I 

109TH CONGRESS 

2D SESSION H. R. 5365 

To provide for the establishment of a Strategic Refinery Reserve. 

IN THE HOUSE OF REPRESENTATIVES 

MAY 11, 2006 

Mr. BOUCHER (for himself and Mr. DINGELL) introduced the following bill; 

which was referred to the Committee on Energy and Commerce 

A BILL 

To provide for the establishment of a Strategic Refinery 

Reserve. 

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

3 SECTION 1. REFINERIES. 

4 Title I of the Energy Policy and Conservation Act 

5 is amended by adding at the end the following new part: 

6 ‘‘PART V—REFINERIES 

7 ‘‘SEC. 191. STRATEGIC REFINERY RESERVE. 

8 ‘‘(a) ESTABLISHMENT.—The Secretary shall estab9 lish and operate a Strategic Refinery Reserve in the 

10 United States. The Secretary may design and construct 


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1 new refineries, or acquire closed refineries and reopen 

2 them, to carry out this section. 

3 ‘‘(b) OPERATION.—The Secretary shall operate refin4 eries in the Strategic Refinery Reserve for the following 

5 purposes: 

6 ‘‘(1) During any period described in subsection 

7 (c), to provide petroleum products to the general 

8 public. 

9 ‘‘(2) To provide petroleum products to the Fed10 eral Government, including the Department of De11 fense, as well as State governments and political 

12 subdivisions thereof who choose to purchase refined 

13 petroleum products from the Strategic Refinery Re14 serve. 

15 ‘‘(c) EMERGENCY PERIODS.—The Secretary shall 

16 make petroleum products from the Strategic Refinery Re17 serve available under subsection (b)(1) only— 

18 ‘‘(1) during a severe energy supply interruption, 

19 within the meaning of such term under part B; or 

20 ‘‘(2) if the President determines that there is a 

21 regional petroleum product supply shortage of sig22 nificant scope and duration and that action taken 

23 under subsection (b)(1) would assist directly and 

24 significantly in reducing the adverse impact of such 

25 shortage. 


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1 ‘‘(d) LOCATIONS.—In determining the location of a 

2 refinery for the Strategic Refinery Reserve, the Secretary 

3 shall take into account the following factors: 

4 ‘‘(1) Impact on the local community (deter5 mined after requesting and receiving comments from 

6 State, county or parish, and municipal governments, 

7 and the public). 

8 ‘‘(2) Regional vulnerability to a natural dis9 aster. 

10 ‘‘(3) Regional vulnerability to terrorist attacks. 

11 ‘‘(4) Proximity to the Strategic Petroleum Re12 serve. 

13 ‘‘(5) Accessibility to energy infrastructure. 

14 ‘‘(6) The need to minimize adverse public 

15 health and environmental impacts. 

16 ‘‘(7) The energy needs of the Federal Govern17 ment, including the Department of Defense. 

18 ‘‘(e) INCREASED CAPACITY.—The Secretary shall en19 sure that refineries in the Strategic Refinery Reserve are 

20 designed to enable a rapid increase in production capacity 

21 during periods described in subsection (c). 

22 ‘‘(f) IMPLEMENTATION PLAN.—Not later than 6 

23 months after the date of enactment of this section, the 

24 Secretary shall transmit to the Congress a plan for the 

25 establishment and operation of the Strategic Refinery ReVerDate Aug 31 2005 00:29 May 14, 2006 Jkt 049196 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\H5365.IH H5365

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1 serve under this section. Such plan shall provide for estab2 lishing, within 2 years after the date of enactment of this 

3 section, and maintaining a capacity for the Reserve equal 

4 to 5 percent of the total United States daily demand for 

5 gasoline, home heating oil, and other refined petroleum 

6 products. If the Secretary finds that achieving such capac7 ity within 2 years is not feasible, the Secretary shall ex8 plain in the plan the reasons therefor, and shall include 

9 provisions for achieving such capacity as soon as prac10 ticable. Such plan shall also provide for adequate delivery 

11 systems capable of providing Strategic Refinery Reserve 

12 product to the entities described in subsection (b)(2). 

13 ‘‘(g) COMPLIANCE WITH FEDERAL ENVIRONMENTAL

14 REQUIREMENTS.—Nothing in this section shall affect any 

15 requirement to comply with Federal or State environ16 mental or other law. 

17 ‘‘SEC. 192. REFINERY CLOSING REPORTS. 

18 ‘‘(a) CLOSING REPORTS.—The owner or operator of 

19 a refinery in the United States shall notify the Secretary 

20 at least 6 months in advance of permanently closing the 

21 refinery, and shall include in such notice an explanation 

22 of the reasons for the proposed closing. 

23 ‘‘(b) REPORTS TO CONGRESS.—The Secretary, in 

24 consultation with the Federal Trade Commission, shall 

25 promptly report to the Congress any report received under 


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1 subsection (a), along with an analysis of the effects the 

2 proposed closing would have on petroleum product prices, 

3 competition in the refining industry, the national economy, 

4 regional economies and regional supplies of refined petro5 leum products, and United States energy security.’’. 

Æ 


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