WeVote
Log In

Bill

Bill

HR 8542

Offshore Parity Act of 2026

119th Congress Introduced by Troy Carter and 3 co-sponsors

Gulf states would gain delegated authority to lease and regulate energy activities on expanded submerged lands up to 3 marine leagues seaward, with federal oversight retained for k

Subcommittee Hearings Held
0
WeVote Research Nonpartisan
Bill Summary · HR 8542

Purpose and intent

  • The Offshore Parity Act of 2026 aims to grant Louisiana, Mississippi, and Alabama authority to manage certain offshore submerged lands beyond the current three-mile limit, extending their jurisdiction from 3 geographical miles to 3 marine leagues seaward.
  • The bill seeks to create parity by transferring specific regulatory and leasing responsibilities for the expanded submerged land to the three Gulf Coast states, while preserving federal oversight on certain matters (e.g., highly migratory species, international obligations, and federal fisheries resources).

Key provisions and changes

  • Section 34 (delegation of management):

    • Defines expanded submerged land as the area seaward of the coast line from 3 geographical miles to 3 marine leagues.
    • Allows a State to request delegation of the Secretary of the Interior’s authority to grant and manage leases, easements, rights-of-use, and rights-of-way for the expanded submerged land, subject to conditions.
    • Delegation is contingent on the Secretary finding that:
    • The State will provide adequate resources to administer the authorities.
    • The State will effectively administer the relevant rules and regulations.
    • Delegation will not impose an unreasonable burden on lessees.
    • Limitations:
    • Delegation cannot apply to areas not wholly located within the expanded submerged land.
    • Applies to leases granted before enactment or after, with the State having certain rights for future leasing.
    • The State is not required to prepare or maintain a separate oil and gas leasing program under Section 18.
    • Revenue and fees:
    • States may collect rentals, royalties, and other sums from leases they grant after enactment.
    • Minimum bid and royalty requirements under existing federal leasing rules would not apply to leases issued by the State after enactment.
    • Revenue disposition for existing leases remains under current federal law; for new leases, federal rules (Section 9 and Gulf of Mexico Energy Security Act provisions) do not apply.
    • Liability and bonding:
    • The State must indemnify the United States for liabilities arising from delegations or lease management.
    • The Secretary may deduct final nonappealable judgments from oil and gas leasing revenues payable to the State.
    • Bond transfers:
    • Secretary must transfer surety bonds for pre-enactment leases to the applicable State within 90 days of delegation; if not transferred, the federal government will handle decommissioning in accordance with federal law.

  • Seaward boundary definition:

    • Amends Section 8(g) of the Outer Continental Shelf Lands Act to define the seaward boundary for Louisiana, Mississippi, and Alabama as 3 marine leagues seaward of each State’s coast line.

  • Magnuson-Stevens Act updates:

    • The Magnuson-Stevens Act is amended to add explicit state jurisdiction (3 marine leagues seaward of the coast line) for Alabama, Louisiana, and Mississippi with respect to the expanded submerged land.
    • Provisions ensure federal authority remains for highly migratory species, international obligations, and certain national security or reserved matters.

  • Definitions:

    • Clarifies terms such as coast line, expanded submerged land, Secretary, State, exclusive economic zone, extended state waters, and fishery resources.

Who is affected

  • States: Louisiana, Mississippi, and Alabama gain delegated authority over energy activities and leasing on the expanded submerged lands within their three marine leagues seaward boundary.
  • Federal government: Maintains overarching authority on certain environmental, migratory, and international matters; handles leases not delegated and supervises final legal frameworks.
  • Lessees, operators, and rights-holders: The proposed delegation would alter the issuing authority for new leases on expanded submerged lands and may affect regulatory requirements, revenue collection, and decommissioning obligations.
  • Tax and royalty revenue: Potential reallocation of leasing revenues from federal to the delegated States for new leases on the expanded area, with adjustments to minimum bid/royalty rules and existing federal disposition rules.

Procedural and timeline aspects

  • Trigger: The Secretary’s delegation requires a written request from the State, due within 5 years of enactment.
  • Conditions: Delegation contingent on State capabilities and the absence of undue burdens on lessees.
  • Transition mechanics:
    • Transfer of surety bonds for pre-enactment leases within 90 days of delegation; otherwise, federal decommissioning processes apply.
    • Certain existing lease revenue provisions remain with federal law; new leases under delegated authority would operate under State authority with modified revenue rules.
  • Federal rules preserved for certain areas and activities (highly migratory species, international obligations, etc.).

Summary assessment

  • The bill formalizes a shift in regulatory authority for energy-related activities on the expanded submerged lands off Louisiana, Mississippi, and Alabama, aiming to improve regional governance and economic management for Gulf states.
  • It carefully sets conditions to ensure state readiness, regulatory integrity, and tenant protections, while preserving federal oversight where appropriate.
  • The impact would include potential changes in leasing processes, revenue streams, and decommissioning responsibilities, with a significant emphasis on intergovernmental coordination and transition logistics.

Compiled from official sources — confirm details with the bill’s official record.

Sign in to ask a question.