[House Report 108-540]
[From the U.S. Government Publishing Office]
108th Congress Report
HOUSE OF REPRESENTATIVES
2d Session 108-540
======================================================================
PROVIDING FOR CONSIDERATION OF H.R. 4513, TO PROVIDE THAT IN PREPARING
AN ENVIRONMENTAL ASSESSMENT OR ENVIRONMENTAL IMPACT STATEMENT REQUIRED
UNDER SECTION 102 OF THE NATIONAL ENVIRONMENTAL POLICY ACT OF 1969 WITH
RESPECT TO ANY ACTION AUTHORIZING A RENEWABLE ENERGY PROJECT, NO
FEDERAL AGENCY IS REQUIRED TO IDENTIFY ALTERNATIVE PROJECT LOCATIONS OR
ACTIONS OTHER THAN THE PROPOSED ACTION AND THE NO ACTION ALTERNATIVE,
AND FOR OTHER PURPOSES; AND H.R. 4529, ARCTIC COASTAL PLAIN AND SURFACE
MINING IMPROVEMENT ACT OF 2004
_______
June 14, 2004.--Referred to the House Calendar and ordered to be
printed
_______
Mr. Reynolds, from the Committee on Rules, submitted the following
R E P O R T
[To accompany H. Res. 672]
The Committee on Rules, having had under consideration
House Resolution 672, by a non-record vote, report the same to
the House with the recommendation that the resolution be
adopted.
SUMMARY OF PROVISIONS OF THE RESOLUTION
The resolution provides for the consideration of H.R. 4513,
the Renewable Energy Project Siting Improvement Act of 2004 and
for H.R. 4529, the Arctic Coastal Plain Surface Mining
Improvement Act of 2004. The rule provides for consideration of
H.R. 4513 under a modified closed rule. The rule provides one
hour of debate in the House on H.R. 4513 equally divided and
controlled by the chairman and ranking minority member of the
Committee on Resources.
The rule makes in order the amendment printed in Part A of
this report, if offered by Representative Pombo of California
or his designee, which shall be considered as read and shall be
separately debatable for 10 minutes equally divided and
controlled by the proponent and an opponent. The rule waives
all points of order against the amendment printed in part A of
this report. The rule provides one motion to recommit H.R. 4513
with or without instructions.
The rule further provides in section 2 for consideration of
H.R. 4529 under a modified closed rule. The rule provides one
hour of debate in the House on H.R. 4529, with 50 minutes
equally divided and controlled by the chairman and ranking
minority member of the Committee on Resources and 10 minutes
equally divided and controlled by the chairman and ranking
minority member of the Committee on Ways and Means.
The rule makes in order the amendment in the nature of a
substitute printed in Part B of this report, if offered by
Representative Pombo of California or his designee, which shall
be considered as read and shall be separately debatable for ten
minutes equally divided and controlled by the proponent and an
opponent. The rule waivers all points of order against the
amendment in the nature of a substitute printed in part B of
this report. Finally, the rule provides one motion to recommit
H.R. 4529 with or without instructions.
PART A--SUMMARY OF AMENDMENT MADE IN ORDER TO H.R. 4513
(Summary derived from information provided by the amendment
sponsor.)
Pombo: Manager's Amendment. Clarifies that the
environmental review processes in H.R. 4513 do not apply to oil
and gas leasing activities. (10 minutes)
PART B--SUMMARY OF AMENDMENT IN THE NATURE OF A SUBSTITUTE MADE IN
ORDER TO H.R. 4529
(Summary derived from information provided by the amendment
sponsor.)
Pombo: Manager's Amendment. Reflects certain technical
changes needed to conform with existing laws. The bill as
introduced did not place all stakeholders on an equal footing
in regard to treatment of their coal miner healthcare benefits
obligations and liabilities. This amendment ensures equity of
stakeholders regarding treatment of their healthcare benefits
obligations and liabilities by placing each stakeholder in line
to receive monies from each of the funding mechanisms,
including: Abandoned Mine Land (AML) Reclamation Fund interest
account; Rural Abandoned Mine Program (RAMP) monies; Payments
from the Coal Mining Fairness Fund that is funded by ANWR; and
Repayable advances as needed. The bill as introduced did not
place all stakeholders having healthcare benefits obligations
and liabilities into the RAMP funding stream. This amendment
makes available the remaining RAMP balance and stranded
interest to help meet the obligations of the Combined Benefit
Fund, the 1992 and 1993 Plan beneficiaries, and future premiums
otherwise paid for by the reachback companies. This money would
be utilized prior to use of ANWR monies and advances. The bill
as introduced pays certified Indian Tribes a specified ``state
share'' from the AML fund that they are owed by the federal
government through the payment of RAMP monies. This amendment
attempts to alleviate any under- or overpayment to the
certified Tribes by stating that these Tribes will be paid
their state share balance as of the date of enactment. The bill
as introduced did not tie the success of all stakeholders with
coalmining healthcare obligations and liabilities to the
success of ANWR. The overarching reason we are at this point in
time to attempt to fix the myriad of problems that are AML and
related is because ANWR has the potential to generate
significant revenue that could be directed to fixing these
problems. The amendment ensures the success of these
stakeholders is contingent upon the success of ANWR. If ANWR
does not move forward for any reason, we revert right back to
current law under this amendment. (10 minutes)
PART A--TEXT OF AMENDMENT MADE IN ORDER TO H.R. 4513
Page 3, beginning at line 13, strike ``or the combustion
of''.
Page 3, line 13, insert a comma after ``oil''.
----------
PART B--TEXT OF AMENDMENT IN THE NATURE OF A SUBSTITUTE MADE IN ORDER
TO H.R. 4529
Strike all after the enacting clause and insert the
following:
SECTION 1. SHORT TITLE.
This title may be cited as the ``Arctic Coastal Plain and
Surface Mining Improvement Act''.
TITLE I--OIL AND GAS LEASING PROGRAM FOR COASTAL PLAIN OF ALASKA
SEC. 101. SHORT TITLE.
This title may be cited as the ``Arctic Coastal Plain
Domestic Energy Security Act of 2004''.
SEC. 102. DEFINITIONS.
In this title:
(1) Coastal plain.--The term ``Coastal Plain'' means
that area identified as such in the map entitled
``Arctic National Wildlife Refuge'', dated August 1980,
as referenced in section 1002(b) of the Alaska National
Interest Lands Conservation Act of 1980 (16 U.S.C.
3142(b)(1)), comprising approximately 1,549,000 acres,
and as described in appendix I to part 37 of title 50,
Code of Federal Regulations.
(2) Secretary.--The term ``Secretary'', except as
otherwise provided, means the Secretary of the Interior
or the Secretary's designee.
SEC. 103. LEASING PROGRAM FOR LANDS WITHIN THE COASTAL PLAIN.
(a) In General.--The Secretary shall take such actions as are
necessary--
(1) to establish and implement in accordance with
this Act a competitive oil and gas leasing program
under the Mineral Leasing Act (30 U.S.C. 181 et seq.)
that will result in an environmentally sound program
for the exploration, development, and production of the
oil and gas resources of the Coastal Plain; and
(2) to administer the provisions of this title
through regulations, lease terms, conditions,
restrictions, prohibitions, stipulations, and other
provisions that ensure the oil and gas exploration,
development, and production activities on the Coastal
Plain will result in no significant adverse effect on
fish and wildlife, their habitat, subsistence
resources, and the environment, and including, in
furtherance of this goal, by requiring the application
of the best commercially available technology for oil
and gas exploration, development, and production to all
exploration, development, and production operations
under this title in a manner that ensures the receipt
of fair market value by the public for the mineral
resources to be leased.
(b) Repeal.--Section 1003 of the Alaska National Interest
Lands Conservation Act of 1980 (16 U.S.C. 3143) is repealed.
(c) Compliance With Requirements Under Certain Other Laws.--
(1) Compatibility.--For purposes of the National
Wildlife Refuge System Administration Act of 1966, the
oil and gas leasing program and activities authorized
by this section in the Coastal Plain are deemed to be
compatible with the purposes for which the Arctic
National Wildlife Refuge was established, and that no
further findings or decisions are required to implement
this determination.
(2) Adequacy of the department of the interior's
legislative environmental impact statement.--The
``Final Legislative Environmental Impact Statement''
(April 1987) on the Coastal Plain prepared pursuant to
section 1002 of the Alaska National Interest Lands
Conservation Act of 1980 (16 U.S.C. 3142) and section
102(2)(C) of the National Environmental Policy Act of
1969 (42 U.S.C. 4332(2)(C)) is deemed to satisfy the
requirements under the National Environmental Policy
Act of 1969 that apply with respect to actions
authorized to be taken by the Secretary to develop and
promulgate the regulations for the establishment of a
leasing program authorized by this title before the
conduct of the first lease sale.
(3) Compliance with nepa for other actions.--Before
conducting the first lease sale under this title, the
Secretary shall prepare an environmental impact
statement under the National Environmental Policy Act
of 1969 with respect to the actions authorized by this
title that are not referred to in paragraph (2).
Notwithstanding any other law, the Secretary is not
required to identify nonleasing alternative courses of
action or to analyze the environmental effects of such
courses of action. The Secretary shall only identify a
preferred action for such leasing and a single leasing
alternative, and analyze the environmental effects and
potential mitigation measures for those two
alternatives. The identification of the preferred
action and related analysis for the first lease sale
under this title shall be completed within 18 months
after the date of the enactment of this Act. The
Secretary shall only consider public comments that
specifically address the Secretary's preferred action
and that are filed within 20 days after publication of
an environmental analysis. Notwithstanding any other
law, compliance with this paragraph is deemed to
satisfy all requirements for the analysis and
consideration of the environmental effects of proposed
leasing under this title.
(d) Relationship to State and Local Authority.--Nothing in
this title shall be considered to expand or limit State and
local regulatory authority.
(e) Special Areas.--
(1) In general.--The Secretary, after consultation
with the State of Alaska, the city of Kaktovik, and the
North Slope Borough, may designate up to a total of
45,000 acres of the Coastal Plain as a Special Area if
the Secretary determines that the Special Area is of
such unique character and interest so as to require
special management and regulatory protection. The
Secretary shall designate as such a Special Area the
Sadlerochit Spring area, comprising approximately 4,000
acres as depicted on the map referred to in section
102(1).
(2) Management.--Each such Special Area shall be
managed so as to protect and preserve the area's unique
and diverse character including its fish, wildlife, and
subsistence resource values.
(3) Exclusion from leasing or surface occupancy.--The
Secretary may exclude any Special Area from leasing. If
the Secretary leases a Special Area, or any part
thereof, for purposes of oil and gas exploration,
development, production, and related activities, there
shall be no surface occupancy of the lands comprising
the Special Area.
(4) Directional drilling.--Notwithstanding the other
provisions of this subsection, the Secretary may lease
all or a portion of a Special Area under terms that
permit the use of horizontal drilling technology from
sites on leases located outside the area.
(f) Limitation on Closed Areas.--The Secretary's sole
authority to close lands within the Coastal Plain to oil and
gas leasing and to exploration, development, and production is
that set forth in this title.
(g) Regulations.--
(1) In general.--The Secretary shall prescribe such
regulations as may be necessary to carry out this
title, including rules and regulations relating to
protection of the fish and wildlife, their habitat,
subsistence resources, and environment of the Coastal
Plain, by no later than 15 months after the date of the
enactment of this Act.
(2) Revision of regulations.--The Secretary shall
periodically review and, if appropriate, revise the
rules and regulations issued under subsection (a) to
reflect any significant biological, environmental, or
engineering data that come to the Secretary's
attention.
SEC. 104. LEASE SALES.
(a) In General.--Lands may be leased pursuant to this title
to any person qualified to obtain a lease for deposits of oil
and gas under the Mineral Leasing Act (30 U.S.C. 181 et seq.).
(b) Procedures.--The Secretary shall, by regulation,
establish procedures for--
(1) receipt and consideration of sealed nominations
for any area in the Coastal Plain for inclusion in, or
exclusion (as provided in subsection (c)) from, a lease
sale;
(2) the holding of lease sales after such nomination
process; and
(3) public notice of and comment on designation of
areas to be included in, or excluded from, a lease
sale.
(c) Lease Sale Bids.--Bidding for leases under this title
shall be by sealed competitive cash bonus bids.
(d) Acreage Minimum in First Sale.--In the first lease sale
under this title, the Secretary shall offer for lease those
tracts the Secretary considers to have the greatest potential
for the discovery of hydrocarbons, taking into consideration
nominations received pursuant to subsection (b)(1), but in no
case less than 200,000 acres.
(e) Timing of Lease Sales.--The Secretary shall--
(1) conduct the first lease sale under this title
within 22 months after the date of the enactment of
this Act; and
(2) conduct additional sales so long as sufficient
interest in development exists to warrant, in the
Secretary's judgment, the conduct of such sales.
SEC. 105. GRANT OF LEASES BY THE SECRETARY.
(a) In General.--The Secretary may grant to the highest
responsible qualified bidder in a lease sale conducted pursuant
to section 104 any lands to be leased on the Coastal Plain upon
payment by the lessee of such bonus as may be accepted by the
Secretary.
(b) Subsequent Transfers.--No lease issued under this title
may be sold, exchanged, assigned, sublet, or otherwise
transferred except with the approval of the Secretary. Prior to
any such approval the Secretary shall consult with, and give
due consideration to the views of, the Attorney General.
SEC. 106. LEASE TERMS AND CONDITIONS.
(a) In General.--An oil or gas lease issued pursuant to this
title shall--
(1) provide for the payment of a royalty of not less
than 12\1/2\ percent in amount or value of the
production removed or sold from the lease, as
determined by the Secretary under the regulations
applicable to other Federal oil and gas leases;
(2) provide that the Secretary may close, on a
seasonal basis, portions of the Coastal Plain to
exploratory drilling activities as necessary to protect
caribou calving areas and other species of fish and
wildlife;
(3) require that the lessee of lands within the
Coastal Plain shall be fully responsible and liable for
the reclamation of lands within the Coastal Plain and
any other Federal lands that are adversely affected in
connection with exploration, development, production,
or transportation activities conducted under the lease
and within the Coastal Plain by the lessee or by any of
the subcontractors or agents of the lessee;
(4) provide that the lessee may not delegate or
convey, by contract or otherwise, the reclamation
responsibility and liability to another person without
the express written approval of the Secretary;
(5) provide that the standard of reclamation for
lands required to be reclaimed under this title shall
be, as nearly as practicable, a condition capable of
supporting the uses which the lands were capable of
supporting prior to any exploration, development, or
production activities, or upon application by the
lessee, to a higher or better use as approved by the
Secretary;
(6) contain terms and conditions relating to
protection of fish and wildlife, their habitat, and the
environment as required pursuant to section 103(a)(2);
(7) provide that the lessee, its agents, and its
contractors use best efforts to provide a fair share,
as determined by the level of obligation previously
agreed to in the 1974 agreement implementing section 29
of the Federal Agreement and Grant of Right of Way for
the Operation of the Trans-Alaska Pipeline, of
employment and contracting for Alaska Natives and
Alaska Native Corporations from throughout the State;
(8) prohibit the export of oil produced under the
lease; and
(9) contain such other provisions as the Secretary
determines necessary to ensure compliance with the
provisions of this title and the regulations issued
under this title.
(b) Project Labor Agreements.--The Secretary, as a term and
condition of each lease under this title and in recognizing the
Government's proprietary interest in labor stability and in the
ability of construction labor and management to meet the
particular needs and conditions of projects to be developed
under the leases issued pursuant to this title and the special
concerns of the parties to such leases, shall require that the
lessee and its agents and contractors negotiate to obtain a
project labor agreement for the employment of laborers and
mechanics on production, maintenance, and construction under
the lease.
SEC. 107. COASTAL PLAIN ENVIRONMENTAL PROTECTION.
(a) No Significant Adverse Effect Standard To Govern
Authorized Coastal Plain Activities.--The Secretary shall,
consistent with the requirements of section 103, administer the
provisions of this title through regulations, lease terms,
conditions, restrictions, prohibitions, stipulations, and other
provisions that--
(1) ensure the oil and gas exploration, development,
and production activities on the Coastal Plain will
result in no significant adverse effect on fish and
wildlife, their habitat, and the environment;
(2) require the application of the best commercially
available technology for oil and gas exploration,
development, and production on all new exploration,
development, and production operations; and
(3) ensure that the maximum amount of surface acreage
covered by production and support facilities, including
airstrips and any areas covered by gravel berms or
piers for support of pipelines, does not exceed 2,000
acres on the Coastal Plain.
(b) Site-Specific Assessment and Mitigation.--The Secretary
shall also require, with respect to any proposed drilling and
related activities, that--
(1) a site-specific analysis be made of the probable
effects, if any, that the drilling or related
activities will have on fish and wildlife, their
habitat, and the environment;
(2) a plan be implemented to avoid, minimize, and
mitigate (in that order and to the extent practicable)
any significant adverse effect identified under
paragraph (1); and
(3) the development of the plan shall occur after
consultation with the agency or agencies having
jurisdiction over matters mitigated by the plan.
(c) Regulations To Protect Coastal Plain Fish and Wildlife
Resources, Subsistence Users, and the Environment.--Before
implementing the leasing program authorized by this title, the
Secretary shall prepare and promulgate regulations, lease
terms, conditions, restrictions, prohibitions, stipulations,
and other measures designed to ensure that the activities
undertaken on the Coastal Plain under this title are conducted
in a manner consistent with the purposes and environmental
requirements of this title.
(d) Compliance With Federal and State Environmental Laws and
Other Requirements.--The proposed regulations, lease terms,
conditions, restrictions, prohibitions, and stipulations for
the leasing program under this title shall require compliance
with all applicable provisions of Federal and State
environmental law and shall also require the following:
(1) Standards at least as effective as the safety and
environmental mitigation measures set forth in items 1
through 29 at pages 167 through 169 of the ``Final
Legislative Environmental Impact Statement'' (April
1987) on the Coastal Plain.
(2) Seasonal limitations on exploration, development,
and related activities, where necessary, to avoid
significant adverse effects during periods of
concentrated fish and wildlife breeding, denning,
nesting, spawning, and migration.
(3) That exploration activities, except for surface
geological studies, be limited to the period between
approximately November 1 and May 1 each year and that
exploration activities shall be supported by ice roads,
winter trails with adequate snow cover, ice pads, ice
airstrips, and air transport methods, except that such
exploration activities may occur at other times, if the
Secretary finds that such exploration will have no
significant adverse effect on the fish and wildlife,
their habitat, and the environment of the Coastal
Plain.
(4) Design safety and construction standards for all
pipelines and any access and service roads, that--
(A) minimize, to the maximum extent possible,
adverse effects upon the passage of migratory
species such as caribou; and
(B) minimize adverse effects upon the flow of
surface water by requiring the use of culverts,
bridges, and other structural devices.
(5) Prohibitions on public access and use on all
pipeline access and service roads.
(6) Stringent reclamation and rehabilitation
requirements, consistent with the standards set forth
in this title, requiring the removal from the Coastal
Plain of all oil and gas development and production
facilities, structures, and equipment upon completion
of oil and gas production operations, except that the
Secretary may exempt from the requirements of this
paragraph those facilities, structures, or equipment
that the Secretary determines would assist in the
management of the Arctic National Wildlife Refuge and
that are donated to the United States for that purpose.
(7) Appropriate prohibitions or restrictions on
access by all modes of transportation.
(8) Appropriate prohibitions or restrictions on sand
and gravel extraction.
(9) Consolidation of facility siting.
(10) Appropriate prohibitions or restrictions on use
of explosives.
(11) Avoidance, to the extent practicable, of
springs, streams, and river system; the protection of
natural surface drainage patterns, wetlands, and
riparian habitats; and the regulation of methods or
techniques for developing or transporting adequate
supplies of water for exploratory drilling.
(12) Avoidance or reduction of air traffic-related
disturbance to fish and wildlife.
(13) Treatment and disposal of hazardous and toxic
wastes, solid wastes, reserve pit fluids, drilling muds
and cuttings, and domestic wastewater, including an
annual waste management report, a hazardous materials
tracking system, and a prohibition on chlorinated
solvents, in accordance with applicable Federal and
State environmental law.
(14) Fuel storage and oil spill contingency planning.
(15) Research, monitoring, and reporting
requirements.
(16) Field crew environmental briefings.
(17) Avoidance of significant adverse effects upon
subsistence hunting, fishing, and trapping by
subsistence users.
(18) Compliance with applicable air and water quality
standards.
(19) Appropriate seasonal and safety zone
designations around well sites, within which
subsistence hunting and trapping shall be limited.
(20) Reasonable stipulations for protection of
cultural and archeological resources.
(21) All other protective environmental stipulations,
restrictions, terms, and conditions deemed necessary by
the Secretary.
(e) Considerations.--In preparing and promulgating
regulations, lease terms, conditions, restrictions,
prohibitions, and stipulations under this section, the
Secretary shall consider the following:
(1) The stipulations and conditions that govern the
National Petroleum Reserve-Alaska leasing program, as
set forth in the 1999 Northeast National Petroleum
Reserve-Alaska Final Integrated Activity Plan/
Environmental Impact Statement.
(2) The environmental protection standards that
governed the initial Coastal Plain seismic exploration
program under parts 37.31 to 37.33 of title 50, Code of
Federal Regulations.
(3) The land use stipulations for exploratory
drilling on the KIC-ASRC private lands that are set
forth in Appendix 2 of the August 9, 1983, agreement
between Arctic Slope Regional Corporation and the
United States.
(f) Facility Consolidation Planning.--
(1) In general.--The Secretary shall, after providing
for public notice and comment, prepare and update
periodically a plan to govern, guide, and direct the
siting and construction of facilities for the
exploration, development, production, and
transportation of Coastal Plain oil and gas resources.
(2) Objectives.--The plan shall have the following
objectives:
(A) Avoiding unnecessary duplication of
facilities and activities.
(B) Encouraging consolidation of common
facilities and activities.
(C) Locating or confining facilities and
activities to areas that will minimize impact
on fish and wildlife, their habitat, and the
environment.
(D) Utilizing existing facilities wherever
practicable.
(E) Enhancing compatibility between wildlife
values and development activities.
(g) Access to Public Lands.--The Secretary shall--
(1) manage public lands in the Coastal Plain subject
to subsections (a) and (b) of section 811 of the Alaska
National Interest Lands Conservation Act (16 U.S.C.
3121); and
(2) ensure that local residents shall have reasonable
access to public lands in the Coastal Plain for
traditional uses.
SEC. 108. EXPEDITED JUDICIAL REVIEW.
(a) Filing of Complaint.--
(1) Deadline.--Subject to paragraph (2), any
complaint seeking judicial review of any provision of
this title or any action of the Secretary under this
title shall be filed in any appropriate district court
of the United States--
(A) except as provided in subparagraph (B),
within the 90-day period beginning on the date
of the action being challenged; or
(B) in the case of a complaint based solely
on grounds arising after such period, within 90
days after the complainant knew or reasonably
should have known of the grounds for the
complaint.
(2) Venue.--Any complaint seeking judicial review of
an action of the Secretary under this title may be
filed only in the United States Court of Appeals for
the District of Columbia.
(3) Limitation on scope of certain review.--Judicial
review of a Secretarial decision to conduct a lease
sale under this title, including the environmental
analysis thereof, shall be limited to whether the
Secretary has complied with the terms of this title and
shall be based upon the administrative record of that
decision. The Secretary's identification of a preferred
course of action to enable leasing to proceed and the
Secretary's analysis of environmental effects under
this title shall be presumed to be correct unless shown
otherwise by clear and convincing evidence to the
contrary.
(b) Limitation on Other Review.--Actions of the Secretary
with respect to which review could have been obtained under
this section shall not be subject to judicial review in any
civil or criminal proceeding for enforcement.
SEC. 109. FEDERAL AND STATE DISTRIBUTION OF REVENUES.
(a) In General.--Notwithstanding any other provision of law,
of the amount of adjusted bonus, rental, and royalty revenues
from oil and gas leasing and operations authorized under this
title--
(1) 50 percent shall be paid to the State of Alaska;
and
(2) except as provided in section 112(d) and title
II, the balance shall be deposited into the Treasury as
miscellaneous receipts.
(b) Payments to Alaska.--Payments to the State of Alaska
under this section shall be made semiannually.
SEC. 110. RIGHTS-OF-WAY ACROSS THE COASTAL PLAIN.
(a) Exemption.--Title XI of the Alaska National Interest
Lands Conservation Act of 1980 (16 U.S.C. 3161 et seq.) shall
not apply to the issuance by the Secretary under section 28 of
the Mineral Leasing Act (30 U.S.C. 185) of rights-of-way and
easements across the Coastal Plain for the transportation of
oil and gas.
(b) Terms and Conditions.--The Secretary shall include in any
right-of-way or easement referred to in subsection (a) such
terms and conditions as may be necessary to ensure that
transportation of oil and gas does not result in a significant
adverse effect on the fish and wildlife, subsistence resources,
their habitat, and the environment of the Coastal Plain,
including requirements that facilities be sited or designed so
as to avoid unnecessary duplication of roads and pipelines.
(c) Regulations.--The Secretary shall include in regulations
under section 103(g) provisions granting rights-of-way and
easements described in subsection (a) of this section.
SEC. 111. CONVEYANCE.
In order to maximize Federal revenues by removing clouds on
title to lands and clarifying land ownership patterns within
the Coastal Plain, the Secretary, notwithstanding the
provisions of section 1302(h)(2) of the Alaska National
Interest Lands Conservation Act (16 U.S.C. 3192(h)(2)), shall
convey--
(1) to the Kaktovik Inupiat Corporation the surface
estate of the lands described in paragraph 1 of Public
Land Order 6959, to the extent necessary to fulfill the
Corporation's entitlement under section 12 of the
Alaska Native Claims Settlement Act (43 U.S.C. 1611) in
accordance with the terms and conditions of the
Agreement between the Department of the Interior, the
United States Fish and Wildlife Service, the Bureau of
Land Management, and the Kaktovik Inupiat Corporation
effective January 22, 1993; and
(2) to the Arctic Slope Regional Corporation the
remaining subsurface estate to which it is entitled
pursuant to the August 9, 1983, agreement between the
Arctic Slope Regional Corporation and the United States
of America.
SEC. 112. LOCAL GOVERNMENT IMPACT AID AND COMMUNITY SERVICE ASSISTANCE.
(a) Financial Assistance Authorized.--
(1) In general.--The Secretary may use amounts
available from the Coastal Plain Local Government
Impact Aid Assistance Fund established by subsection
(d) to provide timely financial assistance to entities
that are eligible under paragraph (2) and that are
directly impacted by the exploration for or production
of oil and gas on the Coastal Plain under this title.
(2) Eligible entities.--The North Slope Borough,
Kaktovik, and other boroughs, municipal subdivisions,
villages, and any other community organized under
Alaska State law shall be eligible for financial
assistance under this section.
(b) Use of Assistance.--Financial assistance under this
section may be used only for--
(1) planning for mitigation of the potential effects
of oil and gas exploration and development on
environmental, social, cultural, recreational and
subsistence values;
(2) implementing mitigation plans and maintaining
mitigation projects;
(3) developing, carrying out, and maintaining
projects and programs that provide new or expanded
public facilities and services to address needs and
problems associated with such effects, including
firefighting, police, water, waste treatment, medivac,
and medical services; and
(4) establishment of a coordination office, by the
North Slope Borough, in the City of Kaktovik, which
shall--
(A) coordinate with and advise developers on
local conditions, impact, and history of the
areas utilized for development; and
(B) provide to the Committee on Resources of
the Senate and the Committee on Energy and
Resources of the Senate an annual report on the
status of coordination between developers and
the communities affected by development.
(c) Application.--
(1) In general.--Any community that is eligible for
assistance under this section may submit an application
for such assistance to the Secretary, in such form and
under such procedures as the Secretary may prescribe by
regulation.
(2) North slope borough communities.--A community
located in the North Slope Borough may apply for
assistance under this section either directly to the
Secretary or through the North Slope Borough.
(3) Application assistance.--The Secretary shall work
closely with and assist the North Slope Borough and
other communities eligible for assistance under this
section in developing and submitting applications for
assistance under this section.
(d) Establishment of Fund.--
(1) In general.--There is established in the Treasury
the Coastal Plain Local Government Impact Aid
Assistance Fund.
(2) Use.--Amounts in the fund may be used only for
providing financial assistance under this section.
(3) Deposits.--Subject to paragraph (4), there shall
be deposited into the fund amounts received by the
United States as revenues derived from rents, bonuses,
and royalties under on leases and lease sales
authorized under this title.
(4) Limitation on deposits.--The total amount in the
fund may not exceed $11,000,000.
(5) Investment of balances.--The Secretary of the
Treasury shall invest amounts in the fund in interest
bearing government securities.
(e) Authorization of Appropriations.--To provide financial
assistance under this section there is authorized to be
appropriated to the Secretary from the Coastal Plain Local
Government Impact Aid Assistance Fund $5,000,000 for each
fiscal year.
TITLE II--ABANDONED MINE LANDS RECLAMATION REFORM
SEC. 201. SHORT TITLE.
This title may be cited as the ``Abandoned Mine Lands
Reclamation Reform Act of 2004''.
SEC. 202. AMENDMENTS TO SURFACE MINING ACT.
(a) Amendments to Section.--(1) Section 401 of the Surface
Mining Control and Reclamation Act of 1977 (30 U.S.C. 1231) is
amended as follows:
(A) In subsection (c) by striking paragraphs (2) and
(6) and redesignating paragraphs (3) through (13) in
order as paragraphs (2) through (11).
(B) In subsection (e)--
(i) in the second sentence, by striking ``the
needs of such fund'' and inserting ``achieving
the purposes of the payments under section
402(h)''; and
(ii) in the third sentence, by inserting
before the period the following: ``for the
purpose of the payments under section 402(h)''.
(2) Section 712(b) of the Surface Mining Control and
Reclamation Act of 1977 (30 U.S.C. 1302(b)) is amended
by striking ``section 401(c)(11)'' and inserting
``section 401(c)(9)''.
(b) Amendments to Section 402.--Section 402 of the Surface
Mining Control and Reclamation Act of 1977 (30 U.S.C. 1232) is
amended as follows:
(1) In subsection (a)--
(A) by striking ``35'' and inserting ``28'';
(B) by striking ``15'' and inserting ``12'';
and
(C) by striking ``10 cents'' and inserting
``8 cents''.
(2) In subsection (b) by striking ``2004'' and all
that follows through the end of the sentence and
inserting ``2019.''.
(3) In subsection (g)(1)(D) by striking ``in any area
under paragraph (2), (3), (4), or (5)'' and inserting
``under paragraph (5)''.
(4) Subsection (g)(2) is amended to read as follows:
``(2) In making the grants referred to in paragraph
(1)(C) and the grants referred to in paragraph (5), the
Secretary shall ensure strict compliance by the States
and Indian tribes with the priorities set forth in
section 403(a) until a certification is made under
section 411(a).''.
(5) In subsection (g)(3)--
(A) in the matter preceding subparagraph (A)
by striking ``paragraphs (2) and'' and
inserting ``paragraph'';
(B) in subparagraph (A) by striking
``401(c)(11)'' and inserting ``401(c)(9)''; and
(C) by adding at the end the following:
``(E) For the purpose of paragraph (8).''.
(6) In subsection (g)(5)--
(A) by inserting ``(A)'' before the first
sentence;
(B) in the first sentence by striking ``40''
and inserting ``60'';
(C) in the last sentence by striking ``Funds
allocated or expended by the Secretary under
paragraphs (2), (3), or (4),'' and inserting
``Funds made available under paragraph (3) or
(4)''; and
(D) by adding at the end the following:
``(B) Any amount that is reallocated and available under
section 411(h)(3) shall be in addition to amounts that are
allocated under subparagraph (A).''.
(7) Subsection (g)(6) is amended to read as follows:
``(6)(A) Any State with an approved abandoned mine
reclamation program pursuant to section 405 may receive and
retain, without regard to the 3-year limitation referred to in
paragraph (1)(D), up to 10 percent of the total of the grants
made annually to such State under paragraphs (1) and (5) if
such amounts are deposited into an acid mine drainage abatement
and treatment fund established under State law, from which
amounts (together with all interest earned on such amounts) are
expended by the State for the abatement of the causes and the
treatment of the effects of acid mine drainage in a
comprehensive manner within qualified hydrologic units affected
by coal mining practices.
``(B) For the purposes of this paragraph, the term `qualified
hydrologic unit' means a hydrologic unit--
``(i) in which the water quality has been
significantly affected by acid mine drainage from coal
mining practices in a manner that adversely impacts
biological resources; and
``(ii) that contains lands and waters that are--
``(I) eligible pursuant to section 404 and
include any of the priorities set forth in
section 403(a); and
``(II) the subject of expenditures by the
State from the forfeiture of bonds required
under section 509 or from other States sources
to abate and treat acid mine drainage.''.
(8) Subsection (g)(7) is amended to read as follows:
``(7) In complying with the priorities set forth in section
403(a), any State or Indian tribe may use amounts available in
grants made annually to such State or tribe under paragraphs
(1) and (5) for the reclamation of eligible lands and waters
set forth in section 403(a)(3) prior to the completion of
reclamation projects under paragraphs (1) and (2) of section
403(a) only if the expenditure of funds for such reclamation is
done in conjunction with the expenditure of funds for
reclamation projects under paragraphs (1) and (2) of section
403(a).''.
(9) Subsection (g)(8) is amended to read as follows:
``(8) In making the grants referred to in paragraph (1)(C),
the Secretary, using amounts allocated to a State or Indian
tribe under subparagraphs (A) or (B) of paragraph (1) or as
necessary amounts available to the Secretary under paragraph
(3), shall assure total grant awards of not less than
$2,000,000 annually to each State, including Tennessee, and
each Indian tribe.''.
(10) By amending subsection (h) to read as follows:
``(h) Payment of Funds for Benefit Payments.--
``(1) In general.--Except as otherwise provided in
this subsection, at the beginning of each fiscal year,
the Secretary of the Interior shall pay from the fund--
``(A) the amount described in paragraph (3)
for such year to the Combined Fund,
``(B) the amount described in paragraph (4)
for such year to the 1992 Plan, and
``(C) the amount described in paragraph (5)
for such year to the 1993 Plan.
``(2) Payments may not exceed aggregate interest
received by fund.--The aggregate amount paid under
paragraph (1) for any fiscal year shall not exceed the
lesser of--
``(A) the excess of--
``(i) the aggregate interest received
by the fund during all preceding fiscal
years, over
``(ii) the aggregate payments made
under paragraph (1) for all preceding
fiscal years, or
``(B) the unobligated balance of the fund as
of the close of the preceding fiscal year.
``(3) Payments to combined fund.--
``(A) In general.--The amount described in
this paragraph for any fiscal year is an amount
equal to the sum of--
``(i) the estimated expenditures to
be debited against the unassigned
beneficiaries premium account under
section 9704(e) of the Internal Revenue
Code of 1986 for such fiscal year, plus
``(ii) the estimated amount needed to
offset the amount of any deficit (as of
the close of the preceding fiscal year)
in net assets in the Combined Fund.
``(B) Certain pre-2001 premiums.--
``(i) In general.--The amount
described in this paragraph (without
regard to this subparagraph) for fiscal
year 2004 shall be increased by
$36,000,000.
``(ii) Refunds.--Not later than
January 31, 2005, the trustees of the
Combined Fund shall pay to each coal
industry operator described in clause
(iii) (and to each related person with
respect to such an operator) an amount
equal to the aggregate amount paid by
such operator (or such related person)
to the Combined Fund on or before
September 7, 2000, and not previously
refunded or credited, plus interest on
such amount calculated at the rate of
7.5 percent per year. The aggregate
amount paid under this subparagraph
shall not exceed $36,000,000.
``(iii) Coal industry operator
described.--A coal industry operator is
described in this clause if--
``(I) the operator's
beneficiary assignments have
been voided by the Commissioner
of the Social Security
Administration; and
``(II) the operator brought
an action prior to September 7,
2000, claiming that the
assignment of beneficiaries
under section 9706 of the
Internal Revenue Code of 1986
was unconstitutional as applied
to such operator and received a
final judgment or final
settlement against such claim.
``(4) Payments to 1992 plan.--The amount described in
this paragraph for any fiscal year is an amount equal
to the excess of--
``(A) the estimated expenditures from the
1992 Plan during such fiscal year to provide
benefits required under section 9712(c) of such
Code, over
``(B) the estimated receipts of the 1992 Plan
for such fiscal year from payments required
under paragraphs (1)(B) and (3) of section
9712(d) of such Code and from any security
provided to the 1992 Plan pursuant to section
9712(d)(1)(C) of such Code that is available
for use in the provision of benefits.
``(5) Payments to 1993 plan.--
``(A) In general.--The amount described in
this paragraph for any fiscal year is an amount
equal to the excess of--
``(i) the estimated expenditures from
the 1993 Plan during such fiscal year
to continue to provide benefits at
levels no greater than those in effect
on the date of enactment of this
paragraph, under the eligibility
criteria in effect on the date of
enactment of this paragraph, over
``(ii) the estimated income of the
1993 Plan for such fiscal year.
``(B) Limitation.--A payment shall not be
made under this paragraph for any fiscal year
unless the entities that are obligated as of
the beginning of such fiscal year to contribute
to the 1993 Plan remain obligated throughout
such year to make such contributions at rates
that are no less than those in effect on the
date of enactment of this paragraph.
``(6) Refunds of 2004 premiums, etc.--Not later than
December 1, 2004, the Secretary of the Interior shall
pay from the fund to each specified person (as defined
in section 415(d)(2)) an amount equal to the amount of
premiums or assigned operator contributions paid by
such person for fiscal year 2004.
``(7) Ordering rules where specified payments exceed
limitation.--
``(A) In general.--Amounts shall be paid
under paragraphs (4), (5), or (6) for any
fiscal year only to the extent that the
limitation under paragraph (2) for such year
exceeds the sum of--
``(i) the estimated payments to be
made under paragraph (3) for such year,
and
``(ii) the estimated payments to be
made under paragraph (3) for the
succeeding fiscal year.
``(B) Proportional reduction.--Payments under
paragraphs (4), (5), and (6) shall be
proportionally reduced to the extent the full
amount of such payments may not be made by
reason of subparagraph (A).
``(8) Estimates and adjustments.--
``(A) Estimates.--Estimated amounts with
respect to any fund or plan shall be made by
the trustees thereof.
``(B) Adjustments.--If, for any fiscal year,
the amount paid under paragraph (3), (4), or
(5) is more or less than the amount required to
be paid, the Secretary of the Interior shall
appropriately adjust the amount paid under that
paragraph for the next fiscal year.
``(9) Definitions.--For purposes of this subsection--
``(A) Combined fund.--The term `Combined
Fund' means the United Mine Workers of America
Combined Benefit Fund established under section
9702 of the Internal Revenue Code of 1986.
``(B) 1992 plan.--The term `1992 Plan' means
the United Mine Workers of America 1992 Benefit
Plan established under section 9712 of such
Code.
``(C) 1993 plan.--The term `1993 Plan' means
the multiemployer health benefit plan
established after July 20, 1992, by the persons
referred to in section 9701(b)(2) of such Code.
``(10) Coordination with premium relief.--
``(A) In general.--Payments shall be made
under this subsection for any fiscal year only
if the Secretary reasonably expects that no
premium will be required to be paid during such
year under section 9704 of the Internal Revenue
Code of 1986 by reason of payments under
section 415(c)(3) of this Act.
``(B) Restoration of prior transfer rules
when premium relief ceases.--If fees are
required to be paid under this section with
respect to any fiscal year for which payments
may not be made under this subsection by reason
of subparagraph (A), the Secretary shall, as of
the beginning of such fiscal year and before
any allocation under subsection (g), make the
transfer provided in subparagraph (C).
``(C) Transfer to combined fund.--The
Secretary shall transfer from the fund to the
United Mine Workers of America Combined Benefit
Fund established under section 9702 of the
Internal Revenue Code of 1986 for any fiscal
year an amount equal to the sum of--
``(i) the amount of the interest
which the Secretary estimates will be
earned and paid to the Fund during the
fiscal year, plus
``(ii) the amount by which the amount
described in clause (i) is less than
$70,000,000.
``(D)(i) The aggregate amount which may be
transferred under subparagraph (C) for any
fiscal year shall not exceed the amount of
expenditures which the trustees of the Combined
Fund estimate will be debited against the
unassigned beneficiaries premium account under
section 9704(e) of the Internal Revenue Code of
1986 for the fiscal year of the Combined Fund
in which the transfer is made.
``(ii) The aggregate amount which may be
transferred under subparagraph (C)(ii) for all
fiscal years shall not exceed an amount
equivalent to all interest earned and paid to
the fund after September 30, 1992, and before
October 1, 1995.
``(E) If, for any fiscal year, the amount
transferred is more or less than the amount
required to be transferred, the Secretary shall
appropriately adjust the amount transferred for
the next fiscal year.''
(c) Amendments to Section 403.--Section 403 of the Surface
Mining Control and Reclamation Act of 1977 (30 U.S.C. 1233(a))
is amended as follows:
(1) In subsection (a)--
(A) in paragraph (1) by striking ``general
welfare,'';
(B) in paragraph (2) by striking ``health,
safety, and general welfare'' and inserting
``health and safety'', and inserting ``and''
after the semicolon at the end;
(C) in paragraph (3) by striking the
semicolon at the end and inserting a period;
and
(D) by striking paragraphs (4) and (5).
(2) In subsection (b)--
(A) by striking the heading and inserting
``Water Supply Restoration.--''; and
(B) in paragraph (1) by striking ``up to 30
percent of the''.
(3) In subsection (c) by inserting ``, subject to the
approval of the Secretary,'' after ``amendments''.
(d) Amendment to Section 406.--Section 406(h) of the Surface
Mining Control and Reclamation Act of 1977 (30 U.S.C. 1236(h))
is amended by striking ``Soil Conservation Service'' and
inserting ``Natural Resources Conservation Service''.
(e) Further Amendment to Section 406.--Section 406 of the
Surface Mining Control and Reclamation Act of 1977 (30 U.S.C.
1236) is amended by adding at the end the following:
``(i) There is authorized to be appropriated to the Secretary
of Agriculture, from amounts in the Treasury other than amounts
in the fund, such sums as may be necessary to carry out this
section.''.
(f) Amendment to Section 408.--Section 408(a) of the Surface
Mining Control and Reclamation Act of 1977 (30 U.S.C. 1238) is
amended by striking ``who owned the surface prior to May 2,
1977, and''.
(g) Amendments to Section 411.--Section 411 of the Surface
Mining Control and Reclamation Act of 1977 (30 U.S.C. 1240a) is
amended as follows:
(1) In subsection (a) by inserting ``(1)'' before the
first sentence, and by adding at the end the following:
``(2) The Secretary may, on the Secretary's own volition,
make the certification referred to in paragraph (1) on behalf
of any State or Indian tribe referred to in paragraph (1) if on
the basis of the inventory referred to in section 403(c) all
reclamation projects relating to the priorities set forth in
section 403(a) for eligible lands and water pursuant to section
404 in such State or tribe have been completed. The Secretary
shall only make such certification after notice in the Federal
Register and opportunity for public comment.''.
(2) By adding at the end the following:
``(h) State Share for Certain Certified States.--(1)(A) From
moneys referred to in subsection (a) of section 35 of the
Mineral Leasing Act (30 U.S.C. 191(a)) that are paid into the
Treasury after the date of the enactment of this subsection and
that are not paid to States under section 35 of the Mineral
Leasing Act or reserved as part of the reclamation fund under
such section, the Secretary of the Interior shall pay to each
qualified State, on a proportional basis, an amount equal to
the sum of the aggregate unappropriated amount allocated to
such qualified State under section 402(g)(1)(A).
``(B) In this paragraph the term `qualified State' means a
State for which a certification is made under subsection (a)
and in which there are public domain lands available for
leasing under the Mineral Leasing Act (30 U.S.C. 181 et seq.).
``(2) Payments to States under this subsection shall be made,
without regard to any limitation in section 401(d), in the same
manner as if paid under section 35 of the Mineral Leasing Act
(30 U.S.C. 191) and concurrently with payments to States under
that section. The funds distributed under this section shall be
referred to as the `Cubin-Thomas Mineral Fund'.
``(3) The amount allocated to any State under section
402(g)(1)(A) that is paid to such State as a result of a
payment under paragraph (1) of this subsection shall be
reallocated and available for grants under section
402(g)(5).''.
SEC. 203. USE OF REVENUES FROM COASTAL PLAIN.
(a) Use of Revenues.--Title IV of the Surface Mining Control
and Reclamation Act of 1977 (30 U.S.C. 1231 et seq.) is amended
by adding at the end the following:
``SEC. 415. USE OF REVENUES FROM COASTAL PLAIN OF ALASKA.
``(a) Coal Mining Fairness Fund.--There is established in the
Treasury a separate account to be known as the `Coal Mining
Fairness Fund' (hereafter in this section referred to as the
`Account').
``(b) Appropriations to Account.--
``(1) In general.--There are hereby appropriated to
the Account amounts equivalent to the amounts received
by the United States as bonuses, rents, or royalties
from the exploration, development, and production of
the oil and gas resources of the Coastal Plain, that
are not required to be otherwise paid or deposited
under section 109(a) or 112(d) of the Arctic Coastal
Plain Domestic Energy Security Act of 2004.
``(2) Repayable advances.--
``(A) In general.--There are hereby
appropriated to the Account for each fiscal
year as a repayable advance an amount equal to
the excess (if any) of--
``(i) the expenditures required under
subsection (c) for such year, over
``(ii) the amount appropriated by
paragraph (1) for such year.
``(B) Repayment of advances.--
``(i) In general.--Advances made to
the Account shall be repaid, and
interest on such advances shall be
paid, to the general fund of the
Treasury when the Secretary of the
Interior determines that moneys are
available for such purposes in the
Account.
``(ii) Final repayment.--No advance
shall be made to the Account after
December 31, 2007, and all advances to
the Account shall be repaid on or
before September 30, 2009.
``(C) Rate of interest.--Interest on advances
made to the Account shall be at a rate
determined by the Secretary of the Treasury (as
of the close of the calendar month preceding
the month in which the advance is made) to be
equal to the current average market yield on
outstanding marketable obligations of the
United States with remaining periods to
maturity comparable to the anticipated period
during which the advance will be outstanding
and shall be compounded annually.
``(c) Expenditures.--
``(1) Combined fund.--The Secretary of the Interior
shall pay from the Account to the Combined Fund amounts
necessary (after the payments under section 402(h)) to
meet the obligations of the Combined Fund.
``(2) Refunds of 2004 premiums, etc.--Not later than
December 1, 2004, the Secretary of the Interior shall
pay from the Account to each specified person an amount
equal to the amount of premiums or assigned operator
contributions paid by such person for fiscal year 2004
to the extent such premiums and contributions have not
been refunded under section 402(h)(6).
``(3) Premiums, etc. otherwise payable after 2004.--
``(A) In general.--At the beginning of each
fiscal year after fiscal year 2004, the
Secretary of the Interior shall pay from the
Account to the Combined Fund an amount equal to
the amount of premiums or assigned operator
contributions which would (but for subparagraph
(B)) be required to be paid by specified
persons for such fiscal year.
``(B) Waiver of liability.--For waiver of
liability for amounts paid under subparagraph
(A), see section 9704(j) of the Internal
Revenue Code of 1986.
``(4) 1992 plan.--The Secretary of the Interior shall
pay from the Account to the 1992 Plan (as defined in
section 402(h)) amounts necessary (after the
appropriations under section 402(h)) to pay the amounts
described in section 402(h)(4).
``(5) 1993 plan.--The Secretary of the Interior shall
pay from the Account to the 1993 Plan amounts necessary
(after the appropriations under section 402(h)) to pay
the amounts described in section 402(h)(5).
``(6) Qualified states.--
``(A) In general.--The Secretary of the
Interior shall pay from the Account to each
qualified State an amount equal to the sum of
the aggregate unappropriated amount allocated
to such qualified State under subparagraph (A)
or (B), as applicable, of section 402(g)(1).
``(B) Reallocation.--The amount allocated to
any qualified State under section 402(g)(1)
that is paid to such qualified State as a
result of a payment under subparagraph (A)
shall be reallocated and available for grants
under section 402(g)(5).
``(d) Definitions.--For purposes of this section--
``(1) Coastal plain.--The term `Coastal Plain' has
the meaning given that term in section 102 of the
Arctic Coastal Plain Domestic Energy Security Act of
2004.
``(2) Specified person.--The term `specified person'
means an assigned operator (as defined in section
9701(c)(5) of the Internal Revenue Code of 1986), a
related person of such assigned operator, and a
successor-in-interest of such operator or person, if
according to the records of the Combined Fund such
assigned operator--
``(A) was assessed or is otherwise liable for
premiums to the Combined Fund in October 2001,
and
``(B) was not--
``(i) a signatory to the 1988 or any
later National Bituminous Coal Wage
Agreement,
``(ii) a signatory to an agreement
(other than the National Coal Mine
Construction Agreement or the Coal
Haulers' Agreement) containing pension
and health care contribution and
benefit provisions that are identical
to those contained in the 1988 National
Bituminous Coal Wage Agreement, or
``(iii) an employer from which
contributions were actually received
after 1987 and before July 20, 1992, by
the 1950 United Mine Workers of America
Benefit Plan Benefit Plan or the 1974
United Mine Workers of America Benefit
Plan in connection with employment in
the coal industry during the period
covered by the 1988 National Bituminous
Coal Wage Agreement.
``(3) Combined fund.--The term `Combined Fund' means
the United Mine Workers of America of America Combined
Benefit Fund established under section 9702 of the
Internal Revenue Code of 1986.
``(4) Qualified state.--The term `qualified State'
means a State--
``(A) for which a certification is made under
subsection 411(a); and
``(B) in which there are no public domain
lands, in the case of a State.''.
(b) Clerical Amendment.--The table of contents in the first
section of such Act is amended by inserting after the item
relating to section 414 the following:
``415. Use of revenues from Coastal Plain of Alaska.''.
SEC. 204. PROVISIONS RELATING TO THE IMPLEMENTATION OF THIS TITLE.
(a) Transition.--(1) Amounts allocated under section
402(g)(2) of the Surface Mining Control and Reclamation Act of
1977 (30 U.S.C. 1232(g)(2)) (excluding interest) prior to the
date of enactment of this Act for the program set forth under
section 406 of that Act (30 U.S.C. 1236), but not appropriated
prior to such date, shall be available in fiscal year 2005 and
thereafter for the payments referred to in section 402(h)(1) of
such Act (30 U.S.C. 1232(h)), as amended by this Act, in the
same manner as are other amounts available for such payments.
(2) Notwithstanding any other provision of law, interest
credited to the fund established by section 401 of the Surface
Mining Control and Reclamation Act of 1977 (30 U.S.C. 1231)
that is not transferred to the Combined Fund referred to in
section 402(h) of such Act (30 U.S.C. 1232(h)), as amended by
this Act, prior to the date of enactment of this Act shall be
available in fiscal year 2004 and thereafter for the payments
referred to in section 402(h)(1) of such Act (30 U.S.C.
1232(h)), as amended by this Act, in the same manner as are
other amounts available for such payments.
(3) Amounts shall be available as provided in paragraphs (1)
and (2) only to the extent that the amounts payable under
section 402(h)(1) of such Act without regard to the limitation
in section 402(h)(2) of such Act exceed such limitation.
(4) Amounts shall be available as provided in paragraphs (1)
and (2) for any fiscal year only if the Secretary of the
Interior reasonably expects that no premium will be required to
be paid during such year under section 9704 of the Internal
Revenue Code of 1986 by reason of payments under section
415(c)(3) of this Act.
(b) Inventory.--Within one year after the date of enactment
of this Act, the Secretary of the Interior shall complete a
review of all additions made, pursuant to amendments offered by
States and Indians tribes after December 31, 1998, to the
inventory referred to in section 403(c) of the Surface Mining
Control and Reclamation Act of 1977 (30 U.S.C. 1233(c)) to
ensure that such additions reflect eligible lands and waters
pursuant to section 404 of such Act (30 U.S.C. 1234) that meet
the priorities set forth in paragraphs (1) and (2) of section
403(a) of such Act (30 U.S.C. 1233(a)(1) and (2)), and are
correctly identified pursuant to such priorities. Any lands or
waters that were included in the inventory pursuant to the
general welfare standard set forth in section 403(a) of such
Act (30 U.S.C. 1233(a)) before the date of enactment of this
Act that are determined in the review to no longer meet the
criteria set forth in paragraphs (1) and (2) of section 403(a)
of such Act, as amended by this Act, shall be removed from the
inventory.
(c) Clarification.--For the purposes of section 528(2) of the
Surface Mining Control and Reclamation Act of 1977 (30 U.S.C.
1278(2)), the term ``government-financed'' shall not include
funds made available under title IV of such Act.
(d) Payment of Tribal.--(1) Notwithstanding any other
provision of law and by not later than December 31, 2004, the
Secretary of the Interior shall use amounts allocated under
section 402(g)(2) of the Surface Mining Control and Reclamation
Act of 1977 (30 U.S.C. 1232(g)(2)) (excluding interest) prior
to the date of enactment of this Act for the program set forth
under section 406 of that Act (30 U.S.C. 1236), but not
appropriated prior to such date, to pay an amount determined in
accordance with paragraph (2) to any Indian tribe that has made
the certification referred to in section 411 of the Surface
Mining Control and Reclamation Act of 1977 (30 U.S.C. 1240a).
(2) The payment to an Indian tribe under paragraph (1) shall
not exceed the aggregate unappropriated amount allocated to
such tribe under section 402(g)(1)(B) of such Act (43 U.S.C.
1232(g)(1)(B)) as of the date of the enactment of this Act, and
shall be made in lieu of payment of such aggregate allocated
amount.
(e) Remining.--
(1) Extension of authority.--Section 511(e) of the
Surface Mining Control and Reclamation Act of 1977 (30
U.S.C. 1260(e)) is amended by striking ``2004'' and
inserting ``2019''.
(2) Savings clause.--Except as provided in paragraph
(1), nothing in this section shall be considered to
modify or amend any provision of law governing coal
remining.
(f) Ensuring Availability of Mineral Leasing Act Revenues.--
Section 949(a)(1) of the Energy Policy Act of 2004 is amended
by inserting ``(A)'' before the first sentence, and by adding
at the end the following:
``(B) Amounts derived from leases issued under the
Mineral Leasing Act shall be deposited under
subparagraph (A) for a fiscal year only to the extent
that amounts derived from leases issued under the Outer
Continental Shelf Lands Act and available for such
deposit for the fiscal year (after distribution of any
such funds as described in subsection (c)) are less
than $150,000,000.''.
TITLE III--AMENDMENTS OF INTERNAL REVENUE CODE OF 1986
SEC. 301. WAIVER OF PREMIUMS FOR CERTAIN OPERATORS.
(a) In General.--Section 9704 of the Internal Revenue Code of
1986 (relating to liability of assigned operators) is amended
by adding after subsection (i) the following new subsection:
``(j) Waiver of Premiums for Certain Operators.--No premium
shall be required to be paid under this section to the extent
of the amount of such premium which is paid under section 415
of the Surface Mining Control and Reclamation Act of 1977.''
(b) Use of Amounts Paid From Abandoned Mine Reclamation
Fund.--Paragraph (2) of section 9705(b) of such Code is amended
to read as follows:
``(2) Use of funds.--Any amount transferred under
paragraph (1) for any fiscal year shall be used as
provided in such section 402(h) (as in effect on the
date of the enactment of the Abandoned Mine Lands
Reclamation Reform Act of 2004).''.
SEC. 302. PREPAYMENT OF PREMIUM LIABILITY FOR COAL INDUSTRY HEALTH
BENEFITS.
(a) In General.--Section 9704 of the Internal Revenue Code of
1986 (relating to liability of assigned operators) is amended
by adding at the end the following new subsection:
``(k) Prepayment of Premium Liability.--
``(1) In general.--If--
``(A) a payment meeting the requirements of
paragraph (2) is made to the Combined Fund--
``(i) by or on behalf of any assigned
operator which is a member of a
controlled group of corporations
(within the meaning of section 52(a))
the common parent of which is a
corporation the shares of which are
publicly traded on a United States
exchange, or
``(ii) by or on behalf of any related
person to any assigned operator within
that controlled group of corporations,
and
``(B) the common parent of such group is
jointly and severally liable for any premium
which would (but for this subsection) be
required to be paid by any such operator,
then no person (other than such common parent) shall be
liable for any premium for which any operator within
that controlled group of corporations would otherwise
be liable.
``(2) Requirements.--A payment meets the requirements
of this paragraph if--
``(A) the amount of the payment is not less
than the present value of the total premium
liability of the assigned operator or operators
within that controlled group of corporations
for its or their assignees under this chapter
with respect to the Combined Fund (as
determined by the operator's enrolled actuary,
as defined in section 7701(a)(35)), using
actuarial methods and assumptions each of which
is reasonable and which are reasonable in the
aggregate, as determined by such enrolled
actuary;
``(B) a signed actuarial report is filed with
the Secretary of Labor by such enrolled actuary
containing--
``(i) the date of the actuarial
valuation applicable to the report; and
``(ii) a statement by the enrolled
actuary signing the report that to the
best of the actuary's knowledge the
report is complete and accurate and
that in the actuary's opinion the
actuarial assumptions used are in the
aggregate reasonably related to the
experience of the operator and to
reasonable expectations; and
``(C) 30 calendar days have elapsed after the
report required by subparagraph (B) is filed
with the Secretary of Labor, and the Secretary
of Labor has not notified the assigned operator
in writing that the requirements of this
paragraph have not been satisfied.
``(3) Use of prepayment.--The Combined Fund shall
establish and maintain an account for each assigned
operator making such payment or on behalf of which such
payment was made (with earnings thereon) and use all
amounts in such account exclusively to pay premiums
that would (but for this subsection) be required to be
paid by the assigned operator. Upon termination of the
obligations for premium liability of any assigned
operator for which such account is maintained, all
funds remaining in such account (and earnings thereon)
shall be refunded to such entity as may be designated
by the common parent described in paragraph (1)(B).''.
(b) Joint and Several Liability of Related Persons.--Section
9711(c) of such Code is amended to read as follows:
``(c) Joint and Several Liability of Related Persons.--
``(1) Each related person of a last signatory
operator to which subsection (a) or (b) applies shall
be jointly and severally liable with the last signatory
operator for the provision of health care coverage
described in subsection (a) or (b), provided, however,
that an assigned operator who is a last signatory
operator under section 9711 and a member of a
controlled group of corporations (within the meaning of
section 52(a)) or a related person to any assigned
operator within that controlled group of corporations,
that has met the requirements of section 9704(k) (1)
and (2) and has provided security described in
paragraph 9711(c)(2), shall be relieved of all such
joint and several liability as of the date upon which
such requirements are met, provided, however, that the
common parent of such controlled group of corporations
shall remain liable for the provision of benefits
required to be provided under subsection (a) or (b).
``(2) Security meets the requirements of this
paragraph if--
``(A) the security (in the form of a bond,
letter of credit or cash escrow) is provided to
the trustees of the 1992 UMWA Benefit Plan,
solely for the purpose of paying premiums for
beneficiaries described in section
9712(b)(2)(B), equal in amount to 1 year's
liability of the last signatory operator under
section 9711, determined by using the average
cost of such operator's liability during its
prior 3 calendar years;
``(B) the security is in addition to any
other security required under any other
provision of this Act; and
``(C) the security remains in place for 5
years.
``(3) Upon termination of the obligations of the last
signatory operator providing such security or the
expiration of 5 years, whichever occurs first, the full
amount of such security (and earnings thereon) shall be
refunded to the last signatory operator.''.
(c) Effective Date.--The amendments made by this section
shall take effect on the date of the enactment of this Act.
SEC. 303. DEFINITION OF SUCCESSOR IN INTEREST.
(a) In General.--Subsection (c) of section 9701 of the
Internal Revenue Code of 1986 is amended by adding at the end
the following new paragraph:
``(8) Successor in interest.--
``(A) Safe harbor.--The term `successor in
interest' shall not include any person--
``(i) who is an unrelated person to a
seller; and
``(ii) who purchases for fair market
value assets, or all the stock of a
related person, in a bona fide, arm's-
length sale which is subject to section
5 of the Securities Act of 1933 (15
U.S.C. 77f et seq.) or the Securities
Exchange Act of 1934 (15 U.S.C. 78a et
seq.).
``(B) Unrelated person.--The term `unrelated
person' means a purchaser who does not bear a
relationship to the seller described in section
267(b).''.
(b) Effective Date.--The amendment made by subsection (a)
shall apply to transactions after the date of the enactment of
this Act.