The proposed rule would impose new fees to process certain plans, applications, and permits. The proposed service fees would offset MMS's costs of processing these plans, applications, and permits. MMS anticipates that the proposed new fees would result in $16.5 million in cost recovery for the agency.
The cost recovery fees MMS is addressing in this proposed rule are for different activities than were addressed in the recent cost recovery rule issued on August 25, 2005.
On March 25, 2005, MMS published an Advance Notice of Proposed Rulemaking (ANPR) in the Federal Register seeking comment on the recovery of costs related to the regulation of oil and gas activities on the OCS. The MMS considered the comments received while developing the proposed rule issued today.
The plans and permits identified for potential fees in this proposed rule include:
Specific fees suggested for these activities can be found in the proposed rule. Revenues collected under today's proposed rule would be used by MMS to recover the actual costs of these activities, which are critical for oil and gas exploration and development, and for protecting the environment and promoting safety in the OCS.
Comments on the proposed rule are due by January 13, 2006.
Federal agencies are authorized to recover costs of providing services to non-federal entities, such as industry, through provisions in the Independent Offices Appropriations Act of 1952 (IOAA) 31 USC 9701.
Comments on the proposed new cost recovery fees related to the regulation of oil and gas activities should be identified with RIN 101-AD23 and may be submitted electronically through the Federal e-Rulemaking Portal at http://www.regulations.gov, by email at firstname.lastname@example.org, or by fax at 703-787-1546.
Important specific instructions for submitting comments, as well as alternate methods of commenting, are explained in detail in the proposed rule.
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