Federal Lands and Waters Leasing Transparency Act

This bill, called the Federal Lands and Waters Leasing Transparency Act, aims to make federal oil and gas leasing more transparent and less likely to be held up by lawsuits. If the government rejects an offshore lease bid as below “fair market value,” it must send the bidder a report explaining why, including how the bid compares to the agency’s value measures when a full evaluation was done. It also defines which lease areas this applies to—places where a sale was held, at least one bid came in, but no lease was issued to the top qualified bidder.

The bill limits how court cases can affect offshore lease sales. A lawsuit cannot cancel a lease that’s already been issued or delay reviews for permits and plans. If a court finds a problem, it sends the issue back to the Interior Department to fix, but leasing and permit processing continue in the meantime. The bill also addresses how court orders affect deadlines for issuing onshore oil and gas leases, to clarify timelines under existing law.

Key points

• Who is affected: Oil and gas companies bidding on federal leases; the Interior Department; communities near energy development areas.
• What changes: Clearer feedback when bids are rejected for price; defined scope for which lease tracts get reports; limits on lawsuits delaying offshore leasing and permits; clarified timelines for issuing onshore leases when court orders are involved.
• Where it applies: Federal offshore (Outer Continental Shelf) and onshore oil and gas leasing processes.