Geothermal Cost-Recovery Authority Act of 2025

House Bill

H.R. 398

119th Congress

Geothermal Cost-Recovery Authority Act of 2025

Ordered to be Reported by Unanimous Consent.

Introduced:Mar 5, 2026

Primary Sponsor

Alexandria Ocasio-Cortez

D - NY

Cosponsors

0

Quick Stats

Policy Area

Energy

Summary

This bill allows the Department of the Interior to charge fees to companies that want to drill for geothermal energy on federal lands, making these companies pay for the government's costs of processing their applications and monitoring their operations. The fees would help cover the expense of managing geothermal development—a renewable energy source that uses heat from beneath the Earth's surface—through 2032. Interior can reduce fees for companies facing financial hardship or when doing so would encourage more geothermal development.

Latest Action

Ordered to be Reported by Unanimous Consent.

Introduced3/5/2026

StatusOrdered to be Reported by Unanimous Consent.

ChamberHouse

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Vote Prediction

Geothermal Cost-Recovery Authority Act of 2025

This bill allows the Department of the Interior to charge fees to companies that want to drill for geothermal energy on federal lands, making these companies pay for the government's costs of processing their applications and monitoring their operations. The f

Community Breakdown

Pass

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Fail

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This bill allows the Department of the Interior to charge fees to companies that want to drill for geothermal energy on federal lands, making these companies pay for the government's costs of processing their applications and monitoring their operations. The fees would help cover the expense of managing geothermal development—a renewable energy source that uses heat from beneath the Earth's surface—through 2032. Interior can reduce fees for companies facing financial hardship or when doing so would encourage more geothermal development.

Bill Number: 398
Introduced: 3/5/2026
Status: Ordered to be Reported by Unanimous Consent.
Policy Area: Energy

Data from Congress.gov

AI-generated summary

Fact Sheet

Title: Geothermal Cost-Recovery Authority Act of 2025
Bill Number: 398
Sponsor: No sponsor
Status: Ordered to be Reported by Unanimous Consent.
Introduced: 3/5/2026
Summary: This bill allows the Department of the Interior to charge fees to companies that want to drill for geothermal energy on federal lands, making these companies pay for the government's costs of processing their applications and monitoring their operations. The fees would help cover the expense of mana

Data from Congress.gov

AI Summary

Plain-English explanation of this bill

This bill allows the Department of the Interior to charge fees to companies that want to drill for geothermal energy on federal lands, making these companies pay for the government's costs of processing their applications and monitoring their operations. The fees would help cover the expense of managing geothermal development—a renewable energy source that uses heat from beneath the Earth's surface—through 2032. Interior can reduce fees for companies facing financial hardship or when doing so would encourage more geothermal development.

Last updated: 3/7/2026

Official Summary

Congressional Research Service summary

Geothermal Cost-Recovery Authority Act of 2025This bill expands the Geothermal Steam Act of 1970 to give the Department of the Interior the authority to collect certain fees from applicants for, or holders of, geothermal leases through September 30, 2032. Specifically, Interior may direct those applicants or leaseholders to reimburse the United States for costs from (1) processing applications for geothermal leases on federal land, such as applications for geothermal drilling permits; and (2) inspecting and monitoring geothermal exploration and development activities, including reclamation activities.Interior may reduce the amount of the fee if it determines that (1) the full reimbursement would impose an economic hardship on the applicant, or (2) a less than full reimbursement is necessary to promote the greatest use of geothermal resources.Interior may use those fees only to the extent that they are provided in advance in appropriations acts for (1) processing applications for geothermal leases, and (2) inspecting and monitoring related exploration and development activities.Within five years of the bill's enactment, Interior must submit to Congress a report that includes an assessment of how the fees affect Interior's geothermal leasing program and any recommendations for updates to the fees and the program.

Key Points

Main provisions of the bill

Companies applying for geothermal drilling permits on federal land would pay fees to cover the government's processing and monitoring costs, rather than taxpayers footing the bill
The Department of Interior can waive or reduce fees for companies experiencing economic hardship or when lower fees would promote greater geothermal energy development
Collected fees can only be used for managing the geothermal leasing program—processing applications and inspecting drilling operations—not for other government purposes
The program runs through September 2032, with Interior required to report to Congress on how the fees are working and recommend improvements within five years
This cost-recovery approach could accelerate America's transition to renewable energy by making geothermal development more financially sustainable for the government

How This Impacts Americans

Potential effects on citizens and communities

This bill primarily affects geothermal energy companies seeking to develop renewable energy projects on federal lands, who would face new fees but also potentially faster processing times if the program is better funded. Taxpayers could benefit as the costs of managing these energy leases shift from general government funding to the companies profiting from public resources. The bill may also impact local communities near geothermal sites, as more robust monitoring could ensure safer and more environmentally responsible energy development.

Policy Areas

Primary Policy Area

Energy

Scope & Jurisdiction

Jurisdiction Level

federal

Congressional Session

119th Congress

Citation Reference

398, 119th Congress (2026). "Geothermal Cost-Recovery Authority Act of 2025". Source: Voter's Right Platform. https://votersright.org/bills/119-hr-398