I

103D CONGRESS

1ST SESSION H. R. 1708

Entitled ‘‘Hardrock Mining Reform Act of 1993’’.

IN THE HOUSE OF REPRESENTATIVES

APRIL 7, 1993

Mr. ORTON (for himself and Mrs. VUCANOVICH) introduced the following bill;

which was referred to the Committee on Natural Resources

A BILL

Entitled ‘‘Hardrock Mining Reform Act of 1993’’.

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled,

3 SECTION 1. SHORT TITLES.

4 (a) IN GENERAL.—This Act may be cited as the

5 ‘‘Hardrock Mining Reform Act of 1993’’.

6 (b) SURFACE RESOURCES ACT OF 1955.—The Act

7 of July 23, 1955 (69 Stat. 367, chapter 375; 30 U.S.C.

8 611 et seq.) is amended by adding at the end the following

9 new section:

10 ‘‘SEC. 8. SHORT TITLE.

11 ‘‘This Act may be cited as the ‘Surface Resources Act

12 of 1955’.’’.
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1 (c) MATERIALS ACT OF 1947.—The Act of July 31,

2 1947 (61 Stat. 681, chapter 406; 30 U.S.C. 601 et seq.)

3 is amended by adding at the end the following new section:

4 ‘‘SEC. 5. SHORT TITLE.

5 ‘‘This Act may be cited as the ‘Materials Act of

6 1947’.’’.

7 SEC. 2. FINDINGS AND PURPOSE.

8 (a) FINDINGS.—Congress finds and declares that—

9 (1) a secure and reliable supply of nonfuel min10 erals is essential to the industrial base of the United

11 States, national security, and balance of trade;

12 (2) many of the deposits of nonfuel hard min13 erals that may be commercially developed are on

14 Federal public lands, and are difficult and expensive

15 to discover and process;

16 (3) the national need for nonfuel hard minerals

17 will continue to expand and the demand for the min18 erals will exceed domestic sources of supply without

19 a strong mining industry;

20 (4) mining of nonfuel hard minerals is an ex21 tremely high-risk, capital-intensive endeavor, which,

22 to attract necessary investment, requires certainty

23 and predictability in access to public lands, estab24 lishment of mining titles, and the rights of claimants

25 to develop minerals;
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1 (5) it is in the national interest to foster and

2 encourage private enterprise in the development of a

3 domestic minerals industry to maintain and create

4 high paying jobs in the United States;

5 (6) mining activities on public lands should be

6 consistent with applicable Federal land use plans

7 and should be conducted in compliance with all ap8 plicable Federal and State environmental regulations

9 and standards, including standards governing mined

10 land reclamation;

11 (7) the diversity in terrain, climate, biological,

12 chemical, and other physical conditions, and vari13 ation among the minerals mined and the methods of

14 mining and processing, require that reclamation

15 standards should be tailored to local and regional

16 conditions; and

17 (8) changes in the general mining laws of the

18 United States to provide more direct economic re19 turn to the United States and greater protection for

20 public resources are desirable, so long as the

21 changes do not adversely affect employment in the

22 mining industry or in industries that provide goods

23 and services required for mining activities, interfere

24 with a secure and reliable supply of minerals, or ad-
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1 versely affect the balance of trade of the United

2 States.

3 (b) PURPOSE.—It is the purpose of this Act to—

4 (1) provide for increased Federal revenue from

5 the location and production of ores and nonfuel hard

6 minerals through increased fees and royalties;

7 (2) provide for the payment of fair market

8 value for the surface of any land patented under the

9 general mining laws of the United States;

10 (3) ensure that all public lands affected by

11 nonfuel minerals mining activities under the general

12 mining laws are reclaimed, in concert with State and

13 local reclamation authorities; and

14 (4) establish a program to help reclaim nonfuel,

15 hardrock mineral abandoned mines.

16 SEC. 3. DEFINITIONS.

17 DEFINITIONS.—

18 (1) LOCATABLE MINERAL.—The term

19 ‘‘locatable mineral’’ means any mineral not subject

20 to disposition under—

21 (A) the Mineral Leasing Act (30 U.S.C.

22 181 et seq.);

23 (B) the Geothermal Steam Act of 1970

24 (30 U.S.C. 1001 et seq.);
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1 (C) the Materials Act of 1947 (30 U.S.C.

2 601 et seq.); or

3 (D) the Mineral Leasing Act for Acquired

4 Lands (30 U.S.C. 351 et seq.).

5 (2) MOUTH OF THE MINE.—The term ‘‘mouth

6 of the mine’’ means the portal of an underground

7 mine, the point of exit of ore from an open pit mine,

8 or the wellhead of a solution mine.

9 (3) VALUE.—

10 (A) IN GENERAL.—The term ‘‘value’’

11 means the fair market value of the ore or solu12 tions as they emerge from the mine or well, less

13 the direct and indirect costs of mining, includ14 ing related mine exploration and development

15 expenses, determined in accordance with gen16 erally accepted accounting principles.

17 (B) NO MARKET AT MOUTH OF MINE.—

18 (i) If there is no market for ore in its

19 raw or crude state, the term ‘‘value’’

20 means the gross income (computed in ac21 cordance with subparagraph (C)) from the

22 mining of the ore or the production of the

23 solutions, less the direct and indirect costs

24 associated with the mining or production,
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1 determined in accordance with generally

2 accepted accounting principles.

3 (C) GROSS INCOME FROM THE MINING OF

4 THE ORE OR THE PRODUCTION OF THE SOLU5 TIONS.—Gross income from the mining of the

6 ore or the production of the solutions shall be

7 computed by multiplying—

8 (i) gross sales (actual or, where there

9 are no sales, constructive) of the minerals

10 or metals contained in the ore or solutions

11 by a fraction whose numerator is the sum

12 of all direct and indirect mining costs in13 curred to bring the ore or solutions to the

14 mouth of the mine (excluding in-pit crush15 ing), and whose denominator is the total of

16 all mining and nonmining costs incurred to

17 produce, sell, and transport the product.

18 (4) SECRETARY.—Unless the context otherwise

19 requires, the term ‘‘Secretary’’ means the Secretary

20 of the Interior.

21 SEC. 4. LOCATION AND MAINTENANCE REQUIREMENTS.

22 (a) LOCATION FEE.—For each claim located after

23 date of enactment of this Act, a claimant shall pay the

24 Secretary a location fee of $25 not later than 90 days after

25 the date of location.
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1 (b) ANNUAL MAINTENANCE FEE.—Commencing the

2 first calendar year after the date of enactment of this Act,

3 a claimant shall pay the Secretary on or before December

4 31 of each year, a maintenance fee of $100 per claim to

5 maintain the claim for the following calendar year.

6 (c) INDEXING.—

7 (1) IN GENERAL.—The Secretary shall adjust

8 the fees required by this section to reflect changes

9 in the Consumer Price Index published by the Bu10 reau of Labor Statistics of the Department of Labor

11 every 5 years after the date of enactment of this

12 Act, or more frequently if the Secretary determines

13 an adjustment to be reasonable.

14 (2) NOTICE.—The Secretary shall provide

15 claimants notice of any adjustment made under this

16 subsection not later than July 1 of any year in

17 which the adjustment is made.

18 (3) EFFECTIVE DATE OF ADJUSTMENT.—A fee

19 adjustment under this subsection shall begin to

20 apply the calendar year following the calendar year

21 in which it is made.

22 (d) FAILURE TO PAY FEE.—Failure to timely pay

23 the location fee or maintenance fee required by this section

24 for a claim shall be deemed an abandonment of the claim.

25 The claim shall be deemed null and void by operation of
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1 law effective at noon on the date that is 30 days after

2 the date upon which the payment was due.

3 (e) EXCEPTION FOR HOLDERS OF FEWER THAN 50

4 CLAIMS.—

5 (1) ELIGIBILITY.—The claim maintenance fees

6 required under this section shall be waived or re7 duced in accordance with paragraph (3) for a claim8 ant who certifies in writing the Secretary that on the

9 date the payment was due the claimant—

10 (A) was the holder (as defined in para11 graph (2)) of not more than 50 mining claims

12 on public lands; and

13 (B) has performed assessment work suffi14 cient to maintain the mining claims held by the

15 claimant for the assessment year ending on

16 noon of September 1 of the calendar year in

17 which the maintenance fee payment was due.

18 (2) HOLDER.—As used in paragraph (1), the

19 term ‘‘holder’’ includes—

20 (A) the claimant;

21 (B) the spouse and dependent children (as

22 defined in section 152 of the Internal Revenue

23 Code of 1986), of the claimant; and

24 (C) a person affiliated with the claimant,

25 including—
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1 (i) a person controlled by, controlling,

2 or under common control with the claim3 ant; and

4 (ii) a subsidiary or parent company or

5 corporation of the claimant.

6 (3) WAIVED OR REDUCED MAINTENANCE

7 FEES.—

8 (A) 10 OR FEWER CLAIMS.—The mainte9 nance fee shall be waived in its entirety for 10

10 or fewer claims held by a claimant eligible

11 under paragraph (1).

12 (B) 11 OR MORE CLAIMS.—

13 (i) IN GENERAL.—Subject to clause

14 (ii), the maintenance fee shall be reduced

15 to $25 per claim for each claim in excess

16 of 10.

17 (ii) LIMITATION.—The reduction in

18 this subparagraph shall be available for no

19 more than 50 claims held by a claimant

20 who is eligible under paragraph (1).

21 (g) EXISTING REQUIREMENTS.—

22 (1) PAYMENT IN LIEU OF ANNUAL LABOR RE23 QUIREMENTS.—The third sentence of 2324 of the

24 Revised Statutes (30 U.S.C. 28) is amended by in25 serting after ‘‘On each claim located after the 10th
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1 day of May, 1872,’’ the following: ‘‘that is eligible

2 for a waiver or reduced fee under section 4(e) of the

3 Hardrock Mining Reform Act of 1993,’’.

4 (2) FEDERAL FILING REQUIREMENTS.—Section

5 314 of the Federal Land Policy and Management

6 Act of 1976 (43 U.S.C. 1744) is amended—

7 (A) by striking subsection (a);

8 (B) by redesignating subsections (b), (c),

9 and (d) as subsections (a), (b), and (c), respec10 tively; and

11 (C) in subsection (b) (as so redesignated)

12 by striking ‘‘subsections (a) and (b)’’ and in13 serting ‘‘subsection (a)’’.

14 (3) CONFORMING AMENDMENT.—Section

15 2511(e) of the Energy Policy Act of 1992 (30

16 U.S.C. 242(e)) is amended by striking the second

17 sentence.

18 SEC. 5. ROYALTY.

19 (a) IN GENERAL.—The production and sale of

20 locatable minerals (including associated minerals) from

21 any mining claim located after the date of enactment of

22 this Act shall be subject to a royalty of 2 percent of the

23 value of the minerals measured at the mouth of the mine.

24 (b) PAYMENT OF ROYALTY.—Royalty payments shall

25 be made not later than 45 days after the end of each cal-
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1 endar quarter during which the minerals are sold. The

2 payments shall be subject to adjustment, if required, at

3 the end of each calendar year.

4 (c) AUDIT.—The Secretary may audit the payments

5 under this section at any time upon notice to the claimant.

6 (d) ROYALTY DEDUCTION.—The Secretary may re7 duce the royalties under this section whenever the Sec8 retary determines it is necessary to promote development

9 or whenever the claims cannot be successfully operated

10 under the terms of this section.

11 (e) HARDROCK MINING ROYALTY REVIEW COMMIS12 SION.—

13 (1) ESTABLISHMENT.—There is established the

14 Hardrock Mining Royalty Review Commission (re15 ferred to in this section as the ‘‘Commission’’).

16 (2) MEMBERSHIP.—The Commission shall be

17 comprised of 9 members appointed by the Secretary

18 who have experience in the economics of the

19 hardrock mining industry.

20 (3) CHAIRPERSON.—The Secretary shall des21 ignate 1 member to serve as a Chairperson of the

22 Commission.

23 (4) COMPENSATION.—Members of the Commis24 sion shall serve without compensation but shall be

25 reimbursed for travel expenses, including per diem in
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1 lieu of subsistence, at rates authorized for employees

2 of agencies under subchapter I of chapter 57 of title

3 5, United States Code, while away from their homes

4 or regular places of business in the performance of

5 services for the Commission.

6 (5) DUTIES OF COMMISSION.—Not later than

7 18 months after the date of enactment of this sec8 tion, the Commission shall review the effect of the

9 royalty provisions under this section on the domestic

10 hardrock mining industry and present its findings

11 and recommendations to the Secretary and to the

12 Committee on Energy and Natural Resources of the

13 Senate and the Committee on Natural Resources of

14 the House of Representatives. In conducting its re15 view, the Commission shall—

16 (A) consider the economic effect of dif17 ferent royalty rates on the domestic hardrock

18 mining industry, employment, local and regional

19 economics, the balance of trade, national secu20 rity, and strategic supplies;

21 (B) determine whether there are sufficient

22 differences between various minerals or means

23 of production to support different royalty rates

24 for specific minerals or means of production;
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1 (C) estimate the long-term effect of dif2 ferent royalty rates on competition within the

3 industry and between domestic and foreign pro4 duction; and

5 (D) consider the multiplier effect of dif6 ferent royalty rates.

7 (6) POWERS OF THE COMMISSION.—The Com8 mission may—

9 (A) hold such hearings, sit and act at such

10 times and places, take such testimony, and re11 ceive such evidence as the Commission consid12 ers advisable;

13 (B) use the Unites States mails in the

14 same manner and under the same conditions as

15 other departments and agencies of the Federal

16 Government;

17 (C) enter into contracts or agreements for

18 studies and surveys with public and private or19 ganizations and transfer funds to Federal agen20 cies to carry out such functions of the Commis21 sion as the Commission determines to be nec22 essary; and

23 (D) incur such necessary expenses and ex24 ercise such other powers as are consistent with,
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1 and reasonably required to perform, the func2 tions of the Commission under this section.

3 (7) SUPPORT.—The Secretary shall provide

4 such office space, furnishings, and equipment as

5 may be required to enable the Commission to carry

6 out this section. The Secretary shall also furnish the

7 Commission with such staff, including clerical sup8 port, as the Commission may require.

9 (8) OTHER FEDERAL AGENCIES.—

10 (A) IN GENERAL.—Upon request of the

11 Commission, the Secretary may request the

12 head of any Federal department or agency—

13 (i) to assist the Commission in carry14 ing out this section; and

15 (ii) to provide such information as the

16 Commission requires.

17 (B) DETAIL OF GOVERNMENT EMPLOY18 EES.—Any Federal Government employee may

19 be detailed to the Commission. The detail shall

20 be without interruption or loss of privilege, se21 niority, pay, or other employee status. The

22 Commission shall reimburse the cooperating

23 Federal agency for the detail of an employee.

24 (9) FINANCIAL AND ADMINISTRATIVE SERV25 ICES.—The Secretary of the Interior shall provide fi-
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1 nancial and administrative services (including those

2 related to budgeting, accounting, financial reporting,

3 personnel, and procurement) to the Commission.

4 (10) APPROPRIATIONS.—There are authorized

5 to appropriated such sums as are necessary to carry

6 out this section.

7 SEC. 6. LIMITATIONS ON PATENTS.

8 (a) IN GENERAL.—After the date of enactment this

9 Act, a patent issued by the United States for any claim

10 shall be subject to the requirements of subsection (b) un11 less the Secretary determines that—

12 (1) a mineral survey application was filed with

13 the Secretary or a patent application was filed with

14 the Secretary on or before the date of enactment of

15 this Act; and

16 (2) the claimant has made a discovery of valu17 able minerals and has met or can meet all require18 ments applicable to vein, lode, or placer claims and

19 all requirements applicable to mill site claims, as ap20 propriate.

21 (b) LIMITATIONS ON PATENTED ESTATE.—A patent

22 issued by the United States after the date of enactment

23 of this Act shall be issued only—

24 (1) upon payment by the claimant of the fair

25 market value for the interest in the land owned by
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1 the United States exclusive of and without regard to

2 the mineral deposits in the land;

3 (2) upon reservation by the United States of a

4 royalty as provided in section 5; and

5 (c) REQUIREMENT FOR PATENTS.—

6 (1) IN GENERAL.—Land patented after the

7 date of enactment of this Act pursuant to section

8 2325, 2333, or 2337 of the Revised Statutes (30

9 U.S.C. 29, 37, or 42) shall be used only for mineral

10 exploration, mineral development, mining, process11 ing, benefication, or uses reasonably incident to

12 those uses, except with the approval of the Sec13 retary.

14 (2) REVERSION.—Land patented after the date

15 of enactment of this Act shall revert to the United

16 States if—

17 (A) the land is used for a purpose that is

18 not authorized under paragraph (1);

19 (B) the unauthorized use is not discounted

20 within a time period specified by the Secretary

21 (but not earlier than 90 days after the Sec22 retary provides the owner of the land with writ23 ten notice pursuant to paragraph (3)) to dis24 continue the unapproved use); and
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1 (C) the Secretary elects to enforce the re2 versionary interest in accordance with para3 graph (3).

4 (3) ENFORCEMENT.—The reversion under

5 paragraph (2) shall take effect if—

6 (A) the Secretary files a declaration of re7 version in the office of the Bureau of Land

8 Management designated by the Secretary of the

9 Interior;

10 (B) the Secretary records the declaration

11 in the office of the county recorder of the coun12 ty in which the land subject to a reversion are

13 situated; and

14 (C) not later than 30 days after recording

15 the declaration of reversion, the Secretary

16 serves on the owner of the land subject to rever17 sion a recorded copy of the declaration, in the

18 same manner that a summons and complaint

19 are served under the Federal Rules of Civil

20 Procedure, and delivers payment for fair mar21 ket value of the surface interest at the time of

22 the reverter.

23 (4) RENOUNCING OF REVERSIONARY INTER24 EST.—The Secretary may renounce a reversion by

25 filing and recording a declaration of renouncement
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1 in the same offices in which a declaration of reverter

2 would have been filed under paragraph (d). The Sec3 retary may renounce a reversion for any reason, in4 cluding a case in which—

5 (A) a portion of the lands included in the

6 patent have been used for solid waste disposal

7 or for any other purpose that may result in the

8 disposal, placement, or release of a hazardous

9 substance;

10 (B) continuance of the reverter serves no

11 public purpose; or

12 (C) it would not be in the best interest of

13 the United States to exercise the reverter.

14 (d) REQUIREMENTS FOR PATENTS.—Each patent to

15 land acquired under section 2325, 2333, or 2337 of the

16 Revised Statutes (30 U.S.C. 29, 37, or 42) that is subject

17 to the limitations of this section shall so state.

18 SEC. 7. PLANS OF OPERATION AND RECLAMATION RE19 QUIREMENTS.

20 (a) IN GENERAL.—Except as otherwise provided in

21 this subsection, no person may engage in mineral activities

22 on Federal land that cause more than a minimal disturb23 ance of surface resources (as defined in subsection (b))

24 unless the person has filed a plan of operations with, and

25 received approval of the plan from, the Secretary.
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1 (b) MINIMAL DISTURBANCE OF SURFACE RE2 SOURCES.—As used in this section, ‘‘minimal disturbance

3 of surface resources’’ means minor, short-term alteration

4 of surface resources. The Secretary may establish cat5 egories of activities that do not constitute minimal disturb6 ance of surface resources.

7 (c) ENVIRONMENTAL, LAND USE, AND RECLAMA8 TION REQUIREMENTS.—All operations conducted under a

9 plan of operations referred to in subsection (a) shall be

10 conducted in accordance with all applicable Federal and

11 State environmental laws, including—

12 (1) the Atomic Energy Act of 1954 (42 U.S.C.

13 2011 et seq.);

14 (2) the Clean Air Act (42 U.S.C. 7401 et seq.);

15 (3) the Comprehensive Environmental Re16 sponse, Compensation, and Liability Act of 1980 (42

17 U.S.C. 9601 et seq.);

18 (4) the Endangered Species Act of 1973 (16

19 U.S.C. 1531 et seq.);

20 (5) the Federal Land Policy and Management

21 Act of 1976 (43 U.S.C. 1701 et seq.);

22 (6) the Federal Mine Safety and Health Act of

23 1977 (30 U.S.C. 801 et seq.);
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1 (7) the Federal Water Pollution Control Act

2 (commonly referred to as the ‘‘Clean Water Act’’)

3 (33 U.S.C. 1251 et seq.);

4 (8) the Forest and Rangeland Renewable Re5 sources Planning Act of 1974 (16 U.S.C. 1600 et

6 seq.);

7 (9) the Migratory Bird Treaty Act (16 U.S.C.

8 703 et seq.);

9 (10) the National Environmental Policy Act of

10 1969 (42 U.S.C. 4321 et seq.);

11 (11) the National Historic Preservation Act (16

12 U.S.C. 470 et seq.);

13 (12) title XIV of the Public Health Service Act

14 (commonly referred to as the ‘‘Safe Drinking Water

15 Act’’) (42 U.S.C. 300f et seq.);

16 (13) the Solid Waste Disposal Act (42 U.S.C.

17 6901 et seq.);

18 (14) the Toxic Substances Control Act (15

19 U.S.C. 2601 et seq.); and

20 (15) the Uranium Mill Tailings Radiation Con21 trol Act of 1978 (42 U.S.C. 7901 et seq.).

22 (c) INSPECTION AND ENFORCEMENT.—

23 (1) INSPECTIONS.—The Secretary shall inspect

24 an operation conducted under a plan of operations

25 once each calendar quarter to ensure compliance
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1 with the terms of an approved plan of operations.

2 The Secretary may, at the discretion of the Sec3 retary, conduct inspections more frequently than

4 once each calendar quarter.

5 (2) ENFORCEMENT.—

6 (A) IN GENERAL.—Subject to subpara7 graphs (B) and (C), a claimant who fails to ob8 tain a plan of operations required by this sec9 tion, engages in unauthorized occupancy under

10 section 9, or who fails to comply with the terms

11 of an approved plan of operations, shall be sub12 ject to a fine of not more than $2,000 per day

13 per violation.

14 (B) CORRECTIVE ACTION.—A claimant

15 shall not be assessed a fine under subparagraph

16 (A) if the violation is corrected, or a means to

17 correct the violation is in place, within 30 days

18 after the date on which the claimant is notified

19 in writing of a violation.

20 (C) HEARING.—No fine shall be assessed

21 under this paragraph unless the claimant has

22 been given an opportunity for a hearing on the

23 record before the Secretary.

24 (d) RECLAMATION OF LAND PATENTED AFTER

25 ENACTMENT.—
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1 (1) APPLICABLE LAW.—Land patented after

2 the date of enactment of this Act shall be subject to

3 the mining reclamation laws of the State in which

4 the land is located.

5 (2) ABSENCE OF APPLICABLE STATE LAW.—In

6 the absence of applicable State mining reclamation

7 laws, land patented after the date of enactment of

8 this Act shall be subject to the Federal mining rec9 lamation laws that would have applied had the land

10 remained in Federal ownership.

11 (3) RECITATION.—Each patent issued after the

12 date of enactment of this Act shall recite that as a

13 condition of the patent, the land patented shall be

14 subject to the requirements of this subsection.

15 (4) RECLAMATION.—Public lands disturbed by

16 operations approved by the Secretary shall be re17 claimed as required by applicable Federal and State

18 laws concerning mined land reclamation.

19 SEC. 8. FINANCIAL ASSURANCES.

20 (a) FINANCIAL ASSURANCES REQUIRED.—Prior to

21 the commencement of any operations on a claim that re22 quires a plan of operation, a claimant shall—

23 (1) furnish evidence of a bond, surety, or other

24 financial guarantee in an amount determined by the

25 Secretary that is not less than the estimated cost to
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1 complete reclamation of the land disturbed by oper2 ations as required by this Act and other applicable

3 mining laws; or

4 (2) provide evidence satisfactory to the Sec5 retary that the area to be affected is covered by a

6 bonding pool that will provide for reclamation of the

7 land disturbed by operations as required by this Act

8 and other applicable mining laws.

9 (b) REVIEW.—Not later than 5 years after an assur10 ance is provided under subsection (a), and at least each

11 5 years thereafter, the Secretary shall, after consultation

12 with representatives of the affected States, review the fi13 nancial assurances.

14 (c) PHASED GUARANTEES.—The Secretary may ad15 just the amount of the financial guarantee provided under

16 subsection (a) upon a determination by the Secretary that

17 a portion of reclamation is completed as required by this

18 Act and other applicable mining laws.

19 (d) RELEASE.—Prior to any reduction in, or final re20 lease of, a bond or other financial guarantee, the Secretary

21 shall provide for public notice and comment.

22 SEC. 9. OCCUPANCY AND RESIDENCY OF CLAIMS.

23 (a) PROHIBITION.—Subject to the other provisions of

24 this section and valid existing rights, full- or part-time res25 idential occupancy of a mining claim, including the con-
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1 struction, presence, or maintenance of a temporary or per2 manent structure that may be used for residential occu3 pancy purposes, shall be prohibited.

4 (b) TRANSITORY OCCUPANCY.—Residential occu5 pancy of a claim for purposes reasonably incident to

6 prospecting, mining, or processing that does not involve

7 surface disturbance extending beyond the period of occu8 pancy shall be permitted for a duration of no more than

9 14 days upon notice to the Secretary.

10 (c) TEMPORARY OCCUPANCY.—The Secretary may

11 approve residential occupancy of a claim for a period in

12 excess of 14 days as part of a plan of operations required

13 under applicable law, if the Secretary determines that the

14 occupancy is reasonably required to accomplish such plan.

15 Occupancy under this subsection shall of no greater dura16 tion or extent than is necessary to accomplish the

17 prospecting, mining, or processing incident to the plan.

18 SEC. 10. MINERAL MATERIALS.

19 (a) DETERMINATIONS.—Section 3 of the Surface Re20 sources Act of 1955 (30 U.S.C. 611) is amended—

21 (1) by striking ‘‘SEC. 3. No deposit’’ and insert22 ing the following:

23 ‘‘SEC. 3. MINERAL MATERIALS.

24 ‘‘(a) VARIETIES OF MINERALS NOT DEEMED VALU25 ABLE MINERAL DEPOSITS.—No deposit’’;
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1 (2) in the first sentence, by striking ‘‘or cin2 ders’’ and inserting ‘‘cinders, or clay’’; and

3 (3) by adding at the end the following new

4 subsection:

5 ‘‘(b) DISPOSAL.—

6 ‘‘(1) IN GENERAL.—Subject to valid existing

7 rights (as defined in paragraph (2)), after the date

8 of enactment of this section, deposits of minerals re9 ferred to in subsection (a) (except deposits of ben10 tonite and gypsum) shall be subject to disposal

11 under the terms and conditions of the Materials Act

12 of 1947 (30 U.S.C. 601 et seq.)

13 ‘‘(2) VALID EXISTING RIGHTS DEFINED.—As

14 used in paragraph (1), the term ‘valid existing

15 rights’ means a mining claim located for a mineral

16 material that—

17 ‘‘(A) has some property that tives the

18 claim distinct and special value as described in

19 subsection (a), including so-called ‘block pum20 ice’ as described in subsection (a);

21 ‘‘(B) was properly located and maintained

22 under the general mining laws on the date of

23 enactment of this subsection;

24 ‘‘(C) was supported by a discovery of a val25 uable mineral deposit within the meaning of the
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1 general mining law on the date of enactment of

2 this subsection; and

3 ‘‘(D) continues to be valid.’’.

4 (b) MINERAL MATERIALS SUBJECT TO RIGHT OF

5 THE UNITED STATES FOR DISPOSAL AND SEVERANCE.—

6 Subsections (b) and (c) of section 4 of the Surface Re7 sources Act of 1955 (30 U.S.C. 612) is amended by insert8 ing ‘‘and mineral material’’ after ‘‘vegetative’’ both places

9 it appears .

10 (c) CONFORMING AMENDMENT.—The first sentence

11 of section 1 of the Materials Act of 1947 (30 U.S.C. 601)

12 is amended by striking ‘‘common varieties of’’.

13 SEC. 11. RECEIPTS.

14 Two-thirds of the receipts from location and mainte15 nance fees required by section 4, royalties required by sec16 tion 5, and payments required by section 6 shall be paid

17 into the Treasury of the United States and deposited as

18 miscellaneous receipts. One-third of the receipts from any

19 claim, patent, or millsite shall be paid by the Secretary

20 of the Treasury to the treasury of the State in which such

21 claim, patent, or millsite is located.

22 SEC. 12. ABANDONED HARDROCK MINE RECLAMATION

23 PROGRAM.

24 (a) ESTABLISHMENT.—There is established a pro25 gram to be known as the Abandoned Hardrock Mine Rec-
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1 lamation Program (referred to in this section as the ‘‘Pro2 gram’’). The Program shall be administered by the Sec3 retary of the Interior acting through the Director of the

4 Bureau of Land Management.

5 (b) DESCRIPTION OF PROGRAM.—

6 (1) IN GENERAL.—The Secretary is authorized

7 to make grants to eligible States (as defined in sub8 section (e)) for the reclamation and restoration of

9 land and water resources adversely affected by past

10 hardrock mining (other than coal and fluid known

11 minerals). The grants may be used for—

12 (A) the reclamation and restoration of

13 abandoned surface mined areas;

14 (B) the reclamation and restoration of

15 abandoned milling and processing areas;

16 (C) the sealing, filling, and grading of

17 abandoned deep mine entries;

18 (D) the planting of land adversely affected

19 by past mining to prevent erosion and sedi20 mentation;

21 (E) the prevention, abatement, treatment,

22 and control of water pollution created by aban23 doned mine drainage;

24 (F) the control of surface subsidence due

25 to abandoned deep mines; and
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1 (G) such other projects as may be nec2 essary to accomplish this Act.

3 (2) PRIORITIES.—Expenditure of grant funds

4 by the Secretary shall reflect the following priorities

5 in the order stated:

6 (A) The protection of public health, safety,

7 and general welfare from the adverse effects of

8 past hardrock mining practices.

9 (B) The restoration of land and water re10 sources previously degraded by the adverse ef11 fects of past minerals and mineral materials

12 mining practices.

13 (c) ELIGIBLE AREAS.—

14 (1) ELIGIBILITY IN GENERAL.—Subject to

15 paragraph (2), land and water eligible for reclama16 tion expenditures under this section shall be those—

17 (A) that were mined or processed for min18 erals and mineral materials or abandoned or

19 left in an inadequate reclamation status prior to

20 the date of enactment of this section;

21 (B) for which the Secretary (or State)

22 makes a determination that there is no continu23 ing reclamation responsibility under Federal or

24 State laws; and
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1 (C) for which it can be established that the

2 land does not contain minerals that could eco3 nomically be extracted through the reprocessing

4 or remining, unless the consideration is in con5 flict with the priorities set forth under subpara6 graphs (A) and (B) of subsection (b)(2).

7 (2) SPECIFIC SITES AND AREAS NOT ELIGI8 BLE.—Areas designated for remedial action pursu9 ant to the Uranium Mill Tailing Radiation Control

10 Act of 1978 (42 U.S.C. 7901 et seq.) or that have

11 been listed for remedial action pursuant to the Com12 prehensive Environmental Response, Compensation,

13 and Liability Act of 1980 (42 U.S.C. 9601 et seq.)

14 shall not be eligible for expenditure under this

15 section.

16 (d) ALLOCATION AND EXPENDITURES.—

17 (1) ALLOCATIONS.—

18 (A) IN GENERAL.—Funds available for ex19 penditure by the Secretary shall be allocated on

20 an annual basis in the form of grants to eligible

21 States, or in the form of expenditures under

22 subsection (d)(2), to carry out this Act.

23 (B) DISTRIBUTION.—The Secretary shall

24 distribute the funds equitably to eligible States,
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1 giving due consideration to the priorities stated

2 in subsection (b)(2).

3 (2) DIRECT FEDERAL EXPENDITURES.—The

4 Secretary shall make grants to States not eligible

5 under subsection (e) based on the greatest need for

6 the funds pursuant to the priorities stated in sub7 section (b)(2).

8 (e) STATE RECLAMATION PROGRAMS.—

9 (1) ELIGIBLE STATES.—For the purpose of

10 subsection (d), the term ‘‘eligible States’’ are States

11 that the Secretary determines meets each of the fol12 lowing requirements:

13 (A) Within the State there are mined

14 lands, waters, and facilities eligible for reclama15 tion under subsection (c).

16 (B) The State has developed an inventory

17 of affected areas following the priorities estab18 lished under subsection (b)(2).

19 (C) The State has established, and the

20 Secretary has approved, a State abandoned

21 minerals and mineral materials mine reclama22 tion program for the purpose of receiving and

23 administering grants under this section.
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1 (2) MONITORING.—The Secretary shall monitor

2 the expenditure of State grants to ensure that the

3 grants are being utilized to carry out this Act.

4 (3) STATE PROGRAMS.—The Secretary shall ap5 prove any State abandoned minerals mine reclama6 tion program submitted to the Secretary by a State

7 under this section if the Secretary finds that the

8 State has the means and necessary State legislation

9 to implement the program and that the program

10 complies with this section.

11 (f) AUTHORIZATION OF APPROPRIATIONS.—

12 (1) IN GENERAL.—Subject to paragraph (2),

13 there are authorized to be appropriated such sums

14 as are necessary to carry out this section.

15 (2) LIMITATION.—The amount annually au16 thorized to be appropriated under this subsection

17 shall not exceed the sums paid into the Treasury of

18 the United States, and deposited as miscellaneous

19 receipts, pursuant to section 11 for the fiscal year

20 preceding the authorization.

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