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SENATE-Monday, June 2, 1969

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SENATE-Monday, June 2, 1969 14474 CONGRESSIONAL RECORD- SENATE June 2, 1969 SENATE-Monday, June 2, 1969 The Senate met at 12 o'clock noon, proceed to the consideration of meas­ The Secretary shall not issue any new lease and was called to order by the Vice ures on the calendar, beginning with affecting any of the lands covered by such Calendar No. 195 and the succeeding terminated lease for a reasonable period, as President. determined in accordance with regulations The Chaplain, the Reverend Edward measures in sequence. issued by him. In any case where a reinstate­ L. R. Elson, D.D., offered the following The VICE PRESIDENT. Without ob­ ment of a terminated lease is granted under prayer: jection, it is so ordered. this subsection and the Secretary finds that the reinstatement of such lease will not O Thou in whom we live and move afford the lessee a reasonable opportunity to and have our being, enter our hearts and continue operations under the lease, the fit us for Thy service. Cross the thresh­ PREVENTING TERMINATION OF CERTAIN FEDERAL OIL AND GAS Secretary may, at his discretion, extend the old of our inner being and make us to be LEASES term of such lease for such period as he at home in both the world of the visible deems reasonable: Provided, That (A) such and the invisible, the temparal and the The Senate proceeded to consider the extension shall not exceed a period equivalen~ eternal. Enable us to live bravely in the bill <S. 1193) to authorize the Secretary to the time beginning when the lessee knew or should have known of the termination world which is, while we labor for the of the Interior to prevent terminations of and ending on the date the Secretary grants world which is to come. In daily duties oil and gas leases in cases where there is such petition; (B) such extension shall not make us seekers of truth and servants a nominal deficiency in the rental pay­ exceed a period equal to the unexpired por­ of justice. In days of strife and storm ment, and to authorize him to reinstate tion of the lease or any extension thereof lock our fortunes to Thy purposes, that under some conditions oil and gas leases remaining at the date of termination; and we may choose Thy will as our will, Thy terminated by operation of law for fail­ (C) when the reinstatement occurs after way as our way, Thy peace as our peace, ure to pay rental timely, which had been the expiration of the term or extension and help win for the world that freedom reported from the Committee on Interior thereof the lease may be extended from the which will enable all nations to bring and Insular Affairs, with an amendment, date the Secretary grants the petition." their glory and honor into Thy kingdom. on page 3, line 1, after the word "within," The amendment was agreed to. In the name of Him who came to set strike out "fifteen days" and insert The bill was ordered to be engrossed men free. Amen. "twenty days"; so as to make the bill for a third reading, was read the third read: time, and passed. s. 1193 THE JOURNAL Mr. MANSFIELD. Mr. President, I Be it enacted by the Senate and House ask unanimous consent to have printed Mr. MANSFIELD. Mr. President, I ask of Representatives of the United States of America in Congress assembled, That section in the RECORD an excerpt from the re­ unanimous consent that the reading of 3l(b) of the Mineral Leasing Act of 1920 port <No. 91-205), explaining the pur­ the Journal of the proceedings of Thurs­ (41Stat.450), as amended (30 U.S.C. 188(b)), poses of the bill. day, May 29, 1969, be dispensed with. is amended by changing the period at the There being no objection, the excerpt The VICE PRESIDENT. Without ob­ end thereof to a colon and adding the follow­ was ordered to be printed in the RECORD, jection, it is so ordered. ing: "Provided, That if the rental payment as follows: due under a lease is paid on or before the PURPOSE OF BILL anniversary date but either (1) the amount MF.SSAGES FROM THE PRESIDENT of the payment has been or is hereafter The purpose of S. 1193 is to confer dis­ deficient and the deficiency is nominal, as cretionary authority on the Secretary of the RECEIVED DURING ADJOURN­ Interior to prevent, administratively, termi­ MENT determined by the Secretary by regulation, or (2) the payment was calculated in accord­ nation of certain oil and gas leases on Fed­ Under authority of the order of the ance with the acreage figure stated in the eral lands and to reinstate terminated leases Senate of May 29, 1969, the Secretary of lease or made in accordance with a bill which under the limitations and conditions set has been rendered by him and such figure forth below. Thus, the measure would enable the Senate, on May 29, 1969, received the Secretary to do equity and at the same messages in writing from the President or bill is found to be in error resulting in a deficiency, the Secretary shall notify the time relieve Congress of the necessity of of the United States submitting sundry lessee of the deficiency and such lease shall considering private bills for one or the other nominations, which were referred tD the not automatically terminate unless the lessee of the above purposes. Such bills have been appropriate committees. fails to pay the deficiency within the period introduced in each Congress since 1954. The <For nominations received on May 29, prescribed in the notice." bill would accomplish its purpose by amend­ 1969, see the end of the proceedings of SEc. 2. Section 31 (c) of the Mineral Leasing ing the appropriate sections of the Mineral today, June 2, 1969.) Act of 1920 (41 Stat. 450), as amended (30 Leasing Act of 1920, as amended (41 Stat. U.S.C. 188 (c)), is amended to read as follows: 450; 30 U.S.C. 188(b) and 188(c)). " ( c) Where any lease has been or is here­ BACKGROUND AND NEED WAIVER OF CALL OF THE after terminated automatically by operation Prior to 1954 nonpayment of annual rental CALENDAR of law under this section, for failure to pay in connection with a noncompetitive oil and rental on or before the anniversary date or gas lease did not terminate the lease. Rather, Mr. MANSFIELD. Mr. President, I for failure to pay the full amount due and the lessee remained liable for rental pay­ ask unanimous consent that the call of the deficiency is not nominal and payment ments for the full term even though he may the legislative calendar, under rule VIII, was not made in accordance with the acreage have abandoned his lease completely. In be dispensed with. figure stated in the lease or in accordance 1954, the 83d Congress amended the act by The VICE PRESIDENT. Without ob­ with a bill rendered by the Secretary and Public Law 555 to provide for the termina­ jection, it is so ordered. it is shown to the satisfaction of the Secre­ tion of a noncompetitive oil and gas lease tary of the Interior that such failure was "upon failure of a lessee to pay rental on or the result of error or neglect on the part of before the anniversary date of the lease, for LIMITATION ON STATEMENTS DUR­ the Department of the Interior, or where any any lease on which there is no well capable lease has been or is hereafter terminated of producing oil or gas in paying quantities." ING TRANSACTION OF ROUTINE automatically by operation of law under this This termination provision is automatic and MORNING BUSINESS section for failure to pay rental on or before was designed as a relief measure at the time. Mr. MANSFIELD. Mr. President, I ask the anniversary date, but within twenty days The 83d Congress measure remedied the unanimous consent that statements in after such date it is shown to the satisfaction problem then presented, but created a new of the Secretary of the Interior that such one. The automatic termination provision relation to the transaction of routine failure was either justifiable or not due to a resulted in the termination of a number of morning business be limited to 3 lack of reasonable d111gence on the part of the oil and gas leases for failure to pay exact or minutes. lessee, the Secretary may reinstate the lea.se timely rental in circumstances which ap­ The VICE PRESIDENT. Without ob­ if- peared to warrant equitable consideration. jection, it is so ordered. "(1) a petition for reinstatement, together The Secretary was not authorized to grant with the required rental, including back any waiver or other form of relief. To correct rental accruing from the date of termination this situation, legislation was proposed in THE CALENDAR of the lease, is filed with the Secretary; and 1962 which would give the Secretary discre­ "(2) no valid lease has been issued affect­ tionary authority to reinstate these leases Mr. MANSFIELD. Mr. President, I ing any of the lands covered by the termi­ where the failure of payment was justifiable ask unanimous consent that the Senate nated lease prior to the filing of said petition. or not due to a lack of reasonable diligence June 2, 1969 CONGRESSIONAL RECORD- SENATE 14475 on the part of the lessees. It was recom­ prived a lessee of a reasonable opportunity to complete its study, and file a report wi·th mended by the Department that the Secre­ continue operations under the reinstated respect thereto, pursuant to section 19 ( e) tary be given the authority for future cases lease, the Secretary may, at his discretion, of the Securities Exchange Act of 1934; and as well as cases occurring between 1954 and extend the lease term for a reasonable period.
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