I 
111TH CONGRESS 
2D SESSION 
H. R. 5735 
To require the Secretary of the Interior to establish a competitive leasing 
program for wind and solar energy development on Federal land, and 
for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
JULY 14, 2010 
Mr. HELLER introduced the following bill; which was referred to the Com-
mittee on Natural Resources, and in addition to the Committee on Agri-
culture, for a period to be subsequently determined by the Speaker, in 
each case for consideration of such provisions as fall within the jurisdic-
tion of the committee concerned 
A BILL 
To require the Secretary of the Interior to establish a com-
petitive leasing program for wind and solar energy devel-
opment on Federal land, 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 ‘‘Clean Energy, Commu-
nity Investment, and Wildlife Conservation Act’’. 
SEC. 2. DEVELOPMENT OF WIND AND SOLAR ENERGY ON 
FEDERAL LAND. 
(a) DEFINITIONS.—In this section: 
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(1) FEDERAL LAND.—The term ‘‘Federal land’’ 
means any Federal land under the administrative ju-
risdiction of the Bureau of Land Management or the 
Forest Service. 
(2) FUND.—The term ‘‘Fund’’ means the Re-
newable Energy Mitigation and Fish and Wildlife 
Fund established by section 3(b). 
(3) PILOT
PROGRAM.—The term ‘‘pilot pro-
gram’’ means the wind and solar leasing pilot pro-
gram established under subsection (b). 
(4) SECRETARY.—The term ‘‘Secretary’’ means 
the Secretary of the Interior. 
(5) STATE.—The term ‘‘State’’ means the State 
within the boundaries of which income is derived 
under a lease issued under this section. 
(b) WIND AND SOLAR LEASING PILOT PROGRAM.— 
(1) IN
GENERAL.—Not later than 180 days 
after the date of enactment of this Act, the Sec-
retary shall establish a wind and solar leasing pilot 
program for Federal land. 
(2) SELECTION OF SITES.— 
(A) IN GENERAL.—Not later than 90 days 
after the date on which the pilot program is es-
tablished, the Secretary shall select not fewer 
than 2 sites that are appropriate for the devel-
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opment of a solar energy project, and not fewer 
than 2 sites that are appropriate for the devel-
opment of a wind energy project, on Federal 
land as part of the pilot program. 
(B) SITE
SELECTION.—In carrying out 
subparagraph (A), the Secretary shall seek to 
select sites on Federal land— 
(i) for which there is likely to be a 
high level of industry interest; and 
(ii) that has comparatively low value 
for other resources. 
(C) EXCLUSIONS.—For purposes of this 
Act only, Federal land suitable for wind and 
solar development does not include— 
(i) any unit of the National Wildlife 
Refuge System; 
(ii) any component of the National 
Wild and Scenic Rivers System; 
(iii) any part of the National Land-
scape Conservation System; 
(iv) any designated wilderness area, 
wilderness study area, or other area man-
aged for wilderness characteristics; 
(v) any inventoried roadless area with-
in the National Forest System; 
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(vi) any National Historic Landmark; 
(vii) any National Historic District or 
an Archaeological District eligible for or 
listed in the National Register of Historic 
Places; or 
(viii) other sensitive land, as deter-
mined by the Secretary. 
(D) COORDINATION WITH COUNTIES.—In 
selecting sites under the pilot program, the Sec-
retary shall— 
(i) coordinate site selection activities 
with the county and State land manage-
ment and wildlife agencies in whose juris-
diction the Federal land is located; and 
(ii) take into consideration local land 
use planning and zoning requirements and 
recommendations. 
(3) CONSULTATION.—In establishing the pilot 
program and the wind or solar leasing programs 
under subsection (c), the Secretary shall consult 
with— 
(A) appropriate Federal agencies, including 
the Department of Defense; 
(B) affected States and counties; 
(C) Indian tribes; 
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(D) representatives of the wind and solar 
industries; 
(E) representatives of the environmental, 
conservation, and fish and wildlife conservation 
communities; 
(F) representatives of the motorized and 
nonmotorized outdoor recreation communities; 
(G) representatives of the ranching and ag-
ricultural communities; and 
(H) the public. 
(4) WIND AND SOLAR LEASE SALES.— 
(A) IN GENERAL.—Except as provided in 
subparagraph (C)(ii), not later than 180 days 
after the date on which sites are selected under 
paragraph (2), the Secretary shall offer each 
site for competitive leasing to qualified bidders 
under such terms and conditions as are re-
quired by the Secretary. 
(B) BIDDING
SYSTEMS.—In offering the 
sites for lease, the Secretary— 
(i) may vary the bidding systems to be 
used at each lease sale; but 
(ii) shall limit bidding to 1 round in 
any lease sale. 
(C) LEASE TERMS.— 
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(i) IN GENERAL.—As part of the pilot 
program, the Secretary may vary the 
length of the lease terms and establish 
such other lease terms and conditions as 
the Secretary considers appropriate. 
(ii) DATA COLLECTION.—As part of 
the pilot program, the Secretary shall— 
(I) offer on a noncompetitive 
basis on at least 1 site a short-term 
lease for data collection; and 
(II) on the expiration of the 
short-term lease, offer on a competi-
tive basis a long-term lease, giving 
credit toward the bonus bid to the 
holder of the short-term lease for any 
qualified expenditures to collect data 
to develop the site during the short- 
term lease. 
(D) QUALIFICATIONS.—Prior to any lease 
sale, the Secretary shall establish qualifications 
for bidders that ensures bidders— 
(i) are able to expeditiously develop a 
wind or solar energy project on the site for 
lease; and 
(ii) possess— 
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(I) financial resources necessary 
to complete a project; 
(II) knowledge of the applicable 
technology; and 
(III) such other qualifications as 
determined appropriate by the Sec-
retary. 
(5) COMPLIANCE WITH LAWS.—In offering for 
lease the selected sites under (4), the Secretary shall 
comply with all applicable environmental and other 
laws. 
(6) REPORT.—The Secretary shall— 
(A) compile a report of the results of each 
lease sale under the pilot program, including— 
(i) the level of competitive interest; 
(ii) a summary of bids and revenues 
received; and 
(iii) any other factors that may have 
impacted the lease sale process; and 
(B) not later than 90 days after the final 
lease sale, submit to the Committee on Energy 
and Natural Resources of the Senate and the 
Committee on Natural Resources of the House 
of Representatives the report described in sub-
paragraph (A). 
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(c) LEASING PROGRAM FOR WIND AND SOLAR EN-
ERGY.— 
(1) DETERMINATIONS.— 
(A) IN GENERAL.—Not later than 2 years 
after the date of enactment of this Act, the Sec-
retary shall determine whether to establish leas-
ing programs under this section for wind and 
solar energy. 
(B) REQUIREMENTS.—Not later than 180 
days after the date on which any determination 
under subparagraph (A) is made, the Secretary 
shall establish a leasing program if the Sec-
retary determines that the program— 
(i) is in the public interest; and 
(ii) provides an effective means of de-
veloping wind or solar energy on Federal 
land. 
(C) REPORT.—If the Secretary determines 
that a leasing program should not be estab-
lished, not later than 60 days after the date of 
the determination, the Secretary shall submit to 
the Committee on Energy and Natural Re-
sources of the Senate and the Committee on 
Natural Resources of the House of Representa-
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tives a report describing the reasons and find-
ings for that determination. 
(2) LEASES FOR CERTAIN FEDERAL LAND.— 
(A) IN GENERAL.—If the Secretary makes 
the determination to establish a leasing pro-
gram under this section, except as provided in 
subparagraph (B) and pursuant to the Federal 
Land Policy and Management Act of 1976 (43 
U.S.C. 1701 et seq.) and the National Forest 
Management Act of 1976 (16 U.S.C. 1600 et 
seq.), the Secretary may develop policy and reg-
ulations for, and issue leases on, Federal land 
under the administrative jurisdiction of the Bu-
reau of Land Management and the Forest Serv-
ice. 
(B) EXCEPTION.—The Secretary may not 
issue any lease on National Forest System land 
under subparagraph (A) over the objection of 
the Secretary of Agriculture. 
(3) CONSULTATION AND CONSIDERATIONS.—In 
making the determinations required under this sub-
section, the Secretary shall— 
(A) consult with— 
(i) appropriate Federal agencies, in-
cluding the Department of Defense; 
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(ii) affected States and counties; 
(iii) Indian tribes; 
(iv) representatives of the wind and 
solar industry; 
(v) representatives of the environ-
mental, conservation, and fish and wildlife 
conservation communities; 
(vi) representatives of the motorized 
and nonmotorized outdoor recreation com-
munities; 
(vii) representatives of the ranching 
and agricultural communities; and 
(viii) the public; and 
(B) consider the results of the report pro-
vided under subsection (b)(6) and the results of 
the pilot program. 
(4) REQUIREMENTS.—If the Secretary deter-
mines under this subsection that a leasing program 
should be established, the program shall be carried 
out in accordance with subsections (d) through (i). 
(d) COMPETITIVE LEASES.— 
(1) IN GENERAL.—Except as provided in para-
graph (2), leases for wind or solar energy develop-
ment under this section shall be issued on a competi-
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tive basis with a single round of bidding in any lease 
sale. 
(2) EXCEPTIONS.—Paragraph (1) shall not 
apply to Federal land if the Secretary determines 
that— 
(A) there is no competitive interest for the 
Federal land; 
(B) the public interest would not be served 
by the competitive issuance of a lease; 
(C) the lease is for the placement and op-
eration of a meteorological or data collection fa-
cility or for the development or demonstration 
of a new wind or solar technology and has a 
term of not more than 5 years; 
(D) meteorological testing tower or other 
data collection device has been installed under 
an approved easement, special-use permit, or 
right-of-way issued before the date of enact-
ment of this Act; or 
(E) the Federal land is eligible to be grant-
ed a noncompetitive lease under subsection 
(e)(3). 
(e) TRANSITION TO LEASING.— 
(1) IN GENERAL.—The Secretary shall continue 
to accept applications for rights-of-way, review the 
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applications, and provide for the issuance of rights- 
of-way for the development of wind or solar energy 
on Federal land in accordance with each require-
ment described in title V of the Federal Land Policy 
and Management Act of 1976 (43 U.S.C. 1761 et 
seq.) during the pilot program and until the Sec-
retary determines to establish wind and solar leasing 
programs under subsection (c). 
(2) ADMINISTRATION.—If the Secretary deter-
mines under subsection (c) that a leasing program 
should be established, the Secretary shall provide for 
a reasonable transition from the use of rights-of-way 
to leases, taking into account paragraphs (3) and 
(4) and the status of the project, including wheth-
er— 
(A) rights-of-way for testing or construc-
tion have been granted; 
(B) a plan of development has been sub-
mitted; or 
(C) a draft environmental impact state-
ment has been published. 
(3) EXISTING RIGHTS-OF-WAY.— 
(A) IN GENERAL.—Effective beginning on 
the date on which the wind and solar leasing 
programs are established, the Secretary shall 
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not renew an existing right-of-way authorization 
for wind and solar energy development at the 
end of the term of the authorization. 
(B) LEASE.— 
(i) IN
GENERAL.—Subject to clause 
(ii), at the end of the term of the right-of- 
way authorization for the wind or solar en-
ergy project, the Secretary may grant, 
without a competitive process, a lease to 
the holder of the right-of-way for the same 
Federal land as was authorized under the 
right-of-way authorization. 
(ii) TERMS
AND
CONDITIONS.—Any 
lease described in clause (i) shall be sub-
ject to the terms and conditions generally 
applicable to other lease sales for similar 
projects at the time the lease is issued. 
(4) PENDING RIGHTS-OF-WAY.—Effective begin-
ning on the date on which the wind and solar leasing 
programs are established, the Secretary may provide 
any applicant that has filed a plan of development 
for a right-of-way for a wind or solar energy project 
with an option to acquire a noncompetitive lease, 
under such terms and conditions as are required by 
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this section and the Secretary, for the same Federal 
land included in the plan of development, if— 
(A) the plan of development has been de-
termined by the Secretary to be adequate for 
the initiation of environmental review; and 
(B) granting the lease is consistent with all 
applicable land use planning, environmental, 
and other laws. 
(f) REQUIREMENTS.—If the Secretary establishes a 
leasing program under subsection (c), the Secretary shall 
ensure that any activity under the wind and solar leasing 
program is carried out in a manner that— 
(1) is consistent with all applicable land use 
planning, environmental, and other laws; and 
(2) provides for— 
(A) safety; 
(B) protection of the environment; 
(C) prevention of waste; 
(D) diligent development of the resource, 
with specific milestones determined by the Sec-
retary; 
(E) coordination with applicable Federal 
agencies; 
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(F) use of best management practices, in-
cluding planning and practices for mitigation of 
impacts; 
(G) public notice and comment on any pro-
posal submitted for a lease under this section; 
(H) oversight, inspection, research, moni-
toring, and enforcement relating to a lease 
under this section; 
(I) protection of fish and wildlife habitat; 
and 
(J) efficient use of water resources. 
(g) LEASE DURATION, SUSPENSION, AND CANCELLA-
TION.— 
(1) IN GENERAL.—If the Secretary establishes 
a leasing program under subsection (c), subject to 
paragraph (2), the Secretary shall establish terms 
and conditions for the duration, issuance, transfer, 
renewal, suspension, and cancellation of a lease 
under this section. 
(2) MINIMUM TERM.—A wind or solar project 
with a total capacity of 100 megawatts or more shall 
be leased for not less than 30 years under this sec-
tion. 
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(h) SECURITY.—If the Secretary establishes a leasing 
program under subsection (c), the Secretary shall require 
the holder of a lease issued under this section— 
(1) to furnish a reclamation bond or other form 
of security determined to be appropriate by the Sec-
retary; 
(2) on completion of the activities authorized by 
the lease— 
(A) to restore the Federal land that is sub-
ject to the lease to the condition in which the 
Federal land existed before the lease was grant-
ed; or 
(B) to conduct mitigation activities (or 
payment of funds to be transferred to the Fund 
in lieu of the activities) if the Secretary deter-
mines that restoration of the Federal land to 
the condition described in subparagraph (A) is 
impracticable; and 
(3) to comply with such other requirements as 
the Secretary considers necessary to protect the in-
terests of the public and the United States. 
(i) BEST MANAGEMENT PRACTICES.—The Secretary 
shall— 
(1) establish best management practices to en-
sure the sound, efficient, and environmentally re-
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sponsible development of wind and solar resources 
on the Federal land in a manner that will minimize 
consumptive water use, and avoid, minimize, and 
mitigate actual and anticipated impacts to fish and 
wildlife habitat and ecosystem function, resulting 
from development under a lease issued under this 
section; and 
(2) include— 
(A) provisions in the lease requiring renew-
able energy operators to comply with the prac-
tices established under paragraph (1); and 
(B) such other provisions as the Secretary 
considers appropriate. 
(j) PAYMENTS.— 
(1) IN GENERAL.—The Secretary shall establish 
royalties, fees, rentals, bonuses, or other payments 
to ensure a fair return to the United States, States, 
and counties for any right-of-way or lease issued for 
a wind or solar project on Federal land. 
(2) COLLECTION OF PAYMENTS.— 
(A) IN GENERAL.—Prior to the collection 
of royalties under paragraph (4), the Secretary 
shall collect payments for wind and solar 
projects in accordance with section 504(g) of 
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the Federal Land Policy and Management Act 
of 1976 (43 U.S.C. 1764(g)). 
(B) EXCEPTION.—Wind or solar energy 
leases issued under this section shall not be 
subject to the rental fee exemption for rights- 
of-way under section 504(g) of the Federal 
Land Policy and Management Act of 1976 (43 
U.S.C. 1764(g)). 
(3) BONUS
BIDS.—The Secretary may grant 
credit toward any bonus bid for a qualified expendi-
ture by the holder of a lease described in subsection 
(d)(2)(C) in any competitive lease sale held for a 
long-term lease covering the same Federal land cov-
ered by the lease described in subsection (d)(2)(C). 
(4) ROYALTIES.—Except as provided in para-
graph (6), the Secretary shall develop and enforce a 
royalty on electricity produced by wind and solar 
projects on Federal land that— 
(A) encourages production of wind or solar 
energy; 
(B) encourages the maximum energy gen-
eration using the least quantity of Federal land 
and other natural resources, including water; 
(C) ensures a fair return (comparable to 
the return that would be obtained on State and 
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private land) to the public, States, and counties 
eligible to receive a portion of the revenues 
under section 3(a); and 
(D) encourages the use of energy storage 
technologies that increase the capacity factor of 
wind or solar energy generation facilities. 
(5) RULEMAKING.—Not later than 1 year after 
the date of enactment of this Act, the Secretary 
shall complete a rulemaking for wind energy and 
solar energy royalty rates. 
(6) ROYALTY
RELIEF.—Subject to paragraph 
(2)(B), to promote the greatest generation of renew-
able energy, the Secretary may, until fiscal year 
2040, provide that no royalty or a reduced royalty 
is required for a period not to exceed 5 years begin-
ning on the date on which wind or solar generation 
is initially commenced on the Federal land. 
(k) SEGREGATION FROM APPROPRIATION UNDER 
MINING AND FEDERAL LAND LAWS.— 
(1) IN GENERAL.—On selection of Federal land 
for leasing under this section, the Secretary may 
temporarily segregate the selected Federal land from 
appropriation under the mining and public land 
laws. 
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(2) ADMINISTRATION.—Segregation of Federal 
land under this subsection— 
(A) may only be made for a period of not 
to exceed 10 years; and 
(B) shall be subject to valid existing rights 
as of the date of the segregation. 
SEC. 3. DISPOSITION OF REVENUE. 
(a) DISTRIBUTION OF PROCEEDS AND PAYMENTS.— 
(1) IN GENERAL.—Effective beginning on the 
date of enactment of this Act, all amounts collected 
by the Secretary as royalties, fees, rentals, bonuses, 
or other payments for wind and solar projects on 
Federal land, including any fees associated with 
wind and solar energy rights-of-way, shall be distrib-
uted as follows: 
(A) 25 percent shall be paid by the Sec-
retary of the Treasury to the State within the 
boundaries of which the income is derived. 
(B) 25 percent shall be paid by the Sec-
retary of the Treasury to the 1 or more coun-
ties within the boundaries of which the income 
is derived. 
(C) 15 percent shall— 
(i) for the period beginning on the 
date of enactment of this Act and ending 
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on the date specified in clause (ii), be de-
posited in the Treasury of the United 
States to help facilitate the processing of 
renewable energy permits by the Bureau of 
Land Management, subject to paragraph 
(2)(A)(i), including the transfer of the 
funds by the Bureau of Land Management 
to other Federal and State agencies to fa-
cilitate the processing of renewable energy 
permits on Federal land; and 
(ii) beginning on the date that is 10 
years after the date of enactment of this 
Act, be deposited in the Fund. 
(D) 35 percent shall be deposited in the 
Fund. 
(2) LIMITATIONS.— 
(A) RENEWABLE ENERGY PERMITS.—For 
purposes of clause (i) of paragraph (1)(C): 
(i) Not more than $50,000,000 shall 
be deposited in the Treasury at any 1 time 
under that clause. 
(ii) The following shall be deposited in 
the Fund: 
(I) Any amounts collected under 
that subclause that are not obligated 
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by the date specified in paragraph 
(1)(C)(ii). 
(II) Any amounts that exceed the 
$50,000,000 
deposit 
limit 
under 
clause (i). 
(III) Any amounts provided by 
the lease holder pursuant to section 
2(h)(2)(B). 
(B) FUND.—Any amounts deposited in the 
Fund under subparagraph (A)(ii) or paragraph 
(1)(C)(ii) shall be in addition to amounts depos-
ited in the Fund under paragraph (1)(D). 
(3) AVAILABILITY
OF
FUNDS.—Funds under 
this subsection shall be available for expenditure 
without further appropriation and without fiscal 
year limitation. 
(b) RENEWABLE ENERGY MITIGATION
AND FISH 
AND WILDLIFE FUND.— 
(1) ESTABLISHMENT.—There is established in 
the Treasury of the United States a fund, to be 
known as the ‘‘Renewable Energy Mitigation and 
Fish and Wildlife Fund’’, to be administered by the 
Secretary, for use in the State. 
(2) USE
OF
FUNDS.—Amounts in the Fund 
shall be available to the Secretary, who may make 
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the amounts available to the State, Federal agencies, 
or other interested parties for the purposes of— 
(A) mitigating impacts of renewable energy 
on Federal land, including— 
(i) protecting fish and wildlife cor-
ridors and other sensitive land; 
(ii) restoring fish and wildlife habitat; 
and 
(iii) securing recreational access to 
Federal land through easement, right of 
way, or fee title acquisition from willing 
sellers for the purpose of providing en-
hanced public access to existing Federal 
land that is inaccessible or significantly re-
stricted; and 
(B) carrying out activities authorized 
under the Land and Water Conservation Fund 
Act of 1965 (16 U.S.C. 460l–4 et seq.) in the 
State. 
(3) AVAILABILITY OF AMOUNTS.—Amounts in 
the Fund shall be available for expenditure, in ac-
cordance with this subsection, without further appro-
priation, and without fiscal year limitation. 
(4) INVESTMENT OF FUND.— 
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(A) IN GENERAL.—Any amounts deposited 
in the Fund shall earn interest in an amount 
determined by the Secretary of the Treasury on 
the basis of the current average market yield on 
outstanding marketable obligations of the 
United States of comparable maturities. 
(B) USE.—Any interest earned under sub-
paragraph (A) may be expended in accordance 
with this subsection. 
Æ 
VerDate Mar 15 2010 
03:36 Jul 15, 2010
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