[Congressional Record Volume 141, Number 174 (Monday, November 6, 1995)]
[House]
[Pages H11775-H11781]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                      CONFERENCE REPORT ON S. 395

  Mr. YOUNG of Alaska submitted the following conference report and 
statement on the bill (S. 395), to authorize and direct the Secretary 
of Energy to sell the Alaska Power Administration, and to authorize the 
export of Alaska North Slope crude oil, and for other purposes:

                  Conference Report (H. Rept. 104-312)

       The committee of conference on the disagreeing votes of the 
     two Houses on the amendments of the House to the bill (S. 
     395), to authorize and direct the Secretary of Energy to sell 
     the Alaska Power Administration, and to authorize the export 
     of Alaska North Slope crude oil, and for other purposes, 
     having met, after full and free conference, have agreed to 
     recommend and do recommend to their respective Houses as 
     follows:

     Amendment numbered 1:
       That the Senate recede from its disagreement to the 
     amendment of the House numbered 1, and agree to the same with 
     an amendment, as follows:
       In lieu of the matter proposed to be stricken by the House 
     amendment, insert the following:
    TITLE I--ALASKA POWER ADMINISTRATION ASSET SALE AND TERMINATION

     SEC. 101. SHORT TITLE.

       This title may be cited as the ``Alaska Power 
     Administration Asset Sale and Termination Act''.

     SEC. 102. DEFINITIONS.

       For purposes of this title:
       (1) The term ``Eklutna'' means the Eklutna Hydroelectric 
     Project and related assets as described in section 4 and 
     Exhibit A of the Eklutna Purchase Agreement.
       (2) The term ``Eklutna Purchase Agreement'' means the 
     August 2, 1989, Eklutna Purchase Agreement between the Alaska 
     Power Administration of the Department of Energy and the 
     Eklutna Purchasers, together with any amendments thereto 
     adopted before the enactment of this section.
       (3) The term ``Eklutna Purchasers'' means the Municipality 
     of Anchorage doing business as Municipal Light and Power, the 
     Chugach Electric Association, Inc. and the Matanuska Electric 
     Association, Inc.
       (4) The term ``Snettisham'' means the Snettisham 
     Hydroelectric Project and related assets as described in 
     section 4 and Exhibit A of the Snettisham Purchase Agreement.
       (5) The term ``Snettisham Purchase Agreement'' means the 
     February 10, 1989, Snettisham Purchase Agreement between the 
     Alaska Power Administration of the Department of Energy and 
     the Alaska Power Authority and its successors in interest, 
     together with any amendments thereto adopted before the 
     enactment of this section.
       (6) The term ``Snettisham Purchaser'' means the Alaska 
     Industrial Development and Export 

[[Page H 11776]]
     Authority or a successor State agency or authority.

     SEC. 103. SALE OF EKLUTNA AND SNETTISHAM HYDROELECTRIC 
                   PROJECTS.

       (a) Sale of Eklutna.--The Secretary of Energy is authorized 
     and directed to sell Eklutna to the Eklutna Purchasers in 
     accordance with the terms of this Act and the Eklutna 
     Purchase Agreement.
       (b) Sale of Snettisham.--The Secretary of Energy is 
     authorized and directed to sell Snettisham to the Snettisham 
     Purchaser in accordance with the terms of this Act and the 
     Snettisham Purchase Agreement.
       (c) Cooperation of Other Agencies.--The heads of other 
     Federal departments, agencies, and instrumentalities of the 
     United States shall assist the Secretary of Energy in 
     implementing the sales and conveyances authorized and 
     directed by this title.
       (d) Proceeds.--Proceeds from the sales required by this 
     title shall be deposited in the Treasury of the United States 
     to the credit of miscellaneous receipts.
       (e) Authorization of Appropriations.--There are authorized 
     to be appropriated such sums as may be necessary to prepare, 
     survey, and acquire Eklutna and Snettisham for sale and 
     conveyance. Such preparations and acquisitions shall provide 
     sufficient title to ensure the beneficial use, enjoyment, and 
     occupancy by the purchasers.
       (f) Contributed Funds.--Notwithstanding any other provision 
     of law, the Alaska Power Administration is authorized to 
     receive, administer, and expend such contributed funds as may 
     be provided by the Eklutna Purchasers or customers or the 
     Snettisham Purchaser or customers for the purposes of 
     upgrading, improving, maintaining, or administering Eklutna 
     or Snettisham. Upon the termination of the Alaska Power 
     Administration under section 104(f), the Secretary of Energy 
     shall administer and expend any remaining balances of such 
     contributed funds for the purposes intended by the 
     contributors.

     SEC. 104. EXEMPTION AND OTHER PROVISIONS.

       (a) Federal Power Act.--(1) After the sales authorized by 
     this Act occur, Eklutna and Snettisham, including future 
     modifications, shall continue to be exempt from the 
     requirements of Part I of the Federal Power Act (16 U.S.C. 
     791a et seq.), except as provided in subsection (b).
       (2) The exemption provided by paragraph (1) shall not 
     affect the Memorandum of Agreement entered into among the 
     State of Alaska, the Eklutna Purchasers, the Alaska Energy 
     Authority, and Federal fish and wildlife agencies regarding 
     the protection, mitigation of, damages to, and enhancement of 
     fish and wildlife, dated August 7, 1991, which remains in 
     full force and effect.
       (3) Nothing in this title or the Federal Power Act preempts 
     the State of Alaska from carrying out the responsibilities 
     and authorities of the Memorandum of Agreement.
       (b) Subsequent Transfers.--Except for subsequent assignment 
     of interest in Eklutna by the Eklutna Purchasers to the 
     Alaska Electric Generation and Transmission Cooperative Inc. 
     pursuant to section 19 of the Eklutna Purchase Agreement, 
     upon any subsequent sale or transfer of any portion of 
     Eklutna or Snettisham from the Eklutna Purchasers or the 
     Snettisham Purchaser to any other person, the exemption set 
     forth in paragraph (1) of subsection (a) of this section 
     shall cease to apply to such portion.
       (c) Review.--(1) The United States District Court for the 
     District of Alaska shall have jurisdiction to review 
     decisions made under the Memorandum of Agreement and to 
     enforce the provisions of the Memorandum of Agreement, 
     including the remedy of specific performance.
       (2) An action seeking review of a Fish and Wildlife Program 
     (``Program'') of the Governor of Alaska under the Memorandum 
     of Agreement or challenging actions of any of the parties to 
     the Memorandum of Agreement prior to the adoption of the 
     Program shall be brought not later than 90 days after the 
     date on which the Program is adopted by the Governor of 
     Alaska, or be barred.
       (3) An action seeking review of implementation of the 
     Program shall be brought not later than 90 days after the 
     challenged act implementing the Program, or be barred.
       (d) Eklutna Lands.--With respect to Eklutna lands described 
     in Exhibit A of the Eklutna Purchase Agreement:
       (1) The Secretary of the Interior shall issue rights-of-way 
     to the Alaska Power Administration for subsequent 
     reassignment to the Eklutna Purchasers--
       (A) at no cost to the Eklutna Purchasers;
       (B) to remain effective for a period equal to the life of 
     Eklutna as extended by improvements, repairs, renewals, or 
     replacements; and
       (C) sufficient for the operation of, maintenance of, repair 
     to, and replacement of, and access to, Eklutna facilities 
     located on military lands and lands managed by the Bureau of 
     Land Management, including lands selected by the State of 
     Alaska.
       (2) Fee title to lands at Anchorage Substation shall be 
     transferred to Eklutna Purchasers at no additional cost if 
     the Secretary of the Interior determines that pending claims 
     to, and selections of, those lands are invalid or 
     relinquished.
       (3) With respect to the Eklutna lands identified in 
     paragraph 1 of Exhibit A of the Eklutna Purchase Agreement, 
     the State of Alaska may select, and the Secretary of the 
     Interior shall convey to the State, improved lands under the 
     selection entitlements in section 6 of the Act of July 7, 
     1958 (commonly referred to as the Alaska Statehood Act, 
     Public Law 85-508; 72 Stat. 339), and the North Anchorage 
     Land Agreement dated January 31, 1983. This conveyance shall 
     be subject to the rights-of-way provided to the Eklutna 
     Purchasers under paragraph (1).
       (e) Snettisham Lands.--With respect to the Snettisham lands 
     identified in paragraph 1 of Exhibit A of the Snettisham 
     Purchase Agreement and Public Land Order No. 5108, the State 
     of Alaska may select, and the Secretary of the Interior shall 
     convey to the State of Alaska, improved lands under the 
     selection entitlements in section 6 of the Act of July 7, 
     1958 (commonly referred to as the Alaska Statehood Act, 
     Public Law 85-508; 72 Stat. 339).
       (f) Termination of Alaska Power Administration.--Not later 
     than one year after both of the sales authorized in section 
     103 have occurred, as measured by the Transaction Dates 
     stipulated in the Purchase Agreements, the Secretary of 
     Energy shall--
       (1) complete the business of, and close out, the Alaska 
     Power Administration;
       (2) submit to Congress a report documenting the sales; and
       (3) return unobligated balances of funds appropriated for 
     the Alaska Power Administration to the Treasury of the United 
     States.
       (g) Repeals.--(1) The Act of July 31, 1950 (64 Stat. 382) 
     is repealed effective on the date that Eklutna is conveyed to 
     the Eklutna Purchasers.
       (2) Section 204 of the Flood Control Act of 1962 (76 Stat. 
     1193) is repealed effective on the date that Snettisham is 
     conveyed to the Snettisham Purchaser.
       (3) The Act of August 9, 1955, concerning water resources 
     investigation in Alaska (69 Stat. 618), is repealed.
       (h) DOE Organization Act.--As of the later of the two dates 
     determined in paragraphs (1) and (2) of subsection (g), 
     section 302(a) of the Department of Energy Organization Act 
     (42 U.S.C. 7152(a)) is amended--
       (1) in paragraph (1)--
       (A) by striking subparagraph (C); and
       (B) by redesignating subparagraphs (D), (E), and (F) as 
     subparagraphs (C), (D), and (E) respectively; and
       (2) in paragraph (2) by striking out ``and the Alaska Power 
     Administration'' and by inserting ``and'' after 
     ``Southwestern Power Administration,''.
       (i) Disposal.--The sales of Eklutna and Snettisham under 
     this title are not considered disposal of Federal surplus 
     property under the Federal Property and Administrative 
     Services Act of 1949 (40 U.S.C. 484) or the Act of October 3, 
     1944, popularly referred to as the ``Surplus Property Act of 
     1944'' (50 U.S.C. App. 1622).

     SEC. 105. OTHER FEDERAL HYDROELECTRIC PROJECTS.

       The provisions of this title regarding the sale of the 
     Alaska Power Administration's hydroelectric projects under 
     section 103 and the exemption of these projects from Part I 
     of the Federal Power Act under section 104 do not apply to 
     other Federal hydroelectric projects.
       And the House agree to the same.

       Amendment numbered 2:
       That the Senate recede from its disagreement to the 
     amendment of the House numbered 2, and agree to the same with 
     an amendment, as follows:
       In lieu of the matter proposed to be inserted by the House 
     amendment, insert the following:
              TITLE II--EXPORTS OF ALASKAN NORTH SLOPE OIL

     SEC. 201. EXPORTS OF ALASKAN NORTH SLOPE OIL.

       Section 28 of the Mineral Leasing Act (30 U.S.C. 185) is 
     amended by amending subsection (s) to read as follows:


                  ``exports of alaskan north slope oil

       ``(s)(1) Subject to paragraphs (2) through (6) of this 
     subsection and notwithstanding any other provision of this 
     Act or any other provision of law (including any regulation) 
     applicable to the export of oil transported by pipeline over 
     right-of-way granted pursuant to section 203 of the Trans-
     Alaska Pipeline Authorization Act (43 U.S.C. 1652), such oil 
     may be exported unless the President finds that exportation 
     of this oil is not in the national interest. The President 
     shall make his national interest determination within five 
     months of the date of enactment of this subsection. In 
     evaluating whether exports of this oil are in the national 
     interest, the President shall at a minimum consider--
       ``(A) whether exports of this oil would diminish the total 
     quantity or quality of petroleum available to the United 
     States;
       ``(B) the results of an appropriate environmental review, 
     including consideration of appropriate measures to mitigate 
     any potential adverse effects of exports of this oil on the 
     environment, which shall be completed within four months of 
     the date of the enactment of this subsection; and
       ``(C) whether exports of this oil are likely to cause 
     sustained material oil supply shortages or sustained oil 
     prices significantly above world market levels that would 
     cause sustained material adverse employment effects in the 
     United States or that would cause substantial harm to 
     consumers, including noncontiguous States and Pacific 
     territories.

     If the President determines that exports of this oil are in 
     the national interest, he may impose such terms and 
     conditions (other than a volume limitation) as are necessary 
     or appropriate to ensure that such exports are consistent 
     with the national interest.
       ``(2) Except in the case of oil exported to a country with 
     which the United States entered into a bilateral 
     international oil supply agreement before November 26, 1979, 
     or to a country pursuant to the International Emergency Oil 
     Sharing Plan of the International Energy Agency, any oil 
     transported by pipeline over right-of-way granted pursuant to 
     section 203 of the Trans-Alaska Pipeline Authorization Act 
     (43 U.S.C. 1652) shall, when exported, be transported by a 
     vessel documented under the laws of the United States and 
     owned by a citizen of the United States (as determined in 
     accordance with 

[[Page H 11777]]
     section 2 of the Shipping Act, 1916 (46 U.S.C. App. 802)).
       ``(3) Nothing in this subsection shall restrict the 
     authority of the President under the Constitution, the 
     International Emergency Economic Powers Act (50 U.S.C. 1701 
     et seq.), the National Emergencies Act (50 U.S.C. 1601 et 
     seq.), or Part B of title II of the Energy Policy and 
     Conservation Act (42 U.S.C. 6271-76) to prohibit exports.
       ``(4) The Secretary of Commerce shall issue any rules 
     necessary for implementation of the President's national 
     interest determination, including any licensing requirements 
     and conditions, within 30 days of the date of such 
     determination by the President. The Secretary of Commerce 
     shall consult with the Secretary of Energy in administering 
     the provisions of this subsection.
       ``(5) If the Secretary of Commerce finds that exporting oil 
     under authority of this subsection has caused sustained 
     material oil supply shortages or sustained oil prices 
     significantly above world market levels and further finds 
     that these supply shortages or price increases have caused or 
     are likely to cause sustained material adverse employment 
     effects in the United States, the Secretary of Commerce, in 
     consultation with the Secretary of Energy, shall recommend, 
     and the President may take, appropriate action concerning 
     exports of this oil, which may include modifying or revoking 
     authority to export such oil.
       ``(6) Administrative action under this subsection is not 
     subject to sections 551 and 553 through 559 of title 5, 
     United States Code.''.

     SEC. 202. GAO REPORT.

       (a) Review.--The Comptroller General of the United States 
     shall conduct a review of energy production in California and 
     Alaska and the effects of Alaskan North Slope oil exports, if 
     any, on consumers, independent refiners, and shipbuilding and 
     ship repair yards on the West Coast and in Hawaii. The 
     Comptroller General shall commence this review three years 
     after the date of enactment of this Act and, within twelve 
     months after commencing the review, shall provide a report to 
     the Committee on Energy and Natural Resources of the Senate 
     and the Committee on Resources and the Committee on Commerce 
     of the House of Representatives.
       (b) Contents of Report.--The report shall contain a 
     statement of the principal findings of the review and 
     recommendations for Congress and the President to address job 
     loss in the shipbuilding and ship repair industry on the West 
     Coast, as well as adverse impacts on consumers and refiners 
     on the West Coast and in Hawaii, that the Comptroller General 
     attributes to Alaska North Slope oil exports.
       And the House agree to the same.

     Amendment numbered 3:
       That the Senate recede from its disagreement to the 
     amendment of the House numbered 3, and agree to the same with 
     an amendment, as follows:
       In lieu of the matter proposed to be stricken by the House 
     amendment, insert the following:

     SEC. 203. GRANT AUTHORITY.

       (a) In General.--The Secretary of Transportation 
     (``Secretary'') may make grants to the Multnomah County Tax 
     Supervising and Conservation Commission of Multnomah County, 
     Oregon (``Commission'') in accordance with this section, not 
     to exceed the amount determined in subsection (b)(2).
       (b) Finding and Determination.--Before making any grant 
     under this section not earlier than one year after exports of 
     Alaskan North Slope oil commence pursuant to section 201, the 
     Secretary shall--
       (1) find on the basis of substantial evidence that such 
     exports are directly or indirectly a substantial contributing 
     factor to the need to levy port district ad valorem taxes 
     under Oregon Revised Statutes section 294.381; and
       (2) determine the amount of such levy attributable to the 
     export of Alaskan North Slope oil.
       (c) Agreement.--Before receiving a grant under this section 
     for the relief of port district ad valorem taxes which would 
     otherwise be levied under Oregon Revised Statutes section 
     294.381, the Commission shall enter into an agreement with 
     the Secretary to--
       (1) establish a segregated account for the receipt of grant 
     funds;
       (2) deposit and keep grant funds in that account;
       (3) use the funds solely for the purpose of payments in 
     accordance with this subsection, as determined pursuant to 
     Oregon Revised Statutes sections 294.305-565, and computed in 
     accordance with generally accepted accounting principles; and
       (4) terminate such account at the conclusion of payments 
     subject to this subsection and to transfer any amounts, 
     including interest, remaining in such account to the Port of 
     Portland for use in transportation improvements to enhance 
     freight mobility.
       (d) Report.--Within 60 days of issuing a grant under this 
     section, the Secretary shall submit any finding and 
     determination made under subsection (b), including supporting 
     information, to the Committee on Energy and Natural Resources 
     of the Senate and the Committee on Transportation and 
     Infrastructure of the House of Representatives.
       (e) Authorization of Appropriations.--There are authorized 
     to be appropriated to the Secretary of Transportation to 
     carry out subsection (a), $15,000,000 for fiscal year 1997, 
     to remain available until October 1, 2003.
       And the House agree to the same.

     Amendment numbered 4:
       That the Senate recede from its disagreement to the 
     amendment of the House numbered 4, and agree to the same with 
     an amendment, as follows:
       In lieu of the matter proposed to be stricken by the House 
     amendment, insert the following:
                        TITLE IV--MISCELLANEOUS

     SEC. 401. EMERGENCY RESPONSE PLAN.

       (a) In General.--Within 15 months after the date of the 
     enactment of this Act, the Commandant of the Coast Guard 
     shall submit a plan to Congress on the most cost-effective 
     means of implementing an international private-sector tug-of-
     opportunity system, including a coordinated system of 
     communication, using existing towing vessels to provide 
     timely emergency response to a vessel in distress transiting 
     the waters within the boundaries of the Olympic Coast 
     National Marine Sanctuary or the Strait of Juan de Fuca.
       (b) Coordination.--In carrying out this section, the 
     Commandant, in consultation with the Secretaries of State and 
     Transportation, shall coordinate with the Canadian Government 
     and the United States and Canadian maritime industries.
       (c) Access to Information.--If necessary, the Commandant 
     shall allow United States nonprofit maritime organizations 
     access to United States Coast Guard radar imagery and 
     transponder information to identify and deploy towing vessels 
     for the purpose of facilitating emergency response.
       (d) Towing Vessel Defined.--For the purpose of this 
     section, the term ``towing vessel'' has the meaning given 
     that term by section 2101(40) of title 46, United States 
     Code.
       And the House agree to the same.

     Amendment numbered 5:
       That the Senate recede from its disagreement to the 
     amendment of the House numbered 5, and agree to the same with 
     an amendment, as follows:
       In lieu of the matter proposed to be stricken by the House 
     amendment, insert the following:
      TITLE III--OUTER CONTINENTAL SHELF DEEP WATER ROYALTY RELIEF

     SEC. 301. SHORT TITLE.

       This title may be referred to as the ``Outer Continental 
     Shelf Deep Water Royalty Relief Act''.

     SEC. 302. AMENDMENTS TO THE OUTER CONTINENTAL SHELF LANDS 
                   ACT.

       Section 8(a) of the Outer Continental Shelf Lands Act (43 
     U.S.C. 1337(a)(3)), is amended--
       (1) by designating the provisions of paragraph (3) as 
     subparagraph (A) of such paragraph (3); and
       (2) by inserting after subparagraph (A), as so designated, 
     the following:
       ``(B) In the Western and Central Planning Areas of the Gulf 
     of Mexico and the portion of the Eastern Planning Area of the 
     Gulf of Mexico encompassing whole lease blocks lying west of 
     87 degrees, 30 minutes West longitude, the Secretary may, in 
     order to--
       ``(i) promote development or increased production on 
     producing or non-producing leases; or
       ``(ii) encourage production of marginal resources on 
     producing or non-producing leases;
     through primary, secondary, or tertiary recovery means, 
     reduce or eliminate any royalty or net profit share set forth 
     in the lease(s). With the lessee's consent, the Secretary may 
     make other modifications to the royalty or net profit share 
     terms of the lease in order to achieve these purposes.
       ``(C)(i) Notwithstanding the provisions of this Act other 
     than this subparagraph, with respect to any lease or unit in 
     existence on the date of enactment of the Outer Continental 
     Shelf Deep Water Royalty Relief Act meeting the requirements 
     of this subparagraph, no royalty payments shall be due on new 
     production, as defined in clause (iv) of this subparagraph, 
     from any lease or unit located in water depths of 200 meters 
     or greater in the Western and Central Planning Areas of the 
     Gulf of Mexico, including that portion of the Eastern 
     Planning Area of the Gulf of Mexico encompassing whole lease 
     blocks lying west of 87 degrees, 30 minutes West longitude, 
     until such volume of production as determined pursuant to 
     clause (ii) has been produced by the lessee.
       ``(ii) Upon submission of a complete application by the 
     lessee, the Secretary shall determine within 180 days of such 
     application whether new production from such lease or unit 
     would be economic in the absence of the relief from the 
     requirement to pay royalties provided for by clause (i) of 
     this subparagraph. In making such determination, the 
     Secretary shall consider the increased technological and 
     financial risk of deep water development and all costs 
     associated with exploring, developing, and producing from the 
     lease. The lessee shall provide information required for a 
     complete application to the Secretary prior to such 
     determination. The Secretary shall clearly define the 
     information required for a complete application under this 
     section. Such application may be made on the basis of an 
     individual lease or unit. If the Secretary determines that 
     such new production would be economic in the absence of the 
     relief from the requirement to pay royalties provided for by 
     clause (i) of this subparagraph, the provisions of clause (i) 
     shall not apply to such production. If the Secretary 
     determines that such new production would not be economic in 
     the absence of the relief from the requirement to pay 
     royalties provided for by clause (i), the Secretary must 
     determine the volume of production from the lease or unit on 
     which no royalties would be due in order to make such new 
     production economically viable; except that for new 
     production as defined in clause (iv)(I), in no case will that 
     volume be less than 17.5 million barrels of oil equivalent in 
     water depths of 200 to 400 meters, 52.5 million barrels of 
     oil equivalent in 400-800 meters of water, and 87.5 million 
     barrels of oil equivalent in water depths greater than 800 
     meters. Redetermination of the applicability of clause (i) 

[[Page H 11778]]
     shall be undertaken by the Secretary when requested by the lessee prior 
     to the commencement of the new production and upon 
     significant change in the factors upon which the original 
     determination was made. The Secretary shall make such 
     redetermination within 120 days of submission of a complete 
     application. The Secretary may extend the time period for 
     making any determination or redetermination under this clause 
     for 30 days, or longer if agreed to by the applicant, if 
     circumstances so warrant. The lessee shall be notified in 
     writing of any determination or redetermination and the 
     reasons for and assumptions used for such determination. Any 
     determination or redetermination under this clause shall be a 
     final agency action. The Secretary's determination or 
     redetermination shall be judicially reviewable under section 
     10(a) of the Administrative Procedures Act (5 U.S.C. 702), 
     only for actions filed within 30 days of the Secretary's 
     determination or redetermination.
       ``(iii) In the event that the Secretary fails to make the 
     determination or redetermination called for in clause (ii) 
     upon application by the lessee within the time period, 
     together with any extension thereof, provided for by clause 
     (ii), no royalty payments shall be due on new production as 
     follows:
       ``(I) For new production, as defined in clause (iv)(I) of 
     this subparagraph, no royalty shall be due on such production 
     according to the schedule of minimum volumes specified in 
     clause (ii) of this subparagraph.
       ``(II) For new production, as defined in clause (iv)(II) of 
     this subparagraph, no royalty shall be due on such production 
     for one year following the start of such production.
       ``(iv) For purposes of this subparagraph, the term `new 
     production' is--
       ``(I) any production from a lease from which no royalties 
     are due on production, other than test production, prior to 
     the date of enactment of the Outer Continental Shelf Deep 
     Water Royalty Relief Act; or
       ``(II) any production resulting from lease development 
     activities pursuant to a Development Operations Coordination 
     Document, or supplement thereto that would expand production 
     significantly beyond the level anticipated in the Development 
     Operations Coordination Document, approved by the Secretary 
     after the date of enactment of the Outer Continental Shelf 
     Deep Water Royalty Relief Act.
       ``(v) During the production of volumes determined pursuant 
     to clauses (ii) or (iii) of this subparagraph, in any year 
     during which the arithmetic average of the closing prices on 
     the New York Mercantile Exchange for light sweet crude oil 
     exceeds $28.00 per barrel, any production of oil will be 
     subject to royalties at the lease stipulated royalty rate. 
     Any production subject to this clause shall be counted toward 
     the production volume determined pursuant to clause (ii) or 
     (iii). Estimated royalty payments will be made if such 
     average of the closing prices for the previous year exceeds 
     $28.00. After the end of the calendar year, when the new 
     average price can be calculated, lessees will pay any 
     royalties due, with interest but without penalty, or can 
     apply for a refund, with interest, of any overpayment.
       ``(vi) During the production of volumes determined pursuant 
     to clause (ii) or (iii) of this subparagraph, in any year 
     during which the arithmetic average of the closing prices on 
     the New York Mercantile Exchange for natural gas exceeds 
     $3.50 per million British thermal units, any production of 
     natural gas will be subject to royalties at the lease 
     stipulated royalty rate. Any production subject to this 
     clause shall be counted toward the production volume 
     determined pursuant to clauses (ii) or (iii). Estimated 
     royalty payments will be made if such average of the closing 
     prices for the previous year exceeds $3.50. After the end of 
     the calendar year, when the new average price can be 
     calculated, lessees will pay any royalties due, with interest 
     but without penalty, or can apply for a refund, with 
     interest, of any overpayment.
       ``(vii) The prices referred to in clauses (v) and (vi) of 
     this subparagraph shall be changed during any calendar year 
     after 1994 by the percentage, if any, by which the implicit 
     price deflator for the gross domestic product changed during 
     the preceding calendar year.''.

     SEC. 303. NEW LEASES.

       Section 8(a)(1) of the Outer Continental Shelf Lands Act, 
     as amended (43 U.S.C. 1337(a)(1)) is amended--
       (1) by redesignating subparagraph (H) as subparagraph (I);
       (2) by striking ``or'' at the end of subparagraph (G); and
       (3) by inserting after subparagraph (G) the following new 
     subparagraph:
       ``(H) cash bonus bid with royalty at no less than 12 and 
     \1/2\ per centum fixed by the Secretary in amount or value of 
     production saved, removed, or sold, and with suspension of 
     royalties for a period, volume, or value of production 
     determined by the Secretary, which suspensions may vary based 
     on the price of production from the lease; or''.

     SEC. 304. LEASE SALES.

       For all tracts located in water depths of 200 meters or 
     greater in the Western and Central Planning Area of the Gulf 
     of Mexico, including that portion of the Eastern Planning 
     Area of the Gulf of Mexico encompassing whole lease blocks 
     lying west of 87 degrees, 30 minutes West longitude, any 
     lease sale within five years of the date of enactment of this 
     title, shall use the bidding system authorized in section 
     8(a)(1)(H) of the Outer Continental Shelf Lands Act, as 
     amended by this title, except that the suspension of 
     royalties shall be set at a volume of not less than the 
     following:
       (1) 17.5 million barrels of oil equivalent for leases in 
     water depths of 200 to 400 meters;
       (2) 52.5 million barrels of oil equivalent for leases in 
     400 to 800 meters of water; and
       (3) 87.5 million barrels of oil equivalent for leases in 
     water depths greater than 800 meters.

     SEC. 305. REGULATIONS.

       The Secretary shall promulgate such rules and regulations 
     as are necessary to implement the provisions of this title 
     within 180 days after the enactment of this Act.

     SEC. 306. SAVINGS CLAUSE.

       Nothing in this title shall be construed to affect any 
     offshore pre-leasing, leasing, or development moratorium, 
     including any moratorium applicable to the Eastern Planning 
     Area of the Gulf of Mexico located off the Gulf Coast of 
     Florida.
       And the House agree to the same.

     Amendment to title:
       That the House recede from its amendment to the title of 
     the bill.

     For consideration of House amendment No. 1:
     Don Young,
     Ken Calvert,
     Tom Bliley,
     For consideration of House amendment No. 2:
     Don Young,
     Ken Calvert,
     William Thomas,
     Tom Bliley,
     Howard Coble,
     Lee H. Hamilton,
     Jim Oberstar,
     For consideration of House amendment No. 3:
     Floyd Spence,
     John R. Kasich,
     For consideration of House amendment No. 4:
     Tillie K. Fowler,
     Jim Oberstar,
     For consideration of House amendment No. 5:
     Don Young,
     Ken Calvert,
                                Managers on the Part of the House.
     Frank H. Murkowski,
     Pete V. Domenici,
     J. Bennett Johnston,
     Wendell Ford,
                               Managers on the Part of the Senate.

       JOINT EXPLANATORY STATEMENT OF THE COMMITTEE OF CONFERENCE

       The managers on the part of the House and the Senate at the 
     conference on the disagreeing votes of the two Houses on the 
     amendments of the House to the bill (S. 395) to authorize and 
     direct the Secretary of Energy to sell the Alaska Power 
     Administration, and to authorize the export of Alaska North 
     Slope crude oil, and for other purposes, submit the following 
     joint statement to the House and the Senate in explanation of 
     the effect of the action agreed upon by the managers and 
     recommended in the accompanying conference report:
       House amendment numbered 1 struck title I of the Senate 
     bill. House amendment numbered 2 struck sections 201 through 
     204 of the Senate bill and inserted the text of H.R. 70, as 
     passed by the House. House amendment numbered 3 struck 
     section 205 of the Senate bill. House amendment numbered 4 
     struck section 206 of the Senate bill. House amendment 
     numbered 5 struck title III of the Senate bill.
       With respect to House amendment numbered 1, 2, 3, 4, and 5, 
     and Senate receded from its disagreement to each House 
     numbered amendment with an amendment.
       The differences between the Senate bill, the House 
     amendments, and the amendment agreed to in conference are 
     noted below, except for clerical corrections, conforming 
     changes made necessary by agreements reached by the 
     conferees, and minor drafting and clarifying changes.

    Title I--Alaska Power Administration Asset Sale and Termination


                               Sente bill

       Title I of the Senate bill provides for the sale of the 
     Alaska Power Administration's (APA) assets, an the 
     termination of the APA once the sale occurs. It also provides 
     for the exemption of the two hydroelectric projects from the 
     licensing requirements of Part I of the Federal Power Act.


                       House amendment numbered 1

       The House amendment struck Title I of the Senate bill.


                          Conference agreement

       The House receded to the Senate with an amendment.
       The Conference Report adopts the Senate language with minor 
     changes. The APA's assets will be sold pursuant to the 1989 
     purchase agreements between the Department of Energy and the 
     purchasers. The Snettisham hydroelectric project and related 
     assets will be sold to the State of Alaska. the Eklutna 
     hydroelectric project and related assets will be sold jointly 
     to the Municipality of Anchorage, the Chugach Electric 
     Association, and the Matanuska Electric Association. For both 
     projects, the sale price is determined by calculating the net 
     present value of the remaining debt service payments the 
     Treasury would receive if the Federal Government retained 
     ownership.
       This provision and the separate formal agreements provide 
     for the full protection of fish and wildlife. The purchasers, 
     the State of Alaska, the National Marine Fisheries Service 
     (NMFS), and the U.S. Fish and Wildlife Service (USFWS) have 
     entered into a formal agreement providing for post-sale 
     protection, mitigation, and enhancement of fish and wildlife 
     resources affected by Eklutna and Snettisham. This provision 
     makes that agreement legally enforceable.
       As a result of the formal agreements, the Department of 
     Energy, the Department of 

[[Page H 11779]]
     the Interior, and NMFS all agree that the two hydroelectric projects 
     warrant exemption from the Federal Energy Regulatory 
     Commission (FERC) licensing under Part I of the Federal Power 
     Act. The August 7, 1991, formal purchase agreement states:

       NMFS, USFWS and the State agree that the following 
     mechanism to develop and implement measures to protect, 
     mitigate damages to, and enhance fish and wildlife (including 
     related spawning grounds and habitat) obviate the need for 
     the Eklutna Purchasers and AEA to obtain FERC licenses. 
     [Emphasis supplied.]

       The Alaska Power Administration has 34 people located in 
     the State of Alaska. The purchasers of the two projects have 
     pledges to hire as many of these as possible. For those who 
     do not receive offers of employment, the Department of Energy 
     has pledged it will offer employment to any remaining APA 
     employees, although the DOE jobs are expected to be in the 
     lower 48 States.
       The House-passed bill did not contain any comparable 
     provisions. The Conference Agreement adopts the Senate-passed 
     bill with two material changes.
       First, section 104(a)(1) of the Conference Agreement 
     provides an exemption for Eklutna and Snettisham only from 
     Part I of the Federal Power Act (hydroelectric licensing), 
     not from the entire Federal Power Act. That was intended by 
     the Senate. By making this change, the Conferees do not 
     intend to imply that the purchasers who are already exempt 
     from other aspects of the Federal Power Act lose that broader 
     exemption. Nor do the Conferees intend to imply that merely 
     by reason of this provision the other parts of the Federal 
     Power Act apply to Eklutna and Snettisham. They apply if they 
     would have applied in the absence of this provision.
       Second, new section 104(b) provides that upon sale or 
     transfer of any portion of Eklutna or Snettisham from the 
     purchasers to any person (i.e. a person other than a 
     purchaser defined in section 102), the exemption from Part I 
     of the Federal Power Act shall cease to apply to that portion 
     of Eklutna or Snettisham. However, the exemption from Part I 
     will continue to apply if the sale or transfer is from one 
     purchaser to another purchaser, as defined in section 102. 
     The elimination of exemption from Part I for a sold or 
     transferred portion of Eklutna or Snettisham does not mandate 
     the licensing of that portion, it only eliminates the 
     exemption from the application of Part I. If licensing is not 
     otherwise required under Part I of the Federal Power Act for 
     that portion, it is not required by reason of section 104(b). 
     The disposition of a portion of the Eklutna or Snettisham 
     assets does not affect the remaining portions. The one 
     exception to this rule is a subsequent assignment of 
     interests in Eklutna by the Eklutna Purchasers to the Alaska 
     Electric Generation and Transmission Cooperative Inc. 
     pursuant to section 19 of the Eklutna Purchase Agreement will 
     not result in the elimination of the exemption from Part I of 
     the Federal Power Act for that interest.
       Sections 104(d) and 104(e) address selection and transfer 
     of Eklutna and Snettisham lands. It is the intent of these 
     provisions that notwithstanding the expiration of the right 
     of the State of Alaska to make selections under section 6 of 
     the Alaska Statehood Act, the State may select lands pursuant 
     to this provision and the Eklutna and Snettisham Purchase 
     Agreements. Likewise, it is the intent of this legislation 
     that the Secretary of the Interior shall convey lands 
     selected by the State of Alaska, notwithstanding any 
     limitations contained in section 6(b) of the Alaska Statehood 
     Act.
       The Conferees agree that the circumstances justifying 
     exemption from licensing under Part I of the Federal Power 
     Act for these two Federally-owned hydroelectric projects are 
     unique, and that they would not justify a similar exemption 
     for any other Federally-owned hydroelectric project if sold. 
     The Conferees agree that if other Federally-owned 
     hydroelectric projects whose generation is marketed by other 
     Federal power marketing administrations are privatized, these 
     circumstances would not justify an exemption from Part I. 
     This is reflected in section 105 of the Conference Agreement.

              Title II--Exports of Alaskan North Slope Oil


                              senate bill

       Sections 201 through 204 of Title II of the Senate bill 
     authorized exports of Alaskan North Slope (ANS) crude oil; 
     mandated the filing of additional information in an annual 
     report under the Energy Policy and Conservation Act; and 
     required a study by the General Accounting Office (GAO).


                       House amendment numbered 2

       The House amendment similarly authorized exports of ANS 
     crude oil and provided for a GAO study.


                          conference agreement

       The Senate receded to the House language with an amendment.
       Under section 201, Committee of Conference recommends 
     authorizing exports of ANS oil under terms substantially 
     similar to, and drawn from, both the Senate bill and the 
     House amendment.
       Paragraph (1) authorizes ANS exports, making inapplicable 
     the general and specific restrictions on these exports in 
     Section 7(d) of the Export Administration Act of 1979 (50 
     U.S.C. App. Sec. 2406(b)), Section 28(u) of the Mineral 
     Leasing Act of 1920 (30 U.S.C. Sec. 185), Section 103 of the 
     Energy Policy and Conservation Act (42 U.S.C. Sec. 6212), and 
     the Short Supply regulations issued thereunder. However, the 
     export of the oil can be stopped if the President determines 
     (within five months of the date of enactment) that they would 
     not be in the national interest. (Other statutory 
     restrictions on the export of U.S. crude oil either 
     inapplicable or superseded with respect to ANS exports are 10 
     U.S.C. Sec. 7430 and 29 U.S.C. Sec. 1354, restricting exports 
     of crude oil from the Naval Petroleum Reserve and the outer 
     continental shelf.)
       Before making the national interest determination, the 
     President must consider an appropriate environmental review 
     (to be completed within four months of enactment). Consistent 
     with the 1973 Trans-Alaska Pipeline Authorization Act, the 
     President also must consider whether exports would diminish 
     the total quantity or quality of petroleum available to the 
     United States. The President must also consider whether 
     exports are likely to cause sustained material oil supply 
     shortages or sustained oil prices significantly above world 
     market levels that would cause sustained material adverse 
     employment effects in the United States or that would cause 
     substantial harm to consumers, in particular in noncontiguous 
     States and Pacific territories.
       In a comprehensive report submitted to Congress, the 
     Department of Energy found ``no plausible evidence of any 
     direct negative environmental impact from lifting the ANS 
     crude export ban.'' Based on this finding and the weight of 
     the testimony, section 201 of the Conference Agreement 
     directs, as the ``appropriate environmental review,'' an 
     abbreviated four-month study. The environmental review is 
     intended to be thorough and comprehensive, but in light of 
     the prior Department of Energy findings and the compressed 
     time frame, neither a full Environmental Impact Statement nor 
     even a more limited Environmental Assessment is contemplated. 
     If any potential adverse effects on the environment are 
     found, the study is to recommend ``appropriate measures'' to 
     mitigate or cure them.
       In making the national interest determination, the 
     President is authorized to impose appropriate terms and 
     conditions, other than a volume limitation, on ANS exports. 
     However, nothing in this section or Title IV of the 
     Conference Agreement authorizes the imposition of new 
     requirements for oil spill prevention and response in 
     locations which would not be affected by ANS exports, such as 
     the Strait of Juan de Fuca or within the boundaries of the 
     Olympic Coast National Marine Sanctuary.
       The Conference Agreement takes cognizance of the changed 
     condition of national oil demand and available oil resources. 
     Title II is intended to permit ANS crude oil to compete with 
     other crude oil in the world market under normal market 
     conditions. To facilitate this competition and in recognition 
     that section 201 specifically precludes imposition of a 
     volume limitation, the President should direct that exports 
     proceed under a general license. In further recognition that 
     some information (such as volume and price) will be needed to 
     monitor exports, the President may wish to impose after-the-
     fact reporting requirements as may be deemed appropriate by 
     the Secretary of Commerce.
       Given the anticipated substantial benefits to the Nation of 
     ANS exports, the Conferees urge the President to make the 
     national interest determination as promptly as possible. If 
     the President fails to make the required national interest 
     determination within the statutorily imposed deadline, ANS 
     oil exports are authorized without intervening action by the 
     President or the Secretary of Commerce.
       Section 201 requires, with limited exceptions, that ANS 
     exports be carried in U.S.-flag vessels. The only exceptions 
     are exports to Israel under the terms of a specific bilateral 
     treaty that entered into force in 1979 and exports to a 
     country pursuant to the International Emergency Oil Sharing 
     Plan of the International Energy Agency. The Committee of 
     Conference concurs with the Administration's assessment that 
     the U.S.-flag cargo reservation requirement is consistent 
     with U.S. international obligations and is supported by ample 
     precedent, including in particular a comparable provision in 
     the U.S.-Canada Free Trade Agreement, as implemented under 
     U.S. law.
       Section 201 preserves any authority the President may have 
     under the Constitution and the enumerated statutes to 
     prohibit ANS exports in an emergency.
       Section 201 also directs the Secretary of Commerce to issue 
     any rules necessary to govern ANS exports within 30 days of 
     the President's national interest determination. In light of 
     the clear benefits to the Nation of ANS exports, the 
     Conferees urge the Secretary of Commerce to promulgate any 
     rules necessary to implement that determination, including 
     any licensing requirements and conditions, contemporaneously 
     with the determination.
       Section 201 further provides that, if the Secretary of 
     Commerce (after consulting with the Secretary of Energy) 
     later finds that exports have caused sustained material oil 
     shortages or sustained prices significantly above the world 
     level and that the shortages or high prices have caused or 
     are likely to cause sustained material job losses, the 
     Secretary must recommend appropriate action, including 
     modification or revocation of the authority to export ANS 
     oil. The President has the discretion to adopt, reject, or 
     modify any recommendation made by the 

[[Page H 11780]]
     Secretary. In recognition that prices fluctuate and supply patterns 
     change under normal market conditions, the authority of the 
     Secretary is limited to addressing activity that causes the 
     specified sustained unanticipated price and supply effects.
       Finally, section 201 provides that administrative action is 
     not subject to notice and comment rulemaking requirements or 
     other requirements of the Administrative Procedures Act.
       Under section 202, the Committee of Conference recommends 
     that a GAO report be submitted four years after the date of 
     enactment. The report must contain a statement of principal 
     findings and recommendations to address job loss in the 
     shipbuilding and ship repair industry on the West Coast and 
     Hawaii, if any, as well as adverse impacts on consumers and 
     refiners on the West Coast and in Hawaii, if any, that the 
     Comptroller General attributes to ANS exports. The Committee 
     believes that the market should be given a reasonable period 
     of time to operate before submission of the report. The 
     Conferees want to be sure the Comptroller General has a solid 
     basis on which to make his analysis and offer any 
     recommendations for Congress and the President.


                              senate bill

       Section 205 of Title II provided for the retirement of 
     certain costs incurred for the construction of a non-Federal 
     publicly-owned shipyard.


                            house amendment

       House amendment numbered 3 struck section 205 of the Senate 
     bill.


                          conference agreement

       The Senate receded from its disagreement with an amendment 
     (now designated as section 203).
       Under section 203(a) of the conference amendment, the 
     Secretary of Transportation is authorized to make grants to 
     the Multnomah County Tax Supervising and Conservation 
     Commission of Multnomah County, Oregon. The grants may be 
     used only for the relief of port district ad valorem taxes 
     that would otherwise be levied under Oregon law. In addition, 
     at the conclusion of the grant payments under this section, 
     any remaining funds (plus interest) would be transferred to 
     the Port of Portland for making transportation improvements 
     to enhance freight mobility.
       Under subsection (b), before issuing any grant, the 
     Secretary must find on the basis of substantial evidence that 
     Alaskan North Slope oil exports are a contributing factor to 
     the need to levy certain port district taxes. In addition, 
     the Secretary must determine the amount of the tax levy 
     attributed to the oil exports. The amount of the grants is 
     limited to the amount of the tax levy attributed to the oil 
     exports.
       Before receiving any grant under this section, subsection 
     (c) requires the Commission (by agreement with the Secretary) 
     to establish a separate account for the funds, to use the 
     funds as directed, and to terminate the account and transfer 
     any remaining funds to the Port of Portland at the conclusion 
     of the grants.
       Under Subsection (d), the Secretary must report to the 
     relevant Congressional Committees on any findings and 
     determinations made under subsection (b) within 60 days of 
     issuing a grant under this section.
       Subsection (e) provides an authorization for appropriations 
     of up to $15 million for fiscal year 1997, to remain 
     available until October 1, 2003.


                              senate bill

       Section 206 of the Senate bill included a provision that 
     would amend Title VI of the Oil Pollution Act of 1990 (OPA 
     '90) by adding a new section 6005 that would impose a 
     requirement for an additional towing vessel to be listed in, 
     and available to respond under, vessel response plans 
     developed in accordance with section 311(j) of the Federal 
     Water Pollution Control Act (FWPCA), as amended by OPA '90, 
     for tank vessels operating within the boundaries of the 
     Olympic Coast National Marine Sanctuary or the Strait of Juan 
     de Fuca near the coastline of the State of Washington. In 
     particular, the provision would require an emergency response 
     tugboat capable of towing tank vessels, initial firefighting, 
     and initial oil spill response to be repositioned in the area 
     of Neah Bay, the western-most harbor in the Strait.


                            house amendment

       The House amendment numbered 4 struck section 206 of the 
     Senate bill.


                          conference agreement

       The Senate receded from its disagreement with an amendment 
     (now designated as Title IV of this Act). See explanation 
     below.

      Title III--Outer Continental Shelf Deep Water Royalty Relief


                              senate bill

       Title III of the Senate bill would provide royalty relief 
     for leases on Outer Continental Shelf tracts in deep water in 
     certain areas of the Gulf of Mexico.


                            house amendment

       The House amendment numbered 5 struck title III of the 
     Senate bill.


                          conference agreement

       The Senate recedes from its disagreement with the House 
     with an amendment.
       The amendment agreed to by the committee of conference is 
     the text of Title III of S. 395 as passed by the Senate with 
     several technical corrections and a new provision clarifying 
     that nothing in this title shall be construed to affect any 
     offshore pre-leasing, leasing, or development moratorium, 
     including any moratorium applicable to the Eastern Planning 
     Area of the Gulf of Mexico located off the Gulf Coast of 
     Florida.

                        Title IV--Miscellaneous

       OPA '90 contemplates a comprehensive approach to oil spill 
     prevention and response, with the Coast Guard given an 
     instrumental role in implementing all aspects of that Act. In 
     addition to establishing a new liability and compensation 
     scheme for oil spills, OPA '90 amended existing law to 
     broaden the Coast Guard's authority under the Ports and 
     Waterways Safety Act (PWSA) regarding navigation and vessel 
     safety and protection of the marine environment and the FWPCA 
     regarding oil spill prevention and response. Under OPA '90 
     (as delegated by the President), the Coast Guard is the 
     principal Federal agency charged with conducting Federal 
     removal and prevention activities in coastal areas. 
     Accordingly, the Committee of Conference believes that the 
     Coast Guard is the most appropriate agency to evaluate 
     emergency response services in the Olympic Coast National 
     Marine Sanctuary and the Strait of Juan de Fuca.
       Subsection (a) of title IV requires the Commandant of the 
     Coast Guard to submit to Congress within fifteen months of 
     enactment a plan on the most cost effective means of 
     implementing an international private-sector tug-of-
     opportunity system to utilize existing towing vessels to 
     provide emergency response services to any vessel (including 
     a tank vessel) in distress transiting the waters within the 
     boundaries of the Olympic Coast National Marine Sanctuary or 
     the Strait of Juan de Fuca.
       Subsection (b) provides that the Commandant, in 
     consultation with the Secretaries of the State and 
     Transportation, is to coordinate with the Canadian Government 
     and with both Canadian and American maritime industries.
       Subsection (c) provides that if necessary, the Commandant 
     is to allow United States non-profit maritime organizations 
     access to Coast Guard radar imagery and transponder 
     information to identify and deploy towing vessels for the 
     purpose of facilitating emergency response.
       Subsection (d) provides for the definition of ``towing 
     vessel'' as that term is defined under title 46, United 
     States Code. Section 2101(40) of title 46, United States 
     Code, defines towing vessels to mean ``a commercial vessel 
     engaged in or intending to engage in the service of pulling, 
     pushing, or hauling alongside, or any combination of pulling, 
     pushing, or hauling alongside.'' The reference to this 
     section ensures that, at a minimum, all commercial towing 
     vessels are included in the definition and, therefore, are 
     covered by the provisions of this section.
       Section 206 of the Senate bill was developed to respond to 
     a perceived threat to the marine environment of Puget Sound 
     and the Straits of Juan de Fuca from tank vessel traffic. The 
     Committee of Conference believes that, absent convincing 
     information to the contrary, the marine environment of Puget 
     Sound is adequately protected under the existing vessel 
     response plan requirement found in FWPCA, as amended by OPA 
     '90. The Senate provision is therefore unnecessary because 
     the Coast Guard's existing authority under OPA '90 to prevent 
     and respond to oil spills, as well as under PWSA and FWPCA 
     (particularly as those two statutes have been amended by the 
     OPA '90), to evaluate and to impose vessel operating 
     requirements to minimize the risks of navigation and vessel 
     safety and risks to the marine environment is fully 
     sufficient to address the needs of the waterways of the 
     United States, including Puget Sound and the Strait of Juan 
     de Fuca.
       Accordingly, the Committee of Conference does not believe 
     that the mandate implicit in the Senate provision is required 
     nor is it related to any authorization to export Alaskan 
     North Slope crude oil. The Committee believes that the more 
     appropriate step is to require the Coast Guard to examine the 
     most cost-effective method to use existing towing vessel 
     resources in a tug-of-opportunity system within the authority 
     of existing law to respond to any vessel (including a tank 
     vessel in distress). Consequently, nothing in this section or 
     in section 201 is intended to authorize the President or the 
     Coast Guard to impose additional oil spill preventing and 
     response requirements in the Strait of Juan de Fuca or within 
     the boundaries of the Olympic Coast National Marine Sanctuary 
     in excess of those in the relevant Area Contingency Plan for 
     those areas as a result of requiring the Commandant to submit 
     this plan to Congress nor to impose requirements under any 
     national interest determination or implementing regulations 
     regarding the export of Alaskan oil.
     For consideration of House amendment No. 1:
     Don Young,
     Ken Calvert,
     Tom Bliley,
     For consideration of House amendment No. 2:
     Don Young,
     Ken Calvert,
     William Thomas,
     Tom Bliley,
     Howard Coble,
     Lee H. Hamilton,
     Jim Oberstar,
     For consideration of House amendment No. 3:
     Floyd Spence,

[[Page H 11781]]

     John R. Kasich,
     For consideration of House amendment No. 4:
     Tillie K. Fowler,
     Jim Oberstar,
     For consideration of House amendment No. 5:
     Don Young,
     Ken Calvert,
                                Managers on the Part of the House.
     Frank H. Murkowski,
     Pete V. Domenici,
     J. Bennett Johnston,
     Wendell Ford,
     Managers on the Part of the Senate.

                          ____________________