An Act to provide for the establishment of the Cape Lookout National Seashore in the State of North Carolina, and for other purposes
PL 89-366 (S.251), enacted 03/10/1966

10 u s e 1431-
1446. 
70A Stat. 110. 
80 STAT.] 
PUBLIC LAW 89-366-MAR. 10, 1966 
33 
the individual who made the election under such chapter died after 
attaining retirement age." 
(d) The amendments made by subsections (a) and (b) shall apply 
with respect to taxable years ending after December 31, 1965. The 
amendment made by subsection (c) shall apply with respect to indi-
viduals making an election under chapter 73 of title 10 of the United 
States Code who die after December 31, 1965. 
SEC. 2. (a) Section 2039(c) of the Internal Revenue Code of 1954 
(relating to exclusion from gross estate of annuities under certain 
trusts and plans) is amended— 
(1) Dy striking out "or" at the end of paragraph (2), by strik-
ing out the period at the end of paragraph (3) and inserting in 
lieu thereof "; or", and by adding at the end thereof the follow-
ing new paragraph: 
"(4) chapter 73 of title 10 of the United State Code."; 
(2) by striking out "or under a contract described in paragraph 
(3)" in the second sentence and inserting in lieu thereof ", under 
a contract described in paragraph (3), or under chapter 73 of 
title 10 of the United States Code"; and 
(3) by inserting at the end thereof the following new sen-
tence: "For purposes of this subsection, amounts payable under 
chapter 73 of title 10 of the United States Code are attributable 
to payments or contributions made by the decedent only to the 
extent of amounts deposited by him pursuant to section 1438 of 
such title 10." 
(b) (1) Section 2517(a) of such Code (relating to gift tax treatment 
of cei'tain annuities under qualified plans) is amended by striking out 
"or" at the end of paragraph (2), oy striking out the period at the 
end of paragraph (3) and inserting in lieu thereof "; or", and by 
adding at the end thereof the following new paragraph: 
" (4) chapter 73 of title 10 of the United States Code." 
(2) The first sentence of section 2517(b) of such Code (relating to 
transfers attributable to employee contributions) is amended by insert-
ing "(other than paragraph (4))" after "referred to in subsection 
(a)". 
(c) The amendments made by subsection (a) shall apply with 
respect to decedents dying after December 31,1965. The amendments 
made by subsection (b) shall apply with respect to calendar years 
after 1965. 
Approved March 8, 1966. 
Public Law 89-366 
A N A C T 
March 10, 196(5 
To provide for the establishment of the Cape Lookout National Seashore in the 
^^- ^^^^ 
State of North Carolina, and for other purposes. 
Be it enacted hy the Senate and House of Representatives 
of the 
United States of America in Congress assembled. That in order to 
^^P^ Lookout 
preserve for public use and enjoyment an area in the State of North NX'.°"^ ^^^ °'^' 
Carolina possessing outstanding natural and recreational values, Establishment. 
there is hereby authorized to be established the Cape Lookout National 
Seashore (hereinafter referred to as "seashore"), which shall com-
prise the lands and adjoining marshlands and waters on the outer 
banks of Carteret County, North Carolina, between Ocracoke Inlet 
and Beaufort Inlet, as generally depicted on the map entitled "Pro-
posed Boundaries—Proposed Cape Lookout National Seashore", dated 
34 
PUBLIC LAW 89-366-MAR. 10, 1966 
[80 STAT. 
April 19645 and numbered NS-CL-7101-B, which is on file in the Office 
of the National Park Service, Department of the Interior: Provided^ 
however^ That such seashore shall not include those lands and interests 
in lands which are bounded on the north by the southerly boundary 
of the Cape Lookout lighthouse property, on the east hy a line located 
seven hundred and fifty feet inland from the mean high water line 
of the Atlantic Ocean, on the south by the northerly boundary of prop-
erty now owned or leased by the United States Coast Guard and other 
Federal agencies, and on the west by the easterly boundary of property 
of the Thomas Gold heirs (as shown on a map prepared by J. G. 
Hassell in October 1961 and recorded at page 4 of Map Book Num-
bered 6 in the office of the Register of Deeds, Carteret County, North 
Carolina) and the waters of Lookout Bight. 
noI-^Fedeiauands 
^^^* ^' ^^^ Notwithstanding any other provision of law. Federal 
tr°ansfer. '
^ 
" ^' property located within the boundaries of the Cape Lookout National 
Seashore may, with the concurrence of the agency having custody 
thereof, be transferred to the administrative jurisdiction of the Sec-
retary of the Interior for the purposes of the seashore. Such transfer 
shall be made without transfer of funds. Non-Federal lands, marsh-
lands, waters, or interests therein located within the authorized sea-
shore may be acquired by the Secretary of the Interior only through 
donation, except that he may purchase with donated or appropriated 
funds, or may acquire by exchange, the lands, marshlands, and waters 
or interests therein comprising the Shacklef ord Banks. I-iand donated 
by the State of North Carolina pursuant to this subsection shall con-
stitute consideration for the transfer by the United States of 1.5 acres 
of land that is to be used as a site for a public health facility in the 
village of Hatteras, Dare County, North Carolina. 
r^eT^hanee'^^'^'"'' 
^^) When acqulriug lands by exchange, the Secretary may accept 
title to any non-Federal property within the boundaries of the seashore 
and convey to the grantor of such property any federally owned prop-
erty in the State of North Carolina under his jurisdiction which he 
classifies as proper for exchange or other disposition. Failing to effec-
tuate an exchange of properties of approximately equal fair market 
value, the Secretary may accept cash from or pay cash to the grantor 
in such an exchange in order to equalize the values of the properties 
exchanged. 
(c) Any person who on January 1, 1966, owned property which 
on July 1, 1963, was developed and used for noncommercial resi-
dential purposes may reserve for himself and his assigns, as a condi-
tion to the purchase or acquisition by exchange of such property by 
the Secretary, a right of use and occupancy of the residence and not 
in excess of three acres of land on which the residence is situated, 
for noncommercial residential purposes for a term ending at the death 
of the owner, or the death of his spouse, or the death of either of them, 
or, in lieu thereof, for a definite term not to exceed twenty-five years: 
Exclusion 
Provided^ That the Secretary may exclude from such reserved prop-
erty any marsh, beach, or waters, together with so much of the land 
adjoining such marsh, beach, or waters as he deems necessary for 
public access thereto. The owner shall elect the term of the right 
to be reserved. 
The Secretary is authorized to accept donations of 
property for purposes of the seashore in which a right of use and 
occupancy for noncommercial residential purposes is reserved for the 
period stated in this subsection if the land on which the residence is 
situated and to which the right attaches is not in excess of three acres 
and there is excluded from the reserved property such marsh, beach, 
or waters and adjoining land as the Secretary deems necessary for 
public use and access thereto. 
by exchange. 
Owners' use of 
property. 
rights. 
80 STAT.] 
PUBLIC LAW 89-366-MAR. 10, 1966 
35 
Beaufort, N.C. 
administrative 
site. 
Copies sent to 
Congress. 
(d) A riffht of use and occupancy reserved in lands that are 
^^"^ and occu-
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pancy rights. 
donated or otherwise acquired pursuant to this section shall be sub-
ject to termination by the Secretary upon his determination that such 
use and occupancy is being exercised m a manner not consistent with 
the purjx)ses of this Act and upon tender to the holder of the right 
of an amount equal to the fair market value of that portion of the 
riglit which remains unexpired on the date of termination. 
(e) The Secretary of the Interior is authorized to purchase with 
donated or appropriated funds, or acquire by exchange, not to exceed 
one hundred acres of lands or interests in lands at or near Beaufort, 
North Carolina, as an administrative site, and for a landing dock 
and reLated facilities that may be used to provide a suitable approach 
or access to the seashore. 
SEC. 3. When title to the lands and interests in lands which under ^.'^°"''5,' p^^iica 
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section 2(a) of this Act may be acquired lor the purposes or the Register. 
seashore by donation only is vested in the United States, the Secre-
tary shall declare the establishment of the Cape Lookout National 
Seashore by publication of notice thereof in the Federal Register. 
Such notice shall contain a refined description or map of the boundaries 
of the seashore as the Secretary may find desirable and such exterior 
boundaries shall encompass, as nearly as possible, the area generally 
described in section 1 of this Act. Copies of said description or map 
sliall be furnished to the Speaker of the House and the President 
of the Senate not less than thirtv days prior to publication in the 
Federal Register. 
Following sucli establishment, and subject to the 
limitations and conditions prescribed in this Act, the Secretary may, 
subject to the provisions of section 2 hereof, acquire the remainder 
of the lands and interests in lands within the boundaries of the 
seashore. 
SKC. 4. The Secretary shall permit hunting and fishing, including 
shellfishing, on lands, marshlands, and waters under his jurisdiction 
within the Cape I^ookout National Seashore in accordance with the 
laws of the State of North Carolina and the United States, to the 
extent applicable, except that the Secretary may designate zones 
where, and establish periods when, no hunting or fishing shall be 
permitted for reasons of public safety, administration, fish or wild-
life management, or public use and enjoyment. 
Except in emergen-
cies, any rules and regulations of the Secretary pursuant to this sec-
tion shall be put into effect only after consultation with the North 
Carolina Wildlife Resources Commission and the North Carolina 
Department of Conservation and Development. 
SEC. 5. The Secretary shall administer the Cape Lookout National 
Seashore for the general purposes of public outdoor recreation, includ-
ing conservation of natural features contributing to public enjoyment. 
In the administration of the seashore and the administrative site, the 
Secretary- may utilize such statutory authorities relating to areas 
administered and supervised by the Secretary through the National 
Park Service and such statutory authorities otnerwise available to him 
for the conservation and management of natural resources as he deems 
appropriate to carry out the purposes of this Act. 
SEC. 6. The authority of the Chief of Engineers, Department of the 
Army, to undertake or contribute to shore erosion control or beach 
protection measures within the Cape Lookout National Seashore shall 
he exercised in accordance with a plan that is mutually acceptable to 
the Secretary of the Interior and the Secretary of the Army, and that 
is consistent with the purposes of this Act. 
SEC. 7. There are hereby authorized to be appropriated not to exceed 
$3,200,000 for the acquisition and development of the seashore in 
accordance with the purposes of this Act. 
Approved March 10, 1966. 
Hunting and fish-
ing. 
Admini stration. 
Shore erosion 
control. 
Appropriation.