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S. 2188, a bill to amend the Act of June 18, 1934, to reaffirm the authority of the Secretary of the Interior to take land into trust for Indian tribes 1 (September 24, 2014)

handle is hein.congrec/cbo1930 and id is 1 raw text is: CONGRESSIONAL BUDGET OFFICE
COST ESTIMATE
September 24, 2014
S. 2188
A bill to amend the Act of June 18, 1934, to reaffirm the authority of the
Secretary of the Interior to take land into trust for Indian tribes
As ordered reported by the Senate Committee on Indian Affairs on June 11, 2014
S. 2188 would amend the Indian Reorganization Act to authorize the Secretary of the
Interior to take land into trust for all federally recognized Indian tribes. Based on
information provided by the Department of the Interior (DOI), CBO estimates that
implementing the bill would have no significant effect on the federal budget. Enacting
S. 2188 would not affect direct spending or revenues; therefore, pay-as-you-go procedures
do not apply.
Under current law, as clarified by the Supreme Court decision in Carcieri v. Salazar
(2009), the Secretary of the Interior is authorized take lands into trust for the benefit of
Indian tribes if those tribes were federally recognized prior to enactment of the Indian
Reorganization Act of 1934. Under the bill, the Secretary would have the authority to take
land into trust for all federally recognized Indian tribes, regardless of when those tribes
were recognized. S. 2188 also would direct DOI to complete a study on the effect of the
court decision. Based on information from DOI, CBO estimates that implementing the
legislation would not significantly affect DOI operating costs.
S. 2188 would expand an existing intergovernmental mandate, as defined in the Unfunded
Mandates Reform Act (UMRA), that exempts land taken into trust for tribal individuals or
tribal governments from state and local taxes. While state and local governments may have
the ability to collect taxes on some lands as a result of the Carcieri v. Salazar decision,
CBO has no data indicating that those governments currently levy taxes on that land. In
addition, CBO thinks it is unlikely that any governments would collect taxes on those lands
in the next five years. Therefore, CBO estimates that enacting S. 2188 would not result in a
loss of revenue for state or local governments.
S. 2188 also would impose intergovernmental and private-sector mandates, as defined in
UMRA, by limiting the ability of public and private entities to file legal claims related to
trust lands of Indian tribes that were federally recognized after 1934. The cost of the
mandate would be the forgone value of awards and settlements of such claims. CBO
expects that the annual number of claims involving such land and the value of the awards
and settlements in those claims would be small. Consequently, the cost of the mandate to

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