American Energy First Act

I 116TH CONGRESS 1ST SESSION H. R. 4294 To empower States to manage the development and production of oil and gas on available Federal land, to distribute revenues from oil and gas leasing on the Outer Continental Shelf to certain coastal States, to promote alternative energy development, and for other purposes. IN THE HOUSE OF REPRESENTATIVES SEPTEMBER 11, 2019 Mr. SCALISE (for himself, Mr. BISHOP of Utah, Ms. CHENEY, Mr. GOSAR, Mr. DUNCAN, and Mr. MULLIN) introduced the following bill; which was re- ferred to the Committee on Natural Resources A BILL To empower States to manage the development and produc- tion of oil and gas on available Federal land, to dis- tribute revenues from oil and gas leasing on the Outer Continental Shelf to certain coastal States, to promote alternative energy development, and for other purposes. Be it enacted by the Senate and House of Representa- 1 tives of the United States of America in Congress assembled, 2 SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 3 (a) SHORT TITLE.—This Act may be cited as the 4 ‘‘American Energy First Act’’. 5 (b) TABLE OF CONTENTS.—The table of contents for 6 this Act is the following: 7 VerDate Sep 11 2014 23:25 Sep 12, 2019 Jkt 089200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\H4294.IH H4294 kjohnson on DSK79L0C42 with BILLS 2 •HR 4294 IH Sec. 1. Short title; table of contents. TITLE I—ONSHORE OIL AND GAS Sec. 101. Cooperative federalism in oil and gas permitting on available Federal land. Sec. 102. Conveyance to certain States of property interest in State share of royalties and other payments. Sec. 103. Access to Federal oil and gas from non-Federal surface estate. Sec. 104. State and Tribal authority for hydraulic fracturing regulation. Sec. 105. Review of Integrated Activity Plan for the National Petroleum Re- serve in Alaska. Sec. 106. Protested lease sales. Sec. 107. Clarification regarding liability under Migratory Bird Treaty Act. Sec. 108. Amendments to the Energy Policy Act of 2005. Sec. 109. Administrative protest process reform. Sec. 110. Notifications of permit to drill. TITLE II—OFFSHORE OIL AND GAS Sec. 201. Limitation of authority of the President to withdraw areas of the Outer Continental Shelf from oil and gas leasing. Sec. 202. Disposition of revenues from oil and gas leasing on the Outer Conti- nental Shelf to Atlantic States and Alaska. Sec. 203. Distribution of Outer Continental Shelf revenues to Gulf producing States. Sec. 204. Addressing permits for taking of marine mammals. Sec. 205. Energy Development in the Eastern Gulf of Mexico. TITLE III—ALTERNATIVE ENERGY Sec. 301. Geothermal, solar, and wind leasing priority areas. Sec. 302. Geothermal production on Federal lands. Sec. 303. Facilitation of coproduction of geothermal energy on oil and gas leases. Sec. 304. Noncompetitive leasing of adjoining areas for development of geo- thermal resources. Sec. 305. Application of Outer Continental Shelf Lands Act with respect to ter- ritories of the United States. Sec. 306. Disposition of revenues with respect to territories of the United States. Sec. 307. Wind lease sales for areas of Outer Continental Shelf. Sec. 308. Establishment of Coral Reef Conservation Fund. TITLE IV—LIMITATIONS ON LEASING MORATORIUMS Sec. 401. Coal leases. Sec. 402. Congressional authority requirement. VerDate Sep 11 2014 23:25 Sep 12, 2019 Jkt 089200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6211 E:\BILLS\H4294.IH H4294 kjohnson on DSK79L0C42 with BILLS 3 •HR 4294 IH TITLE I—ONSHORE OIL AND GAS 1 SEC. 101. COOPERATIVE FEDERALISM IN OIL AND GAS PER- 2 MITTING ON AVAILABLE FEDERAL LAND. 3 (a) IN GENERAL.—The Mineral Leasing Act (30 4 U.S.C. 181 et seq.) is amended— 5 (1) by redesignating section 44 as section 48; 6 and 7 (2) by adding after section 43 the following new 8 section: 9 ‘‘SEC. 44. COOPERATIVE FEDERALISM IN OIL AND GAS PER- 10 MITTING ON AVAILABLE FEDERAL LAND. 11 ‘‘(a) AUTHORIZATIONS.— 12 ‘‘(1) IN GENERAL.—Upon receipt of an applica- 13 tion under subsection (b), the Secretary may dele- 14 gate to a State exclusive authority— 15 ‘‘(A) to issue an Application for Permit to 16 Drill on available Federal land; or 17 ‘‘(B) to approve drilling plans on available 18 Federal land. 19 ‘‘(2) SUNDRY NOTICES.—Any authorization 20 under paragraph (1) may, upon the request of the 21 State, include authority to process sundry notices. 22 ‘‘(3) INSPECTION AND ENFORCEMENT.—Any 23 authorization under paragraph (1) may, upon the re- 24 quest of the State, include authorization to inspect 25 VerDate Sep 11 2014 23:25 Sep 12, 2019 Jkt 089200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\H4294.IH H4294 kjohnson on DSK79L0C42 with BILLS 4 •HR 4294 IH and enforce an Application for Permit to Drill or 1 drilling plan, as applicable. An authorization under 2 paragraph (1)(A) shall not affect the ability of the 3 Secretary to collect inspection fees under section 4 108(d) of the Federal Oil and Gas Royalty Manage- 5 ment Act of 1982 (30 U.S.C. 1718(d)). 6 ‘‘(b) STATE APPLICATION PROCESS.— 7 ‘‘(1) SUBMISSION OF APPLICATION.—A State 8 may submit an application under subparagraph (A) 9 or (B) of subsection (a)(1) to the Secretary at such 10 time and in such manner as the Secretary may re- 11 quire. 12 ‘‘(2) CONTENT OF APPLICATION.—An applica- 13 tion submitted under this subsection shall include— 14 ‘‘(A) a description of the State program 15 that the State proposes to administer under 16 State law, including a State drilling plan; and 17 ‘‘(B) a statement from the Governor or At- 18 torney General of such State that the laws of 19 such State provide adequate authority to carry 20 out the State program. 21 ‘‘(3) DEADLINE FOR APPROVAL OR DIS- 22 APPROVAL.—Not later than 180 days after the date 23 of receipt of an application under this subsection, 24 VerDate Sep 11 2014 23:25 Sep 12, 2019 Jkt 089200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\H4294.IH H4294 kjohnson on DSK79L0C42 with BILLS 5 •HR 4294 IH the Secretary shall approve or disapprove such appli- 1 cation. 2 ‘‘(4) CRITERIA FOR APPROVAL.—The Secretary 3 may approve an application received under this sub- 4 section only if the Secretary has— 5 ‘‘(A) determined that the State applicant 6 would be at least as effective as the Secretary 7 in issuing Applications for Permit to Drill or in 8 approving drilling plans, as applicable; 9 ‘‘(B) determined that the State program of 10 the State applicant— 11 ‘‘(i) complies with this Act; and 12 ‘‘(ii) provides for the termination or 13 modification of an issued Application for 14 Permit to Drill or approved drilling plan, 15 as applicable, for cause, including for— 16 ‘‘(I) the violation of any condi- 17 tion of the issued Application for Per- 18 mit to Drill or approved drilling plan; 19 ‘‘(II) obtaining the issued Appli- 20 cation for Permit to Drill or approved 21 drilling plan by misrepresentation; or 22 ‘‘(III) failure to fully disclose in 23 the application all relevant facts; 24 VerDate Sep 11 2014 23:25 Sep 12, 2019 Jkt 089200 PO 00000 Frm 00005 Fmt 6652 Sfmt 6201 E:\BILLS\H4294.IH H4294 kjohnson on DSK79L0C42 with BILLS 6 •HR 4294 IH ‘‘(C) determined that the State applicant 1 has sufficient administrative and technical per- 2 sonnel and sufficient funding to carry out the 3 State program; 4 ‘‘(D) provided notice to the public, solicited 5 public comment, and held a public hearing with- 6 in such State; 7 ‘‘(E) determined that approval of the ap- 8 plication would not result in decreased royalty 9 payments owed to the United States under sec- 10 tion 35(a), except as provided in subsection (e) 11 of that section; and 12 ‘‘(F) in the case of a State applicant seek- 13 ing authority under subsection (a)(3) to inspect 14 and enforce Applications for Permit to Drill or 15 drilling plans, as applicable, entered into a 16 memorandum of understanding with such State 17 applicant that delineates the Federal and State 18 responsibilities with respect to such inspection 19 and enforcement. 20 ‘‘(5) DISAPPROVAL.—If the Secretary dis- 21 approves an application submitted under this sub- 22 section, then the Secretary shall— 23 ‘‘(A) notify, in writing, such State appli- 24 cant of the reason for the disapproval and any 25 VerDate Sep 11 2014 23:25 Sep 12, 2019 Jkt 089200 PO 00000 Frm 00006 Fmt 6652 Sfmt 6201 E:\BILLS\H4294.IH H4294 kjohnson on DSK79L0C42 with BILLS 7 •HR 4294 IH revisions or modifications necessary to obtain 1 approval; and 2 ‘‘(B) provide any additional information, 3 data, or analysis upon which the disapproval is 4 based. 5 ‘‘(6) RESUBMITTAL OF APPLICATION.—A State 6 may resubmit an application under this subsection 7 at any time. 8 ‘‘(7) STATE MEMORANDUM OF UNDER- 9 STANDING.—Before a State submits an application 10 under this subsection, the Secretary may, at the re- 11 quest of such State, enter into a memorandum of 12 understanding with such State regarding the pro- 13 posed State program— 14 ‘‘(A) to delineate the Federal and State re- 15 sponsibilities for oil and gas regulations; 16 ‘‘(B) to provide technical assistance; and 17 ‘‘(C) to share best management practices. 18 ‘‘(c) ADMINISTRATIVE FEES FOR APPLICATIONS FOR 19 PERMIT TO DRILL.— 20 ‘‘(1) IN GENERAL.—A State for which authority 21 has been delegated under subsection (a)(1)(A) may 22 collect a fee for each application for an Application 23 for Permit to Drill that is submitted to the State. 24 VerDate Sep 11 2014 23:25 Sep 12, 2019 Jkt 089200 PO 00000 Frm 00007 Fmt 6652 Sfmt 6201 E:\BILLS\H4294.IH H4294 kjohnson on DSK79L0C42 with BILLS 8 •HR 4294 IH ‘‘(2) NO COLLECTION OF FEE BY SEC- 1 RETARY.—The Secretary may not collect a fee from 2 the applicant or from the State for an application 3 for an Application for Permit to Drill that is sub- 4 mitted to a State for which authority has been dele- 5 gated under subsection (a)(1)(A). 6 ‘‘(3) FEE AMOUNT.—The fee collected under 7 paragraph (1) shall be less than or equal to the 8 amount of the fee described in section 35(d)(2). 9 ‘‘(4) USE.—A State shall use 100 percent of 10 the fees collected under this subsection for the ad- 11 ministration of the approved State program of the 12 State. 13 ‘‘(d) VOLUNTARY TERMINATION OF AUTHORITY.—A 14 State may voluntarily terminate any authority delegated 15 to such State under subsection (a) upon providing written 16 notice to the Secretary 60 days in advance of the date 17 of termination. Upon expiration of such 60-day period, the 18 Secretary shall resume any activities for which authority 19 was delegated to the State under subsection (a). 20 ‘‘(e) APPEAL OF DENIAL OF APPLICATION FOR AP- 21 PLICATION FOR PERMIT TO DRILL OR APPLICATION FOR 22 APPROVAL OF DRILLING PLAN.— 23 ‘‘(1) IN GENERAL.—If a State for which the 24 Secretary has delegated authority under subsection 25 VerDate Sep 11 2014 23:25 Sep 12, 2019 Jkt 089200 PO 00000 Frm 00008 Fmt 6652 Sfmt 6201 E:\BILLS\H4294.IH H4294 kjohnson on DSK79L0C42 with BILLS 9 •HR 4294 IH (a)(1) denies an application for an Application for 1 Permit to Drill or an application for approval of a 2 drilling plan, the applicant may appeal such decision 3 to the Department of the Interior Office of Hearings 4 and Appeals. 5 ‘‘(2) FEE ALLOWED.—The Secretary may 6 charge the applicant a fee for the appeal referred to 7 in paragraph (1). 8 ‘‘(f) FEDERAL ADMINISTRATION OF STATE PRO- 9 GRAM.— 10 ‘‘(1) NOTIFICATION.—If the Secretary has rea- 11 son to believe that a State is not administering or 12 enforcing an approved State program, the Secretary 13 shall notify the relevant State regulatory authority 14 of any possible deficiencies. 15 ‘‘(2) STATE RESPONSE.—Not later than 30 16 days after the date on which a State receives notifi- 17 cation of a possible deficiency under paragraph (1), 18 the State shall— 19 ‘‘(A) take appropriate action to correct the 20 possible deficiency; and 21 ‘‘(B) notify the Secretary of the action in 22 writing. 23 ‘‘(3) DETERMINATION.— 24 VerDate Sep 11 2014 23:25 Sep 12, 2019 Jkt 089200 PO 00000 Frm 00009 Fmt 6652 Sfmt 6201 E:\BILLS\H4294.IH H4294 kjohnson on DSK79L0C42 with BILLS 10 •HR 4294 IH ‘‘(A) IN GENERAL.—On expiration of the 1 30-day period referred to in paragraph (2), if 2 the Secretary determines that a violation of all 3 or any part of an approved State program has 4 resulted from a failure of the State to admin- 5 ister or enforce the approved State program of 6 the State or that the State has not dem- 7 onstrated its capability and intent to administer 8 or enforce such a program, the Secretary shall 9 issue public notice of such a determination. 10 ‘‘(B) APPEAL.—A State may appeal the 11 determination of the Secretary under subpara- 12 graph (A) in the applicable United States Dis- 13 trict Court. The Secretary may not resume ac- 14 tivities under paragraph (4) pending the resolu- 15 tion of the appeal. 16 ‘‘(4) RESUMPTION BY SECRETARY.—Subject to 17 paragraph (3)(B), 30 days after the date on which 18 the Secretary issues the public notice described in 19 paragraph 3(A), the Secretary shall resume any ac- 20 tivities for which authority was delegated to the 21 State during the period— 22 ‘‘(A) beginning on the date 30 days after 23 the date on which the Secretary issues the pub- 24 lic notice under paragraph (3)(A); and 25 VerDate Sep 11 2014 23:25 Sep 12, 2019 Jkt 089200 PO 00000 Frm 00010 Fmt 6652 Sfmt 6201 E:\BILLS\H4294.IH H4294 kjohnson on DSK79L0C42 with BILLS 11 •HR 4294 IH ‘‘(B) ending on the date on which the Sec- 1 retary determines that the State will administer 2 or enforce, as applicable, such State’s approved 3 State program. 4 ‘‘(5) STANDING.—States with approved regu- 5 latory programs shall have standing to sue the Sec- 6 retary for any action taken under this subsection. 7 ‘‘(g) DEFINITIONS.—In this section: 8 ‘‘(1) AVAILABLE FEDERAL LAND.—The term 9 ‘available Federal land’ means any Federal land 10 that— 11 ‘‘(A) is located within the boundaries of a 12 State; 13 ‘‘(B) is not held by the United States in 14 trust for the benefit of a federally recognized 15 Indian Tribe or a member of such an Indian 16 Tribe; 17 ‘‘(C) is not a unit of the National Park 18 System; 19 ‘‘(D) is not a unit of the National Wildlife 20 Refuge System, except for the portion of such 21 unit for which oil and gas drilling is allowed 22 under law; 23 VerDate Sep 11 2014 23:25 Sep 12, 2019 Jkt 089200 PO 00000 Frm 00011 Fmt 6652 Sfmt 6201 E:\BILLS\H4294.IH H4294 kjohnson on DSK79L0C42 with BILLS 12 •HR 4294 IH ‘‘(E) is not a congressionally approved wil- 1 derness area under the Wilderness Act (16 2 U.S.C. 1131 et seq.); and 3 ‘‘(F) has been identified as land available 4 for lease or has been leased for the exploration, 5 development, and production of oil and gas— 6 ‘‘(i) by the Bureau of Land Mana [Text truncated for display. 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