Offshore Leasing Standards and Accountability Act of 2026

Sponsor: Dave Min (Democratic-CA)May 26, 2026

AI-generated ?

Report an error

Introduced

In Committee

Passed One Chamber

Passed Both Chambers

Signed into Law

Referred to the House Committee on Natural Resources.

Requires offshore oil and gas companies to prove financial strength and set aside money for cleanup.

Offshore oil and gas companies would need to meet new safety and financial standards to operate. They would also have to put money into special accounts to cover the full cost of cleaning up old wells and platforms. This aims to ensure companies, not taxpayers, pay for decommissioning.

What Would Change

Today, offshore oil and gas companies don't have explicit "fitness to operate" certifications covering their full compliance and financial history, nor are they required to fund mandatory, interest-bearing escrow accounts for decommissioning. This bill would require companies to be certified as "fit to operate" based on a 10-year clean record and financial strength, and to fully fund escrow accounts for cleanup costs within 5 years. It would also limit temporary well abandonment to 3 years, a restriction not currently in place.

Key Provisions

Requires offshore oil and gas companies to be certified as "fit to operate" based on their past compliance, financial health, and ability to pay for cleanup.
Blocks new offshore leases or transfers to companies that have violated environmental or safety laws in the past 10 years, have poor credit, or have filed for bankruptcy.
Mandates offshore oil and gas companies to put money into interest-bearing escrow accounts to fully cover the cost of cleaning up old oil rigs and wells.
Sets up a payment schedule for these cleanup accounts, requiring total payments to equal decommissioning costs within 5 years, with initial payments for new projects.
Imposes penalties like higher royalty rates or lease suspension if companies are more than 60 days late on their cleanup account payments.

View on Congress.gov

HR 9034 · 119th Congress · May 26, 2026 · AI Summary by gemini-2.5-flash · 9/10

Offshore Leasing Standards and Accountability Act of 2026

What Would Change

Key Provisions

Lobbying Activity