418 
(B) shall be set at $9 per barrel for oil and 
$1.25 per million Btu for gas, respectively, in 
2005 dollars; and 
(C) shall apply only to production of oil or 
gas occurring— 
(i) in any calendar year in which the 
arithmetic average of the daily closing 
prices for light sweet crude oil on the New 
York Mercantile Exchange (NYMEX) ex-
ceeds $34.73 per barrel for oil and $4.34 
per million Btu for gas in 2005 dollars; 
and 
(ii) on or after October 1, 2006. 
(3) NONPRODUCING LEASE FEE TERMS.—The 
fee under paragraph (1)(B)— 
(A) subject to subparagraph (C), shall 
apply to leases that are nonproducing leases; 
(B) shall be set at $3.75 per acre per year 
in 2005 dollars; and 
(C) shall apply on and after October 1, 
2006. 
(4) TREATMENT OF RECEIPTS.—Amounts re-
ceived by the United States as fees under this sub-
section shall be treated as offsetting receipts. 
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419 
(c) TRANSFERS.—A lessee or any other person who 
has any direct or indirect interest in, or who derives a 
benefit from, a lease shall not be eligible to obtain by sale 
or other transfer (including through a swap, spinoff, serv-
icing, or other agreement) any covered lease, the economic 
benefit of any covered lease, or any other lease for the 
production of oil or natural gas in the Gulf of Mexico 
under the Outer Continental Shelf Lands Act (43 U.S.C. 
1331 et seq.), unless— 
(1) the lessee or other person has— 
(A) renegotiated all covered leases of the 
lessee or other person; and 
(B) entered into an agreement with the 
Secretary to modify the terms of all covered 
leases of the lessee or other person to include 
limitations on royalty relief based on market 
prices that are equal to or less than the price 
thresholds described in clauses (v) through (vii) 
of section 8(a)(3)(C) of the Outer Continental 
Shelf Lands Act (43 U.S.C. 1337(a)(3)(C)); or 
(2) the lessee or other person has— 
(A) paid all fees established by the Sec-
retary under subsection (b) that are due with 
respect to each covered lease for which the per-
son is a lessee; or 
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855 
(2) Subparagraph (C) of section 54A(d)(2), as 
added by section 10004, is amended to read as fol-
lows: 
‘‘(C) QUALIFIED PURPOSE.—For purposes 
of this paragraph, the term ‘qualified purpose’ 
means— 
‘‘(i) in the case of a new clean renew-
able energy bond, a purpose specified in 
section 54B(a)(1), and 
‘‘(ii) in the case of a qualified energy 
conservation bond, a purpose specified in 
section 54C(a)(1).’’. 
(3) The table of sections for subpart I of part 
IV of subchapter A of chapter 1 is amended by add-
ing at the end the following new item: 
‘‘Sec. 54C. Qualified energy conservation bonds.’’. 
(c) EFFECTIVE DATE.—The amendments made by 
this section shall apply to obligations issued after the date 
of the enactment of this Act. 
SEC. 10112. QUALIFIED RESIDENTIAL ENERGY EFFICIENCY 
ASSISTANCE BONDS. 
(a) IN GENERAL.—Subpart I of part IV of sub-
chapter A of chapter 1 (as amended by this Act) is amend-
ed by adding at the end the following new section: 
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