North Dakota could give up state-owned "trust" parcels that sit inside Indian reservations and select replacement federal land of substantially equal value elsewhere in the state, under a swap framework run by the Interior Department's Bureau of Land Management (BLM). The state received these parcels — including the school-funding sections numbered 16 and 36 — at statehood to raise money for education, but many ended up within reservation boundaries. When the state relinquishes a parcel inside a reservation, the affected tribe can ask Interior to take that land into trust and make it part of the reservation. In exchange, the state picks BLM "unappropriated" public land of equal value, with areas of critical environmental concern, research natural areas, national conservation lands, military reservations, and certain townships excluded from what it can choose. Independent appraisals set the values, any gap must be evened out by cash or a ledger account capped at 25% of the federal parcel's value, and a lighter "summary" appraisal is allowed only for parcels worth under $500,000 and under $500 per acre. Existing grazing permits, mineral leases, and other valid rights continue, and final appraisals must be posted for public review at least 30 days before any exchange; the swaps are exempted from the BLM's usual land-exchange procedures under the Federal Land Policy and Management Act, and full environmental review of relinquished parcels is left to the Secretary's discretion rather than required.
Environmental Concerns
- FLPMA land-exchange procedures — Exempted for conveyances under this Act
- Environmental review of relinquished parcels — Left to the Secretary's discretion rather than required
- Conservation-land protections — ACECs, Research Natural Areas, and conservation lands excluded from eligible parcels
Transparency & Accountability
- Public inspection of appraisals — Required at the BLM state office 30 days before any exchange
- Public notice of appraisals — Published on the agency website and in a local newspaper
Congressional Summary
North Dakota Trust Lands Completion Act of 2026This bill allows North Dakota to exchange certain state land grant parcels (e.g., lands granted to North Dakota by Congress when it became a state) located wholly or partially within an Indian reservation for certain federal land of substantially equivalent value. North Dakota manages oil, gas, and agriculture leases on state land grant parcels to generate revenue for education and other public benefits. However, tribal reservations were created on state land grant parcels and reduced the amount of land available for revenue generation. Specifically, the bill allows the North Dakota Board of University and School Lands to exchange with the Department of the Interior state land grant parcels located wholly or partially within tribal reservations for certain public land in North Dakota administered by the Bureau of Land Management. Upon the request of a tribe, Interior must hold exchanged land within the tribe's reservation in trust on behalf of the tribe.Further, the bill provides for the continuation of active grazing operations on land exchanged under this bill.
Legislative Subjects
Details
- Congress
- 119th
- Chamber
- House
- Status
- summarized
- Action
- Reported to House
- Action Date
- 2026-04-02
- Date Added
- 2026-05-16
- Source
- Congress.gov →
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