National Parks Capital Improvements Act of 1996

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``National Parks Capital Improvements 
Act of 1996''.

SEC. 2. DEFINITIONS.

    In this Act:
            (1) Fundraising organization.--The term ``fundraising 
        organization'' means an entity authorized to act as a 
        fundraising organization under section 3(a).
            (2) National park foundation.--The term ``National Park 
        Foundation'' means the foundation established under the Act 
        entitled ``An Act to establish the National Park Foundation'', 
        approved December 18, 1967 (16 U.S.C. 19e et seq.).
            (3) Park.--The term ``park'' means--
                    (A) the Grand Canyon National Park; and
                    (B) any other national park designated by the 
                Secretary that has an approved general management plan 
                with capital needs in excess of $5,000,000.
            (4) Secretary.--The term ``Secretary'' means the Secretary 
        of the Interior.

SEC. 3. FUNDRAISING ORGANIZATION.

    (a) In General.--The Secretary may enter into a memorandum of 
agreement under section 4 with an entity to act as an authorized 
fundraising organization for the benefit of the park.
    (b) Bonds.--The fundraising organization shall issue taxable bonds 
in return for the park surcharge collected under section 5.
    (c) Professional Standards.--The fundraising organization shall 
abide by all relevant professional standards regarding the issuance of 
securities and shall comply with all Federal and State law.
    (d) Audit.--The fundraising organization shall be subject to an 
audit by the Secretary.
    (e) No Liability For Bonds.--The United States shall not be liable 
for the security of any bonds issued by the fundraising organization, 
except that if the surcharge specified in section 5(a) is not imposed 
for any reason or if such surcharge is reduced or eliminated, the full 
faith and credit of the United States is pledged to the payment of such 
bonds and the interest accruing on such bonds.

SEC. 4. MEMORANDUM OF AGREEMENT.

    The fundraising organization shall enter into a memorandum of 
agreement that specifies--
            (1) the amount of the bond issue;
            (2) the maturity of the bonds, not to exceed 20 years;
            (3) the per capita amount required to amortize the bond 
        issue, provide for the reasonable costs of administration, and 
        maintain a sufficient reserve consistent with industry 
        standards;
            (4) any project that will be funded with the bond proceeds 
        and the specific responsibilities of the Secretary and the 
        fundraising organization with respect to the project; and
            (5) procedures for modifications of the agreement with the 
        consent of both parties, including modifications relating to 
        project priorities, based on changes in circumstances.

SEC. 5. PARK SURCHARGE.

    (a) In General.--Notwithstanding any other provision of law, the 
Secretary of the Interior may authorize the Superintendent of the park 
to charge and collect, in addition to the entrance fee collected 
pursuant to section 4 of the Land and Water Conservation Fund Act of 
1965 (16 U.S.C. 460l-6a), a surcharge in an amount not to exceed $2 for 
each individual charged the entrance fee.
    (b) Use.--The surcharge shall be used by the fundraising 
organization to amortize the bond issue, provide for the reasonable 
costs of administration, and maintain a sufficient reserve consistent 
with industry standards.
    (c) Excess Funds.--Any funds collected in excess of the amount 
necessary to amortize the bond issue, pay reasonable administrative 
expenses, and maintain a sufficient reserve, as determined by the bond 
underwriter, shall be remitted to the National Park Foundation to be 
used for the benefit of all units of the National Park System.

SEC. 6. USE OF BOND PROCEEDS.

    (a) Eligible Projects.--
            (1) In general.--Subject to paragraph (2), bond proceeds 
        under this Act may be used for a project for the design, 
        construction, operation, maintenance, repair, or replacement of 
        a facility in the park. No part of such proceeds (other than 
        interest as provided in subsection (b)) may be used to defray 
        administrative expenses.
            (2) Limitation.--A project referred to in paragraph (2) 
        shall be consistent with--
                    (A) the laws governing the National Park System;
                    (B) any law governing the park; and
                    (C) the general management plan for the park.
    (b) Interest on Bond Proceeds.--(1) Any interest earned on bond 
proceeds may be used by the fundraising organization to--
            (A) meet reserve requirements; and
            (B) defray administrative expenses incurred in connection 
        with the management and sale of the bonds.
    (2) All interest on bond proceeds not used for purposes of 
paragraph (1) shall be remitted to the National Park Foundation for the 
benefit of all units of the National Park System.

SEC. 7. ADMINISTRATION.

    The Secretary, in consultation with the Secretary of Treasury, 
shall issue regulations to carry out this Act.

Summary: National Parks Capital Improvements Act of 1996 - Authorizes the Secretary of the Interior to enter into a memorandum of agreement with an entity to act as an authorized fundraising organization for the benefit of the Grand Canyon National Park and any other national park designated by the Secretary that has an approved general management plan with capital needs in excess of $5 million. Requires the organization to issue taxable bonds in return for a park surcharge. Exempts the United States from liability for the security of such bonds, unless the surcharge authorized under this Act is not imposed or is reduced or eliminated. Authorizes the Secretary to permit the Superintendent of the park to charge and collect, in addition to the park entrance fee, a surcharge of not to exceed two dollars per individual. Requires the fundraising organization to: (1) use the surcharge to amortize the bond issue, provide for the reasonable costs of administration, and maintain a sufficient reserve consistent with industry standards. And (2) remit any excess funds to the National Park Foundation (NPF) to be used for the benefit of all National Park System (NPS) units. Allows bond proceeds to be used for a park facility project that is consistent with: (1) the laws governing the NPS and the park. And (2) the general management plan for the park. Prohibits bond proceeds from being used to defray administrative expenses. Requires interest earned on bond proceeds to be used by the organization to meet reserve requirements and defray administrative expenses incurred in connection with the management and sale of the bonds, with any excess to be remitted to the NPF for the benefit of all NPS units.