Declaration of Energy Independence Act
Sponsored By: Representative Rep. Ogles, Andrew [R-TN-5]
Introduced
Summary
Lower royalties for onshore oil and gas plus wider noncompetitive leasing are the bill's core changes. It reduces royalty rates, cuts bid and rental minimums, and creates new paths to lease abandoned or previously vested mineral estates.
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Bill Overview
Analyzed Economic Effects
4 provisions identified: 2 benefits, 0 costs, 2 mixed.
Lower royalties and fees for onshore leases
If enacted, the onshore royalty rate would drop from 16 2/3% to 12.5%. Annual rentals would be at least $1.50 per acre for years 1–5 and $2 after year 5. The minimum competitive bid would be $2 per acre. The fee to file an expression of interest would be removed.
Standard 10-year leases with drilling extension
If enacted, competitive and noncompetitive onshore leases would have a 10-year primary term. If drilling began before the term ended and is diligently prosecuted, the lease would extend two years. A lease would continue as long as oil or gas is produced in paying quantities.
First-come noncompetitive leases and reoffer rules
The bill would create a first-come, noncompetitive path for lands not leased competitively. The first qualified applicant would pay a nonrefundable $75 fee and a 12.5% royalty, and the lease would be issued within 60 days. Lands with no bids or bids below the national minimum would be posted within 30 days and stay open for two years. If no lease is issued and no application is pending by then, the land would go back to competitive sale only; leases that end or are canceled would also return to competitive-only. A lease issued in place of an abandoned patented placer claim would be treated as noncompetitive under this path.
Relief for reinstated and historic oil claims
If enacted, people seeking to reinstate a canceled lease would owe $10 per acre in back rent and at least $5 per acre per year going forward. Reinstated leases would carry at least a 16 2/3% royalty, and back royalties would be due on production after cancellation. The Secretary could reduce royalties for hardship or other equitable reasons. Some owners of pre-1920 oil placer claims could get a backdated, noncompetitive lease if they file on time and pay required rentals and royalties (at least $5 per acre and 12.5%).
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Sponsors & CoSponsors
Sponsor
Rep. Ogles, Andrew [R-TN-5]
TN • R
Cosponsors
Pfluger
TX • R
Sponsored 1/16/2025
Rep. Weber, Randy K. Sr. [R-TX-14]
TX • R
Sponsored 1/16/2025
Brecheen
OK • R
Sponsored 1/16/2025
Hageman
WY • R
Sponsored 1/16/2025
Maloy
UT • R
Sponsored 1/16/2025
Rep. Williams, Roger [R-TX-25]
TX • R
Sponsored 1/16/2025
Rep. Mann, Tracey [R-KS-1]
KS • R
Sponsored 1/21/2025
Rep. Gill, Brandon [R-TX-26]
TX • R
Sponsored 1/21/2025
Roll Call Votes
No roll call votes available for this bill.
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