H.R. 1555 — Bureau of Land Management Mineral Spacing Act

This section amends Section 17 of the Mineral Leasing Act (30 U.S.C. 226) by adding subsection (r) to prohibit the Secretary from requiring a federal drilling permit for oil and gas exploration and production on non-federal surface estate if (1) the United States owns less than 50% of the subsurface mineral estate accessed and (2) the operator submits a state permit to the Secretary. Such activities (1) are not a major federal action under the National Environmental Policy Act (NEPA; 42 U.S.C. 4332(2)(C)); (2) require no additional federal action; (3) may commence 30 days after state permit submission; and (4) are exempt from section 306108 of title 54, United States Code (National Historic Preservation Act), and section 7 of the Endangered Species Act (16 U.S.C. 1536) (i.e., federal agency consultation to avoid jeopardizing listed species or adversely modifying critical habitat). (Thus, the Secretary retains authority for royalty audits, production inspections, and civil penalties under the Federal Oil and Gas Royalty Management Act (30 U.S.C. 1701 et seq.), but these activities face no federal environmental reviews.) The provision does not apply to Indian lands.