IB 

Union Calendar No. 332 

111TH CONGRESS 

2D SESSION H. R. 3534 

[Report No. 111–575, Part I] 

To provide greater efficiencies, transparency, returns, and accountability in 

the administration of Federal mineral and energy resources by consolidating administration of various Federal energy minerals management 

and leasing programs into one entity to be known as the Office of 

Federal Energy and Minerals Leasing of the Department of the Interior, 

and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

SEPTEMBER 8, 2009 

Mr. RAHALL introduced the following bill; which was referred to the 

Committee on Natural Resources 

JULY 28, 2010 

Reported with an amendment, committed to the Committee of the Whole 

House on the State of the Union, and ordered to be printed 

[Strike out all after the enacting clause and insert the part printed in italic] 

JULY 28, 2010 

Referred to the Committee on Agriculture for a period ending not later than 

July 28, 2010, for consideration of such provisions of the bill and amendments as fall within the jurisdiction of that committee pursuant to clause 

1(a), rule X 

JULY 28, 2010 

Committee on Agriculture discharged; committed to the Committee of the 

Whole House on the State of the Union and ordered to be printed 

[For text of introduced bill, see copy of bill as introduced on September 8, 2009] 


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A BILL 

To provide greater efficiencies, transparency, returns, and 

accountability in the administration of Federal mineral 

and energy resources by consolidating administration of 

various Federal energy minerals management and leasing 

programs into one entity to be known as the Office 

of Federal Energy and Minerals Leasing of the Department of the Interior, and for other purposes. 


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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; TABLE OF CONTENTS. 

4 (a) SHORT TITLE.—This Act may be cited as the 

5 ‘‘Consolidated Land, Energy, and Aquatic Resources Act of 

6 2010’’. 

7 (b) TABLE OF CONTENTS.—The table of contents for 

8 this Act is as follows: 

Sec. 1. Short title; table of contents. 

Sec. 2. Definitions. 

TITLE I—CREATION OF NEW DEPARTMENT OF THE INTERIOR 

AGENCIES 

Sec. 101. Bureau of Energy and Resource Management. 

Sec. 102. Bureau of Safety and Environmental Enforcement. 

Sec. 103. Office of Natural Resources Revenue. 

Sec. 104. Ethics. 

Sec. 105. References. 

Sec. 106. Abolishment of Minerals Management Service. 

Sec. 107. Conforming amendment. 

Sec. 108. Outer Continental Shelf Safety and Environmental Advisory Board. 

TITLE II—FEDERAL OIL AND GAS DEVELOPMENT 

Subtitle A—Safety, Environmental, and Financial Reform of the Outer 

Continental Shelf Lands Act 

Sec. 201. Short title. 

Sec. 202. Definitions. 

Sec. 203. National policy for the Outer Continental Shelf. 

Sec. 204. Jurisdiction of laws on the Outer Continental Shelf. 

Sec. 205. Outer Continental Shelf leasing standard. 

Sec. 206. Leases, easements, and rights-of-way. 

Sec. 207. Disposition of revenues. 

Sec. 208. Exploration plans. 

Sec. 209. Outer Continental Shelf leasing program. 

Sec. 210. Environmental studies. 

Sec. 211. Safety regulations. 

Sec. 212. Enforcement of safety and environmental regulations. 

Sec. 213. Judicial review. 

Sec. 214. Remedies and penalties. 

Sec. 215. Uniform planning for Outer Continental Shelf. 

Sec. 216. Oil and gas information program. 

Sec. 217. Limitation on royalty-in-kind program. 

Sec. 218. Restrictions on employment. 

Sec. 219. Repeal of royalty relief provisions. 


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Sec. 220. Manning and buy- and build-American requirements. 

Sec. 221. National Commission on Outer Continental Shelf Oil Spill Prevention. 

Subtitle B—Safety, Environmental, and Financial Reform of the Federal 

Onshore Oil and Gas Leasing Program 

Sec. 231. Diligent development. 

Sec. 232. Reporting requirements. 

Sec. 233. Notice requirements. 

Sec. 234. Oil and gas leasing system. 

Sec. 235. Electronic reporting. 

Sec. 236. Best management practices. 

Sec. 237. Surface disturbance, reclamation. 

Sec. 238. Wildlife sustainability. 

Sec. 239. Online availability to the public of information relating to oil and gas 

chemical use. 

Sec. 240. Limitation on royalty–in-kind program. 

Sec. 241. Environmental review. 

Sec. 242. Federal lands uranium leasing. 

Subtitle C—Royalty Relief for American Consumers 

Sec. 251. Short title. 

Sec. 252. Eligibility for new leases and the transfer of leases. 

Sec. 253. Price thresholds for royalty suspension provisions. 

TITLE III—OIL AND GAS ROYALTY REFORM 

Sec. 301. Amendments to definitions. 

Sec. 302. Compliance reviews. 

Sec. 303. Clarification of liability for royalty payments. 

Sec. 304. Required recordkeeping. 

Sec. 305. Fines and penalties. 

Sec. 306. Interest on overpayments. 

Sec. 307. Adjustments and refunds. 

Sec. 308. Conforming amendment. 

Sec. 309. Obligation period. 

Sec. 310. Notice regarding tolling agreements and subpoenas. 

Sec. 311. Appeals and final agency action. 

Sec. 312. Assessments. 

Sec. 313. Collection and production accountability. 

Sec. 314. Natural gas reporting. 

Sec. 315. Penalty for late or incorrect reporting of data. 

Sec. 316. Required recordkeeping. 

Sec. 317. Shared civil penalties. 

Sec. 318. Applicability to other minerals. 

Sec. 319. Entitlements. 

TITLE IV—FULL FUNDING FOR THE LAND AND WATER 

CONSERVATION AND HISTORIC PRESERVATION FUNDS 

Subtitle A—Land and Water Conservation Fund 

Sec. 401. Amendments to the Land and Water Conservation Fund Act of 1965. 

Sec. 402. Extension of the Land and Water Conservation Fund. 

Sec. 403. Permanent funding. 


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Subtitle B—National Historic Preservation Fund 

Sec. 411. Permanent funding. 

TITLE V—ALTERNATIVE ENERGY DEVELOPMENT 

Sec. 501. Commercial wind and solar leasing program. 

Sec. 502. Land management. 

Sec. 503. Revenues. 

Sec. 504. Recordkeeping and reporting requirements. 

Sec. 505. Audits. 

Sec. 506. Trade secrets. 

Sec. 507. Interest and substantial underreporting assessments. 

Sec. 508. Indian savings provision. 

Sec. 509. Transmission savings provision. 

TITLE VI—COORDINATION AND PLANNING 

Sec. 601. Regional coordination. 

Sec. 602. Regional Coordination Councils. 

Sec. 603. Regional strategic plans. 

Sec. 604. Regulations. 

Sec. 605. Ocean Resources Conservation and Assistance Fund. 

Sec. 606. Waiver. 

TITLE VII—MISCELLANEOUS PROVISIONS 

Sec. 701. Repeal of certain taxpayer subsidized royalty relief for the oil and gas 

industry. 

Sec. 702. Conservation fee. 

Sec. 703. Leasing on Indian lands. 

Sec. 704. Offshore aquaculture clarification. 

Sec. 705. Outer Continental Shelf State boundaries. 

Sec. 706. Liability for damages to national wildlife refuges. 

Sec. 707. Strengthening coastal State oil spill planning and response. 

Sec. 708. Information sharing. 

Sec. 709. Repeal of funding. 

Sec. 710. Limitation on use of funds. 

Sec. 711. Additional public-right-to-know requirements. 

Sec. 712. Federal response to State proposals to protect State lands and waters. 

TITLE VIII—GULF OF MEXICO RESTORATION 

Sec. 801. Gulf of Mexico restoration program. 

TITLE IX—GEOTHERMAL PRODUCTION EXPANSION 

Sec. 901. Short title. 

Sec. 902. Findings. 

Sec. 903. Noncompetitive leasing of adjoining areas for development of geothermal 

resources. 

1 SEC. 2. DEFINITIONS. 

2 For the purposes of this Act: 


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1 (1) ADMINISTRATOR.—The term ‘‘Adminis2 trator’’ means the Administrator of the National Oce3 anic and Atmospheric Administration. 

4 (2) AFFECTED INDIAN TRIBE.—The term ‘‘af5 fected Indian tribe’’ means an Indian tribe that has 

6 federally reserved rights that are affirmed by treaty, 

7 statute, Executive order, Federal court order, or other 

8 Federal law in the area at issue. 

9 (3) ALTERNATIVE ENERGY.—The term ‘‘alter10 native energy’’ means electricity generated by a re11 newable energy resource. 

12 (4) COASTAL STATE.—The term ‘‘coastal State’’ 

13 has the meaning given the term ‘‘coastal state’’ in sec14 tion 304 of the Coastal Zone Management Act of 1972 

15 (16 U.S.C. 1453). 

16 (5) DEPARTMENT.—The term ‘‘Department’’ 

17 means the Department of the Interior, except as the 

18 context indicates otherwise. 

19 (6) ECOSYSTEM-BASED MANAGEMENT.—The term 

20 ‘‘ecosystem-based management’’ means an integrated 

21 approach to management that— 

22 (A) considers the entire ecosystem, including 

23 humans, and accounts for interactions among 

24 the ecosystem, the range of activities affecting the 


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1 ecosystem, and the management of such activi2 ties; 

3 (B) aims to maintain ecosystems in a 

4 healthy, productive, sustainable, and resilient 

5 condition so that they can provide the services 

6 humans want and need; 

7 (C) emphasizes the protection of ecosystem 

8 structure, function, patterns, and important 

9 processes; 

10 (D) considers the impacts, including cumu11 lative impacts, of the range of activities affecting 

12 an ecosystem that fall within geographical 

13 boundaries of the ecosystem; 

14 (E) explicitly accounts for the interconnect15 edness within an ecosystem, such as food webs, 

16 and acknowledges the interconnectedness among 

17 systems, such as between air, land, and sea; and 

18 (F) integrates ecological, social, economic, 

19 cultural, and institutional perspectives, recog20 nizing their strong interdependencies. 

21 (7) FEDERAL LAND MANAGEMENT AGENCY.—The 

22 term ‘‘Federal land management agency’’ means— 

23 (A) the Bureau of Land Management; 

24 (B) the Forest Service; 


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1 (C) the United States Fish and Wildlife 

2 Service; and 

3 (D) the National Park Service. 

4 (8) FUNCTION.—The term ‘‘function’’ includes 

5 authorities, powers, rights, privileges, immunities, 

6 programs, projects, activities, duties, and responsibil7 ities. 

8 (9) IMPORTANT ECOLOGICAL AREA.—The term 

9 ‘‘important ecological area’’ means an area that con10 tributes significantly to local or larger marine eco11 system health or is an especially unique or sensitive 

12 marine ecosystem. 

13 (10) INDIAN LAND.—The term ‘‘Indian land’’ 

14 has the meaning given the term in section 502(a) of 

15 title V of Public Law 109–58 (25 U.S.C. 3501(2)). 

16 (11) MARINE ECOSYSTEM HEALTH.—The term 

17 ‘‘marine ecosystem health’’ means the ability of an 

18 ecosystem in ocean and coastal waters to support and 

19 maintain patterns, important processes, and produc20 tive, sustainable, and resilient communities of orga21 nisms, having a species composition, diversity, and 

22 functional organization resulting from the natural 

23 habitat of the region, such that it is capable of sup24 porting a variety of activities and providing a com25 plete range of ecological benefits. Such an ecosystem 


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1 would be characterized by a variety of factors, includ2 ing— 

3 (A) a complete diversity of native species 

4 and habitat wherein each native species is able 

5 to maintain an abundance, population structure, 

6 and distribution supporting its ecological and 

7 evolutionary functions, patterns, and processes; 

8 and 

9 (B) a physical, chemical, geological, and 

10 microbial environment that is necessary to 

11 achieve such diversity. 

12 (12) MINERAL.—The term ‘‘mineral’’ has the 

13 same meaning that the term ‘‘minerals’’ has in sec14 tion 2(q) of the Outer Continental Shelf Lands Act 

15 (43 U.S.C. 1331(q)). 

16 (13) NONRENEWABLE ENERGY RESOURCE.—The 

17 term ‘‘nonrenewable energy resource’’ means oil and 

18 natural gas. 

19 (14) OPERATOR.—The term ‘‘operator’’ means— 

20 (A) the lessee; or 

21 (B) a person designated by the lessee as 

22 having control or management of operations on 

23 the leased area or a portion thereof, who is— 


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1 (i) approved by the Secretary, acting 

2 through the Bureau of Energy and Resource 

3 Management; or 

4 (ii) the holder of operating rights 

5 under an assignment of operating rights 

6 that is approved by the Secretary, acting 

7 through the Bureau of Energy and Resource 

8 Management. 

9 (15) OUTER CONTINENTAL SHELF.—The term 

10 ‘‘Outer Continental Shelf’’ has the meaning that the 

11 term ‘‘outer Continental Shelf’’ has in the Outer Con12 tinental Shelf Lands Act (43 U.S.C. 1331 et seq.). 

13 (16) PUBLIC LAND STATE.—The term ‘‘public 

14 land State’’ means— 

15 (A) each of the eleven contiguous Western 

16 States (as that term is defined in section 103 of 

17 the Federal Land Policy and Management Act of 

18 1976 (43 U.S.C. 1702)); and 

19 (B) Alaska. 

20 (17) REGIONAL OCEAN PARTNERSHIP.—The term 

21 ‘‘Regional Ocean Partnership’’ means voluntary, col22 laborative management initiatives developed and en23 tered into by the Governors of two or more coastal 

24 States or created by an interstate compact for the 

25 purpose of addressing more than one ocean, coastal, 


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1 or Great Lakes issue and to implement policies and 

2 activities identified under special area management 

3 plans under the Coastal Zone Management Act of 

4 1972 (16 U.S.C. 1451 et seq.) or other agreements de5 veloped and signed by the Governors. 

6 (18) RENEWABLE ENERGY RESOURCE.—The 

7 term ‘‘renewable energy resource’’ means each of the 

8 following: 

9 (A) Wind energy. 

10 (B) Solar energy. 

11 (C) Geothermal energy. 

12 (D) Biomass or landfill gas. 

13 (E) Marine and hydrokinetic renewable en14 ergy, as that term is defined in section 632 of the 

15 Energy Independence and Security Act of 2007 

16 (42 U.S.C. 17211). 

17 (19) SECRETARIES.—The term ‘‘Secretaries’’ 

18 means the Secretary of the Interior and the Secretary 

19 of Commerce. 

20 (20) SECRETARY.—The term ‘‘Secretary’’ means 

21 the Secretary of the Interior, except as otherwise pro22 vided in this Act. 

23 (21) SURFACE USE PLAN OF OPERATIONS.—The 

24 term ‘‘surface use plan of operations’’ means a plan 

25 for surface use, disturbance, and reclamation of FedVerDate Mar 15 2010 22:50 Jul 28, 2010 Jkt 089200 PO 00000 Frm 00011 Fmt 6652 Sfmt 6203 E:\BILLS\H3534.RH H3534

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1 eral lands for energy development that is submitted 

2 by a lessee and approved by the relevant land man3 agement agency. 

4 (22) TERMS DEFINED IN OTHER LAW.—Each of 

5 the terms ‘‘Federal land’’, ‘‘lease’’, ‘‘lease site’’, and 

6 ‘‘mineral leasing law’’ has the meaning that term has 

7 under the Federal Oil and Gas Royalty Management 

8 Act of 1982 (30 U.S.C. 1701 et seq.), except that such 

9 terms shall also apply to all minerals and renewable 

10 energy resources in addition to oil and gas. 

11 (23) TRIBE.—The term ‘‘tribe’’ has the same 

12 meaning as the term ‘‘Indian tribe’’ has in section 4 

13 of the Indian Self-Determination and Education As14 sistance Act (25 U.S.C. 450b). 

15 TITLE I—CREATION OF NEW DE16 PARTMENT OF THE INTERIOR 

17 AGENCIES 

18 SEC. 101. BUREAU OF ENERGY AND RESOURCE MANAGE19 MENT. 

20 (a) ESTABLISHMENT.—There is established in the De21 partment of the Interior a Bureau of Energy and Resource 

22 Management (referred to in this section as the ‘‘Bureau’’) 

23 to be headed by a Director of Energy and Resource Manage24 ment (referred to in this section as the ‘‘Director’’). 

25 (b) DIRECTOR.— 


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1 (1) APPOINTMENT.—The Director shall be ap2 pointed by the President, by and with the advice and 

3 consent of the Senate, on the basis of— 

4 (A) professional background, demonstrated 

5 competence, and ability; and 

6 (B) capacity to— 

7 (i) administer the provisions of this 

8 Act; and 

9 (ii) ensure that the fiduciary duties of 

10 the United States Government on behalf of 

11 the people of the United States, as they re12 late to development of nonrenewable and re13 newable energy and mineral resources, are 

14 duly met. 

15 (2) COMPENSATION.—The Director shall be com16 pensated at the rate provided for Level V of the Exec17 utive Schedule under section 5316 of title 5, United 

18 States Code. 

19 (c) DUTIES.— 

20 (1) IN GENERAL.—Except as provided in para21 graph (4), the Secretary shall carry out through the 

22 Bureau all functions, powers, and duties vested in the 

23 Secretary relating to the administration of a com24 prehensive program of nonrenewable and renewable 

25 energy and mineral resources management— 


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1 (A) on the Outer Continental Shelf, pursu2 ant to the Outer Continental Shelf Lands Act as 

3 amended by this Act (43 U.S.C. 1331 et seq.); 

4 (B) on Federal public lands, pursuant to 

5 the Mineral Leasing Act (30 U.S.C. 181 et seq.) 

6 and the Geothermal Steam Act of 1970 (30 

7 U.S.C. 1001 et seq.); 

8 (C) on acquired Federal lands, pursuant to 

9 the Mineral Leasing Act for Acquired Lands (30 

10 U.S.C. 351 et seq.) and the Geothermal Steam 

11 Act of 1970 (30 U.S.C. 1001 et seq.); 

12 (D) in the National Petroleum Reserve in 

13 Alaska, pursuant to the Naval Petroleum Re14 serves Production Act of 1976 (42 U.S.C. 6501 

15 et seq.); 

16 (E) on any Federal land pursuant to any 

17 mineral leasing law; and 

18 (F) pursuant to this Act and all other ap19 plicable Federal laws, including the administra20 tion and approval of all instruments and agree21 ments required to ensure orderly, safe, and envi22 ronmentally responsible nonrenewable and re23 newable energy and mineral resources develop24 ment activities. 


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1 (2) SPECIFIC AUTHORITIES.—The Director shall 

2 promulgate and implement regulations for the proper 

3 issuance of leases for the exploration, development, 

4 and production of nonrenewable and renewable en5 ergy and mineral resources, and for the issuance of 

6 permits under such leases, on the Outer Continental 

7 Shelf and lands managed by the Bureau of Land 

8 Management, the Forest Service, or any other Federal 

9 land management agency, including regulations relat10 ing to resource identification, access, evaluation, and 

11 utilization. 

12 (3) INDEPENDENT ENVIRONMENTAL SCIENCE.— 

13 (A) IN GENERAL.—The Secretary shall cre14 ate an independent office within the Bureau 

15 that— 

16 (i) shall report to the Director; 

17 (ii) shall be programmatically separate 

18 and distinct from the leasing and permit19 ting activities of the Bureau; and 

20 (iii) shall— 

21 (I) carry out the environmental 

22 studies program under section 20 of 

23 the Outer Continental Shelf Lands Act 

24 (43 U.S.C. 1346); 


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1 (II) conduct any environmental 

2 analyses necessary for the programs 

3 administered by the Bureau; and 

4 (III) carry out other functions as 

5 deemed necessary by the Secretary. 

6 (B) CONSULTATION.—Studies and analyses 

7 carried out by the office created under subpara8 graph (A) shall be conducted in appropriate and 

9 timely consultation with other relevant Federal 

10 agencies, including— 

11 (i) the Bureau of Safety and Environ12 mental Enforcement; 

13 (ii) the United States Fish and Wild14 life Service; 

15 (iii) the United States Geological Sur16 vey; and 

17 (iv) the National Oceanic and Atmos18 pheric Administration. 

19 (4) LIMITATION.—The Secretary shall not carry 

20 out through the Bureau any function, power, or duty 

21 that is— 

22 (A) required by section 102 to be carried 

23 out through Bureau of Safety and Environ24 mental Enforcement; or 


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1 (B) required by section 103 to be carried 

2 out through the Office of Natural Resources Rev3 enue. 

4 (d) COMPREHENSIVE DATA AND ANALYSES ON OUTER

5 CONTINENTAL SHELF RESOURCES.— 

6 (1) IN GENERAL.— 

7 (A) PROGRAMS.—The Director shall develop 

8 and carry out programs for the collection, eval9 uation, assembly, analysis, and dissemination of 

10 data and information that is relevant to car11 rying out the duties of the Bureau, including 

12 studies under section 20 of the Outer Continental 

13 Shelf Lands Act (43 U.S.C. 1346). 

14 (B) USE OF DATA AND INFORMATION.—The 

15 Director shall, in carrying out functions pursu16 ant to the Outer Continental Lands Act (43 

17 U.S.C. 1331 et seq.), consider data and informa18 tion referred to in subparagraph (A) which shall 

19 inform the management functions of the Bureau, 

20 and shall contribute to a broader coordination of 

21 development activities within the contexts of the 

22 best available science and marine spatial plan23 ning. 


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1 (2) INTERAGENCY COOPERATION.—In carrying 

2 out programs under this subsection, the Bureau 

3 shall— 

4 (A) utilize the authorities of subsection (g) 

5 and (h) of section 18 of the Outer Continental 

6 Shelf Lands Act (43 U.S.C. 1344); 

7 (B) cooperate with appropriate offices in 

8 the Department and in other Federal agencies; 

9 (C) use existing inventories and mapping of 

10 marine resources previously undertaken by the 

11 Minerals Management Service, mapping under12 taken by the United States Geological Survey 

13 and the National Oceanographic and Atmos14 pheric Administration, and information pro15 vided by the Department of Defense and other 

16 Federal and State agencies possessing relevant 

17 data; and 

18 (D) use any available data regarding re19 newable energy potential, navigation uses, fish20 eries, aquaculture uses, recreational uses, habi21 tat, conservation, and military uses of the Outer 

22 Continental Shelf. 

23 (e) RESPONSIBILITIES OF LAND MANAGEMENT AGEN24 CIES.—Nothing in this section shall affect the authorities 

25 of the Bureau of Land Management under the Federal Land 


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1 Policy and Management Act of 1976 (43 U.S.C. 1701 et 

2 seq.) or of the Forest Service under the National Forest 

3 Management Act of 1976 (Public Law 94–588). 

4 SEC. 102. BUREAU OF SAFETY AND ENVIRONMENTAL EN5 FORCEMENT. 

6 (a) ESTABLISHMENT.—There is established in the De7 partment a Bureau of Safety and Environmental Enforce8 ment (referred to in this section as the ‘‘Bureau’’) to be 

9 headed by a Director of Safety and Environmental Enforce10 ment (referred to in this section as the ‘‘Director’’). 

11 (b) DIRECTOR.— 

12 (1) APPOINTMENT.—The Director shall be ap13 pointed by the President, by and with the advice and 

14 consent of the Senate, on the basis of— 

15 (A) professional background, demonstrated 

16 competence, and ability; and 

17 (B) capacity to administer the provisions of 

18 this Act. 

19 (2) COMPENSATION.—The Director shall be com20 pensated at the rate provided for Level V of the Exec21 utive Schedule under section 5316 of title 5, United 

22 States Code. 

23 (c) DUTIES.— 

24 (1) IN GENERAL.—The Secretary shall carry out 

25 through the Bureau all functions, powers, and duties 


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1 vested in the Secretary relating to the administration 

2 of safety and environmental enforcement activities re3 lated to nonrenewable and renewable energy and min4 eral resources— 

5 (A) on the Outer Continental Shelf pursu6 ant to the Outer Continental Shelf Lands Act 

7 (43 U.S.C. 1331 et seq.); 

8 (B) on Federal public lands, pursuant to 

9 the Mineral Leasing Act (30 U.S.C. 181 et seq.) 

10 and the Geothermal Steam Act of 1970 (30 

11 U.S.C. 1001 et seq.); 

12 (C) on acquired Federal lands, pursuant to 

13 the Mineral Leasing Act for Acquired Lands (30 

14 U.S.C. 351 et seq.) and the Geothermal Steam 

15 Act of 1970 (30 U.S.C. 1001 et seq.); 

16 (D) in the National Petroleum Reserve in 

17 Alaska, pursuant to the Naval Petroleum Re18 serves Production Act of 1976 (42 U.S.C. 6501 

19 et seq.); and 

20 (E) pursuant to— 

21 (i) the Federal Oil and Gas Royalty 

22 Management Act of 1982 (30 U.S.C. 1701 et 

23 seq.); 

24 (ii) the Energy Policy Act of 2005 

25 (Public Law 109–58); 


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1 (iii) the Federal Oil and Gas Royalty 

2 Simplification and Fairness Act of 1996 

3 (Public Law 104–185); 

4 (iv) the Forest and Rangeland Renew5 able Resources Planning Act of 1974 (16 

6 U.S.C. 1600 et seq.); 

7 (v) the Federal Land Policy and Man8 agement Act of 1976 (43 U.S.C. 1701 et 

9 seq.); 

10 (vi) this Act; and 

11 (vii) all other applicable Federal laws, 

12 including the authority to develop, promulgate, 

13 and enforce regulations to ensure the safe and 

14 environmentally sound exploration, development, 

15 and production of nonrenewable and renewable 

16 energy and mineral resources on the Outer Con17 tinental Shelf and onshore federally managed 

18 lands. 

19 (d) AUTHORITIES.—In carrying out the duties under 

20 this section, the Secretary’s authorities shall include— 

21 (1) performing necessary oversight activities to 

22 ensure the proper application of environmental re23 views, including those conducted pursuant to the Na24 tional Environmental Policy Act of 1969 (42 U.S.C. 

25 4321 et seq.) by the Bureau of Energy and Resource 


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1 Management in the performance of its duties under 

2 the Outer Continental Shelf Lands Act (43 U.S.C. 

3 1331 et seq.); 

4 (2) suspending or prohibiting, on a temporary 

5 basis, any operation or activity, including produc6 tion— 

7 (A) on leases held on the Outer Continental 

8 Shelf, in accordance with section 5(a)(1) of the 

9 Outer Continental Shelf Lands Act (43 U.S.C. 

10 1334(a)(1)); or 

11 (B) on leases or rights-of-way held on Fed12 eral lands under any other minerals or energy 

13 leasing statute, in accordance with section 302(c) 

14 of the Federal Land Policy and Management Act 

15 of 1976 (43 U.S.C. 1701 et seq.); 

16 (3) cancelling any lease, permit, or right-of 

17 way— 

18 (A) on the Outer Continental Shelf, in ac19 cordance with section 5(a)(2) of the Outer Conti20 nental Shelf Lands Act (43 U.S.C. 1334(a)(2)); 

21 or 

22 (B) on onshore Federal lands, in accordance 

23 with section 302(c) of the Federal Land Policy 

24 and Management Act of 1976 (43 U.S.C. 

25 1732(c)); 


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1 (4) compelling compliance with applicable work2 er safety and environmental laws and regulations; 

3 (5) requiring comprehensive safety and environ4 mental management programs for persons engaged in 

5 activities connected with the exploration, development, 

6 and production of energy or mineral resources; 

7 (6) developing and implementing regulations for 

8 Federal employees to carry out any inspection or in9 vestigation to ascertain compliance with applicable 

10 regulations, including health, safety, or environmental 

11 regulations; 

12 (7) collecting, evaluating, assembling, analyzing, 

13 and publicly disseminating electronically data and 

14 information that is relevant to inspections, failures, 

15 or accidents involving equipment and systems used 

16 for exploration and production of energy and mineral 

17 resources, including human factors associated there18 with; 

19 (8) implementing the Offshore Technology Re20 search and Risk Assessment Program under section 

21 21 of the Outer Continental Shelf Lands Act (43 

22 U.S.C. 1347); 

23 (9) summoning witnesses and directing the pro24 duction of evidence; 


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1 (10) levying fines and penalties and disquali2 fying operators; and 

3 (11) carrying out any safety, response, and re4 moval preparedness functions. 

5 (e) EMPLOYEES.— 

6 (1) IN GENERAL.—The Secretary shall ensure 

7 that the inspection force of the Bureau consists of 

8 qualified, trained employees who meet qualification 

9 requirements and adhere to the highest professional 

10 and ethical standards. 

11 (2) QUALIFICATIONS.—The qualification require12 ments referred to in paragraph (1)— 

13 (A) shall be determined by the Secretary, 

14 subject to subparagraph (B); and 

15 (B) shall include— 

16 (i) three years of practical experience 

17 in oil and gas exploration, development, or 

18 production; or 

19 (ii) a degree in an appropriate field of 

20 engineering from an accredited institution 

21 of higher learning. 

22 (3) ASSIGNMENT.—In assigning oil and gas in23 spectors to the inspection and investigation of indi24 vidual operations, the Secretary shall give due consid25 eration to the extent possible to their previous experiVerDate Mar 15 2010 22:50 Jul 28, 2010 Jkt 089200 PO 00000 Frm 00024 Fmt 6652 Sfmt 6203 E:\BILLS\H3534.RH H3534

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1 ence in the particular type of oil and gas operation 

2 in which such inspections are to be made. 

3 (4) TRAINING ACADEMY.— 

4 (A) IN GENERAL.—The Secretary shall es5 tablish and maintain a National Oil and Gas 

6 Health and Safety Academy (referred to in this 

7 paragraph as the ‘‘Academy’’) as an agency of 

8 the Department of the Interior. 

9 (B) FUNCTIONS OF ACADEMY.—The Sec10 retary, through the Academy, shall be responsible 

11 for— 

12 (i) the initial and continued training 

13 of both newly hired and experienced oil and 

14 gas inspectors in all aspects of health, safe15 ty, environmental, and operational inspec16 tions; 

17 (ii) the training of technical support 

18 personnel of the Bureau; 

19 (iii) any other training programs for 

20 oil and gas inspectors, Bureau personnel, 

21 Department personnel, or other persons as 

22 the Secretary shall designate; and 

23 (iv) certification of the successful com24 pletion of training programs for newly 


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1 hired and experienced oil and gas inspec2 tors. 

3 (C) COOPERATIVE AGREEMENTS.— 

4 (i) IN GENERAL.—In performing func5 tions under this paragraph, and subject to 

6 clause (ii), the Secretary may enter into co7 operative educational and training agree8 ments with educational institutions, related 

9 Federal academies, other Federal agencies, 

10 State governments, labor organizations, and 

11 oil and gas operators and related industries. 

12 (ii) TRAINING REQUIREMENT.—Such 

13 training shall be conducted by the Academy 

14 in accordance with curriculum needs and 

15 assignment of instructional personnel estab16 lished by the Secretary. 

17 (D) USE OF DEPARTMENTAL PERSONNEL.— 

18 In performing functions under this subsection, 

19 the Secretary shall use, to the extent practicable, 

20 the facilities and personnel of the Department of 

21 the Interior. The Secretary may appoint or as22 sign to the Academy such officers and employees 

23 as the Secretary considers necessary for the per24 formance of the duties and functions of the Acad25 emy. 


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1 (5) ADDITIONAL TRAINING PROGRAMS.— 

2 (A) IN GENERAL.—The Secretary shall work 

3 with appropriate educational institutions, opera4 tors, and representatives of oil and gas workers 

5 to develop and maintain adequate programs 

6 with educational institutions and oil and gas 

7 operators, that are designed— 

8 (i) to enable persons to qualify for po9 sitions in the administration of this Act; 

10 and 

11 (ii) to provide for the continuing edu12 cation of inspectors or other appropriate 

13 Departmental personnel. 

14 (B) FINANCIAL AND TECHNICAL ASSIST15 ANCE.—The Secretary may provide financial 

16 and technical assistance to educational institu17 tions in carrying out this paragraph. 

18 SEC. 103. OFFICE OF NATURAL RESOURCES REVENUE. 

19 (a) ESTABLISHMENT.—There is established in the De20 partment an Office of Natural Resources Revenue (referred 

21 to in this section as the ‘‘Office’’) to be headed by a Director 

22 of Natural Resources Revenue (referred to in this section 

23 as the ‘‘Director’’). 

24 (b) APPOINTMENT AND COMPENSATION.— 


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1 (1) IN GENERAL.—The Director shall be ap2 pointed by the President, by and with the advice and 

3 consent of the Senate, on the basis of— 

4 (A) professional competence; and 

5 (B) capacity to— 

6 (i) administer the provisions of this 

7 Act; and 

8 (ii) ensure that the fiduciary duties of 

9 the United States Government on behalf of 

10 the American people, as they relate to devel11 opment of nonrenewable and renewable en12 ergy and mineral resources, are duly met. 

13 (2) COMPENSATION.—The Director shall be com14 pensated at the rate provided for Level V of the Exec15 utive Schedule under section 5316 of title 5, United 

16 States Code. 

17 (c) DUTIES.— 

18 (1) IN GENERAL.—The Secretary shall carry out, 

19 through the Office— 

20 (A) all functions, powers, and duties vested 

21 in the Secretary and relating to the administra22 tion of the royalty and revenue management 

23 functions pursuant to— 

24 (i) the Outer Continental Shelf Lands 

25 Act (43 U.S.C. 1331 et seq.); 


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1 (ii) the Mineral Leasing Act (30 

2 U.S.C. 181 et seq.); 

3 (iii) the Mineral Leasing Act for Ac4 quired Lands (30 U.S.C. 351 et seq.); 

5 (iv) the Geothermal Steam Act of 1970 

6 (30 U.S.C. 1001 et seq.); 

7 (v) the Naval Petroleum Reserves Pro8 duction Act of 1976 (42 U.S.C. 6501 et 

9 seq.); 

10 (vi) the Federal Oil and Gas Royalty 

11 Management Act of 1982 (30 U.S.C. 1701 et 

12 seq.); 

13 (vii) the Federal Oil and Gas Royalty 

14 Simplification and Fairness Act of 1996 

15 (Public Law 104–185); 

16 (viii) the Energy Policy Act of 2005 

17 (Public Law 109–58); 

18 (ix) the Forest and Rangeland Renew19 able Resources Planning Act of 1974 (16 

20 U.S.C. 1600 et seq.); 

21 (x) the Federal Land Policy and Man22 agement Act of 1976 (43 U.S.C. 1701 et 

23 seq.); and 

24 (xi) this Act and all other applicable 

25 Federal laws; and 


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1 (B) all functions, powers, and duties pre2 viously assigned to the Minerals Management 

3 Service (including the authority to develop, pro4 mulgate, and enforce regulations) regarding— 

5 (i) royalty and revenue collection; 

6 (ii) royalty and revenue distribution; 

7 (iii) auditing and compliance; 

8 (iv) investigation and enforcement of 

9 royalty and revenue regulations; and 

10 (v) asset management for onshore and 

11 offshore activities. 

12 (d) OVERSIGHT.—In order to provide transparency 

13 and ensure strong oversight over the revenue program, the 

14 Secretary shall— 

15 (1) create within the Office an independent audit 

16 and oversight program responsible for monitoring the 

17 performance of the Office with respect to the duties 

18 and functions under subsection (c), and conducting 

19 internal control audits of the operations of the Office; 

20 (2) facilitate the participation of those Indian 

21 tribes and States operating pursuant to cooperative 

22 agreements or delegations under the Federal Oil and 

23 Gas Royalty Management Act of 1982 (30 U.S.C. 

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1 mittees, councils, and other entities created by the Of2 fice; and 

3 (3) assure prior consultation with those Indian 

4 tribes and States referred to in paragraph (2) in the 

5 formulation all policies, procedures, guidance, stand6 ards, and rules relating to the functions referred to in 

7 subsection (c). 

8 SEC. 104. ETHICS. 

9 (a) CERTIFICATION.—The Secretary shall certify an10 nually that all Department of the Interior officers and em11 ployees having regular, direct contact with lessees and oper12 ators as a function of their official duties are in full compli13 ance with all Federal employee ethics laws and regulations 

14 under the Ethics in Government Act of 1978 (5 U.S.C. 

15 App.) and part 2635 of title 5, Code of Federal Regulations, 

16 and all guidance issued under subsection (b). 

17 (b) GUIDANCE.—Not later than 90 days after the date 

18 of enactment of this Act, the Secretary shall issue supple19 mentary ethics guidance for the employees for which certifi20 cation is required under subsection (a). 

21 SEC. 105. REFERENCES. 

22 (a) BUREAU OF ENERGY AND RESOURCE MANAGE23 MENT.—Any reference in any law, rule, regulation, direc24 tive, instruction, certificate, or other official document, in 

25 force immediately before the enactment of this Act— 


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1 (1) to the Minerals Management Service that 

2 pertains to any of the duties and authorities referred 

3 to in section 101 is deemed to refer and apply to the 

4 Bureau of Energy and Resource Management estab5 lished by section 101; 

6 (2) to the Director of the Minerals Management 

7 Service that pertains to any of the duties and au8 thorities referred to in section 101 is deemed to refer 

9 and apply to the Director of the Bureau of Energy 

10 and Resource Management; 

11 (3) to any other position in the Minerals Man12 agement Service that pertains to any of the duties 

13 and authorities referred to in section 101 is deemed 

14 to refer and apply to that same or equivalent position 

15 in the Bureau of Energy and Resource Management; 

16 (4) to the Bureau of Land Management that per17 tains to any of the duties and authorities referred to 

18 in section 101 is deemed to refer and apply to the Bu19 reau of Energy and Resource Management; 

20 (5) to the Director of the Bureau of Land Man21 agement that pertains to any of the duties and au22 thorities referred to in section 101 is deemed to refer 

23 and apply to the Director of the Bureau of Energy 

24 and Resource Management; and 


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1 (6) to any other position in the Bureau of Land 

2 Management that pertains to any of the duties and 

3 authorities referred to in section 101 is deemed to 

4 refer and apply to that same or equivalent position 

5 in the Bureau of Energy and Resource Management. 

6 (b) BUREAU OF SAFETY AND ENVIRONMENTAL EN7 FORCEMENT.—Any reference in any law, rule, regulation, 

8 directive, instruction, certificate or other official document 

9 in force immediately before the enactment of this Act— 

10 (1) to the Minerals Management Service that 

11 pertains to any of the duties and authorities referred 

12 to in section 102 is deemed to refer and apply to the 

13 Bureau of Safety and Environmental Enforcement es14 tablished by section 102; 

15 (2) to the Director of the Minerals Management 

16 Service that pertains to any of the duties and au17 thorities referred to in section 102 is deemed to refer 

18 and apply to the Director of the Bureau of Safety and 

19 Environmental Enforcement; 

20 (3) to any other position in the Minerals Man21 agement Service that pertains to any of the duties 

22 and authorities referred to in section 102 is deemed 

23 to refer and apply to that same or equivalent position 

24 in the Bureau of Safety and Environmental Enforce25 ment; 


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1 (4) to the Bureau of Land Management that per2 tains to any of the duties and authorities referred to 

3 in section 102 is deemed to refer and apply to the Bu4 reau of Safety and Environmental Enforcement; 

5 (5) to the Director of the Bureau of Land Man6 agement that pertains to any of the duties and au7 thorities referred to in section 102 is deemed to refer 

8 and apply to the Director of the Bureau of Safety and 

9 Environmental Enforcement; and 

10 (6) to any other position in the Bureau of Land 

11 Management that pertains to any of the duties and 

12 authorities referred to in section 102 is deemed to 

13 refer and apply to that same or equivalent position 

14 in the Bureau of Safety and Environmental Enforce15 ment. 

16 (c) OFFICE OF NATURAL RESOURCES REVENUE.—Any 

17 reference in any law, rule, regulation, directive, or instruc18 tion, or certificate or other official document, in force imme19 diately prior to enactment— 

20 (1) to the Minerals Management Service that 

21 pertains to any of the duties and authorities referred 

22 to in section 103 is deemed to refer and apply to the 

23 Office of Natural Resources Revenue established by 

24 section 103; 


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1 (2) to the Director of the Minerals Management 

2 Service that pertains to any of the duties and au3 thorities referred to in section 103 is deemed to refer 

4 and apply to the Director of Natural Resources Rev5 enue; and 

6 (3) to any other position in the Minerals Man7 agement Service that pertains to any of the duties 

8 and authorities referred to in section 103 is deemed 

9 to refer and apply to that same or equivalent position 

10 in the Office of Natural Resources Revenue. 

11 SEC. 106. ABOLISHMENT OF MINERALS MANAGEMENT SERV12 ICE. 

13 (a) ABOLISHMENT.—The Minerals Management Serv14 ice (in this section referred to as the ‘‘Service’’) is abolished. 

15 (b) COMPLETED ADMINISTRATIVE ACTIONS.— 

16 (1) IN GENERAL.—Completed administrative ac17 tions of the Service shall not be affected by the enact18 ment of this Act, but shall continue in effect according 

19 to their terms until amended, modified, superseded, 

20 terminated, set aside, or revoked in accordance with 

21 law by an officer of the United States or a court of 

22 competent jurisdiction, or by operation of law. 

23 (2) COMPLETED ADMINISTRATIVE ACTION DE24 FINED.—For purposes of paragraph (1), the term 

25 ‘‘completed administrative action’’ includes orders, 


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1 determinations, rules, regulations, personnel actions, 

2 permits, agreements, grants, contracts, certificates, li3 censes, registrations, and privileges. 

4 (c) PENDING PROCEEDINGS.—Subject to the authority 

5 of the Secretary of the Interior and the officers of the De6 partment of the Interior under this Act— 

7 (1) pending proceedings in the Service, including 

8 notices of proposed rulemaking, and applications for 

9 licenses, permits, certificates, grants, and financial 

10 assistance, shall continue, notwithstanding the enact11 ment of this Act or the vesting of functions of the 

12 Service in another agency, unless discontinued or 

13 modified under the same terms and conditions and to 

14 the same extent that such discontinuance or modifica15 tion could have occurred if this Act had not been en16 acted; and 

17 (2) orders issued in such proceedings, and ap18 peals therefrom, and payments made pursuant to 

19 such orders, shall issue in the same manner and on 

20 the same terms as if this Act had not been enacted, 

21 and any such orders shall continue in effect until 

22 amended, modified, superseded, terminated, set aside, 

23 or revoked by an officer of the United States or a 

24 court of competent jurisdiction, or by operation of 

25 law. 


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1 (d) PENDING CIVIL ACTIONS.—Subject to the authority 

2 of the Secretary of the Interior or any officer of the Depart3 ment of the Interior under this Act, pending civil actions 

4 shall continue notwithstanding the enactment of this Act, 

5 and in such civil actions, proceedings shall be had, appeals 

6 taken, and judgments rendered and enforced in the same 

7 manner and with the same effect as if such enactment had 

8 not occurred. 

9 (e) REFERENCES.—References relating to the Service 

10 in statutes, Executive orders, rules, regulations, directives, 

11 or delegations of authority that precede the effective date 

12 of this Act are deemed to refer, as appropriate, to the De13 partment, to its officers, employees, or agents, or to its cor14 responding organizational units or functions. Statutory re15 porting requirements that applied in relation to the Service 

16 immediately before the effective date of this Act shall con17 tinue to apply. 

18 SEC. 107. CONFORMING AMENDMENT. 

19 Section 5316 of title 5, United States Code, is amended 

20 by striking ‘‘Director, Bureau of Mines, Department of the 

21 Interior.’’ and inserting the following new items: 

22 ‘‘Director, Bureau of Energy and Resource Man23 agement, Department of the Interior. 

24 ‘‘Director, Bureau of Safety and Environmental 

25 Enforcement, Department of the Interior. 


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1 ‘‘Director, Office of Natural Resources Revenue, 

2 Department of the Interior.’’. 

3 SEC. 108. OUTER CONTINENTAL SHELF SAFETY AND ENVI4 RONMENTAL ADVISORY BOARD. 

5 (a) ESTABLISHMENT.—The Secretary shall establish, 

6 under the Federal Advisory Committee Act, an Outer Conti7 nental Shelf Safety and Environmental Advisory Board 

8 (referred to in this section as the ‘‘Board’’), to provide the 

9 Secretary and the Directors of the bureaus established by 

10 this title with independent scientific and technical advice 

11 on safe and environmentally compliant nonrenewable and 

12 renewable energy and mineral resource exploration, devel13 opment, and production activities. 

14 (b) MEMBERSHIP.— 

15 (1) SIZE.—The Board shall consist of not more 

16 than 12 members, chosen to reflect a range of exper17 tise in scientific, engineering, management, environ18 mental, and other disciplines related to safe and envi19 ronmentally compliant renewable and nonrenewable 

20 energy and mineral resource exploration, develop21 ment, and production activities. The Secretary shall 

22 consult with the National Academy of Sciences and 

23 the National Academy of Engineering to identify po24 tential candidates for the Board. 


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1 (2) TERM.—The Secretary shall appoint Board 

2 members to staggered terms of not more than 4 years, 

3 and shall not appoint a member for more than 2 con4 secutive terms. 

5 (3) BALANCE.—In appointing members to the 

6 Board, the Secretary shall ensure a balanced rep7 resentation of industry- and nonindustry-related in8 terests. 

9 (c) CHAIR.—The Secretary shall appoint the Chair for 

10 the Board. 

11 (d) MEETINGS.—The Board shall meet not less than 

12 3 times per year and, at least once per year, shall host a 

13 public forum to review and assess the overall safety and 

14 environmental performance of Outer Continental Shelf non15 renewable and renewable energy and mineral resource ac16 tivities. 

17 (e) REPORTS.—Reports of the Board shall be submitted 

18 to the Congress and made available to the public in elec19 tronically accessible form. 

20 (f) TRAVEL EXPENSES.—Members of the Board, other 

21 than full-time employees of the Federal Government, while 

22 attending meeting of the Board or while otherwise serving 

23 at the request of the Secretary or the Director while serving 

24 away from their homes or regular places of business, may 

25 be allowed travel expenses, including per diem in lieu of 


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1 subsistence, as authorized by section 5703 of title 5, United 

2 States Code, for individuals in the Government serving 

3 without pay. 

4 TITLE II—FEDERAL OIL AND GAS 

5 DEVELOPMENT 

6 Subtitle A—Safety, Environmental, 

7 and Financial Reform of the 

8 Outer Continental Shelf Lands 

9 Act 

10 SEC. 201. SHORT TITLE. 

11 This subtitle may be cited as the ‘‘Outer Continental 

12 Shelf Lands Act Amendments of 2010’’. 

13 SEC. 202. DEFINITIONS. 

14 Section 2 of the Outer Continental Shelf Lands Act 

15 (43 U.S.C. 1331) is amended by adding at the end the fol16 lowing: 

17 ‘‘(r) The term ‘safety case’ means a body of evidence 

18 that provides a basis for determining whether a system is 

19 adequately safe for a given application in a given operating 

20 environment.’’. 

21 SEC. 203. NATIONAL POLICY FOR THE OUTER CONTI22 NENTAL SHELF. 

23 Section 3 of the Outer Continental Shelf Lands Act 

24 (43 U.S.C. 1332) is amended— 


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1 (1) by striking paragraph (3) and inserting the 

2 following: 

3 ‘‘(3) the outer Continental Shelf is a vital na4 tional resource reserve held by the Federal Govern5 ment for the public, that should be managed in a 

6 manner that— 

7 ‘‘(A) recognizes the need of the United 

8 States for domestic sources of energy, food, min9 erals, and other resources; 

10 ‘‘(B) minimizes the potential impacts of de11 velopment of those resources on the marine and 

12 coastal environment and on human health and 

13 safety; and 

14 ‘‘(C) acknowledges the long-term economic 

15 value to the United States of the balanced and 

16 orderly management of those resources that safe17 guards the environment and respects the multiple 

18 values and uses of the outer Continental Shelf;’’; 

19 (2) in paragraph (4), by striking the period at 

20 the end and inserting a semicolon; 

21 (3) in paragraph (5), by striking ‘‘should be’’ 

22 and inserting ‘‘shall be’’, and striking ‘‘; and’’ and 

23 inserting a semicolon; 

24 (4) by redesignating paragraph (6) as para25 graph (7); 


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1 (5) by inserting after paragraph (5) the fol2 lowing: 

3 ‘‘(6) exploration, development, and production of 

4 energy and minerals on the outer Continental Shelf 

5 should be allowed only when those activities can be 

6 accomplished in a manner that minimizes— 

7 ‘‘(A) harmful impacts to life (including fish 

8 and other aquatic life) and health; 

9 ‘‘(B) damage to the marine, coastal, and 

10 human environments and to property; and 

11 ‘‘(C) harm to other users of the waters, sea12 bed, or subsoil; and’’; and 

13 (6) in paragraph (7) (as so redesignated), by— 

14 (A) striking ‘‘should be’’ and inserting 

15 ‘‘shall be’’; 

16 (B) inserting ‘‘best available’’ after ‘‘using’’; 

17 and 

18 (C) striking ‘‘or minimize’’. 

19 SEC. 204. JURISDICTION OF LAWS ON THE OUTER CONTI20 NENTAL SHELF. 

21 Section 4(a)(1) of the Outer Continental Shelf Lands 

22 Act (43 U.S.C. 1333(a)(1)) is amended by— 

23 (1) inserting ‘‘or producing or supporting pro24 duction of energy from sources other than oil and 

25 gas’’ after ‘‘therefrom’’; 


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1 (2) inserting ‘‘or transmitting such energy’’ after 

2 ‘‘transporting such resources’’; and 

3 (3) inserting ‘‘and other energy’’ after ‘‘That 

4 mineral’’. 

5 SEC. 205. OUTER CONTINENTAL SHELF LEASING STAND6 ARD. 

7 (a) IN GENERAL.—Section 5 of the Outer Continental 

8 Shelf Lands Act (43 U.S.C. 1334) is amended— 

9 (1) in subsection (a), by striking ‘‘The Secretary 

10 may at any time’’ and inserting ‘‘The Secretary 

11 shall’’; 

12 (2) in the second sentence of subsection (a), by 

13 adding after ‘‘provide for’’ the following: ‘‘operational 

14 safety, the protection of the marine and coastal envi15 ronment, and’’; 

16 (3) in subsection (a), by inserting ‘‘and the Sec17 retary of Commerce with respect to matters that may 

18 affect the marine and coastal environment’’ after 

19 ‘‘which may affect competition’’; 

20 (4) in clause (ii) of subsection (a)(2)(A), by 

21 striking ‘‘a reasonable period of time’’ and inserting 

22 ‘‘30 days’’; 

23 (5) in subsection (a)(7), by inserting ‘‘in a man24 ner that minimizes harmful impacts to the marine 

25 and coastal environment’’ after ‘‘lease area’’; 


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1 (6) in subsection (a), by striking ‘‘and’’ after the 

2 semicolon at the end of paragraph (7), redesignating 

3 paragraph (8) as paragraph (12), and inserting after 

4 paragraph (7) the following: 

5 ‘‘(8) for independent third-party certification re6 quirements of safety systems related to well control, 

7 such as blowout preventers; 

8 ‘‘(9) for performance requirements for blowout 

9 preventers, including quantitative risk assessment 

10 standards, subsea testing, and secondary activation 

11 methods; 

12 ‘‘(10) for independent third-party certification 

13 requirements of well casing and cementing programs 

14 and procedures; 

15 ‘‘(11) for the establishment of mandatory safety 

16 and environmental management systems by operators 

17 on the Outer Continental Shelf;’’; 

18 (7) in subsection (a), by striking the period at 

19 the end of paragraph (12), as so redesignated, and in20 serting ‘‘; and’’, and by adding at the end the fol21 lowing: 

22 ‘‘(13) ensuring compliance with other applicable 

23 environmental and natural resource conservation 

24 laws.’’; and 


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1 (8) by adding at the end the following new sub2 section: 

3 ‘‘(k) DOCUMENTS INCORPORATED BY REFERENCE.— 

4 Any documents incorporated by reference in regulations 

5 promulgated by the Secretary pursuant to this Act shall be 

6 made available to the public, free of charge, on a website 

7 maintained by the Secretary.’’. 

8 (b) CONFORMING AMENDMENT.—Subsection (g) of sec9 tion 25 of the Outer Continental Shelf Lands Act (43 U.S.C. 

10 1351), as redesignated by section 215(4) of this Act, is fur11 ther amended by striking ‘‘paragraph (8) of section 5(a) 

12 of this Act’’ each place it appears and inserting ‘‘paragraph 

13 (12) of section 5(a) of this Act’’. 

14 SEC. 206. LEASES, EASEMENTS, AND RIGHTS-OF-WAY. 

15 (a) FINANCIAL ASSURANCE AND FISCAL RESPONSI16 BILITY.—Section 8 of the Outer Continental Shelf Lands 

17 Act (43 U.S.C. 1337) is amended by adding at the end the 

18 following: 

19 ‘‘(q) REVIEW OF BOND AND SURETY AMOUNTS.—Not 

20 later than May 1, 2011, and every 5 years thereafter, the 

21 Secretary shall review the minimum financial responsi22 bility requirements for leases issued under this section and 

23 shall ensure that any bonds or surety required are adequate 

24 to comply with the requirements of this Act or the Oil Pollu25 tion Act of 1990 (33 U.S.C. 2701 et seq.). 


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1 ‘‘(r) PERIODIC FISCAL REVIEW AND REPORT.— 

2 ‘‘(1) IN GENERAL.—Not later than 1 year after 

3 the date of enactment of this subsection and every 3 

4 years thereafter, the Secretary shall carry out a re5 view and prepare a report setting forth— 

6 ‘‘(A)(i) the royalty and rental rates in7 cluded in new offshore oil and gas leases; and 

8 ‘‘(ii) the rationale for the rates; 

9 ‘‘(B) whether, in the view of the Secretary, 

10 the royalty and rental rates described in sub11 paragraph (A) will yield a fair return to the 

12 public while promoting the production of oil and 

13 gas resources in a timely manner; 

14 ‘‘(C)(i) the minimum bond or surety 

15 amounts required pursuant to offshore oil and 

16 gas leases; and 

17 ‘‘(ii) the rationale for the minimum 

18 amounts; 

19 ‘‘(D) whether the bond or surety amounts 

20 described in subparagraph (C) are adequate to 

21 comply with subsection (q); and 

22 ‘‘(E) whether the Secretary intends to mod23 ify the royalty or rental rates, or bond or surety 

24 amounts, based on the review. 


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1 ‘‘(2) PUBLIC PARTICIPATION.—In carrying out a 

2 review and preparing a report under paragraph (1), 

3 the Secretary shall provide to the public an oppor4 tunity to participate. 

5 ‘‘(3) REPORT DEADLINE.—Not later than 30 

6 days after the date on which the Secretary completes 

7 a report under paragraph (1), the Secretary shall 

8 transmit copies of the report to— 

9 ‘‘(A) the Committee on Energy and Natural 

10 Resources of the Senate; and 

11 ‘‘(B) the Committee on Natural Resources of 

12 the House of Representatives. 

13 ‘‘(s) COMPARATIVE REVIEW OF FISCAL SYSTEM.— 

14 ‘‘(1) IN GENERAL.—Not later than 2 years after 

15 the date of enactment of this subsection and every 5 

16 years thereafter, the Secretary shall carry out a com17 prehensive review of all components of the Federal off18 shore oil and gas fiscal system, including require19 ments for— 

20 ‘‘(A) bonus bids; 

21 ‘‘(B) rental rates; 

22 ‘‘(C) royalties; and 

23 ‘‘(D) oil and gas taxes. 

24 ‘‘(2) REQUIREMENTS.— 


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1 ‘‘(A) CONTENTS; SCOPE.—A review under 

2 paragraph (1) shall include— 

3 ‘‘(i) the information and analyses nec4 essary to compare the offshore bonus bids, 

5 rents, royalties, and taxes of the Federal 

6 Government to the offshore bonus bids, 

7 rents, royalties, and taxes of other resource 

8 owners, including States and foreign coun9 tries; and 

10 ‘‘(ii) an assessment of the overall off11 shore oil and gas fiscal system in the 

12 United States, as compared to foreign coun13 tries. 

14 ‘‘(B) INDEPENDENT ADVISORY COM15 MITTEE.—In carrying out a review under para16 graph (1), the Secretary shall convene and seek 

17 the advice of an independent advisory committee 

18 comprised of oil and gas and fiscal experts from 

19 States, Indian tribes, academia, the energy in20 dustry, and appropriate nongovernmental orga21 nizations. 

22 ‘‘(3) REPORT.— 

23 ‘‘(A) IN GENERAL.—The Secretary shall 

24 prepare a report that contains— 


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1 ‘‘(i) the contents and results of the re2 view carried out under paragraph (1) for 

3 the period covered by the report; and 

4 ‘‘(ii) any recommendations of the Sec5 retary based on the contents and results of 

6 the review. 

7 ‘‘(B) REPORT DEADLINE.—Not later than 

8 30 days after the date on which the Secretary 

9 completes a report under paragraph (1), the Sec10 retary shall transmit copies of the report to the 

11 Committee on Natural Resources of the House of 

12 Representatives and the Committee on Energy 

13 and Natural Resources of the Senate.’’. 

14 (b) ENVIRONMENTAL DILIGENCE.—Section 8 of the 

15 Outer Continental Shelf Lands Act (43 U.S.C. 1337) is 

16 amended by striking subsection (d) and inserting the fol17 lowing: 

18 ‘‘(d) REQUIREMENT FOR CERTIFICATION OF RESPON19 SIBLE STEWARDSHIP.— 

20 ‘‘(1) CERTIFICATION REQUIREMENT.—No bid or 

21 request for a lease, easement, or right-of-way under 

22 this section, or for a permit to drill under section 

23 11(d), may be submitted by any person unless the 

24 person certifies to the Secretary that the person (in25 cluding any related person and any predecessor of 


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1 such person or related person) meets each of the fol2 lowing requirements: 

3 ‘‘(A) The person is meeting due diligence, 

4 safety, and environmental requirements on other 

5 leases, easements, and rights-of-way. 

6 ‘‘(B) In the case of a person that is a re7 sponsible party for a vessel or a facility from 

8 which oil is discharged, for purposes of section 

9 1002 of the Oil Pollution Act of 1990 (33 U.S.C. 

10 2702), the person has met all of its obligations 

11 under that Act to provide compensation for cov12 ered removal costs and damages. 

13 ‘‘(C) In the 7-year period ending on the 

14 date of certification, the person, in connection 

15 with activities in the oil industry (including ex16 ploration, development, production, transpor17 tation by pipeline, and refining)— 

18 ‘‘(i) was not found to have committed 

19 willful or repeated violations under the Oc20 cupational Safety and Health Act of 1970 

21 (29 U.S.C. 651 et seq.) (including State 

22 plans approved under section 18(c) of such 

23 Act (29 U.S.C. 667(c))) at a rate that is 

24 higher than five times the rate determined 


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1 by the Secretary to be the oil industry aver2 age for such violations for such period; 

3 ‘‘(ii) was not convicted of a criminal 

4 violation for death or serious bodily injury; 

5 ‘‘(iii) did not have more than 10 fa6 talities at its exploration, development, and 

7 production facilities and refineries as a re8 sult of violations of Federal or State health, 

9 safety, or environmental laws; 

10 ‘‘(iv) was not assessed, did not enter 

11 into an agreement to pay, and was not oth12 erwise required to pay, civil penalties and 

13 criminal fines for violations the person was 

14 found to have committed under the Federal 

15 Water Pollution Control Act (33 U.S.C. 

16 1251 et seq.) (including State programs ap17 proved under sections 402 and 404 of such 

18 Act (33 U.S.C. 1342 and 1344)) in a total 

19 amount that is equal to more than 

20 $10,000,000; and 

21 ‘‘(v) was not assessed, did not enter 

22 into an agreement to pay, and was not oth23 erwise required to pay, civil penalties and 

24 criminal fines for violations the person was 

25 found to have committed under the Clean 


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1 Air Act (42 U.S.C. 7401 et seq.) (including 

2 State plans approved under section 110 of 

3 such Act (42 U.S.C. 7410)) in a total 

4 amount that is equal to more than 

5 $10,000,000. 

6 ‘‘(2) ENFORCEMENT.—If the Secretary deter7 mines that a certification made under paragraph (1) 

8 is false, the Secretary shall cancel any lease, ease9 ment, or right of way and shall revoke any permit 

10 with respect to which the certification was required 

11 under such paragraph. 

12 ‘‘(3) DEFINITION OF RELATED PERSON.—For 

13 purposes of this subsection, the term ‘related person’ 

14 includes a parent, subsidiary, affiliate, member of the 

15 same controlled group, contractor, subcontractor, a 

16 person holding a controlling interest or in which a 

17 controlling interest is held, and a person with sub18 stantially the same board members, senior officers, or 

19 investors.’’. 

20 (c) ALTERNATIVE ENERGY DEVELOPMENT.— 

21 (1) CLARIFICATION RELATING TO ALTERNATIVE

22 ENERGY DEVELOPMENT.—Section 8(p) of the Outer 

23 Continental Shelf Lands Act (43 U.S.C. 1337(p)) is 

24 amended— 

25 (A) in paragraph (1)— 


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1 (i) in the matter preceding subpara2 graph (A), by inserting ‘‘or’’ after ‘‘1501 et 

3 seq.),’’, and by striking ‘‘or other applicable 

4 law,’’; and 

5 (ii) by amending subparagraph (D) to 

6 read as follows: 

7 ‘‘(D) use, for energy-related purposes, facili8 ties currently or previously used for activities 

9 authorized under this Act, except that any oil 

10 and gas energy-related uses shall not be author11 ized in areas in which oil and gas preleasing, 

12 leasing, and related activities are prohibited by 

13 a moratorium.’’; and 

14 (B) in paragraph (4)— 

15 (i) in subparagraph (E), by striking 

16 ‘‘coordination’’ and inserting ‘‘in consulta17 tion’’; and 

18 (ii) in subparagraph (J)(ii), by insert19 ing ‘‘a potential site for an alternative en20 ergy facility,’’ after ‘‘deepwater port,’’. 

21 (2) NONCOMPETITIVE ALTERNATIVE ENERGY

22 LEASE OPTIONS.—Section 8(p)(3) of such Act (43 

23 U.S.C. 1337(p)(3)) is amended to read as follows: 

24 ‘‘(3) COMPETITIVE OR NONCOMPETITIVE BASIS.— 

25 Any lease, easement, right-of-way, or other authorizaVerDate Mar 15 2010 22:50 Jul 28, 2010 Jkt 089200 PO 00000 Frm 00053 Fmt 6652 Sfmt 6203 E:\BILLS\H3534.RH H3534

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1 tion granted under paragraph (1) shall be issued on 

2 a competitive basis, unless— 

3 ‘‘(A) the lease, easement, right-of-way, or 

4 other authorization relates to a project that 

5 meets the criteria established under section 

6 388(d) of the Energy Policy Act of 2005 (43 

7 U.S.C. 1337 note; Public Law 109–58); 

8 ‘‘(B) the lease, easement, right-of-way, or 

9 other authorization— 

10 ‘‘(i) is for the placement and operation 

11 of a meteorological or marine data collec12 tion facility; and 

13 ‘‘(ii) has a term of not more than 5 

14 years; or 

15 ‘‘(C) the Secretary determines, after pro16 viding public notice of a proposed lease, ease17 ment, right-of-way, or other authorization, that 

18 no competitive interest exists.’’. 

19 (d) REVIEW OF IMPACTS OF LEASE SALES ON THE

20 MARINE AND COASTAL ENVIRONMENT BY SECRETARY.— 

21 Section 8 of the Outer Continental Shelf Lands Act (43 

22 U.S.C. 1337) is amended by adding at the end of subsection 

23 (a) the following: 

24 ‘‘(9) At least 60 days prior to any lease sale, the 

25 Secretary shall request a review by the Secretary of 


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1 Commerce of the proposed sale with respect to impacts 

2 on the marine and coastal environment. The Sec3 retary of Commerce shall complete and submit in 

4 writing the results of that review within 60 days after 

5 receipt of the Secretary of the Interior’s request.’’. 

6 (e) LIMITATION ON LEASE TRACT SIZE.—Section 

7 8(b)(1) of the Outer Continental Shelf Lands Act (43 U.S.C. 

8 1337(b)(1)) is amended by striking ‘‘, unless the Secretary 

9 finds that a larger area is necessary to comprise a reason10 able economic production unit’’. 

11 (f) SULPHUR LEASES.—Section 8(i) of the Outer Con12 tinental Shelf Lands Act (43 U.S.C. 1337(i)) is amended 

13 by striking ‘‘meet the urgent need’’ and inserting ‘‘allow’’. 

14 (g) TERMS AND PROVISIONS.—Section 8(b) of the 

15 Outer Continental Shelf Lands Act (43 U.S.C. 1337(b)) is 

16 amended by striking ‘‘An oil and gas lease issued pursuant 

17 to this section shall’’ and inserting ‘‘An oil and gas lease 

18 may be issued pursuant to this section only if the Secretary 

19 determines that activities under the lease are not likely to 

20 result in any condition described in section 5(a)(2)(A)(i), 

21 and shall’’. 

22 SEC. 207. DISPOSITION OF REVENUES. 

23 Section 9 of the Outer Continental Shelf Lands Act 

24 (43 U.S.C. 1338) is amended to read as follows: 


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1 ‘‘SEC. 9. DISPOSITION OF REVENUES. 

2 ‘‘(a) GENERAL.—Except as provided in subsections 

3 (b), (c), and (d), all rentals, royalties, and other sums paid 

4 to the Secretary or the Secretary of the Navy under any 

5 lease on the outer Continental Shelf for the period from 

6 June 5, 1950, to date, and thereafter shall be deposited in 

7 the Treasury of the United States and credited to miscella8 neous receipts. 

9 ‘‘(b) LAND AND WATER CONSERVATION FUND.—Effec10 tive for fiscal year 2011 and each fiscal year thereafter, 

11 $900,000,000 of the amounts referred to in subsection (a) 

12 shall be deposited in the Treasury of the United States and 

13 credited to the Land and Water Conservation Fund. These 

14 sums shall be available to the Secretary, without further 

15 appropriation or fiscal year limitation, for carrying out 

16 the purposes of the Land and Water Conservation Fund Act 

17 of 1965 (16 U.S.C. 460l–4 et seq.). 

18 ‘‘(c) HISTORIC PRESERVATION FUND.—Effective for 

19 fiscal year 2011 and each fiscal year thereafter, 

20 $150,000,000 of the amounts referred to in subsection (a) 

21 shall be deposited in the Treasury of the United States and 

22 credited to the Historic Preservation Fund. These sums 

23 shall be available to the Secretary, without further appro24 priation or fiscal year limitation, for carrying out the pur25 poses of the National Historic Preservation Fund Act of 

26 1966 (16 U.S.C. 470 et seq.). 


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1 ‘‘(d) OCEAN RESOURCES CONSERVATION AND ASSIST2 ANCE FUND.—Effective for each fiscal year 2011 and there3 after, 10 percent of the amounts referred to in subsection 

4 (a) shall be deposited in the Treasury of the United States 

5 and credited to the Ocean Resources Conservation and As6 sistance Fund established by the Consolidated Land, En7 ergy, and Aquatic Resources Act of 2010. These sums shall 

8 be available to the Secretary, without further appropriation 

9 or fiscal year limitation, for carrying out the purposes of 

10 section 605 of the Consolidated Land, Energy, and Aquatic 

11 Resources Act of 2010. 

12 ‘‘(e) SAVINGS PROVISION.—Nothing in this section 

13 shall decrease the amount any State shall receive pursuant 

14 to section 8(g) of this Act or section 105 of the Gulf of Mex15 ico Energy Security Act (43 U.S.C. 1331 note).’’. 

16 SEC. 208. EXPLORATION PLANS. 

17 (a) LIMITATION ON HARM FROM AGENCY EXPLO18 RATION.—Section 11(a)(1) of the Outer Continental Shelf 

19 Lands Act (43 U.S.C. 1340(a)(1)) is amended by striking 

20 ‘‘unduly harmful to’’ and inserting ‘‘likely to harm’’. 

21 (b) EXPLORATION PLAN REVIEW.—Section 11(c) of the 

22 Outer Continental Shelf Lands Act (43 U.S.C. 1340(c)), is 

23 amended— 

24 (1) by inserting ‘‘(A)’’ before the first sentence; 


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1 (2) in paragraph (1)(A), as designated by the 

2 amendment made by paragraph (1) of this sub3 section— 

4 (A) by striking ‘‘and the provisions of such 

5 lease’’ and inserting ‘‘the provisions of such 

6 lease, and other applicable environmental and 

7 natural resource conservation laws’’; and 

8 (B) by striking the fourth sentence and in9 serting the following: 

10 ‘‘(B) The Secretary shall approve such plan, as sub11 mitted or modified, within 90 days after its submission and 

12 it is made publicly accessible by the Secretary, or within 

13 such additional time as the Secretary determines is nec14 essary to complete any environmental, safety, or other re15 views, if the Secretary determines that— 

16 ‘‘(i) any proposed activity under such plan is 

17 not likely to result in any condition described in sec18 tion 5(a)(2)(A)(i); 

19 ‘‘(ii) the plan complies with other applicable en20 vironmental or natural resource conservation laws; 

21 and 

22 ‘‘(iii) the applicant has demonstrated the capa23 bility and technology to respond immediately and ef24 fectively to a worst-case oil spill in real-world condi25 tions in the area of the proposed activity.’’; and 


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1 (3) by adding at the end the following: 

2 ‘‘(5) If the Secretary requires greater than 90 

3 days to review an exploration plan submitted pursu4 ant to any oil and gas lease issued or maintained 

5 under this Act, then the Secretary may provide for a 

6 suspension of that lease pursuant to section 5 until 

7 the review of the exploration plan is completed.’’. 

8 (c) REQUIREMENTS.—Section 11(c) of the Outer Con9 tinental Shelf Lands Act (43 U.S.C. 1340(c), is amended 

10 by amending paragraph (3) to read as follows: 

11 ‘‘(3) An exploration plan submitted under this 

12 subsection shall include, in the degree of detail that 

13 the Secretary may by regulation require— 

14 ‘‘(A) a schedule of anticipated exploration 

15 activities to be undertaken; 

16 ‘‘(B) a detailed and accurate description of 

17 equipment to be used for such activities, includ18 ing— 

19 ‘‘(i) a description of each drilling unit; 

20 ‘‘(ii) a statement of the design and 

21 condition of major safety-related pieces of 

22 equipment, including independent third 

23 party certification of such equipment; and 

24 ‘‘(iii) a description of any new tech25 nology to be used; 


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1 ‘‘(C) a map showing the location of each 

2 well to be drilled; 

3 ‘‘(D) a scenario for the potential blowout of 

4 the well involving the highest potential volume of 

5 liquid hydrocarbons, along with a complete de6 scription of a response plan to both control the 

7 blowout and manage the accompanying dis8 charge of hydrocarbons, including the likelihood 

9 for surface intervention to stop the blowout, the 

10 availability of a rig to drill a relief well, an esti11 mate of the time it would take to drill a relief 

12 well, a description of other technology that may 

13 be used to regain control of the well or capture 

14 escaping hydrocarbons and the potential timeline 

15 for using that technology for its intended pur16 pose, and the strategy, organization, and re17 sources necessary to avoid harm to the environ18 ment and human health from hydrocarbons; 

19 ‘‘(E) an analysis of the potential impacts of 

20 the worst-case-scenario discharge of hydrocarbons 

21 on the marine, coastal, and human environments 

22 for activities conducted pursuant to the proposed 

23 exploration plan; and 

24 ‘‘(F) such other information deemed perti25 nent by the Secretary.’’. 


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1 (d) DRILLING PERMITS.—Section 11(d) of the Outer 

2 Continental Shelf Lands Act (43 U.S.C. 1340(d)) is amend3 ed by to read as follows: 

4 ‘‘(d) DRILLING PERMITS.— 

5 ‘‘(1) IN GENERAL.—The Secretary shall, by regu6 lation, require that any lessee operating under an ap7 proved exploration plan obtain a permit prior to 

8 drilling any well in accordance with such plan, and 

9 prior to any significant modification of the well de10 sign as originally approved by the Secretary. 

11 ‘‘(2) ENGINEERING REVIEW REQUIRED.—The 

12 Secretary may not grant any drilling permit or 

13 modification of the permit prior to completion of a 

14 full engineering review of the well system, including 

15 a determination that critical safety systems, includ16 ing blowout prevention, will utilize best available 

17 technology and that blowout prevention systems will 

18 include redundancy and remote triggering capability. 

19 ‘‘(3) OPERATOR SAFETY AND ENVIRONMENTAL

20 MANAGEMENT REQUIRED.—The Secretary shall not 

21 grant any drilling permit or modification of the per22 mit prior to completion of a safety and environ23 mental management plan to be utilized by the oper24 ator during all well operations.’’. 


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1 (e) EXPLORATION PERMIT REQUIREMENTS.—Section 

2 11(g) of the Outer Continental Shelf Lands Act (43 U.S.C. 

3 1340(g)) is amended by— 

4 (1) striking ‘‘shall be issued’’ and inserting 

5 ‘‘may be issued’’; 

6 (2) inserting ‘‘and after consultation with the 

7 Secretary of Commerce,’’ after ‘‘in accordance with 

8 regulations issued by the Secretary’’; 

9 (3) striking the ‘‘and’’ at the end of paragraph 

10 (2); 

11 (4) in paragraph (3) striking ‘‘will not be un12 duly harmful to’’ and inserting ‘‘is not likely to 

13 harm’’; 

14 (5) striking the period at the end of paragraph 

15 (3) and inserting a semicolon; and 

16 (6) adding at the end the following: 

17 ‘‘(4) the exploration will be conducted in accord18 ance with other applicable environmental and natural 

19 resource conservation laws; 

20 ‘‘(5) in the case of geophysical surveys, the appli21 cant shall use the best available technologies and 

22 methods to minimize impacts on marine life; and 

23 ‘‘(6) in the case of drilling operations, the appli24 cant has available oil spill response and clean-up 

25 equipment and technology that has been demonstrated 


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1 to be capable of effectively remediating a worst-case 

2 release of oil.’’. 

3 (f) ENVIRONMENTAL REVIEW OF PLANS; DEEPWATER

4 PLAN; PLAN DISAPPROVAL.—Section 11 of the Outer Conti5 nental Shelf Lands Act (43 U.S.C. 1340) is amended by 

6 adding at the end the following: 

7 ‘‘(i) ENVIRONMENTAL REVIEW OF PLANS.—The Sec8 retary shall treat the approval of an exploration plan, or 

9 a significant revision of such a plan, as an agency action 

10 requiring preparation of an environmental assessment or 

11 environmental impact statement in accordance with the 

12 National Environmental Policy Act of 1969 (42 U.S.C. 

13 4321 et seq.), and shall require that such plan— 

14 ‘‘(1) be based on the best available technology to 

15 ensure safety in carrying out both the drilling of the 

16 well and any oil spill response; and 

17 ‘‘(2) contain a technical systems analysis of the 

18 safety of the proposed activity, the blowout prevention 

19 technology, and the blowout and spill response plans. 

20 ‘‘(j) DISAPPROVAL OF PLAN.— 

21 ‘‘(1) IN GENERAL.—The Secretary shall dis22 approve the plan if the Secretary determines, because 

23 of exceptional geological conditions in the lease areas, 

24 exceptional resource values in the marine or coastal 


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1 environment, or other exceptional circumstances, 

2 that— 

3 ‘‘(A) implementation of the plan would 

4 probably cause serious harm or damage to life 

5 (including fish and other aquatic life), to prop6 erty, to any mineral deposits (in areas leased or 

7 not leased), to the national security or defense, or 

8 to the marine, coastal, or human environments; 

9 ‘‘(B) the threat of harm or damage will not 

10 disappear or decrease to an acceptable extent 

11 within a reasonable period of time; and 

12 ‘‘(C) the advantages of disapproving the 

13 plan outweigh the advantages of exploration. 

14 ‘‘(2) CANCELLATION OF LEASE FOR DISAPPROVAL

15 OF PLAN.—If a plan is disapproved under this sub16 section, the Secretary may cancel such lease in ac17 cordance with subsection (c)(1) of this section.’’. 

18 SEC. 209. OUTER CONTINENTAL SHELF LEASING PROGRAM. 

19 Section 18 of the Outer Continental Shelf Lands Act 

20 (43 U.S.C. 1344) is amended— 

21 (1) in subsection (a) in the second sentence by 

22 striking ‘‘meet national energy needs’’ and inserting 

23 ‘‘balance national energy needs and the protection of 

24 the marine and coastal environment and all the re25 sources in that environment,’’; 


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1 (2) in subsection (a)(1), by striking ‘‘considers’’ 

2 and inserting ‘‘gives equal consideration to’’; 

3 (3) in subsection (a)(2)(A)— 

4 (A) by striking ‘‘existing’’ and inserting 

5 ‘‘the best available scientific’’; and 

6 (B) by inserting ‘‘, including at least three 

7 consecutive years of data’’ after ‘‘information’’; 

8 (4) in subsection (a)(2)(D), by inserting ‘‘, po9 tential and existing sites of renewable energy installa10 tions’’ after ‘‘deepwater ports,’’; 

11 (5) in subsection (a)(2)(H), by inserting ‘‘includ12 ing the availability of infrastructure to support oil 

13 spill response’’ before the period; 

14 (6) in subsection (a)(3), by— 

15 (A) striking ‘‘to the maximum extent prac16 ticable,’’; 

17 (B) striking ‘‘obtain a proper balance be18 tween’’ and inserting ‘‘minimize’’; and 

19 (C) striking ‘‘damage,’’ and all that follows 

20 through the period and inserting ‘‘damage and 

21 adverse impacts on the marine, coastal, and 

22 human environments, and enhancing the poten23 tial for the discovery of oil and gas.’’; 

24 (7) in subsection (b)(1), by inserting ‘‘environ25 mental, marine, and energy’’ after ‘‘obtain’’; 


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1 (8) in subsection (b)(2), by inserting ‘‘environ2 mental, marine, and’’ after ‘‘interpret the’’; 

3 (9) in subsection (b)(3), by striking ‘‘and’’ after 

4 the semicolon at the end; 

5 (10) by striking the period at the end of sub6 section (b)(4) and inserting a semicolon; 

7 (11) by adding at the end of subsection (b) the 

8 following: 

9 ‘‘(5) provide technical review and oversight of ex10 ploration plans and a systems review of the safety of 

11 well designs and other operational decisions; 

12 ‘‘(6) conduct regular and thorough safety reviews 

13 and inspections; and 

14 ‘‘(7) enforce all applicable laws and regula15 tions.’’; 

16 (12) in the first sentence of subsection (c)(1), by 

17 inserting ‘‘the National Oceanic and Atmospheric Ad18 ministration and’’ after ‘‘including’’; 

19 (13) in subsection (c)(2)— 

20 (A) by inserting after the first sentence the 

21 following: ‘‘The Secretary shall also submit a 

22 copy of such proposed program to the head of 

23 each Federal agency referred to in, or that other24 wise provided suggestions under, paragraph 

25 (1).’’; 


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1 (B) in the third sentence, by inserting ‘‘or 

2 head of a Federal agency’’ after ‘‘such Gov3 ernor’’; and 

4 (C) in the fourth sentence, by inserting ‘‘or 

5 between the Secretary and the head of a Federal 

6 agency,’’ after ‘‘affected State,’’; 

7 (14) in the second sentence of subsection (d)(2), 

8 by inserting ‘‘, the head of a Federal agency,’’ after 

9 ‘‘Attorney General’’; 

10 (15) in subsection (g), by inserting after the first 

11 sentence the following: ‘‘Such information may in12 clude existing inventories and mapping of marine re13 sources previously undertaken by the Department of 

14 the Interior and the National Oceanic and Atmos15 pheric Administration, information provided by the 

16 Department of Defense, and other available data re17 garding energy or mineral resource potential, naviga18 tion uses, fisheries, aquaculture uses, recreational 

19 uses, habitat, conservation, and military uses on the 

20 outer Continental Shelf.’’; and 

21 (16) by adding at the end the following new sub22 section: 

23 ‘‘(i) RESEARCH AND DEVELOPMENT.—The Secretary 

24 shall carry out a program of research and development to 

25 ensure the continued improvement of methodologies for 


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1 characterizing resources of the outer Continental Shelf and 

2 conditions that may affect the ability to develop and use 

3 those resources in a safe, sound, and environmentally re4 sponsible manner. Such research and development activities 

5 may include activities to provide accurate estimates of en6 ergy and mineral reserves and potential on the Outer Conti7 nental Shelf and any activities that may assist in filling 

8 gaps in environmental data needed to develop each leasing 

9 program under this section.’’. 

10 SEC. 210. ENVIRONMENTAL STUDIES. 

11 (a) INFORMATION NEEDED FOR ASSESSMENT AND

12 MANAGEMENT OF ENVIRONMENTAL IMPACTS.—Section 20 

13 of the Outer Continental Shelf Lands Act (43 U.S.C. 1346) 

14 is amended by striking so much as precedes subsection 

15 (a)(2) and inserting the following: 

16 ‘‘SEC. 20. ENVIRONMENTAL STUDIES. 

17 ‘‘(a)(1) The Secretary, in cooperation with the Sec18 retary of Commerce, shall conduct a study no less than once 

19 every three years of any area or region included in any 

20 oil and gas lease sale or other lease in order to establish 

21 information needed for assessment and management of en22 vironmental impacts on the human, marine, and coastal 

23 environments of the outer Continental Shelf and the coastal 

24 areas which may be affected by oil and gas or other mineral 

25 development in such area or region.’’. 


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1 (b) IMPACTS OF DEEP WATER SPILLS.—Section 20 of 

2 the Outer Continental Shelf Lands Act (43 U.S.C. 1346) 

3 is amended by— 

4 (1) redesignating subsections (c) through (f) as 

5 (d) through (g); and 

6 (2) inserting after subsection (b) the following 

7 new subsection: 

8 ‘‘(c) The Secretary shall conduct research to identify 

9 and reduce data gaps related to impacts of deepwater hy10 drocarbon spills, including— 

11 ‘‘(1) effects to benthic substrate communities and 

12 species; 

13 ‘‘(2) water column habitats and species; 

14 ‘‘(3) surface and coastal impacts from spills 

15 originating in deep waters; and 

16 ‘‘(4) the use of dispersants.’’. 

17 SEC. 211. SAFETY REGULATIONS. 

18 Section 21 of the Outer Continental Shelf Lands Act 

19 (43 U.S.C. 1347) is amended— 

20 (1) in subsection (a), by striking ‘‘Upon the date 

21 of enactment of this section,’’ and inserting ‘‘Within 

22 6 months after the date of enactment of the Outer 

23 Continental Shelf Lands Act Amendments of 2010 

24 and every three years thereafter,’’; 

25 (2) in subsection (b) by— 


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1 (A) striking ‘‘for the artificial islands, in2 stallations, and other devices referred to in sec3 tion 4(a)(1) of’’ and inserting ‘‘under’’; 

4 (B) striking ‘‘which the Secretary deter5 mines to be economically feasible’’; and 

6 (C) adding at the end ‘‘Not later than 6 

7 months after the date of enactment of the Outer 

8 Continental Shelf Lands Act Amendments of 

9 2010 and every 3 years thereafter, the Secretary 

10 shall, in consultation with the Outer Continental 

11 Shelf Safety and Environmental Advisory Board 

12 established under title I of the Consolidated 

13 Land, Energy, and Aquatic Resources Act of 

14 2010, identify and publish an updated list of (1) 

15 the best available technologies for key areas of 

16 well design and operation, including blowout 

17 prevention and blowout and oil spill response 

18 and (2) technology needs for which the Secretary 

19 intends to identify best available technologies in 

20 the future.’’; and 

21 (3) by adding at the end the following: 

22 ‘‘(g) SAFETY CASE.—Not later than 6 months after the 

23 date of enactment of the Outer Continental Shelf Lands Act 

24 Amendments of 2010, the Secretary shall promulgate regu25 lations requiring a safety case be submitted along with each 


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1 new application for a permit to drill on the outer Conti2 nental Shelf. Not later than 5 years after the date final reg3 ulations promulgated under this subsection go into effect, 

4 and not less than every 5 years thereafter, the Secretary 

5 shall enter into an arrangement with the National Academy 

6 of Engineering to conduct a study to assess the effectiveness 

7 of these regulations and to recommend improvements in 

8 their administration. 

9 ‘‘(h) OFFSHORE TECHNOLOGY RESEARCH AND RISK

10 ASSESSMENT PROGRAM.— 

11 ‘‘(1) IN GENERAL.—The Secretary shall carry 

12 out a program of research, development, and risk as13 sessment to address technology and development issues 

14 associated with exploration for, and development and 

15 production of, energy and mineral resources on the 

16 outer Continental Shelf, with the primary purpose of 

17 informing its role relating to safety, environmental 

18 protection, and spill response. 

19 ‘‘(2) SPECIFIC FOCUS AREAS.—The program 

20 under this subsection shall include research and devel21 opment related to— 

22 ‘‘(A) risk assessment, using all available 

23 data from safety and compliance records both 

24 within the United States and internationally; 


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1 ‘‘(B) analysis of industry trends in tech2 nology, investment, and frontier areas; 

3 ‘‘(C) reviews of best available technologies, 

4 including those associated with pipelines, blow5 out preventer mechanisms, casing, well design, 

6 and other associated infrastructure related to off7 shore energy development; 

8 ‘‘(D) oil spill response and mitigation; 

9 ‘‘(E) risk associated with human factors; 

10 ‘‘(F) technologies and methods to reduce the 

11 impact of geophysical exploration activities on 

12 marine life; and 

13 ‘‘(G) renewable energy operations.’’. 

14 SEC. 212. ENFORCEMENT OF SAFETY AND ENVIRONMENTAL 

15 REGULATIONS. 

16 Section 22 of the Outer Continental Shelf Lands Act 

17 (43 U.S.C. 1348) is amended— 

18 (1) by amending subsection (c) to read as fol19 lows: 

20 ‘‘(c) INSPECTIONS.—The Secretary and the Secretary 

21 of the department in which the Coast Guard is operating 

22 shall individually, or jointly if they so agree, promulgate 

23 regulations to provide for— 

24 ‘‘(1) scheduled onsite inspection, at least once a 

25 year, of each facility on the outer Continental Shelf 


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1 which is subject to any environmental or safety regu2 lation promulgated pursuant to this Act, which in3 spection shall include all safety equipment designed to 

4 prevent or ameliorate blowouts, fires, spillages, or 

5 other major accidents; 

6 ‘‘(2) scheduled onsite inspection, at least once a 

7 month, of each facility on the outer Continental Shelf 

8 engaged in drilling operations and which is subject to 

9 any environmental or safety regulation promulgated 

10 pursuant to this Act, which inspection shall include 

11 all safety equipment designed to prevent or ameliorate 

12 blowouts, fires, spillages, or other major accidents; 

13 ‘‘(3) periodic onsite inspection without advance 

14 notice to the operator of such facility to assure com15 pliance with such environmental or safety regula16 tions; and 

17 ‘‘(4) periodic audits of each required safety and 

18 environmental management plan, and any associated 

19 safety case, both with respect to their implementation 

20 at each facility on the outer Continental Shelf for 

21 which such a plan or safety case is required and with 

22 respect to onshore management support for activities 

23 at such a facility.’’; 

24 (2) in subsection (d)(1)— 


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1 (A) by striking ‘‘each major fire and each 

2 major oil spillage’’ and inserting ‘‘each major 

3 fire, each major oil spillage, each loss of well 

4 control, and any other accident that presented a 

5 serious risk to human or environmental safety’’; 

6 and 

7 (B) by inserting before the period at the end 

8 the following: ‘‘, as a condition of the lease or 

9 permit’’; 

10 (3) in subsection (d)(2), by inserting before the 

11 period at the end the following: ‘‘as a condition of the 

12 lease or permit’’; 

13 (4) in subsection (e), by adding at the end the 

14 following: ‘‘Any such allegation from any employee of 

15 the lessee or any subcontractor of the lessee shall be 

16 investigated by the Secretary.’’; 

17 (5) in subsection (b)(1), by striking ‘‘recognized’’ 

18 and inserting ‘‘uncontrolled’’; and 

19 (6) by adding at the end the following: 

20 ‘‘(g) INFORMATION ON CAUSES AND CORRECTIVE AC21 TIONS.—For any incident investigated under this section, 

22 the Secretary shall promptly make available to all lessees 

23 and the public technical information about the causes and 

24 corrective actions taken. All data and reports related to any 


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1 such incident shall be maintained in a data base available 

2 to the public. 

3 ‘‘(h) OPERATOR’S ANNUAL CERTIFICATION.— 

4 ‘‘(1) The Secretary, in cooperation with the Sec5 retary of the department in which the Coast Guard 

6 is operating, shall require all operators of all new and 

7 existing drilling and production operations to annu8 ally certify that their operations are being conducted 

9 in accordance with applicable law and regulations. 

10 ‘‘(2) Each certification shall include, but, not be 

11 limited to, statements that verify the operator has— 

12 ‘‘(A) examined all well control system 

13 equipment (both surface and subsea) being used 

14 to ensure that it has been properly maintained 

15 and is capable of shutting in the well during 

16 emergency operations; 

17 ‘‘(B) examined and conducted tests to en18 sure that the emergency equipment has been 

19 function-tested and is capable of addressing 

20 emergency situations; 

21 ‘‘(C) reviewed all rig drilling, casing, ce22 menting, well abandonment (temporary and per23 manent), completion, and workover practices to 

24 ensure that well control is not compromised at 


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1 any point while emergency equipment is in2 stalled on the wellhead; 

3 ‘‘(D) reviewed all emergency shutdown and 

4 dynamic positioning procedures that interface 

5 with emergency well control operations; and 

6 ‘‘(E) taken the necessary steps to ensure 

7 that all personnel involved in well operations are 

8 properly trained and capable of performing their 

9 tasks under both normal drilling and emergency 

10 well control operations. 

11 ‘‘(i) CEO ANNUAL CERTIFICATION.—Operators of all 

12 drilling and production operations shall annually submit 

13 to the Secretary a general statement by the operator’s chief 

14 executive officer that certifies to the operators’ compliance 

15 with all applicable laws and operating regulations. 

16 ‘‘(j) THIRD PARTY CERTIFICATION.—All operators 

17 that modify or upgrade any emergency equipment placed 

18 on any operation to prevent blow-outs or other well control 

19 events, shall have an independent third party conduct a de20 tailed physical inspection and design review of such equip21 ment within 30-days of its installation. The independent 

22 third party shall certify that the equipment will operate 

23 as originally designed and any modifications or upgrades 

24 conducted after delivery have not compromised the design, 

25 performance or functionality of the equipment. Failure to 


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1 comply with this subsection shall result in suspension of 

2 the lease.’’. 

3 SEC. 213. JUDICIAL REVIEW. 

4 Section 23(c)(3) of the Outer Continental Shelf Lands 

5 Act (43 U.S.C. 1349(c)(3)) is amended by striking ‘‘sixty’’ 

6 and inserting ‘‘90’’. 

7 SEC. 214. REMEDIES AND PENALTIES. 

8 (a) CIVIL PENALTY, GENERALLY.—Section 24(b) of the 

9 Outer Continental Shelf Lands Act (43 U.S.C. 1350(b)) is 

10 amended to read as follows: 

11 ‘‘(b)(1) Except as provided in paragraph (2), any per12 son who fails to comply with any provision of this Act, or 

13 any term of a lease, license, or permit issued pursuant to 

14 this Act, or any regulation or order issued under this Act, 

15 shall be liable for a civil administrative penalty of not more 

16 than $75,000 for each day of the continuance of such fail17 ure. The Secretary may assess, collect, and compromise any 

18 such penalty. No penalty shall be assessed until the person 

19 charged with a violation has been given an opportunity for 

20 a hearing. The Secretary shall, by regulation at least every 

21 3 years, adjust the penalty specified in this paragraph to 

22 reflect any increases in the Consumer Price Index (all 

23 items, United States city average) as prepared by the De24 partment of Labor. 


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1 ‘‘(2) If a failure described in paragraph (1) constitutes 

2 or constituted a threat of harm or damage to life (including 

3 fish and other aquatic life), property, any mineral deposit, 

4 or the marine, coastal, or human environment, a civil pen5 alty of not more than $150,000 shall be assessed for each 

6 day of the continuance of the failure.’’. 

7 (b) KNOWING AND WILLFUL VIOLATIONS.—Section 

8 24(c) of the Outer Continental Shelf Lands Act (43 U.S.C. 

9 1350(c)) is amended in paragraph (4) by striking 

10 ‘‘$100,000$100,000’’ and inserting ‘‘$10,000,000’’. 

11 (c) OFFICERS AND AGENTS OF CORPORATIONS.—Sec12 tion 24(d) of the Outer Continental Shelf Lands Act (43 

13 U.S.C. 1350(d)) is amended by inserting ‘‘, or with willful 

14 disregard,’’ after ‘‘knowingly and willfully’’. 

15 SEC. 215. UNIFORM PLANNING FOR OUTER CONTINENTAL 

16 SHELF. 

17 Section 25 of the Outer Continental Shelf Lands Act 

18 (43 U.S.C. 1351) is amended— 

19 (1) by striking ‘‘other than the Gulf of Mexico,’’ 

20 in each place it appears; 

21 (2) in subsection (c), by striking ‘‘and’’ after the 

22 semicolon at the end of paragraph (5), redesignating 

23 paragraph (6) as paragraph (11), and inserting after 

24 paragraph (5) the following new paragraphs: 


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1 ‘‘(6) a detailed and accurate description of 

2 equipment to be used for the drilling of wells pursu3 ant to activities included in the development and pro4 duction plan, including— 

5 ‘‘(A) a description of the drilling unit or 

6 units; 

7 ‘‘(B) a statement of the design and condi8 tion of major safety-related pieces of equipment, 

9 including independent third-party certification 

10 of such equipment; and 

11 ‘‘(C) a description of any new technology to 

12 be used; 

13 ‘‘(7) a scenario for the potential blowout of each 

14 well to be drilled as part of the plan involving the 

15 highest potential volume of liquid hydrocarbons, along 

16 with a complete description of a response plan to both 

17 control the blowout and manage the accompanying 

18 discharge of hydrocarbons, including the likelihood for 

19 surface intervention to stop the blowout, the avail20 ability of a rig to drill a relief well, an estimate of 

21 the time it would take to drill a relief well, a descrip22 tion of other technology that may be used to regain 

23 control of the well or capture escaping hydrocarbons 

24 and the potential timeline for using that technology 

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1 tion, and resources necessary to avoid harm to the en2 vironment and human health from hydrocarbons; 

3 ‘‘(8) an analysis of the potential impacts of the 

4 worst-case-scenario discharge on the marine, coastal, 

5 and human environments for activities conducted 

6 pursuant to the proposed development and production 

7 plan; 

8 ‘‘(9) a comprehensive survey and characteriza9 tion of the coastal or marine environment within the 

10 area of operation, including bathymetry, currents and 

11 circulation patterns within the water column, and de12 scriptions of benthic and pelagic environments; 

13 ‘‘(10) a description of the technologies to be de14 ployed on the facilities to routinely observe and mon15 itor in real time the marine environment throughout 

16 the duration of operations, and a description of the 

17 process by which such observation data and informa18 tion will be made available to Federal regulators and 

19 to the System established under section 12304 of Pub20 lic Law 111–11 (33 U.S.C. 3603); and’’; 

21 (3) in subsection (e), by striking so much as pre22 cedes paragraph (2) and inserting the following: 

23 ‘‘(e)(1) The Secretary shall treat the approval of a de24 velopment and production plan, or a significant revision 

25 of a development and production plan, as an agency action 


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1 requiring preparation of an environmental assessment or 

2 environmental impact statement, in accordance with the 

3 National Environmental Policy Act of 1969 (42 U.S.C. 

4 4321 et seq.).’’; 

5 (4) by striking subsections (g) and (l), and redes6 ignating subsections (h) through (k) as subsections (g) 

7 through and (j); and 

8 (5) in subsection (g), as so redesignated, by re9 designating paragraphs (2) and (3) as paragraphs 

10 (3) and (4), respectively, and inserting after para11 graph (1) the following: 

12 ‘‘(2) The Secretary shall not approve a develop13 ment and production plan, or a significant revision 

14 to such a plan, unless– 

15 ‘‘(A) the plan is in compliance with all 

16 other applicable environmental and natural re17 source conservation laws; and 

18 ‘‘(B) the applicant has available oil spill re19 sponse and clean-up equipment and technology 

20 that has been demonstrated to be capable of effec21 tively remediating the projected worst-case re22 lease of oil from activities conducted pursuant to 

23 the development and production plan.’’. 


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1 SEC. 216. OIL AND GAS INFORMATION PROGRAM. 

2 Section 26(a)(1) of the Outer Continental Shelf Lands 

3 Act (43 U.S.C. 1352(a)(1)) is amended by— 

4 (1) striking the period at the end of subpara5 graph (A) and inserting, ‘‘, provided that such data 

6 shall be transmitted in electronic format either in 

7 real-time or as quickly as practicable following the 

8 generation of such data.’’; and 

9 (2) striking subparagraph (C) and inserting the 

10 following: 

11 ‘‘(C) Lessees engaged in drilling operations 

12 shall provide to the Secretary all daily reports 

13 generated by the lessee, or any daily reports gen14 erated by contractors or subcontractors engaged 

15 in or supporting drilling operations on the les16 see’s lease, no more than 24 hours after the end 

17 of the day for which they should have been gen18 erated.’’. 

19 SEC. 217. LIMITATION ON ROYALTY-IN-KIND PROGRAM. 

20 Section 27(a) of the Outer Continental Shelf Lands Act 

21 (43 U.S.C. 1353(a)) is amended by striking the period at 

22 the end of paragraph (1) and inserting ‘‘, except that the 

23 Secretary shall not conduct a regular program to take oil 

24 and gas lease royalties in oil or gas.’’. 


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1 SEC. 218. RESTRICTIONS ON EMPLOYMENT. 

2 Section 29 of the Outer Continental Shelf Lands Act 

3 (43 U.S.C. 1355) is amended— 

4 (1) in the matter preceding paragraph (1)— 

5 (A) by striking ‘‘SEC. 29’’ and all that fol6 lows through ‘‘No full-time’’ and inserting the 

7 following: 

8 ‘‘SEC. 29. RESTRICTIONS ON EMPLOYMENT. 

9 ‘‘(a) IN GENERAL.—No full-time’’; and 

10 (B) by striking ‘‘, and who was at any time 

11 during the twelve months preceding the termi12 nation of his employment with the Department 

13 compensated under the Executive Schedule or 

14 compensated at or above the annual rate of basic 

15 pay for grade GS–16 of the General Schedule’’; 

16 (2) in paragraph (1)— 

17 (A) in subparagraph (A), by inserting ‘‘or 

18 advise’’ after ‘‘represent’’; 

19 (B) in subparagraph (B), by striking ‘‘with 

20 the intent to influence, make’’ and inserting ‘‘act 

21 with the intent to influence, directly or indi22 rectly, or make’’; and 

23 (C) in the matter following subparagraph 

24 (C)— 


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1 (i) by inserting ‘‘inspection or enforce2 ment action,’’ before ‘‘or other particular 

3 matter’’; and 

4 (ii) by striking ‘‘or’’ at the end; 

5 (3) in paragraph (2)— 

6 (A) in subparagraph (A), by inserting ‘‘or 

7 advise’’ after ‘‘represent’’; 

8 (B) in subparagraph (B), by striking ‘‘with 

9 the intent to influence, make’’ and inserting ‘‘act 

10 with the intent to influence, directly or indi11 rectly, or make’’; and 

12 (C) by striking the period at the end and 

13 inserting ‘‘; or’’; and 

14 (4) by adding at the end the following: 

15 ‘‘(3) during the 2-year period beginning on the 

16 date on which the employment of the officer or em17 ployee ceased at the Department, accept employment 

18 or compensation from any party that has a direct 

19 and substantial interest— 

20 ‘‘(A) that was pending under the official re21 sponsibility of the officer or employee as an offi22 cer at any point during the 2-year period pre23 ceding the date of termination of the responsi24 bility; or 


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1 ‘‘(B) in which the officer or employee par2 ticipated personally and substantially as an offi3 cer or employee of the Department. 

4 ‘‘(b) PRIOR DEALINGS.—No full-time officer or em5 ployee of the Department of the Interior who directly or 

6 indirectly discharged duties or responsibilities under this 

7 Act shall participate personally and substantially as a Fed8 eral officer or employee, through decision, approval, dis9 approval, recommendation, the rendering of advice, inves10 tigation, or otherwise, in a proceeding, application, request 

11 for a ruling or other determination, contract, claim, con12 troversy, charge, accusation, inspection, enforcement action, 

13 or other particular matter in which, to the knowledge of 

14 the officer or employee— 

15 ‘‘(1) the officer or employee or the spouse, minor 

16 child, or general partner of the officer or employee has 

17 a financial interest; 

18 ‘‘(2) any organization in which the officer or em19 ployee is serving as an officer, director, trustee, gen20 eral partner, or employee has a financial interest; 

21 ‘‘(3) any person or organization with whom the 

22 officer or employee is negotiating or has any arrange23 ment concerning prospective employment has a finan24 cial interest; or 


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1 ‘‘(4) any person or organization in which the of2 ficer or employee has, within the preceding 1-year pe3 riod, served as an officer, director, trustee, general 

4 partner, agent, attorney, consultant, contractor, or 

5 employee. 

6 ‘‘(c) GIFTS FROM OUTSIDE SOURCES.—No full-time 

7 officer or employee of the Department of the Interior who 

8 directly or indirectly discharges duties or responsibilities 

9 under this Act shall, directly or indirectly, solicit or accept 

10 any gift in violation of subpart B of part 2635 of title 5, 

11 Code of Federal Regulations (or successor regulations). 

12 ‘‘(d) PENALTY.—Any person that violates subsection 

13 (a) or (b) shall be punished in accordance with section 216 

14 of title 18, United States Code.’’. 

15 SEC. 219. REPEAL OF ROYALTY RELIEF PROVISIONS. 

16 (a) REPEAL OF PROVISIONS OF ENERGY POLICY ACT

17 OF 2005.—The following provisions of the Energy Policy 

18 Act of 2005 (Public Law 109–58) are repealed: 

19 (1) Section 344 (42 U.S.C. 15904; relating to in20 centives for natural gas production from deep wells in 

21 shallow waters of the Gulf of Mexico). 

22 (2) Section 345 (42 U.S.C. 15905; relating to 

23 royalty relief for deep water production in the Gulf 

24 of Mexico). 


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1 (b) REPEAL OF PROVISIONS RELATING TO PLANNING

2 AREAS OFFSHORE ALASKA.—Section 8(a)(3)(B) of the 

3 Outer Continental Shelf Lands Act (43 U.S.C. 

4 1337(a)(3)(B)) is amended by striking ‘‘and in the Plan5 ning Areas offshore Alaska’’. 

6 SEC. 220. MANNING AND BUY- AND BUILD-AMERICAN RE7 QUIREMENTS. 

8 Section 30 of the Outer Continental Shelf Lands Act 

9 (43 U.S.C. 1356) is amended— 

10 (1) in subsection (a), by striking ‘‘shall issue reg11 ulations which’’ and inserting ‘‘shall issue regulations 

12 that shall be supplemental to and complementary 

13 with and under no circumstances a substitution for 

14 the provisions of the Constitution and laws of the 

15 United States extended to the subsoil and seabed of 

16 the outer Continental Shelf pursuant to section 

17 4(a)(1) of this Act, except insofar as such laws would 

18 otherwise apply to individuals who have extraor19 dinary ability in the sciences, arts, education, or 

20 business, which has been demonstrated by sustained 

21 national or international acclaim, and that’’; and 

22 (2) by adding at the end the following: 

23 ‘‘(d) BUY AND BUILD AMERICAN.—It is the intention 

24 of the Congress that this Act, among other things, result 

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1 turing, transportation, and service sector employing the 

2 vast talents of America’s workforce to assist in the develop3 ment of energy from the outer Continental Shelf. Moreover, 

4 the Congress intends to monitor the deployment of personnel 

5 and material on the outer Continental Shelf to encourage 

6 the development of American technology and manufacturing 

7 to enable United States workers to benefit from this Act by 

8 good jobs and careers, as well as the establishment of impor9 tant industrial facilities to support expanded access to 

10 American resources.’’. 

11 SEC. 221. NATIONAL COMMISSION ON OUTER CONTINENTAL 

12 SHELF OIL SPILL PREVENTION. 

13 (a) ESTABLISHMENT.—There is established in the Leg14 islative branch the National Commission on Outer Conti15 nental Shelf Oil Spill Prevention (referred to in this section 

16 as the ‘‘Commission’’). 

17 (b) PURPOSES.—The purposes of the Commission 

18 are— 

19 (1) to examine and report on the facts and 

20 causes relating to the Deepwater Horizon explosion 

21 and oil spill of 2010; 

22 (2) to ascertain, evaluate, and report on the evi23 dence developed by all relevant governmental agencies 

24 regarding the facts and circumstances surrounding 

25 the incident; 


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1 (3) to build upon the investigations of other enti2 ties, and avoid unnecessary duplication, by reviewing 

3 the findings, conclusions, and recommendations of— 

4 (A) the Committees on Energy and Natural 

5 Resources and Commerce, Science, and Trans6 portation of the Senate; 

7 (B) the Committee on Natural Resources 

8 and the Subcommittee on Oversight and Inves9 tigations of the House of Representatives; and 

10 (C) other Executive branch, congressional, 

11 or independent commission investigations into 

12 the Deepwater Horizon incident of 2010, other 

13 fatal oil platform accidents and major spills, 

14 and major oil spills generally; 

15 (4) to make a full and complete accounting of the 

16 circumstances surrounding the incident, and the ex17 tent of the preparedness of the United States for, and 

18 immediate response of the United States to, the inci19 dent; and 

20 (5) to investigate and report to the President 

21 and Congress findings, conclusions, and recommenda22 tions for corrective measures that may be taken to 

23 prevent similar incidents. 

24 (c) COMPOSITION OF COMMISSION.— 


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1 (1) MEMBERS.—The Commission shall be com2 posed of 10 members, of whom— 

3 (A) 1 member shall be appointed by the 

4 President, who shall serve as Chairperson of the 

5 Commission; 

6 (B) 1 member shall be appointed by the ma7 jority or minority (as the case may be) leader of 

8 the Senate from the Republican Party and the 

9 majority or minority (as the case may be) leader 

10 of the House of Representatives from the Repub11 lican Party, who shall serve as Vice Chairperson 

12 of the Commission; 

13 (C) 2 members shall be appointed by the 

14 senior member of the leadership of the Senate 

15 from the Democratic Party; 

16 (D) 2 members shall be appointed by the 

17 senior member of the leadership of the House of 

18 Representatives from the Republican Party; 

19 (E) 2 members shall be appointed by the 

20 senior member of the leadership of the Senate 

21 from the Republican Party; and 

22 (F) 2 members shall be appointed by the 

23 senior member of the leadership of the House of 

24 Representatives from the Democratic Party. 

25 (2) QUALIFICATIONS; INITIAL MEETING.— 


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1 (A) POLITICAL PARTY AFFILIATION.—Not 

2 more than 5 members of the Commission shall be 

3 from the same political party. 

4 (B) NONGOVERNMENTAL APPOINTEES.—An 

5 individual appointed to the Commission may 

6 not be a current officer or employee of the Fed7 eral Government or any State or local govern8 ment. 

9 (C) OTHER QUALIFICATIONS.—It is the 

10 sense of Congress that individuals appointed to 

11 the Commission should be prominent United 

12 States citizens, with national recognition and 

13 significant depth of experience and expertise in 

14 such areas as— 

15 (i) engineering; 

16 (ii) environmental compliance; 

17 (iii) health and safety law (particu18 larly oil spill legislation); 

19 (iv) oil spill insurance policies; 

20 (v) public administration; 

21 (vi) oil and gas exploration and pro22 duction; 

23 (vii) environmental cleanup; and 

24 (viii) fisheries and wildlife manage25 ment. 


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1 (D) DEADLINE FOR APPOINTMENT.—All 

2 members of the Commission shall be appointed 

3 on or before September 15, 2010. 

4 (E) INITIAL MEETING.—The Commission 

5 shall meet and begin the operations of the Com6 mission as soon as practicable after the date of 

7 enactment of this Act. 

8 (3) QUORUM; VACANCIES.— 

9 (A) IN GENERAL.—After the initial meeting 

10 of the Commission, the Commission shall meet 

11 upon the call of the Chairperson or a majority 

12 of the members of the Commission. 

13 (B) QUORUM.—6 members of the Commis14 sion shall constitute a quorum. 

15 (C) VACANCIES.—Any vacancy in the Com16 mission shall not affect the powers of the Com17 mission, but shall be filled in the same manner 

18 in which the original appointment was made. 

19 (d) FUNCTIONS OF COMMISSION.— 

20 (1) IN GENERAL.—The functions of the Commis21 sion are— 

22 (A) to conduct an investigation that— 

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1 sociated oil spill thereafter, including any 

2 relevant legislation, Executive order, regula3 tion, plan, policy, practice, or procedure; 

4 and 

5 (ii) may include relevant facts and cir6 cumstances relating to— 

7 (I) permitting agencies; 

8 (II) environmental and worker 

9 safety law enforcement agencies; 

10 (III) national energy require11 ments; 

12 (IV) deepwater and 

13 ultradeepwater oil and gas exploration 

14 and development; 

15 (V) regulatory specifications, test16 ing, and requirements for offshore oil 

17 and gas well explosion prevention; 

18 (VI) regulatory specifications, 

19 testing, and requirements offshore oil 

20 and gas well casing and cementing reg21 ulation; 

22 (VII) the role of congressional 

23 oversight and resource allocation; and 

24 (VIII) other areas of the public 

25 and private sectors determined to be 


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1 relevant to the Deepwater Horizon in2 cident by the Commission; 

3 (B) to identify, review, and evaluate the les4 sons learned from the Deepwater Horizon inci5 dent of April 20, 2010, regarding the structure, 

6 coordination, management policies, and proce7 dures of the Federal Government, and, if appro8 priate, State and local governments and non9 governmental entities, and the private sector, rel10 ative to detecting, preventing, and responding to 

11 those incidents; and 

12 (C) to submit to the President and Congress 

13 such reports as are required under this section 

14 containing such findings, conclusions, and rec15 ommendations as the Commission determines to 

16 be appropriate, including proposals for organiza17 tion, coordination, planning, management ar18 rangements, procedures, rules, and regulations. 

19 (2) RELATIONSHIP TO INQUIRY BY CONGRES20 SIONAL COMMITTEES.—In investigating facts and cir21 cumstances relating to energy policy, the Commission 

22 shall— 

23 (A) first review the information compiled 

24 by, and any findings, conclusions, and rec25 ommendations of, the committees identified in 


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1 subparagraphs (A) and (B) of subsection (b)(3); 

2 and 

3 (B) after completion of that review, pursue 

4 any appropriate area of inquiry, if the Commis5 sion determines that— 

6 (i) those committees have not inves7 tigated that area; 

8 (ii) the investigation of that area by 

9 those committees has not been completed; or 

10 (iii) new information not reviewed by 

11 the committees has become available with 

12 respect to that area. 

13 (e) POWERS OF COMMISSION.— 

14 (1) HEARINGS AND EVIDENCE.—The Commission 

15 or, on the authority of the Commission, any sub16 committee or member of the Commission, may, for the 

17 purpose of carrying out this section— 

18 (A) hold such hearings, meet and act at 

19 such times and places, take such testimony, re20 ceive such evidence, and administer such oaths; 

21 and 

22 (B) require, by subpoena or otherwise, the 

23 attendance and testimony of such witnesses and 

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1 ence, memoranda, papers, documents, tapes, and 

2 materials; 

3 as the Commission or such subcommittee or member con4 siders to be advisable. 

5 (2) SUBPOENAS.— 

6 (A) ISSUANCE.— 

7 (i) IN GENERAL.—A subpoena may be 

8 issued under this paragraph only— 

9 (I) by the agreement of the Chair10 person and the Vice Chairperson; or 

11 (II) by the affirmative vote of 6 

12 members of the Commission. 

13 (ii) SIGNATURE.—Subject to clause (i), 

14 a subpoena issued under this paragraph— 

15 (I) shall bear the signature of the 

16 Chairperson or any member designated 

17 by a majority of the Commission; 

18 (II) and may be served by any 

19 person or class of persons designated 

20 by the Chairperson or by a member 

21 designated by a majority of the Com22 mission for that purpose. 

23 (B) ENFORCEMENT.— 

24 (i) IN GENERAL.—In the case of contu25 macy or failure to obey a subpoena issued 


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1 under subparagraph (A), the United States 

2 district court for the district in which the 

3 subpoenaed person resides, is served, or may 

4 be found, or where the subpoena is return5 able, may issue an order requiring the per6 son to appear at any designated place to 

7 testify or to produce documentary or other 

8 evidence. 

9 (ii) JUDICIAL ACTION FOR NONCOMPLI10 ANCE.—Any failure to obey the order of the 

11 court may be punished by the court as a 

12 contempt of that court. 

13 (iii) ADDITIONAL ENFORCEMENT.—In 

14 the case of any failure of any witness to 

15 comply with any subpoena or to testify 

16 when summoned under authority of this 

17 subsection, the Commission may, by major18 ity vote, certify a statement of fact consti19 tuting such failure to the appropriate 

20 United States attorney, who may bring the 

21 matter before the grand jury for action, 

22 under the same statutory authority and 

23 procedures as if the United States attorney 

24 had received a certification under sections 


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1 102 through 104 of the Revised Statutes (2 

2 U.S.C. 192 through 194). 

3 (3) CONTRACTING.—The Commission may, to 

4 such extent and in such amounts as are provided in 

5 appropriation Acts, enter into contracts to enable the 

6 Commission to discharge the duties of the Commission 

7 under this section. 

8 (4) INFORMATION FROM FEDERAL AGENCIES.— 

9 (A) IN GENERAL.—The Commission may se10 cure directly from any Executive department, 

11 bureau, agency, board, commission, office, inde12 pendent establishment, or instrumentality of the 

13 Federal Government, information, suggestions, 

14 estimates, and statistics for the purposes of this 

15 section. 

16 (B) COOPERATION.—Each Federal depart17 ment, bureau, agency, board, commission, office, 

18 independent establishment, or instrumentality 

19 shall, to the extent authorized by law, furnish in20 formation, suggestions, estimates, and statistics 

21 directly to the Commission, upon request made 

22 by the Chairperson, the Chairperson of any sub23 committee created by a majority of the Commis24 sion, or any member designated by a majority of 

25 the Commission. 


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1 (C) RECEIPT, HANDLING, STORAGE, AND

2 DISSEMINATION.—Information shall be received, 

3 handled, stored, and disseminated only by mem4 bers of the Commission and the staff of the Com5 mission in accordance with all applicable laws 

6 (including regulations and Executive orders). 

7 (5) ASSISTANCE FROM FEDERAL AGENCIES.— 

8 (A) GENERAL SERVICES ADMINISTRA9 TION.—The Administrator of General Services 

10 shall provide to the Commission on a reimburs11 able basis administrative support and other serv12 ices for the performance of the functions of the 

13 Commission. 

14 (B) OTHER DEPARTMENTS AND AGEN15 CIES.—In addition to the assistance prescribed 

16 in subparagraph (A), departments and agencies 

17 of the United States may provide to the Commis18 sion such services, funds, facilities, staff, and 

19 other support services as are determined to be 

20 advisable and authorized by law. 

21 (6) GIFTS.—The Commission may accept, use, 

22 and dispose of gifts or donations of services or prop23 erty, including travel, for the direct advancement of 

24 the functions of the Commission. 


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1 (7) POSTAL SERVICES.—The Commission may 

2 use the United States mails in the same manner and 

3 under the same conditions as departments and agen4 cies of the United States. 

5 (f) PUBLIC MEETINGS AND HEARINGS.— 

6 (1) PUBLIC MEETINGS AND RELEASE OF PUBLIC

7 VERSIONS OF REPORTS.—The Commission shall— 

8 (A) hold public hearings and meetings, to 

9 the extent appropriate; and 

10 (B) release public versions of the reports re11 quired under paragraphs (1) and (2) of sub12 section (j). 

13 (2) PUBLIC HEARINGS.—Any public hearings of 

14 the Commission shall be conducted in a manner con15 sistent with the protection of proprietary or sensitive 

16 information provided to or developed for or by the 

17 Commission as required by any applicable law (in18 cluding a regulation or Executive order). 

19 (g) STAFF OF COMMISSION.— 

20 (1) IN GENERAL.— 

21 (A) APPOINTMENT AND COMPENSATION.— 

22 (i) IN GENERAL.—The Chairperson, in 

23 consultation with the Vice Chairperson and 

24 in accordance with rules agreed upon by the 

25 Commission, may, without regard to the 


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1 civil service laws (including regulations), 

2 appoint and fix the compensation of a staff 

3 director and such other personnel as are 

4 necessary to enable the Commission to carry 

5 out the functions of the Commission. 

6 (ii) MAXIMUM RATE OF PAY.—No rate 

7 of pay fixed under this subparagraph may 

8 exceed the equivalent of that payable for a 

9 position at level V of the Executive Schedule 

10 under section 5316 of title 5, United States 

11 Code. 

12 (B) PERSONNEL AS FEDERAL EMPLOY13 EES.— 

14 (i) IN GENERAL.—The staff director 

15 and any personnel of the Commission who 

16 are employees shall be considered to be em17 ployees under section 2105 of title 5, United 

18 States Code, for purposes of chapters 63, 81, 

19 83, 84, 85, 87, 89, and 90 of that title. 

20 (ii) MEMBERS OF COMMISSION.— 

21 Clause (i) shall not apply to members of the 

22 Commission. 

23 (2) DETAILEES.— 


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1 (A) IN GENERAL.—An employee of the Fed2 eral Government may be detailed to the Commis3 sion without reimbursement. 

4 (B) CIVIL SERVICE STATUS.—The detail of 

5 the employee shall be without interruption or 

6 loss of civil service status or privilege. 

7 (3) PROCUREMENT OF TEMPORARY AND INTER8 MITTENT SERVICES.—The Chairperson of the Com9 mission may procure temporary and intermittent 

10 services in accordance with section 3109(b) of title 5, 

11 United States Code, at rates for individuals that do 

12 not exceed the daily equivalent of the annual rate of 

13 basic pay prescribed for level V of the Executive 

14 Schedule under section 5316 of that title. 

15 (h) COMPENSATION AND TRAVEL EXPENSES.— 

16 (1) COMPENSATION OF MEMBERS.— 

17 (A) NON-FEDERAL EMPLOYEES.—A member 

18 of the Commission who is not an officer or em19 ployee of the Federal Government shall be com20 pensated at a rate equal to the daily equivalent 

21 of the annual rate of basic pay prescribed for 

22 level IV of the Executive Schedule under section 

23 5315 of title 5, United States Code, for each day 

24 (including travel time) during which the member 


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1 is engaged in the performance of the duties of the 

2 Commission. 

3 (B) FEDERAL EMPLOYEES.—A member of 

4 the Commission who is an officer or employee of 

5 the Federal Government shall serve without com6 pensation in addition to the compensation re7 ceived for the services of the member as an officer 

8 or employee of the Federal Government. 

9 (2) TRAVEL EXPENSES.—A member of the Com10 mission shall be allowed travel expenses, including 

11 per diem in lieu of subsistence, at rates authorized for 

12 an employee of an agency under subchapter I of chap13 ter 57 of title 5, United States Code, while away from 

14 the home or regular place of business of the member 

15 in the performance of the duties of the Commission. 

16 (i) SECURITY CLEARANCES FOR COMMISSION MEM17 BERS AND STAFF.— 

18 (1) IN GENERAL.—Subject to paragraph (2), the 

19 appropriate Federal agencies or departments shall co20 operate with the Commission in expeditiously pro21 viding to the members and staff of the Commission 

22 appropriate security clearances, to the maximum ex23 tent practicable, pursuant to existing procedures and 

24 requirements. 


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1 (2) PROPRIETARY INFORMATION.—No person 

2 shall be provided with access to proprietary informa3 tion under this section without the appropriate secu4 rity clearances. 

5 (j) REPORTS OF COMMISSION; ADJOURNMENT.— 

6 (1) INTERIM REPORTS.—The Commission may 

7 submit to the President and Congress interim reports 

8 containing such findings, conclusions, and rec9 ommendations for corrective measures as have been 

10 agreed to by a majority of members of the Commis11 sion. 

12 (2) FINAL REPORT.—Not later than 180 days 

13 after the date of the enactment of this Act, the Com14 mission shall submit to the President and Congress a 

15 final report containing such findings, conclusions, 

16 and recommendations for corrective measures as have 

17 been agreed to by a majority of members of the Com18 mission. 

19 (3) TEMPORARY ADJOURNMENT.— 

20 (A) IN GENERAL.—The Commission, and all 

21 the authority provided under this section, shall 

22 adjourn and be suspended, respectively, on the 

23 date that is 60 days after the date on which the 

24 final report is submitted under paragraph (2). 


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1 (B) ADMINISTRATIVE ACTIVITIES BEFORE

2 TERMINATION.—The Commission may use the 

3 60-day period referred to in subparagraph (A) 

4 for the purpose of concluding activities of the 

5 Commission, including— 

6 (i) providing testimony to committees 

7 of Congress concerning reports of the Com8 mission; and 

9 (ii) disseminating the final report sub10 mitted under paragraph (2). 

11 (C) RECONVENING OF COMMISSION.—The 

12 Commission shall stand adjourned until such 

13 time as the President or the Secretary of Home14 land Security declares an oil spill of national 

15 significance to have occurred, at which time— 

16 (i) the Commission shall reconvene in 

17 accordance with subsection (c)(3); and 

18 (ii) the authority of the Commission 

19 under this section shall be of full force and 

20 effect. 

21 (k) FUNDING.— 

22 (1) AUTHORIZATION OF APPROPRIATIONS.— 

23 There are authorized to be appropriated to carry out 

24 this section— 


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1 (A) $10,000,000 for the first fiscal year in 

2 which the Commission convenes; and 

3 (B) $3,000,000 for each fiscal year there4 after in which the Commission convenes. 

5 (2) AVAILABILITY.—Amounts made available to 

6 carry out this section shall be available— 

7 (A) for transfer to the Commission for use 

8 in carrying out the functions and activities of 

9 the Commission under this section; and 

10 (B) until the date on which the Commission 

11 adjourns for the fiscal year under subsection 

12 (j)(3). 

13 (l) NONAPPLICABILITY OF FEDERAL ADVISORY COM14 MITTEE ACT.—The Federal Advisory Committee Act (5 

15 U.S.C. App.) shall not apply to the Commission. 

16 Subtitle B—Safety, Environmental, 

17 and Financial Reform of the 

18 Federal Onshore Oil and Gas 

19 Leasing Program 

20 SEC. 231. DILIGENT DEVELOPMENT. 

21 (a) REGULATIONS.—The Secretary shall issue regula22 tions within one year after the date of enactment of this 

23 Act that define ‘‘diligent development’’ for purposes of all 

24 new leases issued under the Mineral Leasing Act (30 U.S.C. 

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1 nental Shelf Lands Act (43 U.S.C. 1331 et seq.). Such regu2 lations shall— 

3 (1) include benchmarks for oil and gas develop4 ment that will ensure that leaseholders take all appro5 priate measures necessary to produce oil and gas from 

6 each lease that contains commercial quantities of oil 

7 and gas within the original term of the lease; 

8 (2) require each leaseholder to submit to the Sec9 retary a diligent development plan showing how the 

10 lessee will meet the benchmarks; 

11 (3) provide accommodation for development 

12 delays, including lease suspensions, directed by the 

13 Secretary that restrict diligent development in order 

14 to meet environmental stipulations and consider15 ations; and 

16 (4) require submission of diligent development 

17 plans in an electronic format proscribed by the Sec18 retary, which the Secretary shall make available for 

19 public review. 

20 (b) BEGINNING OF LEASE TERM.—The regulations 

21 shall provide that the term of a lease shall not begin until 

22 the completion of all civil actions challenging— 

23 (1) the issuance of the lease; and 

24 (2) the issuance of all permits required to ini25 tiate operations under the lease. 


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1 (c) FAILURE TO COMPLY WITH REQUIREMENTS.—If 

2 any person fails to comply with the requirements of any 

3 regulation issued under this section, or any order issued 

4 to implement such a regulation, with respect to a lease, such 

5 lease may be terminated by the Secretary. 

6 SEC. 232. REPORTING REQUIREMENTS. 

7 (a) BIANNUAL REPORTS.—The Secretary shall require 

8 biannual reports from each Federal oil and gas lessee that 

9 holds a nonproducing lease on the actions the lessee has 

10 taken to diligently develop each Federal lease the lessee 

11 holds. 

12 (b) ELECTRONIC DATABASE.—The Secretary shall es13 tablish and maintain an electronic database that is avail14 able to the public that identifies each Federal oil and gas 

15 lease, each lessee under such lease, the acreage held by each 

16 such lessee, and the progress made toward production under 

17 each such lease. 

18 SEC. 233. NOTICE REQUIREMENTS. 

19 Section 17(f) of the Mineral Leasing Act (30 U.S.C. 

20 226(f)) is amended— 

21 (1) by striking all through the first 2 sentences 

22 and inserting the following: 

23 ‘‘(f)(1) At least 45 days before offering lands for lease 

24 under this section, and at least 30 days before approving 

25 applications for permits to drill under the provisions of a 


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1 lease or substantially modifying the terms of any lease 

2 issued under this section, the Secretary shall provide notice 

3 of the proposed action to— 

4 ‘‘(A) the general public by posting such notice in 

5 the appropriate local office and on the electronic 

6 website of the leasing and land management agencies 

7 offering the lands for lease; 

8 ‘‘(B) all surface land owners in the area of the 

9 lands being offered for lease; and 

10 ‘‘(C) the holders of special recreation permits for 

11 commercial use, competitive events, and other orga12 nized activities on the lands being offered for lease. 

13 ‘‘(2)’’; and 

14 (2) by designating the last sentence as paragraph 

15 (3). 

16 SEC. 234. OIL AND GAS LEASING SYSTEM. 

17 (a) ONSHORE OIL AND GAS LEASING.—Section 17(a) 

18 of the Mineral Leasing Act (30 U.S.C. 226(a)) is amended 

19 to read as follows: 

20 ‘‘(a)(1) All lands subject to disposition under this Act 

21 that are known or believed to contain oil or gas deposits 

22 may be leased by the Secretary. 

23 ‘‘(2) Leasing activities under this Act shall be con24 ducted to assure receipt of fair market value for the lands 


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1 and resources leased and the rights conveyed by the Federal 

2 Government.’’. 

3 (b) COMPETITIVE BIDDING.—Section 17(b) of the Min4 eral Leasing Act (30 U.S.C. 226(b)), is amended by striking 

5 so much as precedes paragraph (2) and inserting the fol6 lowing: 

7 ‘‘(b)(1)(A) All lands to be leased shall be leased as pro8 vided in this paragraph to the highest responsible qualified 

9 bidder by competitive bidding under general regulations in 

10 units of not more than 2,560 acres, except in Alaska, where 

11 units shall be not more than 5,760 acres. Such units shall 

12 be as nearly compact as possible. Lease sales shall be con13 ducted by sealed bid. Lease sales shall be held for a State 

14 on a statewide basis where eligible lands in such States are 

15 available no more than 3 times per year per State, unless 

16 the Secretary of the Interior determines additional sales are 

17 necessary. A lease shall be conditioned upon the payment 

18 of a royalty at a rate of not less than 12.5 percent in 

19 amount or value of the production removed or sold from 

20 the lease. The Secretary may issue a lease to the responsible 

21 qualified bidder with the highest bid that is equal to or 

22 greater than the national minimum acceptable bid, with 

23 evaluation of the value of the lands proposed for lease. The 

24 Secretary shall decide whether to accept a bid and issue 

25 a lease within 90 days following payment by the successful 


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1 bidder of the remainder of the bonus bid, if any, and the 

2 annual rental for the first lease year. All bids for less than 

3 the national minimum acceptable bid shall be rejected. 

4 ‘‘(B)(i) The national minimum acceptable bid shall be 

5 $2.50 per acre, except that the Secretary may establish a 

6 higher minimum acceptable bid for leases of areas in a 

7 State for all leases awarded after the 2-year period begin8 ning on the date of enactment of the Consolidated Land, 

9 Energy, and Aquatic Resources Act of 2010, if the Secretary 

10 finds that such a higher amount is necessary— 

11 ‘‘(I) to enhance financial returns to the United 

12 States; and 

13 ‘‘(II) to promote more efficient management of 

14 oil and gas resources on Federal lands. 

15 ‘‘(ii) The proposal or promulgation of any regulation 

16 to establish a higher minimum acceptable bid for a State 

17 shall not be considered a major Federal action that is sub18 ject to the requirements of section 102(2)(C) of the National 

19 Environmental Policy Act of 1969 (42 U.S.C. 4332(2)(c)).’’. 

20 (c) RENTALS.—Section 17(d) of the Mineral Leasing 

21 (30 U.S.C. 226(d)) is amended to read as follows: 

22 ‘‘(d)(1) During the 2-year period beginning on the date 

23 of enactment of the Consolidated Land, Energy, and Aquat24 ic Resources Act of 2010, all leases issued under this section 

25 shall be conditioned upon payment by the lessee of a rental 


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1 of not less than $2.50 per acre per year for the first through 

2 fifth years of the lease and not less than $3 per acre per 

3 year for each year thereafter. After the end of such 2-year 

4 period, the Secretary may establish higher rental rates for 

5 all subsequent years, if the Secretary finds that such action 

6 is necessary— 

7 ‘‘(A) to enhance financial returns to the United 

8 States; and 

9 ‘‘(B) to promote more efficient management of 

10 oil and gas and alternative energy resources on Fed11 eral lands. 

12 ‘‘(2) A minimum royalty in lieu of rental of not less 

13 than the rental that otherwise would be required for that 

14 lease year shall be payable at the expiration of each lease 

15 year beginning on or after a discovery of oil or gas in pay16 ing quantities on the land leased.’’. 

17 (d) ELIMINATION OF NONCOMPETITIVE LEASING.—The 

18 Mineral Leasing Act is amended— 

19 (1) in section 17(b) (30 U.S.C. 226(b)), by strik20 ing paragraph (3); 

21 (2) in section 17 (30 U.S.C. 226) by striking 

22 subsection (c); 

23 (3) in section 17(e) (30 U.S.C. 226(e))— 

24 (A) by striking ‘‘Competitive and non25 competitive leases’’ and inserting ‘‘Leases’’; and 


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1 (B) by striking ‘‘competitive’’; 

2 (4) in section 31(d)(1) (30 U.S.C. 188(d)(1) by 

3 striking ‘‘or section 17(c)’’; 

4 (5) in section 31(e) (30 U.S.C. 188(e))— 

5 (A) in paragraph (2) by striking ‘‘, or the 

6 inclusion’’ and all that follows and inserting a 

7 semicolon; and 

8 (B) in paragraph (3) by striking ‘‘(A)’’ and 

9 by striking subparagraph (B); 

10 (6) by striking section 31(f) (30 U.S.C. 188(f)); 

11 and 

12 (7) in section 31(g) (30 U.S.C. 188(g))— 

13 (A) in paragraph (1) by striking ‘‘a com14 petitive’’ and all that follows through the period 

15 and inserting ‘‘in the same manner as the origi16 nal lease issued pursuant to section 17.’’; 

17 (B) by striking paragraph (2); and 

18 (C) in paragraph (3) by striking ‘‘, appli19 cable to leases issued under subsection 17(c) of 

20 this Act (30 U.S.C. 226(c)) except,’’ and insert21 ing ‘‘, except’’. 

22 SEC. 235. ELECTRONIC REPORTING. 

23 (a) RIGHTS-OF-WAY.—Section 28(w) of the Mineral 

24 Leasing Act (30 U.S.C. 185(w)) is amended by adding at 

25 the end the following: 


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1 ‘‘(4) Upon request of a Committee listed under 

2 paragraph (2), that Committee may receive notifica3 tions under this subsection in electronic format in ad4 dition to in writing, or in electronic format alone. 

5 The Committee shall designate to the Secretary the 

6 appropriate individual or individuals on the Com7 mittee to receive such electronic notices.’’. 

8 (b) LEASE REINSTATEMENT.—Section 31(e) of the 

9 Mineral Leasing Act (30 U.S.C. 188(e)) is amended by add10 ing at the end the following: ‘‘Upon request of such a Com11 mittee, that Committee may receive notifications under this 

12 subsection in electronic format in addition to in writing, 

13 or in electronic format alone. The Committee shall designate 

14 to the Secretary the appropriate individual or individuals 

15 on the Committee to receive such electronic notices.’’. 

16 SEC. 236. BEST MANAGEMENT PRACTICES. 

17 Not later than one year after the date of enactment 

18 of this Act, the Secretary of the Interior shall promulgate 

19 final regulations that require oil and gas operators to use 

20 best management practices that ensure the sound, efficient, 

21 and environmentally responsible development of oil and gas 

22 on Federal lands in a manner that avoids where practical, 

23 minimizes, and mitigates actual and anticipated impacts 

24 to environmental habitat functions resulting from oil and 

25 gas development. Such regulations may allow the Secretary 


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1 to approve site-specific adjustments to address unique issues 

2 and circumstances, on a case-by-case basis. All such regula3 tions shall be consistent with the United States trust respon4 sibility to Indian tribes. 

5 SEC. 237. SURFACE DISTURBANCE, RECLAMATION. 

6 Section 17(g) of the Mineral Leasing Act (30 U.S.C. 

7 226(g)) is amended to read as follows: 

8 ‘‘(g) REGULATION OF SURFACE-DISTURBING ACTIVI9 TIES; APPROVAL OF PLAN OF OPERATIONS; BOND OR SUR10 ETY; FAILURE TO COMPLY WITH RECLAMATION REQUIRE11 MENTS AS BARRING LEASE; OPPORTUNITY TO COMPLY

12 WITH REQUIREMENTS; STANDARDS; MONITORING.— 

13 ‘‘(1) DEFINITIONS.—In this subsection: 

14 ‘‘(A) INTERIM RECLAMATION PLAN.—The 

15 term ‘Interim Reclamation Plan’ means an on16 going plan specifying reclamation steps to be 

17 taken on all disturbed areas covered by any lease 

18 issued under this Act which are not needed for 

19 active operations. Such Interim Reclamation 

20 Plans shall be reviewed by the relevant Secretary 

21 at regular intervals and shall be amended as 

22 warranted, subject to the approval of the relevant 

23 Secretary. 

24 ‘‘(B) FINAL RECLAMATION PLAN.—The term 

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1 scription of all reclamation activity to be con2 ducted for all disturbed areas covered by a lease 

3 issued under this Act prior to final abandon4 ment. Final Reclamation Plans shall include 

5 reclamation of all locations, facilities, trenches, 

6 rights-of-way, roads and any other surface dis7 turbance on lands covered by the lease. 

8 ‘‘(2) IN GENERAL.—The Secretary of the Inte9 rior, or for National Forest lands, the Secretary of 

10 Agriculture, shall regulate all surface-disturbing ac11 tivities conducted pursuant to any lease issued under 

12 this Act, and shall determine reclamation and other 

13 actions as required in the interest of conservation of 

14 surface resources. 

15 ‘‘(3) RECLAMATION PLANS REQUIRED.— 

16 ‘‘(A) APPLICATIONS FOR PERMITS TO

17 DRILL.—Each application for a permit to drill 

18 submitted to the Secretary pursuant to this Act 

19 shall include both an Interim Reclamation Plan 

20 and a Final Reclamation Plan. 

21 ‘‘(B) ANALYSIS AND APPROVAL RE22 QUIRED.—No permit to drill on an oil and gas 

23 lease issued under this Act may be granted with24 out the analysis and approval by the Secretary 

25 concerned of both an interim reclamation plan 


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1 and a final reclamation plan covering proposed 

2 surface-disturbing activities within the lease 

3 area. 

4 ‘‘(C) PLANS OF OPERATIONS.—All Plans of 

5 Operations submitted and approved pursuant to 

6 this Act shall include an Interim Reclamation 

7 Plan. 

8 ‘‘(4) BONDING.—The Secretary concerned shall, 

9 by regulation, require that an adequate bond, surety, 

10 or other financial arrangement will be established 

11 prior to the commencement of surface-disturbing ac12 tivities on any lease, to ensure the complete and time13 ly reclamation of the lease tract, and the restoration 

14 of any lands or surface waters adversely affected by 

15 lease operations after the abandonment or cessation of 

16 oil and gas operations on the lease. The Secretary 

17 shall not issue a lease or leases or approve the assign18 ment of any lease or leases under the terms of this sec19 tion to any person, association, corporation, or any 

20 subsidiary, affiliate, or person controlled by or under 

21 common control with such person, association, or cor22 poration, during any period in which, as determined 

23 by the Secretary of the Interior or Secretary of Agri24 culture, such entity has failed or refused to comply in 

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1 ments and other standards established under this sec2 tion for any prior lease to which such requirements 

3 and standards applied. Prior to making such deter4 mination with respect to any such entity the con5 cerned Secretary shall provide such entity with ade6 quate notification and an opportunity to comply with 

7 such reclamation requirements and other standards 

8 and shall consider whether any administrative or ju9 dicial appeal is pending. Once the entity has com10 plied with the reclamation requirement or other 

11 standard concerned an oil or gas lease may be issued 

12 to such entity under this Act. 

13 ‘‘(5) STANDARDS.—The Secretary of the Interior 

14 and the Secretary of Agriculture shall, by regulation, 

15 establish uniform standards for all Interim and Final 

16 Reclamation Plans. The goal of such plans shall be 

17 the restoration of the affected ecosystem to a condition 

18 approximating or equal to that which existed prior to 

19 the surface disturbance. Such standards shall include, 

20 but are not limited to, restoration of natural vegeta21 tion and hydrology, habitat restoration, salvage, stor22 age and reuse of topsoils, erosion control, control of 

23 invasive species and noxious weeds and natural 

24 contouring. 


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1 ‘‘(6) MONITORING.—The Secretary concerned 

2 shall not approve final abandonment and shall not 

3 release any bond required by this Act until the stand4 ards and requirement for final reclamation estab5 lished pursuant to this Act have been met.’’. 

6 SEC. 238. WILDLIFE SUSTAINABILITY. 

7 (a) DEFINITIONS.—In this section: 

8 (1) DESIRED NONNATIVE SPECIES.—The term 

9 ‘‘desired nonnative species’’ means those wild species 

10 of plants or animals that are not indigenous to a 

11 planning area but are valued for their contribution to 

12 species diversity or their social, cultural, or economic 

13 value. 

14 (2) FOCAL SPECIES.—The term ‘‘focal species’’ 

15 means species selected, based on best available science, 

16 for monitoring because their population status and 

17 trends are believed to provide useful information re18 garding the effects of management activities, or other 

19 factors, on the diversity of ecological systems to which 

20 they belong, and to validate the monitoring of habi21 tats and ecological conditions. 

22 (3) NATIVE SPECIES.—The term ‘‘native species’’ 

23 means species of plants and animals indigenous to a 

24 planning area. 


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1 (4) PLANNING AREA.—The term ‘‘planning area’’ 

2 means any geographic unit of National Forest System 

3 lands or Bureau of Land Management lands covered 

4 by an individual management plan. 

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

6 means— 

7 (A) the Secretary of the Interior, with re8 spect to land under such Secretary’s jurisdiction; 

9 and 

10 (B) the Secretary of Agriculture, with re11 spect to land under such Secretary’s jurisdiction. 

12 (6) SUSTAINABLE POPULATION.—The term ‘‘sus13 tainable population’’ means a population of a species 

14 that has a high likelihood of persisting well distrib15 uted throughout its range within a planning area 

16 based on the best available scientific information, in17 cluding information obtained through the monitoring 

18 program under subsection (c), regarding its habitat 

19 and ecological conditions, abundance and distribu20 tion. 

21 (b) PLANNING FOR AND MANAGEMENT OF SUSTAIN22 ABLE POPULATIONS.— 

23 (1) MANAGEMENT DIRECTION.—Each Secretary, 

24 in cooperation with the appropriate State fish and 

25 wildlife agency, shall plan for and manage planning 


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1 areas under the Secretary’s respective jurisdiction in 

2 order to maintain sustainable populations of native 

3 species and desired nonnative species within each 

4 planning area consistent with— 

5 (A) the Federal Land Policy and Manage6 ment Act of 1976 (43 U.S.C. 1701 et seq.); 

7 (B) the National Forest Management Act 

8 (16 U.S.C. 1600); and 

9 (C) all other applicable laws. 

10 (2) MANAGEMENT COORDINATION.—If a popu11 lation of a species extends across more than one plan12 ning area, each Secretary shall coordinate the man13 agement of lands in the planning areas containing 

14 such population in order to maintain a sustainable 

15 population of such species. 

16 (3) EXTRINSIC CONDITIONS.—If a Secretary, 

17 using the best available science and after providing 

18 notice to the public by publication in the Federal 

19 Register and opportunity for public comment for a 

20 period of at least 60 days, determines that conditions 

21 beyond such Secretary’s authority make it impossible 

22 for the Secretary to maintain a sustainable popu23 lation of a native species or desired nonnative species 

24 within a planning area, or, under the circumstances 


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1 identified in paragraph (2), within two or more plan2 ning areas, such Secretary shall— 

3 (A) manage lands within the planning area 

4 or areas in order to achieve, to the maximum ex5 tent possible, the survival and health of that pop6 ulation; and 

7 (B) certify that, to the maximum extent 

8 practicable, any activity authorized, funded, or 

9 carried out within the planning area or areas 

10 does not increase the likelihood of extirpation of 

11 the population in such planning area or areas. 

12 (4) COMPLIANCE.—Each Secretary shall certify 

13 that land management plans for a planning area 

14 under the Secretary’s respective jurisdiction and ac15 tions implementing or authorized under such plans 

16 comply with this section. 

17 (c) MONITORING AND EVALUATION.— 

18 (1) ESTABLISHMENT OF MONITORING PRO19 GRAMS.—To provide a basis for determining the sus20 tainability of native species and desired nonnative 

21 species populations for purposes of subsection (b), 

22 each Secretary shall adopt and implement, as part of 

23 the land management planning for a planning area, 

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1 tified focal species to determine the status and trends 

2 of such species populations in such planning area. 

3 (2) MONITORING PROGRAM REQUIREMENTS.— 

4 The monitoring programs established under para5 graph (1) shall designate focal species representing the 

6 diversity of ecological systems in the planning area 

7 and provide for— 

8 (A) monitoring of the status and trends of 

9 the habitats and ecological conditions that sup10 port focal species; and 

11 (B) population surveys of focal species iden12 tified in the monitoring program to establish 

13 that monitoring of habitats and ecological condi14 tions is providing accurate information regard15 ing the status and trends of species’ populations 

16 in the planning area. 

17 (3) CONSULTATION AND COOPERATION WITH

18 STATES.—Each Secretary shall develop and imple19 ment, to the maximum extent practicable, the moni20 toring program established under this section, includ21 ing the selection of native species and desired non22 native species, focal species, habitat, and ecological 

23 conditions to be monitored and methodologies for con24 ducting such monitoring, in consultation with the 

25 United States Fish and Wildlife Service, State fish 


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1 and wildlife agencies and in coordination with other 

2 State agencies with responsibility for management of 

3 natural resources. Each Secretary shall consider and 

4 utilize relevant population data maintained by other 

5 Federal agencies, State agencies, tribes, or other rel6 evant entities. 

7 (d) COORDINATION.— 

8 (1) MANAGEMENT COORDINATION.—To the max9 imum extent practicable and consistent with applica10 ble law, each Secretary shall coordinate the manage11 ment of planning areas with the management of the 

12 National Wildlife Refuge System and the National 

13 Park System, other Federal agencies, State fish and 

14 wildlife agencies, other State agencies with responsi15 bility for management of natural resources, tribes, 

16 local governments, and nongovernmental organiza17 tions engaged in species conservation in order to— 

18 (A) maintain sustainable populations of 

19 native species and desired nonnative species; 

20 (B) develop strategies to address the impacts 

21 of climate change on native species and desired 

22 nonnative species; 

23 (C) establish linkages between habitats and 

24 discrete populations; 


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1 (D) reintroduce extirpated species, where 

2 appropriate, when a species population is no 

3 longer present; and 

4 (E) conduct other joint efforts in support of 

5 sustainable plant and animal communities 

6 across jurisdictional boundaries. 

7 (2) COORDINATION WITH CONSERVATION ACTIVI8 TIES.—In planning for the management of lands for 

9 the purpose of maintaining sustainable populations of 

10 native species and desired nonnative species in a 

11 planning area, each Secretary shall, to the maximum 

12 extent practicable and consistent with Federal law— 

13 (A) consult with and offer opportunities for 

14 participation to adjoining Federal, State, tribal, 

15 local, and private landowners, State and tribal 

16 fish and wildlife agencies, and other State and 

17 tribal agencies with responsibility for manage18 ment of natural resources; and 

19 (B) coordinate such management planning 

20 with relevant conservation plans for fish, plants, 

21 and wildlife and their habitats, including State 

22 comprehensive wildlife strategies and other State 

23 conservation strategies for species, National Fish 

24 Habitat partnerships, North American Wetland 

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1 State-private partnership known as Partners in 

2 Flight. 

3 (3) NO EFFECT ON NATIONAL WILDLIFE REFUGE

4 SYSTEM OR NATIONAL PARK SYSTEM.—Nothing in 

5 this section affects the laws or management standards 

6 applicable to lands or species populations within the 

7 National Wildlife Refuge System or National Park 

8 System. 

9 (e) IMPLEMENTING REGULATIONS.— 

10 (1) REGULATIONS.—Not later than one year fol11 lowing the date of enactment of this Act, each Sec12 retary shall issue regulations implementing all provi13 sions of this section. 

14 (2) REGULATIONS UNDER THE NATIONAL FOREST

15 MANAGEMENT ACT.—Issuance of regulations consistent 

16 with the requirements of this section shall be deemed 

17 consistent with the Secretary’s obligation to promul18 gate regulations to specify guidelines for land man19 agement plans for the National Forest System which 

20 provide for diversity of plant and animal commu21 nities pursuant to the National Forest Management 

22 Act (16 U.S.C. sec. 1604(g)(3)(B)). 

23 (f) CONSTRUCTION.—Nothing in this section shall be 

24 construed to— 


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1 (1) affect the authority, jurisdiction, or responsi2 bility of each of the several States to manage, control, 

3 or regulate fish, plants, and wildlife under the laws 

4 and regulations of each of the States; or 

5 (2) authorize a Secretary to control or regulate 

6 within a State the fishing or hunting of fish and 

7 wildlife within the State except insofar as the Sec8 retary may exercise authority granted to him or her 

9 under other laws. 

10 SEC. 239. ONLINE AVAILABILITY TO THE PUBLIC OF INFOR11 MATION RELATING TO OIL AND GAS CHEM12 ICAL USE. 

13 (a) IN GENERAL.—An operator authorized to explore 

14 for, develop, or produce oil and gas under any Federal min15 eral leasing law shall, within 30 days after completion of 

16 drilling a well on a lease area or any portion thereof, make 

17 the list of chemicals used in drilling or completing the well, 

18 including the chemical constituents of mixtures, Chemical 

19 Abstracts Service numbers, and material safety data sheets, 

20 available to the public on an Internet website created and 

21 maintained by the Bureau of Safety and Environmental 

22 Enforcement. 

23 (b) PROPRIETARY CHEMICAL FORMULAS.—This sec24 tion does not authorize the Director of the Bureau of Safety 


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1 and Environmental Enforcement to require the public dis2 closure of proprietary chemical formulas. 

3 (c) RULEMAKING AUTHORITY.—Not later than 1 year 

4 after the date of enactment of this Act, the Secretary, after 

5 providing notice and an opportunity for public comment, 

6 shall promulgate regulations to implement this section. 

7 SEC. 240. LIMITATION ON ROYALTY–IN-KIND PROGRAM. 

8 Section 36 of the Mineral Leasing Act (30 U.S.C. 192) 

9 is amended by inserting before the period at the end of the 

10 first sentence the following: ‘‘, except that the Secretary shall 

11 not conduct a regular program to take oil and gas lease 

12 royalties in oil or gas’’. 

13 SEC. 241. ENVIRONMENTAL REVIEW. 

14 Section 390 of the Energy Policy Act of 2005 (Public 

15 Law 109–58; 42 U.S.C. 15942) is repealed. 

16 SEC. 242. FEDERAL LANDS URANIUM LEASING. 

17 The Mineral Leasing Act (30 U.S.C. 181 et seq.) is 

18 amended by redesignating section 44 as section 45, and by 

19 inserting after section 43 the following new section: 

20 ‘‘SEC. 44. LEASING OF LANDS FOR URANIUM MINING. 

21 ‘‘(a) IN GENERAL.— 

22 ‘‘(1) WITHDRAWAL FROM ENTRY; LEASING RE23 QUIREMENT.—Effective upon the date of enactment of 

24 the Consolidated Land, Energy, and Aquatic Re25 sources Act of 2010, all Federal lands are hereby perVerDate Mar 15 2010 22:50 Jul 28, 2010 Jkt 089200 PO 00000 Frm 00128 Fmt 6652 Sfmt 6203 E:\BILLS\H3534.RH H3534

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1 manently withdrawn from location and entry under 

2 section 2319 of the Revised Statutes (30 U.S.C. 22 et 

3 seq.) for uranium. After the end of the 2-year period 

4 beginning on such date of enactment, no uranium 

5 may be produced from Federal lands except pursuant 

6 to a lease issued under this Act. 

7 ‘‘(2) LEASING.—The Secretary— 

8 ‘‘(A) may divide any lands subject to this 

9 Act that are not withdrawn from mineral leasing 

10 and that are otherwise available for uranium 

11 leasing under applicable law, including lands 

12 available under the terms of land use plans pre13 pared by the Federal agency managing the land, 

14 into leasing tracts of such size as the Secretary 

15 finds appropriate and in the public interest; and 

16 ‘‘(B) thereafter shall, in the Secretary’s dis17 cretion, upon the request of any qualified appli18 cant or on the Secretary’s own motion, from 

19 time to time, offer such lands for uranium leas20 ing and award uranium leases thereon by com21 petitive bidding. 

22 ‘‘(b) FAIR MARKET VALUE REQUIRED.— 

23 ‘‘(1) IN GENERAL.—No bid for a uranium lease 

24 shall be accepted that is less than the fair market 


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1 value, as determined by the Secretary, of the uranium 

2 subject to the lease. 

3 ‘‘(2) PUBLIC COMMENT.—Prior to the Secretary’s 

4 determination of the fair market value of the ura5 nium subject to the lease, the Secretary shall give op6 portunity for and consideration to public comments 

7 on the fair market value. 

8 ‘‘(3) DISCLOSURE NOT REQUIRED.—Nothing in 

9 this section shall be construed to require the Secretary 

10 to make public the Secretary’s judgment as to the fair 

11 market value of the uranium to be leased, or the com12 ments the Secretary receives thereon prior to the 

13 issuance of the lease. 

14 ‘‘(c) LANDS UNDER THE JURISDICTION OF OTHER

15 AGENCIES.—Leases covering lands the surface of which is 

16 under the jurisdiction of any Federal agency other than the 

17 Department of the Interior may be issued only— 

18 ‘‘(1) upon consent of the head of the other Fed19 eral agency; and 

20 ‘‘(2) upon such conditions the head of such other 

21 Federal agency may prescribe with respect to the use 

22 and protection of the nonmineral interests in those 

23 lands. 

24 ‘‘(d) CONSIDERATION OF EFFECTS OF MINING.—Be25 fore issuing any uranium lease, the Secretary shall consider 


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1 effects that mining under the proposed lease might have on 

2 an impacted community or area, including impacts on the 

3 environment, on agricultural, on cultural resources, and 

4 other economic activities, and on public services. 

5 ‘‘(e) NOTICE OF PROPOSED LEASE.—No lease sale 

6 shall be held for lands until after a notice of the proposed 

7 offering for lease has been given once a week for three con8 secutive weeks in a newspaper of general circulation in the 

9 county in which the lands are situated, or in electronic for10 mat, in accordance with regulations prescribed by the Sec11 retary. 

12 ‘‘(f) AUCTION REQUIREMENTS.—All lands to be leased 

13 under this section shall be leased to the highest responsible 

14 qualified bidder— 

15 ‘‘(1) under general regulations; 

16 ‘‘(2) in units of not more than 2,560 acres that 

17 are as nearly compact as possible; and 

18 ‘‘(3) by oral bidding. 

19 ‘‘(g) REQUIRED PAYMENTS.— 

20 ‘‘(1) IN GENERAL.—A lease under this section 

21 shall be conditioned upon the payment by the lessee 

22 of— 

23 ‘‘(A) a royalty at a rate of not less than 

24 12.5 percent in amount or value of the produc25 tion removed or sold under the lease; and 


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1 ‘‘(B) a rental of— 

2 ‘‘(i) not less than $2.50 per acre per 

3 year for the first through fifth years of the 

4 lease; and 

5 ‘‘(ii) not less than $3 per acre per year 

6 for each year thereafter. 

7 ‘‘(2) USE OF REVENUES.—Amounts received as 

8 revenues under this subsection with respect to a lease 

9 may be used by the Secretary of the Interior, subject 

10 to the availability of appropriations, for cleaning up 

11 uranium mill tailings and reclaiming abandoned 

12 uranium mines on Federal lands in accordance with 

13 the priorities and eligibility restrictions, respectively, 

14 under subsections (c) and (d) of section 411 of the 

15 Surface Mining Control and Reclamation Act of 1977 

16 (30 U.S.C. 1240a), or may be transferred by the Sec17 retary, subject to the availability of appropriations, 

18 to the Attorney General for use by the Attorney Gen19 eral to pay claims filed under the Radiation Expo20 sure Compensation Act (42 U.S.C. 2210 note) that the 

21 Attorney General determines meet the requirements of 

22 that Act. 

23 ‘‘(h) LEASE TERM.—A lease under this section— 

24 ‘‘(1) shall be effective for a primary term of 10 

25 years; and 


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1 ‘‘(2) shall continue in effect after such primary 

2 term for so long is as uranium is produced under the 

3 lease in paying quantities. 

4 ‘‘(i) EXPLORATION LICENSES.— 

5 ‘‘(1) IN GENERAL.—The Secretary may, under 

6 such regulations as the Secretary may prescribe, issue 

7 to any person an exploration license. No person may 

8 conduct uranium exploration for commercial purposes 

9 on lands subject to this Act without such an explo10 ration license. Each exploration license shall be for a 

11 term of not more than two years and shall be subject 

12 to a reasonable fee. An exploration license shall confer 

13 no right to a lease under this Act. The issuance of ex14 ploration licenses shall not preclude the Secretary 

15 from issuing uranium leases at such times and loca16 tions and to such persons as the Secretary deems ap17 propriate. No exploration license may be issued for 

18 any land on which a uranium lease has been issued. 

19 A separate exploration license shall be required for ex20 ploration in each State. An application for an explo21 ration license shall identify general areas and prob22 able methods of exploration. Each exploration license 

23 shall be limited to specific geographic areas in each 

24 State as determined by the Secretary, and shall con25 tain such reasonable conditions as the Secretary may 


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1 require, including conditions to ensure the protection 

2 of the environment, and shall be subject to all appli3 cable Federal, State, and local laws and regulations. 

4 Upon violation of any such conditions or laws the 

5 Secretary may revoke the exploration license. 

6 ‘‘(2) LIMITATIONS.—A licensee may not cause 

7 substantial disturbance to the natural land surface. A 

8 licensee may not remove any uranium for sale but 

9 may remove a reasonable amount of uranium from 

10 the lands subject to this Act included under the Sec11 retary’s license for analysis and study. A licensee 

12 must comply with all applicable rules and regulations 

13 of the Federal agency having jurisdiction over the 

14 surface of the lands subject to this Act. Exploration 

15 licenses covering lands the surface of which is under 

16 the jurisdiction of any Federal agency other than the 

17 Department of the Interior may be issued only upon 

18 such conditions as it may prescribe with respect to 

19 the use and protection of the nonmineral interests in 

20 those lands. 

21 ‘‘(3) SHARING OF DATA.—The licensee shall fur22 nish to the Secretary copies of all data (including ge23 ological, geophysical, and core drilling analyses) ob24 tained during such exploration. The Secretary shall 

25 maintain the confidentiality of all data so obtained 


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1 until after the areas involved have been leased or 

2 until such time as the Secretary determines that mak3 ing the data available to the public would not damage 

4 the competitive position of the licensee, whichever 

5 comes first. 

6 ‘‘(4) EXPLORATION WITHOUT A LICENSE.—Any 

7 person who willfully conducts uranium exploration 

8 for commercial purposes on lands subject to this Act 

9 without an exploration license issued under this sub10 section shall be subject to a fine of not more than 

11 $1,000 for each day of violation. All data collected by 

12 such person on any Federal lands as a result of such 

13 violation shall be made immediately available to the 

14 Secretary, who shall make the data available to the 

15 public as soon as it is practicable. No penalty under 

16 this subsection shall be assessed unless such person is 

17 given notice and opportunity for a hearing with re18 spect to such violation. 

19 ‘‘(j) CONVERSION OF MINING CLAIMS TO MINERAL

20 LEASES.— 

21 ‘‘(1) IN GENERAL.—The owner of any mining 

22 claim (in this subsection referred to as a ‘claimant’) 

23 located prior to the date of enactment of the Consoli24 dated Land, Energy, and Aquatic Resources Act of 

25 2010 may, within two years after such date, apply to 


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1 the Secretary of the Interior to convert the claim to 

2 a lease under this section. The Secretary shall issue 

3 a uranium lease under this section to the claimant 

4 upon a demonstration by the claimant, to the satis5 faction of the Secretary, within one year after the 

6 date of the application to the Secretary, that the 

7 claim was, as of such date of enactment, supported by 

8 the discovery of a valuable deposit of uranium on the 

9 claimed land. The holder of a lease issued upon con10 version from a mining claim under this subsection 

11 shall be subject to all the requirements of this section 

12 governing uranium leases, except that the holder shall 

13 pay a royalty of 6.25 percent on the value of the ura14 nium produced under the lease, until beginning ten 

15 years after the date the claim is converted to a lease. 

16 ‘‘(2) OTHER CLAIMS EXTINGUISHED.—All min17 ing claims located for uranium on Federal lands 

18 whose claimant does not apply to the Secretary for 

19 conversion to a lease, or whose claimant cannot make 

20 such a demonstration of discovery, shall become null 

21 and void by operation of law three years after such 

22 date of enactment.’’. 


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1 Subtitle C—Royalty Relief for 

2 American Consumers 

3 SEC. 251. SHORT TITLE. 

4 This subtitle may be cited as the ‘‘Royalty Relief for 

5 American Consumers Act of 2010’’. 

6 SEC. 252. ELIGIBILITY FOR NEW LEASES AND THE TRANS7 FER OF LEASES. 

8 (a) ISSUANCE OF NEW LEASES.— 

9 (1) IN GENERAL.—The Secretary shall not issue 

10 any new lease that authorizes the production of oil or 

11 natural gas under the Outer Continental Shelf Lands 

12 Act (43 U.S.C. 1331 et seq.) to a person described in 

13 paragraph (2) unless the person has renegotiated each 

14 covered lease with respect to which the person is a les15 see, to modify the payment responsibilities of the per16 son to require the payment of royalties if the price of 

17 oil and natural gas is greater than or equal to the 

18 price thresholds described in clauses (v) through (vii) 

19 of section 8(a)(3)(C) of the Outer Continental Shelf 

20 Lands Act (43 U.S.C. 1337(a)(3)(C)). 

21 (2) PERSONS DESCRIBED.—A person referred to 

22 in paragraph (1) is a person that— 

23 (A) is a lessee that— 


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1 (i) holds a covered lease on the date on 

2 which the Secretary considers the issuance 

3 of the new lease; or 

4 (ii) was issued a covered lease before 

5 the date of enactment of this Act, but trans6 ferred the covered lease to another person or 

7 entity (including a subsidiary or affiliate of 

8 the lessee) after the date of enactment of this 

9 Act; or 

10 (B) any other person that has any direct or 

11 indirect interest in, or that derives any benefit 

12 from, a covered lease. 

13 (3) MULTIPLE LESSEES.— 

14 (A) IN GENERAL.—For purposes of para15 graph (1), if there are multiple lessees that own 

16 a share of a covered lease, the Secretary may im17 plement separate agreements with any lessee 

18 with a share of the covered lease that modifies 

19 the payment responsibilities with respect to the 

20 share of the lessee to include price thresholds that 

21 are equal to or less than the price thresholds de22 scribed in clauses (v) through (vii) of section 

23 8(a)(3)(C) of the Outer Continental Shelf Lands 

24 Act (43 U.S.C. 1337(a)(3)(C)). 


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1 (B) TREATMENT OF SHARE AS COVERED

2 LEASE.—Beginning on the effective date of an 

3 agreement under subparagraph (A), any share 

4 subject to the agreement shall not constitute a 

5 covered lease with respect to any lessees that en6 tered into the agreement. 

7 (b) TRANSFERS.—A lessee or any other person who has 

8 any direct or indirect interest in, or who derives a benefit 

9 from, a lease shall not be eligible to obtain by sale or other 

10 transfer (including through a swap, spinoff, servicing, or 

11 other agreement) any covered lease, the economic benefit of 

12 any covered lease, or any other lease for the production of 

13 oil or natural gas in the Gulf of Mexico under the Outer 

14 Continental Shelf Lands Act (43 U.S.C. 1331 et seq.), unless 

15 the lessee or other person has— 

16 (1) renegotiated each covered lease with respect 

17 to which the lessee or person is a lessee, to modify the 

18 payment responsibilities of the lessee or person to in19 clude price thresholds that are equal to or less than 

20 the price thresholds described in clauses (v) through 

21 (vii) of section 8(a)(3)(C) of the Outer Continental 

22 Shelf Lands Act (43 U.S.C. 1337(a)(3)(C)); or 

23 (2) entered into an agreement with the Secretary 

24 to modify the terms of all covered leases of the lessee 

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1 lief based on market prices that are equal to or less 

2 than the price thresholds described in clauses (v) 

3 through (vii) of section 8(a)(3)(C) of the Outer Conti4 nental Shelf Lands Act (43 U.S.C. 1337(a)(3)(C)). 

5 (c) USE OF AMOUNTS FOR DEFICIT REDUCTION.— 

6 Notwithstanding any other provision of law, any amounts 

7 received by the United States as rentals or royalties under 

8 covered leases shall be deposited in the Treasury and used 

9 for Federal budget deficit reduction or, if there is no Federal 

10 budget deficit, for reducing the Federal debt in such manner 

11 as the Secretary of the Treasury considers appropriate. 

12 (d) DEFINITIONS.—In this section— 

13 (1) COVERED LEASE.—The term ‘‘covered lease’’ 

14 means a lease for oil or gas production in the Gulf 

15 of Mexico that is— 

16 (A) in existence on the date of enactment of 

17 this Act; 

18 (B) issued by the Department of the Inte19 rior under section 304 of the Outer Continental 

20 Shelf Deep Water Royalty Relief Act (43 U.S.C. 

21 1337 note; Public Law 104-58); and 

22 (C) not subject to limitations on royalty re23 lief based on market price that are equal to or 

24 less than the price thresholds described in clauses 

25 (v) through (vii) of section 8(a)(3)(C) of the 


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1 Outer Continental Shelf Lands Act (43 U.S.C. 

2 1337(a)(3)(C)). 

3 (2) LESSEE.—The term ‘‘lessee’’ includes any 

4 person or other entity that controls, is controlled by, 

5 or is in or under common control with, a lessee. 

6 (3) SECRETARY.—The term ‘‘Secretary’’ means 

7 the Secretary of the Interior. 

8 SEC. 253. PRICE THRESHOLDS FOR ROYALTY SUSPENSION 

9 PROVISIONS. 

10 The Secretary of the Interior shall agree to a request 

11 by any lessee to amend any lease issued for any Central 

12 and Western Gulf of Mexico tract in the period of January 

13 1, 1996, through November 28, 2000, to incorporate price 

14 thresholds applicable to royalty suspension provisions, that 

15 are equal to or less than the price thresholds described in 

16 clauses (v) through (vii) of section 8(a)(3)(C) of the Outer 

17 Continental Shelf Lands Act (43 U.S.C. 1337(a)(3)(C)). 

18 Any amended lease shall impose the new or revised price 

19 thresholds effective October 1, 2010. Existing lease provi20 sions shall prevail through September 30, 2010. 

21 TITLE III—OIL AND GAS 

22 ROYALTY REFORM 

23 SEC. 301. AMENDMENTS TO DEFINITIONS. 

24 Section 3 of the Federal Oil and Gas Royalty Manage25 ment Act of 1982 (30 U.S.C. 1702) is amended— 


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1 (1) in paragraph (8), by striking the semicolon 

2 and inserting ‘‘including but not limited to the Act 

3 of October 20, 1914 (38 Stat. 741); the Act of Feb4 ruary 25, 1920 (41 Stat. 437); the Act of April 17, 

5 1926 (44 Stat. 301); the Act of February 7, 1927 (44 

6 Stat. 1057); and all Acts heretofore or hereafter en7 acted that are amendatory of or supplementary to 

8 any of the foregoing Acts;’’; 

9 (2) in paragraph (20)(A), by striking ‘‘: Pro10 vided, That’’ and all that follows through ‘‘subject of 

11 the judicial proceeding’’; 

12 (3) in paragraph (20)(B), by striking ‘‘(with 

13 written notice to the lessee who designated the des14 ignee)’’; 

15 (4) in paragraph (23)(A), by striking ‘‘(with 

16 written notice to the lessee who designated the des17 ignee)’’; 

18 (5) by striking paragraph (24) and inserting the 

19 following: 

20 ‘‘(24) ‘designee’ means a person who pays, off21 sets, or credits monies, makes adjustments, requests 

22 and receives refunds, or submits reports with respect 

23 to payments a lessee must make pursuant to section 

24 102(a);’’; 

25 (6) in paragraph (25)(B)— 


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1 (A) by striking ‘‘(subject to the provisions of 

2 section 102(a) of this Act)’’; and 

3 (B) in clause (ii) by striking 

4 the matter after subclause (IV) 

5 and inserting the following: 

6 ‘‘that arises from or relates to any lease, easement, right7 of-way, permit, or other agreement regardless of form ad8 ministered by the Secretary for, or any mineral leasing law 

9 related to, the exploration, production, and development of 

10 oil and gas or other energy resource on Federal lands or 

11 the Outer Continental Shelf;’’. 

12 (7) in paragraph (29), by inserting ‘‘or permit’’ 

13 after ‘‘lease’’; and 

14 (8) by striking ‘‘and’’ after the semicolon at the 

15 end of paragraph (32), by striking the period at the 

16 end of paragraph (33) and inserting a semicolon, and 

17 by adding at the end the following new paragraphs: 

18 ‘‘(34) ‘compliance review’ means a full-scope or 

19 a limited-scope examination of a lessee’s lease ac20 counts to compare one or all elements of the royalty 

21 equation (volume, value, royalty rate, and allow22 ances) against anticipated elements of the royalty 

23 equation to test for variances; and 


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1 ‘‘(35) ‘marketing affiliate’ means an affiliate of 

2 a lessee whose function is to acquire the lessee’s pro3 duction and to market that production.’’. 

4 SEC. 302. COMPLIANCE REVIEWS. 

5 Section 101 of the Federal Oil and Gas Royalty Man6 agement Act of 1982 (30 U.S.C. 1711) is amended by add7 ing at the end the following new subsection: 

8 ‘‘(d) The Secretary may, as an adjunct to audits of 

9 accounts for leases, utilize compliance reviews of accounts. 

10 Such reviews shall not constitute nor substitute for audits 

11 of lease accounts. Any disparity uncovered in such a com12 pliance review shall be immediately referred to a program 

13 auditor. The Secretary shall, before completion of a compli14 ance review, provide notice of the review to designees whose 

15 obligations are the subject of the review.’’. 

16 SEC. 303. CLARIFICATION OF LIABILITY FOR ROYALTY PAY17 MENTS. 

18 Section 102(a) of the Federal Oil and Gas Royalty 

19 Management Act of 1982 (30 U.S.C. 1712(a)) is amended 

20 to read as follows: 

21 ‘‘(a) In order to increase receipts and achieve effective 

22 collections of royalty and other payments, a lessee who is 

23 required to make any royalty or other payment under a 

24 lease, easement, right-of-way, permit, or other agreement, 

25 regardless of form, or under the mineral leasing laws, shall 


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1 make such payment in the time and manner as may be 

2 specified by the Secretary or the applicable delegated State. 

3 Any person who pays, offsets, or credits monies, makes ad4 justments, requests and receives refunds, or submits reports 

5 with respect to payments the lessee must make is the lessee’s 

6 designee under this Act. Notwithstanding any other provi7 sion of this Act to the contrary, a designee shall be liable 

8 for any payment obligation of any lessee on whose behalf 

9 the designee pays royalty under the lease. The person own10 ing operating rights in a lease and a person owning legal 

11 record title in a lease shall be liable for that person’s pro 

12 rata share of payment obligations under the lease.’’. 

13 SEC. 304. REQUIRED RECORDKEEPING. 

14 Section 103(b) of the Federal Oil and Gas Royalty 

15 Management Act of 1982 (30 U.S.C. 1712(a)) is amended 

16 by striking ‘‘6’’ and inserting ‘‘7’’. 

17 SEC. 305. FINES AND PENALTIES. 

18 Section 109 of the Federal Oil and Gas Royalty Man19 agement Act of 1982 (30 U.S.C. 1719) is amended— 

20 (1) in subsection (a) in the matter following 

21 paragraph (2), by striking ‘‘$500’’ and inserting 

22 ‘‘$1,000’’; 

23 (2) in subsection (a)(2)(B), by inserting ‘‘(i)’’ 

24 after ‘‘such person’’, and by striking the period at the 

25 end and inserting ‘‘; and (ii) has not received notice, 


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1 pursuant to paragraph (1), of more than two prior 

2 violations in the current calendar year.’’; 

3 (3) in subsection (b), by striking ‘‘$5,000’’ and 

4 inserting ‘‘$10,000’’; 

5 (4) in subsection (c)— 

6 (A) in paragraph (2), by striking ‘‘; or’’ 

7 and inserting ‘‘, including any failure or refusal 

8 to promptly tender requested documents;’’; 

9 (B) in the text following paragraph (3)— 

10 (i) by striking ‘‘$10,000’’ and inserting 

11 ‘‘$20,000’’; and 

12 (ii) by striking the period at the end 

13 and inserting a semicolon; and 

14 (C) by adding at the end the following new 

15 paragraphs: 

16 ‘‘(4) knowingly or willfully fails to make any 

17 royalty payment in the amount or value as specified 

18 by statute, regulation, order, or terms of the lease; or 

19 ‘‘(5) fails to correctly report and timely provide 

20 operations or financial records necessary for the Sec21 retary or any authorized designee of the Secretary to 

22 accomplish lease management responsibilities,’’; 

23 (5) in subsection (d), by striking ‘‘$25,000’’ and 

24 inserting ‘‘$50,000’’; 


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1 (6) in subsection (h), by striking ‘‘by registered 

2 mail’’ and inserting ‘‘a common carrier that provides 

3 proof of delivery’’; and 

4 (7) by adding at the end the following subsection: 

5 ‘‘(m)(1) Any determination by the Secretary or a des6 ignee of the Secretary that a person has committed a viola7 tion under subsection (a), (c), or (d)(1) shall toll any appli8 cable statute of limitations for all oil and gas leases held 

9 or operated by such person, until the later of— 

10 ‘‘(A) the date on which the person corrects the 

11 violation and certifies that all violations of a like na12 ture have been corrected for all of the oil and gas 

13 leases held or operated by such person; or 

14 ‘‘(B) the date a final, nonappealable order has 

15 been issued by the Secretary or a court of competent 

16 jurisdiction. 

17 ‘‘(2) A person determined by the Secretary or a des18 ignee of the Secretary to have violated subsection (a), (c), 

19 or (d)(1) shall maintain all records with respect to the per20 son’s oil and gas leases until the later of— 

21 ‘‘(A) the date the Secretary releases the person 

22 from the obligation to maintain such records; and 

23 ‘‘(B) the expiration of the period during which 

24 the records must be maintained under section 

25 103(b).’’. 


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1 SEC. 306. INTEREST ON OVERPAYMENTS. 

2 Section 111 of the Federal Oil and Gas Royalty Man3 agement Act of 1982 (30 U.S.C. 1721) is amended— 

4 (1) by amending subsections (h) and (i) to read 

5 as follows: 

6 ‘‘(h) Interest shall not be allowed nor paid nor credited 

7 on any overpayment, and no interest shall accrue from the 

8 date such overpayment was made. 

9 ‘‘(i) A lessee or its designee may make a payment for 

10 the approximate amount of royalties (hereinafter in this 

11 subsection referred to as the ‘estimated payment’) that 

12 would otherwise be due for such lease by the date royalties 

13 are due for that lease. When an estimated payment is made, 

14 actual royalties are payable at the end of the month fol15 lowing the month in which the estimated payment is made. 

16 If the estimated payment was less than the amount of actual 

17 royalties due, interest is owed on the underpaid amount. 

18 If the lessee or its designee makes a payment for such actual 

19 royalties, the lessee or its designee may apply the estimated 

20 payment to future royalties. Any estimated payment may 

21 be adjusted, recouped, or reinstated by the lessee or its des22 ignee provided such adjustment, recoupment, or reinstate23 ment is made within the limitation period for which the 

24 date royalties were due for that lease.’’; 

25 (2) by striking subsection (j); and 

26 (3) in subsection (k)(4)— 


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1 (A) by striking ‘‘or overpaid royalties and 

2 associated interest’’; and 

3 (B) by striking ‘‘, refunded, or credited’’. 

4 SEC. 307. ADJUSTMENTS AND REFUNDS. 

5 Section 111A of the Federal Oil and Gas Royalty Man6 agement Act of 1982 (30 U.S.C. 1721a) is amended— 

7 (1) in subsection (a)(3), by inserting ‘‘(A)’’ after ‘‘(3)’’, 

8 and by striking the last sentence and inserting the fol9 lowing: 

10 ‘‘(B) Except as provided in subparagraph 

11 (C), no adjustment may be made with respect to 

12 an obligation that is the subject of an audit or 

13 compliance review after completion of the audit 

14 or compliance review, respectively, unless such 

15 adjustment is approved by the Secretary or the 

16 applicable delegated State, as appropriate. 

17 ‘‘(C) If an overpayment is identified during 

18 an audit, the Secretary shall allow a credit in 

19 the amount of the overpayment.’’; 

20 (2) in subsection (a)(4)— 

21 (A) by striking ‘‘six’’ and inserting ‘‘four’’; 

22 and 

23 (B) by striking ‘‘shall’’ the first time such 

24 term appears and inserting ‘‘may’’; and 


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1 (3) in subsection (b)(1) by striking ‘‘and’’ after 

2 the semicolon at the end of subparagraph (C), by 

3 striking the period at the end of subparagraph (D) 

4 and inserting ‘‘; and’’, and by adding at the end the 

5 following: 

6 ‘‘(E) is made within the adjustment period 

7 for that obligation.’’. 

8 SEC. 308. CONFORMING AMENDMENT. 

9 Section 114 of the Federal Oil and Gas Royalty Man10 agement Act of 1982 is repealed. 

11 SEC. 309. OBLIGATION PERIOD. 

12 Section 115(c) of the Federal Oil and Gas Royalty 

13 Management Act of 1982 (30 U.S.C. 1724(c)) is amended 

14 by adding at the end the following new paragraph: 

15 ‘‘(3) ADJUSTMENTS.—In the case of an adjust16 ment under section 111A(a) in which a recoupment 

17 by the lessee results in an underpayment of an obliga18 tion, for purposes of this Act the obligation becomes 

19 due on the date the lessee or its designee makes the 

20 adjustment.’’. 

21 SEC. 310. NOTICE REGARDING TOLLING AGREEMENTS AND 

22 SUBPOENAS. 

23 (a) TOLLING AGREEMENTS.—Section 115(d)(1) of the 

24 Federal Oil and Gas Royalty Management Act of 1982 (30 


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1 U.S.C. 1724(d)(1)) is amended by striking ‘‘(with notice to 

2 the lessee who designated the designee)’’. 

3 (b) SUBPOENAS.—Section 115(d)(2)(A) of the Federal 

4 Oil and Gas Royalty Management Act of 1982 (30 U.S.C. 

5 1724(d)(2)(A)) is amended by striking ‘‘(with notice to the 

6 lessee who designated the designee, which notice shall not 

7 constitute a subpoena to the lessee)’’. 

8 SEC. 311. APPEALS AND FINAL AGENCY ACTION. 

9 Paragraphs (1) and (2) of section 115(h) the Federal 

10 Oil and Gas Royalty Management Act of 1982 (30 U.S.C. 

11 1724(h)) are amended by striking ‘‘33’’ each place it ap12 pears and inserting ‘‘48’’. 

13 SEC. 312. ASSESSMENTS. 

14 Section 116 of the Federal Oil and Gas Royalty Man15 agement Act of 1982 (30 U.S.C. 1724) is repealed. 

16 SEC. 313. COLLECTION AND PRODUCTION ACCOUNT17 ABILITY. 

18 (a) PILOT PROJECT.—Within two years after the date 

19 of enactment of this Act, the Secretary shall complete a pilot 

20 project with willing operators of oil and gas leases on the 

21 Outer Continental Shelf that assesses the costs and benefits 

22 of automatic transmission of oil and gas volume and qual23 ity data produced under Federal leases on the Outer Conti24 nental Shelf in order to improve the production verification 


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1 systems used to ensure accurate royalty collection and 

2 audit. 

3 (b) REPORT.—The Secretary shall submit to Congress 

4 a report on findings and recommendations of the pilot 

5 project within 3 years after the date of enactment of this 

6 Act. 

7 SEC. 314. NATURAL GAS REPORTING. 

8 The Secretary shall, within 180 days after the date of 

9 enactment of this Act, implement the steps necessary to en10 sure accurate determination and reporting of BTU values 

11 of natural gas from all Federal oil and gas leases to ensure 

12 accurate royalty payments to the United States. Such steps 

13 shall include, but not be limited to— 

14 (1) establishment of consistent guidelines for on15 shore and offshore BTU information from gas pro16 ducers; 

17 (2) development of a procedure to determine the 

18 potential BTU variability of produced natural gas on 

19 a by-reservoir or by-lease basis; 

20 (3) development of a procedure to adjust BTU 

21 frequency requirements for sampling and reporting on 

22 a case-by-case basis; 

23 (4) systematic and regular verification of BTU 

24 information; and 


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1 (5) revision of the ‘‘MMS–2014’’ reporting form 

2 to record, in addition to other information already 

3 required, the natural gas BTU values that form the 

4 basis for the required royalty payments. 

5 SEC. 315. PENALTY FOR LATE OR INCORRECT REPORTING 

6 OF DATA. 

7 (a) IN GENERAL.—The Secretary shall issue regula8 tions by not later than 1 year after the date of enactment 

9 of this Act that establish a civil penalty for late or incorrect 

10 reporting of data under the Federal Oil and Gas Royalty 

11 Management Act of 1982 (30 U.S.C. 1701 et seq.). 

12 (b) AMOUNT.—The amount of the civil penalty shall 

13 be— 

14 (1) an amount (subject to paragraph (2)) that 

15 the Secretary determines is sufficient to ensure filing 

16 of data in accordance with that Act; and 

17 (2) not less than $10 for each failure to file cor18 rect data in accordance with that Act. 

19 (c) CONTENT OF REGULATIONS.—Except as provided 

20 in subsection (b), the regulations issued under this section 

21 shall be substantially similar to part 216.40 of title 30, 

22 Code of Federal Regulations, as most recently in effect be23 fore the date of enactment of this Act. 


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1 SEC. 316. REQUIRED RECORDKEEPING. 

2 Within 1 year after the date of enactment of this Act, 

3 the Secretary shall publish final regulations concerning re4 quired recordkeeping of natural gas measurement data as 

5 set forth in part 250.1203 of title 30, Code of Federal Regu6 lations (as in effect on the date of enactment of this Act), 

7 to include operators and other persons involved in the 

8 transporting, purchasing, or selling of gas under the re9 quirements of that rule, under the authority provided in 

10 section 103 of the Federal Oil and Gas Royalty Manage11 ment Act of 1982 (30 U.S.C. 1713). 

12 SEC. 317. SHARED CIVIL PENALTIES. 

13 Section 206 of the Federal Oil and Gas Royalty Man14 agement Act of 1982 (30 U.S.C. 1736) is amended by strik15 ing ‘‘Such amount shall be deducted from any compensation 

16 due such State or Indian Tribe under section 202 or section 

17 205 or such State under section 205.’’. 

18 SEC. 318. APPLICABILITY TO OTHER MINERALS. 

19 Section 304 of the Federal Oil and Gas Royalty Man20 agement Act of 1982 (30 U.S.C. 1753) is amended by add21 ing at the end the following new subsection: 

22 ‘‘(e) APPLICABILITY TO OTHER MINERALS.— 

23 ‘‘(1) Notwithstanding any other provision of law, 

24 sections 107, 109, and 110 of this Act and the regula25 tions duly promulgated with respect thereto shall 

26 apply to any lease authorizing the development of 


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1 coal or any other solid mineral on any Federal lands 

2 or Indian lands, to the same extent as if such lease 

3 were an oil and gas lease, on the same terms and con4 ditions as those authorized for oil and gas leases. 

5 ‘‘(2) Notwithstanding any other provision of law, 

6 sections 107, 109, and 110 of this Act and the regula7 tions duly promulgated with respect thereto shall 

8 apply with respect to any lease, easement, right-of9 way, or other agreement, regardless of form (including 

10 any royalty, rent, or other payment due there11 under)— 

12 ‘‘(A) under section 8(k) or 8(p) of the Outer 

13 Continental Shelf Lands Act (43 U.S.C. 1337(k) 

14 and 1337(p)); or 

15 ‘‘(B) under the Geothermal Steam Act (30 

16 U.S.C. 1001 et seq.), to the same extent as if such 

17 lease, easement, right-of-way, or other agreement 

18 were an oil and gas lease on the same terms and 

19 conditions as those authorized for oil and gas 

20 leases. 

21 ‘‘(3) For the purposes of this subsection, the term 

22 ‘solid mineral’ means any mineral other than oil, gas, 

23 and geo-pressured-geothermal resources, that is au24 thorized by an Act of Congress to be produced from 

25 public lands (as that term is defined in section 103 


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1 of the Federal Land Policy and Management Act of 

2 1976 (43 U.S.C. 1702)).’’. 

3 SEC. 319. ENTITLEMENTS. 

4 Not later than 180 days after the date of enactment 

5 of this Act, the Secretary shall publish final regulations pre6 scribing when a Federal lessee or designee must report and 

7 pay royalties on the volume of oil and gas it takes under 

8 either a Federal or Indian lease or on the volume to which 

9 it is entitled to based upon its ownership interest in the 

10 Federal or Indian lease. The Secretary shall give consider11 ation to requiring 100 percent entitlement reporting and 

12 paying based upon the lease ownership. 

13 TITLE IV—FULL FUNDING FOR 

14 THE LAND AND WATER CON15 SERVATION AND HISTORIC 

16 PRESERVATION FUNDS 

17 Subtitle A—Land and Water 

18 Conservation Fund 

19 SEC. 401. AMENDMENTS TO THE LAND AND WATER CON20 SERVATION FUND ACT OF 1965. 

21 Except as otherwise expressly provided, whenever in 

22 this subtitle an amendment or repeal is expressed in terms 

23 of an amendment to, or repeal of, a section or other provi24 sion, the reference shall be considered to be made to a section 


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1 or other provision of the Land and Water Conservation 

2 Fund Act of 1965 (16 U.S.C. 460l–4 et seq.). 

3 SEC. 402. EXTENSION OF THE LAND AND WATER CONSERVA4 TION FUND. 

5 Section 2 (16 U.S.C. 460l–5) is amended by striking 

6 ‘‘September 30, 2015’’ both places it appears and inserting 

7 ‘‘September 30, 2040’’. 

8 SEC. 403. PERMANENT FUNDING. 

9 (a) IN GENERAL.—The text of section 3 (16 U.S.C. 

10 460l–6) is amended to read as follows: ‘‘Of the moneys cov11 ered into the fund, $900,000,000 shall be available each fis12 cal year for expenditure for the purposes of this Act without 

13 further appropriation. Moneys made available for obliga14 tion or expenditure from the fund or from the special ac15 count established under section 4(i)(1) may be obligated or 

16 expended only as provided in this Act.’’. 

17 (b) CONFORMING AMENDMENT.—Section 2(c)(2) (16 

18 U.S.C. 460l–5(c)(2)) is amended by striking ‘‘: Provided’’ 

19 and all that follows through the end of the sentence and 

20 inserting a period. 

21 Subtitle B—National Historic 

22 Preservation Fund 

23 SEC. 411. PERMANENT FUNDING. 

24 The text of section 108 of the National Historic Preser25 vation Act (16 U.S.C. 470h) is amended to read as follows: 


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1 ‘‘To carry out the provisions of this Act, there is hereby 

2 established the Historic Preservation Fund (hereinafter re3 ferred to as the ‘fund’) in the Treasury of the United States. 

4 There shall be covered into the fund $150,000,000 for fiscal 

5 years 1982 through 2040 from revenues due and payable 

6 to the United States under the Outer Continental Shelf 

7 Lands Act (67 Stat. 462, 469), as amended (43 U.S.C. 

8 1338) and/or under the Act of June 4, 1920 (41 Stat. 813), 

9 as amended (30 U.S.C. 191), notwithstanding any provi10 sion of law that such proceeds shall be credited to miscella11 neous receipts of the Treasury. Such moneys shall be used 

12 only to carry out the purposes of this Act and shall be avail13 able for expenditure without further appropriation.’’. 

14 TITLE V—ALTERNATIVE ENERGY 

15 DEVELOPMENT 

16 SEC. 501. COMMERCIAL WIND AND SOLAR LEASING PRO17 GRAM. 

18 (a) IN GENERAL.—Pursuant to the Federal Land Pol19 icy and Management Act of 1976 (43 U.S.C. 1701 et seq.) 

20 and the National Forest Management Act of 1976 (16 

21 U.S.C. 1600 et seq.), the Secretary, acting through the Di22 rector of the Bureau of Energy and Resource Management, 

23 may issue leases, on a competitive basis, for commercial 

24 electricity generation from solar or wind resources on Fed25 eral lands under the administrative jurisdiction of the BuVerDate Mar 15 2010 22:50 Jul 28, 2010 Jkt 089200 PO 00000 Frm 00158 Fmt 6652 Sfmt 6203 E:\BILLS\H3534.RH H3534

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1 reau of Land Management or of the Forest Service, except 

2 that the Secretary may not issue any such lease on National 

3 Forest System lands over the objection of the Secretary of 

4 Agriculture. 

5 (b) FINAL REGULATIONS.—Not later than 18 months 

6 after the date of enactment of this Act, the Secretary of the 

7 Interior shall publish final regulations establishing a com8 mercial wind and solar leasing program under subsection 

9 (a). 

10 (c) COMMENCEMENT OF COMMERCIAL LEASING FOR

11 SOLAR AND WIND ENERGY ON PUBLIC LANDS.—Not later 

12 than 90 days after completion of regulations required under 

13 subsection (b), or as soon as practicable thereafter, and fol14 lowing consultation with affected governors and other stake15 holders, the Secretary may conduct lease sales under the reg16 ulations under this title. 

17 (d) EASEMENTS, SPECIAL-USE PERMITS, AND RIGHTS18 OF-WAY.—Upon completion of regulations required under 

19 subsection (b), easements, special-use permits, and rights20 of-way shall not be available for commercial wind and solar 

21 projects on Federal lands under the administrative jurisdic22 tion of the Bureau of Land Management or Forest Service, 

23 except for the placement and operation of testing or data 

24 collection devices or facilities that will not result in the com25 mercial sale of electric power. 


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1 (e) NONCOMPETITIVE LEASING.— 

2 (1) IN GENERAL.—The Secretary may issue 

3 leases under this section on a noncompetitive basis 

4 if— 

5 (A) the lease is for resource data collection 

6 or equipment testing; 

7 (B) the lease will not result in the commer8 cial sale of electric power; 

9 (C) the lease has a term of not more than 

10 5 years; and 

11 (D) the Secretary, after public notice of a 

12 proposed lease, determines that there is no com13 petitive interest. 

14 (2) PREFERENCE.—In any competitive lease sale 

15 for lands subject to a lease awarded under this sub16 section, the Secretary may give a preference to the 

17 holder of the lease under this subsection. 

18 (f) TRANSITION TO COMMERCIAL LEASING.—The Sec19 retary of the Interior, for lands under the jurisdiction of 

20 the Bureau of Land Management, and the Secretary of Ag21 riculture, for lands under the jurisdiction of the Forest 

22 Service, may issue an easement, special-use permit, or 

23 right-of-way for a commercial wind or solar project for 

24 which— 


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1 (1) an application for a solar or wind right-of2 way permit, or for a permit for a meteorological 

3 tower or to construct a wind farm, was submitted be4 fore July 1, 2010; or 

5 (2) a meteorological testing tower or other data 

6 collection device has been installed under an approved 

7 easement, special-use permit, or right-of-way before 

8 the date of enactment of this Act. 

9 (g) DILIGENT DEVELOPMENT REQUIREMENTS.—The 

10 Secretary shall, by regulation, designate work requirements 

11 and milestones to ensure that diligent development is car12 ried out under each lease issued under this title, and that 

13 such leases are not obtained for speculative purposes. 

14 (h) CRITERIA FOR BIDDERS.—Before issuing leases 

15 under this title, the Secretary shall establish criteria for 

16 bidders for such leases, including for proof of financial abil17 ity to achieve project commitments and completion, and for 

18 a demonstrated understanding of the technology to be de19 ployed under a lease. 

20 SEC. 502. LAND MANAGEMENT. 

21 The Secretary, in consultation with the Director of the 

22 Bureau of Land Management and the Chief of the Forest 

23 Service, shall issue regulations that— 

24 (1) establish the duration of leases under this 

25 title, which shall be not less than 30 years; 


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1 (2) require the holder of a lease granted under 

2 this title to— 

3 (A) furnish a surety bond or other form of 

4 security, as prescribed by the Director of the Bu5 reau of Energy and Resource Management, to as6 sure the completion of— 

7 (i) interim and final reclamation and 

8 the restoration of the area that is subject to 

9 the lease to the condition in which the area 

10 existed before the granting of the lease; or 

11 (ii) mitigation activities, including 

12 compensatory mitigation, if restoration to 

13 such condition is impractical; and 

14 (B) comply with such other requirements as 

15 the Director of the Bureau of Energy and Re16 source Management and affected Federal land 

17 manager consider necessary to protect the inter18 ests of the public and the United States; and 

19 (3) establish best management practices and re20 quire renewable energy operators to comply with those 

21 practices to ensure the sound, efficient, and environ22 mentally responsible development of wind and solar 

23 resources on Federal lands in a manner that shall 

24 avoid, minimize, and mitigate actual and anticipated 

25 impacts to habitat and ecosystem function resulting 


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1 from such development and to areas proposed for wil2 derness or other protection. 

3 SEC. 503. REVENUES. 

4 (a) ESTABLISHMENT OF PAYMENT REQUIREMENTS.— 

5 The Secretary shall establish royalties, fees, rentals, bonus 

6 bids, or other payments for leases issued under this title, 

7 that shall— 

8 (1) encourage development of solar and wind en9 ergy on public lands; 

10 (2) ensure a fair return to the United States; 

11 and 

12 (3) be commensurate with similar payments for 

13 the development of solar and wind energy on State 

14 and private lands. 

15 (b) DEPOSIT.—All revenues for payments established 

16 under this section shall be deposited in the general fund 

17 of the Treasury. 

18 (c) PROMOTE DEVELOPMENT OF PREVIOUSLY IM19 PACTED LANDS.—To promote the priority development of 

20 renewable energy resources on lands that have already been 

21 adversely impacted by significant prior use, the Secretary 

22 may waive the rental payment until generation commences 

23 under a lease under section 501 of such land determined 

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1 riculture and Energy, and the Administrator of the Envi2 ronmental Protection Agency. 

3 SEC. 504. RECORDKEEPING AND REPORTING REQUIRE4 MENTS. 

5 (a) IN GENERAL.—A lessee, permit holder, operator, 

6 or other person directly involved in developing, producing, 

7 processing, transporting, purchasing, or selling renewable 

8 energy under this title, through the point of royalty com9 putation, shall establish and maintain any records, make 

10 any reports, and provide any information that the Sec11 retary may reasonably require for the purposes of imple12 menting this section or determining compliance with rules 

13 or orders under this section. Such records shall include, but 

14 not be limited to, periodic reports, records, documents, and 

15 other data. Such reports may include, but not be limited 

16 to, pertinent technical and financial data relating to the 

17 resources being developed under the lease. Upon the request 

18 of any officer or employee duly designated by the Secretary 

19 conducting an audit or investigation pursuant to this sec20 tion, the appropriate records, reports, or information that 

21 may be required by this section shall be made available for 

22 inspection and duplication by such officer or employee. 

23 Failure by a claim holder, operator, or other person referred 

24 to in the first sentence to cooperate with such an audit, 

25 provide data required by the Secretary, or grant access to 


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1 information may, at the discretion of the Secretary, result 

2 in involuntary forfeiture of the lease or permit. 

3 (b) MAINTENANCE.—Records required by the Secretary 

4 under this section shall be maintained for 7 years after re5 lease of financial assurance unless the Secretary notifies the 

6 operator that the Secretary has initiated an audit or inves7 tigation involving such records and that such records must 

8 be maintained for a longer period. In any case when an 

9 audit or investigation is underway, records shall be main10 tained until the Secretary releases the operator of the obli11 gation to maintain such records. 

12 SEC. 505. AUDITS. 

13 The Secretary may conduct such audits of all lessees 

14 and permit holders, operators, transporters, purchasers, 

15 processors, or other persons directly or indirectly involved 

16 in the production or sales of renewable energy resources cov17 ered by this Act, as the Secretary deems necessary for the 

18 purposes of ensuring compliance with the requirements of 

19 this title. For purposes of performing such audits, the Sec20 retary shall, at reasonable times and upon request, have ac21 cess to, and may copy, all books, papers and other docu22 ments that relate to compliance with any provision of this 

23 section by any person. 


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1 SEC. 506. TRADE SECRETS. 

2 Trade secrets, proprietary information, and other con3 fidential information protected from disclosure under sec4 tion 552 of title 5, United States Code (popularly known 

5 as the Freedom of Information Act), shall be made available 

6 by the Secretary to other Federal agencies as necessary to 

7 assure compliance with this Act and other Federal laws. 

8 SEC. 507. INTEREST AND SUBSTANTIAL UNDERREPORTING 

9 ASSESSMENTS. 

10 (a) INTEREST.—In the case of renewable energy re11 sources leases or permits under which royalty payments are 

12 not received by the Secretary on the date that such pay13 ments are due, the Secretary shall charge interest on such 

14 under payments at the same interest rate as the rate appli15 cable under section 6621(a)(2) of the Internal Revenue Code 

16 of 1986. In the case of an underpayment, interest shall be 

17 computed and charged only on the amount of the deficiency 

18 and not on the total amount. 

19 (b) PENALTY.—If there is any underreporting of roy20 alty owed on production from a lease or permit for any 

21 production month by any person liable for royalty pay22 ments under this title, the Secretary shall assess a penalty 

23 of not greater than 25 percent of the amount of that under24 reporting. 

25 (c) UNDERREPORTING DEFINED.—For the purposes of 

26 this section, the term ‘‘underreporting’’ means the difference 


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1 between the royalty on the value of the production that 

2 should have been reported and the royalty on the value of 

3 the production that was reported, if the value that should 

4 have been reported is greater than the value that was re5 ported. 

6 (d) WAIVER OR REDUCTION.— 

7 (1) IN GENERAL.—The Secretary may waive or 

8 reduce the assessment provided in subsection (b) if the 

9 person liable for royalty payments under this section 

10 corrects the underreporting before the date such person 

11 receives notice from the Secretary that an under12 reporting may have occurred, or before 90 days after 

13 the date of the enactment of this section, whichever is 

14 later. 

15 (2) REQUIRED WAIVER.—The Secretary shall 

16 waive any portion of an assessment under subsection 

17 (b) attributable to that portion of the underreporting 

18 for which the person responsible for paying the roy19 alty demonstrates that— 

20 (A) such person had written authorization 

21 from the Secretary to report royalty on the value 

22 of the production on basis on which it was re23 ported; 


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1 (B) such person had substantial authority 

2 for reporting royalty on the value of the produc3 tion on the basis on which it was reported; 

4 (C) such person previously had notified the 

5 Secretary, in such manner as the Secretary may 

6 by rule prescribe, of relevant reasons or facts af7 fecting the royalty treatment of specific produc8 tion that led to the underreporting; or 

9 (D) such person meets any other exception 

10 that the Secretary may, by rule, establish. 

11 (e) EXPANDED ROYALTY OBLIGATIONS.—Each person 

12 liable for royalty payments under this section shall be joint13 ly and severally liable for royalty on renewable energy re14 sources produced under a lease issued under this Act when 

15 such loss or waste is due to negligence on the part of any 

16 person or due to the failure to comply with any rule, regula17 tion, or order issued under this section. 

18 (f) FAILURE TO COMPLY WITH ROYALTY REQUIRE19 MENTS.—Any person who fails to comply with the require20 ments of this section or any regulation or order issued to 

21 implement this section shall be liable for a civil penalty 

22 under section 109 of the Federal Oil and Gas Royalty Man23 agement Act of 1982 (30 U.S.C. 1719) to the same extent 

24 as if the failure to comply occurred under that Act. 


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1 (g) DEPOSIT OF PENALTIES.—All penalties collected 

2 under this subsection shall be deposited in the general fund 

3 of the Treasury. 

4 SEC. 508. INDIAN SAVINGS PROVISION. 

5 Nothing in this title shall abridge, diminish, or alter 

6 any right or interest of any affected Indian tribe. Nothing 

7 in this title shall authorize any Federal agency or official 

8 to abridge, diminish, or alter any right or interest of any 

9 affected Indian tribe. 

10 SEC. 509. TRANSMISSION SAVINGS PROVISION. 

11 Nothing in this title shall affect the authority of a Fed12 eral agency to issue right-of-way grants for electric trans13 mission facilities. 

14 TITLE VI—COORDINATION AND 

15 PLANNING 

16 SEC. 601. REGIONAL COORDINATION. 

17 (a) IN GENERAL.—The purpose of this title is to pro18 mote— 

19 (1) better coordination, communication, and col20 laboration between Federal agencies with authorities 

21 for ocean, coastal, and Great Lakes management; and 

22 (2) coordinated and collaborative regional plan23 ning efforts using the best available science, and to 

24 ensure the protection and maintenance of marine eco25 system health, in decisions affecting the sustainable 


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1 development and use of Federal renewable and non2 renewable resources on, in, or above the ocean (includ3 ing the Outer Continental Shelf) and the Great Lakes 

4 for the long-term economic and environmental benefit 

5 of the United States. 

6 (b) OBJECTIVES OF REGIONAL EFFORTS.—Such re7 gional efforts shall achieve the following objectives: 

8 (1) Greater systematic communication and co9 ordination among Federal, coastal State, and affected 

10 tribal governments concerned with the conservation of 

11 and the sustainable development and use of Federal 

12 renewable and nonrenewable resources of the oceans, 

13 coasts, and Great Lakes. 

14 (2) To the maximum extent feasible, greater reli15 ance on a multiobjective, science- and ecosystem16 based, spatially explicit management approach that 

17 integrates regional economic, ecological, affected trib18 al, and social objectives into ocean, coastal, and Great 

19 Lakes management decisions. 

20 (3) Identification and prioritization of shared 

21 State and Federal ocean, coastal, and Great Lakes 

22 management issues. 

23 (4) Identification of data and information need24 ed by the Regional Coordination Councils established 

25 under section 602. 


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1 (c) REGIONS.—There are hereby designated the fol2 lowing Coordination Regions: 

3 (1) PACIFIC REGION.—The Pacific Coordination 

4 Region, which shall consist of the coastal waters and 

5 Exclusive Economic Zone adjacent to the States of 

6 Washington, Oregon, and California. 

7 (2) GULF OF MEXICO REGION.—The Gulf of Mex8 ico Coordination Region, which shall consist of the 

9 coastal waters and Exclusive Economic Zone adjacent 

10 to the States of Texas, Louisiana, Mississippi, and 

11 Alabama, and the west coast of Florida. 

12 (3) NORTH ATLANTIC REGION.—The North At13 lantic Coordination Region, which shall consist of the 

14 coastal waters and Exclusive Economic Zone adjacent 

15 to the States of Maine, New Hampshire, Massachu16 setts, Rhode Island, and Connecticut 

17 (4) MID ATLANTIC REGION.—The Mid Atlantic 

18 Coordination Region, which shall consist of the coast19 al waters and Exclusive Economic Zone adjacent to 

20 the States of New York, New Jersey, Pennsylvania, 

21 Delaware, Maryland, and Virginia. 

22 (5) SOUTH ATLANTIC REGION.—The South At23 lantic Coordination Region, which shall consist of the 

24 coastal waters and Exclusive Economic Zone adjacent 

25 to the States of North Carolina, South Carolina, 


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1 Georgia, the east coast of Florida, and the Straits of 

2 Florida Planning Area. 

3 (6) ALASKA REGION.—The Alaska Coordination 

4 Region, which shall consist of the coastal waters and 

5 Exclusive Economic Zone adjacent to the State of 

6 Alaska. 

7 (7) PACIFIC ISLANDS REGION.—The Pacific Is8 lands Coordination Region, which shall consist of the 

9 coastal waters and Exclusive Economic Zone adjacent 

10 to the State of Hawaii, the Commonwealth of the 

11 Northern Mariana Islands, American Samoa, and 

12 Guam. 

13 (8) CARIBBEAN REGION.—The Caribbean Coordi14 nation Region, which shall consist of the coastal wa15 ters and Exclusive Economic Zone adjacent to Puerto 

16 Rico and the United States Virgin Islands. 

17 (9) GREAT LAKES REGION.—The Great Lakes 

18 Coordination Region, which shall consist of waters of 

19 the Great Lakes in the States of Illinois, Indiana, 

20 Michigan, Minnesota, New York, Ohio, Pennsylvania, 

21 and Wisconsin. 

22 SEC. 602. REGIONAL COORDINATION COUNCILS. 

23 (a) IN GENERAL.—Within 180 days after the date of 

24 enactment of this Act, the Chairman of the Council on En25 vironmental Quality, in consultation with the affected 


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1 coastal States and affected Indian tribes, shall establish or 

2 designate a Regional Coordination Council for each of the 

3 Coordination Regions designated by section 601(c). 

4 (b) MEMBERSHIP.— 

5 (1) FEDERAL REPRESENTATIVES.—Within 90 

6 days after the date of enactment of this Act, the 

7 Chairman of the Council on Environmental Quality 

8 shall publish the titles of the officials of each Federal 

9 agency and department that shall participate in each 

10 Council. The Councils shall include representatives of 

11 each Federal agency and department that has au12 thorities related to the development of ocean, coastal, 

13 or Great Lakes policies or engages in planning, man14 agement, or scientific activities that significantly af15 fect or inform the use of ocean, coastal, or Great 

16 Lakes resources. The Chairman of the Council on En17 vironmental Quality shall determine which Federal 

18 agency representative shall serve as the chairperson of 

19 each Council. 

20 (2) COASTAL STATE REPRESENTATIVES.— 

21 (A) NOTICE OF INTENT TO PARTICIPATE.— 

22 The Governor of each coastal State within each 

23 Coordination Region designated by section 

24 601(c) shall within 3 months after the date of en25 actment of this Act, inform the Chairman of the 


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1 Council on Environmental Quality whether or 

2 not the State intends to participate in the Re3 gional Coordination Council for the Region. 

4 (B) APPOINTMENT OF RESPONSIBLE STATE

5 OFFICIAL.—If a coastal State intends to partici6 pate in such Council, the Governor of the coastal 

7 State shall appoint an officer or employee of the 

8 coastal State agency with primary responsibility 

9 for overseeing ocean and coastal policy or re10 source management to that Council. 

11 (3) REGIONAL FISHERY MANAGEMENT COUNCIL

12 REPRESENTATION.—The Chairman of each Regional 

13 Fishery Management Council with jurisdiction in the 

14 Coordination Region of a Regional Coordination 

15 Council and the executive director of the interstate 

16 marine fisheries commission with jurisdiction in the 

17 Coordination Region of a Regional Coordination 

18 Council shall each serve as a member of the Council. 

19 (4) REGIONAL OCEAN PARTNERSHIP REPRESEN20 TATION.—A representative of any Regional Ocean 

21 Partnership that has been established for any part of 

22 the Coordination Region of a Regional Coordination 

23 Council may appoint a representative to serve on the 

24 Council in addition to any Federal or State appoint25 ments. 


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1 (5) TRIBAL REPRESENTATION.—An appropriate 

2 tribal official selected by affected Indian tribes situ3 ated in the affected Coordination Region may elect to 

4 appoint a representative of such tribes collectively to 

5 serve as a member of the Regional Coordination 

6 Council for that Region. 

7 (6) LOCAL REPRESENTATION.—The Chairman of 

8 the Council on Environmental Quality shall, in con9 sultation with the Governors of the coastal States 

10 within each Coordination Region, identify and ap11 point representatives of county and local governments, 

12 as appropriate, to serve as members of the Regional 

13 Coordination Council for that Region. 

14 (c) ADVISORY COMMITTEE.—Each Regional Coordina15 tion Council shall establish an advisory committee made 

16 up of a balanced representation from the energy, shipping, 

17 and transportation, marine tourism, and recreation indus18 tries, from marine environmental nongovernmental organi19 zations, and from scientific and educational authorities 

20 with expertise in the conservation and management of 

21 ocean, coastal, and Great Lakes resources to advise the 

22 Council during the development of Regional Assessments 

23 and Regional Strategic Plans and in its other activities. 

24 (d) COORDINATION WITH EXISTING PROGRAMS.— 

25 Each Regional Coordination Council shall build upon and 


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1 complement current State, multistate, and regional capac2 ity and governance and institutional mechanisms to man3 age and protect ocean waters, coastal waters, and ocean re4 sources. 

5 SEC. 603. REGIONAL STRATEGIC PLANS. 

6 (a) INITIAL REGIONAL ASSESSMENT.— 

7 (1) IN GENERAL.—Each Regional Coordination 

8 Council, shall, within one year after the date of enact9 ment of this Act, prepare an initial assessment of its 

10 Coordination Region that shall identify deficiencies 

11 in data and information necessary to informed deci12 sionmaking. Each initial assessment shall to the ex13 tent feasible— 

14 (A) identify the Coordination Region’s re15 newable and non renewable resources, including 

16 current and potential energy resources; 

17 (B) identify and include a spatially and 

18 temporally explicit inventory of existing and po19 tential uses of the Coordination Region, includ20 ing fishing and fish habitat, tourism, recreation, 

21 and energy development; 

22 (C) document the health and relative envi23 ronmental sensitivity of the marine ecosystem 

24 within the Coordination Region, including a 

25 comprehensive survey and status assessment of 


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1 species, habitats, and indicators of ecosystem 

2 health; 

3 (D) identify marine habitat types and im4 portant ecological areas within the Coordination 

5 Region; 

6 (E) assess the Coordination Region’s ma7 rine economy and cultural attributes and include 

8 regionally-specific ecological and socio-economic 

9 baseline data; 

10 (F) identify and prioritize additional sci11 entific and economic data necessary to inform 

12 the development of Strategic Plans; and 

13 (G) include other information to improve 

14 decision making as determined by the Regional 

15 Coordination Council. 

16 (2) DATA.—Each initial assessment shall— 

17 (A) use the best available data; 

18 (B) collect and provide data in a spatially 

19 explicit manner wherever practicable and pro20 vide such data to the interagency comprehensive 

21 digital mapping initiative as described in sec22 tion 2 of Public Law 109–58 (42 U.S.C. 15801); 

23 and 

24 (C) make publicly available any such data 

25 that is not classified information. 


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1 (3) PUBLIC PARTICIPATION.—Each Regional Co2 ordination Council shall provide adequate oppor3 tunity for review and input by stakeholders and the 

4 general public during the preparation of the initial 

5 assessment and any revised assessments. 

6 (b) REGIONAL STRATEGIC PLANS.— 

7 (1) REQUIREMENT.—Each Regional Coordina8 tion Council shall, within 3 years after the comple9 tion of the initial regional assessment, prepare and 

10 submit to the Chairman of the Council on Environ11 mental Quality a multiobjective, science- and eco12 system-based, spatially explicit, integrated Strategic 

13 Plan in accordance with this subsection for the Coun14 cil’s Coordination Region. 

15 (2) MANAGEMENT OBJECTIVE.—The management 

16 objective of the Strategic Plans under this subsection 

17 shall be to foster comprehensive, integrated, and sus18 tainable development and use of ocean, coastal, and 

19 Great Lakes resources, while protecting marine eco20 system health and sustaining the long-term economic 

21 and ecosystem values of the oceans. 

22 (3) CONTENTS.—Each Strategic Plan prepared 

23 by a Regional Coordination Council shall— 


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1 (A) be based on the initial regional assess2 ment and updates for the Coordination Region 

3 under subsections (a) and (c), respectively; 

4 (B) foster the sustainable and integrated de5 velopment and use of ocean, coastal, and Great 

6 Lakes resources in a manner that protects the 

7 health of marine ecosystems; 

8 (C) identify areas with potential for siting 

9 and developing renewable and nonrenewable en10 ergy resources in the Coordination Region cov11 ered by the Strategic Plan; 

12 (D) identify other current and potential 

13 uses of the ocean and coastal resources in the Co14 ordination Region; 

15 (E) identify and recommend long-term 

16 monitoring needs for ecosystem health and socio17 economic variables within the Coordination Re18 gion covered by the Strategic Plan; 

19 (F) identify existing State and Federal reg20 ulating authorities within the Coordination Re21 gion covered by the Strategic Plan; 

22 (G) identify best available technologies to 

23 minimize adverse environmental impacts and 

24 use conflicts in the development of ocean and 

25 coastal resources in the Coordination Region; 


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1 (H) identify additional research, informa2 tion, and data needed to carry out the Strategic 

3 Plan; 

4 (I) identify performance measures and 

5 benchmarks for purposes of fulfilling the respon6 sibilities under this section to be used to evaluate 

7 the Strategic Plan’s effectiveness; 

8 (J) define responsibilities and include an 

9 analysis of the gaps in authority, coordination, 

10 and resources, including funding, that must be 

11 filled in order to fully achieve those performance 

12 measures and benchmarks; and 

13 (K) include such other information at the 

14 Chairman of the Council on Environmental 

15 Quality determines is appropriate. 

16 (4) PUBLIC PARTICIPATION.—Each Regional Co17 ordination Council shall provide adequate opportuni18 ties for review and input by stakeholders and the gen19 eral public during the development of the Strategic 

20 Plan and any Strategic Plan revisions. 

21 (c) UPDATED REGIONAL ASSESSMENTS.—Each Re22 gional Coordination Council shall update the initial re23 gional assessment prepared under subsection (a) in coordi24 nation with each Strategic Plan revision under subsection 

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1 quired elements of the assessment and to include any rel2 evant new information that has become available in the in3 terim. 

4 (d) REVIEW AND APPROVAL.— 

5 (1) COMMENCEMENT OF REVIEW.—Within 10 

6 days after receipt of a Strategic Plan under this sec7 tion, or any revision to such a Strategic Plan, from 

8 a Regional Coordination Council, the Chairman of 

9 the Council of Environmental Quality shall commence 

10 a review of the Strategic Plan or the revised Strategic 

11 Plan, respectively. 

12 (2) PUBLIC NOTICE AND COMMENT.—Imme13 diately after receipt of such a Strategic Plan or revi14 sion, the Chairman of the Council of Environmental 

15 Quality shall publish the Strategic Plan or revision 

16 in the Federal Register and provide an opportunity 

17 for the submission of public comment for a 90-day pe18 riod beginning on the date of such publication. 

19 (3) REQUIREMENTS FOR APPROVAL.—Before ap20 proving a Strategic Plan, or any revision to a Stra21 tegic Plan, the Chairman of the Council on Environ22 mental Quality must find that the Strategic Plan or 

23 revision— 

24 (A) is consistent with the Outer Continental 

25 Shelf Lands Act; 


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1 (B) complies with subsection (b); and 

2 (C) complies with the purposes of this title 

3 as identified in section 601(a) and the objectives 

4 identified in section 601(b). 

5 (4) DEADLINE FOR COMPLETION.—Within 180 

6 days after the receipt of a Strategic Plan, or a revi7 sion to a Strategic Plan, the Chairman of the Council 

8 of Environmental Quality shall approve or dis9 approve the Strategic Plan or revision. If the Chair10 man disapproves the Strategic Plan or revision, the 

11 Chairman shall transmit to the Regional Coordina12 tion Council that submitted the Strategic Plan or re13 vision, an identification of the deficiencies and rec14 ommendations to improve it. The Council shall sub15 mit a revised Strategic Plan or revision to such plan 

16 with 180 days after receiving the recommendations 

17 from the Chairman. 

18 (e) PLAN REVISION.—Each Strategic Plan shall be re19 viewed and revised by the relevant Regional Coordination 

20 Council at least once every 5 years. Such review and revi21 sion shall be based on the most recently updated regional 

22 assessment. Any proposed revisions to the Strategic Plan 

23 shall be submitted to the Chairman of the Council on Envi24 ronmental Quality for review and approval pursuant to 

25 this section. 


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1 SEC. 604. REGULATIONS. 

2 The Chairman of the Council on Environmental Qual3 ity may issue such regulations as the Chairman considers 

4 necessary to ensure proper administration of this title. 

5 SEC. 605. OCEAN RESOURCES CONSERVATION AND ASSIST6 ANCE FUND. 

7 (a) ESTABLISHMENT.— 

8 (1) IN GENERAL.—There is established in the 

9 Treasury of the United States a separate account to 

10 be known as the Ocean Resources Conservation and 

11 Assistance Fund. 

12 (2) CREDITS.—The ORCA Fund shall be credited 

13 with amounts as specified in section 9 of the Outer 

14 Continental Shelf Lands Act (43 U.S.C. 1338), as 

15 amended by section 207 of this Act. 

16 (3) ALLOCATION OF THE ORCA FUND.— 

17 (A) IN GENERAL.—Of the amounts depos18 ited in the ORCA Fund each fiscal year— 

19 (i) 70 percent shall be allocated to the 

20 Secretary, of which— 

21 (I) 1/2 shall be used to make 

22 grants to coastal States and affected 

23 Indian tribes under subsection (b); and 

24 (II) 1/2 shall be used for the 

25 ocean, coastal, and Great Lakes grants 

26 program established by subsection (c); 


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1 (ii) 20 percent shall be allocated to the 

2 Secretary to carry out the purposes of sub3 section (e); and 

4 (iii) 10 percent shall be allocated to the 

5 Secretary to make grants to Regional Ocean 

6 Partnerships under subsection (d). 

7 (B) AVAILABILITY.—Amounts allocated to 

8 the Secretary under subparagraph (A) shall be 

9 available without further appropriation. 

10 (4) PROCEDURES.—The Secretary shall establish 

11 application, review, oversight, financial account12 ability, and performance accountability procedures 

13 for each grant program for which funds are allocated 

14 under this subsection. 

15 (b) GRANTS TO COASTAL STATES.— 

16 (1) GRANT AUTHORITY.—The Secretary may use 

17 amounts allocated under subsection (a)(3)(A)(I)(I) to 

18 make grants to— 

19 (A) coastal States pursuant to the formula 

20 established under section 306(c) of the Coastal 

21 Zone Management Act of 1972 (16 U.S.C. 

22 1455(c)); and 

23 (B) affected Indian tribes based on and pro24 portional to any specific coastal and ocean man25 agement authority granted to an affected tribe 


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1 pursuant to affirmation of a Federal reserved 

2 right. 

3 (2) ELIGIBILITY.—To be eligible to receive a 

4 grant under this subsection, a coastal State or affected 

5 Indian tribe must prepare and revise a 5-year plan 

6 and annual work plans that— 

7 (A) demonstrate that activities for which 

8 the coastal State or affected Indian tribe will use 

9 the funds are consistent with the eligible uses of 

10 the Fund described in subsection (f); and 

11 (B) provide mechanisms to ensure that 

12 funding is made available to government, non13 government, and academic entities to carry out 

14 eligible activities at the county and local level. 

15 (3) APPROVAL OF STATE AND AFFECTED TRIBAL

16 PLANS.— 

17 (A) IN GENERAL.—Plans required under 

18 paragraph (2) must be submitted to and ap19 proved by the Secretary. 

20 (B) PUBLIC INPUT AND COMMENT.—In de21 termining whether to approve such plans, the 

22 Secretary shall provide opportunity for, and take 

23 into consideration, public input and comment on 

24 the plans from stakeholders and the general pub25 lic. 


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1 (5) ENERGY PLANNING GRANTS.—For each of the 

2 fiscal years 2011 through 2015, the Secretary may use 

3 funds allocated for grants under this subsection to 

4 make grants to coastal States and affected tribes 

5 under section 320 of the Coastal Zone Management 

6 Act of 1972 (16 U.S.C. 1451 et seq.), as amended by 

7 this Act. 

8 (6) USE OF FUNDS.—Any amounts provided as 

9 a grant under this subsection, other than as a grants 

10 under paragraph (5), may only be used for activities 

11 described in subsection (f). 

12 (c) OCEAN AND COASTAL COMPETITIVE GRANTS PRO13 GRAM.— 

14 (1) ESTABLISHMENT.—The Secretary shall use 

15 amounts allocated under subsection (a)(3)(A)(I)(II) to 

16 make competitive grants for conservation and man17 agement of ocean, coastal, and Great Lakes ecosystems 

18 and marine resources. 

19 (2) OCEAN, COASTAL, AND GREAT LAKES REVIEW

20 PANEL.— 

21 (A) IN GENERAL.—The Secretary shall es22 tablish an Ocean, Coastal, and Great Lakes Re23 view Panel (in this subsection referred to as the 

24 ‘‘Panel’’), which shall consist of 12 members ap25 pointed by the Secretary with expertise in the 


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1 conservation and management of ocean, coastal, 

2 and Great Lakes ecosystems and marine re3 sources. In appointing members to the Council, 

4 the Secretary shall include a balanced diversity 

5 of representatives of relevant Federal agencies, 

6 the private sector, nonprofit organizations, and 

7 academia. 

8 (B) FUNCTIONS.—The Panel shall— 

9 (i) review, in accordance with the pro10 cedures and criteria established under para11 graph (3), grant applications under this 

12 subsection; 

13 (ii) make recommendations to the Sec14 retary regarding which grant applications 

15 should be funded and the amount of each 

16 grant; and 

17 (iii) establish any specific require18 ments, conditions, or limitations on a grant 

19 application recommended for funding. 

20 (3) PROCEDURES AND ELIGIBILITY CRITERIA

21 FOR GRANTS.— 

22 (A) IN GENERAL.—The Secretary shall es23 tablish— 


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1 (i) procedures for applying for a grant 

2 under this subsection and criteria for evalu3 ating applications for such grants; and 

4 (ii) criteria, in consultation with the 

5 Panel, to determine what persons are eligi6 ble for grants under the program. 

7 (B) ELIGIBLE PERSONS.—Persons eligible 

8 under the criteria under subparagraph (A)(ii) 

9 shall include Federal, State, affected tribal, and 

10 local agencies, fishery or wildlife management 

11 organizations, nonprofit organizations, and aca12 demic institutions. 

13 (4) APPROVAL OF GRANTS.—In making grants 

14 under this subsection the Secretary shall give the 

15 highest priority to the recommendations of the Panel. 

16 If the Secretary disapproves a grant recommended by 

17 the Panel, the Secretary shall explain that dis18 approval in writing. 

19 (5) USE OF GRANT FUNDS.—Any amounts pro20 vided as a grant under this subsection may only be 

21 used for activities described in subsection (f). 

22 (d) GRANTS TO REGIONAL OCEAN PARTNERSHIPS.— 

23 (1) GRANT AUTHORITY.—The Secretary may use 

24 amounts allocated under subsection (a)(3)(A)(iii) to 

25 make grants to Regional Ocean Partnerships. 


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1 (2) ELIGIBILITY.—In order to be eligible to re2 ceive a grant, a Regional Ocean Partnership must 

3 prepare and annually revise a plan that— 

4 (A) identifies regional science and informa5 tion needs, regional goals and priorities, and 

6 mechanisms for facilitating coordinated and col7 laborative responses to regional issues; 

8 (B) establishes a process for coordinating 

9 and collaborating with the Regional Coordina10 tion Councils established under section 602 to 

11 address regional issues and information needs 

12 and achieve regional goals and priorities; and 

13 (C) demonstrates that activities to be car14 ried out with such funds are eligible uses of the 

15 funds identified in subsection (f). 

16 (3) APPROVAL BY SECRETARY.—Such plans must 

17 be submitted to and approved by the Secretary. 

18 (4) PUBLIC INPUT AND COMMENT.—In deter19 mining whether to approve such plans, the Secretary 

20 shall provide opportunity for, and take into consider21 ation, input and comment on the plans from stake22 holders and the general public. 

23 (5) USE OF FUNDS.—Any amounts provided as 

24 a grant under this subsection may only be used for 

25 activities described in subsection (f). 


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1 (e) LONG-TERM OCEAN AND COASTAL OBSERVA2 TIONS.— 

3 (1) IN GENERAL.—The Secretary shall use the 

4 amounts allocated under subsection (a)(3)(A)(ii) to 

5 build, operate, and maintain the system established 

6 under section 12304 of Public Law 111–11 (33 U.S.C. 

7 3603), in accordance with the purposes and policies 

8 for which the system was established. 

9 (2) ADMINISTRATION OF FUNDS.—The Secretary 

10 shall administer and distribute funds under this sub11 section based upon comprehensive system budgets 

12 adopted by the Council referred to in section 

13 12304(c)(1)(A) of the Integrated Coastal and Ocean 

14 Observation System Act of 2009 (33 U.S.C. 

15 3603(c)(1)(A)). 

16 (f) ELIGIBLE USE OF FUNDS.—Any funds made avail17 able under this section may only be used for activities that 

18 contribute to the conservation, protection, maintenance, and 

19 restoration of ocean, coastal, and Great Lakes ecosystems 

20 in a manner that is consistent with Federal environmental 

21 laws and that avoids environmental degradation, includ22 ing— 

23 (1) activities to conserve, protect, maintain, and 

24 restore coastal, marine, and Great Lakes ecosystem 

25 health; 


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1 (2) activities to protect marine biodiversity and 

2 living marine and coastal resources and their habi3 tats, including fish populations; 

4 (3) the development and implementation of 

5 multiobjective, science- and ecosystem-based plans for 

6 monitoring and managing the wide variety of uses af7 fecting ocean, coastal, and Great Lakes ecosystems 

8 and resources that consider cumulative impacts and 

9 are spatially explicit where appropriate; 

10 (4) activities to improve the resiliency of those 

11 ecosystems; 

12 (5) activities to improve the ability of those eco13 systems to become more resilient, and to adapt to and 

14 withstand the impacts of climate change and ocean 

15 acidification; 

16 (6) planning for and managing coastal develop17 ment to minimize the loss of life and property associ18 ated with sea level rise and the coastal hazards result19 ing from it; 

20 (7) research, assessment, monitoring, and dis21 semination of information that contributes to the 

22 achievement of these purposes; 

23 (8) research of, protection of, enhancement to, 

24 and activities to improve the resiliency of culturally 

25 significant areas and resources; and 


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1 (9) activities designed to rescue, rehabilitate, and 

2 recover injured marine mammals, marine birds, and 

3 sea turtles. 

4 (g) DEFINITIONS.—In this section: 

5 (1) ORCA FUND.—The term ‘‘ORCA Fund’’ 

6 means the Ocean Resources Conservation and Assist7 ance Fund established by this section 

8 (2) SECRETARY.—Notwithstanding section 3, the 

9 term ‘‘Secretary’’ means the Secretary of Commerce. 

10 SEC. 606. WAIVER. 

11 The Federal Advisory Committee Act (5 U.S.C. App.) 

12 shall not apply to the Regional Coordination Councils es13 tablished under section 602. 

14 TITLE VII—MISCELLANEOUS 

15 PROVISIONS 

16 SEC. 701. REPEAL OF CERTAIN TAXPAYER SUBSIDIZED ROY17 ALTY RELIEF FOR THE OIL AND GAS INDUS18 TRY. 

19 (a) PROVISIONS RELATING TO PLANNING AREAS OFF20 SHORE ALASKA.—Section 8(a)(3)(B) of the Outer Conti21 nental Shelf Lands Act (43 U.S.C. 1337(a)(3)(B)) is 

22 amended by striking ‘‘and in the Planning Areas offshore 

23 Alaska’’ after ‘‘West longitude’’. 

24 (b) PROVISIONS RELATING TO NAVAL PETROLEUM RE25 SERVE IN ALASKA.—Section 107 of the Naval Petroleum 


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1 Reserves Production Act of 1976 (as transferred, redesig2 nated, moved, and amended by section 347 of the Energy 

3 Policy Act of 2005 (119 Stat. 704)) is amended— 

4 (1) in subsection (i) by striking paragraphs (2) 

5 through (6); and 

6 (2) by striking subsection (k). 

7 SEC. 702. CONSERVATION FEE. 

8 (a) ESTABLISHMENT.—The Secretary shall, within 

9 180 days after the date of enactment of this Act, issue regu10 lations to establish an annual conservation fee for all oil 

11 and gas leases on Federal onshore and offshore lands. 

12 (b) AMOUNT.—The amount of the fee shall be, for each 

13 barrel or barrel equivalent produced from land that is sub14 ject to a lease from which oil or natural gas is produced 

15 in a calendar year, $2 per barrel of oil and 20 cents per 

16 million BTU of natural gas in 2010 dollars. 

17 (c) ASSESSMENT AND COLLECTION.—The Secretary 

18 shall assess and collect the fee established under this section. 

19 (d) REGULATIONS.—The Secretary may issue regula20 tions to prevent evasion of the fee under this section. 

21 (e) SUNSET.—This section and the fee established 

22 under this section shall expire on December 31, 2021. 


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1 SEC. 703. LEASING ON INDIAN LANDS. 

2 Nothing in this Act modifies, amends, or affects leasing 

3 on Indian lands as currently carried out by the Bureau 

4 of Indian Affairs. 

5 SEC. 704. OFFSHORE AQUACULTURE CLARIFICATION. 

6 (a) NO AUTHORITY.—The Secretary of Commerce, the 

7 Administrator of the National Oceanic and Atmospheric 

8 Administration, or the Regional Fishery Management 

9 Councils shall not develop or approve a fishery management 

10 plan or fishery management plan amendment to permit or 

11 regulate offshore aquaculture. 

12 (b) PERMITS INVALID.—Any permit issued for the con13 duct of offshore aquaculture, including the siting or oper14 ation of offshore aquaculture facilities, under the Magnu15 son-Stevens Fishery Conservation and Management Act (16 

16 U.S.C. 1801 et seq.) shall be invalid upon enactment of this 

17 Act. 

18 (c) DEFINITIONS.—In this section: 

19 (1) OFFSHORE AQUACULTURE.—The term ‘‘off20 shore aquaculture’’ means all activities related to— 

21 (A) the placement of any installation, facil22 ity, or structure in the exclusive economic zone 

23 for the purposes of propagation or rearing, or at24 tempting to propagate or rear, any species; or 

25 (B) the operation of offshore aquaculture fa26 cilities in the exclusive economic zone involved in 


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1 the propagation or rearing, or attempted propa2 gation or rearing, of species. 

3 (2) OFFSHORE AQUACULTURE FACILITY.—The 

4 term ‘‘offshore aquaculture facility’’ means— 

5 (A) a structure, installation, or other com6 plex used, in whole or in part, for offshore aqua7 culture; or 

8 (B) an area of the seabed or the subsoil used 

9 for offshore aquaculture. 

10 SEC. 705. OUTER CONTINENTAL SHELF STATE BOUND11 ARIES. 

12 (a) GENERAL.—Not later than 2 years after the date 

13 of enactment of this Act, the President, acting through the 

14 Secretary of the Interior, shall publish a final determina15 tion under section 4(a)(2) of the Outer Continental Shelf 

16 Lands Act (43 U.S.C. 1333(a)(2)) of the boundaries of 

17 coastal States projected seaward to the outer margin of the 

18 Outer Continental Shelf. 

19 (b) NOTICE AND COMMENT.—In determining the pro20 jected boundaries specified in subsection (a), the Secretary 

21 shall comply with the notice and comment requirements 

22 under chapter 5 of title 5, United States Code. 

23 (c) SAVINGS CLAUSE.—The determination and publi24 cation of projected boundaries under subsection (a) shall not 

25 be construed to alter, limit, or modify the jurisdiction, conVerDate Mar 15 2010 22:50 Jul 28, 2010 Jkt 089200 PO 00000 Frm 00195 Fmt 6652 Sfmt 6203 E:\BILLS\H3534.RH H3534

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1 trol, or any other authority of the United States over the 

2 Outer Continental Shelf. 

3 SEC. 706. LIABILITY FOR DAMAGES TO NATIONAL WILDLIFE 

4 REFUGES. 

5 Section 4 of the National Wildlife Refuge System Ad6 ministration Act of 1966 (16 U.S.C. 668dd) is amended by 

7 adding at the end the following new subsection: 

8 ‘‘(p) DESTRUCTION OR LOSS OF, OR INJURY TO, REF9 UGE RESOURCES.— 

10 ‘‘(1) LIABILITY.— 

11 ‘‘(A) LIABILITY TO UNITED STATES.—Any 

12 person who destroys, causes the loss of, or injures 

13 any refuge resource is liable to the United States 

14 for an amount equal to the sum of— 

15 ‘‘(i) the amount of the response costs 

16 and damages resulting from the destruction, 

17 loss, or injury; and 

18 ‘‘(ii) interest on that amount cal19 culated in the manner described under 

20 section1005 of the Oil Pollution Act of 1990 

21 (33 U.S.C. 2705). 

22 ‘‘(B) LIABILITY IN REM.—Any instrumen23 tality, including a vessel, vehicle, aircraft, or 

24 other equipment, that destroys, causes the loss of, 

25 or injures any refuge resource shall be liable in 


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1 rem to the United States for response costs and 

2 damages resulting from such destruction, loss, or 

3 injury to the same extent as a person is liable 

4 under subparagraph (A). 

5 ‘‘(C) DEFENSES.—A person is not liable 

6 under this paragraph if that person establishes 

7 that— 

8 ‘‘(i) the destruction or loss of, or injury 

9 to, the refuge resource was caused solely by 

10 an act of God, an act of war, or an act or 

11 omission of a third party, and the person 

12 acted with due care; 

13 ‘‘(ii) the destruction, loss, or injury 

14 was caused by an activity authorized by 

15 Federal or State law; or 

16 ‘‘(iii) the destruction, loss, or injury 

17 was negligible. 

18 ‘‘(D) LIMITS TO LIABILITY.—Nothing in 

19 sections 30501 to 30512 or section 30706 of title 

20 46, United States Code, shall limit the liability 

21 of any person under this section. 

22 ‘‘(2) RESPONSE ACTIONS.—The Secretary may 

23 undertake or authorize all necessary actions to pre24 vent or minimize the destruction or loss of, or injury 


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1 to, refuge resources, or to minimize the imminent risk 

2 of such destruction, loss, or injury. 

3 ‘‘(3) CIVIL ACTIONS FOR RESPONSE COSTS AND

4 DAMAGES.— 

5 ‘‘(A) IN GENERAL.—The Attorney General, 

6 upon request of the Secretary, may commence a 

7 civil action against any person or instrumen8 tality who may be liable under paragraph (1) 

9 for response costs and damages. The Secretary, 

10 acting as trustee for refuge resources for the 

11 United States, shall submit a request for such an 

12 action to the Attorney General whenever a per13 son may be liable for such costs or damages. 

14 ‘‘(B) JURISDICTION AND VENUE.—An ac15 tion under this subsection may be brought in the 

16 United States district court for any district in 

17 which— 

18 ‘‘(i) the defendant is located, resides, or 

19 is doing business, in the case of an action 

20 against a person; 

21 ‘‘(ii) the instrumentality is located, in 

22 the case of an action against an instrumen23 tality; or 

24 ‘‘(iii) the destruction of, loss of, or in25 jury to a refuge resource occurred. 


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1 ‘‘(4) USE OF RECOVERED AMOUNTS.—Response 

2 costs and damages recovered by the Secretary under 

3 this subsection shall be retained by the Secretary in 

4 the manner provided for in section 107(f)(1) of the 

5 Comprehensive Environmental Response, Compensa6 tion, and Liability Act of 1980 (42 U.S.C. 9607(f)(1)) 

7 and used as follows: 

8 ‘‘(A) RESPONSE COSTS.—Amounts recovered 

9 by the United States for costs of response actions 

10 and damage assessments under this subsection 

11 shall be used, as the Secretary considers appro12 priate— 

13 ‘‘(i) to reimburse the Secretary or any 

14 other Federal or State agency that con15 ducted those activities; and 

16 ‘‘(ii) after reimbursement of such costs, 

17 to restore, replace, or acquire the equivalent 

18 of any refuge resource. 

19 ‘‘(B) OTHER AMOUNTS.—All other amounts 

20 recovered shall be used, in order of priority— 

21 ‘‘(i) to restore, replace, or acquire the 

22 equivalent of the refuge resources that were 

23 the subject of the action, including the costs 

24 of monitoring the refuge resources; 


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1 ‘‘(ii) to restore degraded refuge re2 sources of the refuge that was the subject of 

3 the action, giving priority to refuge re4 sources that are comparable to the refuge re5 sources that were the subject of the action; 

6 and 

7 ‘‘(iii) to restore degraded refuge re8 sources of other refuges. 

9 ‘‘(5) DEFINITIONS.—In this subsection, the 

10 term— 

11 ‘‘(A) ‘damages’ includes— 

12 ‘‘(i) compensation for— 

13 ‘‘(I)(aa) the cost of replacing, re14 storing, or acquiring the equivalent of 

15 a refuge resource; and 

16 ‘‘(bb) the value of the lost use of a 

17 refuge resource pending its restoration 

18 or replacement or the acquisition of an 

19 equivalent refuge resource; or 

20 ‘‘(II) the value of a refuge resource 

21 if the refuge resource cannot be restored 

22 or replaced or if the equivalent of such 

23 resource cannot be acquired; 

24 ‘‘(ii) the cost of conducting damage as25 sessments; 


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1 ‘‘(iii) the reasonable cost of monitoring 

2 appropriate to the injured, restored, or re3 placed refuge resource; and 

4 ‘‘(iv) the cost of enforcement actions 

5 undertaken by the Secretary in response to 

6 the destruction or loss of, or injury to, a ref7 uge resource; 

8 ‘‘(B) ‘response costs’ means the costs of ac9 tions taken or authorized by the Secretary to 

10 minimize destruction or loss of, or injury to, ref11 uge resources, or to minimize the imminent risks 

12 of such destruction, loss, or injury, including 

13 costs related to seizure, forfeiture, storage, or dis14 posal arising from liability, or to monitor ongo15 ing effects of incidents causing such destruction, 

16 loss, or injury under this subsection; and 

17 ‘‘(C) ‘refuge resource’ means any living or 

18 nonliving resource of a refuge that contributes to 

19 the conservation, management, and restoration 

20 mission of the System, including living or non21 living resources of a marine national monument 

22 that may be managed as a unit of the System.’’. 


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1 SEC. 707. STRENGTHENING COASTAL STATE OIL SPILL 

2 PLANNING AND RESPONSE. 

3 The Coastal Zone Management Act of 1972 (16 U.S.C. 

4 1451 et seq.) is amended adding at the end the following 

5 new section: 

6 ‘‘SEC. 320. STRENGTHENING COASTAL STATE OIL SPILL RE7 SPONSE AND PLANNING. 

8 ‘‘(a) GRANTS TO STATES.—The Secretary may make 

9 grants to eligible coastal states— 

10 ‘‘(1) to revise management programs approved 

11 under section 306 (16 U.S.C. 1455) to identify and 

12 implement new enforceable policies and procedures to 

13 ensure sufficient response capabilities at the state 

14 level to address the environmental, economic and so15 cial impacts of oil spills or other accidents resulting 

16 from Outer Continental Shelf energy activities with 

17 the potential to affect any land or water use or nat18 ural resource of the coastal zone; and 

19 ‘‘(2) to review and revise where necessary appli20 cable enforceable policies within approved state man21 agement programs affecting coastal energy activities 

22 and energy to ensure that these policies are consistent 

23 with— 

24 ‘‘(A) other emergency response plans and 

25 policies developed under Federal or State law; 

26 and 


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1 ‘‘(B) new policies and procedures developed 

2 under paragraph (1); and 

3 ‘‘(3) after a State has adopted new or revised en4 forceable policies and procedures under paragraphs 

5 (1) and (2)— 

6 ‘‘(A) the State shall submit the policies and 

7 procedures to the Secretary; and 

8 ‘‘(B) the Secretary shall notify the State 

9 whether the Secretary approves or disapproves 

10 the incorporation of the policies and procedures 

11 into the State’s management program pursuant 

12 to section 306(e). 

13 ‘‘(b) ELEMENTS.—New enforceable policies and proce14 dures developed by coastal states with grants awarded 

15 under this section shall consider, but not be limited to— 

16 ‘‘(1) other existing emergency response plans, 

17 procedures and enforceable policies developed under 

18 other Federal or State law that affect the coastal zone; 

19 ‘‘(2) identification of critical infrastructure es20 sential to facilitate spill or accident response activi21 ties; 

22 ‘‘(3) identification of coordination, logistics and 

23 communication networks between Federal and State 

24 government agencies, and between State agencies and 


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1 affected local communities, to ensure the efficient and 

2 timely dissemination of data and other information; 

3 ‘‘(4) inventories of shore locations and infra4 structure and equipment necessary to respond to oil 

5 spills or other accidents resulting from Outer Conti6 nental Shelf energy activities; 

7 ‘‘(5) identification and characterization of sig8 nificant or sensitive marine ecosystems or other areas 

9 possessing important conservation, recreational, eco10 logical, historic, or aesthetic values; 

11 ‘‘(6) inventories and surveys of shore locations 

12 and infrastructure capable of supporting alternative 

13 energy development; and 

14 ‘‘(7) other information or actions as may be nec15 essary. 

16 ‘‘(c) GUIDELINES.—The Secretary shall, within 180 

17 days after the date of enactment of this section and after 

18 consultation with the coastal states, publish guidelines for 

19 the application for and use of grants under this section. 

20 ‘‘(d) PARTICIPATION.—A coastal state shall provide 

21 opportunity for public participation in developing new en22 forceable policies and procedures under this section pursu23 ant to sections 306(d)(1) and 306(e), especially by relevant 

24 Federal agencies, other coastal state agencies, local govern25 ments, regional organizations, port authorities, and other 


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1 interested parties and stakeholders, public and private, that 

2 are related to, or affected by Outer Continental Shelf energy 

3 activities. 

4 ‘‘(e) ANNUAL GRANTS.— 

5 ‘‘(1) IN GENERAL.—For each of fiscal years 2011 

6 through 2015, the Secretary may make a grant to a 

7 coastal state to develop new enforceable polices and 

8 procedures as required under this section. 

9 ‘‘(2) GRANT AMOUNTS AND LIMIT ON AWARDS.— 

10 The amount of any grant to any one coastal State 

11 under this section shall not exceed $750,000 for any 

12 fiscal year. No coastal state may receive more than 

13 two grants under this section. 

14 ‘‘(3) NO STATE MATCHING CONTRIBUTION RE15 QUIRED.—As it is in the national interest to be able 

16 to respond efficiently and effectively at all levels of 

17 government to oil spills and other accidents resulting 

18 from Outer Continental Shelf energy activities, a 

19 coastal state shall not be required to contribute any 

20 portion of the cost of a grant awarded under this sec21 tion. 

22 ‘‘(4) SECRETARIAL REVIEW AND LIMIT ON

23 AWARDS.—After an initial grant is made to a coastal 

24 state under this section, no subsequent grant may be 

25 made to that coastal state under this section unless 


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1 the Secretary finds that the coastal state is satisfac2 torily developing revisions to address offshore energy 

3 impacts. No coastal state is eligible to receive grants 

4 under this section for more than 2 fiscal years. 

5 ‘‘(f) APPLICABILITY.—The requirements of this section 

6 shall only apply if appropriations are provided to the Sec7 retary to make grants under this section. This section shall 

8 not be construed to convey any new authority to any coastal 

9 state, or repeal or supersede any existing authority of any 

10 coastal state, to regulate the siting, licensing, leasing, or 

11 permitting of energy facilities in areas of the Outer Conti12 nental Shelf under the administration of the Federal Gov13 ernment. Nothing in this section repeals or supersedes any 

14 existing coastal state authority. 

15 ‘‘(g) ASSISTANCE BY THE SECRETARY.—The Secretary 

16 as authorized under section 310(a) and to the extent prac17 ticable, shall make available to coastal states the resources 

18 and capabilities of the National Oceanic and Atmospheric 

19 Administration to provide technical assistance to the coast20 al states to prepare revisions to approved management pro21 grams to meet the requirements under this section.’’. 

22 SEC. 708. INFORMATION SHARING. 

23 Section 388(b) of the Energy Policy Act of 2005 (43 

24 U.S.C. 1337 note) is amended by adding at the end the fol25 lowing: 


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1 ‘‘(4) AVAILABILITY OF DATA AND INFORMA2 TION.—All heads of departments and agencies of the 

3 Federal Government shall, upon request of the Sec4 retary, provide to the Secretary all data and informa5 tion that the Secretary deems necessary for the pur6 pose of including such data and information in the 

7 mapping initiative, except that no department or 

8 agency of the Federal Government shall be required to 

9 provide any data or information that is privileged or 

10 proprietary.’’. 

11 SEC. 709. REPEAL OF FUNDING. 

12 Effective October 1, 2010, section 999H of the Energy 

13 Policy Act of 2005 (42 U.S.C. 16378) is amended— 

14 (1) by striking subsections (a), (b), (c), and (f); 

15 (2) by redesignating subsections (d) and (e) as 

16 subsections (a) and (b), respectively; 

17 (3) in subsection (a), as so redesignated, by 

18 striking ‘‘obligated from the Fund under subsection 

19 (a)(1)’’ and inserting ‘‘available under this section’’; 

20 and 

21 (4) in subsection (b), as so redesignated, by strik22 ing ‘‘In addition to other amounts that are made 

23 available to carry out this section, there’’ and insert24 ing ‘‘There’’. 


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1 SEC. 710. LIMITATION ON USE OF FUNDS. 

2 None of the funds authorized or made available by this 

3 Act may be used to carry out any activity or pay any cost 

4 for which a responsible party (as such term is defined in 

5 section 1001 of the Oil Pollution Act of 1990 (33 U.S.C. 

6 2701)) is liable under the Oil Pollution Act of 1990 (33 

7 U.S.C. 2701 et seq.) or other law. 

8 SEC. 711. ADDITIONAL PUBLIC-RIGHT-TO-KNOW REQUIRE9 MENTS. 

10 The Secretary of the Interior shall make publicly 

11 available in a database that is accessible by the public 

12 through the Internet information regarding judicial actions 

13 filed against the Department of the Interior regarding leas14 ing, production, exploration, or any related activities under 

15 the Outer Continental Shelf Lands Act, the Mineral Leasing 

16 Act, the Geothermal Steam Act of 1970, including any ac17 tion under any amendment to any of those laws made by 

18 this Act. The database shall include a list the full amount 

19 of attorney’s fees required to be paid in such actions by 

20 court order or settlement agreement. 

21 SEC. 712. FEDERAL RESPONSE TO STATE PROPOSALS TO 

22 PROTECT STATE LANDS AND WATERS. 

23 Any State shall be entitled to timely decisions regard24 ing permit applications or other approvals from any Fed25 eral official, including the Secretary of the Interior or the 

26 Secretary of Commerce, for any State or local government 


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1 response activity to protect State lands and waters that is 

2 directly related to the discharge of oil determined to be a 

3 spill of national significance. Within 48 hours of the receipt 

4 of the State application or request for approval, the Federal 

5 official shall provide a clear determination on the permit 

6 application or approval request to the State, or provide a 

7 definite date by which the determination shall be made to 

8 the State. If the Federal official fails to meet either of these 

9 deadlines, the permit application is presumed to be ap10 proved or other approval granted. 

11 TITLE VIII—GULF OF MEXICO 

12 RESTORATION 

13 SEC. 801. GULF OF MEXICO RESTORATION PROGRAM. 

14 (a) PROGRAM.—There is established a Gulf of Mexico 

15 Restoration Program for the purposes of coordinating Fed16 eral, State, and local restoration programs and projects to 

17 maximize efforts in restoring biological integrity, produc18 tivity and ecosystem functions in the Gulf of Mexico. 

19 (b) GULF OF MEXICO RESTORATION TASK FORCE.— 

20 (1) ESTABLISHMENT.—There is established a 

21 task force to be known as the Gulf of Mexico Restora22 tion Task Force (in this section referred to as the 

23 ‘‘Restoration Task Force’’). 

24 (2) MEMBERSHIP.—The Restoration Task Force 

25 shall consist of the Governors of each of the Gulf coast 


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1 States and the heads of appropriate Federal agencies 

2 selected by the President. The chairperson of the Res3 toration Task Force (in this subsection referred to as 

4 the ‘‘Chair’’) shall be appointed by the President. The 

5 Chair shall be a person who, as the result of experi6 ence and training, is exceptionally well-qualified to 

7 manage the work of the Restoration Task Force. The 

8 Chair shall serve in the Executive Office of the Presi9 dent. 

10 (3) ADVISORY COMMITTEES.—The Restoration 

11 Task Force may establish advisory committees and 

12 working groups as necessary to carry out is its duties 

13 under this Act. 

14 (c) GULF OF MEXICO RESTORATION PLAN.— 

15 (1) IN GENERAL.—Not later than nine months 

16 after the date of enactment of this Act, the Restora17 tion Task Force shall issue a proposed comprehensive 

18 plan for long-term restoration of the Gulf of Mexico. 

19 Not later than 12 months after the date of enactment 

20 and after notice and opportunity for public comment, 

21 the Restoration Task Force shall publish a final plan. 

22 The Plan shall be updated every five years in the 

23 same manner. 

24 (2) ELEMENTS OF RESTORATION PLANS.—The 

25 Plan shall— 


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1 (A) identify processes and strategies for co2 ordinating Federal, State, and local restoration 

3 programs and projects to maximize efforts in re4 storing biological integrity, productivity and eco5 system functions in the Gulf of Mexico region; 

6 (B) identify mechanisms for scientific re7 view and input to evaluate the benefits and long8 term effectiveness of restoration programs and 

9 projects; 

10 (C) identify, using the best science avail11 able, strategies for implementing restoration pro12 grams and projects for natural resources includ13 ing— 

14 (i) restoring species population and 

15 habitat including oyster reefs, sea grass 

16 beds, coral reefs, tidal marshes and other 

17 coastal wetlands and barrier islands and 

18 beaches; 

19 (ii) restoring fish passage and improv20 ing migratory pathways for wildlife; 

21 (iii) research that directly supports 

22 restoration programs and projects; 

23 (iv) restoring the biological produc24 tivity and ecosystem function in the Gulf of 

25 Mexico region; and 


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1 (v) improving the resilience of natural 

2 resources to withstand the impacts of cli3 mate change and ocean acidification to en4 sure the long-term effectiveness of the res5 toration program. 

6 (3) REPORT.—The Task Force shall annually 

7 provide a report to Congress about the progress in im8 plementing the Plan. 

9 (d) DEFINITIONS.—For purposes of this section, the 

10 term— 

11 (1) ‘‘Gulf coast State’’ means each of the States 

12 of Texas, Louisiana, Mississippi, Alabama, and Flor13 ida; and 

14 (2) ‘‘restoration programs and projects’’ means 

15 activities that support the restoration, rehabilitation, 

16 replacement, or acquisition of the equivalent, of in17 jured or lost natural resources including the ecological 

18 services and benefits provided by such resources. 

19 (e) RELATIONSHIP TO OTHER LAW.—Nothing in this 

20 section affects the ability or authority of the Federal Gov21 ernment to recover costs from a person determined to be 

22 a responsible party pursuant to the Oil Pollution Act of 

23 1990 (33 U.S.C. 2701 et seq.) or other law. 


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1 TITLE IX—GEOTHERMAL 

2 PRODUCTION EXPANSION 

3 SEC. 901. SHORT TITLE. 

4 This title may be cited as the ‘‘Geothermal Production 

5 Expansion Act’’. 

6 SEC. 902. FINDINGS. 

7 The Congress finds the following: 

8 (1) It is in the best interest of the United States 

9 to develop clean renewable geothermal energy. 

10 (2) Development of such energy should be pro11 moted on appropriate Federal lands. 

12 (3) Under the Energy Policy Act of 2005, the 

13 Bureau of Land Management is authorized to issue 

14 three different types of non-competitive leases for pro15 duction of geothermal energy on Federal lands, in16 cluding non-competitive geothermal leases to mining 

17 claim holders that have a valid operating plan, direct 

18 use leases, and leases on parcels that do not sell at a 

19 competitive auction. 

20 (4) Federal geothermal energy leasing activity 

21 should be directed towards those seeking to develop the 

22 land as opposed to those seeking to speculate on geo23 thermal resources and thereby artificially raising the 

24 cost of legitimate geothermal energy development. 


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1 (5) Developers of geothermal energy on Federal 

2 lands that have invested substantial capital and made 

3 high risk investments should be allowed to secure a 

4 discovery of geothermal energy resources. 

5 (6) Successful geothermal development on Fed6 eral lands will provide increased revenue to the Fed7 eral Government, with the payment of production 

8 royalties over decades. 

9 SEC. 903. NONCOMPETITIVE LEASING OF ADJOINING AREAS 

10 FOR DEVELOPMENT OF GEOTHERMAL RE11 SOURCES. 

12 (a) IN GENERAL.—Section 4(b) of the Geothermal 

13 Steam Act of 1970 (30 U.S.C. 1003(b)) by adding at the 

14 end the following: 

15 ‘‘(4) ADJOINING LANDS.— 

16 ‘‘(A) IN GENERAL.—An area of qualified 

17 Federal lands that adjoins other lands for which 

18 a qualified lessee holds a legal right to develop 

19 geothermal resources may be available for non20 competitive lease under this section to the quali21 fied lessee at the fair market value per acre, if— 

22 ‘‘(i) the area of qualified Federal 

23 lands— 

24 ‘‘(I) consists of not less than 1 

25 acre, and not more than 640 acres; and 


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1 ‘‘(II) is not already leased under 

2 this Act or nominated to be leased 

3 under subsection (a); 

4 ‘‘(ii) the qualified lessee has not pre5 viously received a noncompetitive lease 

6 under this paragraph in connection with 

7 the valid discovery for which data has been 

8 submitted under subclause (I) of clause (iii); 

9 and 

10 ‘‘(iii) sufficient geological and other 

11 technical data prepared by a qualified geo12 thermal professional has been submitted by 

13 the qualified lessee to the relevant Federal 

14 land management agency that would engen15 der a belief in individuals who are experi16 enced in the subject matter that— 

17 ‘‘(I) there is a valid discovery of 

18 geothermal resources on the lands for 

19 which the qualified lessee holds the 

20 legal right to develop geothermal re21 sources; and 

22 ‘‘(II) such thermal feature extends 

23 into the adjoining areas. 

24 ‘‘(B) DETERMINATION OF FAIR MARKET

25 VALUE.— 


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1 ‘‘(i) IN GENERAL.—The Secretary 

2 shall— 

3 ‘‘(I) publish a notice of any re4 quest to lease land under this para5 graph; 

6 ‘‘(II) determine fair market value 

7 for purposes of this paragraph in ac8 cordance with procedures for making 

9 such determinations that are estab10 lished by regulations issued by the Sec11 retary; 

12 ‘‘(III) provide to a qualified lessee 

13 and publish any proposed determina14 tion under this subparagraph of the 

15 fair market value of an area that the 

16 qualified lessee seeks to lease under this 

17 paragraph; 

18 ‘‘(IV) provide to such qualified 

19 lessee the opportunity to appeal such 

20 proposed determination within the 30- 

21 day period after it is provided to the 

22 qualified lessee; and 

23 ‘‘(V) provide to any interested 

24 member of the public the opportunity 

25 to appeal such proposed determination 


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1 in accordance with the process set forth 

2 in parts 4, 1840, and 3200.5 of title 

3 43, Code of Federal Regulations (as in 

4 effect on the date of enactment of the 

5 Geothermal Production Expansion 

6 Act) within the 30-day period after it 

7 published. 

8 ‘‘(ii) LIMITATION ON NOMINATION.— 

9 After publication of a notice of request to 

10 lease land under this paragraph, the Sec11 retary may not accept under subsection (a) 

12 any nomination of the land for leasing un13 less the request has been denied or with14 drawn. 

15 ‘‘(iii) REGULATIONS: DEADLINE; PUB16 LICATION OF PROPOSED REGULATIONS.— 

17 The regulations required under clause (i) 

18 shall be issued by not later than 90 days 

19 after the date of enactment of this Act, and 

20 after publication of, and an opportunity for 

21 public comment on, the proposed regula22 tions. 

23 ‘‘(C) DEFINITIONS.—In this paragraph— 


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1 ‘‘(i) the term ‘fair market value per 

2 acre’ means a dollar amount per acre 

3 that— 

4 ‘‘(I) except as provided in this 

5 clause, shall be equal to the market 

6 value per acre as determined by the 

7 Secretary under regulations under this 

8 paragraph; 

9 ‘‘(II) shall be determined by the 

10 Secretary with respect to a lease under 

11 this paragraph, by not later than the 

12 end of the 90-day period beginning on 

13 the date the Secretary receives an ap14 plication for the lease; and 

15 ‘‘(III) shall be not less than the 

16 greater of— 

17 ‘‘(aa) four times the median 

18 amount paid per acre for all 

19 lands leased under this Act in the 

20 preceding year; or 

21 ‘‘(bb) $50; 

22 ‘‘(ii) the term ‘industry standards’ 

23 means the standards by which a qualified 

24 geothermal professional assesses whether 

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1 ments with indications of permeability are 

2 sufficient to produce energy from geothermal 

3 resources as determined through flow or in4 jection testing or measurement of lost cir5 culation while drilling; 

6 ‘‘(iii) the term ‘qualified Federal lands’ 

7 means lands that are otherwise available for 

8 leasing under this Act; 

9 ‘‘(iv) the term ‘qualified geothermal 

10 professional’ means an individual who is 

11 an engineer or geoscientist in good profes12 sional standing with at least five years of 

13 experience in geothermal exploration, devel14 opment, project assessment, or any com15 bination of the forgoing; 

16 ‘‘(v) the term ‘qualified lessee’ means a 

17 person that may hold a geothermal lease 

18 under part 3202.10 of title 43, Code of Fed19 eral Regulations, as in effect on the date of 

20 enactment of the Geothermal Production 

21 Expansion Act; and 

22 ‘‘(vi) the term ‘valid discovery’ means 

23 a discovery of a geothermal resource by a 

24 new or existing slim hole or production 

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1 perature measurements with indications of 

2 permeability sufficient to meet industry 

3 standards.’’. 

4 (b) DEADLINE FOR REGULATIONS.—The Secretary 

5 shall issue regulations to implement the amendment made 

6 by subsection (a), by not later than 6 months after the date 

7 of the enactment of this Act. 


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Union Calendar No. 332 

111TH CONGRESS 

2D SESSION H. R. 3534 

[Report No. 111–575, Part I] 

A BILL 

To provide greater efficiencies, transparency, reof the Interior, and for other purposes. Energy and Minerals Leasing of the Department one entity to be known as the Office of Federal minerals management and leasing programs into dating administration of various Federal energy Federal mineral and energy resources by consoli- turns, and accountability in the administration of 

JULY 28, 2010 

Reported with an amendment, committed to the Comand ordered to be printed mittee of the Whole House on the State of the Union, 

JULY 28, 2010 

Referred to the Committee on Agriculture for a period 

clause 1(a), rule X within the jurisdiction of that committee pursuant to of such provisions of the bill and amendments as fall ending not later than July 28, 2010, for consideration 

JULY 28, 2010 

Committee on Agriculture discharged; committed to the 

Union and ordered to be printed Committee of the Whole House on the State of the 


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