Title: OFFSHORE Act of 2020
Policy area: Energy

Summary:
Opening Federal Financial Sharing to Heighten Opportunities for Renewable Energy Act of 2020 or the OFFSHORE Act of 2020
This bill expands revenue sharing for offshore wind projects on the Outer Continental Shelf, including for fees, rentals, bonuses and royalties.

[Congressional Bills 116th Congress]
[From the U.S. Government Publishing Office]
[S. 3485 Introduced in Senate (IS)]

<DOC>






116th CONGRESS
  2d Session
                                S. 3485

   To expand the Outer Continental Shelf Lands Act to expand revenue 
   sharing for offshore wind, to reauthorize the National Oceans and 
             Coastal Security Act, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             March 12, 2020

Mr. Whitehouse (for himself, Mr. Cassidy, and Mr. King) introduced the 
 following bill; which was read twice and referred to the Committee on 
                      Energy and Natural Resources

_______________________________________________________________________

                                 A BILL


 
   To expand the Outer Continental Shelf Lands Act to expand revenue 
   sharing for offshore wind, to reauthorize the National Oceans and 
             Coastal Security Act, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Opening Federal Financial Sharing to 
Heighten Opportunities for Renewable Energy Act of 2020'' or the 
``OFFSHORE Act of 2020''.

SEC. 2. NATIONAL OCEANS AND COASTAL SECURITY FUND.

    (a) Repeal of Authorization of Appropriations for Fiscal Years 
2017, 2018, and 2019.--Section 908 of the National Oceans and Coastal 
Security Act (16 U.S.C. 7507) is repealed.
    (b) Deposits.--Section 904 of the National Oceans and Coastal 
Security Act (16 U.S.C. 7503) is amended--
            (1) in subsection (b), by striking paragraph (1) and 
        inserting the following:
            ``(1) In general.--The Fund shall consist of such amounts 
        as--
                    ``(A) are deposited in the Fund under subparagraph 
                (C) of section 8(p)(2) of the Outer Continental Shelf 
                Lands Act (43 U.S.C. 1337(p)(2)); or
                    ``(B) are appropriated or otherwise made available 
                for the Fund.''; and
            (2) in subsection (d), in the matter preceding paragraph 
        (1), by inserting ``, and amounts appropriated or otherwise 
        made available for,'' before ``the Fund''.

SEC. 3. EXTENSION OF CONSTITUTION, LAWS, AND JURISDICTION OF THE UNITED 
              STATES TO ENERGY FACILITIES AND DEVICES ON THE OUTER 
              CONTINENTAL SHELF.

    Section 4(a)(1) of the Outer Continental Shelf Lands Act (43 U.S.C. 
1333(a)(1)) is amended--
            (1) by inserting ``or producing or supporting the 
        production of energy from sources other than oil and gas'' 
        before ``, or any such installation'';
            (2) by inserting ``or transmitting energy'' after 
        ``transporting such resources''; and
            (3) in the proviso, by inserting ``and other energy'' after 
        ``That mineral''.

SEC. 4. PARITY IN OFFSHORE WIND REVENUE SHARING.

    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 subparagraphs (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 offshore wind 
                projects in certain areas.--
                            ``(i) Definitions.--In this subparagraph:
                                    ``(I) Covered offshore wind 
                                project.--The term `covered offshore 
                                wind project' means a wind-powered 
                                electric generation project in a wind 
                                energy area on the outer Continental 
                                Shelf that is not wholly or partially 
                                located within an area subject to 
                                subparagraph (B).
                                    ``(II) Eligible state.--The term 
                                `eligible State' means a State a point 
                                on the coastline of which is located 
                                within 75 miles of the geographic 
                                center of the covered offshore wind 
                                project.
                            ``(ii) Requirement.--
                                    ``(I) In general.--Of the operating 
                                fees, rentals, bonuses, royalties, and 
                                other payments that are paid to the 
                                Secretary under subparagraph (A) from 
                                covered offshore wind projects--
                                            ``(aa) 50 percent shall be 
                                        deposited in the Treasury and 
                                        credited to miscellaneous 
                                        receipts;
                                            ``(bb) 12.5 percent shall 
                                        be deposited in the National 
                                        Oceans and Coastal Security 
                                        Fund established under section 
                                        904(a) of the National Oceans 
                                        and Coastal Security Act (16 
                                        U.S.C. 7503(a)); and
                                            ``(cc) 37.5 percent shall 
                                        be deposited in a special 
                                        account in the Treasury, from 
                                        which the Secretary, subject to 
                                        subclause (II), shall disburse 
                                        to each eligible State an 
                                        amount (based on a formula 
                                        established by the Secretary of 
                                        the Interior by rulemaking not 
                                        later than 180 days after the 
                                        date of enactment of the 
                                        OFFSHORE Act of 2020) that is 
                                        inversely proportional to the 
                                        respective distances between--

                                                    ``(AA) the point on 
                                                the coastline of each 
                                                eligible State that is 
                                                closest to the 
                                                geographic center of 
                                                the applicable leased 
                                                tract; and

                                                    ``(BB) the 
                                                geographic center of 
                                                the leased tract.

                                    ``(II) Minimum allocation.--The 
                                amount allocated to an eligible State 
                                each fiscal year under item (cc) of 
                                subclause (I) shall be at least 10 
                                percent of the amounts available under 
                                that item.
                            ``(iii) Timing.--The amounts required to be 
                        deposited under item (cc) of clause (ii)(I) for 
                        the applicable fiscal year shall be made 
                        available in accordance with that item during 
                        the fiscal year immediately following the 
                        applicable fiscal year.
                            ``(iv) Authorized uses.--
                                    ``(I) In general.--Subject to 
                                subclause (II), each State shall use 
                                all amounts received under clause 
                                (ii)(I)(cc) in accordance with all 
                                applicable Federal and State laws, only 
                                for one or more of the following 
                                purposes:
                                            ``(aa) Projects and 
                                        activities for the purposes of 
                                        coastal protection, including 
                                        conservation, coastal 
                                        restoration, hurricane 
                                        protection, and infrastructure 
                                        directly affected by coastal 
                                        wetland losses.
                                            ``(bb) Mitigation of damage 
                                        to fish, wildlife, or natural 
                                        resources.
                                            ``(cc) Implementation of a 
                                        federally approved marine, 
                                        coastal, or comprehensive 
                                        conservation management plan.
                                            ``(dd) Mitigation of the 
                                        impact of outer Continental 
                                        Shelf activities through the 
                                        funding of onshore 
                                        infrastructure projects.
                                            ``(ee) Planning assistance 
                                        and the administrative costs of 
                                        complying with this section.
                                    ``(II) Limitation.--Of the amounts 
                                received by a State under clause 
                                (ii)(I)(cc), not more than 3 percent 
                                shall be used for the purposes 
                                described in subclause (I)(ee).
                            ``(v) Administration.--Subject to clause 
                        (vi)(III), amounts made available under clause 
                        (ii)(I) shall--
                                    ``(I) be made available, without 
                                further appropriation, in accordance 
                                with this paragraph;
                                    ``(II) remain available until 
                                expended; and
                                    ``(III) be in addition to any 
                                amount appropriated under any other 
                                Act.
                            ``(vi) Reporting requirement.--
                                    ``(I) In general.--Not later than 
                                180 days after the end of each fiscal 
                                year, the Governor of each eligible 
                                State that receives amounts under 
                                clause (ii)(I)(cc) for the applicable 
                                fiscal year shall submit to the 
                                Secretary a report that describes the 
                                use of the amounts by the eligible 
                                State during the period covered by the 
                                report.
                                    ``(II) Public availability.--On 
                                receipt of a report under subclause 
                                (I), the Secretary shall make the 
                                report available to the public on the 
                                website of the Department of the 
                                Interior.
                                    ``(III) Limitation.--If the 
                                Governor of an eligible State that 
                                receives amounts under clause 
                                (ii)(I)(cc) for the applicable fiscal 
                                year fails to submit the report 
                                required under subclause (I) by the 
                                deadline specified in that subclause, 
                                any amounts that would otherwise be 
                                provided to the eligible State under 
                                clause (ii)(I)(cc) for the succeeding 
                                fiscal year shall be deposited in the 
                                National Oceans and Coastal Security 
                                Fund established under section 904(a) 
                                of the National Oceans and Coastal 
                                Security Act (16 U.S.C. 7503(a)).''.

SEC. 5. EXEMPTION OF CERTAIN PAYMENTS FROM SEQUESTRATION.

    (a) 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 subparagraph 
                (C)(ii)(I)(cc) of section 8(p)(2) of the Outer 
                Continental Shelf Lands Act (43 U.S.C. 1337(p)(2)).''.
    (b) Applicability.--The amendment made by this section shall apply 
to any sequestration order issued under the Balanced Budget and 
Emergency Deficit Control Act of 1985 (2 U.S.C. 900 et seq.) on or 
after the date of enactment of this Act.
                                 <all>