H. R. 239

One Hundred Third Congress

of the

United States of America

AT THE FIRST SESSION

Begun and held at the City of Washington on Tuesday,

the fifth day of January, one thousand nine hundred and ninety-three

An Act

To amend the Stock Raising Homestead Act to resolve certain problems regarding

subsurface estates, 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. MINING CLAIMS ON STOCK RAISING HOMESTEAD ACT

LANDS.

(a) MINERAL ENTRY UNDER THE STOCK RAISING HOMESTEAD

ACT.—Section 9 of the Act of December 29, 1916, entitled ‘‘An

Act to provide for stock-raising homesteads, and for other purposes’’

(43 U.S.C. 29), is amended by adding the following at the end

thereof:

‘‘(b) EXPLORATION; LOCATION OF MINING CLAIMS; NOTICES.— ‘‘(1) IN GENERAL.—(A) Notwithstanding subsection (a) and any other provision of law to the contrary, after the effective

date of this subsection no person other than the surface owner

may enter lands subject to this Act to explore for, or to locate,

a mining claim on such lands without—

‘‘(i) filing a notice of intention to locate a mining claim

pursuant to paragraph (2); and

‘‘(ii) providing notice to the surface owner pursuant

to paragraph (3).

‘‘(B) Any person who has complied with the requirements

referred to in subparagraph (A) may, during the authorized

exploration period, in order to locate a mining claim, enter

lands subject to this Act to undertake mineral activities related

to exploration that cause no more than a minimal disturbance

of surface resources and do not involve the use of mechanized

earthmoving equipment, explosives, the construction of roads,

drill pads, or the use of toxic or hazardous materials.

‘‘(C) The authorized exploration period referred to in

subparagraph (B) shall begin 30 days after notice is provided

under paragraph (3) with respect to lands subject to such

notice and shall end with the expiration of the 90-day period

referred to in paragraph (2)(A) or any extension provided under

paragraph (2).

‘‘(2) NOTICE OF INTENTION TO LOCATE A MINING CLAIM.— Any person seeking to locate a mining claim on lands subject

to this Act in order to engage in the mineral activities relating

to exploration referred to under paragraph (1)(B) shall file

with the Secretary of the Interior a notice of intention to

locate a claim on the lands concerned. The notice shall be

in such form as the Secretary shall prescribe. The notice shall

contain the name and mailing address of the person filing
H. R. 239—2

the notice and a legal description of the lands to which the

notice applies. The legal description shall be based on the

public land survey or on such other description as is sufficient

to permit the Secretary to record the notice on the land status

records of the Secretary. Whenever any person has filed a

notice under this paragraph with respect to any lands, during

the 90-day period following the date of such filing, or any

extension thereof pursuant to this paragraph, no other person

(including the surface owner) may—

‘‘(A) file such a notice with respect to any portions

of such lands;

‘‘(B) explore for minerals or locate a mining claim

on any portion of such lands; or

‘‘(C) file an application to acquire any interest in any

portion of such lands pursuant to section 209 of the Federal

Land Policy and Management Act of 1976 (43 U.S.C. 1719).

If, within such 90-day period, the person who filed a notice

under this paragraph files a plan of operations with the Secretary pursuant to subsection (f), such 90-day period shall

be extended until the approval or disapproval of the plan by

the Secretary pursuant to subsection (f).

‘‘(3) NOTICE TO SURFACE OWNER.—Any person who has

filed a notice of intention to locate a mining claim under paragraph (2) for any lands subject to this Act shall provide written

notice of such filing, by registered or certified mail with return

receipt, to the surface owner (as evidenced by local tax records)

of the lands covered by the notice under paragraph (2). The

notice shall be provided at least 30 days before entering such

lands and shall contain each of the following: ‘‘(A) A brief description of the proposed mineral activities.

‘‘(B) A map and legal description of the lands to be

subject to mineral exploration. ‘‘(C) The name, address and phone number of the person managing such activities. ‘‘(D) A statement of the dates on which such activities

will take place.

‘‘(4) ACREAGE LIMITATIONS.—The total acreage covered at

any time by notices of intention to locate a mining claim under

paragraph (2) filed by any person and by affiliates of such

person may not exceed 6,400 acres of lands subject to this

Act in any one State and 1,280 acres of such lands for a

single surface owner. For purposes of this paragraph, the term

‘affiliate’ means, with respect to any person, any other person

which controls, is controlled by, or is under common control

with, such person.

‘‘(c) CONSENT.—Notwithstanding subsection (a) and any other

provision of law, after the effective date of this subsection no person

may engage in the conduct of mineral activities (other than those

relating to exploration referred to in subsection (b)(1)B)) on a mining

claim located on lands subject to this Act without the written

consent of the surface owner thereof unless the Secretary has

authorized the conduct of such activities under subsection (d).

‘‘(d) AUTHORIZED MINERAL ACTIVITIES.—The Secretary shall

authorize a person to conduct mineral activities (other than those

relating to exploration referred to in subsection (b)(1)(B)) on lands

subject to this Act without the consent of the surface owner thereof
H. R. 239—3

if such person complies with the requirements of subsections (e)

and (f).

‘‘(e) BOND.—(1) Before the Secretary may authorize any person

to conduct mineral activities the Secretary shall require such person

to post a bond or other financial guarantee in an amount to insure

the completion of reclamation pursuant to this Act. Such bond

or other financial guarantee shall ensure—

‘‘(A) payment to the surface owner, after the completion

of such mineral activities and reclamation, compensation for

any permanent damages to crops and tangible improvements

of the surface owner that resulted from mineral activities;

and

‘‘(B) payment to the surface owner of compensation for

any permanent loss of income of the surface owner due to

loss or impairment of grazing, or other uses of the land by

the surface owner to the extent that reclamation required by

the plan of operations would not permit such uses to continue

at the level existing prior to the commencement of mineral

activities.

‘‘(2) In determining the bond amount to cover permanent loss

of income under paragraph (1)(B), the Secretary shall consider,

where appropriate, the potential loss of value due to the estimated

permanent reduction in utilization of the land.

‘‘(f) PLAN OR OPERATIONS.—(1) Before the Secretary may authorize any person to conduct mineral activities on lands subject to

this Act, the Secretary shall require such person to submit a plan

of operations. Such plan shall include procedures for—

‘‘(A) the minimization of damages to crops and tangible

improvements of the surface owner;

‘‘(B) the minimization of disruption to grazing or other

uses of the land by the surface owner; and ‘‘(C) payment of a fee for the use of surface during mineral

activities equivalent to the loss of income to the ranch operation

as established pursuant to subsection (g).

‘‘(2) The Secretary shall provide a copy of the proposed plan

of operations to the surface owner at least 45 days prior to the

date the Secretary makes a determination as to whether such

plan complies with the requirements of this subsection. During

such 45-day period the surface owner may submit comments and

recommend modifications to the proposed plan of operations to

the Secretary. ‘‘(3)(A) The Secretary shall, within 60 days of receipt of the

plan, approve the plan of operations if it complies with the requirements of this Act, including each of the following: ‘‘(i) The proposed plan of operations is complete and

accurate.

‘‘(ii) The person submitting the proposed plan of operations

has demonstrated that all other applicable Federal and State

requirements have been met.

‘‘(B) The Secretary shall notify the person submitting a plan

of operations of any modifications to such plan required to bring

it into compliance with the requirements of this Act. If the person

submitting the plan agrees to modify such plan in a manner acceptable to the Secretary, the Secretary shall approve the plan as

modified. In the event no agreement can be reached on the modifications to the plan which, in the opinion of the Secretary, will bring

such plan into compliance with the requirements of this Act, then
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the Secretary shall disapprove the plan and notify both the surface

owner and the person submitting the plan of the decision.

‘‘(C) The 60-day period referred to in subparagraph (A) may

be extended by the Secretary where additional time is required

to comply with other applicable requirements of law.

‘‘(D) The Secretary shall suspend or revoke a plan of operation

whenever the Secretary determines, on the Secretary’s own motion

or on a motion made by the surface owner, that the person conducting mineral activities is in substantial noncompliance with the

terms and conditions of an approved plan of operations and has

failed to remedy a violation after notice from the Secretary within

the time required by the Secretary.

‘‘(4) Final approval of a plan of operations under this subsection

shall be conditioned upon compliance with subsections (e) and (g).

‘‘(g) FEE.—The fee referred to in subsection (f)(1) shall be—

‘‘(1) paid to the surface owner by the person submitting

the plan of operations;

‘‘(2) paid in advance of any mineral activities or at such

other time or times as may be agreed to by the surface owner

and the person conducting such activities; and

‘‘(3) established by the Secretary taking into account the

acreage involved and the degree of potential disruption to existing surface uses during mineral activities (including the loss

of income to the surface owner and such surface owner’s operations due to the loss or impairment of existing surface uses

for the duration of the mineral activities), except that such

fee shall not exceed the fair market value for the surface

of the land.

‘‘(h) RECLAMATION.—Lands affected by mineral activities under

a plan of operations approved pursuant to subsection (f)(3) shall

be reclaimed, to the maximum extent practicable, to a condition

capable of supporting the uses to which such lands were capable

of supporting prior to surface disturbance. Reclamation shall proceed as contemporaneously as practicable with the conduct of mineral activities.

‘‘(i) STATE LAW.—(1) Nothing in this Act shall be construed

as affecting any reclamation, bonding, inspection, enforcement, air

or water quality standard or requirement of any State law or

regulation which may be applicable to mineral activities on lands

subject to this Act to the extent that such law or regulation is

not inconsistent with this title.

‘‘(2) Nothing in this Act shall be construed as affecting in

any way the right of any person to enforce or protect, under

applicable law, the interest of such person in water resources

affected by mineral activities.

‘‘(j) INSPECTIONS.—Should any surface owner of land subject

to this Act have reason to believe that they are or may be adversely

affected by mineral activities due to any violation of the terms

and conditions of a plan of operations approved under subsection

(f), such surface owner may request an inspection of such lands.

The Secretary shall determine within 10 days of the receipt of

the request whether the request states a reason to believe that

a violation exists, except in the event the surface owner alleges

and provides reason to believe that an imminent danger exists,

the 10-day period shall be waived and the inspection conducted

immediately. When an inspection is conducted under this para-
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graph, the Secretary shall notify the surface owner and such surface

owner shall be allowed to accompany the inspector on the inspection.

‘‘(k) DAMAGES FOR FAILURE TO COMPLY.—(1) Whenever the

surface owner of any land subject to this Act has suffered any

permanent damages to crops or tangible improvements of the surface owner, or any permanent loss of income due to loss or impairment of grazing, or other uses of the land by the surface owner,

if such damages or loss result from—

‘‘(A) any mineral activity undertaken without the consent

of the surface owner under subsection (c) or an authorization

by the Secretary under subsection (d); or

‘‘(B) the failure of the person conducting mineral activities

to remedy to the satisfaction of the Secretary any substantial

noncompliance with the terms and conditions of a plan under

subsection (f);

the surface owner may bring an action in the appropriate United

States district court for, and the court may award, double damages

plus costs for willful misconduct or gross negligence.

‘‘(2) The surface owner of any land subject to this Act may

also bring an action in the appropriate United States district court

for double damages plus costs for willful misconduct or gross negligence against any person undertaking any mineral activities on

lands subject to this Act in violation of any requirement of subsection (b).

‘‘(3) Any double damages plus costs awarded by the court under

this subsection shall be reduced by the amount of any compensation

which the surface owner has received (or is eligible to receive)

pursuant to the bond or financial guarantee required under subsection (e).

‘‘(l) PAYMENT OF FINANCIAL GUARANTEE.—The surface owner

of any land subject to this Act may petition the Secretary for

payment of all or any portion of a bond or other financial guarantee

required under subsection (e) as compensation for any permanent

damages to crops and tangible improvements of the surface owner,

or any permanent loss of income due to loss or impairment of

grazing, or other uses of the land by the surface owner. Pursuant

to such a petition, the Secretary may use such bond or other

guarantee to provide compensation to the surface owner for such

damages and to insure the required reclamation.

‘‘(m) BOND RELEASE.—The Secretary shall release the bond

or other financial guarantee required under subsection (e) upon

the successful completion of all requirements pursuant to a plan

of operations approved under subsection (f).

‘‘(n) CONVEYANCE TO SURFACE OWNER.—The Secretary shall

take such actions as may be necessary to simplify the procedures

which must be complied with by surface owners of lands subject

to this Act who apply to the Secretary to obtain title to interests

in such lands owned by the United States.

‘‘(o) DEFINITIONS.—For the purposes of subsections (b) through

(n)—

‘‘(1) The term ‘mineral activities’ means any activity for,

related to or incidental to mineral exploration, mining, and

beneficiation activities for any locatable mineral on a mining

claim. When used with respect to this term—

‘‘(A) the term ‘exploration’ means those techniques

employed to locate the presence of a locatable mineral
H. R. 239—6

deposit and to establish its nature, position, size, shape,

grade and value;

‘‘(B) the term ‘mining’ means the processes employed

for the extraction of a locatable mineral from the earth;

and

‘‘(C) the term ‘beneficiation’ means the crushing and

grinding of locatable mineral ore and such processes are

employed to free the mineral from the other constituents,

including but not necessarily limited to, physical and

chemical separation techniques.

‘‘(2) The term ‘mining claim’ means a claim located under

the general mining laws of the United States (which generally

comprise 30 U.S.C. chapters 2, 12A, and 16, and sections 161

and 162) subject to the terms and conditions of subsections

(b) through (p) of this section.

‘‘(3) The term ‘tangible improvements’ includes agricultural,

residential and commercial improvements, including improvements made by residential subdividers.

‘‘(p) MINERALS COVERED.—Subsections (b) through (o) of this

section apply only to minerals not subject to disposition under—

‘‘(1) the Mineral Leasing Act (30 U.S.C. 181 and following);

‘‘(2) the Geothermal Steam Act of 1970 (30 U.S.C. 100

and following); or

‘‘(3) the Act of July 31, 1947, commonly known as the

Materials Act of 1947 (30 U.S.C. 601 and following).’’.

(b) TECHNICAL CONFORMING AMENDMENT.—Section 9 of the

Act of December 29, 1916, entitled ‘‘An Act to provide for stockraising homesteads, and for other purposes’’ (43 U.S.C. 299) is

amended by inserting ‘‘(a) GENERAL PROVISIONS.—’’ before the words

‘‘That all entries made’’.

(c) EFFECTIVE DATE.—The amendments made by this Act shall

take effect 180 days after the date of enactment. (d) REGULATIONS.—The Secretary of the Interior shall issue

final regulations to implement the amendments made by this Act

not later than the effective date of this Act. Failure to promulgate

these regulations by reason of any appeal or judicial review shall

not delay the effective date as specified in paragraph (c).

SEC. 2. REPORT TO CONGRESS ON FOREIGN MINERAL INTEREST.

(a) REPORT.—The Secretary of the Interior is directed to submit

a report to the Congress within 2 years after the date of enactment

of this Act on the acquisition of mineral interests made after the

date of enactment of this Act by foreign firms on lands subject

to the Act of December 29, 1916, entitled ‘‘An Act to provide for

stock-raising homesteads, and for other purposes’’ (43 U.S.C. 299).
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(b) DEFINITION.—For purposes of this section, the term ‘‘foreign

firm’’ means a business entity that conducts business operations

in the United States and is 51 percent or more owned and controlled

by a foreign person or entity.

Speaker of the House of Representatives.

Vice President of the United States and

President of the Senate.