Notice2021-19552

Agency Information Collection Activities: Royalty and Production Reporting

Primary source

Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.

Published
September 10, 2021

Issuing agencies

Interior DepartmentNatural Resources Revenue Office

Abstract

In accordance with the Paperwork Reduction Act of 1995 (``PRA''), ONRR is proposing to renew an information collection. Through this Information Collection Request (``ICR''), ONRR seeks renewed authority to collect information used to verify, audit, collect, and disburse royalty owed on oil, gas, and geothermal resources produced from Federal and Indian lands. ONRR uses forms ONRR- 2014, ONRR-4054, and ONRR-4058 as part of these information collection requirements.

Full Text

<html>
<head>
<title>Federal Register, Volume 86 Issue 173 (Friday, September 10, 2021)</title>
</head>
<body><pre>
[Federal Register Volume 86, Number 173 (Friday, September 10, 2021)]
[Notices]
[Pages 50742-50743]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2021-19552]


-----------------------------------------------------------------------

DEPARTMENT OF THE INTERIOR

Office of Natural Resources Revenue

[Docket No. ONRR-2011-0020; DS63644000 DR2000000.CH7000 212D1113RT; OMB 
Control Number 1012-0004]


Agency Information Collection Activities: Royalty and Production 
Reporting

AGENCY: Office of Natural Resources Revenue (``ONRR''), Interior.

ACTION: Notice of information collection; request for comment.

-----------------------------------------------------------------------

SUMMARY: In accordance with the Paperwork Reduction Act of 1995 
(``PRA''), ONRR is proposing to renew an information collection. 
Through this Information Collection Request (``ICR''), ONRR seeks 
renewed authority to collect information used to verify, audit, 
collect, and disburse royalty owed on oil, gas, and geothermal 
resources produced from Federal and Indian lands. ONRR uses forms ONRR-
2014, ONRR-4054, and ONRR-4058 as part of these information collection 
requirements.

DATES: You must submit your written comments on or before November 9, 
2021.

ADDRESSES: All comment submissions must (1) reference ``OMB Control 
Number 1012-0004'' in the subject line; (2) be sent to ONRR before the 
close of the comment period listed under DATES; and (3) be sent through 
one of the following two methods:
    <bullet> Electronically via the Federal eRulemaking Portal: Please 
visit <a href="https://www.regulations.gov">https://www.regulations.gov</a>. In the Search Box, enter the Docket 
ID Number for this ICR renewal (``ONRR-2011-0020'') and click 
``search'' to view the publications associated with the docket folder. 
Locate the document with an open comment period and click the ``Comment 
Now!'' button. Follow the prompts to submit your comment prior to the 
close of the comment period.
    <bullet> Email Submissions: Please submit your comments to 
<a href="/cdn-cgi/l/email-protection#6e21203c3c311c0b091b020f1a0701001d030f07020c01162e01001c1c40090118"><span class="__cf_email__" data-cfemail="337c7d61616c415654465f52475a5c5d405e525a5f515c4b735c5d41411d545c45">[email&#160;protected]</span></a> with the OMB Control Number (``OMB 
Control Number 1012-0004'') listed in the subject line of your email. 
Email submissions must be postmarked on or before the close of the 
comment period.
    Docket: To access the docket folder to view the ICR Federal 
Register publications, go to <a href="https://www.regulations.gov">https://www.regulations.gov</a> and search 
``ONRR-2011-0020'' to view renewal notices recently published in the 
Federal Register, publications associated with prior renewals, and 
applicable public comments received for this ICR. ONRR will make the 
comments submitted in response to this notice available for public 
viewing at <a href="https://www.regulations.gov">https://www.regulations.gov</a>.
    OMB ICR Data: OMB also maintains information on ICR renewals and 
approvals. You may access this information at <a href="https://www.reginfo.gov/public/do/PRASearch">https://www.reginfo.gov/public/do/PRASearch</a>. Please use the following instructions: Under the 
``OMB Control Number'' heading enter ``1012-0004'' and click the 
``Search'' button located at the bottom of the page. To view the ICR 
renewal or OMB approval status, click on the latest entry (based on the 
most recent date). On the ``View ICR--OIRA Conclusion'' page, check the 
box next to ``All'' to display all available ICR information provided 
by OMB.

FOR FURTHER INFORMATION CONTACT: To request additional information 
about this ICR, please contact Donna Myles, Reference & Reporting 
Management, ONRR, by email at <a href="/cdn-cgi/l/email-protection#89cde6e7e7e8a7c4f0e5ecfac9e6e7fbfba7eee6ff"><span class="__cf_email__" data-cfemail="d397bcbdbdb2fd9eaabfb6a093bcbda1a1fdb4bca5">[email&#160;protected]</span></a> or by telephone 
(214) 640-9057.
    Individuals who are hearing or speech impaired may call the Federal 
Relay Service at 1-800-877-8339 for TTY assistance.

SUPPLEMENTARY INFORMATION: Pursuant to the PRA, 44 U.S.C. 3501, et 
seq., and 5 CFR 1320.5, all information collections, as defined in 5 
CFR 1320.3, require approval by OMB. ONRR may not conduct or sponsor, 
and you are not required to respond to, a collection of information 
unless it displays a currently valid OMB control number.
    As part of ONRR's continuing effort to reduce paperwork and 
respondent burdens, ONRR is inviting the public and other Federal 
agencies to comment on new, proposed, revised, and continuing 
collections of information in accordance with the PRA and 5 CFR 
1320.8(d)(1). This helps ONRR to assess the impact of its information 
collection requirements and minimize the public's reporting burden. It 
also helps the public understand ONRR's information collection 
requirements and provide the requested data in the desired format.
    ONRR is especially interested in public comments addressing the 
following:
    (1) Whether the collection of information is necessary for the 
proper performance of the functions of the agency, including whether 
the information will have practical utility;
    (2) The accuracy of ONRR's estimate of the burden for this 
collection of information, including the validity of the methodology 
and assumptions used;
    (3) Ways to enhance the quality, utility, and clarity of the 
information to be collected; and
    (4) How might the agency minimize the burden of the collection of 
information on those who are to respond, including through the use of 
appropriate automated, electronic, mechanical, or other technological 
collection techniques or other forms of information technology, e.g., 
permitting electronic submission of response.
    Comments that you submit in response to this notice are a matter of 
public record. ONRR will include or summarize each comment in its 
request to OMB to approve this ICR. Before including your address, 
phone number, email address, or other personal identifying information 
in your comment, you should be aware that your entire comment--
including your personal identifying information--may be made publicly 
available at any time. While you can ask ONRR in your comment to 
withhold your personal identifying information from public review, ONRR 
cannot guarantee that it will be able to do so.
    Abstract: (a) General Information: The Federal Oil and Gas Royalty 
Management Act of 1982 (``FOGRMA'') directs the Secretary of the 
Interior (``Secretary'') to ``establish a comprehensive inspection, 
collection and fiscal and production accounting and auditing system to 
provide the capability to accurately determine oil and gas royalties, 
interest, fines, penalties, fees, deposits, and other payments owed, 
and to collect and account for such amounts in a timely manner.'' See 
30 U.S.C. 1711. ONRR performs these and other mineral revenue 
management responsibilities for the Secretary. See U.S. Department of 
the Interior Departmental Manual, 112 DM 34.1 (Sept. 9, 2020). ONRR 
uses the production, royalty, and other information collected in this 
ICR to ensure that a lessee properly pays

[[Page 50743]]

royalty and other mineral revenues due on oil, gas, and geothermal 
resources produced from Federal and Indian lands. ONRR also shares the 
data with the Bureau of Safety and Environmental Enforcement, Bureau of 
Ocean Energy Management, Bureau of Land Management, Bureau of Indian 
Affairs, and Tribal and State governments for their land and lease 
management responsibilities. The requirement to report accurately and 
timely is mandatory. Please refer to the chart for all reporting 
requirements and associated burden hours.
    (b) Information Collections: This ICR covers the paperwork 
requirements under 30 CFR part 1210, subparts B, C, and D, and part 
1212, subpart B as follows:
    (1) Royalty Reporting: Regulations at 30 CFR part 1210, subparts B 
and D and part 1212, subpart B, require a lessee to report and remit 
royalty on oil, gas, and geothermal resources, and to make, retain, 
and, upon request, provide for inspection accurate and complete records 
demonstrating proper royalty and other payment. A lessee submits ONRR 
form 2014, Report of Sales and Royalty Remittance, monthly to report 
royalty on oil, gas, and geothermal leases. Each line contains the 
royalty owed and the basic elements necessary to calculate the royalty, 
such as lease number, agreement number, unit number, product code, 
sales type, sales volume, sales value, processing allowances, 
transportation allowances, royalty value prior to allowances, and 
royalty value less allowances. A lessee also uses the form to report 
certain rents.
    (2) Production Reporting: Regulations at 30 CFR part 1210, subparts 
C and D and part 1212, subpart B, require an operator to submit 
production reports if it operates a Federal or Indian oil and gas lease 
or federally approved unit or communitization agreement, and to make, 
retain, and, upon request, provide for inspection accurate and complete 
records for demonstrating royalty payment. An operator uses the 
following forms for production accounting and reporting:
    (i) Form ONRR-4054, Oil and Gas Operations Report: An operator 
submits this report monthly. Part A tracks the oil and gas volume 
produced from each Federal or Indian well. Part B tracks disposition of 
the oil and gas. Part C tracks the oil and gas inventory on the 
property. ONRR compares the production information with the sales and 
other royalty data that a lessee submits on form ONRR-2014 to ensure 
that the lessee paid and reported the proper royalty on the reported 
oil and gas production. ONRR also uses the information from parts A, B, 
and C to track all oil and gas from the point of production to the 
point of first sale or other disposition.
    (ii) Form ONRR-4058, Production Allocation Schedule Report: Unless 
certain conditions are met, an operator must submit this report if it 
operates an offshore facility measurement point (FMP) handling 
production from a Federal oil and gas lease or federally approved unit 
agreement that is commingled (with approval) with production from any 
other source prior to measurement for royalty determination. The report 
is filed monthly to allocate the production to each source. ONRR uses 
the data to verify accurate production and royalty reporting.
    Title of Collection: Royalty and Production Reporting.
    OMB Control Number: 1012-0004.
    Form Numbers: ONRR-2014, ONRR-4054, and ONRR-4058.
    Type of Review: Extension of a currently approved collection.
    Respondents/Affected Public: Businesses.
    Total Estimated Number of Annual Respondents: 3,048 oil, gas, and 
geothermal reporters.
    Total Estimated Number of Annual Responses: 11,929,280 lines of 
data.
    Estimated Completion Time per Response: Varies between 1 and 7 
minutes per line, depending on the activity. The average completion 
time is 1.69 minutes per line. The average completion time is 
calculated by first multiplying the estimated annual burden hours from 
the table below (337,933) by 60 to obtain the total annual burden 
minutes. Then the total annual burden minutes (20,275,980) is divided 
by the estimated annual number of lines submitted from the table below 
(11,929,280).
    Total Estimated Number of Annual Burden Hours: 337,933 hours.
    Respondent's Obligation: Mandatory.
    Frequency of Collection: Monthly.
    Total Estimated Annual Non-Hour Burden Cost: ONRR identified no 
``non-hour cost'' burden associated with this collection of 
information.
    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.
    The authority for this action is the PRA (44 U.S.C. 3501, et seq.).

Kimbra G. Davis,
Director, Office of Natural Resources Revenue.
[FR Doc. 2021-19552 Filed 9-9-21; 8:45 am]
BILLING CODE 4335-30-P


</pre><script data-cfasync="false" src="/cdn-cgi/scripts/5c5dd728/cloudflare-static/email-decode.min.js"></script></body>
</html>
Indexed from Federal Register on September 10, 2021.

This is legal information, not legal advice. Laws vary by jurisdiction and change frequently. Always verify current law with official sources and consult a licensed attorney in your jurisdiction for advice on your specific situation.