SECTION 1. INCREASE IN PAYMENTS FOR ENTITLEMENT LANDS.

    (a) Increase Based on Consumer Price Index.--Section 6903(b)(1) of 
title 31, United States Code, is amended--
            (1) in subparagraph (A), by striking ``75 cents for each 
        acre of entitlement land'' and inserting ``$1.65 for each acre 
        of entitlement land''; and
            (2) in subparagraph (B), by striking ``10 cents for each 
        acre of entitlement land'' and inserting ``22 cents for each 
        acre of entitlement land''.
    (b) Increase in Population Cap.--Section 6903(c) of title 31, 
United States Code, is amended--
            (1) in paragraph (1), by striking ``$50 times the 
        population'' and inserting ``$110 times the population''; and
            (2) by amending the table at the end to read as follows:
          
                                                         the limitation
          
                                                        is equal to the
          
                                                             population
          ``If population equals--
                                                                times--
                     5,000...........................            110.00
                     6,000...........................            103.00
                     7,000...........................             97.00
                     8,000...........................             90.00
                     9,000...........................             84.00
                    10,000...........................             77.00
                    11,000...........................             75.00
                    12,000...........................             73.00
                    13,000...........................             70.00
                    14,000...........................             68.00
                    15,000...........................             66.00
                    16,000...........................             65.00
                    17,000...........................             64.00
                    18,000...........................             63.00
                    19,000...........................             62.00
                    20,000...........................             61.00
                    21,000...........................             60.00
                    22,000...........................             59.00
                    23,000...........................             59.00
                    24,000...........................             58.00
                    25,000...........................             57.00
                    26,000...........................             56.00
                    27,000...........................             56.00
                    28,000...........................             56.00
                    29,000...........................             55.00
                    30,000...........................             55.00
                    31,000...........................             54.00
                    32,000...........................             54.00
                    33,000...........................             53.00
                    34,000...........................             53.00
                    35,000...........................             52.00
                    36,000...........................             52.00
                    37,000...........................             51.00
                    38,000...........................             51.00
                    39,000...........................             50.00
                    40,000...........................             50.00
                    41,000...........................             49.00
                    42,000...........................             48.00
                    43,000...........................             48.00
                    44,000...........................             47.00
                    45,000...........................             47.00
                    46,000...........................             46.00
                    47,000...........................             46.00
                    48,000...........................             45.00
                    49,000...........................             45.00
                    50,000...........................         44.00.''.

SEC. 2. INDEXING OF PILT PAYMENTS FOR INFLATION.

    Section 6903 of title 31, United States Code, is amended by adding 
at the end the following new subsection:
    ``(d) The Secretary of the Interior shall, on October 1, 1993, and 
each October 1 thereafter, adjust each dollar amount specified in 
subsections (b) and (c) to reflect changes in the Consumer Price Index 
published by the Bureau of Labor Statistics of the Department of Labor, 
for the 12 months ending the preceding June 30.''.

SEC. 3. LAND EXCHANGES.

    Section 6902(b) of title 31, United States Code, is amended by 
striking ``acquisition.'' and inserting ``acquisition, and does not 
apply to payments for lands conveyed to the United States in exchange 
for Federal lands.''.
Amends Federal law to:  (1) increase Federal payments to local governments for entitlement lands; (2) require the Secretary of the Interior to adjust such payments for inflation; and (3) exempt from such payments any lands conveyed to the United States in exchange for Federal lands.
A bill to increase Federal payments to units of general local government for entitlement lands, and for other purposes.