,,ii #aaf? ,,congress #b;d ,session ,s4 #dbbc ,,9 ,,! ,,s5ate ,,( ,,! ,,unit$ ,,/ates ,july #bj1 #bjbj,mr4 ,te/] introduc$ ! foll[+ bill2 :i* 0 read twice & ref]r$ to ! ,committee on ,en]gy & ,natural ,res\rces ,a ,,bill ,to am5d ! ,m9]al ,leas+ ,act to ensure m>ket competition 9 on%ore oil & gas leas+1 & = o!r purposes4 #a4 ,%ort title ,?is ,act may be cit$ z ! ,leas+ ,m>ket ,effici5cy ,act4 #b4 ,f9d+s ,congress f9ds t-- 7#a7 pursuant to ! ,f$]al ,l& ,policy & ,managem5t ,act ( #aigf 7#dc ,u4,s4,c4 #agja et seq47 & ! ,=e/ & ,rangel& ,r5ewable ,res\rces ,plann+ ,act ( #aigd 7#af ,u4,s4,c4 #afjj et seq471 public l& & ,national ,=e/ ,sy/em l& are to be manag$ = multiple uses1 includ+ recreation1 range1 timb]1 m9]als1 wat]%$1 wildlife & fi%1 & natural sc5ic1 sci5tific1 & hi/orical values2 7#b7 exi/+ oil & gas leases1 ev5 if undevelop$1 c & d prev5t ! ,bureau ( ,l& ,managem5t f manag+ tracts ( l& = o!r multiple uses2 7#c7 oil & gas lease p>cels t d n receive bids at competitive auction h be5 te/$ by ! competitive m>ket & f\nd to h m9imal or no pres5t value = oil & gas developm5t2 7#d7 noncompetitive leas+ does n provide a fair return to taxpay]s s9ce noncompetitive leas+ all[s companies & individuals to pay less ?an ! m9imum #b bid = ! use ( public l&2 7#e7 noncompetitively issu$ leases are usually n develop$ & acc\nt = only a small fraction ( royalty-g5]at+ production2 7#f7 companies & individuals frequ5tly pur*ase oil & gas leases noncompetitively1 despite lack+ ! int5t or capability to develop !m1 z a =m ( speculation2 7#g7 relative to leases issu$ competitively1 leases issu$ noncompetitively are significantly m likely to be t]m9at$ = failure to pay r5t2 7#h7 ! noncompetitive leas+ program dra9s adm9i/rative res\rces f ! ,bureau ( ,l& ,managem5t1 9 ! =m ( p]sonnel "t & ef=t to issue1 monitor1 & frequ5tly t]m9ate & re9/ate noncompetitive leases2 7#i7 noncompetitive leas+ has increas$ 9 rec5t ye>s1 ) ! numb] ( leases issu$ noncompetitively 9 cal5d> ye> #bjah m>k+ a #aj-ye> high2 7#aj7 sev]al ,/ates1 includ+ ,colorado & portions ( ,new ,mexico1 d n regul>ly issue leases noncompetitively1 & yet ma9ta9 a robu/ & pr(itable oil & gas program2 & 7#aa7 ! ,f$]al on%ore oil & gas leas+ program is be/ s]v$ by-- 7,a7 issu+ oil & gas leases only ?r\gh a competitive process2 & 7,b7 leav+ l& t does n receive bids at competitive auction to be manag$ = o!r uses4 #c4 ,policy ( ! ,unit$ ,/ates2 s5se ( ,congress 7a7 ,policy ( ! ,unit$ ,/ates ,x is ! policy ( ! ,unit$ ,/ates t ! ,secret>y ( ! ,int]ior %all n issue on%ore oil & gas leases except ?r\gh a competitive bidd+ process4 7b7 ,s5se ( ,congress ,x is ! s5se ( ,congress t ! policy ( ! ,unit$ ,/ates describ$ 9 subsection 7a7-- 7#a7 w disc\rage speculation 9 ! ,f$]al on%ore oil & gas leas+ program2 7#b7 w cons]ve limit$ ,f$]al res\rces t c be bett] appli$ else:]e2 7#c7 w avoid opportunity co/s t impact ! managem5t ( o!r res\rces1 su* z wildlife habitat managem5t2 7#d7 w b5efit taxpay]s f ! receipt by ! ,secret>y ( ! ,int]ior ( at lea/ ! m9imum bid value = on%ore oil & gas leases issu$ by ! ,secret>y ( ! ,int]ior2 7#e7 is 9 keep+ ) ! goals ( multiple use l& managem5t2 & 7#f7 is n to ! detrim5t ( ! fiscal int]e/s or en]gy security ( ! ,unit$ ,/ates4 #d4 ,elim9ation ( noncompetitive leas+ 7a7 ,oil & gas leas+ ,section #ag ( ! ,m9]al ,leas+ ,act 7#cj ,u4,s4,c4 #bbf7 is am5d$-- 7#a7 by /rik+ subsection 7a7 & ins]t+ ! foll[+3 7a7 ,leas+ au?ority 7#a7 ,9 g5]al ,all l& subject to disposition "u ?is ,act t is kn[n or believ$ to conta9 oil or gas deposits may be leas$ by ! ,secret>y4 7#b7 ,receipt ( fair m>ket value ,9 conduct+ leas+ activities "u ?is ,act1 ! ,secret>y %all ensure ! receipt by ! ,unit$ ,/ates ( fair m>ket value =-- 7,a7 any l& or res\rces leas$ by ! ,unit$ ,/ates2 & 7,b7 any rights convey$ by ! ,unit$ ,/ates4 2 7#b7 9 subsection 7b7-- 7,a7 9 p>agraph 7#a77;,a7-- 7i7 9 ! fir/ s5t5ce1 by /rik+ p>agraphs 7#b7 & 7#c7 ( ?is subsection & ins]t+ p>agraph 7#b72 & 7ii7 by /rik+ ! la/ s5t5ce2 & 7,b7 by /rik+ p>agraph 7#c72 7#c7 by /rik+ subsection 7c7 & ins]t+ ! foll[+3 7c7 ,additional r\nds ( competitive bidd+ ,l& made available = leas+ "u subsection 7b77#a7 = :i* no bid is accept$ or receiv$ may be made available by ! ,secret>y = a new r\nd ( competitive bidd+ "u t subsection4 2 & 7#d7 9 subsection 7e7-- 7,a7 9 ! ?ird s5t5ce1 by /rik+ ,any lease & ins]t+ ! foll[+3 7#c7 ,additional ext5sions ,any lease 2 7,b7 9 ! second s5t5ce1 by /rik+ ,ea* su* lease & ins]t+ ! foll[+3 7#b7 ,ext5sion ( lease aft] prim>y t]m ,a lease describ$ 9 p>agraph 7#a7 2 & 7,c7 by /rik+ ! subsection designation & all t foll[s ?r\gh ! p]iod at ! end ( ! fir/ s5t5ce & ins]t+ ! foll[+3 7e7 ,t]m ( lease 7#a7 ,9 g5]al ,any lease issu$ "u ?is section1 includ+ a lease = t> s& areas1 %all be = a prim>y t]m ( #aj ye>s4 4 7b7 ,failure ,to comply ) provisions ( lease ,section #ca ( ! ,m9]al ,leas+ ,act 7#cj ,u4,s4,c4 #ahh7 is am5d$-- 7#a7 9 subsection 7d77#a71 9 ! fir/ s5t5ce1 by /rik+ or section #ag7;c7 ( ?is ,act2 7#b7 9 subsection 7e7-- 7,a7 9 p>agraph 7#b7-- 7i7 by /rik+ ei!r2 & 7ii7 by /rik+ or ! inclusion & all t foll[s ?r\gh 1 all2 & 7,b7 9 p>agraph 7#c7-- 7i7 9 subp>agraph 7,a71 by add+ & aft] ! semicolon2 7ii7 by /rik+ subp>agraph 7,b72 & 7iii7 by /rik+ 7#c77;,a7 paym5t & ins]t+ ! foll[+3 7#c7 paym5t 2 7#c7 9 subsection 7g7-- 7,a7 9 p>agraph 7#a71 by /rik+ z a competitive & all t foll[s ?r\gh ( ?is ,act & ins]t+ 9 ! same mann] z ! orig9al lease issu$ pursuant to section #ag2 7,b7 by /rik+ p>agraph 7#b72 7,c7 by r$esignat+ p>agraphs 7#c7 & 7#d7 z p>agraphs 7#b7 & 7#c71 respectively2 & 7,d7 9 p>agraph 7#b7 7z s r$esignat$71 by /rik+ applicable to leases issu$ "u subsection #ag7;c7 ( ?is ,act 7#cj ,u4,s4,c4 #bbf7;c77 except1 & ins]t+ except2 7#d7 9 subsection 7h71 by /rik+ subsections 7d7 & 7f7 ( ?is section & ins]t+ subsection 7d72 7#e7 9 subsection 7i71 by /rik+ 7i77#a7 ,9 act+ & all t foll[s ?r\gh ( ?is section 9 p>agraph 7#b7 & ins]t+ ! foll[+3 7i7 ,royalty r$uction 9 re9/at$ leases ,9 act+ on a petition = re9/atem5t pursuant to subsection 7d7 2 7#f7 by /rik+ subsection 7f72 & 7#g7 by r$esignat+ subsections 7g7 ?r\gh 7j7 z subsections 7f7 ?r\gh 7i71 respectively4