HR21-118

1. Short title This Act may be cited as the Strategic Production Response Act.

2. Compensatory production increase plan Section 161 of the Energy Policy and Conservation Act (42 U.S.C. 6241) is amended by adding at the end the following new subsection: Except in the case of a severe energy supply interruption described in subsection (d), the Secretary may not execute the first drawdown of petroleum products in the Reserve after the date of enactment of this subsection, whether through sale, exchange, or loan, until the Secretary has developed and submitted to Congress a plan to increase the percentage of Federal lands (including submerged lands of the Outer Continental Shelf) under the jurisdiction of the Secretary of Agriculture, the Secretary of Energy, the Secretary of the Interior, and the Secretary of Defense leased for oil and gas production by the same percentage as the percentage of petroleum in the Strategic Petroleum Reserve that has been drawn down during the period beginning January 21, 2021, and ending on the date of enactment of this Act, and that is to be drawn down in that first and subsequent drawdowns, subject to the limitation under paragraph (2). The plan required by paragraph (1) shall not provide for— a total increase in the percentage of Federal lands described in paragraph (1) leased for oil and gas production in excess of 15 percent; or the financial benefit or participation of any entity that has a contractual relationship with, or is owned, controlled, or under the influence of, a foreign entity of concern. In this paragraph, the term foreign entity of concern means— the People’s Republic of China; the Democratic People’s Republic of Korea; the Russian Federation; the Islamic Republic of Iran; and any other country the government of which is subject to sanctions imposed by the United States. The Secretary shall, in consultation with the Secretary of Agriculture, the Secretary of the Interior, and the Secretary of Defense— prepare the plan required by paragraph (1); and ensure such plan will not result in the sale of petroleum products drawn down from the Reserve to Iran, China, North Korea, or Russia. The Secretary shall submit the plan developed under paragraph (1) to the Committees on Armed Services, Agriculture, Energy and Commerce, and Natural Resources of the House of Representatives and the Committees on Energy and Natural Resources, Environment and Public Works, Armed Services, and Agriculture, Nutrition, and Forestry of the Senate. As part of the plan developed under paragraph (1), the Secretary shall identify areas to lease within the approximately 224,793.73 acres, including approximately 200,518.28 acres of National Forest System lands, approximately 15,464.99 acres of public lands, and approximately 8,810.46 acres of reserved Federal mineral interest within the Thompson Divide area in Colorado. The plan required by paragraph (1) shall include a list of parcels planned to be offered for lease, including, for each such parcel— the size of the parcel, by acre; the location of the parcel; and any permits and approvals necessary to access the parcel and produce oil and gas on the parcel. (k)Plan (1)In generalExcept in the case of a severe energy supply interruption described in subsection (d), the Secretary may not execute the first drawdown of petroleum products in the Reserve after the date of enactment of this subsection, whether through sale, exchange, or loan, until the Secretary has developed and submitted to Congress a plan to increase the percentage of Federal lands (including submerged lands of the Outer Continental Shelf) under the jurisdiction of the Secretary of Agriculture, the Secretary of Energy, the Secretary of the Interior, and the Secretary of Defense leased for oil and gas production by the same percentage as the percentage of petroleum in the Strategic Petroleum Reserve that has been drawn down during the period beginning January 21, 2021, and ending on the date of enactment of this Act, and that is to be drawn down in that first and subsequent drawdowns, subject to the limitation under paragraph (2). (2)Limitation (A)In generalThe plan required by paragraph (1) shall not provide for— (i)a total increase in the percentage of Federal lands described in paragraph (1) leased for oil and gas production in excess of 15 percent; or (ii)the financial benefit or participation of any entity that has a contractual relationship with, or is owned, controlled, or under the influence of, a foreign entity of concern. (B)DefinitionIn this paragraph, the term foreign entity of concern means— (i)the People’s Republic of China; (ii)the Democratic People’s Republic of Korea; (iii)the Russian Federation; (iv)the Islamic Republic of Iran; and (v)any other country the government of which is subject to sanctions imposed by the United States. (3)ConsultationThe Secretary shall, in consultation with the Secretary of Agriculture, the Secretary of the Interior, and the Secretary of Defense— (A)prepare the plan required by paragraph (1); and (B)ensure such plan will not result in the sale of petroleum products drawn down from the Reserve to Iran, China, North Korea, or Russia. (4)Submission to CongressThe Secretary shall submit the plan developed under paragraph (1) to the Committees on Armed Services, Agriculture, Energy and Commerce, and Natural Resources of the House of Representatives and the Committees on Energy and Natural Resources, Environment and Public Works, Armed Services, and Agriculture, Nutrition, and Forestry of the Senate. (5)Thompson divideAs part of the plan developed under paragraph (1), the Secretary shall identify areas to lease within the approximately 224,793.73 acres, including approximately 200,518.28 acres of National Forest System lands, approximately 15,464.99 acres of public lands, and approximately 8,810.46 acres of reserved Federal mineral interest within the Thompson Divide area in Colorado. (6)RequirementsThe plan required by paragraph (1) shall include a list of parcels planned to be offered for lease, including, for each such parcel— (A)the size of the parcel, by acre; (B)the location of the parcel; and (C)any permits and approvals necessary to access the parcel and produce oil and gas on the parcel..

3. No effect on certain withdrawals of Federal lands Nothing in this Act, or any amendments made by this Act, shall affect the Presidential memorandum titled Memorandum on the Withdrawal of Certain Areas of the United States Outer Continental Shelf from Leasing Disposition and dated September 8, 2020.

4. No effect on existing leasing restrictions Nothing in this Act, or the amendments made by this Act, shall affect any statutory or regulatory restrictions in effect on the date of enactment of this Act (including any withdrawal of Federal land) that may prohibit oil and gas leasing within the area designated as the North Atlantic Planning Area.

5. No effect on existing leasing restrictions Nothing in this Act, or the amendments made by this Act, shall affect any statutory or regulatory restrictions in effect on the date of enactment of this Act (including any withdrawal of Federal land) that may prohibit oil and gas leasing within the area designated as the South Atlantic Planning Area.

6. Rule of construction with respect to abuse of emergency declarations Nothing in this Act, or the amendments made by this Act, may be construed to authorize the President to make a determination under section 161(d) of the Energy Policy and Conservation Act (42 U.S.C. 6241(d)) that an emergency situation exists in order for the Secretary of Energy to draw down and sell petroleum products under such subsection for political, non-emergency purposes.