
From the U.S. Code Online via GPO Access
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[Laws in effect as of January 23, 2000]
[Document affected by Public Law 106-469 Section 103(14)]
[CITE: 42USC6240]

 
                 TITLE 42--THE PUBLIC HEALTH AND WELFARE
 
                     CHAPTER 77--ENERGY CONSERVATION
 
               SUBCHAPTER I--DOMESTIC SUPPLY AVAILABILITY
 
                   Part B--Strategic Petroleum Reserve
 
Sec. 6240. Petroleum products for storage, transport, or 
        exchange
        

(a) Eligibility of petroleum products

    The Secretary is authorized, for purposes of implementing the 
Strategic Petroleum Reserve Plan or the Early Storage Reserve Plan, to 
place in storage, transport, or exchange--
        (1) crude oil produced from Federal lands, including crude oil 
    produced from the Naval Petroleum Reserves to the extent that such 
    production is authorized by law;
        (2) crude oil which the United States is entitled to receive in 
    kind as royalties from production on Federal lands; and
        (3) petroleum products acquired by purchase, exchange, or 
    otherwise.

(b) Objectives in determining manner of acquisition

    The Secretary shall, to the greatest extent practicable, acquire 
petroleum products for the Reserve, including the Early Storage Reserve 
and the Regional Petroleum Reserve in a manner consonant with the 
following objectives:
        (1) minimization of the cost of the Reserve;
        (2) orderly development of the Naval Petroleum Reserves to the 
    extent authorized by law;
        (3) minimization of the Nation's vulnerability to a severe 
    energy supply interruption;
        (4) minimization of the impact of such acquisition upon supply 
    levels and market forces; and
        (5) encouragement of competition in the petroleum industry.

(c) Fill operations by President

    (1)(A) The President shall immediately undertake, and thereafter 
continue, petroleum products acquisition, transportation, and injection 
activities, to the extent funds are available pursuant to section 
6247(b)(2) and (b)(3) of this title, at a level sufficient to assure 
that the petroleum products in the Strategic Petroleum Reserve will be 
increased at an average annual rate of at least the minimum required 
fill rate until the quantity of petroleum products stored within the 
Strategic Petroleum Reserve is at least 500,000,000 barrels.
    (B) Subject to subparagraph (C), the minimum required fill rate 
shall be 300,000 barrels per day for purposes of subparagraph (A), 
unless there is in effect a finding by the President in his discretion 
for good cause that compliance with such rate would not be in the 
national interest. Any finding by the President under this subparagraph 
takes effect on the date such finding is transmitted to the Congress and 
ceases to have effect at the end of the fiscal year in which such 
finding was made. Any such finding transmitted to the Congress shall 
include a statement of the facts upon which the finding is based. Any 
such finding shall not be subject to judicial review.
    (C) The minimum required fill rate shall be 220,000 barrels per day 
for purposes of subparagraph (A) during the period in which any finding 
by the President under subparagraph (B) is in effect.
    (D)(i) If funds are available in any given fiscal year after fiscal 
year 1982 to achieve an average annual fill rate higher than the minimum 
required fill rate in effect under subparagraph (C), the minimum 
required fill rate shall be the highest practicable fill rate 
achievable, subject to the availability of appropriated funds.
    (ii) The Impoundment Control Act of 1974 [2 U.S.C. 681 et seq.] 
shall apply to funds made available under section 6247(b) and (e) of 
this title.
    (2) After the Strategic Petroleum Reserve reaches a level of 
500,000,000 barrels, the President shall immediately seek to undertake, 
and thereafter continue, petroleum products acquisition, transportation, 
and injection activities at a level sufficient to assure that the 
petroleum products in the Strategic Petroleum Reserve will be increased 
at an average annual rate of at least 300,000 barrels per day until the 
quantity of petroleum products stored within the Strategic Petroleum 
Reserve is at least 750,000,000 barrels.
    (3) Notwithstanding paragraph (2), beginning in fiscal year 1987 and 
continuing through fiscal year 1994 until the quantity of crude oil in 
storage within the Reserve is 1,000,000,000 barrels, the President shall 
carry out petroleum acquisition, transportation, and injection 
activities at the highest practicable fill rate achievable, subject to 
the availability of appropriated funds.

(d) Crude oil from Naval Petroleum Reserve Numbered 1; reduction in 
        fill-rate requirements

    (1) Notwithstanding any other provision of law, no portion of the 
United States share of crude oil in Naval Petroleum Reserve Numbered 1 
(Elk Hills) may be sold or otherwise disposed of other than to the 
Strategic Petroleum Reserve (either directly or by exchange) during any 
fiscal year, except as provided in paragraph (2), unless--
        (A) the quantity of crude oil in storage within Government owned 
    facilities of the Strategic Petroleum Reserve is at least 
    750,000,000 barrels; or
        (B) acquisition, transportation, and injection activities for 
    the Reserve are being undertaken for that fiscal year at a level 
    sufficient to assure that crude oil in storage in the Strategic 
    Petroleum Reserve will be increased at an average rate of at least 
    75,000 barrels per day for that fiscal year and the Secretary has 
    amended the Strategic Petroleum Reserve Plan as required by section 
    6239(j) of this title.

    (2) The requirements of paragraph (1) shall not apply to the United 
States share of crude oil in the Naval Petroleum Reserve Numbered 1 
which is--
        (A) sold to small refiners under section 7430(d) of title 10;
        (B) produced, consistent with sound engineering practices, for 
    the purpose of preventing a reduction in the total quantity of crude 
    oil available for ultimate recovery from the Naval Petroleum Reserve 
    Numbered 1, and the amount produced is the minimum necessary to 
    prevent such reduction; or
        (C) produced for national defense purposes under section 
    7422(b)(2) of title 10, pursuant to an authorization of Congress 
    under that section during the preceding 9-month period.

    (3) In determining the number of barrels of crude oil for purposes 
of subparagraph (A) of paragraph (1), any crude oil drawndown from the 
Reserve as a result of any drawdown and distribution carried out under 
section 6241(g) of this title and not replaced under section 
6241(g)(6)(B) of this title shall be considered to be within the 
Reserve.
    (4) For any fiscal year in which purchases of petroleum products are 
suspended, or the sale of petroleum products is carried out, under 
subsection (f) of this section, the fill-rate requirements of paragraph 
(1)(B) shall be reduced by--
        (A) the amount of petroleum products are \1\ acquired for such 
    fiscal year as a result of such suspension; plus
---------------------------------------------------------------------------
    \1\ So in original. The word ``are'' probably should not appear.
---------------------------------------------------------------------------
        (B) the amount of petroleum products sold under such subsection 
    during such fiscal year.

(e) Suspensions of fill operations, etc., during emergency situations; 
        applicability, etc.

    (1) The provisions of subsections (c) and (d) of this section shall 
not apply (A) if there is in effect an order of the President directing 
drawdown and distribution pursuant to section 6241 of this title or (B) 
if--
        (i) the President has found in his discretion that compliance 
    with such provisions significantly impairs the ability of the United 
    States to respond to a severe energy supply interruption or to meet 
    the obligations of the United States under the international energy 
    program; and
        (ii) the President has transmitted such finding to the Congress.

    (2) The suspension of the application of subsections (c) and (d) of 
this section under paragraph (1)(B) may become effective on the day the 
finding is transmitted to the Congress and shall terminate nine months 
thereafter or on such earlier date as is specified in such finding.
    (3) The period of any suspension of subsections (c) and (d) of this 
section under this subsection, and the quantity of any petroleum product 
involved, shall be disregarded in applying the provisions of such 
subsections for periods following such suspension.

(f) Predrawdown diversion

    If the Secretary finds that a severe energy supply interruption may 
be imminent, the Secretary may suspend the acquisition of petroleum 
product for, and the injection of petroleum product into, the Reserve 
and may sell any petroleum product acquired for and in transit to, but 
not injected into, the Reserve.

(g) Test program of storage of refined petroleum products

    (1) The Secretary shall conduct a test program of storage of refined 
petroleum products within the Reserve. The test program shall commence 
during fiscal year 1992 and continue through fiscal year 1994. The test 
program shall demonstrate mechanisms for storage of refined petroleum 
products within the Reserve which may be drawn down in accordance with 
this part.
    (2) The mechanisms demonstrated under paragraph (1)--
        (A) shall include the acquisition by lease or purchase, or both, 
    of refined petroleum products for storage in the Reserve and shall 
    include the acquisition by lease of storage facilities; and
        (B) may include other mechanisms including, but not limited to, 
    industrial petroleum reserves pursuant to section 6236 of this title 
    and State set-aside programs, except that such mechanisms must 
    provide equivalent control over the drawdown and distribution of 
    such refined petroleum products as is provided under this part.

    (3) Any refined petroleum products stored in the Reserve under this 
subsection shall be stored in locations to be determined by the 
Secretary, taking into account the proximity of existing distribution 
systems, the proximity of the area or areas of the United States most 
dependent on imported petroleum products or likely to experience 
shortages of refined petroleum products, and the capability for 
expeditious distribution to such area or areas.
    (4) In the conduct of the test program under paragraph (1), the 
Secretary shall increase the quantity of refined petroleum products 
acquired for storage in the Reserve by an amount equal to 10 percent of 
the fill of the Reserve during each of the fiscal years 1992, 1993, and 
1994, except that the Secretary may not expend more than 10 percent of 
the funds appropriated for the acquisition, transportation and injection 
of petroleum products into the Reserve during each of the fiscal years 
covered by the test program.
    (5) In the conduct of the test program under paragraph (1), the 
Secretary may not construct or purchase facilities for the storage of 
refined petroleum products.
    (6) Refined petroleum products stored in the Reserve under the test 
program may be withdrawn from the Reserve before the conclusion of the 
test program--
        (A) as may be necessary to turn such products over because of 
    changes in the physical characteristics of the product; or
        (B) on the basis of a finding made under section 6241 of this 
    title.

(h) Purchase from stripper well properties

    (1) If the President finds that declines in the production of oil 
from domestic resources pose a threat to national energy security, the 
President may direct the Secretary to acquire oil from domestic 
production of stripper well properties for storage in the Strategic 
Petroleum Reserve. Except as provided in paragraph (2), the Secretary 
may set such terms and conditions as he deems necessary for such 
acquisition.
    (2) Crude oil purchased by the Secretary pursuant to this subsection 
shall be by competitive bid. The price paid by the Secretary--
        (A) shall take into account the cost of production including 
    costs of reservoir and well maintenance; and
        (B) shall not exceed the price that would have been paid if the 
    Secretary had acquired petroleum products of a similar quality on 
    the open market under competitive bid procedures without regard to 
    the source of the petroleum products.

(Pub. L. 94-163, title I, Sec. 160, Dec. 22, 1975, 89 Stat. 888; Pub. L. 
95-619, title VI, Sec. 691(b)(2), Nov. 9, 1978, 92 Stat. 3288; Pub. L. 
96-294, title VIII, Secs. 801(a), 802(a), 803, June 30, 1980, 94 Stat. 
775, 776; Pub. L. 97-35, title X, Sec. 1033, Aug. 13, 1981, 95 Stat. 
618; Pub. L. 97-229, Sec. 4(a)(1), (b)(2)(C), Aug. 3, 1982, 96 Stat. 
250, 252; Pub. L. 99-58, title I, Secs. 102(b), 103(b)(1), July 2, 1985, 
99 Stat. 103, 104; Pub. L. 99-88, title I, Sec. 100, Aug. 15, 1985, 99 
Stat. 342; Pub. L. 99-272, title VII, Sec. 7102, Apr. 7, 1986, 100 Stat. 
141; Pub. L. 99-509, title III, Sec. 3202, Oct. 21, 1986, 100 Stat. 
1889; Pub. L. 101-383, Secs. 4(b), (c), 5(a), (b)(3), 7, Sept. 15, 1990, 
104 Stat. 728, 729, 734; Pub. L. 101-548, Sec. 1, Nov. 14, 1990, 104 
Stat. 2398; Pub. L. 102-486, title XIV, Sec. 1404(a), (b)(2), Oct. 24, 
1992, 106 Stat. 2994, 2995; Pub. L. 104-66, title I, Sec. 1051(f), Dec. 
21, 1995, 109 Stat. 716.)

                       References in Text

    The Impoundment Control Act of 1974, referred to in subsec. 
(c)(1)(D)(ii), is parts A and B of title X of Pub. L. 93-344, July 12, 
1974, 88 Stat. 332, as amended, which is classified principally to 
subchapters I (Sec. 681) and II (Sec. 682 et seq.) of chapter 17B of 
Title 2, The Congress. For complete classification of this Act to the 
Code, see Short Title note set out under section 681 of Title 2 and 
Tables.


                               Amendments

    1995--Subsec. (g)(7). Pub. L. 104-66 struck out par. (7) which read 
as follows: ``No later than January 31, 1994, the Secretary shall 
transmit to the Congress a report on the test program. The report shall 
evaluate the mechanisms demonstrated under the test program, other 
potential mechanisms, and the purchase of facilities. The report shall 
include an assessment of the costs and benefits of the various 
mechanisms. The report shall also make recommendations with regard to 
future storage of refined petroleum products and contain drafts of any 
legislative provisions which the Secretary wishes to recommend.''
    1992--Subsec. (d)(2). Pub. L. 102-486, Sec. 1405, redesignated cls. 
(i) to (iii) as pars. (A) to (C), respectively, and struck out former 
par. (A) designation after ``(2)''.
    Subsec. (h). Pub. L. 102-486, Sec. 1404(a), added subsec. (h).
    1990--Subsec. (c)(3). Pub. L. 101-383, Sec. 4(b)(1), substituted 
``fiscal year 1994'' for ``fiscal years 1988 and 1989'' and 
``1,000,000,000'' for ``at least 750,000,000''.
    Subsec. (d)(1)(A). Pub. L. 101-383, Sec. 4(c), inserted ``Government 
owned facilities of'' after ``within''.
    Subsec. (d)(1)(B). Pub. L. 101-383, Sec. 4(b)(2), inserted before 
period at end ``and the Secretary has amended the Strategic Petroleum 
Reserve Plan as required by section 6239(j) of this title''.
    Subsec. (d)(4). Pub. L. 101-383, Sec. 5(b)(3), added par. (4).
    Subsec. (f). Pub. L. 101-383, Sec. 5(a), added subsec. (f).
    Subsec. (g). Pub. L. 101-548 inserted ``with regard to future 
storage of refined petroleum products and'' after ``recommendations'' in 
par. (7).
    Pub. L. 101-383, Sec. 7, added subsec. (g).
    1986--Subsec. (c)(3). Pub. L. 99-509, Sec. 3202(a), substituted 
``fiscal year 1987 and continuing through fiscal years 1988 and 1989'' 
for ``fiscal year 1986 and continuing through fiscal years 1987 and 
1988'', ``750,000,000 barrels'' for ``527,000,000 barrels'', and ``at 
the highest practicable fill rate achievable, subject to the 
availability of appropriated funds'' for ``at a level sufficient to 
assure a minimum average annual fill-rate of at least 35,000 barrels per 
day in addition to any petroleum products acquired for the Reserve to 
replace petroleum products withdrawn from the Reserve as a result of a 
test drawdown and distribution''.
    Pub. L. 99-272, Sec. 7102(a), added par. (3).
    Subsec. (d)(1)(A). Pub. L. 99-509, Sec. 3202(b)(1), substituted 
``750,000,000 barrels'' for ``527,000,000 barrels''.
    Pub. L. 99-272, Sec. 7102(b)(1), substituted ``527,000,000 barrels'' 
for ``500,000,000 barrels''.
    Subsec. (d)(1)(B). Pub. L. 99-509, Sec. 3202(b)(2), substituted 
``75,000 barrels'' for ``100,000 barrels'', and substituted a period for 
``; or''.
    Subsec. (d)(1)(C). Pub. L. 99-509, Sec. 3202(b)(3), struck out 
subpar. (C) which read as follows: ``acquisition, transportation, and 
injection activities for the Reserve are being undertaken, beginning in 
fiscal year 1986 and continuing through fiscal years 1987 and 1988 until 
the quantity of crude oil in storage within the Reserve is at least 
527,000,000 barrels, at a level sufficient to assure that petroleum 
products in storage in the Reserve will be increased at a minimum annual 
average rate of at least 35,000 barrels per day in addition to any 
petroleum products acquired for the Reserve to replace petroleum 
products withdrawn from the Reserve as a result of a test drawdown and 
distribution''.
    Pub. L. 99-272, Sec. 7102(b)(2), added subpar. (C) and struck out 
former subpar. (C) which read as follows: ``the fill rate is sufficient 
to attain a level of 500,000,000 barrels by the end of the fiscal year 
during which the fill rate falls below the rate established in (B).''
    1985--Subsec. (d)(1)(C). Pub. L. 99-88 added subpar. (C).
    Subsec. (d)(3). Pub. L. 99-58, Sec. 103(b)(1), added par. (3).
    Subsec. (e)(1)(B). Pub. L. 99-58, Sec. 102(b)(1), (2), inserted 
``and'' at end of cl. (i), inserted a period following ``to the 
Congress'', and struck out ``in accordance with section 6422 of this 
title, together with a request for a suspension of such provisions; 
and'' in cl. (ii), and struck out cl. (iii) which directed that 
provisions of subsecs. (c) and (d) of this section would not apply if a 
Presidential request for the suspension of such provisions was approved 
by a resolution of each House of Congress within 60 days of continuous 
session after the date of its transmittal in accordance with provisions 
of section 6422 of this title applicable to energy conservation 
contingency plans.
    Subsec. (e)(2). Pub. L. 99-58, Sec. 102(b)(3), substituted ``may 
become effective on the day the finding is transmitted to the Congress 
and shall terminate nine months thereafter or on such earlier date as is 
specified in such finding'' for ``shall take effect on the date on which 
a resolution approving that request is adopted by the second House to 
have so approved that request and shall terminate 9 months thereafter, 
or such earlier date as is specified in the request transmitted under 
paragraph (1)(B)(ii)''.
    Subsec. (e)(3), (4). Pub. L. 99-58, Sec. 102(b)(3), (4), 
redesignated par. (4) as (3). Former par. (3), which related to 
application of section 6422 of this title for purposes of par. (1)(B), 
was struck out.
    1982--Subsec. (c). Pub. L. 97-229, Sec. 4(a)(1), substituted 
provisions directing the President to fill the Strategic Petroleum 
Reserve with petroleum products at a level sufficient to assure an 
increase at an annual rate of at least the minimum required fill rate, 
300,000 barrels per day, until the quantity of petroleum products stored 
is at least 500,000,000 barrels, allowing for a lower minimum required 
fill rate of 220,000 barrels per day if the President finds that 
compliance with the 300,000 barrels per day rate would not be in the 
national interest, specifying the effective period of such a 
Presidential finding, authorizing a higher minimum required rate than 
the 220,000 barrels per day if funds are available in any fiscal year 
after fiscal year 1982, making the Impoundment Control Act of 1974 
applicable to funds available under section 6247(b) and (e) of this 
title, and providing that, after the Strategic Petroleum Reserve reaches 
500,000,000 barrels, the President shall seek to fill the Reserve at an 
annual rate of at least 300,000 barrels per day of petroleum products 
until the Reserve reaches 750,000,000 barrels for provisions directing 
the President to seek to fill the Strategic Petroleum Reserve with crude 
oil at a level sufficient to assure that crude oil in storage will be 
increased at an average annual rate of at least 300,000 barrels per day 
until the Reserve is at least 750,000,000 barrels.
    Subsec. (e)(4). Pub. L. 97-229, Sec. 4(b)(2)(C), substituted 
``petroleum product'' for ``crude oil''.
    1981--Subsec. (c). Pub. L. 97-35 substituted provisions respecting 
fill operation at a rate of 300,000 barrels per day for provisions 
respecting fill operation at a rate of 100,000 barrels per day.
    1980--Subsec. (c). Pub. L. 96-294, Sec. 801(a), added subsec. (c).
    Subsec. (d). Pub. L. 96-294, Sec. 802(a), added subsec. (d).
    Subsec. (e). Pub. L. 96-294, Sec. 803, added subsec. (e).
    1978--Pub. L. 95-619 substituted ``Secretary'' for 
``Administrator'', meaning Administrator of the Federal Energy 
Administration, wherever appearing.


                    Effective Date of 1982 Amendment

    Section 4(a)(2) of Pub. L. 97-229 provided that: ``The amendment 
made by paragraph (1) [amending this section] shall take effect July 1, 
1982.''


                    Effective Date of 1981 Amendment

    Section 1038 of title X of Pub. L. 97-35 provided that: ``The 
provisions of this title [enacting sections 6247, 8341, and 8484 of this 
title, amending this section and sections 6245, 6246, 6831 to 6833, 
6835, 6837 to 6839, 8372, 8421, 8422, and 8803 of this title, repealing 
sections 6834, 6836 and 8341 of this title, and enacting provisions set 
out as notes under sections 6201, 6231, 6247, 7270, and 8341 of this 
title, section 3620 of Title 12, Banks and Banking, and section 719e of 
Title 15, Commerce and Trade] shall take effect on the date of enactment 
of this Act [Aug. 13, 1981].''


                    Effective Date of 1980 Amendment

    Section 801(b) of Pub. L. 96-294 provided that: ``The amendment made 
by subsection (a) [amending this section] shall take effect on the date 
of the enactment of this Act [June 30, 1980], and shall apply with 
respect to the entirety of fiscal year 1981 (and each fiscal year 
thereafter).''
    Section 802(b) of Pub. L. 96-294 provided that: ``The amendments 
made by subsection (a) [amending this section] shall take effect October 
1, 1980.''


     Suspension of Test Program Requirements During Fiscal Year 1994

    Pub. L. 103-138, title II, Nov. 11, 1993, 107 Stat. 1406, provided 
in part that requirements of subsec. (g) of this section would not apply 
in fiscal year 1994.


 Study and Report on Oil Leasing and Other Arrangements To Fill SPR to 
                           One Billion Barrels

    Pub. L. 101-46, Sec. 2, June 30, 1989, 103 Stat. 132, directed 
Secretary of Energy to conduct a study on potential financial 
arrangements, including long-term leasing of crude oil and storage 
facilities, that could be used to provide additional, alternative means 
of financing the filling of the Strategic Petroleum Reserve to one 
billion barrels and directed Secretary to transmit an interim report to 
Committee on Energy and Natural Resources of Senate and Committee on 
Energy and Commerce of House of Representatives no later than Oct. 15, 
1989, and no later than Feb. 1, 1990, to transmit to such committees a 
copy of the preliminary written solicitations for proposed alternative 
financial arrangements to assist in filling the Strategic Petroleum 
Reserve to one billion barrels and a final report containing findings 
and conclusions together with a draft of legislative changes necessary 
to authorize the most significant alternative financial arrangements.


   Exchange of Agricultural Products for Crude Oil To Be Delivered to 
                       Strategic Petroleum Reserve

    Pub. L. 99-190, Sec. 101(d) [title II], Dec. 19, 1985, 99 Stat. 
1224, 1254, provided that: ``Notwithstanding any other provision of law, 
the Secretary of Agriculture, at the request of the Secretary of Energy, 
may exchange agricultural products owned by the Commodity Credit 
Corporation for crude oil to be delivered to the Strategic Petroleum 
Reserve: Provided, That the Secretary of Energy shall approve the 
quantity, quality, delivery method, scheduling, market value and other 
aspects of the exchange of such agricultural products: Provided further, 
That if the volume of agricultural products to be exchanged has a value 
in excess of the market value of the crude oil acquired by such 
exchange, then the Secretary of Agriculture shall require as part of the 
terms and conditions of the exchange that the party or entity providing 
such crude oil shall agree to purchase, within six months following the 
exchange, current crop commodities or value-added food products from 
United States producers or processors in an amount equal to at least 
one-half the difference between the value of the commodities received in 
exchange and the market value of the crude oil acquired for the 
Strategic Petroleum Reserve.''


 Allocation to Strategic Petroleum Reserve of Lower Tier Crude Oil and 
      Federal Royalty Oil; Procedures Applicable, Authorities, Etc.

    Section 805 of Pub. L. 96-294 provided that:
    ``(a)(1) In order to carry out the requirement of the amendment made 
by section 801 of this Act [amending this section and enacting provision 
set out as a note above] and to carry out the policies and objectives 
established in sections 151 and 160(b)(1) of the Energy Policy and 
Conservation Act (42 U.S.C. 6231 and 6240(b)(1)) the President shall, 
within 60 days after the date of the enactment of this Act [June 30, 
1980], promulgate and make effective an amendment to the provisions of 
the regulation under section 4(a) of the Emergency Petroleum Allocation 
Act of 1973 [15 U.S.C. 753(a)] relating to entitlements, which has the 
same effect as allocating lower tier crude oil to the Government for 
storage in the Strategic Petroleum Reserve. Such amendment shall not 
apply with respect to crude oil purchased after September 30, 1981, for 
storage in such reserve.
    ``(2) The authority provided by this subsection shall be in addition 
to, and shall not be deemed to limit, any other authority available to 
the President under the Emergency Petroleum Allocation Act of 1973 [15 
U.S.C. 751 et seq.] or any other law.
    ``(3) The President or his delegate may promulgate and make 
effective rules or orders to implement this subsection without regard to 
the requirements of section 501 of the Department of Energy Organization 
Act [42 U.S.C. 7191] or any other law or regulation specifying 
procedural requirements.
    ``(b) In addition to the requirement under subsection (a), the 
President may direct that--
        ``(1) all or any portion of Federal royalty oil be placed in 
    storage in the Reserve,
        ``(2) all or any portion of Federal royalty oil be exchanged, 
    directly or indirectly, for other crude oil for storage in the 
    Reserve, or
        ``(3) all or any portion of the proceeds from the sales of 
    Federal royalty oil be transferred to the account established under 
    subsection (c) for use for the purchase of crude oil for the 
    Reserve, as provided in subsection (c).
    ``(c)(1) Any proceeds--
        ``(A) from the sale of entitlements received by the Government 
    under the amendment to the regulation made under subsection (a), and
        ``(B) to the extent provided in subsection (b), from the sale of 
    Federal royalty oil,
shall be deposited in a special account which the Secretary of the 
Treasury shall establish on the books of the Treasury of the United 
States.
    ``(2)(A) Subject to the provisions of any Act enacted pursuant to 
section 660 of the Department of Energy Organization Act [42 U.S.C. 
7270], such account shall be available (except as provided in 
subparagraph (B)) for use by the Secretary of Energy, without fiscal 
year limitation, for the purchase of crude oil for the Strategic 
Petroleum Reserve, to the extent provided in advance in appropriation 
Acts.
    ``(B) Amounts in such account attributable to the proceeds from the 
sale of entitlements under the amendment to the regulation under 
subsection (a) are hereby appropriated for fiscal year 1981 for 
acquisition of crude oil for the Strategic Petroleum Reserve pursuant to 
subsection (a).
    ``(d) For purposes of this section--
        ``(1) the terms `entitlements', `crude oil', and `allocation' 
    shall have the same meaning as those terms have as used in the 
    Emergency Petroleum Allocation Act of 1973 [15 U.S.C. 751 et seq.] 
    (and the regulation thereunder);
        ``(2) the term `lower tier crude oil' means crude oil which is 
    subject to the price ceiling established under section 212.73 of 
    title 10, Code of Federal Regulations;
        ``(3) the term `Federal royalty oil' means crude oil which the 
    United States is entitled to receive in kind as royalties from 
    production on Federal land (as such term is defined in section 3(10) 
    of the Energy Policy and Conservation Act (42 U.S.C. 6202(10)); and
        ``(4) the term `proceeds from the sale of Federal royalty oil' 
    means that portion of the amounts deposited into the Treasury of the 
    United States from the sale of Federal royalty oil which is not 
    otherwise required to be disposed of (other than as miscellaneous 
    receipts) pursuant to (A) the provisions of section 35 of the Act of 
    February 25, 1920, as amended (41 Stat. 450; 30 U.S.C. 191), 
    commonly known as the Mineral Lands Leasing Act, or (B) the 
    provisions of any other law.''


               Rate of Fill of Strategic Petroleum Reserve

    Pub. L. 96-514, title II, Dec. 12, 1980, 94 Stat. 2976, provided in 
part: ``That the President shall immediately seek to undertake, and 
thereafter continue, crude oil acquisition, transportation, and 
injection activities at a level sufficient to assure that crude oil 
storage in the Strategic Petroleum Reserve will be increased to an 
average annual rate of at least 300,000 barrels per day or a sustained 
average annual daily rate of fill which would fully utilize appropriated 
funds: Provided, That the requirements of the preceding provision shall 
be in addition to the provisions of title VIII of the Energy Security 
Act [title VIII of Pub. L. 96-294, which amended this section and 
section 7430 of Title 10, Armed Forces, and enacted provisions set out 
as a note above] and shall not affect such provisions of the Energy 
Security Act in any way.''

             Ex. Ord. No. 12231. Strategic Petroleum Reserve

    Ex. Ord. No. 12231, Aug. 4, 1980, 45 F.R. 52139, provided:
    By the authority vested in me as President of the United States of 
America by Title VIII of the Energy Security Act (Public Law 96-294) 
[title VIII of Pub. L. 96-294, which amended this section and section 
7430 of Title 10, Armed Forces, and enacted provisions set out as a note 
above] and by Section 301 of Title 3 of the United States Code, and in 
order to meet the goals and requirements for the strategic petroleum 
reserve, it is hereby ordered as follows:
    1-101. The functions vested in the President by Section 160(c) of 
the Energy Policy and Conservation Act, as amended, are delegated to the 
Secretary of Energy (42 U.S.C. 6240(c); see Section 801 of the Energy 
Security Act).
    1-102. The functions vested in the President by Section 7430(k) of 
Title 10 of the United States Code are delegated to the Secretary of 
Energy (see Section 804(b) of the Energy Security Act).
    1-103. The functions vested in the President by Section 805(a) of 
the Energy Security Act [section 805(a) of Pub. L. 96-294, set out as a 
note above] are, consistent with Section 2 of Executive Order No. 11790, 
as amended [set out as a note under section 761 of Title 15, Commerce 
and Trade], delegated to the Secretary of Energy.
                                                           Jimmy Carter.

                  Section Referred to in Other Sections

    This section is referred to in sections 6234, 6239, 6247, 6249a of 
this title.
