The GAO report, Federal Oil and Gas Royalties: Additional Actions Could Improve ONRRs Ability to Assess Its Royalty Collection Efforts,available at https://www.gao.gov/products/GAO-19-410, assesses ONRRs ability to ensure royalty compliance.
Among other provisions, the bill would have strengthened ONRRs oversight of royalty compliance and eliminate loopholes that could be used by the oil and gas industry to reduce revenue payments.
(58) Notably, the United States has spent more than three years working toward implementation of the Extractive Industries Transparency Initiative (EITI), "a global standard that promotes revenue transparency and accountability in the extractive sector" by requiring "report[s] in which governments and companies publicly disclose royalties, rents, bonuses, taxes and other payments from oil, gas, and mineral resources." (59) DOI has gone beyond the requirements of EITI and is planning to publish all revenue data collected by the ONRR from extractive companies operating on federal lands.
DOI should not lose the momentum it has created by transitioning from MMS to BOEM, BSEE, and ONRR. As BOEM and BSEE finalize the first tranche of regulatory reforms, they should lay the groundwork for broader reform.
Offshore Onshore Total) 2013 7,235,000 5,576,700 1,658,300 1,294,000 364,465 (23) 2012 6,241,000 4,598,000 1,643,000 1,303,300 339,700 (26.3) 2011 5,552,000 3,826,500 1,725,500 1,415,600 309,900 (31) 2010 5,438,800 3,463,700 1,975,100 1,680,300 294,800 (36.3) 2009 5,233,000 3,464,400 1,768,600 1,482,900 285,700 (33.8) Source: Federal data obtained from the Office of Natural Resources Revenue (ONRR
) Statistics, as of February 2014, http://www.onrr.gov (using sales year data), March 2014.
The MMS's functions have now been transferred to three separate organizations with clearly defined missions: the Bureau of Safety and Environmental Enforcement (BSEE); the Bureau of Ocean Energy Management (BOEM) (in charge of offshore leasing, resource evaluation and the review of exploration and development plans); and the Office of Natural Resources Revenue (ONRR
) (the revenue collection arm).
This money, disbursed by the Office of Natural Resource Revenue (ONRR), will go back to New Mexico to help fund teachers salaries, improve our roads, and develop our communities so people and businesses can have access to greater opportunities to succeed, Congressman Steve Pearce said.
ONRR disbursed nearly $1.44 billion of the FY 2017 energy revenues to 36 states, as their cumulative share of revenues collected from oil, gas, and mineral production on Federal lands within their borders and from offshore oil and gas tracts in Federal waters adjacent to their shores.
Building on this division, ONRR promulgated a series of new regulations designed to improve its revenue collection functions.
To address these shortcomings, DOI could carry out a broader reform process-one designed to advance the foundational changes that started when Secretary Salazar disbanded the Minerals Management Service and created BOEM, BSEE, and ONRR. While many aspects of DOI's OCS regulations should be revisited, (115) substantive changes to the regulations that govern the planning and leasing stages are particularly critical.
mineral valuation rule added more red-tape, complexity, and confusion to an already overly-complicated mineral valuation process, creating a disincentive for responsible development of our natural resources on federal land and ultimately hurting hardworking Americans and their families the most, Tipton stated.
has since identified several areas in the rule that warrant reconsideration to meet policy and implementation objectives.