[House Report 115-901]
[From the U.S. Government Publishing Office]
115th Congress } { Report
HOUSE OF REPRESENTATIVES
2d Session } { 115-901
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TO ESTABLISH A PROCEDURE FOR THE CONVEYANCE OF CERTAIN FEDERAL PROPERTY
AROUND THE JAMESTOWN RESERVOIR IN THE STATE OF NORTH DAKOTA, AND FOR
OTHER PURPOSES
_______
August 14, 2018.--Committed to the Committee of the Whole House on the
State of the Union and ordered to be printed
_______
Mr. Bishop of Utah, from the Committee on Natural Resources, submitted
the following
R E P O R T
together with
DISSENTING VIEWS
[To accompany H.R. 6039]
[Including cost estimate of the Congressional Budget Office]
The Committee on Natural Resources, to whom was referred
the bill (H.R. 6039) to establish a procedure for the
conveyance of certain Federal property around the Jamestown
Reservoir in the State of North Dakota, and for other purposes,
having considered the same, report favorably thereon with an
amendment and recommend that the bill as amended do pass.
The amendment is as follows:
Strike all after the enacting clause and insert the
following:
SECTION 1. DEFINITIONS.
In this Act:
(1) Board.--The term ``Board'' means the Stutsman County Park
Board in Jamestown, North Dakota.
(2) Game and fish headquarters.--The term ``game and fish
headquarters'' means the land depicted as ``Game and Fish
Headquarters'' on the Map.
(3) Jamestown reservoir.--The term ``Jamestown Reservoir''
means the Jamestown Reservoir constructed as a unit of the
Missouri-Souris 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).
(4) Management agreement.--The term ``Management Agreement''
means the management agreement entitled ``Management Agreement
between the United States of America and Stutsman County Park
Board for the Management, Development, Operation and
Maintenance of Recreation and Related Improvements and
Facilities at Jamestown Reservoir Stutsman County, North
Dakota'', numbered 15-LM-60-2255, and dated February 17, 2015.
(5) Map.--The term ``Map'' means the map prepared by the
Bureau of Reclamation, entitled ``Jamestown Reservoir'', and
dated May 2018.
(6) Permitted cabin land.--The term ``permitted cabin land''
means the land depicted as ``Permitted Cabin Lands'' on the
Map.
(7) Property.--The term ``property'' means any cabin site
located on permitted cabin land for which a permit is in effect
on the date of enactment of this Act.
(8) Recreation land.--The term ``recreation land'' means the
land depicted as ``Recreation and Public Purpose Lands'' on the
Map.
(9) Secretary.--The term ``Secretary'' means the Secretary of
the Interior, acting through the Commissioner of Reclamation.
(10) State.--The term ``State'' means the State of North
Dakota, acting through the North Dakota Game and Fish
Department.
SEC. 2. CONVEYANCES TO STUTSMAN COUNTY PARK BOARD.
(a) Conveyances to Stutsman County Park Board.--
(1) In general.--Subject to the management requirements of
paragraph (3) and the easements and reservations under section
4, not later than 5 years after the date of enactment of this
Act, the Secretary shall convey to the Board all right, title,
and interest of the United States in and to--
(A) the recreation land; and
(B) the permitted cabin land.
(2) Costs.--
(A) In general.--Except as provided in subparagraph
(B), the Secretary shall convey the land described in
paragraph (1) at no cost.
(B) Title transfer; land surveys.--As a condition of
the conveyances under paragraph (1), the Board shall
agree to pay all survey and other administrative costs
necessary for the preparation and completion of any
patents for, and transfers of title to, the land
described in paragraph (1).
(3) Management.--
(A) Recreation land.--The Board shall manage the
recreation land conveyed under paragraph (1)--
(i) for recreation and public purposes
consistent with the Act of June 14, 1926
(commonly known as the ``Recreation and Public
Purposes Act'') (44 Stat. 741, chapter 578; 43
U.S.C. 869 et seq.);
(ii) for public access;
(iii) for fish and wildlife habitat; or
(iv) to preserve the natural character of the
recreation land.
(B) Permitted cabin land.--The Board shall manage the
permitted cabin land conveyed under paragraph (1)--
(i) for cabins or recreational residences in
existence as of the date of enactment of this
Act; or
(ii) for any of the recreation land
management purposes described in subparagraph
(A).
(4) Haying and grazing.--With respect to recreation land
conveyed under paragraph (1) that is used for haying or grazing
authorized by the Management Agreement as of the date of
enactment of this Act, the Board may continue to permit haying
and grazing in a manner that is permissible under the one or
more haying or grazing contracts in effect as of the date of
enactment of this Act.
(b) Sale of Permitted Cabin Land by Board.--
(1) In general.--If the Board sells any parcel of permitted
cabin land conveyed under subsection (a)(1)(B), the parcel
shall be sold at fair market value, as determined by a third-
party appraiser in accordance with the Uniform Standards of
Professional Appraisal Practice, subject to paragraph (2).
(2) Improvements.--For purposes of an appraisal conducted
under paragraph (1), any improvements on the permitted cabin
land made by a permit holder shall not be included in the
appraised value of the land.
(3) Proceeds from the sale of land by the board.--If the
Board sells a parcel of permitted cabin land conveyed under
subsection (a)(1)(B), the Board shall pay to the Secretary the
amount of any proceeds of the sale that exceed the costs of
preparing the sale by the Board.
(c) Availability of Funds to the Secretary.--Any amounts paid to the
Secretary for land conveyed by the Secretary under this Act shall be
made available to the Secretary, without further appropriation, for
activities relating to the operation of the Jamestown Dam and
Reservoir.
SEC. 3. CONVEYANCE OF GAME AND FISH HEADQUARTERS TO THE STATE.
Not later than 5 years after the date of enactment of this Act, the
Secretary shall convey to the State all right, title, and interest of
the United States in and to the game and fish headquarters, on the
condition that the game and fish headquarters continue to be used as a
game and fish headquarters or substantially similar purposes.
SEC. 4. RESERVATIONS, EASEMENTS, AND OTHER OUTSTANDING RIGHTS.
(a) In General.--Each conveyance to the Board or the State pursuant
to this Act shall be made subject to--
(1) valid existing rights;
(2) operational requirements of the Pick-Sloan Missouri River
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), including the Jamestown
Reservoir;
(3) any flowage easement reserved by the United States to
allow full operation of the Jamestown Reservoir for authorized
purposes;
(4) reservations described in the Management Agreement;
(5) oil, gas, and other mineral rights reserved of record, as
of the date of enactment of this Act, by, or in favor of, the
United States or a third party;
(6) any permit, license, lease, right-of-use, flowage
easement, or right-of-way of record in, on, over, or across the
applicable property or Federal land, whether owned by the
United States or a third party, as of the date of enactment of
this Act;
(7) a deed restriction that prohibits building any new
permanent structure on property below an elevation of 1,454
feet; and
(8) the granting of applicable easements for--
(A) vehicular access to the property; and
(B) access to, and use of, all docks, 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) Liability; Taking.--
(1) Liability.--The United States shall not be liable for
flood damage to a property subject to a permit, the Board, or
the State, or for damages arising out of any act, omission, or
occurrence relating to a permit holder, the Board, or the
State, 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
property of a permit holder, the Board, or the State, shall not
be considered to be a taking by the United States.
SEC. 5. INTERIM REQUIREMENTS.
During the period beginning on the date of enactment of this Act and
ending on the date of conveyance of a property or parcel of land under
this Act, the provisions of the Management Agreement that are
applicable to the property or land, or to leases between the State and
the Secretary, and any applicable permits, shall remain in force and
effect.
PURPOSE OF THE BILL
The purpose of H.R. 6039 is to establish a procedure for
the conveyance of certain Federal property around the Jamestown
Reservoir in the State of North Dakota.
BACKGROUND AND NEED FOR LEGISLATION
Constructed in 1952 by the Bureau of Reclamation, the
Jamestown Unit consists of the Jamestown Dam and Reservoir and
the surrounding recreational areas. Initial development of
recreation, including water wells, a swimming beach, and
campgrounds, was accomplished using federal money specifically
appropriated for that purpose.\1\ The Jamestown Reservoir now
has roughly 4,421 acres dedicated to recreation and wildlife
management, including about 73 acres of permitted use cabin
land.\2\
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\1\https://www.usbr.gov/projects/index.php?id=474.
\2\Submitted Testimony of Mr. Alan Mikkelsen, Senior Advisor to the
Secretary for Water and Western Resource Issues, U.S. Department of
Interior, before the Senate Water and Power Subcommittee legislative
hearing, February 28, 2018, p. 1.
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Reclamation holds title to the individual water, power
supply and delivery, and recreational facilities it has
constructed over the last century. The federal government
provided the initial capital contribution to build the vast
majority of these early projects; however, the water, power,
and recreational customers who benefitted from the facilities
entered into long-term contracts with the federal government to
repay their part of the initial taxpayer investment. Under the
Reclamation Act of 1902,\3\ Reclamation may transfer day-to-day
operational and maintenance responsibilities to project
beneficiaries. However, the title or ownership of any facility
must remain in federal ownership until Congress enacts
legislation specifically authorizing such a conveyance.
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\3\Act of June 17, 1920, ch. 1093, 32 Stat. 388.
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The area surrounding Jamestown Reservoir is home to 71
permitted exclusive use cabins, which encompass approximately
73 acres.\4\ These homes are owned by private individuals yet
are situated on land owned by the federal government. In
similar cases, this has disadvantaged homeowners by preventing
them access to things such as home improvement loans or other
sources of equity.\5\ Further, according to the Department of
the Interior, transfer of these parcels to the applicable
homeowner will allow ``flexible management of the lands to meet
local needs and alleviate the Department's administrative
oversight and management of the land.''\6\ H.R. 6039 will give
homeowners the option to buy the land under their homes from
the Stutsman County Park Board.
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\4\Submitted Testimony of Mr. Alan Mikkelsen, Senior Advisor to the
Secretary for Water and Western Resource Issues, U.S. Department of
Interior, before the Senate Water and Power Subcommittee legislative
hearing, February 28, 2018, p. 1.
\5\Submitted Testimony of Mr. Tom Fisher, President of the
Patterson Lake Homeowners Association, to the Senate Committee on
Energy and Natural Resources legislative hearing, June 14, 2017.
\6\Submitted Testimony of Mr. Alan Mikkelsen, Senior Advisor to the
Secretary for Water and Western Resource Issues, U.S. Department of
Interior, before the Senate Water and Power Subcommittee legislative
hearing, February 28, 2018, p. 1.
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State representative and member of the Jamestown Reservoir
Cabin Owners Association Board of Directors, Craig Headland,
testified on the benefits that conveyance will have on the
local environment and for those who depend on the Jamestown
Reservoir for their livelihoods. Representative Headland
testified that, ``The cabin owners pay property taxes to
Stutsman County and the Jamestown School District for the
assessed value of our homes. Additionally, we pay an annual
permit fee to the park department. These funds have been used
to help maintain the public lands, recreation areas and access
points around the river. If this bill is approved, we will pay
additional property taxes for the assessed value of our land,
further benefitting our community.''\7\ During the July 11,
2018, Water, Power and Oceans Subcommittee hearing on H.R.
6039, Representative Paul A. Gosar (R-AZ) noted this increased
incentive to preserve the local environment, and the witness
stated that, as a result, ``[the reversionary clauses in H.R.
6039] are not necessary.''\8\
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\7\Legislative Hearing on H.R. 5556, H.R. 6038, H.R. 6039, and H.R.
6040 Before H. Comm. on Natural Resources, Subcomm. on Water, Power and
Oceans, 115th Cong., 2, (2018) (Statement of Mr. Craig Headland),
available at https://naturalresources.house.gov/uploadedfiles/
7.11_testimony_headland.pdf, p. 1-2.
\8\Legislative Hearing on H.R. 5556, H.R. 6038, H.R. 6039, and H.R.
6040 Before H. Comm. on Natural Resources, Subcomm. on Water, Power and
Oceans, 115th Cong., 2, (2018) (Oral Statement of Mr. Craig Headland)
available at https://naturalresources.house.gov/calendar/
eventsingle.aspx?EventID=405249, beginning at 1:42:40.
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COMMITTEE ACTION
H.R. 6039 was introduced on June 7, 2018, by Congressman
Kevin Cramer (R-ND). The bill was referred to the Committee on
Natural Resources, and within the Committee to the Subcommittee
on Water, Power and Oceans. On July 11, 2018, the Subcommittee
held a hearing on the bill. On July 18, 2018, the Natural
Resources Committee met to consider the bill. The Subcommittee
was discharged by unanimous consent. Natural Resources
Committee Chairman Rob Bishop (R-UT) offered an amendment
designated #1; it was adopted by a roll call vote of 20 yeas to
15 noes, as follows:
[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]
No additional amendments were offered, and the bill, as
amended, was ordered favorably reported to the House of
Representatives by voice vote.
COMMITTEE OVERSIGHT FINDINGS AND RECOMMENDATIONS
Regarding clause 2(b)(1) of rule X and clause 3(c)(1) of
rule XIII of the Rules of the House of Representatives, the
Committee on Natural Resources' oversight findings and
recommendations are reflected in the body of this report.
COMPLIANCE WITH HOUSE RULE XIII AND CONGRESSIONAL BUDGET ACT
1. Cost of Legislation and the Congressional Budget Act.
With respect to the requirements of clause 3(c)(2) and (3) of
rule XIII of the Rules of the House of Representatives and
sections 308(a) and 402 of the Congressional Budget Act of
1974, the Committee has received the following estimate for the
bill from the Director of the Congressional Budget Office:
U.S. Congress,
Congressional Budget Office,
Washington, DC, August 1, 2018.
Hon. Rob Bishop,
Chairman, Committee on Natural Resources,
House of Representatives, Washington, DC.
Dear Mr. Chairman: The Congressional Budget Office has
prepared the enclosed cost estimate for H.R. 6039, a bill to
establish a procedure for the conveyance of certain Federal
property around Jamestown Reservoir in the State of North
Dakota, and for other purposes.
If you wish further details on this estimate, we will be
pleased to provide them. The CBO staff contact is Aurora
Swanson.
Sincerely,
Keith Hall,
Director.
Enclosure.
H.R. 6039--A bill to establish a procedure for the conveyance of
certain Federal property around Jamestown Reservoir in the
State of North Dakota, and for other purposes
H.R. 6039 would direct the Bureau of Reclamation (BOR) to
convey certain federal land and facilities located near the
Jamestown Reservoir in North Dakota to the Stutsman County Park
Board. After the property is conveyed, the board could sell the
property to existing cabin permit holders, and the net proceeds
of those transactions would be paid to the federal government.
Those proceeds would be classified as offsetting receipts,
which are treated as reductions in direct spending, and could
subsequently be spent by BOR without further appropriation.
Under the bill, BOR would convey specified federal property
to the Stutsman County Park Board within 5 years after
enactment. Using information from BOR, CBO expects that 71
permit holders would purchase lots from the board for an
estimated $100,000 per lot. CBO estimates that the board would
transfer the net proceeds of about $7 million to the federal
government, which would be spent for annual operations costs
and deferred maintenance projects at the Jamestown Darn and
Reservoir in North Dakota.
Because enacting H.R. 6039 would affect direct spending,
pay-as-you-go procedures apply. However, CBO estimates that the
net effect on the budget would be negligible. Enacting H.R.
6039 would not affect revenues.
CBO estimates that enacting H.R. 6039 would not increase
net direct spending or on-budget deficits in any of the four
consecutive 10-year periods beginning in 2029.
H.R. 6039 contains no intergovernmental or private-sector
mandates as defined in the Unfunded Mandates Reform Act.
On July 9, 2018, CBO transmitted a cost estimate for S.
2074, a bill to establish a procedure for the conveyance of
certain Federal property around Jamestown Reservoir in the
State of North Dakota, as ordered reported by the Senate
Committee on Energy and Natural Resources on May 17, 2018. The
two pieces of legislation are similar and CBO's estimates of
their budgetary effects are the same.
The CBO staff contact for this estimate is Aurora Swanson.
The estimate was reviewed by H. Samuel Papenfuss, Deputy
Assistant Director for Budget Analysis.
2. General Performance Goals and Objectives. As required by
clause 3(c)(4) of rule XIII, the general performance goal or
objective of this bill is to establish a procedure for the
conveyance of certain Federal property around the Jamestown
Reservoir in the State of North Dakota.
EARMARK STATEMENT
This bill does not contain any Congressional earmarks,
limited tax benefits, or limited tariff benefits as defined
under clause 9(e), 9(f), and 9(g) of rule XXI of the Rules of
the House of Representatives.
COMPLIANCE WITH PUBLIC LAW 104-4
This bill contains no unfunded mandates.
COMPLIANCE WITH H. RES. 5
Directed Rule Making. This bill does not contain any
directed rule makings.
Duplication of Existing Programs. This bill does not
establish or reauthorize a program of the federal government
known to be duplicative of another program. Such program was
not included in any report from the Government Accountability
Office to Congress pursuant to section 21 of Public Law 111-139
or identified in the most recent Catalog of Federal Domestic
Assistance published pursuant to the Federal Program
Information Act (Public Law 95-220, as amended by Public Law
98-169) as relating to other programs.
PREEMPTION OF STATE, LOCAL OR TRIBAL LAW
This bill is not intended to preempt any State, local or
tribal law.
CHANGES IN EXISTING LAW
If enacted, this bill would make no changes to existing
law.
DISSENTING VIEWS
H.R. 6039 authorizes the conveyance of public lands located
around the Jamestown Reservoir in eastern North Dakota. Because
H.R. 6039 fails to include standard safeguards that protect
taxpayers and preserve public access to public lands, we oppose
H.R. 6039 as reported.
Congress has a long tradition of supporting public land
conveyances that promote genuine public purposes. However,
Congress has typically required some form of compensation to
the American taxpayer. Compensation could mean that conveyed
land is sold at fair market value or conveyed with a
reversionary interest that requires the land to be used for a
specific public purpose or ownership returns to the United
States. Reversionary interests protect taxpayer interests by
preventing the future sale or inconsistent use of a property
traded away for a specific public purpose.
As introduced, H.R. 6039 contained standard, essential
reversionary clauses that would have ensured that the land
conveyance authorized by the bill preserves public access to
conveyed lands. The language in the introduced version of H.R.
6039 had broad support and passed the Senate Energy and Natural
Resources Committee by voice vote.
Unfortunately, during the House markup of H.R. 6039,
Chairman Bishop offered a poison pill amendment that eliminated
the essential reversionary clauses from the underlying bill.
The amendment passed with a strict party-line vote. By removing
the bill's reversionary clauses, what had previously been a
bill scheduled to pass the Committee by unanimous consent
became a bill that fails to garner broad, bipartisan support.
Whenever Congress conveys public lands, it is essential
that public access be preserved or taxpayers be compensated for
the full value of the lands that are lost. H.R. 6039 fails to
meet either of these requirements. For these reasons, we oppose
H.R. 6039 as reported.
Raul M. Grijalva,
Ranking Member,
House Natural Resources
Committee.
Jared Huffman.
[all]