Public Land Reform Act of 1981

Public Land Reform Act of 1981 - Title I: Short Title; Findings and Declaration of Policy; Definitions - Declares that the Federal Government retains ownership of substantial territory considered unreserved unappropriated public lands in States wholly west of the one-hundredth meridian. Provides that it is the policy of this Act to place all such lands, presently held in trust for the States in which they are situated, in State ownership.

Excludes from the definition of unreserved unappropriated public lands the following: (1) lands within the boundaries of national parks, national monuments, and national wildlife and migratory bird sanctuaries established prior to May 1, 1981; (2) designated units of the National Wilderness Preservation System; (3) lands within boundaries of military and Indian reservations; (4) lands essential to the operation, maintenance, and access to the U.S. Water and Power Resources Services projects, and designated highways; (5) lands necessary to the operation, maintenance, and access to shipyards, docks, security and defense establishments, magazines, arsenals, and Federal buildings; and (6) lands selected under the Alaska Native Claims Settlement Act and other applicable law.

Title II: Federal Land Transfer Board - Authorizes the Governor of any State seeking to acquire such unreserved and unappropriated lands to petition the President within ten years of the enactment of this Act to establish a Federal Land Transfer Board for such State. Directs the President to establish such a Board consisting of State and Federal members within 90 days of the receipt of such an application. States that the Board shall serve until all conveyances of such lands within the State are carried out.

Requires each Federal Land Transfer Board to coordinate its activities with the State land management agency established pursuant to this Act.

Directs each Board to carry out the required land transfers within two years of its determination that a State's application meets the requirements of this Act.

Empowers the Land Transfer Boards to resolve land claims and disputes arising from the implementation of this Act.

Grants any State aggrieved by a decision of a Land Transfer Board on its application the right to a public hearing and review before the Board. Empowers the United States courts of appeals to hear appeals from final orders of the Boards. States that judicial review shall be on the record made before the Board and that the Board's findings shall be conclusive if supported by substantial evidence.

Prohibits members of the Board from directly or indirectly receiving compensation as a result of any land transfer carried out pursuant to this Act.

Title III: State Land Management Agencies - Requires each State seeking the conveyance of unreserved and unappropriated land under this Act to establish a State land management agency to: (1) hold any transferred lands in trust for all people of the United States; (2) protect the interests of persons who have acquired rights in such land under Federal law; (3) provide for an ongoing inventory and study of public lands within the State with a view toward determining the best methods of management and utilization; (4) provide for the continued annual payments to units of local government in which entitlement lands are situated; (5) transfer to the United States those property interests necessary to continue lawful Federal activities; and (6) continue to administer lands previously administered by the United States pursuant to a treaty or interstate compact in conformance with the terms of such treaty or compact.

Title IV: Conveyance From State Ownership - Prohibits any State from conveying lands conveyed to it by the Federal Land Transfer Board unless such land is difficult and uneconomic to manage, or no longer necessary for the purpose for which it was acquired, or its disposal will serve important public objectives.

Title V: Miscellaneous - Declares that the United States shall retain control over the oceans, seas, navigable rivers, streams, lakes, and projects of the Corps of Engineers and Water and Power Resources Service.

Directs the President to modify agreements with other nations if necessary to implement this Act.

Grants the consent of Congress to any interstate compact relating to the management and use of such lands if it has been approved by the appropriate Federal Land Transfer Board.

Grants the consent of Congress to any amendments to the Enabling Act of a State receiving a conveyance of land which may be necessary to revoke any disclaimer to title of public lands not granted by the United States to the State.

Requires the Secretary of the Interior to report to the Congress, within 18 months of enactment of this Act, on the results of a study of the relative costs and benefits of Federal and State land management activities.

Authorizes sums as may be necessary to carry out the provisions of this Act.