S.Amdt. 5123

1. Inserts new text at the end of the bill

   Inserts

   In S. 3268 · Placed on Calendar Senate

   (b) Report.--If the Commission decides not to use the procedures described in subsection (a) in a specific instance, not later than 30 days after the date of the decision, the Commission shall submit to Congress a detailed report that describes in each instance the reasons for not using the procedures.

   Inserted: SEC.--. OFFSHORE OIL PRODUCTION.

   Inserted: (a) Publication of Projected State Lines on Outer Contential Shelf.--Section 4(a)(2)(A) of the Outer Contential Shelf Lands Act (43 U.S.C. 1333 (a)(2)(A)) is amended--

   Inserted: (1) by designating the first, second, and third sentences as clause (i), (iii), and (iv), respectively;

   Inserted: (2) in clause (i) (as so designated), by inserting before the period at the end the following: "not later than 90 days after the date of enactment of the Stop Excessive Energy Speculation Act of 2008"; and

   Inserted: (3) by inserting after clause (i) (as so designated) the following:

   Inserted: "(ii)(I) The projected lines shall also be used for the purpose of preleasing and leasing activities conducted in new producing areas under section 32.

   Inserted: "(II) This clause shall not affect any property right or title to Federal submerged land on the outer Continental Shelf.

   Inserted: "(III) In carrying out this clause, the President shall consider the offshore administrative boundaries beyond State submerged lands for planning, coordination, and administrative purposes of the Department of the Interior, but may establish different boundaries.".

   Inserted: (b) Production of Oil and Natural Gas in New Producing Areas.--The Outer Continental Shelf Lands Act (43 U.S.C. 1331 et seq.) is amended by adding at the end the following:

   Inserted: "SEC. 32. PRODUCTION OF OIL AND NATURAL GAS IN NEW PRODUCING AREAS.

   Inserted: "(a) Definitions.--In this section:

   Inserted: "(1) Coastal political subdivision.--The term 'coastal political subdivision' means a political subdivision of a new producing State any part of which political subdivision is--

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   Inserted: "(A) within the coastal zone (as defined in section 304 of the Coastal Zone Management Act of 1972 (16 U.S.C. 1453)) of the new producing State as of the date of enactment of this section; and

   Inserted: "(B) not more than 200 nautical miles from the geographic center of any leased tract.

   Inserted: "(2) Moratorium area.--

   Inserted: "(A) In general.--The term 'moratorium area' means an area covered by sections 104 through 105 of the Department of the Interior, Environment, and Related Agencies Appropriations Act, 2008 (Public Law 110-161; 121 Stat. 2118) (as in effect on the day before the date of enactment of this section).

   Inserted: "(B) Exclusion.--The term 'moratorium area' does not include an area located in the Gulf of Mexico.

   Inserted: "(3) New producing area.--The term 'new producing area' means any moratorium area within the offshore administrative boundaries beyond the submerged land of a State that is located greater than 50 miles from the coastline of the State.

   Inserted: "(4) New producing State.--The term 'new producing State' means a State that has, within the offshore administrative boundaries beyond the submerged land of the State, a new producing area available for oil and gas leasing under subsection (b).

   Inserted: "(5) Offshore administrative boundaries.--The term 'offshore administrative boundaries' means the administrative boundaries established by the Secretary beyond State submerged land for planning, coordination, and administrative purposes of the Department of the Interior and published in the Federal Register on January 3, 2006 (71 Fed. Reg. 127).

   Inserted: "(6) Qualified outer continental shelf revenues.--

   Inserted: "(A) In General.--The term 'qualified outer Continental Shelf revenues' means all rentals, royalties, bonus bids, and other sums due and payable to the United States from leases entered into on or after the date of enactment of this section for new producing areas.

   Inserted: "(B) Exclusions.--The term 'qualified outer Continental Shelf revenues' does not include--

   Inserted: "(i) revenues from a bond or other surety forfeited for obligations other than the collection of royalties;

   Inserted: "(ii) revenues from civil penalties;

   Inserted: "(iii) royalties taken by the Secretary in-kind and not sold;

   Inserted: "(iv) revenues generated from leases subject to section 8(g); or

   Inserted: "(v) any revenues considered qualified outer Continental Shelf revenues under section 102 of the Gulf of Mexico Energy Security Act of 2006 (43 U.S.C. 1331 note; Public Law 109-432).

   Inserted: "(b) Petition for Leasing New Producing Areas.--

   Inserted: "(1) In general.--Beginning on the date on which the President delineates projected State lines under section 4(a)(2)(A)(ii), the Governor of a State, with the concurrence of the legislature of the State, with a new producing area within the offshore administrative boundaries beyond the submerged land of the State may submit to the Secretary a petition requesting that the Secretary make the new producing area available for oil and gas leasing.

   Inserted: "(2) Action by secretary.--Notwithstanding section 18, as soon as practicable after receipt of a petition under paragraph (1), the Secretary shall approve the petition if the Secretary determines that leasing the new producing area would not create an unreasonable risk of harm to the marine, human, or coastal environment.

   Inserted: "(c) Disposition of Qualified Outer Continental Shelf Revenues From New Producing Areas.--

   Inserted: "(1) In general.--Notwithstanding section 9 and subject to the other provisions of this subsection, for each applicable fiscal year, the Secretary of the Treasury shall deposit--

   Inserted: "(A) 50 percent of qualified outer Continental Shelf revenues in the general fund of the Treasury; and

   Inserted: "(B) 50 percent of qualified outer Continental Shelf revenues in a special account in the Treasury from which the Secretary shall disburse--

   Inserted: "(i) 75 percent to new producing States in accordance with paragraph (2); and

   Inserted: "(ii) 25 percent to provide financial assistance to States in accordance with section 6 of the Land and Water Conservation Fund Act of 1965 (16 U.S.C. 460l-8), which shall be considered income to the Land and Water Conservation Fund for purposes of section 2 of that Act (16 U.S.C. 460l-5).

   Inserted: "(2) Allocation to new producing states and coastal political subdivisions.--

   Inserted: "(A) Allocation to new producing states.--Effective for fiscal year 2008 and each fiscal year thereafter, the amount made available under paragraph (1) (B) (i) shall be allocated to each new producing State in amounts (based on a formula established by the Secretary by regulation) proportional to the amount of qualified outer Continental Shelf revenues generated in the new producing area offshore each State.

   Inserted: "(B) Payments to coastal political subdivisions.--

   Inserted: "(i) In general.--The Secretary shall pay 20 percent of the allocable share of each new producing State, as determined under subparagraph (A), to the coastal political subdivisions of the new producing State.

   Inserted: "(ii) Allocation.--The amount paid by the Secretary to coastal political subdivisions shall be allocated to each coastal political subdivision in accordance with the regulations promulgated under subparagraph (A).

   Inserted: "(3) Minimum allocation.--The amount allocated to a new producing State for each fiscal year under paragraph (2) shall be at least 5 percent of the amounts available for the fiscal year under paragraph (1 )(B)(i).

   Inserted: "(4) Timing.--The amounts required to be deposited under subparagraph (B) ofparagraph (1) for the applicable fiscal year shall be made available in accordance with that subparagraph during the fiscal year immediately following the applicable fiscal year.

   Inserted: "(5) Authorized uses.--

   Inserted: "(A) In general.--Subject to subparagraph (B), each new producing State and coastal political subdivision shall use all amounts received under paragraph (2) in accordance with all applicable Federal and State laws, only for 1 or more of the following purposes:

   Inserted: "(i) Projects and activities for the purposes of coastal protection, including conservation, coastal restoration, hurricane protection, and infrastructure directly affected by coastal wetland losses.

   Inserted: "(ii) Mitigation of damage to fish, wildlife, or natural resources.

   Inserted: "(iii) Implementation of a federally approved marine, coastal, or comprehensive conservation management plan.

   Inserted: "(iv) Funding of onshore infrastructure projects.

   Inserted: "(v) Planning assistance and the administrative costs of complying with this section.

   Inserted: "(B) Limitation.--Not more than 3 percent of amounts received by a new producing State or coastal political subdivision under paragraph (2) may be used for the purposes described in subparagraph (A) (v).

   Inserted: "(6) Administration.--Amounts made available under paragraph (1) (B) shall

   Inserted: "(A) be made available, without further appropriation, in accordance with this subsection;

   Inserted: "(B) remain available until expended; and "(C) be in addition to any amounts appropriated under-

   Inserted: "(i) other provisions of this Act;

   Inserted: "(ii) the Land and Water Conservation Fund Act of 1965 (16 U.S.C. 4601-4 et seq.); or "(iii) any other provisions of law.

   Inserted: "(d) Disposition of Qualified Outer Contential Shelf Revenues From Other Areas.--Not withstanding section 9, for each applicable fiscal year, the terms and conditions of subsection (c) shall apply to the disposition of qualified outer Continental Shelf revenues that--

   Inserted: "(1) are derived from oil or gas leasing in an area that is not included in the current 5-year plan of the Secretary for oil or gas leasing; and

   Inserted: "(2) are not assumed in the budget of the United States Government submitted by the President under section 1105 of title 31, United States Code.".

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

   Original wording

   At the end, insert the following:

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As printed