[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[H.R. 359 Introduced in House (IH)]






109th CONGRESS
  1st Session
                                H. R. 359

 To require certain terms and conditions for the siting, construction, 
expansion, and operation of liquefied natural gas import terminals, and 
                          for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                            January 25, 2005

Mr. Terry (for himself, Mr. Gene Green of Texas, Mr. Nunes, Mr. English 
    of Pennsylvania, Mr. Wilson of South Carolina, Mr. Bartlett of 
 Maryland, Mr. Gonzalez, and Mr. LaTourette) introduced the following 
    bill; which was referred to the Committee on Energy and Commerce

_______________________________________________________________________

                                 A BILL


 
 To require certain terms and conditions for the siting, construction, 
expansion, and operation of liquefied natural gas import terminals, and 
                          for other purposes.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Liquefied Natural Gas Act of 2005''.

SEC. 2. TERMS AND CONDITIONS FOR LIQUEFIED NATURAL GAS IMPORT 
              TERMINALS.

    (a) Exportation or Importation of Natural Gas.--Section 3 of the 
Natural Gas Act (15 U.S.C. 717b) is amended to read as follows:

              ``exportation or importation of natural gas

    ``Sec. 3. (a) Authorization Order.--No person shall export any 
natural gas from the United States to a foreign country or import any 
natural gas from a foreign country without first having secured an 
order of the Secretary of Energy authorizing such person to do so. The 
Secretary shall issue such order upon application, unless, after 
opportunity for hearing, the Secretary finds that the proposed 
exportation or importation will not be consistent with the public 
interest. The Secretary may by order grant such application, in whole 
or in part, with such modification and upon such terms and conditions 
as the Secretary may find necessary or appropriate, and may from time 
to time, after opportunity for hearing, and for good cause shown, make 
such supplemental order as the Secretary may find necessary or 
appropriate.
    ``(b) Free Trade Agreements and Liquefied Natural Gas.--With 
respect to natural gas which is imported into the United States from a 
nation with which there is in effect a free trade agreement requiring 
national treatment for trade in natural gas, and with respect to 
liquefied natural gas--
            ``(1) the importation of such natural gas shall be treated 
        as a `first sale' within the meaning of section 2(21) of the 
        Natural Gas Policy Act of 1978; and
            ``(2) the Secretary of Energy shall not, on the basis of 
        national origin, treat any such imported natural gas on an 
        unjust, unreasonable, unduly discriminatory, or preferential 
        basis.
    ``(c) Application and Approval Process.--For purposes of subsection 
(a), the importation of the natural gas referred to in subsection (b), 
or the exportation of natural gas to a nation with which there is in 
effect a free trade agreement requiring national treatment for trade in 
natural gas, shall be deemed to be consistent with the public interest, 
and applications for such importation or exportation shall be granted 
without modification or delay.
    ``(d) Authorization for Liquefied Natural Gas Import Terminals.--
(1) No person shall site, construct, expand, or operate a liquefied 
natural gas import terminal without first having secured an order of 
the Federal Energy Regulatory Commission authorizing such person to do 
so. The Federal Energy Regulatory Commission shall issue such order 
upon application, unless, after opportunity for hearing, it finds that 
the proposed siting, construction, expansion, or operation will not be 
consistent with the public interest. The Federal Energy Regulatory 
Commission may by its order grant such application, in whole or in 
part, with such modification and upon such terms and conditions as the 
Federal Energy Regulatory Commission may find necessary or appropriate.
    ``(2) An order issued pursuant to paragraph (1) shall not be 
conditioned on--
            ``(A) a requirement that the liquefied natural gas import 
        terminal offer service to persons other than the person 
        securing the order;
            ``(B) any regulation of the liquefied natural gas import 
        terminal's rates, charges, terms, or conditions of service; or
            ``(C) a requirement to file with the Federal Energy 
        Regulatory Commission schedules or contracts related to the 
        liquefied natural gas import terminal's rates, charges, terms, 
        or conditions of service.
    ``(3) Except as otherwise provided by Federal law, no State or 
local government may require a permit, license, concurrence, approval, 
certificate, or other form of authorization with respect to the siting, 
construction, expansion, or operation of a liquefied natural gas import 
terminal.
    ``(4) Any decision made or action taken by a Federal administrative 
agency or officer (or State administrative agency or officer acting 
under delegated Federal authority) with respect to the siting, 
construction, expansion, or operation of a liquefied natural gas import 
terminal must be consistent with any authorization provided by the 
Federal Energy Regulatory Commission pursuant to this subsection with 
respect to the liquefied natural gas import terminal, and shall not 
prohibit or unreasonably delay the siting, construction, expansion, or 
operation.
    ``(5) Nothing in this subsection shall be construed to repeal or 
modify the authority under this section to authorize a person to import 
or export natural gas or to authorize facilities for the import or 
export of natural gas other than liquefied natural gas import 
terminals.
    ``(e) Schedule and Administrative Record.--(1) The Federal Energy 
Regulatory Commission shall approve or deny any application to site, 
construct, expand, or operate a liquefied natural gas import terminal 
under subsection (d) not later than 1 year after the application is 
complete.
    ``(2) With respect to each application under subsection (d), the 
Federal Energy Regulatory Commission shall establish a schedule for all 
Federal and State administrative proceedings commenced under authority 
of Federal law, the completion of which is required before a person may 
site, construct, expand, or operate the liquefied natural gas import 
terminal, in order to ensure expeditious progress toward such siting, 
construction, expansion, or operation. The schedule shall also include 
all Federal and State administrative proceedings authorized by Federal 
law for the siting, construction, expansion, and operation of natural 
gas pipelines and facilities related to the transportation of liquefied 
natural gas or natural gas from the liquefied natural gas import 
terminal. In establishing the schedule, the Federal Energy Regulatory 
Commission shall, to the extent practicable, accommodate the applicable 
schedules established by Federal law for such proceedings. If a Federal 
or State administrative agency or officer fails to complete a 
proceeding in accordance with the schedule established by the Federal 
Energy Regulatory Commission, the action of the Federal or State 
administrative agency or officer that is required before a person may 
site, construct, expand, or operate the liquefied natural gas import 
terminal shall be conclusively presumed and the siting, construction, 
expansion, or operation shall proceed without condition.
    ``(3) With respect to the siting, construction, expansion, or 
operation of a liquefied natural gas import terminal, the Federal 
Energy Regulatory Commission shall compile a single administrative 
record which shall consolidate the records of the proceedings referred 
to in paragraph (2).
    ``(4) Any Federal administrative proceeding that is an appeal or 
review of a decision made or action taken by a Federal administrative 
agency or officer (or State administrative agency or officer acting 
under delegated Federal authority) with respect to the siting, 
construction, expansion, or operation of a liquefied natural gas import 
terminal shall use as its exclusive record for all purposes the 
administrative record compiled by the Federal Energy Regulatory 
Commission under paragraph (3).
    ``(f) Judicial Review.--(1) Except for review by the Supreme Court 
of the United States on writ of certiorari, the United States Court of 
Appeals for the District of Columbia Circuit shall have original and 
exclusive jurisdiction to hear and determine any civil action for 
review of a decision made or action taken by a Federal administrative 
agency or officer (or State administrative agency or officer acting 
under delegated Federal authority) with respect to the siting, 
construction, expansion, or operation of a liquefied natural gas import 
terminal. The civil action shall be filed not later than 60 days after 
the decision or action described in this paragraph.
    ``(2) If a civil action referred to in paragraph (1) is filed, the 
Federal Energy Regulatory Commission shall file in the United States 
Court of Appeals for the District of Columbia Circuit the single 
administrative record compiled under subsection (e)(3) with respect to 
the liquefied natural gas import terminal named in the civil action.
    ``(g) Lead Agency.--With respect to the siting, construction, 
expansion, or operation of a liquefied natural gas import terminal, the 
Federal Energy Regulatory Commission shall be the lead Federal agency 
for purposes of complying with the National Environmental Policy Act of 
1969 (42 U.S.C. 4321 et seq.).''.
    (b) Definition.--Section 2 of the Natural Gas Act (15 U.S.C. 717a) 
is amended by adding at the end the following new paragraph:
            ``(11) `Liquefied natural gas import terminal' includes all 
        facilities located onshore or in State waters that are used to 
        receive, unload, store, transport, gasify, or process liquefied 
        natural gas that is imported to the United States from a 
        foreign country, but does not include the tankers used to 
        deliver liquefied natural gas to such facilities.''.
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