Sec. 502. Ending fossil fuel subsidies

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In this section, the term fossil fuel means coal, petroleum, natural gas, or any derivative of coal, petroleum, or natural gas that is used for fuel. Section 8(a)(3) of the Outer Continental Shelf Lands Act ( 43 U.S.C. 1337(a)(3) ) is amended— by striking subparagraph (B); and by redesignating subparagraph

(C)as subparagraph (B). Section 344 of the Energy Policy Act of 2005 ( 42 U.S.C. 15904 ) is repealed. Section 345 of the Energy Policy Act of 2005 ( 42 U.S.C. 15905 ) is repealed. Notwithstanding any other provision of law (including regulations), royalty relief shall not be permitted under a lease issued under section 8 of the Outer Continental Shelf Lands Act ( 43 U.S.C. 1337 ). Section 7(a) of the Mineral Leasing Act ( 30 U.S.C. 207(a) ) is amended in the fourth sentence by striking 12 and inserting 1/2 per centum 18 . 3/4 percent Section 14 of the Mineral Leasing Act ( 30 U.S.C. 223 ) is amended in the fourth sentence by striking 12 and inserting 1/2 per centum 18 . 3/4 percent Section 17 of the Mineral Leasing Act ( 30 U.S.C. 226 ) is amended— in subsection (b)— in paragraph (1)(A), in the fifth sentence, by striking 12.5 percent and inserting 18 ; and 3/4 percent in paragraph (2)(A)(ii), by striking 12 and inserting 1/2 per centum 18 ; 3/4 percent in subsection (c)(1), in the second sentence, by striking 12.5 percent and inserting 18 ; 3/4 percent in subsection (l), by striking 12 each place it appears and inserting 1/2 per centum 18 ; and 3/4 percent in subsection (n)(1)(C), by striking 12 and inserting 1/2 per centum 18 . 3/4 percent Section 111 of the Federal Oil and Gas Royalty Management Act of 1982 ( 30 U.S.C. 1721 ) is amended by adding at the end the following: Interest shall not be paid on any overpayment. . Section 1004(a) of the Oil Pollution Act of 1990 ( 33 U.S.C. 2704(a) ) is amended— in paragraph (3), by striking plus $75,000,000; and and inserting and the liability of the responsible party under section 1002; ; in paragraph (4)— by inserting (except an onshore pipeline transporting diluted bitumen, bituminous mixtures, or any oil manufactured from bitumen) after for any onshore facility ; and by striking the period at the end and inserting ; and ; and by adding at the end the following: for any onshore facility transporting diluted bitumen, bituminous mixtures, or any oil manufactured from bitumen, the liability of the responsible party under section 1002. . Except as provided in paragraph (3), effective on the date of enactment of this Act, there are rescinded all unobligated balances of amounts made available by the United States— to the International Bank for Reconstruction and Development and the International Development Association (collectively known as the World Bank ) or any other international financial institution (as defined in section 1701(c)(2) of the International Financial Institutions Act ( 22 U.S.C. 262r(c)(2) )); and to carry out any project that supports the construction of new fossil-fueled power plants. Except as provided in paragraph (3), and notwithstanding any other provision of law, any amounts made available by the United States to the World Bank or any other international financial institution on or after the date of enactment of this Act may not be used to carry out any project that facilitates additional consumption or production of fossil-fuel based energy. Paragraphs

(1)and

(3)through

(9)as paragraphs

(2)through (8), respectively; and by striking paragraph (10); by striking subsection (c); and by redesignating subsections

(d)and

(e)as subsections

(c)and (d), respectively. Section 1704 of the Energy Policy Act of 2005 ( 42 U.S.C. 16514 ) is amended— by striking the section designation and heading and all that follows through There are in subsection

(a)and inserting the following: There are ; and by striking subsection (b). Notwithstanding any other provision of law, the Secretary of Agriculture may not make a loan under title III of the Rural Electrification Act of 1936 ( 7 U.S.C. 931 et seq.) to an applicant for the purpose of carrying out any project that will use fossil fuel. Except as provided in paragraph (3), effective on the date of enactment of this Act, there are rescinded all unobligated balances of amounts made available to the Overseas Private Investment Corporation or the Export-Import Bank of the United States to carry out any project, transaction, or other activity that supports the production or use of fossil fuels. Except as provided in paragraph (3), and notwithstanding any other provision of law, any amounts made available to the Overseas Private Investment Corporation or the Export-Import Bank of the United States on or after the date of enactment of this Act may not be used to carry out any project, transaction, or other activity that facilitates additional consumption or production of fossil-fuel based energy. Paragraphs

(1)and

(2)shall not apply to a fossil-fueled power plant project located in a least developed country (as that term is defined by the United Nations) if— no other economically feasible alternative exists; and the project uses the most efficient technology available. Notwithstanding any other provision of law, any amounts made available to the Department of Transportation may not be used to award any grant, loan, loan guarantee, or provide any other direct assistance to any rail or port project that transports fossil fuel. Not later than 90 days after the date of enactment of this Act, the Director of the Bureau of Land Management shall designate the Powder River Basin as a coal producing region. Not later than 1 year after the date of enactment of this Act, the Director of the Bureau of Land Management shall submit to Congress a report that includes— a study of the fair market value and the amount of royalties paid on coal leases in the Powder River Basin compared to other national and international coal markets; and any policy recommendations to capture the future market value of the coal leases in the Powder River Basin. In this subsection, the term subsidy for fossil fuel production means any direct funding, tax treatment or incentive, risk-reduction benefit, financing assistance or guarantee, royalty relief, or other provision that provides a financial benefit to a fossil fuel company for the production of fossil fuels. Not later than 1 year after the date of enactment of this Act, the Secretary of the Treasury, in coordination with the Secretary, shall submit to Congress a report detailing each Federal law (including regulations), other than those amended by this Act, as in effect on the date on which the report is submitted, that includes a subsidy for fossil-fuel production. Not later than 1 year after the date of enactment of this Act, the Secretary, in coordination with the Commissioner of Internal Revenue, shall submit to Congress a report on the applicable recovery period under the accelerated cost recovery system provided in section 168 of the Internal Revenue Code of 1986 for each type of property involved in fossil fuel production, including pipelines, power generation property, refineries, and drilling equipment, to determine if any assets are receiving a subsidy for fossil fuel production. In the case of any type of property that the Commissioner of Internal Revenue determines is receiving a subsidy for fossil fuel production under such section 168, for property placed in service in taxable years beginning after the date of such determination, such section 168 shall not apply. The preceding sentence shall not apply to any property with respect to a taxable year unless such determination is published before the first day of such taxable year.

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