To require the disclosure of payments by resource extraction issuers.

SA 4050. Mr. CARDIN (for himself, Mr. Lugar, Mr. Durbin, Mr. Schumer,
Mr. Feingold, Mr. Merkley, Mr. Johnson, and Mr. Whitehouse) submitted
an amendment intended to be proposed to amendment SA 3739 proposed by
Mr. Reid (for Mr. Dodd (for himself and Mrs. Lincoln)) to the bill S.
3217, to promote the financial stability of the United States by
improving accountability and transparency in the financial system, to
end ``too big to fail,'' to protect the American taxpayer by ending
bailouts, to protect consumers from abusive financial services
practices, and for other purposes; which was ordered to lie on the
table; as follows:

On page 1187, line 9, strike ``effective.'' insert the
following: ``effective.

Subtitle K--Resource Extraction Issuers

SEC. 995. FINDINGS.

Congress finds the following:
(1) It is in the interest of the United States to promote
good governance in the extractive industries sector.
Transparency in revenue payments benefits oil, gas, and
mining companies, because it improves the business climate in
which such companies work, increases the reliability of
commodity supplies upon which businesses and people in the
United States rely, and promotes greater energy security.
(2) Companies in the extractive industries sector face
unique tax and reputational risks, in the form of country-
specific taxes and regulations. Exposure to these risks is
heightened by the substantial capital employed in the
extractive industries, and the often opaque and unaccountable
management of natural resource revenues by foreign
governments, which in turn creates unstable and high-cost
operating environments for multinational companies. The
effects of these risks are material to investors.

SEC. 996. DISCLOSURE OF PAYMENTS BY RESOURCE EXTRACTION
ISSUERS.

Section 13 of the Securities Exchange Act of 1934 (15
U.S.C. 78m), as amended by this Act, is amended by adding at
the end the following:
``(p) Disclosure of Payments by Resource Extraction
Issuers.--
``(1) Definitions.--In this subsection--
``(A) the term `commercial development of oil, natural gas,
or minerals' includes exploration, extraction, processing,
export, and other significant actions relating to oil,
natural gas, or minerals, or the acquisition of a license for
any such activity, as determined by the Commission;
``(B) the term `foreign government' means a foreign
government, a department, agency, or instrumentality of a
foreign government, or a company owned by a foreign
government, as determined by the Commission;
``(C) the term `payment'--
``(i) means a payment that is--

``(I) made to further the commercial development of oil,
natural gas, or minerals; and
``(II) not de minimis; and

``(ii) includes taxes, royalties, fees (including license
fees), production entitlements, bonuses, and other material
benefits, that the Commission, consistent with the guidelines
of the Extractive Industries Transparency Initiative (to the
extent practicable), determines are part of the commonly
recognized revenue stream for the commercial development of
oil, natural gas, or minerals;
``(D) the term `resource extraction issuer' means an issuer
that--
``(i) is required to file an annual report with the
Commission; and
``(ii) engages in the commercial development of oil,
natural gas, or minerals;
``(E) the term `interactive data format' means an
electronic data format in which pieces of information are
identified using an interactive data standard; and
``(F) the term `interactive data standard' means
standardized list of electronic tags that mark information
included in the annual report of a resource extraction
issuer.
``(2) Disclosure.--
``(A) Information required.--Not later than 270 days after
the date of enactment of the Restoring American Financial
Stability Act of 2010, the Commission shall issue final rules
that require each resource extraction issuer to include in an
annual report of the resource extraction issuer information
relating to any payment made by the resource extraction
issuer, a subsidiary of the resource extraction issuer, or an
entity under the control of the resource extraction issuer to
a foreign government or the Federal Government for the
purpose of the commercial development of oil, natural gas, or
minerals, including--
``(i) the type and total amount of such payments made for
each project of the resource

[[Page S3837]]

extraction issuer relating to the commercial development of
oil, natural gas, or minerals; and
``(ii) the type and total amount of such payments made to
each government.
``(B) Consultation in rulemaking.--In issuing rules under
subparagraph (A), the Commission may consult with any agency
or entity that the Commission determines is relevant.
``(C) Interactive data format.--The rules issued under
subparagraph (A) shall require that the information included
in the annual report of a resource extraction issuer be
submitted in an interactive data format.
``(D) Interactive data standard.--
``(i) In general.--The rules issued under subparagraph (A)
shall establish an interactive data standard for the
information included in the annual report of a resource
extraction issuer.
``(ii) Electronic tags.--The interactive data standard
shall include electronic tags that identify, for any payments
made by a resource extraction issuer to a foreign government
or the Federal Government--

``(I) the total amounts of the payments, by category;
``(II) the currency used to make the payments;
``(III) the financial period in which the payments were
made;
``(IV) the business segment of the resource extraction
issuer that made the payments;
``(V) the government that received the payments, and the
country in which the government is located;
``(VI) the project of the resource extraction issuer to
which the payments relate; and
``(VII) such other information as the Commission may
determine is necessary or appropriate in the public interest
or for the protection of investors.

``(E) International transparency efforts.--To the extent
practicable, the rules issued under subparagraph (A) shall
support the commitment of the Federal Government to
international transparency promotion efforts relating to the
commercial development of oil, natural gas, or minerals.
``(F) Effective date.--With respect to each resource
extraction issuer, the final rules issued under subparagraph
(A) shall take effect on the date on which the resource
extraction issuer is required to submit an annual report
relating to the fiscal year of the resource extraction issuer
that ends not earlier than 1 year after the date on which the
Commission issues final rules under subparagraph (A).
``(3) Public availability of information.--
``(A) In general.--To the extent practicable, the
Commission shall make available online, to the public, a
compilation of the information required to be submitted under
the rules issued under paragraph (2)(A).
``(B) Other information.--Nothing in this paragraph shall
require the Commission to make available online information
other than the information required to be submitted under the
rules issued under paragraph (2)(A).
``(4) Authorization of appropriations.--There are
authorized to be appropriated to the Commission such sums as
may be necessary to carry out this subsection.''.
______