Guest Column: How Much Federal Land Is Too Much?

Rep. Harriet Hageman writes, "Although there are certain individuals who seem hell-bent on selling this invaluable property (Kelly Parcel) to the National Park Service for $100 million dollars, it is obvious by every metric that its value is significantly higher. It is also apparent that the NPS itself believes this parcel is worth substantially more than $100 million."

CS
CSD Staff

November 06, 20247 min read

Hageman guest columns 9 15 23
(Cowboy State Daily Staff)

For our federal government, and regardless of the issue, “the sky’s the limit.” Applying this adage to ownership of real property “out west” is well-known, which is why I have introduced the No Net Gain in Federal Lands Act of 2024.

My bill will prevent the USDA and DOI from increasing the number of acres under their jurisdiction in any fiscal year. Now, if either of these agencies want to acquire additional lands, they can still do so, but they must relinquish a similar amount or value of acreage to the particular state at hand. The federal government already owns 640 million acres, and it is time to push back against the ever-expanding authority of federal land agencies.    

I recently signed onto an amicus brief supporting Utah’s Petition to the US Supreme Court to return unappropriated lands to the state. Governor Gordon and members of the Wyoming legislature have signed on to similar briefs.  We must address the issue of federal land ownership, particularly in the west, and I commend Attorney General Reyes for challenging the federal government’s holding of 18 million acres of unappropriated BLM land—which doesn’t include national parks, forests, monuments or tribal lands. The outcome of this case could be significant for Wyoming and all western states, including in our quest to rebalance our relationship with Washington, DC. 

The federal government owns over 48% of Wyoming’s surface estate, and an even greater 65% of underlying mineral rights. Federal land ownership in Teton County is far worse, with only 3% being privately held, which is one of the reasons that housing costs are so high. Federal ownership of this magnitude wreaks havoc on affordable housing, the cost of providing services, and property taxes for county citizens.

There is, however, a solution at hand, one that could produce long-term revenue for the benefit of all of Wyoming, while also reducing the reach and burden of federal regulators.

The Kelly Parcel, which is comprised of 640 acres of land located within the boundaries of Grand Teton National Park, provides that opportunity.

Although there are certain individuals who seem hell-bent on selling this invaluable property to the National Park Service (NPS) for $100 million dollars, it is obvious by every metric that its value is significantly higher.

It is also apparent that the NPS itself believes this parcel is worth substantially more than $100 million.

It is thus time for the State to leverage the value of this property for the best interests of our citizens, which I believe involves exchanging it for other federal lands within the State, most likely BLM lands in the Powder River Basin (PRB). If, however, DOI, the umbrella agency encompassing both the NPS and the BLM, does not want to engage in such discussions, the State must explore selling the Kelly Parcel at fair market value.

Why am I willing to explore and discuss alternative ownership of the Kelly Parcel? It is quite simple: in addition to revenue concerns associated with an outsized federal footprint, DOI has been increasingly and actively working to restrict access to and use of BLM lands in southwestern Wyoming and to block all coal mining in the all-important PRB in northeastern and central Wyoming. 

In August 2023, the BLM released its Rock Springs Resource Management Plan (RMP). The BLM’s preferred land use designation of “option B” would have largely eliminated grazing, mining, drilling, rights-of-ways, and recreation on millions of acres, while elevating “conservation” as the primary agency objective. This past legislative session, and as part of agreeing to sell the Kelly Parcel to the NPS for $100 million dollars, the legislature sought to force the BLM to modify the Rock Springs RMP to allow for additional development, grazing, etc.  In the most-recent RMP, the BLM made a few strategic modifications, but continues to elevate “conservation” over our historical uses. The BLM, in other words, hopes that no one will notice that it failed to meet our legislators’ intent with regard to this RMP and selling the Kelly Parcel to the NPS.    

Coupling that with the BLM’s recent Buffalo District RMP—designed to stop all coal mining in the PRB by 2041, and the threat of this federal overreach becomes readily apparent, confirming our concerns about the BLM’s effort to destroy our ability to access, produce and use 40% of America’s coal supply.

Both RMPs would cripple Wyoming’s economy and further destroy our ability to produce clean, affordable and reliable energy. It is thus time for our Wyoming leaders to be bold in their vision when evaluating how the Kelly Parcel comes into play. While selling the Kelly Parcel to the NPS for $100 million dollars would provide a one-time payment, trading that parcel for productive lands and mineral rights in the PRB provides a long-term revenue stream and allows Wyoming to control its own destiny without federal interference—at least on the lands so acquired. 

Considering the damage that failed federal land use policies have caused to Wyoming, including with catastrophic forest fires and the beetle outbreak, resulting from the Clinton Roadless Rule; the loss of valuable grazing, mining, and recreation lands by the stroke of a pen from a bureaucrat in Washington, DC; and other challenges associated with a 48% federal footprint, a state/federal exchange would seem to satisfy all parties. Rushing to sell this invaluable piece of real estate while the Biden-Harris regime is in office will ultimately satisfy no one, while squandering an incredible opportunity to benefit Wyoming.    

If the DOI refuses to make a commonsense land swap, then it is up to us to demand a legitimate appraisal of the Kelly Parcel, not one that is constrained by what the NPS is willing to pay. Just this summer, a 40-acre property abutting the National Elk Refuge and the Gros Ventre wilderness was listed for $17.9 million. It quickly sold for an undisclosed sum. Using the asking price, we can make a few legitimate estimates of the value of the Kelly Parcel: 40 acres at $17.9 million provides a return of $447,500 per acre. The Kelly Parcel of 640 acres at $447,500, provides a return of $286,400,000, almost three times what the state appears poised to accept from the NPS right now. Even accounting for discrepancies in exact location and list vs. sale price, 640 acres of pristine land within the Grand Teton National Park should command substantially more than the $100 million being considered.

Wyoming must negotiate the best deal possible before selling the Kelly Parcel to the NPS.  With the federal government aggressively blocking grazing, recreation, fossil fuel production and mineral extraction, we should be focusing on identifying long-term revenue-generating opportunities to fund our schools and other public services, rather than on how to expand the federal footprint by another 640 acres.   

Our political leaders should be working on our behalf, and for the future of our state, rather than quietly working behind the scenes to thwart a legitimate assessment of the value of the Kelly Parcel in order to sell it to the NPS for $100 million.  Wyoming has plenty of time to negotiate the best deal, be that a land swap or an outright sale. We should not be rushing this process simply to get it done while Biden and Harris are in the White House, or before we have new legislators in Cheyenne come January. 

We have long lamented the regulatory and monetary cost associated with the federal footprint within our state. As the DOI moves more aggressively to close off revenue generating access to federal land across Wyoming, is it the right approach to allow it to increase that footprint— especially when such an increase would involve stripping Wyoming of the most valuable piece of real estate that it has ever owned?  Surely, we can do better than that. 

Rep. Harriet Hageman, (R-WY)

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