I
106TH CONGRESS
1ST SESSION
H. R. 2823
To amend the Strom Thurmond National Defense Authorization Act for
Fiscal Year 1999 to provide for the retention and administration of
Oil Shale Reserve Numbered 2 by the Secretary of Energy.
IN THE HOUSE OF REPRESENTATIVES
SEPTEMBER 9, 1999
Mr. CANNON introduced the following bill; which was referred to the Com-
mittee on Armed Services, and in addition to the Committee on Re-
sources, 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 amend the Strom Thurmond National Defense Authoriza-
tion Act for Fiscal Year 1999 to provide for the retention
and administration of Oil Shale Reserve Numbered 2
by the Secretary of Energy.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. CONTINUATION OF DEPARTMENT OF ENERGY
CONTROL 
AND 
ADMINISTRATION 
OF 
OIL
SHALE RESERVE NUMBERED 2.
Section 3405 of the Strom Thurmond National De-
fense Authorization Act for Fiscal Year 1999 (Public Law
105–261; 112 Stat. 2267; 10 U.S.C. 7420 note) is amend-
ed to read as follows:
‘‘SEC. 3405. RETENTION AND ADMINISTRATION OF OIL
SHALE RESERVE NUMBERED 2.
‘‘(a) RETENTION AND ADMINISTRATION.—The Sec-
retary of Energy shall administer Oil Shale Reserve Num-
bered 2 in accordance with this section and chapter 641
of title 10, United States Code.
‘‘(b) COOPERATIVE MANAGEMENT AND RESOURCE
ASSESSMENT.—
‘‘(1) COOPERATIVE AGREEMENT REQUIRED.—
Within 180 days after the date of the enactment of
this Act, the Secretary of Energy shall enter into a
cooperative management and resources assessment
agreement with the Ute Indian Tribe of the Uintah
and Ouray Reservation for the management, admin-
istration, and development of Oil Shale Reserve
Numbered 2.
‘‘(2) ELEMENTS.—The cooperative agreement
shall recognize and implement the concurrent juris-
dictional and governmental authority of the Ute In-
dian Tribe over the lands comprising Oil Shale Re-
serve Numbered 2 and provide a framework for the
Ute Indian Tribe and the Department of Energy to
jointly identify and assess the mineral, natural, cul-
tural, wildlife and religious resources located within
Oil Shale Reserve Numbered 2.
‘‘(c) OIL AND GAS LEASE.—Within 180 days after
the date of the enactment of this Act, the Secretary of
Energy shall enter into an oil and gas lease with the Ute
Indian Tribe to explore, prospect, conserve, develop, use,
operate, market, and sell the petroleum (as defined in sec-
tion 7420 of title 10, United States Code) of Oil Shale
Reserve Numbered 2. The negotiated lease shall contain
standard terms and conditions, but the royalty rate of re-
turn to the United States shall be commensurate with the
rate of return realized by the United States under oil and
gas leases issued and administered by the Bureau of Land
Management.
‘‘(d) OTHER COMMODITIES.—The Secretary of En-
ergy may enter into contracts, leases, or other agreements
with the Ute Indian Tribe for activities described in sub-
section (c) with respect to minerals other than petroleum,
and other commodities such as, but not limited to, build-
ing stone, on lands within Oil Shale Reserve Numbered
2.
‘‘(e) FUNDING.—From amounts appropriated pursu-
ant to the authorization for appropriations in section
3402(a), $2,000,000 shall be available for use by the Sec-
retary of Energy in carrying out the activities required
by this section.
‘‘(f) WAIVER OF REQUIREMENTS REGARDING CON-
SULTATION AND APPROVAL.—Section 7431 of title 10,
United States Code, shall not apply to cooperative man-
agement, resource assessment, or administration under
this section.’’.
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