[Page S7417]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

  SA 5229. Mr. MENENDEZ submitted an amendment intended to be proposed 
to amendment SA 5108 submitted by Mr. McConnell and intended to be 
proposed to the bill S. 3268, to amend the Commodity Exchange Act, to 
prevent excessive price speculation with respect to energy commodities, 
and for other purposes; which was ordered to lie on the table; as 
follows:

       At the end of the amendment, add the following:

     SEC. __. ISSUANCE OF NEW LEASES.

       (a) Definitions.--In this section:
       (1) Lessee.--The term ``lessee'' includes any person or 
     other entity that controls, is controlled by, or is in or 
     under common control with, a lessee.
       (2) Secretary.--The term ``Secretary'' means the Secretary 
     of the Interior.
       (b) Leases.--Effective beginning on the date of 
     promulgation of regulations under subsection (c), the 
     Secretary shall not issue any new lease that authorizes the 
     exploration for or production of oil or natural gas under 
     section 17 of the Mineral Leasing Act (33 U.S.C. 226), the 
     Mineral Leasing Act for Acquired Lands (30 U.S.C. 351 et 
     seq.), or the Outer Continental Shelf Lands Act (43 U.S.C. 
     1331 et seq.) to a person unless the person--
       (1) certifies for each existing lease under those Acts for 
     the production of oil or gas with respect to which the person 
     is a lessee, that the person has diligently developed the 
     Federal land that is subject to the lease in order to produce 
     oil or natural gas or is producing oil or natural gas from 
     the land; or
       (2) has relinquished all Federal oil and gas leases under 
     which oil and gas is not being diligently developed.
       (c) Diligent Development.--
       (1) In general.--Not later than 180 days after the date of 
     enactment of this Act, the Secretary shall promulgate 
     regulations that define ``diligently developed'' for purposes 
     of this section.
       (2) Regulations.--The regulations shall--
       (A) include benchmarks for oil and gas development that 
     will ensure that leaseholders produce oil and gas from each 
     lease within the original term of the lease; and
       (B) require each leaseholder to submit to the Secretary a 
     diligent development plan demonstrating how the lessee will 
     meet the benchmarks.
       (d) Failure To Comply With Requirements.--Any person that 
     fails to comply with this section (including any regulation 
     or order issued under this section) shall be liable for a 
     civil penalty under the terms and conditions of section 109 
     of the Federal Oil and Gas Royalty Management Act of 1982 (30 
     U.S.C. 1719).
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