I 

112TH CONGRESS 

1ST SESSION H. R. 1023 

To secure unrestricted reliable energy for American consumption and 

transmission. 

IN THE HOUSE OF REPRESENTATIVES 

MARCH 10, 2011 

Mr. THORNBERRY introduced the following bill; which was referred to the 

Committee on Natural Resources, and in addition to the Committees on 

Ways and Means and Energy and Commerce, for a period to be subsequently determined by the Speaker, in each case for consideration of such 

provisions as fall within the jurisdiction of the committee concerned 

A BILL 

To secure unrestricted reliable energy for American 

consumption and transmission. 

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; TABLE OF CONTENTS. 

4 (a) SHORT TITLE.—This Act may be cited as the 

5 ‘‘No More Excuses Energy Act of 2011’’. 

6 (b) TABLE OF CONTENTS.—The table of contents of 

7 this Act is as follows: 

Sec. 1. Short title; table of contents. 

TITLE I—REFINERIES 


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Sec. 102. Tax-exempt financing of domestic use oil refinery facilities. 

Sec. 103. Designation and availability of Federal lands for oil and natural gas 

refineries. 

TITLE II—ALTERNATIVE ENERGY 

Sec. 201. Extension of credit for electricity produced from certain renewable resources. 

Sec. 202. Equalization of excise tax on liquefied natural gas and per energy 

equivalent of diesel. 

Sec. 203. Extension of alternative fuel credit. 

TITLE III—NUCLEAR ENERGY 

Sec. 301. Waste Confidence. 

Sec. 302. ASME Nuclear Certification credit. 

TITLE IV—DRILLING 

Subtitle A—Tax Provisions 

Sec. 401. Credit for producing fuel from nonconventional sources to apply to 

gas produced onshore from formations more than 15,000 feet 

deep. 

Sec. 402. Repeal of minimum capture requirement for carbon dioxide sequestration credit. 

Subtitle B—Oil and Gas Development on the Coastal Plain of Alaska 

Sec. 411. Short title. 

Sec. 412. Definitions. 

Sec. 413. Leasing program for lands within the Coastal Plain. 

Sec. 414. Lease sales. 

Sec. 415. Grant of leases by the Secretary. 

Sec. 416. Lease terms and conditions. 

Sec. 417. Coastal plain environmental protection. 

Sec. 418. Expedited judicial review. 

Sec. 419. Federal and State distribution of revenues. 

Sec. 420. Rights-of-way across the Coastal Plain. 

Sec. 421. Conveyance. 

Sec. 422. Local government impact aid and community service assistance. 

Subtitle C—Offshore Oil and Gas Development 

Sec. 431. Repeal of moratorium on oil and gas leasing in the Gulf of Mexico. 

Sec. 432. Inclusion of areas in 2007–2012 outer Continental Shelf oil and gas 

leasing program. 

TITLE V—GREENHOUSE GAS REGULATION 

Sec. 501. Greenhouse gas regulation under Clean Air Act. 


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1 TITLE I—REFINERIES 

2 SEC. 102. TAX-EXEMPT FINANCING OF DOMESTIC USE OIL 

3 REFINERY FACILITIES. 

4 (a) IN GENERAL.— 

5 (1) TREATMENT AS EXEMPT FACILITY BOND.— 

6 Subsection (a) of section 142 of the Internal Rev7 enue Code of 1986 (relating to exempt facility bond) 

8 is amended by striking ‘‘or’’ at the end of paragraph 

9 (14), by striking the period at the end of paragraph 

10 (15) and inserting ‘‘, and’’, and by inserting at the 

11 end the following new paragraph: 

12 ‘‘(16) domestic use oil refinery facilities.’’. 

13 (2) DOMESTIC USE OIL REFINERY FACILI14 TIES.—Section 142 is amended by adding at the end 

15 the following new subsection: 

16 ‘‘(n) DOMESTIC USE OIL REFINERY FACILITIES.— 

17 ‘‘(1) IN GENERAL.—For purposes of subsection 

18 (a)(16), the term ‘domestic use oil refinery facility’ 

19 means any facility in the United States— 

20 ‘‘(A) which processes liquid fuel from 

21 crude oil, and 

22 ‘‘(B) all of the output of which it is rea23 sonably certain ultimate consumption will occur 

24 in the United States. 


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1 ‘‘(2) ELECTION TO TERMINATE TAX-EXEMPT

2 BOND FINANCING BY CERTAIN REFINERIES.—In the 

3 case of a facility financed with bonds which would 

4 cease to be tax-exempt by reason of the failure to 

5 meet the domestic use requirement of this sub6 section, rules similar to the rules of subsection (f)(4) 

7 shall apply for purposes of this section.’’. 

8 (b) EFFECTIVE DATE.—The amendments made by 

9 this section shall apply to bonds issued after the date of 

10 the enactment of this Act. 

11 SEC. 103. DESIGNATION AND AVAILABILITY OF FEDERAL 

12 LANDS FOR OIL AND NATURAL GAS REFIN13 ERIES. 

14 (a) DESIGNATION.—Within 18 months after the date 

15 of enactment of this Act, the President shall designate at 

16 least 10 sites on Federal lands that are suitable for the 

17 siting of an oil refinery or natural gas refinery (or both). 

18 (b) AVAILABILITY OF LANDS.—Within 24 months 

19 after the date of enactment of this Act, the President shall 

20 make each site designated under subsection (a) available 

21 to the private sector for construction of an oil refinery or 

22 natural gas refinery (or both), as appropriate. 


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1 TITLE II—ALTERNATIVE 

2 ENERGY 

3 SEC. 201. EXTENSION OF CREDIT FOR ELECTRICITY PRO4 DUCED FROM CERTAIN RENEWABLE RE5 SOURCES. 

6 (a) IN GENERAL.—Paragraph (1) of section 45(d) of 

7 the Internal Revenue Code of 1986 is amended by striking 

8 ‘‘January 1, 2013’’ in paragraph (1) and inserting ‘‘Janu9 ary 1, 2023’’. 

10 (b) EFFECTIVE DATE.—The amendments made by 

11 this section shall apply to property originally placed in 

12 service on or after January 1, 2013. 

13 SEC. 202. EQUALIZATION OF EXCISE TAX ON LIQUEFIED 

14 NATURAL GAS AND PER ENERGY EQUIVA15 LENT OF DIESEL. 

16 (a) IN GENERAL.—Subparagraph (B) of section 

17 4041(a)(2) of the Internal Revenue Code of 1986 is 

18 amended by striking the period at the end of clause (ii) 

19 and inserting ‘‘, and’’, and by inserting after clause (ii) 

20 the following new clause: 

21 ‘‘(iii) in the case of liquefied natural 

22 gas, 24.3 cents per energy equivalent of a 

23 gallon of diesel.’’. 

24 (b) ENERGY EQUIVALENT OF A GALLON OF DIESEL

25 AND ADMINISTRATIVE PROVISION.—Paragraph (2) of secVerDate Mar 15 2010 23:10 Mar 11, 2011 Jkt 099200 PO 00000 Frm 00005 Fmt 6652 Sfmt 6201 E:\BILLS\H1023.IH H1023

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1 tion 4041(a) of such Code is amended by adding at the 

2 end the following: 

3 ‘‘(C) ENERGY EQUIVALENT OF A GALLON

4 OF DIESEL.—For purposes of this paragraph, 

5 the term ‘energy equivalent of a gallon of diesel’ 

6 means, with respect to a liquefied natural gas 

7 fuel, the amount of such fuel having a Btu con8 tent of 137,380 (higher heating value). 

9 ‘‘(D) ADMINISTRATIVE PROVISIONS.—For 

10 purposes of applying this title with respect to 

11 the taxes imposed by this subsection, references 

12 to any liquid subject to tax under this sub13 section shall be treated as including references 

14 to liquefied natural gas subject to tax under 

15 this paragraph.’’. 

16 (c) CONFORMING AMENDMENTS.—Section 

17 4041(a)(2)(B)(ii) of such Code is amended— 

18 (1) by striking ‘‘liquefied natural gas,’’, and 

19 (2) by striking ‘‘peat), and’’ and inserting 

20 ‘‘peat) and’’. 

21 (d) EFFECTIVE DATE.—The amendments made by 

22 this section shall apply to any sale or use of liquefied nat23 ural gas after 14 days after the date of the enactment 

24 of this Act. 


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1 SEC. 203. EXTENSION OF ALTERNATIVE FUEL CREDIT. 

2 (a) IN GENERAL.—Paragraph (5) of section 6426(d) 

3 of the Internal Revenue Code of 1986 (relating to alter4 native fuel credit) is amended by striking ‘‘December 31, 

5 2011’’ and inserting ‘‘December 31, 2012’’. 

6 (b) EFFECTIVE DATE.—The amendments made by 

7 this section shall apply to fuel sold or used after December 

8 31, 2011. 

9 TITLE III—NUCLEAR ENERGY 

10 SEC. 301. WASTE CONFIDENCE. 

11 The Nuclear Regulatory Commission may not deny 

12 an application for a license, permit, or other authorization 

13 under the Atomic Energy Act of 1954 on the grounds that 

14 sufficient capacity does not exist, or will not become avail15 able on a timely basis, for disposal of spent nuclear fuel 

16 or high-level radioactive waste from the facility for which 

17 the license, permit, or other authorization is sought. 

18 SEC. 302. ASME NUCLEAR CERTIFICATION CREDIT. 

19 (a) IN GENERAL.—Subpart D of part IV of sub20 chapter A of chapter 1 (relating to business related cred21 its) is amended by adding at the end the following new 

22 section: 

23 ‘‘SEC. 45S. ASME NUCLEAR CERTIFICATION CREDIT. 

24 ‘‘(a) IN GENERAL.—For purposes of section 38, the 

25 ASME Nuclear Certification credit determined under this 

26 section for any taxable year is an amount equal to 15 perVerDate Mar 15 2010 23:10 Mar 11, 2011 Jkt 099200 PO 00000 Frm 00007 Fmt 6652 Sfmt 6201 E:\BILLS\H1023.IH H1023

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1 cent of the qualified nuclear expenditures paid or incurred 

2 by the taxpayer. 

3 ‘‘(b) QUALIFIED NUCLEAR EXPENDITURES.—For 

4 purposes of this section, the term ‘qualified nuclear ex5 penditures’ means any expenditure related to— 

6 ‘‘(1) obtaining a certification under the Amer7 ican Society of Mechanical Engineers Nuclear Com8 ponent Certification program, or 

9 ‘‘(2) increasing the taxpayer’s capacity to con10 struct, fabricate, assemble, or install components— 

11 ‘‘(A) for any facility which uses nuclear en12 ergy to produce electricity, and 

13 ‘‘(B) with respect to the construction, fab14 rication, assembly, or installation of which the 

15 taxpayer is certified under such program. 

16 ‘‘(c) TIMING OF CREDIT.—The credit allowed under 

17 subsection (a) for any expenditures shall be allowed— 

18 ‘‘(1) in the case of a qualified nuclear expendi19 ture described in subsection (b)(1), for the taxable 

20 year of such certification, and 

21 ‘‘(2) in the case of any other qualified nuclear 

22 expenditure, for the taxable year in which such ex23 penditure is paid or incurred. 

24 ‘‘(d) SPECIAL RULES.— 


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1 ‘‘(1) BASIS ADJUSTMENT.—For purposes of 

2 this subtitle, if a credit is allowed under this section 

3 for an expenditure, the increase in basis which would 

4 result (but for this subsection) for such expenditure 

5 shall be reduced by the amount of the credit allowed 

6 under this section. 

7 ‘‘(2) DENIAL OF DOUBLE BENEFIT.—No deduc8 tion shall be allowed under this chapter for any 

9 amount taken into account in determining the credit 

10 under this section. 

11 ‘‘(e) TERMINATION.—This section shall not apply to 

12 any expenditures paid or incurred in taxable years begin13 ning after December 31, 2019.’’. 

14 (b) CONFORMING AMENDMENTS.—(1) Subsection (b) 

15 of section 38 is amended by striking ‘‘plus’’ at the end 

16 of paragraph (35), by striking the period at the end of 

17 paragraph (36) and inserting ‘‘, plus’’, and by adding at 

18 the end the following new paragraph: 

19 ‘‘(37) the ASME Nuclear Certification credit 

20 determined under section 45S(a).’’. 

21 (2) Subsection (a) of section 1016 (relating to adjust22 ments to basis) is amended by striking ‘‘and’’ at the end 

23 of paragraph (36), by striking the period at the end of 

24 paragraph (37) and inserting ‘‘, and’’, and by adding at 

25 the end the following new paragraph: 


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1 ‘‘(38) to the extent provided in section 

2 45S(e)(1).’’. 

3 (c) EFFECTIVE DATE.—The amendments made by 

4 this section shall apply to expenditures paid or incurred 

5 in taxable years beginning after December 31, 2010. 

6 TITLE IV—DRILLING 

7 Subtitle A—Tax Provisions 

8 SEC. 401. CREDIT FOR PRODUCING FUEL FROM NON9 CONVENTIONAL SOURCES TO APPLY TO GAS 

10 PRODUCED ONSHORE FROM FORMATIONS 

11 MORE THAN 15,000 FEET DEEP. 

12 (a) IN GENERAL.—Subparagraph (B) of section 

13 45K(c)(1) is amended by striking ‘‘or’’ at the end of clause 

14 (i), by striking ‘‘and’’ at the end of clause (ii) and insert15 ing ‘‘or’’, and by inserting after clause (ii) the following 

16 new clause: 

17 ‘‘(iii) an onshore well from a forma18 tion more than 15,000 feet deep, and’’. 

19 (b) ELIGIBLE DEEP GAS WELLS.—Section 45K is 

20 amended by adding at the end the following new sub21 section: 

22 ‘‘(h) ELIGIBLE DEEP GAS WELLS.—In the case of 

23 a well producing qualified fuel described in subsection 

24 (c)(1)(B)(iii)— 


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1 ‘‘(1) for purposes of subsection (e)(1)(A), such 

2 well shall be treated as drilled before January 1, 

3 1993, if such well is drilled after the date of the en4 actment of this subsection, and 

5 ‘‘(2) subsection (e)(2) shall not apply.’’. 

6 (c) EFFECTIVE DATE.—The amendments made by 

7 this section shall apply to taxable years ending after the 

8 date of the enactment of this Act. 

9 SEC. 402. REPEAL OF MINIMUM CAPTURE REQUIREMENT 

10 FOR CARBON DIOXIDE SEQUESTRATION 

11 CREDIT. 

12 (a) IN GENERAL.—Subsection (c) of section 45Q of 

13 the Internal Revenue Code of 1986 is amended by insert14 ing ‘‘and’’ at the end of paragraph (1), by striking ‘‘, and’’ 

15 at the end of paragraph (2) and inserting a period, and 

16 by striking paragraph (3). 

17 (b) EFFECTIVE DATE.—The amendments made by 

18 this section shall apply to carbon dioxide captured after 

19 the date of the enactment of this Act. 

20 Subtitle B—Oil and Gas Develop21 ment on the Coastal Plain of 

22 Alaska 

23 SEC. 411. SHORT TITLE. 

24 This subtitle may be cited as the ‘‘American-Made 

25 Energy and Good Jobs Act’’. 


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1 SEC. 412. DEFINITIONS. 

2 In this subtitle: 

3 (1) COASTAL PLAIN.—The term ‘‘Coastal 

4 Plain’’ means that area described in appendix I to 

5 part 37 of title 50, Code of Federal Regulations. 

6 (2) SECRETARY.—The term ‘‘Secretary’’, except 

7 as otherwise provided, means the Secretary of the 

8 Interior or the Secretary’s designee. 

9 SEC. 413. LEASING PROGRAM FOR LANDS WITHIN THE 

10 COASTAL PLAIN. 

11 (a) IN GENERAL.—The Secretary shall take such ac12 tions as are necessary— 

13 (1) to establish and implement, in accordance 

14 with this subtitle and acting through the Director of 

15 the Bureau of Land Management in consultation 

16 with the Director of the United States Fish and 

17 Wildlife Service, a competitive oil and gas leasing 

18 program that will result in an environmentally sound 

19 program for the exploration, development, and pro20 duction of the oil and gas resources of the Coastal 

21 Plain; and 

22 (2) to administer the provisions of this subtitle 

23 through regulations, lease terms, conditions, restric24 tions, prohibitions, stipulations, and other provisions 

25 that ensure the oil and gas exploration, development, 

26 and production activities on the Coastal Plain will 


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1 result in no significant adverse effect on fish and 

2 wildlife, their habitat, subsistence resources, and the 

3 environment, including, in furtherance of this goal, 

4 by requiring the application of the best commercially 

5 available technology for oil and gas exploration, de6 velopment, and production to all exploration, devel7 opment, and production operations under this sub8 title in a manner that ensures the receipt of fair 

9 market value by the public for the mineral resources 

10 to be leased. 

11 (b) REPEAL.— 

12 (1) REPEAL.—Section 1003 of the Alaska Na13 tional Interest Lands Conservation Act of 1980 (16 

14 U.S.C. 3143) is repealed. 

15 (2) CONFORMING AMENDMENT.—The table of 

16 contents in section 1 of such Act is amended by 

17 striking the item relating to section 1003. 

18 (c) COMPLIANCE WITH REQUIREMENTS UNDER CER19 TAIN OTHER LAWS.— 

20 (1) COMPATIBILITY.—For purposes of the Na21 tional Wildlife Refuge System Administration Act of 

22 1966 (16 U.S.C. 668dd et seq.), the oil and gas 

23 leasing program and activities authorized by this 

24 section in the Coastal Plain are deemed to be com25 patible with the purposes for which the Arctic NaVerDate Mar 15 2010 23:10 Mar 11, 2011 Jkt 099200 PO 00000 Frm 00013 Fmt 6652 Sfmt 6201 E:\BILLS\H1023.IH H1023

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1 tional Wildlife Refuge was established, and no fur2 ther findings or decisions are required to implement 

3 this determination. 

4 (2) ADEQUACY OF THE DEPARTMENT OF THE

5 INTERIOR’S LEGISLATIVE ENVIRONMENTAL IMPACT

6 STATEMENT.—The ‘‘Final Legislative Environ7 mental Impact Statement’’ (April 1987) on the 

8 Coastal Plain prepared pursuant to section 1002 of 

9 the Alaska National Interest Lands Conservation 

10 Act of 1980 (16 U.S.C. 3142) and section 102(2)(C) 

11 of the National Environmental Policy Act of 1969 

12 (42 U.S.C. 4332(2)(C)) is deemed to satisfy the re13 quirements under the National Environmental Policy 

14 Act of 1969 that apply with respect to prelease ac15 tivities, including actions authorized to be taken by 

16 the Secretary to develop and promulgate the regula17 tions for the establishment of a leasing program au18 thorized by this subtitle before the conduct of the 

19 first lease sale. 

20 (3) COMPLIANCE WITH NEPA FOR OTHER AC21 TIONS.—Before conducting the first lease sale under 

22 this subtitle, the Secretary shall prepare an environ23 mental impact statement under the National Envi24 ronmental Policy Act of 1969 with respect to the ac25 tions authorized by this Act that are not referred to 


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1 in paragraph (2). Notwithstanding any other law, 

2 the Secretary is not required to identify nonleasing 

3 alternative courses of action or to analyze the envi4 ronmental effects of such courses of action. The Sec5 retary shall only identify a preferred action for such 

6 leasing and a single leasing alternative, and analyze 

7 the environmental effects and potential mitigation 

8 measures for those two alternatives. The identifica9 tion of the preferred action and related analysis for 

10 the first lease sale under this subtitle shall be com11 pleted within 18 months after the date of enactment 

12 of this Act. The Secretary shall only consider public 

13 comments that specifically address the Secretary’s 

14 preferred action and that are filed within 20 days 

15 after publication of an environmental analysis. Not16 withstanding any other law, compliance with this 

17 paragraph is deemed to satisfy all requirements for 

18 the analysis and consideration of the environmental 

19 effects of proposed leasing under this subtitle. 

20 (d) RELATIONSHIP TO STATE AND LOCAL AUTHOR21 ITY.—Nothing in this subtitle shall be considered to ex22 pand or limit State and local regulatory authority. 

23 (e) SPECIAL AREAS.— 

24 (1) IN GENERAL.—The Secretary, after con25 sultation with the State of Alaska, the city of 


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1 Kaktovik, and the North Slope Borough, may des2 ignate up to a total of 45,000 acres of the Coastal 

3 Plain as a Special Area if the Secretary determines 

4 that the Special Area is of such unique character 

5 and interest so as to require special management 

6 and regulatory protection. The Secretary shall des7 ignate as such a Special Area the Sadlerochit Spring 

8 area, comprising approximately 4,000 acres. 

9 (2) MANAGEMENT.—Each such Special Area 

10 shall be managed so as to protect and preserve the 

11 area’s unique and diverse character including its 

12 fish, wildlife, and subsistence resource values. 

13 (3) EXCLUSION FROM LEASING OR SURFACE

14 OCCUPANCY.—The Secretary may exclude any Spe15 cial Area from leasing. If the Secretary leases a Spe16 cial Area, or any part thereof, for purposes of oil 

17 and gas exploration, development, production, and 

18 related activities, there shall be no surface occu19 pancy of the lands comprising the Special Area. 

20 (4) DIRECTIONAL DRILLING.—Notwithstanding 

21 the other provisions of this subsection, the Secretary 

22 may lease all or a portion of a Special Area under 

23 terms that permit the use of horizontal drilling tech24 nology from sites on leases located outside the Spe25 cial Area. 


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1 (f) LIMITATION ON CLOSED AREAS.—The Sec2 retary’s sole authority to close lands within the Coastal 

3 Plain to oil and gas leasing and to exploration, develop4 ment, and production is that set forth in this subtitle. 

5 (g) REGULATIONS.— 

6 (1) IN GENERAL.—The Secretary shall pre7 scribe such regulations as may be necessary to carry 

8 out this subtitle, including rules and regulations re9 lating to protection of the fish and wildlife, their 

10 habitat, subsistence resources, and environment of 

11 the Coastal Plain, by no later than 15 months after 

12 the date of enactment of this Act. 

13 (2) REVISION OF REGULATIONS.—The Sec14 retary shall periodically review and, if appropriate, 

15 revise the rules and regulations issued under sub16 section (a) to reflect any significant biological, envi17 ronmental, or engineering data that come to the Sec18 retary’s attention. 

19 SEC. 414. LEASE SALES. 

20 (a) IN GENERAL.—Lands may be leased pursuant to 

21 this subtitle to any person qualified to obtain a lease for 

22 deposits of oil and gas under the Mineral Leasing Act (30 

23 U.S.C. 181 et seq.). 

24 (b) PROCEDURES.—The Secretary shall, by regula25 tion, establish procedures for— 


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1 (1) receipt and consideration of sealed nomina2 tions for any area in the Coastal Plain for inclusion 

3 in, or exclusion (as provided in subsection (c)) from, 

4 a lease sale; 

5 (2) the holding of lease sales after such nomina6 tion process; and 

7 (3) public notice of and comment on designa8 tion of areas to be included in, or excluded from, a 

9 lease sale. 

10 (c) LEASE SALE BIDS.—Bidding for leases under 

11 this subtitle shall be by sealed competitive cash bonus bids. 

12 (d) ACREAGE MINIMUM IN FIRST SALE.—In the first 

13 lease sale under this subtitle, the Secretary shall offer for 

14 lease those tracts the Secretary considers to have the 

15 greatest potential for the discovery of hydrocarbons, tak16 ing into consideration nominations received pursuant to 

17 subsection (b)(1), but in no case less than 200,000 acres. 

18 (e) TIMING OF LEASE SALES.—The Secretary 

19 shall— 

20 (1) conduct the first lease sale under this sub21 title within 22 months after the date of the enact22 ment of this Act; and 

23 (2) conduct additional sales so long as sufficient 

24 interest in development exists to warrant, in the Sec25 retary’s judgment, the conduct of such sales. 


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1 SEC. 415. GRANT OF LEASES BY THE SECRETARY. 

2 (a) IN GENERAL.—The Secretary may grant to the 

3 highest responsible qualified bidder in a lease sale con4 ducted pursuant to section 414 any lands to be leased on 

5 the Coastal Plain upon payment by the lessee of such 

6 bonus as may be accepted by the Secretary. 

7 (b) SUBSEQUENT TRANSFERS.—No lease issued 

8 under this subtitle may be sold, exchanged, assigned, sub9 let, or otherwise transferred except with the approval of 

10 the Secretary. Prior to any such approval the Secretary 

11 shall consult with, and give due consideration to the views 

12 of, the Attorney General. 

13 SEC. 416. LEASE TERMS AND CONDITIONS. 

14 An oil or gas lease issued pursuant to this subtitle 

15 shall— 

16 (1) provide for the payment of a royalty of not 

less than 121 17 ⁄2 percent in amount or value of the 

18 production removed or sold from the lease, as deter19 mined by the Secretary under the regulations appli20 cable to other Federal oil and gas leases; 

21 (2) require that the lessee of lands within the 

22 Coastal Plain shall be fully responsible and liable for 

23 the reclamation of lands within the Coastal Plain 

24 and any other Federal lands that are adversely af25 fected in connection with exploration, development, 

26 production, or transportation activities conducted 


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1 under the lease and within the Coastal Plain by the 

2 lessee or by any of the subcontractors or agents of 

3 the lessee; 

4 (3) provide that the lessee may not delegate or 

5 convey, by contract or otherwise, the reclamation re6 sponsibility and liability to another person without 

7 the express written approval of the Secretary; 

8 (4) provide that the standard of reclamation for 

9 lands required to be reclaimed under this subtitle 

10 shall be, as nearly as practicable, a condition capable 

11 of supporting the uses which the lands were capable 

12 of supporting prior to any exploration, development, 

13 or production activities, or upon application by the 

14 lessee, to a higher or better use as approved by the 

15 Secretary; 

16 (5) include requirements and restrictions to 

17 provide for reasonable protection of fish and wildlife, 

18 their habitat, subsistence resources, and the environ19 ment as determined by the Secretary; 

20 (6) prohibit the export of oil produced under 

21 the lease; and 

22 (7) contain such other provisions as the Sec23 retary determines necessary to ensure compliance 

24 with the provisions of this subtitle and the regula25 tions issued under this subtitle. 


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1 SEC. 417. COASTAL PLAIN ENVIRONMENTAL PROTECTION. 

2 (a) NO SIGNIFICANT ADVERSE EFFECT STANDARD

3 TO GOVERN AUTHORIZED COASTAL PLAIN ACTIVITIES.— 

4 The Secretary shall, consistent with the requirements of 

5 section 413, administer the provisions of this subtitle 

6 through regulations, lease terms, conditions, restrictions, 

7 prohibitions, stipulations, and other provisions that— 

8 (1) ensure the oil and gas exploration, develop9 ment, and production activities on the Coastal Plain 

10 will result in no significant adverse effect on fish 

11 and wildlife, their habitat, and the environment; 

12 (2) require the application of the best commer13 cially available technology for oil and gas explo14 ration, development, and production on all new ex15 ploration, development, and production operations; 

16 and 

17 (3) ensure that the maximum amount of sur18 face acreage covered by production and support fa19 cilities, including airstrips and any areas covered by 

20 gravel berms or piers for support of pipelines, does 

21 not exceed 2,000 acres on the Coastal Plain. 

22 (b) SITE-SPECIFIC ASSESSMENT AND MITIGATION.— 

23 The Secretary shall also require, with respect to any pro24 posed drilling and related activities, that— 

25 (1) a site-specific analysis be made of the prob26 able effects, if any, that the drilling or related activiVerDate Mar 15 2010 23:10 Mar 11, 2011 Jkt 099200 PO 00000 Frm 00021 Fmt 6652 Sfmt 6201 E:\BILLS\H1023.IH H1023

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1 ties will have on fish and wildlife, their habitat, sub2 sistence resources, and the environment; 

3 (2) a plan be implemented to avoid, minimize, 

4 and mitigate (in that order and to the extent prac5 ticable) any significant adverse effect identified 

6 under paragraph (1); and 

7 (3) the development of the plan shall occur 

8 after consultation with the agency or agencies hav9 ing jurisdiction over matters mitigated by the plan. 

10 (c) REGULATIONS TO PROTECT COASTAL PLAIN

11 FISH AND WILDLIFE RESOURCES, SUBSISTENCE USERS, 

12 AND THE ENVIRONMENT.—Before implementing the leas13 ing program authorized by this subtitle, the Secretary 

14 shall prepare and promulgate regulations, lease terms, 

15 conditions, restrictions, prohibitions, stipulations, and 

16 other measures designed to ensure that the activities un17 dertaken on the Coastal Plain under this subtitle are con18 ducted in a manner consistent with the purposes and envi19 ronmental requirements of this subtitle. 

20 (d) COMPLIANCE WITH FEDERAL AND STATE ENVI21 RONMENTAL LAWS AND OTHER REQUIREMENTS.—The 

22 proposed regulations, lease terms, conditions, restrictions, 

23 prohibitions, and stipulations for the leasing program 

24 under this subtitle shall require compliance with all appliVerDate Mar 15 2010 23:10 Mar 11, 2011 Jkt 099200 PO 00000 Frm 00022 Fmt 6652 Sfmt 6201 E:\BILLS\H1023.IH H1023

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1 cable provisions of Federal and State environmental law, 

2 and shall also require the following: 

3 (1) Standards at least as effective as the safety 

4 and environmental mitigation measures set forth in 

5 items 1 through 29 at pages 167 through 169 of the 

6 ‘‘Final Legislative Environmental Impact State7 ment’’ (April 1987) on the Coastal Plain. 

8 (2) Seasonal limitations on exploration, develop9 ment, and related activities, where necessary, to 

10 avoid significant adverse effects during periods of 

11 concentrated fish and wildlife breeding, denning, 

12 nesting, spawning, and migration. 

13 (3) Design safety and construction standards 

14 for all pipelines and any access and service roads, 

15 that— 

16 (A) minimize, to the maximum extent pos17 sible, adverse effects upon the passage of mi18 gratory species such as caribou; and 

19 (B) minimize adverse effects upon the flow 

20 of surface water by requiring the use of cul21 verts, bridges, and other structural devices. 

22 (4) Prohibitions on general public access and 

23 use on all pipeline access and service roads. 

24 (5) Stringent reclamation and rehabilitation re25 quirements, consistent with the standards set forth 


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1 in this subtitle, requiring the removal from the 

2 Coastal Plain of all oil and gas development and 

3 production facilities, structures, and equipment upon 

4 completion of oil and gas production operations, ex5 cept that the Secretary may exempt from the re6 quirements of this paragraph those facilities, struc7 tures, or equipment that the Secretary determines 

8 would assist in the management of the Arctic Na9 tional Wildlife Refuge and that are donated to the 

10 United States for that purpose. 

11 (6) Appropriate prohibitions or restrictions on 

12 access by all modes of transportation. 

13 (7) Appropriate prohibitions or restrictions on 

14 sand and gravel extraction. 

15 (8) Consolidation of facility siting. 

16 (9) Appropriate prohibitions or restrictions on 

17 use of explosives. 

18 (10) Avoidance, to the extent practicable, of 

19 springs, streams, and river system; the protection of 

20 natural surface drainage patterns, wetlands, and ri21 parian habitats; and the regulation of methods or 

22 techniques for developing or transporting adequate 

23 supplies of water for exploratory drilling. 

24 (11) Avoidance or minimization of air traffic-re25 lated disturbance to fish and wildlife. 


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1 (12) Treatment and disposal of hazardous and 

2 toxic wastes, solid wastes, reserve pit fluids, drilling 

3 muds and cuttings, and domestic wastewater, includ4 ing an annual waste management report, a haz5 ardous materials tracking system, and a prohibition 

6 on chlorinated solvents, in accordance with applica7 ble Federal and State environmental law. 

8 (13) Fuel storage and oil spill contingency plan9 ning. 

10 (14) Research, monitoring, and reporting re11 quirements. 

12 (15) Field crew environmental briefings. 

13 (16) Avoidance of significant adverse effects 

14 upon subsistence hunting, fishing, and trapping by 

15 subsistence users. 

16 (17) Compliance with applicable air and water 

17 quality standards. 

18 (18) Appropriate seasonal and safety zone des19 ignations around well sites, within which subsistence 

20 hunting and trapping shall be limited. 

21 (19) Reasonable stipulations for protection of 

22 cultural and archeological resources. 

23 (20) All other protective environmental stipula24 tions, restrictions, terms, and conditions deemed 

25 necessary by the Secretary. 


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1 (e) CONSIDERATIONS.—In preparing and promul2 gating regulations, lease terms, conditions, restrictions, 

3 prohibitions, and stipulations under this section, the Sec4 retary shall consider the following: 

5 (1) The stipulations and conditions that govern 

6 the National Petroleum Reserve-Alaska leasing pro7 gram, as set forth in the 1999 Northeast National 

8 Petroleum Reserve-Alaska Final Integrated Activity 

9 Plan/Environmental Impact Statement. 

10 (2) The environmental protection standards 

11 that governed the initial Coastal Plain seismic explo12 ration program under parts 37.31 to 37.33 of title 

13 50, Code of Federal Regulations. 

14 (3) The land use stipulations for exploratory 

15 drilling on the KIC–ASRC private lands that are set 

16 forth in appendix 2 of the August 9, 1983, agree17 ment between Arctic Slope Regional Corporation and 

18 the United States. 

19 (f) FACILITY CONSOLIDATION PLANNING.— 

20 (1) IN GENERAL.—The Secretary shall, after 

21 providing for public notice and comment, prepare 

22 and update periodically a plan to govern, guide, and 

23 direct the siting and construction of facilities for the 

24 exploration, development, production, and transpor25 tation of Coastal Plain oil and gas resources. 


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1 (2) OBJECTIVES.—The plan shall have the fol2 lowing objectives: 

3 (A) Avoiding unnecessary duplication of fa4 cilities and activities. 

5 (B) Encouraging consolidation of common 

6 facilities and activities. 

7 (C) Locating or confining facilities and ac8 tivities to areas that will minimize impact on 

9 fish and wildlife, their habitat, and the environ10 ment. 

11 (D) Utilizing existing facilities wherever 

12 practicable. 

13 (E) Enhancing compatibility between wild14 life values and development activities. 

15 (g) ACCESS TO PUBLIC LANDS.—The Secretary 

16 shall— 

17 (1) manage public lands in the Coastal Plain 

18 subject to subsections (a) and (b) of section 811 of 

19 the Alaska National Interest Lands Conservation 

20 Act (16 U.S.C. 3121); and 

21 (2) ensure that local residents shall have rea22 sonable access to public lands in the Coastal Plain 

23 for traditional uses. 

24 SEC. 418. EXPEDITED JUDICIAL REVIEW. 

25 (a) FILING OF COMPLAINT.— 


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1 (1) DEADLINE.—Subject to paragraph (2), any 

2 complaint seeking judicial review of any provision of 

3 this Act or any action of the Secretary under this 

4 subtitle shall be filed— 

5 (A) except as provided in subparagraph 

6 (B), within the 90-day period beginning on the 

7 date of the action being challenged; or 

8 (B) in the case of a complaint based solely 

9 on grounds arising after such period, within 90 

10 days after the complainant knew or reasonably 

11 should have known of the grounds for the com12 plaint. 

13 (2) VENUE.—Any complaint seeking judicial re14 view of any provision of this subtitle or any action 

15 of the Secretary under this subtitle may be filed only 

16 in the United States Court of Appeals for the Dis17 trict of Columbia. 

18 (3) LIMITATION ON SCOPE OF CERTAIN RE19 VIEW.—Judicial review of a Secretarial decision to 

20 conduct a lease sale under this subtitle, including 

21 the environmental analysis thereof, shall be limited 

22 to whether the Secretary has complied with the 

23 terms of this subtitle and shall be based upon the 

24 administrative record of that decision. The Sec25 retary’s identification of a preferred course of action 


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1 to enable leasing to proceed and the Secretary’s 

2 analysis of environmental effects under this subtitle 

3 shall be presumed to be correct unless shown other4 wise by clear and convincing evidence to the con5 trary. 

6 (b) LIMITATION ON OTHER REVIEW.—Actions of the 

7 Secretary with respect to which review could have been 

8 obtained under this section shall not be subject to judicial 

9 review in any civil or criminal proceeding for enforcement. 

10 SEC. 419. FEDERAL AND STATE DISTRIBUTION OF REVE11 NUES. 

12 (a) IN GENERAL.—Notwithstanding any other provi13 sion of law, of the amount of adjusted bonus, rental, and 

14 royalty revenues from Federal oil and gas leasing and op15 erations authorized under this subtitle— 

16 (1) 25 percent shall be paid to the State of 

17 Alaska; and 

18 (2) except as provided in section 422(d), the 

19 balance shall be deposited into the Treasury as mis20 cellaneous receipts. 

21 (b) PAYMENTS TO ALASKA.—Payments to the State 

22 of Alaska under this section shall be made semiannually. 


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1 SEC. 420. RIGHTS-OF-WAY ACROSS THE COASTAL PLAIN. 

2 (a) IN GENERAL.—The Secretary shall issue rights3 of-way and easements across the Coastal Plain for the 

4 transportation of oil and gas— 

5 (1) except as provided in paragraph (2), under 

6 section 28 of the Mineral Leasing Act (30 U.S.C. 

7 185), without regard to title XI of the Alaska Na8 tional Interest Lands Conservation Act (30 U.S.C. 

9 3161 et seq.); and 

10 (2) under title XI of the Alaska National Inter11 est Lands Conservation Act (30 U.S.C. 3161 et 

12 seq.), for access authorized by sections 1110 and 

13 1111 of that Act (16 U.S.C. 3170 and 3171). 

14 (b) TERMS AND CONDITIONS.—The Secretary shall 

15 include in any right-of-way or easement issued under sub16 section (a) such terms and conditions as may be necessary 

17 to ensure that transportation of oil and gas does not result 

18 in a significant adverse effect on the fish and wildlife, sub19 sistence resources, their habitat, and the environment of 

20 the Coastal Plain, including requirements that facilities be 

21 sited or designed so as to avoid unnecessary duplication 

22 of roads and pipelines. 

23 (c) REGULATIONS.—The Secretary shall include in 

24 regulations under section 413(g) provisions granting 

25 rights-of-way and easements described in subsection (a) 

26 of this section. 


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1 SEC. 421. CONVEYANCE. 

2 In order to maximize Federal revenues by removing 

3 clouds on title to lands and clarifying land ownership pat4 terns within the Coastal Plain, the Secretary, notwith5 standing the provisions of section 1302(h)(2) of the Alas6 ka National Interest Lands Conservation Act (16 U.S.C. 

7 3192(h)(2)), shall convey— 

8 (1) to the Kaktovik Inupiat Corporation the 

9 surface estate of the lands described in paragraph 1 

10 of Public Land Order 6959, to the extent necessary 

11 to fulfill the Corporation’s entitlement under sec12 tions 12 and 14 of the Alaska Native Claims Settle13 ment Act (43 U.S.C. 1611 and 1613) in accordance 

14 with the terms and conditions of the Agreement be15 tween the Department of the Interior, the United 

16 States Fish and Wildlife Service, the Bureau of 

17 Land Management, and the Kaktovik Inupiat Cor18 poration effective January 22, 1993; and 

19 (2) to the Arctic Slope Regional Corporation 

20 the remaining subsurface estate to which it is enti21 tled pursuant to the August 9, 1983, agreement be22 tween the Arctic Slope Regional Corporation and the 

23 United States of America. 

24 SEC. 422. LOCAL GOVERNMENT IMPACT AID AND COMMU25 NITY SERVICE ASSISTANCE. 

26 (a) FINANCIAL ASSISTANCE AUTHORIZED.— 


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1 (1) IN GENERAL.—The Secretary may use 

2 amounts available from the Coastal Plain Local Gov3 ernment Impact Aid Assistance Fund established by 

4 subsection (d) to provide timely financial assistance 

5 to entities that are eligible under paragraph (2) and 

6 that are directly impacted by the exploration for or 

7 production of oil and gas on the Coastal Plain under 

8 this subtitle. 

9 (2) ELIGIBLE ENTITIES.—The North Slope 

10 Borough, the City of Kaktovik, and any other bor11 ough, municipal subdivision, village, or other com12 munity in the State of Alaska that is directly im13 pacted by exploration for, or the production of, oil 

14 or gas on the Coastal Plain under this Act, as deter15 mined by the Secretary, shall be eligible for financial 

16 assistance under this section. 

17 (b) USE OF ASSISTANCE.—Financial assistance 

18 under this section may be used only for— 

19 (1) planning for mitigation of the potential ef20 fects of oil and gas exploration and development on 

21 environmental, social, cultural, recreational, and sub22 sistence values; 

23 (2) implementing mitigation plans and main24 taining mitigation projects; 


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1 (3) developing, carrying out, and maintaining 

2 projects and programs that provide new or expanded 

3 public facilities and services to address needs and 

4 problems associated with such effects, including fire5 fighting, police, water, waste treatment, medivac, 

6 and medical services; and 

7 (4) establishment of a coordination office, by 

8 the North Slope borough, in the City of Kaktovik, 

9 which shall— 

10 (A) coordinate with and advise developers 

11 on local conditions, impact, and history of the 

12 areas utilized for development; and 

13 (B) provide to the Committee on Resources 

14 of the House of Representatives and the Com15 mittee on Energy and Natural Resources of the 

16 Senate an annual report on the status of co17 ordination between developers and the commu18 nities affected by development. 

19 (c) APPLICATION.— 

20 (1) IN GENERAL.—Any community that is eligi21 ble for assistance under this section may submit an 

22 application for such assistance to the Secretary, in 

23 such form and under such procedures as the Sec24 retary may prescribe by regulation. 


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1 (2) NORTH SLOPE BOROUGH COMMUNITIES.—A 

2 community located in the North Slope Borough may 

3 apply for assistance under this section either directly 

4 to the Secretary or through the North Slope Bor5 ough. 

6 (3) APPLICATION ASSISTANCE.—The Secretary 

7 shall work closely with and assist the North Slope 

8 Borough and other communities eligible for assist9 ance under this section in developing and submitting 

10 applications for assistance under this section. 

11 (d) ESTABLISHMENT OF FUND.— 

12 (1) IN GENERAL.—There is established in the 

13 Treasury the Coastal Plain Local Government Im14 pact Aid Assistance Fund. 

15 (2) USE.—Amounts in the fund may be used 

16 only for providing financial assistance under this 

17 section. 

18 (3) DEPOSITS.—Subject to paragraph (4), there 

19 shall be deposited into the fund amounts received by 

20 the United States as revenues derived from rents, 

21 bonuses, and royalties from Federal leases and lease 

22 sales authorized under this subtitle. 

23 (4) LIMITATION ON DEPOSITS.—The total 

24 amount in the fund may not exceed $11,000,000. 


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1 (5) INVESTMENT OF BALANCES.—The Sec2 retary of the Treasury shall invest amounts in the 

3 fund in interest bearing government securities. 

4 (e) AUTHORIZATION OF APPROPRIATIONS.—To pro5 vide financial assistance under this section there is author6 ized to be appropriated to the Secretary from the Coastal 

7 Plain Local Government Impact Aid Assistance Fund 

8 $5,000,000 for each fiscal year. 

9 Subtitle C—Offshore Oil and Gas 

10 Development 

11 SEC. 431. REPEAL OF MORATORIUM ON OIL AND GAS LEAS12 ING IN THE GULF OF MEXICO. 

13 (a) REPEAL.—Section 104 of the Gulf of Mexico En14 ergy Security Act of 2006 (Public Law 109–432; 43 

15 U.S.C. 1331 note) is amended by striking ‘‘June 30, 

16 2022’’ and inserting ‘‘January 1, 2011’’. 

17 (b) INCLUSION OF OPENED AREAS IN 2007–2012 

18 OUTER CONTINENTAL SHELF OIL AND GAS LEASING

19 PROGRAM.—Within 90 days after the date of enactment 

20 of this Act, the Secretary of the Interior shall include the 

21 area removed from moratorium by subsection (a) in the 

22 areas available for leasing under the 2007–2012 outer 

23 Continental Shelf oil and gas leasing program prepared 

24 under section 18 of the Outer Continental Shelf Lands 

25 Act (43 U.S.C. 1344). 


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1 SEC. 432. INCLUSION OF AREAS IN 2007–2012 OUTER CONTI2 NENTAL SHELF OIL AND GAS LEASING PRO3 GRAM. 

4 (a) IN GENERAL.—Within 90 days after the date of 

5 enactment of this Act, the Secretary of the Interior shall 

6 include the areas described in subsection (b) in the areas 

7 available for leasing under the 2007–2012 outer Conti8 nental Shelf oil and gas leasing program prepared under 

9 section 18 of the Outer Continental Shelf Lands Act (43 

10 U.S.C. 1344). 

11 (b) AREAS DESCRIBED.—The areas referred to in 

12 subsection (a) are all areas of the outer Continental Shelf 

13 (as that term is devined in that Act) in the Arctic Ocean, 

14 Atlantic Ocean, Pacific Ocean, and Eastern Gulf of Mex15 ico. 

16 TITLE V—GREENHOUSE GAS 

17 REGULATION 

18 SEC. 501. GREENHOUSE GAS REGULATION UNDER CLEAN 

19 AIR ACT. 

20 (a) DEFINITION OF AIR POLLUTANT.—Section 

21 302(g) of the Clean Air Act (42 U.S.C. 7602(g)) is 

22 amended by adding the following at the end thereof: ‘‘The 

23 term ‘air pollutant’ shall not include carbon dioxide, water 

24 vapor, methane, nitrous oxide, hydrofluorocarbons, 

25 perfluorocarbons, or sulfur hexafluoride.’’. 


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1 (b) CLIMATE CHANGE NOT REGULATED BY CLEAN

2 AIR ACT.—Nothing in the Clean Air Act (42 U.S.C. 7401 

3 et seq.) shall be treated as authorizing or requiring the 

4 regulation of climate change or global warming. 

Æ 


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