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[Senate Report 111-308]
[From the U.S. Government Publishing Office]

                                                       Calendar No. 594
111th Congress                                                   Report
                                 SENATE
 2d Session                                                     111-308

======================================================================

 
                  GOLD HILL-WAKAMATSU PRESERVATION ACT

                                _______
                                

               September 27, 2010.--Ordered to be printed

                                _______
                                

   Mr. Bingaman, from the Committee on Energy and Natural Resources, 
                        submitted the following

                              R E P O R T

                         [To accompany S. 1596]

    The Committee on Energy and Natural Resources, to which was 
referred the bill (S. 1596) to authorize the Secretary of the 
Interior to acquire the Gold Hill Ranch in Coloma, California, 
having considered the same, reports favorably thereon with an 
amendment and recommends that the bill, as amended, do pass.
    The amendment is as follows:
    Strike out all after the enacting clause and insert in lieu 
thereof the following:

SECTION I. SHORT TITLE.

    This Act may be cited as the ``Gold Hill-Wakamatsu Preservation 
Act''.

SEC. 2. DEFINITIONS.

    In this Act:
          (1) Gold hill ranch.--The term ``Gold Hill Ranch'' means the 
        approximately 272 acres of land located in Coloma, California, 
        as generally depicted on the map entitled ``Gold Hill-Wakamatsu 
        Site'' and dated May 7, 2009.
          (2) Secretary.--The term ``Secretary'' means the Secretary of 
        the Interior.

SEC. 3. GOLD HILL RANCH.

    (a) Acquisition.--The Secretary may acquire the Gold Hill Ranch, 
including any interest in the Gold Hill Ranch, by purchase from a 
willing seller with donated or appropriated funds, donation, or 
exchange.
    (b) Management.--The Secretary shall manage any land or interest in 
land acquired under subsection (a) in accordance with--
          (1) this Act;
          (2) the Federal Land Policy and Management Act of 1976 (43 
        U.S.C. 1701 et seq.); and
          (3) any other applicable laws.
    (c) Cooperative Agreement.--
          (1) In general.--The Secretary may enter into a cooperative 
        agreement with public or nonprofit entities to interpret the 
        history of the Wakamatsu Tea and Silk Farm Colony and related 
        pioneer history associated with Japanese immigration to the 
        area, including the history of traditional Japanese crops and 
        farming practices and the contribution of those practices to 
        the agricultural economy of the State of California.
          (2) Inclusions.--The cooperative agreement referred to in 
        paragraph (1) may include provisions for the design and 
        development of a visitor center to further public education and 
        interpretation of the Gold Hill Ranch.

SEC. 4. AUTHORIZATION OF APPROPRIATIONS.

    There are authorized to be appropriated such sums as are necessary 
to carry out this Act.

                                PURPOSE

    The purpose of S. 1596 is to authorize the Secretary of the 
Interior to acquire the Gold Hill Ranch in Coloma, California.

                          BACKGROUND AND NEED

    The Gold Hill Ranch in Coloma, California was the location 
of the Wakamatsu Tea and Silk Colony from 1869 to 1871, the 
first Japanese settlement in the United States. The 272-acre 
ranch was established by 22 Japanese samurai colonists who fled 
the turmoil of the Meiji Restoration following the overthrow of 
the Tokugawa Shogunate. The colonists sought to establish a 
silk farming community at Gold Hill Ranch and planted mulberry 
trees, rice, bamboo, and tea plants they had brought with them. 
The colony helped bridge Japanese and American cultures, 
contributed to California's agricultural economy, and 
established California as a gateway for Pacific immigration 
into the United States.
    Many of the original structures on the site remain intact, 
including a farmhouse, numerous artifacts, and the grave of 
Okei, one of the young Japanese colonists who has become a 
popular historical figure for Japanese Americans. The site also 
contains woodland and wetland habitat, hiking trails, and 
picnic areas. The American River Conservancy and Wakamatsu Gold 
Hill Colony Foundations currently lease and manage the site for 
visitors, and have secured $2.5 million in grants and donations 
to leverage any federal investment in its preservation. The 
property is held by private landowners who would like to sell 
it as soon as possible.
    The property was recognized as a state historic site in 
1969, and was listed on the National Register of Historic 
Places in 2010.

                          LEGISLATIVE HISTORY

    S. 1596 was introduced by Senator Boxer on August 6, 2009. 
Senator Inouye is a cosponsor. The Subcommittee on National 
Parks held a hearing on the bill on May 19, 2010.
    The Committee considered S. 1596 at its business meeting on 
July 22, 2010, at which time it rejected an amendment offered 
by Senator Murkowski to prohibit the use of Federal funds to 
acquire lands from willing sellers for the Gold Hill Ranch. At 
its business meeting on August 5, 2010, the Committee on Energy 
and Natural Resources ordered the bill favorably reported with 
an amendment in the nature of a substitute.

                        COMMITTEE RECOMMENDATION

    The Committee on Energy and Natural Resources, in open 
business session on August 5, 2010, by a voice vote of a quorum 
present, recommends that the Senate pass S. 1596, if amended as 
described herein.

                          COMMITTEE AMENDMENT

    During its consideration of S. 1596, the Committee adopted 
an amendment in the nature of a substitute. The amendment 
strikes the findings section, makes technical changes to the 
language describing the Gold Hill Ranch, and makes several 
conforming changes to make the bill consistent with other land 
acquisition authorizations. The amendment is explained in 
detail in the section-by-section analysis below.

                      SECTION-BY-SECTION ANALYSIS

    Section 1 contains the short title, the ``Gold Hill-
Wakamatsu Preservation Act''.
    Section 2 defines key terms used in the bill.
    Section 3(a) authorizes the Secretary of the Interior 
(Secretary) to acquire interests in Gold Hill Ranch by purchase 
from willing sellers with donated or appropriated funds, or by 
donation or exchange.
    Subsection (b) directs the Secretary to manage the lands in 
accordance with this Act, the Federal Land Policy and 
Management Act, and other applicable laws.
    Subsection (c) authorizes the Secretary to enter into a 
cooperative agreement with public or non-profit entities in 
order to interpret the history of the site and includes 
provisions for the design and development of a visitor center.
    Section 4 authorizes such sums as are necessary.

                   COST AND BUDGETARY CONSIDERATIONS

    The following estimate of costs of this measure has been 
provided by the Congressional Budget Office:

S. 1596--Gold Hill-Wakamatsu Preservation Act

    Summary: S. 1596 would direct the Bureau of Land Management 
(BLM) to acquire about 272 acres of land in California and 
enter into an agreement to interpret the history of the 
Wakamatsu Tea and Silk Farm Company. That agreement would 
include the option of utilizing a visitor center. Based on 
information from BLM, CBO estimates that implementing the 
legislation would cost $13 million over the 2011-2015 period, 
assuming appropriation of the necessary amounts. Enacting S. 
1596 would not affect direct spending or revenues; therefore, 
pay-as-you-go procedures do not apply.
    The bill contains no intergovernmental or private-sector 
mandates as defined in the Unfunded Mandates Reform Act (UMRA) 
and would impose no costs on state, local, or tribal 
governments.
    Estimated cost to the Federal Government: The estimated 
budgetary impact of S. 1596 is shown in the following table. 
The costs of this legislation fall within budget function 300 
(natural resources and environment).

----------------------------------------------------------------------------------------------------------------
                                                              By fiscal year, in millions of dollars--
                                                  --------------------------------------------------------------
                                                     2011      2012      2013      2014      2015     2011-2015
----------------------------------------------------------------------------------------------------------------
                                  CHANGES IN SPENDING SUBJECT TO APPROPRIATION

Estimated Authorization Level....................         5         2         2         2         2           13
Estimated Outlays................................         4         3         2         2         2           13
----------------------------------------------------------------------------------------------------------------

    Basis of estimate: For this estimate, CBO assumes that the 
bill will be enacted near the beginning of fiscal year 2011.
    S. 1596 would direct BLM to acquire the Gold Hill Ranch in 
California (about 272 acres) by purchase, using appropriated or 
donated funds, or exchange. Based on estimates of nearby land 
values obtained from the agency, CBO estimates that acquiring 
the Gold Hill Ranch would cost about $3 million in 2011, 
assuming appropriation of the necessary amounts.
    The legislation also would direct BLM to enter into an 
agreement with a public or nonprofit entity to interpret the 
history of the Wakamatsu Tea and Silk Farm Company. CBO expects 
that agreement would include use of existing structures as a 
visitor center in lieu of new construction. Based on 
information from the agency, CBO estimates that the visitor 
center would cost $10 million over the 2011-2015 period, 
including $8 million for ongoing operations and $2 million for 
retrofitting existing structures. Those costs also would be 
subject to the availability of appropriated funds.
    Pay As You Go considerations: None.
    Intergovernmental and private-sector impact: S. 1596 
contains no intergovernmental or private-sector mandates as 
defined in UMRA and would impose no costs on state, local, or 
tribal governments.
    Estimate prepared by: Federal Costs: Daniel Hoople; Impact 
on State, Local, and Tribal Governments: Melissa Merrell; 
Impact on the Private Sector: Amy Petz.
    Estimate approved by: Theresa Gullo, Deputy Assistant 
Director for Budget Analysis.

                      REGULATORY IMPACT EVALUTION

    In compliance with paragraph 11(b) of rule XXVI of the 
Standing Rules of the Senate, the Committee makes the following 
evaluation of the regulatory impact which would be incurred in 
carrying out S. 1596.
    The bill is not a regulatory measure in the sense of 
imposing Government-established standards or significant 
economic responsibilities on private individuals and 
businesses.
    No personal information would be collected in administering 
the program. Therefore, there would be no impact on personal 
privacy.
    Little, if any, additional paperwork would result from the 
enactment of S. 1596, as ordered reported.

                   CONGRESSIONALLY DIRECTED SPENDING

    S. 1596, as ordered reported, does not contain any 
congressionally directed spending items, limited tax benefits, 
or limited tariff benefits as defined in rule XLIV of the 
Standing Rules of the Senate.

                        EXECUTIVE COMMUNICATIONS

    The views of the Department of the Interior were included 
in testimony received by the Committee at a hearing on S. 1596 
on May 19, 2010, which is printed below:

Statement for the Record, Bureau of Land Management, Department of the 
                                Interior

    Thank you for the invitation to present testimony on S. 
1596, the Gold Hill-Wakamatsu Preservation Act, which would 
authorize the Secretary of the Interior to acquire the Gold 
Hill Ranch from willing sellers using non-federal contributions 
and appropriated funds to preserve it as a site of historical 
and cultural value. Preservation of cultural and historical 
resources is a priority for the Department of the Interior and 
the Bureau of Land Management (BLM). We support the goals but 
note that BLM can make this acquisition under its existing 
authorities, and we would like to work with the sponsor and the 
Committee to clarify S. 1596.

                               background

    The Wakamatsu Colony is an early settlement site of great 
cultural significance to the Japanese-American community. It is 
the oldest known cultural site in North America associated with 
Japanese immigration. The colony was founded in 1869 by 20 
immigrants from Aizu-Wakamatsu, Japan. These colonists fled 
Japan during the political upheaval that accompanied the Meiji 
Restoration. The colonists purchased land at Gold Hill in 
western El Dorado County, California, and established a tea and 
silk plantation. The colony operated for two years, after which 
the land--known as the Gold Hill Ranch--was acquired by its 
current owners, the Veerkamp family. The Veerkamps now desire 
to sell the property; however, they recognize its historic and 
cultural significance and hope to sell it to a governmental 
entity.
    The 272-acre site includes a home from the 1860s that was 
occupied by the colonists, the mulberry trees they planted, and 
the grave of Okei Ito. Her grave is thought to be the oldest 
Japanese immigrant grave in North America. Adjacent to the site 
is the Gold Trail Elementary School, which since 1980 has 
maintained a sister-school relationship with Higashiyama 
Elementary School in Aizu Wakamatsu. The school property hosts 
a monument dedicated by then-Governor Ronald Reagan that 
established the Wakamatsu Tea and Silk Farm Colony as 
California Registered Historical Landmark Number 815.
    Several Japanese-American civic and cultural groups and 
others have written to the BLM to express their support for 
preservation and restoration of the Wakamatsu Colony site. The 
Gold Hill region is an historic California gold rush landscape 
that is urbanizing rapidly, so preservation would prevent the 
loss of an important pioneering site. Members of that 
community, including the Japanese American Citizens League, 
Representative Doris Matsui and California State Assemblyman 
Alan Nakanishi, are working with the American River Conservancy 
(a local land trust) to raise the funds needed to purchase the 
site. Their goal is to establish an endowment that would fund 
future restoration, interpretive operations, and maintenance of 
the site. Citing the BLM's highly successful management of 
other nearby acquired lands, local Japanese-American community 
organizations and the American River Conservancy are advocating 
that the BLM take title to the property.
    Acquisition of the Gold Hill Ranch would be consistent with 
the goals of the BLM's Sierra Resource Management Plan. The 
BLM's nearby Mother Lode Field Office already manages several 
acquired properties for their historical and conservation 
values, including the historic Chung Wah Chinese cemetery about 
15 miles to the west of the Ranch, which was donated to BLM by 
the Chinese-American community in 2007, and the Pine Hill 
Preserve, a rare plant preserve totaling 4,000 acres across 
dozens of parcels about 5 miles southwest of the Ranch.

                                s. 1596

    S. 1596 would authorize the Secretary of the Interior, 
acting through the BLM, to acquire the Gold Hill Ranch from 
willing sellers using non-federal contributions and 
appropriated funds to preserve it as a site of historical and 
cultural value. The BLM supports the goals of the bill, and 
acknowledges the efforts to date by the private sector to raise 
funds for the acquisition. BLM notes that it can make the 
acquisition under its existing authorities, subject to budget 
priorities and the availability of appropriations. However, 
this project did not rank high enough in the BLM's annual 
national ranking process for inclusion in the land acquisition 
priority lists for the 2010 and 2011 budgets. The legislation 
is also unclear as to the purposes for which the use of 
appropriated funds is authorized, and the BLM would like to 
work with the sponsor and the Committee to clarify this 
provision.
    The bill does not waive a fair market value determination. 
Therefore an appraisal by the Department of the Interior's 
Office of Valuation Services would be required before 
acquisition. Based on the experience of the BLM and American 
River Conservancy with land values in this area, the $3,290,000 
limit identified in S. 1596 for the cost of acquisition appears 
to be reasonable. We would note, however, that it is BLM policy 
to engage in fair market valuations for its acquisitions, 
disposals, and exchanges.
    We appreciate provisions in section 4(d) that give the 
Secretary discretion regarding development of a visitor center 
and direct that private funds or State grants be used to the 
maximum extent practicable to leverage the cost of constructing 
the visitor center and conducting restoration activities. This 
provides an excellent opportunity for expression of community 
support for preservation and restoration of this site.

                               conclusion

    Thank you for the opportunity to present testimony in 
support of the goals of S. 1596, and we look forward to working 
with the sponsor and the Committee to clarify the legislation.

                        CHANGES IN EXISTING LAW

    In compliance with paragraph 12 of rule XXVI of the 
Standing Rules of the Senate, the Committee notes that no 
changes in existing law are made by the Act S. 1596, as ordered 
reported.

                                  
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