the strategy, organization, and resources necessary 
to avoid harm to the environment from hydro-
carbons; 
‘‘(8) an analysis of the potential impacts of the 
worst-case-scenario discharge on the marine and 
coastal environments for activities conducted pursu-
ant to the proposed development and production 
plan; 
‘‘(9) a comprehensive survey and characteriza-
tion of the coastal or marine environment within the 
area of operation, including bathymetry, currents 
and circulation patterns within the water column, 
and descriptions of benthic and pelagic environ-
ments; 
‘‘(10) a description of the technologies to be de-
ployed on the facilities to routinely observe and mon-
itor in real time the marine environment throughout 
the duration of operations, and a description of the 
process by which such observation data and informa-
tion will be made available to Federal regulators and 
to the System established under section 12304 of 
Public Law 111–11 (33 U.S.C. 3603); and’’; 
(3) in subsection (e), by striking so much as 
precedes paragraph (2) and inserting the following: 
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‘‘(e)(1) The Secretary shall treat the approval of a 
development and production plan, or a significant revision 
of a development and production plan, as an agency action 
requiring preparation of an environmental assessment or 
environmental impact statement, in accordance with the 
National Environmental Policy Act of 1969 (42 U.S.C. 
4321 et seq.).’’; 
(4) by striking subsections (g) and (l), and re-
designating subsections (h) through (k) as sub-
sections (g) through and (j); and 
(5) in subsection (g), as so redesignated, by re-
designating paragraphs (2) and (3) as paragraphs 
(3) and (4), respectively, and inserting after para-
graph (1) the following: 
‘‘(2) The Secretary shall not approve a develop-
ment and production plan, or a significant revision 
to such a plan, unless— 
‘‘(A) the plan is in compliance with all 
other applicable environmental and natural re-
source conservation laws; and 
‘‘(B) the applicant has available oil spill re-
sponse and clean-up equipment and technology 
that has been demonstrated to be capable of ef-
fectively remediating the projected worst-case 
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release of oil from activities conducted pursuant 
to the development and production plan.’’. 
SEC. 216. OIL AND GAS INFORMATION PROGRAM. 
Section 26(a)(1) of the Outer Continental Shelf 
Lands Act (43 U.S.C. 1352(a)(1)) is amended by— 
(1) striking the period at the end of subpara-
graph (A) and inserting ‘‘, provided that such data 
shall be transmitted in electronic format either in 
real-time or as quickly as practicable following the 
generation of such data.’’; and 
(2) striking subparagraph (C) and inserting the 
following: 
‘‘(C) Lessees engaged in drilling operations 
shall provide to the Secretary— 
‘‘(i) all daily reports generated by the 
lessee, or any daily reports generated by 
contractors or subcontractors engaged in 
or supporting drilling operations on the 
lessee’s lease, no more than 24 hours after 
the end of the day for which they should 
have been generated; 
‘‘(ii) documentation of blowout pre-
venter maintenance and repair, and any 
changes to design specifications of the 
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blowout preventer, within 24 hours after 
such activity; and 
‘‘(iii) prompt or real-time trans-
mission of the electronic log from a blow-
out preventer control system.’’. 
SEC. 217. LIMITATION ON ROYALTY-IN-KIND PROGRAM. 
Section 27(a) of the Outer Continental Shelf Lands 
Act (43 U.S.C. 1353(a)) is amended by striking the period 
at the end of paragraph (1) and inserting ‘‘, except that 
the Secretary shall not conduct a regular program to take 
oil and gas lease royalties in oil or gas.’’. 
SEC. 218. RESTRICTIONS ON EMPLOYMENT. 
Section 29 of the Outer Continental Shelf Lands Act 
(43 U.S.C. 1355) is amended— 
(1) in the matter preceding paragraph (1)— 
(A) by striking ‘‘SEC. 29’’ and all that fol-
lows through ‘‘No full-time’’ and inserting the 
following: 
‘‘SEC. 29. RESTRICTIONS ON EMPLOYMENT. 
‘‘(a) IN GENERAL.—No full-time’’; and 
(B) by striking ‘‘, and who was at any 
time during the twelve months preceding the 
termination of his employment with the Depart-
ment compensated under the Executive Sched-
ule or compensated at or above the annual rate 
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of basic pay for grade GS–16 of the General 
Schedule’’; 
(2) in paragraph (1)— 
(A) in subparagraph (A), by inserting ‘‘or 
advise’’ after ‘‘represent’’; 
(B) in subparagraph (B), by striking ‘‘with 
the intent to influence, make’’ and inserting 
‘‘act with the intent to influence, directly or in-
directly, or make’’; and 
(C) in the matter following subparagraph 
(C)— 
(i) by inserting ‘‘inspection or enforce-
ment action,’’ before ‘‘or other particular 
matter’’; and 
(ii) by striking ‘‘or’’ at the end; 
(3) in paragraph (2)— 
(A) in subparagraph (A), by inserting ‘‘or 
advise’’ after ‘‘represent’’; 
(B) in subparagraph (B), by striking ‘‘with 
the intent to influence, make’’ and inserting 
‘‘act with the intent to influence, directly or in-
directly, or make’’; and 
(C) by striking the period at the end and 
inserting ‘‘; or’’; and 
(4) by adding at the end the following: 
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‘‘(3) during the 2-year period beginning on the 
date on which the employment of the officer or em-
ployee ceased at the Department, accept employment 
or compensation from any party that has a direct 
and substantial interest— 
‘‘(A) that was pending under the official 
responsibility of the officer or employee as an 
officer at any point during the 2-year period 
preceding the date of termination of the respon-
sibility; or 
‘‘(B) in which the officer or employee par-
ticipated personally and substantially as an offi-
cer or employee of the Department. 
‘‘(b) PRIOR DEALINGS.—No full-time officer or em-
ployee of the Department of the Interior who directly or 
indirectly discharged duties or responsibilities under this 
Act shall participate personally and substantially as a 
Federal officer or employee, through decision, approval, 
disapproval, recommendation, the rendering of advice, in-
vestigation, or otherwise, in a proceeding, application, re-
quest for a ruling or other determination, contract, claim, 
controversy, charge, accusation, inspection, enforcement 
action, or other particular matter in which, to the knowl-
edge of the officer or employee— 
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‘‘(1) the officer or employee or the spouse, 
minor child, or general partner of the officer or em-
ployee has a financial interest; 
‘‘(2) any organization in which the officer or 
employee is serving as an officer, director, trustee, 
general partner, or employee has a financial interest; 
‘‘(3) any person or organization with whom the 
officer or employee is negotiating or has any ar-
rangement concerning prospective employment has a 
financial interest; or 
‘‘(4) any person or organization in which the of-
ficer or employee has, within the preceding 1-year 
period, served as an officer, director, trustee, general 
partner, agent, attorney, consultant, contractor, or 
employee. 
‘‘(c) GIFTS FROM OUTSIDE SOURCES.—No full-time 
officer or employee of the Department of the Interior who 
directly or indirectly discharges duties or responsibilities 
under this Act shall, directly or indirectly, solicit or accept 
any gift in violation of subpart B of part 2635 of title 
5, Code of Federal Regulations (or successor regulations). 
‘‘(d) PENALTY.—Any person that violates subsection 
(a) or (b) shall be punished in accordance with section 
216 of title 18, United States Code.’’. 
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SEC. 219. REPEAL OF ROYALTY RELIEF PROVISIONS. 
(a) REPEAL OF PROVISIONS OF ENERGY POLICY ACT 
OF 2005.—The following provisions of the Energy Policy 
Act of 2005 (Public Law 109–58) are repealed: 
(1) Section 344 (42 U.S.C. 15904; relating to 
incentives for natural gas production from deep wells 
in shallow waters of the Gulf of Mexico). 
(2) Section 345 (42 U.S.C. 15905; relating to 
royalty relief for deep water production in the Gulf 
of Mexico). 
(b) REPEAL OF PROVISIONS RELATING TO PLAN-
NING AREAS OFFSHORE ALASKA.—Section 8(a)(3)(B) of 
the Outer Continental Shelf Lands Act (43 U.S.C. 
1337(a)(3)(B)) is amended by striking ‘‘and in the Plan-
ning Areas offshore Alaska’’. 
SEC. 220. MANNING AND BUY- AND BUILD-AMERICAN RE-
QUIREMENTS. 
Section 30 of the Outer Continental Shelf Lands Act 
(43 U.S.C. 1356) is amended— 
(1) in subsection (a), by striking ‘‘shall issue 
regulations which’’ and inserting ‘‘shall issue regula-
tions that shall be supplemental to and complemen-
tary with and under no circumstances a substitution 
for the provisions of the Constitution and laws of the 
United States extended to the subsoil and seabed of 
the outer Continental Shelf pursuant to section 
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4(a)(1) of this Act, except insofar as such laws 
would otherwise apply to individuals who have ex-
traordinary ability in the sciences, arts, education, 
or business, which has been demonstrated by sus-
tained national or international acclaim, and that’’; 
and 
(2) by adding at the end the following: 
‘‘(d) BUY AND BUILD AMERICAN.—It is the intention 
of the Congress that this Act, among other things, result 
in a healthy and growing American industrial, manufac-
turing, transportation, and service sector employing the 
vast talents of America’s workforce to assist in the devel-
opment of energy from the outer Continental Shelf. More-
over, the Congress intends to monitor the deployment of 
personnel and material on the outer Continental Shelf to 
encourage the development of American technology and 
manufacturing to enable United States workers to benefit 
from this Act by good jobs and careers, as well as the 
establishment of important industrial facilities to support 
expanded access to American resources.’’. 
SEC. 221. COORDINATION AND CONSULTATION WITH AF-
FECTED STATE AND LOCAL GOVERNMENTS. 
Section 19 of the Outer Continental Shelf Lands Act 
(43 U.S.C. 1345) is amended— 
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(1) by inserting ‘‘exploration plan or’’ before 
‘‘development and production plan’’ in each place it 
appears; and 
(2) by amending subsection (c) to read as fol-
lows: 
‘‘(c) ACCEPTANCE OR REJECTION OF RECOMMENDA-
TIONS.—The Secretary may accept recommendations of 
the Governor and may accept recommendations of the ex-
ecutive of any affected local government if the Secretary 
determines, after having provided the opportunity for con-
sultation, that they provide for a reasonable balance be-
tween the national interest and the well-being of the citi-
zens of the affected State. For purposes of this subsection, 
a determination of the national interest shall be based on 
the desirability of obtaining oil and gas supplies in a bal-
anced manner and on protecting coastal and marine eco-
systems and the economies dependent on those eco-
systems. The Secretary shall provide an explanation to the 
Governor, in writing, of the reasons for his determination 
to accept or reject such Governor’s recommendations, or 
to implement any alternative identified in consultation 
with the Governor.’’. 
SEC. 222. IMPLEMENTATION. 
(a) NEW LEASES.—The provisions of this title and 
title VII shall apply to any lease that is issued under the 
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Outer Continental Shelf Lands Act (43 U.S.C. 1331 et 
seq.) after the effective date of this Act. 
(b) EXISTING LEASES.—For all leases that were 
issued under the Outer Continental Shelf Lands Act (43 
U.S.C. 1331 et seq.) that are in effect on the effective 
date of this Act, the Secretary shall take action, consistent 
with the terms of those leases, to apply the requirements 
of this title and title VII to those leases. Such action may 
include, but is not limited to, promulgating regulations, 
renegotiating such existing leases, conditioning future 
leases on bringing such existing leases into full or partial 
compliance with this title and title VII, or taking any other 
actions authorized by law. 
SEC. 223. REPORT ON ENVIRONMENTAL BASELINE STUD-
IES. 
The Secretary of the Interior shall report to Congress 
within 6 months after the date of enactment of this Act 
on the costs of baseline environmental studies to gather, 
analyze, and characterize resource data necessary to im-
plement the Outer Continental Shelf Lands Act (43 
U.S.C. 1331 et seq.). The Secretary shall include in the 
report proposals of fees or other ways to recoup such costs 
from persons engaging or seeking to engage in activities 
on the Outer Continental Shelf to which that Act applies. 
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100 
SEC. 224. CUMULATIVE IMPACTS ON MARINE MAMMAL SPE-
CIES AND STOCKS AND SUBSISTENCE USE. 
Section 20 of the Outer Continental Shelf Lands Act 
(43 U.S.C. 1346) is further amended by adding at the 
end the following: 
‘‘(h) CUMULATIVE IMPACTS ON MARINE MAMMAL 
SPECIES AND STOCKS AND SUBSISTENCE USE.—In deter-
mining, pursuant to subparagraphs (A)(i) and (D)(i) of 
section 101(a)(5) of the Marine Mammal Protection Act 
of 1972 (16 U.S.C. 1371(a)(5)), whether takings from 
specified activities administered under this title will have 
a negligible impact on a marine mammal species or stock, 
and not have an unmitigable adverse impact on the avail-
ability of such species or stock for taking for subsistence 
uses, the Secretary of Commerce or Interior shall incor-
porate any takings of such species or stock from any other 
reasonably foreseeable activities administered under this 
Act.’’. 
SEC. 225. SAVINGS CLAUSE. 
Nothing in this Act shall be construed to preempt 
regulation by any State or local government of oil and gas 
exploration and production wells drilled in State waters, 
on State lands, or on private lands within that State pur-
suant to the laws of that State or local government. 
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101 
Subtitle B—Royalty Relief for 
American Consumers 
SEC. 231. SHORT TITLE. 
This subtitle may be cited as the ‘‘Royalty Relief for 
American Consumers Act of 2011’’. 
SEC. 232. ELIGIBILITY FOR NEW LEASES AND THE TRANS-
FER OF LEASES. 
(a) ISSUANCE OF NEW LEASES.— 
(1) IN
GENERAL.—The Secretary shall not 
issue any new lease that authorizes the production 
of oil or natural gas under the Outer Continental 
Shelf Lands Act (43 U.S.C. 1331 et seq.) to a per-
son described in paragraph (2) unless the person has 
renegotiated each covered lease with respect to which 
the person is a lessee, to modify the payment re-
sponsibilities of the person to require the payment of 
royalties if the price of oil and natural gas is greater 
than or equal to the price thresholds described in 
clauses (v) through (vii) of section 8(a)(3)(C) of the 
Outer Continental Shelf Lands Act (43 U.S.C. 
1337(a)(3)(C)). 
(2) PERSONS DESCRIBED.—A person referred 
to in paragraph (1) is a person that— 
(A) is a lessee that— 
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102 
(i) holds a covered lease on the date 
on which the Secretary considers the 
issuance of the new lease; or 
(ii) was issued a covered lease before 
the date of enactment of this Act, but 
transferred the covered lease to another 
person or entity (including a subsidiary or 
affiliate of the lessee) after the date of en-
actment of this Act; or 
(B) any other person that has any direct 
or indirect interest in, or that derives any ben-
efit from, a covered lease. 
(3) MULTIPLE LESSEES.— 
(A) IN GENERAL.—For purposes of para-
graph (1), if there are multiple lessees that own 
a share of a covered lease, the Secretary may 
implement separate agreements with any lessee 
with a share of the covered lease that modifies 
the payment responsibilities with respect to the 
share of the lessee to include price thresholds 
that are equal to or less than the price thresh-
olds described in clauses (v) through (vii) of 
section 8(a)(3)(C) of the Outer Continental 
Shelf Lands Act (43 U.S.C. 1337(a)(3)(C)). 
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103 
(B) TREATMENT OF SHARE AS COVERED 
LEASE.—Beginning on the effective date of an 
agreement under subparagraph (A), any share 
subject to the agreement shall not constitute a 
covered lease with respect to any lessees that 
entered into the agreement. 
(b) TRANSFERS.—A lessee or any other person who 
has any direct or indirect interest in, or who derives a 
benefit from, a lease shall not be eligible to obtain by sale 
or other transfer (including through a swap, spinoff, serv-
icing, or other agreement) any covered lease, the economic 
benefit of any covered lease, or any other lease for the 
production of oil or natural gas in the Gulf of Mexico 
under the Outer Continental Shelf Lands Act (43 U.S.C. 
1331 et seq.), unless the lessee or other person has— 
(1) renegotiated each covered lease with respect 
to which the lessee or person is a lessee, to modify 
the payment responsibilities of the lessee or person 
to include price thresholds that are equal to or less 
than the price thresholds described in clauses (v) 
through (vii) of section 8(a)(3)(C) of the Outer Con-
tinental Shelf Lands Act (43 U.S.C. 1337(a)(3)(C)); 
or 
(2) entered into an agreement with the Sec-
retary to modify the terms of all covered leases of 
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104 
the lessee or other person to include limitations on 
royalty relief based on market prices that are equal 
to or less than the price thresholds described in 
clauses (v) through (vii) of section 8(a)(3)(C) of the 
Outer Continental Shelf Lands Act (43 U.S.C. 
1337(a)(3)(C)). 
(c) USE OF AMOUNTS FOR DEFICIT REDUCTION.— 
Notwithstanding any other provision of law, any amounts 
received by the United States as rentals or royalties under 
covered leases and not used pursuant to section 321 shall 
be deposited in the Treasury and used for Federal budget 
deficit reduction or, if there is no Federal budget deficit, 
for reducing the Federal debt in such manner as the Sec-
retary of the Treasury considers appropriate. 
(d) DEFINITIONS.—In this section— 
(1) COVERED
LEASE.—The term ‘‘covered 
lease’’ means a lease for oil or gas production in the 
Gulf of Mexico that is— 
(A) in existence on the date of enactment 
of this Act; 
(B) issued by the Department of the Inte-
rior under section 304 of the Outer Continental 
Shelf Deep Water Royalty Relief Act (43 
U.S.C. 1337 note; Public Law 104–58); and 
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