Federal Oil and Gas Royalty Management (15.427)

Program

15.427 Federal Oil and Gas Royalty Management

Federal Agency

Agency: Department of the Interior
Office: Minerals Management Service

Authorization

Federal Oil and Gas Royalty Management Act of 1982, Public Law 97-451, as amended.

Program Number

15.427

Last Known Status

Active

Objectives

To ensure that all oil, gas, and solid minerals originated on the public lands and on the Outer Continental Shelf are properly accounted for under the direction of the Secretary of the Interior, and for other purposes.

Types of Assistance

PROJECT GRANTS

Uses and Use Restrictions

All projects are restricted to State and Tribal Governments. No discretionary funds are available under this program.

Eligibility Requirements

Applicant Eligibility

State and Tribal Governments as specified in Title II of the Federal Oil and Gas Royalty Management Act of 1982, as amended.

Beneficiary Eligibility

States and Federally recognized Tribal Governments that receive funds collected as a result of the compliance activities on Federal and Indian mineral leases.

Credentials/Documentation

Must follow 30 CFR Parts 200 to 699 Mineral Resources, General Accountability Offices (GAO) Generally Accepted Government Audit Standards (Yellowbook), and Minerals Management Service Audit and Compliance Procedures. OMB Circular No. A-87 applies to this program.

Application and Award Process

Preapplication Coordination

An applicant should consult the office or official designated as the single point-of-contact in his or her State for more information on the process the State requires to be followed in applying for assistance, if the State has selected the program for review. Environmental impact information is not required for this program. This program is eligible for coverage under E.O. 12372, "Intergovernmental Review of Federal Programs." An applicant should consult the office or official designated as the single point of contact in his or her State for more information on the process the State requires to be followed in applying for assistance, if the State has selected the program for review.

Application Procedure

OMB Circular No. A-102 applies to this program. This program is excluded from coverage under OMB Circular No. A-110. For grants awarded, the standard application forms furnished by the Federal agency as required by 43 CFR Part 12, Subpart C, "Uniform Administrative Requirements for Grants and Cooperative Agreements to State and Local Governments" will apply. Also, reference the procedures outlined in 30 CFR 227.103 entitled, "What must a States delegation proposal contain?" For Indian tribes reference the procedures outlined in 30 CFR 228.100 entitled, "Entering into an Agreement."

Award Procedure

Projects are reviewed at the Minerals Management Service (MMS) Minerals Revenue Management (MRM) Program level, and funding recommendations are made through each State and Tribe's annual work plan. Final budget approvals rest with the MMS/MRM Associate Directors Washington Office.

Deadlines

Jul 01, 2009 For recipients on the Federal fiscal year cycle, applications are due on July 1st of each year. For recipients operating on an alternate fiscal year, applications are due 90 days prior to award.

Range of Approval/Disapproval Time

Projects are approved through the Bureau budget cycle that normally requires 90 days to receive funding.

Appeals

Not Applicable.

Renewals

For State agreements, 30 CFR 227.110 entitled, When and for how long are delegation agreements effective? For Tribal agreements, 30 CFR 228.101 entitled, Terms of Agreement.

Assistance Considerations

Formula and Matching Requirements

This program has no statutory formula.

This program has no matching requirements.

This program does not have MOE requirements.

Length and Time Phasing of Assistance

No specific restrictions, however, projects are funded on a year to year basis, and funds are expended during a particular fiscal year. Funding is released either monthly or quarterly through the fiscal year. See the following for information on how assistance is awarded/released: Information not available.

Post Assistance Requirements

Reports

Performance monitoring schedules or progress reports are required quarterly. Cash reports are not applicable. Progress reports are not applicable. Federal Financial Reports (SF 425) are required at the end of the yearly performance period. Performance monitoring is not applicable.

Audits

In accordance with the provisions of OMB Circular No. A-133 (Revised, June 27, 2003), "Audits of States, Local Governments, and Non-Profit Organizations," nonfederal entities that expend financial assistance of $500,000 or more in Federal awards will have a single or a program-specific audit conducted for that year. Nonfederal entities that expend less than $500,000 a year in Federal awards are exempt from Federal audit requirements for that year, except as noted in Circular No. A-133.

Records

Records relating to work performed and costs are kept by the Bureau. There is no fixed records schedule. Records for grants awarded to State and Local Governments will be maintained in accordance with the provisions of 43 CFR Part 12, Subpart C, "Uniform Administrative Requirements for Grants and Cooperative Agreements to State and Local Governments.".

Program Accomplishments

Fiscal Year 2008: State and Tribal compliance activities contributed to meeting Government Performance and Results Act (GPRA) goals for the MMS. For fiscal year 2009, 18 applications were received and awarded. Fiscal Year 2009: No Current Data Available Fiscal Year 2010: No Current Data Available

Financial Information

Account Identification

14-1917-0-1-302.

Obligations

(Project Grants) FY 08 $10,180,000; FY 09 est $10,120,000; FY 10 est $10,420,000 - FY 2011 estimate 10,800,000.

Range and Average of Financial Assistance

Awards range from $110,000 to $2.4 million. Average is $562,000.

Regulations, Guidelines and Literature

MMS's cooperative (tribal) and delegated (State) audit program is basically guided by the provisions in 30 CFR Parts 227, 228, and 229. States and Tribes use the guidance contained in the GAO Yellowbook and two MMS procedural manuals for audits and compliance activities.

Related Programs

Not Applicable.

Information Contacts

Regional or Local Office

See Regional Agency Offices. Mr. Patrick Milano, P.O. Box 25165, Mail Stop 390B2, Denver, CO 80225-0165. Telephone: (303) 231-3124, fax (303) 231-3473, email: patrick.milano@mms.gov.

Headquarters Office

Associate Director Minerals Revenue Management, Minerals Management Service, 1849 C St., NW., Mail Stop 4230, Washington, District of Columbia 20240 Phone: (202) 208-3500

Web Site Address

http://www.mms.gov

Examples of Funded Projects

Fiscal Year 2008: Cooperative agreements with States and Tribes to conduct audits, investigations and inspections related to mineral payments made to the MMS which are attributable to leased Federal and Indian lands within State and Tribal boundaries and on the Outer Continental Shelf. Fiscal Year 2009: No Current Data Available Fiscal Year 2010: No Current Data Available

Criteria for Selecting Proposals

Criteria used to select assistance proposals are based on a balanced review including relevance to program objectives, merit, and cost effectiveness.