43 Usc 1716

43USC1716.doc

Agreement to Initiate (ATI) and Exchange Agreement (EA)

43 USC 1716

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[Laws in effect as of January 7, 2003]
[Document not affected by Public Laws enacted between
  January 7, 2003 and December 19, 2003]
[CITE: 43USC1716]

 
                         TITLE 43--PUBLIC LANDS
 
             CHAPTER 35--FEDERAL LAND POLICY AND MANAGEMENT
 
  SUBCHAPTER II--LAND USE PLANNING AND LAND ACQUISITION AND DISPOSITION
 
Sec. 1716. Exchanges of public lands or interests therein within 
        the National Forest System
        

(a) Authorization and limitations on authority of Secretary of the 
        Interior and Secretary of Agriculture

    A tract of public land or interests therein may be disposed of by 
exchange by the Secretary under this Act and a tract of land or 
interests therein within the National Forest System may be disposed of 
by exchange by the Secretary of Agriculture under applicable law where 
the Secretary concerned determines that the public interest will be well 
served by making that exchange: Provided, That when considering public 
interest the Secretary concerned shall give full consideration to better 
Federal land management and the needs of State and local people, 
including needs for lands for the economy, community expansion, 
recreation areas, food, fiber, minerals, and fish and wildlife and the 
Secretary concerned finds that the values and the objectives which 
Federal lands or interests to be conveyed may serve if retained in 
Federal ownership are not more than the values of the non-Federal lands 
or interests and the public objectives they could serve if acquired.

(b) Implementation requirements; cash equalization waiver

    In exercising the exchange authority granted by subsection (a) of 
this section or by section 1715(a) of this title, the Secretary 
concerned may accept title to any non-Federal land or interests therein 
in exchange for such land, or interests therein which he finds proper 
for transfer out of Federal ownership and which are located in the same 
State as the non-Federal land or interest to be acquired. For the 
purposes of this subsection, unsurveyed school sections which, upon 
survey by the Secretary, would become State lands, shall be considered 
as ``non-Federal lands''. The values of the lands exchanged by the 
Secretary under this Act and by the Secretary of Agriculture under 
applicable law relating to lands within the National Forest System 
either shall be equal, or if they are not equal, the values shall be 
equalized by the payment of money to the grantor or to the Secretary 
concerned as the circumstances require so long as payment does not 
exceed 25 per centum of the total value of the lands or interests 
transferred out of Federal ownership. The Secretary concerned and the 
other party or parties involved in the exchange may mutually agree to 
waive the requirement for the payment of money to equalize values where 
the Secretary concerned determines that the exchange will be expedited 
thereby and that the public interest will be better served by such a 
waiver of cash equalization payments and where the amount to be waived 
is no more than 3 per centum of the value of the lands being transferred 
out of Federal ownership or $15,000, whichever is less, except that the 
Secretary of Agriculture shall not agree to waive any such requirement 
for payment of money to the United States. The Secretary concerned shall 
try to reduce the amount of the payment of money to as small an amount 
as possible.

(c) Status of lands acquired upon exchange by Secretary of the Interior

    Lands acquired by the Secretary by exchange under this section which 
are within the boundaries of any unit of the National Forest System, 
National Park System, National Wildlife Refuge System, National Wild and 
Scenic Rivers System, National Trails System, National Wilderness 
Preservation System, or any other system established by Act of Congress, 
or the boundaries of the California Desert Conservation Area, or the 
boundaries of any national conservation area or national recreation area 
established by Act of Congress, upon acceptance of title by the United 
States shall immediately be reserved for and become a part of the unit 
or area within which they are located, without further action by the 
Secretary, and shall thereafter be managed in accordance with all laws, 
rules, and regulations applicable to such unit or area.

(d) Appraisal of land; submission to arbitrator; determination to 
        proceed or withdraw from exchange; use of other valuation 
        process; suspension of deadlines

    (1) No later than ninety days after entering into an agreement to 
initiate an exchange of land or interests therein pursuant to this Act 
or other applicable law, the Secretary concerned and other party or 
parties involved in the exchange shall arrange for appraisal (to be 
completed within a time frame and under such terms as are negotiated by 
the parties) of the lands or interests therein involved in the exchange 
in accordance with subsection (f) of this section.
    (2) If within one hundred and eighty days after the submission of an 
appraisal or appraisals for review and approval by the Secretary 
concerned, the Secretary concerned and the other party or parties 
involved cannot agree to accept the findings of an appraisal or 
appraisals, the appraisal or appraisals shall be submitted to an 
arbitrator appointed by the Secretary from a list of arbitrators 
submitted to him by the American Arbitration Association for arbitration 
to be conducted in accordance with the real estate valuation arbitration 
rules of the American Arbitration Association. Such arbitration shall be 
binding for a period of not to exceed two years on the Secretary 
concerned and the other party or parties involved in the exchange 
insofar as concerns the value of the lands which were the subject of the 
appraisal or appraisals.
    (3) Within thirty days after the completion of the arbitration, the 
Secretary concerned and the other party or parties involved in the 
exchange shall determine whether to proceed with the exchange, modify 
the exchange to reflect the findings of the arbitration or any other 
factors, or to withdraw from the exchange. A decision to withdraw from 
the exchange may be made by either the Secretary concerned or the other 
party or parties involved.
    (4) Instead of submitting the appraisal to an arbitrator, as 
provided in paragraph (2) of this section, the Secretary concerned and 
the other party or parties involved in an exchange may mutually agree to 
employ a process of bargaining or some other process to determine the 
values of the properties involved in the exchange.
    (5) The Secretary concerned and the other party or parties involved 
in an exchange may mutually agree to suspend or modify any of the 
deadlines contained in this subsection.

(e) Simultaneous issue of patents or titles

    Unless mutually agreed otherwise by the Secretary concerned and the 
other party or parties involved in an exchange pursuant to this Act or 
other applicable law, all patents or titles to be issued for land or 
interests therein to be acquired by the Federal Government and lands or 
interest therein to be transferred out of Federal ownership shall be 
issued simultaneously after the Secretary concerned has taken any 
necessary steps to assure that the United States will receive acceptable 
title.

(f) New rules and regulations; appraisal rules and regulations; ``costs 
        and other responsibilities or requirements'' defined

    (1) Within one year after August 20, 1988, the Secretaries of the 
Interior and Agriculture shall promulgate new and comprehensive rules 
and regulations governing exchanges of land and interests therein 
pursuant to this Act and other applicable law. Such rules and 
regulations shall fully reflect the changes in law made by subsections 
(d) through (i) of this section and shall include provisions pertaining 
to appraisals of lands and interests therein involved in such exchanges.
    (2) The provisions of the rules and regulations issued pursuant to 
paragraph (1) of this subsection governing appraisals shall reflect 
nationally recognized appraisal standards, including, to the extent 
appropriate, the Uniform Appraisal Standards for Federal Land 
Acquisitions: Provided, however, That the provisions of such rules and 
regulations shall--
        (A) ensure that the same nationally approved appraisal standards 
    are used in appraising lands or interest therein being acquired by 
    the Federal Government and appraising lands or interests therein 
    being transferred out of Federal ownership; and
        (B) with respect to costs or other responsibilities or 
    requirements associated with land exchanges--
            (i) recognize that the parties involved in an exchange may 
        mutually agree that one party (or parties) will assume, without 
        compensation, all or part of certain costs or other 
        responsibilities or requirements ordinarily borne by the other 
        party or parties; and
            (ii) also permit the Secretary concerned, where such 
        Secretary determines it is in the public interest and it is in 
        the best interest of consummating an exchange pursuant to this 
        Act or other applicable law, and upon mutual agreement of the 
        parties, to make adjustments to the relative values involved in 
        an exchange transaction in order to compensate a party or 
        parties to the exchange for assuming costs or other 
        responsibilities or requirements which would ordinarily be borne 
        by the other party or parties.

    As used in this subparagraph, the term ``costs or other 
responsibilities or requirements'' shall include, but not be limited to, 
costs or other requirements associated with land surveys and appraisals, 
mineral examinations, title searches, archeological surveys and salvage, 
removal of encumbrances, arbitration pursuant to subsection (d) of this 
section, curing deficiencies preventing highest and best use, and other 
costs to comply with laws, regulations and policies applicable to 
exchange transactions, or which are necessary to bring the Federal or 
non-Federal lands or interests involved in the exchange to their highest 
and best use for the appraisal and exchange purposes. Prior to making 
any adjustments pursuant to this subparagraph, the Secretary concerned 
shall be satisfied that the amount of such adjustment is reasonable and 
accurately reflects the approximate value of any costs or services 
provided or any responsibilities or requirements assumed.

(g) Exchanges to proceed under existing laws and regulations pending new 
        rules and regulations

    Until such time as new and comprehensive rules and regulations 
governing exchange of land and interests therein are promulgated 
pursuant to subsection (f) of this section, land exchanges may proceed 
in accordance with existing laws and regulations, and nothing in the Act 
shall be construed to require any delay in, or otherwise hinder, the 
processing and consummation of land exchanges pending the promulgation 
of such new and comprehensive rules and regulations. Where the Secretary 
concerned and the party or parties involved in an exchange have agreed 
to initiate an exchange of land or interests therein prior to the day of 
enactment of such subsections, subsections (d) through (i) of this 
section shall not apply to such exchanges unless the Secretary concerned 
and the party or parties involved in the exchange mutually agree 
otherwise.

(h) Exchange of lands or interests of approximately equal value; 
        conditions; ``approximately equal value'' defined

    (1) Notwithstanding the provisions of this Act and other applicable 
laws which require that exchanges of land or interests therein be for 
equal value, where the Secretary concerned determines it is in the 
public interest and that the consummation of a particular exchange will 
be expedited thereby, the Secretary concerned may exchange lands or 
interests therein which are of approximately equal value in cases 
where--
        (A) the combined value of the lands or interests therein to be 
    transferred from Federal ownership by the Secretary concerned in 
    such exchange is not more than $150,000; and
        (B) the Secretary concerned finds in accordance with the 
    regulations to be promulgated pursuant to subsection (f) of this 
    section that a determination of approximately equal value can be 
    made without formal appraisals, as based on a statement of value 
    made by a qualified appraiser and approved by an authorized officer; 
    and
        (C) the definition of and procedure for determining 
    ``approximately equal value'' has been set forth in regulations by 
    the Secretary concerned and the Secretary concerned documents how 
    such determination was made in the case of the particular exchange 
    involved.

    (2) As used in this subsection, the term ``approximately equal 
value'' shall have the same meaning with respect to lands managed by the 
Secretary of Agriculture as it does in the Act of January 22, 1983 
(commonly known as the ``Small Tracts Act'').

(i) Segregation from appropriation under mining and public land laws

    (1) Upon receipt of an offer to exchange lands or interests in lands 
pursuant to this Act or other applicable laws, at the request of the 
head of the department or agency having jurisdiction over the lands 
involved, the Secretary of the Interior may temporarily segregate the 
Federal lands under consideration for exchange from appropriation under 
the mining laws. Such temporary segregation may only be made for a 
period of not to exceed five years. Upon a decision not to proceed with 
the exchange or upon deletion of any particular parcel from the exchange 
offer, the Federal lands involved or deleted shall be promptly restored 
to their former status under the mining laws. Any segregation pursuant 
to this paragraph shall be subject to valid existing rights as of the 
date of such segregation.
    (2) All non-Federal lands which are acquired by the United States 
through exchange pursuant to this Act or pursuant to other law 
applicable to lands managed by the Secretary of Agriculture shall be 
automatically segregated from appropriation under the public land law, 
including the mining laws, for ninety days after acceptance of title by 
the United States. Such segregation shall be subject to valid existing 
rights as of the date of such acceptance of title. At the end of such 
ninety day period, such segregation shall end and such lands shall be 
open to operation of the public land laws and to entry, location, and 
patent under the mining laws except to the extent otherwise provided by 
this Act or other applicable law, or appropriate actions pursuant 
thereto.

(Pub. L. 94-579, title II, Sec. 206, Oct. 21, 1976, 90 Stat. 2756; Pub. 
L. 100-409, Secs. 3, 9, Aug. 20, 1988, 102 Stat. 1087, 1092.)

                       References in Text

    This Act, referred to in subsecs. (a), (b), (d)(1), (e), (f)(1), 
(2)(B)(ii), (g), (h)(1), and (i), is Pub. L. 94-579, Oct. 21, 1976, 90 
Stat. 2743, as amended, known as the Federal Land Policy and Management 
Act of 1976. For complete classification of this Act to the Code, see 
Tables.
    Act of January 22, 1983 (commonly known as the ``Small Tracts 
Act''), referred to in subsec. (h)(2), is Pub. L. 97-465, Jan. 12, 1983, 
96 Stat. 2535, which enacted sections 521c to 521i of Title 16, 
Conservation, and amended section 484a of Title 16. For complete 
classification of this Act to the Code, see Tables.
    The mining laws, referred to in subsec. (i), are classified 
generally to Title 30, Mineral Lands and Mining.
    The public land law, referred to in subsec. (i)(2), is classified 
generally to this title.


                               Amendments

    1988--Subsec. (b). Pub. L. 100-409, Sec. 3(b), inserted 
``concerned'' after ``Secretary'' in first sentence.
    Pub. L. 100-409, Sec. 9, inserted provision relating to waiver of 
cash equalization payments.
    Subsec. (c). Pub. L. 100-409, Sec. 3(c), amended subsec. (c) 
generally. Prior to amendment, subsec. (c) read as follows: ``Lands 
acquired by exchange under this section by the Secretary which are 
within the boundaries of the National Forest System may be transferred 
to the Secretary of Agriculture and shall then become National Forest 
System lands and subject to all the laws, rules, and regulations 
applicable to the National Forest System. Lands acquired by exchange by 
the Secretary under this section which are within the boundaries of 
National Park, Wildlife Refuge, Wild and Scenic Rivers, Trails, or any 
other System established by Act of Congress may be transferred to the 
appropriate agency head for administration as part of such System and in 
accordance with the laws, rules, and regulations applicable to such 
System.''
    Subsecs. (d) to (i). Pub. L. 100-409, Sec. 3(a), added subsecs. (d) 
to (i).


            Congressional Statement of Findings and Purposes

    Section 2 of Pub. L. 100-409 provided that:
    ``(a) Findings.--The Congress finds and declares that--
        ``(1) land exchanges are a very important tool for Federal and 
    State land managers and private landowners to consolidate Federal, 
    State, and private holdings of land or interests in land for 
    purposes of more efficient management and to secure important 
    objectives including the protection of fish and wildlife habitat and 
    aesthetic values; the enhancement of recreation opportunities; the 
    consolidation of mineral and timber holdings for more logical and 
    efficient development; the expansion of communities; the promotion 
    of multiple-use values; and fulfillment of public needs;
        ``(2) needs for land ownership adjustments and consolidation 
    consistently outpace available funding for land purchases by the 
    Federal Government and thereby make land exchanges an increasingly 
    important method of land acquisition and consolidation for both 
    Federal and State land managers and private landowners;
        ``(3) the Federal Land Policy and Management Act of 1976 [Pub. 
    L. 94-579, see Short Title note set out under section 1701 of this 
    title] and other laws provide a basic framework and authority for 
    land exchanges involving lands under the jurisdiction of the 
    Secretary of the Interior and the Secretary of Agriculture; and
        ``(4) such existing laws are in need of certain revisions to 
    streamline and facilitate land exchange procedures and expedite 
    exchanges.
    ``(b) Purposes.--The purposes of this Act [see Short Title of 1988 
Amendment note set out under section 1701 of this title] are:
        ``(1) to facilitate and expedite land exchanges pursuant to the 
    Federal Land Policy and Management Act of 1976 and other laws 
    applicable to exchanges involving lands managed by the Departments 
    of the Interior and Agriculture by--
            ``(A) providing more uniform rules and regulations 
        pertaining to land appraisals which reflect nationally 
        recognized appraisal standards; and
            ``(B) establishing procedures and guidelines for the 
        resolution of appraisal disputes.[;]
        ``(2) to provide sufficient resources to the Secretaries of the 
    Interior and Agriculture to ensure that land exchange activities can 
    proceed consistent with the public interest; and
        ``(3) to require a study and report concerning improvements in 
    the handling of certain information related to Federal and other 
    lands.''


                   Land Exchange Funding Authorization

    Section 4 of Pub. L. 100-409 provided that: ``In order to ensure 
that there are increased funds and personnel available to the 
Secretaries of the Interior and Agriculture to consider, process, and 
consummate land exchanges pursuant to the Federal Land Policy and 
Management Act of 1976 [Pub. L. 94-579, see Short Title note set out 
under section 1701 of this title] and other applicable law, there are 
hereby authorized to be appropriated for fiscal years 1989 through 1998 
an annual amount not to exceed $4,000,000 which shall be used jointly or 
divided among the Secretaries as they determine appropriate for the 
consideration, processing, and consummation of land exchanges pursuant 
to the Federal Land Policy and Management Act of 1976, as amended, and 
other applicable law. Such moneys are expressly intended by Congress to 
be in addition to, and not offset against, moneys otherwise annually 
requested by the Secretaries, and appropriated by Congress for land 
exchange purposes.''


                            Savings Provision

    Section 5 of Pub. L. 100-409 provided that: ``Nothing in this Act 
[see Short Title of 1988 Amendment note set out under section 1701 of 
this title] shall be construed as amending the Alaska Native Claims 
Settlement Act (Public Law 92-203, as amended) [43 U.S.C. 1601 et seq.] 
or the Alaska National Interest Lands Conservation Act (Public Law 96-
487, as amended) [see Tables for classification] or as enlarging or 
diminishing the authority with regard to exchanges conferred upon either 
the Secretary of the Interior or the Secretary of Agriculture by either 
such Acts. If any provision of this Act or the application thereof is 
held invalid, the remainder of the Act and the application thereof shall 
not be affected thereby. Nothing in this Act shall be construed to 
change the discretionary nature of land exchanges or to prohibit the 
Secretary concerned or any other party or parties involved in a land 
exchange from withdrawing from the exchange at any time, unless the 
Secretary concerned and the other party or parties specifically commit 
otherwise by written agreement.''

                  Section Referred to in Other Sections

    This section is referred to in sections 1715, 1718, 1719 of this 
title; title 16 sections 410aaa-77, 460kk, 460mm-1, 460uu-43, 460ccc-4, 
521b, 539m-11, 545b; title 25 section 1776c; title 30 sections 193, 
1260.


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