UPDATE: Congress enacted The Secure Rural Schools Act of 2025 (Public Law 119-58). On December 18, 2025. This action re-authorized Secure Rural Schools payments through Federal Fiscal Year 2026 and included retroactive payments for Federal Fiscal Year 2024 (paid in State Fiscal Year 2025) and Federal Fiscal Year 2025 (to be paid in State Fiscal Year 2026).

Historically, the distribution of funds under the National Forest Receipts Program was authorized under a 1908 federal law (16 USC 500) where 25% of the annual income earned from activities within a national forest was shared with the State for distribution to boroughs, cities and regional educational attendance areas (REAAs) located within the national forest. National Forest Receipts payments to the State are based upon the average of the three highest payments made to the State during the "eligibility period" of fiscal years 1987-2000. Applications are directed to each eligible applicant in DGMS on or before July 1 and must be submitted by August 15.