A bill to provide for the establishment of the Lake Tahoe National Scenic Area.

Establishes the Lake Tahoe National Scenic Area, in the States of California and Nevada, to be administered by the Secretary of Agriculture in accordance with the provisions of this Act and, in the case of national forest land within such scenic area, in accordance with the laws applicable to the national forests.

Directs the Secretary to prepare a plan which shall contain such standards and describe such programs as the Secretary considers appropriate to carry out the purpose of this Act. Requires the Secretary, before adopting any such plan, to: (1) publish a proposed plan which shall be available to the public; and (2) hold at least two public hearings within the scenic area regarding the proposed plan. Directs the Secretary to adopt, within two years after the date of enactment of this Act, a final "Lake Tahoe National Scenic Area Plan".

Directs the Secretary, as soon as possible after the date of enactment of this Act, to promulgate regulations which distinguish between the types of activities which shall be deemed to have a potentially significant impact on the scenic area and those activities which do not.

Requires any State or local governmental entity which has authority to issue any permit, variance, license, or other type of approval for any activity which is deemed to have a potentially significant impact on the scenic area to provide prompt notice to the Secretary of any determination made by such entity to: (1) approve an application; or (2) carry out such activity (in the case of activities conducted directly or indirectly by the State or local government). Prohibits any such permit, variance, license, or other type of approval from becoming effective unless, within a 60 day period after such entity has submitted notice to the Secretary, the Secretary has issued a written approval of the activity.

Allows any permit, variance, license, or other type of approval for an activity which is deemed not to have a potentially significant impact on the scenic area to become effective 10 days after approval is made, unless, during such time, any interested party submits a written petition to the Secretary appealing the approval.

Sets forth specified actions that the Secretary shall take to ensure that certain Federal funds and permits are not made available to any State or local governmental entity having jurisdiction within the scenic area if the Secretary determines that such governmental entity has failed to: (1) establish regulations or laws consistent with the standards specified in the plan within one year after any such standards have been adopted by the Secretary; (2) interpret such regulations or laws in a manner consistent with the plan; or (3) notify the Secretary of applications for building or sewer permits or zoning variances within the scenic area.

Allows the Secretary to charge user fees for use of the scenic area.

Establishes in the Treasury of the United States a Lake Tahoe National Scenic Area fund which shall be available to the Secretary for the purpose of implementing this Act.

Permits the Secretary to acquire by donation, purchase with donated or appropriated funds, exchange, condemnation, or otherwise any property, or interest therein, within the scenic area. Limits acquisition by condemnation to specified conditions.

Allows the Secretary to establish a Lake Tahoe National Scenic Area Advisory Commission to insure public participation in the preparation and implementation of the plan.

Declares that nothing contained in this Act shall effect any right of the States of California or Nevada, or any political subdivisions thereof, to: (1) exercise civil or criminal jurisdiction within the scenic area; (2) levy taxes on any persons or property within the scenic area; or (3) adopt and enforce any standards or requirements for the protection of scenic resources or environmental quality within the scenic area.

Provides for the mitigation of local revenue losses due to an increase in property taxes on properties remaining in private ownership within the scenic area.

Provides for judicial review of any final action or order of the Secretary under this Act.

Repeals the Act consenting to the Tahoe regional planning compact approved December 18, 1969, effective upon the date of the adoption of the plan by the Secretary.