Idaho agreed Tuesday to pay $50,000 and pledged to follow anti-discrimination rules to settle a federal lawsuit against state officials who awarded grazing leases to ranchers, not the environmentalist who had offered more money.

The Idaho Board of Land has also committed to revising its rules to allow conservation groups to lease state endowment trust lands, a big change after years of fierce litigation. The board's five members are the governor, state controller, secretary of state, attorney general and superintendent of public instruction.

In 2006, Washington state businessman and environmentalist Gordon Younger was the high bidder on seven Idaho grazing leases, but lost when the Board of Land with then-Gov. Jim Risch gave the leases to livestock owners. Younger, who planned to manage the lands to restore what he called "their degraded streams and wildlife habitats," sued in U.S. District Court on grounds he was the victim of discrimination.

Laird Lucas, attorney for Younger's Lazy Y Ranch Ltd., said Tuesday he's optimistic this settlement and the Board of Land's revised leasing rules represent a departure from the past, when conservation groups were bullied out of winning state grazing leases and left no other option than to sue.