SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Royalty Collection Reform Act of 
1997''.

SEC. 2. TRANSFER OF OIL AND GAS ROYALTY AUDITING FUNCTIONS; ENSURING 
              RECEIPT OF ROYALTIES BY UNITED STATES GOVERNMENT.

    (a) Transfer of Functions.--There are transferred from the 
Secretary of the Interior to the Secretary of the Treasury the 
functions of the Secretary of the Interior relating to auditing and 
reconciling oil and gas production activities on lease sites on Federal 
and Indian lands, including all functions of the Secretary of the 
Interior under the Federal Oil and Gas Royalty Management Act of 1982 
(30 U.S.C. 1711).
    (b) Ensuring Receipt of Royalties.--Section 101 of the Federal Oil 
and Gas Royalty Management Act of 1982 (30 U.S.C. 1701) is amended by 
adding at the end the following new subsection:
    ``(d) In implementing this Act and in performing under other 
Federal laws functions relating to auditing and reconciling oil and gas 
production activities on lease sites on Federal and Indian lands, the 
Secretary shall exercise all available authorities to ensure that the 
Government of the United States receives all amounts of oil and gas 
royalties to which it is entitled.''.

SEC. 3. CONFORMING AMENDMENTS.

    (a) Federal Oil and Gas Royalty Management Act of 1982.--
            (1) Section 3(15) of the Federal Oil and Gas Royalty 
        Management Act of 1982 (30 U.S.C. 1702(3)) is amended to read 
        as follows:
            ``(15) `Secretary' means the Secretary of the Treasury, 
        except that in sections 111(e), 114, 303, and 304 the term 
        means the Secretary of the Interior;''.
            (2) Section 106 of the Federal Oil and Gas Royalty 
        Management Act of 1982 (30 U.S.C. 1716) is amended by inserting 
        ``or the Department of the Treasury'' after ``Interior''.
            (3) Section 108(b) of the Federal Oil and Gas Royalty 
        Management Act of 1982 (30 U.S.C. 1718(b)) is amended in the 
        first sentence by inserting ``of the Treasury or the Secretary 
        of the Interior'' after ``Secretary''.
            (4) Section 108(c) of the Federal Oil and Gas Royalty 
        Management Act of 1982 (30 U.S.C. 1718(c)) is amended by 
        inserting ``of the Treasury and the Secretary of the Interior'' 
        after ``Secretary''.
            (5) Section 101(c)(2) of the Federal Oil and Gas Royalty 
        Management Act of 1982 (30 U.S.C. 1711(c)(2)) is amended to 
        read as follows:
    ``(2) The Secretary may enter into contracts or other appropriate 
arrangements with independent certified public accountants, or other 
entities, that have knowledge of the financial practices and applicable 
accounting procedures of oil and gas producers, to undertake audits of 
accounts and records of any lessee or operator relating to the lease of 
oil or gas. Selection of such independent certified accountants and 
entities shall be by competitive bidding in accordance with title III 
of the Federal Property and Administrative Services Act of 1949 (41 
U.S.C. 251 et seq.), except that the Secretary may not enter into a 
contract or other arrangement with any independent certified public 
accountant or other entity to audit a lessee or operator if such lessee 
or operator is a primary audit client of such certified public 
accountant or other entity.''.

SEC. 4. REFERENCES.

    Any reference in any other Federal law, Executive order, rule, 
regulation, or delegation of authority, or any document of or 
pertaining to a function transferred by this Act--
            (1) to the Secretary of the Interior or to an officer of 
        the Department of the Interior is deemed to refer to the 
        Secretary of the Treasury; or
            (2) to an office or agency of the Department of the 
        Interior is deemed to refer to the Department of the Treasury.

SEC. 5. EXERCISE OF AUTHORITIES.

    Except as otherwise provided by law, the Secretary of the Treasury 
may, for purposes of performing the functions transferred by this Act, 
exercise all authorities under any other provision of law that were 
available with respect to the performance of that function to the 
Secretary of the Interior or any other officer of the Department of the 
Interior immediately before the effective date of the transfer of the 
function under this Act.

SEC. 6. SAVINGS PROVISIONS.

    (a) Legal Documents.--All orders, determinations, rules, 
regulations, permits, grants, loans, contracts, agreements, 
certificates, licenses, and privileges--
            (1) that have been issued, made, granted, or allowed to 
        become effective by the President, the Secretary of the 
        Interior, any officer or employee of the Department of the 
        Interior, or any other Government official, or by a court of 
        competent jurisdiction, in the performance of any function that 
        is transferred by this Act, and
            (2) that are in effect on the effective date of such 
        transfer (or become effective after such date pursuant to their 
        terms as in effect on such effective date),
shall continue in effect according to their terms until modified, 
terminated, superseded, set aside, or revoked in accordance with law by 
the President, the Secretary of the Treasury, any other authorized 
official, a court of competent jurisdiction, or operation of law.
    (b) Proceedings.--This Act shall not affect any proceedings or any 
application for any benefits, service, license, permit, certificate, or 
financial assistance pending on the date of the enactment of this Act 
before regarding a function transferred by this Act, but such 
proceedings and applications shall be continued. Orders shall be issued 
in such proceedings, appeals shall be taken therefrom, and payments 
shall be made pursuant to such orders, as if this Act had not been 
enacted, and orders issued in any such proceeding shall continue in 
effect until modified, terminated, superseded, or revoked by a duly 
authorized official, by a court of competent jurisdiction, or by 
operation of law. Nothing in this subsection shall be considered to 
prohibit the discontinuance or modification of any such proceeding 
under the same terms and conditions and to the same extent that such 
proceeding could have been discontinued or modified if this Act had not 
been enacted.
    (c) Suits.--This Act shall not affect suits commenced before the 
date of the enactment of this Act, and in all such suits, proceeding 
shall be had, appeals taken, and judgments rendered in the same manner 
and with the same effect as if this Act had not been enacted.
    (d) Nonabatement of Actions.--No suit, action, or other proceeding 
commenced by or against the Department of the Interior or the Secretary 
of the Interior, or by or against any individual in the official 
capacity of such individual as an officer or employee of the Department 
of the Interior, shall abate by reason of the enactment of this Act.
    (e) Continuance of Suits.--If any Government officer in the 
official capacity of such officer is party to a suit with respect to a 
function of the officer, and under this Act such function is 
transferred to any other officer or office, then such suit shall be 
continued with the other officer or the head of such other office, as 
applicable, substituted or added as a party.
    (f) Administrative Procedure and Judicial Review.--Except as 
otherwise provided by this Act, any statutory requirements relating to 
notice, hearings, action upon the record, or administrative or judicial 
review that apply to any function transferred by this Act shall apply 
to the exercise of such function by the head of the Federal agency, and 
other officers of the agency, to which such function is transferred by 
this Act.

SEC. 7. TRANSFER OF ASSETS.

    (a) In General.--Except as otherwise provided in this Act, so much 
of the property, records, and unexpended balances of appropriations, 
allocations, and other funds employed, used, held, available, or to be 
made available in connection with a function transferred to the 
Secretary of the Treasury by this Act shall be available to the 
Secretary of the Treasury at such time or times as the Director of the 
Office of Management and Budget directs for use in connection with the 
function transferred.
    (b) Personnel.--The Director of the Office of Management and Budget 
shall provide to the Secretary of the Treasury such personnel 
acquisition authority as the Secretary determines to be adequate to 
carry out functions transferred to the Secretary of the Treasury under 
this Act.
    (c) Transition Plan.--Not later than 6 months after the date of the 
enactment of this Act, the Secretary of the Treasury and the Secretary 
of the Interior shall jointly prepare and submit to the Congress a plan 
ensuring orderly transition in the performance of functions and 
transfer of assets in accordance with this Act within not later than 1 
year after that date of enactment.

SEC. 8. DELEGATION AND ASSIGNMENT.

    Except as otherwise expressly prohibited by law or otherwise 
provided in this Act, the Secretary of the Treasury may delegate any of 
the functions so transferred under this Act to such officers and 
employees of the Department of the Treasury as the Secretary may 
designate, and may authorize successive redelegations of such functions 
as may be necessary or appropriate. No delegation of functions under 
this section or under any other provision of this Act shall relieve the 
official to whom a function is transferred under this Act of 
responsibility for the administration of the function.

SEC. 9. AUTHORITY OF DIRECTOR OF THE OFFICE OF MANAGEMENT AND BUDGET 
              WITH RESPECT TO FUNCTIONS TRANSFERRED.

    (a) Determinations.--If necessary, the Director shall make any 
determination of the functions that are transferred under this Act.
    (b) Incidental Transfers.--The Director, at such time or times as 
the Director shall provide, may make such determinations as may be 
necessary with regard to the functions transferred by this Act, and to 
make such additional incidental dispositions of personnel, assets, 
liabilities, grants, contracts, property, records, and unexpended 
balances of appropriations, authorizations, allocations, and other 
funds held, used, arising from, available to, or to be made available 
in connection with such functions, as may be necessary to carry out the 
provisions of this Act. The Director shall provide for the termination 
of the affairs of all entities terminated by this Act and for such 
further measures and dispositions as may be necessary to effectuate the 
purposes of this Act.

SEC. 10. DEFINITIONS.

    For purposes of this Act--
            (1) the term ``Director'' means the Director of the Office 
        of Management and Budget;
            (2) the term ``function'' includes any duty, obligation, 
        power, authority, responsibility, right, privilege, activity, 
        or program; and
            (3) the term ``office'' includes any office, 
        administration, agency, bureau, institute, council, unit, 
        organizational entity, or component thereof.
Royalty Collection Reform Act of 1997 - Transfers from the Secretary of the Interior to the Secretary of the Treasury the functions of reconciling and auditing oil and gas production activities on lease sites on Federal and Indian lands (including all functions under the Federal Oil and Gas Royalty Management Act of 1982). 
Amends the Act to make technical and conforming amendments.
Royalty Collection Reform Act of 1997