Notice of Intent To Conduct a Review of the Federal Coal Leasing Program and To Seek Public Comment, 46873-46877 [2021-17827]
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Federal Register / Vol. 86, No. 159 / Friday, August 20, 2021 / Notices
the access point of the Laughlin race
area and surrounding areas.
FOR FURTHER INFORMATION CONTACT:
Jenna Giddens, Outdoor Recreation
Planner, 702–515–5156, or jgiddens@
blm.gov. Persons who use a
telecommunications device for the deaf
(TDD) may call the Federal Relay
Service (FRS) at 1–800–877–8339 to
contact the above individual during
normal business hours. The FRS is
available 24 hours a day, 7 days a week,
to leave a message or question with the
above individual. You will receive a
reply during normal business hours.
SUPPLEMENTARY INFORMATION: The Las
Vegas Field Office announces the
temporary closures of certain public
lands under its administration. This
action is being taken to help ensure
public safety during the official
permitted running of the 2021 UTV
Legends Championship, 2021 Laughlin
Desert Classic, and 2021 SNORE
Laughlin Off-Highway Vehicle Races.
The public lands affected by this closure
are described as follows:
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Mount Diablo Meridian, Nevada
T. 32 S., R. 66 E.,
Sec. 8, lots 2 thru 33;
Sec. 9;
Sec. 10, S1⁄2NE1⁄4, S1⁄2NW1⁄4, and S1⁄2;
Sec. 11, S1⁄2NE1⁄4, S1⁄2NW1⁄4, and S1⁄2;
Sec. 14;
Sec. 15, E1⁄2;
Sec. 16, N1⁄2, SW1⁄4, and N1⁄2SE1⁄4;
Sec. 17, lots 1 thru 8, lots 21 thru 25, and
lots 30 thru 44.
The area described contains 4521.97 acres,
according to the official plats of the surveys
of the said lands on file with the BLM.
The temporary closures will be posted
to roads leading into the public lands to
notify the public of the closures for
these events. The closures area includes
State Route 163 to the north, T. 32 S.,
R. 66 E sections 8 and 17 to the west;
private and State land in T. 32 S., R. 6
6E sections 20, 21, 22, and 23; and is
bracketed by Bruce Woodbury Drive to
the south and southwest and Thomas
Edison Drive to the east. Under the
authority of Section 303(a) of the
Federal Land Policy and Management
Act of 1976 (43 U.S.C. 733(a)), 43 CFR
8360.0–7 and 43 CFR 8364.1), the BLM
will enforce the following rules in the
area described above:
The entire area as listed in the legal
description above is closed to all
vehicles and personnel except law
enforcement, emergency vehicles, event
personnel, event participants and
spectators. Access routes leading to the
closed area are closed to vehicles. No
vehicle stopping or parking in the
closed area except for designated
parking areas will be permitted. Event
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participants and spectators are required
to remain within designated areas only.
The following restrictions will be in
effect for the duration of the closure to
ensure public safety of participants and
spectators. Unless otherwise authorized,
the following activities within the
closure area are prohibited:
• Camping;
• Possession and/or consuming any
alcoholic beverage unless the person has
reached the age of 21 years;
• Discharging or use of firearms, other
weapons;
• Possession and/or discharging of
fireworks;
• Allowing any pet or other animal in
one’s care to be unrestrained at any
time. Animals must be on a leash or
other restraint no longer than 3 feet;
• Operation of any vehicle which is
not legally registered for street and
highway operation (e.g., All Terrain
Vehicles (ATV), motorcycles, Utility
Terrain Vehicles (UTV), golf carts, and
any off-highway vehicle (OHV),
including operation of such a vehicle in
spectator viewing areas);
• Parking any vehicle in violation of
posted restrictions, or in such a manner
as to obstruct or impede normal or
emergency traffic movement or the
parking of other vehicles, create a safety
hazard, or endanger any person,
property, or feature. Vehicles so parked
are subject to citation, removal, and
impoundment at the owner’s expense;
• Operating a vehicle through, around
or beyond a restrictive sign,
recognizable barricade, fence, or traffic
control barrier or device;
• Failing to maintain control of a
vehicle to avoid danger to persons,
property, or wildlife; and
• Operating a motor vehicle without
due care or at a speed greater than 25
mph.
Signs and maps directing the public
to designated spectator areas will be
provided by the event sponsor.
Exceptions: Temporary closure
restrictions do not apply to activities
conducted under contract with the
BLM, agency personnel monitoring the
event, or activities conducted under an
approved plan of operation. Authorized
users must have in their possession a
written permit or contract from the
BLM, signed by the authorized officer.
Enforcement: Any person who
violates this temporary closure may be
tried before a United States Magistrate
and fined in accordance with 18 U.S.C.
3571, imprisoned no more than 12
months under 43 U.S.C. 1733(a) and 43
CFR 8360.0–7, or both. In accordance
with 43 CFR 8365.1–7, State or local
officials may also impose penalties for
violations of Nevada law.
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(Authority: 43 CFR 8360.0–7 and 8364.1)
Shonna Dooman,
Field Manager—Las Vegas Field Office.
[FR Doc. 2021–17897 Filed 8–19–21; 8:45 am]
BILLING CODE 4310–HC–P
DEPARTMENT OF THE INTERIOR
Bureau of Land Management
[21X.LLHQ320000.L13200000.PP0000]
Notice of Intent To Conduct a Review
of the Federal Coal Leasing Program
and To Seek Public Comment
Bureau of Land Management,
Interior.
ACTION: Notice of intent.
AGENCY:
The Bureau of Land
Management (BLM), Headquarters
Office seeks public comment on the
Federal coal program in advance of the
BLM’s intended review of that program.
The Department of the Interior (DOI)
also intends to conduct government-togovernment consultation with affected
Indian tribes about the Federal coal
leasing program and to consider the
potential environmental, social, and
cultural impacts of the coal program on
indigenous communities and their lands
during this review.
This notice solicits public comments
for consideration in establishing the
scope and content of the BLM’s review
of the Federal coal leasing program.
DATES: The BLM invites interested
agencies, States, American Indian tribes,
local governments, industry,
organizations, and members of the
public to submit comments or
suggestions to assist in identifying
significant issues that the BLM should
consider in its review of the Federal
coal program.
The BLM will consider all written
comments received or postmarked
during the public comment period
which will close on September 20, 2021.
ADDRESSES: You may submit written
comments by the following methods:
• Email: BLM_HQ_320_
CoalProgramReview@blm.gov. This is
the preferred method of commenting.
• Mail, personal, or messenger
delivery: National Coal Program Review,
In care of: Thomas Huebner, BLM
Wyoming State Office, 5353
Yellowstone Rd., Cheyenne, WY 82009.
FOR FURTHER INFORMATION CONTACT:
Lindsey Curnutt, Chief, Division of
Solid Minerals, email: lcurnutt@
blm.gov, telephone: 480–708–7339.
Persons who use a telecommunications
device for the deaf (TDD) may call the
Federal Relay Service at 1–800–877–
SUMMARY:
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Federal Register / Vol. 86, No. 159 / Friday, August 20, 2021 / Notices
8339 to contact Ms. Curnutt. This
service is available 24 hours a day, 7
days a week, to leave a message or
question. You will receive a reply
during normal business hours.
SUPPLEMENTARY INFORMATION: On
January 15, 2016, Secretary of the
Interior S.M.R. Jewell issued Order No.
3338 (Jewell Order), directing the BLM
to conduct a broad, programmatic
review of its Federal coal program
through preparation of a Programmatic
Environmental Impact Statement (PEIS)
under the National Environmental
Policy Act (NEPA). 42 U.S.C. 4321 et
seq. The Jewell Order was issued in
response to a range of concerns
regarding the Federal coal program,
including, in particular, concerns as to
whether American taxpayers are
receiving a fair return from the
development of these publicly owned
resources; concerns about fluctuating
market conditions and attendant
consequences for coal-dependent
communities; and concerns about
whether the leasing and production of
large quantities of coal under the
Federal coal program is consistent with
the Nation’s goals to reduce greenhouse
gas emissions to mitigate climate
change. The Jewell Order directed a
pause on the issuance of new Federal
leases for thermal (steam) coal, subject
to certain enumerated exclusions, until
completion of the PEIS.
On March 29, 2017, former Secretary
Zinke issued Secretary’s Order No. 3348
(Zinke Order) entitled, ‘‘Concerning the
Federal Coal Moratorium.’’ The Zinke
Order rescinded the Jewell Order, lifted
the coal leasing pause, and halted
preparation of the PEIS. On April 16,
2021, Secretary Haaland issued
Secretary’s Order 3398, which rescinded
the Zinke Order (Haaland Order). While
the Haaland Order did not reinstitute
the Jewell Order, it directed the
Department to ‘‘review and revise as
necessary all policies and instructions
that implemented’’ the revoked
Secretary’s Orders. This Federal
Register Notice is intended to further
the goals of the Haaland Order by
beginning a new review of the Federal
coal leasing program. The BLM has not
approved a new coal lease sale since the
Biden Administration took office.
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Background
A. Overview of Federal Coal Program
Under the Mineral Leasing Act of
1920 (MLA), as amended, 30 U.S.C. 181
et seq., and the Mineral Leasing Act for
Acquired Lands of 1947 (MLAAL), as
amended, 30 U.S.C. 351 et seq., the BLM
is responsible for the leasing of Federal
coal and regulation of the development
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of that coal on the approximately 700
million acres of mineral estate that is
owned by the Federal Government. This
responsibility includes Federal mineral
rights on Federal lands and Federal
mineral rights located under surface
lands with non-Federal ownership.
Other Departmental bureaus,
particularly the Office of Surface Mining
Reclamation and Enforcement (OSMRE)
and the Office of Natural Resources
Revenue (ONRR), also take actions
related to coal mining on Federal lands.
The OSMRE, and States that have
obtained regulatory primacy under the
Surface Mining Control and
Reclamation Act of 1977 (SMCRA),
permit coal mining and reclamation
activities, and monitor reclamation and
reclamation bonding actions. The ONRR
collects and audits all payments
required under a Federal lease,
including bonus bids, royalties, and
rental payments, and distributes those
funds, pursuant to statute, between the
U.S. Treasury and the States where the
coal resources are located, 30 U.S.C.
191(a).
2. Federal Coal Program
In recent years and on average,
approximately 42 percent of the
Nation’s annual coal production came
from Federal lands. Federal coal
produced from the Powder River Basin
in Montana and Wyoming accounts for
over 85 percent of all Federal coal
production.
As of Fiscal Year 2020, the BLM
administered 287 coal leases, covering
437,039 acres in 11 States, with an
estimated 7 billion tons of recoverable
Federal coal. Over the last decade
(2011–2020), the BLM sold 17 coal
leases and managed leases that
produced approximately 3.7 billion tons
of coal and resulted in $9.2 billion in
revenue collections by the United
States.
The U.S. Energy Information
Administration (EIA) estimates total
U.S. coal production in 2020 was about
534 million short tons (MMst), 24
percent lower than in 2019.1 EIA
estimates that U.S. total annual coal
imports reached a record high of about
36 million short tons in 2007. In 2020,
the United States imported about 5
MMst of coal, which was equal to about
1 percent of U.S. coal consumption in
2020.2
The current BLM coal leasing program
includes land use planning, the
processing of applications (e.g.,
applications for exploration licenses
and lease sales), estimation of the value
of proposed leases, lease sales, and postleasing actions (e.g., production
verification, lease and production
inspection and enforcement, royalty
reductions, and bond review).
The Federal Government receives
revenue from coal leasing in three ways:
(1) A bonus that is paid at the time the
BLM issues a lease; (2) Rental fees; and
(3) Production royalties. The royalty
rates are set by regulation at a fixed 8
percent for underground mines and not
less than 12.5 percent for surface mines.
For coal leases outside of Alaska,
Treasury pays approximately 50 percent
of receipts to the State where the leased
lands are located, 30 U.S.C. 191(a). For
leases and mineral deposits in Alaska,
Treasury pays 90 percent of the receipts
to the State, 30 U.S.C. 191(a).3 Federal
coal development provides coal
producing states like Wyoming,
Montana, Utah, and Colorado with
significant income and other economic
benefits.
The BLM’s planning process for
Resource Management Plans, supported
by environmental analysis under NEPA,
identifies areas that are potentially
available to be considered for coal
leasing. The planning process considers,
among other things, the impacts of a
‘‘reasonably foreseeable development
scenario,’’ but it does not directly
authorize any coal leasing or determine
which coal will be leased.
The Federal Coal Leasing
Amendments Act of 1976 (FCLAA),
which amended Section 2 of the
Mineral Leasing Act of 1920, requires
that, with limited exceptions, Federal
lands available for coal leasing be sold
by competitive bid, with the BLM
receiving fair market value for the lease.
While multiple bids are not required, all
successful bids must equal or exceed the
estimated pre-sale fair market value for
the lease, as calculated by the BLM.
Competitive leasing is not required for:
(1) Preference right lease applications
for owners of pre-FCLAA prospecting
permits; and (2) Modifications of
existing leases, where Congress has
authorized the Secretary to allow up to
960 acres (increased from 160 acres by
the Energy Policy Act of 2005) of
1 U.S. EIA, Coal Data (August 4, 2021) (https://
www.eia.gov/coal/data/browser/).
2 U.S. EIA, Coal Data (July 20, 2021) (https://
www.eia.gov/energyexplained/coal/imports-andexports.php).
3 Payments to the States are ‘‘reduced by 2
percent for any administrative or other costs
incurred by the United States,’’ and ‘‘the amount of
such reduction shall be deposited to miscellaneous
receipts of the Treasury.’’ 30 U.S.C. 191(b).
1. Federal Coal Leasing and Production
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contiguous lands for noncompetitive
leasing by modifying an existing lease.
The BLM issued coal leasing
regulations in 1979 that provided for
two separate competitive coal leasing
processes: (1) Regional leasing, where
the BLM selects tracts within a region
for competitive sale; and (2) Leasing by
application, where an industry
applicant nominates a particular tract of
coal for competitive sale.
Regional coal leasing requires the
BLM to select potential coal leasing
tracts based on land use planning,
expected coal demand, and potential
environmental and economic impacts.4
This process includes use of a Federal/
State advisory board known as a
Regional Coal Team 5 to provide input
on leasing decisions. The regional
leasing system has not been used since
1990, and currently all BLM coal leasing
relies on applications.6 Leasing by
application begins with an application
to lease a tract of coal identified by the
applicant.7 The BLM reviews the
application for completeness to ensure
that it conforms to existing land use
plans and to ensure that it contains
sufficient geologic data to determine the
fair market value of the coal. The agency
then prepares an analysis under NEPA
(either an Environmental Assessment or
an EIS) and seeks public comment on
the proposed lease sale. Through this
process, the BLM evaluates alternative
tract configurations to maximize
competitiveness and value, and to avoid
bypassing Federal coal. The BLM also
consults with other appropriate Federal
and State agencies and Tribal
governments, and the BLM determines
whether the surface manager consents to
leasing in situations where the surface
is not administered by the BLM.
Preparations for the actual lease sale
begin with the BLM formulating, after
obtaining public comment, a pre-sale
estimate of the fair market value of the
coal. This estimate is confidential and is
used to evaluate the bids for the lease
‘‘bonus’’ received during the sale.
Sealed bids are accepted prior to the
date of the sale and are publicly
4 43
CFR part 3420.
BLM regulations require a Regional Coal
Team to be established for each coal production
region, comprised of representatives from the BLM
and the Governors of each State in the region. The
Regional Coal Teams are to guide the coal planning
process for each coal production region, serve as the
forum for BLM and State consultation, and make
recommendations on coal leasing levels. 43 CFR
3400.4.
6 While the Powder River Basin (PRB) coal
production region was decertified in 1992, the PRB
regional coal team is still in place and meets
periodically to review regional activity and make
recommendations on coal leasing in the region.
7 See 43 CFR subpart 3425.
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announced during the sale. The winning
bid is the highest bid that meets or
exceeds the coal tract’s presale
estimated fair market value from an
applicant that meets all eligibility
requirements and has paid the
appropriate fees and payments.
There are two separate bonding
requirements for Federal coal leases.
The BLM requires a bond adequate to
ensure compliance with the terms and
conditions of the lease that must cover
a portion of potential liabilities
associated with the bonus bid, rental
fees, and royalties. In addition, under
SMCRA, the OSMRE or the State with
regulatory primacy requires sufficient
bonding to cover anticipated
reclamation costs.
A Federal coal lease has an initial
term of 20 years, but it may be
terminated after 10 years if the coal
resources are not diligently developed,
30 U.S.C. 207. Existing leases that have
met their diligence requirements may be
renewed for additional 10-year terms
following the initial 20-year term.
3. Previous Comprehensive Reviews
The Department has previously
conducted two separate, comprehensive
reviews of the Federal coal program. In
the late 1960s, there were serious
concerns about speculation in the coal
leasing program. A BLM study
discovered a sharp increase in the total
Federal acreage under lease and a
consistent decline in coal production. In
response, the Department undertook the
development of a planning system to
determine the size, timing, and location
of future coal leases, and the
preparation of a PEIS for the entire
Federal coal leasing program. Beginning
in February 1973, the Department
instituted a complete moratorium on the
issuance of new coal prospecting
permits, and a moratorium with limited
exceptions on the issuance of new
Federal coal leases: New leases were
issued only to maintain existing mines
or to supply reserves for production,
where ‘‘near future’’ meant that
development and production were to
commence within 3 and 5 years,
respectively. The moratorium was
scaled back over time, but was not
completely lifted until 1981, after the
PEIS had been completed, a new leasing
system had been adopted through
regulation, and litigation was resolved.
In 1982, concerns about the Federal
coal program arose again, this time
related to allegations that the
Government did not receive fair market
value from a large lease sale in the
Powder River Basin under the new
procedures adopted as part of the
programmatic review in the 1970s.
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Among other reports on the issue, the
Government Accountability Office
(GAO) issued a report in May 1983
concluding that the Department had
received roughly $100 million less than
it should have for the sale. In response,
in July 1983, Congress directed the
Secretary to appoint members to a
commission, known as the Linowes
Commission, to investigate fair market
value policies for Federal coal leasing.
Congress also, in the 1984
Appropriations Act, directed the Office
of Technology Assessment (OTA) to
study whether the Department’s coal
leasing program was compatible with
the nationally mandated environmental
protection goals.
As part of the 1984 Appropriations
Bill, Congress imposed a moratorium on
the sale or lease of coal on public lands,
subject to certain exceptions, starting in
1983 and ending 90 days after
publication of the Linowes
Commission’s report. The Linowes
Commission published the Report of the
Commission on Fair Market Value
Policy for Federal Coal Leasing in
February 1984. The OTA report,
Environmental Protection in the Federal
Coal Leasing Program, was released in
May 1984. The principal message of
these reports was that the Department
should: (1) Temper its pace of coal
leasing; (2) improve and better
document its procedures for receiving
fair market value; and (3) take care to
balance competing resource uses in
making lease decisions.
Secretary of the Interior William P.
Clark extended the suspension of coal
leasing (with exceptions for emergency
leasing and processing preference right
lease applications, among others) while
the Department completed its
comprehensive review of the program.
This review included proposed
modifications to be made by the
Department in response to the Linowes
Commission and OTA reports. Secretary
Clark announced on August 30, 1984,
that the Department would prepare an
EIS supplement to the 1979
Programmatic EIS for the Federal coal
management program. The Department
issued the Record of Decision for the
Programmatic EIS supplement in
January 1986, in the form of a
Secretarial Issue Document. That
document recommended continuation
of the leasing program with
modifications. In conjunction with
those modifications, Secretary of the
Interior Donald Hodel lifted the coal
leasing moratorium in 1987.
On March 17, 2015, Secretary S.M.R.
Jewell called for ‘‘an honest and open
conversation about modernizing the
Federal coal program.’’ As described
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above, the last time the Federal coal
program underwent comprehensive
review was in the mid-1980s, and
market conditions, infrastructure
development, scientific understanding,
and national priorities have changed
considerably since that time. The
Secretary’s call also responded to
continued concerns from numerous
stakeholders about the Federal coal
program, including concerns raised by
the GAO,8 the Department’s Office of
Inspector General (OIG),9 members of
Congress, interested stakeholders, and
the public. The concerns raised by the
GAO and OIG were centered on whether
taxpayers receive a fair return from the
sale of federal coal. Others raised
concerns that the current Federal
leasing structure lacks transparency and
competition and is therefore not
ensuring that the American taxpayer
receives a fair return from Federal coal
resources, while also raising questions
regarding current market conditions for
the coal industry and related
implications for Federal resources.
Stakeholders also questioned whether
the leasing program results in oversupply of a commodity that has
significant environmental and health
impacts, including impacts on global
climate change.
In response to the Secretary’s call for
a conversation to address these
concerns, the BLM held five listening
sessions regarding the Federal coal
program in the summer of 2015.
Sessions were held in Washington, DC;
Billings, Montana; Gillette, Wyoming;
Denver, Colorado; and Farmington, New
Mexico. The Department heard from 289
individuals during the sessions and
received more than 92,000 written
comments before the comment period
closed on September 17, 2015. The oral
and written comments reflected several
recurring themes:
• Concern about global climate
change and the impact of coal
production and use.
• Concern about the loss of jobs and
local revenues if coal production is
reduced.
• Support for increased transparency
and public participation in leasing and
royalty decisions and concern that the
structure of the leasing program does
not provide for adequate competition or
a fair return to the taxpayer for the use
of Federal resources.
8 GAO, Coal Leasing: BLM Could Enhance
Appraisal Process, More Explicitly Consider Coal
Exports, and Provide More Public Information, GAO
14–140 (Dec. 2013).
9 OIG, Coal Management Program, U.S.
Department of the Interior, Report No.: CR–EV–
BLM–0001–2012 (June 2013).
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• Support for increasing coal royalty
rates because: (1) Taxpayers are not
receiving a fair return, in part because
the royalty rate should match that for
offshore oil and gas leases; and (2) the
royalty rate should account for the
environmental costs of coal production.
• Support for maintaining or lowering
coal royalty rates because: (1) The coal
industry already pays more than its fair
share and existing Federal rates are too
high given current market conditions;
(2) raising rates will lower production
and revenues; and (3) raising rates will
cost jobs and harm communities.
• Support for streamlining the current
leasing process, so that the Federal coal
program is administered in a way that
better promotes economic stability and
jobs, especially in coal communities
which are already suffering from
depressed economic conditions.
After conducting these listening
sessions, Secretary Jewell determined
that three areas of the program received
the most attention from the public:
Concerns that American taxpayers were
not receiving a fair return on public coal
resources, that the program conflicted
with national climate policy and goals,
and that the structure of the program
needed review considering current
market conditions. To address the issues
raised during these sessions, on January
15, 2016, Secretary Jewell issued
Secretary’s Order 3338, directing the
BLM to conduct a broad, programmatic
review of the Federal coal program
through the preparation of a
discretionary Programmatic EIS under
NEPA, 42 U.S.C. 4321 et seq. A Notice
of Intent for the Programmatic EIS was
published in March 2016, and a scoping
report was published on January 11,
2017.
On March 29, 2017, former Secretary
Zinke issued Secretary’s Order No. 3348
(Zinke Order) entitled, ‘‘Concerning the
Federal Coal Moratorium.’’ The Zinke
Order rescinded the Jewell Order, lifted
the coal leasing pause, and halted the
preparation of the Programmatic EIS.
On January 20, 2021, President Biden
issued Executive Order 13990,
‘‘Executive Order on Protecting Public
Health and the Environment and
Restoring Science to Tackle the Climate
Crisis.’’ On April 16, 2021, Secretary
Deb Haaland issued Secretary’s Order
3398, which rescinded the Zinke Order.
The Department’s programmatic review
of the Federal coal program furthers the
goals of the Haaland Order.
In announcing this review and
soliciting comments, the Department
notes that the regional leasing program
authorized in the 1979 regulations has
not worked as envisioned and, instead,
the BLM has conducted leasing only in
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response to industry applications. Given
previous concerns about the lack of
competition in the lease-by-application
system, as well as consideration of the
Biden Administration’s environmental
goals, the BLM is beginning a new
review of the Federal coal leasing
program and seeks comments on
whether the current regulatory
framework should be changed to
provide better mechanisms to decide
which coal resources should be made
available and how the leasing process
should work, including when and
where to lease. The BLM is also seeking
comments on the following topics:
a. Fair Return
The BLM is seeking comments on
whether the bonus bids, rents, and
royalties received under the Federal
coal program are successfully securing a
fair return to the American public for
Federal coal, and, if not, what
adjustments could be made to provide
such compensation.
b. Climate Impacts
The BLM seeks comments on how
best to measure and assess the climate
impacts of continued Federal coal
production, transportation, and
combustion.
c. Other Impacts
The BLM seeks comments on other
potential impacts on public health and
the environment, such as the effects of
coal production on: The quantity and
quality of water resources, including
aquifer drawdown and impacts on
streams and alluvial valley floors; air
quality and the associated effects on
health and visibility; wildlife, including
endangered species; and other land uses
such as grazing and recreation.
d. Socio-Economic Considerations
The BLM seeks comments on whether
the current Federal coal leasing program
adequately accounts for externalities
related to Federal coal production,
including environmental and social
impacts.
e. Exports
The BLM seeks comments addressing
whether and, if so, how leasing
decisions should consider actual and/or
projected exports of domestic coal
collectively or from any given tract and
potential mechanisms that could be
used to appropriately evaluate export
potential.
f. Energy Needs
Finally, the BLM seeks comments on
how Federal coal supports fulfilling the
energy needs of the United States.
E:\FR\FM\20AUN1.SGM
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khammond on DSKJM1Z7X2PROD with NOTICES
Federal Register / Vol. 86, No. 159 / Friday, August 20, 2021 / Notices
The BLM also welcomes suggestions
for other potential approaches to the
Federal coal program including
approaches that may differ from those
articulated below. We encourage
commenters to be as specific as possible
in identifying the types of changes to
the program that the BLM should
consider, including changes to
regulations, guidance, and management
practices.
BLM also solicits input on the
following:
1. Potential new leasing models, or
potential reforms to the previous or
existing leasing models of regional
leasing and lease by application;
2. Other approaches to increase
competition in the leasing process;
3. Data or analyses that justify a
specific change to the royalty rate;
4. Potential approaches to improve
the pre-sale estimate of fair market
value;
5. Whether, and how, to account in
the leasing process for the extent to
which reclamation responsibilities have
been met;
6. Potential approaches to design a
‘‘budget’’ for the amount of Federal coal
and/or acreage to be leased over a given
period; and
7. How to account for export potential
in the leasing process.
In submitting written comments,
individuals should be aware that their
entire comment—including personal
identifying information (including
address, phone number, and email
address)—may be made publicly
available at any time. While the
commenter can request in the comment
that the commenter’s personal
identifying information be withheld
from public review, this cannot be
guaranteed. All comments from
organizations or businesses, and from
individuals identifying themselves as
representatives or officials of
organizations or businesses, will be
available for public inspection in their
entirety.
The DOI will consult with Indian
tribes on a government-to-government
basis in accordance with Executive
Order 13175 and other policies. Tribal
concerns, including impacts on Indian
trust assets and potential impacts to
cultural resources, will be given due
consideration. Federal, State, and local
agencies, along with Tribes and other
stakeholders that may be interested in or
affected by the Federal coal program, are
invited to participate in the review.
Following closure of the comment
period, the BLM will prepare a
comment summary report, make the
report available to the public, and will
detail the scope and form of its
VerDate Sep<11>2014
17:27 Aug 19, 2021
Jkt 253001
programmatic review. The BLM’s goal is
to announce additional steps for the
programmatic review by November
2021.
(Authority: 43 U.S.C. 1701 et seq., 30 U.S.C.
181 et seq., 30 U.S.C. 351 et. seq.)
Nada Wolff Culver,
Deputy Director, Programs and Policy, Bureau
of Land Management.
[FR Doc. 2021–17827 Filed 8–19–21; 8:45 am]
BILLING CODE 4310–84–P
DEPARTMENT OF THE INTERIOR
Bureau of Ocean Energy Management
[OMB Control Number 1010–0072; Docket
ID: BOEM–2017–0016]
Agency Information Collection
Activities; Commercial Prospecting,
Noncommercial Geological and
Geophysical Exploration, and
Scientific Research for Minerals Other
Than Oil, Gas, and Sulfur on the Outer
Continental Shelf
Bureau of Ocean Energy
Management, Interior.
ACTION: Notice of information collection;
request for comment.
AGENCY:
In accordance with the
Paperwork Reduction Act of 1995, the
Bureau of Ocean Energy Management
(BOEM) proposes to renew an
information collection request (ICR).
DATES: Interested persons are invited to
submit comments on or before
September 20, 2021.
ADDRESSES: Written comments and
recommendations for the proposed
information collection should be sent to
the Office of Management and Budget’s
Desk Officer for the Department of the
Interior within 30 days of publication of
this notice at www.reginfo.gov/public/
do/PRAMain. Find this information
collection by selecting ‘‘Currently under
Review—Open for Public Comments’’ or
by using the search function. Please
provide a copy of your comments to the
BOEM Information Collection Clearance
Officer, Anna Atkinson, Bureau of
Ocean Energy Management, 45600
Woodland Road, Sterling, Virginia
20166; or by email to anna.atkinson@
boem.gov. Please reference Office of
Management and Budget (OMB) Control
Number 1010–0072 in the subject line of
your comments.
FOR FURTHER INFORMATION CONTACT:
Anna Atkinson by email at
anna.atkinson@boem.gov or by
telephone at 703–787–1025.
SUPPLEMENTARY INFORMATION: In
accordance with the Paperwork
Reduction Act of 1995, BOEM provides
SUMMARY:
PO 00000
Frm 00057
Fmt 4703
Sfmt 4703
46877
the general public and Federal agencies
with an opportunity to comment on
new, proposed, revised, and continuing
collections of information. This helps
BOEM assess the impact of the
information collection requirements and
minimize the public’s reporting burden.
It also helps the public understand
BOEM’s information collection
requirements.
Title of Collection: Commercial
Prospecting, Noncommercial Geological
and Geophysical Exploration, and
Scientific Research for Minerals Other
Than Oil, Gas, and Sulfur on the Outer
Continental Shelf.
Abstract: This ICR covers the
information collection requirements in
30 CFR part 580, ‘‘Prospecting for
Minerals Other than Oil, Gas, and
Sulphur 1 on the Outer Continental
Shelf [OCS],’’ which concern
commercial prospecting and scientific
research. This request also includes
information collection requirements
related to authorizations of
noncommercial geological and
geophysical (G&G) exploration issued
pursuant to section 11 of the Outer
Continental Shelf Lands Act (OCS
Lands Act), as amended (43 U.S.C. 1340
et seq., and 43 U.S.C. 1801 et seq.).
The OCS Lands Act authorizes the
Secretary of the Interior (Secretary) to
prescribe rules and regulations to
administer leasing of mineral resources
on the OCS. Section 8 of the OCS Lands
Act authorizes the Secretary ‘‘to grant to
the qualified persons offering the
highest cash bonuses on a basis of
competitive bidding leases of any
mineral other than oil, gas, and sulphur
in any area of the [O]uter Continental
Shelf not then under lease for such
mineral upon such royalty, rental, and
other terms and conditions as the
Secretary may prescribe at the time of
offering the area for lease.’’ 43 U.S.C.
1337(k)(1). Additionally, the Secretary
may noncompetitively negotiate
agreements for the use of OCS sand,
gravel, and shell resources for use in
shore protection, beach restoration, or
coastal wetlands restoration projects
undertaken by a Federal, State, or local
government agency, or for use in a
construction project funded in whole or
in part by or authorized by the Federal
Government. 43 U.S.C. 1337(k)(2).
Section 11 of the OCS Lands Act
states that ‘‘any person authorized by
the Secretary may conduct geological
and geophysical explorations in the
[O]uter Continental Shelf, which do not
1 BOEM acknowledges that the generally and
scientifically accepted spelling for this compound
is sulfur. Throughout this notice, BOEM uses the
spelling consistent with its current regulations.
E:\FR\FM\20AUN1.SGM
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]]>Agencies
[Federal Register Volume 86, Number 159 (Friday, August 20, 2021)]
[Notices]
[Pages 46873-46877]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-17827]
-----------------------------------------------------------------------
DEPARTMENT OF THE INTERIOR
Bureau of Land Management
[21X.LLHQ320000.L13200000.PP0000]
Notice of Intent To Conduct a Review of the Federal Coal Leasing
Program and To Seek Public Comment
AGENCY: Bureau of Land Management, Interior.
ACTION: Notice of intent.
-----------------------------------------------------------------------
SUMMARY: The Bureau of Land Management (BLM), Headquarters Office seeks
public comment on the Federal coal program in advance of the BLM's
intended review of that program. The Department of the Interior (DOI)
also intends to conduct government-to-government consultation with
affected Indian tribes about the Federal coal leasing program and to
consider the potential environmental, social, and cultural impacts of
the coal program on indigenous communities and their lands during this
review.
This notice solicits public comments for consideration in
establishing the scope and content of the BLM's review of the Federal
coal leasing program.
DATES: The BLM invites interested agencies, States, American Indian
tribes, local governments, industry, organizations, and members of the
public to submit comments or suggestions to assist in identifying
significant issues that the BLM should consider in its review of the
Federal coal program.
The BLM will consider all written comments received or postmarked
during the public comment period which will close on September 20,
2021.
ADDRESSES: You may submit written comments by the following methods:
Email: [email protected]. This is the
preferred method of commenting.
Mail, personal, or messenger delivery: National Coal
Program Review, In care of: Thomas Huebner, BLM Wyoming State Office,
5353 Yellowstone Rd., Cheyenne, WY 82009.
FOR FURTHER INFORMATION CONTACT: Lindsey Curnutt, Chief, Division of
Solid Minerals, email: [email protected], telephone: 480-708-7339.
Persons who use a telecommunications device for the deaf (TDD) may call
the Federal Relay Service at 1-800-877-
[[Page 46874]]
8339 to contact Ms. Curnutt. This service is available 24 hours a day,
7 days a week, to leave a message or question. You will receive a reply
during normal business hours.
SUPPLEMENTARY INFORMATION: On January 15, 2016, Secretary of the
Interior S.M.R. Jewell issued Order No. 3338 (Jewell Order), directing
the BLM to conduct a broad, programmatic review of its Federal coal
program through preparation of a Programmatic Environmental Impact
Statement (PEIS) under the National Environmental Policy Act (NEPA). 42
U.S.C. 4321 et seq. The Jewell Order was issued in response to a range
of concerns regarding the Federal coal program, including, in
particular, concerns as to whether American taxpayers are receiving a
fair return from the development of these publicly owned resources;
concerns about fluctuating market conditions and attendant consequences
for coal-dependent communities; and concerns about whether the leasing
and production of large quantities of coal under the Federal coal
program is consistent with the Nation's goals to reduce greenhouse gas
emissions to mitigate climate change. The Jewell Order directed a pause
on the issuance of new Federal leases for thermal (steam) coal, subject
to certain enumerated exclusions, until completion of the PEIS.
On March 29, 2017, former Secretary Zinke issued Secretary's Order
No. 3348 (Zinke Order) entitled, ``Concerning the Federal Coal
Moratorium.'' The Zinke Order rescinded the Jewell Order, lifted the
coal leasing pause, and halted preparation of the PEIS. On April 16,
2021, Secretary Haaland issued Secretary's Order 3398, which rescinded
the Zinke Order (Haaland Order). While the Haaland Order did not
reinstitute the Jewell Order, it directed the Department to ``review
and revise as necessary all policies and instructions that
implemented'' the revoked Secretary's Orders. This Federal Register
Notice is intended to further the goals of the Haaland Order by
beginning a new review of the Federal coal leasing program. The BLM has
not approved a new coal lease sale since the Biden Administration took
office.
Background
A. Overview of Federal Coal Program
Under the Mineral Leasing Act of 1920 (MLA), as amended, 30 U.S.C.
181 et seq., and the Mineral Leasing Act for Acquired Lands of 1947
(MLAAL), as amended, 30 U.S.C. 351 et seq., the BLM is responsible for
the leasing of Federal coal and regulation of the development of that
coal on the approximately 700 million acres of mineral estate that is
owned by the Federal Government. This responsibility includes Federal
mineral rights on Federal lands and Federal mineral rights located
under surface lands with non-Federal ownership. Other Departmental
bureaus, particularly the Office of Surface Mining Reclamation and
Enforcement (OSMRE) and the Office of Natural Resources Revenue (ONRR),
also take actions related to coal mining on Federal lands. The OSMRE,
and States that have obtained regulatory primacy under the Surface
Mining Control and Reclamation Act of 1977 (SMCRA), permit coal mining
and reclamation activities, and monitor reclamation and reclamation
bonding actions. The ONRR collects and audits all payments required
under a Federal lease, including bonus bids, royalties, and rental
payments, and distributes those funds, pursuant to statute, between the
U.S. Treasury and the States where the coal resources are located, 30
U.S.C. 191(a).
1. Federal Coal Leasing and Production
In recent years and on average, approximately 42 percent of the
Nation's annual coal production came from Federal lands. Federal coal
produced from the Powder River Basin in Montana and Wyoming accounts
for over 85 percent of all Federal coal production.
As of Fiscal Year 2020, the BLM administered 287 coal leases,
covering 437,039 acres in 11 States, with an estimated 7 billion tons
of recoverable Federal coal. Over the last decade (2011-2020), the BLM
sold 17 coal leases and managed leases that produced approximately 3.7
billion tons of coal and resulted in $9.2 billion in revenue
collections by the United States.
The U.S. Energy Information Administration (EIA) estimates total
U.S. coal production in 2020 was about 534 million short tons (MMst),
24 percent lower than in 2019.\1\ EIA estimates that U.S. total annual
coal imports reached a record high of about 36 million short tons in
2007. In 2020, the United States imported about 5 MMst of coal, which
was equal to about 1 percent of U.S. coal consumption in 2020.\2\
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\1\ U.S. EIA, Coal Data (August 4, 2021) (https://www.eia.gov/coal/data/browser/).
\2\ U.S. EIA, Coal Data (July 20, 2021) (https://www.eia.gov/energyexplained/coal/imports-and-exports.php).
---------------------------------------------------------------------------
2. Federal Coal Program
The current BLM coal leasing program includes land use planning,
the processing of applications (e.g., applications for exploration
licenses and lease sales), estimation of the value of proposed leases,
lease sales, and post-leasing actions (e.g., production verification,
lease and production inspection and enforcement, royalty reductions,
and bond review).
The Federal Government receives revenue from coal leasing in three
ways: (1) A bonus that is paid at the time the BLM issues a lease; (2)
Rental fees; and (3) Production royalties. The royalty rates are set by
regulation at a fixed 8 percent for underground mines and not less than
12.5 percent for surface mines. For coal leases outside of Alaska,
Treasury pays approximately 50 percent of receipts to the State where
the leased lands are located, 30 U.S.C. 191(a). For leases and mineral
deposits in Alaska, Treasury pays 90 percent of the receipts to the
State, 30 U.S.C. 191(a).\3\ Federal coal development provides coal
producing states like Wyoming, Montana, Utah, and Colorado with
significant income and other economic benefits.
---------------------------------------------------------------------------
\3\ Payments to the States are ``reduced by 2 percent for any
administrative or other costs incurred by the United States,'' and
``the amount of such reduction shall be deposited to miscellaneous
receipts of the Treasury.'' 30 U.S.C. 191(b).
---------------------------------------------------------------------------
The BLM's planning process for Resource Management Plans, supported
by environmental analysis under NEPA, identifies areas that are
potentially available to be considered for coal leasing. The planning
process considers, among other things, the impacts of a ``reasonably
foreseeable development scenario,'' but it does not directly authorize
any coal leasing or determine which coal will be leased.
The Federal Coal Leasing Amendments Act of 1976 (FCLAA), which
amended Section 2 of the Mineral Leasing Act of 1920, requires that,
with limited exceptions, Federal lands available for coal leasing be
sold by competitive bid, with the BLM receiving fair market value for
the lease. While multiple bids are not required, all successful bids
must equal or exceed the estimated pre-sale fair market value for the
lease, as calculated by the BLM. Competitive leasing is not required
for: (1) Preference right lease applications for owners of pre-FCLAA
prospecting permits; and (2) Modifications of existing leases, where
Congress has authorized the Secretary to allow up to 960 acres
(increased from 160 acres by the Energy Policy Act of 2005) of
[[Page 46875]]
contiguous lands for noncompetitive leasing by modifying an existing
lease.
The BLM issued coal leasing regulations in 1979 that provided for
two separate competitive coal leasing processes: (1) Regional leasing,
where the BLM selects tracts within a region for competitive sale; and
(2) Leasing by application, where an industry applicant nominates a
particular tract of coal for competitive sale.
Regional coal leasing requires the BLM to select potential coal
leasing tracts based on land use planning, expected coal demand, and
potential environmental and economic impacts.\4\ This process includes
use of a Federal/State advisory board known as a Regional Coal Team \5\
to provide input on leasing decisions. The regional leasing system has
not been used since 1990, and currently all BLM coal leasing relies on
applications.\6\ Leasing by application begins with an application to
lease a tract of coal identified by the applicant.\7\ The BLM reviews
the application for completeness to ensure that it conforms to existing
land use plans and to ensure that it contains sufficient geologic data
to determine the fair market value of the coal. The agency then
prepares an analysis under NEPA (either an Environmental Assessment or
an EIS) and seeks public comment on the proposed lease sale. Through
this process, the BLM evaluates alternative tract configurations to
maximize competitiveness and value, and to avoid bypassing Federal
coal. The BLM also consults with other appropriate Federal and State
agencies and Tribal governments, and the BLM determines whether the
surface manager consents to leasing in situations where the surface is
not administered by the BLM.
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\4\ 43 CFR part 3420.
\5\ The BLM regulations require a Regional Coal Team to be
established for each coal production region, comprised of
representatives from the BLM and the Governors of each State in the
region. The Regional Coal Teams are to guide the coal planning
process for each coal production region, serve as the forum for BLM
and State consultation, and make recommendations on coal leasing
levels. 43 CFR 3400.4.
\6\ While the Powder River Basin (PRB) coal production region
was decertified in 1992, the PRB regional coal team is still in
place and meets periodically to review regional activity and make
recommendations on coal leasing in the region.
\7\ See 43 CFR subpart 3425.
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Preparations for the actual lease sale begin with the BLM
formulating, after obtaining public comment, a pre-sale estimate of the
fair market value of the coal. This estimate is confidential and is
used to evaluate the bids for the lease ``bonus'' received during the
sale. Sealed bids are accepted prior to the date of the sale and are
publicly announced during the sale. The winning bid is the highest bid
that meets or exceeds the coal tract's presale estimated fair market
value from an applicant that meets all eligibility requirements and has
paid the appropriate fees and payments.
There are two separate bonding requirements for Federal coal
leases. The BLM requires a bond adequate to ensure compliance with the
terms and conditions of the lease that must cover a portion of
potential liabilities associated with the bonus bid, rental fees, and
royalties. In addition, under SMCRA, the OSMRE or the State with
regulatory primacy requires sufficient bonding to cover anticipated
reclamation costs.
A Federal coal lease has an initial term of 20 years, but it may be
terminated after 10 years if the coal resources are not diligently
developed, 30 U.S.C. 207. Existing leases that have met their diligence
requirements may be renewed for additional 10-year terms following the
initial 20-year term.
3. Previous Comprehensive Reviews
The Department has previously conducted two separate, comprehensive
reviews of the Federal coal program. In the late 1960s, there were
serious concerns about speculation in the coal leasing program. A BLM
study discovered a sharp increase in the total Federal acreage under
lease and a consistent decline in coal production. In response, the
Department undertook the development of a planning system to determine
the size, timing, and location of future coal leases, and the
preparation of a PEIS for the entire Federal coal leasing program.
Beginning in February 1973, the Department instituted a complete
moratorium on the issuance of new coal prospecting permits, and a
moratorium with limited exceptions on the issuance of new Federal coal
leases: New leases were issued only to maintain existing mines or to
supply reserves for production, where ``near future'' meant that
development and production were to commence within 3 and 5 years,
respectively. The moratorium was scaled back over time, but was not
completely lifted until 1981, after the PEIS had been completed, a new
leasing system had been adopted through regulation, and litigation was
resolved.
In 1982, concerns about the Federal coal program arose again, this
time related to allegations that the Government did not receive fair
market value from a large lease sale in the Powder River Basin under
the new procedures adopted as part of the programmatic review in the
1970s. Among other reports on the issue, the Government Accountability
Office (GAO) issued a report in May 1983 concluding that the Department
had received roughly $100 million less than it should have for the
sale. In response, in July 1983, Congress directed the Secretary to
appoint members to a commission, known as the Linowes Commission, to
investigate fair market value policies for Federal coal leasing.
Congress also, in the 1984 Appropriations Act, directed the Office of
Technology Assessment (OTA) to study whether the Department's coal
leasing program was compatible with the nationally mandated
environmental protection goals.
As part of the 1984 Appropriations Bill, Congress imposed a
moratorium on the sale or lease of coal on public lands, subject to
certain exceptions, starting in 1983 and ending 90 days after
publication of the Linowes Commission's report. The Linowes Commission
published the Report of the Commission on Fair Market Value Policy for
Federal Coal Leasing in February 1984. The OTA report, Environmental
Protection in the Federal Coal Leasing Program, was released in May
1984. The principal message of these reports was that the Department
should: (1) Temper its pace of coal leasing; (2) improve and better
document its procedures for receiving fair market value; and (3) take
care to balance competing resource uses in making lease decisions.
Secretary of the Interior William P. Clark extended the suspension
of coal leasing (with exceptions for emergency leasing and processing
preference right lease applications, among others) while the Department
completed its comprehensive review of the program. This review included
proposed modifications to be made by the Department in response to the
Linowes Commission and OTA reports. Secretary Clark announced on August
30, 1984, that the Department would prepare an EIS supplement to the
1979 Programmatic EIS for the Federal coal management program. The
Department issued the Record of Decision for the Programmatic EIS
supplement in January 1986, in the form of a Secretarial Issue
Document. That document recommended continuation of the leasing program
with modifications. In conjunction with those modifications, Secretary
of the Interior Donald Hodel lifted the coal leasing moratorium in
1987.
On March 17, 2015, Secretary S.M.R. Jewell called for ``an honest
and open conversation about modernizing the Federal coal program.'' As
described
[[Page 46876]]
above, the last time the Federal coal program underwent comprehensive
review was in the mid-1980s, and market conditions, infrastructure
development, scientific understanding, and national priorities have
changed considerably since that time. The Secretary's call also
responded to continued concerns from numerous stakeholders about the
Federal coal program, including concerns raised by the GAO,\8\ the
Department's Office of Inspector General (OIG),\9\ members of Congress,
interested stakeholders, and the public. The concerns raised by the GAO
and OIG were centered on whether taxpayers receive a fair return from
the sale of federal coal. Others raised concerns that the current
Federal leasing structure lacks transparency and competition and is
therefore not ensuring that the American taxpayer receives a fair
return from Federal coal resources, while also raising questions
regarding current market conditions for the coal industry and related
implications for Federal resources. Stakeholders also questioned
whether the leasing program results in over-supply of a commodity that
has significant environmental and health impacts, including impacts on
global climate change.
---------------------------------------------------------------------------
\8\ GAO, Coal Leasing: BLM Could Enhance Appraisal Process, More
Explicitly Consider Coal Exports, and Provide More Public
Information, GAO 14-140 (Dec. 2013).
\9\ OIG, Coal Management Program, U.S. Department of the
Interior, Report No.: CR-EV-BLM-0001-2012 (June 2013).
---------------------------------------------------------------------------
In response to the Secretary's call for a conversation to address
these concerns, the BLM held five listening sessions regarding the
Federal coal program in the summer of 2015. Sessions were held in
Washington, DC; Billings, Montana; Gillette, Wyoming; Denver, Colorado;
and Farmington, New Mexico. The Department heard from 289 individuals
during the sessions and received more than 92,000 written comments
before the comment period closed on September 17, 2015. The oral and
written comments reflected several recurring themes:
Concern about global climate change and the impact of coal
production and use.
Concern about the loss of jobs and local revenues if coal
production is reduced.
Support for increased transparency and public
participation in leasing and royalty decisions and concern that the
structure of the leasing program does not provide for adequate
competition or a fair return to the taxpayer for the use of Federal
resources.
Support for increasing coal royalty rates because: (1)
Taxpayers are not receiving a fair return, in part because the royalty
rate should match that for offshore oil and gas leases; and (2) the
royalty rate should account for the environmental costs of coal
production.
Support for maintaining or lowering coal royalty rates
because: (1) The coal industry already pays more than its fair share
and existing Federal rates are too high given current market
conditions; (2) raising rates will lower production and revenues; and
(3) raising rates will cost jobs and harm communities.
Support for streamlining the current leasing process, so
that the Federal coal program is administered in a way that better
promotes economic stability and jobs, especially in coal communities
which are already suffering from depressed economic conditions.
After conducting these listening sessions, Secretary Jewell
determined that three areas of the program received the most attention
from the public: Concerns that American taxpayers were not receiving a
fair return on public coal resources, that the program conflicted with
national climate policy and goals, and that the structure of the
program needed review considering current market conditions. To address
the issues raised during these sessions, on January 15, 2016, Secretary
Jewell issued Secretary's Order 3338, directing the BLM to conduct a
broad, programmatic review of the Federal coal program through the
preparation of a discretionary Programmatic EIS under NEPA, 42 U.S.C.
4321 et seq. A Notice of Intent for the Programmatic EIS was published
in March 2016, and a scoping report was published on January 11, 2017.
On March 29, 2017, former Secretary Zinke issued Secretary's Order
No. 3348 (Zinke Order) entitled, ``Concerning the Federal Coal
Moratorium.'' The Zinke Order rescinded the Jewell Order, lifted the
coal leasing pause, and halted the preparation of the Programmatic EIS.
On January 20, 2021, President Biden issued Executive Order 13990,
``Executive Order on Protecting Public Health and the Environment and
Restoring Science to Tackle the Climate Crisis.'' On April 16, 2021,
Secretary Deb Haaland issued Secretary's Order 3398, which rescinded
the Zinke Order. The Department's programmatic review of the Federal
coal program furthers the goals of the Haaland Order.
In announcing this review and soliciting comments, the Department
notes that the regional leasing program authorized in the 1979
regulations has not worked as envisioned and, instead, the BLM has
conducted leasing only in response to industry applications. Given
previous concerns about the lack of competition in the lease-by-
application system, as well as consideration of the Biden
Administration's environmental goals, the BLM is beginning a new review
of the Federal coal leasing program and seeks comments on whether the
current regulatory framework should be changed to provide better
mechanisms to decide which coal resources should be made available and
how the leasing process should work, including when and where to lease.
The BLM is also seeking comments on the following topics:
a. Fair Return
The BLM is seeking comments on whether the bonus bids, rents, and
royalties received under the Federal coal program are successfully
securing a fair return to the American public for Federal coal, and, if
not, what adjustments could be made to provide such compensation.
b. Climate Impacts
The BLM seeks comments on how best to measure and assess the
climate impacts of continued Federal coal production, transportation,
and combustion.
c. Other Impacts
The BLM seeks comments on other potential impacts on public health
and the environment, such as the effects of coal production on: The
quantity and quality of water resources, including aquifer drawdown and
impacts on streams and alluvial valley floors; air quality and the
associated effects on health and visibility; wildlife, including
endangered species; and other land uses such as grazing and recreation.
d. Socio-Economic Considerations
The BLM seeks comments on whether the current Federal coal leasing
program adequately accounts for externalities related to Federal coal
production, including environmental and social impacts.
e. Exports
The BLM seeks comments addressing whether and, if so, how leasing
decisions should consider actual and/or projected exports of domestic
coal collectively or from any given tract and potential mechanisms that
could be used to appropriately evaluate export potential.
f. Energy Needs
Finally, the BLM seeks comments on how Federal coal supports
fulfilling the energy needs of the United States.
[[Page 46877]]
The BLM also welcomes suggestions for other potential approaches to
the Federal coal program including approaches that may differ from
those articulated below. We encourage commenters to be as specific as
possible in identifying the types of changes to the program that the
BLM should consider, including changes to regulations, guidance, and
management practices.
BLM also solicits input on the following:
1. Potential new leasing models, or potential reforms to the
previous or existing leasing models of regional leasing and lease by
application;
2. Other approaches to increase competition in the leasing process;
3. Data or analyses that justify a specific change to the royalty
rate;
4. Potential approaches to improve the pre-sale estimate of fair
market value;
5. Whether, and how, to account in the leasing process for the
extent to which reclamation responsibilities have been met;
6. Potential approaches to design a ``budget'' for the amount of
Federal coal and/or acreage to be leased over a given period; and
7. How to account for export potential in the leasing process.
In submitting written comments, individuals should be aware that
their entire comment--including personal identifying information
(including address, phone number, and email address)--may be made
publicly available at any time. While the commenter can request in the
comment that the commenter's personal identifying information be
withheld from public review, this cannot be guaranteed. All comments
from organizations or businesses, and from individuals identifying
themselves as representatives or officials of organizations or
businesses, will be available for public inspection in their entirety.
The DOI will consult with Indian tribes on a government-to-
government basis in accordance with Executive Order 13175 and other
policies. Tribal concerns, including impacts on Indian trust assets and
potential impacts to cultural resources, will be given due
consideration. Federal, State, and local agencies, along with Tribes
and other stakeholders that may be interested in or affected by the
Federal coal program, are invited to participate in the review.
Following closure of the comment period, the BLM will prepare a
comment summary report, make the report available to the public, and
will detail the scope and form of its programmatic review. The BLM's
goal is to announce additional steps for the programmatic review by
November 2021.
(Authority: 43 U.S.C. 1701 et seq., 30 U.S.C. 181 et seq., 30 U.S.C.
351 et. seq.)
Nada Wolff Culver,
Deputy Director, Programs and Policy, Bureau of Land Management.
[FR Doc. 2021-17827 Filed 8-19-21; 8:45 am]
BILLING CODE 4310-84-P
