I
103D CONGRESS
2D SESSION
H. R. 4750
To amend the Energy Policy and Conservation Act to manage the Strategic
Petroleum Reserve more effectively, and for other purposes.
IN THE HOUSE OF REPRESENTATIVES
JULY 13, 1994
Mr. SHARP introduced the following bill; which was referred to the Committee
on Energy and Commerce
A BILL
To amend the Energy Policy and Conservation Act to man-
age the Strategic Petroleum Reserve more effectively,
and for other purposes.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ‘‘Energy Policy and
Conservation Act Amendments of 1994’’.
SEC. 2. TABLE OF CONTENTS AND STATEMENT OF PUR-
POSES.
(a) The item in the table of contents of the Energy
Policy and Conservation Act relating to section 159 is
amended to read as follows:
‘‘Sec. 159. Development, operations, and maintenance of the Reserve.’’.
(b) Section 2 of the Energy Policy and Conservation
Act (42 U.S.C. 6201) is amended—
(1) in paragraph (1) by striking ‘‘standby au-
thority to the President, subject to congressional re-
view, to impose rationing, to reduce demand for en-
ergy through the implementation of energy conserva-
tion plans, and’’ and inserting in lieu thereof ‘‘au-
thority to the President’’; and
(2) by striking paragraphs (3) and (6) and re-
designating paragraphs (4), (5), (7), and (8) as
paragraphs (3), (4), (5), and (6), respectively.
SEC. 3. TITLE I AMENDMENTS.
Title I of the Energy Policy and Conservation Act
is amended—
(1) by striking section 102 (42 U.S.C. 6211);
(2) in section 151 (42 U.S.C. 6231)—
(A) in subsection (a) by striking ‘‘limited’’
and by striking ‘‘short-term’’; and
(B) by amending subsection (b) to read as
follows:
‘‘(b) It is the policy of the United States to provide
for the creation of a Strategic Petroleum Reserve for the
storage of up to 1,000,000,000 barrels of petroleum prod-
ucts to reduce the impact of disruptions in supplies of pe-
troleum products or to carry out obligations of the United
States under the international energy program.’’;
(3) in section 152 (42 U.S.C. 6232)—
(A) by striking paragraph (1) and redesig-
nating paragraphs (2) through (11) as para-
graphs (1) through (10), respectively; and
(B) in paragraph (10) (as so redesignated
by subparagraph (A) of this paragraph) by
striking ‘‘, the Early Storage Reserve’’;
(4) by striking section 153 (42 U.S.C 6233);
(5) in section 154 (42 U.S.C. 6234)—
(A) by amending subsection (a)(1) to read
as follows:
‘‘(a)(1) A Strategic Petroleum Reserve for the stor-
age of up to 1,000,000,000 barrels of petroleum products
shall be created pursuant to this part.’’;
(B) in subsection (a)(2)(D), by striking
‘‘160(h)’’ 
and 
inserting 
in 
lieu 
thereof
‘‘160(e)’’;
(C) by amending subsection (b) to read as
follows:
‘‘(b) The Secretary, acting through the Strategic Pe-
troleum Reserve Office and in accordance with this part,
shall exercise authority over the development, operation,
and maintenance of the Reserve.’’; and
(D) by striking subsections (c), (d), and
(e);
(6) by striking section 155 (42 U.S.C. 6235);
(7) in section 156(b) (42 U.S.C. 6236(b)) by
striking ‘‘To implement the Early Storage Reserve
Plan or the Strategic Petroleum Reserve Plan which
has taken effect pursuant to section 159(a), the’’
and inserting in lieu thereof ‘‘The’’;
(8) by amending section 157 (42 U.S.C
6237)—
(A) in subsection (a), by striking ‘‘The
Strategic Petroleum Reserve Plan shall provide
for the establishment and maintenance of’’ and
inserting in lieu thereof ‘‘The Secretary shall
establish and maintain as part of the Strategic
Petroleum Reserve’’; and
(B) in subsection (b), by striking ‘‘To im-
plement the Strategic Petroleum Reserve Plan,
the Secretary shall accumulate and maintain’’
and inserting in lieu thereof ‘‘The Secretary
shall establish and maintain as part of the
Strategic Petroleum Reserve’’;
(9) by striking section 158 (42 U.S.C 6238);
(10) in section 159 (42 U.S.C. 6239)—
(A) by amending the section head to read
as follows:
‘‘DEVELOPMENT, OPERATIONS, AND MAINTENANCE OF
THE RESERVE’’;
(B) by striking subsections (a), (b), (c),
(d), (e), (h), and (i), and redesignating sub-
sections (f), (g), (j), (k), and (l) as subsections
(a), (b), (c), (d), and (e), respectively;
(C) by amending subsection (a) (as so re-
designated by subparagraph (B) of this para-
graph) to read as follows:
‘‘(a) In order to develop, operate, or maintain the
Strategic Petroleum Reserve, the Secretary may—
‘‘(1) issue rules, regulations, or orders;
‘‘(2) acquire by purchase, condemnation, or oth-
erwise, land or interests in land for the location of
storage and related facilities;
‘‘(3) construct, purchase, lease, or otherwise ac-
quire storage and related facilities;
‘‘(4) use, lease, maintain, sell, or otherwise dis-
pose of storage and related facilities acquired under
this part, under such terms and conditions as the
Secretary considers necessary and appropriate;
‘‘(5) acquire, subject to the provisions of section
160, by purchase, exchange, or otherwise, petroleum
products for storage in the Strategic Petroleum Re-
serve, including the Regional Petroleum Reserve;
‘‘(6) store petroleum products in storage facili-
ties owned and controlled by the United States or in
storage facilities owned by others if those facilities
are subject to audit by the United States;
‘‘(7) execute any contracts necessary to develop,
operate, or maintain the Strategic Petroleum
Reserve;
‘‘(8) require an importer of petroleum products
or refiner to acquire and to store and maintain, in
readily available inventories, petroleum products in
the Industrial Petroleum Reserve, under section 156;
‘‘(9) require the storage of petroleum products
in the Industrial Petroleum Reserve, under section
156, on such reasonable terms as the Secretary may
specify, in storage facilities owned and controlled by
the United States or in storage facilities other than
those owned by the United States if those facilities
are subject to audit by the United States;
‘‘(10) require the maintenance of the Industrial
Petroleum Reserve; and
‘‘(11) bring an action, when the Secretary con-
siders it necessary, in any court having jurisdiction
over the proceedings, to acquire by condemnation
any real or personal property, including facilities,
temporary use of facilities, or other interests in land,
together with any personal property located on or
used with the land.’’;
(D) in subsection (g)—
(i) by striking ‘‘implementation’’ and
inserting in lieu thereof ‘‘development’’;
and
(ii) by striking ‘‘Plan’’;
(E) by amending subsection (c) (as so re-
designated by subparagraph (B) of this para-
graph) to read as follows:
‘‘(c) When the Secretary determines that a
750,000,000 barrel inventory can reasonably be expected
to be reached in the Reserve within 5 years, the Secretary
shall submit to the Congress a plan for expansion of the
Strategic 
Petroleum 
Reserve 
to 
a 
capacity 
of
1,000,000,000 barrels.’’; and
(F) by amending subsection (e) (as so re-
designated by subparagraph (B) of this para-
graph) to read as follows:
‘‘(e) During any period in which drawdown and dis-
tribution are being implemented, the Secretary may issue
rules, regulations, or orders to implement the drawdown
and distribution of the Strategic Petroleum Reserve, with-
out regard to the requirements of section 553 of title 5,
United States Code, and section 501 of the Department
of Energy Organization Act (42 U.S.C. 7191).’’;
(11) in section 160 (42 U.S.C. 6240)—
(A) in subsection (a), by striking ‘‘The
Secretary’’ and all that follows through ‘‘trans-
port, or exchange’’ and inserting in lieu thereof
‘‘For the purpose of implementing the Strategic
Petroleum Reserve, the Secretary may acquire,
place in storage, transport, or exchange’’;
(B) in subsection (b)—
(i) by striking ‘‘, including the Early
Storage Reserve’’; and
(ii) by striking paragraph (2) and re-
designating paragraphs (3) through (5) as
paragraphs (2) through (4), respectively;
and
(C) by striking subsections (c), (d), and (e)
and redesignating subsections (f), (g), and (h)
as subsections (c), (d), and (e), respectively;
(12) in section 161 (42 U.S.C. 6241)—
(A) by striking subsections (b) and (c) and
redesignating subsections (d) through (i) as
subsections (b) through (g), respectively;
(B) by amending subsection (b)(1) (as so
redesignated by subparagraph (A) of this para-
graph) to read as follows:
‘‘(b)(1) No drawdown and distribution of the Strate-
gic Petroleum Reserve may be made unless the President
has found drawdown and distribution is required by a se-
vere energy supply interruption or by obligations of the
United States under the international energy program.’’;
(C) by amending subsection (c) (as so re-
designated by subparagraph (A) of this para-
graph) to read as follows:
‘‘(c)(1) The Secretary shall sell any petroleum prod-
uct withdrawn from the Strategic Petroleum Reserve at
public sale to the highest qualified bidder in the amounts
and for the period the Secretary considers appropriate,
and after a notice of sale the Secretary considers appro-
priate.
‘‘(2) The Secretary may cancel in whole or in part
any offer to sell petroleum products as part of any
drawdown and distribution under this section.’’; and
(D) in subsection (e) (as so redesignated
by subparagraph (A) of this paragraph)—
(i) in paragraph (1), by striking ‘‘Dis-
tribution Plan’’ and inserting in lieu there-
of ‘‘distribution procedures’’;
(ii) by striking paragraphs (2) and (6)
and redesignating paragraphs (3), (4), (5),
(7), and (8) as paragraphs (2), (3), (4),
(5), and (6), respectively; and
(iii) in subsection (f)(1)(A) (as so re-
designated by subparagraph (A) of this
paragraph) by striking ‘‘subsection (d)’’
and inserting in lieu thereof ‘‘subsection
(b)’’;
(13) by striking section 164 (42 U.S.C. 6244);
(14) by amending section 165 (42 U.S.C. 6245)
to read as follows:
‘‘ANNUAL REPORTS
‘‘SEC. 165. (a) The Secretary shall report annually
to the President and the Congress on actions taken to im-
plement this part. Each such report shall include—
‘‘(1) a detailed statement of the status of the
Strategic Petroleum Reserve, including—
‘‘(A) the capacity of the Reserve and the
scheduled annual fill rate for achieving this ca-
pacity;
‘‘(B) the type and quality of crude oil to
be acquired for the Reserve under the schedule
described in subparagraph (A);
‘‘(C) the schedule of construction of any
facilities, including a description of the type and
location of the facilities, and of enhancements
and improvements to existing facilities;
‘‘(D) a description of the method of
drawdown and distribution to be utilized; and
‘‘(E) an explanation of any changes made
in the matters described in subparagraphs (A)
through (D) since the transmittal of the pre-
vious report under this subsection;
‘‘(2) a summary of actions taken to develop, op-
erate, or maintain the Strategic Petroleum Reserve;
‘‘(3) a summary of the financial transactions in
the Strategic Petroleum Reserve and SPR Petro-
leum Account;
‘‘(4) a summary of existing problems with re-
spect to operation or maintenance of the Strategic
Petroleum Reserve; and
‘‘(5) any recommendations for supplemental
legislation the Secretary considers necessary or ap-
propriate to implement this part.
‘‘(b) Once every calendar quarter, the Secretary shall
report to the Congress on activities undertaken with re-
spect to the Strategic Petroleum Reserve under the
amendments made by the Strategic Petroleum Reserve
Amendments Act of 1981, including—
(16) in section 167 (42 U.S.C. 6247)—
(A) in subsection (b)—
(i) by inserting ‘‘test sales of petro-
leum products from the Reserve,’’ after
‘‘Strategic Petroleum Reserve,’’;
(ii) by striking paragraph (1) and re-
designating paragraphs (2) and (3) as
paragraphs (1) and (2), respectively;
(iii) in paragraph (1) (as so redesig-
nated by clause (ii) of this subsection) by
striking ‘‘after fiscal year 1982’’; and
(iv) in paragraph (2) (as so redesig-
nated by clause (ii) of this subsection) by
striking ‘‘160(f)’’ and inserting in lieu
thereof ‘‘160(c)’’;
(B) in subsection (d), by striking ‘‘160(f)’’
and inserting in lieu thereof ‘‘160(c)’’; and
(C) by amending subsection (e) to read as
follows:
‘‘(e) The Impoundment Control Act of 1974 (2
U.S.C. 681–688) shall apply to funds made available
under subsection (b).’’;
(17) in section 171(b)(2)(B) (42 U.S.C.
6249(b)(2)(B)) by inserting ‘‘, as such section was
in effect before the date of enactment of the Energy
Policy and Conservation Act Amendments of 1994,’’
after ‘‘section 154(e)’’;
(18) in section 172 (42 U.S.C. 6249a) by strik-
ing subsections (a) and (b) and redesignating sub-
sections (c) and (d) as subsections (a) and (b), re-
spectively; and
(19) in section 181 (42 U.S.C. 6251) by strik-
ing ‘‘1994’’ both places it appears and inserting in
lieu thereof ‘‘1999’’.
SEC. 4. TITLE II AMENDMENTS.
Title II of the Energy Policy and Conservation Act
is amended—
(1) by striking part A (42 U.S.C. 6261 through
6264);
(2) in section 251(e)(1) (42 U.S.C. 6271(e)(1))
by striking ‘‘252(l)(1)’’ and inserting in lieu thereof
‘‘252(k)(1)’’;
(3) in section 252 (42 U.S.C. 6272)—
(A) in subsections (a)(1) and (b), by strik-
ing ‘‘allocation and information provisions of
the international energy program’’ and insert-
ing in lieu thereof ‘‘international emergency re-
sponse provisions’’;
(B) in subsection (d)(3), by striking
‘‘known circumstances’’ and inserting in lieu
thereof ‘‘circumstances known at the time of
approval’’;
(C) in subsection (f)(2) by inserting ‘‘vol-
untary agreement or’’ after ‘‘approved’’;
(D) in subsection (i) by inserting ‘‘annu-
ally, and at least’’ after ‘‘least’’ and by insert-
ing ‘‘during an international energy supply
emergency’’ after ‘‘months’’;
(E) in subsection (k) by amending para-
graph (2) to read as follows:
‘‘(2) The term ‘international emergency re-
sponse provisions’ means—
‘‘(A) the provisions of the international en-
ergy program which relate to international allo-
cation of petroleum products and to the infor-
mation system provided in the program; and
‘‘(B) the emergency response measures
adopted by the Governing Board of the Inter-
national Energy Agency (including the July 11,
1984, decision by the Governing Board on
‘Stocks and Supply Disruptions’) for—
‘‘(i) the coordinated drawdown of
stocks of petroleum products held or con-
trolled by governments; and
‘‘(ii) complementary actions taken by
governments,
during an existing or impending international
oil supply disruption.’’; and
(F) by amending subsection (l) to read as
follows:
‘‘(l) The antitrust defense under subsection (f) shall
not extend to the international allocation of petroleum
products unless allocation is required by chapters III and
IV of the international energy program during an inter-
national energy supply emergency.’’;
(4) by adding at the end of section 256(h) (42
U.S.C. 6276(h)) ‘‘There are authorized to be appro-
priated for fiscal years 1996 through 1999 such
sums as may be necessary to carry out this part.’’;
(5) by striking part C (42 U.S.C. 6281 through
6282); and
(6) in section 281 (42 U.S.C. 6285), by striking
‘‘1994’’ each place it appears and inserting in lieu
thereof ‘‘1999’’.
SEC. 5. MISCELLANEOUS ADDITIONAL AMENDMENTS.
(a) Title III of the Energy Policy and Conservation
Act is amended—
(1) in section 365(f) (42 U.S.C. 6325(f)) by
amending paragraph (1) to read as follows:
‘‘(1) Except as provided in paragraph (2), for the
purpose of carrying out this part, there are authorized to
be appropriated for fiscal years 1995 through 1999 such
sums as may be necessary.’’; and
(2) by amending section 397 (42 U.S.C. 6371f)
to read as follows:
‘‘AUTHORIZATION OF APPROPRIATIONS
‘‘SEC. 397. For the purpose of carrying out this part,
there are authorized to be appropriated for fiscal years
1995 through 1999 such sums as may be necessary.’’.
(b) Section 422 of the Energy Conservation and Pro-
duction Act (42 U.S.C. 6872) is amended to read as fol-
lows:
‘‘AUTHORIZATION OF APPROPRIATIONS
‘‘SEC. 422. For the purposes of carrying out the
weatherization program under this part, there are author-
ized to be appropriated for fiscal years 1995 through 1999
such sums as may be necessary.’’.
(c) Section 507 of the Energy Policy and Conserva-
tion Act (42 U.S.C. 6385) is amended by striking ‘‘, which
was collected’’ and all that follows through ‘‘Information
Administration’’.
Æ
HR 4750 IH——2