[Congressional Record Volume 140, Number 141 (Monday, October 3, 1994)]
[House]
[Page H]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]


[Congressional Record: October 3, 1994]
From the Congressional Record Online via GPO Access [wais.access.gpo.gov]

 
           OUTER CONTINENTAL SHELF SAND AND GRAVEL RESOURCES

  Mr. STUDDS. Mr. Speaker, I move to suspend the rules and pass the 
bill (H.R. 3678) to authorize the Secretary of the Interior to 
negotiate agreements for the use of Outer Continental Shelf sand, 
gravel, and shell resources, as amended.
  The Clerk read as follows:

                               H.R. 3678

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

     SECTION 1. AMENDMENTS.

       (a) Section 8 Amendments.--Section 8(k) of the Outer 
     Continental Shelf Lands Act (43 U.S.C. 1337(k)) is amended--
       (1) by inserting ``(1)'' after ``(k)''; and
       (2) by adding at the end the following new paragraph:
       ``(2)(A) Notwithstanding paragraph (1), the Secretary may 
     negotiate with any person an agreement for the use of outer 
     Continental Shelf sand, gravel and shell resources--
       ``(i) for use in a program of, or project for, shore 
     protection, beach restoration, or coastal wetlands 
     restoration undertaken by a Federal, State, or local 
     government agency; or
       ``(ii) for use in a construction project, other than a 
     project described in clause (i), that is funded in whole or 
     in part by or authorized by the Federal Government.
       ``(B) In carrying out a negotiation under this paragraph, 
     the Secretary may assess a fee based on an assessment of the 
     value of the resources and the public interest served by 
     promoting development of the resources. No fee shall be 
     assessed directly or indirectly under this subparagraph 
     against an agency of the Federal Government.
       ``(C) The Secretary may, through this paragraph and in 
     consultation with the Secretary of Commerce, seek to 
     facilitate projects in the coastal zone, as such term is 
     defined in section 304 of the Coastal Zone Management Act of 
     1972 (16 U.S.C. 1453), that promote the policy set forth in 
     section 303 of that Act (16 U.S.C. 1452).
       ``(D) Any federal agency which proposes to make use of 
     sand, gravel and shell resources subject to the provisions of 
     this Act shall enter into a Memorandum of Agreement with the 
     Secretary concerning the potential use of those resources. 
     The Secretary shall notify the Committee on Merchant Marine 
     and Fisheries and the Committee on Natural Resources of the 
     House of Representatives and the Committee on Energy and 
     Natural Resources of the Senate on any proposed project for 
     the use of those resources prior to the use of those 
     resources.''.
       (b) Section 20 Amendments.--Section 20(a) of the Outer 
     Continental Shelf Lands Act (43 U.S.C. 1346(a)) is amended--
       (1) in paragraph (1)--
       (A) by inserting ``or other lease'' after ``any oil and gas 
     lease sale''; and
       (B) by inserting ``or other mineral'' after ``affected by 
     oil and gas''; and
       (2) in paragraph (2), by inserting ``In the case of an 
     agreement under section 8(k)(2), each study required by 
     paragraph (1) of this subsection shall be commenced not later 
     than 6 months prior to commencing negotiations for such 
     agreement or the entering into the memorandum of agreement, 
     as the case may be.'' after ``scheduled before such date of 
     enactment.''.

  The SPEAKER pro tempore. Pursuant to the rule, the gentleman from 
Massachusetts [Mr. Studds] will be recognized for 20 minutes, and the 
gentleman from Pennsylvania [Mr. Weldon] will be recognized for 20 
minutes.
  The Chair recognizes the gentleman from Massachusetts [Mr. Studds].
  (Mr. STUDDS asked and was given permission to revise and extend his 
remarks.)
  Mr. STUDDS. Mr. Speaker, H.R. 3678 authorizes the Secretary of the 
Interior to negotiate agreements for the use of Outer Continental Shelf 
sand, gravel, and shell resources when those resources are to be used 
for coastal restoration, shore protection, and other authorized public 
projects.
  The bill accomplishes two important things. First, it makes OCS hard 
minerals available for public projects without requiring that the 
State, local, or Federal agency seeking use of the resource participate 
in a competitive lease sale. Under current law, these resources could 
only be made available to State and local governments through such a 
lease sale, which is too costly and too cumbersome.
  However, the minerals are not to be given away. The bill authorizes a 
fee to be charged based on the value of the resources and the public 
interest served in developing them. This allows a tradeoff between fair 
market value of the resources and the public benefit of the project for 
which they will be used.
  Second, the bill clarifies the jurisdiction of the Department of the 
Interior over OCS hard minerals, as was contemplated by Congress in 
1953. However, Federal agencies are not to be assessed a fee for the 
use of these resources.
  Although the bill facilitates access to OCS sand and gravel, full 
compliance with the established process for environmental review, 
including the requirements of the National Environmental Policy Act, 
the OCS Lands Act, and the Coastal Zone Management Act is not, in any 
way, abrogated by this legislation.
  H.R. 3678 is sound public policy. The administration supports the 
bill and I urge my colleagues to support its adoption.
  Mr. Speaker, I reserve the balance of my time.

                             {time}   1700

  Mr. WELDON. Mr. Speaker, I yield myself such time as I may consume.
  (Mr. WELDON asked and was given permission to revise and extend his 
remarks.)
  Mr. WELDON. Mr. Speaker, as the lead Republican cosponsor of this 
bill and ranking member of the Oceanography Subcommittee, I rise in 
strong support of H.R. 3678, a bill to authorize the Secretary of the 
Interior to negotiate agreements for the use of Outer Continental Shelf 
[OCS] sand, gravel, and shell resources. I would like to congratulate 
the bill's author, Chairman Ortiz of the Oceanography Subcommittee, and 
the chairman and ranking member of the Merchant Marine and Fisheries 
Committee, Gerry Studds and Jack Fields, and of the Natural Resources 
Committee, George Miller and Don Young, as well as Energy and Mineral 
Resources Subcommittee Chairman Richard Lehman and ranking member 
Barbara Vucanovich, for their efforts to ensure the timely passage of 
this important measure.
  Currently, procedural obstacles block the use of Federal OCS sand and 
gravel resources for beach restoration projects. As a result, coastal 
States and the Army Corps of Engineers have had to rely on supplies of 
sand and gravel from State waters.
  As coastal populations grow, demand for sand and gravel for coastal 
construction projects has exploded. This explosion threatens to 
eliminate affordable sources of sand and gravel for important public 
works projects such as beach replenishment and coastal wetlands 
restoration H.R. 3678 remedies this situation by allowing the Secretary 
of the Interior to enter into agreements to provide OCS sand and gravel 
to Federal, State, or local government projects which protect the 
shoreline, restore beaches or coastal wetlands.
  In cases where projects are funded by the Federal Government, H.R. 
3678 waives all fees for the resource. This stipulation will prevent 
the Federal Government from being forced to pay itself for resources it 
controls.
  Mr. Speaker, with beach erosion a major problem in most coastal 
states, H.R. 3678 will help facilitate the restoration of this 
important natural and economic resource. I encourage all my colleagues 
to support its passage.
  Mr. Speaker, I reserve the balance of my time.
  Mr. STUDDS. Mr. Speaker, I yield 3 minutes to the gentleman from 
Texas [Mr. Ortiz].
  (Mr. ORTIZ asked and was given permission to revise and extend his 
remarks.)
  Mr. ORTIZ. Mr. Speaker, as chairman of the Oceanography Subcommittee 
and sponsor of H.R. 3678, I rise in strong support of the bill before 
the House today.
  H.R. 3678 authorizes the Secretary of the Interior to negotiate 
agreements for the use of Federal sand, gravel, and shall resources 
located on the Outer Continental Shelf.
  As the annual national demand for these resources continues to rise, 
due to the repair and expansion of the Nation's transportation 
infrastructure, there is expected to be shortage of materials available 
from traditional sources, such as nearshore and onshore deposits, for 
coastal protection and restoration.
  This bill will help to make federally controlled, commercial-grade 
quality sand and gravel on the Outer Continental Shelf [OCS] available 
to State and local governments in a cost-effective manner for beach 
restoration, beach protection, and wetlands restoration.
  Under current law, the only way a State or local government can 
access suitable sand or gravel from Federal waters is to enter into a 
competitive leasing process and offer the highest bid. This process is 
costly and time consuming; it also puts local communities in the 
position of having to compete with private interests for these 
resources.
  This process is not compatible with the needs and budgets of our 
coastal communities, which explains why a lease sale for OCS sand and 
gravel resources has never occurred. Under the expanded authority of 
this bill, the Secretary can negotiate an agreement for the provision 
of these resources and assess a fee based on the value of these 
resources and the public interest served by promoting their 
development.
  The expanded authority for conveying resources, as proposed under 
this bill, is consistent with Government practice onshore where Federal 
resources can be conveyed under free use permits for public works 
projects.
  Mr. Speaker, this bill will help to benefit our coastal environment. 
With new mining technology and effective controls, marine mining for 
sand and gravel should prove to be an environmentally preferable 
alternative to shallow-water dredging or further development of large 
quarries onshore.
  Finally, Mr. Speaker, let me make it clear that this bill only amends 
the financial aspects of the process by which OCS sand and gravel 
mineral rights are conveyed. It does not amend the process with respect 
to all the environmental policies and regulations required by a host of 
Federal laws pertaining of the OCS.
  This bill will simply help to ensure that coastal communities around 
the country will be able to continue to protect and restore their 
coastal environments in the future, which is crucial to maintaining our 
quality of life and protecting our shorelines and coastal wetlands.
  I would like to take this opportunity to thank Chairman Studds and 
the ranking member, Mr. Fields, and the ranking member on the 
Oceanography Subcommittee, Mr. Weldon, for their efforts in bringing 
this bill to the House floor. I would also like to thank Chairman 
Miller of the Natural Resources Committee and Chairman Lehman of the 
Energy and Mineral Resources Subcommittee for all their help and 
cooperation on this legislation.
  Mr. WELDON. Mr. Speaker, I yield such time as he may consume to a 
good friend and colleague, the gentleman from California [Mr. Lewis].
  Mr. LEWIS of California. Mr. Speaker, I thank the gentleman for 
yielding.
  Mr. Speaker, I want to express my congratulations to the appropriate 
chairmen and ranking members on this committee for a very fine piece of 
work. There is little doubt that there is a great need for this kind of 
resource where beaches are being deteriorated because of ocean action 
and other kinds of environmental problems. It is an important piece of 
legislation, and not automatically as easy as it might seem. I 
appreciate their work.
  Mr. FIELDS of Texas. Mr. Speaker, I rise in strong support of H.R. 
3678, a bill authorizing the Secretary of the Interior to negotiate 
agreements for the use of Outer Continental Shelf sand, gravel, and 
shell resources.
  Based on the testimony submitted on this legislation, it is clear 
that there is overwhelming support for H.R. 3678. The Minerals 
Management Service (MMS) and the Army Corps of Engineers were 
particularly enthusiastic in their endorsement of these changes to P.L. 
95-372.
  Under section 8(k) of the Outer Continental Shelf Lands Act (OCSLA), 
the MMS is authorized to grant leases for nonfuel minerals on the U.S. 
continental shelf beyond the seaward limit of State boundaries. This 
authority has not been used for sand and gravel, although eight other 
lease sales have been held since 1954. Sand and gravel is used for 
building and other construction activities, as well as coastal 
restoration and shoreline protection. The Army Corps of Engineers 
conducts all the Federally-funded navigation projects in U.S. navigable 
waters, including beach restoration and shoreline protection, and 
issues permits for private parties to conduct these activities. 
Existing law and policies discourage use of sand and gravel mined 
offshore for coastal restoration projects.
  This bill would amend section 8(k) of the OCSLA to allow the 
Secretary of the Interior to enter into non-lease sales agreements for 
the use of OCS sand and gravel resources in connection with beach 
restoration and construction projects. Under normal conditions, the 
Secretary would assess fees for these resources, except if the project 
is primarily Federally funded.
  Because the demand for clean sand and gravel for construction 
activities and coastal restoration projects is increasing, this measure 
would address some of the deficiencies under OCSLA by allowing the 
effective use of Federal offshore sand and gravel. Certainly, projects 
such as the proposed widening of the Houston Ship Channel would produce 
vast quantities of sand and gravel. I can think of no better public use 
of this material than to help restore eroding shorelines in places like 
the State of Texas.
  Mr. Speaker, I urge adoption of this legislation. I compliment 
Chairman Ortiz for his leadership in proposing H.R. 3678 and I hope the 
other body will act on it in the near future.
  Thank you, Mr. Speaker.
  Mr. WELDON. Mr. Speaker, I have no further requests for time, and I 
yield back the balance of my time.
  Mr. STUDDS. Mr. Speaker, I want to echo the statement of the 
gentleman from California [Mr. Lewis].
  Mr. Speaker, I have no further requests for time, and I yield back 
the balance of my time.
  The SPEAKER pro tempore. The question is on the motion offered by the 
gentleman from Massachusetts [Mr. Studds] that the House suspend the 
rules and pass the bill, H.R. 3678, as amended.
  The question was taken; and (two-thirds having voted in favor 
thereof) the rules were suspended and the bill, as amended, was passed.
  A motion to reconsider was laid on the table.

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