‘‘(i) IN GENERAL.—Subject to clause 
(ii), the term ‘covered planning area’ 
means each of the following planning areas 
(as such planning areas are depicted in the 
document titled ‘2017–2022 Outer Conti-
nental Shelf Oil and Gas Leasing Proposed 
Final Program’, dated November 2016, or 
a subsequent oil and gas leasing program 
developed under section 18 of the Outer 
Continental Shelf Lands Act (43 U.S.C. 
1344)): 
‘‘(I) The Mid-Atlantic planning 
area. 
‘‘(II) The South Atlantic plan-
ning area. 
‘‘(III) Any planning area located 
off the coast of the State of Alaska. 
‘‘(ii) EXCLUSIONS.—The term ‘cov-
ered planning area’ does not include any 
area in the Atlantic Ocean— 
‘‘(I) north of the southernmost 
lateral seaward administrative bound-
ary of the State of Maryland; or 
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‘‘(II) south of the northernmost 
lateral seaward administrative bound-
ary of the State of Florida. 
‘‘(B) PRODUCING STATE.— 
‘‘(i) IN
GENERAL.—The term ‘pro-
ducing State’ means each of the following 
States: 
‘‘(I) Virginia. 
‘‘(II) North Carolina. 
‘‘(III) South Carolina. 
‘‘(IV) Georgia. 
‘‘(V) Alaska. 
‘‘(ii) EXCLUSION.—The term ‘pro-
ducing State’ does not include any State 
the coastal seaward boundary of which is 
further than 200 nautical miles from the 
geographic center of any leased tract of the 
Outer Continental Shelf. 
‘‘(C) QUALIFIED REVENUE.— 
‘‘(i) IN GENERAL.—The term ‘quali-
fied revenue’ means any revenue derived 
from rentals, royalties, bonus bids, and 
other sums due and payable to the United 
States under an oil and gas lease with re-
spect to a covered planning area entered 
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into on or after the date of the enactment 
of this subsection. 
‘‘(ii) EXCLUSIONS.—The term ‘quali-
fied revenue’ does not include— 
‘‘(I) revenue from the forfeiture 
of a bond or other surety securing ob-
ligations other than royalties, civil 
penalties, or royalties taken by the 
Secretary in kind and not sold; 
‘‘(II) revenue generated from a 
lease subject to section 8(g); and 
‘‘(III) the portion of the rental 
revenue in excess of the amount of 
rental revenue that would have been 
collected at the rates in effect before 
August 5, 1993. 
‘‘(2) DEPOSIT OF QUALIFIED REVENUE.— 
‘‘(A) PHASE I.—With respect to qualified 
revenue from leases awarded under the first 
leasing program approved under section 18(a) 
that takes effect after the date of the enact-
ment of this subsection, the Secretary of the 
Treasury shall deposit or allocate, as applica-
ble— 
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‘‘(i) 87.5 percent of such qualified 
revenue into the general fund of the Treas-
ury; and 
‘‘(ii) 12.5 percent of such qualified 
revenue to producing States in accordance 
with paragraph (3). 
‘‘(B) PHASE II.—With respect to qualified 
revenue from leases awarded under the second 
leasing program approved under section 18(a) 
that takes effect after the date of the enact-
ment of this subsection, the Secretary of the 
Treasury shall deposit or allocate, as applica-
ble— 
‘‘(i) 75 percent of such qualified rev-
enue into the general fund of the Treasury; 
and 
‘‘(ii) 25 percent of such qualified rev-
enue to producing States in accordance 
with paragraph (3). 
‘‘(C) PHASE III.—With respect to qualified 
revenue from leases awarded under the third 
leasing program approved under section 18(a) 
that takes effect after the date of the enact-
ment of this subsection, and under any subse-
quent such leasing program, the Secretary of 
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the Treasury shall deposit or allocate, as appli-
cable— 
‘‘(i) 50 percent of such qualified rev-
enue into the general fund of the Treasury; 
and 
‘‘(ii) 50 percent of such qualified rev-
enue into a special account in the Treasury 
from which the Secretary of the Treasury 
shall disburse— 
‘‘(I) 75 percent to States in ac-
cordance with paragraph (3); and 
‘‘(II) 25 percent to the Secretary 
of the Interior for units of the Na-
tional Park System. 
‘‘(3) ALLOCATION TO PRODUCING STATES.— 
‘‘(A) IN
GENERAL.—In accordance with 
subparagraphs (B) and (C), the Secretary of 
the Treasury shall annually allocate the 
amounts made available under subparagraphs 
(A)(ii), (B)(ii), and (C)(ii)(I) of paragraph (2) 
to each producing State in an amount (based 
on a formula established by the Secretary by 
regulation) that— 
‘‘(i) is inversely proportional to the re-
spective distances between— 
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‘‘(I) the point on the coastline of 
the producing State that is closest to 
the geographical center of the applica-
ble leased tract; and 
‘‘(II) the geographical center of 
that leased tract; and 
‘‘(ii) is not less than 10 percent of the 
qualified revenue for a given leasing pro-
gram. 
‘‘(B) ALLOCATION
TO
NONCONTIGUOUS 
COASTAL STATES.— 
‘‘(i) IN
GENERAL.—With respect to 
each producing State that is a noncontig-
uous coastal State, the Secretary of the 
Treasury shall allocate 20 percent of the 
allocable share of such State determined 
under this paragraph to the coastal polit-
ical subdivisions of such State. 
‘‘(ii) ALLOCATION.—The amount allo-
cated by the Secretary of the Treasury to 
coastal political subdivisions under this 
subparagraph shall be allocated to each 
such coastal political subdivision in accord-
ance with subparagraphs (B) and (E) of 
section 31(b)(4). 
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‘‘(iii) DEFINITION OF COASTAL POLIT-
ICAL SUBDIVISION.—In this subparagraph, 
the term ‘coastal political subdivision’ 
means— 
‘‘(I) a county-equivalent subdivi-
sion of a State for which— 
‘‘(aa) all or part of such 
subdivision lies within the coastal 
zone of the State (as defined in 
section 304 of the Coastal Zone 
Management Act of 1972 (16 
U.S.C. 1453)); and 
‘‘(bb) the closest coastal 
point of such subdivision is not 
more than 200 nautical miles 
from the geographical center of 
any leased tract on the Outer 
Continental Shelf; or 
‘‘(II) a municipal subdivision of a 
State— 
‘‘(aa) for which the closest 
point of such subdivision is not 
more than 200 nautical miles 
from the geographical center of a 
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leased tract on the Outer Conti-
nental Shelf; and 
‘‘(bb) that the State deter-
mines is a significant staging 
area for oil and gas servicing, 
supply vessels, operations, sup-
pliers, or workers. 
‘‘(C) ALLOCATION TO CONTIGUOUS COAST-
AL STATES.— 
‘‘(i) IN
GENERAL.—With respect to 
each producing State that is a contiguous 
coastal State, the Secretary of the Treas-
ury shall allocate— 
‘‘(I) 50 percent of the allocable 
share of such State determined under 
this paragraph to the State treasury 
to be used by the State in accordance 
with clause (ii); 
‘‘(II) 25 percent of the allocable 
share of such State determined under 
this paragraph to coastal towns; and 
‘‘(III) 25 percent of the allocable 
share of such State determined under 
this paragraph to coastal counties. 
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‘‘(ii) USE
OF
FUNDS.—Funds allo-
cated to a producing State under clause 
(i)(I) shall be used by such State— 
‘‘(I) to enhance State land and 
water conservation efforts, particu-
larly in inlets, waterways, and beach-
es; 
‘‘(II) for the purposes of beach 
nourishment and coastline enhance-
ments; 
‘‘(III) for the protection of coast-
al wildlife; 
‘‘(IV) to support estuary health 
and aquaculture management; 
‘‘(V) for dredging and port infra-
structure development; 
‘‘(VI) to provide grants to sup-
port the geological and geophysical 
sciences or petroleum engineering pro-
grams or departments at institutions 
of higher education (as such term is 
defined in section 101 of the Higher 
Education Act of 1965 (20 U.S.C. 
1001)) that— 
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‘‘(aa) are accredited by the 
Accreditation Board for Engi-
neering and Technology; and 
‘‘(bb) are located within the 
producing State; or 
‘‘(VII) for any other purpose that 
enhances coastal communities, as de-
termined by the Governor of the pro-
ducing State. 
‘‘(iii) 
DEFINITION
OF
COASTAL 
TOWN.—In this subparagraph, the term 
‘coastal town’ means an economic and resi-
dential center that is not more than 20 
miles from the coast of the producing 
State. 
‘‘(4) ADMINISTRATION.—Amounts made avail-
able under paragraph (2)(B) shall— 
‘‘(A) be made available, without further 
appropriation, in accordance with this sub-
section; 
‘‘(B) remain available until expended; 
‘‘(C) be in addition to any amounts appro-
priated under— 
‘‘(i) chapter 2003 of title 54, United 
States Code; 
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‘‘(ii) any other provision of this Act; 
and 
‘‘(iii) any other provision of law; and 
‘‘(D) be made available during the fiscal 
year immediately following the fiscal year in 
which such amounts were received.’’. 
SEC. 203. GULF OF MEXICO OUTER CONTINENTAL SHELF 
REVENUE. 
(a) DISTRIBUTION OF OUTER CONTINENTAL SHELF 
REVENUE TO GULF PRODUCING STATES.—Section 105 of 
the Gulf of Mexico Energy Security Act of 2006 (43 
U.S.C. 1331 note) is amended— 
(1) in subsection (a)— 
(A) in paragraph (1), by striking ‘‘50’’ and 
inserting ‘‘37.5’’; and 
(B) in paragraph (2)— 
(i) by striking ‘‘50’’ and inserting 
‘‘62.5’’; 
(ii) in subparagraph (A), by striking 
‘‘75’’ and inserting ‘‘80’’; and 
(iii) in subparagraph (B), by striking 
‘‘25’’ and inserting ‘‘20’’; and 
(2) by striking subsection (f). 
(b) EXEMPTION OF CERTAIN PAYMENTS FROM SE-
QUESTRATION.— 
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(1) IN GENERAL.—Section 255(g)(1)(A) of the 
Balanced Budget and Emergency Deficit Control 
Act of 1985 (2 U.S.C. 905(g)(1)(A)) is amended by 
inserting after ‘‘Payments to Social Security Trust 
Funds (28–0404–0–1–651).’’ the following: 
‘‘Payments to States pursuant to section 
105(a)(2)(A) of the Gulf of Mexico Energy Security 
Act of 2006 (Public Law 109–432; 43 U.S.C. 1331 
note) (014–5535–0–2–302).’’. 
(2) APPLICABILITY.—The amendment made by 
this subsection shall apply to any sequestration 
order issued under the Balanced Budget and Emer-
gency Deficit Control Act of 1985 (2 U.S.C. 900 et 
seq.) on or after the date of enactment of this Act. 
SEC. 204. ADDRESSING PERMITS FOR TAKING OF MARINE 
MAMMALS. 
Section 101(a)(5)(D) of the Marine Mammal Protec-
tion Act of 1972 (16 U.S.C. 1371(a)(5)(D)) is amended 
as follows: 
(1) In clause (i)— 
(A) by striking ‘‘citizens of the United 
States’’ and inserting ‘‘persons’’; 
(B) by striking ‘‘within a specific geo-
graphic region’’; 
(C) by striking ‘‘of small numbers’’; 
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(D) by striking ‘‘such citizens’’ and insert-
ing ‘‘such persons’’; and 
(E) by striking ‘‘within that region’’. 
(2) In clause (ii)— 
(A) in subclause (I), by striking ‘‘, and 
other means of effecting the least practicable 
impact on such species or stock and its habi-
tat’’; 
(B) in subclause (III), by striking ‘‘re-
quirements pertaining to the monitoring and re-
porting of such taking by harassment, includ-
ing’’ and inserting ‘‘efficient and practical re-
quirements pertaining to the monitoring of such 
taking by harassment while the activity is being 
conducted and the reporting of such taking, in-
cluding, as the Secretary determines nec-
essary,’’; and 
(C) by adding at the end the following: 
‘‘Any condition imposed pursuant to subclause (I), (II), 
or (III) may not result in more than a minor change to 
the specified activity and may not alter the basic design, 
location, scope, duration, or timing of the specified activ-
ity.’’. 
(3) In clause (iii), by striking ‘‘receiving an ap-
plication under this subparagraph’’ and inserting 
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‘‘an application is accepted or required to be consid-
ered complete under subclause (I)(aa), (II)(aa), or 
(IV) of clause (viii), as applicable,’’. 
(4) In clause (vi), by striking ‘‘a determination 
of ‘least practicable adverse impact on such species 
or stock’ under clause (i)(I)’’ and inserting ‘‘condi-
tions imposed under subclause (I), (II), or (III) of 
clause (ii)’’. 
(5) By adding at the end the following: 
‘‘(viii)(I) The Secretary shall— 
‘‘(aa) accept as complete a written re-
quest for authorization under this subpara-
graph for incidental taking described in 
clause (i), by not later than 45 days after 
the date of submission of the request; or 
‘‘(bb) provide to the requester, by not 
later than 15 days after the date of sub-
mission of the request, a written notice de-
scribing any additional information re-
quired to complete the request. 
‘‘(II) If the Secretary provides notice 
under subclause (I)(bb), the Secretary shall, by 
not later than 30 days after the date of submis-
sion of the additional information described in 
the notice— 
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‘‘(aa) accept the written request for 
authorization under this subparagraph for 
incidental taking described in clause (i); or 
‘‘(bb) deny the request and provide 
the requester a written explanation of the 
reasons for the denial. 
‘‘(III) The Secretary may not make a sec-
ond request for information, request that the 
requester withdraw and resubmit the request, 
or otherwise delay a decision on the request. 
‘‘(IV) If the Secretary fails to respond to 
a request for authorization under this subpara-
graph in the manner provided in subclause (I) 
or (II), the request shall be considered to be 
complete. 
‘‘(ix)(I) At least 90 days before the expira-
tion of any authorization issued under this sub-
paragraph, the holder of such authorization 
may apply for a one-year extension of such au-
thorization. The Secretary shall grant such ex-
tension not later than 14 days after the date of 
such request on the same terms and without 
further review if there has been no substantial 
change in the activity carried out under such 
authorization nor in the status of the marine 
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mammal species or stock, as applicable, as re-
ported in the final annual stock assessment re-
ports for such species or stock. 
‘‘(II) In subclause (I), the term ‘substan-
tial change’ means a change that prevents the 
Secretary from making the required findings to 
issue an authorization under clause (i) with re-
spect to such species or stock. 
‘‘(III) The Secretary shall notify the appli-
cant of such substantial changes with specificity 
and in writing not later than 14 days after the 
applicant’s submittal of the extension request. 
‘‘(x) If the Secretary fails to make the re-
quired findings and, as appropriate, issue the 
authorization not later than 120 days after the 
application is accepted or required to be consid-
ered complete under subclause (I)(aa), (II)(aa), 
or (III) of clause (viii), as applicable, the au-
thorization is deemed to have been issued on 
the terms stated in the application and without 
further process or restrictions under this Act. 
‘‘(xi) Any taking of a marine mammal in 
compliance with an authorization under this 
subparagraph is exempt from the prohibition on 
taking in section 9 of the Endangered Species 
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Act of 1973 (16 U.S.C. 1538). Any Federal 
agency authorizing, funding, or carrying out an 
action that results in such taking, and any 
agency action authorizing such taking, is ex-
empt from the requirement to consult regarding 
potential impacts to marine mammal species or 
designated critical habitat under section 7(a)(2) 
of such Act (16 U.S.C. 1536(a)(2)).’’. 
SEC. 205. ENERGY DEVELOPMENT IN THE EASTERN GULF 
OF MEXICO. 
(a) COMPATIBILITY BETWEEN MILITARY MISSION 
AND OIL AND GAS OPERATIONS.— 
(1) 
UPDATING
MEMORANDUM
OF
AGREE-
MENT.—Not later than 270 days after the date of 
the enactment of this Act, the Secretary of the Inte-
rior and the Secretary of Defense shall update the 
memorandum of agreement entitled ‘‘Memorandum 
of Agreement Between the Department of Defense 
and the Department of the Interior on Mutual Con-
cerns on the Outer Continental Shelf’’ to ensure 
compatibility between the military mission and oil 
and gas operations in the Eastern Gulf of Mexico. 
(2) RESERVATIONS.—Nothing in this section 
affects section 12 of the Outer Continental Shelf 
Lands Act (43 U.S.C. 1341). 
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(3) EXISTING
LEASES.—The stipulations and 
restrictions developed under this subsection shall not 
apply to existing leases in the Eastern Planning 
Area. 
(b) DIRECTED LEASE SALES.— 
(1) IN GENERAL.—Notwithstanding the omis-
sion of any of these areas from the Outer Conti-
nental Shelf oil and gas leasing program approved 
by the Secretary of the Interior under section 18 of 
the Outer Continental Shelf Lands Act (43 U.S.C. 
1344), as in effect at the time of the lease sale, but 
subject to paragraph (2) of this subsection, the Sec-
retary shall offer the following areas for oil and gas 
leasing under such Act: 
(A) All acreage of the Eastern Planning 
Area that is not subject to section 104(a) of the 
Gulf of Mexico Energy Security Act of 2006 
(43 U.S.C. 1331 note), as in effect on the date 
of the enactment of this Act, by holding at least 
two lease sales before December 31, 2021. 
(B) All acreage of the Eastern Planning 
Area by holding at least one additional sale 
after June 30, 2022, and before December 31, 
2022, and at least two additional sales each 
subsequent year. 
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(2) NATIONAL
ENVIRONMENTAL
POLICY
ACT 
REQUIREMENTS.—The Secretary and all other Fed-
eral officials shall complete all actions required by 
section 102(2)(C) of the National Environmental 
Policy Act of 1969 (42 U.S.C. 4332(2)(C)) with re-
spect to such lease sales by not later than 1 year be-
fore the final lease sale conducted under paragraph 
(1). 
(3) DEFINITIONS.—In this section, the term 
‘‘Eastern Planning Area’’ means the Eastern Gulf of 
Mexico Planning Area of the Outer Continental 
Shelf, as such planning area is depicted in the docu-
ment titled ‘‘2017–2022 Outer Continental Shelf Oil 
and Gas Leasing Proposed Final Program’’, dated 
November 2016, or a subsequent oil and gas leasing 
program developed under section 18 of the Outer 
Continental Shelf Lands Act (43 U.S.C. 1344). 
(c) LEASE TERMS.— 
(1) IN GENERAL.—Section 8(b)(2) of the Outer 
Continental Shelf Lands Act (43 U.S.C. 1337(b)(2)) 
is amended to read as follows: 
‘‘(2) be for an initial period of not more than— 
‘‘(A) 5 years; 
‘‘(B) 10 years if the Secretary finds that 
a longer period is necessary to encourage explo-
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ration and development in areas with unusually 
deep water or other unusually adverse condi-
tions; or 
‘‘(C) 15 years for leases located in water 
depths of more than 1,500 meters and as long 
as— 
‘‘(i) oil or gas is produced from the 
area in paying quantities; or 
‘‘(ii) drilling or well reworking oper-
ations approved by the Secretary are con-
ducted;’’. 
(2) EXTENSION OF EXISTING LEASES.— 
(A) IN
GENERAL.—Not later than 180 
days after the date of the enactment of this 
Act, the Secretary of the Interior shall issue 
regulations under which the Secretary may ex-
tend by 5 years the term of an oil and gas lease 
under section 18 of the Outer Continental Shelf 
Lands Act (43 U.S.C. 1344) for a tract located 
in water depths of more than 1,500 meters. 
(B) APPLICATION; PAYMENT.—Regulations 
issued under this paragraph shall require— 
(i) submission of an application for 
such extension; and 
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(ii) payment of a minimum bid 
amount. 
(C) LIMITATION.—The Secretary may not 
extend the term of a lease under this paragraph 
more than once. 
(d) REPORT.— 
(1) IN GENERAL.—The Secretary of the Inte-
rior shall submit to the Committee on Natural Re-
sources of the House of Representatives and the 
Committee on Energy and Natural Resources of the 
Senate a report regarding options for sharing the 
revenue collected from oil and gas leasing in the 
Eastern Gulf of Mexico Planning Area with the Gulf 
States consistent with section 105 of the Gulf of 
Mexico Energy Security Act of 2006 (43 U.S.C. 
1331 note), as amended by section 203 of this Act. 
(2) INCLUSION.—The report shall include anal-
ysis of potential economic benefits to the Gulf States 
and recommendations for authorizing the use of the 
revenue for coastal restoration, recovering endan-
gered species, coral restoration, and mitigation of 
harmful algal blooms. 
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SEC. 206. ANNUAL LEASE SALES IN GULF OF MEXICO RE-
GION. 
Section 18 of the Outer Continental Shelf Lands Act 
(43 U.S.C. 1344) is amended by adding at the end the 
following: 
‘‘(i) ANNUAL LEASE SALES IN GULF OF MEXICO RE-
GION.— 
‘‘(1) DEFINITIONS.—In this subsection: 
‘‘(A) CENTRAL
GULF
OF
MEXICO
PLAN-
NING AREA.—The term ‘Central Gulf of Mexico 
Planning Area’ has the meaning given the term 
‘Central Planning Area’ in section 102 of the 
Gulf of Mexico Energy Security Act of 2006 
(43 U.S.C. 1331 note; Public Law 109–432). 
‘‘(B) WESTERN GULF OF MEXICO PLAN-
NING AREA.—The term ‘Western Gulf of Mex-
ico Planning Area’ means the Western Gulf of 
Mexico Planning Area of the Outer Continental 
Shelf, as designated in the document entitled 
‘Draft Proposed Program Outer Continental 
Shelf Oil and Gas Leasing Program 2007– 
2012’ and dated February 2006. 
‘‘(2) ANNUAL LEASE SALES.—Notwithstanding 
any other provision of law, beginning in fiscal year 
2022, the Secretary shall hold a minimum of 2 re-
gionwide lease sales annually in the Gulf of Mexico 
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pursuant to this Act, each of which shall include 
areas in— 
‘‘(A) the Central Gulf of Mexico Planning 
Area; and 
‘‘(B) the Western Gulf of Mexico Planning 
Area. 
‘‘(3) REQUIREMENTS.— 
‘‘(A) IN GENERAL.—In carrying out the 
lease sales under paragraph (2), the Secretary 
shall issue leases to the highest responsible 
qualified bidder or bidders. 
‘‘(B) AREAS INCLUDED IN LEASE SALES.— 
In carrying out the lease sales under paragraph 
(2), the Secretary shall include in each lease 
sale all unleased areas that are not subject to 
restrictions as of the date of the lease sale. 
‘‘(4) ENVIRONMENTAL REVIEW.— 
‘‘(A) IN GENERAL.—With respect to each 
lease sale required under paragraph (2), the 
Secretary shall conduct any environmental re-
views required by the National Environmental 
Policy Act of 1969 (42 U.S.C. 4321 et seq.). 
‘‘(B) DEADLINE.— 
‘‘(i) INDIVIDUAL REVIEW.—If the Sec-
retary conducts environmental reviews with 
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respect to a lease sale under subparagraph 
(A) for each individual lease included in 
the lease sale, the Secretary shall complete 
all environmental reviews for the lease sale, 
including by issuing a finding of no signifi-
cant impact or a record of decision, if ap-
plicable, in less than 365 calendar days. 
‘‘(ii) PROGRAMMATIC REVIEW.—If the 
Secretary conducts a programmatic envi-
ronmental review with respect to a lease 
sale under subparagraph (A) for all leases 
under the lease sale, the Secretary shall 
complete the programmatic environmental 
review, including by issuing a finding of no 
significant impact or a record of decision, 
if applicable, in less than 180 calendar 
days. 
‘‘(j) PERMITTING.— 
‘‘(1) IN GENERAL.—Pursuant to sovereign con-
tracting rights and obligations, the Secretary shall 
review and grant or deny in accordance with para-
graph (2) any application for a permit or other ap-
proval for offshore oil and natural gas exploration, 
development, and production activities under a lease 
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issued pursuant to this Act by not later than the 
earlier of— 
‘‘(A) 75 calendar days after the date on 
which the application is received by the Bureau 
of Ocean Energy Management or the Bureau of 
Safety and Environmental Enforcement; or 
‘‘(B) any other applicable deadline re-
quired by law. 
‘‘(2) APPROVAL OR DENIAL.— 
‘‘(A) IN GENERAL.—Absent clear grounds 
for denial of an application for a permit or 
other approval described in paragraph (1), the 
Secretary shall grant the permit or approval. 
‘‘(B) REQUIREMENT.—If the Secretary de-
nies an application for a permit or other ap-
proval under subparagraph (A), the Secretary 
shall provide to the applicant written notice ex-
plaining the grounds for the denial.’’. 
TITLE III—ALTERNATIVE 
ENERGY 
SEC. 301. GEOTHERMAL, SOLAR, AND WIND LEASING PRI-
ORITY AREAS. 
(a) DEFINITIONS.—In this section, the following 
terms apply: 
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(1) COVERED LAND.—The term ‘‘covered land’’ 
means land that is— 
(A) Federal land; and 
(B) not excluded from the development of 
geothermal energy under— 
(i) a land use plan established under 
the Federal Land Policy and Management 
Act of 1976 (43 U.S.C. 1701 et seq.); or 
(ii) any other Federal law. 
(2) PRIORITY AREA.—The term ‘‘priority area’’ 
means covered land identified by the land use plan-
ning process of the Bureau of Land Management as 
being a preferred location for a renewable energy 
project for solar, wind, or geothermal energy. 
(3) SOLAR DESIGNATED LEASING AREA.—The 
term ‘‘solar designated leasing area’’ means covered 
land identified by the land use planning process of 
the Bureau of Land Management as being a pre-
ferred location for a solar energy project, including 
the solar energy zones established by the 2012 West-
ern Solar Plan of the Bureau of Land Management, 
and any subsequent land use plan amendments. 
(b) DESIGNATION
OF GEOTHERMAL, SOLAR, AND 
WIND LEASING PRIORITY AREAS.— 
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(1) IN GENERAL.—The Secretary, in consulta-
tion with the Secretary of Energy, shall establish 
priority areas on covered land for geothermal, solar, 
and wind energy projects. 
(2) DEADLINE.— 
(A) GEOTHERMAL AND WIND ENERGY.— 
With respect to geothermal and wind energy, 
the Secretary shall establish priority areas as 
soon as practicable, but not later than 5 years 
after the date of enactment of this Act. 
(B) SOLAR
ENERGY.—Solar designated 
leasing areas shall be considered to be priority 
areas for solar energy leases. The Secretary 
shall establish additional priority areas for solar 
energy as soon as practicable, but not later 
than 3 years after the date of enactment of this 
Act. 
(c) CRITERIA
FOR
SELECTION.—In determining 
which covered land to designate as a priority area for geo-
thermal, solar, or wind leasing under subsection (b), the 
Secretary, in consultation with the Secretary of Energy, 
shall consider if— 
(1) the covered land is preferable for geo-
thermal, solar, or wind leasing; 
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(2) production of geothermal, solar, or wind en-
ergy on such land is economically viable, including if 
such land has access to methods of energy trans-
mission; and 
(3) the designation would be in compliance with 
section 202 of the Federal Land Policy and Manage-
ment Act of 1976 (43 U.S.C. 1712), including sub-
section (c)(9) of that section. 
(d) REVIEW
AND MODIFICATION.—Not less fre-
quently than once every 5 years, the Secretary shall— 
(1) review covered land and, if appropriate, 
make additional designations of priority areas for 
geothermal, solar, or wind leasing; and 
(2) review each area designated as a priority 
area for geothermal, solar, or wind energy leasing 
under this section and, if appropriate, remove such 
designation. 
(e) COMPLIANCE WITH THE NATIONAL ENVIRON-
MENTAL POLICY ACT.—For the purposes of this section, 
compliance with the National Environmental Policy Act 
of 1969 (42 U.S.C. 4321 et seq.) shall be accomplished— 
(1) with respect to geothermal energy, by 
supplementing the October 2008 final programmatic 
environmental impact statement for geothermal leas-
ing in the Western United States and incorporating 
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any additional regional analyses that have been com-
pleted by Federal agencies since such programmatic 
environmental impact statement was finalized; 
(2) 
with 
respect 
to 
solar 
energy, 
by 
supplementing the July 2012 final programmatic en-
vironmental impact statement for solar energy devel-
opment and incorporating any additional regional 
analyses that have been completed by Federal agen-
cies since such programmatic environmental impact 
statement was finalized; and 
(3) 
with 
respect 
to 
wind 
energy, 
by 
supplementing the July 2005 final programmatic en-
vironmental impact statement for wind energy devel-
opment and incorporating any additional regional 
analyses that have been completed by Federal agen-
cies since such programmatic environmental impact 
statement was finalized. 
(f) ADDITIONAL ENVIRONMENTAL REVIEW.—If the 
Secretary determines that additional environmental review 
under the National Environmental Policy Act of 1969 (42 
U.S.C. 4321 et seq.) is necessary for a proposed renewable 
energy project, the Secretary shall— 
(1) rely on the analysis in the programmatic en-
vironmental impact statement conducted under sub-
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section (e), to the maximum extent practicable when 
analyzing the potential impacts of the project; 
(2) complete any such environmental review 
document by not later than 364 days; and 
(3) limit any such review documents to 150 
pages in length. 
SEC. 302. GEOTHERMAL PRODUCTION ON FEDERAL LANDS. 
The Geothermal Steam Act of 1970 (30 U.S.C. 1001 
et seq.) is amended by adding at the end the following: 
‘‘SEC. 30. GEOTHERMAL EXPLORATION TEST PROJECTS. 
‘‘(a) DEFINITION OF GEOTHERMAL EXPLORATION 
TEST PROJECT.—In this section, the term ‘geothermal ex-
ploration test project’ means the drilling of a well to test 
or explore for geothermal resources on lands for which the 
Secretary has issued a lease under this Act, that— 
‘‘(1) is carried out by the holder of the lease; 
‘‘(2) causes— 
‘‘(A) less than 5 acres of soil or vegetation 
disruption at the location of each geothermal 
exploration well; and 
‘‘(B) not more than an additional 5 acres 
of soil or vegetation disruption during access or 
egress to the test site; 
‘‘(3) is developed— 
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‘‘(A) with a bore well measuring less than 
9 inches in diameter; 
‘‘(B) in a manner that does not require 
off-road motorized access other than to and 
from the well site along an identified off-road 
route; 
‘‘(C) without construction of new roads 
other than upgrading of existing drainage cross-
ings for safety purposes; 
‘‘(D) with the use of rubber-tired digging 
or drilling equipment vehicles; and 
‘‘(E) without the use of high-pressure well 
stimulation; 
‘‘(4) is completed in less than 90 days, includ-
ing the removal of any surface infrastructure from 
the site; and 
‘‘(5) requires the restoration of the project site 
not later than 3 years after the date of first explo-
ration drilling to approximately the condition that 
existed at the time the project began, unless the site 
is subsequently used as part of energy development 
under the lease. 
‘‘(b) CATEGORICAL EXCLUSION.— 
‘‘(1) IN GENERAL.—Unless extraordinary cir-
cumstances exist, a project that the Secretary deter-
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mines under subsection (c) is a geothermal explo-
ration test project shall be categorically excluded 
from the requirements for an environmental assess-
ment or an environmental impact statement under 
the National Environmental Policy Act of 1969 (42 
U.S.C. 4321 et seq.) or section 1508.4 of title 40, 
Code of Federal Regulations (or a successor regula-
tion). 
‘‘(2) EXTRAORDINARY
CIRCUMSTANCES.—The 
term ‘extraordinary circumstances’ has the meaning 
give that term in the Department of the Interior De-
partmental Manual, 516 DM 2.3A(3) and 516 DM 
2, 3 Appendix 2 (or successor provisions). 
‘‘(c) PROCESS.— 
‘‘(1) REQUIREMENT TO PROVIDE NOTICE.—A 
leaseholder shall provide notice to the Secretary of 
the leaseholder’s intent to carry out a geothermal ex-
ploration test project at least 30 days before the 
date on which drilling under the project will begin. 
‘‘(2) REVIEW AND DETERMINATION.—Not later 
than 10 days after receipt of a notice of intent 
under paragraph (1), the Secretary shall, with re-
spect to the project described in the notice of in-
tent— 
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‘‘(A) determine if the project qualifies for 
a categorical exclusion under subsection (b); 
and 
‘‘(B) notify the leaseholder of such deter-
mination. 
‘‘(3) OPPORTUNITY TO REMEDY.—If the Sec-
retary determines under paragraph (2)(A) that the 
project does not qualify for a categorical exclusion 
under subsection (b), the Secretary shall— 
‘‘(A) include in such notice clear and de-
tailed findings on any deficiencies in the project 
that resulted in such determination; and 
‘‘(B) allow the leaseholder to remedy any 
such deficiencies and resubmit the notice of in-
tent under paragraph (1).’’. 
SEC. 303. APPLICATION OF OUTER CONTINENTAL SHELF 
LANDS ACT WITH RESPECT TO TERRITORIES 
OF THE UNITED STATES. 
(a) IN GENERAL.—Section 2 of the Outer Conti-
nental Shelf Lands Act (43 U.S.C. 1331) is amended— 
(1) in subsection (a), by inserting before the 
semicolon the following: ‘‘or lying within the exclu-
sive economic zone of the United States and the 
Outer Continental Shelf adjacent to any territory or 
possession of the United States, except that such 
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term shall not include any area conveyed by Con-
gress to a territorial government for administra-
tion’’; 
(2) in subsection (p), by striking ‘‘and’’ after 
the semicolon at the end; 
(3) in subsection (q), by striking the period at 
the end and inserting ‘‘; and’’; and 
(4) by adding at the end the following: 
‘‘(r) The term ‘State’ means the several States, the 
Commonwealth of Puerto Rico, Guam, American Samoa, 
the United States Virgin Islands, and the Commonwealth 
of the Northern Mariana Islands.’’. 
(b) EXCLUSIONS.—Section 18 of the Outer Conti-
nental Shelf Lands Act (43 U.S.C. 1344), as amended by 
section 206 of this Act, is further amended by adding at 
the end the following: 
‘‘(k) EXCLUSIONS.—This section shall not apply to 
the scheduling of lease sales in the Outer Continental 
Shelf adjacent to the territories and possessions of the 
United States.’’. 
SEC. 304. DISPOSITION OF REVENUES WITH RESPECT TO 
TERRITORIES OF THE UNITED STATES. 
Section 9 of the Outer Continental Shelf Lands Act 
(43 U.S.C. 1338) is amended— 
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(1) by striking ‘‘All rentals’’ and inserting the 
following: 
‘‘(a) IN GENERAL.—Except as otherwise provided in 
law, all rentals’’; and 
(2) by adding at the end the following: 
‘‘(b) DISPOSITION OF REVENUES TO TERRITORIES 
OF THE UNITED STATES.—Of the bonuses, rentals, royal-
ties, and other sums paid to the Secretary under this Act 
from a lease for an area of land on the Outer Continental 
Shelf adjacent to a territory and lying within the exclusive 
economic zone of the United States pertaining to such ter-
ritory, and not otherwise obligated or appropriated— 
‘‘(1) 50 percent shall be deposited in the Treas-
ury and credited to miscellaneous receipts; 
‘‘(2) 12.5 percent shall be deposited in the 
Coral Reef Conservation Fund established under 
section 211 of the Coral Reef Conservation Act of 
2000; and 
‘‘(3) 37.5 percent shall be disbursed to terri-
tories of the United States in an amount for each 
territory (based on a formula established by the Sec-
retary by regulation) that is inversely proportional to 
the respective distance between the point on the 
coastline of the territory that is closest to the geo-
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graphic center of the applicable leased tract and the 
geographic center of the leased tract.’’. 
SEC. 305. WIND LEASE SALES FOR AREAS OF OUTER CONTI-
NENTAL SHELF. 
(a) CONDITIONAL WIND LEASE SALES IN TERRI-
TORIES OF THE UNITED STATES.—The Outer Continental 
Shelf Lands Act (43 U.S.C. 1331 et seq.) is amended by 
adding at the end the following: 
‘‘SEC. 33. WIND LEASE SALES FOR AREAS OF OUTER CONTI-
NENTAL SHELF. 
‘‘(a) AUTHORIZATION.—The Secretary may conduct 
wind lease sales on the Outer Continental Shelf. 
‘‘(b) WIND LEASE SALE PROCEDURE.—Any wind 
lease sale conducted under this section shall be considered 
a lease under section 8(p). 
‘‘(c) WIND LEASE SALES OFF COASTS OF TERRI-
TORIES OF THE UNITED STATES.— 
‘‘(1) STUDY ON FEASIBILITY OF CONDUCTING 
WIND LEASE SALES.— 
‘‘(A) IN
GENERAL.—The Secretary shall 
conduct a study on the feasibility, including the 
technological and long-term economic feasibility, 
of conducting wind lease sales on an area of the 
Outer Continental Shelf within the territorial 
jurisdiction of American Samoa, Guam, the 
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Commonwealth of the Northern Mariana Is-
lands, the Commonwealth of Puerto Rico, and 
the United States Virgin Islands. 
‘‘(B) CONSULTATION.—In conducting the 
study required in paragraph (A), the Secretary 
shall consult— 
‘‘(i) the National Laboratories, as 
that term is defined in section 2(3) of the 
Energy Policy Act of 2005 (42 U.S.C. 
15801(3)); 
‘‘(ii) the Governor of each of Amer-
ican Samoa, Guam, the Commonwealth of 
the Northern Mariana Islands, the Com-
monwealth of Puerto Rico, and the United 
States Virgin Islands; and 
‘‘(iii) the National Oceanic and At-
mospheric Administration, including the 
Office of National Marine Sanctuaries and 
the National Marine Fisheries Service. 
‘‘(C) PUBLICATION.—The findings and de-
terminations of the study required in subpara-
graph (A) shall be published in the Federal 
Register and open for public comment for not 
fewer than 60 days. 
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‘‘(D) SUBMISSION OF RESULTS.—Not later 
than 18 months after the date of enactment of 
this section, the Secretary shall submit the re-
sults of the study conducted under subpara-
graph (A) to— 
‘‘(i) the Committee on Energy and 
Natural Resources of the Senate; 
‘‘(ii) the Committee on Natural Re-
sources of the House of Representatives; 
and 
‘‘(iii) each of the delegates or resident 
commissioner to the House of Representa-
tives from American Samoa, Guam, the 
Commonwealth of the Northern Mariana 
Islands, the Commonwealth of Puerto 
Rico, and the United States Virgin Islands, 
respectively. 
‘‘(E) PUBLIC AVAILABILITY.—The findings 
and determinations of the study published 
under subparagraph (C) shall be made readily 
available on a public website. 
‘‘(2) CALL
FOR
INFORMATION
AND
NOMINA-
TIONS.—The Secretary shall issue a call for informa-
tion and nominations for proposed wind lease sales 
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for areas determined to be feasible under the study 
conducted under paragraph (1). 
‘‘(3) CONDITIONAL WIND LEASE SALES.— 
‘‘(A) IN
GENERAL.—For each territory 
specified in paragraph (1), the Secretary shall 
conduct not less than one wind lease sale on an 
area of the Outer Continental Shelf within the 
territorial jurisdiction of each such territory 
that meets each of the following criteria: 
‘‘(i) The study required under para-
graph (1) concluded that a wind lease sale 
on the area is feasible. 
‘‘(ii) The Secretary has determined 
that the call for information has generated 
sufficient interest for the area. 
‘‘(iii) The Secretary has consulted 
with the Secretary of Defense regarding 
such a sale. 
‘‘(B) EXCEPTION.—If no area of the Outer 
Continental Shelf within the territorial jurisdic-
tion of a territory meets each of the criteria in 
clauses (i) through (iii) of subparagraph (A), 
the requirement under subparagraph (A) shall 
not apply to such territory.’’. 
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SEC. 306. ESTABLISHMENT OF CORAL REEF CONSERVA-
TION FUND. 
(a) IN GENERAL.—The Coral Reef Conservation Act 
of 2000 (16 U.S.C. 6401 et seq.) is amended by adding 
at the end the following: 
‘‘SEC. 211. CORAL REEF CONSERVATION FUND. 
‘‘(a) ESTABLISHMENT.—There is established in the 
Treasury the Coral Reef Conservation Fund, (in this sec-
tion referred to as the ‘Fund’). 
‘‘(b) DEPOSITS.—For each fiscal year, there shall be 
deposited in the Fund the portion of such revenues due 
and payable to the United States under subsection (b)(2) 
of section 9 of the Outer Continental Shelf Lands Act (43 
U.S.C. 1338). 
‘‘(c) USES.—Amounts deposited in the Fund under 
this section and appropriated to the Secretary of Com-
merce under subsection (f) shall be used by the Secretary 
of Commerce to carry out this Act, with priority given to 
carrying out sections 204 and 206. 
‘‘(d) AVAILABILITY.—Amounts deposited in the Fund 
shall remain in the Fund until appropriated by Congress. 
‘‘(e) REPORTING.—The President shall include with 
the proposed budget for the United States Government 
submitted to Congress for a fiscal year a comprehensive 
statement of deposits into the Fund during the previous 
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fiscal year and estimated requirements during the fol-
lowing fiscal year for appropriations from the Fund. 
‘‘(f) AUTHORIZATION OF APPROPRIATIONS.—There 
is authorized to be appropriated from the Fund to the Sec-
retary of Commerce, an amount equal to the amount de-
posited in the Fund in the previous fiscal year. 
‘‘(g) NO
LIMITATION.—Appropriations from the 
Fund pursuant to this section may be made without fiscal 
year limitation.’’. 
(b) RENAMING OF EXISTING FUND.—Section 205 of 
the Coral Reef Conservation Act of 2000 (16 U.S.C. 6404) 
is amended— 
(1) in the heading, by striking ‘‘CORAL REEF 
CONSERVATION
FUND’’ and inserting ‘‘CORAL 
REEF PUBLIC-PRIVATE PARTNERSHIP’’; 
(2) in subsection (a)— 
(A) in the subsection heading, by striking 
‘‘FUND’’ 
and 
inserting 
‘‘PUBLIC-PRIVATE 
PARTNERSHIP’’; and 
(B) by striking ‘‘, hereafter referred to as 
the Fund,’’; and 
(3) in subsection (b), by striking ‘‘Fund’’ and 
inserting ‘‘separate interest bearing account’’. 
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SEC. 307. PARITY IN OFFSHORE WIND REVENUE SHARING. 
(a) PAYMENTS AND REVENUES.—Section 8(p)(2) of 
the Outer Continental Shelf Lands Act (43 U.S.C. 
1337(p)(2)) is amended— 
(1) in subparagraph (A), by striking ‘‘(A) The 
Secretary’’ and inserting the following: 
‘‘(A) IN
GENERAL.—Subject to subpara-
graphs (B) and (C), the Secretary’’; 
(2) in subparagraph (B), by striking ‘‘(B) The 
Secretary’’ and inserting the following: 
‘‘(B) DISPOSITION
OF
REVENUES
FOR 
PROJECTS LOCATED WITHIN 3 NAUTICAL MILES 
SEAWARD OF STATE SUBMERGED LAND.—The 
Secretary’’; and 
(3) by adding at the end the following: 
‘‘(C) DISPOSITION OF REVENUES FOR OFF-
SHORE WIND PROJECTS IN CERTAIN AREAS.— 
‘‘(i) DEFINITIONS.—In this subpara-
graph: 
‘‘(I) COVERED OFFSHORE WIND 
PROJECT.—The term ‘covered off-
shore wind project’ means a wind 
powered electric generation project in 
a wind energy area on the outer Con-
tinental Shelf that is not wholly or 
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partially located within an area sub-
ject to subparagraph (B). 
‘‘(II) 
ELIGIBLE
STATE.—The 
term ‘eligible State’ means a State a 
point on the coastline of which is lo-
cated within 75 miles of the geo-
graphic center of the covered offshore 
wind project. 
‘‘(ii) REQUIREMENT.— 
‘‘(I) IN GENERAL.—Of the oper-
ating fees, rentals, bonuses, royalties, 
and other payments that are paid to 
the Secretary under subparagraph (A) 
from covered offshore wind projects— 
‘‘(aa) 12.5 percent shall be 
deposited in the Treasury and 
credited 
to 
miscellaneous 
re-
ceipts; 
‘‘(bb) 37.5 percent shall be 
deposited in the North American 
Wetlands Conservation Fund; 
‘‘(cc) 50 percent shall be de-
posited in a special account in 
the Treasury, from which the 
Secretary, subject to subclause 
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pbinns on DSKJLVW7X2PROD with BILLS
(II), shall disburse to each eligi-
ble State an amount (based on a 
formula established by the Sec-
retary of the Interior by rule-
making not later than 180 days 
after the date of enactment of 
the American Energy First Act) 
that is inversely proportional to 
the 
respective 
distances 
be-
tween— 
‘‘(AA) the point on the 
coastline of each eligible 
State that is closest to the 
geographic center of the ap-
plicable leased tract; and 
‘‘(BB) the geographic 
center of the leased tract. 
‘‘(II) WIND
REVENUE
SHARING 
ALLOCATIONS.— 
‘‘(aa) 
MINIMUM
ALLOCA-
TION.—The amount allocated to 
an eligible State each fiscal year 
under item (cc) of subclause (I) 
shall be at least 10 percent of the 
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amounts available under that 
item. 
‘‘(bb) PAYMENTS TO COAST-
AL POLITICAL SUBDIVISIONS.— 
‘‘(AA) IN
GENERAL.— 
The Secretary shall pay 20 
percent 
of 
the 
allocable 
share of each Gulf producing 
State, as determined under 
paragraphs (1) and (2) of 
section 105(b) of the Gulf of 
Mexico Energy Security Act 
(43 U.S.C. 1331 note), to 
the coastal political subdivi-
sions of the Gulf producing 
State. 
‘‘(BB) ALLOCATION.— 
The amount paid by the 
Secretary to coastal political 
subdivisions shall be allo-
cated to each coastal polit-
ical subdivision in accord-
ance 
with 
subparagraphs 
(B), (C), and (E) of section 
31(b)(4) of the Outer Conti-
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