<enum>I</enum><header>Pro-growth tax reform</header> <subtitle id="H39F550EB0F3D468FA403ED9BD03AFAB7"><enum>A</enum><header>Pro-Growth, pro-Family tax reform for families, seniors, and small businesses</header> <section id="id25DD7F97DBA5481BA4A4EC049FEA0A17"><enum>101.</enum><header>Tax reform for families, seniors, and small businesses</header> <subsection id="ID01fcbf90107f426bbd17f3b23adc7ee9"><enum>(a)</enum><header>In general</header><text>The Committee on Finance of the Senate and the Committee on Ways and Means of the House of Representatives shall report legislation that will lower, consolidate, and simplify the individual income tax system, with not more than 2 tax rates, the highest being 25 percent. Such legislation shall be reported not later than 60 days after the date of the enactment of this Act and shall be revenue neutral as scored by the Joint Committee on Taxation using a current policy baseline.</text> </subsection><subsection id="ID6af889ce14204006a7719daf602fc76f"><enum>(b)</enum><header>Legislation goals</header><text>Such reported legislation shall be required to achieve the following:</text> <paragraph id="ID87c587963a0945c1bbc6ca3aad2cf897"><enum>(1)</enum><header>Reduced tax liability</header><text>Lower the overall tax burden for the majority of American individual taxpayers.</text> </paragraph><paragraph id="ID7f314f72458b4a2b82afcf6b64341088"><enum>(2)</enum><header>Simplification</header><text>Eliminate all tax credits and deductions. Add deductions and credits for the following items:</text> <subparagraph id="IDb27c7b31090b4a50856ff7ea4cf96a77"><enum>(A)</enum><text>Home mortgage.</text> </subparagraph><subparagraph id="ID5164e8f5d66e4480977a2bfd66a4ae62"><enum>(B)</enum><text>Charitable contributions.</text> </subparagraph><subparagraph id="ID7dd57b8b290e437c91a49282c1b3b65d"><enum>(C)</enum><text>Tuition and direct expenses for higher education and qualified trade schools.</text> </subparagraph><subparagraph id="ID47222474db3b4e30a0439d85973532fd"><enum>(D)</enum><text>Health insurance costs.</text> </subparagraph><subparagraph id="IDe31f1dad29c74d6b953b5452d850c696"><enum>(E)</enum><text>$10,000 deduction for working seniors as defined by the Social Security Administration.</text> </subparagraph><subparagraph id="ID6dd9336478d345958b150863b2131ab6"><enum>(F)</enum><text>Earned income credit.</text> </subparagraph></paragraph><paragraph id="IDa133ee03bd264e12a3c3ba562fe8f1b1"><enum>(3)</enum><header>Consolidation</header><text>Provide necessary changes in order to consolidate the individual income tax system consistent with the tax rates specified in subsection (a).</text> </paragraph></subsection><subsection id="ID390caa8f8e3a4bc8b1e8491f50895e83"><enum>(c)</enum><header>Additional changes</header><text>Such Committees shall include in such legislation any further changes to the individual income tax system in order to ensure tax reductions and simplifications consistent with the goals of this Act.</text> </subsection></section></subtitle><subtitle id="H30EE7F0176E94A7A945C87E050552D19"><enum>B</enum><header>Capital Gains Inflation Relief </header> <section display-inline="no-display-inline" id="H39A7CDAE92ED4CEB9D5821C40F680A3C"><enum>111.</enum><header>Indexing of certain assets for purposes of determining gain or loss</header> <subsection id="H2ECB5D73367A4ED18F86D69F41B67B2D"><enum>(a)</enum><header>In General</header><text>Part II of subchapter O of chapter 1 of the Internal Revenue Code of 1986 is amended by redesignating section 1023 as section 1024 and by inserting after section 1022 the following new section:</text> <quoted-block id="HE98E4554021F4209953DC58E2AF2B2F7" style="OLC"> <section id="HBCF08C6964D34E6CBAFA15537D0374DA"><enum>1023.</enum><header>Indexing of certain assets for purposes of determining gain or loss</header> <subsection id="H72BEABF45AA14C33AA9221420E7A56B4"><enum>(a)</enum><header>General rule</header> <paragraph id="HE4B97FFBFC1F45308F49D57F274AA85E"><enum>(1)</enum><header>Indexed basis substituted for adjusted basis</header><text>Solely for purposes of determining gain or loss on the sale or other disposition by a taxpayer (other than a corporation) of an indexed asset which has been held for more than 3 years, the indexed basis of the asset shall be substituted for its adjusted basis.</text> </paragraph><paragraph id="H4AFB7E31A0DA472D8E459237D89BF6D0"><enum>(2)</enum><header>Exception for depreciation, etc</header><text>The deductions for depreciation, depletion, and amortization shall be determined without regard to the application of paragraph (1) to the taxpayer or any other person.</text> </paragraph><paragraph id="HDD82B9B54D69423E8AB5CA03519DF79C"><enum>(3)</enum><header>Written documentation requirement</header><text>Paragraph (1) shall apply only with respect to indexed assets for which the taxpayer has written documentation of the original purchase price paid or incurred by the taxpayer to acquire such asset.</text> </paragraph></subsection><subsection id="HC42D301D20E24B8B85048780FF1A426D"><enum>(b)</enum><header>Indexed asset</header> <paragraph id="HF7F104592D84466CBA92435BDC076F40"><enum>(1)</enum><header>In general</header><text>For purposes of this section, the term <term>indexed asset</term> means—</text> <subparagraph id="HE1F60F9406494567AAB0F242B143C47F"><enum>(A)</enum><text>common stock in a C corporation (other than a foreign corporation), or</text> </subparagraph><subparagraph id="H83B98DEAD49841C89CF300FE23BEC3A5"><enum>(B)</enum><text>tangible property,</text> </subparagraph><continuation-text continuation-text-level="paragraph">which is a capital asset or property used in the trade or business (as defined in section 1231(b)).</continuation-text></paragraph><paragraph id="H90AB84977C7A46FD94476BFBE6442E9F"><enum>(2)</enum><header>Stock in certain foreign corporations included</header><text>For purposes of this section—</text> <subparagraph id="H9D51CA328AA94E8FBB78B9063655851F"><enum>(A)</enum><header>In general</header><text>The term <term>indexed asset</term> includes common stock in a foreign corporation which is regularly traded on an established securities market.</text> </subparagraph><subparagraph id="HEA5BF02515D248249EF3C744FE2BA526"><enum>(B)</enum><header>Exception</header><text>Subparagraph (A) shall not apply to—</text> <clause id="H4BC6CA56145C4A2190D0F30FF29EC49F"><enum>(i)</enum><text>stock of a foreign investment company,</text> </clause><clause id="H0E3E8591D7B74D459E9D01F9DCFC2ECF"><enum>(ii)</enum><text>stock in a passive foreign investment company (as defined in section 1296),</text> </clause><clause id="H887558C6D6A44C8182E18D9653E595EA"><enum>(iii)</enum><text>stock in a foreign corporation held by a United States person who meets the requirements of section 1248(a)(2), and</text> </clause><clause id="H458D49E7DAEC4183A2D60F0EA97B6066"><enum>(iv)</enum><text>stock in a foreign personal holding company.</text> </clause></subparagraph><subparagraph id="HC55A8F60FEB240DD82723410B0EADC2A"><enum>(C)</enum><header>Treatment of american depository receipts</header><text>An American depository receipt for common stock in a foreign corporation shall be treated as common stock in such corporation.</text> </subparagraph></paragraph></subsection><subsection id="H3E76745893D7446BADDA0170A92A0ACB"><enum>(c)</enum><header>Indexed basis</header><text>For purposes of this section—</text> <paragraph id="H63C441B4F1AC46C6BE4F0E6DE3388F89"><enum>(1)</enum><header>General rule</header><text>The indexed basis for any asset is—</text> <subparagraph id="H08C6EBA0C98B4361B4375EA0FB6918D0"><enum>(A)</enum><text>the adjusted basis of the asset, increased by</text> </subparagraph><subparagraph id="HA54679D1447B47CFAE689F642451EB05"><enum>(B)</enum><text>the applicable inflation adjustment.</text> </subparagraph></paragraph><paragraph id="H027DC7395ED84D6EB80EC576DE102643"><enum>(2)</enum><header>Applicable inflation adjustment</header><text>The applicable inflation adjustment for any asset is an amount equal to—</text> <subparagraph id="HEE87B9D8F6ED4C3CB687FF7007BD8F60"><enum>(A)</enum><text>the adjusted basis of the asset, multiplied by</text> </subparagraph><subparagraph id="H11D9B74891E048669FDD46E1CD6BBC21"><enum>(B)</enum><text>the percentage (if any) by which—</text> <clause id="HE86CD671B2AE473D938E4EAF511046FB"><enum>(i)</enum><text>the gross domestic product deflator for the last calendar quarter ending before the asset is disposed of, exceeds</text> </clause><clause id="HF650C6D4802049E3A32955EFA7E2F99E"><enum>(ii)</enum><text>the gross domestic product deflator for the last calendar quarter ending before the asset was acquired by the taxpayer.</text> </clause></subparagraph><continuation-text continuation-text-level="paragraph">The percentage under subparagraph (B) shall be rounded to the nearest <fraction>1/10</fraction> of 1 percentage point.</continuation-text></paragraph><paragraph id="H569577AD8AAC412FB748272CB4FC1B36"><enum>(3)</enum><header>Gross domestic product deflator</header><text>The gross domestic product deflator for any calendar quarter is the implicit price deflator for the gross domestic product for such quarter (as shown in the last revision thereof released by the Secretary of Commerce before the close of the following calendar quarter).</text> </paragraph></subsection><subsection id="H9CF4C5B28AE74211A3215D5D6D7216CF"><enum>(d)</enum><header>Suspension of holding period where diminished risk of loss; treatment of short sales</header> <paragraph id="HF6023360AD7B43B286EDD43751F2DFAE"><enum>(1)</enum><header>In general</header><text>If the taxpayer (or a related person) enters into any transaction which substantially reduces the risk of loss from holding any asset, such asset shall not be treated as an indexed asset for the period of such reduced risk.</text> </paragraph><paragraph id="HC798CDBE2BFA4136B3E0E704ED6793D5"><enum>(2)</enum><header>Short sales</header> <subparagraph id="H993A8086C23745DEA28F2654BEC368DC"><enum>(A)</enum><header>In general</header><text>In the case of a short sale of an indexed asset with a short sale period in excess of 3 years, for purposes of this title, the amount realized shall be an amount equal to the amount realized (determined without regard to this paragraph) increased by the applicable inflation adjustment. In applying subsection (c)(2) for purposes of the preceding sentence, the date on which the property is sold short shall be treated as the date of acquisition and the closing date for the sale shall be treated as the date of disposition.</text> </subparagraph><subparagraph id="H192BA4FBCAA44894B32F7F8F00C97069"><enum>(B)</enum><header>Short sale period</header><text>For purposes of subparagraph (A), the short sale period begins on the day that the property is sold and ends on the closing date for the sale.</text> </subparagraph></paragraph></subsection><subsection id="H2ECEB185C3524F22AC483A379A2BB85E"><enum>(e)</enum><header>Treatment of regulated investment companies and real estate investment trusts</header> <paragraph id="H76F11D3D1B0A4C1193058DDC8808300B"><enum>(1)</enum><header>Adjustments at entity level</header> <subparagraph id="HD5828A836C2046A7B1E3FB3AF5A41D85"><enum>(A)</enum><header>In general</header><text>Except as otherwise provided in this paragraph, the adjustment under subsection (a) shall be allowed to any qualified investment entity (including for purposes of determining the earnings and profits of such entity).</text> </subparagraph><subparagraph id="H3113C5AA7149418F856EB070A2617454"><enum>(B)</enum><header>Exception for corporate shareholders</header><text>Under regulations—</text> <clause id="H6B2588383DFB4B53888635BD92C32389"><enum>(i)</enum><text>in the case of a distribution by a qualified investment entity (directly or indirectly) to a corporation—</text> <subclause id="H3CDB4EF765DE48648F8538738AC9AD42"><enum>(I)</enum><text>the determination of whether such distribution is a dividend shall be made without regard to this section, and</text> </subclause><subclause id="HD1282741BCFC48F4B69C1FF09C66EB01"><enum>(II)</enum><text>the amount treated as gain by reason of the receipt of any capital gain dividend shall be increased by the percentage by which the entity’s net capital gain for the taxable year (determined without regard to this section) exceeds the entity’s net capital gain for such year determined with regard to this section, and</text> </subclause></clause><clause id="H4AEEEBBA30A041219CD4A4AC1BE1214A"><enum>(ii)</enum><text>there shall be other appropriate adjustments (including deemed distributions) so as to ensure that the benefits of this section are not allowed (directly or indirectly) to corporate shareholders of qualified investment entities.</text> </clause><continuation-text continuation-text-level="subparagraph">For purposes of the preceding sentence, any amount includible in gross income under section 852(b)(3)(D) shall be treated as a capital gain dividend and an S corporation shall not be treated as a corporation.</continuation-text></subparagraph><subparagraph id="H3A8992BC408A41D3A933A1F98C2D3FBC"><enum>(C)</enum><header>Exception for qualification purposes</header><text>This section shall not apply for purposes of sections 851(b) and 856(c).</text> </subparagraph><subparagraph id="H5CE3370791044E80A146B489D4F3F38C"><enum>(D)</enum><header>Exception for certain taxes imposed at entity level</header> <clause id="H3D640FC9084F45A5BE752A64702B18E1"><enum>(i)</enum><header>Tax on failure to distribute entire gain</header><text>If any amount is subject to tax under section 852(b)(3)(A) for any taxable year, the amount on which tax is imposed under such section shall be increased by the percentage determined under subparagraph (B)(i)(II). A similar rule shall apply in the case of any amount subject to tax under paragraph (2) or (3) of section 857(b) to the extent attributable to the excess of the net capital gain over the deduction for dividends paid determined with reference to capital gain dividends only. The first sentence of this clause shall not apply to so much of the amount subject to tax under section 852(b)(3)(A) as is designated by the company under section 852(b)(3)(D).</text> </clause><clause id="H60D9802D3095420591A8025C2060EF00"><enum>(ii)</enum><header>Other taxes</header><text>This section shall not apply for purposes of determining the amount of any tax imposed by paragraph (4), (5), or (6) of section 857(b).</text> </clause></subparagraph></paragraph><paragraph id="H545725FDB6EF4844A7020BCF7CA7C84F"><enum>(2)</enum><header>Adjustments to interests held in entity</header> <subparagraph id="HD3818A5902184F94901B018A04C7B264"><enum>(A)</enum><header>Regulated investment companies</header><text>Stock in a regulated investment company (within the meaning of section 851) shall be an indexed asset for any calendar quarter in the same ratio as—</text> <clause id="HC36CFD4EC7B849298B80AB6D5492B257"><enum>(i)</enum><text>the average of the fair market values of the indexed assets held by such company at the close of each month during such quarter, bears to</text> </clause><clause id="H52A6BCD311274BBD95B2C4FA134FB05B"><enum>(ii)</enum><text>the average of the fair market values of all assets held by such company at the close of each such month.</text> </clause></subparagraph><subparagraph id="HF9FFAEEF51974B08A0EDCCB7DFF7D257"><enum>(B)</enum><header>Real estate investment trusts</header><text>Stock in a real estate investment trust (within the meaning of section 856) shall be an indexed asset for any calendar quarter in the same ratio as—</text> <clause id="H33B72CC4FC5743A78F6212BC22489005"><enum>(i)</enum><text>the fair market value of the indexed assets held by such trust at the close of such quarter, bears to</text> </clause><clause id="HED2F2FA85DC148F1AEDA593D9D363070"><enum>(ii)</enum><text>the fair market value of all assets held by such trust at the close of such quarter.</text> </clause></subparagraph><subparagraph id="H2DDD1AE421D44A3E87A358481F959F43"><enum>(C)</enum><header>Ratio of 80 percent or more</header><text>If the ratio for any calendar quarter determined under subparagraph (A) or (B) would (but for this subparagraph) be 80 percent or more, such ratio for such quarter shall be 100 percent.</text> </subparagraph><subparagraph id="HCBB6B87FD5C24D5ABF4AEEC3263373AD"><enum>(D)</enum><header>Ratio of 20 percent or less</header><text>If the ratio for any calendar quarter determined under subparagraph (A) or (B) would (but for this subparagraph) be 20 percent or less, such ratio for such quarter shall be zero.</text> </subparagraph><subparagraph id="H74C14BF36B54466E95AA3D5A7D903CEF"><enum>(E)</enum><header>Look-thru of partnerships</header><text>For purposes of this paragraph, a qualified investment entity which holds a partnership interest shall be treated (in lieu of holding a partnership interest) as holding its proportionate share of the assets held by the partnership.</text> </subparagraph></paragraph><paragraph id="H29DC9535C74F40DA8EEE7A88E32C873F"><enum>(3)</enum><header>Treatment of return of capital distributions</header><text>Except as otherwise provided by the Secretary, a distribution with respect to stock in a qualified investment entity which is not a dividend and which results in a reduction in the adjusted basis of such stock shall be treated as allocable to stock acquired by the taxpayer in the order in which such stock was acquired.</text> </paragraph><paragraph id="HA941012586474E1988E6A7FDCDD2C0CA"><enum>(4)</enum><header>Qualified investment entity</header><text>For purposes of this subsection, the term <term>qualified investment entity</term> means—</text> <subparagraph id="H4F00EAAA95CE4EDF990CEE994C41C2FD"><enum>(A)</enum><text>a regulated investment company (within the meaning of section 851), and</text> </subparagraph><subparagraph id="H89224180F09540CCA2F6CCB9221B80B4"><enum>(B)</enum><text>a real estate investment trust (within the meaning of section 856).</text> </subparagraph></paragraph></subsection><subsection id="H4F1B451609B24091A1374F87FC95401E"><enum>(f)</enum><header>Other pass-Thru entities</header> <paragraph id="H48A62F1E6F6D4153B51D6DFED3C68A0E"><enum>(1)</enum><header>Partnerships</header> <subparagraph id="H8223AB5E9E484DDEAA0DD76D347744FF"><enum>(A)</enum><header>In general</header><text>In the case of a partnership, the adjustment made under subsection (a) at the partnership level shall be passed through to the partners.</text> </subparagraph><subparagraph id="H161680FBD56240E088577D3E18820340"><enum>(B)</enum><header>Special rule in the case of section 754 elections</header><text>In the case of a transfer of an interest in a partnership with respect to which the election provided in section 754 is in effect—</text> <clause id="H84D8B2CF485B4E16981E230918EB49D8"><enum>(i)</enum><text>the adjustment under section 743(b)(1) shall, with respect to the transferor partner, be treated as a sale of the partnership assets for purposes of applying this section, and</text> </clause><clause id="H9AE6CC1E6AA64823AB0F3A87595F1949"><enum>(ii)</enum><text>with respect to the transferee partner, the partnership’s holding period for purposes of this section in such assets shall be treated as beginning on the date of such adjustment.</text> </clause></subparagraph></paragraph><paragraph id="H67CC23946B3947379EE10A8C227DF3AE"><enum>(2)</enum><header>S corporations</header><text>In the case of an S corporation, the adjustment made under subsection (a) at the corporate level shall be passed through to the shareholders. This section shall not apply for purposes of determining the amount of any tax imposed by section 1374 or 1375.</text> </paragraph><paragraph id="H403F2D770914499EB6BD25279A09E854"><enum>(3)</enum><header>Common trust funds</header><text>In the case of a common trust fund, the adjustment made under subsection (a) at the trust level shall be passed through to the participants.</text> </paragraph><paragraph id="H97F3DC543396409CAD52C4FD5C5CEA51"><enum>(4)</enum><header>Indexing adjustment disregarded in determining loss on sale of interest in entity</header><text>Notwithstanding the preceding provisions of this subsection, for purposes of determining the amount of any loss on a sale or exchange of an interest in a partnership, S corporation, or common trust fund, the adjustment made under subsection (a) shall not be taken into account in determining the adjusted basis of such interest.</text> </paragraph></subsection><subsection id="HE400194ECFF94C2882660751ADCC7165"><enum>(g)</enum><header>Dispositions between related persons</header> <paragraph id="H0438C7404678430AB62341CEB490A0B0"><enum>(1)</enum><header>In general</header><text>This section shall not apply to any sale or other disposition of property between related persons except to the extent that the basis of such property in the hands of the transferee is a substituted basis.</text> </paragraph><paragraph id="H631B280609594DE18D1717463847D2BB"><enum>(2)</enum><header>Related persons defined</header><text>For purposes of this section, the term <term>related persons</term> means—</text> <subparagraph id="H27F01B5A8EB8498D95F244840DAD059D"><enum>(A)</enum><text>persons bearing a relationship set forth in section 267(b), and</text> </subparagraph><subparagraph id="HFF3CCBCD9A294D578A272451C3F68FE5"><enum>(B)</enum><text>persons treated as single employer under subsection (b) or (c) of section 414.</text> </subparagraph></paragraph></subsection><subsection id="H3064AB796C164643ACBC816AB5BC8E7A"><enum>(h)</enum><header>Transfers To increase indexing adjustment</header><text>If any person transfers cash, debt, or any other property to another person and the principal purpose of such transfer is to secure or increase an adjustment under subsection (a), the Secretary may disallow part or all of such adjustment or increase.</text> </subsection><subsection id="H30B46996899B47C58B6B07A474023100"><enum>(i)</enum><header>Special rules</header><text>For purposes of this section—</text> <paragraph id="H425DFB62FF3746769340BBC88A426A5C"><enum>(1)</enum><header>Treatment of improvements, etc</header><text>If there is an addition to the adjusted basis of any tangible property or of any stock in a corporation during the taxable year by reason of an improvement to such property or a contribution to capital of such corporation—</text> <subparagraph id="H5AA4945AEA554245BA71E194D778AF66"><enum>(A)</enum><text>such addition shall never be taken into account under subsection (c)(1)(A) if the aggregate amount thereof during the taxable year with respect to such property or stock is less than $1,000, and</text> </subparagraph><subparagraph id="HABFC47317DBE4847B222DEAFDA5F0FC7"><enum>(B)</enum><text>such addition shall be treated as a separate asset acquired at the close of such taxable year if the aggregate amount thereof during the taxable year with respect to such property or stock is $1,000 or more.</text> </subparagraph><continuation-text continuation-text-level="paragraph">A rule similar to the rule of the preceding sentence shall apply to any other portion of an asset to the extent that separate treatment of such portion is appropriate to carry out the purposes of this section.</continuation-text></paragraph><paragraph id="H096E357D344A487C880C1F66D8C91D4C"><enum>(2)</enum><header>Assets which are not indexed assets throughout holding period</header><text>The applicable inflation adjustment shall be appropriately reduced for periods during which the asset was not an indexed asset.</text> </paragraph><paragraph id="H475F6B805B6644F79B87748C8D1A6E4E"><enum>(3)</enum><header>Treatment of certain distributions</header><text>A distribution with respect to stock in a corporation which is not a dividend shall be treated as a disposition.</text> </paragraph><paragraph id="H871D707EEED848E38499149A5C041077"><enum>(4)</enum><header>Section cannot increase ordinary loss</header><text>To the extent that (but for this paragraph) this section would create or increase a net ordinary loss to which section 1231(a)(2) applies or an ordinary loss to which any other provision of this title applies, such provision shall not apply. The taxpayer shall be treated as having a long-term capital loss in an amount equal to the amount of the ordinary loss to which the preceding sentence applies.</text> </paragraph><paragraph id="H88230247761A4683AC85E9573925C667"><enum>(5)</enum><header>Acquisition date where there has been prior application of subsection <enum-in-header>(a)(1)</enum-in-header> with respect to the taxpayer</header><text>If there has been a prior application of subsection (a)(1) to an asset while such asset was held by the taxpayer, the date of acquisition of such asset by the taxpayer shall be treated as not earlier than the date of the most recent such prior application.</text> </paragraph></subsection><subsection id="HAFE25A0E352B42C098BA04E9B84FAF2D"><enum>(j)</enum><header>Regulations</header><text>The Secretary shall prescribe such regulations as may be necessary or appropriate to carry out the purposes of this section.</text> </subsection></section><after-quoted-block>.</after-quoted-block></quoted-block> </subsection><subsection id="HB20E69E474E04C07BE085F877F2B1797"><enum>(b)</enum><header>Clerical amendment</header><text>The table of sections for part II of subchapter O of chapter 1 of the Internal Revenue Code of 1986 is amended by striking the item relating to section 1023 and by inserting after the item relating to section 1022 the following new item:</text> <quoted-block id="H5551D6760E4849E1BADDAA5DBECC25A4" style="OLC"> <toc regeneration="no-regeneration"> <toc-entry level="section">Sec. 1023. Indexing of certain assets for purposes of determining gain or loss.</toc-entry> <toc-entry level="section">Sec. 1024. Cross references.</toc-entry> </toc> <after-quoted-block>.</after-quoted-block></quoted-block> </subsection><subsection id="H014F538E2F4D47999369399AECCB1BCD"><enum>(c)</enum><header>Effective date</header><text>The amendments made by this section shall apply to indexed assets acquired by the taxpayer after December 31, 2011, in taxable years ending after such date.</text> </subsection></section></subtitle><subtitle id="HCD56BF7B89A7423A9F845F325B407384"><enum>C</enum><header>Pro-Growth, pro-Business tax reform for corporations and other businesses</header> <section id="id210EB2645127464DB9983B27791AE859"><enum>121.</enum><header>Reduction in corporate income tax rates and reform of business tax</header> <subsection id="IDdf4767a5f7154b5aa1707b22e5b83bbc"><enum>(a)</enum><header>In general</header><text>The Committee on Finance of the Senate and the Committee on Ways and Means of the House of Representatives shall report legislation that will lower, consolidate, and simplify the corporate income tax system, with a top tax rate of 25 percent and a consolidation of the system into not more than 2 tax rates. Such legislation shall be reported not later than 60 days after the date of the enactment of this Act and shall be revenue neutral as scored by the Joint Committee on Taxation using a current policy baseline.</text> </subsection><subsection id="ID71ab216121c04ad598fdd47ddde7b8ad"><enum>(b)</enum><header>Legislation goals</header><text>Such reported legislation shall be required to achieve the following:</text> <paragraph id="ID4b0a69b875b24376834f67c0080b0c32"><enum>(1)</enum><header>Reduced tax liability</header><text>Lower the overall tax rates for American corporations and businesses and broaden the tax base for the corporate income tax.</text> </paragraph><paragraph id="IDb22c0c53e1b74a1f985175ed74bbab54"><enum>(2)</enum><header>Simplification</header><text>Close tax loopholes and eliminate industry specific deductions and certain tax credits, including the elimination of industry specific taxes, at the discretion of each Committee, in order to reduce tax expenditures and simplify the tax code.</text> </paragraph><paragraph id="IDe8317b1bce73478ebc27043c2a5f1d06"><enum>(3)</enum><header>Expensing</header><text>Replace the current depreciation schedules with 100 percent expensing in the same year that the capital expenditure occurs.</text> </paragraph><paragraph id="ID5090fe55b8744c85829ebc9b3ceffabc"><enum>(4)</enum><header>Territorial tax system</header><text>Establishment of a territorial tax system, including strong incentives to repatriate overseas capital, in lieu of the current worldwide tax system.</text> </paragraph><paragraph id="IDe39d470ed4e24cfdb44366b87c5fb777"><enum>(5)</enum><header>Consolidation</header><text>Provide necessary changes in order to consolidate the corporate income tax system with a total of not more than 2 tax rates, the top tax rate of 25 percent and a lower tax rate as determined by the Committees as specified in subsection (a).</text> </paragraph></subsection><subsection id="ID1a3b34830055407ca437c52ee8983004"><enum>(c)</enum><header>Additional changes</header><text>Such Committees shall include in such legislation any further changes to the corporate income tax system in order to ensure tax reductions and simplifications consistent with the goals of this Act.</text> </subsection></section></subtitle><subtitle id="H88D868948973475B998281E05317A87E"><enum>D</enum><header>Rebuilding America</header> <section id="H73E49120E7CB40D98650269F289B8C92" section-type="subsequent-section"><enum>131.</enum><header>Modification and temporary extension of the incentives to reinvest foreign earnings in the United States</header> <subsection commented="no" display-inline="no-display-inline" id="id7A1EB119C5C94315B0D5DE9519A43319"><enum>(a)</enum><header display-inline="yes-display-inline">Repatriation subject to 5 percent tax rate</header><text>Subsection (a)(1) of section 965 of the Internal Revenue Code of 1986 is amended by striking <quote>85 percent</quote> and inserting <quote>85.7 percent</quote>.</text> </subsection><subsection id="H16943260C0BF4FD381BC4E13642FA410"><enum>(b)</enum><header>Election</header><text display-inline="yes-display-inline">Subsection (f) of section 965 of the Internal Revenue Code of 1986 is amended to read as follows:</text> <quoted-block display-inline="no-display-inline" id="H1FCCA8A186A1455CBEC6FDBE0F8A003A" style="OLC"> <subsection id="H69CD98B51D194D84BE753117AFCBEF42"><enum>(f)</enum><header>Election</header><text display-inline="yes-display-inline">The taxpayer may elect to apply this section to—</text> <paragraph id="H9A1B34635C2D4AC1968D3A54CECA7E45"><enum>(1)</enum><text>the taxpayer’s last taxable year which begins before the date of the enactment of this subsection, or</text> </paragraph><paragraph id="H0BFFB319A9F149FE9FF833E0E8820458"><enum>(2)</enum><text>the taxpayer’s first taxable year which begins during the 1-year period beginning on such date.</text> </paragraph><continuation-text continuation-text-level="subsection">Such election may be made for a taxable year only if made on or before the due date (including extensions) for filing the return of tax for such taxable year.</continuation-text></subsection><after-quoted-block>.</after-quoted-block></quoted-block> </subsection><subsection id="HDE925EB213ED459F815B8B1744FF6C7D"><enum>(c)</enum><header>Limitation</header><text display-inline="yes-display-inline">Paragraph (1) of section 965(b) of the Internal Revenue Code of 1986 is amended to read as follows:</text> <quoted-block display-inline="no-display-inline" id="H51AE85891A244F1BAA774BCF85E35DEC" style="OLC"> <paragraph id="H85836B531C994D2F9879CE038DB93EA7"><enum>(1)</enum><header>In general</header><text display-inline="yes-display-inline">The amount of dividends taken into account under subsection (a) shall not exceed the sum of the current and accumulated earnings and profits described in section 959(c)(3) for the year a deduction is claimed under subsection (a), without diminution by reason of any distributions made during the election year, for all controlled foreign corporations of the United States shareholder.</text> </paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </subsection><subsection id="id4D88FA4B108B4B2C9A603B4037C37578"><enum>(d)</enum><header>Elimination of other limitations</header><text>Section 965(b) of the Internal Revenue Code of 1986 is amended by striking paragraphs (2) and (4) and by redesignating paragraph (3) as paragraph (2).</text> </subsection><subsection id="id5DEE80F8F33F4B6EBFC77450A3FA75EC"><enum>(e)</enum><header>Conforming amendments</header> <paragraph id="id6C0F49E3EE6D4DD0A827F1F0E4F94E07"><enum>(1)</enum><text>Subparagraph (B) of section 965(b)(2) of the Internal Revenue Code of 1986, as redesignated by subsection (d), is amended by striking <quote>October 3, 2004</quote> and inserting <quote>February 15, 2012</quote>.</text> </paragraph><paragraph id="id88B4D92D6ABE4D08A052D2371118CAF9"><enum>(2)</enum><text>Section 965(c) of such Code is amended by striking paragraphs (1) and (2) and by redesignating paragraphs (3), (4), and (5) as paragraphs (1), (2), and (3), respectively.</text> </paragraph><paragraph id="id7EE12B2135AD4768AEEE9079E2D6A322"><enum>(3)</enum><text>Paragraph (3) of section 965(c) of such Code, as redesignated by paragraph (2), is amended to read as follows:</text> <quoted-block display-inline="no-display-inline" id="id01C6C024C3BC42678A3747BF4DC3543A" style="OLC"> <paragraph id="id46BA532E053942548DDE5F741AEF79FA"><enum>(3)</enum><header>Controlled groups</header><text>All United States shareholders which are members of an affiliated group filing a consolidated return under section 1501 shall be treated as one United States shareholder.</text> </paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph></subsection><subsection id="H08D4123E7C0C4A6D96282FB7BAEFDA3F"><enum>(f)</enum><header>Effective date</header><text display-inline="yes-display-inline">The amendments made by this section shall apply to taxable years ending on or after the date of the enactment of this Act.</text> </subsection></section></subtitle><subtitle id="H7CCC4DC74131465BB0756E2B12DE38FF"><enum>E</enum><header>Saving the family farm</header> <section id="H1CB2116C1740416FA4D6D34F6481BCE" section-type="subsequent-section"><enum>141.</enum><header>Exclusion from gross estate of certain farmland so long as farmland use continues</header> <subsection id="H19B0C192E97742B7AA546B8C60911000"><enum>(a)</enum><header>In general</header><text>Part III of subchapter A of chapter 11 of the Internal Revenue Code of 1986 is amended by inserting after section 2033 the following new section:</text> <quoted-block id="H9448CF3B112142DAB48491CFC06034CA"> <section id="H11507E79299C444E8427AFAFBC250428"><enum>2033A.</enum><header>Exclusion of certain family-owned farms and businesses</header> <subsection id="HF3CC9E8D3947467187C7720062000050"><enum>(a)</enum><header>In general</header><text>In the case of an estate of a decedent to which this section applies, the value of the gross estate shall not include the adjusted value of any qualified family-owned farm or business included in the estate.</text> </subsection><subsection id="HBEFA201B9AB341A6818B430851F2316F"><enum>(b)</enum><header>Estates to which section applies</header><text>This section shall apply to an estate if—</text> <paragraph id="H2F092AB8681F43D1A2517F2CEB7F5696"><enum>(1)</enum><text>the decedent was (at the date of the decedent’s death) a citizen or resident of the United States, and</text> </paragraph><paragraph id="H73CFE3430DF74D31A0CCE18F0925AE54"><enum>(2)</enum><text>during the 8-year period ending on the date of the decedent’s death there have been periods aggregating 5 years or more during which—</text> <subparagraph id="H1CF833B1E8E44473B9996C2CBEB331BA"><enum>(A)</enum><text>not less than 60 percent of the qualified family-owned farm or business was owned by the decedent and members of the decedent’s family, and</text> </subparagraph><subparagraph id="H97A21861B92940D19550AF5047DB0026"><enum>(B)</enum><text>there was material participation (within the meaning of section 2032A(e)(6)) by the decedent or the qualified heir in the operation of such farm or business.</text> </subparagraph><continuation-text continuation-text-level="paragraph">Rules similar to the rules of paragraphs (4) and (5) of section 2032A(b) shall apply for purposes of subparagraph (B).</continuation-text></paragraph></subsection><subsection id="H2C1609DEE0B845E6ADCC406606313F62"><enum>(c)</enum><header>Definitions</header><text>For purposes of this section—</text> <paragraph id="H196B151DECEB44B90070A9263B635C8B"><enum>(1)</enum><header>Qualified family-owned farm or business</header><text>The term <term>qualified family-owned farm or business</term> means—</text> <subparagraph id="id29311B47F3BD426C83694D243B81BE7D"><enum>(A)</enum><text>any qualified farmland, or</text> </subparagraph><subparagraph id="idB7107B321B9043B88D3291F7E4B1CE94"><enum>(B)</enum><text>any qualified trade or business.</text> </subparagraph></paragraph><paragraph id="idA32321FD9B3E41D39AC96725172C964F"><enum>(2)</enum><header>Qualified farmland</header><text>The term <term>qualified farmland</term> means any real property—</text> <subparagraph id="H7DB424A2EDA747D9B5981091804D9200"><enum>(A)</enum><text>which is located in the United States,</text> </subparagraph><subparagraph id="HC519BCCFB14649E1B0ADBF8813615428"><enum>(B)</enum><text>which is used as a farm for farming purposes (within the meaning of section 2032A(e)), and</text> </subparagraph><subparagraph id="HCB966DB53D7C4181B63B1283A404A02"><enum>(C)</enum><text>which was acquired from or passed from the decedent to a qualified heir of the decedent and which, on the date of the decedent’s death, was being so used by the decedent or a member of the decedent’s family.</text> </subparagraph></paragraph><paragraph id="idC927925A7F70464EAB61DAB82D3449D7"><enum>(3)</enum><header>Qualified trade or business</header><text>The term <term>qualified trade or business</term> means any interest in a trade or business of the taxpayer—</text> <subparagraph id="idDD0598F6C4A146349B2CFC2DCEC9AADA"><enum>(A)</enum><text>which is not an interest in a C corporation, and</text> </subparagraph><subparagraph id="idDB7C02D46A7344FB9D8837802C2405BF"><enum>(B)</enum><text>which was acquired from or passed from the decedent to a qualified heir of the decedent.</text> </subparagraph></paragraph><paragraph commented="no" id="H2A6EB19C1C824AEDBAA17F00A87109AD"><enum>(4)</enum><header>Adjusted value</header><text>The term <term>adjusted value</term> means the value of the qualified family-owned farm or business for purposes of this chapter (determined without regard to this section), reduced by the amount deductible under paragraph (3) or (4) of section 2053(a).</text> </paragraph><paragraph commented="no" id="HF03E14006F0A4D31811BECFA003669B3"><enum>(5)</enum><header>Other terms</header><text display-inline="yes-display-inline">Any other term used in this section which is also used in section 2032A shall have the same meaning given such term by section 2032A.</text> </paragraph></subsection><subsection id="IDae20227c681943b09c9e83fabf03ce0a"><enum>(d)</enum><header>Tax Treatment of Dispositions and Failures To Use for Farming Purposes</header> <paragraph id="ID40564eddd75c478ca1b370d32cd1705d"><enum>(1)</enum><header>Imposition of recapture tax</header><text>If, at any time after the decedent's death and before the death of the qualified heir—</text> <subparagraph id="ID16ad7689cd544bf190c8a04d22c245b5"><enum>(A)</enum><text>the qualified heir disposes of any interest in qualified family-owned farm or business (other than by a disposition to a member of his family), or</text> </subparagraph><subparagraph id="IDf7bdf0372859459b8a501ea92d91a4f5"><enum>(B)</enum><text>in the case of qualified farmland, the qualified heir ceases to use the real property which was acquired (or passed) from the decedent as a farm for farming purposes,</text> </subparagraph><continuation-text continuation-text-level="paragraph">then, there is hereby imposed a recapture tax.</continuation-text></paragraph><paragraph id="IDdddf8139abbb43a4bf36a598ffb18582"><enum>(2)</enum><header>Amount of recapture tax, etc</header><text>Rules similar to the rules of section 2032A(c) with respect to the additional estate tax shall apply for purposes of this subsection with respect to the recapture tax.</text> </paragraph></subsection><subsection commented="no" id="HC232BD0F735148EA83E6005DB956A2F9"><enum>(e)</enum><header>Application of other rules</header><text>To the extent provided by the Secretary in regulations, rules similar to the rules of subsections (e), (f), (g), (h), and (i) of section 2032A shall apply for purposes of this section.</text> </subsection></section><after-quoted-block>.</after-quoted-block></quoted-block> </subsection><subsection id="HEA0B7BE6474741DFB4A6D845FC8F63F"><enum>(b)</enum><header>Clerical amendment</header><text>The table of sections for part III of subchapter A of chapter 11 of the Internal Revenue Code of 1986 is amended by inserting after the item relating to section 2033 the following new item:</text> <quoted-block id="id3aa9c6b8-bcf0-426c-93d7-88b53186d4e6" style="OLC"> <toc> <toc-entry idref="H11507E79299C444E8427AFAFBC250428" level="section">Sec. 2033A. Exclusion of certain family-owned farms and businesses.</toc-entry> </toc> <after-quoted-block>.</after-quoted-block></quoted-block> </subsection><subsection commented="no" display-inline="no-display-inline" id="H2C08F83B8C2A4AA3902B962B4D93D400"><enum>(c)</enum><header>Effective date</header><text>The amendments made by this section shall apply to estates of decedents dying after the date of the enactment of this Act.</text> </subsection></section></subtitle>

Short title

(a)

Short title

This Act may be cited as the

Grow America Act of 2012

. (b)

Table of contents

Sec. 1. Short title.

TITLE I—Pro-growth tax reform

Subtitle A—Pro-Growth, pro-Family tax reform for families, seniors, and small businesses

Sec. 101. Tax reform for families, seniors, and small businesses.

Subtitle B—Capital Gains Inflation Relief

Sec. 111. Indexing of certain assets for purposes of determining gain or loss.

Subtitle C—Pro-Growth, pro-Business tax reform for corporations and other businesses

Sec. 121. Reduction in corporate income tax rates and reform of business tax.

Subtitle D—Rebuilding America

Sec. 131. Modification and temporary extension of the incentives to reinvest foreign earnings in the United States.

Subtitle E—Saving the family farm

Sec. 141. Exclusion from gross estate of certain farmland so long as farmland use continues.

TITLE II—Red tape reduction

Subtitle A—Regulatory moratorium

Sec. 201. Definitions.

Sec. 202. Significant regulatory actions.

Sec. 203. Waivers.

Sec. 204. Judicial review.

Subtitle B—Increase of size of small businesses exempt from Federal laws and regulations

Sec. 211. Increase of size of small businesses exempt from Federal laws and regulations.

Subtitle C—The REINS Act

Sec. 221. Purpose.

Sec. 222. Congressional review of agency rulemaking.

Subtitle D—Small business regulatory freedom

Sec. 231. Findings.

Sec. 232. Including indirect economic impact in small entity analyses.

Sec. 233. Judicial review to allow small entities to challenge proposed regulations.

Sec. 234. Periodic review and sunset of existing rules.

Sec. 235. Requiring small business review panels for all agencies.

Sec. 236. Expanding the Regulatory Flexibility Act to agency guidance documents.

Sec. 237. Requiring the Internal Revenue Service to consider small entity impact.

Sec. 238. Mitigating penalties on small entities.

Sec. 239. Requiring more detailed small entity analyses.

Sec. 240. Ensuring that agencies consider small entity impact during the rulemaking process.

Sec. 241. Qualifications of the Chief Counsel for Advocacy and authority for the Office of Advocacy.

Sec. 242. Technical and conforming amendments.

Subtitle E—Small Business Freedom of Commerce Act

Sec. 251. Small business exemptions.

TITLE III—American energy production

Subtitle A—End of Presidential Permatorium on America’s Outer Continental Shelf Resources

Sec. 301. Deadline for certain permit applications under existing leases.

Chapter 1—Outer Continental Shelf

Sec. 311. End moratorium of oil and gas leasing in certain areas of the Gulf of Mexico.

Sec. 312. Outer Continental Shelf directed lease sales.

Sec. 313. Leasing program considered approved.

Sec. 314. Outer Continental Shelf lease sales.

Sec. 315. Restrictions on leasing of the Outer Continental Shelf.

Sec. 316. Sharing of OCS receipts with States and local governments.

Chapter 2—Arctic Coastal Plain

Sec. 321. Definitions.

Sec. 322. Leasing program for land within the Coastal Plain.

Sec. 323. Lease sales.

Sec. 324. Grant of leases by the Secretary.

Sec. 325. Lease terms and conditions.

Sec. 326. Expedited judicial review.

Sec. 327. Rights-of-way across the Coastal Plain.

Sec. 328. Conveyance.

Subtitle B—Revocation of Energy-Restricting BLM Lockup

Sec. 331. Revocation of Secretarial Order No. 3310.

Chapter 1—Expedited Shale Leasing of Federal Lands

Sec. 341. Opening of lands to oil shale leasing.

Chapter 2—Judicial Review Regarding Energy Projects

Sec. 351. Exclusive jurisdiction over causes and claims relating to covered energy projects.

Sec. 352. Time for filing complaint.

Sec. 353. District Court for the District of Columbia deadline.

Sec. 354. Ability to seek appellate review.

Sec. 355. Deadline for appeal to the Supreme Court.

Sec. 356. Covered energy project defined.

Sec. 357. Limitation on application.

Chapter 3—Permitting reform

Sec. 361. Purposes.

Sec. 362. Federal Coordinator.

Sec. 363. Regional Offices and Regional Permit Coordinators.

Sec. 364. Reviews and actions of Federal agencies.

Sec. 365. State coordination.

Sec. 366. Savings provision.

Sec. 367. Administrative and judicial review.

Sec. 368. Amendments to publication process.

Sec. 369. Repeal of fee for permits to drill.

Sec. 370. Alaska Offshore Continental Shelf Coordination Office.

Subtitle C—Relief From Regulations and Prohibitions that Cause Artificial Price Increases

Chapter 1—Relief from EPA climate change regulations and Federal prohibitions on synthetic fuels

Sec. 371. Repeal of EPA climate change regulation.

Sec. 372. Repeal of Federal ban on synthetic fuels purchasing requirement.

Chapter 2—Refinery reform

Sec. 381. Refinery permitting process.

Sec. 382. Existing refinery permit application deadline.

Subtitle D—Extension of certain outer continental shelf leases

Sec. 391. Extension of certain outer continental shelf leases.

Subtitle E—Approval of Keystone XL pipeline project

Sec. 395. Approval of Keystone XL pipeline project.

<enum>I</enum><header>Pro-growth tax reform</header> <subtitle id="H39F550EB0F3D468FA403ED9BD03AFAB7"><enum>A</enum><header>Pro-Growth, pro-Family tax reform for families, seniors, and small businesses</header> <section id="id25DD7F97DBA5481BA4A4EC049FEA0A17"><enum>101.</enum><header>Tax reform for families, seniors, and small businesses</header> <subsection id="ID01fcbf90107f426bbd17f3b23adc7ee9"><enum>(a)</enum><header>In general</header><text>The Committee on Finance of the Senate and the Committee on Ways and Means of the House of Representatives shall report legislation that will lower, consolidate, and simplify the individual income tax system, with not more than 2 tax rates, the highest being 25 percent. Such legislation shall be reported not later than 60 days after the date of the enactment of this Act and shall be revenue neutral as scored by the Joint Committee on Taxation using a current policy baseline.</text> </subsection><subsection id="ID6af889ce14204006a7719daf602fc76f"><enum>(b)</enum><header>Legislation goals</header><text>Such reported legislation shall be required to achieve the following:</text> <paragraph id="ID87c587963a0945c1bbc6ca3aad2cf897"><enum>(1)</enum><header>Reduced tax liability</header><text>Lower the overall tax burden for the majority of American individual taxpayers.</text> </paragraph><paragraph id="ID7f314f72458b4a2b82afcf6b64341088"><enum>(2)</enum><header>Simplification</header><text>Eliminate all tax credits and deductions. Add deductions and credits for the following items:</text> <subparagraph id="IDb27c7b31090b4a50856ff7ea4cf96a77"><enum>(A)</enum><text>Home mortgage.</text> </subparagraph><subparagraph id="ID5164e8f5d66e4480977a2bfd66a4ae62"><enum>(B)</enum><text>Charitable contributions.</text> </subparagraph><subparagraph id="ID7dd57b8b290e437c91a49282c1b3b65d"><enum>(C)</enum><text>Tuition and direct expenses for higher education and qualified trade schools.</text> </subparagraph><subparagraph id="ID47222474db3b4e30a0439d85973532fd"><enum>(D)</enum><text>Health insurance costs.</text> </subparagraph><subparagraph id="IDe31f1dad29c74d6b953b5452d850c696"><enum>(E)</enum><text>$10,000 deduction for working seniors as defined by the Social Security Administration.</text> </subparagraph><subparagraph id="ID6dd9336478d345958b150863b2131ab6"><enum>(F)</enum><text>Earned income credit.</text> </subparagraph></paragraph><paragraph id="IDa133ee03bd264e12a3c3ba562fe8f1b1"><enum>(3)</enum><header>Consolidation</header><text>Provide necessary changes in order to consolidate the individual income tax system consistent with the tax rates specified in subsection (a).</text> </paragraph></subsection><subsection id="ID390caa8f8e3a4bc8b1e8491f50895e83"><enum>(c)</enum><header>Additional changes</header><text>Such Committees shall include in such legislation any further changes to the individual income tax system in order to ensure tax reductions and simplifications consistent with the goals of this Act.</text> </subsection></section></subtitle><subtitle id="H30EE7F0176E94A7A945C87E050552D19"><enum>B</enum><header>Capital Gains Inflation Relief </header> <section display-inline="no-display-inline" id="H39A7CDAE92ED4CEB9D5821C40F680A3C"><enum>111.</enum><header>Indexing of certain assets for purposes of determining gain or loss</header> <subsection id="H2ECB5D73367A4ED18F86D69F41B67B2D"><enum>(a)</enum><header>In General</header><text>Part II of subchapter O of chapter 1 of the Internal Revenue Code of 1986 is amended by redesignating section 1023 as section 1024 and by inserting after section 1022 the following new section:</text> <quoted-block id="HE98E4554021F4209953DC58E2AF2B2F7" style="OLC"> <section id="HBCF08C6964D34E6CBAFA15537D0374DA"><enum>1023.</enum><header>Indexing of certain assets for purposes of determining gain or loss</header> <subsection id="H72BEABF45AA14C33AA9221420E7A56B4"><enum>(a)</enum><header>General rule</header> <paragraph id="HE4B97FFBFC1F45308F49D57F274AA85E"><enum>(1)</enum><header>Indexed basis substituted for adjusted basis</header><text>Solely for purposes of determining gain or loss on the sale or other disposition by a taxpayer (other than a corporation) of an indexed asset which has been held for more than 3 years, the indexed basis of the asset shall be substituted for its adjusted basis.</text> </paragraph><paragraph id="H4AFB7E31A0DA472D8E459237D89BF6D0"><enum>(2)</enum><header>Exception for depreciation, etc</header><text>The deductions for depreciation, depletion, and amortization shall be determined without regard to the application of paragraph (1) to the taxpayer or any other person.</text> </paragraph><paragraph id="HDD82B9B54D69423E8AB5CA03519DF79C"><enum>(3)</enum><header>Written documentation requirement</header><text>Paragraph (1) shall apply only with respect to indexed assets for which the taxpayer has written documentation of the original purchase price paid or incurred by the taxpayer to acquire such asset.</text> </paragraph></subsection><subsection id="HC42D301D20E24B8B85048780FF1A426D"><enum>(b)</enum><header>Indexed asset</header> <paragraph id="HF7F104592D84466CBA92435BDC076F40"><enum>(1)</enum><header>In general</header><text>For purposes of this section, the term <term>indexed asset</term> means—</text> <subparagraph id="HE1F60F9406494567AAB0F242B143C47F"><enum>(A)</enum><text>common stock in a C corporation (other than a foreign corporation), or</text> </subparagraph><subparagraph id="H83B98DEAD49841C89CF300FE23BEC3A5"><enum>(B)</enum><text>tangible property,</text> </subparagraph><continuation-text continuation-text-level="paragraph">which is a capital asset or property used in the trade or business (as defined in section 1231(b)).</continuation-text></paragraph><paragraph id="H90AB84977C7A46FD94476BFBE6442E9F"><enum>(2)</enum><header>Stock in certain foreign corporations included</header><text>For purposes of this section—</text> <subparagraph id="H9D51CA328AA94E8FBB78B9063655851F"><enum>(A)</enum><header>In general</header><text>The term <term>indexed asset</term> includes common stock in a foreign corporation which is regularly traded on an established securities market.</text> </subparagraph><subparagraph id="HEA5BF02515D248249EF3C744FE2BA526"><enum>(B)</enum><header>Exception</header><text>Subparagraph (A) shall not apply to—</text> <clause id="H4BC6CA56145C4A2190D0F30FF29EC49F"><enum>(i)</enum><text>stock of a foreign investment company,</text> </clause><clause id="H0E3E8591D7B74D459E9D01F9DCFC2ECF"><enum>(ii)</enum><text>stock in a passive foreign investment company (as defined in section 1296),</text> </clause><clause id="H887558C6D6A44C8182E18D9653E595EA"><enum>(iii)</enum><text>stock in a foreign corporation held by a United States person who meets the requirements of section 1248(a)(2), and</text> </clause><clause id="H458D49E7DAEC4183A2D60F0EA97B6066"><enum>(iv)</enum><text>stock in a foreign personal holding company.</text> </clause></subparagraph><subparagraph id="HC55A8F60FEB240DD82723410B0EADC2A"><enum>(C)</enum><header>Treatment of american depository receipts</header><text>An American depository receipt for common stock in a foreign corporation shall be treated as common stock in such corporation.</text> </subparagraph></paragraph></subsection><subsection id="H3E76745893D7446BADDA0170A92A0ACB"><enum>(c)</enum><header>Indexed basis</header><text>For purposes of this section—</text> <paragraph id="H63C441B4F1AC46C6BE4F0E6DE3388F89"><enum>(1)</enum><header>General rule</header><text>The indexed basis for any asset is—</text> <subparagraph id="H08C6EBA0C98B4361B4375EA0FB6918D0"><enum>(A)</enum><text>the adjusted basis of the asset, increased by</text> </subparagraph><subparagraph id="HA54679D1447B47CFAE689F642451EB05"><enum>(B)</enum><text>the applicable inflation adjustment.</text> </subparagraph></paragraph><paragraph id="H027DC7395ED84D6EB80EC576DE102643"><enum>(2)</enum><header>Applicable inflation adjustment</header><text>The applicable inflation adjustment for any asset is an amount equal to—</text> <subparagraph id="HEE87B9D8F6ED4C3CB687FF7007BD8F60"><enum>(A)</enum><text>the adjusted basis of the asset, multiplied by</text> </subparagraph><subparagraph id="H11D9B74891E048669FDD46E1CD6BBC21"><enum>(B)</enum><text>the percentage (if any) by which—</text> <clause id="HE86CD671B2AE473D938E4EAF511046FB"><enum>(i)</enum><text>the gross domestic product deflator for the last calendar quarter ending before the asset is disposed of, exceeds</text> </clause><clause id="HF650C6D4802049E3A32955EFA7E2F99E"><enum>(ii)</enum><text>the gross domestic product deflator for the last calendar quarter ending before the asset was acquired by the taxpayer.</text> </clause></subparagraph><continuation-text continuation-text-level="paragraph">The percentage under subparagraph (B) shall be rounded to the nearest <fraction>1/10</fraction> of 1 percentage point.</continuation-text></paragraph><paragraph id="H569577AD8AAC412FB748272CB4FC1B36"><enum>(3)</enum><header>Gross domestic product deflator</header><text>The gross domestic product deflator for any calendar quarter is the implicit price deflator for the gross domestic product for such quarter (as shown in the last revision thereof released by the Secretary of Commerce before the close of the following calendar quarter).</text> </paragraph></subsection><subsection id="H9CF4C5B28AE74211A3215D5D6D7216CF"><enum>(d)</enum><header>Suspension of holding period where diminished risk of loss; treatment of short sales</header> <paragraph id="HF6023360AD7B43B286EDD43751F2DFAE"><enum>(1)</enum><header>In general</header><text>If the taxpayer (or a related person) enters into any transaction which substantially reduces the risk of loss from holding any asset, such asset shall not be treated as an indexed asset for the period of such reduced risk.</text> </paragraph><paragraph id="HC798CDBE2BFA4136B3E0E704ED6793D5"><enum>(2)</enum><header>Short sales</header> <subparagraph id="H993A8086C23745DEA28F2654BEC368DC"><enum>(A)</enum><header>In general</header><text>In the case of a short sale of an indexed asset with a short sale period in excess of 3 years, for purposes of this title, the amount realized shall be an amount equal to the amount realized (determined without regard to this paragraph) increased by the applicable inflation adjustment. In applying subsection (c)(2) for purposes of the preceding sentence, the date on which the property is sold short shall be treated as the date of acquisition and the closing date for the sale shall be treated as the date of disposition.</text> </subparagraph><subparagraph id="H192BA4FBCAA44894B32F7F8F00C97069"><enum>(B)</enum><header>Short sale period</header><text>For purposes of subparagraph (A), the short sale period begins on the day that the property is sold and ends on the closing date for the sale.</text> </subparagraph></paragraph></subsection><subsection id="H2ECEB185C3524F22AC483A379A2BB85E"><enum>(e)</enum><header>Treatment of regulated investment companies and real estate investment trusts</header> <paragraph id="H76F11D3D1B0A4C1193058DDC8808300B"><enum>(1)</enum><header>Adjustments at entity level</header> <subparagraph id="HD5828A836C2046A7B1E3FB3AF5A41D85"><enum>(A)</enum><header>In general</header><text>Except as otherwise provided in this paragraph, the adjustment under subsection (a) shall be allowed to any qualified investment entity (including for purposes of determining the earnings and profits of such entity).</text> </subparagraph><subparagraph id="H3113C5AA7149418F856EB070A2617454"><enum>(B)</enum><header>Exception for corporate shareholders</header><text>Under regulations—</text> <clause id="H6B2588383DFB4B53888635BD92C32389"><enum>(i)</enum><text>in the case of a distribution by a qualified investment entity (directly or indirectly) to a corporation—</text> <subclause id="H3CDB4EF765DE48648F8538738AC9AD42"><enum>(I)</enum><text>the determination of whether such distribution is a dividend shall be made without regard to this section, and</text> </subclause><subclause id="HD1282741BCFC48F4B69C1FF09C66EB01"><enum>(II)</enum><text>the amount treated as gain by reason of the receipt of any capital gain dividend shall be increased by the percentage by which the entity’s net capital gain for the taxable year (determined without regard to this section) exceeds the entity’s net capital gain for such year determined with regard to this section, and</text> </subclause></clause><clause id="H4AEEEBBA30A041219CD4A4AC1BE1214A"><enum>(ii)</enum><text>there shall be other appropriate adjustments (including deemed distributions) so as to ensure that the benefits of this section are not allowed (directly or indirectly) to corporate shareholders of qualified investment entities.</text> </clause><continuation-text continuation-text-level="subparagraph">For purposes of the preceding sentence, any amount includible in gross income under section 852(b)(3)(D) shall be treated as a capital gain dividend and an S corporation shall not be treated as a corporation.</continuation-text></subparagraph><subparagraph id="H3A8992BC408A41D3A933A1F98C2D3FBC"><enum>(C)</enum><header>Exception for qualification purposes</header><text>This section shall not apply for purposes of sections 851(b) and 856(c).</text> </subparagraph><subparagraph id="H5CE3370791044E80A146B489D4F3F38C"><enum>(D)</enum><header>Exception for certain taxes imposed at entity level</header> <clause id="H3D640FC9084F45A5BE752A64702B18E1"><enum>(i)</enum><header>Tax on failure to distribute entire gain</header><text>If any amount is subject to tax under section 852(b)(3)(A) for any taxable year, the amount on which tax is imposed under such section shall be increased by the percentage determined under subparagraph (B)(i)(II). A similar rule shall apply in the case of any amount subject to tax under paragraph (2) or (3) of section 857(b) to the extent attributable to the excess of the net capital gain over the deduction for dividends paid determined with reference to capital gain dividends only. The first sentence of this clause shall not apply to so much of the amount subject to tax under section 852(b)(3)(A) as is designated by the company under section 852(b)(3)(D).</text> </clause><clause id="H60D9802D3095420591A8025C2060EF00"><enum>(ii)</enum><header>Other taxes</header><text>This section shall not apply for purposes of determining the amount of any tax imposed by paragraph (4), (5), or (6) of section 857(b).</text> </clause></subparagraph></paragraph><paragraph id="H545725FDB6EF4844A7020BCF7CA7C84F"><enum>(2)</enum><header>Adjustments to interests held in entity</header> <subparagraph id="HD3818A5902184F94901B018A04C7B264"><enum>(A)</enum><header>Regulated investment companies</header><text>Stock in a regulated investment company (within the meaning of section 851) shall be an indexed asset for any calendar quarter in the same ratio as—</text> <clause id="HC36CFD4EC7B849298B80AB6D5492B257"><enum>(i)</enum><text>the average of the fair market values of the indexed assets held by such company at the close of each month during such quarter, bears to</text> </clause><clause id="H52A6BCD311274BBD95B2C4FA134FB05B"><enum>(ii)</enum><text>the average of the fair market values of all assets held by such company at the close of each such month.</text> </clause></subparagraph><subparagraph id="HF9FFAEEF51974B08A0EDCCB7DFF7D257"><enum>(B)</enum><header>Real estate investment trusts</header><text>Stock in a real estate investment trust (within the meaning of section 856) shall be an indexed asset for any calendar quarter in the same ratio as—</text> <clause id="H33B72CC4FC5743A78F6212BC22489005"><enum>(i)</enum><text>the fair market value of the indexed assets held by such trust at the close of such quarter, bears to</text> </clause><clause id="HED2F2FA85DC148F1AEDA593D9D363070"><enum>(ii)</enum><text>the fair market value of all assets held by such trust at the close of such quarter.</text> </clause></subparagraph><subparagraph id="H2DDD1AE421D44A3E87A358481F959F43"><enum>(C)</enum><header>Ratio of 80 percent or more</header><text>If the ratio for any calendar quarter determined under subparagraph (A) or (B) would (but for this subparagraph) be 80 percent or more, such ratio for such quarter shall be 100 percent.</text> </subparagraph><subparagraph id="HCBB6B87FD5C24D5ABF4AEEC3263373AD"><enum>(D)</enum><header>Ratio of 20 percent or less</header><text>If the ratio for any calendar quarter determined under subparagraph (A) or (B) would (but for this subparagraph) be 20 percent or less, such ratio for such quarter shall be zero.</text> </subparagraph><subparagraph id="H74C14BF36B54466E95AA3D5A7D903CEF"><enum>(E)</enum><header>Look-thru of partnerships</header><text>For purposes of this paragraph, a qualified investment entity which holds a partnership interest shall be treated (in lieu of holding a partnership interest) as holding its proportionate share of the assets held by the partnership.</text> </subparagraph></paragraph><paragraph id="H29DC9535C74F40DA8EEE7A88E32C873F"><enum>(3)</enum><header>Treatment of return of capital distributions</header><text>Except as otherwise provided by the Secretary, a distribution with respect to stock in a qualified investment entity which is not a dividend and which results in a reduction in the adjusted basis of such stock shall be treated as allocable to stock acquired by the taxpayer in the order in which such stock was acquired.</text> </paragraph><paragraph id="HA941012586474E1988E6A7FDCDD2C0CA"><enum>(4)</enum><header>Qualified investment entity</header><text>For purposes of this subsection, the term <term>qualified investment entity</term> means—</text> <subparagraph id="H4F00EAAA95CE4EDF990CEE994C41C2FD"><enum>(A)</enum><text>a regulated investment company (within the meaning of section 851), and</text> </subparagraph><subparagraph id="H89224180F09540CCA2F6CCB9221B80B4"><enum>(B)</enum><text>a real estate investment trust (within the meaning of section 856).</text> </subparagraph></paragraph></subsection><subsection id="H4F1B451609B24091A1374F87FC95401E"><enum>(f)</enum><header>Other pass-Thru entities</header> <paragraph id="H48A62F1E6F6D4153B51D6DFED3C68A0E"><enum>(1)</enum><header>Partnerships</header> <subparagraph id="H8223AB5E9E484DDEAA0DD76D347744FF"><enum>(A)</enum><header>In general</header><text>In the case of a partnership, the adjustment made under subsection (a) at the partnership level shall be passed through to the partners.</text> </subparagraph><subparagraph id="H161680FBD56240E088577D3E18820340"><enum>(B)</enum><header>Special rule in the case of section 754 elections</header><text>In the case of a transfer of an interest in a partnership with respect to which the election provided in section 754 is in effect—</text> <clause id="H84D8B2CF485B4E16981E230918EB49D8"><enum>(i)</enum><text>the adjustment under section 743(b)(1) shall, with respect to the transferor partner, be treated as a sale of the partnership assets for purposes of applying this section, and</text> </clause><clause id="H9AE6CC1E6AA64823AB0F3A87595F1949"><enum>(ii)</enum><text>with respect to the transferee partner, the partnership’s holding period for purposes of this section in such assets shall be treated as beginning on the date of such adjustment.</text> </clause></subparagraph></paragraph><paragraph id="H67CC23946B3947379EE10A8C227DF3AE"><enum>(2)</enum><header>S corporations</header><text>In the case of an S corporation, the adjustment made under subsection (a) at the corporate level shall be passed through to the shareholders. This section shall not apply for purposes of determining the amount of any tax imposed by section 1374 or 1375.</text> </paragraph><paragraph id="H403F2D770914499EB6BD25279A09E854"><enum>(3)</enum><header>Common trust funds</header><text>In the case of a common trust fund, the adjustment made under subsection (a) at the trust level shall be passed through to the participants.</text> </paragraph><paragraph id="H97F3DC543396409CAD52C4FD5C5CEA51"><enum>(4)</enum><header>Indexing adjustment disregarded in determining loss on sale of interest in entity</header><text>Notwithstanding the preceding provisions of this subsection, for purposes of determining the amount of any loss on a sale or exchange of an interest in a partnership, S corporation, or common trust fund, the adjustment made under subsection (a) shall not be taken into account in determining the adjusted basis of such interest.</text> </paragraph></subsection><subsection id="HE400194ECFF94C2882660751ADCC7165"><enum>(g)</enum><header>Dispositions between related persons</header> <paragraph id="H0438C7404678430AB62341CEB490A0B0"><enum>(1)</enum><header>In general</header><text>This section shall not apply to any sale or other disposition of property between related persons except to the extent that the basis of such property in the hands of the transferee is a substituted basis.</text> </paragraph><paragraph id="H631B280609594DE18D1717463847D2BB"><enum>(2)</enum><header>Related persons defined</header><text>For purposes of this section, the term <term>related persons</term> means—</text> <subparagraph id="H27F01B5A8EB8498D95F244840DAD059D"><enum>(A)</enum><text>persons bearing a relationship set forth in section 267(b), and</text> </subparagraph><subparagraph id="HFF3CCBCD9A294D578A272451C3F68FE5"><enum>(B)</enum><text>persons treated as single employer under subsection (b) or (c) of section 414.</text> </subparagraph></paragraph></subsection><subsection id="H3064AB796C164643ACBC816AB5BC8E7A"><enum>(h)</enum><header>Transfers To increase indexing adjustment</header><text>If any person transfers cash, debt, or any other property to another person and the principal purpose of such transfer is to secure or increase an adjustment under subsection (a), the Secretary may disallow part or all of such adjustment or increase.</text> </subsection><subsection id="H30B46996899B47C58B6B07A474023100"><enum>(i)</enum><header>Special rules</header><text>For purposes of this section—</text> <paragraph id="H425DFB62FF3746769340BBC88A426A5C"><enum>(1)</enum><header>Treatment of improvements, etc</header><text>If there is an addition to the adjusted basis of any tangible property or of any stock in a corporation during the taxable year by reason of an improvement to such property or a contribution to capital of such corporation—</text> <subparagraph id="H5AA4945AEA554245BA71E194D778AF66"><enum>(A)</enum><text>such addition shall never be taken into account under subsection (c)(1)(A) if the aggregate amount thereof during the taxable year with respect to such property or stock is less than $1,000, and</text> </subparagraph><subparagraph id="HABFC47317DBE4847B222DEAFDA5F0FC7"><enum>(B)</enum><text>such addition shall be treated as a separate asset acquired at the close of such taxable year if the aggregate amount thereof during the taxable year with respect to such property or stock is $1,000 or more.</text> </subparagraph><continuation-text continuation-text-level="paragraph">A rule similar to the rule of the preceding sentence shall apply to any other portion of an asset to the extent that separate treatment of such portion is appropriate to carry out the purposes of this section.</continuation-text></paragraph><paragraph id="H096E357D344A487C880C1F66D8C91D4C"><enum>(2)</enum><header>Assets which are not indexed assets throughout holding period</header><text>The applicable inflation adjustment shall be appropriately reduced for periods during which the asset was not an indexed asset.</text> </paragraph><paragraph id="H475F6B805B6644F79B87748C8D1A6E4E"><enum>(3)</enum><header>Treatment of certain distributions</header><text>A distribution with respect to stock in a corporation which is not a dividend shall be treated as a disposition.</text> </paragraph><paragraph id="H871D707EEED848E38499149A5C041077"><enum>(4)</enum><header>Section cannot increase ordinary loss</header><text>To the extent that (but for this paragraph) this section would create or increase a net ordinary loss to which section 1231(a)(2) applies or an ordinary loss to which any other provision of this title applies, such provision shall not apply. The taxpayer shall be treated as having a long-term capital loss in an amount equal to the amount of the ordinary loss to which the preceding sentence applies.</text> </paragraph><paragraph id="H88230247761A4683AC85E9573925C667"><enum>(5)</enum><header>Acquisition date where there has been prior application of subsection <enum-in-header>(a)(1)</enum-in-header> with respect to the taxpayer</header><text>If there has been a prior application of subsection (a)(1) to an asset while such asset was held by the taxpayer, the date of acquisition of such asset by the taxpayer shall be treated as not earlier than the date of the most recent such prior application.</text> </paragraph></subsection><subsection id="HAFE25A0E352B42C098BA04E9B84FAF2D"><enum>(j)</enum><header>Regulations</header><text>The Secretary shall prescribe such regulations as may be necessary or appropriate to carry out the purposes of this section.</text> </subsection></section><after-quoted-block>.</after-quoted-block></quoted-block> </subsection><subsection id="HB20E69E474E04C07BE085F877F2B1797"><enum>(b)</enum><header>Clerical amendment</header><text>The table of sections for part II of subchapter O of chapter 1 of the Internal Revenue Code of 1986 is amended by striking the item relating to section 1023 and by inserting after the item relating to section 1022 the following new item:</text> <quoted-block id="H5551D6760E4849E1BADDAA5DBECC25A4" style="OLC"> <toc regeneration="no-regeneration"> <toc-entry level="section">Sec. 1023. Indexing of certain assets for purposes of determining gain or loss.</toc-entry> <toc-entry level="section">Sec. 1024. Cross references.</toc-entry> </toc> <after-quoted-block>.</after-quoted-block></quoted-block> </subsection><subsection id="H014F538E2F4D47999369399AECCB1BCD"><enum>(c)</enum><header>Effective date</header><text>The amendments made by this section shall apply to indexed assets acquired by the taxpayer after December 31, 2011, in taxable years ending after such date.</text> </subsection></section></subtitle><subtitle id="HCD56BF7B89A7423A9F845F325B407384"><enum>C</enum><header>Pro-Growth, pro-Business tax reform for corporations and other businesses</header> <section id="id210EB2645127464DB9983B27791AE859"><enum>121.</enum><header>Reduction in corporate income tax rates and reform of business tax</header> <subsection id="IDdf4767a5f7154b5aa1707b22e5b83bbc"><enum>(a)</enum><header>In general</header><text>The Committee on Finance of the Senate and the Committee on Ways and Means of the House of Representatives shall report legislation that will lower, consolidate, and simplify the corporate income tax system, with a top tax rate of 25 percent and a consolidation of the system into not more than 2 tax rates. Such legislation shall be reported not later than 60 days after the date of the enactment of this Act and shall be revenue neutral as scored by the Joint Committee on Taxation using a current policy baseline.</text> </subsection><subsection id="ID71ab216121c04ad598fdd47ddde7b8ad"><enum>(b)</enum><header>Legislation goals</header><text>Such reported legislation shall be required to achieve the following:</text> <paragraph id="ID4b0a69b875b24376834f67c0080b0c32"><enum>(1)</enum><header>Reduced tax liability</header><text>Lower the overall tax rates for American corporations and businesses and broaden the tax base for the corporate income tax.</text> </paragraph><paragraph id="IDb22c0c53e1b74a1f985175ed74bbab54"><enum>(2)</enum><header>Simplification</header><text>Close tax loopholes and eliminate industry specific deductions and certain tax credits, including the elimination of industry specific taxes, at the discretion of each Committee, in order to reduce tax expenditures and simplify the tax code.</text> </paragraph><paragraph id="IDe8317b1bce73478ebc27043c2a5f1d06"><enum>(3)</enum><header>Expensing</header><text>Replace the current depreciation schedules with 100 percent expensing in the same year that the capital expenditure occurs.</text> </paragraph><paragraph id="ID5090fe55b8744c85829ebc9b3ceffabc"><enum>(4)</enum><header>Territorial tax system</header><text>Establishment of a territorial tax system, including strong incentives to repatriate overseas capital, in lieu of the current worldwide tax system.</text> </paragraph><paragraph id="IDe39d470ed4e24cfdb44366b87c5fb777"><enum>(5)</enum><header>Consolidation</header><text>Provide necessary changes in order to consolidate the corporate income tax system with a total of not more than 2 tax rates, the top tax rate of 25 percent and a lower tax rate as determined by the Committees as specified in subsection (a).</text> </paragraph></subsection><subsection id="ID1a3b34830055407ca437c52ee8983004"><enum>(c)</enum><header>Additional changes</header><text>Such Committees shall include in such legislation any further changes to the corporate income tax system in order to ensure tax reductions and simplifications consistent with the goals of this Act.</text> </subsection></section></subtitle><subtitle id="H88D868948973475B998281E05317A87E"><enum>D</enum><header>Rebuilding America</header> <section id="H73E49120E7CB40D98650269F289B8C92" section-type="subsequent-section"><enum>131.</enum><header>Modification and temporary extension of the incentives to reinvest foreign earnings in the United States</header> <subsection commented="no" display-inline="no-display-inline" id="id7A1EB119C5C94315B0D5DE9519A43319"><enum>(a)</enum><header display-inline="yes-display-inline">Repatriation subject to 5 percent tax rate</header><text>Subsection (a)(1) of section 965 of the Internal Revenue Code of 1986 is amended by striking <quote>85 percent</quote> and inserting <quote>85.7 percent</quote>.</text> </subsection><subsection id="H16943260C0BF4FD381BC4E13642FA410"><enum>(b)</enum><header>Election</header><text display-inline="yes-display-inline">Subsection (f) of section 965 of the Internal Revenue Code of 1986 is amended to read as follows:</text> <quoted-block display-inline="no-display-inline" id="H1FCCA8A186A1455CBEC6FDBE0F8A003A" style="OLC"> <subsection id="H69CD98B51D194D84BE753117AFCBEF42"><enum>(f)</enum><header>Election</header><text display-inline="yes-display-inline">The taxpayer may elect to apply this section to—</text> <paragraph id="H9A1B34635C2D4AC1968D3A54CECA7E45"><enum>(1)</enum><text>the taxpayer’s last taxable year which begins before the date of the enactment of this subsection, or</text> </paragraph><paragraph id="H0BFFB319A9F149FE9FF833E0E8820458"><enum>(2)</enum><text>the taxpayer’s first taxable year which begins during the 1-year period beginning on such date.</text> </paragraph><continuation-text continuation-text-level="subsection">Such election may be made for a taxable year only if made on or before the due date (including extensions) for filing the return of tax for such taxable year.</continuation-text></subsection><after-quoted-block>.</after-quoted-block></quoted-block> </subsection><subsection id="HDE925EB213ED459F815B8B1744FF6C7D"><enum>(c)</enum><header>Limitation</header><text display-inline="yes-display-inline">Paragraph (1) of section 965(b) of the Internal Revenue Code of 1986 is amended to read as follows:</text> <quoted-block display-inline="no-display-inline" id="H51AE85891A244F1BAA774BCF85E35DEC" style="OLC"> <paragraph id="H85836B531C994D2F9879CE038DB93EA7"><enum>(1)</enum><header>In general</header><text display-inline="yes-display-inline">The amount of dividends taken into account under subsection (a) shall not exceed the sum of the current and accumulated earnings and profits described in section 959(c)(3) for the year a deduction is claimed under subsection (a), without diminution by reason of any distributions made during the election year, for all controlled foreign corporations of the United States shareholder.</text> </paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </subsection><subsection id="id4D88FA4B108B4B2C9A603B4037C37578"><enum>(d)</enum><header>Elimination of other limitations</header><text>Section 965(b) of the Internal Revenue Code of 1986 is amended by striking paragraphs (2) and (4) and by redesignating paragraph (3) as paragraph (2).</text> </subsection><subsection id="id5DEE80F8F33F4B6EBFC77450A3FA75EC"><enum>(e)</enum><header>Conforming amendments</header> <paragraph id="id6C0F49E3EE6D4DD0A827F1F0E4F94E07"><enum>(1)</enum><text>Subparagraph (B) of section 965(b)(2) of the Internal Revenue Code of 1986, as redesignated by subsection (d), is amended by striking <quote>October 3, 2004</quote> and inserting <quote>February 15, 2012</quote>.</text> </paragraph><paragraph id="id88B4D92D6ABE4D08A052D2371118CAF9"><enum>(2)</enum><text>Section 965(c) of such Code is amended by striking paragraphs (1) and (2) and by redesignating paragraphs (3), (4), and (5) as paragraphs (1), (2), and (3), respectively.</text> </paragraph><paragraph id="id7EE12B2135AD4768AEEE9079E2D6A322"><enum>(3)</enum><text>Paragraph (3) of section 965(c) of such Code, as redesignated by paragraph (2), is amended to read as follows:</text> <quoted-block display-inline="no-display-inline" id="id01C6C024C3BC42678A3747BF4DC3543A" style="OLC"> <paragraph id="id46BA532E053942548DDE5F741AEF79FA"><enum>(3)</enum><header>Controlled groups</header><text>All United States shareholders which are members of an affiliated group filing a consolidated return under section 1501 shall be treated as one United States shareholder.</text> </paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph></subsection><subsection id="H08D4123E7C0C4A6D96282FB7BAEFDA3F"><enum>(f)</enum><header>Effective date</header><text display-inline="yes-display-inline">The amendments made by this section shall apply to taxable years ending on or after the date of the enactment of this Act.</text> </subsection></section></subtitle><subtitle id="H7CCC4DC74131465BB0756E2B12DE38FF"><enum>E</enum><header>Saving the family farm</header> <section id="H1CB2116C1740416FA4D6D34F6481BCE" section-type="subsequent-section"><enum>141.</enum><header>Exclusion from gross estate of certain farmland so long as farmland use continues</header> <subsection id="H19B0C192E97742B7AA546B8C60911000"><enum>(a)</enum><header>In general</header><text>Part III of subchapter A of chapter 11 of the Internal Revenue Code of 1986 is amended by inserting after section 2033 the following new section:</text> <quoted-block id="H9448CF3B112142DAB48491CFC06034CA"> <section id="H11507E79299C444E8427AFAFBC250428"><enum>2033A.</enum><header>Exclusion of certain family-owned farms and businesses</header> <subsection id="HF3CC9E8D3947467187C7720062000050"><enum>(a)</enum><header>In general</header><text>In the case of an estate of a decedent to which this section applies, the value of the gross estate shall not include the adjusted value of any qualified family-owned farm or business included in the estate.</text> </subsection><subsection id="HBEFA201B9AB341A6818B430851F2316F"><enum>(b)</enum><header>Estates to which section applies</header><text>This section shall apply to an estate if—</text> <paragraph id="H2F092AB8681F43D1A2517F2CEB7F5696"><enum>(1)</enum><text>the decedent was (at the date of the decedent’s death) a citizen or resident of the United States, and</text> </paragraph><paragraph id="H73CFE3430DF74D31A0CCE18F0925AE54"><enum>(2)</enum><text>during the 8-year period ending on the date of the decedent’s death there have been periods aggregating 5 years or more during which—</text> <subparagraph id="H1CF833B1E8E44473B9996C2CBEB331BA"><enum>(A)</enum><text>not less than 60 percent of the qualified family-owned farm or business was owned by the decedent and members of the decedent’s family, and</text> </subparagraph><subparagraph id="H97A21861B92940D19550AF5047DB0026"><enum>(B)</enum><text>there was material participation (within the meaning of section 2032A(e)(6)) by the decedent or the qualified heir in the operation of such farm or business.</text> </subparagraph><continuation-text continuation-text-level="paragraph">Rules similar to the rules of paragraphs (4) and (5) of section 2032A(b) shall apply for purposes of subparagraph (B).</continuation-text></paragraph></subsection><subsection id="H2C1609DEE0B845E6ADCC406606313F62"><enum>(c)</enum><header>Definitions</header><text>For purposes of this section—</text> <paragraph id="H196B151DECEB44B90070A9263B635C8B"><enum>(1)</enum><header>Qualified family-owned farm or business</header><text>The term <term>qualified family-owned farm or business</term> means—</text> <subparagraph id="id29311B47F3BD426C83694D243B81BE7D"><enum>(A)</enum><text>any qualified farmland, or</text> </subparagraph><subparagraph id="idB7107B321B9043B88D3291F7E4B1CE94"><enum>(B)</enum><text>any qualified trade or business.</text> </subparagraph></paragraph><paragraph id="idA32321FD9B3E41D39AC96725172C964F"><enum>(2)</enum><header>Qualified farmland</header><text>The term <term>qualified farmland</term> means any real property—</text> <subparagraph id="H7DB424A2EDA747D9B5981091804D9200"><enum>(A)</enum><text>which is located in the United States,</text> </subparagraph><subparagraph id="HC519BCCFB14649E1B0ADBF8813615428"><enum>(B)</enum><text>which is used as a farm for farming purposes (within the meaning of section 2032A(e)), and</text> </subparagraph><subparagraph id="HCB966DB53D7C4181B63B1283A404A02"><enum>(C)</enum><text>which was acquired from or passed from the decedent to a qualified heir of the decedent and which, on the date of the decedent’s death, was being so used by the decedent or a member of the decedent’s family.</text> </subparagraph></paragraph><paragraph id="idC927925A7F70464EAB61DAB82D3449D7"><enum>(3)</enum><header>Qualified trade or business</header><text>The term <term>qualified trade or business</term> means any interest in a trade or business of the taxpayer—</text> <subparagraph id="idDD0598F6C4A146349B2CFC2DCEC9AADA"><enum>(A)</enum><text>which is not an interest in a C corporation, and</text> </subparagraph><subparagraph id="idDB7C02D46A7344FB9D8837802C2405BF"><enum>(B)</enum><text>which was acquired from or passed from the decedent to a qualified heir of the decedent.</text> </subparagraph></paragraph><paragraph commented="no" id="H2A6EB19C1C824AEDBAA17F00A87109AD"><enum>(4)</enum><header>Adjusted value</header><text>The term <term>adjusted value</term> means the value of the qualified family-owned farm or business for purposes of this chapter (determined without regard to this section), reduced by the amount deductible under paragraph (3) or (4) of section 2053(a).</text> </paragraph><paragraph commented="no" id="HF03E14006F0A4D31811BECFA003669B3"><enum>(5)</enum><header>Other terms</header><text display-inline="yes-display-inline">Any other term used in this section which is also used in section 2032A shall have the same meaning given such term by section 2032A.</text> </paragraph></subsection><subsection id="IDae20227c681943b09c9e83fabf03ce0a"><enum>(d)</enum><header>Tax Treatment of Dispositions and Failures To Use for Farming Purposes</header> <paragraph id="ID40564eddd75c478ca1b370d32cd1705d"><enum>(1)</enum><header>Imposition of recapture tax</header><text>If, at any time after the decedent's death and before the death of the qualified heir—</text> <subparagraph id="ID16ad7689cd544bf190c8a04d22c245b5"><enum>(A)</enum><text>the qualified heir disposes of any interest in qualified family-owned farm or business (other than by a disposition to a member of his family), or</text> </subparagraph><subparagraph id="IDf7bdf0372859459b8a501ea92d91a4f5"><enum>(B)</enum><text>in the case of qualified farmland, the qualified heir ceases to use the real property which was acquired (or passed) from the decedent as a farm for farming purposes,</text> </subparagraph><continuation-text continuation-text-level="paragraph">then, there is hereby imposed a recapture tax.</continuation-text></paragraph><paragraph id="IDdddf8139abbb43a4bf36a598ffb18582"><enum>(2)</enum><header>Amount of recapture tax, etc</header><text>Rules similar to the rules of section 2032A(c) with respect to the additional estate tax shall apply for purposes of this subsection with respect to the recapture tax.</text> </paragraph></subsection><subsection commented="no" id="HC232BD0F735148EA83E6005DB956A2F9"><enum>(e)</enum><header>Application of other rules</header><text>To the extent provided by the Secretary in regulations, rules similar to the rules of subsections (e), (f), (g), (h), and (i) of section 2032A shall apply for purposes of this section.</text> </subsection></section><after-quoted-block>.</after-quoted-block></quoted-block> </subsection><subsection id="HEA0B7BE6474741DFB4A6D845FC8F63F"><enum>(b)</enum><header>Clerical amendment</header><text>The table of sections for part III of subchapter A of chapter 11 of the Internal Revenue Code of 1986 is amended by inserting after the item relating to section 2033 the following new item:</text> <quoted-block id="id3aa9c6b8-bcf0-426c-93d7-88b53186d4e6" style="OLC"> <toc> <toc-entry idref="H11507E79299C444E8427AFAFBC250428" level="section">Sec. 2033A. Exclusion of certain family-owned farms and businesses.</toc-entry> </toc> <after-quoted-block>.</after-quoted-block></quoted-block> </subsection><subsection commented="no" display-inline="no-display-inline" id="H2C08F83B8C2A4AA3902B962B4D93D400"><enum>(c)</enum><header>Effective date</header><text>The amendments made by this section shall apply to estates of decedents dying after the date of the enactment of this Act.</text> </subsection></section></subtitle><enum>II</enum><header>Red tape reduction</header> <subtitle id="H3A9D32DE1F1C4447ABDED8C6F1782274"><enum>A</enum><header>Regulatory moratorium</header> <section id="H62114D0DA7814BB0BC364FFEB816B63D"><enum>201.</enum><header>Definitions</header><text display-inline="no-display-inline">In this subtitle—</text> <paragraph id="H26040296A6D846D98760EED1DEF241EE"><enum>(1)</enum><text>the term <term>agency</term> has the meaning given under section 3502(1) of title 44, United States Code;</text> </paragraph><paragraph id="H53E688AC29274333A7FD37F064928B20"><enum>(2)</enum><text>the term <term>regulatory action</term> means any substantive action by an agency that promulgates or is expected to lead to the promulgation of a final regulation, including notices of inquiry, advance notices of proposed rulemaking, and notices of proposed rulemaking;</text> </paragraph><paragraph id="HB47ACF044E0241E4918F11D573B5C05E"><enum>(3)</enum><text>the term <term>significant regulatory action</term> means any regulatory action that is likely to result in a rule or guidance that may—</text> <subparagraph id="HE79C038627514FFCBA33D26CEDF35CE9"><enum>(A)</enum><text>have an annual effect on the economy of $100,000,000 or more or adversely affect in a material way the economy, a sector of the economy, productivity, competition, jobs, the environment, public health or safety, small entities, or State, local, or tribal governments or communities;</text> </subparagraph><subparagraph id="H2EE29C30326C4894842CA2CF2B19BA72"><enum>(B)</enum><text>create a serious inconsistency or otherwise interfere with an action taken or planned by another agency;</text> </subparagraph><subparagraph id="HB06D9A90D07B4AB8ADA60B431B9C729B"><enum>(C)</enum><text>materially alter the budgetary impact of entitlements, grants, user fees, or loan programs or the rights and obligations of recipients thereof; or</text> </subparagraph><subparagraph id="H943BE7336FA843658F5E55794E1744B5"><enum>(D)</enum><text>raise novel legal or policy issues; and</text> </subparagraph></paragraph><paragraph id="HAFD812EC0698493CBE80704576E36001"><enum>(4)</enum><text>the term <term>small entities</term> has the meaning given under section 601(6) of title 5, United States Code.</text> </paragraph></section><section id="H5340085DE3C542788C9F03DF032769CA"><enum>202.</enum><header>Significant regulatory actions</header> <subsection id="HE4F2BCB2039340B1B54B0EBC9F9623B9"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">No agency may take any significant regulatory action, until the Bureau of Labor Statistics average of monthly unemployment rates for any quarter beginning after the date of enactment of this Act is equal to or less than 7.7 percent.</text> </subsection><subsection id="HB60274D1087C489C9A2205482A490DEC"><enum>(b)</enum><header>Determination</header><text display-inline="yes-display-inline">The Secretary of Labor shall submit a report to the Director of the Office of Management and Budget whenever the Secretary determines that the Bureau of Labor Statistics average of monthly unemployment rates for any quarter beginning after the date of enactment of this Act is equal to or less than 7.7 percent.</text> </subsection></section><section id="H90A2DA29F0E54FB0B0D3ACB9FA6C261E"><enum>203.</enum><header>Waivers</header> <subsection id="HDF2F536EE429406F8F1F63D8D38A916F"><enum>(a)</enum><header>National security or national emergency</header><text display-inline="yes-display-inline">The President may waive the application of section 202 to any significant regulatory action, if the President—</text> <paragraph id="HE987000BC2BC48DDB25ACDF1356C8E7E"><enum>(1)</enum><text>determines that the waiver is necessary on the basis of national security or a national emergency; and</text> </paragraph><paragraph id="HE0292FA2FC034678AB8022E5FF8B753A"><enum>(2)</enum><text>submits notification to Congress of that waiver and the reasons for that waiver.</text> </paragraph></subsection><subsection id="H9CA0B0ADF433468F8974088EE82BAF9A"><enum>(b)</enum><header>Additional waivers</header> <paragraph id="HF1137935A82A40F798D7D8AD7497B87F"><enum>(1)</enum><header>Submission</header><text>The President may submit a request to Congress for a waiver of the application of section 202 to any significant regulatory action.</text> </paragraph><paragraph id="H0601887AE83145FC9D56C326F00F8FE0"><enum>(2)</enum><header>Contents</header><text>A submission under this subsection shall include—</text> <subparagraph id="H42081D382A1042ADB5E91FFC5AC65A8F"><enum>(A)</enum><text>an identification of the significant regulatory action; and</text> </subparagraph><subparagraph id="H2A86B7715516484ABA60AC01FB09562B"><enum>(B)</enum><text>the reasons which necessitate a waiver for that significant regulatory action.</text> </subparagraph></paragraph><paragraph id="HC0CEF670D2A040778201E4349EC31F42"><enum>(3)</enum><header>Congressional action</header><text>Congress shall give expeditious consideration and take appropriate legislative action with respect to any waiver request submitted under this subsection.</text> </paragraph></subsection></section><section id="H2BBFED250DE948E8B463AC007A13F26C"><enum>204.</enum><header>Judicial review</header> <subsection id="HB781C20F2BD64908A74FF2BA0DEB885D"><enum>(a)</enum><header>Definition</header><text>In this section, the term <term>small business</term> means any business, including an unincorporated business or a sole proprietorship, that employs not more than 500 employees or that has a net worth of less than $7,000,000 on the date a civil action arising under this subtitle is filed.</text> </subsection><subsection id="HB4DFF533753D4E1DA5D1B2BD00A0EB7E"><enum>(b)</enum><header>Review</header><text>Any person that is adversely affected or aggrieved by any significant regulatory action in violation of this subtitle is entitled to judicial review in accordance with chapter 7 of title 5, United States Code.</text> </subsection><subsection id="HA46748C1C9004E4894F9DABD18024224"><enum>(c)</enum><header>Jurisdiction</header><text>Each court having jurisdiction to review any significant regulatory action for compliance with any other provision of law shall have jurisdiction to review all claims under this subtitle.</text> </subsection><subsection id="HFD9BD83EC1364700B759284E297AA755"><enum>(d)</enum><header>Relief</header><text>In granting any relief in any civil action under this section, the court shall order the agency to take corrective action consistent with this subtitle and chapter 7 of title 5, United States Code, including remanding the significant regulatory action to the agency and enjoining the application or enforcement of that significant regulatory action, unless the court finds by a preponderance of the evidence that application or enforcement is required to protect against an imminent and serious threat to the national security from persons or states engaged in hostile or military activities against the United States.</text> </subsection><subsection id="HE585782AF83347258E3A503688A7EEF9"><enum>(e)</enum><header>Reasonable attorney fees for small businesses</header><text>The court shall award reasonable attorney fees and costs to a substantially prevailing small business in any civil action arising under this subtitle. A party qualifies as substantially prevailing even without obtaining a final judgment in its favor if the agency changes its position as a result of the civil action.</text> </subsection><subsection id="H8CC0373A27014583A3D00D05C1F4CB19"><enum>(f)</enum><header>Limitation on commencing civil action</header><text>A person may seek and obtain judicial review during the 1-year period beginning on the date of the challenged agency action or within 90 days after an enforcement action or notice thereof, except that where another provision of law requires that a civil action be commenced before the expiration of that 1-year period, such lesser period shall apply.</text> </subsection></section></subtitle><subtitle id="H14064676B3024E5780C97C17987E43E3"><enum>B</enum><header>Increase of size of small businesses exempt from Federal laws and regulations</header> <section id="H42D2F6B24DA34E929B74555384799448"><enum>211.</enum><header>Increase of size of small businesses exempt from Federal laws and regulations</header><text display-inline="no-display-inline">Notwithstanding any other provision of law, every exemption from, or special benefit under, any Federal law or regulation which is available to any business with 200 or fewer employees shall be available to every comparable business with 200 or fewer employees. The preceding sentence shall not apply in any context in which its application would result in increased eligibility for tax deductions or credits, or an increase in Federal expenditures.</text> </section></subtitle><subtitle id="HA4ADE80F3BB64EE78A8899C868CBEBA8"><enum>C</enum><header>The REINS Act</header> <section commented="no" id="HAA514D0C7C6843D7BAF41600F27301A8"><enum>221.</enum><header>Purpose</header><text display-inline="no-display-inline">The purpose of this subtitle is to increase accountability for and transparency in the federal regulatory process. Section 1 of article I of the United States Constitution grants all legislative powers to Congress. Over time, Congress has excessively delegated its constitutional charge while failing to conduct appropriate oversight and retain accountability for the content of the laws it passes. By requiring a vote in Congress, this subtitle will result in more carefully drafted and detailed legislation, an improved regulatory process, and a legislative branch that is truly accountable to the American people for the laws imposed upon them.</text> </section><section id="H44092D71D50647D78E61C55642CB6FBD"><enum>222.</enum><header>Congressional review of agency rulemaking</header><text display-inline="no-display-inline">Chapter 8 of title 5, United States Code, is amended to read as follows:</text> <quoted-block display-inline="no-display-inline" id="H62BECF0474284F0A82E58666FBF29828" style="USC"> <chapter commented="no" id="H3B451773BA9C4366AE6FA0A2AA10E901" level-type="subsequent"><enum>8</enum><header display-inline="yes-display-inline">Congressional Review of Agency Rulemaking</header> <toc container-level="chapter-container" idref="H3B451773BA9C4366AE6FA0A2AA10E901" lowest-bolded-level="division-lowest-bolded" lowest-level="section" quoted-block="no-quoted-block" regeneration="yes-regeneration"> <toc-entry bold="off" idref="HF1AA82B25F954F17BDC6472E32DBE5EC" level="section">Sec.</toc-entry> <toc-entry bold="off" idref="HF1AA82B25F954F17BDC6472E32DBE5EC" level="section">801. Congressional review.</toc-entry> <toc-entry bold="off" idref="H2F60404BE71C4DB1BFA67567558479EB" level="section">802. Congressional approval procedure for major rules.</toc-entry> <toc-entry bold="off" idref="H777F50DC436347CB884461B1755BFB2C" level="section">803. Congressional disapproval procedure for nonmajor rules.</toc-entry> <toc-entry bold="off" idref="HC009FE2DED5E43C097DF054188BBC3F6" level="section">804. Definitions.</toc-entry> <toc-entry bold="off" idref="H85EE7C7368F941F48B7D971E74B6DD7F" level="section">805. Judicial review.</toc-entry> <toc-entry bold="off" idref="H8929AECB23F24B5297A52F3FB9283329" level="section">806. Exemption for monetary policy.</toc-entry> <toc-entry bold="off" idref="H14DF0853FFF94EE388E7CEFC385AE99D" level="section">807. Effective date of certain rules.</toc-entry> </toc> <section commented="no" display-inline="no-display-inline" id="HF1AA82B25F954F17BDC6472E32DBE5EC" section-type="subsequent-section"><enum>801.</enum><header display-inline="yes-display-inline">Congressional review</header> <subsection commented="no" display-inline="no-display-inline" id="HC58063D0B5CC4346BA0C8682D5F7E779"><enum>(a)</enum><paragraph commented="no" display-inline="yes-display-inline" id="HB21819218C8A41CF9B505EE875367E69"><enum>(1)</enum><subparagraph commented="no" display-inline="yes-display-inline" id="H856FDEF9DA774228A74F17922DDB1E8C"><enum>(A)</enum><text display-inline="yes-display-inline">Before a rule may take effect, the Federal agency promulgating such rule shall submit to each House of the Congress and to the Comptroller General a report containing—</text> <clause commented="no" display-inline="no-display-inline" id="H043806328F94482C8C86935B391F69A3" indent="up2"><enum>(i)</enum><text display-inline="yes-display-inline">a copy of the rule;</text> </clause><clause commented="no" display-inline="no-display-inline" id="H23D0AAA02FB04F0C930CB985E1FA546A" indent="up2"><enum>(ii)</enum><text display-inline="yes-display-inline">a concise general statement relating to the rule;</text> </clause><clause commented="no" display-inline="no-display-inline" id="H11EF82BD652042739188CB279BD1FFF4" indent="up2"><enum>(iii)</enum><text display-inline="yes-display-inline">a classification of the rule as a major or nonmajor rule, including an explanation of the classification specifically addressing each criteria for a major rule contained within sections 804(2)(A), 804(2)(B), and 804(2)(C);</text> </clause><clause id="H1D89D208DCC947A29676CFB08AAE038E" indent="up2"><enum>(iv)</enum><text>a list of any other related regulatory actions intended to implement the same statutory provision or regulatory objective as well as the individual and aggregate economic effects of those actions; and</text> </clause><clause id="HA3A9A0283E47436DA0AC0B7CCC0C8112" indent="up2"><enum>(v)</enum><text>the proposed effective date of the rule.</text> </clause></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="HB2E7086900E64B788C4BDF4B5781061A" indent="up2"><enum>(B)</enum><text display-inline="yes-display-inline">On the date of the submission of the report under subparagraph (A), the Federal agency promulgating the rule shall submit to the Comptroller General and make available to each House of Congress—</text> <clause commented="no" display-inline="no-display-inline" id="HA63DF8BCF1564C61B76BEBD0A1178295"><enum>(i)</enum><text display-inline="yes-display-inline">a complete copy of the cost-benefit analysis of the rule, if any;</text> </clause><clause commented="no" display-inline="no-display-inline" id="H9E390C2B87C5452F814488A56F92A3A1"><enum>(ii)</enum><text display-inline="yes-display-inline">the agency’s actions pursuant to title 5 of the United States Code, sections 603, 604, 605, 607, and 609;</text> </clause><clause commented="no" display-inline="no-display-inline" id="H099E2055F535491D9A74448E0DFF39DB"><enum>(iii)</enum><text display-inline="yes-display-inline">the agency’s actions pursuant to title 2 of the United States Code, sections 1532, 1533, 1534, and 1535; and</text> </clause><clause commented="no" display-inline="no-display-inline" id="H924702E8E9D542B68938A49AA1F104DC"><enum>(iv)</enum><text display-inline="yes-display-inline">any other relevant information or requirements under any other Act and any relevant Executive orders.</text> </clause></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="HE6EBED83A57B4263BC4C7655985F0452" indent="up2"><enum>(C)</enum><text display-inline="yes-display-inline">Upon receipt of a report submitted under subparagraph (A), each House shall provide copies of the report to the chairman and ranking member of each standing committee with jurisdiction under the rules of the House of Representatives or the Senate to report a bill to amend the provision of law under which the rule is issued.</text> </subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="H1B90EE60F01A439FA6DE8838E6A9E77E" indent="up1"><enum>(2)</enum><subparagraph commented="no" display-inline="yes-display-inline" id="HAA0FF2A8A2EC4CF888619520B9F971E3"><enum>(A)</enum><text display-inline="yes-display-inline">The Comptroller General shall provide a report on each major rule to the committees of jurisdiction by the end of 15 calendar days after the submission or publication date as provided in section 802(b)(2). The report of the Comptroller General shall include an assessment of the agency’s compliance with procedural steps required by paragraph (1)(B).</text> </subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="H42AD419D51D54CBFA2839E02E7328DBE" indent="up1"><enum>(B)</enum><text display-inline="yes-display-inline">Federal agencies shall cooperate with the Comptroller General by providing information relevant to the Comptroller General’s report under subparagraph (A).</text> </subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="H1820E66E63004B4789AE1E7B493CB7E0" indent="up1"><enum>(3)</enum><text display-inline="yes-display-inline">A major rule relating to a report submitted under paragraph (1) shall take effect upon enactment of a joint resolution of approval described in section 802 or as provided for in the rule following enactment of a joint resolution of approval described in section 802, whichever is later.</text> </paragraph><paragraph commented="no" display-inline="no-display-inline" id="H085EF6EDABBE45008CA16C0BF0AEF568" indent="up1"><enum>(4)</enum><text display-inline="yes-display-inline">A nonmajor rule shall take effect as provided by section 803 after submission to Congress under paragraph (1).</text> </paragraph><paragraph commented="no" display-inline="no-display-inline" id="H9D088AB4D0594BFF8A5B71E71EBB8375" indent="up1"><enum>(5)</enum><text display-inline="yes-display-inline">If a joint resolution of approval relating to a major rule is not enacted within the period provided in subsection (b)(2), then a joint resolution of approval relating to the same rule may not be considered under this chapter in the same Congress by either the House of Representatives or the Senate.</text> </paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="H895A628CA4DA49F088A329408CE8AF58"><enum>(b)</enum><paragraph commented="no" display-inline="yes-display-inline" id="H4CB701024F634DA5A7463AF2B83E2378"><enum>(1)</enum><text display-inline="yes-display-inline">A major rule shall not take effect unless the Congress enacts a joint resolution of approval described under section 802.</text> </paragraph><paragraph commented="no" display-inline="no-display-inline" id="HBA0C871732CC42B0AD2F586CB02D6D5C" indent="up1"><enum>(2)</enum><text display-inline="yes-display-inline">If a joint resolution described in subsection (a) is not enacted into law by the end of 70 session days or legislative days, as applicable, beginning on the date on which the report referred to in section 801(a)(1)(A) is received by Congress (excluding days either House of Congress is adjourned for more than 3 days during a session of Congress), then the rule described in that resolution shall be deemed not to be approved and such rule shall not take effect.</text> </paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="HA2E15314AE5F45929F4537675F941310"><enum>(c)</enum><paragraph commented="no" display-inline="yes-display-inline" id="HA940AE2ADFBD4E61AB8534DFD2946D6E"><enum>(1)</enum><text display-inline="yes-display-inline">Notwithstanding any other provision of this section (except subject to paragraph (3)), a major rule may take effect for one 90-calendar-day period if the President makes a determination under paragraph (2) and submits written notice of such determination to the Congress.</text> </paragraph><paragraph commented="no" display-inline="no-display-inline" id="HBE5D1D5302094D0FABF6316245F3A24C" indent="up1"><enum>(2)</enum><text display-inline="yes-display-inline">Paragraph (1) applies to a determination made by the President by Executive order that the major rule should take effect because such rule is—</text> <subparagraph commented="no" display-inline="no-display-inline" id="H3C4DF831CF40499D9DE356D86685F5D3"><enum>(A)</enum><text display-inline="yes-display-inline">necessary because of an imminent threat to health or safety or other emergency;</text> </subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="H0C90AA8B05944177835F67CC9DE3AF2F"><enum>(B)</enum><text display-inline="yes-display-inline">necessary for the enforcement of criminal laws;</text> </subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="H40A44B1384014A29BCF215C87D654BFD"><enum>(C)</enum><text display-inline="yes-display-inline">necessary for national security; or</text> </subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="H776455B48A15410095E0D924D145B50D"><enum>(D)</enum><text display-inline="yes-display-inline">issued pursuant to any statute implementing an international trade agreement.</text> </subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="H83AD4E72D41640F0813F05CECA9B2CA4" indent="up1"><enum>(3)</enum><text display-inline="yes-display-inline">An exercise by the President of the authority under this subsection shall have no effect on the procedures under section 802.</text> </paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="H83F41116529249C29C9DFEC02E09F94B"><enum>(d)</enum><paragraph commented="no" display-inline="yes-display-inline" id="H2BD99FA9C2DD4E759595D4820F6C6C45"><enum>(1)</enum><text display-inline="yes-display-inline">In addition to the opportunity for review otherwise provided under this chapter, in the case of any rule for which a report was submitted in accordance with subsection (a)(1)(A) during the period beginning on the date occurring—</text> <subparagraph commented="no" display-inline="no-display-inline" id="H10703FA286704C6A8F4E26AB3CF6737E" indent="up1"><enum>(A)</enum><text display-inline="yes-display-inline">in the case of the Senate, 60 session days, or</text> </subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="HF23A78367CE54D9A943ED81F77468EC4" indent="up1"><enum>(B)</enum><text display-inline="yes-display-inline">in the case of the House of Representatives, 60 legislative days,</text> </subparagraph></paragraph><continuation-text commented="no" continuation-text-level="subsection">before the date the Congress is scheduled to adjourn a session of Congress through the date on which the same or succeeding Congress first convenes its next session, sections 802 and 803 shall apply to such rule in the succeeding session of Congress.</continuation-text><paragraph commented="no" display-inline="no-display-inline" id="HA5F20F58FB4F4E61AF224C488243D47D" indent="up1"><enum>(2)</enum><subparagraph commented="no" display-inline="yes-display-inline" id="H0BDF2E037482427894E4F6C5394D9244"><enum>(A)</enum><text display-inline="yes-display-inline">In applying sections 802 and 803 for purposes of such additional review, a rule described under paragraph (1) shall be treated as though—</text> <clause commented="no" display-inline="no-display-inline" id="HD375ACDA400E4FB1A2209291A33FEB18" indent="up1"><enum>(i)</enum><text display-inline="yes-display-inline">such rule were published in the Federal Register on—</text> <subclause commented="no" display-inline="no-display-inline" id="H929A1C53FB574A21BB2DBAFE1CDA7C26"><enum>(I)</enum><text display-inline="yes-display-inline">in the case of the Senate, the 15th session day, or</text> </subclause><subclause commented="no" display-inline="no-display-inline" id="H81ADFF452C4E496990AD337F0410E845"><enum>(II)</enum><text display-inline="yes-display-inline">in the case of the House of Representatives, the 15th legislative day,</text> </subclause><continuation-text commented="no" continuation-text-level="clause">after the succeeding session of Congress first convenes; and</continuation-text></clause><clause commented="no" display-inline="no-display-inline" id="H62F798CB75C0452C817C2B336B2700E3" indent="up1"><enum>(ii)</enum><text display-inline="yes-display-inline">a report on such rule were submitted to Congress under subsection (a)(1) on such date.</text> </clause></subparagraph><subparagraph id="HAF1474DE8A474B4087BC3B514EEA386A" indent="up1"><enum>(B)</enum><text>Nothing in this paragraph shall be construed to affect the requirement under subsection (a)(1) that a report shall be submitted to Congress before a rule can take effect.</text> </subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="H84582AF1A10A422083BFB217AEE9C1DF" indent="up1"><enum>(3)</enum><text display-inline="yes-display-inline">A rule described under paragraph (1) shall take effect as otherwise provided by law (including other subsections of this section).</text> </paragraph></subsection></section><section commented="no" display-inline="no-display-inline" id="H2F60404BE71C4DB1BFA67567558479EB" section-type="subsequent-section"><enum>802.</enum><header display-inline="yes-display-inline">Congressional approval procedure for major rules</header> <subsection commented="no" display-inline="no-display-inline" id="H52A59A437C9545459094D9E32583EF71"><enum>(a)</enum><text display-inline="yes-display-inline">For purposes of this section, the term <term>joint resolution</term> means only a joint resolution introduced on or after the date on which the report referred to in section 801(a)(1)(A) is received by Congress (excluding days either House of Congress is adjourned for more than 3 days during a session of Congress), the matter after the resolving clause of which is as follows: <quote>That Congress approves the rule submitted by the _ _ relating to _ _.</quote> (The blank spaces being appropriately filled in).</text> <paragraph commented="no" id="H980C107003274A238FCDBDCD5076D2C0"><enum>(1)</enum><text display-inline="yes-display-inline">In the House, the majority leader of the House of Representatives (or his designee) and the minority leader of the House of Representatives (or his designee) shall introduce such joint resolution described in subsection (a) (by request), within 3 legislative days after Congress receives the report referred to in section 801(a)(1)(A).</text> </paragraph><paragraph commented="no" id="H472E4C01F9914024AC0E72D0EC58F581"><enum>(2)</enum><text>In the Senate, the majority leader of the Senate (or his designee) and the minority leader of the Senate (or his designee) shall introduce such joint resolution described in subsection (a) (by request), within 3 session days after Congress receives the report referred to in section 801(a)(1)(A).</text> </paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="H411F0279B3D1457CAF10DC626D7EE95F"><enum>(b)</enum><paragraph commented="no" display-inline="yes-display-inline" id="H87099E3804354D918A91468AD7B2FD94"><enum>(1)</enum><text display-inline="yes-display-inline">A joint resolution described in subsection (a) shall be referred to the committees in each House of Congress with jurisdiction under the rules of the House of Representatives or the Senate to report a bill to amend the provision of law under which the rule is issued.</text> </paragraph><paragraph commented="no" display-inline="no-display-inline" id="H7B60C293FD474FBE88B0A609C0B70954" indent="up1"><enum>(2)</enum><text display-inline="yes-display-inline">For purposes of this section, the term <term>submission date</term> means the date on which the Congress receives the report submitted under section 801(a)(1).</text> </paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="H3847E75DAF034036BB60AF4075C5445D"><enum>(c)</enum><text display-inline="yes-display-inline">In the Senate, if the committee or committees to which a joint resolution described in subsection (a) has been referred have not reported it at the end of 15 session days after its introduction, such committee or committees shall be automatically discharged from further consideration of the resolution and it shall be placed on the calendar. A vote on final passage of the resolution shall be taken on or before the close of the 15th session day after the resolution is reported by the committee or committees to which it was referred, or after such committee or committees have been discharged from further consideration of the resolution.</text> </subsection><subsection commented="no" display-inline="no-display-inline" id="HD93A745661AB451E9CF7A75AEEE9BA9F"><enum>(d)</enum><paragraph commented="no" display-inline="yes-display-inline" id="HF43FAA7B7F4B4B26B7E80CDB4DD57C2F"><enum>(1)</enum><text display-inline="yes-display-inline">In the Senate, when the committee or committees to which a joint resolution is referred have reported, or when a committee or committees are discharged (under subsection (c)) from further consideration of a joint resolution described in subsection (a), it is at any time thereafter in order (even though a previous motion to the same effect has been disagreed to) for a motion to proceed to the consideration of the joint resolution, and all points of order against the joint resolution (and against consideration of the joint resolution) are waived. The motion is not subject to amendment, or to a motion to postpone, or to a motion to proceed to the consideration of other business. A motion to reconsider the vote by which the motion is agreed to or disagreed to shall not be in order. If a motion to proceed to the consideration of the joint resolution is agreed to, the joint resolution shall remain the unfinished business of the Senate until disposed of.</text> </paragraph><paragraph commented="no" display-inline="no-display-inline" id="HAA5DA8A884B444B59043277DD1E677D9" indent="up1"><enum>(2)</enum><text display-inline="yes-display-inline">In the Senate, debate on the joint resolution, and on all debatable motions and appeals in connection therewith, shall be limited to not more than 2 hours, which shall be divided equally between those favoring and those opposing the joint resolution. A motion to further limit debate is in order and not debatable. An amendment to, or a motion to postpone, or a motion to proceed to the consideration of other business, or a motion to recommit the joint resolution is not in order.</text> </paragraph><paragraph commented="no" display-inline="no-display-inline" id="HFDFDA601E7044F999E8200F0137DAC37" indent="up1"><enum>(3)</enum><text display-inline="yes-display-inline">In the Senate, immediately following the conclusion of the debate on a joint resolution described in subsection (a), and a single quorum call at the conclusion of the debate if requested in accordance with the rules of the Senate, the vote on final passage of the joint resolution shall occur.</text> </paragraph><paragraph commented="no" display-inline="no-display-inline" id="H8DD9F036FB1E403BA5E88ADAE3C63BA2" indent="up1"><enum>(4)</enum><text display-inline="yes-display-inline">Appeals from the decisions of the Chair relating to the application of the rules of the Senate to the procedure relating to a joint resolution described in subsection (a) shall be decided without debate.</text> </paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="H36224F089CCD400998550A90B3FF92D2"><enum>(e)</enum><paragraph commented="no" display-inline="yes-display-inline" id="H33B54A325C8B4A58B598F05029956E4C"><enum>(1)</enum><text display-inline="yes-display-inline">In the House of Representatives, if the committee or committees to which a joint resolution described in subsection (a) has been referred have not reported it at the end of 15 legislative days after its introduction, such committee or committees shall be automatically discharged from further consideration of the resolution and it shall be placed on the appropriate calendar. A vote on final passage of the resolution shall be taken on or before the close of the 15th legislative day after the resolution is reported by the committee or committees to which it was referred, or after such committee or committees have been discharged from further consideration of the resolution.</text> </paragraph><paragraph commented="no" display-inline="no-display-inline" id="H1E4B46462C29445AAA6A9D7D4C5E49E2" indent="up1"><enum>(2)</enum><subparagraph commented="no" display-inline="yes-display-inline" id="HC366EA70B1E846E9A763269D5787B10A"><enum>(A)</enum><text display-inline="yes-display-inline">A motion in the House of Representatives to proceed to the consideration of a resolution shall be privileged and not debatable. An amendment to the motion shall not be in order, nor shall it be in order to move to reconsider the vote by which the motion is agreed to or disagreed to.</text> </subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="HB9DC9D9679F0499A9229D93F3E7E6F44" indent="up1"><enum>(B)</enum><text display-inline="yes-display-inline">Debate in the House of Representatives on a resolution shall be limited to not more than two hours, which shall be divided equally between those favoring and those opposing the resolution. A motion to further limit debate shall not be debatable. No amendment to, or motion to recommit, the resolution shall be in order. It shall not be in order to reconsider the vote by which a resolution is agreed to or disagreed to.</text> </subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="H729535F2926845DE8DAB75EF2DA9B56D" indent="up1"><enum>(C)</enum><text display-inline="yes-display-inline">Motions to postpone, made in the House of Representatives with respect to the consideration of a resolution, and motions to proceed to the consideration of other business, shall be decided without debate.</text> </subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="H2F38272E8C404A8494276F7034EA9852" indent="up1"><enum>(D)</enum><text display-inline="yes-display-inline">All appeals from the decisions of the Chair relating to the application of the Rules of the House of Representatives to the procedure relating to a resolution shall be decided without debate.</text> </subparagraph></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="H8385BC8370CF4A24B1CCF1536732B570"><enum>(f)</enum><text display-inline="yes-display-inline">If, before the passage by one House of a joint resolution of that House described in subsection (a), that House receives from the other House a joint resolution described in subsection (a), then the following procedures shall apply with respect to a joint resolution described in subsection (a) of the House receiving the joint resolution—</text> <paragraph commented="no" display-inline="no-display-inline" id="H779117347E83440FB8EC9569EC6D8A78"><enum>(1)</enum><text display-inline="yes-display-inline">the procedure in that House shall be the same as if no joint resolution had been received from the other House; but</text> </paragraph><paragraph id="H480B580011854736B14C1A0E1AB85851"><enum>(2)</enum><text>the vote on final passage shall be on the joint resolution of the other House.</text> </paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="HFA210D77399C4070860CDAB18B2B6AA5"><enum>(g)</enum><text display-inline="yes-display-inline">The enactment of a resolution of approval does not serve as a grant or modification of statutory authority by Congress for the promulgation of a rule, does not extinguish or affect any claim, whether substantive or procedural, against any alleged defect in a rule, and shall not form part of the record before the court in any judicial proceeding concerning a rule.</text> </subsection><subsection commented="no" display-inline="no-display-inline" id="H113DA28EFBAA453AB76A20351E0CC11E"><enum>(h)</enum><text display-inline="yes-display-inline">This section and section 803 are enacted by Congress—</text> <paragraph commented="no" display-inline="no-display-inline" id="H0FEC74DB68C844CE8F213FE5920D3212"><enum>(1)</enum><text display-inline="yes-display-inline">as an exercise of the rulemaking power of the Senate and House of Representatives, respectively, and as such it is deemed a part of the rules of each House, respectively, but applicable only with respect to the procedure to be followed in that House in the case of a joint resolution described in subsection (a), and it supersedes other rules only to the extent that it is inconsistent with such rules; and</text> </paragraph><paragraph commented="no" display-inline="no-display-inline" id="HA042DC3656CF4FD7A0E693FAC1617197"><enum>(2)</enum><text display-inline="yes-display-inline">with full recognition of the constitutional right of either House to change the rules (so far as relating to the procedure of that House) at any time, in the same manner, and to the same extent as in the case of any other rule of that House.</text> </paragraph></subsection></section><section commented="no" display-inline="no-display-inline" id="H777F50DC436347CB884461B1755BFB2C" section-type="subsequent-section"><enum>803.</enum><header display-inline="yes-display-inline">Congressional disapproval procedure for nonmajor rules</header> <subsection commented="no" display-inline="no-display-inline" id="H9D7B9A470F86437EBA127A10CF1A1768"><enum>(a)</enum><text display-inline="yes-display-inline">For purposes of this section, the term <term>joint resolution</term> means only a joint resolution introduced in the period beginning on the date on which the report referred to in section 801(a)(1)(A) is received by Congress and ending 60 days thereafter (excluding days either House of Congress is adjourned for more than 3 days during a session of Congress), the matter after the resolving clause of which is as follows: <quote>That Congress disapproves the nonmajor rule submitted by the _ _ relating to _ _, and such rule shall have no force or effect.</quote> (The blank spaces being appropriately filled in).</text> </subsection><subsection commented="no" display-inline="no-display-inline" id="HB742C2FEC39C490ABD68E719298A480B"><enum>(b)</enum><paragraph commented="no" display-inline="yes-display-inline" id="HF8DBA97C8E26452EAB31BEA4AA8FB358"><enum>(1)</enum><text display-inline="yes-display-inline">A joint resolution described in subsection (a) shall be referred to the committees in each House of Congress with jurisdiction.</text> </paragraph><paragraph commented="no" display-inline="no-display-inline" id="HEE37EC26893746C7927BFFBBDAA4C050" indent="up1"><enum>(2)</enum><text display-inline="yes-display-inline">For purposes of this section, the term submission or publication date means the later of the date on which—</text> <subparagraph commented="no" display-inline="no-display-inline" id="H18E79A46CFFC4C8A88FB47EDF9C8CE23"><enum>(A)</enum><text display-inline="yes-display-inline">the Congress receives the report submitted under section 801(a)(1); or</text> </subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="H4D5985A45FA74CE09DBC54D27CAE3B77"><enum>(B)</enum><text display-inline="yes-display-inline">the nonmajor rule is published in the Federal Register, if so published.</text> </subparagraph></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="HE5E2377DE5D6455997EA35F97DE6F8EE"><enum>(c)</enum><text display-inline="yes-display-inline">In the Senate, if the committee to which is referred a joint resolution described in subsection (a) has not reported such joint resolution (or an identical joint resolution) at the end of 15 session days after the date of introduction of the joint resolution, such committee may be discharged from further consideration of such joint resolution upon a petition supported in writing by 30 Members of the Senate, and such joint resolution shall be placed on the calendar.</text> </subsection><subsection commented="no" display-inline="no-display-inline" id="HF553AA61C55844EBADE34C37433613C4"><enum>(d)</enum><paragraph commented="no" display-inline="yes-display-inline" id="HA8CB88BD3723497191DF56B2E2C67030"><enum>(1)</enum><text display-inline="yes-display-inline">In the Senate, when the committee to which a joint resolution is referred has reported, or when a committee is discharged (under subsection (c)) from further consideration of a joint resolution described in subsection (a), it is at any time thereafter in order (even though a previous motion to the same effect has been disagreed to) for a motion to proceed to the consideration of the joint resolution, and all points of order against the joint resolution (and against consideration of the joint resolution) are waived. The motion is not subject to amendment, or to a motion to postpone, or to a motion to proceed to the consideration of other business. A motion to reconsider the vote by which the motion is agreed to or disagreed to shall not be in order. If a motion to proceed to the consideration of the joint resolution is agreed to, the joint resolution shall remain the unfinished business of the Senate until disposed of.</text> </paragraph><paragraph commented="no" display-inline="no-display-inline" id="H0F33B08920674F36ABB7FEA14980D8A7" indent="up1"><enum>(2)</enum><text display-inline="yes-display-inline">In the Senate, debate on the joint resolution, and on all debatable motions and appeals in connection therewith, shall be limited to not more than 10 hours, which shall be divided equally between those favoring and those opposing the joint resolution. A motion to further limit debate is in order and not debatable. An amendment to, or a motion to postpone, or a motion to proceed to the consideration of other business, or a motion to recommit the joint resolution is not in order.</text> </paragraph><paragraph commented="no" display-inline="no-display-inline" id="HD0F4CF516FCD4793BC7C104569B9DE92" indent="up1"><enum>(3)</enum><text display-inline="yes-display-inline">In the Senate, immediately following the conclusion of the debate on a joint resolution described in subsection (a), and a single quorum call at the conclusion of the debate if requested in accordance with the rules of the Senate, the vote on final passage of the joint resolution shall occur.</text> </paragraph><paragraph commented="no" display-inline="no-display-inline" id="H54AF4315F0A147AE86DA8B767E293E0C" indent="up1"><enum>(4)</enum><text display-inline="yes-display-inline">Appeals from the decisions of the Chair relating to the application of the rules of the Senate to the procedure relating to a joint resolution described in subsection (a) shall be decided without debate.</text> </paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="HE7BBEFB6CBF748F3911A23C86A365303"><enum>(e)</enum><text display-inline="yes-display-inline">In the Senate the procedure specified in subsection (c) or (d) shall not apply to the consideration of a joint resolution respecting a nonmajor rule—</text> <paragraph commented="no" display-inline="no-display-inline" id="HB3E1DBE813874168AF40624EC1DBB467"><enum>(1)</enum><text display-inline="yes-display-inline">after the expiration of the 60 session days beginning with the applicable submission or publication date, or</text> </paragraph><paragraph commented="no" display-inline="no-display-inline" id="HAA3B0F5BB8494D8995A20FD6328B91C3"><enum>(2)</enum><text display-inline="yes-display-inline">if the report under section 801(a)(1)(A) was submitted during the period referred to in section 801(d)(1), after the expiration of the 60 session days beginning on the 15th session day after the succeeding session of Congress first convenes.</text> </paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="H70D3600974874EF399D1B1A2D14D9891"><enum>(f)</enum><text display-inline="yes-display-inline">If, before the passage by one House of a joint resolution of that House described in subsection (a), that House receives from the other House a joint resolution described in subsection (a), then the following procedures shall apply:</text> <paragraph id="H7EAF78038220435FBAC3112BD79D5B90"><enum>(1)</enum><text>The joint resolution of the other House shall not be referred to a committee.</text> </paragraph><paragraph commented="no" display-inline="no-display-inline" id="H5B283B01EBB1438CB22B75171204D65A"><enum>(2)</enum><text display-inline="yes-display-inline">With respect to a joint resolution described in subsection (a) of the House receiving the joint resolution—</text> <subparagraph commented="no" display-inline="no-display-inline" id="H2B27E9C7F8C54E9E9FFEC4F050DDC4EE"><enum>(A)</enum><text display-inline="yes-display-inline">the procedure in that House shall be the same as if no joint resolution had been received from the other House; but</text> </subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="H4A70CE15510F4718A08FD0978EC482AF"><enum>(B)</enum><text display-inline="yes-display-inline">the vote on final passage shall be on the joint resolution of the other House.</text> </subparagraph></paragraph></subsection></section><section commented="no" display-inline="no-display-inline" id="HC009FE2DED5E43C097DF054188BBC3F6" section-type="subsequent-section"><enum>804.</enum><header display-inline="yes-display-inline">Definitions</header><text display-inline="no-display-inline">For purposes of this chapter—</text> <paragraph commented="no" display-inline="no-display-inline" id="H74CCC959528F4F2B8776B6F49E836C27"><enum>(1)</enum><text display-inline="yes-display-inline">The term <term>Federal agency</term> means any agency as that term is defined in section 551(1).</text> </paragraph><paragraph commented="no" display-inline="no-display-inline" id="HC568B0E4C5E34E11B96837FAD39311D3"><enum>(2)</enum><text display-inline="yes-display-inline">The term <term>major rule</term> means any rule, including an interim final rule, that the Administrator of the Office of Information and Regulatory Affairs of the Office of Management and Budget finds has resulted in or is likely to result in—</text> <subparagraph commented="no" display-inline="no-display-inline" id="H4399A2CA7A8F44F7BCFDF0B35229B1BD"><enum>(A)</enum><text display-inline="yes-display-inline">an annual effect on the economy of $100,000,000 or more;</text> </subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="HBABDA63C2EFA4B82928EB30C23178CAA"><enum>(B)</enum><text display-inline="yes-display-inline">a major increase in costs or prices for consumers, individual industries, Federal, State, or local government agencies, or geographic regions; or</text> </subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="H272953225F39490D84D00056B0816831"><enum>(C)</enum><text display-inline="yes-display-inline">significant adverse effects on competition, employment, investment, productivity, innovation, or on the ability of United States-based enterprises to compete with foreign-based enterprises in domestic and export markets.</text> </subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="HBE527F04AED340EC9CB2F7BE05AFD9FB"><enum>(3)</enum><text display-inline="yes-display-inline">The term <term>nonmajor rule</term> means any rule that is not a major rule.</text> </paragraph><paragraph commented="no" display-inline="no-display-inline" id="H0BDF7F29E4344C0B915B246798ABE1AF"><enum>(4)</enum><text display-inline="yes-display-inline">The term <term>rule</term> has the meaning given such term in section 551, except that such term does not include—</text> <subparagraph commented="no" display-inline="no-display-inline" id="HA4F68765B35942F0BFD3630B2AE40879"><enum>(A)</enum><text display-inline="yes-display-inline">any rule of particular applicability, including a rule that approves or prescribes for the future rates, wages, prices, services, or allowances therefore, corporate or financial structures, reorganizations, mergers, or acquisitions thereof, or accounting practices or disclosures bearing on any of the foregoing;</text> </subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="H3F2BA7E1063A47698F64856E393B1F1B"><enum>(B)</enum><text display-inline="yes-display-inline">any rule relating to agency management or personnel; or</text> </subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="H7C3930ABDBF44633B994C189B1AEBE9F"><enum>(C)</enum><text display-inline="yes-display-inline">any rule of agency organization, procedure, or practice that does not substantially affect the rights or obligations of non-agency parties.</text> </subparagraph></paragraph></section><section commented="no" display-inline="no-display-inline" id="H85EE7C7368F941F48B7D971E74B6DD7F" section-type="subsequent-section"><enum>805.</enum><header display-inline="yes-display-inline">Judicial review</header> <subsection id="HAB16FEB15A334FAA955B9E1F24960615"><enum>(a)</enum><text display-inline="yes-display-inline">No determination, finding, action, or omission under this chapter shall be subject to judicial review.</text> </subsection><subsection id="H39E35D9FE0DC4B0AB7318C01B30CD68E"><enum>(b)</enum><text display-inline="yes-display-inline">Notwithstanding subsection (a), a court may determine whether a Federal agency has completed the necessary requirements under this chapter for a rule to take effect.</text> </subsection></section><section commented="no" display-inline="no-display-inline" id="H8929AECB23F24B5297A52F3FB9283329" section-type="subsequent-section"><enum>806.</enum><header display-inline="yes-display-inline">Exemption for monetary policy</header><text display-inline="no-display-inline">Nothing in this chapter shall apply to rules that concern monetary policy proposed or implemented by the Board of Governors of the Federal Reserve System or the Federal Open Market Committee.</text> </section><section commented="no" display-inline="no-display-inline" id="H14DF0853FFF94EE388E7CEFC385AE99D" section-type="subsequent-section"><enum>807.</enum><header display-inline="yes-display-inline">Effective date of certain rules</header><text display-inline="no-display-inline">Notwithstanding section 801—</text> <paragraph commented="no" display-inline="no-display-inline" id="H8E185169392749FB8249AE4FDC88296E"><enum>(1)</enum><text display-inline="yes-display-inline">any rule that establishes, modifies, opens, closes, or conducts a regulatory program for a commercial, recreational, or subsistence activity related to hunting, fishing, or camping; or</text> </paragraph><paragraph commented="no" display-inline="no-display-inline" id="HACAD13C44029460C8B1BE965E5A80D52"><enum>(2)</enum><text display-inline="yes-display-inline">any rule other than a major rule which an agency for good cause finds (and incorporates the finding and a brief statement of reasons therefore in the rule issued) that notice and public procedure thereon are impracticable, unnecessary, or contrary to the public interest,</text> </paragraph></section></chapter><quoted-block-continuation-text quoted-block-continuation-text-level="subsection">shall take effect at such time as the Federal agency promulgating the rule determines.</quoted-block-continuation-text><after-quoted-block>.</after-quoted-block></quoted-block> </section></subtitle><subtitle id="HC149EBEADED84DAEB1136A04A57E6DA3"><enum>D</enum><header>Small business regulatory freedom</header> <section id="H6805C9C368AF48579BCA13121AEF29E6"><enum>231.</enum><header>Findings</header><text display-inline="no-display-inline">Congress finds the following:</text> <paragraph id="H64FE5BC4B1434ACD8512DD948A00DA31"><enum>(1)</enum><text>A vibrant and growing small business sector is critical to the recovery of the economy of the United States.</text> </paragraph><paragraph id="H515B9FC4C39044F2936AFA86F964D790"><enum>(2)</enum><text>Regulations designed for application to large-scale entities have been applied uniformly to small businesses and other small entities, sometimes inhibiting the ability of small entities to create new jobs.</text> </paragraph><paragraph id="H9F730A0650F64F7691A5270953F41EC9"><enum>(3)</enum><text>Uniform Federal regulatory and reporting requirements in many instances have imposed on small businesses and other small entities unnecessary and disproportionately burdensome demands, including legal, accounting, and consulting costs, thereby threatening the viability of small entities and the ability of small entities to compete and create new jobs in a global marketplace.</text> </paragraph><paragraph id="H20DDC5A7E48047C190D2550180FC02AE"><enum>(4)</enum><text>Since 1980, Federal agencies have been required to recognize and take account of the differences in the scale and resources of regulated entities, but in many instances have failed to do so.</text> </paragraph><paragraph id="H43305B89EC7F4D7B85B71621F27BD935"><enum>(5)</enum><text>In 2009, there were nearly 70,000 pages in the Federal Register, and, according to research by the Office of Advocacy of the Small Business Administration, the annual cost of Federal regulations totals $1,750,000,000,000. Small firms bear a disproportionate burden, paying approximately 36 percent more per employee than larger firms in annual regulatory compliance costs.</text> </paragraph><paragraph id="H5FC43C2FD16A40D6A4E6E4AAF7501CC1"><enum>(6)</enum><text>All agencies in the Federal Government should fully consider the costs, including indirect economic impacts and the potential for job creation and job loss, of proposed rules, periodically review existing regulations to determine their impact on small entities, and repeal regulations that are unnecessarily duplicative or have outlived their stated purpose.</text> </paragraph><paragraph id="H11433A2283044A979CFD49EBC010ADF0"><enum>(7)</enum><text>It is the intention of Congress to amend chapter 6 of title 5, United States Code, to ensure that all impacts, including foreseeable indirect effects, of proposed and final rules are considered by agencies during the rulemaking process and that the agencies assess a full range of alternatives that will limit adverse economic consequences, enhance economic benefits, and fully address potential job creation or job loss.</text> </paragraph></section><section id="HF4600EE87DA14DB5B65EF9B288491810"><enum>232.</enum><header>Including indirect economic impact in small entity analyses</header><text display-inline="no-display-inline">Section 601 of title 5, United States Code, is amended by adding at the end the following:</text> <quoted-block display-inline="no-display-inline" id="H7DDAC3C004494252AA7402F156842062" style="OLC"> <paragraph id="H2C6ED71254A5423E96F476928B641C41"><enum>(9)</enum><text>the term <term>economic impact</term> means, with respect to a proposed or final rule—</text> <subparagraph id="H8F07C5DEAF4F4A87A6B375B603C6C9B5"><enum>(A)</enum><text>any direct economic effect of the rule on small entities; and</text> </subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="HCD7945915FBA4FC5965CF0FAE59C5050"><enum>(B)</enum><text>any indirect economic effect on small entities, including potential job creation or job loss, that is reasonably foreseeable and that results from the rule, without regard to whether small entities are directly regulated by the rule.</text> </subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </section><section id="H28967DB9A3704A7AAA8BDE0D796FD7F1"><enum>233.</enum><header>Judicial review to allow small entities to challenge proposed regulations</header><text display-inline="no-display-inline">Section 611(a) of title 5, United States Code, is amended—</text> <paragraph id="H44F47864F6014C07B47D2B4EF3F088FE"><enum>(1)</enum><text>in paragraph (1), by inserting <quote>603,</quote> after <quote>601,</quote>;</text> </paragraph><paragraph id="H4E1BF59EDBFD41F5820052CEF1166C23"><enum>(2)</enum><text>in paragraph (2), by inserting <quote>603,</quote> after <quote>601,</quote>;</text> </paragraph><paragraph id="H5C10C2AAE1884542A45D077FEB89B9B2"><enum>(3)</enum><text>by striking paragraph (3) and inserting the following:</text> <quoted-block display-inline="no-display-inline" id="H7092C6AD3CA14B4BAAC1C3777C65AC12" style="OLC"> <paragraph commented="no" display-inline="no-display-inline" id="HF681AE5FBAF046B08E74F704EC3C318D" indent="up1"><enum>(3)</enum><text>A small entity may seek such review during the 1-year period beginning on the date of final agency action, except that—</text> <subparagraph commented="no" display-inline="no-display-inline" id="HF132F160B1E84525A26C4BD7ABF9DF7B"><enum>(A)</enum><text>if a provision of law requires that an action challenging a final agency action be commenced before the expiration of 1 year, the lesser period shall apply to an action for judicial review under this section; and</text> </subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="HFA49FB6C8F7248FBA9C9FC71A35C8F43"><enum>(B)</enum><text>in the case of noncompliance with section 603 or 605(b), a small entity may seek judicial review of agency compliance with such section before the close of the public comment period.</text> </subparagraph></paragraph><after-quoted-block>; and</after-quoted-block></quoted-block> </paragraph><paragraph id="H98DB468CEDB8480AB0826914FE867D6C"><enum>(4)</enum><text>in paragraph (4)—</text> <subparagraph id="HBFDEC2319BA4486F80AFD217A3BBE62E"><enum>(A)</enum><text>in subparagraph (A), by striking <quote>, and</quote> and inserting a semicolon;</text> </subparagraph><subparagraph id="H5754BAEF00F341B18733C6FD23D85269"><enum>(B)</enum><text>in subparagraph (B), by striking the period and inserting <quote>; or</quote>; and</text> </subparagraph><subparagraph id="H85000A9805674C2DA588E62F782D3E61"><enum>(C)</enum><text>by adding at the end the following:</text> <quoted-block display-inline="no-display-inline" id="H007998DE96B24BB99661FF31859EFF22" style="OLC"> <subparagraph id="H05856F9A8D154BD3A9FB6ED3F0488856" indent="up1"><enum>(C)</enum><text>issuing an injunction prohibiting an agency from taking any agency action with respect to a rulemaking until that agency is in compliance with the requirements of section 603 or 605.</text> </subparagraph><after-quoted-block>.</after-quoted-block></quoted-block> </subparagraph></paragraph></section><section id="H2D89339CDA7F486C83ABE83BAC890393"><enum>234.</enum><header>Periodic review and sunset of existing rules</header><text display-inline="no-display-inline">Section 610 of title 5, United States Code, is amended to read as follows:</text> <quoted-block id="H8BD67839599C4896ACE4BC2D6D103200" style="USC"> <section id="HC63E5417C4B44A4CA717B7116D085D32"><enum>610.</enum><header>Periodic review of rules</header> <subsection id="H040A2BFA7EF24890BC295BF9B9B75AB0"><enum>(a)</enum><paragraph commented="no" display-inline="yes-display-inline" id="HC2A03683D4964329B3B2E00C9AEB916D"><enum>(1)</enum><text>Not later than 180 days after the date of enactment of the <short-title>Grow America Act of 2012</short-title>, each agency shall establish a plan for the periodic review of—</text> <subparagraph id="H92454E15AD364064AB4DBC3BC4405282" indent="up1"><enum>(A)</enum><text>each rule issued by the agency that the head of the agency determines has a significant economic impact on a substantial number of small entities, without regard to whether the agency performed an analysis under section 604 with respect to the rule; and</text> </subparagraph><subparagraph id="H2333DA45F47745518E86C1973053A7E5" indent="up1"><enum>(B)</enum><text>any small entity compliance guide required to be published by the agency under section 212 of the Small Business Regulatory Enforcement Fairness Act of 1996 (5 U.S.C. 601 note).</text> </subparagraph></paragraph><paragraph id="HD0B1DFFCC45341BC87FCB6534D84428F" indent="up1"><enum>(2)</enum><text>In reviewing rules and small entity compliance guides under paragraph (1), the agency shall determine whether the rules and guides should—</text> <subparagraph id="HE3FDB52E6DA342098CCB53CECAE0D588"><enum>(A)</enum><text>be amended or rescinded, consistent with the stated objectives of applicable statutes, to minimize any significant adverse economic impacts on a substantial number of small entities (including an estimate of any adverse impacts on job creation and employment by small entities); or</text> </subparagraph><subparagraph id="H1A660ECA2A4C4D35A5E82FB24CB105E1"><enum>(B)</enum><text>continue in effect without change.</text> </subparagraph></paragraph><paragraph id="H59A336A0AA434B809CD6D2CF73CF7DDB" indent="up1"><enum>(3)</enum><text>Each agency shall publish the plan established under paragraph (1) in the Federal Register and on the Web site of the agency.</text> </paragraph><paragraph id="H5FF529DAA5BE4B4FA18C50A43B3ECF4E" indent="up1"><enum>(4)</enum><text>An agency may amend the plan established under paragraph (1) at any time by publishing the amendment in the Federal Register and on the Web site of the agency.</text> </paragraph></subsection><subsection id="H601E052AE672425AACA8C7F33FAB2582"><enum>(b)</enum><paragraph commented="no" display-inline="yes-display-inline" id="H8017AAD415B6499692CBB002AB17BDF3"><enum>(1)</enum><text>Each plan established under subsection (a) shall provide for—</text> <subparagraph id="HD3172B00EF734B0AB3C745FF40615DBC" indent="up1"><enum>(A)</enum><text>the review of each rule and small entity compliance guide described in subsection (a)(1) in effect on the date of enactment of the <short-title>Grow America Act of 2012</short-title>—</text> <clause id="H2CEEC0D8F40B48D7B15935A0064A5706"><enum>(i)</enum><text>not later than 8 years after the date of publication of the plan in the Federal Register; and</text> </clause><clause id="HD6CA8EB3B6A6463F8437BB5FACAC36A8"><enum>(ii)</enum><text>every 8 years thereafter; and</text> </clause></subparagraph><subparagraph id="H7CD5A523B105498CB386C52AC67527CB" indent="up1"><enum>(B)</enum><text>the review of each rule adopted and small entity compliance guide described in subsection (a)(1) that is published after the date of enactment of the <short-title>Grow America Act of 2012</short-title>—</text> <clause id="H9A222BF6FFA642C4A4A651EEB6896295"><enum>(i)</enum><text>not later than 8 years after the publication of the final rule in the Federal Register; and</text> </clause><clause id="H27EADA8CCAE44336AB29FAFC209CDA9D"><enum>(ii)</enum><text>every 8 years thereafter.</text> </clause></subparagraph></paragraph><paragraph id="H2B9625B552DF46519717DE916A8A6D01" indent="up1"><enum>(2)</enum><subparagraph commented="no" display-inline="yes-display-inline" id="HADD758548A044D6BA34B1D7AF6C2D51F"><enum>(A)</enum><text>If an agency determines that the review of the rules and guides described in paragraph (1)(A) cannot be completed before the date described in paragraph (1)(A)(i), the agency—</text> <clause id="H5BC9084F9BAB4084B7707D8A41DB3EE0" indent="up1"><enum>(i)</enum><text>shall publish a statement in the Federal Register certifying that the review cannot be completed; and</text> </clause><clause id="H79886FDFE0944AA1A483FAC9DA55D555" indent="up1"><enum>(ii)</enum><text>may extend the period for the review of the rules and guides described in paragraph (1)(A) for a period of not more than 2 years, if the agency publishes notice of the extension in the Federal Register.</text> </clause></subparagraph><subparagraph id="HB0C489F8BB164DED8EE1ED46AC417CAE" indent="up1"><enum>(B)</enum><text>An agency shall transmit to the Chief Counsel for Advocacy of the Small Business Administration and Congress notice of any statement or notice described in subparagraph (A).</text> </subparagraph></paragraph></subsection><subsection id="H92CF8FF1AF184987A0DB13460B1A5769"><enum>(c)</enum><text>In reviewing rules under the plan required under subsection (a), the agency shall consider—</text> <paragraph id="HD429630C65E5431781531019B379F77D"><enum>(1)</enum><text>the continued need for the rule;</text> </paragraph><paragraph id="H1C7FAEE118034CC387C890EE3C535082"><enum>(2)</enum><text>the nature of complaints received by the agency from small entities concerning the rule;</text> </paragraph><paragraph id="H013A8350C19649B3B447A76C2BB42E96"><enum>(3)</enum><text>comments by the Regulatory Enforcement Ombudsman and the Chief Counsel for Advocacy of the Small Business Administration;</text> </paragraph><paragraph id="H4FB0D48FCF274674806016880D0E79FE"><enum>(4)</enum><text>the complexity of the rule;</text> </paragraph><paragraph id="H22A24728B87C41F2873D784819581B30"><enum>(5)</enum><text>the extent to which the rule overlaps, duplicates, or conflicts with other Federal rules and, unless the head of the agency determines it to be infeasible, State and local rules;</text> </paragraph><paragraph id="HCDFCCE5A6BDF475BBF9B13C5195A2085"><enum>(6)</enum><text>the contribution of the rule to the cumulative economic impact of all Federal rules on the class of small entities affected by the rule, unless the head of the agency determines that such a calculation cannot be made;</text> </paragraph><paragraph id="H5B6B08E62D8641448F7333544A749C8F"><enum>(7)</enum><text>the length of time since the rule has been evaluated, or the degree to which technology, economic conditions, or other factors have changed in the area affected by the rule; and</text> </paragraph><paragraph id="H2F6A6149DE04453698334E38C270D4E6"><enum>(8)</enum><text>the impact of the rule, including—</text> <subparagraph id="HAEEA9832826A412D82597DDD89B44348"><enum>(A)</enum><text>the estimated number of small entities to which the rule will apply;</text> </subparagraph><subparagraph id="HCF68C055269240EBBAB5B4D6663CE8F0"><enum>(B)</enum><text>the estimated number of small entity jobs that will be lost or created due to the rule; and</text> </subparagraph><subparagraph id="H43DF52A852034447B41009F7C4166EAD"><enum>(C)</enum><text>the projected reporting, recordkeeping, and other compliance requirements of the proposed rule, including—</text> <clause id="HE3B5D9646E9D4B32936F2C438D4CAB6E"><enum>(i)</enum><text>an estimate of the classes of small entities that will be subject to the requirement; and</text> </clause><clause id="H496D86751FFD4CCBA74F749FA547EDBD"><enum>(ii)</enum><text>the type of professional skills necessary for preparation of the report or record.</text> </clause></subparagraph></paragraph></subsection><subsection id="H9EDCBEA51A6946BC854A5257AB600967"><enum>(d)</enum><paragraph commented="no" display-inline="yes-display-inline" id="H5C5177E41AFD4E52850B317E4841B336"><enum>(1)</enum><text>Each agency shall submit an annual report regarding the results of the review required under subsection (a) to—</text> <subparagraph id="H2E0822DF7D0849DDB8ACA1A9865B6EF4" indent="up1"><enum>(A)</enum><text>Congress; and</text> </subparagraph><subparagraph id="HCE710ECECEFC4EC1A81091B6111435B0" indent="up1"><enum>(B)</enum><text>in the case of an agency that is not an independent regulatory agency (as defined in section 3502(5) of title 44), the Administrator of the Office of Information and Regulatory Affairs of the Office of Management and Budget.</text> </subparagraph></paragraph><paragraph id="HC73A82671036432ABE97353FB560517F" indent="up1"><enum>(2)</enum><text>Each report required under paragraph (1) shall include a description of any rule or guide with respect to which the agency made a determination of infeasibility under paragraph (5) or (6) of subsection (c), together with a detailed explanation of the reasons for the determination.</text> </paragraph></subsection><subsection id="H65C177E62F9B4751837253867304F330"><enum>(e)</enum><text>Each agency shall publish in the Federal Register and on the Web site of the agency a list of the rules and small entity compliance guides to be reviewed under the plan required under subsection (a) that includes—</text> <paragraph id="HE670BDD42A1745D196731297516AF121"><enum>(1)</enum><text>a brief description of each rule or guide;</text> </paragraph><paragraph id="H72B7C153425F4F548C2397296B622A2A"><enum>(2)</enum><text>for each rule, the reason why the head of the agency determined that the rule has a significant economic impact on a substantial number of small entities (without regard to whether the agency had prepared a final regulatory flexibility analysis for the rule); and</text> </paragraph><paragraph id="HCFC73AA228A74B00B2963B2E83CA56DA"><enum>(3)</enum><text>a request for comments from the public, the Chief Counsel for Advocacy of the Small Business Administration, and the Regulatory Enforcement Ombudsman concerning the enforcement of the rules or publication of the guides.</text> </paragraph></subsection><subsection id="H912106BB16324352BE6E20F1CD035FC7"><enum>(f)</enum><paragraph commented="no" display-inline="yes-display-inline" id="HC85D42E4A308413CB03276F4FEECFCCC"><enum>(1)</enum><text>With respect to each agency, not later than 6 months after each date described in subsection (b)(1), the Chief Counsel for Advocacy of the Small Business Administration shall determine whether the agency has completed the review required under subsection (b).</text> </paragraph><paragraph id="H0C5610AE4D7744C2A049C1B2D52C72AB" indent="up1"><enum>(2)</enum><text>If, after a review under paragraph (1), the Chief Counsel for Advocacy of the Small Business Administration determines that an agency has failed to complete the review required under subsection (b), each rule issued by the agency that the head of the agency determined under subsection (a) has a significant economic impact on a substantial number of small entities shall immediately cease to have effect.</text> </paragraph></subsection></section><after-quoted-block>.</after-quoted-block></quoted-block> </section><section id="H25FBA0A159BE45C2B34F14328E0E7187"><enum>235.</enum><header>Requiring small business review panels for all agencies</header> <subsection id="H590AA978E5E14C42BC12E4F9D8D2E1E5"><enum>(a)</enum><header>Agencies</header><text display-inline="yes-display-inline">Section 609 of title 5, United States Code, is amended—</text> <paragraph id="HB5739545D2D046A39709A1C435D75DDB"><enum>(1)</enum><text display-inline="yes-display-inline">in subsection (b), by striking <quote>a covered agency</quote> each place it appears and inserting <quote>an agency</quote>; and</text> </paragraph><paragraph id="H4A8DD771CE3247C2A916BA313B83C514"><enum>(2)</enum><text>in subsection (e)(1), by striking <quote>the covered agency</quote> and inserting <quote>the agency</quote>.</text> </paragraph></subsection><subsection id="HF16131FF429045CBACCE6184BE05D266"><enum>(b)</enum><header>Technical and conforming amendments</header> <paragraph id="H85AD82795D0B4214B66AFCB773A97856"><enum>(1)</enum><header>Section <enum-in-header>609</enum-in-header></header><text>Section 609 of title 5, United States Code, is amended—</text> <subparagraph id="HD0873EE513C346418F170F27C75D982E"><enum>(A)</enum><text>by striking subsection (d), as amended by section 1100G(a) of Public Law 111–203 (124 Stat. 2112); and</text> </subparagraph><subparagraph id="HC0074ECD75E24BB8AFDFB8074274D71C"><enum>(B)</enum><text>by redesignating subsection (e) as subsection (d).</text> </subparagraph></paragraph><paragraph id="H80EFA40B024543B88BCB8B8C8B366D0D"><enum>(2)</enum><header>Section <enum-in-header>603</enum-in-header></header><text>Section 603(d) of title 5, United States Code, as added by section 1100G(b) of Public Law 111–203 (124 Stat. 2112), is amended—</text> <subparagraph id="HE14AE4C251DA4B9BB117B331867EABCA"><enum>(A)</enum><text>in paragraph (1), by striking <quote>a covered agency, as defined in section 609(d)(2)</quote> and inserting <quote>the Bureau of Consumer Financial Protection</quote>; and</text> </subparagraph><subparagraph id="HF25FC3D09BB249369536824FEFAC4300"><enum>(B)</enum><text>in paragraph (2), by striking <quote>A covered agency, as defined in section 609(d)(2),</quote> and inserting <quote>The Bureau of Consumer Financial Protection</quote>.</text> </subparagraph></paragraph><paragraph id="HA061E0782E994ADC9E78042C468FDA20"><enum>(3)</enum><header>Section <enum-in-header>604</enum-in-header></header><text>Section 604(a) of title 5, United States Code, is amended—</text> <subparagraph commented="no" id="H9E686E8941F54573B918CFF4235E03A2"><enum>(A)</enum><text>by redesignating the second paragraph designated as paragraph (6) (relating to covered agencies), as added by section 1100G(c)(3) of Public Law 111–203 (124 Stat. 2113), as paragraph (7); and</text> </subparagraph><subparagraph id="H37402DFE14D24908A675C018124B67D1"><enum>(B)</enum><text>in paragraph (7), as so redesignated—</text> <clause id="HA4A33509E6684263B16091F4D843005E"><enum>(i)</enum><text>by striking <quote>a covered agency, as defined in section 609(d)(2)</quote> and inserting <quote>the Bureau of Consumer Financial Protection</quote>; and</text> </clause><clause id="H1F30744F853748978C644BF4D6F64F9E"><enum>(ii)</enum><text>by striking <quote>the agency</quote> and inserting <quote>the Bureau</quote>.</text> </clause></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="H65AF888D05C244C2BBCD8C13593F9DF2"><enum>(4)</enum><header>Effective date</header><text>The amendments made by this subsection shall take effect on the date of enactment of this Act and apply on and after the designated transfer date established under section 1062 of Public Law 111–203 (12 U.S.C. 5582).</text> </paragraph></subsection></section><section id="HDC6BA81BACDD49E08B81B8DB81BAA0DB"><enum>236.</enum><header>Expanding the Regulatory Flexibility Act to agency guidance documents</header><text display-inline="no-display-inline">Section 601(2) of title 5, United States Code, is amended by inserting after <quote>public comment</quote> the following: <quote>and any significant guidance document, as defined in the Office of Management and Budget Final Bulletin for Agency Good Guidance Procedures (72 Fed. Reg. 3432; January 25, 2007)</quote>.</text> </section><section id="HA277CF5EA8AF434EB106728A6A6071C4"><enum>237.</enum><header>Requiring the Internal Revenue Service to consider small entity impact</header> <subsection id="H2AC7478DAB824E71A52B7CC6800B1806"><enum>(a)</enum><header>In general</header><text>Section 603(a) of title 5, United States Code, is amended, in the fifth sentence, by striking <quote>but only</quote> and all that follows through the period at the end and inserting <quote>but only to the extent that such interpretative rules, or the statutes upon which such rules are based, impose on small entities a collection of information requirement or a recordkeeping requirement.</quote>.</text> </subsection><subsection id="HE64A2DDE0AD045ADA91F064474D6CD62"><enum>(b)</enum><header>Definitions</header><text>Section 601 of title 5, United States Code, as amended by section 332 of this title, is amended—</text> <paragraph id="HD8DEBEB353FE4D599C33EB1DB7702FD5"><enum>(1)</enum><text>in paragraph (6), by striking <quote>and</quote> at the end; and</text> </paragraph><paragraph id="H1FE9FCB08F8C4F8CAF3DC2DEBC7947AA"><enum>(2)</enum><text>by striking paragraphs (7) and (8) and inserting the following:</text> <quoted-block display-inline="no-display-inline" id="H37391987E86B48E58D479EE9191B762C" style="OLC"> <paragraph id="H13E9664FF4C149C5A1EF95DFD30650B6"><enum>(7)</enum><text>the term <term>collection of information</term> has the meaning given that term in section 3502(3) of title 44;</text> </paragraph><paragraph commented="no" display-inline="no-display-inline" id="H0949AEA867314B609F988D8C5A6DDFAF"><enum>(8)</enum><text>the term <term>recordkeeping requirement</term> has the meaning given that term in section 3502(13) of title 44; and</text> </paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph></subsection></section><section id="H9CD2427A165448478DC029874E5B395A"><enum>238.</enum><header>Mitigating penalties on small entities</header><text display-inline="no-display-inline">Section 223 of the Small Business Regulatory Enforcement Fairness Act of 1996 (Public Law 104–121; 110 Stat. 862) is amended by adding at the end the following:</text> <quoted-block display-inline="no-display-inline" id="HC6FF5771E1234EF2B67D2A4131B61917" style="OLC"> <subsection id="H98DD42286D3D47D88DC3ADA26AF162D5"><enum>(d)</enum><header>Review of policies and programs</header> <paragraph id="H1EC0B2CE78D6479B8EDE151CB8761705"><enum>(1)</enum><header>Review required</header><text>Not later than 6 months after the date of enactment of this subsection, and every 2 years thereafter, each agency regulating the activities of small entities shall review the policy or program established by the agency under subsection (a) and make any modifications to the policy or program necessary to comply with the requirements under this section.</text> </paragraph><paragraph id="H4A0D906C416D4B86A1852F0D3336EB61"><enum>(2)</enum><header>Report</header><text>Not later than 6 months after the date of enactment of this subsection, and every 2 years thereafter, each agency described in paragraph (1) shall submit a report on the review and modifications required under paragraph (1) to—</text> <subparagraph id="H97124BED421441159D086431C17386F2"><enum>(A)</enum><text>the Committee on Small Business and Entrepreneurship and the Committee on Homeland Security and Governmental Affairs of the Senate; and</text> </subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="HFCEFB35594524EAB91E97229A0387CCF"><enum>(B)</enum><text>the Committee on Small Business and the Committee on the Judiciary of the House of Representatives.</text> </subparagraph></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block> </section><section id="H281CD68AC6D44FF2B553447A469AC024"><enum>239.</enum><header>Requiring more detailed small entity analyses</header> <subsection id="HB091FB7B9D5A413C9EEE0ECBFDFC9649"><enum>(a)</enum><header>Initial regulatory flexibility analysis</header><text>Section 603 of title 5, United States Code, as amended by section 1100G(b) of Public Law 111–203 (124 Stat. 2112), is amended—</text> <paragraph id="HD6D8E9DC1D5344F6B820CDBD98EDAFA5"><enum>(1)</enum><text>by striking subsection (b) and inserting the following:</text> <quoted-block id="H36D1FAECDA5B43079BDAF128167CCCD7"> <subsection id="H5E342B67BA57498F95F540DB5E30817A"><enum>(b)</enum><text>Each initial regulatory flexibility analysis required under this section shall contain a detailed statement—</text> <paragraph id="H5EA6C38FF4A34428A67D9C263EE07B7D"><enum>(1)</enum><text>describing the reasons why action by the agency is being considered;</text> </paragraph><paragraph id="H61D07676B79E4D99949C36AD553A2134"><enum>(2)</enum><text>describing the objectives of, and legal basis for, the proposed rule;</text> </paragraph><paragraph id="HA3A166A04E774FA989DAEEA5E17B366D"><enum>(3)</enum><text>estimating the number and type of small entities to which the proposed rule will apply;</text> </paragraph><paragraph id="H983428C9C6B648B8A84222B95054C697"><enum>(4)</enum><text>describing the projected reporting, recordkeeping, and other compliance requirements of the proposed rule, including an estimate of the classes of small entities which will be subject to the requirement and the type of professional skills necessary for preparation of the report and record;</text> </paragraph><paragraph id="H74A219ABCA3D4C14B4E3F4017F3CF2C6"><enum>(5)</enum><text>describing all relevant Federal rules which may duplicate, overlap, or conflict with the proposed rule, or the reasons why such a description could not be provided; and</text> </paragraph><paragraph id="HF4702EA91BB24AA882D558BEB197961B"><enum>(6)</enum><text>estimating the additional cumulative economic impact of the proposed rule on small entities, including job creation and employment by small entities, beyond that already imposed on the class of small entities by the agency, or the reasons why such an estimate is not available.</text> </paragraph></subsection><after-quoted-block>; and</after-quoted-block></quoted-block> </paragraph><paragraph id="H0DFF23B05F9C4B0AB8FAF0C088F8AED9"><enum>(2)</enum><text>by adding at the end the following:</text> <quoted-block act-name="" display-inline="no-display-inline" id="HF60A5BEDCEAB4F4BB7442042757CCCAE" style="USC"> <subsection id="HCF7DDF032FA74E1CA68B19CA09927210"><enum>(e)</enum><text>An agency shall notify the Chief Counsel for Advocacy of the Small Business Administration of any draft rules that may have a significant economic impact on a substantial number of small entities—</text> <paragraph id="H80E09E7274A94787A64593250056C8C6"><enum>(1)</enum><text>when the agency submits a draft rule to the Office of Information and Regulatory Affairs of the Office of Management and Budget under Executive Order 12866, if that order requires the submission; or</text> </paragraph><paragraph id="H2B57579DDDE34C04842086D76AB04C9B"><enum>(2)</enum><text>if no submission to the Office of Information and Regulatory Affairs is required—</text> <subparagraph id="HE981203040A94FBF8F564E5EC75B3F51"><enum>(A)</enum><text>a reasonable period before publication of the rule by the agency; and</text> </subparagraph><subparagraph id="HDA98F15180144ED1BF259368D7F5578F"><enum>(B)</enum><text>in any event, not later than 3 months before the date on which the agency publishes the rule.</text> </subparagraph></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph></subsection><subsection id="H96E451AD8C104DC9BD31165423D2FD8B"><enum>(b)</enum><header>Final regulatory flexibility analysis</header> <paragraph id="HAD932CD6B2CA4256B4F23B534ABF2C75"><enum>(1)</enum><header>In general</header><text>Section 604(a) of title 5, United States Code, is amended—</text> <subparagraph id="HF5E06D6B8D5E40E8BA65AFCCA87BF744"><enum>(A)</enum><text>by inserting <quote>detailed</quote> before <quote>description</quote> each place it appears;</text> </subparagraph><subparagraph id="H0EAC564F57224B28A7FD3572A7BBD0A7"><enum>(B)</enum><text>in paragraph (2)—</text> <clause id="HAE9959F258B44CDEA89CDC7E20FAC34F"><enum>(i)</enum><text>by inserting <quote>detailed</quote> before <quote>statement</quote> each place it appears; and</text> </clause><clause id="H6E09C76D78EA4C6E94CB7C51D06818DB"><enum>(ii)</enum><text>by inserting <quote>(or certification of the proposed rule under section 605(b))</quote> after <quote>initial regulatory flexibility analysis</quote>;</text> </clause></subparagraph><subparagraph commented="no" id="H540CFACD358F4B92A84AE877FEB0DD81"><enum>(C)</enum><text>in paragraph (4), by striking <quote>an explanation</quote> and inserting <quote>a detailed explanation</quote>; and</text> </subparagraph><subparagraph commented="no" id="HC7FF9A51A99E4FC490E59E2FE51C39F7"><enum>(D)</enum><text>in paragraph (6) (relating to a description of steps taken to minimize significant economic impact), as added by section 1601 of the Small Business Jobs Act of 2010 (Public Law 111–240; 124 Stat. 2251), by inserting <quote>detailed</quote> before <quote>statement</quote>.</text> </subparagraph></paragraph><paragraph id="H5E33F5DECD0648429BE485CFE8611A1F"><enum>(2)</enum><header>Publication of analysis on web site, etc</header><text>Section 604(b) of title 5, United States Code, is amended to read as follows:</text> <quoted-block id="HE796DE64E0CB4D94A2605706F9CD53FE"> <subsection id="H0D67CB1DF6654500A349A4A4EAA83915"><enum>(b)</enum><text>The agency shall—</text> <paragraph id="H2D8EA6373AF54C2CBBB283C59B05A0FF"><enum>(1)</enum><text>make copies of the final regulatory flexibility analysis available to the public, including by publishing the entire final regulatory flexibility analysis on the Web site of the agency; and</text> </paragraph><paragraph id="H0C1B8E7B26514DD2BCC4E623A0BFA1FA"><enum>(2)</enum><text>publish in the Federal Register the final regulatory flexibility analysis, or a summary of the analysis that includes the telephone number, mailing address, and address of the Web site where the complete final regulatory flexibility analysis may be obtained.</text> </paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph></subsection><subsection id="HA28DBD4C48C94A0BAE73FE231946A3B7"><enum>(c)</enum><header>Cross-References to other analyses</header><text>Section 605(a) of title 5, United States Code, is amended to read as follows:</text> <quoted-block id="HD1AB633135134E9EAF6862F3D740982A"> <subsection id="HF88ABDEA34F041FABAAF38317506C8BD"><enum>(a)</enum><text>A Federal agency shall be deemed to have satisfied a requirement regarding the content of a regulatory flexibility agenda or regulatory flexibility analysis under section 602, 603, or 604, if the Federal agency provides in the agenda or regulatory flexibility analysis a cross-reference to the specific portion of an agenda or analysis that is required by another law and that satisfies the requirement under section 602, 603, or 604.</text> </subsection><after-quoted-block>.</after-quoted-block></quoted-block> </subsection><subsection id="H0D4CA386A3C741479A027341470155EC"><enum>(d)</enum><header>Certifications</header><text>Section 605(b) of title 5, United States Code, is amended, in the second sentence, by striking <quote>statement providing the factual</quote> and inserting <quote>detailed statement providing the factual and legal</quote>.</text> </subsection><subsection id="HBE79AAD4FEF742D6962CB0D76921D56B"><enum>(e)</enum><header>Quantification requirements</header><text>Section 607 of title 5, United States Code, is amended to read as follows:</text> <quoted-block display-inline="no-display-inline" id="HFC776005C1C344F6AD9A908F39CA529A" style="USC"> <section id="HF7C51F5A55AB4F29ADD597541863D877"><enum>607.</enum><header>Quantification requirements</header><text display-inline="no-display-inline">In complying with sections 603 and 604, an agency shall provide—</text> <paragraph id="HBA950C80BD97417FBDCC57235CC1EF46"><enum>(1)</enum><text>a quantifiable or numerical description of the effects of the proposed or final rule, including an estimate of the potential for job creation or job loss, and alternatives to the proposed or final rule; or</text> </paragraph><paragraph commented="no" display-inline="no-display-inline" id="H88287B7237FF4B77964043AC6CF9E7D6"><enum>(2)</enum><text>a more general descriptive statement regarding the potential for job creation or job loss and a detailed statement explaining why quantification under paragraph (1) is not practicable or reliable.</text> </paragraph></section><after-quoted-block>.</after-quoted-block></quoted-block> </subsection></section><section id="H836E2B1D62FB4964AEF941293B13D966"><enum>240.</enum><header>Ensuring that agencies consider small entity impact during the rulemaking process</header><text display-inline="no-display-inline">Section 605(b) of title 5, United States Code, is amended—</text> <paragraph id="H4CEC94C4AEED4B1C9CCDB98A26DAAFCF"><enum>(1)</enum><text>by inserting <quote>(1)</quote> after <quote>(b)</quote>; and</text> </paragraph><paragraph id="H1E5DAEAEE42D43DEA0F3924CB1DA3E6C"><enum>(2)</enum><text>by adding at the end the following:</text> <quoted-block display-inline="no-display-inline" id="HE0ADC7258AE541D6A7C5B1AA0274058B" style="OLC"> <paragraph id="H2D5E902015CF46AAA0661FF053F4508B" indent="up1"><enum>(2)</enum><text>If, after publication of the certification required under paragraph (1), the head of the agency determines that there will be a significant economic impact on a substantial number of small entities, the agency shall comply with the requirements of section 603 before the publication of the final rule, by—</text> <subparagraph id="H3034BC86DD7A4708BFAC47EB012F923C"><enum>(A)</enum><text>publishing an initial regulatory flexibility analysis for public comment; or</text> </subparagraph><subparagraph id="H6562EBBD35A44F39AB3042D6FDF6C7AC"><enum>(B)</enum><text>re-proposing the rule with an initial regulatory flexibility analysis.</text> </subparagraph></paragraph><paragraph id="HBE8F3C44B67247D9BD3C669EAE20D6A0" indent="up1"><enum>(3)</enum><text>The head of an agency may not make a certification relating to a rule under this subsection, unless the head of the agency has determined—</text> <subparagraph id="HF2984F93B67A41409B3DFD98CB6EC605"><enum>(A)</enum><text>the average cost of the rule for small entities affected or reasonably presumed to be affected by the rule;</text> </subparagraph><subparagraph id="HC7F127ECD8FC4D22B7C31232E5E7C43A"><enum>(B)</enum><text>the number of small entities affected or reasonably presumed to be affected by the rule; and</text> </subparagraph><subparagraph id="H6CFB06D910354459B9D09729C154D0FE"><enum>(C)</enum><text>the number of affected small entities for which that cost will be significant.</text> </subparagraph></paragraph><paragraph id="HD522A9DD9EE841C586F100D570FADE07" indent="up1"><enum>(4)</enum><text>Before publishing a certification and a statement providing the factual basis for the certification under paragraph (1), the head of an agency shall—</text> <subparagraph id="HEF1BE99916EB4954AA347D7144EDA3AB"><enum>(A)</enum><text>transmit a copy of the certification and statement to the Chief Counsel for Advocacy of the Small Business Administration; and</text> </subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="H7CB0A161C86E49BEA5ADE38F1EA93928"><enum>(B)</enum><text>consult with the Chief Counsel for Advocacy of the Small Business Administration on the accuracy of the certification and statement.</text> </subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph></section><section id="H01EC27030E0547B59ABC19B4AAB00D49"><enum>241.</enum><header>Qualifications of the Chief Counsel for Advocacy and authority for the Office of Advocacy</header> <subsection id="H206BEB04AA3547668536C84CA44A2A52"><enum>(a)</enum><header>Qualifications of Chief Counsel for Advocacy</header><text display-inline="yes-display-inline">Section 201 of Public Law 94–305 (15 U.S.C. 634a) is amended by adding at the end the following: <quote>The Chief Counsel for Advocacy shall be an attorney with business experience and expertise in or knowledge of the regulatory process.</quote>.</text> </subsection><subsection id="HE6B8F33DE58C4738A06D181287740E10"><enum>(b)</enum><header>Additional powers of Office of Advocacy</header><text>Section 203 of Public Law 94–305 (15 U.S.C. 634c) is amended—</text> <paragraph id="HF216B33F123E4B899BE840127EFF9389"><enum>(1)</enum><text>in paragraph (5), by striking <quote>and</quote> at the end;</text> </paragraph><paragraph id="HA8CF07BD442C4B91B848D40C13BD0892"><enum>(2)</enum><text>in paragraph (6), by striking the period at the end and inserting <quote>; and</quote>; and</text> </paragraph><paragraph id="HE6B8E56920524B9FABD63C512880DAEF"><enum>(3)</enum><text>by inserting after paragraph (6) the following:</text> <quoted-block display-inline="no-display-inline" id="H4E79DDF835CE4869A95E791331C80B60" style="OLC"> <paragraph id="HE437601CC01F4FEBA9AB771833A6B6DB"><enum>(7)</enum><text>at the discretion of the Chief Counsel for Advocacy, comment on regulatory action by an agency that affects small businesses, without regard to whether the agency is required to file a notice of proposed rulemaking under section 553 of title 5, United States Code, with respect to the action.</text> </paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph></subsection></section><section id="H72E7984EDCEC4F3FADE7DB26466DA551"><enum>242.</enum><header>Technical and conforming amendments</header> <subsection id="HDDFE8710068D47B88DC80802842AB967"><enum>(a)</enum><header>Heading</header><text>Section 605 of title 5, United States Code, is amended in the section heading by striking <quote><header-in-text level="section" style="USC">Avoidance</header-in-text></quote> and all that follows and inserting the following: <quote><header-in-text level="section" style="USC">Incorporations by reference and certification.</header-in-text></quote>.</text> </subsection><subsection id="HF00954D8078349159FBF0555E8C3F3AD"><enum>(b)</enum><header>Table of sections</header><text>The table of sections for chapter 6 of title 5, United States Code, is amended—</text> <paragraph id="H5BEDA204874940C182482D6D16D5294A"><enum>(1)</enum><text>by striking the item relating to section 605 and inserting the following:</text> <quoted-block id="H79CCDEA14F8547398BA46070CD9FC399" style="USC"> <toc regeneration="no-regeneration"> <toc-entry level="section">605. Incorporations by reference and certification.</toc-entry> </toc> <after-quoted-block>; </after-quoted-block></quoted-block> <continuation-text continuation-text-level="paragraph">and</continuation-text></paragraph><paragraph id="H693085337E0B4411B26E01D32F02A053"><enum>(2)</enum><text>by striking the item relating to section 607 and inserting the following:</text> <quoted-block display-inline="no-display-inline" id="HD1BA0CC469154D95AC7FF37E3D13A614" style="OLC"> <toc regeneration="no-regeneration"> <toc-entry level="section">607. Quantification requirements.</toc-entry> </toc> <after-quoted-block>.</after-quoted-block></quoted-block> </paragraph></subsection></section></subtitle><subtitle id="HB9A5C043D23E4478AB3F696565AF9D62"><enum>E</enum><header>Small Business Freedom of Commerce Act</header> <section id="H153590CDF6024A47AD81C450A96816E6"><enum>251.</enum><header>Small business exemptions</header> <subsection id="H81254AF17EF54140A9D5405580D48F41"><enum>(a)</enum><header>Election</header><text display-inline="yes-display-inline">Notwithstanding any other provision of law, a small business concern operating in the United States may elect to be exempt from any Federal rule or regulation issued on or after January 1, 2008.</text> </subsection><subsection id="H1638B755B2D640A983136E73A40F4CF5"><enum>(b)</enum><header>Process for exemption</header> <paragraph id="H291492F9CC4A4F81B26CD1697B4A643F"><enum>(1)</enum><header>Notification of Federal agency</header><text display-inline="yes-display-inline">To be exempt from a rule or regulation under this section, the highest ranking official of a small business concern shall provide to the Federal agency that issued such rule or regulation written notice that the small business concern has elected to be exempt from such rule or regulation.</text> </paragraph><paragraph id="HF3948F82AB3648038AC11130C53CF73A"><enum>(2)</enum><header>Timing</header><text>A small business concern shall be exempt from a rule or regulation beginning on the date that is 30 days after the date that written notice provided by such concern under paragraph (1), with respect to such rule or regulation, is received by the applicable Federal agency.</text> </paragraph><paragraph id="HE53EA48E63974345841B95BD3041768E"><enum>(3)</enum><header>Confirmation of written notice</header><text>Not later than 7 days after receiving a written notice under paragraph (1), the head of the Federal agency that received such notice shall provide to the applicable small business concern written confirmation that such notice has been received.</text> </paragraph></subsection><subsection id="HC5C1CB33D856411CAD8706D92363D8EB"><enum>(c)</enum><header>Notification of public</header><text display-inline="yes-display-inline">A small business concern that is exempt from a Federal rule or regulation under this section shall—</text> <paragraph id="H956225D4FF6D4014867265570F1295FB"><enum>(1)</enum><text>label any product of the concern affected by such exemption in a manner that provides notice that the product is no longer subject to such rule or regulation; and</text> </paragraph><paragraph id="HCDB4758D02564CF08E882308E8DE57FC"><enum>(2)</enum><text display-inline="yes-display-inline">include in any communication of the concern relating to a product or activity affected by such exemption notice that the product or activity is no longer subject to such rule or regulation.</text> </paragraph></subsection><subsection id="HD18931DDE1A7448AB57BED71B01F246B"><enum>(d)</enum><header>Penalties</header><text>A small business concern that fails to satisfy any requirement under this section shall be subject to penalties for noncompliance with an applicable Federal rule or regulation without regard to any election of the small business concern to be exempt from such rule or regulation.</text> </subsection><subsection id="H5A87A0438B824D49BA938FE7DC00B6C0"><enum>(e)</enum><header>Limitations</header><text>A small business concern may not elect to be exempt under this section from a rule or regulation issued by the Department of Defense or the Department of Homeland Security, if the Secretary of Defense or the Secretary of Homeland Security has determined that such rule or regulation is necessary for the security of the United States.</text> </subsection><subsection id="H14ED864128664368BBC6E1DB4F246561"><enum>(f)</enum><header>Definitions</header><text>In this section, the following definitions apply:</text> <paragraph id="H31E9DC9EFF634FA8BC1B8CAF1D82FFA3"><enum>(1)</enum><header>Federal agency</header><text display-inline="yes-display-inline">The term <term>Federal agency</term> means any department, agency, or independent establishment of the Federal Government.</text> </paragraph><paragraph id="HC43912D212E447978D9C6D677CAC7D25"><enum>(2)</enum><header>Small business concern</header><text>The term <term>small business concern</term> has the meaning given such term in section 3(a) of the Small Business Act (15 U.S.C. 632(a)).</text> </paragraph></subsection></section></subtitle><enum>III</enum><header>American energy production</header> <subtitle id="HD3A45F9BD45447478129CCC5711B005A"><enum>A</enum><header>End of Presidential Permatorium on America’s Outer Continental Shelf Resources </header> <section id="H37525BE2827345908E32187E40F9B9DD"><enum>301.</enum><header>Deadline for certain permit applications under existing leases</header> <subsection id="H2FC514C146154CBCB51356D7391698C3"><enum>(a)</enum><header>In general</header><text>A lease under which a covered application is submitted to the Secretary of the Interior shall be considered to be in directed suspension during the period beginning May 27, 2010, and ending on the date the Secretary issues a final decision on the application, if the Secretary does not issue a final decision on the application—</text> <paragraph id="HE7C553F81EB843EDA878F9DF002B64E6"><enum>(1)</enum><text>before the end of the 30-day period beginning on the date of enactment of this Act, in the case of a covered application submitted before such date of enactment; or</text> </paragraph><paragraph id="H76BC7F8BC8754682B69F1C3AE295CC31"><enum>(2)</enum><text display-inline="yes-display-inline">before the end of the 30-day period beginning on the date the application is received by the Secretary, in the case of a covered application submitted on or after such date of enactment.</text> </paragraph></subsection><subsection id="H63D77453E5814F9CA25ADDCF329DEACD"><enum>(b)</enum><header>Covered application</header><text display-inline="yes-display-inline">In this section the term <term>covered application</term> means an application for a permit to drill under an oil and gas lease under the Outer Continental Shelf Lands Act in effect on the date of enactment of this Act, that—</text> <paragraph id="H9824F8C1811E41DE8FF2E1839FBAD397"><enum>(1)</enum><text display-inline="yes-display-inline">represents a resubmission of an approved permit to drill (including an application for a permit to sidetrack) that was approved by the Secretary before May 27, 2010; and</text> </paragraph><paragraph id="HF0F799EFF3684F57AA7AAF32287991E2"><enum>(2)</enum><text>is received by the Secretary after October 12, 2010, and before the end of the 30-day period beginning on the date of enactment of this Act.</text> </paragraph></subsection></section><chapter id="H34B859D5DA4C41F983B24FC1C57F77E0"><enum>1</enum><header>Outer Continental Shelf</header> <section id="H2B3AE6FCB61A425A9ADE6149061404EF"><enum>311.</enum><header>End moratorium of oil and gas leasing in certain areas of the Gulf of Mexico</header> <subsection id="H794FC4F44A09403A929FF705CB6E23B2"><enum>(a)</enum><header>Repeal of Moratorium</header> <paragraph id="HAFF68094A0B04138B1150E74A611A91D"><enum>(1)</enum><header>Repeal</header><text>Subsection (a) of section 104 of the Gulf of Mexico Energy Security Act of 2006 (43 U.S.C. 1331 note; Public Law 109–432) is repealed.</text> </paragraph><paragraph id="HD48AE773A02C48E18B3225FD64389143"><enum>(2)</enum><header>National defense area</header><text>Section 12(d) of the Outer Continental Shelf Lands Act (43 U.S.C. 1341(d)) is amended—</text> <subparagraph id="H03B5F092EBDA43E49E4169F00B076936"><enum>(A)</enum><text>by striking <quote>(d) The United States</quote> and inserting the following:</text> <quoted-block id="HCB9C31B6F535491AA9C4A6AEAD6524AA" style="OLC"> <subsection id="HE4376FD336B04D249815056D79B58127"><enum>(d)</enum><header>Restriction of areas for national defense</header> <paragraph id="H062BBB9480BE4D0EB09F4B76236AEF0A"><enum>(1)</enum><header>In general</header><text>The United States</text> </paragraph></subsection><after-quoted-block>; and</after-quoted-block></quoted-block> </subparagraph><subparagraph id="HAEE897B51FF04F60B0D470D3ECD9583F"><enum>(B)</enum><text>by adding at the end the following:</text> <quoted-block id="H6B8208926BDB4E0E8823B39660855560" style="OLC"> <paragraph id="H5EEB9841BF0B424292B3334B7F49EBA7"><enum>(2)</enum><header>Review</header><text>Annually, the Secretary of Defense shall review the areas of the outer Continental Shelf that have been designated as restricted from exploration and operation to determine whether the areas should remain under restriction.</text> </paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </subparagraph></paragraph></subsection><subsection id="H151A327BE242473F95B17381402BD106"><enum>(b)</enum><header>Leasing of Moratorium Areas</header> <paragraph id="H1CDB33626C284773A194803C9FA8517C"><enum>(1)</enum><header>In general</header><text>As soon as practicable, but not later than 1 year, after the date of enactment of this Act, the Secretary of the Interior shall offer for leasing under the Outer Continental Shelf Lands Act (43 U.S.C. 1331 et seq.), any areas made available for leasing as a result of the enactment of subsection (a).</text> </paragraph><paragraph id="HC80031C8DD9F4B6F9E7198DF5A66CB1C"><enum>(2)</enum><header>Leasing plan</header><text>Any areas made available for leasing under paragraph (1) shall be offered for lease under this section notwithstanding the omission of any of these respective areas from the applicable 5-year plan developed by the Secretary pursuant to section 18 of the Outer Continental Shelf Lands Act (43 U.S.C. 1344).</text> </paragraph></subsection><subsection id="H46CECDC4EDE744A6B8475C2CE2D667C3"><enum>(c)</enum><header>Military mission</header><text>Section 104 of the Gulf of Mexico Energy Security Act of 2006 (43 U.S.C. 1331 note; Public Law 109–432) is further amended—</text> <paragraph id="HF0F7040F625D44E8BBAFC38AA2639337"><enum>(1)</enum><text>by striking <quote>(b)<header-in-text level="subsection" style="OLC"> Military mission line.—</header-in-text>Notwithstanding subsection (a), the</quote> and inserting <quote>(a) <header-in-text level="subsection" style="OLC">Military mission.—</header-in-text>The</quote>;</text> </paragraph><paragraph id="H5D7BE8ECF0724A3C81285B6A90477990"><enum>(2)</enum><text>by redesignating subsection (c) as subsection (b);</text> </paragraph><paragraph id="H898A2E28152E4362A9E2F20CBA2A97B0"><enum>(3)</enum><text>in subsection (b)(1), as so redesignated, by striking <quote>paragraph (2) or (3) of subsection (a)</quote> and inserting <quote>paragraph (5)</quote>; and</text> </paragraph><paragraph id="H642A72A6AB2D45E3B18A6AD9F4A7E797"><enum>(4)</enum><text>in subsection (b), as so redesignated, by adding at the end the following:</text> <quoted-block id="HE9A4E8D67B0A47B59F5D4747D2D3EAFC" style="OLC"> <paragraph id="H4D551932656A4D0FAE2BEA793218B631"><enum>(5)</enum><header>Areas described</header><text>The areas referred to in paragraph (1) are—</text> <subparagraph id="H9E920518B69C4632BB38E4A425975CC9"><enum>(A)</enum><text>any area in the Eastern Planning Area that is within 125 miles of the coastline of the State of Florida; and</text> </subparagraph><subparagraph id="HCFE9EC4C65DB41C5BF6613BE8E2C1A09"><enum>(B)</enum><text>any area in the Central Planning Area that is—</text> <clause id="HFCD645F7BDDD47C584CE707018F2984A"><enum>(i)</enum><text>within—</text> <subclause id="H48A2421A2F314773BC52424BCD37D0E7"><enum>(I)</enum><text>the 181 Area; and</text> </subclause><subclause id="HA2240E4C1FED460287EFF10FFD112DA9"><enum>(II)</enum><text>100 miles of the coastline of the State of Florida; or</text> </subclause></clause><clause id="HEDE6A541F8F5433F8E779E932825BD8E"><enum>(ii)</enum><subclause commented="no" display-inline="yes-display-inline" id="H9B709649A6394BC5850D2300231FEE22"><enum>(I)</enum><text>outside the 181 Area;</text> </subclause><subclause id="H5D19CBF4C44446D99DC83387EBF8AD9A"><enum>(II)</enum><text>east of the western edge of the Pensacola Official Protraction Diagram (UTM X coordinate 1,393,920 (NAD 27 feet)); and</text> </subclause><subclause id="HAEF20BE8C547482DBFA3D94ECF372449"><enum>(III)</enum><text>within 100 miles of the coastline of the State of Florida.</text> </subclause></clause></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph></subsection></section><section id="HCA87FE63983743F2B45EAD50EFC3B774"><enum>312.</enum><header>Outer Continental Shelf directed lease sales</header> <subsection id="H7D5DA23A80B54106BDDA53F5B2D8E438"><enum>(a)</enum><header>209 lease sale</header><text>The Secretary of the Interior (referred to in this section as the <term>Secretary</term>) shall offer the Beaufort Sea Program Area for oil and gas leasing pursuant to the Outer Continental Shelf Lands Act (43 U.S.C. 1331 et seq.) in 2011 as established in the 2007–2012 Lease Sale Schedule.</text> </subsection><subsection id="H319DC540DC2E404ABB75AFA14A385E7D"><enum>(b)</enum><header>210 lease sale</header><text>The Secretary shall offer the Western Gulf of Mexico Program Area for oil and gas leasing pursuant to the Outer Continental Shelf Lands Act (43 U.S.C. 1331 et seq.) in 2011 as established in the 2007–2012 Lease Sale Schedule.</text> </subsection><subsection id="H4522F9472CBD456C8E46F536C89AE57D"><enum>(c)</enum><header>212 lease sale</header><text>The Secretary shall offer the Chukchi Sea Program Area for oil and gas leasing pursuant to the Outer Continental Shelf Lands Act (43 U.S.C. 1331 et seq.) in 2011 as established in the 2007–2012 Lease Sale Schedule.</text> </subsection><subsection id="HAF12906259D3422C90413C6BE477794E"><enum>(d)</enum><header>213 lease sale</header><text>The Secretary shall offer the Central Gulf of Mexico Program Area for oil and gas leasing pursuant to the Outer Continental Shelf Lands Act (43 U.S.C. 1331 et seq.) in 2011 as established in the 2007–2012 Lease Sale Schedule.</text> </subsection><subsection id="H94BF6F357122454AAD3106F32D82177E"><enum>(e)</enum><header>215 lease sale</header><text>The Secretary shall offer the Western Gulf of Mexico Program Area for oil and gas leasing pursuant to the Outer Continental Shelf Lands Act (43 U.S.C. 1331 et seq.) in 2011 as established in the 2007–2012 Lease Sale Schedule.</text> </subsection><subsection id="HA0F6A67ABD5A4B12BB88E1B3824B8BD3"><enum>(f)</enum><header>216 lease sale</header><text>The Secretary shall offer the Central Gulf of Mexico Program Area for oil and gas leasing pursuant to the Outer Continental Shelf Lands Act (43 U.S.C. 1331 et seq.) in 2011 as established in the 2007–2012 Lease Sale Schedule.</text> </subsection><subsection id="H24BA20126F99413ABB420D539902D7FA"><enum>(g)</enum><header>217 lease sale</header><text>The Secretary shall offer the Beaufort Sea Program Area for oil and gas leasing pursuant to the Outer Continental Shelf Lands Act (43 U.S.C. 1331 et seq.) in 2011 as established in the 2007–2012 Lease Sale Schedule.</text> </subsection><subsection id="HDEE27A291A2545668095F8A7B388A36A"><enum>(h)</enum><header>214 lease sale</header><text>The Secretary shall offer the North Aleutian Basin Program Area for oil and gas leasing pursuant to the Outer Continental Shelf Lands Act (43 U.S.C. 1331 et seq.) in 2011 as established in the 2007–2012 Lease Sale Schedule.</text> </subsection><subsection id="HFB8C8BF590894244A55C8B95FF08B6EE"><enum>(i)</enum><header>218 lease sale</header><text>The Secretary shall offer the Western Gulf of Mexico Program Area for oil and gas leasing pursuant to the Outer Continental Shelf Lands Act (43 U.S.C. 1331 et seq.) in 2011 as established in the 2007–2012 Lease Sale Schedule.</text> </subsection><subsection id="HB68237AAF35A44E6A2B60A3EFD9735BE"><enum>(j)</enum><header>219 lease sale</header><text>The Secretary shall offer the Cook Inlet Program Area for oil and gas leasing pursuant to the Outer Continental Shelf Lands Act (43 U.S.C. 1331 et seq.) in 2011 as established in the 2007–2012 Lease Sale Schedule.</text> </subsection><subsection id="H90787996A27C4D7E9D82D849871FE8E9"><enum>(k)</enum><header>220 lease sale</header><text>The Secretary shall offer the Mid-Atlantic Program Area for oil and gas leasing pursuant to the Outer Continental Shelf Lands Act (43 U.S.C. 1331 et seq.) in 2011 as established in the 2007–2012 Lease Sale Schedule.</text> </subsection><subsection id="HFB739CA0A5E341FBAEFB5B56371E9750"><enum>(l)</enum><header>221 lease sale</header><text>The Secretary shall offer the Chukchi Sea Program Area for oil and gas leasing pursuant to the Outer Continental Shelf Lands Act (43 U.S.C. 1331 et seq.) in 2012 as established in the 2007–2012 Lease Sale Schedule.</text> </subsection><subsection id="HAAD7B5F1EF694AE0A356ED8821E2BFAB"><enum>(m)</enum><header>222 lease sale</header><text>The Secretary shall offer the Central Gulf of Mexico Program Area for oil and gas leasing pursuant to the Outer Continental Shelf Lands Act (43 U.S.C. 1331 et seq.) in 2012 as established in the 2007–2012 Lease Sale Schedule.</text> </subsection></section><section id="H26B532F6F4E040BDB97CE5FCFCF26049"><enum>313.</enum><header>Leasing program considered approved</header> <subsection id="HBE89A7BD55EC45D39D513013AC33683A"><enum>(a)</enum><header>In general</header><text>The Draft Proposed Outer Continental Shelf Oil and Gas Leasing Program 2010–2015 issued by the Secretary of the Interior (referred to in this section as the <term>Secretary</term>) under section 18 of the Outer Continental Shelf Lands Act (43 U.S.C. 1344) is considered to have been approved by the Secretary as a final oil and gas leasing program under that section.</text> </subsection><subsection id="H8C6CE7A874B842B18C4996716082A3CE"><enum>(b)</enum><header>Final environmental impact statement</header><text>The Secretary is considered to have issued a final environmental impact statement for the program described in subsection (a) in accordance with all of the requirements of sections 18, 19, and 20 of the Outer Continental Shelf Lands Act (43 U.S.C. 1344, 1345, and 1346), in accordance with all requirements under section 102(2)(C) of the National Environmental Policy Act of 1969 (42 U.S.C. 4332(2)(C)), and in accordance with all requirements of the Coastal Zone Management Act of 1972 (16 U.S.C. 1451 et seq.).</text> </subsection></section><section id="HD911D1C7E73440CAAC49498B237BD775"><enum>314.</enum><header>Outer Continental Shelf lease sales</header> <subsection id="H79E5BB285AB94596B50F17999D43DF65"><enum>(a)</enum><header>Requirement To conduct lease sales</header> <paragraph id="H98BDF7FBD20D4BC1A4A53C05A3C1AE1C"><enum>(1)</enum><header>In general</header><text>Except as provided in paragraph (2), not later than one year after the date of enactment of this Act and annually thereafter, the Secretary of the Interior (referred to in this section as the <term>Secretary</term>) shall conduct at a minimum one lease sale in an Atlantic Planning Area, one lease sale in the Pacific Planning Area, one lease sale in the Alaska Planning Area, and three lease sales in a Gulf of Mexico Planning Area for which the Secretary determines that there is a commercial interest in purchasing Federal oil and gas leases for production on the outer Continental Shelf.</text> </paragraph><paragraph id="H3CA456AC5C734545A6CA507DEB21E618"><enum>(2)</enum><header>Subsequent determinations and sales</header><text>If the Secretary determines that there is not a commercial interest in purchasing Federal oil and gas leases for production on the outer Continental Shelf in a planning area under this subsection, not later than 2 years after the date of enactment of the determination and every 2 years thereafter, the Secretary shall—</text> <subparagraph id="H66BF76DFDFCB4551A2685DCEA1B9BE12"><enum>(A)</enum><text>determine whether there is a commercial interest in purchasing Federal oil and gas leases for production on the outer Continental Shelf in the planning area; and</text> </subparagraph><subparagraph id="H2E02F0125F434ACEA992619A84710943"><enum>(B)</enum><text>if the Secretary determines that there is a commercial interest described in subparagraph (A), conduct a lease sale in the planning area.</text> </subparagraph></paragraph></subsection><subsection id="HCDEFFE4B58B24081B4192C6F8E30C120"><enum>(b)</enum><header>Leasing plan</header><text>Any areas made available for leasing under subsection (a) shall be offered for lease under this section notwithstanding the omission of any of these respective areas from the applicable 5-year plan developed by the Secretary pursuant to section 18 of the Outer Continental Shelf Lands Act (43 U.S.C. 1344).</text> </subsection></section><section id="H692F8C3FD36C48FF92C2EC368A5342BE" section-type="subsequent-section"><enum>315.</enum><header>Restrictions on leasing of the Outer Continental Shelf</header> <subsection id="H46B1B87E74F147B4BC72E78990D0CCDB"><enum>(a)</enum><header>State opt-Out</header><text display-inline="yes-display-inline">No lease authorizing a permanent surface energy project for the exploration, development, or production of oil or gas may be issued for any area of the Outer Continental Shelf located within 10 miles of the coastline of a State if the State has notified the Secretary of the Interior that the State does not want to participate in such leasing.</text> </subsection><subsection id="H67AF1B02C4F147C0B9C4D2FC6417F43D"><enum>(b)</enum><header>Existing leases not affected</header><text display-inline="yes-display-inline">This section shall not affect any lease issued before the date of enactment of this Act.</text> </subsection></section><section display-inline="no-display-inline" id="H1E379EA188F64F729C659B0C9EA95158"><enum>316.</enum><header>Sharing of OCS receipts with States and local governments</header><text display-inline="no-display-inline">Section 9 of the Outer Continental Shelf Lands Act (43 U.S.C. 1338) is amended as follows:</text> <paragraph id="H231640F70F424BEA8BADE5B6C83C07AE"><enum>(1)</enum><text>By designating the existing text as subsection (a).</text> </paragraph><paragraph id="H9D0EE723543F4C2D9FAC82F59954C82D"><enum>(2)</enum><text>In subsection (a) (as so designated) by inserting <quote>, if not paid as otherwise provided in this title</quote> after <quote>receipts</quote>.</text> </paragraph><paragraph id="H94CF793B77144225AB2AC133D7AD18DD"><enum>(3)</enum><text>By adding the following:</text> <quoted-block id="HAC4B42D5A2514338BFC990E44E3654F4" style="OLC"> <subsection id="HD28BCBF7431E4A83BF7F6BFACE93EE85"><enum>(b)</enum><header>Treatment of OCS Receipts</header> <paragraph id="HF8AAF699E44D4430A4CC0244CDDAA4E7"><enum>(1)</enum><header>Deposit</header><text>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 paragraph (2).</text> </paragraph><paragraph id="H886C6EA0009E40CD943E44970551EB52"><enum>(2)</enum><header>Immediate receipts sharing</header><text>Beginning October 1, 2012, the Secretary shall share 50 percent of OCS Receipts derived from all leases, 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 leasing is not allowed within at least 25 percent of that State’s Adjacent Zone located completely within 75 miles of any coastline.</text> </paragraph><paragraph id="H5CF8D7F68E34445DB0DB8A4E4BCB6C59"><enum>(3)</enum><header>Allocations</header><text>The Secretary shall allocate the OCS Receipts deposited into the separate account established by paragraph (1) that are shared under paragraph (2) as follows:</text> <subparagraph id="HA2B892821CB940DF913A6EF23FA09AC8"><enum>(A)</enum><header>Bonus bids</header><text display-inline="yes-display-inline">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.</text> </subparagraph><subparagraph id="HDEF974420C6B4B1BBFAC268925CC3C79"><enum>(B)</enum><header>Royalties</header><text>Deposits derived from royalties and net profit shares from a leased tract, including interest thereon, shall be allocated at the end of each fiscal year as follows:</text> <clause id="H1AB77230FC32412A8D8AB65EF6912DA5"><enum>(i)</enum><text>Fifty percent to the Adjacent State.</text> </clause><clause id="H21E9AA2BEC494E088099471E94AA1936"><enum>(ii)</enum><text>Fifty percent to all States, including the Adjacent State, having a coastline point within 300 miles of the leased tract, divided equally, if such State allows leasing within at least 25 percent of its Adjacent Zone within 75 miles of the coastline.</text> </clause></subparagraph><subparagraph id="HF99C2D1E1DA341CA9D8433A8CFEF0384"><enum>(C)</enum><header>Limitation if not admitted to the Union as a State</header><text>Any entity defined as a <quote>State</quote> under section 2(r), that has not been admitted to the Union as a State shall only be entitled to one-half of a State share under this paragraph.</text> </subparagraph></paragraph></subsection><subsection id="H73980FD3497B459792F41F9AE4395DF0"><enum>(c)</enum><header>Transmission of Allocations</header> <paragraph id="H901BAE23A5734CFA8C3A6539713D385C"><enum>(1)</enum><header>In general</header><text>Not later than 90 days after the end of each fiscal year, the Secretary shall transmit—</text> <subparagraph id="H15D8F4D9D9104E2FA806A46349BDCAD5"><enum>(A)</enum><text>to each State 60 percent of such State’s allocations under subsections (b)(2), (b)(3)(A), and (b)(3)(B) (i) and (ii) for the immediate prior fiscal year; and</text> </subparagraph><subparagraph id="HCAEBC8E8AA09440DA587AB684CCD5DE9"><enum>(B)</enum><text>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)(2), (b)(3)(A), and (b)(3)(B) (i) and (ii), for the immediate prior fiscal year, together with all accrued interest thereon.</text> </subparagraph></paragraph><paragraph id="H256BA9F820D74C1D9E7A7DDD408EE215"><enum>(2)</enum><header>Allocations to coastal county-equivalent political subdivisions</header><text>The Secretary shall make an initial allocation of the OCS Receipts to be shared under paragraph (1)(B) as follows:</text> <subparagraph id="H1B1D9F83CCFD47BAAE5D9A8C6DB3FD7C"><enum>(A)</enum><text>Twenty-five 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.</text> </subparagraph><subparagraph id="H38A1EA703B244EFCBE6BF835CDDF77B0"><enum>(B)</enum><text>Seventy-five 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:</text> <clause id="H0C3B855CDC5542F486C0D4EC79505C3B"><enum>(i)</enum><text>Twenty-five 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.</text> </clause><clause id="H1635F37D3F374EF4A9BCBCD121E251D6"><enum>(ii)</enum><text>Twenty-five 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.</text> </clause><clause id="H5DFB04C827524545A65F92592C74FE43"><enum>(iii)</enum><text>Fifty percent shall be allocated equally 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.</text> </clause></subparagraph></paragraph><paragraph id="H9330C02CA8984AA1975C3C4773BEDB95"><enum>(3)</enum><header>Allocations to coastal municipal political subdivisions</header><text>The 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:</text> <subparagraph id="H38E8C4F4108B417B8CBBC01D2C38225E"><enum>(A)</enum><text>One-third shall be allocated to the coastal county-equivalent political subdivision.</text> </subparagraph><subparagraph id="HC21421D282734CBE8C21EEB9E9227A20"><enum>(B)</enum><text>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.</text> </subparagraph></paragraph></subsection><subsection id="HE9B0FB3A9EB248859519BD1999EDEA54"><enum>(d)</enum><header>Investment of Deposits</header><text>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.</text> </subsection><subsection id="H6388F46467434B259EC2D8C23D4B0058"><enum>(e)</enum><header>Use of Funds</header><text>A recipient of funds under this section may use the funds for one or more of the following:</text> <paragraph id="HCEA616092770498B838680455523D825"><enum>(1)</enum><text>To reduce in-State college tuition at public institutions of higher learning and otherwise support public education, including career technical education.</text> </paragraph><paragraph id="H78FBEEC8B01440618C21B6099770A202"><enum>(2)</enum><text>To make transportation infrastructure improvements.</text> </paragraph><paragraph id="HADF5BBF2EAF54A53867F63398AE9CF5F"><enum>(3)</enum><text>To reduce taxes.</text> </paragraph><paragraph id="H2732C5A721A54673A91F8C52385A66DA"><enum>(4)</enum><text>To promote, fund, and provide for—</text> <subparagraph id="H2E41791CC07E4844B225DACCAE15676E"><enum>(A)</enum><text>coastal or environmental restoration;</text> </subparagraph><subparagraph id="HF25220AFE36D438B99F894D5D5AFDD8B"><enum>(B)</enum><text>fish, wildlife, and marine life habitat enhancement;</text> </subparagraph><subparagraph id="HB6106D7A96D64698AB553DD7551536B8"><enum>(C)</enum><text>waterways construction and maintenance;</text> </subparagraph><subparagraph id="H91FE49F954A3450DBC6A512D9DCA70C5"><enum>(D)</enum><text>levee construction and maintenance and shore protection; and</text> </subparagraph><subparagraph id="HC3223AC192B040DFA35EE242255F8334"><enum>(E)</enum><text>marine and oceanographic education and research.</text> </subparagraph></paragraph><paragraph id="H40D903FBD7734632BCD86F06D005A984"><enum>(5)</enum><text>To promote, fund, and provide for—</text> <subparagraph id="HAB992C34A3D6417CA89A5195C79F56A5"><enum>(A)</enum><text>infrastructure associated with energy production activities conducted on the outer Continental Shelf;</text> </subparagraph><subparagraph id="HED177A981C3C421BA0624BDB5048A6B6"><enum>(B)</enum><text>energy demonstration projects;</text> </subparagraph><subparagraph id="HB5C7131B8AA74FE59BA26640A4DEED5F"><enum>(C)</enum><text>supporting infrastructure for shore-based energy projects;</text> </subparagraph><subparagraph id="H47C2BAEA19624A6FA9F6233C6282B503"><enum>(D)</enum><text>State geologic programs, including geologic mapping and data storage programs, and State geophysical data acquisition;</text> </subparagraph><subparagraph id="H53069704DD1F4B36B8AB9E5C4AB85B6E"><enum>(E)</enum><text>State seismic monitoring programs, including operation of monitoring stations;</text> </subparagraph><subparagraph id="H2F41099E696749DA80FB1A693EB7A8C6"><enum>(F)</enum><text>development of oil and gas resources through enhanced recovery techniques;</text> </subparagraph><subparagraph id="HAF29ED0060CC459AA6552F271C4A2A46"><enum>(G)</enum><text>energy efficiency and conservation programs; and</text> </subparagraph><subparagraph id="HC95BCF3AD1114B1BA9F41A47287746E4"><enum>(H)</enum><text>front-end engineering and design for facilities that produce liquid fuels from hydrocarbons and other biological matter.</text> </subparagraph></paragraph><paragraph id="HF79C9F4EA5494387AF09A44B312CE4B3"><enum>(6)</enum><text>To promote, fund, and provide for—</text> <subparagraph id="H90D19F21B9034DC68DE5818BD7F05F8E"><enum>(A)</enum><text>historic preservation programs and projects;</text> </subparagraph><subparagraph id="H5CD896F18AE44460A9B97C0560C3E8A8"><enum>(B)</enum><text>natural disaster planning and response; and</text> </subparagraph><subparagraph id="H5F01CC7AD94A484399F6DC32B7809555"><enum>(C)</enum><text>hurricane and natural disaster insurance programs.</text> </subparagraph></paragraph><paragraph id="H50A3924A0E974B5AA35167CF9AB8C55C"><enum>(7)</enum><text>For any other purpose as determined by State law.</text> </paragraph></subsection><subsection id="HB3A4574FBFE946D68FCA56213528AD4D"><enum>(f)</enum><header>No Accounting Required</header><text>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.</text> </subsection><subsection id="H5ABC74E3DB704063BADA240D60C8DF09"><enum>(g)</enum><header>Effect of Future Laws</header><text>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.</text> </subsection><subsection id="HFE0BCB92C17F46EBA7172B4BB7CE0701"><enum>(h)</enum><header>Definitions</header><text>In this section:</text> <paragraph id="HD486B4C1A720440AA0E927F4D736CD5F"><enum>(1)</enum><header>Coastal county-equivalent political subdivision</header><text>The term <term>coastal county-equivalent political subdivision</term> 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.</text> </paragraph><paragraph id="H702C8F41FF3E423183DC56954F2FE02F"><enum>(2)</enum><header>Coastal municipal political subdivision</header><text>The term <term>coastal municipal political subdivision</term> 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.</text> </paragraph><paragraph id="HFAB9C50C9FD640D8BF5B504F219C4CB5"><enum>(3)</enum><header>Coastal population</header><text>The term <term>coastal population</term> means the population of all coastal county-equivalent political subdivisions, as determined by the most recent official data of the Census Bureau.</text> </paragraph><paragraph id="H39BD26EBD9444867A8F60D4D2A874BD0"><enum>(4)</enum><header>Coastal zone</header><text>The term <term>coastal zone</term> 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.</text> </paragraph><paragraph id="HBF9890DE73A64ECEA6E22C15744ACDD1"><enum>(5)</enum><header>Bonus bids</header><text>The term <term>bonus bids</term> means all funds received by the Secretary to issue an outer Continental Shelf minerals lease.</text> </paragraph><paragraph id="H38F6090E2A7B4E119F399791DDDFDE8F"><enum>(6)</enum><header>Royalties</header><text>The term <term>royalties</term> means all funds received by the Secretary from production of oil or natural gas, or the sale of production taken in-kind, or from net profit shares, from an outer Continental Shelf minerals lease.</text> </paragraph><paragraph id="H09944AE7E6AB42689D87840B74446749"><enum>(7)</enum><header>Producing state</header><text>The term <term>producing State</term> means an Adjacent State having an Adjacent Zone containing leased tracts from which OCS Receipts were derived.</text> </paragraph><paragraph id="HB169005D39314E98B27ED2C1418AB4E4"><enum>(8)</enum><header>OCS receipts</header><text>The term <term>OCS Receipts</term> means bonus bids and royalties, excluding royalties from leases amended under the authority of section 8(s) of this Act.</text> </paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph></section></chapter><chapter id="HE0BCEB7995C64C52A1DFB2570664B25A"><enum>2</enum><header>Arctic Coastal Plain</header> <section id="HE73DE7BD5278492193925A4E3187FD8B"><enum>321.</enum><header>Definitions</header><text display-inline="no-display-inline">In this chapter:</text> <paragraph id="H71DA100C0AF147F7A86D5244DFD51ED3"><enum>(1)</enum><header>Coastal Plain</header><text>The term <term>Coastal Plain</term> means that area identified as the <quote>1002 Coastal Plain Area</quote> on the map.</text> </paragraph><paragraph id="HD5DA2B237CDE4B87BF38476061846761"><enum>(2)</enum><header>Federal agreement</header><text>The term <term>Federal Agreement</term> means the Federal Agreement and Grant Right-of-Way for the Trans-Alaska Pipeline issued on January 23, 1974, in accordance with section 28 of the Mineral Leasing Act (30 U.S.C. 185) and the Trans-Alaska Pipeline Authorization Act (43 U.S.C. 1651 et seq.).</text> </paragraph><paragraph id="HA7069EAAC0174C47BC630A8C85525227"><enum>(3)</enum><header>Final statement</header><text>The term <term>Final Statement</term> means the final legislative environmental impact statement on the Coastal Plain, dated April 1987, and prepared pursuant to section 1002 of the Alaska National Interest Lands Conservation Act (16 U.S.C. 3142) and section 102(2)(C) of the National Environmental Policy Act of 1969 (42 U.S.C. 4332(2)(C)).</text> </paragraph><paragraph id="H19828730F7B146B6BC69C0CD6882D676"><enum>(4)</enum><header>Map</header><text>The term <term>map</term> means the map entitled <quote>Arctic National Wildlife Refuge</quote>, dated September 2005, and prepared by the United States Geological Survey.</text> </paragraph><paragraph id="H23BC763EA2014A23B71E47F290B00DA6"><enum>(5)</enum><header>Secretary</header><text>The term <term>Secretary</term> means the Secretary of the Interior (or the designee of the Secretary), acting through the Director of the Bureau of Land Management, in consultation with the Director of the United States Fish and Wildlife Service.</text> </paragraph></section><section id="H68EEC9CDE2284FEFBECD96033A12F77A"><enum>322.</enum><header>Leasing program for land within the Coastal Plain</header> <subsection id="H803BB5C1DA0A4BEEBCBD815523FC9F9F"><enum>(a)</enum><header>In general</header><text>The Secretary shall take such actions as are necessary—</text> <paragraph id="HA1BC4DD3C570473D910FC9A67BD51050"><enum>(1)</enum><text>to establish and implement, in accordance with this chapter, a competitive oil and gas leasing program that will result in an environmentally sound program for the exploration, development, and production of the oil and gas resources of the Coastal Plain; and</text> </paragraph><paragraph id="H2FBEB9A208214436B354FA50E80B5308"><enum>(2)</enum><text>to administer this chapter through regulations, lease terms, conditions, restrictions, prohibitions, stipulations, and other provisions that require the application of the best commercially available technology for oil and gas exploration, development, and production to all exploration, development, and production operations under this chapter in a manner that ensures the receipt of fair market value by the public for the mineral resources to be leased.</text> </paragraph></subsection><subsection id="HC0425B0FE6734521B6DD09621B52CE4E"><enum>(b)</enum><header>Repeal</header> <paragraph id="H78E32299C326468C908FEDA8141E8B71"><enum>(1)</enum><header>Repeal</header><text>Section 1003 of the Alaska National Interest Lands Conservation Act of 1980 (16 U.S.C. 3143) is repealed.</text> </paragraph><paragraph id="H28922BBDC8874592AEB5FBF81DB68266"><enum>(2)</enum><header>Conforming amendment</header><text>The table of contents contained in section 1 of that Act (16 U.S.C. 3101 note) is amended by striking the item relating to section 1003.</text> </paragraph><paragraph id="H2812B1C80E8149C7BD41CDD935455A0B"><enum>(3)</enum><header>Compliance with NEPA for other actions</header> <subparagraph id="HC397061936D14307AEB0DCE61AACAC55"><enum>(A)</enum><header>In general</header><text>Before conducting the first lease sale under this chapter, the Secretary shall prepare an environmental impact statement in accordance with the National Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.) with respect to the actions authorized by this chapter that are not referred to in paragraph (2).</text> </subparagraph><subparagraph id="H30C51CA6BFDB431B9A07AF7756AE9594"><enum>(B)</enum><header>Identification and analysis</header><text>Notwithstanding any other provision of law, in carrying out this paragraph, the Secretary shall not be required—</text> <clause id="HEBF10EBB1B344021BA86C0AB79088B32"><enum>(i)</enum><text>to identify nonleasing alternative courses of action; or</text> </clause><clause id="H7189A509D114417BBFA3F0790C9522A7"><enum>(ii)</enum><text>to analyze the environmental effects of those courses of action.</text> </clause></subparagraph><subparagraph id="HA4AA2351E9B649B7BEAC2E9D7E37C8D3"><enum>(C)</enum><header>Identification of preferred action</header><text>Not later than 18 months after the date of enactment of this Act, the Secretary shall—</text> <clause id="HEB3A32B32F9F4E04B67B006CBD9A122D"><enum>(i)</enum><text>identify only a preferred action and a single leasing alternative for the first lease sale authorized under this chapter; and</text> </clause><clause id="HB7D2518C9D234F0DAD585C9CF3D5391A"><enum>(ii)</enum><text>analyze the environmental effects and potential mitigation measures for those 2 alternatives.</text> </clause></subparagraph><subparagraph id="HDE6AF4A53111470AA9F515663BB292A1"><enum>(D)</enum><header>Public comments</header><text>In carrying out this paragraph, the Secretary shall consider only public comments that are filed not later than 20 days after the date of publication of a draft environmental impact statement.</text> </subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="H88BC84813B4F4FB5917D067B85181194"><enum>(E)</enum><header>Effect of compliance</header><text>Notwithstanding any other provision of law, compliance with this paragraph shall be considered to satisfy all requirements for the analysis and consideration of the environmental effects of proposed leasing under this chapter.</text> </subparagraph></paragraph></subsection><subsection id="H1B40A6FC5DD94370B4024A7E049963B9"><enum>(c)</enum><header>Relationship to State and local authority</header><text>Nothing in this chapter expands or limits any State or local regulatory authority.</text> </subsection><subsection id="H5D511EF192D543A894A7A56A1497AF39"><enum>(d)</enum><header>Special areas</header> <paragraph id="H70B5736418014F8AAD76DC9EC341AC99"><enum>(1)</enum><header>Designation</header> <subparagraph id="HBFE7328D28E24C0BBCF62C7754B6B4CB"><enum>(A)</enum><header>In general</header><text>The Secretary, after consultation with the State of Alaska, the North Slope Borough, Alaska, and the City of Kaktovik, Alaska, may designate not more than 45,000 acres of the Coastal Plain as a special area if the Secretary determines that the special area would be of such unique character and interest as to require special management and regulatory protection.</text> </subparagraph><subparagraph id="HC128686494E84E5FBE0DA4748D3FBF9F"><enum>(B)</enum><header>Sadlerochit spring area</header><text>The Secretary shall designate as a special area in accordance with subparagraph (A) the Sadlerochit Spring area, comprising approximately 4,000 acres as depicted on the map.</text> </subparagraph></paragraph><paragraph id="HE2292D53FBBD4DA096F487580D4C0E26"><enum>(2)</enum><header>Management</header><text>The Secretary shall manage each special area designated under this subsection in a manner that preserves the unique and diverse character of the area, including fish, wildlife, subsistence resources, and cultural values of the area.</text> </paragraph><paragraph id="H498FEF5CC0CE4D9C9CD46EB33BDAE8A0"><enum>(3)</enum><header>Exclusion from leasing or surface occupancy</header> <subparagraph id="HAA7862C17A684FF5B842732BEF251E4C"><enum>(A)</enum><header>In general</header><text>The Secretary may exclude any special area designated under this subsection from leasing.</text> </subparagraph><subparagraph id="H00A080931FC44FE6932FB9B80219FFF4"><enum>(B)</enum><header>No surface occupancy</header><text>If the Secretary leases all or a portion of a special area for the purposes of oil and gas exploration, development, production, and related activities, there shall be no surface occupancy of the land comprising the special area.</text> </subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="H7349A3E9D70A4F98AC505685E8D0FDE9"><enum>(4)</enum><header>Directional drilling</header><text>Notwithstanding any other provision of this subsection, the Secretary may lease all or a portion of a special area under terms that permit the use of horizontal drilling technology from sites on leases located outside the special area.</text> </paragraph></subsection><subsection id="H5F4686A7E9E6472399AFD38559B5264A"><enum>(e)</enum><header>Limitation on closed areas</header><text>The Secretary may not close land within the Coastal Plain to oil and gas leasing or to exploration, development, or production except in accordance with this chapter.</text> </subsection><subsection id="HF76243E6F0394538A076FF3C917F35BB"><enum>(f)</enum><header>Regulations</header> <paragraph id="HC0274FD965BA4332B59C885185E9E613"><enum>(1)</enum><header>In general</header><text>Not later than 15 months after the date of enactment of this Act, the Secretary shall promulgate such regulations as are necessary to carry out this chapter, including rules and regulations relating to protection of the fish and wildlife, fish and wildlife habitat, subsistence resources, and environment of the Coastal Plain.</text> </paragraph><paragraph commented="no" display-inline="no-display-inline" id="HEFE8513EC8EB4B24BE53493BEB3B5E6A"><enum>(2)</enum><header>Revision of regulations</header><text>The Secretary shall periodically review and, as appropriate, revise the rules and regulations issued under paragraph (1) to reflect any significant biological, environmental, scientific or engineering data that come to the attention of the Secretary.</text> </paragraph></subsection></section><section id="HB2B2418181104275A499897D3F8BCF7B"><enum>323.</enum><header>Lease sales</header> <subsection id="H63676518163E406CA897AFF8237CD12B"><enum>(a)</enum><header>In general</header><text>Land may be leased pursuant to this chapter to any person qualified to obtain a lease for deposits of oil and gas under the Mineral Leasing Act (30 U.S.C. 181 et seq.).</text> </subsection><subsection id="H4AC60ABAA85645F39C93888967924AB0"><enum>(b)</enum><header>Procedures</header><text>The Secretary shall, by regulation, establish procedures for—</text> <paragraph id="H1118C7CB26C646ADA41332A69B532EA9"><enum>(1)</enum><text>receipt and consideration of sealed nominations for any area in the Coastal Plain for inclusion in, or exclusion (as provided in subsection (c)) from, a lease sale;</text> </paragraph><paragraph id="H1F8B3E4C803A46419EA99892C51C6627"><enum>(2)</enum><text>the holding of lease sales after that nomination process; and</text> </paragraph><paragraph id="H6F26976372AE4B8691BCFD31F420A117"><enum>(3)</enum><text>public notice of and comment on designation of areas to be included in, or excluded from, a lease sale.</text> </paragraph></subsection><subsection id="H6C2B954396134D6FB680810C65E36A65"><enum>(c)</enum><header>Lease sale bids</header><text>Bidding for leases under this chapter shall be by sealed competitive cash bonus bids.</text> </subsection><subsection id="H3AB6C12E67384132AE9EB6344EB6F781"><enum>(d)</enum><header>Acreage minimum in first sale</header><text>For the first lease sale under this chapter, the Secretary shall offer for lease those tracts the Secretary considers to have the greatest potential for the discovery of hydrocarbons, taking into consideration nominations received pursuant to subsection (b)(1), but in no case less than 200,000 acres.</text> </subsection><subsection id="H46729E9ED3A545679E339AA83CF121AB"><enum>(e)</enum><header>Timing of lease sales</header><text>The Secretary shall—</text> <paragraph id="HAE7DA47E3D8A4B17864CC2DFC9803D9B"><enum>(1)</enum><text>not later than 22 months after the date of enactment of this Act, conduct the first lease sale under this chapter;</text> </paragraph><paragraph id="H2B6F5679AEFE4120AFBFEBBD1031D78C"><enum>(2)</enum><text>not later than 90 days after the date of the completion of the sale, evaluate the bids in the sale and issue leases resulting from the sale; and</text> </paragraph><paragraph commented="no" display-inline="no-display-inline" id="HFD4D7876FE8A4D708BC1DA7324F6051A"><enum>(3)</enum><text>conduct additional sales at appropriate intervals if sufficient interest in exploration or development exists to warrant the conduct of the additional sales.</text> </paragraph></subsection></section><section id="H623A536E685347BB8E7B55E463E86D73"><enum>324.</enum><header>Grant of leases by the Secretary</header> <subsection id="HA8310BABDCBF4927B3AD9AB3A67C0A8A"><enum>(a)</enum><header>In general</header><text>On payment by a lessee of such bonus as may be accepted by the Secretary, the Secretary may grant to the highest responsible qualified bidder in a lease sale conducted pursuant to section 323 a lease for any land on the Coastal Plain.</text> </subsection><subsection id="H22F73C46CF3E4C1E8094CFFA0F2BAF42"><enum>(b)</enum><header>Subsequent transfers</header> <paragraph id="H8437B7964CA8408892DEF8F919324414"><enum>(1)</enum><header>In general</header><text>No lease issued under this chapter may be sold, exchanged, assigned, sublet, or otherwise transferred except with the approval of the Secretary.</text> </paragraph><paragraph commented="no" display-inline="no-display-inline" id="HC0FBAB55922747FE865AC26D5AB08460"><enum>(2)</enum><header>Condition for approval</header><text>Before granting any approval described in paragraph (1), the Secretary shall consult with and give due consideration to the opinion of the Attorney General.</text> </paragraph></subsection></section><section id="HDEC3B624CBFF418C92C33BB4A6FD9BA5"><enum>325.</enum><header>Lease terms and conditions</header><text display-inline="no-display-inline">An oil or gas lease issued pursuant to this chapter shall—</text> <paragraph id="H698E5228EEF44FEAB6CA458AE464DD37"><enum>(1)</enum><text>provide for the payment of a royalty of not less than 12<fraction>½</fraction> percent of the amount or value of the production removed or sold from the lease, as determined by the Secretary in accordance with regulations applicable to other Federal oil and gas leases;</text> </paragraph><paragraph id="H1946CDC9840A48A2B9B260DA0F40F9B9"><enum>(2)</enum><text>require that each lessee of land within the Coastal Plain shall be fully responsible and liable for the reclamation of land within the Coastal Plain and any other Federal land that is adversely affected in connection with exploration, development, production, or transportation activities within the Coastal Plain conducted by the lessee or by any of the subcontractors or agents of the lessee;</text> </paragraph><paragraph id="H525638EE1CF74FEB95D15CD806D471B4"><enum>(3)</enum><text>provide that the lessee may not delegate or convey, by contract or otherwise, that reclamation responsibility and liability to another person without the express written approval of the Secretary;</text> </paragraph><paragraph id="H0A6C08F9934441E4B49604C27DC4811B"><enum>(4)</enum><text>provide that the standard of reclamation for land required to be reclaimed under this chapter shall be, to the maximum extent practicable—</text> <subparagraph id="HB541852D66AC4222A354EC415E7CCDA0"><enum>(A)</enum><text>a condition capable of supporting the uses that the land was capable of supporting prior to any exploration, development, or production activities; or</text> </subparagraph><subparagraph id="HE2ED37ABA3604F76A0D39983069A9A92"><enum>(B)</enum><text>on application by the lessee, to a higher or better standard, as approved by the Secretary;</text> </subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="H0ACDE95686534CF794C2B9D9DA36A836"><enum>(5)</enum><text>contain terms and conditions relating to protection of fish and wildlife, fish and wildlife habitat, subsistence resources, and the environment as required under section 322(a)(2);</text> </paragraph><paragraph id="H2F4BDB58FFA149188E900D00FCD7D63C"><enum>(6)</enum><text>provide that each lessee, and each agent and contractor of a lessee, use their best efforts to provide a fair share of employment and contracting for Alaska Natives and Alaska Native Corporations from throughout the State of Alaska, as determined by the level of obligation previously agreed to in the Federal Agreement; and</text> </paragraph><paragraph id="H5B7AE8875C034884875058D33AF6A5DF"><enum>(7)</enum><text>contain such other provisions as the Secretary determines to be necessary to ensure compliance with this chapter and the regulations promulgated under this chapter.</text> </paragraph></section><section id="H571565878084484A9AB3B7210D0EAA32"><enum>326.</enum><header>Expedited judicial review</header> <subsection id="H8185606EE94E4799849F0F05A5894D10"><enum>(a)</enum><header>Filing of complaints</header> <paragraph id="H15520E159A6E42D4AA494EE6D94BA63B"><enum>(1)</enum><header>Deadline</header><text>A complaint seeking judicial review of a provision of this chapter or an action of the Secretary under this chapter shall be filed—</text> <subparagraph id="HD4745B1EF9284C53819C41D956289117"><enum>(A)</enum><text>except as provided in subparagraph (B), during the 90-day period beginning on the date on which the action being challenged was carried out; or</text> </subparagraph><subparagraph id="H79D2EE201BF74FF2915BD9E04B69FCAC"><enum>(B)</enum><text>in the case of a complaint based solely on grounds arising after the 90-day period described in subparagraph (A), by not later than 90 days after the date on which the complainant knew or reasonably should have known about the grounds for the complaint.</text> </subparagraph></paragraph><paragraph id="HC85A8AF8A81B433B84F50272F86BA4D7"><enum>(2)</enum><header>Venue</header><text display-inline="yes-display-inline">A complaint seeking judicial review of a provision of this chapter or an action of the Secretary under this chapter shall be filed in the United States District Court for the District of Columbia.</text> </paragraph><paragraph id="H01C953EAF1FC430F9D434F59A2F3CEA6"><enum>(3)</enum><header>Scope</header> <subparagraph id="HE7DDB969CA44438A8A6AEC90687E451A"><enum>(A)</enum><header>In general</header><text>Judicial review of a decision of the Secretary relating to a lease sale under this chapter (including an environmental analysis of such a lease sale) shall be—</text> <clause id="HD4901CF821C249CCB9A4BEB239D31BE2"><enum>(i)</enum><text>limited to a review of whether the decision is in accordance with this chapter; and</text> </clause><clause id="HD5D5756343AB4B529BDE7A591C5D464A"><enum>(ii)</enum><text>based on the administrative record of the decision.</text> </clause></subparagraph><subparagraph id="H58E3CA51768C4EE795DEEE489E2B9C83"><enum>(B)</enum><header>Presumptions</header><text>Any identification by the Secretary of a preferred course of action relating to a lease sale, and any analysis by the Secretary of environmental effects, under this chapter shall be presumed to be correct unless proven otherwise by clear and convincing evidence.</text> </subparagraph></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="H65F0E1CE1C2345A7A4366BD2F9D1804D"><enum>(b)</enum><header>Limitation on other review</header><text>Any action of the Secretary that is subject to judicial review under this section shall not be subject to judicial review in any civil or criminal proceeding for enforcement.</text> </subsection><subsection id="H8E37AAA761154F5EB3BFC12FFD8AAC09"><enum>(c)</enum><header>Relationship to other provisions</header><text>Subchapter B of chapter 2 shall not affect the application of this section.</text> </subsection></section><section id="H953D040E2EB04243823279AADAACD93C"><enum>327.</enum><header>Rights-of-way across the Coastal Plain</header> <subsection id="H4C08F694A92C4D1195516AE550C03984"><enum>(a)</enum><header>In general</header><text>The Secretary shall issue rights-of-way and easements across the Coastal Plain for the transportation of oil and gas—</text> <paragraph id="HB3EF1F05F23646B2817D427C83851D3A"><enum>(1)</enum><text>except as provided in paragraph (2), under section 28 of the Mineral Leasing Act (30 U.S.C. 185), without regard to title XI of the Alaska National Interest Lands Conservation Act (16 U.S.C. 3161 et seq.); and</text> </paragraph><paragraph id="H8148BC174DC44047BBABD4E2A7AF7E91"><enum>(2)</enum><text>under title XI of the Alaska National Interest Lands Conservation Act (16 U.S.C. 3161 et seq.), for access authorized by sections 1110 and 1111 of that Act (16 U.S.C. 3170, 3171).</text> </paragraph></subsection><subsection id="H72A43E84C4BF43DDB4CF24DC911210AC"><enum>(b)</enum><header>Regulations</header><text>The Secretary shall include in regulations under section 322(f) provisions granting rights-of-way and easements described in subsection (a).</text> </subsection></section><section id="HBCD9F612FEF54807B3B45B501EF68C73"><enum>328.</enum><header>Conveyance</header><text display-inline="no-display-inline">Notwithstanding section 1302(h)(2) of the Alaska National Interest Lands Conservation Act (16 U.S.C. 3192(h)(2)), to remove any cloud on title to land, and to clarify land ownership patterns in the Coastal Plain, the Secretary shall—</text> <paragraph id="HF4AFCBF263A24852A31CF37CCA4D2319"><enum>(1)</enum><text>to the extent necessary to fulfill the entitlement of the Kaktovik Inupiat Corporation under sections 12 and 14 of the Alaska Native Claims Settlement Act (43 U.S.C. 1611, 1613), as determined by the Secretary, convey to that Corporation the surface estate of the land described in paragraph (1) of Public Land Order 6959, in accordance with the terms and conditions of the agreement between the Secretary, the United States Fish and Wildlife Service, the Bureau of Land Management, and the Kaktovik Inupiat Corporation, dated January 22, 1993; and</text> </paragraph><paragraph commented="no" display-inline="no-display-inline" id="HD6A2021A09AB4E0FAECBCBEF2B3CA916"><enum>(2)</enum><text>convey to the Arctic Slope Regional Corporation the remaining subsurface estate to which that Corporation is entitled under the agreement between that corporation and the United States, dated August 9, 1983.</text> </paragraph></section></chapter></subtitle><subtitle id="H68A88DEF40E84FFA962E2C7F03A481D0"><enum>B</enum><header>Revocation of Energy-Restricting BLM Lockup</header> <section id="H5B2A38AA139148DFBAD78BFD8FB1CD1D"><enum>331.</enum><header>Revocation of Secretarial Order No. 3310</header><text display-inline="no-display-inline">Secretarial Order No. 3310, dated December 22, 2010, relating to protecting wilderness characteristics on lands managed by the Bureau of Land Management is hereby revoked.</text> </section><chapter id="H3EAF22B5BD8448C9BD1852481E6199BC"><enum>1</enum><header>Expedited Shale Leasing of Federal Lands</header> <section id="H021C49B42880460D8B83A05B443F13BA"><enum>341.</enum><header>Opening of lands to oil shale leasing</header> <subsection id="HDAA77395B2F34A29A9B51EF69DB4F2B0"><enum>(a)</enum><header>Repeal of Limitation on Use of Funds</header><text>Section 433 of division F of the Consolidated Appropriations Act, 2008 (Public Law 110–161; 121 Stat. 2152) is repealed.</text> </subsection><subsection id="H28E52A6B53C34D7A9E522C575D9AAF2C"><enum>(b)</enum><header>Issuance of Regulations</header><text>The Secretary of the Interior shall issue all regulations necessary to implement section 369 of the Energy Policy Act of 2005 (Public Law 109–58; 42 U.S.C. 15927) with respect to oil shale by not later than 60 days after the date of the enactment of this Act. Such regulations shall include such safeguards and assurances as the Secretary considers necessary to allow States to exercise their regulatory and statutory authorities under State law, consistent with otherwise applicable Federal law.</text> </subsection><subsection id="H13189AF63C8749028976E0DB19816DF6"><enum>(c)</enum><header>Leasing of Oil Shale Resource</header><text>Immediately after issuing regulations under subsection (b), the Secretary of the Interior shall—</text> <paragraph id="HAC087A9C6FFD48B1920F1F5335A06617"><enum>(1)</enum><text>offer for leasing for research and development of oil shale resources under subsection (c) of section 369 of the Energy Policy Act of 2005 (Public Law 109–58; 42 U.S.C. 15927), additional 160-acre tracts of lands the Secretary considers necessary to fulfill the research and development objectives of such Act; and</text> </paragraph><paragraph id="H58A6D772F06244329172A9AD2E9218A0"><enum>(2)</enum><text>offer for leasing for commercial exploration, development, and production of oil shale resources under subsection (e) of such section, public lands in States for which the Secretary finds sufficient support and interest as required by that subsection.</text> </paragraph></subsection></section></chapter><chapter id="H2437AA3466F24EA8AD4A40EF653F2415"><enum>2</enum><header>Judicial Review Regarding Energy Projects</header> <section id="H4C56D00CDBE346B1ACD6D18E395CFD8D"><enum>351.</enum><header>Exclusive jurisdiction over causes and claims relating to covered energy projects</header><text display-inline="no-display-inline">Notwithstanding any other provision of law, the United States District Court for the District of Columbia shall have exclusive jurisdiction to hear all causes and claims under this subtitle or any other provision of law that arise from any covered energy project.</text> </section><section id="HA94AA2AFF6714D808F6F1ED1B37B5723"><enum>352.</enum><header>Time for filing complaint</header><text display-inline="no-display-inline">All causes and claims referred to in section 351 must be filed not later than the end of the 60-day period beginning on the date of the action or decision by a Federal official that constitutes the covered energy project concerned. Any cause or claim not filed within that time period shall be barred.</text> </section><section id="H0E1EB95DB5194CFE90A19FCB5B6E66A2"><enum>353.</enum><header>District Court for the District of Columbia deadline</header> <subsection id="HAA6647D3E92C4B2098A459DDFB384C6E"><enum>(a)</enum><header>In general</header><text>All proceedings that are subject to section 351—</text> <paragraph id="H924B6020088E4348B96EF610E144686F"><enum>(1)</enum><text>shall be resolved as expeditiously as possible, and in any event not more than 180 days after such cause or claim is filed; and</text> </paragraph><paragraph id="HE3BDB2E9D3AE4F1ABC8901FE7F861309"><enum>(2)</enum><text>shall take precedence over all other pending matters before the district court.</text> </paragraph></subsection><subsection id="H9FBD58EF02694DC7A40975872FCE21FB"><enum>(b)</enum><header>Failure To comply with deadline</header><text>If an interlocutory or final judgment, decree, or order has not been issued by the district court by the deadline described under this section, the cause or claim shall be dismissed with prejudice and all rights relating to such cause or claim shall be terminated.</text> </subsection></section><section id="H0E5DF53784B442DBA8AAE50C8CB51BE0"><enum>354.</enum><header>Ability to seek appellate review</header><text display-inline="no-display-inline">An interlocutory or final judgment, decree, or order of the district court in a proceeding that is subject to section 351 may be reviewed by no other court except the Supreme Court.</text> </section><section id="H009B9D9F34594B26A76237FF1F289892"><enum>355.</enum><header>Deadline for appeal to the Supreme Court</header><text display-inline="no-display-inline">If a writ of certiorari has been granted by the Supreme Court pursuant to section 354, then—</text> <paragraph id="H72786AEE480344F9ABF651B90B304919"><enum>(1)</enum><text>the interlocutory or final judgment, decree, or order of the district court shall be resolved as expeditiously as possible and in any event not more than 180 days after such interlocutory or final judgment, decree, order of the district court is issued; and</text> </paragraph><paragraph id="HF8292FF40BF6494CA5A8C4837E0FB604"><enum>(2)</enum><text>all such proceedings shall take precedence over all other matters then before the Supreme Court.</text> </paragraph></section><section id="H3736206BEDEA46A189BE2402892C44C3"><enum>356.</enum><header>Covered energy project defined</header><text display-inline="no-display-inline">In this chapter, the term <term>covered energy project</term> means any action or decision by the President or a Federal official regarding—</text> <paragraph id="H47BDF045C6AA45EFB788B5B58928DDA2"><enum>(1)</enum><text>the leasing of Federal lands (including submerged lands) for the exploration, development, production, processing, or transmission of oil, natural gas, or any other source or form of energy, including actions and decisions regarding the selection or offering of Federal lands for such leasing; or</text> </paragraph><paragraph id="H40364280721844AF913716A6E49B73B2"><enum>(2)</enum><text>any action under such a lease.</text> </paragraph></section><section commented="no" id="HE2D695B761DE476F8130984822D9D690"><enum>357.</enum><header>Limitation on application</header><text display-inline="no-display-inline">This chapter shall not apply with respect to a covered energy project to the extent such application would be inconsistent with chapter 3.</text> </section></chapter><chapter id="H339A9F819DF64E2AA83DDB4C2C630DFA"><enum>3</enum><header>Permitting reform</header> <section id="HC876FBAC75044E75BB8BC44787851145" section-type="subsequent-section"><enum>361.</enum><header>Purposes</header><text display-inline="no-display-inline">The purposes of this chapter are to—</text> <paragraph id="H559A2D959F164CBFBE39CBF2D6839529"><enum>(1)</enum><text>respond to the Nation’s increased need for domestic energy resources;</text> </paragraph><paragraph id="H0CC872631ECA4BFDB69A0411B922B492"><enum>(2)</enum><text>facilitate interagency coordination and cooperation in the processing of permits required to support oil and gas use authorization on Federal lands, both onshore and on the Outer Continental Shelf, in order to achieve greater consistency, certainty, and timeliness in permit processing requirements;</text> </paragraph><paragraph id="H82A436987D234CBF8B141B65E517B5F8"><enum>(3)</enum><text>promote process streamlining and increased interagency efficiency, including elimination of interagency duplication of effort;</text> </paragraph><paragraph id="HA9DACCA0BBA24DADB4C29E794BD936AA"><enum>(4)</enum><text>improve information sharing among agencies and understanding of respective agency roles and responsibilities;</text> </paragraph><paragraph id="H38FEBE4CC75246819F9EB44409B240A7"><enum>(5)</enum><text>promote coordination with State agencies with expertise and responsibilities related to Federal oil and gas permitting decisions;</text> </paragraph><paragraph id="H8E1080F6DD9B45E9BC96E979ECACF63F"><enum>(6)</enum><text>promote responsible stewardship of Federal oil and gas resources;</text> </paragraph><paragraph id="H53297EF47FEC490B991D41969FE83326"><enum>(7)</enum><text>maintain high standards of safety and environmental protection; and</text> </paragraph><paragraph id="HF8AB586093A44FBEBEE23E56F6345A8E"><enum>(8)</enum><text>enhance the benefits to Federal permitting already occurring as a result of a coordinated and timely interagency process for oil and gas permit review for certain Federal oil and gas leases.</text> </paragraph></section><section id="H6261ED736D024D8E8B300255B29A8988"><enum>362.</enum><header>Federal Coordinator</header> <subsection id="HEAA5264129F34D7898BE6FC9C101484D"><enum>(a)</enum><header>Establishment</header><text>There is established, as an independent agency in the Executive Branch, the Office of the Federal Oil and Gas Permit Coordinator.</text> </subsection><subsection id="H95473AD4DA484A1381B6BA32BD3A3A12"><enum>(b)</enum><header>Federal permit coordinator</header><text>The Office shall be headed by a Federal Permit Coordinator, who shall be appointed by the President within 90 days after the date of enactment of this Act.</text> </subsection><subsection id="H686072CC5A2E41019607A903844DA37B"><enum>(c)</enum><header>Duties</header><text>The Federal Permit Coordinator shall be responsible for the following:</text> <paragraph id="H249D9D4649704C198D3DBC37D21FD547"><enum>(1)</enum><text>Coordinating the timely completion of all permitting activities by Federal agencies, and State agencies to the maximum extent practicable, with respect to any oil and gas project under a Federal lease issued pursuant to the mineral leasing laws, either onshore or on the Outer Continental Shelf. For purposes of this chapter only, such oil and gas projects shall include oil shale projects under Federal oil shale leases.</text> </paragraph><paragraph id="H4ECCD1AA7DD8439BAE2DAE1204EAFEB3"><enum>(2)</enum><text>Ensuring the compliance of Federal agencies, and State agencies to the extent they participate, with this chapter.</text> </paragraph></subsection></section><section id="HCABD5E532B804BFA8D49D7A9C20AAF3D"><enum>363.</enum><header>Regional Offices and Regional Permit Coordinators</header> <subsection id="HD09B682F827648EEA0CB2F765CD3FBF6"><enum>(a)</enum><header>Regional offices</header><text>Within 90 days after the date of appointment of the Federal Permit Coordinator, the Secretary of the Interior (Secretary), in consultation with the Federal Permit Coordinator, shall establish regional offices to coordinate review of Federal permits for oil and gas projects on Federal lands onshore and on the Outer Continental Shelf.</text> </subsection><subsection id="HBB6EE945A4A44DB3BB7BE26894AB28BF"><enum>(b)</enum><header>Number and location of regional offices</header><text>The number of regional offices shall be established by the Secretary in consultation with the Federal Permit Coordinator. The Secretary shall ensure that there is an adequate number of offices in each region proximate to available Federal oil and gas lease tracts onshore and on the Outer Continental Shelf to meet the demands for expeditious permitting in that region. The Secretary shall designate as regional offices under this section all offices established under section 365 of the Energy Policy Act of 2005 (42 U.S.C. 15924).</text> </subsection><subsection id="HDC8A4254B5504B92AB60207C16B7E4C7"><enum>(c)</enum><header>Memorandum of understanding</header><text>Within 90 days after the appointment of the Federal Permit Coordinator, the Federal Permit Coordinator, the Secretary, the Secretary of Agriculture, the Secretary of Commerce, the Secretary of Homeland Security, the Administrator of the Environmental Protection Agency, the Secretary of Defense, and the head of any other Federal agency with responsibilities related to permitting of Federal oil and gas leases, shall enter into a memorandum of understanding (MOU) establishing respective duties and responsibilities for staffing the regional offices and accomplishing the objectives of this section.</text> </subsection><subsection id="H015F248C5A414D399E8A86E67F1E4F33"><enum>(d)</enum><header>Designation of qualified staff</header> <paragraph id="H5DE8BE69C9EE490AAD65E35CFE110DD7"><enum>(1)</enum><header>In general</header><text>Not later than 30 days after the date of signing of the MOU under subsection (c), all Federal signatory agencies shall assign to each regional office the appropriate employees with expertise in the oil and gas permitting issues relating to that office, including, but not limited, with respect to—</text> <subparagraph id="HA143F8C0E0A842B3A81BB4FB355C0E7E"><enum>(A)</enum><text>consultation and preparation of biological opinions under section 7 of the Endangered Species Act of 1973 (16 U.S.C. 1536);</text> </subparagraph><subparagraph id="H2C1BB2919541401BA66DC124281B10C6"><enum>(B)</enum><text>permits under section 404 of Federal Water Pollution Control Act (33 U.S.C. 1344);</text> </subparagraph><subparagraph id="H85F7539792D145ACBE69665E120E68D9"><enum>(C)</enum><text>regulatory matters under the Clean Air Act (42 U.S.C. 7401 et seq.);</text> </subparagraph><subparagraph id="HAA2FD0D4B7274A56BB7C8401D043AE6B"><enum>(D)</enum><text>planning under the National Forest Management Act of 1976 (16 U.S.C. 472a et seq.);</text> </subparagraph><subparagraph id="H30A59AECCCBB49A9925CC57FF1129FEA"><enum>(E)</enum><text>the preparation of analyses under the National Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.) (NEPA);</text> </subparagraph><subparagraph id="HDD4395ADEECA40B1925E6173AF79055A"><enum>(F)</enum><text>applications for permits to drill under the Mineral Leasing Act (30 U.S.C. 181 et seq.); and</text> </subparagraph><subparagraph id="HA68A73142AAB43B982EDAA9D809F131B"><enum>(G)</enum><text>exploration plans and development and production plans under the Outer Continental Shelf Lands Act (43 U.S.C. 1331 et seq.).</text> </subparagraph></paragraph><paragraph id="H9405EE444D784E0AA7D303C7B963E531"><enum>(2)</enum><header>Preference and incentives</header><text>To the maximum extent practicable, for purposes of this subsection, Federal agencies shall give preference to employees volunteering for reassignment to the regional offices, and shall offer incentives to attract and retain regional office employees, including, but not limited to, retaining contract employees, rotational assignments, salary incentives of up to 120 percent of an employee’s existing salary immediately prior to reassignment, or any combination of strategies.</text> </paragraph></subsection><subsection id="H8CDEAAB3C9E2425E8DC599091C690F3A"><enum>(e)</enum><header>Duties</header><text>Each employee assigned under subsection (d) shall—</text> <paragraph id="HA43E08D1CFDB4516B8A7944AC9040A2A"><enum>(1)</enum><text>within 90 days after the date of assignment, report to the regional office to which the employee is assigned;</text> </paragraph><paragraph id="HDEA3303071AA48C896CA3D8A665D53D1"><enum>(2)</enum><text>be responsible for all issues relating to the jurisdiction of the home office or agency of the employee; and</text> </paragraph><paragraph id="H6BDC615F02DC430390A7C1DEDB4A6508"><enum>(3)</enum><text>participate as part of the team working on proposed oil and gas projects, planning, and environmental analyses.</text> </paragraph></subsection><subsection id="H08960ED2188E4627A4D0FABEBE76C37C"><enum>(f)</enum><header>Creation of and delegation of authority to regional permit coordinators</header><text>The Federal Permit Coordinator shall appoint a Regional Permit Coordinator to be located within each regional office established under this section, with full authority to act on behalf of the Federal Permit Coordinator.</text> </subsection><subsection id="HF2803A1130D04AAB9A3DD01B9783C171"><enum>(g)</enum><header>Additional personnel</header><text>The Federal Permit Coordinator or Regional Permit Coordinators may at any time direct that any Federal agency party to the MOU under subsection (c) assign additional staff required to implement the duties of the regional offices.</text> </subsection></section><section commented="no" display-inline="no-display-inline" id="HBA3EF6EBBC1E481A9E2057341EA71982"><enum>364.</enum><header>Reviews and actions of Federal agencies</header> <subsection commented="no" id="H546B77FFF0BD4329AE5E3BACF4FBCACE"><enum>(a)</enum><header>Schedules for timely permit decisionmaking</header><text>Within 10 days after the date on which the Secretary receives any oil and gas permit application or amended application, the Secretary shall either notify the applicant that the application is complete or notify the applicant that information is missing and specify the information that is required to be submitted for the application to be complete. Within 30 days after notifying a permit applicant that an application is complete, the Secretary, in consultation with the permit applicant as necessary, shall determine and inform the Regional Permit Coordinator responsible for that project area whether the proposed permit is a class I, class II, or class III permit. The Regional Permit Coordinator shall as soon as possible but in no event later than 30 days following the Secretary’s determination establish a binding schedule to ensure the most expeditious possible review and processing of the requested permit, in accordance with this section.</text> </subsection><subsection commented="no" id="HC59D247C1FDC4C34A31E6011B7791A4C"><enum>(b)</enum><header>Permit classes and schedules</header> <paragraph commented="no" id="H2E2A331372F94ACEACB0739C7CF3D2AF"><enum>(1)</enum><header>Class I permits</header><text>An oil and gas permit shall be designated as a class I permit under this section if the permitted activity is of a nature that would typically require preparation of an environmental impact statement under NEPA to inform the permitting decision. For such permits, the Regional Permit Coordinator shall establish a schedule for timely completion of all permit reviews and processing, not to exceed 30 months. The Regional Permit Coordinator shall make the schedule publicly available within 10 days after the schedule is established.</text> </paragraph><paragraph commented="no" id="H44508A5887B7471DB0E55F4AD3D18AFB"><enum>(2)</enum><header>Class II permits</header><text>An oil and gas permit shall be designated as a class II permit under this section if the permitted activity is of a nature that would typically be found not to significantly affect the quality of the human environment under NEPA. For such permits, the Regional Permit Coordinator shall establish the most expeditious schedule possible for completion of all permit reviews and processing, not to exceed 90 days. The Regional Permit Coordinator may grant a one-time extension of that schedule, not to exceed 60 days, upon a good cause showing that additional time is necessary to complete permit decisions. Not later than 15 days after establishing or extending any schedule for a class II permit, the Regional Permit Coordinator shall provide the permit applicant with the schedule.</text> </paragraph><paragraph commented="no" id="HD29CBB2629A54933B24347785BAD8052"><enum>(3)</enum><header>Class III permits</header><text>Notwithstanding paragraphs (1) and (2), an oil and gas permit shall be designated as a class III permit under this section if the permitted activity either qualifies for a statutory or regulatory categorical exclusion under NEPA or if the requirements under NEPA and other applicable law for the permit have been completed within 30 days after the date of a complete application. For such permits, the permit shall be issued within 30 days after the date of a complete application.</text> </paragraph><paragraph commented="no" id="H15D016FCD7A34426ADC067B9AC7D3A04"><enum>(4)</enum><header>Reclassification of class II permit</header><text>If prior to the expiration of the established schedule for a class II permit newly discovered information indicates that the class II permit will significantly affect the quality of the human environment, the Secretary may, in consultation with the permit applicant, reclassify the permit as a class I permit under paragraph (1), and the Regional Coordinator shall establish an amended schedule that complies with the provisions of that paragraph.</text> </paragraph></subsection><subsection commented="no" id="HD6005EC6AB714D00B5B908F305A7E475"><enum>(c)</enum><header>Reporting</header><text>The Regional Permit Coordinators shall include data on all schedule timing and compliance in their reports to the Federal Permit Coordinator required under subsection (i), who shall include such data in the report to the President and Congress required under subsection (i).</text> </subsection><subsection commented="no" id="HC30CA2377C8C472E97FA80B92D2A2F9F"><enum>(d)</enum><header>Dispute resolution</header><text>The Regional Permit Coordinator shall resolve all administrative issues that affect oil and gas permit reviews. The Regional Permit Coordinator shall report jointly to the Federal Permit Coordinator and to the head of the relevant action agency, or his or her designee, for resolution of any issue regarding an oil and gas permit that may result in missing the schedule deadlines established pursuant to subsection (b). The Regional Permit Coordinators shall include data regarding the incidence and resolution of disputes under this subsection in their reports to the Federal Permit Coordinator required under subsection (i), who shall include such reported data and develop recommendations in the report to the President and Congress required under subsection (i).</text> </subsection><subsection commented="no" id="H16BC5A9B35764228A9898750B14143C1"><enum>(e)</enum><header>Remedies</header><text>An applicant for a class I permit may bring a cause of action to seek expedited mandamus review, if a Regional Permit Coordinator or the Secretary fails to—</text> <paragraph commented="no" id="H442D37C7EB1D4015A67BAEF08A030C1E"><enum>(1)</enum><text>establish a schedule in accordance with subsection (b);</text> </paragraph><paragraph commented="no" id="HD8196214C95A4295B202B2A5D4D39E35"><enum>(2)</enum><text>enforce and ensure completion of reviews within schedule deadlines; or</text> </paragraph><paragraph commented="no" id="H533A5C0240864131B379C56741F78CE4"><enum>(3)</enum><text>take all actions as are necessary and proper to avoid jeopardizing the timely completion of the entire schedule.</text> </paragraph><continuation-text commented="no" continuation-text-level="subsection">If an agency fails to complete its review of and issue a decision upon a permit within the schedule established by the Court, that permit shall be deemed granted to the applicant.</continuation-text></subsection><subsection commented="no" id="H8B6EF0F868834642A93837A940939221"><enum>(f)</enum><header>Prohibition of certain terms and conditions</header><text>No Federal agency may include in any permit, right-of-way, or other authorization issued for an oil and gas project subject to the provisions of this chapter, any term or condition that may be authorized, but is not required, by the provisions of any applicable law, if the Federal Permit Coordinator determines that such term or condition would prevent or impair in any significant respect completion of a permit review within the time schedule established pursuant to subsection (b) or would otherwise impair in any significant respect expeditious oil and gas development. The Federal Permit Coordinator shall not have any authority to impose any terms, conditions, or requirements beyond those imposed by any Federal law, agency, regulation, or lease term.</text> </subsection><subsection commented="no" id="HC878B57728D943248BA6E594119D30FB"><enum>(g)</enum><header>Consolidated record</header><text>The Federal Permit Coordinator, acting through the appropriate Regional Permit Coordinator, with the cooperation of Federal and State administrative officials and agencies, shall maintain a complete, consolidated record of all decisions made or actions taken by the Federal Permit Coordinator or Regional Permit Coordinator or by any Federal agency with respect to any oil and gas permit.</text> </subsection><subsection commented="no" id="H71E1E62EC9DC4DD095020B0E6DFA96B2"><enum>(h)</enum><header>Relationship to NEPA and Energy Policy Act of 2005</header> <paragraph commented="no" id="H045E1DCC462943CAA9916F18E7FCDC8B"><enum>(1)</enum><text>Section 390(a) of the Energy Policy Act of 2005 (42 U.S.C. 15942(a)) is amended—</text> <subparagraph commented="no" id="H20E36E1560DE4252BBD007C82CF806EA"><enum>(A)</enum><text>by striking <quote>rebuttable presumption that the use of a</quote>; and</text> </subparagraph><subparagraph commented="no" id="H4A36D3369D9244B88DA6326F89C0CF2F"><enum>(B)</enum><text>by striking <quote>would apply</quote>.</text> </subparagraph></paragraph><paragraph commented="no" id="H8B0970181C5F4FE6AE8D5056BCCFC318"><enum>(2)</enum><text>Section 17(p) of the Mineral Leasing Act (30 U.S.C. 226(p)) is repealed.</text> </paragraph></subsection><subsection commented="no" id="H76CBD047F7894867BF5564C37CC180D6"><enum>(i)</enum><header>Additional powers and responsibilities</header> <paragraph commented="no" id="HE10F84D92EAE4D05946E0C4DFDD8F014"><enum>(1)</enum><header>Regional Permit Coordinator reports</header><text>The Regional Permit Coordinators shall each submit a report to the Federal Permit Coordinator by December 31 of each year that documents each office’s performance in meeting the objectives under this chapter, including recommendations to further streamline the permitting process.</text> </paragraph><paragraph commented="no" id="HE87C728D536F49C68FBB59A24A1DF7BB"><enum>(2)</enum><header>Redirection of priorities or resources</header><text display-inline="yes-display-inline">In order to expedite overall permitting activity, the Federal Permit Coordinator may redirect the priority of regional office activities or the allocation of resources among such offices, and shall engage the agencies that are parties to the MOU to the extent such adjustments implicate their respective staffs or resources.</text> </paragraph><paragraph commented="no" id="HAD8A048019614884A35E78F41EEB3CA7"><enum>(3)</enum><header>Report to congress</header><text>Beginning three years after the date of enactment of this Act, the Federal Permit Coordinator shall prepare and submit a report to the President and Congress by April 15 of each year that outlines the results achieved under this chapter and makes recommendations to the President and Congress for further improvements in processing oil and gas permits on Federal lands.</text> </paragraph></subsection></section><section id="H2511274353B143C2BDADAD582F5333EB"><enum>365.</enum><header>State coordination</header><text display-inline="no-display-inline">The Governor of any State wherein an oil and gas operation may require a Federal permit, or the coastline of which is in immediate geographic proximity to oil and gas operations on the Outer Continental Shelf, may be a signatory to the MOU for purposes of fulfilling any State responsibilities with respect to Federal oil and gas permitting decisions. The Regional Permit Coordinators shall facilitate and coordinate concurrent State reviews of requested permits for oil and gas projects on the Outer Continental Shelf.</text> </section><section id="H063535750BE8425297DA32A9412190C4"><enum>366.</enum><header>Savings provision</header><text display-inline="no-display-inline">Except as expressly stated, nothing in this chapter affects—</text> <paragraph id="H1CEE4C72ACCE4869A06CACE1889721B6"><enum>(1)</enum><text>the applicability of any Federal or State law; or</text> </paragraph><paragraph id="HCA00A274905A445F9C52376FA61DE423"><enum>(2)</enum><text>any delegation of authority made by the head of a Federal agency the employees of which are participating in the implementation of this section.</text> </paragraph></section><section id="HD2C0AB5E2F2C425EA2CA43AA2E8B6275"><enum>367.</enum><header>Administrative and judicial review</header> <subsection id="H39F6BB887EAE4F1C82AF1B3F6293B97C"><enum>(a)</enum><header>Administrative review</header><text>Any oil and gas permitting decision for Federal lands onshore or on the Outer Continental Shelf that was issued in accordance with the procedures established by this chapter shall not be subject to further administrative review within the respective Federal agency responsible for that decision, and shall be the final decision of that agency for purposes of judicial review.</text> </subsection><subsection id="H056F359B4C1E4A4ABD15D6C0832CA7AB"><enum>(b)</enum><header>Exclusive jurisdiction over permit decisions</header><text>Only the United States District Court for the District of Columbia shall have original jurisdiction over any civil action for the review of such a permit decision.</text> </subsection><subsection id="HDB1DD82D66FE48A7899F5186A012B2B1"><enum>(c)</enum><header>Limitations on claims</header><text>Notwithstanding any other provision of law, any action arising under Federal law seeking judicial review of a permit, license, or approval issued by a Federal agency for an oil and gas permit subject to this chapter shall be barred unless it is filed within 90 days of the date of the decision. Nothing in this chapter shall create a right to judicial review or places any limit on filing a claim that a person has violated the terms of a permit, license, or approval.</text> </subsection><subsection commented="no" id="HAD7E9D41F37F4C1A9C95F78710A4B53A"><enum>(d)</enum><header>Filing of record</header><text>When any civil action is brought pursuant to this chapter, the Federal Permit Coordinator shall immediately prepare for the court a consolidated record.</text> </subsection><subsection id="H63C8A78591834239A1426613CFDD8504"><enum>(e)</enum><header>Expedited review</header><text>Any action for judicial review challenging a decision approved pursuant to this section shall be set for consideration by not later than 90 days after the date the action is filed.</text> </subsection><subsection commented="no" id="HAED8FA629DC542CB83707096ACB28BAA"><enum>(f)</enum><header>Expedited mandamus review</header><text>Notwithstanding subsection (e), within 30 days after the filing of an action challenging or seeking to enforce an established permit review schedule for a class I permit, the court shall issue a decision either compelling permit issuance or sanctioning the delay and establishing a new schedule that enables the most expeditious possible completion of proceedings. In rendering its decision, the court shall review whether the agencies subject to the schedule have been acting in good faith, whether the permit applicant has been cooperating fully with the agencies that are responsible for issuing the requested permits, and any other relevant matters. The court may issue orders to enforce any schedule it establishes under this subsection.</text> </subsection><subsection id="H04B39C4C35B54BD78F1C5E389355C8F7"><enum>(g)</enum><header>No private right of action</header><text>This chapter shall not be construed to create any additional right, benefit, or trust responsibility, substantive or procedural, enforceable at law or equity, by a person against the United States, its agencies, its officers, or any person.</text> </subsection><subsection id="HCBFD39EEAF024C78A6F3C16092B503C2"><enum>(h)</enum><header>Finality of leasing decisions</header><text>Notwithstanding the provisions of any law or regulation to the contrary, a decision by the Bureau of Land Management or the Minerals Management Service to issue a Final Notice of Sale and proceed with an oil and gas lease sale pursuant to any mineral leasing law shall not be subject to further administrative review within the Department of the Interior, and shall be the final decision of the agency for purposes of judicial review.</text> </subsection></section><section id="HA8B91847471B454E8E59730CA6C00B89"><enum>368.</enum><header>Amendments to publication process</header><text display-inline="no-display-inline">Section 18 of the Outer Continental Shelf Lands Act (43 U.S.C. 1344) is amended—</text> <paragraph id="H2637FA4D34C74CC38B51FED25576C57B"><enum>(1)</enum><text>by amending subsection (c)(2) to read as follows:</text> <quoted-block display-inline="no-display-inline" id="H459EA63043DF4F7FBB3A3D699C4A571D" style="OLC"> <paragraph id="H64D9FC5507CD428B98E6FBFE1F5B8FB2"><enum>(2)</enum><text display-inline="yes-display-inline">The Secretary shall publish a proposed leasing program in the Federal Register, and shall submit a copy of such 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 his State which he, in his discretion, determines will be affected by the proposed program.</text> </paragraph><after-quoted-block>;</after-quoted-block></quoted-block> </paragraph><paragraph id="HA14144DCC3564C2C9ADA55F0B82D4B7B"><enum>(2)</enum><text>by striking subsection (c)(3); and</text> </paragraph><paragraph id="HB7D59109D98D4F1CBBA475A91AB892AB"><enum>(3)</enum><text>in subsection (d)(2) by inserting <quote>final</quote> after <quote>proposed</quote>.</text> </paragraph></section><section id="H17DFC91D4D0C4135964A8BC498BDE952"><enum>369.</enum><header>Repeal of fee for permits to drill</header><text display-inline="no-display-inline">Public Law 110–161 is amended under the heading <quote><header-in-text level="appropriations-intermediate" style="appropriations">Bureau of Land Management</header-in-text>—<header-in-text level="appropriations-small" style="appropriations">management of lands and resources</header-in-text></quote> (121 Stat. 2098) by striking <quote>to be reduced by amounts collected by the Bureau and credited to this appropriation that shall be derived from $4,000 per new application for permit to drill that the Bureau shall collect upon submission of each new application,</quote>.</text> </section><section display-inline="no-display-inline" id="HCED6F9D2DF5F45F9A811644831915D38"><enum>370.</enum><header>Alaska Offshore Continental Shelf Coordination Office</header> <subsection id="HFA131E78EE5E4D3B9EDFDE509DDBD5D2"><enum>(a)</enum><header>Establishment</header><text>The Secretary of the Interior shall establish and maintain, in coordination with the Mayor of the North Slope Borough of Alaska, a separate office to be known as the Alaska Offshore Continental Shelf Coordination Office.</text> </subsection><subsection id="HF7B0532F63C14657B7BF179CAE5C6081"><enum>(b)</enum><header>Purpose</header><text>The purpose of the office shall be to—</text> <paragraph id="H61486E4E12244D8F8FC49537588DD416"><enum>(1)</enum><text>coordinate the leasing of the Outer Continental Shelf off the coast of Alaska;</text> </paragraph><paragraph id="H58D32ECF60104686BA86446EB8DBE530"><enum>(2)</enum><text>advise persons awarded such leases on local conditions and the history of areas affected by development of the oil and gas resources of the Outer Continental Shelf off the coast of Alaska;</text> </paragraph><paragraph id="H50E4087ABB8A40EE861F6200B019D515"><enum>(3)</enum><text>provide to the Committee on Natural Resources of the House of Representatives and the Committee on Energy and Natural Resources of the Senate annual reports on the status of the coordination between such and communities affected by such development;</text> </paragraph><paragraph id="H4D98E67D04894686979E0D48B62119D6"><enum>(4)</enum><text>collect from residents of the North Slope of Alaska information regarding the impacts of such development on marine wildlife, coastal habitats, marine and coastal subsistence resources, and the marine and coastal environment of Alaska’s North Slope region; and</text> </paragraph><paragraph id="H021497AEAB6E49F7ACADBA64D5BC75A6"><enum>(5)</enum><text>ensure that the information collected under paragraph (3) is submitted to—</text> <subparagraph id="HDA1BF31DC35F460C9B367DB5D6147348"><enum>(A)</enum><text>developers of such resources; and</text> </subparagraph><subparagraph id="HC97796E73BDB42CA8B2C1DD71B098210"><enum>(B)</enum><text>any appropriate Federal agency.</text> </subparagraph></paragraph></subsection></section></chapter></subtitle><subtitle id="HDDD97CFE1F6F4817880BCCC694652AD7"><enum>C</enum><header>Relief From Regulations and Prohibitions that Cause Artificial Price Increases</header> <chapter id="H29E2511248CB4170BFFE2AF0F818DAD5"><enum>1</enum><header>Relief from EPA climate change regulations and Federal prohibitions on synthetic fuels </header> <section commented="no" id="H745E98A175AE4A6B815A156BEB9B8476"><enum>371.</enum><header>Repeal of EPA climate change regulation</header> <subsection commented="no" id="HA5A3370108254EB599DC7552E969BDBA"><enum>(a)</enum><header>Greenhouse gas regulation under Clean Air Act</header><text display-inline="yes-display-inline">Section 302(g) of the Clean Air Act (42 U.S.C. 7602(g)) is amended by adding the following at the end thereof: <quote>The term <term>air pollutant</term> shall not include carbon dioxide, water vapor, methane, nitrous oxide, hydrofluorocarbons, perfluorocarbons, or sulfur hexafluoride.</quote>.</text> </subsection><subsection commented="no" id="H7D1FFDD779FA44A4BDDFBB2B9DD90F08"><enum>(b)</enum><header>No regulation of climate change</header><text display-inline="yes-display-inline">Nothing in the Clean Air Act (42 U.S.C. 7401 et seq.), the Federal Water Pollution Control Act (33 U.S.C. 1251 et seq.), the National Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.), the Endangered Species Act of 1973 (16 U.S.C. 1531 et seq.), or the Solid Waste Disposal Act (42 U.S.C. 6901 et seq.), shall be treated as authorizing or requiring the regulation of climate change or global warming.</text> </subsection></section><section id="H75F62864A2D445F0A66E1C2FE26FADEF"><enum>372.</enum><header>Repeal of Federal ban on synthetic fuels purchasing requirement</header><text display-inline="no-display-inline">Section 526 of the Energy Independence and Security Act of 2007 (42 U.S.C. 17142) is repealed.</text> </section></chapter><chapter id="HCA4E5A54B6D74492AFDCC09285B97302"><enum>2</enum><header>Refinery reform</header> <section commented="no" display-inline="no-display-inline" id="H546EB1CE729A48EFB5D426671FEFD56C"><enum>381.</enum><header>Refinery permitting process</header> <subsection commented="no" id="HAC99F02C8D734FEAA6B498B80F104FDC"><enum>(a)</enum><header>Definitions</header><text>In this section:</text> <paragraph commented="no" id="H44941FFBD09D476FA1F6DE3FC26E879E"><enum>(1)</enum><header>Administrator</header><text>The term <term>Administrator</term> means the Administrator of the Environmental Protection Agency.</text> </paragraph><paragraph commented="no" id="H4E7DF943F59D435794B85259EE0381AE"><enum>(2)</enum><header>Expansion</header><text>The term <term>expansion</term> means a physical change that results in an increase in the capacity of a refinery.</text> </paragraph><paragraph commented="no" id="HDE87ACEA60114DA58B24A7BCE974D25E"><enum>(3)</enum><header>Indian tribe</header><text>The term <term>Indian tribe</term> has the meaning given the term in section 4 of the Indian Self-Determination and Education Assistance Act (25 U.S.C. 450b).</text> </paragraph><paragraph commented="no" id="HC01EC69543784821B8037E8FD635C3C7"><enum>(4)</enum><header>Permit</header><text>The term <term>permit</term> means any permit, license, approval, variance, or other form of authorization that a refiner is required to obtain—</text> <subparagraph commented="no" id="H8D839907D4B14F12920A6F2B729D31CD"><enum>(A)</enum><text>under any Federal law; or</text> </subparagraph><subparagraph commented="no" id="H5EED355AFE3B41FCAA3A2CDC9B3AFC16"><enum>(B)</enum><text>from a State or Indian tribal government agency delegated authority by the Federal Government, or authorized under Federal law, to issue permits.</text> </subparagraph></paragraph><paragraph commented="no" id="H6E594B9D2EC04E989E7AE2DAFC7D0648"><enum>(5)</enum><header>Refiner</header><text>The term <term>refiner</term> means a person that—</text> <subparagraph commented="no" id="HB2E093A7F2434C2A8DA9B7AC23E82DC3"><enum>(A)</enum><text>owns or operates a refinery; or</text> </subparagraph><subparagraph commented="no" id="H2215CFDCB63E41498ACBC86ABCCAA146"><enum>(B)</enum><text>seeks to become an owner or operator of a refinery.</text> </subparagraph></paragraph><paragraph commented="no" id="H747CD0457415402C80CFCF6A09BF6FCB"><enum>(6)</enum><header>Refinery</header> <subparagraph commented="no" id="HEEBE33C54F8C43E7A3B20F59BABFC09C"><enum>(A)</enum><header>In general</header><text>The term <term>refinery</term> means—</text> <clause commented="no" id="HE784EBEB489D4E7B9B1009D285250241"><enum>(i)</enum><text>a facility at which crude oil is refined into transportation fuel or other petroleum products; and</text> </clause><clause commented="no" id="H04C6B6971AE24E3A90AF66706CF2B8F3"><enum>(ii)</enum><text>a coal liquification or coal-to-liquid facility at which coal is processed into synthetic crude oil or any other fuel.</text> </clause></subparagraph><subparagraph commented="no" id="H847BA0A477FC4EA99DBBAB700C1515AC"><enum>(B)</enum><header>Inclusions</header><text>The term <term>refinery</term> includes an expansion of a refinery.</text> </subparagraph></paragraph><paragraph commented="no" id="H81460F7644874D10A578EDB438E91AE1"><enum>(7)</enum><header>Refinery permitting agreement</header><text>The term <term>refinery permitting agreement</term> means an agreement entered into between the Administrator and a State or Indian tribe under subsection (b).</text> </paragraph><paragraph commented="no" id="H89FF3E7537D641EFB13444BFD0605849"><enum>(8)</enum><header>Secretary</header><text>The term <term>Secretary</term> means the Secretary of Commerce.</text> </paragraph><paragraph commented="no" id="HD4CA71F5B88347389C07F3611591266B"><enum>(9)</enum><header>State</header><text>The term <term>State</term> means—</text> <subparagraph commented="no" id="H278589251488401D83DF2F24DAD4CC5A"><enum>(A)</enum><text>a State;</text> </subparagraph><subparagraph commented="no" id="H071E44EC209848878929B88F4808E255"><enum>(B)</enum><text>the District of Columbia;</text> </subparagraph><subparagraph commented="no" id="H4F47CAF3377C4A70BD90DB6D1597523E"><enum>(C)</enum><text>the Commonwealth of Puerto Rico; and</text> </subparagraph><subparagraph commented="no" id="H9178C9BFE3DC4F4CBBCB781CF3DA7048"><enum>(D)</enum><text>any other territory or possession of the United States.</text> </subparagraph></paragraph></subsection><subsection commented="no" id="H783BD7FA86FB46629D71573A3EE00187"><enum>(b)</enum><header>Streamlining of refinery permitting process</header> <paragraph commented="no" id="H55A7B9A02D604590BD6E4095CD753F3E"><enum>(1)</enum><header>In general</header><text>At the request of the Governor of a State or the governing body of an Indian tribe, the Administrator shall enter into a refinery permitting agreement with the State or Indian tribe under which the process for obtaining all permits necessary for the construction and operation of a refinery shall be streamlined using a systematic interdisciplinary multimedia approach as provided in this section.</text> </paragraph><paragraph commented="no" id="HB5BE2EA397C14034BF9DF39029463D66"><enum>(2)</enum><header>Authority of Administrator</header><text>Under a refinery permitting agreement the Administrator shall have authority, as applicable and necessary, to—</text> <subparagraph commented="no" id="H1E9026567BFC4C6E9D2BC7E9B6C5425F"><enum>(A)</enum><text>accept from a refiner a consolidated application for all permits that the refiner is required to obtain to construct and operate a refinery;</text> </subparagraph><subparagraph id="HF3C48AC6C55A4EFD9C85A98712670A41"><enum>(B)</enum><text>in consultation and cooperation with each Federal, State, or Indian tribal government agency that is required to make any determination to authorize the issuance of a permit, establish a schedule under which each agency shall—</text> <clause commented="no" id="H6C37A2AFC4BE44D3AD8DAE976F0ADEB7"><enum>(i)</enum><text>concurrently consider, to the maximum extent practicable, each determination to be made; and</text> </clause><clause commented="no" id="H822BB376B74F47228B7F9CBE9D3EF419"><enum>(ii)</enum><text>complete each step in the permitting process; and</text> </clause></subparagraph><subparagraph commented="no" id="H04395B1D125743549DCB3EF6C3168109"><enum>(C)</enum><text>issue a consolidated permit that combines all permits issued under the schedule established under subparagraph (B).</text> </subparagraph></paragraph><paragraph commented="no" id="HC50D3C78D40F4B6E83A369B703C47C08"><enum>(3)</enum><header>Agreement by the State</header><text>Under a refinery permitting agreement, a State or governing body of an Indian tribe shall agree that—</text> <subparagraph commented="no" id="H1F6F4FDF7E7B455D990684D61BA2EE98"><enum>(A)</enum><text>the Administrator shall have each of the authorities described in paragraph (2); and</text> </subparagraph><subparagraph commented="no" id="HF9E4757849224BDFB93F89EE8AE6FD8E"><enum>(B)</enum><text>each State or Indian tribal government agency shall—</text> <clause commented="no" id="H30E0392D2B254285AE2C276AE8DCCB2F"><enum>(i)</enum><text>in accordance with State law, make such structural and operational changes in the agencies as are necessary to enable the agencies to carry out consolidated project-wide permit reviews concurrently and in coordination with the Environmental Protection Agency and other Federal agencies; and</text> </clause><clause commented="no" id="H454D80A683DC408BB8AE7C5FD495C628"><enum>(ii)</enum><text>comply, to the maximum extent practicable, with the applicable schedule established under paragraph (2)(B).</text> </clause></subparagraph></paragraph><paragraph commented="no" id="H98EEDD8202EA4135A544756EBB90D17E"><enum>(4)</enum><header>Deadlines</header> <subparagraph commented="no" id="HA9F71C7988E94741B7850D5F76E775D5"><enum>(A)</enum><header>New refineries</header><text>In the case of a consolidated permit for the construction of a new refinery, the Administrator and the State or governing body of an Indian tribe shall approve or disapprove the consolidated permit not later than—</text> <clause commented="no" id="H29C9F049716644CFA9FA893705D8E3E1"><enum>(i)</enum><text>360 days after the date of the receipt of the administratively complete application for the consolidated permit; or</text> </clause><clause commented="no" id="H57704D39AD0C4A3F81BB07C7B168EF43"><enum>(ii)</enum><text>on agreement of the applicant, the Administrator, and the State or governing body of the Indian tribe, 90 days after the expiration of the deadline established under clause (i).</text> </clause></subparagraph><subparagraph commented="no" id="H0CE1772876CA4FFDBE86674B1C355DEA"><enum>(B)</enum><header>Expansion of existing refineries</header><text>In the case of a consolidated permit for the expansion of an existing refinery, the Administrator and the State or governing body of an Indian tribe shall approve or disapprove the consolidated permit not later than—</text> <clause commented="no" id="HF4EADF0653DF425CB311B97DD78015D9"><enum>(i)</enum><text>120 days after the date of the receipt of the administratively complete application for the consolidated permit; or</text> </clause><clause commented="no" id="H3429ACAA2FF8473E8C769480ACD88760"><enum>(ii)</enum><text>on agreement of the applicant, the Administrator, and the State or governing body of the Indian tribe, 30 days after the expiration of the deadline established under clause (i).</text> </clause></subparagraph></paragraph><paragraph commented="no" id="H7D900E9E154D4C259E5D062549626C35"><enum>(5)</enum><header>Federal agencies</header><text>Each Federal agency that is required to make any determination to authorize the issuance of a permit shall comply with the applicable schedule established under paragraph (2)(B).</text> </paragraph><paragraph commented="no" id="HDAC135C82B7B49A1A3A21E906A7A4CCB"><enum>(6)</enum><header>Judicial review</header><text>Any civil action for review of any permit determination under a refinery permitting agreement shall be brought exclusively in the United States district court for the district in which the refinery is located or proposed to be located.</text> </paragraph><paragraph commented="no" id="HC3BA1559235545A3A61D151F0DCFB8DB"><enum>(7)</enum><header>Efficient permit review</header><text>In order to reduce the duplication of procedures, the Administrator shall use State permitting and monitoring procedures to satisfy substantially equivalent Federal requirements under this chapter.</text> </paragraph><paragraph commented="no" id="H7565A29C5FC7430B852E05D8C05820D8"><enum>(8)</enum><header>Severability</header><text>If 1 or more permits that are required for the construction or operation of a refinery are not approved on or before any deadline established under paragraph (4), the Administrator may issue a consolidated permit that combines all other permits that the refiner is required to obtain other than any permits that are not approved.</text> </paragraph><paragraph commented="no" id="HE325FB5568924A74BC08715F0BEED2EF"><enum>(9)</enum><header>Savings</header><text>Nothing in this subsection affects the operation or implementation of otherwise applicable law regarding permits necessary for the construction and operation of a refinery.</text> </paragraph><paragraph commented="no" id="H3D55210F4B68435C8C8C9924E02784CA"><enum>(10)</enum><header>Consultation with local governments</header><text>Congress encourages the Administrator, States, and tribal governments to consult, to the maximum extent practicable, with local governments in carrying out this subsection.</text> </paragraph><paragraph commented="no" id="H9FB91CDB8FF44118821DC1B248B73A89"><enum>(11)</enum><header>Effect on local authority</header><text>Nothing in this subsection affects—</text> <subparagraph commented="no" id="H7FDE78FD7A5A42DEA11837B4C6A595A8"><enum>(A)</enum><text>the authority of a local government with respect to the issuance of permits; or</text> </subparagraph><subparagraph commented="no" id="H86F7556443A6401EB7CD19D0816CADE7"><enum>(B)</enum><text>any requirement or ordinance of a local government (such as a zoning regulation).</text> </subparagraph></paragraph></subsection><subsection commented="no" id="H0CCEFEEF275740CD91C6DDBB2C1E47B7"><enum>(c)</enum><header>Fischer-Tropsch fuels</header> <paragraph commented="no" id="H858A42CA65534AC48EEA91166A9C1F7A"><enum>(1)</enum><header>In general</header><text>In cooperation with the Secretary of Energy, the Secretary of Defense, the Administrator of the Federal Aviation Administration, Secretary of Health and Human Services, and Fischer-Tropsch industry representatives, the Administrator shall—</text> <subparagraph commented="no" id="H09981B1BF2AB44AFB78DDF7BE3157C65"><enum>(A)</enum><text>conduct a research and demonstration program to evaluate the air quality benefits of ultra-clean Fischer-Tropsch transportation fuel, including diesel and jet fuel;</text> </subparagraph><subparagraph commented="no" id="H5862DEBB7AA7413492A8741787B60E4C"><enum>(B)</enum><text>evaluate the use of ultra-clean Fischer-Tropsch transportation fuel as a mechanism for reducing engine exhaust emissions; and</text> </subparagraph><subparagraph commented="no" id="HD95ED3F07EC7427EAADED8334FC7A29D"><enum>(C)</enum><text>submit recommendations to Congress on the most effective use and associated benefits of these ultra-clean fuel for reducing public exposure to exhaust emissions.</text> </subparagraph></paragraph><paragraph commented="no" id="HA7E509A4754E44FFABAAE97D2D91E7BE"><enum>(2)</enum><header>Guidance and technical support</header><text>The Administrator shall, to the extent necessary, issue any guidance or technical support documents that would facilitate the effective use and associated benefit of Fischer-Tropsch fuel and blends.</text> </paragraph><paragraph commented="no" id="H410732816EEE4206A3F6BE54118E776D"><enum>(3)</enum><header>Requirements</header><text>The program described in paragraph (1) shall consider—</text> <subparagraph commented="no" id="H1C84B1BE86EF408FA739D63058435A7B"><enum>(A)</enum><text>the use of neat (100 percent) Fischer-Tropsch fuel and blends with conventional crude oil-derived fuel for heavy-duty and light-duty diesel engines and the aviation sector; and</text> </subparagraph><subparagraph commented="no" id="H59295F22A8654D42A7828808AC7B555B"><enum>(B)</enum><text>the production costs associated with domestic production of those ultra-clean fuel and prices for consumers.</text> </subparagraph></paragraph><paragraph commented="no" id="HD454F4913FF94C2C833EF74EE9427A05"><enum>(4)</enum><header>Reports</header><text>The Administrator shall submit to the Committee on Environment and Public Works and the Committee on Energy and Natural Resources of the Senate and the Committee on Energy and Commerce of the House of Representatives—</text> <subparagraph commented="no" id="H6114466ACDFE4ED4AECAE6167B4DF497"><enum>(A)</enum><text>not later than 1 year after the date of enactment of this Act, an interim report on actions taken to carry out this subsection; and</text> </subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="H563AE41ED2C44F93B76912EB52935DF2"><enum>(B)</enum><text>not later than 2 years after the date of enactment of this Act, a final report on actions taken to carry out this subsection.</text> </subparagraph></paragraph></subsection></section><section commented="no" display-inline="no-display-inline" id="H26D9D9D177E743469BE4CB3E7F326E5E"><enum>382.</enum><header>Existing refinery permit application deadline</header><text display-inline="no-display-inline">Notwithstanding any other provision of law, applications for a permit for existing refinery applications shall not be considered to be timely if submitted after 120 days after the date of enactment of this Act.</text> </section></chapter></subtitle><subtitle id="H7AC0C27D7C6249AF8DF2A0B0080F6331"><enum>D</enum><header>Extension of certain outer continental shelf leases</header> <section id="HC79AEE25401D4A68BBD5F87E8075E174"><enum>391.</enum><header>Extension of certain outer continental shelf leases</header> <subsection id="H475DAAF41E3249E8AAEEB77F7C8D6CE5"><enum>(a)</enum><header>Definition of covered lease</header><text display-inline="yes-display-inline">In this section, the term <term>covered lease</term> means each oil and gas lease for the Gulf of Mexico outer Continental Shelf region issued under section 8 of the Outer Continental Shelf Lands Act (43 U.S.C. 1337) that was—</text> <paragraph id="H95F786AA339B4FD1B29CA4898E7AC579"><enum>(1)</enum><text>not producing as of April 30, 2010; or</text> </paragraph><paragraph id="H8FCBF69FCC454DEBA61EB9CDA8F078A1"><enum>(2)</enum><text>suspended from operations, permit processing, or consideration, in accordance with the moratorium set forth in the Minerals Management Service Notice to Lessees and Operators No. 2010–N04, dated May 30, 2010, or the decision memorandum of the Secretary of the Interior entitled <quote>Decision memorandum regarding the suspension of certain offshore permitting and drilling activities on the Outer Continental Shelf</quote> and dated July 12, 2010.</text> </paragraph></subsection><subsection id="H1BDB5C6CD2DF40A7B7B1F9CD63181228"><enum>(b)</enum><header>Extension of covered leases</header><text>The Secretary of the Interior shall extend the term of a covered lease by 1 year.</text> </subsection><subsection id="H252CE29CAC254FC3A15BAE4AE46CF2CD"><enum>(c)</enum><header>Effect on suspensions of operations or production</header><text>The extension of covered leases under this section is in addition to any suspension of operations or suspension of production granted by the Minerals Management Service or Bureau of Ocean Energy Management, Regulation and Enforcement after May 1, 2010.</text> </subsection></section></subtitle><subtitle id="id23EE9C2134C44A039EA8A5B248A7626B"><enum>E</enum><header>Approval of Keystone XL pipeline project</header> <section id="idA2F83EFE46EC402CBAAA1D88F1B8D2A8" section-type="subsequent-section"><enum>395.</enum><header>Approval of Keystone XL pipeline project</header> <subsection id="IDd3a7a3bab5bb48da91a3d227de314b7b"><enum>(a)</enum><header>Approval of cross-Border facilities</header> <paragraph id="idDC247FA2A87745DCBBFCFFCA5D2FC9BD"><enum>(1)</enum><header>In general</header><text>In accordance with section 8 of article 1 of the Constitution (delegating to Congress the power to regulate commerce with foreign nations), TransCanada Keystone Pipeline, L.P. is authorized to construct, connect, operate, and maintain pipeline facilities, subject to subsection (c), for the import of crude oil and other hydrocarbons at the United States-Canada Border at Phillips County, Montana, in accordance with the application filed with the Department of State on September 19, 2008 (as supplemented and amended).</text> </paragraph><paragraph id="IDb9a8c2cdcc6a4a00a7a4aaa8ae9dc5c2"><enum>(2)</enum><header>Permit</header><text>Notwithstanding any other provision of law, no permit pursuant to Executive Order 13337 (3 U.S.C. 301 note) or any other similar Executive Order regulating construction, connection, operation, or maintenance of facilities at the borders of the United States, and no additional environmental impact statement, shall be required for TransCanada Keystone Pipeline, L.P. to construct, connect, operate, and maintain the facilities described in paragraph (1).</text> </paragraph></subsection><subsection id="ID92f7c5de70924faa948b769f4cdb5488"><enum>(b)</enum><header>Construction and operation of Keystone XL pipeline in United States</header> <paragraph id="ID773a3c3b03e84d6fa218685988a13d56"><enum>(1)</enum><header>In general</header><text>The final environmental impact statement issued by the Department of State on August 26, 2011, shall be considered to satisfy all requirements of the National Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.) and any other provision of law that requires Federal agency consultation or review with respect to the cross-border facilities described in subsection (a)(1) and the related facilities in the United States described in the application filed with the Department of State on September 19, 2008 (as supplemented and amended).</text> </paragraph><paragraph id="ID460c85cac50343eb876609268e1685cd"><enum>(2)</enum><header>Permits</header><text>Any Federal permit or authorization issued before the date of enactment of this Act for the cross-border facilities described in subsection (a)(1), and the related facilities in the United States described in the application filed with the Department of State on September 19, 2008 (as supplemented and amended), shall remain in effect.</text> </paragraph></subsection><subsection id="IDe2b931b1b06d4402902dca702c714dd5"><enum>(c)</enum><header>Conditions</header><text>In constructing, connecting, operating, and maintaining the cross-border facilities described in subsection (a)(1) and related facilities in the United States described in the application filed with the Department of State on September 19, 2008 (as supplemented and amended), TransCanada Keystone Pipeline, L.P. shall comply with the following conditions:</text> <paragraph id="IDab21a33b8f6d494cbd78e4e1a304a04c"><enum>(1)</enum><text>TransCanada Keystone Pipeline, L.P. shall comply with all applicable Federal and State laws (including regulations) and all applicable industrial codes regarding the construction, connection, operation, and maintenance of the facilities.</text> </paragraph><paragraph id="ID0d1d779c367e483b8e76704ced0ee6a2"><enum>(2)</enum><text>Except as provided in subsection (a)(2), TransCanada Keystone Pipeline, L.P. shall comply with all requisite permits from Canadian authorities and applicable Federal, State, and local government agencies in the United States.</text> </paragraph><paragraph id="IDc6a0a473c4fe4e209e203bcdcd73ccf0"><enum>(3)</enum><text>TransCanada Keystone Pipeline, L.P. shall take all appropriate measures to prevent or mitigate any adverse environmental impact or disruption of historic properties in connection with the construction, connection, operation, and maintenance of the facilities.</text> </paragraph><paragraph id="ID5704c64859104f899f35eeccca1631f8"><enum>(4)</enum><text>The construction, connection, operation, and maintenance of the facilities shall be—</text> <subparagraph id="id77570F30EB4F4D5DB82858C70334C649"><enum>(A)</enum><text>in all material respects, similar to that described in—</text> <clause id="id0D220043C1024116B4295BD23CD3233D"><enum>(i)</enum><text>the application filed with the Department of State on September 19, 2008 (as supplemented and amended); and</text> </clause><clause id="id597E897E5D6442D5A3B5E6E33768C68D"><enum>(ii)</enum><text>the final environmental impact statement described in subsection (b)(1); and</text> </clause></subparagraph><subparagraph id="id678F51E44A20496B90683594BEE3FC5F"><enum>(B)</enum><text>carried out in accordance with—</text> <clause id="ID25f82d6d01234414a046b3bd6c93b374"><enum>(i)</enum><text>the construction, mitigation, and reclamation measures agreed to for the project in the construction mitigation and reclamation plan contained in appendix B of the final environmental impact statement described in subsection (b)(1);</text> </clause><clause id="IDcb7eff8ab4ad4e118f97356dba322b89"><enum>(ii)</enum><text>the special conditions agreed to between the owners and operators of the project and the Administrator of the Pipeline and Hazardous Materials Safety Administration of the Department of Transportation, as contained in appendix U of the final environmental impact statement;</text> </clause><clause id="id7d229ec7bc4549779919a660d1ba5071"><enum>(iii)</enum><text>the measures identified in appendix H of the final environmental impact statement, if the modified route submitted by the State of Nebraska to the Secretary of State crosses the Sand Hills region; and</text> </clause><clause id="ID1a57f77a68a24ca1bb9fd7a1f63f876e"><enum>(iv)</enum><text>the stipulations identified in appendix S of the final environmental impact statement.</text> </clause></subparagraph></paragraph></subsection><subsection id="IDd9b3083056974abeb373589b3b8d7ed4"><enum>(d)</enum><header>Route in Nebraska</header> <paragraph id="ID77934af11b69448e8b8d39decc6c930e"><enum>(1)</enum><header>In general</header><text>Any route and construction, mitigation, and reclamation measures for the project in the State of Nebraska that is identified by the State of Nebraska and submitted to the Secretary of State under this section is considered sufficient for the purposes of this section.</text> </paragraph><paragraph id="ID1966af6a3cc94843a56d13296df4d968"><enum>(2)</enum><header>Prohibition</header><text>Construction of the facilities in the United States described in the application filed with the Department of State on September 19, 2008 (as supplemented and amended), shall not commence in the State of Nebraska until the date on which the Secretary of State receives a route for the project in the State of Nebraska that is identified by the State of Nebraska.</text> </paragraph><paragraph id="ID6bb4350438db4c609db8c551b9d0874e"><enum>(3)</enum><header>Receipt</header><text>On the date of receipt of the route described in paragraph (1) by the Secretary of State, the route for the project within the State of Nebraska under this section shall supersede the route for the project in the State specified in the application filed with the Department of State on September 19, 2008 (including supplements and amendments).</text> </paragraph><paragraph id="ID366b226a49eb4603910f480b81235978"><enum>(4)</enum><header>Cooperation</header><text>Not later than 30 days after the date on which the State of Nebraska submits a request to the Secretary of State or any appropriate Federal official, the Secretary of State or Federal official shall provide assistance that is consistent with the law of the State of Nebraska.</text> </paragraph></subsection><subsection id="iddf2105aedde24a72aca6733ba26f7d0a"><enum>(e)</enum><header>Administration</header> <paragraph commented="no" display-inline="no-display-inline" id="ID7e47144b400c41a3aa3e467b155c3284"><enum>(1)</enum><header>In general</header><text>Any action taken to carry out this section (including the modification of any route under subsection (d)) shall not constitute a major Federal action under the National Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.).</text> </paragraph><paragraph id="idE00D52B4B88B4E5BAA64C825EBE91EB4"><enum>(2)</enum><header>State siting authority</header><text>Nothing in this section alters any provision of State law relating to the siting of pipelines.</text> </paragraph><paragraph id="IDbdfcd46d59d641fdad7b076f57ce86e2"><enum>(3)</enum><header>Private property</header><text>Nothing in this section alters any Federal, State, or local process or condition in effect on the date of enactment of this Act that is necessary to secure access from an owner of private property to construct the project.</text> </paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="id5b0e2f5866dd46958d11a79e3e09b9a1"><enum>(f)</enum><header>Federal judicial review</header><text>The cross-border facilities described in subsection (a)(1), and the related facilities in the United States described in the application filed with the Department of State on September 19, 2008 (as supplemented and amended), that are approved by this section, and any permit, right-of-way, or other action taken to construct or complete the project pursuant to Federal law, shall only be subject to judicial review on direct appeal to the United States Court of Appeals for the District of Columbia Circuit.</text> </subsection></section></subtitle>