Analyst Brief June 01, 2026

H.R. 7831 — License to Drill Act

Executive Summary

The 'License to Drill Act' (H.R. 7831) extends the Bureau of Land Management's (BLM) authority to collect fees for oil and gas drilling permit applications from 2026 to 2037. Crucially, it directs 100% of these collected fees into the BLM Permit Processing Improvement Fund for fiscal years 2027 through 2037. By ensuring these user fees bypass the general treasury and directly fund the permitting bureaucracy, the bill aims to eliminate administrative bottlenecks, accelerate domestic energy production, and provide long-term regulatory certainty for the oil and gas industry operating on federal lands.

Arguments For

  • Accelerates Domestic Energy Production: By fully funding the BLM Permit Processing Improvement Fund, the bill ensures the agency has the dedicated staff and resources to process drilling permits quickly, reducing bureaucratic backlog.
  • Fiscally Responsible User-Fee Model: It maintains a system where the oil and gas industry directly pays for the administrative costs of their own permit processing, rather than relying on taxpayer-funded general appropriations.

Likely Supporters

RepublicansAmerican Petroleum Institute (API)Western Energy AllianceIndependent Petroleum Association of America (IPAA)

Arguments Against

  • Environmental Opposition: Critics will argue that streamlining and accelerating drilling permits on federal lands contradicts long-term climate goals and exacerbates fossil fuel reliance.
  • Loss of General Treasury Flexibility: Diverting 100% of these fees exclusively to the BLM Permit Processing Improvement Fund prevents those funds from being used for other federal priorities or deficit reduction.

Likely Opponents

DemocratsSierra ClubCenter for Biological DiversityEarthjustice

📋 Key Provisions

  • Extends the BLM's statutory authority to collect processing fees for new Applications for Permit to Drill (APDs) from 2026 to 2037.
  • Mandates that all APD fees collected between FY 2027 and FY 2037 be transferred directly to the BLM Permit Processing Improvement Fund, rather than being diverted elsewhere.
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Claim Analysis Page 3, Line 9

Extends the fee collection period to 2037.

Verify Text

"inserting ‘‘2037’’;"

Claim Analysis Page 3, Lines 16-19

Transfers all collected fees to the BLM Permit Processing Improvement Fund for FY 2027-2037.

Verify Text

"transfer, for each of fiscal years 2027 through 2037, all of the fees"