S.Amdt. 1976

1. Replaces the bill's text with a full substitute

   Replaces the full textEverything after the enacting clause

   In S. 2204 · Placed on Calendar Senate

   SECTION 1. SHORT TITLE.

   This Act may be cited as the "[struck: Repeal Big Oil Tax Subsidies ][inserted: No Surface Occupancy Western Arctic Coastal Plain Domestic Energy Security ]Act".

   Struck: TITLE I--TAX EXTENSIONS RELATING TO ENERGY

   Struck: SEC. 101. EXTENSION OF CREDIT FOR ENERGY-EFFICIENT EXISTING HOMES.

   Struck: (a) In General.--Paragraph (2) of section 25C(g) of the Internal Revenue Code of 1986 is amended by striking "December 31, 2011" and inserting "December 31, 2012".

   Struck: (b) Effective Date.--The amendment made by this section shall apply to property placed in service after December 31, 2011.

   Show 153 more struck paragraphsShow less

   Struck: SEC. 102. EXTENSION OF CREDIT FOR CERTAIN PLUG-IN ELECTRIC VEHICLES.

   Struck: (a) In General.--Subsection (f) of section 30 of the Internal Revenue Code of 1986 is amended by striking "December 31, 2011" and inserting "December 31, 2012".

   Struck: (b) Effective Date.--The amendment made by this section shall apply to vehicles acquired after December 31, 2011.

   Struck: SEC. 103. EXTENSION OF CREDIT FOR ALTERNATIVE FUEL VEHICLE REFUELING PROPERTY.

   Struck: (a) Extension.--Paragraph (2) of section 30C(g) of the Internal Revenue Code of 1986 is amended by striking "December 31, 2011." and inserting "December 31, 2012".

   Struck: (b) Effective Date.--The amendment made by this section shall apply to property placed in service after December 31, 2011.

   Struck: SEC. 104. EXTENSION OF CELLULOSIC BIOFUEL PRODUCER CREDIT.

   Struck: (a) In General.--Subparagraph (H) of section 40(b)(6) of the Internal Revenue Code of 1986 is amended to read as follows:

   Struck: "(H) Application of paragraph.--

   Struck: "(i) In general.--This paragraph shall apply with respect to qualified cellulosic biofuel production after December 31, 2008, and before January 1, 2014.

   Struck: "(ii) No carryover to certain years after expiration.--If this paragraph ceases to apply for any period by reason of clause (i), rules similar to the rules of subsection (e)(2) shall apply.".

   Struck: (b) Conforming Amendment.--

   Struck: (1) In general.--Paragraph (2) of section 40(e) of the Internal Revenue Code of 1986 is amended by striking "or subsection (b)(6)(H)".

   Struck: (2) Effective date.--The amendment made by this subsection shall take effect as if included in section 15321(b) of the Heartland, Habitat, and Horticulture Act of 2008.

   Struck: SEC. 105. ALGAE TREATED AS A QUALIFIED FEEDSTOCK FOR PURPOSES OF THE CELLULOSIC BIOFUEL PRODUCER CREDIT, ETC.

   Struck: (a) In General.--Subclause (I) of section 40(b)(6)(E)(i) of the Internal Revenue Code of 1986 is amended to read as follows:

   Struck: "(I) is derived by, or from, qualified feedstocks, and".

   Struck: (b) Qualified Feedstock; Special Rules for Algae.--Paragraph (6) of section 40(b) of the Internal Revenue Code of 1986 is amended by redesignating subparagraphs (F), (G), and (H), as amended by this Act, as subparagraphs (H), (I), and (J), respectively, and by inserting after subparagraph (E) the following new subparagraphs:

   Struck: "(F) Qualified feedstock.--For purposes of this paragraph, the term 'qualified feedstock' means--

   Struck: "(i) any lignocellulosic or hemicellulosic matter that is available on a renewable or recurring basis, and

   Struck: "(ii) any cultivated algae, cyanobacteria, or lemna.

   Struck: "(G) Special rules for algae.--In the case of fuel which is derived by, or from, feedstock described in subparagraph (F)(ii) and which is sold by the taxpayer to another person for refining by such other person into a fuel which meets the requirements of subparagraph (E)(i)(II) and the refined fuel is not excluded under subparagraph (E)(iii)--

   Struck: "(i) such sale shall be treated as described in subparagraph (C)(i),

   Struck: "(ii) such fuel shall be treated as meeting the requirements of subparagraph (E)(i)(II) and as not being excluded under subparagraph (E)(iii) in the hands of such taxpayer, and

   Struck: "(iii) except as provided in this subparagraph, such fuel (and any fuel derived from such fuel) shall not be taken into account under subparagraph (C) with respect to the taxpayer or any other person.".

   Struck: (c) Algae Treated as a Qualified Feedstock for Purposes of Bonus Depreciation for Biofuel Plant Property.--

   Struck: (1) In general.--Subparagraph (A) of section 168(l)(2) of the Internal Revenue Code of 1986 is amended by striking "solely to produce cellulosic biofuel" and inserting "solely to produce second generation biofuel (as defined in section 40(b)(6)(E))".

   Struck: (2) Conforming amendments.--Subsection (l) of section 168 of such Code is amended--

   Struck: (A) by striking "cellulosic biofuel" each place it appears in the text thereof and inserting "second generation biofuel",

   Struck: (B) by striking paragraph (3) and redesignating paragraphs (4) through (8) as paragraphs (3) through (7), respectively,

   Struck: (C) by striking "Cellulosic" in the heading of such subsection and inserting "Second Generation", and

   Struck: (D) by striking "cellulosic" in the heading of paragraph (2) and inserting "second generation".

   Struck: (d) Conforming Amendments.--

   Struck: (1) Section 40 of the Internal Revenue Code of 1986, as amended by subsection (b), is amended--

   Struck: (A) by striking "cellulosic biofuel" each place it appears in the text thereof and inserting "second generation biofuel",

   Struck: (B) by striking "Cellulosic" in the headings of subsections (b)(6), (b)(6)(E), and (d)(3)(D) and inserting "Second generation", and

   Struck: (C) by striking "cellulosic" in the headings of subsections (b)(6)(C), (b)(6)(D), (b)(6)(H), (d)(6), and (e)(3) and inserting "second generation".

   Struck: (2) Clause (ii) of section 40(b)(6)(E) of such Code is amended by striking "Such term shall not" and inserting "The term 'second generation biofuel' shall not".

   Struck: (3) Paragraph (1) of section 4101(a) of such Code is amended by striking "cellulosic biofuel" and inserting "second generation biofuel".

   Struck: (e) Effective Dates.--

   Struck: (1) In general.--Except as provided in paragraph (2), the amendments made by this section shall apply to fuels sold or used after the date of the enactment of this Act.

   Struck: (2) Application to bonus depreciation.--The amendments made by subsection (c) shall apply to property placed in service after the date of the enactment of this Act.

   Struck: SEC. 106. EXTENSION OF INCENTIVES FOR BIODIESEL AND RENEWABLE DIESEL.

   Struck: (a) Credits for Biodiesel and Renewable Diesel Used as Fuel.-- Subsection (g) of section 40A of the Internal Revenue Code of 1986 is amended by striking "December 31, 2011" and inserting "December 31, 2012".

   Struck: (b) Excise Tax Credits and Outlay Payments for Biodiesel and Renewable Diesel Fuel Mixtures.--

   Struck: (1) Paragraph (6) of section 6426(c) of the Internal Revenue Code of 1986 is amended by striking "December 31, 2011" and inserting "December 31, 2012".

   Struck: (2) Subparagraph (B) of section 6427(e)(6) of such Code is amended by striking "December 31, 2011" and inserting "December 31, 2012".

   Struck: (c) Effective Date.--The amendments made by this section shall apply to fuel sold or used after December 31, 2011.

   Struck: SEC. 107. EXTENSION OF PRODUCTION CREDIT FOR REFINED COAL.

   Struck: (a) In General.--Subparagraph (B) of section 45(d)(8) of the Internal Revenue Code of 1986 is amended by striking "January 1, 2012" and inserting "January 1, 2013".

   Struck: (b) Effective Date.--The amendment made by this section shall apply to facilities placed in service after December 31, 2011.

   Struck: SEC. 108. EXTENSION OF PRODUCTION CREDIT.

   Struck: (a) In General.--Section 45(d) of the Internal Revenue Code of 1986 is amended by striking "January 1, 2014" each place it appears in paragraphs (2), (3), (4), (6), (7), (9), and (11) and inserting "January 1, 2015".

   Struck: (b) Wind Facilities.--Paragraph (1) of section 45(d) of the Internal Revenue Code of 1986 is amended by striking "January 1, 2013" and inserting "January 1, 2014".

   Struck: (c) Increased Credit Amount for Indian Coal Facilities Placed in Service Before 2009.--Subparagraph (A) of section 45(e)(10) of the Internal Revenue Code of 1986 is amended by striking "7-year period" each place it appears and inserting "8-year period".

   Struck: (d) Conforming Amendments.--Subsection (e) of section 1603 of division B of the American Recovery and Reinvestment Act of 2009 is amended--

   Struck: (1) by striking "January 1, 2013" in paragraph (1) and inserting "January 1, 2014", and

   Struck: (2) by striking "January 1, 2014" in paragraph (2) and inserting "January 1, 2015".

   Struck: (e) Effective Dates.--

   Struck: (1) In general.--Except as provided in paragraph (2), the amendments made by this section shall apply to facilities placed in service after December 31, 2012.

   Struck: (2) Indian coal.--The amendment made by subsection (c) shall take effect on the date of the enactment of this Act.

   Struck: SEC. 109. EXTENSION OF CREDIT FOR ENERGY-EFFICIENT NEW HOMES.

   Struck: (a) In General.--Subsection (g) of section 45L of the Internal Revenue Code of 1986 is amended by striking "December 31, 2011" and inserting "December 31, 2012".

   Struck: (b) Effective Date.--The amendment made by this section shall apply to homes acquired after December 31, 2011.

   Struck: SEC. 110. EXTENSION OF CREDIT FOR ENERGY-EFFICIENT APPLIANCES.

   Struck: (a) In General.--Section 45M(b) of the Internal Revenue Code of 1986 is amended by striking "2011" each place it appears other than in the provisions specified in subsection (b), and inserting "2011 or 2012".

   Struck: (b) Provisions Specified.--The provisions of section 45M(b) of the Internal Revenue Code of 1986 specified in this subsection are subparagraph (C) of paragraph (1) and subparagraph (E) of paragraph (2).

   Struck: (c) Effective Date.--The amendments made by this section shall apply to appliances produced after December 31, 2011.

   Struck: SEC. 111. EXTENSION OF ELECTION OF INVESTMENT TAX CREDIT IN LIEU OF PRODUCTION CREDIT.

   Struck: (a) In General.--Clause (ii) of section 48(a)(5)(C) of the Internal Revenue Code of 1986 is amended by striking "or 2013" and inserting "2013, or 2014".

   Struck: (b) Wind Facilities.--Clause (i) of section 48(a)(5)(C) of the Internal Revenue Code of 1986 is amended by striking "Any qualified facility" and all that follows and inserting "Any facility which is--

   Struck: "(I) a qualified facility (within the meaning of section 45) described in paragraph (1) of section 45(d) if such facility is placed in service in 2009, 2010, 2011, 2012, or 2013, or

   Struck: "(II) a qualifying offshore wind facility, if such facility is placed in service in 2012, 2013, or 2014.".

   Struck: (c) Qualifying Offshore Wind Facility.--Paragraph (5) of section 48(a) of the Internal Revenue Code of 1986 is amended by adding at the end the following new subparagraph:

   Struck: "(E) Qualifying offshore wind facility.--For purposes of this paragraph--

   Struck: "(i) In general.--The term 'qualifying offshore wind facility' means an offshore facility using wind to produce electricity.

   Struck: "(ii) Offshore facility.--The term 'offshore facility' means any facility located in the inland navigable waters of the United States, including the Great Lakes, or in the coastal waters of the United States, including the territorial seas of the United States, the exclusive economic zone of the United States, and the Outer Continental Shelf of the United States. For purposes of the preceding sentence, the term 'United States' has the meaning given in section 638(1).".

   Struck: (d) Effective Date.--The amendments made by this section shall apply to facilities placed in service after December 31, 2011.

   Struck: SEC. 112. EXPANSION OF QUALIFYING ADVANCED ENERGY PROJECT CREDIT.

   Struck: (a) In General.--Subparagraph (B) of section 48C(d)(1) of the Internal Revenue Code of 1986 is amended by striking "$2,300,000,000" and inserting "$4,600,000,000".

   Struck: (b) Effective Date.--The amendment made by this section shall take effect on the date of the enactment of this Act.

   Struck: SEC. 113. EXTENSION OF SPECIAL ALLOWANCE FOR CELLULOSIC BIOFUEL PLANT PROPERTY.

   Struck: (a) In General.--Subparagraph (D) of section 168(l)(2) of the Internal Revenue Code of 1986 is amended by striking "January 1, 2013" and inserting "January 1, 2014".

   Struck: (b) Conforming Amendment.--Paragraph (4) of section 168(l) of the Internal Revenue Code of 1986, as redesignated by this Act, is amended--

   Struck: (1) by striking "and" at the end of subparagraph (A),

   Struck: (2) by redesignating subparagraph (B) as subparagraph (C), and

   Struck: (3) by inserting after subparagraph (A) the following new subparagraph:

   Struck: "(B) by substituting 'January 1, 2014' for 'January 1, 2013' in clause (i) thereof, and".

   Struck: SEC. 114. EXTENSION OF SUSPENSION OF LIMITATION ON PERCENTAGE DEPLETION FOR OIL AND GAS FROM MARGINAL WELLS.

   Struck: (a) In General.--Clause (ii) of section 613A(c)(6)(H) of the Internal Revenue Code of 1986 is amended by striking "January 1, 2012" and inserting "January 1, 2013".

   Struck: (b) Effective Date.--The amendment made by this section shall apply to taxable years beginning after December 31, 2011.

   Struck: SEC. 115. EXTENSION OF ALTERNATIVE FUELS EXCISE TAX CREDITS.

   Struck: (a) In General.--Sections 6426(d)(5), 6426(e)(3), and 6427(e)(6)(C) of the Internal Revenue Code of 1986 are each amended by striking "December 31, 2011" and inserting "December 31, 2012".

   Struck: (b) Effective Date.--The amendments made by this section shall apply to fuel sold or used after December 31, 2011.

   Struck: SEC. 116. EXTENSION OF GRANTS FOR SPECIFIED ENERGY PROPERTY IN LIEU OF TAX CREDITS.

   Struck: (a) In General.--Subsection (a) of section 1603 of division B of the American Recovery and Reinvestment Act of 2009, as amended by section 707 of the Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010, is amended--

   Struck: (1) by striking "or 2011" in paragraph (1) and inserting "2011, or 2012", and

   Struck: (2) in paragraph (2)--

   Struck: (A) by striking "after 2011" and inserting "after 2012", and

   Struck: (B) by striking "or 2011" and inserting "2011, or 2012".

   Struck: (b) Conforming Amendment.--Subsection (j) of section 1603 of division B of such Act, as so amended, is amended by striking "2012" and inserting "2013".

   Struck: (c) Effective Date.--The amendments made by this section shall apply to property placed in service after December 31, 2011.

   Struck: SEC. 117. EXTENSION OF MINE RESCUE TEAM TRAINING CREDIT.

   Struck: (a) In General.--Subsection (e) of section 45N of the Internal Revenue Code of 1986 is amended by striking "December 31, 2011" and inserting "December 31, 2012".

   Struck: (b) Effective Date.--The amendment made by this section shall apply to taxable years beginning after December 31, 2011.

   Struck: SEC. 118. EXTENSION OF ELECTION TO EXPENSE MINE SAFETY EQUIPMENT.

   Struck: (a) In General.--Subsection (g) of section 179E of the Internal Revenue Code of 1986 is amended by striking "December 31, 2011" and inserting "December 31, 2012".

   Struck: (b) Effective Date.--The amendment made by this section shall apply to property placed in service after December 31, 2011.

   Struck: TITLE II--REPEAL OF OIL AND GAS SUBSIDIES

   Struck: Subtitle A--Close Big Oil Tax Loopholes

   Struck: SEC. 201. MODIFICATIONS OF FOREIGN TAX CREDIT RULES APPLICABLE TO MAJOR INTEGRATED OIL COMPANIES WHICH ARE DUAL CAPACITY TAXPAYERS.

   Struck: (a) In General.--Section 901 of the Internal Revenue Code of 1986 is amended by redesignating subsection (n) as subsection (o) and by inserting after subsection (m) the following new subsection:

   Struck: "(n) Special Rules Relating to Major Integrated Oil Companies Which Are Dual Capacity Taxpayers.--

   Struck: "(1) General rule.--Notwithstanding any other provision of this chapter, any amount paid or accrued by a dual capacity taxpayer which is a major integrated oil company (as defined in section 167(h)(5)(B)) to a foreign country or possession of the United States for any period shall not be considered a tax--

   Struck: "(A) if, for such period, the foreign country or possession does not impose a generally applicable income tax, or

   Struck: "(B) to the extent such amount exceeds the amount (determined in accordance with regulations) which--

   Struck: "(i) is paid by such dual capacity taxpayer pursuant to the generally applicable income tax imposed by the country or possession, or

   Struck: "(ii) would be paid if the generally applicable income tax imposed by the country or possession were applicable to such dual capacity taxpayer. Nothing in this paragraph shall be construed to imply the proper treatment of any such amount not in excess of the amount determined under subparagraph (B).

   Struck: "(2) Dual capacity taxpayer.--For purposes of this subsection, the term 'dual capacity taxpayer' means, with respect to any foreign country or possession of the United States, a person who--

   Struck: "(A) is subject to a levy of such country or possession, and

   Struck: "(B) receives (or will receive) directly or indirectly a specific economic benefit (as determined in accordance with regulations) from such country or possession.

   Struck: "(3) Generally applicable income tax.--For purposes of this subsection--

   Struck: "(A) In general.--The term 'generally applicable income tax' means an income tax (or a series of income taxes) which is generally imposed under the laws of a foreign country or possession on income derived from the conduct of a trade or business within such country or possession.

   Struck: "(B) Exceptions.--Such term shall not include a tax unless it has substantial application, by its terms and in practice, to--

   Struck: "(i) persons who are not dual capacity taxpayers, and

   Struck: "(ii) persons who are citizens or residents of the foreign country or possession.".

   Struck: (b) Effective Date.--

   Struck: (1) In general.--The amendments made by this section shall apply to taxes paid or accrued in taxable years beginning after the date of the enactment of this Act.

   Struck: (2) Contrary treaty obligations upheld.--The amendments made by this section shall not apply to the extent contrary to any treaty obligation of the United States.

   Struck: SEC. 202. LIMITATION ON SECTION 199 DEDUCTION ATTRIBUTABLE TO OIL, NATURAL GAS, OR PRIMARY PRODUCTS THEREOF.

   Struck: (a) Denial of Deduction.--Paragraph (4) of section 199(c) of the Internal Revenue Code of 1986 is amended by adding at the end the following new subparagraph:

   Struck: "(E) Special rule for certain oil and gas income.--In the case of any taxpayer who is a major integrated oil company (as defined in section 167(h)(5)(B)) for the taxable year, the term 'domestic production gross receipts' shall not include gross receipts from the production, transportation, or distribution of oil, natural gas, or any primary product (within the meaning of subsection (d)(9)) thereof.".

   Struck: (b) Effective Date.--The amendment made by this section shall apply to taxable years beginning after December 31, 2011.

   Struck: SEC. 203. LIMITATION ON DEDUCTION FOR INTANGIBLE DRILLING AND DEVELOPMENT COSTS.

   Struck: (a) In General.--Section 263(c) of the Internal Revenue Code of 1986 is amended by adding at the end the following new sentence: "This subsection shall not apply to amounts paid or incurred by a taxpayer in any taxable year in which such taxpayer is a major integrated oil company (as defined in section 167(h)(5)(B)).".

   Struck: (b) Effective Date.--The amendment made by this section shall apply to amounts paid or incurred in taxable years beginning after December 31, 2011.

   Struck: SEC. 204. LIMITATION ON PERCENTAGE DEPLETION ALLOWANCE FOR OIL AND GAS WELLS.

   Struck: (a) In General.--Section 613A of the Internal Revenue Code of 1986 is amended by adding at the end the following new subsection:

   Struck: "(f) Application With Respect to Major Integrated Oil Companies.-- In the case of any taxable year in which the taxpayer is a major integrated oil company (as defined in section 167(h)(5)(B)), the allowance for percentage depletion shall be zero.".

   Struck: (b) Effective Date.--The amendment made by this section shall apply to taxable years beginning after December 31, 2011.

   Struck: SEC. 205. LIMITATION ON DEDUCTION FOR TERTIARY INJECTANTS.

   Struck: (a) In General.--Section 193 of the Internal Revenue Code of 1986 is amended by adding at the end the following new subsection:

   Struck: "(d) Application With Respect to Major Integrated Oil Companies.-- This section shall not apply to amounts paid or incurred by a taxpayer in any taxable year in which such taxpayer is a major integrated oil company (as defined in section 167(h)(5)(B)).".

   Struck: (b) Effective Date.--The amendment made by this section shall apply to amounts paid or incurred in taxable years beginning after December 31, 2011.

   Struck: Subtitle B--Outer Continental Shelf Oil and Natural Gas

   Struck: SEC. 211. REPEAL OF OUTER CONTINENTAL SHELF DEEP WATER AND DEEP GAS ROYALTY RELIEF.

   Struck: (a) In General.--Sections 344 and 345 of the Energy Policy Act of 2005 (42 U.S.C. 15904, 15905) are repealed.

   Struck: (b) Administration.--The Secretary of the Interior shall not be required to provide for royalty relief in the lease sale terms beginning with the first lease sale held on or after the date of enactment of this Act for which a final notice of sale has not been published.

   Struck: TITLE III--BUDGETARY EFFECTS

   Struck: SEC. 301. DEFICIT REDUCTION.

   Struck: The net amount of any savings realized as a result of the enactment of this Act and the amendments made by this Act (after any expenditures authorized by this Act and the amendments made by this Act) 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.

   Struck: SEC. 302. BUDGETARY EFFECTS.

   Struck: The budgetary effects of this Act, for the purpose of complying with the Statutory Pay-As-You-Go Act of 2010, shall be determined by reference to the latest statement titled "Budgetary Effects of PAYGO Legislation" for this Act, submitted for printing in the Congressional Record by the Chairman of the Senate Budget Committee, provided that such statement has been submitted prior to the vote on passage.

   Inserted: SEC. 2. DEFINITIONS.

   Inserted: In this Act:

   Inserted: (1) Coastal plain.--The term "Coastal Plain" means the area identified as the "1002 Coastal Plain Area" on the map.

   Inserted: (2) Final statement.--The term "Final Statement" means the final legislative environmental impact statement on the Coastal Plain, dated April 1987, and prepared pursuant to--

   Inserted: (A) section 1002 of the Alaska National Interest Lands Conservation Act (16 U.S.C. 3142); and

   Inserted: (B) section 102(2)(C) of the National Environmental Policy Act of 1969 (42 U.S.C. 4332(2)(C)).

   Inserted: (3) Map.--The term "map" means the map entitled "Arctic National Wildlife Refuge", dated September 2005, and prepared by the United States Geological Survey.

   Inserted: (4) Secretary.--The term "Secretary" means the Secretary of the Interior (or the designee of the Secretary), acting through the Director of the Bureau of Land Management, in consultation with the Director of the United States Fish and Wildlife Service and in coordination with a State coordinator appointed by the Governor of the State of Alaska.

   Inserted: (5) Western coastal plain.--The term "Western Coastal Plain" means that area of the Coastal Plain--

   Inserted: (A) that borders the land of the State of Alaska to the west and State of Alaska offshore waters of the Beaufort Sea on the north; and

   Inserted: (B) from which the Secretary, in the sole discretion of the Secretary, finds oil and gas can be produced through the use of horizontal drilling or other subsurface technology from sites outside or underneath the surface of the Coastal Plain.

   Inserted: SEC. 3. LEASING PROGRAM FOR LAND WITHIN THE WESTERN COASTAL PLAIN.

   Show 93 more inserted paragraphsShow less

   Inserted: (a) In General.--

   Inserted: (1) Authorization.--There is authorized the exploration, leasing, development, and production of oil and gas from the Western Coastal Plain.

   Inserted: (2) Actions.--The Secretary shall take such actions as are necessary--

   Inserted: (A) to establish and implement, in accordance with this Act, a competitive oil and gas leasing program that will result in an environmentally sound program for the exploration, development, and production of the oil and gas resources of the Western Coastal Plain; and

   Inserted: (B) to administer this Act through regulations, lease terms, conditions, restrictions, prohibitions, stipulations, and other provisions that--

   Inserted: (i) ensure the oil and gas exploration, development, and production activities on the Western Coastal Plain will result in no significant adverse effect on fish and wildlife, fish and wildlife habitat, subsistence resources, and the environment;

   Inserted: (ii) prohibit surface occupancy of the Western Coastal Plain during oil and gas development and production; and

   Inserted: (iii) require 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 Act in a manner that ensures the receipt of fair market value by the public for the mineral resources to be leased.

   Inserted: (b) Compliance With Requirements Under Certain Other Laws.--

   Inserted: (1) Compatibility.--For purposes of the National Wildlife Refuge System Administration Act of 1966 (16 U.S.C. 668dd et seq.)--

   Inserted: (A) the oil and gas leasing program and activities authorized by this section in the Western Coastal Plain shall be considered to be compatible with the purposes for which the Arctic National Wildlife Refuge was established; and

   Inserted: (B) no further findings or decisions shall be required to implement that program and those activities.

   Inserted: (2) Adequacy of doi legislative environmental impact statement.--The Final Statement shall be considered to satisfy the requirements of the National Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.) that apply with respect to prelease activities, including actions authorized to be taken by the Secretary to develop and promulgate the regulations for the establishment of a leasing program authorized by this Act before the conduct of the first lease sale.

   Inserted: (c) Relationship to State and Local Authority.--Nothing in this Act expands or limits any State or local regulatory authority.

   Inserted: (d) Regulations.--

   Inserted: (1) In general.--Not later than 1 year after the date of enactment of this Act, the Secretary shall promulgate such regulations as are necessary to carry out this Act.

   Inserted: (2) Revision of regulations.--The Secretary shall periodically review and, as appropriate, revise the rules and regulations promulgated under paragraph (1) to reflect any significant biological, environmental, or engineering data that come to the attention of the Secretary.

   Inserted: SEC. 4. LEASE SALES.

   Inserted: (a) Qualified Lessees.--

   Inserted: (1) In general.--Except as provided in paragraph (2), land may be leased under this Act 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.).

   Inserted: (2) Exclusion.--Land may not be leased under this Act to any person prohibited from participation in a lease sale under section 1002(e)(2)(C) of the Alaska National Interest Lands Conservation Act (16 U.S.C. 3142(e)(2)(C)).

   Inserted: (b) Procedures.--The Secretary shall, by regulation, establish procedures for--

   Inserted: (1) receipt and consideration of sealed nominations for any area in the Western Coastal Plain for inclusion in, or exclusion from, a lease sale;

   Inserted: (2) the holding of lease sales after the nomination process described in paragraph (1); and

   Inserted: (3) public notice of, and comment on, designation of areas to be included in, or excluded from, a lease sale.

   Inserted: (c) Lease Sale Bids.--Bidding for leases under this Act shall be by sealed competitive cash bonus bids.

   Inserted: (d) Acreage Minimum in First Sale.--For the first lease sale under this Act, 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.

   Inserted: (e) Timing of Lease Sales.--The Secretary shall--

   Inserted: (1) not later than 18 months after the date of enactment of this Act, conduct the first lease sale under this Act;

   Inserted: (2) not later than 2 years after the first lease sale, conduct a second lease sale under this Act; and

   Inserted: (3) conduct additional sales at appropriate intervals if, as determined by the Secretary, sufficient interest in development exists to warrant the conduct of the additional sales.

   Inserted: SEC. 5. GRANT OF LEASES BY THE SECRETARY.

   Inserted: (a) In General.--On payment by a lessee of such bonus as may be accepted by the Secretary, the Secretary may grant to the highest responsible qualified bidder in a lease sale conducted pursuant to section 4 a lease for any land on the Western Coastal Plain.

   Inserted: (b) Subsequent Transfers.--

   Inserted: (1) In general.--No lease issued under this Act may be sold, exchanged, assigned, sublet, or otherwise transferred except with the approval of the Secretary.

   Inserted: (2) Condition for approval.--Before granting any approval under paragraph (1), the Secretary shall consult with, and give due consideration to the opinion of, the Attorney General.

   Inserted: SEC. 6. LEASE TERMS AND CONDITIONS.

   Inserted: (a) In General.--An oil or gas lease issued pursuant to this Act shall--

   Inserted: (1) provide for the payment of a royalty of not less than 12\1/2\ percent of the quantity or value of the production removed or sold from the lease, as determined by the Secretary in accordance with regulations applicable to other Federal oil and gas leases;

   Inserted: (2) provide that the Secretary may close, on a seasonal basis, such portions of the Western Coastal Plain to exploratory drilling activities as are necessary to protect caribou calving areas and other species of fish and wildlife;

   Inserted: (3) require that each lessee of land within the Western Coastal Plain shall be fully responsible and liable for the reclamation of land within the Western Coastal Plain and any other Federal land that is adversely affected in connection with exploration activities conducted under the lease and within the Western Coastal Plain by the lessee or by any of the subcontractors or agents of the lessee;

   Inserted: (4) provide that the lessee may not delegate or convey, by contract or otherwise, the reclamation responsibility and liability described in paragraph (3) to another person without the express written approval of the Secretary;

   Inserted: (5) contain terms and conditions relating to protection of fish and wildlife, fish and wildlife habitat, subsistence resources, and the environment as required under section 3(a)(2);

   Inserted: (6) provide that each lessee, and each agent and contractor of a lessee, shall use the best efforts of the lessee to provide a fair share of employment and contracting for Alaska Natives and Alaska Native Corporations from throughout the State, as determined by the level of obligation previously agreed to in the Federal Agreement; and

   Inserted: (7) contain such other provisions as the Secretary determines to be necessary to ensure compliance with this Act, including regulations promulgated under this Act.

   Inserted: (b) Project Labor Agreements.--The Secretary, as a term and condition of each lease under this Act, and in recognizing the proprietary interest of the Federal Government 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 Act (including the special concerns of the parties to those leases), shall require that each lessee, and each agent and contractor of a lessee, under this Act negotiate to obtain a project labor agreement for the employment of laborers and mechanics on production, maintenance, and construction under the lease.

   Inserted: SEC. 7. EXPEDITED JUDICIAL REVIEW.

   Inserted: (a) Filing of Complaints.--

   Inserted: (1) Deadline.--A complaint seeking judicial review of a provision of this Act or an action of the Secretary under this Act shall be filed--

   Inserted: (A) except as provided in subparagraph (B), during the 90-day period beginning on the date on which the action being challenged was carried out; or

   Inserted: (B) in the case of a complaint based solely on grounds arising after the 90-day period described in subparagraph (A), by not later than 90 days after the date on which the complainant knew or reasonably should have known about the grounds for the complaint.

   Inserted: (2) Venue.--A complaint seeking judicial review of a provision of this Act or an action of the Secretary under this Act shall be filed in the United States Court of Appeals for the District of Columbia Circuit.

   Inserted: (3) Scope.--

   Inserted: (A) In general.--Judicial review of a decision of the Secretary relating to a lease sale under this Act (including an environmental analysis of such a lease sale) shall be--

   Inserted: (i) limited to a review of whether the decision is in accordance with this Act; and

   Inserted: (ii) based on the administrative record of the decision.

   Inserted: (B) Presumptions.--Any identification by the Secretary of a preferred course of action relating to a lease sale, and any analysis by the Secretary of environmental effects, under this Act shall be presumed to be correct unless proven otherwise by clear and convincing evidence.

   Inserted: (b) Limitation on Other Review.--Any action of the Secretary that is subject to judicial review under this section shall not be subject to judicial review in any civil or criminal proceeding for enforcement.

   Inserted: SEC. 8. LOCAL GOVERNMENT IMPACT AID AND COMMUNITY SERVICE ASSISTANCE.

   Inserted: (a) Establishment of Fund.--

   Inserted: (1) In general.--The Secretary shall establish in the Treasury a fund to be known as the "Coastal Plain Local Government Impact Aid Assistance Fund" (referred to in this section as the "Fund") to offset any planning, land use-related, or service-related impacts of offshore development caused by this Act.

   Inserted: (2) Deposits.--The Secretary of the Treasury shall deposit into the Fund, $15,000,000 each year from the amount available under section 9(1).

   Inserted: (b) Assistance.--The Governor of Alaska, in cooperation with the Mayor of the North Slope Borough, shall use amounts in the Fund to provide assistance to the North Slope Borough, Alaska, the City of Kaktovik, Alaska, and any other borough, municipal subdivision, village, or other community in the State of Alaska that is directly impacted by exploration for, or the production of, oil or gas on or near the Coastal Plain under this Act, or any Alaska Native Regional Corporation acting on behalf of the villages and communities within its region whose land lies along the right of way of the Trans Alaska Pipeline System, as determined by the Governor.

   Inserted: (c) Application.--

   Inserted: (1) In general.--To receive assistance under subsection (b), a community or Regional Corporation described in that subsection shall submit to the Governor, or to the Mayor of the North Slope Borough, an application in such time, in such manner, and containing such information as the Governor may require.

   Inserted: (2) Action by north slope borough.--The Mayor of the North Slope Borough shall submit to the Governor each application received under paragraph (1) as soon as practicable after the date on which the application is received.

   Inserted: (3) Assistance of governor.--The Governor shall assist communities in submitting applications under this subsection to the maximum extent practicable.

   Inserted: (d) Use of Funds.--A community or Regional Corporation that receives funds under subsection (b) may use the funds--

   Inserted: (1) to plan for mitigation, implement a mitigation plan, or maintain a mitigation project to address the potential effects of oil and gas exploration and development on environmental, social, cultural, recreational, and subsistence resources of the community;

   Inserted: (2) to develop, carry out, and maintain--

   Inserted: (A) a project to provide new or expanded public facilities; or

   Inserted: (B) services to address the needs and problems associated with the effects described in paragraph (1), including firefighting, police, water and waste treatment, first responder, rescue, and other medical services;

   Inserted: (3) to compensate residents of the Coastal Plain or nearby waters for significant damage to environmental, social, cultural, recreation, or subsistence resources; and

   Inserted: (4) in the City of Kaktovik, Alaska--

   Inserted: (A) to develop a mechanism for providing members of the Kaktovikmiut Inupiat community an opportunity--

   Inserted: (i) to monitor development in or near the Coastal Plain; and

   Inserted: (ii) to provide information and recommendations based on traditional knowledge; and

   Inserted: (B) to establish a local coordination office, to be managed by the Mayor of the North Slope Borough, in coordination with the City of Kaktovik, Alaska--

   Inserted: (i) to coordinate with and advise developers on local conditions and the history of areas affected by development;

   Inserted: (ii) to collect from residents of the Coastal Plain information regarding the impacts of development on fish, wildlife, whales, other marine mammals, habitats, subsistence resources, and the environment of the Coastal Plain; and

   Inserted: (iii) to ensure that the information collected under clause (ii) is submitted to any appropriate Federal agency.

   Inserted: SEC. 9. ALLOCATION OF REVENUES.

   Inserted: (a) In General.--Notwithstanding any other provision of law, of the amount of adjusted bonus, rental, and royalty revenues from Federal oil and gas leasing and operations authorized under this Act--

   Inserted: (1) 50 percent shall be paid semiannually to the State of Alaska; and

   Inserted: (2) 50 percent shall be allocated in accordance with subsection (b).

   Inserted: (b) Allocation of Federal Funds.--Any amounts made available under subsection (a)(2), plus an appropriated amount equal to the amount of Federal income tax attributable to sales of oil and gas produced from operations described in subsection (a), shall be deposited in an account in the Treasury which shall be available, without further appropriation or fiscal year limitation, each fiscal year as follows:

   Inserted: (1) $15,000,000 shall be deposited by the Secretary of the Treasury into the Fund created under section 8(a)(1).

   Inserted: (2) The remainder shall be available as follows:

   Inserted: (A) Twenty-five percent shall be available to the Department of Energy to carry out alternative energy programs established under the Energy Policy Act of 2005 (42 U.S.C. 15801 et seq.), the Energy Independence and Security Act of 2007 (42 U.S.C. 17001 et seq.), or an amendment made by either of those Acts, as determined by the Secretary of Energy.

   Inserted: (B) Ten percent shall be available to the Department of Health and Human Services to provide low-income home energy assistance under title XXVI of the Omnibus Budget Reconciliation Act of 1981 (42 U.S.C. 8621 et seq.).

   Inserted: (C) Ten percent shall be available to the Department of Energy to carry out the Weatherization Assistance Program for Low-Income Persons established under part A of title IV of the Energy Conservation and Production Act (42 U.S.C. 6861 et seq.).

   Inserted: (D) Ten percent shall be available to the Department of the Interior for award to wildlife habitat and fish and game programs authorized by the Pittman-Robertson Wildlife Restoration Act (16 U.S.C. 669 et seq.) and the Dingell-Johnson Sport Fish Restoration Act) (commonly known as the "Wallop-Breaux Act") (16 U.S.C. 777 et seq.).

   Inserted: (E) The balance shall be deposited into the Treasury as miscellaneous receipts.

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