II 

112TH CONGRESS 

2D SESSION S. 3404 

To establish within the Department of Energy an Office of Federal Energy 

Production, and for other purposes. 

IN THE SENATE OF THE UNITED STATES 

JULY 19, 2012 

Mr. COATS (for himself and Mr. VITTER) introduced the following bill; which 

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

Resources 

A BILL 

To establish within the Department of Energy an Office 

of Federal Energy Production, 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 ‘‘Department of Energy 

5 Reorganization Act of 2012’’. 

6 SEC. 2. FINDINGS. 

7 Congress finds that— 

8 (1) Americans are paying an ever-increasing 

9 amount to meet basic energy needs; 


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1 (2) a consolidation of energy-production func2 tions within a single agency would contribute to 

3 greater strategic energy policy coherence; 

4 (3) the mission of the Department of Energy is 

5 an obligation to ensure the energy security and pros6 perity of the United States; 

7 (4) the Department of Energy is the primary 

8 Federal source for energy data and forecasting at 

9 the Energy Information Administration; 

10 (5) the Energy Information Administration can 

11 best account for national energy needs both now and 

12 in the future; 

13 (6) fossil-fuel production on Federal land de14 creased by 14 percent in 2011 and is anticipated to 

15 continue declining into the foreseeable future under 

16 the stewardship of the Secretary of the Interior; 

17 (7) the Secretary of the Interior continues to 

18 restrict access to domestic energy; 

19 (8) the Department of the Interior is oriented 

20 more toward conservation and managing Federal 

21 land than providing for the future energy needs of 

22 the United States; and 

23 (9) the Secretary of the Interior continues to 

24 pursue land management and resource development 


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1 decisions that hamper economic growth and fail to 

2 meet the energy needs of the United States. 

3 SEC. 3. DEFINITIONS. 

4 In this Act: 

5 (a) DEPARTMENT.—The term ‘‘Department’’ means 

6 the Department of Energy. 

7 (b) SECRETARY.—The term ‘‘Secretary’’ means the 

8 Secretary of Energy. 

9 SEC. 4. OFFICE OF FEDERAL ENERGY PRODUCTION. 

10 (a) ESTABLISHMENT.—There shall be within the De11 partment an Office of Federal Energy Production. 

12 (b) DIRECTOR.—The Office of Federal Energy Pro13 duction shall be headed by a Director, who shall be ap14 pointed by the Secretary. 

15 (c) TRANSFER OF FUNCTIONS.—There are trans16 ferred to, and vested in, the Director of the Office of Fed17 eral Energy Production all of the functions provided by 

18 law (as of the date of enactment of this Act) to— 

19 (1) the Director of the Bureau of Ocean Energy 

20 Management; 

21 (2) the Director of the Bureau of Safety and 

22 Environmental Enforcement; and 

23 (3) the Director of the Bureau of Land Man24 agement of the Department of the Interior with reVerDate Mar 15 2010 03:22 Jul 20, 2012 Jkt 019200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\S3404.IS S3404

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1 spect to oil and gas development and renewable en2 ergy production. 

3 SEC. 5. BUREAU OF SAFETY AND ENVIRONMENTAL EN4 FORCEMENT. 

5 (a) ESTABLISHMENT.—There shall be within the De6 partment a Bureau of Safety and Environmental Enforce7 ment. 

8 (b) DIRECTOR.—The Bureau of Safety and Environ9 mental Enforcement shall be headed by a Director, who 

10 shall be appointed by the Secretary. 

11 (c) TRANSFER OF FUNCTIONS.—There are trans12 ferred to, and vested in, the Director of the Bureau of 

13 Safety and Environmental Enforcement all of the func14 tions provided by law (including regulations), as of the 

15 date of enactment of this Act, to the Director of the Bu16 reau of Safety and Environmental Enforcement of the De17 partment of the Interior. 

18 SEC. 6. BUREAU OF OCEAN ENERGY MANAGEMENT. 

19 (a) ESTABLISHMENT.—There shall be within the De20 partment a Bureau of Ocean Energy Management. 

21 (b) DIRECTOR.—The Bureau of Ocean Energy Man22 agement shall be headed by a Director, who shall be ap23 pointed by the Secretary. 

24 (c) TRANSFER OF FUNCTIONS.—Except as otherwise 

25 provided in this title, there are transferred to, and vested 


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1 in, the Director of the Bureau of Ocean Energy Manage2 ment all of the functions provided by law (as of the date 

3 of enactment of this Act) to the Director of the Bureau 

4 of Ocean Energy Management of the Department of the 

5 Interior. 

6 SEC. 7. CERTIFICATION OF 5-YEAR LEASING PLAN. 

7 Section 18 of the Outer Continental Shelf Lands Act 

8 (43 U.S.C. 1344) is amended by adding at the end the 

9 following: 

10 ‘‘(i) CERTIFICATION BY SECRETARY OF ENERGY.— 

11 ‘‘(1) IN GENERAL.—The Secretary of Energy 

12 shall certify that the program prepared under sub13 section (a) will best meet national energy needs for 

14 the 5-year period following the approval or re15 approval of the program. 

16 ‘‘(2) MODIFICATION OR REJECTION.— 

17 ‘‘(A) IN GENERAL.—The Secretary of En18 ergy may modify or reject any program pre19 pared under subsection (a). 

20 ‘‘(B) OIL FROM FOREIGN SOURCES OTHER

21 THAN CANADA OR MEXICO.—If the Secretary of 

22 Energy, in consultation with the Energy Infor23 mation Administration, determines that the 

24 United States will require more than 1,000,000 

25 barrels of oil per day for the next fiscal year 


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1 from foreign sources other than Canada and 

2 Mexico, the Secretary shall amend the program 

3 prepared under subsection (a) to include addi4 tional lease sales in additional areas. 

5 ‘‘(j) PUBLIC COMMENT BY PRIVATE ENTITIES.— 

6 ‘‘(1) IN GENERAL.—The procedures described 

7 in subsection (f)(2) shall include a 30-day period for 

8 public notice and participation, once annually, for 

9 private entities to provide the Secretary with a no10 tice of interest to lease and produce oil in any area 

11 not prohibited by a moratorium. 

12 ‘‘(2) MODIFICATION.—If the Secretary receives 

13 a notice of interest under paragraph (1), the Sec14 retary shall modify the plan prepared under sub15 section (a) for the next year to include a lease sale 

16 in each area specified in the notice of interest.’’. 

17 SEC. 8. SHALE LEASES AND PERMITS; PUBLICLY AVAIL18 ABLE DATA. 

19 Section 21 of the Mineral Leasing Act (30 U.S.C. 

20 241) is amended by adding at the end the following: 

21 ‘‘(e) FINANCING FOR RESEARCH.—In addition to any 

22 funds made available to the Secretary of the Interior to 

23 carry out this subsection for each fiscal year, of the funds 

24 made available to the Secretary of Energy for each fiscal 

25 year, there is authorized to be appropriated such sums as 


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1 are necessary to carry out this subsection for each fiscal 

2 year. 

3 ‘‘(f) PUBLICLY AVAILABLE DATA.—The Secretary of 

4 Energy shall post on the main page of the public Internet 

5 website of the Department of Energy the revenue and pro6 duction data resulting from the leases under subsection 

7 (a).’’. 

8 SEC. 9. EXEMPTION OF THE DEPARTMENT OF ENERGY 

9 FROM THE EQUAL ACCESS TO JUSTICE ACT. 

10 Sections 504 of title 5 and 2412 of title 28, United 

11 States Code, shall not apply to the Department of Energy. 

12 SEC. 10. TRANSFER AND ALLOCATIONS OF APPROPRIA13 TIONS AND PERSONNEL. 

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

15 this Act, the personnel employed in connection with, and 

16 the assets, liabilities, contracts, property, records, and un17 expended balance of appropriations, authorizations, alloca18 tions, and other funds employed, held, used, arising from, 

19 available to, or to be made available in connection with 

20 the functions transferred by this Act, subject to section 

21 1531 of title 31, United States Code, are transferred to 

22 the Secretary for appropriate allocation. 

23 (b) USE OF UNEXPENDED FUNDS.—Unexpended 

24 funds transferred under subsection (a) shall only be used 


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1 for the purposes for which the funds were originally au2 thorized and appropriated. 

3 (c) SPECIFIC POSITIONS.—Positions expressly speci4 fied by statute or reorganization plan to carry out func5 tions transferred by this Act, personnel occupying those 

6 positions and personnel authorized to receive compensa7 tion in those positions at the rate prescribed for offices 

8 and positions at level I, II, III, IV, or V of the Executive 

9 Schedule under subchapter II of chapter 53 of title 5, 

10 United States Code, on the effective date of this Act, shall 

11 be subject to section 3103 of that title. 

12 SEC. 11. EFFECT ON PERSONNEL. 

13 (a) IN GENERAL.—Except as otherwise provided in 

14 this Act or by the Secretary, the transfer under this Act 

15 of full-time personnel (except special Government employ16 ees) and part-time personnel holding permanent positions 

17 under this Act shall not cause any such employee to be 

18 separated or reduced in grade or compensation for 1 year 

19 after the date of enactment of this Act. 

20 (b) COMPENSATION.—Any person who, on the effec21 tive date of this Act, holds a position compensated in ac22 cordance with the Executive Schedule prescribed in chap23 ter 53 of title 5, United States Code, and who, without 

24 a break in service, is appointed in the Department to a 

25 position having duties comparable to the duties performed 


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1 immediately preceding the appointment shall continue to 

2 be compensated in the new position at not less than the 

3 rate provided for the previous position, for the duration 

4 of service in the new position. 

5 (c) REEMPLOYMENT RIGHTS.— 

6 (1) IN GENERAL.—An employee transferred to 

7 the Department who holds reemployment rights ac8 quired under any provision of law (including regula9 tions) may exercise those rights only during the lat10 ter of— 

11 (A) the 120-day period beginning on the 

12 effective date of this Act; or 

13 (B) the 2-year period beginning on the 

14 date on which the employee acquired the reem15 ployment rights. 

16 (2) REQUIREMENT.—Reemployment rights may 

17 only be exercised at the request of the employee. 

18 SEC. 12. AGENCY TERMINATIONS. 

19 (a) IN GENERAL.—Except as otherwise provided in 

20 this Act, whenever all of the functions vested by law in 

21 any agency, commission, or other body, or any component 

22 of an agency, commission, or other body, have been termi23 nated or transferred from that agency, commission, or 

24 other body, or component by this Act, the agency, commis25 sion, or other body, or component, shall terminate. 


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1 (b) TERMINATION OF POSITIONS AND OFFICES.—If 

2 an agency, commission, or other body, or any component 

3 of an agency, commission, or other body, terminates under 

4 subsection (a), each position and office within the agency, 

5 commission, or other body, or component, that was ex6 pressly authorized by law, or the incumbent of which was 

7 authorized to receive compensation at the rates prescribed 

8 for an office or position at level II, III, IV, or V of the 

9 Executive Schedule under subchapter II of chapter 53 of 

10 title 5, United States Code, shall terminate. 

11 SEC. 13. INCIDENTAL TRANSFERS. 

12 The Director of the Office of Management and Budg13 et, in consultation with the Secretary, shall make such de14 terminations as may be necessary with regard to the 

15 transfer of functions that relate to or are used by an agen16 cy, commission or other body, or component of an agency, 

17 commission, or other body, affected by this Act, to make 

18 such additional incidental dispositions of personnel, assets, 

19 liabilities, contracts, property, records, and unexpended 

20 balances of appropriations, authorizations, allocations, 

21 and other funds held, used, arising from, available to, or 

22 to be made available in connection with the functions 

23 transferred by this Act, as the Director considers nec24 essary to accomplish the purposes of this Act. 


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1 SEC. 14. SAVINGS PROVISIONS. 

2 (a) ORDERS TO REMAIN IN EFFECT.— 

3 (1) IN GENERAL.—All orders, determinations, 

4 rules, regulations, permits, contracts, certificates, li5 censes, and privileges described in paragraph (2) 

6 shall continue in effect according to their respective 

7 terms until modified, terminated, superseded, set 

8 aside, or revoked in accordance with law by the 

9 President, the Secretary, or other authorized offi10 cials, a court of competent jurisdiction, or by oper11 ation of law. 

12 (2) SPECIFICATION.—Paragraph (1) applies to 

13 all orders, determinations, rules, regulations, per14 mits, contracts, certificates, licenses, and privileges 

15 that— 

16 (A) have been issued, made, granted, or al17 lowed to become effective by the President, any 

18 Federal department or agency, official of a Fed19 eral department or agency, or by a court of 

20 competent jurisdiction, in the performance of 

21 functions that are transferred under this Act to 

22 the Department after the date of enactment of 

23 this Act; and 

24 (B) are in effect on the date on which this 

25 Act takes effect. 

26 (b) PENDING PROCEEDINGS.— 


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1 (1) IN GENERAL.—This Act shall not affect any 

2 proceeding or any application for any license, per3 mit, certificate, or financial assistance pending be4 fore any department, agency, commission, or compo5 nent of a department, agency, or commission, func6 tions of which are transferred by this Act on the ef7 fective date of this Act. 

8 (2) CONTINUATION.— 

9 (A) IN GENERAL.—To the extent that the 

10 proceedings and applications described in para11 graph (1) relate to functions transferred by this 

12 Act— 

13 (i) the proceedings and applications 

14 shall be continued; and 

15 (ii) orders shall be issued, appeals 

16 shall be taken, and payments shall be 

17 made under the orders, as if this Act had 

18 not been enacted. 

19 (B) EFFECT.—Orders issued in any pro20 ceeding continued under this paragraph shall 

21 continue in effect until modified, terminated, 

22 superseded, or revoked by— 

23 (i) a duly authorized official; 

24 (ii) a court of competent jurisdiction; 

25 or 


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1 (iii) operation of law. 

2 (C) DISCONTINUANCE OR MODIFICA3 TION.—Nothing in this subsection prohibits the 

4 discontinuance or modification of any pro5 ceeding described in paragraph (1) under the 

6 same terms and conditions and to the same ex7 tent that the proceeding could have been dis8 continued or modified if this Act had not been 

9 enacted. 

10 (3) REGULATIONS.—The Secretary may pro11 mulgate regulations providing for the orderly trans12 fer of proceedings described in paragraph (1) to the 

13 Department. 

14 (c) PENDING SUITS.— 

15 (1) IN GENERAL.—Except as provided in para16 graph (3)— 

17 (A) this Act shall not affect suits com18 menced prior to the effective date of this Act; 

19 and 

20 (B) in all suits described in subparagraph 

21 (A), proceedings shall be had, appeals taken, 

22 and judgments rendered in the same manner 

23 and effect as if this Act had not been enacted. 


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1 (2) SUITS BY AND AGAINST OFFICERS IN OFFI2 CIAL CAPACITY AND DEPARTMENTS AND AGEN3 CIES.— 

4 (A) OFFICES.—No suit, action, or other 

5 proceeding commenced by or against any officer 

6 in the official capacity of the officer as an offi7 cer of any department or agency, functions of 

8 which are transferred by this Act, shall abate 

9 by reason of the enactment of this Act. 

10 (B) DEPARTMENTS AND AGENCIES.—No 

11 cause of action by or against any department or 

12 agency, functions of which are transferred by 

13 this Act, or by or against any officer of a de14 partment or agency in the official capacity of 

15 the officer, shall abate by reason of the enact16 ment of this Act. 

17 (3) TRANSFER.—If, before the effective date of 

18 this Act, any department or agency, or officer of a 

19 department or agency in the official capacity of the 

20 officer, is a party to a suit, and under this Act any 

21 function of the department, agency, or officer is 

22 transferred to the Secretary or any other official, 

23 then the suit shall be continued with the Secretary 

24 or other official, as applicable, substituted. 


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1 SEC. 15. REFERENCE. 

2 With respect to any functions transferred by this Act 

3 and exercised after the effective date of this Act, reference 

4 in any other Federal law to any department, commission, 

5 or agency or any officer or office the functions of which 

6 are so transferred shall be deemed to refer to the Sec7 retary or other official or component of the Department 

8 in which this Act vests those functions. 

9 SEC. 16. PRESIDENTIAL AUTHORITY. 

10 Nothing in this Act limits, curtails, abolishes, or ter11 minates— 

12 (1) any function of, or authority available to, 

13 the President that the President had immediately 

14 before the effective date of this Act; or 

15 (2) the authority of the President to delegate, 

16 redelegate, or terminate any delegation of functions. 

17 SEC. 17. TRANSITION. 

18 With the consent of the appropriate department or 

19 agency head, the Secretary may use the services of the 

20 officers, employees, and other personnel of the depart21 ments and agencies from which functions have been trans22 ferred to the Secretary for such period of time as may 

23 reasonably be needed to facilitate the orderly transfer of 

24 functions under this Act. 

Æ 


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