SUPPLEMENTARY INFORMATION:

Background

On May 19, 2010, by Secretarial Order No. 3299, the Secretary of the Department of the Interior announced the restructuring of the MMS. On June 18, 2010, by Secretarial Order No. 3302, the Secretary announced the name change of the MMS to the Bureau of Ocean Energy Management, Regulation, and Enforcement (BOEMRE). By these orders, the Secretary separated the responsibilities previously performed by MMS and reassigned those responsibilities to three separate organizations: the Office of Natural Resources Revenue (ONRR); the Bureau of Ocean Energy Management (BOEM); and the Bureau of Safety and Environmental Enforcement (BSEE). The new ONRR will be responsible for the existing MRM royalty and revenue functions and is scheduled to transition to the Assistant Secretary—Policy, Management and Budget organization on October 1, 2010, the beginning of Fiscal Year 2011.

Reorganization of Title 30 CFR

Title 30—Mineral Resources of the Code of Federal Regulations (30 CFR), is organized in three volumes. Volume II contains three chapters, and one of the chapters is titled “Chapter II—Minerals Management Service, Department of the Interior.” Because Secretarial Order No. 3299 separated ONRR functions (formerly MRM) from MMS (now BOEMRE), this direct final rule separates ONRR's regulations from the MMS regulations as well. This direct final rule reorganizes 30 CFR—renames chapter II from Minerals Management Service to Bureau of Ocean Energy Management, Regulation, and Enforcement, and adds a Chapter XII—Office of Natural Resources Revenue to 30 CFR as a new home for those regulations. This direct final rule does not make any substantive changes to the regulations or requirements in 30 CFR. It merely moves ONRR's current regulations to a new chapter XII in 30 CFR and makes technical corrections to position titles, agency names, and acronyms. In the near future, BOEMRE and ONRR may individually make additional technical corrections to their regulations as required by the restructuring of the former MMS into the three separate organizations. This may include changes to agency addresses, website addresses, delegation order numbers, and cross references within the regulations. Parts 200, 215, 230, 232, 233, 234, and 242 were not moved to chapter XII because these parts are listed as Reserved in title 30 CFR, chapter II. As noted, this direct final rule amends and removes 19 existing parts and related existing subparts in 30 CFR concerning royalty reporting and payment, marginal properties, product valuation, forms and reports, audits and inspections, collection of monies, delegation to states and cooperative activities, bonding, civil penalties, and appeals from chapter II and recodifies them in the new chapter XII.

The parts and subparts to be moved are:

• Part 201—General, which becomes part 1201.
• Part 202—Royalties, which becomes part 1202.
• Part 203—Relief or Reduction in Royalty Rates, Subpart F—Coal, which becomes part 1203.
• Part 204—Alternatives for Marginal Properties, which becomes part 1204.
• Part 206—Production Valuation, which becomes part 1206.
• Part 207—Sales Agreements or Contracts Governing the Disposal of Lease Products, which becomes part 1207.
• Part 208—Sale of Federal Royalty Oil, which becomes part 1208.
• Part 210—Forms and Reports, which becomes part 1210.
• Part 212—Records and Files Maintenance, which becomes part 1212.
• Part 217—Audits and Inspections, which becomes part 1217.
• Part 218—Collection of Monies and Provision for Geothermal Credits and Incentives, which becomes part 1218.
• Part 219—Distribution and Disbursement of Royalties, Rentals, and Bonuses, Subpart C—Oil and Gas, Onshore, which becomes part 1219.
• Part 220—Accounting Procedures for Determining Net Profit Share Payment for Outer Continental Shelf Oil and Gas Leases, which becomes part 1220.
• Part 227—Delegation to States, which becomes part 1227.
• Part 228—Cooperative Activities with States and Indian Tribes, which becomes part 1228.
• Part 229—Delegation to States, which becomes part 1229.
• Part 241—Penalties, which becomes part 1241.
• Part 243—Suspensions Pending Appeal and Bonding—Minerals Revenue Management, which becomes part 1243.
• Part 290—Appeals Procedures, Subpart B—Minerals Management Revenue Appeal Procedures, which becomes part 1290.

The following are derivation tables for each of these recodified parts:

( printed page 61054) ( printed page 61059) ( printed page 61062) ( printed page 61064)

Procedural Matters

1. Regulatory Planning and Review (E.O. 12866).

This document is not a significant rule, and the Office of Management and Budget (OMB) will not review this rule under Executive Order 12866.

a. This direct final rule does not have an effect of $100 million or more on the economy. It does 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.

b. This direct final rule does not create a serious inconsistency or otherwise interfere with an action taken or planned by another agency.

c. This direct final rule does not alter the budgetary effects of entitlements, grants, user fees, or loan programs or the rights or obligations of their recipients.

d. This direct final rule does not raise novel legal or policy issues.

2. Regulatory Flexibility Act

The Department of the Interior certifies that this direct final rule not have a significant economic effect on a substantial number of small entities under the Regulatory Flexibility Act (5 U.S.C. 601 et seq.). This direct final rule will impact large and small entities but will not have a significant economic effect on either because this is a technical rule to reorganize certain title 30 CFR regulations.

3. Small Business Regulatory Enforcement Fairness Act (SBREFA)

This direct final rule is not a major rule under 5 U.S.C. 804(2), the Small Business Regulatory Enforcement Fairness Act. This direct final rule:

a. Will not have an annual effect on the economy of $100 million or more.

b. Will not cause a major increase in costs or prices for consumers, individual industries, Federal, state, or local government agencies, or geographic regions.

c. Will 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.

4. Unfunded Mandates Reform Act

This direct final rule does not impose an unfunded mandate on state, local, or tribal governments, or the private sector of more than $100 million per year. This direct final rule does 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 Unfunded Mandates Reform Act (2 U.S.C. 1531 et seq.) is not required.

5. Takings (E.O. 12630)

Under the criteria in Executive Order 12630, this direct final rule does not have any significant takings implications. This direct final rule applies to Outer Continental Shelf (OCS) and Federal and Indian onshore leases. It does not apply to private property. A takings implication assessment is not required.

6. Federalism (E.O. 13132)

Under the criteria in Executive Order 13132, this direct final rule does not have sufficient federalism implications that warrant the preparation of a Federalism Assessment. This is a technical rule to reorganize the title 30 CFR regulations. A Federalism Assessment is not required.

7. Civil Justice Reform (E.O. 12988)

This direct final rule complies with the requirements of Executive Order 12988. Specifically, this rule:

a. Meets the criteria of section 3(a) requiring that all regulations be reviewed to eliminate errors and ambiguity and be written to minimize litigation; and

b. Meets the criteria of section 3(b)(2) requiring that all regulations be written in clear language and contain clear legal standards.

8. Consultation With Indian Tribes (E.O. 13175)

Under the criteria in Executive Order 13175, we have evaluated this direct final rule and determined that it has no effects on federally recognized Indian tribes.

9. Paperwork Reduction Act

This direct final rule does not contain information collection requirements, and a submission to OMB is not required under the Paperwork Reduction Act of 1995 (44 U.S.C. 3501 et seq.).

10. National Environmental Policy Act

This direct final rule does not constitute a major Federal action significantly affecting the quality of the human environment. A detailed statement under the National Environmental Policy Act of 1969 is not required.

11. Data Quality Act

In developing this direct final rule, we did not conduct or use a study, experiment, or survey requiring peer review under the Data Quality Act (Pub. L. 106-554).

12. Effects on the Energy Supply (E.O. 13211)

This direct final rule is not a significant energy action under the definition in Executive Order 13211. A Statement of Energy Effects will not be required.

13. Clarity of This Regulation

We are required by Executive Orders 12866 and 12988 and by the Presidential Memorandum of June 1, 1998, to write all rules in plain language. This means that each rule we publish must: (a) Be logically organized; (b) Use the active voice to address readers directly; (c) Use clear language rather than jargon; (d) Be divided into short sections and sentences; and (e) Use lists and tables wherever possible.

If you feel that we have not met these requirements, send us comments by one of the methods listed in the ADDRESSES section. To better help us revise the rule, your comments should be as specific as possible. For example, you should tell us the numbers of the sections or paragraphs that are unclearly written, which sections or sentences are too long, the sections where you feel lists or tables would be useful, etc.

14. Public Availability of Comments

Before including your address, phone number, e-mail 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 us in your comment to withhold your personal identifying information from public view, we cannot guarantee that we will be able to do so.

Authority and Issuance

For the reasons discussed in the preamble, under the authority provided by the Reorganization Plan No. 3 of 1950 (64 Stat. 1262), the Department of the Interior amends title 30 CFR Chapter II and establishes a new 30 CFR Chapter XII as follows:

TITLE 30—MINERAL RESOURCES

CHAPTER II—BUREAU OF OCEAN ENERGY MANAGEMENT, REGULATION, AND ENFORCEMENT, DEPARTMENT OF THE INTERIOR

1. Revise the heading of 30 CFR chapter II to read as set forth above.

CHAPTER XII—OFFICE OF NATURAL RESOURCES REVENUE, DEPARTMENT OF THE INTERIOR

Subchapter A—Natural Resources Revenue

Subchapter B—Appeals

2. Amend title 30 of the CFR by establishing chapter XII and its subchapters to read as set forth above.

Chapter II, Subchapter A

2A. Remove reserved part 200 from subchapter A.

3. Transfer 30 CFR part 201 from chapter II, subchapter A, to chapter XII, subchapter A, and redesignate as 30 CFR part 1201.

Chapter XII, Subchapter A

4. The authority citation for the newly redesignated 30 CFR part 1201 continues to read as follows:

Authority: The Act of February 25, 1920 (30 U.S.C. 181, et seq.), as amended; the Act of May 21, 1930 (30 U.S.C. 301-306); the Mineral Leasing Act for Acquired Lands (30 U.S.C. 351-359), as amended; the Act of March 3, 1909 (25 U.S.C. 396), as amended; the National Environmental Policy Act of 1969 (42 U.S.C. 4321, et seq.) as amended; the Act of May 11, 1938 (25 U.S.C. 396a-396q), as amended; the Act of February 28, 1891 (25 U.S.C. 397), as amended; the Act of May 29, 1924 (25 U.S.C. 398); the Act of March 3, 1927 (25 U.S.C. 398a-398e); the Act of June 30, 1919 (25 U.S.C. 399), as amended; R.S. § 441 (43 U.S.C. 1457), see also Attorney General's Opinion of April 2, 1941 (40 Op. Atty. Gen. 41); the Federal Property and Administrative Services Act of 1949 (40 U.S.C. 471, et seq.), as amended; the National Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.), as amended; the Act of December 12, 1980 (Pub. L. 96-514, 94 Stat. 2964); the Combined Hydrocarbon Leasing Act of 1981 (Pub. L. 97-78, 95 Stat. 1070); the Outer Continental Shelf Lands Act (43 U.S.C. 1331, et seq.), as amended; section 2 of Reorganization Plan No. 3 of 1950 (64 Stat. 1262); Secretarial Order No. 3071 of January 19, 1982, as amended; and Secretarial Order 3087, as amended.

5. Amend the newly redesignated part 1201 as follows:

Chapter II, Subchapter A

6. Transfer 30 CFR part 202 from chapter II, subchapter A, to chapter XII, subchapter A, and redesignate as 30 CFR part 1202.

Chapter XII, Subchapter A

7. The authority citation for the newly redesignated 30 CFR part 1202 continues to read as follows:

Authority: 5 U.S.C. 301 et seq.;25 U.S.C. 396 et seq., 396a et seq., 2101 et seq.;30 U.S.C. 181 et seq., 351 et seq., 1001 et seq.; 1701 et seq.;31 U.S.C. 9701; 43 U.S.C. 1301 et seq.; 1331 et seq., 1801 et seq.

8. Amend the newly redesignated part 1202 as follows:

Chapter II, Subchapter A

9. Transfer 30 CFR part 203, subpart F (§§ 203.250-203.251), from chapter II, subchapter A, to 30 CFR, chapter XII, subchapter A, and redesignate as “Part 1203—Relief or Reduction in Royalty Rates—Coal” (§§ 1203.250 and 1203.251)

10. Add and reserve a new subpart F to part 203 to read as set forth above.

Chapter XII, Subchapter A

11. Add an authority citation for the newly redesignated 30 CFR part 1203 to read as follows:

Authority: 25 U.S.C. 396 et seq.;25 U.S.C. 396a et seq.;25 U.S.C. 2101 et seq.;30 U.S.C. 181 et seq.;30 U.S.C. 351 et seq.;30 U.S.C. 1701 et seq.;31 U.S.C. 9701; 43 U.S.C. 1301 et seq.; and 43 U.S.C. 1331 et seq.

Chapter II, Subchapter A

12. Transfer 30 CFR part 204 from chapter II, subchapter A, to chapter XII, ( printed page 61068) subchapter A, and redesignate as 30 CFR part 1204.

Chapter XII, Subchapter A

13. The authority citation for the newly redesignated 30 CFR part 1204 continues to read as follows:

Authority: 30 U.S.C. 1701 et seq.

14. Amend the newly redesignated part 1204 as follows:

Chapter II, Subchapter A

15. Transfer 30 CFR part 206 from chapter II, subchapter A, to chapter XII, subchapter A, and redesignate as 30 CFR part 1206.

Chapter XII, Subchapter A

16. The authority citation for the newly redesignated 30 CFR part 1206 continues to read as follows:

Authority: 5 U.S.C. 301 et seq.;25 U.S.C. 396 et seq., 396a et seq., 2101 et seq.;30 U.S.C. 181 et seq., 351 et seq., 1001 et seq., 1701 et seq.;31 U.S.C. 9701; 43 U.S.C. 1301 et seq., 1331 et seq., and 1801 et seq.

17. Amend the newly redesignated part 1206 as follows:

17A. In newly redesignated § 1206.171, place the newly redesignated definition of “ONRR” in alphabetical order.

17B. In newly redesignated § 1206.451, place the newly redesignated definition of “ONRR” in alphabetical order

Chapter II, Subchapter A

18. Transfer 30 CFR part 207 from chapter II, subchapter A, to chapter XII, subchapter A, and redesignate as 30 CFR part 1207.

Chapter XII, Subchapter A

19. The authority citation for the newly redesignated 30 CFR part 1207 continues to read as follows:

Authority: 5 U.S.C. 301 et seq.;25 U.S.C. 396 et seq.;25 U.S.C. 396a et seq.;25 U.S.C. 2101 et seq.;30 U.S.C. 181 et seq.;30 U.S.C. 351 et seq.;30 U.S.C. 1001 et seq.;30 U.S.C. 1701 et seq.;31 U.S.C. 3716 et seq.;31 U.S.C. 9701; 43 U.S.C. 1301 et seq.;43 U.S.C. 1331 et seq.; and 43 U.S.C. 1801 et seq.

20. Amend the newly redesignated part 1207 as follows:

Chapter II, Subchapter A

21. Transfer 30 CFR part 208 from chapter II, subchapter A, to chapter XII, subchapter A, and redesignate as 30 CFR part 1208.

Chapter XII, Subchapter A

22. The authority citation for the newly redesignated 30 CFR part 1208 continues to read as follows:

Authority: 5 U.S.C. 301 et seq.;30 U.S.C. 181 et seq., 351 et seq., 1701 et seq.;31 U.S.C. 9701; 41 U.S.C. 601 et seq.;43 U.S.C. 1301 et seq., 1331 et seq., and 1801 et seq.

23. Amend the newly redesignated part 1208 as follows:

23A. In newly redesignated § 1208.2, place the newly redesignated definition of “ONRR” in alphabetical order.

Chapter II, Subchapter A

24. Transfer 30 CFR part 210 from chapter II, subchapter A, to chapter XII, subchapter A, and redesignate as 30 CFR part 1210.

Chapter XII, Subchapter A

25. The authority citation for the newly redesignated 30 CFR part 1210 continues to read as follows:

Authority: 5 U.S.C. 301 et seq.;25 U.S.C. 396, 2107; 30 U.S.C. 189, 190, 359, 1023, 1751(a); 31 U.S.C. 3716, 9701; 43 U.S.C. 1334, 1801 et seq.; and 44 U.S.C. 3506(a).

26. Amend the newly redesignated part 1210 as follows: ( printed page 61082)

Chapter II, Subchapter A

27. Transfer 30 CFR part 212 from chapter II, subchapter A, to chapter XII, subchapter A, and redesignate as 30 CFR part 1212.

Chapter XII, Subchapter A

28. The authority citation for the newly redesignated 30 CFR part 1212 continues to read as follows:

Authority: 5 U.S.C. 301 et seq.; 25 U.S.C. 396 et seq., 396a et seq., 2101 et seq.;30 U.S.C. 181 et seq., 351 et seq., 1001 et seq., 1701 et seq.;31 U.S.C. 9701; 43 U.S.C. 1301 et seq., 1331 et seq., and 1801 et seq.

29. Amend the newly redesignated part 1212 as follows:

Chapter II, Subchapter A

29A. Remove reserved part 215 from subchapter A.

30. Transfer 30 CFR part 217 from chapter II, subchapter A, to chapter XII, subchapter A, and redesignate as 30 CFR part 1217.

Chapter XII, Subchapter A

31. The authority citation for the newly redesignated 30 CFR part 1217 continues to read as follows:

Authority: 35 Stat. 312; 35 Stat. 781, as amended; secs. 32, 6, 26, 41 Stat. 450, 753, 1248; secs. 1, 2, 3, 44 Stat. 301, as amended; secs. 6, 3, 44 Stat. 659, 710; secs. 1, 2, 3, 44 Stat. 1057; 47 Stat. 1487; 49 Stat. 1482, 1250, 1967, 2026; 52 Stat. 347; sec. 10, 53 Stat. 1196, as amended; 56 Stat. 273; sec. 10, 61 Stat. 915; sec. 3, 63 Stat. 683; 64 Stat. 311; 25 U.S.C. 396, 396a-f, 30 U.S.C. 189, 271, 281, 293, 359. Interpret or apply secs. 5, 5, 44 Stat. 302, 1058, as amended; 58 Stat. 483-485; 5 U.S.C. 301, 16 U.S.C. 508b, 30 U.S.C. 189, 192c, 271, 281, 293, 359, 43 U.S.C. 387, unless otherwise noted.

32. Amend the newly redesignated part 1217 as follows:

Chapter II, Subchapter A

33. Transfer 30 CFR part 218 from chapter II, subchapter A, to chapter XII, subchapter A, and redesignate as 30 CFR part 1218.

Chapter XII, Subchapter A

34. The authority citation for the newly redesignated 30 CFR part 1218 continues to read as follows:

Authority: 25 U.S.C. 396 et seq., 396a et seq., 2101 et seq.; 30 U.S.C. 181 et seq., 351 et seq., 1001 et seq., 1701 et seq.;31 U.S.C. 3335; 43 U.S.C. 1301 et seq., 1331 et seq., and 1801 et seq.

35. Amend the newly redesignated part 1218 as follows:

Chapter II, Subchapter A

36. Transfer 30 CFR part 219, subpart C (§§ 219.100 through 219.105), from chapter II, subchapter C, to 30 CFR, chapter XII, subchapter A, and redesignate as “PART 1219—DISTRIBUTION AND DISBURSEMENT OF ROYALTIES, RENTALS, AND BONUSES” (§§ 1219.100 through 1219.105).

37. Add and reserve a new subpart C to part 219 to read as set forth above.

Chapter XII, Subchapter A

38. Add an authority citation for the newly redesignated 30 CFR part 1219 to read as follows:

Authority: Section 104, Pub. L. 97-451, 96 Stat. 2451 (30 U.S.C. 1714), Pub. L. 109-432, Div C, Title I, 120 Stat. 3000.

39. Amend the newly redesignated part 1219 as follows: ( printed page 61087)

Chapter II, Subchapter A

40. Transfer 30 CFR part 220 from chapter II, subchapter A, to chapter XII, subchapter A, and redesignate as 30 CFR part 1220.

Chapter XII, Subchapter A

41. The authority citation for the newly redesignated 30 CFR part 1220 continues to read as follows:

Authority: Sec. 205, Pub. L. 95-372, 92 Stat. 643 (43 U.S.C. 1337).

42. Amend the newly redesignated part 1220 as follows:

Chapter II, Subchapter A

43. Transfer 30 CFR part 227 from chapter II, subchapter A, to chapter XII, subchapter A, and redesignate as 30 CFR part 1227.

Chapter XII, Subchapter A

44. The authority citation for the newly redesignated 30 CFR part 1227 continues to read as follows:

Authority: 30 U.S.C. 1735; 30 U.S.C. 196; Pub. L. 102-154.

45. Amend the newly redesignated part 1227 as follows:

Chapter II, Subchapter A

46. Transfer 30 CFR part 228 from chapter II, subchapter A, to chapter XII, subchapter A, and redesignate as 30 CFR part 1228.

Chapter XII, Subchapter A

47. The authority citation for the newly redesignated 30 CFR part 1228 continues to read as follows:

Authority: Sec. 202, Pub. L. 97-451, 96 Stat. 2457 (30 U.S.C. 1732).

48. Amend the newly redesignated part 1228 as follows:

( printed page 61091)

Chapter II, Subchapter A

49. Transfer 30 CFR part 229 from chapter II, subchapter A, to chapter XII, subchapter A, and redesignate as 30 CFR part 1229.

Chapter XII, Subchapter A

50. The authority citation for the newly redesignated 30 CFR part 1229 continues to read as follows:

Authority: 30 U.S.C. 1735.

51. Amend the newly redesignated part 1229 as follows:

Chapter II, Subchapter A

51A. Remove reserved parts 230 through 234 from subchapter A.

52. Transfer 30 CFR part 241 from chapter II, subchapter A, to chapter XII, subchapter A, and redesignate as 30 CFR part 1241.

Chapter XII, Subchapter A

53. The authority citation for the newly redesignated 30 CFR part 1241 continues to read as follows:

Authority: 25 U.S.C. 396 et seq., 396a et seq., 2101 et seq.;30 U.S.C. 181 et seq., 351 et seq., 1001 et seq., 1701 et seq.;43 U.S.C. 1301 et seq., 1331 et seq., 1801 et seq.

54. Amend the newly redesignated part 1241 as follows:

Chapter II, Subchapter A

54A. Remove reserved part 242 from subchapter A.

55. Transfer 30 CFR part 243 from chapter II, subchapter A, to 30 CFR, chapter XII, subchapter A, and redesignate as 30 CFR part 1243.

Chapter XII, Subchapter A

56. The authority citation for the newly redesignated 30 CFR part 1243 continues to read as follows:

Authority: 5 U.S.C. 301 et seq.;25 U.S.C. 396 et seq., 396a et seq., 2101 et seq.;30 U.S.C. 181 et seq., 351 et seq., 1001 et seq., 1701 et seq.;31 U.S.C. 9701; 43 U.S.C. 1301 et seq., 1331 et seq., and 1801 et seq.

57. Revise the heading of newly designated part 1243 to read as set forth above.

58. Amend the newly redesignated part 1243 as follows:

Chapter II, Subchapter C

59. Transfer 30 CFR part 290, subpart B (§§ 290.100 through 290.110), from chapter II, subchapter C, to 30 CFR, chapter XII, subchapter B, and redesignate as “PART 1290—APPEAL PROCEDURES FOR OFFICE OF NATURAL RESOURCES REVENUE” (§§ 1290.100 through 1290.110).

60. Add and reserve a new subpart B to part 290 to read as set forth above.

Chapter XII, Subchapter B

61. Add an authority citation for the newly redesignated 30 CFR part 1290 to read as follows:

Authority: 5 U.S.C. 301 et seq.;43 U.S.C. 1331.

62. Amend the newly redesignated part 1290 as follows: