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[House Report 112-258]
[From the U.S. Government Publishing Office]

112th Congress                                                   Report
                        HOUSE OF REPRESENTATIVES
 1st Session                                                    112-258

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 PROVIDING FOR CONSIDERATION OF THE BILL (H.R. 1904) TO FACILITATE THE 
   EFFICIENT EXTRACTION OF MINERAL RESOURCES IN SOUTHEAST ARIZONA BY 
AUTHORIZING AND DIRECTING AN EXCHANGE OF FEDERAL AND NON-FEDERAL LAND, 
                         AND FOR OTHER PURPOSES

                                _______
                                

  October 24, 2011.--Referred to the House Calendar and ordered to be 
                                printed

                                _______
                                

           Mr. Bishop of Utah, from the Committee on Rules, 
                        submitted the following

                              R E P O R T

                       [To accompany H. Res. 444]

    The Committee on Rules, having had under consideration 
House Resolution 444, by a nonrecord vote, report the same to 
the House with the recommendation that the resolution be 
adopted.

                SUMMARY OF PROVISIONS OF THE RESOLUTION

     The resolution provides for consideration of H.R. 1904, 
the Southeast Arizona Land Exchange and Conservation Act of 
2011, under a structured rule. The resolution provides one hour 
of general debate equally divided and controlled by the chair 
and ranking minority member of the Committee on Natural 
Resources. The resolution waives all points of order against 
consideration of the bill. The resolution provides that the 
amendment in the nature of a substitute recommended by the 
Committee on Natural Resources now printed in the bill, 
modified by the amendment printed in part A of this report, 
shall be considered as an original bill for the purpose of 
amendment and shall be considered as read. The resolution 
waives all points of order against the committee amendment in 
the nature of a substitute, as modified. The resolution makes 
in order only those further amendments printed in part B of 
this report. Each such amendment may be offered only in the 
order printed in this report, may be offered only by a Member 
designated in this report, shall be considered as read, shall 
be debatable for the time specified in this report equally 
divided and controlled by the proponent and an opponent, shall 
not be subject to amendment, and shall not be subject to a 
demand for division of the question. The resolution waives all 
points of order against the amendments printed in part B of 
this report. Finally, the resolution provides one motion to 
recommit with or without instructions.

                         EXPLANATION OF WAIVERS

    The waiver of all points of order against consideration of 
H.R. 1904 includes a waiver of clause 3(c)(4) of rule XIII, 
which requires a statement of general performance goals and 
objectives, including outcome-related goals and objectives, for 
which the measure authorizes funding.
    Although the resolution waives all points of order against 
the committee amendment in the nature of a substitute to H.R. 
1904, as modified, the Committee is not aware of any points of 
order against the committee amendment in the nature of a 
substitute, as modified. The waiver is prophylactic in nature.
    Although the resolution waives all points of order against 
the amendments printed in part B of this report, the Committee 
is not aware of any points of order against the amendments. The 
waiver is prophylactic in nature.

                            COMMITTEE VOTES

    The results of each record vote on an amendment or motion 
to report, together with the names of those voting for and 
against, are printed below:

Rules Committee record vote No. 141

    Motion by Mr. McGovern to report an open rule. Defeated: 2-
6

----------------------------------------------------------------------------------------------------------------
                Majority Members                      Vote               Minority Members               Vote
----------------------------------------------------------------------------------------------------------------
Ms. Foxx........................................          Nay   Ms. Slaughter.....................          Yea
Mr. Bishop of Utah..............................          Nay   Mr. McGovern......................          Yea
Mr. Nugent......................................          Nay
Mr. Scott of South Carolina.....................          Nay
Mr. Webster.....................................          Nay
Mr. Dreier, Chairman............................          Nay
----------------------------------------------------------------------------------------------------------------

          SUMMARY OF AMENDMENT IN PART A CONSIDERED AS ADOPTED

    Hastings, Doc (WA): Would make technical corrections to the 
bill to bring it into compliance with clause 4 of rule XXI.

             SUMMARY OF AMENDMENTS IN PART B MADE IN ORDER

    1. Lujan (NM): Would exempt all Native American sacred and 
cultural sites from the land conveyance. (10 minutes)
    2. Markey, Edward (MA): Would require, as a condition of 
the land exchange authorized by the bill, that Resolution 
Copper pay an 8% royalty to the United States on all locatable 
minerals produced in commercial quantities from the Federal 
land the company receives in the exchange. The Mining Law of 
1872 does not require any royalty payment. Resolution Copper 
estimates the value of the copper ore at several billion 
dollars. (10 minutes)
    3. Grijalva, Raul (AZ), Garamendi (CA): Would require that 
the remote operations center for the proposed mine be located 
in the local community, that the company actively recruit and 
hire local employees, that all ore produced from the mine be 
processed in the United States and that all equipment used at 
the mine be made in the United States. (10 minutes)

            PART A--TEXT OF AMENDMENT CONSIDERED AS ADOPTED

  Page 11, line 1, insert ``, in such amounts as are provided 
in advance in appropriation Acts,'' after ``be made 
available''.

  Page 21, line 1, insert ``, in such amounts as are provided 
in advance in appropriation Acts,'' after ``be available''.

  Page 24, line 16, insert ``, in such amounts as are provided 
in advance in appropriation Acts,'' after ``be made 
available''.

                PART B--TEXT OF AMENDMENTS MADE IN ORDER

1. An Amendment To Be Offered by Representative Lujan of New Mexico or 
                 His Designee, Debatable for 10 Minutes

  Page 14, after line 12, insert the following new subsection:

  (k) Exclusion of Native American Sacred and Cultural Sites.--
The Federal land to be conveyed under this section may not 
include any Native American sacred or cultural site, whether 
surface or subsurface, and the Secretary shall modify the map 
referred to in section 3(2) to exclude all such sacred and 
cultural sites, as identified by the Secretary in consultation 
with Resolution Copper and affected Indian tribes.
                              ----------                              

2. An Amendment To Be Offered by Representative Markey of Massachusetts 
               or His Designee, Debatable for 10 Minutes

  Page 19, beginning line 8, strike section 6 (value adjustment 
payment to United States) and insert the following new section:

SEC. 6. ROYALTY PAYMENT TO UNITED STATES FOR MINERALS PRODUCED FROM 
                    CONVEYED FEDERAL LAND.

  (a) Royalty Payment Required.--As a condition of the land 
exchange under this Act, Resolution Copper shall pay to the 
United States, by not later than March 15 of each calendar 
year, a royalty payment in an amount equal to 8 percent of the 
value of the quantity of locatable minerals produced during the 
preceding calendar year from the Federal land conveyed to 
Resolution Copper under section 4, as reported under subsection 
(b).
  (b) Annual Production Reporting to Determine Royalty 
Payment.--
          (1) Report required.--Resolution Copper shall submit 
        to the Secretary of the Interior an annual report 
        indicating the quantity of locatable minerals produced 
        in commercial quantities from the Federal land conveyed 
        to Resolution Copper under section 4.
          (2) Submission deadline.--The first report under 
        paragraph (1) shall be submitted not later than 
        February 15 of the first calendar year beginning after 
        the date of commencement of production of valuable 
        locatable minerals in commercial quantities from the 
        Federal land conveyed to Resolution Copper under 
        section 4 and cover the preceding calendar year. 
        Subsequent reports shall be submitted each February 15 
        thereafter and cover the preceding calendar year.
          (3) Sharing reports with state.--The Secretary shall 
        make each report received under paragraph (1) available 
        to the State.
          (4) Report contents.--The reports under paragraph (1) 
        shall comply with any recordkeeping and reporting 
        requirements prescribed by the Secretary or required by 
        applicable Federal laws in effect at the time of 
        production.
  (c) Deposit of Funds.--All funds paid to the United States 
under this section shall be deposited in the general fund of 
the Treasury.
  (d) State Law Unaffected.--Nothing in this section modifies, 
expands, diminishes, amends, or otherwise affects any State law 
relating to the imposition, application, timing, or collection 
of a State excise or severance tax.
                              ----------                              

3. An Amendment To Be Offered by Representative Grijalva of Arizona or 
                 His Designee, Debatable for 10 Minutes

  Page 21, after line 8, insert the following:

  (e) Additional Conditions Related to Mining Operations on 
Conveyed Federal Land.--As additional conditions of the land 
exchange under this Act, Resolution Copper shall agree to the 
following:
          (1) To locate and maintain the remote operation 
        center for mining operations on the conveyed Federal 
        land in the town of Superior, Arizona, for the duration 
        of such operations.
          (2) To actively recruit and provide an employment 
        preference for qualified applicants who reside in the 
        State as of date of the consummation of the land 
        exchange for employment positions related to mining 
        operations on the conveyed Federal land.
          (3) To ensure that all locatable minerals produced in 
        commercial quantities from the conveyed Federal land 
        remain in the United States for processing and use.
          (4) To ensure that all equipment used to mine or 
        support mining activities on the conveyed Federal Land 
        is made in the United States.

                                  
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