BUDGET The United States

Department of the Interior

JUSTIFICATIONS

and Performance Information

Fiscal Year 2016

NOTICE: These budget

justifications are prepared

 for the Interior, Environment 

and Related Agencies 

Appropriations Subcommittees. 

Approval for release of the 

justifications prior to their 

printing in the public record of 

the Subcommittee hearings

may be obtained through

the Office of Budget of the 

Department of the Interior.

BUREAU OF 

SAFETY AND 

ENVIRONMENTAL 

ENFORCEMENT 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

BUREAU OF SAFETY AND ENVIRONMENTAL ENFORCEMENT
 

FY 2016 GREENBOOK
 

Table of Contents 

Bureau/Office-Level Presentation ............................................................................................................. x
 

Director’s Preface ..................................................................................................................................... 1
 

General Statement..................................................................................................................................... 3
 

Table 1: Summary of Budget Request ................................................................................................. 3
 

Table 2: Analysis of Budgetary Changes........................................................................................... 16
 

Secretarial Initiatives and Agency Priority Goals................................................................................... 21
 

Strategic Objective Performance Summary............................................................................................ 35
 

Table 3: Goal Performance Table ...................................................................................................... 37
 

Table: Budget At A Glance.................................................................................................................... 41
 

Account-Level Presentation ....................................................................................................................... x
 

Offshore Safety and Environmental Enforcement Appropriation......................................................... x
 

Table: Summary of Requirements ......................................................................................................... 43
 

Table: Fixed Costs and Internal Realignments ...................................................................................... 45
 

Language Citations ................................................................................................................................. 47
 

Appropriations Language ................................................................................................................... 47
 

Mandatory and Offsetting Collections Proposals ................................................................................... 51
 

Environmental Enforcement Activity-Level Presentation...................................................................... x
 

Table 4: Activity Budget Summary Table .............................................................................................. 53
 

Internal Transfers..................................................................................................................................... 53
 

Operations, Safety and Regulations Activity-Level Presentation........................................................... x
 

Table 5: Activity Budget Summary Table ............................................................................................... 55
 

Summary of BY Program Changes.......................................................................................................... 55
 

Justification of BY Program Changes...................................................................................................... 55
 

Internal Transfers..................................................................................................................................... 58
 

Program Overview ................................................................................................................................... 59
 

Performance Overview ............................................................................................................................ 60
 

Table 6: Performance Overview ............................................................................................................. 70
 

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Administrative Operations Activity-Level Presentation ......................................................................... x
 

Table 7: Activity Budget Summary Table .............................................................................................. 73
 

Justification of BY Program Changes...................................................................................................... 73
 

Internal Transfers..................................................................................................................................... 73
 

Program Overview ................................................................................................................................... 74
 

General Support Service Activity-Level Presentation............................................................................. x
 

Table 8: Activity Budget Summary Table ............................................................................................. 79
 

Internal Transfers..................................................................................................................................... 79
 

Executive Direction Activity-Level Presentation ..................................................................................... x
 

Table 9: Activity Budget Summary Table .............................................................................................. 81
 

Summary of BY Program Changes.......................................................................................................... 81
 

Justification of BY Program Changes...................................................................................................... 81
 

Internal Transfers..................................................................................................................................... 81
 

Program Overview ................................................................................................................................... 82
 

Account-Level Presentation ....................................................................................................................... x
 

Oil Spill Research Appropriation............................................................................................................ 85
 

Table: Summary of Requirements ......................................................................................................... 85
 

Language Citations ................................................................................................................................. 87
 

Appropriations Language ................................................................................................................... 87
 

Table 10: Budget Summary Table ......................................................................................................... 89
 

Justification of BY Program Changes..................................................................................................... 89
 

Program Overview .................................................................................................................................. 89
 

Performance Overview ........................................................................................................................... 89
 

Table 11: Performance Overview .......................................................................................................... 95
 

Appendices................................................................................................................................................... x
 

Section 403 Compliance ......................................................................................................................... 97
 

Employee Count by Grade.................................................................................................................... 103
 

MAX Tables.......................................................................................................................................... 105
 

Authorizing Statutes.............................................................................................................................. 111
 

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Table of Figures 

Figure 1: Ohmsett Facility..........................................................................................94 

Table of Tables 

Table 1: Summary of BSEE Budget Request.....................................................................3 

Table 2: FY 2016 Analysis of Budgetary Change...............................................................16 

Table 3: Goal Performance Table.................................................................................37 

Table 4: Environmental Enforcement Activity Budget Summary..........................................53 

Table 5: Operations, Safety and Regulation Activity Budget Summary...................................55 

Table 6: Performance Overview Table - Operations, Safety and Regulation.............................70 

Table 7: Administrative Operations Activity Budget Summary.............................................73 

Table 8: General Support Services Activity Budget Summary..............................................79 

Table 9: Executive Directions Activity Budget Summary.....................................................81 

Table 10: Oil Spill Research Appropriation Budget Summary Table......................................89 

Table 11: Performance Overview Table - Oil Spill Research Appropriation Overview...............95 

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Director’s Preface 

FY 2016 BUDGET JUSTIFICATIONS
 

Bureau of Safety and Environmental Enforcement
 

Director’s Preface 

As the Administration works to expand domestic energy production through President Obama’s “all-ofthe-above” strategy, the Bureau of Safety and Environmental Enforcement (BSEE) is taking the necessary 

steps to provide effective oversight of oil and gas development on the U.S. Outer Continental Shelf 

(OCS), promoting compliance with Federal regulations, and leading the offshore oil and gas industry 

toward a culture of safety and environmental protection. 

The 2016 BSEE budget fully supports the President’s strategy by ensuring that development of the 

Nation’s vast offshore energy resources is conducted in a safe and environmentally responsible manner. 

Funds will be used to support and recruit expert engineers, scientists, and oil spill planning, prevention, 

and response specialists to support the development of strong scientific information and the timely and 

thorough review of permits. 

In 2016, BSEE will continue to build a robust culture of safety, with a strong focus on risk reduction. 

Every decision and every action will be taken with the workers and the environment in mind. Risks to 

both will be appropriately balanced and mitigated. The Bureau will bolster its capacity for analyzing data 

gained through incident reporting requirements, near-miss reporting, and real-time monitoring. The 

Bureau will also continue to work with industry to better understand their safety processes, so that BSEE 

can mitigate and reduce risk. Through these initiatives and others, the Bureau will continue to ensure that 

offshore development occurs in a safe and environmentally responsible way. 

Bureau efforts are supported by two strategic goals: 

•	 Regulate, enforce, and respond to OCS development using the full range of authorities, policies, 

and tools to compel safety, emergency preparedness, and environmental responsibility, and 

appropriate development and conservation of the offshore oil and natural gas resources, and; 

•	 Build and sustain the organizational, technical, and intellectual capacity within and across 

BSEE’s key functions – capacity that keeps pace with OCS industry technological improvements, 

innovates in regulation and enforcement, and reduces risk through systemic assessment and 

regulatory and enforcement actions. 

These strategic goals guide BSEE’s decision-making and investment strategies. The 2016 budget request 

includes an increase of $1.7 million to support the evaluation of new and emerging technologies and 

develop associated safety and oversight protocols through the Engineering Technology Assessment 

Center, which provides a Bureau-wide focal point for emerging technology evaluation. The increased 

funding will add depth and capacity to the BSEE, so that as industry continues to innovate and develop 

new capabilities, the BSEE will be able to keep pace. The 2016 request also includes a program increase 

Bureau of Safety and Environmental Enforcement 1 
 

 

 

Director’s Preface 

of $750,000 for the Renewable Energy Inspection Program. The funding will support the timely 

development of regulations, inspection guidelines, procedures, and criteria for inspections of offshore 

renewable energy facilities so that the appropriate regulatory structure will be in place to protect the 

safety of these facilities as well as the environment. 

2 Bureau of Safety and Environmental Enforcement 
 

 

 

 

 

 

 

 

 

General Statement 

FY 2016 PERFORMANCE BUDGET REQUEST 

Bureau of Safety and Environmental Enforcement 

General Statement 

Table 1: Summary of BSEE Budget Request ($000) 

BSEE Summary 

($000) 

Account/Activity FY 2014 

Actual 

FY 2015 

Enacted 

FY 2016 

Request 

Changes 

from FY 

2015 

Offshore Safety & Environmental Enforcement (OSEE) 

Environmental Enforcement1 

Operations, Safety and Regulation 

Administrative Operations 

General Support Services2 

Executive Direction 

8,314 

132,207 

15,560 

13,513 

18,121 

8,314 

133,597 

15,676 

13,912 

18,227 

-

151,768 

18,268 

-

19,736 

-8,314 

+18,171 

+2,592 

-13,912 

+1,509 

Total, OSEE 187,715 189,726 189,772 +46 

Offsetting Collections 

Offsetting Rental Receipts 

Cost Recovery Fees 

Inspection Fees3 

-50,568 

-6,397 

-58,093 

-50,412 

-8,167 

-65,000 

-49,399 

-7,808 

-65,000 

+1,013 

+359 

-

Total, Offsetting Collections -115,059 -123,579 -122,207 +1,372 

Net, OSEE 72,656 66,147 67,565 +1,418 

Oil Spill Research 14,899 14,899 14,899 -

Current BSEE Funding 87,555 81,046 82,464 +1,418 

Total BSEE Funding 202,614 204,625 204,671 +46 

Full Time Equivalents (FTE) 

Total Direct FTE 

Total Reimbursable FTE (Reimbursable Agreements) 

693 

125 

744 

125 

756 

125 

+12 

-

Total FTE 818 869 881 +12 1/ The FY 2016 Request consolidates the Environmental Enforcement Activity into the Operations, Safety and Regulation Activity. 

2

/ The FY 2016 Request consolidates the General Support Services Activity into the remaining OSEE Activities. This realignment is 

calculated based on activity FTE levels. 

The Outer Continental Shelf (OCS) is a major source of energy for the United States. In calendar 

year 2013, OCS leases offshore California, Alaska, and in the Gulf of Mexico provided 480 million 

barrels of oil and 1.4 trillion cubic feet of natural gas, accounting for about 18 percent of the Nation’s oil 

production and about 5 percent of domestic natural gas production1

. 

The BSEE is responsible for the oversight of exploration, development, and production operations for oil 

and natural gas on the OCS. The BSEE’s regulation and oversight of Federal offshore resources is 

1 For additional details regarding OCS oil and gas production see: 

http://www.data.bsee.gov/homepg/data_center/production/ocsprod.asp 

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General Statement 

intended to that energy development on the OCS is conducted in a safe and environmentally responsible 

manner and that offshore operators are prepared to respond to an oil spill should one occur. 

The functions of BSEE include oil and gas permitting, facility inspections, regulations and standards 

development, safety research, data collection, technology assessments, field operations, incident 

investigation, environmental compliance and enforcement, oil spill prevention and readiness, review of 

operator oil spill response plans, oversight of production and development plans, and resource 

conservation efforts. 

FY 2016 BUDGET REQUEST 

The BSEE was established on October 1, 2011, to ensure the safe and responsible development of our 

Nation’s offshore energy resources. The BSEE’s continued focus is on safety and goes beyond simple 

compliance with regulations towards the adoption, by everyone, of a meaningful safety culture that 

permeates all offshore activities. The BSEE advocates that every decision and every action must be taken 

with offshore workers and the environment in mind and risks to both must be appropriately identified and 

mitigated. 

The BSEE promotes safety, protection of the environment, and the conservation of natural resources 

through vigorous oversight and enforcement. The BSEE continues to adapt its regulatory approach and 

oversight as offshore operations continue to expand and move into new environments and require new 

technologies. Programs have been established that will allow BSEE to identify, evaluate, and promote 

emerging technologies that will decrease risks associated with offshore oil and gas development while 

increasing safety for offshore workers. The BSEE undertakes research on new technologies, the results 

of which assists the Bureau in staying current with expanding operations, as well as new future activities 

on the OCS, such as inspecting proposed renewable energy projects and evaluating technological 

advances that allow for deeper drilling at higher temperatures and pressures. 

The BSEE is also leading the Nation in the development of new oil spill response planning standards that 

will improve offshore contingency planning. The BSEE has also established critical processes for oil 

spill response plan review and is a key participant and leader in all facets of the National Response 

System. Through BSEE’s collaborative activities with the U.S. Coast Guard (USCG), the National 

Oceanic and Atmospheric Administration, and the Environmental Protection Agency, improvements in 

Area Contingency Plans and Arctic common operating procedures are now a reality, as is the national 

recognition of the need for interagency coordination on all aspects of offshore oil spill response planning 

and preparedness. 

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General Statement 

During FY 2015, BSEE began an effort to strengthen internal controls and to better track and demonstrate 

results for these mission-critical operations. As a result, BSEE is identifying national program managers 

with direct lines of responsibility for managing major program functional areas. The goals of this effort 

are to promote transparency, consistency, predictability, and accountability for national programs, and 

consistently develop program policies, procedures, and accountability and performance measures for 

major program functional areas. 

Assessing and Managing Risk 

Risk management is an integral component of a safety culture. It is the lens through which BSEE views 

the interaction between technology, processes, and the human element. It also forms the foundation for 

how BSEE regulates and enforces standards. Risk management provides the basic framework through 

which BSEE approaches safety on the OCS. To better assess and manage risk, the Bureau has 

strengthened both its regulations and programs in the following areas: 

Environmental Preparedness: This includes preparedness in the event of a blowout and worst case 

discharge from an uncontrolled release. Deepwater operators are now required to have readily available 

the specialized equipment and systems necessary to control a subsea blowout, such as containment domes 

and capping stacks. Additionally, BSEE conducts annual table top exercises to test how quickly an 

operator can mobilize vessels, capping stacks, and specialized equipment needed to cap a well. The 

Bureau was also responsible for including new Incident Command System functions within the USCG 

Incident Management Handbook and the development of specific job aids to assist both the Federal 

government and private responders in understanding and incorporating these new functions into their oil 

spill response plans. 

Well Design: The BSEE published a drilling safety rule that required operators applying for a drilling 

permit to meet new standards for well design, casing, and cementing. The Bureau is in the process of 

finalizing a proposed production safety systems rule that will provide the first updates to regulations for 

production safety systems since the late 1980’s. 

Well Control: New rules that have been put in place strengthened requirements for blowout preventer 

(BOP) maintenance and testing. Additionally, BSEE expects to publish a comprehensive proposed rule in 

early 2015 that will address a myriad of systems and processes, including BOPs, involved in well control 

operations. This proposed rule is intended to account for all aspects of well control operations, which will 

reduce risks that could lead to the technical and operational failures such as those that resulted in the loss 

of well control and explosion aboard the Deepwater Horizon. 

Safety Culture: The Safety and Environmental Management System (SEMS) program is the cornerstone 

of BSEE’s hybrid regulatory approach, which combines prescriptive and performance-based rules. The 

goal is for the SEMS program to encourage the offshore oil and gas industry to adopt an approach to 

safety that looks beyond baseline compliance with regulations towards a safety culture that promotes 

continuous improvement in safety and environmental performance. The SEMS program is meant to be a 

tool through which companies actively manage and improve safety performance related to human 

behavior, organizational structure, leadership, standards, processes, and procedures – not simply a 

compilation of required documentation. 

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General Statement 

Arctic Exploration: As part of the Administration’s commitment to developing America’s domestic 

energy resources safely, the Department of the Interior (DOI) has proposed draft regulations to help 

ensure that any future exploration in the Arctic is done responsibly and subject to the highest safety 

standards. The draft regulations support the Administration’s coordinated and deliberative approach to 

the Arctic by requiring specialized practices for conducting exploratory drilling operations in the unique 

and challenging environment. The draft regulations utilize performance-based standards to ensure that 

operators have taken the necessary steps for proper internal controls and planning for oil spill prevention, 

containment, and response. 

Research and Collaboration: The newly established Offshore Energy Safety Institute (OESI) provides an 

independent forum for dialogue, shared learning, and cooperative research among academia, government, 

industry, and other stakeholders. The OESI is a neutral ground for the exploration of issues of offshore 

risk that are of common concern to industry and regulators. Although OESI was established by BSEE, it 

is not an extension of the Bureau. The BSEE operates as one of many participants, with others coming 

from industry and academia. Additionally, BSEE also participates in the Interagency Coordinating 

Committee on Oil Pollution Research (ICCOPR) which provides a forum for research collaboration that 

looks at oil spill prevention, preparedness, and response. The ICCOPR, which is comprised of staff from 

all Federal agencies and is a congressionally-mandated body, provides a venue in which agencies share 

their latest research, regulations, and policies; explore opportunities for collaboration on research; and 

identify emerging issues that need national attention. 

In addition to participating with OESI, BSEE is leveraging the resources of our interagency partners and 

working with others to conduct important research related to new and emerging technologies as well as 

operations in frontier areas to further our efforts to reduce risks across all offshore operations. The BSEE 

also conducts important oil spill response research, much of which is conducted at the Ohmsett facility. 

Ohmsett is the state-of-the-art, premier testing facility for offshore response technology and a world-class 

training site for oil spill response personnel. It provides the Bureau, as well as other facility users, a 

unique training environment that simulates real-world conditions in a safe and contained environment. 

Technology Assessment: The Engineering Technology Assessment Center (ETAC) will strengthen 

BSEE’s ability to assess novel and emerging technologies by keeping pace with an increasingly complex 

industry. Through the Center, the Bureau will work more closely with Original Equipment Manufacturers 

and participate more fully with standards-setting bodies such as the American Petroleum Institute (API). 

The Center would serve as the primary liaison between BSEE and the OESI, and BSEE anticipates the 

Federal staff engineers from the Center would work with OESI on joint industry projects. The ETAC 

would not replace the regulatory processes already in place at the regional level. Permit reviews and 

Deepwater Operations Plans will remain a function of our regional and district offices. 

Data Collection and Sharing: The BSEE and the Bureau of Transportation Statistics (BTS) signed an 

interagency agreement (IAA) in November, 2013, to develop the Voluntary Confidential Near-Miss 

Reporting System for use on the OCS. The Voluntary Confidential Near-Miss Reporting System, which 

will be managed by BTS, has the potential to help prevent catastrophic incidents that endanger lives and 

the environment. The trend information that will be received and shared will be broadly beneficial to all 

who take safety seriously. 

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General Statement 

These achievements represent important steps to promote offshore safety, and to protect life, property, 

and the environment. As planned, the Bureau continues to define and implement reforms and to hire the 

personnel needed to ensure the safe and responsible development of our Nation’s offshore energy 

resources. 

Strategic Planning 

In Fiscal Year (FY) 2015, BSEE will undertake a review and update of its strategic plan. The 2016­

2019 Strategic Plan will incorporate the Bureau's existing mission and vision, which remains appropriate 

and representative of the Bureau's operations. Tactical implementation of the plan, however, will reflect 

BSEE's position as an established regulatory organization. Key to the upcoming review and 

implementation of a new strategic plan are two initiatives occurring in FY 2015: (1) development of a 

comprehensive set of output and outcome-based performance measures, and (2) the piloting and 

implementation of an enterprise risk-management framework to facilitate information sharing and 

identify the risk relationships among and within programs. Both efforts provide focus and tools necessary 

to update the strategic plan and assess implementation progress. 

Additionally, focus areas likely to be highlighted in the 2016-2019 Strategic Plan include: 

•	 Continued development of consistent and integrated national policies, standards, and processes in 

all aspects of BSEE's operations. 

•	 Effective management and sharing of performance-related data through data integrity and
 

consistency in data definitions, policies, and procedures.
 

•	 Increasing BSEE's capacity for evaluating emerging technology through resources such as the 

technology center and the OESI. 

•	 Strengthening BSEE’s oversight and enforcement capabilities by incorporating the experience 

and lessons learned from BSEE’s Inspection and SEMS audit programs and focusing additional 

oversight resources on high-risk operations and facilities. 

•	 Establishing and enhancing BSEE’s renewable energy inspection and compliance program. 

•	 Investing in BSEE employees through recruiting and training. 

•	 Investing in IT modernization and electronic reporting. 

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General Statement 

COMPLETION OF DEPLOYMENT EXERCISE IN GULF OF MEXICO FACTS 

•	 In July 2014, BSEE initiated a day long unannounced drill involving Murphy Exploration and 

Production Company. The exercise tested Murphy’s ability to respond to a simulated spill event 

in accordance with its Oil Spill Response Plan (OSRP). 

•	 The scenario simulated was a 

loss of well control 75 miles
 

off the coast of Louisiana. As
 

part of the exercise an incident
 

command center was 

established in Slidell,
 

Louisiana, and oil skimming
 

recovery equipment was 

deployed aboard the
 

Mississippi Responder from
 

Pascagoula, Mississippi.
 

•	 Once at the designated
 

location, testing of the
 

skimmer was conducted along
 

with the placement of an oil
 

containment boom arranged in a J formation. 

•	 Representatives from the U.S. Coast Guard, the National Oceanic and Atmospheric 

Administration and the Alabama Department of Environmental Management participated in the 

BSEE-led exercise. 

•	 These exercises are conducted in accordance with 30 CFR Section 254.42(g) as authorized by the 

Oil Pollution Act of 1990. 

Compliance, Inspections and Enforcement 

Based on recommendations from investigatory and oversight reports, internal and external review of 

operations, and reorganization studies, BSEE has already implemented a number of improvements to its 

inspection regime and will continually look for improvements to enhance its investigation, analysis, 

regulatory, inspection, and compliance programs based on risk considerations within those programs. 

The BSEE is also actively working to develop a risk-based inspection methodology for use at various 

levels within the regulatory program. Through the identification and quantification of risk, BSEE can 

identify key performance (such as leading and lagging) indicators, and improve its analysis of the 

effectiveness of redundant physical controls (barrier analysis). In FY 2015, BSEE will pilot-test an 

evidence-based risk-analysis methodology for production facilities. Preliminary data analyses indicates 

that the 410 highest-risk platforms in the Gulf of Mexico OCS Region (GOMR), which represent about 

20 percent of GOMR platforms, accounted for 80 percent of all accident or pollution events that were 

reported to BSEE during FY 2014. These platforms also accounted for 84 percent of all major incidents 

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General Statement 

such as fires, explosions, spills, fatalities, and blowouts. The Bureau is actively investigating the 

deployment and use of the methodology to effectively target available inspector resources. Strategies are 

being investigated to use this risk methodology to help prioritize inspections and to inform decisions 

regarding which SEMS audits BSEE should observe. 

Safety is a priority for both BSEE staff and for operations that occur under BSEE’s jurisdiction. Onsite 

facility inspections and enforcement actions are important components of BSEE's safety program. The 

Bureau has established ambitious performance targets for the thousands of inspections of OCS facilities 

and operations conducted each year, including coverage of tens of thousands of safety and pollution 

prevention components to prevent offshore accidents and spills, and to ensure a safe working 

environment. 

The BSEE is working to refine internal controls and processes and expand the use of information and data 

management systems to enhance continuous offshore safety and an environmental enforcement presence. 

As these reforms are deployed, BSEE is able to strengthen its investigation, data analysis and compliance 

and enforcement programs to enhance the identification of risk and risk-mitigation approaches. The 

Bureau is further advancing new protocols that emphasize risk-based oversight with the intent of 

identifying and focusing inspections on the “riskiest” activities and facilities and utilizing real-time 

monitoring technologies to improve and increase the regulatory oversight of critical offshore operations 

and equipment. 

The Bureau values its close cooperative relationships with Federal partners on the OCS, and is also 

working to strengthen resources through intra- and interagency cooperation. For example, the Bureau 

continuously improves upon its longstanding memorandum of understanding (MOU) and a series of 

subject matter specific memorandums of agreement (MOAs) with the USCG and is focusing on shared 

resources, cross-training, and cooperation in Federal enforcement efforts on the OCS. Also, BSEE has 

been involved in discussions on continuous safety improvement and safety culture policy with other 

Federal partners focused on High Reliability Organizations (HRO), such as the Office of Pipeline Safety 

and the Nuclear Regulatory Commission. The BSEE actively seeks new opportunities to share 

information across government agencies and internationally. 

Engineering Technology Assessment Center: The ETAC, when implemented, will be located in 

Houston, Texas, close to industry centers, to provide a Bureau-wide focal point for emerging technology 

evaluation. The BSEE is in the process of identifying an ETAC manager to start identifying the 

engineering skill sets and cutting edge expertise that BSEE will need to implement this initiative. Having 

top-level engineering talent and leveraging internal expertise with contract support will provide BSEE a 

ready means for interaction with OESI on technology projects. The Center will provide an additional 

capability for BSEE, and will augment current technology assessment functions within the regions. Each 

region will be able to utilize the Center to support its needs. The ETAC will provide the Director with a 

nationally-based engineering center of expertise to evaluate newly proposed technologies intended for use 

in extreme offshore environments. It will establish and manage a flexible base of engineering contracts 

that provide BSEE up-to-date experts in offshore oil and gas technology, equipment development, failure 

analysis, and testing protocols. The ETAC will also establish professional relationships with equipment 

manufacturers in the Houston area to keep abreast with the latest developments in offshore oil and gas 

equipment technology. Finally, the ETAC will provide engineering expertise for the development of new 

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General Statement 

offshore oil and gas regulations and evaluation of proposed industry standards as well as expertise for 

evaluating and using the information being developed by the industry’s real-time monitoring centers. 

Finalizing the establishment of this Center into a fully-operational engineering asset is a strategic priority 

for FY 2016. 

Safety and Environmental Management: The SEMS regulations, intended to foster the development of a 

more robust safety culture on the OCS, passed an important milestone in FY 2014 with the completion 

and submission by OCS operators of their first SEMS Audit Reports. These reports show that, on the 

whole, the OCS oil and gas industry has begun to implement a management system approach to safety 

and risk management, but there are wide variations in how deeply these approaches are ingrained within 

the organizational culture of each operator. Therefore, the Bureau is developing tools and strategies to 

work more closely with the industry in ways that will deepen their SEMS commitment and robustness. 

This includes creating standard procedures so that every regional office in the Bureau approaches their 

SEMS oversight responsibilities and operator interactions in the same way; issuing guidance documents 

in response to industry inquiries about certain aspects of the regulations; participating more robustly in 

industry panels, workshops, and groups updating standard practices; and proposing and tracking leading 

and lagging indicators of SEMS effectiveness. In addition, the Bureau will be working to develop and 

enforce accreditation criteria for SEMS auditors so as to improve the quality, consistency, and usability of 

future SEMS audits. One longer term goal of the SEMS audit program will be for BSEE to capture and 

share the identified best practices and lessons learned consistent with the continuous improvement 

expectations of SEMS. 

Renewable Energy Inspection Program: On May 19, 2010, Secretarial Order 3299 created the Bureau of 

Ocean Energy Management (BOEM) and BSEE to carry out separate core missions: BOEM to ensure the 

balanced and responsible development of energy resources on the OCS, and BSEE to provide 

independent safety and environmental oversight and enforcement of offshore activities. While BOEM 

continues to implement an expanding renewable energy program, there are currently no operational units 

on the OCS; however, to date there are several offshore wind energy projects scheduled to be completed 

by 2019. 

A BSEE/BOEM transition team is managing the effort to re-designate the renewable energy regulations in 

30 CFR Part 585 between the two agencies by a direct final rule. The BSEE is also drafting a series of 

touch-point documents to guide the interdependencies between BOEM and BSEE before the redesignation is complete. After the re-designation, BOEM and BSEE will revise the existing renewable 

energy regulations for OCS operations and update existing interagency MOUs accordingly. As part of the 

transition, BSEE participated in the review of the Facility Design Report (FDR) and Fabrication and 

Installation Report (FIR) for the Cape Wind project, in collaboration with BOEM. 

The BSEE is also actively developing and refining a methodology for including facility inspection 

capabilities into existing inspection and compliance programs and developing the appropriate regulatory 

authorities and appropriations language to support safe and environmentally responsible renewable 

energy development on the OCS. In FY 2015, BSEE will receive the final report from a contracted study 

to assess current onshore and international offshore inspection practices related to wind turbine facilities 

and associated electrical transmission systems. The Bureau will use this assessment to inform the 

development of regulations, inspection guidelines, procedures, and criteria for inspections of offshore 

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General Statement 

renewable energy facilities so that the appropriate regulatory structure will be in place to protect the 

safety of the facilities, any personnel working on them, and any surrounding structures.. 

Real-Time Monitoring: The BSEE is examining the use of real-time monitoring technologies to improve 

and increase the regulatory oversight of critical offshore operations and equipment. The intent of realtime monitoring is to develop, test, and implement reforms that significantly improve the Inspection and 

Enforcement Program in BSEE by using innovative technologies and risk-based inspection criteria to 

supplement BSEE’s current inspection program. The use of this technology and facilities to monitor OCS 

oil and gas drilling, well completion, well workover, well servicing, and other rig-related operations is 

one avenue that may be used to further efficiency as well as help BSEE carry out its mission. 

The Bureau is actively working to determine which available real-time monitoring opportunities would 

provide the best return on investment and which activities require on-site inspectors. Initially, the focus 

will likely be on using this technology for high-risk activities involving deepwater drilling and 

casing/cementing. When implemented, it is expected that the use of real-time monitoring will allow 

BSEE to quickly shift technical resources to evaluate these operations wherever they occur. 

The importance of incorporating real-time monitoring into BSEE’s regulatory program is demonstrated 

by the DOI including a provision in the British Petroleum (BP) settlement that requires the company to 

maintain a real-time monitoring center in Houston and provide BSEE with access to the facility. The 

Bureau is also determining if regulatory action is needed to ensure that the agency has complete access to 

other industry real-time monitoring facilities and whether BSEE needs to take additional steps to ensure 

that industry expands the use of real-time monitoring technology to address issues such as equipment 

reliability. 

The BSEE has contracted with the National Academy of Sciences (NAS) to convene a study committee to 

review the findings from a recently completed external real-time monitoring study, along with the 

findings from an internal BSEE real-time monitoring study. A public workshop is planned for April, 

2015, in Houston, Texas, to discuss these findings, obtain industry feedback, and build consensus on the 

recommended path forward for real-time monitoring. The feedback from the public workshop will 

provide valuable input to help guide the future direction of BSEE’s real-time monitoring initiative and 

identify gaps that require follow-up research. Real-time monitoring is an enabling technology and it 

raises a larger question about what the regulator’s role should be in monitoring day-to-day drilling, 

completion, workover, and production activities. This is beyond BSEE’s traditional inspection role, and 

the NAS is well suited to advise BSEE on this programmatic question. The NAS contract requires a final 

report be provided to BSEE by FY 2016, including the industry input from the public workshop and the 

findings by the NAS study committee. 

Information Technology and Data Stewardship: The BSEE has been working to develop and maintain 

its IT investments by enhancing the Bureau’s capability to collect and manage data. Through enhanced 

data use, BSEE will be able to make better decisions, as well as make data available to the public in an 

accessible way while protecting privacy, proprietary, and business confidential information. A few of the 

major initiatives currently underway at BSEE include the expansion of the eWell pilot to every Region, 

the deployment of eInspections, and the planning and development of the ePermits system. 

Bureau of Safety and Environmental Enforcement 11 
 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

General Statement 

The BSEE has begun transitioning to a data stewardship framework within the Bureau to facilitate the 

development and implementation of standards, policies and procedures, and improve the quality and 

accessibility of administrative data for analytical purposes. The Bureau works to protect proprietary and 

personally identifiable information (PII) through existing policies and procedures, and updates these in 

order to maintain compliance and provide individuals and organizations the necessary assurances 

regarding the integrity of critical information assets. Furthermore, BSEE is working in concert with the 

Department and Bureaus to make progress towards a comprehensive inventory of data assets as instructed 

by OMB M-13-13. 

Near-Miss Program: In August 2013, the BSEE and the Department of Transportation’s Bureau of 

Transportation Statistics (BTS) signed an IAA for the development and operation of a voluntary 

confidential reporting system for near-miss events associated with oil and gas operations on the OCS. 

Once fully implemented, the system will have a combination of reporting capabilities (web-based, smart 

phone apps, 1-800 numbers, etc.) to ensure that confidential reporting is easily accessible. This system 

will provide BSEE and the industry with information about accident precursors and hazards associated 

with OCS operations. When used, in conjunction with existing methods of collecting data and assessing 

risk, this amalgamated data can be used to identify trends that will help to reduce the risk of major 

incidents, loss of life, injury and negative impacts on the environment. Confidentiality is critical to the 

success of this reporting system. 

On April 22 and 24, 2014, BSEE held two public workshops in Los Angeles, California; and Houston, 

Texas; to discuss the voluntary confidential near-miss reporting system. Both BSEE and BTS gave 

presentations at the workshop followed by a period of questions and discussion. On July 2, 2014, in 

accordance with the requirements of section 3506(c)(2)(A) of the Paperwork Reduction Act of 1995, BTS 

published a Federal Register notice announcing the intention of BTS to request the Office of Management 

and Budget (OMB) approval of information collection for the near-miss reporting system. This data 

collection effort supports a multi-year program focused on improving safety on the OCS. The BTS will 

operate the system under the Confidential Information Protection and Security Efficiency Act 2002 

(CIPSEA) and will maintain control of the individual confidential reports. The BTS will provide trend 

analyses and aggregated data to BSEE and the public. The Program will also provide every individual 

associated with the offshore oil and gas industry an opportunity to improve safety offshore for 

themselves, their friends, and coworkers. The public comment period for the Federal Register notice 

ended on September 2, 2014, and the system is expected to be operational in FY 2015. 

Emerging Technologies and Best Available and Safest Technologies (BAST): The BSEE continues to 

promote the evaluation of emerging technologies, ranging from the drilling of oil and gas exploration 

wells in search of new reserves to the removal of platforms and related infrastructure once production 

operations have ceased. In addition, BSEE is in the process of defining a methodology for the 

determination of BAST for existing and emerging technologies that ensure safe and responsible offshore 

development. 

Under the Emerging Technologies Program, BSEE promotes investigation of new technologies to assure 

approved permits continue to promote safe operations, the prevention of oil pollution, and the 

improvement of oil spill response and clean-up. The Bureau also continues to focus its efforts to identify 

high-risk areas, such as the Arctic offshore and high-pressure high-temperature reservoirs, and higher risk 

12 Bureau of Safety and Environmental Enforcement 
 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

General Statement 

components and systems such as BOPs, to work with industry on in the application of BAST 

identification and determination. This work will assist in determining where overall risks could be 

reduced and it is economically feasible to do so. 

To take advantage of and leverage expertise from other Federal sources, BSEE continues to expand 

Federal partnering, particularly with the DOE. In addition to the IAA established with the DOE National 

Laboratory system in FY 2012, BSEE has elevated engagement with the DOE’s Office of Fossil Energy 

and National Energy Technology Labs (NETL) to collaborate on deepwater/deepwell cementing issues, 

risk-informed decision making and the application of BAST specific assessment to offshore components, 

systems, and procedures. 

In calendar year 2015, BSEE plans to issue the proposed BOP Rule to increase the reliability of this 

critical equipment that is currently the last line of defense in a blowout situation. This proposed rule is 

being developed after considerable public and stakeholder engagement and is intended to strengthen 

regulations related to the design and repair of BOPs. 

Ocean Energy Safety Institute (OESI): The OESI was established in early FY 2014 and is managed by 

the Texas A&M Engineering Experiment Station’s (TEES) Mary Kay O’Connor Process Safety Center, 

in partnership with the University of Houston and the University of Texas. The OESI, established under a 

five-year cooperative agreement, provides a forum for dialogue, shared learning, and cooperative research 

among academia, government, industry, and other non-government organizations in offshore-related 

technologies and activities that ensure safe operations with limited impact to the environment. The 

Institute will provide recommendations and technical assistance to BSEE related to emerging 

technologies and BAST. In addition, it will develop and maintain an equipment failure monitoring 

system and train Federal employees to enable them to remain current on state-of-the-art technology. The 

Institute will also promote collaboration among Federal agencies, industry, standards organizations, 

academia, and the NAS. 

The OESI has already hosted several forums, including Risk Awareness and Eliminating Barriers to Data 

Sharing. The forums provided an environment for shared learning, collaboration, and demonstrated 

opportunities for all parties to work together for the greater good of improving safety on the OCS. During 

FY 2015, the OESI has committed to conducting additional forums on the topics of research, human 

factors, and shallow-water hazards. 

Oil Spill Preparedness and Research 

The Oil Spill Response Research Program within BSEE continues to aggressively implement a 

comprehensive, long-term research program dedicated to improving spill response options for oil spills in 

offshore environments including the Arctic. Major focus has been placed upon improving the methods 

and technologies used for oil spill detection from aerial and subsea platforms and vehicles, surface and 

subsea containment, treatment with dispersants, recovery using mechanical devices, and clean up using 

various technologies including in-situ burning of the oil. The program will continue to put an emphasis 

on evaluating oil spill response capabilities in Arctic environments in FY 2015 and FY 2016. During 

FY 2015, BSEE intends to fund research on improving in-situ burn planning efficiency, remote sensing 

tools for oil spill detection and thickness determination, improving the capabilities of Ohmsett, integrating 

Bureau of Safety and Environmental Enforcement 13 
 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

General Statement 

technology readiness levels into developing new technologies, and in the development of “smart” 

skimming technologies. The BSEE is also dedicating an entire month at Ohmsett in 2015 to conduct a 

comparative test on different types of dispersants that might be used in the Gulf of Mexico to determine 

those best suited for this operating environment. Tests are predicated on the ability of BSEE to acquire 

relatively small volumes of crude oil with different chemical properties. Acquisition of such oils is 

hampered by industry processes that are designed to sell millions rather than tens of barrels of crude. It is 

easier and less expensive for the industry to donate small quantities of oil to BSEE; however, donations of 

this nature have historically been restricted by regulatory limitations. 

The Bureau serves as the Vice-Chair of the ICCOPR – a congressionally-mandated body comprised of 

15 Federal agencies. In addition to BSEE’s continuing active participation as a member on the Steering 

Committee for the ICCOPR Research and Technology Plan and other ICCOPR subcommittees, BSEE, as 

Vice-Chair, provides leadership and coordinates research efforts throughout the Federal oil spill research 

community. The BSEE, as members of the Arctic Council’s Emergency Prevention, Preparedness, and 

Response Working Group, will also be engaging international partners in joint research activities to better 

protect resources that could be impacted from spills in Arctic waters. The BSEE also sits on the 

Scientific and Technical Committee of the National Response Team, adding another venue in which the 

agency is proactively working with Federal partners to seek joint research funding opportunities, 

exchange information on recent research, discuss best practices in oil spill response, and address other 

topics key to the U.S. preparedness posture. 

The Oil Spill Preparedness Verification program provides continual oversight to ensure owners and 

operators are prepared to respond to an oil spill to the maximum extent practicable. Oversight begins at 

the time an application to drill is submitted and extends through the plugging and abandonment of all 

wells and removal of facilities. The BSEE is responsible for ensuring offshore operators have the 

capability to respond to some of the largest potential oil spills in the Nation. This includes review of spill 

response plans, spill response readiness, and government-led oil spill response exercises. The program 

has finalized a broad and in-depth review of the oil spill preparedness regulations and policy to ensure 

effective, responsive, and transparent oversight of offshore response capability. Oil and gas exploration is 

extending further into deep water and frontier regions. The result is increased risk of larger spills and 

greater potential impact to sensitive resources. Response plans and technologies must routinely be 

exercised and tested to ensure their capability is current and able to maintain response readiness to ensure 

an effective response before any spill. Over the next year the Bureau will be focused on subsea well 

containment equipment preparedness, near shore and shallow water response exercises and equipment 

deployment auditing, and increased coordination with area and regional response plans. 

FY 2016 BUDGET HIGHLIGHTS 

The BSEE receives funding through the Offshore Safety and Environmental Enforcement (OSEE) and Oil 

Spill Research (OSR) appropriations. The OSEE appropriation is partially offset by a portion of OCS 

rental collections, cost recovery fees, and inspection fees. The OSR appropriation is funded through the 

Oil Spill Liability Trust Fund. 

The 2016 Request proposes merging the BSEE’s Environmental Enforcement Program (EEP), which was 

previously funded through the Environmental Enforcement Activity, into the Operations, Safety and 

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General Statement 

Regulation Activity. The BSEE EEP is an integral part of the Bureau’s overall increased safety initiative. 

Similar to the offshore (safety) inspection program, the EEP assures that industry is adopting an overall 

and comprehensive approach to environmental protection measures. Combining the EEP into the BSEE 

Operations, Safety and Regulation activities will allow for better identification of regulatory needs for 

enhanced environmental compliance and closer coordination between the EEP and the newly established 

SEMS program. The merger will also allow better management and oversight of all of the compliance 

and inspection programs in BSEE. It will enhance the effective use of inspection personnel and support 

resources (helicopters) by allowing for the maximum coordination of inspection and other compliance 

activities. This proposed consolidation is the next important step in adding clarity, consistency, and 

efficiency to the Bureau’s compliance programs and follows a change in FY 2015 to create a National 

Program Manager for the environmental compliance programs with consistent and transparent field level 

implementation. The EEP will continue to foster environmental compliance, inspection, investigation, 

and enforcement programs that assure the highest level of environmental standards for all offshore energy 

activities. 

In 2016 the Bureau is also requesting to realign all General Support Services (GSS) Activity funding into 

the supported programs based on current FTE levels. The GSS Activity, a relic of the MMS legacy 

organization, funds a portion of Bureau-wide infrastructure support to include infrastructure costs 

associated with office space, security, utilities, and voice/data communications for that portion of BSEE 

FTE that is not covered by reimbursable service agreements. No FTE are directly charged to the GSS 

activity. This internal transfer within the base budget is reflected in FY 2016 and future budget requests 

will continue to reflect program assessments in the Greenbook as required by annual appropriations. 

In FY 2016, the BSEE estimates offsetting collections will be comprised of $49.4 million from rental 

collections, $7.8 million from cost recovery fees, and $65.0 million from inspection fees. 

The budget for BSEE in the OSEE account funds the following activities: 

•	 The Operations, Safety and Regulation Activity funds: environmental and safety compliance 

activities related to issuing permits associated with plans; inspections of environmental measures 

and enforcement of incidences of noncompliance; monitoring industry compliance with 

mitigation and other environmental requirements through office and field inspections; OCS 

permit application reviews; inspections of OCS facilities including critical high-risk activities; 

offshore operator oil spill planning and preparedness compliance; investigations; civil penalties; 

operator training and audit programs; annual operator performance reviews; verification of oil 

and gas production levels to help ensure the public receives a fair return; and the Emerging 

Technologies Program. 

•	 The Administrative Operations Activity funds: general administration and ethics programs; equal 

employment opportunity services; emergency management; finance; human resources; 

procurement; and information management. The BSEE also provides administrative services, 

such as human resources, procurement, and finance to BOEM and other entities within the 

Department. 

Bureau of Safety and Environmental Enforcement 15 
 

 

 

 

 

 

 

General Statement 

•	 The Executive Direction Activity funds: Bureau-wide leadership, direction, management, 

coordination, communications strategies, and outreach. It includes functions such as budget, 

congressional and public affairs, and policy and analysis. The Office of the Director and key 

management positions in the Regional Director’s Offices are also funded within this activity. 

The budget for BSEE in the OSR account funds oil spill research, the Ohmsett facility, as well as oil spill 

response preparedness and planning activities. 

Table 2: FY 2016 Analysis of Budgetary Changes 

Bureau of Safety and Environmental Enforcement 

FY 2016 Budget Changes 

($000) 

Organization/Category Budget Changes ($000) FTE 

BSEE FY 2015 ENACTED -- DIRECT APPROPRIATION 81,046 869 

Offshore Safety and Environmental Enforcement (OSEE) 

Environmental Enforcement 1/ Transfer to Operations, Safety and Regulation -8,314 -30 

Operations, Safety, and Regulation 

Activity 1/ 

Fixed Costs +883 

Renewable Energy Inspection Program +750 +3 

Engineering Technology Assessment Center +1,726 +9 

Ops. Safety - Management Efficiencies -1,545 

Offsetting Collections Reduction -1,372 

Transfer from Environmental Enforcement +8,314 +30 

Transfer from General Support Services +9,415 

Administrative Operations Fixed Costs +247 

Transfer from General Support Services +2,345 

General Support Services 2/ Transfer to remaining OSEE Activities -13,912 

Executive Direction 

Fixed Costs +226 

Executive Direction - Management Efficiencies -869 

Transfer from General Support Services +2,152 

Subtotal of OSEE +46 +12 

Change in Offsetting Collections +1,372 -

Oil Spill Research (OSR) 

Program Changes 0 

FY 2016 Requested Increase +1,418 +12 

BSEE FY 2016 PROPOSAL -- DIRECT APPROPRIATION 82,464 881 

1

/ The FY 2016 Request consolidates the Environmental Enforcement Activity into the Operations, Safety and Regulation Activity. 

2/ The FY 2016 Request consolidates the General Support Services Activity into the remaining OSEE Activities. This realignment is 

calculated based on activity FTE levels. 

In FY 2016, the following BSEE budget changes are proposed: 

Management Efficiencies (-$2,414,000): Programs will absorb these costs through greater efficiencies, 

cost savings, and administrative adjustments. 

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General Statement 

Fixed Costs (+$1,356,000): Projected increases for fixed costs such as rent, salary increases, central 

billing, information technology transformation for the Department’s working capital fund, and other items 

are fully funded by this request. 

Renewable Energy Inspection Program (+$750,000; +3 FTE): The requested funding is needed in 

order for the Bureau to stand up a renewable energy inspection program. More details regarding the 

requested increase are discussed in the Operations, Safety and Regulation Activity. 

Engineering Technology Assessment Center (+$1,726,000; +9 FTE): The requested increase is 

needed to establish the Engineering Technology Assessment Center. More details regarding the requested 

increase are discussed in the Operations, Safety and Regulation Activity. 

General Reduction - Changes in Offsetting Collections (-$1,372,000; 0 FTE): 

•	 Rental Receipts (-$1,013,000; +0 FTE): This decrease in rental receipts revenue results from an 

anticipated decrease of $1.0 million from the FY 2015 Enacted amount of $50.4 million. The decline 

in estimated rental receipts is primarily the result of a projected decrease in the number of rental 

bearing tracts that reflect an ever changing pool of leases that fluctuates annually. Rental receipts are 

one type of three different offsetting collections credited to the BSEE OSEE account to help defray 

the cost of operations. 

•	 Cost Recovery Fees (-$359,000; 0 FTE): This decrease in cost recovery fee revenue results from an 

anticipated decrease of $0.4 million from the FY 2015 Enacted amount of $8.2 million. The decline 

in estimated cost recovery fees reflects the trend of actual collections and associated workload 

requirements. These fees are one type of three different offsetting collections credited to the BSEE 

OSEE account to help defray the cost of operations. 

Performance Summary 

In FY 2016, BSEE will focus attention on priority areas and refine its goals to better position the Bureau 

to achieve its regulatory oversight mission. Key to this is the Bureau’s effort to develop a performance 

management system that will support implementation of the 2016-2019 Strategic Plan. This system, the 

Performance Management Framework, involves developing and refining a suite of meaningful 

performance measures that managers can use to inform decision making and communicate the value of 

the mission to stakeholders. Measures will be based on outputs and outcomes to provide the Bureau with 

evidence of how it achieves results in implementing its mission. For example, the Renewable Energy 

Inspection Program will have associated measures tracking program performance. The BSEE will 

establish performance goals for new initiatives on data stewardship, enforcement, and investigations 

through an iterative process to ensure results are measured and achieved. An emphasis on data will 

strengthen BSEE’s overall ability to examine and understand how it achieves results. 

Additional efforts underway will support BSEE’s abilities to measure performance, and to assess 

effectiveness and priorities. For example, the BSEE is currently in the process of developing and 

implementing an enterprise-wide risk management system to help identify and prioritize areas of risk for 

the Bureau. By assessing and comparing organizational risks, as well as strengths, weaknesses, and 

Bureau of Safety and Environmental Enforcement 17 
 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

General Statement 

opportunities, the Bureau is able to consider any impacts that ongoing and future industry trends may 

have on BSEE’s role as a regulator. Program audits and reviews conducted by the Government 

Accountability Office, the Office of Inspector General, and external organizations will also continue to 

provide input to BSEE’s performance and evaluation processes. Results from the enterprise risk 

management system, audits and reviews, and other initiatives (e.g., real-time monitoring, near-miss 

reporting, enforcement reform, and human capital strategic planning) will further inform the Bureau’s 

efforts to continuously improve mission performance. 

Performance Results - Evidence and Evaluation 

In FY 2016, BSEE will focus attention on priority areas and refine its outcome measures to assess results 

and to better position the Bureau to achieve its mission in four main categories: 

1.	 Casualties – injuries and fatalities. 

2.	 Operations – incidents of non-compliance, violations, etc. 

3.	 Systems and subsystems – environmental integrity, plans and permits, etc. 

4.	 Safety culture - SEMS maturity, corrective actions, etc. 

This enhanced suite of meaningful, outcome-based performance metrics is expected to be monitored 

through BSEE’s Business Intelligence tools to: 

•	 Make informed management decisions for the Bureau; 

•	 Communicate the value of the mission to stakeholders and support the Strategic Plan and mission of 

the Bureau; 

•	 Report performance to government and industry stakeholders in order to enhance accountability and 

transparency; and 

•	 Improve program implementation and motivate performance through increased quality of program 

outputs and efficiency of processes. 

Description of Plans/Actions Underway to Use Evidence and Innovation (Operations, Safety and 

Regulation Activity): In conjunction with BOEM, BSEE continues to reform practices and policies to 

realize the full vision for OCS management. 

Improving Permit Review: In FY 2013, BSEE completed the first phase of development for 

its ePermits initiative, which will reduce review processing time by 30-40 percent for permit and other 

submitted document review. The BSEE has been meeting with other agencies (Bureau of Land 

Management, U.S. Department of Agriculture, Environmental Protection Agency, and General Services 

Administration) that have established, or are establishing electronic permit application submission and 

review systems for other Federal permits. The BSEE is using this information to benchmark internetbased data input methods, gathering lessons-learned, and identifying systems that can be used to develop 

similar business cases that will be used to establish the BSEE ePermits system. In FY 2014, BSEE 

initiated the second phase of the ePermits initiative, which will employ BSEE subject-matter experts to 

document the internal business processes that are used to collect the data necessary for permit decisionmaking by the agency. The BSEE will also develop automated processes to populate data in 

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General Statement 

BSEE’s Technical Information Management System (TIMS). The BOEM’s ePlans initiative is being 

conducted in parallel with ePermits, and BSEE is working closely with BOEM on this initiative to 

develop common electronic submissions and processing for both ePermits and ePlans and to identify 

points of interagency information exchange. In FY 2014, BSEE and BOEM entered the first stage of IT 

development by hiring a contractor to develop the necessary documentation that will form the framework 

of the ePermits and ePlans virtual interface systems. 

Description of Plans/Actions Underway to Use Evidence and Innovation (Administrative Operations 

Activity): The mission of BSEE’s Office of Administration is to provide quality and cost effective 

administrative services in support of the BSEE and BOEM missions. The BSEE’s goal is to deliver 

services that fully meet the needs of the programs it supports, and provide transparency into the 

effectiveness and full costs of the services so that the decisions that BSEE makes are fully supported by 

evidence and data. To accomplish customer’s goals, BSEE has developed performance metrics, status 

reports related to hiring and contracts, and financial reporting tools for its full suite of administrative 

services. 

The performance metrics developed were designed to measure activity, workload, and efficiency. For 

each service area identified, in cooperation with BOEM and BSEE management, the most critical and 

indicative workflows were utilized. Measures are captured separately for each Bureau and are reported 

on a predetermined and regular basis. The BSEE is continuously evaluating the metrics and tools it has 

developed to ensure that the measures reflect the customers’ needs and allow BSEE to make informed 

management decisions. Similarly, BSEE has developed reports that allow the Bureaus to track the status 

of actions that BSEE has in house, which facilitates more effective communication between the customer 

and service provider. Measures are captured separately for each bureau and are reported on a quarterly 

basis. With the use of performance metrics BOEM and BSEE management benefit from improved 

service, increased efficiency, and greater transparency. 

In addition to performance metrics, BSEE has also developed financial reporting tools that demonstrate 

its costs and obligations. This allows BSEE to compare its actual spending against budget. The cost 

statements are also analyzed against the performance metrics mentioned above to ensure BSEE is 

properly considering workload in its overall spending. Monthly statements are produced and compared 

against obligation estimates and obligation actuals by budget object class. By evaluating spending at this 

level of granularity and frequency, BSEE is able to ensure it is using resources wisely, and identifying 

areas in which to reduce spending. 

Finally, BSEE has implemented project cost accounting around spending for IT. The BSEE recently 

initiated a pilot that captures spending for Federal labor, contract labor, other contracts, hardware and 

software, and other costs for major mission application initiatives. Using this approach will allow BSEE 

to accurately capture the full life-cycle costs for IT spending. 

The BSEE’s increased and thoughtful use of evidence and evaluation will increase transparency, 

accountability, and effectiveness, and will thus benefit BSEE’s stakeholders as well as bring welcomed 

changes. The BSEE’s key stakeholders include the American public, the regulated community, and the 

Bureaus, agencies, programs, and offices that work closely with BSEE to help it achieve its mission. 

Bureau of Safety and Environmental Enforcement 19 
 

General Statement 

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Secretarial Initiatives, Agency Priority Goals, and Administration Management Initiatives 

Bureau of Safety and Environmental Enforcement 

Secretarial Initiatives, Agency Priority Goals, and 

Administration Management Initiatives
 

The BSEE fully supports the Secretarial and Administration Initiatives to realize high priority goals and 

implement the President’s Management Agenda. The BSEE contributes to these efforts in several ways. 

Secretarial Initiatives 

Powering Our Future and Responsible Use of Our Resources 

Through early planning, thoughtful mitigation, and the application of sound science, Interior is working to 

ensure the Administration’s “all-of-the-above” energy strategy includes not only traditional sources, but 

also the further development of new, cleaner energy resources – such as offshore wind – to help mitigate 

the causes of climate change. The Bureau’s FY 2016 budget fully supports this strategy with a focus on 

supporting risk-based oversight, assessment of emerging technologies to keep pace with the energy 

sector, and ensuring safe and environmentally responsible development of the Nation’s offshore energy 

resources. Funds will be used to recruit and sustain engineers, inspectors, investigators, and oil spill 

planning and prevention specialists within a robust organization that sustains the technical and intellectual 

capacity to keep pace with our energy stakeholders. Concerted efforts to expand the use of technology to 

streamline permitting are also discussed in the following paragraphs. 

Building a Landscape-Level Understanding of Our Resources – Science Coordination 

The President’s Budget continues to promote research and development, scientific investments, and 

monitoring to best manage the country’s natural resources and heritage. Continued and enhanced 

coordination of science activities across Bureaus will be required to achieve the Department’s important 

mission objectives. The 2016 budget facilitates this need by better supporting integrated efforts to 

achieve resource management outcomes. The Bureau has identified several key areas for investment 

where coordination with other Department Bureaus will leverage results to more effectively achieve 

mission outcomes. 

The BSEE uses applied science and engineering expertise to administer the Nation’s development of 

offshore energy resources. The Bureau also provides representation and technical expertise to the 

National Ocean Council, Climate Change Taskforce, Science Advisor/Science Integrity Officer Working 

Group, and other expert panels to further the Department’s policies for climate adaptation. 

Research and development programs help achieve the Administration’s priority of responsible energy and 

minerals development as part of President Obama’s “all-of-the-above” energy strategy. With a focus on 

safety research, BSEE is able to help ensure that conventional energy development can occur while 

mitigating risks and potential adverse impacts. Potential research subjects include the following key 

Bureau of Safety and Environmental Enforcement 21 
 

 

 

 

 

 

 

 

 

 

 

Secretarial Initiatives, Agency Priority Goals, and Administration Management Initiatives 

areas; 1) Arctic research such as ice monitoring and ice loading on floating facilities; 2) materials research 

as applied to pipeline and riser composites and high-pressure high-temperature operations (HPHT) alloys; 

3) welding and cladding requirements for hostile environments; 4) development of bolting hardness and 

corrosion resistance specifications; 5) well control research related to early detection, managed pressure 

drilling, and development of industry-wide shear ram test protocols and reporting requirements; and 

6) improving how the concept of risk is used as a regulatory tool by the agency in all functional areas 

related to safety, equipment manufacture, and system maintenance. 

The BSEE is also conducting research to enhance preparedness to respond to a potential oil spill in the 

Alaskan Arctic. Current oil and gas exploration activities are limited to open-water periods. As the 

Bureau prepares for the possibility of year-round production activities, it must also understand and 

prepare for the possibility of extremely challenging remediation efforts. In FY 2013, BSEE examined the 

recovery capabilities of existing commercial oil skimming systems in broken ice conditions. In FY 2014, 

BSEE compared four chemical dispersants’ effectiveness in cold water. As a follow-up to the FY 2013 

skimmer tests, in FY 2015 the Bureau plans on working in collaboration with the USCG to evaluate the 

effectiveness of an ice cage that would fit on existing commercial oil skimmers and prevent ice clogging 

of pumps and hoses. Also in FY 2015, BSEE plans on new proof-of-concept studies to develop new 

technology to recover oil in the Arctic marine environment. Additionally, the Bureau will explore new 

technological developments to assist responders working in this harsh environment with prolonged 

periods of low light. In FY 2016, BSEE will continue to build upon the knowledge obtained as well as 

technical advancements made in this critical issue. 

The BSEE is participating in the Arctic Council’s Emergency Prevention, Preparedness, and Response 

Working Group to develop strategies to respond to accidental release of pollutants. In collaboration with 

the other Arctic Nations, research will be conducted to better protect resources that could be impacted 

from spills in Arctic waters. 

Building a 21st Century Department of the Interior 

The DOI supports the President’s Management Agenda to cut waste and implement a government that is 

more responsive and open. The BSEE budget supports the Department’s plan to build upon the 

Accountable Government Initiative through a set of integrated enterprise reforms designed to support 

collaborative, evidence-based resource management decisions; efficient Information Technology (IT) 

Transformation; optimized programs, business processes, and facilities; and a network of innovative cost 

controlling measures that leverage strategic workforce alignment to realize an effective 21st Century 

Interior organization. 

The BSEE will help achieve this by reducing “discretionary” travel through the use of alternative methods 

where feasible, such as the increased use of technology, including teleconferencing, video conferences, 

shared web sites, and web conferences as well as enhanced management attention and internal controls. 

All travel and conference attendance is being monitored to ensure the need to complete mission critical 

activities is not impacted. The BSEE will continue to monitor other administrative spending in FY 2016 

and apply best practices where prudent. Additionally, the Bureau seeks to improve its effectiveness 

through the items outlined below. 

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Secretarial Initiatives, Agency Priority Goals, and Administration Management Initiatives 

Agency Priority Goals 

Climate Change Adaptation 

Goal: By September 30, 2015, the DOI will demonstrate “maturing” implementation of climate change 

adaptation, as scored when implementing strategies provided in its Strategic Sustainability Performance 

Plan. 

Climate change is a leading threat to natural and cultural resources across the country. The effects 

exacerbate existing threats from drought, floods, and wildfires presenting a growing challenge to the 

resilience of communities. The 2016 budget request proposes funding to improve understanding of the 

impacts of climate change and adapt to these changes on the ground. A few examples of the investments 

proposed follow: 

Bureau Contribution: The BSEE fully supports the Secretary’s commitment to ensure agencies are 

integrating climate change adaptation into policies, plans, programs, and operations. 

Implementation Strategy: The Bureau has made efforts to support this initiative and will continue to do 

the following: 

•	 Support the Rigs to Reefs policy that helps create new, thriving, and sustainable habitats for 

marine life which could become important aquatic life refuges as climate change impacts arise. 

•	 Assess greenhouse gas venting and flaring offshore and use appropriate technology to identify 

gas emissions in excess of approved venting and flaring requests. The BSEE also will review and 

comment on API standards that address this. 

•	 Continue to support the National Ocean Council, Climate Change Taskforce, Science 

Advisor/Science Integrity Officer Working Group, and other panels to further the Department’s 

policies for climate adaptation. 

Performance Metrics: The BSEE’s climate change adaptation efforts are ongoing. The Bureau will 

continue working with a contractor in calendar year 2015 to develop additional performance metrics. 

Youth Stewardship of Natural and Cultural Resources 

Goal: By September 30, 2015, the Department of the Interior will provide 40,000 work and training 

opportunities over two fiscal years (FY 2014 and FY 2015) for individuals ages 15 to 25 to support the 

mission of the Department. The Department is proposing to expand this goal to provide 100,000 work 

and training opportunities over four fiscal years, FY 2014 through 2017, for individuals ages 15 to 35. 

Bureau Contribution: In FY 2014, Secretary of the Interior Sally Jewell formalized an ambitious initiative 

to inspire millions of young people to ‘Play, Learn, Serve and Work’ outdoors. For the health of our 

Nation’s economy and public lands, it is critical that the Federal Government work now to establish 

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Secretarial Initiatives, Agency Priority Goals, and Administration Management Initiatives 

meaningful and deep connections between young people – from every background and every community 

– and America’s great outdoors. 

Implementation Strategy: The Bureau has taken a number of steps to implement the Department’s youth 

initiative. The Bureau has identified leaders in each of BSEE's Regions to coordinate youth-based 

activities and programs. A core component of BSEE's youth engagement strategy is the support of the 

development of Science, Technology, Engineering, and Math (STEM) programs at schools across the 

Nation. In particular, BSEE is seeking opportunities to help under-resourced areas develop these 

programs. The BSEE is also preparing to launch a technology challenge which will be a competition 

among high school teams to develop a solution to an identified technological challenge. The Bureau 

hopes to use this challenge to demonstrate a commitment to supporting STEM programs and to enhance 

BSEE's reputation as an offshore technology leader. 

Performance Metrics: The BSEE will follow the Department's guidance for performance metrics in the 

categories of ‘Learn’ and ‘Work.’ The ‘Work’ metrics focuses on the number of work and training 

opportunities provided, and the total number of hours associated with the work and training opportunities 

for individuals 35 years and younger. The ‘Learn’ metrics focuses on capturing the breadth of 

Bureau/office educational programs for K-12 students and teachers. 

Oil and Gas Resource Management 

Goal: By September 30, 2015, the BLM will increase the completion of inspections of Federal and Indian 

high risk oil and gas cases by 9 percent over FY 2011 levels, which is equivalent to covering as much as 

95 percent of potential high-risk cases. 

Bureau Contribution: In 2011, the GAO added the DOI’s management of oil and gas on leased Federal 

lands and waters to the High Risk List due to lack of assurance of collecting a fair share of revenue, the 

inability to hire, train, and retain staff, and the reorganization of offshore oversight immediately following 

the Deepwater Horizon incident. Sufficient progress was made with the establishment of BOEM, BSEE, 

and the Office of Natural Resources Revenue (ONRR) that GAO has declared the reorganization issues 

and concerns have been addressed. Interior’s revenue collection and human capital challenges remain a 

concern. 

The Bureau has taken a number of actions to address long-term hiring and retention challenges raised in 

the Government Accountability Report entitled Oil and Gas-Interior Has Begun to Address Hiring and 

Retention Challenges but Needs to Do More. The Bureau is committed to hiring and retaining a highly 

skilled, qualified, and diverse workforce dedicated to accomplishing BSEE’s mission to promote safety, 

protect the environment, and conserve resources offshore through vigorous regulatory oversight and 

enforcement. 

In FY 2016, BSEE will continue to implement its Human Capital Strategic Plan, which addresses 

anticipated workforce changes and gaps in critical skills and competencies. The plan defines BSEE’s 

goals and strategies to address its most immediate human capital priorities which are to recruit, hire, train, 

and deploy the very best people to accomplish the BSEE mission. Despite the Bureau’s best efforts, 

24 Bureau of Safety and Environmental Enforcement 
 

 

 

 

 

 

 

 

 

 

 

 

Secretarial Initiatives, Agency Priority Goals, and Administration Management Initiatives 

disparity between the salary and incentives offered by industry and BSEE continues to be a significant 

challenge for recruiting and retaining engineers and inspectors. 

Implementation Strategy and Performance Metrics: The BSEE has undertaken the following strategic 

initiatives to further enhance the management of oil and gas resources on the OCS: 

Regulatory Development - Under the OCS Lands Act, BSEE is responsible for the development and 

updating of extensive regulations implementing authority to regulate oil and natural gas exploration, 

development, and production operations on the OCS. The BSEE’s regulations and ongoing rulemaking 

activities seek to enhance safety and environmental protection in innovative ways that reflect 

advancements in technology and new information and thus help achieve the goals of regulating and 

enforcing OCS operations to compel safety, emergency preparedness, and environmental responsibility; 

and helping to build BSEE’s capacity to keep pace with OCS industry technological improvements and 

reduce risk. 

The foundation of this program is a set of regulations that govern offshore energy operations from 

engineering specifications for offshore facilities to training requirements for OCS workers. The BSEE 

continually reviews these regulations to update and revise them as necessary so they include the most 

effective requirements for safety and environmental protection on the OCS, and continues efforts to 

improve efficiency in its regulatory program. The Bureau has evaluated its regulatory development 

processes and its process for issuing Notices to Lessees and Operators (NTLs) and has implemented 

changes to improve the efficiency of those processes. 

In FY 2016, BSEE’s Office of Offshore Regulatory Programs will continue developing proposed and 

final rules that will improve safety and reduce risks to persons, property, and the environment while 

helping to conserve the resources of the OCS. 

In particular, BSEE expects to complete or continue development of final rules that will, among other 

things: 

•	 Improve well control and reduce safety and environmental risks from well operations by
 

continuous review of and improvement of well design, well-control, casing, cementing, 

monitoring, and subsea containment requirements;
 

•	 Improve personnel safety and environmental protection on fixed OCS platforms by incorporating, 

and requiring compliance by operators, the latest editions of industry standards for design and 

manufacture of cranes used on fixed OCS platforms and for operation and maintenance of such 

cranes; and 

•	 Develop additional measures specifically tailored to the operational and environmental conditions 

of the Arctic OCS that will ensure Arctic OCS exploration operations are conducted in a safe and 

responsible manner, taking into account the unique Arctic OCS conditions and Alaska Natives’ 

cultural traditions and need to access subsistence resources. 

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Secretarial Initiatives, Agency Priority Goals, and Administration Management Initiatives 

The Bureau also expects to develop and propose new regulations that will improve safety for personnel on 

fixed platforms regarding the safe design and operations of helidecks and aviation fuel systems and for 

other helicopter-related operations on such platforms. 

Standards Program 

The BSEE continues to work with industry groups on standards development and assess those standards 

for possible incorporation into BSEE’s regulations. The Bureau participates on nearly 100 different 

standards development committees with organizations such as the API and the American Society of 

Mechanical Engineers. Most of the Standards Development Organizations are in Houston, Texas, and 

BSEE has made a concerted effort to increase staff in Houston to ensure substantial day-to-day 

communication with these organizations is taking place. In addition, BSEE has identified subject matter 

experts from the regional and district offices to attend these meetings and provide input on standards 

development from the regulator’s perspective. The Bureau’s representation at these meetings is critical to 

ensure the knowledge of the content of the standards under development as well as influencing the 

direction and extent of the standard itself are communicated. The incorporation of consensus standards 

into the regulations provides efficiencies for the agency in its regulatory program. Attendance at 

standards meetings also ensures that BSEE is able to keep up with the latest technological advances 

within the industry and develop the intellectual capacity of our engineers through interaction with 

recognized industry experts. 

In 2016 the Standards Program has the following critical objectives: 

•	 Open channels of communication between standards committees and BSEE subject matter 

experts and disseminate information concerning safety, environmental, or health concerns which 

can be mitigated through incorporation of new or updated standards or other technological 

advances discussed at standards meetings. 

•	 Ensure a detailed analysis of new and revised industry standards. This includes working with 

other BSEE programs to understand how the standards documents are interpreted and used by 

regional/district employees, identifying gaps in the standards and regulations, and providing 

solutions through standards documents. This also includes working with the standards 

committees to identify the best available technologies for enhancing safety, emergency 

preparedness, and environmental responsibilities; as well as ensuring those technologies are 

incorporated into the standards documents and regulations. 

Risk-Based Inspections 

The BSEE is also actively working to develop an evidence-based risk-based inspection methodology for 

use at various levels within the regulatory program. A pilot program will be implemented in the second 

quarter of FY 2015. Through the identification and quantification of risk, BSEE can identify leading and 

lagging indicators and improve its analysis of the effectiveness of redundant physical controls (barrier 

analysis). BSEE conducted an analysis of FY 2014 incident data that demonstrated that the 410 highestrisk platforms in the Gulf of Mexico OCS Region (GOMR), representing 20 percent of GOMR platforms, 

26 Bureau of Safety and Environmental Enforcement 
 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Secretarial Initiatives, Agency Priority Goals, and Administration Management Initiatives 

accounted for 80 percent of all accident or pollution events reported to BSEE during FY 2014. These 

platforms also accounted for 84 percent of all major incidents such as fires, explosions, spills, fatalities, 

and blowouts. The BSEE is actively investigating the deployment and use of the methodology to 

effectively target available inspector resources. Strategies are being investigated to use this risk 

methodology to help prioritize inspections and to inform decisions for which SEMS audits BSEE should 

observe. 

Safety is a priority for both BSEE staff and for operations that occur under BSEE’s jurisdiction. Onsite 

facility inspections and enforcement actions are important components of BSEE's safety program. The 

Bureau has established ambitious performance targets for the thousands of inspections of OCS facilities 

and operations conducted each year, including coverage of tens of thousands of safety and pollution 

prevention components to prevent offshore accidents and spills, and to ensure a safe working 

environment. 

The BSEE is working to refine internal controls and processes and expand the use of information and data 

management systems to enhance continuous offshore safety and an environmental enforcement presence. 

As these reforms are deployed, BSEE is able to strengthen its investigation, data analysis, and compliance 

and enforcement programs to enhance the identification of risk and risk-mitigation approaches. The 

Bureau is further advancing new protocols that emphasize risk-based oversight with the intent of 

identifying and focusing inspections on the “riskiest” activities and facilities and utilizing real-time 

monitoring technologies to improve and increase the regulatory oversight of critical offshore operations 

and equipment. 

Real-Time Monitoring 

As described in the Executive Summary, the BSEE is examining the use of real-time monitoring 

technologies to improve and increase regulatory oversight of critical offshore operations and equipment. 

The intent of real-time monitoring is to develop, test, and implement reforms that significantly improve 

BSEE’s Inspection and Enforcement Program by using innovative technologies and risk-based inspection 

criteria. Over time this technology may provide an added layer of redundancy to Interior’s oversight of 

OCS operations and substantially enhance the Department’s ability to more safely and responsibly 

manage OCS resources. 

The BSEE has contracted with the NAS to convene a study committee to review the findings from a 

recently completed external real-time monitoring study, along with the findings from an internal BSEE 

real-time monitoring study, and hold a public workshop to discuss these findings to obtain industry 

feedback and build consensus on the recommended path forward for real-time monitoring. The feedback 

from the public workshop will provide valuable input to help guide the future direction of BSEE’s realtime monitoring initiative and identify gaps that require follow-up research. Real-time monitoring is an 

enabling technology and it raises a larger question about what the regulator’s role should be in monitoring 

day-to-day drilling, completion, workover, and production activities. This is beyond BSEE’s traditional 

inspection role, and the NAS is well suited to advise BSEE on this programmatic question. The NAS 

contract requires a final report be provided to BSEE by FY 2016, including the industry input from the 

public workshop and the findings by the NAS study committee. 

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Secretarial Initiatives, Agency Priority Goals, and Administration Management Initiatives 

The implementation of real-time monitoring technology also directly supports an agency goal, which is to 

“Build and sustain the organizational, technical, and intellectual capacity within and across BSEE’s key 

functions – capacity that keeps pace with OCS industry technological improvements, innovates in 

regulation and enforcement, and reduces risk through systemic assessment and regulatory and 

enforcement actions”. 

Training 

The BSEE Offshore Training Branch (OTB) develops and provides for the delivery of training curriculum 

for BSEE employees. The OTB works closely with BSEE managers, including at the regional and district 

levels, to ensure that the annual training requirements (as outlined in BSEE policy) for BSEE engineers 

and inspectors are met. Individual training records are established, maintained, and monitored for BSEE 

personnel. 

The Bureau designs and delivers programs that both meet the unique and varied needs of BSEE inspectors 

and engineers and that integrate the latest technical expertise and practices of industry with rigorous 

safety and compliance mandates. The OTB’s efforts directly support the agency goal, “Build and sustain 

the organizational, technical, and intellectual capacity within and across BSEE’s key functions – capacity 

that keeps pace with OCS industry technological improvements, innovates in regulation and enforcement, 

and reduces risk through systemic assessment and regulatory and enforcement actions.” 

Throughout FY 2014, 79 courses were offered with 955 participants completing 23,396 training contact 

hours. These statistics indicate a significant increase each year as we continue to enhance the technical 

competencies of BSEE engineers and inspectors. 

President’s Management Agenda 

The DOI supports the President’s Management Agenda to build a better government, one that delivers 

continually improving results for the American people and renews their faith in government. The BSEE 

is actively involved in the government-wide effort to bring forward the most promising ideas to improve 

government effectiveness, efficiency, spur economic growth, and promote people and culture. The BSEE 

supports achievement of the President’s Management Agenda objectives in these four pillars as described 

in the following paragraphs. 

Effectiveness: 

Customer Service 

The BSEE has several key activities designed to improve services directly provided to citizens. The 

Bureau will continue to modernize the permitting and inspection processes through the development and 

maintenance of eWell, ePermits, and eInspections. These programs will streamline the application 

process, enhance communication, and provide more transparency in operations. eWell will allow industry 

to securely submit permit applications, reports and shut-in information, ePermits will enable electronic 

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Secretarial Initiatives, Agency Priority Goals, and Administration Management Initiatives 

submission of applications as well as allowing operators to pay any required fees online and provide a 

workflow tool to track the application process, and eInspections will automate the collection and use of 

inspection support documentation and results. 

The BSEE is also in the planning and proof of concept phase to acquire tools to expand its Business 

Intelligence (BI) capabilities. One aspect of BI is the ability to provide information to the public more 

readily, thus giving better insight into the Bureau’s activities and capabilities. 

Smarter IT Delivery 

All BSEE and BOEM IT investments follow established Capital Planning and Investment Control (CPIC) 

and IT governance processes to prioritize and select projects that best support the mission in the most 

cost-effective manner. The BSEE’s emphasis on improving the Inspection and Enforcement Program and 

both Bureaus’ focus on risk management are factored into investment selection decisions made by the IT 

governance boards. 

The TIMS serves as the primary mission IT investment for BOEM and BSEE activities. The TIMS has 

been undergoing planned modernization to support improved data accuracy and access and enhanced risk 

management. Completed efforts include eWell (FY 2011-2012) and eInspections (FY 2013-2015). 

Intensive planning efforts are underway for the next enhancements, ePlans (BOEM) and ePermits 

(BSEE), which are expected to begin development in FY 2015, continuing through FY 2016 and into 

FY 2017. The Bureau is also queuing up several follow-on projects which are in the conceptual planning 

phase. In addition, BSEE is exploring comprehensive enhancements with other Bureaus, such as the BI 

Tools utilized by ONRR, to enhance reporting capabilities and better analyze critical data. 

During FY 2016, steady state TIMS investments are expected to continue near the current level of 

$14 million with ePlans and ePermits development underway. Since full requirements analysis is still in 

process for these projects, an accurate life-cycle cost is not yet available for these investments. The 

BSEE expects to have this information by the third quarter of FY 2015. The BOEM will provide the 

resources for ePlans and BSEE will fund ePermits. The ONRR does not contribute to these development 

efforts. The BSEE and BOEM program offices also directly fund specific steady state IT investments 

from their own budgets. In FY 2016, these investments will include Geologic Interpretive Tools (GIT), 

Renewable Energy Auctions, and the ESRI Block and Boundary GeoDatabase. 

The IT Enterprise provides infrastructure and office automation services to BOEM, BSEE, and ONRR, 

with costs for those services shared across the three organizations. The infrastructure and office 

automation services are essential to the operation of the mission systems and the ability of staff in the 

three organizations to perform mission tasks. The services delivered by the Enterprise include Network 

and Telecommunications Services, IT Security Services, IT Service Desk, User Account Services, 

Systems Operations, and Continuity of Operations and Disaster Recovery Support Services. 

The estimated cost for Enterprise IT Services in FY 2016 is $20 million. This cost includes a nationwide 

contract for operation and maintenance of all the infrastructure related systems, office automation 

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Secretarial Initiatives, Agency Priority Goals, and Administration Management Initiatives 

applications and remote access solutions, as well as software licenses, hardware maintenance, and 

technology refresh of equipment. 

Efficiency: 

Shared Services 

The BSEE provides services to Bureaus on a cost reimbursable basis. The Bureau has established a 

number of benchmark processes and tools to provide BOEM and BSEE management information that is 

critical to understanding the impacts of funding increases and decreases. The Bureau tracks and reports 

costs and obligations by object class, performance metrics, and workload. Both cost and performance 

data is analyzed against historical data to identify trends, and opportunities for efficiencies. Over the last 

two years, despite significant growth in staffing and activity within the programs and Bureaus supported, 

BSEE has maintained the operational costs associated with its administrative operations. 

Improve Mission Support Operations 

To enhance program accountability, the BSEE uses a combination of funding allocations and a variety of 

program-specific financial codes to ensure the thorough tracking of OCS-related expenditures. Funding 

allocations are calculated by activity and by program. This allows the Bureau to target funding in the 

Financial and Business Management System (FBMS) to specific geographic regions or for a specific 

purpose. For example, BSEE allocations include the targeting of funds for the Alaska, Gulf of Mexico, 

and Pacific OCS Regions as well as for the Emerging Technologies Program. 

Allocations for OCS-related expenditures are determined at the beginning of each fiscal year and are 

based on the program or Region’s past performance, future projected requirements, and new initiatives. 

The allocations can be modified during the fiscal year in response to unforeseen requirements and/or 

developments in OCS technologies, and are continuously monitored through the tracking process 

described above to ensure accuracy and availability of funds to support OCS-related expenditures. 

Economic Growth: 

Open Data and Access to High-Value Data Sets 

The BSEE has been working to develop and maintain its IT investments by enhancing the Bureau’s 

capability to collect and manage data. Through enhanced data use, BSEE will be able to make better 

decisions, as well as make data available to the public in an accessible way while protecting privacy, 

proprietary, and business confidential information. 

30 Bureau of Safety and Environmental Enforcement 
 

 

 

 

 

 

 

 

 

 

 

 

 

 

Secretarial Initiatives, Agency Priority Goals, and Administration Management Initiatives 

A few of the major initiatives currently underway at BSEE are: 

•	 The expansion of eWell to the Regions. This initiative will integrate the electronic submission of 

well permitting applications with the Bureau’s business processes, and allow industry to securely 

submit permit applications, various reports, and important shut-in information. 

•	 The deployment of eInspections. eInspections builds on a previous pilot and expands 

functionality to the inspection of both rigs and platforms. The Bureau conducts thousands of 

inspections of OCS facilities each year, including coverage of tens of thousands of safety and 

pollution prevention components. eInspections will greatly automate the collection and use of 

critical inspection support documentation and inspection results. eInspections will also provide a 

more efficient tool for planning and coordinating inspection workload, and provide operators a 

mechanism for electronically transferring information related to inspections. 

•	 The planning and development of the ePermits system. The ePermits system will allow operators 

to securely submit applications and reports to BSEE for review and approval. Submitted data will 

be validated and checked. It will be processed through a number of automated checks that will 

ensure increased validity of data, while at the same time reducing processing time. The ePermits 

system will also allow operators to pay any required application fees online, and provide a 

workflow tool to facilitate the tracking of permits through the approval process. 

The BSEE has begun transitioning to a data stewardship framework within the Bureau to facilitate the 

development and implementation of standards, policies and procedures, and improve the quality and 

accessibility of administrative data for analytical purposes. The Bureau works to protect proprietary and 

personally identifiable information (PII) through existing policies and procedures, and endeavors to 

update these as appropriate to maintain compliance and provide individuals and organizations the 

necessary assurances regarding the integrity of critical information assets. Furthermore, BSEE is working 

in concert with other Bureaus in the DOI and DOI staff to make progress towards a comprehensive 

inventory of data assets as instructed by OMB M-13-13. Finally, BSEE is moving towards substantive 

increases in access to high-value data assets and analytical capacity through the implementation of an 

Enterprise Risk Management framework and relevant software solutions, as well as various data-driven 

program performance evaluation and risk identification tools. 

Infrastructure Permitting 

The Bureau is committed to enhancing its permitting activities through the expanded use of technology. 

The Bureau is currently in the implementing phase for its electronic permitting system, ePermits. All of 

the workflow and use cases have been identified and a contractor will be providing BSEE a report on the 

system requirements that will be needed in February, 2015. The operations contractor will start 

developing the ePermit system in the third quarter of FY 2015. The ePermits system will allow operators 

to securely submit applications and reports to BSEE for review and approval. The system will also allow 

submission of both structured and unstructured data via attached documents. Data will be validated and 

checked by the system to ensure that only complete applications are submitted. The ePermits system will 

allow operators to pay any required application fees online through links to pay.gov, and will link 

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Secretarial Initiatives, Agency Priority Goals, and Administration Management Initiatives 

payment information and the permit. The system will also provide workflow as a means to track the 

review and approval process, document all evaluations, and provide the ability to send notifications. All 

applications and reports will be stored in the Bureau’s electronic document management system. 

The ePermits system will: 

•	 Replace the outdated paper document system with an electronic system. Numerous applications 

and reports are submitted to BSEE as hard-copy documents. Upon approval, most are filed in a 

paper filing system. This outdated paper filing system is costly to maintain, very labor intensive, 

and limits access to documents. Documents are not available except at the physical file room. 

During events that require evacuation of the building for extended time periods, such as 

hurricanes, the documents are not accessible. Documents are also not available to telecommuting 

employees. The new ePermits system will solve this problem by ensuring that all applications 

and reports are reported electronically and stored in our electronic data and documents systems. 

•	 Track application fee payment to ensure proper fee collection. Currently, BSEE requires lease 

operators to pay various cost-recovery application fees via a separate pay.gov system. When 

paper applications are submitted, a copy of the pay.gov receipt is attached to each application. 

Then each payment must be verified to ensure that payment receipts are not used more than once. 

And for cases where applications are not submitted, the Bureau must verify that a payment is not 

used before granting a refund. These problems are very labor intensive. The ePermits system 

will solve these problems by ensuring that each fee payment is properly linked to an actual 

application. This will ensure that fees are properly collected when required, and properly 

managed. 

•	 Populate discrete data for certain permits and reports to reduce data entry and increase data 

validation. Currently, BSEE employees must manually input and update most data in our 

corporate database management system, TIMS, when permit applications and reports are 

reviewed. Any data issues are not discovered until the BSEE employee attempts to record the 

data in TIMS. This manual data entry system is costly and inefficient, and causes delays in 

permit review and approval. The ePermits system will solve this problem for certain types of 

applications and reports that include large amounts of data. 

•	 Provide a workflow process for routing, tracking, and creating an audit chain of the permit review 

process. The ePermits system will provide a means to track and document all evaluations 

(reviews). This will increase the efficiency of evaluation for permits. 

•	 Provide a status of all permit applications. 

•	 Integrate with all required current modules of the TIMS. 

32 Bureau of Safety and Environmental Enforcement 
 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Secretarial Initiatives, Agency Priority Goals, and Administration Management Initiatives 

People and Culture: 

Special Pay Authority 

One of BSEE’s two strategic goals is to build and sustain the organizational, technical, and intellectual 

capacity within and across BSEE’s key functions. Critical to accomplishing this goal is the Bureau’s 

ability to recruit, develop, and retain its workforce. 

As of October 2012, BSEE had 679 employees on board. Through aggressive hiring efforts, BSEE has 

been able to make significant strides toward recruiting and hiring to its full staffing levels, and through 

December 2014, has 786 employees on board. However, BSEE still has considerable recruiting and 

hiring to do in order to reach full staffing levels, and anticipates this effort extending into FY 2016. As a 

result of significant pay gaps between the Federal pay structure, and what industry can pay its workforce, 

it is difficult for BSEE to recruit and retain staff. Competition with private industry to recruit and retain 

engineers, inspectors, and other scientific job series is especially challenging. Private industry can, and 

does, pay significantly higher salaries. 

One tool that has helped to recruit and retain the workforce it needs is the special pay rate authority 

provided by Congress in recent appropriations for certain critical job series. The special pay rate has 

assisted BSEE in competing with the higher salaries being offered by industry. The Department is 

currently working with the Office of Personnel Management (OPM) to administratively establish 

appropriate pay authority schedules that would be longer in duration and apply to a number of critical job 

series. 

Additionally, to mitigate the challenges BSEE faces, the Bureau is utilizing all hiring and compensation 

flexibilities available to include recruitment, retention, relocation, superior qualifications, special hiring 

needs appointments, student loan repayment, and creditable non-federal/non-military service for leave 

accrual. Specifically, the Bureau approved a one-year, ten percent inspector group retention bonus in 

August 2014 to partially reduce the number of inspector resignations for higher paying industry positions. 

The BSEE’s FY 2016 proposal also requests funding to support the ETAC in an effort to provide 

employment opportunities in areas where additional talent, including post private industry career 

employment or re-entry into the workforce, may provide an untapped pool of talent. 

Job Training and Employment Programs 

The BSEE promotes training for potential and current employees who desire professional growth and 

career advancement. The Bureau is also dedicated to advancing talent from within through a wide range 

of training, mentorship, and development opportunities. 

The Bureau participates in the Partnership for Public Service's Student Ambassador Program and has 

implemented several internship programs. These programs allow students to become familiar with the 

mission and functions of the BSEE offshore program and encourage career opportunities in the public 

sector. The Pathways Program allows students to be exposed to the work of the government through 

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Secretarial Initiatives, Agency Priority Goals, and Administration Management Initiatives 

Federal internships while pursuing their degree. Every year BSEE attends recruiting opportunities 

nationwide and promotes engineering internships with colleges/universities across the country. The 

program allows engineering students to become familiar with the mission and functions of the BSEE 

offshore program. The Recent Graduates Program provides developmental opportunities for those 

potential employees who have recently completed their studies. 

Additionally, BSEE has developed a formalized Youth Program which has representation from all of its 

Regions and program areas. The goal of the Program is to connect Youth with BSEE's mission and the 

skill sets utilized in BSEE. The BSEE Youth Representatives are working on creating partnerships 

between local schools and facilitating teacher training and/or curriculum design for science classes related 

to oil and gas incidents. These training initiatives are focused on encouraging children to explore future 

learning opportunities within the STEM disciplines. 

The Bureau’s National Offshore Training Program (NOTP) provides comprehensive, multi-tiered, 

professional development opportunities for BSEE inspectors, engineers, and scientists to assist in 

providing safe and environmentally sound offshore oil and gas operations. The NOTP supports the 

Bureau’s goals by identifying and providing up-to-date training and development opportunities to Bureau 

staff involved in inspecting or approving the use of new technologies for offshore oil and gas operations. 

The technical training is practical and focuses on the latest technology for areas such as deep water 

drilling and subsea operations. The classes are taught by renowned subject matter experts to ensure 

continued education and development that enhances professional competence and personal satisfaction. 

The major goals of the NOTP are as follows: 

•	 To design and deliver technical training programs that continuously improve the knowledge and 

effectiveness of BSEE’s offshore inspector workforce as the front line of compliance and 

enforcement of offshore regulations, standards, and use of BAST. 

•	 To provide continuous learning and training for BSEE engineers to assure that they have the 

latest knowledge on BAST for the approval of operating plans and departures from regulations 

and to be knowledgeable about, and able to partake in, the latest real-time monitoring capabilities. 

•	 To train BSEE environmental compliance officers to assure that all current environmental 

regulatory practices are being met to provide maximum protection of the marine and coastal 

environment. 

34 Bureau of Safety and Environmental Enforcement 
 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Strategic Objective Performance Summary 

FY 2016 PERFORMANCE BUDGET
 

Strategic Objective Performance Summary 

The FY 2016 budget request provides the resources needed to carry out the core functions of the BSEE, 

including offshore regulatory programs; oil spill response planning; safety inspections, enforcement and 

investigations; environmental enforcement and compliance; well and production permitting; and 

production and development oversight. 

STRATEGIC OBJECTIVE PERFORMANCE SUMMARY 

The FY 2014 - 2018 DOI Strategic Plan, in compliance with the principles of the Government 

Performance and Results (GPRA) Modernization Act of 2010, provides a collection of mission 

objectives, goals, strategies, and corresponding metrics that together constitute an integrated and focused 

approach for tracking performance across the wide range of DOI programs. While the DOI Strategic Plan 

for FY 2014 – FY 2018 is the foundational structure for the description of program performance 

measurement and planning for the FY 2016 President’s Budget, further details for achieving the Strategic 

Plan’s goals are presented in the DOI Annual Performance Plan and Report (APP&R). Bureau and 

program specific plans for FY 2016 are fully consistent with the goals, outcomes, and measures described 

in the FY 2014 - 2018 version of the DOI Strategic Plan and related implementation information in the 

APP&R. 

Bureau Contribution 

Within the DOI Strategic Plan for FY 2014 – FY 2018, BSEE is aligned under the third mission area: 

Powering Our Future and Responsible Use of the Nation’s Resources. Specifically, its functions are 

captured within Goal One: Secure America’s Energy Resources and Strategy One: Ensure environmental 

compliance and the safety of energy development. The BSEE has two GPRA measures that assess its 

support of this strategy: 

 The Amount (in barrels) of operational offshore oil spilled per million barrels produced 

(excluding Hurricane-related spills), is an annual environmental measure comparing the amount 

of oil spilled during operations to the amount of oil produced. This measure takes into account 

all crude oil, condensate, and refined petroleum product spills of one barrel or greater that occur 

in Federal offshore waters as a result of mineral development, production, and transportation 

activities on the OCS. Oil spills which occur from acts of nature (e.g., hurricanes and 

earthquakes), acts of terrorism, or activities other than those involved in Federal OCS oil and 

gas production and transportation are excluded from the measure (e.g. non-Federal OCS 

petroleum spills from marine transportation, fishing, recreational, and other activities which 

occurred on the Federal OCS). 

Bureau of Safety and Environmental Enforcement 35 
 

 

 

 

 

 

 

 

 

 

 

Strategic Objective Performance Summary 

 The Number of recordable injuries per 200,000 offshore man hours worked (100 man years) is 

an annual safety incident rate of all recordable injuries (including fatalities) that are associated 

with BSEE-regulated activities. Beyond fatalities, recordable injuries are those injuries that 

require medical treatment beyond first aid, excluding those that are due to natural causes, 

illness, or that are self-inflicted. The man hours worked count covers all operator and contractor 

hours worked for production, construction, and drilling operations on the OCS (200,000 man 

hours equates to approximately 100 full time workers). 

The BSEE strategies also support DOI mission area 4: Engaging the Next Generation and DOI’s mission 

of Building a 21st Century Department of the Interior. 

The BSEE continues to review, update, and add to its Bureau-level performance measures. The Bureau 

currently also reports on the total number of compliance inspections completed and the utilization rate 

achieved at the Ohmsett National Oil Spill Response Research test facility each fiscal year. The BSEE’s 

current GPRA measures, supporting measures, and their respective results are included in the following 

Goal Performance table. In FY 2016 BSEE will continue the work started in FY 2015 to refine and 

expand on program performance measures. 

36 Bureau of Safety and Environmental Enforcement 
 

 

Strategic Objective Performance Summary 

Table 3: Goal Performance Table Target Codes: SP- Strategic Plan Measures HPG- High Performance Goal BUR - Bureau Specific Measure UNK- Prior year data unavailable TBD- Targets have not yet been developed NA- Long-term targets are inappropriate to determine at this time Type Codes: C - Cumulative Measures A - Annual Measures F - Future Measures Mission Area 2: Sustainably Manage Energy, Water, and Natural Resources Goal 1: Secure America's Energy Resources Strategic Objective Metrics / Strategic Plan Measure / Efficiency or other Bureau-Specific Measure Type 2011 Actual 2012 Actual 2013 Actual 2014 Plan 2014

Actual

 2015

Plan 2016 Request

GPRA MeasuresAmount (in barrels) of operational offshore oil spilled per million barrels produced (excluding Hurricane-related spills) (SP) 

A 0.42 (est.) (243/581 million) 0.26 (est.) (141/547 million) 0.099 (47.86/ 482 million) < 4.5 0.14 (est) (73.01/506 million) < 3.5 < 2.5 

Contributing Programs Operations, Safety and Regulation Comments 

During FY 2014, there were 21 incidents involving spills greater than 1 barrel from facilities within Federal waters and under BSEE jurisdiction. This results in a total of 73.01 barrels of operational oil being spilled in FY 2014. The Taylor Energy Platform at Mississippi Canyon (MC) 20, damaged during Hurricane Ivan, had 16 of the 21 incidents that resulted in releases greater than 1 barrel for a contribution of 41.9 barrels of the total 73.01 barrels. Response operations are ongoing at this destroyed facility including pollution domes deployed that collect most of the oil released at the site (not considered spilled). The remaining 9 incidents occurred due to equipment failure (8) and unknown causes (1).In FY 2013, 15 operational spill events greater than 1 barrel were reported resulting in approximately 48 barrels of oil being spilled, with the largest spill reported being approximately 15 barrels. Currently production for FY 2014 is estimated to be 482 million barrels resulting in operational and total oil spill ratios of 0.099 and 0.099 respectively.NOTE: Oil spill data reported are for “known” spills – and may miss many unreported (and thus unknown) spills. This data are constantly updated as additional information becomes available through the completion of investigations and/or recovery operations; occasionally, a spill may be deleted or added a year or more later and result in historical data revisions. A final spill volume for the Deepwater Horizon accident has not been determined. Therefore the numerator for the FY 2011 Operational Oil Spill ratio and the rate itself are both estimates. Production data for FY 2014 is estimated because of the lag time (~6 months) that exists in getting final production figures due to ONRR/BSEE production verification procedures. (506,541,040). The number and volume of spills for FY 2014 are also estimated because some investigations for FY 2014 incidents are not yet complete; when they are completed, additional information may affect the number of incidents and/or volume spilled. 

Bureau of Safety and Environmental Enforcement 37 
 

Strategic Objective Performance Summary Strategic Objective Metrics / Strategic Plan Measure / Efficiency or other Bureau-Specific Measure Type 2011 Actual 2012 Actual 2013 Actual 2014 Plan 2014

Actual

 2015

Plan 2016 Request

Number of Recordable Injuries per 200,000 Offshore Man Hours Worked (DOI-Regulated Activities ONLY) (SP) 

A 0.30 (revd) (171/569) 0.332 (200/602) 0.379) (228/601) <0.50 0.342 (est) (205/599) <0.450 <0.400

Contributing Programs Operations, Safety and RegulationComments

This strategic plan measure is an incident rate of all Recordable Injuries (i.e., injuries that require medical treatment beyond first aid and fatalities) that occur during DOI-regulated activities in the fiscal year for every 200,000 offshore man hours worked (which is the approximate equivalent of 100 full-time workers). In FY 2013, there were 211 recordable injuries reported for activities with BSEE’s jurisdiction and the estimated number of man years worked was 68,848. These estimated results indicate that in FY 2013 there was approximately 1 recordable injury in DOI-regulated activities for every 326 full-time offshore workers. Because safety levels are best evaluated as trends over multiple years, targets for FY 2014 and beyond are based on analysis of historical recordable injury rates against an extrapolation of voluntary man hour reporting from operators in previous years. The Safety and Environmental Management System (SEMS) regulation that went into effect in November 2010 requires all operators to report offshore man hours worked during the calendar year.For FY 2014, the number of recordable injuries (BSEE primary jurisdiction) for FY 2014 was: 205 injuries; the total hours worked on the OCS for FY 2014 was: 119,824,028 hours; the number of recordable injuries (BSEE jurisdiction) per 200,000 hours worked for FY 2014 is 0342.

Number of fatalities among workers in DOI permitted activities (BUR) A 2 1 4 3 1 1 1 Contributing Programs Operations, Safety and RegulationComments

In FY 2013, there were four fatalities among offshore workers in DOI-regulated activities. Three of the fatalities resulted from an explosion and fire on a platform in the Gulf of Mexico operated by Black Elk Energy Offshore Operations (Black Elk). The explosion and fire occurred during welding work that was being conducted as part of construction operations on November 16, 2012. The 4th fatality occurred on January 26, 2013, when a worker was fatally injured in a suspected electrical incident on a jack-up rig at SS 170. This incident is still being investigated. There was a 5th fatality that occurred in FY 2013, however, it was a helicopter incident and was not under BSEE's primary jurisdiction. Because safety levels are best evaluatedas trends over multiple years, targets for the fatalities are developed based on reducing a rolling 5-year average, which includes the FY 2010 explosion and sinking of the Deepwater Horizon drilling rig off the coast of Louisiana resulted in 11 deaths.On October 27, 2013, a fatal incident occurred on the “A” Platform, of Vermilion Block 200, Lease number OCS-G 9500. A 130 ton dry oil storage tank skid assembly, consisting of one (1) 16 feet diameter x 85 feet long horizontal cylindrical tank and two (2) 83 feet long flare booms mounted to and extending away from the skid at a 17-degree angle, toppled over and fell 115 feet into the Gulf of Mexico from the Vermilion Block 200 Platform “A”. A welder, working for Offshore Specialty Fabricators, LLC (OSF) and performing preliminary welding cuts, was standing on the walkway attached to the top of the cylindrical tank when the skid assembly toppled overboard. The dry oil storage tank skid assembly, along with the welder, sank within minutes. A BSEE Panel Investigation has been completed and the report is published on the BSEE website.

Less than X% of total gas produced is approved to be flared or vented offshore (BUR) (Calendar Yr) A 

0.33%

 (6,236,550/

1,862,844,400) 

0.39% 

(6,070,151/

1,563,186,639) 

0.40% 

(5,398,399/

1,354,464,535) 

0.70% TBD 0.60% 0.60% 

Contributing Program Operations, Safety and Regulation Comments 

Industry statistics for venting and flaring show worldwide rates ranging from 0.2 percent to 100 percent. Due to satellite monitoring and verification, flaring and venting on the OCS is kept to a minimum. Since FY 2008 U.S. rates have ranged from 0.28 percent to 0.72 percent. In April of 2010, BSEE published revised flaring and venting regulations requiring operators to install flare/vent meters on all OCS facilities that process more than 2,000 bbl of oil per day. Previously operators were allowed to estimate these flare/vent volumes. The revised regulations will improve the accuracy of flaring data but may increase reported volumes. Long-term targets will be determined once data has been collected for multiple years under the revised regulations. 

38 Bureau of Safety and Environmental Enforcement 
 

 

Strategic Objective Performance Summary 

Strategic Objective Metrics / Strategic Plan Measure / Efficiency or other Bureau-Specific Measure Type 2011 Actual 2012 Actual 2013 Actual 2014 Plan 2014

Actual

 2015

Plan 2016 Request

Achieve a utilization rate of X% at Ohmsett, the national oil spill response test facility (BUR) A 84% (202/240) 94% (226/240) 93% (206/222) 85% 87% 85% 85% Contributing Programs Oil Spill ResearchComments

Ohmsett is the National Oil Spill Response Test Facility located in New Jersey. At Ohmsett, clients can test oil spill response equipment in realistic conditions and have training in the use of the equipment. This measure evaluates the utilization level of the facility. The increased focus on oil spill response, as well as expanded uses for the facility such as dispersant training and renewable energy wave tests, have sustained overall utilization rates at around 85 percent. In FY 2014 actual, available days reduced from 240 to 231 because the tank was frozen for nine days. 

Total Number of Compliance Inspections Completed (BUR) A 20,537 23,025 24,195 25,000 21,033 21,000 21,000 Contributing Programs Operations, Safety and RegulationComments

NOTE: A number of factors influenced the number of inspections. Inspections, in many cases, were more comprehensive and more occurred in deeper water. These factors lengthened the time spent on individual inspections. Additionally, 83 inspection days were lost in FY 2014 as a result of weather, primarily poor visibility resulting from fog.On April 30, 2010, the President directed the Secretary to conduct a 30-day review of the Deepwater Horizon event and to report what additional precautions and technologies should be required to improve the safety of oil and gas exploration and production operations on the Outer Continental Shelf. One of the key recommendations included in that report, as well as other subsequent reports, is that the BSEE needs to increase its oversight and evaluate/revise the manner in which it conducts its drilling inspections.Since 2010, the inspector/investigator workforce has increased over 40 percent and BSEE has begun to develop and implement a new inspection strategy that focuses on risk and the use of advanced inspection technologies. Inspection performance trends are not increasing as fast as previously planned due to an increased focus on the witnessing of complex high-risk activities (e.g., BOP testing and cement/casing activities) that consume more resources to inspect and the extended time required to hire and train new inspectors so they can independently conduct inspections and other safety/environmental enforcement work. For these reasons, it is difficult to determine how many inspections will be completed beyond FY 2015.

Conduct full Coast Guard inspections on X% of manned offshore facilities annually (BUR) A 14.3% (141/985) 14.3% (133/932) 24% (229/959) 10% 18.3% (140/767) 10% 10% Contributing Programs Operations, Safety and Regulation Comments 

Inspection of U.S. Coast Guard regulated items is a function that was provided for by regulation but one for which BSEE is not reimbursed. Assumption of limited responsibilities by BSEE was pursued following a report by the Inspector General that the U.S. Coast Guard was not conducting inspections of safety items on fixed facilities, as required by law. At this time, BSEE inspectors conduct a limited FPSIP (fixed platform self inspection program) inspection on every platform that they visit and have an annual target of conducting full FPSIP inspections on 10 percent of manned facilities. 

Bureau of Safety and Environmental Enforcement 39 
 

Strategic Objective Performance Summary 

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40 Bureau of Safety and Environmental Enforcement 
 

 

Fixed Internal Program 2014 2015 2016 Costs Transfers Changes Actual Enacted Request (+/-) (+/-) (+/-) 

Appropriation: Operations, Safety, and Environmental Enforcement 

Environmental Enforcement Activity1 8,314 8,314 -8,314 0 

Activity Total, Environmental Enforcement 8,314 8,314 0 -8,314 0 0 

Operations, Safety and Regulation Activity 132,207 133,597 +883 +17,729 -441 151,768 

Renewable Energy Inspection Program [+750] 

Engineering Technology Assessment Center [+1,726] 

Management Efficiencies [-1,545] 

Offsetting Collections Reduction [-1,372] 

Activity Total, Operations, Safety and Regulation 132,207 133,597 +883 +17,729 -441 151,768 

Administrative Operations Activity 15,560 15,676 +247 +2,345 18,268 

Activity Total, Administrative Operations 15,560 15,676 +247 +2,345 0 18,268 

2 General Support Services Activity 13,513 13,912 +0 -13,912 0 

Activity Total, General Support Services 13,513 13,912 +0 -13,912 0 0 

Executive Direction Activity 18,121 18,227 +226 +2,152 -869 19,736 

Management Efficiencies [-869] 

Activity Total, Executive Direction 18,121 18,227 +226 +2,152 -869 19,736 

TOTAL, Operations, Safety, and Environmental Enforcement 187,715 189,726 +1,356 0 -1,310 189,772 

Appropriation: Oil Spill Research 

Oil Spill Research 14,899 14,899 14,899 

Activity Total, Oil Spill Research 14,899 14,899 0 0 0 14,899 

TOTAL, Oil Spill Research 14,899 14,899 0 0 0 14,899 

TOTAL, Bureau of Safety and Environmental Enforcement 202,614 204,625 +1,356 0 -1,310 204,671 

Budget Tables 

Bureau of Safety and Environmental Enforcement 

Budget At A Glance Table 

Bureau of Safety and Environmental Enforcement Budget At A Glance 

Dollars in Thousands ($000) 

1/ The FY 2016 request consolidates the Environmental Enforcement Activity into the Operations, Safety and Regulation Activity.
 

2/ The FY 2016 Request consolidates the General Support Services Activity into the remaining OSEE Activities. This realignment is calculated based on 

activity FTE levels.
 

Bureau of Safety and Environmental Enforcement 41 
 

Budget Tables 

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42 Bureau of Safety and Environmental Enforcement 
 

 

Summary of Requirements Table 

Bureau of Safety and Environmental Enforcement 

Summary of Requirements Tables 

Offshore Safety and Environmental Enforcement Appropriation 

Bureau of Safety and Environmental Enforcement 43 2014 Actual Account FTE Amount FTE 1 Amount Offshore Safety & Environmental Enforce me nt Environmental Enforceme nt1/ Direct Appropriation 3,027 30 3,027 - -3,027 - - - - -30 -3,027 Offsetting Collections 5,287 - 5,287 - -5,287 - - - - - -5,287 Subtotal, Environmental Enforce ment 8,314 30 8,314 - -8,314 - - - - -30 -8,314 Operations, Safety and Regulation1/ Direct Appropriation 46,390 458 39,636 +883 +6,005 +12 +931 500 47,455 +42 +7,819 Offsetting Collections 85,817 - 93,961 - +11,724 - -1,372 - 104,313 - +10,352 Subtotal, Operations, Safety and Re gulation 132,207 458 133,597 +883 +17,729 +12 -441 500 151,768 +42 +18,171 Administrative Operations Direct Appropriation 4,990 247 5,027 +247 742 - - 247 6,016 - +989 Offsetting Collections 10,570 - 10,649 - 1,603 - - - 12,252 - +1,603 Subtotal, Administrative Operations 15,560 247 15,676 +247 2,345 - - 247 18,268 - +2,592 General Support Se rvices2/ Direct Appropriation 4,275 - 4,401 - -4,401 - - - 0 - -4,401 Offsetting Collections 9,238 - 9,511 - -9,511 - - - 0 - -9,511 Subtotal, General Support Services 13,513 - 13,912 - -13,912 - - - 0 - -13,912 Executive Direction Direct Appropriation 13,975 112 14,056 +226 681 - -869 112 14,094 - +38 Offsetting Collections 4,146 - 4,171 - 1,471 - - - 5,642 - +1,471 Subtotal, Executive Direction 18,121 112 18,227 +226 2,152 - -869 112 19,736 - +1,509 Total 187,715 847 189,726 +1,356 - +12 -1,310 859 - +12 +46 Total Direct Appropriation 72,656 847 66,147 +1,356 - - +62 859 67,565 +12 +1,418 Total Offsetting Collections 115,059 - 123,579 - - - -1,372 - 122,207 - -1,372 Total, OSEE 187,715 847 189,726 +1,356 - - -1,310 859 189,772 +12 +46 1/ The FY 2016 Request merges the Environmental Enforcement Activity into the Operations, Safety and Regulation Activity. 2/ The FY 2016 Request consolidates the General Support Services Activity into the remaining OSEE Activities. This realignment is calculated based on activity FTE levels. Amount Total FTE Amount Fixed Costs & Related (+/-) Internal Transfers (+/-) Program Changes (+/-) Summary of Requirements for Bureau of Safety and Environmental Enforcement FTE Amount Change from CY (+/-) (Dollars in Thousands) 2015 Enacted 2016 Request 
 

 

Language Citations 

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44 Bureau of Safety and Environmental Enforcement 
 

 

Fixed Costs and Internal Realignments 

Bureau of Safety and Environmental Enforcement 

Fixed Costs and Internal Realignment 

Bureau of Safety and Environmental Enforcement
 

Justification of Fixed Costs and Internal Realignments
 

(Dollars In Thousands) 

Fixed Cost Changes and Projections 2015 to 2016 

Change 

Change in Number of Paid Days 

This column reflects changes in pay associated with the change in the number of paid days between 2015 and 2016. 

+327 

Pay Raise 

The change reflects the salary impact of programmed pay raise increases. 

+1,034 

Seasonal Federal Health Benefit Increase 

The change reflects expected increases in employer's share of Federal Health Benefit Plans. 

+0 

Employer Contribution to FERS 

The change reflects the directed increase of 0.5% in employer's contribution to the Federal Employee Retirement System. 

+32 

Departmental Working Capital Fund 

The change reflects expected changes in the charges for centrally billed Department services and other services through the Working Capital 

Fund. These charges are detailed in the Budget Justification for Department Management. 

+718 

Departmental Working Capital Fund ITT 

The change reflects expected changes in the charges for centrally billed Department services through the Working Capital Fund. 

-17 

Worker's Compensation Payments 

The adjustment is for changes in the costs of compensating injured employees and dependents of employees who suffer accidental deaths 

while on duty. Costs will reimburse the Department of Labor, Federal Employees Compensation Fund, pursuant to 5 U.S.C. 8147(b) as 

amended by Public Law 94-273. 

+44 

Unemployment Compensation Payments 

The adjustment is for projected changes in the costs of unemployment compensation claims to be paid to the Department of Labor, Federal 

Employees Compensation Account, in the Unemployment Trust Fund, pursuant to Public Law 96-499. 

+0 

Rental Payments 

The adjustment is for changes in the costs payable to General Services Administration (GSA) and others resulting from changes in rates for 

office and non-office space as estimated by GSA, as well as the rental costs of other currently occupied space. These costs include building 

security; in the case of GSA space, these are paid to Department of Homeland Security (DHS). Costs of mandatory office relocations, i.e. 

relocations in cases where due to external events there is no alternative but to vacate the currently occupied space, are also included. 

-782 

O&M Increases from Moves out of GSA-Space into Bureau Space 

In accordance with space maximization efforts across the Federal Government, this adjustment captures the associated increase to baseline 

operations and maintenance requirements resulting from movement out of GSA or direct-leased (commercial) space and into Bureau-owned 

space. While the GSA portion of fixed costs will go down as a result of these moves, Bureaus often encounter an increase to baseline O&M 

costs not otherwise captured in fixed costs. This category of funding properly adjusts the baseline fixed cost amount to maintain steady-state 

funding for these requirements. 

+0 

Bureau of Safety and Environmental Enforcement 45 
 

Fixed Costs and Internal Realignments 

Internal Realignments and Non-Policy/Program Changes (Net-Zero) 2016 Change 

Realignment of General Support Services (from GSS Activity) 

This transfer will eliminate the General Support Services (GSS) activity, which is a relic of the MMS legacy organization, and reallocate 

those dollars to other activities. The distribution of GSS funds across the activites below is based on the proportion of positions within each 

budget activity. 

-13,912 

Realignment of General Support Services (to Operations, Safety, and Regulation) 

This realignment will constitute an internal transfer within the base budget from general support services to the Operations, Safety, and 

Regulation Activity, and the revised budget structure will be reflected in FY 2016 and thereafter. These funds are used to pay for general 

support services and overhead and are not associated with any FTE. 

+9,415 

Realignment of General Support Services (to Administrative Operations) 

This realignment will constitute an internal transfer within the base budget from general support services to the Administrative Operations 

Activity, and the revised budget structure will be reflected in FY 2016 and thereafter. These funds are used to pay for general support 

services and overhead and are not associated with any FTE. 

+2,345 

Realignment of General Support Services (to Executive Direction) 

This realignment will constitute an internal transfer within the base budget from general support services to the Executive Direction 

Activity, and the revised budget structure will be reflected in FY 2016 and thereafter. These funds are used to pay for general support 

services and overhead and are not associated with any FTE. 

+2,152 

Realignment of Environmental Enforcement (from Environmental Enforcement) 

This realignment will constitute an internal transfer within the base budget from Environmental Enforcement to the Operations, Safety, and 

Regulation Activity, and the revised budget structure will be reflected in FY 2016 and thereafter. These funds are used to pay for 

environmental compliance programs as well as 30 FTE. 

-8,314 

Realignment of Environmental Enforcement (to Operations, Safety, and Regulation) 

This realignment will constitute an internal transfer within the base budget from Environmental Enforcement to the Operations, Safety, and 

Regulation Activity, and the revised budget structure will be reflected in FY 2016 and thereafter. These funds are used to pay for 

environmental compliance programs (EEP) as well as 30 FTE. When incorporated into the Operations, Safety, and Regulation Activity, the 

funds will allow for better identification of regulatory needs for enhanced environmental compliance and closer coordination between the 

EEP and the Safety and Environmental Management Systems (SEMS) program. 

+8,314 

Total, Fixed Cost Changes +1,356 

46 Bureau of Safety and Environmental Enforcement 
 

 

 

 

 

 

 

 

 

 

 

Language Citations 

Bureau of Safety and Environmental Enforcement
 

Language Citations 

Appropriations Language 

Offshore Safety and Environmental Enforcement Appropriation Account 

For expenses necessary for the regulation of operations related to leases, easements, rightsof-way and agreements for use for oil and gas, other minerals, energy, and marine-related 

purposes on the Outer Continental Shelf, as authorized by law; for enforcing and implementing 

laws and regulations as authorized by law and to the extent provided by Presidential or Secretarial 

delegation; and for matching grants or cooperative agreements, [$124,726,000]$124,772,000, of 

which [$66,147,000]$67,565,000 is to remain available until September 30, [2016]2017 and of 

which [$58,579,000]$57,207,000 is to remain available until expended: Provided, That this total 

appropriation shall be reduced by amounts collected by the Secretary and credited to this 

appropriation from additions to receipts resulting from increases to lease rental rates in effect on 

August 5, 1993, and from cost recovery fees from activities conducted by the Bureau of Safety 

and Environmental Enforcement pursuant to the Outer Continental Shelf Lands Act, including 

studies, assessments, analysis, and miscellaneous administrative activities: Provided further, That 

the sum herein appropriated shall be reduced as such collections are received during the fiscal 

year, so as to result in a final fiscal year [2015]2016 appropriation estimated at not more than 

[$66,147,000]$67,565,000. 

For an additional amount, $65,000,000, to remain available until expended, to be reduced by 

amounts collected by the Secretary and credited to this appropriation, which shall be derived from 

non-refundable inspection fees collected in fiscal year [2015]2016, as provided in this Act: 

Provided, That to the extent that amounts realized from such inspection fees exceed $65,000,000, 

the amounts realized in excess of $65,000,000 shall be credited to this appropriation and remain 

available until expended: Provided further, That for fiscal year [2015]2016, not less than 50 

percent of the inspection fees expended by the Bureau of Safety and Environmental Enforcement 

will be used to fund personnel and mission-related costs to expand capacity and expedite the 

orderly development, subject to environmental safeguards, of the Outer Continental Shelf 

pursuant to the Outer Continental Shelf Lands Act (43 U.S.C. 1331 et seq.), including the review 

of applications for permits to drill. 

(Department of the Interior, Environment, and Related Agencies Appropriations Act, 2015.) 

Bureau of Safety and Environmental Enforcement 47 
 

 

 

 

 

 

 

 

 

 

Language Citations 

General Provisions 

(See General Provisions chapter of the Office of the Secretary 2016 budget justification.) 

OUTER CONTINENTAL SHELF INSPECTION FEES 

SEC. 107. (a) In fiscal year [2015]2016, the Secretary shall collect a nonrefundable inspection 

fee, which shall be deposited in the "Offshore Safety and Environmental Enforcement'' account, 

from the designated operator for facilities subject to inspection under 43 U.S.C. 1348(c). 

(b) Annual fees shall be collected for facilities that are above the waterline, excluding drilling 

rigs, and are in place at the start of the fiscal year. Facilities that are subject to multiple 

inspections shall pay additional fees for each inspection. Fees for fiscal year [2015]2016 shall 

be: 

(1) $10,500 for facilities with no wells, but with processing equipment or gathering lines; 

(2) $17,000 for facilities with 1 to 10 wells, with any combination of active or inactive wells; 

and 

(3) $31,500 for facilities with more than 10 wells, with any combination of active or inactive 

wells. 

(c) Fees [for]related to inspection of drilling rigs shall be assessed for all inspections completed 

in fiscal year [2015]2016. Fees for fiscal year [2015]2016 shall be: 

(1) $30,500 per inspection for rigs operating in water depths of 500 feet or more; and 

(2) $16,700 per inspection for rigs operating in water depths of less than 500 feet. 

(d) The Secretary shall bill designated operators for the annual fees under subsection (b) within 

60 days, with payment required within 30 days of billing. [The] For all other fees under 

subsections (b) and (c) above, the Secretary shall bill designated operators [under subsection (c)] 

within 30 days of the end of the month in which the inspection occurred, with payment required 

within 30 days of billing. 

Justification of Proposed Language Changes 

Purpose: Sec. 107. The provision provides the authority to charge Outer Continental Shelf oil 

and gas operators a fee for the OCS facilities that the Bureau of Safety and Environmental 

Enforcement inspects. 

Explanation of change: The Department proposes to modify the provision to extend the 

authority to charge inspection fees through FY 2016 and to clarify that facilities subject to 

multiple inspections are subject to additional fees for each inspection. 

48 Bureau of Safety and Environmental Enforcement 
 

 

 

 

 

 

 

 

Language Citations 

BUREAU OF OCEAN ENERGY MANAGEMENT, REGULATION AND ENFORCEMENT
 

REORGANIZATION
 

SEC. [109]108. The Secretary of the Interior, in order to implement a reorganization of the 

Bureau of Ocean Energy Management, Regulation and Enforcement, may transfer funds among 

and between the successor offices and bureaus affected by the reorganization only in 

conformance with the reprogramming guidelines [for division F in the explanatory statement 

described in section 4 (in the matter preceding division A of this consolidated Act)] described in 

the report accompanying this Act. 

Purpose: Sec. [109]108. The provision authorizes the Secretary to transfer funds among and 

between the successor offices and bureaus affected by the reorganization of the Bureau of Ocean 

Energy Management, Regulation and Enforcement. 

Explanation of change: The Department proposes to modify the provision to require reporting in 

accordance with the reprogramming guidelines provided by the Appropriations Committees. 

OFFSHORE PAY AUTHORITY EXTENSION 

SEC. 118. Section 117 of Division G of Public Law 113–76 is amended by striking "and 2015" 

and inserting "through 2016". 

Purpose: Sec. 118. The Department proposes to extend the authority established in the FY 2012 

appropriation for special rates of pay for certain employees in offshore oil and gas related fields 

through FY 2016 as it works with the Office of Personnel Management (OPM) on a longer-term 

administrative solution to recruitment and retention challenges for certain occupations. 

Bureau of Safety and Environmental Enforcement 49 
 

Language Citations 

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50 Bureau of Safety and Environmental Enforcement 
 

 

 

 

 

 

 

 

 

Mandatory Budget and Offsetting Collection Proposals 

Bureau of Safety and Environmental Enforcement 

Mandatory Budget and Offsetting Collections Proposals 

For a complete, detailed discussion of the Department’s proposed Mandatory and Offsetting Collections 

Proposals, please refer to the Mandatory Proposals chapter of the Office of the Secretary FY 2016 budget 

justification. 

Federal Oil and Gas Reforms – The 2016 budget includes a package of legislative reforms to bolster 

and backstop administrative actions being taken to reform management of Interior’s onshore and offshore 

oil and gas programs, with a key focus on improving the return to taxpayers from the sale of these Federal 

resources and on improving transparency and oversight. Proposed statutory and administrative changes 

fall into three general categories: advancing royalty reforms, encouraging diligent development of oil and 

gas leases, and improving revenue collection processes. 

Royalty reforms include evaluating minimum royalty rates for oil, gas, and similar products, adjusting the 

onshore royalty rate, analyzing a price-based tiered royalty rate, and repealing legislatively mandated 

royalty relief. Diligent development requirements include shorter primary lease terms, stricter 

enforcement of lease terms, and monetary incentives to get leases into production through a new per-acre 

fee on nonproducing leases. Revenue collection improvements include simplification of the royalty 

valuation process, elimination of interest accruals on company overpayments of royalties, and a 

permanent repeal of Interior’s authority to accept in-kind royalty payments. Collectively, these reforms 

will generate roughly $2.5 billion in revenue to the Treasury over ten years, of which nearly $1.7 billion 

will result from statutory changes. Many States also will benefit from higher Federal revenue sharing 

payments as a result of these reforms. 

Bureau of Safety and Environmental Enforcement 51 
 

Mandatory Budget and Offsetting Collection Proposals 

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52 Bureau of Safety and Environmental Enforcement 
 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Environmental Enforcement 

FY 2016 PERFORMANCE BUDGET REQUEST 

Environmental Enforcement Activity 

Table 4: Environmental Enforcement Activity Budget Summary 

2014 

Actual 

2015 

Enacted 

Fixed Costs 

and Related 

Changes 

 (+/-)

Internal 

Transfer 

 (+/-)

Program 

Changes 

 (+/-)

2016 

Request 2015

 (+/-) 

Changes 

from 

Environmental Enforcement ($000) 

FTE 

8,314 

30 

8,314 

30 

-

-

-8,314 

-30 

-

-

-

-

-8,314 

-30 

1/ The FY 2016 Request consolidates the Environment Enforcement Activity into the Operations, Safety and Regulation Activity. 

INTERNAL TRANSFERS 

The FY 2016 budget request for the Environmental Enforcement Activity is zero, a net decrease of 

$8,314,000 and -30 FTE from the FY 2015 Enacted level. 

Consolidation of Environmental Enforcement Activity (-$8,314,000; -30 FTE) 

The 2016 request proposes merging the BSEE’s Environmental Enforcement Program (EEP), which 

was previously funded through the Environmental Enforcement Activity, into the Operations, Safety 

and Regulation Activity. The BSEE EEP is an integral part of the Bureau’s overall increased safety 

initiative. Similar to the offshore (safety) inspection program, the EEP assures that industry is adopting 

an overall and comprehensive approach to environmental protection measures. Combining the EEP into 

the BSEE Operations, Safety and Regulation activities will allow for better identification of regulatory 

needs for enhanced environmental compliance and closer coordination between the EEP and the newly 

established Safety and Environmental Management Systems (SEMS) program. The merger will also 

allow better management and oversight of all of the compliance and inspection programs in BSEE. It will 

also enhance the effective use of inspection personnel and support resources (helicopters) by allowing for 

the maximum coordination of inspection and other compliance activities. This proposed consolidation is 

the next important step in adding clarity, consistency, and efficiency to the Bureau’s compliance 

programs and follow a change in FY 2015 to create a national program manager for the environmental 

compliance programs with consistent and transparent field level implementation. The EEP will continue 

to foster environmental compliance, inspection, investigation, and enforcement programs that assure the 

highest level of environmental standards for all offshore energy activities. 

The BSEE plans to address budget transparency concerns with this consolidation by establishing a new 

“budget program code” in the financial system, which will allow the Bureau to track all environmental 

compliance program costs separately. 

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54 Bureau of Safety and Environmental Enforcement 
 

 

 

 

 

 

 

 

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FY 2016 PERFORMANCE BUDGET REQUEST
 

Operations, Safety and Regulation Activity 

Table 5: Operations, Safety and Regulation Activity Budget Summary 

2014 

Actual 

2015 

Enacted 

Fixed Costs 

and Related 

Changes 

 (+/-)

Internal 

Transfer 

 (+/-)

Program 

Changes 

 (+/-)

2016 

Request 2015

 (+/-) 

Changes 

from 

Operations, Safety and Regulation1/ 2/ ($000) 

FTE 

132,207 

430 

133,597 

458 

+883 

-

+17,729 

+30 

-441 

+12 

151,768 

500 

+18,171 

+42 

Major Program IT Investments 

Technical Information Management 

System (TIMS) 3/ 

($000)

FTE

 [7,355] 

-

[10,600] 

- - - -

[10,600] 

-

-

- 1/ The FY 2016 Request consolidates the Environment Enforcement Activity into the Operations, Safety and Regulation Activity. 

2/ The FY 2016 Request consolidates the General Support Services Activity into the remaining OSEE Activities. This realignment is calculated
 

based on activity FTE levels.
 3/ TIMS is a BSEE owned system, which it shares with BOEM. The amounts shown are the BSEE only portion.
 

SUMMARY OF 2016 PROGRAM CHANGES 

Amount Request Component FTE ($000) 

Renewable Energy Inspection Program +750 +3 

Engineering Technology Assessment Center +1,726 +9 

Management Efficiencies -1,545 ­

Offsetting Collections Reduction -1,372 ­

Total Program Changes: -441 +12 

JUSTIFICATION OF 2016 PROGRAM CHANGES 

The 2016 budget request for the Operations, Safety and Regulation Activity is $151,768,000 and 500 FTE, a 

net increase of $18,171,000 and +12 FTE over the 2015 Enacted level. 

Renewable Energy Inspection Program (+$750,000; +3 FTE) 

The BSEE is requesting $750,000 and 3 FTE above FY 2015 funding for the Renewable Energy 

Inspection Program. This request will establish the baseline funding needed to begin to stand up the 

technical personnel, training, operational procedures, regulatory development, and field operations needed 

to meet the proposed activity in FY 2016 and early FY 2017. As the renewable energy program expands 

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over the next few years, the Bureau anticipates additional resources for personnel and field operation 

support will be necessary to ensure safe and responsible oversight for a growing industry. 

Renewable energy development on the OCS, primarily wind energy is expected to be an increasing source 

of energy to serve our Nation’s needs. To date, BOEM has issued seven commercial wind energy leases 

on the OCS, including those areas offshore Delaware, Maryland, Massachusetts, Rhode Island, and 

Virginia. Additionally, BOEM has initiated auction planning for areas offshore New Jersey and 

Massachusetts, and is in the early planning stages for areas offshore North Carolina, New York, Oregon, 

and Hawaii. Interest in developing offshore wind farms has increased and is expected to accelerate. In 

addition to the commercial Cape Wind project offshore Massachusetts, two additional research leases for 

construction of small scale projects have been issued for offshore Oregon (30 Megawatts) and offshore 

Virginia (12 Megawatts). 

The BSEE will be responsible for the inspection and enforcement of regulations for these renewable 

energy facilities. Several other leases are expected for the development of multiple wind farms along the 

East Coast within the next decade. In addition, BOEM has initiated two rights-of-way grant processes on 

the Federal OCS; a proposed transmission backbone project that would run from Virginia to New York, 

and a cable project that would support a wind project to be located in Rhode Island State waters. These 

are areas of the Federal OCS where there has been minimal ocean energy activity to date, therefore BSEE 

must develop new standard operating procedures and coordination with State and local authorities along 

the East Coast to ensure a strong and effective environmental and safety enforcement regulatory program. 

It is critical that BSEE be prepared to initiate and fully support a new Renewable Energy Inspection, 

Verification, and Support Program. 

The BSEE’s support of the Renewable Energy Program has so far been focused on developing 

engineering and worker safety standards, developing plan submittal guidance, and providing ad hoc 

technical reviews of Project Plans, Site Assessment Plans, Construction and Operations Plans, and facility 

design documents. The BSEE also has the responsibility of establishing guidance for and reviewing oil 

spill response plans for renewable energy facilities on the OCS and ensuring compliance with oil spill 

preparedness regulations. However, though the Program has begun moving towards operations, BSEE 

anticipates a growing need for future resources to support the Program as BSEE assumes a larger role 

regulating the installation of and inspecting the offshore renewable energy facilities and performing its 

preparedness verification functions, which will entail plan reviews at various permitting phases, 

unannounced exercises, equipment inspections, and training audit functions. 

Based on BOEM’s planned Renewable Energy Program, BSEE anticipates that in FY 2015, it will begin 

actively supporting several renewable energy projects projected to move into the construction/ 

operating phase over the next few years, primarily off the Atlantic coast. Design and construction 

standards which incorporate the recommendations of BSEE’s renewable energy research projects funded 

by BOEM, as well as emerging technologies and best practices, will need to be developed. Support for 

regulation development for renewable energy projects is needed, and inspection requirements for the 

offshore facilities will need to be refined. The technology and systems supporting the OCS renewable 

energy facilities are significantly different from those supporting OCS oil and gas. The systems consist of 

complex arrangements of sub-systems including structures which are installed outside of any protective 

environment and whose reliability and performance is affected by direct interaction with the natural 

56 Bureau of Safety and Environmental Enforcement 
 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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environment. Therefore, BSEE anticipates the need to establish an OCS Renewable Energy Inspection 

Program with staff that possess different skill sets, primarily civil and electrical engineering, with 

specialized experience and training. 

Benefits: Securing America’s energy resources by developing the Nation’s renewable energy potential is 

top priority for the American public, in order to support a growing economy and protect national interests 

while reducing dependence on foreign oil and climate changing greenhouse gas emissions. The BOEM, 

with assistance from BSEE, is taking aggressive actions to establish the foundation for OCS renewable 

energy development by conducting the necessary baseline studies, monitoring studies, and issue-specific 

studies. As BOEM’s continued leasing leads to the approval and subsequent construction of offshore 

renewable energy projects, BSEE will be required to have the inspection and enforcement resources in 

place to effectively oversee offshore renewable energy operations. Establishing funding for this program 

in FY 2016 will facilitate a smooth transition to BSEE oversight of inspection and enforcement activities, 

assuring full functionality as renewable energy facilities are brought into operation on the OCS. 

Engineering Technology Assessment Center (+$1,726,000; +9 FTE) 

The BSEE is requesting an increase of $1.7 million and 9 FTE above FY 2015 funding for the 

Engineering Technology Assessment Center (ETAC). The ETAC will provide BSEE with the 

opportunity to develop a program with top-level engineering expertise to support BSEE decision making 

at all levels of the organization. One of the most difficult hurdles to gaining and retaining the engineering 

skills needed by the Federal Government to continue to effectively manage the offshore oil and gas 

program is the ongoing competition with industry for engineers with expertise in up-to-date technology. 

Although there will always be a dynamic equilibrium of engineering expertise and skills within BSEE, 

the ETAC is designed to provide BSEE with a 4-pronged approach to gaining and retaining these skill 

sets regardless of personnel changes. First, being located in Houston, the ETAC will allow current BSEE 

staff engineers, from the ETAC and from the Regions, to work collaboratively on a day-to-day basis with 

equipment manufacturers and industry engineers on joint research and technical engineering assessments 

so that BSEE engineers can continue to increase their knowledge in cutting-edge technology. 

Second, BSEE will use the ETAC to recruit engineering students and recent college graduates who, by 

virtue of their studies, have knowledge of newer technologies, but have not yet had field experience in 

applying that knowledge. This cadre of engineers would also participate in the collaborative engineering 

assessments, which will allow BSEE to “grow its own” expertise and provide continued learning. 

Although we are likely to eventually lose some of these students to industry, some will also be retained. 

Third, BSEE will use the ETAC and its location in Houston to recruit and attract end-of-career industry 

engineers who have a great deal of valuable experience, but now desire the stability of a Federal career, 

being home-based in Houston, or are interested in using their experience and knowledge in public service. 

Finally, the requested funding will also allow BSEE to establish a vibrant and focused contracting effort 

in the ETAC that will provide the capability to quickly bring specific engineering expertise on board as 

needed for evaluation of projects and industry proposals that use new technologies, material, or 

procedures. 

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Benefits: The benefits of an ETAC are significant. It will allow the agency to develop a more robust 

assessment and evaluation of industry proposals, especially for proposals using new technology in harsh 

and difficult environments. The ETAC will also provide additional engineering support for the Director 

and the regional offices, as it will be able to respond to increased workloads or unusual engineering 

proposals. It is also intended that the ETAC will collaborate with the newly established Ocean Energy 

Safety Institute (OESI), located in College Station, Texas, for the mutual benefit of both organizations. In 

addition, the engineers in the ETAC will also serve as subject matter experts for BSEE in its interactions 

with the Standards Development Organizations located in Houston, which are developing equipment and 

material standards that may be incorporated into BSEE regulations. 

The BSEE continues to compete with industry for the technical expertise needed to make informed 

engineering decisions about industry proposals for activities in harsh environments, such as ultra-deep 

water and high temperature/high pressure areas. Advancing new technology such as more complex and 

higher technology subsea completions and managed pressure drilling will require that the agency has the 

expertise available to evaluate and provide recommendations to BSEE management prior to approval of 

industry proposals. 

Management Efficiencies (-$1,545,000): Programs will absorb these costs through greater efficiencies, 

cost savings, and administrative adjustments. 

General Reduction – Changes in Offsetting Collections (-$1,372,000; 0 FTE): 

•	 Rental Receipts (-$1,013,000; 0 FTE): This decrease in rental receipts revenue results from an 

anticipated decrease of $1.0 million from the FY 2015 Enacted amount of $50.4 million. The decline 

in estimated rental receipts is primarily the result of a projected decrease in the number of rental 

bearing tracts that reflect an ever changing pool of leases that fluctuates annually. Rental receipts are 

one type of three different offsetting collections credited to the BSEE OSEE account to help defray 

the cost of operations. 

•	 Cost Recovery Fees (-$359,000; 0 FTE): This decrease in cost recovery fee revenue results from an 

anticipated decrease of $359,000 from the FY 2015 Enacted amount of $8.2 million. The decline in 

estimated cost recovery fees reflects the trend of actual collections and associated workload 

requirements. These fees are one type of three different offsetting collections credited to the BSEE 

OSEE account to help defray the cost of operations. 

INTERNAL TRANSFERS 

Consolidation of Environmental Enforcement Activity (+$8,314,000; +30 FTE) 

The 2016 request proposes merging the BSEE’s Environmental Enforcement Program (EEP), which 

was previously funded through the Environmental Enforcement Activity, into the Operations, Safety 

and Regulation Activity. The BSEE EEP is an integral part of the Bureau’s overall increased safety 

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initiative. Similar to the offshore (safety) inspection program, the EEP assures that industry is adopting 

an overall and comprehensive approach to environmental protection measures. Combining the EEP into 

the BSEE Operations, Safety and Regulation activity will allow for better identification of regulatory 

needs for enhanced environmental compliance and closer coordination between the EEP and the SEMS 

program. The merger will also allow better management and oversight of all of the compliance and 

inspection programs in BSEE. It will enhance the effective use of inspection personnel and support 

resources (helicopters) by allowing for the maximum coordination of inspection and other compliance 

activities. This proposed consolidation is the next important step in adding clarity, consistency, and 

efficiency to the Bureau’s compliance programs and follow a change in FY 2015 to create a national 

program manager for the environmental compliance programs with consistent and transparent field level 

implementation. The EEP will continue to foster environmental compliance, inspection, investigation, 

and enforcement programs that assure the highest level of environmental standards for all offshore energy 

activities. 

The BSEE plans to address budget transparency concerns with this consolidation by establishing a new 

“budget program code” in the financial system, which will allow the Bureau to track all environmental 

compliance program costs separately. 

General Support Services Activity Realignment (+$9,415,000; 0 FTE) 

The FY 2016 request proposes to realign funds previously requested for BSEE’s General Support 

Services (GSS) Activity funding into the supported programs based on current FTE levels. The GSS 

Activity, a relic of the MMS legacy organization, does not accurately reflect actual administrative costs, 

as evidenced by the discrepancy reported in each of the 2014 and 2015 annual budget requests in 

Appendix A. The GSS funds provide a portion of the Bureau-wide infrastructure support to include 

infrastructure costs associated with office space, security, utilities, and voice/data communications for 

that portion of BSEE FTE that is not covered by reimbursable service agreements. No FTE are directly 

charged to the GSS activity. The proposed realignment of funding associated with GSS activity will not 

result in expansions of administrative needs but rather afford BSEE some flexibility in assessing 

administrative costs. Program managers will have incentives to manage supported programs so as to 

minimize the impacts of administrative assessments to mission critical programmatic activities. 

Oversight over the total administrative budget will continue to be closely managed by the Bureau. This 

internal transfer within the base budget is reflected in FY 2016 and future budget requests will continue to 

reflect program assessments in the Greenbook as required by annual appropriations. 

PROGRAM OVERVIEW 

The BSEE works to assure that energy and mineral development activities are conducted in a safe and 

environmentally sound manner, with safety being at the forefront of all activity on the OCS. The Bureau 

continually seeks operational improvements that will reduce the risks to offshore personnel and the 

environment. Coordinated efforts target the areas of greatest risk for compliance and enforcement 

actions. Additionally, BSEE continues to evaluate procedures and regulations to stay abreast of 

industries’ technological advances in order to promote safe and clean operations and conserve the 

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Nation’s natural resources. These functions include Regulatory Development, Standards Development, 

Review and Approval of OCS Permits, Inspections, Investigations and Risk Management, Safety and 

Environmental Management Systems, Real-Time Monitoring, Conservation Management, Emerging 

Technologies Evaluations, Compliance and Enforcement, and Oil Spill Response Planning and 

Preparedness. 

During FY 2015, BSEE began an effort to strengthen internal controls and to better track and demonstrate 

results for these mission-critical operations. As a result, BSEE is identifying national program managers 

with direct lines of responsibility for managing major program functional areas. The goals of this effort 

are to promote transparency, consistency, predictability, and accountability for national programs, and 

consistently develop program policies, procedures, and accountability and performance measures for 

major program functional areas. 

PERFORMANCE OVERVIEW 

Regulatory Development: The goal of BSEE’s comprehensive management program of energy and 

mineral operations on the OCS is to ensure that these operations are conducted in a safe and 

environmentally sound manner. The foundation of this program is a set of regulations that govern 

numerous aspects of offshore oil and gas operations, from engineering specifications to training for 

workers on offshore facilities. The BSEE will continually review these regulations, and update and revise 

them as necessary, to ensure they include the most effective requirements for safety and environmental 

protection on the OCS. The BSEE will also continue its efforts to improve its rulemaking efficiency. 

These efforts will focus on the identification and evaluation of regulatory needs; streamlining the 

regulatory development process to ensure that risk-based, high quality, enforceable, and legally defensible 

regulations are generated in a timely manner; and streamlining the incorporation of new and updated 

industry standards into regulations. The BSEE will continue to coordinate its regulatory efforts with the 

USCG and other agencies to avoid unnecessary duplication and to maximize consistent and efficient 

regulation of OCS activities. Beyond prevention, BSEE is also reviewing oil spill abatement and subsea 

containment to reduce the duration of spills from oil exploration, development, and production 

infrastructure. 

The BSEE’s rulemaking efforts will be prioritized based on a comprehensive review of the existing oil 

and gas regulations and on review of safety and environmental risks, new developments in industry 

practices and OCS technology, results of research projects by BSEE and its contractors, and information 

about other changing circumstances. In addition, BSEE will continue to work with industry groups on 

standards development and will assess relevant standards for possible incorporation into BSEE’s 

regulations. The regulatory approach will continue to use performance-based regulations wherever they 

can be effectively implemented, which will allow BSEE to take a hybrid approach to regulating industry. 

Using performance-based regulations in a hybrid model will enable BSEE to hold industry accountable 

for attaining its safety and environmental protection goals without being prescriptive. 

Specific regulatory efforts will address: installation, maintenance, and decommissioning of DOI-regulated 

OCS pipelines; production measurement to ensure an accurate assessment of royalties; updating oil spill 

planning and response requirements; requiring summaries of decommissioning costs for OCS facilities; 

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requirements for exploratory drilling activities in the Arctic OCS that reflect unique Arctic conditions and 

respect Alaska Natives’ culture and traditions; revisions in regulations to ensure that operators use BAST; 

potential improvements to the SEMS rules regarding process safety, performance of audits, and sharing of 

information; possible safety issues related to helicopters and helipads on fixed platforms; and updates to 

inspection and enforcement provisions to ensure BSEE can use a full range of tools for regulatory 

compliance. 

In addition to its continued focus on oil and gas regulation, BSEE will be expanding its efforts with 

respect to offshore renewable energy. While the BOEM continues to implement the existing renewable 

energy program, there are currently no operational units on the OCS. Both BSEE and BOEM have 

established a team to plan for division of the current regulatory responsibilities between BSEE and 

BOEM and to consider a possible new BSEE regulatory structure. The BSEE is also initiating evaluation 

of a methodology for including facility inspection capabilities for renewable energy facilities into existing 

oil and gas inspection and compliance programs and for developing appropriate regulatory authorities and 

appropriations language to support safe and environmentally responsible renewable energy development 

on the OCS. 

Standards Development: In 2012, BSEE formed and began to staff a new Standards Development 

Section in response to recommendations related to the Deepwater Horizon event. This Section, under the 

Regulations and Standards Branch in the Office of Offshore Regulatory Programs actively participates 

with external Standards Development Organizations (SDOs) to develop new or revised standards for 

safety and environmental protection on the OCS. In addition, a directory of over 50 subject matter 

experts has been compiled from all of the BSEE regional and district offices to assist in Standards 

Development. Further, to minimize travel costs associated with SDO meeting attendance, in 2014 BSEE 

located a total of five FTEs in Houston, Texas, where most of the SDO meetings are held. This Section 

assists BSEE by optimizing the use of national and international standards in regulations for safe and 

environmentally sound development of OCS resources; collaborating with SDOs to expedite the 

incorporation of industry standards into BSEE regulations; increasing BSEE’s knowledge and awareness 

of standards related to oil and natural gas development on the OCS and their applicability to the 

regulatory regime; and facilitating BSEE’s ability to provide input on the standards. The organization has 

also been tasked with establishing more effective communication links with international standards 

organizations that can provide additional information to BSEE on the use of BAST standards in 

international energy development programs. 

Review and Approval of OCS Permits: Reviews of permits help to ensure that all OCS operators comply 

with regulatory standards and specific lease stipulations. The BSEE performs detailed technical and 

environmental reviews of permits for the exploration, development, and production of hydrocarbons 

from OCS lands, as well as permits for other activities such as the installation of pipelines. The BSEE 

also performs reviews of oil spill response plans to cover all oil and gas production infrastructure in both 

Federal and State offshore waters of the U.S. The ongoing effort by BSEE to develop performance-based 

operating regulations can reasonably be expected to generate an increasing number of operator requests 

for approval of alternative compliance programs. Prior to making approval decisions on alternative 

compliance, BSEE must assess the alternatives to ensure they provide equal or greater protection than the 

regulations would provide. The BSEE will be required to commit a substantial and increasing amount of 

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resources to these assessments in order to evaluate an operator’s proposed alternative, verify adherence to 

approved plans, and determine effectiveness of technologies and procedures employed. To help manage 

the expected increase in permitting workload and optimize permit process time, BSEE has accelerated its 

effort to implement an ePermitting program that will allow BSEE to leverage information technology to 

collect, process, and approve OCS permits. The result of this ePermitting effort will be reduced operator 

rework and requests for information; easier and more complete operator submissions, processing, and 

workload management; improved internal and external notifications; and, improved tracking of permits. 

Inspections, Investigations, and Risk Management: Safety is a priority for both BSEE staff and for the 

operations that occur under BSEE’s jurisdiction, and onsite facility inspections and enforcement actions 

are important components of BSEE's safety program. The BSEE is working to institutionalize and 

standardize various risk-based approaches to inspection strategies to move from more qualitative analyses 

of potential risks to a more quantitative approach. The Bureau has established ambitious performance 

targets for the conduct of thousands of inspections of OCS facilities and operations, including coverage of 

tens of thousands of safety and pollution prevention components each year to prevent offshore accidents 

and spills, and to ensure a safe working environment. The Bureau’s goal is to conduct annual inspections 

of all oil and gas operations on the OCS to enforce its safety regulations designed to prevent blowouts, 

fires, spills, and other major accidents. The increases to inspection and oversight, most notably on 

drilling operations, combined with the increase in OCS oil and gas activities in the Gulf of Mexico, 

Pacific, and Alaska Regions have required that BSEE increase its inspector workforce and grow their skill 

base. Additionally, BSEE's inspection philosophy is evolving to promote a focus on the higher risk oil 

and gas activities. 

While safety is the highest priority for BSEE, mitigation of an oil spill follows closely. To that end, the 

BSEE is also actively engaged in the inspection of oil spill response equipment that is located on offshore 

platforms, at equipment bases throughout the coastal regions of the U.S., and moored at ports. Each year, 

BSEE staff visits sites to verify the geographic distribution, maintenance, testing, and condition of the 

equipment. The BSEE has historically inspected major equipment designed for offshore operations. The 

agency is now inspecting second-tier oil spill removal organization under retainer by plan holders as well. 

Inspections are scheduled based upon many factors such as a company’s worst case discharge scenario, 

lessons learned from unannounced exercises, and reports on an Oil Spill Response Organization’s 

(OSRO) performance during actual spill responses. All inspections are tied to a specific operator who is 

subject to an enforcement action that is another factor used during annual operator performance reviews 

conducted by regional and district operations staff. 

The BSEE is also actively working to develop a risk-based inspection methodology for use at various 

levels within the regulatory program. The Bureau plans to use the information gleaned from an ongoing 

risk correlation analysis to learn more about the relative risks posed by discrete offshore oil and gas 

activities. The BSEE will then use the updated risk model to identify and focus Bureau inspections on the 

“riskiest” activities. 

To meet the growing manpower demands, BSEE has engaged in an aggressive hiring effort to ensure its 

capability to achieve our scheduled and unscheduled inspections. The BSEE’s inspection workforce has 

nearly doubled since 2010 to a total of 110 on board as of September, 2014. Continued growth in the 

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inspectors’ ranks will increase the demand and costs associated with our employee health and safety 

standards program for inspectors and inspector training program, both for new hires and refresher training 

for experienced personnel. In response to this need, BSEE established a National Offshore Training 

Program to improve how we provide the inspection workforce with the tools required to successfully 

perform their inspection duties while minimizing costs. 

Significant progress on eInspections has been made since a pilot program was launched in select locations 

within the Gulf of Mexico Region to test a computer based tool for documenting the inspection process 

and results, including the development and internal deployment of the Incidents of Non-Compliance 

(INC) Response application. The INC Response application is used by operators to respond to incidents 

of non-compliance that are issued by BSEE inspectors during the inspection process. Operators will be 

able to view INCs issued to them; submit an informal appeal by requesting an INC rescission; request 

extension to complete the work; or resolve the issue and report the correction. At the same time, the 

application will allow BSEE personnel to review the operators’ response and take appropriate action. 

System capabilities include: automatic notifications via email for status changes and pending actions, 

attaching supporting documents (e.g., picture, files, etc.) to electronically submitted INC Responses, and 

storing in the Electronic Document Management System (EDMS). Additional eInspections applications 

in various development/deployment phases include one that will allow BSEE to replace the current 

TIMS-based forms for creation and maintenance of inspection information for Rigs, Facilities, and 

Meters, along with inspection-related data such as questions, Potential Incidents of Non-Compliance 

(PINCs) lists, Fire Systems and Component management as well as an application that will allow 

operators to electronically submit facility safety system components data, along with Safety Analysis 

Function Evaluation (SAFE) chart and flow schematics, for review and approval by BSEE personnel. 

In FY 2012 BSEE initiated an effort, which was expanded in FY 2013 and FY 2014 to identify leading 

and lagging and other key performance indicators to support risk-based inspections and to develop nextgeneration enforcement tools. The BSEE collaborated with Argonne National Laboratory to evaluate 

historic PINCs/INCs to assess patterns that may be a gauge for identifying leading or lagging indicators 

of safety deficiencies. In addition, BSEE has initiated discussions with the various organizations to 

evaluate the existing "near-miss" programs in use. In FY 2013, BSEE established an interagency 

agreement with the Bureau of Transportation Statistics (BTS) to conduct a confidential near-miss 

program for the OCS, which would take advantage of BTS's authorities under the Confidential 

Information Protection and Statistical Efficiency Act to protect the confidential data. 

The BSEE has the responsibility under OCSLA to conduct investigations and prepare a report of incidents 

associated with OCS development. The purpose of an investigation is to identify the cause(s) of the 

incident and to make recommendations to prevent their recurrence and the occurrence of similar 

incidents. The BSEE conducts an initial onsite investigation for many of the incidents reported and 

reviews all incidents reported to determine whether or not they will be investigated. In FY 2014, 

102 incident investigations were completed. As a result of incident investigation report 

recommendations and other inspections and enforcement activities, BSEE publishes Safety Alerts to 

inform the offshore oil and gas industry of the circumstances surrounding an incident or near miss and to 

provide recommendations that will help prevent the recurrence of a similar incident on the OCS. Incident 

investigation reports may also recommend that the Bureau consider new or revised regulatory or 

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inspection actions or other initiatives. Through active coordination amongst various government agencies 

such as the USCG, BSEE promotes effective utilization and coordination of respective investigative 

resources. 

Safety and Environmental Management Systems: It has been approximately four years since BSEE first 

promulgated regulations that required regulated parties on the OCS to develop and implement a SEMS. 

This performance-based program, the cornerstone in BSEE’s move toward a hybrid regulatory approach, 

is designed to help drive the safety and environmental performance of OCS oil and gas operators and 

contractors beyond attaining full compliance to BSEE regulations. The BSEE SEMS program, which is 

modeled after international programs for quality, safety, and environmental management systems, 

incorporates the elements of American Petroleum Institute’s Recommended Practice 75 to focus both 

industry’s and BSEE’s attention, resources, and initiatives on recognizing and managing the impacts of 

human behavior, organizational structure, leadership, standards, processes and procedures, as well as an 

underlying safety culture to promote continuous improvements in safety and environmental performance. 

November 15, 2013, marked the end of the first SEMS Audit Cycle. The overall finding of the first cycle 

of SEMS audits is that OCS operators have implemented a SEMS program. Of the regulated operators, 

86 percent were able to successfully demonstrate through a formal audit that the required SEMS program 

was in place and being implemented. Only three operators, representing approximately 4 percent of the 

OCS operators, are still out of compliance. These companies remain under enforcement orders. 

However, the current compliance rate of 96 percent tells only a small part of the story. The system 

maturity and level of SEMS awareness and understanding amongst operators vary significantly. For 

companies that have long-standing, established internal SEMS as part of their corporate culture, the 

response to the BSEE SEMS regulations (30 CFR 250 Subpart S) generally consisted of companies 

mapping their internal program elements to the requirements of the regulations. More importantly, the 

requirement to submit a report of the SEMS audit to BSEE gave many companies the opportunity to 

evaluate internal programs and processes against a Government standard, and reinforce the importance of 

and commitment to the SEMS program within their workforce. For those organizations where 

30 CFR 250 triggered a first effort to develop and implement a formal SEMS, the focus was more on 

fulfilling the requirements of Subpart S rather than developing a tool to manage respective operating 

health, safety, and environmental (HSE) risks. 

A key observationobservation from the first cycle of SEMS audits was the recognition that the maturity of 

the SEMS program must be taken into account when developing the audit protocols and conducting the 

audit. The BSEE will be using a risk-based approach, where the greatest increase of safety could be 

initiated which will allow it to apply its resources more effectively. The BSEE will be able to assess the 

progress of implementation, identify those elements that are progressing as planned, and focus on the 

elements where additional management attention or resources are needed. 

The BSEE expects that implementation of the SEMS II Final Rule of April 2013, which mandates the use 

of an accredited third party audit service, will help improve audit quality during the second audit cycle. 

Operators must comply with the auditing requirements under 30 CFR § 250.1920 by June 5, 2015. 

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Areas where BSEE will be focusing attention during the second audit cycle include: 

•	 Encouraging operators to improve audit results through formal and informal dialogue, focusing 

on reporting best practices as well as deficiencies. 

•	 Publishing guidance, such as NTLs, for program implementation, auditing, and measuring 

program maturity and effectiveness so that BSEE can more effectively report on progress against 

baseline criteria. 

•	 Incorporating a SEMS maturity measure or performance indicator into the SEMS audits in order 

to more realistically assess progress of SEMS implementation and effectiveness both at the 

individual operator level as well as for the OCS as a whole. 

•	 Continuing to work with the Center for Offshore Safety to improve its widely-used audit protocol 

and encourage a more comprehensive analysis for each item. 

•	 Using BSEE personnel as audit observers and to independently assess SEMS implementation and 

overall safety culture of the OCS facilities. 

•	 Engaging operators to discuss recognized best practices and sharing lessons for the benefit of 

OCS HSE performance industry-wide. 

•	 Conducting focused audits on critical process elements. 

Real-Time Monitoring: The purpose of the real-time monitoring program is to develop, test, and 

implement reforms that significantly improve and increase the regulatory oversight of critical offshore 

operations and equipment by strengthening the Inspection and Enforcement Program at BSEE. This can 

be accomplished by using innovative technologies and using risk-based inspection criteria to supplement 

BSEE’s current inspection program. Use of real-time monitoring technology and facilities to monitor 

OCS oil and gas drilling, well-completion, well workovers, well servicing, and other rig related 

operations will help to meet the BSEE mission. 

The BSEE is also considering other real-time monitoring opportunities not associated with onshore 

monitoring facilities and is currently working to determine which available real-time monitoring 

opportunities would provide the best return on the investment and which activities require on-site 

inspectors. Initially, the focus will be on high risk activities involving deepwater drilling and 

casing/cementing. The use of real-time monitoring will allow BSEE to quickly shift technical resources 

to evaluate these operations wherever they occur. 

The importance of incorporating real-time monitoring into BSEE’s regulatory program is demonstrated 

by the DOI including a provision in the British Petroleum (BP) settlement that requires the company to 

maintain a Real-Time Monitoring Center in Houston and provide BSEE with access to the facility. The 

Bureau is also determining if regulatory action is needed to ensure that the agency has complete access to 

other industry real-time monitoring facilities and whether BSEE needs to take additional steps to ensure 

Bureau of Safety and Environmental Enforcement 65 
 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operations, Safety and Regulation 

that industry expands the use of real-time monitoring technology to address issues such as equipment 

reliability. 

The BSEE has contracted with the NAS to convene a study committee to review the findings from a 

recently completed external real-time monitoring study, along with the findings from an internal BSEE 

real-time monitoring study, and hold a public workshop to discuss these findings to obtain industry 

feedback and build consensus on the recommended path forward for real-time monitoring. The feedback 

from the public workshop will provide valuable input to help guide the future direction of BSEE’s realtime monitoring initiative and identify gaps that require follow-up research. 

Real-time monitoring is an enabling technology and it raises a larger question about what the regulator’s 

role should be in monitoring day-to-day drilling, completion, workover, and production activities. This is 

beyond BSEE’s traditional inspection role, and the NAS is well suited to advise BSEE on this 

programmatic question. The NAS contract requires a final report be provided to BSEE by FY 2016, 

including the industry input from the public workshop and the findings by the NAS study committee. 

Conservation Management: As a steward of the Nation’s OCS oil, gas, and mineral resources, BSEE 

must provide for conservation of natural resources by preventing waste and ensuring ultimate recovery of 

the resources, as well as protecting the correlative rights of OCS lessees and the government. 

Conservation of oil and gas resources is an integral part of the Nation’s energy policy and a primary 

objective for the BSEE regulatory program. To promote conservation, BSEE monitors development and 

production activities on the OCS and enforces regulations that require operators to avoid waste and 

maximize the ultimate recovery of OCS minerals once access has been granted. 

Emerging Technologies Evaluations: The BSEE continues to promote identification of and use of 

BAST associated with energy and mineral operations, ranging from the drilling of oil and gas exploration 

wells in search of new reserves to the removal of platforms and related infrastructure once production 

operations have ceased. Although BSEE’s efforts to advance the technology may involve any aspect of 

energy and mineral operations, particular attention is given to oil and gas drilling well control, highpressure high-temperature applications, and critical safety equipment and operations. Under the 

Emerging Technologies program, BSEE furthers the investigation of new technologies, incidents 

involving equipment with quality control (QC) concerns to promote safe, pollution-free operations and 

prevention of oil pollution and the improvement of oil spill response and clean-up. 

The BSEE focuses its efforts to identify high-risk components and systems, such as BOPs (well control) 

to ensure that industry is applying BAST in those areas where overall risks may be reduced. To take 

advantage of and leverage expertise from other Federal resources, BSEE utilizes its Interagency 

Agreement (IAA) with the DOE’s National Laboratory System to collaborate on studies involving riskbased decision making and assessment of safety critical control equipment applying to offshore 

components, systems, and procedures. The studies from this collaboration are expected to provide BSEE 

with information to aid the current and future inspection workforce and provide regional engineers with 

the tools to improve the way the use of BOPs and other critical safety equipment are assessed and 

approved since these devices are considered to be major lines of defense for well containment and other 

safety operations. 

66 Bureau of Safety and Environmental Enforcement 
 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operations, Safety and Regulation 

In addition, BSEE and the National Laboratory continue the development of procedures for performing 

barrier analyses of offshore oil and gas structures similar to those performed in the nuclear industry. The 

use of these studies will allow BSEE to better define and interpret the risks associated with the various 

physical barriers and then develop guidance, regulations, or standards that will reduce the associated 

risks. The barrier analyses will inform BSEE about those systems where there are inadequate redundant 

barriers to accidental release of hydrocarbons and/or identify components that could be candidates for 

review for failure analysis, lifecycle, systems performance reliability, and/or BAST. 

The BSEE continues to promote dialogue with industry and other stakeholders toward advancement of the 

BSEE BAST program. The BSEE continues to call on the OESI to hold a series of technical forums to 

gather information from experts and stakeholders to inform and assist BSEE in developing its 

comprehensive BAST Program. The goal of the BAST Program is to increase the performance of critical 

safety and process control equipment, systems, and technologies through testing, verification of test 

results and validation of equipment per manufacturer and equipment user’s claims. 

Of equal importance under the BAST program, will be the standardizing of this equipment and systems 

for more predictable and safer operations. The BSEE further promotes safe, pollution-free operations on 

the OCS performing technical evaluations of equipment, systems with QC, improper “fit for service,” 

performance reliability concerns involved with repeated incidents and reported concerns. The technical 

evaluations may recommend the following: changes to BSEE’s policy, procedures, and regulations; 

changes to improvements of industry standards’ requirements or development of new standards; as well 

as advanced technology studies and improvements to identify component candidates for BAST. 

The OESI may also be called upon to assist with implementation of suggested advanced technology 

studies recommended from the technical evaluations. 

The BSEE continues to actively seek opportunities for joint projects to leverage available funds and 

disseminate research findings. Participation in jointly funded projects with industry, other Federal and 

State agencies, academia, and international regulatory organizations has become an important mechanism 

for BSEE to improve its understanding of important safety issues. In FY 2013, BSEE continued to 

participate in several joint projects and plans to continue to seek opportunities to leverage available funds 

through joint projects with other organizations. For example, BSEE is working with the DOE on projects 

such as early kick detection and advanced downhole signaling transmission and is anticipated to be a 

60 percent partner in this effort. 

Compliance and Enforcement (including Environmental Enforcement Program): An essential part of 

any regulatory program is the provision of compliance assistance and enforcement in cases where safety 

and environmental regulations are not complied with. The BSEE employs a number of tools, including 

issuance of incidents of non compliance, penalties and orders to underscore the importance of safe 

operations and environmental stewardship to create a level playing field for all operators. The BSEE also 

conducts annual performance reviews of each operator as a way to address recurring safety and 

environmental concerns. 

Bureau of Safety and Environmental Enforcement 67 
 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operations, Safety and Regulation 

A key component of the reorganization and reform efforts is the identification of how BSEE can improve 

its investigation, analysis, regulatory, inspection, and compliance programs based on risk considerations. 

Based on recommendations from investigatory and oversight reports, internal and external review of 

operations, and reorganization studies, BSEE has already implemented a number of improvements to its 

inspection regime and will continue to look for improvements to enhance its programs. 

The BSEE is also actively developing a risk-based methodology for use at various levels within the 

regulatory and enforcement program. In 2015, BSEE anticipates that an evidence-based risk analysis 

methodology for production facilities will be deployed and tested in the field. The deployment and use of 

this analysis will allow BSEE to directly and effectively target available inspector resources. Through the 

identification and quantification of risk, BSEE can identify leading and lagging indicators, and improve 

its analysis of the effectiveness of redundant physical controls (barrier analysis). 

In the 2016 budget, BSEE proposes to merge safety and environmental enforcement activities to ensure 

consistent and efficient coordination of enforcement actions. The EEP is responsible for both the 

Bureau’s own compliance with National Environmental Policy Act (NEPA), Endangered Species Act 

(ESA), Marine Mammal Protection Act (MMPA), and Tribal consultation requirements and the oversight 

and enforcement of activities by operators on the OCS. Combining the EEP into the BSEE Operations, 

Safety and Regulation activity will allow for better identification of regulatory needs for enhanced 

environmental compliance and closer coordination between the EEP and the newly established SEMS 

program. The merger will also allow better management and oversight of all of the compliance programs 

in BSEE. 

Though the program’s resources have so far been largely dedicated to ensuring the timely processing of 

BSEE permits, the EEP has established procedures and pursued approximately 200+ environmental 

violation cases detected since October 1, 2011. These include violations associated with NEPA, OCS 

Lands Act, Clean Air Act, Clean Water Act, ESA, MMPA, Magnuson-Stevens Fishery Conservation and 

Management Act, and the National Historic Preservation Act. This also includes the assessment of the 

first environmentally specific civil penalty in the history of offshore regulatory activities ($140,000) that 

did not include a significant oil spill. These statistics are extremely important when considering that from 

2002 to 2011 only four enforcement actions were conducted for environmental noncompliance. 

Funding received by the EEP in 2015 is being used to coordinate and target compliance and enforcement 

actions to address the greatest areas of risk as well as to acquire data and technology for tracking, 

verifying, and enforcing compliance. 

Oil Spill Response Planning and Preparedness: The Oil Spill Preparedness Division (OSPD) provides 

continual oversight to ensure owners and operators are prepared to respond to an oil spill to the maximum 

extent practicable. Oversight begins at the time an application to drill is submitted and extends through 

the plugging and abandonment of all wells and removal of facilities. The OSPD has the responsibility of 

ensuring that the offshore operators and response community have the necessary equipment, resources, 

training, and established plans to carry out an effective, efficient response to a worst case discharge from 

an offshore source. Division staff fully integrates into activities of the National Response System through 

appointment to positions on the National Response Team Preparedness Subcommittee, Scientific and 

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Operations, Safety and Regulation 

Technical Committee, Regional Response Teams affecting policy for the Gulf of Mexico, Pacific, and 

Alaska Regions, and applicable Area Committees. The OSPD personnel also work on international plans 

to ensure coordination among nations during incidents that cross national boundaries. This coordination 

takes place through active work with the Arctic Council, Emergency Prevention, Preparedness, and 

Response Working Group which includes participants from seven Arctic Nations, and participation in 

preparedness activities governed by separate treaties with Canada and Mexico. 

In FY 2014, OSPD conducted 231 plan review activities to ensure the 1,244 approved Oil Spill Response 

Plans remain updated. These activities are triggered by significant changes to an operator's response 

plans/capabilities or to meet recurring update requirements during the entire lifecycle of an offshore oil 

and gas facility. The OSPD also conducted equipment validation inspections at over 50 storage sites, 

attends between 30 and 60 industry lead exercises, and initiates as many as 20 unannounced government 

led exercises each year to ensure plans are executable. In addition, the Division commits time to daily 

monitoring, tracking, and investigation into approximately 1,500 self-reported offshore spills a year 

maintaining a record for risk analysis and targeted proactive enforcement actions. 

Internal and external coordination is imperative to strengthening the Nation’s readiness for an oil spill. 

The BSEE collaborates with other Federal and State response agencies when reviewing oil spill response 

plans. The BSEE also collaborates with international partners. Internally, OSPD is working with other 

BSEE divisions to proactively identify spills that were not reported to take enforcement actions for 

notification violations. During responses to incidents offshore, BSEE supports all levels of response 

organizations as subject matter experts in offshore oil spill response. The OSPD partners with other DOI 

programs along with the stakeholders represented in the National Response System established in the 

National Oil and Hazardous Substances Pollution Contingency Plan (NCP). 

The BSEE is responsible for the oversight of exploration, development, and production operations for oil 

and natural gas on the OCS. The Bureau’s regulation and oversight of Federal offshore resources ensures 

that energy development on the OCS is done in a safe and environmentally responsible manner. The 

BSEE’s Performance Measures are shown in the following tables. 

Bureau of Safety and Environmental Enforcement 69 
 

 

Operations, Safety and Regulation 

Table 6: Performance Overview Table - Operations, Safety and Regulation Strategic Objective Metrics / Strategic Plan Measure / Efficiency or other Bureau-Specific Measure Type 2011 Actual 2012 Actual 2013 Actual 2014 Plan 2014

Actual

 2015

Plan 2016 Request 

Number of Recordable Injuries per 200,000 Offshore Man Hours Worked (DOI-Regulated Activities ONLY) (SP) 

A 0.30 (revd) (171/569) 0.332 (200/602) 0.379) (228/601) <0.50 0.342 (est) (205/599) <0.450 <0.400

Contributing Programs Operations, Safety and RegulationComments

This strategic plan measure is an incident rate of all Recordable Injuries (i.e., injuries that require medical treatment beyond first aid and fatalities) that occur during DOI-regulated activities in the fiscal year for every 200,000 offshore man hours worked (which is the approximate equivalent of 100 full-time workers). In FY 2013, there were 211 recordable injuries reported for activities with BSEE’s jurisdiction and the estimated number of man years worked was 68,848. These estimated results indicate that in FY 2013 there was approximately 1 recordable injury in DOI-regulated activities for every 326 full-time offshore workers. Because safety levels are best evaluated as trends over multiple years, targets for FY 2014 and beyond are based on analysis of historical recordable injury rates against an extrapolation of voluntary man hour reporting from operators in previous years. The Safety and Environmental Management System (SEMS) regulation that went into effect in November 2010 requires all operators to report offshore man hours worked during the calendar year.For FY 2014, the number of recordable injuries (BSEE primary jurisdiction) for FY 2014 was: 205 injuries; the total hours worked on the OCS for FY 2014 was: 119,824,028 hours; the number of recordable injuries (BSEE jurisdiction) per 200,000 hours worked for FY 2014 is 0342. 

Number of fatalities among workers in DOI permitted activities (BUR) A 2 1 4 3 1 1 1 Contributing Programs Operations, Safety and RegulationComments

In FY 2013, there were four fatalities among offshore workers in DOI-regulated activities. Three of the fatalities resulted from an explosion and fire on a platform in the Gulf of Mexico operated by Black Elk Energy Offshore Operations (Black Elk). The explosion and fire occurred during welding work that was being conducted as part of construction operations on November 16, 2012. The 4th fatality occurred on January 26, 2013, when a worker was fatally injured in a suspected electrical incident on a jack-up rig at SS 170. This incident is still being investigated. There was a 5th fatality that occurred in FY 2013, however, it was a helicopter incident and was not under BSEE's primary jurisdiction. Because safety levels are best evaluatedas trends over multiple years, targets for the fatalities are developed based on reducing a rolling 5-year average, which includes the FY 2010 explosion and sinking of the Deepwater Horizon drilling rig off the coast of Louisiana resulted in 11 deaths.On October 27, 2013, a fatal incident occurred on the “A” Platform, of Vermilion Block 200, Lease number OCS-G 9500. A 130 ton dry oil storage tank skid assembly, consisting of one (1) 16 feet diameter x 85 feet long horizontal cylindrical tank and two (2) 83 feet long flare booms mounted to and extending away from the skid at a 17-degree angle, toppled over and fell 115 feet into the Gulf of Mexico from the Vermilion Block 200 Platform “A”. A welder, working for Offshore Specialty Fabricators, LLC (OSF) and performing preliminary welding cuts, was standing on the walkway attached to the top of the cylindrical tank when the skid assembly toppled overboard. The dry oil storage tank skid assembly, along with the welder, sank within minutes. A BSEE Panel Investigation has been completed and the report is published on the BSEE website. 

Less than X% of total gas produced is approved to be flared or vented offshore (BUR) (Calendar Yr) A 

0.33% 

(6,236,550/

1,862,844,400) 

0.39%

 (6,070,151/

1,563,186,639) 

0.40%

(5,398,399/

1,354,464,535) 

0.70% TBD 0.60% 0.60% 

Contributing Program Operations, Safety and RegulationComments 

Industry statistics for venting and flaring show worldwide rates ranging from 0.2 percent to 100 percent. Due to satellite monitoring and verification, flaring and venting on the OCS is kept to a minimum. Since FY 2008 U.S. rates have ranged from 0.28 percent to 0.72 percent. In April of 2010, BSEE published revised flaring and venting regulations requiring operators to install flare/vent meters on all OCS facilities that process more than 2,000 bbl of oil per day. Previously operators were allowed to estimate these flare/vent volumes. The revised regulations will improve the accuracy of flaring data but may increase reported volumes. Long-term targets will be determined once data has been collected for multiple years under the revised regulations. 

70 Bureau of Safety and Environmental Enforcement 
Operations, Safety and Regulation 

Strategic Objective Metrics / Strategic Plan Measure/ Efficiency or other Bureau-Specific Measure Type 2011 Actual 2012 Actual 2013 Actual 2014 Plan 2014

Actual

 2015

Plan 2016 Request

Total Number of Compliance Inspections Completed (BUR) A 20,537 23,025 24,195 25,000 21,033 21,000 21,000 Contributing Programs Operations, Safety and RegulationComments

NOTE: A number of factors influenced the number of inspections. Inspections, in many cases, were more comprehensive and more occurred in deeper water. These factors lengthened the time spent on individual inspections. Additionally, 83 inspection days were lost in FY 2014 as a result of weather, primarily poor visibility resulting from fog.On April 30, 2010, the President directed the Secretary to conduct a 30-day review of the Deepwater Horizon event and to report what additional precautions and technologies should be required to improve the safety of oil and gas exploration and production operations on the Outer Continental Shelf. One of the key recommendations included in that report, as well as other subsequent reports, is that the BSEE needs to increase its oversight and evaluate/revise the manner in which it conducts its drilling inspections.Since 2010, the inspector/investigator workforce has increased over 40 percent and BSEE has begun to develop and implement a new inspection strategy that focuses on risk and the use of advanced inspection technologies. Inspection performance trends are not increasing as fast as previously planned due to an increased focus on the witnessing of complex high-risk activities (e.g., BOP testing and cement/casing activities) that consume more resources to inspect and the extended time required to hire and train new inspectors so they can independently conduct inspections and other safety/environmental enforcement work. For these reasons, it is difficult to determine how many inspections will be completed beyond FY 2015. 

Conduct full Coast Guard inspections on X% of manned offshore facilities annually (BUR) A 14.3% (141/985) 14.3% (133/932) 24% (229/959) 10% 18.3% (140/767) 10% 10% Contributing Programs Operations, Safety and RegulationComments

Inspection of U.S. Coast Guard regulated items is a function that was provided for by regulation but one for which BSEE is not reimbursed. Assumption of limited responsibilities by BSEE was pursued following a report by the Inspector General that the U.S. Coast Guard was not conducting inspections of safety items on fixed facilities, as required by law. At this time, BSEE inspectors conduct a limited FPSIP (fixed platform self inspection program) inspection on every platform that they visit and have an annual target of conducting full FPSIP inspections on 10 percent of manned facilities. 

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Administrative Operations 

FY 2016 PERFORMANCE BUDGET REQUEST
 

Administrative Operations Activity 

Table 7: Administrative Operations Activity Budget Summary 

Fixed Costs Changes 

2014 2015 and Related Internal Program 2016 from 

Actual Enacted Changes Transfer Changes Request 2015

 (+/-) (+/-) (+/-) (+/-) 

Administrative Operations 1/ ($000) 

FTE 

15,560 

232 

15,676 

247 

+247 

-

+2,345 

-

-

-

18,268 

247 

+2,592 

-

1/ The FY 2016 Request consolidates the General Support Services Activity into the remaining OSEE Activities. This realignment is calculated 

based on activity FTE levels. 

JUSTIFICATION OF 2016 PROGRAM CHANGES 

The 2016 budget request for the Administrative Operations Activity is $18,268,000 and 247 FTE, a net 

increase of $2,592,000 and 0 FTE over the 2015 Enacted level. 

INTERNAL TRANSFERS 

General Support Services (GSS) Activity Realignment (+2,345,000): 

The FY 2016 request proposes to realign funds previously requested for BSEE’s General Support 

Services (GSS) Activity funding into the supported programs based on current FTE levels. The GSS 

Activity, a relic of the MMS legacy organization, does not accurately reflect actual administrative costs, 

as evidenced by the discrepancy reported in each of the 2014 and 2015 annual budget requests in 

Appendix A. The GSS funds provide a portion of the Bureau-wide infrastructure support to include 

infrastructure costs associated with office space, security, utilities, and voice/data communications for 

that portion of BSEE FTE that is not covered by reimbursable service agreements. No FTE are directly 

charged to the GSS activity. The proposed realignment of funding associated with GSS activity will not 

result in expansions of administrative needs but rather afford BSEE some flexibility in assessing 

administrative costs. Program managers will have incentives to manage supported programs so as to 

minimize the impacts of administrative assessments to mission critical programmatic activities. 

Oversight over the total administrative budget will continue to be closely managed by the Bureau. This 

internal transfer within the base budget is reflected in FY 2016 and future budget requests will continue to 

reflect program assessments in the Greenbook as required by annual appropriations. 

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Administrative Operations 

PROGRAM OVERVIEW 

The Administrative Operations Activity consists of the following: Acquisition Management Division, 

Equal Employment Opportunity Division, Finance Division, Human Resources Division, Management 

Support Division, and Technology Services Division. These full suites of administrative services are 

provided to BSEE as well as the Bureau of Ocean Energy Management (BOEM) through a reimbursable 

service agreement. The BSEE also provides a partial set of shared services to the Office of the Secretary 

under tailored shared services agreements. By utilizing a shared service model, BSEE, BOEM and other 

parts of the Department can continue to improve their best practices and enhance efficiencies by avoiding 

duplication of common services. 

Acquisition Management Division: The Acquisition Management Division is responsible for the 

execution and administration of BSEE and BOEM contracts and financial assistance agreements. By 

collaborating with the customer organizations, they create quality business solutions that help to 

accomplish the mission goals of the Bureaus. The Division provides acquisition and financial assistance 

policy guidance, cost and price analysis, and advice to procurement and program personnel. They 

conduct acquisition management and other internal control reviews of procurement activities. They also 

administer the purchase line of the BSEE and BOEM charge card programs as well as their competitive 

sourcing programs. In addition, they manage the Business and Economic Development Program to 

maximize opportunities for small, disadvantaged, and women-owned businesses, as well as historically 

black colleges and universities as both prime contractors and subcontractors. They also oversee all 

acquisition career management programs. 

Equal Employment Opportunity Division (EEOD): The EEOD develops, monitors, and operates the 

Equal Employment Opportunity (EEO) program for BSEE and BOEM in compliance with the Civil 

Rights Act of 1964, the Equal Employment Opportunity Act of 1972, Executive Order 11478, 

departmental directives, and other related statutes and orders. Its goal is to ensure that workforce 

activities are inclusive, and that they promote the full utilization and exchange of skills and talents. 

The Division provides advice and guidance to managers, supervisors, and employees regarding EEO 

policies and procedures. The EEOD provides technical advice and consultation to managers on 

recruitment strategies for affirmative employment designed to improve low participation rates of various 

groups in BSEE and BOEM. The EEOD provides oversight of special initiative programs designed to 

involve more women, minorities, and people with disabilities throughout all levels of management. The 

Division also provides an alternative dispute resolution program, counseling and mediation services, as 

well as formal EEO complaint processing. 

Finance Division: The Finance Division (FD) provides a full range of accounting and financial 

management services to BSEE and BOEM. The FD manages and oversees the CFO audit as conducted 

by an independent audit firm with oversight from the Department’s Office of Inspector General (OIG). 

The FD develops Bureau financial policies, procedures, and guidelines. The Division maintains liaison 

with departmental policy offices, including the Office of Financial Management and the Office of 

Acquisition and Property Management. It also coordinates with the Bureau’s Office of Budget and with 

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Administrative Operations 

the Department’s Office of Budget. Staff members may also represent the Bureau on a variety of 

departmental and government-wide teams dealing with financial issues. 

This Division is responsible for the administrative accounting operations of both BSEE and BOEM. The 

FD manages the administrative accounting system; audits and schedules bills for payments; collects 

debts; develops financial data; prepares financial reports; provides advice and guidance on financial 

matters; and maintains liaison with departmental offices and other Federal agencies. 

Human Resources Division: The Human Resources (HR) Division develops and implements policies, 

procedures, guidelines, and standards relating to general personnel management, recruitment and 

employment, position management and classification, and employee development. Work includes 

performing all operational personnel services for BSEE, BOEM, and other client organizations including 

the Department of the Interior’s Office of the Secretary, and providing assistance and guidance related to 

personnel matters for all regional and field installations. 

The HR Division also leads all BSEE and BOEM workforce-planning initiatives, which include analyzing 

the current workforce, identifying future workforce needs, and preparing plans for building the workforce 

needed in the future. These services are tailored to meet the specific needs of different customers. The 

long-term benefits of workforce-planning initiatives include the ability of BSEE and BOEM to meet their 

mission and performance goals. As regulators, BSEE must be able to keep pace with the latest 

technological advances. In support of these efforts, the Division works with its customers to adopt a 

comprehensive recruitment and training system in order to attract the best talent to the public service 

while continuing to provide the training and education necessary to keep its workforce at the leading edge 

of industry innovation. 

The Division focuses on employee relations and services, including personnel program evaluation, 

labor/management relations, advising employees about conflict of financial interest and standards of 

conduct, and administering incentive awards programs, family friendly programs, the Federal Equal 

Opportunity Recruitment Program, and Senior Executive Service program. In addition, the Division is 

responsible for the development of training policy and oversight of a Bureau-wide Learning Management 

System that will serve as a valuable workforce planning and management tool. The HR Division also 

coordinates all departmental mandated employee development initiatives for implementation in BSEE 

and BOEM. 

Management Support Division: The Management Support Division (MSD) provides direct assistance to 

BSEE’s Associate Director for Administration, as well as to BSEE and BOEM personnel. The MSD’s 

responsibilities include: 

•	 Emergency management, physical security, personnel security; 

•	 Evaluations and studies; 

•	 Delegation of authority, directives management, program management, providing high-level 

administrative support; and management and organization analysis activities; 

•	 Occupational safety and health; 

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Administrative Operations 

•	 Support services, including facilities management, property management, space management, 

printing and publications activity, and general office services; 

•	 Continuity of operations program; plans, implements, and directs the physical and personnel 

security programs, including development and implementation of policy, procedures, methods, 

and techniques for protection of proprietary and national security information; 

•	 Budget planning, execution, and formulation for the administrative operations budget; 

•	 Maintains accountability records of all system-controlled property in the possession and control 

of custodial property officers and contractors and manages the vehicle fleet and the museum 

property, including an Arts and Artifacts program. 

Technology Services Division: The Technology Services Division (TSD) ensures the efficient and 

effective planning, management and acquisition of information technology and information resources 

within BSEE, BOEM, and ONRR and ensures compliance with all DOI and Federal information 

resources management policies and guidelines. In alignment with the Department's IT Transformation, 

the Division clearly distinguishes the information technology needs of the Bureau’s mission and 

enterprise functions. 

The TSD provides a central foundation to manage the large volume of information and data used in the 

scientific, engineering, and management activities of the BSEE and BOEM programs. At the core of the 

IT capabilities is the Technical Information Management System (TIMS). The TIMS automates the 

business and regulatory functions of BSEE and BOEM and brings diverse information into a central 

database. This enables BSEE and BOEM Regions and Headquarters to share and combine data; to 

standardize processes, forms, reports, and maps; to promote the electronic submission of data; to enforce 

data integrity through relational database technology; and to release accurate, consistent information to 

the public sector. 

In support of the strategic goals of each Bureau, TSD through a collaborative effort with its customer base 

will redesign its information and knowledge management tools, and enhance the collection, 

standardization, accuracy, completeness, consistency, and storage of data. These efforts will increase the 

Bureau’s ability to collaborate across current divisions of process and software. Improved data 

management and analysis will allow the Bureau to better identify trends and statistics critical to assessing 

broader indicators of risk. A more collaborative and streamlined knowledge management system will 

also better enable agency-wide innovation and adaptation in all aspects of offshore safety, response 

preparedness, and environmental protection. 

The TSD also manages and maintains the Geological Interpretive Tools (GIT) system, which represents 

the basis of essentially all BOEM determinations requiring geoscience analysis. The GIT allows BOEM 

to improve productivity by quantifying analyses, analyzing digital data in three-dimensions (3-D), fully 

integrating geophysical and geological data analysis, and reducing risks and uncertainty in decisionmaking processes. In addition, TSD has developed an extensive Geographic Information System (GIS) 

capability for nearly all BSEE and BOEM offshore maps and leasing processes, providing us the means to 

define, describe, analyze, and account for every acre of Federal offshore-submerged lands. 

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The Division provides direction and coordination for Bureau-wide IT activities such as the IT 

Capital/Strategic Planning, with an emphasis on IT investment planning and monitoring through a 

rigorous governance process. They also provide support for the overall infrastructure, including the 

shared services budget, enterprise help desk, network management, and other essential infrastructure for 

office automation. The TSD implements and supports the Bureau’s IT security program by working 

collaboratively with the BSEE and BOEM offices as well as with the DOI’s Office of the CIO to review 

and improve security plans, policies, procedures, and standards to reflect technological changes. The IT 

security efforts include participating in risk assessments and management reviews of systems and 

networks, identifying security issues, and recommending mitigation. 

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78 Bureau of Safety and Environmental Enforcement 
 

 

 

 

 

 

 

 

 

 

 

General Support Services 

FY 2016 PERFORMANCE BUDGET REQUEST
 

General Support Services Activity 

Table 8: General Support Services Budget Summary 

2014 

Actual 

2015 

Enacted 

Fixed Costs 

and Related 

Changes 

 (+/-)

Internal 

Transfer 

 (+/-)

Program 

Changes 

 (+/-)

2016 

Request 2015

 (+/-) 

Changes 

from 

General Support Services1/ ($000) 

FTE 

13,513 

-

13,912 

-

-

-

-13,912 

-

-

-

-

-

-13,912 

-

1/ The FY 2016 Request consolidates the General Support Services Activity into the remaining OSEE Activities. This realignment is calculated 

based on activity FTE levels. 

INTERNAL TRANSFERS 

The FY 2016 budget request for the General Support Services Activity (GSS) is zero, a net decrease of 

$13,912,000 and 0 FTE over the FY 2015 Enacted. 

GSS Activity Realignment (-$13,912,000; 0 FTE) 

The FY 2016 request proposes to realign funds previously requested for BSEE’s General Support 

Services (GSS) Activity funding into the supported programs based on current FTE levels. The GSS 

Activity, a relic of the MMS legacy organization, does not accurately reflect actual administrative costs, 

as evidenced by the discrepancy reported in each of the 2014 and 2015 annual budget requests in 

Appendix A. The GSS funds provide a portion of the Bureau-wide infrastructure support to include 

infrastructure costs associated with office space, security, utilities, and voice/data communications for 

that portion of BSEE FTE that is not covered by reimbursable service agreements. No FTE are directly 

charged to the GSS activity. The proposed realignment of funding associated with GSS activity will not 

result in expansions of administrative needs but rather afford BSEE some flexibility in assessing 

administrative costs. Program managers will have incentives to manage supported programs so as to 

minimize the impacts of administrative assessments to mission critical programmatic activities. 

Oversight over the total administrative budget will continue to be closely managed by the Bureau. This 

internal transfer within the base budget is reflected in FY 2016 and future budget requests will continue to 

reflect program assessments in the Greenbook as required by annual appropriations. 

Bureau of Safety and Environmental Enforcement 79 
 

General Support Services 

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80 Bureau of Safety and Environmental Enforcement 
 

 

 

 

 

 

 

 

 

 

 

Executive Direction 

FY 2016 PERFORMANCE BUDGET REQUEST 

Executive Direction Activity 

Table 9: Executive Direction Budget Summary 

2014 

Actual 

2015 

Enacted 

Fixed Costs 

and Related 

Changes 

 (+/-)

Internal 

Transfer 

 (+/-)

Program 

Changes 

 (+/-)

2016 

Request 2015

 (+/-) 

Changes 

from 

Executive Direction1/ ($000) 

FTE 

18,121 

104 

18,227 

112 

+226 

-

+2,152 

-

-869 

-

19,736 

112 

+1,509 

- 1/ The FY 2016 Request consolidates the General Support Services Activity into the remaining OSEE Activities. This realignment is calculated 

based on activity FTE levels. 

SUMMARY OF 2016 PROGRAM CHANGES 

Request Component Amount 

($000) FTE 

Management Efficiencies -869 -

Total Program Changes: -869 0 

JUSTIFICATION OF 2016 PROGRAM CHANGES
 

The 2016 budget request for the Executive Direction Activity is $19,736,000 and 112 FTE, a net increase of 

$1,509,000 from the FY 2015 Enacted level. 

Management Efficiencies (-$869,000/0 FTE): Programs will absorb these costs through greater 

efficiencies, cost savings, and administrative adjustments. 

INTERNAL TRANSFERS 

GSS Activity Realignment (+$2,152,000; 0 FTE) 

The FY 2016 request proposes to realign funds previously requested for BSEE’s General Support 

Services (GSS) Activity funding into the supported programs based on current FTE levels. The GSS 

Activity, a relic of the MMS legacy organization, does not accurately reflect actual administrative costs, 

as evidenced by the discrepancy reported in each of the 2014 and 2015 annual budget requests in 

Appendix A. The GSS funds provide a portion of the Bureau-wide infrastructure support to include 

infrastructure costs associated with office space, security, utilities, and voice/data communications for 

that portion of BSEE FTE that is not covered by reimbursable service agreements. No FTE are directly 

charged to the GSS activity. The proposed realignment of funding associated with GSS activity will not 

Bureau of Safety and Environmental Enforcement 81 
 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Executive Direction 

result in expansions of administrative needs but rather afford BSEE some flexibility in assessing 

administrative costs. Program managers will have incentives to manage supported programs so as to 

minimize the impacts of administrative assessments to mission critical programmatic activities. 

Oversight over the total administrative budget will continue to be closely managed by the Bureau. This 

internal transfer within the base budget is reflected in FY 2016 and future budget requests will continue to 

reflect program assessments in the Greenbook as required by annual appropriations. 

PROGRAM OVERVIEW 

The Executive Direction Activity provides Bureau-wide leadership, direction, management, coordination, 

communications strategies, and outreach for the entire organization to carry out its primary mission. In
 

FY 2015 BSEE undertook a functional realignment which has resulted in changes to the activity. In 

FY 2016, the Executive Direction Activity will fund the Office of the Director, a new Integrity and 

Professional Responsibility Advisor (IPRA) Unit, the Office of Budget, the Office of Policy and Analysis,
 

the Office of Public Affairs, and a combined Office of Congressional and International Affairs.
 

Office of the Director 

The Office of the Director includes the Director, the Deputy Director, and their immediate staff. This 

office is responsible for providing general policy guidance and overall leadership within the BSEE 

organization, as well as managing all of the official documents of the Office of the Director. 

Integrity and Professional Responsibility Advisor (IPRA) 

The IPRA is responsible for promptly and credibly responding to allegations or evidence of misconduct, 

unethical behavior, and unlawful activities by BSEE and BOEM employees. Unlike its predecessor, the 

Investigations and Review Unit (IRU), the IPRA does not investigate the activities of private entities that 

BSEE regulates (this function will be performed by the National Investigations Program). The IPRA 

shares allegations of internal misconduct with the DOI’s Office of Inspector General (OIG), determining 

jointly which office conducts an investigation of those allegations. 

Office of Budget 

The Office of Budget provides budget analysis and guidance for the formulation, congressional and 

execution phases of the budget cycle. During the budget formulation cycle, the office develops and 

maintains all budgetary data to support BSEE’s budget requests to the Department with submission of the 

Budget Proposal, to the Office of Management and Budget with submission of the Budget Estimates, and 

to the Congress with submission of the Budget Justifications. During the congressional phase, the Office 

of Budget prepares capability and effect statements, provides answers to House and Senate questions and 

drafts testimony and oral statements for congressional hearings. Throughout the execution phase, the 

Budget Division tracks spending against line item budgets, analyzes budgetary and expense data, and 

provides regular updates to BSEE executives on the status of funds. The Office of Budget works closely 

with the Office of Policy and Analysis and program level performance staff to integrate performance data 

and information into all aspects of budget formulation and execution. 

Bureau of Safety and Environmental Enforcement 82 
 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Executive Direction 

Office of Policy and Analysis 

The Office of Policy and Analysis serves as the principal office to provide the Director with independent 

review and analysis of programmatic and management issues. Additionally, the office leads, coordinates, 

and monitors many cross-program initiatives, assuring a consistent, BSEE-wide implementation that 

directly supports congressional, Presidential and departmental directives, laws, mandates and guidance. 

The Office of Policy and Analysis fulfills the Director’s responsibilities in several critical areas including 

strategic and performance planning, policy and program evaluation and internal controls. It is also 

responsible for ensuring that programmatic plans and policies are consistent with and integrated into the 

overall Bureau mission and responsibilities, as well as with Department and Administration policy 

frameworks. In addition, the office administers and coordinates internal reviews as well as oversees and 

ensures the implementation of recommendations made by oversight groups such as the Government 

Accountability Office and the OIG. 

Associate Director of Strategic Engagement 

In FY 2014, BSEE consolidated management of external affairs into a new position, the Associate 

Director of Strategic Engagement. This new position serves as a senior advisor to the Director on key 

mission-critical issues, initiatives, and Bureau functions. As a result of this reorganization, BSEE merged 

the Office of Congressional Affairs and the Office of International Programs into an Office of 

Congressional and International Affairs. The merged Office of Congressional and International Affairs, 

along with the Office of Public Affairs, will report to this new position. 

Office of Public Affairs (OPA) 

The OPA is responsible for BSEE’s communication strategies and outreach. The goal of OPA is to 

inform the public, and ensure coordinated communication, consistent messages, and the effective 

exchange of information with all customers and stakeholders. The OPA coordinates the implementation 

of an effective and inclusive outreach program to numerous target audiences, including state and local 

governments, the energy industry, related trade associations, the environmental community, Tribal 

Nations, energy consumer groups, and the public. 

Office of Congressional and International Affairs (OCIA) 

The OCIA serves as the primary point of contact with Congress, and is responsible for the coordination of 

all communication and outreach with congressional offices, as well as ensuring a consistent message and 

the effective exchange of information. The OCIA serves as the liaison for BSEE on all congressional and 

legislative matters that affect BSEE with Congress, the Department, and other Federal executive 

agencies. 

In addition, the Office maintains an open line of communication regarding BSEE’s and BOEM’s 

programs and policies with the Department of State and the international programs within all relevant 

Bureau of Safety and Environmental Enforcement 83 
 

 

 

 

 

Executive Direction 

U.S. agencies such as the Department of Energy, the Department of Commerce, and the Department of 

the Treasury. The OCIA becomes involved in international initiatives consistent with the mission and 

goals of BSEE and BOEM. Responsibilities include reporting to the Department’s Office of International 

Affairs on all BSEE and BOEM international engagements, advising BSEE’s international travelers on 

matters of security, protocol and travel requirements, structuring international Memoranda of 

Understanding and other international cooperation agreements, and coordinating BSEE programs for 

visiting international delegations. 

Bureau of Safety and Environmental Enforcement 84 
 

 

Summary of Requirements Table 

Bureau of Safety and Environmental Enforcement 

Summary of Requirements Table 

Oil Spill Research Appropriation 2014 Actual Account FTE Amount FTE Amount Oil Spill Research 14,899 22 14,899 0 0 0 0 22 14,899 0 0 TOTAL FUNDING, Oil Spill Research 14,899 22 14,899 0 0 0 0 22 14,899 0 0 FTE Amount Change from CY (+/-) Summary of Requirements for Bureau of Safety and Environmental Enforcement (Dollars in Thousands) 2015 Enacted 2016 Request Amount Total FTE Amount Fixed Costs & Related (+/-) Internal Transfers (+/-) Program Changes (+/-) 

Bureau of Safety and Environmental Enforcement 85 
 

Summary of Requirements Table 

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86 Bureau of Safety and Environmental Enforcement 
 

 

Language Citations 

Bureau of Safety and Environmental Enforcement
 

Language Citations 

Appropriations Language 

Oil Spill Research Appropriation Account 

For necessary expenses to carry out title I, section 1016, title IV, sections 4202 and 4303, title 

VII, and title VIII, section 8201 of the Oil Pollution Act of 1990, $14,899,000, which shall be 

derived from the Oil Spill Liability Trust Fund, to remain available until expended. 

(Department of the Interior, Environment, and Related Agencies Appropriations Act, 2015.) 

OFFSHORE PAY AUTHORITY EXTENSION 

SEC. 118. Section 117 of Division G of Public Law 113–76 is amended by striking "and 2015" 

and inserting "through 2016". 

Purpose: Sec. 118. The Department proposes to extend the authority established in the FY 2012 

appropriation for special rates of pay for certain employees in offshore oil and gas related fields 

through FY 2016 as it works with the Office of Personnel Management (OPM) on a longer-term 

administrative solution to recruitment and retention challenges for certain occupations. 

Bureau of Safety and Environmental Enforcement 87 
 

Language Citations 

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88 Bureau of Safety and Environmental Enforcement 
 

 

 

 

 

 

 

 

 

 

 

 

 

Oil Spill Research Appropriation 

FY 2016 PERFORMANCE BUDGET REQUEST
 

Oil Spill Research Appropriation 

Table 10: Oil Spill Research Budget Summary 

Fixed Costs Changes 

2014 2015 and Related Internal Program 2016 from 

Actual Enacted Changes Transfer Changes Request 2015

 (+/-) (+/-) (+/-) (+/-) 

Oil Spill Research ($000) 

FTE 

14,899 

22 

14,899 

22 

-

-

-

-

14,899 

22 

-

-

JUSTIFICATION OF 2015 PROGRAM CHANGES
 

The 2016 budget request for the Oil Spill Appropriation is $14,899,000 and 22 FTE; no net change from the 

2015 Enacted level. 

PROGRAM OVERVIEW 

The Oil Spill Research (OSR) appropriation funds oil spill response research, Ohmsett – the National Oil 

Spill Response Research and Renewable Energy Test Facility, and oil spill prevention, abatement, 

planning, preparedness, and response functions for all facilities seaward of the coastline of the U.S. that 

handle, store, or transport oil. These activities support the DOI strategic mission overseeing the 

development of oil and gas resources from the OCS in a safe and environmentally protective manner. 

Funding for OSR activities is appropriated from the Oil Spill Liability Trust Fund (OSLTF). As intended 

by the Oil Pollution Act of 1990, the companies that produce and transport oil are supporting research and 

activities to improve offshore oil spill preparedness and response capabilities. Research conducted with 

appropriated funds is either: 

•	 Awarded through a competitive process to academia and qualified companies from throughout 

the U.S. which possess scientific and engineering expertise necessary to meet the research goals 

of BSEE, or 

•	 Conducted by BSEE staff utilizing the Ohmsett facility, with the ultimate goal of improving all 

phases of offshore oil spill preparedness and response. 

PERFORMANCE OVERVIEW 

In October 2011, BSEE formally came into existence and established the Oil Spill Response Division 

(OSRD) to integrate all aspects of oil spill preparedness, response, and research activities of the Bureau. 

In 2014, the OSRD changed its name to the Oil Spill Preparedness Division (OSPD) in order to 

Bureau of Safety and Environmental Enforcement 89 
 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Oil Spill Research Appropriation 

emphasize the division’s mission of ensuring that industry is prepared to respond to an offshore oil spill. 

This division maintains two focus areas; oil spill response research (OSRR) and oil spill preparedness 

compliance. These two areas support the BSEE Strategic Plan and are influenced by this plan’s direction. 

The research mission involves coordination with other Federal partners. This is achieved through 

representation on the congressionally-mandated Interagency Coordinating Committee on Oil Pollution 

Research (ICCOPR), which identifies national priorities for oil spill response research, provides a forum 

for Federal entities to engage in information transfer of the latest science and engineering related to oil 

spill prevention, preparedness, and response, and works with other research organizations such as the 

NAS’s new Gulf Research Program and the Gulf of Mexico Research Initiative. 

Internally, BSEE, through the Response Research Branch is conducting the foundational work to move 

research and development projects into innovative new methods to respond to an oil spill and identify the 

best available technologies for both mechanical and alternative spill response. In the pursuit of these 

objectives, BSEE has engaged with Federal research institutions such as the USCG Research and 

Development Center, DOE National Energy Technology Laboratory, National Oceanic and Atmospheric 

Administration, EPA, U.S. Navy (USN), and U.S. Army to leverage the subject matter expertise of these 

agencies and to help develop core understandings about offshore spill response and the skills that each 

agency can bring to an offshore spill response. 

The OSR funding is used by BSEE to improve the ability to effectively remove oil from water and protect 

the environment when oil is discharged from offshore oil facilities which include fixed and floating 

exploration, development, and production facilities and subsea infrastructure such as pipelines, wellheads, 

and manifolds. This need was highlighted in the many lessons learned from the Deepwater Horizon 

incident. Weaknesses and gaps specifically in mechanical and alternative response technologies are noted 

in the Incident Specific Preparedness Review, the Deepwater Horizon Federal On-Scene Coordinator 

report, and a report by the National Incident Commander during this spill of national significance. 

Research continues on improving mechanical recovery but is also focused on improving those response 

tactics such as offshore in situ burn and subsea dispersant use that were successful during the Macondo 

loss of well control. Funding will also be dedicated to finding new and more efficient ways to prevent or 

reduce the rate of oil being discharged from a source, locate spilled oil, recover or treat oil that is spilled, 

and communicate a common operations picture to both the spill responders and the public during spill 

responses. Responding to an oil spill in the Arctic environment presents many unique challenges and 

funding will also be utilized to understand these implications and advance response technologies and 

procedures to ensure the least impact to the environment and to human safety. 

Oil Spill Response and Planning: The BSEE is the lead agency for ensuring the highest oil spill 

response preparedness standard in the offshore environment through innovative research and an effective 

regulatory oversight program. The OSPD compliance staff provides continuous Federal oversight that 

requires reoccurring compliance actions during the entire lifecycle of offshore oil and gas facilities, from 

drilling a well to decommissioning and removal. In 2014, OSPD conducted 231 plan review activities to 

ensure that the 124 approved Oil Spill Response Plans (OSRPs) remain current. These reviews are 

triggered by significant changes to an operator's response plans/capabilities or to meet recurring update 

requirements during the entire lifecycle of an offshore oil and gas facility. The OSPD staff also 

90 Bureau of Safety and Environmental Enforcement 
 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Oil Spill Research Appropriation 

conducted equipment validation activities at roughly 50 staging areas, attended 58 industry led tabletop 

and equipment deployment exercises, and initiated 8 unannounced government-led exercises in 2014 to 

ensure plans are executable. The OSPD commits time to daily monitoring, tracking, and investigation 

into approximately 1,500 reported offshore oil spills a year, maintaining a record for risk analysis and 

targeted proactive enforcement actions. After a spill greater than 42 gallons, OSPD conducts follow up 

activities to ensure the owner or operator uses lessons learned to improve preparedness for the next spill. 

Internal and external coordination is imperative to strengthening the Nation’s readiness to respond to an 

oil spill. The BSEE staff participates in Area Committees, Regional Response Teams, and in the National 

Response Team and its subcommittees to represent issues pertaining to offshore preparedness and 

response. The BSEE collaborates with other Federal and State response agencies when reviewing oil spill 

response plans. The BSEE also collaborates with international partners. Internally, OSPD is working 

with other BSEE divisions to proactively identify spills that were not reported by the operator in order to 

take enforcement actions for notification violations. During responses to incidents offshore, BSEE 

supports all levels of response organizations as subject matter experts in offshore oil spill response and 

source control. 

All compliance and coordination efforts are supported and facilitated by OSPD’s commitment to 

maximize effectiveness and efficiency through utilization of electronic data capture and tracking. The 

OSPD staff work to continuously improve BSEE’s corporate database capabilities. This commitment 

includes designating staff to participate in the agency’s ePermits initiative and recommending 

improvements to the agency’s corporate database, the TIMS. These efforts enable OSPD to better 

analyze, summarize, and communicate operator compliance status and OSRD compliance actions, both 

internally to BSEE and to external agencies or parties. 

Oil Spill Response Research (OSRR): The BSEE is the principal Federal agency funding OSRR and 

maintains a comprehensive, long-term research program (in place since the 1970’s) to improve oil spill 

response technologies and procedures. The OSRR program provides research leadership and funding to 

improve the technology and procedures for the detection, containment, treatment, and/or cleanup of oil 

spills that may occur on the OCS. The OSRR program works with BSEE’s Emerging Technologies 

Branch to ensure emphasis on oil spill prevention and research related to securing a source when a spill 

occurs thereby reducing the amount of oil impacting the environment. The program seeks to enhance 

communication capabilities, develop computer enhanced “smart” technologies, remote sensing tools; and 

remotely operated technologies that will reduce the risk to responders and increase the potential operating 

window in areas such as the Arctic where the harsh environment and prolonged periods of low light 

present challenges to current technology. Specific research efforts focused on geographic challenges 

include Arctic environments, high pressure wells, and the ever-challenging deep water areas of the Gulf 

of Mexico. 

The OSRR program is responsive to the information and technological needs of the Bureau’s regional and 

district offices and to specific requirements and limitations in BSEE authority. Information derived from 

the OSRR program is directly integrated into BSEE’s operations and is used in making regulatory 

decisions pertaining to plan approvals, safety and pollution prevention inspections, enforcement actions, 

and training requirements. Research results are also transferred to rule writers, investigators, plan 

Bureau of Safety and Environmental Enforcement 91 
 

 

 

 

 

 

 

 

 

 

 

 

Oil Spill Research Appropriation 

reviewers, and others that need this information to ensure safe operations and assist BSEE in its efforts to 

independently keep pace with industry’s fast paced technological advancements. Response technologies 

identified by the OSRR program focus on preventing offshore operational spills from reaching sensitive 

environments and habitats. 

The OSRR projects are offered competitively to all interested parties throughout the country. Funding is 

ultimately awarded to those applicants who have the proven people, skills, and experience necessary to 

successfully complete the research and complement the body of scientific knowledge on oil spill 

response. The OSRR staff members also utilize the Ohmsett facility to conduct evaluations of equipment 

that has been identified by industry for use in responding to an offshore oil spill. 

The current OSRR projects cover a wide spectrum of oil spill response issues and include laboratory, 

meso-scale and full-scale field experiments. Recent oil spill response research examples include methods 

to: 

•	 Determine the effectiveness of dispersants when applied via subsea injection methods, by 

conducting proof-of-concept research on a new tool that uses ultrasound to measure the oil 

droplet size distribution at the wellhead; 

•	 Compare the effectiveness of commercially available dispersant products in a simulated Arctic 

environment; 

•	 Enhance in situ burning including methods to reduce resulting particulate matter; 

•	 Establish an estimate of the period of time that environmental conditions might preclude an oil 

spill response from being conducted safely in the Alaskan Arctic; 

•	 Quantify oil in the water column in addition to detecting subsea oil leaks; 

•	 Detect the presence of crude oil on the surface of the water during periods of low light such as 

those experienced in the Arctic; and 

•	 Enhance the real-time data collection capabilities of Ohmsett for research projects involving 

surface oil in an ice field. 

In 2016, BSEE will continue research to: 

•	 Develop, test, and evaluate enhanced mechanical recovery technologies, especially those 

designed for use in Arctic conditions;
 

•	 Refine capabilities to detect and recover oil in and under ice, including technological advances in 

remotely controlled operations to reduce risk to personnel and increase the operational window; 

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Oil Spill Research Appropriation 

•	 Develop tools to assess the potential uncontrolled discharges from throughout the Gulf of Mexico 

to determine which possess the most damaging consequences, also known as the worst case 

discharge; 

•	 Understand the impact of slush or frazil ice on dispersant effectiveness; 

•	 Understand the impact of a cold, stratified deep sea setting on biodegradation and toxicity of 

crude oil following dispersant application; 

•	 Model the potential impact of various spill scenarios in the Alaskan Arctic, in conjunction with 

BSEE’s Federal partners; 

•	 Develop a tool for rapid measurement of the amount of oil emanating from a submerged oil 

release; and 

•	 Develop realistic oil simulants that will replicate the behavior of oil droplets in the subsea 

environment, in conjunction with BSEE’s Federal partners. 

The BSEE disseminates research results and development projects as widely as possible in publications 

through appropriate scientific and technical journals, and conferences, technical reports, public 

information documents, and publication on the BSEE website. The intent is to make this information 

widely available to oil spill response personnel and organizations worldwide. 

Ohmsett - The National Oil Spill Response Research and Renewable Energy Test Facility: Ohmsett is 

one of the world’s largest tow/wave tanks designed to test and evaluate full scale equipment for the 

detection and response to spilled oil. Ohmsett is one of the only facilities where oil spill response testing, 

training, and research can be conducted with a variety of crude and refined oil products in varying wave 

conditions. The heart of Ohmsett is a large, outdoor, above-ground concrete test tank that is 667 feet 

long, 65 feet wide, 11 feet deep and filled to a depth of 8 feet with 2.6 million gallons of crystal clear 

saltwater. Ohmsett also has the capability to test scaled renewable energy systems such as current and 

wave energy converters. No other agency operates a facility like Ohmsett. 

Ohmsett plays an important role in developing the most effective response technologies as well as 

preparing responders by using the most realistic training available. The facility provides testing and 

research capabilities to help the government fulfill its regulatory requirements and meet its goal of clean 

and safe operations. Major Federal clients such as the USCG National Strike Force and the USN rely on 

Ohmsett for their oil spill responder training needs. 

Many of today’s commercially available oil spill cleanup equipment and products have been tested at 

Ohmsett and a considerable body of performance data and information on mechanical response 

equipment has been obtained there. Response planners use this information in reviewing and approving 

facility response and contingency plans. Ohmsett is also the premier training site for government agency 

and private industry oil spill response personnel to test their own full-scale equipment. Some of the more 

recent testing activities included oil spill response equipment testing in a simulated Arctic environment, 

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Oil Spill Research Appropriation 

remote sensing of spilled oil, wave energy conversion device tests, skimmer and boom tests, dispersant 

tests, alternative fuel recovery tests, and industry oil spill response training classes. 

Due to the facility’s coastal location, the effects of Hurricane Sandy were unavoidable. The BSEE is 

coordinating its reconstruction efforts with the National Park Service in order to replace a storage 

building that was destroyed by the storm. Additional mitigation efforts are being undertaken with the 

USN to prevent similar damage from occurring with future storms. These mitigation efforts include 

elevating vulnerable equipment and hardening/protecting assets that cannot be relocated. 

The Ohmsett facility requires constant maintenance and periodic upgrades. While a 2013 feasibility study 

indicated that the current Ohmsett tank can accommodate some small-scale subsea dispersant injection 

research, it recommended that a new vertical tank be added to the facility. The BSEE is exploring the 

feasibility and costs of constructing and operating a new vertical test tank, which if built, would be one of 

the only tanks in the world that could be used for simulating a subsea release and conducting associated 

research for flow rate determinations, subsea dispersant application ratios, and dispersant equipment 

designs. 

The BSEE is building on knowledge learned from recent tests, such as skimmers in broken ice conditions 

and cold water dispersant testing, to plan for a series of subsequent tests in similar conditions. In 2014, 

BSEE conducted several projects to enhance the test measurement parameters available for researchers at 

Ohmsett including expanding the facility’s real-time data collection capabilities for variables such as ice 

concentration and oil thickness. In 2015, the tank will require a major maintenance effort that will require 

draining the tank and result in it being unavailable for testing for approximately ten weeks. Information 

on Ohmsett can be found at www.ohmsett.com. 

Figure 1: Ohmsett Facility in New Jersey 

94 Bureau of Safety and Environmental Enforcement 
 

 

Oil Spill Research Appropriation 

Table 11: Performance Overview Table - Oil Spill Research Appropriation Strategic Objective Metrics / Strategic Plan Measure / Efficiency or other Bureau-Specific Measure Type 2011 Actual 2012 Actual 2013 Actual 2014 Plan 2014 Actual 2015 Plan 2016 Request Achieve a utilization rate of X% at Ohmsett, the national oil spill response test facility (BUR) A 84% (202/240) 94% (226/240) 93% (206/222) 85% 87% 85% 85% Contributing Programs Oil Spill Research Comments Ohmsett is the National Oil Spill Response Test Facility located in New Jersey. At Ohmsett, clients can test oil spill response equipment in realistic conditions and have training in the use of the equipment. This measure evaluates the utilization level of the facility. The increased focus on oil spill response, as well as expanded uses for the facility such as dispersant training and renewable energy wave tests, have sustained overall utilization rates at around 85 percent. In FY 2014 actual, available days reduced from 240 to 231 because the tank was frozen for nine days.

Bureau of Safety and Environmental Enforcement 95 
 

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96 Bureau of Safety and Environmental Enforcement 
 

 

 

 

 

 

 

 

 

Section 403 Compliance 

Bureau of Safety and Environmental Enforcement 

Appendix A - Section 403 Compliance 

Section 403 of Public Law 113-235, the Consolidated and Further Continuing Appropriations Act, 2015, 

states: 

DISCLOSURE OF ADMINISTRATIVE EXPENSES 

SEC. 403. The amount and basis of estimated overhead charges, deductions, reserves or 

holdbacks, including working capital fund and cost pool charges, from programs, 

projects, activities and subactivities to support government-wide, departmental, agency, 

or bureau administrative functions or headquarters, regional, or central operations shall 

be presented in annual budget justifications and subject to approval by the Committees 

on Appropriations of the House of Representatives and the Senate. Changes to such 

estimates shall be presented to the Committees on Appropriations for approval. 

To improve efficiency across the Department, BSEE offers a full array of administrative functions to 

Bureaus and Department offices to help meet their administrative needs. The BSEE implements this 

shared services approach through reimbursable services agreements with each agency. Under these 

agreements, BSEE provides specific services to meet the agency’s needs including acquisition 

management, equal employment opportunity, finance, human resources, information technology 

management, management support, personnel security, and facilities support services. Maintaining these 

critical administrative functions within the Department provides the following benefits: 

•	 Minimizing duplication of administrative entities across multiple organizations while optimizing 

efficiency. 

•	 Providing a centralized administrative function that can, over time, allow the Department to 

pursue additional efficiencies. 

The Department has strongly supported the expansion of business cross-servicing for more than 30 years. 

These efforts have the added benefit of implementing standardized practices that will further increase the 

productivity for highly skilled resources, improve best practices and maximize the use of administrative 

funds in the future. 

The BSEE regularly evaluates these support arrangements jointly with each customer agency. The 

BSEE’s costs to provide these services are also carefully managed and jointly approved by the respective 

agencies. Changes between cost allocations to BSEE and the customer agency may change to reflect 

actual agreements signed annually, and these changes would not be presented as a reprogramming. The 

BSEE’s internal Bureau assessment reported for 2016 reflects the alignment of the Bureau’s 

administrative support requirements based on estimated FTE allocations between BSEE and its 

customers. Customer payments are recorded as reimbursable funding to BSEE. 

Bureau of Safety and Environmental Enforcement 97 
 

 

 

 

 

 

 

 

 

 

 

 

 

Section 403 Compliance 

The FY 2016 request realigns all General Support Services (GSS) Activity funding into the programs it 

supports based on current FTE levels. The GSS Activity, a relic of the MMS legacy organization, 

provides Bureau-wide infrastructure support to include infrastructure costs associated with office space, 

security, utilities, and voice/data communications for that portion of BSEE FTE that is not covered by 

reimbursable service agreements. No FTE are directly charged to the GSS activity. This will constitute 

an internal transfer within the base budget, and the revised budget structure will be reflected in FY 2016 

and thereafter. These costs are appropriately assigned to BSEE’s programs, and they are identified as 

assessments in the table below. 

FY 2016 

Dollars in Thousands 

($000) 

External Administrative Costs 

Various Activities 

Working Capital Fund Centralized Billing 3,968 

Working Capital Fund Direct Billing 1,633 

Subtotal 5,601 

Internal Bureau Assessments 

Operations, Safety and Regulation 9,415 

Administrative Operations 2,345 

Executive Direction 2,152 

Subtotal 13,912 

Total Assessments of Bureau Programs 19,513 

The following tables provide the actual WCF billings to the BSEE for 2014 and 2015 and estimates for 

2016. 

98 Bureau of Safety and Environmental Enforcement 
 

 

Section 403 Compliance 

Bureau of Safety and Environmental Enforcement 

Working Capital Fund Centralized Bill 

(Dollars in thousands) 

2014 2015 2016 Account Actual Actual Estimate 

FBMS Infrastructure Hosting & Support 0.0 212.0 267.1 

FBMS Hosting / Applications Management 68.3 0.0 0.0 

FBMS Master Data Systems & Hosting 10.9 0.0 0.0 

FBMS Master Data Management 0.0 0.5 0.0 

Aviation Management 830.9 840.4 1,144.6 

Mail and Messenger Services 38.5 51.8 50.5 

Safety, Environmental, and Health Services 20.5 27.5 26.8 

Shipping/Receiving & Moving Services 12.0 16.4 16.7 

Vehicle Fleet 2.1 2.1 2.6 

Personal Property Accountability Services 17.1 22.9 20.7 

Interior Complex Management & Services 18.1 24.5 18.9 

Departmental Library 10.1 10.2 8.9 

Mail Policy 3.3 3.3 3.2 

Conference & Special Events Services 28.8 38.7 38.4 

Space Management Services 10.0 13.5 12.0 

FOIA Tracking & Reporting System 46.9 49.0 50.7 

Alaska Affairs Office 6.4 6.4 6.5 

Alaska Resources Library and Information Services 43.5 43.2 43.2 

Departmental News and Information 9.6 9.5 14.7 

Departmental Museum 11.3 10.3 14.0 

FedCenter 1.9 1.9 1.9 

Compliance Support ESF-11/ESF-11 Website 2.3 2.3 2.3 

Invasive Species Council 17.6 17.9 18.0 

Invasive Species Coordinator 3.2 3.2 3.3 

Passport and Visa Services 14.2 4.9 1.9 

CPIC 2.7 2.7 2.6 

Financial Statement, Internal Controls & Performance Report 7.5 5.2 8.0 

Travel Management Center 1.0 1.6 1.5 

e-Travel 8.4 9.1 15.8 

Interior Collections Management System 2.1 2.1 2.1 

Space Management Initiative 3.7 3.7 4.3 

Interior Asset Disposal System O&M 0.0 2.5 2.5 

Planning and Performance Management 12.4 12.4 14.3 

Department-wide Worker’s Compensation Program 3.1 2.8 2.1 

Bureau of Safety and Environmental Enforcement 99 
 

 

Section 403 Compliance 

OPM Federal Employment Services 3.7 3.9 4.5 

Accessibility & Special Hiring Programs (fka ATC) 6.5 6.5 7.4 

Human Resources Accountability Team 6.7 6.9 7.9 

Employee and Labor Relations Tracking System 0.3 0.3 0.4 

Consolidated Employee Assistance Program 0.0 8.1 8.8 

EEO Complaints Tracking System 0.6 0.4 0.4 

Special Emphasis Program 0.4 0.4 0.5 

Occupational Safety and Health 16.0 15.9 18.3 

Safety Management Information System 12.9 12.8 14.7 

Leadership Development Programs 9.9 9.8 11.4 

Dept-Wide Train Programs (incl. Online Learning) 27.8 23.4 23.3 

Learning and Performance Center Management 7.2 10.0 10.1 

DOIU Management 7.0 6.9 7.9 

Security (Classified Information Facility) 5.2 5.1 6.2 

Law Enforcement Coordination 6.9 7.2 8.4 

Security (MIB/SIB Complex) 147.1 196.0 205.4 

Victim Witness Coordinator 2.0 1.9 2.3 

Interior Operations Center 22.5 23.0 26.5 

Emergency Preparedness (COOP) 11.3 9.9 11.3 

Emergency Response 11.2 12.4 14.4 

MIB Emergency Health and Safety 3.4 4.6 4.8 

Federal Executive Board 2.8 2.8 3.3 

Alternative Dispute Resolution (ADR) Training 0.5 0.5 0.6 

Conservation and Education Partnerships 3.2 3.2 3.6 

Cooperative Ecosystem Study Units 21.2 21.2 0.0 

CFO Financial Statement Audit 535.7 259.4 242.4 

Ethics 5.6 5.5 6.3 

FOIA Appeals 22.0 22.0 22.1 

IT Transformation Planning (ITT) 185.5 185.5 168.0 

Enterprise Directory Services (fka Active Directory) 25.2 30.8 124.9 

IT Asset Management 9.3 7.7 10.4 

IOS Collaboration 9.6 9.7 12.6 

Unified Messaging 7.9 9.9 13.4 

ITD Desktop Services 3.3 0.0 0.0 

Identity Credential Access Management (ICAM) 12.6 12.7 13.3 

Threat Management 25.5 15.8 94.2 

ITD ISSO Information Assurance Operations 7.6 7.6 5.0 

Enterprise Continuous Diagnostics and Monitoring 0.0 11.9 11.5 

Enterprise Security & Event Mgmt. Solution (SIEM) 0.0 25.8 24.8 

Hosting Services (fka Hosting/Cloud Services) 14.6 8.7 19.9 

Electronic Records Management (inc. e-Forms) 19.6 45.9 56.0 

100 Bureau of Safety and Environmental Enforcement 
 

Section 403 Compliance 

Privacy and Civil Liberties 8.2 14.9 13.0 

ITD PPCD Privacy Records 15.3 15.3 0.0 

Information Mgmt. Assurance Division Leadership 6.7 19.5 15.6 

Assessment & Authorization Services 2.3 6.6 5.8 

IT Security 3.1 5.7 4.1 

Solutions, Design & Innovation (SDI) 4.4 4.4 13.4 

Enterprise Services Network 180.6 73.8 114.3 

Federal Relay Service 0.3 0.6 3.0 

ITD MIB Data Networking 10.7 10.7 16.3 

ITD Telecommunication Services 24.6 24.6 41.6 

ITD Integrated Digital Voice Communications System 17.4 17.4 34.6 

Enterprise Services Network – Central Bill Pass Thrus 0.0 109.8 222.4 

FBMS Help Desk – Customer Support Center 126.2 0.0 0.0 

Enterprise Service Desk 0.0 0.0 10.0 

Geospatial Services 0.0 0.0 2.9 

Enterprise Resource Management 17.5 17.7 0.0 

Independent Verification and Validation – Risk Mgmt. 21.0 38.3 33.8 

Architecture & IT Portfolio Performance Mgmt. 34.5 100.7 97.6 

IT Budget Formulation & Portfolio Development 25.7 75.2 60.6 

e-Government Initiatives (WCF Contributions Only) 51.1 32.0 26.3 

FPPS/Employee Express - O&M 168.1 176.7 176.9 

Transportation Services (Household Goods) 1.7 1.7 1.7 

FBMS Master Data Management 0.5 0.0 0.0 

Consolidated Financial Statement System 6.7 0.0 0.0 

Boise Acquisition Office 221.8 24.9 26.5 

TOTAL 3,437.2 3,277.3 3,967.7 

Bureau of Safety and Environmental Enforcement 101 
 

 

Section 403 Compliance 

Bureau of Safety and Environmental Enforcement 

Working Capital Fund Direct Bill 

(Dollars in thousands) 

2014 2015 2016 

Account Actual Actual Estimate 

Creative Communications 4.0 4.0 4.5 

FBMS Change Orders 10.0 0.0 0.0 

Ocean Coastal Great Lakes Activities 20.0 0.0 20.0 

e-OPF 39.9 39.9 49.7 

EAP Consolidation 9.9 0.0 0.0 

Worker’s Comp Nurse Case Management 1.5 1.5 1.5 

Equal Employment Opportunity (EEO) Investigations 0.0 0.0 3.9 

Equal Employment Opportunity (EEO) Training 0.0 0.0 1.0 

Albuquerque Learning & Performance Center 2.4 2.4 0.0 

Online Learning 6.0 6.0 5.6 

Washington Leadership & Performance Center 6.3 6.2 0.0 

Consolidated Direct Billed Leadership & Performance 

Centers 0.0 0.0 8.6 

OLES BSEE Detailee 150.0 150.0 0.0 

Federal Flexible Savings Account (FSA) Program 10.1 10.1 3.3 

Unified Messaging 203.7 164.2 246.2 

Anti-virus Software Licenses 44.5 16.4 49.1 

Identity, Credential Access Management (ICAM) 89.0 84.7 103.6 

Data at Rest Initiative 6.8 2.4 6.7 

Hosting Services 0.0 12.4 16.9 

Electronic Records Management 105.3 0.0 117.6 

Enterprise Services Network 617.1 0.0 608.8 

ISSO ITD Telecommunications 4.3 0.0 4.9 

ESRI Enterprise Licenses 107.5 44.2 110.7 

Human Resource Operations Division 19.1 0.0 0.0 

Payroll & HR Systems 283.1 262.1 270.2 

Acquisition Services 15.4 0.0 0.0 

TOTAL 1,755.8 806.3 1,632.9 

102 Bureau of Safety and Environmental Enforcement 
PER-4 Employee Count By Grade 

Bureau of Safety and Environmental Enforcement 

Appendix B – Employee Count by Grade 

Employee Count by Grade 

(Total Employment) 

FY 2014 FY 2015 FY 2016 

Actuals Enacted Request

 Executive Level V ................................................ 1 1 1

 SES ................................................................ 6 6 6 

Subtotal .............................................. 7 7 7 

SL - 00 ............................................................. 0 0 0 

ST - 00 ............................................................. 0 0 0 

Subtotal .............................................. 0 0 0

 GS/GM -15 ....................................................... 46 46 46

 GS/GM -14 ....................................................... 143 146 146

 GS/GM -13 ....................................................... 207 216 216

 GS -12 ............................................................. 111 133 133

 GS -11 ............................................................. 90 128 136

 GS -10 ............................................................. 3 3 3

 GS - 9 ............................................................. 69 69 71

 GS - 8 ............................................................. 16 16 16

 GS - 7 ............................................................. 53 55 57

 GS - 6 ............................................................. 15 15 15

 GS - 5 ............................................................. 24 28 28

 GS - 4 ............................................................. 7 7 7

 GS - 3 ............................................................. 0 0 0

 GS - 2 ............................................................. 0 0 0

 GS - 1 ............................................................. 0 0 0 

Subtotal .............................................. 784 862 874

 Other Pay Schedule Systems .................................. 0 0 0

 Total employment (actuals & estimates) .................. 791 869 881 

Bureau of Safety and Environmental Enforcement 103 
 

PER-4 Employee County By Grade 

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104 Bureau of Safety and Environmental Enforcement 
 

 

 

 

MAX Tables and Budget Schedules 

Bureau of Safety and Environmental Enforcement 

Offshore Safety and Environmental Enforcement (OSEE) 

Appendix C - MAX Tables and Budget Schedules 

Program and Financing 

(dollars in millions) 

Treasury Account ID: 14-1700 

2014 

Actual 

2015 

Estimate 

2016 

Estimate 

Obligations by program activity 

0001 Appropriations 73 75 70 

0002 Offsetting Collections 80 179 138 

0003 Inspection Fee 38 0 0 

0192 Total direct program 191 254 208 

0799 Total direct obligations 191 254 208 

0802 Reimbursable Service Agreements 37 37 37 

0900 Total new obligations 228 291 245 

Budgetary resources: Unobligated balance: 

1000 Unobligated balance brought forward, Oct 1 87 94 30 

1011 

Unobligated balance transfer from other accounts 

[14-1917] * 1 0 0 

1021 Recoveries of prior year unpaid obligations 2 0 0 

1050 Unobligated balance (total) 90 94 30 

Budget authority: Appropriations, discretionary: 

1100 Appropriation 73 66 68 

1160 Appropriation, discretionary (total) 73 66 68 

Spending authority from offsetting collections, discretionary 

1700 Offsetting Collections (Cost Recovery) 8 8 8 

1700 Offsetting Collections (Rental Receipts) 51 51 49 

1700 Collected (Inspection Fee) 65 65 65 

1700 Reimbursable Service Agreements 24 37 37 

1701 Change in uncollected payments, Federal sources 5 0 0 

1711 Spending authority from offsetting collections -

Inspection Fees - transferred from accounts [14-1917] 

6 0 0 

1750 Spending authority from offsetting collections, 

discretionary (total) 

159 161 159 

1900 Budget authority (total) 232 227 227 

1930 Total budgetary resources available 322 321 257 

Memorandum (non-add) entries: 

1941 Unexpired unobligated balance, end of year 94 30 12 

Change in obligated balance: Unpaid obligations: 

3000 Unpaid obligations, brought forward, Oct 1 101 129 168 

3010 Obligations incurred, unexpired accounts 228 291 245 

Bureau of Safety and Environmental Enforcement 105 
 

 

MAX Tables and Budget Schedules 

Bureau of Safety and Environmental Enforcement 

Offshore Safety and Environmental Enforcement (OSEE) 

Program and Financing (continued) 

(dollars in millions) 

Treasury Account ID: 14-1700 

2014 

Actual 

2015 

Estimate 

2016 

Estimate 

3020 Outlays (gross) -198 -252 -252 

3040 Recoveries of prior year unpaid obligations, 

unexpired 

-2 0 0 

3050 Unpaid obligations, end of year 129 168 161 

Uncollected payments: 

3060 Uncollected payments, Federal sources, brought 

forward, Oct 1 

-19 -24 -24 

3070 Change in uncollected payments, Federal sources, 

unexpired 

-5 0 0 

3090 Uncollected payments, Federal sources, end of 

year 

-24 -24 -24 

Memorandum (non-add) entries: 

3100 Obligated balance, start of year 82 105 144 

3200 Obligated balance, end of year 105 144 137 

Budget authority and outlays, net: Discretionary: 

4000 Budget authority, gross 232 227 227 

Outlays, gross: 

4010 Outlays from new discretionary authority 105 159 160 

4011 Outlays from discretionary balances 93 93 92 

4020 Outlays, gross (total) 198 252 252 

Offsets against gross budget authority and outlays: 

Offsetting collections (collected) from: 

4030 Federal sources -39 -37 -37 

4033 Non-Federal sources -109 -124 -122 

4040 Offsets against gross budget authority and outlays 

(total) 

-148 -161 -159 

Additional offsets against gross budget authority only: 

4050 Change in uncollected payments, Federal sources, 

unexpired 

-5 0 0 

4070 Budget authority, net (discretionary) 79 66 68 

4080 Outlays, net (discretionary) 50 91 93 

4180 Budget authority, net (total) 79 66 68 

4190 Outlays, net (total) 50 91 93 

Memorandum (non-add) entries 

5090 Unavailable balance, SOY: Offsetting collections 6 6 6 

5092 Unavailable balance, EOY: Offsetting collections 6 6 6 

* Unobligated Balance of $1M was brought forward from BOEMRE and transferred from 

BOEM to BSEE. 

106 Bureau of Safety and Environmental Enforcement 
 

 

 

 

 

 

 

MAX Tables and Budget Schedules 

Bureau of Safety and Environmental Enforcement 

Offshore Safety and Environmental Enforcement (OSEE) 

Object Classification 

(dollars in millions) 

Treasury Account ID: 14-1700 

2014 

Actual 

2015 

Estimate 

2016 

Estimate 

OSEE (Direct Obligations) 

Personnel compensation: 

1111 Full-time permanent 58 70 72 

1121 Civilian personnel benefits 18 21 21 

1210 Travel and transportation of persons 2 2 2 

1220 Transportation of things 0 1 1 

1231 Rental payments to GSA 9 11 11 

1251 Advisory and assistance services 3 22 22 

1252 Other services from non-Federal sources 49 94 56 

1253 Other goods and services from Federal sources 13 5 5 

1254 Operation and maintenance of facilities 0 1 1 

1255 Research and development contracts 18 22 12 

1257 Operation and maintenance of equipment 7 0 0 

1260 Supplies and materials 1 2 2 

1310 Equipment 7 3 3 

1410 Grants, subsidies, and contributions 5 0 0 

1990 Subtotal, obligations, Direct Obligations 190 254 208 

OSEE (Reimbursable Obligations) 

Personnel compensation: 

2111 Full-time permanent 11 11 11 

2121 Civilian personnel benefits 3 3 3 

2231 Rental payments to GSA 6 6 6 

2251 Advisory and assistance services 2 2 2 

2252 Other services from non-Federal sources 3 6 6 

2253 Other goods and services from Federal sources 0 8 8 

2255 Research and development contracts 1 0 0 

2257 Operation and maintenance of equipment 10 0 0 

2310 Equipment 2 1 1 

2990 Subtotal, obligations, Reimbursable obligations 38 37 37 

9999 Total new obligations 228 291 245 

Bureau of Safety and Environmental Enforcement 107 
 

 

 

MAX Tables and Budget Schedules 

Bureau of Safety and Environmental Enforcement 

Oil Spill Research (OSR) 

Program and Financing 

(dollars in millions) 

Treasury Account ID: 14-8370 

2014 

Actual 

2015 

Estimate 

2016 

Estimate 

Obligations by program activity 

0001 Direct program activity 21 18 16 

0900 Total new obligations 21 18 16 

Budgetary Resources : Unobligated balance: 

1000 Unobligated balance brought forward, Oct 1 9 4 1 

Budget Authority: Appropriations, discretionary 

1101 Appropriation (special or trust fund) 15 15 15 

1160 Appropriation, discretionary (total) 15 15 15 

Spending authority from offsetting collections, discretionary: 

1700 Collected 1 0 0 

1750 Spending authority from offsetting collections, 

discretionary (total) 

1 0 0 

1900 Budget authority (total) 16 15 15 

1930 Total budgetary resources available 25 19 16 

Memorandum (non-add) entries: 

1941 Unexpired unobligated balance, end of year 4 1 0 

Change in obligated balance: Unpaid obligations: 

3000 Unpaid obligations, brought forward, Oct 1 12 23 18 

3010 Obligations incurred, unexpired accounts 21 18 16 

3020 Outlays (gross) -10 -23 -22 

3050 Unpaid obligations, end of year 23 18 12 

Memorandum (non-add) entries: 

3100 Obligated balance, start of year 12 23 18 

3200 Obligated balance, end of year 23 18 12 

Budget authority and outlays, net: Discretionary: 

4000 Budget authority, gross 16 15 15 

Outlays, gross: 

4010 Outlays from new discretionary authority 3 8 8 

4011 Outlays from discretionary balances 7 15 14 

4020 Outlays, gross (total) 10 23 22 

108 Bureau of Safety and Environmental Enforcement 
 

 

MAX Tables and Budget Schedules 

Bureau of Safety and Environmental Enforcement 

Oil Spill Research (OSR) 

Program and Financing (continued) 

(dollars in millions) 

Treasury Account ID: 14-8370 

2014 

Actual 

2015 

Estimate 

2016 

Estimate 

Offsets against gross budget authority and outlays: 

Offsetting collections (collected) from: 

4033 Non-Federal sources -1 

4070 Budget authority, net (discretionary) 15 15 15 

4080 Outlays, net (discretionary) 9 23 22 

4180 Budget authority, net (total) 15 15 15 

4190 Outlays, net (total) 9 23 22 

Object Classification 

(dollars in millions) 

Treasury Account ID: 14-8370 

2014 

Actual 

2015 

Estimate 

2016 

Estimate 

OSR (Direct Obligations) 

Personnel compensation: 

1111 Full-time permanent 1 2 2 

1121 Civilian Personnel Benefits 1 1 1 

1252 Other services from non-Federal sources 6 3 2 

1255 Research and development contracts 13 12 11 

9999 Total new obligations 21 18 16 

Bureau of Safety and Environmental Enforcement 109 
 

 

MAX Tables and Budget Schedules 

Bureau of Safety and Environmental Enforcement
 

Oil Spill Research (OSR)
 

Hurricane Sandy Disaster Relief Supplemental
 

Appropriations Act of 2013
 

Program and Financing 

(dollars in millions) 

Treasury Account ID: 14-1920 

2014 

Actual 

2015 

Estimate 

2016 

Estimate 

Budgetary resources: Budget authority: Appropriations, discretionary: 

1160 Appropriations, discretionary (total) 0 0 0 

Change in obligated balance: Unpaid obligations: 

3000 Unpaid obligations, brought forward, Oct 1 2 1 1 

3020 Outlays (gross) -1 0 0 

3050 Unpaid obligations, end of year 1 1 1 

Memorandum (non-add) entries: 

3100 Obligated balance, start of year 2 1 1 

3200 Obligated balance, end of year 1 1 1 

Budget authority and outlays, net: Discretionary: 

Outlays, gross (total) 

4011 Outlays from discretionary balances 1 0 0 

4080 Outlays, net (discretionary) 1 0 0 

4180 Budget authority, net (total) 0 0 0 

4190 Outlays, net (total) 1 0 0 

110 Bureau of Safety and Environmental Enforcement 
 

 

 

 

 

 

 

 

 

 

 

 

Authorizing Statutes 

Bureau of Safety and Environmental Enforcement 

Authorizing Statutes 

Outer Continental Shelf (OCS) Lands Program 

43 U.S.C. 1331, et seq. The Outer Continental Shelf (OCS) Lands Act of 1953, as 

amended, extended the jurisdiction of the United States to the 

OCS and provided for granting of leases to develop offshore 

energy and minerals. 

P.L. 109-432 The Gulf of Mexico Energy Security Act of 2006 required 

leasing certain areas in the Central and Eastern Gulf of Mexico 

Planning Areas within one year of enactment (December 20, 

2006); and established a moratoria on leasing in remaining areas 

in the eastern planning area and a portion of the central planning 

area until 2022. 

P.L. 109-58 The Energy Policy Act of 2005 amended the OCS Lands Act to 

give authority to the Department of the Interior to coordinate the 

development of an alternative energy program on the OCS and 

also to coordinate the energy and non-energy related uses in 

areas of the OCS where traditional oil and natural gas 

development already occur. 

P.L. 113-067 The Bipartisan Budget Act of 2013 contained provisions which 

approved the Agreement between the U.S. and the United 

Mexico States concerning Transboundary Hydrocarbon 

Reservoirs in the Gulf of Mexico, and amended the OCS Lands 

Acts to authorize the Secretary of the Interior to implement the 

U.S.-Mexico Agreement and any future transboundary 

hydrocarbon reservoir agreements entered into by the President 

and approved by Congress. 

43 U.S.C. 4321, 4331-4335, 

4341-4347 

The National Environmental Policy Act of 1969 required 

that federal agencies consider in their decisions the 

environmental effects of proposed activities and that Agencies 

prepare environmental impact statements for Federal actions 

having a significant effect on the environment. 

16 U.S.C. 1451, et seq. The Coastal Zone Management Act of 1972, as amended, 

established goals for ensuring that Federal and industry activity 

in the coastal zone be consistent with coastal zone plans set by 

the States. 

16 U.S.C. 1531-1543 The Endangered Species Act of 1973 established procedures to 

ensure interagency cooperation and consultations to protect 

endangered and threatened species. 

Bureau of Safety and Environmental Enforcement 111 
 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Authorizing Statutes 

42 U.S.C. 7401, et seq. The Clean Air Act, as amended, was applied to all areas of the 

OCS except the central and western Gulf of Mexico. OCS 

activities in those non-excepted areas will require pollutant 

emission permits administered by the EPA or the States. 

P. L. 112-42, Section 432 Consolidated Appropriations Act of 2012, amended the Clean 

Air Act by transferring air quality jurisdiction from the EPA to 

DOl for OCS activities in the Beaufort Sea and Chukchi Sea 

OCS Planning Areas of the Arctic OCS. 

16 U.S.C. 470-470W6 The National Historic Preservation Act established procedures to 

ensure protection of significant archaeological resources. 

30 U.S.C. 21(a) The Mining and Minerals Policy Act of 1970 set forth the 

continuing policy of the Federal Government to foster and 

encourage private enterprise in the orderly and economic 

development of domestic mineral resources and reserves. 

30 U.S.C. 1601 The Policy, Research and Development Act of 1970 set forth the 

continuing policy et seq. of the Federal Government to foster and 

encourage private enterprise in the orderly and economic 

development of domestic mineral resources and reserves. 

33 U.S.C. 2701, et seq. The Oil Pollution Act of 1990 established a fund for 

compensation of damages resulting from oil pollution and 

provided for interagency coordination and for the performance of 

oil spill prevention and response research. It also expanded 

coverage of Federal requirements for oil spill response planning 

to include State waters and the transportation of oil. The Act 

also addressed other related regulatory issues. 

43 U.S.C. 1301 The Marine Protection, Research, and Sanctuaries Act of 1972 

provided that the Secretary of Commerce must consult with the 

Secretary of the Interior prior to designating marine sanctuaries. 

BSEE provides oversight and enforcement for potential impacts 

from all OCS activities that may be located in or in proximity to 

marine sanctuaries and protected areas. 

16 U.S.C. 1361-1362, 

1371-1384, 1401-1407 

The Marine Mammal Protection Act of 1972 provides for 

the protection and welfare of marine mammals. 

P.L. 104-58 The Deepwater Royalty Relief Act provides royalty rate relief 

for offshore drilling in deepwater of the Gulf of Mexico (GOM). 

31 U.S.C. 9701 Fees and Charges for Government Services and Things of 

Value. It establishes authority for Federal agencies to collect 

fees for services provided by the Government. Those fees must 

be fair and based on the costs to the Government; the value of 

the services or thing to the recipient; public policy or interest 

served; and other relevant facts. 

112 Bureau of Safety and Environmental Enforcement 
 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Authorizing Statutes 

General Administration 

31 U.S.C. 65
 

31 U.S.C. 3901-3906
 

31 U.S.C. 3512
 

5 U.S.C. 552
 

31 U.S.C. 7501-7507
 

41 U.S.C. 35045
 

41 U.S.C. 351-357
 

41 U.S.C. 601-613
 

44 U.S.C. 35
 

44 U.S.C. 2101
 

40 U.S.C. 4868
 

31 U.S.C. 3501
 

31 U.S.C. 3501
 

31 U.S.C. 3711, 3716-19
 

31 U.S.C. 1501-1557
 

5 U.S.C. 1104 et seq.
 

31 U.S.C. 665-665(a)
 

41 U.S.C. 252
 

18 U.S.C. 1001
 

18 U.S.C. 287
 

41 U.S.C. 501-509
 

41 U.S.C. 253
 

41 U.S.C. 401
 

15 U.S.C. 631
 

Budget and Accounting Procedures Act of 1950
 

Prompt Payment Act of 1982
 

Federal Managers Financial Integrity Act of 1982
 

Freedom of Information Act of 1966, as amended
 

Single Audit Act of 1984
 

Walsh Healy Public Contracts Act of 1936
 

Service Contract Act of 1965
 

Contract Disputes Act of 1978
 

Paperwork Reduction Act of 1980
 

Federal Records Act 1950
 

Federal Acquisition Regulation of 1984
 

Privacy Act of 1974
 

Accounting and Collection
 

Claims
 

Appropriation Accounting
 

Delegation of Personnel Management Authority
 

Anti-Deficiency Act of 1905, as amended
 

Competition in Contracting Act of 1984
 

False Claims Act of 1982
 

False Statements Act of 1962
 

Federal Grant and Cooperative Agreement Act of 1977
 

Federal Property and Administrative Services Act of 1949
 

Office of Federal Procurement Policy Act of 1974, as
 

amended 

Small Business Act of 1953, as amended 

Bureau of Safety and Environmental Enforcement 113 
 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Authorizing Statutes 

15 U.S.C. 637 Small Business Act Amendments of 1978 

10 U.S.C. 137 Small Business and Federal Competition Enhancement Act of 

1984 

15 U.S.C. 638 Small Business Innovation Research Program of 1983 

10 U.S.C. 2306(f) Truth in Negotiations Act of 1962 Authorization 

Secretarial Order No. 3299 Directed the creation of the Bureau of Ocean Energy 

Management, the Bureau of Safety and Environmental 

Enforcement, and the Office of Natural Resources Revenue in 

May 2010, under the authority provided by Section 2 of 

Reorganization Plan No. 3 of 1950 (64 Stat. 1262). 

Secretarial Order No. 3302 Changed the Name of the Minerals Management Service to the 

Bureau of Ocean Energy Management, Regulation and 

Enforcement in June 2010, under the authority provided by 

Section 2 of Reorganization Plan No. 3 of 1950 (64 Stat. 1262). 

Oil Spill Research 

33 U.S.C. 2701, et seq. Title VII of the Oil Pollution Act of 1990 authorizes the use of 

the Oil Spill Liability Trust Fund, established by Section 9509 of 

the Internal Revenue Code of 1986 (26 U.S.C. 9509), for oil spill 

research. 

33 U.S.C. 2701, et seq. Title I, Section 1016, of the Oil Pollution Act of 1990 requires a 

certification process which ensures that each responsible 

company, with respect to an offshore facility, has established, 

and maintains, evidence of financial responsibility in the amount 

of at least $150,000,000 to meet potential pollution liability. 

43 U.S.C. 1331, et seq. Section 21(b) of the Outer Continental Shelf Lands Act, as 

amended, requires the use of the best available and safety 

technologies (BAST) and assurance that the use of up-to-date 

technology is incorporated into the regulatory process. 

Executive Order 12777 Signed October 18, 1991, assigned the responsibility to ensure 

oil spill financial responsibility for OCS facilities to the 

Secretary of the Interior (Bureau of Safety and Environmental 

Enforcement). 

114 Bureau of Safety and Environmental Enforcement