A r c h i v e d  I n f o r m a t i o n

SEC. 8002. PAYMENTS RELATING TO FEDERAL ACQUISITION OF REAL PROPERTY.

``(a) In General.--Where the Secretary, after consultation with any local educational agency and with the appropriate State educational agency, determines for a fiscal year ending prior to October 1, 1999--
``(1) that the United States owns Federal property in the local educational agency, and that such property--
``(A) has been acquired by the United States since 1938;
``(B) was not acquired by exchange for other Federal property in the local educational agency which the United States owned before 1939; and
``(C) had an assessed value (determined as of the time or times when so acquired) aggregating 10 percent or more of the assessed value of--
``(i) all real property in the local educational agency (similarly determined as of the time or times when such Federal property was so acquired); or
``(ii) all real property in the local educational agency as assessed in the first year preceding or succeeding acquisition, whichever is greater, only if--
``(I) the assessment of all real property in the local educational agency is not made at the same time or times that such Federal property was so acquired and assessed; and
``(II) State law requires an assessment be made of property so acquired; and
``(2) that such agency is not being substantially compensated for the loss in revenue resulting from such ownership by increases in revenue accruing to the agency from the conduct of Federal activities with respect to such Federal property, then such agency shall be eligible to receive the amount described in subsection (b).
``(b) Amount.--
``(1) In general.--
``(A)(i) The amount that a local educational agency shall be paid under subsection (a) for a fiscal year shall be calculated in accordance with paragraph (2), except that such amount shall be reduced by the Secretary by an amount equal to the amount of revenue, if any, that such agency received during the previous fiscal year from activities conducted on such Federal property.
``(ii) For purposes of clause (i), the amount of revenue that a local educational agency receives during the previous fiscal year from activities conducted on Federal property shall not include payments received by the agency from the Secretary of Defense to support--
``(I) the operation of a domestic dependent elementary or secondary school; or
``(II) the provision of a free public education to dependents of members of the Armed Forces residing on or near a military installation.
``(B) If funds appropriated under section 8014(a) are insufficient to pay the amount determined under subparagraph (A), the Secretary shall ratably reduce the payment to each eligible local educational agency.
``(C) Notwithstanding any other provision of this subsection, a local educational agency may not be paid an amount under this section that, when added to the amount such agency receives under section 8003(b), exceeds the maximum amount that such agency is eligible to receive for such fiscal year under section 8003(b)(1)(C).
``(2) Application of current levied real property tax rate.--In calculating the amount that a local educational agency is eligible to receive for a fiscal year, the Secretary shall apply the current levied real property tax rate for current expenditures levied by fiscally independent local educational agencies, or imputed for fiscally dependent local educational agencies, to the current annually determined aggregate assessed value of such acquired Federal property.
``(3) Determination of aggregate assessed value.--Such aggregate assessed value of such acquired Federal property shall be determined on the basis of the highest and best use of property adjacent to such acquired Federal property as of the time such value is determined, and provided to the Secretary, by the local official responsible for assessing the value of real property located in the jurisdiction of such local educational agency for the purpose of levying a property tax.
``(c) Applicability to Tennessee Valley Authority Act.--For the purpose of this section, any real property with respect to which payments are being made under section 13 of the Tennessee Valley Authority Act of 1933 shall not be regarded as Federal property.
``(d) Ownership by United States.--The United States shall be deemed to own Federal property for the purposes of this Act, where--
``(1) prior to the transfer of Federal property, the United States owned Federal property meeting the requirements of subparagraphs (A), (B), and (C) of subsection (a)(1); and
``(2) the United States transfers a portion of the property referred to in paragraph (1) to another nontaxable entity, and the United States--
``(A) restricts some or any construction on such property;
``(B) requires that the property be used in perpetuity for the public purposes for which the property was conveyed;
``(C) requires the grantee of the property to report to the Federal Government (or its agent) regarding information on the use of the property;
``(D) except with the approval of the Federal Government (or its agent), prohibits the sale, lease, assignment, or other disposal of the property unless such sale, lease, assignment, or other disposal is to another eligible government agency; and
``(E) reserves to the Federal Government a right of reversion at any time the Federal Government (or its agent) deems it necessary for the national defense.
``(e) Local Educational Agency Containing Forest Service Land and Serving Certain Counties.-- Beginning with fiscal year 1995, a local educational agency shall be deemed to meet the requirements of subsection (a)(1)(C) if such local educational agency meets the following requirements:
``(1) Acreage and acquisition by the forest service.--The local educational agency serves a school district that contains between 20,000 and 60,000 acres of land that has been acquired by the Forest Service of the Department of Agriculture between 1915 and 1990, as demonstrated by written evidence from the Forest Service satisfactory to the Secretary.
``(2) County charter.--The local educational agency serves a county chartered under State law in 1875 or 1890.
``(f) Special Rule.--Beginning with fiscal year 1994, and notwithstanding any other provision of law limiting the period during which fiscal year 1994 funds may be obligated, the Secretary shall treat the local educational agency serving the Wheatland R?09II School District, Wheatland, Missouri, as meeting the eligibility requirements of section 2(a)(1)(C) of the Act of September 30, 1950 (Public Law 874, 81st Congress) (as such section was in effect on the day preceding the date of enactment of the Improving America's Schools Act of 1994) (20 U.S.C. 237(a)(1)(C)) or subsection (a)(1)(C).

-###-
TITLE VIII--IMPACT AID Table of Contents SEC. 8003. PAYMENTS FOR ELIGIBLE FEDERALLY CONNECTED CHILDREN.