[Congressional Record Volume 154, Number 121 (Wednesday, July 23, 2008)]
[Senate]
[Pages S7180-S7196]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                           TEXT OF AMENDMENTS

  SA 5089. Mr. VITTER submitted an amendment intended to be proposed by 
him to the bill S. 3268, to amend the Commodity Exchange Act, to 
prevent excessive price speculation with respect to energy commodities, 
and for other purposes; which was ordered to lie on the table; as 
follows:

       At the end, add the following:

     SEC. __. REMOVAL OF PROHIBITION ON FINAL REGULATIONS FOR 
                   COMMERCIAL LEASING PROGRAM FOR OIL SHALE 
                   RESOURCES ON PUBLIC LAND.

       Section 433 of the Department of the Interior, Environment, 
     and Related Agencies Appropriations Act, 2008 (Public Law 
     110-161; 121 Stat. 2152) is repealed.
                                 ______
                                 
  SA 5090. Mr. VITTER submitted an amendment intended to be proposed by 
him to the bill S. 3268, to amend the Commodity Exchange Act, to 
prevent excessive price speculation with respect to energy commodities, 
and for other purposes; which was ordered to lie on the table; as 
follows:

       At the end, add the following:

     SEC. __. REPEAL OF MORATORIA ON OFFSHORE OIL AND GAS LEASING.

       (a) In General.--Sections 104 and 105 of the Department of 
     the Interior, Environment, and Related Agencies 
     Appropriations Act, 2008 (Public Law 110-161; 121 Stat. 
     2118), are repealed.
       (b) Certain Areas of Gulf of Mexico.--Section 104 of the 
     Gulf of Mexico Energy Security Act of 2006 (43 U.S.C. 1331 
     note; 120 Stat. 3003) is amended--
       (1) by striking subsection (a); and
       (2) in subsection (b), by striking the subsection 
     designation and heading and all that follows through 
     ``subsection (a), the'' and inserting ``The''.
                                 ______
                                 
  SA 5091. Mr. VITTER submitted an amendment intended to be proposed by 
him to the bill S. 3268, to amend the Commodity Exchange Act, to 
prevent excessive price speculation with respect to energy commodities, 
and for other purposes; which was ordered to lie on the table; as 
follows:

       At the end, add the following:

     SEC. __. SEAWARD BOUNDARY EXTENSION.

       (a) In General.--Title II of the Submerged Lands Act (43 
     U.S.C. 1311 et seq.) is amended--
       (1) by redesignating section 11 as section 12; and
       (2) by inserting after section 10 the following:

     ``SEC. 11. EXTENSION OF SEAWARD BOUNDARIES OF THE STATES OF 
                   LOUISIANA, MISSISSIPPI, AND ALABAMA.

       ``(a) Definitions.--In this section:
       ``(1) Existing interest.--The term `existing interest' 
     means any lease, easement, right-of-use, or right-of-way on, 
     or for any natural resource or minerals underlying, the 
     expanded submerged land that is in existence on the date of 
     the conveyance of the expanded submerged land to the State 
     under subsection (b)(1).
       ``(2) Expanded seaward boundary.--The term `expanded 
     seaward boundary' means the seaward boundary of the State 
     that is 3 marine leagues seaward of the coast line of the 
     State as of the day before the date of enactment of this 
     section.
       ``(3) Expanded submerged land.--The term `expanded 
     submerged land' means the area of the outer Continental Shelf 
     that is located between 3 geographical miles and 3 marine 
     leagues seaward of the coast line of the State as of the day 
     before the date of enactment of this section.
       ``(4) Interest owner.--The term `interest owner' means any 
     person that owns or holds an existing interest in the 
     expanded submerged land or portion of an existing interest in 
     the expanded submerged land.
       ``(5) Secretary.--The term `Secretary' means the Secretary 
     of the Interior.
       ``(6) State.--The term `State' means each of the States of 
     Louisiana, Mississippi, and Alabama.
       ``(b) Conveyance of Expanded Submerged Land.--
       ``(1) In general.--If a State demonstrates to the 
     satisfaction of the Secretary that the conditions described 
     in paragraph (2) will be met, the Secretary shall, subject to 
     valid existing rights and subsection (c), convey to the State 
     the interest of the United States in the expanded submerged 
     land of the State.
       ``(2) Conditions.--A conveyance under paragraph (1) shall 
     be subject to the condition that--
       ``(A) on conveyance of the interest of the United States in 
     the expanded submerged land to the State under paragraph 
     (1)--
       ``(i) the Governor of the State (or a delegate of the 
     Governor) shall exercise the powers and duties of the 
     Secretary under the terms of any existing interest, subject 
     to the requirement that the State and the officers of the 
     State may not exercise the powers to impose any burden or 
     requirement on any interest owner that is more onerous or 
     strict than the burdens or requirements imposed under 
     applicable Federal law (including regulations) on owners or 
     holders of the same type of lease, easement, right-of-use, or 
     right-of-way on the outer Continental Shelf seaward of the 
     expanded submerged land; and
       ``(ii) the State shall not impose any administrative or 
     judicial penalty or sanction on any interest owner that is 
     more severe than the penalty or sanction under Federal law 
     (including regulations) applicable to owners or holders of 
     leases, easements, rights-of-use, or rights-of-way on the 
     outer Continental Shelf seaward of the expanded submerged 
     lands for the same act, omission, or violation;
       ``(B) not later than 5 years after the date of enactment of 
     this section--
       ``(i) the State shall enact laws or promulgate regulations 
     with respect to the environmental protection, safety, and 
     operations of any platform pipeline in existence on the date 
     of conveyance to the State under paragraph (1) that is 
     affixed to or above the expanded submerged land that impose 
     the same requirements as Federal law (including regulations) 
     applicable to a platform pipeline on the outer Continental 
     Shelf seaward of the expanded submerged land; and
       ``(ii) the State shall enact laws or promulgate regulations 
     for determining the value of oil, gas, or other mineral 
     production from existing interests for royalty purposes that 
     establish the same requirements as the requirements under 
     Federal law (including regulations) applicable to Federal 
     leases for the same minerals on the outer Continental Shelf 
     seaward of the expanded submerged land; and
       ``(C) the State laws and regulations enacted or promulgated 
     under subparagraph (B) shall provide that if Federal law 
     (including regulations) applicable to leases, easements, 
     rights-of-use, or rights-of-way on the outer Continental 
     Shelf seaward of the expanded submerged land are modified 
     after the date on
                                 ______
                                 
  SA 5092. Mr. VITTER submitted an amendment intended to be proposed by 
him to the bill S. 3268, to amend the Commodity Exchange Act, to 
prevent excessive price speculation with respect to energy commodities, 
and for other purposes; which was ordered to lie on the table; as 
follows:

       At the appropriate place, insert the following:

     SEC. ___. PRODUCTION OF OIL AND NATURAL GAS IN NEW PRODUCING 
                   AREAS.

       The Outer Continental Shelf Lands Act (43 U.S.C. 1331 et 
     seq.) is amended by adding at the end the following:

     ``SEC. 32. PRODUCTION OF OIL AND NATURAL GAS IN NEW PRODUCING 
                   AREAS.

       ``(a) Definitions.--In this section:
       ``(1) Coastal political subdivision.--The term `coastal 
     political subdivision' means a political subdivision of a new 
     producing State any part of which political subdivision is--
       ``(A) within the coastal zone (as defined in section 304 of 
     the Coastal Zone Management Act of 1972 (16 U.S.C. 1453)) of 
     the new producing State as of the date of enactment of this 
     section; and
       ``(B) not more than 200 nautical miles from the geographic 
     center of any leased tract.
       ``(2) Moratorium area.--
       ``(A) In general.--The term `moratorium area' means an area 
     covered by sections 104 through 105 of the Department of the 
     Interior, Environment, and Related Agencies Appropriations 
     Act, 2008 (Public Law 110-161; 121 Stat. 2118) (as in effect 
     on the day before the date of enactment of this section).
       ``(B) Exclusion.--The term `moratorium area' does not 
     include an area located in the Gulf of Mexico.
       ``(3) New producing area.--The term `new producing area' 
     means any moratorium area within the offshore administrative 
     boundaries beyond the submerged land of a State that is 
     located greater than 50 miles from the coastline of the 
     State.
       ``(4) New producing state.--The term `new producing State' 
     means a State that has,

[[Page S7181]]

     within the offshore administrative boundaries beyond the 
     submerged land of the State, a new producing area available 
     for oil and gas leasing under subsection (b).
       ``(5) Offshore administrative boundaries.--The term 
     `offshore administrative boundaries' means the administrative 
     boundaries established by the Secretary beyond State 
     submerged land for planning, coordination, and administrative 
     purposes of the Department of the Interior and published in 
     the Federal Register on January 3, 2006 (71 Fed. Reg. 127).
       ``(6) Qualified outer continental shelf revenues.--
       ``(A) In general.--The term `qualified outer Continental 
     Shelf revenues' means all rentals, royalties, bonus bids, and 
     other sums due and payable to the United States from leases 
     entered into on or after the date of enactment of this 
     section for new producing areas.
       ``(B) Exclusions.--The term `qualified outer Continental 
     Shelf revenues' does not include--
       ``(i) revenues from a bond or other surety forfeited for 
     obligations other than the collection of royalties;
       ``(ii) revenues from civil penalties;
       ``(iii) royalties taken by the Secretary in-kind and not 
     sold;
       ``(iv) revenues generated from leases subject to section 
     8(g); or
       ``(v) any revenues considered qualified outer Continental 
     Shelf revenues under section 102 of the Gulf of Mexico Energy 
     Security Act of 2006 (43 U.S.C. 1331 note; Public Law 109-
     432).
       ``(b) Petition for Leasing New Producing Areas.--
       ``(1) In general.--Notwithstanding any other provision of 
     law, the Governor of a State, with the concurrence of the 
     legislature of the State, with a new producing area within 
     the offshore administrative boundaries beyond the submerged 
     land of the State may submit to the Secretary a petition 
     requesting that the Secretary make the new producing area 
     available for oil and gas leasing.
       ``(2) Action by secretary.--Notwithstanding section 18, as 
     soon as practicable after receipt of a petition under 
     paragraph (1), the Secretary shall approve the petition if 
     the Secretary determines that leasing the new producing area 
     would not create an unreasonable risk of harm to the marine, 
     human, or coastal environment.
       ``(c) Disposition of Qualified Outer Continental Shelf 
     Revenues From New Producing Areas.--
       ``(1) In general.--Notwithstanding section 9 and subject to 
     the other provisions of this subsection, for each applicable 
     fiscal year, the Secretary of the Treasury shall--
       ``(A) deposit 45 percent of qualified outer Continental 
     Shelf revenues in the general fund of the Treasury;
       ``(B) deposit 50 percent of qualified outer Continental 
     Shelf revenues in a special account in the Treasury from 
     which the Secretary shall disburse--
       ``(i) 75 percent to new producing States in accordance with 
     paragraph (2); and
       ``(ii) 25 percent to provide financial assistance to States 
     in accordance with section 6 of the Land and Water 
     Conservation Fund Act of 1965 (16 U.S.C. 460l -8), which 
     shall be considered income to the Land and Water Conservation 
     Fund for purposes of section 2 of that Act (16 U.S.C. 460l-
     5); and
       ``(C) distribute 5 percent of qualified outer Continental 
     Shelf revenues to States for historic offshore production 
     distribution.
       ``(2) Allocation to new producing states and coastal 
     political subdivisions.--
       ``(A) Allocation to new producing states.--Effective for 
     fiscal year 2008 and each fiscal year thereafter, the amount 
     made available under paragraph (1)(B)(i) shall be allocated 
     to each new producing State in amounts (based on a formula 
     established by the Secretary by regulation) proportional to 
     the amount of qualified outer Continental Shelf revenues 
     generated in the new producing area offshore each State.
       ``(B) Payments to coastal political subdivisions.--
       ``(i) In general.--The Secretary shall pay 20 percent of 
     the allocable share of each new producing State, as 
     determined under subparagraph (A), to the coastal political 
     subdivisions of the new producing State.
       ``(ii) Allocation.--The amount paid by the Secretary to 
     coastal political subdivisions shall be allocated to each 
     coastal political subdivision in accordance with the 
     regulations promulgated under subparagraph (A).
       ``(3) Minimum allocation.--The amount allocated to a new 
     producing State for each fiscal year under paragraph (2) 
     shall be at least 5 percent of the amounts available for the 
     fiscal year under paragraph (1)(B)(i).
       ``(4) Timing.--The amounts required to be deposited under 
     subparagraph (B) of paragraph (1) for the applicable fiscal 
     year shall be made available in accordance with that 
     subparagraph during the fiscal year immediately following the 
     applicable fiscal year.
       ``(5) Authorized uses.--
       ``(A) In general.--Subject to subparagraph (B), each new 
     producing State and coastal political subdivision shall use 
     all amounts received under paragraph (2) in accordance with 
     all applicable Federal and State laws, only for 1 or more of 
     the following purposes:
       ``(i) Projects and activities for the purposes of coastal 
     protection, including conservation, coastal restoration, 
     hurricane protection, and infrastructure directly affected by 
     coastal wetland losses.
       ``(ii) Mitigation of damage to fish, wildlife, or natural 
     resources.
       ``(iii) Implementation of a federally approved marine, 
     coastal, or comprehensive conservation management plan.
       ``(iv) Funding of onshore infrastructure projects.
       ``(v) Planning assistance and the administrative costs of 
     complying with this section.
       ``(B) Limitation.--Not more than 3 percent of amounts 
     received by a new producing State or coastal political 
     subdivision under paragraph (2) may be used for the purposes 
     described in subparagraph (A)(v).
       ``(6) Administration.--Amounts made available under 
     paragraph (1)(B) shall--
       ``(A) be made available, without further appropriation, in 
     accordance with this subsection;
       ``(B) remain available until expended; and
       ``(C) be in addition to any amounts appropriated under--
       ``(i) other provisions of this Act;
       ``(ii) the Land and Water Conservation Fund Act of 1965 (16 
     U.S.C. 460l-4 et seq.); or
       ``(iii) any other provision of law.
       ``(d) Disposition of Qualified Outer Continental Shelf 
     Revenues From Other Areas.--Notwithstanding section 9, for 
     each applicable fiscal year, the terms and conditions of 
     subsection (c) shall apply to the disposition of qualified 
     outer Continental Shelf revenues that--
       ``(1) are derived from oil or gas leasing in an area that 
     is not included in the current 5-year plan of the Secretary 
     for oil or gas leasing; and
       ``(2) are not assumed in the budget of the United States 
     Government submitted by the President under section 1105 of 
     title 31, United States Code.''.
                                 ______
                                 
  SA 5093. Mr. FEINGOLD (for himself, Mr. Dodd, Mr. Menendez, and Ms. 
Mikulski) submitted an amendment intended to be proposed by him to the 
bill S. 3268, to amend the Commodity Exchange Act, to prevent excessive 
price speculation with respect to energy commodities, and for other 
purposes; which was ordered to lie on the table; as follows:

       At the end of the bill, add the following:

     SEC. 17. ISSUANCE OF NEW LEASES.

       (a) Definitions.--In this section:
       (1) Lessee.--The term ``lessee'' includes any person or 
     other entity that controls, is controlled by, or is in or 
     under common control with, a lessee.
       (2) Secretary.--The term ``Secretary'' means the Secretary 
     of the Interior.
       (b) Leases.--Effective beginning on the date of 
     promulgation of regulations under subsection (c), the 
     Secretary shall not issue any new lease that authorizes the 
     exploration for or production of oil or natural gas under 
     section 17 of the Mineral Leasing Act (33 U.S.C. 226), the 
     Mineral Leasing Act for Acquired Lands (30 U.S.C. 351 et 
     seq.), or the Outer Continental Shelf Lands Act (43 U.S.C. 
     1331 et seq.) to a person unless the person--
       (1) certifies for each existing lease under those Acts for 
     the production of oil or gas with respect to which the person 
     is a lessee, that the person has diligently developed the 
     Federal land that is subject to the lease in order to produce 
     oil or natural gas or is producing oil or natural gas from 
     the land; or
       (2) has relinquished all Federal oil and gas leases under 
     which oil and gas is not being diligently developed.
       (c) Diligent Development.--
       (1) In general.--Not later than 180 days after the date of 
     enactment of this Act, the Secretary shall promulgate 
     regulations that define ``diligently developed'' for purposes 
     of this section.
       (2) Regulations.--The regulations shall--
       (A) include benchmarks for oil and gas development that 
     will ensure that leaseholders produce oil and gas from each 
     lease within the original term of the lease; and
       (B) require each leaseholder to submit to the Secretary a 
     diligent development plan demonstrating how the lessee will 
     meet the benchmarks.
       (d) Failure To Comply With Requirements.--Any person that 
     fails to comply with this section (including any regulation 
     or order issued under this section) shall be liable for a 
     civil penalty under the terms and conditions of section 109 
     of the Federal Oil and Gas Royalty Management Act of 1982 (30 
     U.S.C. 1719).
                                 ______
                                 
  SA 5094. Mr. DODD (for himself, Mr. Feingold, Mr. Menendez, and Ms. 
Mikulski) submitted an amendment intended to be proposed by him to the 
bill S. 3268, to amend the Commodity Exchange Act, to prevent excessive 
price speculation with respect to energy commodities, and for other 
purposes; which was ordered to lie on the table; as follows:

       At the end, add the following:

     SEC. __. PRODUCTION INCENTIVE FEES; ENERGY EFFICIENCY AND 
                   RENEWABLE ENERGY FUND.

       (a) Production Incentive Fee; Issuance of New Leases.--
       (1) Definitions.--In this subsection:
       (A) Covered lease.--The term ``covered lease'' means a 
     lease for the production of oil or natural gas under which 
     production is not occurring.
       (B) Fee.--The term ``fee'' means the production incentive 
     fee established under paragraph (2).
       (C) Lessee.--The term ``lessee'' includes any person or 
     other entity that controls, is

[[Page S7182]]

     controlled by, or is in or under common control with, a 
     lessee.
       (D) Secretary.--The term ``Secretary'' means the Secretary 
     of the Interior.
       (2) Production incentive fee.--
       (A) In general.--Not later than 180 days after the date of 
     enactment of this Act, the Secretary shall promulgate 
     regulations to establish an annual production incentive fee 
     with respect to Federal onshore and offshore land that is 
     subject to a covered lease.
       (B) Applicability.--The fee shall apply to land that is 
     subject to any covered lease that is in effect on, or issued 
     after, the date on which final regulations are promulgated 
     under subparagraph (A).
       (C) Amount.--For each acre of land subject to a covered 
     lease from which oil or natural gas is produced for fewer 
     than 90 days in a calendar year, the fee shall be equal to--
       (i) $5 per acre for the first 3 years of the covered lease 
     after the date of enactment of this Act;
       (ii) $25 per acre for the fourth year of the covered lease 
     after the date of enactment of this Act; and
       (iii) $50 per acre for the fifth year of the covered lease 
     and each year thereafter for which the covered lease is in 
     effect after the date of enactment of this Act.
       (D) Assessment and collection.--The Secretary shall assess 
     and collect the fee.
       (E) Regulations.--The Secretary may promulgate regulations 
     to carry out this paragraph, including regulations to prevent 
     nonpayment of the fee.
       (3) Issuance of new leases.--
       (A) Leases.--Effective beginning on the date of 
     promulgation of regulations under subparagraph (B), the 
     Secretary shall not issue any new lease that authorizes the 
     exploration for or production of oil or natural gas under 
     section 17 of the Mineral Leasing Act (33 U.S.C. 226), the 
     Mineral Leasing Act for Acquired Lands (30 U.S.C. 351 et 
     seq.), or the Outer Continental Shelf Lands Act (43 U.S.C. 
     1331 et seq.) to a person unless the person--
       (i) certifies for each existing lease under those Acts for 
     the production of oil or gas with respect to which the person 
     is a lessee, that the person has diligently developed the 
     Federal land that is subject to the lease in order to produce 
     oil or natural gas or is producing oil or natural gas from 
     the land; or
       (ii) has relinquished all Federal oil and gas leases under 
     which oil and gas is not being diligently developed.
       (B) Diligent development.--
       (i) In general.--Not later than 180 days after the date of 
     enactment of this Act, the Secretary shall promulgate 
     regulations that define ``diligently developed'' for purposes 
     of this paragraph.
       (ii) Regulations.--The regulations shall--

       (I) include benchmarks for oil and gas development that 
     will ensure that leaseholders produce oil and gas from each 
     lease within the original term of the lease; and
       (II) require each leaseholder to submit to the Secretary a 
     diligent development plan demonstrating how the lessee will 
     meet the benchmarks.

       (iii) Failure to comply with requirements.--Any person that 
     fails to comply with this paragraph (including any regulation 
     promulgated or order issued under this paragraph) shall be 
     liable for a civil penalty under the terms and conditions of 
     section 109 of the Federal Oil and Gas Royalty Management Act 
     of 1982 (30 U.S.C. 1719).
       (b) Energy Efficiency and Renewable Energy Fund.--
       (1) Establishment.--There is established in the Treasury of 
     the United States a separate account, which shall be known as 
     the ``Energy Efficiency and Renewable Energy Fund'', 
     consisting of such amounts as are appropriated to the Fund 
     under paragraph (2).
       (2) Transfers to fund.--There are appropriated to the Fund, 
     out of funds of the Treasury not otherwise appropriated, 
     amounts equivalent to amounts collected as fees and received 
     in the Treasury under subsection (a)(2).
       (3) Use.--Subject to appropriations, of the amounts in the 
     Fund for each fiscal year--
       (A) $100,000,000 shall be made available for necessary 
     expenses for a program to accelerate the research, 
     development, demonstration, and deployment of solar energy 
     technologies and any public education and outreach materials 
     under the program, as authorized under section 931(a)(2)(A) 
     of the Energy Policy Act of 2005 (42 U.S.C. 16231(a)(2)(A));
       (B) $65,000,000 shall be made available for necessary 
     expenses for a program to support the development of next-
     generation wind turbines, including turbines capable of 
     operating in areas with low wind speeds, as authorized under 
     section 931(a)(2)(B) of the Energy Policy Act of 2005 (42 
     U.S.C. 16231(a)(2)(B));
       (C) $200,000,000 shall be transferred to the 
     ``Weatherization Assistance Program'' account, for a program 
     to weatherize low-income housing, as authorized under section 
     411 of the Energy Independence and Security Act of 2007 
     (Public Law 110-140; 121 Stat. 1600) (and the amendments made 
     by that section);
       (D) $70,000,000 shall be made available for necessary 
     expenses for a program to accelerate the research, 
     development, demonstration, and deployment of new 
     technologies to improve the energy efficiency of and reduce 
     greenhouse gas emissions from buildings, as authorized 
     under--
       (i) section 321(g) of the Energy Independence and Security 
     Act of 2007 (42 U.S.C. 6295 note; Public Law 110-140);
       (ii) section 422 of the Energy Independence and Security 
     Act of 2007 (42 U.S.C. 17082); and
       (iii) section 912 of the Energy Policy Act of 2005 (42 
     U.S.C. 16192);
       (E) $30,000,000 shall be made available for necessary 
     expenses for a program to accelerate basic research on energy 
     storage systems to support electric drive vehicles, 
     stationary applications, and electricity transmission and 
     distribution, as authorized under section 641(f) of the 
     Energy Independence and Security Act of 2007 (42 U.S.C. 
     17231(f));
       (F) $30,000,000 shall be made available for a program to 
     accelerate applied research on energy storage systems to 
     support electric drive vehicles, stationary applications, and 
     electricity transmission and distribution as authorized under 
     section 641(g) of the Energy Independence and Security Act of 
     2007 (42 U.S.C. 17231(g));
       (G) $20,000,000 shall be made available for energy storage 
     systems demonstrations as authorized under section 641(i) of 
     the Energy Independence and Security Act of 2007 (42 U.S.C. 
     17231(i));
       (H) $20,000,000 shall be made available for vehicle energy 
     storage systems demonstrations as authorized under section 
     641(j) of the Energy Independence and Security Act of 2007 
     (42 U.S.C. 17231(j));
       (I) $40,000,000 shall be made available for necessary 
     expenses for research, development, and demonstration on 
     advanced, cost-effective technologies to improve the energy 
     efficiency and environmental performance of vehicles, as 
     authorized under section 911(a)(2)(A) of the Energy Policy 
     Act of 2005 (42 U.S.C. 16191(a)(2)(A));
       (J) $50,000,000 shall be made available for audits, 
     investigations, and environmental mitigation for oil and gas 
     production by the Department of Interior; and
       (K) the remainder shall be made available for use for the 
     low-income home energy assistance program established under 
     the Low-Income Home Energy Assistance Act of 1981 (42 U.S.C. 
     8621 et seq.).
                                 ______
                                 
  SA 5095. Mr. DODD (for himself, Mr. Feingold, Mr. Menendez, and Ms. 
Mikulski) submitted an amendment intended to be proposed by him to the 
bill S. 3268, to amend the Commodity Exchange Act, to prevent excessive 
price speculation with respect to energy commodities, and for other 
purposes; which was ordered to lie on the table; as follows:

       At the end, add the following:

     SEC. __. PRODUCTION INCENTIVE FEES; ENERGY EFFICIENCY AND 
                   RENEWABLE ENERGY FUND.

       (a) Definitions.--In this section:
       (1) Covered lease.--The term ``covered lease'' means a 
     lease for the production of oil or natural gas under which 
     production is not occurring.
       (2) Fee.--The term ``fee'' means the production incentive 
     fee established under subsection (b)(1).
       (3) Fund.--The term ``Fund'' means the Energy Efficiency 
     and Renewable Energy Fund established by subsection (c)(1).
       (4) Secretary.--The term ``Secretary'' means the Secretary 
     of the Interior.
       (b) Production Incentive Fee.--
       (1) In general.--Not later than 180 days after the date of 
     enactment of this Act, the Secretary shall promulgate 
     regulations to establish an annual production incentive fee 
     with respect to Federal onshore and offshore land that is 
     subject to a covered lease.
       (2) Applicability.--The fee shall apply to land that is 
     subject to any covered lease that is in effect on, or issued 
     after, the date on which final regulations are promulgated 
     under paragraph (1).
       (3) Amount.--For each acre of land subject to a covered 
     lease from which oil or natural gas is produced for less than 
     90 days in a calendar year, the fee shall be equal to--
       (A) $5 per acre for the first 3 years of the covered lease 
     after the date of enactment of this Act;
       (B) $25 per acre for the fourth year of the covered lease 
     after the date of enactment of this Act; and
       (C) $50 per acre for the fifth year of the covered lease 
     and each year thereafter for which the covered lease is in 
     effect after the date of enactment of this Act.
       (4) Assessment and collection.--The Secretary shall assess 
     and collect the fee.
       (5) Regulations.--The Secretary may promulgate regulations 
     to carry out this subsection, including prevention of evasion 
     of the fee.
       (c) Energy Efficiency and Renewable Energy Fund.--
       (1) Establishment.--There is established in the Treasury of 
     the United States a separate account, which shall be known as 
     the ``Energy Efficiency and Renewable Energy Fund'', 
     consisting of such amounts as are appropriated to the Fund 
     under paragraph (2).
       (2) Transfers to fund.--There are appropriated to the Fund, 
     out of funds of the Treasury not otherwise appropriated, 
     amounts equivalent to amounts collected as fees and received 
     in the Treasury under subsection (b).
       (3) Use.--Subject to appropriations, of the amounts in the 
     Fund for each fiscal year--

[[Page S7183]]

       (A) $100,000,000 shall be made available for necessary 
     expenses for a program to accelerate the research, 
     development, demonstration, and deployment of solar energy 
     technologies and any public education and outreach materials 
     under the program, as authorized under section 931(a)(2)(A) 
     of the Energy Policy Act of 2005 (42 U.S.C. 16231(a)(2)(A));
       (B) $65,000,000 shall be made available for necessary 
     expenses for a program to support the development of next-
     generation wind turbines, including turbines capable of 
     operating in areas with low wind speeds, as authorized under 
     section 931(a)(2)(B) of the Energy Policy Act of 2005 (42 
     U.S.C. 16231(a)(2)(B));
       (C) $200,000,000 shall be transferred to the 
     ``Weatherization Assistance Program'' account, for a program 
     to weatherize low-income housing, as authorized under section 
     411 of the Energy Independence and Security Act of 2007 
     (Public Law 110-140; 121 Stat. 1600) (and the amendments made 
     by that section);
       (D) $70,000,000 shall be made available for necessary 
     expenses for a program to accelerate the research, 
     development, demonstration, and deployment of new 
     technologies to improve the energy efficiency of, and reduce 
     greenhouse gas emissions from, buildings, as authorized 
     under--
       (i) section 321(g) of the Energy Independence and Security 
     Act of 2007 (42 U.S.C. 6295 note; Public Law 110-140);
       (ii) section 422 of the Energy Independence and Security 
     Act of 2007 (42 U.S.C. 17082); and
       (iii) section 912 of the Energy Policy Act of 2005 (42 
     U.S.C. 16192);
       (E) $30,000,000 shall be made available for necessary 
     expenses for a program to accelerate basic research on energy 
     storage systems to support electric drive vehicles, 
     stationary applications, and electricity transmission and 
     distribution, as authorized under section 641(f) of the 
     Energy Independence and Security Act of 2007 (42 U.S.C. 
     17231(f));
       (F) $30,000,000 shall be made available for a program to 
     accelerate applied research on energy storage systems to 
     support electric drive vehicles, stationary applications, and 
     electricity transmission and distribution as authorized under 
     section 641(g) of the Energy Independence and Security Act of 
     2007 (42 U.S.C. 17231(g));
       (G) $20,000,000 shall be made available for energy storage 
     systems demonstrations as authorized under section 641(i) of 
     the Energy Independence and Security Act of 2007 (42 U.S.C. 
     17231(i));
       (H) $20,000,000 shall be made available for vehicle energy 
     storage systems demonstrations as authorized under section 
     641(j) of the Energy Independence and Security Act of 2007 
     (42 U.S.C. 17231(j));
       (I) $40,000,000 shall be made available for necessary 
     expenses for research, development, and demonstration on 
     advanced, cost-effective technologies to improve the energy 
     efficiency and environmental performance of vehicles, as 
     authorized under section 911(a)(2)(A) of the Energy Policy 
     Act of 2005 (42 U.S.C. 16191(a)(2)(A));
       (J) $50,000,000 shall be made available for audits, 
     investigations, and environmental mitigation for oil and gas 
     production by the Department of Interior; and
       (K) the remainder shall be made available for use for the 
     low-income home energy assistance program established under 
     the Low-Income Home Energy Assistance Act of 1981 (42 U.S.C. 
     8621 et seq.).
                                 ______
                                 
  SA 5096. Mr. ISAKSON submitted an amendment intended to be proposed 
by him to the bill S. 3268, to amend the Commodity Exchange Act, to 
prevent excessive price speculation with respect to energy commodities, 
and for other purposes; which was ordered to lie on the table; as 
follows:

       At the appropriate place, insert the following:

                        TITLE __--NUCLEAR ENERGY

                    Subtitle A--Financial Incentives

     SEC. __01. INVESTMENT TAX CREDIT FOR NUCLEAR POWER 
                   FACILITIES.

       (a) New Credit for Nuclear Power Facilities.--Section 46 of 
     the Internal Revenue Code of 1986 is amended--
       (1) by striking ``and'' at the end of paragraph (3);
       (2) by striking the period at the end of paragraph (4) and 
     inserting ``; and''; and
       (3) by inserting after paragraph (4) the following new 
     paragraph:
       ``(5) the nuclear power facility construction credit.''.
       (b) Nuclear Power Facility Construction Credit.--Subpart E 
     of part IV of subchapter A of chapter 1 of the Internal 
     Revenue Code of 1986 is amended by inserting after section 
     48B the following new section:

     ``SEC. 48C. NUCLEAR POWER FACILITY CONSTRUCTION CREDIT.

       ``(a) In General.--For purposes of section 46, the nuclear 
     power facility construction credit for any taxable year is 10 
     percent of the qualified nuclear power facility expenditures 
     with respect to a qualified nuclear power facility.
       ``(b) When Expenditures Taken Into Account.--
       ``(1) In general.--Qualified nuclear power facility 
     expenditures shall be taken into account for the taxable year 
     in which the qualified nuclear power facility is placed in 
     service.
       ``(2) Coordination with subsection (c).--The amount which 
     would (but for this paragraph) be taken into account under 
     paragraph (1) with respect to any qualified nuclear power 
     facility shall be reduced (but not below zero) by any amount 
     of qualified nuclear power facility expenditures taken into 
     account under subsection (c) by the taxpayer or a predecessor 
     of the taxpayer, to the extent any amount so taken into 
     account under subsection (c) has not been required to be 
     recaptured under section 50(a).
       ``(c) Progress Expenditures.--
       ``(1) In general.--A taxpayer may elect to take into 
     account qualified nuclear power facility expenditures--
       ``(A) Self-constructed property.--In the case of a 
     qualified nuclear power facility which is a self-constructed 
     facility, no earlier than the taxable year for which such 
     expenditures are properly chargeable to capital account with 
     respect to such facility, and
       ``(B) Acquired facility.--In the case of a qualified 
     nuclear facility which is not self-constructed property, no 
     earlier than the taxable year in which such expenditures are 
     paid.
       ``(2) Special rules for applying paragraph (1).--For 
     purposes of paragraph (1)--
       ``(A) Component parts, etc.--Notwithstanding that a 
     qualified nuclear power facility is a self-constructed 
     facility, property described in paragraph (3)(B) shall be 
     taken into account in accordance with paragraph (1)(B), and 
     such amounts shall not be included in determining qualified 
     nuclear power facility expenditures under paragraph (1)(A).
       ``(B) Certain borrowing disregarded.--Any amount borrowed 
     directly or indirectly by the taxpayer on a nonrecourse basis 
     from the person constructing the facility for the taxpayer 
     shall not be treated as an amount expended for such facility.
       ``(C) Limitation for facilities or components which are not 
     self-constructed.--
       ``(i) In general.--In the case of a facility or a component 
     of a facility which is not self-constructed, the amount taken 
     into account under paragraph (1)(B) for any taxable year 
     shall not exceed the excess of--

       ``(I) the product of the overall cost to the taxpayer of 
     the facility or component of a facility, multiplied by the 
     percentage of completion of the facility or component of a 
     facility, less
       ``(II) the amount taken into account under paragraph (1)(B) 
     for all prior taxable years as to such facility or component 
     of a facility.

       ``(ii) Carryover of certain amounts.--In the case of a 
     facility or component of a facility which is not self-
     constructed, if for the taxable year the amount which (but 
     for clause (i)) would have been taken into account under 
     paragraph (1)(B) exceeds the amount allowed by clause (i), 
     then the amount of such excess shall increase the amount 
     taken into account under paragraph (1)(B) for the succeeding 
     taxable year without regard to this paragraph.
       ``(D) Determination of percentage of completion.--The 
     determination under subparagraph (C) of the portion of the 
     overall cost to the taxpayer of the construction which is 
     properly attributable to construction completed during any 
     taxable year shall be made on the basis of engineering or 
     architectural estimates or on the basis of cost accounting 
     records, using information available at the close of the 
     taxable year in which the credit is being claimed.
       ``(E) Determination of overall cost.--The determination 
     under subparagraph (C) of the overall cost to the taxpayer of 
     the construction of a facility shall be made on the basis of 
     engineering or architectural estimates or on the basis of 
     cost accounting records, using information available at the 
     close of the taxable year in which the credit is being 
     claimed.
       ``(F) No progress expenditures for property for year placed 
     in service, etc.--In the case of any qualified nuclear 
     facility, no qualified nuclear facility expenditures shall be 
     taken into account under this subsection for the earlier of--
       ``(i) the taxable year in which the facility is placed in 
     service, or
       ``(ii) the first taxable year for which recapture is 
     required under section 50(a)(2) with respect to such facility 
     or for any taxable year thereafter.
       ``(3) Self-constructed.--For purposes of this subsection--
       ``(A) In general.--The term `self-constructed facility' 
     means any facility if, at the close of the first taxable year 
     to which the election in this subsection applies, it is 
     reasonable to believe that more than 80 percent of the 
     qualified nuclear facility expenditures for such facility 
     will be made directly by the taxpayer.
       ``(B) Treatment of components.--A component of a facility 
     shall be treated as not self-constructed if, at the close of 
     the first taxable year in which expenditures for the 
     component are paid, it is reasonable to believe that the cost 
     of the component is at least 5 percent of the expected cost 
     of the facility.
       ``(4) Election.--An election shall be made under this 
     subsection for a qualified nuclear power facility by claiming 
     the nuclear power facility construction credit for 
     expenditures described in paragraph (1) on the taxpayer's 
     return of the tax imposed by this chapter for the taxable 
     year. Such an election shall apply to the taxable year for 
     which made and all subsequent taxable years. Such an 
     election, once made, may be revoked only with the consent of 
     the Secretary.
       ``(d) Definitions and Special Rules.--For purposes of this 
     section--

[[Page S7184]]

       ``(1) Qualified nuclear power facility.--The term 
     `qualified nuclear power facility' means an advanced nuclear 
     facility (as defined in section 45J(d)(2))--
       ``(A) which, when placed in service, will use nuclear power 
     to produce electricity,
       ``(B) the construction of which is approved by the Nuclear 
     Regulatory Commission on or before December 31, 2013, and
       ``(C) which is placed in service before January 1, 2021.
     Such term shall not include any property which is part of a 
     facility the production from which is allowed as a credit 
     under section 45 for the taxable year or any prior taxable 
     year.
       ``(2) Qualified nuclear power facility expenditures.--
       ``(A) In general.--The term `qualified nuclear power 
     facility expenditures' means any amount paid, accrued, or 
     properly chargeable to capital account--
       ``(i) with respect to a qualified nuclear power facility,
       ``(ii) for which depreciation will be allowable under 
     section 168 once the facility is placed in service, and
       ``(iii) which is incurred before the qualified nuclear 
     power facility is placed in service or in connection with the 
     placement of such facility in service.
       ``(B) Pre-effective date expenditures.--Qualified nuclear 
     power facility expenditures do not include any expenditures 
     incurred by the taxpayer before January 1, 2008, to the 
     extent that, at the close of the first taxable year to which 
     the election in subsection (c) applies, it is reasonable to 
     believe that such expenditures will constitute more than 20 
     percent of the total qualified nuclear power facility 
     expenditures.
       ``(3) Delays and suspension of construction.--
       ``(A) In general.--Except for sales or dispositions between 
     entities which meet the ownership test in section 1504(a), 
     for purposes of applying this section and section 50, a 
     nuclear power facility that is under construction shall 
     cease, with respect to the taxpayer, to be a qualified 
     nuclear power facility as of the date on which the taxpayer 
     sells, disposes of, or cancels, abandons, or otherwise 
     terminates the construction of, the facility.
       ``(B) Resumption of construction.--If a nuclear power 
     facility that is under construction ceases, with respect to 
     the taxpayer, to be a qualified nuclear power facility by 
     reason of subparagraph (A) and work is subsequently resumed 
     on the construction of such facility the qualified nuclear 
     power facility expenditures shall be determined without 
     regard to any delay or temporary termination of construction 
     of the facility.
       ``(e) Application of Other Rules.--Rules similar to the 
     rules of subsections (c)(4) and (d) of section 46 (as in 
     effect on the day before the enactment of the Revenue 
     Reconciliation Act of 1990) shall apply for purposes of this 
     section to the extent not inconsistent herewith.''.
       (c) Provisions Relating to Credit Recapture.--
       (1) Progress expenditure recapture rules.--
       (A) Basic rules.--Subparagraph (A) of section 50(a)(2) of 
     the Internal Revenue Code of 1986 is amended to read as 
     follows:
       ``(A) In general.--If during any taxable year any building 
     to which section 47(d) applied or any facility to which 
     section 48C(c) applied ceases (by reason of sale or other 
     disposition, cancellation or abandonment of contract, or 
     otherwise) to be, with respect to the taxpayer, property 
     which, when placed in service, will be a qualified 
     rehabilitated building or a qualified nuclear power facility, 
     then the tax under this chapter for such taxable year shall 
     be increased by an amount equal to the aggregate decrease in 
     the credits allowed under section 38 for all prior taxable 
     years which would have resulted solely from reducing to zero 
     the credit determined under this subpart with respect to such 
     building or facility.''.
       (B) Amendment to excess credit recapture rule.--
     Subparagraph (B) of section 50(a)(2) of such Code is amended 
     by--
       (i) inserting ``or paragraph (2) of section 48C(b)'' after 
     ``paragraph (2) of section 47(b)'';
       (ii) inserting ``or section 48C(b)(1)'' after ``section 
     47(b)(1)''; and
       (iii) inserting ``or facility'' after ``building''.
       (d) Application of Section 49.--Subparagraph (C) of section 
     49(a)(1) of the Internal Revenue Code of 1986 is amended--
       (1) by striking ``and'' at the end of clause (iii);
       (2) by striking the period at the end of clause (iv) and 
     inserting ``, and''; and
       (3) by inserting after clause (iv) the following new 
     clause:
       ``(v) the basis of any property which is part of a 
     qualified nuclear power facility under section 48C.''.
       (e) Denial of Double Benefit.--Subsection (c) of section 
     45J of the Internal Revenue Code of 1986 (relating to other 
     limitations) is amended by adding at the end the following 
     new paragraph:
       ``(3) Credit reduced for grants, tax-exempt bonds, 
     subsidized energy financing, and other credits.--The amount 
     of the credit determined under subsection (a) with respect to 
     any facility for any taxable year (determined after the 
     application of paragraphs (1) and (2)) shall be reduced by 
     the amount which is the product of the amount so determined 
     for such year and the lesser of \1/2\ or a fraction--
       ``(A) the numerator of which is the sum, for the taxable 
     year and all prior taxable years, of--
       ``(i) grants provided by the United States, a State, or a 
     political subdivision of a State for use in connection with 
     the project,
       ``(ii) proceeds of an issue of State or local government 
     obligations used to provide financing for the project the 
     interest on which is exempt from tax under section 103,
       ``(iii) the aggregate amount of subsidized energy financing 
     provided (directly or indirectly) under a Federal, State, or 
     local program provided in connection with the project, and
       ``(iv) the amount of any other credit allowable with 
     respect to any property which is part of the facility, and
       ``(B) the denominator of which is the aggregate amount of 
     additions to the capital account for the project for the 
     taxable year and all prior taxable years.
     The amounts under the preceding sentence for any taxable year 
     shall be determined as of the close of the taxable year.''.
       (f) Clerical Amendment.--The table of sections for subpart 
     E of part IV of subchapter A of chapter 1 of the Internal 
     Revenue Code of 1986 is amended by inserting after the item 
     relating to section 48B the following new item:

``Sec. 48C. Nuclear power facility construction credit.''.

       (g) Effective Date.--The amendments made by this section 
     shall apply to expenditures incurred and property placed in 
     service in taxable years beginning after the date of 
     enactment of this Act.

     SEC. __02. 5-YEAR ACCELERATED DEPRECIATION FOR NEW NUCLEAR 
                   POWER FACILITIES.

       (a) In General.--Subparagraph (B) of section 168(e)(3) of 
     the Internal Revenue Code of 1986 (relating to 5-year 
     property) is amended--
       (1) by striking ``and'' at the end of clause (v);
       (2) by striking the period at the end of clause (vi) and 
     inserting ``, and''; and
       (3) by adding at the end the following new clause:
       ``(vii) any qualified nuclear power facility described in 
     paragraph (1) of section 48C(d) (without regard to the last 
     sentence thereof) the original use of which commences with 
     the taxpayer.''.
       (b) Conforming Amendment.--Section 168(e)(3)(E)(vii) of the 
     Internal Revenue Code of 1986 is amended by inserting ``and 
     not described in subparagraph (B)(vii) of this paragraph'' 
     after ``section 1245(a)(3)''.
       (c) Effective Date.--The amendments made by this section 
     shall apply to property placed in service in taxable years 
     beginning after the date of enactment of this Act.

     SEC. __03. CREDIT FOR QUALIFYING NUCLEAR POWER MANUFACTURING.

       (a) In General.--Subpart E of part IV of subchapter A of 
     chapter 1 of the Internal Revenue Code of 1986, as amended by 
     this Act, is amended by inserting after section 48C the 
     following new section:

     ``SEC. 48D. QUALIFYING NUCLEAR POWER MANUFACTURING CREDIT.

       ``(a) Allowance of Credit.--For purposes of section 46, the 
     qualifying nuclear power manufacturing credit for any taxable 
     year is an amount equal to 20 percent of the qualified 
     investment for such taxable year.
       ``(b) Qualified Investment.--
       ``(1) In general.--For purposes of subsection (a), the 
     qualified investment for any taxable year is the basis of 
     property placed in service by the taxpayer during such 
     taxable year which is certified under subsection (c) and--
       ``(A) which is either part of a qualifying nuclear power 
     manufacturing project or is qualifying nuclear power 
     manufacturing equipment,
       ``(B)(i) the construction, reconstruction, or erection of 
     which is completed by the taxpayer, or
       ``(ii) which is acquired by the taxpayer if the original 
     use of such property commences with the taxpayer,
       ``(C) with respect to which depreciation (or amortization 
     in lieu of depreciation) is allowable, and
       ``(D) which is placed in service on or before December 31, 
     2015.
       ``(2) Special rule for certain subsidized property.--Rules 
     similar to the rules of section 48(a)(4) shall apply for 
     purposes of this section.
       ``(3) Certain qualified progress expenditures rules made 
     applicable.--Rules similar to the rules of subsections (c)(4) 
     and (d) of section 46 (as in effect on the day before the 
     enactment of the Revenue Reconciliation Act of 1990) shall 
     apply for purposes of this section.
       ``(c) Qualifying Nuclear Power Manufacturing Project and 
     Qualifying Nuclear Power Manufacturing Equipment 
     Certification.--Not later than 180 days after the date of the 
     enactment of this section, the Secretary, in consultation 
     with the Secretary of Energy, shall establish a program to 
     consider and award certifications for property eligible for 
     credits under this section as part of either a qualifying 
     nuclear power manufacturing project or as qualifying nuclear 
     power manufacturing equipment. The total amounts of credit 
     that may be allocated under the program shall not exceed 
     $100,000,000.
       ``(d) Definitions.--For purposes of this section--
       ``(1) Qualifying nuclear power manufacturing project.--The 
     term `qualifying nuclear power manufacturing project' means

[[Page S7185]]

     any project which is designed primarily to enable the 
     taxpayer to produce or test equipment necessary for the 
     construction or operation of a nuclear power plant.
       ``(2) Qualifying nuclear power manufacturing equipment.--
     The term `qualifying nuclear power manufacturing equipment' 
     means machine tools and other similar equipment, including 
     computers and other peripheral equipment, acquired or 
     constructed primarily to enable the taxpayer to produce or 
     test equipment necessary for the construction or operation of 
     a nuclear power plant.
       ``(3) Project.--The term `project' includes any building 
     constructed to house qualifying nuclear power manufacturing 
     equipment.''.
       (b) Conforming Amendments.--
       (1) Additional investment credit.--Section 46 of the 
     Internal Revenue Code of 1986, as amended by this Act, is 
     amended--
       (A) by striking ``and'' at the end of paragraph (4);
       (B) by striking the period at the end of paragraph (5) and 
     inserting ``, and''; and
       (C) by inserting after paragraph (5) the following new 
     paragraph:
       ``(6) the qualifying nuclear power manufacturing credit.''.
       (2) Application of section 49.--Subparagraph (C) of section 
     49(a)(1) of such Code, as amended by this Act, is amended--
       (A) by striking ``and'' at the end of clause (iv);
       (B) by striking the period at the end of clause (v) and 
     inserting ``, and''; and
       (C) by inserting after clause (v) the following new clause:
       ``(vi) the basis of any property which is part of a 
     qualifying nuclear power manufacturing project or qualifying 
     nuclear power manufacturing equipment under section 48D.''.
       (c) Clerical Amendment.--The table of sections for subpart 
     E of part IV of subchapter A of chapter 1 of such Code, as 
     amended by this Act, is amended by inserting after the item 
     relating to section 48C the following new item:

``Sec. 48D. Qualifying nuclear power manufacturing credit.''.
       (d) Effective Date.--The amendments made by this section 
     shall apply to property--
       (1) the construction, reconstruction, or erection of which 
     begins after the date of enactment of this Act; or
       (2) which is acquired by the taxpayer on or after such date 
     and not pursuant to a binding contract which was in effect on 
     the day prior to such date.

     SEC. __04. STANDBY SUPPORT FOR CERTAIN NUCLEAR PLANT DELAYS.

       (a) Definitions.--Section 638(a) of the Energy Policy Act 
     of 2005 (42 U.S.C. 16014(a)) is amended--
       (1) by redesignating paragraph (4) as paragraph (7); and
       (2) by inserting after paragraph (3) the following:
       ``(4) Full power operation.--The term `full power 
     operation', with respect to a facility, means the earlier 
     of--
       ``(A) the commercial operation date (or the equivalent 
     under the terms of the financing documents for the facility); 
     and
       ``(B) the date on which the facility achieves operation at 
     an average nameplate capacity of 50 percent or more during 
     any consecutive 30-day period after the completion of startup 
     testing for the facility.
       ``(5) Increased project costs.--The term `increased project 
     costs' means the increased cost of constructing, 
     commissioning, testing, operating, or maintaining a reactor 
     prior to full-power operation incurred as a result of a delay 
     covered by the contract, including costs of demobilization 
     and remobilization, increased costs of equipment, materials 
     and labor due to delay (including idle time), increased 
     general and administrative costs, and escalation costs for 
     completing construction.
       ``(6) Litigation.--The term `litigation' means any--
       ``(A) adjudication in Federal, State, local, or tribal 
     court; and
       ``(B) any administrative proceeding or hearing before a 
     Federal, State, local, or tribal agency or administrative 
     entity.''.
       (b) Contract Authority.--Section 638(b) of the Energy 
     Policy Act of 2005 (42 U.S.C. 16014(b)) is amended by 
     striking paragraph (1) and inserting the following:
       ``(1) Contracts.--
       ``(A) In general.--The Secretary may enter into contracts 
     under this section with sponsors of an advanced nuclear 
     facility that cover at any 1 time a total of not more than 12 
     reactors, which shall consist of not less than 2 nor more 
     than 4 different reactor designs, in accordance with 
     paragraph (2).
       ``(B) Replacement contracts.--If any contract entered into 
     under this section terminates or expires without a claim 
     being paid by the Secretary under the contract, the Secretary 
     may enter into a new contract under this section in 
     replacement of the contract.''.
       (c) Covered Costs.--Section 638(d) of the Energy Policy Act 
     of 2005 (42. U.S.C. 16014(d)) is amended by striking 
     paragraphs (2) and (3) and inserting the following:
       ``(2) Coverage.--In the case of reactors that receive 
     combined licenses and on which construction is commenced, the 
     Secretary shall pay--
       ``(A) 100 percent of the covered costs of delay that occur 
     after the initial 30-day period of covered delay; but
       ``(B) not more than $500,000,000 per contract.
       ``(3) Covered debt obligations.--Debt obligations covered 
     under subparagraph (A) of paragraph (5) shall include debt 
     obligations incurred to pay increased project costs.''.
       (d) Dispute Resolution.--Section 638 of the Energy Policy 
     Act of 2005 (42 U.S.C. 16014) is amended--
       (1) by redesignating subsections (f) through (h) as 
     subsections (g) through (i), respectively; and
       (2) by inserting after subsection (e) the following:
       ``(f) Dispute Resolution.--
       ``(1) In general.--Any controversy or claim arising out of 
     or relating to any contract entered into under this section 
     shall be determined by arbitration in Washington, DC, in 
     accordance with the applicable Commercial Arbitration Rules 
     of the American Arbitration Association.
       ``(2) Treatment of decision.--A decision by an arbitrator 
     shall be final and binding, and the United district court for 
     Washington, DC, or the district in which the project is 
     located shall have jurisdiction to enter judgment on the 
     decision.''.

     SEC. __05. INCENTIVES FOR INNOVATIVE TECHNOLOGIES.

       (a) Definition of Project Cost.--Section 1701(1) of the 
     Energy Policy Act of 2005 (42 U.S.C. 16511(1)) is amended by 
     adding at the end the following:
       ``(6) Project cost.--The term `project cost' means all 
     costs associated with the development, planning, design, 
     engineering, permitting and licensing, construction, 
     commissioning, startup, shakedown, and financing of a 
     facility, including reasonable escalation and contingencies, 
     the cost of and fees for the guarantee, reasonably required 
     reserve funds, initial working capital, and interest during 
     construction.''.
       (b) Terms and Conditions.--Section 1702 of the Energy 
     Policy Act of 2005 (42 U.S.C. 16512) is amended by striking 
     subsections (b) and (c) and inserting the following:
       ``(b) Specific Appropriation or Contribution.--
       ``(1) In general.--No guarantee shall be made unless--
       ``(A) sufficient amounts have been appropriated to cover 
     the cost of the guarantee;
       ``(B) the Secretary has--
       ``(i) received from the borrower payment in full for the 
     cost of the obligation; and
       ``(ii) deposited the payment into the Treasury; or
       ``(C) any combination of subparagraphs (A) and (B) that is 
     sufficient to cover the cost of the obligation.
       ``(2) Relation to other laws.--Section 504(b) of the 
     Federal Credit Reform Act of 1990 (2 U.S.C. 661c (b)) shall 
     not apply to a loan guarantee made in accordance with 
     paragraph (1).
       ``(c) Amount.--
       ``(1) In general.--Subject to paragraph (2), the Secretary 
     shall guarantee--
       ``(A) 100 percent of the obligation for a facility that is 
     the subject of a guarantee; or
       ``(B) a lesser amount, if requested by the borrower.
       ``(2) Limitation.--The total amount of loans guaranteed for 
     a facility by the Secretary shall not exceed 80 percent of 
     the total cost of the facility, as estimated at the time at 
     which the guarantee is issued.''.
       (c) Fees.--Section 1702(h) of the Energy Policy Act of 2005 
     (42 U.S.C. 16512(h)) is amended by striking paragraph (2) and 
     inserting the following:
       ``(2) Availability.--Fees collected under this subsection 
     shall--
       ``(A) be deposited by the Secretary into a special fund in 
     the Treasury to be known as the `Incentives For Innovative 
     Technologies Fund'; and
       ``(B) remain available to the Secretary for expenditure, 
     without further appropriation or fiscal year limitation, for 
     administrative expenses incurred in carrying out this 
     title.''.

                       Subtitle B--Other Programs

     SEC. __11. NUCLEAR POWER 2010 PROGRAM.

       Section 952(c) of the Energy Policy Act of 2005 (42 U.S.C. 
     16272(c)) is amended by adding at the end the following:
       ``(3) Authorization of appropriations.--There are 
     authorized to be appropriated to the Secretary to carry out 
     the Nuclear Power 2010 Program--
       ``(A) $159,600,000 for fiscal year 2009;
       ``(B) $135,600,000 for fiscal year 2010;
       ``(C) $46,900,000 for fiscal year 2011; and
       ``(D) $2,200,000 for fiscal year 2012.''.

     SEC. __12. NEXT GENERATION NUCLEAR PLANT PROJECT 
                   MODIFICATIONS.

       (a) Project Establishment.--Section 641 of the Energy 
     Policy Act of 2005 (42 U.S.C. 16021) is amended--
       (1) in subsection (a)--
       (A) by striking the subsection designation and heading and 
     all that follows through ``The Secretary'' and inserting the 
     following:
       ``(a) Establishment and Objective.--
       ``(1) Establishment.--The Secretary''; and
       (B) by adding at the end the following:
       ``(2) Objective.--
       ``(A) Definition of high-temperature, gas-cooled nuclear 
     energy technology.--In this paragraph, the term `high-
     temperature, gas-cooled nuclear energy technology' means any 
     nongreenhouse gas-emitting nuclear energy technology that 
     provides--
       ``(i) an alternative to the burning of fossil fuels for 
     industrial applications; and
       ``(ii) process heat to generate, for example, electricity, 
     steam, hydrogen, and oxygen for activities such as--

[[Page S7186]]

       ``(I) petroleum refining;
       ``(II) petrochemical processes;
       ``(III) converting coal to synfuels and other hydrocarbon 
     feedstocks; and
       ``(IV) desalination.

       ``(B) Description of objective.--The objective of the 
     Project shall be to carry out demonstration projects for the 
     development, licensing, and operation of high-temperature, 
     gas-cooled nuclear energy technologies to support 
     commercialization of those technologies.
       ``(C) Requirements.--The functional, operational, and 
     performance requirements for high-temperature, gas-cooled 
     nuclear energy technologies shall be determined by the needs 
     of marketplace industrial end-users (such as owners and 
     operators of nuclear energy facilities, petrochemical 
     entities, and petroleum entities), as projected for the 40-
     year period beginning on the date of enactment of this 
     paragraph.''; and
       (2) in subsection (b)--
       (A) in the matter preceding paragraph (1), by inserting 
     ``licensing,'' after ``design,'';
       (B) in paragraph (1), by striking ``942(d)'' and inserting 
     ``952(d)''; and
       (C) by striking paragraph (2) and inserting the following:
       ``(2) demonstrates the capability of the nuclear energy 
     system to provide high-temperature process heat to produce--
       ``(A) electricity, steam, and other heat transport fluids; 
     and
       ``(B) hydrogen and oxygen, separately or in combination.''.
       (b) Project Management.--Section 642 of the Energy Policy 
     Act of 2005 (42 U.S.C. 16022) is amended to read as follows:

     ``SEC. 642. PROJECT MANAGEMENT.

       ``(a) Departmental Management.--
       ``(1) In general.--The Project shall be managed in the 
     Department by the Office of Nuclear Energy.
       ``(2) Generation iv nuclear energy systems initiative.--
       ``(A) In general.--Subject to subparagraph (B), the Project 
     may be carried out in coordination with the Generation IV 
     Nuclear Energy Systems Initiative.
       ``(B) Requirement.--Regardless of whether the Project is 
     carried out in coordination with the Generation IV Nuclear 
     Energy Systems Initiative under subparagraph (A), the 
     Secretary shall establish a separate budget line-item for the 
     Project.
       ``(3) Interaction with industry.--Any activity to support 
     the Project by an individual or entity in the private 
     industry shall be carried out pursuant to a competitive 
     cooperative agreement or other assistance agreement (such as 
     a technology investment agreement) between the Department and 
     the industry group established under subsection (c).
       ``(b) Laboratory Management.--
       ``(1) In general.--The Idaho National Laboratory shall be 
     the lead National Laboratory for the Project.
       ``(2) Collaboration.--The Idaho National Laboratory shall 
     collaborate regarding research and development activities 
     with other National Laboratories, institutions of higher 
     education, research institutes, representatives of industry, 
     international organizations, and Federal agencies to support 
     the Project.
       ``(c) Industry Group.--
       ``(1) Establishment.--The Secretary shall establish a group 
     of appropriate industrial partners in the private sector to 
     carry out cost-shared activities with the Department to 
     support the Project.
       ``(2) Cooperative agreement.--
       ``(A) In general.--The Secretary shall offer to enter into 
     a cooperative agreement or other assistance agreement with 
     the industry group established under paragraph (1) to manage 
     and support the development, licensing, construction, and 
     initial operation of the Project.
       ``(B) Requirement.--The agreement under subparagraph (A) 
     shall contain a provision under which the industry group may 
     enter into contracts with entities in the public sector for 
     the provision of services and products to that sector that 
     reflect typical commercial practices regarding terms and 
     conditions for risk, accountability, performance, and 
     quality.
       ``(C) Project management.--
       ``(i) In general.--The industry group shall use commercial 
     practices and project management processes and tools in 
     carrying out activities to support the Project.
       ``(ii) Interface requirements.--The requirements for 
     interface between the project management requirements of the 
     Department (including the requirements contained in the 
     document of the Department numbered DOE O 413.3A and entitled 
     `Program and Project Management for the Acquisition of 
     Capital Assets') and the commercial practices and project 
     management processes and tools described in clause (i) shall 
     be defined in the agreement under subparagraph (A).
       ``(3) Cost sharing.--Activities of industrial partners 
     funded by the Project shall be cost-shared in accordance with 
     section 988.
       ``(4) Preference.--Preference in determining the final 
     structure of industrial partnerships under this part shall be 
     given to a structure (including designating as a lead 
     industrial partner an entity incorporated in the United 
     States) that retains United States technological leadership 
     in the Project while maximizing cost sharing opportunities 
     and minimizing Federal funding responsibilities.
       ``(d) Prototype Plant Siting.--The prototype nuclear 
     reactor and associated plant shall be sited at the Idaho 
     National Laboratory in Idaho.
       ``(e) Reactor Test Capabilities.--The Project shall use, if 
     appropriate, reactor test capabilities at the Idaho National 
     Laboratory.
       ``(f) Other Laboratory Capabilities.--The Project may use, 
     if appropriate, facilities at other National Laboratories.''.
       (c) Project Organization.--Section 643 of the Energy Policy 
     Act of 2005 (42 U.S.C. 16023) is amended--
       (1) in subsection (a)(2), by inserting ``transport and'' 
     before ``conversion'';
       (2) in subsection (b)--
       (A) in paragraph (1)--
       (i) by striking subparagraph (C); and
       (ii) by redesignating subparagraphs (A), (B), and (D) as 
     clauses (i), (ii), and (iii), respectively, and indenting the 
     clauses appropriately;
       (B) in paragraph (2)--
       (i) in subparagraph (B), by striking ``, through a 
     competitive process,'';
       (ii) in subparagraph (C), by striking ``reactor'' and 
     inserting ``energy system'';
       (iii) in subparagraph (D), by striking ``hydrogen or 
     electricity'' and inserting ``energy transportation, 
     conversion, and''; and
       (iv) by redesignating subparagraphs (A) through (D) as 
     clauses (i) through (iv), respectively, and indenting the 
     clauses appropriately;
       (C) by redesignating paragraphs (1) and (2) as 
     subparagraphs (A) and (B), respectively, and indenting the 
     subparagraphs appropriately;
       (D) by striking ``The Project shall be'' and inserting the 
     following:
       ``(1) In general.--The Project shall be''; and
       (E) by adding at the end the following:
       ``(2) Overlapping phases.--The phases described in 
     paragraph (1) may overlap for the Project or any portion of 
     the Project, as necessary.''; and
       (3) in subsection (c)--
       (A) in paragraph (1)(A), by striking ``powerplant'' and 
     inserting ``power plant'';
       (B) in paragraph (2), by adding at the end the following:
       ``(E) Industry group.--The industry group established under 
     section 642(c) may enter into any necessary contracts for 
     services, support, or equipment in carrying out an agreement 
     with the Department.''; and
       (C) in paragraph (3)--
       (i) in the paragraph heading, by striking ``research'';
       (ii) in the matter preceding subparagraph (A), by striking 
     ``Research'';
       (iii) by striking ``NERAC'' each place it appears and 
     inserting ``NEAC'';
       (iv) in subparagraph (A), by striking clause (i) and 
     inserting the following:
       ``(i) review program plans for the Project prepared by the 
     Office of Nuclear Energy and all progress under the Project 
     on an ongoing basis; and'';
       (v) in subparagraph (B), by striking ``or appoint'' and 
     inserting ``by appointing''; and
       (vi) in subparagraph (D)--

       (I) by striking ``On a determination'' and inserting the 
     following:

       ``(i) In general.--On a determination'';

       (II) in clause (i) (as designated by subclause (I))--

       (aa) by striking ``subsection (b)(1)'' and inserting 
     ``subsection (b)(1)(A)''; and
       (bb) by striking ``subsection (b)(2)'' and inserting 
     ``subsection (b)(1)(B)''; and

       (III) by adding at the end the following:

       ``(ii) Scope.--The scope of the review conducted under 
     clause (i) shall be in accordance with an applicable 
     cooperative agreement or other assistance agreement (such as 
     a technology investment agreement) between the Secretary and 
     the industry group established under section 642(c).''.
       (d) Nuclear Regulatory Commission.--Section 644 of the 
     Energy Policy Act of 2005 (42 U.S.C. 16024) is amended--
       (1) in subsection (b)--
       (A) by redesignating paragraphs (1) through (4) as 
     subparagraphs (A) through (D), respectively, and indenting 
     the subparagraphs appropriately;
       (B) by striking ``Not later than'' and inserting the 
     following:
       ``(1) In general.--Not later than''; and
       (C) by adding at the end the following:
       ``(2) Requirement.--To the maximum extent practicable, in 
     carrying out subparagraphs (B) and (C) of paragraph (1), the 
     Nuclear Regulatory Commission shall independently review and, 
     as appropriate, use the results of analyses conducted for or 
     by the license applicant.''; and
       (2) by striking subsection (c) and inserting the following:
       ``(c) Ongoing Interaction.--The Nuclear Regulatory 
     Commission shall establish a separate program office for 
     advanced reactors--
       ``(1) to develop and implement regulatory requirements 
     consistent with the safety bases of the type of nuclear 
     reactor developed by the Project, with the specific objective 
     that the requirements shall be applied to follow-on 
     commercialized high-temperature, gas-cooled nuclear reactors;
       ``(2) to avoid conflicts in the availability of resources 
     with licensing activities for light water reactors;
       ``(3) to focus and develop resources of the Nuclear 
     Regulatory Commission for the review of advanced reactors;
       ``(4) to support the effective and timely review of 
     preapplication activities and review of applications to 
     support applicant needs; and

[[Page S7187]]

       ``(5) to provide for the timely development of regulatory 
     requirements, including through the preapplication process, 
     and review of applications for advanced technologies, such as 
     high-temperature, gas-cooled nuclear technology systems.''.
       (e) Project Timelines and Authorization of 
     Appropriations.--Section 645 of the Energy Policy Act of 2005 
     (42 U.S.C. 16025) is amended--
       (1) by striking subsections (a) and (b) and inserting the 
     following:
       ``(a) Summary of Agreement.--Not later than December 31, 
     2009, the Secretary shall submit to Congress a report that 
     contains a summary of each cooperative agreement or other 
     assistance agreement (such as a technology investment 
     agreement) entered into between the Secretary and the 
     industry group under section 642(a)(3), including a 
     description of the means by which the agreement will provide 
     for successful completion of the development, design, 
     licensing, construction, and initial operation and 
     demonstration period of the prototype facility of the 
     Project.
       ``(b) Overall Project Plan.--
       ``(1) In general.--Not later than December 31, 2009, the 
     Secretary shall submit to Congress an overall plan for the 
     Project, to be prepared jointly by the Secretary and the 
     industry group established under section 642(c), pursuant to 
     a cooperative agreement or other assistance agreement (such 
     as a technology investment agreement).
       ``(2) Inclusions.--The plan under paragraph (1) shall 
     include--
       ``(A) a summary of the schedule for the design, licensing, 
     construction, and initial operation and demonstration period 
     for the nuclear energy system prototype facility and hydrogen 
     production prototype facility of the Project;
       ``(B) the process by which a specific design for the 
     prototype nuclear energy system facility and hydrogen 
     production facility will be selected;
       ``(C) the specific licensing strategy for the Project, 
     including--
       ``(i) resource requirements of the Nuclear Regulatory 
     Commission; and
       ``(ii) the schedule for the submission of a preapplication, 
     the submission of an application, and application review for 
     the prototype nuclear energy system facility of the Project;
       ``(D) a summary of the schedule for each major event 
     relating to the Project; and
       ``(E) a time-based cost and cost-sharing profile to support 
     planning for appropriations.''; and
       (2) in subsection (d), in the matter preceding paragraph 
     (1), by striking ``research and construction activities'' and 
     inserting ``research and development, design, licensing, 
     construction, and initial operation and demonstration 
     activities''.

     SEC. __13. NUCLEAR ENERGY WORKFORCE.

       Section 1101 of the Energy Policy Act of 2005 (42 U.S.C. 
     16411) is amended--
       (1) in subsection (b)(1)--
       (A) in subparagraph (A), by striking ``and'' at the end;
       (B) in subparagraph (B), by striking the period and 
     inserting ``; and''; and
       (C) by adding at the end the following:
       ``(C) nuclear utility and nuclear energy product and 
     service industries.'';
       (2) by redesignating subsection (d) as subsection (e); and
       (3) by inserting after subsection (c) the following:
       ``(d) Workforce Training.--
       ``(1) In general.--The Secretary of Labor, in cooperation 
     with the Secretary, shall promulgate regulations to implement 
     a program to provide grants to enhance workforce training for 
     any occupation in the workforce of the nuclear utility and 
     nuclear energy products and services industries for which a 
     shortage is identified or predicted in the report under 
     subsection (b)(2).
       ``(2) Consultation.--In carrying out this subsection, the 
     Secretary of Labor shall consult with representatives of the 
     nuclear utility and nuclear energy products and services 
     industries, including organized labor organizations and 
     multiemployer associations that jointly sponsor 
     apprenticeship programs that provide training for skills 
     needed in those industries.
       ``(3) Authorization of appropriations.--There are 
     authorized to be appropriated to the Secretary of Labor, 
     working in coordination with the Secretary and the Secretary 
     of Education, $20,000,000 for each of fiscal years 2008 
     through 2015 to carry out this subsection.''.

     SEC. __14. INTERAGENCY WORKING GROUP TO PROMOTE DOMESTIC 
                   MANUFACTURING BASE FOR NUCLEAR COMPONENTS AND 
                   EQUIPMENT.

       (a) Purposes.--The purposes of this section are--
       (1) to increase the competitiveness of the United States 
     nuclear energy products and services industries;
       (2) to identify the stimulus or incentives necessary to 
     cause United States manufacturers of nuclear energy products 
     to expand manufacturing capacity;
       (3) to facilitate the export of United States nuclear 
     energy products and services;
       (4) to reduce the trade deficit of the United States 
     through the export of United States nuclear energy products 
     and services;
       (5) to retain and create nuclear energy manufacturing and 
     related service jobs in the United States;
       (6) to integrate the objectives described in paragraphs (1) 
     through (5), in a manner consistent with the interests of the 
     United States, into the foreign policy of the United States; 
     and
       (7) to authorize funds for increasing United States 
     capacity to manufacture nuclear energy products and supply 
     nuclear energy services.
       (b) Establishment.--
       (1) In general.--There is established an interagency 
     working group (referred to in this section as the ``Working 
     Group'') that, in consultation with representative industry 
     organizations and manufacturers of nuclear energy products, 
     shall make recommendations to coordinate the actions and 
     programs of the Federal Government in order to promote 
     increasing domestic manufacturing capacity and export of 
     domestic nuclear energy products and services.
       (2) Composition.--The Working Group shall be composed of--
       (A) the Secretary of Energy (or a designee), who shall 
     serve as Chairperson of the Working Group; and
       (B) representatives of--
       (i) the Department of Energy;
       (ii) the Department of Commerce;
       (iii) the Department of Defense;
       (iv) the Department of Treasury;
       (v) the Department of State;
       (vi) the Environmental Protection Agency;
       (vii) the United States Agency for International 
     Development;
       (viii) the Export-Import Bank of the United States;
       (ix) the Trade and Development Agency;
       (x) the Small Business Administration;
       (xi) the Office of the United States Trade Representative; 
     and
       (xii) other Federal agencies, as determined by the 
     President.
       (c) Duties of Working Group.--The Working Group shall--
       (1) not later than 180 days after the date of enactment of 
     this Act, identify the actions necessary to promote the safe 
     development and application in foreign countries of nuclear 
     energy products and services--
       (A) to increase electricity generation from nuclear energy 
     sources through development of new generation facilities;
       (B) to improve the efficiency, safety, and reliability of 
     existing nuclear generating facilities through modifications; 
     and
       (C) enhance the safe treatment, handling, storage, and 
     disposal of used nuclear fuel;
       (2) not later than 180 days after the date of enactment of 
     this Act, identify--
       (A) mechanisms (including tax stimuli for investment, loans 
     and loan guarantees, and grants) necessary for United States 
     companies to increase--
       (i) the capacity of the companies to produce or provide 
     nuclear energy products and services; and
       (ii) exports of nuclear energy products and services; and
       (B) administrative or legislative initiatives that are 
     necessary --
       (i) to encourage United States companies to increase the 
     manufacturing capacity of the companies for nuclear energy 
     products;
       (ii) to provide technical and financial assistance and 
     support to small and mid-sized businesses to establish 
     quality assurance programs in accordance with domestic and 
     international nuclear quality assurance code requirements;
       (iii) to encourage, through financial incentives, private 
     sector capital investment to expand manufacturing capacity; 
     and
       (iv) to provide technical assistance and financial 
     incentives to small and mid-sized businesses to develop the 
     workforce necessary to increase manufacturing capacity and 
     meet domestic and international nuclear quality assurance 
     code requirements;
       (3) not later than 270 days after the date of enactment of 
     this Act, submit to Congress a report that describes the 
     findings of the Working Group under paragraphs (1) and (2), 
     including recommendations for new legislative authority, as 
     necessary; and
       (4) encourage the agencies represented by membership in the 
     Working Group--
       (A) to provide technical training and education for 
     international development personnel and local users in other 
     countries;
       (B) to provide financial and technical assistance to 
     nonprofit institutions that support the marketing and export 
     efforts of domestic companies that provide nuclear energy 
     products and services;
       (C) to develop nuclear energy projects in foreign 
     countries;
       (D) to provide technical assistance and training materials 
     to loan officers of the World Bank, international lending 
     institutions, commercial and energy attaches at embassies of 
     the United States, and other appropriate personnel in order 
     to provide information about nuclear energy products and 
     services to foreign governments or other potential project 
     sponsors;
       (E) to support, through financial incentives, private 
     sector efforts to commercialize and export nuclear energy 
     products and services in accordance with the subsidy codes of 
     the World Trade Organization; and
       (F) to augment budgets for trade and development programs 
     in order to support prefeasibility or feasibility studies for 
     projects that use nuclear energy products and services.
       (d) Personnel and Service Matters.--The Secretary of Energy 
     and the heads of agencies represented by membership in the 
     Working Group shall detail such personnel and furnish such 
     services to the Working Group,

[[Page S7188]]

     with or without reimbursement, as are necessary to carry out 
     the functions of the Working Group.
       (e) Authorization of Appropriations.--There is authorized 
     to be appropriated to the Secretary of Energy to carry out 
     this section $20,000,000 for each of fiscal years 2009 
     through 2012.

     SEC. __15. NUCLEAR POWER TECHNOLOGY FUND.

       There is established in the Treasury of the United States a 
     fund to be known as the ``Nuclear Power Technology Fund'' of 
     which funds shall be made available to carry out the purposes 
     of section __16 (relating to spent fuel recycling).

     SEC. __16. SPENT FUEL RECYCLING PROGRAM.

       (a) Purpose.--It is the policy of the United States to 
     recycle spent nuclear fuel to advance energy independence by 
     maximizing the energy potential of nuclear fuel in a 
     proliferation-resistant manner that reduces the quantity of 
     waste dedicated to a permanent Federal repository.
       (b) Spent Fuel Recycling Research and Development 
     Facility.--
       (1) In general.--Not later than 1 year after the date of 
     enactment of this Act, the Secretary shall begin construction 
     of a spent fuel recycling research and development facility.
       (2) Purpose.--The facility described in paragraph (1) shall 
     serve as the lead site for continuing research and 
     development of advanced nuclear fuel cycles and separation 
     technologies.
       (3) Site selection.--In selecting a site for the facility, 
     the Secretary shall give preference to a site that has--
       (A) the most technically sound bid;
       (B) a demonstrated technical expertise in spent fuel 
     recycling; and
       (C) community support.
       (c) Contracts.--The Secretary shall use amounts in the 
     Nuclear Power Technology Fund, and such other amounts as are 
     appropriated to carry out this section, to enter into long-
     term contracts with private sector entities for the recycling 
     of spent nuclear fuel.
       (d) Competitive Selection.--Contracts awarded under 
     subsection (c) shall be awarded on the basis of a competitive 
     bidding process that--
       (1) maximizes the competitive efficiency of the projects 
     funded;
       (2) best serves the goal of reducing the amount of waste 
     requiring disposal under this Act; and
       (3) ensures adequate protection against the proliferation 
     of nuclear materials that could be used in the manufacture of 
     nuclear weapons.
       (e) Regulatory Authority.--Not later than 1 year after the 
     date of enactment of this Act, the Nuclear Regulatory 
     Commission, in collaboration with the Secretary of Energy, 
     shall promulgate regulations for the licensing of facilities 
     for recovery and use of spent nuclear fuel that provide 
     reasonable assurance that licenses issued for that purpose 
     will not be counter to the defense, security, and national 
     interests of the United States.
                                 ______
                                 
  SA 5097. Mr. COLEMAN submitted an amendment intended to be proposed 
by him to the bill S. 3268, to amend the Commodity Exchange Act, to 
prevent excessive price speculation with respect to energy commodities, 
and for other purposes; which was ordered to lie on the table; as 
follows:

       At the end, add the following

     SEC. 17. REVOCATION OF WITHDRAWAL OF CERTAIN AREAS OF THE 
                   OUTER CONTINENTAL SHELF.

       The ``Memorandum on Withdrawal of Certain Areas of the 
     United States Outer Continental Shelf from Leasing 
     Disposition'', 34 Weekly Comp. Pres. Doc. 1111, dated June 
     12, 1998, is revoked and no longer in effect regarding any 
     area on the outer Continental Shelf covered by sections 104 
     and 105 of the Department of the Interior, Environment, and 
     Related Agencies Appropriations Act, 2008 (Public Law 110-
     161; 121 Stat. 2118).

     SEC. 18. STATE AUTHORITY TO PROTECT CERTAIN COASTAL AREAS.

       Section 19 of the Outer Continental Shelf Lands Act (43 
     U.S.C. 1345) is amended by adding at the end the following:
       ``(f) Approval by Certain Affected States.--
       ``(1) Definition of affected state.--In this subsection, 
     the term `affected State' means a State that the Secretary, 
     in consultation with the Administrator of the Environmental 
     Protection Agency, determines could be affected negatively by 
     the potential environmental or economic impacts of a proposed 
     lease sale or proposed development and production plan for a 
     new producing area under section 32.
       ``(2) Notice to affected states.--Not later than 30 days 
     before the date of a proposed lease sale or the publication 
     of a proposed development and production plan for a new 
     producing area under section 32, the Secretary shall submit 
     to the Governor of each affected State notice of the proposed 
     sale or plan.
       ``(3) Duties of affected states.--Not later than 60 days 
     after the date on which the Secretary provides notice under 
     paragraph (2), the Governor of the affected State shall 
     submit to the Secretary a written response to the proposed 
     sale or plan that--
       ``(A) specifies whether the Governor--
       ``(i) accepts the sale or plan as proposed;
       ``(ii) accepts the sale or plan with modification; or
       ``(iii) vetoes the proposed sale or plan; and
       ``(B) in the case of subparagraph (A)(ii), includes a 
     counterproposal that describes--
       ``(i) any proposed modifications to--

       ``(I) the proposed plan; or
       ``(II) the size, time, or location of the proposed sale; 
     and

       ``(ii) any areas off the coast of the State that the 
     Governor recommends for long-term protection in the form of a 
     moratorium on leasing for a period of not more than 20 years 
     based on--

       ``(I) any information in existence on the date of the 
     counterproposal concerning the geographical, geological, and 
     ecological characteristics of the areas proposed for 
     protection;
       ``(II) an equitable sharing of developmental benefits and 
     environmental risks among the areas;
       ``(III) the location of the areas with respect to--

       ``(aa) other uses of the sea and seabed in the areas, 
     including fisheries, navigation, existing or proposed 
     sealanes, potential sites of deepwater ports; and
       ``(bb) other anticipated uses of the resources and space of 
     other areas of the outer Continental Shelf;

       ``(IV) any relevant laws, goals, and policies of the State; 
     and
       ``(V) the relative environmental sensitivity and marine 
     productivity of other areas of the outer Continental Shelf.

       ``(4) Secretarial response.--
       ``(A) In general.--As soon as practicable after the 
     Secretary receives a counterproposal under paragraph (3)(B), 
     the Secretary, in consultation with the Secretary of Defense, 
     shall--
       ``(i) approve the counterproposal without modification;
       ``(ii) attempt to enter into an agreement with the Governor 
     to modify the counterproposal; or
       ``(iii) deny the counterproposal.
       ``(B) Approval of agreement.--To be valid, an agreement 
     entered into under subparagraph (A)(ii) requires the approval 
     of the Governor, the Secretary, and the Secretary of the 
     Defense.''.

     SEC. 19. PRODUCTION OF OIL AND NATURAL GAS IN NEW PRODUCING 
                   AREAS.

       The Outer Continental Shelf Lands Act (43 U.S.C. 1331 et 
     seq.) is amended by adding at the end the following:

     ``SEC. 32. PRODUCTION OF OIL AND NATURAL GAS IN NEW PRODUCING 
                   AREAS.

       ``(a) Definitions.--In this section:
       ``(1) Coastal political subdivision.--The term `coastal 
     political subdivision' means a political subdivision of a new 
     producing State any part of which political subdivision is--
       ``(A) within the coastal zone (as defined in section 304 of 
     the Coastal Zone Management Act of 1972 (16 U.S.C. 1453)) of 
     the new producing State as of the date of enactment of this 
     section; and
       ``(B) not more than 200 nautical miles from the geographic 
     center of any leased tract.
       ``(2) Moratorium area.--
       ``(A) In general.--The term `moratorium area' means an area 
     covered by sections 104 through 105 of the Department of the 
     Interior, Environment, and Related Agencies Appropriations 
     Act, 2008 (Public Law 110-161; 121 Stat. 2118).
       ``(B) Exclusion.--The term `moratorium area' does not 
     include an area located in the Gulf of Mexico.
       ``(3) New producing area.--The term `new producing area' 
     means any moratorium area beyond the submerged land of a new 
     producing State.
       ``(4) New producing state.--The term `new producing State' 
     means a State that has received notice of a proposed lease 
     sale for a new producing area under section 19(f)(2).
       ``(5) Qualified outer continental shelf revenues.--
       ``(A) In general.--The term `qualified outer Continental 
     Shelf revenues' means all rentals, royalties, bonus bids, and 
     other sums due and payable to the United States from leases 
     entered into on or after the date of enactment of this 
     section for new producing areas.
       ``(B) Exclusions.--The term `qualified outer Continental 
     Shelf revenues' does not include--
       ``(i) revenues from a bond or other surety forfeited for 
     obligations other than the collection of royalties;
       ``(ii) revenues from civil penalties;
       ``(iii) royalties taken by the Secretary in-kind and not 
     sold;
       ``(iv) revenues generated from leases subject to section 
     8(g); or
       ``(v) any revenues considered qualified outer Continental 
     Shelf revenues under section 102 of the Gulf of Mexico Energy 
     Security Act of 2006 (43 U.S.C. 1331 note; Public Law 109-
     432).
       ``(b) Availability for Leasing.--On approval by the new 
     producing State of a proposed lease sale for a new producing 
     area under section 19(f), the Secretary shall conduct the 
     proposed lease sale for the new producing area.
       ``(c) Disposition of Qualified Outer Continental Shelf 
     Revenues From New Producing Areas.--
       ``(1) In general.--Notwithstanding section 9 and subject to 
     the other provisions of this subsection, for each applicable 
     fiscal year, the Secretary of the Treasury shall deposit--

[[Page S7189]]

       ``(A) 50 percent of qualified outer Continental Shelf 
     revenues--
       ``(i) in the fund established by section 20 of the Stop 
     Excessive Energy Speculation Act of 2008; or
       ``(ii) if the Secretary of the Treasury determines that the 
     fund described in clause (i) is fully funded, in the general 
     fund of the Treasury; and
       ``(B) 50 percent of qualified outer Continental Shelf 
     revenues in a special account in the Treasury from which the 
     Secretary shall disburse--
       ``(i) 75 percent to new producing States in accordance with 
     paragraph (2); and
       ``(ii) 25 percent to provide financial assistance to States 
     in accordance with section 6 of the Land and Water 
     Conservation Fund Act of 1965 (16 U.S.C. 460l-8), which shall 
     be considered income to the Land and Water Conservation Fund 
     for purposes of section 2 of that Act (16 U.S.C. 460l-5).
       ``(2) Allocation to new producing states and coastal 
     political subdivisions.--
       ``(A) Allocation to new producing states.--Effective for 
     fiscal year 2008 and each fiscal year thereafter, the amount 
     made available under paragraph (1)(B)(i) shall be allocated 
     to each new producing State in amounts (based on a formula 
     established by the Secretary by regulation) proportional to 
     the amount of qualified outer Continental Shelf revenues 
     generated in the new producing area offshore each State.
       ``(B) Payments to coastal political subdivisions.--
       ``(i) In general.--The Secretary shall pay 20 percent of 
     the allocable share of each new producing State, as 
     determined under subparagraph (A), to the coastal political 
     subdivisions of the new producing State.
       ``(ii) Allocation.--The amount paid by the Secretary to 
     coastal political subdivisions shall be allocated to each 
     coastal political subdivision in accordance with 
     subparagraphs (B) and (C) of section 31(b)(4).
       ``(3) Minimum allocation.--The amount allocated to a new 
     producing State for each fiscal year under paragraph (2) 
     shall be at least 5 percent of the amounts available under 
     for the fiscal year under paragraph (1)(B)(i).
       ``(4) Timing.--The amounts required to be deposited under 
     subparagraph (B) of paragraph (1) for the applicable fiscal 
     year shall be made available in accordance with that 
     subparagraph during the fiscal year immediately following the 
     applicable fiscal year.
       ``(5) Authorized uses.--
       ``(A) In general.--Subject to subparagraph (B), each new 
     producing State and coastal political subdivision shall use 
     all amounts received under paragraph (2) in accordance with 
     all applicable Federal and State laws, only for 1 or more of 
     the following purposes:
       ``(i) Projects and activities for the purposes of coastal 
     protection, including conservation, coastal restoration, and 
     hurricane protection.
       ``(ii) Mitigation of damage to fish, wildlife, or natural 
     resources.
       ``(iii) Implementation of a federally-approved marine, 
     coastal, or comprehensive conservation management plan.
       ``(iv) Mitigation of the impact of outer Continental Shelf 
     activities through the funding of onshore projects.
       ``(v) Planning assistance and the administrative costs of 
     complying with this section.
       ``(B) Limitation.--Not more than 3 percent of amounts 
     received by a new producing State or coastal political 
     subdivision under paragraph (2) may be used for the purposes 
     described in subparagraph (A)(v).
       ``(6) Administration.--Amounts made available under 
     paragraph (1)(B) shall--
       ``(A) be made available, without further appropriation, in 
     accordance with this subsection;
       ``(B) remain available until expended; and
       ``(C) be in addition to any amounts appropriated under--
       ``(i) other provisions of this Act;
       ``(ii) the Land and Water Conservation Fund Act of 1965 (16 
     U.S.C. 460l-4 et seq.); or
       ``(iii) any other provision of law.
       ``(d) Disposition of Qualified Outer Continental Shelf 
     Revenues From Other Areas.--Notwithstanding section 9, for 
     each applicable fiscal year, the terms and conditions of 
     subsection (c) shall apply to the disposition of qualified 
     outer Continental Shelf revenues that--
       ``(1) are derived from oil or gas leasing in an area that 
     is not included in the current 5-year plan of the Secretary 
     for oil or gas leasing; and
       ``(2) are not assumed in the budget of the United States 
     Government submitted by the President under section 1105 of 
     title 31, United States Code.''.

     SEC. 20. ENERGY INDEPENDENCE TRUST FUND.

       (a) Establishment.--There is established in the Treasury of 
     the United States a revolving fund, to be known as the 
     ``Energy Independence Trust Fund'' (referred to in this 
     section as the ``Fund''), consisting of such amounts as are 
     deposited in the Fund under section 32(c)(1)(A)(i) of the 
     Outer Continental Shelf Lands Act (as added by section 19).
       (b) Expenditures From Fund.--
       (1) In general.--Subject to paragraph (2), on request by 
     the Secretary, the Secretary of the Treasury shall transfer 
     from the Fund to the Secretary such amounts as the Secretary 
     determines are necessary to carry out the following:
       (A) Section 609 of the Public Utility Regulatory Policies 
     Act of 1978 (7 U.S.C. 918c).
       (B) Title V of the Toxic Substances Control Act (15 U.S.C. 
     2695 et seq.).
       (C) Sections 211(r), 212, and 329 of the Clean Air Act (42 
     U.S.C. 7545(r), 7546, 7628).
       (D) The following provisions of the Energy Policy and 
     Conservation Act:
       (i) Section 324A (42 U.S.C. 6294a).
       (ii) Section 337(c) (42 U.S.C. 6307(c)).
       (iii) Section 365(f) (42 U.S.C. 6325(f)).
       (iv) Part E of title III (42 U.S.C. 6341 et seq.).
       (v) Section 399A (42 U.S.C. 6371h-1).
       (E) The following provisions of the Energy Policy Act of 
     2005:
       (i) Section 107 (42 U.S.C. 15812).
       (ii) The amendments made by section 123 (119 Stat. 616).
       (iii) Sections 124 through 127 (42 U.S.C. 15821 through 
     15824).
       (iv) The amendments made by section 128 (119 Stat. 619).
       (v) Sections 133 and 134 (42 U.S.C. 15831, 15832).
       (vi) Section 140 (42 U.S.C. 15833).
       (vii) Section 201 (42 U.S.C. 15851).
       (viii) The amendments made by section 202 (119 Stat. 651).
       (ix) The amendments made by section 206 (119 Stat. 654).
       (x) Section 207 (119 Stat. 656).
       (xi) Sections 208 and 210 (42 U.S.C. 15854, 15855).
       (xii) Sections 242 and 243 (42 U.S.C. 15881, 15882).
       (xiii) The amendments made by section 251 (119 Stat. 679).
       (xiv) Section 252 (42 U.S.C. 15891).
       (xv) Sections 706, 712, 721, and 731 (42 U.S.C. 16051, 
     16062, 16071, 16081).
       (xvi) Subtitle C of title VII (42 U.S.C. 16091 et seq.).
       (xvii) Sections 751 and 755 through 758 (42 U.S.C. 16101, 
     16103 through 16106).
       (xviii) Section 771 (119 Stat. 834).
       (xix) Sections 782 and 783 (42 U.S.C. 16122, 16123).
       (xx) Sections 805, 808, 809, and 812 (42 U.S.C. 16154, 
     16157, 16158, 16161).
       (xxi) Sections 911, 917, 921, and 931 (42 U.S.C. 16191, 
     16197, 16211, 16231).
       (xxii) The amendments made by section 941 (119 Stat. 873).
       (xxiii) Sections 942, 944 through 947, and 963 (42 U.S.C. 
     16251, 16253 through 16256, 16293).
       (xxiv) Sections 1510, 1514, and 1516 (42 U.S.C. 16501, 
     16502, 16503).
       (F) The following provisions of the Energy Independence and 
     Security Act of 2007:
       (i) Sections 131 and 135 (42 U.S.C. 17011, 17012).
       (ii) Sections 207, 223, 229, 230, 234, 244, and 246 (42 
     U.S.C. 17022, 17032, 17033, 17034, 17035, 17052, 17053).
       (iii) Section 243 (121 Stat. 1540).
       (iv) Section 411 (42 U.S.C. 6872 note; Public Law 110-140).
       (v) Sections 422, 440, 452, 491, and 495 (42 U.S.C. 17082, 
     17096, 17111, 17121, 17124).
       (vi) Section 501 (121 Stat. 1655).
       (vii) Section 502 (2 U.S.C. 2169).
       (viii) The amendments made by section 505 (121 Stat. 1656).
       (ix) Section 517 (42 U.S.C. 17131).
       (x) Subtitle E of title V (42 U.S.C. 17151 et seq.).
       (xi) Section 602 (42 U.S.C. 17171).
       (xii) Sections 604 through 607 (42 U.S.C. 17172 through 
     17175).
       (xiii) Subtitles B through E of title VI (42 U.S.C. 17191 
     et seq.) (other than section 653).
       (xiv) Sections 703, 705, 707, 708, 711, and 712 (42 U.S.C. 
     17251, 17253, 17255, 17256, 17271, 17272).
       (xv) Sections 805 and 807 (42 U.S.C. 17284, 17286).
       (xvi) Sections 912, 913, 916, 917, 925, and 927 (42 U.S.C. 
     17332, 17333, 17336, 17337, 17355, 17357).
       (G) Section 21.
       (2) Administrative expenses.--An amount not exceeding 5 
     percent of the amounts in the Fund shall be available for 
     each fiscal year to pay the administrative expenses necessary 
     to carry out this section.
       (c) Transfers of Amounts.--
       (1) In general.--The amounts required to be transferred to 
     the Fund under this section shall be transferred at least 
     monthly from the general fund of the Treasury to the Fund on 
     the basis of estimates made by the Secretary of the Treasury.
       (2) Adjustments.--Proper adjustment shall be made in 
     amounts subsequently transferred to the extent prior 
     estimates were in excess of or less than the amounts required 
     to be transferred.

     SEC. 21. LOAN GUARANTEES FOR RENEWABLE FUEL PIPELINES.

       (a) Definitions.--In this section:
       (1) Cost.--The term ``cost'' has the meaning given the term 
     ``cost of a loan guarantee'' in section 502(5)(C) of the 
     Federal Credit Reform Act of 1990 (2 U.S.C. 661a(5)(C)).
       (2) Eligible project.--The term eligible project means a 
     project described in subsection (b)(1).
       (3) Guarantee.--
       (A) In general.--The term ``guarantee'' has the meaning 
     given the term ``loan guarantee'' in section 502 of the 
     Federal Credit Reform Act of 1990 (2 U.S.C. 661a).
       (B) Inclusion.--The term ``guarantee'' includes a loan 
     guarantee commitment (as defined in section 502 of the 
     Federal Credit Reform Act of 1990 (2 U.S.C. 661a)).
       (4) Renewable fuel.--The term ``renewable fuel'' has the 
     meaning given the term in section 211(o)(1) of the Clean Air 
     Act (42 U.S.C. 7545(o)(1)) (as in effect on January 1, 2009).

[[Page S7190]]

       (5) Renewable fuel pipeline.--The term ``renewable fuel 
     pipeline'' means a common carrier pipeline for transporting 
     renewable fuel.
       (b) Loan Guarantees.--
       (1) In general.--The Secretary shall make guarantees under 
     this section for projects that provide for the construction 
     of new renewable fuel pipelines.
       (2) Eligibility.--In determining the eligibility of a 
     project for a guarantee under this section, the Secretary 
     shall consider--
       (A) the volume of renewable fuel to be moved by the 
     renewable fuel pipeline;
       (B) the size of the markets to be served by the renewable 
     fuel pipeline;
       (C) the existence of sufficient storage to facilitate 
     access to the markets served by the renewable fuel pipeline;
       (D) the proximity of the renewable fuel pipeline to ethanol 
     production facilities;
       (E) the investment of the entity carrying out the proposed 
     project in terminal infrastructure;
       (F) the experience of the entity carrying out the proposed 
     project in working with renewable fuels;
       (G) the ability of the entity carrying out the proposed 
     project to maintain the quality of the renewable fuel 
     through--
       (i) the terminal system of the entity; and
       (ii) the dedicated pipeline system;
       (H) the ability of the entity carrying out the proposed 
     project to complete the project in a timely manner; and
       (I) the ability of the entity carrying out the proposed 
     project to secure property rights-of-way in order to move the 
     proposed project forward in a timely manner.
       (3) Amount.--Unless otherwise provided by law, a guarantee 
     by the Secretary under this section shall not exceed an 
     amount equal to 90 percent of the eligible project cost of 
     the renewable fuel pipeline that is the subject of the 
     guarantee, as estimated at the time at which the guarantee is 
     issued or subsequently modified while the eligible project is 
     under construction.
       (4) Terms and conditions.--Guarantees under this section 
     shall be provided in accordance with section 1702 of the 
     Energy Policy Act of 2005 (42 U.S.C. 16512), except that 
     subsections (b) and (c) of that section shall not apply to 
     guarantees under this section.
       (5) Existing funding authority.--The Secretary shall make a 
     guarantee under this section under an existing funding 
     authority.
       (6) Final rule.--Not later than 90 days after the date of 
     enactment of this Act, the Secretary shall publish in the 
     Federal Register a final rule directing the Director of the 
     Department of Energy Loan Guarantee Program Office to 
     initiate the loan guarantee program under this section in 
     accordance with this section.
       (c) Funding.--
       (1) In general.--There are authorized to be appropriated 
     such sums as are necessary to provide $4,000,000,000 in 
     guarantees under this section.
       (2) Use of other appropriated funds.--To the extent that 
     the amounts made available under title XVII of the Energy 
     Policy Act of 2005 (42 U.S.C. 16511 et seq.) have not been 
     disbursed to programs under that title, the Secretary may use 
     the amounts to carry out this section.
                                 ______
                                 
  SA 5098. Mr. REID proposed an amendment to the bill S. 3268, to amend 
the Commodity Exchange Act, to prevent excessive price speculation with 
respect to energy commodities, and for other purposes; as follows:

       The provisions of this bill shall become effective 5 days 
     after enactment.
                                 ______
                                 
  SA 5099. Mr. REID proposed an amendment to amendment SA 5098 proposed 
by Mr. Reid to the bill S. 3268, to amend the Commodity Exchange Act, 
to prevent excessive price speculation with respect to energy 
commodities, and for other purposes; as follows:

       In the amendment, strike ``5'' and insert ``4''.
                                 ______
                                 
  SA 5100. Mr. REID proposed an amendment to the bill S. 3268, to amend 
the Commodity Exchange Act, to prevent excessive price speculation with 
respect to energy commodities, and for other purposes; as follows:

       At the end, insert the following:
       This title shall become effective 3 days after enactment of 
     the bill.
                                 ______
                                 
  SA 5101. Mr. REID proposed an amendment to the bill S. 3268, to amend 
the Commodity Exchange Act, to prevent excessive price speculation with 
respect to energy commodities, and for other purposes; as follows:

       In the amendment, strike ``3'' and insert ``2''.
                                 ______
                                 
  SA 5102. Mr. REID proposed an amendment to amendment SA 5101 proposed 
by Mr. Reid to the bill S. 3268, to amend the Commodity Exchange Act, 
to prevent excessive price speculation with respect to energy 
commodities, and for other purposes; as follows:

       In the amendment, strike ``2'' and insert ``1.''
                                 ______
                                 
  SA 5103. Mr. REID proposed an amendment to the bill H.R. 3221, moving 
the United States toward greater energy independence and security, 
developing innovative new technologies, reducing carbon emissions, 
creating green jobs, protecting consumers, increasing clean renewable 
energy production, and modernizing our energy infrastructure, and to 
amend the Internal Revenue Code of 1986 to provide tax incentives for 
the production of renewable energy and energy conservation; as follows:

       At the end of the amendment add the following:
       The provisions of this act shall become effective 2 days 
     after enactment.
                                 ______
                                 
  SA 5104. Mr. REID proposed an amendment to amendment SA 5103 proposed 
by Mr. Reid to the bill H.R. 3221, moving the United States toward 
greater energy independence and security, developing innovative new 
technologies, reducing carbon emissions, creating green jobs, 
protecting consumers, increasing clean renewable energy production, and 
modernizing our energy infrastructure, and to amend the Internal 
Revenue Code of 1986 to provide tax incentives for the production of 
renewable energy and energy conservation; as follows:

       In the amendment, strike ``2'' and insert ``1''.
                                 ______
                                 
  SA 5105. Ms. SNOWE submitted an amendment intended to be proposed by 
her to the bill S. 3268, to amend the Commodity Exchange Act, to 
prevent excessive price speculation with respect to energy commodities, 
and for other purposes; which was ordered to lie on the table; as 
follows:

       At the appropriate place, insert the following:

     SEC. __. REGULATIONS TO IMPLEMENT PROHIBITION ON MARKET 
                   MANIPULATION.

       Not later than December 31, 2008, the Federal Trade 
     Commission shall promulgate a final rule to implement section 
     811 of the Energy Independence and Security Act of 2007 (42 
     U.S.C. 17301).
                                 ______
                                 
  SA 5106. Ms. SNOWE (for herself and Mr. Kerry) submitted an amendment 
intended to be proposed by her to the bill S. 3268, to amend the 
Commodity Exchange Act, to prevent excessive price speculation with 
respect to energy commodities, and for other purposes; which was 
ordered to lie on the table; as follows:

       At the appropriate place, insert the following:

     SEC. __. RELEASE OF PRODUCTS FROM NORTHEAST HOME HEATING OIL 
                   RESERVE ACCOUNT.

       Section 183 of the Energy Policy and Conservation Act (42 
     U.S.C. 6250b) is amended by striking subsection (a) and 
     inserting the following:
       ``(a) Findings.--
       ``(1) Optional releases.--
       ``(A) In general.--Subject to paragraph (2), the Secretary 
     may sell products from the Reserve only on a finding by the 
     President that--
       ``(i) there is a severe energy supply interruption; or
       ``(ii) the price of home heating oil threatens the health 
     and safety of residents of the Northeast.
       ``(B) Requirement.--The President may make a finding under 
     subparagraph (A) only if the President determines that--
       ``(i) a dislocation in the heating oil market has resulted 
     from an interruption described in subparagraph (A)(i);
       ``(ii) the price of home heating oil has increased by such 
     an extent that the Northeast is experiencing, or will 
     experience, an emergency situation that threatens the safety 
     and health of residents of the Northeast; or
       ``(iii)(I) a circumstance (other than a circumstance 
     described in clause (i) or (ii)) exists that constitutes a 
     regional supply shortage of significant scope and duration; 
     and
       ``(II) action taken under this section would assist 
     directly and significantly in reducing the adverse impact of 
     the shortage.
       ``(2) Mandatory releases.--
       ``(A) In general.--For each fiscal year, the Secretary 
     shall sell--
       ``(i) 20 percent of the quantity of products in the Reserve 
     as of November 1 of that fiscal year, on a finding by the 
     President that the average retail price of No. 2 heating oil 
     in the Northeast (as reported in the retail price data of the 
     Energy Information Administration for the Northeast) is equal 
     to or more than $4.00 per gallon on November 1 of that fiscal 
     year;
       ``(ii) 20 percent of the quantity of products in the 
     Reserve as of November 1 of that fiscal year, on a finding by 
     the President that the average retail price of No. 2 heating 
     oil in the Northeast (as so reported) is equal to or more 
     than $4.00 per gallon on December 1 of that fiscal year;
       ``(iii) 20 percent of the quantity of products in the 
     Reserve as of November 1 of that fiscal year, on a finding by 
     the President that the average retail price of No. 2 heating 
     oil in

[[Page S7191]]

     the Northeast (as so reported) is equal to or more than $4.00 
     per gallon on January 1 of that fiscal year;
       ``(iv) 20 percent of the quantity of products in the 
     Reserve as of November 1 of that fiscal year, on a finding by 
     the President that the average retail price of No. 2 heating 
     oil in the Northeast (as so reported) is equal to or more 
     than $4.00 per gallon on February 1 of that fiscal year; and
       ``(v) 20 percent of the quantity of products in the Reserve 
     as of November 1 of that fiscal year, on a finding by the 
     President that the average retail price of No. 2 heating oil 
     in the Northeast (as so reported) is equal to or more than 
     $4.00 per gallon on March 1 of that fiscal year.
       ``(B) Use of revenue.--The Secretary shall use any revenue 
     derived from the sale of products in the Reserve under 
     subparagraph (A) to provide assistance to low-income 
     consumers of heating oil under the Weatherization Assistance 
     Program for Low-Income Persons established under part A of 
     title IV of the Energy Conservation and Production Act (42 
     U.S.C. 6861 et seq.).''.
                                 ______
                                 
  SA 5107. Ms. SNOWE submitted an amendment intended to be proposed by 
her to the bill S. 3268, to amend the Commodity Exchange Act, to 
prevent excessive price speculation with respect to energy commodities, 
and for other purposes; which was ordered to lie on the table; as 
follows:

       At the appropriate place, insert the following:

     SEC. __. GRANTS TO STATES FOR RESPONSE PLANS FOR RISING 
                   ENERGY COSTS.

       Subtitle B of title I of the Energy Policy Act of 2005 
     (Public Law 109-58; 119 Stat. 616) is amended by adding at 
     the end the following:

     ``SEC. 129. GRANTS TO STATES FOR RESPONSE PLANS FOR RISING 
                   ENERGY COSTS.

       ``(a) In General.--The Secretary shall make grants to 
     States to pay the Federal share of the cost of establishing 
     and implementing response plans to address rising heating 
     oil, natural gas, diesel, and other energy costs.
       ``(b) Use.--A grant under this section may be used by a 
     State--
       ``(1) to provide heating shelters for communities;
       ``(2) to provide energy assistance and information to 
     elderly individuals, consumers, and small business concerns;
       ``(3) to provide information to individuals and small 
     business concerns concerning State resources for individuals 
     struggling with rising energy costs; and
       ``(4) to otherwise address rising heating oil, natural gas, 
     diesel, and other energy costs, as determined by the State 
     and approved by the Secretary.
       ``(c) Allocation.--The Secretary shall allocate grants to 
     States under this section using a formula established by the 
     Secretary that is based on State population and per capita 
     expenditures for energy.
       ``(d) Federal Share.--The Federal share of the cost of 
     establishing a response plan under this section shall be not 
     more than 50 percent.
       ``(e) Authorization of Appropriations.--There is authorized 
     to be appropriated to carry out this section $1,000,000,000 
     for each of fiscal years 2009 through 2013.''.
                                 ______
                                 
  SA 5108. Mr. McCONNELL submitted an amendment intended to be proposed 
by him to the bill S. 3268, to amend the Commodity Exchange Act, to 
prevent excessive price speculation with respect to energy commodities, 
and for other purposes; which was ordered to lie on the table; as 
follows:

       Strike all after the enacting clause and insert the 
     following:

     SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

       (a) Short Title.--This Act may be cited as the ``Gas Price 
     Reduction Act of 2008''.
       (b) Table of Contents.--The table of contents of this Act 
     is as follows:

Sec. 1. Short title; table of contents.

                     TITLE I--DEEP SEA EXPLORATION

Sec. 101. Publication of projected State lines on outer Continental 
              Shelf.
Sec. 102. Production of oil and natural gas in new producing areas.
Sec. 103. Conforming amendments.

             TITLE II--WESTERN STATE OIL SHALE EXPLORATION

Sec. 201. Removal of prohibition on final regulations for commercial 
              leasing program for oil shale resources on public land.

              TITLE III--PLUG-IN ELECTRIC CARS AND TRUCKS

Sec. 301. Advanced batteries for electric drive vehicles.

                   TITLE IV--ENERGY COMMODITY MARKETS

Sec. 401. Study of international regulation of energy commodity 
              markets.
Sec. 402. Foreign boards of trade.
Sec. 403. Index traders and swap dealers; disaggregation of index 
              funds.
Sec. 404. Improved oversight and enforcement.

                     TITLE I--DEEP SEA EXPLORATION

     SEC. 101. PUBLICATION OF PROJECTED STATE LINES ON OUTER 
                   CONTINENTAL SHELF.

       Section 4(a)(2)(A) of the Outer Continental Shelf Lands Act 
     (43 U.S.C. 1333(a)(2)(A)) is amended--
       (1) by designating the first, second, and third sentences 
     as clause (i), (iii), and (iv), respectively;
       (2) in clause (i) (as so designated), by inserting before 
     the period at the end the following: ``not later than 90 days 
     after the date of enactment of the Gas Price Reduction Act of 
     2008''; and
       (3) by inserting after clause (i) (as so designated) the 
     following:
       ``(ii)(I) The projected lines shall also be used for the 
     purpose of preleasing and leasing activities conducted in new 
     producing areas under section 32.
       ``(II) This clause shall not affect any property right or 
     title to Federal submerged land on the outer Continental 
     Shelf.
       ``(III) In carrying out this clause, the President shall 
     consider the offshore administrative boundaries beyond State 
     submerged lands for planning, coordination, and 
     administrative purposes of the Department of the Interior, 
     but may establish different boundaries.''.

     SEC. 102. PRODUCTION OF OIL AND NATURAL GAS IN NEW PRODUCING 
                   AREAS.

       The Outer Continental Shelf Lands Act (43 U.S.C. 1331 et 
     seq.) is amended by adding at the end the following:

     ``SEC. 32. PRODUCTION OF OIL AND NATURAL GAS IN NEW PRODUCING 
                   AREAS.

       ``(a) Definitions.--In this section:
       ``(1) Coastal political subdivision.--The term `coastal 
     political subdivision' means a political subdivision of a new 
     producing State any part of which political subdivision is--
       ``(A) within the coastal zone (as defined in section 304 of 
     the Coastal Zone Management Act of 1972 (16 U.S.C. 1453)) of 
     the new producing State as of the date of enactment of this 
     section; and
       ``(B) not more than 200 nautical miles from the geographic 
     center of any leased tract.
       ``(2) Moratorium area.--
       ``(A) In general.--The term `moratorium area' means an area 
     covered by sections 104 through 105 of the Department of the 
     Interior, Environment, and Related Agencies Appropriations 
     Act, 2008 (Public Law 110-161; 121 Stat. 2118) (as in effect 
     on the day before the date of enactment of this section).
       ``(B) Exclusion.--The term `moratorium area' does not 
     include an area located in the Gulf of Mexico.
       ``(3) New producing area.--The term `new producing area' 
     means any moratorium area within the offshore administrative 
     boundaries beyond the submerged land of a State that is 
     located greater than 50 miles from the coastline of the 
     State.
       ``(4) New producing state.--The term `new producing State' 
     means a State that has, within the offshore administrative 
     boundaries beyond the submerged land of the State, a new 
     producing area available for oil and gas leasing under 
     subsection (b).
       ``(5) Offshore administrative boundaries.--The term 
     `offshore administrative boundaries' means the administrative 
     boundaries established by the Secretary beyond State 
     submerged land for planning, coordination, and administrative 
     purposes of the Department of the Interior and published in 
     the Federal Register on January 3, 2006 (71 Fed. Reg. 127).
       ``(6) Qualified outer continental shelf revenues.--
       ``(A) In general.--The term `qualified outer Continental 
     Shelf revenues' means all rentals, royalties, bonus bids, and 
     other sums due and payable to the United States from leases 
     entered into on or after the date of enactment of this 
     section for new producing areas.
       ``(B) Exclusions.--The term `qualified outer Continental 
     Shelf revenues' does not include--
       ``(i) revenues from a bond or other surety forfeited for 
     obligations other than the collection of royalties;
       ``(ii) revenues from civil penalties;
       ``(iii) royalties taken by the Secretary in-kind and not 
     sold;
       ``(iv) revenues generated from leases subject to section 
     8(g); or
       ``(v) any revenues considered qualified outer Continental 
     Shelf revenues under section 102 of the Gulf of Mexico Energy 
     Security Act of 2006 (43 U.S.C. 1331 note; Public Law 109-
     432).
       ``(b) Petition for Leasing New Producing Areas.--
       ``(1) In general.--Beginning on the date on which the 
     President delineates projected State lines under section 
     4(a)(2)(A)(ii), the Governor of a State, with the concurrence 
     of the legislature of the State, with a new producing area 
     within the offshore administrative boundaries beyond the 
     submerged land of the State may submit to the Secretary a 
     petition requesting that the Secretary make the new producing 
     area available for oil and gas leasing.
       ``(2) Action by secretary.--Notwithstanding section 18, as 
     soon as practicable after receipt of a petition under 
     paragraph (1), the Secretary shall approve the petition if 
     the Secretary determines that leasing the new producing area 
     would not create an unreasonable risk of harm to the marine, 
     human, or coastal environment.
       ``(c) Disposition of Qualified Outer Continental Shelf 
     Revenues From New Producing Areas.--
       ``(1) In general.--Notwithstanding section 9 and subject to 
     the other provisions of this subsection, for each applicable 
     fiscal year, the Secretary of the Treasury shall deposit--

[[Page S7192]]

       ``(A) 50 percent of qualified outer Continental Shelf 
     revenues in the general fund of the Treasury; and
       ``(B) 50 percent of qualified outer Continental Shelf 
     revenues in a special account in the Treasury from which the 
     Secretary shall disburse--
       ``(i) 75 percent to new producing States in accordance with 
     paragraph (2); and
       ``(ii) 25 percent to provide financial assistance to States 
     in accordance with section 6 of the Land and Water 
     Conservation Fund Act of 1965 (16 U.S.C. 460l -8), which 
     shall be considered income to the Land and Water Conservation 
     Fund for purposes of section 2 of that Act (16 U.S.C. 460l-
     5).
       ``(2) Allocation to new producing states and coastal 
     political subdivisions.--
       ``(A) Allocation to new producing states.--Effective for 
     fiscal year 2008 and each fiscal year thereafter, the amount 
     made available under paragraph (1)(B)(i) shall be allocated 
     to each new producing State in amounts (based on a formula 
     established by the Secretary by regulation) proportional to 
     the amount of qualified outer Continental Shelf revenues 
     generated in the new producing area offshore each State.
       ``(B) Payments to coastal political subdivisions.--
       ``(i) In general.--The Secretary shall pay 20 percent of 
     the allocable share of each new producing State, as 
     determined under subparagraph (A), to the coastal political 
     subdivisions of the new producing State.
       ``(ii) Allocation.--The amount paid by the Secretary to 
     coastal political subdivisions shall be allocated to each 
     coastal political subdivision in accordance with the 
     regulations promulgated under subparagraph (A).
       ``(3) Minimum allocation.--The amount allocated to a new 
     producing State for each fiscal year under paragraph (2) 
     shall be at least 5 percent of the amounts available for the 
     fiscal year under paragraph (1)(B)(i).
       ``(4) Timing.--The amounts required to be deposited under 
     subparagraph (B) of paragraph (1) for the applicable fiscal 
     year shall be made available in accordance with that 
     subparagraph during the fiscal year immediately following the 
     applicable fiscal year.
       ``(5) Authorized uses.--
       ``(A) In general.--Subject to subparagraph (B), each new 
     producing State and coastal political subdivision shall use 
     all amounts received under paragraph (2) in accordance with 
     all applicable Federal and State laws, only for 1 or more of 
     the following purposes:
       ``(i) Projects and activities for the purposes of coastal 
     protection, including conservation, coastal restoration, 
     hurricane protection, and infrastructure directly affected by 
     coastal wetland losses.
       ``(ii) Mitigation of damage to fish, wildlife, or natural 
     resources.
       ``(iii) Implementation of a federally approved marine, 
     coastal, or comprehensive conservation management plan.
       ``(iv) Funding of onshore infrastructure projects.
       ``(v) Planning assistance and the administrative costs of 
     complying with this section.
       ``(B) Limitation.--Not more than 3 percent of amounts 
     received by a new producing State or coastal political 
     subdivision under paragraph (2) may be used for the purposes 
     described in subparagraph (A)(v).
       ``(6) Administration.--Amounts made available under 
     paragraph (1)(B) shall--
       ``(A) be made available, without further appropriation, in 
     accordance with this subsection;
       ``(B) remain available until expended; and
       ``(C) be in addition to any amounts appropriated under--
       ``(i) other provisions of this Act;
       ``(ii) the Land and Water Conservation Fund Act of 1965 (16 
     U.S.C. 460l-4 et seq.); or
       ``(iii) any other provision of law.
       ``(d) Disposition of Qualified Outer Continental Shelf 
     Revenues From Other Areas.--Notwithstanding section 9, for 
     each applicable fiscal year, the terms and conditions of 
     subsection (c) shall apply to the disposition of qualified 
     outer Continental Shelf revenues that--
       ``(1) are derived from oil or gas leasing in an area that 
     is not included in the current 5-year plan of the Secretary 
     for oil or gas leasing; and
       ``(2) are not assumed in the budget of the United States 
     Government submitted by the President under section 1105 of 
     title 31, United States Code.''.

     SEC. 103. CONFORMING AMENDMENTS.

       Sections 104 and 105 of the Department of the Interior, 
     Environment, and Related Agencies Appropriations Act, 2008 
     (Public Law 110-161; 121 Stat. 2118) are amended by striking 
     ``No funds'' each place it appears and inserting ``Except as 
     provided in section 32 of the Outer Continental Shelf Lands 
     Act, no funds''.

             TITLE II--WESTERN STATE OIL SHALE EXPLORATION

     SEC. 201. REMOVAL OF PROHIBITION ON FINAL REGULATIONS FOR 
                   COMMERCIAL LEASING PROGRAM FOR OIL SHALE 
                   RESOURCES ON PUBLIC LAND.

       Section 433 of the Department of the Interior, Environment, 
     and Related Agencies Appropriations Act, 2008 (Public Law 
     110-161; 121 Stat. 2152) is repealed.

              TITLE III--PLUG-IN ELECTRIC CARS AND TRUCKS

     SEC. 301. ADVANCED BATTERIES FOR ELECTRIC DRIVE VEHICLES.

       (a) Definitions.--In this section:
       (1) Advanced battery.--The term ``advanced battery'' means 
     an electrical storage device that is suitable for a vehicle 
     application.
       (2) Engineering integration costs.--The term ``engineering 
     integration costs'' includes the cost of engineering tasks 
     relating to--
       (A) the incorporation of qualifying components into the 
     design of an advanced battery; and
       (B) the design of tooling and equipment and the development 
     of manufacturing processes and material for suppliers of 
     production facilities that produce qualifying components or 
     advanced batteries.
       (3) Secretary.--The term ``Secretary'' means the Secretary 
     of Energy.
       (b) Advanced Battery Research and Development.--
       (1) In general.--The Secretary shall--
       (A) expand and accelerate research and development efforts 
     for advanced batteries; and
       (B) emphasize lower cost means of producing abuse-tolerant 
     advanced batteries with the appropriate balance of power and 
     energy capacity to meet market requirements.
       (2) Authorization of appropriations.--There is authorized 
     to be appropriated to carry out this subsection $100,000,000 
     for each of fiscal years 2010 through 2014.
       (c) Direct Loan Program.--
       (1) In general.--Subject to the availability of 
     appropriated funds, not later than 1 year after the date of 
     enactment of this Act, the Secretary shall carry out a 
     program to provide a total of not more than $250,000,000 in 
     loans to eligible individuals and entities for not more than 
     30 percent of the costs of 1 or more of--
       (A) reequipping a manufacturing facility in the United 
     States to produce advanced batteries;
       (B) expanding a manufacturing facility in the United States 
     to produce advanced batteries; or
       (C) establishing a manufacturing facility in the United 
     States to produce advanced batteries.
       (2) Eligibility.--
       (A) In general.--To be eligible to obtain a loan under this 
     subsection, an individual or entity shall--
       (i) be financially viable without the receipt of additional 
     Federal funding associated with a proposed project under this 
     subsection;
       (ii) provide sufficient information to the Secretary for 
     the Secretary to ensure that the qualified investment is 
     expended efficiently and effectively; and
       (iii) meet such other criteria as may be established and 
     published by the Secretary.
       (B) Consideration.--In selecting eligible individuals or 
     entities for loans under this subsection, the Secretary may 
     consider whether the proposed project of an eligible 
     individual or entity under this subsection would--
       (i) reduce manufacturing time;
       (ii) reduce manufacturing energy intensity;
       (iii) reduce negative environmental impacts or byproducts; 
     or
       (iv) increase spent battery or component recycling
       (3) Rates, terms, and repayment of loans.--A loan provided 
     under this subsection--
       (A) shall have an interest rate that, as of the date on 
     which the loan is made, is equal to the cost of funds to the 
     Department of the Treasury for obligations of comparable 
     maturity;
       (B) shall have a term that is equal to the lesser of--
       (i) the projected life, in years, of the eligible project 
     to be carried out using funds from the loan, as determined by 
     the Secretary; or
       (ii) 25 years; and
       (C) may be subject to a deferral in repayment for not more 
     than 5 years after the date on which the eligible project 
     carried out using funds from the loan first begins 
     operations, as determined by the Secretary.
       (4) Period of availability.--A loan under this subsection 
     shall be available for--
       (A) facilities and equipment placed in service before 
     December 30, 2020; and
       (B) engineering integration costs incurred during the 
     period beginning on the date of enactment of this Act and 
     ending on December 30, 2020.
       (5) Fees.--The cost of administering a loan made under this 
     subsection shall not exceed $100,000.
       (6) Authorization of appropriations.--There are authorized 
     to be appropriated such sums as are necessary to carry out 
     this subsection for each of fiscal years 2009 through 2013.
       (d) Sense of the Senate on Purchase of Plug-in Electric 
     Drive Vehicles.--It is the sense of the Senate that, to the 
     maximum extent practicable, the Federal Government should 
     implement policies to increase the purchase of plug-in 
     electric drive vehicles by the Federal Government.

                   TITLE IV--ENERGY COMMODITY MARKETS

     SEC. 401. STUDY OF INTERNATIONAL REGULATION OF ENERGY 
                   COMMODITY MARKETS.

       (a) In General.--The Secretary of the Treasury, the 
     Chairman of the Board of Governors of the Federal Reserve 
     System, the Chairman of the Securities and Exchange 
     Commission, and the Chairman of the Commodity Futures Trading 
     Commission shall jointly conduct a study of the international 
     regime for regulating the trading of energy commodity futures 
     and derivatives.
       (b) Analysis.--The study shall include an analysis of, at a 
     minimum--

[[Page S7193]]

       (1) key common features and differences among countries in 
     the regulation of energy commodity trading, including with 
     respect to market oversight and enforcement;
       (2) agreements and practices for sharing market and trading 
     data;
       (3) the use of position limits or thresholds to detect and 
     prevent price manipulation, excessive speculation as 
     described in section 4a(a) of the Commodity Exchange Act (7 
     U.S.C. 6a(a)) or other unfair trading practices;
       (4) practices regarding the identification of commercial 
     and noncommercial trading and the extent of market 
     speculation; and
       (5) agreements and practices for facilitating international 
     cooperation on market oversight, compliance, and enforcement.
       (c) Report.--Not later than 120 days after the date of 
     enactment of this Act, the heads of the Federal agencies 
     described in subsection (a) shall jointly submit to the 
     appropriate committees of Congress a report that--
       (1) describes the results of the study; and
       (2) provides recommendations to improve openness, 
     transparency, and other necessary elements of a properly 
     functioning market.

     SEC. 402. FOREIGN BOARDS OF TRADE.

       Section 4 of the Commodity Exchange Act (7 U.S.C. 6) is 
     amended by adding at the end the following:
       ``(e) Foreign Boards of Trade.--
       ``(1) In general.--The Commission shall not permit a 
     foreign board of trade's members or other participants 
     located in the United States to enter trades directly into 
     the foreign board of trade's trade matching system with 
     respect to an agreement, contract, or transaction in an 
     energy commodity (as defined by the Commission) that settles 
     against any price, including the daily or final settlement 
     price, of a contract or contracts listed for trading on a 
     registered entity, unless--
       ``(A) the foreign board of trade makes public daily 
     information on settlement prices, volume, open interest, and 
     opening and closing ranges for the agreement, contract, or 
     transaction that is comparable to the daily trade information 
     published by the registered entity for the contract or 
     contracts against which it settles;
       ``(B) the foreign board of trade or a foreign futures 
     authority adopts position limitations (including related 
     hedge exemption provisions) or position accountability for 
     speculators for the agreement, contract, or transaction that 
     are comparable to the position limitations (including related 
     hedge exemption provisions) or position accountability 
     adopted by the registered entity for the contract or 
     contracts against which it settles; and
       ``(C) the foreign board of trade or a foreign futures 
     authority provides such information to the Commission 
     regarding the extent of speculative and non-speculative 
     trading in the agreement, contract, or transaction that is 
     comparable to the information the Commission determines is 
     necessary to publish its weekly report of traders (commonly 
     known as the Commitments of Traders report) for the contract 
     or contracts against which it settles.
       ``(2) Existing foreign boards of trade.--Paragraph (1) 
     shall become effective 1 year after the date of enactment of 
     this subsection with respect to any agreement, contract, or 
     transaction in an energy commodity (as defined by the 
     Commission) conducted on a foreign board of trade for which 
     the Commission's staff had granted relief from the 
     requirements of this Act prior to the date of enactment of 
     this subsection.''.

     SEC. 403. INDEX TRADERS AND SWAP DEALERS; DISAGGREGATION OF 
                   INDEX FUNDS.

       Section 4 of the Commodity Exchange Act (7 U.S.C. 6) (as 
     amended by section 3) is amended by adding at the end the 
     following:
       ``(f) Index Traders and Swap Dealers.--
       ``(1) Reporting.--The Commission shall--
       ``(A) issue a proposed rule regarding routine reporting 
     requirements for index traders and swap dealers (as those 
     terms are defined by the Commission) in energy and 
     agricultural transactions (as those terms are defined by the 
     Commission) within the jurisdiction of the Commission not 
     later than 180 days after the date of enactment of this 
     subsection, and issue a final rule regarding such reporting 
     requirements not later than 270 days after the date of 
     enactment of this subsection; and
       ``(B) subject to the provisions of section 8, disaggregate 
     and make public monthly information on the positions and 
     value of index funds and other passive, long-only positions 
     in the energy and agricultural futures markets.
       ``(2) Report.--Not later than 90 days after the date of 
     enactment of this subsection, the Commission shall submit to 
     the Committee on Agriculture of the House of Representatives 
     and the Committee on Agriculture, Nutrition, and Forestry of 
     the Senate a report regarding--
       ``(A) the scope of commodity index trading in the futures 
     markets;
       ``(B) whether classification of index traders and swap 
     dealers in the futures markets can be improved for regulatory 
     and reporting purposes; and
       ``(C) whether, based on a review of the trading practices 
     for index traders in the futures markets--
       ``(i) index trading activity is adversely impacting the 
     price discovery process in the futures markets; and
       ``(ii) different practices and controls should be 
     required.''.

     SEC. 404. IMPROVED OVERSIGHT AND ENFORCEMENT.

       (a) Findings.--The Senate finds that--
       (1) crude oil prices are at record levels and consumers in 
     the United States are paying record prices for gasoline;
       (2) funding for the Commodity Futures Trading Commission 
     has been insufficient to cover the significant growth of the 
     futures markets;
       (3) since the establishment of the Commodity Futures 
     Trading Commission, the volume of trading on futures 
     exchanges has grown 8,000 percent while staffing numbers have 
     decreased 12 percent; and
       (4) in today's dynamic market environment, it is essential 
     that the Commodity Futures Trading Commission receive the 
     funding necessary to enforce existing authority to ensure 
     that all commodity markets, including energy markets, are 
     properly monitored for market manipulation.
       (b) Additional Employees.--As soon as practicable after the 
     date of enactment of this Act, the Commodity Futures Trading 
     Commission shall hire at least 100 additional full-time 
     employees--
       (1) to increase the public transparency of operations in 
     energy futures markets;
       (2) to improve the enforcement in those markets; and
       (3) to carry out such other duties as are prescribed by the 
     Commission.
       (c) Authorization of Appropriations.--In addition to any 
     other funds made available to carry out the Commodity 
     Exchange Act (7 U.S.C. 1 et seq.), there are authorized to be 
     appropriated such sums as are necessary to carry out this 
     section for fiscal year 2009.
                                 ______
                                 
  SA 5109. Mr. VITTER submitted an amendment intended to be proposed by 
him to the bill S. 3268, to amend the Commodity Exchange Act, to 
prevent excessive price speculation with respect to energy commodities, 
and for other purposes; which was ordered to lie on the table; as 
follows:

       At the end, add the following:

     SEC. __. REPEAL OF MORATORIA ON OFFSHORE OIL AND GAS LEASING.

       (a) In General.--Sections 104 and 105 of the Department of 
     the Interior, Environment, and Related Agencies 
     Appropriations Act, 2008 (Public Law 110-161; 121 Stat. 
     2118), are repealed.
       (b) Certain Areas of Gulf of Mexico.--Section 104 of the 
     Gulf of Mexico Energy Security Act of 2006 (43 U.S.C. 1331 
     note; 120 Stat. 3003) is amended--
       (1) by striking subsection (a); and
       (2) in subsection (b), by striking the subsection 
     designation and heading and all that follows through 
     ``subsection (a), the'' and inserting ``The''.

     SEC. __. USE OF OFFSHORE OIL AND GAS PLATFORMS AND OTHER 
                   FACILITIES FOR ALTERNATIVE ENERGY PRODUCTION.

       (a) Definitions.--In this section:
       (1) Alternative energy.--The term ``alternative energy'' 
     means energy from a source other than oil or gas.
       (2) Secretary.--The term ``Secretary'' means the Secretary 
     of the Interior.
       (b) Grant Program.--
       (1) Establishment.--The Secretary shall establish a grant 
     program under which the Secretary shall provide grants to pay 
     the Federal share of the cost of--
       (A) converting offshore oil and gas platforms or other 
     facilities that are decommissioned from service for oil and 
     gas purposes to alternative energy production facilities; or
       (B) using offshore oil and gas platforms or other 
     facilities that are being used for oil and gas purposes to 
     also produce alternative energy.
       (2) Federal share.--The Federal share of the cost of 
     carrying out activities under paragraph (1) shall be not more 
     than 50 percent.
       (3) Applicable law.--The Outer Continental Shelf Land Act 
     (43 U.S.C. 1301 et seq.) shall apply to any activities 
     carried out under this section.
       (4) Disposition of revenues.--Notwithstanding section 9 of 
     the Outer Continental Shelf Lands Act (43 U.S.C. 1338), of 
     the revenues to the United States from the production of 
     alternative energy under this section for each fiscal year, 
     the Secretary shall deposit--
       (A) 50 percent in the general fund of the Treasury; and
       (B) 50 percent in a special account in the Treasury from 
     which the Secretary shall disburse--
       (i) 75 percent to States based on a formula established by 
     the Secretary by regulation; and
       (ii) 25 percent to provide financial assistance to States 
     in accordance with section 6 of the Land and Water 
     Conservation Fund Act of 1965 (16 U.S.C. 460 l-8), which 
     shall be considered income to the Land and Water Conservation 
     Fund for purposes of section 2 of that Act (16 U.S.C. 460l-
     5).
       (5) Authorization of appropriations.--There are authorized 
     to be appropriated such sums as are necessary to carry out 
     this section.
       (6) Termination of authority.--The authority of the 
     Secretary to provide grants under this section terminates on 
     the date that is 10 years after the date of enactment of this 
     Act.

[[Page S7194]]

                                 ______
                                 
  SA 5110. Mr. VITTER submitted an amendment intended to be proposed by 
him to the bill S. 3268, to amend the Commodity Exchange Act, to 
prevent excessive price speculation with respect to energy commodities, 
and for other purposes; which was ordered to lie on the table; as 
follows:

       At the end, add the following:

     SEC. ___. PRODUCTION OF OIL AND NATURAL GAS IN NEW PRODUCING 
                   AREAS.

       The Outer Continental Shelf Lands Act (43 U.S.C. 1331 et 
     seq.) is amended by adding at the end the following:

     ``SEC. 32. PRODUCTION OF OIL AND NATURAL GAS IN NEW PRODUCING 
                   AREAS.

       ``(a) Definitions.--In this section:
       ``(1) Coastal political subdivision.--The term `coastal 
     political subdivision' means a political subdivision of a new 
     producing State any part of which political subdivision is--
       ``(A) within the coastal zone (as defined in section 304 of 
     the Coastal Zone Management Act of 1972 (16 U.S.C. 1453)) of 
     the new producing State as of the date of enactment of this 
     section; and
       ``(B) not more than 200 nautical miles from the geographic 
     center of any leased tract.
       ``(2) Moratorium area.--
       ``(A) In general.--The term `moratorium area' means an area 
     covered by sections 104 through 105 of the Department of the 
     Interior, Environment, and Related Agencies Appropriations 
     Act, 2008 (Public Law 110-161; 121 Stat. 2118) (as in effect 
     on the day before the date of enactment of this section).
       ``(B) Exclusion.--The term `moratorium area' does not 
     include an area located in the Gulf of Mexico.
       ``(3) New producing area.--The term `new producing area' 
     means any moratorium area within the offshore administrative 
     boundaries beyond the submerged land of a State that is 
     located greater than 50 miles from the coastline of the 
     State.
       ``(4) New producing state.--The term `new producing State' 
     means a State that has, within the offshore administrative 
     boundaries beyond the submerged land of the State, a new 
     producing area available for oil and gas leasing under 
     subsection (b).
       ``(5) Offshore administrative boundaries.--The term 
     `offshore administrative boundaries' means the administrative 
     boundaries established by the Secretary beyond State 
     submerged land for planning, coordination, and administrative 
     purposes of the Department of the Interior and published in 
     the Federal Register on January 3, 2006 (71 Fed. Reg. 127).
       ``(6) Qualified outer continental shelf revenues.--
       ``(A) In general.--The term `qualified outer Continental 
     Shelf revenues' means all rentals, royalties, bonus bids, and 
     other sums due and payable to the United States from leases 
     entered into on or after the date of enactment of this 
     section for new producing areas.
       ``(B) Exclusions.--The term `qualified outer Continental 
     Shelf revenues' does not include--
       ``(i) revenues from a bond or other surety forfeited for 
     obligations other than the collection of royalties;
       ``(ii) revenues from civil penalties;
       ``(iii) royalties taken by the Secretary in-kind and not 
     sold;
       ``(iv) revenues generated from leases subject to section 
     8(g); or
       ``(v) any revenues considered qualified outer Continental 
     Shelf revenues under section 102 of the Gulf of Mexico Energy 
     Security Act of 2006 (43 U.S.C. 1331 note; Public Law 109-
     432).
       ``(b) Petition for Leasing New Producing Areas.--
       ``(1) In general.--Notwithstanding any other provision of 
     law, the Governor of a State, with the concurrence of the 
     legislature of the State, with a new producing area within 
     the offshore administrative boundaries beyond the submerged 
     land of the State may submit to the Secretary a petition 
     requesting that the Secretary make the new producing area 
     available for oil and gas leasing.
       ``(2) Action by secretary.--Notwithstanding section 18, as 
     soon as practicable after receipt of a petition under 
     paragraph (1), the Secretary shall approve the petition if 
     the Secretary determines that leasing the new producing area 
     would not create an unreasonable risk of harm to the marine, 
     human, or coastal environment.
       ``(c) Disposition of Qualified Outer Continental Shelf 
     Revenues From New Producing Areas.--
       ``(1) In general.--Notwithstanding section 9 and subject to 
     the other provisions of this subsection, for each applicable 
     fiscal year, the Secretary of the Treasury shall--
       ``(A) deposit 45 percent of qualified outer Continental 
     Shelf revenues in the general fund of the Treasury;
       ``(B) deposit 50 percent of qualified outer Continental 
     Shelf revenues in a special account in the Treasury from 
     which the Secretary shall disburse--
       ``(i) 75 percent to new producing States in accordance with 
     paragraph (2); and
       ``(ii) 25 percent to provide financial assistance to States 
     in accordance with section 6 of the Land and Water 
     Conservation Fund Act of 1965 (16 U.S.C. 460l -8), which 
     shall be considered income to the Land and Water Conservation 
     Fund for purposes of section 2 of that Act (16 U.S.C. 460l-
     5); and
       ``(C) distribute 5 percent of qualified outer Continental 
     Shelf revenues to States for historic offshore production 
     distribution.
       ``(2) Allocation to new producing states and coastal 
     political subdivisions.--
       ``(A) Allocation to new producing states.--Effective for 
     fiscal year 2008 and each fiscal year thereafter, the amount 
     made available under paragraph (1)(B)(i) shall be allocated 
     to each new producing State in amounts (based on a formula 
     established by the Secretary by regulation) proportional to 
     the amount of qualified outer Continental Shelf revenues 
     generated in the new producing area offshore each State.
       ``(B) Payments to coastal political subdivisions.--
       ``(i) In general.--The Secretary shall pay 20 percent of 
     the allocable share of each new producing State, as 
     determined under subparagraph (A), to the coastal political 
     subdivisions of the new producing State.
       ``(ii) Allocation.--The amount paid by the Secretary to 
     coastal political subdivisions shall be allocated to each 
     coastal political subdivision in accordance with the 
     regulations promulgated under subparagraph (A).
       ``(3) Minimum allocation.--The amount allocated to a new 
     producing State for each fiscal year under paragraph (2) 
     shall be at least 5 percent of the amounts available for the 
     fiscal year under paragraph (1)(B)(i).
       ``(4) Timing.--The amounts required to be deposited under 
     subparagraph (B) of paragraph (1) for the applicable fiscal 
     year shall be made available in accordance with that 
     subparagraph during the fiscal year immediately following the 
     applicable fiscal year.
       ``(5) Authorized uses.--
       ``(A) In general.--Subject to subparagraph (B), each new 
     producing State and coastal political subdivision shall use 
     all amounts received under paragraph (2) in accordance with 
     all applicable Federal and State laws, only for 1 or more of 
     the following purposes:
       ``(i) Projects and activities for the purposes of coastal 
     protection, including conservation, coastal restoration, 
     hurricane protection, and infrastructure directly affected by 
     coastal wetland losses.
       ``(ii) Mitigation of damage to fish, wildlife, or natural 
     resources.
       ``(iii) Implementation of a federally approved marine, 
     coastal, or comprehensive conservation management plan.
       ``(iv) Funding of onshore infrastructure projects.
       ``(v) Planning assistance and the administrative costs of 
     complying with this section.
       ``(B) Limitation.--Not more than 3 percent of amounts 
     received by a new producing State or coastal political 
     subdivision under paragraph (2) may be used for the purposes 
     described in subparagraph (A)(v).
       ``(6) Administration.--Amounts made available under 
     paragraph (1)(B) shall--
       ``(A) be made available, without further appropriation, in 
     accordance with this subsection;
       ``(B) remain available until expended; and
       ``(C) be in addition to any amounts appropriated under--
       ``(i) other provisions of this Act;
       ``(ii) the Land and Water Conservation Fund Act of 1965 (16 
     U.S.C. 460l-4 et seq.); or
       ``(iii) any other provision of law.
       ``(d) Disposition of Qualified Outer Continental Shelf 
     Revenues From Other Areas.--Notwithstanding section 9, for 
     each applicable fiscal year, the terms and conditions of 
     subsection (c) shall apply to the disposition of qualified 
     outer Continental Shelf revenues that--
       ``(1) are derived from oil or gas leasing in an area that 
     is not included in the current 5-year plan of the Secretary 
     for oil or gas leasing; and
       ``(2) are not assumed in the budget of the United States 
     Government submitted by the President under section 1105 of 
     title 31, United States Code.''.

     SEC. ___. USE OF OFFSHORE OIL AND GAS PLATFORMS AND OTHER 
                   FACILITIES FOR ALTERNATIVE ENERGY PRODUCTION.

       (a) Definitions.--In this section:
       (1) Alternative energy.--The term ``alternative energy'' 
     means energy from a source other than oil or gas.
       (2) Secretary.--The term ``Secretary'' means the Secretary 
     of the Interior.
       (b) Grant Program.--
       (1) Establishment.--The Secretary shall establish a grant 
     program under which the Secretary shall provide grants to pay 
     the Federal share of the cost of--
       (A) converting offshore oil and gas platforms or other 
     facilities that are decommissioned from service for oil and 
     gas purposes to alternative energy production facilities; or
       (B) using offshore oil and gas platforms or other 
     facilities that are being used for oil and gas purposes to 
     also produce alternative energy.
       (2) Federal share.--The Federal share of the cost of 
     carrying out activities under paragraph (1) shall be not more 
     than 50 percent.
       (3) Applicable law.--The Outer Continental Shelf Land Act 
     (43 U.S.C. 1301 et seq.) shall apply to any activities 
     carried out under this section.
       (4) Disposition of revenues.--Notwithstanding section 9 of 
     the Outer Continental Shelf Lands Act (43 U.S.C. 1338), of 
     the revenues to the United States from the production of 
     alternative energy under this section for each fiscal year, 
     the Secretary shall deposit--
       (A) 50 percent in the general fund of the Treasury; and

[[Page S7195]]

       (B) 50 percent in a special account in the Treasury from 
     which the Secretary shall disburse--
       (i) 75 percent to States based on a formula established by 
     the Secretary by regulation; and
       (ii) 25 percent to provide financial assistance to States 
     in accordance with section 6 of the Land and Water 
     Conservation Fund Act of 1965 (16 U.S.C. 460 l -8), which 
     shall be considered income to the Land and Water Conservation 
     Fund for purposes of section 2 of that Act (16 U.S.C. 460l-
     5).
       (5) Authorization of appropriations.--There are authorized 
     to be appropriated such sums as are necessary to carry out 
     this section.
       (6) Termination of authority.--The authority of the 
     Secretary to provide grants under this section terminates on 
     the date that is 10 years after the date of enactment of this 
     Act.
                                 ______
                                 
  SA 5111. Mr. VITTER submitted an amendment intended to be proposed by 
him to the bill S. 3268, to amend the Commodity Exchange Act, to 
prevent excessive price speculation with respect to energy commodities, 
and for other purposes; which was ordered to lie on the table; as 
follows:

       At the end, add the following:

     SEC. __. REMOVAL OF PROHIBITION ON FINAL REGULATIONS FOR 
                   COMMERCIAL LEASING PROGRAM FOR OIL SHALE 
                   RESOURCES ON PUBLIC LAND.

       Section 433 of the Department of the Interior, Environment, 
     and Related Agencies Appropriations Act, 2008 (Public Law 
     110-161; 121 Stat. 2152) is repealed.

     SEC. ___. USE OF OFFSHORE OIL AND GAS PLATFORMS AND OTHER 
                   FACILITIES FOR ALTERNATIVE ENERGY PRODUCTION.

       (a) Definitions.--In this section:
       (1) Alternative energy.--The term ``alternative energy'' 
     means energy from a source other than oil or gas.
       (2) Secretary.--The term ``Secretary'' means the Secretary 
     of the Interior.
       (b) Grant Program.--
       (1) Establishment.--The Secretary shall establish a grant 
     program under which the Secretary shall provide grants to pay 
     the Federal share of the cost of--
       (A) converting offshore oil and gas platforms or other 
     facilities that are decommissioned from service for oil and 
     gas purposes to alternative energy production facilities; or
       (B) using offshore oil and gas platforms or other 
     facilities that are being used for oil and gas purposes to 
     also produce alternative energy.
       (2) Federal share.--The Federal share of the cost of 
     carrying out activities under paragraph (1) shall be not more 
     than 50 percent.
       (3) Applicable law.--The Outer Continental Shelf Land Act 
     (43 U.S.C. 1301 et seq.) shall apply to any activities 
     carried out under this section.
       (4) Disposition of revenues.--Notwithstanding section 9 of 
     the Outer Continental Shelf Lands Act (43 U.S.C. 1338), of 
     the revenues to the United States from the production of 
     alternative energy under this section for each fiscal year, 
     the Secretary shall deposit--
       (A) 50 percent in the general fund of the Treasury; and
       (B) 50 percent in a special account in the Treasury from 
     which the Secretary shall disburse--
       (i) 75 percent to States based on a formula established by 
     the Secretary by regulation; and
       (ii) 25 percent to provide financial assistance to States 
     in accordance with section 6 of the Land and Water 
     Conservation Fund Act of 1965 (16 U.S.C. 460 l -8), which 
     shall be considered income to the Land and Water Conservation 
     Fund for purposes of section 2 of that Act (16 U.S.C. 460l-
     5).
       (5) Authorization of appropriations.--There are authorized 
     to be appropriated such sums as are necessary to carry out 
     this section.
       (6) Termination of authority.--The authority of the 
     Secretary to provide grants under this section terminates on 
     the date that is 10 years after the date of enactment of this 
     Act.
                                 ______
                                 
  SA 5112. Mr. VITTER submitted an amendment intended to be proposed by 
him to the bill S. 3268, to amend the Commodity Exchange Act, to 
prevent excessive price speculation with respect to energy commodities, 
and for other purposes; which was ordered to lie on the table; as 
follows:

       At the end, add the following:

     SEC. ___. USE OF OFFSHORE OIL AND GAS PLATFORMS AND OTHER 
                   FACILITIES FOR ALTERNATIVE ENERGY PRODUCTION.

       (a) Definitions.--In this section:
       (1) Alternative energy.--The term ``alternative energy'' 
     means energy from a source other than oil or gas.
       (2) Secretary.--The term ``Secretary'' means the Secretary 
     of the Interior.
       (b) Grant Program.--
       (1) Establishment.--The Secretary shall establish a grant 
     program under which the Secretary shall provide grants to pay 
     the Federal share of the cost of--
       (A) converting offshore oil and gas platforms or other 
     facilities that are decommissioned from service for oil and 
     gas purposes to alternative energy production facilities; or
       (B) using offshore oil and gas platforms or other 
     facilities that are being used for oil and gas purposes to 
     also produce alternative energy.
       (2) Federal share.--The Federal share of the cost of 
     carrying out activities under paragraph (1) shall be not more 
     than 50 percent.
       (3) Applicable law.--The Outer Continental Shelf Land Act 
     (43 U.S.C. 1301 et seq.) shall apply to any activities 
     carried out under this section.
       (4) Disposition of revenues.--Notwithstanding section 9 of 
     the Outer Continental Shelf Lands Act (43 U.S.C. 1338), of 
     the revenues to the United States from the production of 
     alternative energy under this section for each fiscal year, 
     the Secretary shall deposit--
       (A) 50 percent in the general fund of the Treasury; and
       (B) 50 percent in a special account in the Treasury from 
     which the Secretary shall disburse--
       (i) 75 percent to States based on a formula established by 
     the Secretary by regulation; and
       (ii) 25 percent to provide financial assistance to States 
     in accordance with section 6 of the Land and Water 
     Conservation Fund Act of 1965 (16 U.S.C. 460 l -8), which 
     shall be considered income to the Land and Water Conservation 
     Fund for purposes of section 2 of that Act (16 U.S.C. 460l-
     5).
       (5) Authorization of appropriations.--There are authorized 
     to be appropriated such sums as are necessary to carry out 
     this section.
       (6) Termination of authority.--The authority of the 
     Secretary to provide grants under this section terminates on 
     the date that is 10 years after the date of enactment of this 
     Act.
                                 ______
                                 
  SA 5113. Mr. VITTER submitted an amendment intended to be proposed by 
him to the bill S. 3268, to amend the Commodity Exchange Act, to 
prevent excessive price speculation with respect to energy commodities, 
and for other purposes; which was ordered to lie on the table; as 
follows:

       At the end, add the following:

     SEC. __. SEAWARD BOUNDARY EXTENSION.

       (a) In General.--Title II of the Submerged Lands Act (43 
     U.S.C. 1311 et seq.) is amended--
       (1) by redesignating section 11 as section 12; and
       (2) by inserting after section 10 the following:

     ``SEC. 11. EXTENSION OF SEAWARD BOUNDARIES OF THE STATES OF 
                   LOUISIANA, MISSISSIPPI, AND ALABAMA.

       ``(a) Definitions.--In this section:
       ``(1) Existing interest.--The term `existing interest' 
     means any lease, easement, right-of-use, or right-of-way on, 
     or for any natural resource or minerals underlying, the 
     expanded submerged land that is in existence on the date of 
     the conveyance of the expanded submerged land to the State 
     under subsection (b)(1).
       ``(2) Expanded seaward boundary.--The term `expanded 
     seaward boundary' means the seaward boundary of the State 
     that is 3 marine leagues seaward of the coast line of the 
     State as of the day before the date of enactment of this 
     section.
       ``(3) Expanded submerged land.--The term `expanded 
     submerged land' means the area of the outer Continental Shelf 
     that is located between 3 geographical miles and 3 marine 
     leagues seaward of the coast line of the State as of the day 
     before the date of enactment of this section.
       ``(4) Interest owner.--The term `interest owner' means any 
     person that owns or holds an existing interest in the 
     expanded submerged land or portion of an existing interest in 
     the expanded submerged land.
       ``(5) Secretary.--The term `Secretary' means the Secretary 
     of the Interior.
       ``(6) State.--The term `State' means each of the States of 
     Louisiana, Mississippi, and Alabama.
       ``(b) Conveyance of Expanded Submerged Land.--
       ``(1) In general.--If a State demonstrates to the 
     satisfaction of the Secretary that the conditions described 
     in paragraph (2) will be met, the Secretary shall, subject to 
     valid existing rights and subsection (c), convey to the State 
     the interest of the United States in the expanded submerged 
     land of the State.
       ``(2) Conditions.--A conveyance under paragraph (1) shall 
     be subject to the condition that--
       ``(A) on conveyance of the interest of the United States in 
     the expanded submerged land to the State under paragraph 
     (1)--
       ``(i) the Governor of the State (or a delegate of the 
     Governor) shall exercise the powers and duties of the 
     Secretary under the terms of any existing interest, subject 
     to the requirement that the State and the officers of the 
     State may not exercise the powers to impose any burden or 
     requirement on any interest owner that is more onerous or 
     strict than the burdens or requirements imposed under 
     applicable Federal law (including regulations) on owners or 
     holders of the same type of lease, easement, right-of-use, or 
     right-of-way on the outer Continental Shelf seaward of the 
     expanded submerged land; and
       ``(ii) the State shall not impose any administrative or 
     judicial penalty or sanction on

[[Page S7196]]

     any interest owner that is more severe than the penalty or 
     sanction under Federal law (including regulations) applicable 
     to owners or holders of leases, easements, rights-of-use, or 
     rights-of-way on the outer Continental Shelf seaward of the 
     expanded submerged lands for the same act, omission, or 
     violation;
       ``(B) not later than 5 years after the date of enactment of 
     this section--
       ``(i) the State shall enact laws or promulgate regulations 
     with respect to the environmental protection, safety, and 
     operations of any platform pipeline in existence on the date 
     of conveyance to the State under paragraph (1) that is 
     affixed to or above the expanded submerged land that impose 
     the same requirements as Federal law (including regulations) 
     applicable to a platform pipeline on the outer Continental 
     Shelf seaward of the expanded submerged land; and
       ``(ii) the State shall enact laws or promulgate regulations 
     for determining the value of oil, gas, or other mineral 
     production from existing interests for royalty purposes that 
     establish the same requirements as the requirements under 
     Federal law (including regulations) applicable to Federal 
     leases for the same minerals on the outer Continental Shelf 
     seaward of the expanded submerged land; and
       ``(C) the State laws and regulations enacted or promulgated 
     under subparagraph (B) shall provide that if Federal law 
     (including regulations) applicable to leases, easements, 
     rights-of-use, or rights-of-way on the outer Continental 
     Shelf seaward of the expanded submerged land are modified 
     after the date on which the State laws and regulations are 
     enacted or promulgated, the State laws and regulations 
     applicable to existing interests will be modified to reflect 
     the change in Federal laws (including regulations).
       ``(c) Exceptions.--
       ``(1) Mineral lease or unit divided.--
       ``(A) In general.--If any existing Federal oil and gas or 
     other mineral lease or unit would be divided by the expanded 
     seaward boundary of a State, the interest of the United 
     States in the leased minerals underlying the portion of the 
     lease or unit that lies within the expanded submerged 
     boundary shall not be considered to be conveyed to the State 
     until the date on which the lease or unit expires or is 
     relinquished by the United States.
       ``(B) Applicability for other purposes.--Notwithstanding 
     subparagraph (A), the expanded seaward boundary of a State 
     shall be the seaward boundary of the State for all other 
     purposes, including the distribution of revenues under 
     section 8(g)(2) of the Outer Continental Shelf Lands Act (43 
     U.S.C. 1337(g)(2)).
       ``(2) Laws and regulations not sufficient.--If the 
     Secretary determines that any law or regulation enacted or 
     promulgated by a State under subparagraph (B) of subsection 
     (b)(2) does not meet the requirements of that subparagraph, 
     the Secretary shall not convey the expanded submerged land to 
     the State.
       ``(d) Interest Issued or Granted by the State.--This 
     section does not apply to any interest in the expanded 
     submerged land that a State issues or grants after the date 
     of conveyance of the expanded submerged land to the State 
     under subsection (b)(1).
       ``(e) Liability.--
       ``(1) In general.--By accepting conveyance of the expanded 
     submerged land, the State agrees to indemnify the United 
     States for any liability to any interest owner for the taking 
     of any property interest or breach of contract from--
       ``(A) the conveyance of the expanded submerged land to the 
     State; or
       ``(B) the State's administration of any existing interest 
     under subsection (b)(2)(A)(i).
       ``(2) Deduction from oil and gas leasing revenues.--The 
     Secretary may deduct from the amounts otherwise payable to 
     the State under section 8(g)(2) of the Outer Continental 
     Shelf Lands Act (43 U.S.C. 1337(g)(2)) the amount of any 
     final nonappealable judgment for a taking or breach of 
     contract described in paragraph (1).''.
       (b) Conforming Amendment.--Section 2(b) of the Submerged 
     Lands Act (43 U.S.C. 1301(b)) is amended by striking 
     ``section 4 hereof'' and inserting ``section 4 or 11''.

     SEC. ___. USE OF OFFSHORE OIL AND GAS PLATFORMS AND OTHER 
                   FACILITIES FOR ALTERNATIVE ENERGY PRODUCTION.

       (a) Definitions.--In this section:
       (1) Alternative energy.--The term ``alternative energy'' 
     means energy from a source other than oil or gas.
       (2) Secretary.--The term ``Secretary'' means the Secretary 
     of the Interior.
       (b) Grant Program.--
       (1) Establishment.--The Secretary shall establish a grant 
     program under which the Secretary shall provide grants to pay 
     the Federal share of the cost of--
       (A) converting offshore oil and gas platforms or other 
     facilities that are decommissioned from service for oil and 
     gas purposes to alternative energy production facilities; or
       (B) using offshore oil and gas platforms or other 
     facilities that are being used for oil and gas purposes to 
     also produce alternative energy.
       (2) Federal share.--The Federal share of the cost of 
     carrying out activities under paragraph (1) shall be not more 
     than 50 percent.
       (3) Applicable law.--The Outer Continental Shelf Land Act 
     (43 U.S.C. 1301 et seq.) shall apply to any activities 
     carried out under this section.
       (4) Disposition of revenues.--Notwithstanding section 9 of 
     the Outer Continental Shelf Lands Act (43 U.S.C. 1338), of 
     the revenues to the United States from the production of 
     alternative energy under this section for each fiscal year, 
     the Secretary shall deposit--
       (A) 50 percent in the general fund of the Treasury; and
       (B) 50 percent in a special account in the Treasury from 
     which the Secretary shall disburse--
       (i) 75 percent to States based on a formula established by 
     the Secretary by regulation; and
       (ii) 25 percent to provide financial assistance to States 
     in accordance with section 6 of the Land and Water 
     Conservation Fund Act of 1965 (16 U.S.C. 460 l -8), which 
     shall be considered income to the Land and Water Conservation 
     Fund for purposes of section 2 of that Act (16 U.S.C. 460l-
     5).
       (5) Authorization of appropriations.--There are authorized 
     to be appropriated such sums as are necessary to carry out 
     this section.
       (6) Termination of authority.--The authority of the 
     Secretary to provide grants under this section terminates on 
     the date that is 10 years after the date of enactment of this 
     Act.

                          ____________________