article: SECTION 1. SHORT TITLE. This Act may be cited as the ``National Parks Capital Improvements Act of 1996''. SEC. 2. DEFINITIONS. In this Act: (1) Fundraising organization.--The term ``fundraising organization'' means an entity authorized to act as a fundraising organization under section 3(a). (2) National park foundation.--The term ``National Park Foundation'' means the foundation established under the Act entitled ``An Act to establish the National Park Foundation'', approved December 18, 1967 (16 U.S.C. 19e et seq.). (3) Park.--The term ``park'' means-- (A) the Grand Canyon National Park; and (B) any other national park designated by the Secretary that has an approved general management plan with capital needs in excess of $5,000,000. (4) Secretary.--The term ``Secretary'' means the Secretary of the Interior. SEC. 3. FUNDRAISING ORGANIZATION. (a) In General.--The Secretary may enter into a memorandum of agreement under section 4 with an entity to act as an authorized fundraising organization for the benefit of the park. (b) Bonds.--The fundraising organization shall issue taxable bonds in return for the park surcharge collected under section 5. (c) Professional Standards.--The fundraising organization shall abide by all relevant professional standards regarding the issuance of securities and shall comply with all Federal and State law. (d) Audit.--The fundraising organization shall be subject to an audit by the Secretary. (e) No Liability For Bonds.--The United States shall not be liable for the security of any bonds issued by the fundraising organization, except that if the surcharge specified in section 5(a) is not imposed for any reason or if such surcharge is reduced or eliminated, the full faith and credit of the United States is pledged to the payment of such bonds and the interest accruing on such bonds. SEC. 4. MEMORANDUM OF AGREEMENT. The fundraising organization shall enter into a memorandum of agreement that specifies-- (1) the amount of the bond issue; (2) the maturity of the bonds, not to exceed 20 years; (3) the per capita amount required to amortize the bond issue, provide for the reasonable costs of administration, and maintain a sufficient reserve consistent with industry standards; (4) any project that will be funded with the bond proceeds and the specific responsibilities of the Secretary and the fundraising organization with respect to the project; and (5) procedures for modifications of the agreement with the consent of both parties, including modifications relating to project priorities, based on changes in circumstances. SEC. 5. PARK SURCHARGE. (a) In General.--Notwithstanding any other provision of law, the Secretary of the Interior may authorize the Superintendent of the park to charge and collect, in addition to the entrance fee collected pursuant to section 4 of the Land and Water Conservation Fund Act of 1965 (16 U.S.C. 460l-6a), a surcharge in an amount not to exceed $2 for each individual charged the entrance fee. (b) Use.--The surcharge shall be used by the fundraising organization to amortize the bond issue, provide for the reasonable costs of administration, and maintain a sufficient reserve consistent with industry standards. (c) Excess Funds.--Any funds collected in excess of the amount necessary to amortize the bond issue, pay reasonable administrative expenses, and maintain a sufficient reserve, as determined by the bond underwriter, shall be remitted to the National Park Foundation to be used for the benefit of all units of the National Park System. SEC. 6. USE OF BOND PROCEEDS. (a) Eligible Projects.-- (1) In general.--Subject to paragraph (2), bond proceeds under this Act may be used for a project for the design, construction, operation, maintenance, repair, or replacement of a facility in the park. No part of such proceeds (other than interest as provided in subsection (b)) may be used to defray administrative expenses. (2) Limitation.--A project referred to in paragraph (2) shall be consistent with-- (A) the laws governing the National Park System; (B) any law governing the park; and (C) the general management plan for the park. (b) Interest on Bond Proceeds.--(1) Any interest earned on bond proceeds may be used by the fundraising organization to-- (A) meet reserve requirements; and (B) defray administrative expenses incurred in connection with the management and sale of the bonds. (2) All interest on bond proceeds not used for purposes of paragraph (1) shall be remitted to the National Park Foundation for the benefit of all units of the National Park System. SEC. 7. ADMINISTRATION. The Secretary, in consultation with the Secretary of Treasury, shall issue regulations to carry out this Act.
summary: National Parks Capital Improvements Act of 1996 - Authorizes the Secretary of the Interior to enter into a memorandum of agreement with an entity to act as an authorized fundraising organization for the benefit of the Grand Canyon National Park and any other national park designated by the Secretary that has an approved general management plan with capital needs in excess of $5 million. Requires the organization to issue taxable bonds in return for a park surcharge. Exempts the United States from liability for the security of such bonds, unless the surcharge authorized under this Act is not imposed or is reduced or eliminated. Authorizes the Secretary to permit the Superintendent of the park to charge and collect, in addition to the park entrance fee, a surcharge of not to exceed two dollars per individual. Requires the fundraising organization to: (1) use the surcharge to amortize the bond issue, provide for the reasonable costs of administration, and maintain a sufficient reserve consistent with industry standards; and (2) remit any excess funds to the National Park Foundation (NPF) to be used for the benefit of all National Park System (NPS) units. Allows bond proceeds to be used for a park facility project that is consistent with: (1) the laws governing the NPS and the park; and (2) the general management plan for the park. Prohibits bond proceeds (other than interest) from being used to defray administrative expenses. Requires interest earned on bond proceeds to be used by the organization to meet reserve requirements and defray administrative expenses incurred in connection with the management and sale of the bonds, with any excess to be remitted to the NPF for the benefit of all NPS units.