; and (2) accept from the conservation district a conveyance of all right, title, and interest of the conservation district in and to the exchange land, and any such portion of the non-public exchange parcel as may be required to equalize the values of the lands exchanged. (b) Equalization payment To the extent an equalization payment is necessary under section 206(b) of the Federal Land Policy and Management Act of 1976 ( 43 U.S.C. 1716 ), the amount of such equalization payment shall first be made by way of in-kind transfer of such portion of the public exchange parcel to the conservation district, or transfer of such portion of the non-public exchange parcel to the United States, as the case may be, as may be necessary to equalize the fair market values of the exchanged properties, as such values are indicated by the appraisal provided for under the Federal Land Policy and Management Act of 1976 ( 43 U.S.C. 1716 ). Such appraisal shall include an appraisal of the public exchange parcel and the non-public exchange parcel. The fair market value of the public exchange parcel or non-public exchange parcel, as the case may be, shall be credited against any required equalization payment. To the extent such credit is not sufficient to offset the entire amount of equalization payment so indicated, any remaining amount of equalization payment shall be treated as follows: (1) If the equalization payment is to equalize values by which the public land exceeds the exchange land and the credited value of the non-public exchange parcel, conservation district may make the equalization payment to the United States, notwithstanding any limitation regarding the amount of the equalization payment under section 206(b) of the Federal Land Policy and Management Act of 1976 ( 43 U.S.C. 1716 ). In the event conservation district opts not to make the indicated equalization payment, the exchange shall not proceed. (2) If the equalization payment is to equalize values by which the exchange land exceeds the public land and the credited