67338 Federal Register / Vol. 88, No. 188 / Friday, September 29, 2023 / Notices 

Respondent’s Obligation: 

Participation is voluntary. 

B. Solicitation of Public Comment 

This notice is soliciting comments 

from members of the public and affected 

parties concerning the collection of 

information described in Section A on 

the following: 

(1) Whether the proposed collection 

of information is necessary for the 

proper performance of the functions of 

the agency, including whether the 

information will have practical utility; 

(2) The accuracy of the agency’s 

estimate of the burden of the proposed 

collection of information; 

(3) Ways to enhance the quality, 

utility, and clarity of the information to 

be collected, and 

(4) Ways to minimize the burden of 

the collection of information on those 

who are to respond; including through 

the use of appropriate automated 

collection techniques or other forms of 

information technology, e.g., permitting 

electronic submission of responses. 

HUD encourages interested parties to 

submit comments in response to these 

questions. 

C. Authority 

Section 3507 of the Paperwork 

Reduction Act of 1995, 44 U.S.C. 3507. 

Kurt G. Usowski, 

Deputy Assistant Secretary for Economic 

Affairs. 

[FR Doc. 2023–21438 Filed 9–28–23; 8:45 am] 

BILLING CODE 4210–67–P 

DEPARTMENT OF THE INTERIOR 

Bureau of Indian Affairs 

[234A2100DD/AAKC001030/ 

A0A501010.999900] 

HEARTH Act Approval of Prairie Band 

Potawatomi Nation Residential Leasing 

Ordinance Leasing Ordinance 

AGENCY: Bureau of Indian Affairs, 

Interior. 

ACTION: Notice. 

SUMMARY: The Bureau of Indian Affairs 

(BIA) approved the Prairie Band 

Potawatomi Nation Leasing Ordinance 

under the Helping Expedite and 

Advance Responsible Tribal 

Homeownership Act of 2012 (HEARTH 

Act). With this approval, the Tribe is 

authorized to enter into residential 

leases without further BIA approval. 

DATES: BIA issued the approval on 

September 21, 2023. 

FOR FURTHER INFORMATION CONTACT: Ms. 

Carla Clark, Bureau of Indian Affairs, 

Division of Real Estate Services, 1001 

Indian School Road NW, Albuquerque, 

NM 87104, carla.clark@bia.gov, (702) 

484–3233. 

I. Summary of the HEARTH Act 

The HEARTH Act makes a voluntary, 

alternative land leasing process 

available to Tribes, by amending the 

Indian Long-Term Leasing Act of 1955, 

25 U.S.C. 415. The HEARTH Act 

authorizes Tribes to negotiate and enter 

into business leases of Tribal trust lands 

with a primary term of 25 years, and up 

to two renewal terms of 25 years each, 

without the approval of the Secretary of 

the Interior (Secretary). The HEARTH 

Act also authorizes Tribes to enter into 

leases for residential, recreational, 

religious or educational purposes for a 

primary term of up to 75 years without 

the approval of the Secretary. 

Participating Tribes develop Tribal 

Leasing regulations, including an 

environmental review process, and then 

must obtain the Secretary’s approval of 

those regulations prior to entering into 

leases. The HEARTH Act requires the 

Secretary to approve Tribal regulations 

if the Tribal regulations are consistent 

with the Department of the Interior’s 

(Department) leasing regulations at 25 

CFR part 162 and provide for an 

environmental review process that 

meets requirements set forth in the 

HEARTH Act. This notice announces 

that the Secretary, through the Assistant 

Secretary—Indian Affairs, has approved 

the Tribal regulations for the Prairie 

Band Potawatomi Nation. 

II. Federal Preemption of State and 

Local Taxes 

The Department’s regulations 

governing the surface leasing of trust 

and restricted Indian lands specify that, 

subject to applicable Federal law, 

permanent improvements on leased 

land, leasehold or possessory interests, 

and activities under the lease are not 

subject to State and local taxation and 

may be subject to taxation by the Indian 

Tribe with jurisdiction. See 25 CFR 

162.017. As explained further in the 

preamble to the final regulations, the 

Federal government has a strong interest 

in promoting economic development, 

self-determination, and Tribal 

sovereignty. 77 FR 72440, 72447–48 

(December 5, 2012). The principles 

supporting the Federal preemption of 

State law in the field of Indian leasing 

and the taxation of lease-related 

interests and activities applies with 

equal force to leases entered into under 

Tribal leasing regulations approved by 

the Federal government pursuant to the 

HEARTH Act. Section 5 of the Indian 

Reorganization Act (IRA), 25 U.S.C. 

5108, preempts State and local taxation 

of permanent improvements on trust 

land. Confederated Tribes of the 

Chehalis Reservation v. Thurston 

County, 724 F.3d 1153, 1157 (9th Cir. 

2013) (citing Mescalero Apache Tribe v. 

Jones, 411 U.S. 145 (1973)). Similarly, 

section 5108 of the IRA preempts State 

taxation of rent payments by a lessee for 

leased trust lands, because ‘‘tax on the 

payment of rent is indistinguishable 

from an impermissible tax on the land.’’ 

See Seminole Tribe of Florida v. 

Stranburg, 799 F.3d 1324, 1331, n.8 

(11th Cir. 2015). In addition, as 

explained in the preamble to the revised 

leasing regulations at 25 CFR part 162, 

Federal courts have applied a balancing 

test to determine whether State and 

local taxation of non-Indians on the 

reservation is preempted. White 

Mountain Apache Tribe v. Bracker, 448 

U.S. 136, 143 (1980). The Bracker 

balancing test, which is conducted 

against a backdrop of ‘‘traditional 

notions of Indian self- government,’’ 

requires a particularized examination of 

the relevant State, Federal, and Tribal 

interests. We hereby adopt the Bracker 

analysis from the preamble to the 

surface leasing regulations, 77 FR at 

72447–48, as supplemented by the 

analysis below. 

The strong Federal and Tribal 

interests against State and local taxation 

of improvements, leaseholds, and 

activities on land leased under the 

Department’s leasing regulations apply 

equally to improvements, leaseholds, 

and activities on land leased pursuant to 

Tribal leasing regulations approved 

under the HEARTH Act. Congress’s 

overarching intent was to ‘‘allow Tribes 

to exercise greater control over their 

own land, support self-determination, 

and eliminate bureaucratic delays that 

stand in the way of homeownership and 

economic development in Tribal 

communities.’’ 158 Cong. Rec. H. 2682 

(May 15, 2012). The HEARTH Act was 

intended to afford Tribes ‘‘flexibility to 

adapt lease terms to suit [their] business 

and cultural needs’’ and to ‘‘enable 

[Tribes] to approve leases quickly and 

efficiently.’’ H. Rep. 112–427 at 6 

(2012). 

Assessment of State and local taxes 

would obstruct these express Federal 

policies supporting Tribal economic 

development and self-determination, 

and also threaten substantial Tribal 

interests in effective Tribal government, 

economic self-sufficiency, and territorial 

autonomy. See Michigan v. Bay Mills 

Indian Community, 572 U.S. 782, 810 

(2014) (Sotomayor, J., concurring) 

(determining that ‘‘[a] key goal of the 

Federal Government is to render Tribes 

more self-sufficient, and better 


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Federal Register / Vol. 88, No. 188 / Friday, September 29, 2023 / Notices 67339 

positioned to fund their own sovereign 

functions, rather than relying on Federal 

funding’’). The additional costs of State 

and local taxation have a chilling effect 

on potential lessees, as well as on a 

Tribe that, as a result, might refrain from 

exercising its own sovereign right to 

impose a Tribal tax to support its 

infrastructure needs. See id. at 810–11 

(finding that State and local taxes 

greatly discourage Tribes from raising 

tax revenue from the same sources 

because the imposition of double 

taxation would impede Tribal economic 

growth). 

Similar to BIA’s surface leasing 

regulations, Tribal regulations under the 

HEARTH Act pervasively cover all 

aspects of leasing. See 25 U.S.C. 

415(h)(3)(B)(i) (requiring Tribal 

regulations be consistent with BIA 

surface leasing regulations). 

Furthermore, the Federal government 

remains involved in the Tribal land 

leasing process by approving the Tribal 

leasing regulations in the first instance 

and providing technical assistance, 

upon request by a Tribe, for the 

development of an environmental 

review process. The Secretary also 

retains authority to take any necessary 

actions to remedy violations of a lease 

or of the Tribal regulations, including 

terminating the lease or rescinding 

approval of the Tribal regulations and 

reassuming lease approval 

responsibilities. Moreover, the Secretary 

continues to review, approve, and 

monitor individual Indian land leases 

and other types of leases not covered 

under the Tribal regulations according 

to the 25 CFR part 162 regulations. 

Accordingly, the Federal and Tribal 

interests weigh heavily in favor of 

preemption of State and local taxes on 

lease-related activities and interests, 

regardless of whether the lease is 

governed by Tribal leasing regulations 

or 25 CFR part 162. Improvements, 

activities, and leasehold or possessory 

interests may be subject to taxation by 

the Prairie Band Potawatomi Nation. 

Bryan Newland, 

Assistant Secretary—Indian Affairs. 

[FR Doc. 2023–21301 Filed 9–28–23; 8:45 am] 

BILLING CODE 4337–15–P 

DEPARTMENT OF THE INTERIOR 

Bureau of Indian Affairs 

[234A2100DD/AAKC001030/ 

A0A501010.999900] 

Proclaiming Certain Lands as 

Reservation for Confederated Tribes of 

the Chehalis Reservation of 

Washington 

AGENCY: Bureau of Indian Affairs, 

Interior. 

ACTION: Notice of reservation 

proclamation. 

SUMMARY: This notice informs the public 

that the Assistant Secretary—Indian 

Affairs proclaimed approximately 

254.363 acres, more or less, as an 

addition to the reservation of 

Confederated Tribes of the Chehalis 

Reservation of Washington. 

DATES: This proclamation was made on 

September 21, 2023. 

FOR FURTHER INFORMATION CONTACT: Ms. 

Carla H. Clark, Bureau of Indian Affairs, 

Acting Division Chief, Division of Real 

Estate Services, 1001 Indian School 

Road NW, Box #44, Albuquerque, New 

Mexico 87104, Carla.Clark@bia.gov, 

(720) 424–3233. 

SUPPLEMENTARY INFORMATION: This 

notice is published in the exercise of 

authority delegated by the Secretary of 

the Interior to the Assistant Secretary— 

Indian Affairs by part 209 of the 

Departmental Manual. 

A proclamation is issued in 

accordance with the Indian 

Reorganization Act of June 18, 1934 (48 

Stat. 984; 25 U.S.C. 5110) for the lands 

described below. The lands are 

proclaimed to be the Confederated 

Tribes of the Chehalis Reservation of 

Washington for Chehalis Tribe in 

Thurston and Grays Harbor County, 

Washington. 

Confederated Tribes of the Chehalis 

Reservation of Washington, 7 Parcels, 

Willamette Meridian, Thurston County 

and Grays Harbor County, Washington 

Legal Descriptions Containing 254.363 

Acres, More or Less 

105–T2213 

Parcel A 

That part of Tract 19 of Jackson Fruit 

Tracts as recorded in Volume 8 of Plats, 

Page 54, described as follows: 

Beginning at the Northwest corner of 

said Tract 19; thence East 300 feet to the 

True Point of Beginning; thence South 

145 feet thence West 25 feet; thence 

South to the North right-of-way line of 

County Road; thence Easterly along said 

right-of-way to the East line of said 

Tract 19; thence North to the South 

right-of-way line of Second Street 

thence West along right-of-way line to 

the Point of Beginning. Together with 

that part of vacated road adjoining said 

premises on the South which was 

vacated in Volume 28 of the County 

Commissioner’s minutes, Page 246. 

Parcel B 

The West 300 feet of the North 145 

feet of Tract 19, Jackson Fruit Tracts, as 

recorded in Volume 8 of Plats, page 54; 

Excepting therefrom the West 2A30 feet. 

Parcel C 

That part of the East 110 feet of the 

West 275 feet of Tract 19 of Jackson 

Fruit Tracts as recorded in Volume 8 of 

Plats, Page 54, lying Northerly of County 

Road. Excepting therefrom the North 

145 feet and the West 230 feet of the 

South 45 feet of the North 190 feet of 

said Tract 19. Together with that part of 

vacated County Road adjoining said 

premises on the South which was 

vacated in Volume 28 of County 

Commissioner’s minutes, Page 245. 

Parcel D 

The West 230 feet of the North 190 

feet of Tract 19, Jackson Fruit Tracts, as 

recorded in Volume 8 of Plats, Page 54. 

Excepting therefrom that portion 

conveyed to Thurston County by deed 

recorded February 10, 1998, under 

Auditor’s File No. 3134738. 

Parcel E 

The West 165 feet of that portion of 

Tract 19 of Jackson Fruit Tracts as 

recorded in Volume 8 of Plats, Page 54, 

lying Northerly of Tract conveyed to the 

State of Washington by deed dated 

October 28, 1952, and recorded under 

file no. 514194; together with that part, 

if any, of vacated road adjoining said 

premises on the Southeast which was 

vacated in Volume 28 of County 

Commissioner’s minutes, Page 245. 

Excepting therefrom the Northerly 

190 feet; and that portion lying in Tract 

conveyed to the State of Washington by 

deed dated June 27, 1958 and recorded 

under file no. 599495. And Excepting 

therefrom that portion conveyed to 

Thurston County by deed recorded 

February 10, 1988, under file no. 

3134737. In Thurston County 

Washington. Containing 4.47 acres, 

more or less. 

105–T2210 

Parcel A 

The South 445 feet of Government Lot 

4 in Section 3, Township 16 North, 

Range 5 West of the Willamette 

Meridian; Situate in the County of Grays 

Harbor, State of Washington. 


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