II 

110TH CONGRESS 

2D SESSION S. 3146 

To authorize the exploration of oil and natural gas in coastal areas to 

reduce the dependence of the United States on foreign energy sources, 

and to reduce gasoline and natural gas prices. 

IN THE SENATE OF THE UNITED STATES 

JUNE 18, 2008 

Mr. VITTER introduced the following bill; which was read twice and referred 

to the Committee on Energy and Natural Resources 

A BILL 

To authorize the exploration of oil and natural gas in coastal 

areas to reduce the dependence of the United States 

on foreign energy sources, and to reduce gasoline and 

natural gas prices. 

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 ‘‘Energy Needed Off5 shore Under Gas Hikes Act’’. 

6 SEC. 2. OIL AND NATURAL GAS LEASING IN NEW PRO7 DUCING AREAS. 

8 (a) DEFINITIONS.—In this section: 


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1 (1) ELIGIBLE PRODUCING STATE.—The term 

2 ‘‘eligible producing State’’ means— 

3 (A) a new producing State; and 

4 (B) any other producing State that has, 

5 within the offshore administrative boundaries 

6 beyond the submerged land of a State, areas 

7 available for oil leasing, natural gas leasing, or 

8 both. 

9 (2) NEW PRODUCING AREA.—The term ‘‘new 

10 producing area’’ means an area that is— 

11 (A) within the offshore administrative 

12 boundaries beyond the submerged land of a 

13 State; and 

14 (B) not available for oil or natural gas 

15 leasing as of the date of enactment of this Act. 

16 (3) NEW PRODUCING STATE.—The term ‘‘new 

17 producing State’’ means a State with respect to 

18 which a petition has been approved by the Secretary 

19 under subsection (b). 

20 (4) QUALIFIED REVENUES.—The term ‘‘quali21 fied revenues’’ means all rentals, royalties, bonus 

22 bids, and other sums due and payable to the United 

23 States from leases entered into on or after the date 

24 of enactment of this Act for new producing areas. 


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1 (5) SECRETARY.—The term ‘‘Secretary’’ means 

2 the Secretary of the Interior. 

3 (b) PETITION FOR LEASING NEW PRODUCING

4 AREAS.— 

5 (1) IN GENERAL.—Notwithstanding any other 

6 provision of law, during any period in which the 

7 price per gallon of regular gasoline is equal to or 

8 greater than $5, the Governor of a State, with the 

9 concurrence of the State legislature, may submit to 

10 the Secretary a petition requesting that the Sec11 retary make a new producing area of the State eligi12 ble for oil leasing, gas leasing, or both, as deter13 mined by the State, in accordance with the Outer 

14 Continental Shelf Lands Act (43 U.S.C. 1331 et 

15 seq.) and the Mineral Leasing Act (30 U.S.C. 181 

16 et seq.). 

17 (2) NATURAL GAS LEASING ONLY.—The Gov18 ernor of a State, with the concurrence of the State 

19 legislature, may, in a petition submitted under para20 graph (1), make a request to allow natural gas leas21 ing only. 

22 (3) ACTION BY SECRETARY.—As soon as prac23 ticable after the date on which the Secretary receives 

24 a petition under paragraph (1), the Secretary shall 

25 approve or disapprove the petition. 


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1 (c) DISPOSITION OF QUALIFIED OUTER CONTI2 NENTAL SHELF REVENUES FROM ELIGIBLE PRODUCING

3 STATES.—Notwithstanding section 9 of the Outer Conti4 nental Shelf Lands Act (43 U.S.C. 1338), for each appli5 cable fiscal year, the Secretary of the Treasury shall de6 posit— 

7 (1) 45 percent of qualified revenues in the gen8 eral fund of the Treasury; and 

9 (2) 55 percent of qualified revenues in a special 

10 account in the Treasury, from which the Secretary 

11 shall disburse— 

12 (A) 37.5 percent to eligible producing 

13 States for new producing areas, to be allocated 

14 in accordance with subsection (d)(1); 

15 (B) 12.5 percent to provide financial as16 sistance to States in accordance with section 6 

17 of the Land and Water Conservation Fund Act 

18 of 1965 (16 U.S.C. 460l–8); and 

19 (C) 5 percent to States for historic off20 shore production distribution. 

21 (d) ALLOCATION TO ELIGIBLE PRODUCING

22 STATES.— 

23 (1) IN GENERAL.—The amount made available 

24 under subsection (c)(2)(A) shall be allocated to eligi25 ble producing States in amounts (based on a forVerDate Aug 31 2005 05:21 Jun 19, 2008 Jkt 069200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\S3146.IS S3146

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1 mula established by the Secretary by regulation) 

2 that are inversely proportional to the respective dis3 tances between the point on the coastline of each eli4 gible producing State that is closest to the geo5 graphic center of the applicable leased tract and the 

6 geographic center of the leased tract, as determined 

7 by the Secretary. 

8 (2) USE.—Amounts allocated to an eligible pro9 ducing State under paragraph (1) shall be used to 

10 address the impacts of any oil and natural gas ex11 ploration and production activities under this sec12 tion. 

13 (e) EFFECT.—Nothing in this section affects— 

14 (1) the amount of funds otherwise dedicated to 

15 the land and water conservation fund established 

16 under section 2 of the Land and Water Conservation 

17 Fund Act of 1965 (16 U.S.C. 460l–5); or 

18 (2) any authority that permits energy produc19 tion under any other provision of law. 

Æ 


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