land managed by the 
                Forest Service; and
                    (B) maintain all existing public access to the 
                acquired land.
    (f) Restoration.--
            (1) In general.--The Secretary shall implement a 
        restoration program including reforestation and watershed 
        enhancements to bring the acquired land and surrounding 
        national forest land into compliance with Forest Service 
        standards and guidelines.
            (2) State and local conservation corps.--In implementing 
        the restoration program, the Secretary shall, when practicable, 
        use partnerships with State and local conservation corps, 
        including the Montana Conservation Corps, under the Public 
        Lands Corps Act of 1993 (16 U.S.C. 1721 et seq.).
    (g) Implementation.--The Secretary of Agriculture shall ensure that 
sufficient funds are made available to the Gallatin National Forest to 
carry out this Act.
    (i) Revocations.--Notwithstanding any other provision of law, any 
public orders withdrawing lands identified in the Option Agreement from 
all forms of appropriation under the public land laws are revoked upon 
conveyance of the lands by the Secretary.

SEC. 7. AUTHORIZATION OF APPROPRIATIONS.

    There are authorized to be appropriated such sums as are necessary 
to carry out this Act.

            Passed the Senate October 2, 1998.

            Attest:

                                                    GARY SISCO,

                                                             Secretary.
Gallatin Land Consolidation Act of 1998 - Provides for the exchange of land and other assets including certain timber harvest rights by the Secretaries of Agriculture and the Interior with the Big Sky Lumber Co. (BSL) for inclusion in the Gallatin National Forest and Deerlodge National Forest, Montana. 
Directs the Secretary of Agriculture to:  (1) implement a timber sale program to fund the purchase of specified (Taylor Fork) BSL land; (2) enter into specified land exchanges (Wapiti and Eightmile-West Pine); and (3) implement a restoration program for lands acquired under this Act.  Encourages the Secretary to pursue a specified land exchange (section 1 of the Taylor Fork land). 
Authorizes appropriations.
Gallatin Land Consolidation Act of 1998