SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Helium Privatization Act of 1997''.

SEC. 2. AMENDMENT OF HELIUM ACT.

    Whenever in this Act an amendment or repeal is expressed in terms 
of an amendment to, or repeal of, a section or other provision, the 
reference shall be considered to be made to a section or other 
provision of the Helium Act (50 U.S.C. 167-167n), as amended by the 
Helium Privatization Act of 1996 (Public Law 104-273).

SEC. 3. DISPOSAL OF FACILITIES.

    Section 4 is amended by--
            (1) striking subsection (c); and
            (2) redesignating subsection (d) as subsection (c).

SEC. 4. SALE OF CRUDE HELIUM.

    Subsection 6(c) is amended by striking ``--'' and all that follows 
through ``(2)''.

SEC. 5. ELIMINATION OF STOCKPILE.

    Section 8 is amended to read as follows:

``SEC. 8. ELIMINATION OF STOCKPILE.

    ``(a) Secretary of Defense.--
            ``(1) In general.--Half of the helium reserves owned by the 
        United States on the date of the enactment of the Helium 
        Privatization Act of 1997 shall be placed under the authority 
        of the Secretary of Defense, who shall determine and execute 
        the storage, transportation, and use of helium from the 
        reserves. The Federal Government shall forgive any share of 
        debt owed on these reserves.
            ``(2) Location of reserves.--The Secretary of Defense may 
        maintain the reserves under the authority of the Secretary of 
        Defense at the site on which they are located on the date of 
        enactment of this Act, or transfer the reserves to another 
        site. In a case in which the Secretary of Defense elects to 
        transfer the reserves, the Secretary shall notify the Secretary 
        of the Interior of the transfer not later than the 
        predetermined date agreed to by the Secretary of Defense and 
        Secretary of the Interior.
    ``(b) Department of the Interior.--
            ``(1) In general.--The remaining half of the helium 
        reserves owned by the United States on the date of the 
        enactment of the Helium Privatization Act of 1997 shall remain 
        under the authority of the Secretary of the Interior.
            ``(2) Disposal of reserves.--
                    ``(A) Investment administrator.--In order to 
                dispose of the helium reserves under the authority of 
                the Secretary of the Interior, the Secretary of the 
                Interior shall appoint an Investment Administrator to 
                sell--
                            ``(i) the helium from the helium reserves; 
                        and
                            ``(ii) any production, refining, and 
                        marketing assets of the reserves, unless the 
                        Secretary of Defense determines that such 
                        assets are essential to the transportation or 
                        storage needs of the Secretary of Defense.
                The proceeds from any sales shall be paid to the 
                Treasury of the United States. A percentage of the 
                proceeds, as agreed to by the Secretary of the Interior 
                and the Investment Administrator, shall be used to pay 
                the salary of the Investment Administrator.
                    ``(B) Selection criteria for investment 
                administrator.--Any individual interested in the 
                position of Investment Administrator shall, within a 
                time period to be determined by the Secretary of the 
                Interior--
                            ``(i) submit in writing to the Secretary of 
                        the Interior a plan for disposing of the helium 
                        reserves under the authority of the Secretary 
                        of the Interior (including any unobligated 
                        natural gas reserves and real estate at the 
                        helium reserves used in helium refinement and 
                        production); and
                            ``(ii) make an oral presentation to the 
                        Secretary of the Interior on such plan.
                    ``(C) Interim disposal.--The Secretary of the 
                Interior may determine a price in consultation with the 
                helium industry, and sell helium described in paragraph 
                (1) during the period in which an Investment 
                Administrator has not been selected.
    ``(c) Discovery of Additional Reserves.--The discovery of 
additional helium reserves shall not affect the duties of the 
Secretaries to make sales of helium under this section.''.

SEC. 6. REPORT ON HELIUM.

    (a) National Academy of Sciences Report.--Subsection 15(a) is 
amended by inserting after ``disposal of helium reserves'' the 
following: ``under the authority of the Secretary of Defense''.
    (b) Report to Congress.--Subsection 15(b) is amended--
            (1) in paragraph (1) by inserting ``and'' after the 
        semicolon;
            (2) in paragraph (2) by striking ``; and'' and inserting a 
        period; and
            (3) by striking paragraph (3).
Helium Privatization Act of 1997 - Amends the Helium Act to repeal requirements for disposal of helium facilities.  Revises the formula for price determinations for crude helium sales to eliminate all factors but inflation adjustments. 
Revises stockpile elimination guidelines to mandate that half the Federal helium reserves be placed under the authority of the Secretary of Defense, who shall determine and implement helium storage, transportation, and use.  States that the Federal Government shall forgive any debt owed on such reserves.  Retains the remaining Federal helium under the authority of the Secretary of the Interior. Instructs such Secretary to appoint an Investment Administrator to sell the helium reserves and their attendant production, refining, and marketing assets unless the Secretary of Defense determines such assets are essential to Department of Defense transportation or storage needs.  Mandates payment of helium sales proceeds to the Treasury, with a percentage of such proceeds paid as salary to the Administrator pursuant to an agreement between the Administrator and the Secretary of the Interior. 
States that such Administrator shall be selected from individuals who submit and make an oral presentation of a written helium disposal plan (including any unobligated natural gas reserves and real estate used in helium refinement and production). 
Authorizes the Secretary of the Interior to determine a sales price in consultation with the helium industry, and to sell helium during the period in which no Investment Administrator has been selected. 
Declares that discovery of additional helium reserves shall not affect the duties of the Secretaries to make helium sales. 
Narrows solely to reserves under the authority of the Secretary of Defense the scope of a currently mandated National Academy of Sciences study on whether disposal of helium reserves will have a substantial adverse effect on U.S. scientific, technical, biomedical, or national security interests. 
Repeals the mandate that the Secretary of Defense make recommendations to the Congress on how to avoid potential adverse effects upon such U.S. interests by sales of crude helium reserves.
Helium Privatization Act of 1997