O&C Lands Protection Act

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``O&C Lands 
Protection Act''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. Definitions.
Sec. 3. Modifications to sales authority.
Sec. 4. Modifications to exchange authority.
Sec. 5. Administration of lands acquired in geographic area; 
                            redesignation of public domain lands.
Sec. 6. O&C Lands Protection Fund.
Sec. 7. Timber and surface resource revenue distribution.
Sec. 8. Relationship to Umpqua Land Exchange authority.

SEC. 2. DEFINITIONS.

    For purposes of this Act:
            (1) O&C lands.--The term ``O&C lands'' means the lands that 
        revested in the United States under the Act of June 9, 1916 
        (Chapter 137; 39 Stat. 218), and that are managed by the 
        Secretary of the Interior through the Bureau of Land Management 
        under the Act of August 28, 1937 (43 U.S.C. 1181a et seq.).
            (2) Public domain lands.--The term ``public domain lands'' 
        has the meaning given the term ``public lands'' in the Federal 
        Land Policy and Management Act of 1976 (43 U.S.C. 1701 et 
        seq.), other than O&C lands.
            (3) Geographic area.--The term ``geographic area'' means 
        all lands in the State of Oregon located within the boundaries 
        of the Bureau of Land Management's Medford District, Roseburg 
        District, Eugene District, Salem District, Coos Bay District, 
        and Klamath Resource Area of the Lakeview District, as those 
        districts and that resource area were constituted on January 1, 
        1998.
            (4) Secretary.--The term ``Secretary'' means the Secretary 
        of the Interior.

SEC. 3. MODIFICATIONS TO SALES AUTHORITY.

    (a) Limitations on Acreage Sold.--Subject to subsection (b)(2) and 
notwithstanding any other sales authority of the Secretary, the 
Secretary may not sell more than a maximum combined total of 640 acres 
of O&C lands and public domain lands within the geographic area during 
each fiscal year, and may not sell more than a maximum combined total 
of 6,400 acres of O&C lands and public domain lands within the 
geographic area during any continuous 15-year period beginning after 
the date of enactment of this Act.
    (b) Limitation on Lands To Be Sold.--Notwithstanding any other 
sales authority of the Secretary, the Secretary may not sell any O&C 
lands or public domain lands within the geographic area that are 
located within--
            (1) a congressionally designated wilderness area;
            (2) the national wild and scenic river system; or
            (3) an area designated by the Secretary under the Federal 
        Land Policy and Management Act of 1976 (43 U.S.C. 1701 et seq.) 
        to be an area of critical environmental concern.
    (c) Price; Procedures.--Notwithstanding any other sales authority 
of the Secretary, the Secretary shall make all sales of O&C lands and 
public domain lands within the geographic area--
            (1) at a price that is not less than the fair market value 
        of the lands sold, as determined by the Secretary; and
            (2) by competitive public bidding, under procedures 
        established by the Secretary that ensure adequate notice to 
        owners of land adjoining the land proposed for sale, to local 
        governments in the vicinity of the land proposed for sale, and 
        to the State of Oregon.
    (d) Acquisition of Lands.--
            (1) In general.--The Secretary may use amounts in the O&C 
        Lands Protection Fund established by section 6 to purchase from 
        willing sellers non-Federal lands located within the geographic 
        area that are contiguous to other O&C lands or public domain 
        lands.
            (2) Priority of lands for acquisition.--In acquiring lands 
        under this subsection, the Secretary may give first priority to 
        satisfying the need, if any, for acquisition of lands adjacent 
        to streams, riparian areas, or wildlife corridors within the 
        geographic area that are used by species that are listed as 
threatened species or endangered species under the Endangered Species 
Act of 1973 (16 U.S.C. 1531 et seq.).

SEC. 4. MODIFICATIONS TO EXCHANGE AUTHORITY.

    (a) Limitations on Acreage Exchanged.--Subject to the provisions of 
this section and notwithstanding any other exchange authority of the 
Secretary, the Secretary may not exchange out of Federal ownership more 
than a maximum combined total of 480 acres of O&C lands and public 
domain lands within the geographic area during each fiscal year for 
non-Federal lands referred to in subsection (c), and may not exchange 
out of Federal ownership more than a maximum combined total of 4,800 
acres of O&C lands and public domain lands within the geographic area 
during any continuous 15-year period beginning after the date of 
enactment of this Act.
    (b) Limitation on Federal Lands To Be Exchanged.--Notwithstanding 
any other exchange authority of the Secretary, the Secretary may not 
exchange out of Federal ownership any O&C lands or public domain lands 
within the geographic area that are located within--
            (1) a congressionally designated wilderness area;
            (2) the national wild and scenic river system; or
            (3) an area designated by the Secretary under the Federal 
        Land Policy and Management Act of 1976 (43 U.S.C. 1701 et seq.) 
        to be an area of critical environmental concern.
    (c) Limitation on Non-Federal Lands Acquired.--Notwithstanding any 
other exchange authority of the Secretary, all non-Federal lands 
acquired by the Secretary in an exchange for O&C lands or public domain 
lands within the geographic area must be located within the geographic 
area and contiguous with other O&C lands or public domain lands.
    (d) Procedures.--The Secretary shall establish procedures for 
exchanges out of Federal ownership of O&C lands and public domain lands 
within the geographic area, including--
            (1) procedures for valuing the lands exchanged; and
            (2) procedures that ensure adequate notice of proposed 
        exchanges to local governments in the vicinity of all lands to 
        be exchanged and to the State of Oregon.
    (e) Requirements for Value of Exchanged Lands.--Notwithstanding any 
other exchange authority of the Secretary, the Secretary may not 
exchange out of Federal ownership O&C lands or public domain lands 
within the geographic area if the fair market value of the lands 
received by the United States in the exchange--
            (1) is less than 75 percent of the fair market value of the 
        lands conveyed by the United States in the exchange; or
            (2) is greater than 125 percent of the fair market value of 
        the lands conveyed by the United States in the exchange.
    (f) Equalization Payments.--The Secretary, as necessary to ensure 
that the total value received by the United States in an exchange out 
of Federal ownership of O&C lands or public domain lands within the 
geographic area is equal to the total value conveyed by the United 
States in the exchange, shall--
            (1) use amounts in the O&C Lands Protection Fund 
        established by section 3(c) to pay, to the person from whom 
        lands are acquired by the United States in the exchange, the 
        difference between the value of the lands received by the 
        United States and the value of the lands conveyed by the United 
        States; or
            (2) require that person to pay that difference to the 
        United States.

SEC. 5. ADMINISTRATION OF LANDS ACQUIRED IN GEOGRAPHIC AREA; 
              REDESIGNATION OF PUBLIC DOMAIN LANDS.

    (a) Acquired Lands.--All lands in the geographic area acquired by 
the United States after the date of the enactment of this Act shall for 
all purposes have the same status, be administered, and be otherwise 
treated as lands that were revested in the United States pursuant to 
the Act of June 9, 1916 (Chapter 137; 39 Stat. 218) and managed by the 
Secretary under the Act of August 28, 1937 (43 U.S.C. 1181 et seq.).
    (b) Redesignation of Public Domain Lands for Treatment as Revested 
Lands.--
            (1) In general.--The Secretary--
                    (A) before the 180th day of each fiscal year, shall 
                determine whether there has been a net reduction in the 
                number of acres of O&C lands during the preceding 
                fiscal year as a result of disposal of lands by the 
                United States under any provision of law; and
                    (B) if the Secretary determines that there was such 
                a reduction, shall within 90 days after that 
                determination designate a number of acres of public 
                domain lands within the geographic area, equal to the 
                number of acres of that reduction, for treatment as O&C 
                lands under paragraph (3).
            (2) Lands designated.--The Secretary shall designate under 
        paragraph (1)(B) public domain lands that are stocked with 
        timber in volumes per acre that are not less than the average 
        volumes per acre found on the O&C lands and public domain lands 
        in the geographic area that were disposed of during the 
        preceding fiscal year.
            (3) Treatment of redesignated lands.--Lands designated by 
        the Secretary under paragraph (1)(B) shall for all purposes 
        have the same status, be administered, and be otherwise treated 
        as lands that were revested in the United States pursuant to 
        the Act of June 9, 1916 (Chapter 136; 39 Stat. 218) and managed 
        by the Secretary under the Act of August 28, 1937 (43 U.S.C. 
        1181a et seq.).
            (4) Notification of congress.--The Secretary shall, before 
        the end of each fiscal year, notify the Congress of each 
        redesignation of lands under this subsection in that fiscal 
        year.

SEC. 6. O&C LANDS PROTECTION FUND.

    (a) In General.--There is established in the Treasury a separate 
account to be known as the O&C Lands Protection Fund.
    (b) Contents.--The O&C Lands Protection Fund shall consist of all 
amounts received by the United States as--
            (1) proceeds from sales of O&C lands and public domain 
        lands within the geographic area; or
            (2) equalization payments under section 4(f).
    (c) Use.--Amounts in the O&C Lands Protection Fund shall be 
available to the Secretary, without fiscal year limitation or further 
appropriation, solely for--
            (1) purchasing lands under section 3(d);
            (2) making equalization payments under section 4(f); and
            (3) making distributions under subsection (d) of this 
        section.
    (d) Distributions From Fund.--All amounts in the O&C Lands 
Protection Fund on January 1, 2013, and on January 1 of each 15th year 
thereafter, shall be distributed as follows:
            (1) 5 percent shall be paid to the State of Oregon as 
        provided in the fifth proposition of section 4 of the Act of 
        February 14, 1859 (Chapter XXXIII; 11 Stat. 383), as in effect 
        on the date of the enactment of this Act.
            (2) 50 percent shall be deposited in the general fund of 
        the Treasury of the United States.
            (3) 45 percent shall be distributed to the 18 Oregon 
        counties within which the geographic area is located, by 
        payment to each of the counties in the same proportion as 
        payments are made from the Oregon and California land-grant 
        fund under section 201(a) of the Act of August 28, 1937 
        (Chapter 876; 43 U.S.C. 1181f(a)).

SEC. 7. TIMBER AND SURFACE RESOURCE REVENUE DISTRIBUTION.

    (a) In General.--Notwithstanding any other provision of law, all 
revenue received by the United States as proceeds from the sale of 
timber and other surface resources from public domain lands within the 
geographic area shall be distributed as follows:
            (1) 5 percent shall be paid to the State of Oregon as 
        provided in section 3 of the Act of July 31, 1947 (Chapter 406; 
        30 U.S.C. 603), popularly known as the Materials Act of 1947, 
        and the fifth proposition of section 4 of the Act of February 
        14, 1859 (Chapter XXXIII; 11 Stat. 383), as in effect on the 
        date of the enactment of this Act.
            (2) 50 percent shall be deposited in the Salmon Habitat 
        Restoration Fund established by subsection (b).
            (3) 45 percent shall be distributed to the 18 Oregon 
        counties within which the geographic area is located, by 
        payment to each of the counties in the same proportion as 
        payments are made from the Oregon and California land-grant 
        fund under section 201(a) of the Act of August 28, 1937 
        (Chapter 876; 43 U.S.C. 1181f(a)).
    (b) Salmon Habitat Restoration.--
            (1) In general.--There is established in the Treasury as a 
        separate account the Salmon Habitat Restoration Fund, which 
        shall consist of amounts deposited under subsection (a)(2).
            (2) Use.--Amounts in the account shall be available to the 
        Secretary without fiscal year limitation or further 
        appropriation--
                    (A) solely for the purpose of stream habitat 
                restoration and fisheries enhancement projects on O&C 
                lands and public domain lands within the geographic 
                area, for so long as any species of salmonoid fish 
                within the geographic area is listed as a threatened 
                species or endangered species under the Endangered 
                Species Act of 1973 (16 U.S.C. 1531 et seq.); and
                    (B) thereafter for use within the geographic area 
                for maintenance and development of campgrounds and 
                other recreation areas on O&C lands or public domain 
                lands.

SEC. 8. RELATIONSHIP TO UMPQUA LAND EXCHANGE AUTHORITY.

    Nothing in this Act shall be construed to limit the authority of 
the Secretary to continue to study and implement the Umpqua Land 
Exchange Project in accordance with the provisions set forth in the 
Memorandum of Understanding between the Umpqua Land Exchange Project 
and the Association of O&C Counties dated February 19, 1998.

Summary: OC Lands Protection Act - Establishes specified limitations on the sale and exchange out of Federal ownership by the Secretary of the Interior of OC and public domain lands within the Bureau of Land Management's (BLM) Medford, Roseburg, Eugene, Salem, and Coos Bay districts and the Klamath Resource Area of the Lakeview District in Oregon. Defines OC lands as certain lands originally granted in Oregon for purposes of establishing railroad and telegraph lines that revested in the United States. Bars the Secretary from selling or exchanging out of Federal ownership any OC or public domain lands within the geographic area located within: (1) a congressionally designated wilderness area, (2) the national wild and scenic river system. Or (3) an area designated to be of critical environmental concern. Sets forth provisions regarding prices and procedures for making such land sales. Authorizes the Secretary to: (1) use the OC Lands Protection Fund to purchase non-Federal lands located within the geographic area that are contiguous to other OC or public domain lands. And (2) give first priority to acquiring lands adjacent to streams, riparian areas, or wildlife corridors within such area used by endangered or threatened species. Sets forth procedures for exchanges as well as requirements for the value of exchanged lands. Directs the Secretary to: (1) determine annually whether there has been a net reduction in the acreage of OC lands during the preceding fiscal year as a result of disposal of lands by the United States. (2) designate an equivalent number of acres of public domain lands within the geographic area for treatment as OC lands, if there was a reduction. And (3) designate such public domain lands that are stocked with timber in volumes per acre that are not less than the average volumes found on the OC lands and public domain lands in the area that were disposed of during the preceding fiscal year. Establishes the OC Lands Protection Fund to be available for purchasing lands, making equalization payments, and making distributions to the State of Oregon and the counties within the geographic area. Allocates revenues received by the United States from the sale of timber and other surface resources from public domain lands within such area to the State of Oregon, the affected counties, and the Salmon Habitat Restoration Fund. Establishes the Salmon Habitat Restoration Fund for specified activities within the geographic area.