II
111th CONGRESS
2d Session
S. 3541
IN THE SENATE OF THE UNITED STATES
June 28, 2010
Mrs. Feinstein introduced the following bill; which was read twice and referred to the Committee on Energy and Natural Resources
A BILL
To prohibit royalty incentives for deepwater drilling, and for other purposes.
Short title
This Act may be cited as
the Deepwater Drilling Royalty
Prohibition Act
.
Prohibition on royalty incentives for deepwater drilling
In general
Notwithstanding any other provision of law, the Secretary of the Interior shall not issue any oil or gas lease sale under the Outer Continental Shelf Lands Act (43 U.S.C. 1331 et seq.) with royalty-based incentives in any tract located in water depths of 400 meters or more on the outer Continental Shelf.
Royalty relief for deep water production
Section 345 of the Energy Policy Act of 2005 (42 U.S.C. 15905) is repealed.
Royalty relief
Section 8(a)(3) of the Outer Continental Shelf Lands Act (43 U.S.C. 1337(a)(3)) is amended by adding at the end the following:
Prohibition
Notwithstanding subparagraphs (A) through (C) or any other provision of law, the Secretary shall not reduce or eliminate any royalty or net profit share for any lease or unit located in water depths of 400 meters or more on the outer Continental Shelf.
.
Application
This section and the amendments made by this section—
apply 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 as of that date; and
do not apply to a lease in effect on the date of enactment of this Act.