H. R. 2389—3
has decreased precipitously, so too have the revenues shared
with the affected counties.
(10) This decline in shared revenues has affected edu-
cational funding and road maintenance for many counties.
(11) In the Omnibus Budget Reconciliation Act of 1993,
Congress recognized this trend and ameliorated its adverse
consequences by providing an alternative annual safety net
payment to 72 counties in Oregon, Washington, and northern
California in which Federal timber sales had been restricted
or prohibited by administrative and judicial decisions to protect
the northern spotted owl.
(12) The authority for these particular safety net payments
is expiring and no comparable authority has been granted
for alternative payments to counties elsewhere in the United
States that have suffered similar losses in shared revenues
from the Federal lands and in the funding for schools and
roads those revenues provide.
(13) There is a need to stabilize education and road mainte-
nance funding through predictable payments to the affected
counties, job creation in those counties, and other opportunities
associated with restoration, maintenance, and stewardship of
Federal lands.
(14) Both the Forest Service and the Bureau of Land
Management face significant backlogs in infrastructure mainte-
nance and ecosystem restoration that are difficult to address
through annual appropriations.
(15) There is a need to build new, and strengthen existing,
relationships and to improve management of public lands and
waters.
(b) PURPOSES.—The purposes of this Act are as follows:
(1) To stabilize payments to counties to provide funding
for schools and roads that supplements other available funds.
(2) To make additional investments in, and create addi-
tional employment opportunities through, projects that improve
the maintenance of existing infrastructure, implement steward-
ship objectives that enhance forest ecosystems, and restore
and improve land health and water quality. Such projects shall
enjoy broad-based support with objectives that may include,
but are not limited to—
(A) road, trail, and infrastructure maintenance or
obliteration;
(B) soil productivity improvement;
(C) improvements in forest ecosystem health;
(D) watershed restoration and maintenance;
(E) restoration, maintenance and improvement of wild-
life and fish habitat;
(F) control of noxious and exotic weeds; and
(G) reestablishment of native species.
(3) To improve cooperative relationships among the people
that use and care for Federal lands and the agencies that
manage these lands.
SEC. 3. DEFINITIONS.
In this Act:
(1) FEDERAL LANDS.—The term ‘‘Federal lands’’ means—
(A) lands within the National Forest System, as defined
in section 11(a) of the Forest and Rangeland Renewable
H. R. 2389—4
Resources Planning Act of 1974 (16 U.S.C. 1609(a)) exclu-
sive of the National Grasslands and land utilization
projects designated as National Grasslands administered
pursuant to the Act of July 22, 1937 (7 U.S.C. 1010–
1012); and
(B) such portions of the revested Oregon and California
Railroad and reconveyed Coos Bay Wagon Road grant lands
as are or may hereafter come under the jurisdiction of
the Department of the Interior, which have heretofore or
may hereafter be classified as timberlands, and power-
site lands valuable for timber, that shall be managed,
except as provided in the former section 3 of the Act of
August 28, 1937 (50 Stat. 875; 43 U.S.C. 1181c), for perma-
nent forest production.
(2) ELIGIBILITY
PERIOD.—The term ‘‘eligibility period’’
means fiscal year 1986 through fiscal year 1999.
(3) ELIGIBLE COUNTY.—The term ‘‘eligible county’’ means
a county that received 50-percent payments for one or more
fiscal years of the eligibility period or a county that received
a portion of an eligible State’s 25-percent payments for one
or more fiscal years of the eligibility period. The term includes
a county established after the date of the enactment of this
Act so long as the county includes all or a portion of a county
described in the preceding sentence.
(4) ELIGIBLE STATE.—The term ‘‘eligible State’’ means a
State that received 25-percent payments for one or more fiscal
years of the eligibility period.
(5) FULL
PAYMENT
AMOUNT.—The term ‘‘full payment
amount’’ means the amount calculated for each eligible State
and eligible county under section 101.
(6) 25-PERCENT PAYMENT.—The term ‘‘25-percent payment’’
means the payment to States required by the sixth paragraph
under the heading of ‘‘FOREST SERVICE’’ in the Act of May
23, 1908 (35 Stat. 260; 16 U.S.C. 500), and section 13 of
the Act of March 1, 1911 (36 Stat. 963; 16 U.S.C. 500).
(7) 50-PERCENT PAYMENT.—The term ‘‘50-percent payment’’
means the payment that is the sum of the 50-percent share
otherwise paid to a county pursuant to title II of the Act
of August 28, 1937 (chapter 876; 50 Stat. 875; 43 U.S.C. 1181f),
and the payment made to a county pursuant to the Act of
May 24, 1939 (chapter 144; 53 Stat. 753; 43 U.S.C. 1181f–
1 et seq.).
(8) SAFETY
NET
PAYMENTS.—The term ‘‘safety net pay-
ments’’ means the special payment amounts paid to States
and counties required by section 13982 or 13983 of the Omnibus
Budget Reconciliation Act of 1993 (Public Law 103–66; 16
U.S.C. 500 note; 43 U.S.C. 1181f note).
SEC. 4. CONFORMING AMENDMENT.
Section 6903(a)(1)(C) of title 31, United States Code, is amended
by inserting after ‘‘(16 U.S.C. 500)’’ the following: ‘‘or the Secure
Rural Schools and Community Self-Determination Act of 2000’’.
H. R. 2389—5
TITLE 
I—SECURE 
PAYMENTS 
FOR
STATES AND COUNTIES CONTAINING
FEDERAL LANDS
SEC. 101. DETERMINATION OF FULL PAYMENT AMOUNT FOR ELIGIBLE
STATES AND COUNTIES.
(a) CALCULATION REQUIRED.—
(1) ELIGIBLE STATES.—For fiscal years 2001 through 2006,
the Secretary of the Treasury shall calculate for each eligible
State that received a 25-percent payment during the eligibility
period an amount equal to the average of the three highest
25-percent payments and safety net payments made to that
eligible State for the fiscal years of the eligibility period.
(2) BUREAU OF LAND MANAGEMENT COUNTIES.—For fiscal
years 2001 through 2006, the Secretary of the Treasury shall
calculate for each eligible county that received a 50-percent
payment during the eligibility period an amount equal to the
average of the three highest 50-percent payments and safety
net payments made to that eligible county for the fiscal years
of the eligibility period.
(b) ANNUAL ADJUSTMENT.—For each fiscal year in which pay-
ments are required to be made to eligible States and eligible coun-
ties under this title, the Secretary of the Treasury shall adjust
the full payment amount for the previous fiscal year for each
eligible State and eligible county to reflect 50 percent of the changes
in the consumer price index for rural areas (as published in the
Bureau of Labor Statistics) that occur after publication of that
index for fiscal year 2000.
SEC. 102. PAYMENTS TO STATES FROM NATIONAL FOREST SYSTEM
LANDS FOR USE BY COUNTIES TO BENEFIT PUBLIC EDU-
CATION AND TRANSPORTATION.
(a) PAYMENT AMOUNTS.—The Secretary of the Treasury shall
pay an eligible State the sum of the amounts elected under sub-
section (b) by each eligible county for either—
(1) the 25-percent payment under the Act of May 23, 1908
(16 U.S.C. 500), and section 13 of the Act of March 1, 1911
(16 U.S.C. 500); or
(2) the full payment amount in place of the 25-percent
payment.
(b) ELECTION TO RECEIVE PAYMENT AMOUNT.—
(1) ELECTION; SUBMISSION
OF
RESULTS.—The election to
receive either the full payment amount or the 25-percent pay-
ment shall be made at the discretion of each affected county
and transmitted to the Secretary by the Governor of a State.
(2) DURATION OF ELECTION.—A county election to receive
the 25-percent payment shall be effective for two fiscal years.
When a county elects to receive the full payment amount,
such election shall be effective for all the subsequent fiscal
years through fiscal year 2006.
(3) SOURCE OF PAYMENT AMOUNTS.—The payment to an
eligible State under this section for a fiscal year shall be derived
from any revenues, fees, penalties, or miscellaneous receipts,
exclusive of deposits to any relevant trust fund, or special
accounts, received by the Federal Government from activities
H. R. 2389—6
by the Forest Service on the Federal lands described in section
3(1)(A) and to the extent of any shortfall, out of any funds
in the Treasury not otherwise appropriated.
(c) DISTRIBUTION AND EXPENDITURE OF PAYMENTS.—
(1) DISTRIBUTION METHOD.—A State that receives a pay-
ment under subsection (a) shall distribute the payment among
all eligible counties in the State in accordance with the Act
of May 23, 1908 (16 U.S.C. 500), and section 13 of the Act
of March 1, 1911 (36 Stat. 963; 16 U.S.C. 500).
(2) EXPENDITURE PURPOSES.—Subject to subsection (d), pay-
ments received by a State under subsection (a) and distributed
to eligible counties shall be expended as required by the laws
referred to in paragraph (1).
(d) EXPENDITURE RULES FOR ELIGIBLE COUNTIES.—
(1) ALLOCATIONS.—
(A) USE OF PORTION IN SAME MANNER AS 25-PERCENT
PAYMENTS.—If an eligible county elects to receive its share
of the full payment amount, not less than 80 percent,
but not more than 85 percent, of the funds shall be
expended in the same manner in which the 25-percent
payments are required to be expended.
(B) ELECTION
AS
TO
USE
OF
BALANCE.—An eligible
county shall elect to do one or more of the following with
the balance of the funds not expended pursuant to subpara-
graph (A):
(i) Reserve the balance for projects in accordance
with title II.
(ii) Reserve the balance for projects in accordance
with title III.
(iii) Return the balance to the General Treasury
in accordance with section 402(b).
(2) DISTRIBUTION OF FUNDS.—
(A) TREATMENT OF TITLE II FUNDS.—Funds reserved
by an eligible county under paragraph (1)(B)(i) shall be
deposited in a special account in the Treasury of the United
States and shall be available for expenditure by the Sec-
retary of Agriculture, without further appropriation, and
shall remain available until expended in accordance with
title II.
(B) TREATMENT OF TITLE III FUNDS.—Funds reserved
by an eligible county under paragraph (1)(B)(ii) shall be
available for expenditure by the county and shall remain
available, until expended, in accordance with title III.
(3) ELECTION.—
(A) IN GENERAL.—An eligible county shall notify the
Secretary of Agriculture of its election under this subsection
not later than September 30 of each fiscal year. If the
eligible county fails to make an election by that date,
the county is deemed to have elected to expend 85 percent
of the funds to be received under this section in the same
manner in which the 25-percent payments are required
to be expended, and shall remit the balance to the Treasury
of the United States in accordance with section 402(b).
(B) COUNTIES WITH MINOR DISTRIBUTIONS.—Notwith-
standing any adjustment made pursuant to section 101(b)
in the case of each eligible county to which less than
$100,000 is distributed for any fiscal year pursuant to
H. R. 2389—7
subsection (c)(1), the eligible county may elect to expend
all such funds in accordance with subsection (c)(2).
(e) TIME
FOR PAYMENT.—The payment to an eligible State
under this section for a fiscal year shall be made as soon as
practicable after the end of that fiscal year.
SEC. 103. PAYMENTS TO COUNTIES FROM BUREAU OF LAND MANAGE-
MENT LANDS FOR USE TO BENEFIT PUBLIC SAFETY, LAW
ENFORCEMENT, EDUCATION, AND OTHER PUBLIC PUR-
POSES.
(a) PAYMENT.—The Secretary of the Treasury shall pay an
eligible county either—
(1) the 50-percent payment under the Act of August 28,
1937 (43 U.S.C. 1181f ), or the Act of May 24, 1939 (43 U.S.C.
1181f–1) as appropriate; or
(2) the full payment amount in place of the 50-percent
payment.
(b) ELECTION TO RECEIVE FULL PAYMENT AMOUNT.—
(1) ELECTION; DURATION.—The election to receive the full
payment amount shall be made at the discretion of the county.
Once the election is made, it shall be effective for the fiscal
year in which the election is made and all subsequent fiscal
years through fiscal year 2006.
(2) SOURCE OF PAYMENT AMOUNTS.—The payment to an
eligible county under this section for a fiscal year shall be
derived from any revenues, fees, penalties, or miscellaneous
receipts, exclusive of deposits to any relevant trust fund, or
permanent operating funds, received by the Federal Govern-
ment from activities by the Bureau of Land Management on
the Federal lands described in section 3(1)(B) and to the extent
of any shortfall, out of any funds in the Treasury not otherwise
appropriated.
(c) EXPENDITURE RULES FOR ELIGIBLE COUNTIES.—
(1) ALLOCATIONS.—
(A) USE OF PORTION IN SAME MANNER AS 50-PERCENT
PAYMENTS.—Of the funds to be paid to an eligible county
pursuant to subsection (a)(2), not less than 80 percent,
but not more than 85 percent, of the funds distributed
to the eligible county shall be expended in the same manner
in which the 50-percent payments are required to be
expended.
(B) ELECTION
AS
TO
USE
OF
BALANCE.—An eligible
county shall elect to do one or more of the following with
the balance of the funds not expended pursuant to subpara-
graph (A):
(i) Reserve the balance for projects in accordance
with title II.
(ii) Reserve the balance for projects in accordance
with title III.
(iii) Return the balance to the General Treasury
in accordance with section 402(b).
(2) DISTRIBUTION OF FUNDS.—
(A) TREATMENT OF TITLE II FUNDS.—Funds reserved
by an eligible county under paragraph (1)(B)(i) shall be
deposited in a special account in the Treasury of the United
States and shall be available for expenditure by the Sec-
retary of the Interior, without further appropriation, and
H. R. 2389—8
shall remain available until expended in accordance with
title II.
(B) TREATMENT OF TITLE III FUNDS.—Funds reserved
by an eligible county under paragraph (1)(B)(ii) shall be
available for expenditure by the county and shall remain
available, until expended, in accordance with title III.
(3) ELECTION.—An eligible county shall notify the Secretary
of the Interior of its election under this subsection not later
than September 30 of each fiscal year. If the eligible county
fails to make an election by that date, the county is deemed
to have elected to expend 85 percent of the funds received
under subsection (a)(2) in the same manner in which the 50-
percent payments are required to be expended and shall remit
the balance to the Treasury of the United States in accordance
with section 402(b).
(d) TIME FOR PAYMENT.—The payment to an eligible county
under this section for a fiscal year shall be made as soon as
practicable after the end of that fiscal year.
TITLE II—SPECIAL PROJECTS ON
FEDERAL LANDS
SEC. 201. DEFINITIONS.
In this title:
(1) 
PARTICIPATING
COUNTY.—The 
term 
‘‘participating
county’’ means an eligible county that elects under section
102(d)(1)(B)(i) or 103(c)(1)(B)(i) to expend a portion of the Fed-
eral funds received under section 102 or 103 in accordance
with this title.
(2) PROJECT FUNDS.—The term ‘‘project funds’’ means all
funds an eligible county elects under sections 102(d)(1)(B)(i)
and 103(c)(1)(B)(i) to reserve for expenditure in accordance
with this title.
(3) RESOURCE ADVISORY COMMITTEE.—The term ‘‘resource
advisory committee’’ means an advisory committee established
by the Secretary concerned under section 205, or determined
by the Secretary concerned to meet the requirements of section
205.
(4) RESOURCE
MANAGEMENT
PLAN.—The term ‘‘resource
management plan’’ means a land use plan prepared by the
Bureau of Land Management for units of the Federal lands
described in section 3(1)(B) pursuant to section 202 of the
Federal Land Policy and Management Act of 1976 (43 U.S.C.
1712) or a land and resource management plan prepared by
the Forest Service for units of the National Forest System
pursuant to section 6 of the Forest and Rangeland Renewable
Resources Planning Act of 1974 (16 U.S.C. 1604).
(5) SECRETARY
CONCERNED.—The term ‘‘Secretary con-
cerned’’ means—
(A) the Secretary of Agriculture or the designee of
the Secretary of Agriculture with respect to the Federal
lands described in section 3(1)(A); and
(B) the Secretary of the Interior or the designee of
the Secretary of the Interior with respect to the Federal
lands described in section 3(1)(B).
H. R. 2389—9
SEC. 202. GENERAL LIMITATION ON USE OF PROJECT FUNDS.
Project funds shall be expended solely on projects that meet
the requirements of this title. Project funds may be used by the
Secretary concerned for the purpose of entering into and imple-
menting cooperative agreements with willing Federal agencies,
State and local governments, private and nonprofit entities, and
landowners for protection, restoration and enhancement of fish
and wildlife habitat, and other resource objectives consistent with
the purposes of this title on Federal land and on non-Federal
land where projects would benefit these resources on Federal land.
SEC. 203. SUBMISSION OF PROJECT PROPOSALS.
(a) SUBMISSION OF PROJECT PROPOSALS TO SECRETARY CON-
CERNED.—
(1) PROJECTS FUNDED USING PROJECT FUNDS.—Not later
than September 30 for fiscal year 2001, and each September
30 thereafter for each succeeding fiscal year through fiscal
year 2006, each resource advisory committee shall submit to
the Secretary concerned a description of any projects that the
resource advisory committee proposes the Secretary undertake
using any project funds reserved by eligible counties in the
area in which the resource advisory committee has geographic
jurisdiction.
(2) PROJECTS
FUNDED
USING
OTHER
FUNDS.—A resource
advisory committee may submit to the Secretary concerned
a description of any projects that the committee proposes the
Secretary undertake using funds from State or local govern-
ments, or from the private sector, other than project funds
and funds appropriated and otherwise available to do similar
work.
(3) JOINT PROJECTS.—Participating counties or other per-
sons may propose to pool project funds or other funds, described
in paragraph (2), and jointly propose a project or group of
projects to a resource advisory committee established under
section 205.
(b) REQUIRED DESCRIPTION OF PROJECTS.—In submitting pro-
posed projects to the Secretary concerned under subsection (a),
a resource advisory committee shall include in the description of
each proposed project the following information:
(1) The purpose of the project and a description of how
the project will meet the purposes of this Act.
(2) The anticipated duration of the project.
(3) The anticipated cost of the project.
(4) The proposed source of funding for the project, whether
project funds or other funds.
(5) Expected outcomes, including how the project will meet
or exceed desired ecological conditions, maintenance objectives,
or stewardship objectives, as well as an estimation of the
amount of any timber, forage, and other commodities and other
economic activity, including jobs generated, if any, anticipated
as part of the project.
(6) A detailed monitoring plan, including funding needs
and sources, that tracks and identifies the positive or negative
impacts of the project, implementation, and provides for valida-
tion monitoring. The monitoring plan shall include an assess-
ment of the following: Whether or not the project met or
H. R. 2389—10
exceeded desired ecological conditions; created local employ-
ment or training opportunities, including summer youth jobs
programs such as the Youth Conservation Corps where appro-
priate; and whether the project improved the use of, or added
value to, any products removed from lands consistent with
the purposes of this Act.
(7) An assessment that the project is to be in the public
interest.
(c) AUTHORIZED PROJECTS.—Projects proposed under subsection
(a) shall be consistent with section 2(b).
SEC. 204. EVALUATION AND APPROVAL OF PROJECTS BY SECRETARY
CONCERNED.
(a) CONDITIONS FOR APPROVAL OF PROPOSED PROJECT.—The
Secretary concerned may make a decision to approve a project
submitted by a resource advisory committee under section 203
only if the proposed project satisfies each of the following conditions:
(1) The project complies with all applicable Federal laws
and regulations.
(2) The project is consistent with the applicable resource
management plan and with any watershed or subsequent plan
developed pursuant to the resource management plan and
approved by the Secretary concerned.
(3) The project has been approved by the resource advisory
committee in accordance with section 205, including the proce-
dures issued under subsection (e) of such section.
(4) A project description has been submitted by the resource
advisory committee to the Secretary concerned in accordance
with section 203.
(5) The project will improve the maintenance of existing
infrastructure, implement stewardship objectives that enhance
forest ecosystems, and restore and improve land health and
water quality.
(b) ENVIRONMENTAL REVIEWS.—
(1) PAYMENT OF REVIEW COSTS.—
(A) REQUEST FOR PAYMENT BY COUNTY.—The Secretary
concerned may request the resource advisory committee
submitting a proposed project to agree to the use of project
funds to pay for any environmental review, consultation,
or compliance with applicable environmental laws required
in connection with the project. When such a payment is
requested and the resource advisory committee agrees to
the expenditure of funds for this purpose, the Secretary
concerned shall conduct environmental review, consulta-
tion, or other compliance responsibilities in accordance with
Federal law and regulations.
(B) EFFECT OF REFUSAL TO PAY.—If a resource advisory
committee does not agree to the expenditure of funds under
subparagraph (A), the project shall be deemed withdrawn
from further consideration by the Secretary concerned
pursuant to this title. Such a withdrawal shall be deemed
to be a rejection of the project for purposes of section
207(c).
(c) DECISIONS OF SECRETARY CONCERNED.—
(1) REJECTION OF PROJECTS.—A decision by the Secretary
concerned to reject a proposed project shall be at the Secretary’s
sole discretion. Notwithstanding any other provision of law,
H. R. 2389—11
a decision by the Secretary concerned to reject a proposed
project shall not be subject to administrative appeal or judicial
review. Within 30 days after making the rejection decision,
the Secretary concerned shall notify in writing the resource
advisory committee that submitted the proposed project of the
rejection and the reasons for rejection.
(2) NOTICE
OF
PROJECT
APPROVAL.—The Secretary con-
cerned shall publish in the Federal Register notice of each
project approved under subsection (a) if such notice would
be required had the project originated with the Secretary.
(d) SOURCE AND CONDUCT OF PROJECT.—Once the Secretary
concerned accepts a project for review under section 203, it shall
be deemed a Federal action for all purposes.
(e) IMPLEMENTATION OF APPROVED PROJECTS.—
(1) COOPERATION.—Notwithstanding chapter 63 of title 31,
United States Code, using project funds the Secretary concerned
may enter into contracts, grants, and cooperative agreements
with States and local governments, private and nonprofit enti-
ties, and landowners and other persons to assist the Secretary
in carrying out an approved project.
(2) BEST VALUE CONTRACTING.—For any project involving
a contract authorized by paragraph (1) the Secretary concerned
may elect a source for performance of the contract on a best
value basis. The Secretary concerned shall determine best value
based on such factors as:
(A) The technical demands and complexity of the work
to be done.
(B) The ecological objectives of the project and the
sensitivity of the resources being treated.
(C) The past experience by the contractor with the
type of work being done, using the type of equipment
proposed for the project, and meeting or exceeding desired
ecological conditions.
(D) The commitment of the contractor to hiring highly
qualified workers and local residents.
(3) MERCHANTABLE
MATERIAL
CONTRACTING
PILOT
PRO-
GRAM.—
(A) ESTABLISHMENT.—The Secretary concerned shall
establish a pilot program to implement a certain percentage
of approved projects involving the sale of merchantable
material using separate contracts for—
(i) the harvesting or collection of merchantable
material; and
(ii) the sale of such material.
(B) ANNUAL PERCENTAGES.—Under the pilot program,
the Secretary concerned shall ensure that, on a nationwide
basis, not less than the following percentage of all approved
projects involving the sale of merchantable material are
implemented using separate contracts:
(i) For fiscal year 2001, 15 percent.
(ii) For fiscal year 2002, 25 percent.
(iii) For fiscal year 2003, 25 percent.
(iv) For fiscal year 2004, 50 percent.
(v) For fiscal year 2005, 50 percent.
(vi) For fiscal year 2006, 50 percent.
(C) INCLUSION
IN
PILOT
PROGRAM.—The decision
whether to use separate contracts to implement a project