A bill to amend the Surface Mining Control and Reclamation Act of 1977 to improve the reclamation of abandoned mines.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Abandoned Mine Land Reclamation 
Reform Act of 2004''.

SEC. 2. ABANDONED MINE RECLAMATION FUND.

    (a) In General.--Section 401(c) of the Surface Mining Control and 
Reclamation Act of 1977 (30 U.S.C. 1231(c)) is amended--
            (1) by striking paragraphs (2) and (6); and
            (2) by redesignating paragraphs (3) through (5) and (7) 
        through (13) as paragraphs (2) through (11), respectively.
    (b) Conforming Amendment.--Section 712(b) of the Surface Mining 
Control and Reclamation Act of 1977 (30 U.S.C. 1302(b)) is amended by 
striking ``section 401(c)(11)'' and inserting ``section 401(c)(9)''.

SEC. 3. RECLAMATION FEE.

    Section 402 of the Surface Mining Control and Reclamation Act of 
1977 (30 U.S.C. 1232) is amended--
            (1) in subsection (a)--
                    (A) by striking ``35'' and inserting ``25'';
                    (B) by striking ``15'' and inserting ``12''; and
                    (C) by striking ``10 cents'' and inserting ``8 
                cents'';
            (2) in subsection (b), by striking ``2004,'' and all that 
        follows through the end and inserting ``2014.''; and
            (3) in subsection (g)--
                    (A) in paragraph (1)(D), by striking ``in any area 
                under paragraph (2), (3), (4), or (5)'' and inserting 
                ``under paragraph (5)'';
                    (B) by striking paragraph (2) and inserting the 
                following:
            ``(2) In making grants under paragraph (1)(C) and (5), the 
        Secretary shall ensure that States and Indian tribes comply 
        strictly with the priorities specified in section 403(a) until 
        a certification is made under section 411(a).'';
                    (C) in paragraph (3)--
                            (i) in the matter preceding subparagraph 
                        (A), by striking ``paragraphs (2) and'' and 
                        inserting ``paragraph'';
                            (ii) in subparagraph (A), by striking 
                        ``401(c)(11)'' and inserting ``401(c)(9)''; and
                            (iii) by adding at the end the following:
                    ``(E) For the purpose of paragraph (8).'';
                    (D) in paragraph (5)--
                            (i) in the first sentence, by striking 
                        ``The Secretary shall allocate 40'' and 
                        inserting ``(A) The Secretary shall allocate 
                        60'';
                            (ii) in the last sentence, by striking 
                        ``Funds allocated or expended by the Secretary 
                        under paragraphs (2), (3), or (4) of this 
                        subsection'' and inserting ``Funds made 
                        available under paragraph (3) or (4)''; and
                            (iii) by adding at the end the following:
                    ``(B) Any amount that is reallocated and available 
                under section 411(h)(3) shall be in addition to amounts 
                that are allocated under subparagraph (A).''; and
                    (E) by striking paragraphs (6), (7), and (8) and 
                inserting the following:
            ``(6)(A) In this paragraph, the term `qualified hydrologic 
        unit' means a hydrologic unit--
                    ``(i) in which the water quality has been 
                significantly affected by acid mine drainage from coal 
                mining practices in a manner that adversely affects 
                biological resources; and
                    ``(ii) that contains land and water that is--
                            ``(I) eligible under section 404 and 
                        appropriate for the expenditure of moneys from 
                        the fund for the purposes specified in section 
                        403(a); and
                            ``(II) the subject of expenditures by the 
                        State from the forfeiture of a bond filed under 
                        section 509 or from any other State source to 
abate and treat acid mine drainage.
            ``(B) Any State with an approved abandoned mine reclamation 
        program under section 405 may receive and retain, without 
        regard to the 3-year limitation referred to in paragraph 
        (1)(D), up to 10 percent of the total amount of the grants made 
        annually to the State under paragraphs (1) and (5) if--
                    ``(i) the amount retained is deposited in an acid 
                mine drainage abatement and treatment fund established 
                under State law; and
                    ``(ii) the amount deposited under clause (i) 
                (together with all interest earned on the amount) is 
                expended by the State for the abatement of the causes 
                and the treatment of the effects of acid mine drainage 
                in a comprehensive manner within qualified hydrologic 
                units affected by coal mining practices.
            ``(7) In complying with the priorities specified in section 
        403(a), any State or Indian tribe may expend amounts available 
        in grants made annually to the State or tribe under paragraphs 
        (1) and (5) for projects for the purpose specified in section 
        403(a)(3) prior to the completion of reclamation projects under 
        paragraphs (1) and (2) of section 403(a) only if the 
        expenditure is made in conjunction with the expenditure of 
        funds for reclamation projects under paragraphs (1) and (2) of 
        section 403(a).
            ``(8) In making grants referred to in paragraph (1)(C), the 
        Secretary, using amounts allocated to a State or Indian tribe 
        under subparagraph (A) or (B) of paragraph (1), or as necessary 
        amounts available to the Secretary under paragraph (3), shall 
        ensure that total grant awards of not less than $2,000,000 are 
        made annually to each State, including Tennessee, and each 
        Indian tribe.''.

SEC. 4. OBJECTIVES OF FUND.

    Section 403 of the Surface Mining Control and Reclamation Act of 
1977 (30 U.S.C. 1233(a)) is amended--
            (1) in subsection (a)--
                    (A) in paragraph (1), by striking ``general 
                welfare,'';
                    (B) in paragraph (2)--
                            (i) by striking ``health, safety, and 
                        general welfare'' and inserting ``health and 
                        safety''; and
                            (ii) by inserting ``and'' after the 
                        semicolon at the end; and
                    (C) by striking paragraphs (4) and (5);
            (2) in subsection (b)--
                    (A) by striking the subsection heading and 
                inserting ``Water Supply Restoration.--''; and
                    (B) in paragraph (1), by striking ``up to 30 
                percent of the''; and
            (3) in the second sentence of subsection (c), by inserting 
        ``, subject to the approval of the Secretary,'' after 
        ``amendments''.

SEC. 5. RECLAMATION OF RURAL LAND.

    Section 406 of the Surface Mining Control and Reclamation Act of 
1977 (30 U.S.C. 1236) is amended--
            (1) in subsection (h), by striking ``Soil Conservation 
        Service'' and inserting ``Natural Resources Conservation 
        Service''; and
            (2) by adding at the end the following:
                            ``(i) There are authorized to be 
                        appropriated to the Secretary of Agriculture, 
                        from amounts in the Treasury other than amounts 
                        in the fund, such sums as are necessary to 
                        carry out this section.''.

SEC. 6. LIENS.

    Section 408(a) of the Surface Mining Control and Reclamation Act of 
1977 (30 U.S.C. 1238) is amended in the last sentence by striking ``who 
owned the surface prior to May 2, 1977, and''.

SEC. 7. CERTIFICATION.

    Section 411 of the Surface Mining Control and Reclamation Act of 
1977 (30 U.S.C. 1240a) is amended by adding at the end the following:
    ``(h) State Share for Certified States and Indian Tribes.--
            ``(1) Definitions.--In this subsection:
                    ``(A) Qualified state or Indian tribe.--The term 
                `qualified State or Indian tribe' means a State or 
                Indian tribe--
                            ``(i) for which a certification is made 
                        under subsection (a); and
                            ``(ii) in which there is public domain land 
                        available for leasing under the Mineral Leasing 
Act (30 U.S.C. 181 et seq.).
                    ``(B) Non-qualified state or indian tribe.--The 
                term `non-qualified State or Indian tribe' means a 
                State or Indian tribe--
                            ``(i) for which certification is made under 
                        subsection (a); and
                            ``(ii) in which there is no public domain 
                        land available for leasing under the Mineral 
                        Leasing Act (30 U.S.C. 181 et seq.).
            ``(2) Payments to qualified states and indian tribes.--From 
        amounts referred to in section 35(a) of the Mineral Leasing Act 
        (30 U.S.C. 191(a)) that are paid into the Treasury after the 
        date of the enactment of this subsection and that are not paid 
        to States under section 35 of that Act or reserved as part of 
        the reclamation fund under that section, the Secretary of the 
        Interior shall pay to each qualified State and Indian tribe, on 
        a proportional basis, an amount equal to the sum of the 
        aggregate unappropriated amount allocated to the qualified 
        State and Indian tribe under section 402(g)(1)(A).
            ``(3) Payments to non-qualified states and indian tribes.--
                    ``(A) In general.--Not later than December 31, 
                2004, in addition to any other funds provided under 
                this Act, the Secretary of the Interior shall use 
                amounts described in section 8(a) of the Abandoned Mine 
                Land Reclamation Reform Act of 2004 to pay an amount to 
                any non-qualified State or Indian tribe.
                    ``(B) Proportional amount.--The payment to a non-
                qualified State or Indian tribe under subparagraph (A) 
                shall be--
                            ``(i) proportional to the sum of the 
                        aggregate unappropriated amount allocated to 
                        the State or Indian tribe under section 
                        402(g)(1)(B); and
                            ``(ii) in lieu of payment of the aggregate 
                        allocated amount.
                    ``(C) Total amount.--The total amount of payments 
                made under this paragraph shall not exceed $65,000,000.
            ``(4) Administration.--Payments to States and Indian tribes 
        under this subsection shall be made, without regard to any 
        limitation in section 401(d), in the same manner as if the 
        payments were made under, and concurrently with payments under, 
        section 35 of the Mineral Leasing Act (30 U.S.C. 191).
            ``(5) Reallocation.--The amount allocated to any State or 
        Indian tribe under section 402(g)(1)(A) that is paid to the 
        qualified State or Indian tribe as a result of a payment under 
        paragraph (2) shall be reallocated and available for grants 
        under section 402(g)(5).''.

SEC. 8. IMPLEMENTATION.

    (a) Transition Rules.--
            (1) Availability of allocated amounts.--Amounts allocated 
        under section 402(g)(2) of the Surface Mining Control and 
        Reclamation Act of 1977 (30 U.S.C. 1232(g)(2)) (excluding 
        interest) before the date of enactment of this Act for the 
        program under section 406 of that Act (30 U.S.C. 1236), but not 
        appropriated before that date, shall be available for fiscal 
        year 2005 and thereafter for the transfers referred to in 
        paragraphs (2) and (3) of section 411(h) of that Act (30 U.S.C. 
        1240a(h)) (as amended by section 7), in the same manner as are 
        other amounts available for the transfers.
            (2) Interest.--Notwithstanding any other provision of law, 
        interest credited to the fund established by section 401 of the 
        Surface Mining Control and Reclamation Act of 1977 (30 U.S.C. 
        1231) that are not transferred to the Combined Benefit Fund 
        referred to in section 402(h) of that Act (30 U.S.C. 1232(h)), 
        before the date of enactment of this Act shall be available for 
        fiscal year 2006 and thereafter for the transfers referred to 
        in paragraphs (2) and (3) of section 402(h) of that Act (30 
        U.S.C. 1232(h)), in the same manner as are other amounts 
        available for the transfers.
    (b) Inventory.--
            (1) In general.--Not later than 1 year after the date of 
        enactment of this Act, the Secretary of the Interior shall 
        complete a review of all additions made, pursuant to amendments 
        offered by States and Indians tribes after December 31, 1998, 
        to the inventory referred to in section 403(c) of the Surface 
        Mining Control and Reclamation Act of 1977 (30 U.S.C. 1233(c)) 
        to ensure that the additions--
                    (A) reflect eligible land and water under section 
                404 of that Act (30 U.S.C. 1234) that meet the 
                priorities specified in paragraphs (1) and (2) of 
                section 403(a) of that Act (30 U.S.C. 1233(a)); and
                    (B) are correctly identified pursuant to the 
                priorities.
            (2) Removal from inventory.--Any land or water that was 
        included in the inventory pursuant to the general welfare 
        standard specified in section 403(a) of that Act (30 U.S.C. 
        1233(a)) before the date of enactment of this Act that is 
        determined in the review to no longer meet the criteria 
        specified in paragraphs (1) and (2) of section 403(a) of that 
        Act (as amended by section 4(1)), shall be removed from the 
        inventory.
    (c) Clarification.--Section 528(2) of the Surface Mining Control 
and Reclamation Act of 1977 (30 U.S.C. 1278(2)) is amended by inserting 
after ``government-financed'' the following: ``(not including financing 
with funds made available under title IV)''.
    (d) Remining.--
            (1) Extension of authority.--Section 510(e) of the Surface 
        Mining Control and Reclamation Act of 1977 (30 U.S.C. 1260(e)) 
        is amended in the last sentence by striking ``2004'' and 
        inserting ``2014''.
            (2) Savings clause.--Except as provided in paragraph (1), 
        nothing in this section modifies any provision of law relating 
        to the remining of coal.

Summary: Abandoned Mine Land Reclamation Reform Act of 2004 - Amends the Surface Mining Control and Reclamation Act of 1977 to repeal the authorization that certain moneys in the Abandoned Mine Reclamation Fund may be used: (1) by the Secretary of Agriculture for reclamation of rural lands; and (2) by the Department of the Interior for studies by contract with organizations for advice and research and development projects technical assistance.

Reduces the reclamation fee required to be paid by operators of coal mining operations.

Revises Fund allocation requirements with respect to reclamation fees.

Repeals Fund objectives concerning: (1) protection , construction, or enhancement of public facilities such as utilities, roads, recreation and conservation facilities adversely affected by coal mining practices; and (2) the development of publicly owned land adversely affected by coal mining practices including land acquired as provided in this subchapter for recreation and historic purposes, conservation, and reclamation purposes and open space benefits.

States that no lien shall be filed against any person who neither consented to, nor participated in nor exercised control over, the mining operation which necessitated reclamation. Repeals the limitation of such prohibition to persons who owned the surface before May 2, 1977.

Expands certification guidelines to prescribe payments to: (1) qualified States and Indian tribes; and (2) non-qualified States and Indian tribes.