[Congressional Record (Bound Edition), Volume 156 (2010), Part 11]
[House]
[Pages 14840-14897]
[From the U.S. Government Publishing Office, www.gpo.gov]




      CONSOLIDATED LAND, ENERGY, AND AQUATIC RESOURCES ACT OF 2010

  The Committee resumed its sitting.
  Mr. MICA. I am pleased to yield at this time 2 minutes to the 
gentleman from North Carolina (Mr. Coble), another one of our leaders 
in the T&I Committee.
  Mr. COBLE. I want to thank the gentleman from Florida for yielding.
  Mr. Chairman, the Deepwater Horizon oil spill is a horrific tragedy, 
as we all know; and I want to make certain the responsible parties are 
held accountable. I also want to ensure that we understand what went 
wrong to prevent future tragedies. Although I support domestic energy 
exploration, we need legislation that is focused and implements lessons 
learned, and the CLEAR Act, in my opinion, does not meet these 
principles.
  Specifically, it adds yet another task to the Coast Guard mission 
without providing the tools necessary to get the job done. I firmly 
believe the Coast Guard can do its part, but it is our responsibility 
to make sure that they have the personnel, command structure, and 
resources to meet its multifaceted mission.
  The bill also diminishes intellectual property rights. Its mandatory 
publication requirements for chemical dispersants will eviscerate a 
number of trade secrets and undermine competitiveness in the chemical 
industry, it seems to me. It makes no sense to discard trade secrets in 
the name of protecting the public when the EPA already has such 
authority and jurisdiction to test, inspect, and approve these 
products.
  Finally, this legislation will create new impediments for tapping 
into our domestic energy supply, make us more reliant upon foreign 
sources of energy, and compromise jobs.
  Mr. Chairman, I reiterate, we must address this catastrophe. The 
CLEAR Act, however, is the wrong approach for the gulf coast, our 
economy, and my constituents' wallets.
  I thank the gentleman from Florida again for yielding.
  Mr. HASTINGS of Washington. Mr. Chairman, I'm pleased to yield 1 
minute to the gentleman from Louisiana (Mr. Fleming), a member of the 
Natural Resources Committee.
  Mr. FLEMING. I thank the gentleman.
  Mr. Chairman, on the CLEAR Act, in my opinion, this is a textbook 
case on how to kill jobs and raise energy prices.
  Reforms are needed to ensure American offshore drilling will be the 
safest in the world, but this bill is extremely premature. The 
investigations are still ongoing, and we do not have the answers to the 
question, what went wrong?
  I am greatly concerned, too, that this will further harm Louisiana. 
The State of Louisiana has estimated that a moratorium like the one 
currently imposed could result in a loss of more than 20,000 Louisiana 
jobs. Rigs are already leaving the gulf for countries like Egypt and 
the Congo. Yet today's bill imposes a permanent de facto moratorium by 
including provisions to delay or block offshore drilling and imposing 
taxes that will raise energy costs. Killing jobs and raising energy 
prices are the wrong direction.
  I urge my colleagues to vote against the CLEAR Act.
  Mr. RAHALL. Mr. Chairman, it is my honor to yield 1 minute to the 
gentlelady from California (Mrs. Capps), who has been so instrumental 
in development of this legislation and a valued member of our Natural 
Resources Committee.
  Mrs. CAPPS. Mr. Chairman, I rise in strong support of the CLEAR Act, 
and I say this as the Representative of the Santa Barbara channel which 
Chairman Rahall referred to as the scene of the big blowout of platform 
A in 1969.

[[Page 14841]]

  BP's oil spill is an unprecedented human, economic, and environmental 
disaster. BP must do everything possible to clean up its damage and 
make the people of the gulf whole. But this catastrophe is also a 
sobering reminder of the serious risks from drilling. We can't stop 
drilling overnight, but we can do everything in our power to ensure 
that such a disaster never happens again.
  That's why we must pass the CLEAR Act. It breaks up the scandal-
ridden MMS, increases penalties for polluters, places new safety and 
environmental standards on oil companies, pays down the deficit by 
closing loopholes that allow oil companies to drill on the public's 
land without paying royalties, creates a new trust fund to protect and 
improve our oceans, provides the Presidential commission looking into 
the accident with subpoena power.
  Once again, this Congress is acting to protect America's families and 
businesses, rebuild the gulf coast, hold BP accountable. Let's vote to 
ensure that a spill of this kind never happens again. Vote ``yes'' on 
the CLEAR Act.
  BP's oil spill is an unprecedented environmental disaster that has 
tragically resulted in the loss of human life and great economic harm.
  BP must do everything possible to clean up the damage and make the 
people of the Gulf whole.
  But the catastrophe is also a sobering reminder of the serious risks 
from oil drilling.
  We need a safer, cleaner, more economical approach to energy 
development, one that shifts us away from oil and toward renewable 
sources that can't destroy our coasts.
  While we can't stop drilling overnight, we can do everything in our 
power to ensure that such a disaster never happens again.
  This Democratic-led Congress has vigorously investigated BP's spill 
and offshore drilling.
  We've exposed our broken regulatory system.
  Always a dysfunctional agency, MMS management reached new lows during 
the Bush Administration.
  An Inspector General report, for example, raised serious concerns 
about the, ``ease with which safety inspectors move between industry 
and government.''
  Oil companies were allowed to cut corners on safety and environmental 
protection.
  And virtually no effort was put into preventing accidents and 
improving spill response technologies.
  Basically, offshore drilling decisions were being made by the oil 
companies for their benefit instead of the public's.
  Sadly, the people in the Gulf are now paying the price.
  That's why it's time to pass the CLEAR Act.
  The CLEAR Act breaks up the scandal-ridden MMS, increases penalties 
for polluters, and places new standards on oil companies to prevent 
another blowout.
  It also pays down the deficit by closing loopholes that allow oil 
companies to drill on the public's land without paying royalties.
  It creates a new trust fund to protect and improve our ocean and 
coastal areas.
  And it gives the Presidental Commission investigating the BP spill 
subpoena power to make sure it can get to the bottom of what actually 
happened.
  Mr. Chairman, there are lots of reasons for us to pass this bill.
  But my greatest hope is that some good can come out of this tragedy.
  Finally freeing ourselves from our costly oil addiction is the only 
fitting tribute to the terrible tragedy being borne by the people of 
the Gulf.
  Vote ``yes'' on the CLEAR Act.

                              {time}  1410

  Mr. MICA. Mr. Chairman, I am pleased to yield 2 minutes to the 
gentleman from Texas (Mr. Olson), another one of our distinguished 
members from T&I.
  Mr. OLSON. I thank my colleague from Florida for giving me a couple 
of minutes to talk about the problems with this energy bill.
  Mr. Chairman, there are parts of this bill that are well-intentioned, 
but they miss the mark--particularly the language in this bill 
regarding the moratorium on offshore drilling. Thirty-three rigs were 
affected by this moratorium when it was imposed shortly after the 
explosion on the Deepwater Horizon rig. Since that time, these rigs 
have been incurring somewhere upwards of $500,000 a day in expenses 
just while they're not doing any production. There are very few 
companies, very few entities in our economy, that can incur over $90 
million in expenses if this moratorium runs out for the 6-month period 
that it's supposed to run. And there's no guarantee that it's going to 
end within 6 months.
  Predictably--and I've been banging this drum for almost 2 months 
now--these rigs are going to move overseas and it's starting to happen. 
The first rig went to Egypt. It was a rig from Diamond Offshore.
  Let me read a quote from their CEO, Larry Dickerson, as he talked 
about why they were moving this rig overseas. Mr. Dickerson said, ``As 
a result of the uncertainties surrounding the offshore drilling 
moratorium, we are actively seeking opportunities to keep our rigs 
fully employed internationally. We greatly regret the loss of U.S. jobs 
that will result from this rig relocation.''
  Again let me read that last sentence:
  ``We greatly regret the loss of U.S. jobs that will result from this 
rig relocation.''
  Mr. Chairman, this is not what the American economy needs right now. 
We need to ensure we're independent from foreign oil. We can't be 
exporting jobs overseas. This is a job-killing bill that's coming 
before this House and I oppose it.
  Another problem I have with the bill that has been introduced here is 
the change in liability limits. By changing the liability limits, this 
bill will effectively squeeze out all the small and medium operators in 
the gulf, resulting in the loss of thousands of jobs.
  If you like Big Oil, this bill is your bill. I am strongly opposed to 
that. We need to create American jobs. Not ending this moratorium and 
this changing liability limits is not in America's best interests.
  Mr. OBERSTAR. Mr. Chairman, I yield the balance of my time to the 
gentleman from New York (Mr. Nadler).
  The CHAIR. The gentleman is recognized for 1\1/2\ minutes.
  Mr. NADLER of New York. Mr. Chairman, I rise in support of the CLEAR 
Act of 2010 to respond to the BP oil spill in the Gulf of Mexico.
  Mr. Chairman, one of the many important provisions of this bill 
requires the EPA to do a new rulemaking procedure to establish baseline 
levels of toxicity and effectiveness that takes into account a study of 
the acute and chronic risks posed by the use of toxic dispersants. 
Quite simply, the EPA must determine whether or not it's safe to use 
these dispersants. Not just which dispersant is the safest, but whether 
or not they're safe at all.
  I offered an amendment in the Transportation Committee to ban the use 
of these toxic dispersants until the rulemaking and study in the bill 
determine they are safe. I am very pleased that my amendment is 
included in the final bill before us today and I thank Chairman 
Oberstar for his support.
  The fact is that nobody today can guarantee that dispersants are 
safe. The only thing dispersants seem to do is push the oil below the 
surface, making it harder to see the damage and determine liability and 
making it harder to boom and skim the oil off the surface. The only 
benefit seems to be for PR purposes.
  Dispersants simply shift the oil to another part of the ecosystem 
while increasing the toxins in the gulf harming marine life and 
contaminating the water column. In fact, researchers have recently 
found evidence of dispersants in blue crab larvae from Louisiana to 
Florida, indicating the dispersants have already made their way into 
the food chain.
  Let us never again perform a large uncontrolled experiment with a 
huge population of people and an entire ocean as the experimental test 
vehicle. Let us be sure that the dispersants are safe before we subject 
the marine life and the human population to them.
  Mr. Chair, I rise in support of the Consolidated Land, Energy and 
Aquatic Resources (CLEAR) Act of 2010 to respond to the BP oil spill in 
the Gulf of Mexico.
  There are many important provisions in this bill, such as the 
increased safety regulations for offshore oil rigs, the elimination of 
the liability cap and the inclusion of damages for

[[Page 14842]]

human health in the Oil Pollution Act. In the interest of time, I want 
to focus my comments on the provisions dealing with the controversial 
use of toxic dispersants.
  This bill requires the EPA to do a new rulemaking procedure to 
establish baseline levels of toxicity and effectiveness that takes into 
account a study of the acute and chronic risks posed by the use of 
dispersants. Quite simply, the EPA should determine whether or not it's 
safe to use these dispersants. And not just which one is the safest, 
but whether or not they're safe at all. This is what should have been 
done in the first place, and it is important that we make sure it is 
done moving forward.
  I offered an amendment to the bill in the Transportation Committee to 
impose a moratorium on the use of these toxic dispersants until the 
rulemaking and study in the bill are complete. I am very pleased that 
my amendment is included in the final bill before us today, and I thank 
Chairman Oberstar for his support and willingness to advance this 
critical public health and environmental protection.
  The fact is there is no scientific evidence that dispersants can be 
effective in an oil spill of this magnitude, and nobody can guarantee 
they are safe. I have heard experts and agency officials argue the 
contrary. Well, if these dispersants really are safe, then there should 
be no problem proving so under the terms of the bill. In the meantime, 
we should not presume these toxic dispersants are safe, and we should 
not use the Gulf or anywhere else that suffers an oil spill as an 
experimental laboratory.
  The only thing dispersants seem to do is push the oil below the 
surface making it harder to see the damage and determine liability, and 
making it harder to boom and skim the oil off the surface. The only 
benefit seems to be for PR purposes.
  Dispersants simply shift the oil to another part of the ecosystem, 
while increasing the toxins in the Gulf, harming marine life, and 
contaminating the water column. In fact, researchers from Tulane and 
the University of Southern Mississippi have found evidence of 
dispersants in blue crab larvae from Louisiana to Florida indicating 
that it has already made its way into the food chain.
  So far, over 1.8 million gallons of dispersant have been used in the 
Gulf, and people are getting sick--from the dispersants, from the oil, 
or from some mixture of the two. There is already a name for the 
illness that plagues many of these people--toxicant-induced loss of 
tolerance, or TILT--in which you can no longer tolerate exposures to 
household chemical products, medication or even food. There are 
numerous reports of people being hospitalized, and several health 
experts are concerned that this is just the beginning. A group of 
fishermen has filed a class action lawsuit against BP and the 
dispersant manufacturer, and another personal injury lawsuit was just 
filed by Gulf Coast residents who have suffered adverse health effects 
from exposure to these toxins.
  As many of you know, I have been greatly concerned that we are 
repeating the same mistakes of 9/11 where thousands of responders and 
area residents are now sick after the failure of the Federal Government 
to provide adequate oversight or enforcement to prevent exposure to 
toxic chemicals. Luckily, in the case of the Gulf Oil Spill, BP is the 
clearly responsible party. However, it is up to us to ensure that BP 
and the dispersant makers are not allowed to evade liability or shift 
the cost to the taxpayers for any potential health effects. But more 
importantly, we must do everything we can to prevent people from 
getting sick in the first place.
  This bill makes significant progress to protect the safety and 
wellbeing of public health and the environment. I thank Chairman 
Oberstar and Chairman Rahall for their hard work and commitment to 
these issues. I urge all my colleagues to support the bill.
  Mr. HASTINGS of Washington. Mr. Chairman, I am pleased to yield 2 
minutes to the gentleman from Louisiana (Mr. Cassidy), a member of the 
Natural Resources Committee.
  Mr. CASSIDY. Mr. Chairman, supposedly today we unite to bring relief 
to gulf coast families. But I tell you, if you vote for this bill, 
there is no unity with gulf coast families. This bill actually prolongs 
the misery of the gulf coast. It kills jobs.
  How does it do so? It raises taxes on domestic oil and gas but not on 
foreign. We're going to prejudice towards a foreign product. It's a 
reverse tariff. Call it a jobs program for OPEC.
  Now the $22 billion that we raise, by the way, isn't to benefit the 
gulf. It's to buy parkland across the United States. So when everybody 
says we're going to raise $22 billion for the gulf, they're raising $22 
billion for parklands across the United States.
  And now we're going to raise the liability caps because we're going 
to stick it to Big Oil. We're not sticking it to Big Oil. What we're 
doing is we're sticking it to small and medium size independent 
producers who control 90 percent of the leases and, by the way, create 
300,000 jobs. This bill kills jobs.
  And what is most egregious is the ``Buy American'' provision. We're 
not only helping the gulf; we're patriotic. Oh, my gosh. But let's look 
at it.
  We haven't built a deepwater rig from beginning to end in over 10 
years in the United States. By June of 2011, we've got to create the 
infrastructure and put out the rigs in order to drill. Now what we do 
do here is the high value-added, high-tech buildup on top of the hull 
type job. Those are gone because we don't have the capability to build 
the hull.
  This bill is supposed to help the Louisiana gulf coast. The Louisiana 
gulf coast says, ``Keep your help. We would rather have our jobs.''
  Mr. RAHALL. May I have the time on all sides, please, Mr. Chairman, 
and who has the right to close.
  The CHAIR. The gentleman from West Virginia has 8\1/4\ minutes 
remaining and the right to close. The gentleman from Florida has 3\1/2\ 
minutes remaining. The gentleman from Washington has 7 minutes 
remaining.
  Mr. RAHALL. Mr. Chairman, I yield 1 minute to the gentleman from 
Wisconsin (Mr. Kind), a valued member of our Committee on Natural 
Resources and very helpful in our efforts to preserve the Land and 
Water Conservation Fund.
  Mr. KIND. Mr. Chairman, our vote today is a very simple choice. It's 
a choice of whether we're going to stand with the workers of the oil 
and gas industry, with the families of the gulf region, with the 
taxpayers of this country, or whether we choose to stand with the 
powerful special interests known as Big Oil. I choose to stand with the 
American people. And here is why.
  This legislation is going to increase safety standards to protect 
workers. It's going to increase the liability limits so that those 
responsible pay. It's going to reform the ethics standards to end the 
revolving door between industry and oversight functions. And it's also 
going to live up to the promise of funding the Land and Water 
Conservation Fund so that those companies extracting resources on our 
public lands help conserve and protect our natural resources.
  In a little bit, I and others will offer an amendment under the Land 
and Water Conservation Fund so that a dedicated portion of that 
increases access for hunters, fishermen and outdoor recreationists to 
the 35 million acres that are currently cut off and isolated from our 
use.
  This is a good bill. It's necessary in the shadow of the worst oil 
disaster in our Nation's history. I encourage my colleagues to support 
it and the amendment that I will be offering.

                              {time}  1420

  Mr. MICA. I reserve the balance of my time.
  Mr. HASTINGS of Washington. Mr. Chairman, I am pleased to yield 1 
minute to the gentleman from Louisiana (Mr. Scalise), a member of the 
Energy and Commerce Committee.
  Mr. SCALISE. Mr. Speaker, I want to thank the gentleman from 
Washington for yielding.
  I rise in opposition to the CLEAR Act, and the only thing clear about 
this legislation is that it's going to raise $22 billion in new taxes 
on American families and run more jobs overseas.
  If you look at the bill, first of all, when you talk about their $22 
billion tax, which, by the way, is yet one more violation of President 
Obama's pledge that he won't tax American families that make below 
$250,000, because they are going to pay the bulk of their new tax. It 
also discriminates by only applying it to American energy producers.
  As people's heating bills are going to be going up in the winter, and 
their gas bills are going to be going up all throughout the year, they 
are going to be wondering, what is this liberal leadership running 
Congress doing? They

[[Page 14843]]

are raising taxes on American families and running off more jobs when 
the provisions in this bill actually make it harder for our domestic 
energy producers to continue operating because the bill preserves Big 
Oil's ability to bid on future leases. But it eliminates 70 percent of 
their competition, the small domestic guys who are out there doing the 
same kind of drilling in a safe and environmentally friendly way. It's 
bad for jobs. It raises $22 billion in new taxes. This isn't the answer 
to help the gulf. It only helps OPEC.
  Mr. RAHALL. I reserve the balance of my time.
  Mr. MICA. I reserve the balance of my time.
  Mr. HASTINGS of Washington. Mr. Speaker, I yield 1 minute to the 
gentleman from Louisiana (Mr. Boustany).
  Mr. BOUSTANY. I thank the gentleman for yielding.
  Mr. Chairman, we in Louisiana have seen this tragedy firsthand, and 
we know about it more than anybody else in this Chamber.
  I will say this, there is an even bigger tragedy, it's the moratorium 
that's in place today which is leading to a hemorrhage of jobs. Just a 
couple of days ago, 300 jobs in my hometown gone, 300, and each day 
it's ratcheting up to a thousand jobs a day.
  This is a tragedy. It's a man-made tragedy. It's awful policy. I will 
tell you, this bill, on top of that tragedy, is going to add to more 
woe on the gulf coast, running up the cost of American energy 
production, killing more jobs.
  Let me just say this: the President said he wanted to double exports 
in 5 years. Well, his policies and the policies of our friends across 
the aisle are going to basically export American jobs.
  Mr. RAHALL. Mr. Chairman, I am very honored to yield 30 seconds to 
the chairman of the Education and Labor Committee in honor of the 
Whistleblower Act, a member of our Natural Resources Committee, the 
gentleman from California (Mr. George Miller).
  Mr. GEORGE MILLER of California. I thank the chairman for this 
legislation, and I am very happy that this legislation includes a 
responsible bidder so that the American people will know that those 
companies that bid on the Outer Continental Shelf, those lands that 
belong to all Americans, that the companies will be responsible, that 
we will check their safety records.
  We will not once again have a company like BP, which is out there 
with hundreds and hundreds of violations, while so many of the other 
companies that operate on the Outer Continental Shelf have minimal 
violations, one and two, and this company is completely out of control. 
We've got to make sure that the American taxpayer, that the American 
environment and the American Outer Continental Shelf are protected by 
responsible bidders.
  Mr. MICA. Mr. Chairman, I yield 30 seconds to the gentleman from 
Louisiana (Mr. Cao).
  Mr. HASTINGS of Washington. Mr. Chairman, I yield 1\1/2\ minutes to 
the gentleman.
  The CHAIR. The gentleman from Louisiana is recognized for 2 minutes.
  Mr. CAO. Mr. Chairman, for the past 3 months I have lived with my 
people down there in the gulf coast. I have cried with them, I have sat 
with them as they filed their claims. I went out in boats with them as 
they were cleaning up the oil, so I fully understand what my people 
need.
  I appreciate the congressional leadership trying to address a bill 
that will help my people, but H.R. 3534 does not do it. This bill 
doesn't create jobs, it destroys them. This bill doesn't clean up our 
shorelines, it creates task forces and layers of bureaucracy that will 
talk about them.
  This bill does not preserve our livelihood, it will devastate our way 
of life. This bill maintains a moratorium that is killing thousands of 
jobs in Louisiana.
  Where is the short-term and long-term funding to protect our 
coastline and to restore the oyster beds in fishing areas? Where are 
the comprehensive short-term and long-term job transition plans for 
displaced workers? Where is the long-term plan to address the mental 
and public health crisis, including the compound effect of multiple 
crises?
  Where are the jobs?
  My colleagues and I tried to amend this bill to address these issues 
and make sure that these three critical areas, environmental, economic 
and health, were addressed in this bill. This bill does not protect the 
people of the gulf coast. It is fundamentally disingenuous to tout any 
bill not addressing these three areas as a comprehensive oil spill 
response bill.
  My gulf coast colleagues and I will continue to fight for the needs 
of my people directly in harm's way.
  Mr. RAHALL. I yield 1 minute to the gentleman from Maryland, a valued 
member of our Natural Resources Committee, Mr. Sarbanes.
  Mr. SARBANES. Mr. Chairman, I want to thank Chairman Rahall for his 
leadership on this critical legislation. I was pleased to work with the 
chairman to ensure that CEOs of oil companies are held accountable for 
the safety of their company's drilling operations.
  We developed language included in the legislation that requires oil 
company CEOs to certify their drilling and spill response plan 
capabilities before receiving a permit to proceed. That language has 
been further strengthened by adding a provision to impose civil 
penalties on any CEO that files a false certification.
  Penalties of consequence will force CEOs to take this process 
seriously and make it significantly less likely that companies submit 
inferior or faulty plans. The best CEOs will take this requirement in 
stride, recognizing it is a fair expectation of them. This provision 
will ensure accountability and make it less likely that a spill of this 
consequence will happen in the first place.
  I rise today in strong support of the Consolidated Land, Energy and 
Aquatic Resources Act (H.R. 3534). The legislation includes significant 
and wide-ranging reforms to ensure that oil and gas development on 
federal lands and waters is only done when it can be transparent and 
safe.
  The BP Deepwater Horizon Oil Spill has reinforced my very serious 
concerns about the effect of offshore drilling on coastal communities 
and maritime ecosystems. The tragedy in the Gulf of Mexico, which 
claimed the life of 11 people and released millions of gallons of crude 
oil into a fragile marine ecosystem, is a sad reminder of the inherent 
safety, environmental, and economic risks associated with offshore 
drilling. Oil drilling operations, no matter how expensive or 
technologically advanced, can never completely eliminate the risk of a 
major disaster. Like other accidents in the past, the long-term impact 
of this spill on the Gulf coast's fragile wetlands and local fishing 
communities will be devastating and long lasting.
  BP actually had a response plan to deal with the Gulf of Mexico oil 
spill. Unfortunately, it was a farce. The plan listed a wildlife expert 
that had been deceased since 2005 and said that sensitive biological 
resources in the Gulf included walruses, sea otters, sea lions and 
seals, none of which actually live there. BP also stated that it could 
handle a worst case oil discharge scenario 10 times the size of the 
Deepwater Horizon disaster. They clearly did not take this important 
responsibility seriously. Even when these glaring inaccuracies were 
made public, no single official at BP was responsible for the plan.
  As this legislation was considered in the Committee on Natural 
Resources, I worked with Chairman Rahall to include language making the 
CEO at each oil company directly responsible for certifying the safety 
and adequacy of their drilling and spill response plans. I also offered 
an amendment today, included in the manager's amendment, which would 
subject the CEO to civil penalties if he or she files a false 
certification or their company fails to develop or maintain the 
capabilities included in their response plans. This requirement and the 
potential penalties should result in self-correcting behavior, forcing 
CEOs to take this process seriously and making it significantly less 
likely that companies submit inferior or faulty plans.
  It is imperative that there be clear consequences for substandard 
response plans or we could have a repeat of the disaster that unfolded 
in the Gulf of Mexico this summer. Adding this amendment ensures there 
is accountability when a CEO certifies a faulty plan and makes it much 
more likely that companies will appropriately scrutinize those plans. I 
believe that responsible CEOs will recognize this new requirement for 
what it is--a very basic standard that should be a best practice for 
responsible companies anyway. But for those

[[Page 14844]]

who try to cut corners, this framework will certainly give them pause 
because there are real consequences for irresponsible behavior.
  I also strongly support the funding included in this bill for 
conservation of natural, historic and cultural sites around the Nation. 
The legislation allocates a small portion of offshore drilling fees to 
the Land and Water Conservation Fund for the preservation of vital land 
and water resources throughout the Nation. First envisioned by 
President Eisenhower, we have neglected this fund for far too long. 
Today this legislation delivers on past promises and supports the 
conservation of environmentally sensitive lands and critical habitat, 
especially shoreline areas such as those on the Chesapeake Bay. It also 
allows for conservation of rivers, lakes, recreational areas, and 
trails, as well as state and local parks for biking, hunting, fishing, 
and wildlife watching. Finally, the legislation provides resources for 
the Historic Preservation Fund to maintain our national historic sites 
that add so much to the character and culture of our Nation.
  I strongly support this much needed legislation and I would encourage 
my fellow Members to support this bill.
  Mr. HASTINGS of Washington. Mr. Chairman, I am pleased to yield 1 
minute to the gentleman from Texas (Mr. Brady).
  Mr. BRADY of Texas. Mr. Chairman, this bill is a thinly disguised 
roadblock, a permanent roadblock to American energy.
  It will drive American companies out of the gulf, delay future 
drilling, increase dependence on foreign oil, kill 300,000 good-paying 
U.S. energy jobs and levy a new $22 billion tax on American energy, but 
not on foreign oil. It includes a protectionist measure that the White 
House itself is troubled about that invites retaliation, will kill U.S. 
jobs and prevent repairs from occurring in U.S. shipyards.
  This is a choice between American energy workers and foreign oil. No 
Texas lawmaker, no gulf State lawmaker can support this bill and say 
they truly care about energy workers' jobs in America.
  Mr. RAHALL. Mr. Chairman, I yield 1 minute to the gentleman from 
Michigan (Mr. Stupak).
  Mr. STUPAK. I rise to thank Chairwoman Slaughter and Chairman Rahall 
for accepting my amendment reaffirming the permanent ban on oil and gas 
drilling in and under the Great Lakes.
  I also want to thank Chairman Miller for joining with me in adding 
protections from bad actors that pollute the environment, endanger 
worker safety and threaten the health and welfare of the public.
  This legislation prevents these bad corporate actors from being 
awarded Federal leases and drilling permits. Whether it's BP in the 
Gulf of Mexico or Enbridge pipeline in Michigan, we need to give 
Federal regulators the flexibility to prevent oil companies with poor 
safety and environmental records from accessing our natural resources 
in reckless disregard for safety and our environment.

                              {time}  1430

  As chair of the Energy and Commerce Oversight Investigation 
Subcommittee, I have held four hearings on the Deepwater Horizon spill 
and uncovered serious problems of how BP cut corners to save money that 
led to the gulf oil spill. This legislation begins to correct these 
problems, and I urge my colleagues to vote for this legislation.
  The CHAIR. The gentleman from West Virginia has 4\3/4\ minutes 
remaining. The gentleman from Florida has 3 minutes remaining. The 
gentleman from Washington State has 2\1/2\ minutes remaining.
  Mr. HASTINGS of Washington. Mr. Chairman, I am very pleased to yield 
1 minute to the gentleman from Texas (Mr. Gene Green).
  Mr. GENE GREEN of Texas. I want to thank my colleague from Washington 
State for allowing me 1 minute.
  Mr. Chairman, I rise in strong opposition to H.R. 3534, the CLEAR 
Act, because it will kill jobs, increase our reliance on foreign oil, 
and has become a vehicle for controversial and extraneous provisions 
that do not address the issues at hand--the safety of our offshore oil 
production.
  I am proud to represent a district that does everything energy, from 
constituents who work offshore, to service companies, to refineries, to 
chemical plants downstream. I strongly support making production safer 
and cleaner, whether it's offshore, on land, or in our industrial 
facilities.
  No one questions unlimited liability on the responsible party for all 
environmental cleanup costs, but this bill goes so far that it would 
make it unlimited also for whatever economic damage. What is going to 
happen is it will put at serious risk competitive investment in the 
Gulf of Mexico and potentially precipitate a future energy 
affordability crisis. Effective legislation can be achieved that will 
ensure the continued development of the gulf resources in a responsible 
and safe manner while preserving the ability of our independent oil and 
gas exploration and production companies to operate offshore.
  This legislation will instead make it impossible for these producers, 
most of which are small businesses, to get insurance to drill and drive 
hundreds of production and servicing companies out of business.
  This is the last thing the Gulf Coast and our recovering economy 
needs.
  If you want to eliminate jobs and hundreds of small businesses, vote 
for this bill.
  Secondly, this bill contains several extraneous provisions that have 
nothing to do with ensuring the safety of our offshore production. In 
football, we call this piling on.
  Section 728 of the bill subjects oil and gas construction activities 
to storm water discharge permits--a regulatory requirement 
inappropriate for oil and gas operations, which could place entire 
projects and significant capital at risk and has nothing to do with 
safety.
  This provision mischaracterizes the issue, placing preparatory steps 
for oil and gas production in the same category as building 
construction. These are two very different things.
  The Department of Energy estimates that such regulation could result 
in the loss of future production up to ten percent of both current U.S. 
oil production and current U.S. natural gas production. Again, if you 
want to kill U.S. jobs, vote for this bill.
  Section 802 of the bill imposes a conservation fee of $2 per barrel 
of oil, or 20 cents per million BTU of natural gas, for production from 
all new and existing federal onshore and offshore leases, a cost that 
will eventually be passed on to consumers.
  While I am a member of the Sportsman's Caucus and a strong support of 
the Land and Water Conservation Fund, this fee targets onshore 
production, which has no place in a bill responding to the BP oil 
spill.
  Section 241 compels companies to renegotiate their 1996-2000 
deepwater royalty relief leases or else be ineligible to bid on new 
leases.
  This has nothing to do with responding to the BP oil spill.
  For these reasons and others, I strongly encourage my colleagues to 
vote against this bill.
  This bill will kill jobs, hurt our domestic production, and has 
become a vehicle for controversial and extraneous provisions that do 
not address the issue at hand.
  Mr. RAHALL. Mr. Chairman, I reserve the balance of my time.
  Mr. MICA. Mr. Chairman, I am pleased to yield 1 minute to another 
gentleman from Texas affected by this, the distinguished gentleman, Mr. 
Gohmert.
  Mr. GOHMERT. Mr. Chairman, at a time when we're billions of dollars 
behind on what we need to spend to keep up our parks and the Federal 
land that's owned right now, this bill irresponsibly adds $900 million 
per year for 30 years. It's not enough that we're going to put children 
in debt for generations; now we're going to keep spending money they 
don't want spent. They want us to stop the bleeding so the body can get 
healthy again.
  One thing about this CLEAR Act is clear: It's going to cause more 
people to lose jobs, it's going to hurt more State and local 
governments by buying more land the Federal Government can't take care 
of, but takes that land off the rolls. Please, for goodness sake, let's 
stop the bleeding--and in this case the gushing forth of this Nation's 
blood and its tax dollars--and vote this down.
  Mr. RAHALL. Mr. Chairman, I yield 1 minute to the gentleman from 
Washington (Mr. Inslee), another member of our Natural Resources 
Committee.
  Mr. INSLEE. Mr. Chairman, Republicans and Democrats mourned the 
losses in the gulf, and it is very disappointing that my Republican 
friends

[[Page 14845]]

will not stand to try to prevent this tragedy.
  The fact is, oil is killing the oceans in many ways--in one way, in a 
small way, by this giant oil slick, but in a large way because of 
carbon pollution. I just think we can't have this debate without 
recognizing this. In fact, every oil well that we drill puts carbon 
pollution in the atmosphere when we burn that oil. That carbon 
pollution then goes into the oceans, into solution, and that carbon 
pollution makes carbonic acid. The oceans today are 30 percent more 
acidic because of the oil we burn.
  Let me show you what this has done to the bottom of the food chain. 
This is a picture of plankton, what happens when you expose it to ocean 
water that is as acidic as it will be at the end of the century; 
plankton dissolve in the water.
  This bill is not too much; if anything, it is too little. Our Nation 
needs an energy policy so we stop carbon pollution. That is America's 
destiny.
  The CHAIR. The gentleman from West Virginia has 3\3/4\ minutes 
remaining. The gentleman from Florida has 2 minutes remaining. The 
gentleman from Washington State has 2\1/2\ minutes remaining.
  Mr. HASTINGS of Washington. Mr. Chairman, I reserve the balance of my 
time.
  Mr. RAHALL. Mr. Chairman, I am glad to yield 30 seconds to the 
distinguished chairman of the Defense Appropriations Subcommittee, Mr. 
Dicks.
  Mr. DICKS. Mr. Chairman, I rise in very strong support of this 
legislation.
  My colleague, Congressman Inslee from Washington State, talked about 
ocean acidification. This is one of the most serious issues that the 
planet faces. This legislation also will free up money, make it 
mandatory, and land and water conservation does preserve the right of 
the appropriations committee to appropriate that money, but we'll get 
those dollars that we haven't been getting before. We also have a 
provision in here for the oceans.
  So this is a great bill. I urge all my colleagues to vote for it 
today.
  Mr. MICA. Mr. Chairman, I reserve the balance of my time.
  Mr. HASTINGS of Washington. I reserve the balance of my time.
  Mr. RAHALL. Mr. Chairman, I yield 1 minute to the gentleman from 
Oregon (Mr. Blumenauer).
  Mr. BLUMENAUER. I appreciate the gentleman's courtesy.
  Mr. Chairman, this is about keeping faith with the American public. 
It's not the end, but it's an important beginning.
  Large oil companies pay some of the lowest fees to American taxpayers 
compared to what oil companies pay anywhere in the world while enjoying 
unnecessarily expensive, outmoded tax breaks. And some, by bookkeeping 
errors, pay no royalties at all while they extract oil. Under this 
legislation, they will have to choose between continuing this rip-off 
or getting future leases.
  It will make the Land and Water Conservation Fund properly funded, 
making an impact on communities all across the country, and it 
leverages new resources. It does all this, as the chairman says, with a 
net benefit of deficit reduction of $5.3 billion over the next 5 years.
  Protect the taxpayer, protect the environment, and improve our 
communities by approving this legislation.
  Mr. MICA. Mr. Chairman, I yield myself the balance of my time to 
close for the T&I Committee.
  The CHAIR. The gentleman is recognized for 2 minutes.
  Mr. MICA. Mr. Chairman, I was hoping we could have come here in a 
bipartisan effort to pass legislation that would have made certain that 
the tragic spill, the loss of life, be prevented, that we never see 
that happen off America's shores again. We do need domestic oil 
production. We don't want to be beholden to foreign fossil fuels.

                              {time}  1440

  Unfortunately, this bill misses the mark. Unfortunately, this bill is 
the typical Democrat solution. It imposes huge taxes--$22 billion in 
taxes. It overregulates.
  Yes, we want proper regulation. We saw where the mark was missed. We 
saw where the law did not keep up with technology. Though let me say we 
missed the mark, too, in holding people responsible. We must hold 
people responsible, and that is whether it is BP or anyone who had 
anything to do with this or whether it is the administration officials 
who stamped the permit allowing the drilling to proceed in deep water, 
as they did, without the proper protections of the environment.
  Only 27 deepwater wells off the coast--only 27--have exploration, 
have production. This administration missed the mark. We want these 
people held responsible, and we also want it in law. You know, the guy 
who issued that permit, that one-page permit with a flawed backup 
cleanup for oil spills, is still on the job. He is in charge of the 
moratorium, which is another overreach that put people out of work, 
instead of being in charge of going down and making certain that the 
production and that those exploration wells were doing well.
  They missed the mark. That is a shame for the American people, and it 
is a shame for the future of containing the tragedy we have seen here.
  I yield back the balance of my time.
  Mr. HASTINGS of Washington. I yield myself the balance of my time.
  Mr. Chairman, this debate has been very interesting because most of 
the talk on the other side of the aisle has been on the oil spill. Most 
of the talk on this side of the aisle has been on the increased taxes 
and on the increased spending.
  There is broad agreement that we have to respond in a responsible way 
to what happened, to the tragedy in the gulf. Nobody argues with that. 
There is broad support on this side. What we object to--and we have 
said this over and over and over again--is the extraneous material that 
is added to this bill.
  I didn't hear anybody, for example, on the other side defend the huge 
tax increases that are embodied in this bill. I didn't hear anybody on 
the other side of the aisle defend the $30 billion entitlement that is 
embodied in this bill. That is what our concern is because that is in 
this bill. As a matter of fact, in my opening remarks, I made reference 
to the tax increases, and my good friend, the chairman of the 
Transportation Committee, wondered about the tax increases. I pointed 
them out to him. They're on page 224. To his credit, he came up here 
and said, You're right. I appreciate that very much because that really 
is what the issue is.
  If you want to get bipartisan approval dealing with the gulf coast 
oil crisis, we can do that in a bipartisan way, but don't add 
extraneous material. That is our objection to this bill, because 
extraneous material is increased taxes, more spending, resulting in a 
loss of jobs.
  I urge my colleagues to vote ``no'' on this bill, and I yield back 
the balance of my time.
  The CHAIR. The gentleman from West Virginia has the right to close 
and has 2\1/4\ minutes remaining.
  Mr. RAHALL. Mr. Chairman, the Republicans are at it again--
apologizing for Big Oil against the interests of the American people.
  The fact of the matter is that House Republicans were for a 
conservation fee before they were against it, and now they're coming to 
the floor today and accusing the majority of all of these huge tax 
increases, but they are opposed to the CLEAR Act. House Republicans 
voted for a $9 conservation fee in energy legislation sponsored by the 
former Republican Congressman, now Governor of Louisiana, Bobby Jindal. 
That vote was on June 29, 2006. I have it here: 192 Republicans voted 
``yes'' for a $9 conservation fee, and 155 Democrats voted against it.
  What is the difference between then and now? I'll tell you the 
difference. The Democrats' fee is smaller and Big Oil is richer. That 
is the difference. The House has passed similar conservation fees with 
Republican support four different times since 2007, and I could list 
them.
  The fact of the matter is the conservation fee will have no impact on 
the prices at the pump. As we all know, the prices at the pump are 
determined by the world market. The $2 per barrel fee will be paid for 
by Big Oil, not by

[[Page 14846]]

the American consumer. So I respond by saying the Republicans' raising 
this conservation fee as a tax increase is simply not true.
  The Republicans will also say that we are proposing $30 billion in 
mandatory spending that is unrelated to the oil spill. We just heard my 
dear friend and ranking member say that. Not true. There they go 
again--apologizing for Big Oil.
  The fact is that the Land and Water Conservation Fund was visualized 
by Dwight Eisenhower, proposed by John Kennedy, signed into law by 
Lyndon Johnson, and is financed by royalties from offshore oil and gas 
drilling. The dollars raised from depleting one of our natural 
resources goes toward protecting another. The LWCS is a decades-old 
promise to the American people that, if we allow energy companies to 
deplete public resources off our shores, we will require them to 
dedicate that back in order to help our people and to help our 
coastlines. That's what this bill is all about.
  I urge support.
  Mr. HASTINGS of Washington. Mr. Chair, I submit the following:

                                       Office of the Governor,

                                      Cheyenne, WY, July 27, 2010.
     Hon. Nancy Pelosi,
     Speaker of the House, Office of the Speaker, U.S. Capitol, 
         Washington, DC.
       Dear Speaker Pelosi: The State of Wyoming has deep concerns 
     at the haste with which Congress is attempting to legislate 
     new oil and gas regulatory processes under H.R. 5626. 
     Provisions which have been added to this bill would affect 
     onshore leasing and energy production and rob the States of 
     their traditional role of overseeing energy production within 
     the States. I urge you to delay action until more definitive 
     information can be obtained and provided to Members of 
     Congress.
       Based on the hearings and focus that Congress to date has 
     brought to bear on the tragedy in the Gulf, an expansion of 
     the intended reach of any legislation to respond to this 
     offshore spill and precipitously cover onshore energy 
     production would be a mistake. The State of Wyoming has had 
     effective regulation of the oil and natural gas industry 
     through a variety of programs designed to gather and share 
     information, technology and best regulatory methods for 
     several decades.
       The implications of the bill's encroachment to onshore 
     energy leasing and production are ominous as it represents a 
     takeover of state regulation of well construction and 
     permitting and gives it to the Federal government at the 
     expense of long-established State authority. Such preemption 
     would occur whenever the Department of the Interior 
     determines that a state is not adequately regulating oil and 
     gas, or because of citizen lawsuit. This is overreach of the 
     first order.
       The State of Wyoming has a proven history of oversight of 
     the energy industry and has effectively overseen industry 
     activity without federal oversight for decades. Regulatory 
     requirements and inspections of well sites are important 
     components of our state program and the prevention of 
     accidents and environmental protection are among our highest 
     priorities.
       It is my view that the federal government lacks both the 
     justification and the expertise to effectively oversee oil 
     and natural gas production in the State of Wyoming and I urge 
     you to reject the preemption of Wyoming's and other State's 
     authority to perform this important function.
           Sincerely,
                                                 Dave Freudenthal,
                                                         Governor.
                                  ____
                                  
                                                    July 29, 2010.

       Dear Texas Congressional Delegation: We write to express 
     our strong disagreement with provisions in pending 
     legislation that threaten the rights of states to regulate 
     oil and gas exploration and production on state lands and 
     waters. We call on you to reject any proposal that interferes 
     with state regulation of oil and gas safety, exploration and 
     production on non-federal land and waters.
       The Deepwater Horizon disaster and the subsequent impacts 
     on the Gulf Coast states occurred on the federal government's 
     watch. The Macondo well is located in a federal offshore 
     lease area. The federal Minerals Management Service and the 
     U.S. Department of the Interior failed to properly evaluate, 
     oversee and regulate drilling in federal waters. It is the 
     federal government that is managing the containment and 
     cleanup effort. It is agencies of the federal government that 
     are engaged in unjustified efforts to impose indiscriminate 
     and illegal drilling moratoria, adding economic insult to 
     injury.
       In light of these federal failures, it is incomprehensible 
     that the United States Congress is entertaining proposals 
     that expand federal authority over oil and gas drilling in 
     state waters and lands long regulated by states. Several 
     bills and amendments to be considered this week, for the 
     first time in the history of our nation, attack successful 
     state laws and agencies regulating oil and gas exploration 
     and production on state or private lands and waters. 
     Furthermore, some of these proposals grant unilateral 
     discretion to an unelected federal bureaucrat as to whether 
     or not to allow states to continue regulatory systems 
     established by duly elected state officials, and even create 
     the possibility that such authority would be given to an 
     official recently found by the federal courts to have engaged 
     in arbitrary and capricious decisionmaking on this very 
     topic.
       While Congress has every right to consider whatever 
     regulation it deems appropriate on activities in federal 
     lands and waters, it is not permitted to force states to 
     submit their successful state regulations and laws to a 
     federal agency for approval and allow that agency to 
     unilaterally dictate changes. As you well know, the 10th 
     Amendment to the United States Constitution states, ``powers 
     not delegated to the United States by the Constitution, nor 
     prohibited by it to the states, are reserved to the states 
     respectively, or to the people.'' Laws like the one you are 
     considering are unfounded and dangerously destructive of 
     state sovereignty.
       We request that Congress respect our state safety and 
     energy laws. Federal laws and regulations failed to stop the 
     Deepwater Horizon disaster. Given the track record, putting 
     the federal government in charge of energy production on 
     state lands and waters not only breaks years of successful 
     precedent and threatens the 10th Amendment to the United 
     States Constitution, but it also undermines common sense and 
     threatens the environmental and economic security of our 
     state's citizens.
           Sincerely,
         Rick Perry, Governor; David Dewhurst, Lieutenant 
           Governor; Joe Straus, Speaker of the House. Greg 
           Abbott, Attorney General; Jerry Patterson, Land 
           Commissioner; Victor G. Carrillo, Chair, Railroad 
           Commission of Texas; Elizabeth Ames Jones, 
           Commissioner, Railroad Commission of Texas; Michael L. 
           Williams, Commissioner, Railroad Commission of Texas; 
           Troy Fraser, Chair, Senate Committee on Natural 
           Resources; James L. ``Jim'' Keffer, Chair, House 
           Committee on Energy Resources.
                                  ____



                                                      Alliant,

                                        Houston, TX, May 10, 2010.
     Hon. Robert Menendez,
     U.S. Senator, Senate Hart Office Building, Washington, DC.
       Dear Senator Menendez: We are retail insurance brokers. 
     Among our clients are offshore contractors, operators and 
     non-operators, both small and large market cap independent 
     entities, with interests in the US Gulf of Mexico. Our 
     clients are involved in almost every aspect of offshore 
     exploration and development work. We have been asked to 
     comment upon the amount of insurance that is available from 
     the commercial insurance market for third party pollution 
     liability for operators and non-operators before and after 
     the Macondo well incident. Prior to the incident, we estimate 
     the maximum working capacity available in the commercial 
     insurance market (i.e., the limit which could be purchased) 
     was $1.5 billion (for 100% interest--i.e., the limit to be 
     shared between operators and non-operators in any common 
     endeavor). Subsequent to the Macondo incident, we believe the 
     available working capacity has reduced by 15% and the cost 
     involved in procuring this capacity is and will be 
     significantly higher than the pricing prior to the incident.
       If, as we understand, there is legislation under 
     consideration which would materially increase the liability 
     cap for economic damages from its current level of $75 
     million, based on our experience operators and non-operators 
     in the US Gulf of Mexico will be unable to obtain adequate 
     protection from insurance. The increase of the liability cap 
     will impact the economic structure of Gulf of Mexico 
     operations. If the liability cap is increased to the levels 
     we understand are under consideration, the fact that adequate 
     insurance protection is not available will dramatically limit 
     the participants in ongoing exploration and production 
     activities--in our view only major oil companies and NOCs 
     (National Oil Companies) will be financially strong enough to 
     continue current exploration and development efforts.
           Yours very truly,

                                           Benjamin D. Wilcox,

                                      Executive Vice President and
                                      Director, Marine and Energy.
                                  ____
                                  
                                                    National Ocean


                                       Industries Association,

                                     Washington, DC, June 8, 2010.
     Hon. Barbara Boxer,
     Chair, Senate Environment & Public Works Committee, Dirksen 
         Senate Office Building, Washington, DC.
     Hon. James M. Inhofe,
     Ranking Member, Senate Environment & Public Works Committee, 
         Dirksen Senate Office Building, Washington, DC.
       Dear Senators Boxer and Inhofe: Tomorrow, the Environment & 
     Public Works Committee will be conducting a legislative 
     hearing on S. 3305, the ``Big Oil Bailout Prevention 
     Liability Act of 2010.'' The National Ocean Industries 
     Association opposes this legislation in its current form.

[[Page 14847]]

       In the wake of the immense economic and environmental 
     impacts still developing in the Gulf, we understand the 
     desire of some in Congress to take immediate action, whether 
     it be to re-impose outright drilling bans or raise liability 
     caps on the offshore industry. As Congress and the 
     Administration continue to investigate the Deepwater Horizon 
     accident, it is very apparent that until we firmly understand 
     what vent wrong, it is premature to dictate broad and 
     possibly counter-productive solutions.
       There are numerous hearings and investigations underway to 
     delve into the root causes of the tragic explosion on the 
     Deepwater Horizon and resulting loss of well control. This 
     week alone, various Committees in Congress are conducting 
     nine separate hearings. Clearly, new information is pouring 
     in.
       In the meantime, an unprecedented response and cleanup 
     effort is underway involving over 17,000 people and thousands 
     of private and government vessels. The offshore industry is 
     participating fully and is also hard at work to stem the flow 
     of oil and protect the shorelines and natural resources of 
     the Gulf of Mexico. NOIA member companies are assisting BP in 
     its response efforts, and stand ready to cooperate in 
     hearings and investigations.
       In addition, the Administration has initiated 
     investigations through several avenues, which should allow 
     the federal government and the American people to put all the 
     pieces of the puzzle together for a complete picture. Once 
     complete, this picture will provide valuable information on 
     strategic, targeted measures for possible reforms in 
     planning, permitting, inspections, regulatory and statutory 
     regimes.
       The companies involved in the Deepwater. Horizon tragedy 
     have indicated their intent to pay for damages and economic 
     impacts beyond the current liability cap of $75 million, so 
     calls for limitless liability may be a solution in search of 
     a real problem. One thing that is clear is that raising the 
     liability caps as high as $10 billion or beyond will drive 
     most non-international producers out of the Gulf of Mexico. 
     This means less domestic energy production and more imports 
     of oil from politically unstable regions, along with 
     increased transportation of oil. The resulting concentration 
     of domestic offshore energy production will be in the hands 
     of a few multinational or nationalized companies.
       In addition, I encourage our policy makers to remember 
     that, despite this tragedy, America's need for domestic 
     energy has not changed and OCS development remains a vital 
     part of our overall national energy picture. Nearly a third 
     of our domestic oil comes from the Gulf of Mexico. No one can 
     argue the fact that demand for energy will only continue to 
     increase for the foreseeable future.
       We should resist the impulse toward knee jerk reactions and 
     proceed carefully when making decisions that affect the 
     future of our nation's energy supply.
           Sincerely,

                                                   Burt Adams,

                               Chairman, National Ocean Industries
                                                      Association.
                                  ____
                                  

                    [From the Hill, June 23, 2010.]

           Reasoned Debate Needed To Amend Energy Legislation

                       (By Senator James Inhofe)

       As oil continues to leak into the Gulf, President Barack 
     Obama and the Democratic leadership face a critical test: 
     Will they seek prudent measures to directly address the BP 
     disaster or will they exploit the tragedy by advancing 
     extraneous measures that drastically reduce domestic energy 
     production, or even enact new energy taxes on consumers and 
     small businesses?
       My sincere hope is that President Obama exhibits the 
     leadership necessary to engage in a reasoned debate--one that 
     produces the same outcome following the Exxon Valdez disaster 
     in 1989. After a year-long debate and bipartisan negotiation, 
     Congress unanimously passed the Oil Pollution Act in 1990. 
     The OPA has largely been untested, and some of my colleagues 
     believe it should be updated to account for new realities 
     produced by the BP spill. I couldn't agree more.
       Yet the leading proposal to amend the OPA could severely 
     curtail domestic energy production in the Gulf. The ``Big Oil 
     Bailout Prevention Act,'' introduced by Sen. Robert Menendez 
     (D-N.J.), is ostensibly motivated by the desire to make BP, 
     not the taxpayers, pay for the tragedy it unleashed. No one 
     disagrees with that. And no one disagrees that BP must fairly 
     and expeditiously compensate the various business owners now 
     out of work because of BP's actions. But if the Menendez bill 
     becomes law, more than BP could pay: The estimated 150,000 
     workers connected to the offshore oil and natural gas 
     industry could pay with their jobs and their livelihoods.
       As Federal District Court Judge Martin Feldman wrote in his 
     decision yesterday overturning the Obama administration's 
     wrong-headed moratorium on deepwater production, ``Oil and 
     gas production is quite simply elemental to Gulf 
     communities.'' This, and the other elemental fact that Gulf 
     energy production is essential to America's economy, is the 
     principal reason Congress should deliberate carefully on Gulf 
     spill legislation.
       I have objected four times to attempts to circumvent the 
     committee process and pass the Menendez bill in the Senate. 
     Emotions are no doubt running high, but we must resist the 
     urge to let emotion dictate the course of deliberations. The 
     legal and regulatory issues involved in legislating on this 
     issue are intricate and complex and therefore should compel 
     us to think carefully about how to proceed.
       I take pause on Menendez because of what the experts are 
     telling us. The bill could make exploration and production so 
     costly that only Big Oil companies such as BP, and state-
     owned firms, such as China's National Offshore Oil 
     Corporation, could afford to operate in the Gulf. Consider 
     INDECS insurance, which said of the Menendez bill: ``If we 
     have understood the proposals correctly, then it would appear 
     to us that the proposed bill will not act as `Big Oil Bailout 
     Prevention Liability Act of 2010', rather making it 
     impossible for anyone other than `Big Oil' to operate.''
       For a time, the Obama administration shared this view. Just 
     after the Menendez bill was introduced, Interior Secretary 
     Ken Salazar told the Senate Energy Committee that, ``It is 
     important that we be thoughtful relative to that, what that 
     cap will be, because you don't want only the BP's of the 
     world essentially be the ones that are involved in these 
     efforts, that there are companies of lesser economic 
     robustness.'' That the view of the administration then rashly 
     changed to endorse Menendez raises a question: what changed?
       One can only speculate; I regret that partisanship may have 
     intervened. Whatever the reason, we need a workable solution 
     that balances the important values of energy production, 
     environmental protection, safety and fairness for affected 
     parties. The Senate Committee on Environment and Public 
     Works, on which I serve as Ranking Member, plans to markup 
     the Menendez bill next week. I hope before then the 
     committee, and then the full Senate, can agree to a 
     bipartisan solution that achieves appropriate balance.
       That balance certainly won't be achieved if Democratic 
     leaders insist on attaching energy taxes and other unrelated 
     provisions to the eventual spill bill. And it certainly won't 
     be achieved if they insist on enacting a political agenda 
     animated by aversion to domestic energy production. 
     Nevertheless, I will continue work with my colleagues to 
     craft legislation that holds oil companies accountable 
     without putting jobs and America's energy security at risk.
                                  ____



                              Louisiana Oil & Gas Association,

                                   Baton Rouge, LA, June 30, 2010.
       Dear Members of the EPW Committee: We have just received a 
     copy of Chairwoman Boxer's second amendment to S. 3305. This 
     poison pill amendment seeks to end offshore drilling by 
     mandating truly unachievable regulations on the offshore oil 
     industry.
       We write you today to state our adamant opposition to this 
     amendment as it amounts to a permanent moratorium on 
     deepwater drilling in the United States. We strongly believe 
     we must learn from the mistakes of the Deepwater Horizon 
     incident to ensure safe and effective offshore drilling. 
     However, offshore jobs are critical to the economic success 
     of Louisiana, the Gulf Coast and the energy independence of 
     America.
       Senator Boxer's second amendment would impose a permanent 
     moratorium on deepwater drilling in the United States and 
     kill tens of thousands of jobs.
       The language imposes unachievable mandates because the 
     mandates are undefined. The uncertainty associated with these 
     undefined mandates, and the amendment in its entirety, 
     present insurmountable obstacles for the oil industry to 
     operate.
       We strongly urge you to vote against this permanent 
     moratorium and pursue more reasonable legislation that 
     promotes safe and effective drilling practices.
           Sincerely,
                                                    Don G. Briggs,
                                                        President.

  Mr. BISHOP of Utah. Mr. Chair, I submit the following:

                                      Lockton Companies, LLC.,

                                        Houston, TX, May 13, 2010.
     Hon. Robert Menendez,
     U.S. Senator, Senate Hart Office Building,
     Washington, DC.
       Dear Senator Menendez: Lockton Companies is the largest 
     privately owned insurance broker in the world, and through 
     Lockton Marine & Energy in Houston, we service the insurance 
     needs of many energy companies operating in the Gulf of 
     Mexico. Specifically, we specialize in the small to midsize 
     independent exploration and production companies that are 
     very active in drilling wells in the shallow and deepwater 
     Gulf of Mexico. In fact, two of our clients are in the top 10 
     largest lease holders and/or most active drillers in the Gulf 
     of Mexico; however, they are relatively small companies. 
     Exploration and production companies are supported by 
     thousands of workers all along the Gulf Coast from their own 
     employees to many small to midsized service companies' 
     employees. The Bureau of Labor and Statistics reported that 
     there were well over 100,000 petroleum-related workers and 
     greater than $12 billion in

[[Page 14848]]

     total wages earned in the Gulf Coast Region alone.
       Insurance is critical to our clients and all small to 
     midsized energy companies operating in the Gulf of Mexico. 
     All of the companies operating in the Gulf of Mexico 
     essentially go to the same insurance market to purchase their 
     liability insurance coverage. The insurance market for 
     offshore operations is relatively small, and prior to the 
     Macondo well incident, we estimated the total market capacity 
     for third-party pollution liability to be $1.3 billion to 
     $1.6 billion. Following the Macondo well event, we estimate 
     the capacity has dropped to $1 billion to $1.2 billion. 
     Furthermore, the cost for the insurance coverage has 
     increased substantially.
       The market for Oil Pollution Act (OPA) coverage is an even 
     smaller market, with total capacity of $200 to $300 million. 
     While large exploration and production companies are able to 
     certify on the basis of their balance sheet, most small and 
     midsized companies are dependent on purchasing OPA coverage 
     in the commercial insurance market.
       We understand there is legislation under consideration 
     which could significantly increase the liability cap for 
     economic damages from the current level of $75 million. Given 
     the limited capacity in the energy insurance market, a 
     material increase in the cap will eliminate insurance as an 
     option for many exploration and production companies. Without 
     insurance, many of the active exploration and production 
     companies would be unable to operate in the Gulf of Mexico. 
     This decision will affect thousands of people, their families 
     and their local economies.
       We respectfully request you give this issue careful 
     consideration, and we are more than happy to provide 
     supporting information on the energy insurance market 
     providing insurance for the Gulf of Mexico.
           Sincerely,
                                             John A. Rathmell, Jr.
                                  ____
                                  


                              Insurance Information Institute,

                                      New York, NY, July 19, 2010.
     Hon. Jim Oberstar,
     Chairman, House Committee on Transportation and 
         Infrastructure, Rayburn House Office Building, 
         Washington, DC.
       Dear Chairman Oberstar: Thank you once again for the 
     opportunity to testify before the House Committee on 
     Transportation and Infrastructure's June 9, 2010, hearing on 
     the ``Liability and Financial Responsibility for Oil Spills 
     under the Oil Pollution Act of 1990 and Related Statutes.''
       It has recently come to my attention that my testimony may 
     have been misinterpreted and that this misinterpretation may 
     have influenced language in the drafting of H.R. 5629, the 
     ``Oil Spill Accountability and Environmental Protection Act 
     of 2010.'' Specifically, in Section 3 of the June 29 draft, 
     the Act would increase the minimum level of proof of 
     financial responsibility for an offshore facility to $1.5 
     billion.
       The rationale for the increase to $1.5 billion figure has 
     been upon occasion traced back to my testimony in which I 
     discuss the current insurable limits of liability for 
     offshore operators. However, the $1.5 billion figure from my 
     testimony is a maximum available limit for third-party 
     liability coverage for the largest of operators, not a 
     suggested limit for certificates of financial responsibility 
     (COFR).
       On page 6 of my written testimony I state the following 
     about limits of third-party liability coverage:
       ``In terms of capacity, the typical third- party liability 
     limit purchased by large operators is approximately $1 
     billion.''
       On page 12, I reaffirm my prior statement:
       ``As discussed earlier in this testimony, the typical 
     maximum available limit of third-party liability coverage in 
     the offshore energy market today is approximately $1 billion 
     and with perhaps as much as $1.2 billion to $1.5 billion 
     available under some circumstances.''
       My statement is clearly distinct from any comment on the 
     appropriate limits for a COFR. Consequently, the use of the 
     $1.5 billion figure in the draft legislation is 
     inappropriate. Indeed, there are several problems associated 
     with adopting a $1.5 billion proof of financial 
     responsibility in the legislation current under 
     consideration:
       1. The $1.5 billion figure in my testimony is for total per 
     incident third-party liability coverage available in the 
     private insurance market for large offshore operators. Such a 
     figure therefore should not and cannot be construed as the 
     necessary or available COFR limit for operators of all size;
       2. Such limits are not available (or affordable) to smaller 
     operators;
       3. There is not sufficient capacity within the offshore 
     energy insurance industry to provide $1.5 billion in coverage 
     limits to all operators;
       4. The size of the COFR requirement should reflect the size 
     and nature of the drilling operation, rather than applying a 
     uniform COFR across all operators;
       To summarize, imposing a $1.5 billion proof of financial 
     responsibility requirement on all offshore operators is not 
     feasible. There simply does not exist anywhere near enough 
     capacity in the insurance sector to meet such a requirement.
       It has been my pleasure to provide input on this very 
     important issue. Consequently, I hope that the clarification 
     of my testimony provided above is of use to the Committee as 
     it continues to consider the details of this legislation.
       If you or your staff have any questions or comments, please 
     do not hesitate to give me a call at (212) 346-5520 or to 
     send me an email at [email protected].
           Sincerely,
                                                Robert P. Hartwig,

  Mr. SMITH of Nebraska. Mr. Chair, I submit the following:

                                     Lloyd & Partners Limited,

                                    London, England, May 10, 2010.
     Re Deepwater Horizon/Macondo Well Incident.
     To Whom it May Concern:


                         About Lloyd & Partners

       Lloyd & Partners is a London and Bermuda based Major 
     Account (complex risk) insurance broker specialising in 
     onshore and offshore energy insurance with premiums placed 
     annually in excess of USD1.5bn. Overall Lloyd & Partners 
     employs over 200 people and our 40 plus strong Energy team is 
     one of the largest and most respected teams in the London 
     market. We arrange both Property and Liability Insurance for 
     a wide range of Energy insureds including integrated oil 
     companies, exploration & production companies and drilling/
     service contractors.
       Available Liability Insurance Capacity under normal 
     Insurance conditions (policies with normal terms and 
     conditions)
       Prior to tine recent Gulf of Mexico drilling incident, 
     worldwide third party pollution liability capacity for 
     offshore energy operations was in excess of USD1.5bn for each 
     insured on a 100% basis (meaning the limits scaled to an 
     individual insured working interest in a project).
       Whilst the insurance market previously attempted to limit 
     their ``clash'' exposures (where they could pick up a loss 
     from more than one insured from the same loss) by scaling 
     their limits to an operating group company's working 
     interest, in the main they had previously thought of clashes 
     between operators and contractors as the Joint Operating 
     Agreement would have given them some comfort that only the 
     operator would be liable for a pollution loss, the concern 
     now is that a loss of the nature we are witnessing may result 
     in attempts to hold all the parties responsible regardless of 
     the provisions of the JOA.
       We have therefore already seen in the market a realisation 
     that if every party involved in the loss (operating group, 
     drilling contractor, other service contractors--such as mud 
     or cementing contractors--and blowout preventor manufactures) 
     are successfully sued then the market will be exposed to a 
     degree much larger than anticipated when committing capacity 
     to individual insureds. This has already resulted in at least 
     one major London energy liability insurance leader advising 
     us that they are cuffing back their maximum capacity for 
     individual insureds by a third.
       At this stage it is really impossible to accurately predict 
     what the exact impact of this loss will have on available 
     capacity but we think it could result in a reduction of such 
     capacity of around 15% to 30%.
       Available Liability Insurance Capacity under OPA 
     ``certificates''
       Where insurers are asked to provide full coverage under OPA 
     (being strict liability with direct access to insurers and no 
     defence of normal insurance policy terms and conditions) 
     capacity is much more restricted than normal third party 
     liability and we estimate available capacity would be no more 
     than USD150mm--USD200mm.


                                Pricing

       Prior to the recent incident the market was in a ``soft'' 
     phase where rates were low as a result of oversupply of 
     capacity, as not many insureds purchased the full available 
     capacity (typically offshore E&P companies would have 
     purchased on average somewhere around USD 250mm to USD 500mm 
     in limits.)
       There is not likely to be pressure from both sides of the 
     supply and demand equation, as capacity shrinks and demand 
     for higher limits materialises (as the recent loss highlights 
     the potential to insureds for a loss of a magnitude higher 
     than most are protected for) which coupled with the fact the 
     market will be looking to recoup the loss they will have to 
     pay out from this latest incident, is likely to result in a 
     significant increase in offshore liability insurance 
     premiums.


                    Proposed changes to legislation

       Currently OPA provides operators of offshore facilities a 
     limitation of USD 75mm for ``Economic Claims'' (loss of 
     earnings rather than clean-up costs or property damage caused 
     by pollution). Any significant increases in this limit will 
     cause insureds operations in US Waters to face the prospect 
     of significant self insurance, since (depending on the 
     amount) the insurance market will not have sufficient 
     capacity to provide cover for this in addition clean-up costs 
     and third party properties damage suits).
           Your sincerely,
                                                       John Lloyd,
                                                 Chairman and CEO.

[[Page 14849]]

     
                                  ____
                                             Independent Petroleum


                                       Association of America,

                                     Washington, DC, June 7, 2010.
     Hon. Barbara Boxer,
     Chair, Environment and Public Works Committee, Dirksen Senate 
         Building, Washington, DC.
     Hon. Jim Inhofe,
     Ranking Member, Environment and Public Works Committee, 
         Dirksen Senate Building, Washington, DC.
       Dear Senators Boxer and Inhofe: This Wednesday, the 
     Environment and Public Works Committee will hold a hearing on 
     S. 3305, the ``Big Oil Bailout Prevention Liability Act,'' in 
     response to the current oil spill crisis in the Gulf of 
     Mexico (GOM). The Independent Petroleum Association of 
     America (IPAA) is opposed to the proposal in its current 
     form.
       It is important to note that the tragic events surrounding 
     the Deepwater Horizon incident in the GOM will have a 
     significant impact on American offshore oil and gas 
     exploration and production for years to come. Our thoughts 
     and prayers go out to the families and communities affected 
     by the tragedy in the Gulf of Mexico and we stand ready to 
     help them as we move forward.
       Independent producers have operated responsibly in the GOM 
     for decades and hold roughly 90 percent of the leases, 
     producing about 30 percent of GOM oil and more than 60 
     percent of GOM natural gas. GOM production represents a 
     significant amount of energy supply for consumers all across 
     America, and it remains an essential component of America's 
     energy portfolio. The entire industry is dedicated to working 
     together to protect the environment and to contain the damage 
     from the spill. Many of our member companies have offered 
     supplies and services; others are directly helping with the 
     clean-up efforts.
       Controlling the well and protecting the environment are the 
     main priority of the industry today. We support President 
     Obama's independent commission investigating the Deepwater 
     Horizon incident. It is important that a thoughtful, thorough 
     and timely investigation and analysis of the incident is 
     conducted to fully understand what caused the accident and to 
     ensure the proper, improved safety measures are identified 
     and put into practice to prevent incidents in the future. 
     IPAA supports the following principles to address this 
     important issue:
       1. Any company operating offshore or onshore should be 
     fully responsible (financial and otherwise) for all clean-up 
     efforts.
       2. There must be a fund to ensure that those affected by 
     such incidents (i.e., fishermen, tourism, local businesses, 
     etc.) will be able to fairly recoup lost costs without being 
     caught in fierce litigation with large corporations.
       3. The oil industry, collectively, should contribute to 
     this fund and ensure its long-term viability.
       These principles are already a part of federal law in the 
     Oil Pollution Act of 1990 (OPA 90) and the Oil Spill 
     Liability Trust Fund (OSLTF). Changes may be needed to update 
     out-of-date OSLTF limits with additional industry funding. 
     However, we are strongly opposed to S. 3305 and other 
     legislative proposals being discussed in Congress that would 
     have negative consequences for independent producers. These 
     changes include increasing offshore liability limits to 
     unrealistic levels that will preclude nearly every company 
     operating in the U.S. offshore from getting insurance to 
     cover their operations. Without the proper insurance 
     coverage, there will not be independent producers with 
     offshore exploration and production--it is that simple. These 
     consequences are not justified based on the performance of 
     independent producers operating in the offshore, who have an 
     outstanding safety and environmental record.
       The Congress should not make hasty decisions and advocate 
     legislative and regulatory initiatives that will result in 
     severe limitations to offshore drilling in the United 
     States--consequences that can further harm the Gulf Coast 
     economy. IPAA looks forward to working with the Committee and 
     the entire Congress to find solutions that will allow 
     American producers to continue to operate in the U.S. 
     offshore and explore for the oil and natural gas that is 
     vital to our nation's energy security.
       A significant aspect of OPA 90 was the creation of a trust 
     fund filled by crude oil taxes that is intended to be used by 
     injured parties to compensate them for economic damages 
     instead of requiring lengthy litigation. We support the 
     expansion of this industry-wide fund to ensure that future 
     costs and claims are covered and urge the Committee to work 
     within the framework of OPA 90 before taking other actions 
     that will impact American energy production.
       The Obama Administration also recently announced a six 
     month moratorium on any offshore drilling in water depths 
     greater than 500 feet. The moratorium includes wellbore 
     sidetracks and bypasses; spudding of any new deepwater wells 
     and is designed to allow the presidential commission 
     investigating the spill to prepare its recommendations. While 
     we understand that many Americans are rightfully concerned 
     about the environmental risks and the safety of offshore 
     drilling, the federal government should methodically review 
     this matter and follow the facts in the incident before 
     taking actions that could impact oil and natural gas 
     production from the offshore for years to come.
       A recent analysis conducted by Wood MacKenzie predicted 
     that the moratorium and new regulations will push back into 
     later years 80,000 barrels a day of production scheduled for 
     2011. The impact of the spill becomes harder to ignore 
     further into the decade. By 2015, Wood MacKenzie predicts 
     stiffer federal offshore permitting and safety regulations 
     will result in more than 350,000 barrels a day of production 
     forecast for that year to be delayed. It is important to 
     note, however, that these predictions assume available 
     capacity for production in the GOM after the current 
     moratorium is lifted. That is an issue that could be in 
     serious jeopardy if rigs currently in the GOM are sent to 
     various parts of the world to begin operations on other 
     projects, and then are not available to return once the 
     moratorium is lifted.
       Congress must continue to recognize the importance of 
     energy development in the United States. Rather than enacting 
     legislation such as S. 3305 that will destroy the ability of 
     independent, American oil and gas companies from exploring 
     for energy resources in our nation's offshore areas, we need 
     Congress to create a forward-looking, balanced energy policy 
     that recognizes the role oil and natural gas will continue to 
     play in our nation for years to come. Offshore oil and 
     natural gas production creates jobs, revenues and helps 
     stabilize energy prices for American consumers and helps 
     reduce our reliance on energy supplies from unstable regimes 
     across the globe.
       As the facts and information surrounding the Deepwater 
     Horizon incident come forward, our nation must develop a 
     reasonable regulatory program that will allow further 
     offshore oil and gas exploration and production in the United 
     States. Offshore oil and gas production must continue to be 
     an integral part of America's energy portfolio and IPAA is 
     dedicated to finding answers that will help us achieve that 
     goal.
       Unfortunately, the implementation of S. 3305 into law would 
     dramatically hinder American production of oil and gas. Thank 
     you for your attention to this matter.
           Sincerely,
                                                    Bruce Vincent,
                                                         Chairman.

  Mr. LAMBORN. Mr. Chair, I submit the following.


                                                       INDECS,

                                                     May 12, 2010.
     Re Proposal to amend the Oil Pollution Act 1990 (OPA 90) and 
         the Internal Revenue Code of 1986.

     Hon. Robert Menendez,
     U.S. Senator, Senate Hart Office Building, Washington, DC.
       Dear Sir:


                           Executive Summary

       The energy insurance market has limited financial capacity 
     for pollution. What protection it can offer, sees many terms 
     and conditions contained in the language of the policies 
     issued. These limitations can range from whether a policy 
     covers pollution originating from a reservoir, the absence of 
     a definition for environmental damage, the sharing of limits 
     with other heads of claims, to whether there is negligence on 
     the part of the entity making the claim.
       Insurers' ability to issue an insurance certificate to 
     provide a company with its evidence of financial 
     responsibility under OPA 90 is similarly limited. Our current 
     estimates point to a maximum insurance financial capacity of 
     approximately US$250 million for this exposure, with a 
     further US$1.5 billion subject to the exclusions mentioned 
     above.
       We detail below many of the areas that need to be 
     considered carefully in this assessment. It is quite clear to 
     us that the ability to transfer any increased risk to the 
     insurance market is very constrained. The extent to which oil 
     companies, other than the super majors, will be able to 
     provide alternative security, must be questionable.


                              About INDECS

       INDECS is an independent insurance consultancy with over 20 
     years' experience working across more than thirty countries 
     including the USA. We assist global businesses to aohieve a 
     more effective insurance and risk management strategy. INDECS 
     does not sell insurance, we are not a broker, but provide 
     independent advice to our clients on their insurance and risk 
     management needs.


                           The Proposed Bill

       We understand that two bills have been drafted, in the wake 
     of the Deepwater Horizon catastrophe:
       1. To amend the limits of liability for offshore facilities 
     under OPA 90 from US$75 million to US$10 billion
       2. To remove the limit of US$1 billion expenditures from 
     the Oil Spill Liability Trust Fund, and to permit advances to 
     be made to the Fund


                      Current Insurance Protection

       Under OPA 90, holders of leases or permits for offshore 
     facilities are liable for up to US$75 million per spill plus 
     removal costs.
       Under Section 1016 the holder was initially required to 
     provide evidence of financial responsibility of between US$10 
     million and

[[Page 14850]]

     US$35 million depending on whether the facility is located 
     seaward or landward of the seaward boundary of the State. 
     This has subsequently increased to the maximum allowed by the 
     act of US$150 million.
       There are various methods of evidencing financial 
     responsibility including surety bonds, guarantees, letters of 
     credit and self insurance, but the most common and the one 
     that is most commercially available to all is by means of an 
     insurance certificate. The certificate issued must identify a 
     limit not less than that required under Section 1016.
       While there are certain defences under OPA 90, insurers are 
     put in the position of being a guarantor and may not have the 
     ability to rely on the normal general conditions of the 
     policy. Some insurers may also consider that it imposes a 
     more ``strict liability'' on the insured, and, moreover, 
     enables claims to be made directly against the insurer in 
     certain circumstances. They therefore treat OPA certification 
     distinctly from other insurance that may be available for 
     this type of risk. The potential capacity for this type of 
     insurance, which is the broadest available specifically 
     focusing on OPA obligations and liabilities, is approximately 
     US$150 to US$250 million.
       Outside the realms of strict liability and OPA, an insured 
     will be able to obtain coverage for sudden and accidental 
     seepage and pollution by way of its Operators Extra Expense 
     (OEE) and Excess Liability insurances. OEE coverage provides 
     a combined single limit for well control, well redrilling and 
     sudden and accidental seepage and pollution and clean-up. 
     Therefore pollution liability and clean-up cost is subject to 
     the apportionment of this combined single limit over 
     respective risks. In practice the limit would be made 
     available first for control measures (i.e. hiring in 
     specialist well control experts and, if necessary, relief 
     well drilling), with any balance of the limit then being 
     reserved for redrilling and pollution. It is possible to 
     prioritise the use of the limit for compliance with OPA 
     Financial Responsibility provisions, but this would be 
     impractical in relation to the urgency by which oil companies 
     will need to address the well control situation.
       We consider that the OEE policy provides the widest cover 
     and is most ``user friendly'' to oil companies. The pollution 
     element of the cover responds to costs which the insured 
     company is obligated to pay by law or under the terms of the 
     lease/license for the cost of remedial measures or as damages 
     in compensation for third party property damage and third 
     party injury claims. In respect of clean-up and containment, 
     or attempt thereat, the policy pays such costs, including 
     where incurred to divert pollution from shore, and is not on 
     a ``liability'' basis. It should be noted that there is no 
     definition of environmental damage--claims are recoverable to 
     the extent of damages for third party bodily injury and loss 
     of or damage to, or loss of use of tangible property. This 
     coverage can therefore respond on a ``strict liability'' 
     basis, where the law or license agreement specifies that such 
     remedial costs or compensation is payable if emanating from 
     the insured's facilities, irrespective of negligence. This 
     contrasts starkly with the coverage available under most 
     Excess Liability policies.
       Excess Liability insurance responds to all legal 
     liabilities incurred. Sudden and accidental pollution would 
     be included in any limit provided. In respect of pollution 
     from wells the limit available under these policies sits 
     excess of the OEE policy referred to above (but is subject to 
     its own policy form insuring conditions which are not as wide 
     as OEE policies). In respect of pollution from hydrocarbons 
     stored or being produced from or through facilities such as 
     fixed and floating platforms and pipelines, the limit is from 
     ``the ground-up'', or in excess of a specific local general 
     liability policy.
       Excess Liability Policy forms vary but the market 
     ``standard'' coverage offers quite limited pollution cover. 
     Some actually specifically exclude pollution from wells. 
     Basically pollution liabilities are excluded from all 
     policies, but within the exclusion is a limited ``buy-back'', 
     which requires that the pollution event is sudden, accidental 
     and unintended and subject to strict discovery and reporting 
     requirements. However, and significantly, the cover excludes 
     ``. . . . actual or alleged liability to evaluate, monitor, 
     control, remove, nullify and/or clean-up seeping, polluting 
     or contaminating substances to the extent such liability 
     arises solely from any obligations imposed by any statute, 
     rule, ordinance, regulation or imposed by contract''.
       We regard this wording as too draconian and would always 
     counsel oil companies to include a specific ``pollution 
     endorsement'' that overrides this phrasing and would provide 
     legal and statutory liability coverage, including costs 
     incurred under lease block obligations for removal. We think 
     this distinction in cover is important as it will impact 
     capacity. Our figure below of US$1 to US$ 1.5 billion is 
     based upon insurers subscribing to the standard market cover. 
     If an alternative wording is utilised, or the pollution 
     endorsement used, it could have the effect of reducing 
     capacity by about 25 to 35%.
       As with the OEE policy, the coverage is geared to damages 
     for compensation in respect of third party bodily injury and 
     third party property loss or damage or loss of use. There is 
     similarly no concept of ``environmental damage'' expressed in 
     the policy.


                           Insurance Capacity

       The immediate effect of the Deepwater Horizon loss is that 
     capacity will, for a time, be fluid. Most insurers had not 
     factored in to their risk aggregations that the net is spread 
     very wide indeed in respect of responsible parties under OPA. 
     They are now seeing the implications of multi party actions 
     against operators, drilling contractors, cementing engineers 
     and their various sub-contractors arising out of a single 
     incident such as the ``Deepwater Horizon'' loss. This is 
     because the insurance limits are available to each separate 
     party, so will stack up if three different entities are sued.
       In this context the lease block holders constitute one 
     entity (their insurance policies may be separate covering 
     their respective equity interests, but the capacity available 
     is assessed upon 100% interest).
       Inevitably the recent loss has increased the demand for 
     higher limits, and has consequently affected the overall 
     aggregate exposures to insurers. This will likely reduce the 
     available limits in the immediate future. At least one 
     insurer has let it be known that its capacity has reduced. 
     Others are reviewing their positions and it is most likely 
     that June renewals will be subject to some reduction in 
     overall capacity. This could be between 25 and 30% reduction, 
     affecting all above policies, except Protection and Indemnity 
     entries. INDECS has close relationships with the Energy 
     Insurance Market including its insurers and brokers. Based on 
     our knowledge and these relationships we would opine that the 
     following represents the maximum per occurrence capacity in 
     this market currently:


                     Operators' Extra Expense (OEE)

       The available global market capacity for the OEE cover is 
     between US$500 million and US$750 million per event on 100% 
     basis. This means that the total limit purchased is shared 
     out between the co-owners of the lease block (the licensees) 
     according to their equity interest in the venture (as per the 
     Joint Operating Agreement).
       In addition to this capacity, oil companies who are members 
     of the mutual, Oil Insurance Ltd (OIL), Bermuda, (which 
     includes a number of US based E&P companies) can claim up to 
     a further US$ 250 million for each companies' equity 
     interest, limited to US$ 750 million per event, but this 
     limit is also applied on a combined single limit basis, 
     inclusive not only of control of well cost and redrilling, 
     but also property damage and wreck removal.


                           Excess Liabilities

       The global commercial market limits available are between 
     US$1 billion and US$1.5 billion per event on 100% basis 
     (meaning that the limit is effectively reduced to reflect 
     each of the oil companies' equity interests). This would 
     include capacity available under any specific local general 
     liability policy (normally limited to USD50m per event). This 
     total would be inclusive of capacity from the Bermuda 
     reinsurance market and specifically from Oil Casualty 
     Insurance Ltd (OCIL), which is a sister organisation to OIL. 
     This limit operates on an Ultimate Nett Loss basis, meaning 
     that it must also respond to injuries and fatalities to third 
     parties (but not employees) and to third party property 
     damage and consequential financial loss.
       One final issue to consider for the commercial market is 
     that in the event that the pollution arises from a named 
     hurricane there would be a sub-limit agreed in the policy, 
     which may not be more than US$200 million per oil company, 
     and this would be inclusive of all insurable exposures (i.e. 
     property damage, control of well, redrilling, wreck removal 
     and pollution).


                  Protection and Indemnity Clubs (P&I)

       One further area that merits comment is P&I, which provides 
     cover in respect of pollution from mobile drilling units, 
     heavy-lift vessels, pipelaying vessels and, to the extent 
     that they may ultimately be more widely used in the Gulf of 
     Mexico, Floating Production, Storage and Offtake units 
     (FPSOs).
       The limit purchased is generally between US$300 million and 
     US$ 500 million, but US$ 1 billion per event is theoretically 
     available. However, most US drilling contractors are not 
     insured by the P and I Clubs. US drilling contractors 
     generally rely upon commercial marine liability insurers, 
     whose capacity would be limited to between US$ 500 million 
     and US$ 750 million per event referred to above.


                Effects of Increasing the OPA 90 Limits

       In conclusion, if the intention is to increase the limit 
     required under OPA90 to US$10 billion and also the required 
     evidence of financial responsibility to something similar, 
     then quite simply the energy insurance market will no longer 
     be an option. Its capacity lies far below this limit and even 
     then has a number of restrictions contained in it which we 
     have discussed above.
       Companies, with the exception of super majors and foreign 
     state owned companies, operating in the United States are 
     highly unlikely to be able to provide any alternative method 
     of financial responsibility such as bonds and lines of 
     credit. The cost of these methods or ability to self insure 
     these risks

[[Page 14851]]

     will far exceed their capabilities, preventing their 
     management from fulfilling their fiduciary liability and 
     presenting a barrier to acquiring new or even servicing 
     existing permits in the future.
       If we have understood the proposals correctly, then it 
     would appear to us that the proposed Bill will not act as 
     ``Big Oil Bailout Prevention Liability Act of 2010'', rather 
     making it impossible for anyone other than ``Big Oil'' to 
     operate.
           Yours sincerely,
                                                        Paul King,
                                                         Director.

  Ms. JACKSON LEE of Texas. Mr. Chair, I rise to speak on H.R. 3534, 
the Consolidated Land, Energy and Aquatic Resources (CLEAR) Act.
  I would like to recount the facts of April 30th, 2010 for this House 
and the American people. First, let us remember the names of the eleven 
brave men who tragically lost their lives in the Deepwater Horizon 
explosion:
  1. Jason Anderson, 35;
  2. Aaron Dale Burkeen, 37;
  3. Donald Clark, 34;
  4. Stephen Curtis, 39;
  5. Gordon Jones, 28;
  6. Roy Wyatt Kemp, 27;
  7. Karl Klepping, 38;
  8. Blair Manuel, 56;
  9. Dewey Revette, 48;
  10. Shane Roshto, 22; and
  11. Adam Weise, 24.
  What the eleven names do not reveal is that there are families with 
children, widows, and many other family members who are still mourning 
the loss of their loved ones. I believe we have a moral obligation to 
remember all of the lives affected by the loss of these eleven 
dedicated oil rig workers. They were tough workers, but also gentle 
fathers, brothers, husbands, as well as friends to many. Congress must 
always consider how to best protect American lives, and in doing so 
protect the safety of the American oil industry worker. In addition to 
the lives lost, every individual, business and community adversely 
affected by the oil spill must be taken into account as we consider 
legislative responses. Unfortunately, now with more than 92 million 
estimated gallons of oil spilled and the fishing, tourism, boating, 
shrimping industries, and the oil industry itself brought to a grinding 
halt, we can anticipate other losses.
  This tragedy begs the American people to act to promote safety, spur 
technology, and to protect people in the Gulf Region. We owe it to them 
to provide the kind of protection and legal framework that will ease 
their minds, and help them receive what they are entitled to through 
the claims process. Unfortunately, the original claims system was an 
abomination with numerous claims unresolved, unpaid and ignored. BP has 
received many claims and has issued many statements and reports, but 
the fact of the matter is they have not delivered on those early 
promises. We must make sure that they do what is right, and meet their 
financial obligations to the many claimants still waiting to 
reconstruct their lives and livelihoods.
  The urgency of the energy situation in our country calls for 
immediate action by Congress in developing a national energy policy. I 
would have fully supported targeting the culprits in the Gulf oil spill 
and getting the Gulf region back on track, as long as we also develop 
effective policies to ensure that we set a high bar of expectations for 
these companies in a system based on culpability. The people in the 
Gulf region need to be assured that we will preserve their way of life, 
while ensuring that their best interests are taken to heart. Their jobs 
must be restored and preserved for future generations who may want a 
livelihood in the oil and gas industry. I do not believe you can graft 
a broader national energy policy for the future onto a bill meant 
primarily to address the myriad of complex issues currently facing the 
energy industry.
  Regarding the Remedies Act, on July 1, 2010, I introduced a bill to 
address some of the larger issues raised by oil spill related 
developments in the Gulf of Mexico. Although a pronouncement of the 
issue, I believe it captures the most substantive matters. I have tried 
to adapt some of the provisions of that bill as amendments to the CLEAR 
Act, to try and make a weak bill better.
  I introduced an amendment under which applicants for permits to drill 
in the Gulf of Mexico will be required to have spill prevention, 
mitigation, and recovery plans that are vetted by impartial experts, 
rather than rubber stamped by industry friendly regulators; the 
amendment would also require that there be legitimate, effective back-
up plans in case the first response is ineffective. Another of my 
amendments would allow the Secretary of Homeland Security to establish, 
immediately, an independent claims process for those whose property and 
livelihoods have been damaged by oil spills much like the process only 
now being set up under Special Master Feinberg. Finally, I am proud to 
cosponsor Representative Teague's (NM-2D) amendment, introduced the 
same Amendment which will allow several small companies working 
together in joint venture and partnerships to pool their financial 
resources for the necessary Certificate of Oil Field Responsibility, 
the price of admission to work in the Gulf. Without the option of 
pooling their resources, or joint insurance, independent oil companies 
will be driven from the Gulf, leaving it the province of only three or 
four massive, multinational oil companies. If we can not preserve the 
independent oil companies, responsible for 80 percent of the drilling 
in the Gulf and 30 percent of the oil, then we are likely to doom an 
industry that is one of the most prolific job generators in the nation, 
particularly at a time when job creation in most American industries is 
stagnant or minimal at best.
  We must also take into consideration the importance of the 
environment as it relates to our national energy policy and the quality 
of life in the Gulf and the rest of the country, not to mention the 
rest of the globe. We have no idea what the long-term impact of the 
Gulf oil spill will be, as we are just beginning to understand the 
issues of connectivity related to the environment and ecological 
system. When birds nest in polluted wetlands and migrate to other parts 
of the U.S. and the globe, what impact might their exposure to oil have 
on the environmental quality of the environment in that part of the 
world?
  There are many complicated questions that we must answer before we 
proclaim that we have a solution to protecting the environment to 
massive oil spill in one bill. It is impossible to accomplish, and at 
best any environmental strategy is merely a band-aid approach rather 
than the comprehensive environmentally policy we need to consider. For 
example we really need a major direct clean-up fund, and we have to 
provide for environmental inspections. I urge a sense of immediacy as 
it relates to the environment and to protect the people of the Gulf 
from the long-term health consequences of the spill.
  As a person who has lived in, worked in, and knows the Gulf region 
well, I see the vibrant mixture of businesses there, from fishermen to 
oil workers, who represent the quintessential hardworking American. 
These Americans deserve applause for their contribution to our 
productivity. We owe it to them to demand of the oil companies the same 
high level of excellence that these hardworking men and women have 
demonstrated. We must provide for appropriate penalties for safety 
violations and breaches of compliance, while recognizing the importance 
of the industry to job creation and job growth. As we did in this 
tragic incident, we must come down hard on BP, but not eliminate them 
from the picture, lest the whole industry be penalized.
  There are some good things in this bill, although some of my ideas 
were not adopted as part of the manager's amendment. For example, one 
amendment would have required that businesses applying for permits to 
drill and produce crude oil in the Gulf of Mexico submit detailed spill 
mitigation and recovery plans as part of the permitting process. Not 
only must they have recovery plans, but they will be required to have 
backup plans, in case their first response fails. Additionally, those 
plans must be vetted by impartial experts, rather than rubber-stamped 
by insufficiently vigilant regulators.
  Most important Representative Teague's amendment, which I 
cosponsored, will prevent small, independent oil companies from being 
driven out of the Gulf of Mexico. The problem with the current 
requirements for the Certificate of Oil Field Responsibility (COFR) is 
that smaller operators will be unable to establish the $300 million 
necessary COFR to even begin exploration and development. By allowing 
smaller companies--who frequently work together in joint ventures--to 
pool their resources for COFR purposes, we will prevent the Gulf from 
becoming the exclusive province of companies big enough to self-insure, 
and allow the small businesses of the Gulf Coast communities to 
continue to provide jobs and drive our economy.
  Again, Mr. Chair, my central concern is that we promote job creation, 
ensure long term investment and fiscal discipline, guarantee safety, 
focus on the industry and accountability as we work to craft an 
effective energy policy, and utilize energy related to fossil fuels in 
a more responsible way, while we continue to make investments in 
research and development, rather than pitting industries against each 
other.
  We just witnessed the development of a prescriptive policy related to 
the coal industry, as a result of a tragedy with the mines in West 
Virginia. That legislative business model is a useful example of how we 
can develop energy

[[Page 14852]]

policy related to oil. We must also continue to promote new forms of 
green energy, while we keep our promise to the American people to 
protect jobs in the oil and gas industry.
  Unfortunately, our job is made very difficult when we see major 
global energy companies and domestic industry excluded from a sensible 
national energy policy. We must promote a strong process that will help 
us deliver on these promises, both to the stakeholders and to the 
American people. Everyone needs to buy-in to a national energy policy 
in order for it to be successful.
  Let me say that we must establish a seamless energy policy that all 
sectors of the energy industry can support, cementing the United States 
in the energy industry as the most independent producer globally, while 
making it the worlds' leader in green energy.
  Mr. Chair, I look forward to working with my Colleagues on this 
approach to America's energy future. In addition, I strongly support 
the Buy America Provision in the bill and the American Worker 
Provision. As the CLEAR Act moves to the Senate, we must remember the 
interests of the communities of the Gulf Coast, and of all those 
affected by the devastation of the oil spill. We must remain committed 
to protecting lives, protecting jobs and protecting the environment.
  Mr. McNERNEY. Mr. Chair, I rise to express my support for H.R. 3534. 
The spill in the Gulf is a tragedy, and this important bill will help 
prevent future disasters. H.R. 3534 improves safety, prevents ethical 
misconduct at federal agencies, and closes royalty loopholes enjoyed by 
the oil and gas industry.
  Some important provisions of H.R. 5626, the Blowout Prevention Act, 
are also included in H.R. 3534. I am disappointed, however, that the 
legislation before us today does not include a section of H.R. 5626 
that authorizes the creation of expert review panels to provide 
technical advice on regulatory decisions. During committee 
consideration of H.R. 5626, I offered an amendment to clarify that 
experts serving on such panels can be drawn from diverse backgrounds, 
including industry, national laboratories, and academia.
  I would like to note the particular importance of utilizing the 
expertise available at America's national laboratories. I am familiar 
with the work of the labs and the talents of lab employees through my 
personal experience working as a contractor at Sandia National 
Laboratories. Northern California is also the location of three 
national laboratories that employ a number of my constituents.
  Following the tragic explosion of the Deepwater Horizon, employees of 
the national laboratories were quickly deployed to the Gulf. The 
Department of Energy estimates that more than 200 lab employees have 
been involved in crisis response operations. The labs have provided an 
array of services such as developing pressure measurements and 
radiographic imaging of the blowout preventer. Lab employees have also 
provided technical services such as conducting flow and resistance 
calculations, evaluating pressure data, and providing independent 
analysis of BP's plans.
  The national labs have a tremendous amount of technical expertise 
that can help our country prevent future spills and better respond if 
an unfortunate incident occurs. I look forward to working with members 
of both parties to incorporate the labs into future legislation.
  Mr. VAN HOLLEN. Mr. Chair, I rise in strong support of today's oil 
spill response legislation, and I commend Chairmen Rahall, Miller, 
Waxman, Oberstar and Conyers for bringing this package to the floor 
today.
  The Consolidated Land, Energy and Aquatic Resources (CLEAR) Act 
corrects a number of major defects in current law that have come to 
light in the Deepwater Horizon disaster. First, and most importantly, 
it ensures BP--not the taxpayer--is held responsible for the full cost 
of the cleanup. Second, it strengthens offshore drilling standards and 
requires independent certification of critical safety equipment. Third, 
it provides desperately needed reform to the scandal ridden Mineral 
Management Service by separating its permitting, inspection and 
collection functions. Fourth, it eliminates royalty loopholes that 
allow oil companies to shortchange taxpayers when extracting resources 
from public lands. And finally, it makes good on a 45 year old promise 
to fully fund the Land Water and Conservation Fund so that Americans 
can enjoy our Nation's natural, historical and recreational resources 
for generations to come.
  The Offshore Oil and Gas Worker Whistleblower Act (H.R. 5851) 
complements today's package by extending whistleblower protections to 
oil rig workers on the Outer Continental Shelf. Specifically, employers 
would be prohibited from discharging or otherwise discriminating 
against employees who report injuries, unsafe working conditions or 
alleged violations of the Outer Continental Shelf Lands Act. Had these 
protections been in place, the Deepwater Horizon workers with serious 
safety concerns about the operation of their rig could have had more 
confidence about coming forward prior to the explosion.
  Mr. Chair, today's legislation is an important and necessary part of 
our Nation's response to the Deepwater Horizon disaster. I urge a yes 
vote and yield back the balance of my time.
  Mr. MORAN of Virginia. Mr. Chair, I rise in support of the 
Consolidated Land, Energy and Aquatic Resources or ``CLEAR'' Act (H.R. 
3534).
  This measure will impose long overdue reforms in the way the federal 
government regulates oil and gas drilling operations off our coast.
  Something the industry and their allies in Congress have long 
opposed.
  The explosion of Deepwater Horizon and the uncontrolled flow of oil 
into the Gulf of Mexico render this opposition moot.
  The American public has witnessed an ecological and economic 
catastrophe the likes of which this country has never seen nor should 
ever have to see again.
  It has seen a company in the interest of boosting profits cut corners 
and take shortcuts that resulted in the death of 11 workers, a Gulf 
community in dire economic straights and untold loss of marine and 
animal life.
  It has seen a weak regulatory system rubber stamp drilling permits, 
approving most in less than twenty-four hours and never reading or 
realizing the response plans to a blowout were fiction.
  How else could it accept plans to save walruses in the Louisiana 
bayous and Alabama beaches?
  More than 300 million gallons of crude oil have spilled into the Gulf 
of Mexico before the wellhead was finally capped.
  Even if the cap holds and relief wells secure and permanently plug 
the well, the region will still have to deal with the millions of 
gallons of oil spread throughout the Gulf and along hundreds of miles 
of shoreline as the peak hurricane season approaches.
  It will take decades for the region to recover.
  It was a disaster waiting to happen and one we may now finally have 
the tools to prevent from occurring again.
  Reforms that were once thought impossible are now before this House 
today.
  This bill revamps the oil and gas royalty collection program, repeals 
liability limits on economic damages, separates the apparent conflict 
of interest between the federal government's royalty collection, 
leasing and enforcement offices, imposes new procedures for use of 
chemical dispersants, and mandates that the oil and gas industry 
include a worst-case scenario for oil spill response plans.
  But now some claim this bill is ``overreach,'' that it goes beyond 
what is needed to address the failures of the industry and the 
regulatory agency.
  In addition to reform of our offshore oil and gas leasing program, 
this bill breathes new life into a commitment proposed by John F. 
Kennedy and signed into law by Lyndon Johnson to take a share from a 
diminishing public resource, our offshore oil and gas reserves, and use 
the funds to conserve and protect natural resources onshore.
  LWCF was a good idea then and remains a good and popular idea today.
  Since its inception, millions of acres of land has been conserved and 
are in use today by the public. They are portions of our national 
parks, wildlife refuges, national forests and state and local parks and 
recreation areas.
  They are responsible for saving endangered species from extinction, 
protecting fresh sources of drinking water for millions of Americans, 
and protecting valuable historic properties and landscapes from 
destruction.
  Unfortunately, the federal commitment has fallen short of the goal.
  In recent years, we have underfunded our commitment to the Land and 
Water Conservation Fund.
  Over the past ten years, its funding level has been erratic, $672 
million in fiscal 2001 and $253 million in fiscal 2007, but never at 
its authorized level of $900 million.
  This bill imposes a $2 per barrel fee on oil extracted from the 
public's waters to allow us to fully fund the Land and Water 
Conservation Fund and not add to the federal budget deficit.
  It would then ensure that the program is funded at $900 million 
annually. The additional funds this legislation will release will:
  1. Ensure that areas protected by Congress can be more effectively 
and efficiently managed. LWCF provides for inholdings with high 
biological, historical or recreational values. These lands are 
available for a limited time before they're developed. Sufficient LWCF 
funding ensures agencies can take advantage

[[Page 14853]]

of these opportunities. Real estate prices are lower now, ensuring more 
land can be purchased with each dollar invested.
  2. Improve management by reducing fire danger and through other 
means. It allows access to these areas to perform important wildlife 
habitat management and facilitate public recreation. Fire danger, 
public safety and other threats are reduced, and hunting, fishing, 
wildlife watching and other recreation is improved and protected.
  3. Ensure public access and quality recreation that has a substantial 
economic impact. The Outdoor Industry Association estimates that active 
outdoor recreation contributes $730 billion annually to the U.S. 
economy, supports nearly 6.5 million jobs across the U.S., generates 
$49 billion in annual national tax revenue, and produces $289 billion 
annually in retail sales and services.
  4. Ensure efficient management and cost savings. 80 percent of lands 
acquired with LWCF funds lie within the existing boundaries of federal 
parks, refuges, forests, or recreation areas. When land management 
agencies purchase inholdings, internal boundary line surveying is 
reduced, as well as right-of-way conflicts and special use permits. 
Agencies generally tend to avoid acquisitions with burdensome 
infrastructure improvements that require significant capital 
investments. An added parcel generally does not increase management 
presence; rather, management is usually just absorbed within existing 
stewardship costs.
  A recent national bipartisan poll shows strong support for the 
continued use of oil and gas fees for land and water protection and for 
fully funding the LWCF at $900 million annually.
  An overwhelming majority of voters--86 percent--support committing 
funds from offshore drilling fees to LWCF (up 5 percent from June 
2009). (Poll conducted by Public Opinion Strategies and FM3)
  Many local communities are strong supporters of federal LWCF 
expenditures due to the economic benefits that accrue through 
recreational tourism and the additional visitation that occurs with 
improved public access and recreation opportunities.
  LWCF protects places where people love to go, from famed national 
parks to historic sites, to local parks that ensure recreation. LWCF 
supports recreational access such as trailheads and river put-ins--that 
allow hunters, fishermen, mountain bikers, hikers and boaters to access 
America's recreation lands.
  LWCF enjoys broad congressional support. LWCF has benefited every 
state and every congressional district. LWCF has enjoyed longstanding, 
widespread support not just among conservation champions but also among 
fiscal conservatives and many minority members. Over the past five 
years, letters urging the Appropriations Committee to provide major 
increases to LWCF have been signed by a total of 36 Blue Dogs and 43 
Republicans.
  This is a way to fulfill the vision first stated by President 
Eisenhower and what our constituents still support today.
  Support the CLEAR Act.
  Mr. QUIGLEY. Mr. Chair, I rise today in support of the CLEAR Act, one 
of the most important measures we will pass this week, and perhaps, 
this Congress.
  It has been said that with great adversity comes great opportunity--
today, we are presented with great opportunity.
  We are presented with the opportunity to ensure that what happened in 
the Gulf never happens again.
  We are presented with the opportunity to ensure that we have the 
tools and the means to clean the Gulf Coast and make whole those whose 
very livelihoods are threatened by this disaster.
  We are presented with the opportunity to ensure that our children are 
able to enjoy the great lands and waters of our lifetime.
  I offered two amendments to the CLEAR Act that sought to shift our 
OCS policy from a presumption of oil and gas extraction, to focus on 
protection of the environment as our primary concern.
  Additionally, the amendments required the Secretary to consider 
geographical, geological, and ecological characteristics of OCS areas 
before drilling, not after.
  Ultimately, this bill does move us toward that goal--from an emphasis 
on the bottom line to a clear focus on our future.
  I urge my colleagues to support the CLEAR Act.
  Mr. LEVIN. Mr. Chair, I rise in strong support of the Consolidated 
Land, Energy and Aquatic Resources Act.
  It is often said that experience is the best teacher. Unfortunately, 
it often seems that experience is the only teacher when it comes to 
developing common sense safeguards to prevent oil spills. As I speak, 
at least 800,000 gallons of oil has spilled from a pipeline into the 
Kalamazoo River in my home state of Michigan. We are just a few days 
into this crisis, but surely this accident could have been prevented.
  In 1989, the Exxon Valdez ran aground in Alaska and spilled 11 
million gallons of crude oil into Prince William Sound, fouling 
hundreds of miles of pristine coastline. In the months that followed, 
Congress responded by approving the Oil Pollution Act that strengthened 
the Federal Government's role in oil spill response and cleanup in the 
case of oil tankers. Among its many provisions, the Act required 
vessels carrying oil and operating in U.S. waters to have double hulls 
to prevent further accidents of this type. The law has been a success, 
but the damage to Alaska's environment was done.
  We are more than 100 days into the oil spill crisis in the Gulf of 
Mexico. To date, between 90 million and 180 million gallons of oil has 
been released into the environment. The BP Deepwater Horizon spill 
might have been prevented if there had been some basic drilling safety 
standards in place, and if there had been effective oversight of BP's 
actions as it was drilling the well. We are creating these standards 
today with this bill.
  The CLEAR Act before the House establishes new safety standards for 
offshore oil drilling. The legislation reforms the Federal Government's 
oversight of offshore drilling operations, holds BP and other oil 
companies accountable, and ensures that polluters pay the full cost of 
damage caused by the spills they create.
  Experience is, indeed, the best teacher. But when it comes to 
preventing future oil spills, an ounce of prevention is worth a pound 
of cure. I urge passage of the CLEAR Act.
  Mr. LANGEVIN. Mr. Chair, I rise in strong support of H.R. 3534, the 
Consolidated Land, Energy, and Aquatic Resources (CLEAR) Act and H.R. 
5851, the Offshore Oil and Gas Worker Whistleblower Protection Act. 
Over 100 days ago, millions of gallons of oil began spilling into the 
Gulf Mexico after an explosion on a BP deepwater drilling rig, which 
tragically killed eleven workers. In the months since this accident, 
the Committees of jurisdiction in the House of Representatives have 
held numerous hearings to determine what went wrong and how to prevent 
similar disasters in the future. I believe both the CLEAR Act and 
Whistleblower Protection Act take critical steps to properly reform our 
oil and gas drilling policies, as well as to protect the safety of oil 
and gas workers.
  This comprehensive legislation will end years of misaligned 
priorities at the Minerals Management Service (MMS) at the Department 
of the Interior (DOI) by dividing its responsibilities into three 
different departments: the Bureau of Energy and Resource Management to 
manage leasing and permitting; the Bureau of Safety and Environmental 
Enforcement to police health and safety regulations; and the Office of 
Natural Resource Revenue to collect the American people's energy 
revenues earned on public lands. The bill further addresses misconduct 
by the MMS by implementing strong ``revolving door'' provisions that 
would ban MMS employees from accepting employment with oil and gas 
companies for two years.
  The CLEAR Act imposes strong new safety standards for offshore 
drilling, including increased inspections, stricter penalties for 
safety violations, and independent certifications of critical 
equipment. I am also pleased that this comprehensive legislation 
includes many provisions of legislation which I cosponsored after the 
spill; including the elimination of the liability limit on oil 
companies, subpoena power to enable the President's bipartisan 
Commission to fully investigate the Deepwater Horizon spill, and the 
establishment of a Gulf of Mexico Restoration Program.
  Additionally, this bill will use the revenues received from energy 
development to provide full funding to the Land and Water Conservation 
Fund (LWCF) and the Historic Preservation Fund (HPF), both of which 
contribute greatly to conservation efforts and open space preservation 
in Rhode Island.
  In addition to the modifications included in the CLEAR Act, it is 
vitally important to the workers in our country to ensure that they 
have access to safe working conditions, and when they do not, have the 
opportunity to report their concerns without fear of retribution. The 
Offshore Oil and Gas Worker Whistleblower Protection Act would 
strengthen whistleblower protections for oil and gas workers by 
prohibiting an employer from discriminating against an employee who 
reports a violation or testifies about an alleged violation. It also 
establishes a process for an employee to appeal an employer's 
retaliation by filing a complaint with the Secretary of Labor.
  I have long said that our nation cannot drill its way out of our 
energy crisis. We can no longer sit idly by as greenhouse gas emissions 
increase, our ecosystem is harmed, and

[[Page 14854]]

our public health deteriorates from increased pollution. It is long 
past time that our nation moves away from our reliance on fossil fuels, 
both foreign and domestic, and invests in renewable energy and energy 
efficient technologies. While I do not believe we needed any more 
evidence to move in this direction, it is my hope that we will learn 
from this tragedy and seek better and safer solutions that will 
preserve our ecosystem and protect the health and lives of our citizens 
by passing a comprehensive clean energy jobs bill, such as the American 
Clean Energy and Security (ACES) Act. But as we continue to move 
towards clean energy, I urge my colleagues to support both H.R. 3534 
and H.R. 5851 to make vast improvements to our nation's domestic energy 
development and protect workers who put safety first.
  Mr. FARR. Mr. Chair, BP's Deepwater Horizon oil disaster is the worst 
environmental catastrophe in United States history.
  Change must be made for the future of our ocean, and they must be 
made now. Today, by voting yes to CLEAR, we can at last revolutionize 
our approach to how we use our ocean and coastal resources.
  I am a fifth generation Californian who represents one of the most 
majestic meetings of land to sea in the world. My district encompasses 
the Monterey Bay National Marine Sanctuary, which spans of 276 miles of 
shoreline and is the largest marine sanctuary in the system. It is home 
to one of Earth's most diverse marine ecosystems, making it a 
nationally recognized center for marine science. For these reasons and 
many more, I have been entrenched in ocean policy reform since I served 
in the California State Legislature over two decades ago.
  The National Oceans Conference, which took place in Monterey in 1998, 
kick-started a nationwide movement to review the status of our ocean 
resources. I helped pass the Oceans Act of 2000 to establish the U.S. 
Commission on Ocean Policy and formed the House Oceans Caucus to 
promote ocean issues and advance recommendations by the commission.
  Since the 108th Congress I have introduced the Ocean Conservation, 
Education, and National Strategy for the 21st Century Act (Oceans-21) 
to establish a comprehensive National Ocean Policy, create a regional 
ocean governance structure, and setup a trust fund for the ocean. In 
addition, since the president established his Interagency Ocean Policy 
Task Force over a year ago, I have pressed the Administration to come 
forth with a strong National Ocean Policy. As you know, a few weeks ago 
President Obama demonstrated his commitment to the ocean health by 
signing an executive order that establishes a comprehensive, integrated 
National Policy for the stewardship of our ocean and coasts.
  Today, my hard work on behalf of the ocean and its resources 
culminates in this oil spill response package. I am proud to say the 
Act sets forth both a regional ocean governance structure and an ocean 
trust fund that are central components of my Oceans-21 legislation. The 
CLEAR Act makes the necessary reforms needed for the health and 
sustainability of our ocean and it, coupled with the President's recent 
executive order, realizes the policies and principles of Oceans-21.
  In short, with the passage of CLEAR, our ocean is better positioned 
for future sustainable management, protection, conservation and 
resiliency than ever before.
  It is important to take a moment to note just how monumental it is 
that CLEAR contains a provision that will create a new trust fund for 
the ocean. A fund for the ocean has been recommended for years by 
leading voices in ocean management, including the U.S. Commission on 
Ocean Policy, the Pew Oceans Commission and my Oceans-21 legislation. 
Finally, funds raised from drilling in our ocean will go toward 
protecting and improving our ocean. We generate a great deal of revenue 
and benefits from the ocean and coasts; however, we reinvest only a 
fraction of the benefits we receive back into those resources.
  We devalue our ocean and coasts each day that we continue to fail to 
invest in them, and today we can change that.
  I am proud that my many years of hard work for the ocean are 
producing real results. It is high time we step up to protect ocean 
health just as we have done in the past for clean air and clean water. 
Today we must support the president and his recently enacted National 
Ocean Policy by enacting strong policies and regulations for our ocean.
  As I said, leadership is about getting results, and the only way to 
get results for the ocean today is to vote aye to H.R. 3534.
  Mr. LARSEN of Washington. Mr. Chair, I rise today to speak in support 
of H.R. 3534, the Consolidated Land, Energy, and Aquatic Resources 
(CLEAR) Act.
  The Deepwater Horizon oil spill is the worst environmental 
catastrophe that our nation has ever faced. Unfortunately, this human 
and environmental catastrophe revealed many shortcomings in our current 
oil spill pollution and response laws.
  Today's vote on the CLEAR Act is an important step towards 
strengthening our nation's oil spill response and prevention laws. The 
CLEAR Act contains three critical provisions for which I have 
advocated.
  First, this legislation ensures that oil companies will be 
responsible for 100% of the cost of cleaning up their mess, and every 
penny of the damages they cause to Americans. The current liability cap 
of $75 million has proven to be grossly inadequate to cover the damage 
caused by a major offshore oil spill.
  Second, immediately following the spill, President Obama and 
Secretary Salazar took immediate steps to reform the troubled Minerals 
Management Service (MMS). This legislation codifies those changes to 
prevent conflicts of interest.
  Third, the bill puts in place safety regulations to reduce the risk 
of catastrophic spills. It requires new regulations on well designs, 
including blowout preventers, and requires a third party to certify 
safety plans.
  I have concerns, however, regarding the bill's ``Requirement of 
Certification for Responsible Stewardship,'' which makes the issuance 
of new Outer Continental Shelf leases contingent on a company avoiding 
citations from the Occupational Safety and Health Administration (OSHA) 
and the Environmental Protection Agency (EPA). I strongly support 
efforts to protect worker safety in our nation's oil and gas industry 
and have cosponsored the Protect America's Workers Act to give OSHA the 
tools it needs to enforce rigorous worker safety laws. I believe that 
strengthening OSHA and EPA authorities is a more effective way to 
improve worker safety than threatening oil companies with the loss of 
revenue from OCS drilling, and I am committed to working with my 
colleagues in the House to strengthen worker safety in the oil and gas 
industry.
  As a representative from the Puget Sound, I understand how 
devastating an oil spill would be to a coastal region. I want to do 
everything possible to prevent an oil spill from occurring in Puget 
Sound and other areas of the country.
  I am committed to continuing to investigate the impacts of this 
massive environmental disaster and examining the best ways to ensure 
any future offshore drilling will live up to oil companies' claims of 
safety and reliability.
  Mr. RAHALL. Mr. Chair, I submit an exchange of letters between the 
Committee on Natural Resources and the Committee on Ways and Means 
concerning H.R. 3534.

                                         House of Representatives,


                                  Committee on Ways and Means,

                               Washington, DC, September 13, 2010.
     Hon. Nick J. Rahall II,
     Chairman, Committee on Natural Resources, House of 
         Representatives, Washington, DC.
       Dear Nick Rahall: I am writing to you concerning the 
     jurisdictional interest of the Committee on Ways and Means in 
     your amendment in the nature of a substitute to H.R. 3534, 
     the ``Consolidated Land, Energy, and Aquatic Resources Act of 
     2010.''
       Rule X of the Rules of the House of Representatives 
     provides that the Committee on Ways and Means has 
     jurisdiction over ``revenue measures generally.'' Section 802 
     of H.R. 3534, as amended, raises revenue by imposing a fee of 
     $2 per barrel of oil and 20 cents per million BTU of natural 
     gas produced on Federal onshore and offshore lands. As a 
     result, Section 802 of H.R. 3534, as amended, is within the 
     jurisdiction of the Committee on Ways and Means.
       I recognize and appreciate your desire to bring this 
     legislation before the House in an expeditious manner and, 
     accordingly, I will not seek a sequential referral of H.R 
     3534, as amended. However, I agree to waive consideration of 
     this bill with the understanding that this does not in any 
     way prejudice the Committee on Ways and Means and its 
     jurisdictional prerogatives on H.R. 3534 or similar 
     legislation.
       Further, the Ways and Means Committee reserves the right to 
     seek the appointment of conferees during any House-Senate 
     conference convened on this legislation on provisions of the 
     bill that are within the Committee's jurisdiction. I ask for 
     your commitment to support any request by the Committee on 
     Ways and Means for the appointment of conferees on H.R. 3534 
     or similar legislation. I also ask that a copy of this letter 
     and your response be included in the Congressional Record 
     during consideration of this bill by the House.
       Thank you for your consideration in this matter.
           Sincerely,
                                                  Sander M. Levin,
                                                         Chairman.

[[Page 14855]]

                                  ____
                                  
                                         House of Representatives,


                               Committee on Natural Resources,

                               Washington, DC, September 15, 2010.
     Hon. Sander M. Levin,
     Chairman, Committee on Ways and Means, Washington, DC.
       Dear Mr. Chairman: Thank you for your letter indicating the 
     Committee on Ways and Means' jurisdictional interests in 
     certain provisions of the amendment in the nature of a 
     substitute to H.R. 3534, the Consolidated Land, Energy, and 
     Aquatic Resources Act of 2010.
       I acknowledge your jurisdictional interests in the bill. I 
     appreciate your willingness to forego seeking a sequential 
     referral of the legislation and understand that this action 
     will in no way waive your Committee's jurisdictional 
     interests or serve as a precedent for future referrals. I 
     also understand that you reserve the right to seek to have 
     conferees named from the Committee on Ways and Means on these 
     provisions, and would support such a request if it were made.
       A copy of our respective letters regarding H.R. 3534 will 
     be entered into the Congressional Record.
       Thank you for the cooperative spirit in which you have 
     worked regarding this matter and others between our 
     respective committees.
       With warm regards, I am
           Sincerely,
                                                Nick J. Rahall II,
                         Chairman, Committee on Natural Resources.

  The CHAIR. All time for general debate has expired.
  Pursuant to the rule, the bill shall be considered for amendment 
under the 5-minute rule.
  In lieu of the amendment in the nature of a substitute recommended by 
the Committee on Natural Resources printed in the bill, it shall be in 
order to consider as an original bill for the purpose of amendment 
under the 5-minute rule the amendment in the nature of a substitute 
printed in part A of House Report 111-582. The amendment in the nature 
of a substitute shall be considered as read.
  The text of the amendment in the nature of a substitute is as 
follows:

                               H.R. 3534

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

     SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

       (a) Short Title.--This Act may be cited as the 
     ``Consolidated Land, Energy, and Aquatic Resources Act of 
     2010''.
       (b) Table of Contents.--The table of contents for this Act 
     is as follows:

Sec. 1. Short title; table of contents.
Sec. 2. Definitions.

      TITLE I--CREATION OF NEW DEPARTMENT OF THE INTERIOR AGENCIES

Sec. 101. Bureau of Energy and Resource Management.
Sec. 102. Bureau of Safety and Environmental Enforcement.
Sec. 103. Office of Natural Resources Revenue.
Sec. 104. Ethics.
Sec. 105. References.
Sec. 106. Abolishment of Minerals Management Service.
Sec. 107. Conforming amendment.
Sec. 108. Outer Continental Shelf Safety and Environmental Advisory 
              Board.

               TITLE II--FEDERAL OIL AND GAS DEVELOPMENT

 Subtitle A--Safety, Environmental, and Financial Reform of the Outer 
                      Continental Shelf Lands Act

Sec. 201. Short title.
Sec. 202. Definitions.
Sec. 203. National policy for the Outer Continental Shelf.
Sec. 204. Jurisdiction of laws on the Outer Continental Shelf.
Sec. 205. Outer Continental Shelf leasing standard.
Sec. 206. Leases, easements, and rights-of-way.
Sec. 207. Disposition of revenues.
Sec. 208. Exploration plans.
Sec. 209. Outer Continental Shelf leasing program.
Sec. 210. Environmental studies.
Sec. 211. Safety regulations.
Sec. 212. Enforcement of safety and environmental regulations.
Sec. 213. Judicial review.
Sec. 214. Remedies and penalties.
Sec. 215. Uniform planning for Outer Continental Shelf.
Sec. 216. Oil and gas information program.
Sec. 217. Limitation on royalty-in-kind program.
Sec. 218. Restrictions on employment.
Sec. 219. Repeal of royalty relief provisions.
Sec. 220. Manning and buy- and build-American requirements.
Sec. 221. National Commission on the BP Deepwater Horizon Oil Spill and 
              Offshore Drilling.
Sec. 222. Coordination and consultation with affected State and local 
              governments.
Sec. 223. Implementation.

           Subtitle B--Royalty Relief for American Consumers

Sec. 241. Short title.
Sec. 242. Eligibility for new leases and the transfer of leases.
Sec. 243. Price thresholds for royalty suspension provisions.

                 TITLE III--OIL AND GAS ROYALTY REFORM

Sec. 301. Amendments to definitions.
Sec. 302. Compliance reviews.
Sec. 303. Clarification of liability for royalty payments.
Sec. 304. Required recordkeeping.
Sec. 305. Fines and penalties.
Sec. 306. Interest on overpayments.
Sec. 307. Adjustments and refunds.
Sec. 308. Conforming amendment.
Sec. 309. Obligation period.
Sec. 310. Notice regarding tolling agreements and subpoenas.
Sec. 311. Appeals and final agency action.
Sec. 312. Assessments.
Sec. 313. Collection and production accountability.
Sec. 314. Natural gas reporting.
Sec. 315. Penalty for late or incorrect reporting of data.
Sec. 316. Required recordkeeping.
Sec. 317. Shared civil penalties.
Sec. 318. Applicability to other minerals.
Sec. 319. Entitlements.
Sec. 320. Limitation on royalty in-kind program.

TITLE IV--FULL FUNDING FOR THE LAND AND WATER CONSERVATION AND HISTORIC 
                           PRESERVATION FUNDS

              Subtitle A--Land and Water Conservation Fund

Sec. 401. Amendments to the Land and Water Conservation Fund Act of 
              1965.
Sec. 402. Extension of the Land and Water Conservation Fund.
Sec. 403. Permanent funding.

            Subtitle B--National Historic Preservation Fund

Sec. 411. Permanent funding.

                  TITLE V--GULF OF MEXICO RESTORATION

Sec. 501. Gulf of Mexico restoration program.
Sec. 502. Gulf of Mexico long-term environmental monitoring and 
              research program.
Sec. 503. Gulf of Mexico emergency migratory species alternative 
              habitat program.

                  TITLE VI--COORDINATION AND PLANNING

Sec. 601. Regional coordination.
Sec. 602. Regional Coordination Councils.
Sec. 603. Regional strategic plans.
Sec. 604. Regulations and savings clause.
Sec. 605. Ocean Resources Conservation and Assistance Fund.
Sec. 606. Waiver.

    TITLE VII--OIL SPILL ACCOUNTABILITY AND ENVIRONMENTAL PROTECTION

Sec. 701. Short title.
Sec. 702. Repeal of and adjustments to limitation on liability.
Sec. 703. Evidence of financial responsibility for offshore facilities.
Sec. 704. Damages to human health.
Sec. 705. Clarification of liability for discharges from mobile 
              offshore drilling units.
Sec. 706. Standard of review for damage assessment.
Sec. 707. Information on claims.
Sec. 708. Additional amendments and clarifications to Oil Pollution Act 
              of 1990.
Sec. 709. Americanization of offshore operations in the Exclusive 
              Economic Zone.
Sec. 710. Safety management systems for mobile offshore drilling units.
Sec. 711. Safety standards for mobile offshore drilling units.
Sec. 712. Operational control of mobile offshore drilling units.
Sec. 713. Single-hull tankers.
Sec. 714. Repeal of response plan waiver.
Sec. 715. National Contingency Plan.
Sec. 716. Tracking Database.
Sec. 717. Evaluation and approval of response plans; maximum penalties.
Sec. 718. Oil and hazardous substance cleanup technologies.
Sec. 719. Implementation of oil spill prevention and response 
              authorities.
Sec. 720. Impacts to Indian Tribes and public service damages.
Sec. 721. Federal enforcement actions.
Sec. 722. Time required before electing to proceed with judicial claim 
              or against the Fund.
Sec. 723. Authorized level of Coast Guard personnel.
Sec. 724. Clarification of memorandums of understanding.
Sec. 725. Build America requirement for offshore facilities.
Sec. 726. Oil spill response vessel database.
Sec. 727. Offshore sensing and monitoring systems.
Sec. 728. Oil and gas exploration and production.
Sec. 729. Leave retention authority.
Sec. 730. Authorization of appropriations.

                  TITLE VIII--MISCELLANEOUS PROVISIONS

Sec. 801. Repeal of certain taxpayer subsidized royalty relief for the 
              oil and gas industry.

[[Page 14856]]

Sec. 802. Conservation fee.
Sec. 803. Leasing on Indian lands.
Sec. 804. Outer Continental Shelf State boundaries.
Sec. 805. Liability for damages to national wildlife refuges.
Sec. 806. Strengthening coastal State oil spill planning and response.
Sec. 807. Information sharing.
Sec. 808. Limitation on use of funds.
Sec. 809. Environmental review.
Sec. 810. Federal response to State proposals to protect State lands 
              and waters.

     SEC. 2. DEFINITIONS.

       For the purposes of this Act:
       (1) Affected indian tribe.--The term ``affected Indian 
     tribe'' means an Indian tribe that has federally reserved 
     rights that are affirmed by treaty, statute, Executive order, 
     Federal court order, or other Federal law in the area at 
     issue.
       (2) Coastal state.--The term ``coastal State'' has the same 
     meaning given the term ``coastal state'' in section 304 of 
     the Coastal Zone Management Act of 1972 (16 U.S.C. 1453).
       (3) Department.--The term ``Department'' means the 
     Department of the Interior, except as the context indicates 
     otherwise.
       (4) Function.--The term ``function'', with respect to a 
     function of an officer, employee, or agent of the Federal 
     Government, or of a Department, agency, office, or other 
     instrumentality of the Federal Government, includes 
     authorities, powers, rights, privileges, immunities, 
     programs, projects, activities, duties, and responsibilities.
       (5) Important ecological area.--The term ``important 
     ecological area'' means an area that contributes 
     significantly to local or larger marine ecosystem health or 
     is an especially unique or sensitive marine ecosystem.
       (6) Indian land.--The term ``Indian land'' has the meaning 
     given the term in section 502(a) of title V of Public Law 
     109-58 (25 U.S.C. 3501(2)).
       (7) Indian tribe.--The term ``Indian tribe'' has the same 
     meaning given the term ``Indian tribe'' has in section 4 of 
     the Indian Self-Determination and Education Assistance Act 
     (25 U.S.C. 450b).
       (8) Marine ecosystem health.--The term ``marine ecosystem 
     health'' means the ability of an ecosystem in ocean and 
     coastal waters to support and maintain patterns, important 
     processes, and productive, sustainable, and resilient 
     communities of organisms, having a species composition, 
     diversity, and functional organization resulting from the 
     natural habitat of the region, such that it is capable of 
     supporting a variety of activities and providing a complete 
     range of ecological benefits. Such an ecosystem would be 
     characterized by a variety of factors, including--
       (A) a complete diversity of native species and habitat 
     wherein each native species is able to maintain an abundance, 
     population structure, and distribution supporting its 
     ecological and evolutionary functions, patterns, and 
     processes; and
       (B) a physical, chemical, geological, and microbial 
     environment that is necessary to achieve such diversity.
       (9) Mineral.--The term ``mineral'' has the same meaning 
     that the term ``minerals'' has in section 2(q) of the Outer 
     Continental Shelf Lands Act (43 U.S.C. 1331(q)).
       (10) Nonrenewable energy resource.--The term ``nonrenewable 
     energy resource'' means oil and natural gas.
       (11) Operator.--The term ``operator'' means--
       (A) the lessee; or
       (B) a person designated by the lessee as having control or 
     management of operations on the leased area or a portion 
     thereof, who is--
       (i) approved by the Secretary, acting through the Bureau of 
     Energy and Resource Management; or
       (ii) the holder of operating rights under an assignment of 
     operating rights that is approved by the Secretary, acting 
     through the Bureau of Energy and Resource Management.
       (12) Outer continental shelf.--The term ``Outer Continental 
     Shelf'' has the same meaning given the term ``outer 
     Continental Shelf'' has in the Outer Continental Shelf Lands 
     Act (43 U.S.C. 1331 et seq.).
       (13) Regional ocean partnership.--The term ``Regional Ocean 
     Partnership'' means voluntary, collaborative management 
     initiatives developed and entered into by the Governors of 
     two or more coastal States or created by an interstate 
     compact for the purpose of addressing more than one ocean, 
     coastal, or Great Lakes issue and to implement policies and 
     activities identified under special area management plans 
     under the Coastal Zone Management Act of 1972 (16 U.S.C. 1451 
     et seq.) or other agreements developed and signed by the 
     Governors.
       (14) Renewable energy resource.--The term ``renewable 
     energy resource'' means each of the following:
       (A) Wind energy.
       (B) Solar energy.
       (C) Geothermal energy.
       (D) Biomass or landfill gas.
       (E) Marine and hydrokinetic renewable energy, as that term 
     is defined in section 632 of the Energy Independence and 
     Security Act of 2007 (42 U.S.C. 17211).
       (15) Secretaries.--The term ``Secretaries'' means the 
     Secretary of the Interior and the Secretary of Commerce.
       (16) Secretary.--The term ``Secretary'' means the Secretary 
     of the Interior, except as otherwise provided in this Act.
       (17) Terms defined in other law.--Each of the terms 
     ``Federal land'', ``lease'', and ``mineral leasing law'' has 
     the same meaning given the term under the Federal Oil and Gas 
     Royalty Management Act of 1982 (30 U.S.C. 1701 et seq.), 
     except that such terms shall also apply to all minerals and 
     renewable energy resources in addition to oil and gas.

      TITLE I--CREATION OF NEW DEPARTMENT OF THE INTERIOR AGENCIES

     SEC. 101. BUREAU OF ENERGY AND RESOURCE MANAGEMENT.

       (a) Establishment.--There is established in the Department 
     of the Interior a Bureau of Energy and Resource Management 
     (referred to in this section as the ``Bureau'') to be headed 
     by a Director of Energy and Resource Management (referred to 
     in this section as the ``Director'').
       (b) Director.--
       (1) Appointment.--The Director shall be appointed by the 
     President, by and with the advice and consent of the Senate, 
     on the basis of--
       (A) professional background, demonstrated competence, and 
     ability; and
       (B) capacity to--
       (i) administer the provisions of this Act; and
       (ii) ensure that the fiduciary duties of the United States 
     Government on behalf of the people of the United States, as 
     they relate to development of nonrenewable and renewable 
     energy and mineral resources, are duly met.
       (2) Compensation.--The Director shall be compensated at the 
     rate provided for Level V of the Executive Schedule under 
     section 5316 of title 5, United States Code.
       (c) Duties.--
       (1) In general.--Except as provided in paragraph (4), the 
     Secretary shall carry out through the Bureau all functions, 
     powers, and duties vested in the Secretary relating to the 
     administration of a comprehensive program of nonrenewable and 
     renewable energy and mineral resources management--
       (A) on the Outer Continental Shelf, pursuant to the Outer 
     Continental Shelf Lands Act as amended by this Act (43 U.S.C. 
     1331 et seq.);
       (B) on Federal public lands, pursuant to the Mineral 
     Leasing Act (30 U.S.C. 181 et seq.) and the Geothermal Steam 
     Act of 1970 (30 U.S.C. 1001 et seq.);
       (C) on acquired Federal lands, pursuant to the Mineral 
     Leasing Act for Acquired Lands (30 U.S.C. 351 et seq.) and 
     the Geothermal Steam Act of 1970 (30 U.S.C. 1001 et seq.);
       (D) in the National Petroleum Reserve in Alaska, pursuant 
     to the Naval Petroleum Reserves Production Act of 1976 (42 
     U.S.C. 6501 et seq.);
       (E) on any Federal land pursuant to any mineral leasing 
     law; and
       (F) pursuant to this Act and all other applicable Federal 
     laws, including the administration and approval of all 
     instruments and agreements required to ensure orderly, safe, 
     and environmentally responsible nonrenewable and renewable 
     energy and mineral resources development activities.
       (2) Specific authorities.--The Director shall promulgate 
     and implement regulations for the proper issuance of leases 
     for the exploration, development, and production of 
     nonrenewable and renewable energy and mineral resources, and 
     for the issuance of permits under such leases, on the Outer 
     Continental Shelf and for nonrenewable and renewable energy 
     and mineral resources managed by the Bureau of Land 
     Management on the date of enactment of this Act, or any other 
     Federal land management agency, including regulations 
     relating to resource identification, access, evaluation, and 
     utilization.
       (3) Independent environmental science.--
       (A) In general.--The Secretary shall create an independent 
     office within the Bureau that--
       (i) shall report to the Director;
       (ii) shall be programmatically separate and distinct from 
     the leasing and permitting activities of the Bureau; and
       (iii) shall--

       (I) carry out the environmental studies program under 
     section 20 of the Outer Continental Shelf Lands Act (43 
     U.S.C. 1346);
       (II) conduct any environmental analyses necessary for the 
     programs administered by the Bureau; and
       (III) carry out other functions as deemed necessary by the 
     Secretary.

       (B) Consultation.--Studies and analyses carried out by the 
     office created under subparagraph (A) shall be conducted in 
     appropriate and timely consultation with other relevant 
     Federal agencies, including--
       (i) the Bureau of Safety and Environmental Enforcement;
       (ii) the United States Fish and Wildlife Service;
       (iii) the United States Geological Survey; and
       (iv) the National Oceanic and Atmospheric Administration.
       (4) Limitation.--The Secretary shall not carry out through 
     the Bureau any function, power, or duty that is--

[[Page 14857]]

       (A) required by section 102 to be carried out through 
     Bureau of Safety and Environmental Enforcement; or
       (B) required by section 103 to be carried out through the 
     Office of Natural Resources Revenue.
       (d) Comprehensive Data and Analyses on Outer Continental 
     Shelf Resources.--
       (1) In general.--
       (A) Programs.--The Director shall develop and carry out 
     programs for the collection, evaluation, assembly, analysis, 
     and dissemination of data and information that is relevant to 
     carrying out the duties of the Bureau, including studies 
     under section 20 of the Outer Continental Shelf Lands Act (43 
     U.S.C. 1346).
       (B) Use of data and information.--The Director shall, in 
     carrying out functions pursuant to the Outer Continental 
     Lands Act (43 U.S.C. 1331 et seq.), consider data and 
     information referred to in subparagraph (A) which shall 
     inform the management functions of the Bureau, and shall 
     contribute to a broader coordination of development 
     activities within the contexts of the best available science 
     and marine spatial planning.
       (2) Interagency cooperation.--In carrying out programs 
     under this subsection, the Bureau shall--
       (A) utilize the authorities of subsection (g) and (h) of 
     section 18 of the Outer Continental Shelf Lands Act (43 
     U.S.C. 1344);
       (B) cooperate with appropriate offices in the Department 
     and in other Federal agencies;
       (C) use existing inventories and mapping of marine 
     resources previously undertaken by the Minerals Management 
     Service, mapping undertaken by the United States Geological 
     Survey and the National Oceanographic and Atmospheric 
     Administration, and information provided by the Department of 
     Defense and other Federal and State agencies possessing 
     relevant data; and
       (D) use any available data regarding renewable energy 
     potential, navigation uses, fisheries, aquaculture uses, 
     recreational uses, habitat, conservation, and military uses 
     of the Outer Continental Shelf.
       (e) Responsibilities of Land Management Agencies.--Nothing 
     in this section shall affect the authorities of the Bureau of 
     Land Management under the Federal Land Policy and Management 
     Act of 1976 (43 U.S.C. 1701 et seq.) or of the Forest Service 
     under the National Forest Management Act of 1976 (Public Law 
     94-588).

     SEC. 102. BUREAU OF SAFETY AND ENVIRONMENTAL ENFORCEMENT.

       (a) Establishment.--There is established in the Department 
     a Bureau of Safety and Environmental Enforcement (referred to 
     in this section as the ``Bureau'') to be headed by a Director 
     of Safety and Environmental Enforcement (referred to in this 
     section as the ``Director'').
       (b) Director.--
       (1) Appointment.--The Director shall be appointed by the 
     President, by and with the advice and consent of the Senate, 
     on the basis of--
       (A) professional background, demonstrated competence, and 
     ability; and
       (B) capacity to administer the provisions of this Act.
       (2) Compensation.--The Director shall be compensated at the 
     rate provided for Level V of the Executive Schedule under 
     section 5316 of title 5, United States Code.
       (c) Duties.--
       (1) In general.--The Secretary shall carry out through the 
     Bureau all functions, powers, and duties vested in the 
     Secretary relating to the administration of safety and 
     environmental enforcement activities related to nonrenewable 
     and renewable energy and mineral resources--
       (A) on the Outer Continental Shelf pursuant to the Outer 
     Continental Shelf Lands Act (43 U.S.C. 1331 et seq.);
       (B) on Federal public lands, pursuant to the Mineral 
     Leasing Act (30 U.S.C. 181 et seq.) and the Geothermal Steam 
     Act of 1970 (30 U.S.C. 1001 et seq.);
       (C) on acquired Federal lands, pursuant to the Mineral 
     Leasing Act for Acquired Lands (30 U.S.C. 351 et seq.) and 
     the Geothermal Steam Act of 1970 (30 U.S.C. 1001 et seq.);
       (D) in the National Petroleum Reserve in Alaska, pursuant 
     to the Naval Petroleum Reserves Production Act of 1976 (42 
     U.S.C. 6501 et seq.); and
       (E) pursuant to--
       (i) the Federal Oil and Gas Royalty Management Act of 1982 
     (30 U.S.C. 1701 et seq.);
       (ii) the Energy Policy Act of 2005 (Public Law 109-58);
       (iii) the Federal Oil and Gas Royalty Simplification and 
     Fairness Act of 1996 (Public Law 104-185);
       (iv) the Forest and Rangeland Renewable Resources Planning 
     Act of 1974 (16 U.S.C. 1600 et seq.);
       (v) the Federal Land Policy and Management Act of 1976 (43 
     U.S.C. 1701 et seq.);
       (vi) this Act; and
       (vii) all other applicable Federal laws,
     including the authority to develop, promulgate, and enforce 
     regulations to ensure the safe and environmentally sound 
     exploration, development, and production of nonrenewable and 
     renewable energy and mineral resources on the Outer 
     Continental Shelf and onshore federally managed lands.
       (d) Authorities.--In carrying out the duties under this 
     section, the Secretary's authorities shall include--
       (1) performing necessary oversight activities to ensure the 
     proper application of environmental reviews, including those 
     conducted pursuant to the National Environmental Policy Act 
     of 1969 (42 U.S.C. 4321 et seq.) by the Bureau of Energy and 
     Resource Management in the performance of its duties under 
     the Outer Continental Shelf Lands Act (43 U.S.C. 1331 et 
     seq.);
       (2) suspending or prohibiting, on a temporary basis, any 
     operation or activity, including production--
       (A) on leases held on the Outer Continental Shelf, in 
     accordance with section 5(a)(1) of the Outer Continental 
     Shelf Lands Act (43 U.S.C. 1334(a)(1)); or
       (B) on leases or rights-of-way held on Federal lands under 
     any other minerals or energy leasing statute, in accordance 
     with section 302(c) of the Federal Land Policy and Management 
     Act of 1976 (43 U.S.C. 1701 et seq.);
       (3) cancelling any lease, permit, or right-of-way--
       (A) on the Outer Continental Shelf, in accordance with 
     section 5(a)(2) of the Outer Continental Shelf Lands Act (43 
     U.S.C. 1334(a)(2)); or
       (B) on onshore Federal lands, in accordance with section 
     302(c) of the Federal Land Policy and Management Act of 1976 
     (43 U.S.C. 1732(c));
       (4) compelling compliance with applicable worker safety and 
     environmental laws and regulations;
       (5) requiring comprehensive safety and environmental 
     management programs for persons engaged in activities 
     connected with the exploration, development, and production 
     of energy or mineral resources;
       (6) developing and implementing regulations for Federal 
     employees to carry out any inspection or investigation to 
     ascertain compliance with applicable regulations, including 
     health, safety, or environmental regulations;
       (7) collecting, evaluating, assembling, analyzing, and 
     publicly disseminating electronically data and information 
     that is relevant to inspections, failures, or accidents 
     involving equipment and systems used for exploration and 
     production of energy and mineral resources, including human 
     factors associated therewith;
       (8) implementing the Offshore Technology Research and Risk 
     Assessment Program under section 21 of the Outer Continental 
     Shelf Lands Act (43 U.S.C. 1347);
       (9) summoning witnesses and directing the production of 
     evidence;
       (10) levying fines and penalties and disqualifying 
     operators; and
       (11) carrying out any safety, response, and removal 
     preparedness functions.
       (e) Employees.--
       (1) In general.--The Secretary shall ensure that the 
     inspection force of the Bureau consists of qualified, trained 
     employees who meet qualification requirements and adhere to 
     the highest professional and ethical standards.
       (2) Qualifications.--The qualification requirements 
     referred to in paragraph (1)--
       (A) shall be determined by the Secretary, subject to 
     subparagraph (B); and
       (B) shall include--
       (i) three years of practical experience in oil and gas 
     exploration, development, or production; or
       (ii) a degree in an appropriate field of engineering from 
     an accredited institution of higher learning.
       (3) Assignment.--In assigning oil and gas inspectors to the 
     inspection and investigation of individual operations, the 
     Secretary shall give due consideration to the extent possible 
     to their previous experience in the particular type of oil 
     and gas operation in which such inspections are to be made.
       (4) Training academy.--
       (A) In general.--The Secretary shall establish and maintain 
     a National Oil and Gas Health and Safety Academy (referred to 
     in this paragraph as the ``Academy'') as an agency of the 
     Department of the Interior.
       (B) Functions of academy.--The Secretary, through the 
     Academy, shall be responsible for--
       (i) the initial and continued training of both newly hired 
     and experienced oil and gas inspectors in all aspects of 
     health, safety, environmental, and operational inspections;
       (ii) the training of technical support personnel of the 
     Bureau;
       (iii) any other training programs for oil and gas 
     inspectors, Bureau personnel, Department personnel, or other 
     persons as the Secretary shall designate; and
       (iv) certification of the successful completion of training 
     programs for newly hired and experienced oil and gas 
     inspectors.
       (C) Cooperative agreements.--
       (i) In general.--In performing functions under this 
     paragraph, and subject to clause (ii), the Secretary may 
     enter into cooperative educational and training agreements 
     with educational institutions, related Federal academies, 
     other Federal agencies, State governments, labor 
     organizations, and oil and gas operators and related 
     industries.
       (ii) Training requirement.--Such training shall be 
     conducted by the Academy in accordance with curriculum needs 
     and assignment of instructional personnel established by the 
     Secretary.

[[Page 14858]]

       (D) Use of departmental personnel.--In performing functions 
     under this subsection, the Secretary shall use, to the extent 
     practicable, the facilities and personnel of the Department 
     of the Interior. The Secretary may appoint or assign to the 
     Academy such officers and employees as the Secretary 
     considers necessary for the performance of the duties and 
     functions of the Academy.
       (5) Additional training programs.--
       (A) In general.--The Secretary shall work with appropriate 
     educational institutions, operators, and representatives of 
     oil and gas workers to develop and maintain adequate programs 
     with educational institutions and oil and gas operators, that 
     are designed--
       (i) to enable persons to qualify for positions in the 
     administration of this Act; and
       (ii) to provide for the continuing education of inspectors 
     or other appropriate Departmental personnel.
       (B) Financial and technical assistance.--The Secretary may 
     provide financial and technical assistance to educational 
     institutions in carrying out this paragraph.

     SEC. 103. OFFICE OF NATURAL RESOURCES REVENUE.

       (a) Establishment.--There is established in the Department 
     an Office of Natural Resources Revenue (referred to in this 
     section as the ``Office'') to be headed by a Director of 
     Natural Resources Revenue (referred to in this section as the 
     ``Director'').
       (b) Appointment and Compensation.--
       (1) In general.--The Director shall be appointed by the 
     President, by and with the advice and consent of the Senate, 
     on the basis of--
       (A) professional competence; and
       (B) capacity to--
       (i) administer the provisions of this Act; and
       (ii) ensure that the fiduciary duties of the United States 
     Government on behalf of the American people, as they relate 
     to development of nonrenewable and renewable energy and 
     mineral resources, are duly met.
       (2) Compensation.--The Director shall be compensated at the 
     rate provided for Level V of the Executive Schedule under 
     section 5316 of title 5, United States Code.
       (c) Duties.--
       (1) In general.--The Secretary shall carry out, through the 
     Office--
       (A) all functions, powers, and duties vested in the 
     Secretary and relating to the administration of the royalty 
     and revenue management functions pursuant to--
       (i) the Outer Continental Shelf Lands Act (43 U.S.C. 1331 
     et seq.);
       (ii) the Mineral Leasing Act (30 U.S.C. 181 et seq.);
       (iii) the Mineral Leasing Act for Acquired Lands (30 U.S.C. 
     351 et seq.);
       (iv) the Geothermal Steam Act of 1970 (30 U.S.C. 1001 et 
     seq.);
       (v) the Naval Petroleum Reserves Production Act of 1976 (42 
     U.S.C. 6501 et seq.);
       (vi) the Federal Oil and Gas Royalty Management Act of 1982 
     (30 U.S.C. 1701 et seq.);
       (vii) the Federal Oil and Gas Royalty Simplification and 
     Fairness Act of 1996 (Public Law 104-185);
       (viii) the Energy Policy Act of 2005 (Public Law 109-58);
       (ix) the Forest and Rangeland Renewable Resources Planning 
     Act of 1974 (16 U.S.C. 1600 et seq.);
       (x) the Federal Land Policy and Management Act of 1976 (43 
     U.S.C. 1701 et seq.); and
       (xi) this Act and all other applicable Federal laws; and
       (B) all functions, powers, and duties previously assigned 
     to the Minerals Management Service (including the authority 
     to develop, promulgate, and enforce regulations) regarding--
       (i) royalty and revenue collection;
       (ii) royalty and revenue distribution;
       (iii) auditing and compliance;
       (iv) investigation and enforcement of royalty and revenue 
     regulations; and
       (v) asset management for onshore and offshore activities.
       (d) Oversight.--In order to provide transparency and ensure 
     strong oversight over the revenue program, the Secretary 
     shall--
       (1) create within the Office an independent audit and 
     oversight program responsible for monitoring the performance 
     of the Office with respect to the duties and functions under 
     subsection (c), and conducting internal control audits of the 
     operations of the Office;
       (2) facilitate the participation of those Indian tribes and 
     States operating pursuant to cooperative agreements or 
     delegations under the Federal Oil and Gas Royalty Management 
     Act of 1982 (30 U.S.C. 1701 et seq.) on all of the management 
     teams, committees, councils, and other entities created by 
     the Office; and
       (3) assure prior consultation with those Indian tribes and 
     States referred to in paragraph (2) in the formulation all 
     policies, procedures, guidance, standards, and rules relating 
     to the functions referred to in subsection (c).

     SEC. 104. ETHICS.

       (a) Certification.--The Secretary shall certify annually 
     that all Department of the Interior officers and employees 
     having regular, direct contact with lessees and operators as 
     a function of their official duties are in full compliance 
     with all Federal employee ethics laws and regulations under 
     the Ethics in Government Act of 1978 (5 U.S.C. App.) and part 
     2635 of title 5, Code of Federal Regulations, and all 
     guidance issued under subsection (b).
       (b) Guidance.--Not later than 90 days after the date of 
     enactment of this Act, the Secretary shall issue 
     supplementary ethics guidance for the employees for which 
     certification is required under subsection (a).

     SEC. 105. REFERENCES.

       (a) Bureau of Energy and Resource Management.--Any 
     reference in any law, rule, regulation, directive, 
     instruction, certificate, or other official document, in 
     force immediately before the enactment of this Act--
       (1) to the Minerals Management Service that pertains to any 
     of the duties and authorities referred to in section 101 is 
     deemed to refer and apply to the Bureau of Energy and 
     Resource Management established by section 101;
       (2) to the Director of the Minerals Management Service that 
     pertains to any of the duties and authorities referred to in 
     section 101 is deemed to refer and apply to the Director of 
     the Bureau of Energy and Resource Management;
       (3) to any other position in the Minerals Management 
     Service that pertains to any of the duties and authorities 
     referred to in section 101 is deemed to refer and apply to 
     that same or equivalent position in the Bureau of Energy and 
     Resource Management;
       (4) to the Bureau of Land Management that pertains to any 
     of the duties and authorities referred to in section 101 is 
     deemed to refer and apply to the Bureau of Energy and 
     Resource Management;
       (5) to the Director of the Bureau of Land Management that 
     pertains to any of the duties and authorities referred to in 
     section 101 is deemed to refer and apply to the Director of 
     the Bureau of Energy and Resource Management; and
       (6) to any other position in the Bureau of Land Management 
     that pertains to any of the duties and authorities referred 
     to in section 101 is deemed to refer and apply to that same 
     or equivalent position in the Bureau of Energy and Resource 
     Management.
       (b) Bureau of Safety and Environmental Enforcement.--Any 
     reference in any law, rule, regulation, directive, 
     instruction, certificate, or other official document in force 
     immediately before the enactment of this Act--
       (1) to the Minerals Management Service that pertains to any 
     of the duties and authorities referred to in section 102 is 
     deemed to refer and apply to the Bureau of Safety and 
     Environmental Enforcement established by section 102;
       (2) to the Director of the Minerals Management Service that 
     pertains to any of the duties and authorities referred to in 
     section 102 is deemed to refer and apply to the Director of 
     the Bureau of Safety and Environmental Enforcement;
       (3) to any other position in the Minerals Management 
     Service that pertains to any of the duties and authorities 
     referred to in section 102 is deemed to refer and apply to 
     that same or equivalent position in the Bureau of Safety and 
     Environmental Enforcement;
       (4) to the Bureau of Land Management that pertains to any 
     of the duties and authorities referred to in section 102 is 
     deemed to refer and apply to the Bureau of Safety and 
     Environmental Enforcement;
       (5) to the Director of the Bureau of Land Management that 
     pertains to any of the duties and authorities referred to in 
     section 102 is deemed to refer and apply to the Director of 
     the Bureau of Safety and Environmental Enforcement; and
       (6) to any other position in the Bureau of Land Management 
     that pertains to any of the duties and authorities referred 
     to in section 102 is deemed to refer and apply to that same 
     or equivalent position in the Bureau of Safety and 
     Environmental Enforcement.
       (c) Office of Natural Resources Revenue.--Any reference in 
     any law, rule, regulation, directive, or instruction, or 
     certificate or other official document, in force immediately 
     prior to enactment--
       (1) to the Minerals Management Service that pertains to any 
     of the duties and authorities referred to in section 103 is 
     deemed to refer and apply to the Office of Natural Resources 
     Revenue established by section 103;
       (2) to the Director of the Minerals Management Service that 
     pertains to any of the duties and authorities referred to in 
     section 103 is deemed to refer and apply to the Director of 
     Natural Resources Revenue; and
       (3) to any other position in the Minerals Management 
     Service that pertains to any of the duties and authorities 
     referred to in section 103 is deemed to refer and apply to 
     that same or equivalent position in the Office of Natural 
     Resources Revenue.

     SEC. 106. ABOLISHMENT OF MINERALS MANAGEMENT SERVICE.

       (a) Abolishment.--The Minerals Management Service (in this 
     section referred to as the ``Service'') is abolished.
       (b) Completed Administrative Actions.--
       (1) In general.--Completed administrative actions of the 
     Service shall not be affected by the enactment of this Act, 
     but shall continue in effect according to their terms until 
     amended, modified, superseded, terminated, set aside, or 
     revoked in accordance with law by an officer of the United 
     States or a court of competent jurisdiction, or by operation 
     of law.

[[Page 14859]]

       (2) Completed administrative action defined.--For purposes 
     of paragraph (1), the term ``completed administrative 
     action'' includes orders, determinations, rules, regulations, 
     personnel actions, permits, agreements, grants, contracts, 
     certificates, licenses, registrations, and privileges.
       (c) Pending Proceedings.--Subject to the authority of the 
     Secretary of the Interior and the officers of the Department 
     of the Interior under this Act--
       (1) pending proceedings in the Service, including notices 
     of proposed rulemaking, and applications for licenses, 
     permits, certificates, grants, and financial assistance, 
     shall continue, notwithstanding the enactment of this Act or 
     the vesting of functions of the Service in another agency, 
     unless discontinued or modified under the same terms and 
     conditions and to the same extent that such discontinuance or 
     modification could have occurred if this Act had not been 
     enacted; and
       (2) orders issued in such proceedings, and appeals 
     therefrom, and payments made pursuant to such orders, shall 
     issue in the same manner and on the same terms as if this Act 
     had not been enacted, and any such orders shall continue in 
     effect until amended, modified, superseded, terminated, set 
     aside, or revoked by an officer of the United States or a 
     court of competent jurisdiction, or by operation of law.
       (d) Pending Civil Actions.--Subject to the authority of the 
     Secretary of the Interior or any officer of the Department of 
     the Interior under this Act, pending civil actions shall 
     continue notwithstanding the enactment of this Act, and in 
     such civil actions, proceedings shall be had, appeals taken, 
     and judgments rendered and enforced in the same manner and 
     with the same effect as if such enactment had not occurred.
       (e) References.--References relating to the Service in 
     statutes, Executive orders, rules, regulations, directives, 
     or delegations of authority that precede the effective date 
     of this Act are deemed to refer, as appropriate, to the 
     Department, to its officers, employees, or agents, or to its 
     corresponding organizational units or functions. Statutory 
     reporting requirements that applied in relation to the 
     Service immediately before the effective date of this Act 
     shall continue to apply.

     SEC. 107. CONFORMING AMENDMENT.

       Section 5316 of title 5, United States Code, is amended by 
     striking ``Director, Bureau of Mines, Department of the 
     Interior.'' and inserting the following new items:
       ``Director, Bureau of Energy and Resource Management, 
     Department of the Interior.
       ``Director, Bureau of Safety and Environmental Enforcement, 
     Department of the Interior.
       ``Director, Office of Natural Resources Revenue, Department 
     of the Interior.''.

     SEC. 108. OUTER CONTINENTAL SHELF SAFETY AND ENVIRONMENTAL 
                   ADVISORY BOARD.

       (a) Establishment.--The Secretary shall establish, under 
     the Federal Advisory Committee Act, an Outer Continental 
     Shelf Safety and Environmental Advisory Board (referred to in 
     this section as the ``Board''), to provide the Secretary and 
     the Directors of the bureaus established by this title with 
     independent scientific and technical advice on safe and 
     environmentally compliant nonrenewable and renewable energy 
     and mineral resource exploration, development, and production 
     activities.
       (b) Membership.--
       (1) Size.--The Board shall consist of not more than 12 
     members, chosen to reflect a range of expertise in 
     scientific, engineering, management, environmental, and other 
     disciplines related to safe and environmentally compliant 
     renewable and nonrenewable energy and mineral resource 
     exploration, development, and production activities. The 
     Secretary shall consult with the National Academy of Sciences 
     and the National Academy of Engineering to identify potential 
     candidates for the Board.
       (2) Term.--The Secretary shall appoint Board members to 
     staggered terms of not more than 4 years, and shall not 
     appoint a member for more than 2 consecutive terms.
       (3) Balance.--In appointing members to the Board, the 
     Secretary shall ensure a balanced representation of industry- 
     and nonindustry-related interests.
       (c) Chair.--The Secretary shall appoint the Chair for the 
     Board.
       (d) Meetings.--The Board shall meet not less than 3 times 
     per year and, at least once per year, shall host a public 
     forum to review and assess the overall safety and 
     environmental performance of Outer Continental Shelf 
     nonrenewable and renewable energy and mineral resource 
     activities.
       (e) Offshore Drilling Safety Assessments and 
     Recommendations.--As part of its duties under this section, 
     the Board shall, by not later than 180 days after the date of 
     enactment of this section and every 5 years thereafter, 
     submit to the Secretary a report that--
       (1) assesses offshore oil and gas well control 
     technologies, practices, voluntary standards, and regulations 
     in the United States and elsewhere;
       (2) assesses whether existing well control regulations 
     issued by the Secretary under the Outer Continental Shelf 
     Lands Act (43 U.S.C. 1331 et seq.) adequately protect public 
     health and safety and the environment; and
       (3) as appropriate, recommends modifications to the 
     regulations issued under this Act to ensure adequate 
     protection of public health and safety and the environment.
       (f) Reports.--Reports of the Board shall be submitted to 
     the Congress and made available to the public in 
     electronically accessible form.
       (g) Travel Expenses.--Members of the Board, other than 
     full-time employees of the Federal Government, while 
     attending meeting of the Board or while otherwise serving at 
     the request of the Secretary or the Director while serving 
     away from their homes or regular places of business, may be 
     allowed travel expenses, including per diem in lieu of 
     subsistence, as authorized by section 5703 of title 5, United 
     States Code, for individuals in the Government serving 
     without pay.

               TITLE II--FEDERAL OIL AND GAS DEVELOPMENT

 Subtitle A--Safety, Environmental, and Financial Reform of the Outer 
                      Continental Shelf Lands Act

     SEC. 201. SHORT TITLE.

       This subtitle may be cited as the ``Outer Continental Shelf 
     Lands Act Amendments of 2010''.

     SEC. 202. DEFINITIONS.

       Section 2 of the Outer Continental Shelf Lands Act (43 
     U.S.C. 1331) is amended by adding at the end the following:
       ``(r) The term `safety case' means a body of evidence that 
     provides a basis for determining whether a system is 
     adequately safe for a given application in a given operating 
     environment.''.

     SEC. 203. NATIONAL POLICY FOR THE OUTER CONTINENTAL SHELF.

       Section 3 of the Outer Continental Shelf Lands Act (43 
     U.S.C. 1332) is amended--
       (1) by striking paragraph (3) and inserting the following:
       ``(3) the outer Continental Shelf is a vital national 
     resource reserve held by the Federal Government for the 
     public, that should be managed in a manner that--
       ``(A) recognizes the need of the United States for domestic 
     sources of energy, food, minerals, and other resources;
       ``(B) minimizes the potential impacts of development of 
     those resources on the marine and coastal environment and on 
     human health and safety; and
       ``(C) acknowledges the long-term economic value to the 
     United States of the balanced and orderly management of those 
     resources that safeguards the environment and respects the 
     multiple values and uses of the outer Continental Shelf;'';
       (2) in paragraph (4), by striking the period at the end and 
     inserting a semicolon;
       (3) in paragraph (5), by striking ``should be'' and 
     inserting ``shall be'', and striking ``; and'' and inserting 
     a semicolon;
       (4) by redesignating paragraph (6) as paragraph (7);
       (5) by inserting after paragraph (5) the following:
       ``(6) exploration, development, and production of energy 
     and minerals on the outer Continental Shelf should be allowed 
     only when those activities can be accomplished in a manner 
     that minimizes--
       ``(A) harmful impacts to life (including fish and other 
     aquatic life) and health;
       ``(B) damage to the marine, coastal, and human environments 
     and to property; and
       ``(C) harm to other users of the waters, seabed, or 
     subsoil; and''; and
       (6) in paragraph (7) (as so redesignated), by--
       (A) striking ``should be'' and inserting ``shall be'';
       (B) inserting ``best available'' after ``using''; and
       (C) striking ``or minimize''.

     SEC. 204. JURISDICTION OF LAWS ON THE OUTER CONTINENTAL 
                   SHELF.

       Section 4(a)(1) of the Outer Continental Shelf Lands Act 
     (43 U.S.C. 1333(a)(1)) is amended by--
       (1) inserting ``or producing or supporting production of 
     energy from sources other than oil and gas'' after 
     ``therefrom'';
       (2) inserting ``or transmitting such energy'' after 
     ``transporting such resources''; and
       (3) inserting ``and other energy'' after ``That mineral''.

     SEC. 205. OUTER CONTINENTAL SHELF LEASING STANDARD.

       (a) In General.--Section 5 of the Outer Continental Shelf 
     Lands Act (43 U.S.C. 1334) is amended--
       (1) in subsection (a), by striking ``The Secretary may at 
     any time'' and inserting ``The Secretary shall'';
       (2) in the second sentence of subsection (a), by adding 
     after ``provide for'' the following: ``operational safety, 
     the protection of the marine and coastal environment, and'';
       (3) in subsection (a), by inserting ``and the Secretary of 
     Commerce with respect to matters that may affect the marine 
     and coastal environment'' after ``which may affect 
     competition'';
       (4) in clause (ii) of subsection (a)(2)(A), by striking ``a 
     reasonable period of time'' and inserting ``30 days'';
       (5) in subsection (a)(7), by inserting ``in a manner that 
     minimizes harmful impacts to the marine and coastal 
     environment'' after ``lease area'';
       (6) in subsection (a), by striking ``and'' after the 
     semicolon at the end of paragraph

[[Page 14860]]

     (7), redesignating paragraph (8) as paragraph (13), and 
     inserting after paragraph (7) the following:
       ``(8) for independent third-party certification 
     requirements of safety systems related to well control, such 
     as blowout preventers;
       ``(9) for performance requirements for blowout preventers, 
     including quantitative risk assessment standards, subsea 
     testing, and secondary activation methods;
       ``(10) for independent third-party certification 
     requirements of well casing and cementing programs and 
     procedures;
       ``(11) for the establishment of mandatory safety and 
     environmental management systems by operators on the Outer 
     Continental Shelf;
       ``(12) for procedures and technologies to be used during 
     drilling operations to minimize the risk of ignition and 
     explosion of hydrocarbons;'';
       (7) in subsection (a), by striking the period at the end of 
     paragraph (13), as so redesignated, and inserting ``; and'', 
     and by adding at the end the following:
       ``(14) ensuring compliance with other applicable 
     environmental and natural resource conservation laws.''; and
       (8) by adding at the end the following new subsections:
       ``(k) Documents Incorporated by Reference.--Any documents 
     incorporated by reference in regulations promulgated by the 
     Secretary pursuant to this Act shall be made available to the 
     public, free of charge, on a website maintained by the 
     Secretary.
       ``(l) Regulatory Standards for Blowout Preventers, Well 
     Design, and Cementing.--
       ``(1) In general.--In promulgating regulations under this 
     Act related to blowout preventers, well design, and 
     cementing, the Secretary shall ensure that such regulations 
     include the minimum standards included in paragraphs (2), 
     (3), and (4), unless, after notice and an opportunity for 
     public comment, the Secretary determines that a standard 
     required under this subsection would be less effective in 
     ensuring safe operations than an available alternative 
     technology or practice. Such regulations shall require 
     independent third-party certification, pursuant to paragraph 
     (5), of blowout preventers, well design, and cementing 
     programs and procedures prior to the commencement of drilling 
     operations. Such regulations shall also require re-
     certification by an independent third-party certifier, 
     pursuant to paragraph (5), of a blowout preventer upon any 
     material modification to the blowout preventer or well design 
     and of a well design upon any material modification to the 
     well design.
       ``(2) Blowout preventers.--Subject to paragraph (1), 
     regulations issued under this Act for blowout preventers 
     shall include at a minimum the following requirements:
       ``(A) Two sets of blind shear rams appropriately spaced to 
     prevent blowout preventer failure if a drill pipe joint or 
     drill tool is across one set of blind shear rams during a 
     situation that threatens loss of well control.
       ``(B) Redundant emergency backup control systems capable of 
     activating the relevant components of a blowout preventer, 
     including when the communications link or other critical 
     links between the drilling rig and the blowout preventer are 
     destroyed or inoperable.
       ``(C) Regular testing of the emergency backup control 
     systems, including testing during deployment of the blowout 
     preventer.
       ``(D) As appropriate, remotely operated vehicle 
     intervention capabilities for secondary control of all subsea 
     blowout preventer functions, including adequate hydraulic 
     capacity to activate blind shear rams, casing shear rams, and 
     other critical blowout preventer components.
       ``(3) Well design.--Subject to paragraph (1), regulations 
     issued under this Act for well design standards shall include 
     at a minimum the following requirements:
       ``(A) In connection with the installation of the final 
     casing string, the installation of at least two independent, 
     tested mechanical barriers, in addition to a cement barrier, 
     across each flow path between hydrocarbon bearing formations 
     and the blowout preventer.
       ``(B) That wells shall be designed so that a failure of one 
     barrier does not significantly increase the likelihood of 
     another barrier's failure.
       ``(C) That the casing design is appropriate for the purpose 
     for which it is intended under reasonably expected wellbore 
     conditions.
       ``(D) The installation and verification with a pressure 
     test of a lockdown device at the time the casing is installed 
     in the wellhead.
       ``(4) Cementing.--Subject to paragraph (1), regulations 
     issued under this Act for cementing standards shall include 
     at a minimum the following requirements:
       ``(A) Adequate centralization of the casing to ensure 
     proper distribution of cement.
       ``(B) A full circulation of drilling fluids prior to 
     cementing.
       ``(C) The use of an adequate volume of cement to prevent 
     any unintended flow of hydrocarbons between any hydrocarbon-
     bearing formation zone and the wellhead.
       ``(D) Cement bond logs for all cementing jobs intended to 
     provide a barrier to hydrocarbon flow.
       ``(E) Cement bond logs or such other integrity tests as the 
     Secretary may prescribe for cement jobs other than those 
     identified in subparagraph (D).
       ``(5) Independent third-party certifiers.--The Secretary 
     shall establish appropriate standards for the approval of 
     independent third-party certifiers capable of exercising 
     certification functions for blowout preventers, well design, 
     and cementing. For any certification required for regulations 
     related to blowout preventers, well design, or cementing, the 
     operator shall use a qualified independent third-party 
     certifier chosen by the Secretary. The costs of any 
     certification shall be borne by the operator.
       ``(6) Application to inshore waters; state 
     implementation.--
       ``(A) In general.--Requirements established under this 
     subsection shall apply, as provided in subparagraph (B), to 
     offshore drilling operations that take place on lands that 
     are landward of the outer Continental Shelf and seaward of 
     the line of mean high tide, and that the Secretary 
     determines, based on criteria established by rule, could, in 
     the event of a blowout, lead to extensive and widespread harm 
     to public health and safety or the environment.
       ``(B) Submission of state regulatory regime.--Any State may 
     submit to the Secretary a plan demonstrating that the State's 
     regulatory regime for wells identified in subparagraph (A) 
     establishes requirements for such wells that are comparable 
     to, or alternative requirements providing an equal or greater 
     level of safety than, those established under this section 
     for wells on the outer Continental Shelf. The Secretary shall 
     promptly determine, after notice and an opportunity for 
     public comment, whether a State's regulatory regime meets the 
     standard set forth in the preceding sentence. If the 
     Secretary determines that a State's regulatory regime does 
     not meet such standard, the Secretary shall identify the 
     deficiencies that are the basis for such determination and 
     provide a reasonable period of time for the State to remedy 
     the deficiencies. If the State does not do so within such 
     reasonable period of time, the Secretary shall apply the 
     requirements established under this section to offshore 
     drilling operations described in subparagraph (A) that are 
     located in such State, until such time as the Secretary 
     determines that the deficiencies have been remedied.
       ``(m) Rulemaking Dockets.--
       ``(1) Establishment.--Not later than the date of proposal 
     of any regulation under this Act, the Secretary shall 
     establish a publicly available rulemaking docket for such 
     regulation.
       ``(2) Documents to be included.--The Secretary shall 
     include in the docket--
       ``(A) all written comments and documentary information on 
     the proposed rule received from any person in the comment 
     period for the rulemaking, promptly upon receipt by the 
     Secretary;
       ``(B) the transcript of each public hearing, if any, on the 
     proposed rule, promptly upon receipt from the person who 
     transcribed such hearing; and
       ``(C) all documents that become available after the 
     proposed rule is published and that the Secretary determines 
     are of central relevance to the rulemaking, by as soon as 
     possible after their availability.
       ``(3) Proposed and draft final rule and associated 
     material.--The Secretary shall include in the docket--
       ``(A) each draft proposed rule submitted by the Secretary 
     to the Office of Management and Budget for any interagency 
     review process prior to proposal of such rule, all documents 
     accompanying such draft, all written comments thereon by 
     other agencies, and all written responses to such written 
     comments by the Secretary, by no later than the date of 
     proposal of the rule; and
       ``(B) each draft final rule submitted by the Secretary for 
     such review process before issuance of the final rule, all 
     such written comments thereon, all documents accompanying 
     such draft, and all written responses thereto, by no later 
     than the date of issuance of the final rule.''.
       (b) Conforming Amendment.--Subsection (g) of section 25 of 
     the Outer Continental Shelf Lands Act (43 U.S.C. 1351), as 
     redesignated by section 215(4) of this Act, is further 
     amended by striking ``paragraph (8) of section 5(a) of this 
     Act'' each place it appears and inserting ``paragraph (13) of 
     section 5(a) of this Act''.

     SEC. 206. LEASES, EASEMENTS, AND RIGHTS-OF-WAY.

       (a) Financial Assurance and Fiscal Responsibility.--Section 
     8 of the Outer Continental Shelf Lands Act (43 U.S.C. 1337) 
     is amended by adding at the end the following:
       ``(q) Review of Bond and Surety Amounts.--Not later than 
     May 1, 2011, and every 5 years thereafter, the Secretary 
     shall review the minimum financial responsibility 
     requirements for leases issued under this section and shall 
     ensure that any bonds or surety required are adequate to 
     comply with the requirements of this Act or the Oil Pollution 
     Act of 1990 (33 U.S.C. 2701 et seq.).
       ``(r) Periodic Fiscal Review and Report.--
       ``(1) In general.--Not later than 1 year after the date of 
     enactment of this subsection and every 3 years thereafter, 
     the Secretary shall carry out a review and prepare a report 
     setting forth--

[[Page 14861]]

       ``(A)(i) the royalty and rental rates included in new 
     offshore oil and gas leases; and
       ``(ii) the rationale for the rates;
       ``(B) whether, in the view of the Secretary, the royalty 
     and rental rates described in subparagraph (A) will yield a 
     fair return to the public while promoting the production of 
     oil and gas resources in a timely manner;
       ``(C)(i) the minimum bond or surety amounts required 
     pursuant to offshore oil and gas leases; and
       ``(ii) the rationale for the minimum amounts;
       ``(D) whether the bond or surety amounts described in 
     subparagraph (C) are adequate to comply with subsection (q); 
     and
       ``(E) whether the Secretary intends to modify the royalty 
     or rental rates, or bond or surety amounts, based on the 
     review.
       ``(2) Public participation.--In carrying out a review and 
     preparing a report under paragraph (1), the Secretary shall 
     provide to the public an opportunity to participate.
       ``(3) Report deadline.--Not later than 30 days after the 
     date on which the Secretary completes a report under 
     paragraph (1), the Secretary shall transmit copies of the 
     report to--
       ``(A) the Committee on Energy and Natural Resources of the 
     Senate; and
       ``(B) the Committee on Natural Resources of the House of 
     Representatives.
       ``(s) Comparative Review of Fiscal System.--
       ``(1) In general.--Not later than 2 years after the date of 
     enactment of this subsection and every 5 years thereafter, 
     the Secretary shall carry out a comprehensive review of all 
     components of the Federal offshore oil and gas fiscal system, 
     including requirements for--
       ``(A) bonus bids;
       ``(B) rental rates; and
       ``(C) royalties.
       ``(2) Requirements.--
       ``(A) Contents; scope.--A review under paragraph (1) shall 
     include--
       ``(i) the information and analyses necessary to compare the 
     offshore bonus bids, rents, and royalties of the Federal 
     Government to the offshore bonus bids, rents, and royalties 
     of other resource owners, including States and foreign 
     countries; and
       ``(ii) an assessment of the overall offshore oil and gas 
     fiscal system in the United States, as compared to foreign 
     countries.
       ``(B) Independent advisory committee.--In carrying out a 
     review under paragraph (1), the Secretary shall convene and 
     seek the advice of an independent advisory committee 
     comprised of oil and gas and fiscal experts from States, 
     Indian tribes, academia, the energy industry, and appropriate 
     nongovernmental organizations.
       ``(3) Report.--
       ``(A) In general.--The Secretary shall prepare a report 
     that contains--
       ``(i) the contents and results of the review carried out 
     under paragraph (1) for the period covered by the report; and
       ``(ii) any recommendations of the Secretary based on the 
     contents and results of the review.
       ``(B) Report deadline.--Not later than 30 days after the 
     date on which the Secretary completes a report under 
     paragraph (1), the Secretary shall transmit copies of the 
     report to the Committee on Natural Resources of the House of 
     Representatives and the Committee on Energy and Natural 
     Resources of the Senate.''.
       (b) Environmental Diligence.--Section 8 of the Outer 
     Continental Shelf Lands Act (43 U.S.C. 1337) is amended by 
     striking subsection (d) and inserting the following:
       ``(d) Requirement for Certification of Responsible 
     Stewardship.--
       ``(1) Certification requirement.--No bid or request for a 
     lease, easement, or right-of-way under this section, or for a 
     permit to drill under section 11(d), may be submitted by any 
     person unless the person certifies to the Secretary that the 
     person (including any related person and any predecessor of 
     such person or related person) meets each of the following 
     requirements:
       ``(A) The person is meeting due diligence, safety, and 
     environmental requirements on other leases, easements, and 
     rights-of-way.
       ``(B) In the case of a person that is a responsible party 
     for a vessel or a facility from which oil is discharged, for 
     purposes of section 1002 of the Oil Pollution Act of 1990 (33 
     U.S.C. 2702), the person has met all of its obligations under 
     that Act to provide compensation for covered removal costs 
     and damages.
       ``(C) In the 7-year period ending on the date of 
     certification, the person, in connection with activities in 
     the oil industry (including exploration, development, 
     production, transportation by pipeline, and refining)--
       ``(i) was not found to have committed willful or repeated 
     violations under the Occupational Safety and Health Act of 
     1970 (29 U.S.C. 651 et seq.) (including State plans approved 
     under section 18(c) of such Act (29 U.S.C. 667(c))) at a rate 
     that is higher than five times the rate determined by the 
     Secretary to be the oil industry average for such violations 
     for such period;
       ``(ii) was not convicted of a criminal violation for death 
     or serious bodily injury;
       ``(iii) did not have more than 10 fatalities at its 
     exploration, development, and production facilities and 
     refineries as a result of violations of Federal or State 
     health, safety, or environmental laws;
       ``(iv) was not assessed, did not enter into an agreement to 
     pay, and was not otherwise required to pay, civil penalties 
     and criminal fines for violations the person was found to 
     have committed under the Federal Water Pollution Control Act 
     (33 U.S.C. 1251 et seq.) (including State programs approved 
     under sections 402 and 404 of such Act (33 U.S.C. 1342 and 
     1344)) in a total amount that is equal to more than 
     $10,000,000; and
       ``(v) was not assessed, did not enter into an agreement to 
     pay, and was not otherwise required to pay, civil penalties 
     and criminal fines for violations the person was found to 
     have committed under the Clean Air Act (42 U.S.C. 7401 et 
     seq.) (including State plans approved under section 110 of 
     such Act (42 U.S.C. 7410)) in a total amount that is equal to 
     more than $10,000,000.
       ``(2) Enforcement.--If the Secretary determines that a 
     certification made under paragraph (1) is false, the 
     Secretary shall cancel any lease, easement, or right of way 
     and shall revoke any permit with respect to which the 
     certification was required under such paragraph.
       ``(3) Definition of related person.--For purposes of this 
     subsection, the term `related person' includes a parent, 
     subsidiary, affiliate, member of the same controlled group, 
     contractor, subcontractor, a person holding a controlling 
     interest or in which a controlling interest is held, and a 
     person with substantially the same board members, senior 
     officers, or investors.''.
       (c) Alternative Energy Development.--
       (1) Clarification relating to alternative energy 
     development.--Section 8(p) of the Outer Continental Shelf 
     Lands Act (43 U.S.C. 1337(p)) is amended--
       (A) in paragraph (1)--
       (i) in the matter preceding subparagraph (A), by inserting 
     ``or'' after ``1501 et seq.),'', and by striking ``or other 
     applicable law,''; and
       (ii) by amending subparagraph (D) to read as follows:
       ``(D) use, for energy-related purposes, facilities 
     currently or previously used for activities authorized under 
     this Act, except that any oil and gas energy-related uses 
     shall not be authorized in areas in which oil and gas 
     preleasing, leasing, and related activities are prohibited by 
     a moratorium.''; and
       (B) in paragraph (4)--
       (i) in subparagraph (E), by striking ``coordination'' and 
     inserting ``in consultation''; and
       (ii) in subparagraph (J)(ii), by inserting ``a potential 
     site for an alternative energy facility,'' after ``deepwater 
     port,''.
       (2) Noncompetitive alternative energy lease options.--
     Section 8(p)(3) of such Act (43 U.S.C. 1337(p)(3)) is amended 
     to read as follows:
       ``(3) Competitive or noncompetitive basis.--Any lease, 
     easement, right-of-way, or other authorization granted under 
     paragraph (1) shall be issued on a competitive basis, 
     unless--
       ``(A) the lease, easement, right-of-way, or other 
     authorization relates to a project that meets the criteria 
     established under section 388(d) of the Energy Policy Act of 
     2005 (43 U.S.C. 1337 note; Public Law 109-58);
       ``(B) the lease, easement, right-of-way, or other 
     authorization--
       ``(i) is for the placement and operation of a 
     meteorological or marine data collection facility; and
       ``(ii) has a term of not more than 5 years; or
       ``(C) the Secretary determines, after providing public 
     notice of a proposed lease, easement, right-of-way, or other 
     authorization, that no competitive interest exists.''.
       (d) Review of Impacts of Lease Sales on the Marine and 
     Coastal Environment by Secretary.--Section 8 of the Outer 
     Continental Shelf Lands Act (43 U.S.C. 1337) is amended by 
     adding at the end of subsection (a) the following:
       ``(9) At least 60 days prior to any lease sale, the 
     Secretary shall request a review by the Secretary of Commerce 
     of the proposed sale with respect to impacts on the marine 
     and coastal environment. The Secretary of Commerce shall 
     complete and submit in writing the results of that review 
     within 60 days after receipt of the Secretary of the 
     Interior's request. If the Secretary of Commerce makes 
     specific recommendations related to a proposed lease sale to 
     reduce impacts on the marine and coastal environment, and the 
     Secretary rejects or modifies such recommendations, the 
     Secretary shall provide in writing justification for 
     rejecting or modifying such recommendations.''.
       (e) Limitation on Lease Tract Size.--Section 8(b)(1) of the 
     Outer Continental Shelf Lands Act (43 U.S.C. 1337(b)(1)) is 
     amended by striking ``, unless the Secretary finds that a 
     larger area is necessary to comprise a reasonable economic 
     production unit''.
       (f) Sulphur Leases.--Section 8(i) of the Outer Continental 
     Shelf Lands Act (43 U.S.C. 1337(i)) is amended by striking 
     ``meet the urgent need'' and inserting ``allow''.
       (g) Terms and Provisions.--Section 8(b) of the Outer 
     Continental Shelf Lands Act (43 U.S.C. 1337(b)) is amended by 
     striking ``An oil and gas lease issued pursuant to this 
     section shall'' and inserting ``An oil and gas

[[Page 14862]]

     lease may be issued pursuant to this section only if the 
     Secretary determines that activities under the lease are not 
     likely to result in any condition described in section 
     5(a)(2)(A)(i), and shall''.

     SEC. 207. DISPOSITION OF REVENUES.

       Section 9 of the Outer Continental Shelf Lands Act (43 
     U.S.C. 1338) is amended to read as follows:

     ``SEC. 9. DISPOSITION OF REVENUES.

       ``(a) General.--Except as provided in subsections (b), (c), 
     and (d), all rentals, royalties, and other sums paid to the 
     Secretary or the Secretary of the Navy under any lease on the 
     outer Continental Shelf for the period from June 5, 1950, to 
     date, and thereafter shall be deposited in the Treasury of 
     the United States and credited to miscellaneous receipts.
       ``(b) Land and Water Conservation Fund.--Effective for 
     fiscal year 2011 and each fiscal year thereafter, 
     $900,000,000 of the amounts referred to in subsection (a) 
     shall be deposited in the Treasury of the United States and 
     credited to the Land and Water Conservation Fund. These sums 
     shall be available to the Secretary, without further 
     appropriation or fiscal year limitation, for carrying out the 
     purposes of the Land and Water Conservation Fund Act of 1965 
     (16 U.S.C. 460l-4 et seq.).
       ``(c) Historic Preservation Fund.--Effective for fiscal 
     year 2011 and each fiscal year thereafter, $150,000,000 of 
     the amounts referred to in subsection (a) shall be deposited 
     in the Treasury of the United States and credited to the 
     Historic Preservation Fund. These sums shall be available to 
     the Secretary, without further appropriation or fiscal year 
     limitation, for carrying out the purposes of the National 
     Historic Preservation Fund Act of 1966 (16 U.S.C. 470 et 
     seq.).
       ``(d) Ocean Resources Conservation and Assistance Fund.--
     Effective for each fiscal year 2011 and thereafter, 10 
     percent of the amounts referred to in subsection (a) shall be 
     deposited in the Treasury of the United States and credited 
     to the Ocean Resources Conservation and Assistance Fund 
     established by the Consolidated Land, Energy, and Aquatic 
     Resources Act of 2010. These sums shall be available to the 
     Secretary, subject to appropriation, for carrying out the 
     purposes of section 605 of the Consolidated Land, Energy, and 
     Aquatic Resources Act of 2010.
       ``(e) Savings Provision.--Nothing in this section shall 
     decrease the amount any State shall receive pursuant to 
     section 8(g) of this Act or section 105 of the Gulf of Mexico 
     Energy Security Act (43 U.S.C. 1331 note).''.

     SEC. 208. EXPLORATION PLANS.

       (a) Limitation on Harm From Agency Exploration.--Section 
     11(a)(1) of the Outer Continental Shelf Lands Act (43 U.S.C. 
     1340(a)(1)) is amended by striking ``, which do not interfere 
     with or endanger actual operations under any lease maintained 
     or granted pursuant to this Act, and which are not unduly 
     harmful to aquatic life in such area'' and inserting ``if a 
     permit authorizing such activity is issued by the Secretary 
     under subsection (g)''.
       (b) Exploration Plan Review.--Section 11(c) of the Outer 
     Continental Shelf Lands Act (43 U.S.C. 1340(c)), is amended--
       (1) by inserting ``(A)'' before the first sentence;
       (2) in paragraph (1)(A), as designated by the amendment 
     made by paragraph (1) of this subsection--
       (A) by striking ``and the provisions of such lease'' and 
     inserting ``the provisions of such lease, and other 
     applicable environmental and natural resource conservation 
     laws''; and
       (B) by striking the fourth sentence and inserting the 
     following:
       ``(B) The Secretary shall approve such plan, as submitted 
     or modified, within 90 days after its submission and it is 
     made publicly accessible by the Secretary, or within such 
     additional time as the Secretary determines is necessary to 
     complete any environmental, safety, or other reviews, if the 
     Secretary determines that--
       ``(i) any proposed activity under such plan is not likely 
     to result in any condition described in section 
     5(a)(2)(A)(i);
       ``(ii) the plan complies with other applicable 
     environmental or natural resource conservation laws;
       ``(iii) in the case of geophysical surveys, the applicant 
     will use the best available technologies and methods to 
     minimize impacts on marine life; and
       ``(iv) the applicant has demonstrated the capability and 
     technology to respond immediately and effectively to a worst-
     case oil spill in real-world conditions in the area of the 
     proposed activity.''; and
       (3) by adding at the end the following:
       ``(5) If the Secretary requires greater than 90 days to 
     review an exploration plan submitted pursuant to any oil and 
     gas lease issued or maintained under this Act, then the 
     Secretary may provide for a suspension of that lease pursuant 
     to section 5 until the review of the exploration plan is 
     completed.''.
       (c) Requirements.--Section 11(c) of the Outer Continental 
     Shelf Lands Act (43 U.S.C. 1340(c), is amended by amending 
     paragraph (3) to read as follows:
       ``(3) An exploration plan submitted under this subsection 
     shall include, in the degree of detail that the Secretary may 
     by regulation require--
       ``(A) a schedule of anticipated exploration activities to 
     be undertaken;
       ``(B) a detailed and accurate description of equipment to 
     be used for such activities, including--
       ``(i) a description of each drilling unit;
       ``(ii) a statement of the design and condition of major 
     safety-related pieces of equipment, including independent 
     third party certification of such equipment; and
       ``(iii) a description of any new technology to be used;
       ``(C) a map showing the location of each well to be 
     drilled;
       ``(D) a scenario for the potential blowout of the well 
     involving the highest potential volume of liquid 
     hydrocarbons, along with a complete description of a response 
     plan to both control the blowout and manage the accompanying 
     discharge of hydrocarbons, including the likelihood for 
     surface intervention to stop the blowout, the availability of 
     a rig to drill a relief well, an estimate of the time it 
     would take to drill a relief well, a description of other 
     technology that may be used to regain control of the well or 
     capture escaping hydrocarbons and the potential timeline for 
     using that technology for its intended purpose, and the 
     strategy, organization, and resources necessary to avoid harm 
     to the environment and human health from hydrocarbons;
       ``(E) an analysis of the potential impacts of the worst-
     case-scenario discharge of hydrocarbons on the marine, 
     coastal, and human environments for activities conducted 
     pursuant to the proposed exploration plan; and
       ``(F) such other information deemed pertinent by the 
     Secretary.''.
       (d) Drilling Permits.--Section 11(d) of the Outer 
     Continental Shelf Lands Act (43 U.S.C. 1340(d)) is amended by 
     to read as follows:
       ``(d) Drilling Permits.--
       ``(1) In general.--The Secretary shall, by regulation, 
     require that any lessee operating under an approved 
     exploration plan obtain a permit prior to drilling any well 
     in accordance with such plan, and prior to any significant 
     modification of the well design as originally approved by the 
     Secretary.
       ``(2) Engineering review required.--The Secretary may not 
     grant any drilling permit or modification of the permit prior 
     to completion of a full engineering review of the well 
     system, including a determination that critical safety 
     systems, including blowout prevention, will utilize best 
     available technology and that blowout prevention systems will 
     include redundancy and remote triggering capability.
       ``(3) Operator safety and environmental management 
     required.--The Secretary shall not grant any drilling permit 
     or modification of the permit prior to completion of a safety 
     and environmental management plan to be utilized by the 
     operator during all well operations.''.
       (e) Exploration Permit Requirements.--Section 11(g) of the 
     Outer Continental Shelf Lands Act (43 U.S.C. 1340(g)) is 
     amended by--
       (1) striking ``shall be issued'' and inserting ``may be 
     issued'';
       (2) inserting ``and after consultation with the Secretary 
     of Commerce,'' after ``in accordance with regulations issued 
     by the Secretary'';
       (3) striking the ``and'' at the end of paragraph (2);
       (4) in paragraph (3) striking ``will not be unduly harmful 
     to'' and inserting ``is not likely to harm'';
       (5) striking the period at the end of paragraph (3) and 
     inserting a semicolon; and
       (6) adding at the end the following:
       ``(4) the exploration will be conducted in accordance with 
     other applicable environmental and natural resource 
     conservation laws;
       ``(5) in the case of geophysical surveys, the applicant 
     will use the best available technologies and methods to 
     minimize impacts on marine life; and
       ``(6) in the case of drilling operations, the applicant has 
     available oil spill response and clean-up equipment and 
     technology that has been demonstrated to be capable of 
     effectively remediating a worst-case release of oil.''.
       (f) Environmental Review of Plans; Deepwater Plan; Plan 
     Disapproval.--Section 11 of the Outer Continental Shelf Lands 
     Act (43 U.S.C. 1340) is amended by adding at the end the 
     following:
       ``(i) Environmental Review of Plans.--The Secretary shall 
     treat the approval of an exploration plan, or a significant 
     revision of such a plan, as an agency action requiring 
     preparation of an environmental assessment or environmental 
     impact statement in accordance with the National 
     Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.), 
     and shall require that such plan--
       ``(1) be based on the best available technology to ensure 
     safety in carrying out both the drilling of the well and any 
     oil spill response; and
       ``(2) contain a technical systems analysis of the safety of 
     the proposed activity, the blowout prevention technology, and 
     the blowout and spill response plans.
       ``(j) Disapproval of Plan.--

[[Page 14863]]

       ``(1) In general.--The Secretary shall disapprove the plan 
     if the Secretary determines, because of exceptional 
     geological conditions in the lease areas, exceptional 
     resource values in the marine or coastal environment, or 
     other exceptional circumstances, that--
       ``(A) implementation of the plan would probably cause 
     serious harm or damage to life (including fish and other 
     aquatic life), to property, to any mineral deposits (in areas 
     leased or not leased), to the national security or defense, 
     or to the marine, coastal, or human environments;
       ``(B) the threat of harm or damage will not disappear or 
     decrease to an acceptable extent within a reasonable period 
     of time; and
       ``(C) the advantages of disapproving the plan outweigh the 
     advantages of exploration.
       ``(2) Cancellation of lease for disapproval of plan.--If a 
     plan is disapproved under this subsection, the Secretary may 
     cancel such lease in accordance with subsection (c)(1) of 
     this section.''.

     SEC. 209. OUTER CONTINENTAL SHELF LEASING PROGRAM.

       Section 18 of the Outer Continental Shelf Lands Act (43 
     U.S.C. 1344) is amended--
       (1) in subsection (a) in the second sentence by striking 
     ``meet national energy needs'' and inserting ``balance 
     national energy needs and the protection of the marine and 
     coastal environment and all the resources in that 
     environment,'';
       (2) in subsection (a)(1), by striking ``considers'' and 
     inserting ``gives equal consideration to'';
       (3) in subsection (a)(2)(A)--
       (A) by striking ``existing'' and inserting ``the best 
     available scientific''; and
       (B) by inserting ``, including at least three consecutive 
     years of data'' after ``information'';
       (4) in subsection (a)(2)(D), by inserting ``potential and 
     existing sites of renewable energy installations,'' after 
     ``deepwater ports,'';
       (5) in subsection (a)(2)(H), by inserting ``including the 
     availability of infrastructure to support oil spill 
     response'' before the period;
       (6) in subsection (a)(3), by--
       (A) striking ``to the maximum extent practicable,'';
       (B) striking ``obtain a proper balance between'' and 
     inserting ``minimize''; and
       (C) striking ``damage,'' and all that follows through the 
     period and inserting ``damage and adverse impacts on the 
     marine, coastal, and human environments, and enhancing the 
     potential for the discovery of oil and gas.'';
       (7) in subsection (b)(1), by inserting ``environmental, 
     marine, and energy'' after ``obtain'';
       (8) in subsection (b)(2), by inserting ``environmental, 
     marine, and'' after ``interpret the'';
       (9) in subsection (b)(3), by striking ``and'' after the 
     semicolon at the end;
       (10) by striking the period at the end of subsection (b)(4) 
     and inserting a semicolon;
       (11) by adding at the end of subsection (b) the following:
       ``(5) provide technical review and oversight of exploration 
     plans and a systems review of the safety of well designs and 
     other operational decisions;
       ``(6) conduct regular and thorough safety reviews and 
     inspections; and
       ``(7) enforce all applicable laws and regulations.'';
       (12) in the first sentence of subsection (c)(1), by 
     inserting ``the National Oceanic and Atmospheric 
     Administration and'' after ``including'';
       (13) in subsection (c)(2)--
       (A) by inserting after the first sentence the following: 
     ``The Secretary shall also submit a copy of such proposed 
     program to the head of each Federal agency referred to in, or 
     that otherwise provided suggestions under, paragraph (1).'';
       (B) in the third sentence, by inserting ``or head of a 
     Federal agency'' after ``such Governor''; and
       (C) in the fourth sentence, by inserting ``or between the 
     Secretary and the head of a Federal agency,'' after 
     ``affected State,'';
       (14) by redesignating subsection (c)(3) as subsection 
     (c)(4) and by inserting before subsection (c)(4) (as so 
     redesignated) the following:
       ``(3) At least 60 days prior to the publication of a 
     proposed leasing program under this section, the Secretary 
     shall request a review by the Secretary of Commerce of the 
     proposed leasing program with respect to impacts on the 
     marine and coastal environments. If the Secretary rejects or 
     modifies any of the recommendations made by the Secretary of 
     Commerce concerning the location, timing, or conduct of 
     leasing activities under the proposed leasing program, the 
     Secretary shall provide in writing justification for 
     rejecting or modifying such recommendations.''.
       (15) in the second sentence of subsection (d)(2), by 
     inserting ``, the head of a Federal agency,'' after 
     ``Attorney General'';
       (16) in subsection (g), by inserting after the first 
     sentence the following: ``Such information may include 
     existing inventories and mapping of marine resources 
     previously undertaken by the Department of the Interior and 
     the National Oceanic and Atmospheric Administration, 
     information provided by the Department of Defense, and other 
     available data regarding energy or mineral resource 
     potential, navigation uses, fisheries, aquaculture uses, 
     recreational uses, habitat, conservation, and military uses 
     on the outer Continental Shelf.''; and
       (17) by adding at the end the following new subsection:
       ``(i) Research and Development.--The Secretary shall carry 
     out a program of research and development to ensure the 
     continued improvement of methodologies for characterizing 
     resources of the outer Continental Shelf and conditions that 
     may affect the ability to develop and use those resources in 
     a safe, sound, and environmentally responsible manner. Such 
     research and development activities may include activities to 
     provide accurate estimates of energy and mineral reserves and 
     potential on the Outer Continental Shelf and any activities 
     that may assist in filling gaps in environmental data needed 
     to develop each leasing program under this section.''.

     SEC. 210. ENVIRONMENTAL STUDIES.

       (a) Information Needed for Assessment and Management of 
     Environmental Impacts.--Section 20 of the Outer Continental 
     Shelf Lands Act (43 U.S.C. 1346) is amended by striking so 
     much as precedes ``of any area'' in subsection (a)(1) and 
     inserting the following:

     ``SEC. 20. ENVIRONMENTAL STUDIES.

       ``(a)(1) The Secretary, in cooperation with the Secretary 
     of Commerce, shall conduct a study no less than once every 
     three years''.
       (b) Impacts of Deep Water Spills.--Section 20 of the Outer 
     Continental Shelf Lands Act (43 U.S.C. 1346) is amended by--
       (1) redesignating subsections (c) through (f) as (d) 
     through (g); and
       (2) inserting after subsection (b) the following new 
     subsection:
       ``(c) The Secretary shall conduct research to identify and 
     reduce data gaps related to impacts of deepwater hydrocarbon 
     spills, including--
       ``(1) effects to benthic substrate communities and species;
       ``(2) water column habitats and species;
       ``(3) surface and coastal impacts from spills originating 
     in deep waters; and
       ``(4) the use of dispersants.''.

     SEC. 211. SAFETY REGULATIONS.

       Section 21 of the Outer Continental Shelf Lands Act (43 
     U.S.C. 1347) is amended--
       (1) in subsection (a), by striking ``Upon the date of 
     enactment of this section,'' and inserting ``Within 6 months 
     after the date of enactment of the Outer Continental Shelf 
     Lands Act Amendments of 2010 and every three years 
     thereafter,'';
       (2) in subsection (b) by--
       (A) striking ``for the artificial islands, installations, 
     and other devices referred to in section 4(a)(1) of'' and 
     inserting ``under'';
       (B) striking ``which the Secretary determines to be 
     economically feasible''; and
       (C) adding at the end ``Not later than 6 months after the 
     date of enactment of the Outer Continental Shelf Lands Act 
     Amendments of 2010 and every 3 years thereafter, the 
     Secretary shall, in consultation with the Outer Continental 
     Shelf Safety and Environmental Advisory Board established 
     under title I of the Consolidated Land, Energy, and Aquatic 
     Resources Act of 2010, identify and publish an updated list 
     of (1) the best available technologies for key areas of well 
     design and operation, including blowout prevention and 
     blowout and oil spill response and (2) technology needs for 
     which the Secretary intends to identify best available 
     technologies in the future.''; and
       (3) by adding at the end the following:
       ``(g) Safety Case.--Not later than 6 months after the date 
     of enactment of the Outer Continental Shelf Lands Act 
     Amendments of 2010, the Secretary shall promulgate 
     regulations requiring a safety case be submitted along with 
     each new application for a permit to drill on the outer 
     Continental Shelf. Not later than 5 years after the date 
     final regulations promulgated under this subsection go into 
     effect, and not less than every 5 years thereafter, the 
     Secretary shall enter into an arrangement with the National 
     Academy of Engineering to conduct a study to assess the 
     effectiveness of these regulations and to recommend 
     improvements in their administration.
       ``(h) Offshore Technology Research and Risk Assessment 
     Program.--
       ``(1) In general.--The Secretary shall carry out a program 
     of research, development, and risk assessment to address 
     technology and development issues associated with exploration 
     for, and development and production of, energy and mineral 
     resources on the outer Continental Shelf, with the primary 
     purpose of informing its role relating to safety, 
     environmental protection, and spill response.
       ``(2) Specific focus areas.--The program under this 
     subsection shall include research and development related 
     to--
       ``(A) risk assessment, using all available data from safety 
     and compliance records both within the United States and 
     internationally;
       ``(B) analysis of industry trends in technology, 
     investment, and frontier areas;
       ``(C) reviews of best available technologies, including 
     those associated with pipelines, blowout preventer 
     mechanisms, casing, well design, and other associated 
     infrastructure related to offshore energy development;

[[Page 14864]]

       ``(D) oil spill response and mitigation;
       ``(E) risk associated with human factors;
       ``(F) technologies and methods to reduce the impact of 
     geophysical exploration activities on marine life; and
       ``(G) renewable energy operations.''.

     SEC. 212. ENFORCEMENT OF SAFETY AND ENVIRONMENTAL 
                   REGULATIONS.

       (a) In General.--Section 22 of the Outer Continental Shelf 
     Lands Act (43 U.S.C. 1348) is amended--
       (1) by amending subsection (c) to read as follows:
       ``(c) Inspections.--The Secretary and the Secretary of the 
     department in which the Coast Guard is operating shall 
     individually, or jointly if they so agree, promulgate 
     regulations to provide for--
       ``(1) scheduled onsite inspection, at least once a year, of 
     each facility on the outer Continental Shelf which is subject 
     to any environmental or safety regulation promulgated 
     pursuant to this Act, which inspection shall include all 
     safety equipment designed to prevent or ameliorate blowouts, 
     fires, spillages, or other major accidents;
       ``(2) scheduled onsite inspection, at least once a month, 
     of each facility on the outer Continental Shelf engaged in 
     drilling operations and which is subject to any environmental 
     or safety regulation promulgated pursuant to this Act, which 
     inspection shall include validation of the safety case 
     required for the facility under section 21(g) and 
     identifications of deviations from the safety case, and shall 
     include all safety equipment designed to prevent or 
     ameliorate blowouts, fires, spillages, or other major 
     accidents;
       ``(3) periodic onsite inspection without advance notice to 
     the operator of such facility to assure compliance with such 
     environmental or safety regulations; and
       ``(4) periodic audits of each required safety and 
     environmental management plan, and any associated safety 
     case, both with respect to their implementation at each 
     facility on the outer Continental Shelf for which such a plan 
     or safety case is required and with respect to onshore 
     management support for activities at such a facility.'';
       (2) in subsection (d)(1)--
       (A) by striking ``each major fire and each major oil 
     spillage'' and inserting ``each major fire, each major oil 
     spillage, each loss of well control, and any other accident 
     that presented a serious risk to human or environmental 
     safety''; and
       (B) by inserting before the period at the end the 
     following: ``, as a condition of the lease or permit'';
       (3) in subsection (d)(2), by inserting before the period at 
     the end the following: ``as a condition of the lease or 
     permit'';
       (4) in subsection (e), by adding at the end the following: 
     ``Any such allegation from any employee of the lessee or any 
     subcontractor of the lessee shall be investigated by the 
     Secretary.'';
       (5) in subsection (b)(1), by striking ``recognized'' and 
     inserting ``uncontrolled''; and
       (6) by adding at the end the following:
       ``(g) Information on Causes and Corrective Actions.--For 
     any incident investigated under this section, the Secretary 
     shall promptly make available to all lessees and the public 
     technical information about the causes and corrective actions 
     taken. All data and reports related to any such incident 
     shall be maintained in a data base available to the public.
       ``(h) Operator's Annual Certification.--
       ``(1) The Secretary, in cooperation with the Secretary of 
     the department in which the Coast Guard is operating, shall 
     require all operators of all new and existing drilling and 
     production operations to annually certify that their 
     operations are being conducted in accordance with applicable 
     law and regulations.
       ``(2) Each certification shall include, but, not be limited 
     to, statements that verify the operator has--
       ``(A) examined all well control system equipment (both 
     surface and subsea) being used to ensure that it has been 
     properly maintained and is capable of shutting in the well 
     during emergency operations;
       ``(B) examined and conducted tests to ensure that the 
     emergency equipment has been function-tested and is capable 
     of addressing emergency situations;
       ``(C) reviewed all rig drilling, casing, cementing, well 
     abandonment (temporary and permanent), completion, and 
     workover practices to ensure that well control is not 
     compromised at any point while emergency equipment is 
     installed on the wellhead;
       ``(D) reviewed all emergency shutdown and dynamic 
     positioning procedures that interface with emergency well 
     control operations; and
       ``(E) taken the necessary steps to ensure that all 
     personnel involved in well operations are properly trained 
     and capable of performing their tasks under both normal 
     drilling and emergency well control operations.
       ``(i) CEO Statement.--The Secretary shall not approve any 
     application for a permit to drill a well under this Act 
     unless such application is accompanied by a statement in 
     which the chief executive officer of the applicant attests, 
     in writing, that--
       ``(1) the applicant is in compliance with all applicable 
     environmental and natural resource conservation laws;
       ``(2) the applicant has the capability and technology to 
     respond immediately and effectively to a worst-case oil spill 
     in real-world conditions in the area of the proposed activity 
     under the permit;
       ``(3) the applicant has an oil spill response plan that 
     ensures that the applicant has the capacity to promptly 
     control and stop a blowout in the event that well control 
     measures fail;
       ``(4) the blowout preventer to be used during the drilling 
     of the well has redundant systems to prevent or stop a 
     blowout for all foreseeable blowout scenarios and failure 
     modes;
       ``(5) the well design is safe; and
       ``(6) the applicant has the capability to expeditiously 
     begin and complete a relief well if necessary in the event of 
     a blowout.
       ``(j) Third Party Certification.--All operators that modify 
     or upgrade any emergency equipment placed on any operation to 
     prevent blow-outs or other well control events, shall have an 
     independent third party conduct a detailed physical 
     inspection and design review of such equipment within 30 days 
     of its installation. The independent third party shall 
     certify that the equipment will operate as originally 
     designed and any modifications or upgrades conducted after 
     delivery have not compromised the design, performance, or 
     functionality of the equipment. Failure to comply with this 
     subsection shall result in suspension of the lease.''.
       (b) Application.--Section 22(i) of the Outer Continental 
     Shelf Lands Act, as added by the amendments made by 
     subsection (a), shall apply to approvals of applications for 
     a permit to drill that are submitted after the end of the 6-
     month period beginning on the date of enactment of this Act.

     SEC. 213. JUDICIAL REVIEW.

       Section 23(c)(3) of the Outer Continental Shelf Lands Act 
     (43 U.S.C. 1349(c)(3)) is amended by striking ``sixty'' and 
     inserting ``90''.

     SEC. 214. REMEDIES AND PENALTIES.

       (a) Civil Penalty, Generally.--Section 24(b) of the Outer 
     Continental Shelf Lands Act (43 U.S.C. 1350(b)) is amended to 
     read as follows:
       ``(b)(1) Except as provided in paragraph (2), any person 
     who fails to comply with any provision of this Act, or any 
     term of a lease, license, or permit issued pursuant to this 
     Act, or any regulation or order issued under this Act, shall 
     be liable for a civil administrative penalty of not more than 
     $75,000 for each day of the continuance of such failure. The 
     Secretary may assess, collect, and compromise any such 
     penalty. No penalty shall be assessed until the person 
     charged with a violation has been given an opportunity for a 
     hearing. The Secretary shall, by regulation at least every 3 
     years, adjust the penalty specified in this paragraph to 
     reflect any increases in the Consumer Price Index (all items, 
     United States city average) as prepared by the Department of 
     Labor.
       ``(2) If a failure described in paragraph (1) constitutes 
     or constituted a threat of harm or damage to life (including 
     fish and other aquatic life), property, any mineral deposit, 
     or the marine, coastal, or human environment, a civil penalty 
     of not more than $150,000 shall be assessed for each day of 
     the continuance of the failure.''.
       (b) Knowing and Willful Violations.--Section 24(c) of the 
     Outer Continental Shelf Lands Act (43 U.S.C. 1350(c)) is 
     amended in paragraph (4) by striking ``$100,000'' and 
     inserting ``$10,000,000''.
       (c) Officers and Agents of Corporations.--Section 24(d) of 
     the Outer Continental Shelf Lands Act (43 U.S.C. 1350(d)) is 
     amended by inserting ``, or with willful disregard,'' after 
     ``knowingly and willfully''.

     SEC. 215. UNIFORM PLANNING FOR OUTER CONTINENTAL SHELF.

       Section 25 of the Outer Continental Shelf Lands Act (43 
     U.S.C. 1351) is amended--
       (1) by striking ``other than the Gulf of Mexico,'' in each 
     place it appears;
       (2) in subsection (c), by striking ``and'' after the 
     semicolon at the end of paragraph (5), redesignating 
     paragraph (6) as paragraph (11), and inserting after 
     paragraph (5) the following new paragraphs:
       ``(6) a detailed and accurate description of equipment to 
     be used for the drilling of wells pursuant to activities 
     included in the development and production plan, including--
       ``(A) a description of the drilling unit or units;
       ``(B) a statement of the design and condition of major 
     safety-related pieces of equipment, including independent 
     third-party certification of such equipment; and
       ``(C) a description of any new technology to be used;
       ``(7) a scenario for the potential blowout of each well to 
     be drilled as part of the plan involving the highest 
     potential volume of liquid hydrocarbons, along with a 
     complete description of a response plan to both control the 
     blowout and manage the accompanying discharge of 
     hydrocarbons, including the likelihood for surface 
     intervention to stop the blowout, the availability of a rig 
     to drill a relief well, an estimate of the time it would take 
     to drill a relief well, a description of other technology 
     that may be used to regain control of the well or capture 
     escaping hydrocarbons and the potential timeline for using 
     that technology for its intended

[[Page 14865]]

     purpose, and the strategy, organization, and resources 
     necessary to avoid harm to the environment and human health 
     from hydrocarbons;
       ``(8) an analysis of the potential impacts of the worst-
     case-scenario discharge on the marine and coastal 
     environments for activities conducted pursuant to the 
     proposed development and production plan;
       ``(9) a comprehensive survey and characterization of the 
     coastal or marine environment within the area of operation, 
     including bathymetry, currents and circulation patterns 
     within the water column, and descriptions of benthic and 
     pelagic environments;
       ``(10) a description of the technologies to be deployed on 
     the facilities to routinely observe and monitor in real time 
     the marine environment throughout the duration of operations, 
     and a description of the process by which such observation 
     data and information will be made available to Federal 
     regulators and to the System established under section 12304 
     of Public Law 111-11 (33 U.S.C. 3603); and'';
       (3) in subsection (e), by striking so much as precedes 
     paragraph (2) and inserting the following:
       ``(e)(1) The Secretary shall treat the approval of a 
     development and production plan, or a significant revision of 
     a development and production plan, as an agency action 
     requiring preparation of an environmental assessment or 
     environmental impact statement, in accordance with the 
     National Environmental Policy Act of 1969 (42 U.S.C. 4321 et 
     seq.).'';
       (4) by striking subsections (g) and (l), and redesignating 
     subsections (h) through (k) as subsections (g) through and 
     (j); and
       (5) in subsection (g), as so redesignated, by redesignating 
     paragraphs (2) and (3) as paragraphs (3) and (4), 
     respectively, and inserting after paragraph (1) the 
     following:
       ``(2) The Secretary shall not approve a development and 
     production plan, or a significant revision to such a plan, 
     unless-
       ``(A) the plan is in compliance with all other applicable 
     environmental and natural resource conservation laws; and
       ``(B) the applicant has available oil spill response and 
     clean-up equipment and technology that has been demonstrated 
     to be capable of effectively remediating the projected worst-
     case release of oil from activities conducted pursuant to the 
     development and production plan.''.

     SEC. 216. OIL AND GAS INFORMATION PROGRAM.

       Section 26(a)(1) of the Outer Continental Shelf Lands Act 
     (43 U.S.C. 1352(a)(1)) is amended by--
       (1) striking the period at the end of subparagraph (A) and 
     inserting, ``, provided that such data shall be transmitted 
     in electronic format either in real-time or as quickly as 
     practicable following the generation of such data.''; and
       (2) striking subparagraph (C) and inserting the following:
       ``(C) Lessees engaged in drilling operations shall provide 
     to the Secretary--
       ``(i) all daily reports generated by the lessee, or any 
     daily reports generated by contractors or subcontractors 
     engaged in or supporting drilling operations on the lessee's 
     lease, no more than 24 hours after the end of the day for 
     which they should have been generated;
       ``(ii) documentation of blowout preventer maintenance and 
     repair, and any changes to design specifications of the 
     blowout preventer, within 24 hours after such activity; and
       ``(iii) prompt or real-time transmission of the electronic 
     log from a blowout preventer control system.''.

     SEC. 217. LIMITATION ON ROYALTY-IN-KIND PROGRAM.

       Section 27(a) of the Outer Continental Shelf Lands Act (43 
     U.S.C. 1353(a)) is amended by striking the period at the end 
     of paragraph (1) and inserting ``, except that the Secretary 
     shall not conduct a regular program to take oil and gas lease 
     royalties in oil or gas.''.

     SEC. 218. RESTRICTIONS ON EMPLOYMENT.

        Section 29 of the Outer Continental Shelf Lands Act (43 
     U.S.C. 1355) is amended--
       (1) in the matter preceding paragraph (1)--
       (A) by striking ``sec. 29'' and all that follows through 
     ``No full-time'' and inserting the following:

     ``SEC. 29. RESTRICTIONS ON EMPLOYMENT.

       ``(a) In General.--No full-time''; and
       (B) by striking ``, and who was at any time during the 
     twelve months preceding the termination of his employment 
     with the Department compensated under the Executive Schedule 
     or compensated at or above the annual rate of basic pay for 
     grade GS-16 of the General Schedule'';
       (2) in paragraph (1)--
       (A) in subparagraph (A), by inserting ``or advise'' after 
     ``represent'';
       (B) in subparagraph (B), by striking ``with the intent to 
     influence, make'' and inserting ``act with the intent to 
     influence, directly or indirectly, or make''; and
       (C) in the matter following subparagraph (C)--
       (i) by inserting ``inspection or enforcement action,'' 
     before ``or other particular matter''; and
       (ii) by striking ``or'' at the end;
       (3) in paragraph (2)--
       (A) in subparagraph (A), by inserting ``or advise'' after 
     ``represent'';
       (B) in subparagraph (B), by striking ``with the intent to 
     influence, make'' and inserting ``act with the intent to 
     influence, directly or indirectly, or make''; and
       (C) by striking the period at the end and inserting ``; 
     or''; and
       (4) by adding at the end the following:
       ``(3) during the 2-year period beginning on the date on 
     which the employment of the officer or employee ceased at the 
     Department, accept employment or compensation from any party 
     that has a direct and substantial interest--
       ``(A) that was pending under the official responsibility of 
     the officer or employee as an officer at any point during the 
     2-year period preceding the date of termination of the 
     responsibility; or
       ``(B) in which the officer or employee participated 
     personally and substantially as an officer or employee of the 
     Department.
       ``(b) Prior Dealings.--No full-time officer or employee of 
     the Department of the Interior who directly or indirectly 
     discharged duties or responsibilities under this Act shall 
     participate personally and substantially as a Federal officer 
     or employee, through decision, approval, disapproval, 
     recommendation, the rendering of advice, investigation, or 
     otherwise, in a proceeding, application, request for a ruling 
     or other determination, contract, claim, controversy, charge, 
     accusation, inspection, enforcement action, or other 
     particular matter in which, to the knowledge of the officer 
     or employee--
       ``(1) the officer or employee or the spouse, minor child, 
     or general partner of the officer or employee has a financial 
     interest;
       ``(2) any organization in which the officer or employee is 
     serving as an officer, director, trustee, general partner, or 
     employee has a financial interest;
       ``(3) any person or organization with whom the officer or 
     employee is negotiating or has any arrangement concerning 
     prospective employment has a financial interest; or
       ``(4) any person or organization in which the officer or 
     employee has, within the preceding 1-year period, served as 
     an officer, director, trustee, general partner, agent, 
     attorney, consultant, contractor, or employee.
       ``(c) Gifts From Outside Sources.--No full-time officer or 
     employee of the Department of the Interior who directly or 
     indirectly discharges duties or responsibilities under this 
     Act shall, directly or indirectly, solicit or accept any gift 
     in violation of subpart B of part 2635 of title 5, Code of 
     Federal Regulations (or successor regulations).
       ``(d) Penalty.--Any person that violates subsection (a) or 
     (b) shall be punished in accordance with section 216 of title 
     18, United States Code.''.

     SEC. 219. REPEAL OF ROYALTY RELIEF PROVISIONS.

       (a) Repeal of Provisions of Energy Policy Act of 2005.--The 
     following provisions of the Energy Policy Act of 2005 (Public 
     Law 109-58) are repealed:
       (1) Section 344 (42 U.S.C. 15904; relating to incentives 
     for natural gas production from deep wells in shallow waters 
     of the Gulf of Mexico).
       (2) Section 345 (42 U.S.C. 15905; relating to royalty 
     relief for deep water production in the Gulf of Mexico).
       (b) Repeal of Provisions Relating to Planning Areas 
     Offshore Alaska.--Section 8(a)(3)(B) of the Outer Continental 
     Shelf Lands Act (43 U.S.C. 1337(a)(3)(B)) is amended by 
     striking ``and in the Planning Areas offshore Alaska''.

     SEC. 220. MANNING AND BUY- AND BUILD-AMERICAN REQUIREMENTS.

       Section 30 of the Outer Continental Shelf Lands Act (43 
     U.S.C. 1356) is amended--
       (1) in subsection (a), by striking ``shall issue 
     regulations which'' and inserting ``shall issue regulations 
     that shall be supplemental to and complementary with and 
     under no circumstances a substitution for the provisions of 
     the Constitution and laws of the United States extended to 
     the subsoil and seabed of the outer Continental Shelf 
     pursuant to section 4(a)(1) of this Act, except insofar as 
     such laws would otherwise apply to individuals who have 
     extraordinary ability in the sciences, arts, education, or 
     business, which has been demonstrated by sustained national 
     or international acclaim, and that''; and
       (2) by adding at the end the following:
       ``(d) Buy and Build American.--It is the intention of the 
     Congress that this Act, among other things, result in a 
     healthy and growing American industrial, manufacturing, 
     transportation, and service sector employing the vast talents 
     of America's workforce to assist in the development of energy 
     from the outer Continental Shelf. Moreover, the Congress 
     intends to monitor the deployment of personnel and material 
     on the outer Continental Shelf to encourage the development 
     of American technology and manufacturing to enable United 
     States workers to benefit from this Act by good jobs and 
     careers, as well as the establishment of important industrial 
     facilities to support expanded access to American 
     resources.''.

     SEC. 221. NATIONAL COMMISSION ON THE BP DEEPWATER HORIZON OIL 
                   SPILL AND OFFSHORE DRILLING.

       (a) Technical Expertise.--
       (1) National academy of engineering and national research 
     council.--The National

[[Page 14866]]

     Commission on the BP Deepwater Horizon Oil Spill and Offshore 
     Drilling established under Executive Order No. 13543 of May 
     21, 2010 (referred to in this section as the ``Commission'') 
     shall consult regularly, and in any event no less frequently 
     than once per month, with the engineering and technology 
     experts who are conducting the ``Analysis of Causes of the 
     Deepwater Horizon Explosion, Fire, and Oil Spill to Identify 
     Measures to Prevent Similar Accidents in the Future'' for the 
     National Academy of Engineering and the National Research 
     Council.
       (2) Other technical experts.--The Commission also shall 
     consult with other United States citizens with experience and 
     expertise in such areas as--
       (A) engineering;
       (B) environmental compliance;
       (C) health and safety law (particularly oil spill 
     legislation);
       (D) oil spill insurance policies;
       (E) public administration;
       (F) oil and gas exploration and production;
       (G) environmental cleanup;
       (H) fisheries and wildlife management;
       (I) marine safety; and
       (J) human factors affecting safety.
       (3) Commission staff and technical expertise.--The 
     Commission shall retain, as either a full-time employee or a 
     contractor, one or more science and technology expert-
     advisors with experience and expertise in petroleum 
     engineering, rig safety, or drilling.
       (b) Subpoenas.--
       (1) Subpoena power.--The Commission may issue subpoenas in 
     accordance with this subsection to compel the attendance and 
     testimony of witnesses and the production of books, records, 
     correspondence, memoranda, and other documents.
       (2) Issuance.--
       (A) Authorization.--A subpoena may be issued under this 
     subsection only by_
       (i) agreement of the Co-Chairs of the Commission; or
       (ii) the affirmative vote of a majority of the members of 
     the Commission.
       (B) Justice department coordination.--
       (i) Notification.--The Commission shall notify the Attorney 
     General or the Attorney General's designee of the 
     Commission's intent to issue a subpoena under this 
     subsection, the identity of the recipient, and the nature of 
     the testimony, documents, or other evidence (described in 
     subparagraph (A)) sought before issuing such a subpoena. The 
     form and content of such notice shall be set forth in the 
     guidelines issued under clause (iv).
       (ii) Conditions for objection to issuance.--The Commission 
     may not issue a subpoena under authority of this Act if the 
     Attorney General objects to the issuance of the subpoena on 
     the basis that the subpoena is likely to interfere with any--

       (I) Federal or State criminal investigation or prosecution;
       (II) pending investigation under sections 3729 through 3732 
     of title 31, United States Code (commonly known as the 
     ``Civil False Claims Act'');
       (III) pending investigation under any other Federal statute 
     providing for civil remedies; or
       (IV) civil litigation to which the United States or any of 
     its agencies is or is likely to be a party.

       (iii) Notification of objection.--The Attorney General or 
     relevant United States Attorney shall notify the Commission 
     of an objection raised under this subparagraph without 
     unnecessary delay and as set forth in the guidelines issued 
     under clause (iv).
       (iv) Guidelines.--As soon as practicable, but no later than 
     30 days after the date of the enactment of this Act, the 
     Attorney General, after consultation with the Commission, 
     shall issue guidelines to carry out this paragraph.
       (C) Signature and service.--A subpoena issued under this 
     subsection may be--
       (i) issued under the signature of either Co-Chair of the 
     Commission or any member designated by a majority of the 
     Commission; and
       (ii) served by any person designated by the Co-Chairs or a 
     member designated by a majority of the Commission.
       (3) Enforcement.--
       (A) Required procedures.--In the case of contumacy of any 
     person issued a subpoena under this subsection or refusal by 
     such person to comply with the subpoena, the Commission may 
     request the Attorney General to seek enforcement of the 
     subpoena. Upon such request, the Attorney General may seek 
     enforcement of the subpoena in a court described in 
     subparagraph (B). The court in which the Attorney General 
     seeks enforcement of the subpoena may issue an order 
     requiring the subpoenaed person to appear at any designated 
     place to testify or to produce documentary or other evidence 
     described in subparagraph (A) of paragraph (2), and may 
     punish any failure to obey the order as a contempt of that 
     court.
       (B) Jurisdiction for enforcement.--Any United States 
     district court for a judicial district in which a person 
     issued a subpoena under this subsection resides, is served, 
     or may be found, or where the subpoena is returnable, upon 
     application of the Attorney General, shall have jurisdiction 
     to enforce the subpoena as provided in subparagraph (A).
       (c) Recommendations and Purposes.--
       (1) In general.--The Commission shall develop 
     recommendations for--
       (A) improvements to Federal laws, regulations, and industry 
     practices applicable to offshore drilling that would--
       (i) ensure the effective oversight, inspection, monitoring, 
     and response capabilities; and
       (ii) protect the environment and natural resources; and
       (B) organizational or other reforms of Federal agencies or 
     processes, including the creation of new agencies, as 
     necessary, to ensure that the improvements described in 
     paragraph (1) are implemented and maintained.
       (2) Goals.--In developing recommendations under paragraph 
     (1), the Commission shall ensure that the following goals are 
     met:
       (A) Ensuring the safe operation and maintenance of offshore 
     drilling platforms or vessels.
       (B) Protecting the overall environment and natural 
     resources surrounding ongoing and potential offshore drilling 
     sites.
       (C) Developing and maintaining Federal agency expertise on 
     the safe and effective use of offshore drilling technologies, 
     including technologies to minimize the risk of release of oil 
     from offshore drilling platforms or vessels.
       (D) Encouraging the development and implementation of 
     efficient and effective oil spill response techniques and 
     technologies that minimize or eliminate any adverse effects 
     on natural resources or the environment that result from 
     response activities.
       (E) Ensuring that the Federal agencies regulating offshore 
     drilling are staffed with, and managed by, career 
     professionals, who are--
       (i) permitted to exercise independent professional 
     judgments and make safety the highest priority in carrying 
     out their responsibilities;
       (ii) not subject to undue influence from regulated 
     interests or political appointees; and
       (iii) subject to strict regulation to prevent improper 
     relationships with regulated interests and to eliminate real 
     or perceived conflicts of interests.
       (3) Report to congress.--In coordination with its final 
     public report to the President, the Commission shall submit 
     to Congress a report containing the recommendations developed 
     under paragraph (1).

     SEC. 222. COORDINATION AND CONSULTATION WITH AFFECTED STATE 
                   AND LOCAL GOVERNMENTS.

       Section 19 of the Outer Continental Shelf Lands Act (43 
     U.S.C. 1345) is amended--
       (1) by inserting ``exploration plan or'' before 
     ``development and production plan'' in each place it appears; 
     and
       (2) by amending subsection (c) to read as follows:
       ``(c) Acceptance or Rejection of Recommendations.--The 
     Secretary shall accept recommendations of the Governor and 
     may accept recommendations of the executive of any affected 
     local government if the Secretary determines, after having 
     provided the opportunity for consultation, that they provide 
     for a reasonable balance between the national interest and 
     the well-being of the citizens of the affected State. For 
     purposes of this subsection, a determination of the national 
     interest shall be based on the desirability of obtaining oil 
     and gas supplies in a balanced manner and on protecting 
     coastal and marine ecosystems and the economies dependent on 
     those ecosystems. The Secretary shall provide an explanation 
     to the Governor, in writing, of the reasons for his 
     determination to accept or reject such Governor's 
     recommendations, or to implement any alternative identified 
     in consultation with the Governor.''.

     SEC. 223. IMPLEMENTATION.

       (a) New Leases.--The provisions of this title and title VII 
     shall apply to any lease that is issued under the Outer 
     Continental Shelf Lands Act (43 U.S.C. 1331 et seq.) after 
     the effective date of this Act.
       (b) Existing Leases.--For all leases that were issued under 
     the Outer Continental Shelf Lands Act (43 U.S.C. 1331 et 
     seq.) that are in effect on the effective date of this Act, 
     the Secretary shall take action, consistent with the terms of 
     those leases, to apply the requirements of this title and 
     title VII to those leases. Such action may include, but is 
     not limited to, promulgating regulations, renegotiating such 
     existing leases, conditioning future leases on bringing such 
     existing leases into full or partial compliance with this 
     title and title VII, or taking any other actions authorized 
     by law.

           Subtitle B--Royalty Relief for American Consumers

     SEC. 241. SHORT TITLE.

       This subtitle may be cited as the ``Royalty Relief for 
     American Consumers Act of 2010''.

     SEC. 242. ELIGIBILITY FOR NEW LEASES AND THE TRANSFER OF 
                   LEASES.

       (a) Issuance of New Leases.--
       (1) In general.--The Secretary shall not issue any new 
     lease that authorizes the production of oil or natural gas 
     under the Outer Continental Shelf Lands Act (43 U.S.C. 1331 
     et seq.) to a person described in paragraph (2) unless the 
     person has renegotiated each covered lease with respect to 
     which the person

[[Page 14867]]

     is a lessee, to modify the payment responsibilities of the 
     person to require the payment of royalties if the price of 
     oil and natural gas is greater than or equal to the price 
     thresholds described in clauses (v) through (vii) of section 
     8(a)(3)(C) of the Outer Continental Shelf Lands Act (43 
     U.S.C. 1337(a)(3)(C)).
       (2) Persons described.--A person referred to in paragraph 
     (1) is a person that--
       (A) is a lessee that--
       (i) holds a covered lease on the date on which the 
     Secretary considers the issuance of the new lease; or
       (ii) was issued a covered lease before the date of 
     enactment of this Act, but transferred the covered lease to 
     another person or entity (including a subsidiary or affiliate 
     of the lessee) after the date of enactment of this Act; or
       (B) any other person that has any direct or indirect 
     interest in, or that derives any benefit from, a covered 
     lease.
       (3) Multiple lessees.--
       (A) In general.--For purposes of paragraph (1), if there 
     are multiple lessees that own a share of a covered lease, the 
     Secretary may implement separate agreements with any lessee 
     with a share of the covered lease that modifies the payment 
     responsibilities with respect to the share of the lessee to 
     include price thresholds that are equal to or less than the 
     price thresholds described in clauses (v) through (vii) of 
     section 8(a)(3)(C) of the Outer Continental Shelf Lands Act 
     (43 U.S.C. 1337(a)(3)(C)).
       (B) Treatment of share as covered lease.--Beginning on the 
     effective date of an agreement under subparagraph (A), any 
     share subject to the agreement shall not constitute a covered 
     lease with respect to any lessees that entered into the 
     agreement.
       (b) Transfers.--A lessee or any other person who has any 
     direct or indirect interest in, or who derives a benefit 
     from, a lease shall not be eligible to obtain by sale or 
     other transfer (including through a swap, spinoff, servicing, 
     or other agreement) any covered lease, the economic benefit 
     of any covered lease, or any other lease for the production 
     of oil or natural gas in the Gulf of Mexico under the Outer 
     Continental Shelf Lands Act (43 U.S.C. 1331 et seq.), unless 
     the lessee or other person has--
       (1) renegotiated each covered lease with respect to which 
     the lessee or person is a lessee, to modify the payment 
     responsibilities of the lessee or person to include price 
     thresholds that are equal to or less than the price 
     thresholds described in clauses (v) through (vii) of section 
     8(a)(3)(C) of the Outer Continental Shelf Lands Act (43 
     U.S.C. 1337(a)(3)(C)); or
       (2) entered into an agreement with the Secretary to modify 
     the terms of all covered leases of the lessee or other person 
     to include limitations on royalty relief based on market 
     prices that are equal to or less than the price thresholds 
     described in clauses (v) through (vii) of section 8(a)(3)(C) 
     of the Outer Continental Shelf Lands Act (43 U.S.C. 
     1337(a)(3)(C)).
       (c) Use of Amounts for Deficit Reduction.--Notwithstanding 
     any other provision of law, any amounts received by the 
     United States as rentals or royalties under covered leases 
     shall be deposited in the Treasury and used for Federal 
     budget deficit reduction or, if there is no Federal budget 
     deficit, for reducing the Federal debt in such manner as the 
     Secretary of the Treasury considers appropriate.
       (d) Definitions.--In this section--
       (1) Covered lease.--The term ``covered lease'' means a 
     lease for oil or gas production in the Gulf of Mexico that 
     is--
       (A) in existence on the date of enactment of this Act;
       (B) issued by the Department of the Interior under section 
     304 of the Outer Continental Shelf Deep Water Royalty Relief 
     Act (43 U.S.C. 1337 note; Public Law 104-58); and
       (C) not subject to limitations on royalty relief based on 
     market price that are equal to or less than the price 
     thresholds described in clauses (v) through (vii) of section 
     8(a)(3)(C) of the Outer Continental Shelf Lands Act (43 
     U.S.C. 1337(a)(3)(C)).
       (2) 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.
       (3) Secretary.--The term ``Secretary'' means the Secretary 
     of the Interior.

     SEC. 243. PRICE THRESHOLDS FOR ROYALTY SUSPENSION PROVISIONS.

       The Secretary of the Interior shall agree to a request by 
     any lessee to amend any lease issued for any Central and 
     Western Gulf of Mexico tract in the period of January 1, 
     1996, through November 28, 2000, to incorporate price 
     thresholds applicable to royalty suspension provisions, that 
     are equal to or less than the price thresholds described in 
     clauses (v) through (vii) of section 8(a)(3)(C) of the Outer 
     Continental Shelf Lands Act (43 U.S.C. 1337(a)(3)(C)). Any 
     amended lease shall impose the new or revised price 
     thresholds effective October 1, 2010. Existing lease 
     provisions shall prevail through September 30, 2010.

                 TITLE III--OIL AND GAS ROYALTY REFORM

     SEC. 301. AMENDMENTS TO DEFINITIONS.

       Section 3 of the Federal Oil and Gas Royalty Management Act 
     of 1982 (30 U.S.C. 1702) is amended--
       (1) in paragraph (8), by striking the semicolon and 
     inserting ``including but not limited to the Act of October 
     20, 1914 (38 Stat. 741); the Act of February 25, 1920 (41 
     Stat. 437); the Act of April 17, 1926 (44 Stat. 301); the Act 
     of February 7, 1927 (44 Stat. 1057); and all Acts heretofore 
     or hereafter enacted that are amendatory of or supplementary 
     to any of the foregoing Acts;'';
       (2) in paragraph (20)(A), by striking ``: Provided, That'' 
     and all that follows through ``subject of the judicial 
     proceeding'';
       (3) in paragraph (20)(B), by striking ``(with written 
     notice to the lessee who designated the designee)'';
       (4) in paragraph (23)(A), by striking ``(with written 
     notice to the lessee who designated the designee)'';
       (5) by striking paragraph (24) and inserting the following:
       ``(24) `designee' means a person who pays, offsets, or 
     credits monies, makes adjustments, requests and receives 
     refunds, or submits reports with respect to payments a lessee 
     must make pursuant to section 102(a);'';
       (6) in paragraph (25)(B)--
       (A) by striking ``(subject to the provisions of section 
     102(a) of this Act)''; and
       (B) in clause (ii) by striking the matter after subclause 
     (IV) and inserting the following:
     ``that arises from or relates to any lease, easement, right-
     of-way, permit, or other agreement regardless of form 
     administered by the Secretary for, or any mineral leasing law 
     related to, the exploration, production, and development of 
     oil and gas or other energy resource on Federal lands or the 
     Outer Continental Shelf;''.
       (7) in paragraph (29), by inserting ``or permit'' after 
     ``lease''; and
       (8) by striking ``and'' after the semicolon at the end of 
     paragraph (32), by striking the period at the end of 
     paragraph (33) and inserting a semicolon, and by adding at 
     the end the following new paragraphs:
       ``(34) `compliance review' means a full-scope or a limited-
     scope examination of a lessee's lease accounts to compare one 
     or all elements of the royalty equation (volume, value, 
     royalty rate, and allowances) against anticipated elements of 
     the royalty equation to test for variances; and
       ``(35) `marketing affiliate' means an affiliate of a lessee 
     whose function is to acquire the lessee's production and to 
     market that production.''.

     SEC. 302. COMPLIANCE REVIEWS.

       Section 101 of the Federal Oil and Gas Royalty Management 
     Act of 1982 (30 U.S.C. 1711) is amended by adding at the end 
     the following new subsection:
       ``(d) The Secretary may, as an adjunct to audits of 
     accounts for leases, utilize compliance reviews of accounts. 
     Such reviews shall not constitute nor substitute for audits 
     of lease accounts. Any disparity uncovered in such a 
     compliance review shall be immediately referred to a program 
     auditor. The Secretary shall, before completion of a 
     compliance review, provide notice of the review to designees 
     whose obligations are the subject of the review.''.

     SEC. 303. CLARIFICATION OF LIABILITY FOR ROYALTY PAYMENTS.

       Section 102(a) of the Federal Oil and Gas Royalty 
     Management Act of 1982 (30 U.S.C. 1712(a)) is amended to read 
     as follows:
       ``(a) In order to increase receipts and achieve effective 
     collections of royalty and other payments, a lessee who is 
     required to make any royalty or other payment under a lease, 
     easement, right-of-way, permit, or other agreement, 
     regardless of form, or under the mineral leasing laws, shall 
     make such payment in the time and manner as may be specified 
     by the Secretary or the applicable delegated State. Any 
     person who pays, offsets, or credits monies, makes 
     adjustments, requests and receives refunds, or submits 
     reports with respect to payments the lessee must make is the 
     lessee's designee under this Act. Notwithstanding any other 
     provision of this Act to the contrary, a designee shall be 
     liable for any payment obligation of any lessee on whose 
     behalf the designee pays royalty under the lease. The person 
     owning operating rights in a lease and a person owning legal 
     record title in a lease shall be liable for that person's pro 
     rata share of payment obligations under the lease.''.

     SEC. 304. REQUIRED RECORDKEEPING.

       Section 103(b) of the Federal Oil and Gas Royalty 
     Management Act of 1982 (30 U.S.C. 1712(a)) is amended by 
     striking ``6'' and inserting ``7''.

     SEC. 305. FINES AND PENALTIES.

       Section 109 of the Federal Oil and Gas Royalty Management 
     Act of 1982 (30 U.S.C. 1719) is amended--
       (1) in subsection (a) in the matter following paragraph 
     (2), by striking ``$500'' and inserting ``$1,000'';
       (2) in subsection (a)(2)(B), by inserting ``(i)'' after 
     ``such person'', and by striking the period at the end and 
     inserting ``; and (ii) has not received notice, pursuant to 
     paragraph (1), of more than two prior violations in the 
     current calendar year.'';
       (3) in subsection (b), by striking ``$5,000'' and inserting 
     ``$10,000'';
       (4) in subsection (c)--
       (A) in paragraph (2), by striking ``; or'' and inserting 
     ``, including any failure or refusal to promptly tender 
     requested documents;'';

[[Page 14868]]

       (B) in the text following paragraph (3)--
       (i) by striking ``$10,000'' and inserting ``$20,000''; and
       (ii) by striking the comma at the end and inserting a 
     semicolon; and
       (C) by adding at the end the following new paragraphs:
       ``(4) knowingly or willfully fails to make any royalty 
     payment in the amount or value as specified by statute, 
     regulation, order, or terms of the lease; or
       ``(5) fails to correctly report and timely provide 
     operations or financial records necessary for the Secretary 
     or any authorized designee of the Secretary to accomplish 
     lease management responsibilities,'';
       (5) in subsection (d), by striking ``$25,000'' and 
     inserting ``$50,000'';
       (6) in subsection (h), by striking ``by registered mail'' 
     and inserting ``a common carrier that provides proof of 
     delivery''; and
       (7) by adding at the end the following subsection:
       ``(m)(1) Any determination by the Secretary or a designee 
     of the Secretary that a person has committed a violation 
     under subsection (a), (c), or (d)(1) shall toll any 
     applicable statute of limitations for all oil and gas leases 
     held or operated by such person, until the later of--
       ``(A) the date on which the person corrects the violation 
     and certifies that all violations of a like nature have been 
     corrected for all of the oil and gas leases held or operated 
     by such person; or
       ``(B) the date a final, nonappealable order has been issued 
     by the Secretary or a court of competent jurisdiction.
       ``(2) A person determined by the Secretary or a designee of 
     the Secretary to have violated subsection (a), (c), or (d)(1) 
     shall maintain all records with respect to the person's oil 
     and gas leases until the later of--
       ``(A) the date the Secretary releases the person from the 
     obligation to maintain such records; and
       ``(B) the expiration of the period during which the records 
     must be maintained under section 103(b).''.

     SEC. 306. INTEREST ON OVERPAYMENTS.

       Section 111 of the Federal Oil and Gas Royalty Management 
     Act of 1982 (30 U.S.C. 1721) is amended--
       (1) by amending subsections (h) and (i) to read as follows:
       ``(h) Interest shall not be allowed nor paid nor credited 
     on any overpayment, and no interest shall accrue from the 
     date such overpayment was made.
       ``(i) A lessee or its designee may make a payment for the 
     approximate amount of royalties (hereinafter in this 
     subsection referred to as the `estimated payment') that would 
     otherwise be due for such lease by the date royalties are due 
     for that lease. When an estimated payment is made, actual 
     royalties are payable at the end of the month following the 
     month in which the estimated payment is made. If the 
     estimated payment was less than the amount of actual 
     royalties due, interest is owed on the underpaid amount. If 
     the lessee or its designee makes a payment for such actual 
     royalties, the lessee or its designee may apply the estimated 
     payment to future royalties. Any estimated payment may be 
     adjusted, recouped, or reinstated by the lessee or its 
     designee provided such adjustment, recoupment, or 
     reinstatement is made within the limitation period for which 
     the date royalties were due for that lease.'';
       (2) by striking subsection (j); and
       (3) in subsection (k)(4)--
       (A) by striking ``or overpaid royalties and associated 
     interest''; and
       (B) by striking ``, refunded, or credited''.

     SEC. 307. ADJUSTMENTS AND REFUNDS.

       Section 111A of the Federal Oil and Gas Royalty Management 
     Act of 1982 (30 U.S.C. 1721a) is amended--
       (1) in subsection (a)(3), by inserting ``(A)'' after 
     ``(3)'', and by striking the last sentence and inserting the 
     following:
       ``(B) Except as provided in subparagraph (C), no adjustment 
     may be made with respect to an obligation that is the subject 
     of an audit or compliance review after completion of the 
     audit or compliance review, respectively, unless such 
     adjustment is approved by the Secretary or the applicable 
     delegated State, as appropriate.
       ``(C) If an overpayment is identified during an audit, the 
     Secretary shall allow a credit in the amount of the 
     overpayment.'';
       (2) in subsection (a)(4)--
       (A) by striking ``six'' and inserting ``four''; and
       (B) by striking ``shall'' the second place it appears and 
     inserting ``may''; and
       (3) in subsection (b)(1) by striking ``and'' after the 
     semicolon at the end of subparagraph (C), by striking the 
     period at the end of subparagraph (D) and inserting ``; 
     and'', and by adding at the end the following:
       ``(E) is made within the adjustment period for that 
     obligation.''.

     SEC. 308. CONFORMING AMENDMENT.

       Section 114 of the Federal Oil and Gas Royalty Management 
     Act of 1982 is repealed.

     SEC. 309. OBLIGATION PERIOD.

       Section 115(c) of the Federal Oil and Gas Royalty 
     Management Act of 1982 (30 U.S.C. 1724(c)) is amended by 
     adding at the end the following new paragraph:
       ``(3) Adjustments.--In the case of an adjustment under 
     section 111A(a) in which a recoupment by the lessee results 
     in an underpayment of an obligation, for purposes of this Act 
     the obligation becomes due on the date the lessee or its 
     designee makes the adjustment.''.

     SEC. 310. NOTICE REGARDING TOLLING AGREEMENTS AND SUBPOENAS.

       (a) Tolling Agreements.--Section 115(d)(1) of the Federal 
     Oil and Gas Royalty Management Act of 1982 (30 U.S.C. 
     1724(d)(1)) is amended by striking ``(with notice to the 
     lessee who designated the designee)''.
       (b) Subpoenas.--Section 115(d)(2)(A) of the Federal Oil and 
     Gas Royalty Management Act of 1982 (30 U.S.C. 1724(d)(2)(A)) 
     is amended by striking ``(with notice to the lessee who 
     designated the designee, which notice shall not constitute a 
     subpoena to the lessee)''.

     SEC. 311. APPEALS AND FINAL AGENCY ACTION.

       Paragraphs (1) and (2) of section 115(h) the Federal Oil 
     and Gas Royalty Management Act of 1982 (30 U.S.C. 1724(h)) 
     are amended by striking ``33'' each place it appears and 
     inserting ``48''.

     SEC. 312. ASSESSMENTS.

       Section 116 of the Federal Oil and Gas Royalty Management 
     Act of 1982 (30 U.S.C. 1724) is repealed.

     SEC. 313. COLLECTION AND PRODUCTION ACCOUNTABILITY.

       (a) Pilot Project.--Within two years after the date of 
     enactment of this Act, the Secretary shall complete a pilot 
     project with willing operators of oil and gas leases on the 
     Outer Continental Shelf that assesses the costs and benefits 
     of automatic transmission of oil and gas volume and quality 
     data produced under Federal leases on the Outer Continental 
     Shelf in order to improve the production verification systems 
     used to ensure accurate royalty collection and audit.
       (b) Report.--The Secretary shall submit to Congress a 
     report on findings and recommendations of the pilot project 
     within 3 years after the date of enactment of this Act.

     SEC. 314. NATURAL GAS REPORTING.

       The Secretary shall, within 180 days after the date of 
     enactment of this Act, implement the steps necessary to 
     ensure accurate determination and reporting of BTU values of 
     natural gas from all Federal oil and gas leases to ensure 
     accurate royalty payments to the United States. Such steps 
     shall include, but not be limited to--
       (1) establishment of consistent guidelines for onshore and 
     offshore BTU information from gas producers;
       (2) development of a procedure to determine the potential 
     BTU variability of produced natural gas on a by-reservoir or 
     by-lease basis;
       (3) development of a procedure to adjust BTU frequency 
     requirements for sampling and reporting on a case-by-case 
     basis;
       (4) systematic and regular verification of BTU information; 
     and
       (5) revision of the ``MMS-2014'' reporting form to record, 
     in addition to other information already required, the 
     natural gas BTU values that form the basis for the required 
     royalty payments.

     SEC. 315. PENALTY FOR LATE OR INCORRECT REPORTING OF DATA.

       (a) In General.--The Secretary shall issue regulations by 
     not later than 1 year after the date of enactment of this Act 
     that establish a civil penalty for late or incorrect 
     reporting of data under the Federal Oil and Gas Royalty 
     Management Act of 1982 (30 U.S.C. 1701 et seq.).
       (b) Amount.--The amount of the civil penalty shall be--
       (1) an amount (subject to paragraph (2)) that the Secretary 
     determines is sufficient to ensure filing of data in 
     accordance with that Act; and
       (2) not less than $10 for each failure to file correct data 
     in accordance with that Act.
       (c) Content of Regulations.--Except as provided in 
     subsection (b), the regulations issued under this section 
     shall be substantially similar to part 216.40 of title 30, 
     Code of Federal Regulations, as most recently in effect 
     before the date of enactment of this Act.

     SEC. 316. REQUIRED RECORDKEEPING.

       Within 1 year after the date of enactment of this Act, the 
     Secretary shall publish final regulations concerning required 
     recordkeeping of natural gas measurement data as set forth in 
     part 250.1203 of title 30, Code of Federal Regulations (as in 
     effect on the date of enactment of this Act), to include 
     operators and other persons involved in the transporting, 
     purchasing, or selling of gas under the requirements of that 
     rule, under the authority provided in section 103 of the 
     Federal Oil and Gas Royalty Management Act of 1982 (30 U.S.C. 
     1713).

     SEC. 317. SHARED CIVIL PENALTIES.

       Section 206 of the Federal Oil and Gas Royalty Management 
     Act of 1982 (30 U.S.C. 1736) is amended by striking ``Such 
     amount shall be deducted from any compensation due such State 
     or Indian Tribe under section 202 or section 205 or such 
     State under section 205.''.

     SEC. 318. APPLICABILITY TO OTHER MINERALS.

       Section 304 of the Federal Oil and Gas Royalty Management 
     Act of 1982 (30 U.S.C. 1753) is amended by adding at the end 
     the following new subsection:
       ``(e) Applicability to Other Minerals.--
       ``(1) Notwithstanding any other provision of law, sections 
     107, 109, and 110 of this Act

[[Page 14869]]

     and the regulations duly promulgated with respect thereto 
     shall apply to any lease authorizing the development of coal 
     or any other solid mineral on any Federal lands or Indian 
     lands, to the same extent as if such lease were an oil and 
     gas lease, on the same terms and conditions as those 
     authorized for oil and gas leases.
       ``(2) Notwithstanding any other provision of law, sections 
     107, 109, and 110 of this Act and the regulations duly 
     promulgated with respect thereto shall apply with respect to 
     any lease, easement, right-of-way, or other agreement, 
     regardless of form (including any royalty, rent, or other 
     payment due thereunder)--
       ``(A) under section 8(k) or 8(p) of the Outer Continental 
     Shelf Lands Act (43 U.S.C. 1337(k) and 1337(p)); or
       ``(B) under the Geothermal Steam Act (30 U.S.C. 1001 et 
     seq.), to the same extent as if such lease, easement, right-
     of-way, or other agreement were an oil and gas lease on the 
     same terms and conditions as those authorized for oil and gas 
     leases.
       ``(3) For the purposes of this subsection, the term `solid 
     mineral' means any mineral other than oil, gas, and geo-
     pressured-geothermal resources, that is authorized by an Act 
     of Congress to be produced from public lands (as that term is 
     defined in section 103 of the Federal Land Policy and 
     Management Act of 1976 (43 U.S.C. 1702)).''.

     SEC. 319. ENTITLEMENTS.

       Not later than 180 days after the date of enactment of this 
     Act, the Secretary shall publish final regulations 
     prescribing when a Federal lessee or designee must report and 
     pay royalties on the volume of oil and gas it takes under 
     either a Federal or Indian lease or on the volume to which it 
     is entitled to based upon its ownership interest in the 
     Federal or Indian lease. The Secretary shall give 
     consideration to requiring 100 percent entitlement reporting 
     and paying based upon the lease ownership.

     SEC. 320. LIMITATION ON ROYALTY IN-KIND PROGRAM.

       Section 36 of the Mineral Leasing Act (30 U.S.C. 192) is 
     amended by inserting before the period at the end of the 
     first sentence the following: ``, except that the Secretary 
     shall not conduct a regular program to take oil and gas lease 
     royalties in oil or gas''.

TITLE IV--FULL FUNDING FOR THE LAND AND WATER CONSERVATION AND HISTORIC 
                           PRESERVATION FUNDS

              Subtitle A--Land and Water Conservation Fund

     SEC. 401. AMENDMENTS TO THE LAND AND WATER CONSERVATION FUND 
                   ACT OF 1965.

       Except as otherwise expressly provided, whenever in this 
     subtitle an amendment or repeal is expressed in terms of an 
     amendment to, or repeal of, a section or other provision, the 
     reference shall be considered to be made to a section or 
     other provision of the Land and Water Conservation Fund Act 
     of 1965 (16 U.S.C. 460l-4 et seq.).

     SEC. 402. EXTENSION OF THE LAND AND WATER CONSERVATION FUND.

       Section 2 (16 U.S.C. 460l-5) is amended by striking 
     ``September 30, 2015'' both places it appears and inserting 
     ``September 30, 2040''.

     SEC. 403. PERMANENT FUNDING.

       (a) In General.--The text of section 3 (16 U.S.C. 460l-6) 
     is amended to read as follows:
       ``(a) Permanent Funding.--Of the moneys covered into the 
     fund, $900,000,000 shall be available each fiscal year for 
     expenditure for the purposes of this Act without further 
     appropriation.
       ``(b) Allocation Authority.--The Committees on 
     Appropriations of the House of Representatives and the Senate 
     may provide by law for the allocation of moneys in the fund 
     to eligible activities under this Act.''.
       (b) Conforming Amendments.--
       (1) Section 2(c)(2) (16 U.S.C. 460l-5(c)(2)) is amended by 
     striking ``: Provided'' and all that follows through the end 
     of the sentence and inserting a period.
       (2) Section 7(a) (16 U.S.C. 460l-9) is amended to read as 
     follows: ``Moneys from the fund for Federal purposes shall, 
     unless allocated pursuant to section 3(b) of this Act, be 
     allotted by the President to the following purposes and 
     subpurposes:''.

            Subtitle B--National Historic Preservation Fund

     SEC. 411. PERMANENT FUNDING.

       The text of section 108 of the National Historic 
     Preservation Act (16 U.S.C. 470h) is amended to read as 
     follows:
       ``(a) Permanent Funding.--To carry out the provisions of 
     this Act, there is hereby established the Historic 
     Preservation Fund (hereinafter referred to as the `fund') in 
     the Treasury of the United States. There shall be covered 
     into the fund $150,000,000 for each of fiscal years 1982 
     through 2040 from revenues due and payable to the United 
     States under the Outer Continental Shelf Lands Act (67 Stat. 
     462, 469), as amended (43 U.S.C. 1338) and/or under the Act 
     of June 4, 1920 (41 Stat. 813), as amended (30 U.S.C.191), 
     notwithstanding any provision of law that such proceeds shall 
     be credited to miscellaneous receipts of the Treasury. Such 
     moneys shall be used only to carry out the purposes of this 
     Act and shall be available for expenditure without further 
     appropriation.
       ``(b) Allocation Authority.--The Committees on 
     Appropriations of the House of Representatives and the Senate 
     may provide by law for the allocation of moneys in the fund 
     to eligible activities under this Act.''.

                  TITLE V--GULF OF MEXICO RESTORATION

     SEC. 501. GULF OF MEXICO RESTORATION PROGRAM.

       (a) Program.--There is established a Gulf of Mexico 
     Restoration Program for the purposes of coordinating Federal, 
     State, and local restoration programs and projects to 
     maximize efforts in restoring biological integrity, 
     productivity and ecosystem functions in the Gulf of Mexico.
       (b) Gulf of Mexico Restoration Task Force.--
       (1) Establishment.--There is established a task force to be 
     known as the Gulf of Mexico Restoration Task Force (in this 
     section referred to as the ``Restoration Task Force'').
       (2) Membership.--The Restoration Task Force shall consist 
     of the Governors of each of the Gulf Coast States and the 
     heads of appropriate Federal agencies selected by the 
     President. The chairperson of the Restoration Task Force (in 
     this subsection referred to as the ``Chair'') shall be 
     appointed by the President. The Chair shall be a person who, 
     as the result of experience and training, is exceptionally 
     well-qualified to manage the work of the Restoration Task 
     Force. The Chair shall serve in the Executive Office of the 
     President.
       (3) Advisory committees.--The Restoration Task Force may 
     establish advisory committees and working groups as necessary 
     to carry out is its duties under this Act.
       (c) Gulf of Mexico Restoration Plan.--
       (1) In general.--Not later than nine months after the date 
     of enactment of this Act, the Restoration Task Force shall 
     issue a proposed comprehensive, multi-jurisdictional plan for 
     long-term restoration of the Gulf of Mexico that 
     incorporates, to the greatest extent possible, existing 
     restoration plans. Not later than 12 months after the date of 
     enactment and after notice and opportunity for public 
     comment, the Restoration Task Force shall publish a final 
     plan. The Plan shall be updated every five years in the same 
     manner.
       (2) Elements of restoration plan.--The Plan shall--
       (A) identify processes and strategies for coordinating 
     Federal, State, and local restoration programs and projects 
     to maximize efforts in restoring biological integrity, 
     productivity and ecosystem functions in the Gulf of Mexico 
     region;
       (B) identify mechanisms for scientific review and input to 
     evaluate the benefits and long-term effectiveness of 
     restoration programs and projects;
       (C) identify, using the best science available, strategies 
     for implementing restoration programs and projects for 
     natural resources including--
       (i) restoring species population and habitat including 
     oyster reefs, sea grass beds, coral reefs, tidal marshes and 
     other coastal wetlands and barrier islands and beaches;
       (ii) restoring fish passage and improving migratory 
     pathways for wildlife;
       (iii) research that directly supports restoration programs 
     and projects;
       (iv) restoring the biological productivity and ecosystem 
     function in the Gulf of Mexico region;
       (v) improving the resilience of natural resources to 
     withstand the impacts of climate change and ocean 
     acidification to ensure the long-term effectiveness of the 
     restoration program; and
       (vi) restoring fisheries resources in the Gulf of Mexico 
     that benefit the commercial and recreational fishing 
     industries and seafood processing industries throughout the 
     United States.
       (3) Report.--The Task Force shall annually provide a report 
     to Congress about the progress in implementing the Plan.
       (d) Definitions.--For purposes of this section, the term--
       (1) ``Gulf Coast State'' means each of the States of Texas, 
     Louisiana, Mississippi, Alabama, and Florida; and
       (2) ``restoration programs and projects'' means activities 
     that support the restoration, rehabilitation, replacement, or 
     acquisition of the equivalent, of injured or lost natural 
     resources including the ecological services and benefits 
     provided by such resources.
       (e) Relationship to Other Law.--Nothing in this section 
     affects the ability or authority of the Federal Government to 
     recover costs of removal or damages from a person determined 
     to be a responsible party pursuant to the Oil Pollution Act 
     of 1990 (33 U.S.C. 2701 et seq.) or other law.

     SEC. 502. GULF OF MEXICO LONG-TERM ENVIRONMENTAL MONITORING 
                   AND RESEARCH PROGRAM.

       (a) In General.--To ensure that the Federal Government has 
     independent, peer-reviewed scientific data and information to 
     assess long-term direct and indirect impacts on trust 
     resources located in the Gulf of Mexico and Southeast region 
     resulting from the Deepwater Horizon oil spill, the 
     Secretary, through the National Oceanic and Atmospheric 
     Administration, shall establish as soon as practicable after 
     the date of enactment of this Act, a long-term, comprehensive 
     marine environmental monitoring and research program for the 
     marine and coastal environment of the Gulf of Mexico. The 
     program shall remain in effect for a minimum

[[Page 14870]]

     of 10 years, and the Secretary may extend the program beyond 
     this initial period based upon a determination that 
     additional monitoring and research is warranted.
       (b) Scope of Program.--The program established under 
     subsection (a) shall at a minimum include monitoring and 
     research of the physical, chemical, and biological 
     characteristics of the affected marine, coastal, and 
     estuarine areas of the Gulf of Mexico and other regions of 
     the exclusive economic zone of the United States affected by 
     the Deepwater Horizon oil spill, and shall include 
     specifically the following elements:
       (1) The fate, transport, and persistence of oil released 
     during the spill and spatial distribution throughout the 
     water column.
       (2) The fate, transport, and persistence of chemical 
     dispersants applied in-situ or on surface waters.
       (3) Identification of lethal and sub-lethal impacts to fish 
     and wildlife resources that utilize habitats located within 
     the affected region.
       (4) Impacts to regional, State, and local economies that 
     depend on the natural resources of the affected area, 
     including commercial and recreational fisheries, and other 
     wildlife-dependent recreation.
       (5) Other elements considered necessary by the Secretary to 
     ensure a comprehensive marine research and monitoring program 
     to comprehend and understand the implications to trust 
     resources caused by the Deepwater Horizon oil spill.
       (c) Cooperation and Consultation.--In developing the 
     research and monitoring program established under subsection 
     (a), the Secretary shall cooperate with the United States 
     Geological Survey, and shall consult with--
       (1) the Council authorized under subtitle E of title II of 
     Public Law 104-201;
       (2) appropriate representatives from the Gulf Coast States;
       (3) academic institutions and other research organizations; 
     and
       (4) other experts with expertise in long-term environmental 
     monitoring and research of the marine environment.
       (d) Availability of Data.--Data and information generated 
     through the program established under subsection (a) shall be 
     managed and archived to ensure that it is accessible and 
     available to governmental and nongovernmental personnel and 
     to the general public for their use and information.
       (e) Report.--No later than one year after the establishment 
     of the program under subsection (a), and biennially 
     thereafter, the Secretary shall forward to the Congress a 
     comprehensive report summarizing the activities and findings 
     of the program and detailing areas and issues requiring 
     future monitoring and research.
       (f) Definitions.--For the purposes of this section, the 
     term--
       (1) ``trust resources'' means the living and nonliving 
     natural resources belonging to, managed by, held in trust by, 
     appertaining to, or otherwise controlled by the United 
     States, any State, an Indian tribe, or a local government;
       (2) ``Gulf coast State'' means each of the states of Texas, 
     Louisiana, Mississippi, Alabama and Florida; and
       (3) ``Secretary'' means the Secretary of Commerce.

     SEC. 503. GULF OF MEXICO EMERGENCY MIGRATORY SPECIES 
                   ALTERNATIVE HABITAT PROGRAM.

       (a) In General.--In order to reduce the injury or death of 
     many populations of migratory species of fish and wildlife, 
     including threatened and endangered species and other species 
     of critical conservation concern, that utilize estuarine, 
     coastal, and marine habitats of the Gulf of Mexico that have 
     been impacted, or are likely to be impacted, by the Deepwater 
     Horizon oil spill, and to ensure that migratory species upon 
     their annual return to the Gulf of Mexico find viable, 
     healthy, and environmentally-safe habitats to utilize for 
     resting, feeding, nesting and roosting, and breeding, the 
     Secretary of the Interior shall establish as soon as 
     practicable after date of enactment of this Act, an emergency 
     migratory species alternative habitat program.
       (b) Scope of Program.--The program established under 
     subsection (a) shall at a minimum support projects along the 
     Northern coast of the Gulf of Mexico to--
       (1) improve wetland water quality and forage;
       (2) restore and refurbish diked impoundments;
       (3) improve riparian habitats to increase fish passage and 
     breeding habitat;
       (4) encourage conversion of agricultural lands to provide 
     alternative migratory habitat for water fowl and other 
     migratory birds;
       (5) transplant, relocate, or rehabilitate fish and 
     wildlife; and
       (6) conduct other activities considered necessary by the 
     Secretary to ensure that migratory species have alternative 
     habitat available for their use outside of habitat impacted 
     by the oil spill.
       (c) National Fish and Wildlife Foundation.--In implementing 
     this section the Secretary may enter into an agreement with 
     the National Fish and Wildlife Foundation to administer the 
     program.

                  TITLE VI--COORDINATION AND PLANNING

     SEC. 601. REGIONAL COORDINATION.

       (a) In General.--The purpose of this title is to promote--
       (1) better coordination, communication, and collaboration 
     between Federal agencies with authorities for ocean, coastal, 
     and Great Lakes management; and
       (2) coordinated and collaborative regional planning efforts 
     using the best available science, and to ensure the 
     protection and maintenance of marine ecosystem health, in 
     decisions affecting the sustainable development and use of 
     Federal renewable and nonrenewable resources on, in, or above 
     the ocean (including the Outer Continental Shelf) and the 
     Great Lakes for the long-term economic and environmental 
     benefit of the United States.
       (b) Objectives of Regional Efforts.--Such regional efforts 
     shall achieve the following objectives:
       (1) Greater systematic communication and coordination among 
     Federal, coastal State, and affected tribal governments 
     concerned with the conservation of and the sustainable 
     development and use of Federal renewable and nonrenewable 
     resources of the oceans, coasts, and Great Lakes.
       (2) Greater reliance on a multiobjective, science- and 
     ecosystem-based, spatially explicit management approach that 
     integrates regional economic, ecological, affected tribal, 
     and social objectives into ocean, coastal, and Great Lakes 
     management decisions.
       (3) Identification and prioritization of shared State and 
     Federal ocean, coastal, and Great Lakes management issues.
       (4) Identification of data and information needed by the 
     Regional Coordination Councils established under section 602.
       (c) Regions.--There are hereby designated the following 
     Coordination Regions:
       (1) Pacific region.--The Pacific Coordination Region, which 
     shall consist of the coastal waters and Exclusive Economic 
     Zone adjacent to the States of Washington, Oregon, and 
     California.
       (2) Gulf of mexico region.--The Gulf of Mexico Coordination 
     Region, which shall consist of the coastal waters and 
     Exclusive Economic Zone adjacent to the States of Texas, 
     Louisiana, Mississippi, and Alabama, and the west coast of 
     Florida.
       (3) North atlantic region.--The North Atlantic Coordination 
     Region, which shall consist of the coastal waters and 
     Exclusive Economic Zone adjacent to the States of Maine, New 
     Hampshire, Massachusetts, Rhode Island, and Connecticut
       (4) Mid atlantic region.--The Mid Atlantic Coordination 
     Region, which shall consist of the coastal waters and 
     Exclusive Economic Zone adjacent to the States of New York, 
     New Jersey, Pennsylvania, Delaware, Maryland, and Virginia.
       (5) South atlantic region.--The South Atlantic Coordination 
     Region, which shall consist of the coastal waters and 
     Exclusive Economic Zone adjacent to the States of North 
     Carolina, South Carolina, Georgia, the east coast of Florida, 
     and the Straits of Florida Planning Area.
       (6) Alaska region.--The Alaska Coordination Region, which 
     shall consist of the coastal waters and Exclusive Economic 
     Zone adjacent to the State of Alaska.
       (7) Pacific islands region.--The Pacific Islands 
     Coordination Region, which shall consist of the coastal 
     waters and Exclusive Economic Zone adjacent to the State of 
     Hawaii, the Commonwealth of the Northern Mariana Islands, 
     American Samoa, and Guam.
       (8) Caribbean region.--The Caribbean Coordination Region, 
     which shall consist of the coastal waters and Exclusive 
     Economic Zone adjacent to Puerto Rico and the United States 
     Virgin Islands.
       (9) Great lakes region.--The Great Lakes Coordination 
     Region, which shall consist of waters of the Great Lakes in 
     the States of Illinois, Indiana, Michigan, Minnesota, New 
     York, Ohio, Pennsylvania, and Wisconsin.

     SEC. 602. REGIONAL COORDINATION COUNCILS.

       (a) In General.--Within 180 days after the date of 
     enactment of this Act, the Chairman of the Council on 
     Environmental Quality, in consultation with the affected 
     coastal States and affected Indian tribes, shall establish or 
     designate a Regional Coordination Council for each of the 
     Coordination Regions designated by section 601(c).
       (b) Membership.--
       (1) Federal representatives.--Within 90 days after the date 
     of enactment of this Act, the Chairman of the Council on 
     Environmental Quality shall publish the titles of the 
     officials of each Federal agency and department that shall 
     participate in each Council. The Councils shall include 
     representatives of each Federal agency and department that 
     has authorities related to the development of ocean, coastal, 
     or Great Lakes policies or engages in planning, management, 
     or scientific activities that significantly affect or inform 
     the use of ocean, coastal, or Great Lakes resources. The 
     Chairman of the Council on Environmental Quality shall 
     determine which Federal agency representative shall serve as 
     the chairperson of each Council.
       (2) Coastal state representatives.--
       (A) Notice of intent to participate.--The Governor of each 
     coastal State within each Coordination Region designated by 
     section 601(c) shall within 3 months after the date of 
     enactment of this Act, inform the Chairman of the Council on 
     Environmental Quality

[[Page 14871]]

      whether or not the State intends to participate in the 
     Regional Coordination Council for the Region.
       (B) Appointment of responsible state official.--If a 
     coastal State intends to participate in such Council, the 
     Governor of the coastal State shall appoint an officer or 
     employee of the coastal State agency with primary 
     responsibility for overseeing ocean and coastal policy or 
     resource management to that Council.
       (C) Alaska regional coordination council.--The Regional 
     Coordination Council for the Alaska Coordination Region shall 
     include representation from each of the States of Alaska, 
     Washington, and Oregon, if appointed by the Governor of that 
     State in accordance with this paragraph.
       (3) Regional fishery management council representation.--A 
     representative of each Regional Fishery Management Council 
     with jurisdiction in the Coordination Region of a Regional 
     Coordination Council (who is selected by the Regional Fishery 
     Management Council) and the executive director of the 
     interstate marine fisheries commission with jurisdiction in 
     the Coordination Region of a Regional Coordination Council 
     shall each serve as a member of the Council.
       (4) Regional ocean partnership representation.--A 
     representative of any Regional Ocean Partnership that has 
     been established for any part of the Coordination Region of a 
     Regional Coordination Council may appoint a representative to 
     serve on the Council in addition to any Federal or State 
     appointments.
       (5) Tribal representation.--An appropriate tribal official 
     selected by affected Indian tribes situated in the affected 
     Coordination Region may elect to appoint a representative of 
     such tribes collectively to serve as a member of the Regional 
     Coordination Council for that Region.
       (6) Local representation.--The Chairman of the Council on 
     Environmental Quality shall, in consultation with the 
     Governors of the coastal States within each Coordination 
     Region, identify and appoint representatives of county and 
     local governments, as appropriate, to serve as members of the 
     Regional Coordination Council for that Region.
       (c) Advisory Committee.--Each Regional Coordination Council 
     shall establish advisory committees for the purposes of 
     public and stakeholder input and scientific advice, made up 
     of a balanced representation from the energy, shipping, 
     transportation, commercial and recreational fishing, and 
     recreation industries, from marine environmental 
     nongovernmental organizations, and from scientific and 
     educational authorities with expertise in the conservation 
     and management of ocean, coastal, and Great Lakes resources 
     to advise the Council during the development of Regional 
     Assessments and Regional Strategic Plans and in its other 
     activities.
       (d) Coordination With Existing Programs.--Each Regional 
     Coordination Council shall build upon and complement current 
     State, multistate, and regional capacity and governance and 
     institutional mechanisms to manage and protect ocean waters, 
     coastal waters, and ocean resources.

     SEC. 603. REGIONAL STRATEGIC PLANS.

       (a) Initial Regional Assessment.--
       (1) In general.--Each Regional Coordination Council, shall, 
     within one year after the date of enactment of this Act, 
     prepare an initial assessment of its Coordination Region that 
     shall identify deficiencies in data and information necessary 
     to informed decisionmaking by Federal, State, and affected 
     tribal governments concerned with the conservation of and 
     management of the oceans, coasts, and Great Lakes. Each 
     initial assessment shall to the extent feasible--
       (A) identify the Coordination Region's renewable and non 
     renewable resources, including current and potential energy 
     resources;
       (B) identify and include a spatially and temporally 
     explicit inventory of existing and potential uses of the 
     Coordination Region, including fishing and fish habitat, 
     recreation, and energy development;
       (C) document the health and relative environmental 
     sensitivity of the marine ecosystem within the Coordination 
     Region, including a comprehensive survey and status 
     assessment of species, habitats, and indicators of ecosystem 
     health;
       (D) identify marine habitat types and important ecological 
     areas within the Coordination Region;
       (E) assess the Coordination Region's marine economy and 
     cultural attributes and include regionally-specific 
     ecological and socio-economic baseline data;
       (F) identify and prioritize additional scientific and 
     economic data necessary to inform the development of 
     Strategic Plans; and
       (G) include other information to improve decision making as 
     determined by the Regional Coordination Council.
       (2) Data.--Each initial assessment shall--
       (A) use the best available data;
       (B) collect and provide data in a spatially explicit manner 
     wherever practicable and provide such data to the interagency 
     comprehensive digital mapping initiative as described in 
     section 2 of Public Law 109-58 (42 U.S.C. 15801); and
       (C) make publicly available any such data that is not 
     classified information.
       (3) Public participation.--Each Regional Coordination 
     Council shall provide adequate opportunity for review and 
     input by stakeholders and the general public during the 
     preparation of the initial assessment and any revised 
     assessments.
       (b) Regional Strategic Plans.--
       (1) Requirement.--Each Regional Coordination Council shall, 
     within 3 years after the completion of the initial regional 
     assessment, prepare and submit to the Chairman of the Council 
     on Environmental Quality a multiobjective, science- and 
     ecosystem-based, spatially explicit, integrated Strategic 
     Plan in accordance with this subsection for the Council's 
     Coordination Region.
       (2) Objective and goals.--The objective of the Strategic 
     Plans under this subsection shall be to foster comprehensive, 
     integrated, and sustainable development and use of ocean, 
     coastal, and Great Lakes resources, while protecting marine 
     ecosystem health and sustaining the long-term economic and 
     ecosystem values of the oceans, coasts, and Great Lakes.
       (3) Contents.--Each Strategic Plan prepared by a Regional 
     Coordination Council shall--
       (A) be based on the initial regional assessment and updates 
     for the Coordination Region under subsections (a) and (c), 
     respectively;
       (B) foster the sustainable and integrated development and 
     use of ocean, coastal, and Great Lakes resources in a manner 
     that protects the health of marine ecosystems;
       (C) identify areas with potential for siting and developing 
     renewable and nonrenewable energy resources in the 
     Coordination Region covered by the Strategic Plan;
       (D) identify other current and potential uses of the ocean 
     and coastal resources in the Coordination Region;
       (E) identify and recommend long-term monitoring needs for 
     ecosystem health and socioeconomic variables within the 
     Coordination Region covered by the Strategic Plan;
       (F) identify existing State and Federal regulating 
     authorities within the Coordination Region covered by the 
     Strategic Plan and measures to assist those authorities in 
     carrying out their responsibilities;
       (G) identify best available technologies to minimize 
     adverse environmental impacts and use conflicts in the 
     development of ocean and coastal resources in the 
     Coordination Region;
       (H) identify additional research, information, and data 
     needed to carry out the Strategic Plan;
       (I) identify performance measures and benchmarks for 
     purposes of fulfilling the responsibilities under this 
     section to be used to evaluate the Strategic Plan's 
     effectiveness;
       (J) define responsibilities and include an analysis of the 
     gaps in authority, coordination, and resources, including 
     funding, that must be filled in order to fully achieve those 
     performance measures and benchmarks; and
       (K) include such other information at the Chairman of the 
     Council on Environmental Quality determines is appropriate.
       (4) Public participation.--Each Regional Coordination 
     Council shall provide adequate opportunities for review and 
     input by stakeholders and the general public during the 
     development of the Strategic Plan and any Strategic Plan 
     revisions.
       (c) Updated Regional Assessments.--Each Regional 
     Coordination Council shall update the initial regional 
     assessment prepared under subsection (a) in coordination with 
     each Strategic Plan revision under subsection (e), to provide 
     more detailed information regarding the required elements of 
     the assessment and to include any relevant new information 
     that has become available in the interim.
       (d) Review and Approval.--
       (1) Commencement of review.--Within 10 days after receipt 
     of a Strategic Plan under this section, or any revision to 
     such a Strategic Plan, from a Regional Coordination Council, 
     the Chairman of the Council of Environmental Quality shall 
     commence a review of the Strategic Plan or the revised 
     Strategic Plan, respectively.
       (2) Public notice and comment.--Immediately after receipt 
     of such a Strategic Plan or revision, the Chairman of the 
     Council of Environmental Quality shall publish the Strategic 
     Plan or revision in the Federal Register and provide an 
     opportunity for the submission of public comment for a 90-day 
     period beginning on the date of such publication.
       (3) Requirements for approval.--Before approving a 
     Strategic Plan, or any revision to a Strategic Plan, the 
     Chairman of the Council on Environmental Quality must find 
     that the Strategic Plan or revision--
       (A) is consistent with the Outer Continental Shelf Lands 
     Act;
       (B) complies with subsection (b); and
       (C) complies with the purposes of this title as identified 
     in section 601(a) and the objectives identified in section 
     601(b).
       (4) Deadline for completion.--Within 180 days after the 
     receipt of a Strategic Plan, or a revision to a Strategic 
     Plan, the Chairman of the Council of Environmental Quality 
     shall approve or disapprove the Strategic Plan or revision. 
     If the Chairman disapproves the Strategic Plan or revision, 
     the

[[Page 14872]]

     Chairman shall transmit to the Regional Coordination Council 
     that submitted the Strategic Plan or revision, an 
     identification of the deficiencies and recommendations to 
     improve it. The Council shall submit a revised Strategic Plan 
     or revision to such plan with 180 days after receiving the 
     recommendations from the Chairman.
       (e) Plan Revision.--Each Strategic Plan shall be reviewed 
     and revised by the relevant Regional Coordination Council at 
     least once every 5 years. Such review and revision shall be 
     based on the most recently updated regional assessment. Any 
     proposed revisions to the Strategic Plan shall be submitted 
     to the Chairman of the Council on Environmental Quality for 
     review and approval pursuant to this section.

     SEC. 604. REGULATIONS AND SAVINGS CLAUSE.

       (a) Regulations.--The Chairman of the Council on 
     Environmental Quality may issue such regulations as the 
     Chairman considers necessary to implement sections 601 
     through 603.
       (b) Savings Clause.--Nothing in this title shall be 
     construed to affect existing authorities under Federal law.

     SEC. 605. OCEAN RESOURCES CONSERVATION AND ASSISTANCE FUND.

       (a) Establishment.--
       (1) In general.--There is established in the Treasury of 
     the United States a separate account to be known as the Ocean 
     Resources Conservation and Assistance Fund.
       (2) Credits.--The ORCA Fund shall be credited with amounts 
     as specified in section 9 of the Outer Continental Shelf 
     Lands Act (43 U.S.C. 1338), as amended by section 207 of this 
     Act.
       (3) Allocation of the orca fund.--Of the amounts 
     appropriated from the ORCA Fund each fiscal year--
       (A) 70 percent shall be allocated to the Secretary, of 
     which--
       (i) 1/2 shall be used to make grants to coastal States and 
     affected Indian tribes under subsection (b); and
       (ii) 1/2 shall be used for the ocean, coastal, and Great 
     Lakes grants program established by subsection (c);
       (B) 20 percent shall be allocated to the Secretary to carry 
     out the purposes of subsection (e); and
       (C) 10 percent shall be allocated to the Secretary to make 
     grants to Regional Ocean Partnerships under subsection (d) 
     and the Regional Coordination Councils established under 
     section 602.
       (4) Procedures.--The Secretary shall establish application, 
     review, oversight, financial accountability, and performance 
     accountability procedures for each grant program for which 
     funds are allocated under this subsection.
       (b) Grants to Coastal States.--
       (1) Grant authority.--The Secretary may use amounts 
     allocated under subsection (a)(3)(A)(I)(I) to make grants 
     to--
       (A) coastal States pursuant to the formula established 
     under section 306(c) of the Coastal Zone Management Act of 
     1972 (16 U.S.C. 1455(c)); and
       (B) affected Indian tribes based on and proportional to any 
     specific coastal and ocean management authority granted to an 
     affected tribe pursuant to affirmation of a Federal reserved 
     right.
       (2) Eligibility.--To be eligible to receive a grant under 
     this subsection, a coastal State or affected Indian tribe 
     must prepare and revise a 5-year plan and annual work plans 
     that--
       (A) demonstrate that activities for which the coastal State 
     or affected Indian tribe will use the funds are consistent 
     with the eligible uses of the Fund described in subsection 
     (f); and
       (B) provide mechanisms to ensure that funding is made 
     available to government, nongovernment, and academic entities 
     to carry out eligible activities at the county and local 
     level.
       (3) Approval of state and affected tribal plans.--
       (A) In general.--Plans required under paragraph (2) must be 
     submitted to and approved by the Secretary.
       (B) Public input and comment.--In determining whether to 
     approve such plans, the Secretary shall provide opportunity 
     for, and take into consideration, public input and comment on 
     the plans from stakeholders and the general public.
       (5) Energy planning grants.--For each of the fiscal years 
     2011 through 2015, the Secretary may use funds allocated for 
     grants under this subsection to make grants to coastal States 
     and affected tribes under section 320 of the Coastal Zone 
     Management Act of 1972 (16 U.S.C. 1451 et seq.), as amended 
     by this Act.
       (6) Use of funds.--Any amounts provided as a grant under 
     this subsection, other than as a grants under paragraph (5), 
     may only be used for activities described in subsection (f).
       (c) Ocean and Coastal Competitive Grants Program.--
       (1) Establishment.--The Secretary shall use amounts 
     allocated under subsection (a)(3)(A)(I)(II) to make 
     competitive grants for conservation and management of ocean, 
     coastal, and Great Lakes ecosystems and marine resources.
       (2) Ocean, coastal, and great lakes review panel.--
       (A) In general.--The Secretary shall establish an Ocean, 
     Coastal, and Great Lakes Review Panel (in this subsection 
     referred to as the ``Panel''), which shall consist of 12 
     members appointed by the Secretary with expertise in the 
     conservation and management of ocean, coastal, and Great 
     Lakes ecosystems and marine resources. In appointing members 
     to the Council, the Secretary shall include a balanced 
     diversity of representatives of relevant Federal agencies, 
     the private sector, nonprofit organizations, and academia.
       (B) Functions.--The Panel shall--
       (i) review, in accordance with the procedures and criteria 
     established under paragraph (3), grant applications under 
     this subsection;
       (ii) make recommendations to the Secretary regarding which 
     grant applications should be funded and the amount of each 
     grant; and
       (iii) establish any specific requirements, conditions, or 
     limitations on a grant application recommended for funding.
       (3) Procedures and eligibility criteria for grants.--
       (A) In general.--The Secretary shall establish--
       (i) procedures for applying for a grant under this 
     subsection and criteria for evaluating applications for such 
     grants; and
       (ii) criteria, in consultation with the Panel, to determine 
     what persons are eligible for grants under the program.
       (B) Eligible persons.--Persons eligible under the criteria 
     under subparagraph (A)(ii) shall include Federal, State, 
     affected tribal, and local agencies, fishery or wildlife 
     management organizations, nonprofit organizations, and 
     academic institutions.
       (4) Approval of grants.--In making grants under this 
     subsection the Secretary shall give the highest priority to 
     the recommendations of the Panel. If the Secretary 
     disapproves a grant recommended by the Panel, the Secretary 
     shall explain that disapproval in writing.
       (5) Use of grant funds.--Any amounts provided as a grant 
     under this subsection may only be used for activities 
     described in subsection (f).
       (d) Grants to Regional Ocean Partnerships.--
       (1) Grant authority.--The Secretary may use amounts 
     allocated under subsection (a)(3)(A)(iii) to make grants to 
     Regional Ocean Partnerships.
       (2) Eligibility.--In order to be eligible to receive a 
     grant, a Regional Ocean Partnership must prepare and annually 
     revise a plan that--
       (A) identifies regional science and information needs, 
     regional goals and priorities, and mechanisms for 
     facilitating coordinated and collaborative responses to 
     regional issues;
       (B) establishes a process for coordinating and 
     collaborating with the Regional Coordination Councils 
     established under section 602 to address regional issues and 
     information needs and achieve regional goals and priorities; 
     and
       (C) demonstrates that activities to be carried out with 
     such funds are eligible uses of the funds identified in 
     subsection (f).
       (3) Approval by secretary.--Such plans must be submitted to 
     and approved by the Secretary.
       (4) Public input and comment.--In determining whether to 
     approve such plans, the Secretary shall provide opportunity 
     for, and take into consideration, input and comment on the 
     plans from stakeholders and the general public.
       (5) Use of funds.--Any amounts provided as a grant under 
     this subsection may only be used for activities described in 
     subsection (f).
       (e) Long-term Ocean and Coastal Observations.--
       (1) In general.--The Secretary shall use the amounts 
     allocated under subsection (a)(3)(A)(ii) to build, operate, 
     and maintain the system established under section 12304 of 
     Public Law 111-11 (33 U.S.C. 3603), in accordance with the 
     purposes and policies for which the system was established.
       (2) Administration of funds.--The Secretary shall 
     administer and distribute funds under this subsection based 
     upon comprehensive system budgets adopted by the Council 
     referred to in section 12304(c)(1)(A) of the Integrated 
     Coastal and Ocean Observation System Act of 2009 (33 U.S.C. 
     3603(c)(1)(A)).
       (f) Eligible Use of Funds.--Any funds made available under 
     this section may only be used for activities that contribute 
     to the conservation, protection, maintenance, and restoration 
     of ocean, coastal, and Great Lakes ecosystems in a manner 
     that is consistent with Federal environmental laws and that 
     avoids environmental degradation, including--
       (1) activities to conserve, protect, maintain, and restore 
     coastal, marine, and Great Lakes ecosystem health;
       (2) activities to protect marine biodiversity and living 
     marine and coastal resources and their habitats, including 
     fish populations;
       (3) the development and implementation of multiobjective, 
     science- and ecosystem-based plans for monitoring and 
     managing the wide variety of uses affecting ocean, coastal, 
     and Great Lakes ecosystems and resources that consider 
     cumulative impacts and are spatially explicit where 
     appropriate;
       (4) activities to improve the resiliency of those 
     ecosystems;

[[Page 14873]]

       (5) activities to improve the ability of those ecosystems 
     to become more resilient, and to adapt to and withstand the 
     impacts of climate change and ocean acidification;
       (6) planning for and managing coastal development to 
     minimize the loss of life and property associated with sea 
     level rise and the coastal hazards resulting from it;
       (7) research, education, assessment, monitoring, and 
     dissemination of information that contributes to the 
     achievement of these purposes;
       (8) research of, protection of, enhancement to, and 
     activities to improve the resiliency of culturally 
     significant areas and resources; and
       (9) activities designed to rescue, rehabilitate, and 
     recover injured marine mammals, marine birds, and sea 
     turtles.
       (g) Definitions.--In this section:
       (1) ORCA fund.--The term ``ORCA Fund'' means the Ocean 
     Resources Conservation and Assistance Fund established by 
     this section
       (2) Secretary.--Notwithstanding section 3, the term 
     ``Secretary'' means the Secretary of Commerce.

     SEC. 606. WAIVER.

       The Federal Advisory Committee Act (5 U.S.C. App.) shall 
     not apply to the Regional Coordination Councils established 
     under section 602.

    TITLE VII--OIL SPILL ACCOUNTABILITY AND ENVIRONMENTAL PROTECTION

     SEC. 701. SHORT TITLE.

       This title may be cited as the ``Oil Spill Accountability 
     and Environmental Protection Act of 2010''.

     SEC. 702. REPEAL OF AND ADJUSTMENTS TO LIMITATION ON 
                   LIABILITY.

       (a) In General.--Section 1004 of the Oil Pollution Act of 
     1990 (33 U.S.C. 2704) is amended--
       (1) in subsection (a)--
       (A) in paragraph (2)--
       (i) by striking ``$800,000,,'' and inserting ``$800,000,''; 
     and
       (ii) by adding ``and'' after the semicolon at the end;
       (B) by striking paragraph (3); and
       (C) by redesignating paragraph (4) as paragraph (3);
       (2) in subsection (b)(2) by striking the second sentence; 
     and
       (3) by striking subsection (d)(4) and inserting the 
     following:
       ``(4) Adjustment of limits on liability.--Not later than 3 
     years after the date of enactment of the Oil Spill 
     Accountability and Environmental Protection Act of 2010, and 
     at least once every 3 years thereafter, the President shall 
     review the limits on liability specified in subsection (a) 
     and shall by regulation revise such limits upward to reflect 
     either the amount of liability that the President determines 
     is commensurate with the risk of discharge of oil presented 
     by a particular category of vessel, facility, or port or any 
     increase in the Consumer Price Index, whichever is 
     greater.''.
       (b) Applicability.--The amendments made by this section 
     apply to--
       (1) any claim arising from an event occurring after the 
     date of enactment of this Act; and
       (2) any claim arising from an event occurring before such 
     date of enactment, if the claim is brought within the 
     limitations period applicable to the claim.

     SEC. 703. EVIDENCE OF FINANCIAL RESPONSIBILITY FOR OFFSHORE 
                   FACILITIES.

       Section 1016 of the Oil Pollution Act of 1990 (33 U.S.C. 
     2716) is amended--
       (1) in subsection (c)(1)--
       (A) in subparagraph (B) by striking ``subparagraph (A) is'' 
     and all that follows before the period and inserting 
     ``subparagraph (A) is $300,000,000''; and
       (B) by striking subparagraph (C) and inserting the 
     following:
       ``(C) Alternate amount.--
       ``(i) Specific facilities.--

       ``(I) In general.--If the President determines that an 
     amount of financial responsibility for a responsible party 
     that is less than the amount required by subparagraph (B) is 
     justified based on the criteria established under clause 
     (ii), the evidence of financial responsibility required shall 
     be for an amount determined by the President.
       ``(II) Minimum amounts.--In no case shall the evidence of 
     financial responsibility required under this section be less 
     than--

       ``(aa) $105,000,000 for an offshore facility located 
     seaward of the seaward boundary of a State; or
       ``(bb) $30,000,000 for an offshore facility located 
     landward of the seaward boundary of a State.
       ``(ii) Criteria for determination of financial 
     responsibility.--The President shall prescribe the amount of 
     financial responsibility required under clause (i)(I) based 
     on the following:

       ``(I) The market capacity of the insurance industry to 
     issue such instruments.
       ``(II) The operational risk of a discharge and the effects 
     of that discharge on the environment and the region.
       ``(III) The quantity and location of the oil and gas that 
     is explored for, drilled for, produced, or transported by the 
     responsible party.
       ``(IV) The asset value of the owner of the offshore 
     facility, including the combined asset value of all partners 
     that own the facility.
       ``(V) The cost of all removal costs and damages for which 
     the owner may be liable under this Act based on a worst-case-
     scenario.
       ``(VI) The safety history of the owner of the offshore 
     facility.
       ``(VII) Any other factors that the President considers 
     appropriate.

       ``(iii) Adjustment for all offshore facilities.--

       ``(I) In general.--Not later than 3 years after the date of 
     enactment of the Oil Spill Accountability and Environmental 
     Protection Act of 2010, and at least once every 3 years 
     thereafter, the President shall review the levels of 
     financial responsibility specified in this subsection and the 
     limit on liability specified in subsection (f)(4) and may by 
     regulation revise such levels and limit upward to the levels 
     and limit that the President determines are justified based 
     on the relative operational, environmental, and other risks 
     posed by the quantity, quality, or location of oil that is 
     explored for, drilled for, produced, or transported by the 
     responsible party.
       ``(II) Notice to congress.--Upon completion of a review 
     specified in subclause (I), the President shall notify 
     Congress as to whether the President will revise the levels 
     of financial responsibility and limit on liability referred 
     to in subclause (I) and the factors used in making such 
     determination.''; and

       (2) in subsection (f)--
       (A) in paragraph (1) by striking ``Subject'' and inserting 
     ``Except as provided in paragraph (4) and subject''; and
       (B) by adding at the end the following:
       ``(4) Maximum liability.--The maximum liability of a 
     guarantor of an offshore facility under this subsection is 
     $300,000,000.''.

     SEC. 704. DAMAGES TO HUMAN HEALTH.

       (a) In General.--Section 1002(b)(2) of the Oil Pollution 
     Act of 1990 (33 U.S.C. 2702(b)(2)) is amended by adding at 
     the end the following:
       ``(G) Human health.--
       ``(i) In general.--Damages to human health, including fatal 
     injuries, which shall be recoverable by any claimant who has 
     a demonstrable, adverse impact to human health or, in the 
     case of a fatal injury to an individual, a claimant filing a 
     claim on behalf of such individual.
       ``(ii) Inclusion.--For purposes of clause (i), the term 
     `human health' includes mental health.''.
       (b) Applicability.--The amendments made by this section 
     apply to--
       (1) any claim arising from an event occurring after the 
     date of enactment of this Act; and
       (2) any claim arising from an event occurring before such 
     date of enactment, if the claim is brought within the 
     limitations period applicable to the claim.

     SEC. 705. CLARIFICATION OF LIABILITY FOR DISCHARGES FROM 
                   MOBILE OFFSHORE DRILLING UNITS.

       (a) In General.--Section 1004(b)(2) of the Oil Pollution 
     Act of 1990 (33 U.S.C. 2704(b)(2)) is amended--
       (1) by striking ``from any incident described in paragraph 
     (1)'' and inserting ``from any discharge of oil, or 
     substantial threat of a discharge of oil, into or upon the 
     water''; and
       (2) by striking ``liable'' and inserting ``liable as 
     described in paragraph (1)''.
       (b) Applicability.--The amendments made by this section 
     shall apply to--
       (1) any claim arising from an event occurring after the 
     date of enactment of this Act; and
       (2) any claim arising from an event occurring before such 
     date of enactment, if the claim is brought within the 
     limitations period applicable to the claim.

     SEC. 706. STANDARD OF REVIEW FOR DAMAGE ASSESSMENT.

       Section 1006(e)(2) of the Oil Pollution Act of 1990 (33 
     U.S.C. 2706(e)(2)) is amended--
       (1) in the heading by striking ``Rebuttable presumption'' 
     and inserting ``Judicial review of assessments''; and
       (2) by striking ``have the force and effect'' and all that 
     follows before the period and inserting the following: ``be 
     subject to judicial review under subchapter II of chapter 5 
     of title 5, United States Code (commonly known as the 
     Administrative Procedure Act), on the basis of the 
     administrative record developed by the lead Federal trustee 
     as provided in such regulations''.

     SEC. 707. INFORMATION ON CLAIMS.

       (a) In General.--Title I of the Oil Pollution Act of 1990 
     (33 U.S.C. 2701 et seq.) is amended by inserting after 
     section 1013 the following:

     ``SEC. 1013A. INFORMATION ON CLAIMS.

       ``In the event of a spill of national significance, the 
     President may require a responsible party or a guarantor of a 
     source designated under section 1014(a) to provide to the 
     President any information on or related to claims, either 
     individually, in the aggregate, or both, that the President 
     requests, including--
       ``(1) the transaction date or dates of such claims, 
     including processing times; and
       ``(2) any other data pertaining to such claims necessary to 
     ensure the performance of the responsible party or the 
     guarantor with regard to the processing and adjudication of 
     such claims.''.

[[Page 14874]]

       (b) Conforming Amendment.--The table of contents contained 
     in section 2 of such Act is amended by inserting after the 
     item relating to section 1013 the following:
``Sec. 1013A. Information on claims.''.
       (c) Applicability.--The amendments made by this section 
     apply to--
       (1) any claim arising from an event occurring after the 
     date of enactment of this Act; and
       (2) any claim arising from an event occurring before such 
     date of enactment, if the claim is brought within the 
     limitations period applicable to the claim.

     SEC. 708. ADDITIONAL AMENDMENTS AND CLARIFICATIONS TO OIL 
                   POLLUTION ACT OF 1990.

       (a) Definitions.--
       (1) Removal costs.--Section 1001(31) of the Oil Pollution 
     Act of 1990 (33 U.S.C. 2701(31)) is amended by inserting 
     before the semicolon the following: ``and includes all costs 
     of Federal enforcement activities related thereto''.
       (2) Responsible party.--Section 1001(32)(B) of such Act (33 
     U.S.C. 2701(32)(B)) is amended by inserting before ``, except 
     a'' the following: ``any person who owns or who has a 
     leasehold interest or other property interest in the land or 
     in the minerals beneath the land on which the facility is 
     located, and any person who is the assignor of a property 
     interest in the land or in the minerals beneath the land on 
     which the facility is located,''.
       (b) Elements of Liability.--Section 1002(b)(1)(A) of such 
     Act (33 U.S.C. 2702(b)(1)(A)) is amended by inserting before 
     the semicolon the following: ``, including all costs of 
     Federal enforcement activities related thereto''.
       (c) Subrogation.--Section 1015(c) of such Act (33 U.S.C. 
     2715(c)) is amended by adding at the end the following: ``In 
     such actions, the Fund shall recover all costs and damages 
     paid from the Fund unless the decision to make the payment is 
     found to be arbitrary or capricious.''.
       (d) Financial Responsibility.--Section 1016(f)(1) of such 
     Act (33 U.S.C. 2717(f)(1)) is amended--
       (1) by inserting ``and'' at the end of subparagraph (A); 
     and
       (2) by striking ``; and'' at the end of subparagraph (B) 
     and inserting a period; and
       (3) by striking subparagraph (C).
       (e) Applicability.--The amendments made by this section 
     apply to--
       (1) any claim arising from an event occurring after the 
     date of enactment of this Act; and
       (2) any claim arising from an event occurring before such 
     date of enactment, if the claim is brought within the 
     limitations period applicable to the claim.

     SEC. 709. AMERICANIZATION OF OFFSHORE OPERATIONS IN THE 
                   EXCLUSIVE ECONOMIC ZONE.

       (a) Registry Endorsement Required.--
       (1) In general.--Section 12111 of title 46, United States 
     Code, is amended by adding at the end the following:
       ``(e) Resource Activities in the EEZ.--Except for 
     activities requiring an endorsement under sections 12112 or 
     12113, only a vessel for which a certificate of documentation 
     with a registry endorsement is issued and that is owned by a 
     citizen of the United States (as determined under section 
     50501(d)) may engage in support of exploration, development, 
     or production of resources in, on, above, or below the 
     exclusive economic zone or any other activity in the 
     exclusive economic zone to the extent that the regulation of 
     such activity is not prohibited under customary international 
     law.''.
       (2) Applicability.--The amendment made by paragraph (1) 
     applies only with respect to exploration, development, 
     production, and support activities that commence on or after 
     July 1, 2011.
       (b) Legal Authority.--Section 2301 of title 46, United 
     States Code, is amended--
       (1) by striking ``chapter'' and inserting ``title''; and
       (2) by inserting after ``1988'' the following: ``and the 
     exclusive economic zone to the extent that the regulation of 
     such operation is not prohibited under customary 
     international law''.
       (c) Training for Coast Guard Personnel.--Not later than 180 
     days after the date of enactment of this Act, the Secretary 
     of the department in which the Coast Guard is operating shall 
     establish a program to provide Coast Guard personnel with the 
     training necessary for the implementation of the amendments 
     made by this section.

     SEC. 710. SAFETY MANAGEMENT SYSTEMS FOR MOBILE OFFSHORE 
                   DRILLING UNITS.

       Section 3203 of title 46, United States Code, is amended--
       (1) by redesignating subsection (b) as subsection (c); and
       (2) by inserting after subsection (a) the following:
       ``(b) Mobile Offshore Drilling Units.--The safety 
     management system described in subsection (a) for a mobile 
     offshore drilling unit operating in waters subject to the 
     jurisdiction of the United States (including the exclusive 
     economic zone) shall include processes, procedures, and 
     policies related to the safe operation and maintenance of the 
     machinery and systems on board the vessel that may affect the 
     seaworthiness of the vessel in a worst-case event.''.

     SEC. 711. SAFETY STANDARDS FOR MOBILE OFFSHORE DRILLING 
                   UNITS.

       Section 3306 of title 46, United States Code, is amended by 
     adding at the end the following:
       ``(k) In prescribing regulations for mobile offshore 
     drilling units, the Secretary shall develop standards to 
     address a worst-case event on the vessel.''.

     SEC. 712. OPERATIONAL CONTROL OF MOBILE OFFSHORE DRILLING 
                   UNITS.

       (a) Licenses for Masters of Mobile Offshore Drilling 
     Units.--
       (1) In general.--Chapter 71 of title 46, United States 
     Code, is amended by redesignating sections 7104 through 7114 
     as sections 7105 through 7115, respectively, and by inserting 
     after section 7103 the following:

     ``Sec. 7104. Licenses for masters of mobile offshore drilling 
       units

       ``A license as master of a mobile offshore drilling unit 
     may be issued only to an applicant who has been issued a 
     license as master under section 7101(c)(1) and has 
     demonstrated the knowledge, understanding, proficiency, and 
     sea service for all industrial business or functions of a 
     mobile offshore drilling unit.''.
       (2) Conforming amendment.--Section 7109 of such title, as 
     so redesignated, is amended by striking ``section 7106 or 
     7107'' and inserting ``section 7107 or 7108''.
       (3) Clerical amendment.--The analysis at the beginning of 
     such chapter is amended by striking the items relating to 
     sections 7104 through 7114 and inserting the following:

``7104. Licenses for masters of mobile offshore drilling units.
``7105. Certificates for medical doctors and nurses.
``7106. Oaths.
``7107. Duration of licenses.
``7108. Duration of certificates of registry.
``7109. Termination of licenses and certificates of registry.
``7110. Review of criminal records.
``7111. Exhibiting licenses.
``7112. Oral examinations for licenses.
``7113. Licenses of masters or mates as pilots.
``7114. Exemption from draft.
``7115. Fees.''.

       (b) Requirement for Certificate of Inspection.--Section 
     8101(a)(2) of title 46, United States Code, is amended by 
     inserting before the semicolon the following: ``and shall at 
     all times be under the command of a master licensed under 
     section 7104''.
       (c) Effective Date.--The amendments made by this section 
     shall take effect 6 months after the date of enactment of 
     this Act.

     SEC. 713. SINGLE-HULL TANKERS.

       (a) Application of Tank Vessel Construction Standards.--
     Section 3703a(b) of title 46, United States Code, is amended 
     by striking paragraph (3), and redesignating paragraphs (4) 
     through (6) as paragraphs (3) through (5), respectively.
       (b) Effective Date.--The amendment made by subsection (a) 
     takes effect on January 1, 2011.

     SEC. 714. REPEAL OF RESPONSE PLAN WAIVER.

       Section 311(j)(5)(G) of the Federal Water Pollution Control 
     Act (33 U.S.C. 1321(j)(5)(G)) is amended--
       (1) by striking ``a tank vessel, nontank vessel, offshore 
     facility, or onshore facility'' and inserting ``a nontank 
     vessel'';
       (2) by striking ``tank vessel, nontank vessel, or 
     facility'' and inserting ``nontank vessel''; and
       (3) by adding at the end the following: ``A mobile offshore 
     drilling unit, as such term is defined in section 1001 of the 
     Oil Pollution Act of 1990 (33 U.S.C. 2701), is not eligible 
     to operate without a response plan approved under this 
     section.''.

     SEC. 715. NATIONAL CONTINGENCY PLAN.

       (a) Guidelines for Containment Booms.--Section 311(d)(2) of 
     the Federal Water Pollution Control Act (33 U.S.C. 
     1321(d)(2)) is amended by adding at the end the following:
       ``(N) Guidelines regarding the use of containment booms to 
     contain a discharge of oil or a hazardous substance, 
     including identification of quantities of containment booms 
     likely to be needed, available sources of containment booms, 
     and best practices for containment boom placement, 
     monitoring, and maintenance.''.
       (b) Schedule, Criteria, and Fees.--Section 311(d) of the 
     Federal Water Pollution Control Act (33 U.S.C. 1321(d)) is 
     amended by adding at the end the following:
       ``(5) Schedule for use of dispersants, other chemicals, and 
     other spill mitigating devices and substances.--
       ``(A) Rulemaking.--Not later than 2 years after the date of 
     enactment of this paragraph, the President, acting through 
     the Administrator, after providing notice and an opportunity 
     for public comment, shall issue a revised regulation for the 
     development of the schedule for the use of dispersants, other 
     chemicals, and other spill mitigating devices and substances 
     developed under paragraph (2)(G) in a manner that is 
     consistent with the requirements of this paragraph and shall 
     modify the existing schedule to take into account the 
     requirements of the revised regulation.
       ``(B) Schedule listing requirements.--In issuing the 
     regulation under subparagraph (A), the Administrator shall--

[[Page 14875]]

       ``(i) with respect to dispersants, other chemicals, and 
     other spill mitigating substances included or proposed to be 
     included on the schedule under paragraph (2)(G)--

       ``(I) establish minimum toxicity and efficacy testing 
     criteria, taking into account the results of the study 
     carried out under subparagraph (D);
       ``(II) provide for testing or other verification 
     (independent from the information provided by an applicant 
     seeking the inclusion of such dispersant, chemical, or 
     substance on the schedule) related to the toxicity and 
     effectiveness of such dispersant, chemical, or substance;
       ``(III) establish a framework for the application of any 
     such dispersant, chemical, or substance, including--

       ``(aa) application conditions;
       ``(bb) the quantity thresholds for which approval by the 
     Administrator is required;
       ``(cc) the criteria to be used to develop the appropriate 
     maximum quantity of any such dispersant, chemical, or 
     substance that the Administrator determines may be used, both 
     on a daily and cumulative basis; and
       ``(dd) a ranking, by geographic area, of any such 
     dispersant, chemical, or substance based on a combination of 
     its effectiveness for each type of oil and its level of 
     toxicity;

       ``(IV) establish a requirement that the volume of oil or 
     hazardous substance discharged, and the volume and location 
     of any such dispersant, chemical, or substance used, be 
     measured and made publicly available, including on the 
     Internet;
       ``(V) require the public disclosure of the specific 
     chemical identity, including the chemical and common name of 
     any ingredients contained in, and specific chemical formulas 
     or mixtures of, any such dispersant, chemical, or substance; 
     and
       ``(VI) in addition to existing authority, expressly provide 
     a mechanism for the delisting of any such dispersant, 
     chemical, or substance that the Administrator determines 
     poses a significant risk or impact to water quality, the 
     environment, or any other factor the Administrator determines 
     appropriate;

       ``(ii) with respect to a dispersant, other chemical, and 
     other spill mitigating substance not specifically identified 
     on the schedule, and prior to the use of such dispersant, 
     chemical, or substance in accordance with paragraph (2)(G)--

       ``(I) establish the minimum toxicity and efficacy levels 
     for such dispersant, chemical, or substance;
       ``(II) require the public disclosure of the specific 
     chemical identity of (including the chemical and common name 
     of any ingredients contained in and the specific chemical 
     formula or mixture of) any such dispersant, chemical, or 
     substance; and
       ``(III) require the provision of such additional 
     information as the Administrator determines necessary; and

       ``(iii) with respect to other spill mitigating devices 
     included or proposed to be included on the schedule under 
     paragraph (2)(G)--

       ``(I) require the manufacturer of such device to carry out 
     a study of the risks and effectiveness of the device 
     according to guidelines developed and published by the 
     Administrator; and
       ``(II) in addition to existing authority, expressly provide 
     a mechanism for the delisting of any such device based on any 
     information made available to the Administrator that 
     demonstrates that such device poses a significant risk or 
     impact to water quality, the environment, or any other factor 
     the Administrator determines appropriate.

       ``(C) Delisting.--In carrying out subparagraphs (B)(i)(VI) 
     and (B)(iii)(II), the Administrator, after posting a notice 
     in the Federal Register and providing an opportunity for 
     public comment, shall initiate a formal review of the 
     potential risks and impacts associated with a dispersant, 
     chemical, substance, or device prior to delisting the 
     dispersant, chemical, substance, or device.
       ``(D) Study.--
       ``(i) In general.--Not later than 3 months after the date 
     of enactment of this paragraph, the Administrator shall 
     initiate a study of the potential risks and impacts to water 
     quality, the environment, or any other factor the 
     Administrator determines appropriate, including acute and 
     chronic risks, from the use of dispersants, other chemicals, 
     and other spill mitigating substances, if any, that may be 
     used to carry out the National Contingency Plan, including an 
     assessment of such risks and impacts--

       ``(I) on a representative sample of biota and types of oil 
     from locations where such dispersants, chemicals, or 
     substances may potentially be used; and
       ``(II) that result from any by-products created from the 
     use of such dispersants, chemicals, or substances.

       ``(ii) Information from manufacturers.--

       ``(I) In general.--In conjunction with the study authorized 
     by clause (i), the Administrator shall determine the 
     requirements for manufacturers of dispersants, chemicals, or 
     substances to evaluate the potential risks and impacts to 
     water quality, the environment, or any other factor the 
     Administrator determines appropriate, including acute and 
     chronic risks, associated with the use of the dispersants, 
     chemicals, or substances and any byproducts generated by such 
     use and to provide the details of such evaluation as a 
     condition for listing on the schedule, or approving for use 
     under this section, according to guidelines developed and 
     published by the Administrator.
       ``(II) Minimum requirements for evaluation.--In carrying 
     out this clause, the Administrator shall require a 
     manufacturer to include--

       ``(aa) information on the oils and locations where such 
     dispersants, chemicals, or substances may potentially be 
     used; and
       ``(bb) if appropriate, an assessment of application and 
     impacts from subsea use of the dispersant, chemical, or 
     substance, including the potential long term effects of such 
     use on water quality and the environment.
       ``(E) Periodic revisions.--
       ``(i) In general.--Not later than 5 years after the date of 
     the issuance of the regulation under this paragraph, and on 
     an ongoing basis thereafter (and at least once every 5 
     years), the Administrator shall review the schedule for the 
     use of dispersants, other chemicals, and other spill 
     mitigating devices and substances that may be used to carry 
     out the National Contingency Plan and update or revise the 
     schedule, as necessary, to ensure the protection of water 
     quality, the environment, and any other factor the 
     Administrator determines appropriate.
       ``(ii) Effectiveness.--The Administrator shall ensure, to 
     the maximum extent practicable, that each update or revision 
     to the schedule increases the minimum effectiveness value 
     necessary for listing a dispersant, other chemical, or other 
     spill mitigating device or substance on the schedule.
       ``(F) Approval of use and application of dispersants.--
       ``(i) In general.--In issuing the regulation under 
     subparagraph (A), the Administrator shall require the 
     approval of the Federal On-Scene Coordinator, in coordination 
     with the Administrator, for all uses of a dispersant, other 
     chemical, or other spill mitigating substance in any removal 
     action, including--

       ``(I) any such dispersant, chemical, or substance that is 
     included on the schedule developed pursuant to this 
     subsection; or
       ``(II) any dispersant, chemical, or other substance that is 
     included as part an approved area contingency plan or 
     response plan developed under this section.

       ``(ii) Repeal.--Any part of section 300.910 of title 40, 
     Code of Federal Regulations, that is inconsistent with this 
     paragraph is hereby repealed.
       ``(G) Toxicity definition.--In this section, the term 
     `toxicity' is used in reference to the potential impacts of a 
     dispersant, substance, or device on water quality or the 
     environment.
       ``(6) Review of and development of criteria for evaluating 
     response plans.--
       ``(A) Review.--Not later than 6 months after the date of 
     enactment of this paragraph, the President shall review the 
     procedures and standards developed under paragraph (2)(J) to 
     determine their sufficiency in ceasing and removing a worst 
     case discharge of oil or hazardous substances, and for 
     mitigating or preventing a substantial threat of such a 
     discharge.
       ``(B) Rulemaking.--Not later than 2 years after the date of 
     enactment of this paragraph, the President, after providing 
     notice and an opportunity for public comment, shall issue a 
     final rule to--
       ``(i) revise the procedures and standards for ceasing and 
     removing a worst case discharge of oil or hazardous 
     substances, and for mitigating or preventing a substantial 
     threat of such a discharge; and
       ``(ii) develop a metric for evaluating the National 
     Contingency Plan, Area Contingency Plans, and tank vessel, 
     nontank vessel, and facility response plans consistent with 
     the procedures and standards developed pursuant to this 
     paragraph.
       ``(7) Fees.--
       ``(A) General authority and fees.--Subject to subparagraph 
     (B), the Administrator shall establish a schedule of fees to 
     be collected from the manufacturer of a dispersant, chemical, 
     or spill mitigating substance or device to offset the costs 
     of the Administrator associated with evaluating the use of 
     the dispersant, chemical, substance, or device in accordance 
     with this subsection and listing the dispersant, chemical, 
     substance, or device on the schedule under paragraph (2)(G).
       ``(B) Limitation on collection.--No fee may be collected 
     under this subsection unless the expenditure of the fee to 
     pay the costs of activities and services for which the fee is 
     imposed is provided for in advance in an appropriations Act.
       ``(C) Fees credited as offsetting collections.--
       ``(i) In general.--Notwithstanding section 3302 of title 
     31, United States Code, any fee authorized to be collected 
     under this paragraph shall--

       ``(I) be credited as offsetting collections to the account 
     that finances the activities and services for which the fee 
     is imposed;
       ``(II) be available for expenditure only to pay the costs 
     of activities and services for which the fee is imposed, 
     including all costs associated with collecting such fees; and
       ``(III) remain available until expended.

       ``(ii) Continuing appropriations.--The Administrator may 
     continue to assess, collect, and spend fees established under 
     this section during any period in which the funding for

[[Page 14876]]

     the Environmental Protection Agency is provided under an Act 
     providing continuing appropriations in lieu of the 
     Administration's regular appropriations.
       ``(iii) Adjustments.--The Administrator shall adjust the 
     fees established by subparagraph (A) periodically to ensure 
     that each of the fees required by subparagraph (A) is 
     reasonably related to the Administration's costs, as 
     determined by the Administrator, of performing the activity 
     for which the fee is imposed.''.
       (c) Temporary Moratorium on Approval of Use of 
     Dispersants.--
       (1) In general.--Subject to paragraph (2), the 
     Administrator of the Environmental Protection Agency may not 
     approve the use of a dispersant under section 311(d) of the 
     Oil Pollution Act of 1990 (33 U.S.C. 1321(d)), and shall 
     withdraw any approval of such use made before the date of 
     enactment of this Act, until the date on which the rulemaking 
     and study required by subparagraphs (A) and (D) of section 
     311(d)(5) of such Act (as added by subsection (b) of this 
     section) are complete.
       (2) Conditional approval.--The Administrator may approve 
     the use of a dispersant under section 311(d) of such Act (33 
     U.S.C. 1321(d)) for the period of time before the date on 
     which the rulemaking and study required by subparagraphs (A) 
     and (D) of section 311(d)(5) of such Act (as added by 
     subsection (b) of this section) are complete if the 
     Administrator determines that such use will not have a 
     negative impact on water quality, the environment, or any 
     other factor the Administrator determines appropriate.
       (3) Information.--In approving the use of a dispersant 
     under paragraph (2), the Administrator may require the 
     manufacturer of the dispersant to provide such information as 
     the Administrator determines necessary to satisfy the 
     requirements of that paragraph.
       (d) Inclusion of Containment Booms in Area Contingency 
     Plans.--Section 311(j)(4)(C)(iv) of such Act (33 U.S.C. 
     1321(j)(4)(C)(iv)) is amended by striking ``(including 
     firefighting equipment)'' and inserting ``(including 
     firefighting equipment and containment booms)''.

     SEC. 716. TRACKING DATABASE.

       Section 311(b) of the Federal Water Pollution Control Act 
     (33 U.S.C. 1321(b)) is amended by adding at the end the 
     following:
       ``(13) Tracking database.--
       ``(A) In general.--The President shall create a database to 
     track all discharges of oil or hazardous substances--
       ``(i) into the waters of the United States, onto adjoining 
     shorelines, or into or upon the waters of the contiguous 
     zone;
       ``(ii) in connection with activities under the Outer 
     Continental Shelf Lands Act (43 U.S.C. 1331 et seq.) or the 
     Deepwater Port Act of 1974 (33 U.S.C. 1501 et seq.); or
       ``(iii) which may affect natural resources belonging to, 
     appertaining to, or under the exclusive management authority 
     of the United States (including resources under the Fishery 
     Conservation and Management Act of 1976 (16 U.S.C. 1801 et 
     seq.)).
       ``(B) Requirements.--The database shall--
       ``(i) include--

       ``(I) the name of the vessel or facility;
       ``(II) the name of the owner, operator, or person in charge 
     of the vessel or facility;
       ``(III) the date of the discharge;
       ``(IV) the volume of the discharge;
       ``(V) the location of the discharge, including an 
     identification of any receiving waters that are or could be 
     affected by the discharge;
       ``(VI) the type, volume, and location of the use of any 
     dispersant, other chemical, or other spill mitigating 
     substance used in any removal action;
       ``(VII) a record of any determination of a violation of 
     this section or liability under section 1002 of the Oil 
     Pollution Act of 1990 (33 U.S.C. 2702);
       ``(VIII) a record of any enforcement action taken against 
     the owner, operator, or person in charge; and
       ``(IX) any additional information that the President 
     determines necessary;

       ``(ii) use data provided by the Environmental Protection 
     Agency, the Coast Guard, and other appropriate Federal 
     agencies;
       ``(iii) use data protocols developed and managed by the 
     Environmental Protection Agency; and
       ``(iv) be publicly accessible, including by electronic 
     means.''.

     SEC. 717. EVALUATION AND APPROVAL OF RESPONSE PLANS; MAXIMUM 
                   PENALTIES.

       (a) Agency Review of Response Plans.--
       (1) Lead federal agency for review of response plans.--
     Section 311(j)(5)(A) of the Federal Water Pollution Control 
     Act (33 U.S.C. 1321(j)(5)(A)) is amended by adding at the end 
     the following:
       ``(iii) In issuing the regulations under this paragraph, 
     the President shall ensure that--
       ``(I) the owner, operator, or person in charge of a tank 
     vessel, nontank vessel, or offshore facility described in 
     subparagraph (C) will not be considered to have complied with 
     this paragraph until the owner, operator, or person in charge 
     submits a plan under clause (i) or (ii), as appropriate, to 
     the Secretary of the department in which the Coast Guard is 
     operating, the Secretary of the Interior, or the 
     Administrator, with respect to such offshore facilities as 
     the President may designate, and the Secretary or 
     Administrator, as appropriate, determines and notifies the 
     owner, operator, or person in charge that the plan, if 
     implemented, will provide an adequate response to a worst 
     case discharge of oil or a hazardous substance or a 
     substantial threat of such a discharge; and
       ``(II) the owner, operator, or person in charge of an 
     onshore facility described in subparagraph (C)(iv) will not 
     be considered to have complied with this paragraph until the 
     owner, operator, or person in charge submits a plan under 
     clause (i) either to the Secretary of Transportation, with 
     respect to transportation-related onshore facilities, or the 
     Administrator, with respect to all other onshore facilities, 
     and the Secretary or Administrator, as appropriate, 
     determines and notifies the owner, operator, or person in 
     charge that the plan, if implemented, will provide an 
     adequate response to a worst-case discharge of oil or a 
     hazardous substance or a substantial threat of such a 
     discharge.
       ``(iv)(I) The Secretary of the department in which the 
     Coast Guard is operating, the Secretary of the Interior, the 
     Secretary of Transportation, or the Administrator, as 
     appropriate, shall require that a plan submitted to the 
     Secretary or Administrator for a vessel or facility under 
     clause (iii)(I) or (iii)(II) by an owner, operator, or person 
     in charge--
       ``(aa) contain a probabilistic risk analysis for all 
     critical engineered systems of the vessel or facility; and
       ``(bb) adequately address all risks identified in the risk 
     analysis.
       ``(II) The Secretary or Administrator, as appropriate, 
     shall require that a risk analysis developed under subclause 
     (I) include, at a minimum, the following:
       ``(aa) An analysis of human factors risks, including both 
     organizational and management failure risks.
       ``(bb) An analysis of technical failure risks, including 
     both component technologies and integrated systems risks.
       ``(cc) An analysis of interactions between humans and 
     critical engineered systems.
       ``(dd) Quantification of the likelihood of modes of failure 
     and potential consequences.
       ``(ee) A description of methods for reducing known risks.
       ``(III) The Secretary or Administrator, as appropriate, 
     shall require an owner, operator, or person in charge that 
     develops a risk analysis under subclause (I) to make the risk 
     analysis available to the public.''.
       (2) Review and approval of response plans.--Section 
     311(j)(5)(E) of such Act (33 U.S.C. 1321(j)(5)(E)) is amended 
     to read as follows:
       ``(E) With respect to any response plan submitted under 
     this paragraph for an onshore facility that, because of its 
     location, could reasonably be expected to cause significant 
     and substantial harm to the environment by discharging into 
     or on the navigable waters or adjoining shorelines or the 
     exclusive economic zone, and with respect to each response 
     plan submitted under this paragraph for a tank vessel, 
     nontank vessel, or offshore facility, the President shall--
       ``(i) promptly review the response plan;
       ``(ii) verify that the response plan complies with 
     subparagraph (A)(iv), relating to risk analyses;
       ``(iii) with respect to a plan for an offshore or onshore 
     facility or a tank vessel that carries liquefied natural gas, 
     provide an opportunity for public notice and comment on the 
     response plan;
       ``(iv) taking into consideration any public comments 
     received and other appropriate factors, as determined by the 
     President, require revisions to the response plan;
       ``(v) approve, approve with revisions, or disapprove the 
     response plan;
       ``(vi) review the response plan periodically thereafter, 
     and if applicable requirements are not met, acting through 
     the head of the appropriate Federal department or agency--
       ``(I) issue administrative orders directing the owner, 
     operator, or person in charge to comply with the response 
     plan or any regulation issued under this section; or
       ``(II) assess civil penalties or conduct other appropriate 
     enforcement actions in accordance with subsections (b)(6), 
     (b)(7), and (b)(8) for failure to develop, submit, receive 
     approval of, adhere to, or maintain the capability to 
     implement the response plan, or failure to comply with any 
     other requirement of this section;
       ``(vii) acting through the head of the appropriate Federal 
     department or agency, conduct, at a minimum, biennial 
     inspections of the tank vessel, nontank vessel, or facility 
     to ensure compliance with the response plan or identify 
     deficiencies in such plan;
       ``(viii) acting through the head of the appropriate Federal 
     department or agency, make the response plan available to the 
     public, including on the Internet; and
       ``(ix) in the case of a plan for a nontank vessel, consider 
     any applicable State-mandated response plan in effect on the 
     date of enactment of the Coast Guard and Maritime 
     Transportation Act of 2004 and ensure consistency to the 
     extent practicable.''.
       (3) Biennial report.--Section 311(j)(5) of such Act (33 
     U.S.C. 1321(j)(5)) is amended by adding at the end the 
     following:
       ``(J) Not later than 2 years after the date of enactment of 
     this subparagraph, and biennially thereafter, the President, 
     acting through the Administrator, the Secretary of the 
     department in which the Coast Guard is

[[Page 14877]]

     operating, and the Secretary of Transportation, shall submit 
     to Congress a report containing the following information for 
     each owner, operator, or person in charge that submitted a 
     response plan for a tank vessel, nontank vessel, or facility 
     under this paragraph:
       ``(i) The number of response plans approved, disapproved, 
     or approved with revisions under subparagraph (E) annually 
     for tank vessels, nontank vessels, and facilities of the 
     owner, operator, or person in charge.
       ``(ii) The number of inspections conducted under 
     subparagraph (E) annually for tank vessels, nontank vessels, 
     and facilities of the owner, operator, or person in charge.
       ``(iii) A summary of each administrative or enforcement 
     action concluded with respect each tank vessel, nontank 
     vessel, and facility of the owner, operator, or person in 
     charge, including a description of the violation, the date of 
     violation, the amount of each penalty proposed, and the final 
     assessment of each penalty and an explanation for any 
     reduction in a penalty.''.
       (4) Administrative provisions for facilities.--Section 
     311(m)(2) of such Act (33 U.S.C. 1321(m)(2)) is amended in 
     each of subparagraphs (A) and (B) by inserting ``, the 
     Secretary of Transportation,'' before ``or the Secretary of 
     the department in which the Coast Guard is operating''.
       (b) Penalties.--
       (1) Administrative penalties.--
       (A) Authority of secretary of transportation to assess 
     penalties.--Section 311(b)(6)(A) of such Act (33 U.S.C. 
     1321(b)(6)(A)) is amended by inserting ``, the Secretary of 
     Transportation,'' before ``or the Administrator''.
       (B) Administrative penalties for failure to provide 
     notice.--Section 311(b)(6)(A) of such Act (33 U.S.C. 
     1321(b)(6)(A)) is further amended--
       (i) in clause (i) by striking ``paragraph (3), or'' and 
     inserting ``paragraph (3),'';
       (ii) in clause (ii) by striking ``any regulation issued 
     under subsection (j)'' and inserting ``any order or action 
     required by the President under subsection (c) or (e) or any 
     regulation issued under subsection (d) or (j)'';
       (iii) by redesignating clause (ii) as clause (iii);
       (iv) by inserting after clause (i) the following:
       ``(ii) who fails to provide notice to the appropriate 
     Federal agency pursuant to paragraph (5), or''; and
       (v) by adding at the end the following: ``Whenever the 
     President delegates the authority to issue regulations under 
     subsection (j), the head of the agency who issues regulations 
     pursuant to that authority shall have the authority to assess 
     a civil penalty in accordance with this section for 
     violations of such regulations.''.
       (C) Penalty amounts.--Section 311(b)(6)(B) of such Act (33 
     U.S.C. 1321(b)(6)(B)) is amended--
       (i) in clause (i)--

       (I) by striking ``$10,000'' and inserting ``$100,000''; and
       (II) by striking ``$25,000'' and inserting ``$250,000''; 
     and

       (ii) in clause (ii)--

       (I) by striking ``$10,000'' and inserting ``$100,000''; and
       (II) by striking ``$125,000'' and inserting ``$1,000,000''.

       (2) Civil penalties.--Section 311(b)(7) of such Act (33 
     U.S.C. 1321(b)(7)) is amended--
       (A) in subparagraph (A)--
       (i) by striking ``$25,000'' and inserting ``$100,000''; and
       (ii) by striking ``$1,000'' and inserting ``$2,500'';
       (B) in subparagraph (B)--
       (i) by striking ``described in subparagraph (A)'';
       (ii) in clause (i) by striking ``carry out removal of the 
     discharge under an order of the President pursuant to 
     subsection (c); or'' and inserting ``comply with any order or 
     action required by the President pursuant to subsection 
     (c),'';
       (iii) in clause (ii) by striking ``(1)(B)'';
       (iv) by redesignating clause (ii) as clause (iii);
       (v) by inserting after clause (i) the following:
       ``(ii) fails to provide notice to the appropriate Federal 
     agency pursuant to paragraph (5), or''; and
       (vi) by striking ``$25,000'' and inserting ``$100,000'';
       (C) in subparagraph (C)--
       (i) by striking ``(j)'' and inserting ``(d) or (j)'';
       (ii) by striking ``$25,000'' and inserting ``$100,000''; 
     and
       (iii) by adding at the end the following: ``Whenever the 
     President delegates the authority to issue regulations under 
     subsection (j), the head of the agency who issues regulations 
     pursuant to that authority shall have the authority to seek 
     injunctive relief or assess a civil penalty in accordance 
     with this section for violations of such regulations and the 
     authority to refer the matter to the Attorney General for 
     action under subparagraph (E).'';
       (D) in subparagraph (D)--
       (i) by striking ``$100,000'' and inserting ``$300,000''; 
     and
       (ii) by striking ``$3,000'' and inserting ``$7,500''; and
       (E) in subparagraph (E) by adding at the end the following: 
     ``The court may award appropriate relief, including a 
     temporary or permanent injunction, civil penalties, and 
     punitive damages.''.
       (3) Applicability.--The amendments made by this subsection 
     apply to--
       (A) any claim arising from an event occurring after the 
     date of enactment of this Act; and
       (B) any claim arising from an event occurring before such 
     date of enactment, if the claim is brought within the 
     limitations period applicable to the claim.
       (c) Clarification of Federal Removal Authority.--Section 
     311(c)(1)(B)(ii) of such Act (33 U.S.C. 1321(c)(1)(B)(ii)) is 
     amended by striking ``direct'' and inserting ``direct, 
     including through the use of an administrative order,''.

     SEC. 718. OIL AND HAZARDOUS SUBSTANCE CLEANUP TECHNOLOGIES.

       Section 311(j) of the Federal Water Pollution Control Act 
     (33 U.S.C. 1321(j)) is amended by adding at the end the 
     following:
       ``(9) Oil and hazardous substance cleanup technologies.--
     The President, acting through the Secretary of the department 
     in which the Coast Guard is operating, shall--
       ``(A) in coordination with the Secretary of the Interior 
     and the heads of other appropriate Federal agencies, 
     establish a process for--
       ``(i) quickly and effectively soliciting, assessing, and 
     deploying offshore oil and hazardous substance cleanup 
     technologies in the event of a discharge or substantial 
     threat of a discharge of oil or a hazardous substance; and
       ``(ii) effectively coordinating with other appropriate 
     agencies, industry, academia, small businesses, and others to 
     ensure the best technology available is implemented in the 
     event of such a discharge or threat; and
       ``(B) in coordination with the Secretary of the Interior 
     and the heads of other appropriate Federal agencies, maintain 
     a database on best available oil and hazardous substance 
     cleanup technologies in the event of a discharge or 
     substantial threat of a discharge of oil or a hazardous 
     substance.''.

     SEC. 719. IMPLEMENTATION OF OIL SPILL PREVENTION AND RESPONSE 
                   AUTHORITIES.

       Section 311(l) of the Federal Water Pollution Control Act 
     (33 U.S.C. 1321(l)) is amended--
       (1) by striking ``(l) The President'' and inserting the 
     following:
       ``(l) Delegation and Implementation.--
       ``(1) Delegation.--The President''; and
       (2) by adding at the end the following:
       ``(2) Environmental protection agency.--
       ``(A) In general.--The President shall delegate the 
     responsibilities under subparagraph (B) to the Administrator.
       ``(B) Responsibilities.--With respect to onshore facilities 
     (other than transportation-related facilities) and such 
     offshore facilities as the President may designate, the 
     Administrator shall ensure that Environmental Protection 
     Agency personnel develop and maintain operational 
     capability--
       ``(i) for effective inspection, monitoring, prevention, 
     preparedness, and response authorities related to the 
     discharge or substantial threat of a discharge of oil or a 
     hazardous substance;
       ``(ii) to protect water quality and the environment from 
     impacts of a discharge or substantial threat of a discharge 
     of oil or a hazardous substance; and
       ``(iii) to review and approve of, disapprove of, or require 
     revisions (if necessary) to facility response plans and to 
     carry out all other responsibilities under subsection 
     (j)(5)(E).
       ``(3) Coast guard.--
       ``(A) In general.--The President shall delegate the 
     responsibilities under subparagraph (B) to the Secretary of 
     the department in which the Coast Guard is operating.
       ``(B) Responsibilities.--The Secretary shall ensure that 
     Coast Guard personnel develop and maintain operational 
     capability--
       ``(i) to establish and enforce regulations and standards 
     for procedures, methods, equipment, and other requirements to 
     prevent and to contain a discharge of oil or a hazardous 
     substance from a tank vessel or nontank vessel or such an 
     offshore facility as the President may designate;
       ``(ii) to establish and enforce regulations, and to carry 
     out all other responsibilities, under subsection (j)(5) with 
     respect to such vessels and offshore facilities as the 
     President may designate; and
       ``(iii) to protect the environment and natural resources 
     from impacts of a discharge or substantial threat of a 
     discharge of oil or a hazardous substance from such vessels 
     and offshore facilities as the President may designate.
       ``(C) Role as first responder.--
       ``(i) In general.--The responsibilities delegated to the 
     Secretary under subparagraph (B) shall be sufficient to allow 
     the Coast Guard to act as a first responder to a discharge or 
     substantial threat of a discharge of oil or a hazardous 
     substance from a tank vessel, nontank vessel, or offshore 
     facility.
       ``(ii) Capabilities.--The President shall ensure that the 
     Coast Guard has sufficient personnel and resources to act as 
     a first responder as described in clause (i), including the 
     resources necessary for on-going training

[[Page 14878]]

     of personnel, acquisition of equipment (including containment 
     booms, dispersants, and skimmers), and prepositioning of 
     equipment.
       ``(D) Contracts.--The Secretary may enter into contracts 
     with private and nonprofit organizations for personnel and 
     equipment in carrying out the responsibilities delegated to 
     the Secretary under subparagraph (B).
       ``(4) Department of transportation.--
       ``(A) In general.--The President shall delegate the 
     responsibilities under subparagraph (B) to the Secretary of 
     Transportation.
       ``(B) Responsibilities.--The Secretary of Transportation 
     shall--
       ``(i) establish and enforce regulations and standards for 
     procedures, methods, equipment, and other requirements to 
     prevent and to contain discharges of oil and hazardous 
     substances from transportation-related onshore facilities;
       ``(ii) have the authority to review and approve of, 
     disapprove of, or require revisions (if necessary) to 
     transportation-related onshore facility response plans and to 
     carry out all other responsibilities under subsection 
     (j)(5)(E); and
       ``(iii) ensure that Department of Transportation personnel 
     develop and maintain operational capability--

       ``(I) for effective inspection, monitoring, prevention, 
     preparedness, and response authorities related to the 
     discharge or substantial threat of a discharge of oil or a 
     hazardous substance from a transportation-related onshore 
     facility; and
       ``(II) to protect the environment and natural resources 
     from the impacts of a discharge or substantial threat of a 
     discharge of oil or a hazardous substance from a 
     transportation-related onshore facility.

       ``(5) Department of the interior.--
       ``(A) In general.--The President shall delegate the 
     responsibilities under subparagraph (B) to the Secretary of 
     the Interior.
       ``(B) Responsibilities.--The Secretary of the Interior 
     shall--
       ``(i) establish and enforce regulations and standards for 
     procedures, methods, equipment, and other requirements to 
     prevent and to contain discharges of oil and hazardous 
     substances from such offshore facilities as the President may 
     designate;
       ``(ii) establish and enforce regulations to carry out all 
     other responsibilities under subsection (j)(5) for such 
     offshore facilities as the President may designate;
       ``(iii) have the authority to review and approve of, 
     disapprove of, or require revisions (if necessary) to 
     offshore facility response plans under subsection (j)(5) for 
     such offshore facilities as the President may designate; and
       ``(iv) ensure that Department of the Interior personnel 
     develop and maintain operational capability for effective 
     inspection, monitoring, prevention, and preparedness 
     authorities related to the discharge or a substantial threat 
     of a discharge of oil or hazardous material from such 
     offshore facilities as the President may designate.''.

     SEC. 720. IMPACTS TO INDIAN TRIBES AND PUBLIC SERVICE 
                   DAMAGES.

       (a) In General.--Section 1002(b)(2) of the Oil Pollution 
     Act of 1990 (33 U.S.C. 2702(b)(2)) is amended--
       (1) in subparagraph (D) by striking ``or a political 
     subdivision thereof'' and inserting ``a political subdivision 
     of a State, or an Indian tribe''; and
       (2) in subparagraph (F) by striking ``by a State'' and all 
     that follows before the period and inserting ``the United 
     States, a State, a political subdivision of a State, or an 
     Indian tribe''.
       (b) Applicability.--The amendments made by this section 
     apply to--
       (1) any claim arising from an event occurring after the 
     date of enactment of this Act; and
       (2) any claim arising from an event occurring before such 
     date of enactment, if the claim is brought within the 
     limitations period applicable to the claim.

     SEC. 721. FEDERAL ENFORCEMENT ACTIONS.

       Section 309(g)(6)(A) of the Federal Water Pollution Control 
     Act (33 U.S.C. 1319(g)(6)(A)) is amended by striking ``or 
     section 311(b)''.

     SEC. 722. TIME REQUIRED BEFORE ELECTING TO PROCEED WITH 
                   JUDICIAL CLAIM OR AGAINST THE FUND.

       Paragraph (2) of section 1013(c) of the Oil Pollution Act 
     of 1990 (33 U.S.C. 2713(c)) is amended by striking ``90'' and 
     inserting ``45''.

     SEC. 723. AUTHORIZED LEVEL OF COAST GUARD PERSONNEL.

       The authorized end-of-year strength for active duty 
     personnel of the Coast Guard for fiscal year 2011 is hereby 
     increased by 300 personnel, above any other level authorized 
     by law, for implementing the activities of the Coast Guard 
     under this title, including the amendments made by this 
     title.

     SEC. 724. CLARIFICATION OF MEMORANDUMS OF UNDERSTANDING.

       Not later than September 30, 2011, the President (acting 
     through the head of the appropriate Federal department or 
     agency) shall implement or revise, as appropriate, 
     memorandums of understanding to clarify the roles and 
     jurisdictional responsibilities of the Environmental 
     Protection Agency, the Coast Guard, the Department of the 
     Interior, the Department of Transportation, and other Federal 
     agencies relating to the prevention of oil discharges from 
     tank vessels, nontank vessels, and facilities subject to the 
     Oil Pollution Act of 1990.

     SEC. 725. BUILD AMERICA REQUIREMENT FOR OFFSHORE FACILITIES.

       (a) In General.--Title VI of the Oil Pollution Act of 1990 
     (33 U.S.C. 2751 et seq.) is amended by adding at the end the 
     following:

     ``SEC. 6005. BUILD AMERICA REQUIREMENT FOR OFFSHORE 
                   FACILITIES.

       ``(a) Build America Requirement.--Except as provided by 
     subsection (b), a person may not use an offshore facility to 
     engage in support of exploration, development, or production 
     of oil or natural gas in, on, above, or below the exclusive 
     economic zone unless the facility was built in the United 
     States, including construction of any major component of the 
     hull or superstructure of the facility.
       ``(b) Waiver Authority.--A person seeking to charter an 
     offshore facility in the exclusive economic zone may seek a 
     waiver of subsection (a). The Secretary may waive subsection 
     (a) if the Secretary, in consultation with the Secretary of 
     the Interior and the Secretary of Transportation, finds 
     that--
       ``(1) the offshore facility was built in a foreign country 
     and is under contract, on the date of enactment of this 
     section, in support of exploration, development, or 
     production of oil or natural gas in, on, above, or below the 
     exclusive economic zone;
       ``(2) an offshore facility built in the United States is 
     not available within a reasonable period of time, as defined 
     in subsection (e), or of sufficient quality to perform 
     drilling operations required under a contract; or
       ``(3) an emergency requires the use of an offshore facility 
     built in a foreign country.
       ``(c) Written Justification and Public Notice of 
     Nonavailability Waiver.--When issuing a waiver based on a 
     determination under subsection (b)(2), the Secretary shall 
     issue a detailed written justification as to why the waiver 
     meets the requirement of such subsection. The Secretary shall 
     publish the justification in the Federal Register and provide 
     the public with 45 days for notice and comment.
       ``(d) Final Decision.--The Secretary shall approve or deny 
     any waiver request submitted under subsection (b) not later 
     than 90 days after the date of receipt of the request.
       ``(e) Reasonable Period of Time Defined.--For purposes of 
     subsection (b)(2), the term `reasonable period of time' means 
     the time needed for a person seeking to charter an offshore 
     facility in the exclusive economic zone to meet the 
     requirements in the primary term of the person's lease.''.
       (b) Clerical Amendment.--The table of contents contained in 
     section 2 of such Act is amended by inserting after the item 
     relating to section 6004 the following:

``Sec. 6005. Build America requirement for offshore facilities.''.

     SEC. 726. OIL SPILL RESPONSE VESSEL DATABASE.

       (a) Requirement.--Not later than 90 days after the date of 
     enactment of this Act, the Commandant of the Coast Guard 
     shall complete an inventory of all vessels operating in the 
     waters of the United States that are capable of meeting oil 
     spill response needs designated in the National Contingency 
     Plan authorized by section 311(d) of the Federal Water 
     Pollution Control Act (33 U.S.C. 1321(d)).
       (b) Categorization.--The inventory required under 
     subsection (a) shall categorize such vessels by capabilities, 
     type, function, and location.
       (c) Maintenance of Database.--The Commandant shall maintain 
     a database containing the results of the inventory required 
     under subsection (a) and update the information in the 
     database on no less than a quarterly basis.
       (d) Availability.--The Commandant may make information 
     regarding the location and capabilities of oil spill response 
     vessels available to a Federal On-Scene Coordinator 
     designated under section 311 of such Act (33 U.S.C. 1321) to 
     assist in the response to an oil spill or other incident in 
     the waters of the United States.

     SEC. 727. OFFSHORE SENSING AND MONITORING SYSTEMS.

       (a) Requirement.--Subtitle A of title IV of the Oil 
     Pollution Act of 1990 is amended by adding at the end the 
     following new section:

     ``SEC. 4119. OFFSHORE SENSING AND MONITORING SYSTEMS.

       ``(a) In General.--The equipment required to be available 
     under section 311(j)(5)(D)(iii) of the Federal Water 
     Pollution Control Act for facilities listed in section 
     311(j)(5)(C)(iii) of such Act and located in more than 500 
     feet of water includes sensing and monitoring systems that 
     meet the requirements of this section.
       ``(b) Systems Requirements.--Sensing and monitoring systems 
     required under subsection (a) shall--
       ``(1) use an integrated, modular, expandable, multi-sensor, 
     open-architecture design and technology with interoperable 
     capability;
       ``(2) be capable of--
       ``(A) operating for at least 25 years;
       ``(B) real-time physical, biological, geological, and 
     environmental monitoring;
       ``(C) providing alerts in the event of anomalous 
     circumstances;
       ``(D) providing docking bases to accommodate spatial 
     sensors for remote inspection and monitoring; and

[[Page 14879]]

       ``(E) collecting chemical boundary condition data for drift 
     and flow modeling; and
       ``(3) include--
       ``(A) an uninterruptible power source;
       ``(B) a spatial sensor;
       ``(C) secure Internet access to real-time physical, 
     biological, geological, and environmental monitoring data 
     gathered by the system sensors; and
       ``(D) a process by which such observation data and 
     information will be made available to Federal Regulators and 
     to the system established under section 12304 of Public Law 
     111-11 (33 U.S.C. 3603).''.
       (b) Request for Information.--Within 60 days after the date 
     of enactment of this Act, the Secretary of the department in 
     which the Coast Guard is operating shall issue a request for 
     information to determine the most capable and efficient 
     domestic systems that meet the requirements under section 
     4119 of the Oil Pollution Act of 1990, as amended by this 
     section.
       (c) Implementing Regulations.--Within 180 days after the 
     date of enactment of this Act, the Secretary of the 
     department in which the Coast Guard is operating shall issue 
     regulations to implement section 4119 of the Oil Pollution 
     Act of 1990 as amended by this section.
       (d) Clerical Amendment.--The table of contents in section 2 
     of the Oil Pollution Act of 1990 is amended by adding at the 
     end of the items relating to such subtitle the following new 
     item:

``Sec. 4119. Offshore sensing and monitoring systems.''.

     SEC. 728. OIL AND GAS EXPLORATION AND PRODUCTION.

       Section 502 of the Federal Water Pollution Control Act (33 
     U.S.C. 1362) is amended--
       (1) by striking paragraph (24); and
       (2) by redesignating paragraph (25) as paragraph (24).

     SEC. 729. LEAVE RETENTION AUTHORITY.

       (a) In General.--Chapter 11 of title 14, United States 
     Code, is amended by inserting after section 425 the 
     following:

     ``Sec. 426. Emergency leave retention authority

       ``(a) In General.--A duty assignment for an active duty 
     member of the Coast Guard in support of a declaration of a 
     major disaster or emergency by the President under the Robert 
     T. Stafford Disaster Relief and Emergency Assistance Act (42 
     U.S.C. 5121 et seq.) or in response to a spill of national 
     significance shall be treated, for the purpose of section 
     701(f)(2) of title 10, as a duty assignment in support of a 
     contingency operation.
       ``(b) Definitions.--In this section:
       ``(1) Spill of national significance.--The term `spill of 
     national significance' means a discharge of oil or a 
     hazardous substance that is declared by the Commandant to be 
     a spill of national significance.
       ``(2) Discharge.--The term `discharge' has the meaning 
     given that term in section 1001 of the Oil Pollution Act of 
     1990 (33 U.S.C. 2701).''.
       (b) Clerical Amendment.--The analysis for such chapter is 
     amended by inserting after the item relating to section 425 
     the following:

``426. Emergency leave retention authority.''.

     SEC. 730. AUTHORIZATION OF APPROPRIATIONS.

       (a) Coast Guard.--In addition to amounts made available 
     pursuant to section 1012(a)(5)(A) of the Oil Pollution Act of 
     1990 (33 U.S.C. 2712(a)(5)(A)), there is authorized to be 
     appropriated to the Secretary of the department in which the 
     Coast Guard is operating from the Oil Spill Liability Trust 
     Fund established by section 9509 of the Internal Revenue Code 
     of 1986 (26 U.S.C. 9509) to carry out the purposes of this 
     title and the amendments made by this title the following:
       (1) For fiscal year 2011, $30,000,000.
       (2) For each of fiscal years 2012 through 2015, 
     $32,000,000.
       (b) Environmental Protection Agency.--In addition to 
     amounts made available pursuant to section 1012 of the Oil 
     Pollution Act of 1990 (33 U.S.C. 2712), there is authorized 
     to be appropriated to the Administrator of the Environmental 
     Protection Agency from the Oil Spill Liability Trust Fund to 
     implement this title and the amendments made by this title 
     $10,000,000 for each of fiscal years 2011 through 2015.
       (c) Department of Transportation.--In addition to amounts 
     made available pursuant to section 60125 of title 49, United 
     States Code, there is authorized to be appropriated to the 
     Secretary of Transportation from the Oil Spill Liability 
     Trust Fund to carry out the purposes of this title and the 
     amendments made by this title the following:
       (1) For each of fiscal years 2011 through 2013, $7,000,000.
       (2) For each of fiscal years 2014 and 2015, $6,000,000.

                  TITLE VIII--MISCELLANEOUS PROVISIONS

     SEC. 801. REPEAL OF CERTAIN TAXPAYER SUBSIDIZED ROYALTY 
                   RELIEF FOR THE OIL AND GAS INDUSTRY.

       (a) Provisions Relating to Planning Areas Offshore 
     Alaska.--Section 8(a)(3)(B) of the Outer Continental Shelf 
     Lands Act (43 U.S.C. 1337(a)(3)(B)) is amended by striking 
     ``and in the Planning Areas offshore Alaska'' after ``West 
     longitude''.
       (b) Provisions Relating to Naval Petroleum Reserve in 
     Alaska.--Section 107 of the Naval Petroleum Reserves 
     Production Act of 1976 (as transferred, redesignated, moved, 
     and amended by section 347 of the Energy Policy Act of 2005 
     (119 Stat. 704)) is amended--
       (1) in subsection (i) by striking paragraphs (2) through 
     (6); and
       (2) by striking subsection (k).

     SEC. 802. CONSERVATION FEE.

       (a) Establishment.--The Secretary shall, within 180 days 
     after the date of enactment of this Act, issue regulations to 
     establish an annual conservation fee for all oil and gas 
     leases on Federal onshore and offshore lands.
       (b) Amount.--The amount of the fee shall be, for each 
     barrel or barrel equivalent produced from land that is 
     subject to a lease from which oil or natural gas is produced 
     in a calendar year, $2 per barrel of oil and 20 cents per 
     million BTU of natural gas in 2010 dollars.
       (c) Assessment and Collection.--The Secretary shall assess 
     and collect the fee established under this section.
       (d) Regulations.--The Secretary may issue regulations to 
     prevent evasion of the fee under this section.
       (e) Sunset.--This section and the fee established under 
     this section shall expire on December 31, 2021.

     SEC. 803. LEASING ON INDIAN LANDS.

       Nothing in this Act modifies, amends, or affects leasing on 
     Indian lands as currently carried out by the Bureau of Indian 
     Affairs.

     SEC. 804. OUTER CONTINENTAL SHELF STATE BOUNDARIES.

       (a) General.--Not later than 2 years after the date of 
     enactment of this Act, the President, acting through the 
     Secretary of the Interior, shall publish a final 
     determination under section 4(a)(2) of the Outer Continental 
     Shelf Lands Act (43 U.S.C. 1333(a)(2)) of the boundaries of 
     coastal States projected seaward to the outer margin of the 
     Outer Continental Shelf.
       (b) Notice and Comment.--In determining the projected 
     boundaries specified in subsection (a), the Secretary shall 
     comply with the notice and comment requirements under chapter 
     5 of title 5, United States Code.
       (c) Savings Clause.--The determination and publication of 
     projected boundaries under subsection (a) shall not be 
     construed to alter, limit, or modify the jurisdiction, 
     control, or any other authority of the United States over the 
     Outer Continental Shelf.

     SEC. 805. LIABILITY FOR DAMAGES TO NATIONAL WILDLIFE REFUGES.

       Section 4 of the National Wildlife Refuge System 
     Administration Act of 1966 (16 U.S.C. 668dd) is amended by 
     adding at the end the following new subsection:
       ``(p) Destruction or Loss of, or Injury to, Refuge 
     Resources.--
       ``(1) Liability.--
       ``(A) Liability to united states.--Any person who destroys, 
     causes the loss of, or injures any refuge resource is liable 
     to the United States for an amount equal to the sum of--
       ``(i) the amount of the response costs and damages 
     resulting from the destruction, loss, or injury; and
       ``(ii) interest on that amount calculated in the manner 
     described under section 1005 of the Oil Pollution Act of 1990 
     (33 U.S.C. 2705).
       ``(B) Liability in rem.--Any instrumentality, including a 
     vessel, vehicle, aircraft, or other equipment, that destroys, 
     causes the loss of, or injures any refuge resource shall be 
     liable in rem to the United States for response costs and 
     damages resulting from such destruction, loss, or injury to 
     the same extent as a person is liable under subparagraph (A).
       ``(C) Defenses.--A person is not liable under this 
     paragraph if that person establishes that--
       ``(i) the destruction or loss of, or injury to, the refuge 
     resource was caused solely by an act of God, an act of war, 
     or an act or omission of a third party, and the person acted 
     with due care;
       ``(ii) the destruction, loss, or injury was caused by an 
     activity authorized by Federal or State law; or
       ``(iii) the destruction, loss, or injury was negligible.
       ``(D) Limits to liability.--Nothing in sections 30501 to 
     30512 or section 30706 of title 46, United States Code, shall 
     limit the liability of any person under this section.
       ``(2) Response actions.--The Secretary may undertake or 
     authorize all necessary actions to prevent or minimize the 
     destruction or loss of, or injury to, refuge resources, or to 
     minimize the imminent risk of such destruction, loss, or 
     injury.
       ``(3) Civil actions for response costs and damages.--
       ``(A) In general.--The Attorney General, upon request of 
     the Secretary, may commence a civil action against any person 
     or instrumentality who may be liable under paragraph (1) for 
     response costs and damages. The Secretary, acting as trustee 
     for refuge resources for the United States, shall submit a 
     request for such an action to the Attorney General whenever a 
     person may be liable for such costs or damages.
       ``(B) Jurisdiction and venue.--An action under this 
     subsection may be brought in the United States district court 
     for any district in which--
       ``(i) the defendant is located, resides, or is doing 
     business, in the case of an action against a person;

[[Page 14880]]

       ``(ii) the instrumentality is located, in the case of an 
     action against an instrumentality; or
       ``(iii) the destruction of, loss of, or injury to a refuge 
     resource occurred.
       ``(4) Use of recovered amounts.--Response costs and damages 
     recovered by the Secretary under this subsection shall be 
     retained by the Secretary in the manner provided for in 
     section 107(f)(1) of the Comprehensive Environmental 
     Response, Compensation, and Liability Act of 1980 (42 U.S.C. 
     9607(f)(1)) and used as follows:
       ``(A) Response costs.--Amounts recovered by the United 
     States for costs of response actions and damage assessments 
     under this subsection shall be used, as the Secretary 
     considers appropriate--
       ``(i) to reimburse the Secretary or any other Federal or 
     State agency that conducted those activities; and
       ``(ii) after reimbursement of such costs, to restore, 
     replace, or acquire the equivalent of any refuge resource.
       ``(B) Other amounts.--All other amounts recovered shall be 
     used, in order of priority--
       ``(i) to restore, replace, or acquire the equivalent of the 
     refuge resources that were the subject of the action, 
     including the costs of monitoring the refuge resources;
       ``(ii) to restore degraded refuge resources of the refuge 
     that was the subject of the action, giving priority to refuge 
     resources that are comparable to the refuge resources that 
     were the subject of the action; and
       ``(iii) to restore degraded refuge resources of other 
     refuges.
       ``(5) Definitions.--In this subsection, the term--
       ``(A) `damages' includes--
       ``(i) compensation for--

       ``(I)(aa) the cost of replacing, restoring, or acquiring 
     the equivalent of a refuge resource; and
       ``(bb) the value of the lost use of a refuge resource 
     pending its restoration or replacement or the acquisition of 
     an equivalent refuge resource; or
       ``(II) the value of a refuge resource if the refuge 
     resource cannot be restored or replaced or if the equivalent 
     of such resource cannot be acquired;

       ``(ii) the cost of conducting damage assessments;
       ``(iii) the reasonable cost of monitoring appropriate to 
     the injured, restored, or replaced refuge resource; and
       ``(iv) the cost of enforcement actions undertaken by the 
     Secretary in response to the destruction or loss of, or 
     injury to, a refuge resource;
       ``(B) `response costs' means the costs of actions taken or 
     authorized by the Secretary to minimize destruction or loss 
     of, or injury to, refuge resources, or to minimize the 
     imminent risks of such destruction, loss, or injury, 
     including costs related to seizure, forfeiture, storage, or 
     disposal arising from liability, or to monitor ongoing 
     effects of incidents causing such destruction, loss, or 
     injury under this subsection; and
       ``(C) `refuge resource' means any living or nonliving 
     resource of a refuge that contributes to the conservation, 
     management, and restoration mission of the System, including 
     living or nonliving resources of a marine national monument 
     that may be managed as a unit of the System.''.

     SEC. 806. STRENGTHENING COASTAL STATE OIL SPILL PLANNING AND 
                   RESPONSE.

       The Coastal Zone Management Act of 1972 (16 U.S.C. 1451 et 
     seq.) is amended adding at the end the following new section:

     ``SEC. 320. STRENGTHENING COASTAL STATE OIL SPILL RESPONSE 
                   AND PLANNING.

       ``(a) Grants to States.--The Secretary may make grants to 
     eligible coastal states--
       ``(1) to revise management programs approved under section 
     306 (16 U.S.C. 1455) to identify and implement new 
     enforceable policies and procedures to ensure sufficient 
     response capabilities at the state level to address the 
     environmental, economic, and social impacts of oil spills or 
     other accidents resulting from Outer Continental Shelf energy 
     activities with the potential to affect any land or water use 
     or natural resource of the coastal zone; and
       ``(2) to review and revise where necessary applicable 
     enforceable policies within approved state management 
     programs affecting coastal energy activities and energy to 
     ensure that these policies are consistent with--
       ``(A) other emergency response plans and policies developed 
     under Federal or State law; and
       ``(B) new policies and procedures developed under paragraph 
     (1); and
       ``(3) after a State has adopted new or revised enforceable 
     policies and procedures under paragraphs (1) and (2)--
       ``(A) the State shall submit the policies and procedures to 
     the Secretary; and
       ``(B) the Secretary shall notify the State whether the 
     Secretary approves or disapproves the incorporation of the 
     policies and procedures into the State's management program 
     pursuant to section 306(e).
       ``(b) Elements.--New enforceable policies and procedures 
     developed by coastal states with grants awarded under this 
     section shall consider, but not be limited to--
       ``(1) other existing emergency response plans, procedures 
     and enforceable policies developed under other Federal or 
     State law that affect the coastal zone;
       ``(2) identification of critical infrastructure essential 
     to facilitate spill or accident response activities;
       ``(3) identification of coordination, logistics and 
     communication networks between Federal and State government 
     agencies, and between State agencies and affected local 
     communities, to ensure the efficient and timely dissemination 
     of data and other information;
       ``(4) inventories of shore locations and infrastructure and 
     equipment necessary to respond to oil spills or other 
     accidents resulting from Outer Continental Shelf energy 
     activities;
       ``(5) identification and characterization of significant or 
     sensitive marine ecosystems or other areas possessing 
     important conservation, recreational, ecological, historic, 
     or aesthetic values;
       ``(6) inventories and surveys of shore locations and 
     infrastructure capable of supporting alternative energy 
     development; and
       ``(7) other information or actions as may be necessary.
       ``(c) Guidelines.--The Secretary shall, within 180 days 
     after the date of enactment of this section and after 
     consultation with the coastal states, publish guidelines for 
     the application for and use of grants under this section.
       ``(d) Participation.--A coastal state shall provide 
     opportunity for public participation in developing new 
     enforceable policies and procedures under this section 
     pursuant to sections 306(d)(1) and 306(e), especially by 
     relevant Federal agencies, other coastal state agencies, 
     local governments, regional organizations, port authorities, 
     and other interested parties and stakeholders, public and 
     private, that are related to, or affected by Outer 
     Continental Shelf energy activities.
       ``(e) Annual Grants.--
       ``(1) In general.--For each of fiscal years 2011 through 
     2015, the Secretary may make a grant to a coastal state to 
     develop new enforceable polices and procedures as required 
     under this section.
       ``(2) Grant amounts and limit on awards.--The amount of any 
     grant to any one coastal State under this section shall not 
     exceed $750,000 for any fiscal year. No coastal state may 
     receive more than two grants under this section.
       ``(3) No state matching contribution required.--As it is in 
     the national interest to be able to respond efficiently and 
     effectively at all levels of government to oil spills and 
     other accidents resulting from Outer Continental Shelf energy 
     activities, a coastal state shall not be required to 
     contribute any portion of the cost of a grant awarded under 
     this section.
       ``(4) Secretarial review and limit on awards.--After an 
     initial grant is made to a coastal state under this section, 
     no subsequent grant may be made to that coastal state under 
     this section unless the Secretary finds that the coastal 
     state is satisfactorily developing revisions to address 
     offshore energy impacts. No coastal state is eligible to 
     receive grants under this section for more than 2 fiscal 
     years.
       ``(f) Applicability.--The requirements of this section 
     shall only apply if appropriations are provided to the 
     Secretary to make grants under this section. This section 
     shall not be construed to convey any new authority to any 
     coastal state, or repeal or supersede any existing authority 
     of any coastal state, to regulate the siting, licensing, 
     leasing, or permitting of energy facilities in areas of the 
     Outer Continental Shelf under the administration of the 
     Federal Government. Nothing in this section repeals or 
     supersedes any existing coastal state authority.
       ``(g) Assistance by the Secretary.--The Secretary as 
     authorized under section 310(a) and to the extent 
     practicable, shall make available to coastal states the 
     resources and capabilities of the National Oceanic and 
     Atmospheric Administration to provide technical assistance to 
     the coastal states to prepare revisions to approved 
     management programs to meet the requirements under this 
     section.''.

     SEC. 807. INFORMATION SHARING.

       Section 388(b) of the Energy Policy Act of 2005 (43 U.S.C. 
     1337 note) is amended by adding at the end the following:
       ``(4) Availability of data and information.--All heads of 
     departments and agencies of the Federal Government shall, 
     upon request of the Secretary, provide to the Secretary all 
     data and information that the Secretary deems necessary for 
     the purpose of including such data and information in the 
     mapping initiative, except that no department or agency of 
     the Federal Government shall be required to provide any data 
     or information that is privileged or proprietary.''.

     SEC. 808. LIMITATION ON USE OF FUNDS.

       None of the funds authorized or made available by this Act 
     may be used to carry out any activity or pay any costs for 
     removal or damages for which a responsible party (as such 
     term is defined in section 1001 of the Oil Pollution Act of 
     1990 (33 U.S.C. 2701)) is liable under the Oil Pollution Act 
     of 1990 (33 U.S.C. 2701 et seq.) or other law.

     SEC. 809. ENVIRONMENTAL REVIEW.

       Section 390 of the Energy Policy Act of 2005 (Public Law 
     109-58; 42 U.S.C. 15942) is repealed.

[[Page 14881]]



     SEC. 810. FEDERAL RESPONSE TO STATE PROPOSALS TO PROTECT 
                   STATE LANDS AND WATERS.

       Any State shall be entitled to timely decisions regarding 
     permit applications or other approvals from any Federal 
     official, including the Secretary of the Interior or the 
     Secretary of Commerce, for any State or local government 
     response activity to protect State lands and waters that is 
     directly related to the discharge of oil determined to be a 
     spill of national significance. Within 48 hours of the 
     receipt of the State application or request for approval, the 
     Federal official shall provide a clear determination on the 
     permit application or approval request to the State, or 
     provide a definite date by which the determination shall be 
     made to the State. If the Federal official fails to meet 
     either of these deadlines, the permit application is presumed 
     to be approved or other approval granted.

  The CHAIR. No amendment to that amendment in the nature of a 
substitute is in order except those printed in part B of the report. 
Each amendment may be offered only in the order printed in the report, 
by a Member designated in the report, shall be considered read, shall 
be debatable for the time specified in the report, equally divided and 
controlled by the proponent and an opponent, shall not be subject to 
amendment, and shall not be subject to a demand for division of the 
question.


                 Amendment No. 1 Offered by Mr. Rahall

  The CHAIR. It is now in order to consider amendment No. 1 printed in 
part B of House Report 111-582.
  Mr. RAHALL. Mr. Chairman, I have an amendment at the desk.
  The CHAIR. The Clerk will designate the amendment.
  The text of the amendment is as follows:

       Page 150, strike lines 15 and 16 (and redesignate the 
     subsequent subparagraphs accordingly).
       Page 37, line 7, strike ``public health and''.
       Page 37, line 11, strike ``public health and''.
       Page 39, line 8, strike ``human health and''.
       Page 47, line 15, strike ``public health and''.
       Page 66, line 11, strike ``and human health''.
       Page 87, line 15, strike ``and human health''.
       Page 180, strike lines 17 through 23 and insert the 
     following:

       ``(V) require the public disclosure of all ingredients, 
     including the chemical and common name of such ingredients, 
     contained in any such dispersant, chemical, or substance; and

       Page 181, strike lines 17 through 23 and insert the 
     following:

       ``(II) require the public disclosure of all ingredients, 
     including the chemical and common name of such ingredients, 
     contained in any such dispersant, chemical, or substance; and

       Page 169, line 18, insert ``PROCEDURES FOR CLAIMS AGAINST 
     FUND;'' before ``INFORMATION ON CLAIMS'' (and conform the 
     table of contents accordingly).
       Page 169, after line 18, insert the following:
       (a) Procedures for Claims Against Fund.--Section 1013(e) of 
     the Oil Pollution Act of 1990 (33 U.S.C. 2713(e)) is amended 
     by adding at the end the following: ``In the event of a spill 
     of national significance, the President may exercise the 
     authorities under this section to ensure that the 
     presentation, filing, processing, settlement, and 
     adjudication of claims occurs within the States and local 
     governments affected by such spill to the greatest extent 
     practicable.''.
       Page 169, line 19, strike ``(a) In General.--'' and insert 
     ``(b) Information on Claims.--''.
       Page 170, line 10, strike ``(b)'' and insert ``(c)''.
       Page 170, line 14, strike ``(c)'' and insert ``(d)''.
       Add at the end of title VII the following:

     SEC. 731. CLARIFICATION OF LIABILITY UNDER OIL POLLUTION ACT 
                   OF 1990.

       The Oil Pollution Act of 1990 is amended--
       (1) in section 1013 (33 U.S.C. 2713), by inserting after 
     subsection (d) the following:
       ``(e) Limitation on Release of Liability.--No release of 
     liability in connection with compensation received by a 
     claimant under this Act shall apply to liability for any tope 
     of harm unless--
       ``(1) the claimant presented a claim under subsection (a) 
     with respect to such type of harm; and
       ``(2) the claimant received compensation for such type of 
     harm, from the responsible party or from guarantor of the 
     source designated under section 1014(a), in connection with 
     such release.''; and
       (2) in section 1018 (33 U.S.C. 2718), by--
       (A) striking ``or'' at the end of paragraph (1);
       (B) striking the period at the end of paragraph (2) and 
     inserting ``; and''; and
       (C) inserting after paragraph (2) the following:
       ``(3) with respect to a claim described in section 1013(e), 
     affect, or be construed or interpreted to affect or modify in 
     any way, the obligations or liabilities of any person under 
     other Federal law.''.
       Page 223, after line 13, insert the following (and conform 
     the table of contents of the bill accordingly):

     SEC. 732. SALVAGE ACTIVITIES.

       Section 311 of the Federal Water Pollution Control Act (33 
     U.S.C. 1321) is amended--
       (1) in subsection (a)(2)(D) by inserting ``or salvage 
     activities'' after ``removal''; and
       (2) in subsection (c)(4)(A) by inserting ``or conducting 
     salvage activities'' after ``advice''.
       Page 23, line 4, insert ``safety training firms,'' after 
     ``labor organizations,''.
       Page 8, line 7, strike ``Biomass or landfill'' and insert 
     ``Landfill''.
       Page 238, after line 19, insert the following:

     SEC. 811. GOVERNMENT ACCOUNTABILITY OFFICE EVALUATION.

       (a) Evaluation.--The Comptroller General shall conduct an 
     evaluation of the Department of the Interior to determine--
       (1) whether the reforms carried out under this Act and the 
     amendments made by this Act address concerns of the 
     Government Accountability Office and the Inspector General 
     expressed before the date of enactment of this Act;
       (2) whether the increased hiring authority given to the 
     Secretary of the Interior under this Act and the amendments 
     made by this Act has resulted in the Department of the 
     Interior being more effective in addressing its oversight 
     missions; and
       (3) whether there has been a sufficient reduction in the 
     conflict between mission and interest within the Department 
     of the Interior.
       (b) Report.--Not later than 3 years after the date of 
     enactment of this Act, the Comptroller General shall submit 
     to Congress a report containing the results of the evaluation 
     conducted under subsection (a).
       Page 24, after line 12, insert the following:
       (6) Role of oil or gas operators and related industries.--
     The Secretary shall ensure that any cooperative agreement or 
     other collaboration with a representative of an oil or gas 
     operator or related industry in relation to a training 
     program established under paragraph (4) or paragraph (5) is 
     limited to consultation regarding curricula and does not 
     extend to the provision of instructional personnel.
       Page 238, after line 19, insert the following new section:

     SEC. 812. STUDY ON RELIEF WELLS.

       Not later than 60 days after the date of enactment of this 
     Act, the Secretary shall enter into an arrangement with the 
     National Academy of Engineering under which the Academy 
     shall, not later than 1 year after such arrangement is 
     entered into, submit to the Secretary and to Congress a 
     report that assesses the economic, safety, and environmental 
     impacts of requiring that 1 or more relief wells be drilled 
     in tandem with the drilling of some or all wells subject to 
     the requirements of this Act and the amendments made by this 
     Act.
       Page 223, after line 13, insert the following (and conform 
     the table of contents accordingly):

     SEC. 733. REQUIREMENT FOR REDUNDANCY IN RESPONSE PLANS.

       (a) Requirement.--Section 311(j)(5)(D) of the Federal Water 
     Pollution Control Act (33 U.S.C. 1331(j)(5)(D)) is amended by 
     redesignating clauses (v) and (vi) as clauses (vii) and 
     (viii), and by inserting after clause (iv) the following new 
     clauses:
       ``(v) include redundancies that specify response actions 
     that will be taken if other response actions specified in the 
     plan fail;
       ``(vi) be vetted by impartial experts;''.
       (b) Condition of Permit.--The Outer Continental Shelf Lands 
     Act (43 U.S.C. 1331 et seq.) is amended by adding at the end 
     the following new section:

     ``SEC. 32. RESPONSE PLAN REQUIRED FOR PERMIT OR LICENSE 
                   AUTHORIZING DRILLING FOR OIL AND GAS.

       ``The Secretary may not issue any license or permit 
     authorizing drilling for oil and gas on the Outer Continental 
     Shelf unless the applicant for the license or permit has a 
     response plan approved under section 311(j)(5)(D) of the 
     Federal Water Pollution Control Act (33 U.S.C. 1331(j)(5)(D)) 
     for the vessel or facility that will be used to conduct such 
     drilling.''.
       Add at the end the following new title:

  TITLE __--STUDY OF ACTIONS TO IMPROVE THE ACCURACY OF COLLECTION OF 
                               ROYALTIES

     SEC. __1. SHORT TITLE.

       This title may be cited as the ``Study of Ways to Improve 
     the Accuracy of the Collection of Federal Oil, Condensate, 
     and Natural Gas Royalties Act of 2010''.

     SEC. __2. STUDY OF ACTIONS TO IMPROVE THE ACCURACY OF 
                   COLLECTION OF FEDERAL OIL, CONDENSATE, AND 
                   NATURAL GAS ROYALTIES.

       The Secretary of the Interior shall seek to enter into an 
     arrangement with the National Academy of Engineering under 
     which the Academy, by not later than six months after the 
     date of the enactment of this Act, shall study and report to 
     the Secretary regarding whether the accuracy of collection of 
     royalties on production of oil, condensate, and natural gas 
     under leases of Federal lands (in eluding submerged and deep 
     water lands) and Indian lands would be improved by any of the 
     following:
       (1) Requiring the installation of digital meters, 
     calibrated at least monthly to an absolute zero value, for 
     all lands from which

[[Page 14882]]

     natural gas (including condensate) is produced under such 
     leases.
       (2) Requiring that--
       (A) the size of every orifice plate on each natural gas 
     well operated under such leases be inspected at least 
     quarterly by the Secretary; and
       (B) chipped orifice plates and wrong-sized orifice plates 
     be replaced immediately after those inspections and reported 
     to the Secretary for retroactive volume measurement 
     corrections and royalty payments with interest of 8 percent 
     compounded monthly.
       (3) Requiring that any plug valves that are in natural gas 
     gathering lines be removed and replaced with ball valves.
       (4) Requiring that--
       (A) all meter runs should be opened for inspection by the 
     Secretary and the producer at all times; and
       (B) any welding or closing of the meter runs leading to the 
     orifice plates should be prohibited unless authorized by the 
     Secretary.
       (5) Requiring the installation of straightening vanes 
     approximately 10 feet before natural gas enters each orifice 
     meter, including each master meter and each sales meter.
       (6) Requiring that all master meters be inspected and the 
     results of such inspections be made available to the 
     Secretary and the producers immediately.
       (7) Requiring that--
       (A) all sampling of natural gas for heating content 
     analysis be performed monthly upstream of each natural gas 
     meter, including upstream of each master meter;
       (B) records of such sampling and heating content analysis 
     be maintained by the purchaser and made available to the 
     Secretary and to the producer monthly;
       (C) probes for such upstream sampling be installed upstream 
     within three feet of each natural gas meter;
       (D) any oil and natural gas lease for which heat content 
     analysis is falsified shall be subject to cancellation;
       (E) natural gas sampling probes be located--
       (i) upstream of the natural gas meter at all times;
       (ii) within a few feet of the natural gas meter; and
       (iii) after the natural gas goes through a Welker or Y-Z 
     vanishing chamber; and
       (F) temperature probes and testing probes be located 
     between the natural gas sampling probe and the orifice of the 
     natural gas meter.
       (8) Prohibiting the dilution of natural gas with inert 
     nitrogen or inert carbon dioxide gas for royalty 
     determination, sale, or resale at any point.
       (9) Requiring that both the measurement of the volume of 
     natural gas and the heating content analyses be reported only 
     on the basis of 14.73 PSI and 60 degrees Fahrenheit, 
     regardless of the elevation above sea level of such volume 
     measurement and heating content analysis, for both purchases 
     and sales of natural gas.
       (10) Prohibiting the construction of bypass pipes that go 
     around the natural gas meter, and imposing criminal penalties 
     for any such construction or subsequent removal including, 
     but not limited to, automatic cancellation of the lease.
       (11) Requiring that all natural gas sold to consumers have 
     a minimum BTU content of 960 at an atmospheric pressure of 
     14.73 PSI and be at a temperature of 60 degrees Fahrenheit, 
     as required by the State of Wyoming Public Utilities 
     Commission.
       (12) Requiring that all natural gas sold in the USA will be 
     on a MMBTU basis with the BTU content adjusted for elevation 
     above sea level in higher altitudes. Thus all natural gas 
     meters must correct for BTU content in higher elevations 
     (altitudes).
       (13) Issuance by the Secretary of rules for the measurement 
     at the wellhead of the standard volume of natural gas 
     produced, based on independent industry standards such as 
     those suggested by the American Society of Testing Materials 
     (ASTM).
       (14) Requiring use of the fundamental orifice meter mass 
     flow equation, as revised in 1990, for calculating the 
     standard volume of natural gas produced.
       (15) Requiring the use of Fpv in standard volume 
     measurement computations as described in the 1992 American 
     Gas Association Report No. 8 entitled Compressibility Factor 
     of Natural Gas and Other Related Hydrocarbon Gases.
       (16) Requiring that gathering lines must be constructed so 
     as to have as few angles and turns as possible, with a 
     maximum of three angles, before they connect with the natural 
     gas meter.
       (17) Requiring that for purposes of reporting the royalty 
     value of natural gas, condensate, oil, and associated natural 
     gases, such royalty value must be based upon the natural gas' 
     condensate's, oil's, and associated natural gases' arm's 
     length, independent market value, as reported in independent, 
     respected market reports such as Platts or Bloombergs, and 
     not based upon industry controlled posted prices, such as 
     Koch's.
       (18) Requiring that royalties be paid on all the condensate 
     recovered through purging gathering lines and pipelines with 
     a cone-shaped device to push out condensate (popularly 
     referred to as a pig) and on condensate recovered from 
     separators, dehydrators, and processing plants.
       (19) Requiring that all royalty deductions for dehydration, 
     treating, natural gas gathering, compression, transportation, 
     marketing, removal of impurities such as carbon dioxide 
     (CO2), nitrogen (N2), hydrogen sulphide 
     (H2S), mercaptain (HS), helium (He), and other 
     similar charges on natural gas, condensate, and oil produced 
     under such leases that are now in existence be eliminated.
       (20) Requiring that at all times--
       (A) the quantity, quality, and value obtained for natural 
     gas liquids (condensate) be reported to the Secretary; and
       (B) such reported value be based on fair independent arm's 
     length market value.
       (21) Issuance by the Secretary of regulations that prohibit 
     venting or flaring (or both) of natural gas in cases for 
     which technology exists to reasonably prevent it, strict 
     enforcement of such prohibitions, and cancellation of leases 
     for violations.
       (22) Requiring lessees to pay full royalties on any natural 
     gas that is vented, flared, or otherwise avoidably lost.
       (23)(A) Requiring payment of royalties on carbon dioxide at 
     the wellhead used for tertiary oil recovery from depleted oil 
     fields on the basis of 5 percent of the West Texas 
     Intermediate crude oil fair market price to be used for one 
     MCF (1,000 cubic feet) of carbon dioxide gas.
       (B) Requiring that--
       (i) carbon dioxide used for edible purposes should be 
     subjected to a royalty per thousand cubic feet (MCF) on the 
     basis of the sales price at the downstream delivery point 
     without deducting for removal of impurities, processing, 
     transportation, and marketing costs;
       (ii) such price to apply with respect to gaseous forms, 
     liquid forms, and solid (dry ice) forms of carbon dioxide 
     converted to equivalent MCF; and
       (iii) such royalty to apply with respect to both a direct 
     producer of carbon dioxide and purchases of carbon dioxide 
     from another person that is either affiliated or not 
     affiliated with the purchaser.
       (24) Requiring that--
       (A) royalties be paid on the fair market value of nitrogen 
     extracted from such leases that is used industrially for well 
     stimulation, helium recovery, or other uses; and
       (B) royalties be paid on the fair market value of 
     ultimately processed helium recovered from such leases.
       (25) Allowing only 5 percent of the value of the elemental 
     sulfur recovered during processing of hydrogen sulfide gas 
     from such leases to be deducted for processing costs in 
     determining royalty payments.
       (26) Requiring that all heating content analysis of natural 
     gas be conducted to a minimum level of C15.
       (27) Eliminating artificial conversion from dry BTU to wet 
     BTU, and requiring that natural gas be analyzed and royalties 
     paid for at all times on the basis of dry BTU only.
       (28) Requiring that natural gas sampling be performed at 
     all times with a floating piston cylinder container at the 
     same pressure intake as the pressure of the natural gas 
     gathering line.
       (29) Requiring use of natural gas filters with a minimum of 
     10 microns, and preferably 15 microns, both in the intake to 
     natural gas sampling containers and in the exit from the 
     natural gas sampling containers into the chromatograph.
       (30) Mandate the use of a Quad Unit for both portable and 
     stationary chromatographs in order to correct for the 
     presence of nitrogen and oxygen, if any, in certain natural 
     gas streams.
       (31) Require the calibration of all chromatograph equipment 
     every three months and the use of only American Gas 
     Association-approved standard comparison containers for such 
     calibration.
       (32) Requiring payment of royalties on any such natural gas 
     stored on Federal or Indian lands on the basis of 
     corresponding storage charges for the use of Federal or 
     Indian lands, respectively, for such storage service.
       (33) Imposing penalties for the intentional nonpayment of 
     royalties for natural gas liquids recovered--
       (A) from purging of natural gas gathering lines and natural 
     gas pipelines; or
       (B) from field separators, dehydrators, and processing 
     plants,
     including cancellation of oil and natural gas leases and 
     criminal penalties.
       (34) Requiring that the separator, dehydrator, and natural 
     gas meter be located within 100 feet of each natural gas 
     wellhead.
       (35) Requiring that BTU heating content analysis be 
     performed when the natural gas is at a temperature of 140 to 
     150 degrees Fahrenheit at all times, as required by the 
     American Gas Association (AGA) regulations.
       (36) Requiring that heating content analysis and volume 
     measurements are identical at the sales point to what they 
     are at the purchase point, after allowing for a small volume 
     for leakage in old pipes, but with no allowance for heating 
     content discrepancy.
       (37) Verification by the Secretary that the specific 
     gravity of natural gas produced under such leases, as 
     measured at the meter run, corresponds to the heating content 
     analysis data for such natural gas, in accordance with the 
     Natural Gas Processors Association Publication 2145-71(1), 
     entitled

[[Page 14883]]

     ``Physical Constants Of Paraffin Hydrocarbons And Other 
     Components Of Natural Gas'', and reporting of all 
     discrepancies immediately.
       (38) Prohibiting all deductions on royalty payments for 
     marketing of natural gas, condensate, and oil by an affiliate 
     or agent.
       (39) Requiring that all standards of the American Petroleum 
     Institute, the American Gas Association, the Gas Processors 
     Association, and the American Society of Testing Materials, 
     Minerals Management Service Order No. 5, and all other 
     Minerals Management Service orders be faithfully observed and 
     applied, and willful misconduct of such standards and orders 
     be subject to oil and gas lease cancellation.

     SEC. __3. DEFINITIONS.

       In this title:
       (1) Covered lands.--The term ``covered lands'' means--
       (A) all Federal onshore lands and offshore lands that are 
     under the administrative jurisdiction of the Department of 
     the Interior for purposes of oil and gas leasing; and
       (B) Indian onshore lands.
       (2) Secretary.--The term ``Secretary'' means the Secretary 
     of the Interior.
       At the end of subtitle A of title II, add the following new 
     section:

     SEC. 224. REPORT ON ENVIRONMENTAL BASELINE STUDIES.

       The Secretary of the Interior shall report to Congress 
     within 6 months after the date of enactment of this Act on 
     the costs of baseline environmental studies to gather, 
     analyze, and characterize resource data necessary to 
     implement the Outer Continental Shelf Lands Act (43 U.S.C. 
     1331 et seq.). The Secretary shall include in the report 
     proposals of fees or other ways to recoup such costs from 
     persons engaging or seeking to engage in activities on the 
     Outer Continental Shelf to which that Act applies.
       At the end of title III add the following new section:

     SEC. 321. APPLICATION OF ROYALTY TO OIL THAT IS SAVED, 
                   REMOVED, SOLD, OR DISCHARGED UNDER OFFSHORE OIL 
                   AND GAS LEASES.

       Section 8(a) of the Outer Continental Shelf Lands Act (43 
     U.S.C. 1337(a)) is further amended by adding at the end the 
     following new paragraph:
       ``(10)(A) Any royalty under a lease under this section 
     shall apply to all oil that is saved, removed, sold, or 
     discharged, without regard to whether any of the oil is 
     unavoidably lost or used on, or for the benefit of, the 
     lease.
       ``(B) In this paragraph the term `discharged' means any 
     emission (other than natural seepage), intentional or 
     unintentional, and includes, but is not limited to, spilling, 
     leaking, pumping, pouring, emitting, emptying, or dumping.''.
       Page 82, line 24, before ``The Secretary'' insert the 
     following:
       (1) In general.--
       Page 83, line 4, strike ``(1)'' and insert ``(A)''.
       Page 83, line 7, strike ``(2)'' and insert ``(B)''.
       Page 83, line 11, strike ``(3)'' and insert ``(C)''.
       Page 83, line 15, strike ``(4)'' and insert ``(D)''.
       Page 83, line 19, strike ``(5)'' and insert ``(E)''.
       Page 83, line 20, strike ``(6)'' and insert ``(F)''.
       Page 83, after line 22, insert the following:
       ``(2) Civil penalty.--Any chief executive officer who makes 
     a false certification under paragraph (1) shall be liable for 
     a civil penalty under section 24.
       Page 129, after line 19, insert the following:
       (4) Citizen advisory council.--
       (A) In general.--The Gulf Coast Restoration Task Force 
     shall create a Citizen Advisory Council made up of 
     individuals who--
       (i) are local residents of the Gulf of Mexico region;
       (ii) are stakeholders who are not from the oil and gas 
     industry or scientific community;
       (iii) include business owners, homeowners, and local 
     decisionmakers; and
       (iv) are a balanced representation geographically and in 
     diversity among the interests of its members.
       (B) Function.--The Council shall provide recommendations to 
     the Task Force regarding its work.
       At the end of subtitle A of title II add the following new 
     section:

     SEC. 225. CUMULATIVE IMPACTS ON MARINE MAMMAL SPECIES AND 
                   STOCKS AND SUBSISTENCE USE.

       Section 20 of the Outer Continental Shelf Lands Act (43 
     U.S.C. 1346) is further amended by adding at the end the 
     following:
       ``(h) Cumulative Impacts on Marine Mammal Species and 
     Stocks and Subsistence Use.--In determining, pursuant to 
     subparagraphs (A)(i) and (D)(i) of section 101(a)(5) of the 
     Marine Mammal Protection Act of 1972 (16 U.S.C.1371(a)(5)), 
     whether takings from specified activities administered under 
     this title will have a negligible impact on a marine mammal 
     species or stock, and not have an unmitigable adverse impact 
     on the availability of such species or stock for taking for 
     subsistence uses, the Secretary of Commerce or Interior shall 
     incorporate any takings of such species or stock from any 
     other reasonably foreseeable activities administered under 
     this Act.''.
       Page 145, line 3, insert ``, except for the assessment for 
     the Great Lakes Coordination Region, for which the Regional 
     Coordination Council for such Coordination Region shall only 
     identify the Great Lakes Coordination Region's renewable 
     energy resources, including current and potential renewable 
     energy resources'' after ``potential energy resources''.
       Page 147, line 23, insert ``, except for the Strategic Plan 
     for the Great Lakes Coordination Region which shall identify 
     only areas with potential for siting and developing renewable 
     energy resources in the Great Lakes Coordination Region'' 
     after ``Strategic Plan''.

  The CHAIR. Pursuant to House Resolution 1574, the gentleman from West 
Virginia (Mr. Rahall) and a Member opposed each will control 10 
minutes.
  The Chair recognizes the gentleman from West Virginia.
  Mr. RAHALL. I yield myself such time as I may consume.
  Mr. Chairman, the amendment incorporates a number of constructive 
proposals from my colleagues which I believe significantly improve the 
CLEAR Act. Some of these proposals affect the provisions of the bill 
under our Natural Resources Committee's jurisdiction while others 
address the title of the bill that was added by Chairman Oberstar's T&I 
Committee.
  In addition to a number of technical changes, this amendment also 
contains language that will improve the management of the new training 
academy for oil and gas inspectors that has been established in this 
bill. It holds CEOs more accountable for the actions of their 
companies. It ensures that, even when you spill the public's oil, you 
still pay the royalties that are due to the American people, and it 
also leads to a more accurate collection of royalties for natural gas. 
This amendment also studies the issue of potentially requiring relief 
wells to be drilled at the same time as the primary well. These are 
noncontroversial, good government, and good policy provisions. I urge 
my colleagues to support them.
  I reserve the balance of my time.
  Mr. HASTINGS of Washington. Mr. Chairman, I rise to claim the time in 
opposition.
  The CHAIR. The gentleman is recognized for 10 minutes.
  Mr. HASTINGS of Washington. I yield myself 3 minutes.
  Mr. Chairman, this amendment consolidates 17 Democrat amendments and 
one Republican amendment. Inside this lengthy amendment are a number of 
significant changes to oil and gas policies, royalties, collections, 
and studies. That might be fine, but I am not aware that any of these 
provisions have been subject to hearings in our Committee on Natural 
Resources, and I think that we should certainly have a better 
understanding of the impacts before we pass this on the House floor.

                              {time}  1450

  I want to point out two provisions in this amendment. There is one 
provision stripping biomass from the regulation from the bureau. Now 
this, I think, is a fine amendment, but I think it would have been 
better accomplished if we had simply made in order the Lummis 
amendment. The gentlelady from Wyoming had an amendment to take out all 
of the language on onshore activity. That would have been a much, much 
better way to do it, especially in light of the fact that the 
administration in this regard says that, and I quote, It would be most 
effective if this reorganization focused exclusively on the OCS at this 
time, end quote. But, of course, that wasn't done. So this is, I 
suppose, a small victory.
  The second, however, is a much more insidious amendment that includes 
a cumulative impact of oil and gas on marine mammals. Now I don't know 
exactly--and I don't think anybody really knows--how to measure what 
those impacts are, plus or minus, good or bad. I think it would be good 
for us, from the standpoint of making policy, to know the full impact 
of that. And, really, the only way you can know the full impact of that 
is to have hearings on this subject. To my knowledge, we have not had 
any hearings on that.
  So all in all, I would say, Mr. Chairman, this seems to be a pattern 
that we see on a regular basis on this floor where there are 
amendments--we saw

[[Page 14884]]

this earlier today. We saw a whole bill, for example, brought to the 
floor today that was introduced literally minutes before it was 
debated. That is not the way the American people think we ought to do 
business here. We ought to look at these things in a way that we can 
make the proper decisions. And these two issues that I highlight in 
this manager's amendment, in my view, fall within that category. So I 
am disappointed in the way this is being done, probably more than what 
is the content of the manager's amendment. Therefore, I am left only to 
oppose the manager's amendment.
  I reserve the balance of my time.
  Mr. RAHALL. Mr. Chairman, I yield 1 minute to the gentlelady from 
Wisconsin, Ms. Gwen Moore, who has been very helpful to us in drafting 
this bill.
  Ms. MOORE of Wisconsin. Mr. Chair, I want to thank Chairman Rahall 
for yielding and including in his manager's amendment a provision I 
authored that would ensure that citizens living in the gulf coast 
region will be able to have input into the work of the Gulf Coast 
Restoration Task Force. The Citizens Advisory Board, called for in my 
amendment, would not be filled with energy industry representatives and 
scientists but, rather, with individuals, such as the fishermen who 
have been put out of business, the hotel owner along the beach which 
now has more tar balls than tourists, and citizens in Alabama, 
Mississippi, Louisiana, Florida who simply want to have their beaches, 
wetlands, waters back to support their livelihoods, their health, and 
their enjoyment.
  Restoring the environmental and natural resources in the gulf will be 
a long and arduous task. My amendment simply makes it clear that the 
input of those most impacted by this disaster, the residents of the 
States and the region, should be a priority.
  Mr. HASTINGS of Washington. Mr. Chairman, I am pleased to yield 1 
minute to the gentleman from Georgia (Mr. Graves), one of the newer 
Members of our House and a very valuable member of our Republican 
Conference.
  Mr. GRAVES of Georgia. Mr. Chairman, 46 days ago, I was sworn in 
right down here before the House, and since that time, constituents 
have asked, What has been the biggest surprise since your time being 
sworn in? And I will tell you what it is. I have seen it here today. I 
have seen it over the past several weeks, and that is the fear and the 
lack of trust in this leadership to allow their own Members to vote on 
amendments.
  It is clear that there is bipartisan opposition to this measure. In 
fact, 88 amendments were offered. Only nine were accepted. No 
Republicans from the gulf coast region had an accepted amendment, and 
only two Democrats from the region had amendments accepted. Only 14 
percent of the Democrat amendments offered were accepted, meaning a 
large, large portion were not; and only 4 percent of Republican 
amendments were accepted to even be voted on here today. That means 
that over 50 million American voices did not get their representation 
right here today because the amendments of more than 80 Members of 
Congress were ignored by this Democrat majority. There has got to be a 
better way, and maybe in about 6 months we will find out.
  Mr. RAHALL. Mr. Chairman, I am very happy to yield 2\1/2\ minutes at 
this point to the gentleman from Maryland, Mr. Elijah Cummings, the 
chairman of the Subcommittee on the Coast Guard of our Transportation 
and Infrastructure Committee, a gentleman who has been so instrumental 
in helping to bring this legislation to the floor.
  Mr. CUMMINGS. Thank you very much.
  I rise in strong support of the manager's amendment. I express strong 
support for the underlying text, including the extensive provisions 
authored by the Transportation Committee to correct regulatory failures 
that contributed to the Deepwater Horizon accident and to strengthen 
the role of the Coast Guard in oil spill response planning and safety 
management.
  The manager's amendment includes a number of provisions that improve 
the underlying text. For example, it imposes civil penalties on chief 
executive officers who certify information that misrepresents a 
company's ability to respond to or contain an oil spill. BP wrote in 
its exploration plan for the Mississippi Canyon 252 site that ``in the 
event of an anticipated blowout resulting in an oil spill, it is 
unlikely to have an impact based on the industry-wide standards for 
using proven equipment and technology for such responses, 
implementation of BP's Regional Oil Spill Response Plan which address 
available equipment and personnel, techniques for containment and 
recovery and removal of oil spill.''
  Obviously that was a false statement. There were no proven equipment 
or technologies to respond to the kind of oil spill that occurred in 
the gulf.
  The manager's amendment also requires redundancy in accident and 
spill response plans, something critically needed, given our current 
lack of proven response equipment and technologies. Further, the 
amendment authorizes a study of economic, safety and environmental 
impacts of requiring a relief well to be drilled in tandem with the 
drilling of some or all wells.
  The manager's amendment clarifies the liability provisions in the Oil 
Pollution Act to protect claimants from signing broad liability 
releases. This will help protect the rights of those in the gulf who 
have been so devastated by the spill. The manager's amendment also 
includes a provision that I offered that would exempt discharges 
resulting from salvage activities from liability, consistent with the 
National Contingency Plan or as directed by the President.
  I applaud Chairman Rahall and I applaud Chairman Oberstar for their 
excellent work on the CLEAR Act, and I urge the adoption of the 
manager's amendment.
  Mr. HASTINGS of Washington. Mr. Chairman, I am pleased to yield 1 
minute to the gentleman from Texas (Mr. Gohmert), a member of the 
Natural Resources Committee.
  Mr. GOHMERT. Mr. Chair, you know, at a time when 42 cents out of 
every dollar we are spending, we are allocating here in this body is 
having to be borrowed and someday paid back by children and the 
children's children, some of whom may be watching right now, it is 
absolutely critical we do it right.
  Here we have got all of these amendments lumped into one so we can't 
debate them, and we can't take one thing out. That's not right. And 
when I heard my friend from West Virginia saying, There they go again, 
apologizing for BP, I will challenge anybody to find any comment by 
anybody on this side of the aisle in this debate today who has 
apologized for, to, or about BP. Some of us think they ought to be 
strung up when we find out who's most responsible.
  So I know my friend from West Virginia would never intentionally 
misrepresent the facts, but whoever prepared that statement that he 
read sure did.
  Mr. RAHALL. I yield 2 minutes to the gentleman from Florida (Mr. 
Boyd).
  Mr. BOYD. I thank Chairman Rahall for offering this manager's 
amendment and giving me time to speak.
  Mr. Chairman, in this manager's amendment, there's a provision that 
is very important to the folks in the district I represent in northwest 
Florida. Ladies and gentlemen, our local economy has been significantly 
impacted by the BP oil spill. Many of our people are out of work as a 
result of this man-made disaster that they had no hand in creating. 
Fortunately, we have been successful in setting up the BP Oil Spill 
Victims Compensation Fund which will help speed relief to the victims 
of this tragedy and help respond to one of the gulf coast's greatest 
needs.
  This amendment that is being offered by Chairman Rahall will ensure 
that gulf residents will have the right of first refusal for the job 
opportunities processing the claims filed for the oil spill.

                              {time}  1500

  It emphasizes the importance of gulf residents serving their 
neighbors by processing these claims and ensuring

[[Page 14885]]

that they receive the consideration for the ramifications of this 
spill.
  I have already spoken with Mr. Ken Feinberg, the administrator of the 
BP Deepwater Horizon Victims Fund, about employing local residents to 
process claims, and he agrees with me that there is no one better 
suited to perform this essential task. In fact, I told him that in 
north Florida we have a ready and willing workforce ready to go. These 
workers, who unfortunately are looking for work as a result of their 
corporations' closing their facility, have the skill and the talent 
that directly align with the skills needed to process oil spill claims. 
They should be considered first in line to beef up the newly 
established claims fund and ensure a high quality response for fellow 
gulf coast residents.
  I recommend a ``yes'' vote on the chairman's manager's amendment.
  Mr. HASTINGS of Washington. I reserve the balance of my time.
  Mr. RAHALL. I yield 2 minutes to the gentleman from California (Mr. 
Farr).
  Mr. FARR. Thank you, Chairman Rahall, for yielding.
  Mother Earth, wake up. Today's the day that Congress is going to show 
some leadership. Leadership is about getting results. And last week, 
the President of the United States enacted, by Executive order, a 
government oceans plan, a governance plan to look at our oceans in 
totality. Today, Congress is going to enact the ability to govern the 
oceans and to think about the totality of how this Earth survives with 
73 percent of the Earth being covered by oceans.
  Too bad that so many people get up and talk about, in a crisis, oh, 
if it was just a little bit better we could support half the bill, we 
could support a little bit of this, something's wrong. That's not 
leadership. Leadership's about getting results. And the only way you 
get results today is to vote ``aye.'' It solves a lot of problems. 
Voting ``no'' solves nothing. Nothing. The planet can't stand nothing.
  For too long there has not been leadership. That side is the side 
that gave us James Watt, ``Drill, baby drill,'' gave us Richard Pombo, 
chair of the Resources Committee, the Darth Vader of environmental 
legislation. Nothing ever came out of that committee. And today what do 
they want? We don't want this bill because it's not perfect.
  Ladies and gentlemen, today's the day that we respect Mother Earth 
and give her a chance to help our dying oceans stop dying. And the only 
way to do that is to vote ``aye.''
  Mr. RAHALL. Madam Chair, I yield the remainder of my time to the 
gentleman from Massachusetts (Mr. Markey), who has been so instrumental 
in this legislation as well on this issue.
  The Acting CHAIR (Ms. Jackson Lee of Texas). The gentleman from 
Massachusetts is recognized for 2 minutes.
  Mr. MARKEY of Massachusetts. I thank Mr. Rahall for his great 
leadership working with Chairman Waxman and Chairman Stupak and I on 
the Energy and Commerce Committee to include new safety procedures.
  This bill takes lessons learned and will turn them into laws. That's 
what we need to do. Included in this bill is a provision which is going 
to collect $53 billion from the oil industry, where they are drilling 
in American waters without paying any royalties to the American people. 
And in this bill we reclaim those $53 billion from the oil companies, 
and we will reduce the Federal deficit by $53 billion. That's in this 
bill. And it is going to be the dues which the oil companies should be 
paying to the American people for using American waters.
  At $80 a barrel, for the American people to be subsidizing Big Oil to 
drill, it would be like subsidizing a fish to swim or a bird to fly, to 
subsidize the oil industry to drill for oil at $80 a barrel. You just 
don't have to do it.
  So with this bill we cut the deficit and we stop Big Oil from cutting 
corners on safety. This is BP's spill, but it is America's ocean. 
That's what this bill is all about. That's what this vote is on today. 
Are we going to reclaim the oceans of America so that they are not 
polluted, so that BP and the oil companies pay the royalties that they 
owe to our people and not avoid them, that we reduce the Federal 
deficit and we make sure that we never again see a day where the 
American people for 100 days have to watch oil flow into our oceans?
  Vote ``aye'' on this very important legislation.
  Mr. HASTINGS of Washington. I yield myself the balance of my time.
  The Acting CHAIR. The gentleman is recognized for 5 minutes.
  Mr. HASTINGS of Washington. Madam Chairman, the last speaker made an 
interesting point when he was talking about the oceans and how this 
bill is going to save the oceans. I don't think there is anybody in 
this body that doesn't want to make sure that our oceans are in a 
healthy, robust way. But it begs the question why are there 
restrictions, if this is an oceans bill, and if it's a gulf oil bill, 
why does this bill deal with onshore oil and gas regulation and 
restrictions? That question, honestly, has not come up once in the 
debate even though that reference has been made many times by Members 
on this side of the aisle.
  This amendment, of course, is on the manager's amendment. As I 
mentioned, it is 17 Democrat amendments and one Republican amendment. 
There may be some good things involved with this amendment. In fact, 
there are. But why is there always this tendency to throw so much more 
into these amendments when many of the subjects that are covered in 
them have not been fully vetted throughout the committee process? 
That's the concern. And it's a pattern that we see over and over and 
over again. And frankly, it's a pattern that I think the American 
people see and respond to when asked about how they feel this body is 
in a favorable or unfavorable way. Because this body has very low 
favorable ratings. I think this is part--not the only thing--but this 
is certainly part of that.
  So I urge my colleagues to vote against the manager's amendment. I am 
certainly going to ask them to vote against the underlying bill because 
the underlying bill, while it's purported to be in response to the gulf 
oil spill, we saw it was expanded just a moment ago, at least in 
remarks by the gentleman from Massachusetts, to all of the oceans. In 
fact, the gentleman from California said the same thing come to think 
of it.
  But yet what this bill really is all about, when you look at the 
substance and how it affects the American people, is another gigantic 
tax increase, and an addition of mandatory spending on top of the 
mandatory spending we have within our government right now. We all 
know, all of us in this body knows that the mandatory spending in this 
Congress and our Federal Government is unsustainable over time. And yet 
here we are, albeit on a small level, adding to mandatory spending.
  I urge my colleagues to oppose the Rahall amendment and the 
underlying bill.
  Ms. JACKSON LEE of Texas. Mr. Chair, I rise in support of the 
manager's amendment to H.R. 3534, ``The Consolidated Land, Energy and 
Aquatic Resources (CLEAR) Act.'' The manager's amendment provides a 
number of provisions that will ensure that there is greater chance of 
preventing an incident such as the April 30, 2010 Deepwater Horizon 
explosion and oil spill.
  The Manager's amendment includes my amendment which requires 
redundancy in accident and spill response plans as part of the 
permitting process under the Outer Continental Shelf Lands Act.
  Specifically, my amendment will require that businesses applying for 
permits to drill and produce crude oil in the Gulf of Mexico submit 
detailed spill mitigation and recovery plans as part of the permitting 
process. Not only must they have recovery plans, but they will be 
required to have backup plans, in case their first response fails. 
Additionally, those plans must be vetted by impartial experts, rather 
than rubber-stamped by insufficiently vigilant regulators. With this 
additional layer of response planning, there is a better chance that we 
will be better prepared to respond to future incidents like the Gulf 
oil spill.
  The Manager's amendment also includes provisions that do the 
following:
  Clarifies that the Secretary of the Interior may enter into 
cooperative education and training agreements with safety training 
firms in establishing the National Oil and Gas Health and Safety 
Academy.
  Clarifies that the Secretary is permitted to consult with industry 
representatives regarding

[[Page 14886]]

training program curricula, but is not authorized to utilize industry 
representatives as instructional personnel for the trainings.
  Imposes civil penalties on CEO's who certify to false information 
about a company's capability to prevent or contain an oil spill.
  Establishes a Citizen's Advisory Committee composed of non-energy 
industry individuals to assist the Gulf Coast Restoration Task Force in 
its work.
  Clarifies that the Regional Assessment and Regional Strategic Plan 
created by the Great Lakes Regional Coordination Council shall include 
only renewable and not non-renewable energy resources.
  Ensures that Gulf residents would have the right of first refusal for 
processing the claims filed due to the oil spill.
  Replaces the requirement for dispersant manufacturers to disclose 
their product's chemical formula with a requirement to disclose 
dispersant products' ingredients.
  Provides that discharges resulting from salvage activities consistent 
with the National Contingency Plan or as directed by the President are 
exempt from liability under the Federal Water Pollution Control Act.
  Authorizes a study of the economic, safety, and environmental impacts 
of requiring a relief well be drilled in tandem with the drilling of 
some or all wells.
  Requires the GAO to complete a study to determine whether the reforms 
to the Department of the Interior mandated in this legislation have 
increased oversight and decreased conflicts of interest within the 
department.
  Includes in the Environmental Study an analysis of the cumulative 
impact of drilling on the Outer Continental Shelf.
  Requires oil and gas companies to pay royalties on all oil that is 
discharged from a well, including spilled oil.
  Directs GAO to study the impact of assessing a fee on the processing 
of oil and gas leases and using the proceeds to fund the gathering of 
baseline environmental data necessary for the permitting process.
  Directs the Secretary of the Interior to arrange with the National 
Academy of Engineering to study and report to the Secretary regarding 
whether the accuracy of collection of royalties on production of oil, 
condensate, and natural gas under leases of federal lands would be 
improved by implementing certain prescribed measures; and
  Amends the liability provisions in the Oil Pollution Act to protect 
claimants from signing broad liability releases, and to clarify that 
the new cause of action under OPA for damages to human health does not 
supersede remedies under other federal law.
  Mr. Chair, I support this manager's amendment which includes my 
amendment that will require redundancy in accident and spill response 
plans as part of the permitting process under the Outer Continental 
Shelf Lands Act. I urge my colleagues to support this amendment.
  Mr. HASTINGS of Washington. I yield back the balance of my time.
  The CHAIR. The question is on the amendment offered by the gentleman 
from West Virginia (Mr. Rahall).
  The question was taken; and the Chair announced that the ayes 
appeared to have it.
  Mr. HASTINGS of Washington. Mr. Chairman, I demand a recorded vote.
  The CHAIR. Pursuant to clause 6 of rule XVIII, further proceedings on 
the amendment offered by the gentleman from West Virginia will be 
postponed.


                 Amendment No. 2 Offered by Mr. Castle

  The CHAIR. It is now in order to consider amendment No. 2 printed in 
part B of House Report 111-582.
  Mr. CASTLE. Mr. Chairman, I seek recognition to present amendment No. 
2.
  The CHAIR. The Clerk will designate the amendment.
  The text of the amendment is as follows:

       At the end of title I add the following new section:

     SEC. __. LIMITATION ON EFFECT ON DEVELOPMENT OF OCEAN 
                   RENEWABLE ENERGY RESOURCE FACILITIES.

       Nothing in this title shall delay development of ocean 
     renewable energy resource facilities including--
       (1) promotion of offshore wind development;
       (2) planning, leasing, licensing, and fee and royalty 
     collection for such development of ocean renewable energy 
     resource facilities; and
       (3) developing and administering an efficient leasing and 
     licensing process for ocean renewable energy resource 
     facilities.

  The CHAIR. Pursuant to House Resolution 1574, the gentleman from 
Delaware (Mr. Castle) and a Member opposed each will control 5 minutes.
  The Chair recognizes the gentleman from Delaware.
  Mr. CASTLE. I yield myself such time as I may consume.
  I rise today to urge support for amendment No. 2 to the CLEAR Act, 
which will help ensure that there is no delay in the development of 
ocean renewable energy resources, including offshore wind, under the 
MMS reorganization called for under title I.
  The actions to reform MMS following the devastating oil spill are 
necessary and commendable.

                              {time}  1510

  While the new bureaus and office are focused on the critical task of 
transforming the agency into a more effective, transparent agency, this 
will require significant organizational and cultural alterations. Under 
this restructuring, it would be a great disappointment to lose ground 
in our efforts to prepare a workable comprehensive offshore energy plan 
for our Nation.
  If we are serious about advancing new clean sources of power, which I 
sincerely hope we are, an important goal of the MMS reorganization must 
continue to facilitate, not hinder, the development of offshore 
renewable energy development in the waters of the United States.
  For offshore renewable energy projects already underway, like the 
wind project off the coast of Delaware, progress must continue. While I 
continue to believe there is value in establishing a separate office 
for ocean renewable energy development, which we can perhaps continue 
to work on in our discussions with the Senate, this amendment would, at 
a minimum, ensure appropriate attention is paid to advancing ocean 
renewable energy development and protecting against bottlenecks that 
could result in unnecessary delays.
  Offshore wind farms alone present a significant and rapidly growing 
source of emissions-free electrical power for our constituents. And 
recent Department of the Interior-U.S. Department of Energy reports 
confirm that winds off the coast of the United States are a promising 
source of clean, renewable electrical power.
  My amendment is simple and calls attention to the need to ensure that 
targeted efforts to support offshore wind and renewable energy 
development continue without delay. I hope my colleagues on both sides 
of the aisle will support its adoption.
  Mr. RAHALL. Will the gentleman yield?
  Mr. CASTLE. I yield to the gentleman from West Virginia.
  Mr. RAHALL. We are prepared to accept the gentleman from Delaware's 
amendment on this act and commend him for bringing it to us.
  Mr. HASTINGS of Washington. Will the gentleman yield?
  Mr. CASTLE. I yield to the gentleman from Washington.
  Mr. HASTINGS of Washington. We are more than happy to accept it on 
our side.
  Mr. CASTLE. I yield back the balance of my time.
  The CHAIR. The question is on the amendment offered by the gentleman 
from Delaware (Mr. Castle).
  The amendment was agreed to.


                  Amendment No. 3 Offered by Mr. Kind

  The CHAIR. It is now in order to consider amendment No. 3 printed in 
part B of House Report 111-582.
  Mr. KIND. I have an amendment at the desk.
  The CHAIR. The Clerk will designate the amendment.
  The text of the amendment is as follows:

       Page 127, line 6, strike the closing quotation marks and 
     the final period.
       Page 127, after line 6, insert the following:
       ``(c) Recreational Access Funding.--Notwithstanding 
     subsection (b), not less than 1.5 percent of the amounts made 
     available under subsection (a) for each fiscal year shall be 
     made available for projects that secure recreational public 
     access to Federal land under the jurisdiction of the 
     Secretary of the Interior for hunting, fishing, and other 
     recreational purposes through easements, rights-of-way, or 
     fee title acquisitions, from willing sellers.''.

  The CHAIR. Pursuant to House Resolution 1574, the gentleman from 
Wisconsin (Mr. Kind) and a Member opposed each will control 5 minutes.

[[Page 14887]]

  The Chair recognizes the gentleman from Wisconsin.
  Mr. KIND. I yield myself 1 minute.
  This is a very simple amendment. One of the strengths of the CLEAR 
Act is that it asks public companies that are extracting resources from 
our public lands to contribute to a fund, a fund called the Land and 
Water Conservation Fund that was established in the mid-1960s to help 
preserve and conserve the vital natural resources that we have 
throughout the United States. But the problem is that so much of the 
public lands that are available are inaccessible. They're not 
accessible for the hunters, the fisherman, the outdoor recreationists, 
those who enjoy shooting sports to gain access to the lands.
  In fact, a recent study showed that close to 35 million acres that 
currently exist in public lands are inaccessible to hunters and 
fishermen throughout the country. This amendment would direct just 1\1/
2\ percent out of the Land and Water Conservation Fund that would be 
used in order to purchase easements or right-of-ways from willing, 
voluntary sellers so that the hunters and fishermen have access to 
these public lands.
  The inaccessibility is one of the contributing causes of why so many 
people are not hunting or not involved in shooting sports. This 
amendment would go a long way to addressing that, and it's consistent 
with the underlying philosophy of the Land and Water Conservation Fund. 
I'd ask my colleagues to support it.
  I reserve the balance of my time.
  Mr. HASTINGS of Washington. Mr. Chairman, I ask unanimous consent to 
claim the time in opposition, though I'm not opposed to the amendment.
  The CHAIR. Without objection, the gentleman is recognized for 5 
minutes.
  There was no objection.
  Mr. HASTINGS of Washington. I yield myself such time as I may 
consume.
  Mr. Chairman, our main purpose here today is supposed to be, as I've 
said several times, to be addressing the gulf oil spill and ensuring 
that offshore drilling is the safest in the world. Unfortunately, as I 
have mentioned again many times, the Democrats have used this vehicle 
to put extraneous material on this particular bill.
  One of the most glaring unrelated items that I had mentioned several 
times, also, is the $30 billion in new mandatory spending. An oil spill 
is not an excuse to spend more money, especially when the money is 
going towards provisions that are completely unrelated to the gulf oil 
spill. Regardless of your views of the Land and Water Conservation Fund 
and the Historic Preservation Fund--and I know I would probably 
disagree if it were my friend from Wisconsin on that--everyone should 
agree that that bill has no business being here in this particular 
bill.
  However, I fully support our Nation's sportsmen and would like to see 
more of our public land open for a variety of purposes such as hunting, 
fishing, recreation, and economic development. Given that the Democrat 
majority and the Obama administration continually are looking for ways 
to lock up our land and block public access, it's encouraging to me to 
see some of my colleagues across the aisle supporting increased access, 
and I thank the gentleman for that. I hope that we will work with this 
in the future to ensure that all Americans, including sportsmen, have 
greater access to public lands.
  However, as I had mentioned, this bill is not the appropriate vehicle 
to address this issue. I think we can do it in a much more ordered way 
if we take this up on its own, because there is some merit to the 
gentleman's proposal. But I will not stand in the way of this 
amendment.
  I yield back the balance of my time.
  Mr. KIND. Mr. Chairman, at this time, I would like to yield 1 minute 
to a very strong supporter of the hunting and fishing community, the 
gentleman from Maryland (Mr. Kratovil).
  Mr. KRATOVIL. Thank you, Mr. Kind, for your leadership on this 
amendment.
  I rise in strong support of the amendment so that we can increase, as 
was said, access to federally protected lands for hunters and anglers 
through the Land and Water Conservation Fund. Our amendment will simply 
refocus a very small portion of the Land and Water Conservation Fund to 
enhance access to existing public lands, specifically for easements or 
right-of-ways that open access to Federal land which is currently 
inaccessible or significantly restricted.
  Specifically, the amendment directs the Secretary to dedicate no less 
than 1.5 percent of the funds to increase recreational public access to 
existing lands for hunting, fishing, or other recreational purposes. 
Our amendment stays very true to the very intent of the fund, which is 
stated in the statute, to assist in preserving, developing, and 
assuring accessibility to outdoor recreation resources.
  I urge my colleagues to support the amendment on behalf of the 
sportsmen and -women throughout the country and communities that rely 
on these activities to generate and create jobs.
  Mr. KIND. Mr. Chairman, at this time I would like to yield 1 minute 
to a real champion of recreational sportsmen and -women throughout the 
country, the gentleman from New Mexico (Mr. Heinrich).
  Mr. HEINRICH. Mr. Chairman, as an avid hunter and sportsman, I am 
very proud to cosponsor this recreational access funding amendment. Too 
many families, sportsmen, outdoor enthusiasts across our Nation 
continue to be locked out of public lands because of lack of legal 
access. New Mexico's Sabinoso Wilderness is an example. I've personally 
spent hours on horseback riding through Sabinoso's high mesas and deep 
canyons.
  But without permission from adjacent private landowners, which 
usually requires an escort from the Bureau of Land Management, legal 
access to the Sabinoso is not available.
  This amendment would dedicate a small percentage of the Land and 
Water Conservation Fund to acquire those rights-of-way for the public 
from willing sellers. Public lands like the Sabinoso belong to every 
American, and this amendment will help ensure that future generations 
of Americans can hunt and fish, hike and camp on these lands.
  I urge my colleagues to support this amendment and to support the 
underlying legislation.
  Mr. KIND. Mr. Chairman, I yield 1 minute to a champion of outdoor 
recreationists throughout the country and in the State of Nevada, the 
gentlelady from Nevada (Ms. Titus).
  Ms. TITUS. Mr. Chairman, I rise in strong support of this amendment 
to enhance access to public lands by acquiring right-of-ways from 
willing sellers.
  The Federal Government owns more than 85 percent of the land in my 
State of Nevada, which includes some of the most spectacular landscapes 
in the Nation. Outdoor recreation supports nearly 20,000 jobs in 
Nevada, and it generates $116 million in annual State taxes. By 
increasing public access to these Federal lands for hunting, fishing, 
camping, hiking, and other recreational purposes, we would be doing 
something that would not only help our economy but would be welcomed by 
enthusiasts throughout the State.
  Mr. KIND. At this time, I would like to yield 1 minute to the 
gentleman from Virginia, a champion for hunting and fishermen in 
Virginia and throughout the country, Mr. Perriello.

                              {time}  1520

  Mr. PERRIELLO. I rise in strong support of this amendment to give 1.5 
percent in the Land and Water Conservation Fund for recreational public 
access, including hunting and fishing. Thirteen million hunters in the 
United States generate $67 billion in economic activity every year and 
account for 1 million jobs. But beyond the dollars and cents, this is 
about a way of life, about heritage, and about time with families spent 
together.
  So for our sportsmen, it's not enough just to ensure their rights, 
but to ensure there's a place to exercise those rights; and this is a 
huge step forward to make sure that those recreational activities have 
a place for us across the United States.
  Mr. KIND. Mr. Chairman, I yield 15 seconds to the chairman of the 
Natural Resources Committee, Mr. Rahall.

[[Page 14888]]


  Mr. RAHALL. Mr. Chairman, I thank the gentleman from Wisconsin for 
yielding and certainly support his amendment. I commend him for his 
leadership and for his efforts and discussions that have been held long 
and on many occasions in regard to his amendment and support his bill.
  Mr. KIND. I yield myself the remainder of the time.
  Mr. Chairman, I also want to thank, who wrote a letter in support of 
this amendment, the American Wildlife Conservation Partners. It's a 
group of 45 outdoor recreational organizations from hunting to fishing 
to shooting sports to conservation groups throughout the country. They 
see the value of increased access to our public lands.
  But, Mr. Chairman, this is also an amendment about jobs because 
outdoor recreation, hunting, fishing, shooting sports, they contribute 
over $730 billion to the national economy every year. They support 6.5 
million jobs. Almost one of every 20 jobs is associated with some 
outdoor recreational activity. And they stimulate close to 8 to 9 
percent of all consumer spending in this country. So increasing access 
so more people have the opportunity to get to the public lands to do 
this is going to create jobs and strengthen our economy.
  I encourage my colleagues to support the amendment.
  The CHAIR. The question is on the amendment offered by the gentleman 
from Wisconsin (Mr. Kind).
  The question was taken; and the Chair announced that the ayes 
appeared to have it.
  Mr. KIND. Mr. Chairman, I demand a recorded vote.
  The CHAIR. Pursuant to clause 6 of rule XVIII, further proceedings on 
the amendment offered by the gentleman from Wisconsin will be 
postponed.


                       Amendment No. 4 Offered by
                            Ms. Shea-Porter

  The CHAIR. It is now in order to consider amendment No. 4 printed in 
part B of House Report 111-582.
  Ms. SHEA-PORTER. I have an amendment at the desk.
  The CHAIR. The Clerk will designate the amendment.
  The text of the amendment is as follows:

       Page 28, line 16, insert at the end the following new 
     sentence: ``The Secretary shall update the supplementary 
     ethics guidance not less than once every three years 
     thereafter.''.
       Page 78, strike line 16, and insert the following:
       ``(D) oil spill response and mitigation, including reviews 
     of the best available technology for oil spill response and 
     mitigation and the availability and accessibility of such 
     technology in each region where leasing is taking place;''''.
       Page 82, line 18, strike ``and''.
       Page 82, line 23, strike the period and insert ``; and''.
       Page 82, after line 23, add the following:
       ``(F) updated the operator's response plan required under 
     section 25(c)(7) and exploration plans required under section 
     11(c)(3) to reflect the best available technology, including 
     the availability of such technology.

  The CHAIR. Pursuant to House Resolution 1574, the gentlewoman from 
New Hampshire (Ms. Shea-Porter) and a Member opposed each will control 
5 minutes.
  The Chair recognizes the gentlewoman from New Hampshire.
  Ms. SHEA-PORTER. First, I would like to thank Chairman Rahall and his 
staff for this very good piece of legislation before us today. It is a 
product of months of hard work. I believe it is a transformative bill 
that will go a long way to ensuring responsible energy development and 
better environmental protection.
  The tragedy in the Gulf of Mexico has reminded us of what can happen 
if we are not vigilant and constantly improving our safety and 
environmental protection. It has also reminded us that when we put our 
lands and oceans at risk for energy development in one area, we should 
be putting land aside and protecting it in another area.
  The underlying bill makes good on a promise to fully fund the Land 
and Water Conservation Fund. That program has protected more than 5 
million acres of land across this country. Fully funding LWCF is long 
overdue, and I thank the chairman for his leadership on this issue.
  Mr. Chair, among other things, the bill before us makes needed 
improvements to the way that our offshore energy leasing is carried 
out. During my time on the Natural Resources Committee, I have been 
particularly troubled by the reports of unethical behavior at the 
government agency that was previously overseeing energy leasing. That 
outrageous conduct must never be allowed to happen again in any agency. 
This bill puts in place strong ethics requirements and training. My 
amendment take this a step further by requiring that the ethics 
guidelines developed by the Interior Secretary be updated every 3 
years.
  Mr. Chair, another lesson we've learned over the past 3 years is that 
oil companies do not necessarily use the best available technology and 
that they are not fully prepared for a spill. Immediately after the 
spill, BP turned to solutions that had been around for 20 years, 
solutions from the Exxon Valdez disaster. It was painfully clear that 
they had not spent time or money to develop new technologies to clean 
up a spill. The bill before us creates an offshore technology research 
and risk assessment program to conduct research and development of new 
drilling and spill response technologies. My amendment adds language to 
ensure that we study the best available spill response technology and 
its availability in regions where drilling is taking place. This is to 
make certain that we have in place the best technology and equipment 
needed to respond when there is an accident.
  Finally, Mr. Chair, it's also critical that this new technology we're 
developing be integrated into exploration and response plans. My 
amendment requires companies to certify as part of their annual 
certification for offshore drilling that those plans include the best 
available technology. When the BP executives testified before the 
Natural Resources Committee, it was clear to me they were more 
concerned with cutting corners and shaving costs than making sure they 
had the safest operation with the best technology. Requiring these 
companies to take into account the best available technology and its 
availability just makes sense.
  Again, Mr. Chair, this is a very strong bill we are considering 
today, and I thank Chairman Rahall for all his hard work. I urge my 
colleagues to support this amendment and the underlying bill.
  I reserve the balance of my time.
  Mr. LAMBORN. Mr. Chairman, I ask unanimous consent to claim time in 
opposition to the amendment, although I do not intend to oppose it.
  The Acting CHAIR (Mr. Obey). Without objection, the gentleman from 
Colorado is recognized for 5 minutes.
  There was no objection.
  Mr. LAMBORN. I yield myself such time as I may consume.
  Mr. Chairman, updating the supplemental guidelines on ethics every 3 
years will help the Department of the Interior keep current with new 
issues as they arise and will focus the government employees' attention 
on appropriate ethical behavior as they deal with the private sector.
  The Horizon disaster has focused everyone's attention on the lack of 
any contingency plan that could be implemented expeditiously to address 
a blowout in deepwater conditions. We basically watched a 3-month 
ongoing experiment with various devices being fabricated to cap the 
well or capture the oil as it's spewing out. We also found out that we 
didn't have enough boom in place to protect the shoreline and that new 
boom had to be manufactured to meet the requirements in the State oil 
spill response plans. And we discovered that some of the plans 
underestimated how much boom might be required to protect the shoreline 
from a major spill.
  Using the best available technology is crucial in keeping the 
public's trust going forward with offshore oil and gas development. 
Both Republicans and Democrats have broad agreement on the need to 
protect and improve offshore production safety and environmental 
protection. This amendment is an example of our agreement, and I urge 
my colleagues to support it.
  What I don't agree with is going beyond the gulf to encompass all 
energy production in the entire United States

[[Page 14889]]

in order to raise energy taxes by $22 billion. Raising energy taxes in 
a recession will kill jobs.
  Mr. Chairman, I reserve the balance of my time.
  Ms. SHEA-PORTER. Mr. Chairman, I yield 1 minute to the gentleman from 
New York (Mr. Hall), a leading environmentalist.
  Mr. HALL of New York. Mr. Chairman, I thank the gentlelady and the 
chairman.
  I rise today in support of this amendment, as well as the underlying 
bill.
  The Deepwater Horizon explosion on April 20 cost our Nation tens of 
billions of dollars in economic damages and caused widespread 
devastation of our natural resources. It did not have to happen. This 
was a disaster that was preventable.
  Over the last few months, we have learned that BP consistently made 
choices to sacrifice safety for profit. They testified that they did 
not use vital safety technology like acoustic sensing devices because 
U.S. law did not require it. It is time for us to change that.
  I recently introduced legislation to require oil companies to use the 
best available technology, and I'm proud to support this amendment 
which also requires oil companies to include the best available 
technology in their exploration and spill response plans.
  Mr. Chairman, the cost of using state-of-the-art technology is much 
less than the cost of cleanup and the tragic loss of life.
  I urge my colleagues to support this amendment and the underlying 
bill.
  Mr. LAMBORN. I continue to reserve the balance of my time.
  Ms. SHEA-PORTER. I yield 1 minute to the chairman, Mr. Rahall.

                              {time}  1530

  Mr. RAHALL. I thank the gentlelady for yielding, and I certainly do 
support her amendment. I commend her for her leadership on our 
Committee on Natural Resources in helping to develop this legislation. 
It is a commonsense amendment that deserves the support of every Member 
of this body, and it certainly makes the bill better. I appreciate her 
effort.
  Mr. LAMBORN. Mr. Chairman, I yield back the balance of my time.
  Ms. SHEA-PORTER. Mr. Chair, again I urge my colleagues to support 
this amendment and the bill, and I yield back the balance of my time.
  The Acting CHAIR (Mr. Obey). The question is on the amendment offered 
by the gentlewoman from New Hampshire (Ms. Shea-Porter).
  The amendment was agreed to.


                 Amendment No. 5 Offered by Mr. Teague

  The Acting CHAIR. It is now in order to consider amendment No. 5 
printed in part B of House Report 111-582.
  Mr. TEAGUE. Mr. Chairman, I have an amendment at the desk.
  The Acting CHAIR. The Clerk will designate the amendment.
  The text of the amendment is as follows:

       Page 167, line 2, strike ``and''.
       Page 167, after line 2, insert the following:
       (2) in subsection (e) by striking ``self-insurer,'' and 
     inserting ``self-insurer, participation in cooperative 
     arrangements such as pooling or joint insurance,''; and
       Page 167, line 3, strike ``(2)'' and insert ``(3)''.

  The Acting CHAIR. Pursuant to House Resolution 1574, the gentleman 
from New Mexico (Mr. Teague) and a Member opposed each will control 5 
minutes.
  The Chair recognizes the gentleman from New Mexico.
  Mr. TEAGUE. Mr. Chairman, I rise today to offer a simple but 
important amendment.
  My amendment would add another means by which facilities may 
demonstrate compliance with the financial responsibility provisions of 
the Oil Pollution Act of 1990.
  The amendment enables two or more companies to meet individual 
financial responsibility requirements by pooling resources or obtaining 
joint insurance coverage. Such arrangements would avoid redundant 
coverage, reduce insurance costs, and enhance access to insurance.
  In the event of a liability incident, any party to such an 
arrangement would have access to the full coverage amount. Provisions 
would be made in a joint insurance plan for automatic reinstatement, by 
the parties, of the original coverage amount.
  This amendment does not substitute or change current provisions for 
meeting financial responsibility. Rather, it simply adds another method 
for meeting financial responsibility requirements. There is no 
reduction in protection of the public interest, and no reduction in 
protection for the environment.
  Mr. Chairman, ever since I arrived in Congress, I made it my mission 
to fight for the little guys--the companies whose names you don't see 
in television commercials, but that provide jobs for millions of 
Americans and produce so much of our Nation's domestic energy. You find 
a lot of those companies around my hometown of Hobbs, New Mexico, and 
you find a lot of those hardworking companies operating in the Gulf of 
Mexico.
  Having independent oil and gas producers providing American energy in 
the Gulf of Mexico is critical to moving away from foreign oil. The big 
oil companies are generally interested in producing only the biggest 
plays with the biggest potential payoffs. It's the independent 
companies that are going in and producing American energy that would 
not get produced otherwise.
  According to a recent report, independent oil and natural gas 
companies currently account for about half of the nearly 400,000 jobs 
and $20 billion in Federal, State and local revenues generated by the 
industry in 2009.
  This amendment simply allows smaller independent companies the 
flexibility they need to meet financial responsibility requirements. I 
ask for broad, bipartisan support of this amendment.
  Mr. Chairman, I reserve the balance of my time.
  Mr. LAMBORN. Mr. Chairman, I ask unanimous consent to claim time in 
opposition to this amendment, although I don't intend to oppose it.
  The CHAIR. Without objection, the gentleman from Colorado is 
recognized for 5 minutes.
  There was no objection.
  Mr. LAMBORN. I yield myself such time as I may consume.
  Mr. Chairman, Republicans have no problem with this amendment. The 
fact that the bill will force small companies to now band together 
simply to meet threshold requirement activities in the offshore is a 
sad statement on the rest of the bill.
  Although this provision may help small companies meet their 
certificate of financial responsibility requirements, nothing in this 
amendment solves the liability problem and nothing in this amendment 
solves the $22 billion tax increase in this bill. Unlimited liability 
will cripple domestic production by removing all but the largest 
companies from offshore drilling. There should be reasonable liability, 
but unlimited or infinite liability goes too far. It will kill jobs. 
Republicans support this amendment, but it's simply like putting a 
Band-Aid on a broken leg. I suppose it doesn't hurt anything, but it 
doesn't cure the underlying problem; and it might even lull someone 
into thinking we're doing something.
  Anyone who votes for the Teague amendment and the underlying bill 
together is putting the people they are purporting to help out of 
business. The Teague amendment does absolutely nothing to cure 
unlimited liability.
  Mr. Chairman, I would now like to yield 1 minute to the gentleman 
from Maryland (Mr. Cummings).
  Mr. CUMMINGS. I thank the gentleman for yielding.
  I rise in support of the amendment. The underlying amendment in the 
nature of a substitute would raise from the current $150 million to 
$300 million the amount of financial responsibility that offshore 
facilities must demonstrate. This is a significant increase.
  I strongly believe that this increased level of financial 
responsibility is appropriate, given the risks associated with offshore 
energy production--risks that the Deepwater Horizon spill have made so 
clear.
  Importantly, however, the President can lower the amount of financial 
responsibility offshore facilities must

[[Page 14890]]

demonstrate if certain criteria are met, albeit the level for offshore 
facilities seaward of a State boundary cannot be below $105 million.
  I strongly support the amendment.
  Mr. TEAGUE. Mr. Chairman, I yield 2 minutes to the gentlewoman from 
Texas (Ms. Jackson Lee).
  Ms. JACKSON LEE of Texas. I thank the gentleman from New Mexico and I 
thank him for working together with me on this amendment and for his 
leadership. I offered a similar amendment and was very pleased to join 
this amendment as the Teague-Jackson Lee amendment. It is important to 
note that this is a fair amendment that does something. It really does 
do something for the small, independent companies. This amendment would 
allow the financial responsibility required to operate in the gulf to 
be pooled among companies working together. It means that we give them 
the opportunity because of the $300 million necessary COFR to be able 
to do business in the gulf and not go out of business. What it really 
means is preserving thousands of jobs.
  First of all, the U.S. independent operators in the gulf because of 
their operations, they have a major contribution to energy security and 
energy supply providing reasonably priced fuels for our families and 
economy. Eighty-one percent of oil producing in the gulf is in the 
independent leases and 46 percent of the gulf's producing deepwater 
leases as well. Independents have drilled 1,298 wells in the deepwater 
and safely. Independents operate an average of 70 percent of the 
farmed-out acreage that originally were in the hands of the majors over 
the past 10 years. Almost 3 billion barrels of oil equivalent in 
reserves that were originally found by the majors are now operated by 
independents; small companies that create a lot of jobs. This is an 
amendment that will allow them to work together, pool their resources, 
and do the right thing, not put the burden on the taxpayers.
  Let me also acknowledge that I am glad my requirement to have 
redundancies in actions and fuel resources plans was also included in 
the manager's amendment.
  I thank the gentleman from New Mexico for his leadership. It's my 
pleasure to be able to work with you for an amendment that is doing 
something, is helping the independents stay in business and create 
jobs, and it is helping them do the work that will allow for the 
American people to have quality oil for cheap prices.
  I rise to speak in support of the Teague/Jackson Lee Amendment to 
H.R. 3534, The Consolidated Land, Energy and Aquatic Resources (CLEAR 
Act). The Jackson Lee Amendment would allow the financial 
responsibility required to operate in the Gulf of Mexico to be pooled 
among the companies working together.
  With the potential of unlimited liability looming large over the 
smaller independent companies, this amendment will prevent small, 
independent oil companies from being driven out of business and out of 
the Gulf of Mexico. The problem with the current requirements for the 
Certificate of Oil Field Responsibility (COFR) is that smaller 
operators will be unable to establish the $300 million necessary COFR 
to even begin exploration and development. By allowing smaller 
companies--who frequently work together in joint ventures--to pool 
their resources for COFR purposes, we will prevent the Gulf from 
becoming the exclusive province of companies big enough to self-insure, 
and allow the small businesses of the Gulf Coast Community to continue 
to provide jobs and drive our economy.
  I urge my colleagues to vote for this amendment and vote for small 
businesses, saving jobs, and the American people.
  The CHAIR. The gentleman from New Mexico has 30 seconds remaining. 
The gentleman from Colorado has 2\1/2\ minutes remaining and has the 
right to close.
  Mr. TEAGUE. I have no further requests for time, and I yield back the 
balance of my time.
  Mr. LAMBORN. Mr. Chairman, I would just reiterate that we have no 
objection to this amendment. I wish it really accomplished something, 
because the deeper things that are problems in this bill are going to 
kill offshore production in large part; and we don't need to be killing 
jobs and raising taxes in the time of a recession.
  We have no objection to the amendment because it doesn't do any harm.
  I yield back the balance of my time.
  The CHAIR. The question is on the amendment offered by the gentleman 
from New Mexico (Mr. Teague).
  The question was taken; and the Chair announced that the ayes 
appeared to have it.
  Mr. CUMMINGS. Mr. Chairman, I demand a recorded vote.
  The CHAIR. Pursuant to clause 6 of rule XVIII, further proceedings on 
the amendment offered by the gentleman from New Mexico will be 
postponed.

                              {time}  1540


                Amendment No. 6 Offered by Mr. Oberstar

  The CHAIR. It is now in order to consider amendment No. 6 printed in 
part B of House Report 111-582.
  Mr. OBERSTAR. Mr. Chairman, as the designee of the gentleman from 
Connecticut (Mr. Himes), I offer amendment No. 6.
  The CHAIR. The Clerk will designate the amendment.
  The text of the amendment is as follows:

       Page 172, after line 8, insert the following:
       (e) Considerations of Trustees.--Section 1006(d) of such 
     Act (33 U.S.C. 2706(d)) is amended by adding at the end the 
     following:
       ``(4) Considerations of trustees.--
       ``(A) Equal and full consideration.--Trustees shall--
       ``(i) give equal and full consideration to restoration, 
     rehabilitation, replacement, and the acquisition of the 
     equivalent of the natural resources under their trusteeship; 
     and
       ``(ii) consider restoration, rehabilitation, replacement, 
     and the acquisition of the equivalent of the natural 
     resources under their trusteeship in a holistic ecosystem 
     context and using, where available, eco-regional or natural 
     resource plans.
       ``(B) Special rule on acquisition.--Acquisition shall only 
     be given full and equal consideration under subparagraph (A) 
     if it provides a substantially greater likelihood of 
     improving the resilience of the lost or damaged resource and 
     supports local ecological processes.''.
       Page 172, line 9, strike ``(e)'' and insert ``(f)''.

  The CHAIR. Pursuant to House Resolution 1574, the gentleman from 
Minnesota (Mr. Oberstar) and a Member opposed each will control 5 
minutes.
  The Chair recognizes the gentleman from Minnesota.
  Mr. OBERSTAR. Mr. Chairman, I yield myself 3 minutes.
  The amendment addresses two important issues on restoration of 
natural resources damaged as a result of release or threatened release 
of oil under OPA, the Oil Pollution Act.
  The first issue is acquisition of additional natural resources as 
part of a potential remedy for damages in instances where the existing 
resource cannot be or is unlikely to be successfully restored. In OPA, 
section 1006, provides that damages to natural resources can be 
addressed either through restoration, rehabilitation, replacement or 
acquisition of equivalent resources, where other measures are unlikely 
or impossible to be implemented.
  The Himes amendment, which I offer on his behalf, emphasizes that 
acquisition of a natural equivalent resource can be an acceptable 
alternative to restoration or rehabilitation. Consistent with current 
law, the acquisition of an equivalent natural resource should be used 
only when restoration is likely to be unsuccessful or the acquisition 
provides a substantially greater likelihood of improving resilience of 
the lost or damaged resource and supports local ecological processes.
  The second part of the amendment will ensure that natural resource 
damage assessments and implementation emphasize restoring the entire 
damaged ecosystem rather than dealing simply with specific, discrete 
segments thereof. The gulf coast is such a unique resource with 
countless species of fish, shellfish, marine life, wildlife, all 
integrated, and it really needs to be treated as an overall cohesive 
ecosystem.
  This amendment addresses two important issues related to the 
restoration of any natural resources damaged as a result of the release 
or threatened of oil under the Oil Pollution Act, OPA.
  The first issue deals with the acquisition of additional natural 
resources as part of a potential remedy for damages, in those instances 
where the existing resource cannot, or is unlikely to be, successfully 
restored. Section 1006 of OPA provides that damages to natural 
resources can be addressed either through

[[Page 14891]]

restoration, rehabilitation, replacement, or the acquisition of the 
equivalent resources where other measures are unlikely or impossible to 
be successfully implemented.
  The Himes amendment emphasizes that acquisition of an equivalent 
natural resource can be an acceptable alternative to restoration or 
rehabilitation; however, consistent with current law, the acquisition 
of an equivalent natural resource should be utilized only when 
restoration or rehabilitation of the existing, damaged resource is 
likely to be unsuccessful, and the acquisition provides a 
``substantially greater likelihood of improving the resilience of the 
lost or damaged resource and supports local ecological processes.''
  The second portion of the Himes amendment will ensure that natural 
resource damage assessments and implementation emphasize restoring the 
entire damage ecosystem, rather than dealing with individual, specific 
locations. The Gulf of Mexico is unique in that it serves as a focal 
point for countless species of fish, shellfish, marine life, and 
wildlife.
  The Gulf of Mexico coastal area contains more than half of the 
coastal wetlands within the lower 48 states, as well as numerous 
recreational opportunities in the States of Texas, Louisiana, 
Mississippi, Alabama, and Florida. According to the National Oceanic 
and Atmospheric Administration, NOAA, 97 percent of the commercial fish 
and shellfish landings come from the Gulf, and depend on the estuaries 
and their wetlands at some point in their life cycle. The Gulf also 
serves as vital habitat to many species of breeding, wintering, and 
migrating waterfowl, songbirds, and other marine mammals and reptiles. 
According to the U.S. Fish and Wildlife Service, the Gulf supports a 
``disproportionately high number of beach-nesting bird species'' that 
rely on the beaches, barrier islands, and similar habitats as part of 
their annual breeding cycle.
  I applaud the gentleman's amendment because it stresses the 
importance of addressing damaged natural resources in a holistic 
ecosystem approach. I urge my colleagues to support this amendment.
  I reserve the balance of my time.
  Mr. HASTINGS of Washington. Mr. Chairman, I rise in opposition to the 
amendment.
  The CHAIR. The gentleman is recognized for 5 minutes.
  Mr. HASTINGS of Washington. Mr. Chairman, I yield myself 3 minutes.
  Mr. Chairman, let's be pretty specific on what this particular fund 
is all about, and I will explain why I think it is a very, very bad 
idea.
  The fundamental goal of the Natural Resources Damages Act, that's the 
fund we are talking about, is to ensure the protection and restoration 
of all resources on Federal lands, water and land. This includes 
restoration of damages caused by fires, invasive species, oil spills, 
ship groundings and vandalism.
  What this amendment attempts to do is to shift funds from the 
restoration of our national parks and national wildlife refuges to the 
purchase of nonimpacted land.
  Now, Mr. Chairman, I just find this amendment ironic. Since the 
legislation, the underlying legislation that we are debating, already 
mandates--let me emphasize that, Mr. Chairman, mandates--up to $30 
billion, with a ``B,'' dollars to spend on land acquisition for the 
next 30 years, why do we need this amendment?
  Why, for goodness sakes, will we take a fund, the Natural Resources 
Damages Fund, if you will, and say, okay, now you can use that for land 
acquisition.
  Is $30 billion not enough? Is $30 billion not enough?
  Let me put it in a different way, Mr. Chairman. One of the issues 
that we have in our country with public lands is a maintenance backlog. 
This is analogous to maintenance backlog.
  We talk about we haven't got enough money to maintain our natural 
resources. In fact, that figure, last I heard it, was $9 billion. Here 
is a fund that is, in part, part of the restoration and one could say 
maintenance of our Federal lands, and we want to take money away from 
that and acquire more land.
  What is the goal here? Is the goal here to increase the $9 billion to 
10, 11? Who knows how high we can't maintain.
  Is there not enough? This amendment, in my view, ought to be 
defeated. It's not well intentioned at all. It has taken another 
tragedy, using the tragedy of the Gulf of Mexico and simply saying, 
aha, another opportunity to take a fund and buy more Federal land.
  This doesn't make any sense at all to me, Mr. Chairman. I urge my 
colleagues to vote ``no.''
  I reserve the balance of my time.
  Mr. OBERSTAR. I yield 1 minute to the gentleman from Colorado (Mr. 
Polis).
  Mr. POLIS. Mr. Chairman, I rise today in support of the Himes 
amendment and on behalf of its sponsor, as he has been called away for 
a short time to attend the funeral of a fallen firefighter. Our hearts 
are with those who are grieving today with my colleague, Mr. Himes.
  Mr. Himes' amendment builds upon other lessons learned from the Exxon 
Valdez spill. The Himes amendment improves an existing environmental 
restoration provision that authorizes a program to protect wildlife 
habitats similar to those ruined by a spill and have the responsible 
party cover the cost of purchasing or preserving such areas.
  I would also like to thank the Natural Resources Committee and 
Transportation Committee for working with me and incorporating 
provisions that address a number of my priorities in the manager's 
amendment; namely, including language that will better ensure that the 
Department of the Interior follows the law as it is supposed to.
  Mr. Chairman, I rise in strong support of the Himes amendment and the 
underlying bill. The CLEAR Act is good and desperately needed policy to 
help prevent taxpayer bailouts for Big Oil's failures.
  The CLEAR Act is a model of transparency, fiscal responsibility and 
good stewardship. I call upon my colleagues to join me in supporting 
the Himes amendment and the underlying bill.
  Mr. HASTINGS of Washington. I understand I have the right to close, 
Mr. Chairman?
  The CHAIR. The gentleman from Washington has the right to close.
  Mr. HASTINGS of Washington. I reserve the balance of my time.
  Mr. OBERSTAR. I yield myself the balance of my time.
  The CHAIR. The gentleman from Minnesota is recognized for 2 minutes.
  Mr. OBERSTAR. The gentleman from Washington is mistaken in his 
understanding or his reading of the amendment that I offer.
  It's an amendment to OPA. It is not an amendment to the dollar 
amounts and does not reference dollar amounts. Under OPA, of which I 
was a coauthor in 1990, quote, the State and local officials designated 
under this subsection shall develop and implement a plan for the 
restoration, rehabilitation, replacement or acquisition of the 
equivalent of the natural resources under their trusteeship.
  The language of OPA does not clearly enough refer to the level of 
replacement resources that may be damaged. What we do with this 
language is clarify the ability to restore those resources that have 
been damaged with an equivalent resource. That's all it does. It does 
not have a dollar amount in it.
  I yield to the gentleman if he has a question.
  Mr. HASTINGS of Washington. I thank the gentleman for yielding.
  In due respect, you acknowledged that this could be used to buy 
additional land with a damage fund, is that correct?
  Mr. OBERSTAR. Well, it is to replace what has been destroyed. It's 
really just clarifying what is already available under OPA, but making 
it clear that the funds can be used for those resources that have been 
damaged so badly they can't be restored.
  Mr. HASTINGS of Washington. Yes, it clarifies, but it adds a very 
important part. It allows land acquisition.

                              {time}  1550

  Mr. OBERSTAR. Reclaiming my time, it does not add. That is current 
law. That is available under OPA.
  The CHAIR. The time of the gentleman has expired.
  Mr. HASTINGS of Washington. Mr. Chairman, may I inquire as to how 
much time I have remaining?
  The CHAIR. The gentleman has 2\1/2\ minutes remaining.
  Mr. HASTINGS of Washington. Mr. Chairman, I yield myself the balance 
of my time.

[[Page 14892]]

  I yield to the gentleman from Minnesota to finish his remark.
  Mr. OBERSTAR. Again, the acquisition of replacement land is available 
and authorized under OPA 90. What this amendment does is clarify that 
in that replacement you can replace that part of the ecosystem that has 
been irresponsibly damaged with better land. It doesn't add new 
acquisition authority.
  Mr. HASTINGS of Washington. Reclaiming my time, I appreciate the 
gentleman's trying to clarify that.
  I have to say, in my reading of this, that this will lend itself to 
more acquisition, and I will simply say this, reading the language 
here, ``provides a substantially greater likelihood of improving the 
resilience of whatever is lost.'' Now, having said that, let me put 
this analogous to at least my part of the country as it relates to 
refuges. If a refuge burns in my area and it might damage something, 
the way I envision the interpretation of this is the refuge manager can 
say, boy, this is irreparably lost and there might be some private land 
right next door, I think I will buy that private land.
  Now, in due respect, that is the way I interpret it. Listen, I hope 
I'm wrong and I hope you're right, but I have a very strong wariness of 
any attempt--especially in a bill, I say to my friend, the 
Transportation chairman, especially when we are authorizing $30 billion 
of land acquisition. Surely, surely there must be a way to massage that 
to satisfy at least what the gentleman's amendment purports to do. But 
I have to say, for this Member, I am always weary when I see we are 
taking another fund and using that to acquire even an extension of 
Federal lands.
  Mr. OBERSTAR. Will the gentleman yield?
  Mr. HASTINGS of Washington. I yield to the gentleman from Minnesota.
  Mr. OBERSTAR. I appreciate the gentleman yielding.
  I, too, have natural resources--national forests, national parks, 
wildlife refuges. When fire, as it does regularly, strikes the national 
forest, that land regenerates. The oil destroys. It likely cannot be 
restored by itself or by human intervention, but replacing it with 
other land--and the language is tailored very narrowly limited to that 
purpose of replacing what cannot be replaced.
  Mr. HASTINGS of Washington. Reclaiming my time, which I don't have, I 
appreciate the gentleman's trying to help me through this. I still urge 
my colleagues to vote ``no.''
  The CHAIR. The question is on the amendment offered by the gentleman 
from Minnesota (Mr. Oberstar).
  The question was taken; and the Chair announced that the ayes 
appeared to have it.
  Mr. HASTINGS of Washington. Mr. Chairman, I demand a recorded vote.
  The CHAIR. Pursuant to clause 6 of rule XVIII, further proceedings on 
the amendment offered by the gentleman from Minnesota will be 
postponed.


          Amendment No. 7 Offered by Mr. Connolly of Virginia

  The CHAIR. It is now in order to consider amendment No. 7 printed in 
part B of House Report 111-582.
  Mr. CONNOLLY of Virginia. Mr. Chairman, I have an amendment at the 
desk.
  The CHAIR. The Clerk will designate the amendment.
  The text of the amendment is as follows:

       At the end of title VII add the following new section:

     SEC. __. EXTENSION OF LIABILITY TO PERSONS HAVING OWNERSHIP 
                   INTERESTS IN RESPONSIBLE PARTIES.

       (a) Definition of Responsible Party.--Section 1001(32) of 
     the Oil Pollution Act of 1990 (33 U.S.C. 2701(32)) is amended 
     by adding at the end the following:
       ``(G) Person having ownership interest.--Any person, other 
     than an individual, having an ownership interest (directly or 
     indirectly) in any entity described in any of subparagraphs 
     (A) through (F) of more than 25 percent, in the aggregate, of 
     the total ownership interests in such entity, if the assets 
     of such entity are insufficient to pay the claims owed by 
     such entity as a responsible party under this Act.''.
       (b) Effective Date.--The amendment made by this section 
     shall apply to an incident occurring on or after January 1, 
     2010.

  The CHAIR. Pursuant to House Resolution 1574, the gentleman from 
Virginia (Mr. Connolly) and a Member opposed each will control 5 
minutes.
  The Chair recognizes the gentleman from Virginia.
  Mr. CONNOLLY of Virginia. I want to thank Chairman Rahall and 
Chairman Oberstar, in particular, for their hard work on this bill and 
for their collaboration on this amendment.
  I am joined by Congressman Holt and Congressman Welch, who co-
introduced this amendment to ensure that oil companies cannot shift oil 
cleanup costs onto taxpayers by allowing subsidiary companies to go 
bankrupt.
  Under current law, if an oil subsidiary is responsible for a spill, 
it can declare bankruptcy and not sell its assets, in which case the 
parent company would not inherit cleanup liabilities. A profit-
maximizing parent company would allow a subsidiary to go bankrupt and 
not sell liabilities if the value of cleanup and liability costs exceed 
the value of the subsidiary's assets. This is a realistic scenario 
given the high cost of the cleanup of oil spills. Even a well 
capitalized company worth several billions could be responsible for an 
oil spill costing tens of billions. The Exxon Valdez spill cost more 
than $2 billion to clean up, and that was just 10.9 million gallons of 
oil. The Deepwater Horizon spill already has cost $3 billion, with 
total cleanup cost in the tens of billions at the very least. Through 
this act, oil companies could be responsible for much greater costs.
  The fishing industry in the gulf is worth $5.5 billion annually. 
Losing 50 percent of western Florida's tourism would cost that State 
$10 billion. If Congress eliminates the private liability cap under 
OPA, then an oil company responsible for a spill could be liable for 
tens of billions to reimburse property owners and workers for lost 
property and wages.
  Given the extraordinarily high cleanup and private liability costs of 
oil spills, we must close this loophole. Our amendment would ensure 
that BP and other oil companies are not able to escape their cleanup 
responsibilities. Without passage of this amendment, BP and other oil 
companies could avoid paying for cleanup costs entirely.
  I urge my colleagues to support the amendment.
  Mr. Chairman, I reserve the balance of my time.
  Mr. HASTINGS of Washington. Mr. Chairman, I rise to claim the time in 
opposition, although I am not opposed to the amendment.
  The CHAIR. The gentleman is recognized for 5 minutes.
  Mr. HASTINGS of Washington. Mr. Chairman, I yield myself such time as 
I may consume.
  Mr. Chairman, I have no problem with this amendment. From the 
beginning we have said that the first priority is stopping the leak, 
cleaning up the gulf, and making the communities and the people of the 
gulf States whole, and BP needs to be held accountable for this 
disaster. Having said that, we need to be cognizant that our actions 
taken here or the actions of the administration do not in and of 
themselves jeopardize American jobs and domestic energy production.
  Part of holding BP accountable in this case, should BP America file 
for bankruptcy, is to ensure that the parent company that shares in the 
profits cover whatever debts that may not be covered by BP America. 
That is what this amendment does, and I am pleased to join my support 
for this.
  Mr. Chairman, I yield back the balance of my time.
  Mr. CONNOLLY of Virginia. Mr. Chairman, I yield 1 minute to my 
colleague from New Jersey (Mr. Holt).
  Mr. HOLT. Mr. Chairman, I thank the gentleman from Virginia and join 
with him in our concern for the workers, the restaurateurs, the small 
business owners, all those who depend on the Gulf of Mexico for their 
livelihoods. This gives us ample motivation to close this loophole 
which allows oil companies to shift the cost for cleanup from the oil 
company to the taxpayers. Current law would allow an oil company 
subsidiary that is responsible for an oil spill to declare bankruptcy.
  We must not depend just on the good word of the oil companies. We 
have been given ample reason to question that good word. Even today, 
the new

[[Page 14893]]

CEO of BP says he's entertaining the idea of scaling back the cleanup 
in the gulf. We must close every loophole. This amendment of Mr. 
Connolly, Mr. Welch and I, and others, would ensure that companies like 
BP pay every last cent that they are liable for, that the spill not 
spill over to the taxpayer.
  Mr. CONNOLLY of Virginia. I yield 1 minute to my colleague from the 
great State of Maryland (Mr. Cummings).
  Mr. CUMMINGS. I thank the gentleman for yielding.
  This amendment states that any entity--other than an individual 
person--with an ownership interest in a vessel, offshore or onshore 
facility, deepwater port, or pipeline of more than 25 percent is a 
responsible party under the Oil Pollution Act if the assets of the 
vessel or facility are insufficient to pay claims arising from oil 
spilled by the vessel or facility. I applaud Mr. Connolly, Mr. Holt, 
and Mr. Welch, and I support this amendment, which will ensure that 
parent companies with ownership stakes in subsidiaries to offshore 
facility ventures bear the costs owed by these subsidiaries for spills 
from the facilities if the facilities lack adequate assets to pay the 
claims. This will prevent such costs from being shifted to the Oil 
Spill Liability Trust Fund. I urge my colleagues to support the 
amendment.

                              {time}  1600

  Mr. CONNOLLY of Virginia. Mr. Chairman, I want to thank my 
colleagues.
  I also want to thank the following staff for their assistance on this 
amendment: Dave Heymsfeld, Stacie Soumbeniotis, Ryan Seiger, Navis 
Bermudez, Susan Jensen, George Slover, and David Lachman.
  We want to ensure that this amendment only affects the relationship 
of parent and subsidiary companies.
  With that, Mr. Chairman, I yield back the balance of my time.
  The CHAIR. The question is on the amendment offered by the gentleman 
from Virginia (Mr. Connolly).
  The amendment was agreed to.


                Amendment No. 8 Offered by Mr. Melancon

  The CHAIR. It is now in order to consider amendment No. 8 printed in 
part B of House Report 111-582.
  Mr. MELANCON. Mr. Chairman, I have an amendment at the desk.
  The CHAIR. The Clerk will designate the amendment.
  The text of the amendment is as follows:

       At the end of title II add the following:

                  Subtitle C--Limitation on Moratorium

     SEC. 231. LIMITATION OF MORATORIUM ON CERTAIN PERMITTING AND 
                   DRILLING ACTIVITIES.

       (a) In General.--The moratorium set forth in the decision 
     memorandum of the Secretary of the Interior entitled 
     ``Decision memorandum regarding the suspension of certain 
     offshore permitting and drilling activities on the Outer 
     Continental Shelf'' and dated July 12, 2010, and any 
     suspension of operations issued in connection with the 
     moratorium, shall not apply to an application for a permit to 
     drill submitted on or after the effective date of this Act if 
     the Secretary determines that the applicant--
       (1) has complied with the notice entitled ``National Notice 
     to Lessees and Operators of Federal Oil and Gas Leases, Outer 
     Continental Shelf (OCS)'' dated June 8, 2010 (NTL No. 2010-
     N05) and the notice entitled ``National Notice to Lessees and 
     Operators of Federal Oil and Gas Leases, Outer Continental 
     Shelf (OCS)'' dated June 18, 2010 (NTL No. 2010-N06);
       (2) has complied with additional safety measures 
     recommended by the Secretary as of the date of the enactment 
     of this Act; and
       (3) has completed all required safety inspections.
       (b) Determination on Permit.--Not later than 30 days after 
     the date on which the Secretary makes a determination that an 
     applicant has complied with paragraphs (1), (2), and (3) of 
     subsection (a), the Secretary shall make a determination on 
     whether to issue the permit.
       (c) No Suspension of Consideration.--No Federal entity 
     shall suspend the active consideration of, or preparatory 
     work for, permits required to resume or advance activities 
     suspended in connection with the moratorium.
       (e) Report to Congress.--Not later than October 31, 2010, 
     the Secretary shall report to the House Committee on Natural 
     Resources and the Senate Committee on Energy and Natural 
     Resources on the status of (1) the collection and analysis of 
     evidence regarding the potential causes of the April 20, 2010 
     explosion and sinking of the Deepwater Horizon offshore 
     drilling rig, including information collected by the 
     Presidential Commission and other investigations (2) 
     implementation of safety reforms described in the May 27, 
     2010, Departmental report entitled ``Increased Safety 
     Measures for Energy Development on the Outer Continental 
     Shelf,'' (3) the ability of operators in the Gulf of Mexico 
     to respond effectively to an oil spill in light of the 
     Deepwater Horizon incident; and (4) industry and government 
     efforts to engineer, design, construct and assemble wild well 
     intervention and blowout containment resources necessary to 
     contain an uncontrolled release of hydrocarbons in deep water 
     should another blowout occur.
       (f) Savings Clause.--Nothing herein affects the Secretary's 
     authority to suspend offshore drilling permitting and 
     drilling operations based on the threat of significant, 
     irreparable or immediate harm or damage to life, property, or 
     the marine, coastal or human environment pursuant to the 
     Outer Continental Shelf Lands Act (43 U.S.C. 133 et. seq.).

  Mr. BOUSTANY. Mr. Chairman, I ask unanimous consent that we extend 
the time of debate equally between the two sides for a total of 30 
minutes on this very important issue affecting our State and other 
States on the gulf coast. We are really talking about jobs, and I think 
having this extra time of debate will be very important.
  The CHAIR. Is there an objection to the request?
  Mr. RAHALL. I reserve the right to object.
  Mr. Chairman, I know a lot of Members are under time pressures 
because of airline schedules, et cetera. I feel compelled to object.
  The CHAIR. Objection is heard.
  Mr. RAHALL. Plus, if the gentleman would yield further, I am prepared 
to accept the amendment.
  The CHAIR. Objection is heard.
  Mr. BOUSTANY. We would like to extend the debate. We ask unanimous 
consent to extend it for 20 minutes, equally divided.
  The CHAIR. Is there objection?
  Mr. MELANCON. In light of the concern of the chairman of the 
committee and the whole of the bill, which is his jurisdiction, I 
respectfully yield to his opinion on how he wants that handled.
  The CHAIR. Is there an objection to the request of the gentleman to 
extend the time of the debate?
  Mr. MELANCON. I would accept the time.
  The CHAIR. Is the gentleman objecting to the extension of the debate?
  Mr. RAHALL. It is 20 minutes; is that correct?
  Mr. BOUSTANY. Ten minutes on each side.
  Mr. RAHALL. I still have to object.
  The CHAIR. The gentleman's objection is heard.
  Pursuant to House Resolution 1574, the gentleman from Louisiana (Mr. 
Melancon) and a Member opposed each will control 5 minutes.
  The Chair recognizes the gentleman from Louisiana.
  Mr. MELANCON. I would like to thank my colleague from West Virginia 
for his help on this amendment.
  Mr. Chairman, I urge my colleagues to support this amendment to lift 
the deepwater moratorium for companies that meet the new safety 
requirements and guidelines recently set in place by Secretary Salazar.
  Make no mistake, BP was a bad player. As we have discovered through 
numerous congressional hearings, this company took dangerous shortcuts 
to save money. They ignored warning signs and the advice of their own 
workers who were concerned about the stability of the well, and they 
continued to drill even when they knew that the safety mechanisms in 
place to prevent a blowout were not working properly. Eleven good men 
died because of their greed.
  The tragedy on Deepwater opened our eyes to the need for tougher 
safety regulations for offshore drilling, to the need to strengthen the 
enforcement of both new and existing laws, and to the need to protect 
workers who report their companies' dangerous and even illegal 
practices to regulators so that we can stop another accident before it 
happens.
  Yet an indiscriminate blanket moratorium punishes the innocent along 
with the guilty for the actions and the poor judgment of one reckless 
company. If a rig meets all of the tough new safety requirements issued 
by the Department of the Interior, if it has been fully inspected and 
deemed safe,

[[Page 14894]]

why should it sit idle? The workers of that rig, why should they go 
jobless until the arbitrary 6-month period is over?
  People in Louisiana understand that it doesn't make any sense. 
Louisianans, more than any other people, want to prevent another 
disaster from happening in our waters, but the irresponsible decisions 
and the dangerous actions of one company shouldn't shut down an entire 
sector of our economy, sending thousands of workers to the unemployment 
line. We need to fix the problems that led to this disaster in the gulf 
without paralyzing America's domestic energy industry in the process.
  That is what my amendment does. Instead of a blanket moratorium, my 
amendment would allow drilling permits to be approved for those rigs 
that meet the new tougher safety requirements issued by the Department 
of the Interior in the wake of the explosion. Those 31 stalled drilling 
rigs directly employ some 1,400 workers. Hundreds of small businesses 
in Louisiana service those rigs or are, in some way, supported by the 
offshore oil and gas industry.
  According to research by Dr. Joseph Mason of Louisiana State 
University, under the current 6-month moratorium, the gulf coast region 
will lose more than 8,000 jobs, nearly $500 million in wages and over 
$2.1 billion in economic activity, as well as nearly $100 million in 
State and local tax revenue--and that's only if the drilling will start 
back immediately in 6 months.
  You don't need to be an economist to see the impact of the moratorium 
on south Louisiana. You just need to drive through coastal parishes 
like Lafourche, Terrebonne, or Grand Isle, Louisiana. Talk to people 
like Shelly Landry, who owns and operates a family grocery store there 
on Grand Isle. She told me, with tears in her eyes, that the moratorium 
was shutting down the coast and that it was hurting her business more 
than the actual oil spill. People like Ms. Landry are still learning to 
cope with the impact of the oil disaster, and now they feel they are 
being dealt a second blow--this time by their own government.
  Louisiana has a working coast where people make good paychecks 
producing domestic energy that drives our Nation. They want to get back 
to work doing the jobs they love, the jobs that provide good lives for 
their families.
  The Childers-Melancon amendment will lift the moratorium in a 
responsible way and allow our workers to continue producing energy. It 
will still hold companies accountable for higher safety standards so 
that we never again experience a disaster such as that like Deepwater.
  On behalf of the workers of the gulf coast, on behalf of the small 
businesses, and on behalf of all of the people of my State who thought 
they had made it through the worst part of this disaster, I urge my 
colleagues to vote for this amendment to lift this administration's 
offshore drilling moratorium to make life better and as normal as 
possible for an area that has been devastated several times over the 
last several years.
  I reserve the balance of my time.
  Mr. HASTINGS of Washington. Mr. Chairman, I rise to claim time in 
opposition.
  The CHAIR. The gentleman is recognized for 5 minutes.
  Mr. HASTINGS of Washington. Mr. Chairman, I am very pleased to yield 
4 minutes to the gentleman from Louisiana (Mr. Scalise).
  Mr. SCALISE. I appreciate the gentleman from Washington for yielding 
time.
  Mr. Chairman, I share in many of the comments that were expressed by 
my colleague from Louisiana, Mr. Melancon.
  In fact, when you talk to people on the ground in Louisiana, most 
will tell you that this moratorium that was arbitrarily issued by the 
President has actually got the potential to do more long-term damage to 
our State than the oil spill, itself. Unfortunately, we are already 
seeing the consequences in terms of lost jobs.
  If you look at what would happen, not if this would go 6 months--as 
Secretary Salazar wants to go--but if this just goes another few weeks, 
we will lose up to 40,000 high-paying jobs that will go overseas. If 
anybody is wondering whether or not that is just talk, you can look at 
what is already happening.
  Just 2 days ago, Baker Hughes, a big oilfield service company, sent 
300 jobs overseas. It laid off 300 Louisiana workers. These are jobs 
that have gone overseas because of this moratorium. It is already 
having a devastating impact. That is why it is so important that we 
pass an amendment that actually ends this current moratorium.
  If you look at the language in the amendment, there are a number of 
components that I do agree with, and I think the intent was there to 
actually address those problems; but if you go to page 2, there are a 
few sections that got added in. In fact, I am a cosponsor with my 
colleague from Louisiana on an amendment that would actually end the 
moratorium in its current form. Unfortunately, there was some language 
added in that allows the Secretary to have statutory authority that he 
does not have today that actually extends his ability to issue more 
moratoriums even if this current one is stopped.
  So what the industry is dealing with today is this kind of 
uncertainty. That is why you are already seeing rigs leave. In fact, 
three rigs have already left. One is going to Egypt. These are all 
going to foreign countries. So we have got to get this right.

                              {time}  1610

  In fact, later today we're going to have a motion to recommit that 
will actually encompass those things that are necessary to be done to 
end the moratorium without the damaging language that's in this bill 
that gives the Secretary even more authority, in fact, even if a 
company complies with all of the safety requirements, as they should, 
and they should comply with all the safety recommendations. But even if 
they do, under this language, the Secretary is given power to decide 
whether or not to issue that permit. That shouldn't be arbitrary once a 
company meets all the safety recommendations. BP didn't meet them all. 
But if a company does, the Secretary can't continue to keep this job-
killing moratorium going on. So we have to fix that language. And, in 
fact, our motion to recommit does that.
  If you look, our Louisiana Oil and Gas Association, which is not a 
representative of the Big Oil companies--in fact, it's a lot of the mom 
and pop of the independent oil and gas companies throughout Louisiana. 
They have strong concerns. In fact, they say, We have concerns that 
this may codify--they're talking about this extra language and power 
that's given to the Secretary to deny permits--they say, We have 
concerns that this may codify the Secretary's authority to suspend 
offshore drilling permitting and drilling operations.
  It is our position that the Secretary does not have the right to do 
so; and, in fact, a Federal judge has agreed with that by trying to 
stop this moratorium. Unfortunately, the administration ignored that. 
And they further go on to say, It is our position that applicants who 
apply for a permit and meet the proper safety requirements should be 
issued the permit. The Secretary shouldn't be able to decide 
arbitrarily if he wants to continue to shut down domestic oil 
production in this country, as we're seeing today. And we're seeing the 
consequences of it.
  As I said earlier this week, we already lost 300 jobs. And this 
wasn't the first time; and, unfortunately, it won't be the last. Many 
companies you talk to are already having conversations about moving 
jobs overseas, if they haven't already. And as I mentioned, three of 
the rigs have already decided they have got to leave the country 
because of this moratorium. That is why it is so important that we get 
it right. We can't just pass something that sounds good but ultimately 
ends up giving the Secretary more authority to keep the moratorium 
going and run more jobs out of our country. So hopefully we will pass 
the motion to recommit later but not give the Secretary more authority. 
This does.

[[Page 14895]]


  Mr. MELANCON. I yield 30 seconds to the gentleman from West Virginia, 
Chairman Rahall.
  Mr. RAHALL. I appreciate the gentleman from Louisiana's yielding, and 
I commend him for his commonsense amendment here.
  This, of course, would end the moratorium on drilling in the gulf on 
rigs that have met the safety requirements prescribed in two notices to 
lessees issued by the DOI as well as other safety standards described 
by enactment of this legislation. This legislation is about safety on 
these rigs, and we do put in some new language that does certify and 
verify that there is necessary safety in place. I urge support.
  The CHAIR. The time of the gentleman has expired.
  Mr. HASTINGS of Washington. Mr. Chairman, I am very, very pleased to 
yield the balance of my time to the gentleman from Louisiana (Mr. 
Boustany).
  Mr. BOUSTANY. Mr. Chair, I appreciate the efforts on the part of my 
colleague from Louisiana (Mr. Melancon). But what we have seen is, we 
have a current moratorium on deepwater drilling and a de facto 
moratorium on shallow water drilling. And I'm afraid that this 
amendment doesn't fully address the issue. It doesn't address the 
current moratorium, whereby we are hemorrhaging jobs. The 300 jobs my 
colleague over here, Mr. Scalise, just referenced were from Baker 
Hughes in my district, and those don't count the shallow water jobs 
that we are losing daily from companies I have been hearing about each 
day.
  So the problem we have is with the section on page 2, which continues 
to allow the Secretary this wide latitude beyond the normal permitting 
process. So we have a real problem with this. We think our motion to 
recommit that we are going to offer later will actually give a clean 
break on getting rid of this moratorium, which is killing American 
energy production jobs, making us more dependent on foreign oil. It's 
not the kind of policy that we need. I know my colleague from Louisiana 
(Mr. Melancon) wants to solve this problem, but we have concerns about 
this specific language.
  Mr. CHILDERS. Mr. Chair, I rise today in support of the amendment I 
introduced with my friend and colleague from Louisiana, Mr. Melancon. 
The amendment would lift the moratorium on deepwater drilling for the 
responsible actors who meet strict safety requirements for their 
drilling operations. The Deepwater Horizon oil spill has been a tragedy 
for the Gulf Coast, one we can ill afford as our nation works toward 
economic recovery. However, in the state of Mississippi, thousands of 
workers are employed by the deepwater drilling industry. Because of the 
moratorium these hard-working Americans will struggle to make ends meet 
in an already difficult economic environment. The Gulf Coast, from 
Florida to Texas, is suffering from this disaster and in Mississippi we 
cannot afford to lose even more jobs due to this tragedy. The path to 
recovery from the Deepwater Horizon disaster will be long; we should 
not stand in the way of safe and responsible employers and the families 
they support.
  I applaud the reorganization of the ethics plagued Minerals 
Management Service by the Department of the Interior in the underlying 
bill. It is my hope that the new regulatory structure will be an 
effective tool for ensuring safe drilling practices so that lives are 
not lost and moratoriums are not needed. Deepwater drilling is not only 
a source of American jobs but also an important source of domestic 
energy production in our fight for energy independence.
  I ask my colleagues to join me today in supporting this amendment to 
save jobs and help the entire Gulf Coast region to recover.
  The CHAIR. All time has expired.


                         Parliamentary Inquiry

  Mr. MELANCON. Parliamentary inquiry.
  The CHAIR. The gentleman from Louisiana is recognized for a 
parliamentary inquiry.
  Mr. MELANCON. I would like to thank my colleagues and ask for 
unanimous consent to consider a revised amendment which addresses the 
issues they are concerned about.
  Mr. HASTINGS of Washington. Mr. Chairman, I object.
  The CHAIR. Objection is heard.
  The question is on the amendment offered by the gentleman from 
Louisiana (Mr. Melancon).
  The question was taken; and the Chair announced that the ayes 
appeared to have it.
  Mr. HASTINGS of Washington. Mr. Chairman, I demand a recorded vote.
  The CHAIR. Pursuant to clause 6 of rule XVIII, further proceedings on 
the amendment offered by the gentleman from Louisiana will be 
postponed.


                Amendment No. 9 Offered by Mr. Melancon

  The CHAIR. It is now in order to consider amendment No. 9 printed in 
part B of House Report 111-582.
  Mr. MELANCON. Mr. Chair, I have an amendment at the desk.
  The CHAIR. The Clerk will designate the amendment.
  The text of the amendment is as follows:

       At the end of title V, add the following new section (and 
     conform the table of contents accordingly):

     SEC. 504. GULF OF MEXICO RESTORATION ACCOUNT.

       (a) Establishment of Special Account.--There is established 
     in the Treasury of the United States a separate account to be 
     known as the ``Gulf of Mexico Restoration Account''.
       (b) Funding.--The Gulf of Mexico Restoration Account shall 
     consist of such amounts as may be appropriated or credited to 
     such Account by section 311A of the Federal Water Pollution 
     Control Act.
       (c) Expenditures.--Amounts in the Gulf of Mexico 
     Restoration Account shall be available, as provided in 
     appropriations Acts, to carry out projects, programs, and 
     activities as recommended by the Gulf of Mexico Restoration 
     Task Force established in this title.
       (d) Amendment to the Federal Water Pollution Control Act.--
       (1) In general.--Title III of the Federal Water Pollution 
     Control Act is amended by inserting after section 311 the 
     following:

     ``SEC. 311A. ADDITIONAL PENALTIES FOR LARGE SPILLS IN THE 
                   GULF OF MEXICO.

       ``(a) In General.--In the case of an offshore facility from 
     which more than 1,000,000 barrels of oil or a hazardous 
     substance is discharged into the Gulf of Mexico in violation 
     of section 311(b)(3), any person who is the owner or operator 
     of the facility shall be subject to a civil penalty of 
     $200,000,000 for each 1,000,000 barrels discharged.
       ``(b) Relationship to Other Penalties.--The civil penalty 
     under subsection (a) shall be in addition to any other 
     penalties to which the owner or operator of the facility is 
     subject, including those under section 311.''.
       (2) Effective date.--The amendment made by paragraph (1) 
     takes effect on April 1, 2010.

  The CHAIR. Pursuant to House Resolution 1574, the gentleman from 
Louisiana (Mr. Melancon) and a Member opposed each will control 5 
minutes.
  The Chair recognizes the gentleman from Louisiana.
  Mr. MELANCON. Mr. Chair, I urge my colleagues to support the Gulf 
Coast Restoration Amendment for one simple reason: responsible oil-
spill response legislation must include funding to address the rapid 
deterioration of our crumbling coast.
  Coastal erosion has chipped away at our barrier islands, beaches and 
marshes for decades. Louisiana alone loses a football field of coast 
every 38 minutes and is set to lose another 500 square miles by 2050. 
But the BP oil spill will accelerate land loss as our marshes die from 
exposure to oil and chemicals from the cleanup. This disaster has 
effectively hit the fast forward button on an already terrible problem.
  BP will foot the bill for the cleanup effort. We will hold them to 
their responsibility and their word, but they are not legally bound to 
address the accelerated land loss as a result of the spill. My 
amendment will make certain they don't simply clean the water and walk 
away from the long-term damage to our coast and marshes.
  My amendment would create a new civil penalty on gulf coast spills of 
more than 1 million barrels. The owner or operator of the rig would be 
responsible for paying $200 million per 1 million barrels spilled to 
fund environmental restoration projects to save the gulf coast. 
Restoration projects would be spread across the Gulf Coast States and 
would be overseen by the Gulf Coast Coordination Council, a task force 
of Federal, State and local stakeholders, created by this bill. My 
amendment is deficit-neutral and comes at no cost to taxpayers or to 
the Federal Government.
  Survival of the gulf coast's fragile ecosystem and the fishing and 
tourism industries that rely on them hinges

[[Page 14896]]

upon successful restoration of our wetlands. Without them, many gulf 
communities will vanish, and the rest of the country will lose access 
to the seafood and recreation they have enjoyed for decades.
  The gulf coast is America's working coast. We contribute $3 trillion 
annually to the economy. Seven of our country's top 10 ports are 
located in the gulf, and 40 percent of our Nation's seafood is 
harvested from its waters. President Obama has charged the oil spill 
response team with finding long-term solutions for repairing our coast. 
Our families back home are depending on Congress to restore their 
livelihoods, and we have that opportunity today.
  Earlier this month, just after news broke that BP had finally capped 
their well, Bob Marshall of The Times-Picayune wrote a lengthy column 
about the long road ahead for south Louisiana and this cleanup. He 
wrote: ``We need to remember this is a temporary problem on top of a 
permanent disaster. Long after BP's oil is gone, we'll still be 
fighting for survival against a much more serious enemy--our sinking, 
crumbling delta. Our coast is like a cancer patient who has come down 
with pneumonia. That's serious, but curable. After the fever breaks, 
he'll still have cancer. Our officials' focus should remain on stopping 
the activities that continue to destroy our marshes and getting 
national support for projects that can protect what we have left.'' 
He's right. And make no mistake, this is that time.
  Five years after Hurricanes Katrina and Rita, our country is again 
focused on a tragedy in south Louisiana. For the past 102 days, every 
time you opened your paper or turned on the evening news, you saw the 
well, our oiled marshes and wildlife, and our people, struggling to get 
through the day and unable to imagine a better tomorrow.
  We are staring at a cleanup that will take a decade or more to 
complete. We will only get there if we address our disappearing coasts. 
Mr. Chair, I urge my colleagues to support my Gulf Coast Restoration 
Amendment. This is that time, and we can't wait another day.
  I reserve the balance of my time.

                              {time}  1620

  Mr. HASTINGS of Washington. Mr. Chairman, I ask unanimous consent to 
claim the time in opposition, although I don't intend to oppose the 
amendment.
  The CHAIR. Without objection, the gentleman is recognized for 5 
minutes.
  There was no objection.
  Mr. HASTINGS of Washington. Mr. Chairman, I yield myself such time as 
I may consume.
  Mr. Chairman, this amendment would establish a new fine on spills 
larger than 1 million barrels, and has a retroactive date of April 1, 
2010. Now, I won't debate the fact that making this fine retroactive 
means that it will likely face a constitutional challenge.
  But I will debate the fact that once fines are paid by violators to 
the Federal Government, that money becomes taxpayer money. If we then 
spend that money on gulf restoration to clean up the mess caused by BP, 
we would be spending taxpayer dollars to clean up the BP spill.
  Mr. Chairman, the taxpayers should not be on the hook for the cleanup 
of the BP disaster. If there are projects in the gulf that demand 
restoration because of damage from the spill, then BP must be held 
accountable. If the gentleman has projects that demand greater 
attention, then I offer to work with him, just as I am working with 
other members of our committee from Louisiana, to ensure that the 
Federal oversight gets the gulf cleaned up and the gulf made whole. But 
I reject the premise that we must use taxpayer dollars to clean up the 
mess made by BP.
  I reserve the balance of my time.
  Mr. MELANCON. I yield 1 minute to Mr. Oberstar.
  Mr. OBERSTAR. I thank the gentleman for yielding.
  I have worked with the gentleman and our committee staff to craft 
this language. It's important to note that these are not taxpayer 
dollars paying for restoration, but rather proceeds from a penalty 
provided in this provision that is very clearly spelled out, and which 
revenue goes into the Gulf of Mexico restoration account, and then is 
further subject to appropriations. So that keeps the Congress in 
control of the outlay of funds. Rather than just imposing a civil 
penalty and allowing those funds to go into an agency, there will be 
very clear control.
  So the proceeds are used from the penalty for a legitimate public 
purpose to pay for the projects, programs, and activities out of the 
restoration fund to clean up the destruction from oil spilled.
  To paraphrase previous speakers on the other side of the aisle, the 
explosion and blowout of the BP drilling operation in the Gulf is a 
``textbook case'' on killing jobs and wildlife and destruction of the 
marine environment; putting 300,000 jobs at risk in travel, tourism, 
fishing, commercial and recreational fishing, catching, harvesting, 
processing fish and shellfish, jobs destroyed by the uncontrolled oil 
spill.
  The safety provisions of our bill will protect those jobs in the 
future. The liability provisions will assure that there will be 
compensation for those who lose jobs and livelihood because of an oil 
spill. The penalties imposed in this Melancon amendment will assure 
that damage to the natural resources of the Gulf will have the money 
needed to restore more resources.
  A penalty whose proceeds will be used for a legitimate public 
purpose--to pay for projects, programs, and activities out of the GM 
Restoration Fund.
  Mr. HASTINGS of Washington. Could I inquire how much time I have?
  The CHAIR. The gentleman has 4 minutes remaining.
  Mr. HASTINGS of Washington. I yield 2 minutes to the gentleman from 
Louisiana (Mr. Scalise).
  Mr. SCALISE. I thank the gentleman from Washington for yielding.
  I rise in support of this amendment by my colleague from Louisiana 
(Mr. Melancon). As we all know, this is an unprecedented disaster. It's 
already extracted a human toll, it's extracting an environmental toll, 
and of course now with the moratorium it's extracting an economic toll.
  So when you look at what this amendment does, it says if somebody 
breaks the law, if they actually have a spill that's at this level, a 
million barrels or more, then they actually get hit with heavier 
penalties. And those penalties would be dedicated to restoring our 
coast. Because as we can all see, people all across the country who 
have expressed so much appreciation and support for what we're doing to 
try to battle this disaster, they also understand just how fragile this 
ecosystem is. And they've seen the destruction to our ecosystem.
  And of course it hasn't just started. Our coast has been eroding for 
years. In fact, we lose a football field of land along the gulf coast 
of Louisiana every 37 minutes. So just in the time we have been 
debating this legislation, the Gulf Coast of Louisiana has lost a 
football field of land. And this goes on every single day.
  So by dedicating these funds that are only generated if somebody 
spills a million barrels or more into our gulf to this fund to restore 
our coast, I think it's the right thing to do. It helps us battle this 
environmental disaster, and then hopefully we can continue to move 
forward so that we can stop the economic disaster that's also 
occurring. I appreciate the gentleman from Louisiana for bringing this 
amendment.
  Mr. MELANCON. I yield 30 seconds to the chairman.
  Mr. RAHALL. Just to clarify for my colleague from Washington, my 
ranking member, if his concern was about the taxpayer ending up paying 
for something that BP should be liable for under the gentleman from 
Louisiana's amendment, we do have a catch-all provision in the 
legislation that applies to not only the entire legislation, but would 
apply to the gentleman from Louisiana's amendment as well that says 
none of the funds that are authorized or made available by this act may 
be used to carry out any activity or pay any cost for removal or 
damages for which a responsible party, BP, is liable under the OPA.
  Mr. HASTINGS of Washington. I yield myself the balance of my time.
  I simply make the point that, yes, I understand these dollars come 
from the

[[Page 14897]]

affected party. But if it gets into the Federal Government Treasury, 
then the Federal Government is the government of the people, it becomes 
taxpayer dollars. That's the only point I am making.
  I support the amendment. I think it makes perfectly good sense. It 
has broad support of those Members that are affected by this spill. But 
I just wanted to simply make that point, probably more to emphasize 
than anything else that BP is truly responsible for this, and we all 
recognize that.
  I urge support of the amendment, and I yield back the balance of my 
time.
  The CHAIR. The question is on the amendment offered by the gentleman 
from Louisiana (Mr. Melancon).
  The amendment was agreed to.
  Mr. RAHALL. Mr. Chairman, I move that the Committee do now rise.
  The motion was agreed to.
  Accordingly, the Committee rose; and the Speaker pro tempore (Mr. 
Obey) having assumed the chair, Mr. Jackson of Illinois, Chair of the 
Committee of the Whole House on the state of the Union, reported that 
that Committee, having had under consideration the bill (H.R. 3534) to 
provide greater efficiencies, transparency, returns, and accountability 
in the administration of Federal mineral and energy resources by 
consolidating administration of various Federal energy minerals 
management and leasing programs into one entity to be known as the 
Office of Federal Energy and Minerals Leasing of the Department of the 
Interior, and for other purposes, had come to no resolution thereon.

                          ____________________