Respondents provide MMS with
information that lets MMS decide whether the granting of a royalty
relief request will result in the ultimate production of resources
that would not be produced without relief. The application must
contain sufficient financial, economic, reservoir, geologic and
geophysical, production and engineering information to determine
whether the decision to grant relief will result in ultimate
increase in resource recovery, augment receipts to the Federal
Treasury, and provide for reasonable returns on project
investments.
We are requesting a program
change as follows: Originally, this IC had 70 hours associated with
203.48(b) that, due to rulemaking (70 FR 22250 OMB approved IC
1010-0153) was then consolidated into 1010-0071 Notify MMS of
decision to exercise option to replace one set of deep gas royalty
suspension terms for another set of such terms. This requirement is
no longer applicable since the deadline was as of 9/1/2004;
therefore, we are no longer carrying the 70 hours associated with
that requirement (-70 hours). We are requesting adjustments as
follows: (a) The currently approved burden is 8,911 hours. This
submission requests 4,721 burden hours, representing an adjustment
decrease of 4,120 hours resulting from re-estimating the annual
number of applications/responses (we are receiving far fewer
applications than originally expected). Therefore we are requesting
a net decrease of 4,190 hours (8,911 current OMB inventory 4,721
hours requested (70 program change) = -4,120 hour adjustment).
(b) The currently approved cost burden is $414,000. This submission
requests $280,670 rounded to $281,000, representing an adjustment
decrease of $133,000 resulting from re-estimating the annual number
of applications/responses (we are receiving far fewer applications
than originally expected) and associated costs (application/audit
fees and CPA certification reports). Based on recent and expected
oil and gas prices, we foresee less need for and use of the royalty
relief program over the next several years.
On behalf of this Federal agency, I certify that
the collection of information encompassed by this request complies
with 5 CFR 1320.9 and the related provisions of 5 CFR
1320.8(b)(3).
The following is a summary of the topics, regarding
the proposed collection of information, that the certification
covers:
(i) Why the information is being collected;
(ii) Use of information;
(iii) Burden estimate;
(iv) Nature of response (voluntary, required for a
benefit, or mandatory);
(v) Nature and extent of confidentiality; and
(vi) Need to display currently valid OMB control
number;
If you are unable to certify compliance with any of
these provisions, identify the item by leaving the box unchecked
and explain the reason in the Supporting Statement.