H.R. 2566

No Free Inspections for Oil Companies Act

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I

112th CONGRESS

1st Session

H. R. 2566

IN THE HOUSE OF REPRESENTATIVES

July 15, 2011

Mr. Markey (for himself and Mr. Holt) introduced the following bill; which was referred to the Committee on Natural Resources

A BILL

To amend the Outer Continental Shelf Lands Act to direct the Secretary of the Interior to establish and collect fees for inspections of Outer Continental Shelf facilities, and for other purposes.

1.

Short title

This Act may be cited as the No Free Inspections for Oil Companies Act.

2.

OCS facility inspection fees

Section 22 of the Outer Continental Shelf Lands Act (43 U.S.C. 1348) is amended by adding at the end of the section the following:

(g)

Inspection Fees

(1)

Establishment

The Secretary of the Interior shall establish, by rule, and collect from the operators of facilities subject to inspection under subsection (c) non-refundable fees for such inspections—

(A)

at an aggregate level equal to the amount necessary to offset the annual expenses of inspections of outer Continental Shelf facilities (including mobile offshore drilling units) by the Department of the Interior; and

(B)

using a schedule that reflects the differences in complexity among the classes of facilities to be inspected.

(2)

Ocean energy enforcement fund

There is established in the Treasury a fund, to be known as the Ocean Energy Enforcement Fund (referred to in this subsection as the Fund), into which shall be deposited amounts collected as fees under paragraph (1) and which shall be available as provided under paragraph (3).

(3)

Availability of fees

Notwithstanding section 3302 of title 31, United States Code, all amounts collected by the Secretary under this section—

(A)

shall be credited as offsetting collections;

(B)

shall be available for expenditure only for purposes of carrying out inspections of outer Continental Shelf facilities (including mobile offshore drilling units) and the administration of the inspection program under this section;

(C)

shall be available only to the extent provided for in advance in an appropriations Act; and

(D)

shall remain available until expended.

(4)

Annual reports

(A)

In general

Not later than 60 days after the end of each fiscal year beginning with fiscal year 2011, the Secretary shall submit to the Committee on Energy and Natural Resources of the Senate and the Committee on Natural Resources of the House of Representatives a report on the operation of the Fund during the fiscal year.

(B)

Contents

Each report shall include, for the fiscal year covered by the report, the following:

(i)

A statement of the amounts deposited into the Fund.

(ii)

A description of the expenditures made from the Fund for the fiscal year, including the purpose of the expenditures.

(iii)

Recommendations for additional authorities to fulfill the purpose of the Fund.

(iv)

A statement of the balance remaining in the Fund at the end of the fiscal year.

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