SEC. 2. AREA COVERED.
The area referred to in section 1 is all areas of the
Outer Continental Shelf in the Eastern Gulf of Mexico
Planning Area that are south of 26 degrees north latitude
and east of 86 degrees west longitude.
SEC. 3. CANCELLATION OF LEASES.
(a) CONGRESSIONAL DETERMINATIONS.—The Con-
gress determines that—
(1) the area described in section 2 comprises
marine subtidal and nearshore habitats that are
unique within the United States continental margin,
and that provide refuge to numerous coastal and
marine birds, rare and endangered species, extensive
live bottom communities, coral reefs, mangroves, and
productive sea grasses;
(2) in 1983 and 1984, Congress and the De-
partment of the Interior provided for a 3-year mora-
torium on drilling in that area to permit the acquisi-
tion of additional environmental information;
(3) notwithstanding the actions described in
paragraph (2), which put the bidding companies on
notice that there were environmental concerns, a
total of 73 tracts were leased in the area in 1984
and 1985;
(4) in 1988, and in every year since then, the
Congress has renewed the annual moratorium on
new leasing and drilling in the area concerned;
(5) in June 1990, President Bush announced
that he was placing a 10-year moratorium on leas-
ing, development, and production in south Florida
and directing the Secretary of the Interior to begin
a process that may lead to the buyback and cancella-
tion of existing leases in that area;
(6) exploration, production, or drilling activity
on any of the 73 tracts described in paragraph (3)
would cause serious harm or damage to the marine,
coastal, and human environment in the area and
such harm or damage is not subject to an acceptable
level of mitigation; and
(7) oil and gas exploration, production, and
drilling activity is incompatible with the ecologically
fragile resources found in the south Florida Outer
Continental Shelf, and the advantages of canceling
outweigh the advantages of continuing such leases
and would promote the public interest in the protec-
tion of the south Florida coastal area.
(b) CANCELLATION.—Based on the determinations
made under subsection (a), all leases under the Outer
Continental Shelf Lands Act in the area described in sec-
tion 2 are hereby canceled.
SEC. 4. COMPENSATION.
(a) DETERMINATION.—The Attorney General shall
determine whether the holder of a lease canceled by sec-
tion 3(b) is entitled under law to compensation from the
United States as a result of such cancellation.
(b) NEGOTIATION.—If the Attorney General deter-
mines under subsection (a) that a lease holder is entitled
to compensation, the Secretary shall enter into negotia-
tions with such lease holder to establish a written agree-
ment providing for fair and equitable settlement of all
claims of such lease holder against the United States for
compensation for cancellations under section 3(b).
(c) AMOUNT AND FORM OF COMPENSATION.—Com-
pensation agreed to under subsection (b)—
(1) may be determined through application of
the rules set forth in section 5(a)(2)(C) of the Outer
Continental 
Shelf 
Lands 
Act 
(43 
U.S.C.
1334(a)(2)(C));
(2) may be made in the form of currency, for-
giveness of the lessee’s obligation to pay rents, royal-
ties, or bonus payments which would otherwise be
paid to the Federal Government on another lease is-
sued pursuant to the Outer Continental Shelf Lands
Act, or a combination of currency with such forgive-
ness; and
(3) shall not exceed the amount that would be
provided for under the rules described in paragraph
(1).
(d) NO STATE REQUIREMENT.—The State of Florida
shall not be required to provide any compensation for the
cancellation of a lease under section 3(b).
SEC. 5. DEFINITIONS.
For the purposes of this Act—
(1) terms defined in the Outer Continental
Shelf Lands Act have the meaning given such terms
in that Act;
(2) references to the Eastern Gulf of Mexico
Planning Area shall be to the area so designated in
the Department of the Interior Outer Continental
Shelf Natural Gas and Oil Resource Management
Comprehensive Program 1992–1997 Proposed Final,
dated April 1992; and
(3) the term ‘‘preleasing activities’’ means ac-
tivities conducted before a lease sale is held, and in-
cludes the scheduling of a lease sale, requests for in-
dustry interest, calls for information and nomina-
tions, area identifications, publication of draft or
final environmental impact statements, notices of
sale, and any form of rotary drilling; but such term
does not include environmental, geologic, geo-
physical, economic, engineering, or other scientific
analyses, studies, and evaluations.
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