White Earth Reservation Land Settlement Act of 1985

White Earth Reservation Land Settlement Act of 1985 - Provides procedures for: (1) resolving claims and clearing title (by statutory ratification) to certain land on the White Earth Indian Reservation, Minnesota; and (2) compensating for loss of allotments resulting from such ratification.

States which categories of allotments are and are not applicable for compensation under this Act.

Requires the Secretary of the Interior to: (1) determine, and publish a list of, all applicable allotments (allowing, within a specified time, for the submission, determination, and publication of additional applicable allotments); (2) make determinations of heirships to lands subject to applicable allotments; (3) locate and notify allottees or heirs; (4) establish the fair market value of the various types of land subject to applicable allotments for various years, which shall govern the compensation payable under this Act; and (5) distribute such compensation. Provides a formula for fixing such compensation.

Allows judicial review of the Secretary's compensation determinations up to a specified period (after which such determinations shall be conclusive). Gives exclusive jurisdiction over such actions to the U.S. District Court for the District of Minnesota.

Establishes the White Earth Compensation Fund in order to provide the compensation payable under this Act. Exempts such compensation payments from Federal or State income taxes. Authorizes appropriations.

Establishes the White Earth Band of Chippewa Indians Economic Development and Tribal Government Fund for the benefit of the White Earth Band of Chippewa Indians (subject to a Tribal Financial Ordinance and Investment Plan and a waiver of U.S. liability for any loss as result of the use of such funds). Requires forfeiture into such Fund of any compensation due for which allottees cannot be located. Authorizes appropriations.

Makes this Act conditional on: (1) Minnesota transferring 10,000 acres to the United States in trust for the White Earth Band of Chippewa Indians and appropriating $500,000 for assisting the United States with the administration of this Act; and (2) congressional authorization of specified amounts for, and placement in, the White Earth Compensation Fund and the White Earth Band of Chippewa Indian Economic Development and Tribal Government Fund.

Requires the Secretary to publish in the Federal Register that such conditions have been met. Provides, after such publication, for: (1) the ratification of certain allotments and the extinguishment of claims against the United States and Minnesota arising out of transactions involving those allotments; and (2) the prohibition of certain court actions to recover damages or titles to lands covered by those allotments.

Permits individual actions to be filed only within a specified time after such publication. Prohibits receiving compensation under this Act after such an action is filed. Waives U.S. sovereign immunity to such actions.

States the intention that: (1) no title to lands on the White Earth Reservation shall be rendered unmarketable solely because of the Secretary's determinations under this Act; and (2) that no individual be compensated twice for the same interest in an allotment.