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[Congressional Bills 112th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3410 Introduced in House (IH)]

112th CONGRESS
  1st Session
                                H. R. 3410

 To require the Secretary of the Interior to conduct certain offshore 
oil and gas lease sales, to provide fair and equitable revenue sharing 
for all coastal States, to formulate future offshore energy development 
    plans in areas with the most potential, to generate revenue for 
            American infrastructure, and for other purposes.

_______________________________________________________________________

                    IN THE HOUSE OF REPRESENTATIVES

                           November 14, 2011

Mr. Stivers (for himself, Mr. LaTourette, Mr. Tiberi, Mr. Fitzpatrick, 
Mr. Gerlach, Mr. Womack, Mr. Reed, Mr. Johnson of Ohio, and Mr. Meehan) 
 introduced the following bill; which was referred to the Committee on 
                           Natural Resources

_______________________________________________________________________

                                 A BILL

 
 To require the Secretary of the Interior to conduct certain offshore 
oil and gas lease sales, to provide fair and equitable revenue sharing 
for all coastal States, to formulate future offshore energy development 
    plans in areas with the most potential, to generate revenue for 
            American infrastructure, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Energy Security and Transportation 
Jobs Act''.

SEC. 2. TABLE OF CONTENTS.

    The table of contents for this Act is as follows:

Sec. 1. Short title.
Sec. 2. Table of contents.
             TITLE I--EXPANDING OFFSHORE ENERGY DEVELOPMENT

Sec. 101. Outer Continental Shelf leasing program.
Sec. 102. Domestic oil and natural gas production goal.
            TITLE II--CONDUCTING PROMPT OFFSHORE LEASE SALES

Sec. 201. Requirement to conduct proposed oil and gas Lease Sale 216 in 
                            the Central Gulf of Mexico.
Sec. 202. Requirement to conduct proposed oil and gas Lease Sale 220 on 
                            the Outer Continental Shelf offshore 
                            Virginia.
Sec. 203. Requirement to conduct proposed oil and gas Lease Sale 222 in 
                            the Central Gulf of Mexico.
Sec. 204. Additional leases.
Sec. 205. Definitions.
                TITLE III--LEASING IN NEW OFFSHORE AREAS

Sec. 301. Leasing in the Eastern Gulf of Mexico.
Sec. 302. Leasing offshore of territories of the United States.
           TITLE IV--OUTER CONTINENTAL SHELF REVENUE SHARING

Sec. 401. Disposition of Outer Continental Shelf revenues.

             TITLE I--EXPANDING OFFSHORE ENERGY DEVELOPMENT

SEC. 101. OUTER CONTINENTAL SHELF LEASING PROGRAM.

    Section 18(a) of the Outer Continental Shelf Lands Act (43 U.S.C. 
1344(a)) is amended by adding at the end the following:
            ``(5)(A) In each oil and gas leasing program under this 
        section, the Secretary shall make available for leasing and 
        conduct lease sales including--
                    ``(i) at least 50 percent of the available unleased 
                acreage within each outer Continental Shelf planning 
                area considered to have the largest undiscovered, 
                technically recoverable oil and gas resources (on a 
                total btu basis) based upon the most recent national 
                geologic assessment of the outer Continental Shelf, 
                with an emphasis on offering the most geologically 
                prospective parts of the planning area; and
                    ``(ii) any State subdivision of an outer 
                Continental Shelf planning area that the Governor of 
                the State that represents that subdivision requests be 
                made available for leasing.
            ``(B) In this paragraph the term `available unleased 
        acreage' means that portion of the outer Continental Shelf that 
        is not under lease at the time of a proposed lease sale, and 
        that has not otherwise been made unavailable for leasing by 
        law.
            ``(6)(A) In the 2012-2017 5-year oil and gas leasing 
        program, the Secretary shall make available for leasing any 
        outer Continental Shelf planning areas that--
                    ``(i) are estimated to contain more than 
                2,500,000,000 barrels of oil; or
                    ``(ii) are estimated to contain more than 
                7,500,000,000,000 cubic feet of natural gas.
            ``(B) To determine the planning areas described in 
        subparagraph (A), the Secretary shall use the document entitled 
        `Minerals Management Service Assessment of Undiscovered 
        Technically Recoverable Oil and Gas Resources of the Nation's 
        Outer Continental Shelf, 2006'.''.

SEC. 102. DOMESTIC OIL AND NATURAL GAS PRODUCTION GOAL.

    Section 18(b) of the Outer Continental Shelf Lands Act (43 U.S.C. 
1344(b)) is amended to read as follows:
    ``(b) Domestic Oil and Natural Gas Production Goal.---
            ``(1) In general.--In developing a 5-year oil and gas 
        leasing program, and subject to paragraph (2), the Secretary 
        shall determine a domestic strategic production goal for the 
        development of oil and natural gas as a result of that program. 
        Such goal shall be--
                    ``(A) the best estimate of the possible increase in 
                domestic production of oil and natural gas from the 
                outer Continental Shelf;
                    ``(B) focused on meeting domestic demand for oil 
                and natural gas and reducing the dependence of the 
                United States on foreign energy; and
                    ``(C) focused on the production increases achieved 
                by the leasing program at the end of the 15-year period 
                beginning on the effective date of the program.
            ``(2) 2012-2017 program goal.--For purposes of the 2012-
        2017 5-year oil and gas leasing program, the production goal 
        referred to in paragraph (1) shall be an increase by 2027 of--
                    ``(A) no less than 3,000,000 barrels in the amount 
                of oil produced per day; and
                    ``(B) no less than 10,000,000,000 cubic feet in the 
                amount of natural gas produced per day.
            ``(3) Reporting.--The Secretary shall report annually, 
        beginning at the end of the 5-year period for which the program 
        applies, to the Committee on Natural Resources of the House of 
        Representatives and the Committee on Energy and Natural 
        Resources of the Senate on the progress of the program in 
        meeting the production goal. The Secretary shall identify in 
        the report projections for production and any problems with 
        leasing, permitting, or production that will prevent meeting 
        the goal.''.

            TITLE II--CONDUCTING PROMPT OFFSHORE LEASE SALES

SEC. 201. REQUIREMENT TO CONDUCT PROPOSED OIL AND GAS LEASE SALE 216 IN 
              THE CENTRAL GULF OF MEXICO.

    (a) In General.--The Secretary of the Interior shall conduct 
offshore oil and gas Lease Sale 216 under section 8 of the Outer 
Continental Shelf Lands Act (33 U.S.C. 1337) as soon as practicable, 
but not later than 4 months after the date of enactment of this Act.
    (b) Environmental Review.--For the purposes of that lease sale, the 
Environmental Impact Statement for the 2007-2012 5 Year OUTER 
CONTINENTAL SHELF Plan and the Multi-Sale Environmental Impact 
Statement are deemed to satisfy the requirements of the National 
Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.).

SEC. 202. REQUIREMENT TO CONDUCT PROPOSED OIL AND GAS LEASE SALE 220 ON 
              THE OUTER CONTINENTAL SHELF OFFSHORE VIRGINIA.

    (a) In General.--Notwithstanding the inclusion of Lease Sale 220 in 
the fiscal years 2012 through fiscal year 2017 5 Year Outer Continental 
Shelf Oil and Gas Leasing Program, the Secretary shall conduct offshore 
oil and gas Lease Sale 220 under section 8 of the Outer Continental 
Shelf Lands Act (33 U.S.C. 1337) as soon as practicable, but not later 
than one year after the date of enactment of this Act.
    (b) Prohibition on Conflicts With Military Operations.--No person 
may engage in any exploration, development, or production of oil or 
natural gas off the coast of Virginia that would conflict with any 
military operation, as determined in accordance with the Memorandum of 
Agreement between the Department of Defense and the Department of the 
Interior on Mutual Concerns on the Outer Continental Shelf signed July 
20, 1983, and any revision or replacement for that agreement that is 
agreed to by the Secretary of Defense and the Secretary of the Interior 
after that date but before the date of issuance of the lease under 
which such exploration, development, or production is conducted.

SEC. 203. REQUIREMENT TO CONDUCT PROPOSED OIL AND GAS LEASE SALE 222 IN 
              THE CENTRAL GULF OF MEXICO.

    (a) In General.--The Secretary shall conduct offshore oil and gas 
Lease Sale 222 under section 8 of the Outer Continental Shelf Lands Act 
(33 U.S.C. 1337) as soon as practicable, but not later than September 
1, 2012.
    (b) Environmental Review.--For the purposes of that lease sale, the 
Environmental Impact Statement for the 2007-2012 5 Year OUTER 
CONTINENTAL SHELF Plan and the Multi-Sale Environmental Impact 
Statement are deemed to satisfy the requirements of the National 
Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.).

SEC. 204. ADDITIONAL LEASES.

    Section 18 of the Outer Continental Shelf Lands Act (43 U.S.C. 
1344) is amended by adding at the end the following:
    ``(i) Additional Lease Sales.--In addition to lease sales in 
accordance with a leasing program in effect under this section, the 
Secretary may hold lease sales for areas identified by the Secretary to 
have the greatest potential for new oil and gas development as a result 
of local support, new seismic findings, or nomination by interested 
persons.''.

SEC. 205. DEFINITIONS.

    In this title:
            (1) The term ``Environmental Impact Statement for the 2007-
        2012 5 Year OUTER CONTINENTAL SHELF Plan'' means the Final 
        Environmental Impact Statement for Outer Continental Shelf Oil 
        and Gas Leasing Program: 2007-2012 (April 2007) prepared by the 
        Secretary.
            (2) The term ``Multi-Sale Environmental Impact Statement'' 
        means the Environmental Impact Statement for Proposed Western 
        Gulf of Mexico OUTER CONTINENTAL SHELF Oil and Gas Lease Sales 
        204, 207, 210, 215, and 218, and Proposed Central Gulf of 
        Mexico OUTER CONTINENTAL SHELF Oil and Gas Lease Sales 205, 
        206, 208, 213, 216, and 222 (September 2008) prepared by the 
        Secretary.
            (3) The term ``Secretary'' means the Secretary of the 
        Interior.

                TITLE III--LEASING IN NEW OFFSHORE AREAS

SEC. 301. LEASING IN THE EASTERN GULF OF MEXICO.

    Section 104 of division C of the Tax Relief and Health Care Act of 
2006 (Public Law 109-432; 120 Stat. 3003) is repealed.

SEC. 302. LEASING OFFSHORE OF TERRITORIES OF THE UNITED STATES.

    Section 2(a) of the Outer Continental Shelf Lands Act (43 U.S.C. 
1331) is amended, by inserting after ``control'' the following: ``or 
lying within the United States' exclusive economic zone and the 
Continental Shelf adjacent to the Commonwealth of Puerto Rico, the 
Commonwealth of the Northern Mariana Islands, the Virgin Islands, 
American Samoa, Guam, or the other territories of the United States''.

           TITLE IV--OUTER CONTINENTAL SHELF REVENUE SHARING

SEC. 401. DISPOSITION OF OUTER CONTINENTAL SHELF REVENUES.

    Section 9 of the Outer Continental Shelf Lands Act (43 U.S.C. 1338) 
is amended--
            (1) in the existing text--
                    (A) in the first sentence, by striking ``All 
                rentals,'' and inserting the following:
    ``(c) Disposition of Revenue Under Old Leases.--All rentals,''; and
                    (B) in subsection (c) (as designated by the 
                amendment made by subparagraph (A) of this paragraph), 
                by striking ``for the period from June 5, 1950, to 
                date, and thereafter'' and inserting ``in the period 
                beginning June 5, 1950, and ending on the date of 
                enactment of the Energy Security and Transportation 
                Jobs Act'';
            (2) by adding after subsection (c) (as so designated) the 
        following:
    ``(d)  New Leasing Revenues Defined.--In this section the term `new 
leasing revenues' means amounts received by the United States as 
bonuses, rents, and royalties under leases for oil and gas, wind, 
tidal, or other energy exploration, development, and production that 
are awarded under this Act after the date of enactment of the Energy 
Security and Transportation Jobs Act.''; and
            (3) by inserting before subsection (c) (as so designated) 
        the following:
    ``(a) Payment of New Leasing Revenues to Coastal States, 
Generally.--
            ``(1) In general.--Of the amount of new leasing revenues 
        received by the United States each fiscal year that is 
        described in paragraph (2), 37.5 percent shall be allocated and 
        paid in accordance with subsection (b) to coastal States that 
        are affected States with respect to the leases under which 
        those revenues are received by the United States.
            ``(2) Phase-in.--The amount of new leasing revenues 
        referred to in paragraph (1) is the sum determined by adding--
                    ``(A) 35 percent of new leasing revenues received 
                by the United States in the fiscal year under--
                            ``(i) leases awarded under the first 
                        leasing program under section 18(a) that takes 
                        effect after the date of enactment of the 
                        Energy Security and Transportation Jobs Act; 
                        and
                            ``(ii) other leases issued as a result of 
                        the enactment of that Act;
                    ``(B) 70 percent of new leasing revenues received 
                by the United States in the fiscal year under leases 
                awarded under the second such leasing program; and
                    ``(C) 100 percent of new leasing revenues received 
                by the United States under leases awarded under the 
                third such leasing program or any such leasing program 
                taking effect thereafter.
    ``(b) Allocation of Payments to Coastal States.--
            ``(1) In general.--The amount of new leasing revenues 
        received by the United States with respect to a leased tract 
        that are required to be paid to coastal States in accordance 
        with this subsection each fiscal year shall be allocated among 
        and paid to such States that are within 200 miles of the leased 
        tract, in amounts that are inversely proportional to the 
        respective distances between the point on the coastline of each 
        such State that is closest to the geographic center of the 
        lease tract, as determined by the Secretary.
            ``(2) Minimum and maximum allocation.--The amount allocated 
        to a coastal State under paragraph (1) each fiscal year with 
        respect to a leased tract shall be--
                    ``(A) in the case of a coastal State that is the 
                nearest State to the geographic center of the leased 
                tract, not less than 25 percent of the total amounts 
                allocated with respect to the leased tract; and
                    ``(B) in the case of any other coastal State, not 
                less than 10 percent, and not more than 15 percent, of 
                the total amounts allocated with respect to the leased 
                tract.
            ``(3) Administration.--Amounts allocated to a coastal State 
        under this subsection--
                    ``(A) shall be available to the State without 
                further appropriation;
                    ``(B) shall remain available until expended; and
                    ``(C) shall be in addition to any other amounts 
                available to the State under this Act.
            ``(4) Use of funds.--
                    ``(A) In general.--Except as provided in 
                subparagraph (B), a coastal State may use funds 
                allocated and paid to it under this subsection for any 
                purpose as determined by State law.
                    ``(B) Restriction on use for matching.--Funds 
                allocated and paid to a coastal State under this 
                subsection may not be used as matching funds for any 
                other Federal program.''.
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