I 
109TH CONGRESS 
2D SESSION 
H. R. 5471 
To provide to the Bureau of Land Management a mechanism to cancel 
certain mining leases for lands in the leases CA–20139 and CA–22901 
and provide new leasing opportunities in the Soledad Canyon adjacent 
to the City of Santa Clarita, California, that reflect the historical mining 
levels, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
MAY 24, 2006 
Mr. MCKEON introduced the following bill; which was referred to the 
Committee on Resources 
A BILL 
To provide to the Bureau of Land Management a mechanism 
to cancel certain mining leases for lands in the leases 
CA–20139 and CA–22901 and provide new leasing op-
portunities in the Soledad Canyon adjacent to the City 
of Santa Clarita, California, that reflect the historical 
mining levels, and for other purposes. 
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 ‘‘Soledad Canyon Mine 
Leases Adjustment Act’’. 
VerDate Aug 31 2005 
21:10 May 31, 2006
Jkt 049200
PO 00000
Frm 00001
Fmt 6652
Sfmt 6201
E:\BILLS\H5471.IH
H5471
dsatterwhite on PROD1PC76 with BILLS
SEC. 2. FINDINGS AND PURPOSES. 
(a) FINDINGS.—The Congress finds the following: 
(1) Transit Mixed Concrete Corporation holds 
two valid Federal leases for the extraction of sand 
and gravel from the Federal mineral estate in lands 
located in Soledad Canyon adjacent to the City of 
Santa Clarita, California, numbered CA–20139 and 
CA–22901. Such lands contain approximately 56 
million tons of sand and gravel. 
(2) Mining 56 million tons of sand and gravel 
under the terms of the leases would produce harm 
to the environment and cause major transportation 
problems for the City of Santa Clarita, surrounding 
areas, and other users of the transportation systems 
in the vicinity. 
(3) It is in the best interest of the citizens of 
California and the Federal Government to cancel 
those leases and make available new leases for those 
resources that reflect the level of mining that has 
historically occurred in the Soledad Canyon area of 
California. 
(4) TMC should be offered resources extraction 
opportunities of similar economic value in other 
areas of California that would not impact the envi-
ronment and transportation systems to the degree 
VerDate Aug 31 2005 
21:10 May 31, 2006
Jkt 049200
PO 00000
Frm 00002
Fmt 6652
Sfmt 6201
E:\BILLS\H5471.IH
H5471
dsatterwhite on PROD1PC76 with BILLS
that they would have been impacted in the Soledad 
Canyon. 
(5) TMC should receive credit for reasonable 
and customary costs associated with their efforts to 
develop leases CA–20139 and CA–22901. 
(6) A site-specific solution that is fair to TMC, 
protects the environment, and has minimal impact 
on local transportation system is in the best interest 
of the Nation. 
(7) Considerable sums of money have been ex-
pended by all parties trying to insure their interests 
are protected with respect to leases CA–20139 and 
CA–22901, with no conclusion foreseen at this time. 
(b) PURPOSES.—The purposes of this Act are the fol-
lowing: 
(1) To provide to the Bureau of Land Manage-
ment a mechanism that is not available under exist-
ing law to cancel leases CA–20139 and CA–22901 
and provide new leasing opportunities in the Soledad 
Canyon that reflect the historical production levels. 
(2) To provide a means for TMC to recover and 
transfer to other Federal resources the amounts ex-
pended trying to develop leases CA–20139 and CA– 
22901. 
VerDate Aug 31 2005 
21:10 May 31, 2006
Jkt 049200
PO 00000
Frm 00003
Fmt 6652
Sfmt 6201
E:\BILLS\H5471.IH
H5471
dsatterwhite on PROD1PC76 with BILLS
(3) To provide the Bureau of Land Manage-
ment tools to evaluate expenses incurred by TMC 
and provide relief. 
SEC. 3. DEFINITIONS. 
In this Act: 
(1) SECRETARY.—The term ‘‘Secretary’’ means 
the Secretary of the Interior. 
(2) TMC.—The term ‘‘TMC’’ means the Tran-
sit Mixed Concrete Corporation. 
(3) The term ‘‘historical production levels’’ 
means production of 300,000 tons of aggregate pro-
duced for sale per calendar year. 
SEC. 4. TMC LEASE CANCELLATIONS AND EXCHANGE OF 
VALUES EXPENDED. 
(a) LEASES CANCELLATIONS.—The Secretary shall 
cancel Bureau of Land Management leases CA–20139 and 
CA–22901 effective on the date of the enactment of this 
Act. 
(b) EXCHANGE FOR ECONOMIC VALUES.— 
(1) IN
GENERAL.—In exchange for the eco-
nomic value invested in trying to bring leases CA– 
20139 and CA–22901 into commercial production 
the Secretary shall provide to TMC other financial 
and mineral production opportunities in accordance 
with subsection (d). 
VerDate Aug 31 2005 
21:10 May 31, 2006
Jkt 049200
PO 00000
Frm 00004
Fmt 6652
Sfmt 6201
E:\BILLS\H5471.IH
H5471
dsatterwhite on PROD1PC76 with BILLS
(2) VALUES ASSIGNED TO LEASES.—For pur-
poses of paragraph (1), the economic value invested 
is an amount equal to the sum of the following: 
(A) All amounts paid to the United States 
with respect to the leases as bonus bids or other 
prepayments. 
(B) Interest on amounts referred to in 
subparagraph (A), from the date of payment of 
such amounts to the United States, at a rate 
determined by the Secretary. 
(C) Amounts expended by TMC in secur-
ing the leases and trying to bring them into 
production, including— 
(i) reasonable costs associated with 
the engineering and environmental studies 
associated with the leases; and 
(ii) reasonable legal costs associated 
with efforts to exercise the rights granted 
in the leases. 
(c) SUBMISSION OF EXPENSES INCURRED.— 
(1) IN GENERAL.—To assist in the determina-
tion of the amounts expended referred to in sub-
section (b)(2)(C), TMC shall submit to the Secretary 
within 90 days after the date of the enactment of 
this Act an itemized list of such amounts, with 
VerDate Aug 31 2005 
21:10 May 31, 2006
Jkt 049200
PO 00000
Frm 00005
Fmt 6652
Sfmt 6201
E:\BILLS\H5471.IH
H5471
dsatterwhite on PROD1PC76 with BILLS
enough detail and supporting documentation so the 
Secretary can determine that the expenses are asso-
ciated with the leases and are reasonable. 
(2) ARBITRATION.—The Secretary’s determina-
tion of the amounts expended referred to in sub-
section (b)(2)(C) shall be issued within 90 days of 
receipt of the itemized list required under paragraph 
(1). If the Secretary disapproves such list, the Sec-
retary shall, upon request of TMC, determine the 
economic value invested for purposes of subsection 
(b)(2) through arbitration in accordance with sub-
chapter IV of chapter 5 of title 5, United States 
Code. 
(d) RETURN
OF
VALUE
OPPORTUNITIES
FOR 
TMC.—Financial and mineral production opportunities 
provided under subsection (b)(1) may be in the form of 
one or a combination of any of the following that is mutu-
ally agreed to by the Secretary and TMC: 
(1) Interests in the mineral estate in Federal 
lands in the State of California that are available for 
leasing under the Mineral Leasing Act (30 U.S.C. 
181 et seq.). 
(2) Interests in the surface estate in Federal 
lands in the State of California that are under the 
VerDate Aug 31 2005 
21:10 May 31, 2006
Jkt 049200
PO 00000
Frm 00006
Fmt 6652
Sfmt 6201
E:\BILLS\H5471.IH
H5471
dsatterwhite on PROD1PC76 with BILLS
administrative jurisdiction of the Secretary and that 
are available for disposal. 
(e) REFERRAL TO COURT OF CLAIMS.— 
(1) REFERRAL.—If the Secretary and TMC do 
not reach agreement under subsection (b) regarding 
the financial and mineral production opportunities to 
be provided by the Secretary under subsection (b)(1) 
within 24 months after date of the enactment of this 
Act, the Secretary shall refer the issue to the United 
States Court of Federal Claims for resolution. 
(2) RESOLUTION BY COURT.—In any referral 
under this subsection, the court shall— 
(A) determine the economic value invested 
for purposes of subsection (b)(2); and 
(B) determine and order the Secretary to 
provide financial and mineral production oppor-
tunities for purposes of subsection (b)(1) and 
subsection (d). 
SEC. 5. LIMITATIONS ON FUTURE LEASING FOR SAND AND 
GRAVEL IN SOLEDAD CANYON AREA OF CALI-
FORNIA. 
(a) LIMITATION ON RATE OF MINING.—The Sec-
retary may not issue any lease for mining sand and gravel 
in the Soledad Canyon area of California as described on 
the map titled lll and dated lll on file with the 
VerDate Aug 31 2005 
21:10 May 31, 2006
Jkt 049200
PO 00000
Frm 00007
Fmt 6652
Sfmt 6201
E:\BILLS\H5471.IH
H5471
dsatterwhite on PROD1PC76 with BILLS
Secretary of Interior that in aggregate exceeds the histor-
ical production level. 
(b) CONSULTATION AND CONSIDERATIONS.—Before 
issuing any lease authorizing the mining of sand or gravel 
in the Soledad Canyon area of California, the Secretary 
shall— 
(1) consult with the City of Santa Clarita, Cali-
fornia, Los Angeles County, California, and surface 
owners in that area; and 
(2) take into consideration the environmental 
and transportation concerns of such mining in that 
area. 
Æ 
VerDate Aug 31 2005 
21:10 May 31, 2006
Jkt 049200
PO 00000
Frm 00008
Fmt 6652
Sfmt 6301
E:\BILLS\H5471.IH
H5471
dsatterwhite on PROD1PC76 with BILLS