SECTION 1. PATTERSON LAKE LAND CONVEYANCES.

    (a) Definitions.--In this section:
            (1) Department.--The term ``Department'' means Dickinson 
        Parks & Recreation in Dickinson, North Dakota (or a successor 
        in interest to that entity).
            (2) Dickinson reservoir.--The term ```Dickinson 
        Reservoir''' means the Dickinson Reservoir constructed as part 
        of the Dickinson Unit, Heart Division, Pick-Sloan Missouri 
        Basin Program, as authorized by section 9 of the Act of 
        December 22, 1944 (commonly known as the ``Flood Control Act of 
        1944'') (58 Stat. 891, chapter 665).
            (3) Permittee.--The term ``permittee'' means the holder of 
        a permit for a property.
            (4) Property.--The term ``property'' means any one of the 
        cabin sites located on Federal property around the Dickinson 
        Reservoir for which a permit is in effect on the date of 
        enactment of this Act.
            (5) Secretary.--The term ``Secretary'' means the Secretary 
        of the Interior, acting through the Commissioner of 
        Reclamation.
    (b) Purchase of Property by Permittee; Transfers to Department.--
            (1) Option.--The Secretary shall provide to the permittee 
        of a property the first option to purchase that property for 
        fair market value in accordance with paragraph (2).
            (2) Purchase.--
                    (A) In general.--On an election by a permittee to 
                exercise the option to purchase a property pursuant to 
                paragraph (1), the Secretary shall convey to the 
                permittee, for fair market value--
                            (i) all right, title, and interest of the 
                        United States in and to the property, subject 
                        to valid existing rights; and
                            (ii) easements for--
                                    (I) vehicular access to the 
                                property;
                                    (II) access to, and use of, a dock 
                                for the property; and
                                    (III) access to, and use of, all 
                                boathouses, ramps, retaining walls, and 
                                other improvements for which access is 
                                provided in the permit for use of the 
                                property as of the date of enactment of 
                                this Act.
                    (B) Period for conveyance.--The Secretary shall 
                convey to a permittee a property pursuant to 
                subparagraph (A) during the period--
                            (i) beginning on the date that is 1 year 
                        after the date of enactment of this Act; and
                            (ii) ending on the date that is 2 years 
                        after that date of enactment.
                    (C) Disputes regarding fair market value.--Any 
                dispute regarding the fair market value of a property 
                shall be resolved in accordance with section 2201.4 of 
                title 43, Code of Federal Regulations (or successor 
                regulations).
            (3) Transfers to department.--
                    (A) Failure to purchase.--If a permittee fails to 
                exercise the option to purchase a property under 
                paragraph (2) by the date that is 2 years after the 
                date of enactment of this Act, the Secretary shall 
                transfer the property to the Department, without cost.
                    (B) Certain other land.--Effective beginning on the 
                date that is 2 years after the date of enactment of 
                this Act, the Secretary shall transfer to the 
                Department, without cost, land managed by the 
                Department as of the date of enactment, on which no 
                cabin is located.
    (c) Oil, Gas, Mineral, and Other Outstanding Rights.--Each 
conveyance to a permittee, and each transfer to the Department, 
pursuant to subsection (b) shall be made subject to--
            (1) oil, gas, and other mineral rights reserved of record, 
        as of the date of enactment of this Act, by, or in favor of, a 
        third party; and
            (2) any permit, license, lease, right-of-use, or right-of-
        way of record in, on, over, or across the applicable property 
        or land that is outstanding to a third party as of the date of 
        enactment of this Act.
    (d) Liability; Taking.--
            (1) Liability.--The United States shall not be liable for 
        flood damage to the personal property of a permittee or for 
        damages arising out of any act, omission, or occurrence 
        relating to a lot to which a permit applies, other than for 
        damages caused by an act or omission of the United States or an 
        employee, agent, or contractor of the United States before the 
        date of enactment of this Act.
            (2) Taking.--Any temporary flooding or flood damage to the 
        personal property of a permittee shall not be considered to be 
        a taking by the United States.
    (e) Requirements Relating to Conveyances and Transfers.--
            (1) Interim requirements.--During the period beginning on 
        the date of enactment of this Act and ending on the date of 
        conveyance or transfer of a property or land, the provisions of 
        the document entitled ``Management Agreement between the Bureau 
        of Reclamation, et al., for the Development, Management, 
        Operation, and Maintenance of Lands and Recreation Facilities 
        at Dickinson Reservoir'' that are applicable to the property or 
        land shall remain in force and effect.
            (2) Legal descriptions.--Not later than 180 days after the 
        date of enactment of this Act, the Secretary, in consultation 
        with the Department, shall provide to the Department a legal 
        description of all properties and land that may be conveyed or 
        transferred pursuant to this section.
            (3) Restriction on conveyance.--Effective beginning on the 
        date of enactment of this Act--
                    (A) a permittee may not build any new permanent 
                structure below an elevation of 2,430 feet; and
                    (B) if a permittee builds a structure described in 
                subparagraph (A), the property of the permittee shall 
                revert to the Department.
    (f) Proceeds From Sales of Federal Land.--Any revenues from a sale 
of Federal land pursuant to this section shall be made available to the 
Secretary, without further appropriation, for--
            (1) the costs to the Secretary of carrying out this 
        section; and
            (2) deferred maintenance activities relating to the 
        operation of the dam in the Dickinson Reservoir.
Output: This bill directs the Commissioner of Reclamation to: (1) provide to the holder of a permit for a cabin site located on federal property around the Dickinson Reservoir in North Dakota the first option to purchase the site for fair market value; and (2) convey to a permittee who exercises such option all U.S. interest in the site, easements for access to the site, a dock for the site, and the improvements on it. Beginning two years after enactment of this bill: (1) if a permittee has not exercised such option, the Commissioner shall transfer the site to Dickinson Parks &amp; Recreation in Dickinson, North Dakota (the Department), without cost; and (2) the Commissioner shall transfer to the Department, without cost, land currently managed by the Department on which no cabin is located. Each such conveyance and transfer shall be made subject to specified mineral rights and rights-of-way of third parties. A permittee may not build any new permanent structure below an elevation of 2,430 feet. If a permittee builds such a structure, the permittee's site shall revert to the Department.  Revenues from a sale of federal land pursuant to this bill shall be made available to the Commissioner for: (1) the costs of carrying out this bill, and (2) deferred maintenance activities relating to the operation of the dam in the Dickinson Reservoir.