```

[Congressional Bills 108th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1904 Referred in Senate (RFS)]

  1st Session
                                H. R. 1904

_______________________________________________________________________

                   IN THE SENATE OF THE UNITED STATES

                              May 21, 2003

  Received; read twice and referred to the Committees on Agriculture, 
                        Nutrition, and Forestry

_______________________________________________________________________

                                 AN ACT

 
    To improve the capacity of the Secretary of Agriculture and the 
Secretary of the Interior to plan and conduct hazardous fuels reduction 
projects on National Forest System lands and Bureau of Land Management 
 lands aimed at protecting communities, watersheds, and certain other 
at-risk lands from catastrophic wildfire, to enhance efforts to protect 
    watersheds and address threats to forest and rangeland health, 
 including catastrophic wildfire, across the landscape, and for other 
                               purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Healthy Forests 
Restoration Act of 2003''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. Purpose.
          TITLE I--HAZARDOUS FUELS REDUCTION ON FEDERAL LANDS

Sec. 101. Definitions.
Sec. 102. Authorized hazardous fuels reduction projects.
Sec. 103. Prioritization for communities and watersheds.
Sec. 104. Environmental analysis.
Sec. 105. Special Forest Service administrative review process.
Sec. 106. Special requirements regarding judicial review of authorized 
                            hazardous fuels reduction projects.
Sec. 107. Injunctive relief for agency action to restore fire-adapted 
                            forest or rangeland ecosystems.
Sec. 108. Rules of construction.
                           TITLE II--BIOMASS

Sec. 201. Findings.
Sec. 202. Definitions.
Sec. 203. Grants to improve the commercial value of forest biomass for 
                            electric energy, useful heat, 
                            transportation fuels, and petroleum-based 
                            product substitutes.
Sec. 204. Reporting requirement.
                TITLE III--WATERSHED FORESTRY ASSISTANCE

Sec. 301. Findings and purpose.
Sec. 302. Establishment of watershed forestry assistance program.
                     TITLE IV--INSECT INFESTATIONS

Sec. 401. Definitions, findings, and purpose.
Sec. 402. Accelerated information gathering regarding bark beetles, 
                            including Southern pine beetles, hemlock 
                            woolly adelgid, emerald ash borers, red oak 
                            borers, and white oak borers.
Sec. 403. Applied silvicultural assessments.
Sec. 404. Relation to other laws.
Sec. 405. Authorization of appropriations.
                TITLE V--HEALTHY FORESTS RESERVE PROGRAM

Sec. 501. Establishment of healthy forests reserve program.
Sec. 502. Eligibility and enrollment of lands in program.
Sec. 503. Conservation plans.
Sec. 504. Financial assistance.
Sec. 505. Technical assistance.
Sec. 506. Safe harbor.
Sec. 507. Authorization of appropriations.
                   TITLE VI--MISCELLANEOUS PROVISIONS

Sec. 601. Forest stands inventory and monitoring program to improve 
                            detection of and response to environmental 
                            threats.

SEC. 2. PURPOSE.

    The purpose of this Act is--
            (1) to reduce the risks of damage to communities, municipal 
        water supplies, and some at-risk Federal lands from 
        catastrophic wildfires;
            (2) to authorize grant programs to improve the commercial 
        value of forest biomass for electric energy, useful heat, 
        transportation fuels, petroleum-based product substitutes and 
        other commercial purposes;
            (3) to enhance efforts to protect watersheds and address 
        threats to forest and rangeland health, including catastrophic 
        wildfire, across the landscape;
            (4) to promote systematic information gathering to address 
        the impact of insect infestations on forest and rangeland 
        health;
            (5) to improve the capacity to detect insect and disease 
        infestations at an early stage, particularly with respect to 
        hardwood forests; and
            (6) to protect, restore, and enhance degraded forest 
        ecosystem types in order to promote the recovery of threatened 
        and endangered species as well as improve biological diversity 
        and enhance carbon sequestration.

          TITLE I--HAZARDOUS FUELS REDUCTION ON FEDERAL LANDS

SEC. 101. DEFINITIONS.

    In this title:
            (1) Authorized hazardous fuels reduction project.--The term 
        ``authorized hazardous fuels reduction project'' means a 
        hazardous fuels reduction project described in subsection (a) 
        of section 102, subject to the remainder of such section, that 
        is planned and conducted using the process authorized by 
        section 104.
            (2) Condition class 2.--The term ``condition class 2'', 
        with respect to an area of Federal lands, refers to the 
        condition class description developed by the Forest Service 
        Rocky Mountain Research Station in the general technical report 
        entitled ``Development of Coarse-Scale Spatial Data for 
        Wildland Fire and Fuel Management'' (RMRS-87), dated April 
        2000, under which--
                    (A) fire regimes on the lands have been moderately 
                altered from their historical range;
                    (B) there exists a moderate risk of losing key 
                ecosystem components from fire;
                    (C) fire frequencies have departed (either 
                increased or decreased) from historical frequencies by 
                one or more return interval, which results in moderate 
                changes to fire size, frequency, intensity, severity, 
                or landscape patterns; and
                    (D) vegetation attributes have been moderately 
                altered from their historical range.
            (3) Condition class 3.--The term ``condition class 3'', 
        with respect to an area of Federal lands, refers to the 
        condition class description developed by the Rocky Mountain 
        Research Station in the general technical report referred to in 
        paragraph (2), under which--
                    (A) fire regimes on the lands have been 
                significantly altered from their historical range;
                    (B) there exists a high risk of losing key 
                ecosystem components from fire;
                    (C) fire frequencies have departed from historical 
                frequencies by multiple return intervals, which results 
                in dramatic changes to fire size, frequency, intensity, 
                severity, or landscape patterns; and
                    (D) vegetation attributes have been significantly 
                altered from their historical range.
            (4) Day.--The term ``day'' means a calendar day, except 
        that, if a deadline imposed by this title would expire on a 
        nonbusiness day, the deadline will be extended to the end of 
        the next business day.
            (5) Decision document.--The term ``decision document'' 
        means a decision notice or a record of decision, as those terms 
        are used in applicable regulations of the Council on 
        Environmental Quality and the Forest Service Handbook.
            (6) Federal lands.--The term ``Federal lands'' means--
                    (A) National Forest System lands; and
                    (B) public lands administered by the Secretary of 
                the Interior, acting through the Bureau of Land 
                Management.
            (7) Hazardous fuels reduction project.--The term 
        ``hazardous fuels reduction project'' refers to the measures 
        and methods described in the definition of ``appropriate 
        tools'' contained in the glossary of the Implementation Plan.
            (8) Implementation plan.--The term ``Implementation Plan'' 
        means the Implementation Plan for the 10-year Comprehensive 
        Strategy for a Collaborative Approach for Reducing Wildland 
        Fire Risks to Communities and the Environment, dated May 2002, 
        which was developed pursuant to the conference report for the 
        Department of the Interior and Related Agencies Appropriations 
        Act, 2001 (House Report 106-646).
            (9) Interface community and intermix community.--The terms 
        ``interface community'' and ``intermix community'' have the 
        meanings given those terms on page 753 of volume 66 of the 
        Federal Register, as published on January 4, 2001.
            (10) Municipal water supply system.--The term ``municipal 
        water supply system'' means the reservoirs, canals, ditches, 
        flumes, laterals, pipes, pipelines, or other surface facilities 
        and systems constructed or installed for the impoundment, 
        storage, transportation, or distribution of drinking water for 
        a community.
            (11) Secretary concerned.--The term ``Secretary concerned'' 
        means the Secretary of Agriculture with respect to National 
        Forest System lands and the Secretary of the Interior with 
        respect to public lands administered by the Bureau of Land 
        Management. Any reference in this title to the ``Secretary 
        concerned'', the ``Secretary of Agriculture'', or the 
        ``Secretary of the Interior'' includes the designee of the 
        Secretary concerned.
            (12) Threatened and endangered species habitat.--The term 
        ``threatened and endangered species habitat'' means Federal 
        lands identified in the listing decision or critical habitat 
        designation as habitat for a threatened species or an 
        endangered species under the Endangered Species Act of 1973 (16 
        U.S.C. 1531 et seq.).

SEC. 102. AUTHORIZED HAZARDOUS FUELS REDUCTION PROJECTS.

    (a) Authorized Projects.--Subject to the remainder of this section, 
the Secretary concerned may utilize the process authorized by section 
104 to plan and conduct hazardous fuels reduction projects on any of 
the following Federal lands:
            (1) Federal lands located in an interface community or 
        intermix community.
            (2) Federal lands located in such proximity to an interface 
        community or intermix community that there is a significant 
        risk that the spread of a fire disturbance event from those 
        lands would threaten human life and property in the interface 
        community or intermix community.
            (3) Condition class 3 or condition class 2 Federal lands 
        located in such proximity to a municipal water supply system, 
        or to a perennial stream feeding a municipal water supply 
        system, that a significant risk exists that a fire disturbance 
        event would have substantial adverse effects on the water 
        quality of the municipal water supply, including the risk to 
        water quality posed by erosion following such a fire 
        disturbance event.
            (4) Condition class 3 or condition class 2 Federal lands 
        identified by the Secretary concerned as an area where 
        windthrow or blowdown, or the existence or threat of disease or 
        insect infestation, pose a significant threat to forest or 
        rangeland health or adjacent private lands.
            (5) Federal lands not covered by paragraph (1), (2), (3), 
        or (4) that contain threatened and endangered species habitat, 
        but only if--
                    (A) natural fire regimes on such lands are 
                identified as being important for, or wildfire is 
                identified as a threat to, an endangered species, a 
                threatened species, or its habitat in a species 
                recovery plan prepared under section 4 of the 
                Endangered Species Act of 1973 (16 U.S.C. 1533) or in a 
                decision document under such section determining a 
                species to be an endangered species or a threatened 
                species or designating critical habitat;
                    (B) the project will provide enhanced protection 
                from catastrophic wildfire for the species or its 
                habitat; and
                    (C) the Secretary complies with any applicable 
                guidelines specified in the species recovery plan 
                prepared under the Endangered Species Act of 1973 (16 
                U.S.C. 1531 et seq.).
    (b) Relation to Agency Plans.--An authorized hazardous fuels 
reduction project shall be planned and conducted in a manner consistent 
with the land and resource management plan or land use plan applicable 
to the Federal lands covered by the project.
    (c) Acreage Limitation.--Not more than a total of 20,000,000 acres 
of Federal lands may be included in authorized hazardous fuels 
reduction projects.
    (d) Exclusion of Certain Federal Lands.--The Secretary concerned 
may not plan or conduct an authorized hazardous fuels reduction project 
that would occur on any of the following Federal lands:
            (1) A component of the National Wilderness Preservation 
        System.
            (2) Federal lands where, by Act of Congress or Presidential 
        proclamation, the removal of vegetation is prohibited or 
        restricted.
            (3) Wilderness Study Areas.

SEC. 103. PRIORITIZATION FOR COMMUNITIES AND WATERSHEDS.

    As provided for in the Implementation Plan, the Secretary concerned 
shall give priority to authorized hazardous fuel reduction projects 
that provide for the protection of communities and watersheds.

SEC. 104. ENVIRONMENTAL ANALYSIS.

    (a) In General.--Except as otherwise provided in this title, the 
Secretary concerned shall plan and conduct authorized hazardous fuels 
reduction projects in accordance with the National Environmental Policy 
Act of 1969 (42 U.S.C. 4331 et seq.) and any other applicable laws. The 
Secretary concerned shall prepare an environmental assessment or an 
environmental impact statement for each authorized hazardous fuels 
reduction project.
    (b) Discretionary Authority To Eliminate Alternatives.--In the case 
of an authorized hazardous fuels reduction project, the Secretary 
concerned is not required to study, develop, or describe any 
alternative to the proposed agency action in the environmental 
assessment or environmental impact statement prepared for the proposed 
agency action pursuant to section 102(2) of the National Environmental 
Policy Act of 1969 (42 U.S.C. 4332(2)).
    (c) Public Notice and Meeting.--
            (1) Public notice.--The Secretary concerned shall provide 
        notice of each authorized hazardous fuels reduction project in 
        accordance with applicable regulations and administrative 
        guidelines.
            (2) Public meeting.--During the planning stage of each 
        authorized hazardous fuels reduction project, the Secretary 
        concerned shall conduct a public meeting at an appropriate 
        location proximate to the administrative unit of the Federal 
        lands in which the authorized hazardous fuels reduction project 
        will be conducted. The Secretary concerned shall provide 
        advance notice of the date and time of the meeting.
    (d) Public Collaboration.--In order to encourage meaningful public 
participation in the identification and development of authorized 
hazardous fuels reduction projects, the Secretary concerned shall 
facilitate collaboration among governments and interested persons 
during the formulation of each authorized fuels reduction project in a 
manner consistent with the Implementation Plan.
    (e) Environmental Analysis and Public Comment.--In accordance with 
section 102(2) of the National Environmental Policy Act of 1969 (42 
U.S.C. 4332(2)) and the applicable regulations and administrative 
guidelines in effect on the date of the enactment of this Act, the 
Secretary concerned shall provide an opportunity for public input 
during the preparation of any environmental assessment or environmental 
impact statement for proposed agency action for an authorized hazardous 
fuels reduction project.
    (f) Decision Document.--The Secretary concerned shall sign a 
decision document for each authorized hazardous fuels reduction project 
and provide notice of the decision document.
    (g) Project Monitoring.--As provided for in the Implementation 
Plan, the Secretary concerned shall monitor the implementation of 
authorized hazardous fuels reduction projects.

SEC. 105. SPECIAL FOREST SERVICE ADMINISTRATIVE REVIEW PROCESS.

    (a) Development of Administrative Process.--Not later than 90 days 
after the date of the enactment of this Act, the Secretary of 
Agriculture shall issue final regulations to establish an 
administrative process that will serve as the sole means by which a 
person described in subsection (b) can seek administrative redress 
regarding an authorized hazardous fuels reduction project.
    (b) Eligible Persons.--To be eligible to participate in the 
administrative process developed pursuant to subsection (a) regarding 
an authorized hazardous fuels reduction project, a person must have 
submitted specific and substantive written comments during the 
preparation stage of that authorized hazardous fuels reduction project. 
The Secretary of Agriculture shall ensure that, during the preparation 
stage of each authorized hazardous fuels reduction project, notice and 
comment is provided in a manner sufficient to permit interested persons 
a reasonable opportunity to satisfy the requirements of this 
subsection.
    (c) Relation to Appeals Reform Act.--Section 322 of the Department 
of the Interior and Related Agencies Appropriations Act, 1993 (Public 
Law 102-381; 16 U.S.C. 1612 note), does not apply to an authorized 
hazardous fuels reduction project.

SEC. 106. SPECIAL REQUIREMENTS REGARDING JUDICIAL REVIEW OF AUTHORIZED 
              HAZARDOUS FUELS REDUCTION PROJECTS.

    (a) Filing Deadline.--
            (1) Time limit established for filing.--Notwithstanding any 
        other provision of law, to be timely, an action in a court of 
        the United States challenging an authorized hazardous fuels 
        reduction project shall be filed in the court before the end of 
        the 15-day period beginning on the date on which the Secretary 
        concerned publishes, in the local paper of record, notice of 
        the final agency action regarding the authorized hazardous 
        fuels reduction project. This time limitation supersedes any 
        notice of intent to file suit requirement or filing deadline 
        otherwise applicable to a challenge under any provision of law.
            (2) Waiver prohibited.--The Secretary concerned may not 
        agree to, and a district court may not grant, a waiver of the 
        requirements of this subsection.
    (b) Duration of Preliminary Injunction.--
            (1) Duration; extension.--Any preliminary injunction 
        granted regarding an authorized hazardous fuels reduction 
        project shall be limited to 45 days. A court may renew the 
        preliminary injunction, taking into consideration the goal 
        expressed in subsection (c) for the expeditious resolution of 
        cases regarding authorized hazardous fuels reduction projects.
            (2) Submission of information.--As part of a request to 
        renew a preliminary injunction granted regarding an authorized 
        hazardous fuels reduction project, the parties shall present 
        the court with an update on any changes that may have occurred 
        during the period of the injunction to the forest or rangeland 
        conditions that the authorized hazardous fuels reduction 
        project is intended to address.
            (3) Congressional notification.--In the event of the 
        renewal of a preliminary injunction regarding an authorized 
        hazardous fuels reduction project, the Secretary concerned 
        shall submit notice of the renewal to the Committee on 
        Resources and the Committee on Agriculture of the House of 
        Representatives and the Committee on Energy and Natural 
        Resources and the Committee on Agriculture, Nutrition, and 
        Forestry of the Senate.
    (c) Expeditious Completion of Judicial Review.--Congress intends 
and encourages any court in which is filed a lawsuit or appeal of a 
lawsuit concerning an authorized hazardous fuels reduction project to 
expedite, to the maximum extent practicable, the proceedings in such 
lawsuit or appeal with the goal of rendering a final determination on 
jurisdiction, and if jurisdiction exists, a final determination on the 
merits, within 100 days from the date the complaint or appeal is filed.

SEC. 107. INJUNCTIVE RELIEF FOR AGENCY ACTION TO RESTORE FIRE-ADAPTED 
              FOREST OR RANGELAND ECOSYSTEMS.

    (a) Covered Projects.--This section applies with respect to a 
motion for an injunction in an action brought against the Secretary 
concerned under section 703 of title 5, United States Code, that 
involves an agency action on Federal lands, including an authorized 
hazardous fuels reduction project, that is necessary to restore a fire-
adapted forest or rangeland system.
    (b) Injunctive Relief.--When considering a motion described in 
subsection (a), in determining whether there would be harm to the 
defendant from the injunction and whether the injunction would be in 
the public interest, the court reviewing the agency action shall--
            (1) balance the impact to the ecosystem of the short-term 
        and long-term effects of undertaking the agency action against 
        the short-term and long-term effects of not undertaking the 
        agency action; and
            (2) give weight to a finding by the Secretary concerned in 
        the administrative record of the agency action concerning the 
        short-term and long-term effects of undertaking the agency 
        action and of not undertaking the agency action, unless the 
        court finds that the finding was arbitrary and capricious.

SEC. 108. RULES OF CONSTRUCTION.

    (a) Relation to Other Authority.--Nothing in this title shall be 
construed to affect, or otherwise bias, the use by the Secretary 
concerned of other statutory or administrative authorities to plan or 
conduct a hazardous fuels reduction project on Federal lands, including 
Federal lands identified in section 102(e), that is not planned or 
conducted using the process authorized by section 104.
    (b) Relation to Legal Action.--Nothing in this title shall be 
construed to prejudice or otherwise affect the consideration or 
disposition of any legal action concerning the Roadless Area 
Conservation Rule, part 294 of title 36, Code of Federal Regulations, 
as amended in the final rule and record of decision published in the 
Federal Register on January 12, 2001 (66 Fed. Reg. 3244).

                           TITLE II--BIOMASS

SEC. 201. FINDINGS.

    Congress finds the following:
            (1) Thousands of communities in the United States, many 
        located near Federal lands, are at risk to wildfire. 
        Approximately 190,000,000 acres of land managed by the 
        Secretary of Agriculture and the Secretary of the Interior are 
        at risk of catastrophic fire in the near future. The 
        accumulation of heavy forest and rangeland fuel loads continues 
        to increase as a result of disease, insect infestations, and 
        drought, further raising the risk of fire each year.
            (2) In addition, more than 70,000,000 acres across all land 
        ownerships are at risk to higher than normal mortality over the 
        next 15 years from insect infestation and disease. High levels 
        of tree mortality from insects and disease result in increased 
        fire risk, loss of old growth, degraded watershed conditions, 
        and changes in species diversity and productivity, as well as 
        diminished fish and wildlife habitat and decreased timber 
        values.
            (3) Preventive treatments such as removing fuel loading, 
        ladder fuels, and hazard trees, planting proper species mix and 
        restoring and protecting early successional habitat, and other 
        specific restoration treatments designed to reduce the 
        susceptibility of forest and rangeland to insect outbreaks, 
        disease, and catastrophic fire present the greatest opportunity 
        for long-term forest and rangeland health by creating a mosaic 
        of species-mix and age distribution. Such prevention treatments 
        are widely acknowledged to be more successful and cost 
        effective than suppression treatments in the case of insects, 
        disease, and fire.
            (4) The by-products of preventive treatment (wood, brush, 
        thinnings, chips, slash, and other hazardous fuels) removed 
        from forest and rangelands represent an abundant supply of 
        biomass for biomass-to-energy facilities and raw material for 
        business. There are currently few markets for the extraordinary 
        volumes of by-products being generated as a result of the 
        necessary large-scale preventive treatment activities.
            (5) The United States should--
                    (A) promote economic and entrepreneurial 
                opportunities in using by-products removed through 
                preventive treatment activities related to hazardous 
                fuels reduction, disease, and insect infestation; and
                    (B) develop and expand markets for traditionally 
                underused wood and biomass as an outlet for by-products 
                of preventive treatment activities.

SEC. 202. DEFINITIONS.

    In this title:
            (1) Biomass.--The term ``biomass'' means trees and woody 
        plants, including limbs, tops, needles, and other woody parts, 
        and by-products of preventive treatment, such as wood, brush, 
        thinnings, chips, and slash, that are removed--
                    (A) to reduce hazardous fuels; or
                    (B) to reduce the risk of or to contain disease or 
                insect infestation.
            (2) Indian tribe.--The term ``Indian tribe'' has the 
        meaning given the term in section 4(e) of the Indian Self-
        Determination and Education Assistance Act (25 U.S.C. 450b(e)).
            (3) Person.--The term ``person'' includes--
                    (A) an individual;
                    (B) a community (as determined by the Secretary 
                concerned);
                    (C) an Indian tribe;
                    (D) a small business, micro-business, or a 
                corporation that is incorporated in the United States; 
                and
                    (E) a nonprofit organization.
            (4) Preferred community.--The term ``preferred community'' 
        means--
                    (A) any town, township, municipality, or other 
                similar unit of local government (as determined by the 
                Secretary concerned) that--
                            (i) has a population of not more than 
                        50,000 individuals; and
                            (ii) the Secretary concerned, in the sole 
                        discretion of the Secretary concerned, 
                        determines contains or is located near land, 
                        the condition of which is at significant risk 
                        of catastrophic wildfire, disease, or insect 
                        infestation or which suffers from disease or 
                        insect infestation; or
                    (B) any county that--
                            (i) is not contained within a metropolitan 
                        statistical area; and
                            (ii) the Secretary concerned, in the sole 
                        discretion of the Secretary concerned, 
                        determines contains or is located near land, 
                        the condition of which is at significant risk 
                        of catastrophic wildfire, disease, or insect 
                        infestation or which suffers from disease or 
                        insect infestation.
            (5) Secretary concerned.--The term ``Secretary concerned'' 
        means--
                    (A) the Secretary of Agriculture with respect to 
                National Forest System lands; and
                    (B) the Secretary of the Interior with respect to 
                Federal lands under the jurisdiction of the Secretary 
                of the Interior and Indian lands.

SEC. 203. GRANTS TO IMPROVE THE COMMERCIAL VALUE OF FOREST BIOMASS FOR 
              ELECTRIC ENERGY, USEFUL HEAT, TRANSPORTATION FUELS, AND 
              PETROLEUM-BASED PRODUCT SUBSTITUTES.

    (a) Biomass Commercial Use Grant Program.--
            (1) In general.--The Secretary concerned may make grants to 
        any person that owns or operates a facility that uses biomass 
        as a raw material to produce electric energy, sensible heat, 
        transportation fuels, or substitutes for petroleum-based 
        products to offset the costs incurred to purchase biomass for 
        use by such facility.
            (2) Grant amounts.--A grant under this subsection may not 
        exceed $20 per green ton of biomass delivered.
            (3) Monitoring of grant recipient activities.--As a 
        condition of a grant under this subsection, the grant recipient 
        shall keep such records as the Secretary concerned may require 
        to fully and correctly disclose the use of the grant funds and 
        all transactions involved in the purchase of biomass. Upon 
        notice by a representative of the Secretary concerned, the 
        grant recipient shall afford the representative reasonable 
        access to the facility that purchases or uses biomass and an 
        opportunity to examine the inventory and records of the 
        facility.
    (b) Value Added Grant Program.--
            (1) In general.--The Secretary concerned may make grants to 
        persons to offset the cost of projects to add value to biomass. 
        In making such grants, the Secretary concerned shall give 
        preference to persons in preferred communities.
            (2) Selection.--The Secretary concerned shall select a 
        grant recipient under paragraph (1) after giving consideration 
        to the anticipated public benefits of the project, 
        opportunities for the creation or expansion of small businesses 
        and micro-businesses, and the potential for new job creation.
            (3) Grant amount.--A grant under this subsection may not 
        exceed $100,000.
    (c) Relation to Other Endangered Species and Riparian 
Protections.--The Secretary concerned shall comply with applicable 
endangered species and riparian protections in making grants under this 
section. Projects funded using grant proceeds shall be required to 
comply with such protections.
    (d) Authorization of Appropriations.--There is authorized to be 
appropriated $25,000,000 for each of the fiscal years 2004 through 2008 
to carry out this section.

SEC. 204. REPORTING REQUIREMENT.

    (a) Report Required.--Not later than October 1, 2010, the Secretary 
of Agriculture, in consultation with the Secretary of the Interior, 
shall submit to the Committee on Resources and the Committee on 
Agriculture of the House of Representatives and the Committee on Energy 
and Natural Resources and the Committee on Agriculture, Nutrition, and 
Forestry of the Senate a report describing the results of the grant 
programs authorized by section 203.
    (b) Contents of Report.--The report shall include the following:
            (1) An identification of the size, type, and the use of 
        biomass by persons that receive grants under section 203.
            (2) The distance between the land from which the biomass 
        was removed and the facility that used the biomass.
            (3) The economic impacts, particularly new job creation, 
        resulting from the grants to and operation of the eligible 
        operations.

                TITLE III--WATERSHED FORESTRY ASSISTANCE

SEC. 301. FINDINGS AND PURPOSE.

    (a) Findings.--Congress finds the following:
            (1) There has been a dramatic shift in public attitudes and 
        perceptions about forest management, particularly in the 
        understanding and practice of sustainable forest management.
            (2) It is commonly recognized that the proper stewardship 
        of forest lands is essential to sustaining and restoring the 
        health of watersheds.
            (3) Forests can provide essential ecological services in 
        filtering pollutants, buffering important rivers and estuaries, 
        and minimizing flooding, which makes its restoration worthy of 
        special focus.
            (4) Strengthened education, technical assistance, and 
        financial assistance to nonindustrial private forest landowners 
        and communities, relating to the protection of watershed 
        health, is needed to realize the expectations of the general 
        public.
    (b) Purpose.--The purpose of this title is to--
            (1) improve landowner and public understanding of the 
        connection between forest management and watershed health;
            (2) encourage landowners to maintain tree cover on their 
        property and to utilize tree plantings and vegetative 
        treatments as creative solutions to watershed problems 
        associated with varying land uses;
            (3) enhance and complement forest management and buffer 
        utilization for watersheds, with an emphasis on urban 
        watersheds;
            (4) establish new partnerships and collaborative watershed 
        approaches to forest management, stewardship, and conservation;
            (5) provide technical and financial assistance to States to 
        deliver a coordinated program that enhances State forestry 
        best-management practices programs, as well as conserves and 
        improves forested lands and potentially forested lands through 
        technical, financial, and educational assistance to qualifying 
        individuals and entities; and
            (6) maximize the proper management and conservation of 
        wetland forests and to assist in their restoration as 
        necessary.

SEC. 302. ESTABLISHMENT OF WATERSHED FORESTRY ASSISTANCE PROGRAM.

    The Cooperative Forestry Assistance Act of 1978 is amended by 
inserting after section 5 the following new section:

``SEC. 6. WATERSHED FORESTRY ASSISTANCE.

    ``(a) General Authority and Purpose.--The Secretary, acting through 
the Forest Service, may provide technical, financial, and related 
assistance to State foresters and equivalent State officials for the 
purpose of expanding State forest stewardship capacities and activities 
through State forestry best-management practices and other means at the 
State level to address watershed issues on non-Federal forested lands 
and potentially forested lands.
    ``(b) Technical Assistance To Protect Water Quality.--
            ``(1) In general.--The Secretary, in cooperation with State 
        foresters or equivalent State officials, shall engage 
        interested members of the public, including nonprofit 
        organizations and local watershed councils, to develop a 
        program of technical assistance to protect water quality, as 
        described in paragraph (2).
            ``(2) Purpose of program.--The program under this 
        subsection shall be designed--
                    ``(A) to build and strengthen watershed 
                partnerships that focus on forested landscapes at the 
                local, State, and regional levels;
                    ``(B) to provide State forestry best-management 
                practices and water quality technical assistance 
                directly to nonindustrial private forest landowners;
                    ``(C) to provide technical guidance to land 
                managers and policy makers for water quality protection 
                through forest management;
                    ``(D) to complement State and local efforts to 
                protect water quality and provide enhanced 
                opportunities for consultation and cooperation among 
                Federal and State agencies charged with responsibility 
                for water and watershed management; and
                    ``(E) to provide enhanced forest resource data and 
                support for improved implementation and monitoring of 
                State forestry best-management practices.
            ``(3) Implementation.--The program of technical assistance 
        shall be implemented by State foresters or equivalent State 
        officials.
    ``(c) Watershed Forestry Cost-Share Program.--
            ``(1) In general.--The Secretary shall establish a 
        watershed forestry cost-share program to be administered by the 
        Forest Service and implemented by State foresters or equivalent 
        State officials. Funds or other support provided under such 
        program shall be made available for State forestry best-
        management practices programs and watershed forestry projects.
            ``(2) Watershed forestry projects.--The State forester or 
        equivalent State official of a State, in coordination with the 
        State Forest Stewardship Coordinating Committee established 
        under section 19(b) for that State, shall annually make awards 
        to communities, nonprofit groups, and nonindustrial private 
        forest landowners under the program for watershed forestry 
        projects described in paragraph (3).
            ``(3) Project elements and objectives.--A watershed 
        forestry project shall accomplish critical forest stewardship, 
        watershed protection, and restoration needs within a State by 
        demonstrating the value of trees and forests to watershed 
        health and condition through--
                    ``(A) the use of trees as solutions to water 
                quality problems in urban and rural areas;
                    ``(B) community-based planning, involvement, and 
                action through State, local and nonprofit partnerships;
                    ``(C) application of and dissemination of 
                monitoring information on forestry best-management 
                practices relating to watershed forestry;
                    ``(D) watershed-scale forest management activities 
                and conservation planning; and
                    ``(E) the restoration of wetland (as defined by the 
                States) and stream-side forests and the establishment 
                of riparian vegetative buffers.
            ``(4) Cost-sharing.--Funds provided under this subsection 
        for a watershed forestry project may not exceed 75 percent of 
        the cost of the project. Other Federal funding sources may be 
        used to cover a portion of the remaining project costs, but the 
        total Federal share of the costs may not exceed 90 percent. The 
        non-Federal share of the costs of a project may be in the form 
        of cash, services, or other in-kind contributions.
            ``(5) Prioritization.--The State Forest Stewardship 
        Coordinating Committee for a State shall prioritize watersheds 
        in that State to target watershed forestry projects funded 
        under this subsection.
            ``(6) Watershed forester.--Financial and technical 
        assistance shall be made available to the State Forester or 
        equivalent State official to create a State best-management 
        practice forester to lead statewide programs and coordinate 
        small watershed-level projects.
    ``(d) Distribution.--
            ``(1) In general.--The Secretary shall devote at least 75 
        percent of the funds appropriated for a fiscal year pursuant to 
        the authorization of appropriations in subsection (e) to the 
        cost-share program under subsection (c) and the remainder to 
        the task of delivering technical assistance, education, and 
        planning on the ground through the State Forester or equivalent 
        State official.
            ``(2) Special considerations.--Distribution of these funds 
        by the Secretary among the States shall be made only after 
        giving appropriate consideration to--
                    ``(A) the acres of nonindustrial private forestland 
                and highly erodible land in each State;
                    ``(B) each State's efforts to conserve forests;
                    ``(C) the acres of forests in each State that have 
                been lost or degraded or where forests can play a role 
                in restoring watersheds; and
                    ``(D) the number of nonindustrial private forest 
                landowners in each State.
    ``(e) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $15,000,000 for each of the 
fiscal years 2004 through 2008.''.

                     TITLE IV--INSECT INFESTATIONS

SEC. 401. DEFINITIONS, FINDINGS, AND PURPOSE.

    (a) Definitions.--In this title:
            (1) Applied silvicultural assessment.--The term ``applied 
        silvicultural assessment'' means any vegetative or other 
        treatment, for the purposes described in section 402, including 
        timber harvest, thinning, prescribed burning, and pruning, as 
        single treatment or any combination of these treatments.
            (2) Federal lands.--The term ``Federal lands'' means--
                    (A) National Forest System lands; and
                    (B) public lands administered by the Secretary of 
                the Interior, acting through the Bureau of Land 
                Management.
            (3) Secretary concerned.--The term ``Secretary concerned'' 
        means--
                    (A) the Secretary of Agriculture, acting through 
                the Forest Service, with respect to National Forest 
                System lands; and
                    (B) the Secretary of the Interior, acting through 
                appropriate offices of the United States Geological 
                Survey, with respect to federally owned land 
                administered by the Secretary of the Interior.
            (4) 1890 institutions.--The term ``1890 Institution'' means 
        a college or university eligible to receive funds under the Act 
        of August 30, 1890 (7 U.S.C. 321 et seq.), including Tuskegee 
        University.
    (b) Findings.--Congress finds the following:
            (1) High levels of tree mortality due to insect infestation 
        result in--
                    (A) increased fire risk;
                    (B) loss of old growth;
                    (C) loss of threatened and endangered species;
                    (D) loss of species diversity;
                    (E) degraded watershed conditions;
                    (F) increased potential for damage from other 
                agents of disturbance, including exotic, invasive 
                species; and
                    (G) decreased timber values.
            (2) Bark beetles destroy hundreds of thousands of acres of 
        trees each year. In the West, over 21,000,000 acres are at high 
        risk of bark beetle infestation and in the South over 
        57,000,000 acres are at risk across all land ownerships. Severe 
        drought conditions in many areas of the South and West will 
        increase risk of bark beetle infestations.
            (3) The hemlock woolly adelgid is destroying streamside 
        forests throughout the mid-Atlantic and Appalachian region, 
        threatening water quality and sensitive aquatic species, and 
        posing a potential threat to valuable commercial timber lands 
        in Northern New England.
            (4) The emerald ash borer is a nonnative, invasive pest 
        that has quickly become a major threat to hardwood forests as a 
        emerald ash borer infestation is almost always fatal to the 
        affected trees. This pest threatens to destroy over 692,000,000 
        ash trees in forests in Michigan and Ohio alone, and between 
        five and ten percent of urban street trees in the Upper 
        Midwest.
            (5) Epidemic populations of Southern pine beetle are 
        ravaging forests in Alabama, Arkansas, Florida, Georgia, 
        Kentucky, Mississippi, North Carolina, South Carolina, 
        Tennessee, and Virginia. In 2001, Florida and Kentucky 
        experienced 146 percent and 111 percent increases, 
        respectively, in beetle populations.
            (6) These epidemic outbreaks of Southern pine beetle have 
        forced private landowners to harvest dead and dying trees, in 
        both rural areas and increasingly urbanized settings.
            (7) According to the Forest Service, recent outbreaks of 
        the red oak borer in Arkansas have been unprecedented, with 
        almost 800,000 acres infested at population levels never seen 
        before.
            (8) Much of the damage from the red oak borer has taken 
        place in National forests, and the Federal response has been 
        inadequate to protect forest ecosystems and other ecological 
        and economic resources.
            (9) Previous silvicultural assessments, while useful and 
        informative, have been limited in scale and scope of 
        application, and there has not been sufficient resources 
        available to adequately test a full array of individual and 
        combined applied silvicultural assessments.
            (10) Only through the rigorous funding, development, and 
        assessment of potential applied silvicultural assessments over 
        specific time frames across an array of environmental and 
        climatic conditions can the most innovative and cost effective 
        management applications be determined that will help reduce the 
        susceptibility of forest ecosystems to attack by forest pests.
            (11) Funding and implementation of an initiative to combat 
        forest pest infestations should not come at the expense of 
        supporting other programs and initiatives of the Secretary 
        concerned.
    (c) Purpose.--It is the purpose of this title--
            (1) to require the Secretary concerned to develop an 
        accelerated basic and applied assessment program to combat 
        infestations by bark beetles, including Southern pine beetles, 
        hemlock woolly adelgids, emerald ash borers, red oak borers, 
        and white oak borers;
            (2) to enlist the assistance of universities and forestry 
        schools, including Land Grant Colleges and Universities and 
        1890 Institutions, to carry out the program; and
            (3) to carry out applied silvicultural assessments.

SEC. 402. ACCELERATED INFORMATION GATHERING REGARDING BARK BEETLES, 
              INCLUDING SOUTHERN PINE BEETLES, HEMLOCK WOOLLY ADELGIDS, 
              EMERALD ASH BORERS, RED OAK BORERS, AND WHITE OAK BORERS.

    (a) Information Gathering.--The Secretary concerned shall 
establish, acting through the Forest Service and United States 
Geological Survey, as appropriate, an accelerated program--
            (1) to plan, conduct, and promote comprehensive and 
        systematic information gathering on bark beetles, including 
        Southern pine beetles, hemlock woolly adelgids, emerald ash 
        borers, red oak borers, and white oak borers, including an 
        evaluation of--
                    (A) infestation prevention and control methods;
                    (B) effects of infestations on forest ecosystems;
                    (C) restoration of the forest ecosystem efforts;
                    (D) utilization options regarding infested trees; 
                and
                    (E) models to predict the occurrence, distribution, 
                and impact of outbreaks of bark beetles, including 
                Southern pine beetles, hemlock woolly adelgids, emerald 
                ash borers, red oak borers, and white oak borers;
            (2) to assist land managers in the development of 
        treatments and strategies to improve forest health and reduce 
        the susceptibility of forest ecosystems to severe infestations 
        of bark beetles, including Southern pine beetles, hemlock 
        woolly adelgids, emerald ash borers, red oak borers, and white 
        oak borers on Federal lands and State and private lands; and
            (3) to disseminate the results of such information 
        gathering, treatments, and strategies.
    (b) Cooperation and Assistance.--The Secretary concerned shall 
establish and carry out the program in cooperation with scientists from 
universities and forestry schools, State agencies, and private and 
industrial land owners. The Secretary concerned shall designate 
universities and forestry schools, including Land Grant Colleges and 
Universities and 1890 Institutions, to assist in carrying out the 
program.

SEC. 403. APPLIED SILVICULTURAL ASSESSMENTS.

    (a) Assessment Efforts.--For information gathering purposes, the 
Secretary concerned may conduct applied silvicultural assessments on 
Federal lands that the Secretary concerned determines, in the 
discretion of the Secretary concerned, is at risk of infestation by, or 
is infested with, bark beetles, including Southern pine beetles, 
hemlock woolly adelgids, emerald ash borers, red oak borers, and white 
oak borers. Any applied silvicultural assessments carried out under 
this section shall be conducted on not more than 1,000 acres per 
assessment.
    (b) Limitations.--
            (1) Exclusion of certain areas.--Subsection (a) does not 
        apply to--
                    (A) a component of the National Wilderness 
                Preservation System;
                    (B) Federal lands where, by Act of Congress or 
                Presidential proclamation, the removal of vegetation is 
                restricted or prohibited; or
                    (C) congressionally designated wilderness study 
                areas.
            (2) Certain treatment prohibited.--Subsection (a) does not 
        authorize the application of insecticides in municipal 
        watersheds and associated riparian areas.
            (3) Acreage limitation.--Applied silvicultural assessments 
        may be implemented on not more than 250,000 acres using the 
        authorities provided by this title.
            (4) Peer review.--Each applied silvicultural assessment 
        under this title, prior to being carried out, shall be peer 
        reviewed by scientific experts selected by the Secretary 
        concerned, which shall include non-Federal experts. The 
        Secretary concerned may use existing peer review processes to 
        the extent they comply with the preceding sentence.
    (c) Public Notice and Comment.--
            (1) Public notice.--The Secretary concerned shall provide 
        notice of each applied silvicultural assessment proposed to be 
        carried out under this section in accordance with applicable 
        regulations and administrative guidelines.
            (2) Public comment.--During the planning stage of each 
        applied silvicultural assessment proposed to be carried out 
        under this section, the Secretary concerned shall provide an 
        opportunity for public input.
    (d) Categorical Exclusion.--Applied silvicultural assessments 
carried out under this section are deemed to be categorically excluded 
from further analysis under the National Environmental Policy Act of 
1969 (42 U.S.C. 4321 et seq.). The Secretary concerned need not make 
any findings as to whether the project, either individually or 
cumulatively, has a significant effect on the environment.

SEC. 404. RELATION TO OTHER LAWS.

    The authorities provided to the Secretary concerned by this title 
are supplemental to their respective authorities provided in any other 
law.

SEC. 405. AUTHORIZATION OF APPROPRIATIONS.

    There is authorized to be appropriated for fiscal years 2004 
through 2008 such sums as may be necessary to carry out this title.

                TITLE V--HEALTHY FORESTS RESERVE PROGRAM

SEC. 501. ESTABLISHMENT OF HEALTHY FORESTS RESERVE PROGRAM.

    (a) Establishment.--The Secretary of Agriculture shall establish 
the healthy forests reserve program as a program within the Forest 
Service for the purpose of protecting, restoring, and enhancing 
degraded forest ecosystems to promote the recovery of threatened and 
endangered species as well as improve biodiversity and enhance carbon 
sequestration.
    (b) Cooperation.--The Secretary of Agriculture shall carry out the 
healthy forests reserve program in cooperation with the Secretary of 
the Interior, acting through the United States Fish and Wildlife 
Service.

SEC. 502. ELIGIBILITY AND ENROLLMENT OF LANDS IN PROGRAM.

    (a) Eligible Lands.--The Secretary of Agriculture, in consultation 
with the Secretary of the Interior, shall designate rare forest 
ecosystems to be eligible for the healthy forests reserve program. The 
following lands are eligible for enrollment in the healthy forests 
reserve program:
            (1) Private lands whose enrollment will protect, restore, 
        enhance, or otherwise measurably increase the likelihood of 
        recovery of an endangered species or threatened species in the 
        wild.
            (2) Private lands whose enrollment will protect, restore, 
        enhance, or otherwise measurably increase the likelihood of the 
        recovery of an animal or plant species before the species 
        reaches threatened or endangered status, such as candidate, 
        State-listed species, rare, peripheral, and special concern 
        species.
    (b) Other Considerations.--In enrolling lands that satisfy the 
criteria in paragraph (1) or (2) of subsection (a), the Secretary of 
Agriculture shall give additional consideration to those lands whose 
enrollment will also improve biological diversity and increase carbon 
sequestration.
    (c) Enrollment by Willing Owners.--The Secretary of Agriculture 
shall enroll lands in the healthy forests reserve program only with the 
consent of the owner of the lands.
    (d) Maximum Enrollment.--The total number of acres enrolled in the 
healthy forests reserve program shall not exceed 1,000,000 acres.
    (e) Methods of Enrollment.--Lands may be enrolled in the healthy 
forests reserve program pursuant to a 10-year cost-share agreement, a 
30-year easement, or a permanent easement with buyback option. The 
extent to which each enrollment method is used shall be based on the 
approximate proportion of owner interest expressed in that method in 
comparison to the other methods.
    (f) Enrollment Priority.--The Secretary of Agriculture shall give 
priority to the enrollment of lands that, in the sole discretion of the 
Secretary, will provide the best opportunity to resolve conflicts 
between the presence of an animal or plant species referred to in 
paragraph (1) or (2) of subsection (a) and otherwise lawful land use 
activities.

SEC. 503. CONSERVATION PLANS.

    (a) Plan Required.--Lands enrolled in the healthy forests reserve 
program shall be subject to a conservation plan, to be developed 
jointly by the land owner and the United States Fish and Wildlife 
Service. The conservation plan shall include a description of the land-
use activities that are permissible on the enrolled lands.
    (b) Involvement by Other Agencies and Organizations.--A State fish 
and wildlife agency, State forestry agency, State environmental quality 
agency, and other State conservation agencies and nonprofit 
conservation organizations may assist in providing technical or 
financial assistance, or both, for the development and implementation 
of conservation plans.
    (c) Cost Effectiveness.--The conservation plan shall maximize the 
environmental benefits per dollar expended.

SEC. 504. FINANCIAL ASSISTANCE.

    (a) Permanent Easement With Buyback Option.--
            (1) Payment amount.--In the case of land enrolled in the 
        healthy forests reserve program using a permanent easement with 
        a buyback option, the Secretary of Agriculture shall pay the 
        owner of the land an amount equal to--
                    (A) the fair market value of the enrolled land less 
                the fair market value of the land encumbered by the 
                easement; plus
                    (B) the actual costs of the approved conservation 
                practices or the average cost of approved practices, as 
                established by the Secretary.
            (2) Buyback option.--Beginning on the 50th anniversary of 
        the enrollment of the land, and every 10th-year thereafter, the 
        owner shall be able to purchase the easement back from the 
        United States at a rate equal to the fair market value of the 
        easement plus the costs, adjusted for inflation, of the 
        approved conservation practices.
    (b) 30-Year Easement.--In the case of land enrolled in the healthy 
forests reserve program using a 30-year easement, the Secretary of 
Agriculture shall pay the owner of the land an amount equal to--
            (1) 75 percent of the fair market value of the land less 
        the fair market value of the land encumbered by the easement; 
        plus
            (2) 75 percent of the actual costs of the approved 
        conservation practices or 75 percent of the average cost of 
        approved practices, as established by the Secretary.
    (c) 10-Year Agreement.--In the case of land enrolled in the healthy 
forests reserve program using a 10-year cost-share agreement, the 
Secretary of Agriculture shall pay the owner of the land an amount 
equal to--
            (1) 75 percent of the actual costs of the approved 
        conservation practices; or
            (2) 75 percent of the average cost of approved practices, 
        as established by the Secretary.
    (d) Acceptance of Contributions.--The Secretary of Agriculture may 
accept and use contributions of non-Federal funds to make payments 
under this section.

SEC. 505. TECHNICAL ASSISTANCE.

    The Forest Service and the United States Fish and Wildlife Service 
shall provide landowners with technical assistance to comply with the 
terms of agreements and easements under the healthy forests reserve 
program and conservation plans.

SEC. 506. SAFE HARBOR.

    In implementing the healthy forests reserve program, the Secretary 
of the Interior shall provide safe harbor or similar assurances, 
through section 7 or other authorities under the Endangered Species Act 
of 1973 (16 U.S.C. 1531 et seq.), consistent with the implementing 
regulations of the United States Fish and Wildlife Service, to 
landowners who enroll land in the healthy forests reserve program when 
such enrollment will result in a net conservation benefit for listed 
species.

SEC. 507. AUTHORIZATION OF APPROPRIATIONS.

    There are authorized to be appropriated $15,000,000 for each of the 
fiscal years 2004 through 2008 to carry out this title.

                   TITLE VI--MISCELLANEOUS PROVISIONS

SEC. 601. FOREST STANDS INVENTORY AND MONITORING PROGRAM TO IMPROVE 
              DETECTION OF AND RESPONSE TO ENVIRONMENTAL THREATS.

    (a) In General.--The Secretary of Agriculture shall carry out a 
comprehensive program to inventory, monitor, characterize, assess, and 
identify forest stands (with emphasis on hardwood forest stands) and 
potential forest stands--
            (1) in units of the National Forest System (other than 
        those units created from the public domain); and
            (2) on private forest land, with the consent of the owner 
        of the land.
    (b) Issues To Be Addressed.--In carrying out the program, the 
Secretary shall address issues including--
            (1) early detection, identification, and assessment of 
        environmental threats (including insect, disease, invasive 
        species, fire, and weather-related risks and other episodic 
        events);
            (2) loss or degradation of forests;
            (3) degradation of the quality forest stands caused by 
        inadequate forest regeneration practices;
            (4) quantification of carbon uptake rates; and
            (5) management practices that focus on preventing further 
        forest degradation.
    (c) Early Warning System.--In carrying out the program, the 
Secretary shall develop a comprehensive early warning system for 
potential catastrophic environmental threats to forests to increase the 
likelihood that forest managers will be able to--
            (1) isolate and treat a threat before the threat gets out 
        of control; and
            (2) prevent epidemics, such as the American chestnut blight 
        in the first half of the twentieth century, that could be 
        environmentally and economically devastating to forests.
    (d) Authorization of Appropriations.--There are authorized to be 
appropriated to carry out this section $5,000,000 for each of the 
fiscal years 2004 through 2008.

            Passed the House of Representatives May 20, 2003.

            Attest:

                                                 JEFF TRANDAHL,

                                                                 Clerk.
```