[Federal Register Volume 59, Number 135 (Friday, July 15, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-17228]
[[Page Unknown]]
[Federal Register: July 15, 1994]
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DEPARTMENT OF THE INTERIOR
Bureau of Indian Affairs
25 CFR Ch. I
Minerals Management Service
30 CFR Ch. II
Geological Survey
30 CFR Ch. IV
Bureau of Mines
30 CFR Ch. VI
Office of Surface Mining Reclamation and Enforcement
30 CFR Ch. VII
National Park Service
36 CFR Ch. I
Office of the Secretary
43 CFR Subtitle A
48 CFR Ch. XIV
Bureau of Reclamation
43 CFR Ch. I
Bureau of Land Management
43 CFR Ch. II
Fish and Wildlife Service
50 CFR Chs. I and IV
Review of Existing Significant Regulations
AGENCY: Office of the Secretary, Interior.
ACTION: Notice with request for comment.
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SUMMARY: Pursuant to Executive Order 12866 (the ``Order''), the
Department of the Interior (``DOI'') announced its intent on March 1,
1994, to establish periodic reviews of all ``significant'' regulations
published by the Department (59 FR 9718). The purpose of these reviews
is to ensure that all significant DOI regulations are efficient and
effective, impose the least possible burden upon the public, and are
tailored no broader than necessary to meet the objectives of the
program being implemented.
The Department has determined to review a number of its
regulations. Some are being reviewed based upon the Department's
examination of its regulatory program. Others are being reviewed in
response to the comments received on the March 1 notice (the
``Notice''), or will be reviewed in the course of upcoming rulemakings
or other proceedings. The purpose of this notice is to inform the
public of which regulations are being reviewed at this time, to briefly
discuss the comments received pursuant to the March 1 Notice, and to
invite specific, detailed comments on how the regulations under review
may be revised.
This notice discusses regulations issued by the Bureau of Land
Management, the Office of Surface Mining Reclamation and Enforcement,
the Minerals Management Service, the Bureau of Indian Affairs, and the
Bureau of Reclamation. Other bureaus and offices are not discussed
because no comments were received regarding their regulations, and it
was determined that either they have no significant regulation or
review is not appropriate at this time. If you disagree and feel that
these bureaus and offices have regulations that should be reviewed at
this time, please contact the Office of Regulatory Affairs at the
address below. Similarly, if there are any concerns regarding the plans
or analyses set forth below by the various Departmental bureaus and
offices, please also contact the Office of Regulatory Affairs.
DATES: Written comments must be received by October 13, 1994.
ADDRESSES: Please send written comments to Bill Vincent, Deputy
Director, Office of Regulatory Affairs, Department of the Interior,
Mail Stop 6214 MIB, 1849 C Street, NW., Washington, DC 20240.
FOR FURTHER INFORMATION CONTACT:Bill Vincent, Deputy Director, Office
of Regulatory Affairs, phone (202) 208-5271.
SUPPLEMENTARY INFORMATION: The following is a discussion of the
regulations that currently are scheduled for review as well as the
comments received in response to the March 1 notice.
Bureau of Land Management (``BLM'')
After assessing its regulatory program and reviewing the comments
received in response to the Notice. BLM plans to review the following
regulations contained in 43 CFR: Part 1600 (Planning, Programming,
Budgeting); Group 3200 (Geothermal Resources Leasing); Group 3400 (Coal
Management); Group 3600 (Mineral Materials Disposal); and Group 8300
(Recreation Management). Specific comments are requested on these
provisions. The following is a discussion of comments received in
response to the Notice.
Comments From the Geothermal Energy Industry
Five comments came from companies producing or seeking to produce
geothermal energy. The thrust of all of the comments was that the BLM
should expedite publication of geothermal resources leasing and
operations regulations that have been in development for several years.
These regulations were removed from the Semiannual Agenda of Federal
Regulations (the ``Agenda'') last winter because we were unable to
forecast with precision when work on the rule would be completed. This
rule will be restored to the Agenda this summer, and internal review of
the rule should begin in October 1994.
Two of these comments suggested that a series of industry-
government forums should take place on these regulations, and an
industry-government task force should be formed to monitor them and
prepare the rule. We will consider the use of such forums during the
public comment period on the proposed rule, but any group formed to
reach consensus on a proposed rule must be in compliance with the
Federal Advisory Committee Act.
One of the geothermal comments also mentioned other regulations as
possible candidates for review: 43 CFR Part 1600--Planning, Programming
and Budgeting, and 43 CFR Part 2800--Rights-of-way. As mentioned above,
BLM plans to review the planning regulations, and draft revised
regulations are in preparation. They will be restored to the Agenda
when it is updated this summer.
There are no current plans to review or amend the general right-of-
way regulations implementing Title V of the Federal Land Policy and
Management Act of 1976 (FLPMA) or Section 28 of the Mineral Leasing
Act. Two current rules on rights-of-way are in review: regulations on
rights-of-way under R.S. 2477, a major DOI priority, and fee schedule
regulations for nonlinear communication site rights-of-way, which are
of interest in the Congress. Reviews will not begin until those two
rules are finalized.
Comments From the Oil and Gas Industry
Two commenters suggested review of regulations on archaeological
and cultural resource clearances for mineral leasing activities on BLM
and split-estate lands. The regulations referred to in this comment are
issued by the Advisory Committee on Historic Preservation and
implemented by BLM in cooperation with State Historic Preservation
Officers. They are not subject to review or amendment by BLM, and
comments will be forwarded to the Committee.
The commenters also suggested that lease terms and rental payments
be suspended pending environmental reviews, and that BLM should not
consider exploration and production wastes as hazardous under the
Comprehensive Environmental Response, Compensation, and Liability Act
of 1980, or the Resource Conservation and Recovery Act of 1976. They
urged completion of rules revising Onshore Oil and Gas Order No. 1--
Approval of Operations, Order No. 8--Well Workovers, Completions,
Abandonments, and a rule relating to BLM responsibilities as to oil and
gas operations on Forest Service lands.
These suggestions are not related to the review of existing
significant regulations and therefore fall outside of the scope of the
Order. Nevertheless, the following is a brief statement regarding
current efforts for some of the suggestions. The rule regarding Order
No. 1 will be restored to the Agenda when the program office has
finished its review of the draft prepared by BLM's standing field
committee on operations. The rule regarding Order No. 8 is undergoing
review within BLM. The rule relating to Forest Service lands is
undergoing review within the Department's Solicitor's Office.
One commenter suggested that oil and gas lease terms and rental
payments be automatically suspended pending environmental reviews
affecting a particular lease or unit. The current regulations at 43 CFR
3103.4-2 allow such suspensions, at the discretion of the authorized
officer, for the purpose of conserving natural resources. Although this
suggestion might be considered in a future review, making such a
suspension automatic would make the process susceptible to abuse. It
might allow extensions of leases that are not being actively developed
without proof that the environmental review prevents ongoing or
imminent development or somehow threatens natural resources. Without
further persuasion from the public, this suggestion likely will not be
adopted.
The comment regarding whether oil and gas wastes are hazardous has
long been a matter of controversy. The matter has not yet been resolved
conclusively in the courts, and may not be until the laws involved are
reauthorized in the Congress. We are continuing to work with industry
to resolve this issue.
One commenter requested to be involved in the preparation and
distribution of BLM's Instruction Memoranda. This is a matter for
review in the process of reducing our internal directives pursuant to
Executive Order 12861, and will be considered then. Specific
suggestions for revising BLM instruction manuals may be sent to the
Office of Regulatory Affairs at the address set forth in the beginning
of this notice.
One commenter urged that environmental impact statements
(``EIS's'') on rights-of-way on public lands for projects that are
otherwise wholly on private lands be limited strictly to a
consideration of their environmental impacts on the public lands
crossed by the rights-of-way. This would be counter to our
interpretation of the National Environmental Policy Act of 1969
(``NEPA''), which requires that all effects of a project be considered
in reviewing the Federal aspects of the project.
The commenter also urged that categorical exclusions from
environmental review be applied more liberally to activities such as
geophysical exploration and drilling permit applications, which it
characterizes as having minimal impact. At 43 CFR 3162.5-1, BLM's
regulations require an environmental record of review or an
environmental assessment to determine whether an EIS is required and
what terms and conditions need to be included in approved plans. Again,
NEPA requires that all effects of a project be considered in reviewing
the Federal aspects of the project. Further, the Department's Solicitor
has advised BLM to limit its use of categorical exclusions.
Nevertheless, categorical exclusions are listed in the appendix to the
Departmental Manual, and may be subject to our review of internal
directives under E.O. 12861.
The commenter also suggested that BLM apply Administrative
Procedure Act procedures (i.e., public notice and comment) to BLM State
and District Office issuance of Notices to Lessees, and that oil and
gas lease parcel stipulations identify, by specific legal description,
the lands covered. The latter is a matter that can be covered in the
review of internal directives. The former have not been routinely
published in the Federal Register for public comment because of their
geographically limited effect. In any event, these are not topics for
periodic review of significant regulations.
Finally, a review of 43 CFR Group 3100 was requested. These rules,
however, currently are being reviewed through the National Performance
Review. The National Performance Review has identified broad aspects of
the onshore oil and gas program as candidates for process re-
engineering. Implementation teams have been established to evaluate
comments received from outside groups and Federal employees on ways to
streamline procedures and make them more effective. It is likely that
these teams will recommends changes to one or more sections of the
onshore oil and gas regulations as a result of their evaluations.
Consequently, no further review is necessary at this time.
Comments From the Coal Industry
A coal industry commenter made two specific recommendations
regarding BLM's coal management regulations: (1) that BLM reinstitute a
rulemaking that was withdrawn from review in 1993 that would have
rendered all coal lease decisions and approvals in full force and
effect pending appeal: and (2) that BLM discontinue its current
rulemaking that would amend coal logical mining unit (``LMU'')
procedures. Neither recommendation relates to periodic review of
existing regulations. Further, following the recommendations would
reverse two policy decisions of the administration. Nevertheless, the
program office is reviewing the entire group of coal management
regulations at this time. A proposed rule that will include the LMU
proposal and other coal management provisions will be scheduled in the
upcoming Agenda, revising the current entry for the LMU rule.
Miscellaneous
One commenter provided a list of regulations that, in the
commenter's view, adversely affect ``in a material way the economy, a
sector of the economy, productivity, competition, jobs, the
environment, public health safety (sic), or State, local, or tribal
governments, or communities.'' Each of the following paragraphs is
devoted to the successive parts of Title 43 suggested by this commenter
for review.
1700--Program Management. This Group is divided into two parts,
1720--Programs and Objectives, and 1780--Cooperative Relations. The
former part was removed from the Code of Federal Regulations in a final
rule published on June 6, 1994 (59 FR 29205). The latter, which
contains the regulations on advisory committees, was proposed to be
substantially revised as part of the proposed rule on rangeland reform,
published on March 25, 1994 (59 FR 14314). No further review of these
regulations is necessary.
2400--Land Classification. Proposed legislation that would make
these regulations unnecessary is being drafted in BLM. Further, a
proposed rule amending this part currently is being reviewed by the
Department's Solicitor's Office. It was removed from the most recent
edition of the Agenda because of uncertainty regarding when review
would be complete.
3000-3800. This grouping includes all of the mineral development
regulations of BLM. Of these, Group 3400--Coal Management is now being
reviewed, as stated above, and review should be completed and lead to
new regulations before 1996. Group 3200--Geothermal Resources Leasing,
as stated above, is being reviewed, and a proposed rule will be
scheduled in the upcoming Agenda.
In addition, all of the minerals regulations except for those
governing mining under the mining law are being reviewed for purposes
of revising or adding provisions for recovery of administrative costs.
A proposed rule was drafted in 1993, but was withdrawn because of
questions regarding supporting data that arose during internal review.
New rules amending some of the cost recovery provisions relating to oil
and gas exploration (part of Group 3100) and non-energy leasable
minerals (Group 3500) may be added to the upcoming Agenda, depending on
policy decisions to be made at the DOI level and involving the Office
of the Inspector General.
Several rulemaking efforts amending portions of Groups 3700 and
3800, relating to the mining law, have been suspended pending the
development of mining law reform legislation in the Congress. Moreover,
the regulations in Group 3600--Mineral Materials Disposal, were the
subject of a final rule prepared in 1992. This rule was suspended upon
the change of Administrations in 1993, and the regulations in this
group are now being reviewed, partly in response to audits by the
Office of the Inspector General, and for purposes of updating the
regulations and improving efficiency. This review should be concluded
by 1996.
4100--Grazing Administration. These regulations have been subject
to internal and DOI review, and intense public scrutiny, during the
last 12 months. A rule amending them is now among the highest
priorities of the Secretary of the Interior, and a proposed rule was
published on March 25, 1994 (59 FR 14314). There is no need for further
review of these regulations under Section 5 of the Executive Order.
5000-5510. This grouping comprises the entire Forestry Program
regulations of BLM, including those on free use of vegetative
resources. The regulations governing these programs have been
undergoing continual informal review over the past decade and close
public scrutiny and intense interest during the past 18 months
surrounding the formulation of the Secretary's Forest Plan. As problems
are disclosed, either through informal public input or internal review,
and as legislation is enacted, rules have been proposed and promulgated
dealing with them. There currently are two rules undergoing review, one
proposing regulations on export and substitution of timber, and the
other promulgating regulations on trespass. We would be happy to
consider specific public comments on needed changes in the forestry
regulations, but there are no plans for systematic review of these
regulations in the next 2 years, especially in light of possible
funding and personnel cuts in this program.
6220--Wildlife Management. There are no regulations in this part
except for a single paragraph stating a purpose for regulations on
primitive areas, scenic corridors and buffer zones, and wild and scenic
rivers. It is not clear why the commenter listed this provision as
significant, but it is certainly a good candidate for removal as
serving no purpose.
8300--Recreation Management. The portions of the recreation
management regulations on prohibited acts are currently undergoing
review as part of the projected overhaul of the law enforcement
regulations in part 9260. In addition, the entire recreation management
part will be reviewed for purposes of efficiency and streamlining in
the next 2 years. Comments from the public regarding this review are
welcome.
8400--Visual Resource Management [Reserved] and 8600--Environmental
Education and Protection [Reserved]. There are no regulations at all in
these groups, and it is not clear why the commenter listed these parts.
The headings and part numbers are merely reserved for possible future
use.
8500--Wilderness Management. The wilderness management regulations
were thoroughly reviewed by BLM in 1992-93, and a proposed rule
updating certain provisions is awaiting review in the Office of the
Solicitor. Publication of the proposed rule will afford the public an
opportunity to make further suggestions.
9210--Fire Management. There are no current plans to review the
fire management regulations. The program office currently is reviewing
its internal Manual and other guidance. Moreover, most fire management
initiatives arise from State and local governments, and are carried out
through cooperative agreements and memoranda of understanding. We do
not view these regulations as significant under the terms of the
Executive Order, but would be happy to accept specific comments from
the public as to how they may be improved. We do not anticipate a
formal review, however, unless comments arrive informing us of problems
with the current regulations.
The commenter also suggested a procedure for conducting periodic
review of existing regulations. He suggested that ``DOI held numerous
public hearings in each of the States which are affected by these
regulations'' and that ``DOI meet separately with each individual
county together with the businesses and industries within that county
which are affected by these regulations.'' In the BLM we meet
constantly with the public, formally and informally, at all levels of
the organization. To institutionalize such meetings in every county for
this periodic review, however, would be enormously expensive and time
consuming. BLM therefore is strongly opposed to such a procedure.
Summary
The following BLM regulations in Title 43 of the Code of Federal
Regulations are scheduled for review and specific, detailed
recommendations on how these regulations should be amended are invited.
Part 1600--Planning, Programming, Budgeting
Group 3200--Geothermal Resources Leasing
Group 3400--Coal Management
Group 3600--Mineral Materials Disposal
Group 8300--Recreation Management
The following regulations will not be reviewed in the immediate
future because reviews have been completed, proposed rules amending
them either have been published or are expected to be published, or
because legislation is pending.
Group 1700--Program Management
Group 2400--Classification
Group 3700--Multiple Use; Mining
Group 3800--Mining Claims under the General Mining Law
Group 4100--Grazing Administration
Group 8500--Wilderness Management
The following regulations are not scheduled for review, although
comments addressing them are welcome:
Part 9210--Fire Management
The following regulations are not scheduled for review and comments
are not being solicited through this notice because rules or reviews
currently are underway in those areas:
Group 2800--Use; Rights-of-Way
Group 3100--Oil and Gas Leasing
Group 3500--Management of Solid Minerals Other Than Coal
Group 5400--Sales of Forest Products
Group 5500--Nonsale Disposals
Bureau of Reclamation
The Bureau of Reclamation (Reclamation) received no comments in
response to the Department's March 1 Notice. Nevertheless, it has
identified six significant regulations that meet the Order's criteria
for a significant regulation, and each of these regulations will be
reviewed. These regulations are:
(1) 43 CFR part 413 (assessment by irrigation districts of lands
owned by the United States, Columbia Basin Project, Washington);
(2) 43 CFR part 417 (procedural methods for implementing Colorado
River water conservation measures with lower basin contractors and
others);
(3) 43 CFR part 418 (Newlands Reclamation Project, Nevada; Truckee
River Storage Project, Nevada; and Washoe Reclamation Project, Nevada-
California (Truckee and Carson River Basins, California-Nevada);
Pyramid Lake Indian Reservation, Nevada; Stillwater Area, Nevada);
(4) 43 CFR part 424 (regulations pertaining to standards for the
prevention, control, and abatement of environmental pollution of
Conconully Lake and Conconully Reservoir, Okanogan County, Washington);
(5) 43 CFR part 426 (rules and regulations for projects governed by
Federal Reclamation Law, which currently are being reviewed and
revised; and
(6) 43 CFR part 431 (general regulations for power generation,
operation, maintenance, and replacement at the Boulder Canyon Project,
Arizona/Nevada).
Reclamation will conduct a review of each of these regulations. Any
revisions will be published in the Federal Register with a 60-day
period for public comment.
Regulation 43 CFR 426 is in the process of being rewritten. The
proposed rule is scheduled for completion in December 1994, and the
final rule is scheduled for completion in August 1995. The remaining
rules will be reviewed as expeditiously as possible, and completion of
the review and any appropriate revisions will be no later than June 30,
1996.
Office of Surface Mining Reclamation and Enforcement (``OSM'')
OSM received several comments in response to the Notice. Based upon
these comments and an independent assessment of its regulatory program,
OSM is conducting, or will conduct, reviews of several existing
significant regulations. The following is a brief discussion of the
comments received and the reviews that will be conducted.
Definition of Valid Existing Rights
OSM received a number of comments regarding the definition of valid
existing rights. A rulemaking currently is being conducted regarding
this definition, and no further review is necessary at this time. A
notice of intent to prepare an environmental impact statement was
published in the Federal Register on April 28, 1994, and the comment
period on this notice expired on June 30. OSM is examining the comments
and is proceeding with preparation of the statement and the rule.
Federal Oversight/Enforcement of Approved State Programs (Sections 842,
843)
One commenter recommends that OSM repeal 30 CFR 843.12(a)(2) to
eliminate Federal NOV authority in primacy States. These regulations,
however, currently are being litigated. OSM does not intend to take any
further action until a court decision is issued.
The commenter also recommends that OSM require citizens to exhaust
the State program citizen complaint process before any Federal
involvement or use of ten-day notices. The commenter further recommends
that OSM limit citizen review of State permitting decisions to those
procedures established under State programs for that purpose, and
eliminate use of ten-day notices to address State permitting issues.
OSM has established two task forces which currently are studying
the entire citizen complaint and ten-day notice processes. This study
includes a review of the specific concerns raised by the commenter. The
efforts of these task forces may culminate in recommended changes, and
OSM does not intend to undertake any further action until the studies
are completed.
Revegetation Success Standards (Sections 816.116/817.116)
A commenter identified three areas of the revegetation success
standards for change: 1) The requirement to obtain approval from other
agencies for planting and stocking plans; 2) the requirement that
husbandry or conservation practices be approved through the State
program amendments process; and 3) the requirement that OSM-approved
statistically valid measurement techniques be used in evaluating
revegetation success.
OSM will review the regulations to determine the need to propose
rulemaking. Public comments are requested regarding modification to the
Revegetation Success Standards for sections 816.116 and 817.116. Review
of the regulations will commence by October 1, 1994.
Hydrology: Water Quality (Sections 816.42/817.42, 782.21(j)/784.14(i))
A commenter asked OSM to delete cross references to 816.42 (which
cites effluent guidelines at 40 CFR part 434) in favor of the statement
``* * * capable of meeting EPA's effluent guidelines.'' Any rule
change, however, requires the concurrence of the Environmental
Protection Agency (EPA). OSM therefore intends to enter into
discussions with EPA and review the current Hydrologic standards at
sections 816.42, 816.46/817.42, 817.46. Public comments are requested
regarding these hydrologic standards. Review of the regulations will
commence by October 1, 1994.
Air Monitoring Program (Sections 780.15/784.26)
A commenter noted that fugitive and other emissions at mines fall
within EPA's authority under the Clean Air Act and should not be
regulated by OSM. The commenter also noted that SMCRA only provides
authority to deal with erosional aspects of air pollution.
The existing OSM permitting requirements were promulgated in 1979.
Subsequently, the corresponding performance standards governing air
quality were revised. OSM considers it appropriate, therefore, to
review these permitting regulations. Public comments are requested
regarding these requirements at sections 780.15 and 784.26. Review of
the regulations will commence by October 1, 1994.
Roads (Sections 816.150, 816.151, 817.150, 817.151)
One commenter suggested that existing road design standards need to
be deleted because the primary road category is so broadly defined that
it subjects temporary roads and insignificant travel routes to
expensive highway design standards. The commenter further suggested
that the foundation and embankment testing requirements and drainage
design requirements are costly and unnecessary, and that they should be
replaced with general criteria for roads based upon prudent engineering
practices and best management practices. The commenter also noted that
OSM should refrain from exerting jurisdiction over public roads.
OSM does not believe there is sufficient justification to review
the existing regulations regarding road design standards. OSM believes
its existing standards, which are implemented through a two-tiered
classification system, adequately address the commenters concerns. OSM
plans, however, to undertake rulemaking to address the jurisdictional
question.
Regulations Concerning Ownership and Control, Permit Information, and
Permit Rescission
Commenters suggested that OSM review regulations concerning
ownership and control, permit information, and permit rescission. These
regulations currently are being litigated and/or are in the process of
being revised. OSM does not intend to take any further action until
pending issues are decided.
Water Impoundments/Sedimentation Ponds (Sections 816.49/817.49, 780.25/
846.16)
A rulemaking currently is being undertaken and no further review is
expected at this time. A final rule entered internal review within OSM
on February 7, 1994.
Backfilling and Grading--Nationwide Time and Distance Standards
A commenter raises the same issues on the relevance of a time
standard and the practicality of establishing national standards for
area and contour mining due to the variability in geology, equipment,
mining methods, and market conditions as it previously did in its May
25, 1993, report. OSM already has commenced a rulemaking in this area
and no further review is required.
Backfilling and Grading--Underground Mines (Sections 817.102/106)
A commenter recommends revising existing regulations requiring the
elimination of the ``highwall'' at underground mine openings. The
commenter notes that OSM's rules on highwall elimination and
approximate original contour restoration should reflect the statutory
and operational differences between surface and underground mining. The
commenter recommends that OSM revise the regulations to clarify that
the underground performance standards in section 516(b)(2) are the
relevant standards governing the reclamation of mine openings and avoid
the wholesale incorporation of surface mining requirements.
OSM is currently reviewing its Backfilling and Grading rule and
will shortly implement an outreach plan to discuss certain topics.
Public comment regarding OSM rules for backfilling and grading
highwalls for underground mines will be welcome at that time.
Historic Properties (Sections 779.12(b)/7832.12(b)
A commenter recommends that the rules should provide, with greater
clarity and certainty, a threshold of information necessary before the
State Historic Preservation Officer (``SHPO'') and regulatory authority
can order field investigations and surveys to identify the possible
existence of important cultural and historic resources. The SHPO should
be subject to a higher burden for its recommendations so that available
information discloses a substantial likelihood that cultural and
historic resources eligible for listing in the National Register are
present on the mine site.
OSM currently is pursuing a programmatic agreement with the
Advisory Council on Historic Preservation that will address the issues
raised by the commenter. A notice announcing the availability of the
programmatic agreement and requesting comments was published in the
Federal Register on June 16, 1994.
Transfer, Assignment, and Sale of Permits (Section 774)
Comments suggested that rules relating to the transfer, assignment,
and sale of permits be reviewed. A rulemaking currently is being
undertaken and no further review is necessary.
Abandoned Mined Land Fee Reauthorization Implementation
A commenter recommends not finalizing that aspect of the proposed
rule on the new reporting requirements until it has conducted a burden
analysis and discussed with the coal industry a more realistic and less
costly approach for gathering information. For example, OSM should
clarify that the lessees of the coal are the owners for purposes of
identifying the owners of the coal on the AML form.
A final rule was published in the Federal Register on May 31, 1994.
Extensive outreach efforts were conducted with States and Tribes and
constituent groups prior to the drafting of the proposed rule. Further,
the proposed rule was subject to an extended public comment period via
the Federal Register process. All comments received were evaluated
carefully and responded to as appropriate in the final rule, including
responding to a lengthy comment that included references to the
reporting burdens of industry as related to threshold reporting
requirements. Specifically, the final rule at 30 CFR 870.5 addressed
the coal ownership concern by specifying that, ``(i)f there are several
persons who have successfully transferred the mineral rights,
information shall be provided on the last owner(s) in the chain prior
to the permittee, i.e., the person or persons who have granted the
permittee the right to extract the coal.''
Minerals Management Service
The Minerals Management Service (``MMS'') received approximately 40
public comments on the Notice. The commenters cited specific sections
of the regulations and stated what was, in their opinion, wrong with
the regulation and recommended how to fix it. Since the comments were
very specific they will be very useful to MMS. The comments were also
very constructive and we encourage the continued use of this open
dialogue.
The comments were almost equally divided between MMS' Offshore
Minerals Management operation and its Royalty Management Program.
Discussed below are those comments that MMS either already has started
some action, or intends to initiate some type of action in the near
future. In keeping with the need to avoid paperwork and regulations,
MMS will seek non-regulatory solutions wherever possible.
If issues raised by commenters are not covered by one of the listed
areas, MMS will conduct a separate review and obtain input from other
offices in headquarters and the Regions. For example, MMS will address
concerns expressed in a letter from the Wilderness Society about the
public input process.
Offshore Minerals Management (``OMM'') Program
In response to the public comments received on the Notice, the OMM
Program plans to review the following four sections of OMM regulations.
The first three areas involve ongoing reviews that will be expanded to
cover additional provisions as a result of the comments received in
response to the Notice.
1. Regulations applicable to production in deep water. (30 CFR Part
250, Subpart H, Production)
Comments Received--(a) ``Revise current regulations to provide for
approval of extended flaring periods under certain situations (e.g.,
deepwater prospects, well tests, etc.) and clarify criteria for flaring
or venting small amounts of gas.''
(b) ``Revise requirements associated with subsea installations such
as valve arrangement and closure time requirements for USV's and
associated SCSSV's.''
Action Planned--Formation of a Task Force to evaluate deepwater
issues.
Timetable--Task Force expected to complete a draft report in July
or August 1994.
2. Regulations applicable to blowout preventer (``BOP'') test
procedures and frequency. (30 CFR 250.56 and 57)
Comments Received--``Revise BOP testing regulations to allow for
less frequent and shorter tests. Allow 14 day BOP test interval vs.
current 7 day * * *''
Action Planned--The MMS has established a workgroup to study BOP
system maintenance and reliability. The workgroup is also looking at
testing times.
Timetable--The workgroup expects to complete data analysis by
November 1994.
3. Regulations governing safety and pollution prevention equipment.
(30 CFR 250.126)
Comments Received--``Reduce associated administrative burden on
lessees and operators by eliminating unnecessary record keeping
requirements (i.e., inventory lists, paperwork notifications, etc.).''
Action Planned--MMS intends to use a negotiated rulemaking as part
of this review.
Timetable--A ``Convener'' has been appointed and has initiated
discussions with interested parties. The first meeting of the
participants is planned for September 1994.
4. Regulations governing conservation of resources and diligence.
(30 CFR Part 250. Subpart K, Oil and Gas Production Rates and Subpart
M, Unitization).
Comments Received--(a) ``Revise Suspension of Production approval/
lease holding criteria * * *'', (b) ``Relax restrictions on commingling
reservoirs in a common wellbore * * *'', (c) ``revise current
regulations to provide for approval of extended flaring periods * *
*'', etc.
Action Planned--Initiate a review of the issues raised. Review may
consist of forming a workgroup.
Timetable--Begin review in Fall of 1994.
Royalty Management Program (``RMP'')
The RMP plans to review the following regulations:
1. Regulations applicable to valuation of oil and gas produced from
unitized/ communitized properties (Take vs Entitlements). Also,
regulations applicable to non-arm's length sales. (30 CFR 202)
Comments Received--``Regulations concerning Takes vs. Entitlements
are confusing and make compliance difficult * * * valuing gas under a
non-arm's length transaction is burdensome * * *''
Action Planned--Form a workgroup with representation from various
sources to arrive at a consensus and develop a Negotiated Regulation.
Timetable--First meeting of participants in the negotiated
rulemaking process was held in Denver, Co. on June 15, 1994.
2. Regulations clarifying the responsibilities of payors and
lessees. (30 CFR 218 and 211)
Comments Received--``Existing regulations are unclear as to the
obligations and liabilities of payors and lessees.''
Action Planned--A workgroup has been assembled to review the
options associated this issue.
Timetable--A Proposed Rule on Payor Responsibilities is being
drafted. Projected publishing date is late 1994.
3. Regulations establishing procedures for obtaining refunds and
credits of excess payments made under Federal mineral leases on the
Outer Continental Shelf (OCS) which are subject to section 10 of the
OCS Lands Act. (30 CFR 230)
Comments Received--``Industry has difficulty complying with 2 year
limitation on refunds * * *.''
Action Planned--Regulations have been drafted to address certain
aspects of section 10 refunds.
Timetable--A Final Rule on Offsets, Recoupments and Refunds of
Excess Payments of Royalties, Rentals, Bonuses, or Other Amounts under
Federal offshore Mineral Leases. Projected publishing date is Fall
1994.
4. Streamlining the MMS Administrative Appeals process. (30 CFR
290)
Comments Received--The process has been criticized for taking too
long.
Action Planned--A couple of studies have been performed to review
the different core processes in the Appeal function. Some streamlining
revisions have been implemented and further studies are continuing.
Timetable--Review and streamlining of appeals process is ongoing.
Meetings are being held and internal processes being reviewed. Most
recent effort is determining whether Alternative Dispute Resolution
could be an effective tool in the Appeal process.
Bureau of Indian Affairs (``BIA'')
BIA received no comments in response to the Notice. Nevertheless,
BIA will review the following regulations: 25 CFR Part 169 (rights-of-
way over Indian lands); 25 CFR Part 152 (issuance of patents in fee,
certificates of competency, removal of restrictions, and sale of
certain Indian lands); 25 CFR Part 168 (grazing regulations for the
Hopi Partitioned Lands area); and 25 CFR Part 83 (procedures for
establishing that an American Indian group exists as an Indian tribe).
Each regulation will be reviewed before December 31, 1994 to
determine whether it should be revised. The reviews will be held during
a joint meeting between the Division of Management Support, the
Solicitor's Office and the related program office. Results of the
reviews shall be submitted in writing from the Division of Management
Support to the Department's Office of Regulatory Affairs as soon as
possible after the conclusion of the last review meeting.
Dated: July 1, 1994.
Bill Vincent,
Deputy Director, Office of Regulatory Affairs.
[FR Doc. 94-17228 Filed 7-14-94; 8:45 am]
BILLING CODE 4310-10-M
