An Act to authorize and direct the Secretary of Energy to sell the Alaska Power Administration, and to authorize the export of Alaska North Slope crude oil, and for other purposes.
PL 104-58 (S.395), enacted 11/28/1995

PUBLIC LAW 104-58—NOV. 28, 1995 
109 STAT. 557 
Public Law 104-58 
104th Congress 
An Act 
To authorize and direct the Secretary of Energy to sell the Alaska Power Administra-
tion, and to authorize the export of Alaska North Slope crude oil, and for other 
purposes. 
Be it enacted by the Senate and House of Representatives 
of 
the United States of America in Congress assembled, 
TITLE I—ALASKA POWER ADMINISTRA-
TION ASSET SALE AND TERMINATION 
SEC. 101. SHORT TITLE. 
This title may be cited as the "Alaska Power Administration 
Asset Sale and Termination Act". 
SEC. 102. DEFINITIONS. 
For purposes of this title: 
(1) The term "Eklutna" means the Eklutna Hydroelectric 
Project and related assets as described in section 4 and Exhibit 
A of the Eklutna Purchase Agreement. 
(2) The term "Eklutna Purchase Agreement" means the 
August 2, 1989, Eklutna Purchase Agreement between the 
Alaska Power Administration of the Department of Energy 
and the Eklutna Purchasers, together with any amendments 
thereto adopted before the enactment of this section. 
(3) The term "Eklutna Purchasers" means the Municipality 
of Anchorage doing business as Municipal Light and Power, 
the Chugach Electric Association, Inc. and the Matanuska Elec-
tric Association, Inc. 
(4) The term "Snettisham" means the Snettisham Hydro-
electric Project and related assets as described in section 4 
and Exhibit A of the Snettisham Purchase Agreement. 
(5) The term "Snettisham Purchase Agreement" means the 
February 10, 1989, Snettisham Purchase Agreement between 
the Alaska Power Administration of the Department of Energy 
and the Alaska Power Authority and its successors in interest, 
together with any amendments thereto adopted before the 
enactment of this section. 
(6) The term "Snettisham Purchaser" means the Alaska 
Industrial Development and Export Authority or a successor 
State agency or authority. 
Nov. 28, 1995 
[S. 395] 
Alaska Power 
Administration 
Asset Sale and 
Termination Act. 
42 u s e 7152 
note. 
109 STAT. 558 
PUBLIC LAW 104-58—NOV. 28, 1995 
SEC. 103. SALE OF EKLUTNA AND SNETTISHAM HYDROELECTRIC 
PROJECTS. 
(a) SALE OF EKLUTNA.—^The Secretary of Energy is authorized 
and directed to sell Eklutna to the Eklutna Purchasers in accord-
ance with the terms of this Act and the Eklutna Purchase Agree-
ment. 
(b) SALE OF SNETTISHAM.—^The Secretary of Energy is author-
ized and directed to sell Snettisham to the Snettisham Purchaser 
in accordance with the terms of this Act and the Snettisham Pur-
chase Agreement. 
(c) COOPERATION OF OTHER AGENCIES.—The heads of other 
Federal departments, agencies, and instrumentalities of the United 
States shall assist the Secretary of Energy in implementing the 
sales and conveyances authorized and directed by this title. 
(d) PROCEEDS.—Proceeds from the sales required by this title 
shall be deposited in the Treasury of the United States to the 
credit of miscellaneous receipts. 
(e) AUTHORIZATION OF APPROPRIATIONS.—There are authorized 
to be appropriated such sums as may be necessary to prepare, 
survey, and acquire Eklutna and Snettisham for sale and convey-
ance. Such preparations and acquisitions shall provide sufficient 
title to ensure the beneficial use, enjojnnent, and occupancy by 
the purchasers. 
(f) CONTRIBUTED FUNDS.—^Notwithstanding any other provision 
of law, the Alaska Power Administration is authorized to receive, 
administer, and expend such contributed funds as may be provided 
by the Eklutna Purchasers or customers or the Snettisham Pur-
chaser or customers for the purposes of upgrading, improving, 
maintaining, or administering Eklutna or Snettisham. Upon the 
termination of the Alaska Power Administration under section 
104(f), the Secretary of Energy shall administer and expend any 
remaining balances of such contributed funds for the purposes 
intended by the contributors. 
SEC. 104. EXEMPTION AND OTHER PROVISIONS. 
(a) FEDERAL POWER ACT.—(1) After the sales authorized by 
this Act occur, Eklutna and Snettisham, including future modifica-
tions, shall continue to be exempt from the requirements of Part 
I of the Federal Power Act (16 U.S.C. 791a et seq.), except as 
provided in subsection (b). 
(2) The exemption provided by paragraph (1) shall not affect 
the Memorandum of Agreement entered into among the State of 
Alaska, the Eklutna Purchasers, the Alaska Energy Authority, and 
Federal fish and wildlife agencies regarding the protection, mitiga-
tion of, damages to, and enhancement of fish and wildlife, dated 
August 7,1991, which remains in full force and effect. 
(3) Nothing in this title or the Federal Power Act preempts 
the State of Alaska from carrying out the responsibilities and 
authorities of the Memorandum of Agreement. 
(b) SUBSEQUENT TRANSFERS.—Except for subsequent assign-
ment of interest in Eklutna by the Eklutna Purchasers to the 
Alaska Electric Greneration and Transmission Cooperative Inc. 
pursuant to section 19 of the Eklutna Purchase Agreement, upon 
any subsequent sale or transfer of any portion of Eklutna or 
Snettisham from the Eklutna Purchasers or the Snettisham Pur-
chaser to any other person, the exemption set forth in paragraph 
PUBLIC LAW 104-58—NOV. 28, 1995 
109 STAT. 559 
(1) of subsection (a) of this section shall cease to apply to such 
portion. 
(c) REVIEW.—<1) The United States District Court for the Dis- Courts, 
trict of Alaska shall have jurisdiction to review decisions made 
under the Memorandum of Agreement and to enforce the provisions 
of the Memorandum of Agreement, including the remedy of specific 
performance. 
(2) An action seeking review of a Fish and Wildlife Program 
("Program") of the Governor of Alaska under the Memorandum 
of Agreement or challenging actions of any of the parties to the 
Memorandum of Agreement prior to the adoption of the Program 
shall be brought not later than 90 days after the date on which 
the Program is adopted by the Grovernor of Alaska, or be barred. 
(3) An action seeking review of implementation of the Program 
shall be brought not later than 90 days after the challenged act 
implementing the Program, or be barred. 
(d) EKLUTNA LANDS.—^With respect to Eklutna lands described 
in Exhibit A of the Eklutna Purchase Agreement: 
(1) The Secretary of the Interior shall issue rights-of-way 
to the Alaska Power Administration for subsequent reassign-
ment to the Eklutna Purchasers— 
(A) at no cost to the Eklutna Purchasers; 
(B) to remain effective for a period equal to the life 
of Eklutna as extended by improvements, repairs, renewals, 
or replacements; and 
(C) sufficient for the operation of, maintenance of, 
repair to, and replacement of, and access to, Eklutna facili-
ties located on military lands and lands managed by the 
Bureau of Land Management, including lands selected by 
the State of Alaska. 
(2) Fee title to lands at Anchorage Substation shall be 
transferred to Eklutna Purchasers at no additional cost if the 
Secretary of the Interior determines that pending claims to, 
and selections of, those lands are invalid or relinquished. 
(3) With respect to the Eklutna lands identified in para-
graph 1 of Exhibit A of the Eklutna Purchase Agreement, 
the State of Alaska may select, and the Secretary of the Interior 
shall convey to the State, improved lands under the selection 
entitlements in section 6 of the Act of July 7, 1958 (commonly 
referred to as the Alaska Statehood Act, Public Law 85-508; 
72 Stat. 339), and the North Anchorage Land Agreement dated 
January 31, 1983. This conveyance shall be subject to the 
rights-of-way provided to the Eklutna Purchasers under para-
graph (1). 
(e) SNETTISHAM LANDS.—With respect to the Snettisham lands 
identified in paragraph 1 of Exhibit A of the Snettisham Purchase 
Agreement and Public Land Order No. 5108, the State of Alaska 
may select, and the Secretary of the Interior shall convey to the 
State of Alaska, improved lands under the selection entitlements 
in section 6 of the Act of July 7, 1958 (commonly referred to 
as the Alaska Statehood Act, Public Law 85-508; 72 Stat. 339). 
(f) TERMINATION OF ALASKA POWER ADMINISTRATION.—^Not later 
than one year after both of the sales authorized in section 103 
have occurred, as measured by the Transaction Dates stipulated 
in the Purchase Agreements, the Secretary of Energy shall— 
(1) complete the business of, and close out, the Alaska 
Power Administration; 
109 STAT. 560 
PUBLIC LAW 104-58—NOV. 28, 1995 
Reports. 
Effective dates. 
48 use 312,312 
note, 312a-312d. 
42 use 1962d-
12—1962d-14. 
President. 
(2) submit to Congress a report documenting the sales; 
and 
(3) return unobligated balances of funds appropriated for 
the Alaska Power Administration to the Treasury of the United 
States. 
(g) REPEALS.—(1) The Act of July 31, 1950 (64 Stat. 382) 
is repealed effective on the date that Eklutna is conveyed to the 
Gkliii/Hd. Purchflscrs 
(2) Section 204 of the Flood Control Act of 1962 (76 Stat. 
1193) is repealed effective on the date that Snettisham is conveyed 
to the Snettisham Purchaser. 
(3) The Act of August 9, 1955, concerning water resources 
investigation in Alaska (69 Stat. 618), is repealed. 
(h) DOE ORGANIZATION ACT.—AS of the later of the two dates 
determined in paragraphs (1) and (2) of subsection (g), section 
302(a) of the Department of Energy Organization Act (42 U.S.C. 
7152(a)) is amended— 
(1) in paragraph (1)— 
(A) by striking subparagraph (C); and 
(B) by redesignating subparagraphs (D), (E), and (F) 
as subparagraphs (C), (D), and (E) respectively; and 
(2) in paragraph (2) by striking out "and the Alaska Power 
Administration" and by inserting "and" after "Southwestern 
Power Administration,". 
(i) DISPOSAL.—^The sales of Eklutna and Snettisham under this 
title are not considered disposal of Federal surplus property under 
the Federal Property and Administrative Services Act of 1949 (40 
U.S.C. 484) or the Act of October 3, 1944, popularly referred to 
as the "Surplus Property Act of 1944" (50 U.S.C. App. 1622). 
SEC. 105. OTHER FEDERAL HYDROELECTRIC PROJECTS. 
The provisions of this title regarding the sale of the Alaska 
Power Administration's hydroelectric projects under section 103 
and the exemption of these projects from Part I of the Federal 
Power Act under section 104 do not apply to other Federal hydro-
electric projects. 
TITLE II—EXPORTS OF ALASKAN 
NORTH SLOPE OIL 
SEC. 201. EXPORTS OF ALASKAN NORTH SLOPE OIL. 
Section 28 of the Mineral Leasing Act (30 U.S.C. 185) is amend-
ed by amending subsection (s) to read as follows: 
"EXPORTS OF ALASKAN NORTH SLOPE OIL 
"(s)(l) Subject to paragraphs (2) through (6) of this subsection 
Eind notwithstanding any other provision of this Act or any other 
provision of law (including any regulation) applicable to the export 
of oil transported by pipeline over right-of-way granted pursuant 
to section 203 of the Trans-Alaska Pipeline Authorization Act (43 
U.S.C. 1652), such oil may be exported unless the President finds 
that exportation of this oil is not in the national interest. The 
President shall make his national interest determination within 
five months of the date of enactment of this subsection. In evaluat-
PUBLIC LAW 104-58—NOV. 28, 1995 
109 STAT. 561 
ing whether exports of this oil are in the national interest, the 
President shall at a minimum consider— 
"(A) whether exports of this oil would diminish the total 
quantity or quality of petroleum available to the United States; 
"(B) the results of an appropriate environmental review, 
including consideration of appropriate measures to mitigate 
any potential adverse effects of exports of this oil on the 
environment, which shall be completed within four months 
of the date of the enactment of this subsection; and 
"(C) whether exports of this oil are likely to cause sustained 
material oil supply shortages or sustained oil prices signifi-
cantly above world market levels that would cause sustained 
material adverse emplo3mfient effects in the United States or 
that would cause substantial harm to consumers, including 
noncontiguous States and Pacific territories. 
If the President determines that exports of this oil are in the 
national interest, he may impose such terms and conditions (other 
than a volume limitation) as are necessary or appropriate to ensure 
that such exports are consistent with the national interest. 
"(2) Except in the case of oil exported to a country with which 
the United States entered into a bilateral international oil supply 
agreement before November 26, 1979, or to a country pursuant 
to the International Emergency Oil Sharing Plan of the Inter-
national Energy Agency, any oil transported by pipeline over right-
of-way granted pursuant to section 203 of the Trans-Alaska Pipeline 
Authorization Act (43 LT.S.C. 1652) shall, when exported, be trans-
ported by a vessel documented under the laws of the United States 
and owned by a citizen of the United States (as determined in 
accordance with section 2 of the Shipping Act, 1916 (46 U.S.C. 
App. 802)). 
"(3) Nothing in this subsection shall restrict the authority of 
the President under the Constitution, the International Emergency 
Economic Powers Act (50 U.S.C. 1701 et seq.), the National Emer-
gencies Act (50 U.S.C. 1601 et seq.), or Part B of title II of the 
Energy Policy and Conservation Act (42 U.S.C. 6271-76) to prohibit 
exports. 
"(4) The Secretary of Commerce shall issue any rules necessary Regulations. 
for implementation of the President's national interest determina-
tion, including any licensing requirements and conditions, within 
30 days of the date of such determination by the President. The 
Secretary of Commerce shall consult with the Secretary of Energy 
in administering the provisions of this subsection. 
"(5) If the Secretary of Commerce finds that exporting oil under 
authority of this subsection has caused sustained material oil supply 
shortages or sustained oil prices significantly above world market 
levels and further finds that these supply shortages or price 
increases have caused or are likely to cause sustained material 
adverse employment effects in the United States, the Secretary 
of Commerce, in consultation with the Secretary of Energy, shall 
recommend, and the President may take, appropriate action 
concerning exports of this oil, which may include modifying or 
revoking authority to export such oil. 
"(6) Administrative action under this subsection is not subject 
to sections 551 and 553 through 559 of title 5, United States 
Code.". 
99-194 O - 95 - 19: QL 3 Part 1 
109 STAT. 562 
PUBLIC LAW 104-58—NOV. 28, 1995 
30 use 185 note. 
SEC. 202. GAO REPORT. 
(a) REVIEW.—The Comptroller General of the United States 
shall conduct a review of energy production in California and Alaska 
and the effects of Alaskan North Slope oil exports, if any, on 
consumers, independent refiners, and shipbuilding and ship repair 
yards on the West Coast and in Hawaii. The Comptroller General 
shall commence this review three years after the date of enactment 
of this Act and, within twelve months after commencing the review, 
shall provide a report to the Committee on Energy and Natural 
Resources of the Senate and the Committee on Resources and 
the Committee on Commerce of the House of Representatives. 
(b) CONTENTS OF REPORT.—^The report shall contain a statement 
of the principal findings of the review and recommendations for 
Congress and the President to address job loss in the shipbuilding 
and ship repair industry on the West Coast, as well as adverse 
impacts on consumers and refiners on the West Coast and in 
Hawaii, that the Comptroller General attributes to Alaska North 
Slope oil exports. 
SEC. 203. GRANT AUTHORITY. 
(a) IN GENERAL.—The Secretary of Transportation ("Secretary") 
may make grants to the Multnomah County Tax Supervising and 
Conservation Commission of Multnomah County, Oregon ("Commis-
sion") in accordance with this section, not to exceed the amount 
determined in subsection (b)(2). 
(b) FINDING AND DETERMINATION.—^Before making any grant 
under this section not earlier than one year after exports of Alaskan 
North Slope oil commence pursuant to section 201, the Secretary 
shall— 
(1) find on the basis of substantial evidence that such 
exports are directly or indirectly a substantial contributing 
factor to the need to levy port district ad valorem taxes under 
Oregon Revised Statutes section 294.381; and 
(2) determine the amount of such levy attributable to the 
export of Alaskan North Slope oil. 
(c) AGREEMENT.—^Before receiving a grant under this section 
for the relief of port district ad valorem taxes which would otherwise 
be levied under Oregon Revised Statutes section 294.381, the 
Commission shall enter into an agreement with the Secretary to— 
(1) establish a segregated account for the receipt of grant 
funds; 
(2) deposit and keep grant funds in that account; 
(3) use the funds solely for the purpose of payments in 
accordance with this subsection, as determined pursuant to 
Oregon Revised Statutes sections 294.305-565, and computed 
in accordance with generally accepted accounting principles; 
and 
(4) terminate such account at the conclusion of payments 
subject to this subsection and to transfer any amounts, includ-
ing interest, remaining in such account to the Port of Portland 
for use in transportation improvements to enhance freight 
mobility. 
(d) REPORT.—^Within 60 days of issuing a grant under this 
section, the Secretary shall submit any finding and determination 
made under subsection (b), including supporting information, to 
the Committee on Energy and Natural Resources of the Senate 
PUBLIC LAW 104-58—NOV. 28, 1995 
109 STAT. 563 
and the Committee on Transportation and Infrastructure of the 
House of Representatives. 
(e) AUTHORIZATION OF APPROPRIATIONS.—There are authorized 
to be appropriated to the Secretary of Transportation to carry 
out subsection (a), $15,000,000 for fiscal year 1997, to remain avail-
able until October 1, 2003. 
TITLE III—OUTER CONTINENTAL SHELF 
DEEP WATER ROYALTY RELIEF 
SEC. 301. SHORT TITLE. 
This title may be referred to as the "Outer Continental Shelf 
Deep Water Royalty Relief Act". 
SEC. 302. AMENDMENTS TO THE OUTER CONTINENTAL SHELF LANDS 
ACT. 
Section 8(a) of the Outer Continental Shelf Lands Act (43 
U.S.C. 1337(a)(3)), is amended— 
(1) by designating the provisions of paragraph (3) as 
subparagraph (A) of such paragraph (3); and 
(2) by inserting after subparagraph (A), as so designated, 
the following: 
"(B) In the Western and Central Planning Areas of the Gulf 
of Mexico and the portion of the Eastern Planning Area of the 
Gulf of Mexico encompassing whole lease blocks lying west of 87 
degrees, 30 minutes West longitude, the Secretary may, in order 
to— 
"(i) promote development or increased production on 
producing or non-producing leases; or 
"(ii) encourage production of marginal resources on produc-
ing or non-producing leases; 
through primary, secondary, or tertiary recovery means, reduce 
or eliminate any royalty or net profit share set forth in the 
lease(s). With the lessee's consent, the Secretary may make 
other modifications to the royalty or net profit share terms 
of the lease in order to achieve these purposes. 
"(C)(i) Notwithstanding the provisions of this Act other than 
this subparagraph, with respect to any lease or unit in existence 
on the date of enactment of the Outer Continental Shelf Deep 
Water Royalty Relief Act meeting the requirements of this subpara-
graph, no royalty payments shall be due on new production, as 
defined in clause (iv) of this subparagraph, from any lease or 
unit located in water depths of 200 meters or greater in the Western 
and Central Planning Areas of the Gulf of Mexico, including that 
portion of the Eastern Planning Area of the Gulf of Mexico 
encompassing whole lease blocks lying west of 87 degrees, 30 min-
utes West longitude, until such volume of production as determined 
pursuant to clause (ii) has been produced by the lessee. 
"(ii) Upon submission of a complete application by the lessee, 
the Secretary shall deteimine within 180 days of such application 
whether new production from such lease or unit would be economic 
in the absence of the relief from the requirement to pay royalties 
provided for by clause (i) of this subparagraph. In making such 
determination, the Secretary shall consider the increased techno-
logical and financial risk of deep water development and all costs 
associated with exploring, developing, and producing from the lease. 
Outer 
Continental Shelf 
Deep Water 
Royalty Relief 
Act. 
43 use 1301 
note. 
109 STAT. 564 
PUBLIC LAW 104-58—NOV. 28, 1995 
Notification. 
Courts. 
The lessee shall provide information required for a complete applica-
tion to the Secretary prior to such determination. The Secretary 
shall clearly define the information required for a complete applica-
tion under this section. Such application may be made on the 
basis of an individual lease or unit. If the Secretary determines 
that such new production would be economic in the absence of 
the relief from the requirement to pay royalties provided for by 
clause (i) of this subparagraph, the provisions of clause (i) shall 
not apply to such production. If the Secretary determines that 
such new production would not be economic in the absence of 
the relief from the requirement to pay royalties provided for by 
clause (i), the Secretary must determine the volume of production 
from the lease or unit on which no royalties would be due in 
order to make such new production economically viable; except 
that for new production as defined in clause (iv)(I), in no case 
will that volume be less than 17.5 million barrels of oil equivalent 
in water depths of 200 to 400 meters, 52.5 million barrels of oil 
equivalent in 400-800 meters of water, and 87.5 million barrels 
of oil equivalent in water depths greater than 800 meters. Redeter-
mination of the applicability of clause (i) shall be undertaken by 
the Secretary when requested by the lessee prior to the commence-
ment of the new production and upon significant change in the 
factors upon which the original determination was made. The Sec-
retary shall make such redetermination within 120 days of submis-
sion of a complete application. The Secretary may extend the time 
period for making any determination or redetermination under 
this clause for 30 days, or longer if agreed to by the applicant, 
if circumstances so warrant. The lessee shall be notified in writing 
of any determination or redetermination and the reasons for and 
assumptions used for such determination. Any determination or 
redetermination under this clause shall be a final agency action. 
The Secretar/s determination or redetermination shall be judicially 
reviewable under section 10(a) of the Administrative Procedures 
Act (5 U.S.C. 702), only for actions filed within 30 days of the 
Secretary's determination or redetermination. 
"(iii) In the event that the Secretary fails to make the deter-
mination or redetermination called for in clause (ii) upon application 
by the lessee within the time period, together with any extension 
thereof, provided for by clause (ii), no royalty payments shall be 
due on new production as follows: 
"(I) For new production, as defined in clause (iv)(I) of 
this subparagraph, no royalty shall be due on such production 
according to the schedule of minimum volumes specified in 
clause (ii) of this subparagraph. 
"(II) For new production, as defined in clause (iv)(II) of 
this subparagraph, no royalty shall be due on such production 
for one year following the start of such production. 
"(iv) For purposes of this subparagraph, the term 'new produc-
tion' is— 
"(I) any production from a lease from which no royalties 
are due on production, other than test production, prior to 
the date of enactment of the Outer Continental Shelf Deep 
Water Royalty Relief Act; or 
"(II) any production resulting from lease development 
activities pursuant to a Development Operations Coordination 
Document, or supplement thereto that would expand production 
significantly beyond the level anticipated in the Development 
f ' ^ ~ - ••-
PUBLIC LAW 104-58—NOV. 28, 1995 
109 STAT. 565 
Operations Coordination Document, approved by the Secretary 
after the date of enactment of the Outer Continental Shelf 
Deep Water Royalty Relief Act. 
"(v) During the production of volumes determined pursuant 
to clauses (ii) or (iii) of this subparagraph, in any year during 
which the arithmetic average of the closing prices on the New 
York Mercantile Exchange for light sweet crude oil exceeds $28.00 
per barrel, any production of oil will be subject to royalties at 
the lease stipulated royalty rate. Any production subject to this 
clause shall be counted toward the production volume determined 
pursuant to clause (ii) or (iii). Estimated royalty payments will 
be made if such average of the closing prices for the previous 
year exceeds $28.00. After the end of the calendar year, when 
the new average price can be calculated, lessees will pay any 
royalties due, with interest but without penalty, or can apply for 
a refund, with interest, of any overpayment. 
"(vi) During the production of volumes determined pursuant 
to clause (ii) or (iii) of this subparagraph, in any year during 
which the arithmetic average of the closing prices on the New 
York Mercantile Exchange for natural gas exceeds $3.50 per million 
British thermal units, any production of natural gas will be subject 
to royalties at the lease stipulated royalty rate. Any production 
subject to this clause shall be counted toward the production volume 
determined pursuant to clauses (ii) or (iii). Estimated royalty pay-
ments will be made if such average of the closing prices for the 
previous year exceeds $3.50. After the end of the calendar year, 
when the new average price can be calculated, lessees will pay 
any royalties due, with interest but without penalty, or can apply 
for a refund, with interest, of any overpayment. 
"(vii) The prices referred to in clauses (v) and (vi) of this 
subparagraph shall be changed during any calendar year after 
1994 by the percentage, if any, by which the implicit price deflator 
for the gross domestic product changed during the preceding cal-
endar year.". 
SEC. 303. NEW LEASES. 
Section 8(a)(1) of the Outer Continental Shelf Lands Act, as 
amended (43 U.S.C. 1337(a)(1)) is amended— 
(1) by redesignating subparagraph (H) as subparagraph 
(I); 
(2) by striking "or" at the end of subparagraph (G); and 
(3) by inserting after subparagraph (G) the following new 
subparagraph: 
"(H) cash bonus bid with royalty at no less than 12 and 
VT. per centum fixed by the Secretary in amount or value 
of production saved, removed, or sold, and with suspension 
of royalties for a period, volume, or value of production deter-
mined by the Secretary, which suspensions may vary based 
on the price of production from the lease; or". 
SEC. 304. LEASE SALES. 
43USC1337 
For all tracts located in water depths of 200 meters or greater 
in the Western and Central Planning Area of the Gulf of Mexico, 
including that portion of the Eastern Planning Area of the Gulf 
of Mexico encompassing whole lease blocks lying west of 87 degrees, 
30 minutes West longitude, any lease sale within five years of 
the date of enactment of this title, shall use the bidding system 
authorized in section 8(a)(1)(H) of the Outer Continental Shelf 
109 STAT. 566 
PUBLIC LAW 104-58—NOV. 28, 1995 
43 use 1337 
note. 
43 use 1337 
note. 
Lands Act, as amended by this title, except that the suspension 
of royalties shall be set at a volume of not less than the following: 
(1) 17.5 million barrels of oil equivalent for leases in water 
depths of 200 to 400 meters; 
(2) 52.5 million barrels of oil equivalent for leases in 400 
to 800 meters of water; and 
(3) 87.5 million barrels of oil equivalent for leases in water 
depths greater than 800 meters. 
SEC. 305. REGULATIONS. 
The Secretary shall promulgate such rules and regulations 
as are necessary to implement the provisions of this title within 
180 days after the enactment of this Act. 
SEC. 306. SAVINGS CLAUSE. 
Nothing in this title shall be construed to affect any offshore 
pre-leasing, leasing, or development moratorium, including any 
moratorium applicable to the Eastern Planning Area of the Gulf 
of Mexico located off the Gulf Coast of Florida. 
TITLE IV—MISCELLANEOUS 
Maritime affairs, 
eoast Guard. 
Canada. 
SEC. 401. EMERGENCY RESPONSE PLAN. 
(a) IN GENERAL.—^Within 15 months after the date of the enact-
ment of this Act, the Commandant of the Coast Guard shall submit 
a plan to Congress on the most cost-effective means of implementing 
an international private-sector tug-of-opportunity system, including 
a coordinated system of communication, using existing towing ves-
sels to provide timely emergency response to a vessel in distress 
transiting the waters within the boundaries of the Olympic Coast 
National Marine Sanctuary or the Strait of Juan de Fuca. 
(b) COORDINATION.—In carrying out this section, the Com-
mandant, in consultation with the Secretaries of State and 
Transportation, shall coordinate with the Canadian Government 
and the United States and Canadian maritime industries. 
(c) ACCESS TO INFORMATION.—If necessary, the Commandant 
shall allow United States nonprofit maritime organizations access 
to United States Coast Guard radar imagery and transponder 
information to identify and deploy towing vessels for the purpose 
of facilitating emergency response. 
• •^•\ 
• 
PUBLIC lAW 104-58—NOV. 28, 1995 
109 STAT. 567 
(d) TOWING VESSEL DEFINED.—^For the purpose of this section, 
the term "towing vessel" has the meaning given that term by 
section 2101(40) of title '46, United States Code. 
Apprpvi^ November 28, 1995. 
LEGISLATIVE HISTORY—S. 395 (H.R. 70) (H.R. 1122): 
HOUSE REPORTS: Nos. 104-139, Pt. 1, accompanying H.R. 70 and 104-187, Pt. 
1, accompanying H.R. 1122 (both from Comm. on Resources), 
and 104-312 (Comm. of Conference). 
SENATE REPORTS: No. 104-78 (Comm. on Energy and Natural Resources). 
CONGRESSIONAL RECORD, Vol. 141 (1995): 
May 15, 16, considered and passed Senate. 
July 24, H.R. 70 considered and passed House. 
July 25, S. 395 considered and passed House, amended. 
Nov. 8, House agreed to conference report. 
Nov. 14, Senate agreed to conference revert.