[Congressional Bills 114th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4389 Introduced in House (IH)]
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114th CONGRESS
2d Session
H. R. 4389
To amend the Mineral Leasing Act to ensure fair returns for Federal
onshore oil and gas resources.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
January 13, 2016
Mr. Lowenthal (for himself and Mr. Grijalva) introduced the following
bill; which was referred to the Committee on Natural Resources
_______________________________________________________________________
A BILL
To amend the Mineral Leasing Act to ensure fair returns for Federal
onshore oil and gas resources.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Ensuring the Taxpayer a Fair Return
for Federal Onshore Oil and Gas Resources Act of 2015''.
SEC. 2. ADJUSTMENT OF MINIMUM BIDS AND ANNUAL RENTALS FOR OIL AND GAS
AND TAR SANDS LEASES TO REFLECT INFLATION.
(a) In General.--Section 17 of the Mineral Leasing Act (30 U.S.C.
226) is amended--
(1) in subsection (b)(1)(B), by striking ``$2 per acre''
and inserting ``$4 per acre'';
(2) in subsection (b)(2)(C), by striking ``$2 per acre''
and inserting ``$5 per acre'';
(3) in subsection (d)--
(A) by striking ``$1.50 per acre'' and inserting
``$3 per acre''; and
(B) by striking ``$2 per acre'' and inserting ``$4
per acre''; and
(4) by adding at the end the following:
``(q) Inflation Adjustment.--
``(1) In general.--The Secretary shall--
``(A) by regulation, at least once every 4 years,
adjust each of the dollar amounts that applies under
subsections (b)(1)(B), (b)(2)(C), and (d) by the cost-
of-living adjustment; and
``(B) publish each such regulation in the Federal
Register.
``(2) Definitions.--In this subsection:
``(A) Cost-of-living adjustment.--The term `cost-
of-living adjustment' means the percentage (if any) for
a dollar amount by which--
``(i) the Consumer Price Index for the
month of June of the calendar year preceding
the adjustment, exceeds
``(ii) the Consumer Price Index for the
month of June of the calendar year in which the
dollar amount was last set or adjusted pursuant
to law.
``(B) Consumer price index.--The term `Consumer
Price Index' means the Consumer Price Index for all
urban consumers published by the Department of
Labor.''.
(b) Conforming Amendment.--Section 17(b)(1)(B) of the Mineral
Leasing Act (30 U.S.C. 226(b)(1)(B)) is amended beginning in the first
sentence by striking ``for a period'' and all that follows through
``Thereafter, the'' and inserting ``. The''.
SEC. 3. AMENDMENT OF ROYALTY RATES.
(a) Royalty Rates.--Section 17 of the Mineral Leasing Act (30
U.S.C. 226) is amended--
(1) by striking ``12.5'' each place such term appears and
inserting ``18.75''; and
(2) by striking ``12\1/2\'' each place such term appears
and inserting ``18.75''.
(b) Application.--The amendments made by subsection (a) shall apply
only to new leases issued on or after the date of enactment of this
Act.
SEC. 4. ON-SHORE FEDERAL OIL AND GAS ROYALTY SHARING.
(a) In General.--Section 35 of the Mineral Leasing Act (30 U.S.C.
191) is amended--
(1) by striking ``Sec. 35. (a)'' and all that follows
through ``50 per centum thereof'' and inserting the following:
``SEC. 35. ON-SHORE OIL AND GAS ROYALTY SHARING.
``(a) Royalty Sharing.--
``(1) In general.--Of the amounts received by the United
States from sales, bonuses, and royalties, including interest
charges collected under the Federal Oil and Gas Royalty
Management Act of 1982, and from rentals of the public lands in
Alaska under the provisions of this Act and the Geothermal
Steam Act of 1970--
``(A) 33.33 percent shall be used as described in
paragraph (2); and
``(B) the remainder shall be used as described in
paragraph (3).
``(2) Distribution of 33.33 percent.--
``(A) In general.--Of the amount referred to in
paragraph (1)(A)--
``(i) 30 percent, but not to exceed
$50,000,000 per fiscal year, shall be
transferred by the Secretary of the Treasury to
the Bureau of Land Management for use for oil
and gas inspection and enforcement;
``(ii) 15 percent, but not to exceed
$25,000,000 per fiscal year, shall be available
to the Secretary of the Interior to remediate,
reclaim, and properly plug and abandon orphan
oil and gas wells on Federal lands;
``(iii) 45 percent shall be paid by the
Secretary of the Treasury to the State within
the boundaries of which the leased land is
located or the deposits were derived, for use
by such State in accordance with paragraph (3);
and
``(iv) the remainder shall be deposited
into the Treasury as miscellaneous receipts.
``(B) Administration.--Amounts to be paid or
available under clauses (i), (ii), and (iii) of
subparagraph (A) shall--
``(i) be available without further
appropriation; and
``(ii) remain available until expended.
``(3) Distribution of remainder.--Of the amount referred to
in paragraph (1)(B), and subject to subsection (b), 50 per
centum thereof''; and
(2) in subsection (a), by striking ``All moneys received''
and inserting the following:
``(4) General provisions.--All moneys received''.
(b) Conforming Amendment.--Section 35(c)(1) of the Mineral Leasing
Act (30 U.S.C. 191(c)(1)) is amended by striking ``the first sentence
of''.
(c) Limitations on Application.--The amendments made by subsection
(a)--
(1) shall apply only to amounts received by the United
States under new leases issued on or after the date of
enactment of this Act; and
(2) shall not affect the application of section 35(a) of
the Mineral Leasing Act (30 U.S.C. 191(a)) to amounts received
by the United States before the first fiscal year beginning
after the date of the enactment of this Act.
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