A bill to amend section 35 of the Mineral Leasing Act of 1920 with respect to the disposition of the proceeds of sales, bonuses, royalties, and rentals under such act.

States that all moneys received from the sales, bonuses, royalties, and rentals from surface mining operations in, on or upon the public lands shall be paid into the Treasury of the United States, and 90 percent thereof shall be paid by the Secretary of the Treasury as soon as practicable after December 31 and June 30 of each year to the State within the boundaries of which the leased lands or deposits are or were located. States that such money shall be used by the State for the necessary reconditioning or restoration of land or water that has been affected by exploration or mineral development, mining, or onsite processing operations and waste disposal in ways which will prevent or control damage to the environment and, thereafter, for the construction or maintenance of public roads or support of public schools or other public educational institutions, as the legislature of the State may direct. Provides that all moneys received under the provisions of this Act not otherwise disposed of this Act shall be credited to miscellaneous receipts.