II 

Calendar No. 245 

112TH CONGRESS 

1ST SESSION S. 1932 

To require the Secretary of State to act on a permit for the Keystone 

XL pipeline. 

IN THE SENATE OF THE UNITED STATES 

NOVEMBER 30, 2011 

Mr. LUGAR (for himself, Mr. HOEVEN, Mr. VITTER, Ms. MURKOWSKI, Mr. 

MCCONNELL, Mr. JOHANNS, Mr. ROBERTS, Mr. BARRASSO, Mr. COATS, 

Mr. RUBIO, Mr. ISAKSON, Mr. CORNYN, Mr. WICKER, Mr. INHOFE, Mr. 

MORAN, Mr. THUNE, Mr. JOHNSON of Wisconsin, Mr. CRAPO, Mr. GRAHAM, Mr. BLUNT, Mr. SESSIONS, Mr. ENZI, Mr. ALEXANDER, Mrs. 

HUTCHISON, Mr. RISCH, Mr. CHAMBLISS, Mr. KIRK, Mr. PORTMAN, Mr. 

BURR, Mr. SHELBY, Mr. LEE, Mr. BOOZMAN, Mr. COBURN, Mr. COCHRAN, Mr. GRASSLEY, Mr. HELLER, Mr. CORKER, Mr. TOOMEY, and Ms. 

AYOTTE) introduced the following bill; which was read the first time 

DECEMBER 1, 2011 

Read the second time and placed on the calendar 

A BILL 

To require the Secretary of State to act on a permit for 

the Keystone XL pipeline. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 


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1 SECTION 1. SHORT TITLE. 

2 This Act may be cited as the ‘‘North American En3 ergy Security Act’’. 

4 SEC. 2. FINDINGS. 

5 Congress finds that— 

6 (1) United States overdependence on oil im7 ports from hostile or unstable regions damages 

8 United States national security, endangers the econ9 omy of the United States, puts the lives of military 

10 and civilian personnel at risk, and ensures that ac11 cess to oil imports comes at tremendous taxpayer ex12 pense; 

13 (2) the United States imports more than half of 

14 the oil it consumes, much of it from countries that 

15 do not have the level of environmental standards of 

16 Canada and the United States and that are hostile 

17 to United States interests or that have political and 

18 economic instability that compromises supply secu19 rity; 

20 (3) while a significant portion of the United 

21 States’ oil imports are derived from allies such as 

22 Canada and Mexico, the United States remains vul23 nerable to substantial supply disruptions created by 

24 geopolitical tumult in major oil-producing nations; 

25 (4) strong increases in oil consumption in the 

26 developing world outpace growth in oil supplies, 


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1 bringing tight market conditions and higher oil 

2 prices in periods of global economic expansion or 

3 when supplies are threatened; 

4 (5) the development and delivery of oil from 

5 Canada to the United States is in the national inter6 est of the United States by helping to secure reliable 

7 oil supplies to meet demand that is otherwise pro8 jected to be met by increases in imports from less 

9 secure and reliable suppliers; 

10 (6) secure and reliable trade with Canada com11 plements United States domestic energy priorities; 

12 (7) continued development of North American 

13 energy resources, including Canadian oil, increases 

14 the access of domestic refiners to stable and reliable 

15 sources of crude oil and improves the certainty of 

16 fuel supply for the Department of Defense, the larg17 est consumer of petroleum in the United States; 

18 (8)(A) Canada and the United States have the 

19 largest 2-way trading relationship in the world; 

20 (B) for every United States dollar spent on 

21 products from Canada, including oil, 90 cents is re22 turned to the United States economy; and 

23 (C) when the same metrics are applied to trad24 ing relationships with some other major sources of 


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1 United States crude oil imports, returns are much 

2 lower; 

3 (9)(A) the principal choice for Canadian oil ex4 porters is between moving increasing crude oil vol5 umes to the United States or Asia, particularly 

6 China; and 

7 (B) increased Canadian oil exports to China 

8 would result in increased crude oil imports to the 

9 United States from less secure and reliable foreign 

10 sources, many of which do not have the level of envi11 ronmental standards of Canada and the United 

12 States; 

13 (10) increased Canadian crude oil imports into 

14 the United States correspondingly reduces the scale 

15 of wealth transfers to other more distant foreign 

16 sources resulting from the greater cost of trans17 porting crude oil from those sources; 

18 (11) not only are United States companies 

19 major investors in Canadian oil sands, but many 

20 United States businesses throughout the United 

21 States benefit from supplying goods and services re22 quired for ongoing Canadian oil sands operations 

23 and expansion; 

24 (12) there has been more than 3 years of con25 sideration and a coordinated review by more than a 


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1 dozen Federal agencies of the technical aspects and 

2 of the environmental, social, and economic impacts 

3 of the proposed pipeline project known as the Key4 stone XL from Hardisty, Alberta, to Steele City, Ne5 braska, and then on to the United States Gulf Coast 

6 through Cushing, Oklahoma; 

7 (13) the Keystone XL pipeline represents a 

8 high capacity pipeline supply option that could meet 

9 near, as well as long-term, market demand for crude 

10 oil to United States refineries, and could also poten11 tially bring over 100,000 barrels per day of United 

12 States Bakken crude oil to market; 

13 (14) completion of the Keystone XL pipeline 

14 would increase total Keystone pipeline system capac15 ity by 700,000 barrels per day to 1,290,000 barrels 

16 per day; 

17 (15) the Keystone XL pipeline would directly 

18 create 20,000 jobs and many more long-term jobs 

19 and related labor income benefits through the supply 

20 chain; 

21 (16) the earliest possible construction of the 

22 Keystone XL pipeline will increase the quantity of 

23 proven and potential reserves of Canadian oil avail24 able for United States use and increase United 


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1 States jobs and will, as a result, serve the national 

2 interest; 

3 (17) the Keystone XL pipeline would be state4 of-the-art and be constructed to meet the highest 

5 safety standards; and 

6 (18) as a result of the extensive governmental 

7 studies already made with respect to the Keystone 

8 XL project and the national interest in early delivery 

9 of Canadian oil to United States markets, a decision 

10 with respect to a Presidential permit for the Key11 stone XL pipeline should be promptly issued without 

12 further administrative delay or impediment. 

13 SEC. 3. PERMIT FOR KEYSTONE XL PIPELINE. 

14 (a) IN GENERAL.—Except as provided in subsection 

15 (b), not later than 60 days after the date of enactment 

16 of this Act, the President, acting through the Secretary 

17 of State, shall grant a permit under Executive Order 

18 13337 (3 U.S.C. 301 note; relating to issuance of permits 

19 with respect to certain energy-related facilities and land 

20 transportation crossings on the international boundaries 

21 of the United States) for the Keystone XL pipeline project 

22 application filed on September 19, 2008 (including amend23 ments). 

24 (b) EXCEPTION.— 


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1 (1) IN GENERAL.—The President shall not be 

2 required to grant the permit under subsection (a) if 

3 the President determines that the Keystone XL 

4 pipeline would not serve the national interest. 

5 (2) REPORT.—If the President determines that 

6 the Keystone XL pipeline is not in the national in7 terest under paragraph (1), the President shall, not 

8 later than 15 days after the date of the determina9 tion, submit to the Committee on Foreign Relations 

10 of the Senate, the Committee on Foreign Affairs of 

11 the House of Representatives, the majority leader of 

12 the Senate, the minority leader of the Senate, the 

13 Speaker of the House of Representatives, and the 

14 minority leader of the House of Representatives a 

15 report that provides a justification for determina16 tion, including consideration of economic, employ17 ment, energy security, foreign policy, trade, and en18 vironmental factors. 

19 (3) EFFECT OF NO FINDING OR ACTION.—If a 

20 determination is not made under paragraph (1) and 

21 no action is taken by the President under subsection 

22 (a) not later than 60 days after the date of enact23 ment of this Act, the permit for the Keystone XL 

24 pipeline described in subsection (a) that meets the 


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1 requirements of subsections (c) and (d) shall be in 

2 effect by operation of law. 

3 (c) REQUIREMENTS.—The permit granted under sub4 section (a) shall require the following: 

5 (1) The permittee shall comply with all applica6 ble Federal and State laws (including regulations) 

7 and all applicable industrial codes regarding the con8 struction, connection, operation, and maintenance of 

9 the United States facilities. 

10 (2) The permittee shall obtain all requisite per11 mits from Canadian authorities and relevant Fed12 eral, State, and local governmental agencies. 

13 (3) The permittee shall take all appropriate 

14 measures to prevent or mitigate any adverse envi15 ronmental impact or disruption of historic properties 

16 in connection with the construction, operation, and 

17 maintenance of the United States facilities. 

18 (4) For the purpose of the permit issued under 

19 subsection (a) (regardless of any modifications under 

20 subsection (d))— 

21 (A) the final environmental impact state22 ment issued by the Secretary of State on Au23 gust 26, 2011, satisfies all requirements of the 

24 National Environmental Policy Act of 1969 (42 

25 U.S.C. 4321 et seq.) and section 106 of the NaVerDate Mar 15 2010 03:21 Dec 02, 2011 Jkt 019200 PO 00000 Frm 00008 Fmt 6652 Sfmt 6201 E:\BILLS\S1932.PCS S1932

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1 tional Historic Preservation Act (16 U.S.C. 

2 470f); 

3 (B) any modification required by the Sec4 retary of State to the Plan described in para5 graph (5)(A) shall not require supplementation 

6 of the final environmental impact statement de7 scribed in that paragraph; and 

8 (C) no further Federal environmental re9 view shall be required. 

10 (5) The construction, operation, and mainte11 nance of the facilities shall be in all material re12 spects similar to that described in the application 

13 described in subsection (a) and— 

14 (A) in accordance with the construction, 

15 mitigation, and reclamation measures agreed to 

16 by the permittee in the Construction Mitigation 

17 and Reclamation Plan found in appendix B of 

18 the final environmental impact statement issued 

19 by the Secretary of State on August 26, 2011, 

20 subject to the modification described in sub21 section (d); 

22 (B) the special conditions agreed to be23 tween the permittee and the Administrator of 

24 the Pipeline Hazardous Materials Safety Ad25 ministration of the Department of TransporVerDate Mar 15 2010 03:21 Dec 02, 2011 Jkt 019200 PO 00000 Frm 00009 Fmt 6652 Sfmt 6201 E:\BILLS\S1932.PCS S1932

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1 tation found in appendix U of the final environ2 mental impact statement described in subpara3 graph (A); 

4 (C) if the modified route submitted by the 

5 Governor of Nebraska under subsection 

6 (d)(3)(B) crosses the Sand Hills region, the 

7 measures agreed to by the permittee for the 

8 Sand Hills region found in appendix H of the 

9 final environmental impact statement described 

10 in subparagraph (A); and 

11 (D) the stipulations identified in appendix 

12 S of the final environmental impact statement 

13 described in subparagraph (A). 

14 (6) Other requirements that are standard in15 dustry practice or commonly included in Federal 

16 permits that are similar to a permit issued under 

17 subsection (a). 

18 (d) MODIFICATION.—The permit issued under sub19 section (a) shall require— 

20 (1) the reconsideration of routing of the Key21 stone XL pipeline within the State of Nebraska; 

22 (2) a review period during which routing within 

23 the State of Nebraska may be reconsidered and the 

24 route of the Keystone XL pipeline through the State 


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1 altered with any accompanying modification to the 

2 Plan described in subsection (c)(5)(A); and 

3 (3) the President— 

4 (A) to coordinate review with the State of 

5 Nebraska and provide any necessary data and 

6 reasonable technical assistance material to the 

7 review process required under this subsection; 

8 and 

9 (B) to approve the route within the State 

10 of Nebraska that has been submitted to the 

11 Secretary of State by the Governor of Ne12 braska. 

13 (e) EFFECT OF NO APPROVAL.—If the President 

14 does not approve the route within the State of Nebraska 

15 submitted by the Governor of Nebraska under subsection 

16 (d)(3)(B) not later than 10 days after the date of submis17 sion, the route submitted by the Governor of Nebraska 

18 under subsection (d)(3)(B) shall be considered approved, 

19 pursuant to the terms of the permit described in sub20 section (a) that meets the requirements of subsection (c) 

21 and this subsection, by operation of law. 


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Calendar No. 245 

112TH CONGRESS 

1ST SESSION S. 1932 

A BILL 

To require the Secretary of State to act on a 

permit for the Keystone XL pipeline. 

DECEMBER 1, 2011 

Read the second time and placed on the calendar 


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