I 
110TH CONGRESS 
2D SESSION 
H. R. 6544 
To provide immediate relief from high fuel and food prices and to pursue 
alternatives in renewable energy. 
IN THE HOUSE OF REPRESENTATIVES 
JULY 17, 2008 
Mr. BURTON of Indiana introduced the following bill; which was referred to 
the Committee on Ways and Means, and in addition to the Committees 
on Energy and Commerce, Natural Resources, Armed Services, and 
Science and Technology, for a period to be subsequently determined by 
the Speaker, in each case for consideration of such provisions as fall with-
in the jurisdiction of the committee concerned 
A BILL 
To provide immediate relief from high fuel and food prices 
and to pursue alternatives in renewable energy. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 
(a) SHORT TITLE.—This Act may be cited as the 
‘‘Relief Now on the Road to Renewable Energy Act of 
2008’’. 
(b) TABLE OF CONTENTS.—The table of contents of 
this Act is as follows: 
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Sec. 1. Short title; table of contents. 
Sec. 2. Findings. 
TITLE I—REFINERIES 
Subtitle A—Tax Incentives 
Sec. 101. Issuance of guidance. 
Sec. 102. Tax-exempt financing of domestic use oil refinery facilities. 
Sec. 103. Designation and availability of Federal lands for oil and natural gas 
refineries. 
Subtitle B—Availability of Federal Lands 
Sec. 111. Definitions. 
Sec. 112. State participation and presidential designation. 
Sec. 113. Process coordination and rules of procedure. 
Sec. 114. Alternative uses of land. 
TITLE II—NUCLEAR ENERGY 
Sec. 201. Waste confidence. 
Sec. 202. ASME Nuclear Certification credit. 
TITLE III—DRILLING 
Subtitle A—Tax Provisions 
Sec. 301. Credit for producing fuel from nonconventional sources to apply to 
gas produced onshore from formations more than 15,000 feet 
deep. 
Sec. 302. Tax credit for carbon dioxide captured from industrial sources and 
used in enhanced oil and natural gas recovery. 
Subtitle B—Termination of Congressional Moratoria on Oil and Gas 
Development on the Outer Continental Shelf 
Sec. 311. Termination of laws prohibiting expenditures for oil and natural gas 
leasing and preleasing activities regarding areas of the outer 
continental shelf. 
Subtitle C—Oil and Gas Development on the Coastal Plain of Alaska 
Sec. 321. Short title. 
Sec. 322. Definitions. 
Sec. 323. Leasing program for lands within the Coastal Plain. 
Sec. 324. Lease sales. 
Sec. 325. Grant of leases by the Secretary. 
Sec. 326. Lease terms and conditions. 
Sec. 327. Coastal plain environmental protection. 
Sec. 328. Expedited judicial review. 
Sec. 329. Federal and State distribution of revenues. 
Sec. 330. Rights-of-way across the Coastal Plain. 
Sec. 331. Conveyance. 
Sec. 332. Local government impact aid and community service assistance. 
TITLE IV—GAS PRICE TAX CREDIT FOR FAMILIES AND 
BUSINESSES 
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Sec. 401. Deduction for certain commuting expenses of individuals. 
Sec. 402. Tax credit for fuel expenses of truckers. 
TITLE V—COAL-TO-LIQUID FUEL 
Subtitle A—Coal to Liquid Fuel Activities 
Sec. 501. Short title. 
Sec. 502. Definitions. 
Sec. 503. Coal-to-liquid fuel loan guarantee program. 
Sec. 504. Coal-to-liquid facilities loan program. 
Sec. 505. Location of coal-to-liquid manufacturing facilities. 
Sec. 506. Strategic Petroleum Reserve. 
Sec. 507. Authorization to conduct research, development, testing, and evalua-
tion of assured domestic fuels. 
Sec. 508. Coal-to-liquid long-term fuel procurement and department of defense 
development. 
Sec. 509. Report on emissions of Fischer-Tropsch products used as transpor-
tation fuels. 
Subtitle B—Amendments to the Internal Revenue Code of 1986 
Sec. 511. Credit for investment in coal-to-liquid fuels projects. 
Sec. 512. Temporary expensing for equipment used in coal-to-liquid fuels proc-
ess. 
Sec. 513. Extension of alternative fuel credit for fuel derived from coal through 
the Fischer-Tropsch process. 
Sec. 514. Modifications to enhanced oil recovery credit. 
Sec. 515. Allowance of enhanced oil, natural gas, and coalbed methane recov-
ery, and capture and sequestration credit against the alter-
native minimum tax. 
TITLE VI—ENERGY EFFICIENT TAX CREDIT FOR VEHICLES 
Sec. 601. Credit for hybrids and plug-in hybrids. 
TITLE VII—EXTENSION AND MODIFICATION OF TAX PROVISIONS 
Sec. 700. Short title; etc. 
Subtitle A—Extension of Clean Energy Production Incentives 
Sec. 701. Extension and modification of renewable energy production tax credit. 
Sec. 702. Extension and modification of solar energy and fuel cell investment 
tax credit. 
Sec. 703. Extension and modification of residential energy efficient property 
credit. 
Sec. 704. Extension and modification of credit for clean renewable energy 
bonds. 
Sec. 705. Extension of special rule to implement FERC restructuring policy. 
Sec. 706. Extension of wind production tax credit. 
Subtitle B—Extension of Incentives To Improve Energy Efficiency 
Sec. 711. Extension and modification of credit for energy efficiency improve-
ments to existing homes. 
Sec. 712. Extension and modification of tax credit for energy efficient new 
homes. 
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Sec. 713. Extension and modification of energy efficient commercial buildings 
deduction. 
Sec. 714. Modification and extension of energy efficient appliance credit for ap-
pliances produced after 2007. 
TITLE VIII—INCENTIVIZING THE EXTRACTION AND PROCESSING 
OF OIL SHALE 
Sec. 801. Incentives for extraction and processing of oil shale. 
TITLE IX—LAND FOR BIOFUEL PRODUCTION 
Sec. 901. Lease of public lands for production of renewable biomass for 
biofuels. 
SEC. 2. FINDINGS. 
Congress finds the following: 
(1) In recent months gas prices across the 
country have risen to as much as over $4 per gallon. 
(2) High fuel costs retard economic growth and 
diminish the quality of life for all Americans. 
(3) The trucking industry is particularly hard 
hit by high fuel prices. 
(4) The boutique fuel requirement, under which 
certain regions require certain blends of gasoline, 
contributes to the high price by impeding efficient 
transport of gasoline across the country. 
(5) Hidden taxes on domestic oil companies are 
counterproductive and will inevitably be passed down 
to the consumer, raising the price and making us 
more dependent on foreign oil companies. 
(6) Attempts to address the issue of high gaso-
line costs by increasing government involvement in 
the market through measures such as price controls 
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will only lead to shortages, rationing, and a return 
of gasoline lines. 
(7) The Federal regulations restricting drilling 
impose prohibitive costs on the development of new 
sources of energy, artificially inflating the price of 
gas. 
(8) It has been estimated that oil shale deposits 
in Colorado, Utah, and Wyoming hold as little as 1.8 
trillion barrels of oil and as many as 8 trillion bar-
rels. 
(9) Federal gas taxes increase the price of oil 
thus burdening American families, business, and 
truckers. 
(10) While oil companies already have gas 
leases, the most promising areas for oil and gas de-
velopment are currently off limits (ANWR and the 
OCS). 
(11) Allowing private parties to delay, or even 
halt, the construction of new refineries through liti-
gation over the National Environmental Policy Act 
of 1969’s Environmental Impact Statement require-
ment reduces the supply of gas thus raising gas 
prices. 
(12) Food sources should not be used for the 
production of fuel, driving up food prices. Rather, it 
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is essential to designate specific land for biofuels 
while investing in technology that can produce eth-
anol from nonfood sources. 
(13) It is necessary to invest in emission-free 
energy sources, such as wind and solar energy tech-
nologies, to prepare for the future. 
TITLE I—REFINERIES 
Subtitle A—Tax Incentives 
SEC. 101. ISSUANCE OF GUIDANCE. 
The Secretary of the Treasury shall, not later than 
60 days after the date of the enactment of this Act, pre-
scribe the regulations described in paragraph (1) of sec-
tion 179C(b) of the Internal Revenue Code of 1986 (relat-
ing to election to expense certain refineries). 
SEC. 102. TAX-EXEMPT FINANCING OF DOMESTIC USE OIL 
REFINERY FACILITIES. 
(a) IN GENERAL.— 
(1) TREATMENT AS EXEMPT FACILITY BOND.— 
Subsection (a) of section 142 of the Internal Rev-
enue Code of 1986 (relating to exempt facility bond) 
is amended by striking ‘‘or’’ at the end of paragraph 
(14), by striking the period at the end of paragraph 
(15) and inserting ‘‘, and’’, and by inserting at the 
end the following new paragraph: 
‘‘(16) domestic use oil refinery facilities.’’. 
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(2) DOMESTIC
USE
OIL
REFINERY
FACILI-
TIES.—Section 142 of such Code is amended by 
adding at the end the following new subsection: 
‘‘(n) DOMESTIC USE OIL REFINERY FACILITIES.— 
‘‘(1) IN GENERAL.—For purposes of subsection 
(a)(16), the term ‘domestic use oil refinery facility’ 
means any facility in the United States— 
‘‘(A) which processes liquid fuel from 
crude oil, and 
‘‘(B) all of the output of which it is rea-
sonably certain ultimate consumption will occur 
in the United States. 
‘‘(2) ELECTION
TO
TERMINATE
TAX-EXEMPT 
BOND FINANCING BY CERTAIN REFINERIES.—In the 
case of a facility financed with bonds which would 
cease to be tax-exempt by reason of the failure to 
meet the domestic use requirement of this sub-
section, rules similar to the rules of subsection (f)(4) 
shall apply for purposes of this section.’’. 
(b) EFFECTIVE DATE.—The amendments made by 
this section shall apply to bonds issued after the date of 
the enactment of this Act. 
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SEC. 103. DESIGNATION AND AVAILABILITY OF FEDERAL 
LANDS FOR OIL AND NATURAL GAS REFIN-
ERIES. 
(a) DESIGNATION.—Within 18 months after the date 
of enactment of this Act, the President shall designate at 
least ten sites on Federal lands that are suitable for the 
siting of an oil refinery or natural gas refinery (or both). 
(b) AVAILABILITY OF LANDS.—Within 24 months 
after the date of enactment of this Act, the President shall 
make each site designated under subsection (a) available 
to the private sector for construction of an oil refinery or 
natural gas refinery (or both), as appropriate. 
Subtitle B—Availability of Federal 
Lands 
SEC. 111. DEFINITIONS. 
For purposes of this subtitle— 
(1) the term ‘‘base closure law’’ means the De-
fense Base Closure and Realignment Act of 1990 
(part A of title XXIX of Public Law 101–510; 10 
U.S.C. 2687 note) and title II of the Defense Au-
thorization Amendments and Base Closure and Re-
alignment Act (Public Law 100–526; 10 U.S.C. 
2687 note); 
(2) the term ‘‘closed military installation’’ 
means a military installation closed or approved for 
closure pursuant to a base closure law; 
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(3) the term ‘‘designated refinery’’ means a re-
finery designated under section 112(a); 
(4) the term ‘‘Federal refinery authorization’’— 
(A) means any authorization required 
under Federal law, whether administered by a 
Federal or State administrative agency or offi-
cial, with respect to siting, construction, expan-
sion, or operation of a refinery; and 
(B) includes any permits, special use au-
thorizations, certifications, opinions, or other 
approvals required under Federal law with re-
spect to siting, construction, expansion, or oper-
ation of a refinery; 
(5) the term ‘‘refinery’’ means— 
(A) a facility designed and operated to re-
ceive, load, unload, store, transport, process, 
and refine crude oil by any chemical or physical 
process, including distillation, fluid catalytic 
cracking, hydrocracking, coking, alkylation, 
etherification, polymerization, catalytic reform-
ing, isomerization, hydrotreating, blending, and 
any combination thereof, in order to produce 
gasoline or other fuel; or 
(B) a facility designed and operated to re-
ceive, load, unload, store, transport, process, 
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and refine coal by any chemical or physical 
process, including liquefaction, in order to 
produce gasoline, diesel, or other liquid fuel as 
its primary output; 
(6) the term ‘‘Secretary’’ means the Secretary 
of Energy; and 
(7) the term ‘‘State’’ means a State, the Dis-
trict of Columbia, the Commonwealth of Puerto 
Rico, and any other territory or possession of the 
United States. 
SEC. 112. STATE PARTICIPATION AND PRESIDENTIAL DES-
IGNATION. 
(a) DESIGNATION REQUIREMENT.—Not later than 
90 days after the date of enactment of this Act, the Presi-
dent shall designate no less than 3 closed military installa-
tions, or portions thereof, subject to subsection (c)(2), that 
are appropriate for the purposes of siting a refinery. 
(b) ANALYSIS OF REFINERY SITES.—In considering 
any site for possible designation under subsection (a), the 
President shall conduct an analysis of— 
(1) the availability of crude oil supplies to the 
site, including supplies from domestic production of 
shale oil and tar sands and other strategic uncon-
ventional fuels; 
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(2) the distribution of the Nation’s refined pe-
troleum product demand; 
(3) whether such site is in close proximity to 
substantial pipeline infrastructure, including both 
crude oil and refined petroleum product pipelines, 
and potential infrastructure feasibility; 
(4) the need to diversify the geographical loca-
tion of the domestic refining capacity; 
(5) the effect that increased refined petroleum 
products from a refinery on that site may have on 
the price and supply of gasoline to consumers; 
(6) the impact of locating a refinery on the site 
on the readiness and operations of the Armed 
Forces; and 
(7) such other factors as the President con-
siders appropriate. 
(c) SALE OR DISPOSAL.— 
(1) DESIGNATION.—Except as provided in 
paragraph (2), until the expiration of 2 years after 
the date of enactment of this Act, the Federal Gov-
ernment shall not sell or otherwise dispose of the 
military installations designated pursuant to sub-
section (a). 
(2) GOVERNOR’S OBJECTION.—No site may be 
used for a refinery under this subtitle if, not later 
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than 60 days after designation of the site under sub-
section (a), the Governor of the State in which the 
site is located transmits to the President an objec-
tion to the designation, unless, not later than 60 
days after the President receives such objection, the 
Congress has by law overridden the objection. 
(d) REDEVELOPMENT AUTHORITY.—With respect to 
a closed military installation, or portion thereof, des-
ignated by the President as a potentially suitable refinery 
site pursuant to subsection (a)— 
(1) the redevelopment authority for the installa-
tion, in preparing or revising the redevelopment plan 
for the installation, shall consider the feasibility and 
practicability of siting a refinery on the installation; 
and 
(2) the Secretary of Defense, in managing and 
disposing of real property at the installation pursu-
ant to the base closure law applicable to the installa-
tion, shall give substantial deference to the rec-
ommendations of the redevelopment authority, as 
contained in the redevelopment plan for the installa-
tion, regarding the siting of a refinery on the instal-
lation. 
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SEC. 113. PROCESS COORDINATION AND RULES OF PROCE-
DURE. 
(a) DESIGNATION AS LEAD AGENCY.— 
(1) IN GENERAL.—The Department of Energy 
shall act as the lead agency for the purposes of co-
ordinating all applicable Federal refinery authoriza-
tions and related environmental reviews with respect 
to a designated refinery. 
(2) OTHER
AGENCIES.—Each Federal and 
State agency or official required to provide a Fed-
eral refinery authorization shall cooperate with the 
Secretary and comply with the deadlines established 
by the Secretary. 
(b) SCHEDULE.— 
(1) SECRETARY’S AUTHORITY TO SET SCHED-
ULE.—The Secretary shall establish a schedule for 
all Federal refinery authorizations with respect to a 
designated refinery. In establishing the schedule, the 
Secretary shall— 
(A) ensure expeditious completion of all 
such proceedings; and 
(B) accommodate the applicable schedules 
established by Federal law for such proceedings. 
(2) FAILURE TO MEET SCHEDULE.—If a Fed-
eral or State administrative agency or official does 
not complete a proceeding for an approval that is re-
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quired for a Federal refinery authorization in ac-
cordance with the schedule established by the Sec-
retary under this subsection, the applicant may pur-
sue remedies under subsection (d). 
(c) CONSOLIDATED RECORD.—The Secretary shall, 
with the cooperation of Federal and State administrative 
agencies and officials, maintain a complete consolidated 
record of all decisions made or actions taken by the Sec-
retary or by a Federal administrative agency or officer (or 
State administrative agency or officer acting under dele-
gated Federal authority) with respect to any Federal re-
finery authorization. Such record shall be the record for 
judicial review under subsection (d) of decisions made or 
actions taken by Federal and State administrative agen-
cies and officials, except that, if the Court determines that 
the record does not contain sufficient information, the 
Court may remand the proceeding to the Secretary for fur-
ther development of the consolidated record. 
(d) JUDICIAL REVIEW.— 
(1) IN GENERAL.—The United States Court of 
Appeals for the District of Columbia shall have 
original and exclusive jurisdiction over any civil ac-
tion for the review of— 
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cial, the Court shall set a reasonable schedule and 
deadline for the agency or official to act on remand. 
(3) SECRETARY’S ACTION.—For any civil action 
brought under this subsection, the Secretary shall 
promptly file with the Court the consolidated record 
compiled by the Secretary pursuant to subsection 
(c). 
(4) EXPEDITED REVIEW.—The Court shall set 
any civil action brought under this subsection for ex-
pedited consideration. 
(5) ATTORNEY’S
FEES.—In any action chal-
lenging a Federal refinery authorization that has 
been granted, reasonable attorney’s fees and other 
expenses of litigation shall be awarded to the pre-
vailing party. This paragraph shall not apply to any 
action seeking remedies for denial of a Federal refin-
ery authorization or failure to act on an application 
for a Federal refinery authorization. 
SEC. 114. ALTERNATIVE USES OF LAND. 
Any land designated under section 112(a) that has 
not been used for an oil refinery within 10 years after 
such designation shall be made available for leasing for 
renewable energy development purposes, such as wind or 
solar energy installations or an ethanol refinery. 
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TITLE II—NUCLEAR ENERGY 
SEC. 201. WASTE CONFIDENCE. 
The Nuclear Regulatory Commission may not deny 
an application for a license, permit, or other authorization 
under the Atomic Energy Act of 1954 on the grounds that 
sufficient capacity does not exist, or will not become avail-
able on a timely basis, for disposal of spent nuclear fuel 
or high-level radioactive waste from the facility for which 
the license, permit, or other authorization is sought. 
SEC. 202. ASME NUCLEAR CERTIFICATION CREDIT. 
(a) IN GENERAL.—Subpart D of part IV of sub-
chapter A of chapter 1 of the Internal Revenue Code of 
1986 (relating to business related credits) is amended by 
adding at the end the following new section: 
‘‘SEC. 45Q. ASME NUCLEAR CERTIFICATION CREDIT. 
‘‘(a) IN GENERAL.—For purposes of section 38, the 
ASME Nuclear Certification credit determined under this 
section for any taxable year is an amount equal to 15 per-
cent of the qualified nuclear expenditures paid or incurred 
by the taxpayer. 
‘‘(b) QUALIFIED NUCLEAR EXPENDITURES.—For 
purposes of this section, the term ‘qualified nuclear ex-
penditures’ means any expenditure related to— 
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‘‘(1) obtaining a certification under the Amer-
ican Society of Mechanical Engineers Nuclear Com-
ponent Certification program, or 
‘‘(2) increasing the taxpayer’s capacity to con-
struct, fabricate, assemble, or install components— 
‘‘(A) for any facility which uses nuclear en-
ergy to produce electricity, and 
‘‘(B) with respect to the construction, fab-
rication, assembly, or installation of which the 
taxpayer is certified under such program. 
‘‘(c) TIMING OF CREDIT.—The credit allowed under 
subsection (a) for any expenditures shall be allowed— 
‘‘(1) in the case of a qualified nuclear expendi-
ture described in subsection (b)(1), for the taxable 
year of such certification, and 
‘‘(2) in the case of any other qualified nuclear 
expenditure, for the taxable year in which such ex-
penditure is paid or incurred. 
‘‘(d) SPECIAL RULES.— 
‘‘(1) BASIS
ADJUSTMENT.—For purposes of 
this subtitle, if a credit is allowed under this section 
for an expenditure, the increase in basis which would 
result (but for this subsection) for such expenditure 
shall be reduced by the amount of the credit allowed 
under this section. 
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‘‘(2) DENIAL OF DOUBLE BENEFIT.—No deduc-
tion shall be allowed under this chapter for any 
amount taken into account in determining the credit 
under this section. 
‘‘(e) TERMINATION.—This section shall not apply to 
any expenditures paid or incurred in taxable years begin-
ning after December 31, 2019.’’. 
(b) CONFORMING AMENDMENTS.—(1) Subsection (b) 
of section 38 is amended by striking ‘‘plus’’ at the end 
of paragraph (32), by striking the period at the end of 
paragraph (33) and inserting ‘‘, plus’’, and by adding at 
the end the following new paragraph: 
‘‘(34) the ASME Nuclear Certification credit 
determined under section 45Q(a).’’. 
(2) Subsection (a) of section 1016 (relating to adjust-
ments to basis) is amended by striking ‘‘and’’ at the end 
of paragraph (36), by striking the period at the end of 
paragraph (37) and inserting ‘‘, and’’, and by adding at 
the end the following new paragraph: 
‘‘(38) to the extent provided in section 
45Q(e)(1).’’. 
(c) CLERICAL AMENDMENT.—The table of sections 
for subpart B of part IV of subchapter A of chapter 1 
of such Code (relating to other credits) is amended by add-
ing at the end the following new section: 
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‘‘Sec. 45R. Credit for carbon dioxide captured from industrial sources and used 
as a tertiary injectant in enhanced oil and natural gas recov-
ery.’’. 
(d) EFFECTIVE DATE.—The amendments made by 
this section shall apply to expenditures paid or incurred 
in taxable years beginning after December 31, 2007. 
TITLE III—DRILLING 
Subtitle A—Tax Provisions 
SEC. 301. CREDIT FOR PRODUCING FUEL FROM NON-
CONVENTIONAL SOURCES TO APPLY TO GAS 
PRODUCED ONSHORE FROM FORMATIONS 
MORE THAN 15,000 FEET DEEP. 
(a) IN GENERAL.—Subparagraph (B) of section 
45K(c)(1) of the Internal Revenue Code of 1986 is amend-
ed by striking ‘‘or’’ at the end of clause (i), by striking 
‘‘and’’ at the end of clause (ii) and inserting ‘‘or’’, and 
by inserting after clause (ii) the following new clause: 
‘‘(iii) an onshore well from a forma-
tion more than 15,000 feet deep, and’’. 
(b) ELIGIBLE DEEP GAS WELLS.—Section 45K of 
such Code is amended by adding at the end the following 
new subsection: 
‘‘(h) ELIGIBLE DEEP GAS WELLS.—In the case of 
a well producing qualified fuel described in subsection 
(c)(1)(B)(iii)— 
‘‘(1) for purposes of subsection (e)(1)(A), such 
well shall be treated as drilled before January 1, 
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1993, if such well is drilled after the date of the en-
actment of this subsection, and 
‘‘(2) subsection (e)(2) shall not apply.’’. 
(c) EFFECTIVE DATE.—The amendments made by 
this section shall apply to taxable years ending after the 
date of the enactment of this Act. 
SEC. 302. TAX CREDIT FOR CARBON DIOXIDE CAPTURED 
FROM INDUSTRIAL SOURCES AND USED IN 
ENHANCED OIL AND NATURAL GAS RECOV-
ERY. 
(a) IN GENERAL.—Subpart D of part IV of sub-
chapter A of chapter 1 of the Internal Revenue Code of 
1986 (relating to business credits), as amended by this 
Act, is amended by adding at the end the following new 
section: 
‘‘SEC. 45R. CREDIT FOR CARBON DIOXIDE CAPTURED FROM 
INDUSTRIAL SOURCES AND USED AS A TER-
TIARY INJECTANT IN ENHANCED OIL AND 
NATURAL GAS RECOVERY. 
‘‘(a) GENERAL RULE.—For purposes of section 38, 
the captured carbon dioxide tertiary injectant credit for 
any taxable year is an amount equal to the product of— 
‘‘(1) the credit amount, and 
‘‘(2) the qualified carbon dioxide captured from 
industrial sources and used as a tertiary injectant in 
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qualified enhanced oil and natural gas recovery 
which is attributable to the taxpayer. 
‘‘(b) CREDIT AMOUNT.—For purposes of this sec-
tion— 
‘‘(1) IN GENERAL.—The credit amount is $0.75 
per 1,000 standard cubic feet. 
‘‘(2) INFLATION ADJUSTMENT.—In the case of 
any taxable year beginning in a calendar year after 
2007, there shall be substituted for the $0.75 
amount under paragraph (1) an amount equal to the 
product of— 
‘‘(A) $0.75, multiplied by 
‘‘(B) the inflation adjustment factor for 
such calendar year determined under section 
43(b)(3)(B) for such calendar year, determined 
by substituting ‘2006’ for ‘1990’. 
‘‘(c) QUALIFIED CARBON DIOXIDE.—For purposes of 
this section— 
‘‘(1) IN GENERAL.—The term ‘qualified carbon 
dioxide’ means carbon dioxide captured from an an-
thropogenic source that— 
‘‘(A) would otherwise be released into the 
atmosphere as industrial emission of green-
house gas, 
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‘‘(B) is measurable at the source of cap-
ture, 
‘‘(C) is compressed, treated, and trans-
ported via pipeline, 
‘‘(D) is sold as a tertiary injectant in 
qualified enhanced oil and natural gas recovery, 
and 
‘‘(E) is permanently sequestered in geologi-
cal formations as a result of the enhanced oil 
and natural gas recovery process. 
‘‘(2) ANTHROPOGENIC SOURCE.—An anthropo-
genic source of carbon dioxide is an industrial 
source, including any of the following types of 
plants, and facilities related to such plant— 
‘‘(A) a coal and natural gas fired electrical 
generating power station, 
‘‘(B) a natural gas processing and treating 
plant, 
‘‘(C) an ethanol plant, 
‘‘(D) a fertilizer plant, and 
‘‘(E) a chemical plant. 
‘‘(3) DEFINITIONS.— 
‘‘(A) QUALIFIED ENHANCED OIL AND NAT-
URAL GAS RECOVERY.—The term ‘qualified en-
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hanced oil and natural gas recovery’ has the 
meaning given such term by section 43(c)(2). 
‘‘(B) TERTIARY
INJECTANT.—The term 
‘tertiary injectant’ has the same meaning as 
when used within section 193(b)(1). 
‘‘(d) OTHER DEFINITIONS AND SPECIAL RULES.— 
For purposes of this section— 
‘‘(1) ONLY CARBON DIOXIDE CAPTURED WITH-
IN THE UNITED STATES TAKEN INTO ACCOUNT.— 
Sales shall be taken into account under this section 
only with respect to qualified carbon dioxide of 
which is within— 
‘‘(A) the United States (within the mean-
ing of section 638(1)), or 
‘‘(B) a possession of the United States 
(within the meaning of section 638(2)). 
‘‘(2) RECYCLED CARBON DIOXIDE.—The term 
‘qualified carbon dioxide’ includes the initial deposit 
of captured carbon dioxide used as a tertiary 
injectant. Such term does not include carbon dioxide 
that is re-captured, recycled, and re-injected as part 
of the enhanced oil and natural gas recovery process. 
‘‘(3) CREDIT ATTRIBUTABLE TO TAXPAYER.— 
Any credit under this section shall be attributable to 
the person that captures, treats, compresses, trans-
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ports and sells the carbon dioxide for use as a ter-
tiary injectant in enhanced oil and natural gas re-
covery, except to the extent provided in regulations 
prescribed by the Secretary.’’. 
(b) CONFORMING AMENDMENT.—Section 38(b) of 
such Code (relating to general business credit), as amend-
ed by this Act, is amended by striking ‘‘plus’’ at the end 
of paragraph (33), by striking the period at the end of 
paragraph (34) and inserting ‘‘, plus’’, and by adding at 
the end of following new paragraph: 
‘‘(35) the captured carbon dioxide tertiary 
injectant credit determined under section 45R(a).’’. 
(c) CLERICAL AMENDMENT.—The table of sections 
for subpart B of part IV of subchapter A of chapter 1 
of such Code (relating to other credits) is amended by add-
ing at the end the following new section: 
‘‘Sec. 45R. Credit for carbon dioxide captured from industrial sources and used 
as a tertiary injectant in enhanced oil and natural gas recov-
ery.’’. 
(d) EFFECTIVE DATE.—The amendments made by 
this section shall apply to taxable years beginning after 
the date of the enactment of this Act. 
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Subtitle B—Termination of Con-
gressional Moratoria on Oil and 
Gas Development on the Outer 
Continental Shelf 
SEC. 311. TERMINATION OF LAWS PROHIBITING EXPENDI-
TURES FOR OIL AND NATURAL GAS LEASING 
AND PRELEASING ACTIVITIES REGARDING 
AREAS OF THE OUTER CONTINENTAL SHELF. 
All provisions of existing Federal law prohibiting the 
spending of appropriated funds to conduct oil and natural 
gas leasing and preleasing activities for any area of the 
Outer Continental Shelf shall have no force or effect. 
Subtitle C—Oil and Gas Develop-
ment on the Coastal Plain of 
Alaska 
SEC. 321. SHORT TITLE. 
This subtitle may be cited as the ‘‘American-Made 
Energy and Good Jobs Act’’. 
SEC. 322. DEFINITIONS. 
In this subtitle: 
(1) COASTAL
PLAIN.—The term ‘‘Coastal 
Plain’’ means that area described in appendix I to 
part 37 of title 50, Code of Federal Regulations. 
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(2) SECRETARY.—The term ‘‘Secretary’’, except 
as otherwise provided, means the Secretary of the 
Interior or the Secretary’s designee. 
SEC. 323. LEASING PROGRAM FOR LANDS WITHIN THE 
COASTAL PLAIN. 
(a) IN GENERAL.—The Secretary shall take such ac-
tions as are necessary— 
(1) to establish and implement, in accordance 
with this subtitle and acting through the Director of 
the Bureau of Land Management in consultation 
with the Director of the United States Fish and 
Wildlife Service, a competitive oil and gas leasing 
program that will result in an environmentally sound 
program for the exploration, development, and pro-
duction of the oil and gas resources of the Coastal 
Plain; and 
(2) to administer the provisions of this subtitle 
through regulations, lease terms, conditions, restric-
tions, prohibitions, stipulations, and other provisions 
that ensure the oil and gas exploration, development, 
and production activities on the Coastal Plain will 
result in no significant adverse effect on fish and 
wildlife, their habitat, subsistence resources, and the 
environment, including, in furtherance of this goal, 
by requiring the application of the best commercially 
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available technology for oil and gas exploration, de-
velopment, and production to all exploration, devel-
opment, and production operations under this sub-
title in a manner that ensures the receipt of fair 
market value by the public for the mineral resources 
to be leased. 
(b) REPEAL.— 
(1) REPEAL.—Section 1003 of the Alaska Na-
tional Interest Lands Conservation Act of 1980 (16 
U.S.C. 3143) is repealed. 
(2) CONFORMING AMENDMENT.—The table of 
contents in section 1 of such Act is amended by 
striking the item relating to section 1003. 
(c) COMPLIANCE WITH REQUIREMENTS UNDER CER-
TAIN OTHER LAWS.— 
(1) COMPATIBILITY.—For purposes of the Na-
tional Wildlife Refuge System Administration Act of 
1966 (16 U.S.C. 668dd et seq.), the oil and gas 
leasing program and activities authorized by this 
section in the Coastal Plain are deemed to be com-
patible with the purposes for which the Arctic Na-
tional Wildlife Refuge was established, and no fur-
ther findings or decisions are required to implement 
this determination. 
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(2) ADEQUACY OF THE DEPARTMENT OF THE 
INTERIOR’S LEGISLATIVE ENVIRONMENTAL IMPACT 
STATEMENT.—The 
‘‘Final 
Legislative 
Environ-
mental Impact Statement’’ (April 1987) on the 
Coastal Plain prepared pursuant to section 1002 of 
the Alaska National Interest Lands Conservation 
Act of 1980 (16 U.S.C. 3142) and section 102(2)(C) 
of the National Environmental Policy Act of 1969 
(42 U.S.C. 4332(2)(C)) is deemed to satisfy the re-
quirements under the National Environmental Policy 
Act of 1969 that apply with respect to prelease ac-
tivities, including actions authorized to be taken by 
the Secretary to develop and promulgate the regula-
tions for the establishment of a leasing program au-
thorized by this subtitle before the conduct of the 
first lease sale. 
(3) COMPLIANCE WITH NEPA FOR OTHER AC-
TIONS.—Before conducting the first lease sale under 
this subtitle, the Secretary shall prepare an environ-
mental impact statement under the National Envi-
ronmental Policy Act of 1969 with respect to the ac-
tions authorized by this Act that are not referred to 
in paragraph (2). Notwithstanding any other law, 
the Secretary is not required to identify nonleasing 
alternative courses of action or to analyze the envi-
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ronmental effects of such courses of action. The Sec-
retary shall only identify a preferred action for such 
leasing and a single leasing alternative, and analyze 
the environmental effects and potential mitigation 
measures for those two alternatives. The identifica-
tion of the preferred action and related analysis for 
the first lease sale under this subtitle shall be com-
pleted within 18 months after the date of enactment 
of this Act. The Secretary shall only consider public 
comments that specifically address the Secretary’s 
preferred action and that are filed within 20 days 
after publication of an environmental analysis. Not-
withstanding any other law, compliance with this 
paragraph is deemed to satisfy all requirements for 
the analysis and consideration of the environmental 
effects of proposed leasing under this subtitle. 
(d) RELATIONSHIP TO STATE AND LOCAL AUTHOR-
ITY.—Nothing in this subtitle shall be considered to ex-
pand or limit State and local regulatory authority. 
(e) SPECIAL AREAS.— 
(1) IN
GENERAL.—The Secretary, after con-
sultation with the State of Alaska, the city of 
Kaktovik, and the North Slope Borough, may des-
ignate up to a total of 45,000 acres of the Coastal 
Plain as a Special Area if the Secretary determines 
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that the Special Area is of such unique character 
and interest so as to require special management 
and regulatory protection. The Secretary shall des-
ignate as such a Special Area the Sadlerochit Spring 
area, comprising approximately 4,000 acres. 
(2) MANAGEMENT.—Each such Special Area 
shall be managed so as to protect and preserve the 
area’s unique and diverse character including its 
fish, wildlife, and subsistence resource values. 
(3) EXCLUSION
FROM
LEASING
OR
SURFACE 
OCCUPANCY.—The Secretary may exclude any Spe-
cial Area from leasing. If the Secretary leases a Spe-
cial Area, or any part thereof, for purposes of oil 
and gas exploration, development, production, and 
related activities, there shall be no surface occu-
pancy of the lands comprising the Special Area. 
(4) DIRECTIONAL DRILLING.—Notwithstanding 
the other provisions of this subsection, the Secretary 
may lease all or a portion of a Special Area under 
terms that permit the use of horizontal drilling tech-
nology from sites on leases located outside the Spe-
cial Area. 
(f) LIMITATION
ON
CLOSED
AREAS.—The Sec-
retary’s sole authority to close lands within the Coastal 
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Plain to oil and gas leasing and to exploration, develop-
ment, and production is that set forth in this subtitle. 
(g) REGULATIONS.— 
(1) IN
GENERAL.—The Secretary shall pre-
scribe such regulations as may be necessary to carry 
out this subtitle, including rules and regulations re-
lating to protection of the fish and wildlife, their 
habitat, subsistence resources, and environment of 
the Coastal Plain, by no later than 15 months after 
the date of enactment of this Act. 
(2) REVISION
OF
REGULATIONS.—The Sec-
retary shall periodically review and, if appropriate, 
revise the rules and regulations issued under sub-
section (a) to reflect any significant biological, envi-
ronmental, or engineering data that come to the Sec-
retary’s attention. 
SEC. 324. LEASE SALES. 
(a) IN GENERAL.—Lands may be leased pursuant to 
this subtitle to any person qualified to obtain a lease for 
deposits of oil and gas under the Mineral Leasing Act (30 
U.S.C. 181 et seq.). 
(b) PROCEDURES.—The Secretary shall, by regula-
tion, establish procedures for— 
(1) receipt and consideration of sealed nomina-
tions for any area in the Coastal Plain for inclusion 
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in, or exclusion (as provided in subsection (c)) from, 
a lease sale; 
(2) the holding of lease sales after such nomina-
tion process; and 
(3) public notice of and comment on designa-
tion of areas to be included in, or excluded from, a 
lease sale. 
(c) LEASE SALE BIDS.—Bidding for leases under 
this subtitle shall be by sealed competitive cash bonus bids. 
(d) ACREAGE MINIMUM IN FIRST SALE.—In the first 
lease sale under this subtitle, the Secretary shall offer for 
lease those tracts the Secretary considers to have the 
greatest potential for the discovery of hydrocarbons, tak-
ing into consideration nominations received pursuant to 
subsection (b)(1), but in no case less than 200,000 acres. 
(e) TIMING
OF
LEASE
SALES.—The Secretary 
shall— 
(1) conduct the first lease sale under this sub-
title within 22 months after the date of the enact-
ment of this Act; and 
(2) conduct additional sales so long as sufficient 
interest in development exists to warrant, in the Sec-
retary’s judgment, the conduct of such sales. 
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SEC. 325. GRANT OF LEASES BY THE SECRETARY. 
(a) IN GENERAL.—The Secretary may grant to the 
highest responsible qualified bidder in a lease sale con-
ducted pursuant to section 424 any lands to be leased on 
the Coastal Plain upon payment by the lessee of such 
bonus as may be accepted by the Secretary. 
(b) SUBSEQUENT
TRANSFERS.—No lease issued 
under this subtitle may be sold, exchanged, assigned, sub-
let, or otherwise transferred except with the approval of 
the Secretary. Prior to any such approval the Secretary 
shall consult with, and give due consideration to the views 
of, the Attorney General. 
SEC. 326. LEASE TERMS AND CONDITIONS. 
An oil or gas lease issued pursuant to this subtitle 
shall— 
(1) provide for the payment of a royalty of not 
less than 121⁄2 percent in amount or value of the 
production removed or sold from the lease, as deter-
mined by the Secretary under the regulations appli-
cable to other Federal oil and gas leases; 
(2) require that the lessee of lands within the 
Coastal Plain shall be fully responsible and liable for 
the reclamation of lands within the Coastal Plain 
and any other Federal lands that are adversely af-
fected in connection with exploration, development, 
production, or transportation activities conducted 
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under the lease and within the Coastal Plain by the 
lessee or by any of the subcontractors or agents of 
the lessee; 
(3) provide that the lessee may not delegate or 
convey, by contract or otherwise, the reclamation re-
sponsibility and liability to another person without 
the express written approval of the Secretary; 
(4) provide that the standard of reclamation for 
lands required to be reclaimed under this subtitle 
shall be, as nearly as practicable, a condition capable 
of supporting the uses which the lands were capable 
of supporting prior to any exploration, development, 
or production activities, or upon application by the 
lessee, to a higher or better use as approved by the 
Secretary; 
(5) include requirements and restrictions to 
provide for reasonable protection of fish and wildlife, 
their habitat, subsistence resources, and the environ-
ment as determined by the Secretary; 
(6) prohibit the export of oil produced under 
the lease; and 
(7) contain such other provisions as the Sec-
retary determines necessary to ensure compliance 
with the provisions of this subtitle and the regula-
tions issued under this subtitle. 
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SEC. 327. COASTAL PLAIN ENVIRONMENTAL PROTECTION. 
(a) NO SIGNIFICANT ADVERSE EFFECT STANDARD 
TO GOVERN AUTHORIZED COASTAL PLAIN ACTIVITIES.— 
The Secretary shall, consistent with the requirements of 
section 423, administer the provisions of this subtitle 
through regulations, lease terms, conditions, restrictions, 
prohibitions, stipulations, and other provisions that— 
(1) ensure the oil and gas exploration, develop-
ment, and production activities on the Coastal Plain 
will result in no significant adverse effect on fish 
and wildlife, their habitat, and the environment; 
(2) require the application of the best commer-
cially available technology for oil and gas explo-
ration, development, and production on all new ex-
ploration, development, and production operations; 
and 
(3) ensure that the maximum amount of sur-
face acreage covered by production and support fa-
cilities, including airstrips and any areas covered by 
gravel berms or piers for support of pipelines, does 
not exceed 2,000 acres on the Coastal Plain. 
(b) SITE-SPECIFIC ASSESSMENT AND MITIGATION.— 
The Secretary shall also require, with respect to any pro-
posed drilling and related activities, that— 
(1) a site-specific analysis be made of the prob-
able effects, if any, that the drilling or related activi-
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(2) OBJECTIVES.—The plan shall have the fol-
lowing objectives: 
(A) Avoiding unnecessary duplication of fa-
cilities and activities. 
(B) Encouraging consolidation of common 
facilities and activities. 
(C) Locating or confining facilities and ac-
tivities to areas that will minimize impact on 
fish and wildlife, their habitat, and the environ-
ment. 
(D) Utilizing existing facilities wherever 
practicable. 
(E) Enhancing compatibility between wild-
life values and development activities. 
(g) ACCESS
TO PUBLIC LANDS.—The Secretary 
shall— 
(1) manage public lands in the Coastal Plain 
subject to subsections (a) and (b) of section 811 of 
the Alaska National Interest Lands Conservation 
Act (16 U.S.C. 3121); and 
(2) ensure that local residents shall have rea-
sonable access to public lands in the Coastal Plain 
for traditional uses. 
SEC. 328. EXPEDITED JUDICIAL REVIEW. 
(a) FILING OF COMPLAINT.— 
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