To amend the Outer Continental Shelf Lands Act and the Gulf of Mexico Energy Security Act of 2006 to increase the percentage of revenues from new offshore leases that will be shared with coastal States to 50 percent.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Offshore Lease Fairness Act''.

SEC. 2. INCREASED REVENUE SHARING WITH STATES FOR LEASES WITHIN 3 MILES 
              OF THE COAST LINE.

    (a) Leases for Activities Authorized in OCS Lands Act.--Section 
8(g)(2) of the Outer Continental Shelf Lands Act (43 U.S.C. 1337(g)(2)) 
is amended by inserting after ``27 percent of those revenues,'' the 
following: ``or, for leases entered into after the date of enactment of 
the Offshore Lease Fairness Act, 50 percent of those revenues,''
    (b) Leases for Energy-Related Activities.--Section 8(p)(2)(B) of 
the Outer Continental Shelf Lands Act (43 U.S.C. 1337(p)(2)(B)) is 
amended by inserting after ``27 percent of the revenues received by the 
Federal Government as a result of payments under this section'' the 
following: ``, or, for any lease, easement, or right-of-way granted 
after the date of enactment of the Offshore Lease Fairness Act, 50 
percent of those revenues,''.

SEC. 3. INCREASED REVENUE SHARING WITH STATES FOR LEASES BEYOND 3 MILES 
              OF THE COAST LINE.

    (a) Definition of New Outer Continental Shelf Revenues.--Section 
102 of the Gulf of Mexico Energy Security Act of 2006 (Public Law 109-
432; 43 U.S.C. 1331 note) is amended--
            (1) by redesignating paragraphs (9) through (11) as 
        paragraphs (10) through (12), respectively;
            (2) by inserting after paragraph (8) the following new 
        paragraph:
            ``(9) New outer continental shelf revenues.--
                    ``(A) In general.--The term `new outer Continental 
                Shelf revenues' means all rentals, royalties, bonus 
                bids, and other sums received by the United States from 
                leases entered into after the period described in 
                paragraph (10)(A)(i) for areas on the outer Continental 
                Shelf (as defined in section 2(a) of the Outer 
                Continental Shelf Lands Act (43 U.S.C. 1331(a)).
                    ``(B) Exclusions.--The term `new outer Continental 
                Shelf revenues' does not include revenues and other 
                amounts described in paragraph (10)(B).''; and
            (3) in subparagraph (A) of paragraph (10) (as redesignated 
        by paragraph (1) of this subsection)--
                    (A) in clause (i), by striking ``due and payable to 
                the United States'' and all that follows through ``on 
                or after the date of enactment of this Act'' and 
                inserting ``received by the United States from leases 
                entered into in the period beginning on December 20, 
                2006, and ending on the date of enactment of the 
                Offshore Lease Fairness Act''; and
                    (B) in clause (ii), by striking ``on or after the 
                date of enactment of this Act'' and inserting ``in the 
                period described in clause (i)''.
    (b) Disposition of New Outer Continental Shelf Revenues.--The Gulf 
of Mexico Energy Security Act of 2006 (Public Law 109-432; 43 U.S.C. 
1331 note) is amended by adding at the end the following new sections:

``SEC. 106. DISPOSITION OF NEW OUTER CONTINENTAL SHELF REVENUES.

    ``(a) Disposition of Revenues.--Notwithstanding section 9 of the 
Outer Continental Shelf Lands Act (43 U.S.C. 1338) and subject to the 
other provisions of this section, for fiscal year 2010 and each fiscal 
year thereafter--
            ``(1) 50 percent of new outer Continental Shelf revenues 
        shall be deposited in the general fund of the Treasury; and
            ``(2) 50 percent of new outer Continental Shelf revenues 
        shall be deposited in a special account in the Treasury, and 
        the Secretary of the Treasury shall disburse such amount to 
        coastal States under subsection (b).
    ``(b) Allocation Among Coastal States.--The amount made available 
under subsection (a)(2) shall be allocated to coastal States using 
rules substantially similar to the rules in paragraphs (1) and (2) of 
section 105(b), except that--
            ``(1) references in such paragraphs to Gulf producing 
        States shall be treated as references to coastal States; and
            ``(2) new outer Continental Shelf revenues from leases in 
        the Gulf of Mexico, the Atlantic Ocean, the Pacific Ocean, and 
        the Arctic Ocean may only be allocated to States that are in, 
        or that border on, the Gulf of Mexico, the Atlantic Ocean, the 
        Pacific Ocean, and the Arctic Ocean, respectively.

``SEC. 107. TIMING AND ADMINISTRATION OF DISPOSITION OF REVENUES.

    ``(a) Timing.--Amounts required to be deposited under sections 
105(a)(2) and 106(a)(2) for a fiscal year shall be made available in 
accordance with those sections for the subsequent fiscal year.
    ``(b) Administration.--Amounts made available under sections 
105(a)(2) and 106(a)(2) shall--
            ``(1) be made available, without further appropriation, in 
        accordance with this section;
            ``(2) remain available until expended; and
            ``(3) be in addition to any amounts appropriated under--
                    ``(A) the Outer Continental Shelf Lands Act (43 
                U.S.C. 1331 et seq.);
                    ``(B) the Land and Water Conservation Fund Act of 
                1965 (16 U.S.C. 4601-4 et seq.); or
                    ``(C) any other provision of law.''.
    (c) Conforming Amendment.--Section 105 of the Gulf of Mexico Energy 
Security Act of 2006 (Public Law 109-432; 43 U.S.C. 1331 note) is 
amended--
            (1) by striking subsections (c) and (e); and
            (2) by redesignating subsections (d) and (f) as subsections 
        (c) and (d), respectively.

Summary: Offshore Lease Fairness Act - Amends the Outer Continental Shelf Lands Act to increase from 27% to 50% the revenues: (1) shared with states from leases within three miles of the coast line entered into after enactment of this Act; and (2) from energy-related activities for any lease, easement, or right-of-way granted after enactment of this Act.

Amends the Gulf of Mexico Energy Security Act of 2006 to redefine current qualified Outer Continental Shelf revenues as sums received by the United States from leases entered into between December 20, 2006, and the date of enactment of this Act.

Requires for FY2010 and each ensuing fiscal year that new outer Continental Shelf revenues be deposited: (1) 50% into the general fund of the Treasury; and (2) 50% into a special account in the Treasury for disbursement to coastal states by the Secretary of the Treasury.

Restricts allocation of new outer Continental Shelf revenues from leases in the Gulf of Mexico, the Atlantic Ocean, the Pacific Ocean, and the Arctic Ocean to states that are in, or border on, such specified geographical areas.

Prescribes requirements for the timing and administration of the disposition of revenues.