113 HR 5360 IH: American Renaissance in Manufacturing Act
U.S. House of Representatives
2014-07-31
text/xml
EN
Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain.
1.Short title; table of contents
(a)This Act may be cited as the American Renaissance in Manufacturing Act
.
(b)The table of contents for this Act is as follows:
Sec. 1. Short title; table of contents.
Title I—Creating a More Competitive Tax Code
Sec. 1001. Dropping corporate tax rate.
Sec. 1002. Reduced recognition period for built-in gains of S corporations made permanent.
Sec. 1003. Permanent rule regarding basis adjustment to stock of S corporations making charitable
contributions of property.
Sec. 1004. Expensing certain depreciable business assets for small business.
Sec. 1005. Research credit simplified and made permanent.
Sec. 1006. Bonus depreciation modified and made permanent.
Sec. 1007. Budgetary effects.
Title II—Reining in Job-Killing Washington Red Tape
Subtitle A—Regulations From the Executive in Need of Scrutiny Act
Sec. 2001. Purpose.
Sec. 2002. Congressional review of agency rulemaking.
Sec. 2003. Budgetary effects of rules subject to section 802 of title 5, United States Code.
Sec. 2004. Government Accountability Office study of rules.
Subtitle B—Energy Consumers Relief Act
Sec. 2201. Prohibition against finalizing certain energy-related rules that will cause significant
adverse effects to the economy.
Sec. 2202. Reports and determinations prior to promulgating as final certain energy-related rules.
Sec. 2203. Definitions.
Sec. 2204. Prohibition on use of social cost of carbon in analysis.
Subtitle C—Electricity Security and Affordability Act
Sec. 2301. Standards of performance for new fossil fuel-fired electric utility generating units.
Sec. 2302. Congress to set effective date for standards of performance for existing, modified, and
reconstructed fossil fuel-fired electric utility generating units.
Sec. 2303. Repeal of earlier rules and guidelines.
Sec. 2304. Definitions.
Subtitle D—Coal Residuals Reuse and Management
Sec. 2401. Management and disposal of coal combustion residuals.
Sec. 2402. 2000 regulatory determination.
Sec. 2403. Technical assistance.
Sec. 2404. Federal Power Act.
Title III—Reducing Frivolous Legal Costs
Subtitle A—Lawsuit Abuse Reduction Act
Sec. 3101. Attorney accountability.
Subtitle B—Furthering Asbestos Claim Transparency in Bankruptcy
Sec. 3201. Amendments.
Sec. 3202. Effective date; application of amendments.
Subtitle C—Innovation Act
Sec. 3301. Definitions.
Sec. 3302. Patent infringement actions.
Sec. 3303. Transparency of patent ownership.
Sec. 3304. Customer-suit exception.
Sec. 3305. Procedures and practices to implement recommendations of the Judicial Conference.
Sec. 3306. Small business education, outreach, and information access.
Sec. 3307. Studies on patent transactions, quality, and examination.
Sec. 3308. Improvements and technical corrections to the Leahy-Smith America Invents Act.
Sec. 3309. Effective date.
Subtitle D—Resolving Environmental and Grid Reliability Conflicts
Sec. 3401. Amendments to the Federal Power Act.
Title IV—Preserving Access to Abundant and Affordable Sources of Energy
Subtitle A—Northern Route Approval
Sec. 4101. Findings.
Sec. 4102. Keystone XL permit approval.
Sec. 4103. Judicial review.
Sec. 4104. American burying beetle.
Sec. 4105. Right-of-way and temporary use permit.
Sec. 4106. Permits for activities in navigable waters.
Sec. 4107. Migratory Bird Treaty Act permit.
Sec. 4108. Oil spill response plan disclosure.
Subtitle B—Natural Gas Pipeline Permitting Reform
Sec. 4201. Regulatory approval of natural gas pipeline projects.
Subtitle C—North American Energy Infrastructure
Sec. 4301. Finding.
Sec. 4302. Authorization of certain energy infrastructure projects at the national boundary of the
United States.
Sec. 4303. Importation or exportation of natural gas to Canada and Mexico.
Sec. 4304. Transmission of electric energy to Canada and Mexico.
Sec. 4305. No Presidential permit required.
Sec. 4306. Modifications to existing projects.
Sec. 4307. Effective date; rulemaking deadlines.
Sec. 4308. Definitions.
Subtitle D—Protecting States’ Rights To Promote American Energy Security Act
Chapter 1—State Authority for Hydraulic Fracturing Regulation
Sec. 4411. State authority for hydraulic fracturing regulation.
Sec. 4412. Government Accountability Office study.
Sec. 4413. Tribal authority on trust land.
Chapter 2—EPA Hydraulic Fracturing Research
Sec. 4421. EPA hydraulic fracturing research.
Chapter 3—Miscellaneous provisions
Sec. 4431. Review of State activities.
Subtitle E—Offshore Energy and Jobs
Chapter 1—Outer Continental Shelf Leasing Program Reforms
Sec. 4511. Outer Continental Shelf leasing program reforms.
Sec. 4512. Domestic oil and natural gas production goal.
Sec. 4513. Development and submittal of new 5-year oil and gas leasing program.
Sec. 4514. Rule of construction.
Chapter 2—Directing the President To Conduct New OCS Sales in Virginia, South Carolina, and
California
Sec. 4521. Requirement to conduct proposed oil and gas Lease Sale 220 on the Outer Continental
Shelf offshore Virginia.
Sec. 4522. South Carolina lease sale.
Sec. 4523. Southern California existing infrastructure lease sale.
Sec. 4524. Environmental impact statement requirement.
Sec. 4525. National defense.
Sec. 4526. Eastern Gulf of Mexico not included.
Chapter 3—Equitable Sharing of Outer Continental Shelf Revenues
Sec. 4531. Disposition of Outer Continental Shelf revenues to coastal States.
Chapter 4—Reorganization of Minerals Management Agencies of the Department of the Interior
Sec. 4541. Establishment of Under Secretary for Energy, Lands, and Minerals and Assistant Secretary
of Ocean Energy and Safety.
Sec. 4542. Bureau of Ocean Energy.
Sec. 4543. Ocean Energy Safety Service.
Sec. 4544. Office of Natural Resources revenue.
Sec. 4545. Ethics and drug testing.
Sec. 4546. Abolishment of Minerals Management Service.
Sec. 4547. Conforming amendments to Executive Schedule pay rates.
Sec. 4548. Outer Continental Shelf Energy Safety Advisory Board.
Sec. 4549. Outer Continental Shelf inspection fees.
Sec. 4550. Prohibition on action based on National Ocean Policy developed under Executive Order No.
13547.
Chapter 5—United States Territories
Sec. 4551. Application of Outer Continental Shelf Lands Act with respect to territories of the
United States.
Chapter 6—Miscellaneous Provisions
Sec. 4561. Rules regarding distribution of revenues under Gulf of Mexico Energy Security Act of
2006.
Sec. 4562. Amount of distributed qualified outer Continental Shelf revenues.
Chapter 7—Judicial Review
Sec. 4571. Time for filing complaint.
Sec. 4572. District court deadline.
Sec. 4573. Ability to seek appellate review.
Sec. 4574. Limitation on scope of review and relief.
Sec. 4575. Legal fees.
Sec. 4576. Exclusion.
Sec. 4577. Definitions.
<enum>I</enum><header>Creating a More Competitive Tax Code</header>
<section commented="no" id="H46F72AE9E26F448A8A9A9ED2AB2BD739"><enum>1001.</enum><header>Dropping corporate tax rate</header>
<subsection commented="no" id="H16BD1E0062DA4748A3B68EAE0C66ED7F"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">Subsection (b) of <external-xref legal-doc="usc" parsable-cite="usc/26/11">section 11</external-xref> of the Internal Revenue Code of 1986 is amended to read as follows:</text>
<quoted-block display-inline="no-display-inline" id="HC65FD3DBA0DB463DB7E0A5DEAE42F296" style="OLC">
<subsection commented="no" id="HECADE9544AD9431D92609EBEB0EF7742"><enum>(b)</enum><header>Amount of tax</header><text>The amount of the tax imposed by subsection (a) shall be 25 percent of taxable income.</text></subsection><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection commented="no" id="H118E2C7BE211459F92365BCBEBF0EA36"><enum>(b)</enum><header>Conforming amendments</header>
<paragraph commented="no" id="HA779854F687B4A1CB2CF8AE1CD23FB77"><enum>(1)</enum><text>Paragraphs (2)(B) and (6)(A)(ii) of <external-xref legal-doc="usc" parsable-cite="usc/26/860E">section 860E(e)</external-xref> of the Internal Revenue Code of 1986 are each
amended by striking <quote>highest rate of tax specified in section 11(b)(1)</quote> and inserting <quote>rate of tax specified in section 11(b)</quote>.</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="H4881D949EA004A219D1A914021BB8B57"><enum>(2)</enum>
<subparagraph commented="no" display-inline="yes-display-inline" id="HF207DB9C0DE94EA0825231553D11E6DB"><enum>(A)</enum><text>Part I of subchapter P of chapter 1 of such Code is amended by striking section 1201 (and by
striking the item relating to such section in the table of sections for
such part).</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="H9A09CBCF92644551A84CB36BA28A32F8" indent="up1"><enum>(B)</enum><text>Section 12 of such Code is amended by striking paragraphs (4) and (6), and by redesignating
paragraph (5) as paragraph (4).</text>
</subparagraph><subparagraph commented="no" id="HA20AD993D733420EB24F80429FA3AB6E" indent="up1"><enum>(C)</enum><text>Section 527(b) of such Code is amended—</text>
<clause commented="no" id="H2CC7172DC7354274A06E92E8E38FEBFF"><enum>(i)</enum><text>by striking paragraph (2),</text>
</clause><clause commented="no" id="HC3AE2372C53149FBB55EF3179D62957D"><enum>(ii)</enum><text>by striking all that precedes <quote>is hereby imposed</quote> and inserting:</text>
<quoted-block display-inline="no-display-inline" id="H174015A9279C4A8B8E81A152BDBC07FF" style="OLC">
<subsection commented="no" id="HC24FAB367BFC42B08BF9E57FC6A60791"><enum>(b)</enum><header>Tax imposed</header><text display-inline="yes-display-inline">A tax</text></subsection><after-quoted-block>; and</after-quoted-block></quoted-block>
</clause><clause id="H14E94E04E52E4ABC91D34F265D0FFE0B"><enum>(iii)</enum><text>by striking <quote>highest</quote>.</text>
</clause></subparagraph><subparagraph commented="no" id="H0A2EAB4DA71B4525AA0B160C804E0895" indent="up1"><enum>(D)</enum><text display-inline="yes-display-inline">Sections 594(a) of such Code is amended by striking <quote>taxes imposed by section 11 or 1201(a)</quote> and inserting <quote>tax imposed by section 11</quote>.</text>
</subparagraph><subparagraph commented="no" id="HCBE2A2DC175D44AA96FEC4CC4D290C43" indent="up1"><enum>(E)</enum><text>Section 691(c)(4) of such Code is amended by striking <quote>1201,</quote>.</text>
</subparagraph><subparagraph commented="no" id="HD3F419D817A140FC8EE50B94B32D7B80" indent="up1"><enum>(F)</enum><text>Section 801(a) of such Code is amended—</text>
<clause commented="no" id="H09106E99898C4E86AFECCA33739F63AD"><enum>(i)</enum><text>by striking paragraph (2), and</text>
</clause><clause commented="no" id="HB9B733E256DA46C5965E1C3B30C32051"><enum>(ii)</enum><text>by striking all that precedes <quote>is hereby imposed</quote> and inserting:</text>
<quoted-block display-inline="no-display-inline" id="HDA88A367629747E8B6035D870DE12B83" style="OLC">
<subsection commented="no" id="H50F5579ADC9F48D0A95EBA8CF7724C2E"><enum>(a)</enum><header>Tax imposed</header><text display-inline="yes-display-inline">A tax</text></subsection><after-quoted-block>.</after-quoted-block></quoted-block>
</clause></subparagraph><subparagraph commented="no" id="HEAA72FBCFC8944E3B7BA47F570C3C64A" indent="up1"><enum>(G)</enum><text>Section 831(d) of such Code is amended by striking paragraph (1) and by redesignating paragraphs
(2) and (3) as paragraphs (1) and (2), respectively.</text>
</subparagraph><subparagraph commented="no" id="H9FD141D9D9B345A89D90FAE70331F0AF" indent="up1"><enum>(H)</enum><text>Sections 832(c)(5) and 834(b)(1)(D) of such Code are each amended by striking <quote>sec. 1201 and following,</quote>.</text>
</subparagraph><subparagraph commented="no" id="HC8B13DF8BF1F413FB0223FECABDE417D" indent="up1"><enum>(I)</enum><text>Section 852(b)(3)(A) of such Code is amended by striking <quote>section 1201(a)</quote> and inserting <quote>section 11(b)</quote>.</text>
</subparagraph><subparagraph id="H153C053DF6E54E6BB5E96DE1A40FBBD9" indent="up1"><enum>(J)</enum><text>Section 857(b)(3) of such Code is amended—</text>
<clause id="HBD1ADC70EF5646D9A4F2447C9AE22EC5"><enum>(i)</enum><text>by striking subparagraph (A) and redesignating subparagraphs (B) through (F) as subparagraphs (A)
through (E), respectively,</text>
</clause><clause id="HC678537A0B954AEE99636A929AEC9BE9"><enum>(ii)</enum><text>in subparagraph (C), as so redesignated—</text>
<subclause id="H8C7907D0CD6E4D68812B30C05D7ADADA"><enum>(I)</enum><text>by striking <quote>subparagraph (A)(ii)</quote> in clause (i) thereof and inserting <quote>paragraph (1)</quote>, and</text>
</subclause><subclause id="H1FBC009479D94BF79858998579A66610"><enum>(II)</enum><text>by striking <quote>the tax imposed by subparagraph (A)(ii)</quote> in clauses (ii) and (iv) thereof and inserting <quote>the tax imposed by paragraph (1) on undistributed capital gain</quote>,</text>
</subclause></clause><clause id="H7774427203824FFDA0F3242E66886634"><enum>(iii)</enum><text>in subparagraph (E), as so redesignated, by striking <quote>subparagraph (B) or (D)</quote> and inserting <quote>subparagraph (A) or (C)</quote>, and</text>
</clause><clause id="HFBA4435FEEBF41AD8E020ED36070EDCD"><enum>(iv)</enum><text>by adding at the end the following new subparagraph:</text>
<quoted-block display-inline="no-display-inline" id="H340C33A3142645089B7A67AB11898796" style="OLC">
<subparagraph id="H8F74E239EAA7414491641BD3D0BB8994"><enum>(F)</enum><header>Undistributed capital gain</header><text display-inline="yes-display-inline">For purposes of this paragraph, the term <term>undistributed capital gain</term> means the excess of the net capital gain over the deduction for dividends paid (as defined in
section 561) determined with reference to capital gain dividends only.</text></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block>
</clause></subparagraph><subparagraph commented="no" id="H079E084470CF40E4848160798F084B49" indent="up1"><enum>(K)</enum><text>Section 882(a)(1) of such Code is amended by striking <quote>, or 1201(a)</quote>.</text>
</subparagraph><subparagraph commented="no" id="H8A5AD7C245654653981802DEEC978823" indent="up1"><enum>(L)</enum><text>Section 1374(b) of such Code is amended by striking paragraph (4).</text>
</subparagraph><subparagraph commented="no" id="HD3A28750B3734F1581FB616D1299186E" indent="up1"><enum>(M)</enum><text>Section 1381(b) of such Code is amended by striking <quote>taxes imposed by section 11 or 1201</quote> and inserting <quote>tax imposed by section 11</quote>.</text>
</subparagraph><subparagraph commented="no" id="H479E1831B850492D90C636F3448251DA" indent="up1"><enum>(N)</enum><text display-inline="yes-display-inline">Sections 6425(c)(1)(A)(i) and 6655(g)(1)(A)(i) of such Code are each amended by striking <quote>or 1201(a),</quote>.</text>
</subparagraph></paragraph><paragraph commented="no" id="H2E7FD6696ACE41D9BD9E4610578F1D0A"><enum>(3)</enum>
<subparagraph commented="no" display-inline="yes-display-inline" id="HCABED4A4FACC484189CF3ED42D0AF815"><enum>(A)</enum><text>Section 1445(e)(1) of such Code is amended by striking <quote>35 percent</quote> and inserting <quote>25 percent</quote>.</text>
</subparagraph><subparagraph commented="no" id="HE57F03EEF54D432C9BD4586B654A7717" indent="up1"><enum>(B)</enum><text>Section 1445(e)(2) of such Code is amended by striking <quote>35 percent</quote> and inserting <quote>25 percent</quote>.</text>
</subparagraph><subparagraph commented="no" id="H4CC7412FE2854FB28B9D41CAABCF29CF" indent="up1"><enum>(C)</enum><text>Section 1445(e)(6) of such Code is amended by striking <quote>35 percent</quote> and inserting <quote>25 percent</quote>.</text>
</subparagraph><subparagraph commented="no" id="HA72BBB4618C04664911BED8AA7EEC213" indent="up1"><enum>(D)</enum><text>Section 1446(b)(2)(B) of such Code is amended by striking <quote>section 11(b)(1)</quote> and inserting <quote>section 11(b)</quote>.</text>
</subparagraph></paragraph><paragraph id="HF9B54CD851804EBB8C8DD53337AE857B"><enum>(4)</enum><text>Section 852(b)(1) of such Code is amended by striking the last sentence.</text>
</paragraph><paragraph commented="no" id="HA6BDAB8C98684CC5B8C3FC5126C58EBD"><enum>(5)</enum>
<subparagraph commented="no" display-inline="yes-display-inline" id="HD9503664A7D24B098A053D7D244D0731"><enum>(A)</enum><text>Part I of subchapter B of chapter 5 of such Code is amended by striking section 1551 (and by
striking the item relating to such section in the table of sections for
such part).</text>
</subparagraph><subparagraph id="HF60AECC1481544CAADD80202F88C4308" indent="up1"><enum>(B)</enum><text>Section 535(c)(5) of such Code is amended to read as follows:</text>
<quoted-block display-inline="no-display-inline" id="H960922DD16CF48C992EB6C47417CD3F7" style="OLC">
<paragraph id="HB440A36DBB6A4E6F90DC12BBC755D57E"><enum>(5)</enum><header>Cross reference</header><text display-inline="yes-display-inline">For limitation on credit provided in paragraph (2) or (3) in the case of certain controlled
corporations, see section 1561.</text></paragraph><after-quoted-block>.</after-quoted-block></quoted-block>
</subparagraph></paragraph><paragraph commented="no" id="H529708FB4F654B2D9E3A269B218740F7"><enum>(6)</enum><text>Section 7874(e)(1)(B) of such Code is amended by striking <quote>section 11(b)(1)</quote> and inserting <quote>section 11(b)</quote>.</text>
</paragraph></subsection><subsection commented="no" id="H7107E907BC784DC7B52FF0E816A06C51"><enum>(c)</enum><header>Effective date</header>
<paragraph commented="no" id="H7F52805EC43F45B3A6A0FD45EB7D08B5"><enum>(1)</enum><header>In general</header><text>Except as otherwise provided in this subsection, the amendments made by this section shall apply to
taxable years beginning after December 31, 2014.</text>
</paragraph><paragraph commented="no" id="H6DCF19BFF65A42BC867DC72EF41F8007"><enum>(2)</enum><header>Withholding</header><text>The amendments made by subsection (b)(3) shall apply to distributions made after December 31, 2014.</text>
</paragraph><paragraph commented="no" id="H0B4562AB59C44D99B4030F535992412E"><enum>(3)</enum><header>Certain transfers</header><text>The amendments made by subsection (b)(5) shall apply to transfers made after December 31, 2014.</text>
</paragraph></subsection></section><section id="HAD81F44C266B45A983A2D0472F65841F"><enum>1002.</enum><header>Reduced recognition period for built-in gains of S corporations made permanent</header>
<subsection commented="no" id="H0143030CD4AB4ECEA2F103572B027AE3"><enum>(a)</enum><header>In general</header><text>Paragraph (7) of <external-xref legal-doc="usc" parsable-cite="usc/26/1374">section 1374(d)</external-xref> of the Internal Revenue Code of 1986 is amended to read as
follows:</text>
<quoted-block id="H7468FF2C4F5343D39CC39AB1F6639D2F" style="OLC">
<paragraph commented="no" id="H7F8910EFCF6640CDBC6A3C1318F91834"><enum>(7)</enum><header>Recognition period</header>
<subparagraph id="H582D21A029FF4692AE9A9A99964042B2"><enum>(A)</enum><header>In general</header><text>The term <term>recognition period</term> means the 5-year period beginning with the 1st day of the 1st taxable year for which the
corporation was an S corporation. For purposes of applying this section to
any amount includible in income by reason of distributions to shareholders
pursuant to section 593(e), the preceding sentence shall be applied
without regard to the phrase <quote>5-year</quote>.</text>
</subparagraph><subparagraph id="H3B8C076F6EA445948605FB8D7C255B69"><enum>(B)</enum><header>Installment sales</header><text>If an S corporation sells an asset and reports the income from the sale using the installment
method under section 453, the treatment of all payments received shall be
governed by the provisions of this paragraph applicable to the taxable
year in which such sale was made.</text></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection commented="no" id="HAE98D52EB406490F8CA912BCDE595D1F"><enum>(b)</enum><header>Effective date</header><text display-inline="yes-display-inline">The amendment made by this section shall apply to taxable years beginning after December 31, 2013.</text>
</subsection></section><section commented="no" id="H5DA54F4C810B46AEBB94AD8DB1D43A3C" section-type="subsequent-section"><enum>1003.</enum><header>Permanent rule regarding basis adjustment to stock of S corporations making charitable
contributions of property</header>
<subsection commented="no" id="H31D3B486E3C0416599315E2BD1C6AA7E"><enum>(a)</enum><header>In general</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/1367">Section 1367(a)(2)</external-xref> of the Internal Revenue Code of 1986 is amended by striking the last sentence.</text>
</subsection><subsection commented="no" id="HC0A86C1ACC7141CAB408708351D0209A"><enum>(b)</enum><header>Effective date</header><text>The amendment made by this section shall apply to contributions made in taxable years beginning
after December 31, 2013.</text>
</subsection></section><section id="H3BFC21055DAE4085AC8ED7FC9E7CE0D6"><enum>1004.</enum><header>Expensing certain depreciable business assets for small business</header>
<subsection id="H343E445FAD0C41B99AA91FE7795843D5"><enum>(a)</enum><header>In general</header>
<paragraph id="H2CD30E2B21F74805B89CE8D0D6ECF877"><enum>(1)</enum><header>Dollar limitation</header><text>Paragraph (1) of <external-xref legal-doc="usc" parsable-cite="usc/26/179">section 179(b)</external-xref> of the Internal Revenue Code of 1986 is amended by striking <quote>shall not exceed—</quote> and all that follows and inserting <quote>shall not exceed $500,000.</quote>.</text>
</paragraph><paragraph id="H6BF0D9380A3F4924986D800AB7E7D1C6"><enum>(2)</enum><header>Reduction in limitation</header><text>Paragraph (2) of section 179(b) of such Code is amended by striking <quote>exceeds—</quote> and all that follows and inserting <quote>exceeds $2,000,000.</quote>.</text>
</paragraph></subsection><subsection id="HCE3CFE58442C4A059C55FD66D45F918C"><enum>(b)</enum><header>Computer software</header><text display-inline="yes-display-inline">Clause (ii) of section 179(d)(1)(A) of such Code is amended by striking <quote>, to which section 167 applies, and which is placed in service in a taxable year beginning after
2002 and before 2014</quote> and inserting <quote>and to which section 167 applies</quote>.</text>
</subsection><subsection id="HF5D01D39773D47FA86E91CC302129707"><enum>(c)</enum><header>Election</header><text>Paragraph (2) of section 179(c) of such Code is amended—</text>
<paragraph id="H7E3B4222BF75425185E0130A6352141C"><enum>(1)</enum><text>by striking <quote>may not be revoked</quote> and all that follows through <quote>and before 2014</quote>, and</text>
</paragraph><paragraph id="H7BA187F084FB4777904EDD35710C51D9"><enum>(2)</enum><text>by striking <quote><header-in-text level="paragraph" style="OLC">irrevocable</header-in-text></quote> in the heading thereof.</text>
</paragraph></subsection><subsection commented="no" id="HFCF16EAC25BF461A9A7D8673489184AD"><enum>(d)</enum><header>Air conditioning and heating units</header><text>Paragraph (1) of section 179(d) of such Code is amended by striking <quote>and shall not include air conditioning or heating units</quote>.</text>
</subsection><subsection id="HE91BEEB2091045999F78EF0ACBE9E6B1"><enum>(e)</enum><header>Qualified real property</header><text display-inline="yes-display-inline">Subsection (f) of section 179 of such Code is amended—</text>
<paragraph id="H7F5FA4D0CB514D16AE9B7FE5D4A84623"><enum>(1)</enum><text>by striking <quote>beginning in 2010, 2011, 2012, or 2013</quote> in paragraph (1), and</text>
</paragraph><paragraph id="H111DBE6C20644F30B219C326B9E7593E"><enum>(2)</enum><text>by striking paragraphs (3) and (4).</text>
</paragraph></subsection><subsection id="HC886C3DE547640BCB0AE841698F25A91"><enum>(f)</enum><header>Inflation adjustment</header><text>Subsection (b) of section 179 of such Code is amended by adding at the end the following new
paragraph:</text>
<quoted-block display-inline="no-display-inline" id="H382B04F232024F9FA6B01B1F6896DA61" style="OLC">
<paragraph id="H5EE38F5EB835441CB8E844F6C8C5B3AA"><enum>(6)</enum><header>Inflation adjustment</header>
<subparagraph id="H8030CE1B08AD47FDA36B1BAA44071A7A"><enum>(A)</enum><header>In general</header><text>In the case of any taxable year beginning after 2014, the dollar amounts in paragraphs (1) and (2)
shall each be increased by an amount equal to—</text>
<clause id="H17FA2125B42948E5B117E6CD5844791C"><enum>(i)</enum><text>such dollar amount, multiplied by</text>
</clause><clause id="H879C0B2368EB4D019D6D02ED38F6B5DF"><enum>(ii)</enum><text>the cost-of-living adjustment determined under section 1(c)(2)(A) for such calendar year,
determined by substituting <quote>calendar year 2013</quote> for <quote>calendar year 2012</quote> in clause (ii) thereof.</text>
</clause></subparagraph><subparagraph id="HBE493881C80F4A56A5E8F7E1D4BC96C2"><enum>(B)</enum><header>Rounding</header><text display-inline="yes-display-inline">The amount of any increase under subparagraph (A) shall be rounded to the nearest multiple of
$10,000.</text></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection id="H2D6CFAFA6729424B82BB0FD496165983"><enum>(g)</enum><header>Effective date</header><text>The amendments made by this section shall apply to taxable years beginning after December 31, 2013.</text>
</subsection></section><section commented="no" id="HC1CCA737F71C4708BDB3008174E0B447"><enum>1005.</enum><header>Research credit simplified and made permanent</header>
<subsection commented="no" id="H0D0D96CD619446C48F03F52FBC6C1E2B"><enum>(a)</enum><header>In general</header><text>Subsection (a) of <external-xref legal-doc="usc" parsable-cite="usc/26/41">section 41</external-xref> of the Internal Revenue Code of 1986 is amended to read as follows:</text>
<quoted-block display-inline="no-display-inline" id="HF5AC4809624D41E4803C6345AA3D0F29" style="OLC">
<subsection commented="no" id="H3C32A69C83EF4012887E431CB65E70BC"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">For purposes of section 38, the research credit determined under this section for the taxable year
shall be an amount equal to the sum of—</text>
<paragraph commented="no" id="H87C0952F947F4CF697D2AAEAE835C408"><enum>(1)</enum><text>20 percent of so much of the qualified research expenses for the taxable year as exceeds 50 percent
of the average qualified research expenses for the 3 taxable years
preceding the taxable year for which the credit is being determined,</text>
</paragraph><paragraph commented="no" id="H9D8F3A340F1042EB9153F94CB3BB4F5A"><enum>(2)</enum><text display-inline="yes-display-inline">20 percent of so much of the basic research payments for the taxable year as exceeds 50 percent of
the average basic research payments for the 3 taxable years preceding the
taxable year for which the credit is being determined, plus</text>
</paragraph><paragraph id="H60839045524F403791823BC4D8ED47A8"><enum>(3)</enum><text display-inline="yes-display-inline">20 percent of the amounts paid or incurred by the taxpayer in carrying on any trade or business of
the taxpayer during the taxable year (including as contributions) to an
energy research consortium for energy research.</text></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection commented="no" id="H44A0E8AF83ED4BC680520445D460AD04"><enum>(b)</enum><header>Repeal of termination</header><text>Section 41 of such Code is amended by striking subsection (h).</text>
</subsection><subsection commented="no" id="H7AF29DD8F2AB4F3AB12B5A750F6E1225"><enum>(c)</enum><header>Conforming amendments</header>
<paragraph commented="no" id="H189A55FAB7774875B715BC643970789E"><enum>(1)</enum><text>Subsection (c) of section 41 of such Code is amended to read as follows:</text>
<quoted-block display-inline="no-display-inline" id="H190E31215F4546F6B41B9CF7E355D161" style="OLC">
<subsection commented="no" id="H7210936C124E4B2DB72692BE2F36FAD4"><enum>(c)</enum><header>Determination of average research expenses for prior years</header>
<paragraph id="H9CD88CCE7AE5467AA2C5F4F96B00EB33"><enum>(1)</enum><header>Special rule in case of no qualified research expenditures in any of 3 preceding taxable years</header><text display-inline="yes-display-inline">In any case in which the taxpayer has no qualified research expenses in any one of the 3 taxable
years preceding the taxable year for which the credit is being determined,
the amount determined under subsection (a)(1) for such taxable year shall
be equal to 10 percent of the qualified research expenses for the taxable
year.</text>
</paragraph><paragraph id="H08398B2FC4A14573BDA2822EFB4312CC"><enum>(2)</enum><header>Consistent treatment of expenses</header>
<subparagraph id="H7DC22538E8904CB3A0E705B1E22582AE"><enum>(A)</enum><header>In general</header><text display-inline="yes-display-inline">Notwithstanding whether the period for filing a claim for credit or refund has expired for any
taxable year taken into account in determining the average qualified
research expenses, or average basic research payments, taken into account
under subsection (a), the qualified research expenses and basic research
payments taken into account in determining such averages shall be
determined on a basis consistent with the determination of qualified
research expenses and basic research payments, respectively, for the
credit year.</text>
</subparagraph><subparagraph id="H17252225B16B4855B6454001D2AF6063"><enum>(B)</enum><header>Prevention of distortions</header><text>The Secretary may prescribe regulations to prevent distortions in calculating a taxpayer’s
qualified research expenses or basic research payments caused by a change
in accounting methods used by such taxpayer between the current year and a
year taken into account in determining the average qualified research
expenses or average basic research payments taken into account under
subsection (a).</text></subparagraph></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph><paragraph id="H6F122AE6272547908F413D53CB24F641"><enum>(2)</enum><text>Section 41(e) of such Code is amended—</text>
<subparagraph id="H6CFEF3108208480E8A574ED0DE6B0748"><enum>(A)</enum><text>by striking all that precedes paragraph (6) and inserting the following:</text>
<quoted-block display-inline="no-display-inline" id="H754FB443CF44450FA02B85D55C1A40DE" style="OLC">
<subsection id="HCB9A02670D2F4C3A95D3CF46A1EE6172"><enum>(e)</enum><header>Basic research payments</header><text display-inline="yes-display-inline">For purposes of this section—</text>
<paragraph id="H737AC87B334447578FBB531B59066742"><enum>(1)</enum><header>In general</header><text display-inline="yes-display-inline">The term <term>basic research payment</term> means, with respect to any taxable year, any amount paid in cash during such taxable year by a
corporation to any qualified organization for basic research but only if—</text>
<subparagraph id="H092150BC5F724DDBA3CB97A75718849A"><enum>(A)</enum><text>such payment is pursuant to a written agreement between such corporation and such qualified
organization, and</text>
</subparagraph><subparagraph id="H4FE4B7A499D64709AEB54DCCEA8453BB"><enum>(B)</enum><text>such basic research is to be performed by such qualified organization.</text>
</subparagraph></paragraph><paragraph id="H3454C31825BF494FAC0CA376F5B299CA"><enum>(2)</enum><header>Exception to requirement that research be performed by the organization</header><text display-inline="yes-display-inline">In the case of a qualified organization described in subparagraph (C) or (D) of paragraph (3),
subparagraph (B) of paragraph (1) shall not apply.</text></paragraph></subsection><after-quoted-block>,</after-quoted-block></quoted-block>
</subparagraph><subparagraph id="HCCD9770E069C441CB02440EEB578231E"><enum>(B)</enum><text>by redesignating paragraphs (6) and (7) as paragraphs (3) and (4), respectively, and</text>
</subparagraph><subparagraph id="H28A009283A76427F8BB346E42EB12884"><enum>(C)</enum><text>in paragraph (4) as so redesignated, by striking subparagraphs (B) and (C) and by redesignating
subparagraphs (D) and (E) as subparagraphs (B) and (C), respectively.</text>
</subparagraph></paragraph><paragraph display-inline="no-display-inline" id="HC041821926D94B50A393FBCEDBE355AB"><enum>(3)</enum><text>Section 41(f)(3) of such Code is amended—</text>
<subparagraph display-inline="no-display-inline" id="H9586CF8ABA0841359C9D591271140487"><enum>(A)</enum>
<clause commented="no" display-inline="yes-display-inline" id="H672566E0B2414A26A4CBD4D5B14B4240"><enum>(i)</enum><text>by striking <quote>, and the gross receipts</quote> in subparagraph (A)(i) and all that follows through <quote>determined under clause (iii)</quote>,</text>
</clause><clause id="HA34DD0DEB53044BB839809122A4F2AD0" indent="up1"><enum>(ii)</enum><text>by striking clause (iii) of subparagraph (A) and redesignating clauses (iv), (v), and (vi),
thereof, as clauses (iii), (iv), and (v), respectively,</text>
</clause><clause id="HCFBB85B789A44E18A532DA4B11EB3509" indent="up1"><enum>(iii)</enum><text>by striking <quote>and (iv)</quote> each place it appears in subparagraph (A)(iv) (as so redesignated) and inserting <quote>and (iii)</quote>,</text>
</clause><clause id="HE455A62A4E494BF18709AC8C82B4E669" indent="up1"><enum>(iv)</enum><text>by striking subclause (IV) of subparagraph (A)(iv) (as so redesignated), by striking <quote>, and</quote> at the end of subparagraph (A)(iv)(III) (as so redesignated) and inserting a period, and by adding <quote>and</quote> at the end of subparagraph (A)(iv)(II) (as so redesignated),</text>
</clause><clause id="H71AE4ADD1F534E368380376C45CB435B" indent="up1"><enum>(v)</enum><text>by striking <quote>(A)(vi)</quote> in subparagraph (B) and inserting <quote>(A)(v)</quote>, and</text>
</clause><clause id="H62112E42B13D43BBB2B352CAF1841182" indent="up1"><enum>(vi)</enum><text>by striking <quote>(A)(iv)(II)</quote> in subparagraph (B)(i)(II) and inserting <quote>(A)(iii)(II)</quote>,</text>
</clause></subparagraph><subparagraph display-inline="no-display-inline" id="HEE59EC3D63DC421BA273E485049E32E5"><enum>(B)</enum><text>by striking <quote>, and the gross receipts of the predecessor,</quote> in subparagraph (A)(iv)(II) (as so redesignated),</text>
</subparagraph><subparagraph display-inline="no-display-inline" id="HE1FA444AC21943D3A1B2D8B2BE11BAA3"><enum>(C)</enum><text>by striking <quote>, and the gross receipts of,</quote> in subparagraph (B),</text>
</subparagraph><subparagraph display-inline="no-display-inline" id="H6622B6F371914B158A0A9D0CEDC25B3F"><enum>(D)</enum><text>by striking <quote>, or gross receipts of,</quote> in subparagraph (B)(i)(I), and</text>
</subparagraph><subparagraph display-inline="no-display-inline" id="HD161846AB68B4B94BDF5ED73D1B0390A"><enum>(E)</enum><text>by striking subparagraph (C).</text>
</subparagraph></paragraph></subsection><subsection commented="no" id="HA26720A9675A49DD85E8FE0C44C8C946"><enum>(d)</enum><header>Effective date</header>
<paragraph commented="no" id="H47A2A47BDFB84DDAB053FDF1A8B68CD0"><enum>(1)</enum><header>In general</header><text display-inline="yes-display-inline">Except as provided in paragraph (2), the amendments made by this section shall apply to taxable
years beginning after December 31, 2013.</text>
</paragraph><paragraph commented="no" id="H0D045E771C824649BE23429E968102FB"><enum>(2)</enum><header>Subsection <enum-in-header>(b)</enum-in-header></header><text>The amendment made by subsection (b) shall apply to amounts paid or incurred after December 31,
2013.</text>
</paragraph></subsection></section><section id="H48DB30FD2FF6405A84A7832DD23C179F" section-type="subsequent-section"><enum>1006.</enum><header>Bonus depreciation modified and made permanent</header>
<subsection id="H6D1626A9B5194D0492E1C0929FD8E8CC"><enum>(a)</enum><header>Made permanent; inclusion of qualified retail improvement property</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/168">Section 168(k)(2)</external-xref> of the Internal Revenue Code of 1986 is amended to read as follows:</text>
<quoted-block id="H0DC429B5084C4CEABF5B7C6E8F7E088F" style="OLC">
<paragraph id="H597F3B4EF6D64133AA5CABD06660CB73"><enum>(2)</enum><header>Qualified property</header><text>For purposes of this subsection—</text>
<subparagraph id="H3E25D996BB694EFF99AAA1926D5ACE4D"><enum>(A)</enum><header>In general</header><text>The term <term>qualified property</term> means property—</text>
<clause id="H20914A29B6E64D5CBBC30B92B915075F"><enum>(i)</enum>
<subclause commented="no" display-inline="yes-display-inline" id="H404B83F4F39E44B48AAF42D462BA3AFB"><enum>(I)</enum><text>to which this section applies which has a recovery period of 20 years or less,</text>
</subclause><subclause id="HD0071D6C795C4C00AFEEDD1FBBF9B72C" indent="up1"><enum>(II)</enum><text>which is computer software (as defined in section 167(f)(1)(B)) for which a deduction is allowable
under section 167(a) without regard to this subsection,</text>
</subclause><subclause id="HA210787CF58D455BA7AA38A7B5516870" indent="up1"><enum>(III)</enum><text>which is water utility property,</text>
</subclause><subclause id="H03B7560F3CBE41B3B0D80BC7E3F54F7A" indent="up1"><enum>(IV)</enum><text>which is qualified leasehold improvement property, or</text>
</subclause><subclause id="H4A48A97E1FFF4731A36AB36E246B29E1" indent="up1"><enum>(V)</enum><text>which is qualified retail improvement property, and</text>
</subclause></clause><clause id="H1397E601C3B346309742DE89254ABC2D"><enum>(ii)</enum><text>the original use of which commences with the taxpayer.</text>
</clause></subparagraph><subparagraph id="H5C5BE077C1B64AB5856820941E11C3DC"><enum>(B)</enum><header>Exception for alternative depreciation property</header><text>The term <term>qualified property</term> shall not include any property to which the alternative depreciation system under subsection (g)
applies, determined—</text>
<clause id="H3BC579FC611E4F8FA52FD89EBFFF9ED8"><enum>(i)</enum><text>without regard to paragraph (7) of subsection (g) (relating to election to have system apply), and</text>
</clause><clause id="HAA91DE6AF3EB4BEEBC9BCD89513D679E"><enum>(ii)</enum><text>after application of section 280F(b) (relating to listed property with limited business use).</text>
</clause></subparagraph><subparagraph id="H8965B2194D9240F5A83B5E788AD056A2"><enum>(C)</enum><header>Special rules</header>
<clause id="HAFB08660414049019946E50D07B1EDA8"><enum>(i)</enum><header>Sale-leasebacks</header><text>For purposes of clause (ii) and subparagraph (A)(ii), if property is—</text>
<subclause id="HFAAD23F60C2D46B6A49DDDFBD23E4CDF"><enum>(I)</enum><text>originally placed in service by a person, and</text>
</subclause><subclause id="H2FDB719F1BCB437BA3E232268381F105"><enum>(II)</enum><text>sold and leased back by such person within 3 months after the date such property was originally
placed in service,</text></subclause><continuation-text continuation-text-level="clause">such property shall be treated as originally placed in service not earlier than the date on which
such property is used under the leaseback referred to in subclause (II).</continuation-text></clause><clause id="H84B683CD0040417F8D89CA9A08B0D57C"><enum>(ii)</enum><header>Syndication</header><text>For purposes of subparagraph (A)(ii), if—</text>
<subclause id="H8AD09E27D1E64022A976B25E4F6A03F2"><enum>(I)</enum><text>property is originally placed in service by the lessor of such property,</text>
</subclause><subclause id="H240A540F1EB248A8A7EEC823B29D0A91"><enum>(II)</enum><text>such property is sold by such lessor or any subsequent purchaser within 3 months after the date
such property was originally placed in service (or, in the case of
multiple units of property subject to the same lease, within 3 months
after the date the final unit is placed in service, so long as the period
between the time the first unit is placed in service and the time the last
unit is placed in service does not exceed 12 months), and</text>
</subclause><subclause id="H060C6AACD2B441D08618653F84DE190A"><enum>(III)</enum><text>the user of such property after the last sale during such 3-month period remains the same as when
such property was originally placed in service,</text></subclause><continuation-text continuation-text-level="clause">such property shall be treated as originally placed in service not earlier than the date of such
last sale.</continuation-text></clause></subparagraph><subparagraph id="H4DDF8C6A9C1C4A919C192275494C4785"><enum>(D)</enum><header>Coordination with section 280F</header><text>For purposes of section 280F—</text>
<clause id="H012853F4FC6D4FBBAC0D61F4F3FFF86E"><enum>(i)</enum><header>Automobiles</header><text>In the case of a passenger automobile (as defined in section 280F(d)(5)) which is qualified
property, the Secretary shall increase the limitation under section
280F(a)(1)(A)(i) by $8,000.</text>
</clause><clause id="H4103B5B43ECB482591209F14D68D7BDB"><enum>(ii)</enum><header>Listed property</header><text>The deduction allowable under paragraph (1) shall be taken into account in computing any recapture
amount under section 280F(b)(2).</text>
</clause><clause id="H9E4F9B3B19FC4D749A41A410A9965C24"><enum>(iii)</enum><header>Inflation adjustment</header><text display-inline="yes-display-inline">In the case of any taxable year beginning in a calendar year after 2014, the $8,000 amount in
clause (i) shall be increased by an amount equal to—</text>
<subclause id="HA31D72C71393409B82C4990571BAF795"><enum>(I)</enum><text>such dollar amount, multiplied by</text>
</subclause><subclause id="H151104652ABA4103B407481B6195687C"><enum>(II)</enum><text>the automobile price inflation adjustment determined under section 280F(d)(7)(B)(i) for the
calendar year in which such taxable year begins by substituting <quote>2013</quote> for <quote>1987</quote> in subclause (II) thereof.</text></subclause><continuation-text continuation-text-level="clause">If any increase under the preceding sentence is not a multiple of $100, such increase shall be
rounded to the nearest multiple of $100.</continuation-text></clause></subparagraph><subparagraph id="H0F21A62C827F4FFEBACDA0B05C97B989"><enum>(E)</enum><header>Deduction allowed in computing minimum tax</header><text>For purposes of determining alternative minimum taxable income under section 55, the deduction
under section 167 for qualified property shall be determined without
regard to any adjustment under section 56.</text></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection id="H2C8D24A505BA4B44AC3DBD0CBCAA51C1"><enum>(b)</enum><header>Expansion of election To accelerate AMT credits in lieu of bonus depreciation</header><text>Section 168(k)(4) of such Code is amended to read as follows:</text>
<quoted-block id="HF70050EC76B647E1A1551EAA1186B75B" style="OLC">
<paragraph id="H42F40015D1EC41DA8FFB93B93F67ACD6"><enum>(4)</enum><header>Election to accelerate AMT credits in lieu of bonus depreciation</header>
<subparagraph id="H21984C9A4212490383A18FE217183C55"><enum>(A)</enum><header>In general</header><text>If a corporation elects to have this paragraph apply for any taxable year—</text>
<clause id="HBB62DA720E22415E80298334DBF2F112"><enum>(i)</enum><text>paragraphs (1)(A), (2)(D)(i), and (5)(A)(i) shall not apply for such taxable year,</text>
</clause><clause id="H62CDA370DF964B0B996CDBE01469B04A"><enum>(ii)</enum><text>the applicable depreciation method used under this section with respect to any qualified property
shall be the straight line method, and</text>
</clause><clause id="H256A39CB0F0D4DF7AEF5A5926D04BE78"><enum>(iii)</enum><text>the limitation imposed by section 53(c) for such taxable year shall be increased by the bonus
depreciation amount which is determined for such taxable year under
subparagraph (B).</text>
</clause></subparagraph><subparagraph id="H323C148536FE4073B5C64DE653AA0D5B"><enum>(B)</enum><header>Bonus depreciation amount</header><text>For purposes of this paragraph—</text>
<clause id="H62CFED199EBF4B1DB906EEFA0AF8FC64"><enum>(i)</enum><header>In general</header><text>The bonus depreciation amount for any taxable year is an amount equal to 20 percent of the excess
(if any) of—</text>
<subclause id="HC27105DFDB9046EC835863F8D6BAFF00"><enum>(I)</enum><text display-inline="yes-display-inline">the aggregate amount of depreciation which would be allowed under this section for qualified
property placed in service by the taxpayer during such taxable year if
paragraph (1) applied to all such property, over</text>
</subclause><subclause id="HF6E705C7D9F44A59A6FA57A865F26357"><enum>(II)</enum><text>the aggregate amount of depreciation which would be allowed under this section for qualified
property placed in service by the taxpayer during such taxable year if
paragraph (1) did not apply to any such property.</text></subclause><continuation-text continuation-text-level="clause">The aggregate amounts determined under subclauses (I) and (II) shall be determined without regard
to any election made under subsection (b)(2)(D), (b)(3)(D), or (g)(7) and
without regard to subparagraph (A)(ii).</continuation-text></clause><clause id="HA6F134AD30964AB0B81F33281D031028"><enum>(ii)</enum><header>Limitation</header><text>The bonus depreciation amount for any taxable year shall not exceed the lesser of—</text>
<subclause id="HEA07902D059E4440BE5A60DB67E02437"><enum>(I)</enum><text>50 percent of the minimum tax credit under section 53(b) for the first taxable year ending after
December 31, 2013, or</text>
</subclause><subclause id="HACBB64F97D584A6F9F62E26D8370F98C"><enum>(II)</enum><text>the minimum tax credit under section 53(b) for such taxable year determined by taking into account
only the adjusted net minimum tax for taxable years ending before January
1, 2014 (determined by treating credits as allowed on a first-in,
first-out basis).</text>
</subclause></clause><clause id="HAED360333ECA401DA9E3BDA9B31BCDE0"><enum>(iii)</enum><header>Aggregation rule</header><text>All corporations which are treated as a single employer under section 52(a) shall be treated—</text>
<subclause id="HB2F52965BC7A458F9CEFA031A09BD8E1"><enum>(I)</enum><text>as 1 taxpayer for purposes of this paragraph, and</text>
</subclause><subclause id="H66212DB9ED8C416CAFAC495FF4EBD84F"><enum>(II)</enum><text>as having elected the application of this paragraph if any such corporation so elects.</text>
</subclause></clause></subparagraph><subparagraph id="HEB10133F547E48C6915249ADEF982AC4"><enum>(C)</enum><header>Credit refundable</header><text>For purposes of section 6401(b), the aggregate increase in the credits allowable under part IV of
subchapter A for any taxable year resulting from the application of this
paragraph shall be treated as allowed under subpart C of such part (and
not any other subpart).</text>
</subparagraph><subparagraph id="H1483B424A607466C90508012F4BEF283"><enum>(D)</enum><header>Other rules</header>
<clause id="H55CAA7A3FAD74BF38BB6D2B8F9D14B34"><enum>(i)</enum><header>Election</header><text>Any election under this paragraph may be revoked only with the consent of the Secretary.</text>
</clause><clause id="HDF18319799724C0B9805B6EE6BD6867B"><enum>(ii)</enum><header>Partnerships with electing partners</header><text>In the case of a corporation which is a partner in a partnership and which makes an election under
subparagraph (A) for the taxable year, for purposes of determining such
corporation’s distributive share of partnership items under section 702
for such taxable year—</text>
<subclause id="H3F0870BE1B6545CF9818F42DFEDFC2C4"><enum>(I)</enum><text>paragraphs (1)(A), (2)(D)(i), and (5)(A)(i) shall not apply, and</text>
</subclause><subclause id="HB7DCD639FB2C4CA5A4997B942E111BC3"><enum>(II)</enum><text>the applicable depreciation method used under this section with respect to any qualified property
shall be the straight line method.</text>
</subclause></clause><clause id="H6F1EC1B4BC4D44629A2CEA4EFF2E076B"><enum>(iii)</enum><header>Certain partnerships</header><text>In the case of a partnership in which more than 50 percent of the capital and profits interests are
owned (directly or indirectly) at all times during the taxable year by 1
corporation (or by corporations treated as 1 taxpayer under subparagraph
(B)(iii)), each partner shall compute its bonus depreciation amount under
clause (i) of subparagraph (B) by taking into account its distributive
share of the amounts determined by the partnership under subclauses (I)
and (II) of such clause for the taxable year of the partnership ending
with or within the taxable year of the partner.</text></clause></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection id="H3CB110B2EA8E4A03A6329A52FA54CACD"><enum>(c)</enum><header>Special rules for trees and vines bearing fruits and nuts</header><text>Section 168(k) of such Code is amended—</text>
<paragraph id="HE9A9762121CB46AF889FFC790298360A"><enum>(1)</enum><text>by striking paragraph (5), and</text>
</paragraph><paragraph id="H3F0CFCC3E61B46F994F84A6C8125993B"><enum>(2)</enum><text>by inserting after paragraph (4) the following new paragraph:</text>
<quoted-block display-inline="no-display-inline" id="H900165CFD983434190A42BAD5B405700" style="OLC">
<paragraph id="HFA712E121AA34DF295377D7EF5939C21"><enum>(5)</enum><header>Special rules for trees and vines bearing fruits and nuts</header>
<subparagraph id="H495054187E0A4CA2A5AB58C064A6A4FA"><enum>(A)</enum><header>In general</header><text display-inline="yes-display-inline">In the case of any tree or vine bearing fruits or nuts which is planted, or is grafted to a plant
that has already been planted, by the taxpayer in the ordinary course of
the taxpayer’s farming business (as defined in section 263A(e)(4))—</text>
<clause id="H476262D3645548B592C8A6D95F577757"><enum>(i)</enum><text>a depreciation deduction equal to 50 percent of the adjusted basis of such tree or vine shall be
allowed under section 167(a) for the taxable year in which such tree or
vine is so planted or grafted, and</text>
</clause><clause id="H5DBDFE6DB9394742B8670797E606F067"><enum>(ii)</enum><text>the adjusted basis of such tree or vine shall be reduced by the amount of such deduction.</text>
</clause></subparagraph><subparagraph id="H54D6D59075374DBBBE6556CE2B1274F5"><enum>(B)</enum><header>Election out</header><text>If a taxpayer makes an election under this subparagraph for any taxable year, this paragraph shall
not apply to any tree or vine planted or grafted during such taxable year.
An election under this subparagraph may be revoked only with the consent
of the Secretary.</text>
</subparagraph><subparagraph id="HD6D97420C8854F0AA1AE2BEBFE11BBA8"><enum>(C)</enum><header>Additional depreciation may be claimed only once</header><text>If this paragraph applies to any tree or vine, such tree or vine shall not be treated as qualified
property in the taxable year in which placed in service.</text>
</subparagraph><subparagraph id="H6DFC0A387596457194955E00BC9B3F89"><enum>(D)</enum><header>Coordination with election to accelerate AMT credits</header><text display-inline="yes-display-inline">If a corporation makes an election under paragraph (4) for any taxable year, the amount under
paragraph (4)(B)(i)(I) for such taxable year shall be increased by the
amount determined under subparagraph (A)(i) for such taxable year.</text>
</subparagraph><subparagraph id="HD010E6AD9A6440CB90FC4E226A815292"><enum>(E)</enum><header>Deduction allowed in computing minimum tax</header><text>Rules similar to the rules of paragraph (2)(E) shall apply for purposes of this paragraph.</text></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph></subsection><subsection id="HDDD7AECC98B646F294D00E60D338267D"><enum>(d)</enum><header>Conforming amendments</header>
<paragraph id="H1923B2CA01F043F2843B245227A3E808"><enum>(1)</enum><text>Section 168(e)(8) of such Code is amended by striking subparagraph (D).</text>
</paragraph><paragraph id="HD51245F42DF643BFB0121763D667A3F6"><enum>(2)</enum><text>Section 168(k) of such Code is amended by adding at the end the following new paragraph:</text>
<quoted-block display-inline="no-display-inline" id="H0A29D1B3EFD14B8AA99505DA9E9F2197" style="OLC">
<paragraph id="H7373F6B4393F4EFE8F55391775A6951C"><enum>(6)</enum><header>Election out</header><text>If a taxpayer makes an election under this paragraph with respect to any class of property for any
taxable year, this subsection shall not apply to all property in such
class placed in service (or, in the case of paragraph (5), planted or
grafted) during such taxable year. An election under this paragraph may be
revoked only with the consent of the Secretary.</text></paragraph><after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph><paragraph id="H004951CDE8F14D2190B86E43CB9F137A"><enum>(3)</enum><text>Section 168(l)(5) of such Code is amended by striking <quote>section 168(k)(2)(G)</quote> and inserting <quote>section 168(k)(2)(E)</quote>.</text>
</paragraph><paragraph id="HF18BAD2C4CD144A98944DD8377B1A383"><enum>(4)</enum><text>Section 263A(c) of such Code is amended by adding at the end the following new paragraph:</text>
<quoted-block display-inline="no-display-inline" id="HFB73CBE4645545B6B538A86692828A20" style="OLC">
<paragraph id="H639BEF25BDEC427DA486DF513BF5404B"><enum>(7)</enum><header>Coordination with section <enum-in-header>168(k)(5)</enum-in-header></header><text display-inline="yes-display-inline">This section shall not apply to any amount allowable as a deduction by reason of section 168(k)(5)
(relating to special rules for trees and vines bearing fruits and nuts).</text></paragraph><after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph><paragraph id="HA98A0F8DA40843078EF1A1053E69F68F"><enum>(5)</enum><text>Section 460(c)(6)(B) of such Code is amended by striking <quote>which—</quote> and all that follows and inserting <quote>which has a recovery period of 7 years or less.</quote>.</text>
</paragraph><paragraph id="HC6CB1F3C50ED4E8FADC6792EBC58E63F"><enum>(6)</enum><text display-inline="yes-display-inline">Section 168(k) of such Code is amended by striking <quote><header-in-text level="subsection" style="OLC">acquired after December 31, 2007, and before January 1, 2014</header-in-text></quote> in the heading thereof.</text>
</paragraph></subsection><subsection id="H7268D789200B457381C2F0945C29D877"><enum>(e)</enum><header>Effective dates</header>
<paragraph id="HFE9E59D3916C495B87ACAF11E9C81F5E"><enum>(1)</enum><header>In general</header><text>Except as otherwise provided in this subsection, the amendments made by this section shall apply to
property placed in service after December 31, 2013.</text>
</paragraph><paragraph id="HD5948233D8F24A96A2FE62EAFFABE38F"><enum>(2)</enum><header>Expansion of election to accelerate AMT credits in lieu of bonus depreciation</header>
<subparagraph id="H31924487E09746B099D71C0A39E44B93"><enum>(A)</enum><header>In general</header><text>The amendment made by subsection (b) (other than so much of such amendment as relates to section
168(k)(4)(D)(iii) of such Code, as added by such amendment) shall apply to
taxable years ending after December 31, 2013.</text>
</subparagraph><subparagraph id="HCF01A242566E470A9F82D7599605B3E0"><enum>(B)</enum><header>Transitional rule</header><text>In the case of a taxable year beginning before January 1, 2014, and ending after December 31, 2013,
the bonus depreciation amount determined under section 168(k)(4) of such
Code for such year shall be the sum of—</text>
<clause id="H4F56359675894C91866B1A75B1BB865C"><enum>(i)</enum><text>such amount determined without regard to the amendments made by this section and—</text>
<subclause id="HF6BC8CF158A74972B5FC0D52F0EB7D73"><enum>(I)</enum><text>by taking into account only property placed in service before January 1, 2014, and</text>
</subclause><subclause id="HBA6A4CE595814BC2A84525CBFBC1050B"><enum>(II)</enum><text>by multiplying the limitation under section 168(k)(4)(C)(ii) of such Code (determined without
regard to the amendments made by this section) by a fraction the numerator
of which is the number of days in the taxable year before January 1, 2014,
and the denominator of which is the number of days in the taxable year,
and</text>
</subclause></clause><clause id="HFD862654F7B54D5890413D6EB4192E99"><enum>(ii)</enum><text>such amount determined after taking into account the amendments made by this section and—</text>
<subclause id="H49EA0CFDA41247F0A7312C533FD8889C"><enum>(I)</enum><text>by taking into account only property placed in service after December 31, 2013, and</text>
</subclause><subclause id="HFFECAD5820AE4F5988693FD5DD3A10EB"><enum>(II)</enum><text>by multiplying the limitation under section 168(k)(4)(B)(ii) of such Code (as amended by this
section) by a fraction the numerator of which is the number of days in the
taxable year after December 31, 2013, and the denominator of which is the
number of days in the taxable year.</text>
</subclause></clause></subparagraph></paragraph><paragraph id="HA82034BC1DA94B45BDA018D501E511DC"><enum>(3)</enum><header>Special rules for certain trees and vines</header><text>The amendment made by subsection (c)(2) shall apply to trees and vines planted or grafted after
December 31, 2013.</text>
</paragraph></subsection></section><section commented="no" display-inline="no-display-inline" id="H11F375851DB14D77B458AAF68D0988F6" section-type="subsequent-section"><enum>1007.</enum><header>Budgetary effects</header>
<subsection commented="no" id="H75541503DF064890A149D58C8CEE5996"><enum>(a)</enum><header>Statutory Pay-As-You-Go Scorecards</header><text display-inline="yes-display-inline">The budgetary effects of this title shall not be entered on either PAYGO scorecard maintained
pursuant to section 4(d) of the Statutory Pay-As-You-Go Act of 2010.</text>
</subsection><subsection commented="no" id="HCC0B407CA9744758A9C0FD076603CC45"><enum>(b)</enum><header>Senate PAYGO Scorecards</header><text>The budgetary effects of this title shall not be entered on any PAYGO scorecard maintained for
purposes of section 201 of S. Con. Res. 21 (110th Congress).</text>
</subsection></section><enum>II</enum><header>Reining in Job-Killing Washington Red Tape</header>
<subtitle id="H07E617DCFBD141D1B0657C9073A5CD58"><enum>A</enum><header>Regulations From the Executive in Need of Scrutiny Act </header>
<section commented="no" id="HFB10C52D67A042418A07ECDD9DA6DF34"><enum>2001.</enum><header>Purpose</header><text display-inline="no-display-inline">The purpose of this title is to increase accountability for and transparency in the Federal
regulatory process. Section 1 of article I of the United States
Constitution grants all legislative powers to Congress. Over time,
Congress has excessively delegated its constitutional charge while failing
to conduct appropriate oversight and retain accountability for the content
of the laws it passes. By requiring a vote in Congress, this subtitle will
result in more carefully drafted and detailed legislation, an improved
regulatory process, and a legislative branch that is truly accountable to
the American people for the laws imposed upon them. Moreover, as a tax on
carbon emissions increases energy costs on consumers, reduces economic
growth and is therefore detrimental to individuals, families and
businesses, this subtitle includes in the definition of a major rule, any
rule that implements or provides for the imposition or collection of a tax
on carbon emissions.</text>
</section><section id="H15EA25F21B1D4E16934E877D08B4C0E9"><enum>2002.</enum><header>Congressional review of agency rulemaking</header><text display-inline="no-display-inline"><external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/5/8">Chapter 8</external-xref> of title 5, United States Code, is amended to read as follows:</text>
<quoted-block display-inline="no-display-inline" id="H229D25E9B6C34BE3A98D8987DB2C75B4" style="USC">
<chapter commented="no" id="H5E4C3FD933A04E578CDAC3BFC811F236" level-type="subsequent"><enum>8</enum><header display-inline="yes-display-inline">Congressional Review of Agency Rulemaking</header>
<toc container-level="chapter-container" lowest-bolded-level="division-lowest-bolded" lowest-level="section" quoted-block="no-quoted-block" regeneration="yes-regeneration">
<toc-entry bold="off" level="section">Sec.</toc-entry>
<toc-entry bold="off" level="section">801. Congressional review.</toc-entry>
<toc-entry bold="off" level="section">802. Congressional approval procedure for major rules.</toc-entry>
<toc-entry bold="off" level="section">803. Congressional disapproval procedure for nonmajor rules.</toc-entry>
<toc-entry bold="off" level="section">804. Definitions.</toc-entry>
<toc-entry bold="off" level="section">805. Judicial review.</toc-entry>
<toc-entry bold="off" level="section">806. Exemption for monetary policy.</toc-entry>
<toc-entry bold="off" level="section">807. Effective date of certain rules.</toc-entry></toc>
<section commented="no" display-inline="no-display-inline" id="H1474C94885E4417296886A16D7E52BAE" section-type="subsequent-section"><enum>801.</enum><header display-inline="yes-display-inline">Congressional review</header>
<subsection commented="no" display-inline="no-display-inline" id="H299C9DAF7D524949AA3BB31C897BC00D"><enum>(a)</enum>
<paragraph commented="no" display-inline="yes-display-inline" id="H27D58103C00F40B4ABE47EE506336568"><enum>(1)</enum>
<subparagraph commented="no" display-inline="yes-display-inline" id="H2EDFCFA760514F268900EFF95E0DF241"><enum>(A)</enum><text display-inline="yes-display-inline">Before a rule may take effect, the Federal agency promulgating such rule shall submit to each House
of the Congress and to the Comptroller General a report containing—</text>
<clause commented="no" display-inline="no-display-inline" id="H86C292841CCD43F8B89B710325F13A59" indent="up2"><enum>(i)</enum><text display-inline="yes-display-inline">a copy of the rule;</text>
</clause><clause commented="no" display-inline="no-display-inline" id="H27A6BC6D4484459BA778D73946D205CC" indent="up2"><enum>(ii)</enum><text display-inline="yes-display-inline">a concise general statement relating to the rule;</text>
</clause><clause commented="no" display-inline="no-display-inline" id="H6BFE773D58E3431C9FE6A97EAC4B6F60" indent="up2"><enum>(iii)</enum><text display-inline="yes-display-inline">a classification of the rule as a major or nonmajor rule, including an explanation of the
classification specifically addressing each criteria for a major rule
contained within clauses (i) through (iii) of section 804(2)(A) or within
section 804(2)(B);</text>
</clause><clause id="H4AB5FE00BA9744D08566BA31488CEA9D" indent="up2"><enum>(iv)</enum><text display-inline="yes-display-inline">a list of any other related regulatory actions taken by or that will be taken by the Federal agency
promulgating the rule that are intended to implement the same statutory
provision or regulatory objective as well as the individual and aggregate
economic effects of those actions;</text>
</clause><clause id="H432F6E05E5CA4C78BA84845697557F28" indent="up2"><enum>(v)</enum><text>a list of any other related regulatory actions taken by or that will be taken by any other Federal
agency with authority to implement the same statutory provision or
regulatory objective that are intended to implement such provision or
objective, of which the Federal agency promulgating the rule is aware, as
well as the individual and aggregate economic effects of those actions;
and</text>
</clause><clause id="H874D09E3114C4AE0BBE09405D9BC8FA5" indent="up2"><enum>(vi)</enum><text>the proposed effective date of the rule.</text>
</clause></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="HFE9888F0034F49F1923DEF7FFCE33394" indent="up2"><enum>(B)</enum><text display-inline="yes-display-inline">On the date of the submission of the report under subparagraph (A), the Federal agency promulgating
the rule shall submit to the Comptroller General and make available to
each House of Congress—</text>
<clause commented="no" display-inline="no-display-inline" id="HF2633F86D34643B492525D1DA2A9BA0F"><enum>(i)</enum><text display-inline="yes-display-inline">a complete copy of the cost-benefit analysis of the rule, if any, including an analysis of any jobs
added or lost, differentiating between public and private sector jobs;</text>
</clause><clause commented="no" display-inline="no-display-inline" id="H4A88CD0DF20C4E96988F0EB75ECD961D"><enum>(ii)</enum><text display-inline="yes-display-inline">the agency’s actions pursuant to sections 603, 604, 605, 607, and 609 of this title;</text>
</clause><clause commented="no" display-inline="no-display-inline" id="H43DCEFC2762242A79F4B6555B7E9A2CD"><enum>(iii)</enum><text display-inline="yes-display-inline">the agency’s actions pursuant to sections 202, 203, 204, and 205 of the Unfunded Mandates Reform
Act of 1995; and</text>
</clause><clause commented="no" display-inline="no-display-inline" id="H3ADA720030D14EC2A62595E4EEE0D0F8"><enum>(iv)</enum><text display-inline="yes-display-inline">any other relevant information or requirements under any other Act and any relevant Executive
orders.</text>
</clause></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="H1A7F21C854C34576A37DC457A2E43211" indent="up2"><enum>(C)</enum><text display-inline="yes-display-inline">Upon receipt of a report submitted under subparagraph (A), each House shall provide copies of the
report to the chairman and ranking member of each standing committee with
jurisdiction under the rules of the House of Representatives or the Senate
to report a bill to amend the provision of law under which the rule is
issued.</text>
</subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="HADF5B73F0F0A4F44B84A8D1CBADCB2A7" indent="up1"><enum>(2)</enum>
<subparagraph commented="no" display-inline="yes-display-inline" id="H8A7ABE73AEF9441AB4F7881926BE5E64"><enum>(A)</enum><text display-inline="yes-display-inline">The Comptroller General shall provide a report on each major rule to the committees of jurisdiction
by the end of 15 calendar days after the submission or publication date.
The report of the Comptroller General shall include an assessment of the
agency’s compliance with procedural steps required by paragraph (1)(B) and
an assessment of whether the major rule imposes any new limits or mandates
on private-sector activity.</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="HC05F9028BBD24B818F053B3B718F1FE4" indent="up1"><enum>(B)</enum><text display-inline="yes-display-inline">Federal agencies shall cooperate with the Comptroller General by providing information relevant to
the Comptroller General’s report under subparagraph (A).</text>
</subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="HF407D92D11954113B81E89F504E2513B" indent="up1"><enum>(3)</enum><text display-inline="yes-display-inline">A major rule relating to a report submitted under paragraph (1) shall take effect upon enactment of
a joint resolution of approval described in section 802 or as provided for
in the rule following enactment of a joint resolution of approval
described in section 802, whichever is later.</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="H66780098AC1844DEB6C5FFF9AFAED7E0" indent="up1"><enum>(4)</enum><text display-inline="yes-display-inline">A nonmajor rule shall take effect as provided by section 803 after submission to Congress under
paragraph (1).</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="HFB5A31C159764E3591E591E5A1EF7F54" indent="up1"><enum>(5)</enum><text display-inline="yes-display-inline">If a joint resolution of approval relating to a major rule is not enacted within the period
provided in subsection (b)(2), then a joint resolution of approval
relating to the same rule may not be considered under this chapter in the
same Congress by either the House of Representatives or the Senate.</text>
</paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="H6106376CB2F6480BB412782B80B4E85A"><enum>(b)</enum>
<paragraph commented="no" display-inline="yes-display-inline" id="H14670EEA9AA848B48E970C37497FDC52"><enum>(1)</enum><text display-inline="yes-display-inline">A major rule shall not take effect unless the Congress enacts a joint resolution of approval
described under section 802.</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="HE9BA9FB9E5834D18B024402E8C7A699B" indent="up1"><enum>(2)</enum><text display-inline="yes-display-inline">If a joint resolution described in subsection (a) is not enacted into law by the end of 70 session
days or legislative days, as applicable, beginning on the date on which
the report referred to in section 801(a)(1)(A) is received by Congress
(excluding days either House of Congress is adjourned for more than 3 days
during a session of Congress), then the rule described in that resolution
shall be deemed not to be approved and such rule shall not take effect.</text>
</paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="H1952ADE54ABC4A18A1035E6091D54C5A"><enum>(c)</enum>
<paragraph commented="no" display-inline="yes-display-inline" id="H1017EB4FEC8C4CDF85D0855F3894BDBD"><enum>(1)</enum><text display-inline="yes-display-inline">Notwithstanding any other provision of this section (except subject to paragraph (3)), a major rule
may take effect for one 90-calendar-day period if the President makes a
determination under paragraph (2) and submits written notice of such
determination to the Congress.</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="H05D1098C6DB34E74A4AB93E0EB7FA710" indent="up1"><enum>(2)</enum><text display-inline="yes-display-inline">Paragraph (1) applies to a determination made by the President by Executive order that the major
rule should take effect because such rule is—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="HFC8BDA41377B418AB032EA5FD7986B9A"><enum>(A)</enum><text display-inline="yes-display-inline">necessary because of an imminent threat to health or safety or other emergency;</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="HE2064419F77C406ABEEC97FF80B4E02E"><enum>(B)</enum><text display-inline="yes-display-inline">necessary for the enforcement of criminal laws;</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="H539FFC7BFDFC49D5A5CAFDC2B9DD48DE"><enum>(C)</enum><text display-inline="yes-display-inline">necessary for national security; or</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="H0079DA5B78D94044974FD0B7885C82F7"><enum>(D)</enum><text display-inline="yes-display-inline">issued pursuant to any statute implementing an international trade agreement.</text>
</subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="HD351456EE865447390579113723FE9A9" indent="up1"><enum>(3)</enum><text display-inline="yes-display-inline">An exercise by the President of the authority under this subsection shall have no effect on the
procedures under section 802.</text>
</paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="H92C99D3C949F4BEF98DE925DDF8FDA79"><enum>(d)</enum>
<paragraph commented="no" display-inline="yes-display-inline" id="HDF1CD8507C704F39BCE5BAAECE8CB38B"><enum>(1)</enum><text display-inline="yes-display-inline">In addition to the opportunity for review otherwise provided under this chapter, in the case of any
rule for which a report was submitted in accordance with subsection
(a)(1)(A) during the period beginning on the date occurring—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="H0CAA5DA3DCB04AAFAA573C97939C68F5" indent="up1"><enum>(A)</enum><text display-inline="yes-display-inline">in the case of the Senate, 60 session days, or</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="H6E5BF5C361F44CBE939A6ECF32CBB4B6" indent="up1"><enum>(B)</enum><text display-inline="yes-display-inline">in the case of the House of Representatives, 60 legislative days,</text></subparagraph></paragraph><continuation-text commented="no" continuation-text-level="subsection">before the date the Congress is scheduled to adjourn a session of Congress through the date on
which the same or succeeding Congress first convenes its next session,
sections 802 and 803 shall apply to such rule in the succeeding session of
Congress.</continuation-text><paragraph commented="no" display-inline="no-display-inline" id="H753AE17A8BC74BC6AA631F81B16A8922" indent="up1"><enum>(2)</enum>
<subparagraph commented="no" display-inline="yes-display-inline" id="H04AB567ACD2E47E597A13BC82E8F825E"><enum>(A)</enum><text display-inline="yes-display-inline">In applying sections 802 and 803 for purposes of such additional review, a rule described under
paragraph (1) shall be treated as though—</text>
<clause commented="no" display-inline="no-display-inline" id="H52FE3BD60BED4A3389BB2FC41F1FB7A8" indent="up1"><enum>(i)</enum><text display-inline="yes-display-inline">such rule were published in the Federal Register on—</text>
<subclause commented="no" display-inline="no-display-inline" id="HD9AAF66F4A9E4AEBAEF963AC4D7D2934"><enum>(I)</enum><text display-inline="yes-display-inline">in the case of the Senate, the 15th session day, or</text>
</subclause><subclause commented="no" display-inline="no-display-inline" id="H92BA9A9FD3AD4C43946D8E6622977FD6"><enum>(II)</enum><text display-inline="yes-display-inline">in the case of the House of Representatives, the 15th legislative day,</text></subclause><continuation-text commented="no" continuation-text-level="clause">after the succeeding session of Congress first convenes; and</continuation-text></clause><clause commented="no" display-inline="no-display-inline" id="H116E7DDD2B9840448E9EEB159C2B87B0" indent="up1"><enum>(ii)</enum><text display-inline="yes-display-inline">a report on such rule were submitted to Congress under subsection (a)(1) on such date.</text>
</clause></subparagraph><subparagraph id="H007EB5C88E8E4A0F8B9AB3744115FE07" indent="up1"><enum>(B)</enum><text>Nothing in this paragraph shall be construed to affect the requirement under subsection (a)(1) that
a report shall be submitted to Congress before a rule can take effect.</text>
</subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="HBC624F0787D0430E951D3C5782842E31" indent="up1"><enum>(3)</enum><text display-inline="yes-display-inline">A rule described under paragraph (1) shall take effect as otherwise provided by law (including
other subsections of this section).</text>
</paragraph></subsection></section><section id="H319C89B081C84B5798B0CFAECEF5A751"><enum>802.</enum><header>Congressional approval procedure for major rules</header>
<subsection id="H413139D967DD4FB8844A74248E8F223B"><enum>(a)</enum>
<paragraph commented="no" display-inline="yes-display-inline" id="H89DF05C132074EF2BA6FE6F314E96076"><enum>(1)</enum><text>For purposes of this section, the term <term>joint resolution</term> means only a joint resolution addressing a report classifying a rule as major pursuant to section
801(a)(1)(A)(iii) that—</text>
<subparagraph id="H7FDC5B9DB2C14EC08EADD9273AB4FC69" indent="up1"><enum>(A)</enum><text>bears no preamble;</text>
</subparagraph><subparagraph id="H89C4A6ACA74745D28EEB2C58CAAF3DFB" indent="up1"><enum>(B)</enum><text>bears the following title (with blanks filled as appropriate): <quote>Approving the rule submitted by ___ relating to ___.</quote>;</text>
</subparagraph><subparagraph id="HC823D277836C4954B03F4CCBECB0CC27" indent="up1"><enum>(C)</enum><text>includes after its resolving clause only the following (with blanks filled as appropriate): <quote>That Congress approves the rule submitted by ___ relating to ___.</quote>; and</text>
</subparagraph><subparagraph id="HE7DF6E72849F4EF88FAEAC1AD11EC332" indent="up1"><enum>(D)</enum><text>is introduced pursuant to paragraph (2).</text>
</subparagraph></paragraph><paragraph id="HADE005931751408F8DA670C5793E68F8" indent="up1"><enum>(2)</enum><text>After a House of Congress receives a report classifying a rule as major pursuant to section
801(a)(1)(A)(iii), the majority leader of that House (or his or her
respective designee) shall introduce (by request, if appropriate) a joint
resolution described in paragraph (1)—</text>
<subparagraph id="H770B279E6E6141AD847B635D5857C205"><enum>(A)</enum><text>in the case of the House of Representatives, within three legislative days; and</text>
</subparagraph><subparagraph id="HDEE0766778EF4220AA8836502FFD5948"><enum>(B)</enum><text>in the case of the Senate, within three session days.</text>
</subparagraph></paragraph><paragraph id="H74C854C1367F40CFAEB109199982AAD9" indent="up1"><enum>(3)</enum><text>A joint resolution described in paragraph (1) shall not be subject to amendment at any stage of
proceeding.</text>
</paragraph></subsection><subsection id="H1436B3965643432EB0BA736F96F7C88F"><enum>(b)</enum><text>A joint resolution described in subsection (a) shall be referred in each House of Congress to the
committees having jurisdiction over the provision of law under which the
rule is issued.</text>
</subsection><subsection id="H1660A964099241969F37916EAC9403A9"><enum>(c)</enum><text display-inline="yes-display-inline">In the Senate, if the committee or committees to which a joint resolution described in subsection
(a) has been referred have not reported it at the end of 15 session days
after its introduction, such committee or committees shall be
automatically discharged from further consideration of the resolution and
it shall be placed on the calendar. A vote on final passage of the
resolution shall be taken on or before the close of the 15th session day
after the resolution is reported by the committee or committees to which
it was referred, or after such committee or committees have been
discharged from further consideration of the resolution.</text>
</subsection><subsection id="HE68C630BD82F49DA92AE755CA9B7CEF3"><enum>(d)</enum>
<paragraph commented="no" display-inline="yes-display-inline" id="H43F09E850712413388A564F92959D31E"><enum>(1)</enum><text>In the Senate, when the committee or committees to which a joint resolution is referred have
reported, or when a committee or committees are discharged (under
subsection (c)) from further consideration of a joint resolution described
in subsection (a), it is at any time thereafter in order (even though a
previous motion to the same effect has been disagreed to) for a motion to
proceed to the consideration of the joint resolution, and all points of
order against the joint resolution (and against consideration of the joint
resolution) are waived. The motion is not subject to amendment, or to a
motion to postpone, or to a motion to proceed to the consideration of
other business. A motion to reconsider the vote by which the motion is
agreed to or disagreed to shall not be in order. If a motion to proceed to
the consideration of the joint resolution is agreed to, the joint
resolution shall remain the unfinished business of the Senate until
disposed of.</text>
</paragraph><paragraph id="HDDABF4DC200A47BF892AB44ED7AE2CC0" indent="up1"><enum>(2)</enum><text>In the Senate, debate on the joint resolution, and on all debatable motions and appeals in
connection therewith, shall be limited to not more than 2 hours, which
shall be divided equally between those favoring and those opposing the
joint resolution. A motion to further limit debate is in order and not
debatable. An amendment to, or a motion to postpone, or a motion to
proceed to the consideration of other business, or a motion to recommit
the joint resolution is not in order.</text>
</paragraph><paragraph id="H9B54F4381A2C4153AEF03DB1A1EB5598" indent="up1"><enum>(3)</enum><text>In the Senate, immediately following the conclusion of the debate on a joint resolution described
in subsection (a), and a single quorum call at the conclusion of the
debate if requested in accordance with the rules of the Senate, the vote
on final passage of the joint resolution shall occur.</text>
</paragraph><paragraph id="H0A9438FD9D4C446A97BD7EAA403BB868" indent="up1"><enum>(4)</enum><text>Appeals from the decisions of the Chair relating to the application of the rules of the Senate to
the procedure relating to a joint resolution described in subsection (a)
shall be decided without debate.</text>
</paragraph></subsection><subsection id="H646BF7C1A565480EB155593CCAD4E467"><enum>(e)</enum><text display-inline="yes-display-inline">In the House of Representatives, if any committee to which a joint resolution described in
subsection (a) has been referred has not reported it to the House at the
end of 15 legislative days after its introduction, such committee shall be
discharged from further consideration of the joint resolution, and it
shall be placed on the appropriate calendar. On the second and fourth
Thursdays of each month it shall be in order at any time for the Speaker
to recognize a Member who favors passage of a joint resolution that has
appeared on the calendar for at least 5 legislative days to call up that
joint resolution for immediate consideration in the House without
intervention of any point of order. When so called up a joint resolution
shall be considered as read and shall be debatable for 1 hour equally
divided and controlled by the proponent and an opponent, and the previous
question shall be considered as ordered to its passage without intervening
motion. It shall not be in order to reconsider the vote on passage. If a
vote on final passage of the joint resolution has not been taken by the
third Thursday on which the Speaker may recognize a Member under this
subsection, such vote shall be taken on that day.</text>
</subsection><subsection id="H673614D97D7341028C4AE78CFBAE0955"><enum>(f)</enum>
<paragraph commented="no" display-inline="yes-display-inline" id="H210D589797454CC0A137872BD14ECC8F"><enum>(1)</enum><text>If, before passing a joint resolution described in subsection (a), one House receives from the
other a joint resolution having the same text, then—</text>
<subparagraph id="H85310F19C865465582C5E73EB53FAB3B" indent="up1"><enum>(A)</enum><text>the joint resolution of the other House shall not be referred to a committee; and</text>
</subparagraph><subparagraph id="HACD761DCA9214DCA9815B1FBDD81F1A6" indent="up1"><enum>(B)</enum><text>the procedure in the receiving House shall be the same as if no joint resolution had been received
from the other House until the vote on passage, when the joint resolution
received from the other House shall supplant the joint resolution of the
receiving House.</text>
</subparagraph></paragraph><paragraph id="HF12646D6D0094C98805A4131374FA5C6" indent="up1"><enum>(2)</enum><text display-inline="yes-display-inline">This subsection shall not apply to the House of Representatives if the joint resolution received
from the Senate is a revenue measure.</text>
</paragraph></subsection><subsection commented="no" id="HB608F0A696F44404A6D980C11AF1CE7F"><enum>(g)</enum><text>If either House has not taken a vote on final passage of the joint resolution by the last day of
the period described in section 801(b)(2), then such vote shall be taken
on that day.</text>
</subsection><subsection id="H6F01E66233D44339886300A4EBED5ED2"><enum>(h)</enum><text>This section and section 803 are enacted by Congress—</text>
<paragraph id="H3911171DEE1A4D699146807D031C62D5"><enum>(1)</enum><text>as an exercise of the rulemaking power of the Senate and House of Representatives, respectively,
and as such is deemed to be part of the rules of each House, respectively,
but applicable only with respect to the procedure to be followed in that
House in the case of a joint resolution described in subsection (a) and
superseding other rules only where explicitly so; and</text>
</paragraph><paragraph id="H74C00B92DC92402E9FD012453A03AA2E"><enum>(2)</enum><text>with full recognition of the Constitutional right of either House to change the rules (so far as
they relate to the procedure of that House) at any time, in the same
manner and to the same extent as in the case of any other rule of that
House.</text>
</paragraph></subsection></section><section commented="no" display-inline="no-display-inline" id="HD1AB4FAA103443E3AAD0878C802FD1D8" section-type="subsequent-section"><enum>803.</enum><header display-inline="yes-display-inline">Congressional disapproval procedure for nonmajor rules</header>
<subsection commented="no" display-inline="no-display-inline" id="H14CC499425BB4E70AF91F7B5400D9316"><enum>(a)</enum><text display-inline="yes-display-inline">For purposes of this section, the term <term>joint resolution</term> means only a joint resolution introduced in the period beginning on the date on which the report
referred to in section 801(a)(1)(A) is received by Congress and ending 60
days thereafter (excluding days either House of Congress is adjourned for
more than 3 days during a session of Congress), the matter after the
resolving clause of which is as follows: <quote>That Congress disapproves the nonmajor rule submitted by the ___ relating to ___ , and such rule
shall have no force or effect.</quote> (The blank spaces being appropriately filled in).</text>
</subsection><subsection commented="no" display-inline="no-display-inline" id="H6EE05458F8744B849AC9D481168536C7"><enum>(b)</enum><text display-inline="yes-display-inline">A joint resolution described in subsection (a) shall be referred to the committees in each House of
Congress with jurisdiction.</text>
</subsection><subsection commented="no" display-inline="no-display-inline" id="H602D45AE00564C6FA0FD95EBF6D58806"><enum>(c)</enum><text display-inline="yes-display-inline">In the Senate, if the committee to which is referred a joint resolution described in subsection (a)
has not reported such joint resolution (or an identical joint resolution)
at the end of 15 session days after the date of introduction of the joint
resolution, such committee may be discharged from further consideration of
such joint resolution upon a petition supported in writing by 30 Members
of the Senate, and such joint resolution shall be placed on the calendar.</text>
</subsection><subsection commented="no" display-inline="no-display-inline" id="H5E901398F78E444099BB78C2F0C1C2EF"><enum>(d)</enum>
<paragraph commented="no" display-inline="yes-display-inline" id="H587F9BF03ED049D7BEE1EAF84A18975D"><enum>(1)</enum><text display-inline="yes-display-inline">In the Senate, when the committee to which a joint resolution is referred has reported, or when a
committee is discharged (under subsection (c)) from further consideration
of a joint resolution described in subsection (a), it is at any time
thereafter in order (even though a previous motion to the same effect has
been disagreed to) for a motion to proceed to the consideration of the
joint resolution, and all points of order against the joint resolution
(and against consideration of the joint resolution) are waived. The motion
is not subject to amendment, or to a motion to postpone, or to a motion to
proceed to the consideration of other business. A motion to reconsider the
vote by which the motion is agreed to or disagreed to shall not be in
order. If a motion to proceed to the consideration of the joint resolution
is agreed to, the joint resolution shall remain the unfinished business of
the Senate until disposed of.</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="H541F475A7C754762AC04230172F200CB" indent="up1"><enum>(2)</enum><text display-inline="yes-display-inline">In the Senate, debate on the joint resolution, and on all debatable motions and appeals in
connection therewith, shall be limited to not more than 10 hours, which
shall be divided equally between those favoring and those opposing the
joint resolution. A motion to further limit debate is in order and not
debatable. An amendment to, or a motion to postpone, or a motion to
proceed to the consideration of other business, or a motion to recommit
the joint resolution is not in order.</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="HD97577EB27294FBF9F8D18B28C55FE43" indent="up1"><enum>(3)</enum><text display-inline="yes-display-inline">In the Senate, immediately following the conclusion of the debate on a joint resolution described
in subsection (a), and a single quorum call at the conclusion of the
debate if requested in accordance with the rules of the Senate, the vote
on final passage of the joint resolution shall occur.</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="H1F1C98C98F524C2090C3250AFB2DD19F" indent="up1"><enum>(4)</enum><text display-inline="yes-display-inline">Appeals from the decisions of the Chair relating to the application of the rules of the Senate to
the procedure relating to a joint resolution described in subsection (a)
shall be decided without debate.</text>
</paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="H9F3E31F066A94C85B61773BBA3FED763"><enum>(e)</enum><text display-inline="yes-display-inline">In the Senate the procedure specified in subsection (c) or (d) shall not apply to the consideration
of a joint resolution respecting a nonmajor rule—</text>
<paragraph commented="no" display-inline="no-display-inline" id="H840821B466C54164A436FD1C022AC4BF"><enum>(1)</enum><text display-inline="yes-display-inline">after the expiration of the 60 session days beginning with the applicable submission or publication
date, or</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="H61323312F2DD4905B8AD8B209142AEF5"><enum>(2)</enum><text display-inline="yes-display-inline">if the report under section 801(a)(1)(A) was submitted during the period referred to in section
801(d)(1), after the expiration of the 60 session days beginning on the
15th session day after the succeeding session of Congress first convenes.</text>
</paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="H0F897D9637FA4480AC8819A771E0CDBD"><enum>(f)</enum><text display-inline="yes-display-inline">If, before the passage by one House of a joint resolution of that House described in subsection
(a), that House receives from the other House a joint resolution described
in subsection (a), then the following procedures shall apply:</text>
<paragraph id="HD9F0783AFBE74550803D1885B69D582E"><enum>(1)</enum><text>The joint resolution of the other House shall not be referred to a committee.</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="H89F191F243F34D48B2A7B1FBBB0DD0EF"><enum>(2)</enum><text display-inline="yes-display-inline">With respect to a joint resolution described in subsection (a) of the House receiving the joint
resolution—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="H7EE7BB110FB14FB9857B1FEADFA3F932"><enum>(A)</enum><text display-inline="yes-display-inline">the procedure in that House shall be the same as if no joint resolution had been received from the
other House; but</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="H396CBDB3FF3C4A97A1F41803CE4CB4F9"><enum>(B)</enum><text display-inline="yes-display-inline">the vote on final passage shall be on the joint resolution of the other House.</text>
</subparagraph></paragraph></subsection></section><section commented="no" display-inline="no-display-inline" id="H62FD45A10FDB48D59399F09AF2B68F34" section-type="subsequent-section"><enum>804.</enum><header display-inline="yes-display-inline">Definitions</header><text display-inline="no-display-inline">For purposes of this chapter—</text>
<paragraph commented="no" display-inline="no-display-inline" id="H211663C35403494FBA4E2B8EDCD6D557"><enum>(1)</enum><text display-inline="yes-display-inline">The term <term>Federal agency</term> means any agency as that term is defined in section 551(1).</text>
</paragraph><paragraph id="HCDC80C37BC504DD39CD8F7EC8BEFE237"><enum>(2)</enum><text display-inline="yes-display-inline">The term <term>major rule</term> means any rule, including an interim final rule, that the Administrator of the Office of
Information and Regulatory Affairs of the Office of Management and Budget
finds—</text>
<subparagraph id="H2A8D20F80F0F4B4B96778682DCD9352B"><enum>(A)</enum><text>has resulted in or is likely to result in—</text>
<clause id="H7A8AAA16C7EB4F0296C675DC9968D629"><enum>(i)</enum><text>an annual effect on the economy of $50,000,000 or more;</text>
</clause><clause id="HEE3B9757EBFD4D438A354B243B40FA07"><enum>(ii)</enum><text>a major increase in costs or prices for consumers, individual industries, Federal, State, or local
government agencies, or geographic regions; or</text>
</clause><clause id="H1D1980E5C2CA4D69BC020DBFDD8A6C21"><enum>(iii)</enum><text>significant adverse effects on competition, employment, investment, productivity, innovation, or on
the ability of United States-based enterprises to compete with
foreign-based enterprises in domestic and export markets;</text>
</clause></subparagraph><subparagraph id="H04BCB872CD6C4909BF8EE4DCE627EF1E"><enum>(B)</enum><text>is made by the Administrator of the Environmental Protection Agency and that would have a
significant impact on a substantial number of agricultural entities, as
determined by the Secretary of Agriculture (who shall publish such
determination in the Federal Register);</text>
</subparagraph><subparagraph id="HA8F0C093E32D407EB7BB43C0FDB581AA"><enum>(C)</enum><text display-inline="yes-display-inline">is a rule that implements or provides for the imposition or collection of a carbon tax; or</text>
</subparagraph><subparagraph id="H4F70D7D0659A4D1E96C51918DEB5CB8C"><enum>(D)</enum><text display-inline="yes-display-inline">is made under the Patient Protection and Affordable Care Act (<external-xref legal-doc="public-law" parsable-cite="pl/111/148">Public Law 111–148</external-xref>).</text>
</subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="H7D8842A06BC84C6FB673C28FA5C4B989"><enum>(3)</enum><text display-inline="yes-display-inline">The term <term>nonmajor rule</term> means any rule that is not a major rule.</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="HD7BEF11BAA7A40D488C4092B0A3E29DA"><enum>(4)</enum><text display-inline="yes-display-inline">The term <term>rule</term> has the meaning given such term in section 551, except that such term does not include any rule of
particular applicability, including a rule that approves or prescribes for
the future rates, wages, prices, services, or allowances therefore,
corporate or financial structures, reorganizations, mergers, or
acquisitions thereof, or accounting practices or disclosures bearing on
any of the foregoing.</text>
</paragraph><paragraph id="HEB42AB56306C4790B36CC3E2E8A3E2DA"><enum>(5)</enum><text>The term <term>submission date or publication date</term>, except as otherwise provided in this chapter, means—</text>
<subparagraph id="H30EF47160F444D41ADB1E53B378CE3E2"><enum>(A)</enum><text>in the case of a major rule, the date on which the Congress receives the report submitted under
section 801(a)(1); and</text>
</subparagraph><subparagraph id="HB16B8DDA91524D7CA7F1679A3871A48E"><enum>(B)</enum><text>in the case of a nonmajor rule, the later of—</text>
<clause id="HE983766D16724FF5A4E6E55C1FE83B05"><enum>(i)</enum><text>the date on which the Congress receives the report submitted under section 801(a)(1); and</text>
</clause><clause id="H926D1774989B4FBF90F6AEA7CFA7BFC3"><enum>(ii)</enum><text>the date on which the nonmajor rule is published in the Federal Register, if so published.</text>
</clause></subparagraph></paragraph><paragraph id="HF44A3AB6A4C94D94BC950E32276DEDF2"><enum>(6)</enum><text display-inline="yes-display-inline">The term <term>agricultural entity</term> means any entity involved in or related to agricultural enterprise, including enterprises that are
engaged in the business of production of food and fiber, ranching and
raising of livestock, aquaculture, and all other farming and agricultural
related industries.</text>
</paragraph><paragraph id="H0AC2D4728BE144BE9EA7350D302BABC3"><enum>(7)</enum><text display-inline="yes-display-inline">The term <term>carbon tax</term> means a fee, levy, or price on—</text>
<subparagraph id="H5667396E79B04FA5BBEDAAAD5452B367"><enum>(A)</enum><text display-inline="yes-display-inline">emissions, including carbon dioxide emissions generated by the burning of coal, natural gas, or
oil; or</text>
</subparagraph><subparagraph id="H9C6317C2C19848969D2EED002790FB1E"><enum>(B)</enum><text>coal, natural gas, or oil based on emissions, including carbon dioxide emissions that would be
generated through the fuel's combustion.</text>
</subparagraph></paragraph></section><section commented="no" display-inline="no-display-inline" id="H514382AD572E4C64B403BED1E39000CF" section-type="subsequent-section"><enum>805.</enum><header display-inline="yes-display-inline">Judicial review</header>
<subsection id="H626B1819A07D4392AD101CBFA5EC6501"><enum>(a)</enum><text display-inline="yes-display-inline">No determination, finding, action, or omission under this chapter shall be subject to judicial
review.</text>
</subsection><subsection id="H6FCCDBE8C2BB4D268986EDD163A99E45"><enum>(b)</enum><text display-inline="yes-display-inline">Notwithstanding subsection (a), a court may determine whether a Federal agency has completed the
necessary requirements under this chapter for a rule to take effect.</text>
</subsection><subsection id="H7019B33765E14CA4A6C74A844AAAD8F0"><enum>(c)</enum><text display-inline="yes-display-inline">The enactment of a joint resolution of approval under section 802 shall not be interpreted to serve
as a grant or modification of statutory authority by Congress for the
promulgation of a rule, shall not extinguish or affect any claim, whether
substantive or procedural, against any alleged defect in a rule, and shall
not form part of the record before the court in any judicial proceeding
concerning a rule except for purposes of determining whether or not the
rule is in effect.</text>
</subsection></section><section commented="no" display-inline="no-display-inline" id="H08E1F5691DF4447B874C64217CA3DE89" section-type="subsequent-section"><enum>806.</enum><header display-inline="yes-display-inline">Exemption for monetary policy</header><text display-inline="no-display-inline">Nothing in this chapter shall apply to rules that concern monetary policy proposed or implemented
by the Board of Governors of the Federal Reserve System or the Federal
Open Market Committee.</text>
</section><section commented="no" display-inline="no-display-inline" id="HAA9E7586BD0E465FB4AEAF270B8CEB68" section-type="subsequent-section"><enum>807.</enum><header display-inline="yes-display-inline">Effective date of certain rules</header><text display-inline="no-display-inline">Notwithstanding section 801—</text>
<paragraph commented="no" display-inline="no-display-inline" id="H590D490B8BCD40A38998AFC3EBF77AB8"><enum>(1)</enum><text display-inline="yes-display-inline">any rule that establishes, modifies, opens, closes, or conducts a regulatory program for a
commercial, recreational, or subsistence activity related to hunting,
fishing, or camping; or</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="H5EDB5305392C4D93AB872D8948DCACBC"><enum>(2)</enum><text display-inline="yes-display-inline">any rule other than a major rule which an agency for good cause finds (and incorporates the finding
and a brief statement of reasons therefore in the rule issued) that notice
and public procedure thereon are impracticable, unnecessary, or contrary
to the public interest,</text></paragraph></section></chapter><quoted-block-continuation-text quoted-block-continuation-text-level="subsection">shall take effect at such time as the Federal agency promulgating the rule determines.</quoted-block-continuation-text><after-quoted-block>.</after-quoted-block></quoted-block>
</section><section id="H0A3D11BF9F664FF5A4995FF599BB9FFC"><enum>2003.</enum><header>Budgetary effects of rules subject to <external-xref legal-doc="usc" parsable-cite="usc/5/802">section 802</external-xref> of title 5, United States Code</header><text display-inline="no-display-inline">Section 257(b)(2) of the Balanced Budget and Emergency Deficit Control Act of 1985 is amended by
adding at the end the following new subparagraph:</text>
<quoted-block display-inline="no-display-inline" id="HB33787695DA247FCAE4BC4BD3DA12BA3" style="OLC">
<subparagraph id="HBBE3EE167ECA4AB8B98FD89F1E49B264"><enum>(E)</enum><header>Budgetary effects of rules subject to <external-xref legal-doc="usc" parsable-cite="usc/5/802">section 802</external-xref> of title 5, United States Code</header><text display-inline="yes-display-inline">Any rules subject to the congressional approval procedure set forth in section 802 of chapter 8 of
title 5, United States Code, affecting budget authority, outlays, or
receipts shall be assumed to be effective unless it is not approved in
accordance with such section.</text></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block>
</section><section id="H6642310438634E1F8327DDBD2E4AF71A"><enum>2004.</enum><header>Government Accountability Office study of rules</header>
<subsection id="HDF28204CF05D495F88F3297797C99011"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">The Comptroller General of the United States shall conduct a study to determine, as of the date of
the enactment of this subtitle—</text>
<paragraph id="H72FBFCBCCC904AE484467CE00CD68C99"><enum>(1)</enum><text>how many rules (as such term is defined in <external-xref legal-doc="usc" parsable-cite="usc/5/804">section 804</external-xref> of title 5, United States Code) were in
effect;</text>
</paragraph><paragraph id="H8B902E7BE8544D26B43D81C9FDF46B66"><enum>(2)</enum><text display-inline="yes-display-inline">how many major rules (as such term is defined in <external-xref legal-doc="usc" parsable-cite="usc/5/804">section 804</external-xref> of title 5, United States Code) were
in effect; and</text>
</paragraph><paragraph id="H8D604A34ED414E66A281A5E71F3BFA0D"><enum>(3)</enum><text>the total estimated economic cost imposed by all such rules.</text>
</paragraph></subsection><subsection id="H0EF74E2E697F4B6EAADD681322B68C76"><enum>(b)</enum><header>Report</header><text>Not later than one year after the date of the enactment of this subtitle, the Comptroller General
of the United States shall submit a report to Congress that contains the
findings of the study conducted under subsection (a).</text>
</subsection></section></subtitle><subtitle id="HCD45A920B419411BA5A2F967E75999E2"><enum>B</enum><header>Energy Consumers Relief Act</header>
<section id="HA68BE2C914AF431C8736DD9A0D34AFDD"><enum>2201.</enum><header>Prohibition against finalizing certain energy-related rules that will cause significant adverse
effects to the economy</header><text display-inline="no-display-inline">Notwithstanding any other provision of law, the Administrator of the Environmental Protection
Agency may not promulgate as final an energy-related rule that is
estimated to cost more than $1 billion if the Secretary of Energy
determines under section 2202(3) that the rule will cause significant
adverse effects to the economy.</text>
</section><section id="H2A1643036BD84E35B68542AC21BFCA98"><enum>2202.</enum><header>Reports and determinations prior to promulgating as final certain energy-related rules</header><text display-inline="no-display-inline">Before promulgating as final any energy-related rule that is estimated to cost more than $1
billion:</text>
<paragraph id="H2042AD0676B7451C8DB580FC46588B05"><enum>(1)</enum><header>Report to Congress</header><text display-inline="yes-display-inline">The Administrator of the Environmental Protection Agency shall submit to Congress a report (and
transmit a copy to the Secretary of Energy) containing—</text>
<subparagraph id="HB8EA270F93DC4FD4B5AF28A27D96E66C"><enum>(A)</enum><text>a copy of the rule;</text>
</subparagraph><subparagraph id="HE89FA5E2F9EA460481A1A94CE3CE3D0F"><enum>(B)</enum><text>a concise general statement relating to the rule;</text>
</subparagraph><subparagraph id="H5B080764C31B422E8ABFB180397C6F65"><enum>(C)</enum><text>an estimate of the total costs of the rule, including the direct costs and indirect costs of the
rule;</text>
</subparagraph><subparagraph id="H4ED0A44C0096469C80A2979DB5C9480D"><enum>(D)</enum>
<clause commented="no" display-inline="yes-display-inline" id="H68554EB180E2417FA31D58FF6996F42E"><enum>(i)</enum><text>an estimate of the total benefits of the rule and when such benefits are expected to be realized;</text>
</clause><clause id="H7BE4A3E936D040A3AA5396C3994530DD" indent="up1"><enum>(ii)</enum><text>a description of the modeling, the calculations, the assumptions, and the limitations due to
uncertainty, speculation, or lack of information associated with the
estimates under this subparagraph; and</text>
</clause><clause id="H8D456A0C6E344B18B1C4AF26204AEA92" indent="up1"><enum>(iii)</enum><text display-inline="yes-display-inline">a certification that all data and documents relied upon by the Agency in developing such estimates—</text>
<subclause id="H2B1CEEC2F7194DD2983409BB014C8AA9"><enum>(I)</enum><text>have been preserved; and</text>
</subclause><subclause id="H871100EAC32B4CD885CE92058524C248"><enum>(II)</enum><text>are available for review by the public on the Agency’s Web site, except to the extent to which
publication of such data and documents would constitute disclosure of
confidential information in violation of applicable Federal law;</text>
</subclause></clause></subparagraph><subparagraph id="H4B07E71156E44EDDB93C275C6B010945"><enum>(E)</enum><text>an estimate of the increases in energy prices, including potential increases in gasoline or
electricity prices for consumers, that may result from implementation or
enforcement of the rule; and</text>
</subparagraph><subparagraph id="H703ECAB9221E48CFB7ADFC17329479CB"><enum>(F)</enum><text>a detailed description of the employment effects, including potential job losses and shifts in
employment, that may result from implementation or enforcement of the
rule.</text>
</subparagraph></paragraph><paragraph id="HF093AC573CBD4C44980C8D076F300868"><enum>(2)</enum><header>Initial determination on increases and impacts</header><text>The Secretary of Energy, in consultation with the Federal Energy Regulatory Commission and the
Administrator of the Energy Information Administration, shall prepare an
independent analysis to determine whether the rule will cause—</text>
<subparagraph id="H47043829D9634274AD47B732CACCE838"><enum>(A)</enum><text>any increase in energy prices for consumers, including low-income households, small businesses, and
manufacturers;</text>
</subparagraph><subparagraph id="H74111FB0D4034CBD97D78B8C62C940DB"><enum>(B)</enum><text>any impact on fuel diversity of the Nation’s electricity generation portfolio or on national,
regional, or local electric reliability;</text>
</subparagraph><subparagraph display-inline="no-display-inline" id="H56762EEA479F484B8E1153D9E3462AB6"><enum>(C)</enum><text display-inline="yes-display-inline">any adverse effect on energy supply, distribution, or use due to the economic or technical
infeasibility of implementing the rule; or</text>
</subparagraph><subparagraph id="H0CAE37241B184340BB3E23F27D26B07C"><enum>(D)</enum><text display-inline="yes-display-inline">any other adverse effect on energy supply, distribution, or use (including a shortfall in supply
and increased use of foreign supplies).</text>
</subparagraph></paragraph><paragraph id="HF3DD516D6AA4408B9C857DD2B0126FA5"><enum>(3)</enum><header>Subsequent determination on adverse effects to the economy</header><text display-inline="yes-display-inline">If the Secretary of Energy determines, under paragraph (2), that the rule will cause an increase,
impact, or effect described in such paragraph, then the Secretary, in
consultation with the Administrator of the Environmental Protection
Agency, the Secretary of Commerce, the Secretary of Labor, and the
Administrator of the Small Business Administration, shall—</text>
<subparagraph id="H2100D24A448D44A2B933420F694C8B24"><enum>(A)</enum><text display-inline="yes-display-inline">determine whether the rule will cause significant adverse effects to the economy, taking into
consideration—</text>
<clause id="H3F7BA98BDEE74240AB19F845ABF0960E"><enum>(i)</enum><text display-inline="yes-display-inline">the costs and benefits of the rule and limitations in calculating such costs and benefits due to
uncertainty, speculation, or lack of information; and</text>
</clause><clause id="HFA60CEB63E88488CA852729C64FD1E9F"><enum>(ii)</enum><text>the positive and negative impacts of the rule on economic indicators, including those related to
gross domestic product, unemployment, wages, consumer prices, and business
and manufacturing activity; and</text>
</clause></subparagraph><subparagraph id="H795D608F3F3B4C6E807FC0B25F4D77AC"><enum>(B)</enum><text>publish the results of such determination in the Federal Register.</text>
</subparagraph></paragraph></section><section id="H58AEF1FEDF324EF9A68B0CDDAB57F46D"><enum>2203.</enum><header>Definitions</header><text display-inline="no-display-inline">In this subtitle:</text>
<paragraph commented="no" id="H79D8AA0728604774A25103C22417A45F"><enum>(1)</enum><text>The terms <term>direct costs</term> and <term>indirect costs</term> have the meanings given such terms in chapter 8 of the Environmental Protection Agency’s <quote>Guidelines for Preparing Economic Analyses</quote> dated December 17, 2010.</text>
</paragraph><paragraph id="H5FEDB06BFC964D5885884F3BAC5FC213"><enum>(2)</enum><text display-inline="yes-display-inline">The term <term>energy-related rule that is estimated to cost more than $1 billion</term> means a rule of the Environmental Protection Agency that—</text>
<subparagraph id="HC058D5A3B014481BB5055E126EB353EF"><enum>(A)</enum><text display-inline="yes-display-inline">regulates any aspect of the production, supply, distribution, or use of energy or provides for such
regulation by States or other governmental entities; and</text>
</subparagraph><subparagraph id="HDECD0DADBE8943438A882829A0312366"><enum>(B)</enum><text display-inline="yes-display-inline">is estimated by the Administrator of the Environmental Protection Agency or the Director of the
Office of Management and Budget to impose direct costs and indirect costs,
in the aggregate, of more than $1,000,000,000.</text>
</subparagraph></paragraph><paragraph id="H2C7A5BEC69A8465993AEFE4173098AFB"><enum>(3)</enum><text display-inline="yes-display-inline">The term <term>rule</term> has the meaning given to such term in <external-xref legal-doc="usc" parsable-cite="usc/5/551">section 551</external-xref> of title 5, United States Code.</text>
</paragraph></section><section id="HB166DA4EC66D4F71AF5E096B4B646787"><enum>2204.</enum><header>Prohibition on use of social cost of carbon in analysis</header>
<subsection id="H72C8E698BBF04C1FAEC3629F39E36D0C"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">Notwithstanding any other provision of law or any Executive order, the Administrator of the
Environmental Protection Agency may not use the social cost of carbon in
order to incorporate social benefits of reducing carbon dioxide emissions,
or for any other reason, in any cost-benefit analysis relating to an
energy-related rule that is estimated to cost more than $1 billion unless
and until a Federal law is enacted authorizing such use.</text>
</subsection><subsection id="HAC95137A52364F7C91A7833C4DEB07CD"><enum>(b)</enum><header>Definition</header><text>In this section, the term <term>social cost of carbon</term> means the social cost of carbon as described in the technical support document entitled <quote>Technical Support Document: Technical Update of the Social Cost of Carbon for Regulatory Impact
Analysis Under Executive Order 12866</quote>, published by the Interagency Working Group on Social Cost of Carbon, United States Government, in
May 2013, or any successor or substantially related document, or any other
estimate of the monetized damages associated with an incremental increase
in carbon dioxide emissions in a given year.</text>
</subsection></section></subtitle><subtitle id="H0855A07DD5074A9991E83A79A38D8696"><enum>C</enum><header>Electricity Security and Affordability Act</header>
<section id="HD9242BC13ACB4F52960A4A90896011DC"><enum>2301.</enum><header>Standards of performance for new fossil fuel-fired electric utility generating units</header>
<subsection id="H612538CAED734C8DA8854B4168E8BFCE"><enum>(a)</enum><header>Limitation</header><text>The Administrator of the Environmental Protection Agency may not issue, implement, or enforce any
proposed or final rule under section 111 of the Clean Air Act (42 U.S.C.
7411) that establishes a standard of performance for emissions of any
greenhouse gas from any new source that is a fossil fuel-fired electric
utility generating unit unless such rule meets the requirements under
subsections (b) and (c).</text>
</subsection><subsection id="HFD631BE213E647039CEB1C2A829701CC"><enum>(b)</enum><header>Requirements</header><text>In issuing any rule under section 111 of the Clean Air Act (<external-xref legal-doc="usc" parsable-cite="usc/42/7411">42 U.S.C. 7411</external-xref>) establishing standards
of performance for emissions of any greenhouse gas from new sources that
are fossil fuel-fired electric utility generating units, the Administrator
of the Environmental Protection Agency (for purposes of establishing such
standards)—</text>
<paragraph id="HB6E990077FED47C1898AF65B08A08259"><enum>(1)</enum><text display-inline="yes-display-inline">shall separate sources fueled with coal and natural gas into separate categories; and</text>
</paragraph><paragraph commented="no" id="H5DA1CABE61E94EC79DDC31C624D94BBD"><enum>(2)</enum><text>shall not set a standard based on the best system of emission reduction for new sources within a
fossil-fuel category unless—</text>
<subparagraph commented="no" id="H14B69B3C98974D9BBB8410891DAC17F0"><enum>(A)</enum><text>such standard has been achieved on average for at least one continuous 12-month period (excluding
planned outages) by each of at least 6 units within such category—</text>
<clause id="H13CB699B81874EABAC256EDF9FC36C51"><enum>(i)</enum><text>each of which is located at a different electric generating station in the United States;</text>
</clause><clause id="HD3764CE885E5456C9F8F9B639D0C89C5"><enum>(ii)</enum><text display-inline="yes-display-inline">which, collectively, are representative of the operating characteristics of electric generation at
different locations in the United States; and</text>
</clause><clause id="HB9B9639277E34CC284E5A524784DD37A"><enum>(iii)</enum><text>each of which is operated for the entire 12-month period on a full commercial basis; and</text>
</clause></subparagraph><subparagraph commented="no" id="H5123B42CE8294FA9B146BF2A0D4C6C79"><enum>(B)</enum><text>no results obtained from any demonstration project are used in setting such standard.</text>
</subparagraph></paragraph></subsection><subsection commented="no" id="HA2176CC9F80F4FBCB36AD5626337014F"><enum>(c)</enum><header>Coal having a heat content of 8300 or less British Thermal Units per pound</header>
<paragraph commented="no" id="H7A000D4C8C344630B5D60033F2EE62E9"><enum>(1)</enum><header>Separate subcategory</header><text display-inline="yes-display-inline">In carrying out subsection (b)(1), the Administrator of the Environmental Protection Agency shall
establish a separate subcategory for new sources that are fossil
fuel-fired electric utility generating units using coal with an average
heat content of 8300 or less British Thermal Units per pound.</text>
</paragraph><paragraph commented="no" id="H87BF7AED85F049D4A5F5AB3AD7669178"><enum>(2)</enum><header>Standard</header><text display-inline="yes-display-inline">Notwithstanding subsection (b)(2), in issuing any rule under section 111 of the Clean Air Act (42
U.S.C. 7411) establishing standards of performance for emissions of any
greenhouse gas from new sources in such subcategory, the Administrator of
the Environmental Protection Agency shall not set a standard based on the
best system of emission reduction unless—</text>
<subparagraph commented="no" id="H344F147E6E504B91953101BD17B11C03"><enum>(A)</enum><text>such standard has been achieved on average for at least one continuous 12-month period (excluding
planned outages) by each of at least 3 units within such subcategory—</text>
<clause commented="no" id="H4DED9DFCD9444ECE96A8988A30B225CE"><enum>(i)</enum><text>each of which is located at a different electric generating station in the United States;</text>
</clause><clause commented="no" id="H06A09278066E4D9DB91561518B203010"><enum>(ii)</enum><text>which, collectively, are representative of the operating characteristics of electric generation at
different locations in the United States; and</text>
</clause><clause commented="no" id="H98321884EC4348CDB7F2B80C7B5B8470"><enum>(iii)</enum><text>each of which is operated for the entire 12-month period on a full commercial basis; and</text>
</clause></subparagraph><subparagraph commented="no" id="HF9CC113DFB274BE7BCB9C5D578552DB7"><enum>(B)</enum><text>no results obtained from any demonstration project are used in setting such standard.</text>
</subparagraph></paragraph></subsection><subsection id="H601D5DB8D79E4A908ACD6DCC41FC5EDC"><enum>(d)</enum><header>Technologies</header><text display-inline="yes-display-inline">Nothing in this section shall be construed to preclude the issuance, implementation, or enforcement
of a standard of performance that—</text>
<paragraph id="H8DC6B53C9A114384B243CF2339650D41"><enum>(1)</enum><text>is based on the use of one or more technologies that are developed in a foreign country, but has
been demonstrated to be achievable at fossil fuel-fired electric utility
generating units in the United States; and</text>
</paragraph><paragraph id="HB085DAC7A32A47C0808EB0D36355A218"><enum>(2)</enum><text>meets the requirements of subsections (b) and (c), as applicable.</text>
</paragraph></subsection></section><section id="HA2C3AB947D4D4996B454BB1BF082D9D5"><enum>2302.</enum><header>Congress to set effective date for standards of performance for existing, modified, and
reconstructed fossil fuel-fired electric utility generating units</header>
<subsection id="HFA924FE958174636A2274327DBF19297"><enum>(a)</enum><header>Applicability</header><text display-inline="yes-display-inline">This section applies with respect to any rule or guidelines issued by the Administrator of the
Environmental Protection Agency under section 111 of the Clean Air Act (42
U.S.C. 7411) that—</text>
<paragraph id="HF774B9A1CDC644A8A80A6B5D310528E2"><enum>(1)</enum><text>establish any standard of performance for emissions of any greenhouse gas from any modified or
reconstructed source that is a fossil fuel-fired electric utility
generating unit; or</text>
</paragraph><paragraph id="H3AD71E6302824B3FBE8A94AAD3BFDE0E"><enum>(2)</enum><text>apply to the emissions of any greenhouse gas from an existing source that is a fossil fuel-fired
electric utility generating unit.</text>
</paragraph></subsection><subsection id="HE0B7B57D54D44147A1C2ED8D7DB48123"><enum>(b)</enum><header>Congress To set effective date</header><text display-inline="yes-display-inline">A rule or guidelines described in subsection (a) shall not take effect unless a Federal law is
enacted specifying such rule’s or guidelines’ effective date.</text>
</subsection><subsection commented="no" id="H505C7E5090E841D999A39B328F0F87BB"><enum>(c)</enum><header>Reporting</header><text>A rule or guidelines described in subsection (a) shall not take effect unless the Administrator of
the Environmental Protection Agency has submitted to Congress a report
containing each of the following:</text>
<paragraph commented="no" id="HCC577F544C304BECB43549F2F875FBB1"><enum>(1)</enum><text>The text of such rule or guidelines.</text>
</paragraph><paragraph commented="no" id="H9E32D77461384768A8F36D3D8ACBA3D5"><enum>(2)</enum><text>The economic impacts of such rule or guidelines, including the potential effects on—</text>
<subparagraph id="H13B8CF315822474A85EEBB18D08B70C0"><enum>(A)</enum><text>economic growth, competitiveness, and jobs in the United States;</text>
</subparagraph><subparagraph id="H7C193B69866243B7BE1D34ED7BE0D688"><enum>(B)</enum><text>electricity ratepayers, including low-income ratepayers in affected States;</text>
</subparagraph><subparagraph id="HE54DB57A38244BDB958E52E3F507345F"><enum>(C)</enum><text display-inline="yes-display-inline">required capital investments and projected costs for operation and maintenance of new equipment
required to be installed; and</text>
</subparagraph><subparagraph id="H169B019D3C9C4C85999DCD1C19EF1343"><enum>(D)</enum><text>the global economic competitiveness of the United States.</text>
</subparagraph></paragraph><paragraph commented="no" id="H729C432DAA8041AB824E513DCFC2164E"><enum>(3)</enum><text>The amount of greenhouse gas emissions that such rule or guidelines are projected to reduce as
compared to overall global greenhouse gas emissions.</text>
</paragraph></subsection><subsection id="H1BAA51AAB8934565AA82F959C5C8BD32"><enum>(d)</enum><header>Consultation</header><text display-inline="yes-display-inline">In carrying out subsection (c), the Administrator of the Environmental Protection Agency shall
consult with the Administrator of the Energy Information Administration,
the Comptroller General of the United States, the Director of the National
Energy Technology Laboratory, and the Under Secretary of Commerce for
Standards and Technology.</text>
</subsection></section><section id="H3E2371D9A0E04688A530C89994246460"><enum>2303.</enum><header>Repeal of earlier rules and guidelines</header><text display-inline="no-display-inline">The following rules and guidelines shall be of no force or effect, and shall be treated as though
such rules and guidelines had never been issued:</text>
<paragraph id="H78C88355FCA34D08A5854AF7D1F170DE"><enum>(1)</enum><text display-inline="yes-display-inline">The proposed rule—</text>
<subparagraph id="HC17198BBB535478896C92762BF39B07E"><enum>(A)</enum><text>entitled <quote>Standards of Performance for Greenhouse Gas Emissions for New Stationary Sources: Electric Utility
Generating Units</quote>, published at 77 Fed. Reg. 22392 (April 13, 2012); and</text>
</subparagraph><subparagraph id="HD39B1D04124B426CBF23F8E096E22126"><enum>(B)</enum><text>withdrawn pursuant to the notice entitled <quote>Withdrawal of Proposed Standards of Performance for Greenhouse Gas Emissions for New Stationary
Sources: Electric Utility Generating Units</quote>, signed by the Administrator of the Environmental Protection Agency on September 20, 2013, and
identified by docket ID number EPA–HQ–OAR–2011–0660.</text>
</subparagraph></paragraph><paragraph id="H2EB3F028728248A8BA6242260305F671"><enum>(2)</enum><text display-inline="yes-display-inline">The proposed rule entitled <quote>Standards of Performance for Greenhouse Gas Emissions from New Stationary Sources: Electric Utility
Generating Units</quote>, signed by the Administrator of the Environmental Protection Agency on September 20, 2013, and
identified by docket ID number EPA–HQ–OAR–2013–0495.</text>
</paragraph><paragraph id="HD2E63303759B4567A267C10E2247B03A"><enum>(3)</enum><text>With respect to the proposed rule described in paragraph (1), any successor or substantially
similar proposed or final rule that—</text>
<subparagraph id="H49CFC8BEEEDC45A180C05D62B87A5238"><enum>(A)</enum><text>is issued prior to the date of the enactment of this Act;</text>
</subparagraph><subparagraph id="H842A2B3CB8D2408DB0802F602DEE4317"><enum>(B)</enum><text>is applicable to any new source that is a fossil fuel-fired electric utility generating unit; and</text>
</subparagraph><subparagraph id="H606BBCC0BB3E42248B5CE07394293D52"><enum>(C)</enum><text>does not meet the requirements under subsections (b) and (c) of section 2.</text>
</subparagraph></paragraph><paragraph id="H686159A07B904960B61429C28240E503"><enum>(4)</enum><text>Any proposed or final rule or guidelines under section 111 of the Clean Air Act (<external-xref legal-doc="usc" parsable-cite="usc/42/7411">42 U.S.C. 7411</external-xref>)
that—</text>
<subparagraph id="HAD437EA1B9AB400BBF1D3879E9FDFB01"><enum>(A)</enum><text>are issued prior to the date of the enactment of this Act; and</text>
</subparagraph><subparagraph id="H31DFD444BA994E71A240369D2E6AFA14"><enum>(B)</enum><text display-inline="yes-display-inline">establish any standard of performance for emissions of any greenhouse gas from any modified or
reconstructed source that is a fossil fuel-fired electric utility
generating unit or apply to the emissions of any greenhouse gas from an
existing source that is a fossil fuel-fired electric utility generating
unit.</text>
</subparagraph></paragraph></section><section id="H8D95D88B44B04D0CB60B2FC15FCA412A"><enum>2304.</enum><header>Definitions</header><text display-inline="no-display-inline">In this subtitle:</text>
<paragraph id="HCF00AA40C60D4C2B8E3ABB4A8C9945B6"><enum>(1)</enum><header>Demonstration project</header><text>The term <term>demonstration project</term> means a project to test or demonstrate the feasibility of carbon capture and storage technologies
that has received Federal Government funding or financial assistance.</text>
</paragraph><paragraph id="HD8F782918B2440C2B482773FA0773E86"><enum>(2)</enum><header>Existing source</header><text>The term <term>existing source</term> has the meaning given such term in section 111(a) of the Clean Air Act (<external-xref legal-doc="usc" parsable-cite="usc/42/7411">42 U.S.C. 7411(a)</external-xref>), except
such term shall not include any modified source.</text>
</paragraph><paragraph id="H22F07B17F1704805A6DD54A8F7201823"><enum>(3)</enum><header>Greenhouse gas</header><text>The term <term>greenhouse gas</term> means any of the following:</text>
<subparagraph id="H58F027EF09804356900C18EDDF5C6773"><enum>(A)</enum><text>Carbon dioxide.</text>
</subparagraph><subparagraph id="HD16236DCC4614F13AC5B19DB3C76A074"><enum>(B)</enum><text>Methane.</text>
</subparagraph><subparagraph id="H414A21821F5C4D0191A08CA951F4BA26"><enum>(C)</enum><text>Nitrous oxide.</text>
</subparagraph><subparagraph id="H245901BD86794074B9B7C61EACBA1611"><enum>(D)</enum><text>Sulfur hexafluoride.</text>
</subparagraph><subparagraph id="H0B718FAD38F64B709547D072E84E3777"><enum>(E)</enum><text>Hydrofluorocarbons.</text>
</subparagraph><subparagraph id="H46D3908878D44586A2632C0EA29F6625"><enum>(F)</enum><text>Perfluorocarbons.</text>
</subparagraph></paragraph><paragraph id="H51E6C31927404F929093002545A42EFF"><enum>(4)</enum><header>Modification</header><text>The term <term>modification</term> has the meaning given such term in section 111(a) of the Clean Air Act (<external-xref legal-doc="usc" parsable-cite="usc/42/7411">42 U.S.C. 7411(a)</external-xref>).</text>
</paragraph><paragraph id="H1275F18B5C7C45809432B4D7D9DDD000"><enum>(5)</enum><header>Modified source</header><text>The term <term>modified source</term> means any stationary source, the modification of which is commenced after the date of the
enactment of this Act.</text>
</paragraph><paragraph id="HC241884D27204D66B5321C25BFF128C0"><enum>(6)</enum><header>New source</header><text>The term <term>new source</term> has the meaning given such term in section 111(a) of the Clean Air Act (<external-xref legal-doc="usc" parsable-cite="usc/42/7411">42 U.S.C. 7411(a)</external-xref>), except
that such term shall not include any modified source.</text>
</paragraph></section></subtitle><subtitle id="HC3917154D81743D2B968C179BC5B2B84"><enum>D</enum><header>Coal Residuals Reuse and Management</header>
<section id="HA05AFE7AC98C4398A4BA92A581E7EEE9"><enum>2401.</enum><header>Management and disposal of coal combustion residuals</header>
<subsection id="H923E0EDDDD034F6F8E67C736A50DE90F"><enum>(a)</enum><header>In general</header><text>Subtitle D of the Solid Waste Disposal Act (<external-xref legal-doc="usc" parsable-cite="usc/42/6941">42 U.S.C. 6941 et seq.</external-xref>) is amended by adding at the end
the following:</text>
<quoted-block id="HABF0A86D032A480EAECD3B11FBAC7694" style="OLC">
<section id="H5A1EE2EAEEBC4CBF9DC32D5276161BA0"><enum>4011.</enum><header>Management and disposal of coal combustion residuals</header>
<subsection commented="no" id="H525F6E5FE13940E484D663B780076D16"><enum>(a)</enum><header>State permit programs for coal combustion residuals</header><text display-inline="yes-display-inline">Each State may adopt, implement, and enforce a coal combustion residuals permit program if such
State provides the notification required under subsection (b)(1), and the
certification required under subsection (b)(2).</text>
</subsection><subsection commented="no" id="HAE5DF58C82CD47F0BBBB6779DECFB71B"><enum>(b)</enum><header>State actions</header>
<paragraph commented="no" id="H3F9344F35E9D4ACF87239F5D1832CFE6"><enum>(1)</enum><header>Notification</header><text display-inline="yes-display-inline">Not later than 6 months after the date of enactment of this section (except as provided by the
deadline identified under subsection (d)(3)(B)), the Governor of each
State shall notify the Administrator, in writing, whether such State will
adopt and implement a coal combustion residuals permit program.</text>
</paragraph><paragraph commented="no" id="H4B5C2FDFE95B47F3B9632F9F715E97F4"><enum>(2)</enum><header>Certification</header>
<subparagraph commented="no" id="H7046DBF0A8864D0CAE75CD32269F2576"><enum>(A)</enum><header>In general</header><text>Not later than 36 months after the date of enactment of this section (except as provided in
subsection (f)(1)(A)), in the case of a State that has notified the
Administrator that it will implement a coal combustion residuals permit
program, the head of the lead State implementing agency shall submit to
the Administrator a certification that such coal combustion residuals
permit program meets the requirements described in subsection (c).</text>
</subparagraph><subparagraph commented="no" id="H274D3301B9194FB6966CFDDE5B7653A4"><enum>(B)</enum><header>Contents</header><text>A certification submitted under this paragraph shall include—</text>
<clause commented="no" id="HAB7EFDC8542E476DB7AC830CD05CDD45"><enum>(i)</enum><text>a letter identifying the lead State implementing agency, signed by the head of such agency;</text>
</clause><clause commented="no" id="H5A5B925E1393411E84862BD122A8712A"><enum>(ii)</enum><text>identification of any other State agencies involved with the implementation of the coal combustion
residuals permit program;</text>
</clause><clause commented="no" id="H0B65750754C741E7AF54B683532921BD"><enum>(iii)</enum><text>an explanation of how the State coal combustion residuals permit program meets the requirements of
this section, including a description of the State’s—</text>
<subclause commented="no" id="H72EBEBA9747E4B36B7C6A1F28E3A38EB"><enum>(I)</enum><text>process to inspect or otherwise determine compliance with such permit program;</text>
</subclause><subclause commented="no" id="H728D9BD8450040F1A317527A61C9C88E"><enum>(II)</enum><text>process to enforce the requirements of such permit program;</text>
</subclause><subclause commented="no" id="H547AA8B1257846DF941279C52AF6C442"><enum>(III)</enum><text>public participation process for the promulgation, amendment, or repeal of regulations for, and the
issuance of permits under, such permit program;</text>
</subclause><subclause commented="no" id="H0C1DC31474E848A09BB406C31C2F73B7"><enum>(IV)</enum><text>statutes, regulations, or policies pertaining to public access to information, such as groundwater
monitoring data; and</text>
</subclause><subclause commented="no" id="H61E0D41DB0234209BA28C05AEA293DEA"><enum>(V)</enum><text>statutes, regulations, or policies pertaining to structural integrity or dam safety that may be
applied to structures through such permit program;</text>
</subclause></clause><clause commented="no" id="H21261050815E43DBBCD704551A6DF356"><enum>(iv)</enum><text>a certification that the State has in effect, at the time of certification, statutes or regulations
necessary to implement a coal combustion residuals permit program that
meets the requirements described in subsection (c);</text>
</clause><clause commented="no" id="H0B0F9463FD154194B035E6F3D8DB71BE"><enum>(v)</enum><text>copies of State statutes and regulations described in clause (iv); and</text>
</clause><clause id="H4536EC4FA2B54AA09856EBFA9FE8454B"><enum>(vi)</enum><text display-inline="yes-display-inline">an emergency action plan for State response to a leak or spill at a structure that receives coal
combustion residuals.</text>
</clause></subparagraph><subparagraph commented="no" id="H6CBF9F7DDFC24970BC9873C582090752"><enum>(C)</enum><header>Updates</header><text>A State may update the certification as needed to reflect changes to the coal combustion residuals
permit program.</text>
</subparagraph></paragraph><paragraph commented="no" id="H79B556FF058B4923A1C8E7EE8B1F4BAF"><enum>(3)</enum><header>Maintenance of <enum-in-header>4005(c)</enum-in-header> or <enum-in-header>3006</enum-in-header> program</header><text display-inline="yes-display-inline">In order to adopt or implement a coal combustion residuals permit program under this section
(including pursuant to subsection (f)), the State implementing agency
shall maintain an approved permit program or other system of prior
approval and conditions under section 4005(c) or an authorized program
under section 3006.</text>
</paragraph></subsection><subsection commented="no" id="HC7BD8C7DBDDC4435BD44F96D7CDEA91F"><enum>(c)</enum><header>Requirements for a coal combustion residuals permit program</header><text display-inline="yes-display-inline">A coal combustion residuals permit program shall consist of the following:</text>
<paragraph commented="no" id="H4EFE822AA5FB4CF2B68F39B3102D8086"><enum>(1)</enum><header>General requirements</header>
<subparagraph commented="no" id="H712F18709DF445BFA066604367E0B880"><enum>(A)</enum><header>In general</header><text display-inline="yes-display-inline">The implementing agency shall—</text>
<clause commented="no" id="H6D74C1BFBBCA461CAE98DACF9124E0F4"><enum>(i)</enum><text>apply the subset of the revised criteria described in paragraph (2) to owners or operators of
structures, including surface impoundments, that receive coal combustion
residuals on or after the date of enactment of this section;</text>
</clause><clause commented="no" id="HDAFF9511B7E040CC8DC8CBE11CECC56C"><enum>(ii)</enum><text>with respect to structures that are receiving coal combustion residuals as of the date of enactment
of this section, take the actions required under paragraph (3);</text>
</clause><clause commented="no" id="H3A3E0FD0B5BF4C3599D1CFD69199A73D"><enum>(iii)</enum><text display-inline="yes-display-inline">impose requirements for surface impoundments that do not meet certain criteria pursuant to
paragraph (4); and</text>
</clause><clause commented="no" id="H82B4B0A053B14489BC53972EFA441513"><enum>(iv)</enum><text>require that closure of structures occur in accordance with paragraph (5).</text>
</clause></subparagraph><subparagraph commented="no" id="H0D85D45691444EB483D293B6727E607D"><enum>(B)</enum><header>Structural integrity</header>
<clause commented="no" id="H2A5D5E66AD2B4F4D8AB2EADD33C69B84"><enum>(i)</enum><header>Engineering certification</header><text>The implementing agency shall require that an independent registered professional engineer certify
that—</text>
<subclause commented="no" id="H0D5185D502094BDE824EFB48BF99CAD8"><enum>(I)</enum><text display-inline="yes-display-inline">the design of each structure that receives coal combustion residuals on or after the date of
enactment of this section is in accordance with recognized and generally
accepted good engineering practices for containment of the maximum volume
of coal combustion residuals and liquids which can be impounded therein;
and</text>
</subclause><subclause commented="no" id="H716D0B6ACBC547948F7BA06B971CD7B6"><enum>(II)</enum><text>the construction and maintenance of the structure will ensure structural stability.</text>
</subclause></clause><clause commented="no" id="H8FA2C14EEA2F45D5B403789C38680C1E"><enum>(ii)</enum><header>Emergency action plan</header><text>The implementing agency shall require that the owner or operator of any structure that is a surface
impoundment that receives coal combustion residuals on or after the date
of enactment of this section and that is classified by the State as posing
a high hazard potential pursuant to the guidelines published by the
Federal Emergency Management Agency entitled <quote>Federal Guidelines for Dam Safety: Hazard Potential Classification System for Dams</quote> (FEMA Publication Number 333) prepare and maintain an emergency action plan that identifies
responsible persons and actions to be taken in the event of a dam safety
emergency.</text>
</clause><clause commented="no" id="H16E285910EB7451B9CDB37CAD0E58099"><enum>(iii)</enum><header>Inspection</header>
<subclause id="H56A08D1D92FA425382ACA850AE29057D"><enum>(I)</enum><header>In general</header><text>The implementing agency shall require that structures that are surface impoundments that receive
coal combustion residuals on or after the date of enactment of this
section be inspected not less than annually by an independent registered
professional engineer to assure that the design, operation, and
maintenance of the surface impoundment is in accordance with recognized
and generally accepted good engineering practices for containment of the
maximum volume of coal combustion residuals and liquids which can be
impounded therein, so as to ensure dam stability.</text>
</subclause><subclause id="H7ED9C2269ABA47989AFD22EC32043FD9"><enum>(II)</enum><header>Potentially hazardous conditions</header><text>The implementing agency shall require that if an inspection under subclause (I), or a periodic
evaluation under clause (iv), reveals a potentially hazardous condition,
the owner or operator of the structure shall immediately take action to
mitigate the potentially hazardous condition and notify appropriate State
and local first responders.</text>
</subclause></clause><clause commented="no" id="H5C76D27671C841D39B96B7A1F4162544"><enum>(iv)</enum><header>Periodic evaluation</header><text>The implementing agency shall require that structures that are surface impoundments that receive
coal combustion residuals on or after the date of enactment of this
section be periodically evaluated for appearances of structural weakness.</text>
</clause><clause commented="no" id="HACAE31DB225D4930849050D51AFA5DF2"><enum>(v)</enum><header>Deficiency</header>
<subclause commented="no" id="H7148D466308C4F528FA514BF64F77F43"><enum>(I)</enum><header>In general</header><text>If the head of the implementing agency determines that a structure is deficient with respect to the
requirements in clause (i), (iii), or (iv), the head of the agency has the
authority to require action to correct the deficiency according to a
schedule determined by the agency.</text>
</subclause><subclause commented="no" id="H67D2A66D4A7F42DD8E1491531FE21CC1"><enum>(II)</enum><header>Uncorrected deficiencies</header><text>If a deficiency is not corrected according to the schedule, the head of the implementing agency has
the authority to require that the structure close in accordance with
paragraph (5).</text>
</subclause><subclause commented="no" id="HB5FDC8B958E64BB28A6F5B8408182162"><enum>(III)</enum><header>Dam safety consultation</header><text>In the case of a structure that is a surface impoundment, the head of the implementing agency
shall, in making a determination under subclause (I), consult with
appropriate State dam safety officials.</text>
</subclause></clause></subparagraph><subparagraph commented="no" id="HA0E2454A9E6E437696303626C416AB36"><enum>(C)</enum><header>Location</header><text>The implementing agency shall require that structures that first receive coal combustion residuals
on or after the date of enactment of this section shall be constructed
with a base located a minimum of 2 feet above the upper limit of the water
table, unless it is demonstrated to the satisfaction of the implementing
agency that—</text>
<clause commented="no" id="H2DD475869AB946E28DB02D35E6882DAD"><enum>(i)</enum><text>the hydrogeologic characteristics of a structure and surrounding land would preclude such a
requirement; and</text>
</clause><clause commented="no" id="H5B5687D7528146C98E0B56C7E6776198"><enum>(ii)</enum><text>the function and integrity of the liner system will not be adversely impacted by contact with the
water table.</text>
</clause></subparagraph><subparagraph commented="no" id="H157919BA238E4E35AC32B2468C3A4C45"><enum>(D)</enum><header>Wind dispersal</header>
<clause commented="no" id="H8D24B3101A94423E9258E58D19001375"><enum>(i)</enum><header>In general</header><text display-inline="yes-display-inline">The implementing agency shall require that owners or operators of structures that receive coal
combustion residuals on or after the date of enactment of this section
address wind dispersal of dust by requiring cover, or by wetting coal
combustion residuals with water to a moisture content that prevents wind
dispersal, facilitates compaction, and does not result in free liquids.</text>
</clause><clause commented="no" id="H76F1C0ECBB724D2C9B8E284A817BE12E"><enum>(ii)</enum><header>Alternative methods</header><text display-inline="yes-display-inline">Subject to the review and approval by the implementing agency, owners or operators of structures
that receive coal combustion residuals on or after the date of enactment
of this section may propose alternative methods to address wind dispersal
of dust that will provide comparable or more effective control of dust.</text>
</clause></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="H389112D2EDBD44109D4436DDB368C889"><enum>(E)</enum><header>Permits</header><text display-inline="yes-display-inline">The implementing agency shall require that owners or operators of structures that receive coal
combustion residuals on or after the date of enactment of this section
apply for and obtain permits incorporating the requirements of the coal
combustion residuals permit program.</text>
</subparagraph><subparagraph commented="no" id="HF5069C30EA4E4583BADE31735ABB60FD"><enum>(F)</enum><header>Public availability of information</header><text>Except for information with respect to which disclosure is prohibited under section 1905 of title
18, United States Code, the implementing agency shall ensure that—</text>
<clause commented="no" id="H6117BE614B404FFC8EC8D155C3725625"><enum>(i)</enum><text>documents for permit determinations are made available for public review and comment under the
public participation process described in subsection (b)(2)(B)(iii)(III)
or in subsection (e)(6), as applicable;</text>
</clause><clause commented="no" id="H9CBBFAFE49DA49C9ADAA026A56B6695B"><enum>(ii)</enum><text display-inline="yes-display-inline">final determinations on permit applications are made known to the public; and</text>
</clause><clause commented="no" id="HFC7B92FB37484517AA9E9B87C44B3242"><enum>(iii)</enum><text>groundwater monitoring data collected under paragraph (2) is publicly available.</text>
</clause></subparagraph><subparagraph commented="no" id="H3C1663AA889C434A954A6F154884F06C"><enum>(G)</enum><header>Agency authority</header>
<clause commented="no" id="H458C8B775C334E92897B0929220F7E54"><enum>(i)</enum><header>In general</header><text>The implementing agency has the authority to—</text>
<subclause commented="no" id="H4D288FF58C6D4F9692C5E63203025D55"><enum>(I)</enum><text>obtain information necessary to determine whether the owner or operator of a structure is in
compliance with the requirements of this subsection;</text>
</subclause><subclause commented="no" id="H2D81C2BFDDF8452797AF551F5F7359E6"><enum>(II)</enum><text>conduct or require monitoring and testing to ensure that structures are in compliance with the
requirements of this subsection; and</text>
</subclause><subclause commented="no" id="H7C034F645B1B471E988D151609073232"><enum>(III)</enum><text>enter, at reasonable times, any site or premise subject to the coal combustion residuals permit
program for the purpose of inspecting structures and reviewing records
relevant to the design, operation, and maintenance of structures.</text>
</subclause></clause><clause commented="no" id="HCEE0E9CE27AD445F88E2BDE9D315205E"><enum>(ii)</enum><header>Monitoring and testing</header><text>If monitoring or testing is conducted under clause (i)(II) by or for the implementing agency, the
implementing agency shall, if requested, provide to the owner or operator—</text>
<subclause commented="no" id="HFA56CE4A5DA744668D242937BF251420"><enum>(I)</enum><text>a written description of the monitoring or testing completed;</text>
</subclause><subclause commented="no" id="H28FB55535F7D4381B5C01187131854A3"><enum>(II)</enum><text>at the time of sampling, a portion of each sample equal in volume or weight to the portion retained
by or for the implementing agency; and</text>
</subclause><subclause commented="no" id="HD9357C0B4B7F42BAB9E6CBEA654F4E8C"><enum>(III)</enum><text>a copy of the results of any analysis of samples collected by or for the implementing agency.</text>
</subclause></clause></subparagraph></paragraph><paragraph commented="no" id="H9694183491684A3EA5460AAEB03594DC"><enum>(2)</enum><header>Revised criteria</header><text>The subset of the revised criteria referred to in paragraph (1)(A)(i) are as follows:</text>
<subparagraph commented="no" id="HD5703809BD344155B60AB3EB0DDF7B22"><enum>(A)</enum><header>Design requirements</header><text display-inline="yes-display-inline">For new structures, and lateral expansions of existing structures, that first receive coal
combustion residuals on or after the date of enactment of this section,
the revised criteria regarding design requirements described in section
258.40 of title 40, Code of Federal Regulations, except that the leachate
collection system requirements described in section 258.40(a)(2) of title
40, Code of Federal Regulations, do not apply to structures that are
surface impoundments.</text>
</subparagraph><subparagraph commented="no" id="HCE9D1735362C40F4B05E4B0F40D17833"><enum>(B)</enum><header>Groundwater monitoring and corrective action</header><text>For all structures that receive coal combustion residuals on or after the date of enactment of this
section, the revised criteria regarding groundwater monitoring and
corrective action requirements described in subpart E of part 258 of title
40, Code of Federal Regulations, except that, for the purposes of this
subparagraph, the revised criteria shall also include—</text>
<clause commented="no" id="H29D08684E1824A09B61186C60121DEE1"><enum>(i)</enum><text>for the purposes of detection monitoring, the constituents boron, chloride, conductivity, fluoride,
mercury, pH, sulfate, sulfide, and total dissolved solids; and</text>
</clause><clause commented="no" id="HEDE9F9C8849F485E807D4B1038052E2B"><enum>(ii)</enum><text>for the purposes of assessment monitoring, establishing a groundwater protection standard, and
assessment of corrective measures, the constituents aluminum, boron,
chloride, fluoride, iron, manganese, molybdenum, pH, sulfate, and total
dissolved solids.</text>
</clause></subparagraph><subparagraph commented="no" id="H70082FF133D24E28BEF3C21EFF6FEEBB"><enum>(C)</enum><header>Closure</header><text>For all structures that receive coal combustion residuals on or after the date of enactment of this
section, in a manner consistent with paragraph (5), the revised criteria
for closure described in subsections (a) through (c) and (h) through (j)
of <external-xref legal-doc="regulation" parsable-cite="cfr/40/258.60">section 258.60</external-xref> of title 40, Code of Federal Regulations.</text>
</subparagraph><subparagraph commented="no" id="H35FB1499D53F471593FD8E3B51FFF0DB"><enum>(D)</enum><header>Post-closure</header><text>For all structures that receive coal combustion residuals on or after the date of enactment of this
section, the revised criteria for post-closure care described in section
258.61 of title 40, Code of Federal Regulations, except for the
requirement described in subsection (a)(4) of that section.</text>
</subparagraph><subparagraph commented="no" id="HBBA04CFF4A9343278666450D63D495E7"><enum>(E)</enum><header>Location restrictions</header><text>The revised criteria for location restrictions described in—</text>
<clause commented="no" id="H195AF482BBEF4390B022003FB466E5A4"><enum>(i)</enum><text>for new structures, and lateral expansions of existing structures, that first receive coal
combustion residuals on or after the date of enactment of this section,
sections 258.11 through 258.15 of title 40, Code of Federal Regulations;
and</text>
</clause><clause commented="no" id="H12149070561E475D8BAC893D02947FFC"><enum>(ii)</enum><text>for existing structures that receive coal combustion residuals on or after the date of enactment of
this section, sections <external-xref legal-doc="usc" parsable-cite="usc/40/258">258.11</external-xref> and <external-xref legal-doc="usc" parsable-cite="usc/40/258">258.15</external-xref> of title 40, Code of Federal
Regulations.</text>
</clause></subparagraph><subparagraph commented="no" id="HFBADC9D892544589843EF4636F35964C"><enum>(F)</enum><header>Air quality</header><text>For all structures that receive coal combustion residuals on or after the date of enactment of this
section, the revised criteria for air quality described in section 258.24
of title 40, Code of Federal Regulations.</text>
</subparagraph><subparagraph commented="no" id="HB985178E6D244D269AC80626D32D542B"><enum>(G)</enum><header>Financial assurance</header><text>For all structures that receive coal combustion residuals on or after the date of enactment of this
section, the revised criteria for financial assurance described in subpart
G of part 258 of title 40, Code of Federal Regulations.</text>
</subparagraph><subparagraph commented="no" id="H58B038A8115145738D0BA5D0E49DB827"><enum>(H)</enum><header>Surface water</header><text>For all structures that receive coal combustion residuals on or after the date of enactment of this
section, the revised criteria for surface water described in section
258.27 of title 40, Code of Federal Regulations.</text>
</subparagraph><subparagraph commented="no" id="HDB9980AFCD2341C2801EA105D7EFF336"><enum>(I)</enum><header>Recordkeeping</header><text>For all structures that receive coal combustion residuals on or after the date of enactment of this
section, the revised criteria for recordkeeping described in section
258.29 of title 40, Code of Federal Regulations.</text>
</subparagraph><subparagraph commented="no" id="HA4CF5E22E72642F497249AA8C1351329"><enum>(J)</enum><header>Run-on and run-off control systems for land-based units</header><text>For all landfills and other land-based units, other than surface impoundments, that receive coal
combustion residuals on or after the date of enactment of this section,
the revised criteria for run-on and run-off control systems described in
<external-xref legal-doc="regulation" parsable-cite="cfr/40/258.26">section 258.26</external-xref> of title 40, Code of Federal Regulations.</text>
</subparagraph><subparagraph commented="no" id="HE4EBC99A324F49B19F32C22B77169402"><enum>(K)</enum><header>Run-off control systems for surface impoundments</header><text>For all surface impoundments that receive coal combustion residuals on or after the date of
enactment of this section, the revised criteria for run-off control
systems described in <external-xref legal-doc="usc" parsable-cite="usc/40/258">section 258.26(a)(2)</external-xref> of title 40, Code of Federal
Regulations.</text>
</subparagraph></paragraph><paragraph commented="no" id="HE0A45EDF2ECF4853B4ABF144D0C1B76E"><enum>(3)</enum><header>Permit program implementation for existing structures</header>
<subparagraph commented="no" id="H30ED88A42C274068BF0A60E426E78ADD"><enum>(A)</enum><header>Notification</header><text display-inline="yes-display-inline">Not later than the date on which a State submits a certification under subsection (b)(2), not later
than 30 months after the Administrator receives notice under subsection
(e)(1)(A), or not later than 36 months after the date of enactment of this
section with respect to a coal combustion residuals permit program that is
being implemented by the Administrator under subsection (e)(3), as
applicable, the implementing agency shall notify owners or operators of
structures that are receiving coal combustion residuals as of the date of
enactment of this section within the State of—</text>
<clause commented="no" id="HBDF807A273604DB59ADDBC289D4390D1"><enum>(i)</enum><text>the obligation to apply for and obtain a permit under subparagraph (C); and</text>
</clause><clause commented="no" id="HDE9437AE22F646A1BE25A605FF3B0ED1"><enum>(ii)</enum><text>the requirements referred to in subparagraph (B).</text>
</clause></subparagraph><subparagraph commented="no" id="H16B5338D500A434C87B9F43D5497EC9B"><enum>(B)</enum><header>Compliance with certain requirements</header><text display-inline="yes-display-inline">Not later than 12 months after the date on which a State submits a certification under subsection
(b)(2), not later than 42 months after the Administrator receives notice
under subsection (e)(1)(A), or not later than 48 months after the date of
enactment of this section with respect to a coal combustion residuals
permit program that is being implemented by the Administrator under
subsection (e)(3), as applicable, the implementing agency shall require
owners or operators of structures that are receiving coal combustion
residuals as of the date of enactment of this section to comply with—</text>
<clause commented="no" id="HEC7C52E79FAA4F8FA8F022B356040706"><enum>(i)</enum><text>the requirements under paragraphs (1)(B) (ii) and (iii), (1)(D), (2)(B), (2)(F), (2)(H), (2)(J),
and
(2)(K); and</text>
</clause><clause commented="no" id="HC7DF31F04B95409188EA66963C684D14"><enum>(ii)</enum><text display-inline="yes-display-inline">the groundwater recordkeeping requirement described in <external-xref legal-doc="usc" parsable-cite="usc/40/258">section 258.29(a)(5)</external-xref> of title 40, Code of
Federal Regulations.</text>
</clause></subparagraph><subparagraph commented="no" id="HDE0B591AFBB14A289A733DC1E4EA8485"><enum>(C)</enum><header> Permits</header>
<clause commented="no" id="H2A5869568C264E5ABF9185CC919F6194"><enum>(i)</enum><header>Permit deadline</header><text display-inline="yes-display-inline">Not later than 48 months after the date on which a State submits a certification under subsection
(b)(2), not later than 78 months after the Administrator receives notice
under subsection (e)(1)(A), or not later than 84 months after the date of
enactment of this section with respect to a coal combustion residuals
permit program that is being implemented by the Administrator under
subsection (e)(3), as applicable, the implementing agency shall issue,
with respect to a structure that is receiving coal combustion residuals as
of the date of enactment of this section, a final permit incorporating the
requirements of the coal combustion residuals permit program, or a final
denial for an application submitted requesting such a permit.</text>
</clause><clause commented="no" id="HCCBAE5FDF9DA43F49147E48811309F2B"><enum>(ii)</enum><header>Application deadline</header><text display-inline="yes-display-inline">The implementing agency shall identify, in collaboration with the owner or operator of a structure
described in clause (i), a reasonable deadline by which the owner or
operator shall submit a permit application under such clause.</text>
</clause></subparagraph><subparagraph commented="no" id="HF7BE1566979B43FCB5913F2BDC87FD45"><enum>(D)</enum><header>Interim operation</header>
<clause commented="no" id="H9303512B06A24AB4BC05622586C0DDC7"><enum>(i)</enum><header>Prior to deadlines</header><text>With respect to any period of time on or after the date of enactment of this section but prior to
the applicable deadline in subparagraph (B), the owner or operator of a
structure that is receiving coal combustion residuals as of the date of
enactment of this section may continue to operate such structure until
such applicable deadline under the applicable authority in effect.</text>
</clause><clause commented="no" id="H6802D6AADCCC4731AB85FCD334256F1B"><enum>(ii)</enum><header>Prior to permit</header><text>Unless the implementing agency determines that the structure should close pursuant to paragraph
(5), if the owner or operator of a structure that is receiving coal
combustion residuals as of the date of enactment of this section meets the
requirements referred to in subparagraph (B) by the applicable deadline in
such subparagraph, the owner or operator may operate the structure until
such time as the implementing agency issues, under subparagraph (C), a
final permit incorporating the requirements of the coal combustion
residuals permit program, or a final denial for an application submitted
requesting such a permit.</text>
</clause></subparagraph></paragraph><paragraph commented="no" id="HCB3F714067294EB0B3D70E950329EE56"><enum>(4)</enum><header>Requirements for surface impoundments that do not meet certain criteria</header>
<subparagraph id="H678353F2E2EC43E2BD6D007F65B807E5"><enum>(A)</enum><header>Surface impoundments that require assessment of corrective measures within 10 years of the date of
enactment</header>
<clause id="HF82FA77ED34D4E0EB34ABE9FE337E6EF"><enum>(i)</enum><header>In general</header><text>In addition to the groundwater monitoring and corrective action requirements described in paragraph
(2)(B), the implementing agency shall require a surface impoundment that
receives coal combustion residuals on or after the date of enactment of
this section to comply with the requirements in clause (ii) of this
subparagraph and clauses (i) and (ii) of subparagraph (D) if the surface
impoundment—</text>
<subclause id="H1BE8D286D42B412C8B011ABE09471DBD"><enum>(I)</enum><text>does not—</text>
<item id="HD75903BEA9B34ED7858C09CB2D4C3C2B"><enum>(aa)</enum><text>have a liner system described in <external-xref legal-doc="regulation" parsable-cite="cfr/40/258.40">section 258.40(b)</external-xref> of title 40, Code of Federal Regulations; and</text>
</item><item id="H16AA4245AC774180A9FA9343097AAF3C"><enum>(bb)</enum><text>meet the design criteria described in <external-xref legal-doc="usc" parsable-cite="usc/40/258">section 258.40(a)(1)</external-xref> of title 40, Code of Federal
Regulations; and</text>
</item></subclause><subclause commented="no" id="HD5DD6C8E017C452CB1A80DD05EF68E59"><enum>(II)</enum><text display-inline="yes-display-inline">within 10 years after the date of enactment of this section, is required under section 258.56(a) of
title 40, Code of Federal Regulations, to undergo an assessment of
corrective measures for any constituent covered under subpart E of part
258 of title 40, Code of Federal Regulations, or otherwise identified in
paragraph (2)(B)(ii) of this subsection, for which assessment groundwater
monitoring is required.</text>
</subclause></clause><clause id="H959822F583BC42FA94FB0BAB2844F549"><enum>(ii)</enum><header>Deadline to meet groundwater protection standard</header><text>Except as provided in subparagraph (C), the implementing agency shall require that the groundwater
protection standard, for surface impoundments identified in clause (i) of
this subparagraph, established by the implementing agency under section
258.55(h) or 258.55(i) of title 40, Code of Federal Regulations, for any
constituent for which corrective measures are required shall be met—</text>
<subclause id="HC31FEC80563A400D8937A9F45E1E1C2C"><enum>(I)</enum><text>as soon as practicable at the relevant point of compliance, as described in section 258.40(d) of
title 40, Code of Federal Regulations; and</text>
</subclause><subclause id="H50A462D70F8748BB943AF44F01016E27"><enum>(II)</enum><text>not later than 10 years after the date of enactment of this section.</text>
</subclause></clause></subparagraph><subparagraph id="H468EDF20D70245A7B0084529D4DF2421"><enum>(B)</enum><header>Surface impoundments subject to a state corrective action requirement as of the date of enactment</header>
<clause id="H09CCCD108D1F4CBAAD739E19E5A19441"><enum>(i)</enum><header>In general</header><text display-inline="yes-display-inline">In addition to the groundwater monitoring and corrective action requirements described in paragraph
(2)(B), the implementing agency shall require a surface impoundment that
receives coal combustion residuals on or after the date of enactment of
this section to comply with the requirements in clause (ii) of this
subparagraph and clauses (i) and (ii) of subparagraph (D) if the surface
impoundment—</text>
<subclause commented="no" id="H40792EA4B65B4E36B97D42F15481443C"><enum>(I)</enum><text>does not—</text>
<item id="H527D0E029BAD4EFAB1870D3C673EE3DD"><enum>(aa)</enum><text>have a liner system described in <external-xref legal-doc="regulation" parsable-cite="cfr/40/258.40">section 258.40(b)</external-xref> of title 40, Code of Federal Regulations; and</text>
</item><item id="H2C357DB5746949E494DA78F73B14D759"><enum>(bb)</enum><text>meet the design criteria described in <external-xref legal-doc="usc" parsable-cite="usc/40/258">section 258.40(a)(1)</external-xref> of title 40, Code of Federal
Regulations; and</text>
</item></subclause><subclause id="HB43C0AC8CEA4466E818F8AD75652F766"><enum>(II)</enum><text>as of the date of enactment of this section, is subject to a State corrective action requirement.</text>
</subclause></clause><clause id="H5B639DC723EB47DAB2CD8657D2EFE060"><enum>(ii)</enum><header>Deadline to meet groundwater protection standard</header><text>Except as provided in subparagraph (C), the implementing agency shall require that the groundwater
protection standard, for surface impoundments identified in clause (i) of
this subparagraph, established by the implementing agency under section
258.55(h) or 258.55(i) of title 40, Code of Federal Regulations, for any
constituent for which corrective measures are required shall be met—</text>
<subclause id="H57CA529CA8A74108A6BFF49B348DE99F"><enum>(I)</enum><text>as soon as practicable at the relevant point of compliance, as described in section 258.40(d) of
title 40, Code of Federal Regulations; and</text>
</subclause><subclause id="H0FE0F4E406A94C2EA8ADE0D9D64ED0E9"><enum>(II)</enum><text>not later than 8 years after the date of enactment of this section.</text>
</subclause></clause></subparagraph><subparagraph id="H2540C8579FC74BEFA26D00528DA10C7E"><enum>(C)</enum><header>Extension of deadline</header>
<clause id="H5AF3D89D0BB04B61B0F2EBF9C05A8A89"><enum>(i)</enum><header>In general</header><text>Except as provided in clause (ii) of this subparagraph, the deadline for meeting a groundwater
protection standard under subparagraph (A)(ii) or (B)(ii) may be extended
by the implementing agency, after opportunity for public notice and
comment under the public participation process described in subsection
(b)(2)(B)(iii)(III), or in subsection (e)(6) based on—</text>
<subclause id="HBA6C38D6303A4CC8898AB7FFE9774724"><enum>(I)</enum><text>the effectiveness of any interim measures implemented by the owner or operator of the facility
under <external-xref legal-doc="regulation" parsable-cite="cfr/40/258.58">section 258.58(a)(3)</external-xref> of title 40, Code of Federal Regulations;</text>
</subclause><subclause id="H75A285C3A9374996A8E579E2F62B8A7F"><enum>(II)</enum><text>the level of progress demonstrated in meeting the groundwater protection standard;</text>
</subclause><subclause id="HCF0458AA9A9042A9A63080355E459023"><enum>(III)</enum><text>the potential for other adverse human health or environmental exposures attributable to the
contamination from the surface impoundment undergoing corrective action;
and</text>
</subclause><subclause id="H178CD6491DCE428DA279D0FBE89E7E6C"><enum>(IV)</enum><text>the lack of available alternative management capacity for the coal combustion residuals and related
materials managed in the impoundment at the facility at which the
impoundment is located if the owner or operator has used best efforts, as
necessary, to design, obtain any necessary permits, finance, construct,
and render operational the alternative management capacity during the time
period for meeting a groundwater protection standard in subparagraph
(A)(ii) or (B)(ii).</text>
</subclause></clause><clause id="H6C86F4C0B12943F9ADAA220A620841C5"><enum>(ii)</enum><header>Exception</header><text>The deadline under subparagraph (A)(ii) or (B)(ii) shall not be extended if there has been
contamination of public or private drinking water systems attributable to
a surface impoundment undergoing corrective action, unless the
contamination has been addressed by providing a permanent replacement
water system.</text>
</clause></subparagraph><subparagraph id="H11AB126EA6C1451784A5B871BB52F5AA"><enum>(D)</enum><header>Additional requirements</header>
<clause id="HE8627A77A30C4351B3C6650AC9B1AAAF"><enum>(i)</enum><header>Closure</header><text>If the deadline under subparagraph (A)(ii), (B)(ii), or (C) is not satisfied, the surface
impoundment shall cease receiving coal combustion residuals and initiate
closure under paragraph (5).</text>
</clause><clause id="HCBF912D06D2A40A190807D09C76BC4D6"><enum>(ii)</enum><header>Interim measures</header>
<subclause id="H5590A3453FDB40BBB1A2E39221FC2C2E"><enum>(I)</enum><header>In general</header><text>Except as provided in subclause (II), not later than 90 days after the date on which the assessment
of corrective measures is initiated, the owner or operator of a surface
impoundment described in subparagraph (A) or (B) shall implement interim
measures, as necessary, under the factors in section 258.58(a)(3) of title
40, Code of Federal Regulations.</text>
</subclause><subclause id="HCD3E2F17DED04AFB9AE45EC2D8A17616"><enum>(II)</enum><header>Impoundments subject to state corrective action requirement as of the date of enactment</header><text>Subclause (I) shall only apply to surface impoundments subject to a State corrective action
requirement as of the date of enactment of this section if the owner or
operator has not implemented interim measures, as necessary, under the
factors in <external-xref legal-doc="regulation" parsable-cite="cfr/40/258.58">section 258.58(a)(3)</external-xref> of title 40, Code of Federal Regulations.</text>
</subclause></clause></subparagraph><subparagraph id="HF2827B03917A4E76BFE284F22B5FB7DF"><enum>(E)</enum><header>Surface impoundments that require assessment of corrective measures more than 10 years after date
of enactment</header>
<clause id="HEF0B43C29BBA4A6C8E40EF5727110DB7"><enum>(i)</enum><header>In general</header><text display-inline="yes-display-inline">In addition to the groundwater monitoring and corrective action requirements described in paragraph
(2)(B), the implementing agency shall require a surface impoundment that
receives coal combustion residuals on or after the date of enactment of
this section to comply with the requirements in clause (ii) if the surface
impoundment—</text>
<subclause id="HB6A2E81E3EA24D239FE1A45874FF14BF"><enum>(I)</enum><text>does not—</text>
<item id="HD0E59A19D15D4F0D90AE42D7E79F3037"><enum>(aa)</enum><text>have a liner system described in <external-xref legal-doc="regulation" parsable-cite="cfr/40/258.40">section 258.40(b)</external-xref> of title 40, Code of Federal Regulations; and</text>
</item><item id="H4C880F8D066E4715B5A050FBBF8B30E2"><enum>(bb)</enum><text>meet the design criteria described in <external-xref legal-doc="usc" parsable-cite="usc/40/258">section 258.40(a)(1)</external-xref> of title 40, Code of Federal
Regulations; and</text>
</item></subclause><subclause commented="no" id="H1B0F8DC80BC54FEF93178D4A3DD97B04"><enum>(II)</enum><text display-inline="yes-display-inline">more than 10 years after the date of enactment of this section, is required under section 258.56(a)
title 40, Code of Federal Regulations, to undergo an assessment of
corrective measures for any constituent covered under subpart E of part
258 of title 40, Code of Federal Regulations, or otherwise identified in
paragraph (2)(B)(ii) of this subsection, for which assessment groundwater
monitoring is required.</text>
</subclause></clause><clause id="H083C00047EB1489C88AF985FA28B2A4A"><enum>(ii)</enum><header>Requirements</header>
<subclause id="H09D5FD0FFCF243CB8B89D3401DFA747A"><enum>(I)</enum><header>Closure</header><text>The surface impoundments identified in clause (i) shall cease receiving coal combustion residuals
and initiate closure in accordance with paragraph (5) after alternative
management capacity at the facility is available for the coal combustion
residuals and related materials managed in the impoundment.</text>
</subclause><subclause id="H0D68EED109074EF2889E957477C44BEA"><enum>(II)</enum><header>Best efforts</header><text>The alternative management capacity shall be developed as soon as practicable with the owner or
operator using best efforts to design, obtain necessary permits for,
finance, construct, and render operational the alternative management
capacity.</text>
</subclause><subclause id="H180B096CBE634E7A8068FA83B2A86887"><enum>(III)</enum><header>Alternative capacity management plan</header><text>The owner or operator shall, in collaboration with the implementing agency, prepare a written plan
that describes the steps necessary to develop the alternative management
capacity and includes a schedule for completion.</text>
</subclause><subclause id="H10DA22973E8D448FBBC4789152DADEE7"><enum>(IV)</enum><header>Public participation</header><text>The plan described in subclause (III) shall be subject to public notice and comment under the
public participation process described in subsection (b)(2)(B)(iii)(III)
or in subsection (e)(6), as applicable.</text>
</subclause></clause></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="H3F60A59CD1874CFEAA5632FCFFBE1CD5"><enum>(5)</enum><header>Closure</header>
<subparagraph commented="no" id="H2681E89A37D7484B9EE7BEF82E039980"><enum>(A)</enum><header>In general</header><text display-inline="yes-display-inline">If it is determined by the implementing agency that a structure should close because the
requirements of a coal combustion residuals permit program are not being
satisfied with respect to such structure, or if it is determined by the
owner or operator that a structure should close, the time period and
method for the closure of such structure shall be set forth in a closure
plan that establishes a deadline for completion of closure as soon as
practicable and that takes into account the nature and the site-specific
characteristics of the structure to be closed.</text>
</subparagraph><subparagraph commented="no" id="H0747A55674C1460D9834A2650D71B935"><enum>(B)</enum><header>Surface impoundment</header><text>In the case of a surface impoundment, the closure plan under subparagraph (A) shall require, at a
minimum, the removal of liquid and the stabilization of remaining waste,
as necessary to support the final cover.</text>
</subparagraph></paragraph></subsection><subsection id="H5FFA29AC698448ECA2FB6CC6F7F27851"><enum>(d)</enum><header>Federal review of State permit programs</header>
<paragraph commented="no" id="HA5D296B915094B3DB84A425C2135FAB5"><enum>(1)</enum><header>In general</header><text>The Administrator shall provide to a State written notice and an opportunity to remedy deficiencies
in accordance with paragraph (3) if at any time the State—</text>
<subparagraph commented="no" id="HF74B3AC21CCD4D09B36448E84FAC9459"><enum>(A)</enum><text display-inline="yes-display-inline">does not satisfy the notification requirement under subsection (b)(1);</text>
</subparagraph><subparagraph commented="no" id="HE82C284CDD814E17A05D70E34FE7C9BB"><enum>(B)</enum><text display-inline="yes-display-inline">has not submitted a certification required under subsection (b)(2);</text>
</subparagraph><subparagraph commented="no" id="H20D2F3B325AA431AA65916EB2443E2BC"><enum>(C)</enum><text display-inline="yes-display-inline">does not satisfy the maintenance requirement under subsection (b)(3);</text>
</subparagraph><subparagraph commented="no" id="H84B4B751DF304FF881E8094B85D87955"><enum>(D)</enum><text display-inline="yes-display-inline">is not implementing a coal combustion residuals permit program, with respect to which the State has
submitted a certification under subsection (b)(2), that meets the
requirements described in subsection (c);</text>
</subparagraph><subparagraph commented="no" id="H3A0FC791D9EC45278F7A86BE2A9A0A4C"><enum>(E)</enum><text display-inline="yes-display-inline">is not implementing a coal combustion residuals permit program, with respect to which the State has
submitted a certification under subsection (b)(2)—</text>
<clause commented="no" id="H852B58D6097D47DC90D4441F63F96FA2"><enum>(i)</enum><text>that is consistent with such certification; and</text>
</clause><clause commented="no" id="HA2E8D486DF6547AC8DDFD21981718836"><enum>(ii)</enum><text>for which the State continues to have in effect statutes or regulations necessary to implement such
program; or</text>
</clause></subparagraph><subparagraph commented="no" id="H6C5659E0656B426EA0C1192B76962ABC"><enum>(F)</enum><text display-inline="yes-display-inline">does not make available to the Administrator, within 90 days of a written request, specific
information necessary for the Administrator to ascertain whether the State
has satisfied the requirements described in subparagraphs (A) through (E).</text>
</subparagraph></paragraph><paragraph commented="no" id="H6B318B1BAF3A425786DFE08C748C0945"><enum>(2)</enum><header>Request</header><text>If a request described in paragraph (1)(F) is proposed pursuant to a petition to the Administrator,
the Administrator shall only make the request if the Administrator does
not possess the information necessary to ascertain whether the State has
satisfied the requirements described in subparagraphs (A) through (E) of
such paragraph.</text>
</paragraph><paragraph id="H62E2BA90FF40496DBC12C91C6D29B185"><enum>(3)</enum><header>Contents of notice; deadline for response</header><text>A notice provided under paragraph (1) shall—</text>
<subparagraph commented="no" id="HB20A35CA96954348A1F1E78076953FAA"><enum>(A)</enum><text>include findings of the Administrator detailing any applicable deficiencies described in
subparagraphs (A) through (F) of paragraph (1); and</text>
</subparagraph><subparagraph commented="no" id="H5B87D74F05BC4BB1A25AC729FE9AF710"><enum>(B)</enum><text>identify, in collaboration with the State, a reasonable deadline by which the State shall remedy
such applicable deficiencies, which shall be—</text>
<clause commented="no" id="H8C0993CC4233469088A294825B7CF07A"><enum>(i)</enum><text>in the case of a deficiency described in subparagraphs (A) through (E) of paragraph (1), not
earlier than 180 days after the date on which the State receives the
notice; and</text>
</clause><clause commented="no" id="HD7163E19DC6A44CBA149F04E06349AF5"><enum>(ii)</enum><text>in the case of a deficiency described in paragraph (1)(F), not later than 90 days after the date on
which the State receives the notice.</text>
</clause></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="H9193345CAE7D4C26AC7E3D23527B4699"><enum>(4)</enum><header>Criteria for determining deficiency of State permit program</header><text>In making a determination whether a State has failed to satisfy the requirements described in
subparagraphs (A) through (E) of paragraph (1), or a determination under
subsection (e)(1)(B), the Administrator shall consider, as appropriate—</text>
<subparagraph commented="no" id="H4F9D5DD7E82B4FC08F253948EF6ACDDA"><enum>(A)</enum><text>whether the State’s statutes or regulations to implement a coal combustion residuals permit program
are not sufficient to meet the requirements described in subsection (c)
because of—</text>
<clause commented="no" id="H18B1BF8F708C48FCB25821584AF006C7"><enum>(i)</enum><text>failure of the State to promulgate or enact new statutes or regulations when necessary; or</text>
</clause><clause commented="no" id="H7C27D8713BDF44F88754A14F35913046"><enum>(ii)</enum><text>action by a State legislature or court striking down or limiting such State statutes or
regulations;</text>
</clause></subparagraph><subparagraph commented="no" id="H4233B7F436014FF8B7C4653DBA9ACF02"><enum>(B)</enum><text>whether the operation of the State coal combustion residuals permit program fails to comply with
the requirements of subsection (c) because of—</text>
<clause commented="no" id="H770B60070BA4459EA69C9E3DF5E25EFF"><enum>(i)</enum><text>failure of the State to issue permits as required in subsection (c)(1)(E);</text>
</clause><clause commented="no" id="H0AC19D5002C74A0786871729642641C3"><enum>(ii)</enum><text>repeated issuance of permits by the State which do not meet the requirements of subsection (c);</text>
</clause><clause commented="no" id="HBD5B0184234C4312BACBDC0452697AD9"><enum>(iii)</enum><text>failure of the State to comply with the public participation requirements of this section; or</text>
</clause><clause commented="no" id="HB34FC8D5B08843CBA0B3B8FBF154466B"><enum>(iv)</enum><text>failure of the State to implement corrective action requirements as described in subsection
(c)(2)(B); and</text>
</clause></subparagraph><subparagraph commented="no" id="H78CD949CF2554D5289A4196C9773B232"><enum>(C)</enum><text>whether the enforcement of a State coal combustion residuals permit program fails to comply with
the requirements of this section because of—</text>
<clause commented="no" id="H763B452C04024736853325AA95AC2481"><enum>(i)</enum><text>failure to act on violations of permits, as identified by the State; or</text>
</clause><clause commented="no" id="H86EB75349F2047AF9CC4D3EC0955CA11"><enum>(ii)</enum><text>repeated failure by the State to inspect or otherwise determine compliance pursuant to the process
identified in subsection (b)(2)(B)(iii)(I).</text>
</clause></subparagraph></paragraph></subsection><subsection id="HBA1139002FCD454D838842776270B54F"><enum>(e)</enum><header>Implementation by Administrator</header>
<paragraph id="HA6858B67EBDB4D5F940954BEB114D9BF"><enum>(1)</enum><header>Federal backstop authority</header><text>The Administrator shall implement a coal combustion residuals permit program for a State only if—</text>
<subparagraph id="H876CA4EA838341CEBB5E39BEF9723030"><enum>(A)</enum><text>the Governor of the State notifies the Administrator under subsection (b)(1) that the State will
not adopt and implement a permit program;</text>
</subparagraph><subparagraph id="HF3AF8DFEDD4041E0BD11B37FDC79BE17"><enum>(B)</enum><text>the State has received a notice under subsection (d) and the Administrator determines, after
providing a 30-day period for notice and public comment, that the State
has failed, by the deadline identified in the notice under subsection
(d)(3)(B), to remedy the deficiencies detailed in the notice under
subsection (d)(3)(A); or</text>
</subparagraph><subparagraph id="H1744CC84566A452FB52A9C4CF6F856E0"><enum>(C)</enum><text>the State informs the Administrator, in writing, that such State will no longer implement such a
permit program.</text>
</subparagraph></paragraph><paragraph id="H7740555E6CBA4E0AA0FCF8C8DFF940EF"><enum>(2)</enum><header>Review</header><text>A State may obtain a review of a determination by the Administrator under this subsection as if the
determination was a final regulation for purposes of section 7006.</text>
</paragraph><paragraph id="H57492418A72A4EC9A73B83B4F1474005"><enum>(3)</enum><header>Other structures</header><text display-inline="yes-display-inline">For structures that receive coal combustion residuals on or after the date of enactment of this
section located on property within the exterior boundaries of a State that
the State does not have authority or jurisdiction to regulate, the
Administrator shall implement a coal combustion residuals permit program
only for those structures.</text>
</paragraph><paragraph id="HBD08C9C161A04734A872F120144A7C41"><enum>(4)</enum><header>Requirements</header><text>If the Administrator implements a coal combustion residuals permit program for a State under
paragraph (1) or (3), the permit program shall consist of the requirements
described in subsection (c).</text>
</paragraph><paragraph id="H4F7313EBC38141BF8C0CE1D44294DFE8"><enum>(5)</enum><header>Enforcement</header>
<subparagraph id="H8F12C278A86C4B86A2DDC2C2801A76F0"><enum>(A)</enum><header>In general</header><text>If the Administrator implements a coal combustion residuals permit program for a State under
paragraph (1)—</text>
<clause id="HFF86CE8CFC554071B63869E098D3E9BC"><enum>(i)</enum><text>the authorities referred to in section 4005(c)(2)(A) shall apply with respect to coal combustion
residuals and structures for which the Administrator is implementing the
coal combustion residuals permit program; and</text>
</clause><clause id="HAD98D6E7B0B34AED8054BF831810CEA0"><enum>(ii)</enum><text>the Administrator may use those authorities to inspect, gather information, and enforce the
requirements of this section in the State.</text>
</clause></subparagraph><subparagraph id="H61CFBBDDCD014C15933B9B45B4A4C049"><enum>(B)</enum><header>Other structures</header><text>If the Administrator implements a coal combustion residuals permit program under paragraph (3)—</text>
<clause id="HC71E23C97CD34F9680C74917F716C3D6"><enum>(i)</enum><text>the authorities referred to in section 4005(c)(2)(A) shall apply with respect to coal combustion
residuals and structures for which the Administrator is implementing the
coal combustion residuals permit program; and</text>
</clause><clause id="H0E1F9D2CBF3045599665C61B10F89BB2"><enum>(ii)</enum><text>the Administrator may use those authorities to inspect, gather information, and enforce the
requirements of this section for the structures for which the
Administrator is implementing the coal combustion residuals permit
program.</text>
</clause></subparagraph></paragraph><paragraph commented="no" id="HD043E760DFFE4F0AB72E63CF09286C6F"><enum>(6)</enum><header>Public participation process</header><text>If the Administrator implements a coal combustion residuals permit program for a State under this
subsection, the Administrator shall provide a 30-day period for the public
participation process required in paragraphs (1)(F)(i), (4)(C)(i), and
(4)(E)(ii)(IV) of subsection (c).</text>
</paragraph></subsection><subsection id="H8C3CE88228524629AF2D38E75BAA4507"><enum>(f)</enum><header>State control after implementation by Administrator</header>
<paragraph id="H909BD038D1CF456EB86AA847BBAC09D7"><enum>(1)</enum><header>State control</header>
<subparagraph id="H286D435406C841B7825EC8334274EC3C"><enum>(A)</enum><header>New adoption, or resumption of, and implementation by State</header><text>For a State for which the Administrator is implementing a coal combustion residuals permit program
under subsection (e)(1)(A), or subsection (e)(1)(C), the State may adopt
and implement such a permit program by—</text>
<clause id="H5C63747FE6234703B606867C1D8928DD"><enum>(i)</enum><text>notifying the Administrator that the State will adopt and implement such a permit program;</text>
</clause><clause id="H84214E1A26F24115ACC0E8FDA645DB58"><enum>(ii)</enum><text>not later than 6 months after the date of such notification, submitting to the Administrator a
certification under subsection (b)(2); and</text>
</clause><clause id="HD405C2299C44455EB5E78D1D7458B878"><enum>(iii)</enum><text>receiving from the Administrator—</text>
<subclause id="HC3FFC5BFB73540099690DDA88A263E92"><enum>(I)</enum><text>a determination, after providing a 30-day period for notice and public comment, that the State coal
combustion residuals permit program meets the requirements described in
subsection (c); and</text>
</subclause><subclause id="H7D1C9C889E384543B3A083904CD9B228"><enum>(II)</enum><text>a timeline for transition of control of the coal combustion residuals permit program.</text>
</subclause></clause></subparagraph><subparagraph id="HEB7C44F635024E9EBD5C06A164E4D28D"><enum>(B)</enum><header>Remedying deficient permit program</header><text>For a State for which the Administrator is implementing a coal combustion residuals permit program
under subsection (e)(1)(B), the State may adopt and implement such a
permit program by—</text>
<clause id="H055CA01E254449748A30FF8C3820EBFD"><enum>(i)</enum><text>remedying only the deficiencies detailed in the notice pursuant to subsection (d)(3)(A); and</text>
</clause><clause id="H1F305B4AA9344D078A741A29CFEA7A6B"><enum>(ii)</enum><text>receiving from the Administrator—</text>
<subclause id="HA22FF75621E94842B08580C64D60EBAE"><enum>(I)</enum><text>a determination, after providing a 30-day period for notice and public comment, that the
deficiencies detailed in such notice have been remedied; and</text>
</subclause><subclause id="H8650BF150708484A8966F16E7AAB6DEA"><enum>(II)</enum><text>a timeline for transition of control of the coal combustion residuals permit program.</text>
</subclause></clause></subparagraph></paragraph><paragraph id="H961988DC394B4181899907E88FBB39F2"><enum>(2)</enum><header>Review of determination</header>
<subparagraph id="HBDE3426F48194F1BADFCF7C5943A3E1E"><enum>(A)</enum><header>Determination required</header><text>The Administrator shall make a determination under paragraph (1) not later than 90 days after the
date on which the State submits a certification under paragraph
(1)(A)(ii), or notifies the Administrator that the deficiencies have been
remedied pursuant to paragraph (1)(B)(i), as applicable.</text>
</subparagraph><subparagraph id="HAD552A8882A94A47A957CFA6F9C17E3F"><enum>(B)</enum><header>Review</header><text>A State may obtain a review of a determination by the Administrator under paragraph (1) as if such
determination was a final regulation for purposes of section 7006.</text>
</subparagraph></paragraph><paragraph id="HD34D536F830147DD9607C11FDE63A393"><enum>(3)</enum><header>Implementation during transition</header>
<subparagraph id="H8ECB2D04741A4039817FA41BD15A12B3"><enum>(A)</enum><header>Effect on actions and orders</header><text>Program requirements of, and actions taken or orders issued pursuant to, a coal combustion
residuals permit program shall remain in effect if—</text>
<clause id="H01BB8F23EE4F4D24BEB00C2BFEBBE244"><enum>(i)</enum><text>a State takes control of its coal combustion residuals permit program from the Administrator under
paragraph (1); or</text>
</clause><clause id="H3961F4B6F0CB4B988A4A891D42394AAA"><enum>(ii)</enum><text>the Administrator takes control of a coal combustion residuals permit program from a State under
subsection (e).</text>
</clause></subparagraph><subparagraph id="H94EDAC7DFA154A059DEC58546E0A61AB"><enum>(B)</enum><header>Change in requirements</header><text>Subparagraph (A) shall apply to such program requirements, actions, and orders until such time as—</text>
<clause id="HFF4D199A77EE40EAB5B0095E89246DC0"><enum>(i)</enum><text>the implementing agency changes the requirements of the coal combustion residuals permit program
with respect to the basis for the action or order; or</text>
</clause><clause id="H46697ACB04DC4164A5E01B4A96CB9563"><enum>(ii)</enum><text>the State or the Administrator, whichever took the action or issued the order, certifies the
completion of a corrective action that is the subject of the action or
order.</text>
</clause></subparagraph></paragraph><paragraph id="H8D8938DF90D34D24A746A335E7A671AD"><enum>(4)</enum><header>Single permit program</header><text>If a State adopts and implements a coal combustion residuals permit program under this subsection,
the Administrator shall cease to implement the permit program implemented
under subsection (e)(1) for such State.</text>
</paragraph></subsection><subsection id="HC168B10CC8A041A6BE2C2913EA53EA72"><enum>(g)</enum><header>Effect on determination under 4005<enum-in-header>(c)</enum-in-header> or 3006</header><text>The Administrator shall not consider the implementation of a coal combustion residuals permit
program by the Administrator under subsection (e) in making a
determination of approval for a permit program or other system of prior
approval and conditions under section 4005(c) or of authorization for a
program under section 3006.</text>
</subsection><subsection id="H9E551DEB7D3D47B3A2C885C97E645932"><enum>(h)</enum><header>Authority</header>
<paragraph id="H2DA50C7623B44671BE794F620649C006"><enum>(1)</enum><header>State authority</header><text display-inline="yes-display-inline">Nothing in this section shall preclude or deny any right of any State to adopt or enforce any
regulation or requirement respecting coal combustion residuals that is
more stringent or broader in scope than a regulation or requirement under
this section.</text>
</paragraph><paragraph id="HC30D6D0CDF594BE8AD752EC24ACEFFCE"><enum>(2)</enum><header>Authority of the administrator</header>
<subparagraph id="H108D1F85BCA949F9A0EC5F5A9319E770"><enum>(A)</enum><header>In general</header><text display-inline="yes-display-inline">Except as provided in subsections (d) and (e) and section 6005, the Administrator shall, with
respect to the regulation of coal combustion residuals, defer to the
States pursuant to this section.</text>
</subparagraph><subparagraph id="H7F79CE0C25384897A2AF11DAC5B1EB01"><enum>(B)</enum><header>Imminent hazard</header><text>Nothing in this section shall be construed as affecting the authority of the Administrator under
section 7003 with respect to coal combustion residuals.</text>
</subparagraph><subparagraph id="HB4687F737E6649F6B8CE9BBC33336F85"><enum>(C)</enum><header>Enforcement assistance only upon request</header><text>Upon request from the head of a lead State agency that is implementing a coal combustion residuals
permit program, the Administrator may provide to such State agency only
the enforcement assistance requested.</text>
</subparagraph><subparagraph commented="no" id="H9DCBAE2F79DB4C8BA774B899C38E541F"><enum>(D)</enum><header>Concurrent enforcement</header><text display-inline="yes-display-inline">Except as provided in subparagraph (C), the Administrator shall not have concurrent enforcement
authority when a State is implementing a coal combustion residuals permit
program, including during any period of interim operation described in
subsection (c)(3)(D).</text>
</subparagraph><subparagraph commented="no" id="H3283791404144DDFB4A06979A9CE6D24"><enum>(E)</enum><header>Other authority</header><text>The Administrator shall not have authority to finalize the proposed rule published at pages 35128
through 35264 of volume 75 of the Federal Register (June 21, 2010).</text>
</subparagraph><subparagraph commented="no" id="H18F5ACA643C04DAAA1906F837BAB78D0"><enum>(F)</enum><header>Other response authority</header><text display-inline="yes-display-inline">Nothing in this section shall be construed as affecting the authority of the Administrator under
the Comprehensive Environmental Response, Compensation, and Liability Act
of 1980 (<external-xref legal-doc="usc" parsable-cite="usc/42/9601">42 U.S.C. 9601 et seq.</external-xref>) with respect to coal combustion
residuals.</text>
</subparagraph></paragraph><paragraph id="H6BE6019946824440B4C3F975F9697486"><enum>(3)</enum><header>Citizen suits</header><text>Nothing in this section shall be construed to affect the authority of a person to commence a civil
action in accordance with section 7002.</text>
</paragraph></subsection><subsection id="H2807F77A36C14AACAFFC1DC7B5810607"><enum>(i)</enum><header>Mine reclamation activities</header><text>A coal combustion residuals permit program implemented by the Administrator under subsection (e)
shall not apply to the utilization, placement, and storage of coal
combustion residuals at surface mining and reclamation operations.</text>
</subsection><subsection id="H30A0C16474804A4E8210F0C1C2760C61"><enum>(j)</enum><header>Definitions</header><text>In this section:</text>
<paragraph id="H56E1F78D3E5B4438AB75CC9AA0789D66"><enum>(1)</enum><header>Coal combustion residuals</header><text>The term <term>coal combustion residuals</term> means—</text>
<subparagraph id="H5C29B752E1344E4BA2D7472B348525F7"><enum>(A)</enum><text>the solid wastes listed in section 3001(b)(3)(A)(i), including recoverable materials from such
wastes;</text>
</subparagraph><subparagraph id="H57798E90B7C34A5D94911C36ACB79A57"><enum>(B)</enum><text>coal combustion wastes that are co-managed with wastes produced in conjunction with the combustion
of coal, provided that such wastes are not segregated and disposed of
separately from the coal combustion wastes and comprise a relatively small
proportion of the total wastes being disposed in the structure;</text>
</subparagraph><subparagraph id="H112DFCA916BA4FFEB6CCAE4607F2DFD9"><enum>(C)</enum><text>fluidized bed combustion wastes;</text>
</subparagraph><subparagraph id="H688C38ABDC9844C099FCA309228A2F5B"><enum>(D)</enum><text>wastes from the co-burning of coal with non-hazardous secondary materials, provided that coal makes
up at least 50 percent of the total fuel burned; and</text>
</subparagraph><subparagraph id="H298C5C6AA87E4909A673003D6DEE1865"><enum>(E)</enum><text>wastes from the co-burning of coal with materials described in subparagraph (A) that are recovered
from monofills.</text>
</subparagraph></paragraph><paragraph id="H62DF234145A8414584E1583E080B8E54"><enum>(2)</enum><header>Coal combustion residuals permit program</header><text>The term <term>coal combustion residuals permit program</term> means all of the authorities, activities, and procedures that comprise the system of prior
approval and conditions implemented by or for a State to regulate the
management and disposal of coal combustion residuals.</text>
</paragraph><paragraph id="HC3AB1B643E3F4D088332EEB4BB17002E"><enum>(3)</enum><header>Code of Federal regulations</header><text>The term <term>Code of Federal Regulations</term> means the Code of Federal Regulations (as in effect on the date of enactment of this section) or
any successor regulations.</text>
</paragraph><paragraph commented="no" id="H42A6DC55E147407F9D01C05E71191A37"><enum>(4)</enum><header>Implementing agency</header><text>The term <term>implementing agency</term> means the agency responsible for implementing a coal combustion residuals permit program for a
State, which shall either be the lead State implementing agency identified
under subsection (b)(2)(B)(i) or the Administrator pursuant to subsection
(e).</text>
</paragraph><paragraph commented="no" id="H2BC114C83B994104BA3606723EAF72C4"><enum>(5)</enum><header>Permit; prior approval and conditions</header><text>Except as provided in subsections (b)(3) and (g), the terms <term>permit</term> and <term>prior approval and conditions</term> mean any authorization, license, or equivalent control document that incorporates the requirements
of subsection (c).</text>
</paragraph><paragraph id="H9D342029C14947138F72C3EFBD3FD9D6"><enum>(6)</enum><header>Revised criteria</header><text>The term <term>revised criteria</term> means the criteria promulgated for municipal solid waste landfill units under section 4004(a) and
under section 1008(a)(3), as revised under section 4010(c).</text>
</paragraph><paragraph id="H3BF51B5C661E4B79AC2C5C9A943C4653"><enum>(7)</enum><header>Structure</header>
<subparagraph commented="no" id="HE97BA52E370A494CB734B345FFC56F92"><enum>(A)</enum><header>In general</header><text display-inline="yes-display-inline">Except as provided in subparagraph (B), the term <term>structure</term> means a landfill, surface impoundment, or other land-based unit which receives, or is intended to
receive, coal combustion residuals.</text>
</subparagraph><subparagraph id="HB9E92B5FD0CB4951962130E1AEA04061"><enum>(B)</enum><header>De minimis receipt</header><text>The term <term>structure</term> does not include any land-based unit that receives only de minimis quantities of coal combustion
residuals if the presence of coal combustion residuals is incidental to
the material managed in the unit.</text></subparagraph></paragraph></subsection></section><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection id="H2AEC0ABEFD7B4278A00CB173ADF567E0"><enum>(b)</enum><header>Conforming amendment</header><text>The table of contents contained in section 1001 of the Solid Waste Disposal Act is amended by
inserting after the item relating to section 4010 the following:</text>
<quoted-block id="HE803CA6104084BA9AC4EEF556635A7AF" style="OLC">
<toc regeneration="no-regeneration">
<toc-entry level="section">Sec. 4011. Management and disposal of coal combustion residuals.</toc-entry></toc><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection></section><section id="H2CB1A71D22D747DE8E787D2AEF9AAFBE"><enum>2402.</enum><header>2000 regulatory determination</header><text display-inline="no-display-inline">Nothing in this subtitle, or the amendments made by this subtitle, shall be construed to alter in
any manner the Environmental Protection Agency’s regulatory determination
entitled <term>Notice of Regulatory Determination on Wastes From the Combustion of Fossil Fuels</term>, published at 65 Fed. Reg. 32214 (May 22, 2000), that the fossil fuel combustion wastes addressed
in that determination do not warrant regulation under subtitle C of the
Solid Waste Disposal Act (<external-xref legal-doc="usc" parsable-cite="usc/42/6921">42 U.S.C. 6921 et seq.</external-xref>).</text>
</section><section id="HCEAF77D44962488DB07B679BC0DE4196"><enum>2403.</enum><header>Technical assistance</header><text display-inline="no-display-inline">Nothing in this subtitle, or the amendments made by this subtitle, shall be construed to affect the
authority of a State to request, or the Administrator of the Environmental
Protection Agency to provide, technical assistance under the Solid Waste
Disposal Act (<external-xref legal-doc="usc" parsable-cite="usc/42/6901">42 U.S.C. 6901 et seq.</external-xref>).</text>
</section><section id="HC589888D807444459D58E36CBCAFA711"><enum>2404.</enum><header>Federal Power Act</header><text display-inline="no-display-inline">Nothing in this subtitle, or the amendments made by this subtitle, shall be construed to affect the
obligations of an owner or operator of a structure (as defined in section
4011 of the Solid Waste Disposal Act, as added by this subtitle) under
section 215(b)(1) of the Federal Power Act (<external-xref legal-doc="usc" parsable-cite="usc/16/824o">16 U.S.C. 824o(b)(1)</external-xref>).</text>
</section></subtitle><enum>III</enum><header>Reducing Frivolous Legal Costs</header>
<subtitle id="H256C8B095C044272A9EE602B67A64968"><enum>A</enum><header>Lawsuit Abuse Reduction Act</header>
<section id="H0212AF9F89D74FFA98B7BDC4068D590E"><enum>3101.</enum><header>Attorney accountability</header>
<subsection id="H1F8706AB4E3045F4A70864B82B6D7E72"><enum>(a)</enum><header>Sanctions under rule 11</header><text>Rule 11(c) of the Federal Rules of Civil Procedure is amended—</text>
<paragraph id="H31CD529DD8C344988CE125F3241B2632"><enum>(1)</enum><text>in paragraph (1), by striking <quote>may</quote> and inserting <quote>shall</quote>;</text>
</paragraph><paragraph id="H2388D608236B4A70AB74E4C53B4BB12A"><enum>(2)</enum><text>in paragraph (2), by striking <quote>Rule 5</quote> and all that follows through <quote>motion.</quote> and inserting <quote>Rule 5.</quote>; and</text>
</paragraph><paragraph id="H8887DF3449EE45DEAEB61C1E078C648B"><enum>(3)</enum><text>in paragraph (4), by striking <quote>situated</quote> and all that follows through the end of the paragraph and inserting <quote>situated, and to compensate the parties that were injured by such conduct. Subject to the
limitations in paragraph (5), the sanction shall consist of an order to
pay to the party or parties the amount of the reasonable expenses incurred
as a direct result of the violation, including reasonable attorneys’ fees
and costs. The court may also impose additional appropriate sanctions,
such as striking the pleadings, dismissing the suit, or other directives
of a nonmonetary nature, or, if warranted for effective deterrence, an
order directing payment of a penalty into the court.</quote>.</text>
</paragraph></subsection><subsection id="H4C863B6C6C89437B80B94C02B57F7FB0"><enum>(b)</enum><header>Rule of construction</header><text display-inline="yes-display-inline">Nothing in this subtitle or an amendment made by this subtitle shall be construed to bar or impede
the assertion or development of new claims, defenses, or remedies under
Federal, State, or local laws, including civil rights laws, or under the
Constitution of the United States.</text>
</subsection></section></subtitle><subtitle id="H39DD7E8E4DA1445CB95CDFD3242576AA"><enum>B</enum><header>Furthering Asbestos Claim Transparency in Bankruptcy</header>
<section id="HCFBA86C40DA4496AB3FC13301D02FBDE"><enum>3201.</enum><header>Amendments</header><text display-inline="no-display-inline"><external-xref legal-doc="usc" parsable-cite="usc/11/524">Section 524(g)</external-xref> of title 11, United States Code, is amended by adding at the end the following:</text>
<quoted-block display-inline="no-display-inline" id="HB28F835D6C154F789EA4BB4D6D997E2E" style="traditional">
<paragraph id="H6D5355A2C2904C12B3BAFD88B7114541" indent="up1"><enum>(8)</enum><text display-inline="yes-display-inline">A trust described in paragraph (2) shall, subject to section 107—</text>
<subparagraph id="H618B1C81BF114D6B8CBE7BCDCB9A919C"><enum>(A)</enum><text>file with the bankruptcy court, not later than 60 days after the end of every quarter, a report
that shall be made available on the court’s public docket and with respect
to such quarter—</text>
<clause id="H04BA0D75BCB142ED803537926F3DA2E1"><enum>(i)</enum><text display-inline="yes-display-inline">describes each demand the trust received from, including the name and exposure history of, a
claimant and the basis for any payment from the trust made to such
claimant; and</text>
</clause><clause id="HD15F3A5FA4CC4799A62598EBA0841CBA"><enum>(ii)</enum><text display-inline="yes-display-inline">does not include any confidential medical record or the claimant’s full social security number; and</text>
</clause></subparagraph><subparagraph id="H1D0CD24BCE3149F4A5B11CFE50AE1383"><enum>(B)</enum><text display-inline="yes-display-inline">upon written request, and subject to payment (demanded at the option of the trust) for any
reasonable cost incurred by the trust to comply with such request, provide
in a timely manner any information related to payment from, and demands
for payment from, such trust, subject to appropriate protective orders, to
any party to any action in law or equity if the subject of such action
concerns liability for asbestos exposure.</text></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block>
</section><section id="H2BD93331A4584C5F98BB04F935E627EE"><enum>3202.</enum><header>Effective date; application of amendments</header>
<subsection id="HC482584FF304475FA289A34539E2A403"><enum>(a)</enum><header>Effective date</header><text>Except as provided in subsection (b), this subtitle and the amendments made by this subtitle shall
take effect on the date of the enactment of this subtitle.</text>
</subsection><subsection id="H9E41AD76589049F19B9B6FC2DE3366C6"><enum>(b)</enum><header>Application of amendments</header><text>The amendments made by this subtitle shall apply with respect to cases commenced under title 11 of
the United States Code before, on, or after the date of the enactment of
this subtitle.</text>
</subsection></section></subtitle><subtitle id="HC448CEB875DC404F8334F4D0B511C41F"><enum>C</enum><header>Innovation Act</header>
<section id="HB7CBC61C8E034A178E19825ECC79FCEF"><enum>3301.</enum><header>Definitions</header><text display-inline="no-display-inline">In this subtitle:</text>
<paragraph id="H933E26B8454A435D98B10F4A3C5FA5D3"><enum>(1)</enum><header>Director</header><text display-inline="yes-display-inline">The term <term>Director</term> means the Under Secretary of Commerce for Intellectual Property and Director of the United States
Patent and Trademark Office.</text>
</paragraph><paragraph id="H4A98DB4356BB4DC49012AE93D5D1C1A5"><enum>(2)</enum><header>Office</header><text display-inline="yes-display-inline">The term <term>Office</term> means the United States Patent and Trademark Office.</text>
</paragraph></section><section commented="no" id="H19D081408C9E42288C9DB91A5EC07CBE"><enum>3302.</enum><header>Patent infringement actions</header>
<subsection commented="no" id="H0C5D7C240D174095B73BD0AAE509ECFD"><enum>(a)</enum><header>Pleading requirements</header>
<paragraph commented="no" id="H29601FE79BCA4C19A771EFDE09998392"><enum>(1)</enum><header>Amendment</header><text display-inline="yes-display-inline"><external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/35/29">Chapter 29</external-xref> of title 35, United States Code, is amended by inserting after <external-xref legal-doc="usc" parsable-cite="usc/35/281">section 281</external-xref> the
following:</text>
<quoted-block display-inline="no-display-inline" id="HC2BB630BCDB14BA6861DCA64E37C22B1" style="USC">
<section commented="no" id="HBEDEE91E8A8F436B8BF2824C54E487CA"><enum>281A.</enum><header>Pleading requirements for patent infringement actions</header>
<subsection commented="no" id="H9DB0608531A247249CC90B9223C240DB"><enum>(a)</enum><header>Pleading requirements</header><text display-inline="yes-display-inline">Except as provided in subsection (b), in a civil action in which a party asserts a claim for relief
arising under any Act of Congress relating to patents, a party alleging
infringement shall include in the initial complaint, counterclaim, or
cross-claim for patent infringement, unless the information is not
reasonably accessible to such party, the following:</text>
<paragraph commented="no" id="H1A930C79AD9840408250FB6F7DBBC5CE"><enum>(1)</enum><text display-inline="yes-display-inline">An identification of each patent allegedly infringed.</text>
</paragraph><paragraph commented="no" id="H172A8BCC6BF74F6EBA7D40E9CB639CF1"><enum>(2)</enum><text>An identification of each claim of each patent identified under paragraph (1) that is allegedly
infringed.</text>
</paragraph><paragraph commented="no" id="HC6EF24ECB9A942469DE7D23D6CD27EE0"><enum>(3)</enum><text>For each claim identified under paragraph (2), an identification of each accused process, machine,
manufacture, or composition of matter (referred to in this section as an <term>accused instrumentality</term>) alleged to infringe the claim.</text>
</paragraph><paragraph commented="no" id="HF289F816A99D4700A3F882FBCD4E6253"><enum>(4)</enum><text>For each accused instrumentality identified under paragraph (3), an identification with
particularity, if known, of—</text>
<subparagraph commented="no" id="H98C889F921524BC88DE6A53B89AB8F25"><enum>(A)</enum><text>the name or model number of each accused instrumentality; or</text>
</subparagraph><subparagraph commented="no" id="HF83C13BA288944139E20CCA1E24F73EE"><enum>(B)</enum><text>if there is no name or model number, a description of each accused instrumentality.</text>
</subparagraph></paragraph><paragraph commented="no" id="H1201B69CF72E468AAC15D9300B40B480"><enum>(5)</enum><text display-inline="yes-display-inline">For each accused instrumentality identified under paragraph (3), a clear and concise statement of—</text>
<subparagraph commented="no" id="H1F0100A1B66248C1B8BE08AFA26E13EE"><enum>(A)</enum><text>where each element of each claim identified under paragraph (2) is found within the accused
instrumentality; and</text>
</subparagraph><subparagraph commented="no" id="H2EE705AA126F4599B1E81E88D95FBBF3"><enum>(B)</enum><text display-inline="yes-display-inline">with detailed specificity, how each limitation of each claim identified under paragraph (2) is met
by the accused instrumentality.</text>
</subparagraph></paragraph><paragraph commented="no" id="H0AB611A7157B4C6A9515FD77D8B65D49"><enum>(6)</enum><text>For each claim of indirect infringement, a description of the acts of the alleged indirect
infringer that contribute to or are inducing the direct infringement.</text>
</paragraph><paragraph commented="no" id="HC32C26D84A3B47A6BB416A6854CCE6CB"><enum>(7)</enum><text>A description of the authority of the party alleging infringement to assert each patent identified
under paragraph (1) and of the grounds for the court’s jurisdiction.</text>
</paragraph><paragraph commented="no" id="H499AFF7CAF164D889D39F313EF891E17"><enum>(8)</enum><text>A clear and concise description of the principal business, if any, of the party alleging
infringement.</text>
</paragraph><paragraph commented="no" id="H233F8CB16F2C4D2987EF83EDCCABEA52"><enum>(9)</enum><text>A list of each complaint filed, of which the party alleging infringement has knowledge, that
asserts or asserted any of the patents identified under paragraph (1).</text>
</paragraph><paragraph commented="no" id="HCC244B14EF63401FB72DBB24B5F3AB0C"><enum>(10)</enum><text display-inline="yes-display-inline">For each patent identified under paragraph (1), whether a standard-setting body has specifically
declared such patent to be essential, potentially essential, or having
potential to become essential to that standard-setting body, and whether
the United States Government or a foreign government has imposed specific
licensing requirements with respect to such patent.</text>
</paragraph></subsection><subsection id="H9C5A2FBD06924FC0A924AAE2207DA364"><enum>(b)</enum><header>Information not readily accessible</header><text display-inline="yes-display-inline">If information required to be disclosed under subsection (a) is not readily accessible to a party,
that information may instead be generally described, along with an
explanation of why such undisclosed information was not readily
accessible, and of any efforts made by such party to access such
information.</text>
</subsection><subsection commented="no" id="HD3A92281507F4C52AE598C90A837E9BA"><enum>(c)</enum><header>Confidential information</header><text>A party required to disclose information described under subsection (a) may file, under seal,
information believed to be confidential, with a motion setting forth good
cause for such sealing. If such motion is denied by the court, the party
may seek to file an amended complaint.</text>
</subsection><subsection commented="no" id="H6C790B2CDA4A4E2EA8E41F48617D0BF8"><enum>(d)</enum><header>Exemption</header><text display-inline="yes-display-inline">A civil action that includes a claim for relief arising under section 271(e)(2) shall not be
subject to the requirements of subsection (a).</text></subsection></section><after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph><paragraph commented="no" id="HEBD234408210490DB1662172D5D063F7"><enum>(2)</enum><header>Conforming amendment</header><text>The table of sections for <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/35/29">chapter 29</external-xref> of title 35, United States Code, is amended by inserting after
the item relating to section 281 the following new item:</text>
<quoted-block display-inline="no-display-inline" id="HA132B274FC7A4B3D987C3FD9E4FA1D65" style="USC">
<toc regeneration="no-regeneration">
<toc-entry level="section">281A. Pleading requirements for patent infringement actions.</toc-entry></toc><after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph></subsection><subsection commented="no" id="H0263D54908FD436198BC011CEAAB700A"><enum>(b)</enum><header>Fees and other expenses</header>
<paragraph commented="no" id="HA57C09347EE4418D90875FD098409F1D"><enum>(1)</enum><header>Amendment</header><text><external-xref legal-doc="usc" parsable-cite="usc/35/285">Section 285</external-xref> of title 35, United States Code, is amended to read as follows:</text>
<quoted-block display-inline="no-display-inline" id="H48803F628FD7440BABF71FF266A27E8F" style="USC">
<section commented="no" id="HCFE1A8D8AC1D494EA6D3566BBD781626"><enum>285.</enum><header>Fees and other expenses</header>
<subsection commented="no" id="H2B35764495E2413DB7ED6659558B7E9B"><enum>(a)</enum><header>Award</header><text display-inline="yes-display-inline">The court shall award, to a prevailing party, reasonable fees and other expenses incurred by that
party in connection with a civil action in which any party asserts a claim
for relief arising under any Act of Congress relating to patents, unless
the court finds that the position and conduct of the nonprevailing party
or parties were reasonably justified in law and fact or that special
circumstances (such as severe economic hardship to a named inventor) make
an award unjust.</text>
</subsection><subsection commented="no" id="HF7001DE9300743FFA65A684814AF9BCE"><enum>(b)</enum><header>Certification and recovery</header><text display-inline="yes-display-inline">Upon motion of any party to the action, the court shall require another party to the action to
certify whether or not the other party will be able to pay an award of
fees and other expenses if such an award is made under subsection (a). If
a nonprevailing party is unable to pay an award that is made against it
under subsection (a), the court may make a party that has been joined
under section 299(d) with respect to such party liable for the unsatisfied
portion of the award.</text>
</subsection><subsection id="H78DB80A0FDBD4AB2A2A19C4F3A1AA16C"><enum>(c)</enum><header>Covenant not To sue</header><text display-inline="yes-display-inline">A party to a civil action that asserts a claim for relief arising under any Act of Congress
relating to patents against another party, and that subsequently
unilaterally extends to such other party a covenant not to sue for
infringement with respect to the patent or patents at issue, shall be
deemed to be a nonprevailing party (and the other party the prevailing
party) for purposes of this section, unless the party asserting such claim
would have been entitled, at the time that such covenant was extended, to
voluntarily dismiss the action or claim without a court order under Rule
41 of the Federal Rules of Civil Procedure.</text></subsection></section><after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph><paragraph id="H2B972C94557541319B2021DFE9E2C2B8"><enum>(2)</enum><header>Conforming amendment and amendment</header>
<subparagraph commented="no" id="H2F68054BC6CC4108B32897C976071815"><enum>(A)</enum><header>Conforming amendment</header><text display-inline="yes-display-inline">The item relating to section 285 of the table of sections for <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/35/29">chapter 29</external-xref> of title 35, United States
Code, is amended to read as follows:</text>
<quoted-block display-inline="no-display-inline" id="H2CF5AC0B05A349AC9986CDD761187A30" style="USC">
<toc regeneration="no-regeneration">
<toc-entry level="section">285. Fees and other expenses.</toc-entry></toc><after-quoted-block>.</after-quoted-block></quoted-block>
</subparagraph><subparagraph id="HF142771195854230B2850A1B07E28707"><enum>(B)</enum><header>Amendment</header><text display-inline="yes-display-inline"><external-xref legal-doc="usc" parsable-cite="usc/35/273">Section 273</external-xref> of title 35, United States Code, is amended by striking subsections (f) and (g).</text>
</subparagraph></paragraph><paragraph commented="no" id="HFEA1C73627574690B8C7C309ABDF5901"><enum>(3)</enum><header>Effective date</header><text display-inline="yes-display-inline">The amendments made by this subsection shall take effect on the date of the enactment of this Act
and shall apply to any action for which a complaint is filed on or after
the first day of the 6-month period ending on that effective date.</text>
</paragraph></subsection><subsection commented="no" id="H1CBAE848DCA4465889B991E87B4E1DEF"><enum>(c)</enum><header>Joinder of interested parties</header><text><external-xref legal-doc="usc" parsable-cite="usc/35/299">Section 299</external-xref> of title 35, United States Code, is amended by adding at the end the following new
subsection:</text>
<quoted-block display-inline="no-display-inline" id="H5BFC2CADB636486CBAAC5177D33417BC" style="USC">
<subsection commented="no" id="HF48899A6182041B1B4C2C0A672AAD8BD"><enum>(d)</enum><header>Joinder of interested parties</header>
<paragraph commented="no" id="HCADEE0923F27411B8CE44C6CBC6F3EA0"><enum>(1)</enum><header>Joinder</header><text display-inline="yes-display-inline">In a civil action arising under any Act of Congress relating to patents in which fees and other
expenses have been awarded under section 285 to a prevailing party
defending against an allegation of infringement of a patent claim, and in
which the nonprevailing party alleging infringement is unable to pay the
award of fees and other expenses, the court shall grant a motion by the
prevailing party to join an interested party if such prevailing party
shows that the nonprevailing party has no substantial interest in the
subject matter at issue other than asserting such patent claim in
litigation.</text>
</paragraph><paragraph commented="no" id="HD9DD265E7CF0448EABAE72F94126FD51"><enum>(2)</enum><header>Limitation on joinder</header>
<subparagraph id="H162F7F8090BC4CA4B890EA4E56DA224E"><enum>(A)</enum><header>Discretionary denial of motion</header><text display-inline="yes-display-inline">The court may deny a motion to join an interested party under paragraph (1) if—</text>
<clause commented="no" id="H9CB37E0A428644FB914A76DE34E37A11"><enum>(i)</enum><text>the interested party is not subject to service of process; or</text>
</clause><clause commented="no" id="H594F55ADA5C34C21B7F349F2A33A38C7"><enum>(ii)</enum><text>joinder under paragraph (1) would deprive the court of subject matter jurisdiction or make venue
improper.</text>
</clause></subparagraph><subparagraph commented="no" id="H7E44FBFAC83845BA814E9651050AA379"><enum>(B)</enum><header>Required denial of motion</header><text>The court shall deny a motion to join an interested party under paragraph (1) if—</text>
<clause commented="no" id="HA7BB6979FD9D459E83C3280C112A4465"><enum>(i)</enum><text>the interested party did not timely receive the notice required by paragraph (3); or</text>
</clause><clause commented="no" id="H3E27ADBD253B4CF4A3A0599A664F1025"><enum>(ii)</enum><text display-inline="yes-display-inline">within 30 days after receiving the notice required by paragraph (3), the interested party
renounces, in writing and with notice to the court and the parties to the
action, any ownership, right, or direct financial interest (as described
in paragraph (4)) that the interested party has in the patent or patents
at issue.</text>
</clause></subparagraph></paragraph><paragraph commented="no" id="H2E2542CBBF404B85B8B7BBF671BFCC9A"><enum>(3)</enum><header>Notice requirement</header><text display-inline="yes-display-inline">An interested party may not be joined under paragraph (1) unless it has been provided actual
notice, within 30 days after the date on which it has been identified in
the initial disclosure provided under section 290(b), that it has been so
identified and that such party may therefore be an interested party
subject to joinder under this subsection. Such notice shall be provided by
the party who subsequently moves to join the interested party under
paragraph (1), and shall include language that—</text>
<subparagraph commented="no" id="HE46A364A3E024DCC936CEDBB15BA4B0B"><enum>(A)</enum><text>identifies the action, the parties thereto, the patent or patents at issue, and the pleading or
other paper that identified the party under section 290(b); and</text>
</subparagraph><subparagraph commented="no" id="H6850F2F77BC94B2E8B7BEB13DAECA4E8"><enum>(B)</enum><text>informs the party that it may be joined in the action and made subject to paying an award of fees
and other expenses under section 285(b) if—</text>
<clause commented="no" id="H5B9C5AF484A74CABB712B1720DF32BDF"><enum>(i)</enum><text>fees and other expenses are awarded in the action against the party alleging infringement of the
patent or patents at issue under section 285(a);</text>
</clause><clause commented="no" id="H2B92AEF8CA514DDCBB424DA0792603E6"><enum>(ii)</enum><text>the party alleging infringement is unable to pay the award of fees and other expenses;</text>
</clause><clause commented="no" id="H7328F691C8F948D8A93E3971CA3CFCEC"><enum>(iii)</enum><text>the party receiving notice under this paragraph is determined by the court to be an interested
party; and</text>
</clause><clause commented="no" id="HF778D8B36A2047E88FC79FEFFE517AE5"><enum>(iv)</enum><text display-inline="yes-display-inline">the party receiving notice under this paragraph has not, within 30 days after receiving such
notice, renounced in writing, and with notice to the court and the parties
to the action, any ownership, right, or direct financial interest (as
described in paragraph (4)) that the interested party has in the patent or
patents at issue.</text>
</clause></subparagraph></paragraph><paragraph commented="no" id="H8215E491FA024ADBAFD88A60A1B52F82"><enum>(4)</enum><header>Interested party defined</header><text display-inline="yes-display-inline">In this subsection, the term <term>interested party</term> means a person, other than the party alleging infringement, that—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="H9F8921D7250045D68E93FE887F82ECB9"><enum>(A)</enum><text>is an assignee of the patent or patents at issue;</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="H5E540AD1DC36411CB5106A50A44D3FB7"><enum>(B)</enum><text>has a right, including a contingent right, to enforce or sublicense the patent or patents at issue;
or</text>
</subparagraph><subparagraph id="HDE7D761A49FE4EEEA4DDE4EB94E26D47"><enum>(C)</enum><text display-inline="yes-display-inline">has a direct financial interest in the patent or patents at issue, including the right to any part
of an award of damages or any part of licensing revenue, except that a
person with a direct financial interest does not include—</text>
<clause id="HBD623FDB8F5D4FC08387DBBDB4E34039"><enum>(i)</enum><text display-inline="yes-display-inline">an attorney or law firm providing legal representation in the civil action described in paragraph
(1) if the sole basis for the financial interest of the attorney or law
firm in the patent or patents at issue arises from the attorney or law
firm’s receipt of compensation reasonably related to the provision of the
legal representation; or</text>
</clause><clause commented="no" id="H4D2F84409933410BB9A2A6E878D3F4EF"><enum>(ii)</enum><text display-inline="yes-display-inline">a person whose sole financial interest in the patent or patents at issue is ownership of an equity
interest in the party alleging infringement, unless such person also has
the right or ability to influence, direct, or control the civil action.</text></clause></subparagraph></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection commented="no" id="HFAD8C9A2CCBD45DEA23DB2C6C6011E45"><enum>(d)</enum><header>Discovery limits</header>
<paragraph commented="no" id="HC742BCB773FE45699E1B172AF14A90A9"><enum>(1)</enum><header>Amendment</header><text><external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/35/29">Chapter 29</external-xref> of title 35, United States Code, is amended by adding at the end the following new
section:</text>
<quoted-block display-inline="no-display-inline" id="H64678A7C05204CDEB492FA16DE87FD56" style="USC">
<section commented="no" id="H4A24F51756FE4B2AAEC211FF6BB7A3C6"><enum>299A.</enum><header>Discovery in patent infringement action</header>
<subsection commented="no" id="HA41A128C75F442728D8912E6228F16F3"><enum>(a)</enum><header>Discovery in patent infringement action</header><text display-inline="yes-display-inline">Except as provided in subsections (b) and (c), in a civil action arising under any Act of Congress
relating to patents, if the court determines that a ruling relating to the
construction of terms used in a patent claim asserted in the complaint is
required, discovery shall be limited, until such ruling is issued, to
information necessary for the court to determine the meaning of the terms
used in the patent claim, including any interpretation of those terms used
to support the claim of infringement.</text>
</subsection><subsection commented="no" id="HFBFBC577B585437BB87FBA55DD2C5C6C"><enum>(b)</enum><header>Discretion To expand scope of discovery</header>
<paragraph id="H92ACE605CBCD4E638D89A6191579420D"><enum>(1)</enum><header>Timely resolution of actions</header><text display-inline="yes-display-inline">In the case of an action under any provision of Federal law (including an action that includes a
claim for relief arising under section 271(e)), for which resolution
within a specified period of time of a civil action arising under any Act
of Congress relating to patents will necessarily affect the rights of a
party with respect to the patent, the court shall permit discovery, in
addition to the discovery authorized under subsection (a), before the
ruling described in subsection (a) is issued as necessary to ensure timely
resolution of the action.</text>
</paragraph><paragraph commented="no" id="H205E8C8B0E764ED493FB446163C29C1A"><enum>(2)</enum><header>Resolution of motions</header><text display-inline="yes-display-inline">When necessary to resolve a motion properly raised by a party before a ruling relating to the
construction of terms described in subsection (a) is issued, the court may
allow limited discovery in addition to the discovery authorized under
subsection (a) as necessary to resolve the motion.</text>
</paragraph><paragraph id="H0D1DB355320943928DF8C1A09A6D0D87"><enum>(3)</enum><header>Special circumstances</header><text>In special circumstances that would make denial of discovery a manifest injustice, the court may
permit discovery, in addition to the discovery authorized under subsection
(a), as necessary to prevent the manifest injustice.</text>
</paragraph><paragraph id="HADDCB24C1FC043A089F05772CE2C62C3"><enum>(4)</enum><header>Actions seeking relief based on competitive harm</header><text display-inline="yes-display-inline">The limitation on discovery provided under subsection (a) shall not apply to an action seeking a
preliminary injunction to redress harm arising from the use, sale, or
offer for sale of any allegedly infringing instrumentality that competes
with a product sold or offered for sale, or a process used in manufacture,
by a party alleging infringement.</text>
</paragraph></subsection><subsection id="H5B970793001C4705B9A901827F46C900"><enum>(c)</enum><header>Exclusion from discovery limitation</header><text display-inline="yes-display-inline">The parties may voluntarily consent to be excluded, in whole or in part, from the limitation on
discovery provided under subsection (a) if at least one plaintiff and one
defendant enter into a signed stipulation, to be filed with and signed by
the court. With regard to any discovery excluded from the requirements of
subsection (a) under the signed stipulation, with respect to such parties,
such discovery shall proceed according to the Federal Rules of Civil
Procedure.</text></subsection></section><after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph><paragraph commented="no" id="HA0F1E2E9BB6445AEA38EBCEAA81AF003"><enum>(2)</enum><header>Conforming amendment</header><text>The table of sections for <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/35/29">chapter 29</external-xref> of title 35, United States Code, is amended by adding at the
end the following new item:</text>
<quoted-block display-inline="no-display-inline" id="HA60FAECCD2F04C1EB3FEB137C38D7B11" style="USC">
<toc regeneration="no-regeneration">
<toc-entry level="section">299A. Discovery in patent infringement action.</toc-entry></toc><after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph></subsection><subsection id="H7668F3DBFF134D7E8315573CB966B714"><enum>(e)</enum><header>Sense of Congress</header><text display-inline="yes-display-inline">It is the sense of Congress that it is an abuse of the patent system and against public policy for
a party to send out purposely evasive demand letters to end users alleging
patent infringement. Demand letters sent should, at the least, include
basic information about the patent in question, what is being infringed,
and how it is being infringed. Any actions or litigation that stem from
these types of purposely evasive demand letters to end users should be
considered a fraudulent or deceptive practice and an exceptional
circumstance when considering whether the litigation is abusive.</text>
</subsection><subsection display-inline="no-display-inline" id="HE61F713F73E7438883BA5E2A918CAEDF"><enum>(f)</enum><header>Demand letters</header><text display-inline="yes-display-inline"><external-xref legal-doc="usc" parsable-cite="usc/35/284">Section 284</external-xref> of title 35, United States Code, is amended—</text>
<paragraph id="H221F544F12D94D01BE80CBB066E39175"><enum>(1)</enum><text>in the first undesignated paragraph, by striking <quote>Upon finding</quote> and inserting <quote>(a) <header-in-text level="subsection" style="OLC">In general.—</header-in-text>Upon finding</quote>;</text>
</paragraph><paragraph id="H66C3803CD72646B58984F2BCDDA4335A"><enum>(2)</enum><text>in the second undesignated paragraph, by striking <quote>When the damages</quote> and inserting <quote>(b) <header-in-text level="subsection" style="OLC">Assessment by court; treble damages.—</header-in-text>When the damages</quote>;</text>
</paragraph><paragraph id="HC7D20B140ABD4CF786DF6CC04F5ECDAD"><enum>(3)</enum><text>by inserting after subsection (b), as designated by paragraph (2) of this subsection, the
following:</text>
<quoted-block display-inline="no-display-inline" id="H6D0A402F86D94CC494FBABF8A122F880" style="OLC">
<subsection id="H4D72CD64591746D6A003E1A1DCC60654"><enum>(c)</enum><header>Willful infringement</header><text display-inline="yes-display-inline">A claimant seeking to establish willful infringement may not rely on evidence of pre-suit
notification of infringement unless that notification identifies with
particularity the asserted patent, identifies the product or process
accused, identifies the ultimate parent entity of the claimant, and
explains with particularity, to the extent possible following a reasonable
investigation or inquiry, how the product or process infringes one or more
claims of the patent.</text></subsection><after-quoted-block>; and</after-quoted-block></quoted-block>
</paragraph><paragraph id="H7102F3D7C2514680B234551D0CAE5D2D"><enum>(4)</enum><text>in the last undesignated paragraph, by striking <quote>The court</quote> and inserting <quote>(d) <header-in-text level="subsection" style="OLC">Expert testimony.—</header-in-text>The court</quote>.</text>
</paragraph></subsection><subsection id="H55C3F1F4FAD447EBB2E6CBFD554A4A1F"><enum>(g)</enum><header>Effective date</header><text display-inline="yes-display-inline">Except as otherwise provided in this section, the amendments made by this section shall take effect
on the date of the enactment of this Act and shall apply to any action for
which a complaint is filed on or after that date.</text>
</subsection></section><section id="H8850AB7C22694C2EA43100D855DBF730"><enum>3303.</enum><header>Transparency of patent ownership</header>
<subsection id="H4927B085B82140BC973D2DDD159E2F65"><enum>(a)</enum><header>Amendments</header><text><external-xref legal-doc="usc" parsable-cite="usc/35/290">Section 290</external-xref> of title 35, United States Code, is amended—</text>
<paragraph id="H8C7138B0F7A746FB97005D7F99D65537"><enum>(1)</enum><text display-inline="yes-display-inline">in the heading, by striking <quote><header-in-text level="section" style="USC">suits</header-in-text></quote> and inserting <quote><header-in-text level="section" style="USC">suits; disclosure of interests</header-in-text></quote>;</text>
</paragraph><paragraph id="H375EB1ED31484CA38937334901F635A5"><enum>(2)</enum><text>by striking <quote>The clerks</quote> and inserting <quote>(a) <header-in-text level="subsection" style="USC">Notice of patent suits.—</header-in-text>The clerks</quote>; and</text>
</paragraph><paragraph id="HB5B30D542F0145AC873FFD639166F7B4"><enum>(3)</enum><text>by adding at the end the following new subsections:</text>
<quoted-block display-inline="no-display-inline" id="H5EB8F3C78F0A449399B71D8DF4C63A83" style="USC">
<subsection id="H3541A0ABFDD74E67AE8ECFD48FEE90BC"><enum>(b)</enum><header>Initial disclosure</header>
<paragraph commented="no" id="H51A70316504945C8B21FAFBF48873848"><enum>(1)</enum><header>In general</header><text display-inline="yes-display-inline">Except as provided in paragraph (2), upon the filing of an initial complaint for patent
infringement, the plaintiff shall disclose to the Patent and Trademark
Office, the court, and each adverse party the identity of each of the
following:</text>
<subparagraph commented="no" id="H309260899F6D4012A0E031562F2A0AE2"><enum>(A)</enum><text>The assignee of the patent or patents at issue.</text>
</subparagraph><subparagraph id="HB6FA6064A39342369A4BBD4D3A423BAF"><enum>(B)</enum><text display-inline="yes-display-inline">Any entity with a right to sublicense or enforce the patent or patents at issue.</text>
</subparagraph><subparagraph commented="no" id="H29ED5FF0C18D46979FF3A048ADF7C11E"><enum>(C)</enum><text display-inline="yes-display-inline">Any entity, other than the plaintiff, that the plaintiff knows to have a financial interest in the
patent or patents at issue or the plaintiff.</text>
</subparagraph><subparagraph commented="no" id="H0B1DC67CBFE64B87A5A218F5BC5E4D56"><enum>(D)</enum><text display-inline="yes-display-inline">The ultimate parent entity of any assignee identified under subparagraph (A) and any entity
identified under subparagraph (B) or (C).</text>
</subparagraph></paragraph><paragraph commented="no" id="HC60DE63D17F64378851DAF8B9BC7844F"><enum>(2)</enum><header>Exemption</header><text display-inline="yes-display-inline">The requirements of paragraph (1) shall not apply with respect to a civil action filed under
subsection (a) that includes a cause of action described under section
271(e)(2).</text>
</paragraph></subsection><subsection id="HEB19E72F4D80445294D90B91E8A3C27E"><enum>(c)</enum><header>Disclosure compliance</header>
<paragraph id="H54F189F5C16041C8B70E0623B7C7F492"><enum>(1)</enum><header>Publicly traded</header><text display-inline="yes-display-inline">For purposes of subsection (b)(1)(C), if the financial interest is held by a corporation traded on
a public stock exchange, an identification of the name of the corporation
and the public exchange listing shall satisfy the disclosure requirement.</text>
</paragraph><paragraph id="H151D39F9AF0C47A583AE83EAFDFFCEC2"><enum>(2)</enum><header>Not publicly traded</header><text display-inline="yes-display-inline">For purposes of subsection (b)(1)(C), if the financial interest is not held by a publicly traded
corporation, the disclosure shall satisfy the disclosure requirement if
the information identifies—</text>
<subparagraph id="HF269ED0E9C75492DB12AC462A46B068A"><enum>(A)</enum><text>in the case of a partnership, the name of the partnership and the name and correspondence address
of each partner or other entity that holds more than a 5-percent share of
that partnership;</text>
</subparagraph><subparagraph id="H044AC2C5AB8947088AFDDCE896388C0C"><enum>(B)</enum><text>in the case of a corporation, the name of the corporation, the location of incorporation, the
address of the principal place of business, and the name of each officer
of the corporation; and</text>
</subparagraph><subparagraph id="H2E9A10C9CC344436A7536AD1300ADA36"><enum>(C)</enum><text>for each individual, the name and correspondence address of that individual.</text>
</subparagraph></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="H6D2F278481C9423FA543E64DE6010B80"><enum>(d)</enum><header>Ongoing duty of disclosure to the Patent and Trademark Office</header>
<paragraph commented="no" id="H48DF352BFF424C8EA0E3CA5AF7906443"><enum>(1)</enum><header>In general</header><text display-inline="yes-display-inline">A plaintiff required to submit information under subsection (b) or a subsequent owner of the patent
or patents at issue shall, not later than 90 days after any change in the
assignee of the patent or patents at issue or an entity described under
subparagraph (B) or (D) of subsection (b)(1), submit to the Patent and
Trademark Office the updated identification of such assignee or entity.</text>
</paragraph><paragraph commented="no" id="H620940AE5A034BDD9AE727F85610FD4C"><enum>(2)</enum><header>Failure to comply</header><text display-inline="yes-display-inline">With respect to a patent for which the requirement of paragraph (1) has not been met—</text>
<subparagraph commented="no" id="H415FCC7C508B428188F744B91AC6D4F5"><enum>(A)</enum><text display-inline="yes-display-inline">the plaintiff or subsequent owner shall not be entitled to recover reasonable fees and other
expenses under section 285 or increased damages under section 284 with
respect to infringing activities taking place during any period of
noncompliance with paragraph (1), unless the denial of such damages or
fees would be manifestly unjust; and</text>
</subparagraph><subparagraph commented="no" id="H493C3D274E9D47A2BB1CC542064978D3"><enum>(B)</enum><text display-inline="yes-display-inline">the court shall award to a prevailing party accused of infringement reasonable fees and other
expenses under section 285 that are incurred to discover the updated
assignee or entity described under paragraph (1), unless such sanctions
would be unjust.</text>
</subparagraph></paragraph></subsection><subsection id="H39E6B8CB8AEF4485A04E17F53F9053B9"><enum>(e)</enum><header>Definitions</header><text display-inline="yes-display-inline">In this section:</text>
<paragraph commented="no" id="H0EE07E2F6E29451B86C2F234FAE4AE28"><enum>(1)</enum><header>Financial interest</header><text display-inline="yes-display-inline">The term <term>financial interest</term>—</text>
<subparagraph commented="no" id="HA0CC329EC8B14B8694D81EA3E3D5A083"><enum>(A)</enum><text display-inline="yes-display-inline">means—</text>
<clause id="H0CC0C4329A904EF6878FC7BB82D14D44"><enum>(i)</enum><text>with regard to a patent or patents, the right of a person to receive proceeds related to the
assertion of the patent or patents, including a fixed or variable portion
of such proceeds; and</text>
</clause><clause id="HADB23424B4F84773B088585D8956801E"><enum>(ii)</enum><text>with regard to the plaintiff, direct or indirect ownership or control by a person of more than 5
percent of such plaintiff; and</text>
</clause></subparagraph><subparagraph commented="no" id="H1A4FDF2DF5C44AA29DC8DD645B8A9BA1"><enum>(B)</enum><text>does not mean—</text>
<clause commented="no" id="HBF3189BCF84348FC8D5BB212ABC4ACFC"><enum>(i)</enum><text display-inline="yes-display-inline">ownership of shares or other interests in a mutual or common investment fund, unless the owner of
such interest participates in the management of such fund; or</text>
</clause><clause commented="no" id="H982354A2706C462DAEC40129FF24FDEA"><enum>(ii)</enum><text>the proprietary interest of a policyholder in a mutual insurance company or of a depositor in a
mutual savings association, or a similar proprietary interest, unless the
outcome of the proceeding could substantially affect the value of such
interest.</text>
</clause></subparagraph></paragraph><paragraph id="H5C0869DCA37D41969B8B98A5B0319A8D"><enum>(2)</enum><header>Proceeding</header><text display-inline="yes-display-inline">The term <term>proceeding</term> means all stages of a civil action, including pretrial and trial proceedings and appellate review.</text>
</paragraph><paragraph commented="no" id="H36835CEA61374DDDA43F10F5CAEE23D4"><enum>(3)</enum><header>Ultimate parent entity</header>
<subparagraph commented="no" id="H56FBFDC0BC434C11B615F77FE429C7C5"><enum>(A)</enum><header>In general</header><text>Except as provided in subparagraph (B), the term <term>ultimate parent entity</term> has the meaning given such term in <external-xref legal-doc="regulation" parsable-cite="cfr/16/801.1">section 801.1(a)(3)</external-xref> of title 16, Code of Federal Regulations,
or any successor regulation.</text>
</subparagraph><subparagraph commented="no" id="H37F70ACBFC2044E69E2CE4602974DC40"><enum>(B)</enum><header>Modification of definition</header><text>The Director may modify the definition of <term>ultimate parent entity</term> by regulation.</text></subparagraph></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph></subsection><subsection display-inline="no-display-inline" id="H781575E4A2784F7B80F777DCF575A6B7"><enum>(b)</enum><header>Technical and conforming amendment</header><text display-inline="yes-display-inline">The item relating to section 290 in the table of sections for <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/35/29">chapter 29</external-xref> of title 35, United States
Code, is amended to read as follows:</text>
<quoted-block display-inline="no-display-inline" id="H4F8CC15C66FF4F4F88B851ACA2EE0E75" style="USC">
<toc regeneration="no-regeneration">
<toc-entry level="section">290. Notice of patent suits; disclosure of interests.</toc-entry></toc><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection commented="no" display-inline="no-display-inline" id="H229ACFA6DA5C4381A5BB7DA1C9AE9FEA"><enum>(c)</enum><header>Regulations</header><text display-inline="yes-display-inline">The Director may promulgate such regulations as are necessary to establish a registration fee in an
amount sufficient to recover the estimated costs of administering
subsections (b) through (e) of <external-xref legal-doc="usc" parsable-cite="usc/35/290">section 290</external-xref> of title 35, United States
Code, as added by subsection (a), to facilitate the collection and
maintenance of the information required by such subsections, and to ensure
the timely disclosure of such information to the public.</text>
</subsection><subsection id="H52ADFB4EC1A64E699451F08E7C6A129B"><enum>(d)</enum><header>Effective date</header><text display-inline="yes-display-inline">The amendments made by this section shall take effect upon the expiration of the 6-month period
beginning on the date of the enactment of this Act and shall apply to any
action for which a complaint is filed on or after such effective date.</text>
</subsection></section><section commented="no" display-inline="no-display-inline" id="H2A84F9887ECF4848956698B92EBBEA87" section-type="subsequent-section"><enum>3304.</enum><header>Customer-suit exception</header>
<subsection commented="no" id="HC8FAF5EAB76C43F48746A0A5499A61BA"><enum>(a)</enum><header>Amendment</header><text display-inline="yes-display-inline"><external-xref legal-doc="usc" parsable-cite="usc/35/296">Section 296</external-xref> of title 35, United States Code, is amended to read as follows:</text>
<quoted-block display-inline="no-display-inline" id="HF173D63901624846B150A27AAD4B7112" style="USC">
<section commented="no" id="HF60D71EB7DCE4BAE9801CBA36F27BAF9"><enum>296.</enum><header>Stay of action against customer</header>
<subsection commented="no" id="HFC91DF640F4D4C69AB3F92FFFA660298"><enum>(a)</enum><header>Stay of action against customer</header><text display-inline="yes-display-inline">Except as provided in subsection (d), in any civil action arising under any Act of Congress
relating to patents, the court shall grant a motion to stay at least the
portion of the action against a covered customer related to infringement
of a patent involving a covered product or process if the following
requirements are met:</text>
<paragraph commented="no" id="HDE883090BDA346A89DB512D00A10BBB0"><enum>(1)</enum><text display-inline="yes-display-inline">The covered manufacturer and the covered customer consent in writing to the stay.</text>
</paragraph><paragraph commented="no" id="HB05F72D96BC84471948DEBF131D65382"><enum>(2)</enum><text>The covered manufacturer is a party to the action or to a separate action involving the same patent
or patents related to the same covered product or process.</text>
</paragraph><paragraph commented="no" id="HD6D49C94BBEC49538577A839BEDEAC46"><enum>(3)</enum><text>The covered customer agrees to be bound by any issues that the covered customer has in common with
the covered manufacturer and are finally decided as to the covered
manufacturer in an action described in paragraph (2).</text>
</paragraph><paragraph commented="no" id="HE2E986FC01E94240A1CFF33526D2D61A"><enum>(4)</enum><text>The motion is filed after the first pleading in the action but not later than the later of—</text>
<subparagraph commented="no" id="H0DEDEFB1A4094AE795609710B1E88C4A"><enum>(A)</enum><text>the 120th day after the date on which the first pleading in the action is served that specifically
identifies the covered product or process as a basis for the covered
customer’s alleged infringement of the patent and that specifically
identifies how the covered product or process is alleged to infringe the
patent; or</text>
</subparagraph><subparagraph commented="no" id="HF63EE2FFF0FE42C6B11452644514F8AC"><enum>(B)</enum><text>the date on which the first scheduling order in the case is entered.</text>
</subparagraph></paragraph></subsection><subsection commented="no" id="H8DD30CEBDD844864852BB83471BEEF1F"><enum>(b)</enum><header>Applicability of stay</header><text display-inline="yes-display-inline">A stay issued under subsection (a) shall apply only to the patents, products, systems, or
components accused of infringement in the action.</text>
</subsection><subsection commented="no" id="H5F184B40C32C4380BCA0072507262324"><enum>(c)</enum><header>Lift of stay</header>
<paragraph commented="no" id="H512571B055004EE1BC9254C72CCBE603"><enum>(1)</enum><header>In general</header><text display-inline="yes-display-inline">A stay entered under this section may be lifted upon grant of a motion based on a showing that—</text>
<subparagraph commented="no" id="H03990CD9AE744E6795C795D26D4AF5CA"><enum>(A)</enum><text>the action involving the covered manufacturer will not resolve a major issue in suit against the
covered customer; or</text>
</subparagraph><subparagraph commented="no" id="HEAA32258760D42BCB155259FF9D871DF"><enum>(B)</enum><text>the stay unreasonably prejudices and would be manifestly unjust to the party seeking to lift the
stay.</text>
</subparagraph></paragraph><paragraph commented="no" id="HFFEEC3C9992F4DD3964844BEE12B4898"><enum>(2)</enum><header>Separate manufacturer action involved</header><text display-inline="yes-display-inline">In the case of a stay entered based on the participation of the covered manufacturer in a separate
action involving the same patent or patents related to the same covered
product or process, a motion under this subsection may only be made if the
court in such separate action determines the showing required under
paragraph (1) has been met.</text>
</paragraph></subsection><subsection commented="no" id="HF48B53F631374DA2A224874D04B0AE11"><enum>(d)</enum><header>Exemption</header><text>This section shall not apply to an action that includes a cause of action described under section
271(e)(2).</text>
</subsection><subsection commented="no" id="HC1D76CF220474B9890C5C5260CBF8CE1"><enum>(e)</enum><header>Consent judgment</header><text>If, following the grant of a motion to stay under this section, the covered manufacturer seeks or
consents to entry of a consent judgment relating to one or more of the
common issues that gave rise to the stay, or declines to prosecute through
appeal a final decision as to one or more of the common issues that gave
rise to the stay, the court may, upon grant of a motion, determine that
such consent judgment or unappealed final decision shall not be binding on
the covered customer with respect to one or more of such common issues
based on a showing that such an outcome would unreasonably prejudice and
be manifestly unjust to the covered customer in light of the circumstances
of the case.</text>
</subsection><subsection commented="no" id="H0953B42251C64EE481E1BBE9C47C1901"><enum>(f)</enum><header>Rule of construction</header><text display-inline="yes-display-inline">Nothing in this section shall be construed to limit the ability of a court to grant any stay,
expand any stay granted under this section, or grant any motion to
intervene, if otherwise permitted by law.</text>
</subsection><subsection commented="no" id="H211019FB1FF0442683983C65F13591B6"><enum>(g)</enum><header>Definitions</header><text>In this section:</text>
<paragraph commented="no" id="HC2B1B9EDD1AA4D82B3FF95B2FCFFB799"><enum>(1)</enum><header>Covered customer</header><text display-inline="yes-display-inline">The term <term>covered customer</term> means a party accused of infringing a patent or patents in dispute based on a covered product or
process.</text>
</paragraph><paragraph commented="no" id="HCAF019AE548D4D52B034BC769737373E"><enum>(2)</enum><header>Covered manufacturer</header><text display-inline="yes-display-inline">The term <term>covered manufacturer</term> means a person that manufactures or supplies, or causes the manufacture or supply of, a covered
product or process or a relevant part thereof.</text>
</paragraph><paragraph commented="no" id="H3268BD95F87F40A5B142EA81C6FD1B5D"><enum>(3)</enum><header>Covered product or process</header><text display-inline="yes-display-inline">The term <term>covered product or process</term> means a product, process, system, service, component, material, or apparatus, or relevant part
thereof, that—</text>
<subparagraph commented="no" id="HE38B5A9F4D43475FAC4A30D96EE8877F"><enum>(A)</enum><text>is alleged to infringe the patent or patents in dispute; or</text>
</subparagraph><subparagraph commented="no" id="H844CE7F1613C4CAF960AE89C2A7C2CE9"><enum>(B)</enum><text>implements a process alleged to infringe the patent or patents in dispute.</text></subparagraph></paragraph></subsection></section><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection commented="no" id="HF401E224870149D19E49EECB767F67A4"><enum>(b)</enum><header>Conforming amendment</header><text display-inline="yes-display-inline">The table of sections for <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/35/29">chapter 29</external-xref> of title 35, United States Code, is amended by striking the
item relating to section 296 and inserting the following:</text>
<quoted-block display-inline="no-display-inline" id="H81A14AECC2B94E9BA37B31D0799C9F93" style="USC">
<toc regeneration="no-regeneration">
<toc-entry level="section">296. Stay of action against customer.</toc-entry></toc><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection commented="no" id="HE6B0ECE851D04B1EABC31E54AE071D43"><enum>(c)</enum><header>Effective date</header><text display-inline="yes-display-inline">The amendments made by this section shall take effect on the date of the enactment of this Act and
shall apply to any action for which a complaint is filed on or after the
first day of the 30-day period that ends on that date.</text>
</subsection></section><section id="HDD21994C1852402590FA7C33BF1463E7"><enum>3305.</enum><header>Procedures and practices to implement recommendations of the Judicial Conference</header>
<subsection commented="no" id="H773353E4712D455F9769D776C6F4F6DC"><enum>(a)</enum><header>Judicial Conference rules and procedures on discovery burdens and costs</header>
<paragraph commented="no" id="H8BF1AE899F224372B3144360D808CE4C"><enum>(1)</enum><header>Rules and procedures</header><text display-inline="yes-display-inline">The Judicial Conference of the United States, using existing resources, shall develop rules and
procedures to implement the issues and proposals described in paragraph
(2) to address the asymmetries in discovery burdens and costs in any civil
action arising under any Act of Congress relating to patents. Such rules
and procedures shall include how and when payment for document discovery
in addition to the discovery of core documentary evidence is to occur, and
what information must be presented to demonstrate financial capacity
before permitting document discovery in addition to the discovery of core
documentary evidence.</text>
</paragraph><paragraph commented="no" id="H0B5E9DD88CF642BC901C71E65922A2F3"><enum>(2)</enum><header>Rules and procedures to be considered</header><text display-inline="yes-display-inline">The rules and procedures required under paragraph (1) should address each of the following issues
and proposals:</text>
<subparagraph commented="no" id="H1D5AECB1DFAF486ABBBFFC4E253DBDB0"><enum>(A)</enum><header>Discovery of core documentary evidence</header><text display-inline="yes-display-inline">Whether and to what extent each party to the action is entitled to receive core documentary
evidence and shall be responsible for the costs of producing core
documentary evidence within the possession or control of each such party,
and whether and to what extent each party to the action may seek
nondocumentary discovery as otherwise provided in the Federal Rules of
Civil Procedure.</text>
</subparagraph><subparagraph id="H27BB3CF82E8947D0A2AE7E1C4177807F"><enum>(B)</enum><header>Electronic communication</header><text>If the parties determine that the discovery of electronic communication is appropriate, whether
such discovery shall occur after the parties have exchanged initial
disclosures and core documentary evidence and whether such discovery shall
be in accordance with the following:</text>
<clause commented="no" id="HC8F9BA151C6849B981F753758E99341B"><enum>(i)</enum><text>Any request for the production of electronic communication shall be specific and may not be a
general request for the production of information relating to a product or
business.</text>
</clause><clause commented="no" id="HC835548FEE2D489BB52B207DB6B065D5"><enum>(ii)</enum><text display-inline="yes-display-inline">Each request shall identify the custodian of the information requested, the search terms, and a
timeframe. The parties shall cooperate to identify the proper custodians,
the proper search terms, and the proper timeframe.</text>
</clause><clause commented="no" id="H8DE109A7EE674B749581D268842EA585"><enum>(iii)</enum><text>A party may not submit production requests to more than 5 custodians, unless the parties jointly
agree to modify the number of production requests without leave of the
court.</text>
</clause><clause commented="no" id="H73613B3561A24ED5B5468280BBC66582"><enum>(iv)</enum><text display-inline="yes-display-inline">The court may consider contested requests for up to 5 additional custodians per producing party,
upon a showing of a distinct need based on the size, complexity, and
issues of the case.</text>
</clause><clause commented="no" id="H52ACD1E1EA7B4FD9A27DF8635F428EDE"><enum>(v)</enum><text>If a party requests the discovery of electronic communication for additional custodians beyond the
limits agreed to by the parties or granted by the court, the requesting
party shall bear all reasonable costs caused by such additional discovery.</text>
</clause></subparagraph><subparagraph commented="no" id="H936C3BB78A8B451BA7D377046BCB5D6C"><enum>(C)</enum><header>Additional document discovery</header><text display-inline="yes-display-inline">Whether the following should apply:</text>
<clause commented="no" id="H1194ECC0ED2A46B082F213A68DB5F8C2"><enum>(i)</enum><header>In general</header><text display-inline="yes-display-inline">Each party to the action may seek any additional document discovery otherwise permitted under the
Federal Rules of Civil Procedure, if such party bears the reasonable
costs, including reasonable attorney’s fees, of the additional document
discovery.</text>
</clause><clause commented="no" id="H67A2786C303849B48B87C074D4830225"><enum>(ii)</enum><header>Requirements for additional document discovery</header><text display-inline="yes-display-inline">Unless the parties mutually agree otherwise, no party may be permitted additional document
discovery unless such a party posts a bond, or provides other security, in
an amount sufficient to cover the expected costs of such additional
document discovery, or makes a showing to the court that such party has
the financial capacity to pay the costs of such additional document
discovery.</text>
</clause><clause commented="no" id="H5B0AB6CAA96442ADBEE0FEDC5710CD66"><enum>(iii)</enum><header>Limits on additional document discovery</header><text display-inline="yes-display-inline">A court, upon motion, may determine that a request for additional document discovery is excessive,
irrelevant, or otherwise abusive and may set limits on such additional
document discovery.</text>
</clause><clause commented="no" id="H9FEC37DCBC004FE791AF4AC1EC77A064"><enum>(iv)</enum><header>Good cause modification</header><text display-inline="yes-display-inline">A court, upon motion and for good cause shown, may modify the requirements of subparagraphs (A) and
(B) and any definition under paragraph (3). Not later than 30 days after
the pretrial conference under Rule 16 of the Federal Rules of Civil
Procedure, the parties shall jointly submit any proposed modifications of
the requirements of subparagraphs (A) and (B) and any definition under
paragraph (3), unless the parties do not agree, in which case each party
shall submit any proposed modification of such party and a summary of the
disagreement over the modification.</text>
</clause><clause commented="no" id="H44275B16D0D947A29A365852FD6FE618"><enum>(v)</enum><header>Computer code</header><text display-inline="yes-display-inline">A court, upon motion and for good cause shown, may determine that computer code should be included
in the discovery of core documentary evidence. The discovery of computer
code shall occur after the parties have exchanged initial disclosures and
other core documentary evidence.</text>
</clause></subparagraph><subparagraph commented="no" id="H37C2A98C232F46A1A180C0FACECED645"><enum>(D)</enum><header>Discovery sequence and scope</header><text>Whether the parties shall discuss and address in the written report filed pursuant to Rule 26(f) of
the Federal Rules of Civil Procedure the views and proposals of each party
on the following:</text>
<clause commented="no" id="HD593746418A54229BC8C6F8015C368F0"><enum>(i)</enum><text>When the discovery of core documentary evidence should be completed.</text>
</clause><clause commented="no" id="H3A802F09693E47F7B5A5BFB2D89F0EB2"><enum>(ii)</enum><text display-inline="yes-display-inline">Whether additional document discovery will be sought under subparagraph (C).</text>
</clause><clause commented="no" id="HDE434914F32845C49CCA529D41BE3CEA"><enum>(iii)</enum><text>Any issues about infringement, invalidity, or damages that, if resolved before the additional
discovery described in subparagraph (C) commences, might simplify or
streamline the case, including the identification of any terms or phrases
relating to any patent claim at issue to be construed by the court and
whether the early construction of any of those terms or phrases would be
helpful.</text>
</clause></subparagraph></paragraph><paragraph commented="no" id="H623342D3663C41ECA48EE751D0EE87FB"><enum>(3)</enum><header>Definitions</header><text>In this subsection:</text>
<subparagraph id="HD7BB18F410ED44FAA474F82843729114"><enum>(A)</enum><header>Core documentary evidence</header><text>The term <term>core documentary evidence</term>—</text>
<clause commented="no" id="HFCC90F2B46894C618A0B13D53A31BB8C"><enum>(i)</enum><text>includes—</text>
<subclause commented="no" id="H15FCD809C7AC432D904EA5A41E425DE4"><enum>(I)</enum><text display-inline="yes-display-inline">documents relating to the conception of, reduction to practice of, and application for, the patent
or patents at issue;</text>
</subclause><subclause commented="no" id="H147478193CCC42CABA96FFF756A5985F"><enum>(II)</enum><text display-inline="yes-display-inline">documents sufficient to show the technical operation of the product or process identified in the
complaint as infringing the patent or patents at issue;</text>
</subclause><subclause commented="no" id="H90F333BBE2204308A2F46DF013E51680"><enum>(III)</enum><text display-inline="yes-display-inline">documents relating to potentially invalidating prior art;</text>
</subclause><subclause commented="no" id="HC868E97F685546E88313FF6FF33A0898"><enum>(IV)</enum><text display-inline="yes-display-inline">documents relating to any licensing of, or other transfer of rights to, the patent or patents at
issue before the date on which the complaint is filed;</text>
</subclause><subclause commented="no" id="HACE022CD7DE0407FBB76DC0860D9C7E7"><enum>(V)</enum><text display-inline="yes-display-inline">documents sufficient to show profit attributable to the claimed invention of the patent or patents
at issue;</text>
</subclause><subclause commented="no" id="HE82729DDC9774F8C92C8602A7B1066DF"><enum>(VI)</enum><text display-inline="yes-display-inline">documents relating to any knowledge by the accused infringer of the patent or patents at issue
before the date on which the complaint is filed;</text>
</subclause><subclause id="H3B9EEA64E2A244AD8D08F4BE712DFC57"><enum>(VII)</enum><text display-inline="yes-display-inline">documents relating to any knowledge by the patentee of infringement of the patent or patents at
issue before the date on which the complaint is filed;</text>
</subclause><subclause id="H90A8994042FC4CC19E7B892C98424C77"><enum>(VIII)</enum><text display-inline="yes-display-inline">documents relating to any licensing term or pricing commitment to which the patent or patents may
be subject through any agency or standard-setting body; and</text>
</subclause><subclause commented="no" id="H00B6F472381942EEA6C57247F0F7776F"><enum>(IX)</enum><text display-inline="yes-display-inline">documents sufficient to show any marking or other notice provided of the patent or patents at
issue; and</text>
</subclause></clause><clause commented="no" id="H106B477CB76A4D7594C7A3137C5441FE"><enum>(ii)</enum><text display-inline="yes-display-inline">does not include computer code, except as specified in paragraph (2)(C)(v).</text>
</clause></subparagraph><subparagraph commented="no" id="H1A7905A3122F4286B195C2476CFEB8B9"><enum>(B)</enum><header>Electronic communication</header><text display-inline="yes-display-inline">The term <term>electronic communication</term> means any form of electronic communication, including email, text message, or instant message.</text>
</subparagraph></paragraph><paragraph id="H60F80D4A5E6E48FCAE4A9ADF05B684BE"><enum>(4)</enum><header>Implementation by the District Courts</header><text display-inline="yes-display-inline">Not later than 6 months after the date on which the Judicial Conference has developed the rules and
procedures required by this subsection, each United States district court
and the United States Court of Federal Claims shall revise the applicable
local rules for such court to implement such rules and procedures.</text>
</paragraph><paragraph commented="no" id="HD070F569CED24BF688C4EAD7EFD74625"><enum>(5)</enum><header>Authority for Judicial Conference to review and modify</header>
<subparagraph id="HA7DD42FF98B54C74BCC9CA2F6CDC6F76"><enum>(A)</enum><header>Study of efficacy of rules and procedures</header><text display-inline="yes-display-inline">The Judicial Conference shall study the efficacy of the rules and procedures required by this
subsection during the 4-year period beginning on the date on which such
rules and procedures by the district courts and the United States Court of
Federal Claims are first implemented. The Judicial Conference may modify
such rules and procedures following such 4-year period.</text>
</subparagraph><subparagraph commented="no" id="HCF968E16589A4086B07BBAFF94C73DC2"><enum>(B)</enum><header>Initial modifications</header><text>Before the expiration of the 4-year period described in subparagraph (A), the Judicial Conference
may modify the requirements under this subsection—</text>
<clause commented="no" id="HEB8B6D6E4CA141E08E584CD2ACCCF2A1"><enum>(i)</enum><text>by designating categories of <quote>core documentary evidence</quote>, in addition to those designated under paragraph (3)(A), as the Judicial Conference determines to
be appropriate and necessary; and</text>
</clause><clause commented="no" id="HB7A8A15B1A824B6C87FB722ABC9B58AF"><enum>(ii)</enum><text>as otherwise necessary to prevent a manifest injustice, the imposition of a requirement the costs
of which clearly outweigh its benefits, or a result that could not
reasonably have been intended by the Congress.</text>
</clause></subparagraph></paragraph></subsection><subsection id="H98F31C9470894B669FA30512A991C6D4"><enum>(b)</enum><header>Judicial Conference patent case management</header><text>The Judicial Conference of the United States, using existing resources, shall develop case
management procedures to be implemented by the United States district
courts and the United States Court of Federal Claims for any civil action
arising under any Act of Congress relating to patents, including initial
disclosure and early case management conference practices that—</text>
<paragraph id="H341B935EEF0C4E2C92B50676C672E1CA"><enum>(1)</enum><text>will identify any potential dispositive issues of the case; and</text>
</paragraph><paragraph id="HC7CF4C984828486B893B1D74E8A03738"><enum>(2)</enum><text>focus on early summary judgment motions when resolution of issues may lead to expedited disposition
of the case.</text>
</paragraph></subsection><subsection commented="no" id="H3B9E5A96BCEB48C4A29C3E25764D1673"><enum>(c)</enum><header>Revision of form for patent infringement</header>
<paragraph id="HF4E69D67FDCF4736BEDF5B5DF90CAD8F"><enum>(1)</enum><header>Elimination of form</header><text display-inline="yes-display-inline">The Supreme Court, using existing resources, shall eliminate Form 18 in the Appendix to the Federal
Rules of Civil Procedure (relating to Complaint for Patent Infringement),
effective on the date of the enactment of this Act.</text>
</paragraph><paragraph id="H8BD64FDFC31A4689A865786035EFB07B"><enum>(2)</enum><header>Revised form</header><text display-inline="yes-display-inline">The Supreme Court may prescribe a new form or forms setting out model allegations of patent
infringement that, at a minimum, notify accused infringers of the asserted
claim or claims, the products or services accused of infringement, and the
plaintiff’s theory for how each accused product or service meets each
limitation of each asserted claim. The Judicial Conference should exercise
the authority under <external-xref legal-doc="usc" parsable-cite="usc/28/2073">section 2073</external-xref> of title 28, United States Code, to make
recommendations with respect to such new form or forms.</text>
</paragraph></subsection><subsection commented="no" id="HB933B73BED40431D87377A6A820055B1"><enum>(d)</enum><header>Protection of intellectual-Property licenses in bankruptcy</header>
<paragraph id="HF87F09E2065C420BAC03692AE3D10E74"><enum>(1)</enum><header>In general</header><text display-inline="yes-display-inline"><external-xref legal-doc="usc" parsable-cite="usc/11/1522">Section 1522</external-xref> of title 11, United States Code, is amended by adding at the end the following:</text>
<quoted-block display-inline="no-display-inline" id="H6C3CAD3010F843838C453C1893CC43A0" style="OLC">
<subsection id="HBFD9C8551E0C4C1E8012438B4609581A"><enum>(e)</enum><text display-inline="yes-display-inline">Section 365(n) shall apply to cases under this chapter. If the foreign representative rejects or
repudiates a contract under which the debtor is a licensor of intellectual
property, the licensee under such contract shall be entitled to make the
election and exercise the rights described in section 365(n).</text></subsection><after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph><paragraph commented="no" id="H5D0ECDEB59DC497EA531617019D09F4D"><enum>(2)</enum><header>Trademarks</header>
<subparagraph commented="no" id="HE2836649C17E42188DB4215024AE8F6D"><enum>(A)</enum><header>In general</header><text><external-xref legal-doc="usc" parsable-cite="usc/11/101">Section 101(35A)</external-xref> of title 11, United States Code, is amended—</text>
<clause commented="no" id="HAFC9B699DB6E4B78A94621E8F39CB9F2"><enum>(i)</enum><text>in subparagraph (E), by striking <quote>or</quote>;</text>
</clause><clause commented="no" id="HE46C1211949344D698ACA9CAAA71CE26"><enum>(ii)</enum><text>in subparagraph (F), by striking <quote>title 17;</quote> and inserting <quote>title 17; or</quote>; and</text>
</clause><clause commented="no" id="HFA92723CD8214A5A957C8FC4336D570F"><enum>(iii)</enum><text>by adding after subparagraph (F) the following new subparagraph:</text>
<quoted-block display-inline="no-display-inline" id="HAAF39D727CA4466C9F5C121C6E03E529" style="OLC">
<subparagraph commented="no" id="H1F3A93A019B9477C8F5704CB266CD431"><enum>(G)</enum><text display-inline="yes-display-inline">a trademark, service mark, or trade name, as those terms are defined in section 45 of the Act of
July 5, 1946 (commonly referred to as the <quote>Trademark Act of 1946</quote>) (<external-xref legal-doc="usc" parsable-cite="usc/15/1127">15 U.S.C. 1127</external-xref>);</text></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block>
</clause></subparagraph><subparagraph commented="no" id="HF845BDF3FA6E4E1893263C9199C1B564"><enum>(B)</enum><header>Conforming amendment</header><text><external-xref legal-doc="usc" parsable-cite="usc/11/365">Section 365(n)(2)</external-xref> of title 11, United States Code, is amended—</text>
<clause commented="no" id="H15BBA55AA02942F2BCC53FE33A61ABB8"><enum>(i)</enum><text>in subparagraph (B)—</text>
<subclause commented="no" id="HB7AB3F24B561432CB2DC4522DDA7495D"><enum>(I)</enum><text>by striking <quote>royalty payments</quote> and inserting <quote>royalty or other payments</quote>; and</text>
</subclause><subclause commented="no" id="H9FB0E68B8ACF441493329D0F7460D167"><enum>(II)</enum><text>by striking <quote>and</quote> after the semicolon;</text>
</subclause></clause><clause commented="no" id="H37D7206CF66F4007834FC09166288294"><enum>(ii)</enum><text>in subparagraph (C), by striking the period at the end of clause (ii) and inserting <quote>; and</quote>; and</text>
</clause><clause commented="no" id="HF97C00D3585F4EEFAC3EB28FCB85267A"><enum>(iii)</enum><text>by adding at the end the following new subparagraph:</text>
<quoted-block id="HDC694EE189D74F41B6CF53A758384110" style="OLC">
<subparagraph commented="no" id="HBE4AFC53EF844E678567D6578AAC9C09" indent="up1"><enum>(D)</enum><text>in the case of a trademark, service mark, or trade name, the trustee shall not be relieved of a
contractual obligation to monitor and control the quality of a licensed
product or service.</text></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block>
</clause></subparagraph></paragraph><paragraph commented="no" id="H4475067271E64D8A896E0B8900FB6B5F"><enum>(3)</enum><header>Effective date</header><text display-inline="yes-display-inline">The amendments made by this subsection shall take effect on the date of the enactment of this Act
and shall apply to any case that is pending on, or for which a petition or
complaint is filed on or after, such date of enactment.</text>
</paragraph></subsection></section><section id="HFEE92AA38D674E23B329A6A700CECC02"><enum>3306.</enum><header>Small business education, outreach, and information access</header>
<subsection id="HE26B00B88DCC4DCCA6E8562B2F298504"><enum>(a)</enum><header>Small business education and outreach</header>
<paragraph id="HB0B86010845047DF870272ED7AF20F24"><enum>(1)</enum><header>Resources for small business</header><text display-inline="yes-display-inline">Using existing resources, the Director shall develop educational resources for small businesses to
address concerns arising from patent infringement.</text>
</paragraph><paragraph id="HFC74841D7ADC44368E84CA453F514615"><enum>(2)</enum><header>Small Business Patent outreach</header><text display-inline="yes-display-inline">The existing small business patent outreach programs of the Office, and the relevant offices at the
Small Business Administration and the Minority Business Development
Agency, shall provide education and awareness on abusive patent litigation
practices. The Director may give special consideration to the unique needs
of small firms owned by disabled veterans, service-disabled veterans,
women, and minority entrepreneurs in planning and executing the outreach
efforts by the Office.</text>
</paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="HA253661F53B84B07B43B61E88111F1FA"><enum>(b)</enum><header>Improving Information Transparency for Small Business and the United States Patent and Trademark
Office users</header>
<paragraph id="HDE913C6FE61C4AD8A26406CA1AD4986B"><enum>(1)</enum><header>Web site</header><text>Using existing resources, the Director shall create a user-friendly section on the official Web
site of the Office to notify the public when a patent case is brought in
Federal court and, with respect to each patent at issue in such case, the
Director shall include—</text>
<subparagraph id="HD7F2CCDC1191473AAA2DC2531F8D5D6F"><enum>(A)</enum><text>information disclosed under subsections (b) and (d) of <external-xref legal-doc="usc" parsable-cite="usc/35/290">section 290</external-xref> of title 35, United States Code,
as added by section 3303 of this subtitle; and</text>
</subparagraph><subparagraph id="HCF1928B32C114AD4829764FCB852B827"><enum>(B)</enum><text>any other information the Director determines to be relevant.</text>
</subparagraph></paragraph><paragraph id="H3F300671E47C4D7FBE271751E29D6897"><enum>(2)</enum><header>Format</header><text display-inline="yes-display-inline">In order to promote accessibility for the public, the information described in paragraph (1) shall
be searchable by patent number, patent art area, and entity.</text>
</paragraph></subsection></section><section id="HB2B6D3C8F1FD4860B3437AB1E113226B"><enum>3307.</enum><header>Studies on patent transactions, quality, and examination</header>
<subsection id="HCCBD29A286624F5DA18C96605FF2E94F"><enum>(a)</enum><header>Study on Secondary Market Oversight for Patent Transactions To Promote Transparency and Ethical
Business Practices</header>
<paragraph id="H8AE046097271405691991E4683710003"><enum>(1)</enum><header>Study required</header><text display-inline="yes-display-inline">The Director, in consultation with the Secretary of Commerce, the Secretary of the Treasury, the
Chairman of the Securities and Exchange Commission, the heads of other
relevant agencies, and interested parties, shall, using existing resources
of the Office, conduct a study—</text>
<subparagraph id="HF6E018AF2DCD4E1299D66DC8A83DA513"><enum>(A)</enum><text display-inline="yes-display-inline">to develop legislative recommendations to ensure greater transparency and accountability in patent
transactions occurring on the secondary market;</text>
</subparagraph><subparagraph id="H888F867F126C47AB9EE0DAAE1491E12D"><enum>(B)</enum><text>to examine the economic impact that the patent secondary market has on the United States;</text>
</subparagraph><subparagraph id="HC93214EE5C894BDBBE8A7DD8D7D913EC"><enum>(C)</enum><text>to examine licensing and other oversight requirements that may be placed on the patent secondary
market, including on the participants in such markets, to ensure that the
market is a level playing field and that brokers in the market have the
requisite expertise and adhere to ethical business practices; and</text>
</subparagraph><subparagraph id="H0A505C770CD94E70934930FDCCBC38E3"><enum>(D)</enum><text>to examine the requirements placed on other markets.</text>
</subparagraph></paragraph><paragraph id="H224394DD019543C78C90D92005B30834"><enum>(2)</enum><header>Report on study</header><text display-inline="yes-display-inline">Not later than 18 months after the date of the enactment of this Act, the Director shall submit a
report to the Committee on the Judiciary of the House of Representatives
and the Committee on the Judiciary of the Senate on the findings and
recommendations of the Director from the study required under paragraph
(1).</text>
</paragraph></subsection><subsection id="H03B5BE07ACE14C79A2102D1C81330ED6"><enum>(b)</enum><header>Study on patents owned by the United States Government</header>
<paragraph id="H07247CA62BCB460DAE9FBB6CCB5E01D0"><enum>(1)</enum><header>Study required</header><text display-inline="yes-display-inline">The Director, in consultation with the heads of relevant agencies and interested parties, shall,
using existing resources of the Office, conduct a study on patents owned
by the United States Government that—</text>
<subparagraph id="H42E810F2C7924D84BDCAEBD0CEE2D7ED"><enum>(A)</enum><text display-inline="yes-display-inline">examines how such patents are licensed and sold, and any litigation relating to the licensing or
sale of such patents;</text>
</subparagraph><subparagraph id="H3DB3368F9D544F1EA50C8DB26A549BCC"><enum>(B)</enum><text>provides legislative and administrative recommendations on whether there should be restrictions
placed on patents acquired from the United States Government;</text>
</subparagraph><subparagraph id="H2A82E68D467D4B31AA48ADC31EB7E43E"><enum>(C)</enum><text>examines whether or not each relevant agency maintains adequate records on the patents owned by
such agency, specifically whether such agency addresses licensing,
assignment, and Government grants for technology related to such patents;
and</text>
</subparagraph><subparagraph id="H933FF3FC8F794B0B84B50089EF8349FA"><enum>(D)</enum><text>provides recommendations to ensure that each relevant agency has an adequate point of contact that
is responsible for managing the patent portfolio of the agency.</text>
</subparagraph></paragraph><paragraph id="HD9841C252CA6482180FF3F6BBB3687D7"><enum>(2)</enum><header>Report on study</header><text display-inline="yes-display-inline">Not later than 1 year after the date of the enactment of this Act, the Director shall submit to the
Committee on the Judiciary of the House of Representatives and the
Committee on the Judiciary of the Senate a report on the findings and
recommendations of the Director from the study required under paragraph
(1).</text>
</paragraph></subsection><subsection id="H159E201C653E4CF899754631ADE8F47B"><enum>(c)</enum><header>Study on Patent Quality and Access to the Best Information during Examination</header>
<paragraph id="HAE280491CEFB45ADABEC0FFE6062B91B"><enum>(1)</enum><header>GAO study</header><text display-inline="yes-display-inline">The Comptroller General of the United States shall, using existing resources, conduct a study on
patent examination at the Office and the technologies available to improve
examination and improve patent quality.</text>
</paragraph><paragraph id="H835EDF3820C84EEAAA466F3863E7E264"><enum>(2)</enum><header>Contents of the study</header><text>The study required under paragraph (1) shall include the following:</text>
<subparagraph id="HE4F3AE13ABDE48129E2899ACD4E4F3E3"><enum>(A)</enum><text>An examination of patent quality at the Office.</text>
</subparagraph><subparagraph id="H017B02541E5C41C79F088DAE6870A41C"><enum>(B)</enum><text>An examination of ways to improve patent quality, specifically through technology, that shall
include examining best practices at foreign patent offices and the use of
existing off-the-shelf technologies to improve patent examination.</text>
</subparagraph><subparagraph id="HE4B8677EAF5648279484BAECD68BBA8E"><enum>(C)</enum><text>A description of how patents are classified.</text>
</subparagraph><subparagraph id="H614FDC67AA6746E4A58608CCC29C5F99"><enum>(D)</enum><text>An examination of procedures in place to prevent double patenting through filing by applicants in
multiple art areas.</text>
</subparagraph><subparagraph id="HE089D2A2F30341E4BFE396A7C03FC47F"><enum>(E)</enum><text>An examination of the types of off-the-shelf prior art databases and search software used by
foreign patent offices and governments, particularly in Europe and Asia,
and whether those databases and search tools could be used by the Office
to improve patent examination.</text>
</subparagraph><subparagraph id="HADBA2AA1E0ED4116A0D07B826A6AE848"><enum>(F)</enum><text>An examination of any other areas the Comptroller General determines to be relevant.</text>
</subparagraph></paragraph><paragraph id="H27A05EB595684D24B4FD1AD2EE4CB993"><enum>(3)</enum><header>Report on study</header><text display-inline="yes-display-inline">Not later than 1 year after the date of the enactment of this Act, the Comptroller General shall
submit to the Committee on the Judiciary of the House of Representatives
and the Committee on the Judiciary of the Senate a report on the findings
and recommendations from the study required by this subsection, including
recommendations for any changes to laws and regulations that will improve
the examination of patent applications and patent quality.</text>
</paragraph></subsection><subsection commented="no" id="HD5EE775D9BB3404EB04CB98C9EDE436F"><enum>(d)</enum><header>Study on Patent Small Claims Court</header>
<paragraph commented="no" id="HAA1DCCEDFCB749079B1A9CD7C26049FA"><enum>(1)</enum><header>Study Required</header>
<subparagraph commented="no" id="HDAF07DC5BAB84EDC965541141B28FD40"><enum>(A)</enum><header>In general</header><text display-inline="yes-display-inline">The Director of the Administrative Office of the United States Courts, in consultation with the
Director of the Federal Judicial Center and the United States Patent and
Trademark Office, shall, using existing resources, conduct a study to
examine the idea of developing a pilot program for patent small claims
procedures in certain judicial districts within the existing patent pilot
program mandated by <external-xref legal-doc="public-law" parsable-cite="pl/111/349">Public Law 111–349</external-xref>.</text>
</subparagraph><subparagraph commented="no" id="HFF315390DB874DFCA519C9D244207A36"><enum>(B)</enum><header>Contents of study</header><text>The study under subparagraph (A) shall examine—</text>
<clause id="H9C1092D9DBA94279BA79DF4D814F9327"><enum>(i)</enum><text display-inline="yes-display-inline">the necessary criteria for using small claims procedures;</text>
</clause><clause commented="no" id="H35BDB1911FB1400FA2D36F7296685166"><enum>(ii)</enum><text>the costs that would be incurred for establishing, maintaining, and operating such a pilot program;
and</text>
</clause><clause commented="no" id="HFFE198E44B55484CA22BE3E41B25FFA4"><enum>(iii)</enum><text display-inline="yes-display-inline">the steps that would be taken to ensure that the procedures used in the pilot program are not
misused for abusive patent litigation.</text>
</clause></subparagraph></paragraph><paragraph commented="no" id="HCBDFE4D8F7714A099471C61F9D1A386E"><enum>(2)</enum><header>Report on study</header><text display-inline="yes-display-inline">Not later than 1 year after the date of the enactment of this Act, the Director of the
Administrative Office of the United States Courts shall submit a report to
the Committee on the Judiciary of the House of Representatives and the
Committee on the Judiciary of the Senate on the findings and
recommendations of the Director of the Administrative Office from the
study required under paragraph (1).</text>
</paragraph></subsection><subsection display-inline="no-display-inline" id="H163CBF37AA0145D595F95B10CC1AEF68"><enum>(e)</enum><header>Study on demand letters</header>
<paragraph id="H4268344B51DC4071866D1320492B8597"><enum>(1)</enum><header>Study</header><text display-inline="yes-display-inline">The Director, in consultation with the heads of other appropriate agencies, shall, using existing
resources, conduct a study of the prevalence of the practice of sending
patent demand letters in bad faith and the extent to which that practice
may, through fraudulent or deceptive practices, impose a negative impact
on the marketplace.</text>
</paragraph><paragraph id="HD4B77B9B8E494FC9BD9DD8F225A953FD"><enum>(2)</enum><header>Report to congress</header><text>Not later than 1 year after the date of the enactment of this Act, the Director shall submit a
report to the Committee on the Judiciary of the House of Representatives
and the Committee on the Judiciary of the Senate on the findings and
recommendations of the Director from the study required under paragraph
(1).</text>
</paragraph><paragraph id="HE6A92BD98DA141E9B84B15DBD34BC81E"><enum>(3)</enum><header>Patent demand letter defined</header><text display-inline="yes-display-inline">In this subsection, the term <term>patent demand letter</term> means a written communication relating to a patent that states or indicates, directly or
indirectly, that the recipient or anyone affiliated with the recipient is
or may be infringing the patent.</text>
</paragraph></subsection><subsection id="HA4576BBE59204E43A1193C69BE857A5F"><enum>(f)</enum><header>Study on business method patent quality</header>
<paragraph id="H3429AAFEAA2B490BBC4D6C708269472B"><enum>(1)</enum><header>GAO study</header><text display-inline="yes-display-inline">The Comptroller General of the United States shall, using existing resources, conduct a study on
the volume and nature of litigation involving business method patents.</text>
</paragraph><paragraph id="H069710C8C63544CF85352BD43F1CBE3B"><enum>(2)</enum><header>Contents of study</header><text display-inline="yes-display-inline">The study required under paragraph (1) shall focus on examining the quality of business method
patents asserted in suits alleging patent infringement, and may include an
examination of any other areas that the Comptroller General determines to
be relevant.</text>
</paragraph><paragraph id="H55241914E45D4C24A421170BEAAB7F76"><enum>(3)</enum><header>Report to congress</header><text display-inline="yes-display-inline">Not later than 1 year after the date of the enactment of this Act, the Comptroller General shall
submit to the Committee on the Judiciary of the House of Representatives
and the Committee on the Judiciary of the Senate a report on the findings
and recommendations from the study required by this subsection, including
recommendations for any changes to laws or regulations that the
Comptroller General considers appropriate on the basis of the study.</text>
</paragraph></subsection><subsection id="H79247F7DE20C454591D49D231294FE4D"><enum>(g)</enum><header>Study on impact of legislation on ability of individuals and small businesses To protect exclusive
rights to inventions and discoveries</header>
<paragraph id="H58C0556FDE81414C9666F4CE13477B1E"><enum>(1)</enum><header>Study required</header><text display-inline="yes-display-inline">The Director, in consultation with the Secretary of Commerce, the Director of the Administrative
Office of the United States Courts, the Director of the Federal Judicial
Center, the heads of other relevant agencies, and interested parties,
shall, using existing resources of the Office, conduct a study to examine
the economic impact of sections 3, 4, and 5 of this Act, and any
amendments made by such sections, on the ability of individuals and small
businesses owned by women, veterans, and minorities to assert, secure, and
vindicate the constitutionally guaranteed exclusive right to inventions
and discoveries by such individuals and small business.</text>
</paragraph><paragraph id="HD7F7BDCFDF69489084C07C0DCF49CB5A"><enum>(2)</enum><header>Report on study</header><text display-inline="yes-display-inline">Not later than 2 years after the date of the enactment of this Act, the Director shall submit to
the Committee on the Judiciary of the House of Representatives and the
Committee on the Judiciary of the Senate a report on the findings and
recommendations of the Director from the study required under paragraph
(1).</text>
</paragraph></subsection></section><section id="HBB3B6FE25777400CAC6F778CAC078022"><enum>3308.</enum><header>Improvements and technical corrections to the Leahy-Smith America Invents Act</header>
<subsection id="H2192C3DFFFDD465AA34B08FA68A71A57"><enum>(a)</enum><header>Post-Grant review amendment</header><text><external-xref legal-doc="usc" parsable-cite="usc/35/325">Section 325(e)(2)</external-xref> of title 35, United States Code is amended by striking <quote>or reasonably could have raised</quote>.</text>
</subsection><subsection commented="no" id="H14476D7795674B9FA220E99C0A57003A"><enum>(b)</enum><header>Use of district court claim construction in post-Grant and inter partes reviews</header>
<paragraph commented="no" id="H521877483875496CB0F14C21B49C2005"><enum>(1)</enum><header>Inter partes review</header><text display-inline="yes-display-inline"><external-xref legal-doc="usc" parsable-cite="usc/35/316">Section 316(a)</external-xref> of title 35, United States Code, is amended—</text>
<subparagraph commented="no" id="H40ACD1651D7043E1A6E7CEE31EDBF987"><enum>(A)</enum><text>in paragraph (12), by striking <quote>; and</quote> and inserting a semicolon;</text>
</subparagraph><subparagraph commented="no" id="HE234F1B48B5C4EFAAD90522559DE971B"><enum>(B)</enum><text>in paragraph (13), by striking the period at the end and inserting <quote>; and</quote>; and</text>
</subparagraph><subparagraph commented="no" id="H1C34146133034348954618301D588995"><enum>(C)</enum><text>by adding at the end the following new paragraph:</text>
<quoted-block display-inline="no-display-inline" id="HF4F110EA34634C9B84D9312E658A51FF" style="USC">
<paragraph commented="no" id="H314536009B284429909950AC62CDFF09"><enum>(14)</enum><text display-inline="yes-display-inline">providing that for all purposes under this chapter—</text>
<subparagraph commented="no" id="H281265C445EA479096D73C6AA000BD66"><enum>(A)</enum><text>each claim of a patent shall be construed as such claim would be in a civil action to invalidate a
patent under section 282(b), including construing each claim of the patent
in accordance with the ordinary and customary meaning of such claim as
understood by one of ordinary skill in the art and the prosecution history
pertaining to the patent; and</text>
</subparagraph><subparagraph commented="no" id="HFFA90AE943FC41B5BD42BBDA3299EC0B"><enum>(B)</enum><text display-inline="yes-display-inline">if a court has previously construed the claim or a claim term in a civil action in which the patent
owner was a party, the Office shall consider such claim construction.</text></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block>
</subparagraph></paragraph><paragraph commented="no" id="HF265D7B9F5EA4814A74E27B4F56CC2BC"><enum>(2)</enum><header>Post-grant review</header><text display-inline="yes-display-inline"><external-xref legal-doc="usc" parsable-cite="usc/35/326">Section 326(a)</external-xref> of title 35, United States Code, is amended—</text>
<subparagraph commented="no" id="H6BFBF7860D5E42F6A309228040377F6E"><enum>(A)</enum><text>in paragraph (11), by striking <quote>; and</quote> and inserting a semicolon;</text>
</subparagraph><subparagraph commented="no" id="H6CF003F7D18C4F268E8DAE9494D7B4FF"><enum>(B)</enum><text>in paragraph (12), by striking the period at the end and inserting <quote>; and</quote>; and</text>
</subparagraph><subparagraph commented="no" id="HB10B68D9F15A4F278BE4E01A63B28411"><enum>(C)</enum><text>by adding at the end the following new paragraph:</text>
<quoted-block display-inline="no-display-inline" id="HD65C4D71911A4D609BC6C8CC6617889C" style="USC">
<paragraph commented="no" id="HBDE25CBEC04240D8B37C2EA0B35A7E7D"><enum>(13)</enum><text display-inline="yes-display-inline">providing that for all purposes under this chapter—</text>
<subparagraph id="HE754E1045FFA4E80B4792F921182D947"><enum>(A)</enum><text>each claim of a patent shall be construed as such claim would be in a civil action to invalidate a
patent under section 282(b), including construing each claim of the patent
in accordance with the ordinary and customary meaning of such claim as
understood by one of ordinary skill in the art and the prosecution history
pertaining to the patent; and</text>
</subparagraph><subparagraph commented="no" id="H7A3BF4AE36F74CA6B8A4C52C5EA66119"><enum>(B)</enum><text display-inline="yes-display-inline">if a court has previously construed the claim or a claim term in a civil action in which the patent
owner was a party, the Office shall consider such claim construction.</text></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block>
</subparagraph></paragraph><paragraph commented="no" id="HC0CE4C30CC564B0C80E25176ACCE4626"><enum>(3)</enum><header>Technical and conforming amendment</header><text>Section 18(a)(1)(A) of the Leahy-Smith America Invents Act (<external-xref legal-doc="public-law" parsable-cite="pl/112/29">Public Law 112–29</external-xref>; 126 Stat. 329; 35
U.S.C. 321 note) is amended by striking <quote>Section 321(c)</quote> and inserting <quote>Sections 321(c) and 326(a)(13)</quote>.</text>
</paragraph><paragraph commented="no" id="H633D1E5DEB1A4F748DA4B4225413C16F"><enum>(4)</enum><header>Effective date</header><text display-inline="yes-display-inline">The amendments made by this subsection shall take effect upon the expiration of the 90-day period
beginning on the date of the enactment of this Act, and shall apply to any
proceeding under chapter 31 or 32 of title 35, United States Code, as the
case may be, for which the petition for review is filed on or after such
effective date.</text>
</paragraph></subsection><subsection commented="no" id="HF0A5EABAE0D343A18231D90621E6DA07"><enum>(c)</enum><header>Codification of the double-Patenting doctrine for first-Inventor-To-File patents</header>
<paragraph commented="no" id="H4166481095E5428D81BCA4B9424F9A66"><enum>(1)</enum><header>Amendment</header><text display-inline="yes-display-inline"><external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/35/10">Chapter 10</external-xref> of title 35, United States Code, is amended by adding at the end the following new
section:</text>
<quoted-block display-inline="no-display-inline" id="H5EDAAC1A34E643BF82B362B6F275B246" style="USC">
<section commented="no" id="H32A61725DB724CCD90D8D3D54EACA659"><enum>106.</enum><header>Prior art in cases of double patenting</header><text display-inline="no-display-inline">A claimed invention of a patent issued under section 151 (referred to as the <term>first patent</term>) that is not prior art to a claimed invention of another patent (referred to as the <term>second patent</term>) shall be considered prior art to the claimed invention of the second patent for the purpose of
determining the nonobviousness of the claimed invention of the second
patent under section 103 if—</text>
<paragraph commented="no" id="H48C09C04CA5A4C84A57B70C869DBBD6C"><enum>(1)</enum><text display-inline="yes-display-inline">the claimed invention of the first patent was effectively filed under section 102(d) on or before
the effective filing date of the claimed invention of the second patent;</text>
</paragraph><paragraph commented="no" id="H0B16E9A210B5425C88F7993EEC0872ED"><enum>(2)</enum><text>either—</text>
<subparagraph commented="no" id="H3944B124AAB9460CBB10115840A9DAAA"><enum>(A)</enum><text display-inline="yes-display-inline">the first patent and second patent name the same individual or individuals as the inventor; or</text>
</subparagraph><subparagraph commented="no" id="H50FA19D3AE5542F5AF8DE5E54826595C"><enum>(B)</enum><text display-inline="yes-display-inline">the claimed invention of the first patent would constitute prior art to the claimed invention of
the second patent under section 102(a)(2) if an exception under section
102(b)(2) were deemed to be inapplicable and the claimed invention of the
first patent was, or were deemed to be, effectively filed under section
102(d) before the effective filing date of the claimed invention of the
second patent; and</text>
</subparagraph></paragraph><paragraph commented="no" id="H86CC8DB92F834F24B0CF437FB44A2599"><enum>(3)</enum><text>the patentee of the second patent has not disclaimed the rights to enforce the second patent
independently from, and beyond the statutory term of, the first patent.</text></paragraph></section><after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph><paragraph commented="no" id="HA831894AF2A547F2BC484C92DD252124"><enum>(2)</enum><header>Regulations</header><text display-inline="yes-display-inline">The Director shall promulgate regulations setting forth the form and content of any disclaimer
required for a patent to be issued in compliance with section 106 of title
35, United States Code, as added by paragraph (1). Such regulations shall
apply to any disclaimer filed after a patent has issued. A disclaimer,
when filed, shall be considered for the purpose of determining the
validity of the patent under <external-xref legal-doc="usc" parsable-cite="usc/35/106">section 106</external-xref> of title 35, United States Code.</text>
</paragraph><paragraph commented="no" id="H240B7A84BB2241D1AEA2490C30E6F0C9"><enum>(3)</enum><header>Conforming amendment</header><text>The table of sections for <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/35/10">chapter 10</external-xref> of title 35, United States Code, is amended by adding at the
end the following new item:</text>
<quoted-block display-inline="no-display-inline" id="H254611C282634CEAB765784A1772B0CD" style="USC">
<toc regeneration="no-regeneration">
<toc-entry level="section">106. Prior art in cases of double patenting.</toc-entry></toc><after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph><paragraph commented="no" id="HB80183BCFED24A73983FCC1A3A66DCD3"><enum>(4)</enum><header>Exclusive rule</header><text display-inline="yes-display-inline">A patent subject to <external-xref legal-doc="usc" parsable-cite="usc/35/106">section 106</external-xref> of title 35, United States Code, as added by paragraph (1), shall
not be held invalid on any nonstatutory, double-patenting ground based on
a patent described in section 3(n)(1) of the Leahy-Smith America Invents
Act (<external-xref legal-doc="usc" parsable-cite="usc/35/100">35 U.S.C. 100</external-xref> note).</text>
</paragraph><paragraph commented="no" id="H5C3DF60EE31045B8BC762E6D54D9F97A"><enum>(5)</enum><header>Effective date</header><text display-inline="yes-display-inline">The amendments made by this subsection shall take effect upon the expiration of the 1-year period
beginning on the date of the enactment of this Act and shall apply to a
patent or patent application only if both the first and second patents
described in <external-xref legal-doc="usc" parsable-cite="usc/35/106">section 106</external-xref> of title 35, United States Code, as added by
paragraph (1), are patents or patent applications that are described in
section 3(n)(1) of the Leahy-Smith America Invents Act (35 U.S.C. 100
note).</text>
</paragraph></subsection><subsection id="H685E716E12704D318BD8A8B4E33D7C9D"><enum>(d)</enum><header>PTO patent reviews</header>
<paragraph id="H9737C923164D4D0ABFD68E789D566512"><enum>(1)</enum><header>Clarification</header>
<subparagraph id="H94E217B3DE0D4E98A7D827F018FE8B34"><enum>(A)</enum><header>Scope of prior art</header><text display-inline="yes-display-inline">Section 18(a)(1)(C)(i) of the Leahy-Smith America Invents Act (<external-xref legal-doc="usc" parsable-cite="usc/35/321">35 U.S.C. 321</external-xref> note) is amended by
striking <quote>section 102(a)</quote> and inserting <quote>subsection (a) or (e) of section 102</quote>.</text>
</subparagraph><subparagraph id="HF622E14A660C441295CEF8BA674CCB4D"><enum>(B)</enum><header>Effective date</header><text display-inline="yes-display-inline">The amendment made by subparagraph (A) shall take effect on the date of the enactment of this Act
and shall apply to any proceeding pending on, or filed on or after, such
date of enactment.</text>
</subparagraph></paragraph><paragraph commented="no" id="HE53BECB1A8CF40C680DF41B2A960E1FA"><enum>(2)</enum><header>Authority to waive fee</header><text display-inline="yes-display-inline">Subject to available resources, the Director may waive payment of a filing fee for a transitional
proceeding described under section 18(a) of the Leahy-Smith America
Invents Act (<external-xref legal-doc="usc" parsable-cite="usc/35/321">35 U.S.C. 321</external-xref> note).</text>
</paragraph></subsection><subsection id="H9288C6E73465409DBABE72DEEC2949D6"><enum>(e)</enum><header>Clarification of limits on patent term adjustment</header>
<paragraph id="H8B55F5F8E9844A128347F6BE9287CE89"><enum>(1)</enum><header>Amendments</header><text display-inline="yes-display-inline"><external-xref legal-doc="usc" parsable-cite="usc/35/154">Section 154(b)(1)(B)</external-xref> of title 35, United States Code, is amended—</text>
<subparagraph id="H1D452931D386445C90249EDE64ECFF86"><enum>(A)</enum><text>in the matter preceding clause (i), by striking <quote>not including—</quote> and inserting <quote>the term of the patent shall be extended 1 day for each day after the end of that 3-year period
until the patent is issued, not including—</quote>;</text>
</subparagraph><subparagraph id="H493572F36BF24B06BF28D65A7A2B8C1B"><enum>(B)</enum><text>in clause (i), by striking <quote>consumed by continued examination of the application requested by the applicant</quote> and inserting <quote>consumed after continued examination of the application is requested by the applicant</quote>;</text>
</subparagraph><subparagraph id="HF54712434A1F44D99BCA16CBC15F285C"><enum>(C)</enum><text>in clause (iii), by striking the comma at the end and inserting a period; and</text>
</subparagraph><subparagraph id="H050D125226CC460E94A22FF67BFA591F"><enum>(D)</enum><text>by striking the matter following clause (iii).</text>
</subparagraph></paragraph><paragraph id="H2AF31664B69B4AC58D64DFFE7C881626"><enum>(2)</enum><header>Effective date</header><text display-inline="yes-display-inline">The amendments made by this subsection shall take effect on the date of the enactment of this Act
and apply to any patent application that is pending on, or filed on or
after, such date of enactment.</text>
</paragraph></subsection><subsection id="HEC85BAF9644B4998837ADC9BC03495D1"><enum>(f)</enum><header>Clarification of jurisdiction</header>
<paragraph commented="no" id="HD9E9A0B056FE481DB13B24CB1D08AA06"><enum>(1)</enum><header>In general</header><text>The Federal interest in preventing inconsistent final judicial determinations as to the legal force
or effect of the claims in a patent presents a substantial Federal issue
that is important to the Federal system as a whole.</text>
</paragraph><paragraph commented="no" id="H218AEE4542884ECEB2208CABE010A620"><enum>(2)</enum><header>Applicability</header><text display-inline="yes-display-inline">Paragraph (1)—</text>
<subparagraph commented="no" id="H2324A65DD4E34648B7CE62888F573CEC"><enum>(A)</enum><text>shall apply to all cases filed on or after, or pending on, the date of the enactment of this Act;
and</text>
</subparagraph><subparagraph commented="no" id="H526044C707B34431AE3EDCC2FF35DE8A"><enum>(B)</enum><text>shall not apply to a case in which a Federal court has issued a ruling on whether the case or a
claim arises under any Act of Congress relating to patents or plant
variety protection before the date of the enactment of this Act.</text>
</subparagraph></paragraph></subsection><subsection commented="no" id="HEBBDCB35DD03473EAB0FFF8609DDF855"><enum>(g)</enum><header>Patent Pilot Program in Certain District Courts Duration</header>
<paragraph id="H90648365833B44C799EDF47E369E0D83"><enum>(1)</enum><header>Duration</header><text>Section 1(c) of <external-xref legal-doc="public-law" parsable-cite="pl/111/349">Public Law 111–349</external-xref> (124 Stat. 3674; <external-xref legal-doc="usc" parsable-cite="usc/28/137">28 U.S.C. 137</external-xref> note) is amended to read as
follows:</text>
<quoted-block display-inline="no-display-inline" id="H9193C0D8C3E448FC9F942C2E44701D68" style="OLC">
<subsection commented="no" id="H368231D530254CCB9DF4FA82C04CBCE4"><enum>(c)</enum><header>Duration</header><text display-inline="yes-display-inline">The program established under subsection (a) shall be maintained using existing resources, and
shall terminate 20 years after the end of the 6-month period described in
subsection (b).</text></subsection><after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph><paragraph id="H6CF46F09BF4E4AD79186598038FC2192"><enum>(2)</enum><header>Effective date</header><text>The amendment made by paragraph (1) shall take effect on the date of the enactment of this Act.</text>
</paragraph></subsection><subsection id="HD13A56EB906740A199E3563CA3C8D1C8"><enum>(h)</enum><header>Technical corrections</header>
<paragraph id="HA971664D27D74AE28614F6223ADE4A3B"><enum>(1)</enum><header>Novelty</header>
<subparagraph id="H51ED26240F194EFDAF88C3BE4CD6EDA9"><enum>(A)</enum><header>Amendment</header><text display-inline="yes-display-inline"><external-xref legal-doc="usc" parsable-cite="usc/35/102">Section 102(b)(1)(A)</external-xref> of title 35, United States Code, is amended by striking <quote>the inventor or joint inventor or by another</quote> and inserting <quote>the inventor or a joint inventor or another</quote>.</text>
</subparagraph><subparagraph commented="no" id="H18AF40564C7544B7B5C35BCE0A41C2FF"><enum>(B)</enum><header>Effective date</header><text display-inline="yes-display-inline">The amendment made by subparagraph (A) shall be effective as if included in the amendment made by
section 3(b)(1) of the Leahy-Smith America Invents Act (Public Law
112–29).</text>
</subparagraph></paragraph><paragraph id="H91F38A855C7B4A5EB8E2BA31D9CA1462"><enum>(2)</enum><header>Inventor’s oath or declaration</header>
<subparagraph id="HD4D25ACFED0D4567BD19B6D4C07F808D"><enum>(A)</enum><header>Amendment</header><text display-inline="yes-display-inline">The second sentence of <external-xref legal-doc="usc" parsable-cite="usc/35/115">section 115(a)</external-xref> of title 35, United States Code, is amended by striking <quote>shall execute</quote> and inserting <quote>may be required to execute</quote>.</text>
</subparagraph><subparagraph id="HCA15003327384E10A26EC5880F09B163"><enum>(B)</enum><header>Effective date</header><text display-inline="yes-display-inline">The amendment made by subparagraph (A) shall be effective as if included in the amendment made by
section 4(a)(1) of the Leahy-Smith America Invents Act (Public Law
112–29).</text>
</subparagraph></paragraph><paragraph id="H3A9F40D952244448AF4125FA01F2373C"><enum>(3)</enum><header>Assignee filers</header>
<subparagraph id="H2FFCAE5C080E4AE68A0EB8B7F65BC3DC"><enum>(A)</enum><header>Benefit of earlier filing date; right of priority</header><text display-inline="yes-display-inline"><external-xref legal-doc="usc" parsable-cite="usc/35/119">Section 119(e)(1)</external-xref> of title 35, United States Code, is amended, in the first sentence, by striking <quote>by an inventor or inventors named</quote> and inserting <quote>that names the inventor or a joint inventor</quote>.</text>
</subparagraph><subparagraph id="H92AAFF494DF84F9CAEE9E95791A5B3BA"><enum>(B)</enum><header>Benefit of earlier filing date in the United States</header><text display-inline="yes-display-inline"><external-xref legal-doc="usc" parsable-cite="usc/35/120">Section 120</external-xref> of title 35, United States Code, is amended, in the first sentence, by striking <quote>names an inventor or joint inventor</quote> and inserting <quote>names the inventor or a joint inventor</quote>.</text>
</subparagraph><subparagraph id="H0F88BE1D22C64CB4B21EF38A35B4818A"><enum>(C)</enum><header>Effective date</header><text>The amendments made by this paragraph shall take effect on the date of the enactment of this Act
and shall apply to any patent application, and any patent issuing from
such application, that is filed on or after September 16, 2012.</text>
</subparagraph></paragraph><paragraph id="HE142145692D54A8DB3F6F8FFE5BCB2F5"><enum>(4)</enum><header>Derived patents</header>
<subparagraph id="H7EE7926C525548A9997889EB2898C1FA"><enum>(A)</enum><header>Amendment</header><text><external-xref legal-doc="usc" parsable-cite="usc/35/291">Section 291(b)</external-xref> of title 35, United States Code, is amended by striking <quote>or joint inventor</quote> and inserting <quote>or a joint inventor</quote>.</text>
</subparagraph><subparagraph commented="no" id="H2F6C07DE208042A4AAF79B6CD35CA878"><enum>(B)</enum><header>Effective date</header><text display-inline="yes-display-inline">The amendment made by subparagraph (A) shall be effective as if included in the amendment made by
section 3(h)(1) of the Leahy-Smith America Invents Act (Public Law
112–29).</text>
</subparagraph></paragraph><paragraph id="H89433064040C47DEB61EDCA6B3E523A3"><enum>(5)</enum><header>Specification</header><text display-inline="yes-display-inline">Notwithstanding section 4(e) of the Leahy-Smith America Invents Act (<external-xref legal-doc="public-law" parsable-cite="pl/112/29">Public Law 112–29</external-xref>; 125 Stat.
297), the amendments made by subsections (c) and (d) of section 4 of such
Act shall apply to any proceeding or matter that is pending on, or filed
on or after, the date of the enactment of this Act.</text>
</paragraph><paragraph commented="no" id="HAAA27D60B05F473C987B297065555513"><enum>(6)</enum><header>Time limit for commencing misconduct proceedings</header>
<subparagraph commented="no" display-inline="no-display-inline" id="H81720D0134364D2A845A5A4D63D785B4"><enum>(A)</enum><header>Amendment</header><text display-inline="yes-display-inline">The fourth sentence of <external-xref legal-doc="usc" parsable-cite="usc/35/32">section 32</external-xref> of title 35, United States Code, is amended by striking <quote>1 year</quote> and inserting <quote>18 months</quote>.</text>
</subparagraph><subparagraph commented="no" id="HD5B73594C3D94F6DB03DCC7D278AD574"><enum>(B)</enum><header>Effective date</header><text>The amendment made by this paragraph shall take effect on the date of the enactment of this Act and
shall apply to any action in which the Office files a complaint on or
after such date of enactment.</text>
</subparagraph></paragraph><paragraph id="HB31FCC9F4AB246D18E8EB1B366AF3290"><enum>(7)</enum><header>Patent owner response</header>
<subparagraph commented="no" id="H1A9D90C9D6104D3EAC2E811D3189D69E"><enum>(A)</enum><header>Conduct of inter partes review</header><text display-inline="yes-display-inline">Paragraph (8) of <external-xref legal-doc="usc" parsable-cite="usc/35/316">section 316(a)</external-xref> of title 35, United States Code, is amended by striking <quote>the petition under section 313</quote> and inserting <quote>the petition under section 311</quote>.</text>
</subparagraph><subparagraph id="H3D96BEC658614C7A9102A714849D2F8A"><enum>(B)</enum><header>Conduct of post-grant review</header><text>Paragraph (8) of <external-xref legal-doc="usc" parsable-cite="usc/35/326">section 326(a)</external-xref> of title 35, United States Code, is amended by striking <quote>the petition under section 323</quote> and inserting <quote>the petition under section 321</quote>.</text>
</subparagraph><subparagraph id="H6863B86EEED64147A4AEF1098EEEE603"><enum>(C)</enum><header>Effective date</header><text>The amendments made by this paragraph shall take effect on the date of the enactment of this Act.</text>
</subparagraph></paragraph><paragraph id="H2A3AF5E0612A4B0DA6D1CE957B486CD2"><enum>(8)</enum><header>International applications</header>
<subparagraph id="H661A68121E374346A63DC48496F8C1C4"><enum>(A)</enum><header>Amendments</header><text>Section 202(b) of the Patent Law Treaties Implementation Act of 2012 (<external-xref legal-doc="public-law" parsable-cite="pl/112/211">Public Law 112–211</external-xref>; 126 Stat.
1536) is amended—</text>
<clause id="HA9054FD92E924C38839473EE2B6B5FDD"><enum>(i)</enum><text>by striking paragraph (7); and</text>
</clause><clause id="H9A0ECFD5DDD24B9BB39B5AF08DB04473"><enum>(ii)</enum><text>by redesignating paragraphs (8) and (9) as paragraphs (7) and (8), respectively.</text>
</clause></subparagraph><subparagraph id="H8314A0C06C854942B8290E7632679099"><enum>(B)</enum><header>Effective date</header><text display-inline="yes-display-inline">The amendments made by subparagraph (A) shall be effective as if included in title II of the Patent
Law Treaties Implementation Act of 2012 (<external-xref legal-doc="public-law" parsable-cite="pl/112/21">Public Law 112–21</external-xref>).</text>
</subparagraph></paragraph></subsection></section><section id="HE9E82C40BBB24BB6997ABF96B1057214"><enum>3309.</enum><header>Effective date</header><text display-inline="no-display-inline">Except as otherwise provided in this subtitle, the provisions of this subtitle shall take effect on
the date of the enactment of this Act, and shall apply to any patent
issued, or any action filed, on or after that date.</text>
</section></subtitle><subtitle id="HBB03046EECD24DB4886C774913F483C1"><enum>D</enum><header>Resolving Environmental and Grid Reliability Conflicts</header>
<section id="H43BC882C0E084D4ABE99A7CC0BB451B7"><enum>3401.</enum><header>Amendments to the Federal Power Act</header>
<subsection id="H9C47AD95B0084C36A6E1DE270E9D1BFD"><enum>(a)</enum><header>Compliance with or violation of environmental laws while under emergency order</header><text>Section 202(c) of the Federal Power Act (<external-xref legal-doc="usc" parsable-cite="usc/16/824a">16 U.S.C. 824a(c)</external-xref>) is amended—</text>
<paragraph id="H2D1D97BA012F42C9A6223E048C78059D"><enum>(1)</enum><text>by inserting <quote>(1)</quote> after <quote>(c)</quote>; and</text>
</paragraph><paragraph id="HC8CD462A1A2D4E2C8E2F0E828BA14D1F"><enum>(2)</enum><text>by adding at the end the following:</text>
<quoted-block id="HE74EDC8F5C774633979DBC62A0CF51CC" style="OLC">
<paragraph id="H299C04265FAB45D7AABDA2051CAF6841" indent="up1"><enum>(2)</enum><text>With respect to an order issued under this subsection that may result in a conflict with a
requirement of any Federal, State, or local environmental law or
regulation, the Commission shall ensure that such order requires
generation, delivery, interchange, or transmission of electric energy only
during hours necessary to meet the emergency and serve the public
interest, and, to the maximum extent practicable, is consistent with any
applicable Federal, State, or local environmental law or regulation and
minimizes any adverse environmental impacts.</text>
</paragraph><paragraph id="HB20A7C02A3A6443FB0A61C4BF91FB75C" indent="up1"><enum>(3)</enum><text>To the extent any omission or action taken by a party, that is necessary to comply with an order
issued under this subsection, including any omission or action taken to
voluntarily comply with such order, results in noncompliance with, or
causes such party to not comply with, any Federal, State, or local
environmental law or regulation, such omission or action shall not be
considered a violation of such environmental law or regulation, or subject
such party to any requirement, civil or criminal liability, or a citizen
suit under such environmental law or regulation.</text>
</paragraph><paragraph id="HCCC64783BCA64E55AEFBA00A24BCB53A" indent="up1"><enum>(4)</enum>
<subparagraph commented="no" display-inline="yes-display-inline" id="HF1E120FD2C48455D90D22B5DA0C2678D"><enum>(A)</enum><text>An order issued under this subsection that may result in a conflict with a requirement of any
Federal, State, or local environmental law or regulation shall expire not
later than 90 days after it is issued. The Commission may renew or reissue
such order pursuant to paragraphs (1) and (2) for subsequent periods, not
to exceed 90 days for each period, as the Commission determines necessary
to meet the emergency and serve the public interest.</text>
</subparagraph><subparagraph id="H7DF3CD32DDB949EE991744A80E226F91" indent="up1"><enum>(B)</enum><text display-inline="yes-display-inline">In renewing or reissuing an order under subparagraph (A), the Commission shall consult with the
primary Federal agency with expertise in the environmental interest
protected by such law or regulation, and shall include in any such renewed
or reissued order such conditions as such Federal agency determines
necessary to minimize any adverse environmental impacts to the maximum
extent practicable. The conditions, if any, submitted by such Federal
agency shall be made available to the public. The Commission may exclude
such a condition from the renewed or reissued order if it determines that
such condition would prevent the order from adequately addressing the
emergency necessitating such order and provides in the order, or otherwise
makes publicly available, an explanation of such determination.</text></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph></subsection><subsection id="H7007DD16A96C4929A5ACE5632B5D4064"><enum>(b)</enum><header>Temporary connection or construction by municipalities</header><text>Section 202(d) of the Federal Power Act (<external-xref legal-doc="usc" parsable-cite="usc/16/824a">16 U.S.C. 824a(d)</external-xref>) is amended by inserting <quote>or municipality</quote> before <quote>engaged in the transmission or sale of electric energy</quote>.</text>
</subsection></section></subtitle><enum>IV</enum><header>Preserving Access to Abundant and Affordable Sources of Energy</header>
<subtitle id="H059B2B4F850C4520BA55048B3EB6643B"><enum>A</enum><header>Northern Route Approval </header>
<section id="H3242E7817D73468D8A608EA57CDFB982"><enum>4101.</enum><header>Findings</header><text display-inline="no-display-inline">The Congress finds the following:</text>
<paragraph id="H279A09B0B4FC455CB6E0AA0E6C6A46B9"><enum>(1)</enum><text display-inline="yes-display-inline">To maintain our Nation’s competitive edge and ensure an economy built to last, the United States
must have fast, reliable, resilient, and environmentally sound means of
moving energy. In a global economy, we will compete for the world’s
investments based in significant part on the quality of our
infrastructure. Investing in the Nation’s infrastructure provides
immediate and long-term economic benefits for local communities and the
Nation as a whole.</text>
</paragraph><paragraph id="HA49CC429A50A4BB3B863AD6F3C9BF851"><enum>(2)</enum><text>The delivery of oil from Canada, a close ally not only in proximity but in shared values and
ideals, to domestic markets is in the national interest because of the
need to lessen dependence upon insecure foreign sources.</text>
</paragraph><paragraph id="H7DA28C6205A64CF3B2197F9625B0155E"><enum>(3)</enum><text display-inline="yes-display-inline">The Keystone XL pipeline would provide both short-term and long-term employment opportunities and
related labor income benefits, such as government revenues associated with
taxes.</text>
</paragraph><paragraph id="H266E36AE07FB4C91BCDEA328870F6C96"><enum>(4)</enum><text display-inline="yes-display-inline">The State of Nebraska has thoroughly reviewed and approved the proposed Keystone XL pipeline
reroute, concluding that the concerns of Nebraskans have had a major
influence on the pipeline reroute and that the reroute will have minimal
environmental impacts.</text>
</paragraph><paragraph id="HC644FD5CBD164791B4685FB3DA3E3A49"><enum>(5)</enum><text>The Department of State and other Federal agencies have over a long period of time conducted
extensive studies and analysis of the technical aspects and of the
environmental, social, and economic impacts of the proposed Keystone XL
pipeline, and—</text>
<subparagraph id="H34CABE3CFB0043D7A16892452F8D6F8A"><enum>(A)</enum><text display-inline="yes-display-inline">the Department of State assessments found that the Keystone XL pipeline <quote>is not likely to impact the amount of crude oil produced from the oil sands</quote> and that <quote>approval or denial of the proposed project is unlikely to have a substantial impact on the rate of
development in the oil sands</quote>;</text>
</subparagraph><subparagraph id="HFA55A1E6C7EA409EB32BE28923898F2C"><enum>(B)</enum><text>the Department of State found that incremental life-cycle greenhouse gas emissions associated with
the Keystone XL project are estimated in the range of 0.07 to 0.83 million
metric tons of carbon dioxide equivalents, with the upper end of this
range representing twelve one-thousandths of one percent of the 6,702
million metric tons of carbon dioxide emitted in the United States in
2011; and</text>
</subparagraph><subparagraph id="H9AD9E4CB22694C54994E411B46549365"><enum>(C)</enum><text>after extensive evaluation of potential impacts to land and water resources along the Keystone XL
pipeline’s 875 mile proposed route, the Department of State found that <quote>The analyses of potential impacts associated with construction and normal operation of the proposed
Project suggest that there would be no significant impacts to most
resources along the proposed Project route (assuming Keystone complies
with all laws and required conditions and measures).</quote>.</text>
</subparagraph></paragraph><paragraph id="H5DC5109613B04701990B2A4D7F97916F"><enum>(6)</enum><text>The transportation of oil via pipeline is the safest and most economically and environmentally
effective means of doing so, and—</text>
<subparagraph id="H6E2974D5C41E4E8D9065CB5187439320"><enum>(A)</enum><text display-inline="yes-display-inline">transportation of oil via pipeline has a record of unmatched safety and environmental protection,
and the Department of State found that <quote>Spills associated with the proposed Project that enter the environment expected to be rare and
relatively small</quote>, and that <quote>there is no evidence of increased corrosion or other pipeline threat due to viscosity</quote> of diluted bitumen oil that will be transported by the Keystone XL pipeline; and</text>
</subparagraph><subparagraph id="H48F317F93C724123ACDD6FA1FBCB85E0"><enum>(B)</enum><text>plans to incorporate 57 project-specific special conditions related to the design, construction,
and operations of the Keystone XL pipeline led the Department of State to
find that the pipeline will have <quote>a degree of safety over any other typically constructed domestic oil pipeline</quote>.</text>
</subparagraph></paragraph><paragraph id="H7D666B6B69D749239A069BB76AB0E4E4"><enum>(7)</enum><text display-inline="yes-display-inline">The Keystone XL is in much the same position today as the Alaska Pipeline in 1973 prior to
congressional action. Once again, the Federal regulatory process remains
an insurmountable obstacle to a project that is likely to reduce oil
imports from insecure foreign sources.</text>
</paragraph></section><section id="H4124045E139E48C9B43ADF5F246A318D"><enum>4102.</enum><header>Keystone XL permit approval</header><text display-inline="no-display-inline">Notwithstanding Executive Order No. 13337 (<external-xref legal-doc="usc" parsable-cite="usc/3/301">3 U.S.C. 301</external-xref> note), Executive Order No. 11423 (3 U.S.C.
301 note), <external-xref legal-doc="usc" parsable-cite="usc/3/301">section 301</external-xref> of title 3, United States Code, and any other
Executive order or provision of law, no Presidential permit shall be
required for the pipeline described in the application filed on May 4,
2012, by TransCanada Keystone Pipeline, L.P. to the Department of State
for the Keystone XL pipeline, as supplemented to include the Nebraska
reroute evaluated in the Final Evaluation Report issued by the Nebraska
Department of Environmental Quality in January 2013 and approved by the
Nebraska governor. The final environmental impact statement issued by the
Secretary of State on August 26, 2011, coupled with the Final Evaluation
Report described in the previous sentence, shall be considered to satisfy
all requirements of the National Environmental Policy Act of 1969 (42
U.S.C. 4321 et seq.) and of the National Historic Preservation Act (16
U.S.C. 470 et seq.).</text>
</section><section id="HA21A979DA39C41C4AD6E15B377ED2703"><enum>4103.</enum><header>Judicial review</header>
<subsection id="HCFA80C8DD3974263B882FE8C55F80176"><enum>(a)</enum><header>Exclusive jurisdiction</header><text display-inline="yes-display-inline">Except for review by the Supreme Court on writ of certiorari, the United States Court of Appeals
for the District of Columbia Circuit shall have original and exclusive
jurisdiction to determine—</text>
<paragraph id="HBCB09B4AD466477D845EF83C367D5515"><enum>(1)</enum><text display-inline="yes-display-inline">the validity of any final order or action (including a failure to act) of any Federal agency or
officer with respect to issuance of a permit relating to the construction
or maintenance of the Keystone XL pipeline, including any final order or
action deemed to be taken, made, granted, or issued;</text>
</paragraph><paragraph id="H94400AE2CD5040A99D6DB617C8F3FC4E"><enum>(2)</enum><text display-inline="yes-display-inline">the constitutionality of any provision of this subtitle, or any decision or action taken, made,
granted, or issued, or deemed to be taken, made, granted, or issued under
this subtitle; or</text>
</paragraph><paragraph id="H711829291AC4459CA231BD73B58341E5"><enum>(3)</enum><text display-inline="yes-display-inline">the adequacy of any environmental impact statement prepared under the National Environmental Policy
Act of 1969 (<external-xref legal-doc="usc" parsable-cite="usc/42/4321">42 U.S.C. 4321 et seq.</external-xref>), or of any analysis under any other
Act, with respect to any action taken, made, granted, or issued, or deemed
to be taken, made, granted, or issued under this subtitle.</text>
</paragraph></subsection><subsection id="H0C9F034879B545A4B3FF2A51438A6A68"><enum>(b)</enum><header>Deadline for filing claim</header><text display-inline="yes-display-inline">A claim arising under this subtitle may be brought not later than 60 days after the date of the
decision or action giving rise to the claim.</text>
</subsection><subsection id="H4211C5901BA74F41AA30A1E334972618"><enum>(c)</enum><header>Expedited consideration</header><text display-inline="yes-display-inline">The United States Court of Appeals for the District of Columbia Circuit shall set any action
brought under subsection (a) for expedited consideration, taking into
account the national interest of enhancing national energy security by
providing access to the significant oil reserves in Canada that are needed
to meet the demand for oil.</text>
</subsection></section><section display-inline="no-display-inline" id="HF7ACA499865741568CF0E632C0F6F695" section-type="subsequent-section"><enum>4104.</enum><header>American burying beetle</header>
<subsection id="HEEC7FCC1FCC945329E3356BBF77FBCFE"><enum>(a)</enum><header>Findings</header><text display-inline="yes-display-inline">The Congress finds that—</text>
<paragraph id="H2EA06D6260984878B21F152F14FEF1DF"><enum>(1)</enum><text>environmental reviews performed for the Keystone XL pipeline project satisfy the requirements of
section 7 of the Endangered Species Act of 1973 (<external-xref legal-doc="usc" parsable-cite="usc/16/1536">16 U.S.C. 1536(a)(2)</external-xref>) in
its entirety; and</text>
</paragraph><paragraph id="H3A62C4C3D3EE48099F1EEED1614D5979"><enum>(2)</enum><text display-inline="yes-display-inline">for purposes of that Act, the Keystone XL pipeline project will not jeopardize the continued
existence of the American burying beetle or destroy or adversely modify
American burying beetle critical habitat.</text>
</paragraph></subsection><subsection id="H5B27F4A57D664BCD8756813FE4573813"><enum>(b)</enum><header>Biological opinion</header><text display-inline="yes-display-inline">The Secretary of the Interior is deemed to have issued a written statement setting forth the
Secretary’s opinion containing such findings under section 7(b)(1)(A) of
the Endangered Species Act of 1973 (<external-xref legal-doc="usc" parsable-cite="usc/16/1536">16 U.S.C. 1536(b)(1)(A)</external-xref>) and any
taking of the American burying beetle that is incidental to the
construction or operation and maintenance of the Keystone XL pipeline as
it may be ultimately defined in its entirety, shall not be considered a
prohibited taking of such species under such Act.</text>
</subsection></section><section id="HCAF89278A05A4930BA4E38F0000901F9"><enum>4105.</enum><header>Right-of-way and temporary use permit</header><text display-inline="no-display-inline">The Secretary of the Interior is deemed to have granted or issued a grant of right-of-way and
temporary use permit under section 28 of the Mineral Leasing Act (30
U.S.C. 185) and the Federal Land Policy and Management Act of 1976 (43
U.S.C. 1701 et seq.), as set forth in the application tendered to the
Bureau of Land Management for the Keystone XL pipeline.</text>
</section><section display-inline="no-display-inline" id="H499EEC7322FF4DA1A3304816182C60E0"><enum>4106.</enum><header>Permits for activities in navigable waters</header>
<subsection id="H58382CA2A1534516877975E01FA5C8F3"><enum>(a)</enum><header>Issuance of permits</header><text>The Secretary of the Army, not later than 90 days after receipt of an application therefor, shall
issue all permits under section 404 of the Federal Water Pollution Control
Act (<external-xref legal-doc="usc" parsable-cite="usc/33/1344">33 U.S.C. 1344</external-xref>) and section 10 of the Act of March 3, 1899 (33 U.S.C.
403; commonly known as the Rivers and Harbors Appropriations Act of 1899),
necessary for the construction, operation, and maintenance of the pipeline
described in the May 4, 2012, application referred to in section 4103, as
supplemented by the Nebraska reroute. The application shall be based on
the administrative record for the pipeline as of the date of enactment of
this Act, which shall be considered complete.</text>
</subsection><subsection id="H5159E6897734498CBD18CB56E458933C"><enum>(b)</enum><header>Waiver of procedural requirements</header><text>The Secretary may waive any procedural requirement of law or regulation that the Secretary
considers desirable to waive in order to accomplish the purposes of this
section.</text>
</subsection><subsection id="HAA884254AF2441ECA2FBC22FF6928A63"><enum>(c)</enum><header>Issuance in absence of action by the Secretary</header><text>If the Secretary has not issued a permit described in subsection (a) on or before the last day of
the 90-day period referred to in subsection (a), the permit shall be
deemed issued under section 404 of the Federal Water Pollution Control Act
(<external-xref legal-doc="usc" parsable-cite="usc/33/1344">33 U.S.C. 1344</external-xref>) or section 10 of the Act of March 3, 1899 (33 U.S.C.
403), as appropriate, on the day following such last day.</text>
</subsection><subsection id="H67CE5274E5A843A5AB7221B29F2EB728"><enum>(d)</enum><header>Limitation</header><text>The Administrator of the Environmental Protection Agency may not prohibit or restrict an activity
or use of an area that is authorized under this section.</text>
</subsection></section><section id="HCB1D68F3783A4BC6882D957BFCE350EE"><enum>4107.</enum><header>Migratory Bird Treaty Act permit</header><text display-inline="no-display-inline">The Secretary of the Interior is deemed to have issued a special purpose permit under the Migratory
Bird Treaty Act (<external-xref legal-doc="usc" parsable-cite="usc/16/703">16 U.S.C. 703 et seq.</external-xref>), as described in the application
filed with the United States Fish and Wildlife Service for the Keystone XL
pipeline on January 11, 2013.</text>
</section><section id="HB6717114AB794A249D797993E6006848"><enum>4108.</enum><header>Oil spill response plan disclosure</header>
<subsection id="HB0665440DB5448EF829D1E8078025D6A"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">Any pipeline owner or operator required under Federal law to develop an oil spill response plan for
the Keystone XL pipeline shall make such plan available to the Governor of
each State in which such pipeline operates to assist with emergency
response preparedness.</text>
</subsection><subsection id="H1125183B045D4EE0B3D4DA85329D0EE7"><enum>(b)</enum><header>Updates</header><text display-inline="yes-display-inline">A pipeline owner or operator required to make available to a Governor a plan under subsection (a)
shall make available to such Governor any update of such plan not later
than 7 days after the date on which such update is made.</text>
</subsection></section></subtitle><subtitle id="HD53B56C98973415788E633C580FC865D"><enum>B</enum><header>Natural Gas Pipeline Permitting Reform</header>
<section id="H35CE098E29F04B3698564DDF204D9C7C"><enum>4201.</enum><header>Regulatory approval of natural gas pipeline projects</header><text display-inline="no-display-inline">Section 7 of the Natural Gas Act (<external-xref legal-doc="usc" parsable-cite="usc/15/717f">15 U.S.C. 717f</external-xref>) is amended by adding at the end the following new
subsection:</text>
<quoted-block display-inline="no-display-inline" id="HB3B1C3950E8D48B18284FF4F68AB5117" style="traditional">
<subsection id="H80E63227F08B490190514FC09E0B7886"><enum>(i)</enum>
<paragraph commented="no" display-inline="yes-display-inline" id="H9F87A9D9E48F4637B756FF4984A24530"><enum>(1)</enum><text display-inline="yes-display-inline">The Commission shall approve or deny an application for a certificate of public convenience and
necessity for a prefiled project not later than 12 months after receiving
a complete application that is ready to be processed, as defined by the
Commission by regulation.</text>
</paragraph><paragraph id="HCB702834B9CE4FE99435D55D6D25620B" indent="up1"><enum>(2)</enum><text>The agency responsible for issuing any license, permit, or approval required under Federal law in
connection with a prefiled project for which a certificate of public
convenience and necessity is sought under this Act shall approve or deny
the issuance of the license, permit, or approval not later than 90 days
after the Commission issues its final environmental document relating to
the project.</text>
</paragraph><paragraph id="HD7A7B09C13EB490A96D0C20193DFE203" indent="up1"><enum>(3)</enum><text display-inline="yes-display-inline">The Commission may extend the time period under paragraph (2) by 30 days if an agency demonstrates
that it cannot otherwise complete the process required to approve or deny
the license, permit, or approval, and therefor will be compelled to deny
the license, permit, or approval. In granting an extension under this
paragraph, the Commission may offer technical assistance to the agency as
necessary to address conditions preventing the completion of the review of
the application for the license, permit, or approval.</text>
</paragraph><paragraph id="HA5BBA9A068D54E878CD199867FD90B08" indent="up1"><enum>(4)</enum><text display-inline="yes-display-inline">If an agency described in paragraph (2) does not approve or deny the issuance of the license,
permit, or approval within the time period specified under paragraph (2)
or (3), as applicable, such license, permit, or approval shall take effect
upon the expiration of 30 days after the end of such period. The
Commission shall incorporate into the terms of such license, permit, or
approval any conditions proffered by the agency described in paragraph (2)
that the Commission does not find are inconsistent with the final
environmental document.</text>
</paragraph><paragraph id="H5C3CDBA9B8434B1BB1555E21ABF22060" indent="up1"><enum>(5)</enum><text display-inline="yes-display-inline">For purposes of this subsection, the term <term>prefiled project</term> means a project for the siting, construction, expansion, or operation of a natural gas pipeline
with respect to which a prefiling docket number has been assigned by the
Commission pursuant to a prefiling process established by the Commission
for the purpose of facilitating the formal application process for
obtaining a certificate of public convenience and necessity.</text></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block>
</section></subtitle><subtitle id="H2191B7E42443445B9BA1C99FE78F7E9E"><enum>C</enum><header>North American Energy Infrastructure</header>
<section commented="no" id="H96916228FBC74B84ACD61E4F12EAC155"><enum>4301.</enum><header>Finding</header><text display-inline="no-display-inline">Congress finds that the United States should establish a more uniform, transparent, and modern
process for the construction, connection, operation, and maintenance of
oil and natural gas pipelines and electric transmission facilities for the
import and export of oil and natural gas and the transmission of
electricity to and from Canada and Mexico, in pursuit of a more secure and
efficient North American energy market.</text>
</section><section id="HD4C64C29C1424147830D0E9D973142E5"><enum>4302.</enum><header>Authorization of certain energy infrastructure projects at the national boundary of the United
States</header>
<subsection id="H2BC7A73200ED47DEAEB954E9507B1694"><enum>(a)</enum><header>Authorization</header><text display-inline="yes-display-inline">Except as provided in subsection (c) and section 4306, no person may construct, connect, operate,
or maintain a cross-border segment of an oil pipeline or electric
transmission facility for the import or export of oil or the transmission
of electricity to or from Canada or Mexico without obtaining a certificate
of crossing for the construction, connection, operation, or maintenance of
the cross-border segment under this section.</text>
</subsection><subsection commented="no" id="H170581CFC94D4DE9BAE9C3F5FC17E233"><enum>(b)</enum><header>Certificate of crossing</header>
<paragraph id="H695BC6B68B9941CF8BAEC8775E593BA7"><enum>(1)</enum><header>Requirement</header><text display-inline="yes-display-inline">Not later than 120 days after final action is taken under the National Environmental Policy Act of
1969 (<external-xref legal-doc="usc" parsable-cite="usc/42/4321">42 U.S.C. 4321 et seq.</external-xref>) with respect to a cross-border segment for
which a request is received under this section, the relevant official
identified under paragraph (2), in consultation with appropriate Federal
agencies, shall issue a certificate of crossing for the cross-border
segment unless the relevant official finds that the construction,
connection, operation, or maintenance of the cross-border segment is not
in the public interest of the United States.</text>
</paragraph><paragraph id="H4F5AE25CB6BE405F9A5F937058C7EC12"><enum>(2)</enum><header>Relevant official</header><text>The relevant official referred to in paragraph (1) is—</text>
<subparagraph id="HCAAB02F991AD4FBE84D8A629C636227F"><enum>(A)</enum><text display-inline="yes-display-inline">the Secretary of State with respect to oil pipelines; and</text>
</subparagraph><subparagraph id="H8EB46DA31FC346A0AAD6020AE36FECE1"><enum>(B)</enum><text>the Secretary of Energy with respect to electric transmission facilities.</text>
</subparagraph></paragraph><paragraph id="HD7C4DAC0CBAE4A5C9EF64412D2F9BE3B"><enum>(3)</enum><header>Additional requirement for electric transmission facilities</header><text display-inline="yes-display-inline">In the case of a request for a certificate of crossing for the construction, connection, operation,
or maintenance of a cross-border segment of an electric transmission
facility, the Secretary of Energy shall require, as a condition of issuing
the certificate of crossing for the request under paragraph (1), that the
cross-border segment of the electric transmission facility be constructed,
connected, operated, or maintained consistent with all applicable policies
and standards of—</text>
<subparagraph id="HFF40CB7AD0714308AD5B052343E02427"><enum>(A)</enum><text>the Electric Reliability Organization and the applicable regional entity; and</text>
</subparagraph><subparagraph commented="no" id="HBC0722FA6862403995728B298873DFE9"><enum>(B)</enum><text display-inline="yes-display-inline">any Regional Transmission Organization or Independent System Operator with operational or
functional control over the cross-border segment of the electric
transmission facility.</text>
</subparagraph></paragraph></subsection><subsection id="H35D2D6303C9545D39E66FF8D62F98E54"><enum>(c)</enum><header>Exclusions</header><text display-inline="yes-display-inline">This section shall not apply to any construction, connection, operation, or maintenance of a
cross-border segment of an oil pipeline or electric transmission facility
for the import or export of oil or the transmission of electricity to or
from Canada or Mexico—</text>
<paragraph id="H8292C418E2894C7E9FF2FCD01B100ACC"><enum>(1)</enum><text display-inline="yes-display-inline">if the cross-border segment is operating for such import, export, or transmission as of the date of
enactment of this Act;</text>
</paragraph><paragraph id="H54A149D1CA344119AC1FA4A5515EBAFE"><enum>(2)</enum><text>if a permit described in section 4305 for such construction, connection, operation, or maintenance
has been issued;</text>
</paragraph><paragraph id="H50121FED82B74A6EB5CCECE257932884"><enum>(3)</enum><text display-inline="yes-display-inline">if a certificate of crossing for such construction, connection, operation, or maintenance has
previously been issued under this section; or</text>
</paragraph><paragraph commented="no" id="H7D6C721FF9374AD1A87E9B3D299AA3FE"><enum>(4)</enum><text display-inline="yes-display-inline">if an application for a permit described in section 4305 for such construction, connection,
operation, or maintenance is pending on the date of enactment of this Act,
until the earlier of—</text>
<subparagraph commented="no" id="H2FD04E2DBB724467AC35904BA19C299B"><enum>(A)</enum><text>the date on which such application is denied; or</text>
</subparagraph><subparagraph commented="no" id="H1E6A09F5CEDE4245AC05CBEFC8B07402"><enum>(B)</enum><text>July 1, 2016.</text>
</subparagraph></paragraph></subsection><subsection id="H88F6DE7ED0564006A448EDB3F32FE7EB"><enum>(d)</enum><header>Effect of other laws</header>
<paragraph id="HB88CADCB73F24468B36A8891E622FB6A"><enum>(1)</enum><header>Application to projects</header><text>Nothing in this section or section 4306 shall affect the application of any other Federal statute
to a project for which a certificate of crossing for the construction,
connection, operation, or maintenance of a cross-border segment is sought
under this section.</text>
</paragraph><paragraph id="HBE468A77D3A74FE0BCECD932A6AE5A43"><enum>(2)</enum><header>Natural Gas Act</header><text>Nothing in this section or section 4306 shall affect the requirement to obtain approval or
authorization under sections 3 and 7 of the Natural Gas Act for the
siting, construction, or operation of any facility to import or export
natural gas.</text>
</paragraph><paragraph id="HFF93F57581774DF693EF4CE62EB4DBCF"><enum>(3)</enum><header>Energy Policy and Conservation Act</header><text>Nothing in this section or section 4306 shall affect the authority of the President under section
103(a) of the Energy Policy and Conservation Act.</text>
</paragraph></subsection></section><section id="HB2384F1F6C494E9EB64CA2A51EEF851E"><enum>4303.</enum><header>Importation or exportation of natural gas to Canada and Mexico</header><text display-inline="no-display-inline">Section 3(c) of the Natural Gas Act (<external-xref legal-doc="usc" parsable-cite="usc/15/717b">15 U.S.C. 717b(c)</external-xref>) is amended by adding at the end the
following: <quote>No order is required under subsection (a) to authorize the export or import of any natural gas to
or from Canada or Mexico.</quote>.</text>
</section><section id="HA87039A4DBFC46A29E1A198041E9C77F"><enum>4304.</enum><header>Transmission of electric energy to Canada and Mexico</header>
<subsection id="H494A1866AE484F40B779DD62EA68AA84"><enum>(a)</enum><header>Repeal of requirement To secure order</header><text display-inline="yes-display-inline">Section 202(e) of the Federal Power Act (<external-xref legal-doc="usc" parsable-cite="usc/16/824a">16 U.S.C. 824a(e)</external-xref>) is repealed.</text>
</subsection><subsection id="H539E8A1E057846B79C9DB6B3A8F090C9"><enum>(b)</enum><header>Conforming amendments</header>
<paragraph id="H65ACD9290E6E4D75AD3FD5F044313C3D"><enum>(1)</enum><header>State regulations</header><text>Section 202(f) of the Federal Power Act (<external-xref legal-doc="usc" parsable-cite="usc/16/824a">16 U.S.C. 824a(f)</external-xref>) is amended by striking <quote>insofar as such State regulation does not conflict with the exercise of the Commission’s powers
under or relating to subsection 202(e)</quote>.</text>
</paragraph><paragraph id="HAD70F219C2C545708736A86CC591F6B1"><enum>(2)</enum><header>Seasonal diversity electricity exchange</header><text display-inline="yes-display-inline">Section 602(b) of the Public Utility Regulatory Policies Act of 1978 (<external-xref legal-doc="usc" parsable-cite="usc/16/824a-4">16 U.S.C. 824a–4(b)</external-xref>) is
amended by striking <quote>the Commission has conducted hearings and made the findings required under section 202(e) of the
Federal Power Act</quote> and all that follows through the period at the end and inserting <quote>the Secretary has conducted hearings and finds that the proposed transmission facilities would not
impair the sufficiency of electric supply within the United States or
would not impede or tend to impede the coordination in the public interest
of facilities subject to the jurisdiction of the Secretary.</quote>.</text>
</paragraph></subsection></section><section id="H19C981EC8D6F4787B5DE5BB036860E84"><enum>4305.</enum><header>No Presidential permit required</header><text display-inline="no-display-inline">No Presidential permit (or similar permit) required under Executive Order No. 13337 (3 U.S.C. 301
note), Executive Order No. 11423 (<external-xref legal-doc="usc" parsable-cite="usc/3/301">3 U.S.C. 301</external-xref> note), section 301 of title
3, United States Code, Executive Order No. 12038, Executive Order No.
10485, or any other Executive order shall be necessary for the
construction, connection, operation, or maintenance of an oil or natural
gas pipeline or electric transmission facility, or any cross-border
segment thereof.</text>
</section><section id="H7F3E516A771D4B50910FEDB482029759"><enum>4306.</enum><header>Modifications to existing projects</header><text display-inline="no-display-inline">No certificate of crossing under section 4302, or permit described in section 4305, shall be
required for a modification to the construction, connection, operation, or
maintenance of an oil or natural gas pipeline or electric transmission
facility—</text>
<paragraph id="H2D1C925B8AD945A48AE99DA9194CC97F"><enum>(1)</enum><text>that is operating for the import or export of oil or natural gas or the transmission of electricity
to or from Canada or Mexico as of the date of enactment of the Act;</text>
</paragraph><paragraph id="H7E66695CEB8447018B9826F0B1F5E2C2"><enum>(2)</enum><text display-inline="yes-display-inline">for which a permit described in section 4305 for such construction, connection, operation, or
maintenance has been issued; or</text>
</paragraph><paragraph id="H1BBEC8C178AF4BCAAAD01A4F21E494C4"><enum>(3)</enum><text display-inline="yes-display-inline">for which a certificate of crossing for the cross-border segment of the pipeline or facility has
previously been issued under section 4302.</text>
</paragraph></section><section id="H897FB36D48E9402BACE09C6CB1C36587"><enum>4307.</enum><header>Effective date; rulemaking deadlines</header>
<subsection id="HB8A824F0B9F64AEEBB0240714CAF91C8"><enum>(a)</enum><header>Effective date</header><text display-inline="yes-display-inline">Sections 4302 through 4306, and the amendments made by such sections, shall take effect on July 1,
2015.</text>
</subsection><subsection id="H6D6CCE7A8B9A43099759327CFC2943A0"><enum>(b)</enum><header>Rulemaking deadlines</header><text>Each relevant official described in section 4302(b)(2) shall—</text>
<paragraph id="HACCFDF6EB40944C4A1592E2E2392C9A3"><enum>(1)</enum><text>not later than 180 days after the date of enactment of this Act, publish in the Federal Register
notice of a proposed rulemaking to carry out the applicable requirements
of section 4302; and</text>
</paragraph><paragraph id="H0A8702AA1B5D419785162284027D8242"><enum>(2)</enum><text display-inline="yes-display-inline">not later than 1 year after the date of enactment of this Act, publish in the Federal Register a
final rule to carry out the applicable requirements of section 4302.</text>
</paragraph></subsection></section><section id="H8EAE45BAFABB4CCE813C2335337A1C67"><enum>4308.</enum><header>Definitions</header><text display-inline="no-display-inline">In this subtitle—</text>
<paragraph commented="no" id="H41BBE7F1DC4242AD895C06B4BC9126FD"><enum>(1)</enum><text>the term <term>cross-border segment</term> means the portion of an oil or natural gas pipeline or electric transmission facility that is
located at the national boundary of the United States with either Canada
or Mexico;</text>
</paragraph><paragraph id="H7A2E7748F645479EB60F4E12D4F9D3C8"><enum>(2)</enum><text>the term <term>modification</term> includes a reversal of flow direction, change in ownership, volume expansion, downstream or
upstream interconnection, or adjustment to maintain flow (such as a
reduction or increase in the number of pump or compressor stations);</text>
</paragraph><paragraph id="HD183EEF5D0D54C7691CB555DAACF9D0E"><enum>(3)</enum><text>the term <term>natural gas</term> has the meaning given that term in section 2 of the Natural Gas Act (<external-xref legal-doc="usc" parsable-cite="usc/15/717a">15 U.S.C. 717a</external-xref>);</text>
</paragraph><paragraph id="H7FAD36A7778E47DCAB3F270C2CF75903"><enum>(4)</enum><text>the term <term>oil</term> means petroleum or a petroleum product;</text>
</paragraph><paragraph commented="no" id="H00763DD6E75B468DB0FA45840FFB1680"><enum>(5)</enum><text>the terms <term>Electric Reliability Organization</term> and <term>regional entity</term> have the meanings given those terms in section 215 of the Federal Power Act (<external-xref legal-doc="usc" parsable-cite="usc/16/824o">16 U.S.C. 824o</external-xref>); and</text>
</paragraph><paragraph commented="no" id="H8EFC9C6B983C4A45A3C57DE7268E7C9B"><enum>(6)</enum><text>the terms <term>Independent System Operator</term> and <term>Regional Transmission Organization</term> have the meanings given those terms in section 3 of the Federal Power Act (<external-xref legal-doc="usc" parsable-cite="usc/16/796">16 U.S.C. 796</external-xref>).</text>
</paragraph></section></subtitle><subtitle id="HC4761555DA2F4809BFB5647FC13AF09D"><enum>D</enum><header>Protecting States’ Rights To Promote American Energy Security Act</header>
<chapter id="H3D73209840E04C42963B83FA9885123A"><enum>1</enum><header>State Authority for Hydraulic Fracturing Regulation</header>
<section id="HC64909BE02F745E4AEE122F8D7D5B1D1"><enum>4411.</enum><header>State authority for hydraulic fracturing regulation</header><text display-inline="no-display-inline">The Mineral Leasing Act (<external-xref legal-doc="usc" parsable-cite="usc/30/181">30 U.S.C. 181 et seq.</external-xref>) is amended by redesignating section 44 as section
45, and by inserting after section 43 the following:</text>
<quoted-block display-inline="no-display-inline" id="HC223A151CBB14CA5BE529CDDC469FDAE" style="OLC">
<section id="HA3B578BF93504DD28AD5B48770F15CFB"><enum>44.</enum><header>State authority for hydraulic fracturing regulation</header>
<subsection id="HA2150BD82AC0420594C3B14A5DAF9AE8"><enum>(a)</enum><header>In general</header><text>The Department of the Interior shall not enforce any Federal regulation, guidance, or permit
requirement regarding hydraulic fracturing, or any component of that
process, relating to oil, gas, or geothermal production activities on or
under any land in any State that has regulations, guidance, or permit
requirements for that activity.</text>
</subsection><subsection id="HDF9B1579F00840CFB7B99AF79EA80AF2"><enum>(b)</enum><header>State authority</header><text>The Department of the Interior shall recognize and defer to State regulations, permitting, and
guidance, for all activities related to hydraulic fracturing, or any
component of that process, relating to oil, gas, or geothermal production
activities on Federal land.</text>
</subsection><subsection id="H6CC316E6FE824B3892A34547EA087600"><enum>(c)</enum><header>Transparency of State regulations</header>
<paragraph id="HD81B8E359D5A4A34A6E18AD6FB2D609E"><enum>(1)</enum><header>In general</header><text>Each State shall submit to the Bureau of Land Management a copy of its regulations that apply to
hydraulic fracturing operations on Federal land.</text>
</paragraph><paragraph id="H773A186B0A154BCE936FD575D2C2CDC9"><enum>(2)</enum><header>Availability</header><text>The Secretary of the Interior shall make available to the public State regulations submitted under
this subsection.</text>
</paragraph></subsection><subsection id="H6E38E0C5EB34433782E8AA3C6A3CE0E7"><enum>(d)</enum><header>Transparency of State disclosure requirements</header>
<paragraph id="H3B2296F02C724A72B2254E98C4619F08"><enum>(1)</enum><header>In general</header><text>Each State shall submit to the Bureau of Land Management a copy of any regulations of the State
that require disclosure of chemicals used in hydraulic fracturing
operations on Federal land.</text>
</paragraph><paragraph id="H7DA782E9ECD4435FA34FBB0DC2BC820C"><enum>(2)</enum><header>Availability</header><text>The Secretary of the Interior shall make available to the public State regulations submitted under
this subsection.</text>
</paragraph></subsection><subsection id="H57895B3648AE4F47B256AE12445371AD"><enum>(e)</enum><header>Hydraulic fracturing defined</header><text display-inline="yes-display-inline">In this section the term <term>hydraulic fracturing</term> means the process by which fracturing fluids (or a fracturing fluid system) are pumped into an
underground geologic formation at a calculated, predetermined rate and
pressure to generate fractures or cracks in the target formation and
thereby increase the permeability of the rock near the wellbore and
improve production of natural gas or oil.</text></subsection></section><after-quoted-block>.</after-quoted-block></quoted-block>
</section><section id="H72B4973484D44CB8B2F980604EB8B498"><enum>4412.</enum><header>Government Accountability Office study</header>
<subsection id="H3C0B41188FFC44AAA6D28C14F0AEB5B1"><enum>(a)</enum><header>Study</header><text>The Comptroller General of the United States shall conduct a study examining the economic benefits
of domestic shale oil and gas production resulting from the process of
hydraulic fracturing. This study will include identification of—</text>
<paragraph id="HE0BDD61B1A6A4014925AD4946E32C7B8"><enum>(1)</enum><text>State and Federal revenue generated as a result of shale gas production;</text>
</paragraph><paragraph id="HA1986476B40D4FF8B904DE5746883910"><enum>(2)</enum><text>jobs created both directly and indirectly as a result of shale oil and gas production; and</text>
</paragraph><paragraph id="H7B4794A00207460FB3168D76A669C388"><enum>(3)</enum><text>an estimate of potential energy prices without domestic shale oil and gas production.</text>
</paragraph></subsection><subsection id="H3F26C814CA084AAEB4CDFC7BD3A9D416"><enum>(b)</enum><header>Report</header><text>The Comptroller General shall submit a report on the findings of such study to the Committee on
Natural Resources of the House of Representatives within 30 days after
completion of the study.</text>
</subsection></section><section id="H6BAB32AAA5E540EA85BA8642966D902D"><enum>4413.</enum><header>Tribal authority on trust land</header><text display-inline="no-display-inline">The Department of the Interior shall not enforce any Federal regulation, guidance, or permit
requirement regarding the process of hydraulic fracturing (as that term is
defined in section 44 of the Mineral Leasing Act, as amended by section
4411 of this Act), or any component of that process, relating to oil, gas,
or geothermal production activities on any land held in trust or
restricted status for the benefit of Indians except with the express
consent of the beneficiary on whose behalf such land is held in trust or
restricted status.</text>
</section></chapter><chapter id="HB90A4F52952F402EAF7F33C2DFF3F239"><enum>2</enum><header>EPA Hydraulic Fracturing Research</header>
<section id="H14F749F5A26C49F0B81CCB6F36552BC6"><enum>4421.</enum><header>EPA hydraulic fracturing research</header><text display-inline="no-display-inline">In conducting its study of the potential impacts of hydraulic fracturing on drinking water
resources, with respect to which a request for information was issued
under Federal Register Vol. 77, No. 218, the Administrator of the
Environmental Protection Agency shall adhere to the following
requirements:</text>
<paragraph id="HAE0A2D15E48C4937ADF2AA416454DD0C"><enum>(1)</enum><header>Peer review and information quality</header><text>Prior to issuance and dissemination of any final report or any interim report summarizing the
Environmental Protection Agency’s research on the relationship between
hydraulic fracturing and drinking water, the Administrator shall—</text>
<subparagraph id="HAF01883CD41049708E527B0D4A10407F"><enum>(A)</enum><text>consider such reports to be Highly Influential Scientific Assessments and require peer review of
such reports in accordance with guidelines governing such assessments, as
described in—</text>
<clause id="H4485DF1BEFBD4BA4B236521D98F0DC91"><enum>(i)</enum><text>the Environmental Protection Agency’s Peer Review Handbook 3rd Edition;</text>
</clause><clause id="HEF6001E75A464DC09929DE005939DF00"><enum>(ii)</enum><text>the Environmental Protection Agency’s Scientific Integrity Policy, as in effect on the date of
enactment of this Act; and</text>
</clause><clause id="HFC081435C8DE41E486225E1FB2837343"><enum>(iii)</enum><text>the Office of Management and Budget’s Peer Review Bulletin, as in effect on the date of enactment
of this Act; and</text>
</clause></subparagraph><subparagraph id="HC56544E08AE140FBA924DAECB676225C"><enum>(B)</enum><text>require such reports to meet the standards and procedures for the dissemination of influential
scientific, financial, or statistical information set forth in the
Environmental Protection Agency’s Guidelines for Ensuring and Maximizing
the Quality, Objectivity, Utility, and Integrity of Information
Disseminated by the Environmental Protection Agency, developed in response
to guidelines issued by the Office of Management and Budget under section
515(a) of the Treasury and General Government Appropriations Act for
Fiscal Year 2001 (<external-xref legal-doc="public-law" parsable-cite="pl/106/554">Public Law 106–554</external-xref>).</text>
</subparagraph></paragraph><paragraph id="HF55ECD0136F6408EB03FDFDE70D396C5"><enum>(2)</enum><header>Probability, uncertainty, and consequence</header><text>In order to maximize the quality and utility of information developed through the study, the
Administrator shall ensure that identification of the possible impacts of
hydraulic fracturing on drinking water resources included in such reports
be accompanied by objective estimates of the probability, uncertainty, and
consequence of each identified impact, taking into account the risk
management practices of States and industry. Estimates or descriptions of
probability, uncertainty, and consequence shall be as quantitative as
possible given the validity, accuracy, precision, and other quality
attributes of the underlying data and analyses, but no more quantitative
than the data and analyses can support.</text>
</paragraph><paragraph id="H7DF1DA3BB8BD493DB8139453C6627346"><enum>(3)</enum><header>Release of final report</header><text>The final report shall be publicly released by September 30, 2016.</text>
</paragraph></section></chapter><chapter id="H3F1F638A606E4771909B1B09C827C294"><enum>3</enum><header>Miscellaneous provisions</header>
<section id="HB2501938F5F546DFB5124A734BAFE8F8"><enum>4431.</enum><header>Review of State activities</header><text display-inline="no-display-inline">The Secretary of the Interior shall annually review and report to Congress on all State activities
relating to hydraulic fracturing.</text>
</section></chapter></subtitle><subtitle id="HC5893A25346E4D3DAB8EEDC81DED01AB"><enum>E</enum><header>Offshore Energy and Jobs</header>
<chapter id="H6C60BEB066104200A63B8862CFAC8B83"><enum>1</enum><header>Outer Continental Shelf Leasing Program Reforms</header>
<section id="HF0256D2ADF5642BFAA32E677B65F84A7"><enum>4511.</enum><header>Outer Continental Shelf leasing program reforms</header><text display-inline="no-display-inline">Section 18(a) of the Outer Continental Shelf Lands Act (<external-xref legal-doc="usc" parsable-cite="usc/43/1344">43 U.S.C. 1344(a)</external-xref>) is amended by adding at
the end the following:</text>
<quoted-block id="H9584773FCE9A47498AA6954591583E4C" style="OLC">
<paragraph id="HB11D74379CEF4E13883AD75C0238B625"><enum>(5)</enum>
<subparagraph commented="no" display-inline="yes-display-inline" id="H73BFBED40A1A43BE9E72AAC55ED41FA1"><enum>(A)</enum><text>In each oil and gas leasing program under this section, the Secretary shall make available for
leasing and conduct lease sales including at least 50 percent of the
available unleased acreage within each outer Continental Shelf planning
area considered to have the largest undiscovered, technically recoverable
oil and gas resources (on a total btu basis) based upon the most recent
national geologic assessment of the outer Continental Shelf, with an
emphasis on offering the most geologically prospective parts of the
planning area.</text>
</subparagraph><subparagraph id="HFF06F45B4DD540C0BE3097B18D97B881" indent="up1"><enum>(B)</enum><text display-inline="yes-display-inline">The Secretary shall include in each proposed oil and gas leasing program under this section any
State subdivision of an outer Continental Shelf planning area that the
Governor of the State that represents that subdivision requests be made
available for leasing. The Secretary may not remove such a subdivision
from the program until publication of the final program, and shall include
and consider all such subdivisions in any environmental review conducted
and statement prepared for such program under section 102(2) of the
National Environmental Policy Act of 1969 (<external-xref legal-doc="usc" parsable-cite="usc/42/4332">42 U.S.C. 4332(2)</external-xref>).</text>
</subparagraph><subparagraph id="H3349A3C4CD0E499E83FDD732D18C241F" indent="up1"><enum>(C)</enum><text display-inline="yes-display-inline">In this paragraph the term <term>available unleased acreage</term> means that portion of the outer Continental Shelf that is not under lease at the time of a
proposed lease sale, and that has not otherwise been made unavailable for
leasing by law.</text>
</subparagraph></paragraph><paragraph display-inline="no-display-inline" id="H7C810D1A7E684F7AB85CD8FC66FD48C1"><enum>(6)</enum>
<subparagraph commented="no" display-inline="yes-display-inline" id="HEB757D4A60754FE6925ABDB7234F77D7"><enum>(A)</enum><text>In the 5-year oil and gas leasing program, the Secretary shall make available for leasing any outer
Continental Shelf planning areas that—</text>
<clause id="H92CC7083B77944D282F389403002ECBC" indent="up1"><enum>(i)</enum><text>are estimated to contain more than 2,500,000,000 barrels of oil; or</text>
</clause><clause id="H7BF413F75D614171BB59CD77D244F584" indent="up1"><enum>(ii)</enum><text>are estimated to contain more than 7,500,000,000,000 cubic feet of natural gas.</text>
</clause></subparagraph><subparagraph id="HE35B22E48B9544F0B2BD702992460ED0" indent="up1"><enum>(B)</enum><text>To determine the planning areas described in subparagraph (A), the Secretary shall use the document
entitled <quote>Minerals Management Service Assessment of Undiscovered Technically Recoverable Oil and Gas
Resources of the Nation’s Outer Continental Shelf, 2006</quote>.</text></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block>
</section><section id="H576C352B51B74EF5A6875C9DEA8BFF40"><enum>4512.</enum><header>Domestic oil and natural gas production goal</header><text display-inline="no-display-inline">Section 18(b) of the Outer Continental Shelf Lands Act (<external-xref legal-doc="usc" parsable-cite="usc/43/1344">43 U.S.C. 1344(b)</external-xref>) is amended to read as
follows:</text>
<quoted-block id="HE2C9A5B708744536BD444C8D2C0733D3" style="OLC">
<subsection id="HF0814A27104C4283BD52BC0537E1E1FB"><enum>(b)</enum><header>Domestic oil and natural gas production goal</header><text>–</text>
<paragraph id="H1802B293C1F446498D8F17409D11388B"><enum>(1)</enum><header>In general</header><text>In developing a 5-year oil and gas leasing program, and subject to paragraph (2), the Secretary
shall determine a domestic strategic production goal for the development
of oil and natural gas as a result of that program. Such goal shall be—</text>
<subparagraph id="H0F2D0A939BB84FF8A6574EF1FDA4B63B"><enum>(A)</enum><text>the best estimate of the possible increase in domestic production of oil and natural gas from the
outer Continental Shelf;</text>
</subparagraph><subparagraph id="HF5B7C6A62A6E44AFBAF6EF4522D65E9B"><enum>(B)</enum><text>focused on meeting domestic demand for oil and natural gas and reducing the dependence of the
United States on foreign energy; and</text>
</subparagraph><subparagraph id="HFF2A370B09AA49BB9679E92411AC258A"><enum>(C)</enum><text>focused on the production increases achieved by the leasing program at the end of the 15-year
period beginning on the effective date of the program.</text>
</subparagraph></paragraph><paragraph id="H30B433BF579D459FB16970A89AC4C121"><enum>(2)</enum><header>Program goal</header><text>For purposes of the 5-year oil and gas leasing program, the production goal referred to in
paragraph (1) shall be an increase by 2032 of—</text>
<subparagraph id="H3B50554C2C2C4927BCD064AE06D339D6"><enum>(A)</enum><text>no less than 3,000,000 barrels in the amount of oil produced per day; and</text>
</subparagraph><subparagraph id="HAF42065EA25D46DF94D6F20ACBA42704"><enum>(B)</enum><text>no less than 10,000,000,000 cubic feet in the amount of natural gas produced per day.</text>
</subparagraph></paragraph><paragraph id="HB2BC77F3932A416A899094219F33D078"><enum>(3)</enum><header>Reporting</header><text>The Secretary shall report annually, beginning at the end of the 5-year period for which the
program applies, to the Committee on Natural Resources of the House of
Representatives and the Committee on Energy and Natural Resources of the
Senate on the progress of the program in meeting the production goal. The
Secretary shall identify in the report projections for production and any
problems with leasing, permitting, or production that will prevent meeting
the goal.</text></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block>
</section><section id="H3A2F872EC8174776822BDAA340231041"><enum>4513.</enum><header>Development and submittal of new 5-year oil and gas leasing program</header>
<subsection id="HB91A4D85D3B34054B93408F51E071DC5"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">The Secretary of the Interior shall—</text>
<paragraph id="H50B7CE7CF05241C4BC579FCD9F050446"><enum>(1)</enum><text>by not later than July 15, 2015, publish and submit to Congress a new proposed oil and gas leasing
program under section 18 of the Outer Continental Shelf Lands Act (43
U.S.C. 1344) for the 5-year period beginning on such date and ending July
15, 2021; and</text>
</paragraph><paragraph id="HBD5034BBFBC54136A2E0C0D89315888F"><enum>(2)</enum><text>by not later than July 15, 2016, approve a final oil and gas leasing program under such section for
such period.</text>
</paragraph></subsection><subsection id="H80C01AD4468D48C8AB3D210271EE6CC3"><enum>(b)</enum><header>Consideration of all areas</header><text>In preparing such program the Secretary shall include consideration of areas of the Continental
Shelf off the coasts of all States (as such term is defined in section 2
of that Act, as amended by this Act), that are subject to leasing under
this Act.</text>
</subsection><subsection id="HB192864AF8B44121AA6A7388D8AC86B0"><enum>(c)</enum><header>Technical correction</header><text display-inline="yes-display-inline">Section 18(d)(3) of the Outer Continental Shelf Lands Act (<external-xref legal-doc="usc" parsable-cite="usc/43/1344">43 U.S.C. 1344(d)(3)</external-xref>) is amended by
striking <quote>or after eighteen months following the date of enactment of this section, whichever first occurs,</quote>.</text>
</subsection></section><section id="HD5A1D2796DA2485688E76B2C4C5ECBEE"><enum>4514.</enum><header>Rule of construction</header><text display-inline="no-display-inline">Nothing in this subtitle shall be construed to authorize the issuance of a lease under the Outer
Continental Shelf Lands Act (<external-xref legal-doc="usc" parsable-cite="usc/43/1331">43 U.S.C. 1331 et seq.</external-xref>) to any person
designated for the imposition of sanctions pursuant to—</text>
<paragraph id="H53E6849F41E4438AAB8D7299523A6260"><enum>(1)</enum><text>the Iran Sanctions Act of 1996 (<external-xref legal-doc="usc" parsable-cite="usc/50/1701">50 U.S.C. 1701</external-xref> note), the Comprehensive Iran Sanctions,
Accountability and Divestiture Act of 2010 (<external-xref legal-doc="usc" parsable-cite="usc/22/8501">22 U.S.C. 8501 et seq.</external-xref>), the
Iran Threat Reduction and Syria Human Rights Act of 2012 (22 U.S.C. 8701
et seq.), section 1245 of the National Defense Authorization Act for
Fiscal Year 2012 (<external-xref legal-doc="usc" parsable-cite="usc/22/8513a">22 U.S.C. 8513a</external-xref>), or the Iran Freedom and
Counter-Proliferation Act of 2012 (<external-xref legal-doc="usc" parsable-cite="usc/22/8801">22 U.S.C. 8801 et seq.</external-xref>);</text>
</paragraph><paragraph id="HBF444B868EFD45D1B3A40841D3DCAB2E"><enum>(2)</enum><text>Executive Order No. 13622 (July 30, 2012), Executive Order No. 13628 (October 9, 2012), or
Executive Order No. 13645 (June 3, 2013);</text>
</paragraph><paragraph id="H0FBA941082F54F40B809C11DB01F4368"><enum>(3)</enum><text>Executive Order No. 13224 (September 23, 2001) or Executive Order No. 13338 (May 11, 2004); or</text>
</paragraph><paragraph id="HA4B158C0383942AB9A20D716140B78BF"><enum>(4)</enum><text>the Syria Accountability and Lebanese Sovereignty Restoration Act of 2003 (<external-xref legal-doc="usc" parsable-cite="usc/22/2151">22 U.S.C. 2151</external-xref> note).</text>
</paragraph></section></chapter><chapter id="H0E35F32B439A4C68816B7CB9E8C351E2"><enum>2</enum><header>Directing the President To Conduct New OCS Sales in Virginia, South Carolina, and California</header>
<section id="HEABCB6C75E194631B5B4CC13459A4F4C"><enum>4521.</enum><header>Requirement to conduct proposed oil and gas Lease Sale 220 on the Outer Continental Shelf offshore
Virginia</header>
<subsection id="HF2B5B93446604A07B89B78BAA16FF9A1"><enum>(a)</enum><header>In general</header><text>Notwithstanding the exclusion of Lease Sale 220 in the Final Outer Continental Shelf Oil & Gas Leasing Program 2012–2017, the Secretary of the Interior shall conduct offshore oil and gas
Lease Sale 220 under section 8 of the Outer Continental Shelf Lands Act
(<external-xref legal-doc="usc" parsable-cite="usc/43/1337">43 U.S.C. 1337</external-xref>) as soon as practicable, but not later than one year after
the date of enactment of this Act.</text>
</subsection><subsection id="H1CD6248B7F16420B97A2958A3F77494C"><enum>(b)</enum><header>Requirement To make replacement lease blocks available</header><text display-inline="yes-display-inline">For each lease block in a proposed lease sale under this section for which the Secretary of
Defense, in consultation with the Secretary of the Interior, under the
Memorandum of Agreement referred to in section 4525(b), issues a statement
proposing deferral from a lease offering due to defense-related activities
that are irreconcilable with mineral exploration and development, the
Secretary of the Interior, in consultation with the Secretary of Defense,
shall make available in the same lease sale one other lease block in the
Virginia lease sale planning area that is acceptable for oil and gas
exploration and production in order to mitigate conflict.</text>
</subsection><subsection id="H32745F774F3741ABA40ACAE7B1E9F63E"><enum>(c)</enum><header>Balancing military and energy production goals</header><text display-inline="yes-display-inline">In recognition that the Outer Continental Shelf oil and gas leasing program and the domestic energy
resources produced therefrom are integral to national security, the
Secretary of the Interior and the Secretary of Defense shall work jointly
in implementing this section in order to ensure achievement of the
following common goals:</text>
<paragraph id="H587C8C8510CA490A9E2553FB9DA45586"><enum>(1)</enum><text>Preserving the ability of the Armed Forces of the United States to maintain an optimum state of
readiness through their continued use of the Outer Continental Shelf.</text>
</paragraph><paragraph id="HDA508F675B42439197E9BE981425960E"><enum>(2)</enum><text>Allowing effective exploration, development, and production of our Nation’s oil, gas, and renewable
energy resources.</text>
</paragraph></subsection><subsection id="H4672CD67DA0549B4AC45E6182A1B7540"><enum>(d)</enum><header>Definitions</header><text>In this section:</text>
<paragraph id="H3D21A804ABB84A74BF37ACE2338BDE0D"><enum>(1)</enum><header>Lease sale 220</header><text>The term <term>Lease Sale 220</term> means such lease sale referred to in the Request for Comments on the Draft Proposed 5-Year Outer
Continental Shelf (OCS) Oil and Gas Leasing Program for 2010–2015 and
Notice of Intent To Prepare an Environmental Impact Statement (EIS) for
the Proposed 5-Year Program published January 21, 2009 (74 Fed. Reg.
3631).</text>
</paragraph><paragraph id="H6F5596287D8C41A88FDBFE7435388B6F"><enum>(2)</enum><header>Virginia lease sale planning area</header><text>The term <term>Virginia lease sale planning area</term> means the area of the outer Continental Shelf (as that term is defined in the Outer Continental
Shelf Lands Act (<external-xref legal-doc="usc" parsable-cite="usc/33/1331">33 U.S.C. 1331 et seq.</external-xref>)) that is bounded by—</text>
<subparagraph id="H49AED3BC0B8A45D0AAB4186EDD26B1EF"><enum>(A)</enum><text>a northern boundary consisting of a straight line extending from the northernmost point of
Virginia’s seaward boundary to the point on the seaward boundary of the
United States exclusive economic zone located at 37 degrees 17 minutes 1
second North latitude, 71 degrees 5 minutes 16 seconds West longitude; and</text>
</subparagraph><subparagraph id="H918B34123C054A36AB86784D72CD1C35"><enum>(B)</enum><text>a southern boundary consisting of a straight line extending from the southernmost point of
Virginia’s seaward boundary to the point on the seaward boundary of the
United States exclusive economic zone located at 36 degrees 31 minutes 58
seconds North latitude, 71 degrees 30 minutes 1 second West longitude.</text>
</subparagraph></paragraph></subsection></section><section id="H0763F49E2A1F44A187079420F8FEF4CF"><enum>4522.</enum><header>South Carolina lease sale</header><text display-inline="no-display-inline">Notwithstanding inclusion of the South Atlantic Outer Continental Shelf Planning Area in the Final
Outer Continental Shelf Oil & Gas Leasing Program 2012–2017, the Secretary of the Interior shall conduct a lease sale not later
than 2 years after the date of the enactment of this Act for areas off the
coast of South Carolina determined by the Secretary to have the most
geologically promising hydrocarbon resources and constituting not less
than 25 percent of the leasable area within the South Carolina offshore
administrative boundaries depicted in the notice entitled <quote>Federal Outer Continental Shelf (OCS) Administrative Boundaries Extending from the Submerged Lands
Act Boundary seaward to the Limit of the United States Outer Continental
Shelf</quote>, published January 3, 2006 (71 Fed. Reg. 127).</text>
</section><section id="H7B32A566B9F84442BF20CE6807C3A5B2"><enum>4523.</enum><header>Southern California existing infrastructure lease sale</header>
<subsection id="HE1F72D26F97A4D91988FE7C8138673BD"><enum>(a)</enum><header>In general</header><text>The Secretary of the Interior shall offer for sale leases of tracts in the Santa Maria and Santa
Barbara/Ventura Basins of the Southern California OCS Planning Area as
soon as practicable, but not later than December 31, 2015.</text>
</subsection><subsection id="H6CAE7B6CB5824EE59168B4DFF57B55C3"><enum>(b)</enum><header>Use of Existing Structures or Onshore-Based Drilling</header><text>The Secretary of the Interior shall include in leases offered for sale under this lease sale such
terms and conditions as are necessary to require that development and
production may occur only from offshore infrastructure in existence on the
date of the enactment of this Act or from onshore-based, extended-reach
drilling.</text>
</subsection></section><section id="HDC748F70581D462ABC10037F185C3CED"><enum>4524.</enum><header>Environmental impact statement requirement</header>
<subsection id="HD1926EC1A8C74D398F6A0053DD1633B1"><enum>(a)</enum><header>In General</header><text>For the purposes of this subtitle, the Secretary of the Interior shall prepare a multisale
environmental impact statement under section 102 of the National
Environmental Policy Act of 1969 (<external-xref legal-doc="usc" parsable-cite="usc/42/4332">42 U.S.C. 4332</external-xref>) for all lease sales
required under this chapter.</text>
</subsection><subsection id="H1F975FA4006D47C8B4049D4A2F285E54"><enum>(b)</enum><header>Actions To be considered</header><text>Notwithstanding section 102 of the National Environmental Policy Act of 1969 (<external-xref legal-doc="usc" parsable-cite="usc/42/4332">42 U.S.C. 4332</external-xref>), in
such statement—</text>
<paragraph id="HF4AC300B6BF740B88400B89A2D32B90E"><enum>(1)</enum><text>the Secretary is not required to identify nonleasing alternative courses of action or to analyze
the environmental effects of such alternative courses of action; and</text>
</paragraph><paragraph id="H6E76B05F11F04E2E9BCB2C04E8A2EAA0"><enum>(2)</enum><text>the Secretary shall only—</text>
<subparagraph id="H9AD8A7C0A10C4045A3861F62AE980A9B"><enum>(A)</enum><text>identify a preferred action for leasing and not more than one alternative leasing proposal; and</text>
</subparagraph><subparagraph id="H27797B64560042ED963375662B4A6838"><enum>(B)</enum><text>analyze the environmental effects and potential mitigation measures for such preferred action and
such alternative leasing proposal.</text>
</subparagraph></paragraph></subsection></section><section id="H53E8E1C278404E659539750C207C1647"><enum>4525.</enum><header>National defense</header>
<subsection id="H93C1F4A68006443AAFE8C597233E4B75"><enum>(a)</enum><header>National Defense Areas</header><text>This subtitle does not affect the existing authority of the Secretary of Defense, with the approval
of the President, to designate national defense areas on the Outer
Continental Shelf pursuant to section 12(d) of the Outer Continental Shelf
Lands Act (<external-xref legal-doc="usc" parsable-cite="usc/43/1341">43 U.S.C. 1341(d)</external-xref>).</text>
</subsection><subsection id="HF5B9C40C9D04436CB2D570BED2F1A6AA"><enum>(b)</enum><header>Prohibition on Conflicts With Military Operations</header><text>No person may engage in any exploration, development, or production of oil or natural gas on the
Outer Continental Shelf under a lease issued under this subtitle that
would conflict with any military operation, as determined in accordance
with the Memorandum of Agreement between the Department of Defense and the
Department of the Interior on Mutual Concerns on the Outer Continental
Shelf signed July 20, 1983, and any revision or replacement for that
agreement that is agreed to by the Secretary of Defense and the Secretary
of the Interior after that date but before the date of issuance of the
lease under which such exploration, development, or production is
conducted.</text>
</subsection></section><section id="HC8926EDFD45C433390ACE00E96B8BCF1"><enum>4526.</enum><header>Eastern Gulf of Mexico not included</header><text display-inline="no-display-inline">Nothing in this subtitle affects restrictions on oil and gas leasing under the Gulf of Mexico
Energy Security Act of 2006 (title I of division C of <external-xref legal-doc="public-law" parsable-cite="pl/109/432">Public Law 109–432</external-xref>;
<external-xref legal-doc="usc" parsable-cite="usc/43/1331">43 U.S.C. 1331</external-xref> note).</text>
</section></chapter><chapter id="HD8AA63ADC520427F9FCE6D0BE9AA223A"><enum>3</enum><header>Equitable Sharing of Outer Continental Shelf Revenues</header>
<section id="HCFFB57AA7CDA42DF9046F9525F6C3902"><enum>4531.</enum><header>Disposition of Outer Continental Shelf revenues to coastal States</header>
<subsection id="H9252B613AA694EA980E55137CEC50A4E"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">Section 9 of the Outer Continental Shelf Lands Act (<external-xref legal-doc="usc" parsable-cite="usc/43/1338">43 U.S.C. 1338</external-xref>) is amended—</text>
<paragraph id="H2E7C61A3FB344CFE96E1AF14E1879FFD"><enum>(1)</enum><text>in the existing text—</text>
<subparagraph id="HED93D9DE40CC4B3E94D5DF4998534FA8"><enum>(A)</enum><text display-inline="yes-display-inline">in the first sentence, by striking <quote>All rentals,</quote> and inserting the following:</text>
<quoted-block display-inline="no-display-inline" id="H7A7579BE58C2410694FA19A0F02E9C76" style="OLC">
<subsection id="H9B5881FB0F4947908B0C67AA02E0675A"><enum>(c)</enum><header>Disposition of revenue under old leases</header><text display-inline="yes-display-inline">All rentals,</text></subsection><after-quoted-block>; and</after-quoted-block></quoted-block>
</subparagraph><subparagraph id="H2728CD8FD24A4045914FAEDCA0D50ED1"><enum>(B)</enum><text>in subsection (c) (as designated by the amendment made by subparagraph (A) of this paragraph), by
striking <quote>for the period from June 5, 1950, to date, and thereafter</quote> and inserting <quote>in the period beginning June 5, 1950, and ending on the date of enactment of the <short-title>American Renaissance in Manufacturing Act</short-title></quote>;</text>
</subparagraph></paragraph><paragraph id="H7DB5717F679A406FA6AE05329B7D897C"><enum>(2)</enum><text>by adding after subsection (c) (as so designated) the following:</text>
<quoted-block display-inline="no-display-inline" id="H7A1B0E442A3B4C468527CE869FABD403" style="OLC">
<subsection id="H550BE502A8CF43AD8CF4D592EB286AF5"><enum>(d)</enum><header> Definitions</header><text display-inline="yes-display-inline">In this section:</text>
<paragraph commented="no" id="H48D979771CDE4222ACCBD36A21C32265"><enum>(1)</enum><header>Coastal State</header><text display-inline="yes-display-inline">The term <term>coastal State</term> includes a territory of the United States.</text>
</paragraph><paragraph id="H38EC84FAE2AF4BB59A327B540EC77E73"><enum>(2)</enum><header>New leasing revenues</header><text display-inline="yes-display-inline">The term <term>new leasing revenues</term>—</text>
<subparagraph id="H03EBB96A40604F6AB56A48797BF4C430"><enum>(A)</enum><text>means amounts received by the United States as bonuses, rents, and royalties under leases for oil
and gas, wind, tidal, or other energy exploration, development, and
production on new areas of the outer Continental Shelf that are authorized
to be made available for leasing as a result of enactment of the <short-title>American Renaissance in Manufacturing Act</short-title> and leasing under that Act; and</text>
</subparagraph><subparagraph id="H95B6BBBFB9D74BC280528D87686AEBB1"><enum>(B)</enum><text display-inline="yes-display-inline">does not include amounts received by the United States under any lease of an area located in the
boundaries of the Central Gulf of Mexico and Western Gulf of Mexico Outer
Continental Shelf Planning Areas on the date of enactment of the <short-title>American Renaissance in Manufacturing Act</short-title>, including a lease issued before, on, or after such date of enactment.</text></subparagraph></paragraph></subsection><after-quoted-block>; and</after-quoted-block></quoted-block>
</paragraph><paragraph id="HEDD5367F02494A6B826044466DB727D8"><enum>(3)</enum><text>by inserting before subsection (c) (as so designated) the following:</text>
<quoted-block display-inline="no-display-inline" id="H3ABCA51C4C2C4F24B0323F6795A330F9" style="OLC">
<subsection id="H79B3310CD554442E9C88F1D2DFE1C6EC"><enum>(a)</enum><header>Payment of new leasing revenues to coastal States</header>
<paragraph id="HF738349B91874ED4BC6AE63A2F957671"><enum>(1)</enum><header>In general</header><text>Except as provided in paragraph (2), of the amount of new leasing revenues received by the United
States each fiscal year, 37.5 percent shall be allocated and paid in
accordance with subsection (b) to coastal States that are affected States
with respect to the leases under which those revenues are received by the
United States.</text>
</paragraph><paragraph id="H1D9D1E1793CC4A45A0A8052A0AC7E839"><enum>(2)</enum><header>Phase-in</header>
<subparagraph id="H60F5E7AA77CD4E23953120331D8E4B75"><enum>(A)</enum><header>In general</header><text display-inline="yes-display-inline">Except as provided in subparagraph (B), paragraph (1) shall be applied—</text>
<clause id="H4D4BAB04C0DB4DC492636F7BBFA7E86A"><enum>(i)</enum><text>with respect to new leasing revenues under leases awarded under the first leasing program under
section 18(a) that takes effect after the date of enactment of the <short-title>American Renaissance in Manufacturing Act</short-title>, by substituting <quote>12.5 percent</quote> for <quote>37.5 percent</quote>; and</text>
</clause><clause id="H1F2BA82AED484D99B23188C027756031"><enum>(ii)</enum><text>with respect to new leasing revenues under leases awarded under the second leasing program under
section 18(a) that takes effect after the date of enactment of the <short-title>American Renaissance in Manufacturing Act</short-title>, by substituting <quote>25 percent</quote> for <quote>37.5 percent</quote>.</text>
</clause></subparagraph><subparagraph id="H064FE0CB2CE24375A1BE4A07258EB89B"><enum>(B)</enum><header>Exempted lease sales</header><text>This paragraph shall not apply with respect to any lease issued under chapter 2 of subtitle E of
title IV of the <short-title>American Renaissance in Manufacturing Act</short-title>.</text>
</subparagraph></paragraph></subsection><subsection display-inline="no-display-inline" id="HC6B5371F9C104F4CAB9A382B1B6D1DE9"><enum>(b)</enum><header>Allocation of payments</header>
<paragraph id="H6C8F3B1F7CDB4053B09A49A47805FE9D"><enum>(1)</enum><header>In general</header><text display-inline="yes-display-inline">The amount of new leasing revenues received by the United States with respect to a leased tract
that are required to be paid to coastal States in accordance with this
subsection each fiscal year shall be allocated among and paid to coastal
States that are within 200 miles of the leased tract, in amounts that are
inversely proportional to the respective distances between the point on
the coastline of each such State that is closest to the geographic center
of the lease tract, as determined by the Secretary.</text>
</paragraph><paragraph id="HC4DA9718B1F8405BA1A65A8E0C6946A2"><enum>(2)</enum><header>Minimum and maximum allocation</header><text>The amount allocated to a coastal State under paragraph (1) each fiscal year with respect to a
leased tract shall be—</text>
<subparagraph id="HFE26EBA5DC51462888972B4E79AD3385"><enum>(A)</enum><text display-inline="yes-display-inline">in the case of a coastal State that is the nearest State to the geographic center of the leased
tract, not less than 25 percent of the total amounts allocated with
respect to the leased tract;</text>
</subparagraph><subparagraph id="H6771663335D542999D4FB862CEE586BB"><enum>(B)</enum><text display-inline="yes-display-inline">in the case of any other coastal State, not less than 10 percent, and not more than 15 percent, of
the total amounts allocated with respect to the leased tract; and</text>
</subparagraph><subparagraph id="HC19A7442B9AE4B9085A305E4ACEEB9AC"><enum>(C)</enum><text>in the case of a coastal State that is the only coastal State within 200 miles of a leased tract,
100 percent of the total amounts allocated with respect to the leased
tract.</text>
</subparagraph></paragraph><paragraph id="HE739597FA31347B0915E791C2FF39F4A"><enum>(3)</enum><header>Administration</header><text>Amounts allocated to a coastal State under this subsection—</text>
<subparagraph id="HFE0518B711744133938F07438A58B863"><enum>(A)</enum><text>shall be available to the coastal State without further appropriation;</text>
</subparagraph><subparagraph id="HAAC6718A973048C9936473072214B1BA"><enum>(B)</enum><text>shall remain available until expended;</text>
</subparagraph><subparagraph commented="no" id="H4DFB76C39479431C97C344FF7C1D1DEC"><enum>(C)</enum><text>shall be in addition to any other amounts available to the coastal State under this Act; and</text>
</subparagraph><subparagraph id="H0D070987E3DC45649B16A4878FF6354F"><enum>(D)</enum><text>shall be distributed in the fiscal year following receipt.</text>
</subparagraph></paragraph><paragraph display-inline="no-display-inline" id="H23A7F9892C4F4050AD6B134755004855"><enum>(4)</enum><header>Use of funds</header>
<subparagraph id="HBF937E5F6AE94019A0AA3E93C96A2FED"><enum>(A)</enum><header>In general</header><text>Except as provided in subparagraph (B), a coastal State may use funds allocated and paid to it
under this subsection for any purpose as determined by the laws of that
State.</text>
</subparagraph><subparagraph id="H5562F1DF3C6543F1A64C24DAAED2DA48"><enum>(B)</enum><header>Restriction on use for matching</header><text>Funds allocated and paid to a coastal State under this subsection may not be used as matching funds
for any other Federal program.</text></subparagraph></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph></subsection><subsection id="HD63E7F4150D146DEB8D46529AE426F97"><enum>(b)</enum><header>Limitation on application</header><text display-inline="yes-display-inline">This section and the amendment made by this section shall not affect the application of section 105
of the Gulf of Mexico Energy Security Act of 2006 (title I of division C
of <external-xref legal-doc="public-law" parsable-cite="pl/109/432">Public Law 109–432</external-xref>; (<external-xref legal-doc="usc" parsable-cite="usc/43/1331">43 U.S.C. 1331</external-xref> note)), as in effect before the
enactment of this Act, with respect to revenues received by the United
States under oil and gas leases issued for tracts located in the Western
and Central Gulf of Mexico Outer Continental Shelf Planning Areas,
including such leases issued on or after the date of the enactment of this
Act.</text>
</subsection></section></chapter><chapter id="HED555730099247DE920828136DD7EDA9"><enum>4</enum><header>Reorganization of Minerals Management Agencies of the Department of the Interior</header>
<section id="HF0F23601A1064EE688D396FDD7D4E693" section-type="subsequent-section"><enum>4541.</enum><header>Establishment of Under Secretary for Energy, Lands, and Minerals and Assistant Secretary of Ocean
Energy and Safety</header><text display-inline="no-display-inline">There shall be in the Department of the Interior—</text>
<paragraph id="H68D58C6F2A034C43B09660F160EA5450"><enum>(1)</enum><text>an Under Secretary for Energy, Lands, and Minerals, who shall—</text>
<subparagraph commented="no" id="H51CBAC76D05244BDB0180C0E89975173"><enum>(A)</enum><text>be appointed by the President, by and with the advise and consent of the Senate;</text>
</subparagraph><subparagraph id="H0876C9AAC6BE46708F8ECA2DAEE770D3"><enum>(B)</enum><text display-inline="yes-display-inline">report to the Secretary of the Interior or, if directed by the Secretary, to the Deputy Secretary
of the Interior;</text>
</subparagraph><subparagraph commented="no" id="H2FC49A52699A417AA0B30DFE9CDBD1FE"><enum>(C)</enum><text>be paid at the rate payable for level III of the Executive Schedule; and</text>
</subparagraph><subparagraph id="H34D2182C374C43339A20D1295A3D4499"><enum>(D)</enum><text display-inline="yes-display-inline">be responsible for—</text>
<clause id="HD504B8275ABB4A568A326B063DFEF4E2"><enum>(i)</enum><text>the safe and responsible development of our energy and mineral resources on Federal lands in
appropriate accordance with United States energy demands; and</text>
</clause><clause id="H5838DF26A1E04F43A482CE31B4E0EE84"><enum>(ii)</enum><text>ensuring multiple-use missions of the Department of the Interior that promote the safe and
sustained development of energy and minerals resources on public lands (as
that term is defined in the Federal Land Policy and Management Act of 1976
(<external-xref legal-doc="usc" parsable-cite="usc/43/1701">43 U.S.C. 1701 et seq.</external-xref>));</text>
</clause></subparagraph></paragraph><paragraph id="HE12C2276124D4936A56D4D86DC618C61"><enum>(2)</enum><text>an Assistant Secretary of Ocean Energy and Safety, who shall—</text>
<subparagraph id="H97EF49779C0E43FEAE9B657ACC4DB92E"><enum>(A)</enum><text>be appointed by the President, by and with the advise and consent of the Senate;</text>
</subparagraph><subparagraph id="HF837233A119147B28323C28E881FA4DC"><enum>(B)</enum><text>report to the Under Secretary for Energy, Lands, and Minerals;</text>
</subparagraph><subparagraph id="H739D2466DA764129887E6DFCE1B0B10E"><enum>(C)</enum><text>be paid at the rate payable for level IV of the Executive Schedule; and</text>
</subparagraph><subparagraph id="HC9D8C4F6C7474CB9885641C2F2983FFC"><enum>(D)</enum><text display-inline="yes-display-inline">be responsible for ensuring safe and efficient development of energy and minerals on the Outer
Continental Shelf of the United States; and</text>
</subparagraph></paragraph><paragraph commented="no" id="H691EF70650AF442395281BE70C6AE4E6"><enum>(3)</enum><text display-inline="yes-display-inline">an Assistant Secretary of Land and Minerals Management, who shall—</text>
<subparagraph commented="no" id="HF26AA8C9377D41758B06258FAD290443"><enum>(A)</enum><text>be appointed by the President, by and with the advise and consent of the Senate;</text>
</subparagraph><subparagraph commented="no" id="HA4971AA5F55D4DD39175BCEC3FEDA262"><enum>(B)</enum><text>report to the Under Secretary for Energy, Lands, and Minerals;</text>
</subparagraph><subparagraph commented="no" id="H55D730BCD48243028E60B9652FEF5734"><enum>(C)</enum><text>be paid at the rate payable for level IV of the Executive Schedule; and</text>
</subparagraph><subparagraph commented="no" id="H52EC71B354834558B81F524A319E9A68"><enum>(D)</enum><text display-inline="yes-display-inline">be responsible for ensuring safe and efficient development of energy and minerals on public lands
and other Federal onshore lands under the jurisdiction of the Department
of the Interior, including implementation of the Mineral Leasing Act (30
U.S.C. 181 et seq.) and the Surface Mining Control and Reclamation Act (30
U.S.C. 1201 et seq.) and administration of the Office of Surface Mining.</text>
</subparagraph></paragraph></section><section id="HCA93656AB16542D6AE04F634D3D0208A"><enum>4542.</enum><header>Bureau of Ocean Energy</header>
<subsection id="HDA6191053A0B4C98BB3A3DC943B42DBD"><enum>(a)</enum><header>Establishment</header><text>There is established in the Department of the Interior a Bureau of Ocean Energy (referred to in
this section as the <quote>Bureau</quote>), which shall—</text>
<paragraph id="HA337834994C64282B8227C09072448C5"><enum>(1)</enum><text>be headed by a Director of Ocean Energy (referred to in this section as the <quote>Director</quote>); and</text>
</paragraph><paragraph id="H714CFD2D03FC4E0DB1E0D4174AAF986E"><enum>(2)</enum><text>be administered under the direction of the Assistant Secretary of Ocean Energy and Safety.</text>
</paragraph></subsection><subsection id="HB30638920C484CA4AE8930B1E383F5B2"><enum>(b)</enum><header>Director</header>
<paragraph id="H69737A5D21724B7DB3FDF8C9E709D4B5"><enum>(1)</enum><header>Appointment</header><text>The Director shall be appointed by the Secretary of the Interior.</text>
</paragraph><paragraph id="H66FD5A6A864449A7BBB939B451893411"><enum>(2)</enum><header>Compensation</header><text>The Director shall be compensated at the rate provided for level V of the Executive Schedule under
<external-xref legal-doc="usc" parsable-cite="usc/5/5316">section 5316</external-xref> of title 5, United States Code.</text>
</paragraph></subsection><subsection id="H0F83AAA9447D4DE7AEFBF6465D049C1D"><enum>(c)</enum><header>Duties</header>
<paragraph id="H6E8D6285AC2542C092D381FA79CC0C19"><enum>(1)</enum><header>In general</header><text>The Secretary of the Interior shall carry out through the Bureau all functions, powers, and duties
vested in the Secretary relating to the administration of a comprehensive
program of offshore mineral and renewable energy resources management.</text>
</paragraph><paragraph id="HD8F05FEA52B946D4B6A5059BE831096F"><enum>(2)</enum><header>Specific authorities</header><text>The Director shall promulgate and implement regulations—</text>
<subparagraph id="H3018D350F20843D5AC5DEE08DAF7080C"><enum>(A)</enum><text>for the proper issuance of leases for the exploration, development, and production of nonrenewable
and renewable energy and mineral resources on the Outer Continental Shelf;</text>
</subparagraph><subparagraph id="HDD750C94CD674FA6BC371D8DA07AB237"><enum>(B)</enum><text>relating to resource identification, access, evaluation, and utilization;</text>
</subparagraph><subparagraph id="H887C184AD6FC419DAA0D2F75DFD0E31A"><enum>(C)</enum><text>for development of leasing plans, lease sales, and issuance of leases for such resources; and</text>
</subparagraph><subparagraph id="H4B21624A3E914B43957BDC5AEE1421C4"><enum>(D)</enum><text display-inline="yes-display-inline">regarding issuance of environmental impact statements related to leasing and post leasing
activities including exploration, development, and production, and the use
of third party contracting for necessary environmental analysis for the
development of such resources.</text>
</subparagraph></paragraph><paragraph id="H4C2B6E0BA3D34A0CBE9C6812F99B6170"><enum>(3)</enum><header>Limitation</header><text>The Secretary shall not carry out through the Bureau any function, power, or duty that is—</text>
<subparagraph id="H7463E290C6AF4D8894F4E495B434C49D"><enum>(A)</enum><text>required by section 4543 to be carried out through the Ocean Energy Safety Service; or</text>
</subparagraph><subparagraph id="H882FC03EF99C4BAA81230762BAD66374"><enum>(B)</enum><text>required by section 4544 to be carried out through the Office of Natural Resources Revenue.</text>
</subparagraph></paragraph></subsection><subsection id="HB857E00C80E945A4B018D5D525308304"><enum>(d)</enum><header>Responsibilities of land management agencies</header><text>Nothing in this section shall affect the authorities of the Bureau of Land Management under the
Federal Land Policy and Management Act of 1976 (<external-xref legal-doc="usc" parsable-cite="usc/43/1701">43 U.S.C. 1701 et seq.</external-xref>) or
of the Forest Service under the National Forest Management Act of 1976
(<external-xref legal-doc="public-law" parsable-cite="pl/94/588">Public Law 94–588</external-xref>).</text>
</subsection></section><section id="HA523CE3E9B924A1DACE885E1AABFDB17"><enum>4543.</enum><header>Ocean Energy Safety Service</header>
<subsection id="HFFCD8818ACF44925A15C353D9427A9C8"><enum>(a)</enum><header>Establishment</header><text>There is established in the Department of the Interior an Ocean Energy Safety Service (referred to
in this section as the <quote>Service</quote>), which shall—</text>
<paragraph id="H53E00E3F07D34BEBB2807911CBE2A392"><enum>(1)</enum><text>be headed by a Director of Energy Safety (referred to in this section as the <quote>Director</quote>); and</text>
</paragraph><paragraph id="H2CDD2B1B1856427BA20F9A99F7ED8ECA"><enum>(2)</enum><text>be administered under the direction of the Assistant Secretary of Ocean Energy and Safety.</text>
</paragraph></subsection><subsection id="H230B623D423844C3BD8E48E4913C3B1C"><enum>(b)</enum><header>Director</header>
<paragraph id="HCA776F8DE4084DCFAC7F0D7B3BEED898"><enum>(1)</enum><header>Appointment</header><text>The Director shall be appointed by the Secretary of the Interior.</text>
</paragraph><paragraph id="H7E0CE452AAB84CAAA6D73D560F533F77"><enum>(2)</enum><header>Compensation</header><text>The Director shall be compensated at the rate provided for level V of the Executive Schedule under
<external-xref legal-doc="usc" parsable-cite="usc/5/5316">section 5316</external-xref> of title 5, United States Code.</text>
</paragraph></subsection><subsection id="H9104F2A8DDA34619BDE3CD69E9488F60"><enum>(c)</enum><header>Duties</header>
<paragraph id="H048F1FDDF2E2437FBFD56AFF76E3CE2F"><enum>(1)</enum><header>In general</header><text display-inline="yes-display-inline">The Secretary of the Interior shall carry out through the Service all functions, powers, and duties
vested in the Secretary relating to the administration of safety and
environmental enforcement activities related to offshore mineral and
renewable energy resources on the Outer Continental Shelf pursuant to the
Outer Continental Shelf Lands Act (<external-xref legal-doc="usc" parsable-cite="usc/43/1331">43 U.S.C. 1331 et seq.</external-xref>) including the
authority to develop, promulgate, and enforce regulations to ensure the
safe and sound exploration, development, and production of mineral and
renewable energy resources on the Outer Continental Shelf in a timely
fashion.</text>
</paragraph><paragraph id="H8BE1B772B24C4A268CD43EA0419DFA5D"><enum>(2)</enum><header>Specific authorities</header><text>The Director shall be responsible for all safety activities related to exploration and development
of renewable and mineral resources on the Outer Continental Shelf,
including—</text>
<subparagraph id="HB239DB417AE14AD2B657AE25A2A456AF"><enum>(A)</enum><text>exploration, development, production, and ongoing inspections of infrastructure;</text>
</subparagraph><subparagraph id="H82D8C6CDE33746D08D190504F3081E26"><enum>(B)</enum><text>the suspending or prohibiting, on a temporary basis, any operation or activity, including
production under leases held on the Outer Continental Shelf, in accordance
with section 5(a)(1) of the Outer Continental Shelf Lands Act (43 U.S.C.
1334(a)(1));</text>
</subparagraph><subparagraph id="HD65AB5CBDE66411BA79EFAA58FFC2D43"><enum>(C)</enum><text>cancelling any lease, permit, or right-of-way on the Outer Continental Shelf, in accordance with
section 5(a)(2) of the Outer Continental Shelf Lands Act (43 U.S.C.
1334(a)(2));</text>
</subparagraph><subparagraph id="HDB71741108724B1A8E99B08D22249549"><enum>(D)</enum><text>compelling compliance with applicable Federal laws and regulations relating to worker safety and
other matters;</text>
</subparagraph><subparagraph id="HDC31B4FC29604142944F8ECA3B5FC22C"><enum>(E)</enum><text>requiring comprehensive safety and environmental management programs for persons engaged in
activities connected with the exploration, development, and production of
mineral or renewable energy resources;</text>
</subparagraph><subparagraph id="H6AD6052B46B3406C98A5ECD1B2EEE4A3"><enum>(F)</enum><text>developing and implementing regulations for Federal employees to carry out any inspection or
investigation to ascertain compliance with applicable regulations,
including health, safety, or environmental regulations;</text>
</subparagraph><subparagraph id="HBD9280CDA45946108EC95BF03CCA280C"><enum>(G)</enum><text>implementing the Offshore Technology Research and Risk Assessment Program under section 21 of the
Outer Continental Shelf Lands Act (<external-xref legal-doc="usc" parsable-cite="usc/43/1347">43 U.S.C. 1347</external-xref>);</text>
</subparagraph><subparagraph id="H5A4B0FD2164D44EC9F96904874D28459"><enum>(H)</enum><text>summoning witnesses and directing the production of evidence;</text>
</subparagraph><subparagraph id="H7CC13D0275CE4D03B2886B2B85641B2F"><enum>(I)</enum><text>levying fines and penalties and disqualifying operators;</text>
</subparagraph><subparagraph id="H5769F33CC7CB47D4AB7106C159235D32"><enum>(J)</enum><text>carrying out any safety, response, and removal preparedness functions; and</text>
</subparagraph><subparagraph id="H9EBA7B175FF746FCB73B2675C8B62BC7"><enum>(K)</enum><text display-inline="yes-display-inline">the processing of permits, exploration plans, development plans.</text>
</subparagraph></paragraph></subsection><subsection id="H8C82D942F42A44B5B4DF1D64B6483D3B"><enum>(d)</enum><header>Employees</header>
<paragraph id="HADB364A3E17E47EFAD67E3C1319AEADA"><enum>(1)</enum><header>In general</header><text>The Secretary shall ensure that the inspection force of the Bureau consists of qualified, trained
employees who meet qualification requirements and adhere to the highest
professional and ethical standards.</text>
</paragraph><paragraph id="H929BF2FEFA2748F48A9C83B67CA0B307"><enum>(2)</enum><header>Qualifications</header><text>The qualification requirements referred to in paragraph (1)—</text>
<subparagraph id="HBAD810266CAC4964BF7E8E4D8E4DF126"><enum>(A)</enum><text>shall be determined by the Secretary, subject to subparagraph (B); and</text>
</subparagraph><subparagraph id="H3587279484574F218183D3807726F346"><enum>(B)</enum><text>shall include—</text>
<clause id="HE5B5D725CBF94DF5981B5FB9A75B5664"><enum>(i)</enum><text>3 years of practical experience in oil and gas exploration, development, or production; or</text>
</clause><clause id="H802CE1EA49EE4E0B8E9FE751BAE91483"><enum>(ii)</enum><text>a degree in an appropriate field of engineering from an accredited institution of higher learning.</text>
</clause></subparagraph></paragraph><paragraph id="HBE8C7BC5FE8C470A820DF2B3B0B3AB09"><enum>(3)</enum><header>Assignment</header><text>In assigning oil and gas inspectors to the inspection and investigation of individual operations,
the Secretary shall give due consideration to the extent possible to their
previous experience in the particular type of oil and gas operation in
which such inspections are to be made.</text>
</paragraph><paragraph id="H10216EC3DF154C598DAE1A2F5F042236"><enum>(4)</enum><header>Background checks</header><text>The Director shall require that an individual to be hired as an inspection officer undergo an
employment investigation (including a criminal history record check).</text>
</paragraph><paragraph id="HDDFF942416F24BD4B5D143F3525D18B8"><enum>(5)</enum><header>Language requirements</header><text>Individuals hired as inspectors must be able to read, speak, and write English well enough to—</text>
<subparagraph id="H3C364A3F8A3C4F6E9DF1FCF0E7BDDA6C"><enum>(A)</enum><text>carry out written and oral instructions regarding the proper performance of inspection duties; and</text>
</subparagraph><subparagraph id="H904E7150B59F452A85CBACF927A74AF8"><enum>(B)</enum><text>write inspection reports and statements and log entries in the English language.</text>
</subparagraph></paragraph><paragraph id="H8AB01D50597E4AE0838338FC276BD327"><enum>(6)</enum><header>Veterans preference</header><text>The Director shall provide a preference for the hiring of an individual as a inspection officer if
the individual is a member or former member of the Armed Forces and is
entitled, under statute, to retired, retirement, or retainer pay on
account of service as a member of the Armed Forces.</text>
</paragraph><paragraph id="H2698854C7B8A40248A59F5E32F70B8AB"><enum>(7)</enum><header>Annual proficiency review</header>
<subparagraph id="H5D035865818A46B5ABE80D9CEC524D9D"><enum>(A)</enum><header>Annual proficiency review</header><text>The Director shall provide that an annual evaluation of each individual assigned inspection duties
is conducted and documented.</text>
</subparagraph><subparagraph id="H1D0152C7B1A9430EAB11011340ADCAE3"><enum>(B)</enum><header>Continuation of employment</header><text>An individual employed as an inspector may not continue to be employed in that capacity unless the
evaluation demonstrates that the individual—</text>
<clause id="H5092451AB0784E6FA671A7A6E8B2513E"><enum>(i)</enum><text>continues to meet all qualifications and standards;</text>
</clause><clause id="H6B780398AA02477A8CD6FFEDD09B2CB3"><enum>(ii)</enum><text>has a satisfactory record of performance and attention to duty based on the standards and
requirements in the inspection program; and</text>
</clause><clause id="HE60989DFA7424C5E9B1B6523C23C1DB5"><enum>(iii)</enum><text>demonstrates the current knowledge and skills necessary to courteously, vigilantly, and effectively
perform inspection functions.</text>
</clause></subparagraph></paragraph><paragraph id="H8130C792FF964DCD8F5919908B55784B"><enum>(8)</enum><header>Limitation on right to strike</header><text>Any individual that conducts permitting or inspections under this section may not participate in a
strike, or assert the right to strike.</text>
</paragraph><paragraph id="H8CCD893F6E9D4193A61BE867418F882F"><enum>(9)</enum><header>Personnel authority</header><text>Notwithstanding any other provision of law, the Director may employ, appoint, discipline and
terminate for cause, and fix the compensation, terms, and conditions of
employment of Federal service for individuals as the employees of the
Service in order to restore and maintain the trust of the people of the
United States in the accountability of the management of our Nation’s
energy safety program.</text>
</paragraph><paragraph id="H44591A03D69F4827A6603A74C69DCA51"><enum>(10)</enum><header>Training Academy</header>
<subparagraph id="H81B9021432AF4E808E1B52C652160DD7"><enum>(A)</enum><header>In general</header><text display-inline="yes-display-inline">The Secretary shall establish and maintain a National Offshore Energy Safety Academy (referred to
in this paragraph as the <quote>Academy</quote>) as an agency of the Ocean Energy Safety Service.</text>
</subparagraph><subparagraph id="HB6866B1FAFD14B948936BB81D8F45324"><enum>(B)</enum><header>Functions of Academy</header><text>The Secretary, through the Academy, shall be responsible for—</text>
<clause id="H6514E222D96842A99536D22AC517C16A"><enum>(i)</enum><text>the initial and continued training of both newly hired and experienced offshore oil and gas
inspectors in all aspects of health, safety, environmental, and
operational inspections;</text>
</clause><clause id="HD381C305217D43DC9737AD686A7922DD"><enum>(ii)</enum><text>the training of technical support personnel of the Bureau;</text>
</clause><clause id="H221F0D6C4EE44B079A5EA49244DC287E"><enum>(iii)</enum><text>any other training programs for offshore oil and gas inspectors, Bureau personnel, Department
personnel, or other persons as the Secretary shall designate; and</text>
</clause><clause id="HF947D978BDFD42D780CD7245D3069856"><enum>(iv)</enum><text>certification of the successful completion of training programs for newly hired and experienced
offshore oil and gas inspectors.</text>
</clause></subparagraph><subparagraph id="H944215000B734D79B1A1097004D2FA32"><enum>(C)</enum><header>Cooperative agreements</header>
<clause id="H764FB8B7715C4F159B80EFB9A101F0AD"><enum>(i)</enum><header>In general</header><text>In performing functions under this paragraph, and subject to clause (ii), the Secretary may enter
into cooperative educational and training agreements with educational
institutions, related Federal academies, other Federal agencies, State
governments, safety training firms, and oil and gas operators and related
industries.</text>
</clause><clause id="HDC07F4FEE4284B28B69B7B7E4BF31F14"><enum>(ii)</enum><header>Training requirement</header><text>Such training shall be conducted by the Academy in accordance with curriculum needs and assignment
of instructional personnel established by the Secretary.</text>
</clause></subparagraph></paragraph><paragraph id="H484E9594D1104530AA87D24632926D3B"><enum>(11)</enum><header>Use of Department personnel</header><text>In performing functions under this subsection, the Secretary shall use, to the extent practicable,
the facilities and personnel of the Department of the Interior. The
Secretary may appoint or assign to the Academy such officers and employees
as the Secretary considers necessary for the performance of the duties and
functions of the Academy.</text>
</paragraph><paragraph id="HAF9BA3B0C1D24FFF9748C1A9662EC88B"><enum>(12)</enum><header>Additional training programs</header>
<subparagraph id="H6D82B302286742328889A696D4955F12"><enum>(A)</enum><header>In general</header><text>The Secretary shall work with appropriate educational institutions, operators, and representatives
of oil and gas workers to develop and maintain adequate programs with
educational institutions and oil and gas operators that are designed—</text>
<clause id="H5F5EB303DD434E43896AF73B7BF614B7"><enum>(i)</enum><text>to enable persons to qualify for positions in the administration of this subtitle; and</text>
</clause><clause id="H9450987D462A4DF382B3E370BC260980"><enum>(ii)</enum><text>to provide for the continuing education of inspectors or other appropriate Department of the
Interior personnel.</text>
</clause></subparagraph><subparagraph id="H6753FFB54EDA42E491BEBFBA8047E805"><enum>(B)</enum><header>Financial and technical assistance</header><text>The Secretary may provide financial and technical assistance to educational institutions in
carrying out this paragraph.</text>
</subparagraph></paragraph></subsection><subsection id="H01B150E1FB7646D880B866A4466EA2E7"><enum>(e)</enum><header>Limitation</header><text>The Secretary shall not carry out through the Service any function, power, or duty that is—</text>
<paragraph id="HEA5B44BB952E43B79ED9412CAE550D74"><enum>(1)</enum><text>required by section 4542 to be carried out through the Bureau of Ocean Energy; or</text>
</paragraph><paragraph id="H771EB4536F4F41968693F6B18601D294"><enum>(2)</enum><text>required by section 4544 to be carried out through the Office of Natural Resources Revenue.</text>
</paragraph></subsection></section><section id="H9AD8654CB5224A30BC75A8A0D4A412AC"><enum>4544.</enum><header>Office of Natural Resources revenue</header>
<subsection id="H3A7DAAEE312E41D2BCB1B8C5B4D210A2"><enum>(a)</enum><header>Establishment</header><text>There is established in the Department of the Interior an Office of Natural Resources Revenue
(referred to in this section as the <quote>Office</quote>) to be headed by a Director of Natural Resources Revenue (referred to in this section as the <quote>Director</quote>).</text>
</subsection><subsection id="H2C7C20E18DA64A56A8066C660F495474"><enum>(b)</enum><header>Appointment and compensation</header>
<paragraph id="HC4E1B63EBC7243B5844323936F8D0F58"><enum>(1)</enum><header>In general</header><text display-inline="yes-display-inline">The Director shall be appointed by the Secretary of the Interior.</text>
</paragraph><paragraph id="H2CD14B05E18F4806BB6B251806B03B60"><enum>(2)</enum><header>Compensation</header><text>The Director shall be compensated at the rate provided for level V of the Executive Schedule under
<external-xref legal-doc="usc" parsable-cite="usc/5/5316">section 5316</external-xref> of title 5, United States Code.</text>
</paragraph></subsection><subsection id="HB6FE5029E9024BCF8A332207F832A009"><enum>(c)</enum><header>Duties</header>
<paragraph id="H196FD3C8392545ED9AF7BB96CC730880"><enum>(1)</enum><header>In general</header><text>The Secretary of the Interior shall carry out, through the Office, all functions, powers, and
duties vested in the Secretary and relating to the administration of
offshore royalty and revenue management functions.</text>
</paragraph><paragraph id="H8024C9AFEEF84BFBB48392469B21142F"><enum>(2)</enum><header>Specific authorities</header><text>The Secretary shall carry out, through the Office, all functions, powers, and duties previously
assigned to the Minerals Management Service (including the authority to
develop, promulgate, and enforce regulations) regarding offshore royalty
and revenue collection; royalty and revenue distribution; auditing and
compliance; investigation and enforcement of royalty and revenue
regulations; and asset management for onshore and offshore activities.</text>
</paragraph></subsection><subsection id="H5B7539A3D169414F98672EF00E1155BD"><enum>(d)</enum><header>Limitation</header><text>The Secretary shall not carry out through the Office any function, power, or duty that is—</text>
<paragraph id="HE6AA83D4A5EB44A4B270AF860E3D952A"><enum>(1)</enum><text>required by section 4542 to be carried out through the Bureau of Ocean Energy; or</text>
</paragraph><paragraph id="H54ACBA720A0C4182A7ACA6953749212D"><enum>(2)</enum><text>required by section 4543 to be carried out through the Ocean Energy Safety Service.</text>
</paragraph></subsection></section><section id="H46707CE79B2949EDBC0ED0D7C08D2EE7"><enum>4545.</enum><header>Ethics and drug testing</header>
<subsection id="HB4B544ABFDB54634B19861BA1B555780"><enum>(a)</enum><header>Certification</header><text display-inline="yes-display-inline">The Secretary of the Interior shall certify annually that all Department of the Interior officers
and employees having regular, direct contact with lessees, contractors,
concessionaires, and other businesses interested before the Government as
a function of their official duties, or conducting investigations, issuing
permits, or responsible for oversight of energy programs, are in full
compliance with all Federal employee ethics laws and regulations under the
Ethics in Government Act of 1978 (5 U.S.C. App.) and part 2635 of title 5,
Code of Federal Regulations, and all guidance issued under subsection (c).</text>
</subsection><subsection id="H85C47C6FC70949F39F6CC1877616FE0C"><enum>(b)</enum><header>Drug Testing</header><text>The Secretary shall conduct a random drug testing program of all Department of the Interior
personnel referred to in subsection (a).</text>
</subsection><subsection id="H3E0C7206845A44CA9E8121ABB3B8A48B"><enum>(c)</enum><header>Guidance</header><text>Not later than 90 days after the date of enactment of this Act, the Secretary shall issue
supplementary ethics and drug testing guidance for the employees for which
certification is required under subsection (a). The Secretary shall update
the supplementary ethics guidance not less than once every 3 years
thereafter.</text>
</subsection></section><section id="H128CD86F6AF04C89B98491136435E5CE"><enum>4546.</enum><header>Abolishment of Minerals Management Service</header>
<subsection id="HE2BD6E6B357E45C4B6AF3808F9AAFA82"><enum>(a)</enum><header>Abolishment</header><text>The Minerals Management Service is abolished.</text>
</subsection><subsection id="H652F61F808244E0582AFF6098B7F5F96"><enum>(b)</enum><header>Completed administrative actions</header>
<paragraph id="HF86C0A3EE7254B258228524AA9152622"><enum>(1)</enum><header>In general</header><text display-inline="yes-display-inline">Completed administrative actions of the Minerals Management Service shall not be affected by the
enactment of this Act, but shall continue in effect according to their
terms until amended, modified, superseded, terminated, set aside, or
revoked in accordance with law by an officer of the United States or a
court of competent jurisdiction, or by operation of law.</text>
</paragraph><paragraph id="H48B05DF9328544AB8B3156F825193100"><enum>(2)</enum><header>Completed administrative action defined</header><text display-inline="yes-display-inline">For purposes of paragraph (1), the term <term>completed administrative action</term> includes orders, determinations, memoranda of understanding, memoranda of agreements, rules,
regulations, personnel actions, permits, agreements, grants, contracts,
certificates, licenses, registrations, and privileges.</text>
</paragraph></subsection><subsection id="H73B2C744138346608ECE88C1D2DFCF29"><enum>(c)</enum><header>Pending Proceedings</header><text>Subject to the authority of the Secretary of the Interior and the officers of the Department of the
Interior under this subtitle—</text>
<paragraph id="H5E7A52506CC042CD84A48C9363D5F633"><enum>(1)</enum><text display-inline="yes-display-inline">pending proceedings in the Minerals Management Service, including notices of proposed rulemaking,
and applications for licenses, permits, certificates, grants, and
financial assistance, shall continue, notwithstanding the enactment of
this subtitle or the vesting of functions of the Service in another
agency, unless discontinued or modified under the same terms and
conditions and to the same extent that such discontinuance or modification
could have occurred if this subtitle had not been enacted; and</text>
</paragraph><paragraph id="H1B59542018554BC0A6AC59B5C5982C69"><enum>(2)</enum><text>orders issued in such proceedings, and appeals therefrom, and payments made pursuant to such
orders, shall issue in the same manner and on the same terms as if this
subtitle had not been enacted, and any such orders shall continue in
effect until amended, modified, superseded, terminated, set aside, or
revoked by an officer of the United States or a court of competent
jurisdiction, or by operation of law.</text>
</paragraph></subsection><subsection id="H78A467F261DD4412860D33CA9624D8B6"><enum>(d)</enum><header>Pending Civil Actions</header><text>Subject to the authority of the Secretary of the Interior or any officer of the Department of the
Interior under this subtitle, pending civil actions shall continue
notwithstanding the enactment of this subtitle, and in such civil actions,
proceedings shall be had, appeals taken, and judgments rendered and
enforced in the same manner and with the same effect as if such enactment
had not occurred.</text>
</subsection><subsection id="HB966D208C61C4FFD94A9DA92C337BE04"><enum>(e)</enum><header>References</header><text display-inline="yes-display-inline">References relating to the Minerals Management Service in statutes, Executive orders, rules,
regulations, directives, or delegations of authority that precede the
effective date of this Act are deemed to refer, as appropriate, to the
Department, to its officers, employees, or agents, or to its corresponding
organizational units or functions. Statutory reporting requirements that
applied in relation to the Minerals Management Service immediately before
the effective date of this subtitle shall continue to apply.</text>
</subsection></section><section commented="no" id="H167553DA5CBF4663AE8F7A9468CC6101"><enum>4547.</enum><header>Conforming amendments to Executive Schedule pay rates</header>
<subsection commented="no" id="H4D2761A55941474185B3F73626CB5DE7"><enum>(a)</enum><header>Under Secretary for Energy, Lands, and Minerals</header><text display-inline="yes-display-inline"><external-xref legal-doc="usc" parsable-cite="usc/5/5314">Section 5314</external-xref> of title 5, United States Code, is amended by inserting after the item relating to <quote>Under Secretaries of the Treasury (3).</quote> the following:</text>
<quoted-block display-inline="no-display-inline" id="H47EA244003C040359101366634E3DA8C" style="OLC"><list level="paragraph"><list-item>Under Secretary for Energy, Lands, and Minerals, Department of the Interior.</list-item></list><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection commented="no" id="H965A276D8D6245448746C3D311015500"><enum>(b)</enum><header>Assistant Secretaries</header><text display-inline="yes-display-inline"><external-xref legal-doc="usc" parsable-cite="usc/5/5315">Section 5315</external-xref> of title 5, United States Code, is amended by striking <quote>Assistant Secretaries of the Interior (6).</quote> and inserting the following:</text>
<quoted-block display-inline="no-display-inline" id="HC89E7AB9D0E344EC9AB476E9AF352598" style="OLC"><list level="paragraph"><list-item>Assistant Secretaries, Department of the Interior (7).</list-item></list><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection id="H7C87E7E81716440CA21AC3DFD6543BE0"><enum>(c)</enum><header>Directors</header><text display-inline="yes-display-inline"><external-xref legal-doc="usc" parsable-cite="usc/5/5316">Section 5316</external-xref> of title 5, United States Code, is amended by striking <quote>Director, Bureau of Mines, Department of the Interior.</quote> and inserting the following new items:</text>
<quoted-block display-inline="no-display-inline" id="HEE5DFA7E158844689DED3B523AA54EC6" style="OLC"><list level="paragraph"><list-item>Director, Bureau of Ocean Energy, Department of the Interior.</list-item><list-item>Director, Ocean Energy Safety Service, Department of the Interior.</list-item><list-item>Director, Office of Natural Resources Revenue, Department of the Interior.</list-item></list><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection></section><section id="HBF1625E11E7D42DD9C46E0B95FF5C21B"><enum>4548.</enum><header>Outer Continental Shelf Energy Safety Advisory Board</header>
<subsection id="H57C034978B1A44A6B3C2C8C6172E6975"><enum>(a)</enum><header>Establishment</header><text display-inline="yes-display-inline">The Secretary of the Interior shall establish, under the Federal Advisory Committee Act, an Outer
Continental Shelf Energy Safety Advisory Board (referred to in this
section as the <quote>Board</quote>)—</text>
<paragraph id="H7FC42AEA34C2447292CACB0AA7BC2DA7"><enum>(1)</enum><text>to provide the Secretary and the Directors established by this Act with independent scientific and
technical advice on safe, responsible, and timely mineral and renewable
energy exploration, development, and production activities; and</text>
</paragraph><paragraph id="H98FED686F4C74351A10BDE0404722789"><enum>(2)</enum><text display-inline="yes-display-inline">to review operations of the National Offshore Energy Health and Safety Academy established under
section 4543(d), including submitting to the Secretary recommendations of
curriculum to ensure training scientific and technical advancements.</text>
</paragraph></subsection><subsection display-inline="no-display-inline" id="HB4F2A9DED98049B2BDCBEFA5C1CBEF30"><enum>(b)</enum><header>Membership</header>
<paragraph id="HFC36FCBBB89C43D59F25D6FEE4644D3A"><enum>(1)</enum><header>Size</header><text>The Board shall consist of not more than 11 members, who—</text>
<subparagraph id="HFD86D3ACF3FE494C86B9CD347A10725B"><enum>(A)</enum><text>shall be appointed by the Secretary based on their expertise in oil and gas drilling, well design,
operations, well containment and oil spill response; and</text>
</subparagraph><subparagraph id="H0FB6F35BDDBD44B1B022FACC7B6A4B8B"><enum>(B)</enum><text>must have significant scientific, engineering, management, and other credentials and a history of
working in the field related to safe energy exploration, development, and
production activities.</text>
</subparagraph></paragraph><paragraph id="H51CAC6E2FDB64BB3A874879CE9FE102B"><enum>(2)</enum><header>Consultation and nominations</header><text>The Secretary shall consult with the National Academy of Sciences and the National Academy of
Engineering to identify potential candidates for the Board and shall take
nominations from the public.</text>
</paragraph><paragraph id="H041A3F1626E54C92B5F8AE13B39C3379"><enum>(3)</enum><header>Term</header><text>The Secretary shall appoint Board members to staggered terms of not more than 4 years, and shall
not appoint a member for more than 2 consecutive terms.</text>
</paragraph><paragraph id="H177F7AC04B8E4860B6EDCA7DBE177376"><enum>(4)</enum><header>Balance</header><text>In appointing members to the Board, the Secretary shall ensure a balanced representation of
industry and research interests.</text>
</paragraph></subsection><subsection id="HC70BF3200E8A4CC2A1B324FC7EDFF1E2"><enum>(c)</enum><header>Chair</header><text>The Secretary shall appoint the Chair for the Board from among its members.</text>
</subsection><subsection id="HFB4D75078A8340778ECC537AF7C96DF2"><enum>(d)</enum><header>Meetings</header><text>The Board shall meet not less than 3 times per year and shall host, at least once per year, a
public forum to review and assess the overall energy safety performance of
Outer Continental Shelf mineral and renewable energy resource activities.</text>
</subsection><subsection id="H3DDA235811734FAB8DFAABA6E8861F5F"><enum>(e)</enum><header>Offshore drilling safety assessments and recommendations</header><text>As part of its duties under this section, the Board shall, by not later than 180 days after the
date of enactment of this section and every 5 years thereafter, submit to
the Secretary a report that—</text>
<paragraph id="H79989ED690954263B2518787B0AF0A62"><enum>(1)</enum><text>assesses offshore oil and gas well control technologies, practices, voluntary standards, and
regulations in the United States and elsewhere; and</text>
</paragraph><paragraph id="HE29B76D964D242D9A38C31AFF23AE889"><enum>(2)</enum><text display-inline="yes-display-inline">as appropriate, recommends modifications to the regulations issued under this subtitle to ensure
adequate protection of safety and the environment, including
recommendations on how to reduce regulations and administrative actions
that are duplicative or unnecessary.</text>
</paragraph></subsection><subsection id="H285529D7BAC74E1994923252BE076D69"><enum>(f)</enum><header>Reports</header><text>Reports of the Board shall be submitted by the Board to the Committee on Natural Resources of the
House of Representatives and the Committee on Energy and Natural Resources
of the Senate and made available to the public in electronically
accessible form.</text>
</subsection><subsection id="HFB430ACEBF6B4053BBDC72E06C3A0C1D"><enum>(g)</enum><header>Travel expenses</header><text>Members of the Board, other than full-time employees of the Federal Government, while attending a
meeting of the Board or while otherwise serving at the request of the
Secretary or the Director while serving away from their homes or regular
places of business, may be allowed travel expenses, including per diem in
lieu of subsistence, as authorized by <external-xref legal-doc="usc" parsable-cite="usc/5/5703">section 5703</external-xref> of title 5, United
States Code, for individuals in the Government serving without pay.</text>
</subsection></section><section id="H5C867943D7C542239E2AFF73F2F89726"><enum>4549.</enum><header>Outer Continental Shelf inspection fees</header><text display-inline="no-display-inline">Section 22 of the Outer Continental Shelf Lands Act (<external-xref legal-doc="usc" parsable-cite="usc/43/1348">43 U.S.C. 1348</external-xref>) is amended by adding at the
end of the section the following:</text>
<quoted-block id="H85DD7663B1194DBCBEF4059C8076EA53" style="OLC">
<subsection id="H44856910E8034AF59338272CCCEBFE47"><enum>(g)</enum><header>Inspection fees</header>
<paragraph id="HD4378964871F4BA29A445F1C505A952C"><enum>(1)</enum><header>Establishment</header><text>The Secretary of the Interior shall collect from the operators of facilities subject to inspection
under subsection (c) non-refundable fees for such inspections—</text>
<subparagraph id="HB7287559A0C64C6896A1DD9DC259609A"><enum>(A)</enum><text>at an aggregate level equal to the amount necessary to offset the annual expenses of inspections of
outer Continental Shelf facilities (including mobile offshore drilling
units) by the Department of the Interior; and</text>
</subparagraph><subparagraph id="H27FFEFECCDA04B87B63BC6DC5D28DD30"><enum>(B)</enum><text>using a schedule that reflects the differences in complexity among the classes of facilities to be
inspected.</text>
</subparagraph></paragraph><paragraph id="HE8541C95979D4A67A27CC98AA13C2EBC"><enum>(2)</enum><header>Ocean energy safety fund</header><text>There is established in the Treasury a fund, to be known as the <quote>Ocean Energy Enforcement Fund</quote> (referred to in this subsection as the <quote>Fund</quote>), into which shall be deposited all amounts collected as fees under paragraph (1) and which shall
be available as provided under paragraph (3).</text>
</paragraph><paragraph id="H7F0B28D896D140DFBF69CEA0BDF355F9"><enum>(3)</enum><header>Availability of fees</header>
<subparagraph id="H37C4C5E2A5EA4E7499B1499FBEC2ED3B"><enum>(A)</enum><header>In general</header><text display-inline="yes-display-inline">Notwithstanding <external-xref legal-doc="usc" parsable-cite="usc/31/3302">section 3302</external-xref> of title 31, United States Code, all amounts deposited in the Fund—</text>
<clause id="H4296E00039974549A16070E20802DA04"><enum>(i)</enum><text>shall be credited as offsetting collections;</text>
</clause><clause id="HEFFDA13ED848416881BF67F15E9F2DE9"><enum>(ii)</enum><text>shall be available for expenditure for purposes of carrying out inspections of outer Continental
Shelf facilities (including mobile offshore drilling units) and the
administration of the inspection program under this section;</text>
</clause><clause id="HD4D5D7AE2B3544999BE15A5CBE3E5AC1"><enum>(iii)</enum><text>shall be available only to the extent provided for in advance in an appropriations Act; and</text>
</clause><clause id="H45131032F24B448680BF71DDC44FBF31"><enum>(iv)</enum><text>shall remain available until expended.</text>
</clause></subparagraph><subparagraph id="H0FD16DA91FC34A658DD8238C0EEBFFE6"><enum>(B)</enum><header>Use for field offices</header><text>Not less than 75 percent of amounts in the Fund may be appropriated for use only for the respective
Department of the Interior field offices where the amounts were originally
assessed as fees.</text>
</subparagraph></paragraph><paragraph id="H95A86E86F0BB49AAA040071A1E9932BD"><enum>(4)</enum><header>Initial fees</header><text display-inline="yes-display-inline">Fees shall be established under this subsection for the fiscal year in which this subsection takes
effect and the subsequent 10 years, and shall not be raised without advise
and consent of the Congress, except as determined by the Secretary to be
appropriate as an adjustment equal to the percentage by which the Consumer
Price Index for the month of June of the calendar year preceding the
adjustment exceeds the Consumer Price Index for the month of June of the
calendar year in which the claim was determined or last adjusted.</text>
</paragraph><paragraph id="H5EE6BE35CACF406CB013237C8DC9C333"><enum>(5)</enum><header>Annual fees</header><text>Annual fees shall be collected under this subsection for facilities that are above the waterline,
excluding drilling rigs, and are in place at the start of the fiscal year.
Fees for fiscal year 2014 shall be—</text>
<subparagraph id="HE764A28609D1455894551DFE586E6F62"><enum>(A)</enum><text>$10,500 for facilities with no wells, but with processing equipment or gathering lines;</text>
</subparagraph><subparagraph id="H128E6C4552854242B8FF572B3DEA174F"><enum>(B)</enum><text>$17,000 for facilities with 1 to 10 wells, with any combination of active or inactive wells; and</text>
</subparagraph><subparagraph id="H716E12F0B5FC48BCB8A5416B08677FB0"><enum>(C)</enum><text>$31,500 for facilities with more than 10 wells, with any combination of active or inactive wells.</text>
</subparagraph></paragraph><paragraph id="H70C5F93908F74913903D7C222BC173F4"><enum>(6)</enum><header>Fees for drilling rigs</header><text>Fees for drilling rigs shall be assessed under this subsection for all inspections completed in
fiscal years 2014 through 2023. Fees for fiscal year 2014 shall be—</text>
<subparagraph id="H95A7F7CA91FB46BBB6A360B594DF675C"><enum>(A)</enum><text>$30,500 per inspection for rigs operating in water depths of 1,000 feet or more; and</text>
</subparagraph><subparagraph id="H2A8A53B3562C490695EF80A45EFA3639"><enum>(B)</enum><text>$16,700 per inspection for rigs operating in water depths of less than 1,000 feet.</text>
</subparagraph></paragraph><paragraph id="H8EF28896897D420B83294E34FD01A449"><enum>(7)</enum><header>Billing</header><text>The Secretary shall bill designated operators under paragraph (5) within 60 days after the date of
the inspection, with payment required within 30 days of billing. The
Secretary shall bill designated operators under paragraph (6) within 30
days of the end of the month in which the inspection occurred, with
payment required within 30 days after billing.</text>
</paragraph><paragraph id="H4FB9A2FFA59D4704ABF2D141CFEC5A22"><enum>(8)</enum><header>Sunset</header><text>No fee may be collected under this subsection for any fiscal year after fiscal year 2023.</text>
</paragraph><paragraph id="H9E78BC1734B346E38E1C62217914FD63"><enum>(9)</enum><header>Annual reports</header>
<subparagraph id="H096F0302BBF44CD0BFD20196FEE4B9DB"><enum>(A)</enum><header>In general</header><text>Not later than 60 days after the end of each fiscal year beginning with fiscal year 2015, the
Secretary shall submit to the Committee on Energy and Natural Resources of
the Senate and the Committee on Natural Resources of the House of
Representatives a report on the operation of the Fund during the fiscal
year.</text>
</subparagraph><subparagraph id="HEDF6AF6543374566AD599ACEC9C318F1"><enum>(B)</enum><header>Contents</header><text>Each report shall include, for the fiscal year covered by the report, the following:</text>
<clause id="H6AE82886D6A64A0FB4C4DC5CFBE6550E"><enum>(i)</enum><text>A statement of the amounts deposited into the Fund.</text>
</clause><clause id="H08BBF4D140B442BCBC7A7272D61DB5A3"><enum>(ii)</enum><text>A description of the expenditures made from the Fund for the fiscal year, including the purpose of
the expenditures and the additional hiring of personnel.</text>
</clause><clause id="H1B83C5BABE504641BFE778582F6D5C11"><enum>(iii)</enum><text>A statement of the balance remaining in the Fund at the end of the fiscal year.</text>
</clause><clause id="H9A1A6D1FC19C4E65BCE957AE645765A5"><enum>(iv)</enum><text>An accounting of pace of permit approvals.</text>
</clause><clause id="HB6F9010338AF476AB71BBBAE83B83F34"><enum>(v)</enum><text>If fee increases are proposed after the initial 10-year period referred to in paragraph (5), a
proper accounting of the potential adverse economic impacts such fee
increases will have on offshore economic activity and overall production,
conducted by the Secretary.</text>
</clause><clause id="HC4692946ACA24446B30348EE2F56942D"><enum>(vi)</enum><text>Recommendations to increase the efficacy and efficiency of offshore inspections.</text>
</clause><clause id="H4248B565F0BE46279403A8025039CE1A"><enum>(vii)</enum><text>Any corrective actions levied upon offshore inspectors as a result of any form of misconduct.</text></clause></subparagraph></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block>
</section><section id="H775E3D685B544BF896409A1C61D7FDED"><enum>4550.</enum><header>Prohibition on action based on National Ocean Policy developed under Executive Order No. 13547</header>
<subsection id="HC43F9F5AFEFB46E3A198FEA36CE4AB9E"><enum>(a)</enum><header>Prohibition</header><text display-inline="yes-display-inline">The Bureau of Ocean Energy and the Ocean Energy Safety Service may not develop, propose, finalize,
administer, or implement, any limitation on activities under their
jurisdiction as a result of the coastal and marine spatial planning
component of the National Ocean Policy developed under Executive Order No.
13547.</text>
</subsection><subsection id="HE766023360C845C9BDA0247A12B78C46"><enum>(b)</enum><header>Report on expenditures</header><text display-inline="yes-display-inline">Not later than 60 days after the date of enactment of this Act, the President shall submit a report
to the Committee on Natural Resources of the House of Representatives and
the Committee on Energy and Natural Resources of the Senate identifying
all Federal expenditures in fiscal years 2011, 2012, 2013, and 2014, by
the Bureau of Ocean Energy and the Ocean Energy Safety Service and their
predecessor agencies, by agency, account, and any pertinent subaccounts,
for the development, administration, or implementation of the coastal and
marine spatial planning component of the National Ocean Policy developed
under Executive Order No. 13547, including staff time, travel, and other
related expenses.</text>
</subsection></section></chapter><chapter id="HBCDF75A6FEAA4753953734AED45C9CC2"><enum>5</enum><header>United States Territories</header>
<section id="HBA9FA86C637C454289EA8C8DA8496AA9"><enum>4551.</enum><header>Application of Outer Continental Shelf Lands Act with respect to territories of the United States</header><text display-inline="no-display-inline">Section 2 of the Outer Continental Shelf Lands Act (<external-xref legal-doc="usc" parsable-cite="usc/43/1331">43 U.S.C. 1331</external-xref>) is amended—</text>
<paragraph id="H77550062B07549F19DDE0E475553FBF5"><enum>(1)</enum><text>in paragraph (a), by inserting after <quote>control</quote> the following: <quote>or lying within the United States exclusive economic zone and the Continental Shelf adjacent to any
territory of the United States</quote>;</text>
</paragraph><paragraph id="HFABF156FDA1A4CF1AF8469E96F452D16"><enum>(2)</enum><text>in paragraph (p), by striking <quote>and</quote> after the semicolon at the end;</text>
</paragraph><paragraph id="HD72F6D0B556D4904ABE3177286A319C7"><enum>(3)</enum><text>in paragraph (q), by striking the period at the end and inserting <quote>; and</quote>; and</text>
</paragraph><paragraph id="HD3340D47C71D46FCB0A022811A047399"><enum>(4)</enum><text>by adding at the end the following:</text>
<quoted-block id="H9572B468DD424B8083203908AEF6B430" style="OLC">
<subsection id="HB78385E19BA84E8DAF2A913E482FE241"><enum>(r)</enum><text>The term <term>State</term> includes each territory of the United States.</text></subsection><after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph></section></chapter><chapter id="H6310C9CF23E4414DAFB42F9140E14155"><enum>6</enum><header>Miscellaneous Provisions</header>
<section id="HDA0F5C994DDF4D5E802A6B194E42A4F2"><enum>4561.</enum><header>Rules regarding distribution of revenues under Gulf of Mexico Energy Security Act of 2006</header>
<subsection id="H8494178BC2684D65BBB89C39A4997CC7"><enum>(a)</enum><header>In general</header><text>Not later than 60 days after the date of enactment of this Act, the Secretary of the Interior shall
issue rules to provide more clarity, certainty, and stability to the
revenue streams contemplated by the Gulf of Mexico Energy Security Act of
2006 (<external-xref legal-doc="usc" parsable-cite="usc/43/1331">43 U.S.C. 1331</external-xref> note).</text>
</subsection><subsection id="H5572A1C81A464534A6163269F1960F8D"><enum>(b)</enum><header>Contents</header><text display-inline="yes-display-inline">The rules shall include clarification of the timing and methods of disbursements of funds under
section 105(b)(2) of such Act.</text>
</subsection></section><section id="HB21DFB0D24F34563A7849E612243AAB5"><enum>4562.</enum><header>Amount of distributed qualified outer Continental Shelf revenues</header><text display-inline="no-display-inline">Section 105(f)(1) of the Gulf of Mexico Energy Security Act of 2006 (title I of division C of
<external-xref legal-doc="public-law" parsable-cite="pl/109/432">Public Law 109–432</external-xref>; <external-xref legal-doc="usc" parsable-cite="usc/43/1331">43 U.S.C. 1331</external-xref> note) shall be applied by substituting <quote>2024, and shall not exceed $999,999,999 for each of fiscal years 2025 through 2056</quote> for <quote>2055</quote>.</text>
</section></chapter><chapter id="HE4E98BD3F25D479C852181CDFCB26F31"><enum>7</enum><header>Judicial Review</header>
<section id="H4380A57D33164B35A45459568E210AA8"><enum>4571.</enum><header>Time for filing complaint</header>
<subsection id="HA9E31768FFB7440EA10067B00F758226"><enum>(a)</enum><header>In general</header><text>Any cause of action that arises from a covered energy decision must be filed not later than the end
of the 60-day period beginning on the date of the covered energy decision.
Any cause of action not filed within this time period shall be barred.</text>
</subsection><subsection id="H91783C6B34A04568A42C673CFCA9D7E7"><enum>(b)</enum><header>Exception</header><text>Subsection (a) shall not apply to a cause of action brought by a party to a covered energy lease.</text>
</subsection></section><section id="H597AE0BD2CA14C63A2D12F6EB282DD0E"><enum>4572.</enum><header>District court deadline</header>
<subsection id="HC3B485630AAE4251A8F2396198210710"><enum>(a)</enum><header>In general</header><text>All proceedings that are subject to section 4571—</text>
<paragraph id="H2004AB0CAFFA4268A62FA6DD148298D8"><enum>(1)</enum><text>shall be brought in the United States district court for the district in which the Federal property
for which a covered energy lease is issued is located or the United States
District Court of the District of Columbia;</text>
</paragraph><paragraph id="HD555D579E1EE43F2BDEC3AA1A5E870D7"><enum>(2)</enum><text>shall be resolved as expeditiously as possible, and in any event not more than 180 days after such
cause or claim is filed; and</text>
</paragraph><paragraph id="HB2D51D3F80D94768ACDB3CA231FCDCA4"><enum>(3)</enum><text>shall take precedence over all other pending matters before the district court.</text>
</paragraph></subsection><subsection id="HE147DEBD398B4D5496BBE773CC63B35B"><enum>(b)</enum><header>Failure To comply with deadline</header><text>If an interlocutory or final judgment, decree, or order has not been issued by the district court
by the deadline described under this section, the cause or claim shall be
dismissed with prejudice and all rights relating to such cause or claim
shall be terminated.</text>
</subsection></section><section id="H0650B8D3242243FD982A2D245FBF2AC3"><enum>4573.</enum><header>Ability to seek appellate review</header><text display-inline="no-display-inline">An interlocutory or final judgment, decree, or order of the district court in a proceeding that is
subject to section 4571 may be reviewed by the U.S. Court of Appeals for
the District of Columbia Circuit. The D.C. Circuit shall resolve any such
appeal as expeditiously as possible and, in any event, not more than 180
days after such interlocutory or final judgment, decree, or order of the
district court was issued.</text>
</section><section id="HC76FE318A84C463CB8FBAACD94D4E648"><enum>4574.</enum><header>Limitation on scope of review and relief</header>
<subsection id="H9F591D65A2FF4326BDE468AC514E8923"><enum>(a)</enum><header>Administrative findings and conclusions</header><text>In any judicial review of any Federal action under this chapter, any administrative findings and
conclusions relating to the challenged Federal action shall be presumed to
be correct unless shown otherwise by clear and convincing evidence
contained in the administrative record.</text>
</subsection><subsection id="H4557ACF88B09415080FB9D3CCA9B9462"><enum>(b)</enum><header>Limitation on prospective relief</header><text>In any judicial review of any action, or failure to act, under this chapter, the Court shall not
grant or approve any prospective relief unless the Court finds that such
relief is narrowly drawn, extends no further than necessary to correct the
violation of a Federal law requirement, and is the least intrusive means
necessary to correct the violation concerned.</text>
</subsection></section><section id="HCE1BCE1F19D8491A889C6299EEB319D6"><enum>4575.</enum><header>Legal fees</header><text display-inline="no-display-inline">Any person filing a petition seeking judicial review of any action, or failure to act, under this
chapter who is not a prevailing party shall pay to the prevailing parties
(including intervening parties), other than the United States, fees and
other expenses incurred by that party in connection with the judicial
review, unless the Court finds that the position of the person was
substantially justified or that special circumstances make an award
unjust.</text>
</section><section id="H9BEED690A4E943519F135D6498E8A74E"><enum>4576.</enum><header>Exclusion</header><text display-inline="no-display-inline">This chapter shall not apply with respect to disputes between the parties to a lease issued
pursuant to an authorizing leasing statute regarding the obligations of
such lease or the alleged breach thereof.</text>
</section><section id="H3A7C0D8AA5294C32A217076D9973A45E"><enum>4577.</enum><header>Definitions</header><text display-inline="no-display-inline">In this chapter, the following definitions apply:</text>
<paragraph id="HAE9ABC11E923402485F152ABB49D0021"><enum>(1)</enum><header>Covered energy decision</header><text>The term <term>covered energy decision</term> means any action or decision by a Federal official regarding the issuance of a covered energy
lease.</text>
</paragraph><paragraph id="HC936918B95444762B6050308DF6D64A7"><enum>(2)</enum><header>Covered energy lease</header><text display-inline="yes-display-inline">The term <term>covered energy lease</term> means any lease under this subtitle or under an oil and gas leasing program under this subtitle.</text>
</paragraph></section></chapter></subtitle>