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107th Congress                                                   Report
                        HOUSE OF REPRESENTATIVES
 2d Session                                                     107-745

======================================================================



 
       ALASKA FEDERAL LANDS MANAGEMENT DEMONSTRATION PROJECT ACT

                                _______
                                

October 11, 2002.--Committed to the Committee of the Whole House on the 
              State of the Union and ordered to be printed

                                _______
                                

  Mr. Hansen, from the Committee on Resources, submitted the following

                              R E P O R T

                             together with

                            DISSENTING VIEWS

                        [To accompany H.R. 4734]

      [Including cost estimate of the Congressional Budget Office]

  The Committee on Resources, to whom was referred the bill 
(H.R. 4734) to expand Alaska Native contracting of Federal land 
management functions and activities and to promote hiring of 
Alaska Natives by the Federal Government within the State of 
Alaska, 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. SHORT TITLE.

  This Act may be cited as the ``Alaska Federal Lands Management 
Demonstration Project Act''.

SEC. 2. FINDINGS.

  (a) Findings.--Congress finds the following:
          (1) The Alaska National Interest Lands Conservation Act (16 
        U.S.C. 3101 et seq.) established new and expanded units of the 
        National Park System and the National Wildlife Refuge System in 
        many areas of Alaska. The purposes of these conservation system 
        units include protection of habitat for fish and wildlife, 
        conservation of fish and wildlife populations, continued 
        opportunity for subsistence uses by local residents, and 
        protection of archeological sites associated with Alaska Native 
        cultures.
          (2) Many rural Alaskan communities are in close proximity to 
        conservation system units and the purposes of these 
        conservation system units are uniquely relevant to the culture 
        and ways of Alaska Natives and other residents of rural Alaska 
        communities. Congress recognized this close relationship in 
        sections 1306, 1307, and 1308 of the Alaska National Interest 
        Lands Conservation Act, which directed the Secretary of the 
        Interior to establish programs whereby Alaska Native lands were 
        given preference for the siting of conservation system unit 
        facilities, Alaska Native corporations and local residents were 
        given preference for the provision of visitor services, and 
        local residents were given preference for employment.
  (b) Purposes.--The purposes of this Act are as follows:
          (1) To promote innovative management strategies that are 
        designed to lead to greater efficiency in conservation system 
        unit management.
          (2) To expand Alaska Native contracting opportunities.
          (3) To increase local employment in Alaska.
          (4) To further the unique purposes of conservation system 
        units as they relate to subsistence practices, Alaska Native 
        culture, and the conservation of fish and wildlife habitat and 
        populations.

SEC. 3. ALASKA FEDERAL LANDS MANAGEMENT DEMONSTRATION PROJECT.

  (a) In General.--The Secretary shall carry out a program within the 
Department of the Interior to be known as the ``Alaska Federal Lands 
Management Demonstration Project'' by which 12 Indian tribes or tribal 
organizations may contract to perform construction, maintenance, data 
collection, biological research, and harvest monitoring on conservation 
system units in Alaska.
  (b) Participation.--During each of the 2 fiscal years immediately 
following the date of the enactment of this Act, the Secretary shall 
select, in a manner to achieve geographic representation within Alaska, 
not less than 6 eligible Indian tribes or tribal organizations per year 
to participate in the demonstration project.
  (c) Eligibility.--To be eligible to participate in the demonstration 
project, an Indian tribe or tribal organization, shall--
          (1) request participation by resolution or other official 
        action of the governing body of the Indian tribe or tribal 
        organization;
          (2) demonstrate financial and management stability and 
        capability, as evidenced by the Indian tribe or tribal 
        organization having no unresolved significant and material 
        audit exceptions for the previous 3 fiscal years; and
          (3) demonstrate significant use of or dependency upon the 
        relevant conservation system unit or other public land unit for 
        which programs, functions, services, and activities are 
        requested to be placed under contract.
  (d) Priority.--If the Secretary receives a request to contract 
specific conservation system unit programs, services, functions, and 
activities, or portions thereof, from more than one Indian tribe or 
tribal organization meeting the criteria set forth in subsection (c), 
the Secretary shall apply the priority selection criteria applied by 
the Alaska Region of the Bureau of Indian Affairs for contracting 
pursuant to the Indian Self-Determination and Education Assistance Act. 
If, after applying such criteria, more than one eligible Indian tribe 
or tribal organization remains and such Indian tribes or tribal 
organizations have overlapping requests to negotiate and contract for 
the same programs, services, functions, and activities, or portions 
thereof, the Secretary may require such Indian tribes or tribal 
organizations to agree regarding which Indian tribe or tribal 
organization shall have the ability to contract or to submit a joint 
request prior to entering into negotiations.
  (e) Planning Phase.--Each Indian tribe and tribal organization 
selected by the Secretary to participate in the demonstration project 
shall complete a planning phase prior to negotiating and entering into 
a conservation system unit management contract. The planning phase 
shall be conducted to the satisfaction of the Secretary, Indian tribe, 
or tribal organization, and shall include--
          (1) legal and budgetary research; and
          (2) internal tribal planning and organizational preparation.
  (f) Contracts.--
          (1) In general.--Upon request of a participating Indian tribe 
        or tribal organization that has completed the planning phase 
        pursuant to subsection (e), the Secretary shall negotiate and 
        enter into a contract with the Indian tribe or tribal 
        organization for the Indian tribe or tribal organization to 
        plan, conduct, and administer programs, services, functions, 
        and activities, or portions thereof, as described in subsection 
        (a), requested by the Indian tribe or tribal organization and 
        related to the administration of a conservation system unit 
        that is substantially located within the geographic region of 
        the Indian tribe or tribal organization.
          (2) Time limitation for negotiation of contracts.--Not later 
        than 90 days after a participating Indian tribe or tribal 
        organization has notified the Secretary that it has completed 
        the planning phase required by subsection (e), the Secretary 
        shall initiate and conclude negotiations, unless an alternative 
        negotiation and implementation schedule is otherwise agreed to 
        by the parties. The declination and appeals provisions of the 
        Indian Self-Determination and Education Assistance Act, 
        including section 110 of such Act, shall apply to contracts and 
        agreements requested and negotiated under this Act.
  (g) Contract Administration.--
          (1) Inclusion of certain terms.--At the request of the 
        contracting Indian tribe or tribal organization, the benefits, 
        privileges, terms, and conditions of agreements entered into 
        pursuant to titles I and IV of the Indian Self-Determination 
        and Education Assistance Act may be included in a contract 
        entered into under this Act. If any provisions of the Indian 
        Self-Determination and Education Assistance Act are 
        incorporated, they shall have the same force and effect as if 
        set out in full in this Act and shall apply notwithstanding any 
        other provision of law. The parties may include such other 
        terms and conditions as are mutually agreed to and not 
        otherwise contrary to law.
          (2) Audit.--Contracts entered into under this Act shall 
        provide for a single-agency audit report to be filed as 
        required by chapter 75 of title 31, United States Code.
          (3) Transfer of employees.--Any career Federal employee 
        employed at the time of the transfer of an operation or program 
        to an Indian tribe or tribal organization shall not be 
        separated from Federal service by reason of such transfer. 
        Intergovernmental personnel actions may be used to transfer 
        supervision of such employees to the contracting Indian tribe 
        or tribal organization. Such transferred employees shall be 
        given priority placement for any available position within 
        their respective agency, notwithstanding any priority 
        reemployment lists, directives, rules, regulations, or other 
        orders from the Department of the Interior, the Office of 
        Management and Budget, or other Federal agencies.
  (h) Available Funding; Payment.--Under the terms of a contract 
negotiated pursuant to subsection (f), the Secretary shall provide each 
Indian tribe or tribal organization funds in an amount not less than 
the Secretary would have otherwise provided for the operation of the 
requested programs, services, functions, and activities. Contracts 
entered into under this Act shall provide for advance payments to the 
tribal organizations in the form of annual or semiannual installments.
  (i) Timing; Contract Authorization Period.--An Indian tribe or tribal 
organization selected to participate in the demonstration project shall 
complete the planning phase required by subsection (e) not later than 1 
calendar year after the date that it was selected for participation and 
may begin implementation of its requested contract no later than the 
first day of the next fiscal year. The Indian tribe or tribal 
organization and the Secretary may agree to an alternate implementation 
schedule. Contracts entered into pursuant to this Act are authorized to 
remain in effect for 5 consecutive fiscal years, starting from the 
fiscal year the participating Indian tribe or tribal organization first 
entered into its contract under this Act.
  (j) Report.--Not later than 90 days after the close of each of fiscal 
years 2003 and 2006, the Secretary shall present to the Congress 
detailed reports, including a narrative, findings, and conclusions on 
the costs and benefits of this demonstration project. The reports shall 
identify remaining institutional and legal barriers to the contracting 
of conservation system unit management to Alaska Native entities and 
shall contain recommendations for improving, continuing, and expanding 
the demonstration project. The reports shall be authored jointly with, 
and shall include the separate views of, all participating Indian 
tribes and tribal organizations.
  (k) Limitations.--
          (1) Revenue producing visitor services.--Contracts authorized 
        under this Act shall not include revenue-producing visitor 
        services, unless an agreement is reached with the most directly 
        affected Alaska Native corporations to allow such services to 
        be included in the contract. Such contracts shall not otherwise 
        repeal, alter, or otherwise modify section 1307 or 1308 of the 
        Alaska National Interests Lands Conservation Act.
          (2) Contracts.--Contracts authorized under this Act shall not 
        grant or include any authority to administer or otherwise 
        manage or oversee permits, licenses, or contracts related to 
        sport hunting and fishing guiding activities.
          (3) Denali national park.--The Denali National Park shall not 
        be subject to any of the provisions of this Act.
          (4) State's management authority for fish and wildlife.--
        Nothing in this Act is intended to enlarge or diminish the 
        responsibility and authority of the State of Alaska for 
        management of fish and wildlife.
  (l) Planning Grants.--
          (1) In general.--Subject to the availability of appropriated 
        funds, upon application the Secretary shall award a planning 
        grant in the amount of $100,000 to any Indian tribe or tribal 
        organization selected for participation in the demonstration 
        project to enable it to plan for the contracting of programs, 
        functions, services, and activities as authorized under this 
        Act and meet the planning phase requirement of subsection (e). 
        An Indian tribe or tribal organization may chose to meet the 
        planning phase requirement without applying for a grant under 
        this subsection. No Indian tribe or tribal organization may 
        receive more than 1 grant under this subsection.
          (2) Authorization of appropriations.--There is authorized to 
        be appropriated $600,000 for each of the 2 fiscal years 
        immediately following the date of the enactment of this Act to 
        fund planning grants under this section.

SEC. 4. KOYUKUK AND KANUTI NATIONAL WILDLIFE REFUGES DEMONSTRATION 
                    PROJECT.

  (a) In General.--The Secretary shall enter into contracts, compacts, 
or funding agreements under the Indian Self-Determination and Education 
Assistance Act (25 U.S.C. 450 et seq.) with the Koyukuk River Basin 
Moose Co-Management Team, Inc., upon receipt of authorizing resolutions 
from its member tribal or village councils, to establish a 
demonstration project providing programs, functions, services, and 
activities of the Koyukuk and Kanuti National Wildlife Refuges.
  (b) Assignment of Employees.--To the maximum extent possible, 
contracts and compacts under subsection (a) shall provide that the 
United States Fish and Wildlife Service shall assign employees assigned 
to the Koyukuk and Kanuti National Wildlife Refuges to the contractor 
pursuant to the Intergovernmental Personnel Act (5 U.S.C. 3371 et seq.) 
with all such employees maintained as Federal employees retaining all 
benefits and status of Federal service.

SEC. 5. DEFINITIONS.

  For the purposes of this Act:
          (1) Conservation system unit.--The term ``conservation system 
        unit'' shall have the meaning given that term in section 102(4) 
        of the Alaska National Interest Lands Conservation Act.
          (2) Indian tribe.--The term ``Indian tribe'' shall have the 
        meaning given that term in section 4(e) of the Indian Self-
        Determination and Education Assistance Act.
          (3) Secretary.--The term ``Secretary'' means the Secretary of 
        the Interior.
          (4) Tribal organization.--The term ``tribal organization'' 
        shall have the meaning given that term in section 4(l) of the 
        Indian Self-Determination and Education Assistance Act.

                          PURPOSE OF THE BILL

    The purpose of H.R. 4734 is to expand Alaska Native 
contracting of Federal land management functions and activities 
and to promote hiring of Alaska Natives by the Federal 
government within the State of Alaska, and for other purposes.

                  BACKGROUND AND NEED FOR LEGISLATION

    The Alaska National Interest Lands Conservation Act 
(ANILCA) was enacted on December 2, 1980 as Public Law 96-487. 
Since then, Congress has passed several public laws that have 
amended ANILCA. Some of the major purposes of ANILCA are to 
create and expand federal conservation system units (CSU's) in 
Alaska; provide for the maintenance of sound populations of, 
and habitat for, fish and wildlife; provide for the continued 
opportunity for subsistence uses by local Alaska Native 
residents; and protect archaeological sites associated with 
Alaska Native cultures.
    Many rural Alaska Native communities are located within 
close proximity of CSU's that play an important role in the 
culture of Alaska Natives and other residents in rural Alaska. 
Congress, through sections 1306 and 1307 of ANILCA, directed 
the Secretary of the Interior to establish programs whereby 
Native lands were given preference for siting of CSU 
facilities, and gave Native Corporations a preference in 
providing certain visitor services on CSU's. Through Section 
1308, Congress recognized that the Natives whose front and back 
yards were now part of the federal parks, preserve, refuge, 
monument, and wilderness systems should be involved in the 
administering of the lands because of their special knowledge 
and expertise concerning the natural or cultural resources of 
such areas.
    Public Law 106-488 authorized two pilot projects in the 
Bering Straits and NANA Region in northwest Alaska. These 
include the following preserves: Bering Land Bridge National 
Preserve; Cape Krusenstern National Monument; Kobuk Valley 
National Park; and Noatak National Preserve. Neither of these 
projects have been implemented.
    Twenty-two years have passed since ANILCA was enacted, and 
Congress' goals regarding contracting and Native-hiring remain 
unfulfilled by the Department of the Interior. H.R. 4734 would 
remedy this by directing the Department of the Interior to 
implement sections 1307 and 1308 of ANILCA and enter into 
demonstration projects with no less than six eligible Alaska 
Native tribes or tribal organizations in fiscal years 2003 and 
2004.
    H.R. 4734 also authorizes the Secretary of the Interior to 
enter into a demonstration project with the Koyukuk River Basin 
Moose Co-Management Team, Inc. (Team) to assume operation of 
services, functions, and activities of the Koyukuk River 
National Wildlife Refuge and Kanuti National Wildlife Refuge. 
The contract would require the Team and the United States Fish 
and Wildlife Service to enter into Intergovernmental Personnel 
Act (IPA) transfer agreements to maintain the current refuge 
staff. All current staff would be maintained as federal 
employees, retaining all benefits and status of federal 
service.

                            COMMITTEE ACTION

    H.R. 4734 was introduced on May 14, 2002 by Congressman Don 
Young (R-AK). The bill was referred to the Committee on 
Resources. On June 5, 2002, the Committee held a hearing on the 
bill. On September 12, 2002, the Committee met to consider the 
legislation. Congressman Don Young offered an amendment in the 
nature of a substitute that deletes references to subsistence, 
spells out each of the contractible functions allowed in the 
bill, prohibits the Department of the Interior to contract out 
the management of permits, licenses or contracts that are 
related to sport hunting and fish guiding activities in the 
state of Alaska, and adds a new section 4 which clarifies that 
the bill would not enlarge or diminish the responsibility or 
the authority of the State of Alaska for the management of fish 
and wildlife on public lands. The amendment was adopted by 
voice vote. The bill, as amended, was then 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 Resources' oversight findings and recommendations 
are reflected in the body of this report.

                   CONSTITUTIONAL AUTHORITY STATEMENT

    Article I, section 8 of the Constitution of the United 
States grants Congress the authority to enact this bill.

                    COMPLIANCE WITH HOUSE RULE XIII

    1. Cost of Legislation. Clause 3(d)(2) of rule XIII of the 
Rules of the House of Representatives requires an estimate and 
a comparison by the Committee of the costs which would be 
incurred in carrying out this bill. However, clause 3(d)(3)(B) 
of that rule provides that this requirement does not apply when 
the Committee has included in its report a timely submitted 
cost estimate of the bill prepared by the Director of the 
Congressional Budget Office under section 402 of the 
Congressional Budget Act of 1974.
    2. Congressional Budget Act. As required by clause 3(c)(2) 
of rule XIII of the Rules of the House of Representatives and 
section 308(a) of the Congressional Budget Act of 1974, this 
bill does not contain any new budget authority, spending 
authority, credit authority, or an increase or decrease in 
revenues or tax expenditures.
    3. 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 expand Alaska Native contracting 
of Federal land management functions and activities and to 
promote hiring of Alaska Natives by the Federal Government 
within the State of Alaska, and for other purposes.
    4. Congressional Budget Office Cost Estimate. Under clause 
3(c)(3) of rule XIII of the Rules of the House of 
Representatives and section 403 of the Congressional Budget Act 
of 1974, the Committee has received the following cost estimate 
for this bill from the Director of the Congressional Budget 
Office:

                                     U.S. Congress,
                               Congressional Budget Office,
                                   Washington, DC, October 4, 2002.
Hon. James V. Hansen,
Chairman, Committee on Resources,
House of Representatives, Washington, DC.
    Dear Mr. Chairman: The Congressional Budget Office has 
prepared the enclosed cost estimate for H.R. 4734, the Alaska 
Federal Lands Management Demonstration Project Act.
    If you wish further details on this estimate, we will be 
pleased to provide them. The CBO staff contacts are Megan 
Carroll (for federal costs) and Marjorie Miller (for the state 
and local impact).
            Sincerely,
                                          Barry B. Anderson
                                    (For Dan L. Crippen, Director).
    Enclosure.

H.R. 4734--Alaska Federal Lands Management Demonstration Project Act

    CBO estimates that implementing H.R. 4734 would cost $1.2 
million over the 2003-2004 period, assuming appropriation of 
the authorized amounts. The bill would not affect direct 
spending or revenues.
    H.R. 4734 would direct the Secretary of the Interior to 
establish a pilot program for Alaska Native tribes to apply for 
contracts to perform certain services on federal lands in 
Alaska. The bill would require tribes to complete certain 
planning requirements prior to entering into a contract with 
the Department of the Interior (DOI) and would authorize the 
appropriation of $600,000 in each of years 2003 and 2004 for 
the Secretary to make grants to help tribes meet those 
requirements. Assuming appropriation of the specified amounts, 
we estimate that the Secretary would spend $600,000 in each of 
those years for those grants. If the Secretary enters into a 
contract with a tribe to provide certain services, the bill 
would direct the Secretary to provide the tribe with funds at 
least equal to what the federal government would have otherwise 
spent for such services. Based on information from DOL, we 
estimate that any increase in federal spending for these 
activities, which would be subject to appropriation, would not 
be significant.
    H.R. 4734 also would direct the Secretary, subject to 
appropriation of the necessary funds, to enter into a contract 
with the Koyukuk River Basin Moose Co-Management Team, Inc., to 
authorize that organization to manage wildlife resources within 
the Koyukuk and Kanuti National Wildlife Refuges in Alaska. 
Based on information from a representative of that 
organization, CBO estimates that implementing this provision 
would not significantly affect federal spending for resource 
management.
    H.R. 4734 contains no intergovernmental or private-sector 
mandates as defined in the Unfunded Mandates Reform Act and 
would impose no costs on state, local, or tribal governments. 
Any tribe choosing to enter into a contract authorized by this 
bill would do so voluntarily.
    The CBO staff for this estimate are Megan Carroll (for 
federal costs) and Marjorie Miller (for the state and local 
impact). This estimate was approved by Peter H. Fontaine, 
Deputy Assistant Director for Budget Analysis.

                    COMPLIANCE WITH PUBLIC LAW 104-4

    This bill contains no unfunded mandates.

                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 in existing 
law.

            DISSENTING VIEWS OF REPRESENTATIVE GEORGE MILLER

    H.R. 4734 as introduced would mandate an unprecedented 
delegation of land management authorities for national parks 
and national wildlife refuges to private Alaska Native 
corporations and other entities. Contrary to existing laws, it 
removes the Secretary of the Interior's discretion and even 
provides for the transfer of federal employees. The substitute, 
which was developed without consultation and not provided to 
Democratic Members prior to the markup is narrower in scope but 
remains flawed.
    H.R. 4734 has created an unusual alliance of opponents, 
including the Bush Administration, the Speaker of the House and 
the President of the Senate in the Alaska legislature, 
environmental groups and the AFL-CIO.
    As the Department of the Interior noted in a June 21, 2002 
letter opposing H.R. 4734, its non-discretionary contracting 
provisions so beyond the Indian Self Determination and 
Education Assistance Act contracting rules which currently 
apply to Indian tribes and Alaska Natives:

          Currently, Title I of the ISDEAA does not apply to 
        units of the National Park System and the National 
        Wildlife Refuge System as they are not ``programs for 
        the benefit of Indians because of their status as 
        Indians.'' Rather they are programs--conservation 
        system units--established for the American people as a 
        whole. * * * With parks and refuges, as opposed to 
        programs for Indians, there are no issues of self-
        determination, and there is no basis for excepting the 
        parks and refuges from the normal contracting rules.

    While the stated goals of this legislation--to increase the 
``local hire'' employment of Alaskans and enhance contracting 
opportunities between Native entities and the Department of the 
Interior--are laudable, the means of effectuating those ends in 
the bill as reported are not. The case has not been to create 
new and non-discretionary contracting rules applicable only to 
national parks and national wildlife refuge management in 
Alaska. The Department has ample authority under current laws, 
including the Alaska National Interest Lands Conservation Act, 
to employ Alaskans and to contract with Native corporations and 
other entities. Rather than passing new and untested 
legislation, we should instead be encouraging the Bush 
Administration to use the authority they already possess to 
increase employment and contracting opportunities in a 
responsible manner.

                                                     George Miller.