[Congressional Record Volume 154, Number 92 (Thursday, June 5, 2008)]
[Extensions of Remarks]
[Pages E1158-E1159]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




             PUBLIC LAND COMMUNITIES TRANSITION ACT OF 2008

                                 ______
                                 

                               speech of

                            HON. MARK UDALL

                              of colorado

                    in the house of representatives

                        Wednesday, June 4, 2008

  Mr. UDALL of Colorado. Mr. Speaker, I am a cosponsor of this 
legislation and I rise in its support.
  The bill will reauthorize for four years the ``Secure Rural Schools'' 
program under which payments are made to certain counties in which 
national forest lands are located. Currently, the program is scheduled 
to expire at the end of this month.
  This program is important for Colorado as well as other Western 
States. Last year, payments under the program to Colorado counties 
amounted to more than $6.4 million, helping to

[[Page E1159]]

offset the costs of public schools, roads, and other needs of Colorado 
residents.
  That amount may not be the same in the future, because the bill will 
revise the formula for distribution of payments so as to reflect the 
historical allocation of payments, the concentration of public land in 
a county, and the current economic condition of a recipient county. But 
Colorado will still benefit from the program.
  I do regret that as it comes before the House today the bill does not 
include provisions dealing with another program of importance to 
Colorado's counties--the payments in lieu of taxes, or PILT, program. 
Under PILT, counties in Colorado received more than 17 million dollars 
last year--but would have received more if the full authorized amount 
had been appropriated.
  As introduced, and as approved by the Natural Resources Committee, 
the bill would have provided for automatic payments under PILT at 80 
percent of the authorized level in 2008, 90 percent in 2009, and 100 
percent in 2010 and 2011. That would have meant that payments would not 
depend on annual appropriations.
  I have worked for years to make full PILT payments automatic, so that 
our counties would be assured that they would receive the full amounts 
authorized--and I will continue to do so.
  Mr. Speaker, some of our colleagues have indicated they will oppose 
this bill because of the inclusion of provisions to reform the 
``royalty relief'' afforded to some companies engaged in development of 
energy resources in the Gulf of Mexico.
  I think those provisions are sound, and deserve support, just as they 
did when the House approved them last year. They would ensure that the 
companies pay their fair share of royalties on flawed leases granted in 
1998 and 1999. Specifically, companies not currently paying any 
royalties due to these flawed leases would have to pay new 
``Conservation of Resource Fees,'' in order to be eligible for new 
Federal leases for drilling.
  In 1998 and 1999, the Interior Department issued oil and gas leases 
for drilling offshore in the Gulf of Mexico that mistakenly failed to 
include ``price thresholds,'' which trigger a requirement for companies 
to pay royalties to the Federal Government when the price of oil and 
gas exceeds a certain level. As a result, the companies that got these 
leases are exempt from paying any royalties at all--and, according to a 
preliminary estimate by the Government Accountability Office, that 
could mean that the taxpayers will be shortchanged to the tune of some 
$15 billion over the duration of the leases. This bill, like 
legislation approved in the House last year, corrects that mistake. I 
urge the bill's approval.

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