(2) authorize expenditures for each fiscal year 
to the Secretary of the Interior and the States; and 
(3) use the appropriated funds to secure the 
necessary trained workforce or contractual services 
to conduct environmental studies, planning, develop-
ment, monitoring, and post-development manage-
ment of wildlife and fish and their habitats and air, 
water, and other natural resources that may be re-
lated to bio-based fuel, gas, mineral, oil, wind, or 
other energy exploration, development, transpor-
tation, transmission, and associated activities on 
Federal onshore and offshore lands, including, but 
not limited to— 
(A) pertinent research, surveys, and envi-
ronmental analyses conducted to identify any 
impacts on wildlife, fish, air, water, and other 
natural resources from energy and mineral ex-
ploration, development, production, and trans-
portation or transmission; 
(B) projects to maintain, improve, or en-
hance wildlife and fish populations and their 
habitats or air, water, or other natural re-
sources, including activities under the Endan-
gered Species Act of 1973; 
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(C) research, surveys, environmental anal-
yses, and projects that assist in managing, in-
cluding mitigating either onsite or offsite, or 
both, the impacts of energy and mineral activi-
ties on wildlife, fish, air, water, and other nat-
ural resources; and 
(D) projects to teach young people to live 
off the land. 
(d) DEFINITIONS.—In this section: 
(1) ENHANCEMENT PROGRAM.—The term ‘‘En-
hancement Program’’ means the Federal Energy 
Natural Resources Enhancement Program estab-
lished by this section. 
(2) STATE.—The term ‘‘State’’ means the Gov-
ernor of the State. 
(e) AUTHORIZATION OF APPROPRIATIONS.—There is 
authorized to be appropriated to carry out the Enhance-
ment Program $150,000,000 for each of fiscal years 2009 
through 2019. 
(f) ESTABLISHMENT
OF FEDERAL ENERGY NAT-
URAL RESOURCES ENHANCEMENT PROGRAM.— 
(1) IN
GENERAL.—There is established the 
Federal Energy Natural Resources Enhancement 
Program. 
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(2) PAYMENT
TO
SECRETARY
OF
THE
INTE-
RIOR.—Beginning with fiscal year 2009, and in each 
fiscal year thereafter, one-third of amounts appro-
priated for the Enhancement Program shall be avail-
able to the Secretary of the Interior for use for the 
purposes described in subsection (c)(3). 
(3) PAYMENT TO STATES.— 
(A) IN GENERAL.—Beginning with fiscal 
year 2009, and in each fiscal year thereafter, 
two-thirds of amounts appropriated for the En-
hancement Program shall be available to the 
States for use for the purposes described in 
(c)(3). 
(B) USE OF PAYMENTS BY STATE.—Each 
State shall use the payments made under this 
paragraph only for carrying out projects and 
programs for the purposes described in (c)(3). 
(C) ENCOURAGE USE OF PRIVATE FUNDS 
BY STATE.—Each State shall use the payments 
made under this paragraph to leverage private 
funds for carrying out projects for the purposes 
described in (c)(3). 
(g) LIMITATION ON USE.—Amounts made available 
under this section may not be used for the purchase of 
any interest in land. 
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(h) REPORTS TO CONGRESS.— 
(1) IN
GENERAL.—Beginning in fiscal year 
2010 and continuing for each fiscal year thereafter, 
the Secretary of the Interior and each State receiv-
ing funds from the Enhancement Fund shall submit 
a report to the Committee on Energy and Natural 
Resources of the Senate and the Committee on Re-
sources of the House of Representatives. 
(2) REQUIRED
INFORMATION.—Reports sub-
mitted to the Congress by the Secretary of the Inte-
rior and States under this subsection shall include 
the following information regarding expenditures 
during the previous fiscal year: 
(A) A summary of pertinent scientific re-
search and surveys conducted to identify im-
pacts on wildlife, fish, and other natural re-
sources from energy and mineral developments. 
(B) A summary of projects planned and 
completed to maintain, improve or enhance 
wildlife and fish populations and their habitats 
or other natural resources. 
(C) A list of additional actions that assist, 
or would assist, in managing, including miti-
gating either onsite or offsite, or both, the im-
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pacts of energy and mineral development on 
wildlife, fish, and other natural resources. 
(D) A summary of private (non-Federal) 
funds used to plan, conduct, and complete the 
plans and programs identified in subparagraphs 
(A) and (B). 
SEC. 212. TERMINATION OF EFFECT OF LAWS PROHIBITING 
THE SPENDING OF APPROPRIATED FUNDS 
FOR CERTAIN PURPOSES. 
All provisions of existing Federal law prohibiting the 
spending of appropriated funds to conduct oil and natural 
gas leasing and preleasing activities, or to issue a lease 
to any person, for any area of the outer Continental Shelf 
shall have no force or effect. 
SEC. 213. OUTER CONTINENTAL SHELF INCOMPATIBLE 
USE. 
(a) IN GENERAL.—No Federal agency may permit 
construction or operation (or both) of any facility, or des-
ignate or maintain a restricted transportation corridor or 
operating area on the Federal outer Continental Shelf or 
in State waters, that will be incompatible with, as deter-
mined by the Secretary of the Interior, oil and gas or nat-
ural gas leasing and substantially full exploration and pro-
duction of tracts that are geologically prospective for oil 
or natural gas (or both). 
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(b) EXCEPTIONS.—Subsection (a) shall not apply to 
any facility, transportation corridor, or operating area the 
construction, operation, designation, or maintenance of 
which is or will be— 
(1) located in an area of the outer Continental 
Shelf that is unavailable for oil and gas or natural 
gas leasing by operation of law; 
(2) used for a military readiness activity (as de-
fined in section 315(f) of Public Law 107–314; 16 
U.S.C. 703 note); or 
(3) required in the national interest, as deter-
mined by the President. 
SEC. 214. REPURCHASE OF CERTAIN LEASES. 
(a) AUTHORITY TO REPURCHASE AND CANCEL CER-
TAIN LEASES.—The Secretary of the Interior shall repur-
chase and cancel any Federal oil and gas, geothermal, 
coal, oil shale, tar sands, or other mineral lease, whether 
onshore or offshore, but not including any outer Conti-
nental Shelf oil and gas leases that are subject to litigation 
in the Court of Federal Claims on January 1, 2006, if 
the Secretary finds that such lease qualifies for repurchase 
and cancellation under the regulations authorized by this 
section. 
(b) REGULATIONS.—Not later than 365 days after 
the date of the enactment of this Act, the Secretary shall 
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publish a final regulation stating the conditions under 
which a lease referred to in subsection (a) would qualify 
for repurchase and cancellation, and the process to be fol-
lowed regarding repurchase and cancellation. Such regula-
tion shall include, but not be limited to, the following: 
(1) The Secretary shall repurchase and cancel 
a lease after written request by the lessee upon a 
finding by the Secretary that— 
(A) a request by the lessee for a required 
permit or other approval complied with applica-
ble law, except the Coastal Zone Management 
Act of 1972 (16 U.S.C. 1451 et seq.), and 
terms of the lease and such permit or other ap-
proval was denied; 
(B) a Federal agency failed to act on a re-
quest by the lessee for a required permit, other 
approval, or administrative appeal within a reg-
ulatory or statutory time-frame associated with 
the requested action, whether advisory or man-
datory, or if none, within 180 days; or 
(C) a Federal agency attached a condition 
of approval, without agreement by the lessee, to 
a required permit or other approval if such con-
dition of approval was not mandated by Federal 
statute or regulation in effect on the date of 
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lease issuance, or was not specifically allowed 
under the terms of the lease. 
(2) A lessee shall not be required to exhaust ad-
ministrative remedies regarding a permit request, 
administrative appeal, or other required request for 
approval for the purposes of this section. 
(3) The Secretary shall make a final agency de-
cision on a request by a lessee under this section 
within 180 days of request. 
(4) Compensation to a lessee to repurchase and 
cancel a lease under this section shall be the amount 
that a lessee would receive in a restitution case for 
a material breach of contract. 
(5) Compensation shall be in the form of a 
check or electronic transfer from the Department of 
the Treasury from funds deposited into miscella-
neous receipts under the authority of the same Act 
that authorized the issuance of the lease being re-
purchased. 
(6) Failure of the Secretary to make a final 
agency decision on a request by a lessee under this 
section within 180 days of request shall result in a 
10 percent increase in the compensation due to the 
lessee if the lease is ultimately repurchased. 
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(c) NO PREJUDICE.—This section shall not be inter-
preted to prejudice any other rights that the lessee would 
have in the absence of this section. 
SEC. 215. OFFSITE ENVIRONMENTAL MITIGATION. 
Notwithstanding any other provision of law, any per-
son conducting activities under the Mineral Leasing Act 
(30 U.S.C. 181 et seq.), the Geothermal Steam Act (30 
U.S.C. 1001 et seq.), the Mineral Leasing Act for Ac-
quired Lands (30 U.S.C. 351 et seq.), the Weeks Act (16 
U.S.C. 552 et seq.), the General Mining Act of 1872 (30 
U.S.C. 22 et seq.), the Materials Act of 1947 (30 U.S.C. 
601 et seq.), or the Outer Continental Shelf Lands Act 
(43 U.S.C. 1331 et seq.), may in satisfying any mitigation 
requirements associated with such activities propose miti-
gation measures on a site away from the area impacted 
and the Secretary of the Interior shall accept these pro-
posed measures if the Secretary finds that they generally 
achieve the purposes for which mitigation measures apper-
tained. 
SEC. 216. MINERALS MANAGEMENT SERVICE. 
The bureau known as the ‘‘Minerals Management 
Service’’ in the Department of the Interior shall be known 
as the ‘‘National Ocean Resources and Royalty Service’’. 
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SEC. 217. AUTHORITY TO USE DECOMMISSIONED OFF-
SHORE 
OIL 
AND 
GAS 
PLATFORMS 
AND 
OTHER FACILITIES FOR ARTIFICIAL REEF, 
SCIENTIFIC RESEARCH, OR OTHER USES. 
(a) SHORT TITLE.—This section may be cited as the 
‘‘Rigs to Reefs Act of 2008’’. 
(b) IN GENERAL.—The Outer Continental Shelf 
Lands Act (43 U.S.C. 1301 et seq.) is amended by insert-
ing after section 9 the following: 
‘‘SEC. 10. USE OF DECOMMISSIONED OFFSHORE OIL AND 
GAS PLATFORMS AND OTHER FACILITIES 
FOR 
ARTIFICIAL 
REEF, 
SCIENTIFIC 
RE-
SEARCH, OR OTHER USES. 
‘‘(a) IN GENERAL.—The Secretary shall issue regula-
tions under which the Secretary may authorize use of an 
offshore oil and gas platform or other facility that is de-
commissioned from service for oil and gas purposes for 
an artificial reef, scientific research, or any other use au-
thorized under section 8(p) or any other applicable Fed-
eral law. 
‘‘(b) TRANSFER
REQUIREMENTS.—The Secretary 
shall not allow the transfer of a decommissioned offshore 
oil and gas platform or other facility to another person 
unless the Secretary is satisfied that the transferee is suf-
ficiently bonded, endowed, or otherwise financially able to 
fulfill its obligations, including but not limited to— 
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‘‘(1) ongoing maintenance of the platform or 
other facility; 
‘‘(2) any liability obligations that might arise; 
‘‘(3) removal of the platform or other facility if 
determined necessary by the Secretary; and 
‘‘(4) any other requirements and obligations 
that the Secretary may deem appropriate by regula-
tion. 
‘‘(c) PLUGGING
AND
ABANDONMENT.—The Sec-
retary shall ensure that plugging and abandonment of 
wells is accomplished at an appropriate time. 
‘‘(d) POTENTIAL TO PETITION TO OPT-OUT OF REG-
ULATIONS.—An Adjacent State acting through a resolu-
tion of its legislature, with concurrence of its Governor, 
may preliminarily petition to opt-out of the application of 
regulations promulgated under this section to platforms 
and other facilities located in the area of its Adjacent Zone 
within 12 miles of the coastline. Upon receipt of the pre-
liminary petition, the Secretary shall complete an environ-
mental assessment that documents the anticipated envi-
ronmental effects of approving the petition. The Secretary 
shall provide the environmental assessment to the State, 
which then has the choice of no action or confirming its 
petition by further action of its legislature, with the con-
currence of its Governor. The Secretary is authorized to 
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except such area from the application of such regulations, 
and shall approve any confirmed petition. 
‘‘(e) LIMITATION ON LIABILITY.—A person that had 
used an offshore oil and gas platform or other facility for 
oil and gas purposes and that no longer has any ownership 
or control of the platform or other facility shall not be 
liable under Federal law for any costs or damages arising 
from such platform or other facility after the date the plat-
form or other facility is used for any purpose under sub-
section (a), unless such costs or damages arise from— 
‘‘(1) use of the platform or other facility by the 
person for development or production of oil or gas; 
or 
‘‘(2) another act or omission of the person. 
‘‘(f) OTHER LEASING AND USE NOT AFFECTED.— 
This section, and the use of any offshore oil and gas plat-
form or other facility for any purpose under subsection 
(a), shall not affect— 
‘‘(1) the authority of the Secretary to lease any 
area under this Act; or 
‘‘(2) any activity otherwise authorized under 
this Act.’’. 
(c) DEADLINE FOR REGULATIONS.—The Secretary of 
the Interior shall issue regulations under subsection (b) 
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by not later than 180 days after the date of the enactment 
of this Act. 
(d) STUDY AND REPORT ON EFFECTS OF REMOVAL 
OF PLATFORMS.—Not later than one year after the date 
of enactment of this Act, the Secretary of the Interior, 
in consultation with other Federal agencies as the Sec-
retary deems advisable, shall study and report to the Con-
gress regarding how the removal of offshore oil and gas 
platforms and other facilities from the outer Continental 
Shelf would affect existing fish stocks and coral popu-
lations. 
SEC. 218. REPEAL OF REQUIREMENT TO CONDUCT COM-
PREHENSIVE INVENTORY OF OCS OIL AND 
NATURAL GAS RESOURCES. 
The Energy Policy Act of 2005 (Public Law 109– 
58) is amended— 
(1) by repealing section 357 (119 Stat. 720; 42 
U.S.C. 15912); and 
(2) in the table of contents in section 1(b), by 
striking the item relating to such section 357. 
SEC. 219. LEASES FOR AREAS LOCATED WITHIN 100 MILES 
OF CALIFORNIA OR FLORIDA. 
(a) AUTHORIZATION TO CANCEL AND EXCHANGE 
CERTAIN EXISTING OIL AND GAS LEASES; PROHIBITION 
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ON SUBMITTAL OF EXPLORATION PLANS FOR CERTAIN 
LEASES PRIOR TO JUNE 30, 2012.— 
(1) AUTHORITY.—Within 2 years after the date 
of enactment of this Act, the lessee of an existing oil 
and gas lease for an area located completely within 
100 miles of the coastline within the California or 
Florida Adjacent Zones shall have the option, with-
out compensation, of exchanging such lease for a 
new oil and gas lease having a primary term of 5 
years. For the area subject to the new lease, the les-
see may select any unleased tract on the outer Con-
tinental Shelf that is in an area available for leasing. 
Further, with the permission of the relevant Gov-
ernor, such a lessee may convert its existing oil and 
gas lease into a natural gas lease having a primary 
term of 5 years and covering the same area as the 
existing lease or another area within the same 
State’s Adjacent Zone within 100 miles of the coast-
line. 
(2) ADMINISTRATIVE PROCESS.—The Secretary 
of the Interior shall establish a reasonable adminis-
trative process to implement paragraph (1). Ex-
changes and conversions under subsection (a), in-
cluding the issuance of new leases, shall not be con-
sidered to be major Federal actions for purposes of 
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the National Environmental Policy Act of 1969 (42 
U.S.C. 4321 et seq.). Further, such actions con-
ducted in accordance with this section are deemed to 
be in compliance all provisions of the Outer Conti-
nental Shelf Lands Act (43 U.S.C. 1331 et seq.). 
(3) OPERATING
RESTRICTIONS.—A new lease 
issued in exchange for an existing lease under this 
section shall be subject to such national defense op-
erating stipulations on the OCS tract covered by the 
new lease as may be applicable upon issuance. 
(4) PRIORITY.—The Secretary shall give pri-
ority in the lease exchange process based on the 
amount of the original bonus bid paid for the 
issuance of each lease to be exchanged. The Sec-
retary shall allow leases covering partial tracts to be 
exchanged for leases covering full tracts conditioned 
upon payment of additional bonus bids on a per-acre 
basis as determined by the average per acre of the 
original bonus bid per acre for the partial tract 
being exchanged. 
(5) EXPLORATION
PLANS.—Any exploration 
plan submitted to the Secretary of the Interior after 
the date of the enactment of this Act and before 
July 1, 2012, for an oil and gas lease for an area 
wholly within 100 miles of the coastline within the 
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California Adjacent Zone or Florida Adjacent Zone 
shall not be treated as received by the Secretary 
until the earlier of July 1, 2012, or the date on 
which a petition by the Adjacent State for oil and 
gas leasing covering the area within which is located 
the area subject to the oil and gas lease was ap-
proved. 
(b) FURTHER
LEASE
CANCELLATION
AND
EX-
CHANGE PROVISIONS.— 
(1) CANCELLATION OF LEASE.—As part of the 
lease exchange process under this section, the Sec-
retary shall cancel a lease that is exchanged under 
this section. 
(2) CONSENT OF LESSEES.—All lessees holding 
an interest in a lease must consent to cancellation 
of their leasehold interests in order for the lease to 
be cancelled and exchanged under this section. 
(3) WAIVER OF RIGHTS.—As a prerequisite to 
the exchange of a lease under this section, the lessee 
must waive any rights to bring any litigation against 
the United States related to the transaction. 
(4) PLUGGING AND ABANDONMENT.—The plug-
ging and abandonment requirements for any wells 
located on any lease to be cancelled and exchanged 
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under this section must be complied with by the les-
sees prior to the cancellation and exchange. 
(c) AREA PARTIALLY WITHIN 100 MILES OF FLOR-
IDA.—An existing oil and gas lease for an area located 
partially within 100 miles of the coastline within the Flor-
ida Adjacent Zone may only be developed and produced 
using wells drilled from well-head locations at least 100 
miles from the coastline to any bottom-hole location on 
the area of the lease. This subsection shall not apply if 
Florida has petitioned for leasing closer to the coastline 
than 100 miles. 
(d) EXISTING OIL AND GAS LEASE DEFINED.—In 
this section the term ‘‘existing oil and gas lease’’ means 
an oil and gas lease in effect on the date of the enactment 
of this Act. 
SEC. 220. COASTAL IMPACT ASSISTANCE. 
Section 31 of the Outer Continental Shelf Lands Act 
(43 U.S.C. 1356a) is repealed. 
SEC. 221. OIL SHALE AND TAR SANDS AMENDMENTS. 
(a) REPEAL OF REQUIREMENT TO ESTABLISH PAY-
MENTS.—Section 369(o) of the Energy Policy Act of 2005 
(Public Law 109–58; 119 Stat. 728; 42 U.S.C. 15927) 
is repealed. 
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