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SECTION 1. SHORT TITLE.

This Act may be cited as the ''Gallatin Land Consolidation Act of
1998''.

SEC. 2. FINDINGS.

Congress finds that--
(1) the land north of Yellowstone National Park possesses
outstanding natural characteristics and wildlife habitats that
make the land a valuable addition to the National Forest
System;
(2) it is in the interest of the United States to establish
a logical and effective ownership pattern for the Gallatin
National Forest, reducing long-term costs for taxpayers and
increasing and improving public access to the forest;
(3) it is in the interest of the United States for the
Secretary of Agriculture to enter into an Option Agreement for
the acquisition of land owned by Big Sky Lumber Co. to
accomplish the purposes of this Act; and
(4) other private property owners are willing to enter into
exchanges that further improve the ownership pattern of the
Gallatin National Forest.

SEC. 3. DEFINITIONS.

In this Act:
(1) BLM land.--The term ''BLM land'' means approximately
2,000 acres of Bureau of Land Management land (including all
appurtenances to the land) that is proposed to be acquired by
BSL, as depicted in Exhibit B to the Option Agreement.
(2) BSL.--The term ''BSL'' means Big Sky Lumber Co., an
Oregon joint venture, and its successors and assigns, and any
other entities having a property interest in the BSL land.
(3) BSL land.--The term ''BSL land'' means approximately
54,000 acres of land (including all appurtenances to the land
except as provided in section 4(e)(1)(D)(i)) owned by BSL that
is proposed to be acquired by the Secretary of Agriculture, as
depicted in Exhibit A to the Option Agreement.
(4) Eastside national forests.--The term ''Eastside
National Forests'' means national forests east of the
Continental Divide in the State of Montana, including the
Beaverhead National Forest, Deerlodge National Forest, Helena
National Forest, Custer National Forest, and Lewis and Clark
National Forest.
(5) National forest system land.--The term ''National
Forest System land'' means approximately 29,000 acres of land
(including all appurtenances to the land) owned by the United
States in the Gallatin National Forest, Flathead National
Forest, Deerlodge National Forest, Helena National Forest, Lolo
National Forest, and Lewis and Clark National Forest that is
proposed to be acquired by BSL, as depicted in Exhibit B to the
Option Agreement.
(6) Option agreement.--The term ''Option Agreement''
means--
(A) the document signed by BSL, dated July 29, 1998
and entitled ''Option Agreement for the Acquisition of
Big Sky Lumber Co. Lands Pursuant to the Gallatin Range
Consolidation and Protection Act of 1993'';
(B) the exhibits and maps attached to the document
described in subparagraph (A); and
(C) an exchange agreement to be entered into
between the Secretary and BSL and made part of the
document described in subparagraph (A).
(7) Secretary.--The ''Secretary'' means the Secretary of
Agriculture.

SEC. 4. GALLATIN LAND CONSOLIDATION COMPLETION.

(a) In General.--Notwithstanding any other provision of law, and
subject to the terms and conditions of the Option Agreement--
(1) if BSL offers title acceptable to the Secretary to the
BSL land--
(A) the Secretary shall accept a warranty deed to
the BSL land and a quit claim deed to agreed to mineral
interests in the BSL land;
(B) the Secretary shall convey to BSL, subject to
valid existing rights and to other terms, conditions,
reservations, and exceptions as may be agreed to by the
Secretary and BSL, fee title to the National Forest
System land; and
(C) the Secretary of the Interior shall convey to
BSL, by patent or otherwise, subject to valid existing
rights and other terms, conditions, reservations, and
exceptions as may be agreed to by the Secretary of the
Interior and BSL, fee title to the BLM land;
(2) if BSL places title in escrow acceptable to the
Secretary to 11/2\ sections of the BSL land in the Taylor
Fork area as set forth in the Option Agreement--
(A) the Secretary shall place Federal land in the
Bangtail and Doe Creek areas of the Gallatin National
Forest, as identified in the Option Agreement, in
escrow pending conveyance to the Secretary of the
Taylor Fork land, as identified in the Option Agreement
in escrow;
(B) the Secretary, subject to the availability of
funds, shall purchase 7/2\ sections of BSL land in
the Taylor Fork area held in escrow and identified in
the Option Agreement at a purchase price of $4,150,000;
and
(C) the Secretary shall acquire the 4 Taylor Fork
sections identified in the Option Agreement remaining
in escrow, and any of the 6 sections referred to in
subparagraph (B) for which funds are not available, by
providing BSL with timber sale receipts from timber
sales on the Gallatin National Forest and other
eastside national forests in the State of Montana in
accordance with subsection (c); and
(3)(A) as funds or timber sale receipts are received by
BSL--
(i) the deeds to an equivalent value of BSL Taylor
Fork land held in escrow shall be released and conveyed
to the Secretary; and
(ii) the escrow of deeds to an equivalent value of
Federal land shall be released to the Secretary in
accordance with the terms of the Option Agreement; or
(B) if funds or timber sale receipts are not provided to
BSL as provided in the Option Agreement, BSL shall be entitled
to receive patents and deeds to an equivalent value of the
Federal land held in escrow.
(b) Valuation.--
(1) In general.--The property and other assets exchanged or
conveyed by BSL and the United States under subsection (a)
shall be approximately equal in value, as determined by the
Secretary.
(2) Difference in value.--To the extent that the property
and other assets exchanged or conveyed by BSL or the United
States under subsection (a) are not approximately equal in
value, as determined by the Secretary, the values shall be
equalized in accordance with methods identified in the Option
Agreement.
(c) Timber Sale Program.--
(1) In general.--The Secretary shall implement a timber
sale program, according to the terms and conditions identified
in the Option Agreement and subject to compliance with
applicable environmental laws (including regulations), judicial
decisions, memoranda of understanding, small business set-aside
rules, and acts beyond the control of the Secretary, to
generate sufficient timber receipts to purchase the portions of
the BSL land in Taylor Fork identified in the Option Agreement.
(2) Implementation.--In implementing the timber sale
program--
(A) the Secretary shall provide BSL with a proposed
annual schedule of timber sales;
(B) as set forth in the Option Agreement, receipts
generated from the timber sale program shall be
deposited by the Secretary in a special account
established by the Secretary and paid by the Secretary
to BSL;
(C) receipts from the Gallatin National Forest
shall not be subject to the Act of May 23, 1908 (16
U.S.C. 500); and
(D) the Secretary shall fund the timber sale
program at levels determined by the Secretary to be
commensurate with the preparation and administration of
the identified timber sale program.
(d) Rights-of-Way.--As specified in the Option Agreement--
(1) the Secretary, under the authority of the Federal Land
Policy and Management Act of 1976 (43 U.S.C. 1701 et seq.),
shall convey to BSL such easements in or other rights-of-way
over National Forest System land for access to the land
acquired by BSL under this Act for all lawful purposes; and
(2) BSL shall convey to the United States such easements in
or other rights-of-way over land owned by BSL for all lawful
purposes, as may be agreed to by the Secretary and BSL.
(e) Quality of Title.--
(1) Determination.--The Secretary shall review the title
for the BSL land described in subsection (a) and, within 45
days after receipt of all applicable title documents from BSL,
determine whether--
(A) the applicable title standards for Federal land
acquisition have been satisfied and the quality of the
title is otherwise acceptable to the Secretary of
Agriculture;
(B) all draft conveyances and closing documents
have been received and approved;
(C) a current title commitment verifying compliance
with applicable title standards has been issued to the
Secretary; and
(D) the title includes both the surface and
subsurface estates without reservation or exception
(except as specifically provided in this Act),
including--
(i) minerals, mineral rights, and mineral
interests (including severed oil and gas
surface rights), subject to and excepting other
outstanding or reserved oil and gas rights;
(ii) timber, timber rights, and timber
interests (except those reserved subject to
section 251.14 of title 36, Code of Federal
Regulations, by BSL and agreed to by the
Secretary);
(iii) water, water rights, ditch, and ditch
rights;
(iv) geothermal rights; and
(v) any other interest in the property.
(2) Conveyance of title.--
(A) In general.--If the quality of title does not
meet Federal standards or is otherwise determined to be
unacceptable to the Secretary of Agriculture, the
Secretary shall advise BSL regarding corrective actions
necessary to make an affirmative determination under
paragraph (1).
(B) Title to subsurface estate.--Title to the
subsurface estate shall be conveyed by BSL to the
Secretary in the same form and content as that estate
is received by BSL from Burlington Resources Oil & Gas
Company Inc. and Glacier Park Company.
(f) Timing of Implementation.--
(1) Land-for-land exchange.--The Secretary shall accept the
conveyance of land described in subsection (a) not later than
45 days after the Secretary has made an affirmative
determination of quality of title.
(2) Land-for-timber sale receipt exchange.--As provided in
subsection (c) and the Option Agreement, the Secretary shall
make timber receipts described in subsection (a)(3) available
not later than December 31 of the fifth full calendar year that
begins after the date of enactment of this Act.
(3) Purchase.--The Secretary shall complete the purchase of
BSL land under subsection (a)(3)(B) not later than 30 days
after the date on which appropriated funds are made available
and an affirmative determination of quality of title is made
with respect to the BSL land.

SEC. 5. OTHER FACILITATED EXCHANGES.

(a) Authorized Exchanges.--
(1) In general.--The Secretary shall enter into the
following land exchanges if the landowners are willing:
(A) Wapiti land exchange, as outlined in the
documents entitled ''Non-Federal Lands in Facilitated
Exchanges'' and ''Federal Lands in Facilitated
Exchanges'' and dated July 1998.
(B) Eightmile/West Pine land exchange as outlined
in the documents entitled ''Non-Federal Lands in
Facilitated Exchanges'' and ''Federal Lands in
Facilitated Exchanges'' and dated July 1998.
(2) Equal Value.--Before entering into an exchange under
paragraph (1), the Secretary shall determine that the parcels
of land to be exchanged are of approximately equal value, based
on an appraisal.
(b) Section 1 of the Taylor Fork Land.--
(1) In general.--The Secretary is encouraged to pursue a
land exchange with the owner of section 1 of the Taylor Fork
land after completing a full public process and an appraisal.
(2) Report.--The Secretary shall report to Congress on the
implementation of paragraph (1) not later than 180 days after
the date of enactment of this Act.

SEC. 6. GENERAL PROVISIONS.

(a) Minor Corrections.--
(1) In general.--The Option Agreement shall be subject to
such minor corrections and supplemental provisions as may be
agreed to by the Secretary and BSL.
(2) Notification.--The Secretary shall notify the Committee
on Energy and Natural Resources of the Senate, the Committee on
Resources of the House of Representatives, and each member of
the Montana congressional delegation of any changes made under
this subsection.
(3) Boundary adjustment.--
(A) In general.--The boundary of the Gallatin
National Forest is adjusted in the Wineglass and North
Bridger area, as described on maps dated July 1998,
upon completion of the conveyances.
(B) No limitation.--Nothing in this subsection
limits the authority of the Secretary to adjust the
boundary pursuant to section 11 of the Act of March 1,
1911 (commonly known as the ''Weeks Act'') (16 U.S.C.
521).
(C) Allocation of land and water conservation fund
moneys.--For the purposes of section 7 of the Land and
Water Conservation Fund Act of 1965 (16 U.S.C. 460l-9),
boundaries of the Gallatin National Forest shall be
considered to be the boundaries of the National Forest
as of January 1, 1965.
(b) Public Availability.--The Option Agreement--
(1) shall be on file and available for public inspection in
the office of the Supervisor of the Gallatin National Forest;
and
(2) shall be filed with the county clerk of each of
Gallatin County, Park County, Madison County, Granite County,
Broadwater County, Meagher County, Flathead County, and
Missoula County, Montana.
(c) Compliance With Option Agreement.--The Secretary, the Secretary
of the Interior, and BSL shall comply with the terms and conditions of
the Option Agreement except to the extent that any provision of the
Option Agreement conflicts with this Act.
(d) Status of Land.--All land conveyed to the United States under
this Act shall be added to and administered as part of the Gallatin
National Forest and Deerlodge National Forest, as appropriate, in
accordance with the Act of March 1, 1911 (5 U.S.C. 515 et seq.), and
other laws (including regulations) pertaining to the National Forest
System.
(e) Management.--
(1) Public process.--Not later than 30 days after the date
of completion of the land-for-land exchange under section
4(f)(1), the Secretary shall initiate a public process to amend
the Gallatin National Forest Plan and the Deerlodge National
Forest Plan to integrate the acquired land into the plans.
(2) Process time.--The amendment process under paragraph
(1) shall be completed as soon as practicable, and in no event
later than 540 days after the date on which the amendment
process is initiated.
(3) Limitation.--An amended management plan shall not
permit surface occupancy on the acquired land for access to
reserved or outstanding oil and gas rights or for exploration
or development of oil and gas.
(4) Interim management.--Pending completion of the forest
plan amendment process under paragraph (1), the Secretary
shall--
(A) manage the acquired land under the standards
and guidelines in the applicable land and resource
management plans for adjacent land managed by the
Forest Service; and
(B) maintain all existing public access to the
acquired land.
(f) Restoration.--
(1) In general.--The Secretary shall implement a
restoration program including reforestation and watershed
enhancements to bring the acquired land and surrounding
national forest land into compliance with Forest Service
standards and guidelines.
(2) State and local conservation corps.--In implementing
the restoration program, the Secretary shall, when practicable,
use partnerships with State and local conservation corps,
including the Montana Conservation Corps, under the Public
Lands Corps Act of 1993 (16 U.S.C. 1721 et seq.).
(g) Implementation.--The Secretary of Agriculture shall ensure that
sufficient funds are made available to the Gallatin National Forest to
carry out this Act.
(i) Revocations.--Notwithstanding any other provision of law, any
public orders withdrawing lands identified in the Option Agreement from
all forms of appropriation under the public land laws are revoked upon
conveyance of the lands by the Secretary.

SEC. 7. AUTHORIZATION OF APPROPRIATIONS.

There are authorized to be appropriated such sums as are necessary
to carry out this Act.

Passed the Senate October 2, 1998.

Attest:

GARY SISCO,

Secretary.
Gallatin Land Consolidation Act of 1998 - Provides for the exchange of land and other assets including certain timber harvest rights by the Secretaries of Agriculture and the Interior with the Big Sky Lumber Co. (BSL) for inclusion in the Gallatin National Forest and Deerlodge National Forest, Montana.
Directs the Secretary of Agriculture to: (1) implement a timber sale program to fund the purchase of specified (Taylor Fork) BSL land; (2) enter into specified land exchanges (Wapiti and Eightmile-West Pine); and (3) implement a restoration program for lands acquired under this Act. Encourages the Secretary to pursue a specified land exchange (section 1 of the Taylor Fork land).
Authorizes appropriations.