Energy for America’s Economic Future Act
Energy for America's Economic Future Act would create a new Debt Reduction Fund in the U.S. Treasury and mandate that a portion of certain federal revenue be directed into that fund. Starting about 100 days after enactment, 25 percent of the total revenue from each onshore and offshore Federal oil and gas lease sale (i.e., bonus bids, royalties, rentals, and related fees over the life of the lease) and 25 percent of the total revenue from activities connected to Executive Order 14141 on AI infrastructure would be deposited into the Fund each fiscal quarter. The money in the Fund would be used exclusively to reduce the principal of the federal debt by redeeming Treasury securities held by the public or other debt instruments, with quarterly reporting to Congress detailing what was redeemed and the resulting debt reduction.
Key Points
- 1Establishes a new Debt Reduction Fund in the Treasury, to be called the Debt Reduction Fund.
- 2Deposits into the Fund: 25% of total revenue from each federal oil/gas lease sale (onshore and offshore) conducted under specified leasing laws, during the preceding fiscal quarter; and 25% of total revenue from activities associated with EO 14141 on AI infrastructure.
- 3Definitions: The Fund, the Secretary (Treasury Secretary), and “Total revenue” (bonus bids, royalties, rents, fees from lease sales disbursed as miscellaneous receipts over the life of the lease).
- 4Use of funds: Deposits may only be used to reduce the principal of the federal debt, specifically by redeeming Treasury securities held by the public or other debt instruments; no diversions to other programs.
- 5Timing and reporting: Deposits begin 100 days after enactment; not later than the last day of each fiscal quarter, the Secretary must apply deposited funds toward debt reduction; annual and quarterly reports to Congress detailing deposits, securities redeemed, and total debt reduction.