I 
112TH CONGRESS 
1ST SESSION H. R. 1851 
To authorize the Secretary of the Interior to enter into agreements to com-
pensate local educational agencies and units of local governments for 
tax revenues lost when the Federal Government takes land into trust 
for the benefit of a federally recognized Indian tribe or an individual 
Indian. 
IN THE HOUSE OF REPRESENTATIVES 
MAY 11, 2011 
Mr. OWENS introduced the following bill; which was referred to the Committee 
on Natural Resources 
A BILL 
To authorize the Secretary of the Interior to enter into 
agreements to compensate local educational agencies and 
units of local governments for tax revenues lost when 
the Federal Government takes land into trust for the 
benefit of a federally recognized Indian tribe or an indi-
vidual Indian. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Land-In-Trust Schools 
and Local Governments Equitable Compensation Act’’. 
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SEC. 2. PAYMENTS FOR CERTAIN LAND HELD IN TRUST. 
(a) AGREEMENT.—As soon as practicable after the 
date of enactment of this Act, the Secretary of the Interior 
(referred to in this section as the ‘‘Secretary’’) shall at-
tempt to negotiate an agreement among the applicable 
local education agency or unit of local government, the 
Secretary, the appropriate State, and, if appropriate, any 
federally recognized Indian tribe or individual Indian, 
under which all parties agree that the amounts described 
in subsection (b) shall be— 
(1) waived in whole or in part; 
(2) limited for an agreed upon number of years; 
or 
(3) otherwise adjusted, including adjusting the 
timing of any payments. 
(b) TRANSFER OF AMOUNTS.—If an agreement is not 
entered into under subsection (a), for the first fiscal year 
beginning after the date of enactment of this Act and each 
fiscal year thereafter, the Secretary of the Treasury shall 
transfer directly to the Secretary of Interior from the gen-
eral fund of the Treasury, without further appropriation, 
such amounts as are necessary, after taking into account 
any other amounts appropriated to make payments under 
this subsection, to make payments from the Secretary to 
the applicable local educational agency or unit of local gov-
ernment in an amount necessary to ensure that the local 
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educational agency or unit of local government receives 
full payment for the amount of property tax revenues lost 
as a result of land under the jurisdiction of the local edu-
cational agency or unit of local government being held in 
trust by the United States for the benefit of a federally 
recognized Indian tribe or an individual Indian, to be cal-
culated in a manner that provides that the taxes (other-
wise payable but for the status of the land being held in 
trust) shall be assessed and paid annually at the same rate 
as the taxes would be assessed and paid if not in trust. 
SEC. 3. EFFECTIVE DATE. 
This Act shall apply to all land taken into trust by 
the United States for the benefit of a federally recognized 
Indian tribe or an individual Indian on or after October 
1, 2008. 
Æ 
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