Lost Creek Land Exchange Act of 1996

Lost Creek Land Exchange Act of 1996 - Directs the Secretary of Agriculture to acquire certain land and interests in land owned by R-Y Timber, Inc., located in the Lost Creek area and other areas of the Deerlodge National Forest, Montana, in exchange for specified lands in the Deerlodge National Forest and the right to harvest specified amounts of timber on certain land in the Deerlodge, Helena, and Lewis and Clark National Forests.

Directs that: (1) timber harvest practices used on such National Forest lands be conducted in accordance with applicable Montana law and be in addition to the present or future planned timber sale quantities for such Forests; and (2) the Forest Service enter a contract with a qualified private person agreed on by the Secretary and R-Y to perform the field work associated with the designations.

Sets forth provisions regarding: (1) minimum annual designations of timber harvest; and (2) review, standards for quality, and conveyance of title.

Specifies that all land conveyed to the United States under this Act shall be added to and administered as part of the Deerlodge National Forest. Deems the values of the lands and interests exchanged under this Act to be of approximately equal value.

Shields the United States from liability as a result of the acquisition of an interest in the Lost Creek Tract or due to circumstances or events occurring before acquisition, including any release or threat of release of a hazardous substance.