54164 Federal Register / Vol. 75, No. 171 / Friday, September 3, 2010 / Notices 

SUMMARY: The Secretary of the Interior 

(Secretary), after consultation with the 

General Services Administration, has 

reestablished the charter for the Lake 

Champlain Sea Lamprey Control 

Alternatives Workgroup (Workgroup) 

for 2 years. The Workgroup provides an 

opportunity for stakeholders to give 

policy and technical advice on efforts to 

develop and implement sea lamprey 

control techniques alternative to 

lampricides in Lake Champlain. 

FOR FURTHER INFORMATION CONTACT: 

Dave Tilton, Fish and Wildlife Service, 

Western New England Complex, 11 

Lincoln Street, Essex Junction, VT 

05452; 802–872–0629, extension 12. 

SUPPLEMENTARY INFORMATION: The 

Workgroup conducts its operations in 

accordance with the provisions of the 

Federal Advisory Committee Act (5 

U.S.C. Appendix). It reports to the 

Secretary through the Fish and Wildlife 

Service and Lake Champlain Fish and 

Wildlife Management Cooperative and 

functions solely as an advisory body. 

The Workgroup provides 

recommendations and advice to the 

Cooperative on: 

• Feasible and appropriate sea 

lamprey management methods 

alternative to lampricides; 

• Funding priorities for research and/ 

or demonstration projects; 

• Facilitating coordinated research 

between Lake Champlain and the Great 

Lakes; and 

• Development of requests for 

proposals, project proposals, and 

research efforts affecting the Lake 

Champlain Basin. 

The Workgroup consists of no more 

than 25 members and alternates 

appointed by the Secretary for 3-year 

terms. Up to five of the members may 

be special Government employees, 

selected for their scientific expertise. In 

addition, up to 20 members of the 

Workgroup will represent those with an 

interest in and a commitment to the 

Lake Champlain Basin’s natural 

resources and its environmental quality. 

The States of Vermont and New York 

will each have a representative on the 

Workgroup. Other members will be 

selected from, but not limited to, the 

following interest groups: 

(1) Recreational and charter 

fishermen, (2) sportfishing 

organizations, (3) environmental 

organizations, (4) general public 

residing within the Lake Champlain 

area, and (5) academic research and 

educational personnel. These members 

must be senior-level representatives 

with knowledge about fishery 

restoration objectives within the Lake 

Champlain Basin, including sea lamprey 

control, and must have the ability to 

represent their designated 

constituencies. 

We have filed a copy of the Working 

Group’s charter with the Committee 

Management Secretariat, General 

Services Administration; Committee on 

Environment and Public Works, United 

States Senate; Committee on Natural 

Resources, United States House of 

Representatives; and the Library of 

Congress. 

The Certification for reestablishment 

is published below. 

Certification 

I hereby certify that the Lake 

Champlain Sea Lamprey Control 

Alternatives Workgroup is necessary 

and is in the public interest in 

connection with the performance of 

duties pursuant to the Department of the 

Interior’s authority under the Lake 

Champlain Basin Program (33 U.S.C. 

1270) and the Anadromous Fish 

Conservation Act (16 U.S.C. 757a–757g). 

Dated: August 19, 2010. 

Ken Salazar, 

Secretary of the Interior. 

[FR Doc. 2010–22059 Filed 9–2–10; 8:45 am] 

BILLING CODE 4310–55–P 

DEPARTMENT OF THE INTERIOR 

Bureau of Ocean Energy Management, 

Regulation, and Enforcement 

[Docket No. MMS–2008–MRM–0031] 

Agency Information Collection 

Activities: Submitted for Office of 

Management and Budget Review; 

Comment Request 

AGENCY: Bureau of Ocean Energy 

Management, Regulation, and 

Enforcement (BOEM), Interior. 

ACTION: Notice of an extension of a 

currently approved information 

collection (OMB Control Number 1010– 

0136). 

SUMMARY: To comply with the 

Paperwork Reduction Act of 1995 

(PRA), we are notifying the public that 

we have submitted to the Office of 

Management and Budget (OMB) an 

information collection request (ICR) to 

renew approval of the paperwork 

requirements in 30 CFR parts 202, 204, 

206, and 210. This notice also provides 

the public a second opportunity to 

comment on the paperwork burden of 

these regulatory requirements. We 

consolidated this ICR and ICR 1010– 

0090, Stripper Royalty Rate Reduction 

Notification, in order to facilitate 

program wide review of Federal oil and 

gas valuation. The new title of this ICR 

is ‘‘30 CFR Parts 202, 204, 206, and 210, 

Federal Oil and Gas Valuation.’’ 

DATES: Submit written comments on or 

before October 4, 2010. 

ADDRESSES: Submit written comments 

by either FAX (202) 395–6566 or e-mail 

(OIRA_Docket@omb.eop.gov) directly to 

the Office of Information and Regulatory 

Affairs, OMB, Attention: Desk Officer 

for the Department of the Interior (OMB 

Control Number 1010–0136). 

Please also submit a copy of your 

comments on this ICR to BOEM by any 

of the following methods. Please use 

‘‘ICR 1010–0136’’ as an identifier in your 

comment. 

• Electronically go to http:// 

www.regulations.gov. In the entry titled 

‘‘Enter Keyword or ID,’’ enter MMS– 

2008–MRM–0031, and then click 

search. Follow the instructions to 

submit public comments. The BOEM 

will post all comments. 

• Mail comments to Hyla Hurst, 

Regulatory Specialist, Bureau of Ocean 

Energy Management, Regulation, and 

Enforcement, Minerals Revenue 

Management, P.O. Box 25165, MS 

61013B, Denver, Colorado 80225. Please 

reference ICR 1010–0136 in your 

comments. 

• Hand-carry comments or use an 

overnight courier service. Our courier 

address is Building 85, Room A–614, 

Denver Federal Center, West 6th Ave. 

and Kipling St., Denver, Colorado 

80225. Please reference ICR 1010–0136 

in your comments. 

FOR FURTHER INFORMATION CONTACT: Hyla 

Hurst, telephone (303) 231–3495, or 

e-mail hyla.hurst@boemre.gov. You may 

also contact Hyla Hurst to obtain copies, 

at no cost, of (1) the ICR, (2) any 

associated forms, and (3) the regulations 

that require the subject collection of 

information. 

SUPPLEMENTARY INFORMATION: 

Title: 30 CFR Parts 202, 204, 206, and 

210, Federal Oil and Gas Valuation. 

OMB Control Number: 1010–0136. 

Bureau Form Number: Forms MMS– 

4377 and MMS–4393. 

Abstract: The Secretary of the U.S. 

Department of the Interior is responsible 

for mineral resource development on 

Federal and Indian lands and the Outer 

Continental Shelf (OCS). The Secretary 

is required by various laws to manage 

mineral resource production from 

Federal and Indian lands and the OCS, 

collect the royalties and other mineral 

revenues due, and distribute the funds 

collected in accordance with applicable 

laws. Public laws pertaining to mineral 

leases on Federal and Indian lands are 

posted on our Web site at http:// 

www.mrm.boemre.gov/Laws_R_D/ 

PublicLawsAMR.htm. 


srobinson on DSKHWCL6B1PROD with NOTICES
Federal Register / Vol. 75, No. 171 / Friday, September 3, 2010 / Notices 54165 

I. General Information 

When a company or an individual 

enters into a lease to explore, develop, 

produce, and dispose of minerals from 

Federal or Indian lands, that company 

or individual agrees to pay the lessor a 

share in an amount or value of 

production from the leased lands. The 

lessee is required to report various kinds 

of information to the lessor relative to 

the disposition of the leased minerals. 

Such information is generally available 

within the records of the lessee or others 

involved in developing, transporting, 

processing, purchasing, or selling of 

such minerals. 

II. Information Collections 

We use the information collected in 

this ICR to ensure that royalty is 

accurately valued and appropriately 

paid on oil and gas produced from 

Federal onshore and offshore leases. 

Please refer to the burden hour table for 

all reporting requirements and 

associated burden hours. All data 

submitted is subject to subsequent audit 

and adjustment. 

A. Federal Oil and Gas Valuation 

Regulations 

The valuation regulations at 30 CFR 

part 206, subparts C and D, mandate 

that companies collect and/or submit 

information used to value their Federal 

oil and gas, including (1) transportation 

and processing allowances; and (2) 

regulatory allowance limitation 

information. Companies report certain 

data on Form MMS–2014, Report of 

Sales and Royalty Remittance (OMB 

Control Number 1010–0139). The 

information requested is the minimum 

necessary to carry out our mission and 

places the least possible burden on 

respondents. If BOEM does not collect 

this information, both Federal and state 

governments may incur a loss of 

royalties. 

Transportation and Processing 

Regulatory Allowance Limits 

Lessees may deduct the reasonable, 

actual costs of transportation and 

processing from Federal royalties. These 

allowances are reported on Form MMS– 

2014. 

Request To Exceed Regulatory 

Allowance Limitation, Form MMS–4393 

Lessees may request to exceed 

regulatory limitations. Upon proper 

application from the lessee, BOEM may 

approve an oil or gas transportation 

allowance in excess of 50 percent or a 

gas processing allowance in excess of 

662⁄3; percent on Federal leases. Form 

MMS–4393 is used for both Federal and 

Indian leases to request to exceed 

allowance limitations. This ICR covers 

only Federal leases; therefore we have 

not included burden hours for Form 

MMS–4393 for Indian leases in this ICR. 

Burden hours for Form MMS–4393 for 

Indian leases are included in OMB 

Control Number 1010–0103. 

B. Accounting and Auditing Relief for 

Marginal Properties 

In 2004, we amended our regulations 

to comply with section 7 of the Federal 

Oil and Gas Royalty Simplification and 

Fairness Act of 1996. The regulations 

provide guidance for lessees and 

designees seeking accounting and 

auditing relief for qualifying Federal 

marginal properties. Under the 

regulations, both BOEM and the state 

concerned must approve any relief 

granted for a marginal property. 

C. Stripper Oil Royalty Rate Reduction 

Program 

Under 43 CFR 3103.4–2, the Stripper 

Oil Royalty Rate Reduction Program 

(Stripper Oil Program) was established 

by the Bureau of Land Management 

(BLM), the surface management agency 

for Federal onshore leases. The Minerals 

Revenue Management (MRM), who 

administered the Stripper Oil Program 

for BLM, approved royalty rate 

reductions for operators of stripper oil 

properties for applicable sales periods 

from October 1, 1992, through January 

31, 2006. Effective February 1, 2006, the 

reduced royalty rates under this 

program were terminated. This change 

is not currently reflected in the CFR; 

however, BLM is processing a final rule 

to remove this citation from the 

regulations. 

For production through January 31, 

2006, reporters used Form MMS–4377, 

Stripper Royalty Rate Reduction 

Notification, to notify MRM of royalty 

rate changes. Although the royalty rate 

reductions were terminated, MRM 

continues to verify previously submitted 

notifications and may require the 

operator to submit an amended Form 

MMS–4377. 

III. OMB Approval 

We are requesting OMB approval to 

continue to collect this information. Not 

collecting this information would limit 

the Secretary’s ability to discharge his/ 

her duties and may also result in loss of 

royalty payments. Proprietary 

information submitted to BOEM under 

this collection is protected, and no 

items of a sensitive nature are included 

in this information collection. 

For information collections relating to 

valuation requirements, responses are 

mandatory. For the remaining 

information collections in this ICR, 

responses are required to obtain a 

benefit. 

Frequency: Annually and on occasion. 

Estimated Number and Description of 

Respondents: 120 Federal lessees/ 

designees and 7 states for Federal oil 

and gas valuation; and 150 lessees/ 

lessors for the Stripper Oil Program. 

Estimated Annual Reporting and 

Recordkeeping ‘‘Hour’’ Burden: 9,378 

hours. 

We have not included in our 

estimates certain requirements 

performed in the normal course of 

business and considered usual and 

customary. The following chart shows 

the estimated burden hours by CFR 

section and paragraph: 

RESPONDENTS’ ESTIMATED ANNUAL BURDEN HOURS

30 CFR 202, 204, 206, and 

210 Reporting and recordkeeping requirement Hour burden 

Average number 

of annual 

responses 

Annual burden 

hours 

PART 202—ROYALTIES 

Subpart C—Federal and Indian Oil 

202.101 ............................... 202.101 Oil volumes are to be reported in barrels of 

clean oil of 42 standard U.S. gallons (231 cubic 

inches each) at 60 °F * * *. 

Burden covered under OMB Control Number 1010– 

0139. 


srobinson on DSKHWCL6B1PROD with NOTICES
54166 Federal Register / Vol. 75, No. 171 / Friday, September 3, 2010 / Notices 

RESPONDENTS’ ESTIMATED ANNUAL BURDEN HOURS—Continued 

30 CFR 202, 204, 206, and 

210 Reporting and recordkeeping requirement Hour burden 

Average number 

of annual 

responses 

Annual burden 

hours 

Subpart D—Federal Gas 

202.152(a) and (b) .............. 202.152(a)(1) If you are responsible for reporting production or royalties you must: Burden covered under OMB Control Number 1010– 

0139. 

(i) Report gas volumes and British thermal unit (Btu) 

heating values, if applicable, under the same degree 

of water saturation; 

(ii) Report gas volumes in units of 1,000 cubic feet 

(mcf); and 

(iii) Report gas volumes and Btu heating value at a 

standard pressure base of 14.73 pounds per square 

inch absolute (psia) and a standard temperature 

base of 60 °F * * *. 

(b) Residue gas and gas plant product volumes shall 

be reported as specified in this paragraph * * *. 

PART 204—ALTERNATIVES FOR MARGINAL PROPERTIES 

Subpart C—Accounting and Auditing Relief 

204.202(b)(1) ...................... 204.202(b) To use the cumulative royalty reports and 

payments relief option, you must do all of the following: 

40 1 40 

(1) Notify MMS in writing by January 31 of the calendar year for which you begin taking your relief 

* * *. 

204.202(b)(2) and (b)(3) ..... 204.202(b)(2) Submit your royalty report and payment 

* * * by the end of February of the year following 

the calendar year for which you reported annually 

* * *. If you have an estimated payment on file, you 

must submit your royalty report and payment by the 

end of March of the year following the calendar year 

for which you reported annually; 

Burden covered under OMB Control Number 1010– 

0139. 

(3) Use the sales month prior to the month that you 

submit your annual report and payment * * * for the 

entire previous calendar year’s production for which 

you are paying annually * * *. 

204.202(b)(4), (b)(5), (c), 

(d)(1), (d)(2), (e)(1), and 

(e)(2).

204.202(b) To use the cumulative royalty reports and 

payments relief option, you must * * * 

(4) Report one line of cumulative royalty information on 

Form MMS–2014 for the calendar year * * * and 

Burden covered under OMB Control Number 1010– 

0139. 

(5) Report allowances on Form MMS–2014 on the 

same annual basis as the royalties for your marginal 

property production. 

(c) If you do not pay your royalty by the date due in 

paragraph (b) of this section, you will owe late payment interest * * * from the date your payment was 

due under this section until the date MMS receives it 

* * *. 

(d) If you take relief you are not qualified for, you may 

be liable for civil penalties. 

Also you must: 

(1) Pay MMS late payment interest determined under 

30 CFR 218.54 * * * 

(2) Amend your Form MMS–2014 * * * 

(e) If you dispose of your ownership interest in a marginal property for which you have taken relief * * * 

you must: 

(1) Report and pay royalties for the portion of the calendar year for which you had an ownership interest; 

and 

(2) Make the report and payment by the end of the 

month after you dispose of the ownership interest in 

the marginal property. If you do not report and pay 

timely, you will owe interest * * * from the date the 

payment was due * * *. 


srobinson on DSKHWCL6B1PROD with NOTICES
Federal Register / Vol. 75, No. 171 / Friday, September 3, 2010 / Notices 54167 

RESPONDENTS’ ESTIMATED ANNUAL BURDEN HOURS—Continued 

30 CFR 202, 204, 206, and 

210 Reporting and recordkeeping requirement Hour burden 

Average number 

of annual 

responses 

Annual burden 

hours 

204.203(b), 204.205(a) and 

(b), and 204.206(a)(3)(i) 

and (b)(1).

204.203(b) You must request approval from MMS 

* * * before taking relief under this option. 

200 1 200 

204.208(c)(1), (d)(1), and 

(e).

204.208(c) If a State decides * * * that it will or will 

not allow one or both of the relief options * * * within 30 days * * * the State must: 

40 7 280 

(1) Notify the Associate Director for Minerals Revenue 

Management, MMS, in writing, of its intent to allow 

or not allow one or both of the relief options * * * 

(d) If a State decides in advance * * * that it will not 

allow one or both of the relief options * * * the State 

must: (1) Notify the Associate Director for Minerals 

Revenue Management, MMS, in writing, of its intent 

to allow one or both of the relief options * * * 

(e) If a State does not notify MMS * * * the State will 

be deemed to have decided not to allow either of the 

relief options * * * 

204.209(b) ........................... 204.209(b) If a property is no longer eligible for relief 

* * * the relief for the property terminates as of December 31 of that calendar year. You must notify 

MMS in writing by December 31 that the relief for 

the property has terminated * * * 

6 1 6 

204.210(c) and (d) .............. 204.210(c) * * * the volumes on which you report and 

pay royalty * * * must be amended to reflect all volumes produced on or allocated to your lease under 

the nonqualifying agreement as modified by BLM 

* * *. Report and pay royalties for your production 

using the procedures in § 204.202(b). 

Burden covered under OMB Control Number 1010– 

0139. 

(d) If you owe additional royalties based on the retroactive agreement approval and do not pay your royalty by the date due in § 204.202(b), you will owe 

late payment interest determined under 30 CFR 

218.54 from the date your payment was due under 

§ 204.202(b)(2) until the date MMS receives it. 

204.214(b)(1) and (b)(2) ..... 204.214(b) If you pay minimum royalty on production 

from a marginal property during a calendar year for 

which you are taking cumulative royalty reports and 

payment relief, and: 

Burden covered under OMB Control Number 1010– 

0139. 

(1) The annual payment you owe under this subpart is 

greater than the minimum royalty you paid, you must 

pay the difference between the minimum royalty you 

paid and your annual payment due under this subpart; or 

(2) The annual payment you owe under this subpart is 

less than the minimum royalty you paid, you are not 

entitled to a credit because you must pay at least 

the minimum royalty amount on your lease each 

year. 

Accounting and Auditing Relief Subtotal .................................................................................................. 10 526 

PART 206—PRODUCT VALUATION 

Subpart C—Federal Oil 

206.102(e)(1) ...................... 206.102(e) If you value oil under paragraph (a) of this 

section: (1) MMS may require you to certify that your 

or your affiliate’s arm’s-length contract provisions include all of the consideration the buyer must pay, either directly or indirectly, for the oil. 

AUDIT PROCESS. See note. 


srobinson on DSKHWCL6B1PROD with NOTICES
54168 Federal Register / Vol. 75, No. 171 / Friday, September 3, 2010 / Notices 

RESPONDENTS’ ESTIMATED ANNUAL BURDEN HOURS—Continued 

30 CFR 202, 204, 206, and 

210 Reporting and recordkeeping requirement Hour burden 

Average number 

of annual 

responses 

Annual burden 

hours 

206.103(a)(1), (a)(2), and 

(a)(3).

206.103 This section explains how to value oil that you 

may not value under § 206.102 or that you elect 

under § 206.102(d) to value under this section. First 

determine whether paragraph (a), (b), or (c) of this 

section applies to production from your lease, or 

whether you may apply paragraph (d) or (e) with 

MMS approval. 

45 5 225 

(a) Production from leases in California or Alaska. 

Value is the average of the daily mean ANS spot 

prices published in any MMS-approved publication 

during the trading month most concurrent with the 

production month * * *. 

(1) To calculate the daily mean spot price * * * 

(2) Use only the days * * * 

(3) You must adjust the value * * * 

206.103(a)(4) ...................... 206.103(a)(4) After you select an MMS-approved publication, you may not select a different publication 

more often than once every 2 years, * * * 

8 2 16 

206.103(b)(1) ...................... 206.103(b) Production from leases in the Rocky Mountain Region. * * * (1) If you have an MMS-approved 

tendering program, you must value oil * * * 

400 2 800 

206.103(b)(1)(ii) .................. 206.103(b)(1)(ii) If you do not have an MMS-approved 

tendering program, you may elect to value your oil 

under either paragraph (b)(2) or (b)(3) of this section 

* * *. 

400 2 800 

206.103(b)(4) ...................... 206.103(b)(4) If you demonstrate to MMS’s satisfaction 

that paragraphs (b)(1) through (b)(3) of this section 

result in an unreasonable value for your production 

as a result of circumstances regarding that production, the MMS Director may establish an alternative 

valuation method. 

400 2 800 

206.103(c)(1) ...................... 206.103(c) Production from leases not located in California, Alaska or the Rocky Mountain Region. (1) 

Value is the NYMEX price, plus the roll, adjusted for 

applicable location and quality differentials and 

transportation costs under § 206.112. 

50 10 500 

206.103(e)(1) and (e)(2) ..... 206.103(e) Production delivered to your refinery and 

the NYMEX price or ANS spot price is an unreasonable value. 

330 2 660 

(1) * * * you may apply to the MMS Director to establish a value representing the market at the refinery if: 

* * * 

(2) You must provide adequate documentation and evidence demonstrating the market value at the refinery 

* * *. 

206.105 ............................... 206.105 If you determine the value of your oil under 

this subpart, you must retain all data relevant to the 

determination of royalty value * * *. 

Burden covered under OMB Control Number 1010– 

0139. 

206.107(a) ........................... 206.107(a) You may request a value determination 

from MMS * * * 

40 10 400 

206.109(c)(2) ...................... 206.109(c) Limits on transportation allowances. (2) 

You may ask MMS to approve a transportation allowance in excess of the limitation in paragraph 

(c)(1) of this section * * *. Your application for exception (using Form MMS–4393, Request to Exceed 

Regulatory Allowance Limitation) must contain all 

relevant and supporting documentation necessary 

for MMS to make a determination * * * 

8 2 16 


srobinson on DSKHWCL6B1PROD with NOTICES
Federal Register / Vol. 75, No. 171 / Friday, September 3, 2010 / Notices 54169 

RESPONDENTS’ ESTIMATED ANNUAL BURDEN HOURS—Continued 

30 CFR 202, 204, 206, and 

210 Reporting and recordkeeping requirement Hour burden 

Average number 

of annual 

responses 

Annual burden 

hours 

206.110(a) ........................... 206.110(a) * * *. You must be able to demonstrate 

that your or your affiliate’s contract is at arm’s length 

* * *. 

AUDIT PROCESS. See note. 

206.110(d)(3) ...................... 206.110(d) If your arm’s-length transportation contract 

includes more than one liquid product, and the transportation costs attributable to each product cannot 

be determined * * * 

20 2 40 

(3) You may propose to MMS a cost allocation method 

* * * 

206.110(e) ........................... 206.110(e) If your arm’s-length transportation contract 

includes both gaseous and liquid products, and the 

transportation costs attributable to each product cannot be determined from the contract, then you must 

propose an allocation procedure to MMS. 

20 1 20 

206.110(e)(1) and (e)(2) ..... 206.110(e)(1) * * * If MMS rejects your cost allocation, 

you must amend your Form MMS–2014 * * * 

Burden covered under OMB Control Number 1010– 

0139. 

(2) You must submit your initial proposal, including all 

available data, within 3 months after first claiming 

the allocated deductions on Form MMS–2014. 

206.110(g)(2) ...................... 206.110(g) If your arm’s-length sales contract includes 

a provision reducing the contract price by a transportation factor, * * * 

5 1 5 

(2) You must obtain MMS approval before claiming a 

transportation factor in excess of 50 percent of the 

base price of the product. 

206.111(g) ........................... 206.111(g) To compute depreciation, you may elect to 

use either * * *. After you make an election, you 

may not change methods without MMS approval 

* * *. 

30 1 30 

206.111(k)(2) ...................... 206.111(k)(2) You may propose to MMS a cost allocation method on the basis of the values * * *. 30 1 30 

206.111(l)(1) and (l)(3) ....... 206.111(l)(1) Where you transport both gaseous and 

liquid products through the same transportation system, you must propose a cost allocation procedure 

to MMS * * *. 

20 1 20 

(3) You must submit your initial proposal, including all 

available data, within 3 months after first claiming 

the allocated deductions on Form MMS–2014. 

206.111(l)(2) ....................... 206.111(l)(2) * * * If MMS rejects your cost allocation, 

you must amend your Form MMS–2104 for the 

months that you used the rejected method and pay 

any additional royalty and interest due. 

Burden covered under OMB Control Number 1010– 

0139. 

206.112(a)(1)(ii) .................. 206.112(a)(1)(ii) * * * under an exchange agreement 

that is not at arm’s length, you must obtain approval 

from MMS for a location and quality differential 

* * *. 

80 1 80 

206.112(a)(1)(ii) .................. 206.112(a)(1)(ii) * * * If MMS prescribes a different 

differential, you must apply * * *. You must pay any 

additional royalties owed * * * plus the late payment 

interest from the original royalty due date, or you 

may report a credit * * * 

20 2 40 


srobinson on DSKHWCL6B1PROD with NOTICES
54170 Federal Register / Vol. 75, No. 171 / Friday, September 3, 2010 / Notices 

RESPONDENTS’ ESTIMATED ANNUAL BURDEN HOURS—Continued 

30 CFR 202, 204, 206, and 

210 Reporting and recordkeeping requirement Hour burden 

Average number 

of annual 

responses 

Annual burden 

hours 

206.112(a)(3) and (a)(4) ..... 206.112(a)(3) If you transport or exchange at arm’s 

length (or both transport and exchange) at least 20 

percent, but not all, of your oil produced from the 

lease to a market center, determine the adjustment 

between the lease and the market center for the oil 

that is not transported or exchanged (or both transported and exchanged) to or through a market center as follows: * * * 

80 4 320 

(4) If you transport or exchange (or both transport and 

exchange) less than 20 percent of your crude oil 

produced from the lease between the lease and a 

market center, you must propose to MMS an adjustment between the lease and the market center for 

the portion of the oil that you do not transport or exchange (or both transport and exchange) to a market center * * *. If MMS prescribes a different adjustment * * *. You must pay any additional royalties owed * * * plus the late payment interest from 

the original royalty due date, or you may report a 

credit * * *. 

206.112(b)(3) ...................... 206.112(b)(3) * * * you may propose an alternative 

differential to MMS * * *. If MMS prescribes a different differential * * *. You must pay any additional 

royalties owed * * * plus the late payment interest 

from the original royalty due date, or you may report 

a credit * * * 

80 4 320 

206.112(c)(2) ...................... 206.112(c)(2) * * * If quality bank adjustments do not 

incorporate or provide for adjustments for sulfur content, you may make sulfur adjustments, based on 

the quality of the representative crude oil at the market center, of 5.0 cents per one-tenth percent difference in sulfur content, unless MMS approves a 

higher adjustment. 

80 2 160 

206.114 ............................... 206.114 You or your affiliate must use a separate 

entry on Form MMS–2014 to notify MMS of an allowance based on transportation costs you or your 

affiliate incur. 

Burden covered under OMB Control Number 1010– 

0139. 

MMS may require you or your affiliate to submit arm’slength transportation contracts, production agreements, operating agreements, and related documents * * *. AUDIT PROCESS. See note. 

206.115(a) ........................... 206.115(a) You or your affiliate must use a separate 

entry on Form MMS–2014 to notify MMS of an allowance based on transportation costs you or your 

affiliate incur. 

Burden covered under OMB Control Number 1010– 

0139. 

206.115(c) ........................... 206.115(c) MMS may require you or your affiliate to 

submit all data used to calculate the allowance deduction * * *. 

AUDIT PROCESS. See note. 

Subpart D—Federal Gas 

206.152 (b)(1)(i) and 

(b)(1)(iii).

206.152(b)(1)(i) * * * The lessee shall have the burden of demonstrating that its contract is arm’s-length 

* * *. (iii) * * * When MMS determines that the 

value may be unreasonable, MMS will notify the lessee and give the lessee an opportunity to provide 

written information justifying the lessee’s value. 

AUDIT PROCESS. See note. 

206.152(b)(2) ...................... 206.152(b)(2) * * * The lessee must request a value 

determination in accordance with paragraph (g) of 

this section for gas sold pursuant to a warranty contract; * * * 

80 1 80 


srobinson on DSKHWCL6B1PROD with NOTICES
Federal Register / Vol. 75, No. 171 / Friday, September 3, 2010 / Notices 54171 

RESPONDENTS’ ESTIMATED ANNUAL BURDEN HOURS—Continued 

30 CFR 202, 204, 206, and 

210 Reporting and recordkeeping requirement Hour burden 

Average number 

of annual 

responses 

Annual burden 

hours 

206.152(b)(3) ...................... 206.152(b)(3) MMS may require a lessee to certify that 

its arm’s-length contract provisions include all of the 

consideration to be paid by the buyer, either directly 

or indirectly, for the gas. 

AUDIT PROCESS. See note. 

206.152(e)(1) ...................... 206.152(e)(1) Where the value is determined pursuant 

to paragraph (c) of this section, the lessee shall retain all data relevant to the determination of royalty 

value * * *. 

Burden covered under OMB Control Number 1010– 

0139. 

206.152(e)(2) ...................... 206.152(e)(2) Any Federal lessee will make available 

upon request to the authorized MMS or State representatives, to the Office of the Inspector General 

of the department of the Interior, or other person authorized to receive such information, arm’s-length 

sales and volume data for like-quality production 

sold, purchased or otherwise obtained by the lessee 

from the field or area or from nearby fields or areas. 

AUDIT PROCESS. See note. 

206.152(e)(3) ...................... 206.152(e)(3) A lessee shall notify MMS if it has determined value pursuant to paragraph (c)(2) or (c)(3) of 

this section * * *. 

10 10 100 

206.152(g) ........................... 206.152(g) The lessee may request a value determination from MMS * * *. The lessee shall submit all 

available data relevant to its proposal * * *. 

40 5 200 

206.153(b)(1)(i) and 

(b)(1)(iii).

206.153(b)(1)(i) * * * The lessee shall have the burden of demonstrating that its contract is arm’s-length 

* * *. 

AUDIT PROCESS. See note. 

(iii) * * * When MMS determines that the value may 

be unreasonable, MMS will notify the lessee and 

give the lessee an opportunity to provide written information justifying the lessee’s value. 

206.153(b)(2) ...................... 206.153(b)(2) * * * The lessee must request a value 

determination in accordance with paragraph (g) of 

this section for gas sold pursuant to a warranty contract; * * * 

80 1 80 

206.153(b)(3) ...................... 206.153(b)(3) MMS may require a lessee to certify that 

its arm’s-length contract provisions include all of the 

consideration to be paid by the buyer, either directly 

or indirectly, for the residue gas or gas plant product. 

AUDIT PROCESS. See note. 

206.153(e)(1) ...................... 206.153(e)(1) Where the value is determined pursuant 

to paragraph (c) of this section, the lessee shall retain all data relevant to the determination of royalty 

value * * *. 

Burden covered under OMB Control Number 1010– 

0139. 

206.153(e)(2) ...................... 206.153(e)(2) Any Federal lessee will make available 

upon request to the authorized MMS or State representatives, to the Office of the Inspector General 

of the Department of the Interior, or other persons 

authorized to receive such information, arm’s-length 

sales and volume data for like-quality residue gas 

and gas plant products sold, purchased or otherwise 

obtained by the lessee from the same processing 

plant or from nearby processing plants. 

AUDIT PROCESS. See note. 

206.153(e)(3) ...................... 206.153(e)(2) A lessee shall notify MMS if it has determined any value pursuant to paragraph (c)(2) or 

(c)(3) of this section * * *. 

10 2 20 

206.153(g) ........................... 206.153(g) The lessee may request a value determination from MMS * * *. The lessee shall submit all 

available data relevant to its proposal * * *. 

80 15 1,200 


srobinson on DSKHWCL6B1PROD with NOTICES
54172 Federal Register / Vol. 75, No. 171 / Friday, September 3, 2010 / Notices 

RESPONDENTS’ ESTIMATED ANNUAL BURDEN HOURS—Continued 

30 CFR 202, 204, 206, and 

210 Reporting and recordkeeping requirement Hour burden 

Average number 

of annual 

responses 

Annual burden 

hours 

206.154(c)(4) ...................... 206.154(c)(4) * * * A lessee may request MMS approval of other methods for determining the quantity 

of residue gas and gas plant products allocable to 

each lease * * *. 

40 1 40 

206.156(c)(3) ...................... 206.156(c)(3) Upon request of a lessee, MMS may approve a transportation allowance deduction in excess of the limitation prescribed by paragraphs (c)(1) 

and (c)(2) of this section * * *. An application for exception (using Form MMS–4393, Request to Exceed 

Regulatory Allowance Limitation) must contain all 

relevant and supporting documentation necessary 

for MMS to make a determination * * *. 

40 3 120 

206.157(a)(1)(i) ................... 206.157(a) Arm’s-length transportation contracts. (1)(i) 

* * * The lessee shall have the burden of demonstrating that its contract is arm’s-length * * *. 

AUDIT PROCESS. See note. 

The lessee must claim a transportation allowance by 

reporting it on a separate line entry on the Form 

MMS–2014. 

Burden covered under OMB Control Number 1010– 

0139. 

206.157(a)(1)(iii) ................. 206.157(a)(1)(iii) * * * When MMS determines that the 

value of the transportation may be unreasonable, 

MMS will notify the lessee and give the lessee an 

opportunity to provide written information justifying 

the lessee’s transportation costs. 

AUDIT PROCESS. See note. 

206.157(a)(2)(ii) .................. 206.157(a)(2)(ii) * * * the lessee may propose to MMS 

a cost allocation method on the basis of the values 

of the products transported * * *. 

40 1 40 

206.157(a)(3) ...................... 206.157(a)(3) If an arm’s-length transportation contract 

includes both gaseous and liquid products and the 

transportation costs attributable to each cannot be 

determined from the contract, the lessee shall propose an allocation procedure to MMS * * *. The lessee shall submit all relevant data to support its proposal * * *. 

40 1 40 

206.157(a)(5) ...................... 206.157(a)(5) * * * The transportation factor may not 

exceed 50 percent of the base price of the product 

without MMS approval. 

10 3 30 

206.157(b)(1) ...................... 206.157(b) Non-arm’s-length or no contract. (1) The 

lessee must claim a transportation allowance by reporting it on a separate line entry on the Form 

MMS–2014 * * *. 

Burden covered under OMB Control Number 1010– 

0139. 

206.157(b)(2)(iv) and 

(b)(2)(iv) (A).

206.157(b)(2)(iv) * * * After a lessee has elected to 

use either method for a transportation system, the 

lessee may not later elect to change to the other alternative without approval of the MMS. 

100 1 100 

(A) * * * After an election is made, the lessee may not 

change methods without MMS approval * * *. 

206.157(b)(3)(i) ................... 206.157(b)(3)(i) * * * Except as provided in this paragraph, the lessee may not take an allowance for 

transporting a product which is not royalty bearing 

without MMS approval. 

100 1 100 

206.157(b)(3)(ii) .................. 206.157(b)(3)(ii) * * * the lessee may propose to the 

MMS a cost allocation method on the basis of the 

values of the products transported * * *. 

100 1 100 


srobinson on DSKHWCL6B1PROD with NOTICES
Federal Register / Vol. 75, No. 171 / Friday, September 3, 2010 / Notices 54173 

RESPONDENTS’ ESTIMATED ANNUAL BURDEN HOURS—Continued 

30 CFR 202, 204, 206, and 

210 Reporting and recordkeeping requirement Hour burden 

Average number 

of annual 

responses 

Annual burden 

hours 

206.157(b)(4) ...................... 206.157(b)(4) Where both gaseous and liquid products 

are transported through the same transportation system, the lessee shall propose a cost allocation procedure to MMS * * *. The lessee shall submit all 

relevant data to support its proposal * * *. 

100 1 100 

206.157(b)(5) ...................... 206.157(b)(5) You may apply for an exception from the 

requirement to compute actual costs under paragraphs (b)(1) through (b)(4) of this section. 

100 1 100 

206.157(c)(1)(i) ................... 206.157(c) Reporting Requirements. (1) Arm’s-length 

contracts. (i) You must use a separate entry on 

Form MMS–2014 to notify MMS of a transportation 

allowance. 

Burden covered under OMB Control Number 1010– 

0139. 

206.157(c)(1)(ii) .................. 206.157(c)(1)(ii) The MMS may require you to submit 

arm’s-length transportation contracts, production 

agreements, operating agreements, and related documents * * *. 

AUDIT PROCESS. See note. 

206.157(c)(2)(i) ................... 206.157(c)(2) Non-arm’s-length or no contract. (i) You 

must use a separate entry on Form MMS–2014 to 

notify MMS of a transportation allowance. 

Burden covered under OMB Control Number 1010– 

0139. 

206.157(c)(2)(iii) .................. 206.157(c)(2)(iii) The MMS may require you to submit 

all data used to calculate the allowance deduction 

* * *. 

AUDIT PROCESS. See note. 

206.157(e)(2), (e)(3), and 

(f)(1).

206.157(e) Adjustments. (2) For lessees transporting 

production from onshore Federal leases, the lessee 

must submit a corrected Form MMS–2014 to reflect 

actual costs, together with any payment, in accordance with instructions provided by MMS. 

Burden covered under OMB Control Number 1010– 

0139. 

(3) For lessees transporting gas production from 

leases on the OCS, if the lessee’s estimated transportation allowance exceeds the allowance based on 

actual costs, the lessee must submit a corrected 

Form MMS–2014 to reflect actual costs, together 

with its payments, in accordance with instructions 

provided by MMS * * *. 

(f) Allowable costs in determining transportation allowances. * * * (1) Firm demand charges paid to pipelines. * * * if you receive a payment or credit from 

the pipeline for penalty refunds, rate case refunds, 

or other reasons, you must reduce the firm demand 

charge claimed on the Form MMS–2014 by the 

amount of that payment. You must modify Form 

MMS–2014 by the amount received or credited for 

the affected reporting period and pay any resulting 

royalty and late payment interest due; 

206.158(c)(3) ...................... 206.158(c)(3) Upon request of a lessee, MMS may approve a processing allowance in excess of the limitation prescribed by paragraph (c)(2) of this section 

* * *. An application for exception (using Form 

MMS–4393, Request to Exceed Regulatory Allowance Limitation) shall contain all relevant and supporting documentation for MMS to make a determination * * *. 

80 8 640 

206.158(d)(2)(i) ................... 206.158(d)(2)(i) If the lessee incurs extraordinary costs 

for processing gas production from a gas production 

operation, it may apply to MMS for an allowance for 

those costs * * *. 

80 1 80 

206.158(d)(2)(ii) .................. 206.158(d)(2)(ii) * * * to retain the authority to deduct 

the allowance the lessee must report the deduction 

to MMS in a form and manner prescribed by MMS. 

Burden covered under OMB Control Number 1010– 

0139. 


srobinson on DSKHWCL6B1PROD with NOTICES
54174 Federal Register / Vol. 75, No. 171 / Friday, September 3, 2010 / Notices 

RESPONDENTS’ ESTIMATED ANNUAL BURDEN HOURS—Continued 

30 CFR 202, 204, 206, and 

210 Reporting and recordkeeping requirement Hour burden 

Average number 

of annual 

responses 

Annual burden 

hours 

206.159(a)(1)(i) ................... 206.159(a) Arm’s-length processing contracts. AUDIT PROCESS. See note. 

(1)(i) * * *The lessee shall have the burden of demonstrating that its contract is arm’s-length * * *. Burden covered under OMB Control Number 1010– 

0139. 

The lessee must claim a processing allowance by reporting it on a separate line entry on the Form 

MMS–2014. 

206.159(a)(1)(iii) ................. 206.159(a)(1)(iii) * * * When MMS determines that the 

value of the processing may be unreasonable, MMS 

will notify the lessee and give the lessee an opportunity to provide written information justifying the lessee’s processing costs. 

AUDIT PROCESS. See note. 

206.159(a)(3) ...................... 206.159(a)(3) If an arm’s-length processing contract includes more than one gas plant product and the 

processing costs attributable to each product cannot 

be determined from the contract, the lessee shall 

propose an allocation procedure to MMS * * *. The 

lessee shall submit all relevant data to support its 

proposal * * *. 

20 1 20 

206.159(b)(1) ...................... 206.159(b) Non-arm’s-length or no contract. (1) * * * 

The lessee must claim a processing allowance by 

reflecting it as a separate line entry on the Form 

MMS–2014 * * *. 

Burden covered under OMB Control Number 1010– 

0139. 

206.159(b)(2)(iv) and 

(b)(2)(iv) (A).

206.159(b)(2)(iv) * * * When a lessee has elected to 

use either method for a processing plant, the lessee 

may not later elect to change to the alternative without approval of the MMS. 

100 1 100 

(A) * * * After an election is made, the lessee may not 

change methods without MMS approval * * * 

206.159(b)(4) ...................... 206.159(b)(4) A lessee may apply to MMS for an exception from the requirements that it compute actual 

costs in accordance with paragraphs (b)(1) through 

(b)(3) of this section * * *. 

100 1 100 

206.159(c)(1)(i) ................... 206.159(c) Reporting requirements—(1) Arm’s-length 

contracts. (i) The lessee must notify MMS of an allowance based on incurred costs by using a separate line entry on the Form MMS–2014. 

Burden covered under OMB Control Number 1010– 

0139. 

206.159(c)(1)(ii) .................. 206.159(c)(1)(ii) The MMS may require that a lessee 

submit arm’s-length processing contracts and related 

documents * * *. 

AUDIT PROCESS. See note. 

206.159(c)(2)(i) ................... 206.159(c)(2) Non-arm’s-length or no contract. Burden covered under OMB Control Number 1010– 

0139. 

(i) The lessee must notify MMS of an allowance based 

on incurred costs by using a separate line entry on 

the Form MMS–2014. 

206.159(c)(2)(iii) .................. 206.159(c)(2)(iii) Upon request by MMS, the lessee 

shall submit all data used to prepare the allowance 

deduction * * *. 

AUDIT PROCESS. See note. 

206.159(e)(2) and (e)(3) ..... 206.159(e) Adjustments. Burden covered under OMB Control Number 1010– 

0139. 

(2) For lessees processing production from onshore 

Federal leases, the lessee must submit a corrected 

Form MMS–2014 to reflect actual costs, together 

with any payment, in accordance with instructions 

provided by MMS. 


srobinson on DSKHWCL6B1PROD with NOTICES
Federal Register / Vol. 75, No. 171 / Friday, September 3, 2010 / Notices 54175 

RESPONDENTS’ ESTIMATED ANNUAL BURDEN HOURS—Continued 

30 CFR 202, 204, 206, and 

210 Reporting and recordkeeping requirement Hour burden 

Average number 

of annual 

responses 

Annual burden 

hours 

(3) For lessees processing gas production from leases 

on the OCS, if the lessee’s estimated processing allowance exceeds the allowance based on actual 

costs, the lessee must submit a corrected Form 

MMS–2014 to reflect actual costs, together with its 

payment, in accordance with instructions provided by 

MMS * * * 

Oil and Gas Valuation Subtotal ................................................................................................................ 117 8,672 

PART 210—FORMS AND REPORTS 

Subpart D—Special-Purpose Forms and Reports—Oil, Gas, and Geothermal 

210.155(a) ........................... 210.155(a) General. Operators who have been granted 

a reduced royalty rate by the Bureau of Land Management (BLM) * * * must submit Form MMS–4377, 

Stripper Royalty Rate Reduction Notification, under 

43 CFR * * * 

1.2 150 180 

NOTE: BLM terminated the benefits of this program 

and is processing a final rule to remove this program 

from the regulations. 

Total .......................................................................................................................................................... 277 9,378 

Note: AUDIT PROCESS—The Office of Regulatory Affairs determined that the audit process is exempt from the Paperwork Reduction Act of 

1995 because MRM staff asks non-standard questions to resolve exceptions. 

Estimated Annual Reporting and 

Recordkeeping ‘‘Non-hour’’ Cost Burden: 

We have identified no ‘‘non-hour’’ cost 

burden associated with the collection of 

information. 

Public Disclosure Statement: The PRA 

(44 U.S.C. 3501 et seq.) provides that an 

agency may not conduct or sponsor, and 

a person is not required to respond to, 

a collection of information unless it 

displays a currently valid OMB control 

number. 

Comments: Section 3506(c)(2)(A) of 

the PRA requires each agency to ‘‘* * * 

provide 60-day notice in the Federal 

Register * * * and otherwise consult 

with members of the public and affected 

agencies concerning each proposed 

collection of information * * *.’’ 

Agencies must specifically solicit 

comments to: (a) Evaluate whether the 

proposed collection of information is 

necessary for the agency to perform its 

duties, including whether the 

information is useful; (b) evaluate the 

accuracy of the agency’s estimate of the 

burden of the proposed collection of 

information; (c) enhance the quality, 

usefulness, and clarity of the 

information to be collected; and (d) 

minimize the burden on the 

respondents, including the use of 

automated collection techniques or 

other forms of information technology. 

To comply with the public 

consultation process, we published a 

notice in the Federal Register on April 

12, 2010 (75 FR 18525), announcing that 

we would submit this ICR to OMB for 

approval. The notice provided the 

required 60-day comment period. We 

received no comments in response to 

the notice. 

If you wish to comment in response 

to this notice, you may send your 

comments to the offices listed under the 

ADDRESSES section of this notice. The 

OMB has up to 60 days to approve or 

disapprove the information collection 

but may respond after 30 days. 

Therefore, to ensure maximum 

consideration, OMB should receive 

public comments by October 4, 2010. 

Public Comment Policy: We will post 

all comments in response to this notice 

at http://www.mrm.boemre.gov/ 

Laws_R_D/FRNotices/FRInfColl.htm. 

We also will post all comments, 

including names and addresses of 

respondents, at http:// 

www.regulations.gov. Before including 

your address, phone number, e-mail 

address, or other personal identifying 

information in your comment, be 

advised that your entire comment— 

including your personal identifying 

information—may be made publicly 

available at any time. While you can ask 

us in your comment to withhold from 

public view your personal identifying 

information, we cannot guarantee that 

we will be able to do so. 

BOEM Information Collection 

Clearance Officer: Arlene Bajusz (703) 

787–1025. 

Dated: August 26, 2010. 

Gregory J. Gould, 

Associate Director for Minerals Revenue 

Management. 

[FR Doc. 2010–22049 Filed 9–2–10; 8:45 am] 

BILLING CODE 4310–MR–W–P 

DEPARTMENT OF THE INTERIOR 

Bureau of Land Management 

[F–14881–B and F–14881–D; LLAK965000– 

L14100000–KC0000–P] 

Alaska Native Claims Selection 

AGENCY: Bureau of Land Management, 

Interior. 

ACTION: Notice of decision approving 

lands for conveyance. 

SUMMARY: As required by 43 CFR 

2650.7(d), notice is hereby given that 

the Bureau of Land Management (BLM) 

will issue an appealable decision 

approving the conveyance of surface 

estate for certain lands to Koyuk Native 

Corporation, pursuant to the Alaska 

Native Claims Settlement Act. The 

subsurface estate in these lands will be 

conveyed to Bering Straits Native 

Corporation when the surface estate is 

conveyed to Koyuk Native Corporation. 

The lands are in the vicinity of Koyuk, 

Alaska, and are located in: 

Kateel River Meridian, Alaska 

T. 8 S., R. 11 W., 

Sec. 3. 


srobinson on DSKHWCL6B1PROD with NOTICES