,i  #aaith ,,congress  #ast ,session    
,h4 ,r4 #ebf  ,,in ,,the ,,house ,,of   
,,representatives  ,january #af1        
#bjbe,mr4 ,ogles 7for himself1 ,mr4     
,pfluger1 ,mr4 ,weber of ,texas1 ,mr4   
,brecheen1 ,ms4 ,hageman1 ,ms4 ,maloy1  
and ,mr4 ,williams of ,texas7 introduced
 the following bill2 which was referred 
to the ,committee on ,natural ,resources
  ,a ,,bill  ,to amend the ,mineral     
,leasing ,act to make certain           
adjustments to the royalty rates for    
leases for oil and gas extraction on    
,federal land1 and for other purposes4  
#a4 ,short title ,this ,act may be cited
 as the ,declaration of ,energy         
,independence ,act4  #b4 ,amendments to 
,mineral ,leasing ,act  7a7 ,onshore oil
 and gas royalty rates  7#a7 ,lease of  
oil and gas land ,section #ag of the    
,mineral ,leasing ,act 7#cj ,u4,s4,c4   
#bbf7 is amended-- 7,a7 by striking     
#afb_/c percent each place it appears   
and inserting #aba_/b percent2 and  7,b7
 in subsection 7b77#a77;,a71 by striking

 or1 in the case of and all that follows
 through removed or sold from the lease4
 ,the and inserting 4 ,the 4  7#b7      
,conditions for reinstatement ,section  
#ca7;e77#c7 of the ,mineral ,leasing    
,act 7#cj ,u4,s4,c4 #ahh7;e77#c77 is    
amended by striking #bj each place it   
appears and inserting #afb_/c4  7b7 ,oil
 and gas minimum bid ,section #ag7;b7 of
 the ,mineral ,leasing ,act 7#cj        
,u4,s4,c4 #bbf7;b77 is amended-- 7#a7 in
 paragraph 7#a77;,b71 by striking #aj   
per acre during the #aj-year period     
beginning on the date of enactment of   
the ,act titled ,an ,act to provide for 
reconciliation pursuant to title ,,ii of
 ,s4 ,con4 ,res4 #ad and inserting #b   
per acre for a period of #b years from  
the date of enactment of the ,federal   
,onshore ,oil and ,gas ,leasing ,reform 
,act of #aihg2 and  7#b7 in paragraph   
7#b77;,c71 by striking #aj per acre and 
inserting #b per acre4  7c7 ,fossil fuel
 rental rates  7#a7 ,annual rentals     
,section #ag7;d7 of the ,mineral        

,leasing ,act 7#cj ,u4,s4,c4 #bbf7;d77  
is amended by striking than #c per acre 
per year and all that follows through   
and #ae per acre per year thereafter and
 inserting than #a4ej per acre per year 
for the first through fifth years of the
 lease and not less than #b per acre per
 year for each year thereafter4  7#b7   
,rentals in reinstated leases ,section  
#ca7;e77#b7 of the ,mineral ,leasing    
,act 7#cj ,u4,s4,c4 #ahh7;e77#b77 is    
amended by striking #bj and inserting   
#aj4  7d7 ,elimination of fee for       
expression of interest ,section #ag of  
the ,mineral ,leasing ,act 7#cj         
,u4,s4,c4 #bbf7 is amended by striking  
subsection 7q74  7e7 ,noncompetitive    
,leasing ,section #ag of the ,mineral   
,leasing ,act 7#cj ,u4,s4,c4 #bbf7 is   
amended-- 7#a7 in subsection 7b7-- 7,a7 
in paragraph 7#a77;,a7-- 7i7 by striking
 paragraph 7#b7 and inserting paragraphs
 7#b7 and 7#c7 of this subsection2 and  
7ii7 by inserting ,lands for which no   
bids are received or for which the      

highest bid is less than the national   
minimum acceptable bid shall be offered 
promptly within #cj days for leasing    
under subsection 7c7 of this section and
 shall remain available for leasing for 
a period of #b years after the          
competitive lease sale4 after the period
 at the end2 and  7,b7 by adding at the 
end the following3  7#c77;,a7 ,if the   
,united ,states held a vested future    
interest in a mineral estate that1      
immediately prior to becoming a vested  
present interest1 was subject to a lease
 under which oil or gas was being       
produced1 or had a well capable of      
producing1 in paying quantities at an   
annual average production volume per    
well per day of either not more than #ae
 barrels per day of oil or condensate1  
or not more than #fj1jjj cubic feet of  
gas1 the holder of the lease may elect  
to continue the lease as a              
noncompetitive lease under subsection   
7c77#a74 7,b7 ,an election under this   
paragraph is effective-- 7i7 in the case

 of an interest which vested after      
,january #a1 #aiij1 and on or before the
 date of enactment of this paragraph1 if
 the election is made before the date   
that is #a year after the date of       
enactment of this paragraph2  7ii7 in   
the case of an interest which vests     
within #a year after the date of        
enactment of this paragraph1 if the     
election is made before the date that is
 #b years after the date of enactment of
 this paragraph2 and  7iii7 in any case 
other than those described in clause 7i7
 or 7ii71 if the election is made prior 
to the interest becoming a vested       
present interest4  7,c7 ,notwithstanding
 the consent requirement referenced in  
section #c of the ,mineral ,leasing ,act
 for ,acquired ,lands 7#cj ,u4,s4,c4    
#ceb71 the ,secretary shall issue a     
noncompetitive lease under subsection   
7c77#a7 to a holder who makes an        
election under subparagraph 7,a7 and who
 is qualified to hold a lease under this
 ,act4 ,such lease shall be subject to  

all terms and conditions under this ,act
 that are applicable to leases issued   
under subsection 7c77#a74  7,d7 ,a lease
 issued pursuant to this paragraph shall
 continue so long as oil or gas         
continues to be produced in paying      
quantities4  7,e7 ,this paragraph shall 
apply only to those lands under the     
administration of the ,secretary of     
,agriculture where the ,united ,states  
acquired an interest in such lands      
pursuant to the ,act of ,march #a1 #aiaa
 7#cf ,stat4 #ifa74  2  7#b7 by striking
 subsection 7c7 and inserting the       
following3  7c77#a7 ,if the lands to be 
leased are not leased under subsection  
7b77#a7 of this section or are not      
subject to competitive leasing under    
subsection 7b77#b7 of this section1 the 
person first making application for the 
lease who is qualified to hold a lease  
under this ,act shall be entitled to a  
lease of such lands without competitive 
bidding1 upon payment of a              
non-refundable application fee of at    

least #ge4 ,a lease under this          
subsection shall be conditioned upon the
 payment of a royalty at a rate of #ab4e
 percent in amount or value of the      
production removed or sold from the     
lease4 ,leases shall be issued within   
#fj days of the date on which the       
,secretary identifies the first         
responsible qualified applicant4        
7#b77;,a7 ,lands 7i7 which were posted  
for sale under subsection 7b77#a7 of    
this section but for which no bids were 
received or for which the highest bid   
was less than the national minimum      
acceptable bid and 7ii7 for which1 at   
the end of the period referred to in    
subsection 7b77#a7 of this section no   
lease has been issued and no lease      
application is pending under paragraph  
7#a7 of this subsection1 shall again be 
available for leasing only in accordance
 with subsection 7b77#a7 of this        
section4  7,b7 ,the land in any lease   
which is issued under paragraph 7#a7 of 
this subsection or under subsection     

7b77#a7 of this section which lease     
terminates1 expires1 is cancelled or is 
relinquished shall again be available   
for leasing only in accordance with     
subsection 7b77#a7 of this section4  2  
and  7#c7 by striking subsection 7e7 and
 inserting the following3  7e7          
,competitive and noncompetitive leases  
issued under this section shall be for a
 primary term of #aj years3 ,provided1  
however1 ,that competitive leases issued
 in special tar sand areas shall also be
 for a primary term of ten years4 ,each 
such lease shall continue so long after 
its primary term as oil or gas is       
produced in paying quantities4 ,any     
lease issued under this section for land
 on which1 or for which under an        
approved cooperative or unit plan of    
development or operation1 actual        
drilling operations were commenced prior
 to the end of its primary term and are 
being diligently prosecuted at that time
 shall be extended for two years and so 
long thereafter as oil or gas is        

produced in paying quantities4  4  7f7  
,conforming amendments ,section #ca of  
the ,mineral ,leasing ,act 7#cj         
,u4,s4,c4 #ahh7 is amended-- 7#a7 in    
subsection 7d77#a71 by inserting or     
section #ag7;c7 of this ,act after      
pursuant to section #ag7;b72  7#b7 in   
subsection 7e7-- 7,a7 in paragraph      
7#b7-- 7i7 by inserting either after    
rentals and2 and  7ii7 by inserting or  
the inclusion in a reinstated lease     
issued pursuant to the provisions of    
section #ag7;c7 of this ,act of a       
requirement that future rentals shall be
 at a rate not less than #e per acre per
 year1 all after per acre per year12 and
  7,b7 in paragraph 7#c7-- 7i7 by       
striking 7#c7 payment and inserting the 
following3  7#c77;,a7 payment  2 and    
7ii7 by adding at the end the following3
  7,b7 payment of back royalties and    
inclusion in a reinstated lease issued  
pursuant to the provisions of section   
#ag7;c7 of this ,act of a requirement   
for future royalties at a rate not less 

than #af percent3 ,provided1 ,that      
royalty on such reinstated lease shall  
be paid on all production removed or    
sold from such lease subsequent to the  
cancellation or termination of the      
original lease2 and  2  7#c7 by         
redesignating subsections 7f7 through   
7i7 as subsections 7g7 through 7j71     
respectively2  7#d7 by inserting after  
subsection 7e7 the following3  7f7      
,where an unpatented oil placer mining  
claim validly located prior to ,february
 #bd1 #aibj1 which has been or is       
currently producing or is capable of    
producing oil or gas1 has been or is    
hereafter deemed conclusively abandoned 
for failure to file timely the required 
instruments or copies of instruments    
required by section #cad of the ,federal
 ,land ,policy and ,management ,act of  
#aigf 7#dc ,u4,s4,c4 #agdd71 and it is  
shown to the satisfaction of the        
,secretary that such failure was        
inadvertent1 justifiable1 or not due to 
lack of reasonable diligence on the part

 of the owner1 the ,secretary may issue1
 for the lands covered by the abandoned 
unpatented oil placer mining claim1 a   
noncompetitive oil and gas lease1       
consistent with the provisions of       
section #ag7;e7 of this ,act1 to be     
effective from the statutory date the   
claim was deemed conclusively abandoned4
 ,issuance of such a lease shall be     
conditioned upon-- 7#a7 a petition for  
issuance of a noncompetitive oil and gas
 lease1 together with the required      
rental and royalty1 including back      
rental and royalty accruing from the    
statutory date of abandonment of the oil
 placer mining claim1 being filed with  
the ,secretary-- 7,a7 with respect to   
any claim deemed conclusively abandoned 
on or before the date of enactment of   
the ,federal ,oil and ,gas ,royalty     
,management ,act of #aihb1 on or before 
the one hundred and twentieth day after 
such date of enactment1 or  7,b7 with   
respect to any claim deemed conclusively
 abandoned after such date of enactment1

 on or before the one hundred and       
twentieth day after final notification  
by the ,secretary or a court of         
competent jurisdiction of the           
determination of the abandonment of the 
oil placer mining claim2  7#b7 a valid  
lease not having been issued affecting  
any of the lands covered by the         
abandoned oil placer mining claim prior 
to the filing of such petition3         
,provided1 however1 ,that after the     
filing of a petition for issuance of a  
lease under this subsection1 the        
,secretary shall not issue any new lease
 affecting any of the lands covered by  
such abandoned oil placer mining claim  
for a reasonable period1 as determined  
in accordance with regulations issued by
 him2  7#c7 a requirement in the lease  
for payment of rental1 including back   
rentals accruing from the statutory date
 of abandonment of the oil placer mining
 claim1 of not less than #e per acre per
 year2  7#d7 a requirement in the lease 
for payment of royalty on production    

removed or sold from the oil placer     
mining claim1 including all royalty on  
production made subsequent to the       
statutory date the claim was deemed     
conclusively abandoned1 of not less than
 #aba_/b percent2 and  7#e7 compliance  
with the notice and reimbursement of    
costs provisions of paragraph 7#d7 of   
subsection 7e7 but addressed to the     
petition covering the conversion of an  
abandoned unpatented oil placer mining  
claim to a noncompetitive oil and gas   
lease4  2  7#e7 in subsection 7g7 7as so
 redesignated7-- 7,a7 in paragraph 7#a71
 by striking in the same manner as the  
original lease issued pursuant to       
section #ag and inserting as a          
competitive or a noncompetitive oil and 
gas lease in the same manner as the     
original lease issued pursuant to       
section #ag7;b7 or #ag7;c7 of this ,act2
  7,b7 by redesignating paragraphs 7#b7 
and 7#c7 as paragraphs 7#c7 and 7#d71   
respectively2  7,c7 by inserting after  
paragraph 7#a7 the following3  7#b7     

,except as otherwise provided in this   
section1 the issuance of a lease in lieu
 of an abandoned patented oil placer    
mining claim shall be treated as a      
noncompetitive oil and gas lease issued 
pursuant to section #ag7;c7 of this     
,act4  2 and  7,d7 in paragraph 7#c7 7as
 so redesignated71 by inserting         
applicable to leases issued under       
subsection #ag7;c7 of this ,act 7#cj    
,u4,s4,c4 #bbf7;c77 after this section12
  7#f7 in subsection 7h7 7as so         
redesignated71 by striking subsection   
7d7 and inserting subsections 7d7 and   
7f7 of this section2 and  7#g7 by       
striking subsection 7i7 7as so          
redesignated7 and inserting the         
following3  7i77#a7 ,in acting on a     
petition to issue a noncompetitive oil  
and gas lease1 under subsection 7f7 of  
this section or in response to a request
 filed after issuance of such a lease1  
or both1 the ,secretary is authorized to
 reduce the royalty on such lease if in 
his judgment it is equitable to do so or

 the circumstances warrant such relief  
due to uneconomic or other circumstances
 which could cause undue hardship or    
premature termination of production4    
7#b7 ,in acting on a petition for       
reinstatement pursuant to subsection 7d7
 of this section or in response to a    
request filed after reinstatement1 or   
both1 the ,secretary is authorized to   
reduce the royalty in that reinstated   
lease on the entire leasehold or any    
tract or portion thereof segregated for 
royalty purposes if1 in his judgment1   
there are uneconomic or other           
circumstances which could cause undue   
hardship or premature termination of    
production2 or because of any written   
action of the ,united ,states1 its      
agents or employees1 which preceded1 and
 was a major consideration in1 the      
lessee's expenditure of funds to develop
 the property under the lease after the 
rent had become due and had not been    
paid2 or if in the judgment of the      
,secretary it is equitable to do so for 

any reason4  4