1010-0006 01302020_Supporting Statement

Supporting Statement A
OMB Control Number 1010-0006
Expiration: June 30, 2019
30 CFR Part 556, Leasing of Sulfur or Oil and Gas in the OCS
(BOEM-0150, BOEM-0151, BOEM-0152, BOEM-2028, and BOEM-2028A)
30 CFR 550, Subpart J, Pipelines and Pipeline Rights-of-Way
(BOEM-2030)
30 CFR Part 560, OCS Oil and Gas Leasing

Terms of Clearance: None
General Instructions
A completed Supporting Statement A must accompany each request for approval of a collection of
information. The Supporting Statement must be prepared in the format described below, and must
contain the information specified below. If an item is not applicable, provide a brief explanation. When
the question, “Does this information collection request (ICR) contain surveys, censuses, or employ
statistical methods?” is checked "Yes," then a Supporting Statement B must be completed. The Office
of Management and Budget (OMB) reserves the right to require the submission of additional
information with respect to any request for approval.
Specific Instructions
A. Justification
1. Explain the circumstances that make the collection of information necessary. Identify any legal or
administrative requirements that necessitate the collection.
The Outer Continental Shelf (OCS) Lands Act, as amended (43 U.S.C. 1331 et seq. and 43 U.S.C. 1801
et seq.), authorizes the Secretary of the Interior (Secretary) to prescribe rules and regulations to
administer leasing of the OCS. Such rules and regulations apply to all operations conducted under a
lease. Operations on the OCS must preserve, protect, and develop oil and natural gas resources in a
manner that is consistent with the need to make such resources available to meet the Nation’s energy
needs as rapidly as possible; balance orderly energy resource development with protection of human,
marine, and coastal environments; ensure the public a fair and equitable return on the resources of the
OCS; and preserve and maintain free enterprise competition. Also, the Energy Policy and Conservation
Act of 1975 (EPCA) prohibits certain lease bidding arrangements (42 U.S.C. 6213 (c)).
The Independent Offices Appropriations Act (31 U.S.C. 9701), the Omnibus Appropriations Bill (Pub.
L. 104-133, 110 Stat. 1321, April 26, 1996), and OMB Circular A-25, authorize Federal agencies to
recover the full cost of services that provide special benefits. Under the Department of the Interior's
policy implementing this Act, the Bureau of Ocean Energy Management (BOEM) is required to charge
the full cost for services that provide special benefits or privileges to an identifiable non-Federal
recipient above and beyond those that accrue to the public at large. Instruments of transfer of a lease or
1

interest are subject to cost recovery, and BOEM regulations specify the filing fee for these transfer
applications.
These authorities and responsibilities are among those delegated to BOEM under which we issue
regulations governing oil and gas and sulfur operations in the OCS. This information collection request
(ICR) addresses the regulations at 30 CFR 556, Leasing of Sulfur or Oil and Gas and Bonding
Requirements in the OCS; 30 CFR 550, Subpart J, Pipelines and Pipelines Rights-of-Way; and 30 CFR
560, Outer Continental Shelf Oil and Gas Leasing; and the associated supplementary Notices to Lessees
and Operators (NTLs) intended to provide clarification, description, or explanation of these regulations.
This ICR also concerns the use of forms to process bonds, transfer interest in leases, and file
relinquishments.
2. Indicate how, by whom, and for what purpose the information is to be used. Except for a new
collection, indicate the actual use the agency has made of the information received from the current
collection. Be specific. If this collection is a form or a questionnaire, every question needs to be
justified.
BOEM uses the information required by 30 CFR 556 to determine if applicants are qualified to hold
leases in the OCS. Specifically, BOEM uses the information to:
•

Verify the qualifications of a bidder on an OCS lease sale (see 30 CFR 556.401 and .402). Once
the required information is filed with BOEM, a qualification number is assigned to the bidder so
that duplicate information is not required on subsequent filings. In order to bid on, own, hold, or
operate a lease on the OCS, bidders, record title holders, and operating rights owners must first
obtain a qualification number by showing evidence that they are eligible to do so. Legal
qualification is required and includes demonstrating they are:
o a citizen or a national of the U.S.;
o an alien lawfully admitted for permanent residence in the U.S.;
o a private, public, or municipal corporation organized under the laws of the U.S., any of its
States or territories, or the District of Columbia;
o an association of any of the parties described previously;
o a State, the District of Columbia, or any territory or insular possession subject to U.S.
jurisdiction;
o a political subdivision of a State of the U.S, the District of Columbia, or any territory or
insular possession subject to U.S. jurisdiction; or
o a Trust organized under the laws of any State of the U.S., the District of Columbia, or any
territory or insular possession subject to U.S. jurisdiction.

•

Develop the semiannual List of Restricted Joint Bidders. This identifies parties ineligible to bid
jointly with each other on OCS lease sales, under limitations established by the Energy Policy
and Conservation Act.

•

Ensure the qualification of assignees and track operators on leaseholds. Once a lease is awarded,
the transfer of a lessee’s interest to another qualified party must be approved by a BOEM
Regional Director or Regional Supervisor. Also, a lessee may designate an operator to act on the
lessee’s behalf. This designation must be approved by BOEM before the designated operator
may begin operations.

2

•

Document that a leasehold or geographical subdivision has been surrendered by the record title
holder.

BOEM will use this information to update the corporate database which is used to determine what leases
are available for a lease sale and the ownership of all OCS leases. Non-proprietary information is also
publicly available from the BOEM corporate database via the internet.
BOEM uses the information required by subpart F, G, and H - to track the ownership of leases as to
record title, operating rights, and pipeline right-of-ways.
BOEM also uses various forms relating to this subpart. The forms allow lessees to submit the required
information in a standardized format that helps BOEM process the data in a more timely and efficient
manner.
BOEM provides the same instruction sheet for forms BOEM-0150 and BOEM-0151. It is important for
respondents to follow the instruction sheet guidelines so that they provide all the pertinent information
to BOEM. If all pertinent information is not provided, the assignment may not be approved.
Form BOEM-0150 – Assignment of Record Title Interest in Federal OCS Oil and Gas Lease
Form BOEM-0151 – Assignment of Operating Rights Interest in Federal OCS Oil and Gas Lease
These forms ask the lessee to fill in:
Part A – Assignment
- the lease number
- the lease effective date
- the legal description of land/area being assigned (for Form BOEM-0150) or legal description of
the operating rights assigned (for Form BOEM-0151)
- the company name and number of each assignor and assignee,
- the percentage interest conveyed for each assignor and assignee, and
- the percentage interest received for each assignor and assignee.
Part B – Certification and Acceptance
- the effective date of the assignment,
- the company name and number of each assignor and assignee,
- the name and title of each signatory for each assignor and assignee, and
- the execution date of each signature.
BOEM has a brief statement on each form explaining that once this form is filed, the lessee has executed
their assignment in the lease. BOEM then signs and dates the form if it has been approved.
Under subpart K, Termination of Leases, this information will be used to track the lease status as to
ownership and whether the lease has been relinquished and available for the next lease sale. A company
may relinquish a lease when a company determines that it no longer wishes to hold an interest in same.
Lease ownership and status information are extremely important to the oil and gas industry as they
strategize long-range planning for oil and gas development and the sharing of the expense and liabilities
of OCS offshore drilling and development.

3

Form BOEM-0152 – Relinquishment of Federal OCS Oil and Gas Lease Form
The form asks the respondent for:
- a legal description of the lease/officially designated subdivision being relinquished,
- lease number
- company name and number of each lessee,
- name and title of each signatory for each lessee, and
- execution date of each signature.
BOEM has a brief statement on the form explaining that once this form is filed, the lessee has
relinquished their interest in the lease. When the form has been filed in the appropriate BOEM office, it
will become effective on that date, if it is deemed acceptable.
Form BOEM-2028 – Outer Continental Shelf (OCS) Minerals Lessee’s and Operator’s Bond
The form asks the respondent for:
- the bond number, lease number, bond type, and bond amount,
- the surety company information,
- the principal’s name and address for whom the bond is issued,
- the areas and leases covered by the bond,
- what obligations the surety accepts, and
- principal and surety signature information and witnessed.
Form BOEM 2028A – Outer Continental Shelf (OCS) Mineral Lessee’s and Operator’s Supplemental
Bond
The form asks the respondent for:
- the bond number, lease/RUE/ROW number, bond type, and bond amount,
- the surety company information,
- the principal’s name and address for whom the bond is issued,
- the areas and leases covered by the bond,
- what obligations the surety accepts, and
- principal and surety signature information and witnessed.
BOEM uses these last two forms to hold the surety libel for the obligations and liability of the
principal/lessee or operator.
BOEM uses the information collected under 30 CFR 550, Subpart J, to ensure compliance with Federal
regulations by the surety and ROW holder guaranteeing that funds be made available to complete
existing and future obligations.
Form BOEM-2030 – OCS Pipeline Right-of-Way Grant Bond, consists of either fill in the blanks or
check boxes concerning:
-

information relating to the bond, area, additional security, and amount,
general information relating to the surety,
general information relating to the principal ROW holder/operator of the bond,
area(s) covered by the bond and/or additional security,
obligation requirements, and
4

-

specific signing requirements and supporting information.

Regulations under 30 CFR 560 describe the bidding systems BOEM uses to offer and sell Federal leases
for the exploration, development, and production of oil and gas resources on the OCS. BOEM allows
for submission of financial assurance data electronically, which contributes to streamlining the bonding
process and facilitates a more efficient transfer of data and information.
3. Describe whether, and to what extent, the collection of information involves the use of automated,
electronic, mechanical, or other technological collection techniques or other forms of information
technology, e.g., permitting electronic submission of responses, and the basis for the decision for
adopting this means of collection. Also describe any consideration of using information technology
to reduce burden and specifically how this collection meets GPEA requirements.
The required information is unique to each situation, and BOEM will be phasing in a system in the
future to allow electronic filing of lessee qualification information, lease assignments, and
relinquishments, etc. 30 CFR 560 allows for the eventual electronic submission of all financial
assurance data, which will streamline data submission and reduce burden in the future.
Because of the small number of responses the Pacific Region receives, the Region is currently able to
collect about 85 percent of its information electronically by email. Because the Gulf of Mexico (GOM)
Region receives the majority of responses, we expect that the electronic submission systems will reduce
the burden for future renewals of this collection of information.
4. Describe efforts to identify duplication. Show specifically why any similar information already
available cannot be used or modified for use for the purposes described in Item 2 above.
BOEM manages the federal OCS leasing programs. No similar information pertaining to leasing and
bonding in the OCS is collected by the Department of the Interior, other Federal agencies, States or
state/local agencies. Qualification and application files are maintained in BOEM regional offices to
avoid duplicative information collection from respondents who have already filed evidence of their
qualifications.
5. If the collection of information impacts small businesses or other small entities, describe any
methods used to minimize burden.
This collection of information may have an economic effect on a number of small entities. In general,
companies need large technical and financial resources and experience to conduct offshore activities
safely. Any direct effects primarily impact the OCS lessees and operators. Many of these OCS lessees
and operators have fewer than 500 employees and are considered small businesses as defined by the
Small Business Administration. Regulations require adequate bonding coverage and protection of the
environmental resources; therefore, the hour burden on any small entity subject to these regulations
cannot be reduced to accommodate them, and the potential benefit of obtaining and retaining a lease far
outweighs the burden.
6. Describe the consequence to Federal program or policy activities if the collection is not conducted
or is conducted less frequently, as well as any technical or legal obstacles to reducing burden.
If BOEM did not collect the information, we could not carry out the mandates of the OCS Lands Act
and the Energy Policy and Conservation Act. In the case of information regarding the individual sale
5

proposals, the time lapse between actions is sufficient for circumstances to change and for new data to
become applicable. We request qualification papers only in conjunction with a scheduled sale.
Corporate information must be up-to-date for each action for BOEM to determine the qualification of
bidders. Information is not available to use in lieu of that supplied for each action. Information
pertaining to the initiation of sales is requested annually in the central and western Gulf of Mexico
planning areas and every 2 to 5 years in the other regional planning areas. If BOEM collected the
information less frequently, the OCS leasing program would not be able to adequately provide for the
interests of potential lessees and of other users of the OCS.
7. Explain any special circumstances that would cause an information collection to be conducted in
a manner:
(a) requiring respondents to report information to the agency more often than quarterly;
Not applicable in this collection.
(b) requiring respondents to prepare a written response to a collection of information in fewer
than 30 days after receipt of it;
Section 556.516 requires bidders to respond within 15 days of BOEM’s notification of tie bids to either
agree to accept the lease jointly or determine the lessee. Section 556.520(c) requires the return of an
executed lease, bond, and forms within 11 days of receipt of the lease document. BOEM needs this
information within these timeframes to ensure the lease is properly awarded or, if not, to award the lease
to the next higher bidder, while the bid deposits are still being held by BOEM.
(c) requiring respondents to submit more than an original and two copies of any document;
Sections 556.701; 706-708; 801-804; and 1101 require 2-3 originals when transferring rights of lease
interest because each contracting party and the agent involved in a legal transaction require an original
of the transaction.
(d) requiring respondents to retain records, other than health, medical, government contract,
grant-in-aid, or tax records, for more than 3 years;
Not applicable in this collection.
(e) in connection with a statistical survey, that is not designed to produce valid and reliable results
that can be generalized to the universe of study;
Not applicable in this collection.
(f) requiring the use of statistical data classification that has been reviewed and approved by
OMB;
Not applicable in this collection.
(g) that includes a pledge of confidentiality that is not supported by authority established in statute
or regulation, that is not supported by disclosure and data security policies that are consistent with the
pledge, or which unnecessarily impedes sharing of data with other agencies for compatible
confidential use; or
This collection does not include a pledge of confidentiality not supported by statute or regulation.
(h) requiring respondents to submit proprietary trade secrets, or other confidential information,
unless the agency can demonstrate that it has instituted procedures to protect the information’s
confidentiality to the extent permitted by law.
6

This collection does not require proprietary, trade secret, or other confidential information not protected
by agency procedures.
8. If applicable, provide a copy and identify the date and page number of publication in the Federal
Register of the agency’s notice, required by 5 CFR 1320.8(d), soliciting comments on the information
collection prior to submission to OMB. Summarize public comments received in response to that
notice and in response to the PRA statement associated with the collection over the past 3 years and
describe actions taken by the agency in response to these comments. Specifically address comments
received on cost and hour burden.
Describe efforts to consult with persons outside the agency to obtain their views on the availability of
data, frequency of collection, the clarity of instructions and recordkeeping, disclosure, or reporting
format (if any), and on the data elements to be recorded, disclosed, or reported.
Consultation with representatives of those from whom information is to be obtained or those who
must compile records should occur at least once every 3 years – even if the collection of information
activity is the same as in prior periods. There may be circumstances that may preclude consultation in
a specific situation. These circumstances should be explained.
As required in 5 CFR 1320.8(d), BOEM published a 60-day review and comment notice in the
Federal Register on April 1, 2019 (84 FR 12277). Also, 30 CFR 556.104 and the Paperwork Reduction
Act statement on BOEM forms explain that BOEM will accept comments at any time on the information
collection requirements and burdens. We display the OMB control numbers and provide the address for
sending comments to BOEM. No comments were received by BOEM.
During the comment period, BOEM regional offices consulted with the following respondents to
verify the accuracy of our burden estimates, along with obtaining their views on the availability of data,
frequency of collection; the clarity of instructions; the recordkeeping, disclosure, and reporting formats.
DCOR, LLC
Manager
290 Maple Court, Suite 290
Ventura, CA 93003
Cantium LLC
Chief Financial Officer
111 Park Place, Suite 100
Covington, LA 70433
GulfSlope Energy, Inc.
Vice President - Land
2500 CityWest Blvd., Suite 760
Houston, TX 77042
The respondents understand the importance of the leasing regulations, and did not have any specific
issues or changes for BOEM to address regarding this information collection revision. No changes were
made based on outreach efforts.
9. Explain any decision to provide any payment or gift to respondents, other than remuneration of
7

contractors or grantees.
BOEM does not provide payments or gifts to respondents.
10. Describe any assurance of confidentiality provided to respondents and the basis for the assurance
in statute, regulation, or agency policy.
BOEM will protect specific individual responses from disclosure as proprietary information according to
section 26 of the OCS Lands Act; the Freedom of Information Act (5 U.S.C. 552) and it’s implementing
regulations (43 CFR part 2); 30 CFR 556.100(b); 30 CFR 560; and § 550.197, Data and information to
be made available to the public or for limited inspection.
11. Provide additional justification for any questions of a sensitive nature, such as sexual behavior
and attitudes, religious beliefs, and other matters that are commonly considered private. This
justification should include the reasons why the agency considers the questions necessary, the
specific uses to be made of the information, the explanation to be given to persons from whom the
information is requested, and any steps to be taken to obtain their consent.
The collection does not include questions of a sensitive nature.
12. Provide estimates of the hour burden of the collection of information. The statement should:
(a) Indicate the number of respondents, frequency of response, annual hour burden, and an
explanation of how the burden was estimated. Unless directed to do so, agencies should not conduct
special surveys to obtain information on which to base hour burden estimates. Consultation with a
sample (fewer than 10) of potential respondents is desirable. If the hour burden on respondents is
expected to vary widely because of differences in activity, size, or complexity, show the range of
estimated hour burden, and explain the reasons for the variance. Generally, estimates should not
include burden hours for customary and usual business practices.
(b) If this request for approval covers more than one form, provide separate hour burden
estimates for each form and aggregate the hour burdens.
BOEM estimates that potential respondents comprise Federal oil and gas or sulfur lessees and/or
operators. It should be noted that not all of the potential respondents will submit information in any
given year and some may submit multiple times. The frequency of response is mostly on occasion. We
estimate the total annual burden is 19,054 hours based on previous discussions with respondents. Refer
to the chart below for a breakdown of the burden.
BURDEN BREAKDOWN

30 CFR
part 550
Subpart J
550.1011(a)

Reporting Requirement*
Provide surety bond (Form BOEM-2030) and required
information.

Average No. of Annual
Annual
Burden
Responses
Hours
Non-Hour Cost Burdens

Hour
Burden

GOM
0.25
Pacific 3.5
30 CFR 550, Subpart J, TOTAL

8

52

13

3
55 Responses

11
24 Hours

30 CFR
part 556
and NTLs

Reporting Requirement*

Average No. of Annual
Annual
Burden
Responses
Hours
Non-Hour Cost Burdens

Hour
Burden

Subpart A
104(b)
106

107

107

Submit confidentiality agreement.
Cost recovery/service fees; confirmation receipt.

Submit required documentation electronically through
BOEM-approved system; comply with filing
specifications, as directed by notice in the Federal Register
in accordance with 560.500.
File seals, documents, statements, signatures, etc., to
establish legal status of all future submissions (paper
and/or electronic).

0.25
500
Cost recovery/service fees and
associated documentation are
covered under individual reqts.
throughout part.
Burden covered in 560.500.

125
0

0

10 min.

400

67

Subtotal

900

192

Subpart B
201-204

202-204

Submit nominations, suggestions, comments, and
information in response to Request for
Information/Comments, draft and/or proposed 5-year
leasing program, etc., including information from
States/local governments, Federal agencies, industry, and
others.
Submit nominations & specific information requested in
draft proposed 5-year leasing program, from States/local
governments.

Not considered IC as defined in
5 CFR 1320.3(h)(4).

4
Subtotal

0

69

276

69

276

Subpart C
301; 302

302(d)
305; 306

Submit response & specific information requested in
Requests for Industry Interest and Calls for Information
and Nominations, etc., on areas proposed for leasing;
including information from States/local governments.
Request summary of interest (nonproprietary information)
for Calls for Information/Requests for Interest, etc.
States or local governments submit comments,
recommendations, other responses on size, timing, or
location of proposed lease sale. Request extension; enter
agreement.

Not considered IC as defined in
5 CFR 1320.3(h)(4).

0

1

5

5

4

25

100

30

105

107

214

Subtotal
Subpart D
400-402; 405

403(c)
403; 404

405

Establish file for qualification; submit
evidence/certification for lessee/bidder qualifications.
Provide updates; obtain BOEM approval & qualification
number.
Request hearing on disqualification.
Notify BOEM if you or your principals are excluded,
disqualified, or convicted of a crime—Federal nonprocurement debarment and suspension requirements;
request exception; enter transaction.
Notify BOEM of all mergers, name changes, or change of
business.

9

2

Requirement not considered IC
under 5 CFR 1320.3(h)(9).
1.5

50

Requirement not considered IC
under 5 CFR 1320.3(h)(1).
Subtotal
157

0

75

0
289

Subpart E
500; 501

500(e); 517

Submit bids, deposits, and required information, including
GDIS & maps; in manner specified. Make data available
to BOEM.
Request reconsideration of bid decision.

501(e)

Apply for reimbursement.

511(b); 517

Submit appeal of listing on restricted joint bidders list;
appeal bid decision.
File statement and detailed report of production. Make
documents available to BOEM.
Request exemption from bidding restrictions; submit
appropriate information.
File agreement on determination of lessee following
BOEM’s notice of tie bid.
Execute lease (includes submission of evidence of
authorized agent/completion and request effective date of
lease); submit required data and rental.
Provide acceptable bond for payment of a deferred bonus.

513; 514
515
516
520; 521;
600(c)
520(b)

5

2,000

Requirement not considered IC
under 5 CFR 1320.3(h)(9).
Burden covered in 1010-0048,
30 CFR 551.
Requirement not considered IC
under 5 CFR 1320.3(h)(9).
2

701(c);
716(b);
801(b); 810(b)
700-716

715(a); 808(a)
715(b); 808(b)

800-810

0
0
0

100

200

Requirement not considered IC
under 5 CFR 1320.3(h)(9).
3.5

2

1

852

0.25

1

Subtotal
Subpart F, G,
H

10,000

0
7
852
1

2,955

11,060

Subparts F, G, H
References to requests of approval for various operations or submit plans or applications.
Burden included with other approved collections for BOEM 30 CFR 550 (Subpart A 10100114; Subpart B 1010-0151) and for BSEE 30 CFR 250 (Subpart A 1014-0022; Subpart D
1014-0018).
Submit new designation of operator (Form BOEM-1123).
Burden covered in 1010-0114.
File application and required information for
assignment/transfer of record title/lease interest (Form
BOEM-0150) (includes sale, sublease, segregation
exchange, transfer); request effective date/confidentiality;
provide notifications.
File required instruments creating or transferring working
interests, etc., for record purposes.
Submit “non-required” documents, for record purposes that
respondents want BOEM to file with the lease document.
(Accepted on behalf of lessees as a service; BOEM does
not require nor need them.)
File application and required information for
assignment/transfer of operating interest (Form BOEM0151) (includes sale, sublease, segregation exchange,
severance, transfer); request effective date; provide
notifications.

1

0

1,414

1,414

$198 fee x 1,414 forms = $279,972
1

2,369

2,369

$29 fee x 2,369 filings = $68,701
$29 fee x 11,518 filings = $334,022

1

421

421

$198 fee x 421 forms = $83,358
4,204
Subtotal
$766,053

10

0

4,204

Subpart I
900(a)-(e); 901;
902; 903(a)
900(c), (d), (f),
(g); 901(c), (d),
(f); 902(e)

900(e); 901; 902;
903(a)
900(f), (g)
901
901(f)
903(b)

904

905

905(d)(3); 906

907(c)(2)

Submit OCS Mineral Lessee’s and Operator’s Bond
(Form BOEM-2028); execute bond.
Demonstrate financial worth/ability to carry out present
and future financial obligations, request approval of
another form of security, or request reduction in
amount of supplemental bond required on BOEMapproved forms. Monitor and submit required
information.
Submit OCS Mineral Lessee’s and Operator’s
Supplemental Plugging & Abandonment Bond (Form
BOEM-2028A); execute bond.
Submit authority for Regional Director to sell Treasury
or alternate type of securities.
Submit EP, DPP, DOCDs.
Submit oral/written comment on adjusted bond amount
and information.
Notify BOEM of any lapse in bond coverage/action
filed alleging lessee, surety, or guarantor is insolvent or
bankrupt.
Provide plan/instructions to fund lease-specific
abandonment account and related information; request
approval to withdraw funds.
Provide third-party guarantee, indemnity agreement,
financial and required information, related notices,
reports, and annual update; notify BOEM if guarantor
becomes unqualified.
Provide notice of and request approval to terminate
period of liability, cancel bond, or other security;
provide required information.
Provide information to demonstrate lease will be
brought into compliance.

0.33

135

45

3.5

166

581

0.25

141

35

2

12

24

IC burden covered in 10100151, 30 CFR 550, Subpart B.
Requirement not considered IC
under 5 CFR 1320.3(h)(9).
1
4

0
0
4

12

2

24

19

46

874

0.5

378

189

16

5

80

Subtotal

889

1,856

247

247

Subpart K
1101
1102
1102(c)

Request relinquishment (Form BOEM-0152) of lease;
submit required information.
Request additional time to bring lease into compliance.
Comment on cancellation.

1

1
1
Requirement not considered IC
under 5 CFR 1320.3(h)(9).
248
Subtotal

11

0
248

18,230
Hours
$766,053 Non-Hour Cost
Burdens

9,452 Responses
30 CFR 556 TOTAL

1

30 CFR 560
560.224(a)

Hour
Burden

Reporting Requirement*

Average No. of
Annual
Responses

Request BOEM to reconsider field assignment of a
Requirement not considered IC
under under 5 CFR 1320.3(h)(9)
lease.
Submit required documentation electronically through
BOEM-approved system; comply with filing
1
800
specifications, as directed by notice in the Federal
Register (e.g., bonding info.).
30 CFR 560 TOTAL
800 Responses

560.500

TOTAL REPORTING FOR COLLECTION

Annual
Burden
Hours
0

800

800
Hours
10,307
19,054
Responses
Hours
$766,053 Non-Hour Cost
Burdens

*In the future, BOEM may require electronic filing of certain submissions.

(c) Provide estimates of annualized cost to respondents for the hour burdens for collections of
information, identifying and using appropriate wage rate categories. The cost of contracting out or
paying outside parties for information collection activities should not be included here. Instead, this
cost should be included under “annual cost to the Federal Government.”
Due to the fact that many of the requirements submitted to BOEM require a company’s President, Vice
President, etc., signatures along with witnesses for surety guarantees, we have added in, based on our
experience of industry’s salary for company Presidents, $125 per hour for this IC.
Therefore, the average respondent cost is $82/hour (rounded). This cost is broken out in the below table
using the Bureau of Labor Statistics data for the Houston, TX area; plus, the hourly pay rate obtained
directly from the respondents. See BLS website: https://www.bls.gov/oes/current/oes_26420.htm.
Position

Hourly Pay rate
($/hour *
estimate/rounded)

Hourly rate including
benefits (1.4** x
$/hour/rounded)

Percent of time
spent on
collection

Administrative (43-6011)
$30
$42
5%
Risk Analyst***
$45
$63
30%
Lease Analyst***
$59
$83
50%
Land/Risk Manager***
$70
$98
10%
President/Vice President
$125
$175
5%
Weighted Average ($/hour)
* Note that this BLS source reflects their last update from May 2018.
** A multiplier of 1.4 (as implied by BLS news release USDL 19-0449, March 19, 2019. See
http://www.blsews.release/ecec.nr0.htm)) was added for benefits.
*** Hourly pay rate/title obtained directly from respondents.

Weighted
Average
($/hour)

$2
$19
$42
$10
$9
$82

Based on a cost factor of $82 per hour, we estimate the total annual cost to industry is $1,562,428 ($82 x
19,054 hours = $1,562,428.
13. Provide an estimate of the total annual non-hour cost burden to respondents or recordkeepers
resulting from the collection of information. (Do not include the cost of any hour burden already
reflected in Item 12).

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(a) The cost estimate should be split into two components: (1) a total capital and start-up cost
component (annualized over its expected useful life) and (2) a total operation and maintenance and
purchase of services component. The estimates should take into account costs associated with
generating, maintaining, and disclosing or providing the information (including filing fees paid for
form processing). Include descriptions of methods used to estimate major cost factors including
system and technology acquisition, expected useful life of capital equipment, the discount rate(s), and
the time period over which costs will be incurred. Capital and start-up costs include, among other
items, preparations for collecting information such as purchasing computers and software;
monitoring, sampling, drilling and testing equipment; and record storage facilities.
(b) If cost estimates are expected to vary widely, agencies should present ranges of cost burden
and explain the reasons for the variance. The cost of purchasing or contracting out information
collection services should be a part of this cost burden estimate. In developing cost burden estimates,
agencies may consult with a sample of respondents (fewer than 10), utilize the 60-day pre-OMB
submission public comment process and use existing economic or regulatory impact analysis
associated with the rulemaking containing the information collection, as appropriate.
(c) Generally, estimates should not include purchases of equipment or services, or portions
thereof, made: (1) prior to October 1, 1995, (2) to achieve regulatory compliance with requirements
not associated with the information collection, (3) for reasons other than to provide information or
keep records for the government, or (4) as part of customary and usual business or private practices.
Sections 556.701; 715(b); and 801(b) require respondents to pay service fees when submitting a request
for assignment of record title interest, assignment of operating rights interest, and to file non-required
documents for record purposes. The service fees are required to recover the Federal Government's
processing costs. The filing fee (§§ 556.715(a); 556.808(a)) for non-required documents (for record
purposes) is $29. This fee is adjusted for inflation; as have all the service fees effective February 2,
2013 (78 FR 5836, 1/28/13). We have not identified any other non-hour cost burdens associated with
this collection of information, and we estimate a total reporting non-hour cost burden of $766,053.
Refer to the table in Section A.12 of this supporting statement for the specific fee breakdown. Note that
fees are subject to modifications annually per inflation.
14. Provide estimates of annualized cost to the Federal Government. Also, provide a description of
the method used to estimate cost, which should include quantification of hours, operational expenses
(such as equipment, overhead, printing, and support staff), and any other expense that would not
have been incurred without this collection of information.
The average government cost is $87/hour. This cost is broken out in the below table using the current
Office of Personnel Management salary data for the REST OF THE UNITED STATES area. To
analyze and review the information respondents submit, we estimate the Government will spend an
average of approximately 1.4 hours for each hour spent by respondents. The total estimated
Government time is 26,676 hours (rounded) (1.4 x 19,054 = 26,676).
Position

Grade

Hourly Pay rate
($/hour
estimate/rounded)

Hourly rate including
benefits (1.6* x
$/hour/rounded)

Percent of
time spent
on collection

Weighted
Average
($/hour)

Contact Representative
Adjudication Asst(s)

GS-6/5
GS-7/5

$21
$23

$34
$37

10%
20%

$3
$7

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Program Specialist
GS-12/5
$41
$66
5%
Mineral Leasing Asst(s)
GS-9/5
$28
$45
20%
Land Law Examiner(s)
GS-11/5
$34
$54
40%
Leasing/Regulatory
GS-13/5
$48
$77
50%
Specialists
Supervisor
GS-13/5
$48
$77
5%
Weighted Average ($/hour)
*A multiplier of 1.6 (as implied by BLS news release USDL 19-0449, March 19, 2019, see
http://www.bls.gov/news.release/ecec.nr0.htm)) was added for benefits

$3
$9
$22
$39
$4
$87

Based on a cost factor of $87 per hour, the cost to the Government is $2,320,812 ($87 x 26,676 hours).
15. Explain the reasons for any program changes or adjustments in hour or cost burden.
The current OMB inventory includes 19,454 annual burden hours for the related collection of
information. We expect the burden estimate for the renewal will be 19,054 hours, which reflects a
decrease of 400 hour burdens. A reduction of 80 hours is related to respondents’ submission of
designation of operator form (BOEM-1123); this burden is now captured in OMB control number 10100114. This was specified in the 2016 Final Rulemaking (1010-AD06).
The remaining reduction of 320 hours is for activities within 30 CFR part 556, subpart C that are not
considered information collection activities under 5 CFR 1320.3(h)(4), but were previously counted as
information collection activities.
16. For collections of information whose results will be published, outline plans for tabulation and
publication. Address any complex analytical techniques that will be used. Provide the time schedule
for the entire project, including beginning and ending dates of the collection of information,
completion of report, publication dates, and other actions.
BOEM will not tabulate or publish the data.
17. If seeking approval to not display the expiration date for OMB approval of the information
collection, explain the reasons that display would be inappropriate.
We will display the OMB control number and expiration date on the forms and other appropriate
material.
18. Explain each exception to the topics of the certification statement identified in, “Certification for
Paperwork Reduction Act Submission.”
To the extent that the topics apply to this collection of information, we are not making any exceptions to
the “Certification for Paperwork Reduction Act Submissions.”

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