Rep. Kennedy Leads Bill to Keep American Energy Permitting on Track

Washington, D.C. - Congressman Mike Kennedy (UT-03) introduced the License to Drill Act so the federal government has the resources to process energy permits efficiently and without unnecessary delay. This legislation will reauthorize the Application for Permit to Drill (APD) fee program, cutting red tape and keeping our critical American energy development moving.

"We know the effects of overreliance on foreign nations for our energy; it is a risk that we must mitigate. We also know that permitting delays cost jobs and drive up energy prices for everyday Americans," said Congressman Mike Kennedy. "America needs an all-of-the-above energy strategy, and that starts with a government that can keep up with demand. The License to Drill Act will streamline permitting so our critical energy projects stop waiting on Washington and start delivering the domestic production this country needs to remain independent and secure."

"BLM's Project Offices in Utah are essential to keeping up with a high volume of drilling permits, rights-of-way, and complex environmental reviews," said Rikki Hrenko-Browning, President of the Utah Petroleum Association. " The Vernal office in particular processes the second highest number of APDs in the U.S., right after Carlsbad. When these offices have the resources to coordinate with other agencies and stay staffed up, projects move forward more predictably and our rural communities benefit from stable investment and jobs. We're grateful to Rep. Kennedy for recognizing how important this program is to Utah and for leading the effort to ensure PPIF doesn't lapse just when the country needs more reliable American energy."

"The Permit Processing Improvement Fund is one of the quiet success stories of federal energy policy," said Melissa Simpson, Western Energy Alliance President. "It speeds up permits, cuts backlogs, and gives BLM the dedicated staff and tools they need to do their jobs well. Reauthorizing PPIF is about making government work better, reach decisions faster, shorten timelines, and support frontline BLM staff in offices across the West. We're grateful for Rep. Kennedy's leadership on this issue and for introducing a bill to extend the program for another 10 years."

"The independent American producers we represent operate on tight margins and long timelines," said Dan Naatz, Executive Vice President and Chief Policy Officer of the Independent Petroleum Association of America. "When federal permits get bogged down, so do investments into critical energy infrastructure. The Permit Processing Improvement Fund has proven that when Congress gives BLM resources and direction, the agency can move projects forward efficiently while maintaining strong environmental safeguards. Extending this bipartisan program is a common-sense way to support American energy production and the small and midsize companies that anchor it. Thank you, Rep. Kennedy, for working to ensure this important program does not expire later this year."

"The world is seeing once again how geopolitical crises can send energy markets into turmoil," said Tim Stewart, President of the U.S. Oil & Gas Association. " With attacks in the Middle East and shipping disruptions in the Strait of Hormuz, it is more important than ever that America can rely on its own oil and natural gas. The Permit Processing Improvement Fund is a practical, bipartisan way to keep federal permitting from becoming a weak link in our energy security. Rep. Kennedy understands that by strengthening BLM's permitting capacity, PPIF helps ensure that American barrels can reach consumers when global supplies are at risk."

"Behind every drilling permit are engineers, technicians, and skilled workers whose livelihoods depend on predictable, timely decisions from federal agencies," said Tim Tarpley, President of the Energy Workforce & Technology Council. "In addition to helping directly support BLM staff, it ultimately helps the professionals in the field who produce the energy our nation needs. Rep. Kennedy recognizes that reauthorizing PPIF is an investment in the workforce that keeps American energy reliable, affordable, and responsibly developed."

"North Dakota's BLM State Office is one of the busiest permitting offices in the country, and the Permit Processing Improvement Fund has been a key reason it can keep pace with demand," said North Dakota Petroleum Council President, Ron Ness. "This program is entirely industry-funded and has delivered faster permit approvals, reduced backlogs, and better interagency coordination. For our members operating in the Bakken, that translates directly into investment certainty and jobs. We commend Representative Kennedy for his leadership in ensuring this proven program continues, and we urge Congress to act before the September deadline."

"Colorado knows firsthand how important it is to balance protecting the environment with permitting energy projects. Achieving timely permitting at the federal level helps support jobs, tax revenue, and responsible development," said Lynn Granger, President and CEO of the Colorado Oil & Gas Association. "The Permit Processing Improvement Fund gives BLM field offices the staff and tools they need to stay ahead of backlogs while still doing thorough environmental reviews. Rep. Kennedy's legislation to extend PPIF ensures that Colorado communities can continue to count on federal partners that are responsive, professional, and equipped to keep critical projects moving."

"Communities across Montana count on a federal process that is predictable, timely, and grounded in good stewardship," said Sonny Capece, Executive Director of the Montana Petroleum Association. " The Permit Processing Improvement Fund helps BLM field offices in our state keep permits moving on energy projects and maintains strong environmental safeguards. By championing PPIF reauthorization, Rep. Kennedy is helping to preserve a bipartisan tool that supports Montanans and public lands alike."

"Small, independent producers in New Mexico don't have the luxury of sitting on permits for years," said Jim Winchester, Executive Director of the Independent Petroleum Association of New Mexico. " When federal approvals stall, local jobs, small businesses, and state revenues all feel it. Rep. Kennedy's bill keeps a proven, industry-funded tool in place so that producers in New Mexico can continue to invest, hire, and deliver affordable energy to consumers."

"In New Mexico, oil and natural gas produced on BLM's multiple-use public lands in turn fund our public schools, roads, and essential community services," said Missi Currier, President and CEO of the New Mexico Oil and Gas Association. "That's because nearly half of the federal royalties flow back to the state. That revenue depends on BLM's ability to process permits in a timely, predictable way. The Permit Processing Improvement Fund helps ensure federal offices like Carlsbad and Farmington have the staff and expertise to keep responsible development moving, even when workloads spike. We appreciate Rep. Kennedy's leadership in reauthorizing PPIF so New Mexico's students and communities can continue to benefit from energy produced on nearby federal lands."

PPIF Letter of Support

Background

The Application for Permit to Drill (APD) fee program was first established by Congress in 2004 to help the Bureau of Land Management (BLM) process drilling permits more efficiently using industry-funded fees. Since its creation, the program has helped reduce backlogs, streamline approvals, and support domestic energy production across sectors that everyday Americans depend on.

Under current federal law, companies seeking to drill for oil or gas on public lands must submit an APD to the BLM. That process includes environmental reviews and coordination across multiple agencies. The APD fee program requires applicants to pay a fee at the time of submission, directly funding the staffing and resources the BLM needs to review and process those permits efficiently.

Americans feel permitting inefficiency at the pump, in their utility bills, and in the jobs that never get created. Meeting America's growing energy demands requires investment across all sectors, and that starts with a permitting system that can keep pace. This bill directs 100% of APD fees to the BLM Permit Processing Improvement Fund (PPIF) for fiscal years 2027 through 2037, ensuring every dollar collected goes directly toward faster, more efficient permitting for domestic energy development.

Read the full bill text here.