S. Hrg. 100-237 NATIONAL FORESTS AND PUBLIC UNDS OF NEVADA ENHANCE- MENT ACT OF 1987 AND THE NEVADA-FLORIDA LAND EX- CHANGE AUTHORIZATION ACT OF 1987 r. NOV X HEARING BEFORE THE SUBCOMMITTEE ON PUBLIC LANDS, NATIONAL PAEKS AND FORESTS OF THE COMMITTEE ON ENERGY AND NATURAL RESOURCES UNITED STATES SENATE ONE HUNDREDTH COMPRESS FIRST SESSION ON S. 59 ^^^"^^^ A BILL ENTITLED THE "NATIONAL FORESTS AND PUBLIC LANDS OF NEVADA ENHANCEMENT ACT OF 1987" S. 854 ENTITLED THE "NEVADA-FLORIDA LAND EXCHANGE AUTHORIZATION ACT OF 1987" JUNE 30, 1987 ' CEPOSITORY SHIPPING LIST# ^7-{?^a-P Printed for the use of the Committee on Energy and Natural Resources Bostciii, ivijn> «^.16 S. Hrg. 100-237 NATIONAL FORESTS AND PUBLIC LANDS OF NEVADA ENHANCE- MENT ACT OF 1987 AND THE NEVADA-FLORIDA LAND EX- CHANGE AUTHORIZATION ACT OF 1987 HEARING BEFORE THE SUBCOMMITTEE ON PUBLIC LANDS, NATIONAL PABKS AND FORESTS OF THE COMMITTEE ON ENERGY AND NATURAL RESOUKCES UNITED STATES SENATE ONE HUNDREDTH CONGRESS FIRST SESSION ON S. 59 A BILL ENTITLED THE "NATIONAL FORESTS AND PUBLIC LANDS OF NEVADA ENHANCEMENT ACT OF 1987" S. 854 ENTITLED THE "NEVADA-FLORIDA LAND EXCHANGE AUTHORIZATION ACT OF 1987" JUNE 30, 1987 Printed for the use of the Committee on Energy and Natural Resources U.S. GOVERNMENT PRINTING OFFICE 77-283 WASHINGTON : 1987 For sale by the Superintendent of Documents, Congressional Sales Office U.S. Government Printing Office, Washington, DC 20402 COMMITTEE ON ENERGY AND NATURAL RESOURCES J. BENNETT JOHNSTON, Louisiana, Chairman DALE BUMPERS, Arkansas JAMES A. McCLURE, Idaho WENDELL H. FORD, Kentucky MARK O. HATFIELD, Oregon HOWARD M. METZENBAUM, Ohio LOWELL P. WEICKER, Jr., Connecticut JOHN MELCHER, Montana PETE V. DOMENICI, New Mexico BILL BRADLEY, New Jersey MALCOLM WALLOP, Wyoming JEFF BINGAMAN, New Mexico FRANK H. MURKOWSKI, Alaska TIMOTHY E. WIRTH, Colorado DON NICKLES, Oklahoma WYCHE FOWLER, Jr., Georgia CHIC HECHT, Nevada KENT CONRAD, North Dakota DANIEL J. EVANS, Washington Daryl H. Owen, Staff Director D. Michael Harvey, Chief Counsel Frank M. Gushing, Staff Director for the Minority Gary G. Ellsworth, Chief Counsel for the Minority Subcommittee on Pubuc Lands, National Parks and Forests DALE BUMPERS, Arkansas, Chairman JEFF BINGAMAN, New Mexico, Vice Chairman JOHN MELCHER, Montana MALCOLM WALLOP, Wyoming BILL BRADLEY, New Jersey LOWELL P. WEICKER, Jr., Connecticut TIMOTHY E. WIRTH, Colorado MARK O. HATFIELD, Oregon WYCHE FOWLER, Jr., Georgia PETE V. DOMENICI, New Mexico KENT CONRAD, North Dakota FRANK H. MURKOWSKI, Alaska CHIC HECHT, Nevada J. Bennett Johnston and James A. McClure are Ex Officio Members of the Subcommittee Thomas B. Williams, Senior Professional Staff Member Beth Norcross, Professional Staff Member (n) CONTENTS Page S. 59 4 S. 854 13 STATEMENTS Bechtel, Dennis A., coordinator, Clark County Department of Comprehensive Planning, Clark County, NV 254 Bilbray, Hon. James H., a U.S. Representative from the State of Nevada 40, 203 Bok, Erik, Federal legislative representative, Los Angeles Department of Water and Power, Los Angeles, CA 95 Bryan, Hon. Richard H., Governor, State of Nevada 19, 35 Bumpers, Hon. Dale, a U.S. Senator from the State of Arkansas 2 Burford, Robert F., Director, Bureau of Land Management, Department of the Interior 58 Burge, Betty, Desert Tortoise Council, Las Vegas, NV 117 Callison, Charles H., public lands consultant, Natural Resources Defense Council 198 Cavanaugh, Wallace J., Crown Development & Mining Co., Wellington, NV 295 Clark, Ralph E., executive vice president and general manager, Aerojet Nevada, North Las Vegas, NV 277 Fascell, Hon. Dante B., a U.S. Representative from the State of Florida 44 Harris, Gail, Ad Hoc Committee on Aerojet, Las Vegas, NV 206 Hecht, Hon. Chic, a U.S. Senator from the State of Nevada 18 Horn, William P., Assistant Secretary for Fish and Wildlife and Parks, De- partment of the Interior ;.... 68 Hornbeck, David A., Toiyabe Chapter of the Sierra Club, Reno, NV 133 Laxalt, Hon. Paul, a former U.S. Senator from the State of Nevada 48 Leonard, George M., Associate Chief, Forest Service, Department of Agricul- ture 92 Perry-Jones, Jean, Evergreen Alliance, Mount Charleston, NV 148 Reid, Hon. Harry, a U.S. Senator from the State of Nevada 54 Smith, Lenard, commissioner, Lincoln County, Pioche, NV 225 Vucanovich, Hon. Barbara F., a U.S. Representative from the State of Nevada 56 Wadsworth, Shelley, executive secretary. Economic Development Task Force, Lincoln County, NV 234 Wagner, Sue, Nevada State senator 30 Watson, Charles S., Jr., director, Nevada Outdoor Recreation Association, Inc., Carson City, NV 171 Wilson, Thomas R.C., cochairman, National Forest Task Force of Nevada 23 Wright, Fred, legislative and issues representative, Nevada Wildlife Federa- tion, Inc., Reno, NV 265 (III) NATIONAL FORESTS AND PUBLIC LANDS OF NEVADA ENHANCEMENT ACT OF 1987 AND THE NEVADA-FLORIDA LAND EXCHANGE AUTHOR- IZATION ACT OF 1987 TUESDAY, JUNE 30, 1987 U.S. Senate, Subcommittee on Pubuc Lands, National Parks and Forests, Committee on Energy and Natural Resources, Washington, DC. The subcommittee met, pursuant to notice, at 2:05 p.m., in room SD-366, Dirksen Senate Office Building, Hon. Chic Hecht, presid- ing. Senator Hecht. Senator Bumpers had hoped to be here. He might be here a little bit later. I know a lot of people have come a long way. So, in the interest of time, we are going to start right away, and if Senator Bumpers comes in, he will take over the Chair. [The prepared statement of Senator Bumpers and the texts of S. 59 and S. 854 follow:] (1) STATEMENT BY THE HONORABLE DALE BUMPERS The purpose of the hearing this afternoon is to receive testimony on two measures currently pending before the Subcommittee. The measures are: S. 59 - the "National Forest and Public Lands of Nevada Act of 1987"; and S. 854 - the "Nevada - Florida Land Exchange Authorization Act of 1987". Each of these measures is cosponsored by the two Nevada Senators, Senators Hecht and Reid, and there are companion measures pending in the House of Representatives. At this point I will place copies of these bills in the Hearing Record. A version of S. 59 - the so-called Nevada Interchange bill - passed the House last year. Primarily because of a dispute over language regarding federal reserved water rights, that mesure did not pass the Senate. That issue is still with us in this bill and it will have to be resolved before this measure can be enacted. In addition, I am particularly interested in how this measure will effect the management of roadless areas administered by the BLM and the Forest Service. - 2 - The Aerojet land exchange embodied in S. 854 has proven to be fairly controversial. While the exchange is supported by the entire Nevada congressional delegation as well as the Governor, a number of conservation groups will present testimony today in opposition to this proposed exchange. While I generally favor land exchanges, I want to be sure that the United States receives a fair deal and that the public interest is protected. I plan to examine this particular proposal closely to insure that these elements are present. 100th congress l8T Session S.59 A bill entitled the "National Forests and Public Lands of Nevada Enhancement Act of 1987". m THE SENATE OF THE UNITED STATES Januaey 6, 1987 Mr. Hecht (for himself and Mr. Reid) introduced the following bill; which was read twice and referred to the Committee on Energy and Natural Resources A BILL A bill entitled the "National Forests and Public Lands of Nevada Enhancement Act of 1987". 1 Be it enacted by the Senate and Hotise of Representa- 2 tives of the United States of America in Congress assembled, 3 SECTION 1. SHORT TITLE. 4 This Act may be cited as the "National Forests and 5 Public Lands of Nevada Enhancement Act of 1987." 6 SEC. 2. FINDINGS AND PURPOSES. 7 (a) Findings. — The Congress finds that — 8 (1) the public lands transferred by this Act contain 9 valuable natural resources (such as watershed, range, 10 outdoor recreation and wildlife habitat) which will be 2 1 enhanced by the professional, multiple-use management 2 of the Forest Service; and that certain national forest 3 lands would be enhanced by the professional multiple- 4 use management of the Bureau of Land Management; 5 (2) the public which uses these natural resources 6 will be benefited by such adjustments in management; 7 (3) the public lands transferred by this Act to the 8 Forest Service are adjacent to existing national forests 9 and, in many cases, are part of the same watersheds 10 and mountain ranges, and placing the management of 11 these lands under the administration of one agency, the 12 Forest Service, will improve efficiency and be cost ef- 13 fective; that similar efficiency and effectiveness will 14 result from transfer of certain national forest lands to 15 the Bureau of Land Management and; 16 (4) there is a consensus in Nevada that these 17 lands should be added to the national forests and that 18 some national forest lands should be transferred to the 19 Bureau of Land Management for management. 20 (b) PuEPOSES. — The purposes of this Act are — 21 (1) to transfer to the Forest Service, United 22 States Department of Agriculture, certain public lands 23 in Nevada currently administered by the Bureau of 24 Land Management, United States Department of the 25 Literior. These pubUc lands are contiguous to the S 59 IS 3 1 Toiyabe and Inyo National Forests and will become 2 National Forest System lands; and 3 (2) to transfer to the Bureau of Land Manage- 4 ment, United States Department of the Interior, cer- 5 tain lands in Nevada currently administered by the 6 Forest Service, United States Department of Agricul- 7 ture. These lands are contiguous to other public lands 8 and will be managed as such. 9 SEC. 3. DEFINITIONS. 10 As used in this Act — 11 (a) the term "public lands" means the lands ad- 12 ministered by the Bureau of Land Management, United 13 States Department of the Interior, as defined in section 14 103(3) of the Federal Land Policy and Management 15 Act of 1976 (43 U.S.C. 1701(e)); and 16 (b) the term "National Forest lands" or "National 17 Forest System lands" means the lands administered by 18 the Forest Service, United States Department of Agri- 19 culture, as defined in section 11 of the Forest and 20 Rangeland Renewable Resources Planning Act of 1974 21 (16 U.S.C. 1609(a)). 22 SEC. 4. TRANSFER OF LANDS. 23 (a) Teansfeb of Public Lands to the Foeest 24 Seevice. — Effective one hundred and eighty days after the 25 enactment of this Act, the approximately five hundred eleven s sr IS * 4 1 thousand acres of public lands designated for inclusion in the 2 National Forest System on two maps entitled "Nevada Inter- 3 change- A" and "Nevada Interchange-B" and dated Janu- 4 ary 1987, are hereby transferred to the Secretary of Agricul- 5 ture and shall become part of the Toiyabe National Forest or 6 the Inyo National Forest. 7 (b) Bound ABIES of Toiyabe and Inyo Na- 8 tional Fobests. — 9 (1) The boundaries of the Toiyabe National Forest 10 and the Inyo National Forest are hereby modified to 11 reflect the transfer of lands under subsection (a). 12 (2) For the purpose of section 7 of the Land and 13 Water Conservation Fund Act of 1965 (16 U.S,C. 14 4601-9), the boundaries of the Toiyabe National 15 Forest and the Inyo National Forest, as modified by 16 this subsection, shall be treated as if they were the 17 boundaries of those National Forests as of January 1, 18 1965. 19 (c) Teansfeb of Fobest Seevice Lands to the 20 Bubeau of Land Management. — Effective one hundred 21 and eighty days after the enactment of this Act, the approxi- 22 mately twenty three thousand acres of national forest lands 23 identified for management by the Bureau of Land Manage- 24 ment on a map entitled "Nevada Interchange- A" and dated S 59 B 8 5 1 January 1987, are hereby transferred to the Secretary of the 2 Interior. 3 (d) Maps. — The maps referred to in subsection (a) and 4 subsection (c) shall be on file and available for public inspec- 5 tion, in the offices of the Chief, Forest Service, Department 6 of Agriculture, and the Director, Bureau of Land Manage- 7 ment, Department of the Interior. The Secretaries of Agri- 8 culture and the Interior may make changes to the maps to 9 correct technical errors. 10 (e) Effective one hundred and eighty days after enact- 11 ment of this Act, lands transferred by subsection (a) of this 12 section to the jurisdiction of the Secretary of Agriculture 13 shall be subject to the planning requirements of section 6 of 14 the Forest and Rangeland Renewable Resources Planning 15 Act of 1974, and lands transferred by subsection (c) of this 16 section to the jurisdiction of the Secretary of the Interior 17 shall be subject to the planning requirements of the Federal 18 Land Policy and Management Act of 1976. All transferred 19 lands shall continue to be managed in accordance with plans 20 in effect on the date of enactment of this Act until considered 21 in plans developed under applicable provisions of law. If no 22 plans are in effect on the date of enactment of this Act, the 23 respective transferred lands shall be managed in a manner 24 consistent with other national forest or public lands, as the 25 case may be, in the vicinity until a plan is developed under S 59 IS 6 1 applicable provisions of law. Nothing in this Act shall of itself 2 require the amendment or revision of the existing plans gov- 3 eming public lands or national forest affected by the addition 4 of or deletion of lands transferred by this Act. 5 SEC. 5. WILDERNESS SUITABILITY. 6 (a) BuEEAU OF Land Management Study 7 Aeeas. — Any area or portion thereof designated as a 8 Bureau of Land Management WUdemess Study Area (Mount 9 Stirling, NV-050-401; LaMadre Mountains, NV-050-412) 10 on the maps referred to in section 3(a) which is made a part 11 of the National Forest System by this Act shall be managed 12 by the Secretary of Agriculture in accordance with the provi- 13 sions of section 603(c) of the Federal Land Policy and Man- 14 agement Act of 1976 (43 U.S.C. 1782) until Congress desig- 15 nates that area as wilderness or releases it from further wil- 16 demess consideration. 17 (b) Roadless Aeeas not Recommended as Wil- is DEENESS. — Any roadless area or portion thereof which is 19 made a part of the National Forest System by this Act and 20 which has been considered but not recommended for designa- 21 tion as wilderness pursuant to section 202 of the Federal 22 Land Policy and Management Act of 1976 (43 U.S.C. 1712) 23 shall be deemed to have been adequately considered for wil- 24 demess for the purposes of the initial land management plans 25 hereafter required for such lands by section 6 of the Forest S S9 B 10 7 1 and Rangeland Renewable Resources Planning Act of 1974 2 (16 U.S.C. 1604). The Secretary of Agriculture shaU not be 3 required to manage such area to preserve wilderness values 4 or to review the wilderness option before the revision of such 5 plans, but the Secretary shall review the wilderness option 6 for such area when such plans are revised, 7 (c) Any roadless area, or portion thereof on national 8 forest lands recommended by the Secretary of Agriculture for 9 wOdemess which will be transferred to the jurisdiction of the 10 Secretary of the Interior pursuant to section 3(c) of this Act, 11 shall be managed by the Secretary of the Interior in accord- 12 ance with the provisions of section 603(c) of the Federal 13 Land PoUcy Management Act, or other specific statutory di- 14 rection. 15 (d) No Addition to the National Wildebness 16 Peesebvation System. — Nothing in the Act shall be con- 17 strued to add lands to the National Wilderness Preservation 18 System. 19 SEC. 6. MANAGEMENT OF MINERAL RESOURCES. 20 Nothing in this Act shall be construed to change the 21 laws governing the management of mineral resources. 22 SEC. 7. ADMINISTRATION OF RECEIPTS. 23 The acreage added to the Toiyabe and Inyo National 24 Forests in the State of Nevada by this Act shall not be count- 25 ed in determining the distribution of the Twenty-Five Per- S S9 IS 11 8 1 cent Fund between the States of California and Nevada 2 under the Act of May 23, 1908, as amended: Provided, how- 3 ever, That the acreage added to these forests shall be counted 4 in the distribution of the Twenty-Five Percent Fund among 5 the affected counties in Nevada. 6 SEC. 8. WATER RIGHTS. 7 (a) Peiob Existing Wateb Rights. — Nothing in this 8 Act shall be construed to expand or diminish any water right 9 of the United States under State or Federal law which the 10 United States had, or may be determined to have had by 1 1 purchase, reservation, or otherwise, before the date of enact- 12 ment of this Act. 13 (b) No Federal Resebved Wateb Rights by 14 Reason of Tbansfeb. — The designation and withdrawal 15 of newly established national forest lands by this Act shall 16 not create any reserved water rights in the United States by 17 reason of this Act with respect to those lands. 18 (c) Right to Acquibb and Dispose op Wateb 19 Rights. — Nothing in this Act shall affect the right of the 20 United States or of any person to acquire or dispose of water 21 or water rights under applicable law. 22 SEC. 9. VALID EXISTING RIGHTS. 23 (a) Nothing in this Act shall affect valid existing rights 24 of any person under any authority of law as of the date of 25 enactment of this Act. SS9 B 12 9 1 (b) Authorizations to use lands transferred by this Act 2 which were issued prior to the date of transfer shall remain 3 subject to the laws and regulations under which they were 4 issued: Provided, That such laws and regulations will be ex- 5 ercised by the Secretary to whom jurisdiction over affected 6 lands has been transferred by this Act. However, renewals 7 and extensions shall be subject to the laws and regulations 8 pertaining to the agency which has jurisdiction over the land 9 at the time of renewal or extension. The change of adminis- 10 trative jurisdiction resulting from the enactment of this Act 1 1 shall not in itself constitute a basis for denying or approving 12 the renewal or reissuance of any such authorization, 13 SEC. 10, ADMINISTRATIVE APPEALS, 14 With respect to the lands transferred by section 3, any 15 formal administrative appeal, adjudication, or review pending 16 on the date of transfer of jurisdiction under this Act shall be 17 completed by the Secretary of the Department in which it 18 was initiated except that the Secretary of the Department 19 having jurisdiction over the land pursuant to this Act may 20 exercise final administrative review. O S S9 B 13 n 100th congress 1st Session S.854 Entitled the "Nevada-Florida Land Exchange Authorization Act of 1987' m THE SENATE OF THE UNITED STATES Mabch 26 flegislative day, March 24), 1987 Mr. Hecht (for himself and Mr. Reid) introduced the following bill; which was read twice and referred to the Committee on Energy and Natural Resources A BILL Entitled the "Nevada-Florida Land Exchange Authorization Act of 1987". 1 Be it enacted by the Senate and House of Representa- 2 tives of the United States of America in Congress assembled, 3 SECTION 1. SHORT TITLE. 4 This Act may be cited as the "Nevada-Florida Land 5 Exchange Authorization Act of 1987". 6 SEC. 2. BASIS OF EXCHANGE. 7 (a) Authorization of Exchange. — Notwithstand- 8 ing any other provision of law, and subject to valid existing 9 rights, the Secretary of the Literior (hereinafter referred to as 10 the Secretary) is authorized and directed to exchange ap- 11 proximately fifty-one thousand seven hundred and ten acres 14 2 1 of public lands and interests in lands and reserved mineral 2 estate in the State of Nevada, as generally depicted upon 3 maps entitled "Public Domain Lands to be Exchanged to 4 Aerojet-General Corporation, Clark and Lincohi Counties, 5 Nevada" and "Public Domain Lands to be Exchanged to 6 Aerojet-General Corporation, Mineral County, Nevada" both 7 dated February 1987, and available for public inspection in 8 the Office of the Secretary and the Nevada State Office of 9 the Bureau of Land Management, for approximately four 10 thousand six hundred and sixty acres of private lands in Dade 11 County, Florida, as generally depicted upon a map entitled 12 "Aerojet-General Corporation Lands to be Exchanged to 13 United States Fish and Wildlife Service, Dade County, Flori- 14 da," dated February 1987, and available for inspection in the 15 Office of the Secretary. 16 (bKl) Legal Dbscbiption. — Within six months after 17 the enactment of this Act, the Secretary shall file legal de- 18 scriptions of the lands indicated on the maps referenced in 19 subsection (a) with the Conmiittee on Literior and Insular 20 Affairs of the United States House of Representatives, and 21 with the Committee on Energy and Natural Resources of the 22 United States Senate. Such legal descriptions shaU have the 23 same force and effect as if included in this Act, except that 24 the Secretary may correct clerical and typographical errors 25 in such legal descripticms and in. the maps referred to in sub- - S 854 IS 15 3 1 section (a). The legal descriptions shall be on file and avail- 2 able for public inspection in the offices of the Bureau of Land 3 Management, Department of the Interior. 4 (2) Inteeim Conveyance of Unsueveyed Lands. — 5 Lands to be conveyed pursuant to this Act, as indicated on 6 the maps referenced in subsection (a), which have not been 7 surveyed, or for which any boundary needs to be surveyed, 8 shall be conveyed by an "interim conveyance" to the party 9 entitled to the lands. The force and effect of such an interim 10 conveyance shall be to convey to and vest in the recipient 11 exactly the same right, title and interest in and to the lands 12 as the recipient would have received had he been issued a 13 patent by the United States. Upon survey of lands covered by 14 an interim conveyance a patent thereto shall be issued to the 15 recipient. The boundaries of the lands as defined and con- 16 veyed by the interim conveyance, in accord with the maps 17 referenced in subsection (a), shall not be altered, but may be 18 redescribed in the patent, where necessary, in reference to 19 the plat of survey. 20 (c) Exchange Requieements. — Notwithstanding any 21 other provision of law, the exchange authorized and directed 22 herein shall be performed in accordance with the terms of 23 this Act and the draft exchange agreement entitled Land Ex- 24 change Agreement between Aerojet-General Corporation 25 and the United States of America dated . The S 854 IS 16 4 1 Secretary shall execute such agreement and implement this 2 exchange within ninety days of enactment of this Act. 3 SEC. 3. TRANSFER OF FLORIDA LANDS TO WATER MANAGE- 4 MENT DISTRICT. 6 (a) Sale to South Floeida Watee Management 6 DiSTEiCT. — Notwithstanding any other provision of law, the 7 Secretary of the Interior is authorized and directed to sell by 8 issuance of a quitclaim deed the lands acquired in accordance 9 with the provisions of section 2(a) to the South Florida Water 10 Management District at such price as may be mutually 11 agreed upon by the Secretary and the District: Provided, 12 That such price shall not be less than fair market value. 13 (b) Management of Peopeety. — Pending the com- 14 pletion of the sale authorized in subsection (a), the Secretary 15 is authorized to enter into a Memorandum of Agreement with 16 the South Florida Water Management District providing for 17 management of the property by the District in accordance 18 with the rules and regulations applicable to the lands owned 19 by the District. 20 SEC. 4. USE OF FUNDS RECEIVED. 21 (a) Use of P^tnds Received by United States. — 22 Notwithstanding any other provision of law, any funds re- 23 ceived by the United States from the sale of lands authorized 24 by section 3(a) shall be deposited in the "Contributed Fund 25 Account" of the United States Fish and Wildlife Service, and S 854 IS 17 5 1 shall be utilized for the purchase of additional non-publicly 2 owned lands at existing elements of the National Wildlife 3 Refuge System in the State of Florida. Such funds shall be 4 available for obligation without appropriation. 5 (b) Notice to Congeess. — The Secretary shall notify 6 the Committee on Appropriations of the Senate, and the 7 Conunittee on Appropriations of the House of Representa- 8 tives, of any proposal to obUgate funds received in accord- 9 ance with the provisions of subsection (a) at least sixty days 10 prior to the actual obUgation of such funds. O S 854 IS 18 OPENING STATEMENT OF HON. CHIC HECHT, A U.S. SENATOR FROM THE STATE OF NEVADA Senator Hecht. My statement was for Senator Bumpers, and I want to read it. But I want you to know that I am not talking to myself. I am talking to Senator Bumpers. Mr. Chairman, I commend you for holding these hearings today on two pieces of legislation that will greatly benefit the citizens of Nevada. S. 59 and S. 854 both have the strong support of the entire Nevada delegation. S. 59 transfers approximately 511,000 acres of Nevada's BLM land to the Forest Service, and approximately 23,000 acres of land from the Forest Service to the BLM. S. 59 is very similar to last year's Nevada Interchange Bill, S. 2698. The advantage of S. 59 is that it will streamline and improve public land management in Nevada, and also ultimately make management less expensive for the taxpayers. The Interchange Bill will smooth out some irregular boundaries between the Forest Service and the BLM, but no sudden changes are anticipated in the daily, on-the-ground management of any of these lands after they are transferred. S. 854 will accomplish a land exchange between the U.S. Fish and Wildlife Service and Aerojet General Corporation. The Federal Government will get several thousand acres of Aerojet-owned lands in Florida, which will then be sold to the State of Florida. The proceeds will be used to buy additional land for the National Wildlife Refuge System in Florida. In turn. Aerojet will receive a large tract of BLM land in southern Nevada. S. 854 allows everyone to win. The Federal Government wins, the State of Florida wins, the State of Nevada wins, and Aerojet Gener- al wins. Perhaps most importantly of all, our Nation's ever-shrink- ing and irreplaceable wetland resources and the wildlife they sup- port come out a definite winner. Mr. Chairman, many Nevadans have been working hard for more than two years on these bills. I am hopeful that this Commit- tee will act quickly and report out both bills. Mr. Chairman, I have statements on S. 59 that I would like in- serted into the record. They are from Governor Bryan of Nevada and two co-chairmen of the National Forest Task Force of Nevada, Spike Wilson and Sue Wagner. Regarding S. 854, I would like to insert into the record a letter from Governor Bryan and a resolution from the Nevada legisla- ture, both in strong support of this bill. I would also submit the Governor's written testimony on S. 854 into the record. Statements received by the subcommittee from Congressman Bilbray, Con- gressman Fascell, and former U.S. Senator Paul Laxalt will also be placed in the record at this point. [The material referred to follows:] 19 STATEMENT OF THE HONORABLE RICHARD H. BRYAN GOVERNOR OF NEVADA submitted to the SUBCOMMITTEE ON PUBLIC LANDS, NATIONAL PARKS AND FORESTS COMMITTEE ON ENERGY AND NATURAL RESOURCES UNITED STATES SENATE on S. 59 - NATIONAL FORESTS AND PUBLIC LANDS OF NEVADA ENHANCEMENT ACT June 30, 1987 20 TESTIMOHY BEFORE THE SENATE COMMITTEB OH ENERGY AND NATURAL RESOURCES SUBCOMMITTRB ON PUBUC LANDS, NATIONAL PARKS AND FORESTS JUNE SO, 1987 S. 59j National Foreats and Public Lands of Nevada Enhancement Act of 1987 Mr. Chairman, memben of tha committee, Nevada apprectatti the opportunity to enter testimony today on 9. 59, the National Forests and Public Lands of Nevada Enhancement Act of 1987. We all recall that more than two years ago the Reagan administration unveiled a massive land interchange proposal, involving more than 35 million acres of land nationwide. Public response was swift and clear. This was too massive a change and was proposed with too little attention to the impaeti on local communities and private citizens. In Nevada, the original land swap proposal would have virtually wiped out our national forests. Nevadani roae with one voice in defense of the national fores;5°' the state. Ranchers, miners, conservationists and wildlife advocates were united in opposition to the transfer of more than 80% of the land managed by the ForeNt Service to the Bureau of Land Management The rallying cry was to keep the green on the map of Nevada. In my taatimony' on that original proposal, given at a public hearing almost exactly two yean ago today, I stressed that "the complex needs of the public lands that oomprisc one third of our nations's lands cannot be adequately addressed with a dngle broad-brush plan dlotated from the national level It was a mistake to start at the top with one national concept map that mandated wholesale transfer of entire regions, without consideration of special rasouroa conditions and the Impacts on local and regional eoonomiea." However, I pledged our cooperation with mere sensible efforts to simplify agency boundaries on a stat*-by-stata basis. 21 Page 2 The Wll before you today repre$ent« such an effort. Within a year after the original federal land swap proposal, Nevadant had reached agreement on a package of seniible agency boundary adjustment* that would enhance public land management while increasing agency efficiency. Introduced laat session as the National Forest of Nevada Enhancement Act of 1986, it called for the transfer of soma 531,000 acres of land from the Bureau of Land Management to the Forest Service, and approximately 23,000 acres from the Forest Service to the Bureau. It would simplify boundary lines and consolidate agency holdings. One of its major strengths is the consolidation in Forest Service management of heavily used recreation lands near the metropolitan areas of Las Vegas and Reno. As you recall, this bill passed in the House of Representatives, but did not come to a vote in the Senate before the end of the 9»th Congress. The State of Nevada stin strongly supports this proposal. It achieves the goals the Reagan administration set for its original land swap proposal! (1) It would Improve service to the public. (2) It would improve administrative efficiency. (3) It would reduce the oost of doing business. This bill has two Important additional benefits! (1) It was developed by and has the support of Nevadans. (2) It would enhance the management of our land and resources, including sensitive watershed areas, wildlife habitat, graring resoireea, mineral resources, and increasingly valuable recreational opportinities. \ ■1 22 Page 3 You may not* that the bUl baforo you today differs from the 1986 Enhaneemant Aet In ona important way. Tha aarller blU Ineludad tha tranafar to Forait Servtea Jurladietlon of aoma landt naar tha elty of Rano on tha slopas of Paavlna Mountain, and thaaa landl hava baan dalatad from the praaant bllL Paavlna la a daaart paak that looms ovar tha dty of Rano and la haav&y uaad by elty rasldants aaaklng opan land for raoraatien. It also provtdaa valuabla watarahad for tha dty and Its northam suburba. It U eritloal that tha mountain ba protactad. Wa faal tl»t tha original Enhanoamant Aot introduoad last yaar wai eorract in ttt avaluatlon d thaaa Ivida, and wUl oontinua to at^port thair tranafc to Foraat Sarviea managamant. In summary, and with tha amandmant dtad abev% tha Stat* of Kavada aupporta this important affort to dmpllfy tha Jirlsdiotion of fadaral land nanagaraant agsndaa within tha stat*. Ovar IS% of Navtda's land h oontrellad by fodaral agandaa. Thoaa of us who muBt llva and work with tMi fadaral praaanea raeommand thaaa dhang** aa bancfldal to both stata and nttloiv «d aak jour support 23 SQUTOI HlUOi Pnildaot Prfl T« MvMa Stata ]«a(M sum Miaa Praduotloa CaViBT ssuaBjcotanzx izm Asnom RKlrM SUta Sanatar ASSooLTMa anno Spaakar of Uia Uitily NIXE BUOLI En(lnaani<« Conaultant aAwuE BWNcr PCH-Crifid Hotal, Kaao OON OCVQTO NV Hotal/Hatal iaaoo. ASSOOLIHUI OUI Mlnorttir Laadar Ttimn MMCn OialrMMn, Cark Count; Cc^Uulonan •/iHus Fisan ;;aarlcaa fartttry Aijoe. JEAN FOn ?atlrM Stata Sanaur ^SEMLtlUK CETTO CoBsictaa Oialraaa Matural Raoureaa, Afrieultura, ■Uatn( SEMATOK cuvm C^itcaa Chairoao Natural Raaourcaa T» HAI ^varnar'9 Eiacuttva ^atataot lAM HtFna ''V Hotal/Hotal Auoe. %BCRT HEUe -feloa Coratructlon ( 3avaloiaaf]t CiapanT ZCRCE n. HIST ^asart ^asaarcn Inat, SENATCK JACOBSEN IV Stata Sanata .CHN <:SOIELO£ Landar Co. Cc^lMionar PrrYR LAXALI Attomar AJBTf LEira NV wildllfa Fa«ar«ttoa E. HAirUOLLI Sacurttr Bant of Navada Attomay SENATCK RAWSOI NV Stata Sanata KSE STUCIOJUO Slam Club DK. PAUL TUOlEl Univ. of NV— Ham SAIom UCALOC Hwoboldt Co. CoaaiaaloB BAKBAM VUCANOVIai U.S. Coetraaa CART HHISLU Evartraan Alllanea n(£D WUCHT MV wudltfa FadarattoB CUTT TOUK MV Supnaa Court THE NATIONAL FOREST TASK FORCE OF NEVADA 241 Ridge Street P.O. Box 2670 Reno, Nevada 89505-2670 (702) 322-0635 June 24, 1987 Chairman Subcommittee on Public Lands Committee on Energy and Natural Resources c/o Senator Chic Hecht U.S. Senate Washington, D.C. 20510 Dear Mr. Chairman: I want to express my thanks for giving Nevadans a change to be heard today on S 59. Because of other commitments and the relatively short notice of this hearing, I cannot be here personally today. But many from Nevada are here in spirit with me and want to express their strong support of S 59. This Bill has the support of thousands throughout Nevada who opposed the declassification and transfer to the BLM of Nevada's national forests as a part of the National Interchange legislation of the 99th Congress. Nevadans instead felt that their national forests should be increased. For that reason, our Congressional Delegation introduced S 2698 and HR 5277 of the 99th Congress, and have introduced S 59 and HR 267 of this Congress. S 59 would add to the Humboldt and Toiyabe National Forests somewhat over 500,000 acres of adjacent and abutting land which are national forest in character and would enjoy cost effective management as a part of adjacent national forest holdings. The appropriateness of this proposed transfer to the national forests was the subject of comprehensive discussion and agreement on January 22, 1986 here in Washington, D.C. by our three Co-Chairmen Fred Gibson, Sue Wagner and myself, James Parker, Assistant Director of the BLM, Max Peterson, Chief of the U.S. Forest Service, and our Congressional Delegation, then Senators Paul Laxalt and Chic Hecht, and Congressman Barbara Vucanovich and Harry Reid. 24 snuroi wmoi tmxtun m !••• ■ni* 3tat« 9«K« sDuroi viaa *r>Ma SUM nOLfi CIB90> PradUDtloa CoiWT szuicsuana am ASHMDRB •MirM Sut« Saoater iSStMLTMAI UUZD SpiMiir of ta* AUMBlr Nux ajoLi rnilnxi ln| Conaultait BAMOZ SUNT rCM-Cnnd Hetal, l«M DON DCVOTO NV Hetal/Not«l tMoe. ASStMLIMUl DUI Wflorlty L»«d«r TiuLU wiscn null III — I. Clirk CcuDtT CoalMlomn 7I1LU nSCHEII iMrlcao Fer«atrr tuoe. JEAN Fon il«tlr«d Stit« Stator AS£0*C^the same. Thank you for hearing us lly submitted. '^Thpjfias R. C. Wilson / CeJ'-Chairman v-^ational Forest Task Force Of Nevada TRCW : gmm cc: U.S. Senator Harry Reid U.S. Congresswoman Barbara Vucanovich U.S. Congressman James Bilbray Nevada State Senator Sue Wagner Mr. Fred Gibson NFTF/13 25 THE NATTONAL FOREST TASK FORCE OF NEVADA 241 Ridge Street P.O. Box 2670 Reno, Nevada 89505-2670 (702) 322-0635 •Kin* juu immur lOjumjMM nun itmimt tt ta tii^ly ion BJIBJ NtmntT UMv TMLU OOMUO rius nson iiniiMi reraKJT Umi ••Un* lUU Itmmtar aaomm» crtd «yumtur«. Hum soutoi a0vn CcBtttM aatr«a aatural iMurM* rot HIT Cowrnor't CiMufctv* VU I m HOUl/IMal I Malai Caannattoi 4 D«««IopBa : N. HIBI tttmr MR UXTOi WMUllfl r< I. lumMLU i wtna tttorw? : snaa sum Oi* M. PML null UU*. ft I c*. U.S. cut C' IT WUAM FMwaua OifT TQM September 19, 198 6 The Honorable Malcolm V/allop, Chairman Subcommittee on Public Lands Committee on Energv and Natural Resources U.S. Senate Washington, D.C. 20510 Dear Senator Wallop: I would like to submit this letter as the official testiraonv of the National Forest Task Force of Nevada at the September 19 Public Hearina on The National Forests of Nevada Enhancement Act (S2698) . The Task Force is a bipartisan organization of Nevada leaders from all parts of the state and all walks of life. We formed almost two vears ago to save Nevada's national forests, the Toivabe and Humbodt, from elimination bv the PLM/Forest Service land exchange (Interchange). The bill before vour subcommittee, which would add over a half million acres of BLM's public lands to the Toiyabe and Humboldt National Forests, is a positive outgrowth of that effort. The Task Force wholeheartedly endorses the National Forests of Nevada Enhancement Act and urges its speedy passage. THE LANDS ADDED WOOLD BE CONTIRUOUS TO THE PRESENT TOIYABE AND NATIONAL FOREST HOLDINGS AND OF THE SAME CHARACTER The proposed lands to be added are approximately ; 15,000 acres along the East slope of the Rubv Mountains l'',000 acres at Mt. Moriah 28'', 000 acres along the East slope of the Sierra Nevadas 192,000 acres in the Spring Mountain Range, enlarged up to 254,000 if Lovell Canyon and Mt . Potosi are included. 26 Senator Wallop September 19, 1986 Page 2 fntanim "'""" i"«iiim tatini StMU laaUP tSSMUMM HUn mr taoajMi om "UiontT TIULU oati CoatT CaMMK najs naoa i^nrM ForwtiT AMaa. ItourM Xaea Saoatar tUDVLnul OTTO C<^ttaa Oialnai natural ttPMian. ttnoultMW. mam SOUTO GLom C^Blltaa CbalTHB nmtunl TZX Hit CovanMT'i tiaaiAtva vw loma KT itotal/IMal taaaa. nwrr i«lm Haiaa Caaatnatloa t Da**lovMt Ceapaat cua M. HOT SOUTOf J« m stata : I inair Ca. mn riTiiT uuraar i«r Lora NT VUdiira rai C. lUfTIMLU JaaurtUBM* of I FMK imaoi ittornar Stunt I m stau : Ka snzauM Slam au* Di. riu. Twun unit, or If ■■■ JIMKI OBMJC Ht^Mlat Ca. e^Blaata U.9. GUT MIIUI n wuaifa The attached map should be made a part of this record and included in my testimonv. Each of the parcels abuts either the Toivabe or the Humboldt National Forests and is of the same character and qualit". Thev should be added to enhance the national forests and for ease of economy and management. WIDESPREAD POPULAR SUPPORT The importance of adding these lands to Nevada's national forests first surfaced at the three land exchange public hearings held in Nevada in June, 1985. Almost all testified that they w^ere opposed to anv national forest lands being transferred to the BLM, and many supported contiguous BLM public lands being transferred to the U.S. Forest Service. In Las Vegas for example, petitions with manv signatures were submitted asking that all of the PLM holdings in the Spring Mountains be classified as national forest . Thus, the concept behind the Enhancement Act was developed not bv government officials but bv citizens at the grassroots level. Furthermore, in a bipartisan show of unitv, this bill was introduced and is co-sponsored bv all four members of Nevada's Congressional Delegation. The four largest newspapers in Nevada, the Las Vegas Pevipw- Journal, the Las Veaas Sun, the Reno Gazette-Journal and the Nevada Appeal, have endorsed the Enhancement Act editorially. It is clear that the vast maioritv of Nevadans would like to see their national forests arow. INCREASED GOVERNMENT EFFICIENCY The acreage to be transferred is comparativelv en/'. M. The BLM administers 48.8 million acres in \>"?'^a, comprising 69% of the state. The Forest Service, with =.3 million acres, administers only 8%. Transferring a ' - T f million acres of BLM lands to the U.S. Forest Servi-<=> is not a significant change in the administration of '■"■!---il lands in Nevada. The four areas in the Act which wn.' ' "-e added to the national forests all abutt existina natir-'' 27 Senator Wallop September 19, 1986 Page 3 nusnson iTtiiM fmmuf 11 jua nm Itlrm StM» liwiM C^Btu* etmumm ■Kurmi IMHTMS, i4ruultw«, aaUi satm ojotu CoBUm ObIi Mural n* luT tUUUR vu lama n itoul/iMat , imur i«LM sum Oi* n. MU. nun UBtt. ar «T ^M SMCti mui N^MUt C*. forest lands and are national forest in character. For this reason, giving them to the U.S. Forest Service to administer is more efficient and, in the long run, will save the taxpaver monev. It makes economic sense for these areas to be managed by one agency instead of two. BENEFITS TO NEVADA The National Forests of Nevada Enhancement Act will provide our state with tangible economic and environmental benefits : 1. The natural resources on the transferred lands will benefit from the Forest Service's better funding and professional expertise. Quality resource management is in evervone's best interest. 2. Nevada's largest industry, tourism, gains from having more green on the map of Nevada. National Forests attract visitors and enhance a state's imaoe. 3. The Forest Service has a greater number of revenue sharing programs with state and countv agencies than the BLM. Local aovernments in Nevada will benefit financially with additional national forest acreage. THE IMPORTANCE OF THE SPRING MOUNTAIN ADDITIONS The maiority of Nevadans live in the Las Vegas area, which is one of the fastest growing metropolitan areas in the nation. Located in underground aquifers, twentv-^ive percent of the city's water originates in the Sorina Mountains. At present, only the Mt . Charleston portion of the ranoe is national forest. It is important that the entire watershed be managed by one agencv and that agencv be the U.S. Forest Service with its long historv of aualitv watershed management. Senator Wallop September 19, 19 86 Page 4 28 am tatlTM nau isao«jMu nun wa ajiBJ •V Hotal/Naul . *sso«jnui Don Nlserttr iatttr TULU eoaoD OainoM. Oarli Coaty C^HUaicMn n«js nsoa Afltrioa renacrr amm ^UJ FOB DMtrM 3tMa JnMop tSSOaLIMI CRTO CoMttu* Ctmumm untiral laarDM, Xricuiow. umiin SOUTOi OjOVCI CoBlttM Oalr^ T3« Hit Cov«ntar's Uaeu«lv« VUUUM vu wmn Mia* CaauuBtloa t 0«««iO«B* aon N. HOI OUOTt »HTI«I la«t. SOUTOI jtaamB m luta Saaata JCM n»i*K« Ca. '•■^"<— 1 tttaraar UBt LtTRI •T wuiiira Fi I. lUfTDKlI lilLULB tttaniar Stunt M JUta Saaata nag 5I11LBJUB 'Slarrt Qu* M. MUL nuji uaiT. or rrr imi SMOI K4LDi w^niat Ca. ri^imii lUHU mcuBna u.l. caacraaa CUT wiu I UltMM The Spring Mountains are valuable as an outdoor recreation area. It is the onlv area within a reasonable distance of Las Vegas which provides forests, streams, snow, skiing and an escape from summer heat. The U.S. Forest Service is the nation's leading outdoor recreation agency, providing more campgrounds, trails and public areas than anv other government entity in •-he countv. The Forest Service is the logical agencv to develop the Spring Mountains into their full recreational potential. Recently, manv citizens in Las Vegas have said that all of the Spring Mountains, not iust the northern portion, should be added to the national forest. The Task Force supports their proposal that Lovell Canvon and Mt . Potosi in the southern Spring Mountains be added as well. It is not efficient and goes against the objectives of this bill to continue to have two agencies managing the same mountain range. We have enclosed a map that shows our recommended boundary for the Sprina Mountains. AGENCY AGREEMENT On January 22, 1986, the three chairmen of our National Forests Task Force, Sue Wagner, Fred Gibson, and myself, met with all of the Nevada Congressional Delegation and with the Chief of the Forest Service, together with staff, and the Assistant Director o^ the BLM, together with staff, as well as a representative of Nevada's aovernor and others. The purpose of the meeting was to reach consensus on that part of the general interchange bill as it would affect Nevada. That group reached consensus, without ob-iection, on the present content of S2698, qualified onl" bv the observation that the Spring Mountains acreage w^s rot identified to include the Lovell Canvon and the Mt . Pr tosi areas at that time. As it became increasingly apparent that the < interchange bill had little support and would approved by the Congress during this Session, we ip and our Congressional Delegation agreed that the ccr' the general interchange bill, as it would applv to V' -ral be ■'Ha ■ of 29 Senator Wallop September 19, 1986 Page 5 '"""" "■""" am - tattn* suu Jaaur taaoajMii nun xm Kjou n Hotal/Mtal ii naontT Oali Caatr C^BUalcaan nsjs ruaa iBTteaa roramrr tua*. •MlrM SUCaSaaaUr usMLiMi am ■aural IfMoulbn, IIUiUC smiroi cL0«u Co^ttaa OaUlM TSI HIT Covarnor't Caaeutlva uautat vu ionn m KMal/itotal taaaa. Ktat mjm Haiaa Caaatruattoa 4 D*««li aOKI a. HOT aMTn Jti in jtata Jaeata jam mnwif ' Co. CU uuraar m VUdlira ttfrtua I. HUTIMLU SacintT km cf mar nuua mua t-.taraaf SEMTCt UOOi njuta Saeata nsi STVXOLUB surra Ou* pt. riuL naua UalT. at I SlMffl KILK Hi^acam Ca. U.J. Cii^jial (un iMiaLU e»iniiM IlllMai nsD watt niaif raaaratla OJTT TOWO should be introduced separatelv Conqress. Accordinglv, S2698 was Laxalt and Senator Hecht in the United States Senate. and processed bv the introduced by Senator Because of this background I have come from Nevada to pr; today. Thank vou for hear in the foregoing reasons, t J this testimonv to you 5mas R. C. Wilson, Co-Chairman National Forest Task Force Of Nevada Nevada State Senator 30 THE NATIDRAL FOREST TASK FORCE OF NEVADA P.O. Box 2670 Reno, NV 89505 ULTOS WILSON eslocnt Pro Twipm ■ vaai StaL« Smmzm fUTOR VAOia vada Sue* 5«osu ra CIBSOH clflc latliia^nat aad oauctloa rrmtmnj rni ismoFiB cirM stju Scfatcr sQisLDu* acnn eakcr of tM USMbly SE FinnT Sinvcrinc CaBSultaot RKI£ BItUNET K^nnd Motel, taae K DETOTO Houi/Houl Uaoe. SEMBLTKim DDa non^T Immomr airvoomn, Clanc isizy CoBKlAslonars E_s raoo ericao ronacry Aiaoe. AM ran) tlnd St«t* Soatar sMELTTun ccrre aal&t«« QialTBM cur»l Bjourecs, rlctiltur*. Wlntrn )IJITU> CLOVES aKltt.ec CtaalTvao uiral ScaflurccA ^ iUT v«mor*a £a«etiUv« atatjat H HETTKEJ Hotci/xsui iaaoe. EEirr HJUO Ina Conatnjctloa 4 ■vcIotBxnt Ccapanr ORC£ X. H3!T -acre Rcaaarcft Inst. Tunt jtcassa ■ Stat« Scnat* vm CUCHEUX inder Co. rrTrlifloBT TEI UXJtLI ■tomcy IDT LETTS ' wudlift Fadantlon xirTTun 1 T ^curlty Sai* at *vit» UmT F^TEISOtl .tomey }UTOit Uksm ' sue* S«nac< SE rnuoojuffi .«m Cub t. PAUL vxixa ilv. of MV — Reno LMKTE UOALDE siooldt Co. CoDBlaalon IRSAIU VUGMOnOI .S. Csifrsaa lET WHISLEI rcftr^cs AlllaBe* CX VUCHT f WUiUlft F«Mmlen JIT TOUW ; Suprvaa Court TESTIMONY OF SUE WAGNER NEVADA STATE SENATOR at Hearings of Senate Subcoramittee on Public Lands and Forests in the COill-lITTSE ON ENERGY AND NATURAL RESOURCES on S. 55 THE NATIONAL FORESTS AND PUBLIC LANDS ENHANCEMENT .ACT OF 1587 June 2G, 1987 I air. Sue v:acner, Nevada State Senator and a co-chainr.an cf the National Forests Tas:; Force of Nevada. I an sorry that I cannot appear before you personally to deliver this testimony. However, I v.'ish to assure you that -y enthusiasm for seeing this legislation converted into law has not lessened; as I remain convinced that this proposal v.'ould not only implement the original objectives of the Interchange Act for the state of Nevada, but v;ould greatly enhance public lands management and public opportunities for all Nevadans. Approximately two and one-half years ago, it was discovered that the current Ad.T.inistration v;as implementing a proposal to eliminate most of the National Forest System land in the state of Nevada, along with several other National Forests in other 31 THE NATIONAL FOREST TASK FORCE OF NEVADA TESTIMONY OF SUE WAGNER NEVADA STATE SENATOR Page 2 states. In response, concerned citizens organized the National Forests Task Force of Nevada. Chaired by then State Senator Thomas "Spike" Wilson, Fred Gibson and myself, a coalition was created to fight the transfer. After the Administration's plans were fully disclosed, hearings were held across the state of Nevada at which over a thousand Nevadans testified that they opposed the wholesale land transfer and declassification of National Forests in their state. The combined voices of the Task Force and testimony of Nevadans from across the state not only was successful in oppos- ing the flawed declassification proposal, but resulted in a complete turn-around whereby existing Public Domain land with National Forest character would be added to the National Forest System. In response to this overwhelming support, the Task Force co-chairmen arranged a meeting in Washington with the Nevada Congressional Delegation, the Chief of the Forest Service Max Peterson, and representatives of Nevada's Governor Richard Bryan and the Director of the BLM. This group agreed that Interchange objectives could be accomplished by adding Public Domain land to the existing National Forest System. Later, when it became evident that the National Interchange Act was not going to proceed, H.R. 5277 (the National Forests of Nevada Enhancement Act of 1986) was introduced to transfer over 32 THE NATIONAL FOREST TASK FORCE OF NEVADA TESTIMONY OF SUE WAGNER NEVADA STATE SENATOR Page 3 500,000 acres of land administered by the BLM to the U. S. Forest Service. This act enjoyed the strong support and endorsement of the National Forest Task Force of Nevada and its citizens. H.R. 5277 passed the House, but failed to come to a vote in the Senate when the controversy over water rights arose at the last moment. The 99th session of Congress adjourned, killing the bill. I support the National Forests and Public Lands of Nevada Enhancement Act of 1987. Passage of this act will benefit the state of Nevada and the United States for the following reasons: 1 . Increasing the acreage of National Forest System land in Nevada will show that Congress and this Administration truly care for the state of Nevada and do not consider it simply a desert wasteland. This will certainly enhance Nevada's image. 2. Because the Forest Service's funding to local agencies is more generous than that of the BLM, revenue to state and county governments will increase. 3. The Forest Service's larger budgets and professional, non-partisan multiple-use management will improve the condition of the natural resources on these lands. 4. Because these lands are adjacent to existing National Forests and are part of the same watersheds and mountain ranges, putting them under the management of one agency will be more 33 THE NATIONAL FOREST TASK FORCE OF NEVADA TESTIMONY OF SUE WAGNER NEVADA STATE SENATOR Page 4 efficient and cost-effective. Both Nevadans and tourists will experience less confusion and more convenience. In 1906, Nevadans partitioned Congress to establish National Forests to bring regulation and management to the range resource. Congress responded by creating the Toiyabe National Forest in 1907 and the Humboldt National Forest in 1908. Again, Nevadans are coming to Congress asking its members to increase National Forest System acreage. At the end of your session last year, I was disturbed when 1 found out the Enhancement Act did not pass because of contro- versy over water rights. First of all, the land which we are proposing to add to the National Forest System should not be any different or come under any other rules and regulations than the land already existing in the System. Water is a precious natural resource in Nevada, as it is in other western states. National Forests' use of water is basically non-consumptive and is essential for management of the wildlands. Most of the water on lands involved in this bill in the Sierras is federally adjudicated, and there is very little water involved on the lands under consideration in the Spring Mountains near Las Vegas. It seems terribly inappropriate to try to resolve a national issue involving water rights with a bill whose primary constituency 34 THE NATIONAL FOREST TASK FORCE OF NEVADA TESTIMONY OF SUE WAGNER NEVADA STATE SENATOR Page 5 is the citizens in the state of Nevada. Another area of contention is the boundary of those lands in western Nevada. At our January 22, 1986, meeting with the Delegation, Max Peterson and representatives of Governor Bryan and the BLM, we agreed the boundary should be U.S. Highway 39 5. There have been adjustments made in that boundary in this bill to accommodate special interests. This issue should be resolved in a way that best meets the needs of the public and the management of the natural resources. I will close by pointing out that rarely has interest in a bill been so high and endorsed by so many in the state of Nevada as this bill. Nevadans were instrumental in seeing the National Forests created in their state, now Nevadans would like to see additional lands added to the National Forests within their state. A prompt passage of this bill will show that you care for Nevada and those lands and natural resources within its boundary. Please make this testimony part of the public record of these hearings. Thank you. SENATOR SUE WAGNER Co-chairman 35 RICHARn H BIOAN Gv*rtnt'r THE STATE OF NEVADA EXECUTIVE CHAMBER Carson Cily, N«vida 89710 Jure 3, 1987 TliirHOM c702i M5-5»-0 The Honorable J. Bennett Johnston Chairman Convinittee on Energy and Natural Resources United States Senate Washington, D.C. 20510 Dear Chairman Johnston: I am writing to you to voice my strong support for S 854 the proposed Nevada-Florida land exchange between Aerojet General Corporation and the Department of the Interior which is currently pending in your committee. I know that the press of Congressional business is intense and that there are many worthy pieces of legislation which you and your Committee must review this year. However, the Aerojet legislation is terribly important to me and to the entire state of Nevada as its passage will provide our state with hundreds of new jobs and the potential for greater economic diversification. Therefore, I respectfully urge you to process this legislation as quickly as possible- Aerojet has gone to great lengths to satisfy the legitimate environmental concerns which have been expressed over this exchange. Hearings will not only allow these facts to come to light but will give the opponents as well as the the propo- nents of the legislation a chance to air their views. Thank you for your consideration of this request and I will look forward to hearing from yo4. RHB/sc cc: Nevada Congressional Delegation RYAN 36 Assembly Joint Rcsolulmn No 2 1 -Assemblymen Schoficid, Dini. Jeffrey. Price. Spriggs and Callisier FILE NUMBER."?^ ASSEMBLY JOINT RliSOI.UTION -Uritiin: tht Prcsidcni to suppnn and Congteu lo consunini^lc ihc exchange of ccnjin public land m Nevada for private land owned by Aerojel-General Corporalion WHEREAS. The Slate of Nevada has worked very hard lo strengchcn and diversify its economy; and WHEREAS. The Federal Government currently controls 87 percent of llie land in Nevada; and WHEREAS. Aerojet-General Corporation has proposed to exchange certain land owned by it in Florida for federally administered land in southern and western Nevada for industrial development and testing, and WHEREAS. The Florida land will be used to achieve the protection of valuable natural vegetation in the Everglades; and WHEREAS, Industrial development is needed lo strengthen and diversify Nevada's economy and the proposed development by Aerojet will help provide Lincoln County with a more stable economic base which is vitally needed; and WHEREAS. Aerojet has caused environmental evaluations of ils proposed sites in southern and western Nevada and agrees to use (he sites in a manner which will minimize any adver.se effects on the environment and agrees to mitigate those adverse effects; now, therefore, be it RESOLVED BY THE ASSEMBLY AND SENATE OF THE STATE OF NEVADA. JOINTLY. That the Nevada Legislature urges the President to support and Congress to enact legislation consummating the exchange of certain private land owned by Aerojet-General Corporation in Florida for certain public land located in southern and western Nevada if a right-of-way corridor not more than 1-mile wide is reserved therefrom to the United States for tJie construction, operation and maintenance of electric transmission lines; and be it further RESOLVED. That copies of this resolution be prepared and transmined forthwith by the Chief Clerk of the Assembly to the President of the United States, the Vice President of the United States as presiding officer of the Senate, the Speaker of the House of Representatives and to each member of the Nevada Congressional Delegation; and be it further RESOLVED. That this resolution becomes effective upon passage and approval. 37 STATEMENT OF THE HONORABLE RICHARD H. BRYAN GOVERNOR OF NEVADA submitted to the SUBCOMMITTEE ON PUBLIC LANDS, NATIONAL PARKS AND FORESTS COMMITTEE ON ENERGY AND NATURAL RESOURCES UNITED STATES SENATE on S. 854 - NEVADA - FLORIDA LAND EXCHANGE AUTHORIZATION ACT June 30, 1987 38 TBSTIMONY BEFORE THE SENATE COMMITTEE OK ENERGY AND NATURAL RESOURCES SUBCOMMTrTBE ON PUBUC LANDS, NATIONAL PARKS AND FORESTS Jun« SO, 1987 8,854} Nevada-Florida Land Exehanje Authorization Act of 1987 Mr. Chairman, members of the committee, the State of Nevada appreciates the opportunity to enter teatimony on S. 854, the Nevada-Florida Land Exchange Author- ization Act of 1987. Aerojet-Oaneral Corporation has suggested the acquisition of land needed for a new Industrial faeOlty In Nevada through the exchange of Aerojet lands in Florida for the desired site In Nevada. The Nevada site contains approximately 43,000 acres of public land and is located in Coyote Spring Valley. The land is presently managed by the Bureau of Land Managemot. Aerojet also wishes to enlarge its existing testing site in the Garfield Flat area of Mineral County through the acquisition of approximately 8,900 acres in that area. As you are no doubt awara, Nevada's rural areas have sparse populations and little private lands. Many rural communities are struggling economically. Possibilities for economic developmsnt are sharply reduced due to the lack of private land. For exampl^ most of the Coyote Spring site lies in Lincoln County. Lincoln County has an area of 6J million acres, but leas than two percent of tMs land is In private ownership. Lincoln County's population is about 4,000, for a population density of less than one-half a person per square mile. Mineral County has a total area of 2.5 million acres, of which only two and a half percent is in private ownership, and a population of about 6,000, for a population density of about one and a half persons per square mQe. 39 Page 2 In many of our rural areas, populations are actually declining as young people leave, unable to find opportunities for economic advancement Faced with these realities, my administration has developed a strong program of economic development and diversification. We are particularly committed to attracting new firms and developments to our rural areas. For more than a year, state agendea have been evaluating this proposal by Atrojet-Oeneral. It would bring Jobs to Nevada, and would put additional lands on our tax rolls. These benefits oould Involve some costs. Aerojet has been cooperating with state agencies in estimating these costs and developing appropriate mitigations. The State Department of WQdlife has analyzed the impacts on wildlife populations and requested a variety of mitigatory measures, including the setting aside of a conservation reserve and the provision of new wildlife watering facilities. The Department of Conservation and Natural Resources will require permits for water use and for disposal of waste materials, and any permits issued will be subject to stringent monitoring and enforcement requirements. State standards are high, and the state will not permit damage to state rMOuroes. As these lands move into private ownership and Aerojet proceeds with its plans, the state will eontinue to work elcaely with the company to ensure maximum benefits to the state and its people. 40 TESTIMONY OF THE BONORABLE JAMES H. BILBRAT, REPRESENTATIVE OF THE STATE OF NEVADA IN CONr;RBSS, BEFORE THE SENATE COMMITTEE ON ENERGY AND NATORAL RESODRCES SUBCOMMITTEE ON PDBLIC LANDS, NATIONAL PARKS AND FORESTS CONCERNING S. 85A: THE NEVADA-FLORIDA LAND EXCHANGE AUTHORIZATION ACT OF 1987 June 30, 1987 Mr. Chairman and members of the committee, thank you for the opportunity to enter testimony on S. 854, the Nevada-Florida Land Exchange Authorization Act of 1987. This legislation would permit Aerojet General Corporation to acquire 54,000 acres of Bureau of Land Management land In Clark, Lincoln and Mineral Counties in Nevada by transferring to the Department of Interior approximately 4,800 acres of Ae roj e t -owned land contiguous to the Everglades. The Department of the Interior would in turn sell the Florida land to the State of Florida and purchase environmentally-sensitive lands in Florida with the funds . 41 Aerojet General has indicated the land located in Coyote Springs Valley is needed for the construction of a new industrial facility which would fabricate and test solid rocket motors. Approximately A3, 000 acres are needed at the Coyote Springs Valley site. As you know Mr. Chairman, rural Nevada is sparsely populated with few lands held in private ownership. Many of these rural communities are facing difficult economic times, and because such a large percentage of the land in the county Is not privately owned, development opportunities are limited. Nevada, recognizing the dire consequences of this pattern should economic hard times continue, has vigorously pursued a program of economic development and diversification. This program can only succeed if development of private lands is possible. I support programs which have the effect of returning as many federally-owned lands to private Nevadans as possible. Certainly, environmental concerns must be addressed. The presence of the proposed Coyote Springs Valley facility raises questions regarding the company's impact on water, native plants and animals, and environmentally-sensitive 42 species such as the desert tortoise. In addition, questions have also been aimed concerning a proposed power utility corridor through the property for future power projects. Agencies of the State of Nevada have joined with Aerojet and federal agencies to develop appropriate mitigations which are attached to the legislation. The Nevada Department of Wildlife and I have Insisted upon various mitigation measures which Include the setting aside of an 18,000 acre nature conservatory. In addition, provisions have been included for the installation of wildlife watering devices. The State Department of Conservation and Natural Resources as well as the State Water Engineer will require permits for any water use. In addition, these agencies will closely monitor Aerojet's activities and have indicated to me that any permit for water use or waste disposal will be conditional upon the company's compliance to the State's strict requirements. From my tenure in the Nevada Senate Committee on Natural Resources, I can attest first-hand that Nevada's standards in these areas are among the most stringent in the nation. I might add that over one-fifth of the property has been dedicated to providing a power corridor for future power needs. 43 Mr. Chairman, the proposed legislation If enacted would not only bring jobs to Nevada bi't would expand her property tax rolls. I join the Governor of Nevada, the other members of the congressional delegation, the Nevada Association of Counties, the Board of County Commissioners of Clark, and Lincoln Counties, the City of North Las Vegas, the Ploche Town Board, the Alamo Town Board, the Panaca Town Board, and the Callente City Council in support of this measure. This bill represents a sound balance between economic diversification and environmental sensitivity. Mr. Chairman, 1 urge favorable consideration of this measure and further urge markup by the full committee. Thank you again for this opportunity. 44 STATEMENT OF CONGRESSMAN DANTE B. FASCELL BEFORE THE SUBCOMMITTEE ON PUBLIC LANDS, NATIONAL PARKS AND FORESTS OF THE SENATE COMMITTEE ON ENERGY AND NATIRAL RESOIRCES IN SUPPORT OF S. 854, THE NEVADA-FLORIDA LAND EXCHANGE AUTHORIZATION ACT June 30, 1987 Mr. Chairaan and members ot Che subcommittee, I appreciate very much your providing this opportunity lor those of us who are interested in this legislation to be heard. The proposal to exchange certain lands owned by the Aerojet Corporation in South Florida for federally-owned lands in Nevada has been on the table for over a year now. This hearing will enable all those concerned with its impact to express their support or concern, along with their expertise and will enable you Co have the benefit of all points of view in order to help you make a determination as you act on the legislation. Obviously, I am most familiar with the Florida aspects of the bill and will leave to our distinguished colleagues from Nevada the task of discussing their portion of it. Simply put, tron Che Florida point of view, this legislation is good for Florida and is good for the national interest as well. The Aerojet-owned lands in Florida would be given to the federal government in exchange for land of approximate equal value in Nevada. These values, as I understand it, have been determined by two separate, independent appraisals. In turn, the South Florida Water Management District would purchase the Florida lands from Che federal government and the proceeds from the purchase 45 would be used by the U.S. Fish and Wildlife Service to acquire lands within National Wildlife Refuges in Florida, thereby further protecting Endangered Species with no outlay of appropriated funds by the federal government. The lands in question are immediately east of Everglades National Park and will be managed by the Water Management District in a manner to benefit the Park through its control of water deliveries. The management of these lands has long been a controversial issue in South Florida and Its addition to the public domain will help ensure that it will be protected and used in an environmentally-sound manner. In addition to these evironmental benefits. Aerojet, a major contractor for projects in both the national defense and space efforts, would acquire land it badly needs to expand its facilities and Nevada would gain the jobs and other economic benefits that would result therefrom. Mr. Chairman, there is another issue involving Aerojet-owned lands just north of those included in this proposal which, though related to this is not and should not be considered as part of this legislation. I refer to an area known as the Frog Pond which is presently being leased on a year-to-year basis by tomato farmers who formerly were able to farm land in the Hole-in- the-Doughnut area of the Everglades National Park until the federal government terminated that useage. The Aerojet lands now being farmed are the only suitable remaining land available for farming in South Dade County. They provide forty per cent of the nation's winter tomato supply. There has been much concern expressed about the Impact of agricultural activities on the ecology of the Park as a result of the water delivery schedules in this area. While the Park Service has repeatedly 46 indicated to me that It does not want to eliminate farming In the Frog Pond, it does want to be able to control the water schedules in a manner which could result In flooding for part of the growing season, thus wiping out a portion of the season's crop. I do not want to leave any Impression that my sponsorship of this legislation and my strong support for it is in any way Intended to affect the farming activities in the Frog Pond. It is my understanding that discussions are under way between Aerojet, the farmers. Park officials and the Water Management District to work out an agreement which would enable the Park to have the water schedule it needs without depriving the farmers of the extra crop they need to remain economically viable. This agreement will require some compromise on the parts of all concerned but, if achieved, could put to rest once and for all a controversy that has raged for more than a decade. It is my sincere hope that all the parties will go the extra mile necessary in order to make this work. Nevertheless, this issue should not impact on or affect In any way the legislation under discussion today. The transfer of the Aerojet lands in this bill and their subsequent sale to the South Florida Water Management District are environmentally sound and will not cost the federal government anything. As a bonus, the proceeds from the sale will provide further environmental protection in the form cf land purchases within the National Wildlife Refuge system in Florida, including the Key Deer National Wildlife Refuge on Big Pine Key. Thus, I believe this is a good deal all around and should be approved . 47 I would like to add that Aerojet has already donated thousands of acres of environmentally sensitive land to the State of Florida in this same general vicinity. These lands are now being managed by the South Florida Water Management District much as those included In this legislation would be. Again, I thank you for taking the time to hold this hearing and for giving me and those from Florida who will testify later an opportunity to present the Florida point of view on this exchange. 48 TESTIMONY OF FORMER U.S. SENATOR PAUL LAXALT AT HEARING OF SUBCOMMITTEE ON PUBLIC LANDS AND FORESTS IN SENATE COMMITTEE ON ENERGY AND NATURAL RESOURCES ON S. 59 (THE NATIONAL FORESTS AND PUBLIC LANDS OF NEVADA ENHANCEMENT ACT OF 1987) WASHINGTON, D.C. JUNE 30, 1987 I am Paul Laxalt, attorney-at-law, and former United States Senator from Nevada. While I am not able to attend the Subcommittee hearing in Washington, D.C, I would ask that my testimony be made part of the public record of said hearing. I support the National Forest and Public Lands of Nevada Enhancement Act of 1987. The Forest Service has a proud tradition in Nevada. At the turn of the century, most of Nevada's rangelands were damaged severely. Two million sheep and cattle grazed the public domain without controls. Deterioration became so serious that in 1906, Nevada's ranchers petitioned Congress to establish national forests to bring regulation and management to the range. Congress responded by creating the Toiyabe National Forest in 1907 and the Humboldt National Forest in 1908. This point bears closer scrutiny. Nevadans wanted the National Forests to be created in Nevada. Congress was responsive in establishing our two national forests. In 1985, there was an effort by some to decrease the national forest 49 TESTIMONY OF SENATOR PAUL LAXALT. June 30. 1987 lands in Nevada by trading them away to the Bureau of Land Management (BLM) through an Interchange proposal. Once again Nevadans voiced their support of the U.S. Forest Service. At hearings held in Reno, Las Vegas, and Elko, a great number of Nevadans testified of their dismay at the prospect of losing the national forests in Nevada. At that time, the co-chairmen of the National Forest Task Force of Nevada, the entire Nevada Congressional delegation, including myself, the Chief of the U.S. Forest Service, and representatives of the Governor of Nevada and the Director of the Bureau of Land Management met in Washington, D.C. We all agreed that several of the goals of Interchange, including ease of administration and administrative efficiency, could best be accomplished by transferring some lands administered by the BLM to the jurisdiction of the Forest Service. From this agreement, legislation was introduced and passed the House during the 99th Session of Congress, but failed to come to a vote in the Senate before the Session adjourned. Dedicated to following the wishes of their constituents in Nevada, Congresswoman Barbara Vucanovich and Senators Chic Hecht and Harry Reid, re-introduced comparable legislation in the forms of H.R.^ 267 and S. 59 during the opening days of the current Session of Congress. However, with due respect for its sponsors, I am of the opinion that the legislation will have greatly improved chances of passage if it is amended in two respects. -2- 50 TESTIMONY OF SENATOR PAUL LAXALT. June 30. 1987 First, to refresh the recollection of all concerned, the delegation achieved agreement during the last session, along with all those involved, as to boundaries. I think it is important that the boundaries in the current bills be restored as nearly as possible to those established in the 1986 bills. The Peavine Mountain area is characteristic of national forest lands and should be included in the enhancement area. Peavine is important to the citizens of Washoe County for the recreation it offers, as a scenic backdrop to the cities of Reno and Sparks, as watershed for the City of Reno, and as critical wildlife habitat. It is my understanding that Washoe County has adopted a resolution for Peavine inclusion and that the Cities of Reno and Sparks will do the same. Such inclusion will also ease administrative burdens in the area. As now proposed, S. 59 does little to improve the administrative capabilities of either agency in the Peavine area. In fact, should the bill pass with the current boundaries, only one half of one section near Peavine Peak will transfer from the BLM to the Forest Service. We must remember that one of the goals of both the Interchange legislation and subsequent Enhancement Act bills was to help alleviate administrative inefficiencies. Secondly, the water rights language currently contained in the bill is unsatisfactory, in my opinion. Subsection (b). Section 8, of S. 59 as written is identical to subsection (b) -3- 51 TESTIMO^fY OF SENATOR PAUL LAXALT. June 30. 1987 of Section 5 of both S. 2698 and H.R. 5277 of the 2nd Session of the 99th Congress. It was disapproved by the House and eliminated from H.R. 5277. With that experience in mind, its inclusion in the same form in S. 59 and H.R. 267 could prevent passage of the Act by Congress. This bill, which deals only with Nevada, need not and should not be the forum for solving controversial and complex national issues as to water rights, especially when there is little water on the lands affected by this bill over which to argue. All the water on the lands in western Nevada is now federally adjudicated. There is very little surface water in the Spring Mountain Range addition. It would be a shame if this bill, which has received widespread public support, were to fail again over an issue which is largely inapplicable to the pending legislation. To enhance the opportunity for passage of the legislation, I would recommend that it contain the attached language, which adeguately protects all interests and has been approved by the Nevada State Engineer, the State Director of the Department of Commerce and the National Forest Task Force of Nevada, and would, I believe, be acceptable to the Forest Service. Moreover, it respects the concerns, primarily of western Senators and Representatives, in the premises. The lands subject to transfer to the jurisdiction of the Forest Service deserve the improved management the Forest Service can offer. As a contrast, the Forest Service spends $2.00 per acre, the BLM spends $.43. -4- 52 TESTIMOIfY OF SENATOR PAUL LAXALT. June 30. 1987 The coffers of Washoe, Douglas, Carson City, and Clark counties will also benefit by additional Forest Service lands. The size of each county's share of receipts or revenues generated on forest lands is determined by the county's acreage of natioanl forest. The law requires that the county spend these dollars on roads and schools. Especially in Washoe and Clark counties which are growing by leaps and bounds, every additional source of income will be a welcomed benefit. While the Forest Service allocates a flat 25 percent of its revenue generated from these lands to the counties, the BLM uses different percentages for different types of land and products. For instance, the revenue from grazing fees on 93 percent of the BLM's land in Nevada is returned to the counties at the rate of only 12.5 percent. Nevadans were instrumental in seeing the national forests created in Nevada. Now, Nevadans would like to see lands added to the national forest system in our state. By passing S. 59, the Senate will prove that it is receptive to the desires of Nevadans. Thank you for your consideration. PAUL LAXALT Former U.S. Senator, Nevada 53 SUGGESTED CHANGES TO: "HatioDal Forests and Public Lands of Nevada Enhancement Act of 1987" SEC. 8. WATER RIGHTS. (a) PRIOR EXISTING WATER RIGHTS . --.Nothing tn this Act shall be construed to expand or diminish any water right of the United States under State or Federal law which the United States had, or nay be determined to have had by purchase, reservation, or otherwise, before the date of enactment of this Act. [(b) NO FEDERAL RESERVED WATER RIGHTS BY REASON OP TRANSFER. ~ The designation and withdrawal of newly established national forest lands by this Act shall not create any reserved water rights in the United States by reason of this Act with respect to those lands. ] (b) Nothing in this Act shall be construed to establish a new express or implied reservation to the United States of any water or water ri ght with respect to the land described in the Act: Provided 1. that the United States shall be entitled to only that express or implied reserved water right necessary and limited to primary purposes of the land transferred to Forest Service jurisdiction and further limited to those minimum quantities of water required to carry out the primary purpose of the reservation Any such , right carries a date of priority of the date of enactment of this legislation. Further provided that this transfer shall not resu It in any adverse affect or impact on existing water rights . (c) RIGHT TO ACQUIRE AND DISPOSE OF '.VATER RIGHTS.-- Nothing in this Act shall affect the right of the United States or of any person to acquire or dispose of water or water rights under applicable law. 54 Senator Hecht. Now we have our witness list, and we will start with my colleague, the Honorable Harry Reid. STATEMENT OF HON. HARRY REID, A U.S. SENATOR FROM THE STATE OF NEVADA Senator Reid. Thank you very much. Senator Hecht. Through you, I certainly would like you to express to Senator Bumpers my appreciation for holding this hearing, which has been wanted by many people for a long time. I appreciate personally the opportunity to testify about S. 854, the Nevada-Florida Land Exchange Authorization Act, and S. 59, the National Forests and Public Lands of Nevada Enhancement Act of 1987. I have joined with you in the introduction of both these bills. The Nevada-Florida Land Exchange Authorization Act will allow Aerojet General to acquire 51,710 acres of Bureau of Land Manage- ment land in Nevada in exchange for approximately 4,660 acres of Aerojet-owned land in Dade County, Florida, near the Everglades. The Interior Department would then sell the Florida land to the South Florida Management District to raise funds for acquiring ad- ditional wildlife refuge lands in the State of Florida. In Nevada, the legislation includes approximately 8,900 acres of land in Mineral County, 25 miles southeast of Hawthorne, adjacent to the Garfield Flat test site, already owned by Aerojet. The larger 42,800 acre portion is located in Clark and Lincoln Counties, in the Coyote Springs Valley, 45 miles northeast of Las Vegas and about 100 miles southwest of Caliente. Aerojet wants to acquire the Nevada BLM land to construct a rocket manufacturing, assembly and test facility. Since 1955, Aerojet has operated a 13,500 acre manufacturing fa- cility for solid rocket motors 20 miles east of Sacramento, which employs 4,200 people. The Nevada land will supplement the compa- ny's rocket testing operations. It is anticipated that the facility will initially employ 200 people with the potential of providing jobs for many more people in the future. Mr. Chairman, you being from Nevada are aware that the land exchange proposal enjoys widespread and strong support, including the endorsement of the governor, the assembly, the residents of Lincoln County, as well as the Southern Nevada Development Au- thority. However, there have been some concerns raised about the impact of the company's presence on water, existing minerals, and native plants and animals, as well as the appraised value of the Nevada land. These hearings and the ones which I will conduct in Nevada on August 13, will help Congress evaluate the concerns that have been raised by these various groups and people. During the past few years, I have worked with Aerojet in the company's efforts to facilitate the exchange. In my mind, Aerojet has worked to resolve many of the concerns that have been raised. For example, Aerojet is setting aside about 18,000 acres of the Coyote Springs Valley land for a period of 20 years as a conserva- tion area. 55 Various conservation groups have expressed reservations about the proposed conversation area, and, again, the hearings will allow us to fully consider these views. Let me now turn to S. 59, the National Forests and Public Lands of Nevada Enhancement Act of 1987. This legislation will transfer more than 500,000 acres of Federal lands in Nevada, currently administered by the Bureau of Land Management, to the United States Forest Service. A brief outline of the development of this proposal is warranted. In June of 1985, the U.S. Forest Service and the BLM announced a proposal to Interchange management of about 30 million to 35 million acres of land and underlying minerals. The purpose of the proposed Interchange was to improve the management of public lands and national forests, enhance public service, and reduce agency costs. The proposed "land swap" caused an uproar in Nevada. Under the original plan. Forest Service lands in Nevada would shrink to less than 1 million acres, while the BLM would manage 4.5 million acres. The Departments of Interior and Agriculture also held public hearings in Nevada to gauge the public sentiments about the land swap. The public hearings brought out near unani- mous opposition to reducing Forest Service lands in the State. Too many serious questions remained, ranging from concerns about agency funding, quality of management, the status of reve- nues to State and county governments, and possible environmental degradation. Following public input and further deliberation, the U.S. Forest Service and BLM developed a new Interchange proposal, affecting 12 western States and two eastern cities, allowing Nevada to retain all of its existing national forests and converting BLM lands to the Forest Service. The administration sent another omnibus Interchange proposal to Capitol Hill this Congress. But there is no serious movement on the legislation and support is negligible. At the urging of the National Forest Task Force of Nevada, the Nevada delegation has introduced this legislation to enlarge and enhance our valuable Forest Service lands. The Enhancement Act has broad support throughout the State including Governor Bryan, the Board of Commissioners of Clark County in the southern end of the State, and the Washoe County Commissioners in the northern end of the State. I would like to mention at this point, however, two reservations I have about the bill that have also been expressed to me by con- stituents. One is the inclusion of 17,000 acres around Peavine Mountain. This area is an especially important scenic peak that can be seen from Reno. It is a valuable watershed that includes White Fir, Jef- frey Pine and Ponderosa Pine. It is also the winter range for 2,000 deer. This area was included in the Enhancement Act introduced last Congress, and I understand was excluded this year because of com- plaints by a mining interest in the area. I do not agree with the exclusion of the area, and the fact that it is an issue. The support this legislation already enjoys from the 56 State and local governments would be significant enhanced if the Peavine addition is made. Second, I believe the current water language is unnecessary and restrictive. I would, however, be glad to discuss compromise lan- guage on this issue. Except for these two points, I fully support the Enhancement Act and urge quick and favorable action. Thank you for allowing me this time to testify before the Com- mittee on these two bills that are important to the State of Nevada. Senator Hecht. Thank you very much. When is your hearing in Nevada? Senator Reid. August 13. Senator Hecht. Then we will hold up any movement of this leg- islation until such time as you have had a hearing on it. Senator Reid. I appreciate that. We will be happy, for any wit- nesses that weren't able to come here, if you would inform me or have someone do so, we will work those in. We would be happy to work with you any way we can on that. Senator Hecht. Okay. Thank you very much. I know you have a busy schedule. Now we have our senior Congressman from Nevada, who is, be- sides my wife, my favorite person, Barbara Vucanovich. STATEMENT OF HON. BARBARA F. VUCANOVICH, A U.S. REPRESENTATIVE FROM THE STATE OF NEVADA Mrs. Vucanovich. Thank you, Mr. Chairman. I appreciate Senator Bumpers holding this hearing, and I cer- tainly am glad that you are here today to take his place temporari- ly. And I would like to thank you for the opportunity to testify before you today on these two bills that are so important to our State. I think we also would like to welcome the many Nevadans who have travelled to Washington to testify at this hearing. Both these issues are very important to people in Nevada. Mr. Chairman, I'd like to begin with S. 59. As you know, and as has been stated, this bill will exchange lands between the National Forest Service and the Bureau of Land Management in Nevada. It was introduced in the 99th Congress as a result of the BLM's 1985 Omnibus Interchange Proposal, that would virtually have eliminated the national forests in Nevada. The citizens of Nevada felt an urgent need to protect and pre- serve their national forests and created a bipartisan task force, of which I am a member, to develop an alternative to the proposal. Legislation was introduced by the entire delegation in the 99th Congress that would add to, rather than eliminate, forest lands in the State. This legislation passed the House, but failed to come to a vote in the Senate before the session adjourned. The major stumbling block during the last Congress dealt with water language. The House version was passed without reference to water; but, unfortunately, that was not acceptable to the Senate. 57 During this Congress, however, we have time on our side, and I believe we can work together to develop water language that ade- quately protects all interests. Mr. Chairman, this is a good bill for Nevada. It is a demonstra- tion of the power of the people and has the full support of the Nevada delegation as well as that of the governor. I hope this Committee will act favorably on this measure. I would now like to take just a minute and express my support for S. 854, the Nevada-Florida Land Exchange Act. This bill will authorize private wetlands in Florida, owned by Aerojet General Corporation, to be exchanged for public lands of equal value in Nevada, which are managed by the Bureau of Land Management. The companion legislation in the House is co-sponsored by Con- gressman Bilbray of Nevada, as well as Congressman Fascell of Florida, whose district is impacted by this exchange. This legislation is beneficial to both Nevada and florida. It will allow Aerojet to acquire about 42,800 acres of land in Lincoln and Clark Counties to construct a new facility to test rocket motors, which will generate hundreds of jobs in an economically-depressed area. There will be some people from Nevada who will be testifying about the economic situation in Lincoln County, as well as some of the other counties. It also provides for Aerojet to acquire approximately 8,900 acres in Mineral County to expand current operations. This exchange will return public rangeland to the tax rolls of the State and give a much needed economic boost to Nevada. This bill gives the South Florida Water Management District the opportunity to acquire approximately 4,650 acres of wetlands which it has been hoping for for some time, which are similar and contig- uous to the Everglades National Park, and will be managed for conservation purposes. The delegation has worked closely with Aerojet to insure that adequate controls are implemented to protect the environment and the desert habitat in the area. An example of this is the approximately 17,000 acres that Aero- jet has set aside as a deed restriction and dedicated as a tortoise preserve for the protection of the desert tortoise. Negotiations have also taken place with the State Department of Conservation and Natural Resources for any water permits and waste disposal per- mits that might be issued. The State standards are high, and damage to State resources will not be permitted. This is also a good bill for Nevada and has the support of the entire delegation, as well as the governor. The bottom line is jobs and economic diversification, two things that are extremely impor- tant to our State. I support this bill and urge its rapid passage. I thank you again for allowing me to testify, and I would be happy to answer any questions that you might have. Senator Hecht. Thank you very much. I appreciate your testimo- ny and I appreciate your interest. I am happy our delegation is all together. Mrs. Vucanovich. We are. Senator Hecht. Thank you again. 58 Mrs. Vucanovich. Thank you, Senator Hecht. Senator Hecht. I see Robert Burford out here, the Director of the Bureau of Land Management. I think he has "squatter's rights" on this bill. I was here this morning for a hearing, and he was here then. He has not gone yet. In the essence of time, I am going to ask Mr. Horn, Mr. Burford, Mr. Leonard and Mr. Bok to all four come up. Using the preroga- tive of the Chairman, we have a lot of people from Nevada who have flown out at considerable expense to themselves, with time and effort away from their jobs, their businesses and their homes, so I am going to ask all of you to limit your testimony so that they can have a few extra minutes. Is that fair enough? If you want an3^hing put into the record, please do so. But, please, summarize your testimony. Bob, you may want to go on first, since you have been here all morning. You may then want to leave. That would be fine with me. You can only stay in this room about 12 hours a day, and then we kick you out when we clean up. [General laughter.] STATEMENT OF ROBERT F. BURFORD, DIRECTOR, BUREAU OF LAND MANAGEMENT, DEPARTMENT OF THE INTERIOR Mr. Burford. My 12 hours are already up. Senator Hecht. Well, then, talk fast. [General laughter.] Mr. Burford. I am not noted for that. Senator Hecht. Well, then, you will be shut off, and I am noted for that. [General laughter.] Mr. Burford. In reference to S. 59, I would like to enter my tes- timony into the record and will very briefly summarize the Depart- ment of the Interior's position. We could support enactment of S. 59 if it were amended to in- clude more States. We think that because it takes in only the State of Nevada, there are not enough savings in dollars or in personnel to go ahead with this. We would like to see the Committee work with some of the sur- rounding States to get at least one group of States together, which would allow a part of the Interchange to go ahead. What we see and what the Forest Service may state on their own is that this change in one State only may leave one part of the forest operating under different rules than other parts of the forest. We are also concerned that some of the areas of BLM land that are being transferred to the forest have some applications on them for Recreation and Public Purposes Act (R&PP) sites for camps, schools, et cetera. The Forest Service does not have the R&PP au- thority and this bill does not give it to them. So if you do go ahead with the bill, I would suggest you give the Forest Service R&PP, that you add R&PP legislation to it, because some of your commu- nities out there do need some of that land and need to be able to acquire some of it. As far as S. 854, the other bill that is up for consideration, we are in favor of that bill. I think that Mr. Horn is going to present the Administration position's on it. But, speaking for the Bureau of 59 Land Management, we think that it is a good exchange and that it should go ahead. I am the one who is putting up the collateral for the Aerojet ex- change. But not being too turf conscious, I think it is an opportuni- ty both for Nevada and for Florida and for the Fish and Wildlife Service. Thank you, Mr. Chairman. [The prepared statement of Mr. Burford follows:] 60 JUN 30 \9Sl STATEMENT OF ROBERT F. BURFORD, DIRECTOR, BUREAU OF LAND MANAGEMENT, DEPARTMENT OF THE INTERIOR, BEFORE THE SUBCOMMITTEE ON PUBLIC LANDS, NATIONAL PARKS AND FORESTS, COMMITTEE ON ENERGY AND NATURAL RESOURCES, UNITED STATES SENATE, ON S. 59, ENTITLED THE "NATIONAL FORESTS AND PUBLIC LANDS OF NEVADA ENHANCEMENT ACT OF 1987". I appreciate the opportunity to appear before the Subcommittee today 'to discuss the Department of the Interior's position on S. 59. We could support enactment of S. 59 If it were amended to include more States. We have substantial concerns with S. 59 as currently drafted. We strongly suggest that the bill include a larger geographic region so that the purposes of the bill — economical and efficient management and improved service to the public — are accomplished. We also suggest that the bill Include certain provisions that are identified in the Administration's Nationwide Interchange Bill for the proper transition and administration of specific lands designations. We believe the best opportunity to achieve the goals of the interchange program for overall dollar savings and administrative efficiency is through enactment of a nationwide proposal. Individual State legislation would fall far short of the savings and efficiencies generated by a single nationwide bill. The largest single factor In calculating the savings was the reduction of overhead and administrative personnel that would be made possible by consolidating the Bureau of Land Management and Forest Service offices and reducing the total number of offices. Our research indicates that no slgoif leant savings would be realized with enactment of S. 59 in the short or long terms. In fact, the costs of distributing records, case files, establishing the new boundaries, and the confusion inherent in these actions, would likely result in significant added costs, with little or no savings or improvement in public service* 61 S. 59 would be cited as the "National Forests and Public Lands of Nevada Enhancement Act of 1987." Section 2 of S. 59 contains congressional findings and purposes of the bill. The purposes would be to transfer to the Forest Service certain public lands in Nevada currently administered by the Bureau of Land Management and to transfer to the Bureau of Land Management certain national forest lands in Nevada currently administered by the Forest Service. The lands identified for transfer are contiguous to other lands administered by the proposed agency. Section 3 would define the terms "public lands" and "National Forest lands" or "National Forest System lands". Section 4 of would provide for the transfer of about 511,000 acres of public lands identified on a map to the Tolyabe and Inyo National Forests. Section. 4 would also provide for the transfer of approximately 23,000 acres of national forest land identified on a map to the Secretary of the Interior. Section 4(e) would provide that lands transferred to the Secretary of Agriculture would be subject to the planning requirements of section 6 of the Forest and Rangeland Renewable Resources Planning Act of 1974 and that lands transferred to the Secretary of the Interior would be subject to the planning requirements of the Federal Land Policy and Management Act of 1976. Amendment or revision of existing plans would not be required as a result of this bill. Section 5 of S. 59 would provide for management by the Secretary of Agriculture, in accordance with section 603(c) of the Federal Land Policy and 62 3 Management Act, of the BLM Mount Stirling and LaMadre Mountains Wilderness Study Areas that would be made part of the National Forest System by the bill until Congress designates the areas as wilderness or releases them from further wilderness consideration. Section 5(c) would provide that any roadless area, or portion thereof on national forest lands recommended by the Secretary of Agriculture for wilderness which would be transferred to the jurisdiction of the Secretary of the Interior as a result of this bill, would be managed by the Secretary of the Interior in accordance with the provisions of 603(c) of the Federal Land Policy and Management Act. Section 6 would provide that nothing in the bill should be construed to change the laws governing the management of mineral resources. Section 7 omits the acreage added by S. 59 to the Tolyabe and Inyo National Forests from determinations of the share of receipts from the Twenty-five Percent Fund that exists between California and Nevada under the Act of May 23, 1908, provided, however, that the acreage added to these forests shall be counted in the distribution of the Twenty-five Percent Fund among affected counties in Nevada. Section 8 would provide that nothing in the bill shall be construed to expand or diminish any water right of the United States under State or Federal law which the United States had, or may be determined to have had by purchase, reservation or otherwise, prior to enactment of S. 59. Moreover, nothing in the bill would affect the right of the United States or of any person to acquire or dispose of water or water rights under applicable law. 63 Section 9 of S. 59 would protect valid existing rights. Section 10 would provide that administrative appeals, adjudications or reviews that are pending on the date of enactment would be completed by the Secretary of the Department In which they were initiated, except that the Secretary of the Department having jurisdiction over the land pursuant to this bill could exercise final administrative review. As a point of clarification, the reference to section 3 should be changed to section 4. S. 59 deals exclusively with lands in the State of Nevada transferring certain public lands presently administered by the Bureau of Land Management to the Forest Service and certain national forest lands to the Bureau of Land Management.^ The Administration has proposed a nationwide Interchange of lands between the Bureau of Land Management and the Forest Service. This proposal was submitted to the Congress on April 23, 1987. While S. 59 proposes to transfer the same lands within Nevada that are Included within the Adminis- tration's broader proposal, It does not generate the savings and efficiencies that would result from the single nationwide bill. Therefore, we recommend that the Subcommittee consider the nationwide proposal In lieu of S. 59. The Administration's proposal was developed after many months of careful and thorough consideration. To gain public input to the Interchange proposal, the Forest Service and ELM, on a multi-state basis, conducted 85 public meetings in 1985; recorded over 600 consultations with Congress, Interest groups. Individuals, and government entities; and held a formal public comment period, including 30 public hearings. In addition, we conducted numerous meetings and 64 5 discussions with coagressional members and staff to resolve issues and concerns Identified since 1985. As a result of this process, the bill developed by the Administration would meet the purpose of this effort — to increase efficiency of natural resource management by merging organizational units within the same geographic area, reducing personnel needs and duplication of offices, overhead, travel and administrative functions. All of this would result In a reduction of costs to the government, representing a savings of 14 to 15 million dollars annually, and an Improvement of service to the public. The goals stated In the S. 59 are similar to those In the Administration's Nationwide Interchange proposal. Unfortunately, as it is written, S. 59 does not meet the goals or result in the benefits that a Nationwide Interchange bill would generate. S. 59 does not provide for clear, orderly separation of administrative responsibilities under the land laws. Questions remain over several common land management situations. One significant area that Is not covered by S. 59 Is the authorization and administration of lands under leases and patents Issued pursuant to the Recreation and Public Purpose Act and existing applications for such leases. Leases or patents under the Recreation and Public Purpose Act provide a major public benefit and are a main source of lands to expanding comfflunlties for important public services. There are several Recreation and Public Purposes Act leases, patents or applications for leases on the lands to be transferred to Forest Service administration under this bill. These leases and patents provide such services as a county sponsored summer camp for troubled youth, church sites. 65 6 school sites, several commualty parks and rural laadflll sites. Under existing applications for a Recreation and Public Purposes Act lease are such proposals as a private youth camp, a state highway maintenance station, a county sewage treatment facility, a jail, fire station and several school sites. Currently the Forest Service has no authority to administer this program to provide these services. S. 59 does not provide such authority. The Administration's nationwide proposal does provide authority for these activities. Also S. 59 makes no provision for continuity of the land sale procedures, or for the treatment of pending applications for sales to local governments and private citizens. There are existing proposals for sales which would exceed the present ability of the Forest Service to process and administer under the only authority to sell that they have — the Act of January 22, 1983, that is popularly known as the Small Tracts Act. The Nationwide Interchange proposal provides for continuity in sales actions. It also provides for continuity of uses and authority for and protection of existing permits. If S. 59 is enacted, we suggest that provisions similar to these be included. S. 59 is unclear on a variety of other matters, such as provisions for adopting the other agency's regulations, issuing joint regulations on similar programs administered by both Forest Service and BLM, title record responsibilities or severability of any provision within the Act. These activities are addressed in the nationwide proposal. The adverse impact of S. 59 on consistent and comprehensive management within the State of Nevada and among other states needs to be emphasized because it could be considerable. If the authorities to administer lands under which the 66 7 Bureau of Land Management operates are granted to the Forest Service for the two national forests covered by S. 59, those forests would be administered differently than all other national forests. This situation would likely lead to Inconsistencies in management within Nevada and elsewhere. For instance, the authority to handle Recreation and Public Purposes Act leases would not apply to other national forest lands. It would therefore be necessary for the Forest Service to develop regulations specific to just two of the 154 proclaimed national forests within the national forest system. The Administration's Interchange bill would clarify land entry, sales and withdrawal provisions on a nationwide basis, while also ensuring continuity in public service between national forests and public lands throughout and among states. S. 59 would likely open the door to other state-by-state proposals for land exchange which might only lead to further inconsistencies in management procedures among states, if the individual Interchange laws were not Identical. In summary, we support the concept of land adjustments between the Bureau of Land Management and the Forest Service. However, the findings In subsections 1 through 3 of section 1 of S. 59 and the objectives of the bill would be only minimally achieved. They could be achieved more effectively and efficiently on a multi-state basis. Transfers of land on an individual state basis as proposed by S. 59 do not provide a coherent approach to adjusting boundaries. Such adjustments should be on a broad-scale basis rather than on a state-by-state basis because of the probability that Issues would be treated differently among states. Administrative juridlction and land holdings of the two agencies often cross State boundaries. Thus the most practical approach to adjusting land ownership patterns is on a nationwide basis which would allow Interstate holdings to be adjusted. We still believe that the 67 8 Admlalstratlon's approach Is appropriate and should be followed. S. 59, as drafted, may achieve limited benefits. However, the addition of other states with lands Identified for transfer between the Forest Service and the Bureau of Land Management would Improve public land management patterns and provide an opportunity for achieving some of the efficiencies, cost savings and public service Improvements Identified. Under the Nationwide Interchange proposal, minerals authority would be transferred to the Forest Service. S. 59 does not have that provision, nor do we believe that it can be done on a state by state basis. Some of the savings identified in the legislative analysis of the Nationwide Interchange proposal were calculated on the basis of eliminating the need for both the Forest Service and the Bureau of Land Management to visit the same areas when processing a variety of applications. S. 59 would result in no significant savings of personnel or administrative costs, and, as I said, only minimal Improvements la public service, since no offices would be affected. Some permittees and other users of the lands would simply deal with a different office and agency than they have la the past. As I said earlier, we recommend that Congress enact the nationwide bill - the Administration's Interchange proposal. Instead, as it would lead to more efficient land managemeat. Improved service to the public, and economic benefits in the administration of Federal lands. These goals can be attained and these are the reasons we coatlnue to support the Interchange concept. This concludes my statement. I will be pleased to respond to any questions. 68 Senator Hecht. Thank you for summarizing. As I said, if you want to leave, you are quite welcome to do so. If you want to wait until the panel is over with, that is fine, too. Mr. BuRFORD. I will wait for the panel to finish. Senator Hecht. Okay. Mr. Horn. STATEMENT OF WILLIAM P. HORN, ASSISTANT SECRETARY FOR FISH AND WILDLIFE AND PARKS, DEPARTMENT OF THE INTE- RIOR Mr. Horn. Thank you, Mr. Chairman. I would just ask that the entire statement be inserted into the record, and I will present a summary of it. Senator Hecht. Without objection. Mr. Horn. Thank you. I am pleased to present our views on S. 854 and state that we support its enactment. Let me add personally that I hope expedi- tious action can occur because the exchange would enable the U.S. Fish and Wildlife Service to acquire key in-holdings within two critical units of the National Wildlife Refuge System, the Lower Suwannee Refuge and the Key Deer Refuge, both in Florida. As stated, the bill would authorize and direct the Department to exchange land in Nevada presently under BLM jurisdiction for wetlands in Dade County, Florida, owned by Aerojet. Based on approved, professionally executed appraisals, the Feder- al Government is receiving more value than it gives up under this transaction. The bill would then subsequently authorize the De- partment to sell the Florida wetlands to the South Florida Water Management District. The funds received from this sale would be utilized for acquisition of in-holdings within the two previously mentioned wildlife refuge units. We have been assisting Congress in preparing this legislation and the exchange contract that goes with it. In that process, we un- dertook environmental evaluations to ensure that our drafting ef- forts would not result in conflict with our responsibilities under the Endangered Species Act and other environmental laws. Fortunately, there is a wealth of environmental data available on both parcels, particularly on the Coyote Springs Valley tract in Nevada, arising from the extensive studies done of the area in con- junction with its possible use as an MX missile site under the Race- track Proposal of the prior Administration. In addition, subsequent environmental analyses have also been prepared in this area. We, on our own initiative prepared a Resource Ascertainment Report, which is similar to an environmental assessment to guide our activities. Lastly, we engaged in a formal, internal consultation under Section 7 of the Endangered Species Act, which resulted in the issuance of a "no jeopardy" opinion by the Fish and Wildlife Service. All of this work provides a body of evidence that clearly indicates that the Aerojet activities in Nevada are expected to have no ad- verse effects on endangered, threatened, or other species of con- cern. 69 The endangered species that are the focus of some concern are four species of fish that inhabit two sets of springs over 45 miles and 12 miles away from the water source at the lands Aerojet would obtain. There are some concerns that groundwater extraction by Aerojet, in accordance with State law, I might add, may affect these springs. We are persuaded that such a possibility is remote, but have incorporated protective provisions in the contract to ensure that this remote and distant endangered species habitat will not be adversely affected by any activities Aerojet will engage in. These are among many provisions built into the agreement to ensure avoidance of environmental damage and provide for mitiga- tion of any damage which may occur. The previous witnesses have mentioned, for example, the set- aside of up to 18,000 acres of land for primarily a desert tortoise preserve to deal with that species, which is a species of some con- cern. To provide an additional measure of protection, all of these envi- ronmental measures in the agreement will be incorporated into the land patent to ensure that these conservation measures will be binding on any future owners of the property should Aerojet ever sell the land. The lands that the Department would acquire in Florida, as noted, are in Dade County and presently not of interest to either the Fish and Wildlife Service or the National Park Service. However, the South Florida Water Management District, the State agency responsible for water conservation and management in southern Florida, is extremely interested in acquiring the prop- erty. They have provided us with a written offer to purchase should the property become available by passage of this legislation. The sale of these lands to the water district would provide us with more than $2.4 million of acquisition funds for use in the wildlife refuge units in Florida. I think it is safe to say that both the Lower Suwannee Unit and the Key Deer Unit are very impor- tant in terms of endangered species, such as the Manatee and the Key Deer, one of our most endangered mammals. We would plan to use $1.65 million of the proceeds created by this bill to acquire approximately 2,700 acres of in-holdings in the Lower Suwannee Unit, and the remaining approximately $700,000 would be used to purchase tracts facing the imminent threat of de- velopment on Big Pine Key, an important habitat for the endan- gered Key Deer. We are of the opinion that this legislation represents a very posi- tive net benefit for all the parties. Nevada would receive environ- mentally sound development; Florida would receive an addition to its important water conservation system, and both Florida, the Nation, and the Fish and Wildlife Service would benefit from these important additions to the National Wildlife Refuge System. Thank you. [The prepared statement of Mr. Horn follows:] 70 TESTIMONY OF WILLIAM P. HORN, ASSISTANT SECRETARY FOR FISH AND WILDLIFE AND PARKS, DEPARTMENT OF THE INTERIOR, BEFORE THE SUBCOMMITTEE ON PUBLIC LANDS, NATIONAL PARKS AND FORESTS, SENATE COMMITTEE ON ENERGY AND NATURAL RESOURCES, REGARDING S. 854, AUTHORIZING AND DIRECTING THE SECRETARY OF THE INTERIOR TO EXCHANGE CERTAIN LANDS WITH THE AEROJET-GENERAL CORPORATION June 30, 1987 Mr. Chairman, I am William P. Horn, Assistant Secretary for Fish and Wildlife and Parks of the Department of the Interior. I am pleased to present our views on S. 854, authorizing and directing the Secretary of the Interior to exchange certain lands in the States of Nevada and Florida with the Aerojet-General Corporation. We support the legislation. At the request of Members of the Florida and Nevada Congressional delegations, we provided drafting services to them for preparation of the legislation, and for the draft implementing contract which we understand the Aerojet-General Corporation (Aerojet) has presented to the Committee. S. 854 would authorize and direct the Secretary of the Interior to exchange approximately 51,710 acres of land in Nevada, presently under the jurisdiction of the Bureau of Land Management, plus mineral rights under 1,130 acres where Aerojet already owns the surface estate, for approximately 4,650 acres of wetlands in Florida owned by Aerojet. Based on approved appraisals, the Federal government is receiving slightly more value than it gives up. The Department is subsequently authorized to sell the Aerojet lands it would acquire in Florida to the South Florida Water Management 71 District, and to enter into an interim agreement with the District for management of these lands prior to the finalization of the sale. Finally, S. 854 directs that the funds received from this sale be utilized, without appropriation, for acquisition of additional lands at existing units of the National Wildlife Refuge System within the State of Florida (i.e. Lower Suwannee and Key Deer). Last year I testified before this Subcommittee in support of the exchange proposal in principle, subject to extensive changes in the previous legislation (S. 2758, 99th Congress). All of our concerns have been resolved in the legislation now before the Subcommittee, although we do have two technical suggestions on matters which have just came to our attention. As I am sure succeeding witnesses will explain in detail, Aerojet plans to utilize the lands it would acquire in Nevada for rocket testing and assembly work. This should contribute significantly to the Nevada economy. At the same time, we believe it would not have adverse environmental impacts. We assisted in the preparation of the legislation and the implementing contract as a drafting service — hence this is not a Departmental proposal. At the same time, we undertook environmental evaluations to ensure that our drafting the proposal would not result in conflicts with our responsibilities under the Endangered Species Act and other environmental laws. There is a wealth of environmental data available, particularly on the Coyote Spring Valley tract, arising from the extensive studies done of the area in 72 conjunction with its possible use as an MX missile site under the "racetrack" proposal of the last Administration and from environmental analyses prepared by a contractor for Aerojet. We prepared a Resource Ascertainment Report, similar to an environmental assessment, utilizing this data, to guide us in our activities. In addition, we engaged in a formal internal consultation under Section 7 of the Endangered Species Act, which resulted in the issuance of a "no jeopardy" opinion by the Fish and Wildlife Service. The evidence clearly indicates that the Aerojet activities in Nevada are expected to have no effect on endangered, threatened or other species of concern. The endangered species that are the focus of concern are four species of fish (the Pahranagat roundtail chub. White River springfish, Hiko White River springfish, and the Moapa dace) that inhabit two sets of springs over 45 and 12 miles, respectively, from the water source at the future Aerojet land at Coyote Spring Canyon. There are some concerns that ground water extraction by Aerojet (in accordance with State law) might affect these springs. We are pursuaded that such a possibility is remote, but have incorporated provisions in the contract to ensure that this distant endangered species habitat will not be adversely affected. There are extensive other provisions in the exchange agreement for avoidance of environmental damage and mitigation of any which may occur. For example. Aerojet at its expense will undertake to remove 73 desert tortoises (a candidate species for listing under the Endangered Species Act) from contraction areas, and fence these areas, along with roads through high-density tortoise habitat, to minimize harm to tortoises from its activities. Moreover, nearly 18,000 acres of the exchange lands at Coyote Spring will be set aside as a wildlife preserve, primarily for the benefit of the tortoise. Aerojet will permit the Nevada Department of Fish and Game to maintain wildlife "guzzlers" (watering devices) on the land, and will pay for the installation of 10 additional ones by the State agency. Aerojet has committed to establish an Environmental Advisory Committee, of Federal, State, local and private experts, to advise them on all aspects of their operations on the exchange lands. Finally, these and other wildlife protection measures will be incorporated into the patent we provide to Aerojet upon transfer of the land, thus ensuring that these conservation measures will be binding upon any future owners of the property should Aerojet at some point sell the land. The lands the Department would acquire in Florida are immediately east of Everglades National Park, and were formerly the site of a roclcet assembly plant. Because of their semi-developed nature, the National Park Service has advised that these lands are not suitable for inclusion in the National Park System. However, the South Florida Water Management District (SFWMD), a State agency responsible for water conservation and management in southeastern Florida, is extremely interested in acquiring the property for water conservation purposes. They have provided us with a written offer to purchase, should the property become available by passage of this 74 legislation. In addition, Aerojet proposes to negotiate an agreement with the Water District giving it an option to purchase an additional 1600 acres of land at the exchange location if Aerojet determines it does not need the property for business purposes within the next few years. Facilitating SFWMD's water programs is of vital importance to the National Park Service since these programs are the centerpiece of efforts to restore natural sheet flows to the Everglades. As previously noted, the lands have been appraised, and are of approximately equal value. The Nevada lands and mineral rights are valued at approximately $2,429,000, and the Florida lands at approximately $2,441,000. The United States will benefit by the approximately $12,000 difference. Not all of the Nevada lands have been surveyed, and the legislation therefore provides for an interim conveyance of unsurveyed lands pending completion of a survey, to be conducted at Aerojet's expense. In this connection, we suggest that the last sentence of section 2(b)(2) of S. 845 be amended to provide that the lands shall, after the filing of an officially approved survey, be described in the patent by reference to the plat of survey. The use of an official survey will not only satisfy the statutory requirements for a "survey before patent", but will make it easier to protect any third-party rights that may have accrued on the lands involved in the exchange. 75 The sale of the Florida lands to the Water District would provide us with more than $2.4 million for acquisition of inholdings within existing National Wildlife Refuges in Florida. In this particular case we will not object to the provisions of Section 4 on the use of funds received. As a general rule, however, we have serious reservations with the automatic earmarking of receipts from the sale of Federal assets outside the budget and appropriation process. The Administration is now reviewing this matter to determine what conditions, if any, -might warrant Administration support of any similar future proposals. Moreover, we suggest that te receipts be deposited in the Land and Water Conservation Fund. The contributed funds account is used for donations from non-Federal sources and is not a proper account for receiving Federal receipts. We have surveyed the needs in Florida, and find pressing use for this money at the Lower Suwannee National Wildlife Refuge, on the Central Gulf Coast, and at the Key Deer National Wildlife Refuge in the Florida Keys. The Lower Suwannee NWR ranks sixth nationally on the Fish and Wildlife Service's Land and Water Conservation Fund priority list. It is one of the most diverse and productive wildlife areas in Florida. Six endangered and threatened species occupy the area. It provides essential nursery and feeding habitat for the Crystal River population of the manatee. The conversion of sizable areas within the timbered swamp and upland forest habitat protected by this Refuge is an imminent threat, with conversion to pine monoculture already underway nearby. 76 If the legislation were passed with this provision intact we would utilize $1.65 million to acquire 2,640 acres of wetlands there. This would be in addition to the $1.5 million appropriated last year for the lower Suwannee. In addition, there are several smaller tracts within the authorized boundaries of the Key Deer Refuge facing the imminent threat of development. This Refuge is designed to protect the habitat of the endangered Key deer, although other endangered, threatened and "special emphasis" species, including the manatee, the brown pelican, the white-crowned pigeon, the osprey and the mangrove cuckoo also utilize these areas. Habitat conversion for residential development is the primary threat here, and escalating development is blamed for a recent substantial drop in the deer population. Although $2 million was appropriated for acquisition at Key Deer NWR last year, some smaller tiacts still need to be acquired and we would propose to utilize the remaining $700,000 for this purpose. We are pursuaded that this legislation would represent a net benefit for all parties. Nevada would receive much-needed environmentally sound development, which will provide jobs and an expanded tax base; Florida would receive an addition to its important water conservation system; and both Florida and the nation would benefit from the additions to the National Wildlife Refuge System. We therefore support enactment of S. 854. 77 South Florida John R Wodftski. E*©c*/lfve Director TiUofd C Cf»«l Deputy Em^cuIiv Director Water Management District Post Office Box 24680 3301 Gun Club Road West Palm Beach. Florida 33416-4680 Telephone (305) 686-8800 Florida WATS Line 1-800-432-2045 IN HEPLV REFER TO LM-SOR C-111 Aerojet II June 5, 1987 Mr. Wi 1 1 iam Swanson U.S. Fish & Wildlife Service 18th and C Streets Washington, D.C. 20240 .-^^ll The enclosed agreement reflects the change from warranty deed to quit- claim deed, per our discussion with Dave Fisher of the solicitor's office. I believe you indicated that the remaining portion of the agreement was satisfactory. Per our discussion, i understand that the subsurface abstracts wi 1 be brought to date and sent to my office as early as possible for review. We believe that Aerojet owns all rights, except possibly for some rights held by the Trustees of the Internal Improvement Trust Fund. Please contact me should any Questions arise. Sincerel v. b 1 ncer« Ri es 1 ey /R . Jones , Di rector Save Out Rivers Program Department of Land Management RRJ/lb Enclosure cc: Alan Bonsack Slanley W Moll* Naples Wiiiiarri E SaOowfk. Cr^airman - Miam. John I Han.gan Vico Ct\aitn>an - Norm Paim Beach J Neil GaM^Qho Si Cloud Natnan.f'l P Heod MoOe SounO Kalhloco Shi-;* Ah'J*^^ M>anii Shuiv^ Timer E Po»wets InOianlown Nancy "^ Hocn Planiaiion Oscai M Co'tn'' Fl Myer^ 78 AGREEMENT FOR SALE AND PURCHASE This Agreement made and entered into this day of , A. D., 1987, by and between the UNITED STATES OF AMERICA by and through the Secretary of the Interior or his authorized representative (hereinafter referred to as "Seller"), and SOUTH FLORIDA WATER MANAGEMENT DISTRICT, a public corporation of the State of Florida (hereinafter referred to as "Buyer"). For and in consideration of Ten ($10.00) Dollars ar.d olL^r i,uovi ar.d valuable consideration, the sufficiency and receipt of which is hereby acknowledged, and in further consideration of the terms and conditions hereinafter set forth, the parties hereto, intending to be legally bound, agree as follows: (1) AGREEMENT TO SELL AND BUY The Seller hereby agrees to sell to the Buyer and the Buyer hereby agrees to buy from the Seller, subject to the terms and conditions hereinafter set forth, that certain real property located in Dade County, Florida, described on the attached Schedule A. The final legal description may be changed by agreement between the Buyer and the Seller three months prior to closing of the agreement. (2) PURCHASE PRICE The purchase price is $525.00 per acre for all of the lands and other interests, payable at time of closing, subject only to the prorations and adjustments as otherwise provided in this Agreement. (3) TIME FOR ACCEPTANCE If this Agreement is not executed by the Seller and the Buyer on or before September 30, 1987, the aforesaid deposit, if any, shall be, at the option of the Buyer, returned to him and this Agreement shall be null and void. The date of Agreement, for purposes of performance, shall be the date when the last one of the Seller and the Buyer have signed this Agreement. 1 of 7 '^ 79 (4) CLOSING DATE This Agreement shall be closed and the deed and possession shall be delivered on or before December 31, 1987; unless extended by other provisions of this Agreement. * (5) PRORATIONS Taxes, and other expenses and revenue of said property shall be prorated as of the date of closing. ( 6 ) EVI PENCE OF TITLE Within thirty (30) days from the date of this Agreement, the Seller shall at its expense deliver to the Buyer or his attorney a title guarantee commitment issued by a qualified title insurer agreeing to issue to the Buyer upon the recording of the deed hereafter mentioned, as owner guarantee in the amount of the purchase price insuring the title of the Buyer to that real property, subject only to liens, encumbrances, exceptions or qualifications set forth in this contract and those which shall be discharged by the Seller at or before closing. Buyer shall have fifteen (15) days from the date of receiving the evidence of title to examine same. If title is found to be defective, the Buyer shall, within said period notify the Seller in writing specifying the defects. If the said defects render the title unmarketable, the Seller shall have ninety (90) days from the receipt of such notice to cure the defects, and if after said period the Seller shall not have cured tne defects, buyer shall have the option: (1) of accepting title as it then is or (2) declining to accept title and thereupon this Agreement shall be cancelled and the Buyer and the Seller shall have no claim against each other. (7) CONVEYANCE Seller shall convey title to the aforesaid property to the Buyer by quitclaim deed subject to matters contained in this Agreement and taxes for the year of closing. 2 of 7 80 (8) RESTRICTIONS AND EASEMENTS The Buyer shall take title subject to: (a) Zoning and/or restrictions and prohibitions imposed by governmental authority, (b) Restrictions and matters appearing on the plat and/or common to the subdivision, (c) Public utility easements of record, provided said easements are located on the side or rear lines of the property and are not more than six feet in width. (9) LEASES The Seller shall furnish copies of all written leases conveying the subject property to the Buyer 30 days prior to closing and if there are any persons in possession without written leases, estoppel letters from such persons specifying the nature and duration of the occupancy shall be furnished to the Buyer by the Seller prior to the closing date. (10) MECHANICS LIENS The Seller shall furnish to the Buyer an affidavit that there have been no improvements to the subject property for 90 days immediately preceding the date of closing. If the subject property has been improved within 90 days immediately preceding the closing date, the Seller shall deliver releases or waiver of all mechanics liens executed by general contractors, subcontractors, suppliers or material men and the Seller's mechanics lien affidavit. (11) PRORATION OF TAXES (REAL AND PERSONAL) Taxes shall be prorated based upon the current year's tax without regard to discount. If the closing takes place and the current year's taxes are not fixed, and the current year's assessment is available, taxes will be prorated based upon such assessment and the prior year's miUage. If the current year's assessment is not available, then taxes will be prorated on the prior year's tax, provided, however, if there is completed improvement of the subject premises by January 1 of the year of closing, then the taxes shall be prorated to the date of closing 3 of 7 81 based upon the prior year's tnillage and an equitable assessment to be agreed upon between the parties, taking into consideration Homestead Exemption, if any. ♦• (12) SPECIAL ASSESSMENT LIENS Pending, certified, confirmed or ratified special assessment liens as of the date of closing are to be paid by the Seller. (13) MAINTENANCE Fetv.ori^ t'-.c dT.tc of the '._■ •-. C'-:it ?.• d fie date of clcsir.5, the property, shall be maintained by the Seller in the condition as it existed as of the date of the Agreement, ordinary wear and tear excepted. (14) HANDWRITTEN PROVISIONS Handwritten provisions mutually agreed to by both Buyer and Seller and inserted in this Agreement shall control all printed provisions in conflict therewith. (15) OTHER AGREEMENTS No agreements or representations, unless incorporated in this Agreement shall be binding upon any of the parties. (16) SPECIAL CLAUSES a) This contract is subject to an appraisal which shall be updated, prior to closing which shall justify purchase price for the Buyer. b) Buyer agrees and acknowledges that the property is to be used accordingly with those uses set forth in the Florida Resource Rivers Act Section 373.59 Florida Statutes. c) Buyer has evaluated the resource value of this property and has determined that acquisition will enhance the water management objectives of the Buyer. 4 of 7 82 (17) DOCUMENTS FOR CLOSING The Buyer's attorney shall prepare the deed, the Seller's affidavit, and the closing statement and submit copies of the same to the Seller's attorney, at least seven (7) days prior to scheduled closing date. (18) EXPENSES State anc( County surtax and documentary stamps which are required to be affixed tjo the instrument of conveyance and intangible personal property taxes shall be paid by the Seller. (19) DEFAULT BY BUYER If the Buyer fails to perform any of the covenants of this Agreement, all money paid pursuant to this Agreement by the Buyer as aforesaid shall be retained by or for the account of the Seller as consideration for the execution of this Agreement and as agreed liquidated damages and in full settlement of any claims for damages. (20) DEFAULT BY THE SELLER V If the Seller fails to perform any of the covenants of this Agreement, the aforesaid money paid by the Buyer at the option of the Buyer, shall be returned to the Buyer on demand: or the Buyer shall have the right of specific performance. \ (21) PLACE OF CLOSING Closing shall be held at the office of the Buyer's attorney or as otherwise agreed upon. (22) TIME IS OF THE ESSENCE Time is of the essence of the Agreement for Sale and Purchase. (23) RISK OF LOSS The seller further agrees not to do. or suffer others to do, any act by which the value or title to said lands may be diminished or encumbered. It is further agreed that any loss or damage occurring prior to the vesting of satisfactory title in the Buyer by reason of the unauthorized 5 of 7 83 cutting or removal of products therefrom, or because of fire, shall be borne by the Seller; and that, in the event any such loss or damage occurs, the Buyer may refuse, without liability, to accept conveyance of said lands, or the Buyer may elect to accept conveyance ^ upon an equitable adjustment of the purchase price. (24) RIGHT OF ENTRY The Seller further agrees that during the period covered by this instrument officers and accredited agents of the Buyer shall have at all proper times the unrestricted right and privilege to enter upon said lands for all proper and lawful purposes, including examination of said lands and resources upon them. (25) NOTICE It is mutually understood and agreed that notice of acceptance of this agreement shall be given to the Seller by certified mail addressed to the Secretary of the Interior, or his authorized representative. United States Department of the Interior, Fish and Wildlife Service, Washington, D.C., 20240, and shall be effective upon date of mailing and shall be binding upon the Seller. (26) ADDITIONAL OPTION It is mutually agreed that this Agreement for the Purchase of lands shall be subject to Aerojet General Corporation granting an option to purchase to the South Florida Water Management District to approximately 1,560 acres of the remaining lands. This separate option will have the following terms: a) Price: $525/acre for fee simple title. b) Date of operability: Seven (7) years from date of closing of the subject transaction with the vendor unless the tract is being used for national security purposes. c) Aerojet General Corporation may reserve severable use rights, if any. d) Type of deed: General Wa,rranty Deed. 6 of 7 84 The Secretary of the Interior, acting by and through his authorized representative, as the Seller, has executed this agreement on behalf of the United States of America on this the day of , 1987. ♦• THE UNITED STATES OF AMERICA ATTEST: By: (Title) The Chairman of the South Florida Water Management District has executed this agreement on behalf of the Buyer on this the day of ; , 1987. SOUTH FLORIDA WATER MANAGEMENT DISTRICT, BY ITS GOVERNING BOARD ATTEST: By: SECRETARY CHAIRMAN 7 of 7 85 AEROJET-GENERAL CORPORATION LANDS TO BE EXCHANGED TO UNITED STATES FISH AND WILDLIFE SERVICE DADE COUNTY, FLORIDA 14l>OkAL fAJla //// LANDS T O BE EXCHANGED ^^>^m: LANDS TO BE RETAINED FEBRUARY 1987 86 PUBLIC DOMAIN LANDS TO BE EXCHANGED TO AEROJET-GENERAL CORPORATION CLARK AND LINCOLN COUNTIES. NEVADA R 63 e'i . R 64 E T 11 S T 12 S T 13 S FEBRUARY 1987 87 PUBLIC DOMAIN LANDS TO BE EXCHANGED TO AEROJET-GENERAL CORPORATION MINERAL COUNTY, NEVADA ■A:.-' .,-J FEBRUARY 1987 88 LOWER SUWANNEE NATIONAL WILDLIFE REFUGE The Lower Suwannee National Wildlife Refuge was established on ;Jpril 10, 1979, to preserve 57,000 acres of unique and significant fish and wildlife habitat within the lower Suwannee River floodplain. The major habitat types within the proposed area include tidal salt marsh, timbered swamp, hardwood hammock, pine flatwoods, fresh marsh, wet prairie, and open water. The significant habitat within the proposed area is utilized by a wide variety of fish and wildlife species. Nongame marsh and water birds, along with resident and wintering waterfowl including black ducks, redhead ducks, mallards, and wood ducks are present on the area seasonally or year-round. Six endangered and threatened species are known to exist on the area including the West Indian manatee, the bald eagle, the green sea turtle, the American alligator, and the Eastern indigo snake. Notably, the refuge provides essential nursery and feeding habitat for the Crystal River population of the West Indian manatee. This unique aquatic mammal is reported to inhabit some of the springs of the Suwannee River during the winter months. The conversion of sizable areas of the timbered swamp and upland forest for residential, commercial, and recreational developments is an imminent threat to the Gulf Coast north of Cedar Key. Conversion to agriculture and, more importantly, pine monoculture has already begun and can be expected to increase. The coastline developments and the increased public use of the marshes, salt water areas, and the Suwannee River itself would cause a substantial reduction in available wildlife habitat and an increase in disturbance and harassment of wildlife using the refuge area. 89 LWCF FY 1988 FISH AND WILDLIFE SERVICE Land and Water Conservation Fund Lower Suwannee National Wildlife Refuge Dixie and Levy Counties, Florida ACQUISITION AUTHORITY LOCATION APPROPRIATIONS ACQUISITION STATUS Acquired thru FY 1986 Planned FY 1987 Remaining Total PURPOSE OF ACQUISITION CONGRESSIONAL DELEGATION Fish and Wildlife Actr of 1956, as aaended On the Gulf of Mexico approximately 50 alles southwest of Gainesville, Florida FY 19 79 FY 1980 FY 1981 rescission FY 1983 FY 1984 FY 1985 FY 1986 FY 1987 Total Appropriated Proposed for rescission. $ 1,250,000 850,000 -287,000 1,500,000 2,000,000 3,381,000 2,378,000 1,500,000* S 12,572,000 Owners hip Acres 35,620 12,360 8,798 56,778 Cost* Per Acre 9 5 10 $ 8,872,000 3,700,000 3,145,000 $15,717,000 $ 249 299 350 24 $ 277 To preserve one of the most diverse and productive wildlife areas In Florida. Senators Lawton Chiles, (D) Bob Graham, (D) Representatives Bill Grant, (R) District 90 NATIONAL KEY DEER REFUGE The National Key Deer Refuge was established August 22, 1957, by Public Law 85-164,- for the purpose of protecting and maintaining habitat extensively used by the endangered key deer. Acquisition of the refuge has been a fragmented, on-going operation since the refuge was established. Preservation of the major habitats for the endangered key deer via acquisition contributes to the overall faunal diversity of Florida and the Nation. No Name Key and Big Pine Key are the two most extensively used Keys in the range of the key deer. Several other rare, endangered, and "special emphasis" species are also found here including the white-crowned pigeon, the mangrove cuckoo, the osprey, the brown pelican, the West Indian manatee, and the American alligator. The greatest threat to key deer habitat in this area is habitat modification, with its resulting canals, land clearing, and subsequent increases in road'and dog kills. Developments will continue to escalate when utility lines are constructed. Non-residents, as well as residents, are also a threat to habitat degradation or destruction due to activities such as trash dumping, trai 1 -biking, plant collecting, and wood cutting. This habitat alteration is the apparent reason behind the deer population - decline from 350 in 1982 to 250 in 1983. Habitat must be protected to preserve the integrity of the subspecies within its range. Acquisition of No Name Key is identified and recommended in the Fish and Wildlife Service concept plan entitled Significant Wildlife Resource Areas of Florida. Preservation of the No Name Key area will contribute to the long-term stabi 1 ity of the unique key deer population and other important wildlife species as well. 91 FISH AND WILDLIFE SERVICE Land and Water Conservation Fund Key Deer National Key Deer Refuge Monroe County, Florida ACQUISITION AUTHORITY LOCATION APPROPRIATIONS Endangered Species Act Florida Keys FY 1968 FY 1973 FY 1981 FY 1981 rescission FY 198A FY 1985 reprogranunlng FY 1985 FY 1986 FY 1987 Total Appropriated $ 1,797,637 178,000 2,000,000 -73,000 2,000,000 100,000 2,450,000 1,903,000 2,000,000* $ 12.355,637 788,000 Proposed for reclssion ACQUISITION STATUS Acquired thru FY 1986 Planned FY 1987 Remaining Total PURPOSE OF ACQUISITION CONGRESSIONAL DELEGATION Senators Ownership Acres Cost 69 7,188 40 183 A45 4,189 554 11,560 $10,229,637 2,126,000 16,756.000 $29,111,637 Per Acre $ 1,423 11,617 4,000 $ 2,518 Lawton Chiles, (D) Bob Graham, (D) To preserve habitat for the endangered key deer and eventually provide full recovery of this species Representatives District Danie B. Fascell, (D) 19 92 Senator Hecht. Thank you very much. Mr. Leonard. STATEMENT OF GEORGE M. LEONARD, ASSOCIATE CHIEF, FOREST SERVICE, DEPARTMENT OF AGRICULTURE Mr. Leonard. Mr. Chairman, thank you very much. We are happy to be here to give you the views of the Department of Agri- culture on S. 59. S. 59, as discussed by Director Burford, provides for substantially the same transfer of lands within the State of Nevada as would be done in the National Interchange Proposal that the Forest Service and BLM have submitted; and, as such, we think that those trans- fers within the State of Nevada are desirable. However, we would much prefer that those transfers take place within the context of a national, or at least a regional Interchange bill, because of the very substantial public benefits that would accrue thereto. That, I think, completes my statement. [The prepared statement of Mr. Leonard follows:] 93 STATEMENT OF GEORGE M. LEONARD. ASSOCIATE CHIEF FOREST SERVICE UNITED STATES DEPARTMENT OF AGRICULTURE before the Subcommittee on Public Lands, National Parks and Forests Committee on Energy and Natural Resources United States Senate Concerning S. 59 and S. 85^ June 30. 198? MR. CHAIRMAN AND MEMBERS OF THE SUBCOMMITTEE: Thank you for the opportunity to present our views on both S. 59 and S. 85'* • Both of these bills involve lands within the State of Nevada. S. 85't does not involve any land managed by the Forest Service. Therefore, the Department of Agriculture defers to the Department of the Interior on S. 85't. S. 59. the "National Forests and Public Lands of Nevada Enhancement Act of 1987." would interchange land management functions between the Bureau of Land Management and the Forest Service within the State of Nevada. The Department of Agriculture strongly recommends enactment of the Administration's proposal for a nationwide interchange between these two agencies in preference to S. 59- S. 59 would transfer approximately 511.000 acres of public lands administered by the Bureau of Land Management in Nevada to the Forest Service. Most of the lands that would become National Forest System lands are located in the Spring Mountains, which are adjacent to the Las Vegeis Ranger District of the Toiyabe National Forest. Other lands to be transferred to Forest Service management are in the eastern Sierras. They involve the Toiyabe and Inyo National 94 Forests. S. 59 would also transfer 23,000 acres of National Forest System lands administered by the Forest Service to the Bureau of Land Management. These lands are in the eastern Sierras within the Toiyabe and Inyo National Forests. (Refer to Map Display.) S. 59 would require that the transferred land be managed under the current plans in effect at the time of transfer. This situation would continue until the plans are revised under the planning authorities of the agency managing the land at that time. The bill further provides that existing valid water rights and other outstanding rights would not be expanded upon or diminished by the land transfer and affirms that new. reserved water rights would not be created by its enactment. With respect to the transfer of land, S. 59 is the same as the Nevada portion of the Bureau of Land Management/ Forest Service (BLM/FS) interchange proposal. However, S. 59 lacks the nationwide initiatives; it would not result in the same savings and efficiencies as would the national proposal, for example, the transfer of mineral management functions to the Forest Service. We strongly recommend enactment of the overall BLM/FS interchange as explained in the Record of Decision for the Legislative Environmental Impact Statement trans- mitted to the Congress in February of 1986 and again earlier this year. We support the specific actions proposed by S. 59 if done within the framework of a National proposal rather than through the concept of individual State inter- changes . This concludes my prepared testimony. I would be pleased to answer questions that the members of the Subcommittee may have. 2 - 95 Senator Hecht. Well, I have never had such a fine day with gov- ernment witnesses in my life. I have been here for five years. It is amazing what that box does [indicating]. [General laughter.] Senator Hecht. Thank you. Your full statement will be in the record. Mr. Leonard. Thank you. Senator Hecht. Mr. Bok. STATEMENT OF ERIK BOK, FEDERAL LEGISLATIVE REPRESENT- ATIVE, LOS ANGELES DEPARTMENT OF WATER AND POWER, LOS ANGELES, CA Mr. Bok. Thank you, Senator Hecht. Senator Hecht. Let me first say to those who might not know you that these gentlemen are well known. You are the Federal Legislative Representative, Los Angeles Department of Water and Power, Los Angeles, California. Mr. Bok. Yes. L.A. Water and Power is the project manager for the Intermoun- tain Power Project in Utah and the White Pine Power Project, which is proposed to be built in White Pine County, Nevada. I would like to thank the Subcommittee for allowing me to speak on S. 854. IPP and the White Pine Power Project are two separate 1,500 megawatt coal-fired power plant projects. IPP is a $5.5 billion gen- erating station located in Millard County, Utah. The IPP generat- ing station became fully operational in May of 1987. The White Pine Power Project is a proposed generating station and, as I mentioned, would be located in White Pine County, Nevada. As introduced, S. 854 does not explicitly preserve the existing IPP and White Pine Power Project rights of way interest in the Coyote Springs area of the Nevada portion of the proposed land ex- change. In order to protect those interests, there is a need to set aside a transmission line corridor in the land slated for acquisition by Aer- ojet General Corporation. The IPP and White Pine Power Projects would be seriously dam- aged should a transmission line corridor not be expressly reserved in the legislation. Both these projects have gone through an extensive EIS process and in 1980, the Intermountain Power Project transmission line was granted a right of way, and the White Pine Power Project in 1985 was granted a record of decision in support of transmission corridors in the same area. The Coyote Springs area is a critical link for energy transmission between southern and northeastern Nevada. Due to the topographi- cal features of the terrain and environmental constraints — there are several wilderness study areas around the property — and legis- lative mandates for uses of the area for military uses, no feasible alternative routes exist for this area. Our involvement with BLM on establishing a transmission line corridor throughout the Coyote Springs area dates back to the late 96 1970s, and since that time, we have spent considerable time and money to route or actually to site the feasibility of a transmission corridor to the land. Fortunately, Aerojet has worked with us in the last couple of months to address this issue, and recently we have reached an agreement along with the Department of the Interior and Nevada electric utilities to preserve via a proposed amendment a corridor in these lands. The amendment will assure, one, that Aerojet's land use objectives are going to be met; two, that the critical North- South energy transmission link will be available; and, three, that the interests of the Intermountain Power Project and the White Pine Power Project have for themselves will be preserved. We be- lieve that all interests will be accommodated if the Subcommittee amends the bill to preserve the electric transmission corridor in the Coyote Springs area, using our jointly drsifted, amended lan- guage. It is essential that a one-mile wide transmission corridor throughout the Coyote Springs area be reserved in the legislation for the proposed land exchange. Both the Intermountain Power Project and the White Pine Power Project were evaluated for feasibility based on the use of this transmission line corridor. The rights of way have already been agreed to by BLM, and we feel that losing it will create a major hardship for the project participants who expended the time and energy to comply with the extensive need for the require- ments. That ends my statement. We have submitted a written statement to the Committee and would like for that to be entered into the record. Senator Hecht. Without objection. Mr. BoK. The witness statement contains the amendment. [The statement follows:] 97 I ] A Nevada— Caiitornia energy genefalion develonmenl m Whiie °'ne Couniy ! Development Manager A Los Angeles Department of Water and Power "■- \ Room 931. Post Office Box ill, Los Angeles. California 90051 Testimony on S. 854 on Behalf of the Los Angeles Department of Water and Power Before the Senate Public Lands, National Parks and Forests Subcommittee of the Energy and Natural Resources Committee by Eldon A. Cotton Assistant Chief Engineer - Power June 24, 1987 Mr. Chairman, the Los Angeles Department of Water and Power (LADWP) appreciates the opportunity to submit for the record testimony regarding the proposed 51,710-acre exchange of public land in Clark County and Lincoln County, Nevada, for 4,660 acres of land in Florida. The LADWP 's concerns relate specifically and only to electric transmission corridors within the Nevada land to be exchanged. This potential exchange would seriously impact the two proposed White Pine Power Project (WPPP) transmission lines, the Intermountain Power Project (IPP) Line 2, and the Western Area Power Administration Inland Intertie Project, as well as result in closure of the major north-south utility transmission corridor in eastern Nevada. One of the projects that would be adversely affected by the proposed land exchcinge is the WPPP. The WPPP is a proposed 1500 megawatt coal-fueled generating facility and associated transmission lines to be located in eastern Nevada to help meet the future electrical needs of Nevada and California residents. The White Pine County community is a strong proponent for the WPPP, Community participation throughout the WPPP development phase has been instrumental in creating a project that will have a positive social and economic impact on White Pine County. The construction ar.d operation of this $2.5 billion project would result in significant economic benefits to White Pine County and the State of Nevada. LADWP, as Development Manager for the IVPPP, has been working with the Bureau of Land Management (BLM) , as Lead Agency, since 1980 on the routing and environmental assessment of corridors from the proposed WPPP site in White Pine County, Nevada, to southern Nevada. The WPPP participants have expended approximately $23.5 million to date on the Project development wtiit* (hn9 County Bouldet City ~ Lincoln Couniy Pow«t Olsinci No 1 ~ Mt. VVh««i«f Pow»f Inc ' Nevada Powaf Comoany Ov«non Powar Oislnci No. 5 ~ Siafra Pacific Powaf Comoany ,r Vallay Elacinc Asaociallon j^ Walla Rural Elaciric Comoanv land th« Cailfoma cillaat C Ananaun C SurOanli c Glaodala <~ Loa Anga4«a C Pasadana i^ Rivarstda 98 As required by Section 102 of the National Environmental Policy Act (NEPA) for major Federal actions significantly affecting the quality of the human environment, the BLM and LAEWP consulted with numerous federal and state regulatory agencies and interested parties in preparation of the WPPP Environmental Impact Statement (EIS) , a detailed statement which assessed: (i) the environmental impact of the proposed action; (ii) any adverse environmental effects which cannot be avoided should the proposal be implemented; (iii) alternatives to the proposed action; (iv) the relationship between local short-term uses of man's environment and the maintenance and enhancement of long-term productivity; and (v) any irreversible and irretrievable coimnitments of resources which would be involved in the proposed action should it be implemented. Public hearings to assure full public participation in the NEPA environmental assessment process for the WPPP were held throughout the State of Nevada, with public comments being received and considered before the EIS was finalized. The WPPP preferred electric transmission corridor (Attacliment: 1) , which is described in the WPPP Final EIS, is located directly north of and through the area proposed for withdrawal, and is the critical utility corridor linking northeastern Nevada with southern Nevada. The WPPP preferred electric transmission corridor, although tightly constrained by the Delamar Mountains Wilderness Study Area (WSA) to the west and by the Meadow Valley Mountains WSA to the east (Attachment 2) , is sufficient to route all of the electric transmission lines currently being considered. The alternative to the preferred segment is located near the Pahranagat Wildlife Refuge and is also severely constrained by WSA boundaries under federally mandated WSA restrictions. The alternative electric transmission corridor segment, previously evaluated by the BLM for the second Intermountain Power Project electric transmission line, has insufficient capacity to accommodate more than one of the several electric transmission lines proposed for routing through this area. The proposed land exchange that would result from the passage of S. 854 would preclude the use of the WPPP preferred and alternative electric transmission line corridors and would eliminate the path for transmission of electricity from WPPP or the other known electric transmission line projects proposed for routing through this area. The above concerns were conveyed to the U.S. Fish and Wildlife Service (USFWS) by letter dated August 18, 1986 (Attachment 3). To date, USFWS has not providea any provisions for allowance for issuance of rights-of-way for WPPP corridors within the land to be exchanged. In addition, S. 854 does not contain any provisions - 2 - 99 for previously evaluated corridors. The LADWP has offered to the U.S. Department of the Interior, by letter dated November 5, 1985 (Attachment 4), to exchange the LADWP-owned Corral Canyon property located in the Santa Monica Mountains Recreational Area for BLM- nanaged property, including land in this area, needed for the WPPP. In response to the introduction of S. 854, a letter was sent to the Secretary of the Interior dated September 18, 198 6 (Attachment 5) by the WPPP stating its concerns about the impacts on the electric transmission corridor relative to the proposed land exchange. We have been working diligently with Aerojet, the Department of Interior and other interested Nevada electric utilities to resolve this issue since September of 1986. After extensive negotiations Aerojet, Nevada electric utilities, and LADWP have drafted an amendment to S. 854 (Attachment 6) which will assure (1) Aerojet 's land use objectives will be met, (2) that critical north-south energy transmission link will be available for future growth, and (3) the IPP and WPPP electric transmission rights will be reserved. We believe that all interests will be accommodated if the subcommittee amends the bill to preserve the electric transmission corridor in the Coyote Springs area using our jointly drafted amendment language. It is essential that a one-nile-wide transmission line corridor through the Coyote Springs area be reserved in the legislation for the proposed land exchange. Both the IPP and WPPP were evaluated for feasibility based upon use of this transmission line corridor. The rights-of-way have already been agreed to by BLM and we feel that losing it will create a major hardship on the project participants who have expended millions of dollars complying with the National Environmental Policy Act (NEPA) environmental process. Attachments - 3 - 100 Attacnmenc 1 0-,-J 101 v. r ' ^ Attachment "l- ! 102 Attachment 3 August 18, 1986 Mr. William P. Horn United States Fish and Wildlife Service Department of the Interior 18th and C Streets, N.W. Washington, D.C, 20240 Dear Mr. Horn: Proposed Withdrav/al of Public Lands Clark and Lincoln Counties, Nevada This is to state the concerns of the Los Angeles Department of Water and Power (LADWP) , acting on behalf of the White Pine Power Project (WPPP) and the Intermountain Power Project (IPP) , regarding the proposed 45,298-acre withdrawal and reservation of public lands in Clark and Lincoln Counties, Nevada. These concerns relate to electric transmission corridors through these lands proposed for withdrawal. The WPPP and the IPP have completed the federal environmental licensing phase with IPP having just completed construction of one of two of the project's transmission lines. Both projects have approved transmission corridors through the proposed withdrawal area. critical from a transmission ^ ^^.^^^^ w..v.-ww.- -j ...- ^ w... the Desert Wildlife Refuge, and several wilderness study areas. We respectfully request consideration of these two projects' transmission facilities and would like to meet with you to discuss our concerns prior to introduction of legislation authorizing the exchange. 103 Mr. William P. Horn - 2 - August 18, 19 86 If additional information is needed, or to schedule a meeting, please contact Mr. Edward Karapetian at (213) 481-3250. Sincerely, OKiGiMAL sig::::d by EUJON A. CO'iTO.N^Cjjy^ ELDON A. COTTON Assistant Chief Engineer - Power cc: Aerojet General Corporation Corporate Headquarters 10300 North Torrey Pines Road La Jolla, California 92037 Mr. Edward F. Spang, Director Bureau of Land Management P.O. Box 12000 Reno, Nevada 89520 Mr. Edward Karapetian 104 Attachment 4 November 5, 1985 Mr. Robert N. Broadbent Assistant Secretary for Water and Science U.S. Department of the Interior Interior Building Washington, D. C. 20240 Dear Mr. Broadbent: Corral Canyon Land Exchange Several months ago we discussed the possibility of a land exchange between the Federal Government and this Department, Recently, Mr. Eldon Cotton agreed to furnish you with additional Information regarding property which might be involved in the The property owned by this Department, which may be available for exchange with the Federal Government, is located within the Santa Monica Mountains National Recreational Area, The property consists of approximately 98 acres, and we estimate its fair market value in the neighborhood of $2 to $3 million. We would be interested in discussing the exchange of this property for land of equal value suitable for the location of power generation and transmission facilities. Enclosed are Figures 2-7, 2-17, and 2-19 that identify properties needed by the White Pine Power Project that we would be interested in exchanging for the Corral Canyon site. These properties Include 325 miles of transmission corridor in a 330-foot right-of-way (Figure 2-7), Federal lands within the 86-mile-long preferred railroad corridor (Figure 2-17), and the 2,250-acre North Steptoe Valley Site (Figure 2-19). Other properties associated with the White Pine Power Project could include well fields and microwave sites. I have also enclosed for your use a map of the Santa Monica Mountains National Recreational Area, with the Corral Canyon site identified in red. I am sure support would be expressed by the California Congressional Representatives for adding the Corral Canyon property to the National Recreational Area, and 1 am sure supporters of the White Pine Power Project would favor our acquisition of the land needed for that Project. 105 Mr. Robert N. Broadbent - 2 - November 5, 1985 I would be glad to meet with you and other Interior representatives to discuss this matter further. If you require additional information or would like to schedule a meeting, please contact me at (213) 481-5651 or Mr. Cotton at (213) 481-3203. Sincerely, ... ... ^ DANIEL W. WATERS Assistant Chief Electrical Engineer Enclosures (4) ec: Mr. Eldon A. Cotton w/encls. 106 Attachment 5 A Nevada— Calilornia sncfgy generatron develooment m While Pine Couniy •Sit? ''^^"'''P'"""' ^'"'5*'^ September 18, 1986 li^^Se; Los Angeles Department of Water and Power "^ Room 931. Post Office Box m. Los Angeles. California 90051 Mr. Donald P. Hodel Secretary of the Interior U.S. Department of the Interior 18th and C Streets, N.W. Washington, D.C. 20240 Dear Mr. Hodel: Proposed Withdrawal of Public Lands Clark County and Lincoln County, Nevada This letter is to state the concerns of the Los Angeles Department of Water and Power (LADWP), Development Manager for the White Pine Power Project (WPPP), regarding the proposed 45,298 acre withdrawal of public land in Clark County and Lincoln County, Nevada and the ultimate intent to exchange this land for land in Florida. The LADWP concerns relate to electric transmission corridors within the land to be exchanged. This exchange could seriously impact the proposed WPPP transmission lines, as well as result in closure of the major north-south utility transmission corridor in eastern Nevada. The WPPP is a proposed 1500 megawatt, coal-fueled generating to be located in eastern Nevada. The construction and operation of this $2.5 billion facility would result in significant economic benefits to the State of Nevada. The LADWP has been working with the Bureau of Land Management (ELM) since 1980 on the routing and environmental assessment of corridors from the proposed WPPP site in White Pine County, Nevada to southern Nevada. The preferred and alternative two-mile-wide corridors are included in the WPPP Final Environmental Impact Report (EIS) which was released on August 20, 1984. The Record of Decision, which culminated six years of intensive coordinated work with federal agencies, was signed by the BLM Nevada State Director on March 26, 1985. A critical segment of the preferred transmission corridor, as described in the WPPP Final EIS, is located east of the Delamar Mountains. The alternative to this segment, located near the Pahranagat Wildlife Refuge, is currently constrained by wilderness Study Area (WSA) boundaries. Should the WSA boundaries be modified, as requested in several letters to the BLM, the new preferred corridor would be to the west of the Delamar Mountains and parallel to existing and planned transmission lines, including a second Wnil« Ptrm CownIT r Bowl0«r Otv r Lincoln Counrv Po««, OlllncI No 1 ' Mt Wmitlw Po««f Inc. Z N««ad« PQw«r CaHiom, O««non Itw*, Oxiricl No 5 T Si«,fa PkiIK Po««« Comomv - V«ll«v €l«clnc Aikocialion _ Walls Avtu £i«cinc Comoanr l«i4 in« c«i^"= iS;.''"^ ^IStTo-Sr'a- si eT % %-5 "" '-«-"=" arfrfii-i«„=i^°"5 attention in this matter is appreciated If Sincerely, Omc:')Al SICNtD BT //-/<• ELDON A. COTTON Project Manager Enclosures cc: be: w/Enclosures Mr. Robert F. Burford, BLM Mr. William p. Horn, USFWS Mr. Edward F. Spang, Director, Nevada BLM Mr. John Lampros, Chairman, White Pme County Commission w/Enclosures WPPP Management Committee D. w. Waters A. R. Cordova E. P. Bock Norman E. Nichols (2) E. A. Cotton Vernon L. Pruett E. Karapetian J- P. Mieding M." Yamada T. R. Irwin R- P. Merlo Files 108 , ij ff o b y ^ y c i. o o • o t f 'i ' 7 'J Attachment 6 Addition to March 26, 1987 version ot S. 854, "Nevada-Florida Land Exchange Authorization Act of 1987" Rider 1 [insert ae new subsections 2(d) and 2(e)] (d) TRANSMISSION CORRIDOR.— The transfer of the Clark County and Lincoln County, Nevada land referenced in subsection (a) shall be subject to the reservation to the United States of the right- of-way corridor described in the draft exchange agreement referenced in subsection (c) . This corridor shall be designated emd administered by the Secretary, who may grant rights-of-way over, upon, under, and through the corridor for systems and facilities used or useful for the construction, operation and maintenance of electric transmission lines consistent with Title V of the Federal Land Policy and Management Act of 1976; provided, that although activities to construct, operate and maintain electric transmission lines within the corridor shall be given priority over all conflicting activities, the SECRETARY shall also do everything in his power to facilitate and protect the activities planned and proposed for the clarlc County and Lincoln County, Nevada land referenced in subsection (a) by Aerojet- General Corporation relating to the development, manufacture and testing of rocket motors or other aerospace and defense products, including the granting of rights-of-way to Aerojet-General Corporation for roads across the corridor connecting the eastern and western portions of the Clark County and Lincoln County, Nevada land 109 r-^'Vi C •v- r«rerenced in Bubsectlon (a) . If, aftar fiva years from the data of this Act, other public lands within the six mile width west of the Clark County and Lincoln County, Nevada land referenced in subsection (a) are returned to multiple use, and are suitable and made available for the construction, operation and maintenance of electric transmission lines, no further rights-of-way or other rights or privileges to construct, operate and maintain electric transmission lines within the corridor reserved in this subsection shall be granted by the Secretary unless: (i) such rights-of-way or other rights or privileges are pursuant to or in furtherance or contination of the existing rights referred to in subsection (e) ; (ii) at the time the land becomes so available there is pending an application for a right- of-way in the corridor reserved in this subsection and in the opinion of the Secretary such application is being diligently pursued; or (ill) such rights-of-way or other rights or privileges are in continuation of a right-of-way granted prior to the land becoming so available. (e) PRESERVATION OF EXISTING RIGHTS.— The existing rights referred to in subsection (a) include the right-of-way (Number U-42519, granted April 3, 1980) to construct, operate and maintain an electric transmission line from the Intermountain Power Project at Delta, Utah through the Clark County and Lincoln County, Nevada land referenced in subsection (a) , and the Interest of the White Pine Power Project in the in the Southern Transmission System (described and analyzed in the Final Environmental Impact Statement as the selected alternative and displayed on the map attached to the Record of 110 o a 'J > 'J o 4. o i i "J fc r ■; / '■} y D«cl»lon approved on March 26, 1985), within tha Clark County and Lincoln County, Nevada land raf arencad in aubaection (a) . Nothing in thia Act or in the exchange agreanant referenced in subsection (c) •hall negate or diminish such existing rights in any respect; provideca that (unless otherwise agreed to by the owner of the Clark County and Lincoln County, Nevada land referenced in subsection (a) ) on and after consuanation of the exchange of lands authorized by this Act and without further act by the holders of such existing rights, such existing rights shall be altered so that: (i) all transmission lines and related facilities to be located on the Clark County and Lincoln County, Nevada land referenced in subsection (a) pursuant to such existing rights nay only be located within the corridor referenced in subsection (d) ; and (ii) the right to locate such transmission lines and related facilities pursuant to such existing rights on the Clark County and Lincoln County, Nevada land referenced in subsection (a) outside of said corridor shall be extinguished and of no further force or effect. Ill i. 'J J IJ i. '-' It 0 3 'J > "J V - y ^ • '-■ t K V ■■ *■ U AEROJET shall have the right at Its election to tarminate this Agreement in its entirety without fault or liability if, within that tiae, it is unable to effectuate a surrender or relinquishment of such lease, license, permit, contract or right-of-way. 112 >.' V k" C '■ 7 y Modification of Paragraph 15 of draft Land Exchange Agr««ment between A«ro jet-General Corporation and the United States of America dated March 1, 1987 15. (a) The transfer of the Coyote Spring Land under this Agreenent shall be subject to the reservation to the UNITED STATES of a right-of-way corridor (the "Corridor") situated in the State of Nevada, counties of Lincoln and Clark, described as follows: (1) All those portions of Sections 19, 30, 31, T.ll S., R.63 E. , H.D.H. ; Sections 5, 6, 8, 9, 16, 17, 20, 21, 28, 29, 32, 33, T.12 S., R.63 E., M.D.M.; and Sections 4, 9, 10, 15, 16, 21, 22. T.13 S., R.63 E., M.D.M.; lying within that corridor one mile in width, the centerline of said corridor being one mile easterly of and parallel with the centerline of U.S. Highway 93. Also, all of Sections 20, 21, 22, 29, 32, and the N 1/2 of Section 23, T.ll S., R.63 E. , M.D.M. (2) That portion of Section 29, T.12 S. , R.63 E. , M.D.M. , necessary for the purpose of ingress and egress to the corridor as required for the construction, operation, and maintenance of electric transmissicn lines. 113 0 V r C ' 7 0 The Corridor »hall be administered by the SECRETARY, who aay grant rights-of-way over, upon, under, or through the Corridor for eyetems and facilities used or useful for the construction, operation and Baintenance of electric transmission lines consistent with Title V of FLPHA; provided, that although activities to construct, operate and maintain electric transmission lines within the Corridor shall be given priority over all conflicting activities, the SECRETARY shall also do everything in his power to facilitate and protect the activities planned and proposed for the Coyote Spring Land by AEROJET relating to the development, manufacture and testing of rocket motors or other aerospace and defense products, including the granting of rights-of-way to AEROJET for roads across the Corridor connecting the eastern and western portions of the Coyote Spring Land. (b) In consideration of the Corridor reserved by the SECRETARY, and except with respect to the rights referred to in Bxibsection 2 (e) of the Act which are altered by the Act, the SECRETARY agrees not to grant any rights-of-way over, upon, under, or through the Corridor to any party who currently holds, directly or indirectly any lease, license, permit, contract or right-of-way for electric transmission line facilities and systems on the Coyote Spring Land unless such party, as a condition to using the Corridor, surrenders and relinquishes all of its right, title and interest in and to such lease, license, permit, contract or right-of-way. In addition, as a condition subsequent to execution hereof but before settlement. 114 Senator Hecht. Thank you very much. I am just going to ask Mr. Horn a couple of questions for the record. I am going to submit some other questions to all of you in writing. A couple of concerns have been brought up. Mr. Horn, it has been alleged that the appraisal of the public lands in Nevada identified for exchange is under the fair market value of these lands and therefore violates the requirement for an equal value exchange. Please describe for the Committee the appraisal process that was used to determine the value of both the Florida and the Nevada properties. Mr. Horn. I would just outline that I have the Chief of the Realty Section of the Fish and Wildlife Service present, and Mr. Spang, who is the BLM State Director could get into this in detail for you, if you wish. But, suffice it to say, all the appraisals were conducted pursuant to established procedures by duly authorized and competent profes- sionals. All the appraisals have been approved by, respectively, the Bureau of Land Management and the U.S. Fish and Wildlife Serv- ice. So I think it is safe to say, as I indicated in my statement, that we are dealing here with approved, professionally executed apprais- als. Either gentleman could give you some detail, either now or in writing, as to all of the procedures and steps employed. So I think it is safe to say that you can rely on these as accurate appraisals. Senator Hecht. Since this is a concern, would you please have them submit those procedures and the appraisals to the Committee in writing? Mr. Horn. Yes, sir. [The information was received by the subcommittee and has been retained in the files.] Senator Hecht. Another question has been brought up. I assume the department and your attorneys have examined the questions of whether an Environmental Impact Statement must be prepared for Congressional authorized interstate land exchanges of the sort we are dealing with here. Assuming that this question has been examined, what is the de- partment's position on this? Mr. Horn. Mr. Chairman, it is established law that Congress is exempt from the provisions of the National Environmental Policy Act. The requirements for EIS's apply only to administrative agen- cies undertaking executive action. But we wanted to make sure that in providing our drafting as- sistance to Congress, that, basically, a thorough review of environ- mental issues had been done. So we prepared the Resource Ascer- tainment Report, which is the functional equivalent of an Environ- mental Assessment, which is one of the key steps in NEPA compli- ance. That, coupled with the extensive EIS work done by the Air Force under the MX proposal I think, provides the Congress with a very thorough record and factual bases for judging the merits of this proposal. If you put it all together, you basically have all of the informa- tion that would be provided through an EIS. 115 Senator Hecht. Thank you. Is the Coyote Springs Valley in Nevada a designated "critical habitat" for the desert tortoise? Mr. Horn. No. The desert tortoise is only one of 3,900 candidate species for pro- spective or potential listing under the Endangered Species Act. Be- cause it is a candidate species, we have some level of concern about it. That is one of the reasons that we engaged in some of the en- dangered species review and the environmental analysis. We are persuaded that the mitigation and conservation stipula- tions built into the draft exchange agreement with Aerojet, includ- ing the set-aside of an 18,000 acre desert tortoise preserve, more than adequately deal with protecting this species in this particular area. Senator Hecht. Thank you. Please describe for the Committee the stipulations which the de- partment has entered into with Aerojet with respect to the protec- tion of groundwater resources, and specifically for the protection of the endangered fish, which I understand are located outside the ex- change area. Mr. Horn. As I indicated, the four endangered species of fish in- habit springs that are 45 miles and 12 miles away from the Aerojet site. All of the water extraction that might occur on this property is going to be pursuant to State law, and we — again, this is one I would just as soon provide for the record because it is quite compli- cated— have provided a system and a series of provisions to ensure that we are duly notified; that there will be extensive monitoring on the site; to ensure that any groundwater extraction, in accord- ance with State permits, does not adversely affect these two springs, which are habitat for these fish. [Subsequent to the hearing the Interior Department submitted the following:] PROVISIONS OF THE DRAFT AGREEMENT RELATING TO WATER EXTRACTION Upon the issuance of a written opinion by FWS to Aerojet that the withdrawal of groundwater from beneath the Nevada Land (as defined in the body of the Agree- ment) has caused the depletion of water to any surface water habitat of a federally- listed endangered or threatened species and that such depletion is having an imme- diate adverse effect on such species, Aerojet and the FWS shall jointly seek a deter- mination from the Nevada State Engineer or some other mutually agreeable inde- pendent third party (such as U.S. Geological Survey), as to the cause of the deple- tion. Should it be determined by the State Engineer, or other mutually agreed-upon third party, that the withdrawal of groundwater from beneath the Nevada Land, by Aerojet, is the sole cause of the depletion of water to a surface water habitat of any federally-listed endangered or threatened species, then Aerojet and FWS shall joint- ly petition the State Engineer to reduce the total water allocation in the affected area, in accordance with State law, until the adverse effect has been eliminated, at which level the water allocations shall remain until otherwise provided by the State Engineer. Senator Hecht. Will the stipulations agreed to by Aerojet and the Department of the Interior continue in effect if at some later date Aerojet should attempt to dispose of Nevada property? Mr. Horn. Yes. 116 They will run with the land and be built into the conveyance document, so that if Aerojet ever sells to anybody else, the subse- quent purchaser is bound by the same terms and conditions. Senator Hecht. Does the Department of the Interior have a firm commitment from the State of Florida to purchase the Dade County property that will be acquired from Aerojet under this ex- change? Mr. Horn. Yes. We have a formal written offer from the South Florida Water Management District that we have provided to the Committee, and it is part of the record. Senator Hecht. As I remember, the bill required that the funds obtained from the State of Florida must be held to acquire environ- mentally significant lands of interest to the Department of the In- terior. Has the department identified the property that will be pur- chased to augment the National Wildlife Refuge System in Florida? Mr. Horn. Yes. As indicated, we would intend to use this money to buy in-hold- ings within the Lower Suwannee Wildlife Refuge, which is primari- ly focused on the Crystal River population of endangered manatee, and in-holdings within the Key Deer Wildlife Refuge, located two- thirds of the way down the Florida Keys, which is a critical habitat for the endangered Key Deer. Senator Hecht. I have some questions which I am going to submit to you, and a few others, which I do not want to take time with now. But I would appreciate written statements on each of these because perhaps when Senator Reid has his hearings in southern Nevada, they would be quite useful. And they should be for the record more than just off-the-cuff answers. But I appreciate your candor. Mr. Horn. Thank you. Senator Hecht. I thank all of you very much. Go back to work. Bob. Mr. BuRFORD. Will do. Senator Hecht. I see where David Hagan is a Counsel for the White Pine Power Project in Reno, Nevada, and Mike Yamada a Power Engineer. Do they have anything they want to submit for the record or say anything while they are here? Mr. Hagan. Erik Bok has spoken for us. Thank you very much. Senator Hecht. Thank you very much. Mr. Hagan. Sir, Mr. Bok has already submitted for us. We have submitted comments also for the record. Senator Hecht. So, everything is taken care of, and you can only bill your clients for half a day, then. [General laughter.] Okay, next is Panel Number One: Betty Burge, Dave Hornbeck, Jean Perry-Jones, Charles Watson, Charles Callison, and Gail Harris. Here is how we are going to handle all of you. We are going to give you five minutes. But if you need it, you may have a little more time to summarize. When you see the red light, I am not going to cut you off. But please, then start to summarize. Okay, first is Betty Burge. 117 STATEMENT OF BETTY BURGE, DESERT TORTOISE COUNCIL, LAS VEGAS, NV Ms. BuRGE. The Desert Tortoise Council is a professional organi- zation, composed mainly of wildlife biologists and some interested laymen. In 1984, Council biologists prepared an 850 page report for the Fish and Wildlife Service on the status of the desert tortoise. We documented declining tortoise numbers and increasing cumulative impacts to tortoise habitat. In 1985, the Fish and Wildlife Service determined that listing the tortoise was warranted. However, this has yet to be implemented. On-going investigations show that declines continue. The tortoise is in trouble. As a field biologist working with the tortoise for 14 years, I have helped with these investigations. In Nevada, the tortoise is confined to the southern tip, near Las Vegas. Within this distribution, the Council delineated six areas that may continue to support viable populations in the future if the land is managed properly. We call these areas "crucial desert tortoise habitats." Coyote Springs Valley is located within one of the least impacted of the six habitats. As yet, no land has been set aside in Nevada where the tortoise would be protected into the future. Meanwhile, degradation and loss of habitat continue. This is particularly true at the rapidly expanding boundary of Las Vegas. As degradation and loss occur, the importance of Coyote Springs Valley increases. Aerojet would fragment this crucial habitat by taking the core of it. This would result in immediate loss of some land and tortoises, adding to the cumulative impact to crucial habitat by a substantial increment, and hastening the need for listing. And there is no guarantee that after 20 years, the entire 50 square miles would not be sold and developed. The advisory board could concur. Benefits of prior mitigation would be cancelled. The mitigation proposed by Aerojet is inadequate. Their proposed action regarding fencing roads and relocating tortoises are biologically unsound. The environmental documents associated with S. 854 are flawed. I refer you to the numerous examples described in our position statement. We are led to believe that the project will benefit the tortoise. Actually, the net effects will be negative. If Aerojet were to utilize tortoise habitat, specified mitigation and compensation measures proposed by tortoise experts should be incorporated into the agreement. As it is now and would be with an advisory board, proposals for sound tortoise management would be subject to arbitrary rejection by Aerojet. Economic diversity and additional employment opportunities would be possible if Aerojet were to locate elsewhere in Nevada. Aerojet should explore alternative locations in Nevada, and the De- partment of Interior should evaluate all proposed sites, including Coyote Springs Valley, prepare formal Environmental Impact Statements, and include the public commenting process. This project deserves more than the cursory evaluation that it has received so far from Federal and State agencies. 118 That is all I have to say. [The statement follows:] 119 THE ^ DESERT TORTOISE COUNCIL 5319 Cerritos Avenue Long Beach, California 90805 June 22, 1987 TO: FROM: SUBJECT: MEMORANDUM Senate Subcommittee on Public Lands Glenn R. Stewart, Senior Co-Chairman ^ <^^-^ S.854, "Nevada-Florida Land Exchange Authorization Act of 1987" I have enclosed two docvunents and request that they be entered for the record as testimony presented before the Senate Subcommittee on Public Lands, June 30,1987. Document (1) : Position Statement of the Desert Tortoise Council S.854, "Nevada-Florida Land Exchange Authorization Act of 1987" Document (2) : Letter from the Desert Tortoise Council to Ralph E. Clark, Executive Vice-President and General Meuiager, Aerojet Nevada The following summarizes some of the items in the position statement. The Desert Tortoise Council is opposed to S.854. If S.854 is passed, 81 square miles of public land that has not been identified for disposal would be removed from public domain and offered to Aerojet Nevada in exchange for only 7 square miles of private land located in Florida and owned by Aerojet-General Corporation. The construction amd use of the facility proposed by Aerojet Nevada, in Coyote Spring Valley, would negatively impact 67 contiguous square miles of relatively undisturbed desert tortoise habitat. The proposed exchange area is located at the core of habitat identified as crucial to the long-term survival of the tortoise in Nevada. The U.S. Fish and Wildlife Service determined in 1985 that listing of the tortoise is warranted. No listing package has been prepared but this is because there are too many species awaiting listing for the limited staff to do the work. The Section 7 Consultation by the Fish and Wildlife Service on the subject of the Nevada land exchange concluded that the effects upon listed and candidate species would not be restricted to the direct and immediate impacts of Aerojet. The eventual sale of the land would further degrade desert tortoise habitat and have a major negative impact upon one of only six known areas in Nevada where tortoise populations may be viable. The Section 7 Consultation has been downplayed by those who believe that the land exchange would benefit the tortoise or that all impacts would be 120 mltigable. If S.854 is passed the result would further jeopardize a species that has already been found to need listing. Environmental documents associated with S. 854 are flawed. The preparers 1) have failed to utilize the most recent data available, 2) have misinterpreted data, and 3) have disregarded information provided by nationally recognized tortoise experts. As a result, the evaluations presented in these environmental documents are misleading. Hitlgation measures proposed by Aerojet are not adequate; in fact, some of the projected Impacts cannot be mitigated. Facility construction would result in immediate, permanent loss of part of the habitat. Several hundred tortoises would be displaced, their survival questionable because relocation has not been proven effective. Predatlon, collecting, and the incidence of road kills would increase. There is no guarantee to protect the undeveloped habitat beyond 20 years, at which time all the land could be sold euid developed. The long-term survival of the tortoise in the area would be placed at high risk. Aerojet should seek alternative sites in Nevada or elsewhere on which to locate facilities. The evaluations of those sites should be presented In carefully prepared environmental documents and made available through a public commenting process. end: 2 cc: Nevada Department of Nlldlife Senator Chic Hecht Senator Harry Reld Representative Barbara Vucanovich Representative James Bilbray Senator J. Bennett Johnston, Chr. Senate Committee on Energy and Natural Resources Representative Morris Udall.Chr. House Committee on Interior and Insular Affairs Senator Dale Bumpers, Chr. Senate Subcommittee on Public Lands U.S. Fish and Wildlife Service Nevada Legislature's Committee on Public Lands Nevada Klldllfe Federation Defenders of Wildlife Other Interested Parties 121 THE DESERT TORTOISE COUNCIL 'via:-vV 5319 Cerritos Avenue Long Beach, California 90805 June 21, 1987 Mr. Ralph E. Clark, Executive Vice-President and General Manager AEROJET NEVADA One Aerojet Way North Las Vegas, Nevada 89030 Dear Mr. Clark: During the last month, several Nevadans have contacted us with disturbing information. They have told us that certain individuals, apparently acting on behalf of AEROJET NEVADA, have misrepresented the Desert Tortoise Council's position on Aerojet 'a proposed land exchctnge for Coyote Spring Valley. The Desert Tortoise Council is opposed to the land exchange and to Aerojet 's acquisition of land in Coyote Spring Valley. Our position and rationale are enclosed. He request that you and representatives of AEROJET NEVADA cease and desist in making smy written or oral statements which imply that the Desert Tortoise Council approves of the proposed land exchange. Furthermore, we request that you contact persons who have been given this erroneous information by your staff or representatives and inform them of the error. We appreciate your early attention to this matter. Sincerely yours, /S/ (^^S^ruyiy /^. 5/ji^/tyijt' Glenn R. Stewart Senior Co-Chairman cc: William Mollni, Director, Nevada Department of Wildlife Senator Chic Hecht Senator Harry Reid Representative Barbara Vucanovlch Representative James Bilbray Senator J. Bennett Johnston, Chr. Senate Committee on Energy and Natural Resources Representative Morris Udall, Chr. Hduse Committee on Interior and Insular Affairs Other Interested Parties 122 POSITION STATEMENT OF THE DESERT TORTOISE COUNCIL S. 854, "Nevada-Florida Land Exchange Authorization Act of 1987" prepared by the Desert Tortoise Council, June 7, 1987 I. S. 854 IS SPECIAL LEGISLATION THAT WILL BENEFIT AEROJET AND A VERY SMALL GROUP OF PEOPLE IN NEVADA On March 26, Senator Chic Hecht stated that S. 854 allows everyone to win--the National Wildlife Refuge System, the State of Florida, and the State of Nevada (Congressional Record Vol. 133, No. 49). We do not believe this. Senator Hecht should have mentioned that Aerojet General cind Aerojet Nevada will be the real winners if this legislation is passed. Taken in a much broader perspective, the people of the United States will lose a large block of public land and, in turn, will gain a very small piece of habitat for the National Wildlife Refuge system in Florida. Another issue here is the appraised value of the Nevada public land. We believe that the value of public land has been grossly understated. II. THE PROPONENTS OF THE BILL SHOULD FOLLOW PROCEDURES PREVIOUSLY ESTABLISHED BY THE FEDERAL LAND PLANNING AND MANAGEMENT ACT AND NATIONAL ENVIRONMENTAL POLICY ACT Congress established a number of laws and acts for the protection and wise management of public lands. The Nevada lands proposed for exchange are public lands under the jurisdiction of the Department of Interior, Bureau of Land Management (BLM), and should be subject to the protection of the existing federal land planning laws and policies. S. 854 bypasses these safeguards. We believe that the BLM should complete its management framework or coordinated resource management plans for these areas prior to any discussions of land trades. If, during the planning process, the Bureau of Land Management identifies lands appropriate for disposal, then Aerojet could attempt to acquire these either at a fair market value or through a land exchange supported by congressional legislation. An Environmental Impact Statement should be prepared by experts . If Congress passes S. 854, then the door is opened for similar legislation which would allow transfer of more public lands to special interest groups. III. AEROJET GENERAL DOES NOT HAVE A GOOD ENVIRONMENTAL TRACK RECORD In 1985, Aerojet General was cited by the Environmental Protection Agency for injecting hazardous wastes into a source of underground drinking water in the Sacramento area. The Environmental Protection Agency denied Aeroject permits for continued operation of injection wells. In 1986, Aerojet General Corporation actively opposed the California voters' initiative to control toxic wastes by contributing 123 -2- $10,000 to "Californians Against the Toxics Initiative." The initiative to control toxic wastes was passed overwhelmingly by California voters in the November 1986 election, in spite of efforts by corporations such as Aerojet General. We do not believe the subject of toxic waste management and disposal has been adequately covered in the legislative and environmental documents . IV. FEDERAL AND STATE AGENCIES DID NOT USE THE ADVICE OF THEIR OWN BIOLOGISTS AND DESERT TORTOISE EXPERTS ON THE AEROJET PROPOSAL The Fish and Wildlife Service made strong statements about the negative impacts of Aerojet 's proposal on desert tortoises in a Formal Section 7 Consultation for Nevada Land Disposal ( see Case Nvunber 1-5-87-FW-9; Memorandum from the Regional Director of Region 1 to the Asst. Regional Director of Region 1, dated Dec. 11, 1986). The Regional Director states: The effects of this proposal to listed and candidate species are not restricted to those anticipated by Aerojet and their activities. The eventual sale of this land opens the way for indirect effects that will further degrade lands, and hence, desert tortoise habitat... It is believed that these future impacts will be more detrimental to local listed and candidate species thein the activities of Aerojet. This would result in approximately 17,000 acres of crucial, moderate-density desert tortoise habitat being adversely affected. This would represent a major negative impact to one of the only six known areas in Nevada where tortoise populations are believed sufficient to maintain viable populations. Past release of Federal lands in Nevada has caused problems that have resulted in the listing of 11 plants and animals as threatened or endangered... [pg. 13] The Fish and Wildlife Service downplayed and understated these impacts to the desert tortoise in the Resource Ascertainment Report, Drafting Service for Members of the Nevada and Florida Congressional Delegations, Nevada-Florida Land Exchange . The above statements were not included in the Resource Ascertainment Report . In addition, senior level management officials in appointed positions in the Nevada Department of Wildlife ignored materials presented by staff members on the degree and nature of impacts of the Aerojet project on the desert tortoise and other species. V. THE DESERT TORTOISE WILL LOSE HABITAT ESSENTIAL TO ITS CONTINUED EXISTENCE IN NEVADA, IF S. 854 IS PASSED The proposed legislation contains "stipulations" which are supposed to benefit the tortoise and its habitat (Exhibit F) . We do not believe that these stipulations are adequate even to mitigate impacts, much less to result in net benefits to the tortoise. In fact, they are mere window dressing. We have outlined major problem £ireas below. 124 (1) The proposal does not take into account the recent information on the genetics of desert tortoise populations in the United States and Mexico. The tortoise population in Coyote Spring Valley, Arrow Canyon, Las Vegas Valley, and Ivanpah Valley (extreme eastern California and west-central Nevada) is a genetic unit different from all other populations. No part of this population, which occurs primarily on public domain lands, is protected. Tortoise populations in this genetic unit are rapidly declining in northern Ivanpah and Las Vegas valleys and may soon reach the point where they are no longer viable. (2) The Federal government loses access to important tortoise hcibitat in Coyote Spring Valley. Government officials would be allowed to enter no more than once per month and then only during regular business hours. The Federal government would lose the ability to monitor the status and condition of these important tortoise populations . (3) The proposal to relocate tortoises (E:xhibit F, pg. 2, item 5) is inadequate and inhumane. According to Ralph Clark, General Manager of Aerojet Nevada, Aerojet has no intention of doing anything other than collecting the tortoises and moving them outside of the areas to be developed for static testing of rockets, facilities, etc. (Remarks made at the 1987 Desert Tortoise Council Symposium, March 1987). No studies will be conducted to determine if the relocated tortoises survive. (Mr. Clark said that he personally did not think such an effort was necessary). No constraints have been placed on Aerojet as to the time of year for construction, appropriate seasons and methods for relocation of tortoises, or the type of fence to be placed around the developed facilities. Tortoises tend to return to their home sites and will injure themselves on the fence, if the fence is not properly designed. Furthermore, it is very likely that the release area is already at or near carrying capacity. The relocated tortoises will be competing with long-term residents for food and shelter. Numerous aggressive encounters are likely to occur and the survivorship is likely to be poor. The results of tortoise relocation efforts were addressed at the 1987 Desert Tortoise Council Symposium, where national and international experts on relocation of turtles and tortoises gathered to discuss the pros and cons of relocation in a special session. The experts concluded that relocation efforts have not been particularly successful to date. Many problems have been documented. Tortoises have high fidelity to their homesites. They use the same areas year after year, and many do not thrive when moved. The experts concluded that relocation should be undertaken only as a last resort. 125 only with intensive preparation, long-term monitoring with radio telemetry, and with expert advice and assistance. (4) The proposal (Exhibit F, pg. 2, item 5) to fence portions of roads through high density tortoise habitat is inadequate and unacceptable. Preparers of the Aerojet Environmental Report and personnel at Aerojet do not have an adequate understanding of tortoise population management, movements, and behavior. The impacts of paved roads on tortoise populations are well documented. In 1977 and 1978, the Bureau of Land Management in California conducted research on effects of roads on tortoises. They reported that tortoise populations decline significantly to distances of 0.5 to 1 mile on either side of a well-used road. Since the old highway in Coyote Spring Valley has not been used for many years, tortoises have gradually reoccupied the area on and adjacent to the old road. Many tortoises would be at risk with reconstruction and use of the highway. If only parts of the old highway and roads through tortoise crucial habitat are fenced, the tortoises from high density habitat will be forced to move along the fence to areas with no fencing in moderate to low density habitats. All tortoises crossing roads at the fencing gaps will be at risk. All roads used by Aerojet in Desert Tortoise Crucial Habitat in Coyote Spring Valley and Arrow Canyon should be fenced with tortoise-proof fencing and standard tortoise underpasses should be constructed underneath the roads. The Desert Tortoise Crucial Habitat is shown in Plate 8-7 of the report, "The Status of the Desert Tortoise (Gopherus aqassizii) in the United States," dated 1984 and edited by K. H. Berry (report from Desert Tortoise Council to U. S. Fish and Wildlife Service, Sacramento, California). The California Department of Transportation supported a pilot study on the subject and identified effective types of culverts and fencing. Their results should be used to design the fence and culverts. (5) The proposal (Exhibit F, pg. 2, items 3 and 4) to place a reasonable number of signs (not to exceed 20) along the highway to warn motorists to drive carefully to protect tortoises is a totally inadequate and unwise mitigation. Motorists have difficultly seeing adult tortoises in time to avoid hitting them, and are even less likely to see the juveniles. The signs will call attention to the presence of tortoises in the area and will stimulate illegal collecting. (6) The proposal (Exhibit F, pp. 3-4, item 9) to set aside a reserved area of 17,885 acres for 20 years to encourage study and observation of the tortoises does virtually nothing to ensure the long-term protection and conservation of the 126 -5- desert tortoise population in Coyote Spring Valley. Although superficially appealing, the proposal is worthless in a long- term sense. After 20 years, development could take place. The proposed reserve does not meet essential specifications outlined by experts in reserves, parks, or refuges (see studies by J. Diamond, M. Soule, B. Wilcox, and others). The proposed reserve is fragmented and too small to meet the long-term biological needs of desert tortoises. (7) The proposed buffer zone of 11,420 acres has no tortoise management plan. These lands can be sold after 20 years. If sale or development of these land occurs, tortoise habitat would be further fragmented and tortoise populations in the reserved area would be jeopardized. (8) The proposal to have a seven-member Board (Exhibit F, pg. 4) oversee the "reserved acreage" is unacceptable to us. Most members of the board will be political appointees. None will have tortoise expertise. It is our collective experience--and many of us are government employees--that such Boards place far more weight on benefits of economic development than on the well-being of threatened and endangered species. Aerojet has had the opportunity to use our collective expertise on many occasions in 1986 and 1987. As of June, 1987, Aerojet has shown no willingness to utilize our experience and information. Instead, Aerojet has chosen to seek advice of political appointees in senior management positions. Aerojet has misinterpreted data on distribution and density of the tortoise, apparently for self-serving purposes . VI. ENVIRONMENTAL DOCUMENTS ASSOCIATED WITH S. 854 ARE SERIOUSLY FLAWED Several documents associated with the S. 854 proposal are seriously flawed. They contain false statements, errors of fact, and misleading information. In general, they indicate that tortoise populations and habitat will not suffer unmitigable impacts or irreparable harm. These reports indicate, falsely, that passage of S. 854 will not jeopardize the continued existence of important tortoise habitats in Nevada. Examples include: Aerojet-General Corporation, Florida-Nevada Land Exchange. Environmental Report for Coyote Spring Valley. Prepared by Resource Concepts, Inc., Carson city, Nevada. February 1987. (1) pg. vii, pp. 125 and 126. The preparers state that 81 acres would be permanently lost, 224 acres would be disturbed, and 2760 acres would be enclosed by fencing. In fact, 2760 acres would be lost. This is habitat for 160 to 325 I 127 -6- tortoises. The fencing also will partially fragment habitat of several hundred additional tortoises, who have parts of home ranges inside the fenced areas. (2) pp. vii and viii, pg. 127. The preparers state that in addition to the reserve area, the powerline corridor of 10,555 acres would function as additional protection, with negative impacts limited to powerline construction and maintenance. However, the transmission line towers are used as perches by the raven, a highly effective predator on juvenile tortoises. In practice, with each new powerline, perch sites will increase and additional tortoise habitat will be lost. The proposed reserve, buffer zone, and corridor combined do not meet the minimum standards for preserves for species such as the desert tortoise. The minimum standards have been set by scientists working together nationally and internationally to protect rare, threatened, and endangered species. (3) pp. vii and viii. The preparers fail to mention in this section that the Conservation Reserve is guaranteed for only 20 years! After that time, it could be developed. (4) pp. 97, 98; Fig. 4.11. The preparers call densities of 0 to 45 tortoises per square mile low density. We disagree. We use the term low density to refer to densities of 0 to 10 or 0 to 20 tortoises per square mile. We use these designations in all four states where desert tortoises occur. The preparers have misinterpreted data and have redefined "low densities" for their own purposes. (5) pp. 97, 98 and Figs. 4.10 and 4.11. These pages contain misleading information about tortoise distribution and abundance. We have repeatedly advised Mr. Clark, General Manager of Aerojet Nevada, of problems with these figures. We have provided him with a map of tortoise densities delineated by desert tortoise experts. See enclosed map, Plate 8-7. The preparers address the negative impacts to areas with moderate and high tortoise densities only. This is a limited view of what is critical. Actually, any area large enough to sustain a viable subpopulation (such as the proposed Aerojet exchange) naturally includes small areas of low density (0-20 tortoises per square mile). It is essential to consider impacts to the total area. The preparers state that the exchange boundary area would encompass only 14% of the tortoise habitat in Arrow Canyon/ Coyote Springs Valley. This is a misleading statement. The proposed Aerojet Land Exchange lies within the core of Arrow Canyon/Coyote Spring Valley tortoise habitat. 128 The preparers fail to take into accovint the fragmenting effects of the project. This must be addressed. (6) pg. 124. The prepsirers make the statements that "[305] acres of tortoise habitat would be degraded or permanently removed. Tortoise movements would be restricted within 2,760 acres." This statement is incorrect. At least 2760 acres would be lost to tortoises. Tortoises would be removed from and fenced out of 2760 acres. pg. 124. The preparers state: "The degradation, permanent loss, and fencing of tortoise habitat would be situated outside of areas where moderate to high density tortoises habitat have been indicated by previous population sampling efforts." This statement is patently false. Most areas contain moderate densities of 45 to 90 tortoises per square mile; some sites have high densities of up to 140 tortoises per square mile. Resource Ascertainment Report, Drafting Service for Members of the Nevada and Florida Congressional Delegations, Nevada-Florida Land Exchange. Undated. Although this report probably has been superseded by other, more recent documents, it still contains considerable misinformation. pg. 13. The statement is made that "Most of the valley is poor wildlife habitat, except for desert-adapted species such as the desert tortoise." This statement gives an erroneous impression about deserts and desert-adapted species. In fact, the valley offers outstanding habitat for over 20 species of reptiles, 30 breeding birds, and about 30 species of mammals. The preparers appear to be comparing desert-adapted to non-desert adapted species. The preparers appear to be placing a value judgment on desert habitats and species that are adapted to desert habitats, calling them poor. pp. 13, 14. The statement is made that the desert tortoise is a candidate species for federal listing. This is true in part. In fact, in December of 1985, U. S. Fish and Wildlife Service determined that desert tortoise populations were declining throughout the geographic range in the United States and that federal listing is warranted (Federal Register 50 [234]:49868- 49870). The listing package has not been prepared, because the (1) the Fish and Wildlife Service is inadequately staffed, and (2) there is a long list of species waiting to be listed. In the Mojave Desert of California, Nevada, and Utah, recent data indicate that tortoise populations are suffering continued reductions, with some populations close to extinction. pp. 14, 15. The statement is made that "The major threats to the tortoise are from human ...collecting and vehicular collisions — We disagree. The preparers should thoroughly review the 1984 129 report on the status of the tortoise in Nevada before making such a statement. Habitat deterioration, loss, and fragmentation are major issues. Deterioration and losses come from many sources, including off-road vehicle use, energy development, grazing, and urban development. Populations are declining from the above uses. Collecting, vandalism, and incidental vehicle kills are only a part of a much larger issue. pp. 15, 16. The preparers of this report imply that considerable human use already occurs in Coyote Springs Valley. This is true in part. However, the level is considerably less than in most other important tortoise habitats in Nevada. This is reason to consider this land for future withdrawal as a federal Natural Area or Area of Critical Environmental Concern. pp. 21. The preparers state: "However there should be no unmitigable adverse impacts on the environment." This statement is erroneous. In fact. Aerojet plans many actions that are not mitigable, including: (1) the construction of facilities and new roads that will result in: (a) loss of about five square miles of tortoise habitat, (b) fragmented habitat, (c) fences and facilities which will provide perches and which will enhance predation (2) the relocation of 160 to 325 tortoises, many of which will not survive (3) the reconstruction and use of approximately 15 miles of old highway, which will increase tortoise losses from collecting by construction workers and employees, families, and friends (collecting is almost impossible to stop) (4) the incomplete fencing and traffic will result in deaths of tortoises on roads and will deplete tortoise populations to distances of 0.5 to 1 mile on either side of roads (5) the incomplete fencing and traffic will result in roadkills of many species of animals, which will attract scavenging ravens (6) ravens, attracted by roadkills and perches, will increase predation on live juvenile tortoises throughout the area pg. 23. The preparers state: "Overall, the effect on the tortoise should be negligible or beneficial." We disagree, for the reasons 130 -9- stated above, as well as others described below. The net effects will be negative. The preparers should have used information provided by the Fish and Wildlife Service in the Formal Section 7 Consultation for Land Disposal (see III. above). (1) Human use in the general region will increase with the employment of 600 people. (2) Fragmentation of habitat will increase. (3) If the area or parts of the area are developed after 20 years, any benefits from prior mitigations will be cancelled. VII. RECOMMENDATIONS This project deserves more than the cursory evaluation it has received so far from state and federal agencies. We strongly oppose S. 854 as it is written, and more specifically, we oppose the location and the incomplete and flawed environmental evaluation. We recommend: (1) Aerojet should seek out and fully evaluate alternate sites for the proposed facilities. (a) Vast tracks of land are under the domain of the military. Some parts of these lands receive little, if any use, and would be suitable for the Aerojet facility. (b) Tikaboo Valley. Part of this valley is under the jurisdiction of the Air Force, and serves as a buffer zone for the east side of Nellis Air Force Base. (c) Dry Lake Valley, southeast of Caliente. Such sites could be fully evaluated in a formal Environmental Impact Statement, which would include a public commenting process. (2) The U. S. Fish and Wildlife Service and conservation groups should seek alternative sources of funds for acquisition of important lands in the National Wildlife Refuges in Florida, e.g., through the Land and Water Conservation Fund or The Nature Conservancy. VIII. IF AEROJET IS TO UTILIZE THE COYOTE SPRING VALLEY, THE FOLLOWING ARE AMONG THE TORTOISE MITIGATIONS AND COMPENSATION MEASURES THAT SHOULD BECOME PART OF THE AGREEMENT Stipulations, mitigations, and compensation measures must be specified in detail and in writing. (1) The 17,885 reserved area should be protected by Congressional mcindate into perpetuity, not just for 20 years. 131 -10- (2) The 11,420 acres in the buffer zone should also be held for the the protection and conservation of desert tortoises and their habitat, as well as other animals occurring naturally in this ecosystem. (3) A management plan for the desert tortoise should be developed for the combined reserved area, buffer zone, and corridor. (4) Aerojet General should provide compensation to a federal or state wildlife agency for the total area of habitat lost to desert tortoises. This compensation could be in the form of acquisition of important tortoise habitat occurring on private lands in Nevada or a similar measure. (5) The 160 to 325 tortoises to be relocated from the proposed developed areas should be part of a formal relocation project, undertaken by qualified desert tortoise scientists. These tortoises imist be treated humanely. A substantial number of the tortoises should be monitored on a long-term basis using radio telemeters. (6) The tortoise population in the reserved area should be monitored at three- to four-year intervals using methods similar or identical to the 60-day census, a method used in Nevada and elsewhere in the geographic range. (7) All roads used by Aerojet employees in the Arrow Canyon/Coyote Spring Valley desert tortoise crucial habitat should be fenced and culverts should be installed at appropriate intervals. (8) Aerojet should not advertise the presence of tortoises to the general public with road signs. The tortoises will be less likely to be collected, if Aerojet does not draw attention to the population. (9) Measures should be tciken to prevent increases in raven populations and to minimize raven predation on juvenile desert tortoises. (10) Aerojet should include a nationally recognized desert tortoise expert on the Board to oversee the reserved acreage, corridor, and buffer zone. 132 DESERT TORTOISE CRUCIAL HABITAT in Nevada Arrow Canyon PUle 8-7 Tortoise Density IC t Y •— • HABTtAT"SOUNDARY ESTIMATED TOHTQtSE DCNSlTV 0 TO 10 10 TO 4S 4t TO W «0 TO l«0 Px7^ ><"> From: K. H. Berry (ed.). 1984. The Status of the Desert Tortoise (Gopherus agassizii) in the United States. Kept, from Desert Tortoise council to the U. S. Fish and Wildl Serv., Sacramento, CA. Order No 11310-0083-81 . ■.'■'-)-;':—-- PROPOSED AREA OF EXCHANGE ■'■""' • ' lU COYOTE SPRING VALIfiY fe \' ^^J7 133 Senator Hecht. Thank you very much. Dave Hornbeck, please. STATEMENT OF DAVID A. HORNBECK, TOIYABE CHAPTER OF THE SIERRA CLUB, RENO, NV Mr. Hornbeck. Thank you, Mr. Chairman, Senator Hecht, and also any other Members of the Subcommittee. I thank you for this opportunity to speak on behalf of the Sierra Club in expressing our views in regard to S. 854. My name is Dave Hornbeck. I am a native Nevadan and an at- torney from Reno. However, I speak today as a member of the Sierra Club and also a member of the Executive Committee of the Toiyabe Chapter, which includes all of Nevada and some 2,200 members in Nevada and eastern California. We have been following this issue for some time and are quite concerned about it. Our initial concerns were three, and they still remain our signifi- cant concerns. First are the environmental impacts that this would have, par- ticularly on the critical desert tortoise habitat that has been more adequately explained just a moment ago. Obviously the tortoise is in trouble, and the Coyote Springs Valley is an important area for the habitat of the tortoise, which would apparently and very likely be lost, despite the assurances of a preserve limited to 20 years, which, of course, is much shorter than the millions of years the tortoise has already been here. The second point is that we question whether or not the public interest is actually served by the loss of this relatively large 80- some square miles of Nevada in exchange for a very small area of a few square miles in Florida, an area involving some old tomato farms. Whether or not this in itself is valuable land is question- able. But we are particularly concerned about the exchange ratio being based on what we believe are inadequate appraisals, despite what the Secretary or the Assistant Secretary just said. There is some property that sold just across the road from the area appraised at $45 an acre, which sold for approximately $400 an acre, within a few days of the announcement of this legislation. That raises some questions as to whether or not it is worth really only $45 an acre. Perhaps if it is only for grazing and not for devel- opment of industrial sites, that might be so. Senator Hecht. I would ask you to give us any information that you have on that for the record. You will have two weeks to do so. The record will remain open. Mr. Hornbeck. Certainly. We have copies of the deed and other papers. Thirdly, our third major concern, and probably the most impor- tant, is the rather irregular process which has been used in the ap- proach to this transaction by the advocates of it, particularly the apparent, deliberate attempt to circumvent the National Environ- mental Policy Act, or at least the principles behind it, by the ap- proach used. That is. Aerojet decided on the land that they wanted, and then went after it, bypassing the Nevada BLM offices and going directly to Washington, as I understand it, and then sought , 134 legislation directly so as to avoid, as has been stated by the Assist- ant Secretary, to avoid the need for an Environmental Impact Statement. I question whether or not Assistant Secretary Horn's statement that the, I think he called it the Environmental Acquisition Report, whether that is the functional equivalent of an Environ- mental Impact Statement. I submit that it is not, and the copy of it that we have seen is grossly inadequate as an Environmental Impact Statement. Besides that, it was not prepared by the Depart- ment of Interior, as he referred to it, as our report. It was prepared by Resource Concepts, in Carson City, for Aerojet and paid for, pre- sumably, by them. At least that is what it says on its first page. Now, we certainly share the Nevada delegation's interest in eco- nomic development and diversification in Nevada. However, I don't believe there is any objective analysis available to warrant or to show that the possible economic advantages may outweigh the real potential, environmental problems. There is really no reason for Congress to jump ahead in this manner without the environmental review that is needed. There is another point here, too. Aerojet is renowned for its dismal environmental record in Cali- fornia. It is charged with one of the Superfund toxic waste disas- ters in the Springfield Acid Pits and also in their rocket fuel plant in Rancho Cordova. So it is not surprising that they want to come to Nevada, where we don't have the kind of legislation that Califor- nia has passed in their Proposition 65, and our laws are certainly less stringent than California. Could I have a couple of more moments. Senator? Senator Hecht. You got 'em. Mr. HoRNBECK. Thank you. The particular problems that we would point out with this specif- ic legislation that we would suggest for correction are that the leg- islation should, as other legislation has, actually require an Envi- ronmental Impact Statement to be done by the Federal Govern- ment or another independent agency, rather than the proponent of this particular land exchange, namely Aerojet. Secondly, that EIS should discuss alternative sites and also dis- cuss the proposition or the alternative of no land exchange; that is, purchasing any necessary lands in Florida with the funds available through the Land and Water Conservation Fund and then arrang- ing, if it is necessary, for Aerojet to locate in Nevada, leasing that land to them, leasing the Federal land to them, with the provision that, when they cease their operations at some future date, that land would remain as public lands and revert. That would have the advantages to us of having a way of in perpetuity preserving this area for the tortoises and also for hunting, fishing, and other public use, particularly minerals development, since, as proposed here, this would deed the mineral rights to Aerojet as well. I see no reason why Aerojet needs mineral rights, other than their future plans to develop this land or sell it. I understand, I have been told, that Aerojet would agree to a re- versionary clause in the event that they did not use the land for this purpose. However, I think if there were such a reversionary clause, it should be an indefinite one, that at any time in the 135 future they cease to use the land for rocket testing purposes, it should revert back to the United States, if you go with an actual deed of the land, rather than a lease, as we are proposing. Finally, there are some specific problems with the land exchange agreement, which are addressed in greater detail in an appendix to my comments. So I won't go into those at this time. In conclusion, though, I would like to say that we do not oppose land exchanges when they benefit the environment and benefit Ne- vada's environment, in this case particularly. However, we believe that those land exchanges should include the benefits not just flow- ing to a private corporation, but also back to Nevada by the use of the moneys that this would generate for purchasing Nevada's envi- ronmentally sensitive private lands for inclusion in our public lands where it is appropriate, as is proposed to happen in Florida. If we are to give up public lands in Nevada, then I suggest that we should receive some private lands back through purchase to add to those sensitive areas where they are needed. Finally, I would point out that what is being asked here is for Congress to abandon the deliberate and sound policy of public in- volvement in this decision-making process that is embodied in the National Environmental Policy Act. You are being asked to by-pass the policy that Congress itself has established through that act. We urge you not to do that but, rather, to put this back into a situation where a full review, a full environmental analysis and assessment can be done with adequate opportunity for public involvement and alternative study, the study of alternatives. Thank you very much for this opportunity to testify. [The prepared statement of Mr. Hornbeck follows:] 136 SIERRA CLUB 330 Pennsylvania Avenue, S.E., Washington, DC. 20003 (202) 547-1141 TESTIMONY OF DAVID A. HORNBECK ON BEHALF OF THE TOIYABE CHAPTER OF THE SIERRA CLUB CONCERNING S.854 BEFORE THE SENATE SUBCOMMITTEE ON PUBLIC LANDS, RESERVED WATER AND RESOURCE CONSERVATION COMMITTEE ON ENERGY AND NATURAL RESOURCES June 30, 1987 Mr. Chairman and members of the Subcommittee: Thank you for the opportunity to express the views of the Sierra Club on S.854, a bill which would authorize the exchange of private lands in Florida for public lands in Nevada. 1 am David Hornbeclc. I am a native Nevadan and an attorney from Reno, Nevada. Today I speak, as a member of the Sierra Club and as a member of the Executive Committee of the Toiyabe Chapter of the Sierra Club. "When we try to pick out anything by itself, we find it hitched to everything else in the universe.' yohn Mwr National Headquarters: 730 Polk Street San Francisco California 94109 (415) 776-2211 137 -2- The Toiyabe Chapter has over 2,200 members in Nevada and Eastern California. We have been closely following this proposed land exchange since early in 1986, Then, we had three initial concerns which have not changed: o First, the environmental impacts of a rocket-testing facility on critical desert tortoise habitat and on several species of endangered pupfish dependent on desert springs supplied by the aquifer under Coyote Springs Valley; o Second, the question of whether the public interest is served in the loss from the public domain of a considerable area of public lands in Nevada (including initially parts of three Bureau of Land Management Wilderness Study Areas) for relatively unimportant private lands in Florida — especially where the exchange ratio is based on an apparently inadequate appraisal; o And third, the irregular process pursued by advocates of this exchange. Including the deliberate circumvention of the National Environmental Policy Act (NEPA) and the lack of provision for early public involvement in the environmental studies. While we share with our Nevada delegation support for economic diversification in the State of Nevada, there has been no commitment 138 -3- from Aerojet to actually proceed with this project, and there Is no objective analysis that would Indicate that any possible economic advantages of the proposed development would outweigh the very real potential environmental problems. We see no reason that quick Congressional action Is necessary because Aerojet has not received firm contracts from the government that would require Immediate development of the Nevada lands. We would like to draw the Committee's attention to a news article appearing June 21, 1987 in the RENO GAZETTE- JOURNAL describing Nevada's first Superfund site in Wells, Nevada. We cite this situation as an example of hundreds of jobs being dangled in front of a small, economically depressed community to persuade its officials to issue permits, in this case for a waste disposal plant. Without much checking, officials approved the facility. Subsequently, EPA is spending $280,000 to decontaminate a site polluted with 9,000 gallons of organic chemicals soaking into the ground, uphill from the municipal water supply. (Attachment A). Nevadans do not want a repeat of this scenario with Aerojet. The unavoidable fact is that the Aerojet has a dismal environmental record. A major polluter in California involved in Superfund toxic waste disasters at the Stringfellow Acid Pits and its rocket fuel plant In Rancho Cordova, it is perhaps not surprising that the corporation wants 139 -4- to move to Nevada. Last October the Environmental Protection Agency denied the company permits to continue pumping hazardous wastes underground at Rancho Cordova. The passage of California's tough new hazardous waste initiative, Proposition 65, makes Nevada's relatively weak pollution laws even more attractive to the company. The Sierra Club recommends a number of changes to S.854: 1. A full environmental Impact statement (EIS) must be prepared, by a federal agency or other independent source. The private environmental study purchased by Aerojet is critically flawed. The EIS should include an adequate range of alternatives including different sites for the Aerojet facility and alternative mitigation measures for unavoidable environmental and other Impacts. Such mitigation measures should Include the purchase of environmentally-sensitive land in Nevada as well as in Florida. 2. Such an EIS should consider the alternative of no land exchange at all (with acquisition of needed Florida lands using the Land & Water Conservation Fund), and the lease and special use permit of Nevada public lands to Aerojet. The lease should be limited to only sufficient acreage for a rocket testing facility and buffer zone, and only for the term of use, if any. If the Coyote Springs site is determined to be the best site for such a facility, we would further ask Congress to add 140 -5- these lands to the Desert National Wildlife Refuge with full responsibility for desert tortoise, desert bighorn sheep, and other sensitive species being shifted to the US Fish and Wildlife Service, rather than merely a 20-year stipulation in the Land Exchange Agreement. Wilderness study areas should be avoided. Hunting and other recreational uses should be permitted to continue unless public safety requires controls. Access for mining exploration should also be permitted, rather than deeding the mineral estate to Aerojet as presently proposed. 3. The "Land Exchange Agreement Between Aerojet-General Corporation and the United States of America" should be rewritten with public review and input to ensure the public interest is served. On page 3 of the current document, a statement that "AEROJET has determined that the exchange of land set forth in this Agreement is in its best interest..." is not sufficient, in our view, to establish that the exchange is in the public interest. Specifically, greater environmental protections, especially of Nevada's deep carbonate aquifer, must be written into the agreement or a special use permit. An analysis of the currently proposed agreement is submitted with these comments detailing problems with its language. (Attachment B). 141 In conclusion, the Sierra Club is not opposed to land exchanges which benefit Nevada's environment. Jeff Van Ee , an environmentalist and a Sierra Club member from southern Nevada, promoted and helped enact into law the Burton-Santini Act which provides for the sale of public lands in Las Vegas to fund the purchase of environmentally sensitive private lands at Lake Tahoe . If Nevada public lands are to be sacrificed for the advantage of a private corporation, then the benefits of the exchange should also include the acquisition of environmentally sensitive lands, in Nevada. We have opposed seizures of Nevada's public lands by the military, such as occurred on the Groom Range, without due process and compliance with NEPA, including consideration of alternatives and mitigation measures suggested by the public. Likewise, we are opposed to this effective seizure of environmentally sensitive public lands in Nevada by a private defense industry contractor in exchange for lands of little environmental or other value in Florida. In this precedent-setting interstate land exchange, involving the lost of approximately 80 square miles of public lands in Nevada for a few square miles in Florida, Congress is being asked to abandon the deliberate and sound policy of public environmental review embodied in the National Environmental Policy Act. We urge this Subcommittee to 142 -7- decline that invitation, and to reject this legislation as presently written. Thank you for giving me this opportunity to testify. 143 Toxic scam is first fed cleanup in Nevada i $280,000 Superfund i project at Wells site , By Doug MeWlllan/au*n»vkium« ij WELL2 — TV Superfund is coming to Nevada to clean up what environments] authonlies call a "dauic chemical 1 (lumping scam " Northem Nevada's Hrst taxic-cbemi- cal cleanup finaoced by the U.S. „ Environmental Protecboo Agency's ^ Superfund is scheduled lo start Monday at Wells- The EPA is spending 1380.000 I to decontaminate a site polluted two t yean ago on the northem outskirts of the KmaU Elko County city by Poly-Carb : Industries Inc. of Medlord. Ore. i Michael Wilwerding, representing himself u Poly-Carb owner, promised in late 1964 to bring up to 1,200 }ob9 to Wells - a number equal to its entire population — if City Council members would help him open a waste recychng plant there. What he left, said state and federal environmental ofOcials. was 9.000 gal- lons of organic chemicals soaking mto the ground, uphill from the municipal water supply. Lou Dodgioa, administrator of the state Environmental Protection Agency, said the chemicals — creoaol and phenol — could threaten the city's wells, if left to migrate underground Creosol, a relative of creosote, is used in the production of synthetic resins for plastics Phenol, a component of creo- sol, was formerly used as a disinfectant In hospitals Both can bum the skin or cause lung problems if inhaled. They "are vay soluble in water." Dodgion sakL "Over a period of time, they can work their way Into the water table " "They both are extremely toxic, dan- gerous chemicals," said Rot>ert Man- oell, regional administrator of the fed- eral EPA in San Francisco Mandeil said the case appears to be a classic chemical dumpmg scam An out-of-town "inventor" dangles the pros- pect of hundreds of )obs m front of a small, economically depressed commu- nity to persuade Its officials to give him permits for a waste disposal plant. For a hefty payment, he takes a load of toxic ' 8m feds, pmm 20A 20A— Reno Gazette-Joumat Sunday. Juna 21. 1987 „ Feds to begin cleaning up toxic-cliemical site in Wells From paoa 1A chemicals off the hands of a company trying to get nd of them illegally Then be brings the stuff to his new "waste reprocessing plant" where he leaves it In tanks or. woree yet. dumps it on the ground. Then he skips town. Wilwerding has not been seen or heard from since Poly-Carb filed for bankruptcy m Oregoa Mandeil said, although EPA agents and several states have been trying to find him. "He's in hiding." said a Poly-Carb employee in Medford "NotxxJy knows where he's at He can't be found." The employee said he was unpaid and was still staffing the Poly-Carb office in the hopes of salvaging what he could from the bankruptcy. Wilwerding appears to t>e the consum- mate con artist, in more ways than one. •uthonties say lo late I9H, he hauled a 10-foot scale model of his machine, which resembled 'a large still, to demonstrations in Wells and Reno While be fed shredded fdm, flakes of rubber and pine chips into a Tiery red furnace at one end. a small valve at the other end Titled coffee cans with a gooey, blade liquid that Wilwerd- ing said contained chemicals that could be recycled by the petroleum industry However, be never brought the much larger working model be said was t>eing assembled ui his Medford plant to Wells WhJe he wai convincing WeUs ofH- cials to let him set up his operations there, he was selling stock allegedly ille- gally m Poly-Carb to would-be investors in other states. SecunUes officials in Oregon and Montana want Wilwerding for allegedly selling unregistered shares of Poly-Carb stock there. The Cascade County District Attor- ney's Office at Great Falls, Moot . has (lied sii stock-fraud charges against Wilwerding. including two counts of omission, giving false and misleading ■Latements in selling Poly-Carb stock, two counts of failing lo register as a stockbroker, dealer or salesman, and two counts of selling unregistered secuntles An accomplice in the Montana sales. Clifford Lee Allen, was arrested and convicted for similar charges last tall Allen received a lO-year state prison sentence, but nine years of the terra were suspended on the condition he reimburse Montana Investors the M9.000 they had paid for Poly-Carb stock The two counts charging Wilwerding with omission say he faded to inform the buyers he was previously convicted for murder and armed robbery Accordmg to Mono County, Calif, records, Wilwerding killed a Chico, Calif . man with a shotgun outside of Bridgeport m Octotier 1960 after the roan threatened to turn Wilwerding over to police for parole violations Wilwerd- ing had been arrested for armed rob- buies m Oregon, Utah, Idaho and Min- nesota No taw enforcement sources could say bow long Wilwerding was in prison before he was paroled, but they are trying to return him there. A Montana Judge has issued a warrant for Wilwerding's arrest and a federal warrant also has been issued, charging Wilwerding with unlawful flight to avoid prosecution. Leon Bellville, a securities examiner for the Corporations Division of the Ore- gon Department of Commerce, said Wil- werding IS under investigation for sell- ing unregistered securities in that state, loo When a toxic spill was discovered in WeUs on Memorial Day weekend 19S&, Wilwerding claimed vandals broke into a metal sned he erected north of the city's mam intersection on U S High- way 93 and opened the valve on his 9,000-gallon tank, draining the chemi- cals Wells Police Chief Chris DInsmoore could Hnd no physical evidence of saba- toge, however And that still left unanswered the question of what Wilwerding was doing with toxic chemicals His recycling Invention was supposed to process only non-toxic wastes such as old movie film, plastics, tires, agricultural refuse and pinyon scraps iW state Environmental Protection Division had given him an air emissio'i permit, but he had no authority to han- dle hazardous wastes Under civil orders from the division, Wilwerding returned to town in August 1965 to bulldoze the conLamif)ated ground into a plastic lined trench on the Bile, but disappeared before state offi- cials could gel Viim (o haul it away That left 84-year-old properly owner Judith Birdzell of Washington state "holding the bag," Mandeil said Under DEMONSTRATION: In this December 1984 file photo. Michael Wilwerding feeds waste material mto a recycling machir^ He said the device would produce chemicals lor use in the petroleum industry .^ . • federal law, the former Wells resident could have been held liable for the cleanup, but EPA officials decided there would be no point in taking action against an innocent victim Although Wilwerding entered an escrow to buy her land, "she never got a dime" for the five months be used it, Mandeil said. liiie state Hied a civil action against Wilwerding that could fine him up to $10,000 a day. Dodgion said, and he also could be subject to criminal penalties of up to $25,000 a day, plus cleanup costs, under criminal statutes The EPA has filed a claim in the Ore- gon bankruptcy proceeding for the $380,000 cleanup costs, but Mandeil admitted that the prospects of recov- ering that kind of money from the bank- ropt company were almost nil. Whoever gave Wilwerding the waste also could be held liable for the cleanup costs, Mandeil said, but the source of the chemicals would be very hard to trace, especially since they leaked Uito the ground EnvironmenUI Services Inc. of Port land. Ore , the company doing most West Coast Superfund cleanune. ttill lit- erally wash the 4O0 cubic yarta cf cor*a- minated dirt lliis week, a crew wiU dig ■ W Iwle and build a doubU-lir^d treatment -es- er.oir wbere ■' viil s^nnhlc the sell 'o !«ch not the creoso! and p*y«)l r>'en thr cooLdmim'led waUr wil! be fUlerbti through activated charroaJ Rlten, which will be incinerated at a bazard- ous-waste disposal site. Original plans called for sim[dy haul- ing the soil to a hazardous waste laod- fUT. Mandeil said, but the EPA decided to be more innovative "Otherwise, we'd be accused of a shell game. Just moving waste from place to place" The >ob should be done by about Tlunksgiving I>odgion said Wells ofricials should consider themselves fortunate to have gotten Ihe Superfund to come to Wells. He commended former Mayor Hike Nannini, City Councilwoman LJada Beller and CJty Manager Dave Martin for working hard to get the cleanup funds Wells officials say they probably will be more careful in tryiiig to check the background of new business prospects. but the experience has not cooled their ardor for trying to attract o*^ indus- try The whole ;ity was cnthir*'asbc ebotit yoly-CArb. not just the City Council. Mia Councilman Mike Enxsen "I'm no* so su4e that, if the lame type 0* guy came along . . . -we'd protwbly ne recrptiv* to it." *»e Mid. "Bu» we'd probfMy take a CKMr ionk at U," u ik- sen auiied I uuxik -e'rt • UUle U.tt::x xiCictt-^i lei./. "W; were dsf"Ut»»7 "sed snd ahi-^en. tVc're hnpeiill tt wmi't cva iiktTay in llio snow, ski, hike by alpine ciccks aJid v.-aterfalls, and clinib the rocky peaks. Tiie ranye is an ii;i[X)rt."uit wateishoti for tlie L:is Veix->rtise to a;jsuje our pn^cious water resource for future gi -ncraticns. U'e need to s-ave the A'-nu-ican ta>i5ayors noney by h.iving only oiie agency manage the Spring i"'t)iuit<3in Range. By increasing Forest SerA'ice l.^jids and putting nxjre green an the iiHps, Nevada can inciease its tourism industry. Nevada's great need for cconciuic diversification will be realized nure fully as nure dollars flow to Nevada fiom visitors wh.o learn tliat Nevada is much inore than a desert KasteLmd. Mining rights will not be affcK:ted, as the lilJ^ continues to manage all subsurface rT3sources on Et>rest Ser-vice lands in the United States. Water rights, the st iriibling block for the 1986 Enliancement Act, sliould be resolved rnlargcxi National Foiost of Nevada EnliaJicaiiont Act as e-Nisediojitly as possible and to enciiurage its tinoly passage tlvi-ough Ixitli legislative bodies. Tlioii'-ands of Nevadans are counting on you. MilHcins of Aiiuiricans are coiinting on you. Tlionk you. r 155 Correct boundary for Spring Mountains additions to the national forest Includes southern third of range Excludes Red Rocks 156 kmmy 157 LAHOSVTONl RA / 030 I'M . 03O127 . <:arson city NAASeOMeiNG TAHGET AREA- NAAS BOMBING TARCn AREA'' mi I Y»s«.^ f-* \WAI_KER RA 531 -cifliSTospIKi "■ IF... V DISTRICT S.^' ( k^\\e^ \^uf^\ +0 &L-M Unci'? w^^•^ o( tW^d line^) X \. 158 SUBCOM^lITreE ON PUBLIC U'NDS TES'nmNY TOR THE JUNE 30, 1987 HEARING iy%CORD S 854 NEVADA-FLORim LAND EXQIANGE AUl'HOHIZATION ACT OF 1987 Jean Perry- Jones, 30 Aspen, Mt. Qnarleston, Nevada I am here to testify against the Nevada-Florida land Exchange Authorization Act of 1987, S854 and HR1845. This seems to be a little-publicized act in Nevada, liavever the more Nevadans I speak to, the more vocal their indign.ant replies become. Ncvadajis ai-e appalled at this unotjualled "Land Exchange." Nevada is not a vast desert wasteland, good only for gambling and weapons testing. Nevada has its deserts, but the only waste- lands are those that have been bombed and nuked beyond habitation by Iran. Nevada is a beautiful state, with rrountains, forests, wildlife, and the spaciousness of a last frontier. It is a state for dreamers, e>53lorors, and settlers. Nevada attracts tliousands of Americans as new residents each year, and its metropolitan areas are growing at an astounding rate. Florida, too, is a beautiful state. Its wetlands certainly need to be preserved for their wildlife and ecological irrportance. However, Florida swanps are not \sorth t\velve times the value of Nevada's land, and that is the "exchange" equivalency. Aerojet is also asking for water rights, an issue that has triggered nany a battle in the arid West. The water they want rights to is a deep carbonate Pleistocene aquifer, which runs through the states of Idaho, Utah, Nevada, and Arizona. Recent hydnological studies of the aquifer have been unable to discern when and if the aquifer is replenished. It has not yet been tapped as a single water resource in any significant amount. Yet, Aerojet is currently planning on punping 2 million gallons per day of this pure water source in a desert enviroriment to use for industrial purposes. We have seen the devastation of lowered water tables in Nebraska from water taken from aquifers in Texas. We should te able to learn from past mistakes. Furthermore, immediate results from using 2 million gallons per day would be the likely stagnation and destruction of the Pahranagat Wildlife Refuge and the elimination of one of the few desert wetland habitats and breeding grounds. The I^as Vegas water sipply would also be throatonod by tlie tapping of the aquifer. As the Las Vegas area continues its rapid growth, it will need to have all of its resources available as the waters flow to the Vegas valley, and not have the flow shut off by such extravagent demands for its water. Nevadans also fear Aerojet 's track record of land mismanagement, as was evidenced in the Sacramento area. Rather than correct their problem of polluting the Sacramento water sufply in a timely manner, they increased the problem by expensive and long court battles. The lawiTBkers' hands were hopelessly tied while Aerojet played out the legal system. 159 Sliould tVie BLM wish to exchange iLs land boldinys for Uie national good, it should )x2 for Uie '^-^^^<^ //-e^'^ciA^ G'-r7^hi:L^(L^^rr-iy^rCC' 162 Im-^uolAo^ CuxA 1C)v«£^ -Tr\e^ 4-rej^S LJ.v\A \eJ^s ke^p -\V\ev^'\ ujcxu 3 Qd^ CV)or ^nrvxd" Ola (A \^vne-> . \ 163 _^_,.^^^^v^.< ^-^-^.z. .■„4^/>..^2^- ^A^xAri^>i^, '^^^^■•- ^M^ tf^ .,.^4^„_., 164 ^6, ^^'^ -^ 5/^5^ ^^—^ //^2^V^ 9^yy&^ JCze^ 165 5C/? CaCrnen "Slue/, 166 -XXjijOlAw^ ^-je-^A-oCT-^ CX<../jL' (.£,o4iL_yt^^_ ./Ui^.^W - 5.5^y - i-jWV^JAx AjL~rrK^ ^, r^jytjij^ C«reon Ciiv. rvtrv^jj / Rmu. Nrvddu Uir^m UiniU'i lluwdrJ Buulh AJberi "Sam' Angove Spokane. Wutriniion H«njU A KjniruJ Hui;h C VkMilUr BtfJIurd. Ntrw >ork C Ciilloo \uung Rrno. Siirvjdj RKkird I'uuKh \tr» Nurk. \rM ^urk Miriunrtrtada Rcncoe Poland Sea Ranch. Califofnia Ruitrr Svholl Rirflro. Nrvada DrummunJ I'ikr San Fiancixo. Calilorr^u Charin H Call-son Omvrr, (.oluraJu Charhn H SiiXldacd VlinunK. V%iM,un^in Paul Clitrord Cleveland Heighd. Ohio Hartief Allen San Diefo. Calitornia 89702 Testimony: Nevada/Florida Land Exchange Authorizat- ion Act of 1987/ S. 854. June 30, 1987 NEVADA OUTDOOR RECREATION ASSOCIATION, INC. NATIONAL PUBLIC LANDS TASK FORCE P.O. Box 1245 SOLTHWEST WILOLANOS EDUCATIONAL INSTTTUTt ISOaA) CsrSOn CltV NCVadS MOimiMN BOCHIES »LM TASK FOUCE CNOllAI ci J. o >_. 1 1 i 1_ jr , iKfVOua Senator Dale Bumpers (Arkansas) Chairman Senate Energy & Public Lands Subcmte Dirksen Senate Office Building Washington, D.C. 20510 Dear Senator Bumpers/Subcommittee members: This organization is regarded as the nation's oldest U .S. Bureau of Land Manag ement ( BLM ) Public Lands environmental advocacy. Founded in 1958, "NORA" fostered key provisions of a "mandate" that eventually became the Federal Lands Policy & Management Act (FLPMA). I co-authored the book "The Lands No One Knows" . which played a role in enactment of the BLM Organic Act(FLPMA). The Nevada-Florida Land Exchange Authorization Act(S. 854) is not so simple a Bill. We can tell you true horror stories about the Curtis-Wright case(1961) and the Point Reyes Exchange(1969) • These are still notorious examples of what led Congress to forbid inter- state land exchanges in FLPMA in 1976. This Bill epitomizes the kind of "sweetheart" land deal that has the ultimate goal of "privatization" of our Federal lands. A great deal is more at stake than 42,800 acres of primeval Sonoran Desert wildlands in the Caliente BLM Resource Area of SE Nevada. Docu- ments provided by Aerojet may actually belie the rocket testing aspect of this takeover. S. 854 is a "fast track" vehicle past our major environmental and protective land laws. Most grievous is the fact that this is a significant action affecting the environment. Illegal tactics by high Interior Dept. of f icials--to smash environ- mental regulations- -are involved here. We know, first hand, of telephone calls to U.S. Fish & Wildlife Service field personnel saying: "you're out of control; we don't want to hear about rare species". We can document related incidents, including an attempt to withdraw BLM lands without the required Section 7 Endangered Species Act study. Later, FWS produced a " jeopardy opinion" that depicted a threat to 14 Category I. and II species in the region. This was quashed. A Sacramento Bee FOIA inquiry proved this in 1966. Indeed, there was a FWS study showing that desert tortoises had undergone a 50% die-off in the region in 1980-85. Instead of enact- ing S. 854, what is needed is a Congressional investigation of Ass- istant DOI Sec. Bill Horn and Federal FWS liaison Steve Robinson. Over the past 2 years we've seen a shell game played with offered lands in Florida. It started with 12,000 acres of tomato farms that were supposed to benefit Everglades National Park. A couple shifts later, it became 4,600 acres of bone-dry brushlands. We have investigated the latter. It has no critical wildlife habitat. Of the two environmental analyses done by Aerojet (alone) , there is no volume on the Florida offered lands. We have supported land exchanges. We helped realize enactment of the Burton-Santini Act--wht,ch is now helping save environmentally sensitive lands in the Nevada-Calif. Lake Tahoe Basin, (continued) • IN MEMORIAM ." tNORA Foundcnl INFTTF FmuMlcn) Lniunvilkr. Nrvdii.. Rarno \«iJtl« bfnr-( luh/iM>n Richaril Holma Fallon. NcMU I'jul M TiUm I'ullm.n. VVMhingtun (...flTMrllU UM.TV M Luua. MAMiun Ovr.lJ t Fucvnun it lulMcu). MMyUnd 174 Xevada/Florida Land Exchange Auchorizacion Act(S. 85'4) page Chree Some Of The Rare 14 Species Impacted besert tortoise- -a NV protected species —. v^ ity sW^ /u^- yr^ Z^' /^^ cX^-' '^'T^^y^? Bus. Phone 875-4387 • Emergency / Fire 875-4189 • Star Route 42 • Box 3305 • Mountain Springs, NV 89124 211 212 HOT CREEK-ANTELOPE RANGE I identical character to ad- jacent National Forest lands I many elevations exceed 10,000 feet I numerous high altitude meadows -y % excellent wildlife habitat for upland game, bighorn sheep, deer and some elk ^ many recreational opportun- ities % historical charcoal kilns from the late 1800 's and many arch- eological sites 213 The OemacrAtic P^rttj *f C^ArU CoMtitt) Laura Kelly Smith • Ji <■ Gloria Edwards CHAIRMAN ^ " SECRETARY 557 East Saharn. Suite !1(). Las Vegas. Nevada 89104 (702 1 735-1600 June 22, 1987 Committee on Ener^ and Natural Resources 364 SD Senate Office Bldg. Washington, D.C. 20510 Attention: Sub Committee on Public Lands. National Parks and Forests Dear Chairman and Sub Committee Members, We enclose a copy of a resolulion in support of Senate Bill 59 and would like this resolution made a part of the Hearing record to be held June 30, 1987. We supported and indeed assisted the work of the National Task Force of Nevada on this issue. Sincerely, i/^c-t Laura Kellv Smith Chairman LKS/ge ^ZZ. 214 a The OetMocTAtic PArt»( of OArk Count\\ • ">« 557 East Sahara. Suite 110. Lis Vegas, Nevada 89104 I 702 i 735-1600 Laura Kelly Smith ■ s .^ Gloria Edwards chairman • " secretary RESOLUTION Whereas, in 1986, the National Forests and Public Lands of Nevada passed the U.S. House of Representatives unanimouslv and was on the veree of passing the U.S. Senate when the 99th Session of Confess came to an end and, Whereas, Nevadans from all parts of the State and aU walks of life have expressed support for leffislation in 1986 in public hearings held in Reno, Las Vegas, and Elko and. Whereas, agreement to the Nevada proposal was reached at a meeting in Washington D.C. on January 22, 1986 between state, local, Nevada Congressional Delegation, and officials of the Forest Service and the Bureau of Land Management. NOW, THEREFORE, BE IT RESOLVED by the Clark County Democratic Partv Central Committee that said body go on record supporting an act cited as S-59, The National Forests and Public Lands of Nevada Enhancement Act of 1987. ^^P^^^^u^y yZ^^:^' ^>J^c^>^^ Laura Kelly Smith Chairman 215 Ms. Harris. I don't know what that sound is. Senator Hecht. That's one of those things that's calKng us to a vote. I can give you about five minutes and then will have to run for that vote. Then we will adjourn for about ten minutes and we'll come right back. Ms. Harris. This is a document by the Forest Service which doc- uments the groundwater resources and the springs of the Spring Mountain Range in their particular area. It is a very fragile area, and we suggest that that, along with the Hot Creek area, which is an antelope habitat — no, it is on the Antelope Range, it is an elk habitat — be added to the Forest Service and that is along the Moni- tor Range. A map was also included with that. May I then progress rapidly to Senator Hecht. I'll tell you, if you don't mind, I don't want to push you since you have come a long way. Why don't you let me vote and we'll take a ten minute break. I won't have to rush you, then. But I do have to vote. That is my job. Ms. Harris. Oh, please vote. We appreciate your doing your job. Senator Hecht. We will have a ten minute recess. [A brief recess was taken.] Senator Hecht. The committee will come to order. Please pro- ceed. Ms. Harris. Basically, that I pretty well concluded my comments on the Forest Enhancement Act, except to state our concern that the wilderness study areas would be treated as national forest study areas for the wilderness, and that the water necessary to maintain and preserve the forested lands and to keep the flow of the streams would be taken care of. And whatever water language is necessary for the western states and the national issue not be addressed in this particular issue, but that the Forest Service be given the rights and the necessary guide- lines that they have always had. The next issue of concern, of course, is the Florida-Nevada land exchange, based on an appraisal report that I find as a real estate broker to be seriously flawed. I would state that we all want to sell our land for the most possible price and buy land for the least pos- sible price. But Aerojet General is talking about an industrial site, every time they speak about the land in Coyote Springs. However, the ap- praisal carefully discussed this land as if it were nothing but mar- ginal range land, that its highest and best use is only for range land, bad range land at that. Now I do not see Ralph Clark in a stetson hat riding the range. I do believe he wants an industrial site. And he stated at the land hearing in Las Vegas less than two weeks ago that they had chosen the site for power, water, and access to a population center but remote enough for security. They do have power with the power corridor. They do have access. They have two paved roads going from south to north on the east and the west boundaries. They have roads going across, at the southern end and at the northern end. And they have water. They have the MX well, which the apprais- al carefully values as if it were merely a cattle watering well, as 216 worth only $10,000. But that well is an exceptionally industrial well. It is comparable to the well that Southwest Gas is selling 40 miles south of Lake Mead for $350,000. It is not worth $10,000. The land is not worth $43 an acre. As range land, yes. As an industrial site, no. Congress of the United States is the trustee for the owners, the people of the United States. And as such, the owe the fiduciary re- sponsibility not to sell for less than its fair market value, or they are remiss in their responsibility as trustees. We all know this is to be used as an industrial site. The travesty of an appraisal based as if it were worthless land, not fit for an in- dustrial site, and so stated in the appraisal, makes a mockery of that responsibility. We are also over the deep carbonate aquifer. That MX well was the reason that the MX was fought successfully in southern Nevada. We are an arid water-poor state, and that aquifer is a big deep aquifer, but no one knows its extent. Now Peter Morris, the water engineer of the state, would like to stress the well to see just how much water is there. And I concur with his curiosity. But is there any assurance that Elko will not lose its water supply. And what assurance do we have under the Transfer Act that Aerojet wants of having only a monitor once a month during busi- ness hours when they call ahead for an appointment? We do know that a Representative from California has a well- documented case file. Representative Matsui of California, of the Aerojet pollution of the water supply of Sacramento through an in- jection well that was monitored as a class one but was in reality a class four well. What assurance do we have, and how can we protect the purity of that water? That fossil water is very pure now. Flowing out there, it is potable water. Will there be assurance that the toxic wastes that are used, and Aerojet states in last year's testimony on the exchange bill that they wish to draw down 2 million gallons a day for their prime use. What are they going to do with that water after it has been pol- luted? Will it go down into an injection well or how will they elimi- nate that toxic waste? We know the toxins that they have and that they plan to put into it. But we do not know how it will be disposed of. This is a concern of the citizens of the State of Nevada who must depend on that water supply for future growth. Sixty percent of the population of the state lives in that Las Vegas valley area. Pat Pine of the Las Vegas water district would like to tap into that aquifer. If it is polluted, it will be impossible to tap into. If it is depleted, it will be impossible to tap into. These are concerns that an environmental impact statement should address itself with. No environmental impact statement is needed if Congress does not request it. And we are requesting that in something of this magnitude the people of the United States be protected as to the value of the lands being given or traded, and that the people who are living in Las Vegas area and in the State of Nevada be protected for their 217 water supply, for access, for mineral rights, and for the necessities of life in that state. Thank you very much, sir. [The prepared statement of Ms. Harris follows:] 218 AD HOC COMMITTEE ON AEROJET NEVADA 105 Palm Lane Las Vegas, NV 89101 June 12, 1987 The Honorable Dale Bumpers, Chairman Senate Subcommittee on Public Lands U.S. Senate 308 Dirksen Bldg. Washington, D.C. 20510 Dear Senator Bumpers: We are deeply concerned about the Nevada/Florida land exchange being proposed by Aerojet General and the Department of Interior with the U.S. Fish and Wildlife Service serving as the lead agency. The proposed exchange - 51,710 acres of public land in Nevada for approximately 4,660 acres of Florida land owned by Aerojet - is now before Congress as the "Nevada-Florida Land Exchange Authorization Act of 1987," presented as identical bills, S.B. 854 and H.R. 1845. The Nevada lands involve two parcels: 8,900 acres in Garfield Flat and 42,810 acres in Coyote Springs Valley. Our concerns relate to the significance of the exchange to the Federal Government and to Nevada, and the impact it could have on the environmentally sensitive acreage in Coyote Spring Valley. We will identify the problems, as we see them, in general terms And present detailed information, photos and maps supporting these statements in separate enclosures. (1) The appraisal of the public lands in Nevada identified for exchange is grossly under fair market value and therefore violates the vaUie-f or-value rule that the BLM is obligated to pursue in all land exchanges. We view this as an attempt to shortchange the public. (2) The DOI and Aerojet in selecting Coyote Spring Valley for a rocket assembly and testing facility picked one of the most environmentally sensitive and significant areas in southern Nevada. Such an operation would have a major impact, probably to the degree of an outright threat, to several endangered, candidate and sensitive species of wildlife, especially the desert tortoise. (3) The handling and disposal of toxic waste has been given only superficial attention. Aerojet has said that some of the liquid waste would be sprayed on the ground after treatment. This could pose a threat to vegetation and wildlife. If any waste is injected into the ground it could contaminate the 219 aquifer that supports a warm-water resort, a large dairy farm, an Indian reservation and several communities. Aerojet's long and sordid history of toxic waste mismanagement at its Sacramento plant is well documented. (4) No effort was made to identify and consider alternative sites, of which there are several in southern Nevada, that are not particularly environmentally sensitive or significant. (5) No mitigation or compensation for Nevada's loss of these multiple-use lands has been considered or proposed except to pay for a few wildlife watering devices known as guzzlers. Indeed, an Aerojet official said "Nevada will get nothing out of it." We strongly urge Congress to stipulate that all or a major portion of the money received by the DOI from the sale of any public land in Nevada for this project be earmarked to purchase environmentally sensitive or significant private land available in the state. This then would become a part of the public domain enhancing wildlife and outdoor recreation areas open for the enjoyment of all. (6) The details available on the evolution of the proposed exchange strongly suggest that there was collusion between the DOI and Aerojet to facilitate the exchange to assure the Environmental Report would meet the requirements for the disposal of public lands and to avoid an Environmental Impact Statement and local input through public hearings. We are puzzled and believe an explanation is due Congress and the public why the U.S. Fish and Wildlife Service was made the lead agency and the BLM, except for the appraisal, was removed from all the procedures related to the exchange. (7) Nevadans are losing their public lands at an alarming rate. Total military withdrawals now exceed 4 million acres and the Navy wants an additional 202,899 acres to expand bombing ranges in Churchill County. Gold mining is expanding rapidly, taking over thousands of acres. Usages based on renewing resources are being eliminated. Compounding the problem is the failure of the military to return to multiple use lands no longer used or needed, such as the 142,650 acres in the Wassuk Range above Hawthorne, a prime area for deer and upland game bird hunting, camping and fishing. There is no assurance Aerojet would ever use the land. Indeed, Aerojet has said that if they do not use the land, "We will sell it. We are not in the land business." If the acreage were resold. Aerojet could reap an enormous profit and the buyer would be free to undertake development that would eliminate hunting and other outdoor recreations, as well as having a severe impact on wildlife and its habitat. We suggest that whatever site is chosen that it be on a lease or buy-back basis with the DOI . 220 In conclusion, we urge this subcommittee to deny favorable action on this bill and suggest it recommend the DOI be required to consider alternative sites and prepare a full Environmental Impact Statement and hold scoping hearings in Las Vegas and Caii.ente. \ Sincerely, Ad Hoc Committee on Aerojet Members ! /jjjj /Jui^.^u^^$^ Bill Vincent 1^ Betty Burge /^/ /fL^/ Bob Maichle Chen CinXoslce P.S. Two state land advisory committees - the Nevada State Land Use Planning Advisory Council and the State Conservation Commission, in joint session as the State Multiple Use Advisory Committee on Federal Lands - adopted a resolution June 16, 1987 asking Congress to order that a full Environmental Impact Statement be prepared before taking action on the Aerojet land swap proposal. The resolution said the appraisal was too low and asked that it be reviewed by an independent appraiser. The resolution also said the questions of mineral rights and access issues had not been addressed. Coyote Spring Valley is on the Overthrust belt, a formation identified as having a good oil and gas potential. The resolution reinforces the suspicion that the relation of the DOI with Aerojet was not at arms-length and supports the need for an investigation by Congressional committees or the General Accounting Office into all aspects of the land swap deal. 221 Exhibit 1 The Appraisal The appraisal made by the Bureau of Land Management and dated November 5, 1985, determined the value of land in Coyote Spring Valley as S45 an acre, and that of Garfield Flat as S55 an acre. The BLM review dated December 23, 1986, identified serious flaws in the appraisal, which will be identified in .an addendum. On November 16, 1985, 560 acres of undeveloped private land, known as the Butler Ranch, just across the state highway from Coyote Spring Valley were sold for S401.79 an acre. See attached Grant, Bargain and Sale and map. In explaining the wide discrepancy between the appraisal of BLM land and the sale of Butler Ranch, Aerojet told Congressional groups, state legislative committees and the press that there "was a 2,200-foot lighted runway and springs of water on it" (Butler Ranch) . A dozen years ago the Butler Ranch was the site of a brothel called Sheri's. A rough landing strip for light planes was established by blading off the sparse clumps of creosote, bursage and burrobrush. A wind sock was installed on top of a 30-foot pipe. There are no lights. (See photos.) The so-called springs are no more than underground seepage - not artesian - that support some vegetation. A well which only provided enough water for domestic use was abandoned when the five brothel trailers and small adjoining building burned to the ground a number of years ago. Aerojet further claims that the terrain of Butler Ranch differs from the rugged BLM site. However, this rugged terrain of Coyote Spring Valley provides a superior wildlife habitat to that of the Butler Ranch, thus providing a greater value to the public. Another example highlighting the gross underevaluation is the list of BLM land sales in Lincoln and Clark Counties in 1985. Nineteen parcels totalling 166.77 acres were sold for S315,097, an average price of just under $2,000. A 30.38-acre industrial site in Lincoln County (see first item on the computer printout) was sold to CPC (California Portland Cement) for 514,000 or more than 5450 an acre. A Clark County 36.39-acre parcel sold for $196,500, and .5-acre parcels in Lincoln County went for S700 to $1,000 an acre. (It should be noted that Coyote Spring Valley straddles the Clark-Lincoln County line.) A third example of the deficient appraisal relates to the City of Mesquite. This city has appfied for a public lands transfer to permit municipal expansion. A BLM appraisal has 222 begun. City Manager Paul Henderson said he expected the appraisal to come in at from $300 to $500 an acre with the "bad lands" portion, not suitable for development, having an asking price of $100 an acre. Note: Garfield Flat, an isolated area with no available power, only poor access and very limited water resources received a higher appraisal ($10 an acre more) than Coyote Spring Valley which has good access, a well tested at 6 cubic feet per second or 4,200 acre feet per year, and power lines running through the property. 223 State panels want studies by Aerojety^ •j't '■'1' By Mary Manning SUN Staff Writer "Miil iUiMAuM. Two state land advisory com- mittees called for Congress to / order a full environmental impact-'* statement on Aerojet's land swap "■' between Nevada and Florida^'' Tuesday. ''■'! Although a bill has been in-"'* troduced in Congress in April td-'- allow Aerojet to get 42,800 acrei"'' in'Coyote Springs and 8,910 acrdf •'* in Garfield Flat near Hawthorne''- for 4,650 acres of Aerojet land iAv Florida, near the Everglades, : both the Nevada State Land Use-;; Planning Council and the State;* Multiple Use Advisory Commitob tee on Federal Lands approved;, resolutions calling for full EISn studies. Since Aerojet introduced v? the proposal through the Interior;.^ Department, it did not need to-] conduct an EIS. ,; ? Sm aerojet, Pag* 2B Aerojet looking to Congress for land swap Continuad from Paga IB The resolutions also call for full EIS studies for any future large project Both groups said Aerojet's en- vironmental report did not ad- dress mineral rights, access to Nevada's land currently owned by the Bureau of Land Management, and water availability. Bruce Tanner of Clark Coun- ty's Comprehensive Planning Division said an environmental impact statement would not block Aerojet's expansion into Nevada from Sacramento, but would help local governments with informa- tion for construction and environ- mental permits needed to build the rocket engine testing ground. When asked why Aerojet came to Nevada — it b cleaning up toxic chemicals found in ground water near its facility in Sacra- mento, Calif. — Ralph aark, Aerojet's project manager in Ne- vada, replied the defense contrac- tor wanted to attract 1,000 people to work at the facility, access to power lines and water, roads and desolate location. Aerojet has applied to the state engineer for a waiter permit for three cubic feet per second, Gark said. If Congress approves the land swap and Aerojet builds its solid rocket fuel and testing site, 600 jobs will be available in economi- cally depressed Lincoln County and 1,400 jobs become available in North Laa Vegas and Las Vegas, he said. , Bill Vincent of Citizens Alert, which does not oppose Aerojet coming to Nevada, raised the is- sues of land appraisals and lack of alternate sites. "We think they were looking for a quick answer, an easy an- ' swer, and did not look at any other sites," Vincent said. In addition, Aerojet's ap- praisers settled on |4S an acre for Coyote Springs, Vincent said. Clark noted that Aerojet hired an independent appraiser and one taken from the Bureau of Land Managament's list. However, members of the con}- thittees said land in Nevada rare- ly wenOoFlinger 1300 an jcre with water. In addition. Aerojet got title to Coyote Springes mia- eral rights. '. :t , 224 Aerojet stalled on land swap By Christopher Beall » /l 1 1 ^ 7 Review-Journal ' Two state environmental com- mittees handed Aerojet-Nevada its first significant setback Tuesday to plans for a Florida-Nevada land swap to build a solid-rocket motor assembly pltint. The two statewide advisory com- mittees approved a resolution call- ing for an environmental impact statement on the project, even though federal laws do not require one and Aerojet opposes it. The advisory committees, the state Land Use Planning Advisory Council and the state Multiple Use Advisory Committee on Federal Lands, met all day Tuesday at the Thomas & Mack Center to discuss various federal projects in Nevada. Their resolution, the first gov- ernmental opposition to Aerojet's plans for the Lincoln and Clark counties project, said a project like Aerojet's, which involves more than SO square miles in Nevada, should always have a formal envi- ronmental impact statement that follows federal and state regula- tions. Environmental foes of Aerojet's land swap program hove argued that the environmental impact re- port is needed to slow the speed of the project and help a more thor- ough review. Ralph Clark, general manager of Aerojet's Nevada operation, said his company believes a less formal environmental report prepared by a subcontractor for Aerojet is suffi- cient to cover any envirormiental concerns. But various members of the two committees disagreed with Clark. They said concerns over access to public lands, use of water in the area, the degree of mining activity and protection of endangered spe- cies have not been adequately ad- dressed by the company. The controversy centers on a plan that has been endorsed by all four members of Nevada's congres- sionnl dr'eention. To help Aerojet develop a plant that will build solid rocket motors, officials with the U.S. Department of Interior arranged a swap of land that they hope will protect the sen- sitive Everglades area of Florida. Under the plan, which is subject to Congressional approval, about 42,800 acres in Coyote Springs Valley northeast of Las Vegas and 8,370 acres in Garfield Flats around Hawthorne would be turned over to Aerojet. In return. Aerojet would turn Please see AER0JET/6B Aerojet From IB over to the Interior Department 4,660 acres of Florida wetlands. The department would then sell the Florida acreage to the South Florida Water Management Dis- trict and use the money from the sale to buy land in a buffer zone around the wildlife refuge in the Everglades. The members of the Nevada land use committees said Tuesday they favored the general outline of the land swap plan, commending it as a good example of economic di- versification for the state. But several members of the com- mittees were disturbed to learn from Clark that apparently no ex- haustive mineral survey of the Ne- vada land has been made prior to approval of the land swap. The committee members were also concerned that plans for in- tense water use at the plant — 2 million gallons a day — would in- crease the value of the land above the price arranged in the land swap deal. Because of these concerns and others, the committees both voted to ask Congress to require a formal environmental impact statement. The state Land Use Planning Advisory Council, with represenU- tives from every Nevada county, added an amendment to the resolu- tion calling for an additional re- view of the appraisal process that led to the total acreage to be swapped in Nevada and Florida. 225 Senator Hecht. Thank you very much for your indulgence with the vote. Thanks again. Ms. Harris. You are welcome. Senator Hecht. The next panel, panel two, please come up. Okay, we will start off with Mr. Lenard Smith, Lincoln County Commissioner from Pioche, Nevada. STATEMENT OF LENARD SMITH, COMMISSIONER, LINCOLN COUNTY, PIOCHE, NV Mr. Smith. Thank you, Senator Hecht. It is a pleasure seeing you again. Senator Hecht. Thank you. Mr. Smith. I appreciate the opportunity to come here today. I also have been a land planner for the last 35 years before I became Lincoln County Commissioner for the Soil Conservation Service, and most of it in Lincoln County. So I feel like I have had a bit of experience in this county. I believe that this Aerojet proposal, S. 854 is one of the greatest opportunities for Lincoln County in this century, and may indeed save our county. We feel very strongly about this in the economic puddle that we are in right now. I would like to go on with several segments of my testimony. The government without taxing authority, I and my colleagues are striving to run a government of 6.8 million acres, with a taxing au- thority of only about 1 percent of the area. I ask how many governments can survive under these circum- stances. This year the only way we could avoid a deficit situation was to reduce budgets of many of our departments and suspending spending last month because of a cash flow problem. Private land and tax base is a primary ingredient to successful administration and economic growth. For economic growth, our people need jobs. And jobs, for jobs we need private land and indus- try. What is a job worth? A newspaper article under the heading "Alarm" said that Nevada is getting nothing out of the Aerojet land exchange but the potential for maybe 1,000 jobs. This statement which scoffs that jobs for people are not impor- tant is a twist of irony that their northern friends cannot compre- hend. Their communities do not have a large percentage of their homes, school rooms and places of business empty. Their children do not have to move away to find a job. A job is of course an essential part of our existence. I do not know how to measure its worth in dollars and cents, but to a family it is of great worth. I can only tell you that from the standpoint of local government, it means less welfare, indigent, and law enforcement problems. It means a healthy society, and that is what I believe that we are all striving for. Environment, humans, and reality. The planet we live on is being encroached by humans. Some people question and actively object to this fact of life. Rights of humans are questioned. Rights of lower forms of life are held on a pedestal and in many ways are revered in an almost fanatical frenzy. 226 The frenzy causes emotionalism and turmoil and pits one way of thought against the other. The fact is that they two should work together to complement each other. Human life is precious. If it was not, why should we spend so much time and money on medical care on those who can not pay for it even. Humans are the highest form of life created on this earth, and it was meant for them to rule over the earth and everything in it. Rule does not mean devastate or destroy. We believe that progress can be an orderly, development process in fully harmony with the sensitive environment around us. We believe that the serious mistakes to our environment are behind us. We now have the expertise, the technical ability and laws to back this up. There is no need to stop critical progress be- cause of those who cast aspersions, unrest, distrust, or misrepresen- tations. We wonder about much of the motivations for this, and can only suspect opportunities for personal gain that goes beyond sound judgment and reasonableness. Aerojet General is a responsible and progressive company. A year and a half or more ago I had the opportunity to visit the Aer- ojet plant in Sacramento with the governor of our State who was very enthusiastic about the program. We toured the facilities, we saw the grounds, and explored with Aerojet's people the environmental problems of the past. I found that they have acted in a very responsible and diligent way to alle- viate problems which occurred at their instance. Forty million dollars worth of repentance. In some Nevada hear- ings I have heard a number of lies and misrepresentations of the early day Aerojet problems in Sacramento. Regardless of the seriousness of the problem. Aerojet has acted spontaneously and progressively to alleviate the damages in every conceivable way. Their efforts have been instigated by the company without orders from the courts or any other entity. I deeply regret such unfounded attacks and have difficulty in un- derstanding their motivation. Aerojet has spent about $40 million to correct the problems and will continue with much more until it is entirely right. Biting the hands that feeds them. I witnessed in Sacramento a terrific wild flora and fauna program at the Aerojet facility. In Lin- coln County, I have watched Aerojet turn every way to meet the problems and demands to make the program right. It seems, though, that there is no solution deemed good enough short of stopping all progress in this land. We have discussed that for us to continue our way of life we must progress and grow. We must use our land to its best and highest use. However, we see those who fight against such progress enjoying all the amen- ities of the affluent life that is produced by these industries. They continue to bite the hand that feeds them. World politics is also a threat to our way of life. The only way our life can succeed is to continue to stay ahead of the enemies with our technological advances. It is only with such companies as Aerojet that we can keep out in front. 227 If we lose to the communists we can forget all about our environ- ment too. We know that they have little concern regarding such sensitive issues. We want to go on with our orderly development. Nevada has a relatively clean environment. We cherish this, and I believe we are fortunate that the early years of this country's in- dustrial growth bypassed Nevada when the dangers to our environ- ment were not understood, resulting in many mistakes. Now we have the concern, technology and the laws that will assure safety to our environment while we industrialize at this time. Most states around us do not have that advantage. Now we can plan for and allow orderly development that is meaningful and necessary to a growing economy. We really deeply appreciate growing in this economy. I see the red light is on. I would like to say something just quickly about the outback of Nevada. Nevada in general may be the outback of the contiguous states, but Lincoln County is the outback of Nevada. I would like to draw your attention to the map of Nevada here, showing Lincoln County in the white area. Lincoln County is bigger than three states, New Jersey, Rhode Island and Delaware, and bigger than nine. Those three combined, but bigger than nine. Also I would like to draw your attention to this enlarged map of Lincoln County alone. You see the little white dots there. Those little white dots are private lands. Only 1 percent of Lincoln County is private land. These private lands of Lincoln County are like scattered islands of a great sea of public land. On islands of the sea, the people can use the resource of the sea for their needs and sustenance. More and more, however, our people are stifled by encroaching restrictions of the bureaucracy around us, or the whim of local bu- reaucracy. Such laws and restrictions are placed on us by big city populations who are enamored by the wild west and manipulate us with their legislations. We know our conditions and our plight. We need and deserve to have more voice in our life, in our livelihood, and our future. Senator Hecht. You have got to read the next paragraph. That is the best paragraph of all. Mr. Smith. Have you already read it? Barefoot and pregnant. Some back\voodsy ways of life have been described by the man of the family in those circumstances, bragging that they keep their womenfolk barefoot and pregnant. More and more, our most rural counties feel that they are kept in this condition. Perhaps it is not aimed that way, but it certainly has worked out that way. We have searched long and hard for economic survival. Every time we find an industry or a way to alleviate our problems we are knocked out of it. Thank you. [The prepared statement of Mr. Smith follows:] 228 Board of County Commissioners of Lincoln County, Nevada P.O. BOX 329. PIOCHE, NEVADA 89043 TELEPHONE (702)962-5185 TESTIK3NY OF LENARD SMTIH LINCOLN COUNTY OC»lMISSIONER CALIENTE, NEVADA CN S.854 BEFiQRE SUBXMMmEE CN HJBLIC LANDS, NATICffJAL PARKS, AND P3RESTS SENATE ENERGY AND NATURAL RESOURCES OCWMi'lTEE JUNE 30, 1987 Mr. Chairman and Meaonbers of the Ocanmittee. . . It is a great honor and rare privilege to come to this, the greatest capitol on earth, guardian of that Constitution which I firmly believe was divinely inspired by the Almighty to lead the earth to peace and liberty. I give my testimony today in complete sincerity of heart, knowing the plight of my people and the needs and circumstances of our area. I I beUeve that this Aerojet proposal is one of the greatest opportunities for Linaoln Oounty in this century, and may indeed save our cxxmty frcm extinction. There are several issues to be seriously considered: 1. FEDERAL vs. PRIVATE OWNERSHIP When Nevada was brought into the Union, it was with the agree- ment that it was to be on an equal footing with the other states. To make a long story short, Nevada never realized this goal, as you all realize very well. We are yet dominated by 872 publicly administered land. Until the 1976 Federal Land Policy Act, we.were still operating under laws that were of the understanding that these vacant lands of Nevada were only held in a caretaker status until such time as was right to be transferred to private or state administration. 229 Testimony to the Senate Subcommittee on Public Lands. National Parks and Forests Lenard Smith. Lincoln County, Nevada Commissioner Page 2 The Federal lands Policy Management Act of 1976 (EUm) changed that, and the land vas placed under the lock and key of the Federal Goverratient. It is a rare opportunity for Nevada to r^ain some of it's land to te used by Nevadans for the good of Nevada. THE 'OOTBACK' As Nevada in general may be the outback of the contigous states Lincoln Ocunty is the OOTBACK of NEVADA. I would lite to draw your attention to the map of Nevada vrtnch shows Lincoln County in v*iite, and the ccstparison of States SMALLER than Lincoln County. Next I draw your attention to the reap of Lincoln County, showing private lani, vtoich is shown by the vAiite areas. Only slightly over 1% is private. As the parable of the Good Sh^jherd in St. Mathew explains. He has the ninty and nine and goes to find the cm vfloich is lost. Vfe have the one and are searching for the ninety- nine . ISLANDS OF THE SEA ■Qiese private lands of Lincoln County are like scattered islands in a great sea of public land. On islands of the sea the people can use the resources of the sea for their needs aind susteneinoe. Mare and more, hcwever, our people aire stifled by the encroaching restricticns of the burocracy arcund us or on the whim of the local burocracy. Sudi laws and restrictions are placed on us by big city papulations v*o are enamoured by the 'wildwast' and manipulate us with their legislations. We knew cxir conditions and plic^. Vfe need and deserve to have more voice in our life, livelihood and future. BAREFOOT AND PREGNANT Some backwoodsy ways of life have been described by the man of the family in those circumstances, bragging that they keep their women- folk 'Barefoot and pregnant'. More and more, our most rural counties feel they are kept in this con- dition. Perhaps it isn't aimed that way, but it certainly has worked out that way. We have searched long and hard for economic survival. Everytime we find an industry or way to alleviate our problems we are knocked out of it. 230 Testimony to the Senate Subcommittee on Public Lands, National Parks and i^orests Lenard Smith, Lincoln County, Nevada Commissioner Page 3 LINCOLN COUNTY ECONOMICS ' Lincoln County is severely affected in it's^economyby a series of reversals. Mining, which brought early day prosperity, is all but gone. There Isn't a single actively operating mine in the county at this time. Agriculture, which has been the long-term, stabilizing factor, is now operating less than a tenth of it's capa- city and on the verge of bankruotcy. The railroad used Lincoln County as it's division point with a full scale operation center. It has now modernized and moved out and presently only hire a skeleton crew. The major Alaska - Mexico route, U.S. 93, formerly traversed the length of the county. Due to modifications it now by-passes the majority of the county resulting in a loss of tourism trade. Regardless of the overwhelming odds we are working valiantly, long and hard to improve our condition. We have formed an Economic Development Task Force, led by Ms. Shelly Wadsworth , who is with me today to help explain the economics of Lincoln County. GOVERNMENT WUHOOT TAXING AUHKRITY I and iny i t tee on Public Land^. National Parks and Forests Lenard Smith. Lincoln County. Nevada Commissioner Page 5 AEROJET GENERAL - A RESPONSIBLE AND PROGRESSIVE COMPANY A year and a half ago I had the opportunity to visit the Aexojet plant in Sacramento with the Govenxsr of our state, v4io was very enthusastic about the program. We tcured the facilities, and saw the aground and explored with Aerojet 's people the ■ enviominental problems of the past. I found that they have acted in a very responsible and diligent way to alleviate problems vhich oocured at their instance. $40 MTLLiaG HCfRIH OF REPENTENCE In scBoe Nevada hearings I've heard a nuniber of lies and misr^resentations of the early-day Aerojet problems in Sacramento. Regardless of the seriousness of the problem. Aerojet has acted spontaneously and progressively to alleviate the damages in every ooncievable way. Tlieir efforts have been instigated by the ocnpany without orders frcm the courts or any other entity. I de^ly regret such unfounded attacks and have difficulty in understanding their motivation. Aerojet has spent about 40 milliOTi to correct the problems and will continue with mudi more imtil it is entirely right. BITING THE HAND THAT FEEDS IHEM I witnessed in Sacramento a terrific wild flora and fauna program at the Aerojet facility. In Lincoln County I have watched Aerojet turn every way to meet the problems and demands to make the program right, it a=emci ttou^, that there is no solution deemed good enou^, short of stopping all progress in this larxl. we have discussed that for us to continue our way of life, we must progress and grow. We must use cur land to it's best and hi^iest use. However, we see those who fight against such progress, enjoying all the amenities of the eiffluent life that is produced by the industries. They continue to bite the hand that feeds thesn. 233 Ttstimony to the Senate Subcommittee on Public Lands, National Parks and forests Lenard Smith, Lincoln County, Nevada Commissioner Page 6 W3RID pouncs World politics is also a threat to our way of life, the only way our way of life can succeed is to continue to stay ahead of the enemies with our technologiceil advances. It is only with such canpanies as Aerojet that we can keep out in front. If we Lose to the oanajnists we can forget about our environment too! Vfe know that they have little ctxxjem regarding such sensitive issues. ORDERLY DEVELOPMENT Nevada has a relatively clean environment. We cherish this and I believe we are fortunate that the early years of this country's industrial growth by-passed Nevada when the dangers to our environment were not understood, resulting in many mistakes. Now we have the con- cern, technology and the laws that will assure safety to our environ- ment while we industrialize at this time. Most states around us do not have that advantage. Now we can plan for and allow orderly development that is meaningful and necessary to a growing economy. We deeply appreciate living In this great country and have faith that our petitions will be heard and that decisions will be made for what is right and best for all. Thank you. 234 Senator Hecht. Thank you very much for taking the trip over here. Shelley, how are you? STATEMENT OF SHELLEY WADSWORTH, EXECUTIVE SECRE- TARY, ECONOMIC DEVELOPMENT TASK FORCE, LINCOLN COUNTY, NV Ms. Wadsworth. I am very well. Thank you. Senator Hecht. Nice to see you in Washington after seeing you in Carson City. Ms. Wadsworth. And it is nice seeing you again. We look for- ward to having you back in Lincoln County. Senator Hecht. Thank you. Next month, August. Ms. Wadsworth. Mr. Chairman, Members of the committee, ladies and gentlemen, my name is Shelley Wadsworth, I am the ex- ecutive secretary to the Lincoln County Economic Development Task Force. It is an honor to be here in the Nation's capital to testify on behalf of the Aerojet Nevada land exchange. I am a Nevadan and I have been for 30 years. I have grown up, lived, and worked in Lincoln County. I am biased, I know, but we have the best place in the country to live and raise our children. We have clean air, water, and a beautiful countryside. The only think we lack is jobs. Aerojet Nevada's land exchange alone would increase our land base tax base half again. In our county, which in size is larger than nine states, we have only 1.2 percent of the land as a tax base. The rest is Federal or state owned. The minimal tax base poses serious budget problems. If you read the Washington Post this morning, you may have seen an article regarding the crunch many local government's face because of cut- backs in revenue-sharing. It is the history of the state and Federal government in the last few years to pass laws, rules, and regulations which increase de- mands on local government while the Federal government at the same time cuts revenue-sharing, reducing payment in lieu of taxes, et cetera. The Federal government in making these demands greatly bur- dens local governments, in some instances forcing local govern- ments near bankruptcy, such as our own county is. Laws, regula- tions, and especially court pronouncements have added 50 percent to the cost of staffing local jails. The courts can say, because you lack five square feet to give this poor, unfortunate, humane conditions, we will soak you $1 million. But never a word is said about where to get the money to add space to a jailhouse built over 50 years ago. The Health Department of the United States mandates proce- dures for cleaning up the environment or enforcing child support, adding 20 percent to costs of the local district attorneys, but noth- ing but match grants are offered to offset additional costs. Sound local governments are in a budget-busting position to come up with matching funds, yet are faced with sure court action if they do not spend money they do not have. One big help the Fed- 235 eral government can offer us is to give land that industry can build on, thus broadening our tax base and providing badly needed jobs. As I have said before, Lincoln County is 98.8 percent Federal land. As a rancher and miner's daughter, I can tell you of many battles with state and Federal agencies just in trying to carve a living from our land. When your private land is surrounded and sometimes it is at seige by the Federal lands, you face many difficulties not encoun- tered by other property owners in the United States. I use "at seige" because ranchers and miners and other public lands users are constantly under the gun. Here in the east you can raise 40 cattle to the acre. You can hardly imagine an area which is considered fairly fruitful for Nevada, needing 15 acres a month to support one animal unit. I can make this point because so many huge tracts of land are being grabbed in the West with no concern for the impact on the local people. Our lands are not as productive as the lands in the east, therefore we need much more land to simply survive. It is unnerving to have to deal with the fact that your life and livelihood would be sacrificed, because even though you are an American, you are expendable because you lack votes, therefore po- litical clout. The arbitrary land grab of the Groom Mountains of 80,000 acres in the southern area negatively affected the land users there. No concern for their plight was shown. Seven ranchers and miners in the area near the national park were seriously affected by that ac- quisition. The wilderness areas picked always seem to go after prime min- eral deposits and grazing lands. Why? My theories are not appro- priate here. But I am gravely concerned for rural Nevada. We not only face losing our access to the lands that support us, but we also face the constant threat of the state park system con- demnation proceedings, because our family ranch of over 100 years would be a nice addition to a huge, largely unused park system in Lincoln County. We are in double jeopardy, and that is supposed to be unconstitutional. Rural Nevadans face economic hard times. We have been in de- cline for 20 years and when we think we have reached the lowest point, we find that there are lower points. Ranching, mining and the railroad once were booming industries in our county. Now, within five years, all three are all but gone. Agricultural lands are out of production. Only 10 percent are producing and they all face bankruptcy. All mines are shut down and the railroad pulled out. Lincoln County faces extinction in a very real sense of the word. Our organization was once the Economic Survival Task Force. It was named so because of the severe economic hard times we faced and were in and because of the determination we have to survive. The sad fact is, though, all the determination in the world cannot save a dying county without government help instead of hindrance. Land values in Lincoln County have dropped 50 percent in 10 years. You will find the land value analysis done by a master appraiser at financial designs. You will note the drop of land values of 11 236 percent overall since 1985. Pioche and Alamo experienced minimal growth because low income retired people are moving in more and more. The current total assessed value of the country is $46 million, down from $49 million over a year ago. Aerojet's land exchange would increase our county's acreage by half again. Once the project is complete, our tax base could triple and then some. Our county assessor stressed that these are low figures. He estimates the project could improve our net worth to $205 million. This does not include all the new housing, sister industry, and growth of local businesses in our communities. Can you imagine the impact of increasing our budget 2.5 times? A county which was forced to go to our state legislature to ask for $600,000 to allow our local government to exist. Our land values are dropping. I lived and worked on a ranch in the northern half of the county, which is now bankrupt. This place has been for sale for four years going on five. The asking price four years ago was $4.5 million. Today it is going for over $2.5 million. Two million dollars cash would buy you a ranch with 1,300,000 acres of public grazing, 9,000 acres in pri- vate land, over 30 livestock and irrigation wells, over 100 natural springs, three hot springs, three reservoirs, four sets of apartments, 10 homes, a huge shop, numerous corrals, a 1,000 head capacity feed lot, an outdoor and indoor arena, stables for horses, and a beautiful natural pasture at headquarters. All in a beautiful high desert setting, with Mount Wheeler to the north, and all for $54 an acre. A beautiful place with improve- ments, water, fishing, hunting, and all for $54 an acre? My first thought when I asked the asking price for Aerojet's Coyote Springs land was that they were overcharged. The conserva- tion district gives land ratings by agricultural value on a scale of one to eight, one being the very best. Coyote Springs is a very low eight. The soil is skeletal and acres of water would not make it suddenly fertile again. The acreage is desolate. The Federal Land Bank estimates land values- in the West by how many head of stock can be supported by a tract of land. The highest rate given is $1,000 per head. Geyser, with all its beauty and water and forage, can support 4,000 head of cattle. It should be worth more than $2 million, at the lowest at least $250 an acre, and it goes for $54 an acre. The Aerojet land can support 40 head of cattle for only 30 days every four to 10 years, making it worth less than $3,400 30 days every four to 10 years. The BLM says that this land is rarely used because it rarely has forage that lasts any longer than 30 days. The highest possible use for Coyote Springs is what Aerojet pro- poses. The good to Nevada and Lincoln County is immeasurable. It is funny that the Federal Land Bank charges $1,000 per animal unit while the Federal government charges $60,000 per animal unit. I wish Geyser could sell so well. Coyote Springs Valley is north of Las Vegas, 57 miles in the middle of a vast rubble desert. The plant life is hostile and wildlife is minimal. I feel secure in my concerns for the environment, that Aerojet is a responsible and effective addition to the environment. 237 I think the champions of the tortoise grossly underestimate the adaptabiUty of the tortoise and its intelligence and ability to sur- vive. Do you realize that only 2 percent of the endangered and extinct animals became so in the last few thousand years? The other 98 percent became extinct before man was on earth. Aerojet will protect and preserve the wildlife while enhancing their environment. In rural Nevada the small town, isolated from the mainstream U.S., faces a slow and sure extinction. It would be a terrible loss to Americana if all rural American fades to ghost towns because human quality of life took a back seat to reptile lifestyle. We are forced to raise our children to look to the city for employ- ment because at present no jobs with a future exist. Our unemploy- ment rate looks deceptively low because when a person loses their job they move. They nothing exists to replace the lost jobs. Lincoln County lost 318 residents last year. This is a population of 4,000 people. Busi- ness licenses in one town are down over 30 percent this year. Our own state legislature denied us one safe clean industry this year. I hope my Congress will not deny us Aerojet as well. We are proud. We want to help ourselves by economic diversification. But we need your help. I strongly urge you to pass the Aerojet land exchange. The addi- tion to our tax base alone could help relieve the severe budget defi- cit in our local government and open the doors to a strong econo- my. Thank you. [The prepared statement of Ms. Wadsworth follows:] 238 TESTIMONY OF SHELLEY WADSWORTH EXECUTIVE SECRETARY, ECONOMIC DEVELOPMENT TASK FORCE LINCOLN COUNTY, NEVADA ON S.854 BEFORE SUBCOMMITTEE ON PUBLIC LANDS, NATIONAL PARKS, AND FORESTS SENATE ENERGY AND NATURAL RESOURCES COMMITTEE JUNE 30, 1987 Mt. Chairman, Members of the Committee, Ladies and Gentlemen-my name is Shelley Wadsworth. I am the Executive . Secretary to Lincoln County's Economic Development Task Force . It is an honor to be here in the Nation's Capital to testify on behalf of the Aerojet Nevada Land Exchange. I Eua a Nevadan and have been so for 30 years. I have grown up, lived and worked in Lincoln Covmty. I'm biased I know, but we have the best place in the covmtry to live and raise our children. We have clean air, water and a beautiful country side-the only thing we lack is jobs. Aerojet Nevada's Land Exchange alone would increase our land tax base 1/2 again. In our county, which in size is larger than nine states, we only have 1.2% of the land as a tax base. The rest is Federal or State owned. The minimal tax base poses serious budget problems. If you read the Washington Post this morning, you may have seen an article regarding the crunch many local governments face because of cutbacks on revenue sharing. It is the history of State and Federal Government the last few years to pass laws, rules and regulations which increase demands on local government, while the Federal Government at the scime time, cuts revenue sharing, reducing payment in lieu of taxes, etc. The Federal Government in making these demands, greatly burdens local governments, in some instances forcing local government near bankruptcy, such as our county is. Laws, regulations and especially Court prouncements have added 50% to the costs of staffing local jails. The courts can say "Because you lack 5 square feet to give this poor unfortunate humane conditions, we'll soak you $1 Million dollars 1" But never a word is said about where to get the money to add the space to a jail-house built over 50 years ago! The Health Department of the United States mandates procedures for cleaning up the environment or enforcing i 239 child support adding 20% to costs of local Distric Attorneys but nothing but match grants are offered to offset additional costs. Sound local governments are in a budget busting position to come up with matching funds yet are faced with sure court action if they don't spend this money they simply don't have! One big help the Federal Government can offer is to give land that industry can build on, thus broadening our tax base and providing badly needed jobs. As I have said before, Lincoln County is 98.8% Federal land. As a rancher and miner's daughter, I could tell you of many > battles with state and federal agencies just in trying to carve a living from our land. When your private land is surrounded and sometime at siege by the Federal lands, you face many difficulties not encountered by other property owners in the United State. I use "at siege" because ranchers and miners and other pxiblic lands users are constantly under the gun. Here, in the East where you can raise 40 cattle to the acre, you can hardly imagine an area which is considered fairly fruitful for Nevada — needing 15 acres a month to support 1 head of cattle. I make this point because so many huge tracts of land are being grabbed in the West with no concern for the impact on the local people! Our lands are not as productive as the lands in the East, therefore, we need much more land to simply survive! It is unnerving to have to deal with the fact that your life and livelihood are to be sacrificed because even though you are American, you are expendable because you lack votes, therefore political clout. The arbitrary land grab of the Groom Mountains of 80,000 acres in the southern area negatively affected the land users there; no concern for their plight was shown. Seven ranchers and miners in the area near the National Park are seriously affected by that acquisition. The wilderness areas picked always seem to go after prime mineral deposits and grazing lands-why? My theories are not appropriate here, but I am gravely concerned for rural Nevada. We not only face losing our access to the lands that support us, but we also face constant threat of the state park system coming after the minimal local private lands through condemnation proceedings, because our family ranch of over 100 years would be a nice addition to a huge, largely unused park system in Lincoln County. We are in double jeopardy! And that is supposed to unconstitutional! Rural Nevadans face economic hard times. We've been in decline for 20 years. When we think we've reached the lowest point we find there are lower ones. Ranching, mining 240 and the railroad once were booming industries in the County. Now within 5 years all 3 are all but gone. Agricultural lands are out of production. Only 10% are producing and they all face bankrupcy. All mines are shut down and the railroad pulled out. Lincoln County faces extinction in a very real sense of the word. Our organization was once the Economic Survival Task Force. It was named so because of the severe economic hard times we w^re in and because of the determination we have to servive. The sad fact is though all the determination in the world '/ cannot save a dying County without government help instead of hindrance. Land values in Lincoln County have dropped 50% in 10 years. You will find a land value analysis done by a master appraiser at Financial Designs. You will note the drop of land values of 11% overall since 1985. Pioche and Alamo experienced mimimal growth because low income retired people are moving in more and more. The current total assessed value of the County is 46 million — down from our 49 million a year ago. Aerojet 's Land Exchange would increase our county's acreage 1/2 again. Once the projects are complete our tax base could triple and then somel Our County Assessor, Bill Lloyd, stressed that these are low figures. He estimates the project could improve our net worth to 205 million dollars. This doesn't include all the new housing, sister industry and growth of local business in our communities. Can you imagine the impact of increasing our budget 2 1/2 times? A county which was forced to go to our state legislature to ask for $600,000 to allow our local government to continue to exist! Our land values are dropping — I lived and worked on a ranch in the Northern half of the county which is now bankrupt. This place has been for sale for 4 years, going on 5. The asking price 4 years ago was 4.5 million dollars. Today, it is going for 2.5 million dollars. Two million cash would buy you a ranch with 1,333,230 acres public grazing, 9,212 acres in private land, over 30 livestock and irrigation wells, over 100 natural spings, 3 hot springs, 3 reservoirs, 4 sets of apartments, 10 homes, a huge shop, numerous corrals, a 1000 head capacity feedlot, an outdoor and indoor arena, stables for horses, and beautiful natural pastures at headquarters — all in a beautiful high desert setting with Mount Wheeler to the North, and all for $54 an acre. 241 A beautiful place with improvements, water, fishing, hunting, and all for $54 an acre. My first thought when I heard the asking price for Aerojet 's Coyote Springs land was they were over-charged! The conservation district gives land ratings by agricultural value on a scale of 1-8 — 1 being best. Coyote Springs Valley is a low 8. The soil is skeletal and acres of water would not make it suddenly fertile. This acreage is desolate! The Federal Land Bank estimates land values in the West by > how many head of stock can be supported by the tract of land. The highest rate given is $1000 per head. Geyser — with all it's beauty and water and forage — can support 4,000 head of cattle. It should be worth even more than 2 million dollars, lowest at least $250 dollars an acre and it goes for $54. The Aerojet land can support 40 head of cattle for only 30 days every 4-10 years, making it worth less than 40,000 for 30 days every 4-10 years. The BLM says rarely is it used because rarely is there forage and that lasts no longer than 30 days. The highest possible use for Coyote Springs is what Aerojet proposes. The good to Nevada and Lincoln County is immeasureable. It is funny that Federal Land Bank charges $1000 per head of cattle, while the Federal Government charges $60,000 a head. I wish Geyser could net so well! Coyote Springs Valley is North of Las Vegas — 57 miles in the middle of a vast rubble desert. The plant life is hostile and wildlife minimal. I feel secure in my concerns for the environment that Aerojet is a responsible and effective addition to the environment. I think the cheunpion of the tortoise grossly underestimates the adaptability of the tortoise and it's intelligence and ability to survive. Do you realize that only 2% of the endangered and extinct animals bacame so in the last few thousand years? Aerojet will protect and preserve the wildlife while enhancing their environment. In rural Nevada the small town, isolated from mainstreeun U.S.A., faces slow and sure extinction. It would be a terrible loss to America if all rural America fades to ghost towns because human quality of life took a back seat to reptile lifestyle. 242 We are forced to raise our children to look to the city for employment because at present no jobs with a future exist. Our unemployment rate looks desceptively low because when a person loses their job, they move. They know nothing exists to replace the lost job. Lincoln County lost 318 residents last year. Business lincenses in one town were down 30% this year. Our own State Legislature denied us one safe, clean industry this year. I hope my Congress won't deny us Aerojet as well. We are proud. We want to help ourselves by economic diversification, but we need your help. I strongly urge you to pass the Aerojet Land Exchange. The addition to our tax rolls alone would help relive a severe budget deficit in our local government and opens the doors to a strong economy. Thank you for your time. 243 ADDENDUM I :-FVSi:R RANCH 1,333,216 Acres 30 Irrigation Wells 3 00 Springs 3 Culinary Wells - Supports 3,000 head mother cows year-round .4 Apartments 10 Homes 1 Mechanic's Shop 10 Corrals 1 Indoor Arena and Stable 2 Natural Hot Springs 2,000 Acres Natural Pastures COYOTE SPRING ;ALLEY 45,000 Acres None None One Supports Less than 50 Cattle 1 month every 4-10 years None None None None None None None Asking Price $54.00 per acre Asking Price $45.00 per acre wildlife abounds at Geyser, there is deer hunting, elk hunting, fishing for native brown trout, bass in the hot springs, and rainbow trout in the mountain streams nearby. Multitudes of other wildlife are present on the ranch property. / Tortoise, lizards, and snakes plus jack rabbits and the occasional coyote are supported by the Coyote Spring Valley. Deer do not range there; the big horn sheep are over the mountain. Aerojet's facility in California is a wildlife paradise. They re-introduced species of flora and fauna that had been eliminated in the area. The ground looks like a wildlife preserve. The addition of management can only enhance the lives of the wildlife at the proposed Aerojet land exchange. 244 TABLE OF ASSESSED VALUE ADDENDUM II Geyser Ranch Assessed Value 1982 Geyser Ranch Assessed Value 1987 Lincoln County Assessed Value 1986-87 Lincoln County Assessed Value 1987-88 Value (Approximate) of Land In Exchange Value (Approximate) of Improvements - Est. 300 Million Value of Proposed Incinerator 4.5 Million 2.5 Million 49,593,268 46,216,419 1,190,000 105,000,000 4,600,000 Project Total County Value When Both Projects Are Completed 155 Million This represents a 2 50 percent improvement in value of county and would increase county budgets 2 J times! 245 ADDENDUM Ill/Page 1 of 7 LAND VALUE ANALYSIS FOR LINCOLN COUNTY NEVADA The figures used in this analysis have come from Lincoln County Realty and the appraisal files of Financial Designs. They are based on the average cost for a two and three bedroom home that is between 15 and 35 years old. The dwellings are located on typical city lots. The analysis covered a period of time from 1979 to the present. Alamo and Pioche were the exceptions as there was in'suf f icient data for the years 79 and 80. ALAMO The property values in Alamo have decreased approximately 9 percent from 1985 to the present. The property values in Alamo peaked in 1982 and declined until 1986. They are now experiencing an upswing which may be due in part to speculation about Aerojet. CALIENTE The property values in Caliente have decreased approximately 20 percent from 1985 to the present. The property values in Caliente peaked in 1985. They have since been declining. PANACA The property values in Panaca have decreased approximately 26 percent from 1985 to the present. The property values in Panaca are now what they were in 1979. The property values peaked in the years of 81 and 82 and have declined from that time to the present . PIOCHE The property values in Pioche have increased approximately 11 percent from 1985 to the present. The property values in Pioche have experienced a recent increase in value. This can be attributable to the influx of retired individuals who have income and like the beauty and quiet that is unique to Pioche. 246 ADDENDUM III Page 2 of 1 GENERAL Historically, Lincoln County has been tied to the mining industry. As the values in precious metals fluctuated so also did the population base. Increases and decreases in the population directly effect the value of land through the law of supply and demand. Virtually all of Lincoln County has experienced a decline in property values over the past two years. On a county wide average, land values have decreased approximately 11 percent from 1985 to the present. Land values have not kept pace with inflation. These figures are alarming to County and City leaders as well as the business sector. Through less dependence on mining and the state government agencies that employ a large number of people and an increased effort for economic diversification, land values will have a basis to increase. An increase in land values is a good indication of a strong economy. Figures were compiled by Gordon L Wadsworth , CFP, MRA, MFLA, a certified appraiser. 247 ADDENDUM III Page 3 of 7 49 46 .H E 43 4iJ 33f as -»■ 3^ - -ff- I ;/ : i' l' 1 1 r- 79 an ai -| 1 — i3 34 4 -^ V', ',V'. V. ^( — I — i35 o6 □ Parrjz $ j^^rg^. 0 ^^^j^Jjj^ 248 ADDENDUM III Page 4 of 7 i-J"-" — . ■ ■■ ' 43' - _> *~^ — ^', 43 - ■ ■■_. ...47- 7 "■•-, "1 JjF: _ ■ 1 ; 1 c .1 'i 8- J • 45- - / 'l £ 44 - 43- 42 - 41 - 4JJ - 1 1 1 1. \ 1 \ •• 1 / 1, / ¥ 1 1 1 1 1 1 1 1 tib ti€i 249 ADDENDUM III Page 5 of 7. ' uJEi - 43 - 44 - T! 4.5 - ri * 42 - li: 4i;i 57 ^ I 1 — 7a 79 so "I r I T i 1 — r- !ji3 izi4 tiS 3G r '_y_i 1 1 250 ADDENDUM III Page 6 of 7 47 - 46 - • « 45- c" -n t 44 - S 0 4,3 rfr— a^ 4IJ H Jj ^ 33 « r : V. "T 1 1 1 1 1 1 li'-i al tij! cj3 ti4 ciS 36 3 a Por.oro 251 ADDENDUM III Page 7 of 7 i Par 252 o 2; Cl. — "O ;::^ ST :2 « G. ?i- " '^ /« * w 00 CO rt X O irt — ■ o rt. sj *r ^-■^ (T ^ -^ -^ *^ '^ < r3 *-- H-s « o » " < ^ 3 0.0-; 3ft 9-'^332c'^ =■ « & c 3 I 2 °^s its 8 III S|||!|o-^l^.» 0-0 o c "v: *^° c 2 -S "« S 8 » £^_:e. 3 5 3 ^v; r" » ;; -O. Co c •"< ST J H. g. Q. S. 3 3 "g 8 S -O <=> o ,, „ m ^7^ r** &) O E* r; TSBOo* - £.3E 3' 3 OJ n. H. 5? n> 3 g D. S.« S§ =?s-3-^ 3e:5: o : cr a ii-gv^s. 3)5 I 253 ■i- ADDENDUM 4 / Page 2 of 2 . Tuesday, June 30, 1987 A5 :-.^-„_- n ;l By David Hoffman Wahinllon Pw SuffWiiur 'President Reagan, buffeted by t le Iran-contra aiffair and Demo- c atic "-• opposition in ■ 0)hgress,' \ iwed yesterday to carry his "cru- a ide" into the 1988 campaigns and lid his presidency has not Tiiii X)ut . those iwbo^talklaboat.ilaifae J and'the!postrReagan}era are ^d wrong,*.tfae president isaid iaa I to a group {^R«public^4oyr; . "I can t help but noticing that J sameiiysjs. ^ij^qge^nopn- today IS to use the next year and a half to secure the progress that We've made'so fair ;"..'. V^ i .: " . .' . Some in &)ngress want to cut -defense spending,- xaise taxes and go back to the old days of big government I_won't let them," he said to, applause,, from, the, group, which.jncluded 1980 and 1984 cam- ^^Reagan. again, cntidaed the^wid- |etVr»Mu^pa''jappi:qved .by-^tlj^ DemoOTtKJ^ntTQlied : Con^^ and ^aid speiKling ^1^'that come io the^ Wjute; ^oitse and "reflect prior- 7 HhrfV>^^^1da^y%vtf ■■■■II nA ^^^MH itiMlirjberesolutioninll o^r^S, ,^<^ijig>1i^>th^ViMgi!i^ianel^^ :- f; f'linitto FoirJotifibilioii*iUMl»£dtettt8 ?^^^ ^aoaehdftfreedomnaiW^dfemoicnicj^ ^^arauikiatfaeWorkliiiAineikd •maH'^'H^-K^, ote Spring Valley^ nsljrump Lot V«go« FIGURE 2.1 264 MAP 2 265 Senator Hecht. Thank you very much. Okay, Fred Wright? STATEMENT OF FRED WRIGHT, LEGISLATIVE AND ISSUES REP- RESENTATIVE, NEVADA WILDLIFE FEDERATION, INC., RENO, NV Mr. Wright. Thank you. Senator. Nice to see you again. Senator Hecht. Good to see you. Thank you for coming. Mr. Wright. I would like to thank you and Chairman Bumpers for holding this forum. I would like to address both bills. Senator Hecht. OK. Mr. Wright. And I am going to read a statement that I have shortened in deference to time. Senator Hecht. Good. Mr. Wright. For the record, I am Fred Wright, legislative and issues representative of the Nevada Wildlife Federation, a state- wide sports and conservation organization and affiliate of the Na- tional Wildlife Federation. We are here today to discuss the wildlife issue. We are not taking up the issues of land values or the method of performing the transfer, should it occur. In each debate over the Aerojet exchange that I have attended, wildlife is a controversial concern, that includes claims of dire impact. The issues that we will briefly cover are the national and Nevada wildlife ramification, the tradeoffs of economic diversifica- tion, and we have several recommendations to offer. Concerning the national aspects, wildlife resources in Florida should benefit in that the Fish and Wildlife Service will ultimately be able to add to the National Wildlife Refuge System. Our organization knows that as one of the fastest-growing states, percentage-wise, and being predominantly a public lands state, with minimum acreages on the tax roll, the change has to occur. Further, we recognize Nevada's emphasis on economic diversifi- cation. Our mission, therefore, is to see that the wildlife resources receive a fair consideration as we move in that economic direction. The actions that Aerojet agrees to take or will permit to be taken will result in reasonable mitigation and enhancement of wildlife values. Bighorn sheep, upland game birds, and their watering de- vices on-site and off-site have been addressed. Extraction of ground water and its possible impacts upon wild- life, particularly endangered fish, and other water interests is the responsibility of the State Engineer first, and it falls under the state water laws for administration. The primary loss from our point of interest is no further public use of the 42,000 plus acres of Coyote Spring Valley. The tradeoff will be economic benefit to Lincoln and Clark County, and hopeful- ly new employment opportunities for Lincoln County residents. The desert tortoise stands to gain under the proposal. While Nevada does not consider the tortoise to be threatened or endan- gered, some populations are in decline. Factors bearing upon the species are human encroachment on their habitat, livestock graz- ing, abusive off-road vehicle use, highway mortalities, collecting and holding reptiles as pets. 266 Exhibit F, section 9 provides for setting aside 17,000 plus acres to enable and encourage continued study and observation of the desert tortoise. The area selected for the set-aside holds the higher populations of the general area and are considered as critical habi- tat in this vicinity by wildlife specialists. By phasing out grazing, posting and patrolling the area for Aero- jet security, and fencing the reduced vehicle mortality means the population will not be subject to the present random, indiscrimi- nate uses and will benefit from reduced man-caused hazards. In reality, a reserve is being created in Nevada for these reptiles, something that government has not yet done. The net effect would seem to be wildlife enhancement. We have heard Aerojet testimony before the Nevada legislature in which the 17,000 plus acres set aside was described as a conser- vation reserve, with the declaration that it is to be in perpetuity as a property deed restriction. How long the conservation reserve would exist and the prospects of future sale of the property have been contentious issues. There- fore, we suggest several strengthening amendments to section 9, and they are detailed in our attachment A. Those amendments would do the following. Formally classify the set-aside as conservation reserve. Two, direct that the area descrip- tion be recorded as a deed restriction upon successors in interest. Three, remove the questionable need for an initial 20 year period. Four, directs that activities conducted within the conserva- tion reserve be accomplished with minimum impacts on tortoise habitat. And five, use of the reserve for other than those stated will be guided and approved by a conservation reserve board. In closing, while I am not in a position as representative of the Nevada Wildlife Federation to say that we support the exchange, neither do I say that we oppose it. This is due to our longstanding position of objecting to the removal of public lands from general use. The tradeoffs are reasonable in this case, and balance and en- hancement will occur. We have encouraged Aerojet to go beyond the stipulation of Exhibit F that provides for an employee educa- tion program to heighten their awareness of the desert tortoise by their conducting a public relations program that adopts this critter, that has survived virtually unchanged for over some 17 million years, as their Nevada site mascot, and use the characterization of the tortoise as a logo and foster interest in this relic of the past. The Department of Wildlife also has an opportunity to work with the utilities that will use the power corridor by doing so in a manner in which it respects the desert tortoise habitat and their needs. Finally, our second recommendation to you is that a public hear- ing of some Congressional level be held in southern Nevada on the exchange program, and we understand that will be forthcoming. Senator Hecht. That is correct. Mr. Wright. And just briefly, in regard to S. 59 — Senator Hecht. Please summarize. You are over quite a bit right now. I do not want to cut you off. I have not cut off anyone else. But please summarize. 267 Mr. Wright. I am a member of the Nevada Tar k Force and also representing the Nevada Wildlife Federation. And we support S. 59, with the one exception and one area where we feel the issue is moot. We concur with the findings and the purpose of the act. The ex- ception is the elimination of the BLM lands on and around Peavine Mountain, Washoe County, lands that were included in the 1986 act. I feel the Federation would also support the addition of lands in southern Nevada that meet with the findings and purpose of the act. In our opinion, the highest and best use of those Peavine lands are watershed protection, recreation, and scenic background. Mining would continue under the transfer as a legitimate use. Being in close proximity to the metropolitan Truckee Meadows area and the valley communities north of Peavine, there is a need for a more intense management of all activities than they have been receiving. Mining on the site, therefore, needs to be better administered to be compatible with the other uses, thus minimizing hazardous sites close to the urban population. We feel mining interest objections to more diligent surface man- agement, and certainly any objections to bonding requiring reason- able reclamation of the site, should be considered secondary to the greater public benefit that would come from placing the area under the Forest Service jurisdiction. The concern that miners will lose their one-stop shopping, that is having to deal with the Forest Service in addition to BLM, should be set aside in lieu of greater concern over how well the public lands are being administered. In supporting S. 59, we want it understand that we recognize that the BLM professionals are concerned and diligent in their management efforts. But as an agency, they are so structured that they are more vulnerable to pressures of the commercial public land users. While the proposed BLM Forest Service interchange was bad for Nevada, it produced a positive result. It brought out the generally held public belief that the Forest Service had a better reputation of natural resource protection and management. It has a larger budget and is less subject to political pressure than BLM. Therefore, adding the lands to the forests in Nevada fol- lows that public concept. We have actively encouraged local gov- ernments in Washoe County to support S. 59, with the inclusion of Peavine Mountain. To date, Washoe County commissioners and the Spark city council have each adopted a resolution in support. In regard to the issue that we feel is moot from Nevada's per- spective is reserve water, for all the reasons that you have heard. And we would hope that S. 59 does not become burdened with a national water issue. Thank you for your time. [The prepared statements of Mr. Wright follow:] 268 Nevada Wildlife Federation, Inc. An Affiliate of the National Wildlife Federation Post Office Box 7 1238 Reno, Nevada 89570 TESTIMONY OF FRED WRIGHT REPRESENTING THE NEVADA WILDLIFE FEDERATION, INC. ON S. 59 (THE NEVADA NATIONAL FORESTS AND PUBLIC LANDS ENHANCEMENT ACT OF 1987) TO THE SUBCOMMITTEE ON PUBLIC LANDS AND FORESTS IN THE SENATE COMMITTEE ON ENERGY AND NATURAL RESOURCES JUNE 30, 1987 Good afternoon. My name is Fred Wright and I'm the Legislative and Issues Representative of the Nevada Wildlife Federation. The Nevada Wildlife Federation is the largest conservation organization in Nevada representing some 1,500 sportsmen and conservationists and 25 sportsmen's organizations. We are also the official state affiliate of the National Wildlife Federation. The Nevada Wildlife Federation is in support of the National Forest and Public Lands of Nevada Enhancement Act of 1987, as is evidenced by the passage of Resolution 14 on January 31, 1987, at our annual meeting in Las Vegas. However, our support of the Act has several exceptions. One of those exceptions deals with reserved water, which we understand caused Congressional objection to the 1986 Enhancement Act. dedicated to the conservation of Nevada's natural resources, particularly wildlife and wildlife habitat 269 TESTIMONY OF FRED WRIGHT, NEVADA WILDLIFE FEDERATION, June 30, 1987 The Nevada Wildlife Federation feels the issue of reserved water is moot as it relates to this Act, due to Nevada's circumstance where- by the Truckee, Carson, and Walker rivers which rise on National Forest lands are fully adjudicated. Due to the physical location of most of the lands to be transferred to the National Forest (down- stream of existing forest land) , the Act should be silent on that issue, rather than set a presumed precedence for other states' Enhancement Acts. Our other concern is the exclusion of most of the BLM lands around Peavine Mountain, Washoe County, just north of Verdi-Truckee Meadows. This area was included in the 1986 proposed Act. Based upon the boundary associated with S. 59, only one half of one section is to go to the USES. While this is an important one-half section that includes the head of Bull Ranch Creek and associated riparian areas containing a good stand of aspen and some white fir, it raises the serious question of why the rest of the BLM. lands were excluded in the 1987 Enhancement Act. We have to assume that a request for exclusion was made by several local patented mine claim holders on the east side of Peavine Mountain. Several gentlemen having mining interests there appeared last fall before the Washoe County Planning Commission to express concern over the Reno Ranch Resort project that would develop approximately 460 acress of its 7,000-plus acre holdings around Peavine Mountain. They pointed out that a proposal in Congress (the 270 TESTIMONY OF FRED WRIGHT, NEVADA WILDLIFE FEDERATION, June 30, 1987 1986 Enhancement Act) would place everything west of U.S. 395 under the USFS and they said, "There's a lot of difference between the Forest Service and the BLM. If this proposal (1986 Enhancement Act) passes, it might affect some of the thinking regarding this project and might cause some problems for the applicant." The project was approved by the Planning Commission and by the Board of County Commissioners. Over 90 percent of the 7,000 acres will be retained in open space. During the BLM/USFS Interchange hearings in Nevada, the common thread of input was that the USFS was more effective in the administration of its land than the BLM. Not because the professionals were not as concerned or as diligent in the BLM, but because the BLM is more vulnerable iio political pressures of the commercial users of our public l^nds, a' situation only Congress can rectify. We, therefore, feel that concern over more active management of the Peavine Mountain area is what caused a request for exclusion. Our support for the Forest and Public Lands Enhancement proposal is based upon the premise that changing administrative roles for the lands involved brings with in enhancement of professional multiple-use management by the respective agencies and results in improved efficiency and more cost-effective management. That premise applies to the land around Peavine Mountain, only much more so due to its proximity to urban areas. Peavine Mountain and environs is highly important to the adjacent urban areas for its watershed, scenic background, and recreational 271 TESTIMONY OF FRED WRIGHT, NEVADA WILDLIFE FEDERATION, June 30, 1987 use. With regard to mining, there are approximately 560 acres of patented mining claims held mostly by nonresidents, the US Government, and the primary developer in the McQueen Planning Area. There are approximately 150 unpatented mining claims on the BLM lands, some now adjacent to residential developments. The patented mining claims will not be affected by an administrative change were it to occur. New mining ventures on public land would come under stricter surface control and bonding reguirements to assure site reclamation if the USFS were administering the area. Because there is interest in mining in the area, we feel that the stricter management measures required by the USFS are highly justified, considering the heavy use the area receives from the public. Recreational use of the public and private (presently posted) land includes sightseeing, picnicing, participation in snow sports, off-road vehicle driving, and deer huting, among others. The general area is used by wintering deer, with the highest numbers in the key wintering area. Peavine Mountain is home to a resident population of 100-200 deer and a wintering population of up to 2,000 animals depending upon the overall size of the Loyal ton-Truckee interstate deer herd and the severity of the winters in California. Washoe County is adopting the Verdi Area Plan which recognizes the value of retaining views, scenic features, and wildlife habitat in conjunction with development on private lands. The north Peavine wat^ershed is being evaluated to 272 TESTIMONY OF FRED WRIGHT, NEVADA WILDLIFE FEDERATION, June 30, 1987 determine how the runoff may be used to recharge north valley area ground water. Due to the area's many values to Washoe County citizens, it deserves more attention, management-wise, and that attention can be devoted by the U.S. Forest Service, along with local government involvement. As previously stated, we feel the highest and best management of the area is for watershed protection, scenic background, and recreational uses. Mining under the USFS can continue as a legitimate use of the national forest lands as mandated by law. The only difference would be more responsible reclamation of new claims. Existing patented mining claims and access to them will not be affected. Therefore, we respectfully request that the proposed boundary in the 1987 Act remain as it was in the 1986 Act — all lands west of U.S. 395 from the state line through Reno. I would like to thank you for your consideration and would be happy to answer any questions that you might have. 273 Nevada Wildlife Federation, Inc. An Alliliate of the National Wildtile Federation Post OHice Box 71238 Reno, Nevada 89570 TESTIMONY OF PRED WRIGHT REPRSSENTIMG THE NEVADA WILDLIFE FEDERATION, INC, CN S.854 (NEVADA-FLORIDA LAND EXCHANGE AUTHORIZATION ACT OF 1987) TO THE SUBCOMMITTEE ON PUBLIC LANDS AND FORESTS IN THE SENATE COMMITTEE ON ENERGY AND NATURAL RESOURCES JUNE 30, 1987 My name, for the record, is Fred Wright, Legislative and Issues Representative of the Nevada Wildlife Federation, a statewide sports- men-conservation organization and an affiliate of the National Wild- life Federation. We are here today to discuss the wildlife issues that will result from the passage of S854. In each debate over the Aerojet exchange that I have attended, wildlife Is of controversial concern and includes claims of dire impacts. The Issues we will briefly cover are the national and Nevada wildlife rajnif ications and the trade-offs of economic diversification and development versus loss of public use of the BLM lands. Finally, we have several recommend- ations to offer. Concerning the national aspects of S854, we understand that wild- life resources in Florida will benefit in that the Fish and Wildlife Service will ultimately be able to purchase non-public lands to add to the National Wildlife Refuge System in Florida due to the exchange. For Nevada, we find that the wildlife issues have been adequately addressed as covered under Exhibt F of the land exchange agreement referenced in SB54. We will however be offering a strengthening amend- ment. Our organization knows that as one of the fastest growing states, percentage wise, and being predominately a public land state with minimum acreage on the tax rolls, that change has to occvir. Further, we recognize that Nevada's emphasis is on economic diversification. Cur mission therefore is to see that wildlife resources receive fair dedicated to ttie conservation of Nevada's natural resources, particularly wildlife and wildlife habitat 274 TESTIMONY OP FRED WIGHT, NEVADA WILDLIFE FEDERATION, June 50, 1987 consideration as we move in that economic direction. The actions that Aerojet agrees to take or will permit to be taken will result in reasonable mitigation and enhancement of wildlife values. Bighorn sheep, upland game birds and their watering devices on site and off site (guzzlers) have been addressed. Extract iai of ground water and its possible impacts upon wildlife particularly endangered fish, and other water interests is the responsibility of the State Engineer and fall under state water law for administration. The primary loss from our point of interest that will occur if S854 becomes law is no further public use of the 42,800 acres of Coyote Spring Valley and reduced access opoortunity to west side of the Meadow Valley Mountains. The trade-off will be economic benefit to Lincoln County and Clark County and hopefully employment opportunit- ies for Lincoln County residents to help offset the swings in mining boom and bust and reduced railroad employment. The desert tortoise stands to gain under the proposal. While Nevada does not consider the tortoise to be threatened or endangered, some populations are in decline. Factors bearing upon the species are human encroachment on their habitat, livestock grazing, abusive off-road vehicle use, highway mortalities, collection and holding the reptiles as pets which is illegal. The provisions in Exhibit F, Section 9 (pgs.3-4) provides for settirg aside 17,885 acres to "enable and encourage continued study and observation of the desert tortoise." The area selected for set-aside holds higher populations in the general area and are considered as critical habitat by wildlife specialists. By phasing out grazing, posting and patrolling the area for Aerojet security and fencing to reduce vehicle mortality means the population will not be subject to the present random-indiscriminate uses and will benefit from reduced man-caused hazards. In reality, a reserve is being created in Nevada for these reptiles, something that government has yet done. The net effect would seem to be wildlife enhancement. We have heard Aero jet testimony before the Nevada Legislature's Senate and Assembly Committees that deal with natural resources in which the 17,885 acre set-aside was described as a "Conservation Reserve" with the declaration that it is to be in perpetuity as a -2- 275 TESTIMONY OF FRED WRIGHT, NEVADA WILDLIFE FEDERATION, June 30, 1987 property deed restriction. As the length of existence of the Conserva- tion Reserve and the prospects of future sale of the property have been contentious issues, we suggest several strengthening amendments to section 9 (pgs. 5-4) of Exhibit F and embodied in our attachment A. Those amendments do the following: 1) Formally classify the set-aside as Conservation Reserve 2) Direct that the area description be recorded as a deed restrict- ion upon successors in interest 3) Removes the questionable need for an inital 20 year period 4) Directs that activities conducted within the Conservation Reserve will be accomplished with minimum impact on tortoise habitat 5) Use of the reserve for other than those stated will be guided and approved by a Conservation Reserve Board anytime Aerojet has a need In closing, while I am not in a position as representative of the Nevada Wildlife Federation to say that we support the exchange, neither do I say we oppose it. This is due to our long standing position of objecting to the removal of public lands from general use. The trade- offs in this instance seem to be balanced and enhancement will occur. We have encouraged Aerojet to go beyond the stipulation in Exhibit F that provides for an employee education program to heighten their . awareness of the desert tortoise by conducting a public relations program that adopts this critter that has survived virtually unchanged over some 27 million years as their Nevada Site mascot, use a character- ization of the tortoise as a logo and foster interest in this relict of the past. Finally, our second recommendation to you is that a public hearing of some Congressional level be held in southern Nevada on the exchange proposal. Thank you for this opnortunity. -3- 276 Attachment (A) Proposed amendment to Exhibit F paragraph 9, pgs. 3 and 4 a part of the Land Exchange Agreement Between Aerojet General Corporation and the United States of America (Note: Brackets are deletions, underling is new text) 9. For the purpose of enabling and encouraging continued study and observation of desert tortoises located on Aerojet property. Aerojet agrees to set aside an area of the Coyote Spring land, to be known as "Conservation Reserve" consisting of approximately 17,885 acres, specifically described in Attachment (1) to this Exhibit F and shall be recorded by Aerojet as a deed restriction %tpon successors in interest to the land, [for a period of twenty (20) years from the date on which Aerojet acquires the Coyote Spring Land. During such 20-year periodj Aerojet agrees that the reserved acreage shall be used only for the installation of roads, water wells, utilities, facility signs or [other] wildlife protective measvires agreed to in this Agreement. Further, it is agreed that activities conducted on the Conservation Reserve will be done in a manner that will minimize disturbance of the desert tortoise habitat. [At anytime after such 20-year period has elapsed. Aerojet agrees that it shall} Use of the reserved acreage for any reasons other than those stated above j^unless its propsed use isj shall be approve in advance by a majority of a seven-member Conservation Reserve Board which shall consist of persons holding the following positions or by their designated representatives ; 1. 2. 3. 4. 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CLARK ON S.854 BEFORE SUBCOMMITTEE ON PUBLIC LANDS, NATIONAL PARKS, AND FORESTS SENATE ENERGY AND NATURAL RESOURCES COm-lITTEE JUNE 30, 1987 PRELIMINARY DRAFT ENVIRONMENTATL ASSESSMENT SENT TO ENVIRONMENTAL GROUPS Date: 12/10/86 Sent to: Desert Tortoise Council (K. Berry) Riverside/ CA Telephone or Letter Comments provided Follow-up by Recipient No Yes 12/16/86 Citizens' Alert Carson City, NV Yes 12/18/86 Nevada Outdoor Recreation Assoc. (NORA) Carson City, NV Yes 12/23/86 Red Rock Audobon Society Las Vegas, NV Yes 1/20/87 National Parks & Conserva- tion Association Washington, D.C. Yes Sierra Club/Washington Office Washington, D.C. Yes National Audobon Society Washington, D.C. Yes None None None None None None Wilderness Society (W. Butler) Washington/ D.C. Yes None 289 EIWIRONMENTAL REPORT AND DRAFT LAND EXCHANGE AGREEMENT SENT TO ENVIRONMENTAL GROUPS Date: Sent to: Telephone or Letter Follow-up Coaments provided by Recipient 3/30/87 Audobon Society Las Vegas, NV 3/30/87 Desert Tortoise Council (G. Stewart) Long Beach, CA 3/30/87 Desert Tortoise Council (B. Burge) Long Beach, CA 3/30/87 Sierra Club of Nevada {J. Van Ee) Las Vegas / NV 3/30/87 Citizens' Alert Las Vegas, NV 3/30/87 Desert Tortoise Council (K. Berry) Long Beach, CA 3/30/87 Defenders of Wildlife (S. Johnson) Las Vegas, NV 4/3/67 Defenders of Wildlife Sacramento, CA 4/3/87 National Public Lands Tasl< Force and Nevada Outdoor Recreation Association Carson City, NV 4/3/87 Lahontan Audobon Society Carson City, NV 4/22/87 National Parks and Conserv- ation Association Washington, D.C. 4/22/87 Sierra Club Washington, D.C. Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes None None None None None None None None None None None None 290 Environmental Report And Draft (cont'd) Date: 4/22/87 4/22/87 4/22/87 Sent to: Telephone or Letter Comments provided Follow-up by Recipient National Audubon Society Washington, D.C. Wilderness Society Washington, D.C. (S. Whitney) Wilderness Society Washington, D.C. (M. Fishel) Yes Yes Yes None None None 291 ENVIRONMENTAL REPORT AND DRAFT LAND EXCHANGE AGREEMENT ********************************************************************** SENT TO INDIVIDUALS/AGENCIES ********************************************************** Date: 3/2/87 Governor Richard Bryan State of Nevada Date: 3/30/87 Lenard Smith Caliente/ NV Michael Dyal City Manager North Las Vegas, NV Mary Manning Las Vegas Sun Newspaper, NV Christopher Beall Las Vegas Review Journal, NV Richard Holmes Clark County Comprehensive Planning Nevada U.S. Fish & Wildlife Service Desert National Wildlife Range Las Vegas, NV Nevada Department of Wildlife Las Vegas, NV Pat Shalmy Clark County Manager Nevada Ben Collins Bureau of Land Management Las Vegas, NV Date: 4/3/87 John Walker State Clearing House Office of Community Services Nevada Fred Wright Nevada Board of Wildlife Commissioners Randy McNat U.S. Fish & Wildlife Service Great Basin Complex Reno, NV Ed Spang State Director/BLM Reno, NV Bob McQuivey Nevada Department of Wildlife Reno, NV Pete Morros State Engineer Division of Water Resources Carson City, NV 292 INDIVIDUALS/AGENCIES (cont'd) Date: 4/3/87 Lew Dodgion Administrator Division of Environmental Protection Carson City, NV Pam Wilcox Administrator Division of State Lands Nevada Jim Schofield State Assemblyman Nevada Date: 4/7/87 Commissioner Fred Schmidt Nevada Public Services Commission 293 ADVISEMENT OF BILL INTRODUCTION AND HEARINGS UPDATE ********************************************************************** SENT TO INDIVIDUALS/AGENCIES ************************************* Date: 5/20/87 Bob McQuivey Randy McNat Nevada Department of Wildlife U.S. Fish & Wildlife Service Great Basin Complex Lew Dodgion Nevada Division of Environmental Protection Nevada Fred Wright Nevada Board of Wildlife Commission Pete Morros State Engineer John Walker Division of Water Resources State Clearing House Nevada Office of Community Services Nevada Ed Spang State Director/BLM Pam Wilcox Nevada Administrator Division of State Lands Jim Schofield Nevada State Assemblyman Nevada 294 ADVISEMENT OF BILL INTRODUCTION AND HEARINGS UPDATE SENT TO ENVIRONMENTAL GROUPS Date: 5/20/87 Lahontan Audobon Society Defenders of VJildlife Carson City, NV Sacramento, CA National Public Lands Task Force Nevada Outdoor Recreational Association Carson City, NV Date: 5/27/87 Desert Tortoise Council Desert Tortoise Council (K. Berry) (B. Burge) Long Beach, CA Long Beach, CA Audobon Society Sierra Club Las Vegas, NV Las Vegas, NV Desert Tortoise Council Citizens' Alert (G. Stewart) Las Vegas, NV Long Beach, CA 295 Senator Hecht. Mr. Wallace Cavanaugh, with Crown Develop- ment and Mining, Wellington, Nevada. STATEMENT OF WALLACE J. CAVANAUGH, CROWN DEVELOPMENT & MINING CO., WELLINGTON, NV Mr. Cavanaugh. I thought I would be speaking to Senator Bumpers when I made this next statement. I am going to carefully read it because since it involves you. Last year a similar bill as S. 59 was submitted in the 99th Con- gress, but it failed to get out of committee because of certain defi- ciencies which have since been corrected by this bill. I am particularly appreciative of Senator Hecht's action to with- hold a decision on last year's bill until these deficiencies could be addressed. I am aware he did so in spite of severe criticism from the Nevada press and other supporters of the bill. The result of his efforts is an improved bill, one that I can sup- port rather than oppose. The people of Nevada are indeed fortu- nate to have a person with such foresight and political fortitude as Senator Hecht to represent their interests in the United States Senate. Senator Hecht. You can have all the time you want. Mr. Cavanaugh. Thank you. I thought that might help a little bit. I am going to try to paraphrase the rest of the information I have. I have been developing a group of mines for many years, actually 29 years to be exact, in the Pine Grove district of Lyon County, Nevada. This is all within the Toiyabe National Forest. The BLM land in question borders on this forest area known as the Pine Grove flats. Recent advances in cyanide processing technology has made gold production a very productive operation, and has made the possibili- ty of Pine Grove being a productive operation as well. The Forest Service in that area has opposed the chemical milling process because of the sensitive nature of the environmental issues inherent in the use of cyanide. The State of Nevada agencies which have jurisdiction over the controls have given full approval for the project. The problem I have had with the Forest Service, I just brought along because I hope to talk to the Forest Service this week, they have taken exception to the process and they prolonged the appli- cation procedures for about three years on this project, and there is nearly 500 pages of personal correspondence and another 350 pages of legal correspondence that has really held up the project. For example, off the record here, you are talking about in this Aerojet thing about $40 to $400 evaluation. The Forest Service is requiring bonds that amount to $500,000 to $100,000 per acre eval- uation. Now this is not realistic. It is a form of intimidation to keep me from mining. As a matter of fact, after about three years in a lot of this nonsense, I am wondering why I am in the business. But I got the idea that maybe they really did not want me in their forest with the cyanide operation. 296 So I started looking at BLM land, which is adjacent to the forest. I applied to the BLM earlier this year. The same application that I applied three years earlier. I got a one-page answer in two weeks time, with the same requirements, the basic same reclamation re- quirements, short of the inhibitation of bonding requirements. In two weeks time I got a full approval for the operation. If you look at this, it is a real good paragraph. BLM has a good program for reclamation. They do not have some of the requirements for bonding that might prohibit an operation. But essentially, it is there. These are in the record. Well, this document is in the record, and I have a summary in the record, attachment 1, that summarizes my problem with the Forest Service, and I will not bother to read that at this point in time. I might mention that my problem is not an exception. There is also a letter in here from Mr. Robert Warren, from the Nevada Mining Association, that outlines some of these problems, and ad- dresses some of the reasons why this existed. So we do have a problem. Now comes the bill from last year that proposed to include the land that I was going to move to, the BLM land, to be included in last year's bill. Fortunately it has been re- moved from this year's bill, so that should solve my problem. But obviously a small miner can do with this, he can not do with this or the inhibitions that go along with a multi-buck process to even get into business there. So that is my problem. Actually, through correspondence with your office I have pro- posed exclusion of certain areas, and I have outlined them into four basic areas. I will not go into detail. Essentially, the 1,700 acres that you included in the legislation as exclusions from the bill, and another for an enlarged area of 2,900 acres for a total 4,600 acres that I would really like to have addressed and looked at for full in- clusion for a large-scale operation. There is a potential here for a 30 million ton operation, which takes lots of room, lots of water, and lots of space. We are talking about flat desert ground, sagebrush-covered ground, the same kind of area that they are talking of in the other. It is very low-cost and it is not very expensive to reclaim. Not in the degree that has been exposed to the Forest Service. So I have a kind of backhanded approach here. I am really approving, or supporting the bill, but I would like to have it supported with this exclusion. We all in Nevada, and I from California, we support the effort to make Nevada a little greener with the Forest Service, as long as the government is willing to pay the additional cost and additional service. But we do not want to spend any money like this for prohibiting business operations in areas that we can get into. That is why I ap- preciate your support on the further exclusion of the 4,600 acres. [The prepared statement of Mr. Cavanaugh follows:] 297 CROWN DEVELOFi.EKT AND MINING COMPANY P. 0. Box 31 Vsellington, Nevada 89^4^ Wallace J. Cavanaugh 8497 Carlton Way Los Angeles, CA 9OO69 June 30, 1987 To I The Honorable Dale Bumpers, Chairman Sub-Committee on Public Lands, National Parks and Forests of the Committee on Energy and Natural Resources Subjecti Public hearing comments in support of S. 59i a bill entitled "National Forests and Public Lands of Nevada Enhancement Act of 1987" I wish to thank the Sub-Committee for allowing me the opportun- ity to present an oral and written statement in support of the bill. Last year a similar bill was submitted to the 99th Congress, but it failed to get out of committee because of certain deficiencies which have since been corrected in this bill. I am particularly appreciative of Senator Hecht's action to withhold a decision on last year's bill until these deficiencies could be addressed. I am aware he did so in spite of severe criticism from the Nevada press and other supporters of the bill. The result of his efforts is an improved bill, one that I can support rather than oppose. The people of Nevada are indeed fortunate to have a per- son with such foresight and political fortitude as Senator Hecht to represent their interests in the United States Congress. My problem with the bill became critical when certain public lands now managed by the BLM were proposed to be transferred to the adjacent National Forest. I have been developing a group of mining claims for many years in the Pine Grove Mining District of Lyon County, Nevada, all within the Toiyabe National Forest. The BIM land in question borders this forest. Recent advances in cyanide processing technology has made the commercial production of gold a favorable economic possibility for this property. The Forest Service has opposed the chemical milling process in this area because of the sensitive nature of the environmental issues inherent in the use of cyanides. The State of Nevada agencies, which have jurisdiction over environ- mental controls, have given their approval for the project. The local Forest Service personnel have prolonged the_ application procedures for over three years in an attempt to prohibit the mill in this location. This has required nearly 500 pages of negotiation correspondence and the additional generation of 350 pages of legal documents by our attorneys. The government filed 298 page 2 - S. 59 Lands Hearing a civil lawsuit in 1964 for damages and injunctive relief when I exercised my right to perform annual assessment work while the dispute was pending. See Attachment No. 1 entitled "Overregula- tion of Mining in National Forests" for more details on the legal issues. It becairae apparent that I would have to move the milling operation onto the adjacent BLM land if I were to avoid a further dispute with the Forest Service. Application was made to the Department of the Interior for the identical process to be undertaken on the BUVi managed land. They reviewed the application and returned a favorable approval within two weeks. They generally required the same reclamation requirements as the Forest Service but without the inhibiting restrictions. See Attachment No. 2 for more details on the BLM approval . The BIM has historically shown a more knowledgeable capacity for management of the surface resources of mining property in Nevada. My problem with the Forest Service is not an isolated case. Attachment No. 3 is a letter to Senator Hecht from the Executive Director of the Nevada Mining Association, Mr. Robert E. Warren. It will elaborate on the subject and explain in more detail the circumstances which have caused the problem. It would appear the only meeins available to ensure a successful milling operation will be to mill the ore outside of the forest boundary. Now comes the land interchange bill which originally proposed inclusion of the required BUVI land within the Forest System. I am requesting Congress to exclude this area from the interchange in order that I may avoid the hardship of a renewed conflict with the Forest Service over the mill location. The Pine Grove project includes four stages of heap leach milling. These stages are dependant on the availability of the ore reserves and the appropriate space for processing. They may be listed as follows with the item numbers indicated on the Attachment No. 4 map as alternate milling locations i 1. 500 ton pilot heap leach for test purposes. 2. 100,000 ton heap leach of proven dump ore. 3. 1,000,000 ton heap leach of indicated reserves. 4. 30,000,000 to automated plant for possible reserves. I understand Senator Hecht has already proposed exclusion from S. 59 the 1,700 acres of land which will be needed to mill those items of ore that may be transported by existing roads. I am hereby requesting an additional amount of 2,900 acres to allow for a future large-scale expansion as described by Item No. ^. It would be more cost effective to locate the milling operation for this large amount of ore where the transpotation could be handled in a straight line gravity flow from source to destination. The additional area will also be used to transport water from other sources. 299 page 3 - S . 59 Lands Hearing I would appreciate favorable action by the Sub-Committee and the Members of Congress to exclude the entire referenced 4,600 acres from the S. 59 legislation. Respectfully submitted, Wallace iK Cavanaugh, Owner Crovm Development & iV.ining Co. 300 Attachment No. 1 S . 59 Lands Hearing OVERREGULATION OF MINING IN NATIONAL FORESTS Position Paper by W. J. Cavanaugh - 5/1/86 Overzealeous interpretation of the Surface Use Regulations (36 CFR 228) by U.S. Forest Service personnel has resulted in unreasonable inhibition of the legitimate activities of many prospectors and miners. This abuse of authority is particular- ly damaging to the small miner who does not have the financial resources to cope with the cost of increased restrictions. It also has a negative impact on those companies who can absorb the cost. Any increase in the cost of mining tends to limit the grade of ore that is economical to mine regardless of the operator's financial capability. Part of the problem is a direct result of Forest Service policies which impose reclamation requirements in excess of those allowed by the regulations. These involve such items as cosmetic contouring to improve visual appearance, reseeding of all disturbed surfaces and bonding for cleanup after cessation of operations. These practices have been resisted by one small operator who feels the excess requirements are not reasonable and if allowed, there would be a steady escalation of similar restrictions which would eventually drive him out of business. In l^&k the operator applied for a plan of operation to conduct a small cyanide heap leach operation to test the feasibility of leaching gold from mine dumps in a previously mined district of Lyon County, Nevada. An environmental assessment was conducted to evaluate the impact on the environ- ment. It was determined (by the Forest Service) through the EA process that this was not a major Federal action that would significantly affect the quality of the human environment; therefore an Environmental Impact Statement was not required. There are no floodplains or wetlands and the work is outside of any Roadless Areas as previously inventoried. The District Forest Ranger then imposed a series of recla- mation requirements (cosmetic contouring, reseeding, etc.) which were to improve the visual appearance of the area after completion of the project. The operator reasoned that the re- quired reclamation had nothing to do with protection of the land from erosion or landslides as prescribed in the regulation. The area is relatively flat and is covered with sage brush of no economic value. It is located at an elevation of 6600 feet where the natural reseeding of vegetation is more than adequate to allow the disturbed surface to recover in a reasonable period of time. Negotiation on this issue was not productive. The Ranger held firm to his decision. An approval of the Plan of Operation was conditioned on the receipt of a bond to assure compliance with his demands. 301 -2- The situation was further complicated because the mining claim in question was supposed to be exempt from government jurisdiction of the surface resources. The claim was located in 1944 and was therefore protected from the restrictions of the Multiple Surface Use Act of July 23, 1955 (30 USC 6OI-6I5) . The operator had applied for exemption under the "grandfather" clause of the Act. The mining claim was then validated by the Department of the Interior and affirmed in a document dated June 10, i960. Forest Service personnel and their legal coun- sel claim the regulation has jurisdiction over all unpatented mining claims even when there is encroachment upon other statuatory rights. The reclamation, bonding and jurisdiction issues were sub- mitted to the administrative appeal process by the operator. The Forest Supervisor and the Regional Forester upheld the decision of the District Ranger. They also denied all Requests for Stay which would have allowed work to continue during the appeal. The operator then had a choice to go ahead with annual assessment work or lose the claims by default unless he were to submit to the bond requirement which would then establish a precedent for future imposition of similar restrictions. Assessment work was undertaken and completed just in time to meet the deadline for that requirement. The government promptly filed a civil lawsuit to obtain an injunction and re- cover damages. See U.S. v. Cavanaugh, CV-R-84-'^22-BRT. A decision is still pending after two years of legal maneuver- ing by both sides. The government has intended this to be a "test case" to establish their authority to administer the regulations in accordance with the agency interpretation of the requirements. This operator was targeted because he was a small miner with limited financial resources. He would be more likely to lose by default or otherwise than if a similar issue were made with a larger company. The operator is equally dedicated to test the reasonable- ness of the regulations in a court of law and in effect to challenge the authority of the government to engage in this unnecessary interference with a legitimate mining operation. The District Court in Reno, Nevada has scheduled a hear- ing on a motion for summary judgement on the jurisdiction issue for May 16, I986 at which time a date will be set for the trial. More information will be provided to interested persons after these legal issues have been addressed. \ \ 302 j^ Attachment No. 2 S . 59 Lands Hearing United States Department of the Interior 3609 NV-37-87-14(N) BUREAU OF LAND MANAGEMENT (NV-037) CARSON CTTY DISTRICT OFHCE 153} Hoi Sprincj Rd.. Stc 300 Canon Qty, ^4«vadt B9701 Mr. Wallace J. Cavanaugh 8497 Carlton Way Los Angeles, CA 90069 Dear Mr. Cavanaugh: We have received and reviewed the Notice you submitted for proposed precious-metal extraction activities on public lands described as T. 10 N. R. 26 E., Section 27 (Nl/2). This Notice has been assigned the number NV-37-87-14(N) and it would be helpful if you would reference that number in any subsequent correspondence. We note that you have elected to use the broad reclamation statement from the surface management regulations rather than to spell out the reclamation steps you plan. While this is an acceptable practice, I y want to make clear at this juncture that, depending upon our evaluation of the project at its conclusion, we may, at a minimum, require physical shaping of the imported material or excavated material, neutralizing of Anfi cyanide-contaminated materials or areas, general site cleanup, and reseeding. Some of these anticipated measures may ultimately be deleted or modified after coordination with the State Division of Environmental Protection. f-iif -...■with the foregoing understood, your Notice is hereby accepted. You must notify us when the project is terminated and any necessary rehabilitation accomplished so we can arrange the final field inspection. Periodically throughout the life of your operation, we will perform site inspections to assure compliance with the accepted terms of the Notice. You should contact Ron Buder of my staff if you have any questions or should you wish to discuss any facet of your project with us. Sincerely yours. j\iin Matth J^n Hatthiessen Area Manager Walker Resource Area i^^f' ..■■:^-^'^ * ^•rri^^ V'*' •:.< i^^-- ' •*»'-".." 303 CROWN DEVELOPl.^iNT AND MINING COMPANY P. 0. Box 31 VJellington, Nevada 89^4^ Bureau of Land Management Department of the Interior 1535 Hot Springs Road, Suite 300 Carson City, Nevada 8970I Att'n: Mr. Ronald K. Buder Dear Mr. Buder » VJallace J. Cavanaugh 8497 Carlton Way Los Angeles, CA 9OO69 January 28, I987 Certified r.^ail Number 1 243 600 407 Return Receipt Requested Re: Notice of Disturbance in Sect. 27, TION, R26E, iViDBK This letter is written pursuant to the regulation 43 CFR 3609.I-3 to provide the required notice of the subject disturbance of the public lands. (1) I am both the mining claimant and the operator. 1 am also the owner of the above named company. I operate seasonally from my field office (and residence) in Wellington, Nevada. Please address any formal correspondence to my permanent home address in Los Angeles, California. (2) The name of the mining claim to be disturbed is the PGF Mill- site. It is a 5 acre unpatented millsite as shown on the attached map. It will be used to process ore from various mining claims located in Sect. 3I, TION, R26E, WDBM . The BLM claim numbers for the millsite are not yet available. (3) A zero discharge closed circuit cyanide heap leach process will be used to extract minerals from the ore. The carbon adsorption system will be used to remove gold and silver from the cyanide solutions. Final recovery of the metallics from the carbon will be accomplished off-site. Oversize rock will be screened out at the mine with the fines (minus 1/2) being hauled to the millsite by truck. The existing road will be adequate for this purpose. No new roads will be constructed. This disturbance is scheduled to start as early as April, I987 . (4) Reclamation of all areas disturbed will be completed to the standard described in regulation 43 CFR 3809.1-3(d). Reason- able measures will be taken to prevent unnecessary or undue degradation of federal lands during operations. Sincerely, Attachment: Map Wallace J. Cavanaugh 304 Map Attachment for BLK Notice of Disturbance Dated January 28. 198? i TONI '16 y •«••*<; PINE GROVE HILLS QUADRANGLE ^ NEVADA-LYON CO / 15 MINUTE SERIES (TOPOGRAPHIC) ■■ m m >24 laooootEc ■■^•«';... 1 38*45' ! \r r \..„ S" — Koiettt 14V>O00 FEET ^1 ^' " -K V /-i^ jTjii ^^.^r'PGF Millsite ^«, j^:;^ } j ^^'^ '5prtiv iX ,.'4 % ^ "t^- • r '^ - ..... ^ PfOipteu -rp «8l 305 Attachment No. 3 S. 59 Lands Hearing NEVADA MINING ASSOCIATION. INC. POST OFFICE BOX 2498 RENO. NEVADA 89505 2498 «OBE«T E WARREN EaCCutive Director W. HOWARD WINN Qomuttam ROOM MO • ONE CAST FIRST STREET RENO. NEVADA ttsoi TCLCRHONE 17031 323 tSTS September 9, 1986 Honorable Chic Hecht United States Senator for Nevada 302 Hart Building, Suite lA Washington, D.C. 10510 Re: Proposed BLM/Forest Service Land transfer Wallace J. Cavanaugh. •OAID OF OlliOOtS • ICMARD A. SUM!'., P„^:a,nt X>S!FH W MIKWy'. 1„ ifc, e,„id,r« M. DAN HA>P(>. 2,^ V.t, P,..,d.r,t V. V. lOTIS JAMES CASHMAN til UOnaRD I.EUICTI iRlAN J, KENNtD^r' X>HN S, lIVERWOe; ROB!eT MARTINEZ REX I. OJTZEN ARTHUR SCMWANDT DONALD L. SIMPiON ARTMue L . WALiH ALLEN R. YOUNG ROtEtl L.ZEROa Letter from Dear Chic: You have been contacted by Wallace J. Cavanaugh (September 8) alerting you to his problem with the proposed transfer of certain lands from the Bureau of Land Management to the Forest Service (S. 2698). Mr. Cavanaugh has advised he is developing a potentially large open-pit gold mine in the Pine Grove Mining District of the Toi- yabe National Forest. (See map.) The transfer contains BLM lands on which his proposed heap-leach and milling facility would be located. Mr. Cavanaugh, based upon several years of Forest Service delays and excessive regulatory zeal, predicts his pro- posed heap-leach and milling operations would experience addi- tional costly delays and unnecessary and expensive additional reg- ulatory requirements. Unfortunately, the Nevada Mining Association is forced to agree that in too many instances of late the Forest Service has used its stepped-up "high intensity" management of surface resources to overwhelm mine exploration and proposed mining operations. We're being burdened by too much paper shuffling, excessive adminis- trative requirements (sometimes whims of Forest Service employees), excessive regulations and excessive bonding. I should stress this "over kill" is not a problem within all units of the Forest Service in Nevada; but certain jurisdictions are generating heavy com- plaints from the mining industry. We are now being informed that the new Forest Service management program has become so restrictive that some major and small min- ing companies have incurred heavy expenses and have lost many months in attempting to respond to unrealistic and sometimes im- possible requirements for use of the surface. In particular, small miners are being squeezed out of the exploration and mining bus- iness by the mandatory requirements for bonding. (Bonds are 306 HONORABLE CHIC HECHT - SEPTEMBER 9, 1986 - PAGE 2. usually not available for small miner projects. Thus, cash is re- quired.) By way of contrast, our experience has shown that should the land remain under BLM jurisdiction, Mr. Cavanaugh can expect more knowledgeable management of the mineral resources - both for exploration and production. BLM has a much larger staff of minerals experts and over the years has demonstrated a better understanding of the land management problems associated with mining on the public domain. BLM annually spends much more on minerals management than does the Forest Service. We understand your office has been (or will be) contacted by other mining and ranching interests, which are, likewise, concerned about transfer of BLM lands to the Forest Service. During the Nevada hearings on the original nation-wide land-swap bill, the pro-Forest Service enthusiasts completely dominated and steam rollered the testimony and the media on this matter - even to the point of defaming BLM's management abilities. The Nevada Mining Association recognizes that BLM is equally cap- able of managing the public lands - and in the instance of miner- als, a more skilled and helpful agency. We seek your support to oppose these land transfers which will create hardships for the mining and ranching industries, Cordi al ly, Robert E. Warren REW:v Enclosure: Map cc : Senator Paul Laxalt and Nevada Staff Congressmn Barbara F. Vucanovich and Nevada Staff NMA Board of Directors NMA Gold and Silver Operations Nevada Department of Minerals Nevada Commission on Mineral Resources NevadaAssembI yman Joseph Dini Nevada Cattlemen's Association Mr. E. A. Hoi I ingsworth Mr. M. Douglas Miller Mr. Wallace J. Cavanaugh With enclosure: Map 307 ) 1 1 1/ .'l I ■' ■' f , '' l' ^ KtTTO [NLARCtMtNTS '-rili_i LOCATOMOlACMM 0UAO«AMCU *lf »ll hW >.. ,„ f M :^ .N-:; OUAORANGte 7-11 I t M»*«ia^\ PROPOSED ^4^600 ACRES TO fit: I EXCLUDED FR6m S. 59 "87 -''*^' _ «■ ftfi* Crow Spriatg ^ _&UBarlo«f ?^""~'*^ =;_-., ^-'- .^+ B E ■^. Twin EXISTING USPS; s:^^ SOUNDARY "^ J PROPOSED S. 59 p,owc,,; BOUNDARY 309 Senator Hecht. Thank you for coming out and testifying. Just a couple of questions for Mr. Clark. During the testimony, it has been alleged that Nevada lands have been undervalued. Please describe the process used to arrive at their appraisal for this bill. Mr. Clark. Yes, sir. We met with the Reno office of the Bureau of Land Management and had identified with them the land we have an interest in. They told us effectively they did not have a budget to do the ap- praisals, but they did give us a list of appraisers who had been ac- ceptable to them, and gave us a list of appraisal instructions. We hired a company on that list, gave them the appraisal in- structions and paid his bill. He did his appraisal, which was provid- ed to us, and we subsequently, like immediately, that is, provided it to the Bureau of Land Management. Senator Hecht. Was it MAI appraiser? Mr. Clark. Yes, sir, it was. In fact, it was a former appraiser for the Bureau of Land Management. Senator Hecht. And the same way in Florida. MAI, right? Mr. Clark. I beg your pardon? Senator Hecht. In Florida, you had an MAI Mr. Clark. Actually, we had two appraisers in Florida. In fact, the same two that we looked at in Nevada. But the practical matter is, the State of Florida determined the price in Florida, and our appraisers judgment did not matter to them. They knew what they were willing to pay. Senator Hecht. Who was higher? The State of Florida, or your appraisers? Mr. Clark. We were higher. Senator Hecht. Your appraisers were higher? Mr. Clark. Yes, they were. Senator Hecht. How about in Nevada? Mr. Clark. In Nevada we hired two appraisers. I mentioned the one who was acceptable to the Bureau of Land Management. The other one was a large national company called Landour. We hired them actually for our own purposes to look for verification, and their prices were nearly the same. Very close. Senator Hecht. Okay. I assume that you are aware of the land adjacent to the exchange area known as the Butler Ranch. I under- stand the Butler Ranch was sold for $401.79 an acre. Can you address the discrepancy between this price and the value set on the Coyote Spring Valley land? Mr. Clark. Yes, sir. I can certainly try to. The Butler Ranch $400 price was brought to my attention a few months ago. At that time I contacted the party who had purchased it and ex- plained that we had an appraisal on the Coyote Spring Valley property of $45 an acre, and said, if you do not mind, why do you not tell me why you paid $400 for it. I got a letter from him a few days later that identified his rea- soning. I think I am quite sure that that data has been made avail- able to the committee under separate cover, Senator. Senator Hecht. What basically was his reason? Mr. Clark. His reason was it had a lighted runway on it. I have seen photographs of the site within the last month or so and I did 310 not see any lights. I do not know if they are there or not. Others have said they are not there. He said it was 85 percent farmable. I believe there is fair proof that that is true. He states that there is a well on the property. He states that there are some running springs on the property. And he also states that there are vested water rights that go with that roughly 560 acres of land. I quite frankly did not go any further in my own personal inves- tigations. But I did contact a real estate appraiser in Reno, and one in Las Vegas. Once again, described what I will say is this discrep- ancy. And I have a letter from each of them that I will be glad to submit in testimony that says that in their judgment there cannot be a valid comparison between the Butler Ranch and the Coyote Spring Valley property that are involved in the land exchange. The size differences alone, in their judgment, are far too big. Separately, another document that I hope to be able to submit to the committee, I would think, within a week is an actual appraisal from the Butler Ranch, of the Butler Ranch property. I have a verbal report now by an appraiser who says he thinks it was worth $400 when they paid $400 for it. He also said, he does not think that has anything to do with our property. Senator Hecht. And you say there is a runway on the property. Mr. Clark. Yes, sir. But it looked like, his letter said there is a lighted runway. I saw a photograph of the site, an aerial photograph, and it looks to me like what it is is somebody took a bulldozer with a blade or a scraper and scraped off the dirt. It sure did not look like it was paved or anything of the kind. If there were lights, I did not see them. Senator Hecht. One other point that I think you ought to have a chance to repudiate or agree to are references made to your compa- ny's activities in California and the Superfund issue out there. Would you care to comment on this? Mr. Clark. Yes, I very much would, as a matter of fact. There is contamination in the ground water and and near our Sacramento site. It was identified in 1979. Since that time my corporation has spent roughly $39 million to clean that up. There has not been one single penny of Superfund money spent there. We are in negotiations, and very near reaching a consent order with the various Federal and state agencies. I think we have acted in a very responsible manner in correcting problems that existed because of generally accepted practices and people in business such as ours. You will find a number of sites in the Sacramento area, which have very similar problems to ours, and they are not rocket motor producers like me. They are other installations. I believe we have been quite responsible. Senator Hecht. Okay. It is 5 p.m. and that is the witching hour here. So we got in under the wire. I want to thank everyone for coming out. The record will be open for two weeks. If you get home and you decide you want to put 311 something in the record in addition to what you have spoken about, feel free. It will be put in at the proper spot. The hearing is adjourned. [Whereupon, at 5 p.m., the hearing was adjourned.] [Committee note. — Due to the voluminous nature of materials submitted for the record all additional statements and letters have been retained in subcommittee files.] o vv-PR-^ (120) BOSTON PUBLIC LIBRARY 3 9999 05995 184 6