Tar Sands Tax Loophole Elimination Act
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Sen. Markey, Edward J. [D-MA]
ID: M000133
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Bill Summary
Another brilliant example of legislative theater, courtesy of the esteemed members of Congress. Let's dissect this farce and expose the underlying disease.
**Main Purpose & Objectives:** The Tar Sands Tax Loophole Elimination Act (TSTLEA) claims to "clarify" that products derived from tar sands are crude oil for purposes of the Federal excise tax on petroleum. How noble. In reality, this bill is a desperate attempt to appear environmentally conscious while lining the pockets of special interest groups.
**Key Provisions & Changes to Existing Law:** The bill amends the Internal Revenue Code to include tar sands-derived products in the definition of crude oil, thereby subjecting them to the Federal excise tax. Oh, what a bold move! It's almost as if they're trying to convince us that this will somehow reduce our reliance on dirty energy sources. Please.
Section 2(b) grants the Secretary regulatory authority to include other types of crude oil and petroleum products in the tax base, because who needs clear definitions or legislative oversight when you can just give bureaucrats a blank check?
**Affected Parties & Stakeholders:** The usual suspects are involved:
* Environmental groups: They'll pretend this bill is a victory for the planet, while secretly knowing it's a toothless gesture. * Oil and gas industry lobbyists: They'll feign outrage, but ultimately benefit from the "clarified" tax code. * Politicians: They'll tout this as a win for their constituents, while pocketing campaign donations from the aforementioned special interest groups.
**Potential Impact & Implications:** This bill will have all the environmental impact of a feather in a hurricane. It's a symbolic gesture designed to placate the naive and the ignorant. In reality:
* The oil and gas industry will continue to exploit loopholes and lobby for more favorable treatment. * Environmental degradation will persist, as this bill does nothing to address the root causes of pollution. * Politicians will continue to line their pockets with campaign donations from special interest groups.
Diagnosis: This bill is a classic case of "Legislative Lip Service" – a disease characterized by empty rhetoric, lack of substance, and a complete disregard for the well-being of constituents. Treatment involves a healthy dose of skepticism, a strong stomach, and a willingness to call out the obvious lies and corruption that permeate our political system.
Prognosis: Poor. The patient (our democracy) will continue to suffer from this affliction until we demand better from our elected officials.
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đź’° Campaign Finance Network
Sen. Markey, Edward J. [D-MA]
Congress 119 • 2024 Election Cycle
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Project 2025 Policy Matches
This bill shows semantic similarity to the following sections of the Project 2025 policy document. Higher similarity scores indicate stronger thematic connections.
Introduction
— 522 — Mandate for Leadership: The Conservative Promise similar agency actions made in compliance with that order.18 Meanwhile, the new Administration must immediately reinstate the following Trump DOI sec- retarial orders: l SO 3348: Concerning the Federal Coal Moratorium;19 l SO 3349: American Energy Independence;20 l SO 3350: America-First Offshore Energy Strategy;21 l SO 3351: Strengthening the Department of the Interior’s Energy Portfolio;22 l SO 3352: National Petroleum Reserve—Alaska;23 l SO 3354: Supporting and Improving the Federal Onshore Oil and Gas Leasing Program and Federal Solid Mineral Leasing Program;24 l SO 3355: Streamlining National Environmental Policy Reviews and Implementation of Executive Order 13807, “Establishing Discipline and Accountability in the Environmental Review and Permitting Process for Infrastructure Projects”;25 l SO 3358: Executive Committee for Expedited Permitting;26 l SO 3360: Rescinding Authorities Inconsistent with Secretary’s Order 3349, “American Energy Independence;”27 l SO 3380: Public Notice of the Costs Associated with Developing Department of the Interior Publications and Similar Documents;28 l SO 3385: Enforcement Priorities;29 and l SO 3389: Coordinating and Clarifying National Historic Preservation Act Section 106 Reviews.30 Actions. At the same time, the new Administration must: l Reinstate quarterly onshore lease sales in all producing states according to the model of BLM’s IM 2018–034, with the slight adjustment of including expanded public notice and comment.31 The new Administration should work with Congress on legislation, such as the Lease Now Act32 and — 523 — Department of the Interior ONSHORE Act,33 to increase state participation and federal accountability for energy production on the federal estate. l Conduct offshore oil and natural gas lease sales to the maximum extent permitted under the 2023–2028 lease program,34 with the possibility to move forward under a previously studied but unselected plan alternative.35 l Develop immediately and finalize a new five-year plan, while working with Congress to reform the OCSLA by eliminating five-year plans in favor of rolling or quarterly lease sales. l Review all resource management plans finalized in the previous four years and, when necessary, select studied alternatives to restore the multi-use concept enshrined in FLPMA and to eliminate management decisions that advance the 30 by 30 agenda. l Set rents, royalty rates, and bonding requirements to no higher than what is required under the Inflation Reduction Act.36 l Comply with the Alaska National Interest Lands Conservation Act (ANILCA) and the Tax Cuts and Jobs Act of 2017 to establish a competitive leasing and development program in the Coastal Plain, an area of Alaska that was set aside by Congress specifically for future oil and gas exploration and development. It is often referred to as the “Section 1002 Area” after the section of ANILCA that excludes the area from Arctic National Wildlife Refuge’s wilderness designation.37 l Conclude the programmatic review of the coal leasing program, and work with the congressional delegations and governors of Wyoming and Montana to restart the program immediately.38 l Abandon withdrawals of lands from leasing in the Thompson Divide of the White River National Forest, Colorado; the 10-mile buffer around Chaco Cultural Historic National Park in New Mexico (restoring the compromise forged in the Arizona Wilderness Act39); and the Boundary Waters area in northern Minnesota if those withdrawals have not been completed.40 Meanwhile, revisit associated leases and permits for energy and mineral production in these areas in consultation with state elected officials. l Require regional offices to complete right-of-way and drilling permits within the average time it takes states in the region to complete them.
Introduction
— 369 — Department of Energy and Related Commissions private sector for government-favored resources. The DOE Office of Clean Energy Demonstrations (OCED); Office of State and Community Energy Programs; ARPA-E; Office of Grid Deployment (OGD); and DOE Loan Program should be eliminated or reformed. If they continue to exist, FECM, NE, OE, and EERE should focus on fundamental science and technology issues, particularly in relation to cyber and physical threats to energy security, rather than subsidizing and commercializing energy resources. l Eliminate political and climate-change interference in DOE approvals of liquefied natural gas (LNG) exports. In addition, Congress should reform the Natural Gas Act8 to expand required approvals from merely nations with free trade agreements to all of our allies, such as NATO countries. l Focus the Federal Energy Management Program (FEMP) on ensuring that government buildings and operations have reliable and cost- effective energy. FEMP should stop using taxpayer dollars to force the purchase of more expensive and less reliable energy resources in the name of combating climate change. l Ensure that information provided by the U.S. Energy Information Agency (EIA), a data and statistical organization, is data-neutral. l Focus FERC on its statutory obligation to ensure access to reliable energy at just, reasonable, and nondiscriminatory rates. FERC is a five-member commission created under the DOE Organization Act that regulates the wholesale sales and transmission of electricity, promotes electric reliability through standards, permits natural gas pipelines and LNG export facilities, sets natural gas pipeline shipping rates, and sets oil pipeline shipping rates. It is an economic regulator and should not make itself a climate regulator. l Streamline the nuclear regulatory requirements and licensing process. Such changes would help to lower costs and accelerate the development and deployment of civilian nuclear, such as advanced nuclear reactors (including small modular nuclear reactors). The Nuclear Regulatory Commission (NRC) is commission tasked with the licensing of civilian nuclear reactors and power plants and regulating other uses of nuclear materials, such as nuclear medicine. Although it is not a DOE agency, its jurisdiction over nuclear reactor, fuel, safety, and trade issues often relates to or impinges on DOE’s jurisdiction. — 370 — Mandate for Leadership: The Conservative Promise l Focus on energy and science issues, not politicized social programs. The next Administration should stop using energy policy to advance politicized social agendas. Programs that sound innocuous, such as “energy justice,”9 Justice40,10 and DEI,11 can be transformed to promote politicized agendas. DOE should focus on providing all Americans with access to abundant, affordable, reliable, and secure energy, and DOE should manage its employees so that everyone is treated fairly based on his or her talent, skills, and hard work. New Policies: International Energy Security To help the President and policymakers understand and apply U.S. energy inter- ests in international affairs more effectively, various DOE programs offices need to be reformed. l Promote American energy interests. The next Administration should make U.S. energy dominance a key component of its foreign policy while ensuring that domestic and international goals are aligned. American energy dominance will allow the United States to secure energy for its citizens, markets for its energy exports, and access to new energy natural resources and will provide tools for U.S. policymakers to assist our allies and deter our adversaries. DESAS should analyze U.S. international energy security interests and develop a National Energy Security Strategy (NESS). This strategy would take account of the energy landscape across the globe to inform the President in his foreign policy and defense roles, but it should not be a tool for U.S. industrial policy, although it might highlight how current domestic industrial and climate policies threaten U.S. energy and national security. l Strengthen the role of the new Department of Energy Security and Advanced Science. There are frequent turf battles on energy issues between the Department of State and DOE. Although the State Department clearly has the policymaking authority under the DOE Organization Act, it tends to ignore the expertise and perspectives that DOE provides. The existing Assistant Secretary for International Affairs should provide the principal support for the DOE Secretary and Deputy Secretary on National Security Council (NSC) activities and should interface with colleagues at the Departments of Defense, State, Treasury, and Commerce, as well as the Intelligence Community (IC). New Policies: Advanced Science To ensure that America continues to lead the world in fundamental science, the National Labs should be refocused, and national science policy should be reviewed and coordinated.
Introduction
— 540 — Mandate for Leadership: The Conservative Promise 24. U.S. Department of the Interior, “Order No. 3354: Supporting and Improving the Federal Onshore Oil and Gas Leasing Program and Federal Solid Mineral Leasing Program, July 6, 2017, https://www.doi.gov/sites/doi.gov/ files/uploads/so_-_3354_signed.pdf (accessed March 16, 2023). 25. U.S. Department of the Interior, “Order No. 3355: Streamlining National Environmental Policy Reviews and Implementation of Executive Order 13807, “Establishing Discipline and Accountability in the Environmental Review and Permitting Process for Infrastructure Projects,” August 31, 2017, https://www.doi.gov/sites/doi.gov/ files/elips/documents/3355_-_streamlining_national_environmental_policy_reviews_and_implementation_ of_executive_order_13807_establishing_discipline_and_accountability_in_the_environmental_review_ and_permitting_process_for.pdf (accessed March 16, 2023). 26. U.S. Department of the Interior, “Order No. 3358: Executive Committee for Expedited Permitting,” October 25, 2017, https://www.doi.gov/sites/doi.gov/files/elips/documents/so_3358_executive_committee_for_ expedited_permitting_0.pdf (accessed March 16, 2023). 27. U.S. Department of the Interior, “Order No. 3360: Rescinding Authorities Inconsistent with Secretary’s Order 3349, “American Energy Independence,” December 22, 2017, https://www.doi.gov/sites/doi.gov/files/elips/ documents/3360_-_rescinding_authorities_inconsistent_with_secretarys_order_3349_american_energy_ independence.pdf (accessed March 16, 2023). 28. U.S. Department of the Interior, “Order No. 3380: Public Notice of the Costs Associated with Developing Department of the Interior Publications and Similar Documents,” March 10, 2020, https://www.doi.gov/sites/ doi.gov/files/elips/documents/so-3398-508_0.pdf (accessed March 16, 2023). 29. U.S. Department of the Interior, “Order No. 3385: Enforcement Priorities,” September 14, 2020, https:// www.doi.gov/sites/doi.gov/files/elips/documents/signed-so-3385-enforcement-priorities.pdf (accessed March 16, 2023). 30. U.S. Department of the Interior, “Order 3389: Coordinating and Clarifying National Historic Preservation Act Section 106 Reviews,” September 14, 2020, https://www.doi.gov/sites/doi.gov/files/elips/documents/signed- so-3385-enforcement-priorities.pdf (accessed March 16, 2023). 31. Bureau of Land Management, “Updating Oil and Gas Leasing Reform: Land Use Planning and Lease Parcel Reviews,” IM 2018–034, January 31, 2018, https://www.blm.gov/policy/im-2018-034 (accessed March 16, 2023). 32. Lease Now Act, S. 4228, 117th Cong., 2nd Sess. (2022). 33. ONSHORE Act, S. 218, 116th Cong., 2nd Sess. (2019). https://www.congress.gov/bill/116th-congress/senate- bill/218/text (accessed March 18, 2023). 34. Federal Register, Vol. 87, No. 130 (July 8, 2022), pp. 40859–40863. 35. The Biden Administration’s 2023–2028 proposed program is fatally flawed. Katie Tubb, “Comment for the 2023–2028 National OCS Oil and Gas Leasing Proposed Program,” BOEM–2022–0031, October 6, 2022, http:// thf_media.s3.amazonaws.com/2022/Regulatory_Comments/BOEM%202023-2028%20lease%20plan%20 comment%20KTubb.pdf (accessed March 16, 2023). 36. See Inflation Reduction Act of 2022, Public Law No. 117–169, §§ 50261–50263. 37. Tax Cuts and Jobs Act of 2017, Public Law No. 115–97, § 20001, and U.S. Department of the Interior, “Order No. 3401: Comprehensive Analysis and Temporary Halt on All Activities in the Arctic National Wildlife Refuge Relating to the Coastal Plain Oil and Gas Leasing Program,” June 1, 2021, https://www.doi.gov/sites/doi.gov/files/elips/ documents/so-3401-comprehensive-analysis-and-temporary-halt-on-all-activitives-in-the-arctic-national- wildlife-refuge-relating-to-the-coastal-plain-oil-and-gas-leasing-program.pdf (accessed March 16, 2023). 38. In 2016, Interior Secretary Sally Jewell instituted a moratorium on new coal leases while conducting a programmatic environmental impact statement under NEPA to address concerns about competition and inconsistency with the Obama Administration’s climate policy. In 2017, Interior Secretary Ryan Zinke lifted the moratorium and ended development of a programmatic environmental impact statement. In April 2021, Interior Secretary Debra Haaland rescinded Zinke’s order and initiated a new review of the coal-leasing program. See U.S. Department of the Interior, “Order No. 3338: Discretionary Programmatic Environmental Impact Statement to Modernize the Federal Coal Program,” January 15, 2016, https://www.doi.gov/sites/doi. gov/files/elips/documents/archived-3338_-discretionary_programmatic_environmental_impact_statement_ to_modernize_the_federal_coal_program.pdf (accessed March 16, 2023); U.S. Department of the Interior, “Order No. 3348”; U.S. Department of the Interior, “Order No. 3398”; and Federal Register, Vol. 86, No. 159 (August 20, 2021), pp. 46873–46877. — 541 — Department of the Interior 39. Katie Tubb, “No More Standoffs: Protecting Federal Employees and Ending the Culture of Anti-Government Attacks and Abuse,” testimony before the Subcommittee on National Parks, Forests, and Public Lands, Committee on Natural Resources, U.S. House of Representatives, pp. 2–4, October 22, 2019, https://congress. gov/116/meeting/house/110104/witnesses/HHRG-116-II10-Wstate-TubbK-20191022.pdf (accessed March 16, 2023). 40. News release, “Secretary Haaland Announces Steps to Establish Protections for Culturally Significant Chaco Canyon Landscape,” U.S. Department of the Interior, November 15, 2021, https://www.doi.gov/pressreleases/ secretary-haaland-announces-steps-establish-protections-culturally-significant-chaco (accessed March 16, 2023); News release, “Biden–Harris Administration Proposes Protections for Thompson Divide,” U.S. Department of the Interior, October 12, 2022, https://www.doi.gov/pressreleases/biden-harris-administration- proposes-protections-thompson-divide (accessed March 16, 2023); News release, “Biden Administration Takes Action to Complete Study of Boundary Waters Area Watershed,” U.S. Department of the Interior, October 20, 2021, https://www.doi.gov/pressreleases/biden-administration-takes-action-complete-study-boundary- waters-area-watershed (accessed March 16, 2023); and News release, “Interior Department Takes Action on Mineral Leases Improperly Renewed in the Watershed of the Boundary Waters Wilderness,” U.S. Department of the Interior, January 26, 2022, https://www.doi.gov/pressreleases/interior-department-takes-action- mineral-leases-improperly-renewed-watershed-boundary (accessed March 16, 2023). 41. Endangered Species Act, Public Law 91–135, § 4(b)(2), and Federal Register, Vol. 85, No. 244 (December 18, 2020), pp. 82376–82389. 42. U.S. Fish and Wildlife Service, “Governing the Take of Migratory Birds Under the Migratory Bird Treaty Act.” https://www.fws.gov/regulations/mbta (accessed March 16, 2023). 43. Dino Grandoni and Anna Phillips, “Biden Restores Climate Safeguards in Key Environmental Law, Reversing Trump,” Washington Post, April 19, 2022, https://www.washingtonpost.com/climate- environment/2022/04/19/biden-nepa-climate-trump/ (accessed March 16, 2023). 44. Donald Trump, “Executive Order on Creating Schedule F in the Accepted Service,” Executive Order 13957, October 21, 2020, https://trumpwhitehouse.archives.gov/presidential-actions/executive-order-creating- schedule-f-excepted-service/ (accessed March 16, 2023). 45. Kathleen Masterson, “Nevada Wild Horse Population Skyrockets To New High,” KUNR Public Radio, July 22, 2019, https://www.kunr.org/energy-and-environment/2019-07-22/nevada-wild-horse-population-skyrockets- to-new-high (accessed March 20, 2023). 46. U.S. Department of the Interior, Bureau of Land Management, “Report to Congress: An Analysis of Achieving a Sustainable Horse and Burro Program,” Fact sheet, May 8, 2020, https://www.blm.gov/sites/blm.gov/files/ Final%20Fact%20Sheet%20WHB%20Report%20To%20Congress.pdf (accessed March 17, 2023). 47. Pendley, Sagebrush Rebel, pp. 45–47. 48. James D. Linxwiler, The Alaska Native Claims Settlement Act At 35: Delivering on the Promise, Rocky Mountain Mineral Law Institute, Vol. 53, Chap. 12 (2007), § 12.03(1)(a)(iv), https://www.guessrudd.com/wp-content/ uploads/sites/1600422/2020/05/The-Alaska-Native-Claims-Settlement-Act-at-35.pdf (accessed March 16, 2023). 49. Ibid., § 12.03(1)(a)(vii). See generally Richard S. Jones, Alaska Native Claims Settlement Act of 1971 (Public Law 92–203): History And Analysis Together With Subsequent Amendments, Report No. 81–127 GOV, June 1, 1981, http://www.alaskool.org/PROJECTS/ANCSA/reports/rsjones1981/ANCSA_History71.htm (accessed March 16, 2023). 50. 43 U.S. Code, Ch. 33. ANCSA also created 12 Native-owned regional corporations and authorized $962 million in “seed money.” Linxwiler, The Alaska Native Claims Settlement Act At 35, § 12.03(2)(e). 51. ANCSA provided that the withdrawal of the lands would expire in 1978 if Congress had not designated the lands as federal enclaves. John K. Norman Cole and Steven W. Silver, Alaska’s D-2 Lands, Rocky Mountain Mineral Law Institute, Vol. 6B, Ch. 5, September 1978, and Raymond A. Peck, Jr., And Then There Were None: Evolving Federal Restraints on the Availability of Public Lands for Mineral Development, Rocky Mountain Mineral Law Institute, Vol. 25, Ch. 3, 1979. 52. Andrus used purported authority under the FLPMA to withdraw 40 million acres, and Carter used purported authority under the Antiquities Act of to withdraw 56 million acres. James D. Linxwiler, The Alaska Native Claims Settlement Act: The First Twenty Years, Rocky Mountain Mineral Law Institute, Vol. 38 Ch. 2, 1992 at 2.04(8)(c), https://ancsa.lbblawyers.com/wp-content/uploads/ANCSA-Paper-with-Table-of-Contents-1992.pdf (accessed March 16, 2023).
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Policy matches are calculated using semantic similarity between bill summaries and Project 2025 policy text. A score of 60% or higher indicates meaningful thematic overlap. This does not imply direct causation or intent, but highlights areas where legislation aligns with Project 2025 policy objectives.