I 
111TH CONGRESS 
2D SESSION 
H. R. 5780 
To reduce deficits and Government spending through the elimination of 
wasteful energy subsidies and programs. 
IN THE HOUSE OF REPRESENTATIVES 
JULY 20, 2010 
Mr. PETERS (for himself and Mr. WELCH) introduced the following bill; which 
was referred to the Committee on Energy and Commerce, and in addition 
to the Committees on Natural Resources, Ways and Means, Transpor-
tation and Infrastructure, and Science and Technology, for a period to 
be subsequently determined by the Speaker, in each case for consider-
ation of such provisions as fall within the jurisdiction of the committee 
concerned 
A BILL 
To reduce deficits and Government spending through the 
elimination of wasteful energy subsidies and programs. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Reduce and End our 
Deficits Using Commonsense Eliminations in the Energy 
Program Act of 2010’’. 
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SEC. 
2. 
TERMINATION 
OF 
PAYMENTS 
TO 
CERTIFIED 
STATES AND INDIAN TRIBES UNDER ABAN-
DONED MINE LANDS PROGRAM. 
The Surface Mining Control and Reclamation Act of 
1977 (30 U.S.C. 1201 et seq.) is amended— 
(1) in section 402(g)(1)(A)(ii), by striking ‘‘or 
pursuant’’ and all that follows through the end of 
the sentence and inserting a period; 
(2) in section 402(g)(1)(B)(ii), by striking ‘‘or 
pursuant’’ and all that follows through the end of 
the sentence and inserting a period; and 
(3) by amending section 411 to read as follows: 
‘‘SEC. 411. CERTIFICATION. 
‘‘(a) CERTIFICATION
REQUIRED.—The Secretary 
shall determine and certify if on the basis of the inventory 
referred to in section 403(c) all reclamation projects relat-
ing to the priorities described in section 403(a) for eligible 
land and water pursuant to section 404 in a State or of 
a tribe have been completed. 
‘‘(b) NOTICE AND COMMENT.—The Secretary shall 
publish notice in the Federal Register and provide an op-
portunity for public comment regarding any certification 
under subsection (a). 
‘‘(c) LIMITATION
ON
PAYMENTS
TO
CERTIFIED 
STATES AND INDIAN TRIBES.— 
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‘‘(1) IN GENERAL.—Except as provided in para-
graph (2), and notwithstanding any other provision 
of this Act, no payment may be made under this Act 
to a State or Indian tribe for which a determination 
and certification is required under subsection (a). 
‘‘(2) PAYMENTS FOR HEALTH BENEFITS NOT 
AFFECTED.—Paragraph (1) shall not apply with re-
spect to payments under subsections (h) and (i) of 
section 402.’’. 
SEC. 3. TERMINATE OIL AND GAS COMPANY TAX PREF-
ERENCES. 
(a) REPEAL ENHANCED OIL RECOVERY CREDIT.— 
Section 43 of the Internal Revenue Code of 1986 is 
amended by adding at the end the following new sub-
section: 
‘‘(f) TERMINATION.—This section shall not apply to 
any amount, costs, or expenses paid or incurred after the 
date of the enactment of this subsection.’’. 
(b) REPEAL CREDIT FOR OIL AND GAS PRODUCED 
FROM MARGINAL WELLS.—Section 45I of the Internal 
Revenue Code of 1986 is amended by adding at the end 
the following new subsection: 
‘‘(e) TERMINATION.—This section shall not apply to 
any production after December 31, 2010.’’. 
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(c) REPEAL EXPENSING OF INTANGIBLE DRILLING 
COSTS.—Subsection (c) of section 263 of the Internal 
Revenue Code of 1986 is amended by adding at the end 
the following new sentence: ‘‘This subsection shall not 
apply to any expense relating to an oil or gas well paid 
or incurred after December 31, 2010.’’. 
(d) 
REPEAL
DEDUCTION
FOR
TERTIARY 
INJECTANTS.—Section 193 of such Code is amended by 
adding at the end the following new subsection: 
‘‘(d) TERMINATION.—Subsection (a) shall not apply 
to any amount paid or incurred after the date of the enact-
ment of this subsection.’’. 
(e) REPEAL EXCEPTION TO PASSIVE LOSS LIMITA-
TION FOR WORKING INTERESTS IN OIL AND NATURAL 
GAS PROPERTIES.—Subsection (c) of section 469 of such 
Code is amended by striking paragraph (3) (relating to 
working interests in oil and gas property). 
(f) REPEAL PERCENTAGE DEPLETION FOR OIL AND 
NATURAL GAS WELLS.— 
(1) IN GENERAL.—Section 613A of the Internal 
Revenue Code of 1986 is amended by adding at the 
end the following new subsection: 
‘‘(f) TERMINATION.—After December 31, 2010, this 
section and section 611 shall not apply to any oil or gas 
well.’’. 
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(2) 
CONFORMING
AMENDMENT.—Section 
613A(c)(1) of such Code is amended by striking 
‘‘subsection (d)’’ and inserting ‘‘subsections (d) and 
(f)’’. 
(g) REPEAL DOMESTIC MANUFACTURING TAX DE-
DUCTION FOR OIL AND NATURAL GAS COMPANIES.— 
(1) IN GENERAL.—Subparagraph (B) of section 
199(c)(4) of such Code is amended by striking 
‘‘and’’ at the end of clause (ii), by striking the pe-
riod at the end of clause (iii) and inserting ‘‘, and’’, 
and by inserting after clause (iii) the following: 
‘‘(iv) production or extraction relating 
to any oil or gas.’’. 
(2) 
CONFORMING
AMENDMENT.—Section 
199(c)(4)(A)(i)(III) of such Code is amended by 
striking ‘‘, natural gas,’’. 
(h) INCREASE GEOLOGICAL AND GEOPHYSICAL AM-
ORTIZATION PERIOD FOR INDEPENDENT PRODUCERS TO 
SEVEN YEARS.— 
(1) IN GENERAL.—Paragraphs (1) and (4) of 
section 167(h) of such Code is amended by striking 
‘‘24-month’’ both places it appears and inserting ‘‘7- 
year’’. 
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(2) 
CONFORMING
AMENDMENT.—Section 
167(h) of such Code is amended by striking para-
graph (5). 
(i) EFFECTIVE DATE.— 
(1) The amendments made by subsection (a), 
(c), (e), and (f) shall apply to amounts paid or in-
curred in taxable years beginning after December 
31, 2010. 
(2) The amendments made by subsections (b), 
(d), (g), and (h) shall apply to amounts paid or in-
curred in taxable years beginning after December 
31, 2010. 
SEC. 4. DEPARTMENT OF ENERGY OIL AND GAS RESEARCH 
AND DEVELOPMENT. 
Sections 965 through 967 of the Energy Policy Act 
of 2005 (42 U.S.C. 16295–16297) are repealed. 
SEC. 5. NUCLEAR WASTE REPOSITORY. 
The Secretary of Energy shall discontinue the appli-
cation before the Nuclear Regulatory Commission for a 
license to construct a high-level nuclear waste geologic re-
pository at Yucca Mountain, Nevada. 
SEC. 6. SALE OF CERTAIN SEPA AND TVA FACILITIES. 
(a) SALE OF SOUTHEASTERN POWER ADMINISTRA-
TION AND TVA FACILITIES.— 
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(1) SOUTHEASTERN
POWER
ADMINISTRATION 
AND RELATED FACILITIES.— 
(A) SALE OF SOUTHEASTERN POWER AD-
MINISTRATION AND RELATED POWER GENER-
ATING ASSETS.—The Secretary of Energy shall 
develop and carry out a plan to provide for the 
sale of the electric energy generation facilities 
that are currently owned and operated by Fed-
eral departments and agencies under the super-
vision of, or working in coordination with, the 
Southeastern Power Administration, together 
with any and all other assets, rights, interests, 
and obligations held or owned by the South-
eastern Power Administration. The heads of 
other affected Federal departments and agen-
cies shall assist the Secretary of Energy in im-
plementing the sales authorized by this sub-
paragraph. 
(B) EXCLUSION
OF
DAMS
AND
RES-
ERVOIRS.—The authority of the Secretary of 
Energy under subparagraph (A) shall apply 
with respect to facilities for the generation of 
electric energy, including turbines, generators, 
controls, and substations, and shall not apply 
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with respect to any dam, reservoir, or water-
front property. 
(C) REPORT TO CONGRESS.—At least 60 
days before implementing a plan developed 
under this paragraph, the Secretary of Energy 
shall submit to Congress a report containing 
the plan. 
(2) TVA FACILITIES.— 
(A) SALE OF POWER PROGRAM.—The Ten-
nessee Valley Authority shall develop and carry 
out a plan to provide for the sale of the rights 
and assets of its electric power program. 
(B) HYDROELECTRIC
FACILITY
EXCLU-
SION.—The authority of the Tennessee Valley 
Authority under subparagraph (A) shall not 
apply with respect to any hydroelectric power 
generation facility owned and operated by the 
Authority (including dams and appurtenant 
works and structures). 
(C) REPORT TO CONGRESS.—At least 60 
days before implementing a plan developed 
under this paragraph, the Tennessee Valley Au-
thority shall submit to Congress a report con-
taining the plan. 
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(b) PROCEEDS.—The proceeds of any sale under this 
section shall be used first to offset the costs of carrying 
out the sale and the remaining net proceeds shall be 
deemed to extinguish the outstanding debt repayable to 
the United States and attributable to the assets being 
sold. Any portion of the net proceeds that exceeds the net 
present value of the outstanding debt repayable to the 
United States and attributable to the assets being sold 
shall be deposited in the Treasury of the United States 
as miscellaneous receipts. 
(c) TREATMENT OF SALES FOR PURPOSES OF CER-
TAIN LAWS.—A sale of assets under this section shall not 
be considered a disposal of Federal surplus property under 
subchapter III of chapter 5 of title 40, United States 
Code, or any other applicable provision of law. 
(d) DATE OF SALE.—To be extent practicable, all 
sales under this section shall be completed before Decem-
ber 31, 2010. 
(e) TERMINATION OF THE SOUTHEASTERN POWER 
ADMINISTRATION.—Following the sale of the assets re-
ferred to in subsection (a)(1), the Secretary of Energy 
shall complete the business of and close out the South-
eastern Power Administration and return any unexpended 
balances of funds appropriated for the Southeastern 
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Power Administration to the Treasury of the United 
States. 
SEC. 7. VOLUME OF STRATEGIC PETROLEUM RESERVE. 
Section 154(a) of the Energy Policy and Conserva-
tion Act (42 U.S.C. 6234(a)) is amended by striking ‘‘1 
billion’’ and inserting ‘‘650,000,000’’. 
SEC. 8. ULTRA-DEEPWATER AND UNCONVENTIONAL NAT-
URAL GAS AND OTHER PETROLEUM RE-
SOURCES. 
Sections 999A through 999H of the Energy Policy 
Act of 2005 (42 U.S.C. 16371–16378) are repealed. 
Æ 
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