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other regulations that may provide royalty incentives
for natural gas produced from deep wells on oil and
gas leases issued pursuant to, or regulated under, the
Outer Continental Shelf Lands Act (43 U.S.C. 1331
et seq.), the Secretary shall issue regulations granting
royalty relief suspension volumes of not less than
35,000,000,000 cubic feet with respect to the produc-
tion of natural gas from ultra deep wells on leases
issued in shallow waters located in the Gulf of Mexico
wholly west of 87°, 30’’ West longitude that are issued
before the date that is 180 days after the date of en-
actment of this Act.
(2) SUSPENSION VOLUMES.—The Secretary may
grant suspension volumes of less than 35,000,000,000
cubic feet in any case in which—
(A) the ultra deep well is a sidetrack; or
(B) the lease has previously produced from
wells with a perforated interval the top of which
is at least 15,000 feet true vertical depth below
the datum at mean sea level.
(c) LIMITATION.—The Secretary shall not grant roy-
alty incentives under this section if the average annual nat-
ural gas price on the New York Mercantile Exchange exceeds
a threshold price specified, and adjusted for inflation, by
the Secretary.
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(d) APPLICABILITY.—
(1) IN GENERAL.—Royalty incentives under this
subsection apply only to natural gas production from
ultra deep wells that are drilled after the date of en-
actment of this Act.
(2) REVIEW AND SUSPENSION.—Not earlier than
10 years after the date of enactment of this Act, the
Secretary may—
(A) review the relief granted under this sec-
tion; and
(B) by regulation, modify or suspend the re-
lief.
(e) EFFECTIVE DATE.—This section takes effect on Oc-
tober 1, 2006.
SEC. 315. ROYALTY RELIEF FOR DEEP WATER PRODUCTION.
(a) IN GENERAL.—Subject to subsections (b) and (c),
for each tract located in water depths of greater than 400
meters in the Western and Central Planning Area of the
Gulf of Mexico (including the portion of the Eastern Plan-
ning Area of the Gulf of Mexico encompassing whole lease
blocks lying west of 87 degrees, 30 minutes West longitude),
any oil or gas lease sale under the Outer Continental Shelf
Lands Act (43 U.S.C. 1331 et seq.) occurring during the
5-year period beginning on the date of enactment of this
Act shall use the bidding system authorized under section
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8(a)(1)(H) of the Outer Continental Shelf Lands Act (43
U.S.C. 1337(a)(1)(H)).
(b) SUSPENSION OF ROYALTIES.—The suspension of
royalties under subsection (a) shall be established at a vol-
ume of not less than—
(1) 5,000,000 barrels of oil equivalent for each
lease in water depths of 400 meters or more but less
than 800 meters;
(2) 9,000,000 barrels of oil equivalent for each
lease in water depths of 800 meters or more but not
greater than 1,600 meters; and
(3) 12,000,000 barrels of oil equivalent for each
lease in water depths greater than 1,600 meters.
(c) LIMITATION.—The Secretary may place limitations
on royalty relief granted under this section based on market
price.
SEC. 316. ALASKA OFFSHORE ROYALTY SUSPENSION.
Section 8(a)(3)(B) of the Outer Continental Shelf
Lands Act (43 U.S.C. 1337(a)(3)(B)) is amended by insert-
ing ‘‘and in the Planning Areas offshore Alaska,’’ after
‘‘West longitude,’’.
SEC. 317. OIL AND GAS LEASING IN THE NATIONAL PETRO-
LEUM RESERVE IN ALASKA.
(a) TRANSFER OF AUTHORITY.—
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(1) REDESIGNATION.—The Naval Petroleum Re-
serves Production Act of 1976 (42 U.S.C. 6501 et seq.)
is amended by redesignating section 107 (42 U.S.C.
6507) as section 108.
(2) TRANSFER.—The matter under the heading
‘‘EXPLORATION OF NATIONAL PETROLEUM RESERVE IN
ALASKA’’ under the heading ‘‘ENERGY
AND MIN-
ERALS’’ of title I of Public Law 96–514 (42 U.S.C.
6508) is—
(A) transferred to the Naval Petroleum Re-
serves Production Act of 1976 (42 U.S.C. 6501
et seq.);
(B) redesignated as section 107 of that Act;
and
(C) moved so as to appear after section 106
of that Act (42 U.S.C. 6506).
(b) COMPETITIVE LEASING.—Section 107 of the Naval
Petroleum Reserves Production Act of 1976 (as amended by
subsection (a)(2)) is amended—
(1) by striking the heading and all that follows
through ‘‘Provided, That (1) activities’’ and inserting
the following:
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‘‘SEC. 107. COMPETITIVE LEASING OF OIL AND GAS.
‘‘(a) IN GENERAL.—The Secretary shall conduct an ex-
peditious program of competitive leasing of oil and gas in
the Reserve in accordance with this Act.
‘‘(b) MITIGATION OF ADVERSE EFFECTS.—
‘‘(1) IN GENERAL.—Activities’’;
(2) in subsection (b)(1) (as designated by para-
graph (1)), by striking ‘‘to mitigate’’ and inserting
‘‘to prevent to the extent practicable, and to miti-
gate,’’;
(3) by striking ‘‘Alaska (the Reserve); (2) the’’
and inserting ‘‘Alaska.
‘‘(2) CERTAIN RESOURCES AND FACILITIES.—In
carrying out the leasing program under this section,
the Secretary shall minimize, to the extent prac-
ticable, the impact to surface resources and consoli-
date facilities.
‘‘(c) LAND
USE
PLANNING; BLM WILDERNESS
STUDY.—The’’;
(4) by striking ‘‘Reserve; (3) the’’ and inserting
‘‘Reserve.
‘‘(d) FIRST LEASE SALE.—The;’’;
(5) by striking ‘‘4332); (4) the’’ and inserting
‘‘4321 et seq.).
‘‘(e) WITHDRAWALS.—The’’;
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(6) by striking ‘‘herein; (5) bidding’’ and insert-
ing ‘‘under this section.
‘‘(f) BIDDING SYSTEMS.—Bidding’’;
(7) by striking ‘‘629); (6) lease’’ and inserting
‘‘629).
‘‘(g) GEOLOGICAL STRUCTURES.—Lease’’;
(8) by striking ‘‘structures; (7) the’’ and insert-
ing ‘‘structures.
‘‘(h) SIZE OF LEASE TRACTS.—The’’;
(9) by striking ‘‘Secretary; (8)’’ and all that fol-
lows through ‘‘Drilling, production,’’ and inserting
‘‘Secretary.
‘‘(i) TERMS.—
‘‘(1) IN GENERAL.—Each lease shall be issued for
an initial period of not more than 10 years, and shall
be extended for so long thereafter as oil or gas is pro-
duced from the lease in paying quantities or drilling
or reworking operations, as approved by the Sec-
retary, are conducted on the leased land.
‘‘(2) TERMINATION.—No lease issued under this
section covering lands capable of producing oil or gas
in paying quantities shall expire because the lessee
fails to produce the same unless the lessee is allowed
a reasonable time, which shall be not less than 60
days after notice by registered or certified mail, with-
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in which to place the lands in producing status or
unless, after such status is established, production is
discontinued on the leased premises without permis-
sion granted by the Secretary under the provisions of
this Act.
‘‘(3) RENEWAL
OF
LEASES
WITHOUT
DISCOV-
ERIES.—At the end of the primary term of a lease,
the Secretary shall renew for one additional 10-year
term a lease that does not meet the requirements of
paragraph (1) if the lessee submits to the Secretary
an application for renewal not later than 60 days be-
fore the expiration of the primary lease, pays the Sec-
retary a renewal fee of $100 per acre of leased land,
and—
‘‘(A) the lessee provides evidence, and the
Secretary agrees that, the lessee has diligently
pursued exploration that warrants continuation
with the intent of continued exploration or fu-
ture potential development of the leased land; or
‘‘(B) all or part of the lease
‘‘(i) is part of a unit agreement cov-
ering a lease described in subparagraph (A);
and
‘‘(ii) has not been previously con-
tracted out of the unit.
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‘‘(4) APPLICABILITY.—This subsection applies to
a lease that is in effect on or after the date of enact-
ment of the Energy Policy Act of 2005.
‘‘(j) UNIT AGREEMENTS.—
‘‘(1) IN GENERAL.—For the purpose of conserva-
tion of the natural resources of all or part of any oil
or gas pool, field, reservoir, or like area, lessees (in-
cluding representatives) of the pool, field, reservoir, or
like area may unite with each other, or jointly or sep-
arately with others, in collectively adopting and oper-
ating under a unit agreement for all or part of the
pool, field, reservoir, or like area (whether or not any
other part of the oil or gas pool, field, reservoir, or
like area is already subject to any cooperative or unit
plan of development or operation), if the Secretary
determines the action to be necessary or advisable in
the public interest. In determining the public interest,
the Secretary shall, among other things, examine the
extent to which the unit agreement will minimize the
impact to surface resources of the leases and will fa-
cilitate consolidation of facilities.
‘‘(2) CONSULTATION.—In making a determina-
tion under paragraph (1), the Secretary shall consult
with the State of Alaska or a Regional Corporation
(as defined in section 3 of the Alaska Native Claims
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Settlement Act (43 U.S.C. 1602)) with respect to the
creation or expansion of units that include acreage in
which the State of Alaska or the Regional Corpora-
tion has an interest in the mineral estate.
‘‘(3) 
PRODUCTION
ALLOCATION
METHOD-
OLOGY.—(A) The Secretary may use a production al-
location methodology for each participating area
within a unit that includes solely Federal land in the
Reserve.
‘‘(B) The Secretary shall use a production allo-
cation methodology for each participating area with-
in a unit that includes Federal land in the Reserve
and non-Federal land based on the characteristics of
each specific oil or gas pool, field, reservoir, or like
area to take into account reservoir heterogeneity and
area variation in reservoir producibility across di-
verse leasehold interests. The implementation of the
foregoing production allocation methodology shall be
controlled by agreement among the affected lessors
and lessees.
‘‘(4) BENEFIT OF OPERATIONS.—Drilling, pro-
duction,’’;
(10) by striking ‘‘When separate’’ and inserting
the following:
‘‘(5) POOLING.—If separate’’;
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(11) by inserting ‘‘(in consultation with the own-
ers of the other land)’’ after ‘‘determined by the Sec-
retary of the Interior’’;
(12) by striking ‘‘thereto; (10) to’’ and all that
follows through ‘‘the terms provided therein’’ and in-
serting ‘‘to the agreement.
‘‘(k) EXPLORATION INCENTIVES.—
‘‘(1) IN GENERAL.—
‘‘(A) WAIVER, SUSPENSION, OR
REDUC-
TION.—To encourage the greatest ultimate recov-
ery of oil or gas or in the interest of conserva-
tion, the Secretary may waive, suspend, or re-
duce the rental fees or minimum royalty, or re-
duce the royalty on an entire leasehold (includ-
ing on any lease operated pursuant to a unit
agreement), whenever (after consultation with the
State of Alaska and the North Slope Borough of
Alaska and the concurrence of any Regional Cor-
poration for leases that include land that was
made available for acquisition by the Regional
Corporation under the provisions of section
1431(o) of the Alaska National Interest Lands
Conservation Act (16 U.S.C. 3101 et seq.)) in the
judgment of the Secretary it is necessary to do
so to promote development, or whenever in the
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judgment of the Secretary the leases cannot be
successfully operated under the terms provided
therein.
‘‘(B) APPLICABILITY.—This paragraph ap-
plies to a lease that is in effect on or after the
date of enactment of the Energy Policy Act of
2005.’’;
(13) by striking ‘‘The Secretary is authorized to’’
and inserting the following:
‘‘(2) SUSPENSION OF OPERATIONS AND PRODUC-
TION.—The Secretary may’’;
(14) by striking ‘‘In the event’’ and inserting the
following:
‘‘(3) SUSPENSION OF PAYMENTS.—If’’;
(15) by striking ‘‘thereto; and (11) all’’ and in-
serting ‘‘to the lease.
‘‘(l) RECEIPTS.—All’’;
(16) by redesignating subparagraphs (A), (B),
and (C) as paragraphs (1), (2), and (3), respectively;
(17) by striking ‘‘Any agency’’ and inserting the
following:
‘‘(m) EXPLORATIONS.—Any agency’’;
(18) by striking ‘‘Any action’’ and inserting the
following:
‘‘(n) ENVIRONMENTAL IMPACT STATEMENTS.—
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‘‘(1) JUDICIAL REVIEW.—Any action’’;
(19) by striking ‘‘The detailed’’ and inserting the
following:
‘‘(2) INITIAL LEASE SALES.—The detailed’’;
(20) by striking ‘‘section 104(b) of the Naval Pe-
troleum Reserves Production Act of 1976 (90 Stat.
304; 42 U.S.C. 6504)’’ and inserting ‘‘section
104(a)’’; and
(21) by adding at the end the following:
‘‘(o) REGULATIONS.—As soon as practicable after the
date of enactment of the Energy Policy Act of 2005, the
Secretary shall issue regulations to implement this section.
‘‘(p) WAIVER
OF ADMINISTRATION
FOR CONVEYED
LANDS.—
‘‘(1) IN
GENERAL.—Notwithstanding section
14(g) of the Alaska Native Claims Settlement Act (43
U.S.C. 1613(g)), the Secretary of the Interior shall
waive administration of any oil and gas lease to the
extent that the lease covers any land in the Reserve
in which all of the subsurface estate is conveyed to the
Arctic Slope Regional Corporation (referred to in this
subsection as the ‘Corporation’).
‘‘(2) PARTIAL CONVEYANCE.—
‘‘(A) IN GENERAL.—In a case in which a
conveyance of a subsurface estate described in
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paragraph (1) does not include all of the land
covered by the oil and gas lease, the person that
owns the subsurface estate in any particular por-
tion of the land covered by the lease shall be enti-
tled to all of the revenues reserved under the lease
as to that portion, including, without limitation,
all the royalty payable with respect to oil or gas
produced from or allocated to that portion.
‘‘(B) SEGREGATION OF LEASE.—In a case
described in subparagraph (A), the Secretary of
the Interior shall—
‘‘(i) segregate the lease into 2 leases, 1
of which shall cover only the subsurface es-
tate conveyed to the Corporation; and
‘‘(ii) waive administration of the lease
that covers the subsurface estate conveyed to
the Corporation.
‘‘(C) NO CHANGE IN LEASE OBLIGATIONS.—
The segregation of the lease described in subpara-
graph (B)(i) has no effect on the obligations of
the lessee under either of the resulting leases, in-
cluding obligations relating to operations, pro-
duction, or other circumstances (other than pay-
ment of rentals or royalties).
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‘‘(3) AUTHORITY TO MANAGE FEDERALLY OWNED
SURFACE ESTATE.—Nothing in this subsection limits
the authority of the Secretary of the Interior to man-
age the federally-owned surface estate within the Re-
serve.’’.
(c) CONFORMING AMENDMENTS.—Section 104 of the
Naval Petroleum Reserves Production Act of 1976 (42
U.S.C. 6504) is amended—
(1) by striking subsection (a); and
(2) by redesignating subsections (b) through (d)
as subsections (a) through (c), respectively.
SEC. 318. NORTH SLOPE SCIENCE INITIATIVE.
(a) ESTABLISHMENT.—
(1) IN GENERAL.—The Secretary of the Interior
shall establish a long-term initiative to be known as
the ‘‘North Slope Science Initiative’’ (referred to in
this section as the ‘‘Initiative’’).
(2) PURPOSE.—The purpose of the Initiative
shall be to implement efforts to coordinate collection
of scientific data that will provide a better under-
standing of the terrestrial, aquatic, and marine eco-
systems of the North Slope of Alaska.
(b) OBJECTIVES.—To ensure that the Initiative is con-
ducted through a comprehensive science strategy and imple-
mentation plan, the Initiative shall, at a minimum—
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(1) identify and prioritize information needs for
inventory, monitoring, and research activities to ad-
dress the individual and cumulative effects of past,
ongoing, and anticipated development activities and
environmental change on the North Slope;
(2) develop an understanding of information
needs for regulatory and land management agencies,
local governments, and the public;
(3) focus on prioritization of pressing natural
resource management and ecosystem information
needs, coordination, and cooperation among agencies
and organizations;
(4) coordinate ongoing and future inventory,
monitoring, and research activities to minimize du-
plication of effort, share financial resources and ex-
pertise, and assure the collection of quality informa-
tion;
(5) identify priority needs not addressed by
agency science programs in effect on the date of enact-
ment of this Act and develop a funding strategy to
meet those needs;
(6) provide a consistent approach to high caliber
science, including inventory, monitoring, and re-
search;
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(7) maintain and improve public and agency ac-
cess to—
(A) accumulated and ongoing research; and
(B) contemporary and traditional local
knowledge; and
(8) ensure through appropriate peer review that
the science conducted by participating agencies and
organizations is of the highest technical quality.
(c) MEMBERSHIP.—
(1) IN GENERAL.—To ensure comprehensive col-
lection of scientific data, in carrying out the Initia-
tive, the Secretary shall consult and coordinate with
Federal, State, and local agencies that have respon-
sibilities for land and resource management across the
North Slope.
(2) COOPERATIVE AGREEMENTS.—The Secretary
shall enter into cooperative agreements with the State
of Alaska, the North Slope Borough, the Arctic Slope
Regional Corporation, and other Federal agencies as
appropriate to coordinate efforts, share resources, and
fund projects under this section.
(d) SCIENCE TECHNICAL ADVISORY PANEL.—
(1) IN GENERAL.—The Initiative shall include a
panel to provide advice on proposed inventory, moni-
toring, and research functions.
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(2) MEMBERSHIP.—The panel described in para-
graph (1) shall consist of a representative group of
not more than 15 scientists and technical experts
from diverse professions and interests, including the
oil and gas industry, subsistence users, Native Alas-
kan entities, conservation organizations, wildlife
management organizations, and academia, as deter-
mined by the Secretary.
(e) REPORTS.—Not later than 3 years after the date
of enactment of this section and each year thereafter, the
Secretary shall publish a report that describes the studies
and findings of the Initiative.
(f) AUTHORIZATION OF APPROPRIATIONS.—There are
authorized to be appropriated such sums as are necessary
to carry out this section.
SEC. 319. ORPHANED, ABANDONED, OR IDLED WELLS ON
FEDERAL LAND.
(a) IN GENERAL.—The Secretary, in cooperation with
the Secretary of Agriculture, shall establish a program not
later than 1 year after the date of enactment of this Act
to remediate, reclaim, and close orphaned, abandoned, or
idled oil and gas wells located on land administered by the
land management agencies within the Department of the
Interior and the Department of Agriculture.
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(b) ACTIVITIES.—The program under subsection (a)
shall—
(1) include a means of ranking orphaned, aban-
doned, or idled wells sites for priority in remediation,
reclamation, and closure, based on public health and
safety, potential environmental harm, and other land
use priorities;
(2) provide for identification and recovery of the
costs of remediation, reclamation, and closure from
persons or other entities currently providing a bond
or other financial assurance required under State or
Federal law for an oil or gas well that is orphaned,
abandoned, or idled; and
(3) provide for recovery from the persons or enti-
ties identified under paragraph (2), or their sureties
or guarantors, of the costs of remediation, reclama-
tion, and closure of such wells.
(c) COOPERATION AND CONSULTATIONS.—In carrying
out the program under subsection (a), the Secretary shall—
(1) work cooperatively with the Secretary of Ag-
riculture and the States within which Federal land is
located; and
(2) consult with the Secretary of Energy and the
Interstate Oil and Gas Compact Commission.
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(d) PLAN.—Not later than 1 year after the date of en-
actment of this Act, the Secretary, in cooperation with the
Secretary of Agriculture, shall submit to Congress a plan
for carrying out the program under subsection (a).
(e) IDLED WELL.—For the purposes of this section, a
well is idled if—
(1) the well has been nonoperational for at least
7 years; and
(2) there is no anticipated beneficial use for the
well.
(f) TECHNICAL ASSISTANCE PROGRAM FOR NON-FED-
ERAL LAND.—
(1) IN GENERAL.—The Secretary of Energy shall
establish a program to provide technical and finan-
cial assistance to oil and gas producing States to fa-
cilitate State efforts over a 10-year period to ensure
a practical and economical remedy for environmental
problems caused by orphaned or abandoned oil and
gas exploration or production well sites on State or
private land.
(2) ASSISTANCE.—The Secretary of Energy shall
work with the States, through the Interstate Oil and
Gas Compact Commission, to assist the States in
quantifying and mitigating environmental risks of
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onshore orphaned or abandoned oil or gas wells on
State and private land.
(3) ACTIVITIES.—The program under paragraph
(1) shall include—
(A) mechanisms to facilitate identification,
if feasible, of the persons currently providing a
bond or other form of financial assurance re-
quired under State or Federal law for an oil or
gas well that is orphaned or abandoned;
(B) criteria for ranking orphaned or aban-
doned well sites based on factors such as public
health and safety, potential environmental harm,
and other land use priorities;
(C) information and training programs on
best practices for remediation of different types
of sites; and
(D) funding of State mitigation efforts on a
cost-shared basis.
(g) AUTHORIZATION OF APPROPRIATIONS.—
(1) IN GENERAL.—There are authorized to be ap-
propriated to carry out this section $25,000,000 for
each of fiscal years 2006 through 2010.
(2) USE.—Of the amounts authorized under
paragraph (1), $5,000,000 are authorized for each fis-
cal year for activities under subsection (f).
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SEC. 320. COMBINED HYDROCARBON LEASING.
(a) SPECIAL PROVISIONS REGARDING LEASING.—Sec-
tion 17(b)(2) of the Mineral Leasing Act (30 U.S.C.
226(b)(2)) is amended—
(1) by inserting ‘‘(A)’’ after ‘‘(2)’’;
(2) in the first sentence of subparagraph (A) (as
designated by paragraph (1)), by striking ‘‘they shall
be’’ and inserting ‘‘the lands may be’’; and
(3) by adding at the end the following:
‘‘(B) For any area that contains any combination of
tar sand and oil or gas (or both), the Secretary may issue
under this Act, separately—
‘‘(i) a lease for exploration for and extraction of
tar sand; and
‘‘(ii) a lease for exploration for and development
of oil and gas.
‘‘(C) A lease described in subparagraph (B) shall have
provisions addressing the appropriate accommodation of re-
sources.
‘‘(D) A lease issued for tar sand development shall be
issued using the same bidding process, annual rental, and
posting period as a lease issued for oil and gas, except that
the minimum acceptable bid required for a lease issued for
tar sand shall be $2 per acre.’’.
(b) CONFORMING AMENDMENT.—Section 17(b)(1)(B)
of the Mineral Leasing Act (30 U.S.C. 226(b)(1)(B)) is
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amended in the second sentence by inserting ‘‘subject to
paragraph (2)(B),’’ after ‘‘Thereafter,’’.
(c) REGULATIONS.—Not later than 45 days after the
date of enactment of this Act, the Secretary of the Interior
shall issue final regulations to implement the amendments
made by this section.
SEC. 321. ALTERNATE ENERGY-RELATED USES ON THE
OUTER CONTINENTAL SHELF.
(a) AMENDMENT
TO OUTER CONTINENTAL SHELF
LANDS ACT.—Section 8 of the Outer Continental Shelf
Lands Act (43 U.S.C. 1337) is amended by adding at the
end the following:
‘‘(p) LEASES, EASEMENTS, OR RIGHTS-OF-WAY FOR
ENERGY AND RELATED PURPOSES.—
‘‘(1) IN GENERAL.—The Secretary, in consulta-
tion with the Secretary of the Department in which
the Coast Guard is operating and other relevant de-
partments and agencies of the Federal Government,
may grant a lease, easement, or right-of-way on the
outer Continental Shelf for activities not otherwise
authorized in this Act, the Deepwater Port Act of
1974 (33 U.S.C. 1501 et seq.), the Ocean Thermal En-
ergy Conversion Act of 1980 (42 U.S.C. 9101 et seq.),
or other applicable law, if those activities—
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‘‘(A) support exploration, development, or
production of oil or natural gas, except that a
lease, easement, or right-of-way shall not be
granted in an area in which oil and gas
preleasing, leasing, and related activities are
prohibited by a moratorium;
‘‘(B) support transportation of oil or nat-
ural gas, excluding shipping activities;
‘‘(C) produce or support production, trans-
portation, or transmission of energy from sources
other than oil and gas; or
‘‘(D) use, for energy-related purposes or for
other authorized marine-related purposes, facili-
ties currently or previously used for activities
authorized under this Act, except that any oil
and gas energy-related uses shall not be author-
ized in areas in which oil and gas preleasing,
leasing, and related activities are prohibited by
a moratorium.
‘‘(2) PAYMENTS.—The Secretary shall establish
royalties, fees, rentals, bonus, or other payments to
ensure a fair return to the United States for any
lease, easement, or right-of-way granted under this
subsection.
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‘‘(3) COMPETITIVE OR NONCOMPETITIVE BASIS.—
Except with respect to projects that meet the criteria
established under section 321(d) of the Energy Policy
Act of 2005, the Secretary shall issue a lease, ease-
ment, or right-of-way under paragraph (1) on a com-
petitive basis unless the Secretary determines after
public notice of a proposed lease, easement, or right-
of-way that there is no competitive interest.
‘‘(4) REQUIREMENTS.—The Secretary shall en-
sure that any activity under this subsection is carried
out in a manner that provides for—
‘‘(A) safety;
‘‘(B) protection of the environment;
‘‘(C) prevention of waste;
‘‘(D) conservation of the natural resources
of the outer Continental Shelf;
‘‘(E) coordination with relevant Federal
agencies;
‘‘(F) protection of national security inter-
ests of the United States;
‘‘(G) protection of correlative rights in the
outer Continental Shelf;
‘‘(H) a fair return to the United States for
any lease, easement, or right-of-way under this
subsection;
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‘‘(I) prevention of interference with reason-
able uses (as determined by the Secretary) of the
exclusive economic zone, the high seas, and the
territorial seas;
‘‘(J) consideration of—
‘‘(i) the location of, and any schedule
relating to, a lease, easement, or right-of-
way for an area of the outer Continental
Shelf; and
‘‘(ii) any other use of the sea or seabed,
including use for a fishery, a sealane, a po-
tential site of a deepwater port, or naviga-
tion;
‘‘(K) public notice and comment on any
proposal submitted for a lease, easement, or
right-of-way under this subsection; and
‘‘(L) oversight, inspection, research, moni-
toring, and enforcement relating to a lease, ease-
ment, or right-of-way under this subsection.
‘‘(5) LEASE DURATION, SUSPENSION, AND CAN-
CELLATION.—The Secretary shall provide for the du-
ration, issuance, transfer, renewal, suspension, and
cancellation of a lease, easement, or right-of-way
under this subsection.
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‘‘(6) SECURITY.—The Secretary shall require the
holder of a lease, easement, or right-of-way granted
under this subsection to—
‘‘(A) furnish a surety bond or other form of
security, as prescribed by the Secretary;
‘‘(B) comply with such other requirements
as the Secretary considers necessary to protect
the interests of the public and the United States;
and
‘‘(C) provide for the restoration of the lease,
easement, or right-of-way.
‘‘(7) COORDINATION
AND
CONSULTATION
WITH
AFFECTED
STATE
AND
LOCAL
GOVERNMENTS.—The
Secretary shall provide for coordination and consulta-
tion with the Governor of any State or the executive
of any local government that may be affected by a
lease, easement, or right-of-way under this subsection.
‘‘(8) REGULATIONS.—Not later than 270 days
after the date of enactment of the Energy Policy Act
of 2005, the Secretary, in consultation with the Sec-
retary of Defense, the Secretary of the Department in
which the Coast Guard is operating, the Secretary of
Commerce, heads of other relevant departments and
agencies of the Federal Government, and the Governor
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of any affected State, shall issue any necessary regu-
lations to carry out this subsection.
‘‘(9) EFFECT OF SUBSECTION.—Nothing in this
subsection displaces, supersedes, limits, or modifies
the jurisdiction, responsibility, or authority of any
Federal or State agency under any other Federal law.
‘‘(10) APPLICABILITY.—This subsection does not
apply to any area on the outer Continental Shelf
within the exterior boundaries of any unit of the Na-
tional Park System, National Wildlife Refuge System,
or National Marine Sanctuary System, or any Na-
tional Monument.’’.
(b) COORDINATED OCS MAPPING INITIATIVE.—
(1) IN GENERAL.—The Secretary, in cooperation
with the Secretary of Commerce, the Commandant of
the Coast Guard, and the Secretary of Defense, shall
establish an interagency comprehensive digital map-
ping initiative for the outer Continental Shelf to as-
sist in decisionmaking relating to the siting of activi-
ties under subsection (p) of section 8 of the Outer
Continental Shelf Lands Act (43 U.S.C. 1337) (as
added by subsection (a)).
(2) USE OF DATA.—The mapping initiative shall
use, and develop procedures for accessing, data col-
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lected before the date on which the mapping initiative
is established, to the maximum extent practicable.
(3) INCLUSIONS.—Mapping carried out under
the mapping initiative shall include an indication of
the locations on the outer Continental Shelf of—
(A) Federally-permitted activities;
(B) obstructions to navigation;
(C) submerged cultural resources;
(D) undersea cables;
(E) offshore aquaculture projects; and
(F) any area designated for the purpose of
safety, national security, environmental protec-
tion, or conservation and management of living
marine resources.
(c) CONFORMING AMENDMENT.—Section 8 of the Outer
Continental Shelf Lands Act (43 U.S.C. 1337) is amended
by striking the section heading and inserting the following:
‘‘LEASES, EASEMENTS, AND
RIGHTS-OF-WAY
ON
THE
OUTER CONTINENTAL SHELF.—’’.
(d) SAVINGS PROVISION.—Nothing in the amendment
made by subsection (a) requires the resubmittal of any doc-
ument that was previously submitted or the reauthorization
of any action that was previously authorized with respect
to a project for which, before the date of enactment of this
Act—
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(1) an offshore test facility has been constructed;
or
(2) a request for a proposal has been issued by
a public authority.
SEC. 322. PRESERVATION OF GEOLOGICAL AND GEO-
PHYSICAL DATA.
(a) SHORT TITLE.—This section may be cited as the
‘‘National Geological and Geophysical Data Preservation
Program Act of 2005’’.
(b) PROGRAM.—The Secretary shall carry out a Na-
tional Geological and Geophysical Data Preservation Pro-
gram in accordance with this section—
(1) to archive geologic, geophysical, and engi-
neering data, maps, well logs, and samples;
(2) to provide a national catalog of such archival
material; and
(3) to provide technical and financial assistance
related to the archival material.
(c) PLAN.—Not later than 1 year after the date of en-
actment of this Act, the Secretary shall submit to Congress
a plan for the implementation of the Program.
(d) DATA ARCHIVE SYSTEM.—
(1) ESTABLISHMENT.—The Secretary shall estab-
lish, as a component of the Program, a data archive
system to provide for the storage, preservation, and
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archiving of subsurface, surface, geological, geo-
physical, and engineering data and samples. The Sec-
retary, in consultation with the Advisory Committee,
shall develop guidelines relating to the data archive
system, including the types of data and samples to be
preserved.
(2) SYSTEM COMPONENTS.—The system shall be
comprised of State agencies that elect to be part of the
system and agencies within the Department of the In-
terior that maintain geological and geophysical data
and samples that are designated by the Secretary in
accordance with this subsection. The Program shall
provide for the storage of data and samples through
data repositories operated by such agencies.
(3) LIMITATION
OF
DESIGNATION.—The Sec-
retary may not designate a State agency as a compo-
nent of the data archive system unless that agency is
the agency that acts as the geological survey in the
State.
(4) DATA FROM FEDERAL LAND.—The data ar-
chive system shall provide for the archiving of rel-
evant subsurface data and samples obtained from
Federal land—
(A) in the most appropriate repository des-
ignated under paragraph (2), with preference
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being given to archiving data in the State in
which the data were collected; and
(B) consistent with all applicable law and
requirements relating to confidentiality and pro-
prietary data.
(e) NATIONAL CATALOG.—
(1) IN GENERAL.—As soon as practicable after
the date of enactment of this Act, the Secretary shall
develop and maintain, as a component of the Pro-
gram, a national catalog that identifies—
(A) data and samples available in the data
archive system established under subsection (d);
(B) the repository for particular material
in the system; and
(C) the means of accessing the material.
(2) AVAILABILITY.—The Secretary shall make the
national catalog accessible to the public on the site of
the Survey on the Internet, consistent with all appli-
cable requirements related to confidentiality and pro-
prietary data.
(f) ADVISORY COMMITTEE.—
(1) IN GENERAL.—The Advisory Committee shall
advise the Secretary on planning and implementation
of the Program.
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(2) NEW
DUTIES.—In addition to its duties
under the National Geologic Mapping Act of 1992 (43
U.S.C. 31a et seq.), the Advisory Committee shall per-
form the following duties:
(A) Advise the Secretary on developing
guidelines and procedures for providing assist-
ance for facilities under subsection (g)(1).
(B) Review and critique the draft imple-
mentation plan prepared by the Secretary under
subsection (c).
(C) Identify useful studies of data archived
under the Program that will advance under-
standing of the Nation’s energy and mineral re-
sources, geologic hazards, and engineering geol-
ogy.
(D) Review the progress of the Program in
archiving significant data and preventing the
loss of such data, and the scientific progress of
the studies funded under the Program.
(E) Include in the annual report to the Sec-
retary required under section 5(b)(3) of the Na-
tional Geologic Mapping Act of 1992 (43 U.S.C.
31d(b)(3)) an evaluation of the progress of the
Program toward fulfilling the purposes of the
Program under subsection (b).
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(g) FINANCIAL ASSISTANCE.—
(1) ARCHIVE FACILITIES.—Subject to the avail-
ability of appropriations, the Secretary shall provide
financial assistance to a State agency that is des-
ignated under subsection (d)(2) for providing facili-
ties to archive energy material.
(2) STUDIES.—Subject to the availability of ap-
propriations, the Secretary shall provide financial as-
sistance to any State agency designated under sub-
section (d)(2) for studies and technical assistance ac-
tivities that enhance understanding, interpretation,
and use of materials archived in the data archive sys-
tem established under subsection (d).
(3) FEDERAL SHARE.—The Federal share of the
cost of an activity carried out with assistance under
this subsection shall be not more than 50 percent of
the total cost of the activity.
(4) PRIVATE
CONTRIBUTIONS.—The Secretary
shall apply to the non-Federal share of the cost of an
activity carried out with assistance under this sub-
section the value of private contributions of property
and services used for that activity.
(h) REPORT.—The Secretary shall include in each re-
port under section 8 of the National Geologic Mapping Act
of 1992 (43 U.S.C. 31g)—
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(1) a description of the status of the Program;
(2) an evaluation of the progress achieved in de-
veloping the Program during the period covered by
the report; and
(3) any recommendations for legislative or other
action the Secretary considers necessary and appro-
priate to fulfill the purposes of the Program under
subsection (b).
(i) MAINTENANCE OF STATE EFFORT.—It is the intent
of Congress that the States not use this section as an oppor-
tunity to reduce State resources applied to the activities
that are the subject of the Program.
(j) DEFINITIONS.—In this section:
(1) ADVISORY COMMITTEE.—The term ‘‘Advisory
Committee’’ means the advisory committee established
under section 5 of the National Geologic Mapping Act
of 1992 (43 U.S.C. 31d).
(2) PROGRAM.—The term ‘‘Program’’ means the
National Geological and Geophysical Data Preserva-
tion Program carried out under this section.
(3) SECRETARY.—The term ‘‘Secretary’’ means
the Secretary of the Interior, acting through the Di-
rector of the United States Geological Survey.
(4) SURVEY.—The term ‘‘Survey’’ means the
United States Geological Survey.
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(k) AUTHORIZATION OF APPROPRIATIONS.—There are
authorized to be appropriated to carry out this section
$30,000,000 for each of fiscal years 2006 through 2010.
SEC. 323. OIL AND GAS LEASE ACREAGE LIMITATIONS.
Section 27(d)(1) of the Mineral Leasing Act (30 U.S.C.
184(d)(1)) is amended by inserting after ‘‘acreage held in
special tar sand areas’’ the following: ‘‘, and acreage under
any lease any portion of which has been committed to a
federally 
approved 
unit 
or 
cooperative 
plan 
or
communitization agreement or for which royalty (including
compensatory royalty or royalty in-kind) was paid in the
preceding calendar year,’’.
SEC. 324. ASSESSMENT OF DEPENDENCE OF STATE OF HA-
WAII ON OIL.
(a) ASSESSMENT.—The Secretary shall assess the eco-
nomic implications of the dependence of the State of Ha-
waii on oil as the principal source of energy for the State,
including—
(1) the short- and long-term prospects for crude
oil supply disruption and price volatility and poten-
tial impacts on the economy of Hawaii;
(2) the economic relationship between oil-fired
generation of electricity from residual fuel and refined
petroleum products consumed for ground, marine,
and air transportation;
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(3) the technical and economic feasibility of in-
creasing the contribution of renewable energy re-
sources for generation of electricity, on an island-by-
island basis, including—
(A) siting and facility configuration;
(B) environmental, operational, and safety
considerations;
(C) the availability of technology;
(D) the effects on the utility system, includ-
ing reliability;
(E) infrastructure and transport require-
ments;
(F) community support; and
(G) other factors affecting the economic im-
pact of such an increase and any effect on the
economic relationship described in paragraph
(2);
(4) the technical and economic feasibility of
using liquefied natural gas to displace residual fuel
oil for electric generation, including neighbor island
opportunities, and the effect of the displacement on
the economic relationship described in paragraph (2),
including—
(A) the availability of supply;
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(B) siting and facility configuration for on-
shore and offshore liquefied natural gas receiving
terminals;
(C) the factors described in subparagraphs
(B) through (F) of paragraph (3); and
(D) other economic factors;
(5) the technical and economic feasibility of
using renewable energy sources (including hydrogen)
for ground, marine, and air transportation energy
applications to displace the use of refined petroleum
products, on an island-by-island basis, and the eco-
nomic impact of the displacement on the relationship
described in (2); and
(6) an island-by-island approach to—
(A) the development of hydrogen from re-
newable resources; and
(B) the application of hydrogen to the en-
ergy needs of Hawaii
(b) CONTRACTING AUTHORITY.—The Secretary may
carry out the assessment under subsection (a) directly or,
in whole or in part, through 1 or more contracts with quali-
fied public or private entities.
(c) REPORT.—Not later than 300 days after the date
of enactment of this Act, the Secretary shall prepare (in
consultation with agencies of the State of Hawaii and other
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stakeholders, as appropriate), and submit to Congress, a re-
port describing the findings, conclusions, and recommenda-
tions resulting from the assessment.
(d) AUTHORIZATION OF APPROPRIATIONS.—There are
authorized to be appropriated such sums as are necessary
to carry out this section.
SEC. 325. DENALI COMMISSION.
(a) DEFINITION OF COMMISSION.—In this section, the
term ‘‘Commission’’ means the Denali Commission estab-
lished by the Denali Commission Act of 1998 (42 U.S.C.
3121 note; Public Law 105–277).
(b) ENERGY PROGRAMS.—The Commission shall use
amounts made available under subsection (d) to carry out
energy programs, including—
(1) 
energy 
generation 
and 
development,
including—
(A) fuel cells, hydroelectric, solar, wind,
wave, and tidal energy; and
(B) alternative energy sources;
(2) the construction of energy transmission, in-
cluding interties;
(3) the replacement and cleanup of fuel tanks;
(4) the construction of fuel transportation net-
works and related facilities;
(5) power cost equalization programs; and
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(6) projects using coal as a fuel, including coal
gasification projects.
(c) OPEN MEETINGS.—
(1) IN GENERAL.—Except as provided in para-
graph (2), a meeting of the Commission shall be open
to the public if—
(A) the Commission members take action on
behalf of the Commission; or
(B) the deliberations of the Commission de-
termine, or result in the joint conduct or disposi-
tion of, official Commission business.
(2) EXCEPTIONS.—Paragraph (1) shall not
apply to any portion of a Commission meeting for
which the Commission, in public session, votes to close
the meeting for the reasons described in paragraph
(2), (4), (5), or (6) of subsection (c) of section 552b
of title 5, United States Code.
(3) PUBLIC NOTICE.—
(A) IN GENERAL.—At least 1 week before a
meeting of the Commission, the Commission
shall make a public announcement of the meeting
that describes—
(i) the time, place, and subject matter
of the meeting;
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(ii) whether the meeting is to be open
or closed to the public; and
(iii) the name and telephone number of
an appropriate person to respond to re-
quests for information about the meeting.
(B) ADDITIONAL NOTICE.—The Commission
shall make a public announcement of any change
to the information made available under sub-
paragraph (A) at the earliest practicable time.
(4) MINUTES.—The Commission shall keep, and
make available to the public, a transcript, electronic
recording, or minutes from each Commission meeting,
except for portions of the meeting closed under para-
graph (2).
(d) AUTHORIZATION OF APPROPRIATIONS.—There is
authorized to be appropriated to the Commission not more
than $55,000,000 for each of fiscal years 2006 through 2015
to carry out subsection (b).
SEC. 326. COMPREHENSIVE INVENTORY OF OCS OIL AND
NATURAL GAS RESOURCES.
(a) IN GENERAL.—The Secretary of the Interior shall
conduct an inventory and analysis of oil and natural gas
resources beneath all of the waters of the United States
Outer Continental Shelf (‘‘OCS’’). The inventory and anal-
ysis shall—
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(1) use available data on oil and gas resources
in areas offshore of Mexico and Canada that will pro-
vide information on trends of oil and gas accumula-
tion in areas of the OCS;
(2) use any available technology, except drilling,
but including 3–D seismic technology to obtain accu-
rate resource estimates;
(3) analyze how resource estimates in OCS areas
have changed over time in regards to gathering geo-
logical and geophysical data, initial exploration, or
full field development, including areas such as the
deepwater and subsalt areas in the Gulf of Mexico;
(4) estimate the effect that understated oil and
gas resource inventories have on domestic energy in-
vestments; and
(5) identify and explain how legislative, regu-
latory, and administrative programs or processes re-
strict or impede the development of identified re-
sources and the extent that they affect domestic sup-
ply, such as moratoria, lease terms and conditions,
operational stipulations and requirements, approval
delays by the Federal government and coastal States,
and local zoning restrictions for onshore processing
facilities and pipeline landings.
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(b) REPORTS.—The Secretary of Interior shall submit
a report to Congress on the inventory of estimates and the
analysis of restrictions or impediments, together with any
recommendations, within 6 months of the date of enactment
of the section. The report shall be publicly available and
updated at least every 5 years.
SEC. 327. REVIEW AND DEMONSTRATION PROGRAM FOR OIL
AND NATURAL GAS PRODUCTION.
(a) REVIEW.—
(1) IN
GENERAL.—Not later than 18 months
after the date of enactment of this Act, the Secretary
of the Interior, in consultation with the Secretary of
Energy (referred to in this section as the ‘‘Sec-
retary’’), shall carry out a review of, and submit to
Congress a report on opportunities to enhance produc-
tion of oil and natural gas from public land and the
outer Continental Shelf, and increase sequestration of
carbon dioxide through the provision of royalty or
other production incentives to lessees that inject car-
bon dioxide as a means of enhanced recovery.
(2) COMPONENTS.—The Secretary of the Interior
shall describe in the review and report under para-
graph (1)—
(A) eligibility requirements for incentives;
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(B) the appropriate level of royalty relief, if
any;
(C) other appropriate production incentives,
if any;
(D) an estimate of the increased quantity of
oil and gas production that could be achieved
through implementation of those incentives;
(E) an estimate of the quantity of carbon
sequestration that could be achieved through im-
plementation of those incentives;
(F) practices (and the extent of the use of
the practices) as of the date of enactment of this
Act that rely on carbon dioxide injection for en-
hanced oil and gas recovery; and
(G) any recommendations for implementa-
tion of royalty relief or other production incen-
tives, including—
(i) the period of time during which
those incentives should be available; and
(ii) any geographic or other limita-
tions that should apply to the incentives.
(b) DEMONSTRATION PROGRAM.—
(1) ESTABLISHMENT.—
(A) IN GENERAL.—The Secretary shall es-
tablish a competitive grant program to provide