II 

Calendar No. 552 

117TH CONGRESS 

2D SESSION S. 2996 

[Report No. 117–201] 

To provide for the distribution of certain outer Continental Shelf revenues 

to the State of Alaska, and for other purposes. 

IN THE SENATE OF THE UNITED STATES 

OCTOBER 19, 2021 

Ms. MURKOWSKI (for herself and Mr. SULLIVAN) introduced the following bill; 

which was read twice and referred to the Committee on Energy and Natural Resources 

NOVEMBER 17, 2022 

Reported by Mr. MANCHIN, with amendments 

[Omit the part struck through and insert the part printed in italic] 

A BILL 

To provide for the distribution of certain outer Continental 

Shelf revenues to the State of Alaska, and for other 

purposes. 

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

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Alaska Offshore Parity 

5 Act’’. 


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1 SEC. 2. DEFINITIONS. 

2 In this Act: 

3 (1) COASTAL POLITICAL SUBDIVISION.—The 

4 term ‘‘coastal political subdivision’’ means— 

5 (A) a county-equivalent subdivision of the 

6 State— 

7 (i) all or part of which lies within the 

8 coastal zone (as defined in section 304 of 

9 the Coastal Zone Management Act of 1972 

10 (16 U.S.C. 1453)) of the State; and 

11 (ii) the closest coastal point of which 

12 is not more than 200 nautical miles from 

13 the geographical center of any leased tract 

14 in the Alaska outer Continental Shelf re15 gion; and 

16 (B) a municipal subdivision of the State 

17 that is determined by the State to be a signifi18 cant staging area for oil and gas servicing, sup19 ply vessels, operations, suppliers, or workers. 

20 (2) INSTITUTION OF HIGHER EDUCATION.—The 

21 term ‘‘institution of higher education’’ has the 

22 meaning given the term in section 102 of the Higher 

23 Education Act of 1965 (20 U.S.C. 1002). 

24 (3) QUALIFIED REVENUES.— 

25 (A) IN GENERAL.—The term ‘‘qualified 

26 revenues’’ means all revenues derived from all 


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1 rentals, royalties, bonus bids, and other sums 

2 due and payable to the United States from en3 ergy development in the Alaska outer Conti4 nental Shelf region. 

5 (B) EXCLUSIONS.—The term ‘‘qualified 

6 revenues’’ does not include— 

7 (i) revenues generated from leases 

8 subject to section 8(g) of the Outer Conti9 nental Shelf Lands Act (43 U.S.C. 

10 1337(g)); or 

11 (ii) revenues from the forfeiture of a 

12 bond or other surety securing obligations 

13 other than royalties, civil penalties, or roy14 alties taken by the Secretary in-kind and 

15 not sold. 

16 (4) SECRETARY.—The term ‘‘Secretary’’ means 

17 the Secretary of the Interior. 

18 (5) STATE.—The term ‘‘State’’ means the State 

19 of Alaska. 

20 SEC. 3. DISPOSITION OF QUALIFIED REVENUES IN ALASKA. 

21 (a) IN GENERAL.—Notwithstanding section 9 of the 

22 Outer Continental Shelf Lands Act (43 U.S.C. 1338) and 

23 subject to the other provisions of this section, for fiscal 

24 year 2022 and each fiscal year thereafter, the Secretary 

25 of the Treasury shall deposit— 


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1 (1) 50 percent of qualified revenues in the gen2 eral fund of the Treasury; 

3 (2) 42.5 percent of qualified revenues in a spe4 cial account in the Treasury, to be distributed by the 

5 Secretary to the State; and 

6 (3) 7.5 percent of qualified revenues in a spe7 cial account in the Treasury, to be distributed by the 

8 Secretary to coastal political subdivisions. 

9 (2) 30 percent of qualified revenues in a special 

10 account in the Treasury, to be distributed by the Sec11 retary to the State; 

12 (3) 7.5 percent of qualified revenues in a special 

13 account in the Treasury, to be distributed by the Sec14 retary to coastal political subdivisions; and 

15 (4) 12.5 percent of qualified revenues in the Na16 tional Oceans and Coastal Security Fund established 

17 under section 904(a) of the National Oceans and 

18 Coastal Security Act (16 U.S.C. 7503(a)). 

19 (b) ALLOCATION AMONG COASTAL POLITICAL SUB20 DIVISIONS.—Of the amount paid by the Secretary to 

21 coastal political subdivisions under subsection (a)(3)— 

22 (1) 90 percent shall be allocated among costal 

23 political subdivisions described in section 2(1)(A) in 

24 amounts (based on a formula established by the Sec25 retary by regulation) that are inversely proportional 


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1 to the respective distances between the point in each 

2 coastal political subdivision that is closest to the geo3 graphic center of the applicable leased tract and not 

4 more than 200 miles from the geographic center of 

5 the leased tract; and 

6 (2) 10 percent shall be divided equally among 

7 each coastal political subdivision described in section 

8 2(1)(B). 

9 (c) TIMING.—The amounts required to be deposited 

10 under subsection (a) for the applicable fiscal year shall 

11 be made available in accordance with that subsection dur12 ing the fiscal year immediately following the applicable fis13 cal year. 

14 (d) AUTHORIZED USES.— 

15 (1) IN GENERAL.—Subject to paragraph (2), 

16 the State shall use all amounts received under sub17 section (a)(2) in accordance with all applicable Fed18 eral and State laws, for 1 or more of the following 

19 purposes: 

20 (A) Projects and activities for the purposes 

21 of coastal protection, conservation, and restora22 tion, including onshore infrastructure and relo23 cation of communities directly affected by 

24 coastal erosion, melting permafrost, or climate 

25 change-related losses. 


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1 (B) Mitigation of damage to fish, wildlife, 

2 or natural resources. 

3 (C) Mitigation of the impact of outer Con4 tinental Shelf activities through the funding of 

5 onshore infrastructure projects and related 

6 rights-of-way. 

7 (D) Adaptation planning, vulnerability as8 sessments, and emergency preparedness assist9 ance to build healthy and resilient communities. 

10 (E) Installation and operation of energy 

11 systems to reduce energy costs and greenhouse 

12 gas emissions compared to systems in use as of 

13 the date of enactment of this Act. 

14 (F) Programs at institutions of higher edu15 cation in the State. 

16 (G) Other purposes, as determined by the 

17 Governor of the State, with approval from the 

18 State legislature. 

19 (H) Planning assistance and the adminis20 trative costs of complying with this section. 

21 (2) LIMITATION.—Not more than 3 percent of 

22 amounts received by the State under subsection 

23 (a)(2) may be used for the purposes described in 

24 paragraph (1)(H). 


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1 (e) ADMINISTRATION.—Amounts made available 

2 under paragraphs (2) and (3) of subsection (a) shall— 

3 (1) be made available, without further appro4 priation, in accordance with this section; 

5 (2) remain available until expended; and 

6 (3) be in addition to any amounts appropriated 

7 under any other provision of law. 

8 (f) REPORTING REQUIREMENT FOR FISCAL YEAR 2023 

9 AND THEREAFTER.— 

10 (1) IN GENERAL.—Beginning with fiscal year 

11 2023, not later than 180 days after the end of each 

12 fiscal year in which the State receives amounts under 

13 subsection (a)(2), the State shall submit to the Sec14 retary a report that describes the use of the amounts 

15 by the State during the preceding fiscal year covered 

16 by the report. 

17 (2) PUBLIC AVAILABILITY.—On receipt of a re18 port required under paragraph (1), the Secretary 

19 shall make the report available to the public on the 

20 website of the Department of the Interior. 

21 (3) LIMITATION.—If the State fails to submit the 

22 report required under paragraph (1) by the deadline 

23 specified in that paragraph, any amounts that would 

24 otherwise be provided to the State under subsection 

25 (a)(2) for the succeeding fiscal year shall be withheld 


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1 for the succeeding fiscal year until the date on which 

2 the report is submitted. 

3 (4) CONTENTS OF REPORT.—Each report re4 quired under paragraph (1) shall include, for each 

5 project funded in whole or in part using amounts re6 ceived under subsection (a)(2)— 

7 (A) the name and description of the project; 

8 (B) the amount received under subsection 

9 (a)(2) that is allocated to the project; and 

10 (C) a description of how each project is con11 sistent with the authorized uses under subsection 

12 (d). 

13 (5) CLARIFICATION.—Nothing in this sub14 section— 

15 (A) requires or provides authority for the 

16 Secretary to delay, modify, or withhold payment 

17 under this subsection, other than for failure to 

18 submit a report as required under this sub19 section; 

20 (B) requires or provides authority for the 

21 Secretary to review or approve uses of funds re22 ported under this subsection; 

23 (C) requires or provides authority for the 

24 Secretary to approve individual projects that re25 ceive funds reported under this subsection; 


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1 (D) requires the State to obtain the ap2 proval of, or review by, the Secretary prior to 

3 spending funds disbursed under subsection 

4 (a)(2); 

5 (E) requires or provides authority for the 

6 Secretary to issue guidance relating to the con7 tents of, or to determine the completeness of, the 

8 report required under this subsection; 

9 (F) requires the State to obligate or expend 

10 funds disbursed under subsection (a)(2) by a cer11 tain date; or 

12 (G) requires or provides authority for the 

13 Secretary to request the State to return unobli14 gated funds. 


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Calendar No. 552 

117TH CONGRESS 

2D SESSION S. 2996 

[Report No. 117–201] 

A BILL 

To provide for the distribution of certain outer 

ka, and for other purposes. Continental Shelf revenues to the State of AlasNOVEMBER 17, 2022 

Reported with amendments 


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