[Federal Register Volume 71, Number 127 (Monday, July 3, 2006)]
[Proposed Rules]
[Pages 37874-37880]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E6-10401]


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DEPARTMENT OF THE INTERIOR

Minerals Management Service

30 CFR Part 250

RIN 1010-AD18


Oil and Gas and Sulphur Operations in the Outer Continental Shelf 
(OCS)--Revisions to Subpart A--General; Subpart I--Platforms and 
Structures; and Subpart J--Pipelines and Pipeline Rights-of-Way

AGENCY: Minerals Management Service (MMS), Interior.

ACTION: Proposed rule.

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SUMMARY: MMS is proposing to amend its regulations to require lessees, 
lease operators, and pipeline right-of-way (ROW) holders to submit 
assessment information on the structural integrity of their OCS 
platforms each year, and to submit an inspection program to MMS yearly. 
Also, a damage report would be required if a facility or pipeline was 
damaged by a hurricane or other natural phenomena. Lessees, lease 
operators, and pipeline ROW holders proposing to use unbonded flexible 
pipe for pipelines, or to install pipeline risers on floating 
platforms, would have to provide additional information on their 
projects. The proposed rule also would incorporate an industry-
developed standard concerning the in-service inspection of mooring 
hardware for floating drilling units. These proposed changes would 
allow MMS to better regulate the safety of the oil and gas 
infrastructure, and to promptly assess damage resulting from hurricanes 
or other natural phenomena.

DATES: Submit comments by September 1, 2006. MMS may not fully consider 
comments received after this date. Submit comments to the Office of 
Management and Budget on the information collection burden in this 
rulemaking by August 2, 2006.

ADDRESSES: You may submit comments on the rulemaking by any of the 
following methods. Please use the Regulation Identifier Number (RIN) 
1010-AD18 as an identifier in your message. See also Public Comment 
Procedures under Procedural Matters.
     MMS's Public Connect on-line commenting system, http://ocsconnect.mms.gov. Follow the instructions on the Web site for 
submitting comments.
     Federal eRulemaking Portal: http://www.regulations.gov. 
Follow the instructions on the Web site for submitting comments.
     E-mail MMS at [email protected]. Use the RIN 1010-
AD18 in the subject line.
     Fax: 703-787-1546. Identify with the RIN, 1010-AD18.
     Mail or hand-carry comments to the Department of the 
Interior; Minerals Management Service; Attention: Rules Processing Team 
(RPT); 381 Elden Street, MS-4024; Herndon, Virginia 20170-4817. Please 
reference 1010-AD18 in your comments and include your name and return 
address.
     Send comments on the information collection in this rule 
to: Interior Desk Officer 1010-AD18, Office of Management and Budget, 
202/395-6566 (facsimile); e-mail: [email protected]. Please also 
send a copy to MMS.

FOR FURTHER INFORMATION CONTACT: Larry Ake, Regulations and Standards 
Branch at (703) 787-1567.

SUPPLEMENTARY INFORMATION: On July 19, 2005, MMS published a final rule 
(70 FR 41556) titled ``Fixed and Floating Platforms and Structures and 
Documents Incorporated by Reference'' in the Federal Register. That 
final rule expanded MMS regulations regarding the design, construction, 
and operation of OCS facilities to include coverage of floating oil and 
gas production platforms. The rule also incorporated by reference a 
number of industry-developed standards pertaining to floating 
platforms. During the process of developing and publishing that final 
rule, comments were received, both from the public and internally 
within MMS, that suggested additional requirements. MMS has since 
reviewed the suggested changes and is incorporating those with the 
greatest merit in this proposed rule.
    The first of these proposed revisions was suggested by both the 
Offshore Operator's Committee (OOC) and Shell Oil Company. They 
suggested that MMS consider adopting American Petroleum Institute 
Recommended Practice (API RP) 2I, ``In-Service Inspection of Mooring 
Hardware for Floating Drilling Units.''
    MMS agrees that API RP 2I, second edition, would be a valuable 
industry standard to consider for incorporation by reference into 30 
CFR part 250, subparts A and I. API RP 2I is specifically written to 
address the inspection of mooring chain and wire rope for Mobile 
Offshore Drilling Units (MODUs), which frequently move from location to 
location. Moreover, the detailed information provided in API RP 2I on 
failure modes, inspection methods, and repair methods also could be 
useful in the development and implementation of the in-service 
inspection plan required under Sec.  250.919(a) for other types of 
offshore floating facilities that remain on station for longer periods 
of time. Based on OOC's and Shell's recommendation, MMS has reviewed 
API RP 2I, ``In-Service Inspection of Mooring Hardware for Floating 
Drilling Units,'' and is proposing that it be incorporated by reference 
into our regulations. MMS welcomes further industry comments on the 
referencing of this document in subparts A and I.
    Subpart I currently requires that lessees and operators develop an 
in-service inspection plan for platforms (Sec.  250.919). The plan must 
show in detail the type, extent, and frequency of the inspections 
lessees and operators will conduct on platforms. The existing 
regulation does not specify when the plan must be submitted to MMS for 
approval. MMS is now proposing that the plan be submitted to the 
Regional Supervisor for approval each year by April 1.
    The proposed rule would add several requirements to subpart I, 
Platforms and Structures, to reflect MMS's concerns about the aging 
infrastructure on the OCS. These proposed new requirements are meant to 
help ensure that lessees, lease operators, and pipeline ROW holders are 
appropriately assessing their OCS structures to ascertain their fitness 
for continued use. Included in the proposed revisions to Sec.  250.920 
are the following: (1) A complete platform structural assessment 
analysis if the platform meets one or more platform assessment 
initiators; (2) platform mitigation actions, which must be approved by 
the Regional Supervisor, if the platform does not pass the assessment; 
(3) approval from the

[[Page 37875]]

Regional Supervisor before assessing a platform to either the medium or 
low consequence-of-failure exposure category; and (4) MMS approval 
before changing the use of the platform.
    Also in subpart I, a proposed addition to the table contained at 
Sec.  250.905 would require lessees and lease operators to submit a 
summary of the safety factors utilized when designing their platforms. 
This requirement was included in previous MMS regulations, but was 
omitted in the recently published subpart I due to an oversight.
    At Sec.  250.916(c), the third-party Certified Verification Agent 
(CVA) currently must submit the final platform design report to the 
Regional Supervisor before the fabrication phase begins. In addition, 
Sec.  250.917(c) requires the CVA to submit the final fabrication 
report before the beginning of the installation phase. Finally, Sec.  
250.918(c) now requires the CVA to submit a final report covering the 
adequacy of the installation phase within 30 days of the installation 
of the platform. MMS recognizes that it may be difficult and 
impractical for lessees and operators to meet these deadlines for some 
projects. Therefore, the proposed rule would add language to require 
operators to submit a complete schedule for platform design, 
fabrication, and installation that shows when interim and final reports 
will be submitted to MMS.
    MMS often needs to obtain damage assessments and reports from 
lessees, lease operators, and pipeline right-of-way holders after 
events such as earthquakes or hurricanes. Proposed wording has been 
added to subpart I at Sec.  250.919(c) and (d) concerning special 
surveys of platforms that would be conducted in accordance with the 
provisions of API RP 2A-WSD. MMS would require lessees, lease 
operators, and pipeline right-of-way holders to provide MMS with the 
schedule for, and results of, these special surveys.
    A new proposed requirement also would be added to subpart A, 
General, at Sec.  250.192, that would require lessees, lease operators, 
and pipeline ROW holders to submit reports to MMS if their facilities 
are damaged by a hurricane, earthquake, or other natural phenomenon. A 
new form (Form MMS-143, Facility/Equipment Damage Report) has been 
developed to assist lessees, lease operators, and pipeline ROW holders 
when reporting this damage. Adding this requirement to the regulations, 
with an Office of Management and Budget (OMB) approval for information 
collection, would allow MMS to request damage information without the 
delay of obtaining OMB approval for each event.
    Additional requirements are also proposed for subpart J, Pipelines 
and Pipeline Rights-of-Way. These proposed requirements would require 
lessees, lease operators, and pipeline ROW holders to provide 
additional information in their pipeline applications if they intend to 
use unbonded flexible pipe or a pipeline riser with a floating 
platform.

Procedural Matters

Public Comment Procedures

    MMS's practice is to make comments, including the names and 
addresses of respondents, available for public review. Individual 
respondents may request that we withhold their addresses from the 
rulemaking record, which we will honor to the extent allowable by law. 
There may be circumstances in which we would withhold from the 
rulemaking record a respondent's identity, as allowable by law. If you 
wish us to withhold your name and/or address, you must state this 
prominently at the beginning of your comment. However, MMS 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.

Regulatory Planning and Review (Executive Order (E.O.) 12866)

    This document is not a significant rule and does not require review 
by OMB under E.O. 12866.
    (1) This proposed rule would not have an effect of $100 million or 
more on the economy. It would not adversely affect in a material way 
the economy, productivity, competition, jobs, the environment, public 
health or safety, or state, local, or tribal governments or 
communities.
    (2) This proposal would not create a serious inconsistency or 
otherwise interfere with an action taken or planned by another agency.
    (3) This proposed rule would not alter the budgetary effects of 
entitlements, grants, user fees, or loan programs, or the rights or 
obligations of their recipients; and has no effect on these programs or 
such rights.
    (4) This proposed rule would not raise novel legal or policy 
issues.

Regulatory Flexibility Act (RFA)

    The Department certifies that this proposed rule would not have a 
significant economic effect on a substantial number of small entities 
as defined under the RFA (5 U.S.C. 601 et seq.). Most of the costs for 
complying with this proposed rule would be information collection 
costs. The total estimated annual burden hours for responding to the 
information collection requirements in this proposed rule are 87,347. 
At an estimated cost of $50 per hour, the industry-wide cost for the 
information collection burden in this proposed rule would be slightly 
over four million dollars. Complying with the API RP 2I, ``In-Service 
Inspection of Mooring Hardware for Floating Drilling Units,'' should 
not be a financial burden since responsible companies already adhere to 
the practices described in the document. For a proposed rule with these 
relatively low projected costs to industry, a Regulatory Flexibility 
Analysis is not required. Accordingly, a Small Entity Compliance Guide 
is not required.
    This proposed rule would apply to all lessees, lease operators, and 
pipeline ROW holders operating on the OCS. MMS estimates that 130 
lessees/operators explore for and produce oil and gas on the OCS. 
Approximately 70 percent of them (91 companies) fall into the small 
business category. MMS estimates that 207 companies currently hold 
pipeline rights-of-way. Approximately 65 percent of them (135 
companies) fall into the small business category.
    Your comments are important. The Small Business and Agriculture 
Regulatory Enforcement Ombudsman and 10 Regional Fairness Boards were 
established to receive comments from small businesses about Federal 
agency enforcement actions. The Ombudsman will annually evaluate the 
enforcement activities and rate each agency's responsiveness to small 
business. If you wish to comment on the enforcement actions of MMS, 
call toll-free 1-(888) 734-3247.

Small Business Regulatory Enforcement Fairness Act (SBREFA)

    This proposed rule is not a major rule under SBREFA (5 U.S.C. 
804(2)). This proposed rule:
    (a) Would not have an annual effect on the economy of $100 million 
or more.
    (b) Would not cause a major increase in costs or prices for 
consumers, individual industries, Federal, state, or local government 
agencies, or geographic areas.
    (c) Would not have significant adverse effects on competition, 
employment, investment, productivity, innovation, or the ability of 
U.S.-based enterprises to compete with foreign-based enterprises.

[[Page 37876]]

Unfunded Mandates Reform Act (UMRA)

    This proposed rule would not impose an unfunded mandate on state, 
local, or tribal governments, or the private sector, of more than $100 
million per year. The proposed rule would not have a significant or 
unique effect on state, local, or tribal governments, or the private 
sector. A statement containing the information required by the UMRA (2 
U.S.C. 1531 et seq.) is not required.

Takings Implications Assessment (Executive Order 12630)

    According to E.O. 12630, the proposed rule would not have 
significant Takings implications. A Takings Implication Assessment is 
not required.

Federalism (Executive Order 13132)

    According to E.O. 13132, this proposed rule would not have 
Federalism implications. The proposed rule would not substantially and 
directly affect the relationship between the federal and state 
governments, and would not impose costs on states or localities.

Civil Justice Reform (Executive Order 12988)

    With respect to E.O. 12988, the Office of the Solicitor has 
determined that this proposed rule would not unduly burden the judicial 
system, and meets the requirements of sections 3(a) and 3(b)(2) of the 
E.O.

Paperwork Reduction Act (PRA)

    This proposed rule contains a collection of information that has 
been submitted to OMB for review and approval under Sec.  3507(d) of 
the PRA. As part of our continuing effort to reduce paperwork and 
respondent burdens, MMS invites the public and other federal agencies 
to comment on any aspect of the reporting and recordkeeping burden. If 
you wish to comment on the information collection aspects of this 
proposed rule, you may send your comments directly to the OMB (see the 
ADDRESSES section of this notice). Please identify your comments with 
1010-AD18. Send a copy of your comments to the Rules Processing Team 
(RPT), Attn: Comments; 381 Elden Street, MS-4024; Herndon, Virginia 
20170-4817. Please reference ``30 CFR 250, Oil and Gas and Sulphur 
Operations in the Outer Continental Shelf-Revisions to Subpart A--
General; Subpart I--Platforms and Structures; and Subpart J--Pipelines 
and Pipeline Rights-of-Way, 1010-AD18'' in your comments. You may 
obtain a copy of the supporting statement for the new collection of 
information by contacting the Bureau's Information Collection Clearance 
Officer at (202) 208-7744.
    The PRA 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. OMB is 
required to make a decision concerning the collection of information 
contained in these proposed regulations between 30 to 60 days after 
publication of this document in the Federal Register. Therefore, a 
comment to OMB is best assured of having its full effect if OMB 
received it by August 2, 2006. This does not affect the deadline for 
the public to comment to MMS on the proposed regulations.
    The title of the collection of information for the rule is ``30 CFR 
250, Oil and Gas and Sulphur Operations in the Outer Continental Shelf 
(OCS)--Revisions to Subpart A--General; Subpart I--Platforms and 
Structures; and Subpart J--Pipelines and Pipeline Rights-of-Way.'' 
Respondents are approximately 130 Federal OCS lessees, operators, and 
their Independent Verification Agents or other third-party reviewers of 
production facilities, as well as 207 pipeline right-of-way holders. 
Responses to this collection are mandatory. The frequency of response 
varies, but is primarily annual or as needed. The information 
collection (IC) does not include questions of a sensitive nature. MMS 
will protect proprietary information according to the Freedom of 
Information Act (5 U.S.C. 522) and its implementing regulations (43 CFR 
part 2), and 30 CFR 250.196, ``Data and information to be made 
available to the public,'' and 30 CFR part 252, ``OCS Oil and Gas 
Information Program.''
    The collection of information required by the current subparts A, 
I, and J of 30 CFR 250 are approved by OMB under control numbers 1010-
0114 (expiration October 31, 2007); 1010-0149 (expiration March 31, 
2008); and 1010-0050 (expiration March 31, 2009), respectively.
    MMS will use the information collected and records maintained under 
subpart I to determine the fitness of aging infrastructure for 
continued use, as well as to ensure that the in-service inspection plan 
for platforms is submitted to the Regional Supervisor for approval each 
year by April l. The information is necessary to determine that 
platforms and structures are sound and safe for their intended purpose, 
provide for the safety of personnel, and meet MMS standards for 
pollution prevention. The information collected under subpart A would 
require respondents to submit reports to MMS if their facilities are 
damaged by a natural phenomenon (e.g., hurricane, earthquake). A new 
Form MMS-143, Facility/Equipment Damage Report, was developed to assist 
respondents when reporting this damage. MMS will use this information 
to rapidly assess damage, and to project any disruption of oil and gas 
production from the OCS after such an event. MMS will use the 
information collected under subpart J to ensure that pipelines or 
pipeline risers with floating platforms have been designed to handle 
the environmental stresses put upon them (e.g., water currents, 
mudslides).
    When final regulations are promulgated, the new information 
collection burdens for 30 CFR part 250 subparts A, I, and J will be 
incorporated into their respective collections of information for those 
regulations. Also, this rule and ICR modify and incorporate the hours 
and requirements already approved in 1010-0164, expiration February 28, 
2009; therefore, that collection will be discontinued when the final 
regulations take effect.
    The following table details the IC burden for the proposed new 
requirements in subparts A, I, and J.

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                                                                                  Average No. of
 Citation 30 CFR 250 rule  section   Reporting and recordkeeping    Hour burden       annual       Annual burden
             and NTL(s)                      requirement                             responses         hours
----------------------------------------------------------------------------------------------------------------
                                                    Subpart A
----------------------------------------------------------------------------------------------------------------
192(a)(3)..........................  Inform MMS when you resume             .166             600             100
                                      production.
192(b).............................  Use Form MMS-143 to submit            4                 100             400
                                      an initial damage
                                      evaluation report to the
                                      Regional Supervisor within
                                      48 hours after completing
                                      initial damage assessment.

[[Page 37877]]

 
192(b).............................  Use Form MMS-143 to submit            1                 400             400
                                      subsequent damage reports
                                      on a weekly basis until
                                      the damaged structure or
                                      equipment is returned to
                                      service.
----------------------------------------------------------------------------------------------------------------
                                                    Subpart I
----------------------------------------------------------------------------------------------------------------
900(e).............................  Submit platform                        .5               140              70
                                      installation date and the
                                      final as-built location to
                                      the Regional Supervisor
                                      within 45 days after
                                      platform installation.
905(i).............................  Provide a summary of safety            .25              331              83
                                      factors utilized in the
                                      design of the platform.
911; 916; 917; 918.................  Submit complete schedule of          40                  15             600
                                      all phases of design,
                                      fabrication, and
                                      installation with required
                                      information; also submit
                                      Gantt Chart with required
                                      information.
919(a).............................  Submit annual inspection            250                 130          32,500
                                      plan to the Regional
                                      Supervisor for approval.
919(c) NTL.........................  After an environmental           \1\ 12                 150           1,800
                                      event, submit to Regional
                                      Supervisor initial report
                                      followed by updates and
                                      supporting information.
919(d) NTL.........................  Submit results of                   120                 200          24,000
                                      inspections; obtain MMS
                                      approval before making
                                      major repairs.
920(b).............................  Obtain approval from the             20                 400           8,000
                                      Regional Supervisor before
                                      assessing your platform to
                                      medium or low consequence
                                      of failure exposure
                                      category.
920(d).............................  Obtain approval from the             40                 200           8,000
                                      Regional Supervisor for
                                      mitigation actions.
920(f).............................  Submit a list of all                 40                 130           5,200
                                      platforms you operate, and
                                      appropriate supporting
                                      data, annually.
920(g).............................  Obtain approval from the             40                 100           4,000
                                      Regional Supervisor for
                                      any change in the platform.
----------------------------------------------------------------------------------------------------------------
                                                    Subpart J
----------------------------------------------------------------------------------------------------------------
 1007(a)(4)(i)(A); (B); (C)........  Provide specified                     4                   6              24
                                      information in your
                                      pipeline application if
                                      using unbonded flexible
                                      pipe.
1007(a)(4)(i)(D)...................  Provide results of third             40                   1              40
                                      party IVA review in your
                                      pipeline application if
                                      using unbonded flexible
                                      pipe.
1007(a)(4)(ii).....................  Provide specified                    30                  35           1,050
                                      information in your
                                      pipeline application.
                                                                 -----------------------------------------------
    Total Burden...................  ...........................  ..............           3,028          87,347
----------------------------------------------------------------------------------------------------------------
\1\ Initial update.

    MMS specifically solicits comments on the following questions:
    (a) Is the proposed collection of information necessary for MMS to 
properly perform its functions, and will it be useful?
    (b) Are the estimates of the burden hours of the proposed 
collection reasonable?
    (c) Do you have any suggestions that would enhance the quality, 
clarity, or usefulness of the information to be collected?
    (d) Is there a way to minimize the information collection burden on 
those who are to respond, including the use of appropriate automated 
electronic, mechanical, or other forms of information technology?
    In addition, the PRA requires agencies to estimate the total annual 
reporting and recordkeeping ``non-hour cost'' burden resulting from the 
collection of information. We have not identified any, and we solicit 
your comments on this item.

National Environment Policy Act (NEPA)

    MMS has analyzed this proposed rule under NEPA and 516 Departmental 
Manual 6, Appendix 10.4C, ``Issuance and/or modification of 
regulations.'' This proposed rule would not constitute a major Federal 
action significantly affecting the quality of the human environment, 
and falls within the categorical exclusion of Appendix 10.4C(1) because 
the impact of the proposed rule would be limited to administrative and 
economic effects. A detailed statement under the NEPA is not required.

Energy Supply, Distribution, or Use (Executive Order 13211)

    This proposed rule is not a significant rule and is not subject to 
review by the Office of Management and Budget under E.O. 13211. The 
proposed rule would not have a significant effect on energy supply, 
distribution, or use because the costs due to the proposed increases in 
reporting requirements will be very small when compared to the costs of 
operating on the OCS. Thus, a Statement of Energy Effects is not 
required.

Consultation With Indian Tribes (Executive Order 13175)

    Under the criteria in E.O. 13175, we have evaluated this proposed 
rule and determined that it has no potential effects on federally 
recognized Indian tribes. There are no Indian lands or tribes on the 
OCS.

Clarity of This Regulation

    Executive Order 12866 requires each agency to write regulations 
that are easy to understand. We invite your comments on how to make 
this proposed rule easier to understand, including answers to questions 
such as the following:
    (1) Are the requirements in the proposed rule clearly stated?

[[Page 37878]]

    (2) Does the proposed rule contain technical language or jargon 
that interferes with its clarity?
    (3) Does the format of the proposed rule (grouping and order of 
sections, use of headings, paragraphing, etc.) aid or reduce its 
clarity?
    (4) Is the description of the proposed rule in the ``Supplementary 
Information'' section of this preamble helpful in understanding the 
rule? What else can we do to make the rule easier to understand?
    Send a copy of any comments that concern how we could make this 
rule easier to understand to: Office of Regulatory Affairs, Department 
of the Interior, Room 7229, 1849 C Street, NW., Washington, DC 20240. 
You may also e-mail the comments to this address: [email protected].

List of Subjects in 30 CFR Part 250

    Continental shelf, Environmental protection, Oil and gas 
exploration, Pipelines, Public lands--rights-of-way, Reporting and 
recordkeeping requirements.

    Dated: June 19, 2006.
R.M. ``Johnnie'' Burton,
Director, Minerals Management Service, Exercising the delegated 
authority of the Assistant Secretary, Land and Minerals Management.

    For the reasons stated in the preamble, MMS proposes to amend 30 
CFR part 250 as follows:

PART 250--LEASING OF SULPHUR OR OIL AND GAS IN THE OUTER 
CONTINENTAL SHELF

    1. The authority citation for part 250 continues to read as 
follows:

    Authority: 43 U.S.C. 1331, et seq.; 31 U.S.C. 9701.

    2. Section 250.192 and its title are revised to read as follows:


Sec.  250.192  What reports and statistics must I submit relating to a 
hurricane, earthquake, or other natural occurrence?

    (a) You must submit evacuation statistics to the Regional 
Supervisor for a natural occurrence, such as an earthquake, a 
hurricane, or tropical storm. Statistics include facilities and rigs 
evacuated and the amount of production shut in for gas and oil. You 
must:
    (1) Submit the statistics by fax or e-mail (for activities in the 
MMS GOM OCS Region, use Form MMS-132) as soon as possible when 
evacuation occurs;
    (2) Submit the statistics on a daily basis by 11 a.m., as 
conditions allow, during the period of shut-in and evacuation;
    (3) Inform MMS when you resume production; and
    (4) Submit the statistics either by MMS district, or the total 
figures for your operations in an MMS region.
    (b) If your facility, production equipment, or pipeline is damaged 
by a hurricane, tropical storm, earthquake, or other natural 
occurrence, you must:
    (1) Submit a report to the Regional Supervisor within 48 hours 
after you complete your initial evaluation of the damage. You must use 
Form MMS-143 to make this report and all subsequent reports. In the 
report, you must:
    (i) Name the items damaged (e.g., platform or other structure, 
production equipment, pipeline);
    (ii) Describe the damage and assess the extent of the damage 
(major, medium, minor); and
    (iii) Estimate the time it will take to replace or repair each 
damaged structure and piece of equipment and return it to service.
    (2) Submit subsequent reports on a weekly basis until the damaged 
structure or equipment is returned to service. In the final report, you 
must provide the date the item was returned to service.
    3. Section 250.198 paragraph (e) is amended by adding an entry in 
alphanumerical order in the table for API RP 2I, ``In-Service 
Inspection of Mooring Hardware for Floating Drilling Units'', and 
revising the entry for API RP 2A-WSD to read as follows:


Sec.  250.198  Documents Incorporated by Reference.

* * * * *
    (e) * * *

------------------------------------------------------------------------
           Title of documents              Incorporated by reference at
------------------------------------------------------------------------
 
                              * * * * * * *
API RP 2A WSD, Recommended Practice for  Sec.   250.901(a)(4); Sec.
 Planning, Designing, and Constructing    250.908(a); Sec.
 Fixed Offshore Platforms--Working        250.919(c)(2); Sec.
 Stress Design; Twenty-first Edition,     250.920(a)(b)(c)(e).
 December 2000 (API Order No. G2AWSD).
 
                              * * * * * * *
API RP 2I, In-Service Inspection of      Sec.   250.901(a)(6).
 Mooring Hardware for Floating Drilling
 Units, February 1, 1997.
------------------------------------------------------------------------

    4. Section 250.199 paragraph (e) is amended by adding an entry for 
Form MMS-143, Facility/Equipment Damage Report, as follows:


Sec.  250.199  Paperwork Reduction Act statements--information 
collection.

* * * * *
    (e) * * *

------------------------------------------------------------------------
 30 CFR 250 subpart/title  (OMB control       Reasons for collecting
                  No.)                      information  and how used
------------------------------------------------------------------------
 
                              * * * * * * *
(26) Form MMS-143, Facility/Equipment    This information will allow MMS
 Damage Report, Subpart A (1010-0114).    to rapidly assess damage and
                                          project any disruption of oil
                                          and gas production from the
                                          OCS after a major natural
                                          occurrence.
------------------------------------------------------------------------

    5. Section 250.900 paragraph (e) is revised to read as follows:


Sec.  250.900  What general requirements apply to all platforms?

* * * * *
    (e) You must submit notification of the platform installation date, 
and the final as-built location data, to the

[[Page 37879]]

Regional Supervisor within 45 calendar days of completion of platform 
installation. MMS will cancel your approved platform installation 
permits 1 year after the approval is granted if the platform is not 
installed. If MMS cancels your permit approval, you must resubmit your 
application.
    6. In section 250.901 paragraph (a), the following changes are 
made:
    A. Redesignate paragraphs (a)(6) through (a)(20) as (a)(7) through 
(a)(21), respectively.
    B. Add new paragraph (a)(6) to read as follows:


Sec.  250.901  What industry standards must your platform meet?

    (a) * * *
    (6) API RP 2I, In-Service Inspection of Mooring Hardware for 
Floating Drilling Units, (incorporated by reference as specified in 
Sec.  250.198);
* * * * *
    7. Section 250.905 is amended by redesignating current paragraphs 
(i) and (j), as paragraphs (j) and (k) respectively, and adding new 
paragraph (i) to read as follows:


Sec.  250.905  How do I get approval for the installation, 
modification, or repair of my platform?

* * * * *

----------------------------------------------------------------------------------------------------------------
           Required documents                 Required contents                   Other requirements
----------------------------------------------------------------------------------------------------------------
 
                                                  * * * * * * *
(i) Summary of safety factors utilized.  A summary of pertinent      You must submit one copy.
                                          derived factors of safety
                                          against failure for major
                                          structural members, e.g.,
                                          unity check ratios
                                          exceeding 0.85 for steel-
                                          jacket platform members,
                                          indicated on ``line''
                                          sketches of jacket
                                          sections.
 
                                                  * * * * * * *
----------------------------------------------------------------------------------------------------------------

    8. Section 250.911 is amended by redesignating current paragraphs 
(d) through (g), as paragraphs (e) through (h), respectively, and 
adding new paragraph (d) to read as follows:


Sec.  250.911  If my platform is subject to the Platform Verification 
Program, what must I do?

* * * * *
    (d) Submit a complete schedule of all phases of design, 
fabrication, and installation for the Regional Supervisor's approval. 
You must include a project management timeline [Gantt Chart] that 
depicts when interim and final reports required by Sec. Sec.  250.916, 
250.917, and 250.918 will be submitted to the Regional Supervisor for 
each phase. On the timeline, you must break out the specific scopes of 
work that inherently stand alone (e.g., deck, mooring systems, tendon 
systems, riser systems, turret systems).
* * * * *
    9. Section 250.916(c) is revised to read as follows:


Sec.  250.916  What are the CVA's primary duties during the design 
phase?

* * * * *
    (c) The CVA must submit interim reports and a final report to the 
Regional Supervisor, and to you, during the design phase in accordance 
with the approved schedule required by Sec.  250.911(d). In each 
interim and final report the CVA must:
    (1) Provide a summary of the material reviewed and the CVA's 
findings;
    (2) Make a recommendation that the Regional Supervisor either 
accept, request modifications, or reject the proposed design;
    (3) Describe the particulars of how, by whom, and when the 
independent review was conducted; and
    (4) Provide any additional comments the CVA may deem necessary.
    10. Section 250.917(c) is revised to read as follows:


Sec.  250.917  What are the CVA's primary duties during the fabrication 
phase?

* * * * *
    (c) The CVA must submit interim reports and a final report to the 
Regional Supervisor, and to you, during the fabrication phase in 
accordance with the approved schedule required by Sec.  250.911(d). In 
each interim and final report the CVA must:
    (1) Give details of how, by whom, and when the independent 
monitoring activities were conducted;
    (2) Describe the CVA's activities during the verification process;
    (3) Summarize the CVA's findings;
    (4) Confirm or deny compliance with the design specifications and 
the approved fabrication plan;
    (5) Make a recommendation to accept or reject the fabrication; and
    (6) Provide any additional comments that the CVA deems necessary.
    11. Section 250.918(c) is revised to read as follows:


Sec.  250.918  What are the CVA's primary duties during the 
installation phase?

* * * * *
    (c) The CVA must submit interim reports and a final report to the 
Regional Supervisor, and to you, during the installation phase in 
accordance with the approved schedule required by Sec.  250.911(d). In 
each interim and final report the CVA must:
    (1) Give details of how, by whom, and when the independent 
monitoring activities were conducted;
    (2) Describe the CVA's activities during the verification process;
    (3) Summarize the CVA's findings;
    (4) Confirm or deny compliance with the approved installation plan;
    (5) Make a recommendation to accept or reject the installation; and
    (6) Provide any additional comments that the CVA deems necessary.
    12. Section 250.919 is amended by revising paragraph (a), and 
adding new paragraphs (c) and (d) to read as follows:


Sec.  250.919  What in-service inspection requirements must I meet?

    (a) You must submit a comprehensive annual in-service inspection 
plan covering all of your platforms to the Regional Supervisor for 
approval by April 1 of each year. As a minimum, your plan must:
    (1) Address the recommendations of the appropriate documents listed 
in Sec.  250.901(a);
    (2) Specify the type, extent, and frequency of in-place inspections 
which you will conduct for both the above-water and the below-water 
structure of all platforms and pertinent components of the mooring 
systems for floating platforms; and
    (3) Address how you are monitoring the corrosion protection for 
both the above water and below water structure.
* * * * *
    (c) If any of your structures have been exposed to a natural 
occurrence (e.g., hurricane, earthquake, or tropical storm), the 
Regional Supervisor may require you to submit an initial report,

[[Page 37880]]

followed by subsequent updates, that includes the following:
    (1) A list of affected structures;
    (2) A timetable for conducting the inspections described in section 
14.4.3 of API RP 2A-WSD (incorporated by reference as specified in 
Sec.  250.198); and
    (3) An inspection plan for each structure that describes the work 
you will perform to determine the condition of the structure.
    (d) The Regional Supervisor may also require you to submit the 
results of the inspections referred to in paragraph (c)(2) of this 
section, including a description of any detected damage that may 
adversely affect structural integrity, an assessment of its ability to 
withstand any anticipated environmental conditions, and any remediation 
plans. Under Sec. Sec.  250.900(b)(3) and 250.905, you must obtain 
approval from MMS before you make major repairs of any damage.
    13. Section 250.920 is revised to read as follows:


Sec.  250.920  What are the MMS requirements for assessment of 
platforms?

    (a) You must perform a platform assessment when platform assessment 
initiators exist. Platform assessment initiators are listed in Sections 
17.2.1-17.2.5 of API RP 2A-WSD (incorporated by reference as specified 
in Sec.  250.198).
    (b) You must document all wells, equipment, and pipelines supported 
by the platform if you intend to use the medium or low consequence-of-
failure exposure category for your assessment. Exposure categories are 
defined in API RP 2A-WSD Section 1.7. You must obtain approval from the 
Regional Supervisor before assessing your platform to either the medium 
consequence-of-failure or low consequence-of-failure exposure category.
    (c) You must perform a complete platform structural assessment 
analysis when your platform assessment indicates that the platform is 
damaged; the deck height is inadequate; loading is significantly 
increased; or the exposure category changes to a more restrictive 
level.
    (d) You must initiate mitigation actions for platforms that do not 
pass the assessment process of API RP 2A-WSD. Your mitigation actions 
must be approved by the Regional Supervisor.
    (e) MMS may require you to conduct a platform assessment where the 
reduced environmental loading criteria contained in API RP 2A-WSD 
Section 17.6 are not allowed.
    (f) By November 1 of each year, you must submit a complete list of 
all the platforms you operate, together with all the appropriate data 
to support the consequence-of-failure category you assign to each 
platform and the platform assessment initiators (as defined in API RP 
2A-WSD) to the Regional Supervisor.
    (g) The use of Section 17, Assessment of Existing Platforms, of API 
RP 2A-WSD is limited to existing fixed structures that are serving 
their original approved purpose and were designed in accordance with 
the provisions in the 19th or earlier edition of API RP 2A-WSD. You 
must obtain approval from the Regional Supervisor for any change in 
purpose of the platform, following the provisions of API RP 2A-WSD, 
Section 15, Re-use.
    14. Section 250.1007 is amended by revising paragraph (a)(4) to 
read as follows:


Sec.  250.1007  What to include in applications.

    (a) * * *
    (4) A description of any additional design precautions you took to 
enable the pipeline to withstand the effects of water currents, storm 
or ice scouring, soft bottoms, mudslides, earthquakes, permafrost, and 
other environmental factors.
    (i) If you propose to use unbonded flexible pipe, your application 
must include:
    (A) The manufacturer's design specification sheet;
    (B) The design pressure (psi);
    (C) An identification of the design standards you used; and
    (D) A review by a third-party independent verification agent (IVA) 
according to API Spec 17J (incorporated by reference as specified in 
Sec.  250.198), if applicable.
    (ii) If you propose to use one or more pipeline risers for a 
tension leg platform or other floating platform, your application must 
include:
    (A) The design fatigue life of the riser, with calculations, and 
the fatigue point at which you would replace the riser;
    (B) The results of your vortex-induced vibration (VIV) analysis;
    (C) An identification of the design standards you used; and
    (D) A description of any necessary mitigation measures such as the 
use of helical strakes or anchoring devices.
* * * * *
[FR Doc. E6-10401 Filed 6-30-06; 8:45 am]
BILLING CODE 4310-MR-P