Short title

This Act may be cited as the

Offshore Fairness Act

Definitions

In this Act: (1)

Coast line

The term coast line means the line of ordinary low water along the portion of the coast which is in direct contact with the open sea and the line marking the seaward limit of inland waters, as in existence on the day that is 1 day before the date of enactment of this Act (2)

Existing interest

The term existing interest means any lease, easement, right of use, or right-of-way on, or for any natural resources or minerals, underlying, expanded submerged land that is in existence on the date of conveyance of the expanded submerged land. (3)

Expanded seaward boundary

The term expanded seaward boundary means the boundary of a State that is 3 marine leagues seaward of the coast line of the State. (4)

Expanded submerged land

The term expanded submerged land means the area of the outer Continental Shelf that is located between the point that is 3 miles seaward of the coast line of a State and the point that is 3 marine leagues seaward of the coast line of the State. (5)

Interest owner

The term interest owner means any person holding an existing interest or a portion of an existing interest. (6)

Secretary

The term Secretary means the Secretary of the Interior. (7)

State

The term State means any of the States of Alabama, Florida, Georgia, Louisiana, Mississippi, North Carolina, South Carolina, and Virginia.

Seaward boundaries of certain States

(a)

Seaward boundaries

Section 4 of the Submerged Lands Act (43 U.S.C. 1312) is amended— (1)by striking The at the beginning and inserting the following:

(a)

In general

Except for the States described in subsection (b), the

; and

(2)by adding at the end the following:

(b)

Seaward boundaries of certain coastal States

Subject to subsection (a), the seaward boundary of each of the following States shall be a line 3 marine leagues distant from the coast line of the State as of the date that is 1 day before the date of enactment of the Offshore Fairness Act: (1)Alabama. (2)Florida. (3)Georgia. (4)Louisiana. (5)Mississippi. (6)North Carolina. (7)South Carolina. (8)Virginia.

(b)

Conforming amendments

Section 2 of the Submerged Lands Act (43 U.S.C. 1301) is amended— (1)in subsection (a)(2), by inserting , or 3 marine leagues distant from the coast line of a State described in section 4(b), after the coast line of each such State; and (2)in subsection (b)— (A)by striking from the coast line; (B)by inserting from the coast line of a State, or more than 3 marine leagues from the coast line of a State described in section 4(b), after three geographical miles; and (C)by inserting from the coast line of a State, or more than 3 marine leagues from the coast line of a State described in section 4(b), after three marine leagues.

Conveyance

(a)

In general

Subject to subsections (b) and (c) and section 5, the Secretary shall, by not later than 120 days after the date of enactment of this Act— (1)notify each State of the right to request a conveyance of the applicable interest of the United States in and to the expanded submerged land; and (2)at the request of a State, convey to the applicable State the interest of the United States in and to the expanded submerged land. (b)

Administration

On conveyance under subsection (a), the Secretary shall transfer to the Governor of the State the authority to exercise the powers and duties of the Secretary under the terms of any existing interest, subject to the condition that the State— (1)shall not impose any burdens or requirements on an interest owner that would be stricter than any burdens or requirements imposed under Federal law; and (2)shall not impose any administrative or judicial penalty or sanction on an interest owner that is more severe than any administrative or judicial penalty or sanction under current Federal law. (c)

Liability

As a condition of accepting the conveyance, the State shall agree to indemnify the United States from any liability to any interest owner for the taking of a property interest or breach of contract arising from— (1)the conveyance of the expanded submerged land to the State; or (2)the administration by the State of any existing interest on or underlying the expanded submerged land.

Effect

(a)

In general

Subject to subsections (b) through (e), this Act and the amendments made by this Act shall not affect any valid existing right in and to the expanded submerged land. (b)

Submerged land

Submerged land within the seaward boundaries of a State (as extended by the amendments made by this Act) shall be— (1)subject to Federal oil and gas mineral rights to the extent provided by law; (2)considered to be part of the Federal outer Continental Shelf for purposes of the Outer Continental Shelf Lands Act (43 U.S.C. 1331 et seq.); and (3)subject to— (A)leasing under the authority of that Act; (B)the distribution of revenues under section 8(g)(2) of that Act (43 U.S.C. 1337(g)(2)); and (C)any other laws applicable to the leasing of the oil and gas resources of the Federal outer Continental Shelf, including the Gulf of Mexico Energy Security Act of 2006 (43 U.S.C. 1331 note; Public Law 109–432). (c)

Existing leases

(1)

In general

The amendments made by this Act shall not affect any Federal oil and gas lease in effect on the date of conveyance under section 4. (2)

Divided leases

If the conveyance under section 4 results in a division of a Federal oil and gas lease that is in existence on the date of conveyance, the conveyance of the portion of the expanded submerged land that is covered by the lease shall not take effect until the date that is 1 day after the date that the lease expires or terminates. (d)

Future interests

This section shall not apply to any interest in the expanded submerged land that is granted by the State after the date on which the land is conveyed to the State under section 4. (e)

Taxation

(1)

In general

Subject to paragraph (2), a State may exercise all of the sovereign powers of taxation of the State within the entire extent of the seaward boundaries of the State (as extended by the amendments made by this Act). (2)

Limitation

Nothing in this subsection affects the authority of a State to tax any Federal oil and gas lease in effect on the date of enactment of this Act.

Fishery management rights

(a)

In general

The Secretary of Commerce shall grant to each State exclusive fishery management authority over reef fish in the Gulf of Mexico and the Atlantic Ocean in the expanded submerged land. (b)

Temporary additional authority

(1)

In general

In addition to the authority granted under subsection (a) and subject to paragraph (2), the Secretary of Commerce shall grant to each State exclusive fishery management authority over the red snapper fish (lutjanus campechanus), in the Gulf of Mexico and the Atlantic Ocean in the area of the outer Continental Shelf that is located between the expanded seaward boundary of a State and the point that is 200 miles seaward of the coast line of the State, consistent with the jurisdictional limit of the exclusive economic zone. (2)

Term

The authority under paragraph (1) shall remain in effect for any State until the date on which the Governor of that State has certified to the Secretary of Commerce, in writing, that the Governor is confident that the stock assessments of the National Oceanic and Atmospheric Administration for the red snapper fish (lutjanus campechanus) within the authority of the State, as established by this Act, are— (A)accurate; and (B)based on sound science.