The MMS MRM, in conjunction with the Bureau of Indian Affairs, provides revenue management services for mineral leases on Indian lands. Operationally based at the Denver Federal Center in Colorado, the Minerals Revenue Management has field offices near principal energy development areas in Texas, Oklahoma and New Mexico to augment the program. Some federal lands are leased to individuals and companies for minerals development. Lease holders competitively bid, initially pay a bonus and subsequently, rent for the right to develop these onshore and offshore lands. If minerals are found, extracted and sold, the federal government is entitled to a certain percentage of, or royalty on, the production.
Totals fluctuate with market prices, amount of production and number of lease sales.
For offshore leases, the Minerals Revenue Management distributes the collected money to U.S. Treasury accounts. The remainder is sent to the U. S. Treasury's General Fund. Additionally, a portion of royalties from certain offshore federal leases, adjacent to seaward boundaries of coastal states, are shared with those states. Forty percent is sent to the Reclamation Fund of the U.S. Treasury. This special account finances the Bureau of Reclamation's water projects in 17 western states.