Small Lands Tracts Conveyance Act - Requires the Director of the Bureau of Land Management (BLM) for a state (respecting certain public lands) or the Regional Forester (respecting certain National Forest System lands) to select an eligible federal lands parcel for conveyance: (1) in response to a request by an adjacent landholder (any holder of non-federal land that shares one or more boundaries with such a parcel and who requests to purchase such a parcel), or (2) upon the recommendation of the BLM District Office or System unit that exercises administration over such parcel.
Directs the Secretary of Agriculture (USDA) and the Secretary of the Interior to each create a process by which an adjacent landholder may request to purchase an eligible parcel. Instructs that such process be open to the public and available on the Internet.
Bars a conveyed eligible parcel from exceeding 160 acres unless the Director or Regional Forester concerned approves a request for additional acreage. Permits acquisition by an adjacent landholder of only one eligible parcel a year, subject to an exception.
Instructs the Director or Regional Forester concerned, as consideration for the sale of an eligible parcel, to require a cash payment in an amount equal to not less than the fair market value of such parcel, including the mineral estate, being conveyed.
Requires the proceeds collected from such conveyances to be deposited into a special fund established by this Act and distributed annually to each state in which the federal government owns more than 33% of the land area of such state.
Requires, from amounts collected and deposited: (1) 50% of the amount collected from a conveyance to be distributed to the state in which the conveyance took place, and (2) the remaining 50% to be distributed equally between the remaining states identified pursuant to the preceding paragraph.
Requires states receiving such funds to use them only for: (1) purchasing additional eligible parcels consistent with land use management under the Federal Land Policy and Management Act; and (2) being in compliance with federal requirements under the Endangered Species Act of 1973, Federal Water Pollution Control Act (known as the Clean Water Act [CWA]), and National Environmental Policy Act of 1969 (NEPA).
Requires the purchaser of an eligible federal lands parcel under this Act to cover the costs to be incurred, or to reimburse the Director or Regional Forester concerned for the costs incurred, in carrying out the conveyance.
Excludes categorically a conveyance of an eligible federal lands parcel under this Act from the requirement to prepare an environmental assessment or an environmental impact statement under NEPA.