110 STAT. 1700
PUBLIC LAW 104-185—AUG. 13, 1996
Public Law 104-185
104th Congress
An Act
Aug. 13, 1996
[H.R. 1975]
Federal Oil and
Gas Royalty
Simplification
and Fairness Act
of 1996.
30 USC 1701
note.
30 USC 1702.
To improve the management of royalties from Federal and Outer Continental Shelf
oil and gas leases, and for other purposes.
Be it enacted by the Senate and House of Representatives of
the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the "Federal Oil and Gas Royalty
Simplification and Fairness Act of 1996".
SEC. 2. DEFINITIONS.
Section 3 of the Federal Oil and Gas Royalty Management
Act of 1982 (30 U.S.C. 1701 et seq.) is amended—
(1) by amending paragraph (7) to read as follows:
"(7) 'lessee' means any person to whom the United States
issues an oil and gas lease or any person to whom operating
rights in a lease have been assigned;"; and
(2) by striking "and" at the end of paragraph (15), by
striking the period at the end of paragraph (16) and inserting
a semicolon, and by adding at the end the following:
"(17) 'adjustment' means an amendment to a previously
filed report on an obligation, and any additional payment or
credit, if any, applicable thereto, to rectify an underpayment
or overpayment on an obligation;
"(18) 'administrative proceeding' means any Department
of the Interior agency process in which a demand, decision
or order issued by the Secretary or a delegated State is subject
to appeal or has been appealed;
"(19) 'assessment' means any fee or charge levied or
imposed by the Secretary or a delegated State other than—
"(A) the principal amount of any royalty, minimum
royalty, rental bonus, net profit share or proceed of sale;
"(B) any interest; or
"(C) any civil or criminal pensdty;
"(20) 'commence' means—
"(A) with respect to a judicial proceeding, the service
of a complaint, petition, counterclaim, cross claim, or other
pleading seeking affirmative relief or seeking credit or
recoupment: Provided, That if the Secretary commences
a judicial proceeding against a designee, the Secretary
shall give notice of that commencement to the lessee who
designated the designee, but the Secretary is not required
to give notice to other lessees who may be liable pursuant
to section 102(a) of this Act, for the obligation that is
the subject of the judicial proceeding; or
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