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[Congressional Bills 113th Congress]
[From the U.S. Government Publishing Office]
[H.R. 596 Introduced in House (IH)]

113th CONGRESS
  1st Session
                                H. R. 596

To promote the development of renewable energy on public lands, and for 
                            other purposes.

_______________________________________________________________________

                    IN THE HOUSE OF REPRESENTATIVES

                            February 8, 2013

Mr. Gosar (for himself, Mr. Thompson of California, Mr. Heck of Nevada, 
Mr. Polis, Mr. Tipton, Ms. DeGette, Mr. Coffman, Mr. Costa, Mr. Denham, 
Mr. Blumenauer, Mr. Amodei, Mr. DeFazio, Mr. Simpson, Mr. Ben Ray Lujan 
  of New Mexico, Mr. Schweikert, and Mrs. Kirkpatrick) introduced the 
    following bill; which was referred to the Committee on Natural 
   Resources, and in addition to the Committee on Agriculture, 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 promote the development of renewable energy on public lands, and for 
                            other purposes.

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

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Public Lands 
Renewable Energy Development Act of 2013''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; table of contents.
                       TITLE I--GEOTHERMAL ENERGY

Sec. 101. Extension of funding for implementation of Energy Policy Act 
                            of 2005.
 TITLE II--DEVELOPMENT OF WIND AND SOLAR ENERGY ON CERTAIN FEDERAL LAND

Sec. 201. Definitions.
Sec. 202. Development of solar and wind energy on covered land.
Sec. 203. Royalties.
Sec. 204. Disposition of royalty revenue.
Sec. 205. Study and report on mitigation banking.

                       TITLE I--GEOTHERMAL ENERGY

SEC. 101. EXTENSION OF FUNDING FOR IMPLEMENTATION OF ENERGY POLICY ACT 
              OF 2005.

    (a) In General.--Section 234(a) of the Energy Policy Act of 2005 
(42 U.S.C. 15873(a)) is amended by striking ``in the first 5 fiscal 
years beginning after the date of enactment of this Act'' and inserting 
``through fiscal year 2020''.
    (b) Authorization.--Section 234(b) of the Energy Policy Act of 2005 
(42 U.S.C. 15873(b)) is amended--
            (1) by striking ``Amounts'' and inserting ``Effective for 
        fiscal year 2012 and each fiscal year thereafter, amounts''; 
        and
            (2) by striking ``without further appropriation'' and 
        inserting ``in such amounts as are provided in advance in 
        appropriations Acts''.

 TITLE II--DEVELOPMENT OF WIND AND SOLAR ENERGY ON CERTAIN FEDERAL LAND

SEC. 201. DEFINITIONS.

    In this title:
            (1) Covered land.--The term ``covered land'' means land 
        that is--
                    (A)(i) public land administered by the Secretary of 
                the Interior; or
                    (ii) National Forest System land administered by 
                the Secretary of Agriculture; and
                    (B) not excluded from the development of solar or 
                wind energy under--
                            (i) a final land use plan established under 
                        the Federal Land Policy and Management Act of 
                        1976 (43 U.S.C. 1701 et seq.);
                            (ii) a final land and resource management 
                        plan established under the National Forest 
                        Management Act of 1976 (16 U.S.C. 1600 et 
                        seq.); or
                            (iii) Federal law.
            (2) Fund.--The term ``Fund'' means the Renewable Energy 
        Resource Conservation Fund established under section 204(b).
            (3) Public land.--The term ``public land'' has the meaning 
        given the term ``public lands'' in section 103 of the Federal 
        Land Policy and Management Act of 1976 (43 U.S.C. 1702).
            (4) Secretary concerned.--The term ``Secretary concerned'' 
        means--
                    (A) the Secretary of the Interior, with respect to 
                land described in clause (i) of paragraph (1)(A); and
                    (B) the Secretary of Agriculture, with respect to 
                land described in clause (ii) of such paragraph.

SEC. 202. DEVELOPMENT OF SOLAR AND WIND ENERGY ON COVERED LAND.

    (a) Pilot Program on Selected Covered Land.--
            (1) Establishment.--Not later than 180 days after the date 
        of the enactment of this Act, the Secretary of the Interior and 
        the Secretary of Agriculture shall each establish a wind and 
        solar leasing pilot program under which the Secretary concerned 
        conducts lease sales of certain sites located on covered land 
        administered by the Secretary concerned for purposes of 
        carrying out wind and solar energy projects.
            (2) Selection of sites on covered land.--
                    (A) In general.--Not later than 90 days after the 
                date the pilot program is established under paragraph 
                (1), the Secretary concerned shall each select from 
                covered land administered by the Secretary--
                            (i) 1 site for the development of a solar 
                        energy project; and
                            (ii) 1 site for the development of a wind 
                        energy project.
                    (B) Site selection.--In selecting sites under 
                subparagraph (A), the Secretary concerned shall--
                            (i) give a preference to sites that the 
                        Secretary concerned determines--
                                    (I) are likely to attract a high 
                                level of wind and solar energy industry 
                                interest;
                                    (II) have a comparatively low value 
                                for resources other than wind and solar 
                                energy; and
                                    (III) would serve as models for the 
                                expansion of the pilot program to other 
                                locations if the program is expanded 
                                under subsection (c);
                            (ii) take into consideration the value of 
                        the multiple resources of the covered land on 
                        which such sites are located; and
                            (iii) not select any site for which a 
                        right-of-way or special use permit for site 
                        testing or construction has been issued under 
                        title V of the Federal Land Policy and 
                        Management Act of 1976 (43 U.S.C. 1761 et seq.) 
                        or the National Forest Management Act of 1976 
                        (16 U.S.C. 1600 et seq.).
            (3) Lease sales of project sites.--
                    (A) In general.--Except as provided in paragraph 
                (4)(B)(i), not later than 180 days after the date on 
                which sites are selected under paragraph (2), the 
                Secretary concerned shall offer each site for 
                competitive leasing under such terms and conditions as 
                the Secretary concerned requires.
                    (B) Bidding.--Bidding on a site offered for lease 
                under this subsection shall be--
                            (i) limited to one round;
                            (ii) open only to bidders who--
                                    (I) submit a plan of development 
                                for such site together with the bid; 
                                and
                                    (II) the Secretary concerned 
                                determines are qualified under 
                                subparagraph (C)(ii); and
                            (iii) conducted using a bidding system 
                        selected by the Secretary concerned, 
                        including--
                                    (I) a cash bonus bids system 
                                requiring payment of the royalty 
                                established under this title;
                                    (II) a variable royalty bids system 
                                based on a percentage of the gross 
                                proceeds from the sale of electricity 
                                produced from the site offered for 
                                lease, except that the royalty shall 
                                not be less than the royalty required 
                                under this title, together with a fixed 
                                cash bonus; or
                                    (III) such other bidding system as 
                                ensures a fair return to the public 
                                consistent with the royalty established 
                                under this title.
                    (C) Bidder qualifications.--The Secretary concerned 
                shall--
                            (i) before conducting any lease sale under 
                        this subsection, establish qualification 
                        requirements for bidders on a site offered for 
                        lease that ensure that such bidders, with 
                        respect to wind or solar energy projects--
                                    (I) are able to expeditiously 
                                develop such a project on the site;
                                    (II) possess the financial 
                                resources necessary to complete such a 
                                project;
                                    (III) possess knowledge of the 
                                technology needed to complete such a 
                                project;
                                    (IV) meet eligibility requirements 
                                that are substantially similar to the 
                                eligibility rquirements for leasing 
                                that apply under the first section of 
                                the Mineral Leasing Act (30 U.S.C. 
                                181); and
                                    (V) possess such other 
                                qualifications as the Secretary 
                                concerned determines are necessary; and
                            (ii) using the requirements established 
                        under clause (i), determine whether a person is 
                        qualified to be a bidder on a site offered for 
                        lease under this subsection.
                    (D) Credit for bid preparation expenditures.--In 
                the case of a site offered for lease under this 
                subsection with respect to which more than one bid is 
                submitted on the date of the lease sale of such site, 
                the Secretary concerned shall give credit to each 
                person who submitted a bid with respect to such site 
                for expenditures such person incurred in the 
                preparation of such bid.
            (4) Lease terms.--
                    (A) In general.--The Secretary concerned may 
                establish such lease terms and conditions, including 
                the duration of the lease with respect to any site 
                offered for lease under this subsection.
                    (B) Short-term leases for data collection.--In 
                carrying out this subsection, the Secretary concerned 
                shall--
                            (i) offer on a noncompetitive basis a 
                        short-term lease on not less than one site 
                        selected under paragraph (2) for purposes of 
                        data collection; and
                            (ii) upon the expiration of the short-term 
                        lease, offer on a competitive basis a long-term 
                        lease, giving credit toward the bonus bid 
                        submitted with respect to the long-term lease 
                        to the holder of the short-term lease for any 
                        qualified expenditures made by such holder to 
                        collect data or to develop the site during such 
                        short-term lease.
            (5) Revenues.--Subject to section 203, the Secretary 
        concerned may collect bonus bids, royalties, fees, or other 
        payments (except rental payments) with respect to sites offered 
        for lease under this subsection.
            (6) Report.--Not later than 90 days after the date on which 
        the Secretary concerned conducts the final lease sale under 
        this subsection, the Secretary shall submit to the Committee on 
        Energy and Natural Resources and the Committee on Agriculture 
        of the Senate and the Committee on Natural Resources and the 
        Committee on Agriculture of the House of Representatives a 
        report on the results of each lease sale conducted under this 
        subsection, including--
                    (A) the level of competitive interest;
                    (B) a summary of bids and revenues received; and
                    (C) any other factors that may have impacted the 
                lease sale.
            (7) Other laws.--
                    (A) Compliance with land management and 
                environmental laws.--In offering sites for lease under 
                this subsection, the Secretary concerned shall comply 
                with--
                            (i) all Federal laws applicable to public 
                        land or National Forest System land; and
                            (ii) Federal or State environmental laws or 
                        any other relevant laws.
                    (B) Applicability to wind and solar energy projects 
                under other federal laws.--Nothing in this subsection 
                shall be construed so as to prohibit the Secretary 
                concerned from issuing rights-of-way or special use 
                permits with respect to wind and solar energy projects 
                in compliance with other Federal laws and regulations 
                in effect on the date of the enactment of this Act.
            (8) Enforcement of federal land policy management.--
                    (A) In general.--Sections 302(c) and 303 of the 
                Federal Land Policy and Management Act of 1976 (43 
                U.S.C. 1732(c), 1733) shall apply to activities 
                conducted on sites on covered land offered for lease 
                under this subsection.
                    (B) Effect on enforcement authority under other 
                federal law.--Nothing in this subsection shall be 
                construed so as to reduce or limit the enforcement 
                authority vested in the Secretary of the Interior, the 
                Secretary of Agriculture, or the Attorney General on 
                covered land under any other Federal law.
    (b) Temporary Extension of Pilot Program.--Until final regulations 
are issued under subsection (c)(4), the Secretary of the Interior shall 
continue to carry out the pilot program under subsection (a) on the 
sites offered for lease under such subsection. The Secretary may extend 
any lease issued for such sites under subsection (a) under the same 
terms and conditions applicable to such lease on the date of the lease 
sale as necessary until final regulations are issued under subsection 
(c)(4) with respect to such sites.
    (c) Expansion of Pilot Program to All Covered Land.--
            (1) Joint determination required.--Not later than 5 years 
        after the date of the enactment of this Act, the Secretary of 
        the Interior and the Secretary of Agriculture shall jointly 
        determine whether to expand the pilot program established under 
        subsection (a) to apply to all covered land, including sites 
        with respect to which leases were issued under subsection (a). 
        In making such determination, the Secretary of the Interior and 
        the Secretary of Agriculture shall--
                    (A) take into consideration the results of the 
                pilot program;
                    (B) consult with--
                            (i) the heads of Federal agencies and 
                        relevant State agencies (including State fish 
                        and wildlife agencies);
                            (ii) interested States, Indian tribes, and 
                        local governments;
                            (iii) representatives of the solar and wind 
                        energy industries;
                            (iv) representatives of the environment, 
                        conservation, and outdoor sporting communities; 
                        and
                            (v) the public; and
                    (C) consider whether such expansion--
                            (i) provides an effective means of 
                        developing wind or solar energy; and
                            (ii) is in the public interest.
            (2) Expansion authorized.--The pilot program shall be 
        expanded only if the Secretary of the Interior and the 
        Secretary of Agriculture determined to expand the pilot program 
        under paragraph (1).
            (3) Report on joint determination.--Not later than 60 days 
        after making the determination under paragraph (1) to expand 
        the pilot program, the Secretary of the Interior and the 
        Secretary of Agriculture shall jointly submit to the Committee 
        on Energy and Natural Resources and Committee on Agriculture of 
        the Senate and the Committee on Natural Resources and Committee 
        on Agriculture of the House of Representatives a report 
        describing the basis and findings for the determination.
            (4) Regulations to implement expansion.--Not later than one 
        year after making a determination to expand the pilot program 
        under paragraph (1), the Secretary of the Interior and the 
        Secretary of Agriculture shall jointly issue final regulations 
        to implement this Act.
            (5) Applicability of provisions of pilot program to 
        expanded program.--
                    (A) In general.--Except as provided in subparagraph 
                (B), paragraphs (3), (7), and (8) of subsection (a) 
                shall apply to covered land offered for lease under 
                this subsection in the same manner as such paragraphs 
                apply to sites offered for lease under subsection (a).
                    (B) Competitive leasing not required under certain 
                circumstances.--The requirement under subsection (a)(3) 
                that a lease be sold on a competitive basis shall not 
                apply to a lease issued under this subsection if the 
                Secretary concerned determines that--
                            (i) no competitive interest exists for the 
                        covered land offered for lease;
                            (ii) the public interest would not be 
                        served by the competitive issuance of a lease 
                        with respect to such covered land; or
                            (iii) the lease is for a purpose described 
                        in paragraph (7)(A)(ii).
            (6) Payments.--
                    (A) In general.--Subject to section 203, the 
                Secretary of the Interior and the Secretary of 
                Agriculture shall jointly establish fees, bonuses, or 
                other payments (except rental payments) to ensure a 
                fair return to the United States for any lease issued 
                under this subsection.
                    (B) Bonus bids.--The Secretary concerned may grant 
                credit toward any bonus bid for a qualified expenditure 
                by the holder of a lease described in paragraph 
                (7)(A)(ii) in any competitive lease sale held for a 
                long-term lease of the covered land that is the subject 
                of the lease described in such paragraph.
                    (C) Readjustment.--
                            (i) In general.--Royalties and other terms 
                        and conditions of a lease issued under this 
                        subsection shall be subject to readjustment--
                                    (I) on the date that is 15 years 
                                after the date on which the lease is 
                                issued; and
                                    (II) every 10 years thereafter.
                            (ii) Indexing.--Effective on the first day 
                        of the first month beginning after the date of 
                        enactment of this Act and each year thereafter, 
                        the amount of royalties or other terms and 
                        conditions subject to readjustment under clause 
                        (i) shall be adjusted to reflect changes for 
                        the 12-month period ending on the most recent 
                        date for which data are available in the 
                        Consumer Price Index for All Urban Consumers 
                        published by the Bureau of Labor Statistics of 
                        the Department of Labor.
            (7) Lease duration, administration, and readjustment.--
                    (A) Duration.--
                            (i) In general.--Except as provided in 
                        clause (ii), a lease issued under this 
                        subsection shall be for--
                                    (I) an initial term of 25 years; 
                                and
                                    (II) any additional period after 
                                the initial 25-year term during which 
                                electricity is being produced annually 
                                in commercial quantities from the 
                                lease.
                            (ii) Data collection leases.--In the case 
                        of a lease issued under this subsection for the 
                        placement and operation of a meteorological or 
                        data collection facility or for the development 
                        or demonstration of a new wind or solar 
                        technology, such lease shall have a term of not 
                        more than 5 years.
                    (B) Administration.--The Secretary of the Interior 
                and the Secretary of Agriculture shall jointly 
                establish terms and conditions for the issuance, 
                transfer, renewal, suspension, and cancellation of a 
                lease issued under this subsection.
                    (C) Readjustment provision required.--Each lease 
                issued under this subsection shall provide for 
                readjustment in accordance with subparagraph (A).
            (8) Surface-disturbing activities.--The Secretary of the 
        Interior and the Secretary of Agriculture shall jointly issue 
        regulations regarding surface-disturbing activities conducted 
        under any lease issued under this subsection, including any 
        reclamation and other actions necessary to conserve and to 
        offset impacts to surface resources.
            (9) Security.--
                    (A) In general.--The Secretary concerned shall 
                require that the holder of a lease issued under this 
                subsection--
                            (i) furnish a surety bond or other form of 
                        security, as prescribed by the Secretary;
                            (ii) provide for the reclamation and 
                        restoration of the covered land that is the 
                        subject of the lease; and
                            (iii) comply with such other requirements 
                        as the Secretary considers necessary to protect 
                        the interests of the public and the United 
                        States.
                    (B) Periodic review.--Not less frequently than once 
                every 5 years, the Secretary concerned shall conduct a 
                review of the adequacy of the surety bond or other form 
                of security provided by the holder of a lease issued 
                under this subsection.

SEC. 203. ROYALTIES.

    (a) In General.--The Secretary concerned shall require as a term 
and condition of any lease issued under section 202, the payment of a 
royalty. The Secretary of the Interior and the Secretary of Agriculture 
shall establish such royalty pursuant to a joint rulemaking that shall 
be a percentage of the gross proceeds from the sale of electricity 
produced on covered land that is the subject of such lease at a rate 
that--
            (1) encourages production of solar or wind energy;
            (2) ensures a fair return to the public comparable to the 
        return that would be obtained on State or private land; and
            (3) encourages the maximum energy generation while 
        disturbing the least quantity of covered land and other natural 
        resources, including water.
    (b) Consideration.--In establishing the royalty under subsection 
(a), the Secretary of the Interior and the Secretary of Agriculture 
shall consider the relative capacity factors of wind and solar energy 
projects.
    (c) Exclusive Payment on Sale of Electricity.--The royalty under 
subsection (a) shall be the only rent, royalty, or similar payment to 
the Federal Government required with respect to the sale of electricity 
produced under a lease issued under section 202.
    (d) Royalty Relief.--The Secretary concerned may reduce the royalty 
rate established under subsection (a) if the holder of a lease issued 
under this title shows by clear and convincing evidence that--
            (1) collection of the full royalty would unreasonably 
        burden energy generation on covered land that is the subject of 
        the lease; and
            (2) the royalty reduction is in the public interest.
    (e) Enforcement.--
            (1) Auditing system.--The Secretary of the Interior and the 
        Secretary of Agriculture shall jointly establish a 
        comprehensive inspection, collection, fiscal, and production 
        accounting and auditing system--
                    (A) to accurately determine royalties, interest, 
                fines, penalties, fees, deposits, and other payments 
                owed under this title; and
                    (B) to collect and account for the payments in a 
                timely manner.
            (2) Applicability of federal oil and royalty management 
        act.--The provisions of the Federal Oil and Gas Royalty 
        Management Act of 1982 (30 U.S.C. 1701 et seq.) (including the 
        civil and criminal enforcement provisions of such Act) shall 
        apply to leases issued under this title with respect to wind 
        and solar energy projects in the same manner as such provisions 
        apply to oil and gas leases.
    (f) Report on Royalties.--Not later than 5 years after the date of 
enactment of this Act and every 5 years thereafter, the Secretary of 
the Interior, in consultation with the Secretary of Agriculture, shall 
submit to the Committee on Energy and Natural Resources and the 
Committee on Agriculture of the Senate and the Committee on Natural 
Resources and the Committee on Agriculture of the House of 
Representatives a report consisting of a review of the collections and 
impacts of the royalties and fees collected under this title, 
including--
            (1) the total revenues received (by category) on an annual 
        basis as royalties from wind, solar, and geothermal development 
        and production (specified by energy source) on covered land;
            (2) whether the revenues received for the development of 
        wind, solar, and geothermal development are comparable to the 
        revenues received for similar development on State or private 
        land;
            (3) any impact on the development of wind, solar, and 
        geothermal development and production on covered land as a 
        result of the royalties; and
            (4) any recommendations with respect to changes in Federal 
        law (including regulations) relating to the amount or method of 
        collection (including auditing, compliance, and enforcement) of 
        the royalties.
    (g) Regulations.--Not later than one year after the date of the 
enactment of this Act, the Secretary of the Interior and the Secretary 
of Agriculture shall jointly issue final regulations to carry out this 
section.

SEC. 204. DISPOSITION OF ROYALTY REVENUE.

    (a) Allocation of Revenue.--Effective beginning on the date of the 
enactment of this Act, all amounts collected by the Secretary concerned 
as royalties or bonuses under subsection (a)(5) or (c)(6) of section 
202, shall be distributed as follows:
            (1) Twenty-five percent shall be paid by the Secretary of 
        the Treasury to States within the boundaries of which the 
        royalties or bonuses are derived, to be allocated among such 
        States based on the percentage of covered land from which such 
        royalties or bonuses are derived in each State.
            (2) Twenty-five percent shall be paid by the Secretary of 
        the Treasury to the counties within the boundaries of which the 
        royalties or bonuses are derived, to be allocated among such 
        counties based on the percentage of covered land from which 
        such royalties or bonuses are derived in each county.
            (3) Twenty-five percent shall be deposited in the Fund 
        (established by subsection (b)).
            (4) For the period that begins on the date of the enactment 
        of this Act and ending on the date that is 15 years after the 
        date of the enactment of this Act, 15 percent shall be paid by 
        the Secretary of the Treasury directly to the State offices of 
        the Bureau of Land Management and the regional office of the 
        Forest Service with jurisdiction over the areas of which the 
        royalties or bonuses are derived for purposes of reducing the 
        number of renewable energy permits that have not been processed 
        before the date of the enactment of this Act, to be allocated 
        among such offices based on the percentage of covered land from 
        which the royalties or bonuses are derived in each State.
            (5) The remainder shall be deposited into the general fund 
        of the Treasury for purposes of reducing the annual Federal 
        budget deficit.
    (b) Renewable Energy Resource Conservation Fund.--
            (1) Establishment.--There is established in the Treasury of 
        the United States a Renewable Energy Resource Conservation Fund 
        to be administered by the Secretary of the Interior, in 
        consultation with the Secretary of Agriculture, for use in 
        regions impacted by the development of wind or solar energy on 
        public land.
            (2) Use of funds.--The Secretary shall use amounts in the 
        Fund to take actions and to make payments to State agencies, 
        Federal agencies, or other interested persons in such regions 
        for--
                    (A) protecting and restoring important fish and 
                wildlife habitat in such regions, including corridors, 
                water resources, and other sensitive land; and
                    (B) assuring and improving access to Federal lands 
                and waters in such regions for hunting, fishing, and 
                other forms of outdoor recreation in a manner 
                consistent with the conservation of fish and wildlife 
                habitat.
            (3) Availability of amounts.--Amounts in the Fund shall be 
        available for expenditure, in accordance with this subsection, 
        without further appropriation and without fiscal year 
        limitation.
            (4) Investment of fund.--
                    (A) In general.--Any amounts deposited in the Fund 
                shall earn interest in an amount determined by the 
                Secretary of the Treasury on the basis of the current 
                average market yield on outstanding marketable 
                obligations of the United States of comparable 
                maturities.
                    (B) Use.--Any interest earned under subparagraph 
                (A) may be expended in accordance with this subsection.
            (5) Mitigation requirements.--The expenditure of funds 
        under this subsection shall be separate and distinct from any 
        mitigation requirements imposed pursuant to any law, 
        regulation, or term or condition of any lease, right-of-way, or 
        other authorization.
    (c)  Allocation for Permitting After Expiration of 15-Year 
Period.--
            (1) Certification by secretary.--At the end of the 15-year 
        period described in subsection (a)(4), the Secretary shall 
        certify whether the State offices referred to in such 
        subsection have adequately reduced the renewable energy 
        permitting backlog referred to in such subsection.
            (2) Allocation after certification.--If the Secretary 
        certifies under paragraph (1) that--
                    (A) the State offices referred to in such paragraph 
                have not adequately reduced the backlog referred to in 
                such paragraph--
                            (i) the 15-year period described in 
                        subsection (a)(4) shall be extended by an 
                        additional 15-year period; and
                            (ii) payments shall continue to be made 
                        during that period as described in such 
                        subsection; or
                    (B) the State offices referred to in such paragraph 
                have adequately reduced such backlog--
                            (i) two-thirds of the amount otherwise 
                        required to be paid under subsection (a)(4) 
                        shall be added to the amount deposited in the 
                        Fund established under subsection (b); and
                            (ii) one-third of such amount shall be 
                        deposited into the general fund of the Treasury 
                        for purposes of reducing the annual Federal 
                        budget deficit.
    (d) Payments to States and Counties.--
            (1) In general.--Amounts paid to States and counties under 
        subsection (a) shall be used in a manner that is consistent 
        with section 35 of the Mineral Leasing Act (30 U.S.C. 191).
            (2) Impacts.--Not less than 35 percent of the amount paid 
        to a State each fiscal year shall be used for the purposes 
        described in subsection (b)(2).

SEC. 205. STUDY AND REPORT ON MITIGATION BANKING.

    (a) Study.--
            (1) In general.--Not later than 180 days after the date of 
        enactment of this Act, the Secretary of the Interior and the 
        Secretary of Agriculture shall carry out a study to determine 
        the feasibility of carrying out a mitigation banking program on 
        Federal land administered by the Secretary of the Interior or 
        the Secretary of Agriculture for purposes of fully offsetting 
        the impacts of wind or solar energy on such Federal land.
            (2) Contents.--The study under paragraph (1) shall--
                    (A) identify areas in which--
                            (i) privately owned land is not available 
                        to fully offset the impacts of wind or solar 
                        energy development on Federal land administered 
                        by the Secretary of the Interior or the 
                        Secretary of Agriculture; or
                            (ii) mitigation investments on such Federal 
                        land are likely to provide greater conservation 
                        value for the impacts of wind or solar energy 
                        development on such Federal land; and
                    (B) examine--
                            (i) the effectiveness of laws (including 
                        regulations) and policies in effect on the date 
                        of the enactment of this Act in facilitating 
                        the development and effective operation of 
                        mitigation banks;
                            (ii) the advantages and disadvantages of 
                        using mitigation banks on such Federal land to 
                        mitigate impacts to natural resources on 
                        private, State, and tribal land; and
                            (iii) any changes in Federal law (including 
                        regulations) or policy necessary to further 
                        develop a Federal mitigation banking program.
    (b) Report to Congress.--Not later than 18 months after the date of 
the enactment of this Act, the Secretary of the Interior and the 
Secretary of Agriculture shall jointly submit to Congress a report that 
includes--
            (1) the recommendations of the Secretaries relating to--
                    (A) the most effective system for Federal land 
                administered by the Secretary of the Interior or the 
                Secretary of Agriculture to meet the goals of 
                facilitating the development of a mitigation banking 
                program on such Federal land; and
                    (B) any change to Federal law (including 
                regulations) or policy necessary to address more 
                effectively the siting, development, and management of 
                mitigation banking programs on such Federal land to 
                mitigate impacts to natural resources on private, 
                State, and tribal land; and
            (2) any administrative action to be taken by the Secretary 
        of the Interior and the Secretary of Agriculture in response to 
        the recommendations.
    (c) Availability to the Public.--Not later than 30 days after the 
date on which the report described in subsection (b) is submitted to 
Congress, the Secretary of the Interior and the Secretary of 
Agriculture shall make the results of the study available to the 
public.
                                 <all>
```