[Federal Register Volume 67, Number 11 (Wednesday, January 16, 2002)]
[Notices]
[Pages 2235-2236]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 02-1060]


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DEPARTMENT OF THE INTERIOR

Minerals Management Service


Agency Information Collection Activities: Proposed Collection, 
Comment Request

AGENCY: Minerals Management Service (MMS), Interior.

ACTION: Notice of a revision of a currently approved information 
collection (OMB Control Number 1010-0107).

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SUMMARY: To comply with the Paperwork Reduction Act (PRA) of 1995, we 
are inviting comments on a collection of information that we will 
submit to the Office of Management and Budget (OMB) for review and 
approval. The information collection request (ICR) is titled 
``Designation of Royalty Payment Responsibility.''

DATES: Submit written comments on or before March 18, 2002.

ADDRESSES: Submit written comments to Carol P. Shelby, Regulatory 
Specialist, Minerals Management Service, Minerals Revenue Management, 
P.O. Box 25165, MS 320B2, Denver, Colorado 80225. If you use an 
overnight courier service, our courier address is Building 85, Room A-
614, Denver Federal Center, Denver, Colorado 80225.

FOR FURTHER INFORMATION CONTACT:  Carol P. Shelby, telephone (303) 231-
3151, FAX (303) 231-3385, email [email protected].

SUPPLEMENTARY INFORMATION:
    Title: Designation of Royalty Payment Responsibility.
    OMB Control Number: 1010-0107.
    Bureau Form Number: MMS-4425.
    Abstract: The Department of the Interior (DOI) is responsible for 
matters relevant to mineral resource development on Federal and Indian 
lands and the Outer Continental Shelf (OCS). The Secretary of the 
Interior (Secretary) is responsible for managing the production of 
minerals from Federal and Indian lands and the OCS, collecting 
royalties from lessees who produce minerals, and distributing the funds 
collected in accordance with applicable laws. The Secretary also has an 
Indian trust responsibility to manage Indian lands and seek advice and 
information from Indian beneficiaries. MMS performs the royalty 
management functions and assists the Secretary in carrying out DOI's 
Indian trust responsibility.
    The Federal Oil and Gas Royalty Simplification and Fairness Act of 
1996 (RSFA), Public Law 104-185, as corrected by Public Law 104-200, 
established that owners of operating rights or lease record title 
(referred to as ``lessees'') are responsible for making royalty and 
related payments on Federal oil and gas leases. It is common, however, 
for a payor rather than a lessee to make these payments. When a payor 
makes payments on behalf of a lessee, RSFA requires that the lessee 
designate the payor as its designee and notify MMS of this arrangement 
in writing. These RSFA requirements are codifed in 30 CFR 218.52.
    MMS designed Form MMS-4425, Designation Form, to contain all the 
information necessary for lessees to comply with these RSFA 
requirements. We are proposing a minor revision to Form MMS-4425 to 
remove the field for revenue source code. This revision is necessary to 
make Form MMS-4425 compatible with other recently revised

[[Page 2236]]

forms such as the Form MMS-2014, Report of Sales and Royalty 
Remittance. These revisions are the result of a major reengineering of 
MMS's financial and compliance processes and the procurement of a new 
computer system.
    Submission of the information in this collection is necessary to 
comply with RSFA requirements to notify MMS in writing when a lessee 
wishes to designate a designee. Proprietary information that is 
submitted is protected, and there are no questions of a sensitive 
nature included in this information collection.
    Frequency: On occasion.
    Estimated Number and Description of Respondents: 1,600 oil and gas 
lessees.
    Estimated Annual Reporting and Recordkeeping ``Hour'' Burden: 1,200 
hours.
    Estimated Annual Reporting and Recordkeeping ``Non-hour Cost'' 
Burden: We have identified no ``non-hour cost'' burdens.
    Comments: 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. Before submitting an ICR to OMB, PRA section 
3506(c)(2)(A) requires each agency ``* * * to provide notice * * * 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.
    The PRA also requires agencies to estimate the total annual 
reporting ``non-hour cost'' burden to respondents or recordkeepers 
resulting from the collection of information. We have not identified 
non-hour cost burdens for this information collection. If you have 
costs to generate, maintain, and disclose this information, you should 
comment and provide your total capital and startup cost components or 
annual operation, maintenance, and purchase of service components. You 
should describe the methods you use to estimate major cost factors, 
including system and technology acquisition, expected useful life of 
capital equipment, discount rate(s), and the period over which you 
incur costs. Capital and startup costs include, among other items, 
computers and software you purchase to prepare for collecting 
information; monitoring, sampling, testing equipment; and record 
storage facilities. Generally, your estimates should not include 
equipment or services purchased: (i) Before October 1, 1995; (ii) to 
comply with requirements not associated with the information 
collection; (iii) for reasons other than to provide information or keep 
records for the Government; or (iv) as part of customary and usual 
business or private practices.
    We will summarize written responses to this notice and address them 
in our ICR submission for OMB approval, including appropriate 
adjustments to the estimated burden. We will provide a copy of the ICR 
to you without charge upon request.
    Public Comment Policy. We will also make copies of the comments 
available for public review, including names and addresses of 
respondents, during regular business hours at our offices in Lakewood, 
Colorado. Individual respondents may request that we withhold their 
home address from the public record, which we will honor to the extent 
allowable by law. There also may be circumstances in which we would 
withhold from the rulemaking record a respondent's identity, as 
allowable by law. If you request that we withhold your name and/or 
address, state this prominently at the beginning of your comment. 
However, we will not consider anonymous comments. We will make all 
submissions from organizations or businesses, and from individuals 
identifying themselves as representatives or officials of organizations 
or businesses, available for public inspection in their entirety.
    MMS Information Collection Clearance Officer: Jo Ann Lauterbach, 
(202) 208-7744.

    Dated: November 16, 2001.
Lucy Querques Denett,
Associate Director for Minerals Revenue Management.
[FR Doc. 02-1060 Filed 1-15-02; 8:45 am]
BILLING CODE 4310-MR-W