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                                                       Calendar No. 646
110th Congress                                                   Report
                                 SENATE
 2d Session                                                     110-294

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



 
              SOUTHERN NEVADA LIMITED TRANSITION AREA ACT

                                _______
                                

                 April 10, 2008.--Ordered to be printed

                                _______
                                

   Mr. Bingaman, from the Committee on Energy and Natural Resources, 
                        submitted the following

                              R E P O R T

                         [To accompany S. 1377]

    The Committee on Energy and Natural Resources, to which was 
referred the bill (S. 1377) to direct the Secretary of the 
Interior to convey to the City of Henderson, Nevada, certain 
Federal land located in the City, and for other purposes, 
having considered the same, reports favorably thereon without 
amendment and recommends that the bill do pass.

                                PURPOSE

    The purpose of S. 1377 is to direct the Secretary of the 
Interior to convey approximately 502 acres of land administered 
by the Bureau of Land Management to the City of Henderson, 
Nevada, without consideration, to allow the city to sell or 
lease the land for economic development adjacent to the 
Henderson Executive Airport.

                          BACKGROUND AND NEED

    Located just outside Las Vegas, the City of Henderson, 
Nevada is one of the fastest growing communities in the nation. 
The city currently has an estimated population of approximately 
250,000, and has now passed Reno as Nevada's second largest 
city.
    To help address this rapid growth, S. 1377 would direct the 
Secretary of the Interior to covey to the city approximately 
502 acres of BLM land adjacent to the Henderson Executive 
Airport, to allow the city to use the land for economic 
development.
    The lands to be conveyed under S. 1377 are already within 
the boundary of lands directed for sale under the Southern 
Nevada Public Land Management Act (Public Law 105-263). Under 
that law, lands are sold by the BLM at public auction, with the 
sale proceeds distributed among the BLM for activities in 
Nevada, the Southern Nevada Water Authority, and the State of 
Nevada's general education fund.
    S. 1377 supersedes the Southern Nevada Public Land 
Management Act by requiring that the auctioned land only be 
used for non-residential purposes, to ensure that future 
development is compatible with the nearby airport. Proceeds 
from the sale would be distributed in accordance with the 
formula in that Act.

                          LEGISLATIVE HISTORY

    S. 1377 was introduced by Senators Reid and Ensign on May 
14, 2007. (S. Hrg. 110-216.) During the 109th Congress, the 
Committee considered similar legislation, S. 1056. The 
Subcommittee on Public Lands and Forests held a hearing on S. 
1056 on March 29, 2006 (S. Hrg. 109-444).
    The Subcommittee on Public Lands and Forests held a hearing 
on S. 1377 on September 20, 2007. At its business meeting on 
January 30, 2008, the Committee on Energy and Natural Resources 
ordered S. 1377 favorably reported without amendment.

                        COMMITTEE RECOMMENDATION

    The Committee on Energy and Natural Resources, in open 
business session on January 31, 2007, by a voice vote of a 
quorum present, recommends that the Senate pass S. 1377.

                      SECTION-BY-SECTION ANALYSIS

    Section 1 contains the short title, the ``Southern Nevada 
Limited Transition Area Act.''
    Section 2 defines key terms used in the bill.
    Section 3(a) provides that notwithstanding the Federal Land 
Policy and Management Act of 1976 (43 U.S.C. 1701 et seq.), on 
request of the City of Henderson, Nevada (City), the Secretary 
of the Interior shall convey to the City all right, title, and 
interest of the United States to the land identified on the 
referenced map as the ``Transition Area.'' The conveyance shall 
be without consideration.
    Subsection (b) states that the City may convey and portion 
of the conveyed land for purposes of non-residential 
development. Any lands conveyed must be through a competitive 
bidding process and shall be for not less than fair market 
value. Proceeds from the sale of the land are to be distributed 
in accordance with section 4(e) of the Southern Nevada Public 
Land Management Act of 1998.
    Subsection (c) provides that the City may elect to retain 
parcels of the lands conveyed under this Act for public 
recreation or other public purposes consistent with the 
Recreation and Public Purposes Act (43 U.S.C. 869 et seq.).
    Subsection (d) requires the City to plan the Transition 
Area in accordance with Federal law relating to airport noise 
compatibility planning.
    Subsection (e) contains a reversionary clause that provides 
that if any land within the Transition Area is not used for 
non-residential purposes or local park or recreation purposes 
within 20 years after the date of enactment of this Act, the 
land shall revert to the Secretary (at the discretion of the 
Secretary).

                   COST AND BUDGETARY CONSIDERATIONS

    The following estimate of costs of this measure has been 
provided by the Congressional Budget Office:

S. 1377--Southern Nevada Limited Transition Area Act

    S. 1377 would direct the Bureau of Land Management (BLM) to 
convey about 500 acres of federal land (``transition area'') in 
southern Nevada to the city of Henderson. CBO estimates that 
implementing this bill would have no net effect on the federal 
budget. Enacting S. 1377 would reduce offsetting receipts and 
associated direct spending, but CBO estimates that such 
reductions would offset each other. Enacting the bill would not 
affect revenues.
    The bill would require BLM to convey to Henderson, without 
consideration, all right, title, and interest in the transition 
area at the request of the city. (Under existing law, BLM is 
scheduled to sell the transition area within the next few years 
and spend its portion of the proceeds for projects in Nevada.) 
The city would be permitted to sell the property at fair market 
value and 85 percent of any proceeds would be distributed to 
the federal government (in accordance with the receipt-sharing 
formula specified in the Southern Nevada Public Land Management 
Act of 1998.)
    Assuming that the city would receive the transition area in 
the next year, sell that property in 2009 or 2010, and give 85 
percent of the proceeds to BLM, CBO expects that the agency 
would receive an estimated $150 million from sales proceeds in 
2009 or 2010 and spend that amount over the next several years 
as it would have if it had sold the property itself. CBO 
estimates that enacting S. 1377 would thus have no net impact 
on the federal budget.
    S. 1377 contains no intergovernmental or private-sector 
mandates as defined in the Unfunded Mandates Reform Act and 
would benefit the city of Henderson by authorizing the 
conveyance of land without consideration.
    The CBO staff contact for this estimate is Deborah Reis. 
This estimate was approved by Theresa Gullo, Deputy Assistant 
Director for Budget Analysis.

                      REGULATORY IMPACT EVALUATION

    In compliance with paragraph 11(b) of rule XXVI of the 
Standing Rules of the Senate, the Committee makes the following 
evaluation of the regulatory impact which would be incurred in 
carrying out S. 1377. The bill is not a regulatory measure in 
the sense of imposing Government-established standards or 
significant economic responsibilities on private individuals 
and businesses.
    No personal information would be collected in administering 
the program. Therefore, there would be no impact on personal 
privacy.
    Little, if any, additional paperwork would result from the 
enactment of S. 1377, as ordered reported.

                   CONGRESSIONALLY DIRECTED SPENDING

    S. 1377, as reported, does not contain any congressionally 
directed spending items, limited tax benefits, or limited 
tariff benefits as defined in rule XLIV of the Standing Rules 
of the Senate.

                        EXECUTIVE COMMUNICATIONS

    The testimony provided by the Bureau of Land Management at 
the September 20, 2007 Subcommittee hearing on S. 1377 follows:

  Statement of Michael Nedd, Assistant Director, Minerals, Realty and 
             Resource Protection, Bureau of Land Management

    Mr. Chairman and members of the Subcommittee, thank you for 
the opportunity to testify on S. 1377, the Southern Nevada 
Limited Transition Act. S. 1377 would convey without 
consideration approximately 502 acres of BLM public lands, 
defined in the bill as the ``transition area,'' to the City of 
Henderson, Nevada, for economic development adjacent to the 
Henderson Executive Airport. The BLM recognizes the extensive 
residential growth occurring in the City of Henderson and 
understands the need for the City to plan land use in such a 
way that development around the Henderson Executive Airport is 
compatible with the nature of airport operations. During 
consideration of similar legislation in the 109th Congress (S. 
1056), we raised several concerns. The BLM greatly appreciates 
the work of the sponsors of the bill to address those concerns, 
as reflected in the text of S. 1377. We support S. 1377 as 
introduced.
    S. 1377 establishes development areas around the Henderson 
Executive Airport similar to the Airport Environs Overlay 
District--otherwise known as the McCarran Airport Cooperative 
Management Area (CMA)--established by the Southern Nevada 
Public Lands Management Act (SNPLMA), Public Law 105-263, that 
ensures compatible development around McCarran Airport. The 
public lands proposed for conveyance in S. 1377 are directly 
west and south of the Henderson Executive Airport, which is 
east of Interstate 15 and north of the Sloan Canyon National 
Conservation Area. These lands are within the disposal boundary 
established in SNPLMA and have been identified for disposal by 
the BLM as part of SNPLMA's land disposal process.
    S. 1377 directs the City of Henderson to plan and manage 
the lands for nonresidential development, and requires that any 
development comport with noise compatibility requirements 
defined in section 47504 of title 49, United States Code. The 
bill permits the City of Henderson to sell any portions of the 
conveyed lands for nonresidential development through a 
competitive bidding process, but for not less than fair market 
value, and subject to the noise compatibility requirements. The 
City of Henderson may also elect to retain parcels for 
recreation or other public purposes consistent with the 
Recreation and Public Purposes Act.
    The revenue generated from any sales of the lands by the 
City of Henderson would be distributed consistent with the 
provisions of Section 4(e)(1) of SNPLMA, which allow for the 
deposit of 85 percent of the proceeds from land sales into the 
Special Account; 10 percent paid directly to the Southern 
Nevada Water Authority; and 5 percent paid directly to the 
State of Nevada for use in the general education program of the 
State.
    Again, thank you for the opportunity to work with the 
sponsors of this bill in addressing our various concerns, 
including modifications relative to the terms and conditions of 
future land sales by the City of Henderson; the reversionary 
language; and the revised map. We support S. 1377 and efforts 
to appropriately plan for development around the Henderson 
Executive Airport.

                        CHANGES IN EXISTING LAW

    In compliance with paragraph 12 of rule XXVI of the 
Standing Rules of the Senate, the Committee notes that no 
changes in existing law are made by the bill S. 1377, as 
ordered reported.