I 

111TH CONGRESS 

2D SESSION H. R. 5735 

To require the Secretary of the Interior to establish a competitive leasing 

program for wind and solar energy development on Federal land, and 

for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

JULY 14, 2010 

Mr. HELLER 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 require the Secretary of the Interior to establish a competitive leasing program for wind and solar energy development on Federal land, 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 ‘‘Clean Energy, Commu5 nity Investment, and Wildlife Conservation Act’’. 

6 SEC. 2. DEVELOPMENT OF WIND AND SOLAR ENERGY ON 

7 FEDERAL LAND. 

8 (a) DEFINITIONS.—In this section: 


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1 (1) FEDERAL LAND.—The term ‘‘Federal land’’ 

2 means any Federal land under the administrative ju3 risdiction of the Bureau of Land Management or the 

4 Forest Service. 

5 (2) FUND.—The term ‘‘Fund’’ means the Re6 newable Energy Mitigation and Fish and Wildlife 

7 Fund established by section 3(b). 

8 (3) PILOT PROGRAM.—The term ‘‘pilot pro9 gram’’ means the wind and solar leasing pilot pro10 gram established under subsection (b). 

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

12 the Secretary of the Interior. 

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

14 within the boundaries of which income is derived 

15 under a lease issued under this section. 

16 (b) WIND AND SOLAR LEASING PILOT PROGRAM.— 

17 (1) IN GENERAL.—Not later than 180 days 

18 after the date of enactment of this Act, the Sec19 retary shall establish a wind and solar leasing pilot 

20 program for Federal land. 

21 (2) SELECTION OF SITES.— 

22 (A) IN GENERAL.—Not later than 90 days 

23 after the date on which the pilot program is es24 tablished, the Secretary shall select not fewer 

25 than 2 sites that are appropriate for the develVerDate Mar 15 2010 03:36 Jul 15, 2010 Jkt 089200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\H5735.IH H5735

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1 opment of a solar energy project, and not fewer 

2 than 2 sites that are appropriate for the devel3 opment of a wind energy project, on Federal 

4 land as part of the pilot program. 

5 (B) SITE SELECTION.—In carrying out 

6 subparagraph (A), the Secretary shall seek to 

7 select sites on Federal land— 

8 (i) for which there is likely to be a 

9 high level of industry interest; and 

10 (ii) that has comparatively low value 

11 for other resources. 

12 (C) EXCLUSIONS.—For purposes of this 

13 Act only, Federal land suitable for wind and 

14 solar development does not include— 

15 (i) any unit of the National Wildlife 

16 Refuge System; 

17 (ii) any component of the National 

18 Wild and Scenic Rivers System; 

19 (iii) any part of the National Land20 scape Conservation System; 

21 (iv) any designated wilderness area, 

22 wilderness study area, or other area man23 aged for wilderness characteristics; 

24 (v) any inventoried roadless area with25 in the National Forest System; 


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1 (vi) any National Historic Landmark; 

2 (vii) any National Historic District or 

3 an Archaeological District eligible for or 

4 listed in the National Register of Historic 

5 Places; or 

6 (viii) other sensitive land, as deter7 mined by the Secretary. 

8 (D) COORDINATION WITH COUNTIES.—In 

9 selecting sites under the pilot program, the Sec10 retary shall— 

11 (i) coordinate site selection activities 

12 with the county and State land manage13 ment and wildlife agencies in whose juris14 diction the Federal land is located; and 

15 (ii) take into consideration local land 

16 use planning and zoning requirements and 

17 recommendations. 

18 (3) CONSULTATION.—In establishing the pilot 

19 program and the wind or solar leasing programs 

20 under subsection (c), the Secretary shall consult 

21 with— 

22 (A) appropriate Federal agencies, including 

23 the Department of Defense; 

24 (B) affected States and counties; 

25 (C) Indian tribes; 


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1 (D) representatives of the wind and solar 

2 industries; 

3 (E) representatives of the environmental, 

4 conservation, and fish and wildlife conservation 

5 communities; 

6 (F) representatives of the motorized and 

7 nonmotorized outdoor recreation communities; 

8 (G) representatives of the ranching and ag9 ricultural communities; and 

10 (H) the public. 

11 (4) WIND AND SOLAR LEASE SALES.— 

12 (A) IN GENERAL.—Except as provided in 

13 subparagraph (C)(ii), not later than 180 days 

14 after the date on which sites are selected under 

15 paragraph (2), the Secretary shall offer each 

16 site for competitive leasing to qualified bidders 

17 under such terms and conditions as are re18 quired by the Secretary. 

19 (B) BIDDING SYSTEMS.—In offering the 

20 sites for lease, the Secretary— 

21 (i) may vary the bidding systems to be 

22 used at each lease sale; but 

23 (ii) shall limit bidding to 1 round in 

24 any lease sale. 

25 (C) LEASE TERMS.— 


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1 (i) IN GENERAL.—As part of the pilot 

2 program, the Secretary may vary the 

3 length of the lease terms and establish 

4 such other lease terms and conditions as 

5 the Secretary considers appropriate. 

6 (ii) DATA COLLECTION.—As part of 

7 the pilot program, the Secretary shall— 

8 (I) offer on a noncompetitive 

9 basis on at least 1 site a short-term 

10 lease for data collection; and 

11 (II) on the expiration of the 

12 short-term lease, offer on a competi13 tive basis a long-term lease, giving 

14 credit toward the bonus bid to the 

15 holder of the short-term lease for any 

16 qualified expenditures to collect data 

17 to develop the site during the short18 term lease. 

19 (D) QUALIFICATIONS.—Prior to any lease 

20 sale, the Secretary shall establish qualifications 

21 for bidders that ensures bidders— 

22 (i) are able to expeditiously develop a 

23 wind or solar energy project on the site for 

24 lease; and 

25 (ii) possess— 


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1 (I) financial resources necessary 

2 to complete a project; 

3 (II) knowledge of the applicable 

4 technology; and 

5 (III) such other qualifications as 

6 determined appropriate by the Sec7 retary. 

8 (5) COMPLIANCE WITH LAWS.—In offering for 

9 lease the selected sites under (4), the Secretary shall 

10 comply with all applicable environmental and other 

11 laws. 

12 (6) REPORT.—The Secretary shall— 

13 (A) compile a report of the results of each 

14 lease sale under the pilot program, including— 

15 (i) the level of competitive interest; 

16 (ii) a summary of bids and revenues 

17 received; and 

18 (iii) any other factors that may have 

19 impacted the lease sale process; and 

20 (B) not later than 90 days after the final 

21 lease sale, submit to the Committee on Energy 

22 and Natural Resources of the Senate and the 

23 Committee on Natural Resources of the House 

24 of Representatives the report described in sub25 paragraph (A). 


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1 (c) LEASING PROGRAM FOR WIND AND SOLAR EN2 ERGY.— 

3 (1) DETERMINATIONS.— 

4 (A) IN GENERAL.—Not later than 2 years 

5 after the date of enactment of this Act, the Sec6 retary shall determine whether to establish leas7 ing programs under this section for wind and 

8 solar energy. 

9 (B) REQUIREMENTS.—Not later than 180 

10 days after the date on which any determination 

11 under subparagraph (A) is made, the Secretary 

12 shall establish a leasing program if the Sec13 retary determines that the program— 

14 (i) is in the public interest; and 

15 (ii) provides an effective means of de16 veloping wind or solar energy on Federal 

17 land. 

18 (C) REPORT.—If the Secretary determines 

19 that a leasing program should not be estab20 lished, not later than 60 days after the date of 

21 the determination, the Secretary shall submit to 

22 the Committee on Energy and Natural Re23 sources of the Senate and the Committee on 

24 Natural Resources of the House of RepresentaVerDate Mar 15 2010 03:36 Jul 15, 2010 Jkt 089200 PO 00000 Frm 00008 Fmt 6652 Sfmt 6201 E:\BILLS\H5735.IH H5735

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1 tives a report describing the reasons and find2 ings for that determination. 

3 (2) LEASES FOR CERTAIN FEDERAL LAND.— 

4 (A) IN GENERAL.—If the Secretary makes 

5 the determination to establish a leasing pro6 gram under this section, except as provided in 

7 subparagraph (B) and pursuant to the Federal 

8 Land Policy and Management Act of 1976 (43 

9 U.S.C. 1701 et seq.) and the National Forest 

10 Management Act of 1976 (16 U.S.C. 1600 et 

11 seq.), the Secretary may develop policy and reg12 ulations for, and issue leases on, Federal land 

13 under the administrative jurisdiction of the Bu14 reau of Land Management and the Forest Serv15 ice. 

16 (B) EXCEPTION.—The Secretary may not 

17 issue any lease on National Forest System land 

18 under subparagraph (A) over the objection of 

19 the Secretary of Agriculture. 

20 (3) CONSULTATION AND CONSIDERATIONS.—In 

21 making the determinations required under this sub22 section, the Secretary shall— 

23 (A) consult with— 

24 (i) appropriate Federal agencies, in25 cluding the Department of Defense; 


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1 (ii) affected States and counties; 

2 (iii) Indian tribes; 

3 (iv) representatives of the wind and 

4 solar industry; 

5 (v) representatives of the environ6 mental, conservation, and fish and wildlife 

7 conservation communities; 

8 (vi) representatives of the motorized 

9 and nonmotorized outdoor recreation com10 munities; 

11 (vii) representatives of the ranching 

12 and agricultural communities; and 

13 (viii) the public; and 

14 (B) consider the results of the report pro15 vided under subsection (b)(6) and the results of 

16 the pilot program. 

17 (4) REQUIREMENTS.—If the Secretary deter18 mines under this subsection that a leasing program 

19 should be established, the program shall be carried 

20 out in accordance with subsections (d) through (i). 

21 (d) COMPETITIVE LEASES.— 

22 (1) IN GENERAL.—Except as provided in para23 graph (2), leases for wind or solar energy develop24 ment under this section shall be issued on a competiVerDate Mar 15 2010 03:36 Jul 15, 2010 Jkt 089200 PO 00000 Frm 00010 Fmt 6652 Sfmt 6201 E:\BILLS\H5735.IH H5735

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1 tive basis with a single round of bidding in any lease 

2 sale. 

3 (2) EXCEPTIONS.—Paragraph (1) shall not 

4 apply to Federal land if the Secretary determines 

5 that— 

6 (A) there is no competitive interest for the 

7 Federal land; 

8 (B) the public interest would not be served 

9 by the competitive issuance of a lease; 

10 (C) the lease is for the placement and op11 eration of a meteorological or data collection fa12 cility or for the development or demonstration 

13 of a new wind or solar technology and has a 

14 term of not more than 5 years; 

15 (D) meteorological testing tower or other 

16 data collection device has been installed under 

17 an approved easement, special-use permit, or 

18 right-of-way issued before the date of enact19 ment of this Act; or 

20 (E) the Federal land is eligible to be grant21 ed a noncompetitive lease under subsection 

22 (e)(3). 

23 (e) TRANSITION TO LEASING.— 

24 (1) IN GENERAL.—The Secretary shall continue 

25 to accept applications for rights-of-way, review the 


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1 applications, and provide for the issuance of rights2 of-way for the development of wind or solar energy 

3 on Federal land in accordance with each require4 ment described in title V of the Federal Land Policy 

5 and Management Act of 1976 (43 U.S.C. 1761 et 

6 seq.) during the pilot program and until the Sec7 retary determines to establish wind and solar leasing 

8 programs under subsection (c). 

9 (2) ADMINISTRATION.—If the Secretary deter10 mines under subsection (c) that a leasing program 

11 should be established, the Secretary shall provide for 

12 a reasonable transition from the use of rights-of-way 

13 to leases, taking into account paragraphs (3) and 

14 (4) and the status of the project, including wheth15 er— 

16 (A) rights-of-way for testing or construc17 tion have been granted; 

18 (B) a plan of development has been sub19 mitted; or 

20 (C) a draft environmental impact state21 ment has been published. 

22 (3) EXISTING RIGHTS-OF-WAY.— 

23 (A) IN GENERAL.—Effective beginning on 

24 the date on which the wind and solar leasing 

25 programs are established, the Secretary shall 


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1 not renew an existing right-of-way authorization 

2 for wind and solar energy development at the 

3 end of the term of the authorization. 

4 (B) LEASE.— 

5 (i) IN GENERAL.—Subject to clause 

6 (ii), at the end of the term of the right-of7 way authorization for the wind or solar en8 ergy project, the Secretary may grant, 

9 without a competitive process, a lease to 

10 the holder of the right-of-way for the same 

11 Federal land as was authorized under the 

12 right-of-way authorization. 

13 (ii) TERMS AND CONDITIONS.—Any 

14 lease described in clause (i) shall be sub15 ject to the terms and conditions generally 

16 applicable to other lease sales for similar 

17 projects at the time the lease is issued. 

18 (4) PENDING RIGHTS-OF-WAY.—Effective begin19 ning on the date on which the wind and solar leasing 

20 programs are established, the Secretary may provide 

21 any applicant that has filed a plan of development 

22 for a right-of-way for a wind or solar energy project 

23 with an option to acquire a noncompetitive lease, 

24 under such terms and conditions as are required by 


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1 this section and the Secretary, for the same Federal 

2 land included in the plan of development, if— 

3 (A) the plan of development has been de4 termined by the Secretary to be adequate for 

5 the initiation of environmental review; and 

6 (B) granting the lease is consistent with all 

7 applicable land use planning, environmental, 

8 and other laws. 

9 (f) REQUIREMENTS.—If the Secretary establishes a 

10 leasing program under subsection (c), the Secretary shall 

11 ensure that any activity under the wind and solar leasing 

12 program is carried out in a manner that— 

13 (1) is consistent with all applicable land use 

14 planning, environmental, and other laws; and 

15 (2) provides for— 

16 (A) safety; 

17 (B) protection of the environment; 

18 (C) prevention of waste; 

19 (D) diligent development of the resource, 

20 with specific milestones determined by the Sec21 retary; 

22 (E) coordination with applicable Federal 

23 agencies; 


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1 (F) use of best management practices, in2 cluding planning and practices for mitigation of 

3 impacts; 

4 (G) public notice and comment on any pro5 posal submitted for a lease under this section; 

6 (H) oversight, inspection, research, moni7 toring, and enforcement relating to a lease 

8 under this section; 

9 (I) protection of fish and wildlife habitat; 

10 and 

11 (J) efficient use of water resources. 

12 (g) LEASE DURATION, SUSPENSION, AND CANCELLA13 TION.— 

14 (1) IN GENERAL.—If the Secretary establishes 

15 a leasing program under subsection (c), subject to 

16 paragraph (2), the Secretary shall establish terms 

17 and conditions for the duration, issuance, transfer, 

18 renewal, suspension, and cancellation of a lease 

19 under this section. 

20 (2) MINIMUM TERM.—A wind or solar project 

21 with a total capacity of 100 megawatts or more shall 

22 be leased for not less than 30 years under this sec23 tion. 


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1 (h) SECURITY.—If the Secretary establishes a leasing 

2 program under subsection (c), the Secretary shall require 

3 the holder of a lease issued under this section— 

4 (1) to furnish a reclamation bond or other form 

5 of security determined to be appropriate by the Sec6 retary; 

7 (2) on completion of the activities authorized by 

8 the lease— 

9 (A) to restore the Federal land that is sub10 ject to the lease to the condition in which the 

11 Federal land existed before the lease was grant12 ed; or 

13 (B) to conduct mitigation activities (or 

14 payment of funds to be transferred to the Fund 

15 in lieu of the activities) if the Secretary deter16 mines that restoration of the Federal land to 

17 the condition described in subparagraph (A) is 

18 impracticable; and 

19 (3) to comply with such other requirements as 

20 the Secretary considers necessary to protect the in21 terests of the public and the United States. 

22 (i) BEST MANAGEMENT PRACTICES.—The Secretary 

23 shall— 

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1 sponsible development of wind and solar resources 

2 on the Federal land in a manner that will minimize 

3 consumptive water use, and avoid, minimize, and 

4 mitigate actual and anticipated impacts to fish and 

5 wildlife habitat and ecosystem function, resulting 

6 from development under a lease issued under this 

7 section; and 

8 (2) include— 

9 (A) provisions in the lease requiring renew10 able energy operators to comply with the prac11 tices established under paragraph (1); and 

12 (B) such other provisions as the Secretary 

13 considers appropriate. 

14 (j) PAYMENTS.— 

15 (1) IN GENERAL.—The Secretary shall establish 

16 royalties, fees, rentals, bonuses, or other payments 

17 to ensure a fair return to the United States, States, 

18 and counties for any right-of-way or lease issued for 

19 a wind or solar project on Federal land. 

20 (2) COLLECTION OF PAYMENTS.— 

21 (A) IN GENERAL.—Prior to the collection 

22 of royalties under paragraph (4), the Secretary 

23 shall collect payments for wind and solar 

24 projects in accordance with section 504(g) of 


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1 the Federal Land Policy and Management Act 

2 of 1976 (43 U.S.C. 1764(g)). 

3 (B) EXCEPTION.—Wind or solar energy 

4 leases issued under this section shall not be 

5 subject to the rental fee exemption for rights6 of-way under section 504(g) of the Federal 

7 Land Policy and Management Act of 1976 (43 

8 U.S.C. 1764(g)). 

9 (3) BONUS BIDS.—The Secretary may grant 

10 credit toward any bonus bid for a qualified expendi11 ture by the holder of a lease described in subsection 

12 (d)(2)(C) in any competitive lease sale held for a 

13 long-term lease covering the same Federal land cov14 ered by the lease described in subsection (d)(2)(C). 

15 (4) ROYALTIES.—Except as provided in para16 graph (6), the Secretary shall develop and enforce a 

17 royalty on electricity produced by wind and solar 

18 projects on Federal land that— 

19 (A) encourages production of wind or solar 

20 energy; 

21 (B) encourages the maximum energy gen22 eration using the least quantity of Federal land 

23 and other natural resources, including water; 

24 (C) ensures a fair return (comparable to 

25 the return that would be obtained on State and 


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1 private land) to the public, States, and counties 

2 eligible to receive a portion of the revenues 

3 under section 3(a); and 

4 (D) encourages the use of energy storage 

5 technologies that increase the capacity factor of 

6 wind or solar energy generation facilities. 

7 (5) RULEMAKING.—Not later than 1 year after 

8 the date of enactment of this Act, the Secretary 

9 shall complete a rulemaking for wind energy and 

10 solar energy royalty rates. 

11 (6) ROYALTY RELIEF.—Subject to paragraph 

12 (2)(B), to promote the greatest generation of renew13 able energy, the Secretary may, until fiscal year 

14 2040, provide that no royalty or a reduced royalty 

15 is required for a period not to exceed 5 years begin16 ning on the date on which wind or solar generation 

17 is initially commenced on the Federal land. 

18 (k) SEGREGATION FROM APPROPRIATION UNDER

19 MINING AND FEDERAL LAND LAWS.— 

20 (1) IN GENERAL.—On selection of Federal land 

21 for leasing under this section, the Secretary may 

22 temporarily segregate the selected Federal land from 

23 appropriation under the mining and public land 

24 laws. 


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1 (2) ADMINISTRATION.—Segregation of Federal 

2 land under this subsection— 

3 (A) may only be made for a period of not 

4 to exceed 10 years; and 

5 (B) shall be subject to valid existing rights 

6 as of the date of the segregation. 

7 SEC. 3. DISPOSITION OF REVENUE. 

8 (a) DISTRIBUTION OF PROCEEDS AND PAYMENTS.— 

9 (1) IN GENERAL.—Effective beginning on the 

10 date of enactment of this Act, all amounts collected 

11 by the Secretary as royalties, fees, rentals, bonuses, 

12 or other payments for wind and solar projects on 

13 Federal land, including any fees associated with 

14 wind and solar energy rights-of-way, shall be distrib15 uted as follows: 

16 (A) 25 percent shall be paid by the Sec17 retary of the Treasury to the State within the 

18 boundaries of which the income is derived. 

19 (B) 25 percent shall be paid by the Sec20 retary of the Treasury to the 1 or more coun21 ties within the boundaries of which the income 

22 is derived. 

23 (C) 15 percent shall— 

24 (i) for the period beginning on the 

25 date of enactment of this Act and ending 


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1 on the date specified in clause (ii), be de2 posited in the Treasury of the United 

3 States to help facilitate the processing of 

4 renewable energy permits by the Bureau of 

5 Land Management, subject to paragraph 

6 (2)(A)(i), including the transfer of the 

7 funds by the Bureau of Land Management 

8 to other Federal and State agencies to fa9 cilitate the processing of renewable energy 

10 permits on Federal land; and 

11 (ii) beginning on the date that is 10 

12 years after the date of enactment of this 

13 Act, be deposited in the Fund. 

14 (D) 35 percent shall be deposited in the 

15 Fund. 

16 (2) LIMITATIONS.— 

17 (A) RENEWABLE ENERGY PERMITS.—For 

18 purposes of clause (i) of paragraph (1)(C): 

19 (i) Not more than $50,000,000 shall 

20 be deposited in the Treasury at any 1 time 

21 under that clause. 

22 (ii) The following shall be deposited in 

23 the Fund: 

24 (I) Any amounts collected under 

25 that subclause that are not obligated 


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1 by the date specified in paragraph 

2 (1)(C)(ii). 

3 (II) Any amounts that exceed the 

4 $50,000,000 deposit limit under 

5 clause (i). 

6 (III) Any amounts provided by 

7 the lease holder pursuant to section 

8 2(h)(2)(B). 

9 (B) FUND.—Any amounts deposited in the 

10 Fund under subparagraph (A)(ii) or paragraph 

11 (1)(C)(ii) shall be in addition to amounts depos12 ited in the Fund under paragraph (1)(D). 

13 (3) AVAILABILITY OF FUNDS.—Funds under 

14 this subsection shall be available for expenditure 

15 without further appropriation and without fiscal 

16 year limitation. 

17 (b) RENEWABLE ENERGY MITIGATION AND FISH

18 AND WILDLIFE FUND.— 

19 (1) ESTABLISHMENT.—There is established in 

20 the Treasury of the United States a fund, to be 

21 known as the ‘‘Renewable Energy Mitigation and 

22 Fish and Wildlife Fund’’, to be administered by the 

23 Secretary, for use in the State. 

24 (2) USE OF FUNDS.—Amounts in the Fund 

25 shall be available to the Secretary, who may make 


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1 the amounts available to the State, Federal agencies, 

2 or other interested parties for the purposes of— 

3 (A) mitigating impacts of renewable energy 

4 on Federal land, including— 

5 (i) protecting fish and wildlife cor6 ridors and other sensitive land; 

7 (ii) restoring fish and wildlife habitat; 

8 and 

9 (iii) securing recreational access to 

10 Federal land through easement, right of 

11 way, or fee title acquisition from willing 

12 sellers for the purpose of providing en13 hanced public access to existing Federal 

14 land that is inaccessible or significantly re15 stricted; and 

16 (B) carrying out activities authorized 

17 under the Land and Water Conservation Fund 

18 Act of 1965 (16 U.S.C. 460l–4 et seq.) in the 

19 State. 

20 (3) AVAILABILITY OF AMOUNTS.—Amounts in 

21 the Fund shall be available for expenditure, in ac22 cordance with this subsection, without further appro23 priation, and without fiscal year limitation. 

24 (4) INVESTMENT OF FUND.— 


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1 (A) IN GENERAL.—Any amounts deposited 

2 in the Fund shall earn interest in an amount 

3 determined by the Secretary of the Treasury on 

4 the basis of the current average market yield on 

5 outstanding marketable obligations of the 

6 United States of comparable maturities. 

7 (B) USE.—Any interest earned under sub8 paragraph (A) may be expended in accordance 

9 with this subsection. 

Æ 


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