Notes on 30 U.S.C. § 1004 : US Code - Notes

Search Notes on 30 U.S.C. § 1004 : US Code - Notes

(Pub. L. 91-581, Sec. 5, Dec. 24, 1970, 84 Stat. 1567; Pub. L. 109-
58, title II, Secs. 223(a), 224(a), 228, 230, 232, 233, 236(7),
Aug. 8, 2005, 119 Stat. 661, 662, 667-670, 672.)
REFERENCES IN TEXT
The Mineral Leasing Act, referred to in subsec. (a)(2), is act
Feb. 25, 1920, ch. 85, 41 Stat. 437, as amended, which is
classified generally to chapter 3A (Sec. 181 et seq.) of this
title. For complete classification of this Act to the Code, see
Short Title note set out under section 181 of this title and
Tables.
AMENDMENTS
2005 - Pub. L. 109-58, Secs. 223(a)(1)-(3), 224(a)(1), 228,
230(1)-(3), 233(a), 236(7), inserted section catchline, designated
existing provisions as subsec. (a) and inserted heading,
redesignated subpars. (1) and (2) of par. (c) as subpars. (A) and
(B), respectively, redesignated pars. (a) to (d) as pars. (1) to
(4), respectively, of subsec. (a), added new pars. (1) to (3) of
subsec. (a) and struck out former pars. (1) to (4) of subsec. (a)
which related to royalties for amount or value of steam or other
form of heat energy, royalty for value of byproducts, payment of
annual rental, and royalties in lieu of rentals.
Subsec. (b). Pub. L. 109-58, Sec. 223(a)(4), added subsec. (b).
Subsecs. (c), (d). Pub. L. 109-58, Sec. 224(a)(2), added subsecs.
(c) and (d).
Subsec. (e). Pub. L. 109-58, Sec. 230(4), added subsec. (e).
Subsec. (f). Pub. L. 109-58, Sec. 232, added subsec. (f).
Subsec. (g). Pub. L. 109-58, Sec. 233(b), added subsec. (g).
EFFECTIVE DATE OF 2005 AMENDMENT
Pub. L. 109-58, title II, Sec. 223(c), Aug. 8, 2005, 119 Stat.
662, provided that: "The schedule of fees established under the
amendment made by subsection (a)(4) [amending this section] shall
apply with respect to payments under a lease converted under this
subsection that are due and owing, and have been paid, on or after
July 16, 2003. This subsection shall not require the refund of
royalties paid to a State under section 20 of the Geothermal Steam
Act of 1970 (30 U.S.C. 1019) prior to the date of enactment of this
Act [Aug. 8, 2005]."
INCENTIVES AND ROYALTIES FOR EXISTING LEASES
Pub. L. 109-58, title II, Sec. 224(c)-(e), Aug. 8, 2005, 119
Stat. 663, 664, provided that:
"(c) Near-Term Production Incentive for Existing Leases. -
"(1) In general. - Notwithstanding section 5(a) of the
Geothermal Steam Act of 1970 [30 U.S.C. 1004(a)], the royalty
required to be paid shall be 50 percent of the amount of the
royalty otherwise required, on any lease issued before the date
of enactment of this Act [Aug. 8, 2005] that does not convert to
new royalty terms under subsection (e) -
"(A) with respect to commercial production of energy from a
facility that begins such production in the 6-year period
beginning on the date of enactment of this Act; or
"(B) on qualified expansion geothermal energy.
"(2) 4-year application. - Paragraph (1) applies only to new
commercial production of energy from a facility in the first 4
years of such production.
"(d) Definition of Qualified Expansion Geothermal Energy. - In
this section [amending this section and section 1019 of this title
and enacting provisions set out as a note under this section], the
term 'qualified expansion geothermal energy' means geothermal
energy produced from a generation facility for which -
"(1) the production is increased by more than 10 percent as a
result of expansion of the facility carried out in the 6-year
period beginning on the date of enactment of this Act [Aug. 8,
2005]; and
"(2) such production increase is greater than 10 percent of the
average production by the facility during the 5-year period
preceding the expansion of the facility (as such average is
adjusted to reflect any trend in changes in production during
that period).
"(e) Royalty Under Existing Leases. -
"(1) In general. - Any lessee under a lease issued under the
Geothermal Steam Act of 1970 (30 U.S.C. 1001 et seq.) before the
date of enactment of this Act [Aug. 8, 2005] may, within the time
period specified in paragraph (2), submit to the Secretary of the
Interior a request to modify the terms of the lease relating to
payment of royalties to provide -
"(A) in the case of a lease that meets the requirements of
subsection (b) of section 5 of the Geothermal Steam Act of 1970
(30 U.S.C. 1004) (as amended by section 223), that royalties be
based on the schedule of fees established under that section;
and
"(B) in the case of any other lease, that royalties be
computed on a percentage of the gross proceeds from the sale of
electricity, at a royalty rate that is expected to yield total
royalty payments equivalent to payments that would have been
received for comparable production under the royalty rate in
effect for the lease before the date of enactment of this
subsection.
"(2) Timing. - A request for a modification under paragraph (1)
shall be submitted to the Secretary of the Interior by the date
that is not later than -
"(A) in the case of a lease for direct use, 18 months after
the effective date of the schedule of fees established by the
Secretary of the Interior under section 5 of the Geothermal
Steam Act of 1970 (30 U.S.C. 1004); or
"(B) in the case of any other lease, 18 months after the
effective date of the final regulation issued under subsection
(a) [amending this section].
"(3) Application of modification. - If the lessee requests
modification of a lease under paragraph (1) -
"(A) the Secretary of the Interior shall, within 180 days
after the receipt of the request for modification, modify the
lease to comply with -
"(i) in the case of a lease for direct use, the schedule of
fees established by the Secretary under section 5 of the
Geothermal Steam Act of 1970 (30 U.S.C. 1004); or
"(ii) in the case of any other lease, the royalty for the
lease established under paragraph (1)(B); and
"(B) the modification shall apply to any use of geothermal
resources to which subsection (a) [amending this section]
applies that occurs after the date of the modification.
"(4) Consultation. - The Secretary of the Interior shall
consult with the State and local governments affected by any
proposed changes in lease royalty terms under this subsection."
(!1) So in original. The semicolon probably should be a period.