[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[H.R. 485 Engrossed in House (EH)]


  1st Session

                               H. R. 485

_______________________________________________________________________

                                 AN ACT

 To provide that the royalty rate on the output from Federal lands of 
  potassium and potassium compounds from the mineral sylvite in the 5-
year period beginning on the date of the enactment of this Act shall be 
            reduced to 1.0 percent, and for other purposes.
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
109th CONGRESS
  1st Session
                                H. R. 485

_______________________________________________________________________

                                 AN ACT


 
 To provide that the royalty rate on the output from Federal lands of 
  potassium and potassium compounds from the mineral sylvite in the 5-
year period beginning on the date of the enactment of this Act shall be 
            reduced to 1.0 percent, and for other purposes.

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

                   TITLE I--POTASH ROYALTY REDUCTION

SEC. 101. SHORT TITLE.

    This title may be cited as the ``Potash Royalty Reduction Act of 
2005''.

SEC. 102. POTASSIUM AND POTASSIUM COMPOUNDS FROM SYLVITE.

    (a) Royalty Rate.--Notwithstanding section 102(a)(9) of the Federal 
Land Policy and Management Act of 1976 (43 U.S.C. 1701(a)(9)), section 
2 of the Act of February 7, 1927 (30 U.S.C. 282) and the term of any 
lease issued under such section 2, the royalty rate on the quantity or 
gross value of the output from Federal lands of potassium and potassium 
compounds from the mineral sylvite at the point of shipment to market 
in the 5-year period beginning on the date of the enactment of this Act 
shall be 1.0 percent.
    (b) Reclamation Fund.--Fifty percentum of any royalties paid 
pursuant to this title during the 5-year period referred to in 
subsection (a), together with any interest earned from the date of 
payment, shall be paid by the Secretary of the Treasury to the payor of 
the royalties to be used solely for land reclamation purposes in 
accordance with a schedule to implement a reclamation plan for the 
lands for which the royalties are paid. No payment shall be made by the 
Secretary of the Treasury pursuant to this subsection until the 
Secretary of the Interior receives from the payor of the royalties, and 
approves, the reclamation plan and schedule, and submits the approved 
schedule to the Secretary of the Treasury. The share of royalties held 
by the Secretary of the Treasury pursuant to this subsection, and 
interest earned thereon, shall be available until paid pursuant to this 
subsection, without further appropriation; shall not be considered as 
money received under section 35 of the Mineral Leasing Act (30 U.S.C. 
191) for the purpose of revenue allocation; and shall not be reduced by 
any administrative or other costs incurred by the United States.
    (c) Study and Report.--After the end of the 4-year period beginning 
on the date of the enactment of this Act, and before the end of the 5-
year period beginning on that date, the Secretary of the Interior shall 
report to the Congress on the effects of the royalty reduction under 
this title, including a recommendation on whether the reduced royalty 
rate for potassium from sylvite should apply after the end of the 5-
year period.

                  TITLE II--SODA ASH ROYALTY REDUCTION

SEC. 201. SHORT TITLE.

    This title may be cited as the ``Soda Ash Royalty Reduction Act of 
2005''.

SEC. 202. FINDINGS.

    The Congress finds the following:
            (1) The combination of global competitive pressures, flat 
        domestic demand, and spiraling costs of production threaten the 
        future of the United States soda ash industry.
            (2) Despite booming world demand, growth in United States 
        exports of soda ash since 1997 has been flat, with most of the 
        world's largest markets for such growth, including Brazil, the 
        People's Republic of China, India, the countries of eastern 
        Europe, and the Republic of South Africa, have been closed by 
        protectionist policies.
            (3) The People's Republic of China is the prime competitor 
        of the United States in soda ash production, and recently 
        supplanted the United States as the largest producer of soda 
        ash in the world.
            (4) Over 700 jobs have been lost in the United States soda 
        ash industry since the Department of the Interior increased the 
        royalty rate on soda ash produced on Federal land, in 1996.
            (5) Reduction of the royalty rate on soda ash produced on 
        Federal land will provide needed relief to the United States 
        soda ash industry and allow it to increase export growth and 
        competitiveness in emerging world markets, and create new jobs 
        in the United States.

SEC. 203. REDUCTION IN ROYALTY RATE ON SODA ASH.

    Notwithstanding section 102(a)(9) of the Federal Land Policy 
Management Act of 1976 (43 U.S.C. 1701(a)(9)), section 24 of the 
Mineral Leasing Act (30 U.S.C. 262), and the terms of any lease under 
that Act, the royalty rate on the quantity or gross value of the output 
of sodium compounds and related products at the point of shipment to 
market from Federal land in the 5-year period beginning on the date of 
the enactment of this Act shall be 2 percent.

SEC. 204. STUDY.

    After the end of the 4-year period beginning on the date of the 
enactment of this Act, and before the end of the 5-year period 
beginning on that date, the Secretary of the Interior shall report to 
the Congress on the effects of the royalty reduction under this title, 
including--
            (1) the amount of sodium compounds and related products at 
        the point of shipment to market from Federal land during that 
        4-year period;
            (2) the number of jobs that have been created or maintained 
        during the royalty reduction period;
            (3) the total amount of royalty paid to the United States 
        on the quantity or gross value of the output of sodium 
        compounds and related products at the point of shipment to 
        market produced during that 4-year period, and the portion of 
        such royalty paid to States; and
            (4) a recommendation of whether the reduced royalty rate 
        should apply after the end of the 5-year period beginning on 
        the date of the enactment of this Act.

            Passed the House of Representatives May 16, 2005.

            Attest:

                                                                 Clerk.