In this task, you are given text for US Congressional and California state bills, your task is to generate a summary for this bill.

[EX Q]: SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Innovation Inspiration School Grant 
Program Act''.

SEC. 2. FINDINGS.

    Congress makes the following findings:
            (1) According to the National Science Board's 2010 Science 
        and Engineering Indicators, only 5 percent of American college 
        graduates major in engineering. In Asia, about 20 percent of 
        all baccalaureate degrees are in engineering and in China about 
        33 percent of baccalaureate degrees are in engineering.
            (2) Although 4th graders in the United States score well 
        against international competition, students in the United 
        States fall near the bottom or dead last by 12th grade in 
        mathematics and science, respectively.
            (3) Admissions requirements for undergraduate engineering 
        schools include a solid background in mathematics (algebra, 
        geometry, trigonometry, and calculus) and science (biology, 
        chemistry, and physics), in addition to courses in English, 
        social studies, and humanities.
            (4) According to the Bureau of Labor Statistics, overall 
        engineering employment is expected to grow by 11 percent from 
        2008 through 2018, and, as a group, engineers earn some of the 
        highest average starting salaries among individuals holding 
        baccalaureate degrees.
            (5) According to the Department of Labor, engineers should 
        be creative, inquisitive, analytical, and detail-oriented. 
        Engineers should be able to work as part of a team and to 
        communicate well, both orally and in writing. Communication 
        abilities are becoming increasingly important as engineers 
        interact more frequently with specialists in a wide range of 
        fields outside engineering.
            (6) Exposure to project- and problem-based learning, in a 
        competitive team environment, gives 9th through 12th graders 
        the skills that they need to be successful in engineering 
        programs of study and engineering careers.
            (7) According to Brandeis University's Center for Youth and 
        Communities, participants in FIRST Robotics (a nonprofit 
        organization that inspires young people to be science and 
        technology leaders by engaging the young people in mentor-based 
        programs)--
                    (A) are more likely than nonparticipants to attend 
                an institution of higher education on a full-time basis 
                (88 percent versus 53 percent);
                    (B) are nearly 2 times as likely to major in a 
                science or engineering field; and
                    (C) are more than 3 times as likely to have majored 
                specifically in engineering.

SEC. 3. DEFINITIONS.

    In this Act:
            (1) Local educational agency.--The term ``local educational 
        agency'' has the meaning given the term in section 9101 of the 
        Elementary and Secondary Education Act of 1965 (20 U.S.C. 
        7801).
            (2) Low-income student.--The term ``low-income student'' 
        means a student who is eligible for free or reduced price lunch 
        under the Richard B. Russell National School Lunch Act (42 
        U.S.C. 1751 et seq.).
            (3) Secondary school.--The term ``secondary school'' has 
        the meaning given the term in section 9101 of the Elementary 
        and Secondary Education Act of 1965 (20 U.S.C. 7801).
            (4) Secretary.--The term ``Secretary'' means the Secretary 
        of Education.
            (5) STEM.--The term ``STEM'' means science, technology, 
        engineering (including robotics), or mathematics.
            (6) Non-traditional stem education teaching methods.--The 
        term ``non-traditional STEM education teaching methods'' means 
        a STEM education method or strategy such as incorporating self-
        directed student learning, inquiry-based learning, cooperative 
        learning in small groups, collaboration with mentors in the 
        field of study, and participation in STEM-related competitions.

SEC. 4. INNOVATIVE INSPIRATION SCHOOL GRANT PROGRAM.

    (a) Goals of Program.--The goals of the Innovation Inspiration 
grant program are--
            (1) to provide opportunities for local educational agencies 
        to support non-traditional STEM education teaching methods;
            (2) to support the participation of students in nonprofit 
        STEM competitions;
            (3) to foster innovation and broaden interest in, and 
        access to, careers in the STEM fields by investing in programs 
        supported by educators and professional mentors who receive 
        hands-on training and ongoing communications that strengthen 
        the interactions of the educators and mentors with--
                    (A) students who are involved in STEM activities; 
                and
                    (B) other students in the STEM classrooms and 
                communities of such educators and mentors; and
            (4) to encourage collaboration among students, engineers, 
        and professional mentors.
    (b) Program Authorized.--
            (1) In general.--The Secretary is authorized to award 
        grants, on a competitive basis, to local educational agencies 
        to enable the local educational agencies--
                    (A) to promote STEM in secondary schools;
                    (B) to support the participation of secondary 
                school students in non-traditional STEM teaching 
                methods; and
                    (C) to broaden secondary school students' access to 
                careers in STEM.
            (2) Duration.--The Secretary shall award each grant under 
        this Act for a period of not more than 5 years.
            (3) Amounts.--The Secretary shall award a grant under this 
        Act in an amount that is sufficient to carry out the goals of 
        this Act.
    (c) Application.--
            (1) In general.--Each local educational agency desiring a 
        grant under this Act shall submit an application to the 
        Secretary at such time, in such manner, and containing such 
        information as the Secretary may reasonably require.
            (2) Contents.--The application shall, at a minimum, include 
        a description of how the local educational agency will--
                    (A) carry out STEM teaching programs that will use 
                a non-traditional STEM teaching method;
                    (B) identify and recruit partners and mentors--
                            (i) to help carry out the programs 
                        described in subparagraph (A); and
                            (ii) to assist students who participate in 
                        such programs, including through technology-
                        supported means;
                    (C) support educators who lead such programs, and 
                participants in such programs, through stipends or 
                other incentives;
                    (D) recruit young women and individuals from 
                populations historically underrepresented in the STEM 
                fields to participate in such programs;
                    (E) identify public and private partners that can 
                support such programs with cash or in-kind 
                contributions;
                    (F) plan for sustaining such programs financially 
                beyond the grant period; and
                    (G) evaluate the grant project and the results of 
                the grant project among participating students, 
                including--
                            (i) comparing students who participate in 
                        the grant project to similar students who do 
                        not participate; and
                            (ii) evaluating--
                                    (I) secondary school graduation 
                                rates;
                                    (II) rates of attendance at 
                                institutions of higher education;
                                    (III) the number of students taking 
                                advanced STEM related secondary school 
                                classes; and
                                    (IV) the ability of students 
                                participating in the grant project to 
                                partner with professional mentors.
            (3) Preference.--In awarding grants under this section, the 
        Secretary shall give priority to applications from local 
        educational agencies that propose to carry out activities that 
        target--
                    (A) a rural or urban school;
                    (B) a low-performing school or local educational 
                agency; or
                    (C) a local educational agency or school that 
                serves low-income students.
    (d) Uses of Funds.--
            (1) In general.--Each local educational agency that 
        receives a grant under this Act shall use the grant funds for 
        any of the following:
                    (A) STEM education and career activities.--
                Promotion of STEM education and career activities.
                    (B) Purchase of parts.--The purchase of parts and 
                supplies needed to support participation in non-
                traditional STEM teaching methods.
                    (C) Teacher incentives and stipends.--Incentives 
                and stipends for teachers involved in non-traditional 
                STEM teaching methods outside of their regular teaching 
                duties.
                    (D) Support and expenses.--Support and expenses for 
                student and team participation in regional and national 
                nonprofit STEM competitions.
                    (E) Additional materials and support.--Additional 
                materials and support, such as equipment, facility use, 
                technology, broadband access, and other expenses, 
                directly associated with non-traditional STEM teaching 
                and mentoring.
                    (F) Evaluation.--Carrying out the evaluation 
                described in subsection (c)(2)(G).
                    (G) Other activities.--Carrying out other 
                activities that are related to the goals of the grant 
                program, as described in subsection (a).
            (2) Prohibition.--A local educational agency shall not use 
        grant funds awarded under this Act to participate in any STEM 
        competition that is not a nonprofit competition.
            (3) Administrative costs.--Each local educational agency 
        that receives a grant under this Act may use not more than 2 
        percent of the grant funds for costs related to the 
        administration of the grant project.
    (e) Matching Requirement.--
            (1) In general.--Subject to paragraph (2), each local 
        educational agency that receives a grant under this Act shall 
        secure, toward the cost of the activities assisted under the 
        grant, from non-Federal sources, an amount equal to 50 percent 
        of the grant. The non-Federal contribution may be provided in 
        cash or in kind.
            (2) Waiver.--The Secretary may waive all or part of the 
        matching requirement described in paragraph (1) for a local 
        educational agency if the Secretary determines that applying 
        the matching requirement would result in a serious financial 
        hardship or a financial inability to carry out the goals of the 
        grant project.
    (f) Supplement, Not Supplant.--Grant funds provided to a local 
educational agency under this Act shall be used to supplement, and not 
supplant, funds that would otherwise be used for activities authorized 
under this Act.
    (g) Evaluation.--The Secretary shall establish an evaluation 
program to determine the efficacy of the grant program established by 
this Act, which shall include comparing students participating in a 
grant project funded under this Act to similar students who do not so 
participate, in order to assess the impact of student participation 
on--
            (1) what courses a student takes in the future; and
            (2) a student's postsecondary study.
    (h) Authorization of Appropriations.--
            (1) In general.--There are authorized to be appropriated to 
        carry out this Act such sums as may be necessary for each of 
        the fiscal years 2014 through 2018.
            (2) Limitations.--Of the amounts appropriated under 
        paragraph (1) for a fiscal year, not more than 2 percent shall 
        be used for the evaluation described under subsection (g).
[EX A]: Innovation Inspiration School Grant Program Act - Authorizes the Secretary of Education to award competitive matching grants to local educational agencies (LEAs) to: (1) promote science, technology, engineering (including robotics), and mathematics (STEM) in secondary schools; (2) support the participation of secondary school students in nontraditional STEM teaching methods; and (3) broaden secondary school students' access to STEM careers. Gives priority to grant applications that target: (1) a rural or urban school, (2) a low-performing school or LEA, or (3) an LEA or school that serves students who are eligible for free or reduced price lunches under the school lunch program. Authorizes the Secretary to waive all or part of the matching requirement for financially-strapped LEAs. Directs the Secretary to evaluate the efficacy of the grant program.

[EX Q]: SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Iraq Congressional Oversight 
Enhancement Act''.

SEC. 2. FINDINGS.

    Congress finds the following:
            (1) On October 16, 2002, the Authorization for Use of 
        Military Force Against Iraq Resolution of 2002 (Public Law 107-
        243) was enacted into law.
            (2) On March 19, 2003, the President, pursuant to the 
        authorities provided to the President by Public Law 107-243, 
        committed United States Armed Forces to combat operations in 
        Iraq.
            (3) On April 9, 2003, Saddam Hussein's Ba'athist regime 
        fell to Coalition Forces.
            (4) On April 16, 2003, the Emergency Wartime Supplemental 
        Appropriations Act, 2003 (Public Law 108-11) was enacted into 
        law, which included $2,500,000,000 for the relief and 
        reconstruction of Iraq.
            (5) On May 12, 2003, the Coalition Provisional Authority 
        (CPA) subsumed the Organization for Reconstruction and 
        Humanitarian Assistance (ORHA), and citing United Nations 
        Security Council Resolution 1483 (2003) and the laws of war, 
        vested itself with executive, legislative, and judicial 
        authority over the Iraqi government until such time as the 
        Iraqi government gained its sovereignty.
            (6) On November 6, 2003, the Emergency Supplemental 
        Appropriations Act for Defense and for the Reconstruction of 
        Iraq and Afghanistan, 2004 (Public Law 108-106) was enacted 
        into law, which included an additional $18,400,000,000 for the 
        relief and reconstruction of Iraq.
            (7) On June 28, 2004, the new Iraqi government gained its 
        sovereignty.
            (8) On January 30, 2005, the Iraqi people successfully 
        elected their first interim National Assembly.
            (9) On March 16, 2005, the 275-member interim Iraqi 
        National Assembly convened to appoint an interim national 
        government and to begin the drafting of a constitution.
            (10) On September 18, 2005, the interim Iraqi National 
        Assembly completed negotiations on the draft constitution.
            (11) On October 15, 2005, the Iraqi people approved the 
        draft constitution by a national referendum.
            (12) On November 30, 2005, the President, through the 
        National Security Council, issued the National Strategy for 
        Victory in Iraq.
            (13) On December 15, 2005, the people of Iraq voted to 
        elect the first permanent National Assembly in accordance with 
        the Constitution of the Republic of Iraq.
            (14) On March 16, 2006, the newly-elected National Assembly 
        convened for their first session.
            (15) On May 20, 2006, the Iraqi Prime Minister-designee 
        named a cabinet, except for the posts of Minister of Defense 
        and Minister of Interior, and the Prime Minister-designee and 
        the cabinet received a vote of confidence from the National 
        Assembly.
            (16) On June 7, 2006, Iraq's National Assembly approved the 
        individuals that the Iraqi Prime Minister nominated for 
        Minister of Defense, Minister of Interior, and National 
        Security Advisor, completing the formation of Iraq's first 
        permanent democratic government.

SEC. 3. STATEMENTS OF POLICY.

    Congress makes the following statements of policy:
            (1) Congress remains supportive of and inspired by the 
        service and sacrifice made by and dedication and commitment to 
        a democratic, stable, and prosperous Iraq displayed by members 
        of the United States Armed Forces and civilian personnel in 
        Iraq and by personnel serving world-wide in support of 
        Operation Iraqi Freedom.
            (2) Congress remains supportive of and inspired by the 
        service and sacrifice made by and dedication and commitment to 
        a democratic, stable, and prosperous Iraq displayed by the 
        military and civilian personnel of Coalition countries serving 
        in support of Operation Iraqi Freedom, and Iraqi patriots 
        working toward a better future for their country and the 
        children of Iraq.
            (3) Congress recognizes the complex and interdependent 
        nature of the challenges associated with the political, 
        security, infrastructure, and economic development of and 
        governance capacity building at and between the national, 
        national capital city, regional, provincial, provincial capital 
        city, and strategic municipal levels of government within Iraq.
            (4) Congress recognizes the achievements to date made by 
        the United States Armed Forces, Coalition Forces, Iraqi 
        Security Forces, and civilian personnel toward the political, 
        security, infrastructure, and economic development of Iraq.
            (5) Congress recognizes the issuance of the President's 
        National Strategy for Victory in Iraq on November 30, 2005.
            (6) Congress supports the formation of a democratic, 
        pluralistic, federal, and united Government of Iraq.
            (7) Congress urges elected Iraqis to maintain their 
        commitment to and preserve a national unity government.
            (8) Congress remains deeply concerned about insurgent 
        attacks and threats against United States Armed Forces, 
        Coalition Forces, Iraqi Security Forces, and civilians in Iraq.
            (9) Congress is concerned about the increase of ethnic and 
        sectarian violence in Iraq following the February 22, 2006, 
        bombing of the Askariya mosque in Samarra, Iraq, and about 
        continued ethnic and sectarian tensions across Iraq and within 
        its cities.
            (10) Congress is concerned about the increasing power that 
        unauthorized politically-aligned militias wield in Iraq, their 
        destabilizing effect on security in Iraq, and the challenges 
        they present to the development of professional Iraqi Security 
        Forces.
            (11) Congress urges the Government of Iraq to continue to 
        pursue policies to promote the development of--
                    (A) a market-based economy in Iraq that increases 
                private-sector employment opportunities for Iraqi 
                workers;
                    (B) private-sector investment opportunities for 
                domestic and international investors; and
                    (C) a government budget process that reflects an 
                appropriate level of investment in the development of 
                and the continued operations and maintenance for Iraq's 
                national infrastructure.
            (12) Congress notes that the National Strategy for Victory 
        in Iraq is not specific regarding vital measures or other 
        benchmarks in Iraq's political, security, infrastructure, and 
        economic development that need to be met to signal to Congress 
        and the American people that victory in Iraq has been achieved 
        and the majority of United States Armed Forces currently 
        deployed in Operation Iraqi Freedom can be redeployed to their 
        peacetime duty stations.
            (13) Congress notes the findings of the reports pursuant to 
        the section entitled ``Measuring Stability and Security in 
        Iraq'' of House Conference Report 109-72 accompanying H.R. 
        1268, Emergency Supplemental Appropriations Act for Defense, 
        the Global War on Terror, and Tsunami Relief, 2005 (Public Law 
        109-13), submitted by the Secretary of Defense (in consultation 
        with other appropriate members of the National Security 
        Council) to the Speaker of the House of Representatives, the 
        Majority Leader of the Senate, and the congressional defense 
        committees that identifies security, economic, and Iraqi 
        Security Force training performance standards and goals, 
        accompanied by a notional timetable for achieving these goals.
            (14) Congress notes the report submitted pursuant to the 
        United States Policy in Iraq Act (section 1227 of the National 
        Defense Authorization Act for Fiscal Year 2006 (Public Law 109-
        163); 119 Stat. 3465-3467), and the current military mission 
        and the diplomatic, political, economic, and military measures 
        that are being or have been undertaken to successfully complete 
        or support that mission.
            (15) Congress reaffirms the findings of the section 
        entitled ``Measuring Stability and Security in Iraq'' of House 
        Conference Report 109-72 and of section 1227 of the National 
        Defense Authorization Act for Fiscal Year 2006, and notes the 
        advantages of consolidating various reports into a single 
        report, from the President, that reflects the requirements of 
        both laws referenced in paragraphs (13) and (14) and that 
        includes the requirements of section 4 of this Act.
            (16) Congress is concerned that the reports submitted to 
        Congress pursuant to the section entitled ``Measuring Stability 
        and Security in Iraq'' of House Conference Report 109-72 and of 
        section 1227 of the National Defense Authorization Act for 
        Fiscal Year 2006, do not provide sufficient content, 
        information, data, and analysis for Congress to comprehensively 
        evaluate the mission in Iraq.
            (17) Congress urges that the reports transmitted pursuant 
        to section 4 of this Act be organized and written to provide 
        content, information, data, and analysis on the mission in Iraq 
        as it pertains to the political, security, infrastructure, and 
        economic development of and governance capacity building at and 
        between the national, national capital city, regional, 
        provincial, provincial capital city, and strategic municipal 
        levels of government within Iraq.
            (18) It is the duty of Congress under Article I, Section 8 
        of the United States Constitution to ``raise and support 
        Armies,'' and that by requiring the President to report to 
        Congress on Operation Iraqi Freedom, Congress is better able to 
        carry out this constitutional duty.

SEC. 4. REPORT.

    (a) Report.--Not later than 90 days after the date of the enactment 
of this Act, the President shall, in accordance with, in support of, 
and to more clearly define the National Strategy for Victory in Iraq, 
transmit to Congress a report that--
            (1) consolidates the requirements of the section entitled 
        ``Measuring Stability and Security in Iraq'' of House 
        Conference Report 109-72 accompanying H.R. 1268, Emergency 
        Supplemental Appropriations Act for Defense, the Global War on 
        Terror, and Tsunami Relief, 2005 (Public Law 109-13) and the 
        United States Policy in Iraq Act (section 1227 of the National 
        Defense Authorization Act for Fiscal Year 2006 (Public Law 109-
        163); 119 Stat. 3465-3467) by containing the information 
        required to be submitted to Congress pursuant to the 
        requirements of such provisions of law;
            (2) identifies the specific or vital measures or other 
        benchmarks that define the terms of completion of and 
        conditions for victory for Operation Iraqi Freedom and their 
        correlation with the strategic objectives and lines of action 
        outlined in the appendix of the National Strategy for Victory 
        in Iraq;
            (3) describes the nature and substance of the programs 
        implemented to achieve such strategic objectives and lines of 
        action; and
            (4) analyzes using metrics the effectiveness of such 
        programs toward achieving the specific vital measures or other 
        benchmarks required to be identified by paragraph (2).
    (b) Update.--
            (1) In general.--The President shall transmit to Congress 
        an update of the report required by subsection (a) not less 
        than once every 120 days after the date on which the President 
        transmits the report required by such subsection until such 
        time as Operation Iraqi Freedom has been completed.
            (2) Contents.--Each update of the report--
                    (A) may reflect adjustments to the specific or 
                vital measures or other benchmarks identified pursuant 
                to subsection (a)(2), or to the nature or substance of 
                the programs described in subsection (a)(3), as 
                realties, circumstances, and events in Iraq change or 
                evolve; and
                    (B) shall include detailed justifications as to why 
                adjustments to such specific or vital measures or other 
                benchmarks, or to the nature or substance of such 
                programs, were made.
    (c) Additional Requirements.--The report required by subsection (a) 
and updates of the report required by subsection (b) shall be--
            (1) organized and written to provide content, data, 
        information, and analysis on the complex interdependent nature 
        of the challenges associated with the political, security, 
        infrastructure, and economic development of and governance 
        capacity building at and between the national, national capital 
        city, regional, provincial, provincial capital city, and 
        strategic municipal levels of government within Iraq; and
            (2) accompanied by a comprehensive all-source intelligence 
        analysis of Iraq that includes information by and from the 
        national, national capital city, regional, provincial, 
        provincial capital city, and strategic municipal levels of 
        government within Iraq.
    (d) Form.--The report required by subsection (a) and updates of the 
report required by subsection (b) shall be transmitted in unclassified 
form but may contain a classified annex.
[EX A]: Iraq Congressional Oversight Enhancement Act - Directs the President to transmit periodically to Congress a consolidated, comprehensive report on the implementation of the National Strategy for Victory in Iraq.

[EX Q]: 50, Seventy-ninth 
        Congress. Such regulations shall also grant the option to 
        deduct as expenses intangible drilling and development costs in 
        the case of wells drilled for any geothermal deposit (as 
        defined in section 613(e)(2)) to the same extent and in the 
        same manner as such expenses are deductible in the case of oil 
        and gas wells. This subsection shall not apply with respect to 
        any costs to which any deduction is allowed under section 59(e) 
        or 291.
            ``(2) Exclusion.--
                    ``(A) In general.--This subsection shall not apply 
                to amounts paid or incurred by a taxpayer in any 
                taxable year in which such taxpayer is a major 
                integrated oil company (within the meaning of section 
                167(h)(5)).
                    ``(B) Amortization of amounts not allowable as 
                deductions under subparagraph (a).--The amount not 
                allowable as a deduction for any taxable year by reason 
                of subparagraph (A) shall be allowable as a deduction 
                ratably over the 60-month period beginning with the 
                month in which the costs are paid or incurred. For 
                purposes of section 1254, any deduction under this 
                subparagraph shall be treated as a deduction under this 
                subsection.''.
    (b) Effective Date.--The amendment made by this section shall apply 
to amounts paid or incurred in taxable years beginning after December 
31, 2013.

SEC. 104. LIMITATION ON PERCENTAGE DEPLETION ALLOWANCE FOR OIL AND GAS 
              WELLS.

    (a) In General.--Section 613A of the Internal Revenue Code of 1986 
is amended by adding at the end the following new subsection:
    ``(f) Application With Respect to Major Integrated Oil Companies.--
In the case of any taxable year in which the taxpayer is a major 
integrated oil company (within the meaning of section 167(h)(5)), the 
allowance for percentage depletion shall be zero.''.
    (b) Effective Date.--The amendment made by this section shall apply 
to taxable years beginning after December 31, 2013.

SEC. 105. LIMITATION ON DEDUCTION FOR TERTIARY INJECTANTS.

    (a) In General.--Section 193 of the Internal Revenue Code of 1986 
is amended by adding at the end the following new subsection:
    ``(d) Application With Respect to Major Integrated Oil Companies.--
            ``(1) In general.--This section shall not apply to amounts 
        paid or incurred by a taxpayer in any taxable year in which 
        such taxpayer is a major integrated oil company (within the 
        meaning of section 167(h)(5)).
            ``(2) Amortization of amounts not allowable as deductions 
        under paragraph (1).--The amount not allowable as a deduction 
        for any taxable year by reason of paragraph (1) shall be 
        allowable as a deduction ratably over the 60-month period 
        beginning with the month in which the costs are paid or 
        incurred.''.
    (b) Effective Date.--The amendment made by this section shall apply 
to amounts paid or incurred in taxable years beginning after December 
31, 2013.

SEC. 106. MODIFICATION OF DEFINITION OF MAJOR INTEGRATED OIL COMPANY.

    (a) In General.--Paragraph (5) of section 167(h) of the Internal 
Revenue Code of 1986 is amended by adding at the end the following new 
subparagraph:
                    ``(C) Certain successors in interest.--For purposes 
                of this paragraph, the term `major integrated oil 
                company' includes any successor in interest of a 
                company that was described in subparagraph (B) in any 
                taxable year, if such successor controls more than 50 
                percent of the crude oil production or natural gas 
                production of such company.''.
    (b) Conforming Amendments.--
            (1) In general.--Subparagraph (B) of section 167(h)(5) of 
        the Internal Revenue Code of 1986 is amended by inserting 
        ``except as provided in subparagraph (C),'' after ``For 
        purposes of this paragraph,''.
            (2) Taxable years tested.--Clause (iii) of section 
        167(h)(5)(B) of such Code is amended--
                    (A) by striking ``does not apply by reason of 
                paragraph (4) of section 613A(d)'' and inserting ``did 
                not apply by reason of paragraph (4) of section 613A(d) 
                for any taxable year after 2004'', and
                    (B) by striking ``does not apply'' in subclause 
                (II) and inserting ``did not apply for the taxable 
                year''.
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2013.

         TITLE II--OUTER CONTINENTAL SHELF OIL AND NATURAL GAS

SEC. 201. REPEAL OF OUTER CONTINENTAL SHELF DEEP WATER AND DEEP GAS 
              ROYALTY RELIEF.

    (a) In General.--Sections 344 and 345 of the Energy Policy Act of 
2005 (42 U.S.C. 15904, 15905) are repealed.
    (b) Administration.--The Secretary of the Interior shall not be 
required to provide for royalty relief in the lease sale terms 
beginning with the first lease sale held on or after the date of 
enactment of this Act for which a final notice of sale has not been 
published.

                        TITLE III--MISCELLANEOUS

SEC. 301. DEFICIT REDUCTION.

    The net amount of any savings realized as a result of the enactment 
of this Act and the amendments made by this Act (after any expenditures 
authorized by this Act and the amendments made by this Act) shall be 
deposited in the Treasury and used for Federal budget deficit reduction 
or, if there is no Federal budget deficit, for reducing the Federal 
debt in such manner as the Secretary of the Treasury considers 
appropriate.

SEC. 302. BUDGETARY EFFECTS.

    The budgetary effects of this Act, for the purpose of complying 
with the Statutory Pay-As-You-Go Act of 2010, shall be determined by 
reference to the latest statement titled ``Budgetary Effects of PAYGO 
Legislation'' for this Act, submitted for printing in the Congressional 
Record by the Chairman of the Senate Budget Committee, provided that 
such statement has been submitted prior to the vote on passage.
[EX A]:
Close Big Oil Tax Loopholes Act - Amends the Internal Revenue Code to limit or repeal certain tax benefits for major integrated oil companies (defined as companies with annual gross receipts over $1 billion and an average daily worldwide production of crude oil of at least 500,000 barrels or certain successors in interest of such companies), including: (1) the foreign tax credit for companies that are dual capacity taxpayers; (2) the tax deduction for income attributable to the production, refining, processing, transportation, or distribution of oil, natural gas, or primary products thereof; (3) the tax deduction for intangible drilling and development costs; (4) the percentage depletion allowance for oil and gas wells; and (5) the tax deduction for qualified tertiary injectant expenses. Amends the Energy Policy Act of 2005 to repeal royalty relief (suspension of royalties) for: (1) natural gas production from deep wells in shallow waters of the Gulf of Mexico; and (2) deep water oil and gas production in the Western and Central Planning Area of the Gulf (including the portion of the Eastern Planning Area encompassing whole lease blocks lying west of 87 degrees, 30 minutes west longitude). Dedicates any increased revenue generated by this Act to the reduction of a federal budget deficit or the federal debt. Provides for compliance of the budgetary effects of this Act with the Statutory Pay-As-You-Go Act of 2010.