1.This Act may be cited as the
Deep Ocean Energy Resources Act of
2009
.
2.It is the policy of the United States
that—
(1)the United States
is blessed with abundant energy resources on the outer Continental Shelf and
has developed a comprehensive framework of environmental laws and regulations
and fostered the development of state-of-the-art technology that allows for the
responsible development of these resources for the benefit of its
citizenry;
(2)adjacent States
are required by the circumstances to commit significant resources in support of
exploration, development, and production activities for mineral resources on
the outer Continental Shelf, and it is fair and proper for a portion of the
receipts from such activities to be shared with Adjacent States and their local
coastal governments;
(3)the existing laws
governing the leasing and production of the mineral resources of the outer
Continental Shelf have reduced the production of mineral resources, have
preempted Adjacent States from being sufficiently involved in the decisions
regarding the allowance of mineral resource development, and have been harmful
to the national interest;
(4)the national
interest is served by granting the Adjacent States more options related to
whether or not mineral leasing should occur in the outer Continental Shelf
within their Adjacent Zones;
(5)it is not
reasonably foreseeable that exploration of a leased tract located more than 25
miles seaward of the coastline, development and production of a natural gas
discovery located more than 25 miles seaward of the coastline, or development
and production of an oil discovery located more than 50 miles seaward of the
coastline will adversely affect resources near the coastline;
(6)transportation of
oil from a leased tract might reasonably be foreseen, under limited
circumstances, to have the potential to adversely affect resources near the
coastline if the oil is within 50 miles of the coastline, but such potential to
adversely affect such resources is likely no greater, and probably less, than
the potential impacts from tanker transportation because tanker spills usually
involve large releases of oil over a brief period of time; and
(7)among other bodies
of inland waters, the Great Lakes, Long Island Sound, Delaware Bay, Chesapeake
Bay, Albemarle Sound, San Francisco Bay, and Puget Sound are not part of the
outer Continental Shelf, and are not subject to leasing by the Federal
Government for the exploration, development, and production of any mineral
resources that might lie beneath them.
3.Definitions under
the Submerged Lands ActSection 2 of the Submerged Lands Act (43
U.S.C. 1301) is amended—
(1)in subparagraph
(2) of paragraph (a) by striking all after seaward to a line
and
inserting twelve nautical miles distant from the coast line of such
State;
;
(2)by striking out
paragraph (b) and redesignating the subsequent paragraphs in order as
paragraphs (b) through (g);
(3)by striking the
period at the end of paragraph (g) (as so redesignated) and inserting ;
and
;
(4)by adding the
following: (i) The term Secretary means the Secretary of
the Interior.
; and
(5)by defining
State
as it is defined in Section 2(r) of the Outer Continental
Shelf Lands Act (43 U.S.C. 1331(r)).
4.Seaward
boundaries of StatesSection 4
of the Submerged Lands Act (43 U.S.C. 1312) is amended—
(1)in the first
sentence by striking original
, and in the same sentence by
striking three geographical
and inserting twelve
nautical
; and
(2)by striking all
after the first sentence and inserting the following: Extension and
delineation of lateral offshore State boundaries under the provisions of this
Act shall follow the lines used to determine the Adjacent Zones of coastal
States under the Outer Continental Shelf Lands Act to the extent such lines
extend twelve nautical miles for the nearest coastline.
5.Exceptions from
confirmation and establishment of States’ title, power, and
rightsSection 5 of the
Submerged Lands Act (43 U.S.C. 1313) is amended—
(1)by redesignating
paragraphs (a) through (c) in order as paragraphs (1) through (3);
(2)by inserting
(a)
before There is excepted
; and
(3)by inserting at
the end the following:
(b)Exception of oil
and gas mineral rightsThere is excepted from the operation of
sections 3 and 4 all of the oil and gas mineral rights for lands beneath the
navigable waters that are located within the expanded offshore State seaward
boundaries established under this Act. These oil and gas mineral rights shall
remain Federal property and shall be considered to be part of the Federal outer
Continental Shelf for purposes of the Outer Continental Shelf Lands Act (43
U.S.C. 1331 et seq.) and subject to leasing under the authority of that Act and
to laws applicable to the leasing of the oil and gas resources of the Federal
outer Continental Shelf. All existing Federal oil and gas leases within the
expanded offshore State seaward boundaries shall continue unchanged by the
provisions of this Act, except as otherwise provided herein. However, a State
may exercise all of its sovereign powers of taxation within the entire extent
of its expanded offshore State
boundaries.
.
6.Definitions under
the Outer Continental Shelf Lands ActSection 2 of the Outer Continental Shelf
Lands Act (43 U.S.C. 1331) is amended—
(1)by amending
paragraph (f) to read as follows:
(f)The term
affected State means the Adjacent
State.
;
(2)by striking the
semicolon at the end of each of paragraphs (a) through (o) and inserting a
period;
(3)by striking
; and
at the end of paragraph (p) and inserting a period;
(4)by adding at the
end the following:
(r)The term
Adjacent State means, with respect to any program, plan, lease
sale, leased tract or other activity, proposed, conducted, or approved pursuant
to the provisions of this Act, any State the laws of which are declared,
pursuant to section 4(a)(2), to be the law of the United States for the portion
of the outer Continental Shelf on which such program, plan, lease sale, leased
tract or activity appertains or is, or is proposed to be, conducted. For
purposes of this paragraph, the term State includes the
Commonwealth of Puerto Rico, the Commonwealth of the Northern Mariana Islands,
the Virgin Islands, American Samoa, Guam, and the other Territories of the
United States.
(s)The term
Adjacent Zone means, with respect to any program, plan, lease
sale, leased tract, or other activity, proposed, conducted, or approved
pursuant to the provisions of this Act, the portion of the outer Continental
Shelf for which the laws of a particular Adjacent State are declared, pursuant
to section 4(a)(2), to be the law of the United States.
(t)The term
miles means statute miles.
(u)The term
coastline has the same meaning as the term coast line
as defined in section 2(c) of the Submerged Lands Act (43 U.S.C.
1301(c)).
(v)The term
Neighboring State means a coastal State having a common boundary
at the coastline with the Adjacent
State.
;
and
(5)in paragraph (a),
by inserting after control
the following: or lying within
the United States exclusive economic zone adjacent to the Territories of the
United States
.
7.Determination of
adjacent zones and planning areasSection 4(a)(2)(A) of the Outer Continental
Shelf Lands Act (43 U.S.C. 1333(a)(2)(A)) is amended in the first sentence by
striking , and the President
and all that follows through the
end of the sentence and inserting the following: . The lines extending
seaward and defining each State’s Adjacent Zone, and each OCS Planning Area,
are as indicated on the maps for each outer Continental Shelf region entitled
Alaska OCS Region State Adjacent Zone and OCS Planning Areas
,
Pacific OCS Region State Adjacent Zones and OCS Planning Areas
,
Gulf of Mexico OCS Region State Adjacent Zones and OCS Planning
Areas
, and Atlantic OCS Region State Adjacent Zones and OCS
Planning Areas
, all of which are dated September 2005 and on file in
the Office of the Director, Minerals Management Service.
.
8.Administration of
leasingSection 5 of the Outer
Continental Shelf Lands Act (43 U.S.C. 1334) is amended by adding at the end
the following:
(k)Voluntary
partial relinquishment of a leaseAny lessee of a producing lease
may relinquish to the Secretary any portion of a lease that the lessee has no
interest in producing and that the Secretary finds is geologically prospective.
In return for any such relinquishment, the Secretary shall provide to the
lessee a royalty incentive for the portion of the lease retained by the lessee,
in accordance with regulations promulgated by the Secretary to carry out this
subsection. The Secretary shall publish final regulations implementing this
subsection within 365 days after the date of the enactment of the
Deep Ocean Energy Resources Act of
2009.
(l)Natural gas
lease regulationsNot later than July 1, 2011, the Secretary
shall publish a final regulation that shall—
(1)establish
procedures for entering into natural gas leases;
(2)ensure that
natural gas leases are only available for tracts on the outer Continental Shelf
that are wholly within 100 miles of the coastline within an area withdrawn from
disposition by leasing on the day after the date of enactment of the
Deep Ocean Energy Resources Act of
2009;
(3)provide that
natural gas leases shall contain the same rights and obligations established
for oil and gas leases, except as otherwise provided in the
Deep Ocean Energy Resources Act of
2009;
(4)provide that, in
reviewing the adequacy of bids for natural gas leases, the value of any crude
oil estimated to be contained within any tract shall be excluded;
(5)provide that any
crude oil produced from a well and reinjected into the leased tract shall not
be subject to payment of royalty, and that the Secretary shall consider, in
setting the royalty rates for a natural gas lease, the additional cost to the
lessee of not producing any crude oil; and
(6)provide that any
Federal law that applies to an oil and gas lease on the outer Continental Shelf
shall apply to a natural gas lease unless otherwise clearly
inapplicable.
.
9.Grant of leases
by SecretarySection 8 of the
Outer Continental Shelf Lands Act (43 U.S.C. 1337) is amended—
(1)in subsection
(a)(1) by inserting after the first sentence the following: Further, the
Secretary may grant natural gas leases in a manner similar to the granting of
oil and gas leases and under the various bidding systems available for oil and
gas leases.
;
(2)by adding at the
end of subsection (b) the following:
The Secretary may issue more than one lease
for a given tract if each lease applies to a separate and distinct range of
vertical depths, horizontal surface area, or a combination of the two. The
Secretary may issue regulations that the Secretary determines are necessary to
manage such leases consistent with the purposes of this
Act.
;
(3)by amending
subsection (p)(2)(B) to read as follows:
(B)The Secretary
shall provide for the payment to coastal States, and their local coastal
governments, of 75 percent of Federal receipts from projects authorized under
this section located partially or completely within the area extending seaward
of State submerged lands out to 4 marine leagues from the coastline, and the
payment to coastal States of 50 percent of the receipts from projects
completely located in the area more than 4 marine leagues from the coastline.
Payments shall be based on a formula established by the Secretary by rulemaking
no later than 180 days after the date of the enactment of the
Deep Ocean Energy Resources Act of
2009 that provides for equitable distribution, based on proximity
to the project, among coastal States that have coastline that is located within
200 miles of the geographic center of the
project.
.
(4)by adding at the
end the following:
(q)
(1)Right to produce
natural gasA lessee of a natural gas lease shall have the right
to produce the natural gas from a field on a natural gas leased tract if the
Secretary estimates that the discovered field has at least 40 percent of the
economically recoverable Btu content of the field contained within natural gas
and such natural gas is economical to produce.
(2)A lessee of a natural gas lease may not produce crude oil
from the lease unless the Governor of the Adjacent State agrees to such
production.
(3)The Secretary shall make estimates of the natural gas Btu
content of discovered fields on a natural gas lease only after the completion
of at least one exploration well, the data from which has been tied to the
results of a three-dimensional seismic survey of the field. The Secretary may
not require the lessee to further delineate any discovered field prior to
making such estimates.
(4)Definition of
natural gasFor purposes of a natural gas lease, natural gas
means natural gas and all substances produced in association with gas,
including, but not limited to, hydrocarbon liquids (other than crude oil) that
are obtained by the condensation of hydrocarbon vapors and separate out in
liquid form from the produced gas stream.
(r)Removal of
restrictions on joint bidding in certain areas of the outer continental
shelfRestrictions on joint bidders shall no longer apply to
tracts located in the Alaska OCS Region. Such restrictions shall not apply to
tracts in other OCS regions determined to be frontier tracts
or
otherwise high cost tracts
under final regulations that shall be
published by the Secretary by not later than 365 days after the date of the
enactment of the Deep Ocean Energy Resources
Act of 2009.
(s)Royalty
suspension provisionsAfter the date of the enactment of the
Deep Ocean Energy Resources Act of
2009, price thresholds shall apply to any royalty suspension
volumes granted by the Secretary. Unless otherwise set by Secretary by
regulation or for a particular lease sale, the price thresholds shall be $40.50
for oil (January 1, 2006, dollars) and $6.75 for natural gas (January 1, 2006,
dollars).
(t)Conservation of
resources feesNot later than one year after the date of the
enactment of the Deep Ocean Energy Resources
Act of 2009, the Secretary by regulation shall establish a
conservation of resources fee for nonproducing leases that will apply to new
and existing leases which shall be set at $3.75 per acre per year. This fee
shall apply from and after October 1, 2009, and shall be treated as offsetting
receipts.
;
(5)by striking
subsection (a)(3)(A) and redesignating the subsequent subparagraphs as
subparagraphs (A) and (B), respectively;
(6)in subsection
(a)(3)(A) (as so redesignated) by striking In the Western
and
all that follows through the Secretary
the first place it
appears and inserting The Secretary
; and
(7)effective October
1, 2009, in subsection (g)—
(A)by striking all
after (g)
, except paragraph (3);
(B)by striking the
last sentence of paragraph (3); and
(C)by striking
(3)
.
10.Section 9 of the
Outer Continental Shelf Lands Act (43 U.S.C. 1338) is amended—
(1)by designating the
existing text as subsection (a);
(2)in subsection (a)
(as so designated) by inserting , if not paid as otherwise provided in
this title
after receipts
; and
(3)by adding the
following:
(b)Treatment of OCS
Receipts From Tracts Completely Within 100 Miles of the Coastline
(1)The
Secretary shall deposit into a separate account in the Treasury the portion of
OCS Receipts for each fiscal year that will be shared under paragraphs (2),
(3), and (4).
(2)Phased-in
receipts sharing
(A)Beginning October
1, 2009, the Secretary shall share OCS Receipts derived from the following
areas:
(i)Lease tracts
located on portions of the Gulf of Mexico OCS Region completely beyond 4 marine
leagues from any coastline and completely within 100 miles of any coastline
that were available for leasing under the 2002–2007 5-Year OCS Oil and Gas
Leasing Program.
(ii)Lease tracts in
production prior to October 1, 2009, completely beyond 4 marine leagues from
any coastline and completely within 100 miles of any coastline located on
portions of the OCS that were not available for leasing under the 2002–2007
5-Year OCS Oil and Gas Leasing Program.
(iii)Lease tracts for
which leases are issued prior to October 1, 2009, located in the Alaska OCS
Region completely beyond 4 marine leagues from any coastline and completely
within 100 miles of the coastline.
(B)The Secretary
shall share the following percentages of OCS Receipts from the leases described
in subparagraph (A) derived during the fiscal year indicated:
(i)For fiscal year
2010, 5 percent.
(ii)For fiscal year
2011, 8 percent.
(iii)For fiscal year
2012, 11 percent.
(iv)For fiscal year
2013, 14 percent.
(v)For fiscal year
2014, 17 percent.
(vi)For fiscal year
2015, 20 percent.
(vii)For fiscal year
2016, 23 percent.
(viii)For fiscal year
2017, 26 percent.
(ix)For fiscal year
2018, 29 percent.
(x)For fiscal year
2019, 32 percent.
(xi)For fiscal year
2020, 35 percent.
(xii)For fiscal year
2021 and each subsequent fiscal year, 37.5 percent.
(C)The provisions of
this paragraph shall not apply to leases that could not have been issued but
for section 5(k) of this Act or section 6(2) of the
Deep Ocean Energy Resources Act of
2009.
(3)Immediate
receipts sharingBeginning October 1, 2009, the Secretary shall
share 37.50 percent of OCS Receipts derived from all leases located completely
beyond 4 marine leagues from any coastline and completely within 100 miles of
any coastline not included within the provisions of paragraph (2).
(4)Receipts sharing
from tracts within 4 marine leagues of any coastline
(A)Areas described
in paragraph (2)Beginning
October 1, 2009, and continuing through September 30, 2011, the Secretary shall
share 25 percent of OCS Receipts derived from all leases located within 4
marine leagues from any coastline within areas described in paragraph (2). For
each fiscal year after September 30, 2011, the Secretary shall increase the
percent shared in 5 percent increments each fiscal year until the sharing rate
for all leases located within 4 marine leagues from any coastline within areas
described in paragraph (2) becomes 75 percent.
(B)Areas not
described in paragraph
(2)Beginning October 1, 2009,
the Secretary shall share 75 percent of OCS Receipts derived from all leases
located completely or partially within 4 marine leagues from any coastline
within areas not described paragraph (2).
(5)The
Secretary shall allocate the OCS Receipts deposited into the separate account
established by paragraph (1) that are shared under paragraphs (2), (3), and (4)
as follows:
(A)Deposits derived from bonus bids from a leased tract,
including interest thereon, shall be allocated at the end of each fiscal year
to the Adjacent State.
(B)Deposits
derived from royalties from a leased tract, including interest thereon, shall
be allocated at the end of each fiscal year to the Adjacent State and any other
producing State or States with a leased tract within its Adjacent Zone within
100 miles of its coastline that generated royalties during the fiscal year, if
the other producing or States have a coastline point within 300 miles of any
portion of the leased tract, in which case the amount allocated for the leased
tract shall be—
(i)one-third to the
Adjacent State; and
(ii)two-thirds to
each producing State, including the Adjacent State, inversely proportional to
the distance between the nearest point on the coastline of the producing State
and the geographic center of the leased tract.
(c)Treatment of OCS
Receipts From Tracts Partially or Completely Beyond 100 Miles of the
Coastline
(1)The
Secretary shall deposit into a separate account in the Treasury the portion of
OCS Receipts for each fiscal year that will be shared under paragraphs (2) and
(3).
(2)Phased-in
receipts sharing
(A)Beginning October
1, 2009, the Secretary shall share OCS Receipts derived from the following
areas:
(i)Lease tracts
located on portions of the Gulf of Mexico OCS Region partially or completely
beyond 100 miles of any coastline that were available for leasing under the
2002–2007 5-Year OCS Oil and Gas Leasing Program.
(ii)Lease tracts in
production prior to October 1, 2008, partially or completely beyond 100 miles
of any coastline located on portions of the OCS that were not available for
leasing under the 2002–2007 5-Year OCS Oil and Gas Leasing Program.
(iii)Lease tracts for
which leases are issued prior to October 1, 2009, located in the Alaska OCS
Region partially or completely beyond 100 miles of the coastline.
(B)The Secretary
shall share the following percentages of OCS Receipts from the leases described
in subparagraph (A) derived during the fiscal year indicated:
(i)For fiscal year
2010, 5 percent.
(ii)For fiscal year
2011, 8 percent.
(iii)For fiscal year
2012, 11 percent.
(iv)For fiscal year
2013, 14 percent.
(v)For fiscal year
2014, 17 percent.
(vi)For fiscal year
2015, 20 percent.
(vii)For fiscal year
2016, 23 percent.
(viii)For fiscal year
2017, 26 percent.
(ix)For fiscal year
2018, 29 percent.
(x)For fiscal year
2019, 32 percent.
(xi)For fiscal year
2020, 35 percent.
(xii)For fiscal year
2021 and each subsequent fiscal year, 37.5 percent.
(C)The provisions of
this paragraph shall not apply to leases that could not have been issued but
for section 5(k) of this Act or section 6(2) of the
Deep Ocean Energy Resources Act of
2009.
(3)Immediate
receipts sharingBeginning October 1, 2009, the Secretary shall
share 37.5 percent of OCS Receipts derived on and after October 1, 2008, from
all leases located partially or completely beyond 100 miles of any coastline
not included within the provisions of paragraph (2), except that the Secretary
shall only share 25 percent of such OCS Receipts derived from all such leases
within a State’s Adjacent Zone if no leasing is allowed within any portion of
that State’s Adjacent Zone located completely within 100 miles of any
coastline.
(4)The
Secretary shall allocate the OCS Receipts deposited into the separate account
established by paragraph (1) that are shared under paragraphs (2) and (3) as
follows:
(A)Deposits derived from bonus bids from a leased tract,
including interest thereon, shall be allocated at the end of each fiscal year
to the Adjacent State.
(B)Deposits
derived from royalties from a leased tract, including interest thereon, shall
be allocated at the end of each fiscal year to the Adjacent State and any other
producing State or States with a leased tract within its Adjacent Zone
partially or completely beyond 100 miles of its coastline that generated
royalties during the fiscal year, if the other producing State or States have a
coastline point within 300 miles of any portion of the leased tract, in which
case the amount allocated for the leased tract shall be—
(i)one-third to the
Adjacent State; and
(ii)two-thirds to
each producing State, including the Adjacent State, inversely proportional to
the distance between the nearest point on the coastline of the producing State
and the geographic center of the leased tract.
(d)Transmission of
Allocations
(1)Not later than 90 days after the end of each fiscal year,
the Secretary shall transmit—
(A)to each State 60
percent of such State’s allocations under subsections (b)(5)(A), (b)(5)(B),
(c)(4)(A), and (c)(4)(B) for the immediate prior fiscal year;
(B)to each coastal
county-equivalent and municipal political subdivisions of such State a total of
40 percent of such State’s allocations under subsections (b)(5)(A), (b)(5)(B),
(c)(4)(A), and (c)(4)(B), together with all accrued interest thereon;
and
(C)the remaining
allocations under subsections (b)(5) and (c)(4), together with all accrued
interest thereon.
(2)Allocations to
coastal county-equivalent political subdivisionsThe Secretary
shall make an initial allocation of the OCS Receipts to be shared under
paragraph (1)(B) as follows:
(A)25 percent shall
be allocated to coastal county-equivalent political subdivisions that are
completely more than 25 miles landward of the coastline and at least a part of
which lies not more than 75 miles landward from the coastline, with the
allocation among such coastal county-equivalent political subdivisions based on
population.
(B)75 percent shall
be allocated to coastal county-equivalent political subdivisions that are
completely or partially less than 25 miles landward of the coastline, with the
allocation among such coastal county-equivalent political subdivisions to be
further allocated as follows:
(i)25
percent shall be allocated based on the ratio of such coastal county-equivalent
political subdivision’s population to the coastal population of all coastal
county-equivalent political subdivisions in the State.
(ii)25 percent shall
be allocated based on the ratio of such coastal county-equivalent political
subdivision’s coastline miles to the coastline miles of all coastal
county-equivalent political subdivisions in the State as calculated by the
Secretary. In such calculations, coastal county-equivalent political
subdivisions without a coastline shall be considered to have 50 percent of the
average coastline miles of the coastal county-equivalent political subdivisions
that do have coastlines.
(iii)25 percent shall
be allocated to all coastal county-equivalent political subdivisions having a
coastline point within 300 miles of the leased tract for which OCS Receipts are
being shared based on a formula that allocates the funds based on such coastal
county-equivalent political subdivision’s relative distance from the leased
tract.
(iv)25 percent shall
be allocated to all coastal county-equivalent political subdivisions having a
coastline point within 300 miles of the leased tract for which OCS Receipts are
being shared based on the relative level of outer Continental Shelf oil and gas
activities in a coastal political subdivision compared to the level of outer
Continental Shelf activities in all coastal political subdivisions in the
State. The Secretary shall define the term outer Continental Shelf oil
and gas activities for purposes of this subparagraph to include, but not
be limited to, construction of vessels, drillships, and platforms involved in
exploration, production, and development on the outer Continental Shelf;
support and supply bases, ports, and related activities; offices of geologists,
geophysicists, engineers, and other professionals involved in support of
exploration, production, and development of oil and gas on the outer
Continental Shelf; pipelines and other means of transporting oil and gas
production from the outer Continental Shelf; and processing and refining of oil
and gas production from the outer Continental Shelf. For purposes of this
subparagraph, if a coastal county-equivalent political subdivision does not
have a coastline, its coastal point shall be the point on the coastline closest
to it.
(3)Allocations to
coastal municipal political subdivisionsThe initial allocation
to each coastal county-equivalent political subdivision under paragraph (2)
shall be further allocated to the coastal county-equivalent political
subdivision and any coastal municipal political subdivisions located partially
or wholly within the boundaries of the coastal county-equivalent political
subdivision as follows:
(A)One-third shall be
allocated to the coastal county-equivalent political subdivision.
(B)Two-thirds shall
be allocated on a per capita basis to the municipal political subdivisions and
the county-equivalent political subdivision, with the allocation to the latter
based upon its population not included within the boundaries of a municipal
political subdivision.
(e)Amounts deposited under this section shall be invested
by the Secretary of the Treasury in securities backed by the full faith and
credit of the United States having maturities suitable to the needs of the
account in which they are deposited and yielding the highest reasonably
available interest rates as determined by the Secretary of the Treasury.
(f)A recipient of funds under this section may use the funds
for one or more of the following:
(1)To reduce in-State
college tuition at public institutions of higher learning and otherwise support
public education, including career technical education.
(2)To make
transportation infrastructure improvements.
(3)To reduce
taxes.
(4)To promote, fund,
and provide for—
(A)coastal or
environmental restoration;
(B)fish, wildlife,
and marine life habitat enhancement;
(C)waterways
construction and maintenance;
(D)levee construction
and maintenance and shore protection; and
(E)marine and
oceanographic education and research.
(5)To promote, fund,
and provide for—
(A)infrastructure
associated with energy production activities conducted on the outer Continental
Shelf;
(B)energy
demonstration projects;
(C)supporting
infrastructure for shore-based energy projects;
(D)State geologic
programs, including geologic mapping and data storage programs, and State
geophysical data acquisition;
(E)State seismic
monitoring programs, including operation of monitoring stations;
(F)development of oil
and gas resources through enhanced recovery techniques;
(G)alternative energy
development, including bio fuels, coal-to-liquids, oil shale, tar sands,
geothermal, geopressure, wind, waves, currents, hydro, and other renewable
energy;
(H)energy efficiency
and conservation programs; and
(I)front-end
engineering and design for facilities that produce liquid fuels from
hydrocarbons and other biological matter.
(6)To promote, fund,
and provide for—
(A)historic
preservation programs and projects;
(B)natural disaster
planning and response; and
(C)hurricane and
natural disaster insurance programs.
(7)For any other
purpose as determined by State law.
(g)No recipient of funds under this section shall be
required to account to the Federal Government for the expenditure of such
funds, except as otherwise may be required by law. However, States may enact
legislation providing for accounting for and auditing of such expenditures.
Further, funds allocated under this section to States and political
subdivisions may be used as matching funds for other Federal programs.
(h)Enactment of any future Federal statute that has the effect,
as determined by the Secretary, of restricting any Federal agency from spending
appropriated funds, or otherwise preventing it from fulfilling its pre-existing
responsibilities as of the date of enactment of the statute, unless such
responsibilities have been reassigned to another Federal agency by the statute
with no prevention of performance, to issue any permit or other approval
impacting on the OCS oil and gas leasing program, or any lease issued
thereunder, or to implement any provision of this Act shall automatically
prohibit any sharing of OCS Receipts under this section directly with the
States, and their coastal political subdivisions, for the duration of the
restriction. The Secretary shall make the determination of the existence of
such restricting effects within 30 days of a petition by any outer Continental
Shelf lessee or producing State.
(i)In
this section:
(1)Coastal
county-equivalent political subdivisionThe term coastal
county-equivalent political subdivision means a political jurisdiction
immediately below the level of State government, including a county, parish,
borough in Alaska, independent municipality not part of a county, parish, or
borough in Alaska, or other equivalent subdivision of a coastal State, that
lies within the coastal zone.
(2)Coastal
municipal political subdivisionThe term coastal municipal
political subdivision means a municipality located within and part of a
county, parish, borough in Alaska, or other equivalent subdivision of a State,
all or part of which coastal municipal political subdivision lies within the
coastal zone.
(3)The term coastal population means the
population of all coastal county-equivalent political subdivisions, as
determined by the most recent official data of the Census Bureau.
(4)The term coastal zone means that portion of a
coastal State, including the entire territory of any coastal county-equivalent
political subdivision at least a part of which lies, within 75 miles landward
from the coastline, or a greater distance as determined by State law enacted to
implement this section.
(5)The term bonus bids means all funds received by
the Secretary to issue an outer Continental Shelf minerals lease.
(6)The
term royalties means all funds received by the Secretary from
production of oil or natural gas, or the sale of production taken in-kind, from
an outer Continental Shelf minerals lease.
(7)The term producing State means an Adjacent
State having an Adjacent Zone containing leased tracts from which OCS Receipts
were derived.
(8)The term OCS Receipts means bonus bids,
royalties, and conservation of resources
fees.
.
11.Reservation of
lands and rightsSection 12 of
the Outer Continental Shelf Lands Act (43 U.S.C. 1341) is amended—
(1)in subsection (a)
by adding at the end the following: The President may partially or
completely revise or revoke any prior withdrawal made by the President under
the authority of this section. The President may not revise or revoke a
withdrawal that is extended by a State under subsection (h), nor may the
President withdraw from leasing any area for which a State failed to prohibit,
or petition to prohibit, leasing under subsection (g). Further, in the area of
the outer Continental Shelf more than 100 miles from any coastline, not more
than 25 percent of the acreage of any OCS Planning Area may be withdrawn from
leasing under this section at any point in time. A withdrawal by the President
may be for a term not to exceed 10 years. When considering potential uses of
the outer Continental Shelf, to the maximum extent possible, the President
shall accommodate competing interests and potential uses.
;
(2)by adding at the
end the following:
(g)Availability for
Leasing Within Certain Areas of the Outer Continental Shelf
(1)Prohibition
against leasing
(A)Unavailable for
leasing without state requestExcept as otherwise provided in
this subsection, from and after enactment of the
Deep Ocean Energy Resources Act of
2009, the Secretary shall not offer for leasing for oil and gas,
or natural gas, any area within 50 miles of the coastline that was withdrawn
from disposition by leasing in the Atlantic OCS Region or the Pacific OCS
Region, or the Gulf of Mexico OCS Region Eastern Planning Area, as depicted on
the maps referred to in this subparagraph, under the Memorandum on
Withdrawal of Certain Areas of the United States Outer Continental Shelf from
Leasing Disposition
, 34 Weekly Comp. Pres. Doc. 1111, dated June 12,
1998, or any area within 50 miles of the coastline not withdrawn under that
Memorandum that is included within the Gulf of Mexico OCS Region Eastern
Planning Area as indicated on the map entitled Gulf of Mexico OCS Region
State Adjacent Zones and OCS Planning Areas
or the Florida Straits
Planning Area as indicated on the map entitled Atlantic OCS Region State
Adjacent Zones and OCS Planning Areas
, both of which are dated
September 2005 and on file in the Office of the Director, Minerals Management
Service.
(B)Areas between 50
and 100 miles from the coastlineUnless an Adjacent State
petitions under subsection (h) within one year after the date of the enactment
of the Deep Ocean Energy Resources Act of
2009 for natural gas leasing or by June 30, 2011, for oil and gas
leasing, the Secretary shall offer for leasing any area more than 50 miles but
less than 100 miles from the coastline that was withdrawn from disposition by
leasing in the Atlantic OCS Region, the Pacific OCS Region, or the Gulf of
Mexico OCS Region Eastern Planning Area, as depicted on the maps referred to in
this subparagraph, under the Memorandum on Withdrawal of Certain Areas
of the United States Outer Continental Shelf from Leasing Disposition
,
34 Weekly Comp. Pres. Doc. 1111, dated June 12, 1998, or any area more than 50
miles but less than 100 miles of the coastline not withdrawn under that
Memorandum that is included within the Gulf of Mexico OCS Region Eastern
Planning Area as indicated on the map entitled Gulf of Mexico OCS Region
State Adjacent Zones and OCS Planning Areas
or within the Florida
Straits Planning Area as indicated on the map entitled Atlantic OCS
Region State Adjacent Zones and OCS Planning Areas
, both of which are
dated September 2005 and on file in the Office of the Director, Minerals
Management Service.
(2)The provisions of the Memorandum on Withdrawal
of Certain Areas of the United States Outer Continental Shelf from Leasing
Disposition
, 34 Weekly Comp. Pres. Doc. 1111, dated June 12, 1998, are
hereby revoked and are no longer in effect. Any tract only partially added to
the Gulf of Mexico OCS Region Central Planning Area by this Act shall be
eligible for leasing of the part of such tract that is included within the Gulf
of Mexico OCS Region Central Planning Area, and the remainder of such tract
that lies outside of the Gulf of Mexico OCS Region Central Planning Area may be
developed and produced by the lessee of such partial tract using extended reach
or similar drilling from a location on a leased area. Further, any area in the
OCS withdrawn from leasing may be leased, and thereafter developed and produced
by the lessee using extended reach or similar drilling from a location on a
leased area located in an area available for leasing.
(3)
(A)The Governor of the State, upon concurrence of its
legislature, may submit to the Secretary a petition requesting that the
Secretary make available any area that is within the State’s Adjacent Zone,
included within the provisions of paragraph (1), and that (i) is greater than
25 miles from any point on the coastline of a Neighboring State for the conduct
of offshore leasing, pre-leasing, and related activities with respect to
natural gas leasing; or (ii) is greater than 50 miles from any point on the
coastline of a Neighboring State for the conduct of offshore leasing,
pre-leasing, and related activities with respect to oil and gas leasing. The
Adjacent State may also petition for leasing any other area within its Adjacent
Zone if leasing is allowed in the similar area of the Adjacent Zone of the
applicable Neighboring State, or if not allowed, if the Neighboring State,
acting through its Governor, expresses its concurrence with the petition. The
Secretary shall only consider such a petition upon making a finding that
leasing is allowed in the similar area of the Adjacent Zone of the applicable
Neighboring State or upon receipt of the concurrence of the Neighboring State.
The date of receipt by the Secretary of such concurrence by the Neighboring
State shall constitute the date of receipt of the petition for that area for
which the concurrence applies.
(B)In its petition, a State with an Adjacent Zone that
contains leased tracts may condition new leasing for oil and gas, or natural
gas for tracts within 25 miles of the coastline by—
(i)requiring a net
reduction in the number of production platforms;
(ii)requiring a net
increase in the average distance of production platforms from the
coastline;
(iii)limiting
permanent surface occupancy on new leases to areas that are more than 10 miles
from the coastline;
(iv)limiting some
tracts to being produced from shore or from platforms located on other tracts;
or
(v)other conditions
that the Adjacent State may deem appropriate as long as the Secretary does not
determine that production is made economically or technically impracticable or
otherwise impossible.
(C)Not later than 90 days after receipt of a petition
under subparagraph (A), the Secretary shall approve the petition, unless the
Secretary determines that leasing the area would probably cause serious harm or
damage to the marine resources of the State’s Adjacent Zone. Prior to approving
the petition, the Secretary shall complete an environmental assessment that
documents the anticipated environmental effects of leasing in the area included
within the scope of the petition.
(D)If the Secretary fails to approve or deny a petition in
accordance with subparagraph (C) the petition shall be considered to be
approved 90 days after receipt of the petition.
(E)Amendment of the
5-year leasing programNotwithstanding section 18, within 180
days of the approval of a petition under subparagraph (C) or (D), after the
expiration of the time limits in paragraph (1)(B), and within 180 days after
the enactment of the Deep Ocean Energy
Resources Act of 2009 for the areas made available for leasing
under paragraph (2), the Secretary shall amend the current 5-Year Outer
Continental Shelf Oil and Gas Leasing Program to include a lease sale or sales
for at least 75 percent of the associated areas, unless there are, from the
date of approval, expiration of such time limits, or enactment, as applicable,
fewer than 12 months remaining in the current 5-Year Leasing Program in which
case the Secretary shall include the associated areas within lease sales under
the next 5-Year Leasing Program. For purposes of amending the 5-Year Program in
accordance with this section, further consultations with States shall not be
required. For purposes of this section, an environmental assessment performed
under the provisions of the National Environmental Policy Act of 1969 to assess
the effects of approving the petition shall be sufficient to amend the 5-Year
Leasing Program.
(h)Option To extend
withdrawal from leasing within certain areas of the Outer Continental
ShelfA State, through its Governor and upon the concurrence of
its legislature, may extend for a period of time of up to 5 years for each
extension the withdrawal from leasing for all or part of any area within the
State’s Adjacent Zone located more than 50 miles, but less than 100 miles, from
the coastline that is subject to subsection (g)(1)(B). A State may extend
multiple times for any particular area but not more than once per calendar year
for any particular area. A State must prepare separate extensions, with
separate votes by its legislature, for oil and gas leasing and for natural gas
leasing. An extension by a State may affect some areas to be withdrawn from all
leasing and some areas to be withdrawn only from one type of leasing.
(i)Adoption by any Adjacent State of any constitutional
provision, or enactment of any State statute, that has the effect, as
determined by the Secretary, of restricting either the Governor or the
Legislature, or both, from exercising full discretion related to subsection (g)
or (h), or both, shall automatically (1) prohibit any sharing of OCS Receipts
under this Act with the Adjacent State, and its coastal political subdivisions,
and (2) prohibit the Adjacent State from exercising any authority under
subsection (h), for the duration of the restriction. The Secretary shall make
the determination of the existence of such restricting constitutional provision
or State statute within 30 days of a petition by any outer Continental Shelf
lessee or coastal State.
(j)Prohibition on
leasing east of the military mission line
(1)Notwithstanding
any other provision of law, from and after the enactment of the
Deep Ocean Energy Resources Act of
2009, prior to January 1, 2023, no area of the outer Continental
Shelf located in the Gulf of Mexico east of the military mission line may be
offered for leasing for oil and gas or natural gas unless a waiver is issued by
the Secretary of Defense. If such a waiver is granted, 62.5 percent of the OCS
Receipts from a lease within such area issued because of such waiver shall be
paid annually to the National Guards of all States having a point within 1000
miles of such a lease, allocated among the States on a per capita basis using
the entire population of such States.
(2)In this
subsection, the term military mission line means a line located at
86 degrees, 41 minutes West Longitude, and extending south from the coast of
Florida to the outer boundary of United States territorial waters in the Gulf
of
Mexico.
.
12.Outer
Continental Shelf leasing programSection 18 of the Outer Continental Shelf
Lands Act (43 U.S.C. 1344) is amended—
(1)in subsection (a),
by adding at the end of paragraph (3) the following: The Secretary
shall, in each 5-year program, include lease sales that when viewed as a whole
propose to offer for oil and gas or natural gas leasing at least 75 percent of
the available unleased acreage within each OCS Planning Area. Available
unleased acreage is that portion of the outer Continental Shelf that is not
under lease at the time of the proposed lease sale, and has not otherwise been
made unavailable for leasing by law.
;
(2)in subsection (c),
by striking so much as precedes paragraph (3) and inserting the
following:
(c)(1)During the preparation
of any proposed leasing program under this section, the Secretary shall
consider and analyze leasing throughout the entire outer Continental Shelf
without regard to any other law affecting such leasing. During this preparation
the Secretary shall invite and consider suggestions from any interested Federal
agency, including the Attorney General, in consultation with the Federal Trade
Commission, and from the Governor of any coastal State. The Secretary may also
invite or consider any suggestions from the executive of any local government
in a coastal State that have been previously submitted to the Governor of such
State, and from any other person. Further, the Secretary shall consult with the
Secretary of Defense regarding military operational needs in the outer
Continental Shelf. The Secretary shall work with the Secretary of Defense to
resolve any conflicts that might arise regarding offering any area of the outer
Continental Shelf for oil and gas or natural gas leasing. If the Secretaries
are not able to resolve all such conflicts, any unresolved issues shall be
elevated to the President for resolution.
(2)After the consideration and analysis
required by paragraph (1), including the consideration of the suggestions
received from any interested Federal agency, the Federal Trade Commission, the
Governor of any coastal State, any local government of a coastal State, and any
other person, the Secretary shall publish in the Federal Register a proposed
leasing program accompanied by a draft environmental impact statement prepared
pursuant to the National Environmental Policy Act of 1969. After the publishing
of the proposed leasing program and during the comment period provided for on
the draft environmental impact statement, the Secretary shall submit a copy of
the proposed program to the Governor of each affected State for review and
comment. The Governor may solicit comments from those executives of local
governments in the Governor’s State that the Governor, in the discretion of the
Governor, determines will be affected by the proposed program. If any comment
by such Governor is received by the Secretary at least 15 days prior to
submission to the Congress pursuant to paragraph (3) and includes a request for
any modification of such proposed program, the Secretary shall reply in
writing, granting or denying such request in whole or in part, or granting such
request in such modified form as the Secretary considers appropriate, and
stating the Secretary’s reasons therefor. All such correspondence between the
Secretary and the Governor of any affected State, together with any additional
information and data relating thereto, shall accompany such proposed program
when it is submitted to the Congress.
;
and
(3)by adding at the
end the following:
(i)Projection of
state adjacent zone resources and state and local government shares of OCS
receiptsConcurrent with the publication of the scoping notice at
the beginning of the development of each 5-year outer Continental Shelf oil and
gas leasing program, or as soon thereafter as possible, the Secretary
shall—
(1)provide to each
Adjacent State a current estimate of proven and potential oil and gas resources
located within the State’s Adjacent Zone; and
(2)provide to each
Adjacent State, and coastal political subdivisions thereof, a best-efforts
projection of the OCS Receipts that the Secretary expects will be shared with
each Adjacent State, and its coastal political subdivisions, using the
assumption that the unleased tracts within the State’s Adjacent Zone are fully
made available for leasing, including long-term projected OCS Receipts. In
addition, the Secretary shall include a macroeconomic estimate of the impact of
such leasing on the national economy and each State’s economy, including
investment, jobs, revenues, personal income, and other
categories.
.
13.Coordination
with adjacent StatesSection
19 of the Outer Continental Shelf Lands Act (43 U.S.C. 1345) is amended—
(1)in subsection (a)
in the first sentence by inserting , for any tract located within the
Adjacent State’s Adjacent Zone,
after government
;
and
(2)by adding the
following:
(f)(1)No Federal agency may
permit or otherwise approve, without the concurrence of the Adjacent State, the
construction of a crude oil or petroleum products (or both) pipeline within the
part of the Adjacent State’s Adjacent Zone that is withdrawn from oil and gas
or natural gas leasing, except that such a pipeline may be approved, without
such Adjacent State’s concurrence, to pass through such Adjacent Zone if at
least 50 percent of the production projected to be carried by the pipeline
within its first 10 years of operation is from areas of the Adjacent State’s
Adjacent Zone.
(2)No State may prohibit the
construction within its Adjacent Zone or its State waters of a natural gas
pipeline that will transport natural gas produced from the outer Continental
Shelf. However, an Adjacent State may prevent a proposed natural gas pipeline
landing location if it proposes two alternate landing locations in the Adjacent
State, acceptable to the Adjacent State, located within 50 miles on either side
of the proposed landing
location.
.
14.Section 20(d) of the
Outer Continental Shelf Lands Act (43 U.S.C. 1346) is amended—
(1)by inserting
(1)
after (d)
; and
(2)by adding at the
end the following:
(2)For all programs,
lease sales, leases, and actions under this Act, the following shall apply
regarding the application of the National Environmental Policy Act of
1969:
(A)Granting or
directing lease suspensions and the conduct of all preliminary activities on
outer Continental Shelf tracts, including seismic activities, are categorically
excluded from the need to prepare either an environmental assessment or an
environmental impact statement, and the Secretary shall not be required to
analyze whether any exceptions to a categorical exclusion apply for activities
conducted under the authority of this Act.
(B)The environmental
impact statement developed in support of each 5-year oil and gas leasing
program provides the environmental analysis for all lease sales to be conducted
under the program and such sales shall not be subject to further environmental
analysis.
(C)Exploration plans
shall not be subject to any requirement to prepare an environmental impact
statement, and the Secretary may find that exploration plans are eligible for
categorical exclusion due to the impacts already being considered within an
environmental impact statement or due to mitigation measures included within
the plan.
(D)Within each OCS
Planning Area, after the preparation of the first development and production
plan environmental impact statement for a leased tract within the Area, future
development and production plans for leased tracts within the Area shall only
require the preparation of an environmental assessment unless the most recent
development and production plan environmental impact statement within the Area
was finalized more than 10 years prior to the date of the approval of the plan,
in which case an environmental impact statement shall be
required.
.
15.Federal Energy
Natural Resources Enhancement Act of 2009
(a)The
Congress finds the following:
(1)Energy and
minerals exploration, development, and production on Federal onshore and
offshore lands, including bio-based fuel, natural gas, minerals, oil,
geothermal, and power from wind, waves, currents, and thermal energy, involves
significant outlays of funds by Federal and State wildlife, fish, and natural
resource management agencies for environmental studies, planning, development,
monitoring, and management of wildlife, fish, air, water, and other natural
resources.
(2)State wildlife,
fish, and natural resource management agencies are funded primarily through
permit and license fees paid to the States by the general public to hunt and
fish, and through Federal excise taxes on equipment used for these
activities.
(3)Funds generated
from consumptive and recreational uses of wildlife, fish, and other natural
resources currently are inadequate to address the natural resources related to
energy and minerals development on Federal onshore and offshore lands.
(4)Funds available to
Federal agencies responsible for managing Federal onshore and offshore lands
and Federal-trust wildlife and fish species and their habitats are inadequate
to address the natural resources related to energy and minerals development on
Federal onshore and offshore lands.
(5)Receipts derived
from sales, bonus bids, and royalties under the mineral leasing laws of the
United States are paid to the Treasury through the Minerals Management Service
of the Department of the Interior.
(6)None of the
receipts derived from sales, bonus bids, and royalties under the minerals
leasing laws of the United States are paid to the Federal or State agencies to
examine, monitor, and manage wildlife, fish, air, water, and other natural
resources related to natural gas, oil, and mineral exploration and
development.
(b)It
is the purpose of this section to—
(1)authorize
expenditures for the monitoring and management of wildlife and fish, and their
habitats, and air, water, and other natural resources related to energy and
minerals development on Federal onshore and offshore lands;
(2)authorize
expenditures for each fiscal year to the Secretary of the Interior and the
States; and
(3)use the
appropriated funds to secure the necessary trained workforce or contractual
services to conduct environmental studies, planning, development, monitoring,
and post-development management of wildlife and fish and their habitats and
air, water, and other natural resources that may be related to bio-based fuel,
gas, mineral, oil, wind, or other energy exploration, development,
transportation, transmission, and associated activities on Federal onshore and
offshore lands, including, but not limited to—
(A)pertinent
research, surveys, and environmental analyses conducted to identify any impacts
on wildlife, fish, air, water, and other natural resources from energy and
mineral exploration, development, production, and transportation or
transmission;
(B)projects to
maintain, improve, or enhance wildlife and fish populations and their habitats
or air, water, or other natural resources, including activities under the
Endangered Species Act of 1973;
(C)research, surveys,
environmental analyses, and projects that assist in managing, including
mitigating either onsite or offsite, or both, the impacts of energy and mineral
activities on wildlife, fish, air, water, and other natural resources;
and
(D)projects to teach
young people to live off the land.
(c)In
this section:
(1)The term Enhancement Program means the
Federal Energy Natural Resources Enhancement Program established by this
section.
(2)The
term State means the Governor of the State.
(d)Authorization of
appropriationsThere is authorized to be appropriated to carry
out the Enhancement Program $150,000,000 for fiscal year 2010 and each fiscal
year thereafter.
(e)Establishment of
Federal Energy Natural Resources Enhancement Program
(1)There is established the Federal Energy Natural Resources
Enhancement Program.
(2)Payment to
secretary of the interiorBeginning with fiscal year 2010, and in
each fiscal year thereafter, one-third of amounts appropriated for the
Enhancement Program shall be available to the Secretary of the Interior for use
for the purposes described in subsection (b)(3).
(3)
(A)Beginning with fiscal year 2010, and in each fiscal year
thereafter, two-thirds of amounts appropriated for the Enhancement Program
shall be available to the States for use for the purposes described in
(b)(3).
(B)Each State shall use the payments made under this
paragraph only for carrying out projects and programs for the purposes
described in (b)(3).
(C)Encourage use of
private funds by stateEach State shall use the payments made
under this paragraph to leverage private funds for carrying out projects for
the purposes described in (b)(3).
(f)Amounts made available under this section may not be used for
the purchase of any interest in land.
(g)
(1)Beginning in fiscal year 2011 and continuing for each
fiscal year thereafter, the Secretary of the Interior and each State receiving
funds from the Enhancement Fund shall submit a report to the Committee on
Energy and Natural Resources of the Senate and the Committee on Resources of
the House of Representatives.
(2)Reports submitted to the Congress by the Secretary of
the Interior and States under this subsection shall include the following
information regarding expenditures during the previous fiscal year:
(A)A summary of
pertinent scientific research and surveys conducted to identify impacts on
wildlife, fish, and other natural resources from energy and mineral
developments.
(B)A summary of
projects planned and completed to maintain, improve or enhance wildlife and
fish populations and their habitats or other natural resources.
(C)A list of
additional actions that assist, or would assist, in managing, including
mitigating either onsite or offsite, or both, the impacts of energy and mineral
development on wildlife, fish, and other natural resources.
(D)A summary of
private (non-Federal) funds used to plan, conduct, and complete the plans and
programs identified in paragraphs (2)(A) and (2)(B).
16.Termination of
effect of laws prohibiting the spending of appropriated funds for certain
purposesAll provisions of
existing Federal law prohibiting the spending of appropriated funds to conduct
oil and natural gas leasing and preleasing activities, or to issue a lease to
any person, for any area of the outer Continental Shelf shall have no force or
effect.
17.Outer
Continental Shelf incompatible use
(a)No Federal agency may permit construction or operation
(or both) of any facility, or designate or maintain a restricted transportation
corridor or operating area on the Federal outer Continental Shelf or in State
waters, that will be incompatible with, as determined by the Secretary of the
Interior, oil and gas or natural gas leasing and substantially full exploration
and production of tracts that are geologically prospective for oil or natural
gas (or both).
(b)Subsection
(a) shall not apply to any facility, transportation corridor, or operating area
the construction, operation, designation, or maintenance of which is or will
be—
(1)located in an area
of the outer Continental Shelf that is unavailable for oil and gas or natural
gas leasing by operation of law;
(2)used for a
military readiness activity (as defined in section 315(f) of Public Law
107–314; 16 U.S.C. 703 note); or
(3)required in the
national interest, as determined by the President.
18.Repurchase of
certain leases
(a)Authority To
repurchase and cancel certain leasesThe Secretary of the
Interior shall repurchase and cancel any Federal oil and gas, geothermal, coal,
oil shale, tar sands, or other mineral lease, whether onshore or offshore, but
not including any outer Continental Shelf oil and gas leases that were subject
to litigation in the Court of Federal Claims on January 1, 2006, if the
Secretary finds that such lease qualifies for repurchase and cancellation under
the regulations authorized by this section.
(b)Not
later than 365 days after the date of the enactment of this Act, the Secretary
shall publish a final regulation stating the conditions under which a lease
referred to in subsection (a) would qualify for repurchase and cancellation,
and the process to be followed regarding repurchase and cancellation. Such
regulation shall include, but not be limited to, the following:
(1)The Secretary
shall repurchase and cancel a lease after written request by the lessee upon a
finding by the Secretary that—
(A)a request by the
lessee for a required permit or other approval complied with applicable law,
except the Coastal Zone Management Act of 1972 (16 U.S.C. 1451 et seq.), and
terms of the lease and such permit or other approval was denied;
(B)a Federal agency
failed to act on a request by the lessee for a required permit, other approval,
or administrative appeal within a regulatory or statutory time-frame associated
with the requested action, whether advisory or mandatory, or if none, within
180 days; or
(C)a Federal agency
attached a condition of approval, without agreement by the lessee, to a
required permit or other approval if such condition of approval was not
mandated by Federal statute or regulation in effect on the date of lease
issuance, or was not specifically allowed under the terms of the lease.
(2)A
lessee shall not be required to exhaust administrative remedies regarding a
permit request, administrative appeal, or other required request for approval
for the purposes of this section.
(3)The Secretary
shall make a final agency decision on a request by a lessee under this section
within 180 days of request.
(4)Compensation to a
lessee to repurchase and cancel a lease under this section shall be the amount
that a lessee would receive in a restitution case for a material breach of
contract.
(5)Compensation shall
be in the form of a check or electronic transfer from the Department of the
Treasury from funds deposited into miscellaneous receipts under the authority
of the same Act that authorized the issuance of the lease being
repurchased.
(6)Failure of the
Secretary to make a final agency decision on a request by a lessee under this
section within 180 days of request shall result in a 10 percent increase in the
compensation due to the lessee if the lease is ultimately repurchased.
(c)This section shall not be interpreted to prejudice any
other rights that the lessee would have in the absence of this section.
19.Offsite
environmental mitigationNotwithstanding any other provision of law,
any person conducting activities under the Mineral Leasing Act (30 U.S.C. 181
et seq.), the Geothermal Steam Act (30 U.S.C. 1001 et seq.), the Mineral
Leasing Act for Acquired Lands (30 U.S.C. 351 et seq.), the Weeks Act (16
U.S.C. 552 et seq.), the General Mining Act of 1872 (30 U.S.C. 22 et seq.), the
Materials Act of 1947 (30 U.S.C. 601 et seq.), or the Outer Continental Shelf
Lands Act (43 U.S.C. 1331 et seq.), may in satisfying any mitigation
requirements associated with such activities propose mitigation measures on a
site away from the area impacted and the Secretary of the Interior shall accept
these proposed measures if the Secretary finds that they generally achieve the
purposes for which mitigation measures appertained.
20.Minerals
Management ServiceThe bureau
known as the Minerals Management Service
in the Department of
the Interior shall be known as the National Ocean Resources and Royalty
Service
.
21.Authority to use
decommissioned offshore oil and gas platforms and other facilities for
artificial reef, scientific research, or other uses
(a)This section may be cited as the Rigs to Reefs Act of 2009
.
(b)The Outer Continental Shelf Lands Act (43 U.S.C. 1301 et
seq.) is amended by inserting after section 9 the following:
10.Use of
decommissioned offshore oil and gas platforms and other facilities for
artificial reef, scientific research, or other uses
(a)The Secretary shall issue regulations under which the
Secretary may authorize use of an offshore oil and gas platform or other
facility that is decommissioned from service for oil and gas purposes for an
artificial reef, scientific research, or any other use authorized under section
8(p) or any other applicable Federal law.
(b)The Secretary shall not allow the transfer of a
decommissioned offshore oil and gas platform or other facility to another
person unless the Secretary is satisfied that the transferee is sufficiently
bonded, endowed, or otherwise financially able to fulfill its obligations,
including but not limited to—
(1)ongoing
maintenance of the platform or other facility;
(2)any liability
obligations that might arise;
(3)removal of the
platform or other facility if determined necessary by the Secretary; and
(4)any other
requirements and obligations that the Secretary may deem appropriate by
regulation.
(c)The Secretary shall ensure that plugging and
abandonment of wells is accomplished at an appropriate time.
(d)Potential To
petition To opt-out of regulationsAn Adjacent State acting
through a resolution of its legislature, with concurrence of its Governor, may
preliminarily petition to opt-out of the application of regulations promulgated
under this section to platforms and other facilities located in the area of its
Adjacent Zone within 12 miles of the coastline. Upon receipt of the preliminary
petition, the Secretary shall complete an environmental assessment that
documents the anticipated environmental effects of approving the petition. The
Secretary shall provide the environmental assessment to the State, which then
has the choice of no action or confirming its petition by further action of its
legislature, with the concurrence of its Governor. The Secretary is authorized
to except such area from the application of such regulations, and shall approve
any confirmed petition.
(e)A person that had used an offshore oil and gas platform
or other facility for oil and gas purposes and that no longer has any ownership
or control of the platform or other facility shall not be liable under Federal
law for any costs or damages arising from such platform or other facility after
the date the platform or other facility is used for any purpose under
subsection (a), unless such costs or damages arise from—
(1)use of the
platform or other facility by the person for development or production of oil
or gas; or
(2)another act or
omission of the person.
(f)Other leasing
and use not affectedThis section, and the use of any offshore
oil and gas platform or other facility for any purpose under subsection (a),
shall not affect—
(1)the authority of
the Secretary to lease any area under this Act; or
(2)any activity
otherwise authorized under this
Act.
.
(c)The Secretary of the Interior shall issue regulations
under subsection (b) by not later than 180 days after the date of the enactment
of this Act.
(d)Study and report
on effects of removal of platformsNot later than one year after
the date of enactment of this Act, the Secretary of the Interior, in
consultation with other Federal agencies as the Secretary deems advisable,
shall study and report to the Congress regarding how the removal of offshore
oil and gas platforms and other facilities from the outer Continental Shelf
would affect existing fish stocks and coral populations.
22.Repeal of
requirement to conduct comprehensive inventory of OCS oil and natural gas
resourcesThe Energy Policy
Act of 2005 (Public Law 109–58) is amended—
(1)by repealing
section 357 (119 Stat. 720; 42 U.S.C. 15912); and
(2)in the table of
contents in section 1(b), by striking the item relating to such section
357.
23.Mining and
petroleum schools
(a)Maintenance and
restoration of existing and historic petroleum and mining engineering
programsPublic Law 98–409 (30 U.S.C. 1221 et seq.) is amended to
read as follows:
1.This Act may be cited as the
Energy and Mineral Schools
Reinvestment Act
.
2.
(a)The Secretary of
the Interior (in this Act referred to as the Secretary
) shall
provide funds to historic and existing State-chartered recognized petroleum or
mining schools to assist such schools, universities, and institutions in
maintaining programs in petroleum, mining, and mineral engineering education
and research. All funds shall be directed only to these programs and shall be
subject to the conditions of this section. Such funds shall not be less than 25
percent of the annual outlay of funds authorized by section 23(d) of the
Deep Ocean Energy Resources Act of
2009.
3.Maintaining and
restoring historic and existing petroleum and mining engineering education
programs
(a)The Secretary of
the Interior (in this Act referred to as the Secretary
) shall
provide funds to historic and existing State-chartered recognized petroleum or
mining schools to assist such schools, universities, and institutions in
maintaining programs in petroleum, mining, and mineral engineering education
and research. All funds shall be directed only to these programs and shall be
subject to the conditions of this section. Such funds shall not be less than 25
percent of the annual outlay of funds authorized by section 23(d) of the
Deep Ocean Energy Resources Act of
2009.
(b)In this Act the
term historic and existing State-chartered recognized petroleum or mining
school means a school, university, or educational institution with the
presence of an engineering program meeting the specific program criteria,
established by the member societies of ABET, Inc., for petroleum, mining, or
mineral engineering and that is accredited on the date of enactment of the
Deep Ocean Energy Resources Act of
2009 by ABET, Inc.
(c)It shall be the
duty of each school, university, or institution receiving funds under this
section to provide for and enhance the training of undergraduate and graduate
petroleum, mining, and mineral engineers through research, investigations,
demonstrations, and experiments. All such work shall be carried out in a manner
that will enhance undergraduate education.
(d)Each school,
university, or institution receiving funds under this Act shall maintain the
program for which the funds are provided for 10 years after the date of the
first receipt of such funds and take steps described in its application for
funding to increase the number of undergraduate students enrolled in and
completing the programs of study in petroleum, mining, and mineral
engineering.
(e)The research,
investigation, demonstration, experiment, and training authorized by this
section may include development and production of conventional and
non-conventional fuel resources, the production of metallic and non-metallic
mineral resources including industrial mineral resources, and the production of
stone, sand, and gravel. In all cases the work carried out with funds made
available under this Act shall include a significant opportunity for
participation by undergraduate students.
(f)Research funded by
this Act related to energy and mineral resource development and production may
include—
(1)studies of
petroleum, mining, and mineral extraction and immediately related beneficiation
technology;
(2)mineral economics,
reclamation technology, and practices for active operations;
(3)the development of
re-mining systems and technologies to facilitate reclamation that fosters the
ultimate recovery of resources at abandoned petroleum, mining, and aggregate
production sites; and
(4)research on ways
to extract petroleum and mineral resources that reduce the environmental impact
of those activities.
(g)Grants for basic
science and engineering studies and research shall not require additional
participation by funding partners. Grants for studies to demonstrate the proof
of concept for science and engineering or the demonstration of feasibility and
implementation shall include participation by industry and may include funding
from other Federal agencies.
(h)(1)No funds made available
under this section shall be applied to the acquisition by purchase or lease of
any land or interests therein, or the rental, purchase, construction,
preservation, or repair of any building.
(2)Funding made available under this
section may be used with the express approval of the Secretary for proposals
that will provide for maintaining or upgrading of existing laboratories and
laboratory equipment. Funding for such maintenance shall not be used for
university overhead expenses.
(3)Funding made available under this Act
may be used for maintaining and upgrading mines and oil and gas drilling rigs
owned by a school, university, or institution described in this section that
are used for undergraduate and graduate training and worker safety training.
All requests for funding such mines and oil and gas drilling rigs must
demonstrate that they have been owned by the school, university, or institution
for 5 years prior to the date of enactment of the
Deep Ocean Energy Resources Act of
2009 and have been actively used for instructional or training
purposes during that time.
(4)Any funding made available under this
section for research, investigation, demonstration, experiment, or training
shall not be used for university overhead charges in excess of 10 percent of
the amount authorized by the Secretary.
4.Former and new
petroleum and mining engineering programs
(a)A school,
university, or educational institution that formerly met the requirements of
section 3(b) immediately before the date of the enactment of the
Deep Ocean Energy Resources Act of
2009, or that seeks to establish a new program described in
section 3(b), shall be eligible for funding under this Act only if it—
(1)establishes a
petroleum, mining, or mineral engineering program that meets the specific
program criteria and is accredited as such by ABET, Inc., with particular
consideration awarded to establishing programs and minority serving
institutions;
(2)agrees to the
conditions of subsections (c) through (h) of section 3 and the Secretary
determines that the program will strengthen and increase the number of
nationally available, well-qualified faculty members in petroleum, mining, and
mineral engineering; and
(3)agrees to maintain
the accredited program for 10 years after the date of the first receipt of
funds under this Act.
(b)The Secretary
shall seek the advice of the Committee established pursuant to section 11 in
determining the criteria used to carry out this section.
5.Funding of
consortia of historic and existing schoolsWhere appropriate, the Secretary may make
funds available to consortia of schools, universities, or institutions
described in sections 3, 4, and 6, including those consortia that include
schools, universities, or institutions that are ineligible for funds under this
Act if those schools, universities, or institutions, respectively, have skills,
programs, or facilities specifically identified as needed by the consortia to
meet the necessary expenses for purposes of—
(1)specific energy
and mineral research projects of broad application that could not otherwise be
undertaken, including the expenses of planning and coordinating regional
petroleum, geothermal, mining, and mineral engineering or beneficiation
projects by two or more schools; and
(2)research into any
aspects of petroleum, geothermal, mining, or mineral engineering or
beneficiation problems, including but not limited to exploration, that are
related to the mission of the Department of the Interior.
6.Support for
schools with energy and mineral resource programs in petroleum and mineral
exploration geology, petroleum geophysics, or mining geophysics
(a)Twelve percent of
the annual outlay of funds authorized by section 23(d) of the
Deep Ocean Energy Resources Act of
2009 may be granted to schools, universities, and institutions
other than those described in sections 3 and 4, with particular consideration
awarded to minority serving institutions.
(b)The Secretary
shall determine the eligibility of a college or university to receive funding
under this Act using criteria that include—
(1)the presence of a
substantial program of undergraduate and graduate geoscience instruction and
research in one or more of the following specialties: petroleum geology,
geothermal geology, mineral exploration geology, economic geology, industrial
minerals geology, mining geology, petroleum geophysics, mining geophysics,
geological engineering, or geophysical engineering that has a demonstrated
history of achievement;
(2)evidence of
institutional commitment for the purposes of this Act that includes a
significant opportunity for participation by undergraduate students in
research;
(3)evidence that such
school, university, or institution has or can obtain significant industrial
cooperation in activities within the scope of this Act;
(4)agreement by the
school, university, or institution to maintain the programs for which the
funding is sought for the 10-year period beginning on the date the school,
university, or institution first receives such funds; and
(5)requiring that
such funding shall be for the purposes set forth in subsections (c) through (h)
of section 3 and subject to the conditions set forth in section 3(h).
(c)The Secretary
shall seek the advice of the Committee established pursuant to section 11 in
determining the criteria used to carry out this section.
7.Designation of
funds for scholarships and fellowships
(a)The Secretary
shall utilize 10 percent of the annual outlay of funds authorized by section
23(d) of the Deep Ocean Energy Resources Act
of 2009 for the purpose of providing merit-based scholarships for
undergraduate education, graduate fellowships, and postdoctoral
fellowships.
(b)In order to
receive a scholarship or a graduate fellowship, an individual student must be a
lawful permanent resident of the United States or a United States citizen and
must agree in writing to complete a course of studies and receive a degree in
petroleum, mining, or mineral engineering, petroleum geology, geothermal
geology, mining and economic geology, petroleum and mining geophysics, or
mineral economics.
(c)The regulations
required by section 9 shall require that an individual, in order to retain a
scholarship or graduate fellowship, must continue in one of the course of
studies listed in subsection (b) of this section, must remain in good academic
standing, as determined by the school, institution, or university and must
allow for reinstatement of the scholarship or graduate fellowship by the
Secretary, upon the recommendation of the school or institution. Such
regulations may also provide for recovery of funds from an individual who fails
to complete any of the courses of study listed in subsection (b) of this
section after notice that such completion is a requirement of receipt funding
under this Act.
(d)To carry out this
section, the Secretary shall award grants to schools, universities, and
institutions that are eligible to receive funding under sections 3, 4 or 6. A
school, university, or institution receiving funding under this subsection
shall be responsible for enforcing the requirements of this section for
scholarship or fellowship students and shall return to the Secretary any funds
recovered from an individual under subsection (c). An institution seeking funds
under this subsection shall describe, in its application to the Secretary for
funding, the number of students that would be awarded scholarships or
fellowships if the application is approved, how such students would be
selected, and how the provisions of this section will be enforced.
8.Funding criteria
for institutions
(a)Each application
to the Secretary for funds under this Act shall state, among other things, the
nature of the project to be undertaken; the period during which it will be
pursued; the qualifications of the personnel who will direct and conduct it;
the estimated costs; the importance of the project to the Nation, region, or
States concerned; its relation to other known research projects theretofore
pursued or being pursued; the extent to which the proposed project will
maximize the opportunity for the training of undergraduate petroleum, mining,
and mineral engineers; geologists and geophysicists; and the extent of
participation by nongovernmental sources in the project.
(b)No funds shall be
made available under this Act except for an application approved by the
Secretary. All funds shall be made available upon the basis of merit of the
application, the need for the knowledge that it is expected to produce when
completed, and the opportunity it provides for the undergraduate training of
individuals as petroleum, mining, and mineral engineers, geologists, and
geophysicists. The Secretary may use competitive review by nongovernmental
experts in relevant fields to determine which applications to approve, to the
extent practicable.
(c)Funds available
under this Act shall be paid at such times and in such amounts during each
fiscal year as determined by the Secretary, and upon vouchers approved by the
Secretary. Each school, university, or institution that receives funds under
this Act shall—
(1)establish its plan
to provide for the training of individuals as petroleum, mining, and mineral
engineers, geologists, and geophysicists under a curriculum appropriate to the
field of mineral resources and mineral engineering and related fields;
(2)establish policies
and procedures that assure that Federal funds made available under this Act for
any fiscal year will supplement and, to the extent practicable, increase the
level of funds that would, in the absence of such Federal funds, be made
available for purposes of this Act, and in no case supplant such funds;
and
(3)have an officer
appointed by its governing authority who shall receive and account for all
funds paid under this Act and shall make an annual report to the Secretary on
or before the first day of September of each year, on work accomplished and the
status of projects underway, together with a detailed statement of the amounts
received under this Act during the preceding fiscal year, and of its
disbursements on schedules prescribed by the Secretary.
(d)If any of the
funds received by the authorized receiving officer of a program under this Act
are found by the Secretary to have been improperly diminished, lost, or
misapplied, such funds shall be recovered by the Secretary.
(e)Schools,
universities, and institutions receiving funds under this Act are authorized
and encouraged to plan and conduct programs under this Act in cooperation with
each other and with such other agencies, business enterprises and
individuals.
9.
(a)The Secretary,
acting through the Assistant Secretary for Land and Minerals Management, shall
administer this Act and shall prescribe such rules and regulations as may be
necessary to carry out its provisions not later than 1 year after the enactment
of the Deep Ocean Energy Resources Act of
2009.
(b)(1)There is established in
the Department of the Interior, under the supervision of the Assistant
Secretary for Land and Minerals Management, an office to be known as the Office
of Petroleum and Mining Schools (hereafter in this Act referred to as the
Office
) to administer the provisions of this Act. There shall be
a Director of the Office who shall be a member of the Senior Executive Service.
The position of the Director shall be allocated from among the existing Senior
Executive Service positions at the Department of the Interior and shall be a
career reserved position as defined in section 3132(a)(8) of title 5, United
States Code.
(2)The Director is authorized to appoint
a Deputy Director and to employ such officers and employees as may be necessary
to enable the Office to carry out its functions. Such appointments shall be
made from existing positions at the Department of the Interior, and shall be
subject to the provisions of title 5, United States Code, governing
appointments in the competitive service. Such positions shall be paid in
accordance with the provisions of chapter 51 and subchapter III of chapter 53
of such title relating to classification and General Schedule pay rates.
(3)In carrying out his or her functions,
the Director shall assist and advise the Secretary and the Committee pursuant
to section 11 of this Act by—
(A)providing professional and
administrative staff support for the Committee including recordkeeping and
maintaining minutes of all Committee and subcommittee meetings;
(B)coordinating the activities of the
Committee with Federal agencies and departments, and the schools, universities,
and institutions to which funds are provided under this Act;
(C)maintaining accurate records of funds
disbursed for all scholarship and fellowship grants, research grants, and
grants for career technical education purposes;
(D)preparing any regulations required to
implement this Act;
(E)conducting site visits at schools,
universities, and institutions receiving funding under this Act; and
(F)serving as a central repository for
reports and clearing house for public information on research funded by this
Act.
(4)The Director or an employee of the
Office shall be present at each meeting of the Committee pursuant to section 11
or a subcommittee of such Committee.
(5)The Director is authorized to
contract with public or private agencies, institutions, and organizations and
with individuals without regard to section 3324(a) and (b) of title 31, United
States Code, and section 5 of title 41, United States Code, in carrying out his
or her functions.
(6)As needed the Director shall
ascertain whether the requirements of this Act have been met by schools,
universities, institutions, and individuals.
(c)The Secretary,
acting through the Office of Petroleum and Mining Schools, shall furnish such
advice and assistance as will best promote the purposes of this Act, shall
participate in coordinating research, investigations, demonstrations, and
experiments initiated under this Act, shall indicate to schools, universities,
and institutions receiving funds under this Act such lines of inquiry that seem
most important, and shall encourage and assist in the establishment and
maintenance of cooperation between such schools, universities, and
institutions, other research organizations, the Department of the Interior, and
other Federal agencies.
(d)The Secretary
shall establish procedures—
(1)to ensure that
each employee and contractor of the Office established by this section and each
member of the Committee pursuant to section 11 of this Act shall disclose to
the Secretary any financial interests in or financial relationships with
schools, universities, institutions or individuals receiving funds,
scholarships or fellowships under this Act;
(2)to require any
employee, contractor, or member of the Committee with a financial relationship
disclosed under paragraph (1) to recuse themselves from—
(A)any recommendation
or decision regarding the awarding of funds, scholarships or fellowships;
or
(B)any review,
report, analysis or investigation regarding compliance with the provisions of
this Act by a school, university, institution or any individual.
(e)On or before the
first day of July of each year beginning after the date of enactment of this
sentence, schools, universities, and institutions receiving funds under this
Act shall certify compliance with this Act and upon request of the Director of
the office established by this section provide documentation of such
compliance.
(f)An individual
granted a scholarship or fellowship with funds provided under this Act shall
through their respective school, university, or institution, advise the
Director of the office established by this Act of progress towards completion
of the course of studies and upon the awarding of the degree within 30 days
after the award.
(g)The regulations
required by this section shall include a preference for veterans and
servicemembers who have received or will receive either the Afghanistan
Campaign Medal or the Iraq Campaign Medal as authorized by Public Law 108–234,
and Executive Order No. 13363.
10.
(a)Nothing in this
Act shall be construed to impair or modify the legal relationship existing
between any of the schools, universities, and institutions under whose
direction a program is established with funds provided under this Act and the
government of the State in which it is located. Nothing in this Act shall in
any way be construed to authorize Federal control or direction of education at
any school, university, or institution.
(b)The programs
authorized by this Act are intended to enhance the Nation’s petroleum, mining,
and mineral engineering education programs and to enhance educational programs
in petroleum and mining exploration and to increase the number of individuals
enrolled in and completing these programs. To achieve this intent, the
Secretary and the Committee pursuant to section 11 shall receive the continuing
advice and cooperation of all agencies of the Federal Government concerned with
the identification, exploration, and development of energy and mineral
resources.
(c)Nothing in this
Act is intended to give or shall be construed as giving the Secretary any
authority over mining and mineral resources research conducted by any agency of
the Federal Government, or as repealing or diminishing existing authorities or
responsibilities of any agency of the Federal Government to plan and conduct,
contract for, or assist in research in its area of responsibility and concern
with regard to mining and mineral resources.
(d)The schools,
universities, and institutions receiving funding under this Act shall make
detailed reports to the Office of Petroleum and Mining Schools on projects
completed, in progress, or planned with funds provided under this Act. All such
reports shall be available to the public on not less than an annual basis
through the Office of Petroleum and Mining Schools. All uses, products,
processes, and other developments resulting from any research, demonstration,
or experiment funded in whole or in part under this Act shall be made available
promptly to the general public, subject to exception or limitation, if any, as
the Secretary may find necessary in the interest of national security, and
subject to the applicable Federal law governing patents.
11.Committee on
Petroleum, Mining, and Mineral Engineering and Energy and Mineral Resource
Education
(a)The Secretary
shall appoint a Committee on Petroleum, Mining, and Mineral Engineering and
Energy and Mineral Resource Education composed of—
(1)the Assistant
Secretary of the Interior responsible for land and minerals management and not
more than 16 other persons who are knowledgeable in the fields of mining and
mineral resources research, including 2 university administrators one of whom
shall be from historic and existing petroleum and mining schools; a community,
technical, or tribal college administrator; a career technical education
educator; 6 representatives equally distributed from the petroleum, mining, and
aggregate industries; a working miner; a working oilfield worker; a
representative of the Interstate Oil and Gas Compact Commission; a
representative from the Interstate Mining Compact Commission; a representative
from the Western Governors Association; a representative of the State
geologists, and a representative of a State mining and reclamation agency. In
making these 16 appointments, the Secretary shall consult with interested
groups.
(2)The Assistant
Secretary for Land and Minerals Management, in the capacity of the Chairman of
the Committee, may have present during meetings of the Committee
representatives of Federal agencies with responsibility for energy and minerals
resources management, energy and mineral resource investigations, energy and
mineral commodity information, international trade in energy and mineral
commodities, mining safety regulation and mine safety research, and research
into the development, production, and utilization of energy and mineral
commodities. These representatives shall serve as technical advisors to the
committee and shall have no voting responsibilities.
(b)The Committee
shall consult with, and make recommendations to, the Secretary on policy
matters relating to carrying out this Act. The Secretary shall consult with and
carefully consider recommendations of the Committee in such matters.
(c)Committee members,
other than officers or employees of Federal, State, or local governments, shall
be, for each day (including traveltime) during which they are performing
Committee business, paid at a rate fixed by the Secretary but not in excess of
the daily equivalent of the maximum rate of pay for level IV of the Executive
Schedule under section 5136 of title 5, United States Code, and shall be fully
reimbursed for travel, subsistence, and related expenses.
(d)The Committee
shall be chaired by the Assistant Secretary of the Interior responsible for
land and minerals management. There shall also be elected a Vice Chairman by
the Committee from among the members referred to in this section. The Vice
Chairman shall perform such duties as are determined to be appropriate by the
committee, except that the Chairman of the Committee must personally preside at
all meetings of the full Committee. The Committee may organize itself into such
subcommittees as the Committee may deem appropriate.
(e)Following
completion of the report required by section 385 of the Energy Policy Act of
2005, the Committee shall consider the recommendations of the report, ongoing
efforts in the schools, universities, and institutions receiving funding under
this Act, the Federal and State Governments, and the private sector, and shall
formulate and recommend to the Secretary a national plan for a program
utilizing the fiscal resources provided under this Act. The Committee shall
submit such plan to the Secretary for approval. Upon approval, the plan shall
guide the Secretary and the Committee in their actions under this Act.
(f)Section 10 of the
Federal Advisory Committee Act (5 U.S.C. App. 2) shall not apply to the
Committee.
12.Career technical
education
(a)Up to 25 percent
of the annual outlay of funds authorized by section 23(d) of the
Deep Ocean Energy Resources Act of
2009 may be granted to schools or institutions including, but not
limited to, colleges, universities, community colleges, tribal colleges and
universities, technical institutes, secondary schools, other than those
described in sections 3, 4, 5, and 6, and jointly sponsored apprenticeship and
training programs that are authorized by Federal law.
(b)The Secretary
shall determine the eligibility of a school or institution to receive funding
under this section using criteria that include—
(1)the presence of a
State-approved program in mining engineering technology, petroleum engineering
technology, industrial engineering technology, or industrial technology
that—
(A)is focused on
technology and its use in energy and mineral production and related
maintenance, operational safety, or energy infrastructure protection and
security;
(B)prepares students
for advanced or supervisory roles in the mining industry or the petroleum
industry; and
(C)grants either an
associate’s degree or a baccalaureate degree in one of the subjects listed in
subparagraph (A);
(2)the presence of a
program, including a secondary school vocational education program or career
academy, that provides training for individuals entering the petroleum, coal
mining, or mineral mining industries; or
(3)the presence of a
State-approved program of career technical education at a secondary school,
offered cooperatively with a community college in one of the industrial sectors
of—
(A)agriculture,
forestry, or fisheries;
(B)utilities;
(C)construction;
(D)manufacturing;
and
(E)transportation and
warehousing.
(c)Schools or
institutions receiving funds under this section must show evidence of an
institutional commitment for the purposes of career technical education and
provide evidence that the school or institution has received or will receive
industry cooperation in the form of equipment, employee time, or donations of
funds to support the activities that are within the scope of this
section.
(d)Schools or
institutions receiving funds under this section must agree to maintain the
programs for which the funding is sought for a period of 10 years beginning on
the date the school or institution receives such funds, unless the Secretary
finds that a shorter period of time is appropriate for the local labor market
or is required by State authorities.
(e)Schools or
institutions receiving funds under this section may combine these funds with
State funds, and other Federal funds where allowed by law, to carry out
programs described in this section, however the use of the funds received under
this section must be reported to the Secretary not less than annually.
(f)The Secretary
shall seek the advice of the Committee established pursuant to section 11 in
determining the criteria used to carry out this section.
13.Department of
the Interior workforce enhancement
(a)Physical
science, engineering and technology scholarship program
(1)From the amount of
funds available to carry out this section, the Secretary shall use 30 percent
of that amount to provide financial assistance for education in physical
sciences, engineering, and engineering or industrial technology and disciplines
that, as determined by the Secretary, are critical to the functions of the
Department of the Interior and are needed in the Department of the Interior
workforce.
(2)The Secretary of
the Interior may award a scholarship in accordance with this section to a
person who—
(A)is a citizen of
the United States;
(B)is pursuing an
undergraduate or advanced degree in a critical skill or discipline described in
paragraph (1) at an institution of higher education; and
(C)enters into a
service agreement with the Secretary of the Interior as described in subsection
(e).
(3)The amount of the
financial assistance provided under a scholarship awarded to a person under
this subsection shall be the amount determined by the Secretary of the Interior
as being necessary to pay all educational expenses incurred by that person,
including tuition, fees, cost of books, laboratory expenses, and expenses of
room and board. The expenses paid, however, shall be limited to those
educational expenses normally incurred by students at the institution of higher
education involved.
(b)Scholarship
program for students attending minority serving higher education
institutions
(1)From the amount of
funds available to carry out this section, the Secretary shall use 35 percent
of that amount to award scholarships in accordance with this section to persons
who—
(A)are enrolled in a
Minority Serving Higher Education Institutions.
(B)are citizens or
nationals of the United States;
(C)are pursuing an
undergraduate or advanced degree in agriculture, engineering, engineering or
industrial technology, or physical sciences, or other discipline that is found
by the Secretary to be critical to the functions of the Department of the
Interior and are needed in the Department of the Interior workforce; and
(D)enter into a
service agreement with the Secretary of the Interior as described in subsection
(e).
(2)The amount of the
financial assistance provided under a scholarship awarded to a person under
this subsection shall be the amount determined by the Secretary of the Interior
as being necessary to pay all educational expenses incurred by that person,
including tuition, fees, cost of books, laboratory expenses, and expenses of
room and board. The expenses paid, however, shall be limited to those
educational expenses normally incurred by students at the institution of higher
education involved.
(c)Education
partnerships with minority serving higher education institutions
(1)The Secretary
shall require the director of each Bureau and Office, to foster the
participation of Minority Serving Higher Education Institutions in any
regulatory activity, land management activity, science activity, engineering or
industrial technology activity, or engineering activity carried out by the
Department of the Interior.
(2)From the amount of
funds available to carry out this section, the Secretary shall use 35 percent
of that amount to support activities at Minority Serving Higher Education
Institutions by—
(A)funding faculty
and students in these institutions in collaborative research projects that are
directly related to the Departmental or Bureau missions;
(B)allowing equipment
transfer to Minority Serving Higher Education Institutions as a part of a
collaborative research program directly related to a Departmental or Bureau
mission;
(C)allowing faculty
and students at these Minority Serving Higher Education Institutions to
participate Departmental and Bureau training activities;
(D)funding paid
internships in Departmental and Bureau facilities for students at Minority
Serving Higher Education Institutions; and
(E)assigning
Departmental and Bureau personnel to positions located at Minority Serving
Higher Educational Institutions to serve as mentors to students interested in a
science, technology or engineering disciplines related to the mission of the
Department or the Bureaus.
(d)Service
agreement for recipients of assistance
(1)To receive
financial assistance under subsection (a) or (b) of this section—
(A)in the case of an
employee of the Department of the Interior, the employee shall enter into a
written agreement to continue in the employment of the department for the
period of obligated service determined under paragraph (2); and
(B)in the case of a
person not an employee of the Department of the Interior, the person shall
enter into a written agreement to accept and continue employment in the
Department of the Interior for the period of obligated service determined under
paragraph (2).
(2)For the purposes
of this section, the period of obligated service for a recipient of a
scholarship under this section shall be the period determined by the Secretary
of the Interior as being appropriate to obtain adequate service in exchange for
the financial assistance provided under the scholarship. In no event may the
period of service required of a recipient be less than the total period of
pursuit of a degree that is covered by the scholarship. The period of obligated
service is in addition to any other period for which the recipient is obligated
to serve in the civil service of the United States.
(3)An agreement
entered into under this subsection by a person pursuing an academic degree
shall include any terms and conditions that the Secretary of the Interior
determines necessary to protect the interests of the United States or otherwise
appropriate for carrying out this section.
(e)Refund for
period of unserved obligated service
(1)A person who
voluntarily terminates service before the end of the period of obligated
service required under an agreement entered into under subsection (d) shall
refund to the United States an amount determined by the Secretary of the
Interior as being appropriate to obtain adequate service in exchange for
financial assistance.
(2)An obligation to
reimburse the United States imposed under paragraph (1) is for all purposes a
debt owed to the United States.
(3)The Secretary of
the Interior may waive, in whole or in part, a refund required under paragraph
(1) if the Secretary determines that recovery would be against equity and good
conscience or would be contrary to the best interests of the United
States.
(4)A discharge in
bankruptcy under title 11, United States Code, that is entered less than five
years after the termination of an agreement under this section does not
discharge the person signing such agreement from a debt arising under such
agreement or under this subsection.
(f)Relationship to
other programsThe Secretary of the Interior shall coordinate the
provision of financial assistance under the authority of this section with the
provision of financial assistance under the authorities provided in this Act in
order to maximize the benefits derived by the Department of Interior from the
exercise of all such authorities.
(g)Not
later than September 1 of each year, the Secretary of the Interior shall submit
to the Congress a report on the status of the assistance program carried out
under this section. The report shall describe the programs within the
Department designed to recruit and retain a workforce on a short-term basis and
on a long-term basis.
(h)As
used in this section:
(1)The term
Minority Serving Higher Education Institutions means a
Hispanic-serving institution, historically Black college or university, Alaska
Native-serving institution, tribal college or university, or insular area
school.
(2)The term
Hispanic-serving institution has the meaning given the term in
section 502(a) of the Higher Education Act of 1965 (20 U.S.C. 1101a(a)).
(3)The term
historically Black college or university has the meaning given the
term part B institution in section 322 of the Higher Education Act
of 1965 (20 U.S.C. 1061).
(4)The term
tribal college or university has the meaning given the term
Tribal College or University in section 316(b) of the Higher
Education Act of 1965 (20 U.S.C. 1059c(b)).
(5)The term
institution of higher education has the meaning given such term in
section 101 of the Higher Education Act of 1965 (20 U.S.C. 1001).
(6)The term
Alaska Native-serving institution has the meaning given the term
in section 317 of the Higher Education Act of 1965 (20 U.S.C. 1059d).
(7)The term
insular area school means an academic institution or university in
American Samoa, Guam, The Northern Mariana Islands, Puerto Rico, and the Virgin
Islands, or any other territory or possession of the United States.
(i)To
implement this section, the Secretary shall use 3 percent of the annual outlay
authorized by section 23(d) of the Deep Ocean
Energy Resources Act of
2009.
.
(b)Funding for
energy research
(1)Using 20 percent
of the funds authorized by subsection (d), the Secretary of Energy, through the
energy supply research and development programs of the Department of Energy,
and in consultation with the Office of Science of the Department of Energy,
shall carry out a program to award grants to institutions of higher education
on the basis of competitive, merit-based review, for the purpose of conducting
research on advanced energy technologies with the potential to transform the
energy systems of the United States so as to—
(A)reduce dependence
on foreign energy supplies;
(B)reduce or
eliminate emissions of greenhouse gases;
(C)reduce negative
environmental effects associated with energy production, storage, and use;
and
(D)enhance the
competitiveness of United States energy technology exports.
(2)Awards made under
this subsection may include funding for—
(A)energy
efficiency;
(B)renewable energy,
including solar, wind, and biofuels; and
(C)nuclear, hydrogen,
and any other energy research that could accomplish the purpose set forth in
paragraph (1).
(3)The Secretary of
Energy may require or authorize grantees under this subsection to partner with
industry, but only to the extent that such a requirement does not prevent
long-range, potentially pathbreaking research from being funded under this
subsection.
(4)An institution of
higher education seeking funding under this subsection shall submit an
application at such time, in such manner, and containing such information as
the Secretary of Energy may require.
(5)In this subsection, the term
institution of higher education has the meaning given that term in
section 101(a) of the Higher Education Act of 1965 (20 U.S.C. 1001(a)).
(c)Funding for
energy scholarships
(1)Using 5 percent of
the funds authorized by subsection (d), the Secretary of Energy, through the
energy supply research and development programs of the Department of Energy,
and in consultation with the Office of Science of the Department of Energy,
shall carry out a program to award grants to institutions of higher education
on the basis of competitive, merit-based review, to grant graduate traineeships
to Ph.D. students who are citizens of the United States who will carry out
research on advanced energy technologies to accomplish the purpose set forth in
subsection (c)(1).
(2)Awards made under
this subsection may include funding for—
(A)energy
efficiency;
(B)renewable energy,
including solar, wind, and biofuels; and
(C)nuclear, hydrogen,
and any other energy research that would accomplish the purpose set forth in
subsection (c)(1) that is not eligible for funding under section 7 of the
Energy and Mineral Schools Reinvestment Act.
(3)An institution of
higher education seeking funding under this subsection shall submit an
application at such time, in such manner, and containing such information as
the Secretary of Energy may require.
(4)In this subsection, the term
institution of higher education has the meaning given that term in
section 101(a) of the Higher Education Act of 1965 (20 U.S.C. 1001(a)).
(d)Authorization of
appropriationsThere is authorized to be appropriated to carry
out this section $150,000,000 for fiscal year 2010 and each fiscal year
thereafter.
24.Onshore and
offshore mineral lease feesExcept as otherwise provided in this Act,
the Department of the Interior is prohibited from charging fees applicable to
bidding or actions on Federal onshore and offshore oil and gas, coal,
geothermal, and other mineral leases, including transportation of any
production from such leases, if such fees were not established in final
regulations prior to the date of issuance of the lease.
25.OCS regional
headquartersNot later than
July 1, 2011, the Secretary of the Interior shall establish the headquarters
for the Atlantic OCS Region, the headquarters for the Gulf of Mexico OCS
Region, and the headquarters for the Pacific OCS Region within a State
bordering the Atlantic OCS Region, a State bordering the Gulf of Mexico OCS
Region, and a State bordering the Pacific OCS Region, respectively, from among
the States bordering those Regions, that petitions by no later than January 1,
2011, for leasing, for oil and gas or natural gas, covering at least 40 percent
of the area of its Adjacent Zone within 100 miles of the coastline. Such
Atlantic and Pacific OCS Regions headquarters shall be located within 25 miles
of the coastline and each MMS OCS regional headquarters shall be the permanent
duty station for all Minerals Management Service personnel that on a daily
basis spend on average 60 percent or more of their time in performance of
duties in support of the activities of the respective Region, except that the
Minerals Management Service may house regional inspection staff in other
locations. Each OCS Region shall each be led by a Regional Director who shall
be an employee within the Senior Executive Service.
26.National Geo
Fund Act of 2009
(a)This section may be cited as the National Geo Fund Act of
2009
.
(b)The
purpose of this section is to provide for the management of geologic programs,
geologic mapping, geophysical and other seismic studies, seismic monitoring
programs, and the preservation and use of geologic and geophysical data,
geothermal and geopressure energy resource management, unconventional energy
resources management, and renewable energy management associated with ocean
wave, current, and thermal resources.
(c)In this section the term State means the
agency of a State designated by its Governor or State law to perform the
functions and activities described in subsection (b).
(d)Strategic
unconventional resources
(1)The
Secretary of the Interior shall establish a program for production of fuels
from strategic unconventional resources, and production of oil and gas
resources using CO2 enhanced recovery. The program shall focus initially on
activities and domestic resources most likely to result in significant
production in the near future, and shall include work necessary to improve
extraction techniques, including surface and in situ operations. The program
shall include characterization and assessment of potential resources, a
sampling program, appropriate laboratory and other analyses and testing, and
assessment of methods for exploration and development of these strategic
unconventional resources.
(2)The program created in paragraph (1) shall include, but
not be limited to, pilot projects on (A) the Maverick Basin heavy oil and tar
sands formations of Texas, including the San Miguel deposits, (B) the Greater
Green River Basin heavy oil, oil shale, tar sands, and coal deposits of
Colorado, Utah, and Wyoming, (C) the shale, tar sands, heavy oil, and coal
deposits in the Alabama-Mississippi-Tennessee region, (D) the shale, tar sands,
heavy oil, and coal deposits in the Ohio River valley, and (E) strategic
unconventional resources in California. The Secretary shall identify and report
to Congress on feasible incentives to foster recovery of unconventional fuels
by private industry within the United States. Such incentives may include, but
are not limited to, long-term contracts for the purchase of unconventional
fuels for defense purposes, Federal grants and loan guarantees for necessary
capital expenditures, and favorable terms for the leasing of Government lands
containing unconventional resources.
(3)In
this subsection:
(A)Strategic
unconventional resourcesThe term strategic unconventional
resources means hydrocarbon resources, including heavy oil, oil shale,
tar sands, and coal deposits, from which liquid fuels may be produced.
(B)In situ
extraction methodsThe term in situ extraction
methods means recovery techniques that are applied to the resources
while they are still in the ground, and are in commercial use or advanced
stages of development. Such techniques include, but are not limited to, steam
flooding, steam-assisted gravity drainage (including combination with electric
power generation where appropriate), cyclic steam stimulation, air injection,
and chemical treatment.
(4)Authorization of
appropriationsThere is authorized to be appropriated to carry
out this subsection for each of fiscal years 2010 through 2019 the amount of
$35,000,000. Each pilot project shall be allocated not less than $4,000,000 per
year in each of fiscal years 2010 through 2019.
(e)Support of
geothermal and geopressure oil and gas energy production
(1)The Secretary shall carry out a grant program in support
of geothermal and geopressure oil and gas energy production. The program shall
include grants for a total of not less than three assessments of the use of
innovative geothermal techniques such as organic rankine cycle systems at
marginal, unproductive, and productive oil and gas wells, and not less than one
assessment of the use of innovative geopressure techniques. The Secretary
shall, to the extent practicable and in the public interest, make awards
that—
(A)include not less
than five oil or gas well sites per project award;
(B)use a range of oil
or gas well hot water source temperatures from 150 degrees Fahrenheit to 300
degrees Fahrenheit;
(C)use existing or
new oil or gas wells;
(D)cover a range of
sizes from 175 kilowatts to one megawatt;
(E)are located at a
range of sites including tribal lands, Federal lease, State, or privately owned
sites;
(F)can be replicated
at a wide range of sites;
(G)facilitate
identification of optimum techniques among competing alternatives;
(H)include business
commercialization plans that have the potential for production of equipment at
high volumes and operation and support at a large number of sites; and
(I)satisfy other
criteria that the Secretary determines are necessary to carry out the
program.
The
Secretary shall give preference to assessments that address multiple elements
contained in subparagraphs (A) through (I).(2)
(A)Each grant award for assessment of innovative geothermal
or geopressure technology such as organic rankine cycle systems at oil and gas
wells made by the Secretary under this section shall include—
(i)necessary and
appropriate site engineering study;
(ii)detailed economic
assessment of site specific conditions;
(iii)appropriate
feasibility studies to determine ability for replication;
(iv)design or
adaptation of existing technology for site specific circumstances or
conditions;
(v)installation of
equipment, service, and support; and
(vi)monitoring for a
minimum of one year after commissioning date.
(3)Competitive
grant selectionNot less than 180 days after the date of the
enactment of this Act, the Secretary shall conduct a national solicitation for
applications for grants under the program. Grant recipients shall be selected
on a competitive basis based on criteria in subsection (b).
(4)The Federal share of costs of grants under this subsection
shall be provided from funds made available to carry out this section. The
Federal share of the cost of a project carried out with such a grant shall not
exceed 50 percent of such cost.
(5)Authorization of
appropriationsThere is authorized to be appropriated to carry
out this subsection for each of fiscal years 2010 through 2019 the amount of
$5,000,000. No funds authorized under this section may be used for the purposes
of drilling new wells.
(6)Section
4 of the Geothermal Steam Act of 1970 (30 U.S.C. 1003) is amended by adding at
the end the following:
(h)Geothermal
Resources Co-Produced With the MineralsAny person who holds a
lease or who operates a cooperative or unit plan under the Mineral Leasing Act,
in the absence of an existing lease for geothermal resources under this Act,
shall upon notice to the Secretary have the right to utilize any geothermal
resources co-produced with the minerals for which the lease was issued during
the operation of that lease or cooperative or unit plan, for the generating of
electricity to operate the lease. Any electricity that is produced in excess of
that which is required to operate the lease and that is sold for purposes
outside of the boundary of the lease shall be subject to the requirements of
section
5.
.
(f)Liquid fuels
grant program
(1)The
Secretary of the Interior shall establish a grant program for facilities for
coal-to-liquids, petroleum coke-to-liquids, oil shale, tar sands, heavy oil,
and Alaska natural gas-to-liquids and to assess the production of low-rank coal
water fuel (in this subsection referred to as LRCWF
).
(2)The
LRCWF grant project shall be allocated $15,000,000.
(3)In
this subsection:
(A)Coal-to-liquids
front-end engineering and designThe terms coal-to-liquids
front-end engineering and design and FEED mean those
expenditures necessary to engineer, design, and obtain permits for a facility
for a particular geographic location which will utilize a process or technique
to produce liquid fuels from coal resources.
(B)In this subsection the term low-rank coal water
fuel means a liquid fuel produced from hydrothermal treatment of lignite
and sub-bituminous coals.
(4)All grants shall require a 50 percent non-Federal cost
share. The first 4 FEED grant recipients who receive full project construction
financing commitments, based on earliest calendar date, shall not be required
to repay any of their grants. The next 4 FEED grant recipients who receive such
commitments shall be required to repay 25 percent of the grant. The next 4 FEED
grant recipients who receive such commitments shall be required to repay 50
percent of the grant, and the remaining FEED grant recipients shall be required
to repay 75 percent of the grant. The LRCWF recipient shall not be required to
repay the grant. Any required repayment shall be paid as part of the closing
process for any construction financing relating to the grant. No repayment
shall require the payment of interest if repaid within 5 years of the issuance
of the grant. FEED grants shall be limited to a maximum of $1,000,000 per 1,000
barrels per day of liquid fuels production capacity, not to exceed $25,000,000
per year.
(5)Authorization of
appropriationsThere is authorized to be appropriated to carry
out this subsection—
(A)$65,000,000 for
fiscal year 2010; and
(B)$37,500,000 for
each of fiscal years 2011 through 2019.
(g)Renewable energy
from ocean wave, tide, current, and thermal resources
(1)The
Secretary of the Interior shall establish a grant program for the production of
renewable energy from ocean waves, tides, currents, and thermal
resources.
(2)All grants under this subsection shall require a 50
percent non-Federal cost share.
(3)Authorization of
appropriationsThere is authorized to be appropriated to carry
out this subsection funds for each of fiscal years 2010 through 2019 in the
amount of $20,000,000 each year.
(h)Amendment to the
Surface Mining Control and Reclamation Act of 1977Section 507 of
the Surface Mining Control and Reclamation Act of 1977 (30 U.S.C. 1267) is
amended by adding at the end the following:
(i)Any person who
provides the regulatory authority with a map under subsection (b)(13) or
(b)(14) shall not be liable to any other person in any way for the accuracy or
completeness of any such map which was not prepared and certified by or on
behalf of such
person.
.
27.Leases for areas
located within 100 miles of California or Florida
(a)Authorization To
cancel and exchange certain existing oil and gas leases; prohibition on
submittal of exploration plans for certain leases prior to June 30,
2013
(1)Within
2 years after the date of enactment of this Act, the lessee of an existing oil
and gas lease for an area located completely within 100 miles of the coastline
within the California or Florida Adjacent Zones shall have the option, without
compensation, of exchanging such lease for a new oil and gas lease having a
primary term of 5 years. For the area subject to the new lease, the lessee may
select any unleased tract on the outer Continental Shelf that is in an area
available for leasing. Further, with the permission of the relevant Governor,
such a lessee may convert its existing oil and gas lease into a natural gas
lease having a primary term of 5 years and covering the same area as the
existing lease or another area within the same State’s Adjacent Zone within 100
miles of the coastline.
(2)The Secretary of the Interior shall establish a
reasonable administrative process to implement paragraph (1). Exchanges and
conversions under subsection (a), including the issuance of new leases, shall
not be considered to be major Federal actions for purposes of the National
Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.). Further, such
actions conducted in accordance with this section are deemed to be in
compliance all provisions of the Outer Continental Shelf Lands Act (43 U.S.C.
1331 et seq.).
(3)A new lease issued in exchange for an existing lease
under this section shall be subject to such national defense operating
stipulations on the OCS tract covered by the new lease as may be applicable
upon issuance.
(4)The
Secretary shall give priority in the lease exchange process based on the amount
of the original bonus bid paid for the issuance of each lease to be exchanged.
The Secretary shall allow leases covering partial tracts to be exchanged for
leases covering full tracts conditioned upon payment of additional bonus bids
on a per-acre basis as determined by the average per acre of the original bonus
bid per acre for the partial tract being exchanged.
(5)Any exploration plan submitted to the Secretary of the
Interior after the date of the enactment of this Act and before July 1, 2013,
for an oil and gas lease for an area wholly within 100 miles of the coastline
within the California Adjacent Zone or Florida Adjacent Zone shall not be
treated as received by the Secretary until the earlier of July 1, 2013, or the
date on which a petition by the Adjacent State for oil and gas leasing covering
the area within which is located the area subject to the oil and gas lease was
approved.
(b)Further lease
cancellation and exchange provisions
(1)As part of the lease exchange process under this section,
the Secretary shall cancel a lease that is exchanged under this section.
(2)All lessees holding an interest in a lease must consent
to cancellation of their leasehold interests in order for the lease to be
cancelled and exchanged under this section.
(3)As a prerequisite to the exchange of a lease under this
section, the lessee must waive any rights to bring any litigation against the
United States related to the transaction.
(4)The plugging and abandonment requirements for any
wells located on any lease to be cancelled and exchanged under this section
must be complied with by the lessees prior to the cancellation and
exchange.
(c)Area partially
within 100 miles of FloridaAn existing oil and gas lease for an
area located partially within 100 miles of the coastline within the Florida
Adjacent Zone may only be developed and produced using wells drilled from
well-head locations at least 100 miles from the coastline to any bottom-hole
location on the area of the lease. This subsection shall not apply if Florida
has petitioned for leasing closer to the coastline than 100 miles.
(d)Existing oil and
gas lease definedIn this section the term existing oil and
gas lease means an oil and gas lease in effect on the date of the
enactment of this Act.
28.Coastal impact
assistanceSection 31 of the
Outer Continental Shelf Lands Act (43 U.S.C. 1356a) is repealed.
29.Oil shale and
tar sands amendments
(a)Repeal of
requirement To establish paymentsSection 369(o) of the Energy
Policy Act of 2005 (Public Law 109–58; 119 Stat. 728; 42 U.S.C. 15927) is
repealed.
(b)Section 21 of the Mineral Leasing Act (30 U.S.C. 241) is
amended by adding at the end the following:
(e)
(1)Notwithstanding the provisions of section 35, all
revenues received from and under an oil shale or tar sands lease shall be
disposed of as provided in this subsection.
(2)Royalty rates
for commercial leases
(A)The Secretary shall model the royalty schedule for oil
shale and tar sands leases based on the royalty program currently in effect for
the production of synthetic crude oil from oil sands in the Province of
Alberta, Canada.
(B)The
Secretary shall reduce any royalty otherwise required to be paid under
subparagraph (A) under any oil shale or tar sands lease on a sliding scale
based upon market price, with a 10 percent reduction if the average futures
price of NYMEX Light Sweet Crude, or a similar index, drops, for the previous
quarter year, below $50 (in January 1, 2006, dollars), and an 80 percent
reduction if the average price drops below $30 (in January 1, 2006, dollars)
for the quarter previous to the one in which the production is sold.
(3)
(A)The
Secretary shall deposit into a separate account in the Treasury all revenues
derived from any oil shale or tar sands lease.
(B)Allocations to
states and local political subdivisionsThe Secretary shall
allocate 50 percent of the revenues deposited into the account established
under subparagraph (A) to the State within the boundaries of which the leased
lands are located, with a portion of that to be paid directly by the Secretary
to the State’s local political subdivisions as provided in this
paragraph.
(C)Transmission of
allocations
(i)Not later than the last business day of the month after
the month in which the revenues were received, the Secretary shall
transmit—
(I)to each State
two-thirds of such State’s allocations under subparagraph (B), and in
accordance with clauses (ii) and (iii) to certain county-equivalent and
municipal political subdivisions of such State a total of one-third of such
State’s allocations under subparagraph (B), together with all accrued interest
thereon; and
(II)the remaining
balance of such revenues deposited into the account that are not allocated
under subparagraph (B), together with interest thereon, shall be transmitted to
the miscellaneous receipts account of the Treasury, except that until a lease
has been in production for 20 years 50 percent of such remaining balance
derived from a lease shall be paid in accordance with subclause (I).
(ii)Allocations to
certain county-equivalent political subdivisionsThe Secretary
shall under clause (i)(I) make equitable allocations of the revenues to
county-equivalent political subdivisions that the Secretary determines are
closely associated with the leasing and production of oil shale and tar sands,
under a formula that the Secretary shall determine by regulation.
(iii)Allocations to
municipal political subdivisionsThe initial allocation to each
county-equivalent political subdivision under clause (ii) shall be further
allocated to the county-equivalent political subdivision and any municipal
political subdivisions located partially or wholly within the boundaries of the
county-equivalent political subdivision on an equitable basis under a formula
that the Secretary shall determine by regulation.
(D)The deposits in the Treasury account established under
this section shall be invested by the Secretary of the Treasury in securities
backed by the full faith and credit of the United States having maturities
suitable to the needs of the account and yielding the highest reasonably
available interest rates as determined by the Secretary of the Treasury.
(E)A recipient of funds under this subsection may use the
funds for any lawful purpose as determined by State law. Funds allocated under
this subsection to States and local political subdivisions may be used as
matching funds for other Federal programs without limitation. Funds allocated
to local political subdivisions under this subsection may not be used in
calculation of payments to such local political subdivisions under programs for
payments in lieu of taxes or other similar programs.
(F)No recipient of funds under this subsection shall be
required to account to the Federal Government for the expenditure of such
funds, except as otherwise may be required by law.
(4)In
this subsection:
(A)County-equivalent
political subdivisionThe term county-equivalent political
subdivision means a political jurisdiction immediately below the level
of State government, including a county, parish, borough in Alaska, independent
municipality not part of a county, parish, or borough in Alaska, or other
equivalent subdivision of a State.
(B)Municipal
political subdivisionThe term municipal political
subdivision means a municipality located within and part of a county,
parish, borough in Alaska, or other equivalent subdivision of a
State.
.
30.Availability of
OCS receipts to provide payments under Secure Rural Schools and Community
Self-Determination Act of 2000Section 9 of the Outer Continental Shelf
Lands Act (43 U.S.C. 1338) is amended by inserting after subsection (i), as
added by section 10 of this Act, the following new subsection:
(j)Conditional
availability of funds for payments under Secure Rural Schools and Community
Self-Determination Act of 2000
(1)Subject to paragraph (2), but notwithstanding any other
provision of this section, $50,000,000 of OCS Receipts shall be available to
the Secretary of the Treasury for each of fiscal years 2010 through 2015 to
make payments under sections 102 and 103 of the Secure Rural Schools and
Community Self-Determination Act of 2000 (Public Law 106–393; 16 U.S.C. 500
note). The Secretary of the Treasury shall use the funds made available by this
subsection to make such payments in lieu of using funds in the Treasury not
otherwise appropriated, as otherwise authorized by sections 102(b)(3) and
103(b)(2) of such Act.
(2)Condition on
availabilityOCS Receipts shall be available under paragraph (1)
for a fiscal year only if—
(A)title I of the
Secure Rural Schools and Community Self-Determination Act of 2000 has been
reauthorized through at least that fiscal year; and
(B)the authority to
initiate projects under titles II and III of such Act has been extended through
at least that fiscal
year.
.
31.Sense of the
Congress to buy and build American
(a)It is the intention of the Congress that this Act, among
other things, result in a healthy and growing American industrial,
manufacturing, transportation, and service sector employing the vast talents of
America’s workforce to assist in the development of affordable energy from the
outer Continental Shelf. Moreover, the Congress intends to monitor the
deployment of personnel and material in the outer Continental Shelf to
encourage the development of American technology and manufacturing to enable
United States workers to benefit from this Act by good jobs and careers, as
well as the establishment of important industrial facilities to support
expanded access to American resources.
(b)Safeguard for
extraordinary abilitySection 30(a) of the Outer Continental
Shelf Lands Act (43 U.S.C. 1356(a)) is amended in the matter preceding
paragraph (1) by striking regulations which
and inserting
regulations that shall be supplemental and complimentary with and under
no circumstances a substitution for the provisions of the Constitution and laws
of the United States extended to the subsoil and seabed of the outer
Continental Shelf pursuant to section 4(a)(1) of this Act, except insofar as
such laws would otherwise apply to individuals who have extraordinary ability
in the sciences, arts, education, or business, which has been demonstrated by
sustained national or international acclaim, and that
.
32.Repeal of the
Gulf of Mexico Energy Security Act of 2006The Gulf
of Mexico Energy Security Act of 2006 is repealed effective
October 1, 2009.