HR 909
112th CONGRESS
1st Session
H. R. 909
To expand domestic fossil fuel production, develop more nuclear power,
and expand renewable electricity, and for other purposes.
IN THE HOUSE OF REPRESENTATIVES
March 3, 2011
Mr. NUNES (for himself, Mr. SHIMKUS, Mr. RYAN of Wisconsin, Mr. SIMPSON,
Mr. BISHOP of Utah, Mr. MCKEON, Mr. DREIER, Mr. LUCAS, Mrs. MCMORRIS RODGERS,
Mr. ROGERS of Michigan, Mr. ROSKAM, Mr. BACHUS, Mr. BENISHEK, Mr. BRADY of
Texas, Mr. BROUN of Georgia, Mr. BURGESS, Mr. BURTON of Indiana, Mr. CALVERT,
Mr. CANSECO, Mr. COFFMAN of Colorado, Mr. COLE, Mr. CRAVAACK, Mr. CULBERSON,
Mr. DUNCAN of Tennessee, Mrs. EMERSON, Mr. FINCHER, Mr. FRANKS of Arizona,
Mr. GINGREY of Georgia, Mr. GRIMM, Mr. HARPER, Mr. HERGER, Mr. HUIZENGA of
Michigan, Ms. JENKINS, Mr. KING of Iowa, Mr. LATOURETTE, Mrs. LUMMIS, Mr.
MARCHANT, Mr. MCCOTTER, Mr. MCHENRY, Mrs. MILLER of Michigan, Mr. PEARCE,
Mr. POE of Texas, Mr. REHBERG, Mr. SCHOCK, Mr. SESSIONS, Mr. SHUSTER, Mr.
SULLIVAN, Mr. TERRY, Mr. THOMPSON of Pennsylvania, Mr. TIBERI, Mr. TIPTON,
Mr. WALBERG, Mr. WESTMORELAND, Mr. WOMACK, Mr. YODER, and Mr. YOUNG of Alaska)
introduced the following bill; which was referred to the Committee on Natural
Resources, and in addition to the Committees on Oversight and Government Reform,
Ways and Means, Energy and Commerce, and Armed Services, for a period to be
subsequently determined by the Speaker, in each case for consideration of
such provisions as fall within the jurisdiction of the committee concerned
A BILL
To expand domestic fossil fuel production, develop more nuclear power,
and expand renewable electricity, and for other purposes.
Be it enacted by the Senate and House of Representatives of the United
States of America in Congress assembled,
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) Short Title- This Act may be cited as `A Roadmap for America's Energy
Future'.
Sec. 1. Short title; table of contents.
TITLE I--AMERICAN ENERGY
Subtitle A--Outer Continental Shelf
Sec. 101. Leasing program considered approved.
Sec. 102. Outer Continental Shelf lease sales.
Sec. 103. Definitions under the Outer Continental Shelf Lands Act.
Sec. 104. Determination of Adjacent Zones and OCS Planning Areas.
Sec. 105. Outer Continental Shelf leasing program.
Sec. 106. Coordination with Adjacent States.
Sec. 107. Environmental studies.
Sec. 108. Outer Continental Shelf incompatible use.
Sec. 109. Repurchase of certain leases.
Sec. 110. Offsite environmental mitigation.
Subtitle B--Arctic National Wildlife Refuge
Sec. 122. Leasing program for lands within the Coastal Plain.
Sec. 124. Grant of leases by the Secretary.
Sec. 125. Lease terms and conditions.
Sec. 126. Coastal Plain environmental protection.
Sec. 127. Expedited judicial review.
Sec. 128. Federal and State distribution of revenues.
Sec. 129. Rights-of-way across the Coastal Plain.
Sec. 131. Local government impact aid and community service assistance.
Subtitle C--Oil Shale
Subtitle D--Coal-to-Liquid
Sec. 151. Development and operation of facilities.
Sec. 152. Definitions relating to coal-to-liquid fuel and facilities.
Subtitle E--Nuclear
Sec. 161. Findings and policy.
Sec. 162. 200 operating permits by 2040.
Sec. 163. Repeal of Office of Civilian Radioactive Waste Management.
Sec. 164. Radiological material repository.
Sec. 165. Independent radiological material management.
Sec. 166. Spent nuclear fuel recycling.
Sec. 167. Nuclear fuel supply reserve.
Sec. 168. Public health and safety.
Sec. 169. Streamlining Combined Construction and Operating License.
Sec. 170. Reactor design certification.
Sec. 171. Technology-neutral plant design specifications.
Sec. 172. Additional funding and personnel resources.
Sec. 173. National Nuclear Energy Council.
Sec. 174. Next Generation Nuclear Plant.
Sec. 175. Uranium mining on Federal lands.
Sec. 176. Small and modular reactor licensing.
Sec. 177. Limitation on regulatory time frame.
TITLE II--AMERICAN-MADE ENERGY TRUST FUND
Sec. 201. Establishment of American-Made Energy Trust Fund.
TITLE III--REVERSE AUCTION MECHANISM FOR RENEWABLE ENERGY GENERATION AND
FOR RENEWABLE FUEL PRODUCTION
Sec. 301. Reverse auction mechanism for renewable energy generation.
TITLE IV--PROHIBITION OF CONSIDERATION OF GREENHOUSE GAS
Sec. 401. Clean Air Act regulation.
Sec. 402. Endangered Species Act regulation.
TITLE I--AMERICAN ENERGY
SEC. 100. FINDINGS.
The Congress finds the following:
(1) The United States contains abundant oil and gas resources located within
its lands.
(2) Development of domestic oil and gas resources can be accomplished in
a safe and environmentally responsible manner.
(3) Increased development of domestic oil and gas resources could significantly
boost economic growth, provide permanent well-paying jobs, and serve as
a significant revenue source to the Federal Government.
(4) The United States Geological Survey estimates that the Arctic National
Wildlife Refuge contains a mean expected value of 10.4 billion barrels of
technically recoverable oil.
(5) The Minerals Management Service estimated there are 85 billion undiscovered,
technically recoverable barrels of oil and 420 trillion cubic feet of natural
gas in the outer Continental Shelf of the United States.
(6) The Minerals Management Service estimated that less than 0.001 percent
of oil produced on the outer Continental Shelf of the United States since
1980 has been spilled.
(7) The National Academy of Sciences has estimated that less than 1 percent
of petroleum in American waters is from drilling and extraction, and that
63 percent is from natural seepage.
Subtitle A--Outer Continental Shelf
SEC. 101. LEASING PROGRAM CONSIDERED APPROVED.
(a) In General- The Draft Proposed Outer Continental Shelf (OCS) Oil and Gas
Leasing Program 2010-2015 released by the Secretary of the Interior (referred
to in this section as the `Secretary') in January 2009, under section 18 of
the Outer Continental Shelf Lands Act (43 U.S.C. 1344), is considered to have
been approved by the Secretary as a final oil and gas leasing program under
that section, and is considered to be in full compliance with and in accordance
with all requirements of the Outer Continental Shelf Lands Act, National Environmental
Policy Act of 1969, Endangered Species Act of 1973, Clean Air Act, Marine
Mammal Protection Act of 1972, Oil Pollution Act of 1990, and all other applicable
laws.
(b) Final Environmental Impact Statement- The Secretary is considered to have
issued a legally sufficient final environmental impact statement for the program
described in subsection (a) in accordance with all requirements under section
102(2)(C) of the National Environmental Policy Act of 1969 (42 U.S.C. 4332(2)(C)),
and all other applicable laws.
SEC. 102. OUTER CONTINENTAL SHELF LEASE SALES.
(a) In General- Except as provided in subsection (b), not later than 30 days
after the date of enactment of this Act and every 270 days thereafter, the
Secretary of the Interior (referred to in this section as the `Secretary')
shall conduct a lease sale in each outer Continental Shelf area for which
the Secretary determines that there is a commercial interest in purchasing
Federal oil and gas leases for production on the outer Continental Shelf.
(b) Subsequent Determinations and Sales- If the Secretary determines that
there is not a commercial interest in purchasing Federal oil and gas leases
for production on the outer Continental Shelf in an area under subsection
(a), not later than 2 years after the date of such determination, and every
2 years thereafter, the Secretary shall--
(1) reevaluate whether there is commercial interest in purchasing Federal
oil and gas leases for production on the outer Continental Shelf in the
area; and
(2) if the Secretary determines that there is a commercial interest described
in paragraph (1), conduct a lease sale in the area.
(c) Proceeds of Lease Sales From Newly Open Areas- Notwithstanding section
9 of the Outer Continental Shelf Lands Act (43 U.S.C. 1338), the Federal share
of any proceeds resulting from a lease sale conducted under this section with
respect to an outer Continental Shelf area that is made open for lease sales
pursuant to section 101, and that was not open for lease sales prior to the
enactment of this Act, shall be deposited in the American-Made Energy Trust
Fund established in section 9512 of the Internal Revenue Code of 1986 (as
added by title II).
SEC. 103. DEFINITIONS UNDER THE OUTER CONTINENTAL SHELF LANDS ACT.
Section 2 of the Outer Continental Shelf Lands Act (43 U.S.C. 1331) is amended--
(1) in the matter preceding subsection (a), by striking `When used in this
Act--' and inserting `In this Act:';
(2) in subsection (a), by inserting after `control' the following: `, or
lying within the United States exclusive economic zone adjacent to the Territories
of the United States';
(3) by amending subsection (f) to read as follows:
`(f) The term `affected State' means the `Adjacent State'.';
(4) by striking the semicolon at the end of each of subsections (a) through
(o) and inserting a period;
(5) by striking `; and' at the end of subsection (p) and inserting a period;
and
(6) by adding at the end the following:
`(r) The term `Adjacent State' means, with respect to any program, plan, lease
sale, leased tract, or other activity, proposed, conducted, or approved pursuant
to the provisions of this Act, any State the laws of which are declared, pursuant
to section 4(a)(2), to be the law of the United States for the portion of
the outer Continental Shelf to which such program, plan, lease sale, or leased
tract appertains or on which such activity is, or is proposed to be, conducted.
For purposes of this paragraph, the term `State' includes the Commonwealth
of Puerto Rico, the Commonwealth of the Northern Mariana Islands, the Virgin
Islands, American Samoa, Guam, and the other Territories of the United States.
`(s) The term `Adjacent Zone' means, with respect to any program, plan, lease
sale, leased tract, or other activity, proposed, conducted, or approved pursuant
to the provisions of this Act, the portion of the outer Continental Shelf
for which the laws of a particular Adjacent State are declared, pursuant to
section 4(a)(2), to be the law of the United States.
`(t) The term `miles' means statute miles.
`(u) The term `coastline' has the same meaning as the term `coast line' as
defined in section 2(c) of the Submerged Lands Act (43 U.S.C. 1301(c)).'.
SEC. 104. DETERMINATION OF ADJACENT ZONES AND OCS PLANNING AREAS.
Section 4(a)(2)(A) of the Outer Continental Shelf Lands Act (43 U.S.C. 1333(a)(2)(A))
is amended in the first sentence by striking `, and the President' and all
that follows through the end of the sentence and inserting the following:
`. The lines extending seaward and defining each State's Adjacent Zone, and
each OCS Planning Area, are as indicated on the maps for each outer Continental
Shelf region entitled `Alaska OCS Region State Adjacent Zone and OCS Planning
Areas', `Pacific OCS Region State Adjacent Zones and OCS Planning Areas',
`Gulf of Mexico OCS Region State Adjacent Zones and OCS Planning Areas', and
`Atlantic OCS Region State Adjacent Zones and OCS Planning Areas', all of
which are dated September 2005 and on file in the Office of the Director,
Bureau of Ocean Energy Management, Regulation and Enforcement.'.
SEC. 105. OUTER CONTINENTAL SHELF LEASING PROGRAM.
Section 18 of the Outer Continental Shelf Lands Act (43 U.S.C. 1344) is amended--
(1) in subsection (a), by adding at the end of paragraph (3) the following:
`The Secretary shall, in each 5-Year Program, include lease sales that when
viewed as a whole propose to offer for oil and gas leasing at least 75 percent
of the available unleased acreage within each OCS Planning Area. Available
unleased acreage is that portion of the outer Continental Shelf that is
not under lease at the time of the proposed lease sale, and has not otherwise
been made unavailable for leasing by law.';
(2) in subsection (c), by striking so much as precedes paragraph (3) and
inserting the following:
`(c)(1) During the preparation of any proposed leasing program under this
section, the Secretary shall consider and analyze leasing throughout the entire
outer Continental Shelf without regard to any other law affecting such leasing.
During this preparation, the Secretary shall invite and consider suggestions
from any interested Federal agency, including the Attorney General, in consultation
with the Federal Trade Commission, and from the Governor of any coastal State.
The Secretary may also invite or consider any suggestions from the executive
of any local government in a coastal State that have been previously submitted
to the Governor of such State, and from any other person. Further, the Secretary
shall consult with the Secretary of Defense regarding military operational
needs in the outer Continental Shelf. The Secretary shall work with the Secretary
of Defense to resolve any conflicts that might arise regarding offering any
area of the outer Continental Shelf for oil and gas leasing. If the Secretaries
are not able to resolve all such conflicts, any unresolved issues shall be
elevated to the President for resolution.
`(2) After the consideration and analysis required by paragraph (1), including
the consideration of the suggestions received from any interested Federal
agency, the Federal Trade Commission, the Governor of any coastal State, any
local government of a coastal State, and any other person, the Secretary shall
publish in the Federal Register a proposed leasing program accompanied by
a draft environmental impact statement prepared pursuant to the National Environmental
Policy Act of 1969. After the publishing of the proposed leasing program and
during the comment period provided for on the draft environmental impact statement,
the Secretary shall submit a copy of the proposed program to the Governor
of each affected State for review and comment. The Governor may solicit comments
from those executives of local governments in the Governor's State that the
Governor, in the discretion of the Governor, determines will be affected by
the proposed program. If any comment by such Governor is received by the Secretary
at least 15 days prior to submission to the Congress pursuant to paragraph
(3) and includes a request for any modification of such proposed program,
the Secretary shall reply in writing, granting or denying such request in
whole or in part, or granting such request in such modified form as the Secretary
considers appropriate, and stating the Secretary's reasons therefor. All such
correspondence between the Secretary and the Governor of any affected State,
together with any additional information and data relating thereto, shall
accompany such proposed program when it is submitted to the Congress.'; and
(3) by adding at the end the following:
`(i) Projection of State Adjacent Zone Resources and State and Local Government
Shares of OCS Receipts- Concurrent with the publication of the scoping notice
at the beginning of the development of each 5-Year Outer Continental Shelf
Oil and Gas Leasing Program, or as soon thereafter as possible, the Secretary
shall--
`(1) provide to each Adjacent State a current estimate of proven and potential
oil and gas resources located within the State's Adjacent Zone; and
`(2) provide to each Adjacent State, and coastal political subdivisions
thereof, a best efforts projection of the OCS Receipts that the Secretary
expects will be shared with each Adjacent State, and its coastal political
subdivisions, using the assumption that the unleased tracts within the State's
Adjacent Zone are fully made available for leasing, including long-term
projected OCS Receipts. In addition, the Secretary shall include a macroeconomic
estimate of the impact of such leasing on the national economy and each
State's economy, including investment, jobs, revenues, personal income,
and other categories.'.
SEC. 106. COORDINATION WITH ADJACENT STATES.
Section 19 of the Outer Continental Shelf Lands Act (43 U.S.C. 1345) is amended--
(1) in subsection (a) in the first sentence by inserting `, for any tract
located within the Adjacent State's Adjacent Zone,' after `government';
and
(2) by adding at the end the following:
`(f)(1) No Federal agency may permit or otherwise approve, without the concurrence
of the Adjacent State, the construction of a crude oil or petroleum products
(or both) pipeline within the part of the Adjacent State's Adjacent Zone that
is withdrawn from oil and gas leasing, except that such a pipeline may be
approved, without such Adjacent State's concurrence, to pass through such
Adjacent Zone if at least 50 percent of the production projected to be carried
by the pipeline within its first 10 years of operation is from areas of the
Adjacent State's Adjacent Zone.
`(2) No State may prohibit the construction within its Adjacent Zone or its
State waters of a natural gas pipeline that will transport natural gas produced
from the outer Continental Shelf. However, an Adjacent State may prevent a
proposed natural gas pipeline landing location if it proposes two alternate
landing locations in the Adjacent State, acceptable to the Adjacent State,
located within 50 miles on either side of the proposed landing location.'.
SEC. 107. ENVIRONMENTAL STUDIES.
Section 20(d) of the Outer Continental Shelf Lands Act (43 U.S.C. 1346(d))
is amended--
(1) by inserting `(1)' after `(d)'; and
(2) by adding at the end the following:
`(2) For all programs, lease sales, leases, and actions under this Act,
the following shall apply regarding the application of the National Environmental
Policy Act of 1969:
`(A) Granting or directing lease suspensions and the conduct of all preliminary
activities on outer Continental Shelf tracts, including seismic activities,
are categorically excluded from the need to prepare either an environmental
assessment or an environmental impact statement, and the Secretary shall
not be required to analyze whether any exceptions to a categorical exclusion
apply for activities conducted under the authority of this Act.
`(B) The environmental impact statement developed in support of each 5-Year
Oil and Gas Leasing Program provides the environmental analysis for all
lease sales to be conducted under the program, and such sales shall not
be subject to further environmental analysis.
`(C) Exploration plans shall not be subject to any requirement to prepare
an environmental impact statement, and the Secretary may find that exploration
plans are eligible for categorical exclusion due to the impacts already
being considered within an environmental impact statement or due to mitigation
measures included within the plan.
`(D) Within each OCS Planning Area, after the preparation of the first
development and production plan environmental impact statement for a leased
tract within the Area, future development and production plans for leased
tracts within the Area shall only require the preparation of an environmental
assessment unless the most recent development and production plan environmental
impact statement within the Area was finalized more than 10 years prior
to the date of the approval of the plan, in which case an environmental
impact statement shall be required.'.
SEC. 108. OUTER CONTINENTAL SHELF INCOMPATIBLE USE.
(a) In General- No Federal agency may permit construction or operation (or
both) of any facility, or designate or maintain a restricted transportation
corridor or operating area on the Federal outer Continental Shelf or in State
waters, that will be incompatible with, as determined by the Secretary of
the Interior, oil and gas leasing and substantially full exploration and production
of tracts that are geologically prospective for oil or natural gas (or both).
(b) Exceptions- Subsection (a) shall not apply to any facility, transportation
corridor, or operating area the construction, operation, designation, or maintenance
of which is or will be--
(1) located in an area of the outer Continental Shelf that is unavailable
for oil and gas leasing by operation of law;
(2) used for a military readiness activity (as defined in section 315(f)
of Public Law 107-314; 16 U.S.C. 703 note); or
(3) required in the national interest, as determined by the President.
SEC. 109. REPURCHASE OF CERTAIN LEASES.
(a) Authority To Repurchase and Cancel Certain Leases- The Secretary of the
Interior may repurchase and cancel any Federal oil and gas, geothermal, coal,
oil shale, tar sands, or other mineral lease, whether onshore or offshore,
but not including any outer Continental Shelf oil and gas leases that were
subject to litigation in the Court of Federal Claims on January 1, 2006, if
the Secretary finds that such lease qualifies for repurchase and cancellation
under the regulations authorized by this section.
(b) Regulations- Not later than 365 days after the date of the enactment of
this Act, the Secretary shall publish a final regulation stating the conditions
under which a lease referred to in subsection (a) would qualify for repurchase
and cancellation, and the process to be followed regarding such repurchase
and cancellation.
(c) No Prejudice- This section shall not be interpreted to prejudice any other
rights that the lessee would have in the absence of this section.
SEC. 110. OFFSITE ENVIRONMENTAL MITIGATION.
Notwithstanding any other provision of law, any person conducting activities
under the Mineral Leasing Act (30 U.S.C. 181 et seq.), the Geothermal Steam
Act of 1970 (30 U.S.C. 1001 et seq.), the Mineral Leasing Act for Acquired
Lands (30 U.S.C. 351 et seq.), the Act of March 1, 1911 (commonly known as
the Weeks Law) (36 Stat. 961; ch. 186), the Act of May 10, 1872 (commonly
known as the General Mining Act of 1872) (17 Stat. 91; 30 U.S.C. 22 et seq.),
the Act of July 31, 1947 (commonly known as the Materials Act of 1947) (61
Stat. 681; 30 U.S.C. 601 et seq.), or the Outer Continental Shelf Lands Act
(43 U.S.C. 1331 et seq.), may in satisfying any mitigation requirements associated
with such activities propose mitigation measures on a site away from the area
impacted, and the Secretary of the Interior shall accept these proposed measures
if the Secretary finds that they generally achieve the purposes for which
mitigation measures appertained.
Subtitle B--Arctic National Wildlife Refuge
SEC. 121. DEFINITIONS.
(1) COASTAL PLAIN- The term `Coastal Plain' means that area described in
appendix I to part 37 of title 50, Code of Federal Regulations.
(2) SECRETARY- The term `Secretary', except as otherwise provided, means
the Secretary of the Interior or the Secretary's designee.
SEC. 122. LEASING PROGRAM FOR LANDS WITHIN THE COASTAL PLAIN.
(a) In General- The Secretary shall take such actions as are necessary--
(1) to establish and implement, in accordance with this subtitle and acting
through the Director of the Bureau of Land Management in consultation with
the Director of the United States Fish and Wildlife Service, 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 Coastal Plain; and
(2) to administer the provisions of this subtitle through regulations, lease
terms, conditions, restrictions, prohibitions, stipulations, and other provisions
that ensure the oil and gas exploration, development, and production activities
on the Coastal Plain will result in no significant adverse effect on fish
and wildlife, their habitat, subsistence resources, and the environment,
including, in furtherance of this goal, by requiring 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 subtitle in a manner that ensures the receipt of fair
market value by the public for the mineral resources to be leased.
(1) REPEAL- Section 1003 of the Alaska National Interest Lands Conservation
Act (16 U.S.C. 3143) is repealed.
(2) CONFORMING AMENDMENT- The table of contents in section 1 of such Act
is amended in the item relating to section 1003 by striking `Prohibition
on development' and inserting `Repealed'.
(c) Compliance With Requirements Under Certain Other Laws-
(1) COMPATIBILITY- For purposes of the National Wildlife Refuge System Administration
Act of 1966 (16 U.S.C. 668dd et seq.), the oil and gas leasing program and
activities authorized by this section in the Coastal Plain are deemed to
be compatible with the purposes for which the Arctic National Wildlife Refuge
was established, and no further findings or decisions are required to implement
this determination.
(2) ADEQUACY OF THE DEPARTMENT OF THE INTERIOR'S LEGISLATIVE ENVIRONMENTAL
IMPACT STATEMENT- The `Final Legislative Environmental Impact Statement'
(April 1987) on the Coastal Plain prepared pursuant to section 1002 of the
Alaska National Interest Lands Conservation Act (16 U.S.C. 3142) and section
102(2)(C) of the National Environmental Policy Act of 1969 (42 U.S.C. 4332(2)(C))
is deemed to satisfy the requirements under the National Environmental Policy
Act of 1969 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 subtitle before
the conduct of the first lease sale.
(3) COMPLIANCE WITH NEPA FOR OTHER ACTIONS- Before conducting the first
lease sale under this subtitle, the Secretary shall prepare an environmental
impact statement under the National Environmental Policy Act of 1969 with
respect to the actions authorized by this subtitle that are not referred
to in paragraph (2). Notwithstanding any other law, the Secretary is not
required to identify nonleasing alternative courses of action or to analyze
the environmental effects of such courses of action. The Secretary shall
only identify a preferred action for such leasing and a single leasing alternative,
and analyze the environmental effects and potential mitigation measures
for those two alternatives. The identification of the preferred action and
related analysis for the first lease sale under this subtitle shall be completed
not later than 18 months after the date of enactment of this Act. The Secretary
shall only consider public comments that specifically address the Secretary's
preferred action and that are filed within 20 days after publication of
an environmental analysis. Notwithstanding any other law, compliance with
this paragraph is deemed to satisfy all requirements for the analysis and
consideration of the environmental effects of proposed leasing under this
subtitle.
(d) Relationship to State and Local Authority- Nothing in this subtitle shall
be considered to expand or limit State or local regulatory authority.
(1) IN GENERAL- The Secretary, after consultation with the State of Alaska,
the city of Kaktovik, and the North Slope Borough, may designate up to a
total of 45,000 acres of the Coastal Plain as a Special Area if the Secretary
determines that the Special Area is of such unique character and interest
so as to require special management and regulatory protection. The Secretary
shall designate as such a Special Area the Sadlerochit Spring area, comprising
approximately 4,000 acres.
(2) MANAGEMENT- Each such Special Area shall be managed so as to protect
and preserve the area's unique and diverse character, including its fish,
wildlife, and subsistence resource values.
(3) EXCLUSION FROM LEASING OR SURFACE OCCUPANCY- The Secretary may exclude
any Special Area from leasing. The Secretary may only lease a Special Area,
or any part thereof, for purposes of oil and gas exploration, development,
production, or related activities, if there is no surface occupancy of the
lands comprising the Special Area.
(4) DIRECTIONAL DRILLING- Notwithstanding the other provisions of this subsection,
the Secretary may lease all or a portion of a Special Area under terms that
permit the use of horizontal drilling technology from sites on leases located
outside the Special Area.
(f) Limitation on Closed Areas- The Secretary's sole authority to close lands
within the Coastal Plain to oil and gas leasing and to exploration, development,
or production is that authority set forth in this subtitle.
(1) IN GENERAL- The Secretary shall prescribe such regulations as may be
necessary to carry out this subtitle, including rules and regulations relating
to protection of the fish and wildlife, their habitat, the subsistence resources,
and the environment of the Coastal Plain, by not later than 15 months after
the date of enactment of this Act.
(2) REVISION OF REGULATIONS- The Secretary shall periodically review and,
if appropriate, revise the rules and regulations issued under subsection
(a) to reflect any significant biological, environmental, or engineering
data that come to the Secretary's attention.
SEC. 123. LEASE SALES.
(a) In General- Lands may be leased pursuant to this subtitle 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.).
(b) Procedures- The Secretary shall, by regulation, establish procedures for--
(1) receipt and consideration of sealed nominations for any area in the
Coastal Plain for inclusion in, or exclusion (as provided in subsection
(c)) from, a lease sale;
(2) the holding of lease sales after such nomination process; and
(3) public notice of and comment on designation of areas to be included
in, or excluded from, a lease sale.
(c) Lease Sale Bids- Bidding for leases under this subtitle shall be by sealed
competitive cash bonus bids.
(d) Acreage Minimum in First Sale- In the first lease sale under this subtitle,
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.
(e) Timing of Lease Sales- The Secretary shall--
(1) conduct the first lease sale under this subtitle not later than 22 months
after the date of the enactment of this Act;
(2) evaluate the bids in such sale and issue leases resulting from such
sale, not later than 90 days after the date of the completion of such sale;
and
(3) conduct additional sales so long as sufficient interest in development
exists to warrant, in the Secretary's judgment, the conduct of such sales.
SEC. 124. GRANT OF LEASES BY THE SECRETARY.
(a) In General- The Secretary may grant to the highest responsible qualified
bidder in a lease sale conducted pursuant to section 123 any lands to be leased
on the Coastal Plain upon payment by the lessee of such bonus as may be accepted
by the Secretary.
(b) Subsequent Transfers- No lease issued under this subtitle may be sold,
exchanged, assigned, sublet, or otherwise transferred except with the approval
of the Secretary. Prior to any such approval, the Secretary shall consult
with, and give due consideration to the views of, the Attorney General.
SEC. 125. LEASE TERMS AND CONDITIONS.
An oil or gas lease issued pursuant to this subtitle shall--
(1) provide for the payment of a royalty of not less than 12 1/2 percent
in amount or value of the production removed or sold from the lease, as
determined by the Secretary under the regulations applicable to other Federal
oil and gas leases;
(2) provide that the Secretary may close, on a seasonal basis, portions
of the Coastal Plain to exploratory drilling activities as necessary to
protect caribou calving areas and other species of fish and wildlife;
(3) require that the lessee of lands within the Coastal Plain shall be fully
responsible and liable for the reclamation of lands within the Coastal Plain
and any other Federal lands that are adversely affected in connection with
exploration, development, production, or transportation activities conducted
under the lease and within the Coastal Plain by the lessee or by any of
the subcontractors or agents of the lessee;
(4) provide that the lessee may not delegate or convey, by contract or otherwise,
the reclamation responsibility and liability to another person without the
express written approval of the Secretary;
(5) provide that the standard of reclamation for lands required to be reclaimed
under this subtitle shall be, as nearly as practicable, a condition capable
of supporting the uses which the lands were capable of supporting prior
to any exploration, development, or production activities, or upon application
by the lessee, to a higher or better use as approved by the Secretary;
(6) provide that the lessee, its agents, and its contractors use best efforts
to provide a fair share, as determined by the level of obligation previously
agreed to in the 1974 agreement implementing section 29 of the Federal Agreement
and Grant of Right of Way for the Operation of the Trans-Alaska Pipeline,
of employment and contracting for Alaska Natives and Alaska Native Corporations
from throughout the State;
(7) prohibit the export of oil produced under the lease; and
(8) contain such other provisions as the Secretary determines necessary
to ensure compliance with the provisions of this subtitle and the regulations
issued under this subtitle.
SEC. 126. COASTAL PLAIN ENVIRONMENTAL PROTECTION.
(a) No Significant Adverse Effect Standard To Govern Authorized Coastal Plain
Activities- The Secretary shall, consistent with the requirements of section
122, administer the provisions of this subtitle through regulations, lease
terms, conditions, restrictions, prohibitions, stipulations, and other provisions
that--
(1) ensure the oil and gas exploration, development, and production activities
on the Coastal Plain will result in no significant adverse effect on fish
and wildlife, their habitat, and the environment;
(2) require the application of the best commercially available technology
for oil and gas exploration, development, and production on all new exploration,
development, and production operations; and
(3) ensure that the maximum amount of surface acreage covered by production
and support facilities, including airstrips and any areas covered by gravel
berms or piers for support of pipelines, does not exceed 2,000 acres on
the Coastal Plain.
(b) Site-Specific Assessment and Mitigation- The Secretary shall also require,
with respect to any proposed drilling and related activities, that--
(1) a site-specific analysis be made of the possible significant adverse
effects, if any, that the drilling or related activities will have on fish
and wildlife, their habitat, subsistence resources, and the environment;
(2) if the analysis under paragraph (1) results in a finding that a significant
adverse effect prohibited by subsection (a)(1) is likely to occur as a result
of the proposed drilling or related activity, a plan be developed and implemented
to avoid, minimize, and mitigate (in that order and to the extent practicable)
the significant adverse effect in order to comply with such subsection;
and
(3) the development of a plan under paragraph (2) shall occur after consultation
with the agency or agencies having jurisdiction over matters covered by
the plan.
(c) Regulations To Protect Coastal Plain Fish and Wildlife Resources, Subsistence
Users, and the Environment- Before implementing the leasing program authorized
by this subtitle, the Secretary shall prepare and promulgate regulations,
lease terms, conditions, restrictions, prohibitions, stipulations, and other
measures designed to ensure that the activities undertaken on the Coastal
Plain under this subtitle are conducted in a manner consistent with the purposes
and environmental requirements of this subtitle.
(d) Compliance With Federal and State Environmental Laws and Other Requirements-
The proposed regulations, lease terms, conditions, restrictions, prohibitions,
and stipulations for the leasing program under this subtitle shall require
compliance with all applicable provisions of Federal and State environmental
law, and shall also require the following:
(1) Standards at least as effective as the safety and environmental mitigation
measures set forth in items 1 through 29 at pages 167 through 169 of the
`Final Legislative Environmental Impact Statement' (April 1987) on the Coastal
Plain.
(2) Seasonal limitations on exploration, development, and related activities,
where necessary, to avoid significant adverse effects during periods of
concentrated fish and wildlife breeding, denning, nesting, spawning, and
migration.
(3) That exploration activities, except for surface geological studies,
be limited to the period between approximately November 1 and May 1 each
year and that exploration activities shall be supported, if necessary, by
ice roads, winter trails with adequate snow cover, ice pads, ice airstrips,
and air transport methods, except that such exploration activities may occur
at other times if the Secretary finds that such exploration will have no
significant adverse effect on the fish and wildlife, their habitat, and
the environment of the Coastal Plain.
(4) Design safety and construction standards for all pipelines and any access
and service roads, that--
(A) minimize, to the maximum extent possible, adverse effects upon the
passage of migratory species such as caribou; and
(B) minimize adverse effects upon the flow of surface water by requiring
the use of culverts, bridges, and other structural devices.
(5) Prohibitions on general public access and use on all pipeline access
and service roads.
(6) Stringent reclamation and rehabilitation requirements, consistent with
the standards set forth in this subtitle, requiring the removal from the
Coastal Plain of all oil and gas development and production facilities,
structures, and equipment upon completion of oil and gas production operations,
except that the Secretary may exempt from the requirements of this paragraph
those facilities, structures, or equipment that the Secretary determines
would assist in the management of the Arctic National Wildlife Refuge and
that are donated to the United States for that purpose.
(7) Appropriate prohibitions or restrictions on access by all modes of transportation.
(8) Appropriate prohibitions or restrictions on sand and gravel extraction.
(9) Consolidation of facility siting.
(10) Appropriate prohibitions or restrictions on use of explosives.
(11) Avoidance, to the extent practicable, of springs, streams, and river
systems; the protection of natural surface drainage patterns, wetlands,
and riparian habitats; and the regulation of methods or techniques for developing
or transporting adequate supplies of water for exploratory drilling.
(12) Avoidance or minimization of air traffic-related disturbance to fish
and wildlife.
(13) Treatment and disposal of hazardous and toxic wastes, solid wastes,
reserve pit fluids, drilling muds and cuttings, and domestic wastewater,
including an annual waste management report, a hazardous materials tracking
system, and a prohibition on chlorinated solvents, in accordance with applicable
Federal and State environmental law.
(14) Fuel storage and oil spill contingency planning.
(15) Research, monitoring, and reporting requirements.
(16) Field crew environmental briefings.
(17) Avoidance of significant adverse effects upon subsistence hunting,
fishing, and trapping by subsistence users.
(18) Compliance with applicable air and water quality standards.
(19) Appropriate seasonal and safety zone designations around well sites,
within which subsistence hunting and trapping shall be limited.
(20) Reasonable stipulations for protection of cultural and archeological
resources.
(21) All other protective environmental stipulations, restrictions, terms,
and conditions deemed necessary by the Secretary.
(e) Considerations- In preparing and promulgating regulations, lease terms,
conditions, restrictions, prohibitions, and stipulations under this section,
the Secretary shall consider the following:
(1) The stipulations and conditions that govern the National Petroleum Reserve-Alaska
leasing program, as set forth in the 1999 Northeast National Petroleum Reserve-Alaska
Final Integrated Activity Plan/Environmental Impact Statement.
(2) The environmental protection standards that governed the initial Coastal
Plain seismic exploration program under parts 37.31 to 37.33 of title 50,
Code of Federal Regulations.
(3) The land use stipulations for exploratory drilling on the KIC-ASRC private
lands that are set forth in appendix 2 of the August 9, 1983, agreement
between Arctic Slope Regional Corporation and the United States.
(f) Facility Consolidation Planning-
(1) IN GENERAL- The Secretary shall, after providing for public notice and
comment, prepare and update periodically a plan to govern, guide, and direct
the siting and construction of facilities for the exploration, development,
production, and transportation of Coastal Plain oil and gas resources.
(2) OBJECTIVES- The plan shall have the following objectives:
(A) Avoiding unnecessary duplication of facilities and activities.
(B) Encouraging consolidation of common facilities and activities.
(C) Locating or confining facilities and activities to areas that will
minimize impact on fish and wildlife, their habitat, and the environment.
(D) Utilizing existing facilities wherever practicable.
(E) Enhancing compatibility between wildlife values and development activities.
(g) Access to Public Lands- The Secretary shall--
(1) manage public lands in the Coastal Plain in accordance with subsections
(a) and (b) of section 811 of the Alaska National Interest Lands Conservation
Act (16 U.S.C. 3121); and
(2) ensure that local residents shall have reasonable access to public lands
in the Coastal Plain for traditional uses.
SEC. 127. EXPEDITED JUDICIAL REVIEW.
(1) DEADLINE- Subject to paragraph (2), any complaint seeking judicial review
of any provision of this subtitle or any action of the Secretary under this
subtitle shall be filed--
(A) except as provided in subparagraph (B), within the 60-day period beginning
on the date of the action being challenged; or
(B) in the case of a complaint based solely on grounds arising after such
period, within 60 days after the complainant knew or reasonably should
have known of the grounds for the complaint.
(2) VENUE- Any complaint seeking judicial review of any provision of this
subtitle or any action of the Secretary under this subtitle may be filed
only in the United States District Court for the District of Columbia.
(3) LIMITATION ON SCOPE OF CERTAIN REVIEW- Judicial review of a Secretarial
decision to conduct a lease sale under this subtitle, including the environmental
analysis thereof, shall be limited to whether the Secretary has complied
with the terms of this subtitle and shall be based upon the administrative
record of that decision. The Secretary's identification of a preferred course
of action to enable leasing to proceed and the Secretary's analysis of environmental
effects under this subtitle shall be presumed to be correct unless shown
otherwise by clear and convincing evidence to the contrary.
(b) Limitation on Other Review- Actions of the Secretary with respect to which
review could have been obtained under this section shall not be subject to
judicial review in any civil or criminal proceeding for enforcement.
SEC. 128. FEDERAL AND STATE DISTRIBUTION OF REVENUES.
(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 subtitle--
(1) 50 percent shall be paid to the State of Alaska; and
(2) except as provided in section 131(d), the balance shall be transferred
to the American-Made Energy Trust Fund established in section 9512 of the
Internal Revenue Code of 1986 (as added by title II).
(b) Payments to Alaska- Payments to the State of Alaska under this section
shall be made semiannually.
SEC. 129. RIGHTS-OF-WAY ACROSS THE COASTAL PLAIN.
(a) In General- The Secretary shall issue rights-of-way and easements across
the Coastal Plain for the transportation of oil and gas--
(1) except as provided in paragraph (2), under section 28 of the Mineral
Leasing Act (30 U.S.C. 185), without regard to title XI of the Alaska National
Interest Lands Conservation Act (30 U.S.C. 3161 et seq.); and
(2) under title XI of the Alaska National Interest Lands Conservation Act
(30 U.S.C. 3161 et seq.), for access authorized by sections 1110 and 1111
of that Act (16 U.S.C. 3170 and 3171).
(b) Terms and Conditions- The Secretary shall include in any right-of-way
or easement issued under subsection (a) such terms and conditions as may be
necessary to ensure that transportation of oil and gas does not result in
a significant adverse effect on the fish and wildlife, subsistence resources,
their habitat, and the environment of the Coastal Plain, including requirements
that facilities be sited or designed so as to avoid unnecessary duplication
of roads and pipelines.
(c) Regulations- The Secretary shall include in regulations under section
122(g) provisions regarding the granting of rights-of-way and easements described
in subsection (a) of this section.
SEC. 130. CONVEYANCE.
In order to maximize Federal revenues by removing clouds on title to lands
and clarifying land ownership patterns within the Coastal Plain, the Secretary,
notwithstanding the provisions of section 1302(h)(2) of the Alaska National
Interest Lands Conservation Act (16 U.S.C. 3192(h)(2)), shall convey--
(1) to the Kaktovik Inupiat Corporation the surface estate of the lands
described in paragraph 1 of Public Land Order 6959, to the extent necessary
to fulfill the Corporation's entitlement under sections 12 and 14 of the
Alaska Native Claims Settlement Act (43 U.S.C. 1611 and 1613) in accordance
with the terms and conditions of the Agreement between the Department of
the Interior, the United States Fish and Wildlife Service, the Bureau of
Land Management, and the Kaktovik Inupiat Corporation effective January
22, 1993; and
(2) to the Arctic Slope Regional Corporation the remaining subsurface estate
to which it is entitled pursuant to the August 9, 1983, agreement between
the Arctic Slope Regional Corporation and the United States of America.
SEC. 131. LOCAL GOVERNMENT IMPACT AID AND COMMUNITY SERVICE ASSISTANCE.
(a) Financial Assistance Authorized-
(1) IN GENERAL- The Secretary may use amounts available from the Coastal
Plain Local Government Impact Aid Assistance Fund established by subsection
(d) to provide timely financial assistance to entities that are eligible
under paragraph (2) and that are directly impacted by the exploration for
or production of oil and gas on the Coastal Plain under this subtitle.
(2) ELIGIBLE ENTITIES- The North Slope Borough, the city of Kaktovik, 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 the Coastal Plain under this subtitle, as determined
by the Secretary, shall be eligible for financial assistance under this
section.
(b) Use of Assistance- Financial assistance under this section may be used
only for--
(1) planning for mitigation of the potential effects of oil and gas exploration
and development on environmental, social, cultural, recreational, and subsistence
values;
(2) implementing mitigation plans and maintaining mitigation projects;
(3) developing, carrying out, and maintaining projects and programs that
provide new or expanded public facilities and services to address needs
and problems associated with such effects, including firefighting, police,
water, waste treatment, medivac, and medical services; and
(4) establishment of a coordination office, by the North Slope Borough,
in the city of Kaktovik, which shall--
(A) coordinate with and advise developers on local conditions, impact,
and history of the areas utilized for development; and
(B) provide to the Committee on Natural Resources of the House of Representatives
and the Committee on Energy and Natural Resources of the Senate an annual
report on the status of coordination between developers and the communities
affected by development.
(1) IN GENERAL- Any community that is eligible for assistance under this
section may submit an application for such assistance to the Secretary,
in such form and under such procedures as the Secretary may prescribe by
regulation.
(2) NORTH SLOPE BOROUGH COMMUNITIES- A community located in the North Slope
Borough may apply for assistance under this section either directly to the
Secretary or through the North Slope Borough.
(3) APPLICATION ASSISTANCE- The Secretary shall work closely with and assist
the North Slope Borough and other communities eligible for assistance under
this section in developing and submitting applications for assistance under
this section.
(d) Establishment of Fund-
(1) IN GENERAL- There is established in the Treasury the Coastal Plain Local
Government Impact Aid Assistance Fund.
(2) USE- Amounts in the fund may be used only for providing financial assistance
under this section.
(3) DEPOSITS- Subject to paragraph (4), there shall be deposited into the
fund amounts received by the United States as revenues derived from adjusted
bonus, rental, and royalty revenues from Federal oil and gas leasing and
operations authorized under this subtitle.
(4) LIMITATION ON DEPOSITS- The total amount in the fund may not exceed
$11,000,000.
(5) INVESTMENT OF BALANCES- The Secretary of the Treasury shall invest amounts
in the fund in interest-bearing government securities.
(e) Authorization of Appropriations- To provide financial assistance under
this section, there is authorized to be appropriated to the Secretary from
the Coastal Plain Local Government Impact Aid Assistance Fund $5,000,000 for
each fiscal year.
Subtitle C--Oil Shale
SEC. 141. OIL SHALE.
(a) Findings- The Congress finds the following:
(1) The Office of Naval Petroleum and Oil Shale Reserves at the Department
of Energy has estimated that oil shale resources located on Federal lands
hold 2 trillion undiscovered technically recoverable barrels of oil.
(2) Oil shale is a strategically important domestic resource that should
be developed to reduce the growing dependence of the United States on politically
and economically unstable sources of foreign oil imports.
(3) The development of oil shale for research and commercial development
should be conducted in an environmentally sound manner, using practices
that minimize impacts.
(4) Development of such strategic unconventional fuel should occur, with
an emphasis on sustainability, to benefit the United States while taking
into account affected States and communities.
(5) Oil shale is one of the best resources available for advancing American
technology and creating American jobs.
(6) Oil shale will be a critically important component of the Nation's transportation
fuel sector in particular, by providing a secure domestic source of aviation
fuel for both commercial and military uses.
(b) Additional Research and Development Lease Sales- The Secretary of the
Interior shall hold a lease sale not later than 180 days after the date of
enactment of this Act offering an additional 10 parcels for lease for research,
development, and demonstration of oil shale resources, under the terms offered
in the solicitation of bids for such leases published on January 15, 2009
(74 Fed. Reg. 2611).
(c) Application of Regulations- The oil shale management final rules published
by the Department of the Interior on November 18, 2008 (73 Fed. Reg. 69414),
shall apply to all commercial leasing for the management of federally owned
oil shale, and any associated minerals, located on Federal lands.
(d) Reduced Payments To Ensure Production- The Secretary of the Interior may
temporarily reduce royalties, fees, rentals, bonus bids, or other payments
for leases of Federal lands for the development and production of oil shale
resources as necessary to give incentives for and encourage development of
such resources, if the Secretary determines that the royalties, fees, rentals,
bonus bids, and other payments otherwise authorized by law are hindering production
of such resources.
Subtitle D--Coal-to-Liquid
SEC. 151. DEVELOPMENT AND OPERATION OF FACILITIES.
(a) Authority- The Secretary of Defense shall develop, construct, and operate
a qualified coal-to-liquid facility, subject to the availability of appropriations
provided in advance specifically for that purpose.
(b) Considerations- In carrying out subsection (a), the Secretary shall consider
land availability, testing opportunities, and proximity to raw materials.
SEC. 152. DEFINITIONS RELATING TO COAL-TO-LIQUID FUEL AND FACILITIES.
For purposes of this subtitle:
(1) COAL-TO-LIQUID FUEL- The term `coal-to-liquid fuel' means any transportation-grade
liquid fuel derived primarily from coal (including peat).
(2) QUALIFIED COAL-TO-LIQUID FACILITY- The term `qualified coal-to-liquid
facility' means a manufacturing facility that has the capacity to produce
at least 10,000 barrels per day of coal-to-liquid fuel from a feedstock
that is primarily domestic coal (including peat and any property which allows
for the capture, transportation, or sequestration of byproducts resulting
from such process, including carbon emissions).
SEC. 153. REPEAL.
Section 526 of the Energy Independence and Security Act of 2007 (42 U.S.C.
17142) is repealed.
Subtitle E--Nuclear
SEC. 161. FINDINGS AND POLICY.
(a) Findings- The Congress finds that--
(1) there are 104 nuclear reactors currently operating in the United States,
providing 20 percent of the electricity of the United States, slightly less
than the electricity generated by natural gas;
(2) nuclear energy is the largest provider of clean, low-carbon electricity,
almost 8 times larger than all renewable power production combined, excluding
hydroelectric power;
(3) nuclear power is responsible for 72 percent of emission-free electricity
production in the United States and is an essential tool for greenhouse
gas reduction;
(4) nuclear power plants virtually eliminate emissions of greenhouse gases
and criteria pollutants associated with acid rain, smog, or ozone;
(5) nuclear energy supplies consistent, baseload electricity, independent
of environmental conditions;
(6) nuclear power is a safe, reliable, efficient, and affordable source
of energy;
(7) between 1960 and 1980, the Nuclear Regulatory Commission issued 169
permits to construct nuclear power facilities;
(8) even if every nuclear power plant is granted a 20-year extension, all
currently operating nuclear power plants will be retired by 2055;
(9) long lead times for nuclear power plant licensing, permitting, and construction
indicate that action to stimulate the nuclear power industry should not
be delayed;
(10) there are 17 combined operating license applications currently pending
before the Nuclear Regulatory Commission for 26 new reactors in the United
States, with 4 applications inactive due to regulatory uncertainty;
(11) those proposed reactors will use the latest in nuclear technology for
efficiency and safety, more advanced than the technology of the 1960s and
1970s found in the reactors currently operating in the United States;
(12) increasing nuclear power threefold will create 480,000 construction
jobs, 140,000 permanent jobs, and $20,000,000,000 in local, State, and Federal
tax revenue each year;
(13) increasing nuclear power threefold will reduce electricity-based carbon
dioxide emissions by 1,400,000,000 metric tons annually and will reduce
carbon emissions by 65 percent from current emissions levels by 2050;
(14) increasing nuclear power threefold will produce 320 gigawatts of electricity
to power 237,000,000 households and constitute 52 percent of the United
States electricity portfolio by 2030;
(15) the Nuclear Waste Policy Act of 1982 requires the Federal Government
to take ownership of high-level radioactive waste and spent nuclear fuel
and build a permanent geologic repository in which to store this waste;
(16) the Nuclear Waste Policy Act of 1982, as amended in 1987, selected
the Yucca Mountain site to be the sole geologic repository in which to store
high-level radioactive waste and spent nuclear fuel;
(17) the Congress reaffirmed Yucca Mountain as the sole candidate site for
a geologic repository in 2001;
(18) despite the foregoing laws, the Government has failed to accept high-level
radioactive waste and spent nuclear fuel from utilities and has delayed
construction of the Yucca Mountain repository;
(19) failure to accept high-level radioactive waste and spent nuclear fuel
has led to more than 74 lawsuits filed by utilities against the Government,
$1 billion in settlements being paid, and an estimated $16.2 billion in
potential liabilities to settle remaining lawsuits;
(20) each year the Government refuses to accept high-level radioactive waste
and spent nuclear fuel adds an estimated $500,000,000 in additional liabilities
associated with future lawsuits;
(21) the failure of the Federal Government to accept high-level radioactive
waste and spent nuclear fuel from utilities is a significant barrier to
the future development of additional nuclear power;
(22) the United States has 58,000 tons of radiological material stored at
more than 100 sites in 39 States;
(23) the 104 commercial nuclear reactors operating in the United States
produce approximately 2,000 tons of spent nuclear fuel every year;
(24) the Yucca Mountain repository's capacity is statutorily limited to
70,000 tons of waste but can safely hold 120,000 tons;
(25) operators who have paid into the Nuclear Waste Fund have been denied
access to permanent storage of radiological material as promised by the
Federal Government;
(26) permanent geologic storage capacity is a finite resource on which the
industry depends; and
(27) operators have the technical expertise to develop new and more efficient
processes of disposing of new radiological material.
(b) Statement of Policy- It is the policy of the United States, given the
importance of making a transition to a clean energy, low-carbon economy, to
facilitate the continued development and growth of a safe and clean nuclear
energy industry through reductions in financial, regulatory, and technical
barriers to construction and operation.
SEC. 162. 200 OPERATING PERMITS BY 2040.
Subject to the requirements of this subtitle and in accordance with existing
law, the Nuclear Regulatory Commission shall issue operating permits for 200
new commercial nuclear reactors, enough to triple current megawatt capacity,
by 2040, if there are a sufficient number of qualified applicants.
SEC. 163. REPEAL OF OFFICE OF CIVILIAN RADIOACTIVE WASTE MANAGEMENT.
Section 304 of the Nuclear Waste Policy Act of 1982 (42 U.S.C. 10224) is repealed.
SEC. 164. RADIOLOGICAL MATERIAL REPOSITORY.
(a) Repository Required- The Federal Government shall site and permit at least
one radiological material geologic repository for the disposal of radiological
material.
(1) IN GENERAL- The repository site at Yucca Mountain shall remain the site
for the Nation's radiological material repository unless it is determined
unsuitable, based on technical and scientific analysis, by the Nuclear Regulatory
Commission following full statutory review of the Department of Energy's
license application to construct the Yucca Mountain repository.
(2) APPLICATION- The Nuclear Regulatory Commission shall continue to review
the Department of Energy's pending license application to construct the
repository at Yucca Mountain until a determination is made on the merits
of the application.
(A) SUITABILITY DETERMINATION- Not later than 90 days after the enactment
of this Act, the Nuclear Regulatory Commission shall make a determination
regarding the suitability of Yucca Mountain under paragraph (1).
(B) ACTION ON APPLICATION- Not later than 180 days after the enactment
of this Act, the Nuclear Regulatory Commission shall approve or deny the
application under paragraph (2).
(4) LIMITATIONS ON AMOUNT OF RADIOLOGICAL MATERIAL- All statutory limitations
on the amount of radiological material that can be placed in Yucca Mountain
are hereby removed and shall be replaced by the Nuclear Regulatory Commission
with new limits based on scientific and technical analysis of the full capacity
of Yucca Mountain for the storage of radiological material.
(c) Alternative Repository-
(1) IN GENERAL- Should the Nuclear Regulatory Commission determine under
subsection (b) that Yucca Mountain is not a suitable location to place a
radiological material repository, the Secretary shall be responsible for,
not later than 1 year after the date on which such determination is made,
locating and submitting an application for an alternative geologic repository
that provides at least 120,000 tons of storage capacity.
(2) ACTION ON APPLICATION- Not later than 2 years after the date on which
an application is submitted under paragraph (1) or (3), the Nuclear Regulatory
Commission shall approve or deny such application.
(3) FURTHER APPLICATION SUBMISSIONS- If an application is denied under paragraph
(2), the Secretary shall submit a new application in accordance with paragraph
(1) not later than 1 year after the date of such denial.
(4) REQUIREMENTS- For the purposes of this subtitle and the Nuclear Waste
Policy Act of 1982 (42 U.S.C. 10101 et seq.), an alternative repository
permitted under this subsection shall be subject to the same requirements
as Yucca Mountain.
SEC. 165. INDEPENDENT RADIOLOGICAL MATERIAL MANAGEMENT.
(a) Report- Not later than 180 days after the date of enactment of this Act,
the Secretary of Energy shall submit to Congress a report regarding the following:
(1) The feasibility of establishing an independent radiological material
management program that would meet the guidelines in subsection (b).
(2) Legislative and regulatory action necessary to phase out the fee structure
contained in section 302 of the Nuclear Waste Policy Act of 1982 (42 U.S.C.
10222) in order to allow a fee structure described in subsection (b)(5)(F)
to be implemented if a program meeting the guidelines in subsection (b)
is established.
(1) IN GENERAL- Under a program established in accordance with this subsection,
the Secretary may award a contract, based on a competitive bidding process,
to an eligible entity to manage the Nation's activities related to one or
more radiological material repositories.
(2) ELIGIBLE ENTITY- For the purposes of this subsection, the term `eligible
entity' means a non-Federal organization that demonstrates the ability to
meet the requirements of a program established in accordance with this subsection.
(3) APPLICATION CONTENTS- The Secretary may require an eligible entity seeking
to be awarded a contract under a program established in accordance with
this subsection to submit to the Secretary an application containing the
following:
(A) A complete description of the fee structure the eligible entity will
use to fund the maintenance and operation of repositories, in accordance
with paragraph (5)(F).
(B) Such other materials as the Secretary may require.
(4) TRANSFER OF CONTROL- The Secretary may transfer to an eligible entity
awarded a contract under a program established in accordance with this subsection
control and ownership of all Nuclear Regulatory Commission-issued licenses,
allowances, and responsibilities necessary for the operation of the nuclear
materials repository at Yucca Mountain.
(5) RESPONSIBILITIES- The Secretary may require an eligible entity awarded
a contract under a program established in accordance with this subsection
to be responsible for the following:
(A) Providing technical and other information to the Nuclear Regulatory
Commission as it reviews the Department of Energy's permit application
for the Yucca Mountain repository.
(B) Seeking all other necessary regulatory approvals and permits to construct
and operate the Yucca Mountain repository.
(C) Managing construction of one or more radiological material repositories
upon Nuclear Regulatory Commission approval, including conducting all
necessary design and engineering work to support construction of the repository.
(D) Radiological material repository operations.
(E) Undertaking all infrastructure activities necessary to support the
construction or operation of the repository or transportation to the site
of radiological material, including--
(iii) construction of a rail line to connect the repository site with
the national rail network, including any facilities to facilitate rail
operations; and
(iv) construction, upgrade, acquisition, or operation of electrical
grids or facilities, other utilities, communication facilities, access
roads, rail lines, and nonnuclear support facilities.
(F) Creating a fee structure for the geologic storage of radiological
material. The fees may not exceed the amount necessary to maintain and
operate repositories and shall be the primary mechanism for accessing
repositories, and in setting the fees the eligible entity shall take into
consideration multiple variables, including--
(iv) repository operation costs.
(c) Congressional Authorization Required- The Secretary may not establish
an independent radiological material management program under this section
unless authorized by a law enacted after the date of enactment of this Act.
SEC. 166. SPENT NUCLEAR FUEL RECYCLING.
(a) Prohibition- The President is prohibited from blocking or hindering spent
nuclear fuel recycling activities.
(b) Rulemaking for Licensing of Spent Nuclear Fuel Recycling Facilities- Not
later than 2 years after the date of enactment of this Act, the Chairman of
the Nuclear Regulatory Commission shall complete a rulemaking establishing
a process for the licensing by the Nuclear Regulatory Commission, under the
Atomic Energy Act of 1954, of facilities for the recycling of spent nuclear
fuel.
SEC. 167. NUCLEAR FUEL SUPPLY RESERVE.
(a) Inventory- The Secretary of Energy shall conduct an inventory of all materials
owned by the Department of Energy that could, either without or with further
processing, be used to power commercial nuclear reactors.
(b) Establishment of Reserve- The Secretary shall establish a nuclear fuel
supply reserve consisting of materials identified as available for such purposes
from the inventory conducted under subsection (a). The Secretary shall establish
appropriate procedures to ensure that the reserve can protect United States
energy producers from shortages of nuclear fuel.
(c) Plan- The Secretary shall transmit to the Congress a long-term plan for
introducing nuclear fuel supplies from the reserve into the market.
SEC. 168. PUBLIC HEALTH AND SAFETY.
Nothing in this title shall supersede, mitigate, detract from, or in any way
decrease the Nuclear Regulatory Commission's ability to maintain the highest
possible levels of public health and safety standards, consistent with the
provisions of the Atomic Energy Act of 1954. No authority granted by this
title shall be executed in a manner that jeopardizes, minimizes, reduces,
or lessens public health and safety standards.
SEC. 169. STREAMLINING COMBINED CONSTRUCTION AND OPERATING LICENSE.
(a) In General- The Nuclear Regulatory Commission shall establish and implement
an expedited procedure for issuing a Combined Construction and Operating License.
(b) Qualifications- To qualify for the expedited procedure under this section,
an applicant shall--
(1) apply for construction of a reactor based on a design certified (or
provisionally certified under section 170) by the Nuclear Regulatory Commission;
(2) construct the new reactor on or adjacent to a site where an operating
nuclear power plant already exists;
(3) not be subject to a Nuclear Regulatory Commission order to modify, suspend,
or revoke a license under section 2.202 of title 10, Code of Federal Regulations;
and
(4) submit a complete Combined Construction and Operating License application
that is docketed by the Commission.
(c) Expedited Procedure- With respect to a license for which the applicant
has satisfied the requirements of subsection (b) and seeks expedited consideration,
the Nuclear Regulatory Commission shall follow the following procedures:
(1) Undertake an expedited environmental review process and issue a draft
environmental impact statement not later than 12 months after the application
is accepted for docketing.
(2) Begin public licensing hearings when a draft environmental impact statement
has been issued, and complete any such hearings and related processes not
later than 24 months after accepting for docketing the expedited Combined
Construction and Operating License application.
(3) Complete the technical review process and issue the Safety Evaluation
Report and the final environmental impact statement not later than 18 months
after the application is accepted for docketing.
(4) Make a final decision on whether to issue the Combined Construction
and Operating License not later than 25 months after docketing the application.
(d) Goals- The Chairman of the Nuclear Regulatory Commission shall present
recommendations to Congress not later than 90 days after the date of enactment
of this Act for procedures that would further facilitate the licensing of
new nuclear reactors in a timely manner.
SEC. 170. REACTOR DESIGN CERTIFICATION.
(a) Provisional Certification-
(1) AUTHORITY- The Nuclear Regulatory Commission may provide to an applicant
a provisional certification of a proposed nuclear reactor design.
(2) EFFECT OF PROVISIONAL CERTIFICATION- Approval of a provisional design
certification under this subsection shall not eliminate, reduce, or otherwise
affect any requirement for reactor design approval or certification by the
Nuclear Regulatory Commission or any other agency under Federal law.
(A) IN GENERAL- Except as provided in subparagraph (B), a provisional
certification shall be provided or denied under this subsection not later
than 60 days after the date of application therefor.
(B) EXTENSION- The Nuclear Regulatory Commission may extend the time period
under subparagraph (A) for an additional 30 days if necessary to enable
certification.
(4) CRITERIA- In determining whether to approve a provisional certification
application under this subsection, the Nuclear Regulatory Commission shall
consider whether the proposed design--
(A) is based on existing and commercially proven technology;
(B) has been approved by internationally recognized regulators; and
(C) is safely operating or under construction in other nations.
(5) SUPPLEMENTAL INFORMATION- An application for provisional certification
under this subsection may include supplemental information provided by potential
future applicants for approval of the same or a similar design.
(b) Expedited Certification Process- Not later than one year after the date
of enactment of this Act, the Chairman of the Nuclear Regulatory Commission
shall develop and submit to the Congress an expedited process for certifying
reactor designs, including those designs under consideration for certification
by the Commission on the date of enactment of this Act, that significantly
reduces the time necessary to achieve such certification.
SEC. 171. TECHNOLOGY-NEUTRAL PLANT DESIGN SPECIFICATIONS.
Not later than one year after the date of enactment of this Act, the Chairman
of the Nuclear Regulatory Commission shall submit to the Congress a report
regarding recommendations for the development of technology-neutral plant
design specifications.
SEC. 172. ADDITIONAL FUNDING AND PERSONNEL RESOURCES.
Not later than 90 days after the date of enactment of this Act, the Chairman
of the Nuclear Regulatory Commission shall transmit to the Congress a request
for such additional funding and personnel resources as are necessary to carry
out sections 169 through 171 without delaying consideration of applications
for Combined Construction and Operating Licenses or reactor design certifications
not subject to expedited procedures under this title.
SEC. 173. NATIONAL NUCLEAR ENERGY COUNCIL.
(1) The Secretary of Energy shall establish a National Nuclear Energy Council
(in this section referred to as the `Council').
(2) The Council shall be subject to the requirements of the Federal Advisory
Committee Act (5 U.S.C. App.).
(b) Purpose- The Council--
(1) shall serve in an advisory capacity to the Secretary regarding nuclear
energy on matters submitted to the Council by the Secretary;
(2) shall advise, inform, and make recommendations to the Secretary with
respect to any matter relating to nuclear energy;
(3) shall help nuclear energy-related investors to navigate the Federal
bureaucracy to efficiently bring their products and services to the marketplace;
and
(4) may not participate in any research and development or commercialization
activities.
(c) Membership and Organization-
(1) The members of the Council shall be appointed by the Secretary.
(2) The Council may establish such study and administrative committees as
it considers appropriate.
SEC. 174. NEXT GENERATION NUCLEAR PLANT.
The Secretary of Energy and the Chairman of the Nuclear Regulatory Commission
shall review the Next Generation Nuclear Plant Licensing Strategy report submitted
to Congress in August 2008, as required by section 644 of the Energy Policy
Act of 2005 (42 U.S.C. 16024), with the purpose of reevaluating and significantly
accelerating the Next Generation Nuclear Power Plant schedule. Not later than
180 days after the date of enactment of this Act, the Secretary shall submit
to the Congress a report including a revised schedule and funding requirements
that would allow for program completion as near as is possible to the date
that is 5 years after the date of enactment of this Act.
SEC. 175. URANIUM MINING ON FEDERAL LANDS.
The Secretary of the Interior may not use the Federal Land Policy and Management
Act of 1976 (43 U.S.C. 1701 et seq.) to prevent uranium mining from taking
place on Federal lands unless the Secretary makes findings explaining the
reason for such prevention. No Federal agency may collect additional leasing
fees that have not been authorized to be collected before the date of enactment
of this Act to mine uranium on Federal lands. Any fees collected in association
with commercial uranium mining on Federal lands that should be applied for
remediation purposes shall only be applied to the remediation of sites that
incurred damage as a result of commercial nuclear activities. Such fees shall
not be applied to the remediation of any sites that incurred damage as a result
of Government or Government-sponsored activities.
SEC. 176. SMALL AND MODULAR REACTOR LICENSING.
(a) Report- Not later than 90 days after the date of enactment of this Act,
the Chairman of the Nuclear Regulatory Commission shall transmit to the Congress
a report containing recommendations, including the personnel and resource
requirements necessary to implement the recommendations, for streamlined licensing
procedures for small and modular nuclear reactors.
(b) Regulations- Not later than one year after the date of enactment of this
Act, the Chairman of the Nuclear Regulatory Commission shall promulgate regulations
to implement the recommendations transmitted under subsection (a).
SEC. 177. LIMITATION ON REGULATORY TIME FRAME.
In establishing standards for or otherwise regulating the storage of radioactive
material under section 121(a) of the Nuclear Waste Policy Act of 1982 (42
U.S.C. 10141(a)) or any other Federal law, the Administrator of the Environmental
Protection Agency may not consider environmental effects that could occur
more than 10,000 years after the date of such regulatory action.
SEC. 178. DEFINITION.
In this subtitle, the term `radiological material' means radioactive material
that is a byproduct of the production of nuclear power, including high-level
nuclear waste and spent nuclear fuel, as those terms are defined in section
2 of the Nuclear Waste Policy Act of 1982 (42 U.S.C. 10101), but not including
low-level radiological material as that term is defined in such section.
TITLE II--AMERICAN-MADE ENERGY TRUST FUND
SEC. 201. ESTABLISHMENT OF AMERICAN-MADE ENERGY TRUST FUND.
(a) Creation of Trust Fund- Subchapter A of chapter 98 of the Internal Revenue
Code of 1986 is amended by inserting at the end the following new section:
`SEC. 9512. AMERICAN-MADE ENERGY TRUST FUND.
`(a) Establishment of Trust Fund- There is established in the Treasury of
the United States a trust fund to be known as the American-Made Energy Trust
Fund, consisting of such amounts as may be appropriated or credited to the
American-Made Energy Trust Fund as provided in this section.
`(b) Transfers to Trust Fund- To the extent provided by appropriations Acts,
there shall be appropriated to the American-Made Energy Trust Fund--
`(1) the amounts required to be transferred under section 128 of A Roadmap
for America's Energy Future;
`(2) all amounts received by the United States as bonus bids, rents, and
royalties for oil and gas leases of the outer Continental Shelf awarded
after the date of the enactment of A Roadmap for America's Energy Future
that are not otherwise required by law to be paid by the United States;
and
`(3) all amounts received by the United States as bonus bids, rents, and
royalties for oil shale leases of Federal lands awarded after the date of
the enactment of A Roadmap for America's Energy Future.
`(c) Expenditures From American-Made Energy Trust Fund- As provided by appropriations
Acts, amounts in the American-Made Energy Trust Fund shall be available in
any year to carry out section 301 of A Roadmap for America's Energy Future.'.
(b) Clerical Amendment- The table of sections for subchapter A of chapter
98 of such Code is amended by inserting at the end the following new item:
`Sec. 9512. American-Made Energy Trust Fund.'.
TITLE III--REVERSE AUCTION MECHANISM FOR RENEWABLE ENERGY GENERATION AND
FOR RENEWABLE FUEL PRODUCTION
SEC. 301. REVERSE AUCTION MECHANISM FOR RENEWABLE ENERGY GENERATION.
(a) In General- The Secretary shall establish a reverse auction program to
award funds from the American-Made Energy Trust Fund to eligible entities
to generate an amount of electric energy.
(b) Reverse Auction Authority-
(1) IN GENERAL- The Secretary shall establish within the Department of Energy
a Reverse Auction Authority to conduct reverse auctions under this section.
(2) DIRECTOR- The Secretary shall appoint a Director to serve as head of
the Authority.
(1) FREQUENCY- Subject to amounts available in the American-Made Energy
Trust Fund (including any amounts not obligated in the previous calendar
year), the Director shall conduct a minimum of 2 reverse auctions per calendar
year in each geographic region established under paragraph (2).
(2) REGIONS- The Secretary shall establish geographic regions that are contiguous
with the Electric Power Markets identified by the Federal Energy Regulatory
Commission, and shall ensure that funds awarded under this section are awarded
for qualified renewable energy facilities located across those regions.
(3) BIDS- In any reverse auction under this section, bids shall describe
the amount of electric energy to be generated by the qualified renewable
energy facility and the price per megawatt hour of electric energy that
will be generated by such facility.
(A) IN GENERAL- At the time of entering a bid in a reverse auction under
this section, an eligible entity shall provide to the Director a deposit
of, as determined by the Director, an appropriate amount per kilowatt
hour of electricity to be generated by the qualified renewable energy
facility for which the eligible entity is entering the bid.
(B) REFUND- The Director shall refund a deposit provided under subparagraph
(A)--
(i) for an eligible entity that is not selected for an award of funds
as a result of the bid for which the deposit was made, at the time the
Director notifies the eligible entity selected for an award of such
selection; and
(ii) for an eligible entity selected for an award of funds as a result
of the bid for which the deposit was made, except as provided in subparagraph
(C), at the time the facility for which the eligible entity entered
the bid begins operation.
(C) FORFEIT- If a facility for which funds are awarded is not in operation
by the deadline for operation under subsection (d)(3), the eligible entity
shall forfeit the deposit provided under subparagraph (A).
(A) IN GENERAL- Before conducting a reverse auction under this section,
the Director shall set a reserve price which shall be a minimum bid above
which no bid may win the auction.
(B) CONFIDENTIALITY- The Director shall ensure that a reserve price set
under this paragraph remains confidential until 5 years after the date
of the auction to which the reserve price applies.
(6) SELECTION OF ELIGIBLE ENTITIES-
(A) IN GENERAL- In determining eligible entities to which to award funds
in any reverse auction under this section, the Director shall take into
consideration--
(i) bids that incorporate the lowest bid price per megawatt hour of
electric energy; and
(ii) existing subsidies and other support received by an eligible entity
for the qualified renewable energy facility.
(B) MAXIMUM PERCENTAGES- The Director shall ensure that, measured on a
5-year rolling average, of funds awarded under this section--
(i) not more than 60 percent are awarded for one type of renewable energy
source; and
(ii) not more than 90 percent are awarded for any combination of 2 types
of renewable energy sources.
(7) CATEGORIES OF GENERATING CAPACITY-
(A) ALLOCATION- Subject to subparagraph (B), in each reverse auction conducted
under this section, funds shall be allocated as follows:
(i) 25 percent of the funds shall be awarded for the generation of electric
energy by qualified renewable energy facilities that have a small generating
capacity.
(ii) 25 percent of the funds shall be awarded for the generation of
electric energy by qualified renewable energy facilities that have a
mid-sized generating capacity.
(iii) 50 percent of the funds shall be awarded for the generation of
electric energy by qualified renewable energy facilities that have a
large generating capacity.
(B) INSUFFICIENT FUNDS- If the Secretary determines that the amount of
funds available in any calendar year in the American-Made Energy Trust
Fund (including any amounts not obligated in the previous calendar year)
are insufficient to provide adequate funding for each allocation described
in clauses (i), (ii), and (iii) of subparagraph (A), the Secretary may
reduce or eliminate any allocation requirement under such subparagraph.
(C) DETERMINATION BY SECRETARY- With respect to the generating capacity
of a qualified renewable energy facility, the Secretary shall determine
what qualifies as a small, mid-sized, and large generating capacity for
purposes of this paragraph.
(8) STANDARD AMOUNTS OF ELECTRIC ENERGY- In each reverse auction under this
section, the Director shall determine standard amounts of electric energy
that eligible entities may bid on as well as the time allotted to generate
such an amount of electric energy.
(9) CONFIDENTIALITY- Information regarding the bid price of an eligible
entity selected for an award of funds pursuant to a reverse auction under
this section shall remain confidential until the initial award of funds
to such eligible entity is made.
(10) INFORMATION REGARDING AUCTIONS- Before conducting each reverse auction
under this section, the Director shall make publicly available information
regarding such reverse auction, including--
(A) standard amounts of electric energy described in paragraph (7) to
be auctioned; and
(B) allocations described in paragraph (6) for such auction.
(1) CONTRACTS FOR GENERATION-
(A) IN GENERAL- In order to receive an award of funds pursuant to a reverse
auction under this section, an eligible entity selected for such award
of funds shall enter into a contract with the Director delineating the
terms of the award of funds.
(B) CONTRACT TERMS- The Director shall include in a contract entered into
under this paragraph the following:
(i) The number of megawatts per year on which the contract is based.
(ii) A provision allowing for credits to be awarded for the production
of energy in excess of the amount specified in the contract pursuant
to clause (i), which may be carried over, for not more than 2 consecutive
years, for use in years in which the production of energy is less than
that required under the contract pursuant to clause (i).
(iii) Any other provisions the Director determines appropriate.
(C) TERMINATION- In addition to any other terms regarding termination
included in a contract under subparagraph (B), the Director may terminate
a contract under this paragraph if the eligible entity fails to generate
the number of megawatts of electric energy per year required under subparagraph
(B)(i) for a period of 4 consecutive years.
(2) LIMITATION ON DISBURSAL- The Director may disburse funds to an eligible
entity only for the amount of electric energy generated under the contract
entered into under paragraph (3) up to the amount specified pursuant to
paragraph (1)(B)(i) for each year in which the contract is in effect.
(3) OPERATION REQUIREMENT-
(A) IN GENERAL- Except as provided in subparagraph (B), the Director shall
make an award of funds to an eligible entity contingent on the qualified
renewable energy facility being in operation not later than 18 months
after the eligible entity is selected for an award of funds under this
section.
(B) EXTENSION- The Director may grant an eligible entity a one-time 6-month
extension of the deadline for operation under subparagraph (A) with respect
to a qualified renewable energy facility if the eligible entity demonstrates,
to the satisfaction of the Director, that operation of such facility is
delayed due to regulatory constraints beyond the control of such eligible
entity. Extensions under this subparagraph may not be granted for delays
due to lack of financing or delayed equipment delivery.
(e) Penalties- The Secretary shall determine penalties for violations of this
section, which may include fines or bans from participating in reverse auctions
under this section.
(f) Treatment of Funds- Amounts awarded to an eligible entity under subsection
(d) shall not be includible in gross income for purposes of the Internal Revenue
Code of 1986.
(g) Denial of Double Benefit-
(1) BASIS- For purposes of the Internal Revenue Code of 1986, the basis
of a renewable energy facility for which funds are awarded to an eligible
entity under this section shall be reduced by the amount of such award.
(2) TREATMENT AS QUALIFIED FACILITY- A renewable energy facility for which
funds are awarded to an eligible entity under this section shall not be
treated as a qualified facility for purposes of section 45 of the Internal
Revenue Code of 1986 (26 U.S.C. 45).
(3) TREATMENT AS ENERGY PROPERTY-
(A) IN GENERAL- A renewable energy facility for which funds are awarded
to an eligible entity under this section shall not be treated as an energy
property for purposes of section 48 of the Internal Revenue Code of 1986
(26 U.S.C. 48).
(B) LIMITATION ON AWARD OF FUNDS- The Director may not award funds under
this section for a renewable energy facility for which a credit under
section 48 of the Internal Revenue Code of 1986 (26 U.S.C. 48) has been
determined.
(4) PARTICIPATION IN FEDERAL LOAN GUARANTEE PROGRAMS- An eligible entity
to which funds are awarded under this section for a qualified renewable
energy facility may not, for the purposes of such facility, participate
in a Federal loan guarantee program.
(5) COORDINATION WITH OTHER FEDERAL SUBSIDIES-
(A) CONTRACT AMOUNT- A contract for generation under subsection (d)(1)
shall be for the amount of the winning bid for the specified amount of
electric energy minus the amount of any other Federal subsidy received
by the eligible entity for the construction, development, or operation
of the qualified renewable energy facility before funds are awarded under
subsection (d).
(B) REGULATIONS- Notwithstanding subsection (h), not later than one year
after the date of enactment of this Act, the Secretary shall promulgate
regulations to carry out this paragraph.
(h) Deadline for Regulations- Not later than 180 days after the date of enactment
of this Act, the Secretary shall promulgate regulations to carry out this
section.
(i) Definitions- In this section:
(1) AMERICAN-MADE ENERGY TRUST FUND- The term `American-Made Energy Trust
Fund' means the trust fund established in section 9512 of the Internal Revenue
Code of 1986 (as added by title II).
(2) AUTHORITY- The term `Authority' means the Reverse Auction Authority
established under subsection (b).
(3) DIRECTOR- The term `Director' means the Director of the Authority.
(4) ELIGIBLE ENTITY- The term `eligible entity' means an owner or operator
of a qualified renewable energy facility that, with respect to such facility--
(A) is not participating in a Federal loan guarantee program; and
(B) has a power purchase agreement in place at the time of the reverse
auction.
(5) OPERATION- The term `operation', with respect to a renewable energy
facility, means that--
(A) such facility is generating electric energy;
(B) such facility is transmitting electric energy onto the electric power
grid; and
(C) electric energy generated by such facility is being sold to one or
more electric utilities.
(6) SECRETARY- The term `Secretary' means the Secretary of Energy.
(7) RENEWABLE ENERGY- The term `renewable energy' has the meaning given
such term in section 203(b) of the Energy Policy Act of 2005 (42 U.S.C.
15852(b)).
(8) RENEWABLE ENERGY FACILITY- The term `renewable energy facility' means
a facility--
(A) for the generation of electric energy and the transmission of such
electric energy onto the electric power grid; and
(B) that generates such electric energy from a renewable energy source.
(9) QUALIFIED RENEWABLE ENERGY FACILITY- The term `qualified renewable energy
facility' means a renewable energy facility for which the owner or operator
demonstrates, to the satisfaction of the Director, the following:
(A) Competence of the owner or operator with respect to the generation
of electric energy from the renewable energy source used by such facility.
(B) Evidence that the renewable energy generating technology used by such
facility can be used on a commercial scale.
(C) Any additional criteria the Secretary determines appropriate.
TITLE IV--PROHIBITION OF CONSIDERATION OF GREENHOUSE GAS
SEC. 401. CLEAN AIR ACT REGULATION.
The Clean Air Act (42 U.S.C. 7401) is amended by inserting after section 329
the following:
`SEC. 330. PROHIBITION OF REGULATION OF GREENHOUSE GAS.
`(a) Definition of Greenhouse Gas- In this section, the term `greenhouse gas'
means--
`(4) a hydrofluorocarbon;
`(5) a perfluorocarbon; or
`(6) sulfur hexafluoride.
`(b) Regulation of Greenhouse Gas- Nothing in this Act may be construed to
require or permit the regulation of a greenhouse gas for climate change purposes.'.
SEC. 402. ENDANGERED SPECIES ACT REGULATION.
(a) Prohibition of Consideration of Impact of Greenhouse Gas- The Endangered
Species Act of 1973 (16 U.S.C. 1531 et seq.) is amended by adding at the end
the following:
`SEC. 19. PROHIBITION OF CONSIDERATION OF IMPACT OF GREENHOUSE GAS.
`(a) Definition of Greenhouse Gas- In this section, the term `greenhouse gas'
means--
`(4) a hydrofluorocarbon;
`(5) a perfluorocarbon; or
`(6) sulfur hexafluoride.
`(b) Impact of Greenhouse Gas- The climate change-related impact of a greenhouse
gas on any species of fish, wildlife, or plant shall not be considered for
any purpose in the implementation of this Act.'.
(b) Conforming Amendment- The table of contents of the Endangered Species
Act of 1973 (16 U.S.C. 1531 note) is amended by adding at the end the following:
`Sec. 18. Annual cost analysis by the Fish and Wildlife Service.
`Sec. 19. Prohibition of consideration of impact of greenhouse gas.'.
END