(a) Definitions.—In this section:

(1) BOARD.—The term “Board” means Stutsman County Park Board in Jamestown, North Dakota (or a successor in interest to that entity).

(2) FEDERAL LAND.—The term “Federal land” means the approximately 4,494.30 acres of Federal land—

(A) associated with the Jamestown Reservoir;

(B) managed by, or subject to a permit of—

(i) the Board;

(ii) the State; or

(iii) a permittee; and

(C) as generally described in the management agreement numbered 15–LM–60–2255 and entitled “Management Agreement between the Bureau of Reclamation, et al., and the Stutsman County Park Board for the Development, Management, Operation, and Maintenance of Lands and Recreation Facilities at Jamestown Reservoir”.

(3) JAMESTOWN RESERVOIR.—The term “Jamestown Reservoir” means the Jamestown Reservoir constructed as a unit of the Missouri-Souris Division, Pick-Sloan Missouri Basin Program, as authorized by section 9 of the Act of December 22, 1944 (commonly known as the “Flood Control Act of 1944”) (58 Stat. 891, chapter 665).

(4) PERMITTEE.—The term “permittee” means the holder (or any successor in interest to the holder) of a permit for a property.

(5) PROPERTY.—The term “property” means any cabin site located on Federal land for which a permit is in effect on the date of enactment of this Act.

(6) SECRETARY.—The term “Secretary” means the Secretary of the Interior, acting through the Commissioner of Reclamation.

(7) STATE.—The term “State” means the State of North Dakota, acting through the North Dakota Game and Fish Department.

(b) Purchase of property by permittee; transfers to Board and State.—

(1) OPTION.—The Secretary shall provide to the permittee of a property the first option to purchase that property in accordance with paragraph (3) for fair market value, subject to the condition that the permittee shall pay to the Board any outstanding permit fees before the permittee may exercise the option to purchase.

(2) DETERMINATION OF FAIR MARKET VALUE.—

(A) IN GENERAL.—For purposes of this subsection, the fair market value of a property shall be determined by the Secretary—

(i) using a local, third-party appraiser;

(ii) in accordance with—

(I) the Uniform Standards of Professional Appraisal Practice; and

(II) the Uniform Appraisal Standards for Federal Land Acquisition;

(iii) to the extent appropriate in accordance with the valuation policy of the Department of the Interior; and

(iv) valuing the property as unimproved residential property, excluding all improvements.

(B) DISPUTES.—Any dispute regarding the fair market value of a property shall be resolved in accordance with section 2201.4 of title 43, Code of Federal Regulations (or successor regulations).

(3) PURCHASE.—

(A) IN GENERAL.—On an election by a permittee to exercise the option to purchase a property pursuant to paragraph (1), the Secretary shall convey to the permittee, for fair market value—

(i) all right, title, and interest of the United States in and to the property, subject to valid existing rights and the operational requirements of the Jamestown Reservoir; and

(ii) sole use, perpetual easements for—

(I) vehicular access to the property;

(II) access to, and use of, one or more docks for the property;

(III) access to, and use of, all boathouses, ramps, retaining walls, and other improvements for which access is provided in the permit for use of the property as of the date of enactment of this Act; and

(IV) access to water for irrigation with a water service contract.

(B) PERIOD FOR CONVEYANCE.—The Secretary shall convey to a permittee a property pursuant to subparagraph (A) during the period—

(i) beginning on the date of enactment of this Act; and

(ii) ending on the date that is 5 years after that date of enactment.

(4) TRANSFERS TO BOARD AND STATE.—

(A) FAILURE TO PURCHASE.—

(i) IN GENERAL.—If a permittee fails to exercise the option to purchase a property under paragraph (3) by the date that is 5 years after the date of enactment of this Act, the Secretary shall transfer the property to the Board, subject to clause (ii), without cost.

(ii) SALE BY BOARD OF TRANSFERRED PROPERTY.—If the Board sells or enters into one or more agreements to sell a property transferred under clause (i) during the 3-year period beginning on the date of the transfer, the Board shall pay to the Secretary all proceeds of the sale that are in excess of the costs of the Board.

(B) CERTAIN OTHER LAND.—Effective beginning on the date that is 5 years after the date of enactment of this Act, the Secretary shall transfer—

(i) to the Board, without cost, Federal land managed by the Board as of that date of enactment, on which no cabin is located; and

(ii) to the State, without cost, land leased by the State as of that date of enactment.

(c) Oil, gas, mineral, and other outstanding rights.—Each conveyance to a permittee, and each transfer to the Board or State, pursuant to subsection (b) shall be made subject to—

(1) oil, gas, and other mineral rights reserved of record, as of the date of enactment of this Act, by, or in favor of, the United States or a third party;

(2) any permit, license, lease, right-of-use, flowage easement, or right-of-way of record in, on, over, or across the applicable property or Federal land, whether owned by the United States or a third party, as of the date of enactment of this Act;

(3) any reversion back to the United States of land (other than land described in subsection (b)(4)(A)(i) or land transferred under subsection (b)(4)(B)(i) that is designated by the Secretary as a recreation area as of the date of enactment of this Act) transferred to the Board or State under subsection (b), if the applicable property is no longer used for the purpose of public access or recreation; and

(4) any flowage easement reserved by the United States to allow full operation of Jamestown Reservoir for authorized purposes.

(d) Liability; taking.—

(1) LIABILITY.—The United States shall not be liable for flood damage to the property of a permittee, the Board, or the State, or for damages arising out of any act, omission, or occurrence relating to a lot to which a permit applies, other than for damages caused by an act or omission of the United States or an employee, agent, or contractor of the United States before the date of enactment of this Act.

(2) TAKING.—Any temporary flooding or flood damage to the property of a permittee, the Board, or the State, shall not be considered to be a taking by the United States.

(e) Requirements relating to conveyances and transfers.—

(1) INTERIM REQUIREMENTS.—During the period beginning on the date of enactment of this Act and ending on the date of conveyance or transfer of a property or land, the provisions of the management agreement referred to in subsection (a)(2)(C) that are applicable to the property or land, or to leases between the State and the Secretary, shall remain in force and effect.

(2) LEGAL DESCRIPTIONS.—Not later than 2 years after the date of enactment of this Act, the Secretary, in consultation with the Board and the State, shall provide to the Board, the State, and each applicable permittee a legal description of all properties and land that may be conveyed or transferred pursuant to this section.

(3) RESTRICTION ON CONVEYANCE.—Effective beginning on the date of enactment of this Act—

(A) a permittee may not build any new permanent structure below a flood pool elevation of 1,454 feet; and

(B) if a permittee builds a structure described in subparagraph (A), the property of the permittee shall revert to the Board.

(f) Proceeds from sales of Federal land.—Any revenues from a sale of Federal land pursuant to this section shall be made available to the Secretary, without further appropriation, for—

(1) the costs to the Secretary of carrying out this section, including any costs of carrying out subsections (b)(2)(A) and (e)(2); and

(2) deferred maintenance activities relating to the operation of the dam in the Jamestown Reservoir.