[Congressional Bills 112th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3404 Introduced in House (IH)]
112th CONGRESS
1st Session
H. R. 3404
To establish in the Department of the Interior an Under Secretary for
Energy, Lands, and Minerals and a Bureau of Ocean Energy, an Ocean
Energy Safety Service, and an Office of Natural Resources Revenue, and
for other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
November 14, 2011
Mr. Hastings of Washington introduced the following bill; which was
referred to the Committee on Natural Resources
_______________________________________________________________________
A BILL
To establish in the Department of the Interior an Under Secretary for
Energy, Lands, and Minerals and a Bureau of Ocean Energy, an Ocean
Energy Safety Service, and an Office of Natural Resources Revenue, 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. ESTABLISHMENT OF UNDER SECRETARY FOR ENERGY, LANDS, AND
MINERALS AND ASSISTANT SECRETARY OF OCEAN ENERGY AND
SAFETY.
There shall be in the Department of the Interior--
(1) an Under Secretary for Energy, Lands, and Minerals, who
shall--
(A) be appointed by the President, by and with the
advise and consent of the Senate;
(B) report to the Secretary of the Interior;
(C) be paid at the rate payable for level III of
the Executive Schedule; and
(D) be responsible for--
(i) the safe and responsible development of
our energy and mineral resources on Federal
lands in appropriate accordance with United
States energy demands; and
(ii) ensuring multiple-use missions of the
Department of the Interior that promote the
safe and sustained development of energy and
minerals resources on public lands (as that
term is defined in the Federal Land Policy and
Management Act of 1976 (43 U.S.C. 1701 et
seq.));
(2) an Assistant Secretary of Ocean Energy and Safety, who
shall--
(A) be appointed by the President, by and with the
advise and consent of the Senate;
(B) report to the Under Secretary for Energy,
Lands, and Minerals;
(C) be paid at the rate payable for level IV of the
Executive Schedule; and
(D) be responsible for ensuring safe and efficient
development of energy and minerals on the Outer
Continental Shelf of the United States; and
(3) an Assistant Secretary of Land and Minerals Management,
who shall--
(A) be appointed by the President, by and with the
advise and consent of the Senate;
(B) report to the Under Secretary for Energy,
Lands, and Minerals;
(C) be paid at the rate payable for level IV of the
Executive Schedule; and
(D) be responsible for ensuring safe and efficient
development of energy and minerals on public lands and
other Federal onshore lands under the jurisdiction of
the Department of the Interior, including
implementation of the Mineral Leasing Act (30 U.S.C.
181 et seq.) and the Surface Mining Control and
Reclamation Act (30 U.S.C. 1201 et seq.) and
administration of the Office of Surface Mining.
SEC. 2. BUREAU OF OCEAN ENERGY.
(a) Establishment.--There is established in the Department of the
Interior a Bureau of Ocean Energy (referred to in this section as the
``Bureau''), which shall--
(1) be headed by a Director of Ocean Energy (referred to in
this section as the ``Director''); and
(2) be administered under the direction of the Assistant
Secretary of Ocean Energy and Safety.
(b) Director.--
(1) Appointment.--The Director shall be appointed by the
Secretary of the Interior.
(2) Compensation.--The Director shall be compensated at the
rate provided for Level V of the Executive Schedule under
section 5316 of title 5, United States Code.
(c) Duties.--
(1) In general.--The Secretary of the Interior shall carry
out through the Bureau all functions, powers, and duties vested
in the Secretary relating to the administration of a
comprehensive program of offshore mineral and renewable energy
resources management.
(2) Specific authorities.--The Director shall promulgate
and implement regulations--
(A) for the proper issuance of leases for the
exploration, development, and production of
nonrenewable and renewable energy and mineral resources
on the Outer Continental Shelf;
(B) relating to resource identification, access,
evaluation, and utilization;
(C) for development of leasing plans, lease sales,
and issuance of leases for such resources; and
(D) regarding issuance of environmental impact
statements related to leasing and post leasing
activities including exploration, development, and
production, and the use of third party contracting for
necessary environmental analysis for the development of
such resources.
(3) Limitation.--The Secretary shall not carry out through
the Bureau any function, power, or duty that is--
(A) required by section 3 to be carried out through
the Ocean Energy Safety Service; or
(B) required by section 4 to be carried out through
the Office of Natural Resources Revenue.
(d) Responsibilities of Land Management Agencies.--Nothing in this
section shall affect the authorities of the Bureau of Land Management
under the Federal Land Policy and Management Act of 1976 (43 U.S.C.
1701 et seq.) or of the Forest Service under the National Forest
Management Act of 1976 (Public Law 94-588).
SEC. 3. OCEAN ENERGY SAFETY SERVICE.
(a) Establishment.--There is established in the Department of the
Interior an Ocean Energy Safety Service (referred to in this section as
the ``Service''), which shall--
(1) be headed by a Director of Energy Safety (referred to
in this section as the ``Director''); and
(2) be administered under the direction of the Assistant
Secretary of Ocean Energy and Safety.
(b) Director.--
(1) Appointment.--The Director shall be appointed by the
Secretary of the Interior.
(2) Compensation.--The Director shall be compensated at the
rate provided for Level V of the Executive Schedule under
section 5316 of title 5, United States Code.
(c) Duties.--
(1) In general.--The Secretary of the Interior shall carry
out through the Service all functions, powers, and duties
vested in the Secretary relating to the administration of
safety and environmental enforcement activities related to
offshore mineral and renewable energy resources on the Outer
Continental Shelf pursuant to the Outer Continental Shelf Lands
Act (43 U.S.C. 1331 et seq.) including the authority to
develop, promulgate, and enforce regulations to ensure the safe
and sound exploration, development, and production of mineral
and renewable energy resources on the Outer Continental Shelf
in a timely fashion.
(2) Specific authorities.--The Director shall be
responsible for all safety activities related to exploration
and development of renewable and mineral resources on the Outer
Continental Shelf, including--
(A) exploration, development, production, and
ongoing inspections of infrastructure;
(B) the suspending or prohibiting, on a temporary
basis, any operation or activity, including production
under leases held on the Outer Continental Shelf, in
accordance with section 5(a)(1) of the Outer
Continental Shelf Lands Act (43 U.S.C. 1334(a)(1));
(C) cancelling any lease, permit, or right-of-way
on the Outer Continental Shelf, in accordance with
section 5(a)(2) of the Outer Continental Shelf Lands
Act (43 U.S.C. 1334(a)(2));
(D) compelling compliance with applicable Federal
laws and regulations relating to worker safety and
other matters;
(E) requiring comprehensive safety and
environmental management programs for persons engaged
in activities connected with the exploration,
development, and production of mineral or renewable
energy resources;
(F) developing and implementing regulations for
Federal employees to carry out any inspection or
investigation to ascertain compliance with applicable
regulations, including health, safety, or environmental
regulations;
(G) implementing the Offshore Technology Research
and Risk Assessment Program under section 21 of the
Outer Continental Shelf Lands Act (43 U.S.C. 1347);
(H) summoning witnesses and directing the
production of evidence;
(I) levying fines and penalties and disqualifying
operators;
(J) carrying out any safety, response, and removal
preparedness functions; and
(K) the processing of permits, exploration plans,
development plans.
(d) Employees.--
(1) In general.--The Secretary shall ensure that the
inspection force of the Bureau consists of qualified, trained
employees who meet qualification requirements and adhere to the
highest professional and ethical standards.
(2) Qualifications.--The qualification requirements
referred to in paragraph (1)--
(A) shall be determined by the Secretary, subject
to subparagraph (B); and
(B) shall include--
(i) three years of practical experience in
oil and gas exploration, development, or
production; or
(ii) a degree in an appropriate field of
engineering from an accredited institution of
higher learning.
(3) Assignment.--In assigning oil and gas inspectors to the
inspection and investigation of individual operations, the
Secretary shall give due consideration to the extent possible
to their previous experience in the particular type of oil and
gas operation in which such inspections are to be made.
(4) Background checks.--The Director shall require that an
individual to be hired as an inspection officer undergo an
employment investigation (including a criminal history record
check).
(5) Language requirements.--Individuals hired as inspectors
must be able to read, speak, and write English well enough to--
(A) carry out written and oral instructions
regarding the proper performance of inspection duties;
and
(B) write inspection reports and statements and log
entries in the English language.
(6) Veterans preference.--The Director shall provide a
preference for the hiring of an individual as a inspection
officer if the individual is a member or former member of the
armed forces and is entitled, under statute, to retired,
retirement, or retainer pay on account of service as a member
of the armed forces.
(7) Annual proficiency review.--
(A) Annual proficiency review.--The Director shall
provide that an annual evaluation of each individual
assigned inspection duties is conducted and documented.
(B) Continuation of employment.--An individual
employed as an inspector may not continue to be
employed in that capacity unless the evaluation
demonstrates that the individual--
(i) continues to meet all qualifications
and standards;
(ii) has a satisfactory record of
performance and attention to duty based on the
standards and requirements in the inspection
program; and
(iii) demonstrates the current knowledge
and skills necessary to courteously,
vigilantly, and effectively perform Inspection
functions.
(8) Limitation on right to strike.--Any individual that
conducts permitting or inspections under this section may not
participate in a strike, or assert the right to strike.
(9) Personnel authority.--Notwithstanding any other
provision of law, the Director may employ, appoint, discipline
and terminate for cause, and fix the compensation, terms, and
conditions of employment of Federal service for individuals as
the employees of the Service in order to restore and maintain
the trust of the people of the United States in the
accountability of the management of our Nation's energy safety
program.
(10) Training academy.--
(A) In general.--The Secretary shall establish and
maintain a National Offshore Energy Health and Safety
Academy (referred to in this paragraph as the
``Academy'') as an agency of the Ocean Energy Safety
Service.
(B) Functions of academy.--The Secretary, through
the Academy, shall be responsible for--
(i) the initial and continued training of
both newly hired and experienced offshore oil
and gas inspectors in all aspects of health,
safety, environmental, and operational
inspections;
(ii) the training of technical support
personnel of the Bureau;
(iii) any other training programs for
offshore oil and gas inspectors, Bureau
personnel, Department personnel, or other
persons as the Secretary shall designate; and
(iv) certification of the successful
completion of training programs for newly hired
and experienced offshore oil and gas
inspectors.
(C) Cooperative agreements.--
(i) In general.--In performing functions
under this paragraph, and subject to clause
(ii), the Secretary may enter into cooperative
educational and training agreements with
educational institutions, related Federal
academies, other Federal agencies, State
governments, safety training firms, and oil and
gas operators and related industries.
(ii) Training requirement.--Such training
shall be conducted by the Academy in accordance
with curriculum needs and assignment of
instructional personnel established by the
Secretary.
(11) Use of department personnel.--In performing functions
under this subsection, the Secretary shall use, to the extent
practicable, the facilities and personnel of the Department of
the Interior. The Secretary may appoint or assign to the
Academy such officers and employees as the Secretary considers
necessary for the performance of the duties and functions of
the Academy.
(12) Additional training programs.--
(A) In general.--The Secretary shall work with
appropriate educational institutions, operators, and
representatives of oil and gas workers to develop and
maintain adequate programs with educational
institutions and oil and gas operators that are
designed--
(i) to enable persons to qualify for
positions in the administration of this Act;
and
(ii) to provide for the continuing
education of inspectors or other appropriate
Department of the Interior personnel.
(B) Financial and technical assistance.--The
Secretary may provide financial and technical
assistance to educational institutions in carrying out
this paragraph.
(e) Limitation.--The Secretary shall not carry out through the
Service any function, power, or duty that is--
(1) required by section 2 to be carried out through Bureau
of Ocean Energy; or
(2) required by section 4 to be carried out through the
Office of Natural Resources Revenue.
SEC. 4. OFFICE OF NATURAL RESOURCES REVENUE.
(a) Establishment.--There is established in the Department of the
Interior an Office of Natural Resources Revenue (referred to in this
section as the ``Office'') to be headed by a Director of Natural
Resources Revenue (referred to in this section as the ``Director'').
(b) Appointment and Compensation.--
(1) In general.--The Director shall be appointed by the
Secretary of the Interior.
(2) Compensation.--The Director shall be compensated at the
rate provided for Level V of the Executive Schedule under
section 5316 of title 5, United States Code.
(c) Duties.--
(1) In general.--The Secretary of the Interior shall carry
out, through the Office, all functions, powers, and duties
vested in the Secretary and relating to the administration of
offshore royalty and revenue management functions.
(2) Specific authorities.--The Secretary shall carry out,
through the Office, all functions, powers, and duties
previously assigned to the Minerals Management Service
(including the authority to develop, promulgate, and enforce
regulations) regarding offshore royalty and revenue collection;
royalty and revenue distribution; auditing and compliance;
investigation and enforcement of royalty and revenue
regulations; and asset management for onshore and offshore
activities.
(d) Limitation.--The Secretary shall not carry out through the
Office any function, power, or duty that is--
(1) required by section 2 to be carried out through Bureau
of Ocean Energy; or
(2) required by section 3 to be carried out through the
Ocean Energy Safety Service.
SEC. 5. ETHICS AND DRUG TESTING.
(a) Certification.--The Secretary of the Interior shall certify
annually that all Department of the Interior officers and employees
having regular, direct contact with lessees, contractors,
concessionaires, and other businesses interested before the Government
as a function of their official duties, or conducting investigations,
issuing permits, or responsible for oversight of energy programs, are
in full compliance with all Federal employee ethics laws and
regulations under the Ethics in Government Act of 1978 (5 U.S.C. App.)
and part 2635 of title 5, Code of Federal Regulations, and all guidance
issued under subsection (c).
(b) Drug Testing.--The Secretary shall conduct a random drug
testing program of all Department of the Interior personnel referred to
in subsection (a).
(c) Guidance.--Not later than 90 days after the date of enactment
of this Act, the Secretary shall issue supplementary ethics and drug
testing guidance for the employees for which certification is required
under subsection (a). The Secretary shall update the supplementary
ethics guidance not less than once every 3 years thereafter.
SEC. 6. ABOLISHMENT OF MINERALS MANAGEMENT SERVICE.
(a) Abolishment.--The Minerals Management Service is abolished.
(b) Completed Administrative Actions.--
(1) In general.--Completed administrative actions of the
Minerals Management Service shall not be affected by the
enactment of this Act, but shall continue in effect according
to their terms until amended, modified, superseded, terminated,
set aside, or revoked in accordance with law by an officer of
the United States or a court of competent jurisdiction, or by
operation of law.
(2) Completed administrative action defined.--For purposes
of paragraph (1), the term ``completed administrative action''
includes orders, determinations, memoranda of understanding,
memoranda of agreements, rules, regulations, personnel actions,
permits, agreements, grants, contracts, certificates, licenses,
registrations, and privileges.
(c) Pending Proceedings.--Subject to the authority of the Secretary
of the Interior and the officers of the Department of the Interior
under this Act--
(1) pending proceedings in the Minerals Management Service,
including notices of proposed rulemaking, and applications for
licenses, permits, certificates, grants, and financial
assistance, shall continue, notwithstanding the enactment of
this Act or the vesting of functions of the Service in another
agency, unless discontinued or modified under the same terms
and conditions and to the same extent that such discontinuance
or modification could have occurred if this Act had not been
enacted; and
(2) orders issued in such proceedings, and appeals
therefrom, and payments made pursuant to such orders, shall
issue in the same manner and on the same terms as if this Act
had not been enacted, and any such orders shall continue in
effect until amended, modified, superseded, terminated, set
aside, or revoked by an officer of the United States or a court
of competent jurisdiction, or by operation of law.
(d) Pending Civil Actions.--Subject to the authority of the
Secretary of the Interior or any officer of the Department of the
Interior under this Act, pending civil actions shall continue
notwithstanding the enactment of this Act, and in such civil actions,
proceedings shall be had, appeals taken, and judgments rendered and
enforced in the same manner and with the same effect as if such
enactment had not occurred.
(e) References.--References relating to the Minerals Management
Service in statutes, Executive orders, rules, regulations, directives,
or delegations of authority that precede the effective date of this Act
are deemed to refer, as appropriate, to the Department, to its
officers, employees, or agents, or to its corresponding organizational
units or functions. Statutory reporting requirements that applied in
relation to the Minerals Management Service immediately before the
effective date of this Act shall continue to apply.
SEC. 7. CONFORMING AMENDMENTS TO EXECUTIVE SCHEDULE PAY RATES.
(a) Under Secretary for Energy, Lands, and Minerals.--Section 5314
of title 5, United States Code, is amended by inserting after the item
relating to ``Under Secretaries of the Treasury (3)'' the following:
``Under Secretary for Energy, Lands, and Minerals,
Department of the Interior.''.
(b) Assistant Secretaries.--Section 5315 of title 5, United States
Code, is amended by striking ``Assistant Secretaries, Department of the
Interior (6)'' and inserting the following:
``Assistant Secretaries, Department of the Interior (7).''.
(c) Directors.--Section 5316 of title 5, United States Code, is
amended by striking ``Director, Bureau of Mines, Department of the
Interior.'' and inserting the following new items:
``Director, Bureau of Ocean Energy, Department of the
Interior.
``Director, Ocean Energy Safety Service, Department of the
Interior.
``Director, Office of Natural Resources Revenue, Department
of the Interior.''.
SEC. 8. OUTER CONTINENTAL SHELF ENERGY SAFETY ADVISORY BOARD.
(a) Establishment.--The Secretary of the Interior shall establish,
under the Federal Advisory Committee Act, an Outer Continental Shelf
Energy Safety Advisory Board (referred to in this section as the
``Board'')--
(1) to provide the Secretary and the Directors established
by this Act with independent scientific and technical advice on
safe, responsible, and timely mineral and renewable energy
exploration, development, and production activities; and
(2) to review operations of the National Offshore Energy
Health and Safety Academy established under section 3(d),
including submitting to the Secretary recommendations of
curriculum to ensure training scientific and technical
advancements.
(b) Membership.--
(1) Size.--The Board shall consist of not more than 11
members, who--
(A) shall be appointed by the Secretary based on
their expertise in oil and gas drilling, well design,
operations, well containment and oil spill response;
and
(B) must have significant scientific, engineering,
management, and other credentials and a history of
working in the field related to safe energy
exploration, development, and production activities.
(2) Consultation and nominations.--The Secretary shall
consult with the National Academy of Sciences and the National
Academy of Engineering to identify potential candidates for the
Board and shall take nominations from the public.
(3) Term.--The Secretary shall appoint Board members to
staggered terms of not more than 4 years, and shall not appoint
a member for more than 2 consecutive terms.
(4) Balance.--In appointing members to the Board, the
Secretary shall ensure a balanced representation of industry
and research interests.
(c) Chair.--The Secretary shall appoint the Chair for the Board
from among its members.
(d) Meetings.--The Board shall meet not less than 3 times per year
and shall host, at least once per year, a public forum to review and
assess the overall energy safety performance of Outer Continental Shelf
mineral and renewable energy resource activities.
(e) Offshore Drilling Safety Assessments and Recommendations.--As
part of its duties under this section, the Board shall, by not later
than 180 days after the date of enactment of this section and every 5
years thereafter, submit to the Secretary a report that--
(1) assesses offshore oil and gas well control
technologies, practices, voluntary standards, and regulations
in the United States and elsewhere; and
(2) as appropriate, recommends modifications to the
regulations issued under this Act to ensure adequate protection
of safety and the environment, including recommendations on how
to reduce regulations and administrative actions that are
duplicative or unnecessary.
(f) Reports.--Reports of the Board shall be submitted by the Board
to the Committee on Natural Resources of the House or Representatives
and the Committee on Energy and Natural Resources of the Senate and
made available to the public in electronically accessible form.
(g) Travel Expenses.--Members of the Board, other than full-time
employees of the Federal Government, while attending meeting of the
Board or while otherwise serving at the request of the Secretary or the
Director while serving away from their homes or regular places of
business, may be allowed travel expenses, including per diem in lieu of
subsistence, as authorized by section 5703 of title 5, United States
Code, for individuals in the Government serving without pay.
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