; (2) shall be subject to a rental of $5 per acre per year for the first 3-year renewal of the lease; and (3) shall be subject to a rental of $10 per acre per year for the second and subsequent 3-year renewals of the lease. (c) Limitations A small miners lease— (1) may only be held by the primary leaseholder, a spouse thereof, or a direct descendent thereof; (2) may not be sold or transferred, other than to a spouse or direct descendent of the primary leaseholder; and (3) is subject to all permitting requirements under this Act. (d) Conversion to hardrock mineral lease If the leaseholder no longer meets the definition of the term small miner in section 3 at the time a renewal is applied for because the leaseholder’s gross income exceeds the amount specified in the definition, the leaseholder shall not be eligible to renew the small miners lease, but shall be eligible for a noncompetitive hardrock mineral lease issued under section 103(c). Notwithstanding section 103(c)(1), royalties under such a lease shall only be due on the gross income that exceeds the amount of gross income specified in such definition as of the time the hardrock mineral lease is issued. 106. Lands containing nonhardrock minerals