Reorganization of Title 30-Renewable Energy and Alternate Uses of Existing Facilities on the Outer Continental Shelf, 6376-6476 [2023-00871]
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Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations
Preamble Table of Contents
DEPARTMENT OF THE INTERIOR
Bureau of Safety and Environmental
Enforcement
30 CFR Part 285
[Docket No. BSEE–2022–0015; EEEE500000
223E1700D2 ET1SF0000.EAQ000]
RIN 1082–AA03
Bureau of Ocean Energy Management
30 CFR Parts 585 and 586
[Docket No. BOEM–2022–0042]
Reorganization of Title 30—Renewable
Energy and Alternate Uses of Existing
Facilities on the Outer Continental
Shelf
Bureau of Safety and
Environmental Enforcement (BSEE) and
Bureau of Ocean Energy Management
(BOEM), Interior.
ACTION: Final rule.
AGENCY:
This rule of agency
organization reassigns responsibilities
for the administration of certain
regulations governing renewable energy
development and alternate uses of
existing facilities on the Outer
Continental Shelf (OCS), consistent with
the Secretary of the Interior’s orders and
the Departmental Manual. This final
rule transfers the applicable renewable
energy Departmental regulations from
BOEM to BSEE. Furthermore, this final
rule reassigns renewable energy
regulations pertaining to safety,
environmental oversight, and
enforcement from BOEM to BSEE. This
rule does not make substantive changes
to current regulatory requirements and
does not impose additional regulatory
burdens on the public or the regulated
community.
DATES: This final rule is effective
January 31, 2023. The incorporation by
reference of certain material listed in the
rule is approved by the Director of the
Federal Register as of January 31, 2023.
FOR FURTHER INFORMATION CONTACT: For
questions regarding BSEE’s provisions
under this rule, contact: Dennis Yang,
Regulations and Standards Branch,
BSEE, 45600 Woodland Road, Sterling,
VA 20166; email: regs@bsee.gov;
telephone: 713–220–9203. For questions
regarding BOEM’s provisions under this
rule, contact: Georgeann Smale, Office
of Regulations, BOEM, 1849 C Street
NW, Mailstop 5243, Washington, DC
20240; email: Georgeann.Smale@
boem.gov; telephone: 703–544–9246.
SUPPLEMENTARY INFORMATION:
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SUMMARY:
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I. Preamble Glossary of Abbreviations, Terms,
and Acronyms
II. Background
A. Statutory Authority
B. MMS Reorganization
C. Need for Rulemaking
III. Overview of the Rule
A. Final Rulemaking Effective Upon
Publication
B. Reorganization of 30 CFR Parts 285, 585,
and 586
1. Description of the Transfer of
Regulations to BSEE
2. Future Rulemakings
3. Technical Changes and Corrections
4. Information Collection and Forms
5. Incorporation by Reference
C. Derivation Table for 30 CFR Parts 285,
585, and 586
IV. Procedural Matters
A. Statutes
1. Data Quality Act
2. National Environmental Policy Act
3. Paperwork Reduction Act
4. Regulatory Flexibility Act
5. Congressional Review Act (CRA)
6. Unfunded Mandates Reform Act
7. Administrative Procedure Act
B. Executive Orders
1. Executive Order 12630—Takings
Implication Assessment
2. Executive Order 12866—Regulatory
Planning and Review, and Executive
Order 13563—Improving Regulation and
Regulatory Review
3. Executive Order 12988—Civil Justice
Reform
4. Executive Order 13132—Federalism
5. Executive Order 13175—Consultation
and Coordination With Indian Tribal
Governments
6. Executive Order 13211—Effects on the
Nation’s Energy Supply
7. Presidential Memorandum of June 1,
1998, on Regulation Clarity
I. Preamble Glossary of Abbreviations,
Terms, and Acronyms
The following are abbreviations,
terms, and acronyms used in the
preamble:
APA Administrative Procedure Act
ASLM Assistant Secretary for Land and
Minerals Management
BOEM Bureau of Ocean Energy
Management
BSEE Bureau of Safety and Environmental
Enforcement
CFR Code of Federal Regulations
COP Construction and Operations Plan
CRA Congressional Review Act
CVA Certified Verification Agent
CZMA Coastal Zone Management Act
DOE Department of Energy
DOI or Department of the Interior
Department
EIA Energy Information Administration
ESA Endangered Species Act
FDR Facility Design Report
FERC Federal Energy Regulatory
Commission
FIR Fabrication and Installation Report
GAP General Activities Plan
IC Information Collection
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MMPA Marine Mammal Protection Act
MMS Minerals Management Service
(former DOI agency)
NARA National Archives and Records
Administration
NEPA National Environmental Policy Act
OCS Outer Continental Shelf
OCSLA Outer Continental Shelf Lands Act
OIG Office of Inspector General
OMB Office of Management and Budget
ONRR Office of Natural Resources Revenue
Pub. L. Public Law
RIN Regulation Identifier Number
ROCIS Regulatory Information Service
Center (RISC) and Office of Information &
Regulatory Affairs (OIRA) Consolidated
Information System
ROW Right-of-way
RUE Right-of-use and easement
SAP Site Assessment Plan
Secretary Secretary of the Interior
SMS Safety Management System
Stat. U.S. Statutes at Large
U.S.C. United States Code
II. Background
A. Statutory Authority
In the Energy Policy Act of 2005 (2005
Act), Congress authorized the Secretary
to grant OCS leases for renewable
energy activities.1 Specifically, the 2005
Act amended OCSLA to add a new
subsection 8(p).2 Under subsection 8(p),
the Secretary has the authority to issue
leases, easements, and ROWs for
activities that produce, or that support
the production, transportation, or
transmission of, energy from sources
other than oil and gas. The 2005 Act
also allows the Secretary to authorize
the use of existing OCS facilities for
energy- and marine-related activities.
The Secretary is required to award any
lease, ROW, or RUE competitively
unless the Secretary determines, after
public notice, that competitive interest
does not exist.3 The Secretary also has
authority to issue regulations to
implement OCSLA section 8(p).4
On March 20, 2006, the Secretary
delegated the responsibility for
regulating OCS renewable energy
activities to MMS, the predecessor
agency to BOEM and BSEE. On April
29, 2009, the Department published the
final rule establishing MMS’s program
to grant leases, easements, and ROWs
for OCS renewable energy activities and
for alternate uses of existing OCS
facilities. The 2009 rule also established
the methods for sharing certain
revenues generated by this program
with nearby coastal States.
1 Public
Law 109–58, 119 Stat. 594.
is codified at 43 U.S.C. 1331 et seq.
Subsection 8(p) of OCSLA is codified at 43 U.S.C.
1337(p).
3 43 U.S.C. 1337(p)(3).
4 Id. 1337(p)(8).
2 OCSLA
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B. MMS Reorganization
Between May 19, 2010, and August
29, 2011, Secretary Salazar issued
Secretary’s Order 3299 and two
amendments that ultimately divided
MMS into three separate agencies:
BOEM, BSEE, and ONRR. The Secretary
emphasized the importance of separate
and independent safety and
environmental oversight when testifying
before Congress on May 26, 2010:
the inspection and enforcement
functions to [BSEE].’’ 9 On October 18,
2011, in connection with the
reorganization of the former MMS into
BOEM and BSEE and the associated
redistribution of the existing regulations
at 30 CFR Chapter II, the offshore
renewable energy regulations previously
located in part 285 were assigned to
BOEM and recodified in a newly created
30 CFR part 585.10
The Deepwater Horizon tragedy and the
massive spill have made the importance and
urgency of a reorganization of this nature
ever more clear, particularly the creation of
a separate and independent safety and
environmental enforcement entity. We will
responsibly and thoughtfully move to
establish independence and separation for
this critical mission so that the American
people know they have a strong and
independent organization ensuring that
energy companies comply with their safety
and environmental protection obligations.5
C. Need for Rulemaking
In September 2013, the DOI OIG
issued a report supporting the policy of
independent regulatory oversight and
enforcement in the renewable energy
program and recommending
implementation of that policy through a
transfer of those responsibilities from
BOEM to BSEE.11 The OIG noted that
‘‘allowing the bureau responsible for
planning and leasing renewable energy
projects [i.e., BOEM] to also formulate
the policies for inspection and
enforcement is contrary to the
independent oversight and separation of
duties envisioned in [Secretary’s Order
3299] as originally issued.’’ 12
In December 2020, pursuant to
Secretary’s Order 3299, Amendment 2,
section 4, the Principal Deputy
Assistant Secretary for Land and
Minerals Management, acting with the
authority of the Assistant Secretary for
Land and Minerals Management,
determined that OCS renewable energy
activities have ‘‘reached the threshold
envisioned by SO 3299, as amended.’’
The Secretary has since executed the
necessary redelegation of authorities
through the Departmental Manual.13
This rulemaking reassigns certain
regulations from BOEM to BSEE
consistent with the authorities
identified in the Departmental Manual,
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Pursuant to section 3 of Secretary’s
Order 3299, Amendment No. 2, BOEM
‘‘exercise[s] the conventional (e.g., oil
and gas) and renewable energy-related
management functions of the [MMS] not
otherwise transferred pursuant to this
Order including, but not limited to,
activities involving resource evaluation,
planning, and leasing.’’ 6 Under section
4 of Secretary’s Order 3299,
Amendment No. 2, BSEE exercises
‘‘safety and environmental enforcement
functions,’’ including ‘‘the authority to
inspect, investigate, summon witnesses
and produce evidence, levy penalties,
cancel or suspend activities, and
oversee safety, response, and removal
preparedness.’’ 7 Under section 5 of
Secretary’s Order 3299, Amendment 2,
ONRR exercises the royalty and revenue
management functions of the former
MMS, including ‘‘royalty and revenue
collection, distribution, auditing and
compliance, investigation and
enforcement, and asset management for
both onshore and offshore activities.’’ 8
Section 4 of Secretary’s Order 3299,
Amendment 2, assigned the renewable
energy program to BOEM ‘‘until such
time that the [ASLM] determines that an
increase in activity justifies transferring
5 Minerals Management Service Reorganization:
Special Hearing Before the Subcomm. on Dept. of
the Interior, Environment & Related Agencies of the
S. Comm. On Appropriations, S. Hrg. 111–1035, at
12 (2010) (statement of Ken Salazar, Sec’y of the
Interior).
6 Sec’y of the Interior Order 3299, as amended
and issued Aug. 29, 2011, available at https://
www.doi.gov/sites/doi.gov/files/elips/documents/
3299a2-establishment_of_the_bureau_of_ocean_
energy_management_the_bureau_of_safety_and_
environmental_enforcement_and_the_office_of_
natural_resources_revenue.pdf.
7 Id.
8 Id.
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9 Id. This arrangement was noted in the final rule
reorganizing and reassigning the former MMS
regulations between BOEM and BSEE in October
2011. ‘‘At this time, the renewable energy program
will be managed under BOEM. At a later date, the
renewable energy program will be reorganized and
a determination will be made regarding what
functions will be administered by which agency.’’
Reorganization of Title 30, 76 FR 64432, 64434
Table A (Oct. 18, 2011) (, discussion of then-current
part 285).
10 76 FR 64432 (Oct. 18, 2011).
11 Office of Inspector Gen., Dep’t of Interior, U.S.
Department of the Interior’s Offshore Renewable
Energy Program 9 (2013) (Report No. CR–EV–
BOEM–0001–2013).
12 Id.
13 DOI Departmental Manual 218 DM 1, as
amended and issued Sept. 14, 2022, available at
chrome-extension://efaidnbmnnnibpcajpcglcle
findmkaj/https://www.doi.gov/sites/doi.gov/files/
elips/documents/218-dm-1_2.pdf.
DOI Departmental Manual 219 DM 1, as amended
and issued Sept. 14, 2022, available at chromeextension://efaidnbmnnnibpcajpcglclefindmkaj/
https://www.doi.gov/sites/doi.gov/files/elips/
documents/219-dm-1_0.pdf
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and to further Secretary’s Order 3299
Amendment 2 and the Assistant
Secretary’s direction to ‘‘transfer . . .
the safety and environmental oversight
and compliance functions, including
inspection and enforcement, for the
Department’s Offshore Renewable
Energy Program from BOEM to BSEE.’’
III. Overview of the Rule
A. Final Rulemaking Effective Upon
Publication
This rule reassigns existing
regulations governing safety and
environmental oversight and
enforcement of OCS renewable energy
activities from BOEM to BSEE. This
rulemaking is neither substantive nor
controversial because it merely
reorganizes provisions in the Code of
Federal Regulations and, therefore, does
not affect the legal rights, obligations,
and interests of any interested parties.
This rule implements Secretary’s
Order 3299—which reflects the
Secretary’s prudent and considered
policy judgment that independent
oversight and enforcement is in the
national interest to best address the
organizational concerns highlighted by
the Deepwater Horizon incident—and
revisions made to the Departmental
Manual implementing that direction.
Specifically, this rule transfers existing
safety and environmental oversight and
enforcement regulations governing OCS
renewable energy activities from 30 CFR
part 585, under BOEM’s purview, to 30
CFR part 285, under BSEE’s purview.
This reorganization parallels the
bureaus’ oversight of oil and gas
activities. This transfer includes a
reassignment of authority to: oversee
facility design, fabrication, installation,
and safety management systems; ensure
the safety of operations, including
inspection programs and incident
reporting and investigations; enforce
compliance with all applicable safety,
environmental, and other laws and
regulations through enforcement actions
(such as noncompliance notices,
cessation orders, and lease
suspensions); and oversee
decommissioning activities. This rule
also moves certain sections pertaining to
Alternate Use RUEs from 30 CFR part
585 to a new 30 CFR part 586.
This rule is a ‘‘rule[ ] of agency
organization, procedure, or practice,’’ 5
U.S.C. 553(b)(A), because it implements
the Department’s reassignment of
responsibility for administering existing
regulatory provisions from BOEM to
BSEE. This rule reorganizes current
regulations to be consistent with
Departmental delegations without
making substantive changes to those
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regulations or modifying substantive
rights or interests. Nor does the rule
impose new rights or duties or change
the legal status of regulated parties. No
statute requires notice or hearing for this
rule. Therefore, this rule is exempt from
notice-and-comment rulemaking
requirements under 5 U.S.C. 553(b)(A).
Additionally, for the same reasons, the
Department finds for good cause shown
that notice and comment on this rule are
unnecessary and contrary to the public
interest under 5 U.S.C. 553(b)(B).
Further, because this rule makes no
changes to the legal obligations or rights
of nongovernmental entities, the
relevant responsibilities have already
been delegated to BSEE, and it is in the
public interest for the regulations to
reflect that delegation to provide clarity,
the Department further finds that good
cause exists to make this rule effective
upon publication in the Federal
Register per 5 U.S.C. 553(d)(3).14
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B. Reorganization of 30 CFR Parts 285
and 585
1. Description of the Transfer of
Regulations to BSEE
This rule transfers existing regulations
governing safety and environmental
oversight and enforcement for OCS
renewable energy activities from
BOEM’s responsibility to BSEE’s
responsibility by moving the relevant
BOEM provisions, currently in 30 CFR
part 585, to become BSEE provisions in
30 CFR part 285.
Among the regulations transferred to
BSEE through this rulemaking are
provisions related to oversight of facility
design, fabrication, installation, and
safety management systems; ensuring
the safety of operations, including
inspection programs and incident
reporting and investigations; enforcing
compliance with all applicable safety,
environmental, and other laws and
regulations through enforcement actions
(such as noncompliance notices,
cessation orders, and certain lease
suspensions); and overseeing
decommissioning activities.
Renewable energy regulations
transferred to BSEE’s responsibility
include enforcement provisions under
the existing part 585 Subpart D, various
information submittal requirements
under Subpart F, as well as provisions
governing activities conducted under an
approved plan, including the design,
construction, operation, and
decommissioning of facilities under
Subparts G, H, and I. The requirements
for and standards of review regarding
14 BOEM and BSEE intend to issue further
guidance to help industry to understand the transfer
of functions reflected in this rule.
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the Facility Design Report (FDR) and the
Fabrication and Installation Report (FIR)
are unchanged: the FDR and FIR will
continue to be evaluated for consistency
with the approved Plan and applicable
engineering standards.
BOEM will continue to identify areas
that may be leased and authorize
renewable energy development on the
OCS, as well as alternate uses of existing
OCS facilities. BOEM retains its
authority to administer the renewable
energy regulations pertaining to the
issuance and administration of leases
and grants, the requirements of
payments and financial assurance, and
plan review and approval, approval
with modifications, or disapproval.
Because oversight over environmental
requirements for BOEM-approved plans
has been retained by BOEM, these
requirements were moved to Subpart F,
from Subpart H, and renumbered
accordingly. As a result, the renewable
energy regulations that BOEM
administers will now end with Subpart
F, the title of which has been changed
to ‘‘Plan Requirements.’’
In addition, because the existing
regulations in part 585 Subpart J relate
to the alternate uses of existing facilities
on the OCS, which require the existence
of a previously or currently authorized
facility, these regulations have been
moved into a separate part 586 to
enhance clarity.
This rule also reallocates the
regulations pertaining to suspensions. In
the context of the renewable energy
regulations, a lease or grant suspension
as described in Subpart D of part 585 is
used primarily to manage the running of
the lease term, not to address
noncompliance or respond to the kind
of operational concerns that
predominate lease suspensions in the
conventional energy context. Therefore,
consistent with BOEM’s role as the
leasing agency, BOEM will retain the
authority to grant a suspension of a
lease or grant if the lessee or grantee
requests one. BOEM will also retain the
authority to order a lease or grant
suspension to comply with a judicial
decree or when a suspension is
necessary for reasons of National
security or defense.
However, in keeping with BSEE’s
mission, BSEE is assigned the
regulations for ordering a lease or grant
suspension when continued activities
pose an imminent threat of serious or
irreparable harm or damage to natural
resources; life; property; the marine,
coastal, or human environment; or sites,
structures, or objects of historical or
archaeological significance. BSEE may
also order a suspension when necessary
to comply with a judicial decree. Under
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the rule, BSEE is also assigned the
regulations relating to issuance of
cessation orders to address
noncompliance on the part of the
grantee or lessee.
Regarding suspensions for Alternate
Use RUEs, the Department does not
suspend such grants upon the grantee’s
request, but only by order. BOEM will
retain authority to order suspensions
required for National security, and BSEE
will assume authority to order
suspensions to address a threat of harm
from continued operations. Either
bureau may order a suspension when
necessary to comply with a judicial
decree. BSEE may order a suspension of
an Alternate Use RUE when operation of
the existing OCS facility has been
suspended or temporarily prohibited
and BSEE has determined that
continued activities under the Alternate
Use RUE are unsafe or cause undue
interference with the original OCSLAapproved activity.
The Secretary of the Interior retains
authority to cancel any renewable
energy lease or grant for reasons
outlined in the existing regulations
under Subpart D. Because either BOEM
or BSEE may have information relevant
to the Secretary’s decision to cancel a
lease or grant, this rule allocates to both
BOEM and BSEE responsibility under
the regulations related to bureau
recommendations for Secretarial
cancellation of a lease or grant.
Similarly, both bureaus retain
responsibility under the regulations
related to cancellation of an Alternate
Use RUE.
Enforcement functions transferred to
BSEE in the new part 285 Subpart D,
entitled Lease and Grant
Administration, include authority to
issue notices of noncompliance and
cessation orders and to pursue civil
penalties and recommend criminal
penalties. BSEE assumes authority for
oversight and enforcement of the design,
construction, operation, and
decommissioning phases of offshore
wind development, as well as
enforcement of requirements related to
Alternate Use RUEs. BOEM remains
responsible for ensuring requirements
are met during the leasing, site
characterization, and plan review stages,
as well as for ensuring financial
assurance requirements are met. BOEM
has relocated its enforcement authority
to Subpart A, General Provisions, from
part 585 Subpart D, Lease and Grant
Administration, to focus the remaining
Subpart D provisions on lease and grant
administrative actions that include, but
are not limited to, designations of
operator, assignments, renewals,
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4. Information Collection and Forms
relinquishments, contractions, and
terminations.
2. Future Rules
The Department has initiated
additional rulemaking related to OCS
renewable energy development. In the
Renewable Energy Modernization Rule,
the Department has proposed updates to
the regulations based on the experience
it has gained over the last decade of
managing offshore wind energy
development on the OCS. In addition,
the Department has begun work on a
rule (Renewable Energy Safety and
Assurance Rule, RIN Number 1014–
AA59) to modernize, streamline, and
clarify certain provisions that this rule
is moving to part 285. The
reorganization of the renewable energy
regulations in this rule will be reflected
in the regulatory structure of any future
final OCS renewable energy
development rule. Any final rule that
includes revisions to both part 285 and
part 585 regulations will reflect the
division of authorities among BOEM
and BSEE.
3. Technical Changes and Corrections
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In addition to the organizational
changes noted in the derivation table,
this rule makes minor technical changes
and corrections necessitated by the
reassignment of responsibilities and
makes non-substantive corrections to
previous errors. The substantive
regulatory requirements are not
changed. These technical changes and
corrections generally fall under the
following categories:
➢ Updated cross-references to reflect
the reorganized regulations and the
division of responsibilities between
BOEM and BSEE.
➢ Changed references from BOEM to
BSEE as applicable.
➢ Changed references from
‘‘subchapter’’ to ‘‘part’’ where
appropriate.
➢ Corrected spelling and grammar.
➢ Changed physical and website
addresses.
➢ Updated organizational titles.
➢ Replaced ‘‘BOEM’’ with ‘‘ONRR’’
in provisions related to lease and grant
payments to reflect that ONRR is the
correct payee for lease and grant
payments.
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This rule does not affect the
information collection burdens on the
regulated community other than
redirecting the submittal of certain
required reports to BSEE rather than to
BOEM. BSEE expects that OMB will
issue an IC control number to BSEE
shortly after publication of this rule. See
the analysis and burden table infra
Section IV.3, Paperwork Reduction Act.
BOEM continues to use its current
renewable energy information collection
forms previously approved by OMB;
those forms are unchanged by this rule.
Presently, BSEE is not issuing new
forms to manage the reporting
requirements reassigned to it, though it
may in the future.
5. Incorporation by Reference
This rule transfers one regulation that
incorporates a document by reference
from the former part 585 to the new part
285. Under the rules of the Office of the
Federal Register, material incorporated
by reference in a rule published in the
Federal Register is approved by the
Director of the Federal Register for a
specific section in that rule.
Consequently, transferring a regulation
that incorporates a document by
reference from the existing part 585 to
the new part 285 required that BSEE
request a new approval to incorporate
the document by reference. Following
the submittal of BSEE’s request,
approval to incorporate this document
by reference in the new part 285 will be
made effective by the Director of the
Federal Register as of January 31, 2023.
The document incorporated by
reference in part 285 is:
API RP 2A–WSD, Recommended Practice
for Planning, Designing and Constructing
Fixed Offshore Platforms—Working Stress
Design; Twenty-first Edition, December 2000;
Errata and Supplement 1, December 2002;
Errata and Supplement 2, September 2005;
Errata and Supplement 3, October 2007;
Product No. G2AWSD.
The American Petroleum Institute
(API) published this document, which
outlines best practices for the design
and construction of new fixed offshore
platforms and for the relocation of
existing platforms. The reference to the
twenty-first edition of this document is
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retained in this rule to avoid any
substantive effect on the regulated
community that might arise if BSEE
were to incorporate the newer twentysecond edition. BSEE may update the
regulations to incorporate newer
editions of the documents incorporated
by reference in a future rulemaking.
The recommended practices
described in this document are legally
binding to the extent the regulatory text
incorporates relevant material. BSEE
will refer to this document to hold
lessees, grantees, operators, and other
regulated parties accountable for
complying with the material
incorporated by reference in the
regulations.
This document is available for free
viewing online by visiting https://
publications.api.org. Once there, either
log-in or create a new account, accept
the terms and conditions, click ‘‘Browse
read only documents now,’’ and select
‘‘Exploration and Production.’’ RP 2A–
WSD should be one of the documents
listed. Hardcopies and printable digital
versions are available for purchase at
www.api.org/publications-standardsand-statistics/publications/governmentcited-safety-documents. Additionally,
the document may be reviewed at
BSEE’s office, 45600 Woodland Road,
Sterling, Virginia 20166, phone: 703–
787–1665.
Though the same API document is
incorporated in the regulation
transferred from the former § 585.115 to
the new § 285.115, the regulatory text
differs between the two sections. The
Office of the Federal Register mandated
that the language introduced to part 285
conform to its formatting and content
requirements; part 585 had been
exempted previously. The formatting
and language changes do not affect the
substance of the regulatory requirement.
Under this rulemaking, BOEM does
not incorporate by reference any
material into part 585. BOEM may
decide in the future to incorporate
material by reference through noticeand-comment rulemaking as
appropriate. Section 585.115 is reserved
in this rulemaking for that purpose.
C. Derivation Table for 30 CFR Parts
285, 585, and 586
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TABLE A—DERIVATION TABLE
BSEE Part 285
section
(new section)
BOEM Part 585 section
(existing section)
Description of reorganized sections
Subpart A—General Provisions
The general regulatory requirements in this subpart are relevant to both BOEM and BSEE. Between the two parts, subpart A includes some
sections that are identical, some that are similar, and others that are unique to one bureau, as explained below. Subpart A in both the BOEM
and BSEE parts refers to a ‘‘BOEM lease.’’
285.100 Authority
585.100 Authority
285.101 What is the purpose of this
part?
585.101 What is the purpose of
this part?
285.102 What are BSEE’s responsibilities under this part?
585.102 What are BOEM’s responsibilities under this part?
285.103 When may BSEE prescribe or approve departures
from these regulations?
285.104 [Reserved]
585.103 When may BOEM prescribe or approve departures
from these regulations?
585.104 Do I need a BOEM lease
or other authorization to produce
or support the production of
electricity or other energy product from a renewable energy resource on the OCS?
585.105 What are my responsibilities under this part?
585.106 Who can hold a lease or
grant under this part?
285.105 What are my responsibilities under this part?
285.106 [Reserved]
285.107 [Reserved]
285.108 [Reserved]
285.109 [Reserved]
285.110 How do I submit applications, reports, or notices required
by this part?
285.111 When and how does
BSEE charge me processing
fees on a case-by-case basis?
285.112 Definitions
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285.113 How will data and information obtained by BSEE under this
part be disclosed to the public?
285.114 Paperwork Reduction Act
statements—information collection
285.115 Documents incorporated
by reference
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585.107 How do I show that I am
qualified to be a lessee or grant
holder?
585.108 When must I notify BOEM
if an action has been filed alleging that I am insolvent or bankrupt?
585.109 When must I notify BOEM
of mergers, name changes, or
changes of business form?
585.110 How do I submit plans,
applications, or notices required
by this part?
585.111 When and how does
BOEM charge me processing
fees on a case-by-case basis?
585.112 Definitions
585.113 How will data and information obtained by BOEM
under this part be disclosed to
the public?
585.114 Paperwork Reduction Act
statements—information collection
585.115 Documents incorporated
by reference
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This section remains in part 585, the OCSLA authority is updated
and limited to the renewable energy program. The full authority is
now at § 285.100 in part 285.
In part 585, references to the alternate use RUEs are removed. Existing paragraphs (b) and (c) of § 585.101 are included in
§ 285.101. The paragraphs are renumbered accordingly.
This section remains in part 585. In part 285, paragraphs (a)(8)–(11)
and (e) of § 585.102 are not included in § 285.102. The paragraphs
are renumbered accordingly.
This section remains in existing part 585 and is included in part 285.
This section remains in part 585 only. Section 285.104 is reserved in
part 285.
This section remains in part 585 and is included in part 285.
This section is replaced with a new § 585.106 What happens if I fail
to comply with this part?, formerly numbered § 585.400. In the new
585.106, paragraph (d) of 585.400 is modified by replacing
‘‘BOEM’’ with ‘‘BSEE,’’ paragraph (e) of 585.400 is omitted, and
the remaining paragraphs are renumbered accordingly. Existing
§ 585.106 is renumbered to 585.107. Section 285.106 is reserved
in part 285.
This section is renumbered to 585.108. Section 285.107 is reserved
in part 285.
This section is renumbered to 585.109. Section 285.108 is reserved
in part 285.
This section is renumbered to 585.110. Section 285.109 is reserved
in part 285.
This section is renumbered to 585.111 and is included in part 285.
This section is renumbered to 585.112 and is included in part 285.
This section is renumbered to 585.113 and is included in part 285. In
the new 585.113, definitions related to Alternate Use RUEs were
moved to part 586.113 Definitions.
This section is renumbered to 585.114 and is included in part 285.
This section is renumbered to 585.115 and is included in part 285.
The content of existing 585.115 is removed from part 585 and moved
to 285.115. The revisions made to conform to the Office of the
Federal Register requirements result in no substantive changes.
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6381
TABLE A—DERIVATION TABLE—Continued
BSEE Part 285
section
(new section)
BOEM Part 585 section
(existing section)
Description of reorganized sections
285.116 Requests for information
on the state of the offshore renewable energy industry
285.117 [Reserved]
585.116 Requests for information
on the state of the offshore renewable energy industry
585.117 [Reserved]
285.118 What
rights?
585.118 What are my appeal
rights?
This section remains in part 585.116 and is included in part 285.
Paragraph (b) of existing 585.116 was not moved to 285.116. The
paragraphs in § 285.116 are renumbered accordingly.
This section remains reserved in part 585 and is included as reserved in part 285.
This section remains in part 585 and is included in part 285. Only
paragraphs (a) and (b) are moved to § 285.118.
are
my
appeal
Subpart B—Issuance of OCS Renewable Energy Leases
The regulatory requirements in this subpart are administered by BOEM; therefore, the subpart remains in part 585 only. Subpart B is reserved
in part 285.
General Lease Information
585.200 What rights are granted
with a lease issued under this
part?
This section remains in part 585 only.
585.201 How will BOEM issue
leases?
585.202 What types of leases will
BOEM issue?
585.203 With whom will BOEM
consult before issuance of a
lease?
585.204 What areas are available
for leasing consideration?
585.205 How will leases be
mapped?
585.206 What is the lease size?
585.207–585.209 [Reserved]
This section remains in part 585 only.
This section remains in part 585 only.
This section remains in part 585 only.
This section remains in part 585 only.
This section remains in part 585 only.
This section remains in part 585 only.
These sections remain reserved in part 585.
Competitive Lease Process
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585.210 How does BOEM initiate
the competitive leasing process?
585.211 What is the process for
competitive issuance of leases?
585.212 What is the process
BOEM will follow if there is reason to believe that competitors
have withdrawn before the Final
Sale Notice is issued?
585.213 What must I submit in response to a Request for Interest
or a Call for Information and
Nominations?
585.214 What will BOEM do with
information from the Requests
for Information or Calls for Information and Nominations?
585.215 What areas will BOEM
offer in a lease sale?
585.216 What information will
BOEM publish in the Proposed
Sale Notice and Final Sale Notice?
585.217–585.219 [Reserved]
This section remains in part 585 only.
This section remains in part 585 only.
This section remains in part 585 only.
This section remains in part 585 only.
This section remains in part 585 only.
This section remains in part 585 only.
This section remains in part 585 only.
These sections remain reserved in part 585.
Competitive Lease Award Process
585.220 What auction format may
BOEM use in a lease sale?
585.221 What bidding systems
may BOEM use for commercial
leases and limited leases?
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This section remains in part 585 only.
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Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations
TABLE A—DERIVATION TABLE—Continued
BSEE Part 285
section
(new section)
BOEM Part 585 section
(existing section)
585.222 What does BOEM do with
my bid?
585.223 What does BOEM do if
there is a tie for the highest bid?
585.224 What happens if BOEM
accepts my bid?
585.225 What happens if my bid is
rejected, and what are my appeal rights?
585.226–585.229 [Reserved]
Description of reorganized sections
This section remains in part 585 only.
This section remains in part 585 only.
This section remains in part 585 only.
This section remains in part 585 only.
These sections remain reserved in part 585.
Noncompetitive Lease Award Process
585.230 May I request a lease if
there is no Call?
585.231 How will BOEM process
my unsolicited request for a
noncompetitive lease?
585.232 May I acquire a lease
noncompetitively after responding to a Request for Interest or
Call for Information and Nominations?
585.233 and 585.234 [Reserved]
This section remains in part 585 only.
This section remains in part 585 only.
This section remains in part 585 only.
These sections remain reserved in part 585.
Commercial and Limited Lease Terms
585.235 If I have a commercial
lease, how long will my lease
remain in effect?
585.236 If I have a limited lease,
how long will my lease remain in
effect?
585.237, What is the effective date
of a lease?
585.238, Are there any other renewable energy research activities that will be allowed on the
OCS?
This section remains in part 585 only.
This section remains in part 585 only.
This section remains in part 585 only.
This section is renumbered to § 585.239 and replaced with § 585.238
May I develop my commercial lease in phases?, formerly 585.629
May I develop my lease in phases?
Subpart C—Rights-of-Way (ROW) and Rights-of-Use and Easement (RUE) Grants for Renewable Energy Activities
The regulatory requirements related to ROW grants and RUE grants in this subpart are administered by BOEM and remain in part 585 only.
Subpart C is reserved in part 285.
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ROW Grants and RUE Grants
585.300 What types of activities
are authorized by ROW grants
and RUE grants issued under
this part?
585.301 What do ROW grants and
RUE grants include?
585.302 What are the general requirements for ROW grant and
RUE grant holders?
585.303 How long will my ROW
grant or RUE grant remain in effect?
585.304 [Reserved]
This section remains in part 585 only.
This section remains in part 585 only.
This section remains in part 585 only.
This section remains in part 585 only.
This section remains reserved in part 585.
Obtaining ROW Grants and RUE Grants
585.305 How do I request a ROW
grant or RUE grant?
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Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations
6383
TABLE A—DERIVATION TABLE—Continued
BSEE Part 285
section
(new section)
BOEM Part 585 section
(existing section)
585.306 What action will BOEM
take on my request?
585.307 How will BOEM determine whether competitive interest exists for ROW grants and
RUE grants?
585.308 How will BOEM conduct
an auction for ROW grants and
RUE grants?
585.309 When will BOEM issue a
noncompetitive ROW grant or
RUE grant?
585.310 What is the effective date
of a ROW grant or RUE grant?
585.311–585.314 [Reserved]
Description of reorganized sections
This section remains in part 585 only.
This section remains in part 585 only.
This section remains in part 585 only.
This section remains in part 585 only.
This section remains in part 585 only.
These sections remain reserved in part 585.
Financial Requirements for ROW Grants and RUE Grants
585.315 What deposits are required for a competitive ROW
grant or RUE grant?
585.316 What payments are required for ROW grants or RUE
grants?
This section remains in part 585 only.
This section remains in part 585 only. The reference to BOEM in
subparagraph (a) is changed to ONRR, to reflect the fact that bid
payments are submitted to ONRR rather than BOEM.
Subpart D—Lease and Grant Administration (Part 585)
Subpart D—Lease and Grant Administration (Part 285)
Some regulatory requirements in subpart D are relevant to both BOEM and BSEE; thus, they appear in both parts. Subpart D is entitled, ‘‘Lease
and Grant Administration’’ in both part 285 and part 585.
Noncompliance
The phrase ‘‘and Cessation Orders’’ is removed in part 285. The heading ‘‘Noncompliance and Cessation Orders’’ is removed in part 585. A
new undesignated center heading ‘‘Cessation Orders’’ is added before § 285.401 only.)
285.400 What happens if I fail to
comply with this part?
585.400 What happens if I fail to
comply with this part?
This part is included in part 285. In part 585, this section is removed
from subpart D and moved to subpart A as 585.106, paragraph (d)
is modified by replacing ‘‘BOEM’’ with ‘‘BSEE’’, paragraph (e) of
existing 585.400 is not included, and the paragraphs are renumbered accordingly.
Cessation Orders
285.401 When may BSEE issue a
cessation order?
285.402 What is the effect of a cessation order?
285.403 and 285.404 [Reserved]
585.401 When may BOEM issue a
cessation order?
585.402 What is the effect of a
cessation order?
585.403 and 585.404 [Reserved]
This section is removed and reserved in part 585 and is included in
part 285.
This section is removed and reserved in part 585 and is included in
part 285.
These sections remain reserved in part 585 and are included as reserved in part 285.
Responsibility for Fulfilling Obligations (used in part 285)
Designation of Operator (used in part 585)
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285.405 [Reserved]
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585.405 How do I designate an
operator?
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285.
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6384
Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations
TABLE A—DERIVATION TABLE—Continued
BSEE Part 285
section
(new section)
BOEM Part 585 section
(existing section)
Description of reorganized sections
285.406 Who is responsible for fulfilling lease and grant obligations?
285.407 [Reserved]
585.406 Who is responsible for
fulfilling lease and grant obligations?
585.407 [Reserved]
This section remains in part 585 and is included in part 285. Existing
paragraph (b) is modified in § 285.406 by replacing ‘‘BOEM’’ with
‘‘BSEE.’’
This section remains reserved in part 585 and is included as reserved in part 285.
Lease or Grant Assignment
285.408 [Reserved]
585.408 May I assign my lease or
grant interest?
585.409 How do I request approval of a lease or grant assignment?
585.410 How does an assignment
affect the assignor’s liability?
585.411 How does an assignment
affect the assignee’s liability?
585.412–585.414 [Reserved]
285.409 [Reserved]
285.410 [Reserved]
285.411 [Reserved]
285.412–285.414 [Reserved]
This section remains in part 585 and is included as reserved in part
285.
This section remains in part 585 and is included as reserved in part
285.
This section remains in part 585 and is included as reserved in part
285.
This section remains in part 585 and is included as reserved in part
285.
These sections remain reserved in part 585 and are included as reserved in part 285.
Lease or Grant Suspension
285.415 What is a lease or grant
suspension?
285.416 [Reserved]
285.417 When may BSEE order a
suspension?
585.415 What is a lease or grant
suspension?
585.416 How do I request a lease
or grant suspension?
585.417 When may BOEM order a
suspension?
285.418 How will BSEE issue a
suspension?
285.419 What are my immediate
responsibilities if I receive a suspension order?
285.420 What effect does a suspension order have on my payments?
285.421 How long will a suspension be in effect?
285.422–285.424 [Reserved]
585.418 How will BOEM issue a
suspension?
585.419 What are my immediate
responsibilities if I receive a suspension order?
585.420 What effect does a suspension order have on my payments?
585.421 How long will a suspension be in effect?
585.422- 585.424 [Reserved]
This section remains in part 585 and is included in part 285.
This section remains in part 585 and is included as reserved in part
285.
This section remains in part 585 and is included in part 285. Section
585.417 is revised to combine only existing paragraphs (a)(1) and
(a)(3) into a single paragraph. Section 285.417 includes similar
content from current 585.417 but combines only existing paragraphs (a)(1) and (a)(2) of § 585.417 into a single paragraph.
This section remains in part 585 and is included in part 285.
This section remains in part 585 and is included in part 285.
This section remains in part 585 and is included in part 285. Only existing paragraph (c) is included in part 285.
This section remains in part 585 and is included in part 285.
Existing section 585.437 is moved to § 585.422 and is included under
heading Lease or Grant Cancellation. Sections 585.423 and
585.424 remain reserved in part 585. These sections are included
as reserved in part 285.
Lease or Grant Renewal
285.425 [Reserved]
585.425 May I obtain a renewal of
my lease or grant before it terminates?
585.426 When must I submit my
request for renewal?
585.427 How long is a renewal?
285.426 [Reserved]
285.427 [Reserved]
285.428 [Reserved]
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285.429 [Reserved]
285.430 and 285.431 [Reserved]
585.428 What effect does applying
for a renewal have on my activities and payments?
585.429 What criteria will BOEM
consider in deciding whether to
renew a lease or grant?
585.430 and 585.431 [Reserved]
This section remains in part 585 and is included as reserved in part
285.
This section remains in part 585 and is included as reserved in part
285.
This section remains in part 585 and is included as reserved in part
285.
This section remains in part 585 and is included as reserved in part
285.
This section remains in part 585 and is included as reserved in part
285.
These sections remain reserved in part 585 and are included as reserved in part 285.
Lease or Grant Termination
285.432 [Reserved]
285.433 What must I do after my
lease or grant terminates?
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585.432 When does my lease or
grant terminate?
585.433 What must I do after my
lease or grant terminates?
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285.
This section remains in part 585 and is included in part 285.
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Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations
6385
TABLE A—DERIVATION TABLE—Continued
BSEE Part 285
section
(new section)
BOEM Part 585 section
(existing section)
285.434 [Reserved]
Description of reorganized sections
585.434 [Reserved]
Existing section 585.909 is moved to § 585.434. This section is included as reserved in part 285.
Lease or Grant Relinquishment
285.435 [Reserved]
585.435 How can I relinquish a
lease or a grant or parts of a
lease or grant?
This section remains in part 585 and is included as reserved in part
285.
Lease or Grant Contraction
285.436 [Reserved]
585.436 Can BOEM require lease
or grant contraction?
This section remains in part 585 and is included as reserved in part
285.
Lease or Grant Cancellation
285.437 When can my lease or
grant be cancelled?
585.437 When can my lease or
grant be cancelled?
This section is moved in part 585 to 585.422 and is included in part
285.
Subpart E—Payments and Financial Assurance Requirements
The regulatory requirements in this subpart are administered by BOEM and remain in part 585 only. Subpart E is reserved in part 285.
Payments
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585.500 How do I make payments
under this part?
585.501 What deposits must I
submit for a competitively issued
lease, ROW grant, or RUE
grant?
585.502 What initial payment requirements must I meet to obtain a noncompetitive lease,
ROW grant, or RUE grant?
585.503 What are the rent and operating fee requirements for a
commercial lease?
585.504 How are my payments affected if I develop my lease in
phases?
585.505 What are the rent and operating fee requirements for a
limited lease?
585.506 What operating fees must
I pay on a commercial lease?
585.507 What rent payments must
I pay on a project easement?
585.508 What rent payments must
I pay on ROW grants or RUE
grants associated with renewable energy projects?
585.509 Who is responsible for
submitting lease or grant payments to BOEM?
585.510 May BOEM reduce or
waive my lease or grant payments?
585.511–585.514 [Reserved]
This section remains in part 585 only.
This section remains in part 585 only.
This section remains in part 585 only.
This section remains in part 585 only.
This section remains in part 585 only.
This section remains in part 585 only.
This section remains in part 585 only.
This section remains in part 585 only.
This section remains in part 585 only.
This section remains in part 585 only.
This section remains in part 585 only.
These sections remain reserved in part 585.
Financial Assurance Requirements for Commercial Leases
585.515 What financial assurance
must I provide when I obtain my
commercial lease?
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Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations
TABLE A—DERIVATION TABLE—Continued
BSEE Part 285
section
(new section)
BOEM Part 585 section
(existing section)
585.516 What are the financial assurance requirements for each
stage of my commercial lease?
585.517 How will BOEM determine the amounts of the supplemental and decommissioning financial assurance requirements
associated
with
commercial
leases?
585.518 and 585.519 [Reserved]
Description of reorganized sections
This section remains in part 585 only.
This section remains in part 585 only.
These sections remain reserved in part 585.
Financial Assurance for Limited Leases, ROW Grants, and RUE Grants
585.520 What financial assurance
must I provide when I obtain my
limited lease, ROW grant, or
RUE grant?
585.521 Do my financial assurance requirements change as
activities progress on my limited
lease or grant?
585.522–585.524 [Reserved]
This section remains in part 585 only.
This section remains in part 585 only.
These sections remain reserved in part 585.
Requirements for Financial Assurance Instruments
585.525 What general requirements must a financial assurance instrument meet?
585.526 What instruments other
than a surety bond may I use to
meet the financial assurance requirement?
585.527 May I demonstrate financial strength and reliability to
meet the financial assurance requirement for lease or grant activities?
585.528 May I use a third-party
guaranty to meet the financial
assurance requirement for lease
or grant activities?
585.529 Can I use a lease- or
grant-specific decommissioning
account to meet the financial assurance requirements related to
decommissioning?
This section remains in part 585 only.
This section remains in part 585 only.
This section remains in part 585 only.
This section remains in part 585 only.
This section remains in part 585 only.
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Changes in Financial Assurance
585.530 What must I do if my financial assurance lapses?
585.531 What happens if the
value of my financial assurance
is reduced?
585.532 What happens if my surety wants to terminate the period of liability of my bond?
585.533 How does my surety obtain cancellation of my bond?
585.534 When may BOEM cancel
my bond?
585.535 Why might BOEM call for
forfeiture of my bond?
585.536 How will I be notified of a
call for forfeiture?
585.537 How will BOEM proceed
once my bond or other security
is forfeited?
585.538 and 585.539 [Reserved]
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This section remains in part 585 only.
This section remains in part 585 only.
This section remains in part 585 only.
This section remains in part 585 only.
This section remains in part 585 only.
This section remains in part 585 only.
This section remains in part 585 only.
This section remains in part 585 only.
These sections remain reserved in part 585.
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6387
TABLE A—DERIVATION TABLE—Continued
BSEE Part 285
section
(new section)
BOEM Part 585 section
(existing section)
Description of reorganized sections
Revenue Sharing With States
585.540 How will BOEM equitably
distribute revenues to the
States?
585.541 What is a qualified project
for revenue sharing purposes?
585.542 What makes a State eligible for payment of revenues?
585.543 Example of how the inverse distance formula works
This section remains in part 585 only.
This section remains in part 585 only.
This section remains in part 585 only.
This section remains in part 585 only.
Subpart F—Plan Requirements (Part 585)
Subpart F—Information Requirements (Part 285)
Some regulatory requirements in this subpart are relevant to both BOEM and BSEE; therefore, they appear in both parts. In part 285, subpart F
is entitled, ‘‘Information Requirements’’; in part 585, it is entitled, ‘‘Plan Requirements.’’
285.600 [Reserved]
285.601 [Reserved]
285.602 What records must I maintain?
285.603 and 285.604 [Reserved]
585.600 What plans and information must I submit to BOEM before I conduct activities on my
lease or grant?
585.601 When am I required to
submit my plans to BOEM?
585.602 What records must I
maintain?
585.603 and 585.604 [Reserved]
This section remains in part 585 and is included as reserved in part
285.
This section remains in part 585 and is included as reserved in part
285.
This section is reserved in part 585 and is included in part 285.
These sections remain reserved in part 585 and are included as reserved in part 285.
Site Assessment Plan and Information Requirements for Commercial Leases
285.605 [Reserved]
285.606 [Reserved]
285.607 [Reserved]
285.608 and 285.609 [Reserved]
585.605 What is a Site Assessment Plan (SAP)?
585.606 What must I demonstrate
in my SAP?
585.607 How do I submit my
SAP?
585.608 and 585.609 [Reserved]
This section remains in part 585 and is
285.
This section remains in part 585 and is
285.
This section remains in part 585 and is
285.
These sections remain reserved in part
served in part 285.
included as reserved in part
included as reserved in part
included as reserved in part
585 and are included as re-
Contents of the Site Assessment Plan
285.610 [Reserved]
585.610 What must I include in my
SAP?
585.611 What information and certifications must I submit with my
SAP to assist BOEM in complying with NEPA and other relevant laws?
585.612 How will my SAP be
processed for Federal consistency under the Coastal Zone
Management Act?
585.613 How will BOEM process
my SAP?
285.611 [Reserved]
285.612 [Reserved]
285.613 [Reserved]
This section remains in part 585 and is included as reserved in part
285.
This section remains in part 585 and is included as reserved in part
285.
This section remains in part 585 and is included as reserved in part
285.
This section remains in part 585 and is included as reserved in part
285.
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Activities Under an Approved SAP
285.614 When may I begin conducting activities under my approved SAP?
285.615 What other reports or notices must I submit to BSEE
under my approved SAP?
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585.614 When may I begin conducting activities under my approved SAP?
585.615 What other reports or notices must I submit to BOEM
under my approved SAP?
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This section remains in part 585 and is included in part 285.
This section remains in part 585 and is included in part 285. Only existing paragraph (b) remains in part 585.
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6388
Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations
TABLE A—DERIVATION TABLE—Continued
BSEE Part 285
section
(new section)
BOEM Part 585 section
(existing section)
285.616 [Reserved]
585.616 [Reserved]
285.617 [Reserved]
585.617 What activities require a
revision to my SAP, and when
will BOEM approve the revision?
585.618 What must I do upon
completion of approved site assessment activities?
585.619 [Reserved]
285.618 [Reserved]
285.619 [Reserved]
Description of reorganized sections
This section remains reserved in part 585 and is included as reserved in part 285.
This section remains in part 585 and is included as reserved in part
285.
This section remains in part 585 and is included as reserved in part
285.
This section remains reserved in part 585 and is included as reserved in part 285.
Construction and Operations Plan for Commercial Leases
285.620 [Reserved]
585.620 What is a Construction
and Operations Plan?
585.621 What must I demonstrate
in my COP?
585.622 How do I submit my
COP?
585.623–585.625 [Reserved]
285.621 [Reserved]
285.622 [Reserved]
285.623–285.625 [Reserved]
This section remains in part 585 and is
285.
This section remains in part 585 and is
285.
This section remains in part 585 and is
285.
These sections remain reserved in part
served in part 285.
included as reserved in part
included as reserved in part
included as reserved in part
585 and are included as re-
Contents of the Construction and Operations Plan
285.626 [Reserved]
585.626 What must I include in my
COP?
585.627 What information and certificates must I submit with my
COP to assist the BOEM in
complying with NEPA and other
relevant laws?
585.628 How will BOEM process
my COP?
585.629 May I develop my lease
in phases?
585.630 [Reserved]
285.627 [Reserved]
285.628 [Reserved]
285.629 [Reserved]
285.630 [Reserved]
This section remains in part 585 and is included as reserved in part
285.
This section remains in part 585 and is included as reserved in part
285. Existing paragraph (c) is modified to read, ‘‘You must submit
your oil spill response plan to BSEE’’ Existing paragraph (d) is
modified to read, ‘‘You must submit your safety management system to BSEE’’
This section remains in part 585 and is included as reserved in part
285.
This content of this section is moved to 585.238, under the leasing
provisions, and is included as reserved in parts 285 and 585.
This section remains reserved in part 585 and is included as reserved in part 285.
Activities Under an Approved COP
285.631 When must I initiate activities under an approved COP?
285.632 What documents must I
submit before I may construct
and install facilities under my approved COP?
285.633 How do I comply with my
COP?
285.634 [Reserved]
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285.635 [Reserved]
285.636 What notices must I provide BSEE following approval of
my COP?
285.637 When may I commence
commercial operations on my
commercial lease?
285.638 What must I do upon completion of my commercial operations as approved in my COP or
FERC license?
285.639 [Reserved]
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585.631 When must I initiate activities under an approved COP?
585.632 What documents must I
submit before I may construct
and install facilities under my
approved COP?
585.633 How do I comply with my
COP?
585.634 What activities require a
revision to my COP, and when
will BOEM approve the revision?
585.635 What must I do if I cease
activities approved in my COP
before the end of my commercial lease?
585.636 What notices must I provide BOEM following approval of
my COP?
585.637 When may I commence
commercial operations on my
commercial lease?
585.638 What must I do upon
completion of my commercial
operations as approved in my
COP or FERC license?
585.639 [Reserved]
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This section remains in part 585 and is included in part 285.
This section remains in part 585 and is included in part 285.
This section is removed and reserved in part 585 and is included in
part 285.
This section remains in part 585 and is included as reserved in part
285.
This section remains in part 585 and is included as reserved in part
285.
This section is removed and reserved in part 585 and is included in
part 285.
This section is removed and reserved in part 585 and is included in
part 285.
This section is removed and reserved in part 585 and is included in
part 285.
This section remains reserved in part 585 and is included as reserved in part 285.
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TABLE A—DERIVATION TABLE—Continued
BSEE Part 285
section
(new section)
BOEM Part 585 section
(existing section)
Description of reorganized sections
General Activities Plan Requirements for Limited Leases, ROW Grants, and RUE Grants
285.640 [Reserved]
285.641 [Reserved]
285.642 [Reserved]
285.643 and 285.644 [Reserved]
585.640 What is a General Activities Plan (GAP)?
585.641 What must I demonstrate
in my GAP?
585.642 How do I submit my
GAP?
585.643 and 585.644 [Reserved]
This section remains in part 585 and is
285.
This section remains in part 585 and is
285.
This section remains in part 585 and is
285.
These sections remain reserved in part
served in part 285.
included as reserved in part
included as reserved in part
included as reserved in part
585 and are included as re-
Contents of the General Activities Plan
285.645 [Reserved]
585.645 What must I include in my
GAP?
585.646 What information and certifications must I submit with my
GAP to assist BOEM in complying with NEPA and other relevant laws?
585.647 How will my GAP be
processed for Federal consistency under the Coastal Zone
Management Act?
585.648 How will BOEM process
my GAP?
585.649 [Reserved]
285.646 [Reserved]
285.647 [Reserved]
285.648 [Reserved]
285.649 [Reserved]
This section remains in part 585 and is included as reserved in part
285.
This section remains in part 585 and is included as reserved in part
285.
This section remains in part 585 and is included as reserved in part
285.
This section remains in part 585 and is included as reserved in part
285.
This section remains reserved in part 585 and is included as reserved in part 285.
Activities Under an Approved GAP
285.650 When may I begin conducting activities under my GAP?
285.651 When may I construct
complex or significant OCS facilities on my limited lease or any
facilities on my project easement
proposed under my GAP?
285.652 [Reserved]
285.653 What other reports or notices must I submit to BSEE
under my approved GAP?
285.654 [Reserved]
285.655 [Reserved]
285.656 [Reserved]
285.657 [Reserved]
585.650 When may I begin conducting activities under my
GAP?
585.651 When may I construct
complex or significant OCS facilities on my limited lease or
any facilities on my project
easement proposed under my
GAP?
285.652 How long do I have to
conduct activities under an approved GAP?
585.653 What other reports or notices must I submit to BOEM
under my approved GAP?
585.654 [Reserved]
585.655 What activities require a
revision to my GAP, and when
will BOEM approve the revision?
585.656 What must I do if I cease
activities approved in my GAP
before the end of my term?
585.657 What must I do upon
completion of approved activities
under my GAP?
This section remains in part 585 and is included in part 285.
This section remains in part 585 and is included in part 285.
This section remains in part 585 and is included as reserved in part
285.
This section remains in part 585 and is included in part 285. Only existing paragraph (b) remains in part 585.
This section remains reserved in part 585 and is included as reserved in part 285.
This section remains in part 585 and is included as reserved in part
285.
This section remains in part 585 and is included as reserved in part
285.
This section remains in part 585 and is included as reserved in part
285.
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Cable and Pipeline Deviations
285.658 [Reserved]
285.659 [Reserved]
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585.658 Can my cable or pipeline
construction deviate from my
approved COP or GAP?
585.659 What requirements must I
include in my SAP, COP, or
GAP regarding air quality?
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This section remains in part 585 and is included as reserved in part
285.
This section is moved to 585.700 in part 585, under the heading Environmental Protection Requirements Under Approved Plans. Part
585.659 is reserved in part 585 and part 285.
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Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations
TABLE A—DERIVATION TABLE—Continued
BSEE Part 285
section
(new section)
BOEM Part 585 section
(existing section)
Description of reorganized sections
Subpart G—Facility Design, Fabrication, and Installation
The regulatory requirements in this subpart are administered by BSEE and are included in part 285 only. Subpart G is removed and reserved in
part 585.
Reports
285.700 What reports must I submit
to BSEE before installing facilities
described in my approved SAP,
COP, or GAP?
285.701 What must I include in my
Facility Design Report?
585.700 What reports must I submit to BOEM before installing facilities described in my approved
SAP, COP, or GAP?
585.701 What must I include in my
Facility Design Report?
285.702 What must I include in my
Fabrication and Installation Report?
285.703 What reports must I submit
for project modifications and repairs?
285.704 [Reserved]
585.702 What must I include in my
Fabrication and Installation Report?
585.703 What reports must I submit for project modifications and
repairs?
585.704 [Reserved]
This section is included in part 285. In part 585, the contents of existing section 585.659 are relocated to 585.700, under the heading
Environmental Protection Requirements Under Approved Plans.
This section is included in part 285. In part 585, the contents of existing section 585.801 are relocated to 585.701, under the heading
Environmental Protection Requirements Under Approved Plans.
This section is included in part 285. In part 585, the contents of existing section 585.802 are relocated to 585.702, under the heading
Environmental Protection Requirements Under Approved Plans and
This section is included in part 285. In part 585, the contents of existing section 585.803 are relocated to § 585.703, under the heading
Environmental Protection Requirements Under Approved Plans.
This section is removed and reserved in part 585 and is included as
reserved in part 285.
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Certified Verification Agent
285.705 When must I use a Certified Verification Agent (CVA)?
285.706 How do I nominate a CVA
for BSEE approval?
285.707 What are the CVA’s primary duties for facility design review?
285.708 What are the CVA’s or
project engineer’s primary duties
for fabrication and installation review?
285.709 When conducting onsite
fabrication
inspections,
what
must the CVA or project engineer
verify?
285.710 When conducting onsite
installation
inspections,
what
must the CVA or project engineer
do?
285.711 [Reserved]
585.705 When must I use a Certified Verification Agent (CVA)?
585.706 How do I nominate a
CVA for BOEM approval?
585.707 What are the CVA’s primary duties for facility design review?
585.708 What are the CVA’s or
project engineer’s primary duties
for fabrication and installation
review?
585.709 When conducting onsite
fabrication inspections, what
must the CVA or project engineer verify?
585.710 When conducting onsite
installation inspections, what
must the CVA or project engineer do?
585.711 [Reserved]
285.712 What are the CVA’s or
project engineer’s reporting requirements?
285.713 What must I do after the
CVA or project engineer confirms
conformance with the Fabrication
and Installation Report on my
commercial lease?
285.714 What records relating to
SAPs, COPs, and GAPs must I
keep?
585.712 What are the CVA’s or
project engineer’s reporting requirements?
585.713 What must I do after the
CVA or project engineer confirms conformance with the Fabrication and Installation Report
on my commercial lease?
585.714 What records relating to
SAPs, COPs, and GAPs must I
keep?
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This section is removed and reserved in part 585 and is included in
part 285.
This section is removed and reserved in part 585 and is included in
part 285.
This section is removed and reserved in part 585 and is included in
part 285.
This section is removed and reserved in part 585 and is included in
part 285.
This section is removed and reserved in part 585 and is included in
part 285.
This section is removed and reserved in part 585 and is included in
part 285.
This section remains reserved in part 585 and is included as reserved in part 285.
This section is removed and reserved in part 585 and is included in
part 285.
This section is removed and reserved in part 585 and is included in
part 285.
This section is removed and reserved in part 585 and is included in
part 285.
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6391
TABLE A—DERIVATION TABLE—Continued
BSEE Part 285
section
(new section)
BOEM Part 585 section
(existing section)
Description of reorganized sections
Subpart H—Environmental and Safety Management, Inspections, and Facility Assessments for Activities Conducted Under SAPs,
COPs, and GAPs (Part 285)
Subpart H—[Reserved] (Part 585)
Most regulatory requirements in this subpart are administered by BSEE and are included in part 285 only; requirements administered by BOEM
are moved to other sections in BOEM’s part 585. In part 285, subpart H is entitled, ‘‘Environmental and Safety Management, Inspections, and
Facility Assessments for Activities Conducted under SAPS, COPs, and GAPs.’’ In part 585, subpart H is entitled, ‘‘[Reserved].’’
285.800 How must I conduct my
activities to comply with safety
and environmental requirements?
285.801 How must I conduct my
approved activities to protect marine mammals, threatened and
endangered species, and designated critical habitat?
285.802 What must I do if I discover a potential archaeological
resource while conducting my approved activities?
285.803 How must I conduct my
approved activities to protect essential fish habitats identified and
described under the MagnusonStevens Fishery Conservation
and Management Act?
285.804–285.809 [Reserved]
585.800 How must I conduct my
activities to comply with safety
and
environmental
requirements?
585.801 How must I conduct my
approved activities to protect
marine mammals, threatened
and endangered species, and
designated critical habitat?
585.802 What must I do if I discover a potential archaeological
resource while conducting my
approved activities?
585.803 How must I conduct my
approved activities to protect essential fish habitats identified
and described under the Magnuson-Stevens Fishery Conservation and Management Act?
585.804–585.809 [Reserved]
This section is removed and reserved in part 585 and is included in
part 285.
This section is moved to 585.701 and reserved in subpart H of part
585, and is included in part 285, as a cross-reference to 585.701.
This section is moved to § 585.702 and reserved in subpart H of part
585, and is included in part 285, as a cross-reference to 585.702.
This section is moved to § 585.703 and reserved in subpart H of part
585, and is included in part 285, as a cross-reference to 585.703.
These sections remain reserved in part 585 and are included as reserved in part 285.
Safety Management Systems
285.810 What must I include in my
Safety Management System?
285.811 When must I follow my
Safety Management System?
285.812 [Reserved]
585.810 What must I include in my
Safety Management System?
585.811 When must I follow my
Safety Management System?
585.812 [Reserved]
This section is removed and reserved in part 585 and is included in
part 285.
This section is removed and reserved in part 585 and is included in
part 285.
This section remains reserved in part 585 and is included as reserved in part 285.
Maintenance and Shutdowns
285.813 When do I have to report
removing equipment from service?
285.814 [Reserved]
585.813 When do I have to report
removing equipment from service?
585.814 [Reserved]
This section is removed and reserved in part 585 and is included in
part 285.
This section remains reserved in part 585 and is included as reserved in part 285.
Equipment Failure and Adverse Environmental Effects
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285.815 What must I do if I have
facility damage or an equipment
failure?
285.816 What must I do if environmental or other conditions adversely affect a cable, pipeline, or
facility?
285.817–285.819 [Reserved]
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585.815 What must I do if I have
facility damage or an equipment
failure?
585.816 What must I do if environmental or other conditions adversely affect a cable, pipeline,
or facility?
585.817–585.819 [Reserved]
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This section is removed and reserved in part 585 and is included in
part 285.
This section is removed and reserved in part 585 and is included in
part 285.
These sections remain reserved in part 585 and are included as reserved in part 285.
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Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations
TABLE A—DERIVATION TABLE—Continued
BSEE Part 285
section
(new section)
BOEM Part 585 section
(existing section)
Description of reorganized sections
Inspections and Assessment
285.820 Will BSEE conduct inspections?
285.821 Will BSEE conduct scheduled and unscheduled inspections?
285.822 What must I do when
BSEE conducts an inspection?
285.823 Will BSEE reimburse me
for my expenses related to inspections?
285.824 How must I conduct selfinspections?
285.825 When must I assess my
facilities?
285.826–285.829 [Reserved]
585.820 Will BOEM conduct inspections?
585.821 Will BOEM conduct
scheduled and unscheduled inspections?
585.822 What must I do when
BOEM conducts an inspection?
585.823 Will BOEM reimburse me
for my expenses related to inspections?
585.824 How must I conduct selfinspections?
585.825 When must I assess my
facilities?
585.826–585.829 [Reserved]
This section is removed and reserved in part 585 and is included in
part 285.
This section is removed and reserved in part 585 and is included in
part 285.
This section is removed and reserved in part 585 and is included in
part 285.
This section is removed and reserved in part 585 and is included in
part 285.
This section is removed and reserved in part 585 and is included in
part 285.
This section is removed and reserved in part 585 and is included in
part 285.
These sections remain reserved in part 585 and are included as reserved in part 285.
Incident Reporting and Investigation
285.830 What are my incident reporting requirements?
285.831 What incidents must I report, and when must I report
them?
285.832 How do I report incidents
requiring immediate notification?
285.833 What are the reporting requirements for incidents requiring
written notification?
585.830 What are my incident reporting requirements?
585.831 What incidents must I report, and when must I report
them?
585.832 How do I report incidents
requiring immediate notification?
585.833 What are the reporting requirements for incidents requiring written notification?
This section is removed and reserved in part 585 and is included in
part 285.
This section is removed and reserved in part 585 and is included in
part 285.
This section is removed and reserved in part 585 and is included in
part 285.
This section is removed and reserved in part 585 and is included in
part 285.
Subpart I—Decommissioning
Most regulatory requirements in this subpart are administered by BSEE and are included in part 285 only; these requirements are removed from
BOEM’s regulations. BOEM retains decision-making authority on whether lease or grant facilities should be allowed to remain in place upon
decommissioning.
Decommissioning Obligations and Requirements (Part 285)
285.900 Who must meet the decommissioning obligations in this
subpart?
285.901 When do I accrue decommissioning obligations?
285.902 What are the general requirements for decommissioning
for facilities authorized under my
SAP, COP, or GAP?
285.903 What are the requirements
for decommissioning FERC-licensed hydrokinetic facilities?
285.904 Can I request a departure
from the decommissioning requirements?
585.900 Who must meet the decommissioning obligations in
this subpart?
585.901 When do I accrue decommissioning obligations?
585.902 What are the general requirements for decommissioning
for facilities authorized under my
SAP, COP, or GAP?
585.903 What are the requirements
for
decommissioning
FERC-licensed hydrokinetic facilities?
585.904 Can I request a departure
from the decommissioning requirements?
This section is removed in part 585 and is included in part 285.
This section is removed in part 585 and is included in part 285.
This section is removed in part 585 and is included in part 285.
This section is removed in part 585 and is included in part 285.
This section is removed in part 585 and is included in part 285.
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Decommissioning Applications
285.905 When must I submit my
decommissioning application?
285.906 What must my decommissioning application include?
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585.905 When must I submit my
decommissioning application?
585.906 What must my decommissioning application include?
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This section is removed in part 585 and is included in part 285.
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6393
TABLE A—DERIVATION TABLE—Continued
BSEE Part 285
section
(new section)
BOEM Part 585 section
(existing section)
285.907 How will BSEE process
my decommissioning application?
585.907 How will BOEM process
my decommissioning application?
585.908 What must I include in my
decommissioning notice?
285.908 What must I include in my
decommissioning notice?
Description of reorganized sections
This section is removed in part 585 and is included in part 285.
This section is removed in part 585 and is included in part 285.
Facility Removal
285.909 When may facilities remain
in place following termination of a
lease or grant?
285.910 What must I do when I remove my facility?
585.911 [Reserved]
585.909 When may BOEM authorize facilities to remain in place
following termination of a lease
or grant?
585.910 What must I do when I
remove my facility?
585.911 [Reserved]
This section is removed in part 585 and is included in part 285. The
section heading in part 285 is revised.
This section is removed in part 585 and is included in part 285.
This section is removed in part 585 and is included as reserved in
part 285.
Decommissioning Report
285.912 After I remove a facility,
cable, or pipeline, what information must I submit?
585.912 After I remove a facility,
cable, or pipeline, what information must I submit?
This section is removed in part 585 and is included in part 285.
Compliance with an Approved Decommissioning Application
285.913 What happens if I fail to
comply with my approved decommissioning application?
585.913 What happens if I fail to
comply with my approved decommissioning application?
This section is removed in part 585 and is included in part 285.
Subpart J—Rights of Use and Easement for Energy- and Marine-Related Activities Using Existing OCS Facilities
The Department is relocating the regulations related to alternate use RUEs to a new part 586, accompanied by certain general authority provisions copied from part 585 Subpart A. Some regulatory requirements in this subpart are relevant to both BOEM and BSEE; therefore, they
appear in both parts 285 and 586. BSEE has the administrative responsibility for the decommissioning of an alternate use RUE, and those
sections are included in part 285 only. Subpart J of part 585 is removed and is replaced with a new part 586 entitled, Alternate Uses of Existing Facilities on the Outer Continental Shelf.
Regulated Activities
585.100 Authority
585.101 What is the purpose of
this part?
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585.102 What are BOEM’s responsibilities under this part?
585.103 When may BOEM prescribe or approve departures
from these regulations
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This section is included in part 586, the OCSLA authority is updated
and it is limited to Alternate Use RUEs. Section 586.100 is a new
section under a new Subpart A-General Provisions in a new part
586.
Paragraphs (a), (b), (c) and (d) of this section are included in
586.100, re-numbered to accommodate inclusion of the paragraphs
of 585.1000 What activities does this subpart regulate? Section
586.101 is a new section under a new Subpart A-General Provisions in a new part 586.
This section is included in part 586 as 586.103, which is a new section under a new Subpart A-General Provisions in a new part 586.
This section is included in part 586 as 586.104 which is a new section under a new Subpart A-General Provisions.
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Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations
TABLE A—DERIVATION TABLE—Continued
BSEE Part 285
section
(new section)
BOEM Part 585 section
(existing section)
585.104 Do I need a BOEM lease
or other authorization to produce
or support the production of
electricity
585.105 What are my responsibilities under this part?
585.106 Who can hold a lease or
grant under this part?
585.107 How do I show that I am
qualified to be a lease or grant
holder?
585.108 When must I notify BOEM
if an action has been filed alleging that I am insolvent or bankrupt?
585.109 When must I notify BOEM
of mergers, name changes, or
changes of business form?
585.110 How do I submit plans,
applications, reports, or notices
required in this part?
585.111 When and how does
BOEM charge me processing
fees on a case-by-case basis?
585.112 Definitions
585.113 How will data and information obtained by BOEM
under this part be disclosed to
the public?
585.114 Paperwork Reduction Act
statements-information collection
585.116 Requests for information
on the state of the offshore renewable energy industry
585.117 [Reserved]
285.1000 What activities does this
subpart regulate?
585.118 What are my appeal
rights?
585.1000 What activities does this
subpart regulate?
285.1001–285.1003 [Reserved]
585.1001–585.1003 [Reserved]
Description of reorganized sections
This section is removed in the new part 586.
This section is included as 586.105 and the undesignated paragraph
references to ‘‘lessee’’, ‘‘ROW grant’’, and ‘‘RUE grant’’ have been
deleted. This is a new section under a new Subpart A-General Provisions of the new part 586.
This section is included in part 586 as 586.107, with the references
to ‘‘lease’’ deleted. Section 585.106 is now entitled, What happens
if I fail to comply with this part?, to mirror the General Provisions of
the Renewable Energy part 585 regulations.
This section is included in part 586 and renumbered 586.108. This is
a new section under a new Subpart A-General Provisions in a new
part 586.
This section is included as 586.109. This is a new section under a
new Subpart A-General Provisions in a new part 586.
This section is included as 586.110. This is a new section under a
new Subpart A-General Provisions in a new part 586.
This section is included as 586.111. This is a new section under a
new Subpart A-General Provisions in a new part 586.
This section is included as 586.112. This is a new section under a
new Subpart A-General Provisions in a new part 586.
This section is included as 586.113. Definitions for terms not included
in part 586 have been removed. This is a new section under a new
Subpart A-General Provisions in a new part 586.
This section is included as section 586.114. This is a new section
under a new Subpart A-General Provisions in a new part 586.
This section is included as section 586.115. This is a new section
under a new Subpart A-General Provisions in a new part 586.
The content of existing 585.116 is not included in new part 586. Section 586.116 is reserved.
This section is reserved as section 586.117 under a new Subpart AGeneral Provisions in a new part 586.
This section is included as 586.118 under a new Subpart A-General
Provisions in a new part 586.
This section is removed and its contents relocated to § 586.102 under
a new Subpart A-General Provisions in a new part 586. This section is also included in part 285.
These sections are removed in part 585 and are included as reserved in part 285.
khammond on DSKJM1Z7X2PROD with RULES2
Requesting an Alternate Use RUE
285.1004 [Reserved]
585.1004 What must I do before I
request an Alternate Use RUE?
285.1005 [Reserved]
585.1005 How do I request an Alternate Use RUE?
285.1006 [Reserved]
585.1006 How will BOEM decide
whether to issue an Alternate
Use RUE?
285.1007 [Reserved]
585.1007 What process will BOEM
use for competitively offering an
Alternate Use RUE?
VerDate Sep<11>2014
19:52 Jan 30, 2023
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Fmt 4701
This section is removed and relocated to a new part 586, to
§ 586.200 under a new Subpart B-Issuance of Alternate Use RUEs
for Energy- and Marine-Related Activities Using Existing OCS Facilities. This section is also included as reserved in part 285.
This section is removed and relocated to a new part 586, to
§ 586.201 under a new Subpart B-Issuance of Alternate Use RUEs
for Energy- and Marine-Related Activities Using Existing OCS Facilities. This section is also included as reserved in part 285.
This section is removed and relocated to a new part 586, to
§ 586.202 under a new Subpart B-Issuance of Alternate Use RUEs
for Energy- and Marine-Related Activities Using Existing OCS Facilities. This section is also included as reserved in part 285.
This section is removed and relocated to a new part 586, to
§ 586.203 under a new Subpart B-Issuance of Alternate Use RUEs
for Energy- and Marine-Related Activities Using Existing OCS Facilities. This section is also included as reserved in part 285.
Sfmt 4700
E:\FR\FM\31JAR2.SGM
31JAR2
Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations
6395
TABLE A—DERIVATION TABLE—Continued
BSEE Part 285
section
(new section)
BOEM Part 585 section
(existing section)
285.1008 and 285.1009 [Reserved]
585.1008
served]
and
585.1009
Description of reorganized sections
[Re-
These sections are removed in part 585 and are included as reserved in part 285. Sections 586.204 through 586.209 are also reserved.
Alternate Use RUE Administration
285.1010 [Reserved]
585.1010 How long may I conduct
activities under an Alternate Use
RUE?
285.1011 [Reserved]
585.1011 What payments are required for an Alternate Use
RUE?
285.1012 [Reserved]
585.1012 What financial assurance is required for an Alternate
Use RUE?
285.1013 [Reserved]
585.1013 Is an Alternate Use RUE
assignable?
285.1014 When will BSEE suspend
an Alternate Use RUE?
585.1014 When will BOEM suspend an Alternate Use RUE?
285.1015 [Reserved]
585.1015 How do I relinquish an
Alternate Use RUE?
285.1016 When will an Alternate
Use RUE be cancelled?
585.1016 When will an Alternate
Use RUE be cancelled?
285.1017 [Reserved]
585.1017 [Reserved]
This section is removed and relocated to a new part 586, to
§ 586.210 under a new Subpart B-Issuance of Alternate Use RUEs
for Energy- and Marine-Related Activities Using Existing OCS Facilities. This section is also included as reserved in part 285.
This section is removed and relocated to a new part 586, to
§ 586.211 under a new Subpart B-Issuance of Alternate Use RUEs
for Energy- and Marine-Related Activities Using Existing OCS Facilities. This section is also included as reserved in part 285.
This section is removed and relocated to a new part 586, to
§ 586.212 under a new Subpart B-Issuance of Alternate Use RUEs
for Energy- and Marine-Related Activities Using Existing OCS Facilities. This section is also included as reserved in part 285.
This section is removed and relocated to a new subpart, to § 586.213
under a new Subpart B-Issuance of Alternate Use RUEs for
Energy- and Marine-Related Activities Using Existing OCS Facilities. This section is also included as reserved in part 285.
This section is removed and relocated to a new subpart 586, to
§ 586.214 under a new Subpart B-Issuance of Alternate Use RUEs
for Energy- and Marine-Related Activities Using Existing OCS Facilities. Paragraphs (a)(1) and (3) and paragraph (b) remain
BOEM’s responsibility and are renumbered accordingly. This section is also included in part 285; paragraphs (a)(1), (2), and (4) and
paragraph (b) are transferred to BSEE’s responsibility.
This section is removed and relocated to a new subpart 586, to
§ 586.215 under a new Subpart B-Issuance of Alternate Use RUEs
for Energy- and Marine-Related Activities Using Existing OCS Facilities. This section is also included as reserved in part 285.
This section is removed and relocated to a new subpart 586, to
§ 586.216 under a new Subpart B-Issuance of Alternate Use RUEs
for Energy- and Marine-Related Activities Using Existing OCS Facilities. This section is also included in part 285.
This section is removed from part 585 and is reserved in part 285.
khammond on DSKJM1Z7X2PROD with RULES2
Decommissioning an Alternate Use RUE
285.1018 Who is responsible for
decommissioning an OCS facility
subject to an Alternate Use
RUE?
585.1018 Who is responsible for
decommissioning an OCS facility subject to an Alternate Use
RUE?
285.1019 What are the decommissioning requirements for an Alternate Use RUE?
585.1019 What are the decommissioning requirements for an Alternate Use RUE?
VerDate Sep<11>2014
19:52 Jan 30, 2023
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Fmt 4701
The content of § 585.1018 is removed. This section is reserved and
the content is now in new § 586.218, under a new Subpart BIssuance of Alternate Use RUEs for Energy- and Marine-Related
Activities Using Existing OCS Facilities. This section is also included in part 285.
This section is removed and relocated to a new subpart 586, to
§ 586.219 under a new Subpart B-Issuance of Alternate Use RUEs
for Energy- and Marine-Related Activities Using Existing OCS Facilities. This section is also included in part 285.
Sfmt 4700
E:\FR\FM\31JAR2.SGM
31JAR2
6396
Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations
further analysis under NEPA.
Consequently, neither an environmental
assessment nor an environmental
impact statement is required.
IV. Procedural Matters
A. Statutes
1. Data Quality Act
In developing this rule, BOEM and
BSEE neither conducted nor used
studies, experiments, or surveys
requiring peer review under the Data
Quality Act (Pub. L. 106–554, app. C
§ 515, 114 Stat. 2763, 2763A–153–154).
2. National Environmental Policy Act
khammond on DSKJM1Z7X2PROD with RULES2
This rule is not a major Federal action
significantly affecting the quality of the
human environment. A detailed
statement under the National
Environmental Policy Act of 1969 (42
U.S.C. 4332) is not required because this
rule is administrative and procedural in
nature and is, therefore, covered by a
categorical exclusion (see 43 CFR
46.210(i)). We also have determined that
this rule does not involve any of the
extraordinary circumstances described
in 43 CFR 46.215 that would require
VerDate Sep<11>2014
19:52 Jan 30, 2023
Jkt 259001
3. Paperwork Reduction Act
The Paperwork Reduction Act (44
U.S.C. 3501–3521) provides that an
agency may not conduct or sponsor, and
a person is not required to respond to,
a ‘‘collection of information’’ unless it
displays a currently valid OMB control
number. Collections of information
include requests and requirements that
an individual, partnership, or
corporation obtain information and
report it to a Federal agency (44 U.S.C.
3502(3); 5 CFR 1320.3(c) and (k)).
This rule simply transfers some
regulations associated with currently
approved IC burdens from BOEM’s
responsibility to BSEE’s responsibility;
this rule contains no substantive
changes to current IC burdens. In some
cases, the requirements are
administered by both BOEM and BSEE,
PO 00000
Frm 00022
Fmt 4701
Sfmt 4700
and for this reason, please consult the
burden table for an accurate breakdown
of responses and burden hours. The
regulations addressed in this rule are
the subject of currently approved IC
burdens for BOEM under OMB Control
Number 1010–0176 (expiration January
31, 2026). Though OMB has approved
the transfer of IC burdens from BOEM
to BSEE, ROCIS software precludes
OMB from issuing a control number to
BSEE until this rule’s publication in the
Federal Register. BSEE expects to
publish a rule correction containing
OMB’s IC control number soon. Under
this rule, the regulated community
submits some existing reports to BSEE
that were previously submitted to
BOEM. The following burden table
shows how this rulemaking shifts
certain collection of information
burdens from BOEM to BSEE.
Table B—Burden Table
BILLING CODE 4310–MR–P
E:\FR\FM\31JAR2.SGM
31JAR2
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VerDate Sep<11>2014
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Frm 00023
103;904
Fmt 4701
105(c)
Sfmt 4725
E:\FR\FM\31JAR2.SGM
31JAR2
1016
Request exception from exclusion or disqualification from
participating in transactions covered by Federal nonprocurement debarment and suspension system.
Request reconsideration and/or hearing.
Notify BOEM within 3 business days after learning of any
action filed alleging respondent is insolvent or bankrupt.
1
I
I !xception
Requirement not
considered IC under 5
CFR 1320.3(h)(9).
1
1 notice
2
0
12 I
91
3
51
3 I
2
40 I
40 I
0
1I
1I
0
0I
0I
0
1I
1 I
0
6397
ER31JA23.000</GPH>
103;
586.104
105(c);
586.105(
c)
106; 107;
213(e);
230(f);
302(a);
408(b)(7);
409(c);
586.107;
586.203.213(b)(7
106(b)(l
);
586.107(
b)
I 106(b)(2),
118(c),
225(b);
436; 437;
527(c);
586.107
108;
530(b);
586.109
ements.
Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations
19:52 Jan 30, 2023
' _.._...,'1 ..... ..., ....... ...,, ..... t't'_.__.__....,.,_.._...,_..__._...,, t'_._....,_..___._...,, _..__.._...,.,_._ __ ...,, _.._ "'t'...,_.._ .. ...,, t'....,J ............................... ,
ns, and/or su lemental information to BOEM/BSEE-burdens covered under s
ocal governments enter into task force or joint
1
2
coordination a eement with BOEM.
a eements
Request general departures not specifically covered elsewhere
2
6 requests
in part 285/part 585.
Make oral requests or notifications and submit written follow I
1
I 5 requests
up within 3 business days not specifically covered elsewhere
in part 285/part 585.
Submit evidence of qualifications to hold a lease or grant;
2
I
120
submit required supporting information (electronically if
:ubmission
required).
I
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6398
VerDate Sep<11>2014
Jkt 259001
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l ll(b)(3
); (b)(5);
(b)(6);
586.112(
b)(3);
(b)(5),
(b)(6)
lll(b)(3
); (b)(5);
(b)(6)
Frm 00024
Fmt 4701
lll(b)(2
), (3)
Sfmt 4725
l ll(b)(2
), (3);
586.112(
b, 3
l ll(b)(3
);
586.112(
b)(3)
ll l(b)(3
)
I Notify BOEM in writing of merger, name change, or change
Requirement not
considered IC under 5
CFR 1320.3(h)(l).
.5
4
submission
s
of business form no later than 120 days after earliest of either
the effective date or filing date.
Within 30 days ofreceiving bill, submit processing fee
payments for BOEM/BSEE document or study preparation to
process applications and other requests.
0I
0I
21
1
2
paymen
ts X
$4,000
4 payments x $4,000 = $16,000
E:\FR\FM\31JAR2.SGM
Submit comments on proposed processing fee or request
approval to perform or directly pay contractors for all or part
of any document, study, or other activity, to reduce
BOEM/BSEE rocessin costs.
Perform, conduct, develop, etc., all or part of any document,
study, or other activity; and provide results to BOEM/BSEE
to reduce processing fee.
Pay contractors for all or part of any document, study, or other
activity, and provide results to BOEM/BSEE to reduce
processing costs.
2
4 requests
12,000
1
submission
8
12,000 I
3 contractor payments x $950,000
$2,850,000
I
1
2 payments
X $4,000 =
$8,000
$8,000
41
4
I
6,000
6,000
2
contract
or
paymen
ts X
$950,00
=
0
1
contractor
paymentx
$950,000 =
$950,000
0=
31JAR2
$1,900,
000
lll(b)(7); lll(b)(7);
118(a);
436(c);
586.112(b
)(7);
586.118(a
115
ER31JA23.001</GPH>
I
I
Appeal BOEM/BSEE estimated processing costs, decisions,
or orders pursuant to 43 CFR part 4.
Request approval to use later edition of a document
incorporated by reference or alternative compliance.
I
Exempt under 5 CFR
1320.4(a)(2), (c).
0
I 1 request
1
1
I
0I
0
0I
1
Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations
19:52 Jan 30, 2023
109;
586.110
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E:\FR\FM\31JAR2.SGM
210;
2ll(ac); 212
thru 216
31JAR2
211(d);
216;220
thru
223;
23 l(c)(2
224
I
I
0I
0I
0
0I
0I
0
applications, plans, payments, etc., the burdens for which are covered elsewhere in part
585.
Submit nominations and general comments in response to
Federal Register notices on Request for Interest in OCS
Leasing, Call for Information and Nominations (Call), Area
Identification, and Notices of Sale. Includes industry, State &
local governments.
Submit comments and required information in response to
Federal Register notices on Request for Interest in OCS
Leasing, Call for Information and Nominations (Call), Area
Identification, and Notices of Sale. Includes industry, State &
local overnments.
Submit bid, payments, and required information in response to
Federal Register Final Sale Notice.
Within 10 business days, execute 3 copies oflease form and
return to BOEM with required payments, including evidence
that agent is authorized to act for bidder; if applicable, submit
information to support delay in execution-competitive
leases.
Not considered IC as
defined in 5 CFR
1320.3(h)(4).
I
I
4
130
comments
5
12 bids
1
12 lease
executions
I
I
120
I
120
I
0
60
I
60
I
0
21
0
21
6399
ER31JA23.002</GPH>
I These sections contain references to information submissions, approvals, requests,
Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations
19:52 Jan 30, 2023
200;
224;
231;
235;
236;238
210;
2ll(ac); 212
thru 216
khammond on DSKJM1Z7X2PROD with RULES2
6400
VerDate Sep<11>2014
Jkt 259001
PO 00000
Submit unsolicited request and acquisition fee for a
commercial or limited lease.
Submit comments in response to Federal Register notice re
interest of unsolicited request for a lease.
Within 10 business days ofreceiving lease documents,
execute lease; file financial assurance and supporting
documentation-noncom etitive leases.
Within 45 days ofreceiving lease copies, submit rent and rent
information.
23 l(g)
23 l(g)
Frm 00026
Fmt 4701
235(b);
236(b)
Sfmt 4725
237(b)
I
E:\FR\FM\31JAR2.SGM
31JAR2
302(a);
305;306
307;
308(a)(l
I
I 2 requests
10 I
10
I
0
4
4
comments
2 leases
16 I
16 I
0
41
41
0
Burdens covered by
information
collections approved
for ONRR 30 CFR
Cha ter XII.
1
3 requests
0I
0I
0
3 I
3 I
0
1 I
1 I
0
0I
0I
0
51
5 I
0
81
8 I
0
51
5 I
0
21
21
0
2
I
I Submit decision to accept or reject terms and conditions of
noncompetitive ROW or RUE grant.
ER31JA23.003</GPH>
5
1
I 1 request
These sections contain references to information submissions, approvals, requests,
applications, plans, payments, etc., the burdens for which are covered elsewhere in part
585.
Submit copies of a request for a new or modified ROW or
5
I 1 request
RUE and required information, including qualifications to
hold a gi-ant, in format s2ecified.
Submit information in response to Federal Register notice of
4
proposed ROW or RUE grant area or comments on notice of
I ~omments
ant auction.
1 bid
Submit bid and payments in response to Federal Register
5
notice of auction for a ROW or RUE grant.
306; 309;
315;316
308(a)(2
), (b);
315;316
309
Request additional time to extend preliminary or site
assessment term of commercial or limited lease, including
revised schedule for SAP, COP, or GAP submission.
I Request lease be dated and effective 1st day of month in which
signed.
I
2
I
I !ubmission
I
Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations
19:52 Jan 30, 2023
230;
231(a)
231(b)
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Frm 00027
1400;
405;
409;
416;433
40l(b)
I
Fmt 4701
405(d)
Sfmt 4725
405(e);
Form
BOEM-
I These sections contain references to information submissions, approvals, requests,
0I
0
Take measures directed by BSEE in cessation order and
submit re orts to resume activities.
Submit written notice of change of address.
100 I
0I
100
Requirement not
considered IC under 5
CFR 1320.3 h 1 .
1
0I
0I
0
If designated operator (DO) changes, notify BOEM and
identify new DO for BOEM approval.
1 I
1 I
0
1 (30
2 requests/ I
minutes submission
per form s
x 2 forms
= 1 hour)
21
21
0
110 I
0I
110
100
I 1 report
0006
408 thru
411;
Forms
BOEM-
E:\FR\FM\31JAR2.SGM
31JAR2
0I
applications, plans, payments, etc., the burdens for which are covered elsewhere in parts
285/585.
0002
and
BOEM-
Within 90 days after last party executes a transfer agreement,
submit copies of a lease or grant assignment application,
including originals of each instrument creating or transferring
ownership ofrecord title, eligibility, and other qualifications;
and evidence that agent is authorized to execute assignment,
in format specified.
0003
417(b)
Request suspension. Conduct and, if required, pay for, sitespecific study to evaluate cause of harm or damage; and
submit copies of study and results, in format specified.
425 thru
428;
652(a);
235(a),
b
Request lease or grant renewal no later than 180 days before
termination date of your limited lease or grant, or no later than
2 years before termination date of operations term of
commercial lease. Submit required information.
110
6
1 study/
submission
1 request
6
1 study x $950,000 =
$950,000
6
0
Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations
19:52 Jan 30, 2023
400;
401;
402
6401
ER31JA23.004</GPH>
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6402
VerDate Sep<11>2014
I Submit copies of application to relinquish lease or grant, in
format specified.
Jkt 259001
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Provide information for reconsideration ofBOEM decision to
contract or cancel lease or grant area.
1
1
submission
Frm 00028
Requirement not
considered IC under 5
CFR 1320.3(h)(9).
1 I
1 I
0
0I
0I
0
Fmt 4701
Sfmt 4725
E:\FR\FM\31JAR2.SGM
31JAR2
An * indicates the primary cites for providing bonds or other financial assurance, and the burdens include any previous or subsequent references throughout part
585 to furnish, replace, or provide additional bonds, securities, or financial assurance (including riders, cancellations, replacements). This subpart contains
references to other information submissions, payments, approvals, requests, applications, plans, etc., the burdens for which are covered elsewhere in part 585. In the
future,_ BOEM mav require electronic filings of certain submissions.
500 thru
Submit payor information, payments, and payment
Burdens covered by
0
0
0
509;
information, and maintain auditable records according to
information
586.211
ONRR regulations or guidance.
collections approved
for ONRR 30 CFR
Chapter XII.
0
0
0
506(c)(4
Burden covered under
Submit documentation of the gross annual generation of
)
electricity produced by the generating facility on the lease DOE/EIAOMB
Control Number 1905use same form as authorized by the EIA.
0129
510;
Submit application and required information for waiver or
1
1
0
506(c)(3
reduction of rental or other payment.
submission
* 515;
516;
525(a)
thru
ER31JA23.005</GPH>
Execute and provide $100,000 minimum lease-specific bond
or other approved security; or increase bond level if required.
2 bonds
2
2
0
Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations
19:52 Jan 30, 2023
437
435;
658(c)(2
);
Form
BOEM0004
I 436; 437
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Fmt 4701
1
I 2 bonds
21
21
0
Execute and provide decommissioning bond or other financial I
assurance; schedule for providing the appropriate amount.
1
I 1 bond
1
1
0
517(c)(l
Submit comments on proposed adjustment to bond amounts.
1
517(c)(2
Request bond reduction and submit evidence to justify.
Execute and provide $300,000 minimum limited lease or
grant-specific bond or increase financial assurance and
required information.
Sfmt 4725
E:\FR\FM\31JAR2.SGM
31JAR2
1
0
51
5
0
1
1 bond
1I
1
0
1
11 surety
notice
1I
1I
0
2
11 pledge
21
21
0
1I
1I
0
10 I
10 I
0
10 I
10 I
0
1
1
0
)
* 520;
521;
525(a)
thru (f);
Form
BOEM0005
525(g)
* 526
Form
BOEM-
I Surety notice to lessee or ROW/RUE grant holder and BOEM
within 5 business days after initiating surety insolvency or
bankru2tcy 2roceeding, or Treasury decertifies sure
In lieu of surety bond, pledge other types of securities,
including authority for BOEM to sell and use proceeds and
submit required information (1 hour for form).
0005
526(c)
* 527;
531
528
Provide annual certified statements describing the nature and
market value, includin brokera e firm statements/re orts.
Demonstrate financial worth/ability to carry out present and
future financial obligations, annual updates, and related or
subse uent actions/records/re orts, etc.
I Provide third-party indemnity; financial
information/statements; additional bond info; executed
guarantor agreement and supporting
information/documentation/a eements.
Guarantor/Surety requests BOEM terminate period of liability
and notifies lessee or ROW/RUE ant holder, etc.
1
1 statement I
10
1
demonstrat
ion
1
submission
10
1
1 request
6403
528(c)(6
; 532
ER31JA23.006</GPH>
1
5
1
submission
1 request
Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations
19:52 Jan 30, 2023
I Execute and provide commercial lease supplemental bonds in I
amounts determined by BOEM.
;16(a)(2),I
(3), (b),
(c); 517;
525(a)
thru (f)
516(a)(4);
521(c)
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VerDate Sep<11>2014
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530
PO 00000
Frm 00030
533(a)(2
)
ii , iii
I In lieu of surety bond, request authorization to establish
decommissioning account, including written authorizations
and a rovals associated with account.
I Notify BOEM promptly of lapse in bond or other
security/action filed alleging lessee, surety, or guarantor et al
is insolvent or bankru t.
Provide agreement from surety issuing new bond to assume
all or portion of outstanding liabilities.
Fmt 4701
Within 10 business days following BOEM notice, lessee,
grant holder, or surety agrees to and demonstrates to BOEM
that lease will be brought into compliance.
2
I 1 request
21
21
0
1
1 notice
1I
1 I
0
3
1
submission
3 I
3 I
0
16
1
demonstrat
81
8 I
0
Sfmt 4725
E:\FR\FM\31JAR2.SGM
31JAR2
ER31JA23.007</GPH>
** indicate the primary cites for Site Assessment Plans (SAPs), Construction and Operations Plans (COPs), and General Activities Plans (GAPs); and the burdens
include any previous or subsequent references throughout parts 285/585 to submission and approval. This subpart contains references to other information
submissions, approvals, requests, applications, plans, etc., the burdens for which are covered elsewhere in parts 285/585.
**606; I **
Within time specified after issuance ofa competitive lease or
240
I 2 SAPs
480 I
384 I
96
614; 810 600(a);
grant, or within time specified after determination ofno
60l(a),
competitive interest, submit copies of SAP, including required
(b); 605
information to assist BOEM/BSEE to comply with
thru
NEPA/CZMA such as hazard info, air quality, SMS, and all
614; 238
required information, certifications, requests, etc., in format
specified.
**621;
**
If requesting an operations term for commercial lease, within
2COPs
2,000
1,600
400
1,000
632; 637; 600(b);
time specified before the end of site assessment term, submit
810
copies of COP, orFERC license application, including
60l(b),
(c)(l);
required information to assist BOEM/BSEE to comply with
606(b);
NEPA/CZMA such as hazard info, air quality, SMS, and all
required information, surveys and/or their results, reports,
618;620
certifications, project easements, supporting data and
thru 629;
information, requests, etc., in format specified.
632; 633
Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations
19:52 Jan 30, 2023
* 529
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1 revised
or
modified
COP
50 I
40 I
10
2
9 records/ I
submission
s
18 I
0I
18
50
50 I
50 I
0
1
1 revised
or
modified
SAP
2 leases
21
21
0
1
I 2 notices
21
21
0
30
I 4 reports
120 I
120 I
0
4
certificatio
ns
1 notice
160 I
0I
160
I
0
1
submission
1 request
193 I
193 I
0
21
21
0
602
Until BOEM releases financial assurance, respondents must
maintain, and provide to BSEE ifrequested, all data and
information related to compliance with required terms and
conditions of SAP, COP, or GAP.
Submit revised or modified SAPs and required additional
information.
Sfmt 4725
50
E:\FR\FM\31JAR2.SGM
**
613(a),
(d), (e);
617
612;647
615(a)
31JAR2
615(b)
617(a)
627(c)
631
Submit copy of SAP or GAP consistency certification and
sum:,orting documentation, including noncom_l)etitive leases.
Notify BOEM in writing within 30 days of completion of
construction and installation activities under SAP.
Submit annual report summarizing findings from site
assessment activities.
I Submit annual, or at other time periods as BSEE determines,
SAP compliance certification, effectiveness statement,
recommendations, re orts, su ortin documentation, etc.
I Notify BOEM in writing before conducting any activities not
approved, or provided for, in SAP; provide additional
information if re uested.
Submit oil spill response plan as required by BSEE 30 CFR
art 254.
I Request deviation from approved COP schedule.
40
10
193
2
I 2GAP
10 I
10
6405
96
240
Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations
19:52 Jan 30, 2023
384 I
Within time specified after issuance of a competitive lease or
grant, or within time specified after determination of no
competitive interest, submit copies of GAP, including
required information to assist BOEM/BSEE to comply with
NEPA/CZMA such as hazard info, air quality, SMS, and all
required information, surveys and reports, certifications,
ro·ect easements, re uests, etc., in formats ecified.
Submit revised or modified COPs, including project
easements, and all required additional information.
615;
800(b)
ER31JA23.008</GPH>
480 I
**641 · I **
651; 810 600(c);
601(a),
(b); 640
thru
648;
651; 238
**632(c) I **601(c)
; 907
(2); 622;
628(t);
632(c);
634;
658(c)(3
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635
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636(a)
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636(b)
636(c)
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**
E:\FR\FM\31JAR2.SGM
642(b);
648;
655;
658(c)(3
651
I 651
31JAR2
653(a)
653(b)
653(a),
(b);
800(b)
655(a)
656
ER31JA23.009</GPH>
I Submit annual, or at other time periods as BOEM/BSEE
determines, COP compliance certification, effectiveness
statement, recommendations, reports, supporting
documentation, etc.
I Notify BOEM in writing before conducting any activities not
approved or provided for in COP and provide additional
information if re uested.
I Notify BOEM any time commercial operations cease without
an a roved sus ension.
Notify BSEE in writing no later than 30 days after
commencing activities associated with placement of facilities
on lease area.
Notify BSEE in writing no later than 30 days after completion I
of construction and installation activities.
Notify BSEE in writing at least 7 days before commencing
I
commercial operations.
Submit revised or modified GAPs and required additional
information.
I 633(b)
I
I
I
I Before beginning construction of OCS facility described in
GAP, demonstrate operational SMS identified in GAP, submit
initial findings.
Notify BOEM in writing within 30 days of completing
installation activities under the GAP.
Submit annual report summarizing findings from activities
I
conducted under approved GAP.
Submit annual, or at other time periods as BSEE determines,
GAP compliance certification, recommendations, reports, etc.
Notify BOEM in writing before conducting any activities not
approved or provided for in GAP and provide additional
information if re uested.
Notify BOEM any time approved GAP activities cease
without an approved suspension.
450 I
50
45 I
405
I
0
I ~ertificatio
ns
10
I 1 notice
10 I
1
1 notice
1 I
1 I
0
1
2 notices
21
0I
2
1
I 2 notices
21
0I
2
1
I 1 notice
1 I
0I
1
10
50
1 revised
or
modified
GAP
50 I
50 I
0
30
2 surveys/
reports
60 I
5 I
55
1
2 notices
21
21
0
30
I 4 reports
120 I
120 I
0
160 I
0I
160
10 I
10 I
0
1
1
0
40
10
4
certificatio
ns
1 notice
1
1 notice
Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations
19:52 Jan 30, 2023
633;
800(b)
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I If after construction, cable or pipeline deviate from approved
COP or GAP, notify affected lease operators and ROW/RUE
grant holders of deviation and provide BOEM evidence of
such notices.
I Determine appropriate air quality modeling protocol, conduct
air quality modeling, and submit 3 copies of air quality
modeling report and 3 sets of digital files as supporting
information to plans.
3
70
11 notice/
evidence
5 reports/
informatio
n
3 I
3 I
0
350 I
350 I
0
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* ** indicate the primary cites for the reports discussed in this subpart, and the burdens include any previous or subsequent references throughout parts 285/585 to
submitting and obtaining approval. This subpart contains references to other information submissions, approvals, requests, applications, plans, etc., the burdens for
which are covered elsewhere in parts 285/585.
***700(a)I
I Submit Facility Design Report, including copies of the cover I
200
I 1 report
200 I
OI
200
(1 ), (c);
letter, certification statement, and all required information (1701
3 paper or electronic copies as specified).
E:\FR\FM\31JAR2.SGM
***700(a)
(2), (c);
702
705(a);
707(a);
712
31JAR2
160
I 1 report
160 I
0I
160
100
I 1 interim
100 I
01
100
100 I
01
100
100 I
01
100
100 I
01
100
report
100
637;
705(a);
707(b);
708;
709;
710;712
CVA conducts independent assessments/inspections on the
fabrication and installation activities, informs lessee or grant
holder if procedures are changed or design specifications are
modified; and submits copies of all reports/certifications to
lessee or grant holder and BSEE -- interim reports ifrequired,
in format specified.
100
***703;
705(a);
CVA/project engineer monitors major project modifications
and repairs and submits copies of all reports/certifications to
20
100
I 1 final
report
I 1 interim
report
I 1 final
report
1 interim
report
20
0
20
6407
ER31JA23.010</GPH>
Submit Fabrication and Installation Report, including copies
of the cover letter, certification statement, and all required
information, in format specified.
Certified Verification Agent (CVA) conducts independent
assessment of the facility design and submits copies of all
reports/certifications to lessee or grant holder and BSEE -interim reports if required, in format specified.
Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations
19:52 Jan 30, 2023
658(c)(l
)
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708(b)(2
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709(a);
710
713
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714;
703(b)
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31JAR2
70l(c),
(d)
70l(e),
(f)
802(a);
902 e
702(a)
ER31JA23.011</GPH>
I
Notify BOEM if endangered or threatened species, or their
designated critical habitat, may be in the vicinity of the lease
or ant or ma be affected b lease or rant activities.
Submit information to ensure proposed activities will be
conducted in compliance with the ESA and MMPA; including
agreements and mitigating measures designed to avoid or
minimize adverse effects and incidental take of endangered
s ecies or critical habitat.
Notify BSEE of archaeological resource within 72 hours of
discove
If requested, conduct further archaeological investigations,
and submit report/information.
40
16
1
re ort
1 waiver
2
nomination
s
1 notice
40
24
16
32
19
13
1
0I
1
1
13 records
retention
3
0I
3
1
1 notice
1
0I
1
100
1 lessee
100
0I
100
1
I 2 notices
21
21
0
12 I
12 I
0
I
6
I :ubmission
3
1 notice
3
0
3
10
1 report
10
10
0
Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations
19:52 Jan 30, 2023
671
lessee or grant holder and BSEE -- interim reports if required,
in format s ecified.
I Request waiver of CVA requirement in writing; lessee must
demonstrate standard design and best ~ractices.
I Submit for approval with SAP, COP, or GAP, initial
nominations for a CVA or new replacement CV A nomination
and required information.
Notify BSEE if modifications identified by CVA/project
engineer are accepted.
Make fabrication quality control, installation towing, and
other records available to CVA/project engineer for review
I
retention re uired b
285.714 .
I Notify BSEE within 10 business days after commencing
commercial o erations.
I Until BOEM releases financial assurance, compile, retain, and
make available to BSEE and/or CVA the as-built drawings,
design assumptions/ analyses, summary of fabrication and
installation examination records, inspection results, and
records of repairs not covered in inspection report. Record
original and relevant material test results of all primary
structural materials; retain records during all stages of
construction.
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I If applicable, submit payment for BSEE/BOEM costs in
carrying out National Historic Preservation Act
responsibilities.
I If required, conduct additional surveys to define boundaries
and avoidance distances and submit report.
Submit safety management system description with the SAP,
COP, or GAP.
I 702(d)
703
Frm 00035
810;
I 605(d);
614(b);
627(d);
632(b);
651
651
813(b)(l
)
Fmt 4701
813(b)(3
I
Report within 24 hours when any required equipment taken
out of service for more than 12 hours; provide written
confirmation if reported orally.
I
J
Sfmt 4725
E:\FR\FM\31JAR2.SGM
31JAR2
815
I
816
I
822
I
823
I
824(a)
824(b)
825
ER31JA23.012</GPH>
I
1 payment
15
35
2 survey/
report
2
submission
s
.5
2 reports
1
1 written
confirmati
on
2 notices
.5
J
21
(Note 1)
1
I
1
30
I
30
I
0
70
I
10 I
60
1
0I
1
1
0I
1
I
0I
1
1
1.5
1 report
21
(Note 1)
0I
2
2
1 plan/
report
21
0I
2
1
4 records
retention
41
0I
4
2
1 request
21
0I
2
24
2 plans
48
I
0I
48
36
I 2 reports
72
I
0I
72
120
I
0I
120
1
I
0I
1
60
I ;ssessment
s / actions
Oral
.5
2 incidents
I
6409
830(a),
c); 831
I
Notify BSEE when equipment returned to service; provide
written confirmation ifre2orted orally.
When required, analyze cable, P/L, or facility damage or
failures to determine cause and as soon as available submit
com rehensive written re ort.
Submit plan of corrective action report on observed
detrimental effects on cable, P/L, or facility within 30 days of
discovery; take remedial action and submit report of remedial
action within 30 da s after com letion.
Maintain records of design, construction, operation,
maintenance, repairs, and investigation on or related to lease
or ROW/RUE area; make available to BSEE for ins2ection.
Request reimbursement within 90 days for food, quarters, and
trans ortation rovided to BSEE re s durin ins ection.
Develop annual self-inspection plan covering all facilities;
retain with records and make available to BSEE u on re uest.
Conduct annual self-inspection and submit report by
November 1.
Based on API RP 2A-WSD, perform assessment of structures,
initiate mitigation actions for structures that do not pass
assessment process, retain information, and make available to
BSEE u on re uest.
Immediately report incidents to BSEE via oral
communications, submit written follow-up report within 15
.5
Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations
19:52 Jan 30, 2023
802(d)
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31JAR2
Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations
19:52 Jan 30, 2023
ER31JA23.013</GPH>
**** indicate the primary cites for the reports discussed in this subpart, and the burdens include any previous or subsequent references throughout parts 285 and 585
to submitting and obtaining approval. This subpart contains references to other information submissions, approvals, requests, applications, plans, etc., the burdens
for which are covered elsewhere in parts 285 and 585.
20
20
19
****
909
Submit for approval, in format specified, copies of the SAP,
application
902;
COP, or GAP decommissioning application and site clearance
905,
plan at least 2 years before decommissioning activities begin,
906;
90 days after completion of activities, or 90 days after
907;
cancellation, relinquishment, or other termination oflease or
grant. Include documentation of coordination efforts
908(b ),
regarding requests that certain facilities remain in place for
(c); 909;
638(a)
other activities, be converted to an artificial reef, or be toppled
in place. Submit additional information/evidence requested or
modify and resubmit application.
Notify BSEE at least 60 days before commencing
0
1
1 notice
902(d);
decommissioning activities.
908(a
Within 60 days after removing a facility, verify to BSEE that
1
1
910(b)
0
site is cleared.
verificatio
n
912
Within 60 days after removing a facility, cable, or pipeline,
8
I 1 report
8
0
8
submit a written report.
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I
PO 00000
4
Frm 00037
5
I I request
I I
I I
0
I
submission
4
4
0
1
5
5
0
submission
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1
1
I I
I I
0
6
submission
1 re uest
6
6
1
1
1
1
0
0
t I
t I
0
submission
1
1 request
31JAR2
Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations
19:52 Jan 30, 2023
BILLING CODE 4310–MR–C
VerDate Sep<11>2014
200,
I Contact owner of existing facility and/or lessee of the area to
201,202 reach preliminary agreement to use facility and obtain
concurring signatures; submit request to BOEM for an
alternate use RUE, including all required
information/modifications.
203(a),
Submit indication of competitive interest in response to
Federal Re ister notice.
Submit description of proposed activities and required
information in response to Federal Register notice of
com etitive offerin .
203(f)
Lessee or owner of facility submits decision to accept or reject
ro osals deemed acce table b BOEM.
210 C
Re uest renewal of Alternate Use RUE.
211;
Provide financial assurance as BOEM determines in
216(b)
approving RUE for an existing facility, including additional
securi!Y_ if reguired.
213
Submit request for assignment of an alternate use RUE for an
6411
ER31JA23.014</GPH>
6412
Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations
4. Regulatory Flexibility Act
A final regulatory flexibility analysis
is not required for this rule because it
is exempt from the notice-and-comment
provisions of the APA (5 U.S.C.
553(b)(A); see supra III.A). Therefore,
the requirements of the Regulatory
Flexibility Act do not apply to this final
rule (5 U.S.C. 604(a)).
5. Congressional Review Act (CRA)
This final rule does not qualify as a
major rule under the CRA (5 U.S.C. 801–
808). This rule reorganizes existing
regulations to reflect the transfer of
responsibility for OCS renewable energy
safety and environmental oversight and
enforcement functions from BOEM to
BSEE. This rule does not generate an
annual economic effect of $100 million
or more (see below discussion at
Executive Order 12866 and Executive
Order 13563); cause major price
increases for consumers, businesses, or
governments, or geographic regions; or
degrade competition, employment,
investment, productivity, innovation, or
the ability of U.S. businesses to compete
against foreign businesses.
khammond on DSKJM1Z7X2PROD with RULES2
6. Unfunded Mandates Reform Act
This rule imposes neither an
unfunded Federal mandate of more than
$100 million annually nor significant or
unique effects on State, local, or Tribal
governments. Thus, an Unfunded
Mandates Reform Act (2 U.S.C. 1531)
statement is not required.
7. Administrative Procedure Act
This rule reassigns existing
regulations governing safety and
environmental oversight and
enforcement of OCS renewable energy
activities from BOEM to BSEE. This
rulemaking is neither substantive nor
controversial because it merely
reorganizes provisions in the Code of
Federal Regulations and, therefore, does
not affect the legal rights, obligations,
and interests of any interested parties.
This rule implements Secretary’s
Order 3299— which reflects the
Secretary’s prudent and considered
policy judgment that independent
oversight and enforcement is in the
national interest to best address the
organizational concerns highlighted by
the Deepwater Horizon incident— and
revisions made to the Departmental
Manual implementing that direction.
Specifically, this rule transfers existing
safety and environmental oversight and
enforcement regulations governing OCS
renewable energy activities from 30 CFR
part 585, under BOEM’s purview, to 30
CFR part 285, under BSEE’s purview.
This reorganization parallels the
bureaus’ oversight of oil and gas
VerDate Sep<11>2014
19:52 Jan 30, 2023
Jkt 259001
activities. This transfer includes a
reassignment of authority to: oversee
facility design, fabrication, installation,
and safety management systems; ensure
the safety of operations, including
inspection programs and incident
reporting and investigations; enforce
compliance with all applicable safety,
environmental, and other laws and
regulations through enforcement actions
(such as noncompliance notices,
cessation orders, and lease
suspensions); and oversee
decommissioning activities. This rule
also moves certain sections pertaining to
Alternate Use RUEs from 30 CFR part
585 to a new 30 CFR part 586.
This rule is a ‘‘rule[ ] of agency
organization, procedure, or practice,’’ 5
U.S.C. 553(b)(A), because it implements
the Department’s reassignment of
responsibility for administering existing
regulatory provisions from BOEM to
BSEE. This rule reorganizes current
regulations to be consistent with
Departmental delegations without
making substantive changes to those
regulations or modifying substantive
rights or interests. Nor does the rule
impose new rights or duties or change
the legal status of regulated parties. No
statute requires notice or hearing for this
rule. Therefore, this rule is exempt from
notice-and-comment rulemaking
requirements under 5 U.S.C. 553(b)(A).
Additionally, for the same reasons, the
Department finds for good cause shown
that notice and comment on this rule are
unnecessary and contrary to the public
interest under 5 U.S.C. 553(b)(B).
Further, because this rule makes no
changes to the legal obligations or rights
of nongovernmental entities, the
relevant responsibilities have already
been delegated to BSEE, and it is in the
public interest for the regulations to
reflect that delegation to provide clarity,
the Department further finds that good
cause exists to make this rule effective
upon publication in the Federal
Register per 5 U.S.C. 553(d)(3).
B. Executive Orders
1. Executive Order 12630—Takings
Implication Assessment
Under the criteria in Executive Order
12630 section 2(a)(2), this final rule
does not have takings implications
because it simply reassigns current
safety and environmental oversight and
enforcement regulations to BSEE from
BOEM. This rulemaking is not a Federal
action capable of interference with
constitutionally protected private
property rights. A takings implications
assessment is not required.
PO 00000
Frm 00038
Fmt 4701
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2. Executive Order 12866—Regulatory
Planning and Review, and Executive
Order 13563—Improving Regulation
and Regulatory Review
Executive Order 12866 provides that
the Office of Information and Regulatory
Affairs in OMB will review all
significant rules. The Office of
Information and Regulatory Affairs has
determined that this rule is not
significant. This rule only reassigns
current safety and environmental
oversight and enforcement regulations
from BOEM to BSEE. This rule does not
change the substance of existing
regulatory requirements.
Executive Order 13563 reaffirms the
principles of Executive Order 12866
while calling for improvements in the
nation’s regulatory system to promote
predictability, to reduce uncertainty,
and to use the best, most innovative,
and least burdensome tools for
achieving regulatory ends. The
executive order directs agencies to
consider regulatory approaches that
reduce burdens and maintain flexibility
and freedom of choice for the public
where these approaches are relevant,
feasible, and consistent with regulatory
objectives. We have developed this rule
in a manner consistent with these
requirements.
3. Executive Order 12988—Civil Justice
Reform
This rule complies with the
requirements of Executive Order 12988.
Specifically, this rule meets the criteria
of both section 3(a), which requires that
all regulations be reviewed to minimize
litigation and to eliminate errors and
ambiguity, and section 3(b)(2), which
requires that all regulations be written
clearly and contain clear legal
standards.
This rule simply reassigns current
safety and environmental oversight and
enforcement regulations from BOEM to
BSEE. This rule does not change the
substance of existing regulatory
requirements; it retains the substance of
the existing part 585, which was
promulgated through notice and
comment rulemaking.
4. Executive Order 13132—Federalism
This rule only transfers current safety
and environmental oversight and
enforcement regulations from BOEM to
BSEE. This rule does not change the
substance of existing regulatory
requirements. This rule, therefore, does
not have substantial direct effects on
either the States or the relationship
between the Federal and State
governments, nor does it affect the
distribution of power and
E:\FR\FM\31JAR2.SGM
31JAR2
Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations
responsibilities between various
governmental levels. Thus, a federalism
impact statement is unnecessary.
recordkeeping requirements, Safety,
Wind energy.
5. Executive Order 13175—Consultation
and Coordination With Indian Tribal
Governments
Administrative practice and
procedure, Coastal zone, Continental
shelf, Electric power, Energy,
Environmental protection, Government
leases, Intergovernmental relations,
Marine resources, Marine safety, Natural
resources, Ocean resources, Offshore
energy, Offshore structures, Outer
continental shelf, Payments, Planning,
Power resources, Renewable energy,
Reporting and recordkeeping
requirements, Revenue sharing, Rightsof-way, Rights-of-use and easement,
Wind energy.
285.106–285.109 [Reserved]
285.110 How do I submit applications,
reports, or notices required by this part?
285.111 When and how does BSEE charge
me processing fees on a case-by-case
basis?
285.112 Definitions.
285.113 How will data and information
obtained by BSEE under this part be
disclosed to the public?
285.114 Paperwork Reduction Act
statements—information collection.
285.115 Documents incorporated by
reference.
285.116 Requests for information on the
state of the offshore renewable energy
industry.
285.117 [Reserved]
285.118 What are my appeal rights?
30 CFR Part 586
Subparts B and C [Reserved]
Coastal zone, Continental shelf,
Electric power, Energy,
Intergovernmental relations, Marine
resources, Natural resources, Ocean
resources, Offshore energy, Offshore
structures, Outer continental shelf,
Power resources, Renewable energy,
Rights-of-way, Rights-of-use and
easement, Wind energy.
Subpart D—Lease and Grant Administration
After a review under the policy
criteria of both section 5 of Executive
Order 13175 and section 4(a) of
Secretary’s Order 3317, the BOEM
Tribal Consultation Team has
determined that this rule will have no
substantial direct effects on federally
recognized Tribal Nations or Alaska
Native Corporations. This rule only
reassigns certain regulations from
BOEM to BSEE. Thus, consultation
under DOI’s Tribal consultation policy
is neither recommended nor required.
6. Executive Order 13211—Effects on
the Nation’s Energy Supply
This rule is not a significant energy
action under the definition in Executive
Order 13211 section 4(b) because it
likely will not have a significant adverse
effect on the energy market, because
OMB has not designated it as a
significant energy action, and because it
is not a significant regulatory action
under Executive Order 12866. Thus, a
statement of energy effects is not
required.
7. Presidential Memorandum of June 1,
1998, on Regulation Clarity
This rule only reassigns certain
existing regulatory provisions from
BOEM to BSEE. This rule does not
change the substance of existing
regulatory requirements. Thus, like
existing 30 CFR part 585, which was
promulgated through notice and
comment rulemaking after this
Presidential Memorandum, this rule
satisfies the requirements for regulation
clarity outlined in this Presidential
Memorandum.
30 CFR Part 285
Continental shelf, Energy,
Environmental protection, Historic
preservation, Incorporation by
reference, Marine resources, Marine
safety, Natural resources, Ocean
resources, Offshore energy, Offshore
structures, Outer continental shelf,
Renewable energy, Reporting and
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30 CFR Part 585
Laura Daniel-Davis,
Principal Deputy Assistant Secretary, Land
and Minerals Management.
For the reasons stated in the
preamble, the Bureau of Safety and
Environmental Enforcement (BSEE)
amends 30 CFR chapter II, and the
Bureau of Ocean Energy Management
(BOEM) amends 30 CFR chapter V as
follows:
Chapter II—Bureau of Safety and
Environmental Enforcement
1. Add part 285 to subchapter B to
read as follows:
■
PART 285—RENEWABLE ENERGY
AND ALTERNATE USES OF EXISTING
FACILITIES ON THE OUTER
CONTINENTAL SHELF
Subpart A—General Provisions
List of Subjects
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Sec.
285.100 Authority.
285.101 What is the purpose of this part?
285.102 What are BSEE’s responsibilities
under this part?
285.103 When may BSEE prescribe or
approve departures from the regulations
in this part?
285.104 [Reserved]
285.105 What are my responsibilities under
this part?
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Noncompliance and Cessation Orders
285.400 What happens if I fail to comply
with this part?
285.401 When may BSEE issue a cessation
order?
285.402 What is the effect of a cessation
order?
285.403–285.405 [Reserved]
Responsibility for Fulfilling Obligations
285.406 Who is responsible for fulfilling
lease and grant obligations?
285.407–285.414 [Reserved]
Lease or Grant Suspension
285.415 What is a lease or grant
suspension?
285.416 [Reserved]
285.417 When may BSEE order a
suspension?
285.418 How will BSEE issue a suspension?
285.419 What are my immediate
responsibilities if I receive a suspension
order?
285.420 What effect does a suspension
order have on my payments?
285.421 How long will a suspension be in
effect?
285.422–285.432 [Reserved]
Lease or Grant Termination
285.433 What must I do after my lease or
grant terminates?
285.434–285.436 [Reserved]
Lease or Grant Cancellation
285.437 When can my lease or grant be
canceled?
Subpart E [Reserved]
Subpart F—Information Requirements
285.600–285.601 [Reserved]
285.602 What records must I maintain?
285.603–285.613 [Reserved]
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Activities Under an Approved SAP
285.614 When may I begin conducting
activities under my approved SAP?
285.615 What other reports or notices must
I submit to BSEE under my approved
SAP?
285.616–285.630 [Reserved]
Activities Under an Approved COP
285.631 When must I initiate activities
under an approved COP?
285.632 What documents must I submit
before I may construct and install
facilities under my approved COP?
285.633 How do I comply with my COP?
285.634–285.635 [Reserved]
285.636 What notices must I provide BSEE
following approval of my COP?
285.637 When may I commence
commercial operations on my
commercial lease?
285.638 What must I do upon completion of
my commercial operations as approved
in my COP or FERC license?
285.639–285.649 [Reserved]
Activities Under an Approved GAP
285.650 When may I begin conducting
activities under my GAP?
285.651 When may I construct complex or
significant OCS facilities on my limited
lease or any facilities on my project
easement proposed under my GAP?
285.652 [Reserved]
285.653 What other reports or notices must
I submit to BSEE under my approved
GAP?
285.654–285.659 [Reserved]
Subpart G—Facility Design, Fabrication,
and Installation
Reports
285.700 What reports must I submit to
BSEE before installing facilities
described in my approved SAP, COP, or
GAP?
285.701 What must I include in my Facility
Design Report?
285.702 What must I include in my
Fabrication and Installation Report?
285.703 What reports must I submit for
project modifications and repairs?
285.704 [Reserved]
Certified Verification Agent
285.705 When must I use a Certified
Verification Agent (CVA)?
285.706 How do I nominate a CVA for BSEE
approval?
285.707 What are the CVA’s primary duties
for facility design review?
285.708 What are the CVA’s or project
engineer’s primary duties for fabrication
and installation review?
285.709 When conducting onsite
fabrication inspections, what must the
CVA or project engineer verify?
285.710 When conducting onsite
installation inspections, what must the
CVA or project engineer do?
285.711 [Reserved]
285.712 What are the CVA’s or project
engineer’s reporting requirements?
285.713 What must I do after the CVA or
project engineer confirms conformance
with the Fabrication and Installation
Report on my commercial lease?
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285.714 What records relating to SAPs,
COPs, and GAPs must I keep?
Subpart H—Environmental and Safety
Management, Inspections, and Facility
Assessments for Activities Conducted
Under SAPs, COPs and GAPs
285.800 How must I conduct my activities
to comply with safety and environmental
requirements?
285.801 How must I conduct my approved
activities to protect marine mammals,
threatened and endangered species, and
designated critical habitat?
285.802 What must I do if I discover a
potential archaeological resource while
conducting my approved activities?
285.803 How must I conduct my approved
activities to protect essential fish habitats
identified and described under the
Magnuson-Stevens Fishery Conservation
and Management Act?
285.804–285.809 [Reserved]
Safety Management Systems
285.810 What must I include in my Safety
Management System?
285.811 When must I follow my Safety
Management System?
285.812 [Reserved]
Maintenance and Shutdowns
285.813 When do I have to report removing
equipment from service?
285.814 [Reserved]
Equipment Failure and Adverse
Environmental Effects
285.815 What must I do if I have facility
damage or an equipment failure?
285.816 What must I do if environmental or
other conditions adversely affect a cable,
pipeline, or facility?
285.817–285.819 [Reserved]
Inspections and Assessments
285.820 Will BSEE conduct inspections?
285.821 Will BSEE conduct scheduled and
unscheduled inspections?
285.822 What must I do when BSEE
conducts an inspection?
285.823 Will BSEE reimburse me for my
expenses related to inspections?
285.824 How must I conduct selfinspections?
285.825 When must I assess my facilities?
285.826–285.829 [Reserved]
Incident Reporting and Investigation
285.830 What are my incident reporting
requirements?
285.831 What incidents must I report, and
when must I report them?
285.832 How do I report incidents requiring
immediate notification?
285.833 What are the reporting
requirements for incidents requiring
written notification?
Subpart I—Decommissioning
Decommissioning Obligations and
Requirements
285.900 Who must meet the
decommissioning obligations in this
subpart?
285.901 When do I accrue
decommissioning obligations?
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285.902 What are the general requirements
for decommissioning for facilities
authorized under my SAP, COP, or GAP?
285.903 What are the requirements for
decommissioning FERC-licensed
hydrokinetic facilities?
285.904 Can I request a departure from the
decommissioning requirements?
Decommissioning Applications
285.905 When must I submit my
decommissioning application?
285.906 What must my decommissioning
application include?
285.907 How will BSEE process my
decommissioning application?
285.908 What must I include in my
decommissioning notice?
Facility Removal
285.909 When may facilities remain in
place following termination of a lease or
grant?
285.910 What must I do when I remove my
facility?
285.911 [Reserved]
Decommissioning Report
285.912 After I remove a facility, cable, or
pipeline, what information must I
submit?
Compliance With an Approved
Decommissioning Application
285.913 What happens if I fail to comply
with my approved decommissioning
application?
Subpart J—Rights of Use and Easement for
Energy- and Marine-Related Activities Using
Existing OCS Facilities
Regulated Activities
285.1000 What activities does this subpart
regulate?
285.1001–285.1013 [Reserved]
Alternate Use RUE Administration
285.1014 When will BSEE suspend an
Alternate Use RUE?
285.1015 [Reserved]
285.1016 When will an Alternate Use RUE
be cancelled?
285.1017 [Reserved]
Decommissioning an Alternate Use RUE
285.1018 Who is responsible for
decommissioning an OCS facility subject
to an Alternate Use RUE?
285.1019 What are the decommissioning
requirements for an Alternate Use RUE?
Authority: 43 U.S.C. 1331 et seq.
Subpart A—General Provisions
§ 285.100
Authority.
The authority for this part derives
from the Outer Continental Shelf Lands
Act (OCS Lands Act) (43 U.S.C. 1337).
The Secretary of the Interior delegated
to the Bureau of Safety and
Environmental Enforcement (BSEE) the
authority to regulate certain activities.
These regulations specifically apply to
activities that:
(a) Produce or support production,
transportation, or transmission of energy
from sources other than oil and gas; or
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(b) Use, for energy-related purposes or
for other authorized marine-related
purposes, facilities currently or
previously used for activities authorized
under the OCS Lands Act.
§ 285.101
What is the purpose of this part?
The purpose of this part is to:
(a) Inform you and third parties of
your obligations when you undertake
activities authorized in this part and 30
CFR parts 585 and 586; and
(b) Ensure that renewable energy
activities on the OCS and activities
involving the alternate use of OCS
facilities for energy- or marine-related
purposes are conducted in a safe and
environmentally sound manner, in
conformance with the requirements of
subsection 8(p) of the OCS Lands Act,
other applicable laws and regulations,
and the terms of your lease, ROW grant,
RUE grant, or Alternate Use RUE grant.
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§ 285.102 What are BSEE’s responsibilities
under this part?
(a) BSEE will ensure that any
activities authorized in this part and 30
CFR parts 585 and 586 are carried out
in a manner that provides for:
(1) Safety;
(2) Protection of the environment;
(3) Prevention of waste;
(4) Conservation of the natural
resources of the OCS;
(5) Coordination with relevant Federal
agencies (including, in particular, those
agencies involved in planning activities
that are undertaken to avoid conflicts
among users and maximize the
economic and ecological benefits of the
OCS, including multifaceted spatial
planning efforts);
(6) Protection of national security
interests of the United States;
(7) Protection of the rights of other
authorized users of the OCS; and
(8) Oversight, inspection, research,
monitoring, and enforcement of
activities authorized by a lease or grant
issued under 30 CFR parts 585 or 586.
(b) BSEE will require compliance with
all applicable laws, regulations, other
requirements, and the terms of your
lease or grant issued under 30 CFR parts
585 or 586, and approved plans. BSEE
will approve, disapprove, or approve
with conditions any applications or
other documents submitted to BSEE for
approval under the provisions of this
part.
(c) Unless otherwise provided in this
part, BSEE may give oral directives or
decisions whenever prior BSEE
approval is required under this part.
BSEE will document in writing any
such oral directives within 10 business
days.
(d) BSEE will establish practices and
procedures to govern the collection of
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all payments due under this part to the
Federal Government, including any cost
recovery fees and other fees or
payments. BSEE will do this in
accordance with the terms of this part,
the leasing notice, the lease or grant
under 30 CFR parts 585 or 586, and
applicable Office of Natural Resources
Revenue (ONRR) regulations or
guidance.
§ 285.103 When may BSEE prescribe or
approve departures from the regulations in
this part?
(a) BSEE may prescribe or approve
departures from these regulations when
departures are necessary to:
(1) Facilitate the appropriate activities
on a lease or grant;
(2) Conserve natural resources;
(3) Protect life (including human and
wildlife), property, or the marine,
coastal, or human environment; or
(4) Protect sites, structures, or objects
of historical or archaeological
significance.
(b) Any departure approved under
this section and its rationale must:
(1) Be consistent with subsection 8(p)
of the OCS Lands Act;
(2) Protect the environment and the
public health and safety to the same
degree as if there was no approved
departure from the regulations;
(3) Not impair the rights of third
parties; and
(4) Be documented in writing.
§ 285.104
[Reserved]
§ 285.105 What are my responsibilities
under this part?
As a lessee, applicant, operator, or
holder of a ROW grant, RUE grant, or
Alternate Use RUE grant, you must:
(a) Design your projects and conduct
all activities in a manner that ensures
safety and will not cause undue harm or
damage to natural resources, including
their physical, atmospheric, and
biological components to the extent
practicable; and take measures to
prevent unauthorized discharge of
pollutants including marine trash and
debris into the offshore environment.
(b) Submit requests, applications,
notices, modifications, and
supplemental information to BSEE as
required by this part;
(c) Follow up, in writing, any oral
request or notification you made, within
3 business days;
(d) Comply with the terms,
conditions, and provisions of all reports
and notices submitted to BSEE, and of
all plans, revisions, and other approvals,
as provided in this part and in 30 CFR
parts 585 and 586;
(e) Make all applicable payments on
time;
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(f) Comply with the DOI’s
nonprocurement debarment regulations
at 2 CFR part 1400;
(g) Include the requirement to comply
with 2 CFR part 1400 in all contracts
and transactions related to a lease or
grant under this part;
(h) Conduct all activities authorized
by the lease or grant in a manner
consistent with the provisions of
subsection 8(p) of the OCS Lands Act;
(i) Compile, retain, and make
available to BSEE representatives,
within the time specified by BSEE, any
data and information related to the site
assessment, design, and operations of
your project; and
(j) Respond to requests from the
Director in a timely manner.
§ § 285.106–285.109
[Reserved]
§ 285.110 How do I submit applications,
reports, or notices required by this part?
(a) You must submit all applications,
reports, or notices required by this part
to BSEE at the following address:
Renewable Energy Program Coordinator,
Bureau of Safety and Environmental
Enforcement, 45600 Woodland Road,
Sterling, VA 20166.
(b) Unless otherwise stated, you must
submit one paper copy and one
electronic copy of all applications,
reports, or notices required by this part.
§ 285.111 When and how does BSEE
charge me processing fees on a case-bycase basis?
(a) BSEE will charge a processing fee
on a case-by-case basis under the
procedures in this section with regard to
any application or request under this
part if we decide at any time that the
preparation of a particular document or
study is necessary for the application or
request and it will have a unique
processing cost.
(1) Processing costs will include
contract oversight and efforts to review
and approve documents prepared by
contractors, whether the contractor is
paid directly by the applicant or
through BSEE.
(2) We may apply a standard overhead
rate to direct processing costs.
(b) We will assess the ongoing
processing fee for each individual
application or request according to the
following procedures:
(1) Before we process your application
or request, we will give you a written
estimate of the proposed fee based on
reasonable processing costs.
(2) You may comment on the
proposed fee.
(3) You may:
(i) Ask for our approval to perform, or
to directly pay a contractor to perform,
all or part of any document, study, or
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other activity according to standards we
specify, thereby reducing our costs for
processing your application or request;
or
(ii) Ask to pay us to perform, or
contract for, all or part of any document,
study, or other activity.
(4) We will then give you the final
estimate of the processing fee amount
with payment terms and instructions
after considering your comments and
any BSEE-approved work you will do.
(i) If we encounter higher or lower
processing costs than anticipated, we
will re-estimate our reasonable
processing costs following the
procedures in paragraphs (b)(1) through
(4) of this section, but we will not stop
ongoing processing unless you do not
pay in accordance with paragraph (b)(5)
of this section.
(ii) Once processing is complete, we
will refund to you the amount of money
that we did not spend on processing
costs.
(5)(i) Consistent with the payment
and billing terms provided in the final
estimate, we will periodically estimate
what our reasonable processing costs
will be for a specific period and will bill
you for that period. Payment is due to
us 30 days after you receive your bill.
We will stop processing your document
if you do not pay the bill by the date
payment is due.
(ii) If a periodic payment turns out to
be more or less than our reasonable
processing costs for the period, we will
adjust the next billing accordingly or
make a refund. Do not deduct any
amount from a payment without our
prior written approval.
(6) You must pay the entire fee before
we will issue the final document or take
final action on your application or
request.
(7) You may appeal our estimated
processing costs in accordance with the
regulations in 43 CFR part 4. We will
not process the document further until
the appeal is resolved, unless you pay
the fee under protest while the appeal
is pending. If the appeal results in a
decision changing the proposed fee, we
will adjust the fee in accordance with
paragraph (b)(5)(ii) of this section. If we
adjust the fee downward, we will not
pay interest.
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§ 285.112
Definitions.
Terms used in this part have the
meanings as defined in this section:
Affected State means with respect to
any activities proposed, conducted, or
approved under this part, any coastal
State—
(1) That is, or is proposed to be, the
site of gathering, transmitting, or
distributing energy or is otherwise
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receiving, processing, refining, or
transshipping products, or services
derived from activities approved under
this part;
(2) That is used, or is scheduled to be
used, as a support base for activities
approved under this part; or
(3) In which there is a reasonable
probability of significant effect on land
or water uses from activities approved
under this part.
Alternate Use refers to the energy- or
marine-related use of an existing OCS
facility for activities not otherwise
authorized by this title or other
applicable law.
Alternate Use RUE means a right-ofuse and easement issued for activities
authorized under subpart J of this part
or part 586.
Archaeological resource means any
material remains of human life or
activities that are at least 50 years of age
and that are of archaeological interest
(i.e., which are capable of providing
scientific or humanistic understanding
of past human behavior, cultural
adaptation, and related topics through
the application of scientific or scholarly
techniques, such as controlled
observation, contextual measurement,
controlled collection, analysis,
interpretation, and explanation).
BOEM means the Bureau of Ocean
Energy Management of the Department
of the Interior.
BSEE means the Bureau of Safety and
Environmental Enforcement of the
Department of the Interior.
Certified Verification Agent (CVA)
means an individual or organization,
experienced in the design, fabrication,
and installation of offshore marine
facilities or structures, who will conduct
specified third-party reviews,
inspections, and verifications in
accordance with this part.
Commercial activities mean, for
renewable energy leases and grants, all
activities associated with the generation,
storage, or transmission of electricity or
other energy product from a renewable
energy project on the OCS, and for
which such electricity or other energy
product is intended for distribution,
sale, or other commercial use, except for
electricity or other energy product
distributed or sold pursuant to
technology-testing activities on a
limited lease. This term also includes
activities associated with all stages of
development, including initial site
characterization and assessment, facility
construction, and project
decommissioning.
Commercial lease means a lease
issued under 30 CFR part 585 that
specifies the terms and conditions
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under which a person can conduct
commercial activities.
Commercial operations mean the
generation of electricity or other energy
product for commercial use, sale, or
distribution on a commercial lease.
Decommissioning means removing
BOEM and BSEE approved facilities and
returning the site of the lease or grant to
a condition that meets the requirements
under subpart I of this part and 30 CFR
part 585.
Director means the Director of the
Bureau of Safety and Environmental
Enforcement (BSEE), of the U.S.
Department of the Interior, or an official
authorized to act on the Director’s
behalf.
Facility means an installation that is
permanently or temporarily attached to
the seabed of the OCS. Facilities include
any structures; devices; appurtenances;
gathering, transmission, and
distribution cables; pipelines; and
permanently moored vessels. Any group
of OCS installations interconnected
with walkways, or any group of
installations that includes a central or
primary installation with one or more
satellite or secondary installations, is a
single facility. BOEM and BSEE may
decide that the complexity of the
installations justifies their classification
as separate facilities.
Grant means a right-of-way, right-ofuse and easement, or alternate use rightof-use and easement issued under the
provisions of 30 CFR parts 585 or 586.
Human environment means the
physical, social, and economic
components, conditions, and factors
that interactively determine the state,
condition, and quality of living
conditions, employment, and health of
those affected, directly or indirectly, by
activities occurring on the OCS.
Lease means an agreement
authorizing the use of a designated
portion of the OCS for activities allowed
under this part or 30 CFR part 585. The
term also means the area covered by that
agreement, when the context requires.
Lessee means the holder of a lease, a
BOEM-approved assignee, and, when
describing the conduct required of
parties engaged in activities on the
lease, it also refers to the operator and
all persons authorized by the holder of
the lease or operator to conduct
activities on the lease.
Limited lease means a lease issued
under 30 CFR part 585 that specifies the
terms and conditions under which a
person may conduct activities on the
OCS that support the production of
energy, but do not result in the
production of electricity or other energy
product for sale, distribution, or other
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commercial use exceeding a limit
specified in the lease.
Natural resources include, without
limiting the generality thereof,
renewable energy, oil, gas, and all other
minerals (as defined in section 2(q) of
the OCS Lands Act), and marine animal
and marine plant life.
Operator means the individual,
corporation, or association having
control or management of activities on
the lease or grant issued under 30 CFR
parts 585 or 586. The operator may be
a lessee, grant holder, or a contractor
designated by the lessee or holder of a
grant issued under 30 CFR parts 585 or
586.
Outer Continental Shelf (OCS) means
all submerged lands lying seaward and
outside of the area of lands beneath
navigable waters, as defined in section
2 of the Submerged Lands Act (43
U.S.C. 1301), whose subsoil and seabed
appertain to the United States and are
subject to its jurisdiction and control.
Person means, in addition to a natural
person, an association (including
partnerships and joint ventures); a
Federal agency; a State; a political
subdivision of a State; a Native
American Tribal government; or a
private, public, or municipal
corporation.
Project, for the purposes of defining
the source of revenues to be shared,
means a lease ROW, RUE, or Alternate
Use RUE on which the activities
authorized under this part or 30 CFR
parts 585 or 586 are conducted on the
OCS. The term ‘‘project’’ may be used
elsewhere in this rule to refer to these
same authorized activities, the facilities
used to conduct these activities, or to
the geographic area of the project, i.e.,
the project area.
Project easement means an easement
to which, upon approval of your
Construction and Operations Plan (COP)
or General Activities Plan (GAP), you
are entitled as part of the lease for the
purpose of installing, gathering,
transmission, and distribution cables,
pipelines, and appurtenances on the
OCS as necessary for the full enjoyment
of the lease.
Renewable energy means energy
resources other than oil and gas and
minerals as defined in 30 CFR part 580.
Such resources include, but are not
limited to, wind, solar, and ocean
waves, tides, and current.
Revenues mean bonuses, rents,
operating fees, and similar payments
made in connection with a project or
project area. It does not include
administrative fees such as those
assessed for cost recovery, civil
penalties, and forfeiture of financial
assurance.
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Right-of-use and easement (RUE)
grant means an easement issued by
BOEM under 30 CFR parts 585 or 586
that authorizes use of a designated
portion of the OCS to support activities
on a lease or other use authorization for
renewable energy activities. The term
also means the area covered by the
authorization.
Right-of-way (ROW) grant means an
authorization issued by BOEM under 30
CFR part 585 to use a portion of the OCS
for the construction and use of a cable
or pipeline for the purpose of gathering,
transmitting, distributing, or otherwise
transporting electricity or other energy
product generated or produced from
renewable energy, but does not
constitute a project easement under 30
CFR part 585. The term also means the
area covered by the authorization.
Secretary means the Secretary of the
Interior or an official authorized to act
on the Secretary’s behalf.
Significant archaeological resource
means an archaeological resource that
meets the criteria of significance for
eligibility for listing in the National
Register of Historic Places, as defined in
36 CFR 60.4, or its successor.
Site assessment activities mean those
initial activities conducted to
characterize a site on the OCS, such as
resource assessment surveys (e.g.,
meteorological and oceanographic) or
technology testing, involving the
installation of bottom-founded facilities.
We, us, and our refer to the Bureau of
Safety and Environmental Enforcement
of the Department of the Interior, or its
possessive, depending on the context.
You and your means an applicant,
lessee, the operator, or designated
operator, ROW grant holder, RUE grant
holder, or Alternate Use RUE grant
holder under 30 CFR parts 585 or 586,
or the designated agent of any of these,
or the possessive of each, depending on
the context. The terms you and your also
include contractors and subcontractors
of the entities specified in the preceding
sentence.
§ 285.113 How will data and information
obtained by BSEE under this part be
disclosed to the public?
(a) BSEE will make data and
information available in accordance
with the requirements and subject to the
limitations of the Freedom of
Information Act (FOIA) (5 U.S.C. 552)
and the regulations contained in 43 CFR
part 2.
(b) BSEE will not release such data
and information that we have
determined is exempt from disclosure
under exemption 4 of FOIA. We will
review such data and information and
objections of the submitter by the
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6417
following schedule to determine
whether release at that time will result
in substantial competitive harm or
disclosure of trade secrets.
If you have a
. . .
Then BSEE will review data
and information for possible
release:
(1) Commercial lease.
At the earlier of:
(i) 3 years after the initiation
of commercial generation;
or
(ii) 3 years after the lease
terminates.
At 3 years after the lease
terminates.
At the earliest of:
(i) 10 years after the approval of the grant;
(ii) Grant termination; or
(iii) 3 years after the completion of construction activities.
(2) Limited
lease.
(3) ROW or
RUE grant.
(c) After considering any objections
from the submitter, if we determine that
release of such data and information
will result in:
(1) No substantial competitive harm
or disclosure of trade secrets, then the
data and information will be released.
(2) Substantial competitive harm or
disclosure of trade secrets, then the data
and information will not be released at
that time but will be subject to further
review every 3 years thereafter.
§ 285.114 Paperwork Reduction Act
statements—information collection.
(a) The Office of Management and
Budget (OMB) has approved the
information collection requirements in
this part under 44 U.S.C. 3501, et seq.,
and assigned OMB Control Number
xxxx-xxxx (expiration MONTH xx,
xxxx). The table in paragraph (e) of this
section lists the subparts in the rule
requiring the information and its title,
summarizes the reasons for collecting
the information, and summarizes how
BSEE uses the information.
(b) Respondents are primarily
renewable energy applicants, lessees,
ROW grant holders, RUE grant holders,
Alternate Use RUE grant holders, and
operators. The requirement to respond
to the information collection in this part
is mandated under subsection 8(p) of
the OCS Lands Act. Some responses are
also required to obtain or retain a
benefit, or may be voluntary.
(c) The Paperwork Reduction Act of
1995 (44 U.S.C. 3501 et seq.) requires us
to inform the public that an agency may
not conduct or sponsor, and you are not
required to respond to, a collection of
information unless it displays a
currently valid OMB control number.
(d) Comments regarding any aspect of
the collections of information under this
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part, including suggestions for reducing
the burden, should be sent to the
Information Collection Clearance
(e) BSEE is collecting this information
for the reasons given in the following
table:
30 CFR 285 subpart and title
Reasons for collecting information and how used
(1) Subpart A—General Provisions
To inform BSEE of actions taken to comply with general operational requirements on the OCS. To ensure
that operations on the OCS meet statutory and regulatory requirements, are safe and protect the environment, and result in diligent development on OCS leases.
To ensure compliance with regulations pertaining to a lease or grant, and suspension of leases and grants.
(2) Subpart D—Lease and Grant
Administration.
(3)Subpart F—Information Requirements.
(4) Subpart G—Facility Design,
Fabrication, and Installation.
(5) Subpart H—Environmental and
Safety Management, Inspections,
and Facility Assessments for Activities Conducted Under SAPs,
COPs, and GAPs.
(6) Subpart I—Decommissioning ....
(7) Subpart J—Rights of Use and
Easement for Energy- and
Marine- Related Activities Using
Existing OCS Facilities.
To enable BSEE to comply with Federal laws to ensure the safety of the environment on the OCS.
To enable BSEE to review the final design, fabrication, and installation of facilities on a lease or grant to
ensure that these facilities are designed, fabricated, and installed according to appropriate standards in
compliance with BSEE provisions, and where applicable, the approved plan.
To ensure that lease and grant operations are conducted in a manner that is safe and protects the environment. To ensure compliance with other Federal laws, these regulations, the lease or grant, and approved plans.
To determine that decommissioning activities comply with regulatory requirements and approvals. To ensure that site clearance and platform or pipeline removal are properly performed to protect marine life
and the environment and do not conflict with other users of the OCS.
To enable BSEE to review information regarding the design, installation, and operation of RUEs on the
OCS, to ensure that RUE operations are safe and protect the human, marine, and coastal environment.
To ensure compliance with other Federal laws, these regulations, the RUE grant, and where applicable,
the approved plan.
§ 285.115 Documents incorporated by
reference.
khammond on DSKJM1Z7X2PROD with RULES2
Officer, Bureau of Safety and
Environmental Enforcement, 45600
Woodland Road, Sterling, VA 20166.
Certain material is incorporated by
reference into this part with the
approval of the Director of the Federal
Register under 5 U.S.C. 552(a) and 1
CFR part 51. All approved incorporation
by reference (IBR) material is available
for inspection at BSEE and at the
National Archives and Records
Administration (NARA). Contact BSEE
at: BSEE, 45600 Woodland Road,
Sterling, Virginia 20166, phone: 703–
787–1665. For information on the
availability of this material at NARA,
visit www.archives.gov/federal-register/
cfr/ibr-locations.html or email
fr.inspection@nara.gov. The material is
available from the American Petroleum
Institute (API), 200 Massachusetts
Avenue NW, Suite 1100, Washington,
DC 20001–5571; phone (202) 682–8000;
website: www.api.org or https://
publications.api.org.
(a) API RP 2A–WSD, Recommended
Practice for Planning, Designing and
Constructing Fixed Offshore Platforms—
Working Stress Design; Twenty-first
Edition, December 2000; Errata and
Supplement 1, December 2002; Errata
and Supplement 2, September 2005;
Errata and Supplement 3, October 2007.
IBR approved for § 285.825(a), (b).
(b) [Reserved]
§ 285.116 Requests for information on the
state of the offshore renewable energy
industry.
(a) The Director may, from time to
time, and at the Director’s discretion,
solicit information from industry and
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19:52 Jan 30, 2023
Jkt 259001
other relevant stakeholders (including
State and local agencies), as necessary,
to evaluate the state of the offshore
renewable energy industry, including
the identification of potential challenges
or obstacles to its continued
development. Such requests for
information may relate to the
identification of environmental,
technical, regulatory, or economic
matters that promote or detract from
continued development of renewable
energy technologies on the OCS. From
the information received, the Director
may evaluate potential refinements to
the OCS alternative energy program that
promote development of the industry in
a safe and environmentally responsible
manner.
(b) BSEE will publish such requests
for information by the Director in the
Federal Register.
§ 285.117
[Reserved]
§ 285.118
What are my appeal rights?
(a) Any party adversely affected by a
BSEE official’s final decision or order
issued under the regulations of this part
may appeal that decision or order to the
Interior Board of Land Appeals. The
appeal must conform with the
procedures found in 30 CFR part 290
and 43 CFR part 4, subpart E.
(b) A decision will remain in full
force and effect during the period in
which an appeal may be filed and
during an appeal, unless a stay is
granted pursuant to 43 CFR part 4.
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Subparts B and C [Reserved]
Subpart D—Lease and Grant
Administration
Noncompliance and Cessation Orders
§ 285.400 What happens if I fail to comply
with this part?
(a) BSEE may take appropriate
corrective action under this part if you
fail to comply with applicable
provisions of Federal law, the
regulations in this part, other applicable
regulations, any order of the Director,
the provisions of a lease or grant issued
under 30 CFR parts 585 or 586, or the
requirements of an approved plan or
other approval under this part or 30 CFR
parts 585 or 586.
(b) BSEE may issue to you a notice of
noncompliance if we determine that
there has been a violation of the
regulations in this part, any order of the
Director, or any provision of your lease,
grant or other approval issued under
this part or 30 CFR parts 585 or 586.
When issuing a notice of
noncompliance, BSEE will serve you at
your last known address.
(c) A notice of noncompliance will
tell you how you failed to comply with
this part, any order of either Director,
and/or the provisions of your lease,
grant or other approval, and will specify
what you must do to correct the
noncompliance and the time limits
within which you must act.
(d) Failure of a lessee, operator, or
grant holder under this part to take the
actions specified in a notice of
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noncompliance within the time limit
specified provides the basis for BSEE to
issue a cessation order as provided in
§ 285.401, and/or a cancellation of the
lease or grant as provided in § 285.437.
(e) If BSEE determines that any
incident of noncompliance poses an
imminent threat of serious or irreparable
damage to natural resources; life
(including human and wildlife);
property; the marine, coastal, or human
environment; or sites, structures, or
objects of historical or archaeological
significance, BSEE may include with its
notice of noncompliance an order
directing you to take immediate
remedial action to alleviate threats and
to abate the violation and, when
appropriate, a cessation order.
(f) BSEE may assess civil penalties, as
authorized by section 24 of the OCS
Lands Act, if you fail to comply with
any provision of this part, or any term
of a lease, grant, or order issued under
the authority of this part or 30 CFR parts
585 or 586, after notice of such failure
and expiration of any reasonable period
allowed for corrective action. Civil
penalties will be determined and
assessed in accordance with the
procedures set forth in 30 CFR part 550,
subpart N.
(g) You may be subject to criminal
penalties as authorized by section 24 of
the OCS Lands Act.
§ 285.401 When may BSEE issue a
cessation order?
(a) BSEE may issue a cessation order
during the term of your lease or grant
when you fail to comply with an
applicable law; regulation; order; or
provision of a lease, grant, plan, or BSEE
or BOEM approval. Except as provided
in § 285.400(e), BSEE will allow you a
period of time to correct any
noncompliance before issuing an order
to cease activities.
(b) A cessation order will set forth
what measures you are required to take,
including reports you are required to
prepare and submit to BSEE, to receive
approval to resume activities on your
lease or grant.
khammond on DSKJM1Z7X2PROD with RULES2
§ 285.402
order?
What is the effect of a cessation
(a) Upon receiving a cessation order,
you must cease all activities on your
lease or grant, as specified in the order.
BSEE may authorize certain activities
during the period of the cessation order.
(b) A cessation order will last for the
period specified in the order or as
otherwise specified by BSEE. If BSEE
determines that the circumstances
giving rise to the cessation order cannot
be resolved within a reasonable time
period, the Secretary may initiate
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19:52 Jan 30, 2023
Jkt 259001
cancellation of your lease or grant, as
provided in § 285.437.
(c) A cessation order does not extend
the term of your lease or grant for the
period you are prohibited from
conducting activities.
(d) You must continue to make all
required payments on your lease or
grant during the period a cessation order
is in effect.
§ 285.403–285.405
[Reserved]
Responsibility for Fulfilling Obligations
§ 285.406 Who is responsible for fulfilling
lease and grant obligations?
(a) When you are not the sole lessee
or grantee, you and your co-lessee(s) or
co-grantee(s) are jointly and severally
responsible for fulfilling your
obligations under the lease or grant and
the provisions of this part or 30 CFR
parts 585 or 586, unless otherwise
provided in this part.
(b) If your designated operator fails to
fulfill any of your obligations under the
lease or grant and this part or 30 CFR
parts 585 or 586, BSEE may require you
or any or all of your co-lessees or cograntees to fulfill those obligations or
other operational obligations under the
OCS Lands Act, the lease, grant, or the
regulations.
(c) Whenever the regulations in this
part or 30 CFR parts 585 or 586 require
the lessee or grantee to conduct an
activity in a prescribed manner, the
lessee or grantee and operator (if one
has been designated) are jointly and
severally responsible for complying
with the regulations.
§ 285.407–285.414
[Reserved]
Lease or Grant Suspension
§ 285.415 What is a lease or grant
suspension?
(a) A suspension is an interruption of
the term of your lease or grant that may
occur as ordered by BSEE, as provided
in § 285.417; or as approved or ordered
by BOEM, as provided in 30 CFR
585.416 and 585.417.
(b) A suspension extends the term of
your lease or grant for the length of time
the suspension is in effect.
(c) Activities may not be conducted
on your lease or grant during the period
of a suspension except as expressly
authorized under the terms of the
suspension.
§ 285.416
[Reserved]
§ 285.417 When may BSEE order a
suspension?
(a) BSEE may order a suspension
under the following circumstances:
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6419
(1) When necessary to comply with
judicial decrees prohibiting some or all
activities under your lease; or
(2) When continued activities pose an
imminent threat of serious or irreparable
harm or damage to natural resources;
life (including human and wildlife);
property; the marine, coastal, or human
environment; or sites, structures, or
objects of historical or archaeological
significance.
(b) If BSEE orders a suspension under
paragraph (a)(2) of this section, and if
you wish to resume activities, we may
require you to conduct a site-specific
study that evaluates the cause of the
harm, the potential damage, and the
available mitigation measures. Other
requirements and actions may occur:
(1) You may be required to pay for the
study;
(2) You must furnish one paper copy
and one electronic copy of the study
and results to us;
(3) We will make the results available
to other interested parties and to the
public; and
(4) We will use the results of the
study and any other information that
become available:
(i) To decide if the suspension order
can be lifted; and
(ii) To determine any actions that you
must take to mitigate or avoid any
damage to natural resources; life
(including human and wildlife);
property; the marine, coastal, or human
environment; or sites, structures, or
objects of historical or archaeological
significance.
§ 285.418 How will BSEE issue a
suspension?
(a) BSEE will issue a suspension order
orally or in writing.
(b) BSEE will send you a written
suspension order as soon as practicable
after issuing an oral suspension order.
(c) The written order will explain the
reasons for its issuance and describe the
effect of the suspension order on your
lease or grant and any associated
activities. BSEE may authorize certain
activities during the period of the
suspension, as set forth in the
suspension order.
§ 285.419 What are my immediate
responsibilities if I receive a suspension
order?
You must comply with the terms of a
suspension order upon receipt and take
any action prescribed within the time
set forth therein.
§ 285.420 What effect does a suspension
order have on my payments?
If BSEE orders a suspension, as
provided in § 285.417, your payments,
as appropriate for the term that is
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suspended, will be waived during the
suspension period.
§ 285.421
effect?
How long will a suspension be in
A suspension will be in effect for the
period specified by BSEE. If BSEE
determines that the circumstances
giving rise to a suspension ordered
under § 285.417 cannot be resolved
within 5 years, the Secretary may
initiate cancellation of the lease or
grant, as provided in § 285.437.
§ 285.422–285.432
[Reserved]
Lease or Grant Termination
§ 285.433 What must I do after my lease or
grant terminates?
(a) After your lease or grant
terminates, you must:
(1) Make all payments due; and
(2) Perform any other outstanding
obligations under the lease or grant
within 6 months.
(b) Within 2 years following
termination of a lease or grant, you must
remove or dispose of all facilities,
installations, and other devices
permanently or temporarily attached to
the seabed on the OCS in accordance
with your Plan approved by BOEM
under 30 CFR part 585, subpart F, and
your application approved by BSEE
under subpart I of this part.
(c) If you fail to comply with your
approved decommissioning plan or
application:
(1) BOEM may call for the forfeiture
of your financial assurance; and
(2) You remain liable for removal or
disposal costs and responsible for
accidents or damages that might result
from such failure.
§ § 285.434–285.436
[Reserved]
khammond on DSKJM1Z7X2PROD with RULES2
§ 285.437 When can my lease or grant be
canceled?
(a) The Secretary will cancel any lease
or grant issued under 30 CFR parts 585
or 586 upon proof that it was obtained
by fraud or misrepresentation, and after
notice and opportunity to be heard has
been afforded to the lessee or grant
holder.
(b) The Secretary may cancel any
lease or grant issued under 30 CFR parts
585 or 586 when:
(1) The Secretary determines after
notice and opportunity for a hearing
that, with respect to the lease or grant
that would be canceled, the lessee or
grantee has failed to comply with any
applicable provision of the OCS Lands
Act or these regulations; any order of
the Director; or any term, condition or
stipulation contained in the lease or
19:52 Jan 30, 2023
Jkt 259001
Subpart E [Reserved]
Subpart F—Information Requirements
§ § 285.600–285.601
§ 285.602
[Reserved]
What records must I maintain?
Until BOEM releases your financial
assurance under 30 CFR 585.534, you
must maintain and provide to BSEE,
upon request, all data and information
related to compliance with required
terms and conditions of your SAP, COP,
or GAP.
§ § 285.603–285.613
Activities Under an Approved SAP
(a) You may begin conducting the
activities approved in your SAP
following BOEM approval of your SAP.
(b) If you are installing a facility or a
combination of facilities deemed by
BOEM to be complex or significant, as
provided in 30 CFR 585.613(a)(1), you
must comply with the requirements of
subpart G of this part and submit your
safety management system required by
§ 285.810 before construction may
begin.
§ 285.615 What other reports or notices
must I submit to BSEE under my approved
SAP?
(a) You must notify BSEE in writing
within 30 days of completing
installation activities approved in your
SAP.
(b) You must submit a certification of
compliance annually (or other
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frequency as determined by BOEM)
with those terms and conditions of your
SAP that BOEM identifies under 30 CFR
585.613(e)(1). Together with your
certification, you must submit:
(1) Summary reports that show
compliance with the terms and
conditions which require certification;
and
(2) A statement identifying and
describing any mitigation measures and
monitoring methods and their
effectiveness. If you identified measures
that were not effective, you must
include your recommendations for new
mitigation measures or monitoring
methods.
§ § 285.616–285.630
[Reserved]
Activities Under an Approved COP
§ 285.631 When must I initiate activities
under an approved COP?
After your COP is approved, you must
commence construction by the date
given in the construction schedule
required by 30 CFR 585.626(b)(21), and
included as a part of your approved
COP, unless BOEM approves a deviation
from your schedule.
§ 285.632 What documents must I submit
before I may construct and install facilities
under my approved COP?
(a) You must submit to BSEE the
documents listed in the following table:
Requirements
are found in:
Document:
(1) Facility Design Report .....
(2) Fabrication and Installation Report ........................
§ 285.701
§ 285.702
[Reserved]
§ 285.614 When may I begin conducting
activities under my approved SAP?
Lease or Grant Cancellation
VerDate Sep<11>2014
grant, and that the failure to comply
continued 30 days (or other period
BSEE specifies) after you receive notice
from BSEE. The Secretary will mail a
notice by registered or certified letter to
the lessee or grantee at its record post
office address;
(2) Required by national security or
defense; or
(3) The Secretary determines after
notice and opportunity for a hearing
that continued activity under the lease
or grant:
(i) Would cause serious harm or
damage to natural resources; life
(including human and wildlife);
property; the marine, coastal, or human
environment; or sites, structures, or
objects of historical or archaeological
significance;
(ii) That the threat of harm or damage
would not disappear or decrease to an
acceptable extent within a reasonable
period of time; and
(iii) The advantages of cancellation
outweigh the advantages of continuing
the lease or grant in force.
Fmt 4701
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(b) You must submit your safety
management system, as required by
§ 285.810.
(c) These activities must fall within
the scope of your approved COP. If they
do not fall within the scope of your
approved COP, you will be required to
submit a revision to your COP, under 30
CFR 585.634, for BOEM approval before
commencing the activity.
§ 285.633
How do I comply with my COP?
(a) You must submit a certification of
compliance annually (or other
frequency as determined by BOEM)
with certain terms and conditions of
your COP that BOEM identifies.
Together with your certification, you
must submit:
(1) Summary reports that show
compliance with the terms and
conditions which require certification;
and
(2) A statement identifying and
describing any mitigation measures and
monitoring methods, and their
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effectiveness. If you identified measures
that were not effective, then you must
make recommendations for new
mitigation measures or monitoring
methods.
(b) As provided at § 285.105(i), BSEE
may require you to submit any
supporting data and information.
§ § 285.634–285.635
[Reserved]
§ 285.636 What notices must I provide
BSEE following approval of my COP?
You must notify BSEE in writing of
the following events, within the time
periods provided:
(a) No later than 30 days after
commencing activities associated with
the placement of facilities on the lease
area under a Fabrication and Installation
Report.
(b) No later than 30 days after
completion of construction and
installation activities under a
Fabrication and Installation Report.
(c) At least 7 days before commencing
commercial operations.
§ 285.637 When may I commence
commercial operations on my commercial
lease?
If you are conducting activities on
your lease that:
(a) Do not require a FERC license (e.g.,
wind), then you may commence
commercial operations 30 days after the
CVA or project engineer has submitted
to BSEE the final Fabrication and
Installation Report for the fabrication
and installation review, as provided in
§ 285.708.
(b) Require a FERC license or
exemption, then you may commence
commercial operations when permitted
by the terms of your license or
exemption.
§ 285.638 What must I do upon completion
of my commercial operations as approved
in my COP or FERC license?
khammond on DSKJM1Z7X2PROD with RULES2
(a) Upon completion of your approved
activities under your COP, you must
initiate the decommissioning process as
set forth in subpart I of this part. You
must submit your decommissioning
application as provided in §§ 285.905
and 285.906.
(b) Upon completion of your
approved activities under your FERC
license, the terms of your FERC license
will govern your decommissioning
activities.
§ § 285.639–285.649
[Reserved]
§ § 285.654–285.659
6421
[Reserved]
Subpart G—Facility Design,
Fabrication, and Installation
Activities Under an Approved GAP
Reports
§ 285.650 When may I begin conducting
activities under my GAP?
§ 285.700 What reports must I submit to
BSEE before installing facilities described
in my approved SAP, COP, or GAP?
After BOEM approves your GAP, you
may begin conducting the approved
activities that do not involve a project
easement or the construction of facilities
on the OCS that BOEM has deemed to
be complex or significant.
§ 285.651 When may I construct complex
or significant OCS facilities on my limited
lease or any facilities on my project
easement proposed under my GAP?
If you are applying for a project
easement, or installing a facility or a
combination of facilities on your limited
lease deemed by BOEM to be complex
or significant, as provided in 30 CFR
585.648(a)(1), you also must comply
with the requirements of subpart G of
this part and submit your safety
management system description
required by § 285.810 before
construction may begin.
§ 285.652
[Reserved]
§ 285.653 What other reports or notices
must I submit to BSEE under my approved
GAP?
(a) You must notify BSEE in writing
within 30 days after completing
installation activities approved in your
GAP
(b) You must annually (or other
frequency as determined by BOEM)
submit a certification of compliance
with those terms and conditions of your
GAP that BOEM identifies under 30 CFR
585.648(e)(1). Together with your
certification, you must submit:
(1) Summary reports that show
compliance with the terms and
conditions which require certification;
and
(2) A statement identifying and
describing any mitigation measures and
monitoring methods and their
effectiveness. If you identified measures
that were not effective, you must
include your recommendations for new
mitigation measures or monitoring
methods.
(a) You must submit the following
reports to BSEE before installing
facilities described in your approved
COP (§ 285.632(a)) and, when required
by 30 CFR part 585, your SAP
(§ 285.614(b)), or GAP (§ 285.651):
(1) A Facility Design Report; and
(2) A Fabrication and Installation
Report.
(b) You may begin to fabricate and
install the approved facilities after BSEE
notifies you that it has received your
reports and has no objections. If BSEE
receives the reports, but does not
respond with objections within 60 days
of receipt, or 60 days after BOEM
approves your SAP, COP, or GAP if you
submitted your report with the plan,
BSEE is deemed not to have objections
to the reports, and you may commence
fabrication and installation of your
facility or facilities.
(c) If BSEE has any objections, we will
notify you verbally or in writing within
60 days of receipt of the report.
Following initial notification of
objections, BSEE may follow-up with
written correspondence outlining its
specific objections to the report and
request that certain actions be
undertaken. You cannot commence
activities addressed in such report until
you resolve all objections to BSEE’s
satisfaction.
§ 285.701 What must I include in my
Facility Design Report?
(a) Your Facility Design Report
provides specific details of the design of
any facilities, including cables and
pipelines that are outlined in your
BOEM-approved SAP, COP, or GAP.
Your Facility Design Report must
demonstrate that your design conforms
to your responsibilities listed in
§ 285.105(a). You must include the
following items in your Facility Design
Report:
Required documents
Required contents
Other requirements
(1) Cover letter ................................
(i) Proposed facility designations; ..........................................................
(ii) Lease, ROW grant or RUE grant number; .......................................
(iii) Area; name and block numbers; and
(iv) The type of facility
You must submit 1 paper copy
and 1 electronic copy.
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Required documents
Required contents
Other requirements
(2) Location plat ..............................
(i) Latitude and longitude coordinates, Universal Mercator grid-system
coordinates, State plane coordinates in the Lambert or Transverse
Mercator Projection System;.
(ii) Distances in feet from the nearest block lines. These coordinates
must be based on the NAD (North American Datum) 83 datum
plane coordinate system; and.
(iii) The location of any proposed project easement.
(i) Facility dimensions and orientation;
(ii) Elevations relative to Mean Lower Low Water; and
(iii) Pile sizes and penetration.
Your plat must be drawn to a
scale of 1 inch equals 100 feet
and include the coordinates of
the lease, ROW grant, or RUE
grant block boundary lines. You
must submit 1 paper copy and 1
electronic copy.
Your drawing sizes must not exceed 11″ × 17″. You must submit 1 paper copy and 1 electronic copy.
Your drawing sizes must not exceed 11″ × 17″. You must submit 1 paper copy and 1 electronic copy.
(3) Front, Side, and Plan View
drawings.
(4) Complete set of structural drawings.
(5) Summary of environmental data
used for design.
(6) Summary of the engineering design data.
(7) A complete set of design calculations.
(8) Project-specific studies used in
the facility design or installation.
(9) Description of the loads imposed on the facility.
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(10) Geotechnical Report ................
The approved for construction fabrication drawings should be submitted including, e.g.:
(i) Cathodic protection systems;
(ii) Jacket design;
(iii) Pile foundations;
(iv) Mooring and tethering systems;
(v) Foundations and anchoring systems; and
(vi) Associated cable and pipeline designs
A summary of the environmental data used in the design or analysis
of the facility. Examples of relevant data include information on:
(i) Extreme weather;
(ii) Seafloor conditions; and
(iii) Waves, wind, current, tides, temperature, snow and ice effects,
marine growth, and water depth.
(i) Loading information (e.g., live, dead, environmental);
(ii) Structural information (e.g., design-life; material types; cathodic
protection systems; design criteria; fatigue life; jacket design; deck
design; production component design; foundation pilings and templates, and mooring or tethering systems; fabrication and installation guidelines); and
(iii) Location of foundation boreholes and foundation piles; and
(iv) Foundation information (e.g., soil stability, design criteria)
Self-explanatory.
All studies pertinent to facility design or installation, e.g., oceanographic and soil reports including the results of the surveys required in 30 CFR 585.610(b), 585.627(a), or 585.645(a).
(i) Loads imposed by jacket;
(ii) Decks;
(iii) Production components;
(iv) Foundations, foundation pilings and templates, and anchoring
systems; and
(v) Mooring or tethering systems.
A list of all data from borings and recommended design parameters.
(b) For any floating facility, your
design must meet the requirements of
the U.S. Coast Guard for structural
integrity and stability (e.g., verification
of center of gravity). The design must
also consider:
(1) Foundations, foundation pilings
and templates, and anchoring systems;
and
(2) Mooring or tethering systems.
(c) You must provide the location of
records, as required in § 285.714(c).
(d) If you are required to use a CVA,
the Facility Design Report must include
one paper copy of the following
certification statement: ‘‘The design of
this structure has been certified by a
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CVA to be in accordance with accepted
engineering practices and the approved
SAP, GAP, or COP as appropriate. The
certified design and as-built plans and
specifications will be on file at (given
location).’’
(e) BSEE will withhold trade secrets
and commercial or financial information
that is privileged or confidential from
public disclosure under exemption 4 of
the FOIA and in accordance with the
terms of § 285.113.
§ 285.702 What must I include in my
Fabrication and Installation Report?
You must submit 1 paper copy
and 1 electronic copy. If you
submitted these data as part of
your SAP, COP, or GAP, you
may reference the plan.
You must submit 1 paper copy
and 1 electronic copy.
You must submit 1 paper copy
and 1 electronic copy.
You must submit 1 paper copy
and 1 electronic copy.
You must submit 1 paper copy
and 1 electronic copy.
You must submit 1 paper copy
and 1 electronic copy.
will be fabricated and installed in
accordance with the design criteria
identified in the Facility Design Report;
your BOEM-approved SAP, COP, or
GAP; and generally accepted industry
standards and practices. Your
Fabrication and Installation Report must
demonstrate how your facilities will be
fabricated and installed in a manner that
conforms to your responsibilities listed
in § 285.105(a). You must include the
following items in your Fabrication and
Installation Report:
(a) Your Fabrication and Installation
Report must describe how your facilities
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Required documents
Required contents
Other requirements
(1) Cover letter ................................
(i) Proposed facility designation, lease, ROW grant, or RUE grant
number;
(ii) Area, name, and block number; and
(iii) The type of facility.
Fabrication and installation.
You must submit 1 paper copy
and 1 electronic copy.
(2) Schedule ....................................
(3) Fabrication information ..............
(4) Installation process information
(5) Federal, State, and local permits (e.g., EPA, Army Corps of
Engineers).
(6) Environmental information .........
(7) Project easement .......................
The industry standards you will use to ensure the facilities are fabricated to the design criteria identified in your Facility Design Report.
Details associated with the deployment activities, equipment, and materials, including onshore and offshore equipment and support, and
anchoring and mooring patterns.
Either 1 copy of the permit or information on the status of the application.
(i) Water discharge;
(ii) Waste disposal;
(iii) Vessel information; and
(iv) Onshore waste receiving treatment or disposal facilities.
Design of any cables, pipelines, or facilities. Information on burial
methods and vessels.
(b) You must provide the location of
records, as required in § 285.714(c).
(c) If you are required to use a CVA,
the Fabrication and Installation Report
must include one paper copy of the
following certification statement: ‘‘The
fabrication and installation of this
structure has been certified by an
approved CVA to be in accordance with
accepted engineering practices and the
approved SAP, GAP, or COP as
appropriate. The certified design and asbuilt plans and specifications will be on
file at (given location).’’
(d) BSEE will withhold trade secrets
and commercial or financial information
that is privileged or confidential from
public disclosure under exemption 4 of
the FOIA and in accordance with the
terms of § 285.113.
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6423
major modifications to the project
conform to accepted engineering
practices.
(1) A major repair is a corrective
action involving structural members
affecting the structural integrity of a
portion of or all the facility.
(2) A major modification is an
alteration involving structural members
affecting the structural integrity of a
portion of or all the facility.
(b) The report must also identify the
location of all records pertaining to the
major repairs or major modifications, as
required in § 285.714(c).
(c) BSEE may require you to use a
CVA for project modifications and
repairs.
§ 285.704
[Reserved]
Certified Verification Agent
§ 285.703 What reports must I submit for
project modifications and repairs?
§ 285.705 When must I use a Certified
Verification Agent (CVA)?
(a) You must verify and, in a report
to us, certify that major repairs and
You must use a CVA to review and
certify the Facility Design Report, the
You must submit 1 paper copy
and 1 electronic copy.
You must submit 1 paper copy
and 1 electronic copy.
You must submit 1 paper copy
and 1 electronic copy.
You must submit 1 paper copy
and 1 electronic copy.
You must submit 1 paper copy
and 1 electronic copy. If you
submitted these data as part of
your SAP, COP, or GAP, you
may reference the plan.
You must submit 1 paper copy
and 1 electronic copy.
Fabrication and Installation Report, and
the Project Modifications and Repairs
Report.
(a) You must use a CVA to:
(1) Ensure that your facilities are
designed, fabricated, and installed in
conformance with accepted engineering
practices and the Facility Design Report
and Fabrication and Installation Report;
(2) Ensure that repairs and major
modifications are completed in
conformance with accepted engineering
practices; and
(3) Provide BSEE immediate reports of
all incidents that affect the design,
fabrication, and installation of the
project and its components.
(b) BSEE may waive the requirement
that you use a CVA if you can
demonstrate the following:
If you demonstrate that . . .
Then BSEE may waive the requirement for a CVA for the following:
(1) The facility design conforms to a standard design that has been used successfully in a similar environment, and the installation design conforms to accepted engineering practices.
(2) The manufacturer has successfully manufactured similar facilities, and the facility will be fabricated in
conformance with accepted engineering practices.
(3) The installation company has successfully installed similar facilities in a similar offshore environment,
and your structure(s) will be installed in conformance with accepted engineering practices.
(4) Repairs and major modifications will be completed in conformance with accepted engineering practices
The design of your structure(s).
(c) You must submit a request to
waive the requirement to use a CVA to
BSEE in writing with your SAP under
30 CFR 585.610(a)(9), COP under 30
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CFR 585.626(b)(20), or GAP under 30
CFR 585.645(c)(5).
(1) BSEE will review your request to
waive the use of the CVA and will
notify you of its decision along with
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The fabrication of your structure(s).
The installation of your structure(s).
The repair or major modification of
your structure(s).
BOEM’s decision on your SAP, COP, or
GAP.
(2) If BSEE does not waive the
requirement for a CVA, you may file an
appeal per § 285.118.
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(3) If BSEE waives the requirement
that you use a CVA, your project
engineer must perform the same duties
and responsibilities as the CVA, except
as otherwise provided.
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§ 285.706 How do I nominate a CVA for
BSEE approval?
(a) You must nominate a CVA for
BSEE approval as part of your COP per
30 CFR 585.626(b)(20), and when
required, as part of your SAP per 30
CFR 585.610(a)(9) or GAP per 30 CFR
585.645(c)(5). You must use a CVA to
review and certify the Facility Design
Report, the Fabrication and Installation
Report, and the Project Modifications
and Repairs Report per this subpart.
You must specify whether the CVA
nomination is for the Facility Design
Report, Fabrication and Installation
Report, Project Modifications and
Repairs Report, or for any combination
of these.
(b) For each CVA that you nominate,
you must submit to BSEE a list of
documents used in your design that you
will forward to the CVA and a
qualification statement that includes the
following:
(1) Previous experience in third-party
verification or experience in the design,
fabrication, installation, or major
modification of offshore energy
facilities;
(2) Technical capabilities of the
individual or the primary staff for the
specific project;
(3) Size and type of organization or
corporation;
(4) In-house availability of, or access
to, appropriate technology (including
computer programs, hardware, and
testing materials and equipment);
(5) Ability to perform the CVA
functions for the specific project
considering current commitments;
(6) Previous experience with BOEM
and BSEE requirements and procedures,
if any; and
(7) The level of work to be performed
by the CVA.
(c) Individuals or organizations acting
as CVAs must not function in any
capacity that will create a conflict of
interest, or the appearance of a conflict
of interest.
(d) The verification must be
conducted by or under the direct
supervision of registered professional
engineers.
(e) BSEE will approve or disapprove
your CVA as part of BOEM’s review of
your COP or, when required, of your
SAP or GAP.
(f) You must nominate a new CVA for
BSEE approval if the previously
approved CVA:
(1) Is no longer able to serve in a CVA
capacity for the project; or
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(2) No longer meets the requirements
for a CVA set forth in this subpart.
§ 285.707 What are the CVA’s primary
duties for facility design review?
If you are required to use a CVA:
(a) The CVA must use good
engineering judgment and practices in
conducting an independent assessment
of the design of the facility. The CVA
must certify in the Facility Design
Report to BSEE that the facility is
designed to withstand the
environmental and functional load
conditions appropriate for the intended
service life at the proposed location.
(b) The CVA must conduct an
independent assessment of all proposed:
(1) Planning criteria;
(2) Operational requirements;
(3) Environmental loading data;
(4) Load determinations;
(5) Stress analyses;
(6) Material designations;
(7) Soil and foundation conditions;
(8) Safety factors; and
(9) Other pertinent parameters of the
proposed design.
(c) For any floating facility, the CVA
must ensure that any requirements of
the U.S. Coast Guard for structural
integrity and stability (e.g., verification
of center of gravity), have been met. The
CVA must also consider:
(1) Foundations, foundation pilings
and templates, and anchoring systems;
and
(2) Mooring or tethering systems.
§ 285.708 What are the CVA’s or project
engineer’s primary duties for fabrication
and installation review?
(a) The CVA or project engineer must
do all of the following:
(1) Use good engineering judgment
and practice in conducting an
independent assessment of the
fabrication and installation activities;
(2) Monitor the fabrication and
installation of the facility as required by
paragraph (b) of this section;
(3) Make periodic onsite inspections
while fabrication is in progress and
verify the items required by § 285.709;
(4) Make periodic onsite inspections
while installation is in progress and
satisfy the requirements of § 285.710;
and
(5) Certify in a report that project
components are fabricated and installed
in accordance with accepted
engineering practices; your BOEMapproved COP, SAP, or GAP (as
applicable); and the Fabrication and
Installation Report.
(i) The report must also identify the
location of all records pertaining to
fabrication and installation, as required
in § 285.714(c); and
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(ii) You may commence commercial
operations or other approved activities
30 days after BSEE receives that
certification report, unless BSEE notifies
you within that time period of its
objections to the certification report.
(b) To comply with paragraph (a)(5) of
this section, the CVA or project engineer
must monitor the fabrication and
installation of the facility to ensure that
it has been built and installed according
to the Facility Design Report and
Fabrication and Installation Report.
(1) If the CVA or project engineer
finds that fabrication and installation
procedures have been changed or design
specifications have been modified, the
CVA or project engineer must inform
you; and
(2) If you accept the modifications,
then you must also inform BSEE.
§ 285.709 When conducting onsite
fabrication inspections, what must the CVA
or project engineer verify?
(a) To comply with § 285.708(a)(3),
the CVA or project engineer must make
periodic onsite inspections while
fabrication is in progress and must
verify the following fabrication items, as
appropriate:
(1) Quality control by lessee (or grant
holder) and builder;
(2) Fabrication site facilities;
(3) Material quality and identification
methods;
(4) Fabrication procedures specified
in the Fabrication and Installation
Report, and adherence to such
procedures;
(5) Welder and welding procedure
qualification and identification;
(6) Structural tolerances specified,
and adherence to those tolerances;
(7) Nondestructive examination
requirements and evaluation results of
the specified examinations;
(8) Destructive testing requirements
and results;
(9) Repair procedures;
(10) Installation of corrosionprotection systems and splash-zone
protection;
(11) Erection procedures to ensure
that overstressing of structural members
does not occur;
(12) Alignment procedures;
(13) Dimensional check of the overall
structure, including any turrets, turretand-hull interfaces, any mooring line
and chain and riser tensioning line
segments; and
(14) Status of quality-control records
at various stages of fabrication.
(b) For any floating facilities, the CVA
or project engineer must ensure that any
requirements of the U.S. Coast Guard for
structural integrity and stability (e.g.,
verification of center of gravity) have
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been met. The CVA or project engineer
must also consider:
(1) Foundations, foundation pilings
and templates, and anchoring systems;
and
(2) Mooring or tethering systems.
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§ 285.710 When conducting onsite
installation inspections, what must the CVA
or project engineer do?
To comply with § 285.708(a)(4), the
CVA or project engineer must make
periodic onsite inspections while
installation is in progress and must, as
appropriate, verify, witness, survey, or
check, the installation items required by
this section.
(a) The CVA or project engineer must
verify, as appropriate, all of the
following:
(1) Loadout and initial flotation
procedures;
(2) Towing operation procedures to
the specified location, and review the
towing records;
(3) Launching and uprighting
activities;
(4) Submergence activities;
(5) Pile or anchor installations;
(6) Installation of mooring and
tethering systems;
(7) Final deck and component
installations; and
(8) Installation at the approved
location according to the Facility Design
Report and the Fabrication and
Installation Report.
(b) For a fixed or floating facility, the
CVA or project engineer must verify that
proper procedures were used during the
following:
(1) The loadout of the jacket, decks,
piles, or structures from each fabrication
site; and
(2) The actual installation of the
facility or major modification and the
related installation activities.
(c) For a floating facility, the CVA or
project engineer must verify that proper
procedures were used during the
following:
(1) The loadout of the facility;
(2) The installation of foundation
pilings and templates, and anchoring
systems; and
(3) The installation of the mooring
and tethering systems.
(d) The CVA or project engineer must
conduct an onsite survey of the facility
after transportation to the approved
location.
(e) The CVA or project engineer must
spot-check the equipment, procedures,
and recordkeeping as necessary to
determine compliance with the
applicable documents incorporated by
reference in § 285.115 and the
regulations under this part.
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§ 285.711
[Reserved]
§ 285.712 What are the CVA’s or project
engineer’s reporting requirements?
(a) The CVA or project engineer must
prepare and submit to you and BSEE all
reports required by this subpart. The
CVA or project engineer must also
submit interim reports to you and BSEE,
as requested by BSEE.
(b) For each report required by this
subpart, the CVA or project engineer
must submit one electronic copy and
one paper copy of each final report to
BSEE. In each report, the CVA or project
engineer must:
(1) Give details of how, by whom, and
when the CVA or project engineer
activities were conducted;
(2) Describe the CVA’s or project
engineer’s activities during the
verification process;
(3) Summarize the CVA’s or project
engineer’s findings; and
(4) Provide any additional comments
that the CVA or project engineer deems
necessary.
§ 285.713 What must I do after the CVA or
project engineer confirms conformance
with the Fabrication and Installation Report
on my commercial lease?
After the CVA or project engineer files
the certification report, you must notify
BSEE within 10 business days after
commencing commercial operations.
§ 285.714 What records relating to SAPs,
COPs, and GAPs must I keep?
(a) Until BOEM releases your
financial assurance under 30 CFR
585.534, you must compile, retain, and
make available to BSEE, within the time
specified by BSEE, all of the following:
(1) The as-built drawings;
(2) The design assumptions and
analyses;
(3) A summary of the fabrication and
installation examination records;
(4) The inspection results from the
inspections and assessments required by
§§ 285.820 through 285.825; and
(5) Records of repairs not covered in
the inspection report submitted under
§ 285.824(b)(3).
(b) You must record and retain the
original material test results of all
primary structural materials during all
stages of construction until BOEM
releases your financial assurance under
30 CFR 585.534. Primary material is
material that, should it fail, would lead
to a significant reduction in facility
safety, structural reliability, or operating
capabilities. Items such as steel
brackets, deck stiffeners and secondary
braces or beams would not generally be
considered primary structural members
(or materials).
(c) You must provide BSEE with the
location of these records in the
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6425
certification statement, as required in
§§ 285.701(c), 285.703(b), and
285.708(a)(5)(i).
Subpart H—Environmental and Safety
Management, Inspections, and Facility
Assessments for Activities Conducted
Under SAPs, COPs and GAPs
§ 285.800 How must I conduct my
activities to comply with safety and
environmental requirements?
(a) You must conduct all activities on
your lease or grant under this part in a
manner that conforms with your
responsibilities in § 285.105(a), and
using:
(1) Trained personnel; and
(2) Technologies, precautions, and
techniques that will not cause undue
harm or damage to natural resources,
including their physical, atmospheric,
and biological components.
(b) You must certify compliance with
those terms and conditions identified in
your approved SAP, COP, or GAP, as
required under § 285.615(b),
§ 285.633(a), or § 285.653(b).
§ 285.801 How must I conduct my
approved activities to protect marine
mammals, threatened and endangered
species, and designated critical habitat?
You must comply with all measures
required under 30 CFR 585.701.
§ 285.802 What must I do if I discover a
potential archaeological resource while
conducting my approved activities?
You must comply with all measures
required under 30 CFR 585.702.
§ 285.803 How must I conduct my
approved activities to protect essential fish
habitats identified and described under the
Magnuson-Stevens Fishery Conservation
and Management Act?
You must comply with all measures
required under 30 CFR 585.703.
§§ 285.804–285.809
[Reserved]
Safety Management Systems
§ 285.810 What must I include in my Safety
Management System?
You must submit a description of the
safety management system you will use
with your COP (provided under 30 CFR
585.627(d)) and, when required by this
part, your SAP (as provided in
§ 285.614(b)) or GAP (as provided in
§ 285.651). You must describe:
(a) How you will ensure the safety of
personnel or anyone on or near your
facilities;
(b) Remote monitoring, control, and
shut down capabilities;
(c) Emergency response procedures;
(d) Fire suppression equipment, if
needed;
(e) How and when you will test your
safety management system; and
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(f) How you will ensure personnel
who operate your facilities are properly
trained.
§ 285.811 When must I follow my Safety
Management System?
Your safety management system must
be fully functional when you begin
activities described in your approved
COP, SAP, or GAP. You must conduct
all activities described in your approved
COP, SAP, or GAP in accordance with
the safety management system you
described, as required by § 285.810.
§ 285.812
[Reserved]
Maintenance and Shutdowns
§ 285.813 When do I have to report
removing equipment from service?
§ 285.816 What must I do if environmental
or other conditions adversely affect a cable,
pipeline, or facility?
If environmental or other conditions
adversely affect a cable, pipeline, or
facility so as to endanger the safety or
the environment, you must:
(a) Submit a plan of corrective action
to BSEE within 30 days of the discovery
of the adverse effect.
(b) Take remedial action as described
in your corrective action plan.
(c) Submit to the BSEE a report of the
remedial action taken within 30 days
after completion.
under 30 CFR 585.534 and provide them
to BSEE upon request, within the time
period specified by BSEE.
(c) You must demonstrate to the
inspector how you are in compliance
with your safety management system.
§ 285.823 Will BSEE reimburse me for my
expenses related to inspections?
Upon request, BSEE will reimburse
you for food, quarters, and
transportation that you provide for our
representatives while they inspect your
lease or grant facilities and associated
activities. You must send us your
reimbursement request within 90 days
of the inspection.
§ 285.824 How must I conduct selfinspections?
Equipment Failure and Adverse
Environmental Effects
BSEE will conduct both scheduled
and unscheduled inspections.
(a) You must develop a
comprehensive annual self-inspection
plan covering all of your facilities. You
must keep this plan wherever you keep
your records and make it available to
BSEE inspectors upon request. Your
plan must specify:
(1) The type, extent, and frequency of
in-place inspections that you will
conduct for both the above-water and
the below-water structures of all
facilities and pertinent components of
the mooring systems for any floating
facilities; and
(2) How you are monitoring the
corrosion protection for both the abovewater and below-water structures.
(b) You must submit a report annually
to us no later than November 1 that
must include:
(1) A list of facilities inspected in the
preceding 12 months;
(2) The type of inspection employed,
(i.e., visual, magnetic particle,
ultrasonic testing); and
(3) A summary of the inspection
indicating what repairs, if any, were
needed and the overall structural
condition of the facility.
§ 285.815 What must I do if I have facility
damage or an equipment failure?
§ 285.822 What must I do when BSEE
conducts an inspection?
§ 285.825 When must I assess my
facilities?
(a) If you have facility damage or the
failure of a pipeline, cable, or other
equipment necessary for you to
implement your approved plan, you
must make repairs as soon as
practicable. If you have a major repair,
you must submit a report of the repairs
to BSEE, as required in § 285.703.
(b) If you are required to report any
facility damage or failure under
§ 285.831, BOEM may require you to
revise your SAP, COP, or GAP to
describe how you will address the
facility damage or failure as required by
30 CFR 585.634 (COP), 585.617 (SAP),
or 585.655 (GAP). You must submit a
report of the repairs to BSEE, as
required in § 285.703.
(a) When BSEE conducts an
inspection, you must:
(1) Provide access to all facilities on
your lease (including your project
easement) or grant; and
(2) Make the following available for
BSEE to inspect:
(i) The area covered under a lease,
ROW grant, or RUE grant;
(ii) All improvements, structures, and
fixtures on these areas; and
(iii) All records of design,
construction, operation, maintenance,
repairs, or investigations on or related to
the area.
(b) You must retain these records in
paragraph (a)(2)(iii) of this section until
BOEM releases your financial assurance
(a) You must perform an assessment
of the structure, when needed, based on
the platform assessment initiators listed
in sections 17.2.1–17.2.5 of API RP 2A–
WSD (incorporated by reference, see
§ 285.115).
(b) You must initiate mitigation
actions for structures that do not pass
the assessment process of API RP 2A–
WSD.
(c) You may comply with a later
edition of API RP 2A–WSD only if:
(1) You show that complying with the
later edition provides a degree of
protection, safety, or performance equal
to or better than what would be
achieved by compliance with the listed
edition; and
(a) The removal of any equipment
from service may result in BSEE
applying remedies, as provided in this
part, when such equipment is necessary
for implementing your approved plan.
Such remedies may include an order
from BSEE requiring you to replace or
remove such equipment or facilities.
(b)(1) You must report within 24
hours when equipment necessary for
implementing your approved plan is
removed from service for more than 12
hours. If you provide an oral
notification, you must submit a written
confirmation of this notice within 3business days, as required by
§ 285.105(c);
(2) You do not have to report
removing equipment necessary for
implementing your plan if the removal
is part of planned maintenance or repair
activities; and
(3) You must notify BSEE when you
return the equipment to service.
§ 285.814
khammond on DSKJM1Z7X2PROD with RULES2
(c) BSEE may require that you analyze
cable, pipeline, or facility damage or
failure to determine the cause. If
requested by BSEE, you must submit a
comprehensive written report of the
failure or damage to BSEE as soon as
available.
19:52 Jan 30, 2023
[Reserved]
Inspections and Assessments
§ 285.820
Will BSEE conduct inspections?
BSEE will inspect OCS facilities and
any vessels engaged in activities
authorized under this part. We conduct
these inspections:
(a) To verify that you are conducting
activities in compliance with subsection
8(p) of the OCS Lands Act; the
regulations in this part; the terms,
conditions, and stipulations of your
lease or grant; approved plans; and
other applicable laws and regulations.
(b) To determine whether proper
safety equipment has been installed and
is operating properly according to your
safety management system, as required
in § 285.810.
§ 285.821 Will BSEE conduct scheduled
and unscheduled inspections?
[Reserved]
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§ § 285.817–285.819
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(2) You obtain the prior written
approval for alternative compliance
from the authorized BSEE official.
(d) You must perform other
assessments as required by BSEE.
§ § 285.826–285.829
[Reserved]
Incident Reporting and Investigation
§ 285.830 What are my incident reporting
requirements?
(a) You must report all incidents
listed in § 285.831 to BSEE, according to
the reporting requirements for these
incidents in §§ 285.832 through
285.833.
(b) These reporting requirements
apply to incidents that occur on the area
covered by your lease or grant and that
are related to activities resulting from
the exercise of your rights under your
lease or grant.
(c) Nothing in this subpart relieves
you from providing notices and reports
of incidents that may be required by
other regulatory agencies.
(d) You must report all spills of oil or
other liquid pollutants in accordance
with § 254.46 of this chapter.
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§ 285.831 What incidents must I report,
and when must I report them?
(a) You must report the following
incidents to us immediately via oral
communication, and provide a written
follow-up report (paper copy or
electronically transmitted) within 15business days after the incident:
(1) Fatalities;
(2) Incidents that require the
evacuation of person(s) from the facility
to shore or to another offshore facility;
(3) Fires and explosions;
(4) Collisions that result in property
or equipment damage greater than
$25,000. (Collision means the act of a
moving vessel (including an aircraft)
striking another vessel, or striking a
stationary vessel or object. Property or
equipment damage means the cost of
labor and material to restore all affected
items to their condition before the
damage, including, but not limited to,
the OCS facility, a vessel, a helicopter,
or the equipment. It does not include
the cost of salvage, cleaning, dry
docking, or demurrage);
(5) Incidents involving structural
damage to an OCS facility that is severe
enough so that activities on the facility
cannot continue until repairs are made;
(6) Incidents involving crane or
personnel/material handling activities,
if they result in a fatality, injury,
structural damage, or significant
environmental damage;
(7) Incidents that damage or disable
safety systems or equipment (including
firefighting systems);
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(8) Other incidents resulting in
property or equipment damage greater
than $25,000; and
(9) Any other incidents involving
significant environmental damage, or
harm.
(b) You must provide a written report
of the following incidents to us within
15 days after the incident:
(1) Any injuries that result in the
injured person not being able to return
to work or to all of their normal duties
the day after the injury occurred; and
(2) All incidents that require
personnel on the facility to muster for
evacuation for reasons not related to
weather or drills.
§ 285.832 How do I report incidents
requiring immediate notification?
For an incident requiring immediate
notification under § 285.831(a), you
must notify BSEE verbally after aiding
the injured and stabilizing the situation.
Your verbal communication must
provide the following information:
(a) Date and time of occurrence;
(b) Identification and contact
information for the lessee, grant holder,
or operator;
(c) Contractor, and contractor
representative’s name and telephone
number (if a contractor is involved in
the incident or injury/fatality);
(d) Lease number, OCS area, and
block;
(e) Platform/facility name and
number, or cable or pipeline segment
number;
(f) Type of incident or injury/fatality;
(g) Activity at time of incident; and
(h) Description of the incident,
damage, or injury/fatality.
6427
restricted work, or job transfer), and any
corrective action taken; and
(9) Property or equipment damage
estimate (in U.S. dollars).
(b) You may submit a report or form
prepared for another agency in lieu of
the written report required by paragraph
(a) of this section if the report or form
contains all required information.
(c) BSEE may require you to submit
additional information about an
incident on a case-by-case basis.
Subpart I—Decommissioning
Decommissioning Obligations and
Requirements
§ 285.900 Who must meet the
decommissioning obligations in this
subpart?
(a) Lessees are jointly and severally
responsible for meeting
decommissioning obligations for
facilities on their leases, including all
obstructions, as the obligations accrue
and until each obligation is met.
(b) Grant holders are jointly and
severally liable for meeting
decommissioning obligations for
facilities on their grant, including all
obstructions, as the obligations accrue
and until each obligation is met.
§ 285.901 When do I accrue
decommissioning obligations?
You accrue decommissioning
obligations when you are or become a
lessee or grant holder, and you either
install, construct, or acquire by a BOEMapproved assignment a facility, cable, or
pipeline, or you create an obstruction to
other uses of the OCS.
§ 285.833 What are the reporting
requirements for incidents requiring written
notification?
§ 285.902 What are the general
requirements for decommissioning for
facilities authorized under my SAP, COP, or
GAP?
(a) For any incident covered under
§ 285.831, you must submit a written
report within 15 days after the incident
to BSEE. The report must contain the
following information:
(1) Date and time of occurrence;
(2) Identification and contact
information for each lessee, grant
holder, or operator;
(3) Name and telephone number of
the contractor and the contractor’s
representative, if a contractor is
involved in the incident or injury;
(4) Lease number, OCS area, and
block;
(5) Platform/facility name and
number, or cable or pipeline segment
number;
(6) Type of incident or injury;
(7) Activity at time of incident;
(8) Description of incident, damage, or
injury (including days away from work,
(a) Except as otherwise authorized
under § 285.909, within 2 years
following termination of a lease or grant,
you must:
(1) Remove or decommission all
facilities, projects, cables, pipelines, and
obstructions;
(2) Clear the seafloor of all
obstructions created by activities on
your lease, including your project
easement, or grant.
(b) Before decommissioning the
facilities under your SAP, COP, or GAP,
you must submit a decommissioning
application to, and receive approval
from, BSEE.
(c) The approval of the
decommissioning concept in the SAP,
COP, or GAP is not an approval of a
decommissioning application. However,
you may submit your complete
decommissioning application to BSEE
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simultaneously with the SAP, COP, or
GAP, so that it may undergo appropriate
technical and regulatory reviews at that
time.
(d) Following approval of your
decommissioning application, you must
submit a decommissioning notice under
§ 285.908 to BSEE at least 60 days before
commencing decommissioning
activities.
(e) If you, your subcontractors, or any
agent acting on your behalf discovers
any archaeological resource while
conducting decommissioning activities,
you must immediately halt bottomdisturbing activities within 1,000 feet of
the discovery and report the discovery
to us within 72 hours. BOEM will
inform you how to conduct
investigations to determine if the
resource is significant and how to
protect it in accordance with 30 CFR
585.702. You, your subcontractors, or
any agent acting on your behalf must
keep the location of the discovery
confidential and must not take any
action that may adversely affect the
archaeological resource until we have
made an evaluation and told you how
to proceed.
(f) Provide BOEM with
documentation of any coordination
efforts you have made with the affected
States, local, and Tribal governments.
§ 285.903 What are the requirements for
decommissioning FERC-licensed
hydrokinetic facilities?
You must comply with the
decommissioning requirements in your
BOEM-issued lease. If you fail to
comply with the decommissioning
requirements of your lease then:
(a) BOEM may call for the forfeiture
of your bond or other financial
assurance;
(b) You remain liable for removal or
disposal costs and responsible for
accidents or damages that might result
from such failure; and
(c) BSEE may take enforcement action
under § 285.400.
§ 285.904 Can I request a departure from
the decommissioning requirements?
You may request a departure from the
decommissioning requirements under
§ 285.103.
Decommissioning Applications
khammond on DSKJM1Z7X2PROD with RULES2
§ 285.905 When must I submit my
decommissioning application?
You must submit your
decommissioning application upon the
earliest of the following dates:
(a) Two (2) years before the expiration
of your lease.
(b) Ninety (90) days after completion
of your commercial activities on a
commercial lease.
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(c) Ninety (90) days after completion
of your approved activities under a
limited lease on a ROW grant or RUE
grant.
(d) Ninety (90) days after cancellation,
relinquishment, or other termination of
your lease or grant.
§ 285.906 What must my decommissioning
application include?
You must provide one paper copy and
one electronic copy of the application.
Include the following information in the
application, as applicable.
(a) Identification of the applicant
including:
(1) Lease operator, ROW grant holder,
or RUE grant holder;
(2) Address;
(3) Contact person and telephone
number; and
(4) Shore base.
(b) Identification and description of
the facilities, cables, or pipelines you
plan to remove or propose to leave in
place, as provided in § 285.909.
(c) A proposed decommissioning
schedule for your lease, ROW grant, or
RUE grant, including the expiration or
relinquishment date and proposed
month and year of removal.
(d) A description of the removal
methods and procedures, including the
types of equipment, vessels, and
moorings (i.e., anchors, chains, lines,
etc.) you will use.
(e) A description of your site
clearance activities.
(f) Your plans for transportation and
disposal (including as an artificial reef)
or salvage of the removed facilities,
cables, or pipelines and any required
approvals.
(g) A description of those resources,
conditions, and activities that could be
affected by or could affect your
proposed decommissioning activities.
The description must be as detailed as
necessary to assist BSEE in complying
with the NEPA and other relevant
Federal laws.
(h) The results of any recent biological
surveys conducted in the vicinity of the
structure and recent observations of
turtles or marine mammals at the
structure site.
(i) Mitigation measures you will use
to protect archaeological and sensitive
biological features during removal
activities.
(j) A description of measures you will
take to prevent unauthorized discharge
of pollutants, including marine trash
and debris, into the offshore waters.
(k) A statement of whether or not you
will use divers to survey the area after
removal to determine any effects on
marine life.
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§ 285.907 How will BSEE process my
decommissioning application?
(a) Based upon your inclusion of all
the information required by § 285.906,
BSEE will compare your
decommissioning application with the
decommissioning general concept in
your approved SAP, COP, or GAP to
determine what technical and
environmental reviews are needed.
(b) You will likely have to revise your
SAP, COP, or GAP, and BOEM will
begin the appropriate NEPA analysis
and other regulatory reviews as
required, if BSEE determines that your
decommissioning application would:
(1) Result in a significant change in
the impacts previously identified and
evaluated in your SAP, COP, or GAP;
(2) Require any additional Federal
permits; or
(3) Propose activities not previously
identified and evaluated in your SAP,
COP, or GAP.
(c) During the review process, we may
request additional information if we
determine that the information provided
is not sufficient to complete the review
and approval process.
(d) Upon completion of the technical
and environmental reviews, we may
approve, approve with conditions, or
disapprove your decommissioning
application.
(e) If BSEE disapproves your
decommissioning application, you must
resubmit your application to address the
concerns identified by BSEE.
§ 285.908 What must I include in my
decommissioning notice?
(a) The decommissioning notice is
distinct from your decommissioning
application and may only be submitted
following approval of your
decommissioning application, as
described in §§ 285.905 through
285.907. You must submit a
decommissioning notice at least 60 days
before you plan to begin
decommissioning activities.
(b) Your decommissioning notice
must include:
(1) A description of any changes to
the approved removal methods and
procedures in your approved
decommissioning application, including
changes to the types of vessels and
equipment you will use; and
(2) An updated decommissioning
schedule.
(c) BSEE will review your
decommissioning notice and may
require you to resubmit a
decommissioning application if BSEE
determines that your decommissioning
activities would:
(1) Result in a significant change in
the impacts previously identified and
evaluated;
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(2) Require any additional Federal
permits; or
(3) Propose activities not previously
identified and evaluated.
Facility Removal
§ 285.909 When may facilities remain in
place following termination of a lease or
grant?
(a) In your decommissioning
application, you may request that
certain facilities authorized in your
lease or grant remain in place for other
activities authorized in this part,
elsewhere in this subchapter, or by
other applicable Federal law.
(b) Except as provided in paragraph
(c) of this section, if BOEM authorizes
facilities to remain in place, the former
lessee or grantee under this part remains
jointly and severally liable for
decommissioning the facility unless
satisfactory evidence is provided to
BOEM showing that another party has
assumed that responsibility and has
secured adequate financial assurances.
(c) In your decommissioning
application, identify facilities
authorized by BOEM to be converted to
an artificial reef or otherwise toppled in
place.
§ 285.910 What must I do when I remove
my facility?
(a) You must remove all facilities to
a depth of 15 feet below the mudline,
unless otherwise authorized by BSEE.
(b) Within 60 days after you remove
a facility, you must verify to BSEE that
you have cleared the site.
§ 285.911
[Reserved]
Decommissioning Report
khammond on DSKJM1Z7X2PROD with RULES2
§ 285.912 After I remove a facility, cable, or
pipeline, what information must I submit?
Within 60 days after you remove a
facility, cable, or pipeline, you must
submit a written report to BSEE that
includes the following:
(a) A summary of the removal
activities, including the date they were
completed;
(b) A description of any mitigation
measures you took; and
(c) If you used explosives, a statement
signed by your authorized
representative that certifies that the
types and amount of explosives you
used in removing the facility were
consistent with those in the approved
decommissioning application.
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Compliance With an Approved
Decommissioning Application
§ 285.913 What happens if I fail to comply
with my approved decommissioning
application?
If you fail to comply with your
approved decommissioning plan or
application:
(a) BOEM may call for the forfeiture
of your bond or other financial
assurance;
(b) You remain liable for removal or
disposal costs and responsible for
accidents or damages that might result
from such failure; and
(c) BSEE may take enforcement action
under § 285.400.
Subpart J—Rights of Use and
Easement for Energy- and MarineRelated Activities Using Existing OCS
Facilities
Regulated Activities
§ 285.1000 What activities does this
subpart regulate?
This subpart provides the general
provisions for regulating activities that
use (or propose to use) an existing OCS
facility for energy- or marine-related
purposes, that are not otherwise
authorized under any other part of this
subchapter or any other applicable
Federal statute. Activities authorized
under any other part of this subchapter
or under any other Federal law that use
(or propose to use) an existing OCS
facility are not subject to this subpart.
§ § 285.1001–285.1013
[Reserved]
Alternate Use RUE Administration
§ 285.1014 When will BSEE suspend an
Alternate Use RUE?
(a) BSEE may suspend an Alternate
Use RUE if:
(1) Necessary to comply with judicial
decrees;
(2) Continued activities pursuant to
the Alternate Use RUE pose an
imminent threat of serious or irreparable
harm or damage to natural resources;
life (including human and wildlife);
property; the marine, coastal, or human
environment; or sites, structures, or
objects of historical or archaeological
significance; or
(3) Operation of the existing OCS
facility that is subject to the Alternate
Use RUE has been suspended or
temporarily prohibited and we have
determined that continued activities
under the Alternate Use RUE are unsafe
or cause undue interference with the
operation of the original OCS Lands Act
approved activity.
(b) A suspension will extend the term
of your Alternate Use RUE grant for the
period of the suspension.
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§ 285.1015
6429
[Reserved]
§ 285.1016 When will an Alternate Use
RUE be cancelled?
The Secretary may cancel an
Alternate Use RUE if it is determined,
after notice and opportunity to be heard:
(a) You no longer qualify to hold an
Alternate Use RUE;
(b) You failed to provide any
additional financial assurance required
by BOEM, replace or provide additional
coverage for a de-valued bond, or
replace a lapsed or forfeited bond
within the prescribed time period;
(c) Continued activity under the
Alternate Use RUE is likely to cause
serious harm or damage to natural
resources; life (including human and
wildlife); property; the marine, coastal,
or human environment; or sites,
structures, or objects of historical or
archaeological significance;
(d) Continued activity under the
Alternate Use RUE is determined to be
adversely impacting the original OCS
Lands Act approved activities on the
existing OCS facility;
(e) You failed to comply with any of
the terms and conditions of your
approved Alternate Use RUE or your
approved plan; or
(f) You otherwise failed to comply
with applicable laws or regulations.
§ 285.1017
[Reserved]
Decommissioning an Alternate Use RUE
§ 285.1018 Who is responsible for
decommissioning an OCS facility subject to
an Alternate Use RUE?
(a) The holder of an Alternate Use
RUE is responsible for all
decommissioning obligations that
accrue following the issuance of the
Alternate Use RUE and which pertain to
the Alternate Use RUE.
(b) The lessee under the lease
originally issued under 30 CFR chapter
V will remain responsible for
decommissioning obligations that
accrued before issuance of the Alternate
Use RUE, as well as for
decommissioning obligations that
accrue following issuance of the
Alternate Use RUE to the extent
associated with continued activities
authorized under other parts of this
title.
§ 285.1019 What are the decommissioning
requirements for an Alternate Use RUE?
(a) Decommissioning requirements
will be determined by BOEM and BSEE
on a case-by-case basis, and will be
included in the terms of the Alternate
Use RUE.
(b) Decommissioning activities must
be completed within 1 year of
termination of the Alternate Use RUE.
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(c) If you fail to satisfy all
decommissioning requirements within
the prescribed time period, BOEM will
call for the forfeiture of your bond or
other financial guarantee, and you will
remain liable for all accidents or
damages that might result from such
failure.
Chapter V—Bureau of Ocean Energy
Management
■
2. Revise part 585 to read as follows:
PART 585—RENEWABLE ENERGY ON
THE OUTER CONTINENTAL SHELF
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Subpart A—General Provisions
Sec.
585.100 Authority.
585.101 What is the purpose of this part?
585.102 What are BOEM’s responsibilities
under this part?
585.103 When may BOEM prescribe or
approve departures from the regulations
in this part?
585.104 Do I need a BOEM lease or other
authorization to produce or support the
production of electricity or other energy
product from a renewable energy
resource on the OCS?
585.105 What are my responsibilities under
this part?
585.106 What happens if I fail to comply
with this part?
585.107 Who can hold a lease or grant
under this part?
585.108 How do I show that I am qualified
to be a lessee or grant holder?
585.109 When must I notify BOEM if an
action has been filed alleging that I am
insolvent or bankrupt?
585.110 When must I notify BOEM of
mergers, name changes, or changes of
business form?
585.111 How do I submit plans,
applications, reports, or notices required
by this part?
585.112 When and how does BOEM charge
me processing fees on a case-by-case
basis?
585.113 Definitions.
585.114 How will data and information
obtained by BOEM under this part be
disclosed to the public?
585.115 Paperwork Reduction Act
Statements—Information Collection.
585.116 Requests for Information on the
State of the Offshore Renewable Energy
Industry.
585.117 [Reserved]
585.118 What are my appeal rights?
Subpart B—Issuance of OCS Renewable
Energy Leases
General Lease Information
585.200 What rights are granted with a
lease issued under this part?
585.201 How will BOEM issue leases?
585.202 What types of leases will BOEM
issue?
585.203 With whom will BOEM consult
before issuance of a lease?
585.204 What areas are available for leasing
consideration?
585.205 How will leases be mapped?
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585.206 What is the lease size?
585.207–585.209 [Reserved]
Competitive Lease Process
585.210 How does BOEM initiate the
competitive leasing process?
585.211 What is the process for competitive
issuance of leases?
585.212 What is the process BOEM will
follow if there is reason to believe that
competitors have withdrawn before the
Final Sale Notice is issued?
585.213 What must I submit in response to
a Request for Interest or a Call for
Information and Nominations?
585.214 What will BOEM do with
information from the Requests for
Information or Calls for Information and
Nominations?
585.215 What areas will BOEM offer in a
lease sale?
585.216 What information will BOEM
publish in the Proposed Sale Notice and
Final Sale Notice?
585.217–585.219 [Reserved]
Competitive Lease Award Process
585.220 What auction format may BOEM
use in a lease sale?
585.221 What bidding systems may BOEM
use for commercial leases and limited
leases?
585.222 What does BOEM do with my bid?
585.223 What does BOEM do if there is a
tie for the highest bid?
585.224 What happens if BOEM accepts my
bid?
585.225 What happens if my bid is rejected,
and what are my appeal rights?
585.226–585.229 [Reserved]
Noncompetitive Lease Award Process
585.230 May I request a lease if there is no
Call?
585.231 How will BOEM process my
unsolicited request for a noncompetitive
lease?
585.232 May I acquire a lease
noncompetitively after responding to a
Request for Interest or Call for
Information and Nominations?
585.233–585.234 [Reserved]
Commercial and Limited Lease Terms
585.235 If I have a commercial lease, how
long will my lease remain in effect?
585.236 If I have a limited lease, how long
will my lease remain in effect?
585.237 What is the effective date of a
lease?
585.238 May I develop my commercial
lease in phases?
585.239 Are there any other renewable
energy research activities that will be
allowed on the OCS?
Subpart C—Right-of-Way (ROW) and Rightof-Use and Easement (RUE) Grants for
Renewable Energy Activities
ROW Grants and RUE Grants
585.300 What types of activities are
authorized by ROW grants and RUE
grants issued under this part?
585.301 What do ROW grants and RUE
grants include?
585.302 What are the general requirements
for ROW grant and RUE grant holders?
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585.303 How long will my ROW grant or
RUE grant remain in effect?
585.304 [Reserved]
Obtaining ROW Grants and RUE Grants
585.305 How do I request a ROW grant or
RUE grant?
585.306 What action will BOEM take on my
request?
585.307 How will BOEM determine
whether competitive interest exists for
ROW grants and RUE grants?
585.308 How will BOEM conduct an
auction for ROW grants and RUE grants?
585.309 When will BOEM issue a
noncompetitive ROW grant or RUE
grant?
585.310 What is the effective date of a ROW
grant or RUE grant?
585.311–585.314 [Reserved]
Financial Requirements for ROW Grants and
RUE Grants
585.315 What deposits are required for a
competitive ROW grant or RUE grant?
585.316 What payments are required for
ROW grants or RUE grants?
Subpart D—Lease and Grant Administration
585.400–585.404 [Reserved]
Designation of Operator
585.405 How do I designate an operator?
585.406 Who is responsible for fulfilling
lease and grant obligations?
585.407 [Reserved]
Lease or Grant Assignment
585.408 May I assign my lease or grant
interest?
585.409 How do I request approval of a
lease or grant assignment?
585.410 How does an assignment affect the
assignor’s liability?
585.411 How does an assignment affect the
assignee’s liability?
585.412–585.414 [Reserved]
Lease or Grant Suspension
585.415 What is a lease or grant
suspension?
585.416 How do I request a lease or grant
suspension?
585.417 When may BOEM order a
suspension?
585.418 How will BOEM issue a
suspension?
585.419 What are my immediate
responsibilities if I receive a suspension
order?
585.420 What effect does a suspension
order have on my payments?
585.421 How long will a lease or grant
suspension be in effect?
Lease or Grant Cancellation
585.422 When can my lease or grant be
canceled?
585.423–585.424 [Reserved]
Lease or Grant Renewal
585.425 May I obtain a renewal of my lease
or grant before it terminates?
585.426 When must I submit my request for
renewal?
585.427 How long is a renewal?
585.428 What effect does applying for a
renewal have on my activities and
payments?
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585.429 What criteria will BOEM consider
in deciding whether to renew a lease or
grant?
585.430–585.431 [Reserved]
Lease or Grant Termination
585.432 When does my lease or grant
terminate?
585.433 What must I do after my lease or
grant terminates?
585.434 When may BOEM authorize
facilities to remain in place following
termination of a lease or grant?
Lease or Grant Relinquishment
585.435 How can I relinquish a lease or a
grant or parts of a lease or grant?
Lease or Grant Contraction
585.436 Can BOEM require lease or grant
contraction?
Subpart E—Payments and Financial
Assurance Requirements
Payments
585.500 How do I make payments under
this part?
585.501 What deposits must I submit for a
competitively issued lease, ROW grant,
or RUE grant?
585.502 What initial payment requirements
must I meet to obtain a noncompetitive
lease, ROW grant, or RUE grant?
585.503 What are the rent and operating fee
requirements for a commercial lease?
585.504 How are my payments affected if I
develop my lease in phases?
585.505 What are the rent and operating fee
requirements for a limited lease?
585.506 What operating fees must I pay on
a commercial lease?
585.507 What rent payments must I pay on
a project easement?
585.508 What rent payments must I pay on
ROW grants or RUE grants associated
with renewable energy projects?
585.509 Who is responsible for submitting
lease or grant payments to ONRR?
585.510 May BOEM reduce or waive my
lease or grant payments?
585.511–585.514 [Reserved]
Financial Assurance Requirements for
Commercial Leases
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585.515 What financial assurance must I
provide when I obtain my commercial
lease?
585.516 What are the financial assurance
requirements for each stage of my
commercial lease?
585.517 How will BOEM determine the
amounts of the supplemental and
decommissioning financial assurance
requirements associated with
commercial leases?
585.518–585.519 [Reserved]
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Changes in Financial Assurance
585.530 What must I do if my financial
assurance lapses?
585.531 What happens if the value of my
financial assurance is reduced?
585.532 What happens if my surety wants
to terminate the period of liability of my
bond?
585.533 How does my surety obtain
cancellation of my bond?
585.534 When may BOEM cancel my bond?
585.535 Why might BOEM call for
forfeiture of my bond?
585.536 How will I be notified of a call for
forfeiture?
585.537 How will BOEM proceed once my
bond or other security is forfeited?
585.538–585.539 [Reserved]
Revenue Sharing With States
585.540 How will BOEM equitably
distribute revenues to States?
585.541 What is a qualified project for
revenue sharing purposes?
585.542 What makes a State eligible for
payment of revenues?
585.543 Example of how the inverse
distance formula works.
Subpart F—Plan Requirements
585.600 What plans must I submit to BOEM
before I conduct activities on my lease or
grant?
585.601 When am I required to submit my
plans to BOEM?
585.602–585.604 [Reserved]
585.605 What is a Site Assessment Plan
(SAP)?
585.606 What must I demonstrate in my
SAP?
585.607 How do I submit my SAP?
585.608–585.609 [Reserved]
Contents of the Site Assessment Plan
585.520 What financial assurance must I
provide when I obtain my limited lease,
ROW grant, or RUE grant?
585.521 Do my financial assurance
requirements change as activities
progress on my limited lease or grant?
585.522–585.524 [Reserved]
19:52 Jan 30, 2023
585.525 What general requirements must a
financial assurance instrument meet?
585.526 What instruments other than a
surety bond may I use to meet the
financial assurance requirement?
585.527 May I demonstrate financial
strength and reliability to meet the
financial assurance requirement for lease
or grant activities?
585.528 May I use a third-party guaranty to
meet the financial assurance requirement
for lease or grant activities?
585.529 Can I use a lease- or grant-specific
decommissioning account to meet the
financial assurance requirements related
to decommissioning?
Site Assessment Plan and Information
Requirements for Commercial Leases
Financial Assurance for Limited Leases,
ROW Grants, and RUE Grants
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Requirements for Financial Assurance
Instruments
585.610 What must I include in my SAP?
585.611 What information and
certifications must I submit with my SAP
to assist BOEM in complying with NEPA
and other relevant laws?
585.612 How will my SAP be processed for
Federal consistency under the Coastal
Zone Management Act?
585.613 How will BOEM process my SAP?
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6431
Activities Under an Approved SAP
585.614 When may I begin conducting
activities under my approved SAP?
585.615 What other reports or notices must
I submit to BOEM under my approved
SAP?
585.616 [Reserved]
585.617 What activities require a revision to
my SAP, and when will BOEM approve
the revision?
585.618 What must I do upon completion of
approved site assessment activities?
585.619 [Reserved]
Construction and Operations Plan for
Commercial Leases
585.620 What is a Construction and
Operations Plan (COP)?
585.621 What must I demonstrate in my
COP?
585.622 How do I submit my COP?
585.623–585.625 [Reserved]
Contents of the Construction and Operations
Plan
585.626 What must I include in my COP?
585.627 What information and
certifications must I submit with my
COP to assist BOEM in complying with
NEPA and other relevant laws?
585.628 How will BOEM process my COP?
585.629–585.630 [Reserved]
Activities Under an Approved COP
585.631 When must I initiate activities
under an approved COP?
585.632 What documents must I submit
before I may construct and install
facilities under my approved COP?
585.633 [Reserved]
585.634 What activities require a revision to
my COP, and when will BOEM approve
the revision?
585.635 What must I do if I cease activities
approved in my COP before the end of
my commercial lease?
585.636–585.639 [Reserved]
General Activities Plan Requirements for
Limited Leases, ROW Grants, and RUE
Grants
585.640 What is a General Activities Plan
(GAP)?
585.641 What must I demonstrate in my
GAP?
585.642 How do I submit my GAP?
585.643–585.644 [Reserved]
Contents of the General Activities Plan
585.645 What must I include in my GAP?
585.646 What information and
certifications must I submit with my
GAP to assist BOEM in complying with
NEPA and other relevant laws?
585.647 How will my GAP be processed for
Federal consistency under the Coastal
Zone Management Act?
585.648 How will BOEM process my GAP?
585.649 [Reserved]
Activities Under an Approved GAP
585.650 When may I begin conducting
activities under my GAP?
585.651 When may I construct complex or
significant OCS facilities on my limited
lease or any facilities on my project
easement proposed under my GAP?
585.652 How long do I have to conduct
activities under an approved GAP?
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585.653 What other reports or notices must
I submit to BOEM under my approved
GAP?
585.654 [Reserved]
585.655 What activities require a revision to
my GAP, and when will BOEM approve
the revision?
585.656 What must I do if I cease activities
approved in my GAP before the end of
my term?
585.657 What must I do upon completion of
approved activities under my GAP?
Cable and Pipeline Deviations
585.658 Can my cable or pipeline
construction deviate from my approved
COP or GAP?
585.659 [Reserved]
Environmental Protection Requirements
Under Approved Plans
585.700 What requirements must I include
in my SAP, COP, or GAP regarding air
quality?
585.701 How must I conduct my approved
activities to protect marine mammals,
threatened and endangered species, and
designated critical habitat?
585.702 What must I do if I discover a
potential archaeological resource while
conducting my approved activities?
585.703 How must I conduct my approved
activities to protect essential fish habitats
identified and described under the
Magnuson-Stevens Fishery Conservation
and Management Act?
Authority: 43 U.S.C. 1337.
Subpart A—General Provisions
§ 585.100
Authority.
The authority for this part derives
from section 8 of the Outer Continental
Shelf Lands Act (OCS Lands Act) (43
U.S.C. 1337). The Secretary of the
Interior delegated to the Bureau of
Ocean Energy Management (BOEM) the
authority to manage the development of
energy on the Outer Continental Shelf
(OCS) from sources other than oil and
gas, including renewable energy,
through the issuance of leases,
easements, and rights-of-way for
activities that produce or support the
production, transportation, or
transmission of energy.
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§ 585.101
What is the purpose of this part?
The purpose of this part is to:
(a) Establish procedures for issuance
and administration of leases, right-ofway (ROW) grants, and right-of-use and
easement (RUE) grants for renewable
energy production on the OCS; and
(b) Inform you and third parties of
your obligations when you undertake
activities authorized in this part.
(c) Ensure that renewable energy
activities on the OCS are conducted in
a safe and environmentally sound
manner, in conformance with the
requirements of subsection 8(p) of the
OCS Lands Act, other applicable laws
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and regulations, and the terms of your
lease, ROW grant, or RUE grant.
(d) This part will not convey access
rights for oil, gas, or other minerals.
§ 585.102 What are BOEM’s
responsibilities under this part?
(a) BOEM will ensure that any
activities authorized in this part are
carried out in a manner that provides
for:
(1) Safety;
(2) Protection of the environment;
(3) Prevention of waste;
(4) Conservation of the natural
resources of the OCS;
(5) Coordination with relevant Federal
agencies (including, in particular, those
agencies involved in planning activities
that are undertaken to avoid conflicts
among users and to maximize the
economic and ecological benefits of the
OCS, including multifaceted spatial
planning efforts);
(6) Protection of National security
interests of the United States;
(7) Protection of the rights of other
authorized users of the OCS;
(8) A fair return to the United States;
(9) Prevention of interference with
reasonable uses (as determined by the
Secretary or Director) of the exclusive
economic zone, the high seas, and the
territorial seas;
(10) Consideration of the location of
and any schedule relating to a lease or
grant under this part for an area of the
OCS, and any other use of the sea or
seabed;
(11) Public notice and comment on
any proposal submitted for a lease or
grant under this part; and
(12) Oversight, research, monitoring,
and enforcement of activities authorized
by a lease or grant under this part.
(b) BOEM will require compliance
with all applicable laws, regulations,
other requirements, and the terms of
your lease or grant and approved plans
under this part. BOEM will approve,
disapprove, or approve with conditions
any plans, applications, or other
documents submitted to BOEM for
approval under the provisions of this
part.
(c) Unless otherwise provided in this
part, BOEM may give oral directives or
decisions whenever prior BOEM
approval is required under this part.
BOEM will document in writing any
such oral directives within 10 business
days.
(d) BOEM will establish practices and
procedures to govern the collection of
all payments due to the Federal
Government required under the
regulations of this part, including any
cost recovery fees, rents, operating fees,
and other fees or payments. BOEM will
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do this in accordance with the terms of
this part, the leasing notice, the lease or
grant under this part, and applicable
Office of Natural Resources Revenue
(ONRR) regulations or guidance.
(e) BOEM will provide for
coordination and consultation with the
Governor of any State, the executive of
any local government, and the executive
of any Indian Tribe that may be affected
by a lease, easement, or ROW under this
subsection. BOEM may invite any
affected State Governor, representative
of an affected Indian Tribe, and affected
local government executive to join in
establishing a task force or other joint
planning or coordination agreement in
carrying out our responsibilities under
this part.
§ 585.103 When may BOEM prescribe or
approve departures from the regulations in
this part?
(a) BOEM may prescribe or approve
departures from these regulations when
departures are necessary to:
(1) Facilitate the appropriate activities
on a lease or grant under this part;
(2) Conserve natural resources;
(3) Protect life (including human and
wildlife), property, or the marine,
coastal, or human environment; or
(4) Protect sites, structures, or objects
of historical or archaeological
significance.
(b) Any departure approved under
this section and its rationale must:
(1) Be consistent with subsection 8(p)
of the OCS Lands Act;
(2) Protect the environment and the
public health and safety to the same
degree as if there was no approved
departure from the regulations;
(3) Not impair the rights of third
parties; and
(4) Be documented in writing.
§ 585.104 Do I need a BOEM lease or other
authorization to produce or support the
production of electricity or other energy
product from a renewable energy resource
on the OCS?
Except as otherwise authorized by
law, it will be unlawful for any person
to construct, operate, or maintain any
facility to produce, transport, or support
generation of electricity or other energy
product derived from a renewable
energy resource on any part of the OCS,
except under and in accordance with
the terms of a lease, easement, or ROW
issued pursuant to the OCS Lands Act.
§ 585.105 What are my responsibilities
under this part?
As a lessee, applicant, operator, or
holder of a ROW or RUE grant, you
must:
(a) Design your projects and conduct
all activities in a manner that ensures
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safety and will not cause undue harm or
damage to natural resources, including
their physical, atmospheric, and
biological components to the extent
practicable; and take measures to
prevent unauthorized discharge of
pollutants including marine trash and
debris into the offshore environment.
(b) Submit requests, applications,
plans, notices, modifications, and
supplemental information to BOEM as
required by this part;
(c) Follow up, in writing, any oral
request or notification you made, within
3 business days;
(d) Comply with the terms,
conditions, and provisions of all reports
and notices submitted to BOEM, and of
all plans, revisions, and other BOEM
approvals, as provided in this part;
(e) Make all applicable payments on
time;
(f) Comply with the DOI’s
nonprocurement debarment regulations
at 2 CFR part 1400;
(g) Include the requirement to comply
with 2 CFR part 1400 in all contracts
and transactions related to a lease or
grant under this part;
(h) Conduct all activities authorized
by the lease or grant in a manner
consistent with the provisions of
subsection 8(p) of the OCS Lands Act;
(i) Compile, retain, and make
available to BOEM representatives,
within the time specified by BOEM, any
data and information related to the site
assessment, design, and operations of
your project; and
(j) Respond to requests from the
Director in a timely manner.
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§ 585.106 What happens if I fail to comply
with this part?
(a) BOEM may take appropriate
corrective action under this part if you
fail to comply with applicable
provisions of Federal law, the
regulations in this part, other applicable
regulations, any order of the Director,
the provisions of a lease or grant issued
under this part, or the requirements of
an approved plan or other approval
under this part.
(b) BOEM may issue to you a notice
of noncompliance if we determine that
there has been a violation of the
regulations in this part, any order of the
Director, or any provision of your lease,
grant, or other approval issued under
this part. When issuing a notice of
noncompliance, BOEM will serve you at
your last known address.
(c) A notice of noncompliance will
tell you how you failed to comply with
this part, any order of the Director and/
or the provisions of your lease, grant or
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other approval, and will specify what
you must do to correct the
noncompliance and the time limits
within which you must act.
(d) Failure of a lessee, operator, or
grant holder to take the actions specified
in a notice of noncompliance issued
under this part within the time limit
specified provides the basis for issuance
of a cessation order by BSEE, as
provided in 30 CFR 285.401 and/or
cancellation of the lease or grant by the
Secretary as provided in § 585.422.
(e) BOEM may assess civil penalties,
as authorized by section 24 of the OCS
Lands Act, if you fail to comply with
any provision of this part or any term
of a lease, grant, or order issued under
the authority of this part, after notice of
such failure and expiration of any
reasonable period allowed for corrective
action. Civil penalties will be
determined and assessed in accordance
with the procedures set forth in 30 CFR
part 550, subpart N.
(f) You may be subject to criminal
penalties as authorized by section 24 of
the OCS Lands Act.
§ 585.107 Who can hold a lease or grant
under this part?
(a) You may hold a lease or grant
under this part if you can demonstrate
that you have the technical and
financial capabilities to conduct the
activities authorized by the lease or
grant and you are a(n):
(1) Citizen or national of the United
States;
(2) Alien lawfully admitted for
permanent residence in the United
States as defined in 8 U.S.C. 1101(a)(20);
(3) Private, public, or municipal
corporations organized under the laws
of any State of the United States, the
District of Columbia, or any territory or
insular possession subject to U.S.
jurisdiction;
(4) Association of such citizens,
nationals, resident aliens, or
corporations;
(5) Executive agency of the United
States as defined in section 105 of Title
5 of the U.S. Code;
(6) State of the United States; or
(7) Political subdivision of a State of
the United States.
(b) You may not hold a lease or grant
under this part or acquire an interest in
a lease or grant under this part if:
(1) You or your principals are
excluded or disqualified from
participating in transactions covered by
the Federal nonprocurement debarment
and suspension system (2 CFR part
1400), unless BOEM explicitly has
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6433
approved an exception for this
transaction;
(2) BOEM determines or has
previously determined after notice and
opportunity for a hearing that you or
your principals have failed to meet or
exercise due diligence under any OCS
lease or grant; or
(3) BOEM determines or has
previously determined after notice and
opportunity for a hearing that you:
(i) Remained in violation of the terms
and conditions of any lease or grant
issued under the OCS Lands Act for a
period extending longer than 30 days (or
such other period allowed for
compliance) after BOEM or BSEE
directed you to comply; and
(ii) You took no action to correct the
noncompliance within that time period.
§ 585.108 How do I show that I am
qualified to be a lessee or grant holder?
(a) You must demonstrate your
technical and financial capability to
construct, operate, maintain, and
terminate/decommission projects for
which you are requesting authorization.
Documentation can include:
(1) Descriptions of international or
domestic experience with renewable
energy projects or other types of
electric-energy-related projects; and
(2) Information establishing access to
sufficient capital to carry out
development.
(b) An individual must submit a
written statement of citizenship status
attesting to U.S. citizenship. It does not
need to be notarized nor give the age of
individual. A resident alien may submit
a photocopy of the U.S. Citizenship and
Immigration Services form evidencing
legal status of the resident alien.
(c) A corporation or association must
submit evidence, as specified in the
table in paragraph (d) of this section,
acceptable to BOEM that:
(1) It is qualified to hold leases or
grants under this part;
(2) It is authorized to conduct
business under the laws of its State;
(3) It is authorized to hold leases or
grants on the OCS under the operating
rules of its business; and
(4) The persons holding the titles
listed are authorized to bind the
corporation or association when
conducting business with BOEM.
(d) Acceptable evidence under
paragraph (c) of this section includes,
but is not limited to the following:
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Requirements to qualify to hold leases or grants on the OCS:
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(1) Original certificate or certified copy from the State of incorporation
stating the name of the corporation exactly as it must appear on all
legal documents.
(2) Certified statement by Secretary/Assistant Secretary over corporate
seal, certifying that the corporation is authorized to hold OCS
leases.
(3) Evidence of authority of titled positions to bind corporation, certified
by Secretary/Assistant Secretary over corporate seal, including the
following:
(i) Certified copy of resolution of the board of directors with titles
of officers authorized to bind corporation.
(ii) Certified copy of resolutions granting corporate officer authority
to issue a power of attorney.
(iii) Certified copy of power of attorney or certified copy of resolution granting power of attorney.
(4) Original certificate or certified copy of partnership or organization
paperwork registering with the appropriate State official.
(5) Copy of articles of partnership or organization evidencing filing with
appropriate Secretary of State, certified by Secretary/Assistant Secretary of partnership or member or manager of LLC.
(6) Original certificate or certified copy evidencing State where partnership or LLC is registered. Statement of authority to hold OCS
leases, certified by Secretary/Assistant Secretary, OR original paperwork registering with the appropriate State official.
(7) Statements from each partner or LLC member indicating the following:
(i) If a corporation or partnership, statement of State of organization and authorization to hold OCS leases, certified by Secretary/Assistant Secretary over corporate seal, if a corporation.
(ii) If an individual, a statement of citizenship.
(8) Statement from general partner, certified by Secretary/Assistant
Secretary that:
(i) Each individual limited partner is a U.S. citizen and;
(ii) Each corporate limited partner or other entity is incorporated or
formed and organized under the laws of a U.S. State or territory.
(9) Evidence of authority to bind partnership or LLC, if not specified in
partnership agreement, articles of organization, or LLC regulations,
i.e., certificates of authority from Secretary/Assistant Secretary reflecting authority of officers.
(10) Listing of members of LLC certified by Secretary/Assistant Secretary or any member or manager of LLC.
(11) Copy of trust agreement or document establishing the trust and all
amendments, properly certified by the trustee with reference to
where the original documents are filed.
(12) Statement indicating the law under which the trust is established
and that the trust is authorized to hold OCS leases or grants.
(e) A local, State, or Federal executive
entity must submit a written statement
that:
(1) It is qualified to hold leases or
grants under this part; and
(2) The person(s) acting on behalf of
the entity is authorized to bind the
entity when conducting business with
us.
(f) BOEM may require you to submit
additional information at any time
considering your bid or request for a
noncompetitive lease.
§ 585.109 When must I notify BOEM if an
action has been filed alleging that I am
insolvent or bankrupt?
You must notify BOEM within 3
business days after you learn of any
action filed alleging that you are
insolvent or bankrupt.
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§ 585.110 When must I notify BOEM of
mergers, name changes, or changes of
business form?
You must notify BOEM in writing of
any merger, name change, or change of
business form. You must notify BOEM
as soon as practicable following the
merger, name change, or change in
business form, but no later than 120
days after the earliest of either the
effective date, or the date of filing the
change or action with the Secretary of
the State or other authorized official in
the State of original registry.
§ 585.111 How do I submit plans,
applications, reports, or notices required by
this part?
(a) You must submit all plans,
applications, reports, or notices required
by this part to BOEM at the following
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address: Office of Renewable Energy
Programs, 45600 Woodland Road,
Sterling, VA 20166.
(b) Unless otherwise stated, you must
submit one paper copy and one
electronic copy of all plans,
applications, reports, or notices required
by this part.
§ 585.112 When and how does BOEM
charge me processing fees on a case-bycase basis?
(a) BOEM will charge a processing fee
on a case-by-case basis under the
procedures in this section with regard to
any application or request under this
part if we decide at any time that the
preparation of a particular document or
study is necessary for the application or
request and it will have a unique
processing cost, such as the preparation
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of an environmental assessment (EA) or
environmental impact statement (EIS).
(1) Processing costs will include
contract oversight and efforts to review
and approve documents prepared by
contractors, whether the contractor is
paid directly by the applicant or
through BOEM.
(2) We may apply a standard overhead
rate to direct processing costs.
(b) We will assess the ongoing
processing fee for each individual
application or request according to the
following procedures:
(1) Before we process your application
or request, we will give you a written
estimate of the proposed fee based on
reasonable processing costs.
(2) You may comment on the
proposed fee.
(3) You may:
(i) Ask for our approval to perform, or
to directly pay a contractor to perform,
all or part of any document, study, or
other activity according to standards we
specify, thereby reducing our costs for
processing your application or request;
or
(ii) Ask to pay us to perform, or
contract for, all or part of any document,
study, or other activity.
(4) We will then give you the final
estimate of the processing fee amount
with payment terms and instructions
after considering your comments and
any BOEM-approved work you will do.
(i) If we encounter higher or lower
processing costs than anticipated, we
will re-estimate our reasonable
processing costs following the
procedures in paragraphs (b)(1) through
(4) of this section, but we will not stop
ongoing processing unless you do not
pay in accordance with paragraph (b)(5)
of this section.
(ii) Once processing is complete, we
will refund to you the amount of money
that we did not spend on processing
costs.
(5)(i) Consistent with the payment
and billing terms provided in the final
estimate, we will periodically estimate
what our reasonable processing costs
will be for a specific period and will bill
you for that period. Payment is due to
us 30 days after you receive your bill.
We will stop processing your document
if you do not pay the bill by the date
payment is due.
(ii) If a periodic payment turns out to
be more or less than our reasonable
processing costs for the period, we will
adjust the next billing accordingly or
make a refund. Do not deduct any
amount from a payment without our
prior written approval.
(6) You must pay the entire fee before
we will issue the final document or take
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final action on your application or
request.
(7) You may appeal our estimated
processing costs in accordance with the
regulations in 43 CFR part 4. We will
not process the document further until
the appeal is resolved, unless you pay
the fee under protest while the appeal
is pending. If the appeal results in a
decision changing the proposed fee, we
will adjust the fee in accordance with
paragraph (b)(5)(ii) of this section. If we
adjust the fee downward, we will not
pay interest.
6435
controlled collection, analysis,
interpretation, and explanation).
Best available and safest technology
means the best available and safest
technologies that BOEM determines to
be economically feasible wherever
failure of equipment would have a
significant effect on safety, health, or the
environment.
Best management practices mean
practices recognized within their
respective industry, or by government,
as one of the best for achieving the
desired output while reducing
undesirable outcomes.
§ 585.113 Definitions.
BOEM means Bureau of Ocean Energy
Terms used in this part have the
Management of the Department of the
meanings as defined in this section:
Interior.
Affected local government means with
BSEE means Bureau of Safety and
respect to any activities proposed,
Environmental Enforcement of the
conducted, or approved under this part
Department of the Interior.
or 30 CFR part 285, any locality—
Certified Verification Agent (CVA)
(1) That is, or is proposed to be, the
means an individual or organization,
site of gathering, transmitting, or
experienced in the design, fabrication,
distributing electricity or other energy
and installation of offshore marine
product, or is otherwise receiving,
facilities or structures, who will conduct
processing, refining, or transshipping
specified third-party reviews,
product, or services derived from
inspections, and verifications in
activities approved under this part or 30 accordance with 30 CFR part 285.
CFR part 285;
Coastline means the same as the term
(2) That is used, or is proposed to be
‘‘coast line’’ in section 2 of the
used, as a support base for activities
Submerged Lands Act (43 U.S.C.
approved under this part or 30 CFR part 1301(c)).
285; or
Commercial activities mean, for
(3) In which there is a reasonable
renewable energy leases and grants, all
probability of significant effect on land
activities associated with the generation,
or water uses from activities approved
storage, or transmission of electricity or
under this part, or 30 CFR part 285.
other energy product from a renewable
Affected State means with respect to
energy project on the OCS, and for
any activities proposed, conducted, or
which such electricity or other energy
approved under this part or 30 CFR part product is intended for distribution,
285, any coastal State—
sale, or other commercial use, except for
(1) That is, or is proposed to be, the
electricity or other energy product
site of gathering, transmitting, or
distributed or sold pursuant to
distributing energy or is otherwise
technology-testing activities on a
receiving, processing, refining, or
limited lease. This term also includes
transshipping products, or services
activities associated with all stages of
derived from activities approved under
development, including initial site
this part or 30 CFR part 285;
characterization and assessment, facility
construction, and project
(2) That is used, or is scheduled to be
decommissioning.
used, as a support base for activities
approved under this part or 30 CFR part
Commercial lease means a lease
285; or
issued under this part that specifies the
terms and conditions under which a
(3) In which there is a reasonable
person can conduct commercial
probability of significant effect on land
activities.
or water uses from activities approved
under this part or 30 CFR part 285.
Commercial operations mean the
generation of electricity or other energy
Archaeological resource means any
product for commercial use, sale, or
material remains of human life or
activities that are at least 50 years of age distribution on a commercial lease.
Decommissioning means removing
and that are of archaeological interest
BOEM and BSEE approved facilities and
(i.e., which are capable of providing
returning the site of the lease or grant to
scientific or humanistic understanding
a condition that meets the requirements
of past human behavior, cultural
under subpart I of 30 CFR part 285.
adaptation, and related topics through
Director means the Director of the
the application of scientific or scholarly
Bureau of Ocean Energy Management
techniques, such as controlled
(BOEM), of the Department of the
observation, contextual measurement,
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Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations
Interior, or an official authorized to act
on the Director’s behalf.
Distance means the minimum great
circle distance.
Eligible State means a coastal State
having a coastline (measured from the
nearest point) no more than 15 miles
from the geographic center of a qualified
project area.
Facility means an installation that is
permanently or temporarily attached to
the seabed of the OCS. Facilities include
any structures; devices; appurtenances;
gathering, transmission, and
distribution cables; pipelines; and
permanently moored vessels. Any group
of OCS installations interconnected
with walkways, or any group of
installations that includes a central or
primary installation with one or more
satellite or secondary installations, is a
single facility. BOEM and BSEE may
decide that the complexity of the
installations justifies their classification
as separate facilities.
Geographic center of the project
means the centroid (geometric center
point) of a qualified project area. The
centroid represents the point that is the
weighted average of coordinates of the
same dimension within the mapping
system, with the weights determined by
the density function of the system. For
example, in the case of a project area
shaped as a rectangle or other
parallelogram, the geographic center
would be that point where lines
between opposing corners intersect. The
geographic center of a project could be
outside the project area itself if that area
is irregularly shaped.
Governor means the Governor of a
State or the person or entity lawfully
designated by or under State law to
exercise the powers granted to a
Governor.
Grant means a right-of-way or a rightof-use and easement issued under the
provisions of this part.
Human environment means the
physical, social, and economic
components, conditions, and factors
that interactively determine the state,
condition, and quality of living
conditions, employment, and health of
those affected, directly or indirectly, by
activities occurring on the OCS.
Lease means an agreement
authorizing the use of a designated
portion of the OCS for activities allowed
under this part. The term also means the
area covered by that agreement, when
the context requires.
Lessee means the holder of a lease, a
BOEM-approved assignee, and, when
describing the conduct required of
parties engaged in activities on the
lease, it also refers to the operator and
all persons authorized by the holder of
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the lease or operator to conduct
activities on the lease.
Limited lease means a lease issued
under this part that specifies the terms
and conditions under which a person
may conduct activities on the OCS that
support the production of energy, but do
not result in the production of
electricity or other energy product for
sale, distribution, or other commercial
use exceeding a limit specified in the
lease.
Marine environment means the
physical, atmospheric, and biological
components, conditions, and factors
that interactively determine the
productivity, state, condition, and
quality of the marine ecosystem. These
include the waters of the high seas, the
contiguous zone, transitional and
intertidal areas, salt marshes, and
wetlands within the coastal zone and on
the OCS.
Miles mean nautical miles, as opposed
to statute miles.
Natural resources include, without
limiting the generality thereof,
renewable energy, oil, gas, and all other
minerals (as defined in section 2(q) of
the OCS Lands Act), and marine animal
and marine plant life.
Operator means the individual,
corporation, or association having
control or management of activities on
a lease or grant issued under this part.
The operator may be a lessee, grant
holder, or a contractor designated by the
lessee or holder of a grant issued under
this part.
Outer Continental Shelf (OCS) means
all submerged lands lying seaward and
outside of the area of lands beneath
navigable waters, as defined in section
2 of the Submerged Lands Act (43
U.S.C. 1301), whose subsoil and seabed
appertain to the United States and are
subject to its jurisdiction and control.
Person means, in addition to a natural
person, an association (including
partnerships and joint ventures); a
Federal agency; a State; a political
subdivision of a State; a Native
American Tribal government; or a
private, public, or municipal
corporation.
Project, for the purposes of defining
the source of revenues to be shared,
means a lease ROW, RUE, or Alternate
Use RUE on which the activities
authorized under this part and/or 30
CFR part 285 or 586 are conducted on
the OCS. The term ‘‘project’’ may be
used elsewhere in this rule to refer to
these same authorized activities, the
facilities used to conduct these
activities, or to the geographic area of
the project, i.e., the project area.
Project area means the geographic
surface leased, or granted, for the
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purpose of a specific project. If OCS
acreage is granted for a project under
some form of agreement other than a
lease (i.e., a ROW or RUE, the Federal
acreage granted would be considered
the project area. To avoid distortions in
the calculation of the geometric center
of the project area, project easements
issued under this part are not
considered part of the qualified project’s
area.
Project easement means an easement
to which, upon approval of your
Construction and Operations Plan (COP)
or General Activities Plan (GAP), you
are entitled as part of the lease for the
purpose of installing, gathering,
transmission, and distribution cables,
pipelines, and appurtenances on the
OCS as necessary for the full enjoyment
of the lease.
Renewable Energy means energy
resources other than oil and gas and
minerals as defined in 30 CFR part 580.
Such resources include, but are not
limited to, wind, solar, and ocean
waves, tides, and current.
Revenues mean bonuses, rents,
operating fees, and similar payments
made in connection with a project or
project area. It does not include
administrative fees such as those
assessed for cost recovery, civil
penalties, and forfeiture of financial
assurance.
Right-of-use and easement (RUE)
grant means an easement issued by
BOEM under this part that authorizes
use of a designated portion of the OCS
to support activities on a lease or other
use authorization for renewable energy
activities. The term also means the area
covered by the authorization.
Right-of-way (ROW) grant means an
authorization issued by BOEM under
this part to use a portion of the OCS for
the construction and use of a cable or
pipeline for the purpose of gathering,
transmitting, distributing, or otherwise
transporting electricity or other energy
product generated or produced from
renewable energy, but does not
constitute a project easement under this
part. The term also means the area
covered by the authorization.
Secretary means the Secretary of the
Interior or an official authorized to act
on the Secretary’s behalf.
Significant archaeological resource
means an archaeological resource that
meets the criteria of significance for
eligibility for listing in the National
Register of Historic Places, as defined in
36 CFR 60.4 or its successor.
Site assessment activities mean those
initial activities conducted to
characterize a site on the OCS, such as
resource assessment surveys (e.g.,
meteorological and oceanographic) or
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technology testing, involving the
installation of bottom-founded facilities.
We, us, and our refer to the Bureau of
Ocean Energy Management of the
Department of the Interior, or its
possessive, depending on the context.
You and your means an applicant,
lessee, the operator, or designated
operator, ROW grant holder, or RUE
grant holder under this part, or the
designated agent of any of these, or the
possessive of each, depending on the
context. The terms you and your also
include contractors and subcontractors
of the entities specified in the preceding
sentence.
§ 585.114 How will data and information
obtained by BOEM under this part be
disclosed to the public?
(a) BOEM will make data and
information available in accordance
with the requirements and subject to the
limitations of the Freedom of
Information Act (FOIA) (5 U.S.C. 552)
Then BOEM will review data and information for possible release:
(1) Commercial lease .........................................................
At the earlier of:
(i) 3 years after the initiation of commercial generation or
(ii) 3 years after the lease terminates.
At 3 years after the lease terminates.
At the earliest of:
(i) 10 years after the approval of the grant;
(ii) Grant termination; or
(iii) 3 years after the completion of construction activities.
(c) After considering any objections
from the submitter, if we determine that
release of such data and information
will result in:
(1) No substantial competitive harm
or disclosure of trade secrets, then the
data and information will be released.
(2) Substantial competitive harm or
disclosure of trade secrets, then the data
and information will not be released at
that time but will be subject to further
review every 3 years thereafter.
§ 585.115 Paperwork Reduction Act
statements—information collection.
(a) The Office of Management and
Budget (OMB) has approved the
information collection requirements in
this part under 44 U.S.C. 3501, et seq.,
and assigned OMB Control Number
1010–0176. The table in paragraph (e) of
this section lists the subparts in the rule
requiring the information and its title,
summarizes the reasons for collecting
the information, and summarizes how
BOEM uses the information.
(b) Respondents are primarily
renewable energy applicants, lessees,
ROW grant holders, RUE grant holders,
Alternate Use RUE grant holders, and
operators. The requirement to respond
to the information collection in this part
is mandated under subsection 8(p) of
the OCS Lands Act. Some responses are
also required to obtain or retain a
benefit, or may be voluntary.
(c) The Paperwork Reduction Act of
1995 (44 U.S.C. 3501 et seq.) requires us
to inform the public that an agency may
not conduct or sponsor, and you are not
required to respond to, a collection of
information unless it displays a
currently valid OMB control number.
(d) Comments regarding any aspect of
the collections of information under this
part, including suggestions for reducing
the burden, should be sent to the
Information Collection Clearance
Officer, Bureau of Ocean Energy
Management, 45600 Woodland Road,
Sterling, VA 20166.
(e) BOEM is collecting this
information for the reasons given in the
following table:
30 CFR 585 subpart and title
Reasons for collecting information and how used
(1) Subpart A—General Provisions ..........................................................
To inform BOEM of actions taken to comply with general operational
requirements on the OCS. To ensure that operations on the OCS
meet statutory and regulatory requirements, are safe and protect the
environment, and result in diligent development on OCS leases.
To provide BOEM with information needed to determine when to use a
competitive process for issuing a renewable energy lease, to identify
auction formats and bidding systems and variables that we may use
when that determination is affirmative, and to determine the terms
under which we will issue renewable energy leases.
To issue ROW grants and RUE grants for OCS renewable energy activities that are not associated with a BOEM-issued renewable energy lease.
To ensure compliance with regulations pertaining to a lease or grant;
assignment and designation of operator; and suspension, renewal,
termination, relinquishment, and cancellation of leases and grants.
To ensure that payments and financial assurance payments for renewable energy leases comply with subpart E.
To enable BOEM to comply with the National Environmental Policy Act
(NEPA), the Coastal Zone Management Act (CZMA), and other Federal laws and to ensure the safety of the environment on the OCS.
(2) Subpart B—Issuance of OCS Renewable Energy Leases ................
(3) Subpart C—ROW Grants and RUE Grants for Renewable Energy
Activities.
(4) Subpart D—Lease and Grant Administration .....................................
(5) Subpart E—Payments and Financial Assurance Requirements ........
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and the regulations contained in 43 CFR
part 2.
(b) BOEM will not release such data
and information that we have
determined is exempt from disclosure
under exemption 4 of FOIA. We will
review such data and information and
objections of the submitter by the
following schedule to determine
whether release at that time will result
in substantial competitive harm or
disclosure of trade secrets.
If you have a . . .
(2) Limited lease ................................................................
(3) ROW or RUE grant ......................................................
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(6) Subpart F—Plan Requirements ..........................................................
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§ 585.116 Requests for information on the
state of the offshore renewable energy
industry.
Subpart B—Issuance of OCS
Renewable Energy Leases
(a) The Director may, from time to
time, and at the Director’s discretion,
solicit information from industry and
other relevant stakeholders (including
State and local agencies), as necessary,
to evaluate the state of the offshore
renewable energy industry, including
the identification of potential challenges
or obstacles to its continued
development. Such requests for
information may relate to the
identification of environmental,
technical, regulatory, or economic
matters that promote or detract from
continued development of renewable
energy technologies on the OCS. From
the information received, the Director
may evaluate potential refinements to
the OCS Alternative Energy Program
that promote development of the
industry in a safe and environmentally
responsible manner, and that ensure fair
value for use of the nation’s OCS.
(b) BOEM may make such requests for
information on a regional basis and may
tailor the requests to specific types of
renewable energy technologies.
(c) BOEM will publish such requests
for information by the Director in the
Federal Register.
General Lease Information
§ 585.117
[Reserved]
§ 585.118
What are my appeal rights?
(a) Any party adversely affected by a
BOEM official’s final decision or order
issued under the regulations of this part
may appeal that decision or order to the
Interior Board of Land Appeals. The
appeal must conform with the
procedures found in 30 CFR part 590
and in 43 CFR part 4, subpart E. Appeal
of a final decision for bid acceptance is
covered under paragraph (c) of this
section.
(b) A decision will remain in full
force and effect during the period in
which an appeal may be filed and
during an appeal, unless a stay is
granted pursuant to 43 CFR part 4.
(c) Our decision on a bid is the final
action of the Department, except that an
unsuccessful bidder may apply for
reconsideration by the Director.
(1) A bidder whose bid we reject may
file a written request for reconsideration
with the Director within 15 days of the
date of the receipt of the notice of
rejection, accompanied by a statement
of reasons, with one copy to us. The
Director will respond in writing either
affirming or reversing the decision.
(2) The delegation of review authority
given to the Office of Hearings and
Appeals does not apply to decisions on
high bids for leases or grants under this
part.
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§ 585.200 What rights are granted with a
lease issued under this part?
(a) A lease issued under this part
grants the lessee the right, subject to
obtaining the necessary approvals,
including but not limited to those
required under the FERC hydrokinetic
licensing process, and complying with
all provisions of this part, to occupy,
and install and operate facilities on, a
designated portion of the OCS for the
purpose of conducting:
(1) Commercial activities; or
(2) Other limited activities that
support, result from, or relate to the
production of energy from a renewable
energy source.
(b) A lease issued under this part
confers on the lessee the right to one or
more project easements without further
competition for the purpose of installing
gathering, transmission, and
distribution cables; pipelines; and
appurtenances on the OCS as necessary
for the full enjoyment of the lease.
(1) You must apply for the project
easement as part of your COP or GAP,
as provided under subpart F of this part;
and
(2) BOEM will incorporate your
approved project easement in your lease
as an addendum.
(c) A commercial lease issued under
this part may be developed in phases,
with BOEM approval as provided in
§ 585.238.
§ 585.201
How will BOEM issue leases?
BOEM will issue leases on a
competitive basis, as provided under
§§ 585.210 through 585.225. However, if
we determine after public notice of a
proposed lease that there is no
competitive interest, we will issue
leases noncompetitively, as provided
under §§ 585.230 and 585.232. We will
issue leases on forms approved by
BOEM and will include terms,
conditions, and stipulations identified
and developed through the process set
forth in §§ 585.211 and 585.231.
§ 585.202
issue?
What types of leases will BOEM
BOEM may issue leases on the OCS
for the assessment and production of
renewable energy and may authorize a
combination of specific activities. We
may issue commercial leases or limited
leases.
§ 585.203 With whom will BOEM consult
before issuance of a lease?
For leases issued under this part,
through either the competitive or
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noncompetitive process, BOEM, prior to
issuing the lease, will coordinate and
consult with relevant Federal agencies
(including, in particular, those agencies
involved in planning activities that are
undertaken to avoid or minimize
conflicts among users and to maximize
the economic and ecological benefits of
the OCS, including multifaceted spatial
planning efforts), the Governor of any
affected State, the executive of any
affected local government, and any
affected Indian Tribe, as directed by
subsections 8(p)(4) and (7) of the OCS
Lands Act or other relevant Federal
laws. Federal statutes that require
BOEM to consult with interested parties
or Federal agencies or to respond to
findings of those agencies include the
Endangered Species Act (ESA) and the
Magnuson-Stevens Fishery
Conservation and Management Act
(MSA). BOEM also engages in
consultation with State and Tribal
historic preservation officers pursuant
to the National Historic Preservation Act
(NHPA).
§ 585.204 What areas are available for
leasing consideration?
BOEM may offer any appropriately
platted area of the OCS, as provided in
§ 585.205, for a renewable energy lease,
except any area within the exterior
boundaries of any unit of the National
Park System, National Wildlife Refuge
System, National Marine Sanctuary
System, or any National Monument.
§ 585.205
How will leases be mapped?
BOEM will prepare leasing maps and
official protraction diagrams of areas of
the OCS. The areas included in each
lease will be in accordance with the
appropriate leasing map or official
protraction diagram.
§ 585.206
What is the lease size?
(a) BOEM will determine the size for
each lease based on the area required to
accommodate the anticipated activities.
The processes leading to both
competitive and noncompetitive
issuance of leases will provide public
notice of the lease size adopted. We will
delineate leases by using mapped OCS
blocks or portions, or aggregations of
blocks.
(b) The lease size includes the
minimum area that will allow the lessee
sufficient space to develop the project
and manage activities in a manner that
is consistent with the provisions of this
part and 30 CFR part 285. The lease may
include whole lease blocks or portions
of a lease block.
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§§ 585.207–585.209
[Reserved]
Competitive Lease Process
§ 585.210 How does BOEM initiate the
competitive leasing process?
BOEM may publish in the Federal
Register a public notice of Request for
Interest to assess interest in leasing all
or part of the OCS for activities
authorized in this part. BOEM will
consider information received in
response to a Request for Interest to
determine whether there is competitive
interest for scheduling sales and issuing
leases. We may prepare and issue a
national, regional, or more specific
schedule of lease sales pertaining to one
or more types of renewable energy.
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§ 585.211 What is the process for
competitive issuance of leases?
BOEM will use auctions to award
leases on a competitive basis. We will
publish details of the process to be
employed for each lease sale auction in
the Federal Register. For each lease
sale, we will publish a Proposed Sale
Notice and a Final Sale Notice.
Individual lease sales will include steps
such as:
(a) Call for Information and
Nominations (Call). BOEM will publish
in the Federal Register Calls for
Information and Nominations for
leasing in specified areas. The comment
period following issuance of a Call will
be 45 days. In this document, we may:
(1) Request comments on areas which
should receive special consideration
and analysis;
(2) Request comments concerning
geological conditions (including bottom
hazards); archaeological sites on the
seabed or nearshore; multiple uses of
the proposed leasing area (including
navigation, recreation, and fisheries);
and other socioeconomic, biological,
and environmental information; and
(3) Suggest areas to be considered by
the respondents for leasing.
(b) Area identification. BOEM will
identify areas for environmental
analysis and consideration for leasing.
We will do this in consultation with
appropriate Federal agencies, States,
local governments, affected Indian
Tribes, and other interested parties.
(1) We may consider for lease those
areas nominated in response to the Call
for Information and Nominations,
together with other areas that BOEM
determines are appropriate for leasing.
(2) We will evaluate the potential
effect of leasing on the human, marine,
and coastal environments, and develop
measures to mitigate adverse impacts,
including lease stipulations.
(3) We will consult to develop
measures, including lease stipulations
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and conditions, to mitigate adverse
impacts on the environment; and
(4) We may hold public hearings on
the environmental analysis after
appropriate notice.
(c) Proposed Sale Notice. BOEM will
publish the Proposed Sale Notice in the
Federal Register and send it to the
Governor of any affected State, any
Indian Tribe that might be affected, and
the executive of any local government
that might be affected. The comment
period following issuance of a Proposed
Sale Notice will be 60 days.
(d) Final Sale Notice. BOEM will
publish the Final Sale Notice in the
Federal Register at least 30 days before
the date of the sale.
§ 585.212 What is the process BOEM will
follow if there is reason to believe that
competitors have withdrawn before the
Final Sale Notice is issued?
BOEM may decide to end the
competitive process before the Final
Sale Notice if we have reason to believe
that competitors have withdrawn and
competition no longer exists. We will
issue a second public notice of Request
for Interest and consider comments
received to confirm that there is no
competitive interest.
(a) If, after reviewing comments in
response to the notice of Request for
Interest, BOEM determines that there is
no competitive interest in the lease area,
and one party wishes to acquire a lease,
we will discontinue the competitive
process and will proceed with the
noncompetitive process set forth in
§ 585.231(d) through (i) following
receipt of the acquisition fee specified
in § 585.502(a).
(b) If, after reviewing comments in
response to the notice of Request for
Interest, BOEM determines that
competitive interest in the lease area
continues to exist, we will continue
with the competitive process set forth in
§§ 585.211 through 585.225.
§ 585.213 What must I submit in response
to a Request for Interest or a Call for
Information and Nominations?
If you are a potential lessee, when you
respond to a Request for Interest or a
Call, your response must include the
following items:
(a) The area of interest for a possible
lease.
(b) A general description of your
objectives and the facilities that you
would use to achieve those objectives.
(c) A general schedule of proposed
activities, including those leading to
commercial operations.
(d) Available and pertinent data and
information concerning renewable
energy and environmental conditions in
the area of interest, including energy
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6439
and resource data and information used
to evaluate the area of interest. BOEM
will withhold trade secrets and
commercial or financial information
that is privileged or confidential from
public disclosure under exemption 4 of
the FOIA and as provided in § 585.114.
(e) Documentation showing that you
are qualified to hold a lease, as specified
in § 585.107.
(f) Any other information requested
by BOEM in the Federal Register notice.
§ 585.214 What will BOEM do with
information from the Requests for
Information or Calls for Information and
Nominations?
BOEM will use the information
received in response to the Requests or
Calls to:
(a) Identify the lease area;
(b) Develop options for the
environmental analysis and leasing
provisions (stipulations, payments,
terms, and conditions); and
(c) Prepare appropriate
documentation to satisfy applicable
Federal requirements, such as NEPA,
CZMA, the ESA, and the MMPA.
§ 585.215 What areas will BOEM offer in a
lease sale?
BOEM will offer the areas for leasing
determined through the process set forth
in § 585.211. We will not accept
nominations after the Call for
Information and Nominations closes.
§ 585.216 What information will BOEM
publish in the Proposed Sale Notice and
Final Sale Notice?
For each competitive lease sale,
BOEM will publish a Proposed Sale
Notice and a Final Sale Notice in the
Federal Register. In the Proposed Sale
Notice, we will request public comment
on the items listed in this section. We
will consider all public comments
received in developing the final lease
sale terms and conditions. We will
publish the final terms and conditions
in the Final Sale Notice. The Proposed
Sale Notice and Final Sale Notice will
include, or describe the availability of,
information pertaining to:
(a) The area available for leasing.
(b) Proposed and final lease
provisions and conditions, including,
but not limited to:
(1) Lease size;
(2) Lease term;
(3) Payment requirements;
(4) Performance requirements; and
(5) Site-specific lease stipulations.
(c) Auction details, including:
(1) Bidding procedures and systems;
(2) Minimum bid;
(3) Deposit amount;
(4) The place and time for filing bids
and the place, date, and hour for
opening bids;
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(5) Lease award method; and
(6) Bidding or application
instructions.
(d) The official BOEM lease form to be
used or a reference to that form.
(e) Criteria BOEM will use to evaluate
competing bids or applications and how
the criteria will be used in decisionmaking for awarding a lease.
(f) Award procedures, including how
and when BOEM will award leases and
how BOEM will handle unsuccessful
bids or applications.
(g) Procedures for appealing the lease
issuance decision.
(h) Execution of the lease instrument.
§§ 585.217–585.219
[Reserved]
Competitive Lease Award Process
(a) Except as provided in § 585.231,
we will hold competitive auctions to
award renewable energy leases and will
use one of the following auction
formats, as determined through the lease
sale process and specified in the
Proposed Sale Notice and in the Final
Sale Notice:
Type of auction
Bid variable
Bidding process
(1) Sealed bidding ..............................................
A cash bonus or an operating fee rate ............
(2) Ascending bidding ........................................
(3) Two-stage bidding (combination of ascending and sealed bidding).
A cash bonus or an operating fee rate ............
An operating fee rate in one, both, or neither
stage and a cash bonus in one, both, or
neither stage.
(4) Multiple-factor bidding ...................................
Factors may include, but are not limited to:
technical merit, timeliness, financing and
economics, environmental considerations,
public benefits, compatibility with State and
local needs, cash bonus, rental rate, and an
operating fee rate.
One sealed bid per company per lease or
packaged bidding unit.
Continuous bidding per lease.
Ascending or sealed bidding until:
(i) Only two bidders remain, or
(ii) More than one bidder offers to pay the
maximum bid amount.
Stage-two sealed or ascending bidding commences at some predetermined time after
the end of stage-one bidding.
One proposal per company per lease or packaged bidding unit.
(b) You must submit your bid and a
deposit as specified in §§ 585.500 and
585.501 to cover the bid for each lease
area, according to the terms specified in
the Final Sale Notice.
§ 585.221 What bidding systems may
BOEM use for commercial leases and
limited leases?
(a) For commercial leases, we will
specify minimum bids in the Final Sale
Notice and use one of the following
bidding systems, as specified in the
Proposed Sale Notice and in the Final
Sale Notice:
Bid system
Bid variable
(1) Cash bonus with a constant fee rate (decimal) ..................................
(2) Constant operating fee rate with fixed cash bonus ............................
Cash bonus.
A fee rate used in the formula found in § 585.506 to set the operating
fee per year during the operations term of your lease.
A fee rate used in the formula in § 585.506 to set the operating fee for
the first year of the operations term of your lease. The fee rate for
subsequent years changes by a mathematical function we specify in
the Final Sale Notice.
Cash bonus and operating fee rate as stated in paragraph (a)(2) of this
section (two-stage auction format only).
Cash bonus and operating fee rate as stated in paragraph (a)(3) of this
section (two-stage auction format only).
BOEM will identify bidding variables in the Final Sale Notice.
Variables may include:
(i) Nonmonetary (e.g., technical merit) factors and
(ii) Monetary (e.g., cash bonus, rental rate, fee rate) factors.
(3) Sliding operating fee rate with a fixed cash bonus ............................
(4) Cash bonus and constant operating fee rate .....................................
(5) Cash bonus and sliding operating fee rate ........................................
(6) Multiple-factor combination of nonmonetary and monetary factors ...
(b) For limited leases, the bid variable
will be a cash bonus, with a minimum
bid as we specify in the Final Sale
Notice.
§ 585.222
bid?
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§ 585.220 What auction format may BOEM
use in a lease sale?
What does BOEM do with my
(a) If sealed bidding is used:
(1) We open the sealed bids at the
place, date, and hour specified in the
Final Sale Notice for the sole purpose of
publicly announcing and recording the
bids. We do not accept or reject any bids
at that time.
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(2) We reserve the right to reject any
and all high bids, including a bid for
any proposal submitted under the
multiple-factor bidding format,
regardless of the amount offered or
bidding system used. The reasons for
the rejection of a winning bid may
include, but are not necessarily limited
to, insufficiency, illegality, anticompetitive behavior, administrative
error, and the presence of unusual
bidding patterns. We intend to accept or
reject all high bids within 90 days, but
we may extend that time if necessary.
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(b) If we use ascending bidding, we
may, in the Final Sale Notice, reserve
the right to accept the winning bid
solely based on its being the highest bid
submitted by a qualified bidder
(qualified to be an OCS lessee under
§ 585.107).
(c) If we use two-stage bidding and
the auction concludes with:
(1) An ascending bidding stage, the
winning bid will be determined as
stated in paragraph (b) of this section; or
(2) A sealed bidding stage, the
winning bid will be determined as
stated in paragraph (a) of this section.
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(d) If we use multiple-factor bidding,
determination of the winning bid for
any proposal submitted will be made by
a panel composed of members selected
by BOEM. The details of the process
will be described in the Final Sale
Notice.
(e) We will send a written notice of
our decision to accept or reject bids to
all bidders whose deposits we hold.
§ 585.223 What does BOEM do if there is
a tie for the highest bid?
(a) Unless otherwise specified in the
Final Sale Notice, except in the first
stage of a two-stage bidding auction, if
more than one bidder on a lease submits
the same high bid amount, the winning
bidder will be determined by a further
round or stage of bidding as described
in the Final Sale Notice.
(b) The winning bidder will be subject
to final confirmation following
determination of bid adequacy.
khammond on DSKJM1Z7X2PROD with RULES2
§ 585.224
my bid?
What happens if BOEM accepts
If we accept your bid, we will send
you a notice with three copies of the
lease form.
(a) Within 10 business days after you
receive the lease copies, you must:
(1) Execute the lease;
(2) File financial assurance as
required under §§ 585.515 through
585.537 as applicable; and
(3) Pay the balance of the bonus bid
as specified in the lease sale notice.
(b) Within 45 days after you receive
the lease copies, you must pay the first
12 months’ rent as required in
§ 585.503.
(c) When you execute three copies of
the lease and return the copies to us, we
will execute the lease on behalf of the
United States and send you one fully
executed copy.
(d) You will forfeit your deposit if you
do not execute and return the lease
within 10- business days of receipt, or
otherwise fail to comply with applicable
regulations or terms of the Final Sale
Notice.
(e) We may extend the 10 business
day time period for executing and
returning the lease if we determine the
delay to be caused by events beyond
your control.
(f) We reserve the right to withdraw
an OCS area in which we have held a
lease sale before you and BOEM execute
the lease in that area. If we exercise this
right, we will refund your bid deposit,
without interest.
(g) If the awarded lease is executed by
an agent acting on behalf of the bidder,
the bidder must submit, along with the
executed lease, written evidence that
the agent is authorized to act on behalf
of the bidder.
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(h) BOEM will consider the highest
submitted qualified bid to be the
winning bid when bidding occurs under
the systems described in § 585.221(a)(1)
through (5). We will determine the
winning bid for proposals submitted
under the multiple-factor bidding
format on the basis of selection by the
panel as specified in § 585.222(d) when
the bidding system under
§ 585.221(a)(6) is used. We will refund
the deposit on all other bids.
§ 585.225 What happens if my bid is
rejected, and what are my appeal rights?
(a) If we reject your bid, we will
provide a written statement of the
reasons and refund any money
deposited with your bid, without
interest.
(b) You may ask the BOEM Director
for reconsideration, in writing, within
15 business days of bid rejection, under
§ 585.118(c)(1). We will send you a
written response either affirming or
reversing the rejection.
§§ 585.226–585.229
[Reserved]
Noncompetitive Lease Award Process
§ 585.230
no Call?
May I request a lease if there is
You may submit an unsolicited
request for a commercial lease or a
limited lease under this part. Your
unsolicited request must contain the
following information:
(a) The area you are requesting for
lease.
(b) A general description of your
objectives and the facilities that you
would use to achieve those objectives.
(c) A general schedule of proposed
activities including those leading to
commercial operations.
(d) Available and pertinent data and
information concerning renewable
energy and environmental conditions in
the area of interest, including energy
and resource data and information used
to evaluate the area of interest. BOEM
will withhold trade secrets and
commercial or financial information
that is privileged or confidential from
public disclosure under exemption 4 of
the FOIA and as provided in § 585.114.
(e) If available from the appropriate
State or local government authority, a
statement that the proposed activity
conforms with State and local energy
planning requirements, initiatives, or
guidance.
(f) Documentation showing that you
meet the qualifications to become a
lessee, as specified in § 585.107.
(g) An acquisition fee, as specified in
§ 585.502(a).
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6441
§ 585.231 How will BOEM process my
unsolicited request for a noncompetitive
lease?
(a) BOEM will consider unsolicited
requests for a lease on a case-by-case
basis and may issue a lease
noncompetitively in accordance with
this part. We will not consider an
unsolicited request for a lease under this
part that is proposed in an area of the
OCS that is scheduled for a lease sale
under this part.
(b) BOEM will issue a public notice of
a request for interest relating to your
proposal and consider comments
received to determine if competitive
interest exists.
(c) If BOEM determines that
competitive interest exists in the lease
area:
(1) BOEM will proceed with the
competitive process set forth in
§§ 585.210 through 585.225;
(2) If you submit a bid for the lease
area in a competitive lease sale, your
acquisition fee will be applied to the
deposit for your bonus bid; and
(3) If you do not submit a bid for the
lease area in a competitive lease sale,
BOEM will not refund your acquisition
fee.
(d) If BOEM determines that there is
no competitive interest in a lease, we
will publish in the Federal Register a
notice of Determination of No
Competitive Interest. After BOEM
publishes this notice, you will be
responsible for submitting any required
consistency certification and necessary
data and information pursuant to 15
CFR part 930, subpart D, to the
applicable State CZMA agency or
agencies and BOEM.
(e) BOEM will coordinate and consult
with affected Federal agencies, State,
and local governments, and affected
Indian Tribes in the review of
noncompetitive lease requests.
(f) After completing the review of
your lease request, BOEM may offer you
a noncompetitive lease.
(g) If you accept the terms and
conditions of the lease, then we will
issue the lease, and you must comply
with all terms and conditions of your
lease and all applicable provisions of
this part and 30 CFR part 285. If we
issue you a lease, we will send you a
notice with 3 copies of the lease form.
(1) Within 10 business days after you
receive the lease copies you must:
(i) Execute the lease;
(ii) File financial assurance as
required under §§ 585.515 through
585.537; and
(2) Within 45 days after you receive
the lease copies, you must pay the first
12 months’ rent, as required in
§ 585.503.
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(h) BOEM will publish in the Federal
Register a notice announcing the
issuance of your lease.
(i) If you do not accept the terms and
conditions, BOEM will not issue a lease
and will not refund your acquisition fee.
§ 585.232 May I acquire a lease
noncompetitively after responding to a
Request for Interest or Call for Information
and Nominations?
(a) If you submit an area of interest for
a possible lease and BOEM receives no
competing submissions in response to
the RFI or Call, we may inform you that
there does not appear to be competitive
interest, and ask if you wish to proceed
with acquiring a lease.
(b) If you wish to proceed with
acquiring a lease, you must submit your
acquisition fee as specified in
§ 585.502(a).
(c) After receiving the acquisition fee,
BOEM will follow the process outlined
in § 585.231(d) through (i).
[Reserved]
Commercial and Limited Lease Terms
§ 585.235 If I have a commercial lease,
how long will my lease remain in effect?
(a) For commercial leases, the lease
terms and applicable automatic
extensions are as shown in the
following table:
Lease term
Automatic extensions
Requirements
(1) Each commercial lease will have a preliminary term of 12 months, within which the lessee must submit: (i) a SAP; or (ii) a combined SAP and Construction and Operations
Plan (COP). The preliminary term begins on
the effective date of the lease.
If BOEM receives a SAP that satisfies the requirements of §§ 585.605–585.613 or a
SAP/COP that satisfies the requirements of
§§ 585.605–585.613
and
§§ 585.620–
585.628, the preliminary term will be extended for the time necessary for us to conduct technical and environmental reviews of
the SAP or SAP/COP.
If we receive a COP that satisfies the requirements of §§ 585.620–585.628, the site assessment term will be automatically extended for the period of time necessary for
us to conduct technical and environmental
reviews of the COP.
..........................................................................
The SAP must meet the requirements of
§§ 585.605–585.613. The SAP/COP must
meet the requirements of §§ 585.605–
585.613 and §§ 585.620–585.628.
..........................................................................
NOTE: BOEM may also order or grant a suspension of the operations term, as provided
in §§ 585.415–585.421 thereby effectively
extending the term of the lease.
(2) A commercial lease will have a site assessment term of five years to conduct site assessment activities and to submit a COP, if a
SAP/COP has not been submitted. Your site
assessment term begins when BOEM approves your SAP or SAP/COP.
(3) A commercial lease will have an operations
term of 25 years, unless a longer term is negotiated by the parties. A request for lease
renewal must be submitted two years before
the end of the operations term. If you submit
a COP, your operations term begins on the
date that BOEM approves the COP. If you
submit a SAP/COP, your operations term begins on the earliest of the following dates:
five years after BOEM approves the SAP/
COP; when fabrication begins; or, when installation commences.
(4) A commercial lease may have additional
time added to the operations term through a
lease renewal. The term of the lease renewal
will not exceed the original term of the lease,
unless a longer term is negotiated by the parties. The lease renewal term begins upon expiration of the original operations term.
(b) If you do not timely submit a SAP,
COP, or SAP/COP, as appropriate, you
may request additional time to extend
the preliminary or site assessment term
of your commercial lease that includes
a revised schedule for submission of the
plan, as appropriate.
Lease term
khammond on DSKJM1Z7X2PROD with RULES2
§§ 585.233–585.234
The COP must meet the requirements of
§§ 585.620–585.628.
The lease renewal request must meet the requirements in §§ 585.425–585.429.
§ 585.236 If I have a limited lease, how
long will my lease remain in effect?
(a) For limited leases, the lease terms
are as shown in the following table:
Extension or suspension
Requirements
(1) Each limited lease has a preliminary term of If we receive a GAP that satisfies the require12 months to submit a GAP. The preliminary
ments of §§ 585.640–585.648 of this part,
term begins on the effective date of the lease.
the preliminary term will be automatically
extended for the period of time necessary
for us to conduct a technical and environmental review of the plans.
(2) Each limited lease has an operations term We may order or grant a suspension of the
of five years for conducting site assessment,
operations term as provided in §§ 585.415–
technology testing, or other activities. The op585.421.
erations term begins on the date that we approve your GAP.
The GAP must meet the requirements of
§§ 585.640–585.648.
(b) If you do not timely submit a GAP,
you may request additional time to
limited lease that includes a revised
schedule for submission of a GAP.
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extend the preliminary term of your
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§ 585.237
lease?
What is the effective date of a
(a) A lease issued under this part must
be dated and becomes effective as of the
first day of the month following the date
a lease is signed by the lessor.
(b) If the lessee submits a written
request and BOEM approves, a lease
may be dated and become effective the
first day of the month in which it is
signed by the lessor.
§ 585.238 May I develop my commercial
lease in phases?
In your COP, you may request
development of your commercial lease
in phases. In support of your request,
you must provide details as to what
portions of the lease will be initially
developed for commercial operations
and what portions of the lease will be
reserved for subsequent phased
development.
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§ 585.239 Are there any other renewable
energy research activities that will be
allowed on the OCS?
(a) The Director may issue OCS leases,
ROW grants, and RUE grants to a
Federal agency or a State for renewable
energy research activities that support
the future production, transportation, or
transmission of renewable energy.
(b) In issuing leases, ROW grants, and
RUE grants to a Federal agency or a
State on the OCS for renewable energy
research activities under this provision,
BOEM will coordinate and consult with
other relevant Federal agencies, any
other affected State(s), affected local
government executives, and affected
Indian Tribes.
(c) BOEM may issue leases, RUEs, and
ROWs for research activities managed
by a Federal agency or a State only in
areas for which the Director has
determined, after public notice and
opportunity to comment, that no
competitive interest exists.
(d) The Director and the head of the
Federal agency or the Governor of a
requesting State, or their authorized
representatives, will negotiate the terms
and conditions of such renewable
energy leases, RUEs, or ROWs under
this provision on a case-by-case basis.
The framework for such negotiations,
and standard terms and conditions of
such leases, RUEs, or ROWs may be set
forth in a memorandum of agreement
(MOA) or other agreement between
BOEM and a Federal agency or a State.
The MOA must include the agreement
of the head of the Federal agency or the
Governor to assure that all
subcontractors comply with this part
and 30 CFR part 285, other applicable
laws, and terms and conditions of such
leases or grants.
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(e) Any lease, RUE, or ROW that
BOEM issues to a Federal agency or to
a State that authorizes access to an area
of the OCS for research activities
managed by a Federal agency or a State
must include:
(1) Requirements to comply with all
applicable Federal laws; and
(2) Requirements to comply with
these regulations and 30 CFR part 285,
except as otherwise provided in the
lease or grant.
(f) BOEM will issue a public notice of
any lease, RUE, ROW issued to a
Federal agency or to a State, or an
approved MOA for such research
activities.
(g) BOEM will not charge any fees for
the purpose of ensuring a fair return for
the use of such research areas on the
OCS.
Subpart C—Right-of-Way (ROW) and
Right-of-Use and Easement (RUE)
Grants for Renewable Energy
Activities
ROW Grants and RUE Grants
§ 585.300 What types of activities are
authorized by ROW grants and RUE grants
issued under this part?
(a) A ROW grant authorizes the holder
to install on the OCS cables, pipelines,
and associated facilities that involve the
transportation or transmission of
electricity or other energy product from
renewable energy projects.
(b) A RUE grant authorizes the holder
to construct and maintain facilities or
other installations on the OCS that
support the production, transportation,
or transmission of electricity or other
energy product from any renewable
energy resource.
(c) You do not need a ROW grant or
RUE grant for a project easement
authorized under § 585.200(b) to serve
your lease.
§ 585.301 What do ROW grants and RUE
grants include?
(a) A ROW grant:
(1) Includes the full length of the
corridor on which a cable, pipeline, or
associated facility is located;
(2) Is 200 feet (61 meters) in width,
centered on the cable or pipeline, unless
safety and environmental factors during
construction and maintenance of the
associated cable or pipeline require a
greater width; and
(3) For the associated facility, is
limited to the area reasonably necessary
for a power or pumping station or other
accessory facility.
(b) A RUE grant includes the site on
which a facility or other structure is
located and the areal extent of anchors,
chains, and other equipment associated
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with a facility or other structure. The
specific boundaries of a RUE will be
determined by BOEM on a case-by-case
basis and set forth in each RUE grant.
§ 585.302 What are the general
requirements for ROW grant and RUE grant
holders?
(a) To acquire a ROW grant or RUE
grant you must provide evidence that
you meet the qualifications as required
in § 585.107.
(b) A ROW grant or RUE grant is
subject to the following conditions:
(1) The rights granted will not prevent
the granting of other rights by the
United States, either before or after the
granting of the ROW or RUE, provided
that any subsequent authorization
issued by BOEM in the area of a
previously issued ROW grant or RUE
grant may not unreasonably interfere
with activities approved or impede
existing operations under such a grant;
and
(2) The holder agrees that the United
States, its lessees, or other ROW grant or
RUE grant holders may use or occupy
any part of the ROW grant or RUE grant
not actually occupied or necessarily
incident to its use for any necessary
activities.
§ 585.303 How long will my ROW grant or
RUE grant remain in effect?
(a) Each ROW or RUE grant will have
a preliminary term of 12 months from
the date of issuance of the ROW or RUE
grant within which to submit a GAP.
The preliminary term begins on the
effective date of the grant. You must
submit a GAP no later than the end of
the preliminary term for your grant to
remain in effect. However, you may
submit a GAP prior to the issuance of
your ROW or RUE grant.
(b) Except as described in paragraph
(a) of this section, your ROW grant or
RUE grant will remain in effect for as
long as the associated activities are
properly maintained and used for the
purpose for which the grant was made,
unless otherwise expressly stated in the
grant.
§ 585.304
[Reserved]
Obtaining ROW Grants and RUE Grants
§ 585.305 How do I request a ROW grant
or RUE grant?
You must submit to BOEM one paper
copy and one electronic copy of a
request for a new or modified ROW
grant or RUE grant. You must submit a
separate request for each ROW grant or
RUE grant you are requesting. The
request must contain the following
information:
(a) The area you are requesting for a
ROW grant or RUE grant.
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(b) A general description of your
objectives and the facilities that you
would use to achieve those objectives.
(c) A general schedule of proposed
activities.
(d) Pertinent information concerning
environmental conditions in the area of
interest.
§ 585.306 What action will BOEM take on
my request?
BOEM will consider requests for ROW
grants and RUE grants on a case-by-case
basis and may issue a grant
competitively, as provided in § 585.308,
or noncompetitively if we determine
after public notice that there is no
competitive interest. BOEM will
coordinate and consult with relevant
Federal agencies, with the Governor of
any affected State, and the executive of
any affected local government.
(a) In response to an unsolicited
request for a ROW grant or RUE grant,
BOEM will first determine if there is
competitive interest, as provided in
§ 585.307.
(b) If BOEM determines that there is
no competitive interest in a ROW grant
or RUE grant, we will publish a notice
in the Federal Register of such
determination. After BOEM publishes
this notice, you will be responsible for
submitting any required consistency
certification and necessary data and
information pursuant to 15 CFR part
930, subpart D, to the applicable State
CZMA agency or agencies and BOEM.
We will establish terms and conditions
for the grant in consultation with you.
§ 585.307 How will BOEM determine
whether competitive interest exists for ROW
grants and RUE grants?
To determine whether or not there is
competitive interest:
(a) We will publish a public notice,
describing the parameters of the project,
to give affected and interested parties an
opportunity to comment on the
proposed ROW grant or RUE grant area.
(b) We will evaluate any comments
received on the notice and make a
determination of the level of
competitive interest.
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§ 585.308 How will BOEM conduct an
auction for ROW grants and RUE grants?
(a) If BOEM determines that there is
competitive interest, we will:
(1) Publish a notice of each grant
auction in the Federal Register
describing auction procedures, allowing
interested persons 30 days to comment;
and
(2) Conduct a competitive auction for
issuing the ROW grant or RUE grant.
The auction process for ROW grants and
RUE grants will be conducted following
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the same process for leases set forth in
§§ 585.211 through 585.225.
(b) If you are the successful bidder in
an auction, you must pay the first year’s
rent, as provided in § 585.316.
§ 585.309 When will BOEM issue a
noncompetitive ROW grant or RUE grant?
After completing the review of your
grant request, BOEM may offer you a
noncompetitive grant.
(a) If you accept the terms and
conditions of the grant, then we will
issue the grant, and you must comply
with all terms and conditions of your
grant and all applicable provisions of
this part and 30 CFR part 285.
(b) If you do not accept the terms and
conditions, BOEM will not issue a grant.
§ 585.310 What is the effective date of a
ROW grant or RUE grant?
Your ROW grant or RUE grant
becomes effective on the date
established by BOEM on the ROW grant
or RUE grant instrument.
§ § 585.311–585.314
[Reserved]
Financial Requirements for ROW Grants
and RUE Grants
§ 585.315 What deposits are required for a
competitive ROW grant or RUE grant?
(a) You must make a deposit, as
required in § 585.501(a), regardless of
whether the auction is a sealed-bid, oral,
electronic, or other auction format.
BOEM will specify in the sale notice the
official to whom you must submit the
payment, the time by which the official
must receive the payment, and the
forms of acceptable payment.
(b) If your high bid is rejected, we will
provide a written statement of reasons.
(c) For all rejected bids, we will
refund, without interest, any money
deposited with your bid.
§ 585.316 What payments are required for
ROW grants or RUE grants?
Before we issue the ROW grant or
RUE grant, you must pay:
(a) Any balance on accepted high bids
to ONRR, as provided in the sale notice.
(b) An annual rent for the first year of
the grant, as specified in § 585.508.
Subpart D—Lease and Grant
Administration
§ § 585.400–585.404
[Reserved]
Designation of Operator
§ 585.405
How do I designate an operator?
(a) If you intend to designate an
operator who is not the lessee or grant
holder, you must identify the proposed
operator in your SAP (under
§ 585.610(a)(3)), COP (under
§ 585.626(b)(2)), or GAP (under
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§ 585.645(b)(3)), as applicable. If no
operator is designated in a SAP, COP, or
GAP, BOEM will deem the lessee or
grant holder to be the operator.
(b) An operator must be designated in
any SAP, COP, or GAP if there is more
than one lessee or grant holder for any
individual lease or grant.
(c) Once approved in your plan, the
designated operator is authorized to act
on your behalf and required to perform
activities necessary to comply with the
OCS Lands Act, the lease or grant, and
the regulations in this part.
(d) You, or your designated operator,
must immediately provide BOEM with
a written notification of change of
address of the lessee or operator.
(e) If there is a change in the
designated operator, you must provide
written notice to BOEM and identify the
new designated operator within 72
hours on a form approved by BOEM.
The lessee(s) or grantee(s) is the
operator and responsible for compliance
until BOEM approves designation of the
new operator.
(f) Designation of an operator under
any lease or grant issued under this part
does not relieve the lessee or grant
holder of its obligations under this part
or its lease or grant.
(g) A designated operator performing
activities on the lease must comply with
all regulations governing those activities
and may be held liable or penalized for
any noncompliance during the time it
was the operator, notwithstanding its
subsequent resignation.
§ 585.406 Who is responsible for fulfilling
lease and grant obligations?
(a) When you are not the sole lessee
or grantee, you and your co-lessee(s) or
co-grantee(s) are jointly and severally
responsible for fulfilling your
obligations under the lease or grant and
the provisions of this part and 30 CFR
part 285, unless otherwise provided in
these regulations.
(b) If your designated operator fails to
fulfill any of your obligations under the
lease or grant and this part, BOEM may
require you or any or all of your colessees or co-grantees to fulfill those
obligations or other operational
obligations under the OCS Lands Act,
the lease, grant, or the regulations.
(c) Whenever the regulations in this
part require the lessee or grantee to
conduct an activity in a prescribed
manner, the lessee or grantee and
operator (if one has been designated) are
jointly and severally responsible for
complying with the regulations.
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§ 585.407
[Reserved]
Lease or Grant Assignment
§ 585.408
interest?
May I assign my lease or grant
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(a) You may assign all or part of your
lease or grant interest, including record
title, subject to BOEM approval under
this subpart. Each instrument that
creates or transfers an interest must
describe the entire tract or describe by
officially designated subdivisions the
interest you propose to create or
transfer.
(b) You may assign a lease or grant
interest by submitting one paper copy
and one electronic copy of an
assignment application to BOEM. The
assignment application must include:
(1) BOEM-assigned lease or grant
number;
(2) A description of the geographic
area or undivided interest you are
assigning;
(3) The names of both the assignor
and the assignee, if applicable;
(4) The names and telephone numbers
of the contacts for both the assignor and
the assignee;
(5) The names, titles, and signatures
of the authorizing officials for both the
assignor and the assignee;
(6) A statement that the assignee
agrees to comply with and to be bound
by the terms and conditions of the lease
or grant;
(7) The qualifications of the assignee
to hold a lease or grant under § 585.107;
and
(8) A statement on how the assignee
will comply with the financial
assurance requirements of §§ 585.515
through 585.537. No assignment will be
approved until the assignee provides the
required financial assurance.
(c) If you submit an application to
assign a lease or grant, you will
continue to be responsible for payments
that are or become due on the lease or
grant until the date BOEM approves the
assignment.
(d) The assignment takes effect on the
date BOEM approves your application.
(e) You do not need to request an
assignment for mergers, name changes,
or changes of business form. You must
notify BOEM of these events under
§ 585.109.
(b) Any assignee will be subject to all
the terms and conditions of your
original lease or grant, including the
requirement to furnish financial
assurance in the amount required in
§§ 585.515 through 585.537.
(c) The assignee must submit proof of
eligibility and other qualifications
specified in § 585.107.
(d) Persons executing on behalf of the
assignor and assignee must furnish
evidence of authority to execute the
assignment.
§ 585.410 How does an assignment affect
the assignor’s liability?
As assignor, you are liable for all
obligations, monetary and nonmonetary,
that accrued under your lease or grant
before BOEM approves your assignment.
Our approval of the assignment does not
relieve you of these accrued obligations.
BOEM may require you to bring the
lease or grant into compliance to the
extent the obligation accrued before the
effective date of your assignment if your
assignee or subsequent assignees fail to
perform any obligation under the lease
or grant.
§ 585.411 How does an assignment affect
the assignee’s liability?
(a) As assignee, you are liable for all
lease or grant obligations that accrue
after BOEM approves the assignment.
As assignee, you must comply with all
the terms and conditions of the lease or
grant and all applicable regulations,
remedy all existing environmental and
operational problems on the lease or
grant, and comply with all
decommissioning requirements under
30 CFR part 285, subpart I.
(b) Assignees are bound to comply
with each term or condition of the lease
or grant and the regulations in this part
and 30 CFR part 285. You are jointly
and severally liable for the performance
of all obligations under the lease or
grant and under the regulations in this
part and 30 CFR part 285 with each
prior and subsequent lessee who held
an interest from the time the obligation
accrued until it is satisfied, unless this
part provides otherwise.
§ § 585.412–585.414
[Reserved]
Lease or Grant Suspension
§ 585.409 How do I request approval of a
lease or grant assignment?
§ 585.415 What is a lease or grant
suspension?
(a) You must request approval of each
assignment on a form approved by
BOEM, and submit originals of each
instrument that creates or transfers
ownership of record title or certified
copies thereof within 90 days after the
last party executes the transfer
agreement.
(a) A suspension is an interruption of
the term of your lease or grant that may
occur:
(1) As approved by BOEM at your
request, as provided in § 585.416; or
(2) As ordered by BOEM, as provided
in § 585.417 or by BSEE as provided in
30 CFR 285.417.
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(b) A lease or grant suspension
extends the term of your lease or grant
for the length of time the suspension is
in effect.
(c) Activities may not be conducted
on your lease or grant during the period
of a suspension except as expressly
authorized under the terms of the lease
or grant suspension.
§ 585.416 How do I request a lease or
grant suspension?
You must submit a written request to
BOEM that includes the following
information no later than 90 days prior
to the expiration of your appropriate
lease or grant term:
(a) The reasons you are requesting
suspension of your lease or grant term,
and the length of additional time
requested.
(b) An explanation of why the
suspension is necessary in order to
ensure full enjoyment of your lease or
grant and why it is in the lessor’s or
grantor’s interest to approve the
suspension.
(c) If you do not timely submit a SAP,
COP, or GAP, as required, you may
request a suspension to extend the
preliminary or site assessment term of
your lease or grant that includes a
revised schedule for submission of a
SAP, COP, or GAP, as appropriate.
(d) Any other information BOEM may
require.
§ 585.417 When may BOEM order a
suspension?
BOEM may order a suspension under
the following circumstances:
(a) When necessary to comply with
judicial decrees prohibiting some or all
activities under your lease; or
(b) When the suspension is necessary
for reasons of national security or
defense.
§ 585.418 How will BOEM issue a
suspension?
(a) BOEM will issue a suspension
order orally or in writing.
(b) BOEM will send you a written
suspension order as soon as practicable
after issuing an oral suspension order.
(c) The written order will explain the
reasons for its issuance and describe the
effect of the suspension order on your
lease or grant and any associated
activities. BOEM may authorize certain
activities during the period of the
suspension, as set forth in the
suspension order.
§ 585.419 What are my immediate
responsibilities if I receive a suspension
order?
You must comply with the terms of a
suspension order upon receipt and take
any action prescribed within the time
set forth therein.
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§ 585.420 What effect does a suspension
order have on my payments?
(a) While BOEM evaluates your
request for a suspension under
§ 585.416, you must continue to fulfill
your payment obligation until the end of
the original term of your lease or grant.
If our evaluation goes beyond the end of
the original term of your lease or grant,
the term of your lease or grant will be
extended for the period of time
necessary for BOEM to complete its
evaluation of your request, but you will
not be required to make payments
during the time of the extension.
(b) If BOEM approves your request for
a suspension, as provided in § 585.416,
we may suspend your payment
obligation, as appropriate for the term
that is suspended, depending on the
reasons for the requested suspension.
(c) If BOEM orders a suspension, as
provided in § 585.417, your payments,
as appropriate for the term that is
suspended, will be waived during the
suspension period.
§ 585.421 How long will a lease or grant
suspension be in effect?
A lease or grant suspension will be in
effect for the period specified by BOEM.
(a) BOEM will not approve a lease or
grant suspension request pursuant to
§ 585.416 for a period longer than 2
years.
(b) If BOEM determines that the
circumstances giving rise to a
suspension ordered under § 585.417
cannot be resolved within 5 years, the
Secretary may initiate cancellation of
the lease or grant.
Lease or Grant Cancellation
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§ 585.422 When can my lease or grant be
canceled?
(a) The Secretary will cancel any lease
or grant issued under this part upon
proof that it was obtained by fraud or
misrepresentation, and after notice and
opportunity to be heard has been
afforded to the lessee or grant holder.
(b) The Secretary may cancel any
lease or grant issued under this part
when:
(1) The Secretary determines after
notice and opportunity for a hearing
that, with respect to the lease or grant
that would be canceled, the lessee or
grantee has failed to comply with any
applicable provision of the OCS Lands
Act or these regulations; any order of
the Director; or any term, condition or
stipulation contained in the lease or
grant, and that the failure to comply
continued 30 days (or other period
BOEM specifies) after you receive notice
from BOEM. The Secretary will mail a
notice by registered or certified letter to
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the lessee or grantee at its record post
office address;
(2) The Secretary determines after
notice and opportunity for a hearing
that you have terminated commercial
operations under your COP, as provided
in § 585.635, or other approved
activities under your GAP, as provided
in § 585.656;
(3) Required by national security or
defense; or
(4) The Secretary determines after
notice and opportunity for a hearing
that continued activity under the lease
or grant:
(i) Would cause serious harm or
damage to natural resources; life
(including human and wildlife);
property; the marine, coastal, or human
environment; or sites, structures, or
objects of historical or archaeological
significance; and
(ii) That the threat of harm or damage
would not disappear or decrease to an
acceptable extent within a reasonable
period of time; and
(iii) The advantages of cancellation
outweigh the advantages of continuing
the lease or grant in force.
§ § 585.423–585.424
[Reserved]
Lease or Grant Renewal
§ 585.425 May I obtain a renewal of my
lease or grant before it terminates?
You may request renewal of the
operations term of your lease or the
original authorized term of your grant.
BOEM, at its discretion, may approve a
renewal request to conduct substantially
similar activities as were originally
authorized under the lease or grant.
BOEM will not approve a renewal
request that involves development of a
type of renewable energy not originally
authorized in the lease or grant. BOEM
may revise or adjust payment terms of
the original lease, as a condition of lease
renewal.
§ 585.426 When must I submit my request
for renewal?
(a) You must request a renewal from
BOEM:
(1) No later than 180 days before the
termination date of your limited lease or
grant.
(2) No later than 2 years before the
termination date of the operations term
of your commercial lease.
(b) You must submit to BOEM all
information we request pertaining to
your lease or grant and your renewal
request.
§ 585.427
How long is a renewal?
BOEM will set the term of a renewal
at the time of renewal on a case-by-case
basis.
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(a) For commercial leases, a renewal
term will not exceed the original
operations term unless a longer term is
negotiated by the applicable parties.
(b) For limited leases, a renewal term
will not exceed the original operations
term.
(c) For RUE and ROW grants, a
renewal will continue for as long as the
associated activities are conducted and
facilities properly maintained and used
for the purpose for which the grant was
made, unless otherwise expressly stated.
§ 585.428 What effect does applying for a
renewal have on my activities and
payments?
If you timely request a renewal:
(a) You may continue to conduct
activities approved under your lease or
grant under the original terms and
conditions for as long as your request is
pending decision by BOEM.
(b) You may request a suspension of
your lease or grant, as provided in
§ 585.416, while we consider your
request.
(c) For the period BOEM considers
your request for renewal, you must
continue to make all payments in
accordance with the original terms and
conditions of your lease or grant.
§ 585.429 What criteria will BOEM consider
in deciding whether to renew a lease or
grant?
BOEM will consider the following
criteria in deciding whether to renew a
lease or grant:
(a) Design life of existing technology.
(b) Availability and feasibility of new
technology.
(c) Environmental and safety record of
the lessee or grantee.
(d) Operational and financial
compliance record of the lessee or
grantee.
(e) Competitive interest and fair
return considerations.
(f) Effects of the lease or grant on
generation capacity and reliability
within the regional electrical
distribution and transmission system.
§§ 585.430–585.431
[Reserved]
Lease or Grant Termination
§ 585.432 When does my lease or grant
terminate?
Your lease or grant terminates on
whichever of the following dates occurs
first:
(a) The expiration of the applicable
term of your lease or grant, unless your
term is automatically extended under
§ 585.235 or § 585.236, a request for
renewal of your lease or grant is
pending a decision by BOEM, or your
lease or grant is suspended or renewed
as provided in this subpart;
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(b) A cancellation, as set forth in
§ 585.422; or
(c) Relinquishment, as set forth in
§ 585.435.
§ 585.433 What must I do after my lease or
grant terminates?
(a) After your lease or grant
terminates, you must:
(1) Make all payments due, including
any accrued rentals and deferred
bonuses; and
(2) Perform any other outstanding
obligations under the lease or grant
within 6 months.
(b) Within 2 years following
termination of a lease or grant, you must
remove or dispose of all facilities,
installations, and other devices
permanently or temporarily attached to
the seabed on the OCS in accordance
with a plan approved by BOEM under
subpart F of this part or an application
approved by BSEE under 30 CFR part
285, subpart I.
(c) If you fail to comply with your
approved decommissioning plan or
application:
(1) BOEM may call for the forfeiture
of your financial assurance; and
(2) You remain liable for removal or
disposal costs and responsible for
accidents or damages that might result
from such failure.
§ 585.434 When may BOEM authorize
facilities to remain in place following
termination of a lease or grant?
(a) In your decommissioning
application that you submit to BSEE in
accordance with 30 CFR 285.902, you
may request that certain facilities
authorized in your lease or grant remain
in place for activities authorized in this
part, elsewhere in this subchapter, or by
other applicable Federal laws.
(b) BOEM may approve such requests
on a case-by-case basis considering the
following:
(1) Potential impacts to the marine
environment;
(2) Competing uses of the OCS;
(3) Impacts on marine safety and
National defense;
(4) Maintenance of adequate financial
assurance; and
(5) Other factors determined by the
Director.
(c) Except as provided in paragraph
(d) of this section, if BOEM authorizes
facilities to remain in place, the former
lessee or grantee under this part remains
jointly and severally liable for
decommissioning the facility unless
satisfactory evidence is provided to
BOEM showing that another party has
assumed that responsibility and has
secured adequate financial assurances.
(d) In your decommissioning
application, you may request that
certain facilities authorized in your
lease or grant be converted to an
artificial reef or otherwise toppled in
place. BOEM will evaluate all such
requests.
Lease or Grant Relinquishment
§ 585.435 How can I relinquish a lease or
a grant or parts of a lease or grant?
(a) You may surrender the lease or
grant, or an officially designated
subdivision thereof, by filing one paper
copy and one electronic copy of a
relinquishment application with BOEM.
A relinquishment takes effect on the
date we approve your application,
subject to the continued obligation of
the lessee and the surety to:
(1) Make all payments due on the
lease or grant, including any accrued
rent and deferred bonuses;
(2) Decommission all facilities on the
lease or grant to be relinquished to the
satisfaction of BSEE; and
(3) Perform any other outstanding
obligations under the lease or grant.
(b) Your relinquishment application
must include:
(1) Name;
(2) Contact name;
(3) Telephone number;
(4) Fax number;
(5) Email address;
(6) BOEM-assigned lease or grant
number, and, if applicable, the name of
any facility;
(7) A description of the geographic
area you are relinquishing;
(8) The name, title, and signature of
your authorizing official (the name, title,
and signature must match exactly the
name, title, and signature in BOEM
qualification records); and
(9) A statement that you will adhere
to the requirements of 30 CFR part 285,
subpart I.
(c) If you have submitted an
application to relinquish a lease or
khammond on DSKJM1Z7X2PROD with RULES2
Payment
6447
grant, you will be billed for any
outstanding payments that are due
before the relinquishment takes effect,
as provided in paragraph (a) of this
section.
Lease or Grant Contraction
§ 585.436 Can BOEM require lease or grant
contraction?
At an interval no more frequent than
every 5 years, BOEM may review your
lease or grant area to determine whether
the lease or grant area is larger than
needed to develop the project and
manage activities in a manner that is
consistent with the provisions of this
part. BOEM will notify you of our
proposal to contract the lease or grant
area.
(a) BOEM will give you the
opportunity to present orally or in
writing information demonstrating that
you need the area in question to manage
lease or grant activities consistent with
these regulations.
(b) Prior to taking action to contract
the lease or grant area, BOEM will issue
a decision addressing your contentions
that the area is needed.
(c) You may appeal this decision
under § 585.118.
Subpart E—Payments and Financial
Assurance Requirements
Payments
§ 585.500 How do I make payments under
this part?
(a) For acquisition fees or the initial
12 months’ rent paid for the preliminary
term of your lease, you must make your
electronic payments through the Fees
for Services page on the BOEM website
at https://www.boem.gov, and you must
include one copy of the Pay.gov
confirmation receipt page with your
unsolicited request.
(b) For all other required rent
payments and for operating fee
payments, you must make your
payments as required in 30 CFR
1218.51.
(c) This table summarizes payments
you must make for leases and grants,
unless otherwise specified in the Final
Sale Notice:
Due date
Payment
mechanism
With bid ..........................................
Pay.Gov .....
§ 585.501.
Lease issuance ..............................
30 CFR
1218.51.
Pay.gov ......
§ 585.502.
Amount
Section reference
Initial payments for leases
(1) If your lease is issued competitively.
Bid Deposit .........
As set in Final Sale Notice/depends on bid.
........................................................
Bonus Balance ...
(2) If your lease is issued noncompetitively.
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I
Acquisition Fee ...
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I
$0.25 per acre, unless otherwise
set by the Director.
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With application .............................
I
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(3) All leases ..................................
Payment
Amount
Due date
Payment
mechanism
Initial Rent ..........
$3 per acre per year ......................
45 days after lease issuance .........
Pay.gov ......
§ 585.503.
30 CFR
1218.51.
30 CFR
1218.51.
30 CFR
1218.51.
§§ 585.503 and
585.504.
§ 585.507.
Section reference
Subsequent payments for leases and project easements
(4) All leases ..................................
Subsequent Rent
$3 per acre per year ......................
Annually .........................................
(5) If you have a project easement
Rent ....................
(6) If your commercial lease is producing.
Operating Fee ....
Greater of $5 per acre per year or
$450 per year.
Determined by the formula in
§ 585.506.
When operations term for associated lease starts, then annually.
Annually .........................................
I
§ 585.506.
I
Payments for ROW grants and RUE grants 1
(7) All ROW grants and RUE
grants.
Initial Rent ..........
Subsequent Rent
1 There
Grant Issuance ..............................
Pay.gov ......
Annually or in 5-year batches ........
30 CFR
1218.51.
§ 585.508.
is no acquisition fee for ROW grants or RUE grants.
§ 585.501 What deposits must I submit for
a competitively issued lease, ROW grant, or
RUE grant?
(a) For a competitive lease or grant
that we offer through sealed bidding,
you must submit a deposit of 20 percent
of the total bid amount, unless some
other amount is specified in the Final
Sale Notice.
(b) For a competitive lease that we
offer through ascending bidding, you
must submit a deposit as established in
the Final Sale Notice.
(c) You must pay any balances on
accepted high bids in accordance with
the Final Sale Notice, this part, and your
lease or grant instrument.
(d) The deposit will be forfeited for
any successful bidder who fails to
execute the lease within the prescribed
time, or otherwise does not comply with
the regulations concerning acquisition
of a lease or grant or stipulations in the
Final Sale Notice.
§ 585.502 What initial payment
requirements must I meet to obtain a
noncompetitive lease, ROW grant, or RUE
grant?
khammond on DSKJM1Z7X2PROD with RULES2
$70 per statute mile, and the
greater of $5 per acre per year
or $450 per year.
........................................................
When requesting a noncompetitive
lease, you must meet the initial payment
(acquisition fee) requirements of this
section, unless specified otherwise in
your lease instrument. No initial
payment is required when requesting
noncompetitive ROW grants and RUE
grants.
(a) If you request a noncompetitive
lease, you must submit an acquisition
fee of $0.25 per acre, unless otherwise
set by the Director, as provided in
§ 585.500.
(b) If BOEM determines there is no
competitive interest, we will then:
(1) Retain your acquisition fee if we
issue you a lease; or
(2) Refund your acquisition fee,
without interest, if we do not issue your
requested lease.
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(c) If we determine that there is a
competitive interest in an area you
requested, then we will proceed with a
competitive lease sale process provided
for in subpart B of this part, and we will:
(1) Apply your acquisition fee to the
required deposit for your bid amount if
you submit a bid;
(2) Apply your acquisition fee to your
bonus bid if you acquire the lease; or
(3) Retain your acquisition fee if you
do not bid for or acquire the lease.
§ 585.503 What are the rent and operating
fee requirements for a commercial lease?
(a) The rent for a commercial lease is
$3 per acre per year, unless otherwise
established in the Final Sale Notice or
lease.
(1) You must pay ONRR the initial 12
months’ rent 45 days after you receive
the lease copies from BOEM in
accordance with the requirements
provided in § 585.500(a).
(2) You must pay ONRR, under the
regulations at 30 CFR part 1218, rent at
the beginning of each subsequent 1-year
period in accordance with the
regulations at 30 CFR 1218.51 for the
entire lease area until the facility begins
to generate commercially, as specified
in § 585.506 or as otherwise specified in
the Final Sale Notice or lease
instrument:
(i) For leases issued competitively,
BOEM will specify in the Final Sale
Notice and lease any adjustment to the
rent fee to take effect during the
operations term and prior to the
commercial generation.
(ii) For leases issued
noncompetitively, BOEM will specify in
the lease any adjustment to the rent fee
to take effect during the operations term
and prior to the commercial generation.
(3) You must pay ONRR, under the
regulations at 30 CFR part 1218, the rent
for a project easement in addition to the
lease rent, as provided in § 585.507. You
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must commence rent payments for your
project easement upon our approval of
your COP or GAP.
(b) After your lease begins commercial
generation of electricity or on the date
specified by BOEM, you must pay
operating fees in the amount specified
in § 585.506:
(1) For leases issued competitively,
BOEM will specify in the Final Sale
Notice and lease the date when
operating fees commence; and
(2) For leases issued
noncompetitively, BOEM will specify in
the lease the date when operating fee
commences.
§ 585.504 How are my payments affected if
I develop my lease in phases?
If you develop your commercial lease
in phases, as approved by us in your
COP under § 585.238, you must pay
ONRR, under the regulations at 30 CFR
part 1218:
(a) Rent on the portion of the lease
that is not authorized for commercial
operations.
(b) Operating fees on the portion of
the lease that is authorized for
commercial operations, in the amount
specified in § 585.506 and as described
in § 585.503(b).
(c) Rent for a project easement in
addition to lease rent, as provided in
§ 585.507. You must commence rent
payments for your project easement
upon our approval of your COP.
§ 585.505 What are the rent and operating
fee requirements for a limited lease?
(a) The rent for a limited lease is $3
per acre per year, unless otherwise
established in the Final Sale Notice and
your lease instrument.
(b) You must pay ONRR the initial 12
months’ rent 45 days after you receive
the lease copies from BOEM in
accordance with the requirements
provided in § 585.500(a).
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your commercial lease when you begin
commercial generation, as described in
§ 585.503.
(a) BOEM will determine the annual
operating fee for activities relating to the
generation of electricity on your lease
based on the following formula,
F = M * H * c * P * r,
(c) You must pay ONRR, under the
regulations at 30 CFR part 1218, rent at
the beginning of each subsequent 1-year
period on the entire lease area for the
duration of your operations term in
accordance with the regulations at 30
CFR 1218.51.
(d) BOEM will not charge an
operating fee for the authorized sale of
power from a limited lease.
Where:
(1) F is the dollar amount of the annual
operating fee;
(2) M is the nameplate capacity expressed in
megawatts;
(3) H is the number of hours in a year, equal
to 8,760, used to calculate an annual
payment;
§ 585.506 What operating fees must I pay
on a commercial lease?
If you are generating electricity, you
must pay ONRR, under the regulations
at 30 CFR part 1218, operating fees on
khammond on DSKJM1Z7X2PROD with RULES2
F
(annual operating fee)
=
M
(nameplate capacity)
(c) BOEM will specify operating fee
parameters in the Final Sale Notice for
commercial leases issued competitively
and in the lease for those issued
noncompetitively.
(1) Unless BOEM specifies otherwise,
in the operating fee rate, ‘‘r’’ is 0.02 for
each year the operating fee applies
when you begin commercial generation
of electricity. We may apply a different
fee rate for new projects (i.e., a new
generation based on new technology)
after considering factors such as
program objectives, state of the industry,
project type, and project potential. Also,
we may agree to reduce or waive the fee
rate under § 585.510.
(2) The power price ‘‘P,’’ for each year
when the operating fee applies, will be
determined annually. The process by
which the power price will be
determined will be specified in the
Final Sale Notice and/or in the lease.
BOEM:
(i) Will use the most recent annual
average wholesale power price in the
State in which a project’s transmission
cables make landfall, as published by
the DOE, Energy Information
Administration (EIA), or other publicly
available wholesale power price indices;
and
(ii) May adjust the published average
wholesale power price to reflect
documented variations by State or
within a region and recent market
conditions.
(3) BOEM will select the capacity
factor ‘‘c’’ based upon applicable
analogs drawn from present and future
domestic and foreign projects that
operate in comparable conditions and
on comparable scales.
(i) Upon the completion of the first
year of commercial operations on the
lease, BOEM may adjust the capacity
factor as necessary (to accurately
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H
(hours per year)
*
*
c
(capacity factor)
represent a comparison of actual
production over a given period of time
with the amount of power a facility
would have produced if it had run at
full capacity) in a subsequent year.
(ii) After the first adjustment, BOEM
may adjust the capacity factor (to
accurately represent a comparison of
actual generation over a given period of
time with the amount of power a facility
would have generated if it had run at
full capacity) no earlier than in 5-year
intervals from the most recent year that
BOEM adjusts the capacity factor.
(iii) The process by which BOEM will
adjust the capacity factor, including any
calculations (incorporating an average
capacity factor reflecting actual
operating experience), will be specified
in the lease. The operator or lessee may
request review and adjustment of the
capacity factor under § 585.510.
(4) Ten days after the anniversary date
of when you began to commercially
generate electricity, you must submit to
BOEM documentation of the gross
annual generation of electricity
produced by the generating facility on
the lease. You must use the same
information collection form as
authorized by the EIA for this
information.
(5) For the nameplate capacity ‘‘M,’’
BOEM will use the total installed
capacity of the equipment you install, as
specified in your approved COP.
(d) You must submit all operating fee
payments to ONRR in accordance with
the provisions under 30 CFR 1218.51.
(e) BOEM will establish the operating
fee in the Final Sale Notice or in the
lease on a case-by-case basis for:
(1) Activities that do not relate to the
generation of electricity (e.g., hydrogen
production), and
(2) Leases issued for hydrokinetic
activities requiring a FERC license.
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6449
(4) c is the ‘‘capacity factor’’ representing the
anticipated efficiency of the facility’s
operation expressed as a decimal
between zero and one;
(5) P is a measure of the annual average
wholesale electric power price expressed
in dollars per megawatt hour, as
provided in paragraph (c)(2) of this
section; and
(6) r is the operating fee rate expressed as a
decimal between zero and one.
(b) The annual operating fee formula
relating to the value of annual electricity
generation is restated as:
*
P
(power price)
*
r
(operating fee rate)
§ 585.507 What rent payments must I pay
on a project easement?
(a) You must pay ONRR, under the
regulations at 30 CFR part 1218, a rent
fee for your project easement of $5 per
acre, subject to a minimum of $450 per
year, unless specified otherwise in the
Final Sale Notice or lease:
(1) The size of the project easement
area for a cable or a pipeline is the full
length of the corridor and a width of 200
feet (61 meters), centered on the cable
or pipeline; and
(2) The size of a project easement area
for an accessory platform is limited to
the aerial extent of anchor chains and
other facilities and devices associated
with the accessory.
(b) You must commence rent
payments for your project easement
upon our approval of your COP or GAP:
(1) You must make the first rent
payment when the operations term
begins, as provided in § 585.500;
(2) You must submit all subsequent
rent payments in accordance with the
regulations at 30 CFR 1218.51; and
(3) You must continue to pay annual
rent for your project easement until your
lease is terminated.
§ 585.508 What rent payments must I pay
on ROW grants or RUE grants associated
with renewable energy projects?
(a) For each ROW grant BOEM
approves under subpart C of this part,
you must pay ONRR, under the
regulations at 30 CFR part 1218, an
annual rent as follows, unless specified
otherwise in the Final Sale Notice:
(1) A fee of $70 for each nautical mile
or part of a nautical mile of the OCS that
your ROW crosses; and
(2) An additional $5 per acre, subject
to a minimum of $450 for use of the
entire affected area, if you hold a ROW
grant that includes a site outside the
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corridor of a 200-foot width (61 meters),
centered on the cable or pipeline. The
affected area includes the areal extent of
anchor chains, risers, and other devices
associated with a site outside the
corridor.
(b) For each RUE grant BOEM
approves under subpart C of this part,
you must pay ONRR, under the
regulations at 30 CFR part 1218, a rent
of:
(1) $5 per acre per year; or
(2) A minimum of $450 per year.
(c) You must make the rent payments
required by paragraphs (a) and (b) of
this section on:
(1) An annual basis;
(2) For a 5-year period; or
(3) For multiples of 5 years.
(d) You must make the first annual
rent payment upon approval of your
ROW grant or RUE grant request, as
provided in § 585.500, and all
subsequent rent payments to ONRR in
accordance with the regulations at 30
CFR 1218.51.
§ 585.509 Who is responsible for
submitting lease or grant payments to
ONRR?
(a) For each lease, ROW grant, or RUE
grant issued under this part, you must
identify one person who is responsible
for all payments due and payable under
the provisions of the lease or grant. The
responsible person identified is
designated as the payor, and you must
document acceptance of such
responsibilities, as provided in 30 CFR
1218.52.
(b) All payors must submit payments
and maintain auditable records in
accordance with guidance we issue or
any applicable regulations in subchapter
A of this chapter. In addition, the lessee
or grant holder must also maintain such
auditable records.
§ 585.510 May BOEM reduce or waive my
lease or grant payments?
(a) The BOEM Director may reduce or
waive the rent or operating fee or
components of the operating fee, such as
the fee rate or capacity factor, when the
Director determines that it is necessary
to encourage continued or additional
activities.
(b) When requesting a reduction or
waiver, you must submit an application
to us that includes all of the following:
(1) The number of the lease, ROW
grant, or RUE grant involved;
(2) Name of each lessee or grant
holder of record;
(3) Name of each operator;
(4) A demonstration that:
(i) Continued activities would be
uneconomic without the requested
reduction or waiver, or
(ii) A reduction or waiver is necessary
to encourage additional activities; and
(5) Any other information required by
the Director.
(c) No more than 6 years of your
operations term will be subject to a full
waiver of the operating fee.
§§ 585.511–585.514
[Reserved]
Financial Assurance Requirements for
Commercial Leases
§ 585.515 What financial assurance must I
provide when I obtain my commercial
lease?
(a) Before BOEM will issue your
commercial lease or approve an
§ 585.516 What are the financial assurance
requirements for each stage of my
commercial lease?
(a) The basic financial assurance
requirements for each stage of your
commercial lease are as follows:
Before BOEM will . . .
You must provide . . .
(1) Issue a commercial lease or approve an assignment of an existing
commercial lease.
(2) Approve your SAP ..............................................................................
A $100,000 minimum, lease-specific financial assurance.
(3) Approve your COP ..............................................................................
(4) Allow you to install facilities approved in your COP ...........................
khammond on DSKJM1Z7X2PROD with RULES2
assignment of an existing commercial
lease, you (or, for an assignment, the
proposed assignee) must guarantee
compliance with all terms and
conditions of the lease by providing
either:
(1) A $100,000 minimum, leasespecific bond; or
(2) Another approved financial
assurance instrument guaranteeing
performance up to $100,000, as
specified in §§ 585.526 through 585.529.
(b) You meet the financial assurance
requirements under this subpart if your
designated lease operator provides a
$100,000 minimum, lease-specific bond
or other approved financial assurance
that guarantees compliance with all
terms and conditions of the lease.
(1) The dollar amount of the
minimum, lease-specific financial
assurance in paragraphs (a)(1) and (b) of
this section will be adjusted to reflect
changes in the Consumer Price IndexAll Urban Consumers (CPI–U) or a
substantially equivalent index if the
CPI–U is discontinued; and
(2) The first CPI–U-based adjustment
can be made no earlier than the 5-year
anniversary of the adoption of this rule.
Subsequent CPI–U-based adjustments
may be made every 5 years thereafter.
(b) Each bond or other financial
assurance must guarantee compliance
with all terms and conditions of the
lease. You may provide a new bond or
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A supplemental bond or other financial assurance, in an amount determined by BOEM, if upon reviewing your SAP, BOEM determines that
a supplemental bond is required in addition to your minimum leasespecific bond, due to the complexity, number, and location of any facilities involved in your site assessment activities.
A supplemental bond or other financial assurance, in an amount determined by BOEM based on the complexity, number, and location of
all facilities involved in your planned activities and commercial operation. The supplemental financial assurance requirement is in addition to your lease-specific bond and, if applicable, the previous supplement associated with SAP approval.
A decommissioning bond or other financial assurance, in an amount
determined by BOEM based on anticipated decommissioning costs.
BOEM will allow you to provide your financial assurance for decommissioning in accordance with the number of facilities installed or
being installed. BOEM must approve the schedule for providing the
appropriate financial assurance coverage.
increase the amount of your existing
bond, to satisfy any additional financial
assurance requirements.
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(c) For hydrokinetic commercial
leases, supplemental financial assurance
may be required in an amount
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determined by BOEM before FERC
issues a license.
§ 585.517 How will BOEM determine the
amounts of the supplemental and
decommissioning financial assurance
requirements associated with commercial
leases?
(a) BOEM will base the determination
for the amounts of the SAP, COP, and
decommissioning financial assurance
requirements on estimates of the cost to
meet all accrued lease obligations.
(b) We determine the amount of the
supplemental and decommissioning
financial assurance requirements on a
case-by-case basis. The amount of the
financial assurance must be no less than
the amount required to meet all lease
obligations, including:
(1) The projected amount of rent and
other payments due the Government
over the next 12 months;
(2) Any past due rent and other
payments;
(3) Other monetary obligations; and
(4) The estimated cost of facility
decommissioning, as required by 30
CFR part 285, subpart I.
(c) If your cumulative potential
obligations and liabilities increase or
decrease, we may adjust the amount of
supplemental or the decommissioning
financial assurance.
(1) If we propose adjusting your
financial assurance amount, we will
notify you of the proposed adjustment
and give you an opportunity to
comment; and
(2) We may approve a reduced
financial assurance amount if you
request it and if the reduced amount
that you request continues to be greater
than the sum of:
(i) The projected amount of rent and
other payments due the Government
over the next 12 months;
(ii) Any past due rent and other
payments;
(iii) Other monetary obligations; and
(iv) The estimated cost of facility
decommissioning.
§§ 585.518–585.519
[Reserved]
Financial Assurance for Limited Leases,
ROW Grants, and RUE Grants
khammond on DSKJM1Z7X2PROD with RULES2
§ 585.520 What financial assurance must I
provide when I obtain my limited lease,
ROW grant, or RUE grant?
(a) Before BOEM will issue your
limited lease, ROW grant, or RUE grant,
you or a proposed assignee must
guarantee compliance with all terms
and conditions of the lease or grant by
providing either:
(1) A $300,000 minimum, lease- or
grant-specific bond; or
(2) Another approved financial
assurance instrument of such minimum
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Jkt 259001
level as specified in §§ 585.526 through
585.529.
(b) You meet the financial assurance
requirements under this subpart if your
designated lease or grant operator
provides a minimum limited leasespecific or grant-specific bond in an
amount sufficient to guarantee
compliance with all terms and
conditions of the limited lease or grant.
(1) The dollar amount of the
minimum, lease- or grant-specific
financial assurance in paragraph (a)(1)
of this section will be adjusted to reflect
changes in the CPI–U or a substantially
equivalent index if the CPI–U is
discontinued; and
(2) The first CPI–U-based adjustment
can be made no earlier than the 5-year
anniversary of the adoption of this rule.
Subsequent CPI–U-based adjustments
may be made every 5 years thereafter.
§ 585.521 Do my financial assurance
requirements change as activities progress
on my limited lease or grant?
(a) BOEM may require you to increase
the level of your financial assurance as
activities progress on your limited lease
or grant. We will base the determination
for the amount of financial assurance
requirements on our estimate of the cost
to meet all accrued lease or grant
obligations, including:
(1) The projected amount of rent and
other payments due the Government
over the next 12 months;
(2) Any past due rent and other
payments;
(3) Other monetary obligations; and
(4) The estimated cost of facility
decommissioning.
(b) You may satisfy the requirement
for increased financial assurance levels
for the limited lease or grant by
increasing the amount of your existing
bond or replacing your existing bond.
(c) BOEM will authorize you to
establish a separate decommissioning
bond or other financial assurance for
your limited lease or grant.
(1) The separate decommissioning
bond or other financial assurance
instrument must meet the requirements
specified in §§ 585.525 through 585.529.
(2) BOEM will allow you to provide
your financial assurance for
decommissioning in accordance with
the number of facilities installed or
being installed. BOEM must approve the
schedule for providing the appropriate
financial assurance coverage.
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§§ 585.522–585.524
6451
[Reserved]
Requirements for Financial Assurance
Instruments
§ 585.525 What general requirements must
a financial assurance instrument meet?
(a) Any bond or other acceptable
financial assurance instrument that you
provide must:
(1) Be payable to BOEM upon
demand; and
(2) Guarantee compliance of all
lessees, grant holders, operators, and
payors with all terms and conditions of
the lease or grant, any subsequent
approvals and authorizations, and all
applicable regulations.
(b) All bonds and other forms of
financial assurance must be on or in a
form approved by BOEM. You may
submit this on an approved form that
you have reproduced or generated by
use of a computer. If the document you
submit omits any terms and conditions
that are included on the BOEMapproved form, your bond is deemed to
contain the omitted terms and
conditions.
(c) Surety bonds must be issued by an
approved surety listed in the current
Treasury Circular 570, as required by 31
CFR 223.16. You may obtain a copy of
Circular 570 from the Treasury website
at https://www.fms.treas.gov/c570/.
(d) Your surety bond cannot exceed
the underwriting limit listed in the
current Treasury Circular 570, except as
permitted therein.
(e) You and a qualified surety must
execute your bond. When the surety is
a corporation, an authorized corporate
officer must sign the bond and attest to
it over the corporate seal.
(f) You may not terminate the period
of liability of your bond or cancel your
bond, except as provided in this
subpart. Bonds must continue in full
force and effect even though an event
has occurred that could diminish or
terminate a surety’s obligation under
State law.
(g) Your surety must notify you and
BOEM within 5 business days after:
(1) It initiates any judicial or
administrative proceeding alleging its
insolvency or bankruptcy; or
(2) The Treasury decertifies the
surety.
§ 585.526 What instruments other than a
surety bond may I use to meet the financial
assurance requirement?
(a) You may use other types of
security instruments, if BOEM
determines that such security protects
BOEM to the same extent as the surety
bond. BOEM will consider pledges of
the following:
(1) U.S. Department of Treasury
securities identified in 31 CFR part 225;
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(2) Cash in an amount equal to the
required dollar amount of the financial
assurance, to be deposited and
maintained in a Federal depository
account of the U.S. Treasury by BOEM;
(3) Certificates of deposit or savings
accounts in a bank or financial
institution organized or authorized to
transact business in the United States
with:
(i) Minimum net assets of
$500,000,000; and
(ii) Minimum Bankrate.com Safe &
Sound rating of 3 Stars, and
Capitalization, Assets, Equity and
Liquidity (CAEL) rating of 3 or less;
(4) Negotiable U.S. Government, State,
and municipal securities or bonds
having a market value of not less than
the required dollar amount of the
financial assurance and maintained in a
Securities Investors Protection
Corporation insured trust account by a
licensed securities brokerage firm for
the benefit of BOEM;
(5) Investment-grade rated securities
having a Standard and Poor’s rating of
AAA or an equivalent rating from a
nationally recognized securities rating
service having a market value of not less
than the required dollar amount of the
financial assurance and maintained in a
Securities Investors Protection
Corporation insured trust account by a
licensed securities brokerage firm for
the benefit of BOEM; and
(6) Insurance, if its form and function
is such that the funding or enforceable
pledges of funding are used to guarantee
performance of regulatory obligations in
the event of default on such obligations
by the lessee. Insurance must have an
A.M. Best rating of ‘‘superior’’ or an
equivalent rating from a nationally
recognized insurance rating service.
(b) If you use a Treasury security:
(1) You must post 115 percent of your
financial assurance amount;
(2) You must monitor the collateral
value of your security. If the collateral
value of your security as determined in
accordance with the 31 CFR part 203
Collateral Margins Table (which can be
found at https://www.treasurydirect.gov)
falls below the required level of
coverage, you must pledge additional
security to provide 115 percent of the
required amount; and
(3) You must include with your
pledge authority for us to sell the
security and use the proceeds if we
determine that you have failed to
comply with any of the terms and
conditions of your lease or grant, any
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subsequent approval or authorization, or
applicable regulations.
(c) If you use the instruments
described in paragraph (a)(4) or (5) of
this section, you must provide BOEM by
the end of each calendar year a certified
statement describing the nature and
market value of the instruments
maintained in that account, and
including any current statements or
reports furnished by the brokerage firm
to the lessee concerning the asset value
of the account.
§ 585.527 May I demonstrate financial
strength and reliability to meet the financial
assurance requirement for lease or grant
activities?
BOEM may allow you to use your
financial strength and reliability to meet
financial assurance requirements. We
will make this determination based on
audited financial statements, business
stability, reliability, and compliance
with regulations.
(a) You must provide the following
information if you want to demonstrate
financial strength and reliability to meet
your financial assurance requirements:
(1) Audited financial statements
(including auditor’s certificate, balance
sheet, and profit and loss sheet) that
show you have financial capacity
substantially in excess of existing and
anticipated lease and other obligations;
(2) Evidence that shows business
stability based on 5 years of continuous
operation and generation of renewable
energy on the OCS or onshore;
(3) Evidence that shows reliability in
meeting obligations based on credit
ratings or trade references, including
names and addresses of other lessees,
contractors, and suppliers with whom
you have dealt; and
(4) Evidence that shows a record of
compliance with laws, regulations, and
lease, ROW, or RUE terms.
(b) If we approve your request to use
your financial strength and reliability to
meet your financial assurance
requirements, you must submit annual
updates to the information required by
paragraph (a) of this section. You must
submit this information no later than
March 31 of each year.
(c) If the annual updates to the
information required by paragraph (a) of
this section do not continue to
demonstrate financial strength and
reliability or BOEM has reason to
believe that you are unable to meet the
financial assurance requirements of this
section, after notice and opportunity for
a hearing, BOEM will terminate your
ability to use financial strength and
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reliability for financial assurance and
require you to provide another type of
financial assurance. You must provide
this new financial assurance instrument
within 90 days after we terminate your
use of financial strength and reliability.
§ 585.528 May I use a third-party guaranty
to meet the financial assurance requirement
for lease or grant activities?
(a) You may use a third-party
guaranty if the guarantor meets the
criteria prescribed in paragraph (b) of
this section and submits an agreement
meeting the criteria prescribed in
paragraph (c) of this section. The
agreement must guarantee compliance
with the obligations of all lessees and
operators and grant holders.
(b) BOEM will consider the following
factors in deciding whether to accept an
agreement:
(1) The length of time that your
guarantor has been in continuous
operation as a business entity. You may
exclude periods of interruption that are
beyond the guarantor’s control by
demonstrating, to the satisfaction of the
Director, that the interruptions do not
affect the likelihood of your guarantor
remaining in business during the SAP,
COP, and decommissioning stages of
activities covered by the indemnity
agreement.
(2) Financial information available in
the public record or submitted by your
guarantor in sufficient detail to show us
that your guarantor meets the criterion
stated in paragraph (b)(4) of this section.
Such detail includes:
(i) The current rating for your
guarantor’s most recent bond issuance
by a generally recognized bond rating
service such as Moody’s Investor
Service or Standard and Poor’s
Corporation;
(ii) Your guarantor’s net worth, taking
into account liabilities for compliance
with all terms and conditions of your
lease, regulations, and other guarantees;
(iii) Your guarantor’s ratio of current
assets to current liabilities, taking into
account liabilities for compliance with
all terms and conditions of your lease,
regulations, and other guarantees; and
(iv) Your guarantor’s unencumbered
domestic fixed assets.
(3) If the information in paragraph
(b)(2) of this section is not publicly
available, your guarantor must submit
the information in the following table,
to be updated annually within 90 days
of the end of the fiscal year (FY) or as
otherwise prescribed.
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Your guarantor must submit . . .
That . . .
(i) Financial statements for the most recently completed FY ..................
Include a report by an independent certified public accountant containing the accountant’s audit or review opinion of the statements.
The report must be prepared in conformance with generally accepted
accounting principles and contain no adverse opinion.
Your guarantor’s financial officer certifies to be correct.
Your guarantor’s financial officer certifies to be correct.
(ii) Financial statement for completed quarter in the current FY .............
(iii) Additional information related to bonds, if requested by the Director
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(4) Your guarantor’s total outstanding
and proposed guarantees must not
exceed 25 percent of its unencumbered
domestic net worth.
(c) Your guarantor must submit an
agreement executed by the guarantor
and all parties bound by the agreement.
All parties are bound jointly and
severally and must meet the
qualifications set forth in § 585.107.
(1) When any party is a corporation,
two corporate officers authorized to
execute the guaranty agreement on
behalf of the corporation must sign the
agreement.
(2) When any party is a partnership,
joint venture, or syndicate, the guaranty
agreement must bind each party who
has a beneficial interest in your
guarantor and provide that, upon BOEM
demand under your guaranty, each
party is jointly and severally liable for
compliance with all terms and
conditions of your lease(s) or grant(s)
covered by the agreement.
(3) When forfeiture of the guaranty is
called for, the agreement must provide
that your guarantor will either bring
your lease(s) or grant(s) into compliance
or provide, within 7 days, sufficient
funds to permit BOEM to complete
corrective action.
(4) The guaranty agreement must
contain a confession of judgment,
providing that, if we determine that you
are, or your operator or operating rights
owner is, in default, the guarantor must
not challenge the determination and
must remedy the default.
(5) If you fail, or your operator or
operating rights owner fails, to comply
with any law, term, or regulation, your
guarantor must either take corrective
action or provide, within 7 days or other
agreed upon time period, sufficient
funds for BOEM to complete corrective
action. Such compliance must not
reduce your guarantor’s liability.
(6) If your guarantor wants to
terminate the period of liability, your
guarantor must notify you and us at
least 90 days before the proposed
termination date, obtain our approval
for termination of all or a specified
portion of the guarantee for liabilities
arising after that date, and remain liable
for all your work performed during the
period the agreement is in effect.
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(7) Each guaranty submitted pursuant
to this section is deemed to contain all
the above terms, even if they are not
actually in the agreement.
(d) Before the termination of your
guaranty, you must provide an
acceptable replacement in the form of a
bond or other security.
§ 585.529 Can I use a lease- or grantspecific decommissioning account to meet
the financial assurance requirements
related to decommissioning?
(a) In lieu of a surety bond, BOEM
may authorize you to establish a
lease-, ROW grant-, or RUE grantspecific decommissioning account in a
federally insured institution. The funds
may not be withdrawn from the account
without our written approval.
(1) The funds must be payable to
BOEM and pledged to meet your lease
or grant decommissioning and site
clearance obligations; and
(2) You must fully fund the account
within the time BOEM prescribes to
cover all costs of decommissioning
including site clearance. BOEM will
estimate the cost of decommissioning,
including site clearance.
(b) Any interest paid on the account
will be treated as account funds unless
we authorize in writing that any interest
be paid to the depositor.
(c) We may allow you to pledge
Treasury securities, payable to BOEM
on demand, to satisfy your obligation to
make payments into the account.
Acceptable Treasury securities and their
collateral value are determined in
accordance with 31 CFR part 203,
Collateral Margins Table (which can be
found at https://www.treasurydirect.gov).
(d) We may require you to commit a
specified stream of revenues as payment
into the account so that the account will
be fully funded, as prescribed in
paragraph (a)(2) of this section. The
commitment may include revenue from
other operations.
Changes in Financial Assurance
§ 585.530 What must I do if my financial
assurance lapses?
(a) If your surety is decertified by the
Treasury, becomes bankrupt or
insolvent, or if your surety’s charter or
license is suspended or revoked, or if
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any other approved financial assurance
expires for any reason, you must:
(1) Inform BOEM within 3 business
days about the financial assurance
lapse; and
(2) Provide new financial assurance in
the amount set by BOEM, as provided
in this subpart.
(b) You must notify BOEM within 3
business days after you learn of any
action filed alleging that you, your
surety, or third-party guarantor, is
insolvent or bankrupt.
§ 585.531 What happens if the value of my
financial assurance is reduced?
If the value of your financial
assurance is reduced below the required
financial assurance amount because of a
default or any other reason, you must
provide additional financial assurance
sufficient to meet the requirements of
this subpart within 45 days or within a
different period as specified by BOEM.
§ 585.532 What happens if my surety
wants to terminate the period of liability of
my bond?
(a) Terminating the period of liability
of a bond ends the period during which
surety liability continues to accrue. The
surety continues to be responsible for
obligations and liabilities that accrued
during the period of liability and before
the date on which BOEM terminates the
period of liability under paragraph (b) of
this section. The liabilities that accrue
during a period of liability include:
(1) Obligations that started to accrue
before the beginning of the period of
liability and have not been met; and
(2) Obligations that began accruing
during the period of liability.
(b) Your surety must submit to BOEM
its request to terminate the period of
liability under its bond and notify you
of that request. If you intend to continue
activities, or have not met all obligations
of your lease or grant, you must provide
a replacement bond or alternative form
of financial assurance of equivalent or
greater value. BOEM will terminate that
period of liability within 90 days after
BOEM receives the request.
§ 585.533 How does my surety obtain
cancellation of my bond?
(a) BOEM will release a bond or allow
a surety to cancel a bond, and will
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relieve the surety from accrued
obligations only if:
(1) BOEM determines that there are no
outstanding obligations covered by the
bond; or
(2) The following occurs:
(i) BOEM accepts a replacement bond
or an alternative form of financial
assurance in an amount equal to or
greater than the bond to be cancelled to
cover the terminated period of liability;
(ii) The surety issuing the new bond
has expressly agreed to assume all
outstanding liabilities under the original
bond that accrued during the period of
liability that was terminated; and
(iii) The surety issuing the new bond
has agreed to assume that portion of the
Bond
appeals or judicial litigation related to
your bonded obligation, or for BOEM to
determine that all of your obligations
under the lease or grant have been
satisfied; and
(3) BOEM will reduce the amount of
your bond or return a portion of your
financial assurance if we determine that
we need less than the full amount of the
bond or financial assurance to meet any
possible future obligations.
§ 585.534
bond?
When may BOEM cancel my
When your lease or grant ends, your
surety(ies) remain(s) responsible, and
BOEM will retain any pledged security
as shown in the following table:
The period of liability ends . . .
Your bond will not be released until . . .
(a) Bonds for commercial leases submitted
under § 585.515.
When BOEM determines that you have met
all of your obligations under the lease.
(b) Supplemental or decommissioning bonds
submitted under § 585.516.
When BOEM determines that you have met
all your decommissioning, site clearance,
and other obligations.
(c) Bonds submitted under §§ 585.520 and
585.521 for limited leases, ROW grants, or
RUE grants.
When BOEM determines that you have met
all of your obligations under the limited
lease or grant.
Seven years after the lease ends, or a longer
period as necessary to complete any appeals or judicial litigation related to your
bond obligation. BOEM will reduce the
amount of your bond or return a portion of
your security if BOEM determines that you
need less than the full amount of the bond
to meet any possible future obligations.
(1) Seven years after the lease ends, or a
longer period as necessary to complete any
appeals or judicial litigation related to your
bond obligation. BOEM will reduce the
amount of your bond or return a portion of
your security if BOEM determines that you
need less than the full amount of the bond
to meet any possible future obligations; and
(2) BOEM determines that the potential liability resulting from any undetected noncompliance is not greater than the amount
of the lease base bond.
Seven years after the limited lease, ROW, or
RUE grant or a longer period as necessary
to complete any appeals or judicial litigation
related to your bond obligation. BOEM will
reduce the amount of your bond or return a
portion of your security if BOEM determines
that you need less than the full amount of
the bond to meet any possible future obligations.
§ 585.535 Why might BOEM call for
forfeiture of my bond?
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outstanding liabilities that accrued
during the terminated period of liability
that exceeds the coverage of the bond
prescribed under § 585.515, § 585.516,
§ 585.520, or § 585.521, and of which
you were notified.
(b) When your lease or grant ends,
your surety(ies) remain(s) responsible,
and BOEM will retain any financial
assurance as follows:
(1) The period of liability ends when
you cease all operations and activities
under the lease or grant, including
decommissioning and site clearance;
(2) Your surety or collateral financial
assurance will not be released until 7
years after the lease ends, or a longer
period as necessary to complete any
person approved to perform obligations
under your lease or grant.
(a) BOEM may call for forfeiture of all
or part of the bond, pledged security, or
other form of guaranty if:
(1) After notice and demand for
performance, you refuse or fail, within
the timeframe prescribed, to comply
with any term or condition of your lease
or grant, other authorization or
approval, or applicable regulations; or
(2) You default on one of the
conditions under which we accepted
your bond.
(b) We may pursue forfeiture without
first making demands for performance
against any co-lessee or holder of an
interest in your ROW or RUE, or other
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§ 585.536 How will I be notified of a call for
forfeiture?
(a) BOEM will notify you and your
surety, including any provider of
financial assurance, in writing of the
call for forfeiture and provide the
reasons for the forfeiture and the
amount to be forfeited. We will base the
amount upon an estimate of the total
cost of corrective action to bring your
lease or grant into compliance.
(b) We will advise you and your
surety that you may avoid forfeiture if,
within 10 business days:
(1) You agree to and demonstrate in
writing to BOEM that you will bring
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your lease or grant into compliance
within the timeframe we prescribe, and
you do so; or
(2) Your surety agrees to and
demonstrates that it will bring your
lease or grant into compliance within
the timeframe we prescribe, even if the
cost of compliance exceeds the face
amount of the bond.
§ 585.537 How will BOEM proceed once
my bond or other security is forfeited?
(a) If BOEM determines that your
bond or other security is forfeited, we
will collect the forfeited amount and use
the funds to bring your lease or grant(s)
into compliance and correct any default.
(b) If the amount collected under your
bond or other security is insufficient to
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pay the full cost of corrective action,
BOEM may take or direct action to
obtain full compliance and recover all
costs in excess of the forfeited bond
from you or any co-lessee or co-grantee.
(c) If the amount collected under your
bond or other security exceeds the full
cost of corrective action to bring your
lease or grant(s) into compliance, we
will return the excess funds to the party
from whom the excess was collected.
§§ 585.538–585.539
[Reserved]
Revenue Sharing With States
§ 585.540 How will BOEM equitably
distribute revenues to States?
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(a) BOEM will distribute among the
eligible coastal States 27 percent of the
following revenues derived from
qualified projects, where a qualified
project and qualified project area is
determined in § 585.541 and an eligible
State is determined in § 585.542, with
each term defined in § 585.113.
Revenues subject to distribution to
eligible States include all bonuses,
acquisition fees, rentals, and operating
fees derived from the entire qualified
project area and associated project
easements not limited to revenues
attributable to the portion of the project
area within 3 miles of the seaward
boundary of a coastal State. The
revenues to be shared do not include
administrative fees such as service fees
and those assessed for civil penalties
and forfeiture of bond or other surety
obligations.
(b) The project area is the area
included within a single lease or grant.
For each qualified project, BOEM will
determine and announce the project
area and its geographic center at the
time it grants or issues a lease,
easement, or right-of-way on the OCS. If
a qualified project lease or grant’s
boundaries change significantly due to
actions pursuant to § 585.435 or
§ 585.436, BOEM will re-evaluate the
project area to determine whether the
geographic center has changed. If it has,
BOEM will re-determine State eligibility
and shares accordingly.
(c) To determine each eligible State’s
share of the 27 percent of the revenues
for a qualified project, BOEM will use
the inverse distance formula, which
apportions shares according to the
relative proximity of the nearest point
on the coastline of each eligible State to
the geographic center of the qualified
project area. If Si is equal to the nearest
distance from the geographic center of
the project area to the i = 1, 2, * * * nth
eligible State’s coastline, then eligible
State i would be entitled to the fraction
Fi of the 27-percent aggregate revenue
share due to all the eligible States
according to the formula:
Fi= (1/Si) ÷ (Si=1 * * *n(1/Si)).
§ 585.541 What is a qualified project for
revenue sharing purposes?
A qualified project for the purpose of
revenue sharing with eligible coastal
States is one authorized under
subsection 8(p) of the OCS Lands Act,
which includes acreage within the area
extending 3 nautical miles seaward of
State submerged lands. A qualified
project is subject to revenue sharing
with those States that are eligible for
revenue sharing under § 585.542. The
entire area within a lease or grant for the
qualified project, excluding project
easements, is considered the qualified
project area.
§ 585.542 What makes a State eligible for
payment of revenues?
A State is eligible for payment of
revenues if any part of the State’s
coastline is located within 15 miles of
the announced geographic center of the
project area of a qualified project. A
State is not eligible for revenue sharing
if all parts of that State’s coastline are
more than 15 miles from the announced
geographic center of the qualified
project area. This is the case even if the
qualified project area is located wholly
or partially within an area extending 3
nautical miles seaward of the
submerged lands of that State or if there
are no States with a coastline less than
15 miles from the announced
geographic center of the qualified
project area.
§ 585.543 Example of how the inverse
distance formula works.
(a) Assume that the geographic center
of the project area lies 12 miles from the
closest coastline point of State A and 4
miles from the closest coastline point of
State B. BOEM will round dollar shares
to the nearest whole dollar. The
proportional share due each State would
be calculated as follows:
(1) State A’s share = [(1⁄12) ÷ (1⁄12 + 1⁄4)]
= 1⁄4.
(2) State B’s share = [(1⁄4) ÷ (1⁄12 + 1⁄4)]
= 3⁄4.
(b) Therefore, State B would receive a
share of revenues that is three times as
large as that awarded to State A, based
on the finding that State B’s nearest
coastline is one-third the distance to the
geographic center of the qualified
project area as compared to State A’s
nearest coastline. Eligible States share
the 27 percent of the total revenues from
the qualified project as mandated under
the OCS Lands Act. Hence, if the
qualified project generates $1,000,000 of
Federal revenues in a given year, the
Federal Government would distribute
the States’ 27-percent share as follows:
(1) State A’s share = $270,000 × 1⁄4 =
$67,500.
(2) State B’s share = $270,000 × 3⁄4 =
$202,500.
Subpart F—Plan Requirements
§ 585.600 What plans must I submit to
BOEM before I conduct activities on my
lease or grant?
You must submit a SAP, COP, or GAP
and receive BOEM approval as set forth
in the following table:
Before you:
You must submit and obtain approval for your:
(a) Conduct any site assessment activities on your commercial lease ...
(b) Conduct any activities pertaining to construction of facilities for commercial operations on your commercial lease.
(c) Conduct any activities on your limited lease, ROW grant, or RUE
grant in any OCS area.
SAP, according to §§ 585.605 through 585.613.
COP, according to §§ 585.620 through 585.628.
§ 585.601 When am I required to submit
my plans to BOEM?
You must submit your plans as
follows:
(a) You may submit your SAP or GAP
prior to lease or grant issuance, but must
submit your SAP or GAP no later than
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GAP, according to §§ 585.640 through 585.648.
12 months from the date of lease or
grant issuance.
(b) If you intend to continue your
commercial lease with an operations
term, you must submit a COP, or a FERC
license application, at least 6 months
before the end of your site assessment
term.
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(c) You may submit your COP or
FERC license application with your
SAP.
(1) You must provide sufficient data
and information with your COP for
BOEM to complete the needed reviews
and NEPA analysis; and
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(2) BOEM may need to conduct
additional reviews, including NEPA
analysis, if significant new information
becomes available after you complete
your site assessment activities or you
revise your COP. As a result of the
additional reviews, we may require
modification of your COP.
§ § 585.602–585.604
[Reserved]
Site Assessment Plan and Information
Requirements for Commercial Leases
§ 585.605
(SAP)?
What is a Site Assessment Plan
(a) A SAP describes the activities (e.g.,
installation of meteorological towers,
meteorological buoys) you plan to
perform for the characterization of your
commercial lease, including your
project easement, or to test technology
devices.
(1) Your SAP must describe how you
will conduct your resource assessment
(e.g., meteorological and oceanographic
data collection) or technology testing
activities; and
(2) BOEM will withhold trade secrets
and commercial or financial information
that is privileged or confidential from
public disclosure under exemption 4 of
the FOIA and as provided in § 585.114.
(b) Your SAP must include data from:
(1) Physical characterization surveys
(e.g., geological and geophysical surveys
or hazards surveys); and
(2) Baseline environmental surveys
(e.g., biological or archaeological
surveys).
(c) You must receive BOEM approval
of your SAP before you can begin any
of the approved activities on your lease,
as provided in § 585.613.
(d) If you propose to construct a
facility or combination of facilities
deemed by BOEM to be complex or
significant, as provided in
§ 585.613(a)(1), you must also comply
with the requirements of 30 CFR part
285, subpart G, and submit your safety
management system as required by 30
CFR 285.810.
those involved with national security or
defense;
(4) Does not cause undue harm or
damage to natural resources; life
(including human and wildlife);
property; the marine, coastal, or human
environment; or sites, structures, or
objects of historical or archaeological
significance;
(5) Uses best available and safest
technology;
(6) Uses best management practices;
and
(7) Uses properly trained personnel.
(b) You must also demonstrate that
your site assessment activities will
collect the necessary information and
data required for your COP, as provided
in § 585.626(a).
§ 585.606
SAP?
§ 585.607
What must I demonstrate in my
(a) Your SAP must demonstrate that
you have planned and are prepared to
conduct the proposed site assessment
activities in a manner that conforms to
your responsibilities listed in
§ 585.105(a) and:
(1) Conforms to all applicable laws,
regulations, and lease provisions of your
commercial lease;
(2) Is safe;
(3) Does not unreasonably interfere
with other uses of the OCS, including
§§ 585.608–585.609
[Reserved]
Contents of the Site Assessment Plan
§ 585.610
What must I include in my SAP?
Your SAP must include the following
information, as applicable.
(a) For all activities you propose to
conduct under your SAP, you must
provide the following information:
Project information:
Including:
(1) Contact information .............................................................................
The name, address, e-mail address, and phone number of an authorized representative.
A discussion of the objectives; description of the proposed activities, including the technology you will use; and proposed schedule from
start to completion.
As provided in § 585.405.
A description of the measures you took, or will take, to satisfy the conditions of any lease stipulations related to your proposed activities.
The surface location and water depth for all proposed and existing
structures, facilities, and appurtenances located both offshore and
onshore.
Information for each type of facility associated with your project.
A description of the safety, prevention, and environmental protection
features or measures that you will use.
A description of the measures you will use to avoid or minimize adverse effects and any potential incidental take, before you conduct
activities on your lease, and how you will mitigate environmental impacts from your proposed activities, including a description of the
measures you will use as required by 30 CFR part 285, subpart H.
CVA nominations for reports in 30 CFR part 285, subpart G, as required by § 285.706, or a request to waive the CVA requirement, as
required by § 285.705.
A list of any document or published source that you cite as part of your
plan. You may reference information and data discussed in other
plans you previously submitted or that are otherwise readily available
to BOEM.
A discussion of methodologies.
Information as described in § 585.700.
A statement indicating whether such authorization or approval has
been applied for or obtained.
Contact information and issues discussed.
(2) The site assessment or technology testing concept ..........................
(3) Designation of operator, if applicable .................................................
(4) Commercial lease stipulations and compliance .................................
(5) A location plat .....................................................................................
(6) General structural and project design, fabrication, and installation ...
(7) Deployment activities ..........................................................................
(8) Your proposed measures for avoiding, minimizing, reducing, eliminating, and monitoring environmental impacts.
(9) CVA nomination, if required ................................................................
(10) Reference information .......................................................................
khammond on DSKJM1Z7X2PROD with RULES2
How do I submit my SAP?
You must submit one paper copy and
one electronic version of your SAP to
BOEM at the address listed in § 585.110.
(11) Decommissioning and site clearance procedures ............................
(12) Air quality information .......................................................................
(13) A listing of all Federal, State, and local authorizations or approvals
required to conduct site assessment activities on your lease.
(14) A list of agencies and persons with whom you have communicated, or with whom you will communicate, regarding potential impacts associated with your proposed activities.
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Project information:
Including:
(15) Financial assurance information .......................................................
Statements attesting that the activities and facilities proposed in your
SAP are or will be covered by an appropriate bond or other approved security, as required in §§ 585.515 and 585.516.
Additional information as requested by BOEM.
(16) Other information ..............................................................................
(b) You must provide the results of
geophysical and geological surveys,
hazards surveys, archaeological surveys
(if required), and baseline collection
Information
Including
(1) Geotechnical ...................
The results from the geotechnical survey with supporting data.
(2) Shallow hazards .............
The results from the shallow hazards survey with supporting data.
(3) Archaeological resources
The results from the archaeological survey with supporting data, if required.
(4) Geological survey ...........
The results from the geological survey with supporting
data.
(5) Biological survey ............
The results from the biological survey with supporting
data.
(1) You must provide sufficient data
and information with your COP or FERC
license application for BOEM and/or
FERC to complete the needed reviews
and NEPA analysis.
(2) You may need to revise your COP
or FERC license application and BOEM
and/or FERC may need to conduct
additional reviews, including NEPA
analysis, if new information becomes
available after you complete your site
assessment activities.
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studies (e.g., biological) with the
supporting data in your SAP:
Report contents
(c) If you submit your COP or FERC
license application with your SAP then:
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A description of all relevant seabed and engineering
data and information to allow for the design of the
foundation for that facility. You must provide data and
information to depths below which the underlying
conditions will not influence the integrity or performance of the structure. This could include a series of
sampling locations (borings and in situ tests) as well
as laboratory testing of soil samples, but may consist
of a minimum of one deep boring with samples.
A description of information sufficient to determine the
presence of the following features and their likely effects on your proposed facility, including:
(i) Shallow faults;
(ii) Gas seeps or shallow gas;
(iii) Slump blocks or slump sediments;
(iv) Hydrates; and
(v) Ice scour of seabed sediments.
(i) A description of the results and data from the archaeological survey;
(ii) A description of the historic and prehistoric archaeological resources, as required by the National Historic Preservation Act (NHPA) of 1966, as amended.
A report that describes the results of a geological survey that includes descriptions of:
(i) Seismic activity at your proposed site;
(ii) Fault zones;
(iii) The possibility and effects of seabed subsidence;
and
(iv) The extent and geometry of faulting attenuation effects of geologic conditions near your site.
A description of the results of a biological survey, including descriptions of the presence of live bottoms;
hard bottoms; topographic features; and surveys of
other marine resources such as fish populations (including migratory populations), marine mammals, sea
turtles, and sea birds.
§ 585.611 What information and
certifications must I submit with my SAP to
assist BOEM in complying with NEPA and
other relevant laws?
You must submit, with your SAP,
detailed information to assist BOEM in
complying with NEPA and other
relevant laws as appropriate.
(a) A SAP submitted for an area in
which BOEM has not previously
reviewed site assessment activities
under NEPA or other applicable Federal
laws, must describe those resources,
conditions, and activities listed in the
following table that could be affected by
your proposed activities or that could
affect the activities proposed in your
SAP.
(b) For a SAP submitted for an area in
which BOEM has previously considered
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site assessment activities under
applicable Federal law (e.g., a NEPA
analysis and CZMA consistency
determination for site assessment
activities), BOEM will review the SAP
to determine if its impacts are consistent
with those previously considered. If the
anticipated effects of your proposed
SAP activities are significantly different
than those previously anticipated, we
may determine that additional NEPA
and other relevant Federal reviews are
required. In that case, BOEM will notify
you of such determination, and you
must submit a SAP that describes those
resources, conditions, and activities
listed in the following table that could
be affected by your proposed activities
or that could affect the activities
proposed in your SAP, including:
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Type of information:
Including:
(1) Hazard information ........................................
Meteorology, oceanography, sediment transport, geology, and shallow geological or manmade
hazards.
Turbidity and total suspended solids from construction.
Benthic communities, marine mammals, sea turtles, coastal and marine birds, fish and shellfish, plankton, sea grasses, and other plant life.
As required by the Endangered Species Act (ESA) of 1973 (16 U.S.C. 1531et seq.).
Essential fish habitat, refuges, preserves, special management areas identified in coastal management programs, sanctuaries, rookeries, hard bottom habitat, chemosynthetic communities, calving grounds, barrier islands, beaches, dunes, and wetlands.
As required by the NHPA (16 U.S.C. 470et seq.), as amended.
Employment, existing offshore and coastal infrastructure (including major sources of supplies,
services, energy, and water), land use, subsistence resources and harvest practices, recreation, recreational and commercial fishing (including typical fishing seasons, location, and
type), minority and lower income groups, coastal zone management programs, and
viewshed.
Military activities, vessel traffic, and energy and non-energy mineral exploration or development.
If required by CZMA, as appropriate:
(i) 15 CFR part 930, subpart D, if the SAP is submitted prior to lease issuance;
(ii) 15 CFR part 930, subpart E, if the SAP is submitted after lease issuance.
As identified by BOEM.
(2) Water quality .................................................
(3) Biological resources ......................................
(4) Threatened or endangered species ..............
(5) Sensitive biological resources or habitats ....
(6) Archaeological resources ..............................
(7) Social and economic conditions ...................
(8) Coastal and marine uses ..............................
(9) Consistency Certification ...............................
(10) Other resources, conditions, and activities
§ 585.612 How will my SAP be processed
for Federal consistency under the Coastal
Zone Management Act?
Your SAP will be processed based on
whether it is submitted before or after
your lease is issued:
If your SAP is submitted:
Consistency review of your SAP will be handled as follows:
(a) Before lease issuance ........................................................................
You will furnish a copy of your SAP, consistency certification, and necessary data and information pursuant to 15 CFR part 930, subpart D,
to the applicable State CZMA agency or agencies and BOEM at the
same time.
You will submit a copy of your SAP, consistency certification, and necessary data and information pursuant to 15 CFR part 930, subpart E,
to BOEM. BOEM will forward to the applicable State CZMA agency
or agencies one paper copy and one electronic copy of your SAP,
consistency certification, and necessary data and information required under 15 CFR part 930, subpart E, after BOEM has determined that all information requirements for the SAP are met.
(b) After lease issuance ...........................................................................
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§ 585.613
SAP?
How will BOEM process my
(a) BOEM will review your submitted
SAP, and additional information
provided pursuant to § 585.611, to
determine if it contains the information
necessary to conduct our technical and
environmental reviews.
(1) We will notify you if we deem
your proposed facility or combination of
facilities to be complex or significant;
(2) We will notify you if your
submitted SAP lacks any necessary
information;
(b) BOEM will prepare NEPA
analysis, as appropriate.
(c) As appropriate, we will coordinate
and consult with relevant Federal and
State agencies, executives of relevant
local governments, and affected Indian
Tribes and will provide to other Federal,
State, and local agencies and affected
Indian Tribes relevant nonproprietary
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data and information pertaining to your
proposed activities.
(d) During the review process, we may
request additional information if we
determine that the information provided
is not sufficient to complete the review
and approval process. If you fail to
provide the requested information,
BOEM may disapprove your SAP.
(e) Upon completion of our technical
and environmental reviews and other
reviews required by Federal laws (e.g.,
CZMA), BOEM may approve,
disapprove, or approve with
modifications your SAP.
(1) If we approve your SAP, we will
specify terms and conditions to be
incorporated into your SAP. You must
certify compliance with those terms and
conditions, required under 30 CFR
285.615(b); and
(2) If we disapprove your SAP, we
will inform you of the reasons and allow
you an opportunity to submit a revised
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plan making the necessary corrections,
and may suspend the term of your lease,
as appropriate, to allow this to occur.
Activities Under an Approved SAP
§ 585.614 When may I begin conducting
activities under my approved SAP?
(a) You may begin conducting the
activities approved in your SAP
following BOEM approval of your SAP.
(b) If you are installing a facility or a
combination of facilities deemed by
BOEM to be complex or significant, as
provided in § 585.613(a)(1), you must
comply with the requirements of 30 CFR
part 285, subpart G, and also submit
your Safety Management System
required by 30 CFR 285.810 before
construction may begin.
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§ 585.615 What other reports or notices
must I submit to BOEM under my approved
SAP?
You must prepare and submit to
BOEM a report annually on November
1 of each year that summarizes your site
assessment activities and the results of
those activities. BOEM will withhold
trade secrets and commercial or
financial information that is privileged
or confidential from public disclosure
under exemption 4 of the FOIA and as
provided in § 585.114.
§ 585.616
[Reserved]
khammond on DSKJM1Z7X2PROD with RULES2
§ 585.617 What activities require a revision
to my SAP, and when will BOEM approve
the revision?
(a) You must notify BOEM in writing
before conducting any activities not
described in your approved SAP,
describing in detail the type of activities
you propose to conduct. We will
determine whether the activities you
propose are authorized by your existing
SAP or require a revision to your SAP.
We may request additional information
from you, if necessary, to make this
determination.
(b) BOEM will periodically review the
activities under an approved SAP. The
frequency and extent of the review will
be based on the significance of any
changes in available information and on
onshore or offshore conditions affecting,
or affected by, the activities conducted
under your SAP. If the review indicates
that the SAP should be revised to meet
the requirements of this part, BOEM
will require you to submit the needed
revisions.
(c) Activities for which a proposed
revision to your SAP will likely be
necessary include:
(1) Activities not described in your
approved SAP;
(2) Modifications to the size or type of
facility or equipment you will use;
(3) Changes in the surface location of
a facility or structure;
(4) Addition of a facility or structure
not contemplated in your approved
SAP;
(5) Changes in the location of your
onshore support base from one State to
another, or to a new base requiring
expansion;
(6) Changes in the location of bottom
disturbances (anchors, chains, etc.) by
500 feet (152 meters) or greater from the
approved locations. If a specific anchor
pattern was approved as a mitigation
measure to avoid contact with bottom
features, any change in the proposed
bottom disturbances would likely trigger
the need for a revision;
(7) Structural failure of one or more
facilities; or
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(8) Changes to any other activity
specified by BOEM.
(d) We may begin the appropriate
NEPA analysis and other relevant
consultations when we determine that a
proposed revision could:
(1) Result in a significant change in
the impacts previously identified and
evaluated;
(2) Require any additional Federal
authorizations; or
(3) Involve activities not previously
identified and evaluated.
(e) When you propose a revision, we
may approve the revision if we
determine that the revision is:
(1) Designed not to cause undue harm
or damage to natural resources; life
(including human and wildlife);
property; the marine, coastal, or human
environment; or sites, structures, or
objects of historical or archaeological
significance; and
(2) Otherwise consistent with the
provisions of subsection 8(p) of the OCS
Lands Act.
decommissioning plans under your
commercial lease, including your
project easement. BOEM will withhold
trade secrets and commercial or
financial information that is privileged
or confidential from public disclosure
under exemption 4 of the FOIA and in
accordance with the terms of § 585.114.
(a) Your COP must describe all
planned facilities that you will
construct and use for your project,
including onshore and support facilities
and all anticipated project easements.
(b) Your COP must describe all
proposed activities including your
proposed construction activities,
commercial operations, and conceptual
decommissioning plans for all planned
facilities, including onshore and
support facilities.
(c) You must receive BOEM approval
of your COP before you can begin any
of the approved activities on your lease.
§ 585.618 What must I do upon completion
of approved site assessment activities?
§ 585.621
COP?
(a) If, prior to the expiration of your
site assessment term, you timely submit
a COP meeting the requirements of this
subpart, or a complete FERC license
application, that describes the
continued use of existing facilities
approved in your SAP, you may keep
such facilities in place on your lease
during the time that BOEM reviews your
COP for approval or FERC reviews your
license application for approval.
(b) You are not required to initiate the
decommissioning process for facilities
that are authorized to remain in place
under your approved COP or approved
FERC license.
(c) If, following the technical and
environmental review of your submitted
COP, BOEM determines that such
facilities may not remain in place, you
must initiate the decommissioning
process, as provided in 30 CFR part 285,
subpart I.
(d) If FERC determines that such
facilities may not remain in place, you
must initiate the decommissioning
process as provided in 30 CFR part 285,
subpart I.
(e) You must initiate the
decommissioning process, as set forth in
30 CFR part 285, subpart I, upon the
termination of your lease.
Your COP must demonstrate that you
have planned and are prepared to
conduct the proposed activities in a
manner that conforms to your
responsibilities listed in § 585.105(a)
and:
(a) Conforms to all applicable laws,
implementing regulations, lease
provisions, and stipulations or
conditions of your commercial lease;
(b) Is safe;
(c) Does not unreasonably interfere
with other uses of the OCS, including
those involved with national security or
defense;
(d) Does not cause undue harm or
damage to natural resources; life
(including human and wildlife);
property; the marine, coastal, or human
environment; or sites, structures, or
objects of historical or archaeological
significance;
(e) Uses best available and safest
technology;
(f) Uses best management practices;
and
(g) Uses properly trained personnel.
§ 585.619
[Reserved]
Construction and Operations Plan for
Commercial Leases
§ 585.620 What is a Construction and
Operations Plan (COP)?
The COP describes your construction,
operations, and conceptual
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§ 585.622
What must I demonstrate in my
How do I submit my COP?
(a) You must submit one paper copy
and one electronic version of your COP
to BOEM at the address listed in
§ 585.110.
(b) You may submit information and
a request for any project easement as
part of your original COP submission or
as a revision to your COP.
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§ §585.623–585.625 [Reserved]
site(s) of your facility(ies). Your COP
must include the following information:
Contents of the Construction and
Operations Plan
§ 585.626
What must I include in my COP?
khammond on DSKJM1Z7X2PROD with RULES2
(a) You must submit the results of the
following surveys for the proposed
Information:
Report contents:
Including:
(1) Shallow hazards .............
The results of the shallow hazards survey with supporting data.
(2) Geological survey relevant to the design and
siting of your facility.
The results of the geological survey with supporting
data.
(3) Biological ........................
The results of the biological survey with supporting data
(4) Geotechnical survey .......
The results of your sediment testing program with supporting data, the various field and laboratory test
methods employed, and the applicability of these
methods as they pertain to the quality of the samples, the type of sediment, and the anticipated design
application. You must explain how the engineering
properties of each sediment stratum affect the design
of your facility. In your explanation, you must describe the uncertainties inherent in your overall testing program, and the reliability and applicability of
each test method.
(5) Archaeological resources
The results of the archaeological resource survey with
supporting data.
(6) Overall site investigation
An overall site investigation report for your facility that
integrates the findings of your shallow hazards surveys and geologic surveys, and, if required, your
subsurface surveys with supporting data.
Information sufficient to determine the presence of the
following features and their likely effects on your proposed facility, including:
(i) Shallow faults;
(ii) Gas seeps or shallow gas;
(iii) Slump blocks or slump sediments;
(iv) Hydrates; or
(v) Ice scour of seabed sediments.
Assessment of:
(i) Seismic activity at your proposed site;
(ii) Fault zones;
(iii) The possibility and effects of seabed subsidence;
and
(iv) The extent and geometry of faulting attenuation
effects of geologic conditions near your site.
A description of the results of biological surveys used
to determine the presence of live bottoms, hard bottoms, and topographic features, and surveys of other
marine resources such as fish populations (including
migratory populations), marine mammals, sea turtles,
and sea birds.
(i) The results of a testing program used to investigate
the stratigraphic and engineering properties of the
sediment that may affect the foundations or anchoring systems for your facility.
(ii) The results of adequate in situ testing, boring, and
sampling at each foundation location, to examine all
important sediment and rock strata to determine its
strength classification, deformation properties, and
dynamic characteristics.
(iii) The results of a minimum of one deep boring (with
soil sampling and testing) at each edge of the project
area and within the project area as needed to determine the vertical and lateral variation in seabed conditions and to provide the relevant geotechnical data
required for design.
A description of the historic and prehistoric archaeological resources, as required by the NHPA (16
U.S.C. 470et. seq.), as amended.
An analysis of the potential for:
(i) Scouring of the seabed;
(ii) Hydraulic instability;
(iii) The occurrence of sand waves;
(iv) Instability of slopes at the facility location;
(v) Liquefaction, or possible reduction of sediment
strength due to increased pore pressures;
(vi) Degradation of subsea permafrost layers;
(vii) Cyclic loading;
(viii) Lateral loading;
(ix) Dynamic loading;
(x) Settlements and displacements;
(xi) Plastic deformation and formation collapse mechanisms; and
(xii) Sediment reactions on the facility foundations or
anchoring systems.
(b) Your COP must include the
following project-specific information,
as applicable.
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Project information:
Including:
(1) Contact information .............................................................................
The name, address, e-mail address, and phone number of an authorized representative.
As provided in § 585.405.
A discussion of the objectives, description of the proposed activities,
tentative schedule from start to completion, and plans for phased development, as provided in § 585.238.
A description of the measures you took, or will take, to satisfy the conditions of any lease stipulations related to your proposed activities.
The surface location and water depth for all proposed and existing
structures, facilities, and appurtenances located both offshore and
onshore, including all anchor/mooring data.
Information for each type of structure associated with your project and,
unless BSEE provides otherwise, how you will use a CVA to review
and verify each stage of the project.
Location, design and installation methods, testing, maintenance, repair,
safety devices, exterior corrosion protection, inspections, and decommissioning.
Safety, prevention, and environmental protection features or measures
that you will use.
Disposal methods and locations.
A list of chemical products used; the volume stored on location; their
treatment, discharge, or disposal methods used; and the name and
location of the onshore waste receiving, treatment, and/or disposal
facility. A description of how these products would be brought onsite,
the number of transfers that may take place, and the quantity that
will be transferred each time.
An estimate of the frequency and duration of vessel/vehicle/aircraft traffic.
(i) Under normal conditions.
(ii) In the case of accidents or emergencies, including those that are
natural or manmade.
A discussion of general concepts and methodologies.
(i) The U.S. Coast Guard, U.S. Army Corps of Engineers, and any
other applicable authorizations, approvals, or permits, including any
Federal, State or local authorizations pertaining to energy gathering,
transmission or distribution (e.g., interconnection authorizations).
(ii) A statement indicating whether you have applied for or obtained
such authorization, approval, or permit.
A description of the measures you will use to avoid or minimize adverse effects and any potential incidental take before you conduct
activities on your lease, and how you will mitigate environmental impacts from your proposed activities, including a description of the
measures you will use as required by this part and 30 CFR part 285,
subpart H.
A listing of the documents you referenced.
Contact information and issues discussed.
(2) Designation of operator, if applicable .................................................
(3) The construction and operation concept ............................................
(4) Commercial lease stipulations and compliance .................................
(5) A location plat .....................................................................................
(6) General structural and project design, fabrication, and installation ...
(7) All cables and pipelines, including cables on project easements ......
(8) A description of the deployment activities ..........................................
(9) A list of solid and liquid wastes generated .........................................
(10) A listing of chemical products used (if stored volume exceeds Environmental Protection Agency (EPA) reportable quantities).
(11) A description of any vessels, vehicles, and aircraft you will use to
support your activities.
(12) A general description of the operating procedures and systems .....
(13) Decommissioning and site clearance procedures ............................
(14) A listing of all Federal, State, and local authorizations, approvals,
or permits that are required to conduct the proposed activities, including commercial operations.
(15) Your proposed measures for avoiding, minimizing, reducing, eliminating, and monitoring environmental impacts.
(16) Information you incorporate by reference .........................................
(17) A list of agencies and persons with whom you have communicated, or with whom you will communicate, regarding potential impacts associated with your proposed activities.
(18) Reference ..........................................................................................
(19) Financial assurance ..........................................................................
(20) CVA nominations for reports required in 30 CFR part 285, subpart
G.
(21) Construction schedule ......................................................................
(22) Air quality information .......................................................................
(23) Other information ..............................................................................
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§ 585.627 What information and
certifications must I submit with my COP to
assist BOEM in complying with NEPA and
other relevant laws?
(a) You must submit with your COP
detailed information to assist BOEM in
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A list of any document or published source that you cite as part of your
plan. You may reference information and data discussed in other
plans you previously submitted or that are otherwise readily available
to BOEM.
Statements attesting that the activities and facilities proposed in your
COP are or will be covered by an appropriate bond or security, as
required by §§ 585.515 and 585.516.
CVA nominations for reports in 30 CFR part 285, subpart G, as required by § 285.706, or a request for a waiver under § 285.705(c).
A reasonable schedule of construction activity showing significant milestones leading to the commencement of commercial operations.
As described in § 585.700.
Additional information as required by BOEM.
complying with NEPA and other
relevant laws. Your COP must describe
those resources, conditions, and
activities listed in the following table
that could be affected by your proposed
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activities, or that could affect the
activities proposed in your COP,
including:
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Type of information:
Including:
(1) Hazard information ..............................................................................
Meteorology, oceanography, sediment transport, geology, and shallow
geological or manmade hazards.
Turbidity and total suspended solids from construction.
Benthic communities, marine mammals, sea turtles, coastal and marine
birds, fish and shellfish, plankton, seagrasses, and plant life.
As defined by the ESA (16 U.S.C. 1531et seq.).
Essential fish habitat, refuges, preserves, special management areas
identified in coastal management programs, sanctuaries, rookeries,
hard bottom habitat, chemosynthetic communities, calving grounds,
barrier islands, beaches, dunes, and wetlands.
As required by the NHPA (16 U.S.C. 470et seq.), as amended.
Employment, existing offshore and coastal infrastructure (including
major sources of supplies, services, energy, and water), land use,
subsistence resources and harvest practices, recreation, recreational
and commercial fishing (including typical fishing seasons, location,
and type), minority and lower income groups, coastal zone management programs, and viewshed.
Military activities, vessel traffic, and energy and non-energy mineral exploration or development.
As required by the CZMA regulations:
(i) 15 CFR part 930, subpart D, if your COP is submitted before lease
issuance.
(ii) 15 CFR part 930, subpart E, if your COP is submitted after lease
issuance.
As identified by BOEM.
(2) Water quality .......................................................................................
(3) Biological resources ............................................................................
(4) Threatened or endangered species ....................................................
(5) Sensitive biological resources or habitats ..........................................
(6) Archaeological resources ....................................................................
(7) Social and economic resources ..........................................................
(8) Coastal and marine uses ....................................................................
(9) Consistency Certification ....................................................................
(10) Other resources, conditions, and activities .......................................
(b) You must submit one paper copy
and one electronic copy of your
consistency certification. Your
consistency certification must include:
(1) One copy of your consistency
certification either under subsection
307(c)(3)(B) of the CZMA (16 U.S.C.
1456(c)(3)(B)) and 15 CFR 930.76, or
under subsection 307(c)(3)(A) of the
CZMA (16 U.S.C. 1456(c)(3)(A)) and 15
CFR 930.57, stating that the proposed
activities described in detail in your
plans comply with the State(s) approved
coastal management program(s) and will
be conducted in a manner that is
consistent with such program(s); and
(2) ‘‘Necessary data and information,’’
as required by 15 CFR 930.58.
(c) You must submit your oil spill
response plan to BSEE as required by 30
CFR part 254.
(d) You must submit your safety
management system to BSEE as required
by 30 CFR 285.810.
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§ 585.628
COP?
How will BOEM process my
(a) BOEM will review your submitted
COP, and the information provided
pursuant to § 585.627, to determine if it
contains all the required information
necessary to conduct our technical and
environmental reviews. We will notify
you if your submitted COP lacks any
necessary information.
(b) BOEM will prepare an appropriate
NEPA analysis.
(c) If your COP is submitted after lease
issuance, BOEM will forward one copy
of your COP, consistency certification,
and associated data and information
under the CZMA to the applicable State
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CZMA agency or agencies after all
information requirements for the COP
are met.
(d) As appropriate, BOEM will
coordinate and consult with relevant
Federal, State, and local agencies and
affected Indian Tribes, and provide to
them relevant nonproprietary data and
information pertaining to your proposed
activities.
(e) During the review process, we may
request additional information if we
determine that the information provided
is not sufficient to complete the review
and approval process. If you fail to
provide the requested information,
BOEM may disapprove your COP.
(f) Upon completion of our technical
and environmental reviews and other
reviews required by Federal law (e.g.,
CZMA), BOEM may approve,
disapprove, or approve with
modifications your COP.
(1) If we approve your COP, we will
specify terms and conditions to be
incorporated into your COP. You must
certify compliance with certain of those
terms and conditions, as required under
30 CFR 285.633(a); and
(2) If we disapprove your COP, we
will inform you of the reasons and allow
you an opportunity to resubmit a
revised plan addressing the concerns
identified, and may suspend the term of
your lease, as appropriate, to allow this
to occur.
(g) If BOEM approves your project
easement, BOEM will issue an
addendum to your lease specifying the
terms of the project easement. A project
easement may include off-lease areas
that:
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(1) Contain the sites on which cable,
pipeline, or associated facilities are
located;
(2) Do not exceed 200 feet (61 meters)
in width, unless safety and
environmental factors during
construction and maintenance of the
associated cables or pipelines require a
greater width; and
(3) For associated facilities, are
limited to the area reasonably necessary
for power or pumping stations or other
accessory facilities.
§ § 585.629–585.630
[Reserved]
Activities Under an Approved COP
§ 585.631 When must I initiate activities
under an approved COP?
After your COP is approved, you must
commence construction by the date
given in the construction schedule
required by § 585.626(b)(21), and
included as a part of your approved
COP, unless BOEM approves a deviation
from your schedule.
§ 585.632 What documents must I submit
before I may construct and install facilities
under my approved COP?
(a) You must submit to BSEE the
documents listed in the following table:
Document:
Requirements are
found in:
(1) Facility Design
Report.
(2) Fabrication and
Installation Report.
30 CFR 285.701.
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(b) You must submit your Safety
Management System, as required by 30
CFR 285.810.
(c) These activities must fall within
the scope of your approved COP. If they
do not fall within the scope of your
approved COP, you will be required to
submit a revision to your COP, under
§ 585.634, for BOEM approval before
commencing the activity.
§ 585.633
[Reserved]
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§ 585.634 What activities require a revision
to my COP, and when will BOEM approve
the revision?
(a) You must notify BOEM in writing
before conducting any activities not
described in your approved COP,
describing in detail the type of activities
you propose to conduct. We will
determine whether the activities you
propose are authorized by your existing
COP or require a revision to your COP.
We may request additional information
from you, if necessary, to make this
determination.
(b) BOEM will periodically review the
activities conducted under an approved
COP. The frequency and extent of the
review will be based on the significance
of any changes in available information,
and on onshore or offshore conditions
affecting, or affected by, the activities
conducted under your COP. If the
review indicates that the COP should be
revised to meet the requirement of this
part, BOEM will require you to submit
the needed revisions.
(c) Activities for which a proposed
revision to your COP will likely be
necessary include:
(1) Activities not described in your
approved COP;
(2) Modifications to the size or type of
facility or equipment you will use;
(3) Change in the surface location of
a facility or structure;
(4) Addition of a facility or structure
not described in your approved COP;
(5) Change in the location of your
onshore support base from one State to
another or to a new base requiring
expansion;
(6) Changes in the location of bottom
disturbances (anchors, chains, etc.) by
500 feet (152 meters) or greater from the
approved locations (e.g., if a specific
anchor pattern was approved as a
mitigation measure to avoid contact
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with bottom features, any change in the
proposed bottom disturbances would
likely trigger the need for a revision);
(7) Structural failure of one or more
facilities; or
(8) Change in any other activity
specified by BOEM.
(d) We may begin the appropriate
NEPA analysis and relevant
consultations when we determine that a
proposed revision could:
(1) Result in a significant change in
the impacts previously identified and
evaluated;
(2) Require any additional Federal
authorizations; or
(3) Involve activities not previously
identified and evaluated.
(e) When you propose a revision, we
may approve the revision if we
determine that the revision is:
(1) Designed not to cause undue harm
or damage to natural resources; life
(including human and wildlife);
property; the marine, coastal, or human
environment; or sites, structures, or
objects of historical or archaeological
significance; and
(2) Otherwise consistent with the
provisions of subsection 8(p) of the OCS
Lands Act.
§ 585.635 What must I do if I cease
activities approved in my COP before the
end of my commercial lease?
You must notify the BSEE, within 5
business days, any time you cease
commercial operations, without an
approved suspension, under your
approved COP. If you cease commercial
operations for an indefinite period
which extends longer than 6 months, we
may cancel your lease under § 585.422
and, you must initiate the
decommissioning process as set forth in
30 CFR part 285, subpart I.
§ § 585.636–585.639
[Reserved]
General Activities Plan Requirements
for Limited Leases, ROW Grants, and
RUE Grants
§ 585.640
(GAP)?
and use for your project, including any
project easements for the assessment
and development of your limited lease
or grant.
(b) You must receive BOEM approval
of your GAP before you can begin any
of the approved activities on your lease
or grant. You must submit your GAP no
later than 12 months from the date of
the lease or grant issuance.
§ 585.641
GAP?
What must I demonstrate in my
Your GAP must demonstrate that you
have planned and are prepared to
conduct the proposed activities in a
manner that:
(a) Conforms to all applicable laws,
implementing regulations, lease
provisions and stipulations;
(b) Is safe;
(c) Does not unreasonably interfere
with other uses of the OCS, including
those involved with national security or
defense;
(d) Does not cause undue harm or
damage to natural resources; life
(including human and wildlife);
property; the marine, coastal, or human
environment; or sites, structures, or
objects of historical or archaeological
significance;
(e) Uses best available and safest
technology;
(f) Uses best management practices;
and
(g) Uses properly trained personnel.
§ 585.642
How do I submit my GAP?
(a) You must submit one paper copy
and one electronic version of your GAP
to BOEM at the address listed in
§ 585.110.
(b) If you have a limited lease, you
may submit information on any project
easement as part of your original GAP
submission or as a revision to your GAP.
§§ 585.643–585.644
[Reserved]
Contents of the General Activities Plan
What is a General Activities Plan
§ 585.645
(a) A GAP describes your proposed
construction, activities, and conceptual
decommissioning plans for all planned
facilities, including testing of
technology devices and onshore and
support facilities that you will construct
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What must I include in my GAP?
(a) You must provide the following
results of geophysical and geological
surveys, hazards surveys, archaeological
surveys (if required), and baseline
collection studies (e.g., biological) with
the supporting data in your GAP:
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Information:
Report contents:
Including:
(1) Geotechnical ...................
The results from the geotechnical survey with supporting data.
(2) Shallow hazards .............
The results from the shallow hazards survey with supporting data.
(3) Archaeological resources
The results from the archaeological survey with supporting data, if required.
(4) Geological survey ...........
The results from the geological survey with supporting
data.
(5) Biological survey ............
The results from the biological survey with supporting
data.
A description of all relevant seabed and engineering
data and information to allow for the design of the
foundation for that facility. You must provide data and
information to depths below which the underlying
conditions will not influence the integrity or performance of the structure. This could include a series of
sampling locations (borings and in situ tests) as well
as laboratory testing of soil samples, but may consist
of a minimum of one deep boring with samples.
A description of information sufficient to determine the
presence of the following features and their likely effects on your proposed facility, including:
(i) Shallow faults;
(ii) Gas seeps or shallow gas;
(iii) Slump blocks or slump sediments;
(iv) Hydrates; or
(v) Ice scour of seabed sediments.
(i) A description of the results and data from the archaeological survey;
(ii) A description of the historic and prehistoric archaeological resources, as required by NHPA (16 U.S.C.
470et seq.), as amended.
A report that describes the results of a geological survey that includes descriptions of:
(i) Seismic activity at your proposed site;
(ii) Fault zones;
(iii) The possibility and effects of seabed subsidence;
and
(iv) The extent and geometry of faulting attenuation effects of geologic conditions near your site.
A description of the results of a biological survey, including the presence of live bottoms, hard bottoms,
and topographic features, and surveys of other marine resources such as fish populations (including migratory populations), marine mammals, sea turtles,
and sea birds.
(b) For all activities you propose to
conduct under your GAP, you must
provide the following information:
Project information:
Including:
(1) Contact information .............................................................................
The name, address, e-mail address, and phone number of an authorized representative.
A discussion of the objectives; description of the proposed activities, including the technology you will use; and proposed schedule from
start to completion.
As provided in § 585.405.
A description of the measures you took, or will take, to satisfy the conditions of any lease stipulations related to your proposed activities.
The surface location and water depth for all proposed and existing
structures, facilities, and appurtenances located both offshore and
onshore.
Information for each type of facility associated with your project.
A description of the safety, prevention, and environmental protection
features or measures that you will use.
Disposal methods and locations.
A list of chemical products used; the volume stored on location; their
treatment, discharge, or disposal methods used; and the name and
location of the onshore waste receiving, treatment, and/or disposal
facility. A description of how these products would be brought onsite,
the number of transfers that may take place, and the quantity that
will be transferred each time.
A list of any document or published source that you cite as part of your
plan. You may reference information and data discussed in other
plans you previously submitted or that are otherwise readily available
to BOEM.
A discussion of methodologies.
As described in § 585.700.
(2) The site assessment or technology testing concept ..........................
(3) Designation of operator, if applicable .................................................
(4) ROW, RUE or limited lease grant stipulations, if known ....................
(5) A location plat .....................................................................................
(6) General structural and project design, fabrication, and installation ...
(7) Deployment activities ..........................................................................
khammond on DSKJM1Z7X2PROD with RULES2
(8) A list of solid and liquid wastes generated .........................................
(9) A listing of chemical products used (only if stored volume exceeds
USEPA reportable quantities).
(10) Reference information .......................................................................
(11) Decommissioning and site clearance procedures ............................
(12) Air quality information .......................................................................
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Project information:
Including:
(13) A listing of all Federal, State, and local authorizations or approvals
required to conduct site assessment activities on your lease.
(14) A list of agencies and persons with whom you have communicated, or with whom you will communicate, regarding potential impacts associated with your proposed activities.
(15) Financial assurance information .......................................................
A statement indicating whether such authorization or approval has
been applied for or obtained.
Contact information and issues discussed.
(16) Other information ..............................................................................
(c) If you are applying for a project
easement or constructing a facility, or a
combination of facilities deemed by
Statements attesting that the activities and facilities proposed in your
GAP are or will be covered by an appropriate bond or other approved security, as required in §§ 585.520-.521.
Additional information as requested by BOEM.
BOEM to be complex or significant, you
must provide the following information
in addition to what is required in
paragraphs (a) and (b) of this section
and comply with the requirements of 30
CFR part 285, subpart G:
Project information:
Including:
(1) The construction and operation concept ............................................
A discussion of the objectives, description of the proposed activities,
and tentative schedule from start to completion.
The location, design, installation methods, testing, maintenance, repair,
safety devices, exterior corrosion protection, inspections, and decommissioning.
Safety, prevention, and environmental protection features or measures
that you will use.
(i) Under normal conditions. (ii) In the case of accidents or emergencies, including those that are natural or manmade.
CVA nominations for reports in 30 CFR part 285, subpart G, as required by § 285.706, or a request for a waiver under § 285.705.
A reasonable schedule of construction activity showing significant milestones leading to the commencement of activities.
Additional information as required by the BOEM.
(2) All cables and pipelines, including cables on project easements ......
(3) A description of the deployment activities ..........................................
(4) A general description of the operating procedures and systems .......
(5) CVA nominations for reports required in 30 CFR part 285, subpart
G..
(6) Construction schedule ........................................................................
(7) Other information ................................................................................
(d) BOEM will withhold trade secrets
and commercial or financial information
that is privileged or confidential from
public disclosure in accordance with
the terms of § 585.114.
§ 585.646 What information and
certifications must I submit with my GAP to
assist BOEM in complying with NEPA and
other relevant laws?
You must submit, with your GAP,
detailed information to assist BOEM in
complying with NEPA and other
relevant laws as appropriate.
(a) A GAP submitted for an area in
which BOEM has not reviewed GAP
activities under NEPA or other
applicable Federal laws must describe
those resources, conditions, and
activities listed in the following table
that could be affected by your proposed
activities or that could affect the
activities proposed in your GAP.
(b) For a GAP submitted for an area
in which BOEM has considered GAP
activities under applicable Federal law
(e.g., a NEPA analysis and CZMA
consistency determination for the GAP
activities), BOEM will review the GAP
to determine if its impacts are consistent
with those previously considered. If the
anticipated effects of your proposed
GAP activities are significantly different
than those previously anticipated, we
may determine that additional NEPA
and other relevant Federal reviews are
required. In that case, BOEM will notify
you of such determination, and you
must submit a GAP that describes those
resources, conditions, and activities
listed in the following table that could
be affected by your proposed activities
or that could affect the activities
proposed in your GAP, including:
Type of information:
Including:
(1) Hazard information ........................................
Meteorology, oceanography, sediment transport, geology, and shallow geological or manmade
hazards.
Turbidity and total suspended solids from construction.
Benthic communities, marine mammals, sea turtles, coastal and marine birds, fish and shellfish, plankton, sea grasses, and other plant life.
As required by the ESA (16 U.S.C. 1531et seq.).
Essential fish habitat, refuges, preserves, special management areas identified in coastal management programs, sanctuaries, rookeries, hard bottom habitat, chemosynthetic communities, calving grounds, barrier islands, beaches, dunes, and wetlands.
As required by NHPA (16 U.S.C. 470et seq.), as amended.
Employment, existing offshore and coastal infrastructure (including major sources of supplies,
services, energy, and water), land use, subsistence resources and harvest practices, recreation, recreational and commercial fishing (including typical fishing seasons, location, and
type), minority and lower income groups, coastal zone management programs, and view
shed.
Military activities, vessel traffic, and energy and non-energy mineral exploration or development.
(2) Water quality .................................................
(3) Biological resources ......................................
(4) Threatened or endangered species ..............
(5) Sensitive biological resources or habitats ....
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(6) Archaeological resources ..............................
(7) Social and economic conditions ...................
(8) Coastal and marine uses ..............................
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Type of information:
Including:
(9) Consistency Certification ...............................
If required by CZMA, as appropriate: (i) 15 CFR part 930, subpart D, if the GAP is submitted
prior to lease or grant issuance; (ii) 15 CFR part 930, subpart E, if the GAP is submitted
after lease or grant issuance.
As required by BOEM.
(10) Other resources, conditions, and activities
§ 585.647 How will my GAP be processed
for Federal consistency under the Coastal
Zone Management Act?
Your GAP will be processed based on
whether it is submitted before or after
your lease or grant is issued:
If your GAP is submitted:
Consistency review of your GAP will be handled as follows:
(a) Before lease or grant issuance .....................
You will furnish a copy of your GAP, consistency certification, and necessary data and information pursuant to 15 CFR part 930, subpart D, to the applicable State CZMA agency or
agencies and BOEM at the same time.
You will submit a copy of your GAP, consistency certification, and necessary data and information pursuant to 15 CFR 930, subpart E, to BOEM. BOEM will forward to the applicable
State CZMA agency or agencies one paper copy and one electronic copy of your GAP, consistency certification, and necessary data and information required under 15 CFR part 930,
subpart E, after BOEM has determined that all information requirements for the GAP are
met.
(b) After lease or grant issuance ........................
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§ 585.648
GAP?
How will BOEM process my
(a) BOEM will review your submitted
GAP, along with the information and
certifications provided pursuant to
§ 585.646, to determine if it contains all
the required information necessary to
conduct our technical and
environmental reviews.
(1) We will notify you if we deem
your proposed facility or combination of
facilities to be complex or significant;
and
(2) We will notify you if your
submitted GAP lacks any necessary
information.
(b) BOEM will prepare appropriate
NEPA analysis.
(c) When appropriate, we will
coordinate and consult with relevant
State and Federal agencies and affected
Indian Tribes and provide to other local,
State, and Federal agencies and affected
Indian Tribes relevant nonproprietary
data and information pertaining to your
proposed activities.
(d) During the review process, we may
request additional information if we
determine that the information provided
is not sufficient to complete the review
and approval process. If you fail to
provide the requested information,
BOEM may disapprove your GAP.
(e) Upon completion of our technical
and environmental reviews and other
reviews required by Federal law (e.g.,
CZMA), BOEM may approve,
disapprove, or approve with
modifications your GAP.
(1) If we approve your GAP, we will
specify terms and conditions to be
incorporated into your GAP. You must
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certify compliance with certain of those
terms and conditions, as required under
30 CFR 285.653(b); and
(2) If we disapprove your GAP, we
will inform you of the reasons and allow
you an opportunity to resubmit a
revised plan making the necessary
corrections, and may suspend the term
of your lease or grant, as appropriate, to
allow this to occur.
§ 585.649
[Reserved]
Activities Under an Approved GAP
§ 585.650 When may I begin conducting
activities under my GAP?
After BOEM approves your GAP, you
may begin conducting the approved
activities that do not involve a project
easement or the construction of facilities
on the OCS that BOEM has deemed to
be complex or significant.
§ 585.651 When may I construct complex
or significant OCS facilities on my limited
lease or any facilities on my project
easement proposed under my GAP?
If you are applying for a project
easement, or installing a facility or a
combination of facilities on your limited
lease deemed by BOEM to be complex
or significant, as provided in
§ 585.648(a)(1), you also must comply
with the requirements of 30 CFR part
285, subpart G, and submit your safety
management system description
required by 30 CFR 285.810 before
construction may begin.
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§ 585.652 How long do I have to conduct
activities under an approved GAP?
After BOEM approves your GAP, you
have:
(a) For a limited lease, 5 years to
conduct your approved activities, unless
we renew the term under §§ 585.425
through 585.429.
(b) For a ROW grant or RUE grant, the
time provided in the terms of the grant.
§ 585.653 What other reports or notices
must I submit to BOEM under my approved
GAP?
You must prepare and submit to
BOEM annually a report that
summarizes the findings from any
activities you conduct under your
approved GAP and the results of those
activities. We will protect the
information from public disclosure as
provided in § 585.114.
§ 585.654
[Reserved]
§ 585.655 What activities require a revision
to my GAP, and when will BOEM approve
the revision?
(a) You must notify BOEM in writing
before conducting any activities not
described in your approved GAP,
describing in detail the type of activities
you propose to conduct. We will
determine whether the activities you
propose are authorized by your existing
GAP or require a revision to your GAP.
We may request additional information
from you, if necessary, to make this
determination.
(b) BOEM will periodically review the
activities conducted under an approved
GAP. The frequency and extent of the
review will be based on the significance
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of any changes in available information
and on onshore or offshore conditions
affecting, or affected by, the activities
conducted under your GAP. If the
review indicates that the GAP should be
revised to meet the requirement of this
part, BOEM will require you to submit
the needed revisions.
(c) Activities for which a proposed
revision to your GAP will likely be
necessary include:
(1) Activities not described in your
approved GAP;
(2) Modifications to the size or type of
facility or equipment you will use;
(3) Change in the surface location of
a facility or structure;
(4) Addition of a facility or structure
not contemplated in your approved
GAP;
(5) Change in the location of your
onshore support base from one State to
another or to a new base requiring
expansion;
(6) Changes in the locations of bottom
disturbances (anchors, chains,etc.) by
500 feet (152 meters) or greater from the
approved locations. If a specific anchor
pattern was approved as a mitigation
measure to avoid contact with bottom
features, any change in the proposed
bottom disturbances would likely trigger
the need for a revision;
(7) Structural failure of one or more
facilities; or
(8) Change to any other activity
specified by BOEM.
(d) We may begin the appropriate
NEPA analysis and any relevant
consultations when we determine that a
proposed revision could:
(1) Result in a significant change in
the impacts previously identified and
evaluated;
(2) Require any additional Federal
authorizations; or
(3) Involve activities not previously
identified and evaluated.
(e) When you propose a revision, we
may approve the revision if we
determine that the revision is:
(1) Designed not to cause undue harm
or damage to natural resources; life
(including human and wildlife);
property; the marine, coastal, or human
environment; or sites, structures, or
objects of historical or archaeological
significance; and
(2) Otherwise consistent with the
provisions of subsection 8(p) of the OCS
Lands Act.
§ 585.656 What must I do if I cease
activities approved in my GAP before the
end of my term?
You must notify the BOEM any time
you cease activities under your
approved GAP without an approved
suspension. If you cease activities for an
indefinite period that exceeds 6 months,
BOEM may cancel your lease or grant
under § 585.422, as applicable, and you
must initiate the decommissioning
process, as set forth in 30 CFR part 285,
subpart I.
§ 585.657 What must I do upon completion
of approved activities under my GAP?
Upon completion of your approved
activities under your GAP, you must
initiate the decommissioning process as
set forth in 30 CFR part 285, subpart I.
You must submit your decommissioning
application as provided in 30 CFR
285.905 and 285.906.
Cable and Pipeline Deviations
§ 585.658 Can my cable or pipeline
construction deviate from my approved
COP or GAP?
(a) You must make every effort to
ensure that all cables and pipelines are
constructed in a manner that minimizes
6467
deviations from the approved plan
under your lease or grant.
(b) If BOEM determines that a
significant change in conditions has
occurred that would necessitate an
adjustment to your ROW, RUE or lease
before the commencement of
construction of the cable or pipeline on
the grant or lease, BOEM will consider
modifications to your ROW grant, RUE
grant, or your lease addendum for a
project easement in connection with
your COP or GAP.
(c) If, after construction, it is
determined that a deviation from the
approved plan has occurred, you must:
(1) Notify the operators of all leases
(including mineral leases issued under
this subchapter) and holders of all ROW
grants or RUE grants (including all
grants issued under this subchapter)
which include the area where a
deviation has occurred and provide
BOEM with evidence of such
notification;
(2) Relinquish any unused portion of
your lease or grant; and
(3) Submit a revised plan for BOEM
approval as necessary.
(d) Construction of a cable or pipeline
that substantially deviates from the
approved plan may be grounds for
cancellation of the lease or grant.
§ 585.659
[Reserved]
Environmental Protection Requirements
Under Approved Plans
§ 585.700 What requirements must I
include in my SAP, COP, or GAP regarding
air quality?
(a) You must comply with the Clean
Air Act (42 U.S.C. 7409) and its
implementing regulations, according to
the following table.
If your project is located . . .
You must . . .
(1) in the Gulf of Mexico west of 87.5° west longitude (western Gulf of
Mexico).
(2) anywhere else on the OCS ................................................................
include in your plan any information required for BOEM to make the
appropriate air quality determinations for your project.
follow the appropriate implementing regulations as promulgated by the
EPA under 40 CFR part 55.
(b) For air quality modeling that you
perform in support of the activities
proposed in your plan, you should
contact the appropriate regulatory
agency to establish a modeling protocol
to ensure that the agency’s needs are
met and that the meteorological files
used are acceptable before initiating the
modeling work. In the western Gulf of
Mexico (west of 87.5° west longitude),
you must submit to BOEM three copies
of the modeling report and three sets of
digital files as supporting information.
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The digital files must contain the
formatted meteorological files used in
the modeling runs, the model input file,
and the model output file.
§ 585.701 How must I conduct my
approved activities to protect marine
mammals, threatened and endangered
species, and designated critical habitat?
(a) You must not conduct any activity
under your lease or grant that may affect
threatened or endangered species or that
may affect designated critical habitat of
such species until the appropriate level
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of consultation is conducted, as
required under the ESA, as amended (16
U.S.C. 1531et seq.), to ensure that your
actions are not likely to jeopardize a
threatened or endangered species and
are not likely to destroy or adversely
modify designated critical habitat.
(b) You must not conduct any activity
under your lease or grant that may result
in an incidental taking of marine
mammals until the appropriate
authorization has been issued under the
Marine Mammal Protection Act of 1972
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(MMPA) as amended (16 U.S.C. 1361et
seq.).
(c) If there is reason to believe that a
threatened or endangered species may
be present while you conduct your
BOEM-approved activities or may be
affected by the direct or indirect effects
of your actions:
(1) You must notify us that
endangered or threatened species may
be present in the vicinity of the lease or
grant or may be affected by your actions;
and
(2) We will consult with appropriate
State and Federal fish and wildlife
agencies and, after consultation, shall
identify whether, and under what
conditions, you may proceed.
(d) If there is reason to believe that
designated critical habitat of a
threatened or endangered species may
be affected by the direct or indirect
effects of your BOEM-approved
activities:
(1) You must notify us that designated
critical habitat of a threatened or
endangered species in the vicinity of the
lease or grant may be affected by your
actions; and
(2) We will consult with appropriate
State and Federal fish and wildlife
agencies and, after consultation, shall
identify whether, and under what
conditions, you may proceed.
(e) If there is reason to believe that
marine mammals may be incidentally
taken as a result of your proposed
activities:
(1) You must agree to secure an
authorization from National Oceanic
and Atmospheric Administration
(NOAA) or the U.S. Fish and Wildlife
Service (FWS) for incidental taking,
including taking by harassment, that
may result from your actions; and
(2) You must comply with all
measures required by the NOAA or
FWS, including measures to affect the
least practicable impact on such species
and their habitat and to ensure no
immitigable adverse impact on the
availability of the species for
subsistence use.
(f) Submit to us:
(1) Measures designed to avoid or
minimize adverse effects and any
potential incidental take of the
endangered or threatened species or
marine mammals;
(2) Measures designed to avoid likely
adverse modification or destruction of
designated critical habitat of such
endangered or threatened species; and
(3) Your agreement to monitor for the
incidental take of the species and
adverse effects on the critical habitat,
and provide the results of the
monitoring as required; and
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(4) Your agreement to perform any
relevant terms and conditions of the
Incidental Take Statement that may
result from the ESA consultation.
(5) Your agreement to perform any
relevant mitigation measures under an
MMPA incidental take authorization.
surveys to define boundaries and
avoidance distances.
(c) If required, BOEM will specify the
survey methods and instrumentations
for conducting the biological survey and
will specify the contents of the
biological report.
§ 585.702 What must I do if I discover a
potential archaeological resource while
conducting my approved activities?
■
(a) If you, your subcontractors, or any
agent acting on your behalf discovers a
potential archaeological resource while
conducting construction activities, or
any other activity related to your
project, you must:
(1) Immediately halt all seafloordisturbing activities within the area of
the discovery;
(2) Notify BOEM of the discovery
within 72 hours; and
(3) Keep the location of the discovery
confidential and not take any action that
may adversely affect the archaeological
resource until we have made an
evaluation and instructed you on how to
proceed.
(b) We may require you to conduct
additional investigations to determine if
the resource is eligible for listing in the
National Register of Historic Places
under 36 CFR 60.4. We will do this if:
(1) The site has been impacted by
your project activities; or
(2) Impacts to the site or to the area
of potential effect cannot be avoided.
(c) If investigations under paragraph
(b) of this section indicate that the
resource is potentially eligible for listing
in the National Register of Historic
Places, we will tell you how to protect
the resource, or how to mitigate adverse
effects to the site.
(d) If we incur costs in protecting the
resource, under section 110(g) of the
NHPA, we may charge you reasonable
costs for carrying out preservation
responsibilities under the OCS Lands
Act.
PART 586—ALTERNATE USES OF
EXISTING FACILITIES ON THE OUTER
CONTINENTAL SHELF
§ 585.703 How must I conduct my
approved activities to protect essential fish
habitats identified and described under the
Magnuson-Stevens Fishery Conservation
and Management Act?
(a) If, during the conduct of your
approved activities, BOEM finds that
essential fish habitat or habitat areas of
particular concern may be adversely
affected by your activities, BOEM must
consult with National Marine Fisheries
Service.
(b) Any conservation
recommendations adopted by BOEM to
avoid or minimize adverse effects on
essential fish habitat will be
incorporated as terms and conditions in
the lease and must be adhered to by the
applicant. BOEM may require additional
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3. Add part 586 to subchapter B to
read as follows:
Subpart A—General Provisions
Sec.
586.100 Authority.
586.101 What is the purpose of this part?
586.102 What activities does this part
regulate?
586.103 What are BOEM’s responsibilities
under this part?
586.104 When may BOEM prescribe or
approve departures from the regulations
in this part?
586.105 What are my responsibilities under
this part?
586.106 What happens if I fail to comply
with this part?
586.107 Who can hold a grant under this
part?
586.108 How do I show that I am qualified
to be a grant holder?
586.109 When must I notify BOEM if an
action has been filed alleging that I am
insolvent or bankrupt?
586.110 When must I notify BOEM of
mergers, name changes, or changes of
business form?
586.111 How do I submit plans,
applications, or notices required by this
part?
586.112 When and how does BOEM charge
me processing fees on a case-by-case
basis?
586.113 Definitions.
586.114 How will data and information
obtained by BOEM under this part be
disclosed to the public?
586.115 Paperwork Reduction Act
statements—information collection.
586.116—586.117 [Reserved]
586.118 What are my appeal rights?
Subpart B—Issuance of Alternate Use RUEs
for Energy- and Marine-Related Activities
Using Existing OCS Facilities
Requesting an Alternate Use RUE
586.200 What must I do before I request an
Alternate Use RUE?
586.201 How do I request an Alternate Use
RUE?
586.202 How will BOEM decide whether to
issue an Alternate Use RUE?
586.203 What process will BOEM use for
competitively offering an Alternate Use
RUE
586.204–586.209 [Reserved]
Alternate Use RUE Administration
586.210 How long may I conduct activities
under an Alternate Use RUE?
586.211 What payments are required for an
Alternate Use RUE?
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586.212 What financial assurance is
required for an Alternate Use RUE?
586.213 Is an Alternate Use RUE
assignable?
586.214 When will BOEM suspend an
Alternate Use RUE?
586.215 How do I relinquish an Alternate
Use RUE?
586.216 When will an Alternate Use RUE
be cancelled?
586.217 [Reserved]
586.218 Who is responsible for
decommissioning an OCS facility subject
to an Alternate Use RUE?
586.219 What are the decommissioning
requirements for an Alternate Use RUE?
Authority: 43 U.S.C. 1337.
Subpart A—General Provisions
§ 586.100
Authority.
The authority for this part derives
from subsection 8 of the Outer
Continental Shelf Lands Act (OCS
Lands Act) (43 U.S.C. 1337). The
Secretary of the Interior delegated to the
Bureau of Ocean Energy Management
(BOEM) the authority to regulate
activities under section 1337(p)(1)(D) of
OCS Lands Act.
§ 586.101
What is the purpose of this part?
The purpose of this part is to:
(a) Establish procedures for issuance
and administration of right-of-use and
easement (RUE) grants for the alternate
use of existing OCS facilities for energy
or marine-related purposes;
(b) Inform you and third parties of
your obligations when you undertake
activities authorized in this part; and
(c) Ensure that activities involving the
alternate use of OCS facilities for energy
or marine-related purposes are
conducted in a safe and
environmentally sound manner, in
conformance with the requirements of
subsection 8(p) of the OCS Lands Act,
other applicable laws and regulations,
and the terms of your Alternate Use
RUE grant.
(d) This part will not convey access
rights for oil, gas, or other minerals.
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§ 586.102 What activities does this part
regulate?
(a) This part provides the general
provisions for authorizing and
regulating activities that use, or propose
to use, an existing OCS facility for
energy- or marine-related purposes, that
are not otherwise authorized under any
other part of this subchapter or any
other applicable Federal statute.
Activities authorized under any other
part of this subchapter or under any
other Federal law that use (or propose
to use) an existing OCS facility are not
subject to this part.
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(b) BOEM will issue an Alternate Use
RUE for activities authorized under this
part.
(c) At the discretion of the Director,
an Alternate Use RUE may:
(1) Permit alternate use activities to
occur at an existing facility that is
currently in use under an approved OCS
lease; or
(2) Limit alternate use activities at the
existing facility until after previously
authorized activities at the facility have
ceased and the OCS lease terminates.
§ 586.103 What are BOEM’s
responsibilities under this part?
(a) BOEM will ensure that any
activities authorized in this part are
carried out in a manner that provides
for:
(1) Safety;
(2) Protection of the environment;
(3) Prevention of waste;
(4) Conservation of the natural
resources of the OCS;
(5) Coordination with relevant Federal
agencies (including, in particular, those
agencies involved in planning activities
that are undertaken to avoid conflicts
among users and to maximize the
economic and ecological benefits of the
OCS, including multifaceted spatial
planning efforts);
(6) Protection of National security
interests of the United States;
(7) Protection of the rights of other
authorized users of the OCS;
(8) A fair return to the United States;
(9) Prevention of interference with
reasonable uses (as determined by the
Secretary or Director) of the exclusive
economic zone, the high seas, and the
territorial seas;
(10) Consideration of the location of
and any schedule relating to a grant
under this part for an area of the OCS,
and any other use of the sea or seabed;
(11) Public notice and comment on
any proposal submitted for a grant
under this part; and
(12) Oversight, research, and
monitoring of activities authorized by a
grant under this part.
(b) BOEM will require compliance
with all applicable laws, regulations,
other requirements, and the terms of
your grant and approved plans under
this part. BOEM will approve,
disapprove, or approve with conditions
any plans, applications, or other
documents submitted to BOEM for
approval under the provisions of this
part.
(c) Unless otherwise provided in this
part, BOEM may give oral directives or
decisions whenever prior BOEM
approval is required under this part.
BOEM will document in writing any
such oral directives within 10 business
days.
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(d) BOEM will establish practices and
procedures to govern the collection of
all payments due to the Federal
Government, including any cost
recovery fees, rents, operating fees, and
other fees or payments. BOEM will do
this in accordance with the terms of this
part, the grant under this part, and
applicable Office of Natural Resources
Revenue (ONRR) regulations or
guidance.
(e) BOEM will provide for
coordination and consultation with the
Governor of any State, the executive of
any local government, and the executive
of any Indian Tribe that may be affected
by a grant issued under this part. BOEM
may invite any affected State Governor,
representative of an affected Indian
Tribe, and affected local government
executive to join in establishing a task
force or other joint planning or
coordination agreement in carrying out
our responsibilities under this part.
§ 586.104 When may BOEM prescribe or
approve departures from the regulations in
this part?
(a) BOEM may prescribe or approve
departures from these regulations when
departures are necessary to:
(1) Facilitate the appropriate activities
on a grant under this part;
(2) Conserve natural resources;
(3) Protect life (including human and
wildlife), property, or the marine,
coastal, or human environment; or
(4) Protect sites, structures, or objects
of historical or archaeological
significance.
(b) Any departure approved under
this section and its rationale must:
(1) Be consistent with subsection 8(p)
of the OCS Lands Act;
(2) Protect the environment and the
public health and safety to the same
degree as if there was no approved
departure from the regulations;
(3) Not impair the rights of third
parties; and
(4) Be documented in writing.
§ 586.105 What are my responsibilities
under this part?
As an applicant, operator, or holder of
an Alternate Use RUE grant, you must:
(a) Design your projects and conduct
all activities in a manner that ensures
safety and will not cause undue harm or
damage to natural resources, including
their physical, atmospheric, and
biological components to the extent
practicable; and take measures to
prevent unauthorized discharge of
pollutants including marine trash and
debris into the offshore environment.
(b) Submit requests, applications,
plans, notices, modifications, and
supplemental information to BOEM as
required by this part;
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(c) Follow-up, in writing, any oral
request or notification you made, within
3 business days;
(d) Comply with the terms,
conditions, and provisions of all reports
and notices submitted to BOEM, and of
all plans, revisions, and other BOEM
approvals, as provided in this part;
(e) Make all applicable payments on
time;
(f) Comply with the DOI’s nonprocurement debarment regulations at 2
CFR part 1400;
(g) Include the requirement to comply
with 2 CFR part 1400 in all contracts
and transactions related to a lease or
grant under this part;
(h) Conduct all activities authorized
by the lease or grant in a manner
consistent with the provisions of
subsection 8(p) of the OCS Lands Act;
(i) Compile, retain, and make
available to BOEM representatives,
within the time specified by BOEM, any
data and information related to the site
assessment, design, and operations of
your project; and
(j) Respond to requests from the
Director in a timely manner.
§ 586.106 What happens if I fail to comply
with this part?
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(a) BOEM may take appropriate
corrective action under this part if you
fail to comply with applicable
provisions of Federal law, the
regulations in this part, other applicable
regulations, any order of the Director,
the provisions of a grant issued under
this part, or the requirements of an
approved plan or other approval under
this part.
(b) BOEM may issue to you a notice
of noncompliance if we determine that
there has been a violation of the
regulations in this part, any order of the
Director, or any provision of your grant
or other approval issued under this part.
When issuing a notice of
noncompliance, BOEM will serve you at
your last known address.
(c) A notice of noncompliance will
tell you how you failed to comply with
this part or any order of the Director,
and/or the provisions of your grant or
other approval, and will specify what
you must do to correct the
noncompliance and the time limits
within which you must act.
(d) Failure of an operator or grant
holder to take the actions specified in a
notice of noncompliance issued under
this part within the time limit specified
provides the basis for cancellation of the
grant by the Secretary (§ 586.216).
(e) BOEM may assess civil penalties,
as authorized by section 24 of the OCS
Lands Act, if you fail to comply with
any provision of this part or any term
of a grant or order issued under the
authority of this part, after notice of
such failure and expirations of any
reasonable period allowed for corrective
action. Civil penalties will be
determined and assessed in accordance
with the procedures set forth in 30 CFR
part 550, subpart N.
(f) You may be subject to criminal
penalties as authorized by section 24 of
the OCS Lands Act.
§ 586.107
part?
Who can hold a grant under this
(a) You may hold a grant under this
part if you can demonstrate that you
have the technical and financial
capabilities to conduct the activities
authorized by the grant and you are a(n):
(1) Citizen or national of the United
States;
(2) Alien lawfully admitted for
permanent residence in the United
States as defined in 8 U.S.C. 1101(a)(20);
(3) Private, public, or municipal
corporations organized under the laws
of any State of the United States, the
District of Columbia, or any territory or
insular possession subject to U.S.
jurisdiction;
(4) Association of such citizens,
nationals, resident aliens, or
corporations;
(5) Executive agency of the United
States as defined in section 105 of Title
5 of the U.S. Code;
(6) State of the United States; or
(7) Political subdivision of a State of
the United States.
(b) You may not hold a grant under
this part or acquire an interest in a grant
under this part if:
(1) You or your principals are
excluded or disqualified from
participating in transactions covered by
the Federal non-procurement debarment
and suspension system (2 CFR part
1400), unless BOEM explicitly has
approved an exception for this
transaction;
(2) BOEM determines or has
previously determined after notice and
Requirements to qualify to hold grants on the OCS:
(1) Original certificate or certified copy from the State of incorporation
stating the name of the corporation exactly as it must appear on all
legal documents.
(2) Certified statement by Secretary/Assistant Secretary over corporate
seal, certifying that the corporation is authorized to hold OCS grants.
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opportunity for a hearing that you or
your principals have failed to meet or
exercise due diligence under any OCS
lease or grant; or
(3) BOEM determines or has
previously determined after notice and
opportunity for a hearing that you:
(i) Remained in violation of the terms
and conditions of any lease or grant
issued under the OCS Lands Act for a
period extending longer than 30 days (or
such other period allowed for
compliance) BSEE directed you to
comply; and
(ii) You took no action to correct the
noncompliance within that time period.
§ 586.108 How do I show that I am
qualified to be a grant holder?
(a) You must demonstrate your
technical and financial capability to
construct, operate, maintain, and
terminate/decommission projects for
which you are requesting authorization.
Documentation can include:
(1) Descriptions of international or
domestic experience with renewable
energy projects or other types of
electric-energy-related projects; and
(2) information establishing access to
sufficient capital to carry out
development.
(b) An individual must submit a
written statement of citizenship status
attesting to U.S. citizenship. It does not
need to be notarized nor give the age of
individual. A resident alien may submit
a photocopy of the U.S. Citizenship and
Immigration Services form evidencing
legal status of the resident alien.
(c) A corporation or association must
submit evidence, as specified in the
table in paragraph (d) of this section,
acceptable to BOEM that:
(1) It is qualified to hold grants under
this part;
(2) It is authorized to conduct
business under the laws of its State;
(3) It is authorized to hold grants on
the OCS under the operating rules of its
business; and
(4) The persons holding the titles
listed are authorized to bind the
corporation or association when
conducting business with BOEM.
(d) Acceptable evidence under
paragraph (c) of this section includes,
but is not limited to the following:
Corp.
Ltd.
prtnsp.
Gen.
prtnsp.
LLC
Trust
XX
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Requirements to qualify to hold grants on the OCS:
(3) Evidence of authority of titled positions to bind corporation, certified
by Secretary/Assistant Secretary over corporate seal, including the
following:
(i) Certified copy of resolution of the board of directors with titles
of officers authorized to bind corporation.
(ii) Certified copy of resolutions granting corporate officer authority
to issue a power of attorney.
(iii) Certified copy of power of attorney or certified copy of resolution granting power of attorney.
(4) Original certificate or certified copy of partnership or organization
paperwork registering with the appropriate State official.
(5) Copy of articles of partnership or organization evidencing filing with
appropriate Secretary of State, certified by Secretary/Assistant Secretary of partnership or member or manager of LLC.
(6) Original certificate or certified copy evidencing State where partnership or LLC is registered. Statement of authority to hold OCS
leases, certified by Secretary/Assistant Secretary, OR original paperwork registering with the appropriate State official.
(7) Statements from each partner or LLC member indicating the following:
(i) If a corporation or partnership, statement of State of organization and authorization to hold OCS grants, certified by Secretary/Assistant Secretary over corporate seal, if a corporation.
(ii) If an individual, a statement of citizenship.
(8) Statement from general partner, certified by Secretary/Assistant
Secretary that:
(i) Each individual limited partner is a U.S. citizen and;
(ii) Each corporate limited partner or other entity is incorporated or
formed and organized under the laws of a U.S. State or territory.
(9) Evidence of authority to bind partnership or LLC, if not specified in
partnership agreement, articles of organization, or LLC regulations,
i.e., certificates of authority from Secretary/Assistant Secretary reflecting authority of officers.
(10) Listing of members of LLC certified by Secretary/Assistant Secretary or any member or manager of LLC.
(11) Copy of trust agreement or document establishing the trust and all
amendments, properly certified by the trustee with reference to
where the original documents are filed.
(12) Statement indicating the law under which the trust is established
and that the trust is authorized to hold OCS grants.
(e) A local, State, or Federal executive
entity must submit a written statement
that:
(1) It is qualified to hold grants under
this part; and
(2) The person(s) acting on behalf of
the entity is authorized to bind the
entity when conducting business with
us.
(f) BOEM may require you to submit
additional information at any time
considering your bid or request for a
noncompetitive grant.
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§ 586.109 When must I notify BOEM if an
action has been filed alleging that I am
insolvent or bankrupt?
You must notify BOEM within 3business days after you learn of any
action filed alleging that you are
insolvent or bankrupt.
§ 586.110 When must I notify BOEM of
mergers, name changes, or changes of
business form?
You must notify BOEM in writing of
any merger, name change, or change of
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Ltd.
prtnsp.
Gen.
prtnsp.
LLC
Trust
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business form. You must notify BOEM
as soon as practicable following the
merger, name change, or change in
business form, but no later than 120
days after the earliest of either the
effective date, or the date of filing the
change or action with the Secretary of
the State or other authorized official in
the State of original registry.
§ 586.111 How do I submit plans,
applications, or notices required by this
part?
(a) You must submit all plans,
applications, or notices required by this
part to BOEM at the following address:
Office of Renewable Energy Programs,
45600 Woodland Road, Sterling, VA
20166.
(b) Unless otherwise stated, you must
submit one paper copy and one
electronic copy of all plans,
applications, or notices required by this
part.
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§ 586.112 When and how does BOEM
charge me processing fees on a case-bycase basis?
(a) BOEM will charge a processing fee
on a case-by-case basis under the
procedures in this section with regard to
any application or request under this
part if we decide at any time that the
preparation of a particular document or
study is necessary for the application or
request and it will have a unique
processing cost, such as the preparation
of an environmental assessment (EA) or
environmental impact statement (EIS).
(1) Processing costs will include
contract oversight and efforts to review
and approve documents prepared by
contractors, whether the contractor is
paid directly by the applicant or
through BOEM.
(2) We may apply a standard overhead
rate to direct processing costs.
(b) We will assess the ongoing
processing fee for each individual
application or request according to the
following procedures:
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(1) Before we process your application
or request, we will give you a written
estimate of the proposed fee based on
reasonable processing costs.
(2) You may comment on the
proposed fee.
(3) You may:
(i) Ask for our approval to perform, or
to directly pay a contractor to perform,
all or part of any document, study, or
other activity according to standards we
specify, thereby reducing our costs for
processing your application or request;
or
(ii) Ask to pay us to perform, or
contract for, all or part of any document,
study, or other activity.
(4) We will then give you the final
estimate of the processing fee amount
with payment terms and instructions
after considering your comments and
any BOEM-approved work you will do.
(i) If we encounter higher or lower
processing costs than anticipated, we
will re-estimate our reasonable
processing costs following the
procedures in paragraphs (b)(1) through
(4) of this section, but we will not stop
ongoing processing unless you do not
pay in accordance with paragraph (b)(5)
of this section.
(ii) Once processing is complete, we
will refund to you the amount of money
that we did not spend on processing
costs.
(5)(i) Consistent with the payment
and billing terms provided in the final
estimate, we will periodically estimate
what our reasonable processing costs
will be for a specific period and will bill
you for that period. Payment is due to
us 30 days after you receive your bill.
We will stop processing your document
if you do not pay the bill by the date
payment is due.
(ii) If a periodic payment turns out to
be more or less than our reasonable
processing costs for the period, we will
adjust the next billing accordingly or
make a refund. Do not deduct any
amount from a payment without our
prior written approval.
(6) You must pay the entire fee before
we will issue the final document or take
final action on your application or
request.
(7) You may appeal our estimated
processing costs in accordance with the
regulations in 43 CFR part 4. We will
not process the document further until
the appeal is resolved, unless you pay
the fee under protest while the appeal
is pending. If the appeal results in a
decision changing the proposed fee, we
will adjust the fee in accordance with
paragraph (b)(5)(ii) of this section. If we
adjust the fee downward, we will not
pay interest.
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§ 586.113
Definitions.
Terms used in this part have the
meanings as defined in this section:
Affected local government means with
respect to any activities proposed,
conducted, or approved under this part,
any locality—
(1) That is, or is proposed to be, the
site of gathering, transmitting, or
distributing electricity or other energy
product, or is otherwise receiving,
processing, refining, or transshipping
product, or services derived from
activities approved under this part;
(2) That is used, or is proposed to be
used, as a support base for activities
approved under this part; or
(3) In which there is a reasonable
probability of significant effect on land
or water uses from activities approved
under this part.
Affected State means with respect to
any activities proposed, conducted, or
approved under this part, any coastal
State—
(1) That is, or is proposed to be, the
site of gathering, transmitting, or
distributing energy or is otherwise
receiving, processing, refining, or
transshipping products, or services
derived from activities approved under
this part;
(2) That is used, or is scheduled to be
used, as a support base for activities
approved under this part; or
(3) In which there is a reasonable
probability of significant effect on land
or water uses from activities approved
under this part.
Alternate Use refers to the energy- or
marine-related use of an existing OCS
facility for activities not otherwise
authorized by this part.
Alternate Use RUE means a right-ofuse and easement issued for activities
authorized under this part.
Archaeological resource means any
material remains of human life or
activities that are at least 50 years of age
and that are of archaeological interest
(i.e., which are capable of providing
scientific or humanistic understanding
of past human behavior, cultural
adaptation, and related topics through
the application of scientific or scholarly
techniques, such as controlled
observation, contextual measurement,
controlled collection, analysis,
interpretation, and explanation).
BOEM means Bureau of Ocean Energy
Management of the Department of the
Interior.
BSEE means Bureau of Safety and
Environmental Enforcement of the
Department of the Interior.
Decommissioning means removing
BOEM and BSEE approved facilities and
returning the site of the grant to a
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condition that meets the requirements of
this part.
Director means the Director of the
Bureau of Ocean Energy Management
(BOEM), of the Department of the
Interior, or an official authorized to act
on the Director’s behalf.
Facility means an installation that is
permanently or temporarily attached to
the seabed of the OCS. Facilities include
any structures; devices; appurtenances;
gathering, transmission, and
distribution cables; pipelines; and
permanently moored vessels. Any group
of OCS installations interconnected
with walkways, or any group of
installations that includes a central or
primary installation with one or more
satellite or secondary installations, is a
single facility. BOEM and BSEE may
decide that the complexity of the
installations justifies their classification
as separate facilities.
Governor means the Governor of a
State or the person or entity lawfully
designated by or under State law to
exercise the powers granted to a
Governor.
Grant means an alternate use right-ofuse and easement issued under the
provisions of this part.
Human environment means the
physical, social, and economic
components, conditions, and factors
that interactively determine the state,
condition, and quality of living
conditions, employment, and health of
those affected, directly or indirectly, by
activities occurring on the OCS.
Lease means an agreement
authorizing the use of a designated
portion of the OCS for activities allowed
under 30 CFR part 585. The term also
means the area covered by that
agreement, when the context requires.
Lessee means the holder of a lease, a
BOEM-approved assignee, and, when
describing the conduct required of
parties engaged in activities on the
lease, it also refers to the operator and
all persons authorized by the holder of
the lease or operator to conduct
activities on the lease.
Income, unless clearly specified to the
contrary, refers to the money received
by the project owner or holder of the
lease or grant issued under this part.
The term does not mean that project
receipts exceed project expenses.
Marine environment means the
physical, atmospheric, and biological
components, conditions, and factors
that interactively determine the
productivity, state, condition, and
quality of the marine ecosystem. These
include the waters of the high seas, the
contiguous zone, transitional and
intertidal areas, salt marshes, and
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wetlands within the coastal zone and on
the OCS.
Natural resources include, without
limiting the generality thereof,
renewable energy, oil, gas, and all other
minerals (as defined in section 2(q) of
the OCS Lands Act), and marine animal
and marine plant life.
Operator means the individual,
corporation, or association having
control or management of activities on
the grant under this part. The operator
may be a grant holder or a contractor
designated by the holder of a grant
under this part.
Outer Continental Shelf (OCS) means
all submerged lands lying seaward and
outside of the area of lands beneath
navigable waters, as defined in section
2 of the Submerged Lands Act (43
U.S.C. 1301), whose subsoil and seabed
appertain to the United States and are
subject to its jurisdiction and control.
Person means, in addition to a natural
person, an association (including
partnerships and joint ventures); a
Federal agency; a State; a political
subdivision of a State; a Native
American Tribal government; or a
private, public, or municipal
corporation.
Project, for the purposes of defining
the source of revenues to be shared,
means an Alternate Use RUE on which
the activities authorized under this part
are conducted on the OCS. The term
‘‘project’’ may be used elsewhere in this
rule to refer to these same authorized
activities, the facilities used to conduct
these activities, or to the geographic area
of the project, i.e., the project area.
Project area means the geographic
surface leased, or granted, for the
purpose of a specific project. If OCS
acreage is granted for a project under
some form of agreement other than a
lease (i.e., a ROW, or RUE, or Alternate
Use RUE issued under this part or 30
CFR part 585), the Federal acreage
granted would be considered the project
area.
Renewable Energy means energy
resources other than oil and gas and
minerals as defined in 30 CFR part 580.
Such resources include, but are not
limited to, wind, solar, and ocean
waves, tides, and current.
Revenues mean bonuses, rents,
operating fees, and similar payments
made in connection with a project. It
does not include administrative fees
such as those assessed for cost recovery,
civil penalties, and forfeiture of
financial assurance.
Secretary means the Secretary of the
Interior or an official authorized to act
on the Secretary’s behalf.
Significant archaeological resource
means an archaeological resource that
meets the criteria of significance for
eligibility for listing in the National
Register of Historic Places, as defined in
36 CFR 60.4 or its successor.
We, us, and our refer to the Bureau of
Ocean Energy Management of the
Department of the Interior, or its
possessive, depending on the context.
You and your means an applicant, the
operator or designated operator of an
Alternate Use RUE, or an Alternate Use
RUE grant holder under this part, or the
designated agent of any of these, or the
possessive of each, depending on the
context. The terms you and your also
include contractors and subcontractors
of the entities specified in the preceding
sentence.
§ 586.114 How will data and information
obtained by BOEM under this part be
disclosed to the public?
(a) BOEM will make data and
information available in accordance
with the requirements and subject to the
limitations of the Freedom of
Information Act (FOIA) (5 U.S.C. 552)
and the regulations contained in 43 CFR
part 2.
(b) BOEM will not release such data
and information that we have
determined is exempt from disclosure
under exemption 4 of FOIA. We will
review such data and information and
objections of the submitter to determine
whether release at that time will result
in substantial competitive harm or
disclosure of trade secrets.
30 CFR 586 subpart and title
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(2) Subpart B—Issuance of Alternate Use RUEs
for Energy- and Marine-Related Activities
Using Existing OCS Facilities.
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(c) After considering any objections
from the submitter, if we determine that
release of such data and information
will result in:
(1) No substantial competitive harm
or disclosure of trade secrets, then the
data and information will be released.
(2) Substantial competitive harm or
disclosure of trade secrets, then the data
and information will not be released at
that time but will be subject to further
review every 3 years thereafter.
§ 586.115 Paperwork Reduction Act
statements—information collection.
(a) The Office of Management and
Budget (OMB) has approved the
information collection requirements in
this part under 44 U.S.C. 3501, et seq.,
and assigned OMB Control Number
1010–0176. The table in paragraph (e) of
this section lists the subparts in the rule
requiring the information and its title,
summarizes the reasons for collecting
the information, and summarizes how
BOEM uses the information.
(b) Respondents are primarily
Alternate Use RUE grant holders and
operators. The requirement to respond
to the information collection in this part
is mandated under subsection 8(p) of
the OCS Lands Act. Some responses are
also required to obtain or retain a
benefit, or may be voluntary.
(c) The Paperwork Reduction Act of
1995 (44 U.S.C. 3501 et seq.) requires us
to inform the public that an agency may
not conduct or sponsor, and you are not
required to respond to, a collection of
information unless it displays a
currently valid OMB control number.
(d) Comments regarding any aspect of
the collections of information under this
part, including suggestions for reducing
the burden, should be sent to the
Information Collection Clearance
Officer, Bureau of Ocean Energy
Management, 45600 Woodland Road,
Sterling, VA 20166.
(e) BOEM is collecting this
information for the reasons given in the
following table:
Reasons for collecting information and how used
(1) Subpart A—General Provisions ....................
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To inform BOEM of actions taken to comply with general operational requirements on the
OCS. To ensure that operations on the OCS meet statutory and regulatory requirements,
are safe and protect the environment, and result in diligent development on OCS leases.
To enable BOEM to review information regarding the design, installation, and operation of Alternate Use RUEs on the OCS, to ensure that Alternate Use RUE operations are safe and
protect the human, marine, and coastal environment. To ensure adherence with other Federal laws, these regulations, the Alternate Use RUE grant, and, where applicable, the approved plan.
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§§ 586.116–586.117
§ 586.118
[Reserved]
What are my appeal rights?
(a) Any party adversely affected by a
BOEM official’s final decision or order
issued under the regulations of this part
may appeal that decision or order to the
Interior Board of Land Appeals. The
appeal must conform with the
procedures found in part 590 of this
chapter and in 43 CFR part 4, subpart
E. Appeal of a final decision for bid
acceptance is covered under paragraph
(c) of this section.
(b) A decision will remain in full
force and effect during the period in
which an appeal may be filed and
during an appeal, unless a stay is
granted pursuant to 43 CFR part 4.
(c) Our decision on a bid is the final
action of the Department, except that an
unsuccessful bidder may apply for
reconsideration by the Director.
(1) A bidder whose bid we reject may
file a written request for reconsideration
with the Director within 15 days of the
date of the receipt of the notice of
rejection, accompanied by a statement
of reasons, with one copy to us. The
Director will respond in writing either
affirming or reversing the decision.
(2) The delegation of review authority
given to the Office of Hearings and
Appeals does not apply to decisions on
high bids for leases or grants under this
part.
Subpart B—Issuance of Alternate Use
RUEs for Energy- and Marine-Related
Activities Using Existing OCS Facilities
Requesting an Alternate Use RUE
§ 586.200 What must I do before I request
an Alternate Use RUE?
If you are not the owner of the
existing facility on the OCS and the
lessee of the area in which the facility
is located, you must contact the lessee
and owner of the facility and reach a
preliminary agreement as to the
proposed activity for the use of the
existing facility.
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§ 586.201 How do I request an Alternate
Use RUE?
To request an Alternate Use RUE, you
must submit to BOEM all of the
following:
(a) The name, address, email address,
and phone number of an authorized
representative.
(b) A summary of the proposed
activities for the use of an existing OCS
facility, including:
(1) The type of activities that would
involve the use of the existing OCS
facility;
(2) A description of the existing OCS
facility, including a map providing its
location on the lease block;
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(3) The names of the owner of the
existing OCS facility, the operator, the
lessee, and any owner of operating
rights on the lease at which the facility
is located;
(4) A description of additional
structures or equipment that will be
required to be located on or in the
vicinity of the existing OCS facility in
connection with the proposed activities;
(5) A statement indicating whether
any of the proposed activities are
intended to occur before existing
activities on the OCS facility have
ceased; and
(6) A statement describing how
existing activities at the OCS facility
will be affected if proposed activities are
to occur at the same time as existing
activities at the OCS facility.
(c) A statement affirming that the
proposed activities sought to be
approved under this subpart are not
otherwise authorized by other
provisions in this subchapter or any
other Federal law.
(d) Evidence that you meet the
requirements of § 586.107, as required
by § 586.108.
(e) The signatures of the applicant, the
owner of the existing OCS facility, and
the lessee of the area in which the
existing facility is located.
§ 586.202 How will BOEM decide whether
to issue an Alternate Use RUE?
(a) We will consider requests for an
Alternate Use RUE on a case-by-case
basis. In considering such requests, we
will consult with relevant Federal
agencies and evaluate whether the
proposed activities involving the use of
an existing OCS facility can be
conducted in a manner that:
(1) Ensures safety and minimizes
adverse effects to the coastal and marine
environments, including their physical,
atmospheric, and biological
components, to the extent practicable;
(2) Does not inhibit or restrain orderly
development of OCS mineral or energy
resources;
(3) Avoids serious harm or damage to,
or waste of, any natural resource
(including OCS mineral deposits and
oil, gas, and sulfur resources in areas
leased or not leased), any life (including
fish and other aquatic life), or property
(including sites, structures, or objects of
historical or archaeological
significance);
(4) Is otherwise consistent with
subsection 8(p) of the OCS Lands Act;
and
(5) DOI can effectively regulate.
(b) Based on the evaluation that we
perform under paragraph (a) of this
section, BOEM may authorize, reject, or
authorize with modifications or
stipulations, the proposed activity.
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§ 586.203 What process will BOEM use for
competitively offering an Alternate Use
RUE?
(a) An Alternate Use RUE must be
issued on a competitive basis unless
BOEM determines, after public notice of
the proposed Alternate Use RUE, that
there is no competitive interest.
(b) We will issue a public notice in
the Federal Register to determine if
there is competitive interest in using the
proposed facility for alternate use
activities. BOEM will specify a time
period for members of the public to
express competitive interest.
(c) If we receive indications of
competitive interest within the
published timeframe, we will proceed
with a competitive offering. As part of
such competitive offering, each
competing applicant must submit a
description of the types of activities
proposed for the existing facility, as
well as satisfactory evidence that the
competing applicant qualifies to hold a
grant on the OCS, as required in
§§ 586.107 and 586.108, by a date we
specify. We may request additional
information from competing applicants,
as necessary, to adequately evaluate the
competing proposals.
(d) We will evaluate all competing
proposals to determine whether:
(1) The proposed activities are
compatible with existing activities at the
facility; and
(2) BOEM and BSEE have the
expertise and resources available to
regulate the activities effectively.
(e) We will evaluate all proposals
under the requirements of NEPA,
CZMA, and other applicable laws.
(f) Following our evaluation, we will
select one or more acceptable proposals
for activities involving the alternate use
of an existing OCS facility, notify the
competing applicants, and submit each
acceptable proposal to the lessee and
owner of the existing OCS facility. If the
lessee and owner of the facility agree to
accept a proposal, we will proceed to
issue an Alternate Use RUE. If the lessee
and owner of the facility are unwilling
to accept any of the proposals that we
deem acceptable, we will not issue an
Alternate Use RUE.
§ § 586.204–586.209
[Reserved]
Alternate Use RUE Administration
§ 586.210 How long may I conduct
activities under an Alternate Use RUE?
(a) We will establish on a case-by-case
basis, and set forth in the Alternate Use
RUE, the length of time for which you
are authorized to conduct activities
approved in your Alternate Use RUE
instrument.
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(b) In establishing this term, BOEM
will consider the size and scale of the
proposed alternate use activities, the
type of alternate use activities, and any
other relevant considerations.
(c) BOEM may authorize renewal of
Alternate Use RUEs at its discretion.
§ 586.211 What payments are required for
an Alternate Use RUE?
We will establish rental or other
payments for an Alternate Use RUE on
a case-by-case basis, as set forth in the
Alternate Use RUE grant, depending on
our assessment of the following factors:
(a) The effect on the original OCS
Lands Act approved activity;
(b) The size and scale of the proposed
alternate use activities;
(c) The income, if any, expected to be
generated from the proposed alternate
use activities; and
(d) The type of alternate use activities.
§ 586.212 What financial assurance is
required for an Alternate Use RUE?
(a) The holder of an Alternate Use
RUE will be required to secure financial
assurances in an amount determined by
BOEM that is sufficient to cover all
obligations under the Alternate Use
RUE, including decommissioning
obligations, and must retain such
financial assurance amounts until all
obligations have been fulfilled, as
determined by BOEM.
(b) We may revise financial assurance
amounts, as necessary, to ensure that
there is sufficient financial assurance to
secure all obligations under the
Alternate Use RUE.
(c) We may reduce the amount of the
financial assurance that you must retain
if it is not necessary to cover existing
obligations under the Alternate Use
RUE.
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§ 586.213 Is an Alternate Use RUE
assignable?
(a) BOEM may authorize assignment
of an Alternate Use RUE.
(b) To request assignment of an
Alternate Use RUE, you must submit a
written request for assignment that
includes the following information:
(1) BOEM-assigned Alternate Use RUE
number;
(2) The names of both the assignor
and the assignee, if applicable;
(3) The names and telephone numbers
of the contacts for both the assignor and
the assignee;
(4) The names, titles, and signatures
of the authorizing officials for both the
assignor and the assignee;
(5) A statement affirming that the
owner of the existing OCS facility and
lessee of the lease in which the facility
is located approve of the proposed
assignment and assignee;
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(6) A statement that the assignee
agrees to comply with and to be bound
by the terms and conditions of the
Alternate Use RUE;
(7) Evidence required by § 586.108
that the assignee satisfies the
requirements of § 586.107; and
(8) A statement on how the assignee
will comply with the financial
assurance requirements set forth in the
Alternate Use RUE.
(c) The assignment takes effect on the
date we approve your request.
(d) The assignor is liable for all
obligations that accrue under an
Alternate Use RUE before the date we
approve your assignment request. An
assignment approval by BOEM does not
relieve the assignor of liability for
accrued obligations that the assignee, or
a subsequent assignee, fails to perform.
(e) The assignee and each subsequent
assignee are liable for all obligations
that accrue under an Alternate Use RUE
after the date we approve the
assignment request.
§ 586.214 When will BOEM suspend an
Alternate Use RUE?
(a) BOEM may suspend an Alternate
Use RUE if:
(1) necessary to comply with judicial
decrees; or
(2) necessary for reasons of national
security or defense.
(b) A suspension will extend the term
of your Alternate Use RUE grant for the
period of the suspension.
§ 586.215 How do I relinquish an Alternate
Use RUE?
(a) You may voluntarily surrender an
Alternate Use RUE by submitting a
written request to us that includes the
following:
(1) The name, address, email address,
and phone number of an authorized
representative;
(2) The reason you are requesting
relinquishment of the Alternate Use
RUE;
(3) BOEM-assigned Alternate Use RUE
number;
(4) The name of the associated OCS
facility, its owner, and the lessee for the
lease in which the OCS facility is
located;
(5) The name, title, and signature of
your authorizing official (which must
match exactly the name, title, and
signature in the BOEM qualification
records); and
(6) A statement that you will adhere
to the decommissioning requirements in
the Alternate Use RUE.
(b) We will not approve your
relinquishment request until you have
paid all outstanding rentals (or other
payments) and fines.
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(c) The relinquishment takes effect on
the date we approve your request.
§ 586.216 When will an Alternate Use RUE
be cancelled?
The Secretary may cancel an
Alternate Use RUE if it is determined,
after notice and opportunity to be heard:
(a) You no longer qualify to hold an
Alternate Use RUE;
(b) You failed to provide any
additional financial assurance required
by BOEM, replace or provide additional
coverage for a de-valued bond, or
replace a lapsed or forfeited bond
within the prescribed time period;
(c) Continued activity under the
Alternate Use RUE is likely to cause
serious harm or damage to natural
resources; life (including human and
wildlife); property; the marine, coastal,
or human environment; or sites,
structures, or objects of historical or
archaeological significance;
(d) Continued activity under the
Alternate Use RUE is determined to be
adversely impacting the original OCS
Lands Act approved activities on the
existing OCS facility;
(e) You failed to comply with any of
the terms and conditions of your
approved Alternate Use RUE or your
approved plan; or
(f) You otherwise failed to comply
with applicable laws or regulations.
§ 586.217
[Reserved]
§ 586.218 Who is responsible for
decommissioning an OCS facility subject to
an Alternate Use RUE?
(a) The holder of an Alternate Use
RUE is responsible for all
decommissioning obligations that
accrue following the issuance of the
Alternate Use RUE and which pertain to
the Alternate Use RUE.
(b) The lessee under the lease
originally issued under 30 CFR chapter
V will remain responsible for
decommissioning obligations that
accrued before issuance of the Alternate
Use RUE, as well as for
decommissioning obligations that
accrue following issuance of the
Alternate Use RUE to the extent
associated with continued activities
authorized under other parts of this
title.
§ 586.219 What are decommissioning
requirements for an Alternate Use RUE?
(a) Decommissioning requirements
will be determined by BOEM and BSEE
on a case-by-case basis and will be
included in the terms of the Alternate
Use RUE.
(b) Decommissioning activities must
be completed within 1 year of
termination of the Alternate Use RUE.
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(c) If you fail to satisfy all
decommissioning requirements within
the prescribed time period, BOEM will
call for the forfeiture of your bond or
other financial guarantee, and you will
remain liable for all accidents or
damages that might result from such
failure.
[FR Doc. 2023–00871 Filed 1–30–23; 8:45 am]
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]]>Agencies
[Federal Register Volume 88, Number 20 (Tuesday, January 31, 2023)]
[Rules and Regulations]
[Pages 6376-6476]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2023-00871]
[[Page 6375]]
Vol. 88
Tuesday,
No. 20
January 31, 2023
Part II
Department of the Interior
-----------------------------------------------------------------------
Bureau of Safety and Environmental Enforcement
Bureau of Ocean Energy Management
-----------------------------------------------------------------------
30 CFR Parts 285, 585, and 586
Reorganization of Title 30--Renewable Energy and Alternate Uses of
Existing Facilities on the Outer Continental Shelf; Final Rule
Federal Register / Vol. 88 , No. 20 / Tuesday, January 31, 2023 /
Rules and Regulations
[[Page 6376]]
-----------------------------------------------------------------------
DEPARTMENT OF THE INTERIOR
Bureau of Safety and Environmental Enforcement
30 CFR Part 285
[Docket No. BSEE-2022-0015; EEEE500000 223E1700D2 ET1SF0000.EAQ000]
RIN 1082-AA03
Bureau of Ocean Energy Management
30 CFR Parts 585 and 586
[Docket No. BOEM-2022-0042]
Reorganization of Title 30--Renewable Energy and Alternate Uses
of Existing Facilities on the Outer Continental Shelf
AGENCY: Bureau of Safety and Environmental Enforcement (BSEE) and
Bureau of Ocean Energy Management (BOEM), Interior.
ACTION: Final rule.
-----------------------------------------------------------------------
SUMMARY: This rule of agency organization reassigns responsibilities
for the administration of certain regulations governing renewable
energy development and alternate uses of existing facilities on the
Outer Continental Shelf (OCS), consistent with the Secretary of the
Interior's orders and the Departmental Manual. This final rule
transfers the applicable renewable energy Departmental regulations from
BOEM to BSEE. Furthermore, this final rule reassigns renewable energy
regulations pertaining to safety, environmental oversight, and
enforcement from BOEM to BSEE. This rule does not make substantive
changes to current regulatory requirements and does not impose
additional regulatory burdens on the public or the regulated community.
DATES: This final rule is effective January 31, 2023. The incorporation
by reference of certain material listed in the rule is approved by the
Director of the Federal Register as of January 31, 2023.
FOR FURTHER INFORMATION CONTACT: For questions regarding BSEE's
provisions under this rule, contact: Dennis Yang, Regulations and
Standards Branch, BSEE, 45600 Woodland Road, Sterling, VA 20166; email:
[email protected]; telephone: 713-220-9203. For questions regarding BOEM's
provisions under this rule, contact: Georgeann Smale, Office of
Regulations, BOEM, 1849 C Street NW, Mailstop 5243, Washington, DC
20240; email: [email protected]; telephone: 703-544-9246.
SUPPLEMENTARY INFORMATION:
Preamble Table of Contents
I. Preamble Glossary of Abbreviations, Terms, and Acronyms
II. Background
A. Statutory Authority
B. MMS Reorganization
C. Need for Rulemaking
III. Overview of the Rule
A. Final Rulemaking Effective Upon Publication
B. Reorganization of 30 CFR Parts 285, 585, and 586
1. Description of the Transfer of Regulations to BSEE
2. Future Rulemakings
3. Technical Changes and Corrections
4. Information Collection and Forms
5. Incorporation by Reference
C. Derivation Table for 30 CFR Parts 285, 585, and 586
IV. Procedural Matters
A. Statutes
1. Data Quality Act
2. National Environmental Policy Act
3. Paperwork Reduction Act
4. Regulatory Flexibility Act
5. Congressional Review Act (CRA)
6. Unfunded Mandates Reform Act
7. Administrative Procedure Act
B. Executive Orders
1. Executive Order 12630--Takings Implication Assessment
2. Executive Order 12866--Regulatory Planning and Review, and
Executive Order 13563--Improving Regulation and Regulatory Review
3. Executive Order 12988--Civil Justice Reform
4. Executive Order 13132--Federalism
5. Executive Order 13175--Consultation and Coordination With
Indian Tribal Governments
6. Executive Order 13211--Effects on the Nation's Energy Supply
7. Presidential Memorandum of June 1, 1998, on Regulation
Clarity
I. Preamble Glossary of Abbreviations, Terms, and Acronyms
The following are abbreviations, terms, and acronyms used in the
preamble:
APA Administrative Procedure Act
ASLM Assistant Secretary for Land and Minerals Management
BOEM Bureau of Ocean Energy Management
BSEE Bureau of Safety and Environmental Enforcement
CFR Code of Federal Regulations
COP Construction and Operations Plan
CRA Congressional Review Act
CVA Certified Verification Agent
CZMA Coastal Zone Management Act
DOE Department of Energy
DOI or Department of the Interior Department
EIA Energy Information Administration
ESA Endangered Species Act
FDR Facility Design Report
FERC Federal Energy Regulatory Commission
FIR Fabrication and Installation Report
GAP General Activities Plan
IC Information Collection
MMPA Marine Mammal Protection Act
MMS Minerals Management Service (former DOI agency)
NARA National Archives and Records Administration
NEPA National Environmental Policy Act
OCS Outer Continental Shelf
OCSLA Outer Continental Shelf Lands Act
OIG Office of Inspector General
OMB Office of Management and Budget
ONRR Office of Natural Resources Revenue
Pub. L. Public Law
RIN Regulation Identifier Number
ROCIS Regulatory Information Service Center (RISC) and Office of
Information & Regulatory Affairs (OIRA) Consolidated Information
System
ROW Right-of-way
RUE Right-of-use and easement
SAP Site Assessment Plan
Secretary Secretary of the Interior
SMS Safety Management System
Stat. U.S. Statutes at Large
U.S.C. United States Code
II. Background
A. Statutory Authority
In the Energy Policy Act of 2005 (2005 Act), Congress authorized
the Secretary to grant OCS leases for renewable energy activities.\1\
Specifically, the 2005 Act amended OCSLA to add a new subsection
8(p).\2\ Under subsection 8(p), the Secretary has the authority to
issue leases, easements, and ROWs for activities that produce, or that
support the production, transportation, or transmission of, energy from
sources other than oil and gas. The 2005 Act also allows the Secretary
to authorize the use of existing OCS facilities for energy- and marine-
related activities. The Secretary is required to award any lease, ROW,
or RUE competitively unless the Secretary determines, after public
notice, that competitive interest does not exist.\3\ The Secretary also
has authority to issue regulations to implement OCSLA section 8(p).\4\
---------------------------------------------------------------------------
\1\ Public Law 109-58, 119 Stat. 594.
\2\ OCSLA is codified at 43 U.S.C. 1331 et seq. Subsection 8(p)
of OCSLA is codified at 43 U.S.C. 1337(p).
\3\ 43 U.S.C. 1337(p)(3).
\4\ Id. 1337(p)(8).
---------------------------------------------------------------------------
On March 20, 2006, the Secretary delegated the responsibility for
regulating OCS renewable energy activities to MMS, the predecessor
agency to BOEM and BSEE. On April 29, 2009, the Department published
the final rule establishing MMS's program to grant leases, easements,
and ROWs for OCS renewable energy activities and for alternate uses of
existing OCS facilities. The 2009 rule also established the methods for
sharing certain revenues generated by this program with nearby coastal
States.
[[Page 6377]]
B. MMS Reorganization
Between May 19, 2010, and August 29, 2011, Secretary Salazar issued
Secretary's Order 3299 and two amendments that ultimately divided MMS
into three separate agencies: BOEM, BSEE, and ONRR. The Secretary
emphasized the importance of separate and independent safety and
environmental oversight when testifying before Congress on May 26,
2010:
The Deepwater Horizon tragedy and the massive spill have made
the importance and urgency of a reorganization of this nature ever
more clear, particularly the creation of a separate and independent
safety and environmental enforcement entity. We will responsibly and
thoughtfully move to establish independence and separation for this
critical mission so that the American people know they have a strong
and independent organization ensuring that energy companies comply
with their safety and environmental protection obligations.\5\
---------------------------------------------------------------------------
\5\ Minerals Management Service Reorganization: Special Hearing
Before the Subcomm. on Dept. of the Interior, Environment & Related
Agencies of the S. Comm. On Appropriations, S. Hrg. 111-1035, at 12
(2010) (statement of Ken Salazar, Sec'y of the Interior).
Pursuant to section 3 of Secretary's Order 3299, Amendment No. 2,
BOEM ``exercise[s] the conventional (e.g., oil and gas) and renewable
energy-related management functions of the [MMS] not otherwise
transferred pursuant to this Order including, but not limited to,
activities involving resource evaluation, planning, and leasing.'' \6\
Under section 4 of Secretary's Order 3299, Amendment No. 2, BSEE
exercises ``safety and environmental enforcement functions,'' including
``the authority to inspect, investigate, summon witnesses and produce
evidence, levy penalties, cancel or suspend activities, and oversee
safety, response, and removal preparedness.'' \7\ Under section 5 of
Secretary's Order 3299, Amendment 2, ONRR exercises the royalty and
revenue management functions of the former MMS, including ``royalty and
revenue collection, distribution, auditing and compliance,
investigation and enforcement, and asset management for both onshore
and offshore activities.'' \8\
---------------------------------------------------------------------------
\6\ Sec'y of the Interior Order 3299, as amended and issued Aug.
29, 2011, available at https://www.doi.gov/sites/doi.gov/files/elips/documents/3299a2-establishment_of_the_bureau_of_ocean_energy_management_the_bureau_of_safety_and_environmental_enforcement_and_the_office_of_natural_resources_revenue.pdf.
\7\ Id.
\8\ Id.
---------------------------------------------------------------------------
Section 4 of Secretary's Order 3299, Amendment 2, assigned the
renewable energy program to BOEM ``until such time that the [ASLM]
determines that an increase in activity justifies transferring the
inspection and enforcement functions to [BSEE].'' \9\ On October 18,
2011, in connection with the reorganization of the former MMS into BOEM
and BSEE and the associated redistribution of the existing regulations
at 30 CFR Chapter II, the offshore renewable energy regulations
previously located in part 285 were assigned to BOEM and recodified in
a newly created 30 CFR part 585.\10\
---------------------------------------------------------------------------
\9\ Id. This arrangement was noted in the final rule
reorganizing and reassigning the former MMS regulations between BOEM
and BSEE in October 2011. ``At this time, the renewable energy
program will be managed under BOEM. At a later date, the renewable
energy program will be reorganized and a determination will be made
regarding what functions will be administered by which agency.''
Reorganization of Title 30, 76 FR 64432, 64434 Table A (Oct. 18,
2011) (, discussion of then-current part 285).
\10\ 76 FR 64432 (Oct. 18, 2011).
---------------------------------------------------------------------------
C. Need for Rulemaking
In September 2013, the DOI OIG issued a report supporting the
policy of independent regulatory oversight and enforcement in the
renewable energy program and recommending implementation of that policy
through a transfer of those responsibilities from BOEM to BSEE.\11\ The
OIG noted that ``allowing the bureau responsible for planning and
leasing renewable energy projects [i.e., BOEM] to also formulate the
policies for inspection and enforcement is contrary to the independent
oversight and separation of duties envisioned in [Secretary's Order
3299] as originally issued.'' \12\
---------------------------------------------------------------------------
\11\ Office of Inspector Gen., Dep't of Interior, U.S.
Department of the Interior's Offshore Renewable Energy Program 9
(2013) (Report No. CR-EV-BOEM-0001-2013).
\12\ Id.
---------------------------------------------------------------------------
In December 2020, pursuant to Secretary's Order 3299, Amendment 2,
section 4, the Principal Deputy Assistant Secretary for Land and
Minerals Management, acting with the authority of the Assistant
Secretary for Land and Minerals Management, determined that OCS
renewable energy activities have ``reached the threshold envisioned by
SO 3299, as amended.'' The Secretary has since executed the necessary
redelegation of authorities through the Departmental Manual.\13\ This
rulemaking reassigns certain regulations from BOEM to BSEE consistent
with the authorities identified in the Departmental Manual, and to
further Secretary's Order 3299 Amendment 2 and the Assistant
Secretary's direction to ``transfer . . . the safety and environmental
oversight and compliance functions, including inspection and
enforcement, for the Department's Offshore Renewable Energy Program
from BOEM to BSEE.''
---------------------------------------------------------------------------
\13\ DOI Departmental Manual 218 DM 1, as amended and issued
Sept. 14, 2022, available at chrome-extension://
efaidnbmnnnibpcajpcglclefindmkaj/https://www.doi.gov/sites/doi.gov/files/elips/documents/218-dm-1_2.pdf.
DOI Departmental Manual 219 DM 1, as amended and issued Sept.
14, 2022, available at chrome-extension://
efaidnbmnnnibpcajpcglclefindmkaj/https://www.doi.gov/sites/doi.gov/files/elips/documents/219-dm-1_0.pdf
---------------------------------------------------------------------------
III. Overview of the Rule
A. Final Rulemaking Effective Upon Publication
This rule reassigns existing regulations governing safety and
environmental oversight and enforcement of OCS renewable energy
activities from BOEM to BSEE. This rulemaking is neither substantive
nor controversial because it merely reorganizes provisions in the Code
of Federal Regulations and, therefore, does not affect the legal
rights, obligations, and interests of any interested parties.
This rule implements Secretary's Order 3299--which reflects the
Secretary's prudent and considered policy judgment that independent
oversight and enforcement is in the national interest to best address
the organizational concerns highlighted by the Deepwater Horizon
incident--and revisions made to the Departmental Manual implementing
that direction. Specifically, this rule transfers existing safety and
environmental oversight and enforcement regulations governing OCS
renewable energy activities from 30 CFR part 585, under BOEM's purview,
to 30 CFR part 285, under BSEE's purview. This reorganization parallels
the bureaus' oversight of oil and gas activities. This transfer
includes a reassignment of authority to: oversee facility design,
fabrication, installation, and safety management systems; ensure the
safety of operations, including inspection programs and incident
reporting and investigations; enforce compliance with all applicable
safety, environmental, and other laws and regulations through
enforcement actions (such as noncompliance notices, cessation orders,
and lease suspensions); and oversee decommissioning activities. This
rule also moves certain sections pertaining to Alternate Use RUEs from
30 CFR part 585 to a new 30 CFR part 586.
This rule is a ``rule[ ] of agency organization, procedure, or
practice,'' 5 U.S.C. 553(b)(A), because it implements the Department's
reassignment of responsibility for administering existing regulatory
provisions from BOEM to BSEE. This rule reorganizes current regulations
to be consistent with Departmental delegations without making
substantive changes to those
[[Page 6378]]
regulations or modifying substantive rights or interests. Nor does the
rule impose new rights or duties or change the legal status of
regulated parties. No statute requires notice or hearing for this rule.
Therefore, this rule is exempt from notice-and-comment rulemaking
requirements under 5 U.S.C. 553(b)(A). Additionally, for the same
reasons, the Department finds for good cause shown that notice and
comment on this rule are unnecessary and contrary to the public
interest under 5 U.S.C. 553(b)(B). Further, because this rule makes no
changes to the legal obligations or rights of nongovernmental entities,
the relevant responsibilities have already been delegated to BSEE, and
it is in the public interest for the regulations to reflect that
delegation to provide clarity, the Department further finds that good
cause exists to make this rule effective upon publication in the
Federal Register per 5 U.S.C. 553(d)(3).\14\
---------------------------------------------------------------------------
\14\ BOEM and BSEE intend to issue further guidance to help
industry to understand the transfer of functions reflected in this
rule.
---------------------------------------------------------------------------
B. Reorganization of 30 CFR Parts 285 and 585
1. Description of the Transfer of Regulations to BSEE
This rule transfers existing regulations governing safety and
environmental oversight and enforcement for OCS renewable energy
activities from BOEM's responsibility to BSEE's responsibility by
moving the relevant BOEM provisions, currently in 30 CFR part 585, to
become BSEE provisions in 30 CFR part 285.
Among the regulations transferred to BSEE through this rulemaking
are provisions related to oversight of facility design, fabrication,
installation, and safety management systems; ensuring the safety of
operations, including inspection programs and incident reporting and
investigations; enforcing compliance with all applicable safety,
environmental, and other laws and regulations through enforcement
actions (such as noncompliance notices, cessation orders, and certain
lease suspensions); and overseeing decommissioning activities.
Renewable energy regulations transferred to BSEE's responsibility
include enforcement provisions under the existing part 585 Subpart D,
various information submittal requirements under Subpart F, as well as
provisions governing activities conducted under an approved plan,
including the design, construction, operation, and decommissioning of
facilities under Subparts G, H, and I. The requirements for and
standards of review regarding the Facility Design Report (FDR) and the
Fabrication and Installation Report (FIR) are unchanged: the FDR and
FIR will continue to be evaluated for consistency with the approved
Plan and applicable engineering standards.
BOEM will continue to identify areas that may be leased and
authorize renewable energy development on the OCS, as well as alternate
uses of existing OCS facilities. BOEM retains its authority to
administer the renewable energy regulations pertaining to the issuance
and administration of leases and grants, the requirements of payments
and financial assurance, and plan review and approval, approval with
modifications, or disapproval. Because oversight over environmental
requirements for BOEM-approved plans has been retained by BOEM, these
requirements were moved to Subpart F, from Subpart H, and renumbered
accordingly. As a result, the renewable energy regulations that BOEM
administers will now end with Subpart F, the title of which has been
changed to ``Plan Requirements.''
In addition, because the existing regulations in part 585 Subpart J
relate to the alternate uses of existing facilities on the OCS, which
require the existence of a previously or currently authorized facility,
these regulations have been moved into a separate part 586 to enhance
clarity.
This rule also reallocates the regulations pertaining to
suspensions. In the context of the renewable energy regulations, a
lease or grant suspension as described in Subpart D of part 585 is used
primarily to manage the running of the lease term, not to address
noncompliance or respond to the kind of operational concerns that
predominate lease suspensions in the conventional energy context.
Therefore, consistent with BOEM's role as the leasing agency, BOEM will
retain the authority to grant a suspension of a lease or grant if the
lessee or grantee requests one. BOEM will also retain the authority to
order a lease or grant suspension to comply with a judicial decree or
when a suspension is necessary for reasons of National security or
defense.
However, in keeping with BSEE's mission, BSEE is assigned the
regulations for ordering a lease or grant suspension when continued
activities pose an imminent threat of serious or irreparable harm or
damage to natural resources; life; property; the marine, coastal, or
human environment; or sites, structures, or objects of historical or
archaeological significance. BSEE may also order a suspension when
necessary to comply with a judicial decree. Under the rule, BSEE is
also assigned the regulations relating to issuance of cessation orders
to address noncompliance on the part of the grantee or lessee.
Regarding suspensions for Alternate Use RUEs, the Department does
not suspend such grants upon the grantee's request, but only by order.
BOEM will retain authority to order suspensions required for National
security, and BSEE will assume authority to order suspensions to
address a threat of harm from continued operations. Either bureau may
order a suspension when necessary to comply with a judicial decree.
BSEE may order a suspension of an Alternate Use RUE when operation of
the existing OCS facility has been suspended or temporarily prohibited
and BSEE has determined that continued activities under the Alternate
Use RUE are unsafe or cause undue interference with the original OCSLA-
approved activity.
The Secretary of the Interior retains authority to cancel any
renewable energy lease or grant for reasons outlined in the existing
regulations under Subpart D. Because either BOEM or BSEE may have
information relevant to the Secretary's decision to cancel a lease or
grant, this rule allocates to both BOEM and BSEE responsibility under
the regulations related to bureau recommendations for Secretarial
cancellation of a lease or grant. Similarly, both bureaus retain
responsibility under the regulations related to cancellation of an
Alternate Use RUE.
Enforcement functions transferred to BSEE in the new part 285
Subpart D, entitled Lease and Grant Administration, include authority
to issue notices of noncompliance and cessation orders and to pursue
civil penalties and recommend criminal penalties. BSEE assumes
authority for oversight and enforcement of the design, construction,
operation, and decommissioning phases of offshore wind development, as
well as enforcement of requirements related to Alternate Use RUEs. BOEM
remains responsible for ensuring requirements are met during the
leasing, site characterization, and plan review stages, as well as for
ensuring financial assurance requirements are met. BOEM has relocated
its enforcement authority to Subpart A, General Provisions, from part
585 Subpart D, Lease and Grant Administration, to focus the remaining
Subpart D provisions on lease and grant administrative actions that
include, but are not limited to, designations of operator, assignments,
renewals,
[[Page 6379]]
relinquishments, contractions, and terminations.
2. Future Rules
The Department has initiated additional rulemaking related to OCS
renewable energy development. In the Renewable Energy Modernization
Rule, the Department has proposed updates to the regulations based on
the experience it has gained over the last decade of managing offshore
wind energy development on the OCS. In addition, the Department has
begun work on a rule (Renewable Energy Safety and Assurance Rule, RIN
Number 1014-AA59) to modernize, streamline, and clarify certain
provisions that this rule is moving to part 285. The reorganization of
the renewable energy regulations in this rule will be reflected in the
regulatory structure of any future final OCS renewable energy
development rule. Any final rule that includes revisions to both part
285 and part 585 regulations will reflect the division of authorities
among BOEM and BSEE.
3. Technical Changes and Corrections
In addition to the organizational changes noted in the derivation
table, this rule makes minor technical changes and corrections
necessitated by the reassignment of responsibilities and makes non-
substantive corrections to previous errors. The substantive regulatory
requirements are not changed. These technical changes and corrections
generally fall under the following categories:
[rtarr8] Updated cross-references to reflect the reorganized
regulations and the division of responsibilities between BOEM and BSEE.
[rtarr8] Changed references from BOEM to BSEE as applicable.
[rtarr8] Changed references from ``subchapter'' to ``part'' where
appropriate.
[rtarr8] Corrected spelling and grammar.
[rtarr8] Changed physical and website addresses.
[rtarr8] Updated organizational titles.
[rtarr8] Replaced ``BOEM'' with ``ONRR'' in provisions related to
lease and grant payments to reflect that ONRR is the correct payee for
lease and grant payments.
4. Information Collection and Forms
This rule does not affect the information collection burdens on the
regulated community other than redirecting the submittal of certain
required reports to BSEE rather than to BOEM. BSEE expects that OMB
will issue an IC control number to BSEE shortly after publication of
this rule. See the analysis and burden table infra Section IV.3,
Paperwork Reduction Act. BOEM continues to use its current renewable
energy information collection forms previously approved by OMB; those
forms are unchanged by this rule. Presently, BSEE is not issuing new
forms to manage the reporting requirements reassigned to it, though it
may in the future.
5. Incorporation by Reference
This rule transfers one regulation that incorporates a document by
reference from the former part 585 to the new part 285. Under the rules
of the Office of the Federal Register, material incorporated by
reference in a rule published in the Federal Register is approved by
the Director of the Federal Register for a specific section in that
rule. Consequently, transferring a regulation that incorporates a
document by reference from the existing part 585 to the new part 285
required that BSEE request a new approval to incorporate the document
by reference. Following the submittal of BSEE's request, approval to
incorporate this document by reference in the new part 285 will be made
effective by the Director of the Federal Register as of January 31,
2023. The document incorporated by reference in part 285 is:
API RP 2A-WSD, Recommended Practice for Planning, Designing and
Constructing Fixed Offshore Platforms--Working Stress Design;
Twenty-first Edition, December 2000; Errata and Supplement 1,
December 2002; Errata and Supplement 2, September 2005; Errata and
Supplement 3, October 2007; Product No. G2AWSD.
The American Petroleum Institute (API) published this document,
which outlines best practices for the design and construction of new
fixed offshore platforms and for the relocation of existing platforms.
The reference to the twenty-first edition of this document is retained
in this rule to avoid any substantive effect on the regulated community
that might arise if BSEE were to incorporate the newer twenty-second
edition. BSEE may update the regulations to incorporate newer editions
of the documents incorporated by reference in a future rulemaking.
The recommended practices described in this document are legally
binding to the extent the regulatory text incorporates relevant
material. BSEE will refer to this document to hold lessees, grantees,
operators, and other regulated parties accountable for complying with
the material incorporated by reference in the regulations.
This document is available for free viewing online by visiting
https://publications.api.org. Once there, either log-in or create a new
account, accept the terms and conditions, click ``Browse read only
documents now,'' and select ``Exploration and Production.'' RP 2A-WSD
should be one of the documents listed. Hardcopies and printable digital
versions are available for purchase at www.api.org/publications-standards-and-statistics/publications/government-cited-safety-documents. Additionally, the document may be reviewed at BSEE's office,
45600 Woodland Road, Sterling, Virginia 20166, phone: 703-787-1665.
Though the same API document is incorporated in the regulation
transferred from the former Sec. 585.115 to the new Sec. 285.115, the
regulatory text differs between the two sections. The Office of the
Federal Register mandated that the language introduced to part 285
conform to its formatting and content requirements; part 585 had been
exempted previously. The formatting and language changes do not affect
the substance of the regulatory requirement.
Under this rulemaking, BOEM does not incorporate by reference any
material into part 585. BOEM may decide in the future to incorporate
material by reference through notice-and-comment rulemaking as
appropriate. Section 585.115 is reserved in this rulemaking for that
purpose.
C. Derivation Table for 30 CFR Parts 285, 585, and 586
[[Page 6380]]
Table A--Derivation Table
------------------------------------------------------------------------
BSEE Part 285 section BOEM Part 585 section Description of
(new section) (existing section) reorganized sections
------------------------------------------------------------------------
Subpart A--General Provisions
------------------------------------------------------------------------
The general regulatory requirements in this subpart are relevant to both
BOEM and BSEE. Between the two parts, subpart A includes some sections
that are identical, some that are similar, and others that are unique
to one bureau, as explained below. Subpart A in both the BOEM and BSEE
parts refers to a ``BOEM lease.''
------------------------------------------------------------------------
285.100 Authority 585.100 Authority This section remains in
part 585, the OCSLA
authority is updated and
limited to the renewable
energy program. The full
authority is now at Sec.
285.100 in part 285.
285.101 What is the 585.101 What is the In part 585, references
purpose of this part? purpose of this to the alternate use
part? RUEs are removed.
Existing paragraphs (b)
and (c) of Sec.
585.101 are included in
Sec. 285.101. The
paragraphs are
renumbered accordingly.
285.102 What are 585.102 What are This section remains in
BSEE's BOEM's part 585. In part 285,
responsibilities responsibilities paragraphs (a)(8)-(11)
under this part? under this part? and (e) of Sec.
585.102 are not included
in Sec. 285.102. The
paragraphs are
renumbered accordingly.
285.103 When may BSEE 585.103 When may BOEM This section remains in
prescribe or approve prescribe or approve existing part 585 and is
departures from these departures from included in part 285.
regulations? these regulations?
285.104 [Reserved] 585.104 Do I need a This section remains in
BOEM lease or other part 585 only. Section
authorization to 285.104 is reserved in
produce or support part 285.
the production of
electricity or other
energy product from
a renewable energy
resource on the OCS?
285.105 What are my 585.105 What are my This section remains in
responsibilities responsibilities part 585 and is included
under this part? under this part? in part 285.
285.106 [Reserved] 585.106 Who can hold This section is replaced
a lease or grant with a new Sec.
under this part? 585.106 What happens if
I fail to comply with
this part?, formerly
numbered Sec. 585.400.
In the new 585.106,
paragraph (d) of 585.400
is modified by replacing
``BOEM'' with ``BSEE,''
paragraph (e) of 585.400
is omitted, and the
remaining paragraphs are
renumbered accordingly.
Existing Sec. 585.106
is renumbered to
585.107. Section 285.106
is reserved in part 285.
285.107 [Reserved] 585.107 How do I show This section is
that I am qualified renumbered to 585.108.
to be a lessee or Section 285.107 is
grant holder? reserved in part 285.
285.108 [Reserved] 585.108 When must I This section is
notify BOEM if an renumbered to 585.109.
action has been Section 285.108 is
filed alleging that reserved in part 285.
I am insolvent or
bankrupt?
285.109 [Reserved] 585.109 When must I This section is
notify BOEM of renumbered to 585.110.
mergers, name Section 285.109 is
changes, or changes reserved in part 285.
of business form?
285.110 How do I 585.110 How do I This section is
submit applications, submit plans, renumbered to 585.111
reports, or notices applications, or and is included in part
required by this notices required by 285.
part? this part?
285.111 When and how 585.111 When and how This section is
does BSEE charge me does BOEM charge me renumbered to 585.112
processing fees on a processing fees on a and is included in part
case-by-case basis? case-by-case basis? 285.
285.112 Definitions 585.112 Definitions This section is
renumbered to 585.113
and is included in part
285. In the new 585.113,
definitions related to
Alternate Use RUEs were
moved to part 586.113
Definitions.
285.113 How will data 585.113 How will data This section is
and information and information renumbered to 585.114
obtained by BSEE obtained by BOEM and is included in part
under this part be under this part be 285.
disclosed to the disclosed to the
public? public?
285.114 Paperwork 585.114 Paperwork This section is
Reduction Act Reduction Act renumbered to 585.115
statements--informati statements--informat and is included in part
on collection ion collection 285.
285.115 Documents 585.115 Documents The content of existing
incorporated by incorporated by 585.115 is removed from
reference reference part 585 and moved to
285.115. The revisions
made to conform to the
Office of the Federal
Register requirements
result in no substantive
changes.
[[Page 6381]]
285.116 Requests for 585.116 Requests for This section remains in
information on the information on the part 585.116 and is
state of the offshore state of the included in part 285.
renewable energy offshore renewable Paragraph (b) of
industry energy industry existing 585.116 was not
moved to 285.116. The
paragraphs in Sec.
285.116 are renumbered
accordingly.
285.117 [Reserved] 585.117 [Reserved] This section remains
reserved in part 585 and
is included as reserved
in part 285.
285.118 What are my 585.118 What are my This section remains in
appeal rights? appeal rights? part 585 and is included
in part 285. Only
paragraphs (a) and (b)
are moved to Sec.
285.118.
------------------------------------------------------------------------
Subpart B--Issuance of OCS Renewable Energy Leases
------------------------------------------------------------------------
The regulatory requirements in this subpart are administered by BOEM;
therefore, the subpart remains in part 585 only. Subpart B is reserved
in part 285.
------------------------------------------------------------------------
General Lease Information
------------------------------------------------------------------------
585.200 What rights This section remains in
are granted with a part 585 only.
lease issued under
this part?
------------------------------------------------------------------------
585.201 How will BOEM This section remains in
issue leases? part 585 only.
585.202 What types of This section remains in
leases will BOEM part 585 only.
issue?
585.203 With whom This section remains in
will BOEM consult part 585 only.
before issuance of a
lease?
585.204 What areas This section remains in
are available for part 585 only.
leasing
consideration?
585.205 How will This section remains in
leases be mapped? part 585 only.
585.206 What is the This section remains in
lease size? part 585 only.
585.207-585.209 These sections remain
[Reserved] reserved in part 585.
------------------------------------------------------------------------
Competitive Lease Process
------------------------------------------------------------------------
585.210 How does BOEM This section remains in
initiate the part 585 only.
competitive leasing
process?
585.211 What is the This section remains in
process for part 585 only.
competitive issuance
of leases?
585.212 What is the This section remains in
process BOEM will part 585 only.
follow if there is
reason to believe
that competitors
have withdrawn
before the Final
Sale Notice is
issued?
585.213 What must I This section remains in
submit in response part 585 only.
to a Request for
Interest or a Call
for Information and
Nominations?
585.214 What will This section remains in
BOEM do with part 585 only.
information from the
Requests for
Information or Calls
for Information and
Nominations?
585.215 What areas This section remains in
will BOEM offer in a part 585 only.
lease sale?
585.216 What This section remains in
information will part 585 only.
BOEM publish in the
Proposed Sale Notice
and Final Sale
Notice?
585.217-585.219 These sections remain
[Reserved] reserved in part 585.
------------------------------------------------------------------------
Competitive Lease Award Process
------------------------------------------------------------------------
585.220 What auction This section remains in
format may BOEM use part 585 only.
in a lease sale?
585.221 What bidding This section remains in
systems may BOEM use part 585 only.
for commercial
leases and limited
leases?
[[Page 6382]]
585.222 What does This section remains in
BOEM do with my bid? part 585 only.
585.223 What does This section remains in
BOEM do if there is part 585 only.
a tie for the
highest bid?
585.224 What happens This section remains in
if BOEM accepts my part 585 only.
bid?
585.225 What happens This section remains in
if my bid is part 585 only.
rejected, and what
are my appeal
rights?
585.226-585.229 These sections remain
[Reserved] reserved in part 585.
------------------------------------------------------------------------
Noncompetitive Lease Award Process
------------------------------------------------------------------------
585.230 May I request This section remains in
a lease if there is part 585 only.
no Call?
585.231 How will BOEM This section remains in
process my part 585 only.
unsolicited request
for a noncompetitive
lease?
585.232 May I acquire This section remains in
a lease part 585 only.
noncompetitively
after responding to
a Request for
Interest or Call for
Information and
Nominations?
585.233 and 585.234 These sections remain
[Reserved] reserved in part 585.
------------------------------------------------------------------------
Commercial and Limited Lease Terms
------------------------------------------------------------------------
585.235 If I have a This section remains in
commercial lease, part 585 only.
how long will my
lease remain in
effect?
585.236 If I have a This section remains in
limited lease, how part 585 only.
long will my lease
remain in effect?
585.237, What is the This section remains in
effective date of a part 585 only.
lease?
585.238, Are there This section is
any other renewable renumbered to Sec.
energy research 585.239 and replaced
activities that will with Sec. 585.238 May
be allowed on the I develop my commercial
OCS? lease in phases?,
formerly 585.629 May I
develop my lease in
phases?
------------------------------------------------------------------------
Subpart C--Rights-of-Way (ROW) and Rights-of-Use and Easement (RUE)
Grants for Renewable Energy Activities
------------------------------------------------------------------------
The regulatory requirements related to ROW grants and RUE grants in this
subpart are administered by BOEM and remain in part 585 only. Subpart C
is reserved in part 285.
------------------------------------------------------------------------
ROW Grants and RUE Grants
------------------------------------------------------------------------
585.300 What types of This section remains in
activities are part 585 only.
authorized by ROW
grants and RUE
grants issued under
this part?
585.301 What do ROW This section remains in
grants and RUE part 585 only.
grants include?
585.302 What are the This section remains in
general requirements part 585 only.
for ROW grant and
RUE grant holders?
585.303 How long will This section remains in
my ROW grant or RUE part 585 only.
grant remain in
effect?
585.304 [Reserved] This section remains
reserved in part 585.
------------------------------------------------------------------------
Obtaining ROW Grants and RUE Grants
------------------------------------------------------------------------
585.305 How do I This section remains in
request a ROW grant part 585 only.
or RUE grant?
[[Page 6383]]
585.306 What action This section remains in
will BOEM take on my part 585 only.
request?
585.307 How will BOEM This section remains in
determine whether part 585 only.
competitive interest
exists for ROW
grants and RUE
grants?
585.308 How will BOEM This section remains in
conduct an auction part 585 only.
for ROW grants and
RUE grants?
585.309 When will This section remains in
BOEM issue a part 585 only.
noncompetitive ROW
grant or RUE grant?
585.310 What is the This section remains in
effective date of a part 585 only.
ROW grant or RUE
grant?
585.311-585.314 These sections remain
[Reserved] reserved in part 585.
------------------------------------------------------------------------
Financial Requirements for ROW Grants and RUE Grants
------------------------------------------------------------------------
585.315 What deposits This section remains in
are required for a part 585 only.
competitive ROW
grant or RUE grant?
585.316 What payments This section remains in
are required for ROW part 585 only. The
grants or RUE reference to BOEM in
grants? subparagraph (a) is
changed to ONRR, to
reflect the fact that
bid payments are
submitted to ONRR rather
than BOEM.
------------------------------------------------------------------------
Subpart D--Lease and Grant Administration (Part 585)
Subpart D--Lease and Grant Administration (Part 285)
------------------------------------------------------------------------
Some regulatory requirements in subpart D are relevant to both BOEM and
BSEE; thus, they appear in both parts. Subpart D is entitled, ``Lease
and Grant Administration'' in both part 285 and part 585.
------------------------------------------------------------------------
Noncompliance
------------------------------------------------------------------------
The phrase ``and Cessation Orders'' is removed in part 285. The heading
``Noncompliance and Cessation Orders'' is removed in part 585. A new
undesignated center heading ``Cessation Orders'' is added before Sec.
285.401 only.)
------------------------------------------------------------------------
285.400 What happens 585.400 What happens This part is included in
if I fail to comply if I fail to comply part 285. In part 585,
with this part? with this part? this section is removed
from subpart D and moved
to subpart A as 585.106,
paragraph (d) is
modified by replacing
``BOEM'' with ``BSEE'',
paragraph (e) of
existing 585.400 is not
included, and the
paragraphs are
renumbered accordingly.
------------------------------------------------------------------------
Cessation Orders
------------------------------------------------------------------------
285.401 When may BSEE 585.401 When may BOEM This section is removed
issue a cessation issue a cessation and reserved in part 585
order? order? and is included in part
285.
285.402 What is the 585.402 What is the This section is removed
effect of a cessation effect of a and reserved in part 585
order? cessation order? and is included in part
285.
285.403 and 285.404 585.403 and 585.404 These sections remain
[Reserved] [Reserved] reserved in part 585 and
are included as reserved
in part 285.
------------------------------------------------------------------------
Responsibility for Fulfilling Obligations (used in part 285)
------------------------------------------------------------------------
Designation of Operator (used in part 585)
------------------------------------------------------------------------
285.405 [Reserved] 585.405 How do I This section remains in
designate an part 585 and is included
operator? as reserved in part 285.
[[Page 6384]]
285.406 Who is 585.406 Who is This section remains in
responsible for responsible for part 585 and is included
fulfilling lease and fulfilling lease and in part 285. Existing
grant obligations? grant obligations? paragraph (b) is
modified in Sec.
285.406 by replacing
``BOEM'' with ``BSEE.''
285.407 [Reserved] 585.407 [Reserved] This section remains
reserved in part 585 and
is included as reserved
in part 285.
------------------------------------------------------------------------
Lease or Grant Assignment
------------------------------------------------------------------------
285.408 [Reserved] 585.408 May I assign This section remains in
my lease or grant part 585 and is included
interest? as reserved in part 285.
285.409 [Reserved] 585.409 How do I This section remains in
request approval of part 585 and is included
a lease or grant as reserved in part 285.
assignment?
285.410 [Reserved] 585.410 How does an This section remains in
assignment affect part 585 and is included
the assignor's as reserved in part 285.
liability?
285.411 [Reserved] 585.411 How does an This section remains in
assignment affect part 585 and is included
the assignee's as reserved in part 285.
liability?
285.412-285.414 585.412-585.414 These sections remain
[Reserved] [Reserved] reserved in part 585 and
are included as reserved
in part 285.
------------------------------------------------------------------------
Lease or Grant Suspension
------------------------------------------------------------------------
285.415 What is a 585.415 What is a This section remains in
lease or grant lease or grant part 585 and is included
suspension? suspension? in part 285.
285.416 [Reserved] 585.416 How do I This section remains in
request a lease or part 585 and is included
grant suspension? as reserved in part 285.
285.417 When may BSEE 585.417 When may BOEM This section remains in
order a suspension? order a suspension? part 585 and is included
in part 285. Section
585.417 is revised to
combine only existing
paragraphs (a)(1) and
(a)(3) into a single
paragraph. Section
285.417 includes similar
content from current
585.417 but combines
only existing paragraphs
(a)(1) and (a)(2) of
Sec. 585.417 into a
single paragraph.
285.418 How will BSEE 585.418 How will BOEM This section remains in
issue a suspension? issue a suspension? part 585 and is included
in part 285.
285.419 What are my 585.419 What are my This section remains in
immediate immediate part 585 and is included
responsibilities if I responsibilities if in part 285.
receive a suspension I receive a
order? suspension order?
285.420 What effect 585.420 What effect This section remains in
does a suspension does a suspension part 585 and is included
order have on my order have on my in part 285. Only
payments? payments? existing paragraph (c)
is included in part 285.
285.421 How long will 585.421 How long will This section remains in
a suspension be in a suspension be in part 585 and is included
effect? effect? in part 285.
285.422-285.424 585.422- 585.424 Existing section 585.437
[Reserved] [Reserved] is moved to Sec.
585.422 and is included
under heading Lease or
Grant Cancellation.
Sections 585.423 and
585.424 remain reserved
in part 585. These
sections are included as
reserved in part 285.
------------------------------------------------------------------------
Lease or Grant Renewal
------------------------------------------------------------------------
285.425 [Reserved] 585.425 May I obtain This section remains in
a renewal of my part 585 and is included
lease or grant as reserved in part 285.
before it
terminates?
285.426 [Reserved] 585.426 When must I This section remains in
submit my request part 585 and is included
for renewal? as reserved in part 285.
285.427 [Reserved] 585.427 How long is a This section remains in
renewal? part 585 and is included
as reserved in part 285.
285.428 [Reserved] 585.428 What effect This section remains in
does applying for a part 585 and is included
renewal have on my as reserved in part 285.
activities and
payments?
285.429 [Reserved] 585.429 What criteria This section remains in
will BOEM consider part 585 and is included
in deciding whether as reserved in part 285.
to renew a lease or
grant?
285.430 and 285.431 585.430 and 585.431 These sections remain
[Reserved] [Reserved] reserved in part 585 and
are included as reserved
in part 285.
------------------------------------------------------------------------
Lease or Grant Termination
------------------------------------------------------------------------
285.432 [Reserved] 585.432 When does my This section remains in
lease or grant part 585 and is included
terminate? as reserved in part 285.
285.433 What must I do 585.433 What must I This section remains in
after my lease or do after my lease or part 585 and is included
grant terminates? grant terminates? in part 285.
[[Page 6385]]
285.434 [Reserved] 585.434 [Reserved] Existing section 585.909
is moved to Sec.
585.434. This section is
included as reserved in
part 285.
------------------------------------------------------------------------
Lease or Grant Relinquishment
------------------------------------------------------------------------
285.435 [Reserved] 585.435 How can I This section remains in
relinquish a lease part 585 and is included
or a grant or parts as reserved in part 285.
of a lease or grant?
------------------------------------------------------------------------
Lease or Grant Contraction
------------------------------------------------------------------------
285.436 [Reserved] 585.436 Can BOEM This section remains in
require lease or part 585 and is included
grant contraction? as reserved in part 285.
------------------------------------------------------------------------
Lease or Grant Cancellation
------------------------------------------------------------------------
285.437 When can my 585.437 When can my This section is moved in
lease or grant be lease or grant be part 585 to 585.422 and
cancelled? cancelled? is included in part 285.
------------------------------------------------------------------------
Subpart E--Payments and Financial Assurance Requirements
------------------------------------------------------------------------
The regulatory requirements in this subpart are administered by BOEM and
remain in part 585 only. Subpart E is reserved in part 285.
------------------------------------------------------------------------
Payments
------------------------------------------------------------------------
585.500 How do I make This section remains in
payments under this part 585 only.
part?
585.501 What deposits This section remains in
must I submit for a part 585 only.
competitively issued
lease, ROW grant, or
RUE grant?
585.502 What initial This section remains in
payment requirements part 585 only.
must I meet to
obtain a
noncompetitive
lease, ROW grant, or
RUE grant?
585.503 What are the This section remains in
rent and operating part 585 only.
fee requirements for
a commercial lease?
585.504 How are my This section remains in
payments affected if part 585 only.
I develop my lease
in phases?
585.505 What are the This section remains in
rent and operating part 585 only.
fee requirements for
a limited lease?
585.506 What This section remains in
operating fees must part 585 only.
I pay on a
commercial lease?
585.507 What rent This section remains in
payments must I pay part 585 only.
on a project
easement?
585.508 What rent This section remains in
payments must I pay part 585 only.
on ROW grants or RUE
grants associated
with renewable
energy projects?
585.509 Who is This section remains in
responsible for part 585 only.
submitting lease or
grant payments to
BOEM?
585.510 May BOEM This section remains in
reduce or waive my part 585 only.
lease or grant
payments?
585.511-585.514 These sections remain
[Reserved] reserved in part 585.
------------------------------------------------------------------------
Financial Assurance Requirements for Commercial Leases
------------------------------------------------------------------------
585.515 What This section remains in
financial assurance part 585 only.
must I provide when
I obtain my
commercial lease?
[[Page 6386]]
585.516 What are the This section remains in
financial assurance part 585 only.
requirements for
each stage of my
commercial lease?
585.517 How will BOEM This section remains in
determine the part 585 only.
amounts of the
supplemental and
decommissioning
financial assurance
requirements
associated with
commercial leases?
585.518 and 585.519 These sections remain
[Reserved] reserved in part 585.
------------------------------------------------------------------------
Financial Assurance for Limited Leases, ROW Grants, and RUE Grants
------------------------------------------------------------------------
585.520 What This section remains in
financial assurance part 585 only.
must I provide when
I obtain my limited
lease, ROW grant, or
RUE grant?
585.521 Do my This section remains in
financial assurance part 585 only.
requirements change
as activities
progress on my
limited lease or
grant?
585.522-585.524 These sections remain
[Reserved] reserved in part 585.
------------------------------------------------------------------------
Requirements for Financial Assurance Instruments
------------------------------------------------------------------------
585.525 What general This section remains in
requirements must a part 585 only.
financial assurance
instrument meet?
585.526 What This section remains in
instruments other part 585 only.
than a surety bond
may I use to meet
the financial
assurance
requirement?
585.527 May I This section remains in
demonstrate part 585 only.
financial strength
and reliability to
meet the financial
assurance
requirement for
lease or grant
activities?
585.528 May I use a This section remains in
third-party guaranty part 585 only.
to meet the
financial assurance
requirement for
lease or grant
activities?
585.529 Can I use a This section remains in
lease- or grant- part 585 only.
specific
decommissioning
account to meet the
financial assurance
requirements related
to decommissioning?
------------------------------------------------------------------------
Changes in Financial Assurance
------------------------------------------------------------------------
585.530 What must I This section remains in
do if my financial part 585 only.
assurance lapses?
585.531 What happens This section remains in
if the value of my part 585 only.
financial assurance
is reduced?
585.532 What happens This section remains in
if my surety wants part 585 only.
to terminate the
period of liability
of my bond?
585.533 How does my This section remains in
surety obtain part 585 only.
cancellation of my
bond?
585.534 When may BOEM This section remains in
cancel my bond? part 585 only.
585.535 Why might This section remains in
BOEM call for part 585 only.
forfeiture of my
bond?
585.536 How will I be This section remains in
notified of a call part 585 only.
for forfeiture?
585.537 How will BOEM This section remains in
proceed once my bond part 585 only.
or other security is
forfeited?
585.538 and 585.539 These sections remain
[Reserved] reserved in part 585.
------------------------------------------------------------------------
[[Page 6387]]
Revenue Sharing With States
------------------------------------------------------------------------
585.540 How will BOEM This section remains in
equitably distribute part 585 only.
revenues to the
States?
585.541 What is a This section remains in
qualified project part 585 only.
for revenue sharing
purposes?
585.542 What makes a This section remains in
State eligible for part 585 only.
payment of revenues?
585.543 Example of This section remains in
how the inverse part 585 only.
distance formula
works
------------------------------------------------------------------------
Subpart F--Plan Requirements (Part 585)
Subpart F--Information Requirements (Part 285)
------------------------------------------------------------------------
Some regulatory requirements in this subpart are relevant to both BOEM
and BSEE; therefore, they appear in both parts. In part 285, subpart F
is entitled, ``Information Requirements''; in part 585, it is entitled,
``Plan Requirements.''
------------------------------------------------------------------------
285.600 [Reserved] 585.600 What plans This section remains in
and information must part 585 and is included
I submit to BOEM as reserved in part 285.
before I conduct
activities on my
lease or grant?
285.601 [Reserved] 585.601 When am I This section remains in
required to submit part 585 and is included
my plans to BOEM? as reserved in part 285.
285.602 What records 585.602 What records This section is reserved
must I maintain? must I maintain? in part 585 and is
included in part 285.
285.603 and 285.604 585.603 and 585.604 These sections remain
[Reserved] [Reserved] reserved in part 585 and
are included as reserved
in part 285.
------------------------------------------------------------------------
Site Assessment Plan and Information Requirements for Commercial Leases
------------------------------------------------------------------------
285.605 [Reserved] 585.605 What is a This section remains in
Site Assessment Plan part 585 and is included
(SAP)? as reserved in part 285.
285.606 [Reserved] 585.606 What must I This section remains in
demonstrate in my part 585 and is included
SAP? as reserved in part 285.
285.607 [Reserved] 585.607 How do I This section remains in
submit my SAP? part 585 and is included
as reserved in part 285.
285.608 and 285.609 585.608 and 585.609 These sections remain
[Reserved] [Reserved] reserved in part 585 and
are included as reserved
in part 285.
------------------------------------------------------------------------
Contents of the Site Assessment Plan
------------------------------------------------------------------------
285.610 [Reserved] 585.610 What must I This section remains in
include in my SAP? part 585 and is included
as reserved in part 285.
285.611 [Reserved] 585.611 What This section remains in
information and part 585 and is included
certifications must as reserved in part 285.
I submit with my SAP
to assist BOEM in
complying with NEPA
and other relevant
laws?
285.612 [Reserved] 585.612 How will my This section remains in
SAP be processed for part 585 and is included
Federal consistency as reserved in part 285.
under the Coastal
Zone Management Act?
285.613 [Reserved] 585.613 How will BOEM This section remains in
process my SAP? part 585 and is included
as reserved in part 285.
------------------------------------------------------------------------
Activities Under an Approved SAP
------------------------------------------------------------------------
285.614 When may I 585.614 When may I This section remains in
begin conducting begin conducting part 585 and is included
activities under my activities under my in part 285.
approved SAP? approved SAP?
285.615 What other 585.615 What other This section remains in
reports or notices reports or notices part 585 and is included
must I submit to BSEE must I submit to in part 285. Only
under my approved BOEM under my existing paragraph (b)
SAP? approved SAP? remains in part 585.
[[Page 6388]]
285.616 [Reserved] 585.616 [Reserved] This section remains
reserved in part 585 and
is included as reserved
in part 285.
285.617 [Reserved] 585.617 What This section remains in
activities require a part 585 and is included
revision to my SAP, as reserved in part 285.
and when will BOEM
approve the
revision?
285.618 [Reserved] 585.618 What must I This section remains in
do upon completion part 585 and is included
of approved site as reserved in part 285.
assessment
activities?
285.619 [Reserved] 585.619 [Reserved] This section remains
reserved in part 585 and
is included as reserved
in part 285.
------------------------------------------------------------------------
Construction and Operations Plan for Commercial Leases
------------------------------------------------------------------------
285.620 [Reserved] 585.620 What is a This section remains in
Construction and part 585 and is included
Operations Plan? as reserved in part 285.
285.621 [Reserved] 585.621 What must I This section remains in
demonstrate in my part 585 and is included
COP? as reserved in part 285.
285.622 [Reserved] 585.622 How do I This section remains in
submit my COP? part 585 and is included
as reserved in part 285.
285.623-285.625 585.623-585.625 These sections remain
[Reserved] [Reserved] reserved in part 585 and
are included as reserved
in part 285.
------------------------------------------------------------------------
Contents of the Construction and Operations Plan
------------------------------------------------------------------------
285.626 [Reserved] 585.626 What must I This section remains in
include in my COP? part 585 and is included
as reserved in part 285.
285.627 [Reserved] 585.627 What This section remains in
information and part 585 and is included
certificates must I as reserved in part 285.
submit with my COP Existing paragraph (c)
to assist the BOEM is modified to read,
in complying with ``You must submit your
NEPA and other oil spill response plan
relevant laws? to BSEE'' Existing
paragraph (d) is
modified to read, ``You
must submit your safety
management system to
BSEE''
285.628 [Reserved] 585.628 How will BOEM This section remains in
process my COP? part 585 and is included
as reserved in part 285.
285.629 [Reserved] 585.629 May I develop This content of this
my lease in phases? section is moved to
585.238, under the
leasing provisions, and
is included as reserved
in parts 285 and 585.
285.630 [Reserved] 585.630 [Reserved] This section remains
reserved in part 585 and
is included as reserved
in part 285.
------------------------------------------------------------------------
Activities Under an Approved COP
------------------------------------------------------------------------
285.631 When must I 585.631 When must I This section remains in
initiate activities initiate activities part 585 and is included
under an approved under an approved in part 285.
COP? COP?
285.632 What documents 585.632 What This section remains in
must I submit before documents must I part 585 and is included
I may construct and submit before I may in part 285.
install facilities construct and
under my approved install facilities
COP? under my approved
COP?
285.633 How do I 585.633 How do I This section is removed
comply with my COP? comply with my COP? and reserved in part 585
and is included in part
285.
285.634 [Reserved] 585.634 What This section remains in
activities require a part 585 and is included
revision to my COP, as reserved in part 285.
and when will BOEM
approve the
revision?
285.635 [Reserved] 585.635 What must I This section remains in
do if I cease part 585 and is included
activities approved as reserved in part 285.
in my COP before the
end of my commercial
lease?
285.636 What notices 585.636 What notices This section is removed
must I provide BSEE must I provide BOEM and reserved in part 585
following approval of following approval and is included in part
my COP? of my COP? 285.
285.637 When may I 585.637 When may I This section is removed
commence commercial commence commercial and reserved in part 585
operations on my operations on my and is included in part
commercial lease? commercial lease? 285.
285.638 What must I do 585.638 What must I This section is removed
upon completion of my do upon completion and reserved in part 585
commercial operations of my commercial and is included in part
as approved in my COP operations as 285.
or FERC license? approved in my COP
or FERC license?
285.639 [Reserved] 585.639 [Reserved] This section remains
reserved in part 585 and
is included as reserved
in part 285.
------------------------------------------------------------------------
[[Page 6389]]
General Activities Plan Requirements for Limited Leases, ROW Grants, and
RUE Grants
------------------------------------------------------------------------
285.640 [Reserved] 585.640 What is a This section remains in
General Activities part 585 and is included
Plan (GAP)? as reserved in part 285.
285.641 [Reserved] 585.641 What must I This section remains in
demonstrate in my part 585 and is included
GAP? as reserved in part 285.
285.642 [Reserved] 585.642 How do I This section remains in
submit my GAP? part 585 and is included
as reserved in part 285.
285.643 and 285.644 585.643 and 585.644 These sections remain
[Reserved] [Reserved] reserved in part 585 and
are included as reserved
in part 285.
------------------------------------------------------------------------
Contents of the General Activities Plan
------------------------------------------------------------------------
285.645 [Reserved] 585.645 What must I This section remains in
include in my GAP? part 585 and is included
as reserved in part 285.
285.646 [Reserved] 585.646 What This section remains in
information and part 585 and is included
certifications must as reserved in part 285.
I submit with my GAP
to assist BOEM in
complying with NEPA
and other relevant
laws?
285.647 [Reserved] 585.647 How will my This section remains in
GAP be processed for part 585 and is included
Federal consistency as reserved in part 285.
under the Coastal
Zone Management Act?
285.648 [Reserved] 585.648 How will BOEM This section remains in
process my GAP? part 585 and is included
as reserved in part 285.
285.649 [Reserved] 585.649 [Reserved] This section remains
reserved in part 585 and
is included as reserved
in part 285.
------------------------------------------------------------------------
Activities Under an Approved GAP
------------------------------------------------------------------------
285.650 When may I 585.650 When may I This section remains in
begin conducting begin conducting part 585 and is included
activities under my activities under my in part 285.
GAP? GAP?
285.651 When may I 585.651 When may I This section remains in
construct complex or construct complex or part 585 and is included
significant OCS significant OCS in part 285.
facilities on my facilities on my
limited lease or any limited lease or any
facilities on my facilities on my
project easement project easement
proposed under my proposed under my
GAP? GAP?
285.652 [Reserved] 285.652 How long do I This section remains in
have to conduct part 585 and is included
activities under an as reserved in part 285.
approved GAP?
285.653 What other 585.653 What other This section remains in
reports or notices reports or notices part 585 and is included
must I submit to BSEE must I submit to in part 285. Only
under my approved BOEM under my existing paragraph (b)
GAP? approved GAP? remains in part 585.
285.654 [Reserved] 585.654 [Reserved] This section remains
reserved in part 585 and
is included as reserved
in part 285.
285.655 [Reserved] 585.655 What This section remains in
activities require a part 585 and is included
revision to my GAP, as reserved in part 285.
and when will BOEM
approve the
revision?
285.656 [Reserved] 585.656 What must I This section remains in
do if I cease part 585 and is included
activities approved as reserved in part 285.
in my GAP before the
end of my term?
285.657 [Reserved] 585.657 What must I This section remains in
do upon completion part 585 and is included
of approved as reserved in part 285.
activities under my
GAP?
------------------------------------------------------------------------
Cable and Pipeline Deviations
------------------------------------------------------------------------
285.658 [Reserved] 585.658 Can my cable This section remains in
or pipeline part 585 and is included
construction deviate as reserved in part 285.
from my approved COP
or GAP?
285.659 [Reserved] 585.659 What This section is moved to
requirements must I 585.700 in part 585,
include in my SAP, under the heading
COP, or GAP Environmental Protection
regarding air Requirements Under
quality? Approved Plans. Part
585.659 is reserved in
part 585 and part 285.
------------------------------------------------------------------------
[[Page 6390]]
Subpart G--Facility Design, Fabrication, and Installation
------------------------------------------------------------------------
The regulatory requirements in this subpart are administered by BSEE and
are included in part 285 only. Subpart G is removed and reserved in
part 585.
------------------------------------------------------------------------
Reports
------------------------------------------------------------------------
285.700 What reports 585.700 What reports This section is included
must I submit to BSEE must I submit to in part 285. In part
before installing BOEM before 585, the contents of
facilities described installing existing section 585.659
in my approved SAP, facilities described are relocated to
COP, or GAP? in my approved SAP, 585.700, under the
COP, or GAP? heading Environmental
Protection Requirements
Under Approved Plans.
285.701 What must I 585.701 What must I This section is included
include in my include in my in part 285. In part
Facility Design Facility Design 585, the contents of
Report? Report? existing section 585.801
are relocated to
585.701, under the
heading Environmental
Protection Requirements
Under Approved Plans.
285.702 What must I 585.702 What must I This section is included
include in my include in my in part 285. In part
Fabrication and Fabrication and 585, the contents of
Installation Report? Installation Report? existing section 585.802
are relocated to
585.702, under the
heading Environmental
Protection Requirements
Under Approved Plans and
285.703 What reports 585.703 What reports This section is included
must I submit for must I submit for in part 285. In part
project modifications project 585, the contents of
and repairs? modifications and existing section 585.803
repairs? are relocated to Sec.
585.703, under the
heading Environmental
Protection Requirements
Under Approved Plans.
285.704 [Reserved] 585.704 [Reserved] This section is removed
and reserved in part 585
and is included as
reserved in part 285.
------------------------------------------------------------------------
Certified Verification Agent
------------------------------------------------------------------------
285.705 When must I 585.705 When must I This section is removed
use a Certified use a Certified and reserved in part 585
Verification Agent Verification Agent and is included in part
(CVA)? (CVA)? 285.
285.706 How do I 585.706 How do I This section is removed
nominate a CVA for nominate a CVA for and reserved in part 585
BSEE approval? BOEM approval? and is included in part
285.
285.707 What are the 585.707 What are the This section is removed
CVA's primary duties CVA's primary duties and reserved in part 585
for facility design for facility design and is included in part
review? review? 285.
285.708 What are the 585.708 What are the This section is removed
CVA's or project CVA's or project and reserved in part 585
engineer's primary engineer's primary and is included in part
duties for duties for 285.
fabrication and fabrication and
installation review? installation review?
285.709 When 585.709 When This section is removed
conducting onsite conducting onsite and reserved in part 585
fabrication fabrication and is included in part
inspections, what inspections, what 285.
must the CVA or must the CVA or
project engineer project engineer
verify? verify?
285.710 When 585.710 When This section is removed
conducting onsite conducting onsite and reserved in part 585
installation installation and is included in part
inspections, what inspections, what 285.
must the CVA or must the CVA or
project engineer do? project engineer do?
285.711 [Reserved] 585.711 [Reserved] This section remains
reserved in part 585 and
is included as reserved
in part 285.
285.712 What are the 585.712 What are the This section is removed
CVA's or project CVA's or project and reserved in part 585
engineer's reporting engineer's reporting and is included in part
requirements? requirements? 285.
285.713 What must I do 585.713 What must I This section is removed
after the CVA or do after the CVA or and reserved in part 585
project engineer project engineer and is included in part
confirms conformance confirms conformance 285.
with the Fabrication with the Fabrication
and Installation and Installation
Report on my Report on my
commercial lease? commercial lease?
285.714 What records 585.714 What records This section is removed
relating to SAPs, relating to SAPs, and reserved in part 585
COPs, and GAPs must I COPs, and GAPs must and is included in part
keep? I keep? 285.
------------------------------------------------------------------------
[[Page 6391]]
Subpart H--Environmental and Safety Management, Inspections, and
Facility Assessments for Activities Conducted Under SAPs, COPs, and GAPs
(Part 285)
Subpart H--[Reserved] (Part 585)
------------------------------------------------------------------------
Most regulatory requirements in this subpart are administered by BSEE
and are included in part 285 only; requirements administered by BOEM
are moved to other sections in BOEM's part 585. In part 285, subpart H
is entitled, ``Environmental and Safety Management, Inspections, and
Facility Assessments for Activities Conducted under SAPS, COPs, and
GAPs.'' In part 585, subpart H is entitled, ``[Reserved].''
------------------------------------------------------------------------
285.800 How must I 585.800 How must I This section is removed
conduct my activities conduct my and reserved in part 585
to comply with safety activities to comply and is included in part
and environmental with safety and 285.
requirements? environmental
requirements?
285.801 How must I 585.801 How must I This section is moved to
conduct my approved conduct my approved 585.701 and reserved in
activities to protect activities to subpart H of part 585,
marine mammals, protect marine and is included in part
threatened and mammals, threatened 285, as a cross-
endangered species, and endangered reference to 585.701.
and designated species, and
critical habitat? designated critical
habitat?
285.802 What must I do 585.802 What must I This section is moved to
if I discover a do if I discover a Sec. 585.702 and
potential potential reserved in subpart H of
archaeological archaeological part 585, and is
resource while resource while included in part 285, as
conducting my conducting my a cross-reference to
approved activities? approved activities? 585.702.
285.803 How must I 585.803 How must I This section is moved to
conduct my approved conduct my approved Sec. 585.703 and
activities to protect activities to reserved in subpart H of
essential fish protect essential part 585, and is
habitats identified fish habitats included in part 285, as
and described under identified and a cross-reference to
the Magnuson-Stevens described under the 585.703.
Fishery Conservation Magnuson-Stevens
and Management Act? Fishery Conservation
and Management Act?
285.804-285.809 585.804-585.809 These sections remain
[Reserved] [Reserved] reserved in part 585 and
are included as reserved
in part 285.
------------------------------------------------------------------------
Safety Management Systems
------------------------------------------------------------------------
285.810 What must I 585.810 What must I This section is removed
include in my Safety include in my Safety and reserved in part 585
Management System? Management System? and is included in part
285.
285.811 When must I 585.811 When must I This section is removed
follow my Safety follow my Safety and reserved in part 585
Management System? Management System? and is included in part
285.
285.812 [Reserved] 585.812 [Reserved] This section remains
reserved in part 585 and
is included as reserved
in part 285.
------------------------------------------------------------------------
Maintenance and Shutdowns
------------------------------------------------------------------------
285.813 When do I have 585.813 When do I This section is removed
to report removing have to report and reserved in part 585
equipment from removing equipment and is included in part
service? from service? 285.
285.814 [Reserved] 585.814 [Reserved] This section remains
reserved in part 585 and
is included as reserved
in part 285.
------------------------------------------------------------------------
Equipment Failure and Adverse Environmental Effects
------------------------------------------------------------------------
285.815 What must I do 585.815 What must I This section is removed
if I have facility do if I have and reserved in part 585
damage or an facility damage or and is included in part
equipment failure? an equipment 285.
failure?
285.816 What must I do 585.816 What must I This section is removed
if environmental or do if environmental and reserved in part 585
other conditions or other conditions and is included in part
adversely affect a adversely affect a 285.
cable, pipeline, or cable, pipeline, or
facility? facility?
285.817-285.819 585.817-585.819 These sections remain
[Reserved] [Reserved] reserved in part 585 and
are included as reserved
in part 285.
------------------------------------------------------------------------
[[Page 6392]]
Inspections and Assessment
------------------------------------------------------------------------
285.820 Will BSEE 585.820 Will BOEM This section is removed
conduct inspections? conduct inspections? and reserved in part 585
and is included in part
285.
285.821 Will BSEE 585.821 Will BOEM This section is removed
conduct scheduled and conduct scheduled and reserved in part 585
unscheduled and unscheduled and is included in part
inspections? inspections? 285.
285.822 What must I do 585.822 What must I This section is removed
when BSEE conducts an do when BOEM and reserved in part 585
inspection? conducts an and is included in part
inspection? 285.
285.823 Will BSEE 585.823 Will BOEM This section is removed
reimburse me for my reimburse me for my and reserved in part 585
expenses related to expenses related to and is included in part
inspections? inspections? 285.
285.824 How must I 585.824 How must I This section is removed
conduct self- conduct self- and reserved in part 585
inspections? inspections? and is included in part
285.
285.825 When must I 585.825 When must I This section is removed
assess my facilities? assess my and reserved in part 585
facilities? and is included in part
285.
285.826-285.829 585.826-585.829 These sections remain
[Reserved] [Reserved] reserved in part 585 and
are included as reserved
in part 285.
------------------------------------------------------------------------
Incident Reporting and Investigation
------------------------------------------------------------------------
285.830 What are my 585.830 What are my This section is removed
incident reporting incident reporting and reserved in part 585
requirements? requirements? and is included in part
285.
285.831 What incidents 585.831 What This section is removed
must I report, and incidents must I and reserved in part 585
when must I report report, and when and is included in part
them? must I report them? 285.
285.832 How do I 585.832 How do I This section is removed
report incidents report incidents and reserved in part 585
requiring immediate requiring immediate and is included in part
notification? notification? 285.
285.833 What are the 585.833 What are the This section is removed
reporting reporting and reserved in part 585
requirements for requirements for and is included in part
incidents requiring incidents requiring 285.
written notification? written
notification?
------------------------------------------------------------------------
Subpart I--Decommissioning
------------------------------------------------------------------------
Most regulatory requirements in this subpart are administered by BSEE
and are included in part 285 only; these requirements are removed from
BOEM's regulations. BOEM retains decision-making authority on whether
lease or grant facilities should be allowed to remain in place upon
decommissioning.
------------------------------------------------------------------------
Decommissioning Obligations and Requirements (Part 285)
------------------------------------------------------------------------
285.900 Who must meet 585.900 Who must meet This section is removed
the decommissioning the decommissioning in part 585 and is
obligations in this obligations in this included in part 285.
subpart? subpart?
285.901 When do I 585.901 When do I This section is removed
accrue accrue in part 585 and is
decommissioning decommissioning included in part 285.
obligations? obligations?
285.902 What are the 585.902 What are the This section is removed
general requirements general requirements in part 585 and is
for decommissioning for decommissioning included in part 285.
for facilities for facilities
authorized under my authorized under my
SAP, COP, or GAP? SAP, COP, or GAP?
285.903 What are the 585.903 What are the This section is removed
requirements for requirements for in part 585 and is
decommissioning FERC- decommissioning FERC- included in part 285.
licensed hydrokinetic licensed
facilities? hydrokinetic
facilities?
285.904 Can I request 585.904 Can I request This section is removed
a departure from the a departure from the in part 585 and is
decommissioning decommissioning included in part 285.
requirements? requirements?
------------------------------------------------------------------------
Decommissioning Applications
------------------------------------------------------------------------
285.905 When must I 585.905 When must I This section is removed
submit my submit my in part 585 and is
decommissioning decommissioning included in part 285.
application? application?
285.906 What must my 585.906 What must my This section is removed
decommissioning decommissioning in part 585 and is
application include? application include? included in part 285.
[[Page 6393]]
285.907 How will BSEE 585.907 How will BOEM This section is removed
process my process my in part 585 and is
decommissioning decommissioning included in part 285.
application? application?
285.908 What must I 585.908 What must I This section is removed
include in my include in my in part 585 and is
decommissioning decommissioning included in part 285.
notice? notice?
------------------------------------------------------------------------
Facility Removal
------------------------------------------------------------------------
285.909 When may 585.909 When may BOEM This section is removed
facilities remain in authorize facilities in part 585 and is
place following to remain in place included in part 285.
termination of a following The section heading in
lease or grant? termination of a part 285 is revised.
lease or grant?
285.910 What must I do 585.910 What must I This section is removed
when I remove my do when I remove my in part 585 and is
facility? facility? included in part 285.
585.911 [Reserved] 585.911 [Reserved] This section is removed
in part 585 and is
included as reserved in
part 285.
------------------------------------------------------------------------
Decommissioning Report
------------------------------------------------------------------------
285.912 After I remove 585.912 After I This section is removed
a facility, cable, or remove a facility, in part 585 and is
pipeline, what cable, or pipeline, included in part 285.
information must I what information
submit? must I submit?
------------------------------------------------------------------------
Compliance with an Approved Decommissioning Application
------------------------------------------------------------------------
285.913 What happens 585.913 What happens This section is removed
if I fail to comply if I fail to comply in part 585 and is
with my approved with my approved included in part 285.
decommissioning decommissioning
application? application?
------------------------------------------------------------------------
Subpart J--Rights of Use and Easement for Energy- and Marine-Related
Activities Using Existing OCS Facilities
------------------------------------------------------------------------
The Department is relocating the regulations related to alternate use
RUEs to a new part 586, accompanied by certain general authority
provisions copied from part 585 Subpart A. Some regulatory requirements
in this subpart are relevant to both BOEM and BSEE; therefore, they
appear in both parts 285 and 586. BSEE has the administrative
responsibility for the decommissioning of an alternate use RUE, and
those sections are included in part 285 only. Subpart J of part 585 is
removed and is replaced with a new part 586 entitled, Alternate Uses of
Existing Facilities on the Outer Continental Shelf.
------------------------------------------------------------------------
Regulated Activities
------------------------------------------------------------------------
585.100 Authority This section is included
in part 586, the OCSLA
authority is updated and
it is limited to
Alternate Use RUEs.
Section 586.100 is a new
section under a new
Subpart A-General
Provisions in a new part
586.
585.101 What is the Paragraphs (a), (b), (c)
purpose of this and (d) of this section
part? are included in 586.100,
re-numbered to
accommodate inclusion of
the paragraphs of
585.1000 What activities
does this subpart
regulate? Section
586.101 is a new section
under a new Subpart A-
General Provisions in a
new part 586.
585.102 What are This section is included
BOEM's in part 586 as 586.103,
responsibilities which is a new section
under this part? under a new Subpart A-
General Provisions in a
new part 586.
585.103 When may BOEM This section is included
prescribe or approve in part 586 as 586.104
departures from which is a new section
these regulations under a new Subpart A-
General Provisions.
[[Page 6394]]
585.104 Do I need a This section is removed
BOEM lease or other in the new part 586.
authorization to
produce or support
the production of
electricity
585.105 What are my This section is included
responsibilities as 586.105 and the
under this part? undesignated paragraph
references to
``lessee'', ``ROW
grant'', and ``RUE
grant'' have been
deleted. This is a new
section under a new
Subpart A-General
Provisions of the new
part 586.
585.106 Who can hold This section is included
a lease or grant in part 586 as 586.107,
under this part? with the references to
``lease'' deleted.
Section 585.106 is now
entitled, What happens
if I fail to comply with
this part?, to mirror
the General Provisions
of the Renewable Energy
part 585 regulations.
585.107 How do I show This section is included
that I am qualified in part 586 and
to be a lease or renumbered 586.108. This
grant holder? is a new section under a
new Subpart A-General
Provisions in a new part
586.
585.108 When must I This section is included
notify BOEM if an as 586.109. This is a
action has been new section under a new
filed alleging that Subpart A-General
I am insolvent or Provisions in a new part
bankrupt? 586.
585.109 When must I This section is included
notify BOEM of as 586.110. This is a
mergers, name new section under a new
changes, or changes Subpart A-General
of business form? Provisions in a new part
586.
585.110 How do I This section is included
submit plans, as 586.111. This is a
applications, new section under a new
reports, or notices Subpart A-General
required in this Provisions in a new part
part? 586.
585.111 When and how This section is included
does BOEM charge me as 586.112. This is a
processing fees on a new section under a new
case-by-case basis? Subpart A-General
Provisions in a new part
586.
585.112 Definitions This section is included
as 586.113. Definitions
for terms not included
in part 586 have been
removed. This is a new
section under a new
Subpart A-General
Provisions in a new part
586.
585.113 How will data This section is included
and information as section 586.114. This
obtained by BOEM is a new section under a
under this part be new Subpart A-General
disclosed to the Provisions in a new part
public? 586.
585.114 Paperwork This section is included
Reduction Act as section 586.115. This
statements- is a new section under a
information new Subpart A-General
collection Provisions in a new part
586.
585.116 Requests for The content of existing
information on the 585.116 is not included
state of the in new part 586. Section
offshore renewable 586.116 is reserved.
energy industry
585.117 [Reserved] This section is reserved
as section 586.117 under
a new Subpart A-General
Provisions in a new part
586.
585.118 What are my This section is included
appeal rights? as 586.118 under a new
Subpart A-General
Provisions in a new part
586.
285.1000 What 585.1000 What This section is removed
activities does this activities does this and its contents
subpart regulate? subpart regulate? relocated to Sec.
586.102 under a new
Subpart A-General
Provisions in a new part
586. This section is
also included in part
285.
285.1001-285.1003 585.1001-585.1003 These sections are
[Reserved] [Reserved] removed in part 585 and
are included as reserved
in part 285.
------------------------------------------------------------------------
Requesting an Alternate Use RUE
------------------------------------------------------------------------
285.1004 [Reserved] 585.1004 What must I This section is removed
do before I request and relocated to a new
an Alternate Use part 586, to Sec.
RUE? 586.200 under a new
Subpart B-Issuance of
Alternate Use RUEs for
Energy- and Marine-
Related Activities Using
Existing OCS Facilities.
This section is also
included as reserved in
part 285.
285.1005 [Reserved] 585.1005 How do I This section is removed
request an Alternate and relocated to a new
Use RUE? part 586, to Sec.
586.201 under a new
Subpart B-Issuance of
Alternate Use RUEs for
Energy- and Marine-
Related Activities Using
Existing OCS Facilities.
This section is also
included as reserved in
part 285.
285.1006 [Reserved] 585.1006 How will This section is removed
BOEM decide whether and relocated to a new
to issue an part 586, to Sec.
Alternate Use RUE? 586.202 under a new
Subpart B-Issuance of
Alternate Use RUEs for
Energy- and Marine-
Related Activities Using
Existing OCS Facilities.
This section is also
included as reserved in
part 285.
285.1007 [Reserved] 585.1007 What process This section is removed
will BOEM use for and relocated to a new
competitively part 586, to Sec.
offering an 586.203 under a new
Alternate Use RUE? Subpart B-Issuance of
Alternate Use RUEs for
Energy- and Marine-
Related Activities Using
Existing OCS Facilities.
This section is also
included as reserved in
part 285.
[[Page 6395]]
285.1008 and 285.1009 585.1008 and 585.1009 These sections are
[Reserved] [Reserved] removed in part 585 and
are included as reserved
in part 285. Sections
586.204 through 586.209
are also reserved.
------------------------------------------------------------------------
Alternate Use RUE Administration
------------------------------------------------------------------------
285.1010 [Reserved] 585.1010 How long may This section is removed
I conduct activities and relocated to a new
under an Alternate part 586, to Sec.
Use RUE? 586.210 under a new
Subpart B-Issuance of
Alternate Use RUEs for
Energy- and Marine-
Related Activities Using
Existing OCS Facilities.
This section is also
included as reserved in
part 285.
285.1011 [Reserved] 585.1011 What This section is removed
payments are and relocated to a new
required for an part 586, to Sec.
Alternate Use RUE? 586.211 under a new
Subpart B-Issuance of
Alternate Use RUEs for
Energy- and Marine-
Related Activities Using
Existing OCS Facilities.
This section is also
included as reserved in
part 285.
285.1012 [Reserved] 585.1012 What This section is removed
financial assurance and relocated to a new
is required for an part 586, to Sec.
Alternate Use RUE? 586.212 under a new
Subpart B-Issuance of
Alternate Use RUEs for
Energy- and Marine-
Related Activities Using
Existing OCS Facilities.
This section is also
included as reserved in
part 285.
285.1013 [Reserved] 585.1013 Is an This section is removed
Alternate Use RUE and relocated to a new
assignable? subpart, to Sec.
586.213 under a new
Subpart B-Issuance of
Alternate Use RUEs for
Energy- and Marine-
Related Activities Using
Existing OCS Facilities.
This section is also
included as reserved in
part 285.
285.1014 When will 585.1014 When will This section is removed
BSEE suspend an BOEM suspend an and relocated to a new
Alternate Use RUE? Alternate Use RUE? subpart 586, to Sec.
586.214 under a new
Subpart B-Issuance of
Alternate Use RUEs for
Energy- and Marine-
Related Activities Using
Existing OCS Facilities.
Paragraphs (a)(1) and
(3) and paragraph (b)
remain BOEM's
responsibility and are
renumbered accordingly.
This section is also
included in part 285;
paragraphs (a)(1), (2),
and (4) and paragraph
(b) are transferred to
BSEE's responsibility.
285.1015 [Reserved] 585.1015 How do I This section is removed
relinquish an and relocated to a new
Alternate Use RUE? subpart 586, to Sec.
586.215 under a new
Subpart B-Issuance of
Alternate Use RUEs for
Energy- and Marine-
Related Activities Using
Existing OCS Facilities.
This section is also
included as reserved in
part 285.
285.1016 When will an 585.1016 When will an This section is removed
Alternate Use RUE be Alternate Use RUE be and relocated to a new
cancelled? cancelled? subpart 586, to Sec.
586.216 under a new
Subpart B-Issuance of
Alternate Use RUEs for
Energy- and Marine-
Related Activities Using
Existing OCS Facilities.
This section is also
included in part 285.
285.1017 [Reserved] 585.1017 [Reserved] This section is removed
from part 585 and is
reserved in part 285.
------------------------------------------------------------------------
Decommissioning an Alternate Use RUE
------------------------------------------------------------------------
285.1018 Who is 585.1018 Who is The content of Sec.
responsible for responsible for 585.1018 is removed.
decommissioning an decommissioning an This section is reserved
OCS facility subject OCS facility subject and the content is now
to an Alternate Use to an Alternate Use in new Sec. 586.218,
RUE? RUE? under a new Subpart B-
Issuance of Alternate
Use RUEs for Energy- and
Marine-Related
Activities Using
Existing OCS Facilities.
This section is also
included in part 285.
285.1019 What are the 585.1019 What are the This section is removed
decommissioning decommissioning and relocated to a new
requirements for an requirements for an subpart 586, to Sec.
Alternate Use RUE? Alternate Use RUE? 586.219 under a new
Subpart B-Issuance of
Alternate Use RUEs for
Energy- and Marine-
Related Activities Using
Existing OCS Facilities.
This section is also
included in part 285.
------------------------------------------------------------------------
[[Page 6396]]
IV. Procedural Matters
A. Statutes
1. Data Quality Act
In developing this rule, BOEM and BSEE neither conducted nor used
studies, experiments, or surveys requiring peer review under the Data
Quality Act (Pub. L. 106-554, app. C Sec. 515, 114 Stat. 2763, 2763A-
153-154).
2. National Environmental Policy Act
This rule is not a major Federal action significantly affecting the
quality of the human environment. A detailed statement under the
National Environmental Policy Act of 1969 (42 U.S.C. 4332) is not
required because this rule is administrative and procedural in nature
and is, therefore, covered by a categorical exclusion (see 43 CFR
46.210(i)). We also have determined that this rule does not involve any
of the extraordinary circumstances described in 43 CFR 46.215 that
would require further analysis under NEPA. Consequently, neither an
environmental assessment nor an environmental impact statement is
required.
3. Paperwork Reduction Act
The Paperwork Reduction Act (44 U.S.C. 3501-3521) provides that an
agency may not conduct or sponsor, and a person is not required to
respond to, a ``collection of information'' unless it displays a
currently valid OMB control number. Collections of information include
requests and requirements that an individual, partnership, or
corporation obtain information and report it to a Federal agency (44
U.S.C. 3502(3); 5 CFR 1320.3(c) and (k)).
This rule simply transfers some regulations associated with
currently approved IC burdens from BOEM's responsibility to BSEE's
responsibility; this rule contains no substantive changes to current IC
burdens. In some cases, the requirements are administered by both BOEM
and BSEE, and for this reason, please consult the burden table for an
accurate breakdown of responses and burden hours. The regulations
addressed in this rule are the subject of currently approved IC burdens
for BOEM under OMB Control Number 1010-0176 (expiration January 31,
2026). Though OMB has approved the transfer of IC burdens from BOEM to
BSEE, ROCIS software precludes OMB from issuing a control number to
BSEE until this rule's publication in the Federal Register. BSEE
expects to publish a rule correction containing OMB's IC control number
soon. Under this rule, the regulated community submits some existing
reports to BSEE that were previously submitted to BOEM. The following
burden table shows how this rulemaking shifts certain collection of
information burdens from BOEM to BSEE.
Table B--Burden Table
BILLING CODE 4310-MR-P
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BILLING CODE 4310-MR-C
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4. Regulatory Flexibility Act
A final regulatory flexibility analysis is not required for this
rule because it is exempt from the notice-and-comment provisions of the
APA (5 U.S.C. 553(b)(A); see supra III.A). Therefore, the requirements
of the Regulatory Flexibility Act do not apply to this final rule (5
U.S.C. 604(a)).
5. Congressional Review Act (CRA)
This final rule does not qualify as a major rule under the CRA (5
U.S.C. 801-808). This rule reorganizes existing regulations to reflect
the transfer of responsibility for OCS renewable energy safety and
environmental oversight and enforcement functions from BOEM to BSEE.
This rule does not generate an annual economic effect of $100 million
or more (see below discussion at Executive Order 12866 and Executive
Order 13563); cause major price increases for consumers, businesses, or
governments, or geographic regions; or degrade competition, employment,
investment, productivity, innovation, or the ability of U.S. businesses
to compete against foreign businesses.
6. Unfunded Mandates Reform Act
This rule imposes neither an unfunded Federal mandate of more than
$100 million annually nor significant or unique effects on State,
local, or Tribal governments. Thus, an Unfunded Mandates Reform Act (2
U.S.C. 1531) statement is not required.
7. Administrative Procedure Act
This rule reassigns existing regulations governing safety and
environmental oversight and enforcement of OCS renewable energy
activities from BOEM to BSEE. This rulemaking is neither substantive
nor controversial because it merely reorganizes provisions in the Code
of Federal Regulations and, therefore, does not affect the legal
rights, obligations, and interests of any interested parties.
This rule implements Secretary's Order 3299-- which reflects the
Secretary's prudent and considered policy judgment that independent
oversight and enforcement is in the national interest to best address
the organizational concerns highlighted by the Deepwater Horizon
incident-- and revisions made to the Departmental Manual implementing
that direction. Specifically, this rule transfers existing safety and
environmental oversight and enforcement regulations governing OCS
renewable energy activities from 30 CFR part 585, under BOEM's purview,
to 30 CFR part 285, under BSEE's purview. This reorganization parallels
the bureaus' oversight of oil and gas activities. This transfer
includes a reassignment of authority to: oversee facility design,
fabrication, installation, and safety management systems; ensure the
safety of operations, including inspection programs and incident
reporting and investigations; enforce compliance with all applicable
safety, environmental, and other laws and regulations through
enforcement actions (such as noncompliance notices, cessation orders,
and lease suspensions); and oversee decommissioning activities. This
rule also moves certain sections pertaining to Alternate Use RUEs from
30 CFR part 585 to a new 30 CFR part 586.
This rule is a ``rule[ ] of agency organization, procedure, or
practice,'' 5 U.S.C. 553(b)(A), because it implements the Department's
reassignment of responsibility for administering existing regulatory
provisions from BOEM to BSEE. This rule reorganizes current regulations
to be consistent with Departmental delegations without making
substantive changes to those regulations or modifying substantive
rights or interests. Nor does the rule impose new rights or duties or
change the legal status of regulated parties. No statute requires
notice or hearing for this rule. Therefore, this rule is exempt from
notice-and-comment rulemaking requirements under 5 U.S.C. 553(b)(A).
Additionally, for the same reasons, the Department finds for good cause
shown that notice and comment on this rule are unnecessary and contrary
to the public interest under 5 U.S.C. 553(b)(B). Further, because this
rule makes no changes to the legal obligations or rights of
nongovernmental entities, the relevant responsibilities have already
been delegated to BSEE, and it is in the public interest for the
regulations to reflect that delegation to provide clarity, the
Department further finds that good cause exists to make this rule
effective upon publication in the Federal Register per 5 U.S.C.
553(d)(3).
B. Executive Orders
1. Executive Order 12630--Takings Implication Assessment
Under the criteria in Executive Order 12630 section 2(a)(2), this
final rule does not have takings implications because it simply
reassigns current safety and environmental oversight and enforcement
regulations to BSEE from BOEM. This rulemaking is not a Federal action
capable of interference with constitutionally protected private
property rights. A takings implications assessment is not required.
2. Executive Order 12866--Regulatory Planning and Review, and Executive
Order 13563--Improving Regulation and Regulatory Review
Executive Order 12866 provides that the Office of Information and
Regulatory Affairs in OMB will review all significant rules. The Office
of Information and Regulatory Affairs has determined that this rule is
not significant. This rule only reassigns current safety and
environmental oversight and enforcement regulations from BOEM to BSEE.
This rule does not change the substance of existing regulatory
requirements.
Executive Order 13563 reaffirms the principles of Executive Order
12866 while calling for improvements in the nation's regulatory system
to promote predictability, to reduce uncertainty, and to use the best,
most innovative, and least burdensome tools for achieving regulatory
ends. The executive order directs agencies to consider regulatory
approaches that reduce burdens and maintain flexibility and freedom of
choice for the public where these approaches are relevant, feasible,
and consistent with regulatory objectives. We have developed this rule
in a manner consistent with these requirements.
3. Executive Order 12988--Civil Justice Reform
This rule complies with the requirements of Executive Order 12988.
Specifically, this rule meets the criteria of both section 3(a), which
requires that all regulations be reviewed to minimize litigation and to
eliminate errors and ambiguity, and section 3(b)(2), which requires
that all regulations be written clearly and contain clear legal
standards.
This rule simply reassigns current safety and environmental
oversight and enforcement regulations from BOEM to BSEE. This rule does
not change the substance of existing regulatory requirements; it
retains the substance of the existing part 585, which was promulgated
through notice and comment rulemaking.
4. Executive Order 13132--Federalism
This rule only transfers current safety and environmental oversight
and enforcement regulations from BOEM to BSEE. This rule does not
change the substance of existing regulatory requirements. This rule,
therefore, does not have substantial direct effects on either the
States or the relationship between the Federal and State governments,
nor does it affect the distribution of power and
[[Page 6413]]
responsibilities between various governmental levels. Thus, a
federalism impact statement is unnecessary.
5. Executive Order 13175--Consultation and Coordination With Indian
Tribal Governments
After a review under the policy criteria of both section 5 of
Executive Order 13175 and section 4(a) of Secretary's Order 3317, the
BOEM Tribal Consultation Team has determined that this rule will have
no substantial direct effects on federally recognized Tribal Nations or
Alaska Native Corporations. This rule only reassigns certain
regulations from BOEM to BSEE. Thus, consultation under DOI's Tribal
consultation policy is neither recommended nor required.
6. Executive Order 13211--Effects on the Nation's Energy Supply
This rule is not a significant energy action under the definition
in Executive Order 13211 section 4(b) because it likely will not have a
significant adverse effect on the energy market, because OMB has not
designated it as a significant energy action, and because it is not a
significant regulatory action under Executive Order 12866. Thus, a
statement of energy effects is not required.
7. Presidential Memorandum of June 1, 1998, on Regulation Clarity
This rule only reassigns certain existing regulatory provisions
from BOEM to BSEE. This rule does not change the substance of existing
regulatory requirements. Thus, like existing 30 CFR part 585, which was
promulgated through notice and comment rulemaking after this
Presidential Memorandum, this rule satisfies the requirements for
regulation clarity outlined in this Presidential Memorandum.
List of Subjects
30 CFR Part 285
Continental shelf, Energy, Environmental protection, Historic
preservation, Incorporation by reference, Marine resources, Marine
safety, Natural resources, Ocean resources, Offshore energy, Offshore
structures, Outer continental shelf, Renewable energy, Reporting and
recordkeeping requirements, Safety, Wind energy.
30 CFR Part 585
Administrative practice and procedure, Coastal zone, Continental
shelf, Electric power, Energy, Environmental protection, Government
leases, Intergovernmental relations, Marine resources, Marine safety,
Natural resources, Ocean resources, Offshore energy, Offshore
structures, Outer continental shelf, Payments, Planning, Power
resources, Renewable energy, Reporting and recordkeeping requirements,
Revenue sharing, Rights-of-way, Rights-of-use and easement, Wind
energy.
30 CFR Part 586
Coastal zone, Continental shelf, Electric power, Energy,
Intergovernmental relations, Marine resources, Natural resources, Ocean
resources, Offshore energy, Offshore structures, Outer continental
shelf, Power resources, Renewable energy, Rights-of-way, Rights-of-use
and easement, Wind energy.
Laura Daniel-Davis,
Principal Deputy Assistant Secretary, Land and Minerals Management.
For the reasons stated in the preamble, the Bureau of Safety and
Environmental Enforcement (BSEE) amends 30 CFR chapter II, and the
Bureau of Ocean Energy Management (BOEM) amends 30 CFR chapter V as
follows:
Chapter II--Bureau of Safety and Environmental Enforcement
0
1. Add part 285 to subchapter B to read as follows:
PART 285--RENEWABLE ENERGY AND ALTERNATE USES OF EXISTING
FACILITIES ON THE OUTER CONTINENTAL SHELF
Subpart A--General Provisions
Sec.
285.100 Authority.
285.101 What is the purpose of this part?
285.102 What are BSEE's responsibilities under this part?
285.103 When may BSEE prescribe or approve departures from the
regulations in this part?
285.104 [Reserved]
285.105 What are my responsibilities under this part?
285.106-285.109 [Reserved]
285.110 How do I submit applications, reports, or notices required
by this part?
285.111 When and how does BSEE charge me processing fees on a case-
by-case basis?
285.112 Definitions.
285.113 How will data and information obtained by BSEE under this
part be disclosed to the public?
285.114 Paperwork Reduction Act statements--information collection.
285.115 Documents incorporated by reference.
285.116 Requests for information on the state of the offshore
renewable energy industry.
285.117 [Reserved]
285.118 What are my appeal rights?
Subparts B and C [Reserved]
Subpart D--Lease and Grant Administration
Noncompliance and Cessation Orders
285.400 What happens if I fail to comply with this part?
285.401 When may BSEE issue a cessation order?
285.402 What is the effect of a cessation order?
285.403-285.405 [Reserved]
Responsibility for Fulfilling Obligations
285.406 Who is responsible for fulfilling lease and grant
obligations?
285.407-285.414 [Reserved]
Lease or Grant Suspension
285.415 What is a lease or grant suspension?
285.416 [Reserved]
285.417 When may BSEE order a suspension?
285.418 How will BSEE issue a suspension?
285.419 What are my immediate responsibilities if I receive a
suspension order?
285.420 What effect does a suspension order have on my payments?
285.421 How long will a suspension be in effect?
285.422-285.432 [Reserved]
Lease or Grant Termination
285.433 What must I do after my lease or grant terminates?
285.434-285.436 [Reserved]
Lease or Grant Cancellation
285.437 When can my lease or grant be canceled?
Subpart E [Reserved]
Subpart F--Information Requirements
285.600-285.601 [Reserved]
285.602 What records must I maintain?
285.603-285.613 [Reserved]
[[Page 6414]]
Activities Under an Approved SAP
285.614 When may I begin conducting activities under my approved
SAP?
285.615 What other reports or notices must I submit to BSEE under my
approved SAP?
285.616-285.630 [Reserved]
Activities Under an Approved COP
285.631 When must I initiate activities under an approved COP?
285.632 What documents must I submit before I may construct and
install facilities under my approved COP?
285.633 How do I comply with my COP?
285.634-285.635 [Reserved]
285.636 What notices must I provide BSEE following approval of my
COP?
285.637 When may I commence commercial operations on my commercial
lease?
285.638 What must I do upon completion of my commercial operations
as approved in my COP or FERC license?
285.639-285.649 [Reserved]
Activities Under an Approved GAP
285.650 When may I begin conducting activities under my GAP?
285.651 When may I construct complex or significant OCS facilities
on my limited lease or any facilities on my project easement
proposed under my GAP?
285.652 [Reserved]
285.653 What other reports or notices must I submit to BSEE under my
approved GAP?
285.654-285.659 [Reserved]
Subpart G--Facility Design, Fabrication, and Installation
Reports
285.700 What reports must I submit to BSEE before installing
facilities described in my approved SAP, COP, or GAP?
285.701 What must I include in my Facility Design Report?
285.702 What must I include in my Fabrication and Installation
Report?
285.703 What reports must I submit for project modifications and
repairs?
285.704 [Reserved]
Certified Verification Agent
285.705 When must I use a Certified Verification Agent (CVA)?
285.706 How do I nominate a CVA for BSEE approval?
285.707 What are the CVA's primary duties for facility design
review?
285.708 What are the CVA's or project engineer's primary duties for
fabrication and installation review?
285.709 When conducting onsite fabrication inspections, what must
the CVA or project engineer verify?
285.710 When conducting onsite installation inspections, what must
the CVA or project engineer do?
285.711 [Reserved]
285.712 What are the CVA's or project engineer's reporting
requirements?
285.713 What must I do after the CVA or project engineer confirms
conformance with the Fabrication and Installation Report on my
commercial lease?
285.714 What records relating to SAPs, COPs, and GAPs must I keep?
Subpart H--Environmental and Safety Management, Inspections, and
Facility Assessments for Activities Conducted Under SAPs, COPs and GAPs
285.800 How must I conduct my activities to comply with safety and
environmental requirements?
285.801 How must I conduct my approved activities to protect marine
mammals, threatened and endangered species, and designated critical
habitat?
285.802 What must I do if I discover a potential archaeological
resource while conducting my approved activities?
285.803 How must I conduct my approved activities to protect
essential fish habitats identified and described under the Magnuson-
Stevens Fishery Conservation and Management Act?
285.804-285.809 [Reserved]
Safety Management Systems
285.810 What must I include in my Safety Management System?
285.811 When must I follow my Safety Management System?
285.812 [Reserved]
Maintenance and Shutdowns
285.813 When do I have to report removing equipment from service?
285.814 [Reserved]
Equipment Failure and Adverse Environmental Effects
285.815 What must I do if I have facility damage or an equipment
failure?
285.816 What must I do if environmental or other conditions
adversely affect a cable, pipeline, or facility?
285.817-285.819 [Reserved]
Inspections and Assessments
285.820 Will BSEE conduct inspections?
285.821 Will BSEE conduct scheduled and unscheduled inspections?
285.822 What must I do when BSEE conducts an inspection?
285.823 Will BSEE reimburse me for my expenses related to
inspections?
285.824 How must I conduct self-inspections?
285.825 When must I assess my facilities?
285.826-285.829 [Reserved]
Incident Reporting and Investigation
285.830 What are my incident reporting requirements?
285.831 What incidents must I report, and when must I report them?
285.832 How do I report incidents requiring immediate notification?
285.833 What are the reporting requirements for incidents requiring
written notification?
Subpart I--Decommissioning
Decommissioning Obligations and Requirements
285.900 Who must meet the decommissioning obligations in this
subpart?
285.901 When do I accrue decommissioning obligations?
285.902 What are the general requirements for decommissioning for
facilities authorized under my SAP, COP, or GAP?
285.903 What are the requirements for decommissioning FERC-licensed
hydrokinetic facilities?
285.904 Can I request a departure from the decommissioning
requirements?
Decommissioning Applications
285.905 When must I submit my decommissioning application?
285.906 What must my decommissioning application include?
285.907 How will BSEE process my decommissioning application?
285.908 What must I include in my decommissioning notice?
Facility Removal
285.909 When may facilities remain in place following termination of
a lease or grant?
285.910 What must I do when I remove my facility?
285.911 [Reserved]
Decommissioning Report
285.912 After I remove a facility, cable, or pipeline, what
information must I submit?
Compliance With an Approved Decommissioning Application
285.913 What happens if I fail to comply with my approved
decommissioning application?
Subpart J--Rights of Use and Easement for Energy- and Marine-Related
Activities Using Existing OCS Facilities
Regulated Activities
285.1000 What activities does this subpart regulate?
285.1001-285.1013 [Reserved]
Alternate Use RUE Administration
285.1014 When will BSEE suspend an Alternate Use RUE?
285.1015 [Reserved]
285.1016 When will an Alternate Use RUE be cancelled?
285.1017 [Reserved]
Decommissioning an Alternate Use RUE
285.1018 Who is responsible for decommissioning an OCS facility
subject to an Alternate Use RUE?
285.1019 What are the decommissioning requirements for an Alternate
Use RUE?
Authority: 43 U.S.C. 1331 et seq.
Subpart A--General Provisions
Sec. 285.100 Authority.
The authority for this part derives from the Outer Continental
Shelf Lands Act (OCS Lands Act) (43 U.S.C. 1337). The Secretary of the
Interior delegated to the Bureau of Safety and Environmental
Enforcement (BSEE) the authority to regulate certain activities. These
regulations specifically apply to activities that:
(a) Produce or support production, transportation, or transmission
of energy from sources other than oil and gas; or
[[Page 6415]]
(b) Use, for energy-related purposes or for other authorized
marine-related purposes, facilities currently or previously used for
activities authorized under the OCS Lands Act.
Sec. 285.101 What is the purpose of this part?
The purpose of this part is to:
(a) Inform you and third parties of your obligations when you
undertake activities authorized in this part and 30 CFR parts 585 and
586; and
(b) Ensure that renewable energy activities on the OCS and
activities involving the alternate use of OCS facilities for energy- or
marine-related purposes are conducted in a safe and environmentally
sound manner, in conformance with the requirements of subsection 8(p)
of the OCS Lands Act, other applicable laws and regulations, and the
terms of your lease, ROW grant, RUE grant, or Alternate Use RUE grant.
Sec. 285.102 What are BSEE's responsibilities under this part?
(a) BSEE will ensure that any activities authorized in this part
and 30 CFR parts 585 and 586 are carried out in a manner that provides
for:
(1) Safety;
(2) Protection of the environment;
(3) Prevention of waste;
(4) Conservation of the natural resources of the OCS;
(5) Coordination with relevant Federal agencies (including, in
particular, those agencies involved in planning activities that are
undertaken to avoid conflicts among users and maximize the economic and
ecological benefits of the OCS, including multifaceted spatial planning
efforts);
(6) Protection of national security interests of the United States;
(7) Protection of the rights of other authorized users of the OCS;
and
(8) Oversight, inspection, research, monitoring, and enforcement of
activities authorized by a lease or grant issued under 30 CFR parts 585
or 586.
(b) BSEE will require compliance with all applicable laws,
regulations, other requirements, and the terms of your lease or grant
issued under 30 CFR parts 585 or 586, and approved plans. BSEE will
approve, disapprove, or approve with conditions any applications or
other documents submitted to BSEE for approval under the provisions of
this part.
(c) Unless otherwise provided in this part, BSEE may give oral
directives or decisions whenever prior BSEE approval is required under
this part. BSEE will document in writing any such oral directives
within 10 business days.
(d) BSEE will establish practices and procedures to govern the
collection of all payments due under this part to the Federal
Government, including any cost recovery fees and other fees or
payments. BSEE will do this in accordance with the terms of this part,
the leasing notice, the lease or grant under 30 CFR parts 585 or 586,
and applicable Office of Natural Resources Revenue (ONRR) regulations
or guidance.
Sec. 285.103 When may BSEE prescribe or approve departures from the
regulations in this part?
(a) BSEE may prescribe or approve departures from these regulations
when departures are necessary to:
(1) Facilitate the appropriate activities on a lease or grant;
(2) Conserve natural resources;
(3) Protect life (including human and wildlife), property, or the
marine, coastal, or human environment; or
(4) Protect sites, structures, or objects of historical or
archaeological significance.
(b) Any departure approved under this section and its rationale
must:
(1) Be consistent with subsection 8(p) of the OCS Lands Act;
(2) Protect the environment and the public health and safety to the
same degree as if there was no approved departure from the regulations;
(3) Not impair the rights of third parties; and
(4) Be documented in writing.
Sec. 285.104 [Reserved]
Sec. 285.105 What are my responsibilities under this part?
As a lessee, applicant, operator, or holder of a ROW grant, RUE
grant, or Alternate Use RUE grant, you must:
(a) Design your projects and conduct all activities in a manner
that ensures safety and will not cause undue harm or damage to natural
resources, including their physical, atmospheric, and biological
components to the extent practicable; and take measures to prevent
unauthorized discharge of pollutants including marine trash and debris
into the offshore environment.
(b) Submit requests, applications, notices, modifications, and
supplemental information to BSEE as required by this part;
(c) Follow up, in writing, any oral request or notification you
made, within 3 business days;
(d) Comply with the terms, conditions, and provisions of all
reports and notices submitted to BSEE, and of all plans, revisions, and
other approvals, as provided in this part and in 30 CFR parts 585 and
586;
(e) Make all applicable payments on time;
(f) Comply with the DOI's nonprocurement debarment regulations at 2
CFR part 1400;
(g) Include the requirement to comply with 2 CFR part 1400 in all
contracts and transactions related to a lease or grant under this part;
(h) Conduct all activities authorized by the lease or grant in a
manner consistent with the provisions of subsection 8(p) of the OCS
Lands Act;
(i) Compile, retain, and make available to BSEE representatives,
within the time specified by BSEE, any data and information related to
the site assessment, design, and operations of your project; and
(j) Respond to requests from the Director in a timely manner.
Sec. Sec. 285.106-285.109 [Reserved]
Sec. 285.110 How do I submit applications, reports, or notices
required by this part?
(a) You must submit all applications, reports, or notices required
by this part to BSEE at the following address: Renewable Energy Program
Coordinator, Bureau of Safety and Environmental Enforcement, 45600
Woodland Road, Sterling, VA 20166.
(b) Unless otherwise stated, you must submit one paper copy and one
electronic copy of all applications, reports, or notices required by
this part.
Sec. 285.111 When and how does BSEE charge me processing fees on a
case-by-case basis?
(a) BSEE will charge a processing fee on a case-by-case basis under
the procedures in this section with regard to any application or
request under this part if we decide at any time that the preparation
of a particular document or study is necessary for the application or
request and it will have a unique processing cost.
(1) Processing costs will include contract oversight and efforts to
review and approve documents prepared by contractors, whether the
contractor is paid directly by the applicant or through BSEE.
(2) We may apply a standard overhead rate to direct processing
costs.
(b) We will assess the ongoing processing fee for each individual
application or request according to the following procedures:
(1) Before we process your application or request, we will give you
a written estimate of the proposed fee based on reasonable processing
costs.
(2) You may comment on the proposed fee.
(3) You may:
(i) Ask for our approval to perform, or to directly pay a
contractor to perform, all or part of any document, study, or
[[Page 6416]]
other activity according to standards we specify, thereby reducing our
costs for processing your application or request; or
(ii) Ask to pay us to perform, or contract for, all or part of any
document, study, or other activity.
(4) We will then give you the final estimate of the processing fee
amount with payment terms and instructions after considering your
comments and any BSEE-approved work you will do.
(i) If we encounter higher or lower processing costs than
anticipated, we will re-estimate our reasonable processing costs
following the procedures in paragraphs (b)(1) through (4) of this
section, but we will not stop ongoing processing unless you do not pay
in accordance with paragraph (b)(5) of this section.
(ii) Once processing is complete, we will refund to you the amount
of money that we did not spend on processing costs.
(5)(i) Consistent with the payment and billing terms provided in
the final estimate, we will periodically estimate what our reasonable
processing costs will be for a specific period and will bill you for
that period. Payment is due to us 30 days after you receive your bill.
We will stop processing your document if you do not pay the bill by the
date payment is due.
(ii) If a periodic payment turns out to be more or less than our
reasonable processing costs for the period, we will adjust the next
billing accordingly or make a refund. Do not deduct any amount from a
payment without our prior written approval.
(6) You must pay the entire fee before we will issue the final
document or take final action on your application or request.
(7) You may appeal our estimated processing costs in accordance
with the regulations in 43 CFR part 4. We will not process the document
further until the appeal is resolved, unless you pay the fee under
protest while the appeal is pending. If the appeal results in a
decision changing the proposed fee, we will adjust the fee in
accordance with paragraph (b)(5)(ii) of this section. If we adjust the
fee downward, we will not pay interest.
Sec. 285.112 Definitions.
Terms used in this part have the meanings as defined in this
section:
Affected State means with respect to any activities proposed,
conducted, or approved under this part, any coastal State--
(1) That is, or is proposed to be, the site of gathering,
transmitting, or distributing energy or is otherwise receiving,
processing, refining, or transshipping products, or services derived
from activities approved under this part;
(2) That is used, or is scheduled to be used, as a support base for
activities approved under this part; or
(3) In which there is a reasonable probability of significant
effect on land or water uses from activities approved under this part.
Alternate Use refers to the energy- or marine-related use of an
existing OCS facility for activities not otherwise authorized by this
title or other applicable law.
Alternate Use RUE means a right-of-use and easement issued for
activities authorized under subpart J of this part or part 586.
Archaeological resource means any material remains of human life or
activities that are at least 50 years of age and that are of
archaeological interest (i.e., which are capable of providing
scientific or humanistic understanding of past human behavior, cultural
adaptation, and related topics through the application of scientific or
scholarly techniques, such as controlled observation, contextual
measurement, controlled collection, analysis, interpretation, and
explanation).
BOEM means the Bureau of Ocean Energy Management of the Department
of the Interior.
BSEE means the Bureau of Safety and Environmental Enforcement of
the Department of the Interior.
Certified Verification Agent (CVA) means an individual or
organization, experienced in the design, fabrication, and installation
of offshore marine facilities or structures, who will conduct specified
third-party reviews, inspections, and verifications in accordance with
this part.
Commercial activities mean, for renewable energy leases and grants,
all activities associated with the generation, storage, or transmission
of electricity or other energy product from a renewable energy project
on the OCS, and for which such electricity or other energy product is
intended for distribution, sale, or other commercial use, except for
electricity or other energy product distributed or sold pursuant to
technology-testing activities on a limited lease. This term also
includes activities associated with all stages of development,
including initial site characterization and assessment, facility
construction, and project decommissioning.
Commercial lease means a lease issued under 30 CFR part 585 that
specifies the terms and conditions under which a person can conduct
commercial activities.
Commercial operations mean the generation of electricity or other
energy product for commercial use, sale, or distribution on a
commercial lease.
Decommissioning means removing BOEM and BSEE approved facilities
and returning the site of the lease or grant to a condition that meets
the requirements under subpart I of this part and 30 CFR part 585.
Director means the Director of the Bureau of Safety and
Environmental Enforcement (BSEE), of the U.S. Department of the
Interior, or an official authorized to act on the Director's behalf.
Facility means an installation that is permanently or temporarily
attached to the seabed of the OCS. Facilities include any structures;
devices; appurtenances; gathering, transmission, and distribution
cables; pipelines; and permanently moored vessels. Any group of OCS
installations interconnected with walkways, or any group of
installations that includes a central or primary installation with one
or more satellite or secondary installations, is a single facility.
BOEM and BSEE may decide that the complexity of the installations
justifies their classification as separate facilities.
Grant means a right-of-way, right-of-use and easement, or alternate
use right-of-use and easement issued under the provisions of 30 CFR
parts 585 or 586.
Human environment means the physical, social, and economic
components, conditions, and factors that interactively determine the
state, condition, and quality of living conditions, employment, and
health of those affected, directly or indirectly, by activities
occurring on the OCS.
Lease means an agreement authorizing the use of a designated
portion of the OCS for activities allowed under this part or 30 CFR
part 585. The term also means the area covered by that agreement, when
the context requires.
Lessee means the holder of a lease, a BOEM-approved assignee, and,
when describing the conduct required of parties engaged in activities
on the lease, it also refers to the operator and all persons authorized
by the holder of the lease or operator to conduct activities on the
lease.
Limited lease means a lease issued under 30 CFR part 585 that
specifies the terms and conditions under which a person may conduct
activities on the OCS that support the production of energy, but do not
result in the production of electricity or other energy product for
sale, distribution, or other
[[Page 6417]]
commercial use exceeding a limit specified in the lease.
Natural resources include, without limiting the generality thereof,
renewable energy, oil, gas, and all other minerals (as defined in
section 2(q) of the OCS Lands Act), and marine animal and marine plant
life.
Operator means the individual, corporation, or association having
control or management of activities on the lease or grant issued under
30 CFR parts 585 or 586. The operator may be a lessee, grant holder, or
a contractor designated by the lessee or holder of a grant issued under
30 CFR parts 585 or 586.
Outer Continental Shelf (OCS) means all submerged lands lying
seaward and outside of the area of lands beneath navigable waters, as
defined in section 2 of the Submerged Lands Act (43 U.S.C. 1301), whose
subsoil and seabed appertain to the United States and are subject to
its jurisdiction and control.
Person means, in addition to a natural person, an association
(including partnerships and joint ventures); a Federal agency; a State;
a political subdivision of a State; a Native American Tribal
government; or a private, public, or municipal corporation.
Project, for the purposes of defining the source of revenues to be
shared, means a lease ROW, RUE, or Alternate Use RUE on which the
activities authorized under this part or 30 CFR parts 585 or 586 are
conducted on the OCS. The term ``project'' may be used elsewhere in
this rule to refer to these same authorized activities, the facilities
used to conduct these activities, or to the geographic area of the
project, i.e., the project area.
Project easement means an easement to which, upon approval of your
Construction and Operations Plan (COP) or General Activities Plan
(GAP), you are entitled as part of the lease for the purpose of
installing, gathering, transmission, and distribution cables,
pipelines, and appurtenances on the OCS as necessary for the full
enjoyment of the lease.
Renewable energy means energy resources other than oil and gas and
minerals as defined in 30 CFR part 580. Such resources include, but are
not limited to, wind, solar, and ocean waves, tides, and current.
Revenues mean bonuses, rents, operating fees, and similar payments
made in connection with a project or project area. It does not include
administrative fees such as those assessed for cost recovery, civil
penalties, and forfeiture of financial assurance.
Right-of-use and easement (RUE) grant means an easement issued by
BOEM under 30 CFR parts 585 or 586 that authorizes use of a designated
portion of the OCS to support activities on a lease or other use
authorization for renewable energy activities. The term also means the
area covered by the authorization.
Right-of-way (ROW) grant means an authorization issued by BOEM
under 30 CFR part 585 to use a portion of the OCS for the construction
and use of a cable or pipeline for the purpose of gathering,
transmitting, distributing, or otherwise transporting electricity or
other energy product generated or produced from renewable energy, but
does not constitute a project easement under 30 CFR part 585. The term
also means the area covered by the authorization.
Secretary means the Secretary of the Interior or an official
authorized to act on the Secretary's behalf.
Significant archaeological resource means an archaeological
resource that meets the criteria of significance for eligibility for
listing in the National Register of Historic Places, as defined in 36
CFR 60.4, or its successor.
Site assessment activities mean those initial activities conducted
to characterize a site on the OCS, such as resource assessment surveys
(e.g., meteorological and oceanographic) or technology testing,
involving the installation of bottom-founded facilities.
We, us, and our refer to the Bureau of Safety and Environmental
Enforcement of the Department of the Interior, or its possessive,
depending on the context.
You and your means an applicant, lessee, the operator, or
designated operator, ROW grant holder, RUE grant holder, or Alternate
Use RUE grant holder under 30 CFR parts 585 or 586, or the designated
agent of any of these, or the possessive of each, depending on the
context. The terms you and your also include contractors and
subcontractors of the entities specified in the preceding sentence.
Sec. 285.113 How will data and information obtained by BSEE under
this part be disclosed to the public?
(a) BSEE will make data and information available in accordance
with the requirements and subject to the limitations of the Freedom of
Information Act (FOIA) (5 U.S.C. 552) and the regulations contained in
43 CFR part 2.
(b) BSEE will not release such data and information that we have
determined is exempt from disclosure under exemption 4 of FOIA. We will
review such data and information and objections of the submitter by the
following schedule to determine whether release at that time will
result in substantial competitive harm or disclosure of trade secrets.
------------------------------------------------------------------------
Then BSEE will review data
If you have a . . . and information for possible
release:
------------------------------------------------------------------------
(1) Commercial lease...................... At the earlier of:
(i) 3 years after the
initiation of commercial
generation; or
(ii) 3 years after the lease
terminates.
(2) Limited lease......................... At 3 years after the lease
terminates.
(3) ROW or RUE grant...................... At the earliest of:
(i) 10 years after the
approval of the grant;
(ii) Grant termination; or
(iii) 3 years after the
completion of construction
activities.
------------------------------------------------------------------------
(c) After considering any objections from the submitter, if we
determine that release of such data and information will result in:
(1) No substantial competitive harm or disclosure of trade secrets,
then the data and information will be released.
(2) Substantial competitive harm or disclosure of trade secrets,
then the data and information will not be released at that time but
will be subject to further review every 3 years thereafter.
Sec. 285.114 Paperwork Reduction Act statements--information
collection.
(a) The Office of Management and Budget (OMB) has approved the
information collection requirements in this part under 44 U.S.C. 3501,
et seq., and assigned OMB Control Number xxxx-xxxx (expiration MONTH
xx, xxxx). The table in paragraph (e) of this section lists the
subparts in the rule requiring the information and its title,
summarizes the reasons for collecting the information, and summarizes
how BSEE uses the information.
(b) Respondents are primarily renewable energy applicants, lessees,
ROW grant holders, RUE grant holders, Alternate Use RUE grant holders,
and operators. The requirement to respond to the information collection
in this part is mandated under subsection 8(p) of the OCS Lands Act.
Some responses are also required to obtain or retain a benefit, or may
be voluntary.
(c) The Paperwork Reduction Act of 1995 (44 U.S.C. 3501 et seq.)
requires us to inform the public that an agency may not conduct or
sponsor, and you are not required to respond to, a collection of
information unless it displays a currently valid OMB control number.
(d) Comments regarding any aspect of the collections of information
under this
[[Page 6418]]
part, including suggestions for reducing the burden, should be sent to
the Information Collection Clearance Officer, Bureau of Safety and
Environmental Enforcement, 45600 Woodland Road, Sterling, VA 20166.
(e) BSEE is collecting this information for the reasons given in
the following table:
------------------------------------------------------------------------
Reasons for collecting information
30 CFR 285 subpart and title and how used
------------------------------------------------------------------------
(1) Subpart A--General Provisions. To inform BSEE of actions taken to
comply with general operational
requirements on the OCS. To ensure
that operations on the OCS meet
statutory and regulatory
requirements, are safe and protect
the environment, and result in
diligent development on OCS leases.
(2) Subpart D--Lease and Grant To ensure compliance with
Administration. regulations pertaining to a lease
or grant, and suspension of leases
and grants.
(3)Subpart F--Information To enable BSEE to comply with
Requirements. Federal laws to ensure the safety
of the environment on the OCS.
(4) Subpart G--Facility Design, To enable BSEE to review the final
Fabrication, and Installation. design, fabrication, and
installation of facilities on a
lease or grant to ensure that these
facilities are designed,
fabricated, and installed according
to appropriate standards in
compliance with BSEE provisions,
and where applicable, the approved
plan.
(5) Subpart H--Environmental and To ensure that lease and grant
Safety Management, Inspections, operations are conducted in a
and Facility Assessments for manner that is safe and protects
Activities Conducted Under SAPs, the environment. To ensure
COPs, and GAPs. compliance with other Federal laws,
these regulations, the lease or
grant, and approved plans.
(6) Subpart I--Decommissioning.... To determine that decommissioning
activities comply with regulatory
requirements and approvals. To
ensure that site clearance and
platform or pipeline removal are
properly performed to protect
marine life and the environment and
do not conflict with other users of
the OCS.
(7) Subpart J--Rights of Use and To enable BSEE to review information
Easement for Energy- and Marine- regarding the design, installation,
Related Activities Using Existing and operation of RUEs on the OCS,
OCS Facilities. to ensure that RUE operations are
safe and protect the human, marine,
and coastal environment. To ensure
compliance with other Federal laws,
these regulations, the RUE grant,
and where applicable, the approved
plan.
------------------------------------------------------------------------
Sec. 285.115 Documents incorporated by reference.
Certain material is incorporated by reference into this part with
the approval of the Director of the Federal Register under 5 U.S.C.
552(a) and 1 CFR part 51. All approved incorporation by reference (IBR)
material is available for inspection at BSEE and at the National
Archives and Records Administration (NARA). Contact BSEE at: BSEE,
45600 Woodland Road, Sterling, Virginia 20166, phone: 703-787-1665. For
information on the availability of this material at NARA, visit
www.archives.gov/federal-register/cfr/ibr-locations.html or email
[email protected]. The material is available from the American
Petroleum Institute (API), 200 Massachusetts Avenue NW, Suite 1100,
Washington, DC 20001-5571; phone (202) 682-8000; website: www.api.org
or https://publications.api.org.
(a) API RP 2A-WSD, Recommended Practice for Planning, Designing and
Constructing Fixed Offshore Platforms--Working Stress Design; Twenty-
first Edition, December 2000; Errata and Supplement 1, December 2002;
Errata and Supplement 2, September 2005; Errata and Supplement 3,
October 2007. IBR approved for Sec. 285.825(a), (b).
(b) [Reserved]
Sec. 285.116 Requests for information on the state of the offshore
renewable energy industry.
(a) The Director may, from time to time, and at the Director's
discretion, solicit information from industry and other relevant
stakeholders (including State and local agencies), as necessary, to
evaluate the state of the offshore renewable energy industry, including
the identification of potential challenges or obstacles to its
continued development. Such requests for information may relate to the
identification of environmental, technical, regulatory, or economic
matters that promote or detract from continued development of renewable
energy technologies on the OCS. From the information received, the
Director may evaluate potential refinements to the OCS alternative
energy program that promote development of the industry in a safe and
environmentally responsible manner.
(b) BSEE will publish such requests for information by the Director
in the Federal Register.
Sec. 285.117 [Reserved]
Sec. 285.118 What are my appeal rights?
(a) Any party adversely affected by a BSEE official's final
decision or order issued under the regulations of this part may appeal
that decision or order to the Interior Board of Land Appeals. The
appeal must conform with the procedures found in 30 CFR part 290 and 43
CFR part 4, subpart E.
(b) A decision will remain in full force and effect during the
period in which an appeal may be filed and during an appeal, unless a
stay is granted pursuant to 43 CFR part 4.
Subparts B and C [Reserved]
Subpart D--Lease and Grant Administration
Noncompliance and Cessation Orders
Sec. 285.400 What happens if I fail to comply with this part?
(a) BSEE may take appropriate corrective action under this part if
you fail to comply with applicable provisions of Federal law, the
regulations in this part, other applicable regulations, any order of
the Director, the provisions of a lease or grant issued under 30 CFR
parts 585 or 586, or the requirements of an approved plan or other
approval under this part or 30 CFR parts 585 or 586.
(b) BSEE may issue to you a notice of noncompliance if we determine
that there has been a violation of the regulations in this part, any
order of the Director, or any provision of your lease, grant or other
approval issued under this part or 30 CFR parts 585 or 586. When
issuing a notice of noncompliance, BSEE will serve you at your last
known address.
(c) A notice of noncompliance will tell you how you failed to
comply with this part, any order of either Director, and/or the
provisions of your lease, grant or other approval, and will specify
what you must do to correct the noncompliance and the time limits
within which you must act.
(d) Failure of a lessee, operator, or grant holder under this part
to take the actions specified in a notice of
[[Page 6419]]
noncompliance within the time limit specified provides the basis for
BSEE to issue a cessation order as provided in Sec. 285.401, and/or a
cancellation of the lease or grant as provided in Sec. 285.437.
(e) If BSEE determines that any incident of noncompliance poses an
imminent threat of serious or irreparable damage to natural resources;
life (including human and wildlife); property; the marine, coastal, or
human environment; or sites, structures, or objects of historical or
archaeological significance, BSEE may include with its notice of
noncompliance an order directing you to take immediate remedial action
to alleviate threats and to abate the violation and, when appropriate,
a cessation order.
(f) BSEE may assess civil penalties, as authorized by section 24 of
the OCS Lands Act, if you fail to comply with any provision of this
part, or any term of a lease, grant, or order issued under the
authority of this part or 30 CFR parts 585 or 586, after notice of such
failure and expiration of any reasonable period allowed for corrective
action. Civil penalties will be determined and assessed in accordance
with the procedures set forth in 30 CFR part 550, subpart N.
(g) You may be subject to criminal penalties as authorized by
section 24 of the OCS Lands Act.
Sec. 285.401 When may BSEE issue a cessation order?
(a) BSEE may issue a cessation order during the term of your lease
or grant when you fail to comply with an applicable law; regulation;
order; or provision of a lease, grant, plan, or BSEE or BOEM approval.
Except as provided in Sec. 285.400(e), BSEE will allow you a period of
time to correct any noncompliance before issuing an order to cease
activities.
(b) A cessation order will set forth what measures you are required
to take, including reports you are required to prepare and submit to
BSEE, to receive approval to resume activities on your lease or grant.
Sec. 285.402 What is the effect of a cessation order?
(a) Upon receiving a cessation order, you must cease all activities
on your lease or grant, as specified in the order. BSEE may authorize
certain activities during the period of the cessation order.
(b) A cessation order will last for the period specified in the
order or as otherwise specified by BSEE. If BSEE determines that the
circumstances giving rise to the cessation order cannot be resolved
within a reasonable time period, the Secretary may initiate
cancellation of your lease or grant, as provided in Sec. 285.437.
(c) A cessation order does not extend the term of your lease or
grant for the period you are prohibited from conducting activities.
(d) You must continue to make all required payments on your lease
or grant during the period a cessation order is in effect.
Sec. 285.403-285.405 [Reserved]
Responsibility for Fulfilling Obligations
Sec. 285.406 Who is responsible for fulfilling lease and grant
obligations?
(a) When you are not the sole lessee or grantee, you and your co-
lessee(s) or co-grantee(s) are jointly and severally responsible for
fulfilling your obligations under the lease or grant and the provisions
of this part or 30 CFR parts 585 or 586, unless otherwise provided in
this part.
(b) If your designated operator fails to fulfill any of your
obligations under the lease or grant and this part or 30 CFR parts 585
or 586, BSEE may require you or any or all of your co-lessees or co-
grantees to fulfill those obligations or other operational obligations
under the OCS Lands Act, the lease, grant, or the regulations.
(c) Whenever the regulations in this part or 30 CFR parts 585 or
586 require the lessee or grantee to conduct an activity in a
prescribed manner, the lessee or grantee and operator (if one has been
designated) are jointly and severally responsible for complying with
the regulations.
Sec. 285.407-285.414 [Reserved]
Lease or Grant Suspension
Sec. 285.415 What is a lease or grant suspension?
(a) A suspension is an interruption of the term of your lease or
grant that may occur as ordered by BSEE, as provided in Sec. 285.417;
or as approved or ordered by BOEM, as provided in 30 CFR 585.416 and
585.417.
(b) A suspension extends the term of your lease or grant for the
length of time the suspension is in effect.
(c) Activities may not be conducted on your lease or grant during
the period of a suspension except as expressly authorized under the
terms of the suspension.
Sec. 285.416 [Reserved]
Sec. 285.417 When may BSEE order a suspension?
(a) BSEE may order a suspension under the following circumstances:
(1) When necessary to comply with judicial decrees prohibiting some
or all activities under your lease; or
(2) When continued activities pose an imminent threat of serious or
irreparable harm or damage to natural resources; life (including human
and wildlife); property; the marine, coastal, or human environment; or
sites, structures, or objects of historical or archaeological
significance.
(b) If BSEE orders a suspension under paragraph (a)(2) of this
section, and if you wish to resume activities, we may require you to
conduct a site-specific study that evaluates the cause of the harm, the
potential damage, and the available mitigation measures. Other
requirements and actions may occur:
(1) You may be required to pay for the study;
(2) You must furnish one paper copy and one electronic copy of the
study and results to us;
(3) We will make the results available to other interested parties
and to the public; and
(4) We will use the results of the study and any other information
that become available:
(i) To decide if the suspension order can be lifted; and
(ii) To determine any actions that you must take to mitigate or
avoid any damage to natural resources; life (including human and
wildlife); property; the marine, coastal, or human environment; or
sites, structures, or objects of historical or archaeological
significance.
Sec. 285.418 How will BSEE issue a suspension?
(a) BSEE will issue a suspension order orally or in writing.
(b) BSEE will send you a written suspension order as soon as
practicable after issuing an oral suspension order.
(c) The written order will explain the reasons for its issuance and
describe the effect of the suspension order on your lease or grant and
any associated activities. BSEE may authorize certain activities during
the period of the suspension, as set forth in the suspension order.
Sec. 285.419 What are my immediate responsibilities if I receive a
suspension order?
You must comply with the terms of a suspension order upon receipt
and take any action prescribed within the time set forth therein.
Sec. 285.420 What effect does a suspension order have on my payments?
If BSEE orders a suspension, as provided in Sec. 285.417, your
payments, as appropriate for the term that is
[[Page 6420]]
suspended, will be waived during the suspension period.
Sec. 285.421 How long will a suspension be in effect?
A suspension will be in effect for the period specified by BSEE. If
BSEE determines that the circumstances giving rise to a suspension
ordered under Sec. 285.417 cannot be resolved within 5 years, the
Secretary may initiate cancellation of the lease or grant, as provided
in Sec. 285.437.
Sec. 285.422-285.432 [Reserved]
Lease or Grant Termination
Sec. 285.433 What must I do after my lease or grant terminates?
(a) After your lease or grant terminates, you must:
(1) Make all payments due; and
(2) Perform any other outstanding obligations under the lease or
grant within 6 months.
(b) Within 2 years following termination of a lease or grant, you
must remove or dispose of all facilities, installations, and other
devices permanently or temporarily attached to the seabed on the OCS in
accordance with your Plan approved by BOEM under 30 CFR part 585,
subpart F, and your application approved by BSEE under subpart I of
this part.
(c) If you fail to comply with your approved decommissioning plan
or application:
(1) BOEM may call for the forfeiture of your financial assurance;
and
(2) You remain liable for removal or disposal costs and responsible
for accidents or damages that might result from such failure.
Sec. Sec. 285.434-285.436 [Reserved]
Lease or Grant Cancellation
Sec. 285.437 When can my lease or grant be canceled?
(a) The Secretary will cancel any lease or grant issued under 30
CFR parts 585 or 586 upon proof that it was obtained by fraud or
misrepresentation, and after notice and opportunity to be heard has
been afforded to the lessee or grant holder.
(b) The Secretary may cancel any lease or grant issued under 30 CFR
parts 585 or 586 when:
(1) The Secretary determines after notice and opportunity for a
hearing that, with respect to the lease or grant that would be
canceled, the lessee or grantee has failed to comply with any
applicable provision of the OCS Lands Act or these regulations; any
order of the Director; or any term, condition or stipulation contained
in the lease or grant, and that the failure to comply continued 30 days
(or other period BSEE specifies) after you receive notice from BSEE.
The Secretary will mail a notice by registered or certified letter to
the lessee or grantee at its record post office address;
(2) Required by national security or defense; or
(3) The Secretary determines after notice and opportunity for a
hearing that continued activity under the lease or grant:
(i) Would cause serious harm or damage to natural resources; life
(including human and wildlife); property; the marine, coastal, or human
environment; or sites, structures, or objects of historical or
archaeological significance;
(ii) That the threat of harm or damage would not disappear or
decrease to an acceptable extent within a reasonable period of time;
and
(iii) The advantages of cancellation outweigh the advantages of
continuing the lease or grant in force.
Subpart E [Reserved]
Subpart F--Information Requirements
Sec. Sec. 285.600-285.601 [Reserved]
Sec. 285.602 What records must I maintain?
Until BOEM releases your financial assurance under 30 CFR 585.534,
you must maintain and provide to BSEE, upon request, all data and
information related to compliance with required terms and conditions of
your SAP, COP, or GAP.
Sec. Sec. 285.603-285.613 [Reserved]
Activities Under an Approved SAP
Sec. 285.614 When may I begin conducting activities under my approved
SAP?
(a) You may begin conducting the activities approved in your SAP
following BOEM approval of your SAP.
(b) If you are installing a facility or a combination of facilities
deemed by BOEM to be complex or significant, as provided in 30 CFR
585.613(a)(1), you must comply with the requirements of subpart G of
this part and submit your safety management system required by Sec.
285.810 before construction may begin.
Sec. 285.615 What other reports or notices must I submit to BSEE
under my approved SAP?
(a) You must notify BSEE in writing within 30 days of completing
installation activities approved in your SAP.
(b) You must submit a certification of compliance annually (or
other frequency as determined by BOEM) with those terms and conditions
of your SAP that BOEM identifies under 30 CFR 585.613(e)(1). Together
with your certification, you must submit:
(1) Summary reports that show compliance with the terms and
conditions which require certification; and
(2) A statement identifying and describing any mitigation measures
and monitoring methods and their effectiveness. If you identified
measures that were not effective, you must include your recommendations
for new mitigation measures or monitoring methods.
Sec. Sec. 285.616-285.630 [Reserved]
Activities Under an Approved COP
Sec. 285.631 When must I initiate activities under an approved COP?
After your COP is approved, you must commence construction by the
date given in the construction schedule required by 30 CFR
585.626(b)(21), and included as a part of your approved COP, unless
BOEM approves a deviation from your schedule.
Sec. 285.632 What documents must I submit before I may construct and
install facilities under my approved COP?
(a) You must submit to BSEE the documents listed in the following
table:
------------------------------------------------------------------------
Requirements
Document: are found in:
------------------------------------------------------------------------
(1) Facility Design Report.............................. Sec. 285.701
(2) Fabrication and Installation Report................. Sec. 285.702
------------------------------------------------------------------------
(b) You must submit your safety management system, as required by
Sec. 285.810.
(c) These activities must fall within the scope of your approved
COP. If they do not fall within the scope of your approved COP, you
will be required to submit a revision to your COP, under 30 CFR
585.634, for BOEM approval before commencing the activity.
Sec. 285.633 How do I comply with my COP?
(a) You must submit a certification of compliance annually (or
other frequency as determined by BOEM) with certain terms and
conditions of your COP that BOEM identifies. Together with your
certification, you must submit:
(1) Summary reports that show compliance with the terms and
conditions which require certification; and
(2) A statement identifying and describing any mitigation measures
and monitoring methods, and their
[[Page 6421]]
effectiveness. If you identified measures that were not effective, then
you must make recommendations for new mitigation measures or monitoring
methods.
(b) As provided at Sec. 285.105(i), BSEE may require you to submit
any supporting data and information.
Sec. Sec. 285.634-285.635 [Reserved]
Sec. 285.636 What notices must I provide BSEE following approval of
my COP?
You must notify BSEE in writing of the following events, within the
time periods provided:
(a) No later than 30 days after commencing activities associated
with the placement of facilities on the lease area under a Fabrication
and Installation Report.
(b) No later than 30 days after completion of construction and
installation activities under a Fabrication and Installation Report.
(c) At least 7 days before commencing commercial operations.
Sec. 285.637 When may I commence commercial operations on my
commercial lease?
If you are conducting activities on your lease that:
(a) Do not require a FERC license (e.g., wind), then you may
commence commercial operations 30 days after the CVA or project
engineer has submitted to BSEE the final Fabrication and Installation
Report for the fabrication and installation review, as provided in
Sec. 285.708.
(b) Require a FERC license or exemption, then you may commence
commercial operations when permitted by the terms of your license or
exemption.
Sec. 285.638 What must I do upon completion of my commercial
operations as approved in my COP or FERC license?
(a) Upon completion of your approved activities under your COP, you
must initiate the decommissioning process as set forth in subpart I of
this part. You must submit your decommissioning application as provided
in Sec. Sec. 285.905 and 285.906.
(b) Upon completion of your approved activities under your FERC
license, the terms of your FERC license will govern your
decommissioning activities.
Sec. Sec. 285.639-285.649 [Reserved]
Activities Under an Approved GAP
Sec. 285.650 When may I begin conducting activities under my GAP?
After BOEM approves your GAP, you may begin conducting the approved
activities that do not involve a project easement or the construction
of facilities on the OCS that BOEM has deemed to be complex or
significant.
Sec. 285.651 When may I construct complex or significant OCS
facilities on my limited lease or any facilities on my project easement
proposed under my GAP?
If you are applying for a project easement, or installing a
facility or a combination of facilities on your limited lease deemed by
BOEM to be complex or significant, as provided in 30 CFR 585.648(a)(1),
you also must comply with the requirements of subpart G of this part
and submit your safety management system description required by Sec.
285.810 before construction may begin.
Sec. 285.652 [Reserved]
Sec. 285.653 What other reports or notices must I submit to BSEE
under my approved GAP?
(a) You must notify BSEE in writing within 30 days after completing
installation activities approved in your GAP
(b) You must annually (or other frequency as determined by BOEM)
submit a certification of compliance with those terms and conditions of
your GAP that BOEM identifies under 30 CFR 585.648(e)(1). Together with
your certification, you must submit:
(1) Summary reports that show compliance with the terms and
conditions which require certification; and
(2) A statement identifying and describing any mitigation measures
and monitoring methods and their effectiveness. If you identified
measures that were not effective, you must include your recommendations
for new mitigation measures or monitoring methods.
Sec. Sec. 285.654-285.659 [Reserved]
Subpart G--Facility Design, Fabrication, and Installation
Reports
Sec. 285.700 What reports must I submit to BSEE before installing
facilities described in my approved SAP, COP, or GAP?
(a) You must submit the following reports to BSEE before installing
facilities described in your approved COP (Sec. 285.632(a)) and, when
required by 30 CFR part 585, your SAP (Sec. 285.614(b)), or GAP (Sec.
285.651):
(1) A Facility Design Report; and
(2) A Fabrication and Installation Report.
(b) You may begin to fabricate and install the approved facilities
after BSEE notifies you that it has received your reports and has no
objections. If BSEE receives the reports, but does not respond with
objections within 60 days of receipt, or 60 days after BOEM approves
your SAP, COP, or GAP if you submitted your report with the plan, BSEE
is deemed not to have objections to the reports, and you may commence
fabrication and installation of your facility or facilities.
(c) If BSEE has any objections, we will notify you verbally or in
writing within 60 days of receipt of the report. Following initial
notification of objections, BSEE may follow-up with written
correspondence outlining its specific objections to the report and
request that certain actions be undertaken. You cannot commence
activities addressed in such report until you resolve all objections to
BSEE's satisfaction.
Sec. 285.701 What must I include in my Facility Design Report?
(a) Your Facility Design Report provides specific details of the
design of any facilities, including cables and pipelines that are
outlined in your BOEM-approved SAP, COP, or GAP. Your Facility Design
Report must demonstrate that your design conforms to your
responsibilities listed in Sec. 285.105(a). You must include the
following items in your Facility Design Report:
------------------------------------------------------------------------
Other
Required documents Required contents requirements
------------------------------------------------------------------------
(1) Cover letter.............. (i) Proposed facility You must submit
designations;. 1 paper copy
(ii) Lease, ROW grant and 1
or RUE grant number;. electronic
(iii) Area; name and copy.
block numbers; and.
(iv) The type of
facility.
[[Page 6422]]
(2) Location plat............. (i) Latitude and Your plat must
longitude be drawn to a
coordinates, scale of 1 inch
Universal Mercator equals 100 feet
grid-system and include the
coordinates, State coordinates of
plane coordinates in the lease, ROW
the Lambert or grant, or RUE
Transverse Mercator grant block
Projection System;. boundary lines.
(ii) Distances in feet You must submit
from the nearest 1 paper copy
block lines. These and 1
coordinates must be electronic
based on the NAD copy.
(North American
Datum) 83 datum plane
coordinate system;
and.
(iii) The location of
any proposed project
easement..
(3) Front, Side, and Plan View (i) Facility Your drawing
drawings. dimensions and sizes must not
orientation; exceed 11'' x
(ii) Elevations 17''. You must
relative to Mean submit 1 paper
Lower Low Water; and. copy and 1
(iii) Pile sizes and electronic
penetration.. copy.
(4) Complete set of structural The approved for Your drawing
drawings. construction sizes must not
fabrication drawings exceed 11'' x
should be submitted 17''. You must
including, e.g.: submit 1 paper
(i) Cathodic copy and 1
protection systems;. electronic
(ii) Jacket design;... copy.
(iii) Pile
foundations;.
(iv) Mooring and
tethering systems;.
(v) Foundations and
anchoring systems;
and.
(vi) Associated cable
and pipeline designs.
(5) Summary of environmental A summary of the You must submit
data used for design. environmental data 1 paper copy
used in the design or and 1
analysis of the electronic
facility. Examples of copy. If you
relevant data include submitted these
information on: data as part of
(i) Extreme weather;.. your SAP, COP,
(ii) Seafloor or GAP, you may
conditions; and. reference the
(iii) Waves, wind, plan.
current, tides,
temperature, snow and
ice effects, marine
growth, and water
depth.
(6) Summary of the engineering (i) Loading You must submit
design data. information (e.g., 1 paper copy
live, dead, and 1
environmental); electronic
(ii) Structural copy.
information (e.g.,
design-life; material
types; cathodic
protection systems;
design criteria;
fatigue life; jacket
design; deck design;
production component
design; foundation
pilings and
templates, and
mooring or tethering
systems; fabrication
and installation
guidelines); and.
(iii) Location of
foundation boreholes
and foundation piles;
and.
(iv) Foundation
information (e.g.,
soil stability,
design criteria).
(7) A complete set of design Self-explanatory. You must submit
calculations. 1 paper copy
and 1
electronic
copy.
(8) Project-specific studies All studies pertinent You must submit
used in the facility design to facility design or 1 paper copy
or installation. installation, e.g., and 1
oceanographic and electronic
soil reports copy.
including the results
of the surveys
required in 30 CFR
585.610(b),
585.627(a), or
585.645(a).
(9) Description of the loads (i) Loads imposed by You must submit
imposed on the facility. jacket; 1 paper copy
(ii) Decks;........... and 1
(iii) Production electronic
components;. copy.
(iv) Foundations,
foundation pilings
and templates, and
anchoring systems;
and.
(v) Mooring or
tethering systems..
(10) Geotechnical Report...... A list of all data You must submit
from borings and 1 paper copy
recommended design and 1
parameters. electronic
copy.
------------------------------------------------------------------------
(b) For any floating facility, your design must meet the
requirements of the U.S. Coast Guard for structural integrity and
stability (e.g., verification of center of gravity). The design must
also consider:
(1) Foundations, foundation pilings and templates, and anchoring
systems; and
(2) Mooring or tethering systems.
(c) You must provide the location of records, as required in Sec.
285.714(c).
(d) If you are required to use a CVA, the Facility Design Report
must include one paper copy of the following certification statement:
``The design of this structure has been certified by a CVA to be in
accordance with accepted engineering practices and the approved SAP,
GAP, or COP as appropriate. The certified design and as-built plans and
specifications will be on file at (given location).''
(e) BSEE will withhold trade secrets and commercial or financial
information that is privileged or confidential from public disclosure
under exemption 4 of the FOIA and in accordance with the terms of Sec.
285.113.
Sec. 285.702 What must I include in my Fabrication and Installation
Report?
(a) Your Fabrication and Installation Report must describe how your
facilities will be fabricated and installed in accordance with the
design criteria identified in the Facility Design Report; your BOEM-
approved SAP, COP, or GAP; and generally accepted industry standards
and practices. Your Fabrication and Installation Report must
demonstrate how your facilities will be fabricated and installed in a
manner that conforms to your responsibilities listed in Sec.
285.105(a). You must include the following items in your Fabrication
and Installation Report:
[[Page 6423]]
------------------------------------------------------------------------
Other
Required documents Required contents requirements
------------------------------------------------------------------------
(1) Cover letter.............. (i) Proposed facility You must submit
designation, lease, 1 paper copy
ROW grant, or RUE and 1
grant number; electronic
(ii) Area, name, and copy.
block number; and.
(iii) The type of
facility..
(2) Schedule.................. Fabrication and You must submit
installation. 1 paper copy
and 1
electronic
copy.
(3) Fabrication information... The industry standards You must submit
you will use to 1 paper copy
ensure the facilities and 1
are fabricated to the electronic
design criteria copy.
identified in your
Facility Design
Report.
(4) Installation process Details associated You must submit
information. with the deployment 1 paper copy
activities, and 1
equipment, and electronic
materials, including copy.
onshore and offshore
equipment and
support, and
anchoring and mooring
patterns.
(5) Federal, State, and local Either 1 copy of the You must submit
permits (e.g., EPA, Army permit or information 1 paper copy
Corps of Engineers). on the status of the and 1
application. electronic
copy.
(6) Environmental information. (i) Water discharge; You must submit
(ii) Waste disposal;.. 1 paper copy
(iii) Vessel and 1
information; and. electronic
(iv) Onshore waste copy. If you
receiving treatment submitted these
or disposal data as part of
facilities.. your SAP, COP,
or GAP, you may
reference the
plan.
(7) Project easement.......... Design of any cables, You must submit
pipelines, or 1 paper copy
facilities. and 1
Information on burial electronic
methods and vessels. copy.
------------------------------------------------------------------------
(b) You must provide the location of records, as required in Sec.
285.714(c).
(c) If you are required to use a CVA, the Fabrication and
Installation Report must include one paper copy of the following
certification statement: ``The fabrication and installation of this
structure has been certified by an approved CVA to be in accordance
with accepted engineering practices and the approved SAP, GAP, or COP
as appropriate. The certified design and as-built plans and
specifications will be on file at (given location).''
(d) BSEE will withhold trade secrets and commercial or financial
information that is privileged or confidential from public disclosure
under exemption 4 of the FOIA and in accordance with the terms of Sec.
285.113.
Sec. 285.703 What reports must I submit for project modifications and
repairs?
(a) You must verify and, in a report to us, certify that major
repairs and major modifications to the project conform to accepted
engineering practices.
(1) A major repair is a corrective action involving structural
members affecting the structural integrity of a portion of or all the
facility.
(2) A major modification is an alteration involving structural
members affecting the structural integrity of a portion of or all the
facility.
(b) The report must also identify the location of all records
pertaining to the major repairs or major modifications, as required in
Sec. 285.714(c).
(c) BSEE may require you to use a CVA for project modifications and
repairs.
Sec. 285.704 [Reserved]
Certified Verification Agent
Sec. 285.705 When must I use a Certified Verification Agent (CVA)?
You must use a CVA to review and certify the Facility Design
Report, the Fabrication and Installation Report, and the Project
Modifications and Repairs Report.
(a) You must use a CVA to:
(1) Ensure that your facilities are designed, fabricated, and
installed in conformance with accepted engineering practices and the
Facility Design Report and Fabrication and Installation Report;
(2) Ensure that repairs and major modifications are completed in
conformance with accepted engineering practices; and
(3) Provide BSEE immediate reports of all incidents that affect the
design, fabrication, and installation of the project and its
components.
(b) BSEE may waive the requirement that you use a CVA if you can
demonstrate the following:
------------------------------------------------------------------------
Then BSEE may waive the
If you demonstrate that . . . requirement for a CVA for
the following:
------------------------------------------------------------------------
(1) The facility design conforms to a The design of your
standard design that has been used structure(s).
successfully in a similar environment, and
the installation design conforms to
accepted engineering practices.
(2) The manufacturer has successfully The fabrication of your
manufactured similar facilities, and the structure(s).
facility will be fabricated in conformance
with accepted engineering practices.
(3) The installation company has The installation of your
successfully installed similar facilities structure(s).
in a similar offshore environment, and
your structure(s) will be installed in
conformance with accepted engineering
practices.
(4) Repairs and major modifications will be The repair or major
completed in conformance with accepted modification of your
engineering practices. structure(s).
------------------------------------------------------------------------
(c) You must submit a request to waive the requirement to use a CVA
to BSEE in writing with your SAP under 30 CFR 585.610(a)(9), COP under
30 CFR 585.626(b)(20), or GAP under 30 CFR 585.645(c)(5).
(1) BSEE will review your request to waive the use of the CVA and
will notify you of its decision along with BOEM's decision on your SAP,
COP, or GAP.
(2) If BSEE does not waive the requirement for a CVA, you may file
an appeal per Sec. 285.118.
[[Page 6424]]
(3) If BSEE waives the requirement that you use a CVA, your project
engineer must perform the same duties and responsibilities as the CVA,
except as otherwise provided.
Sec. 285.706 How do I nominate a CVA for BSEE approval?
(a) You must nominate a CVA for BSEE approval as part of your COP
per 30 CFR 585.626(b)(20), and when required, as part of your SAP per
30 CFR 585.610(a)(9) or GAP per 30 CFR 585.645(c)(5). You must use a
CVA to review and certify the Facility Design Report, the Fabrication
and Installation Report, and the Project Modifications and Repairs
Report per this subpart. You must specify whether the CVA nomination is
for the Facility Design Report, Fabrication and Installation Report,
Project Modifications and Repairs Report, or for any combination of
these.
(b) For each CVA that you nominate, you must submit to BSEE a list
of documents used in your design that you will forward to the CVA and a
qualification statement that includes the following:
(1) Previous experience in third-party verification or experience
in the design, fabrication, installation, or major modification of
offshore energy facilities;
(2) Technical capabilities of the individual or the primary staff
for the specific project;
(3) Size and type of organization or corporation;
(4) In-house availability of, or access to, appropriate technology
(including computer programs, hardware, and testing materials and
equipment);
(5) Ability to perform the CVA functions for the specific project
considering current commitments;
(6) Previous experience with BOEM and BSEE requirements and
procedures, if any; and
(7) The level of work to be performed by the CVA.
(c) Individuals or organizations acting as CVAs must not function
in any capacity that will create a conflict of interest, or the
appearance of a conflict of interest.
(d) The verification must be conducted by or under the direct
supervision of registered professional engineers.
(e) BSEE will approve or disapprove your CVA as part of BOEM's
review of your COP or, when required, of your SAP or GAP.
(f) You must nominate a new CVA for BSEE approval if the previously
approved CVA:
(1) Is no longer able to serve in a CVA capacity for the project;
or
(2) No longer meets the requirements for a CVA set forth in this
subpart.
Sec. 285.707 What are the CVA's primary duties for facility design
review?
If you are required to use a CVA:
(a) The CVA must use good engineering judgment and practices in
conducting an independent assessment of the design of the facility. The
CVA must certify in the Facility Design Report to BSEE that the
facility is designed to withstand the environmental and functional load
conditions appropriate for the intended service life at the proposed
location.
(b) The CVA must conduct an independent assessment of all proposed:
(1) Planning criteria;
(2) Operational requirements;
(3) Environmental loading data;
(4) Load determinations;
(5) Stress analyses;
(6) Material designations;
(7) Soil and foundation conditions;
(8) Safety factors; and
(9) Other pertinent parameters of the proposed design.
(c) For any floating facility, the CVA must ensure that any
requirements of the U.S. Coast Guard for structural integrity and
stability (e.g., verification of center of gravity), have been met. The
CVA must also consider:
(1) Foundations, foundation pilings and templates, and anchoring
systems; and
(2) Mooring or tethering systems.
Sec. 285.708 What are the CVA's or project engineer's primary duties
for fabrication and installation review?
(a) The CVA or project engineer must do all of the following:
(1) Use good engineering judgment and practice in conducting an
independent assessment of the fabrication and installation activities;
(2) Monitor the fabrication and installation of the facility as
required by paragraph (b) of this section;
(3) Make periodic onsite inspections while fabrication is in
progress and verify the items required by Sec. 285.709;
(4) Make periodic onsite inspections while installation is in
progress and satisfy the requirements of Sec. 285.710; and
(5) Certify in a report that project components are fabricated and
installed in accordance with accepted engineering practices; your BOEM-
approved COP, SAP, or GAP (as applicable); and the Fabrication and
Installation Report.
(i) The report must also identify the location of all records
pertaining to fabrication and installation, as required in Sec.
285.714(c); and
(ii) You may commence commercial operations or other approved
activities 30 days after BSEE receives that certification report,
unless BSEE notifies you within that time period of its objections to
the certification report.
(b) To comply with paragraph (a)(5) of this section, the CVA or
project engineer must monitor the fabrication and installation of the
facility to ensure that it has been built and installed according to
the Facility Design Report and Fabrication and Installation Report.
(1) If the CVA or project engineer finds that fabrication and
installation procedures have been changed or design specifications have
been modified, the CVA or project engineer must inform you; and
(2) If you accept the modifications, then you must also inform
BSEE.
Sec. 285.709 When conducting onsite fabrication inspections, what
must the CVA or project engineer verify?
(a) To comply with Sec. 285.708(a)(3), the CVA or project engineer
must make periodic onsite inspections while fabrication is in progress
and must verify the following fabrication items, as appropriate:
(1) Quality control by lessee (or grant holder) and builder;
(2) Fabrication site facilities;
(3) Material quality and identification methods;
(4) Fabrication procedures specified in the Fabrication and
Installation Report, and adherence to such procedures;
(5) Welder and welding procedure qualification and identification;
(6) Structural tolerances specified, and adherence to those
tolerances;
(7) Nondestructive examination requirements and evaluation results
of the specified examinations;
(8) Destructive testing requirements and results;
(9) Repair procedures;
(10) Installation of corrosion-protection systems and splash-zone
protection;
(11) Erection procedures to ensure that overstressing of structural
members does not occur;
(12) Alignment procedures;
(13) Dimensional check of the overall structure, including any
turrets, turret-and-hull interfaces, any mooring line and chain and
riser tensioning line segments; and
(14) Status of quality-control records at various stages of
fabrication.
(b) For any floating facilities, the CVA or project engineer must
ensure that any requirements of the U.S. Coast Guard for structural
integrity and stability (e.g., verification of center of gravity) have
[[Page 6425]]
been met. The CVA or project engineer must also consider:
(1) Foundations, foundation pilings and templates, and anchoring
systems; and
(2) Mooring or tethering systems.
Sec. 285.710 When conducting onsite installation inspections, what
must the CVA or project engineer do?
To comply with Sec. 285.708(a)(4), the CVA or project engineer
must make periodic onsite inspections while installation is in progress
and must, as appropriate, verify, witness, survey, or check, the
installation items required by this section.
(a) The CVA or project engineer must verify, as appropriate, all of
the following:
(1) Loadout and initial flotation procedures;
(2) Towing operation procedures to the specified location, and
review the towing records;
(3) Launching and uprighting activities;
(4) Submergence activities;
(5) Pile or anchor installations;
(6) Installation of mooring and tethering systems;
(7) Final deck and component installations; and
(8) Installation at the approved location according to the Facility
Design Report and the Fabrication and Installation Report.
(b) For a fixed or floating facility, the CVA or project engineer
must verify that proper procedures were used during the following:
(1) The loadout of the jacket, decks, piles, or structures from
each fabrication site; and
(2) The actual installation of the facility or major modification
and the related installation activities.
(c) For a floating facility, the CVA or project engineer must
verify that proper procedures were used during the following:
(1) The loadout of the facility;
(2) The installation of foundation pilings and templates, and
anchoring systems; and
(3) The installation of the mooring and tethering systems.
(d) The CVA or project engineer must conduct an onsite survey of
the facility after transportation to the approved location.
(e) The CVA or project engineer must spot-check the equipment,
procedures, and recordkeeping as necessary to determine compliance with
the applicable documents incorporated by reference in Sec. 285.115 and
the regulations under this part.
Sec. 285.711 [Reserved]
Sec. 285.712 What are the CVA's or project engineer's reporting
requirements?
(a) The CVA or project engineer must prepare and submit to you and
BSEE all reports required by this subpart. The CVA or project engineer
must also submit interim reports to you and BSEE, as requested by BSEE.
(b) For each report required by this subpart, the CVA or project
engineer must submit one electronic copy and one paper copy of each
final report to BSEE. In each report, the CVA or project engineer must:
(1) Give details of how, by whom, and when the CVA or project
engineer activities were conducted;
(2) Describe the CVA's or project engineer's activities during the
verification process;
(3) Summarize the CVA's or project engineer's findings; and
(4) Provide any additional comments that the CVA or project
engineer deems necessary.
Sec. 285.713 What must I do after the CVA or project engineer
confirms conformance with the Fabrication and Installation Report on my
commercial lease?
After the CVA or project engineer files the certification report,
you must notify BSEE within 10 business days after commencing
commercial operations.
Sec. 285.714 What records relating to SAPs, COPs, and GAPs must I
keep?
(a) Until BOEM releases your financial assurance under 30 CFR
585.534, you must compile, retain, and make available to BSEE, within
the time specified by BSEE, all of the following:
(1) The as-built drawings;
(2) The design assumptions and analyses;
(3) A summary of the fabrication and installation examination
records;
(4) The inspection results from the inspections and assessments
required by Sec. Sec. 285.820 through 285.825; and
(5) Records of repairs not covered in the inspection report
submitted under Sec. 285.824(b)(3).
(b) You must record and retain the original material test results
of all primary structural materials during all stages of construction
until BOEM releases your financial assurance under 30 CFR 585.534.
Primary material is material that, should it fail, would lead to a
significant reduction in facility safety, structural reliability, or
operating capabilities. Items such as steel brackets, deck stiffeners
and secondary braces or beams would not generally be considered primary
structural members (or materials).
(c) You must provide BSEE with the location of these records in the
certification statement, as required in Sec. Sec. 285.701(c),
285.703(b), and 285.708(a)(5)(i).
Subpart H--Environmental and Safety Management, Inspections, and
Facility Assessments for Activities Conducted Under SAPs, COPs and
GAPs
Sec. 285.800 How must I conduct my activities to comply with safety
and environmental requirements?
(a) You must conduct all activities on your lease or grant under
this part in a manner that conforms with your responsibilities in Sec.
285.105(a), and using:
(1) Trained personnel; and
(2) Technologies, precautions, and techniques that will not cause
undue harm or damage to natural resources, including their physical,
atmospheric, and biological components.
(b) You must certify compliance with those terms and conditions
identified in your approved SAP, COP, or GAP, as required under Sec.
285.615(b), Sec. 285.633(a), or Sec. 285.653(b).
Sec. 285.801 How must I conduct my approved activities to protect
marine mammals, threatened and endangered species, and designated
critical habitat?
You must comply with all measures required under 30 CFR 585.701.
Sec. 285.802 What must I do if I discover a potential archaeological
resource while conducting my approved activities?
You must comply with all measures required under 30 CFR 585.702.
Sec. 285.803 How must I conduct my approved activities to protect
essential fish habitats identified and described under the Magnuson-
Stevens Fishery Conservation and Management Act?
You must comply with all measures required under 30 CFR 585.703.
Sec. Sec. 285.804-285.809 [Reserved]
Safety Management Systems
Sec. 285.810 What must I include in my Safety Management System?
You must submit a description of the safety management system you
will use with your COP (provided under 30 CFR 585.627(d)) and, when
required by this part, your SAP (as provided in Sec. 285.614(b)) or
GAP (as provided in Sec. 285.651). You must describe:
(a) How you will ensure the safety of personnel or anyone on or
near your facilities;
(b) Remote monitoring, control, and shut down capabilities;
(c) Emergency response procedures;
(d) Fire suppression equipment, if needed;
(e) How and when you will test your safety management system; and
[[Page 6426]]
(f) How you will ensure personnel who operate your facilities are
properly trained.
Sec. 285.811 When must I follow my Safety Management System?
Your safety management system must be fully functional when you
begin activities described in your approved COP, SAP, or GAP. You must
conduct all activities described in your approved COP, SAP, or GAP in
accordance with the safety management system you described, as required
by Sec. 285.810.
Sec. 285.812 [Reserved]
Maintenance and Shutdowns
Sec. 285.813 When do I have to report removing equipment from
service?
(a) The removal of any equipment from service may result in BSEE
applying remedies, as provided in this part, when such equipment is
necessary for implementing your approved plan. Such remedies may
include an order from BSEE requiring you to replace or remove such
equipment or facilities.
(b)(1) You must report within 24 hours when equipment necessary for
implementing your approved plan is removed from service for more than
12 hours. If you provide an oral notification, you must submit a
written confirmation of this notice within 3-business days, as required
by Sec. 285.105(c);
(2) You do not have to report removing equipment necessary for
implementing your plan if the removal is part of planned maintenance or
repair activities; and
(3) You must notify BSEE when you return the equipment to service.
Sec. 285.814 [Reserved]
Equipment Failure and Adverse Environmental Effects
Sec. 285.815 What must I do if I have facility damage or an equipment
failure?
(a) If you have facility damage or the failure of a pipeline,
cable, or other equipment necessary for you to implement your approved
plan, you must make repairs as soon as practicable. If you have a major
repair, you must submit a report of the repairs to BSEE, as required in
Sec. 285.703.
(b) If you are required to report any facility damage or failure
under Sec. 285.831, BOEM may require you to revise your SAP, COP, or
GAP to describe how you will address the facility damage or failure as
required by 30 CFR 585.634 (COP), 585.617 (SAP), or 585.655 (GAP). You
must submit a report of the repairs to BSEE, as required in Sec.
285.703.
(c) BSEE may require that you analyze cable, pipeline, or facility
damage or failure to determine the cause. If requested by BSEE, you
must submit a comprehensive written report of the failure or damage to
BSEE as soon as available.
Sec. 285.816 What must I do if environmental or other conditions
adversely affect a cable, pipeline, or facility?
If environmental or other conditions adversely affect a cable,
pipeline, or facility so as to endanger the safety or the environment,
you must:
(a) Submit a plan of corrective action to BSEE within 30 days of
the discovery of the adverse effect.
(b) Take remedial action as described in your corrective action
plan.
(c) Submit to the BSEE a report of the remedial action taken within
30 days after completion.
Sec. Sec. 285.817-285.819 [Reserved]
Inspections and Assessments
Sec. 285.820 Will BSEE conduct inspections?
BSEE will inspect OCS facilities and any vessels engaged in
activities authorized under this part. We conduct these inspections:
(a) To verify that you are conducting activities in compliance with
subsection 8(p) of the OCS Lands Act; the regulations in this part; the
terms, conditions, and stipulations of your lease or grant; approved
plans; and other applicable laws and regulations.
(b) To determine whether proper safety equipment has been installed
and is operating properly according to your safety management system,
as required in Sec. 285.810.
Sec. 285.821 Will BSEE conduct scheduled and unscheduled inspections?
BSEE will conduct both scheduled and unscheduled inspections.
Sec. 285.822 What must I do when BSEE conducts an inspection?
(a) When BSEE conducts an inspection, you must:
(1) Provide access to all facilities on your lease (including your
project easement) or grant; and
(2) Make the following available for BSEE to inspect:
(i) The area covered under a lease, ROW grant, or RUE grant;
(ii) All improvements, structures, and fixtures on these areas; and
(iii) All records of design, construction, operation, maintenance,
repairs, or investigations on or related to the area.
(b) You must retain these records in paragraph (a)(2)(iii) of this
section until BOEM releases your financial assurance under 30 CFR
585.534 and provide them to BSEE upon request, within the time period
specified by BSEE.
(c) You must demonstrate to the inspector how you are in compliance
with your safety management system.
Sec. 285.823 Will BSEE reimburse me for my expenses related to
inspections?
Upon request, BSEE will reimburse you for food, quarters, and
transportation that you provide for our representatives while they
inspect your lease or grant facilities and associated activities. You
must send us your reimbursement request within 90 days of the
inspection.
Sec. 285.824 How must I conduct self-inspections?
(a) You must develop a comprehensive annual self-inspection plan
covering all of your facilities. You must keep this plan wherever you
keep your records and make it available to BSEE inspectors upon
request. Your plan must specify:
(1) The type, extent, and frequency of in-place inspections that
you will conduct for both the above-water and the below-water
structures of all facilities and pertinent components of the mooring
systems for any floating facilities; and
(2) How you are monitoring the corrosion protection for both the
above-water and below-water structures.
(b) You must submit a report annually to us no later than November
1 that must include:
(1) A list of facilities inspected in the preceding 12 months;
(2) The type of inspection employed, (i.e., visual, magnetic
particle, ultrasonic testing); and
(3) A summary of the inspection indicating what repairs, if any,
were needed and the overall structural condition of the facility.
Sec. 285.825 When must I assess my facilities?
(a) You must perform an assessment of the structure, when needed,
based on the platform assessment initiators listed in sections 17.2.1-
17.2.5 of API RP 2A-WSD (incorporated by reference, see Sec. 285.115).
(b) You must initiate mitigation actions for structures that do not
pass the assessment process of API RP 2A-WSD.
(c) You may comply with a later edition of API RP 2A-WSD only if:
(1) You show that complying with the later edition provides a
degree of protection, safety, or performance equal to or better than
what would be achieved by compliance with the listed edition; and
[[Page 6427]]
(2) You obtain the prior written approval for alternative
compliance from the authorized BSEE official.
(d) You must perform other assessments as required by BSEE.
Sec. Sec. 285.826-285.829 [Reserved]
Incident Reporting and Investigation
Sec. 285.830 What are my incident reporting requirements?
(a) You must report all incidents listed in Sec. 285.831 to BSEE,
according to the reporting requirements for these incidents in
Sec. Sec. 285.832 through 285.833.
(b) These reporting requirements apply to incidents that occur on
the area covered by your lease or grant and that are related to
activities resulting from the exercise of your rights under your lease
or grant.
(c) Nothing in this subpart relieves you from providing notices and
reports of incidents that may be required by other regulatory agencies.
(d) You must report all spills of oil or other liquid pollutants in
accordance with Sec. 254.46 of this chapter.
Sec. 285.831 What incidents must I report, and when must I report
them?
(a) You must report the following incidents to us immediately via
oral communication, and provide a written follow-up report (paper copy
or electronically transmitted) within 15-business days after the
incident:
(1) Fatalities;
(2) Incidents that require the evacuation of person(s) from the
facility to shore or to another offshore facility;
(3) Fires and explosions;
(4) Collisions that result in property or equipment damage greater
than $25,000. (Collision means the act of a moving vessel (including an
aircraft) striking another vessel, or striking a stationary vessel or
object. Property or equipment damage means the cost of labor and
material to restore all affected items to their condition before the
damage, including, but not limited to, the OCS facility, a vessel, a
helicopter, or the equipment. It does not include the cost of salvage,
cleaning, dry docking, or demurrage);
(5) Incidents involving structural damage to an OCS facility that
is severe enough so that activities on the facility cannot continue
until repairs are made;
(6) Incidents involving crane or personnel/material handling
activities, if they result in a fatality, injury, structural damage, or
significant environmental damage;
(7) Incidents that damage or disable safety systems or equipment
(including firefighting systems);
(8) Other incidents resulting in property or equipment damage
greater than $25,000; and
(9) Any other incidents involving significant environmental damage,
or harm.
(b) You must provide a written report of the following incidents to
us within 15 days after the incident:
(1) Any injuries that result in the injured person not being able
to return to work or to all of their normal duties the day after the
injury occurred; and
(2) All incidents that require personnel on the facility to muster
for evacuation for reasons not related to weather or drills.
Sec. 285.832 How do I report incidents requiring immediate
notification?
For an incident requiring immediate notification under Sec.
285.831(a), you must notify BSEE verbally after aiding the injured and
stabilizing the situation. Your verbal communication must provide the
following information:
(a) Date and time of occurrence;
(b) Identification and contact information for the lessee, grant
holder, or operator;
(c) Contractor, and contractor representative's name and telephone
number (if a contractor is involved in the incident or injury/
fatality);
(d) Lease number, OCS area, and block;
(e) Platform/facility name and number, or cable or pipeline segment
number;
(f) Type of incident or injury/fatality;
(g) Activity at time of incident; and
(h) Description of the incident, damage, or injury/fatality.
Sec. 285.833 What are the reporting requirements for incidents
requiring written notification?
(a) For any incident covered under Sec. 285.831, you must submit a
written report within 15 days after the incident to BSEE. The report
must contain the following information:
(1) Date and time of occurrence;
(2) Identification and contact information for each lessee, grant
holder, or operator;
(3) Name and telephone number of the contractor and the
contractor's representative, if a contractor is involved in the
incident or injury;
(4) Lease number, OCS area, and block;
(5) Platform/facility name and number, or cable or pipeline segment
number;
(6) Type of incident or injury;
(7) Activity at time of incident;
(8) Description of incident, damage, or injury (including days away
from work, restricted work, or job transfer), and any corrective action
taken; and
(9) Property or equipment damage estimate (in U.S. dollars).
(b) You may submit a report or form prepared for another agency in
lieu of the written report required by paragraph (a) of this section if
the report or form contains all required information.
(c) BSEE may require you to submit additional information about an
incident on a case-by-case basis.
Subpart I--Decommissioning
Decommissioning Obligations and Requirements
Sec. 285.900 Who must meet the decommissioning obligations in this
subpart?
(a) Lessees are jointly and severally responsible for meeting
decommissioning obligations for facilities on their leases, including
all obstructions, as the obligations accrue and until each obligation
is met.
(b) Grant holders are jointly and severally liable for meeting
decommissioning obligations for facilities on their grant, including
all obstructions, as the obligations accrue and until each obligation
is met.
Sec. 285.901 When do I accrue decommissioning obligations?
You accrue decommissioning obligations when you are or become a
lessee or grant holder, and you either install, construct, or acquire
by a BOEM-approved assignment a facility, cable, or pipeline, or you
create an obstruction to other uses of the OCS.
Sec. 285.902 What are the general requirements for decommissioning
for facilities authorized under my SAP, COP, or GAP?
(a) Except as otherwise authorized under Sec. 285.909, within 2
years following termination of a lease or grant, you must:
(1) Remove or decommission all facilities, projects, cables,
pipelines, and obstructions;
(2) Clear the seafloor of all obstructions created by activities on
your lease, including your project easement, or grant.
(b) Before decommissioning the facilities under your SAP, COP, or
GAP, you must submit a decommissioning application to, and receive
approval from, BSEE.
(c) The approval of the decommissioning concept in the SAP, COP, or
GAP is not an approval of a decommissioning application. However, you
may submit your complete decommissioning application to BSEE
[[Page 6428]]
simultaneously with the SAP, COP, or GAP, so that it may undergo
appropriate technical and regulatory reviews at that time.
(d) Following approval of your decommissioning application, you
must submit a decommissioning notice under Sec. 285.908 to BSEE at
least 60 days before commencing decommissioning activities.
(e) If you, your subcontractors, or any agent acting on your behalf
discovers any archaeological resource while conducting decommissioning
activities, you must immediately halt bottom-disturbing activities
within 1,000 feet of the discovery and report the discovery to us
within 72 hours. BOEM will inform you how to conduct investigations to
determine if the resource is significant and how to protect it in
accordance with 30 CFR 585.702. You, your subcontractors, or any agent
acting on your behalf must keep the location of the discovery
confidential and must not take any action that may adversely affect the
archaeological resource until we have made an evaluation and told you
how to proceed.
(f) Provide BOEM with documentation of any coordination efforts you
have made with the affected States, local, and Tribal governments.
Sec. 285.903 What are the requirements for decommissioning FERC-
licensed hydrokinetic facilities?
You must comply with the decommissioning requirements in your BOEM-
issued lease. If you fail to comply with the decommissioning
requirements of your lease then:
(a) BOEM may call for the forfeiture of your bond or other
financial assurance;
(b) You remain liable for removal or disposal costs and responsible
for accidents or damages that might result from such failure; and
(c) BSEE may take enforcement action under Sec. 285.400.
Sec. 285.904 Can I request a departure from the decommissioning
requirements?
You may request a departure from the decommissioning requirements
under Sec. 285.103.
Decommissioning Applications
Sec. 285.905 When must I submit my decommissioning application?
You must submit your decommissioning application upon the earliest
of the following dates:
(a) Two (2) years before the expiration of your lease.
(b) Ninety (90) days after completion of your commercial activities
on a commercial lease.
(c) Ninety (90) days after completion of your approved activities
under a limited lease on a ROW grant or RUE grant.
(d) Ninety (90) days after cancellation, relinquishment, or other
termination of your lease or grant.
Sec. 285.906 What must my decommissioning application include?
You must provide one paper copy and one electronic copy of the
application. Include the following information in the application, as
applicable.
(a) Identification of the applicant including:
(1) Lease operator, ROW grant holder, or RUE grant holder;
(2) Address;
(3) Contact person and telephone number; and
(4) Shore base.
(b) Identification and description of the facilities, cables, or
pipelines you plan to remove or propose to leave in place, as provided
in Sec. 285.909.
(c) A proposed decommissioning schedule for your lease, ROW grant,
or RUE grant, including the expiration or relinquishment date and
proposed month and year of removal.
(d) A description of the removal methods and procedures, including
the types of equipment, vessels, and moorings (i.e., anchors, chains,
lines, etc.) you will use.
(e) A description of your site clearance activities.
(f) Your plans for transportation and disposal (including as an
artificial reef) or salvage of the removed facilities, cables, or
pipelines and any required approvals.
(g) A description of those resources, conditions, and activities
that could be affected by or could affect your proposed decommissioning
activities. The description must be as detailed as necessary to assist
BSEE in complying with the NEPA and other relevant Federal laws.
(h) The results of any recent biological surveys conducted in the
vicinity of the structure and recent observations of turtles or marine
mammals at the structure site.
(i) Mitigation measures you will use to protect archaeological and
sensitive biological features during removal activities.
(j) A description of measures you will take to prevent unauthorized
discharge of pollutants, including marine trash and debris, into the
offshore waters.
(k) A statement of whether or not you will use divers to survey the
area after removal to determine any effects on marine life.
Sec. 285.907 How will BSEE process my decommissioning application?
(a) Based upon your inclusion of all the information required by
Sec. 285.906, BSEE will compare your decommissioning application with
the decommissioning general concept in your approved SAP, COP, or GAP
to determine what technical and environmental reviews are needed.
(b) You will likely have to revise your SAP, COP, or GAP, and BOEM
will begin the appropriate NEPA analysis and other regulatory reviews
as required, if BSEE determines that your decommissioning application
would:
(1) Result in a significant change in the impacts previously
identified and evaluated in your SAP, COP, or GAP;
(2) Require any additional Federal permits; or
(3) Propose activities not previously identified and evaluated in
your SAP, COP, or GAP.
(c) During the review process, we may request additional
information if we determine that the information provided is not
sufficient to complete the review and approval process.
(d) Upon completion of the technical and environmental reviews, we
may approve, approve with conditions, or disapprove your
decommissioning application.
(e) If BSEE disapproves your decommissioning application, you must
resubmit your application to address the concerns identified by BSEE.
Sec. 285.908 What must I include in my decommissioning notice?
(a) The decommissioning notice is distinct from your
decommissioning application and may only be submitted following
approval of your decommissioning application, as described in
Sec. Sec. 285.905 through 285.907. You must submit a decommissioning
notice at least 60 days before you plan to begin decommissioning
activities.
(b) Your decommissioning notice must include:
(1) A description of any changes to the approved removal methods
and procedures in your approved decommissioning application, including
changes to the types of vessels and equipment you will use; and
(2) An updated decommissioning schedule.
(c) BSEE will review your decommissioning notice and may require
you to resubmit a decommissioning application if BSEE determines that
your decommissioning activities would:
(1) Result in a significant change in the impacts previously
identified and evaluated;
[[Page 6429]]
(2) Require any additional Federal permits; or
(3) Propose activities not previously identified and evaluated.
Facility Removal
Sec. 285.909 When may facilities remain in place following
termination of a lease or grant?
(a) In your decommissioning application, you may request that
certain facilities authorized in your lease or grant remain in place
for other activities authorized in this part, elsewhere in this
subchapter, or by other applicable Federal law.
(b) Except as provided in paragraph (c) of this section, if BOEM
authorizes facilities to remain in place, the former lessee or grantee
under this part remains jointly and severally liable for
decommissioning the facility unless satisfactory evidence is provided
to BOEM showing that another party has assumed that responsibility and
has secured adequate financial assurances.
(c) In your decommissioning application, identify facilities
authorized by BOEM to be converted to an artificial reef or otherwise
toppled in place.
Sec. 285.910 What must I do when I remove my facility?
(a) You must remove all facilities to a depth of 15 feet below the
mudline, unless otherwise authorized by BSEE.
(b) Within 60 days after you remove a facility, you must verify to
BSEE that you have cleared the site.
Sec. 285.911 [Reserved]
Decommissioning Report
Sec. 285.912 After I remove a facility, cable, or pipeline, what
information must I submit?
Within 60 days after you remove a facility, cable, or pipeline, you
must submit a written report to BSEE that includes the following:
(a) A summary of the removal activities, including the date they
were completed;
(b) A description of any mitigation measures you took; and
(c) If you used explosives, a statement signed by your authorized
representative that certifies that the types and amount of explosives
you used in removing the facility were consistent with those in the
approved decommissioning application.
Compliance With an Approved Decommissioning Application
Sec. 285.913 What happens if I fail to comply with my approved
decommissioning application?
If you fail to comply with your approved decommissioning plan or
application:
(a) BOEM may call for the forfeiture of your bond or other
financial assurance;
(b) You remain liable for removal or disposal costs and responsible
for accidents or damages that might result from such failure; and
(c) BSEE may take enforcement action under Sec. 285.400.
Subpart J--Rights of Use and Easement for Energy- and Marine-
Related Activities Using Existing OCS Facilities
Regulated Activities
Sec. 285.1000 What activities does this subpart regulate?
This subpart provides the general provisions for regulating
activities that use (or propose to use) an existing OCS facility for
energy- or marine-related purposes, that are not otherwise authorized
under any other part of this subchapter or any other applicable Federal
statute. Activities authorized under any other part of this subchapter
or under any other Federal law that use (or propose to use) an existing
OCS facility are not subject to this subpart.
Sec. Sec. 285.1001-285.1013 [Reserved]
Alternate Use RUE Administration
Sec. 285.1014 When will BSEE suspend an Alternate Use RUE?
(a) BSEE may suspend an Alternate Use RUE if:
(1) Necessary to comply with judicial decrees;
(2) Continued activities pursuant to the Alternate Use RUE pose an
imminent threat of serious or irreparable harm or damage to natural
resources; life (including human and wildlife); property; the marine,
coastal, or human environment; or sites, structures, or objects of
historical or archaeological significance; or
(3) Operation of the existing OCS facility that is subject to the
Alternate Use RUE has been suspended or temporarily prohibited and we
have determined that continued activities under the Alternate Use RUE
are unsafe or cause undue interference with the operation of the
original OCS Lands Act approved activity.
(b) A suspension will extend the term of your Alternate Use RUE
grant for the period of the suspension.
Sec. 285.1015 [Reserved]
Sec. 285.1016 When will an Alternate Use RUE be cancelled?
The Secretary may cancel an Alternate Use RUE if it is determined,
after notice and opportunity to be heard:
(a) You no longer qualify to hold an Alternate Use RUE;
(b) You failed to provide any additional financial assurance
required by BOEM, replace or provide additional coverage for a de-
valued bond, or replace a lapsed or forfeited bond within the
prescribed time period;
(c) Continued activity under the Alternate Use RUE is likely to
cause serious harm or damage to natural resources; life (including
human and wildlife); property; the marine, coastal, or human
environment; or sites, structures, or objects of historical or
archaeological significance;
(d) Continued activity under the Alternate Use RUE is determined to
be adversely impacting the original OCS Lands Act approved activities
on the existing OCS facility;
(e) You failed to comply with any of the terms and conditions of
your approved Alternate Use RUE or your approved plan; or
(f) You otherwise failed to comply with applicable laws or
regulations.
Sec. 285.1017 [Reserved]
Decommissioning an Alternate Use RUE
Sec. 285.1018 Who is responsible for decommissioning an OCS facility
subject to an Alternate Use RUE?
(a) The holder of an Alternate Use RUE is responsible for all
decommissioning obligations that accrue following the issuance of the
Alternate Use RUE and which pertain to the Alternate Use RUE.
(b) The lessee under the lease originally issued under 30 CFR
chapter V will remain responsible for decommissioning obligations that
accrued before issuance of the Alternate Use RUE, as well as for
decommissioning obligations that accrue following issuance of the
Alternate Use RUE to the extent associated with continued activities
authorized under other parts of this title.
Sec. 285.1019 What are the decommissioning requirements for an
Alternate Use RUE?
(a) Decommissioning requirements will be determined by BOEM and
BSEE on a case-by-case basis, and will be included in the terms of the
Alternate Use RUE.
(b) Decommissioning activities must be completed within 1 year of
termination of the Alternate Use RUE.
[[Page 6430]]
(c) If you fail to satisfy all decommissioning requirements within
the prescribed time period, BOEM will call for the forfeiture of your
bond or other financial guarantee, and you will remain liable for all
accidents or damages that might result from such failure.
Chapter V--Bureau of Ocean Energy Management
0
2. Revise part 585 to read as follows:
PART 585--RENEWABLE ENERGY ON THE OUTER CONTINENTAL SHELF
Subpart A--General Provisions
Sec.
585.100 Authority.
585.101 What is the purpose of this part?
585.102 What are BOEM's responsibilities under this part?
585.103 When may BOEM prescribe or approve departures from the
regulations in this part?
585.104 Do I need a BOEM lease or other authorization to produce or
support the production of electricity or other energy product from a
renewable energy resource on the OCS?
585.105 What are my responsibilities under this part?
585.106 What happens if I fail to comply with this part?
585.107 Who can hold a lease or grant under this part?
585.108 How do I show that I am qualified to be a lessee or grant
holder?
585.109 When must I notify BOEM if an action has been filed alleging
that I am insolvent or bankrupt?
585.110 When must I notify BOEM of mergers, name changes, or changes
of business form?
585.111 How do I submit plans, applications, reports, or notices
required by this part?
585.112 When and how does BOEM charge me processing fees on a case-
by-case basis?
585.113 Definitions.
585.114 How will data and information obtained by BOEM under this
part be disclosed to the public?
585.115 Paperwork Reduction Act Statements--Information Collection.
585.116 Requests for Information on the State of the Offshore
Renewable Energy Industry.
585.117 [Reserved]
585.118 What are my appeal rights?
Subpart B--Issuance of OCS Renewable Energy Leases
General Lease Information
585.200 What rights are granted with a lease issued under this part?
585.201 How will BOEM issue leases?
585.202 What types of leases will BOEM issue?
585.203 With whom will BOEM consult before issuance of a lease?
585.204 What areas are available for leasing consideration?
585.205 How will leases be mapped?
585.206 What is the lease size?
585.207-585.209 [Reserved]
Competitive Lease Process
585.210 How does BOEM initiate the competitive leasing process?
585.211 What is the process for competitive issuance of leases?
585.212 What is the process BOEM will follow if there is reason to
believe that competitors have withdrawn before the Final Sale Notice
is issued?
585.213 What must I submit in response to a Request for Interest or
a Call for Information and Nominations?
585.214 What will BOEM do with information from the Requests for
Information or Calls for Information and Nominations?
585.215 What areas will BOEM offer in a lease sale?
585.216 What information will BOEM publish in the Proposed Sale
Notice and Final Sale Notice?
585.217-585.219 [Reserved]
Competitive Lease Award Process
585.220 What auction format may BOEM use in a lease sale?
585.221 What bidding systems may BOEM use for commercial leases and
limited leases?
585.222 What does BOEM do with my bid?
585.223 What does BOEM do if there is a tie for the highest bid?
585.224 What happens if BOEM accepts my bid?
585.225 What happens if my bid is rejected, and what are my appeal
rights?
585.226-585.229 [Reserved]
Noncompetitive Lease Award Process
585.230 May I request a lease if there is no Call?
585.231 How will BOEM process my unsolicited request for a
noncompetitive lease?
585.232 May I acquire a lease noncompetitively after responding to a
Request for Interest or Call for Information and Nominations?
585.233-585.234 [Reserved]
Commercial and Limited Lease Terms
585.235 If I have a commercial lease, how long will my lease remain
in effect?
585.236 If I have a limited lease, how long will my lease remain in
effect?
585.237 What is the effective date of a lease?
585.238 May I develop my commercial lease in phases?
585.239 Are there any other renewable energy research activities
that will be allowed on the OCS?
Subpart C--Right-of-Way (ROW) and Right-of-Use and Easement (RUE)
Grants for Renewable Energy Activities
ROW Grants and RUE Grants
585.300 What types of activities are authorized by ROW grants and
RUE grants issued under this part?
585.301 What do ROW grants and RUE grants include?
585.302 What are the general requirements for ROW grant and RUE
grant holders?
585.303 How long will my ROW grant or RUE grant remain in effect?
585.304 [Reserved]
Obtaining ROW Grants and RUE Grants
585.305 How do I request a ROW grant or RUE grant?
585.306 What action will BOEM take on my request?
585.307 How will BOEM determine whether competitive interest exists
for ROW grants and RUE grants?
585.308 How will BOEM conduct an auction for ROW grants and RUE
grants?
585.309 When will BOEM issue a noncompetitive ROW grant or RUE
grant?
585.310 What is the effective date of a ROW grant or RUE grant?
585.311-585.314 [Reserved]
Financial Requirements for ROW Grants and RUE Grants
585.315 What deposits are required for a competitive ROW grant or
RUE grant?
585.316 What payments are required for ROW grants or RUE grants?
Subpart D--Lease and Grant Administration
585.400-585.404 [Reserved]
Designation of Operator
585.405 How do I designate an operator?
585.406 Who is responsible for fulfilling lease and grant
obligations?
585.407 [Reserved]
Lease or Grant Assignment
585.408 May I assign my lease or grant interest?
585.409 How do I request approval of a lease or grant assignment?
585.410 How does an assignment affect the assignor's liability?
585.411 How does an assignment affect the assignee's liability?
585.412-585.414 [Reserved]
Lease or Grant Suspension
585.415 What is a lease or grant suspension?
585.416 How do I request a lease or grant suspension?
585.417 When may BOEM order a suspension?
585.418 How will BOEM issue a suspension?
585.419 What are my immediate responsibilities if I receive a
suspension order?
585.420 What effect does a suspension order have on my payments?
585.421 How long will a lease or grant suspension be in effect?
Lease or Grant Cancellation
585.422 When can my lease or grant be canceled?
585.423-585.424 [Reserved]
Lease or Grant Renewal
585.425 May I obtain a renewal of my lease or grant before it
terminates?
585.426 When must I submit my request for renewal?
585.427 How long is a renewal?
585.428 What effect does applying for a renewal have on my
activities and payments?
[[Page 6431]]
585.429 What criteria will BOEM consider in deciding whether to
renew a lease or grant?
585.430-585.431 [Reserved]
Lease or Grant Termination
585.432 When does my lease or grant terminate?
585.433 What must I do after my lease or grant terminates?
585.434 When may BOEM authorize facilities to remain in place
following termination of a lease or grant?
Lease or Grant Relinquishment
585.435 How can I relinquish a lease or a grant or parts of a lease
or grant?
Lease or Grant Contraction
585.436 Can BOEM require lease or grant contraction?
Subpart E--Payments and Financial Assurance Requirements
Payments
585.500 How do I make payments under this part?
585.501 What deposits must I submit for a competitively issued
lease, ROW grant, or RUE grant?
585.502 What initial payment requirements must I meet to obtain a
noncompetitive lease, ROW grant, or RUE grant?
585.503 What are the rent and operating fee requirements for a
commercial lease?
585.504 How are my payments affected if I develop my lease in
phases?
585.505 What are the rent and operating fee requirements for a
limited lease?
585.506 What operating fees must I pay on a commercial lease?
585.507 What rent payments must I pay on a project easement?
585.508 What rent payments must I pay on ROW grants or RUE grants
associated with renewable energy projects?
585.509 Who is responsible for submitting lease or grant payments to
ONRR?
585.510 May BOEM reduce or waive my lease or grant payments?
585.511-585.514 [Reserved]
Financial Assurance Requirements for Commercial Leases
585.515 What financial assurance must I provide when I obtain my
commercial lease?
585.516 What are the financial assurance requirements for each stage
of my commercial lease?
585.517 How will BOEM determine the amounts of the supplemental and
decommissioning financial assurance requirements associated with
commercial leases?
585.518-585.519 [Reserved]
Financial Assurance for Limited Leases, ROW Grants, and RUE Grants
585.520 What financial assurance must I provide when I obtain my
limited lease, ROW grant, or RUE grant?
585.521 Do my financial assurance requirements change as activities
progress on my limited lease or grant?
585.522-585.524 [Reserved]
Requirements for Financial Assurance Instruments
585.525 What general requirements must a financial assurance
instrument meet?
585.526 What instruments other than a surety bond may I use to meet
the financial assurance requirement?
585.527 May I demonstrate financial strength and reliability to meet
the financial assurance requirement for lease or grant activities?
585.528 May I use a third-party guaranty to meet the financial
assurance requirement for lease or grant activities?
585.529 Can I use a lease- or grant-specific decommissioning account
to meet the financial assurance requirements related to
decommissioning?
Changes in Financial Assurance
585.530 What must I do if my financial assurance lapses?
585.531 What happens if the value of my financial assurance is
reduced?
585.532 What happens if my surety wants to terminate the period of
liability of my bond?
585.533 How does my surety obtain cancellation of my bond?
585.534 When may BOEM cancel my bond?
585.535 Why might BOEM call for forfeiture of my bond?
585.536 How will I be notified of a call for forfeiture?
585.537 How will BOEM proceed once my bond or other security is
forfeited?
585.538-585.539 [Reserved]
Revenue Sharing With States
585.540 How will BOEM equitably distribute revenues to States?
585.541 What is a qualified project for revenue sharing purposes?
585.542 What makes a State eligible for payment of revenues?
585.543 Example of how the inverse distance formula works.
Subpart F--Plan Requirements
585.600 What plans must I submit to BOEM before I conduct activities
on my lease or grant?
585.601 When am I required to submit my plans to BOEM?
585.602-585.604 [Reserved]
Site Assessment Plan and Information Requirements for Commercial Leases
585.605 What is a Site Assessment Plan (SAP)?
585.606 What must I demonstrate in my SAP?
585.607 How do I submit my SAP?
585.608-585.609 [Reserved]
Contents of the Site Assessment Plan
585.610 What must I include in my SAP?
585.611 What information and certifications must I submit with my
SAP to assist BOEM in complying with NEPA and other relevant laws?
585.612 How will my SAP be processed for Federal consistency under
the Coastal Zone Management Act?
585.613 How will BOEM process my SAP?
Activities Under an Approved SAP
585.614 When may I begin conducting activities under my approved
SAP?
585.615 What other reports or notices must I submit to BOEM under my
approved SAP?
585.616 [Reserved]
585.617 What activities require a revision to my SAP, and when will
BOEM approve the revision?
585.618 What must I do upon completion of approved site assessment
activities?
585.619 [Reserved]
Construction and Operations Plan for Commercial Leases
585.620 What is a Construction and Operations Plan (COP)?
585.621 What must I demonstrate in my COP?
585.622 How do I submit my COP?
585.623-585.625 [Reserved]
Contents of the Construction and Operations Plan
585.626 What must I include in my COP?
585.627 What information and certifications must I submit with my
COP to assist BOEM in complying with NEPA and other relevant laws?
585.628 How will BOEM process my COP?
585.629-585.630 [Reserved]
Activities Under an Approved COP
585.631 When must I initiate activities under an approved COP?
585.632 What documents must I submit before I may construct and
install facilities under my approved COP?
585.633 [Reserved]
585.634 What activities require a revision to my COP, and when will
BOEM approve the revision?
585.635 What must I do if I cease activities approved in my COP
before the end of my commercial lease?
585.636-585.639 [Reserved]
General Activities Plan Requirements for Limited Leases, ROW Grants,
and RUE Grants
585.640 What is a General Activities Plan (GAP)?
585.641 What must I demonstrate in my GAP?
585.642 How do I submit my GAP?
585.643-585.644 [Reserved]
Contents of the General Activities Plan
585.645 What must I include in my GAP?
585.646 What information and certifications must I submit with my
GAP to assist BOEM in complying with NEPA and other relevant laws?
585.647 How will my GAP be processed for Federal consistency under
the Coastal Zone Management Act?
585.648 How will BOEM process my GAP?
585.649 [Reserved]
Activities Under an Approved GAP
585.650 When may I begin conducting activities under my GAP?
585.651 When may I construct complex or significant OCS facilities
on my limited lease or any facilities on my project easement
proposed under my GAP?
585.652 How long do I have to conduct activities under an approved
GAP?
[[Page 6432]]
585.653 What other reports or notices must I submit to BOEM under my
approved GAP?
585.654 [Reserved]
585.655 What activities require a revision to my GAP, and when will
BOEM approve the revision?
585.656 What must I do if I cease activities approved in my GAP
before the end of my term?
585.657 What must I do upon completion of approved activities under
my GAP?
Cable and Pipeline Deviations
585.658 Can my cable or pipeline construction deviate from my
approved COP or GAP?
585.659 [Reserved]
Environmental Protection Requirements Under Approved Plans
585.700 What requirements must I include in my SAP, COP, or GAP
regarding air quality?
585.701 How must I conduct my approved activities to protect marine
mammals, threatened and endangered species, and designated critical
habitat?
585.702 What must I do if I discover a potential archaeological
resource while conducting my approved activities?
585.703 How must I conduct my approved activities to protect
essential fish habitats identified and described under the Magnuson-
Stevens Fishery Conservation and Management Act?
Authority: 43 U.S.C. 1337.
Subpart A--General Provisions
Sec. 585.100 Authority.
The authority for this part derives from section 8 of the Outer
Continental Shelf Lands Act (OCS Lands Act) (43 U.S.C. 1337). The
Secretary of the Interior delegated to the Bureau of Ocean Energy
Management (BOEM) the authority to manage the development of energy on
the Outer Continental Shelf (OCS) from sources other than oil and gas,
including renewable energy, through the issuance of leases, easements,
and rights-of-way for activities that produce or support the
production, transportation, or transmission of energy.
Sec. 585.101 What is the purpose of this part?
The purpose of this part is to:
(a) Establish procedures for issuance and administration of leases,
right-of-way (ROW) grants, and right-of-use and easement (RUE) grants
for renewable energy production on the OCS; and
(b) Inform you and third parties of your obligations when you
undertake activities authorized in this part.
(c) Ensure that renewable energy activities on the OCS are
conducted in a safe and environmentally sound manner, in conformance
with the requirements of subsection 8(p) of the OCS Lands Act, other
applicable laws and regulations, and the terms of your lease, ROW
grant, or RUE grant.
(d) This part will not convey access rights for oil, gas, or other
minerals.
Sec. 585.102 What are BOEM's responsibilities under this part?
(a) BOEM will ensure that any activities authorized in this part
are carried out in a manner that provides for:
(1) Safety;
(2) Protection of the environment;
(3) Prevention of waste;
(4) Conservation of the natural resources of the OCS;
(5) Coordination with relevant Federal agencies (including, in
particular, those agencies involved in planning activities that are
undertaken to avoid conflicts among users and to maximize the economic
and ecological benefits of the OCS, including multifaceted spatial
planning efforts);
(6) Protection of National security interests of the United States;
(7) Protection of the rights of other authorized users of the OCS;
(8) A fair return to the United States;
(9) Prevention of interference with reasonable uses (as determined
by the Secretary or Director) of the exclusive economic zone, the high
seas, and the territorial seas;
(10) Consideration of the location of and any schedule relating to
a lease or grant under this part for an area of the OCS, and any other
use of the sea or seabed;
(11) Public notice and comment on any proposal submitted for a
lease or grant under this part; and
(12) Oversight, research, monitoring, and enforcement of activities
authorized by a lease or grant under this part.
(b) BOEM will require compliance with all applicable laws,
regulations, other requirements, and the terms of your lease or grant
and approved plans under this part. BOEM will approve, disapprove, or
approve with conditions any plans, applications, or other documents
submitted to BOEM for approval under the provisions of this part.
(c) Unless otherwise provided in this part, BOEM may give oral
directives or decisions whenever prior BOEM approval is required under
this part. BOEM will document in writing any such oral directives
within 10 business days.
(d) BOEM will establish practices and procedures to govern the
collection of all payments due to the Federal Government required under
the regulations of this part, including any cost recovery fees, rents,
operating fees, and other fees or payments. BOEM will do this in
accordance with the terms of this part, the leasing notice, the lease
or grant under this part, and applicable Office of Natural Resources
Revenue (ONRR) regulations or guidance.
(e) BOEM will provide for coordination and consultation with the
Governor of any State, the executive of any local government, and the
executive of any Indian Tribe that may be affected by a lease,
easement, or ROW under this subsection. BOEM may invite any affected
State Governor, representative of an affected Indian Tribe, and
affected local government executive to join in establishing a task
force or other joint planning or coordination agreement in carrying out
our responsibilities under this part.
Sec. 585.103 When may BOEM prescribe or approve departures from the
regulations in this part?
(a) BOEM may prescribe or approve departures from these regulations
when departures are necessary to:
(1) Facilitate the appropriate activities on a lease or grant under
this part;
(2) Conserve natural resources;
(3) Protect life (including human and wildlife), property, or the
marine, coastal, or human environment; or
(4) Protect sites, structures, or objects of historical or
archaeological significance.
(b) Any departure approved under this section and its rationale
must:
(1) Be consistent with subsection 8(p) of the OCS Lands Act;
(2) Protect the environment and the public health and safety to the
same degree as if there was no approved departure from the regulations;
(3) Not impair the rights of third parties; and
(4) Be documented in writing.
Sec. 585.104 Do I need a BOEM lease or other authorization to produce
or support the production of electricity or other energy product from a
renewable energy resource on the OCS?
Except as otherwise authorized by law, it will be unlawful for any
person to construct, operate, or maintain any facility to produce,
transport, or support generation of electricity or other energy product
derived from a renewable energy resource on any part of the OCS, except
under and in accordance with the terms of a lease, easement, or ROW
issued pursuant to the OCS Lands Act.
Sec. 585.105 What are my responsibilities under this part?
As a lessee, applicant, operator, or holder of a ROW or RUE grant,
you must:
(a) Design your projects and conduct all activities in a manner
that ensures
[[Page 6433]]
safety and will not cause undue harm or damage to natural resources,
including their physical, atmospheric, and biological components to the
extent practicable; and take measures to prevent unauthorized discharge
of pollutants including marine trash and debris into the offshore
environment.
(b) Submit requests, applications, plans, notices, modifications,
and supplemental information to BOEM as required by this part;
(c) Follow up, in writing, any oral request or notification you
made, within 3 business days;
(d) Comply with the terms, conditions, and provisions of all
reports and notices submitted to BOEM, and of all plans, revisions, and
other BOEM approvals, as provided in this part;
(e) Make all applicable payments on time;
(f) Comply with the DOI's nonprocurement debarment regulations at 2
CFR part 1400;
(g) Include the requirement to comply with 2 CFR part 1400 in all
contracts and transactions related to a lease or grant under this part;
(h) Conduct all activities authorized by the lease or grant in a
manner consistent with the provisions of subsection 8(p) of the OCS
Lands Act;
(i) Compile, retain, and make available to BOEM representatives,
within the time specified by BOEM, any data and information related to
the site assessment, design, and operations of your project; and
(j) Respond to requests from the Director in a timely manner.
Sec. 585.106 What happens if I fail to comply with this part?
(a) BOEM may take appropriate corrective action under this part if
you fail to comply with applicable provisions of Federal law, the
regulations in this part, other applicable regulations, any order of
the Director, the provisions of a lease or grant issued under this
part, or the requirements of an approved plan or other approval under
this part.
(b) BOEM may issue to you a notice of noncompliance if we determine
that there has been a violation of the regulations in this part, any
order of the Director, or any provision of your lease, grant, or other
approval issued under this part. When issuing a notice of
noncompliance, BOEM will serve you at your last known address.
(c) A notice of noncompliance will tell you how you failed to
comply with this part, any order of the Director and/or the provisions
of your lease, grant or other approval, and will specify what you must
do to correct the noncompliance and the time limits within which you
must act.
(d) Failure of a lessee, operator, or grant holder to take the
actions specified in a notice of noncompliance issued under this part
within the time limit specified provides the basis for issuance of a
cessation order by BSEE, as provided in 30 CFR 285.401 and/or
cancellation of the lease or grant by the Secretary as provided in
Sec. 585.422.
(e) BOEM may assess civil penalties, as authorized by section 24 of
the OCS Lands Act, if you fail to comply with any provision of this
part or any term of a lease, grant, or order issued under the authority
of this part, after notice of such failure and expiration of any
reasonable period allowed for corrective action. Civil penalties will
be determined and assessed in accordance with the procedures set forth
in 30 CFR part 550, subpart N.
(f) You may be subject to criminal penalties as authorized by
section 24 of the OCS Lands Act.
Sec. 585.107 Who can hold a lease or grant under this part?
(a) You may hold a lease or grant under this part if you can
demonstrate that you have the technical and financial capabilities to
conduct the activities authorized by the lease or grant and you are
a(n):
(1) Citizen or national of the United States;
(2) Alien lawfully admitted for permanent residence in the United
States as defined in 8 U.S.C. 1101(a)(20);
(3) Private, public, or municipal corporations organized under the
laws of any State of the United States, the District of Columbia, or
any territory or insular possession subject to U.S. jurisdiction;
(4) Association of such citizens, nationals, resident aliens, or
corporations;
(5) Executive agency of the United States as defined in section 105
of Title 5 of the U.S. Code;
(6) State of the United States; or
(7) Political subdivision of a State of the United States.
(b) You may not hold a lease or grant under this part or acquire an
interest in a lease or grant under this part if:
(1) You or your principals are excluded or disqualified from
participating in transactions covered by the Federal nonprocurement
debarment and suspension system (2 CFR part 1400), unless BOEM
explicitly has approved an exception for this transaction;
(2) BOEM determines or has previously determined after notice and
opportunity for a hearing that you or your principals have failed to
meet or exercise due diligence under any OCS lease or grant; or
(3) BOEM determines or has previously determined after notice and
opportunity for a hearing that you:
(i) Remained in violation of the terms and conditions of any lease
or grant issued under the OCS Lands Act for a period extending longer
than 30 days (or such other period allowed for compliance) after BOEM
or BSEE directed you to comply; and
(ii) You took no action to correct the noncompliance within that
time period.
Sec. 585.108 How do I show that I am qualified to be a lessee or
grant holder?
(a) You must demonstrate your technical and financial capability to
construct, operate, maintain, and terminate/decommission projects for
which you are requesting authorization. Documentation can include:
(1) Descriptions of international or domestic experience with
renewable energy projects or other types of electric-energy-related
projects; and
(2) Information establishing access to sufficient capital to carry
out development.
(b) An individual must submit a written statement of citizenship
status attesting to U.S. citizenship. It does not need to be notarized
nor give the age of individual. A resident alien may submit a photocopy
of the U.S. Citizenship and Immigration Services form evidencing legal
status of the resident alien.
(c) A corporation or association must submit evidence, as specified
in the table in paragraph (d) of this section, acceptable to BOEM that:
(1) It is qualified to hold leases or grants under this part;
(2) It is authorized to conduct business under the laws of its
State;
(3) It is authorized to hold leases or grants on the OCS under the
operating rules of its business; and
(4) The persons holding the titles listed are authorized to bind
the corporation or association when conducting business with BOEM.
(d) Acceptable evidence under paragraph (c) of this section
includes, but is not limited to the following:
[[Page 6434]]
----------------------------------------------------------------------------------------------------------------
Requirements to qualify to hold leases or
grants on the OCS: Corp. Ltd. prtnsp. Gen. prtnsp. LLC Trust
----------------------------------------------------------------------------------------------------------------
(1) Original certificate or certified copy XX ............ ............ ............ ............
from the State of incorporation stating
the name of the corporation exactly as it
must appear on all legal documents.
(2) Certified statement by Secretary/ XX ............ ............ ............ ............
Assistant Secretary over corporate seal,
certifying that the corporation is
authorized to hold OCS leases.
(3) Evidence of authority of titled XX ............ ............ ............ ............
positions to bind corporation, certified
by Secretary/Assistant Secretary over
corporate seal, including the following:
(i) Certified copy of resolution of
the board of directors with titles of
officers authorized to bind
corporation.
(ii) Certified copy of resolutions
granting corporate officer authority
to issue a power of attorney.
(iii) Certified copy of power of
attorney or certified copy of
resolution granting power of
attorney.
(4) Original certificate or certified copy ............ XX XX XX ............
of partnership or organization paperwork
registering with the appropriate State
official.
(5) Copy of articles of partnership or ............ XX XX XX ............
organization evidencing filing with
appropriate Secretary of State, certified
by Secretary/Assistant Secretary of
partnership or member or manager of LLC.
(6) Original certificate or certified copy ............ XX XX XX ............
evidencing State where partnership or LLC
is registered. Statement of authority to
hold OCS leases, certified by Secretary/
Assistant Secretary, OR original
paperwork registering with the
appropriate State official.
(7) Statements from each partner or LLC ............ XX XX XX ............
member indicating the following:
(i) If a corporation or partnership,
statement of State of organization
and authorization to hold OCS leases,
certified by Secretary/Assistant
Secretary over corporate seal, if a
corporation.
(ii) If an individual, a statement of
citizenship.
(8) Statement from general partner, ............ XX ............ ............ ............
certified by Secretary/Assistant
Secretary that:
(i) Each individual limited partner is
a U.S. citizen and;
(ii) Each corporate limited partner or
other entity is incorporated or
formed and organized under the laws
of a U.S. State or territory.
(9) Evidence of authority to bind ............ XX XX XX ............
partnership or LLC, if not specified in
partnership agreement, articles of
organization, or LLC regulations, i.e.,
certificates of authority from Secretary/
Assistant Secretary reflecting authority
of officers.
(10) Listing of members of LLC certified ............ ............ ............ XX ............
by Secretary/Assistant Secretary or any
member or manager of LLC.
(11) Copy of trust agreement or document ............ ............ ............ ............ XX
establishing the trust and all
amendments, properly certified by the
trustee with reference to where the
original documents are filed.
(12) Statement indicating the law under ............ ............ ............ ............ XX
which the trust is established and that
the trust is authorized to hold OCS
leases or grants.
----------------------------------------------------------------------------------------------------------------
(e) A local, State, or Federal executive entity must submit a
written statement that:
(1) It is qualified to hold leases or grants under this part; and
(2) The person(s) acting on behalf of the entity is authorized to
bind the entity when conducting business with us.
(f) BOEM may require you to submit additional information at any
time considering your bid or request for a noncompetitive lease.
Sec. 585.109 When must I notify BOEM if an action has been filed
alleging that I am insolvent or bankrupt?
You must notify BOEM within 3 business days after you learn of any
action filed alleging that you are insolvent or bankrupt.
Sec. 585.110 When must I notify BOEM of mergers, name changes, or
changes of business form?
You must notify BOEM in writing of any merger, name change, or
change of business form. You must notify BOEM as soon as practicable
following the merger, name change, or change in business form, but no
later than 120 days after the earliest of either the effective date, or
the date of filing the change or action with the Secretary of the State
or other authorized official in the State of original registry.
Sec. 585.111 How do I submit plans, applications, reports, or notices
required by this part?
(a) You must submit all plans, applications, reports, or notices
required by this part to BOEM at the following address: Office of
Renewable Energy Programs, 45600 Woodland Road, Sterling, VA 20166.
(b) Unless otherwise stated, you must submit one paper copy and one
electronic copy of all plans, applications, reports, or notices
required by this part.
Sec. 585.112 When and how does BOEM charge me processing fees on a
case-by-case basis?
(a) BOEM will charge a processing fee on a case-by-case basis under
the procedures in this section with regard to any application or
request under this part if we decide at any time that the preparation
of a particular document or study is necessary for the application or
request and it will have a unique processing cost, such as the
preparation
[[Page 6435]]
of an environmental assessment (EA) or environmental impact statement
(EIS).
(1) Processing costs will include contract oversight and efforts to
review and approve documents prepared by contractors, whether the
contractor is paid directly by the applicant or through BOEM.
(2) We may apply a standard overhead rate to direct processing
costs.
(b) We will assess the ongoing processing fee for each individual
application or request according to the following procedures:
(1) Before we process your application or request, we will give you
a written estimate of the proposed fee based on reasonable processing
costs.
(2) You may comment on the proposed fee.
(3) You may:
(i) Ask for our approval to perform, or to directly pay a
contractor to perform, all or part of any document, study, or other
activity according to standards we specify, thereby reducing our costs
for processing your application or request; or
(ii) Ask to pay us to perform, or contract for, all or part of any
document, study, or other activity.
(4) We will then give you the final estimate of the processing fee
amount with payment terms and instructions after considering your
comments and any BOEM-approved work you will do.
(i) If we encounter higher or lower processing costs than
anticipated, we will re-estimate our reasonable processing costs
following the procedures in paragraphs (b)(1) through (4) of this
section, but we will not stop ongoing processing unless you do not pay
in accordance with paragraph (b)(5) of this section.
(ii) Once processing is complete, we will refund to you the amount
of money that we did not spend on processing costs.
(5)(i) Consistent with the payment and billing terms provided in
the final estimate, we will periodically estimate what our reasonable
processing costs will be for a specific period and will bill you for
that period. Payment is due to us 30 days after you receive your bill.
We will stop processing your document if you do not pay the bill by the
date payment is due.
(ii) If a periodic payment turns out to be more or less than our
reasonable processing costs for the period, we will adjust the next
billing accordingly or make a refund. Do not deduct any amount from a
payment without our prior written approval.
(6) You must pay the entire fee before we will issue the final
document or take final action on your application or request.
(7) You may appeal our estimated processing costs in accordance
with the regulations in 43 CFR part 4. We will not process the document
further until the appeal is resolved, unless you pay the fee under
protest while the appeal is pending. If the appeal results in a
decision changing the proposed fee, we will adjust the fee in
accordance with paragraph (b)(5)(ii) of this section. If we adjust the
fee downward, we will not pay interest.
Sec. 585.113 Definitions.
Terms used in this part have the meanings as defined in this
section:
Affected local government means with respect to any activities
proposed, conducted, or approved under this part or 30 CFR part 285,
any locality--
(1) That is, or is proposed to be, the site of gathering,
transmitting, or distributing electricity or other energy product, or
is otherwise receiving, processing, refining, or transshipping product,
or services derived from activities approved under this part or 30 CFR
part 285;
(2) That is used, or is proposed to be used, as a support base for
activities approved under this part or 30 CFR part 285; or
(3) In which there is a reasonable probability of significant
effect on land or water uses from activities approved under this part,
or 30 CFR part 285.
Affected State means with respect to any activities proposed,
conducted, or approved under this part or 30 CFR part 285, any coastal
State--
(1) That is, or is proposed to be, the site of gathering,
transmitting, or distributing energy or is otherwise receiving,
processing, refining, or transshipping products, or services derived
from activities approved under this part or 30 CFR part 285;
(2) That is used, or is scheduled to be used, as a support base for
activities approved under this part or 30 CFR part 285; or
(3) In which there is a reasonable probability of significant
effect on land or water uses from activities approved under this part
or 30 CFR part 285.
Archaeological resource means any material remains of human life or
activities that are at least 50 years of age and that are of
archaeological interest (i.e., which are capable of providing
scientific or humanistic understanding of past human behavior, cultural
adaptation, and related topics through the application of scientific or
scholarly techniques, such as controlled observation, contextual
measurement, controlled collection, analysis, interpretation, and
explanation).
Best available and safest technology means the best available and
safest technologies that BOEM determines to be economically feasible
wherever failure of equipment would have a significant effect on
safety, health, or the environment.
Best management practices mean practices recognized within their
respective industry, or by government, as one of the best for achieving
the desired output while reducing undesirable outcomes.
BOEM means Bureau of Ocean Energy Management of the Department of
the Interior.
BSEE means Bureau of Safety and Environmental Enforcement of the
Department of the Interior.
Certified Verification Agent (CVA) means an individual or
organization, experienced in the design, fabrication, and installation
of offshore marine facilities or structures, who will conduct specified
third-party reviews, inspections, and verifications in accordance with
30 CFR part 285.
Coastline means the same as the term ``coast line'' in section 2 of
the Submerged Lands Act (43 U.S.C. 1301(c)).
Commercial activities mean, for renewable energy leases and grants,
all activities associated with the generation, storage, or transmission
of electricity or other energy product from a renewable energy project
on the OCS, and for which such electricity or other energy product is
intended for distribution, sale, or other commercial use, except for
electricity or other energy product distributed or sold pursuant to
technology-testing activities on a limited lease. This term also
includes activities associated with all stages of development,
including initial site characterization and assessment, facility
construction, and project decommissioning.
Commercial lease means a lease issued under this part that
specifies the terms and conditions under which a person can conduct
commercial activities.
Commercial operations mean the generation of electricity or other
energy product for commercial use, sale, or distribution on a
commercial lease.
Decommissioning means removing BOEM and BSEE approved facilities
and returning the site of the lease or grant to a condition that meets
the requirements under subpart I of 30 CFR part 285.
Director means the Director of the Bureau of Ocean Energy
Management (BOEM), of the Department of the
[[Page 6436]]
Interior, or an official authorized to act on the Director's behalf.
Distance means the minimum great circle distance.
Eligible State means a coastal State having a coastline (measured
from the nearest point) no more than 15 miles from the geographic
center of a qualified project area.
Facility means an installation that is permanently or temporarily
attached to the seabed of the OCS. Facilities include any structures;
devices; appurtenances; gathering, transmission, and distribution
cables; pipelines; and permanently moored vessels. Any group of OCS
installations interconnected with walkways, or any group of
installations that includes a central or primary installation with one
or more satellite or secondary installations, is a single facility.
BOEM and BSEE may decide that the complexity of the installations
justifies their classification as separate facilities.
Geographic center of the project means the centroid (geometric
center point) of a qualified project area. The centroid represents the
point that is the weighted average of coordinates of the same dimension
within the mapping system, with the weights determined by the density
function of the system. For example, in the case of a project area
shaped as a rectangle or other parallelogram, the geographic center
would be that point where lines between opposing corners intersect. The
geographic center of a project could be outside the project area itself
if that area is irregularly shaped.
Governor means the Governor of a State or the person or entity
lawfully designated by or under State law to exercise the powers
granted to a Governor.
Grant means a right-of-way or a right-of-use and easement issued
under the provisions of this part.
Human environment means the physical, social, and economic
components, conditions, and factors that interactively determine the
state, condition, and quality of living conditions, employment, and
health of those affected, directly or indirectly, by activities
occurring on the OCS.
Lease means an agreement authorizing the use of a designated
portion of the OCS for activities allowed under this part. The term
also means the area covered by that agreement, when the context
requires.
Lessee means the holder of a lease, a BOEM-approved assignee, and,
when describing the conduct required of parties engaged in activities
on the lease, it also refers to the operator and all persons authorized
by the holder of the lease or operator to conduct activities on the
lease.
Limited lease means a lease issued under this part that specifies
the terms and conditions under which a person may conduct activities on
the OCS that support the production of energy, but do not result in the
production of electricity or other energy product for sale,
distribution, or other commercial use exceeding a limit specified in
the lease.
Marine environment means the physical, atmospheric, and biological
components, conditions, and factors that interactively determine the
productivity, state, condition, and quality of the marine ecosystem.
These include the waters of the high seas, the contiguous zone,
transitional and intertidal areas, salt marshes, and wetlands within
the coastal zone and on the OCS.
Miles mean nautical miles, as opposed to statute miles.
Natural resources include, without limiting the generality thereof,
renewable energy, oil, gas, and all other minerals (as defined in
section 2(q) of the OCS Lands Act), and marine animal and marine plant
life.
Operator means the individual, corporation, or association having
control or management of activities on a lease or grant issued under
this part. The operator may be a lessee, grant holder, or a contractor
designated by the lessee or holder of a grant issued under this part.
Outer Continental Shelf (OCS) means all submerged lands lying
seaward and outside of the area of lands beneath navigable waters, as
defined in section 2 of the Submerged Lands Act (43 U.S.C. 1301), whose
subsoil and seabed appertain to the United States and are subject to
its jurisdiction and control.
Person means, in addition to a natural person, an association
(including partnerships and joint ventures); a Federal agency; a State;
a political subdivision of a State; a Native American Tribal
government; or a private, public, or municipal corporation.
Project, for the purposes of defining the source of revenues to be
shared, means a lease ROW, RUE, or Alternate Use RUE on which the
activities authorized under this part and/or 30 CFR part 285 or 586 are
conducted on the OCS. The term ``project'' may be used elsewhere in
this rule to refer to these same authorized activities, the facilities
used to conduct these activities, or to the geographic area of the
project, i.e., the project area.
Project area means the geographic surface leased, or granted, for
the purpose of a specific project. If OCS acreage is granted for a
project under some form of agreement other than a lease (i.e., a ROW or
RUE, the Federal acreage granted would be considered the project area.
To avoid distortions in the calculation of the geometric center of the
project area, project easements issued under this part are not
considered part of the qualified project's area.
Project easement means an easement to which, upon approval of your
Construction and Operations Plan (COP) or General Activities Plan
(GAP), you are entitled as part of the lease for the purpose of
installing, gathering, transmission, and distribution cables,
pipelines, and appurtenances on the OCS as necessary for the full
enjoyment of the lease.
Renewable Energy means energy resources other than oil and gas and
minerals as defined in 30 CFR part 580. Such resources include, but are
not limited to, wind, solar, and ocean waves, tides, and current.
Revenues mean bonuses, rents, operating fees, and similar payments
made in connection with a project or project area. It does not include
administrative fees such as those assessed for cost recovery, civil
penalties, and forfeiture of financial assurance.
Right-of-use and easement (RUE) grant means an easement issued by
BOEM under this part that authorizes use of a designated portion of the
OCS to support activities on a lease or other use authorization for
renewable energy activities. The term also means the area covered by
the authorization.
Right-of-way (ROW) grant means an authorization issued by BOEM
under this part to use a portion of the OCS for the construction and
use of a cable or pipeline for the purpose of gathering, transmitting,
distributing, or otherwise transporting electricity or other energy
product generated or produced from renewable energy, but does not
constitute a project easement under this part. The term also means the
area covered by the authorization.
Secretary means the Secretary of the Interior or an official
authorized to act on the Secretary's behalf.
Significant archaeological resource means an archaeological
resource that meets the criteria of significance for eligibility for
listing in the National Register of Historic Places, as defined in 36
CFR 60.4 or its successor.
Site assessment activities mean those initial activities conducted
to characterize a site on the OCS, such as resource assessment surveys
(e.g., meteorological and oceanographic) or
[[Page 6437]]
technology testing, involving the installation of bottom-founded
facilities.
We, us, and our refer to the Bureau of Ocean Energy Management of
the Department of the Interior, or its possessive, depending on the
context.
You and your means an applicant, lessee, the operator, or
designated operator, ROW grant holder, or RUE grant holder under this
part, or the designated agent of any of these, or the possessive of
each, depending on the context. The terms you and your also include
contractors and subcontractors of the entities specified in the
preceding sentence.
Sec. 585.114 How will data and information obtained by BOEM under
this part be disclosed to the public?
(a) BOEM will make data and information available in accordance
with the requirements and subject to the limitations of the Freedom of
Information Act (FOIA) (5 U.S.C. 552) and the regulations contained in
43 CFR part 2.
(b) BOEM will not release such data and information that we have
determined is exempt from disclosure under exemption 4 of FOIA. We will
review such data and information and objections of the submitter by the
following schedule to determine whether release at that time will
result in substantial competitive harm or disclosure of trade secrets.
------------------------------------------------------------------------
Then BOEM will review data and
If you have a . . . information for possible release:
------------------------------------------------------------------------
(1) Commercial lease.............. At the earlier of:
(i) 3 years after the initiation
of commercial generation or
(ii) 3 years after the lease
terminates.
(2) Limited lease................. At 3 years after the lease
terminates.
(3) ROW or RUE grant.............. At the earliest of:
(i) 10 years after the approval of
the grant;
(ii) Grant termination; or
(iii) 3 years after the completion
of construction activities.
------------------------------------------------------------------------
(c) After considering any objections from the submitter, if we
determine that release of such data and information will result in:
(1) No substantial competitive harm or disclosure of trade secrets,
then the data and information will be released.
(2) Substantial competitive harm or disclosure of trade secrets,
then the data and information will not be released at that time but
will be subject to further review every 3 years thereafter.
Sec. 585.115 Paperwork Reduction Act statements--information
collection.
(a) The Office of Management and Budget (OMB) has approved the
information collection requirements in this part under 44 U.S.C. 3501,
et seq., and assigned OMB Control Number 1010-0176. The table in
paragraph (e) of this section lists the subparts in the rule requiring
the information and its title, summarizes the reasons for collecting
the information, and summarizes how BOEM uses the information.
(b) Respondents are primarily renewable energy applicants, lessees,
ROW grant holders, RUE grant holders, Alternate Use RUE grant holders,
and operators. The requirement to respond to the information collection
in this part is mandated under subsection 8(p) of the OCS Lands Act.
Some responses are also required to obtain or retain a benefit, or may
be voluntary.
(c) The Paperwork Reduction Act of 1995 (44 U.S.C. 3501 et seq.)
requires us to inform the public that an agency may not conduct or
sponsor, and you are not required to respond to, a collection of
information unless it displays a currently valid OMB control number.
(d) Comments regarding any aspect of the collections of information
under this part, including suggestions for reducing the burden, should
be sent to the Information Collection Clearance Officer, Bureau of
Ocean Energy Management, 45600 Woodland Road, Sterling, VA 20166.
(e) BOEM is collecting this information for the reasons given in
the following table:
------------------------------------------------------------------------
Reasons for collecting
30 CFR 585 subpart and title information and how used
------------------------------------------------------------------------
(1) Subpart A--General Provisions...... To inform BOEM of actions taken
to comply with general
operational requirements on
the OCS. To ensure that
operations on the OCS meet
statutory and regulatory
requirements, are safe and
protect the environment, and
result in diligent development
on OCS leases.
(2) Subpart B--Issuance of OCS To provide BOEM with
Renewable Energy Leases. information needed to
determine when to use a
competitive process for
issuing a renewable energy
lease, to identify auction
formats and bidding systems
and variables that we may use
when that determination is
affirmative, and to determine
the terms under which we will
issue renewable energy leases.
(3) Subpart C--ROW Grants and RUE To issue ROW grants and RUE
Grants for Renewable Energy Activities. grants for OCS renewable
energy activities that are not
associated with a BOEM-issued
renewable energy lease.
(4) Subpart D--Lease and Grant To ensure compliance with
Administration. regulations pertaining to a
lease or grant; assignment and
designation of operator; and
suspension, renewal,
termination, relinquishment,
and cancellation of leases and
grants.
(5) Subpart E--Payments and Financial To ensure that payments and
Assurance Requirements. financial assurance payments
for renewable energy leases
comply with subpart E.
(6) Subpart F--Plan Requirements....... To enable BOEM to comply with
the National Environmental
Policy Act (NEPA), the Coastal
Zone Management Act (CZMA),
and other Federal laws and to
ensure the safety of the
environment on the OCS.
------------------------------------------------------------------------
[[Page 6438]]
Sec. 585.116 Requests for information on the state of the offshore
renewable energy industry.
(a) The Director may, from time to time, and at the Director's
discretion, solicit information from industry and other relevant
stakeholders (including State and local agencies), as necessary, to
evaluate the state of the offshore renewable energy industry, including
the identification of potential challenges or obstacles to its
continued development. Such requests for information may relate to the
identification of environmental, technical, regulatory, or economic
matters that promote or detract from continued development of renewable
energy technologies on the OCS. From the information received, the
Director may evaluate potential refinements to the OCS Alternative
Energy Program that promote development of the industry in a safe and
environmentally responsible manner, and that ensure fair value for use
of the nation's OCS.
(b) BOEM may make such requests for information on a regional basis
and may tailor the requests to specific types of renewable energy
technologies.
(c) BOEM will publish such requests for information by the Director
in the Federal Register.
Sec. 585.117 [Reserved]
Sec. 585.118 What are my appeal rights?
(a) Any party adversely affected by a BOEM official's final
decision or order issued under the regulations of this part may appeal
that decision or order to the Interior Board of Land Appeals. The
appeal must conform with the procedures found in 30 CFR part 590 and in
43 CFR part 4, subpart E. Appeal of a final decision for bid acceptance
is covered under paragraph (c) of this section.
(b) A decision will remain in full force and effect during the
period in which an appeal may be filed and during an appeal, unless a
stay is granted pursuant to 43 CFR part 4.
(c) Our decision on a bid is the final action of the Department,
except that an unsuccessful bidder may apply for reconsideration by the
Director.
(1) A bidder whose bid we reject may file a written request for
reconsideration with the Director within 15 days of the date of the
receipt of the notice of rejection, accompanied by a statement of
reasons, with one copy to us. The Director will respond in writing
either affirming or reversing the decision.
(2) The delegation of review authority given to the Office of
Hearings and Appeals does not apply to decisions on high bids for
leases or grants under this part.
Subpart B--Issuance of OCS Renewable Energy Leases
General Lease Information
Sec. 585.200 What rights are granted with a lease issued under this
part?
(a) A lease issued under this part grants the lessee the right,
subject to obtaining the necessary approvals, including but not limited
to those required under the FERC hydrokinetic licensing process, and
complying with all provisions of this part, to occupy, and install and
operate facilities on, a designated portion of the OCS for the purpose
of conducting:
(1) Commercial activities; or
(2) Other limited activities that support, result from, or relate
to the production of energy from a renewable energy source.
(b) A lease issued under this part confers on the lessee the right
to one or more project easements without further competition for the
purpose of installing gathering, transmission, and distribution cables;
pipelines; and appurtenances on the OCS as necessary for the full
enjoyment of the lease.
(1) You must apply for the project easement as part of your COP or
GAP, as provided under subpart F of this part; and
(2) BOEM will incorporate your approved project easement in your
lease as an addendum.
(c) A commercial lease issued under this part may be developed in
phases, with BOEM approval as provided in Sec. 585.238.
Sec. 585.201 How will BOEM issue leases?
BOEM will issue leases on a competitive basis, as provided under
Sec. Sec. 585.210 through 585.225. However, if we determine after
public notice of a proposed lease that there is no competitive
interest, we will issue leases noncompetitively, as provided under
Sec. Sec. 585.230 and 585.232. We will issue leases on forms approved
by BOEM and will include terms, conditions, and stipulations identified
and developed through the process set forth in Sec. Sec. 585.211 and
585.231.
Sec. 585.202 What types of leases will BOEM issue?
BOEM may issue leases on the OCS for the assessment and production
of renewable energy and may authorize a combination of specific
activities. We may issue commercial leases or limited leases.
Sec. 585.203 With whom will BOEM consult before issuance of a lease?
For leases issued under this part, through either the competitive
or noncompetitive process, BOEM, prior to issuing the lease, will
coordinate and consult with relevant Federal agencies (including, in
particular, those agencies involved in planning activities that are
undertaken to avoid or minimize conflicts among users and to maximize
the economic and ecological benefits of the OCS, including multifaceted
spatial planning efforts), the Governor of any affected State, the
executive of any affected local government, and any affected Indian
Tribe, as directed by subsections 8(p)(4) and (7) of the OCS Lands Act
or other relevant Federal laws. Federal statutes that require BOEM to
consult with interested parties or Federal agencies or to respond to
findings of those agencies include the Endangered Species Act (ESA) and
the Magnuson-Stevens Fishery Conservation and Management Act (MSA).
BOEM also engages in consultation with State and Tribal historic
preservation officers pursuant to the National Historic Preservation
Act (NHPA).
Sec. 585.204 What areas are available for leasing consideration?
BOEM may offer any appropriately platted area of the OCS, as
provided in Sec. 585.205, for a renewable energy lease, except any
area within the exterior boundaries of any unit of the National Park
System, National Wildlife Refuge System, National Marine Sanctuary
System, or any National Monument.
Sec. 585.205 How will leases be mapped?
BOEM will prepare leasing maps and official protraction diagrams of
areas of the OCS. The areas included in each lease will be in
accordance with the appropriate leasing map or official protraction
diagram.
Sec. 585.206 What is the lease size?
(a) BOEM will determine the size for each lease based on the area
required to accommodate the anticipated activities. The processes
leading to both competitive and noncompetitive issuance of leases will
provide public notice of the lease size adopted. We will delineate
leases by using mapped OCS blocks or portions, or aggregations of
blocks.
(b) The lease size includes the minimum area that will allow the
lessee sufficient space to develop the project and manage activities in
a manner that is consistent with the provisions of this part and 30 CFR
part 285. The lease may include whole lease blocks or portions of a
lease block.
[[Page 6439]]
Sec. Sec. 585.207-585.209 [Reserved]
Competitive Lease Process
Sec. 585.210 How does BOEM initiate the competitive leasing process?
BOEM may publish in the Federal Register a public notice of Request
for Interest to assess interest in leasing all or part of the OCS for
activities authorized in this part. BOEM will consider information
received in response to a Request for Interest to determine whether
there is competitive interest for scheduling sales and issuing leases.
We may prepare and issue a national, regional, or more specific
schedule of lease sales pertaining to one or more types of renewable
energy.
Sec. 585.211 What is the process for competitive issuance of leases?
BOEM will use auctions to award leases on a competitive basis. We
will publish details of the process to be employed for each lease sale
auction in the Federal Register. For each lease sale, we will publish a
Proposed Sale Notice and a Final Sale Notice. Individual lease sales
will include steps such as:
(a) Call for Information and Nominations (Call). BOEM will publish
in the Federal Register Calls for Information and Nominations for
leasing in specified areas. The comment period following issuance of a
Call will be 45 days. In this document, we may:
(1) Request comments on areas which should receive special
consideration and analysis;
(2) Request comments concerning geological conditions (including
bottom hazards); archaeological sites on the seabed or nearshore;
multiple uses of the proposed leasing area (including navigation,
recreation, and fisheries); and other socioeconomic, biological, and
environmental information; and
(3) Suggest areas to be considered by the respondents for leasing.
(b) Area identification. BOEM will identify areas for environmental
analysis and consideration for leasing. We will do this in consultation
with appropriate Federal agencies, States, local governments, affected
Indian Tribes, and other interested parties.
(1) We may consider for lease those areas nominated in response to
the Call for Information and Nominations, together with other areas
that BOEM determines are appropriate for leasing.
(2) We will evaluate the potential effect of leasing on the human,
marine, and coastal environments, and develop measures to mitigate
adverse impacts, including lease stipulations.
(3) We will consult to develop measures, including lease
stipulations and conditions, to mitigate adverse impacts on the
environment; and
(4) We may hold public hearings on the environmental analysis after
appropriate notice.
(c) Proposed Sale Notice. BOEM will publish the Proposed Sale
Notice in the Federal Register and send it to the Governor of any
affected State, any Indian Tribe that might be affected, and the
executive of any local government that might be affected. The comment
period following issuance of a Proposed Sale Notice will be 60 days.
(d) Final Sale Notice. BOEM will publish the Final Sale Notice in
the Federal Register at least 30 days before the date of the sale.
Sec. 585.212 What is the process BOEM will follow if there is reason
to believe that competitors have withdrawn before the Final Sale Notice
is issued?
BOEM may decide to end the competitive process before the Final
Sale Notice if we have reason to believe that competitors have
withdrawn and competition no longer exists. We will issue a second
public notice of Request for Interest and consider comments received to
confirm that there is no competitive interest.
(a) If, after reviewing comments in response to the notice of
Request for Interest, BOEM determines that there is no competitive
interest in the lease area, and one party wishes to acquire a lease, we
will discontinue the competitive process and will proceed with the
noncompetitive process set forth in Sec. 585.231(d) through (i)
following receipt of the acquisition fee specified in Sec. 585.502(a).
(b) If, after reviewing comments in response to the notice of
Request for Interest, BOEM determines that competitive interest in the
lease area continues to exist, we will continue with the competitive
process set forth in Sec. Sec. 585.211 through 585.225.
Sec. 585.213 What must I submit in response to a Request for Interest
or a Call for Information and Nominations?
If you are a potential lessee, when you respond to a Request for
Interest or a Call, your response must include the following items:
(a) The area of interest for a possible lease.
(b) A general description of your objectives and the facilities
that you would use to achieve those objectives.
(c) A general schedule of proposed activities, including those
leading to commercial operations.
(d) Available and pertinent data and information concerning
renewable energy and environmental conditions in the area of interest,
including energy and resource data and information used to evaluate the
area of interest. BOEM will withhold trade secrets and commercial or
financial information that is privileged or confidential from public
disclosure under exemption 4 of the FOIA and as provided in Sec.
585.114.
(e) Documentation showing that you are qualified to hold a lease,
as specified in Sec. 585.107.
(f) Any other information requested by BOEM in the Federal Register
notice.
Sec. 585.214 What will BOEM do with information from the Requests for
Information or Calls for Information and Nominations?
BOEM will use the information received in response to the Requests
or Calls to:
(a) Identify the lease area;
(b) Develop options for the environmental analysis and leasing
provisions (stipulations, payments, terms, and conditions); and
(c) Prepare appropriate documentation to satisfy applicable Federal
requirements, such as NEPA, CZMA, the ESA, and the MMPA.
Sec. 585.215 What areas will BOEM offer in a lease sale?
BOEM will offer the areas for leasing determined through the
process set forth in Sec. 585.211. We will not accept nominations
after the Call for Information and Nominations closes.
Sec. 585.216 What information will BOEM publish in the Proposed Sale
Notice and Final Sale Notice?
For each competitive lease sale, BOEM will publish a Proposed Sale
Notice and a Final Sale Notice in the Federal Register. In the Proposed
Sale Notice, we will request public comment on the items listed in this
section. We will consider all public comments received in developing
the final lease sale terms and conditions. We will publish the final
terms and conditions in the Final Sale Notice. The Proposed Sale Notice
and Final Sale Notice will include, or describe the availability of,
information pertaining to:
(a) The area available for leasing.
(b) Proposed and final lease provisions and conditions, including,
but not limited to:
(1) Lease size;
(2) Lease term;
(3) Payment requirements;
(4) Performance requirements; and
(5) Site-specific lease stipulations.
(c) Auction details, including:
(1) Bidding procedures and systems;
(2) Minimum bid;
(3) Deposit amount;
(4) The place and time for filing bids and the place, date, and
hour for opening bids;
[[Page 6440]]
(5) Lease award method; and
(6) Bidding or application instructions.
(d) The official BOEM lease form to be used or a reference to that
form.
(e) Criteria BOEM will use to evaluate competing bids or
applications and how the criteria will be used in decision-making for
awarding a lease.
(f) Award procedures, including how and when BOEM will award leases
and how BOEM will handle unsuccessful bids or applications.
(g) Procedures for appealing the lease issuance decision.
(h) Execution of the lease instrument.
Sec. Sec. 585.217-585.219 [Reserved]
Competitive Lease Award Process
Sec. 585.220 What auction format may BOEM use in a lease sale?
(a) Except as provided in Sec. 585.231, we will hold competitive
auctions to award renewable energy leases and will use one of the
following auction formats, as determined through the lease sale process
and specified in the Proposed Sale Notice and in the Final Sale Notice:
------------------------------------------------------------------------
Type of auction Bid variable Bidding process
------------------------------------------------------------------------
(1) Sealed bidding.......... A cash bonus or an One sealed bid per
operating fee rate. company per lease
or packaged bidding
unit.
(2) Ascending bidding....... A cash bonus or an Continuous bidding
operating fee rate. per lease.
(3) Two-stage bidding An operating fee Ascending or sealed
(combination of ascending rate in one, both, bidding until:
and sealed bidding). or neither stage (i) Only two bidders
and a cash bonus in remain, or
one, both, or (ii) More than one
neither stage. bidder offers to
pay the maximum bid
amount.
Stage-two sealed or
ascending bidding
commences at some
predetermined time
after the end of
stage-one bidding.
(4) Multiple-factor bidding. Factors may include, One proposal per
but are not limited company per lease
to: technical or packaged bidding
merit, timeliness, unit.
financing and
economics,
environmental
considerations,
public benefits,
compatibility with
State and local
needs, cash bonus,
rental rate, and an
operating fee rate.
------------------------------------------------------------------------
(b) You must submit your bid and a deposit as specified in
Sec. Sec. 585.500 and 585.501 to cover the bid for each lease area,
according to the terms specified in the Final Sale Notice.
Sec. 585.221 What bidding systems may BOEM use for commercial leases
and limited leases?
(a) For commercial leases, we will specify minimum bids in the
Final Sale Notice and use one of the following bidding systems, as
specified in the Proposed Sale Notice and in the Final Sale Notice:
------------------------------------------------------------------------
Bid system Bid variable
------------------------------------------------------------------------
(1) Cash bonus with a constant fee rate Cash bonus.
(decimal).
(2) Constant operating fee rate with A fee rate used in the formula
fixed cash bonus. found in Sec. 585.506 to set
the operating fee per year
during the operations term of
your lease.
(3) Sliding operating fee rate with a A fee rate used in the formula
fixed cash bonus. in Sec. 585.506 to set the
operating fee for the first
year of the operations term of
your lease. The fee rate for
subsequent years changes by a
mathematical function we
specify in the Final Sale
Notice.
(4) Cash bonus and constant operating Cash bonus and operating fee
fee rate. rate as stated in paragraph
(a)(2) of this section (two-
stage auction format only).
(5) Cash bonus and sliding operating Cash bonus and operating fee
fee rate. rate as stated in paragraph
(a)(3) of this section (two-
stage auction format only).
(6) Multiple-factor combination of BOEM will identify bidding
nonmonetary and monetary factors. variables in the Final Sale
Notice.
Variables may include:
(i) Nonmonetary (e.g.,
technical merit) factors and
(ii) Monetary (e.g., cash
bonus, rental rate, fee rate)
factors.
------------------------------------------------------------------------
(b) For limited leases, the bid variable will be a cash bonus, with
a minimum bid as we specify in the Final Sale Notice.
Sec. 585.222 What does BOEM do with my bid?
(a) If sealed bidding is used:
(1) We open the sealed bids at the place, date, and hour specified
in the Final Sale Notice for the sole purpose of publicly announcing
and recording the bids. We do not accept or reject any bids at that
time.
(2) We reserve the right to reject any and all high bids, including
a bid for any proposal submitted under the multiple-factor bidding
format, regardless of the amount offered or bidding system used. The
reasons for the rejection of a winning bid may include, but are not
necessarily limited to, insufficiency, illegality, anti-competitive
behavior, administrative error, and the presence of unusual bidding
patterns. We intend to accept or reject all high bids within 90 days,
but we may extend that time if necessary.
(b) If we use ascending bidding, we may, in the Final Sale Notice,
reserve the right to accept the winning bid solely based on its being
the highest bid submitted by a qualified bidder (qualified to be an OCS
lessee under Sec. 585.107).
(c) If we use two-stage bidding and the auction concludes with:
(1) An ascending bidding stage, the winning bid will be determined
as stated in paragraph (b) of this section; or
(2) A sealed bidding stage, the winning bid will be determined as
stated in paragraph (a) of this section.
[[Page 6441]]
(d) If we use multiple-factor bidding, determination of the winning
bid for any proposal submitted will be made by a panel composed of
members selected by BOEM. The details of the process will be described
in the Final Sale Notice.
(e) We will send a written notice of our decision to accept or
reject bids to all bidders whose deposits we hold.
Sec. 585.223 What does BOEM do if there is a tie for the highest bid?
(a) Unless otherwise specified in the Final Sale Notice, except in
the first stage of a two-stage bidding auction, if more than one bidder
on a lease submits the same high bid amount, the winning bidder will be
determined by a further round or stage of bidding as described in the
Final Sale Notice.
(b) The winning bidder will be subject to final confirmation
following determination of bid adequacy.
Sec. 585.224 What happens if BOEM accepts my bid?
If we accept your bid, we will send you a notice with three copies
of the lease form.
(a) Within 10 business days after you receive the lease copies, you
must:
(1) Execute the lease;
(2) File financial assurance as required under Sec. Sec. 585.515
through 585.537 as applicable; and
(3) Pay the balance of the bonus bid as specified in the lease sale
notice.
(b) Within 45 days after you receive the lease copies, you must pay
the first 12 months' rent as required in Sec. 585.503.
(c) When you execute three copies of the lease and return the
copies to us, we will execute the lease on behalf of the United States
and send you one fully executed copy.
(d) You will forfeit your deposit if you do not execute and return
the lease within 10- business days of receipt, or otherwise fail to
comply with applicable regulations or terms of the Final Sale Notice.
(e) We may extend the 10 business day time period for executing and
returning the lease if we determine the delay to be caused by events
beyond your control.
(f) We reserve the right to withdraw an OCS area in which we have
held a lease sale before you and BOEM execute the lease in that area.
If we exercise this right, we will refund your bid deposit, without
interest.
(g) If the awarded lease is executed by an agent acting on behalf
of the bidder, the bidder must submit, along with the executed lease,
written evidence that the agent is authorized to act on behalf of the
bidder.
(h) BOEM will consider the highest submitted qualified bid to be
the winning bid when bidding occurs under the systems described in
Sec. 585.221(a)(1) through (5). We will determine the winning bid for
proposals submitted under the multiple-factor bidding format on the
basis of selection by the panel as specified in Sec. 585.222(d) when
the bidding system under Sec. 585.221(a)(6) is used. We will refund
the deposit on all other bids.
Sec. 585.225 What happens if my bid is rejected, and what are my
appeal rights?
(a) If we reject your bid, we will provide a written statement of
the reasons and refund any money deposited with your bid, without
interest.
(b) You may ask the BOEM Director for reconsideration, in writing,
within 15 business days of bid rejection, under Sec. 585.118(c)(1). We
will send you a written response either affirming or reversing the
rejection.
Sec. Sec. 585.226-585.229 [Reserved]
Noncompetitive Lease Award Process
Sec. 585.230 May I request a lease if there is no Call?
You may submit an unsolicited request for a commercial lease or a
limited lease under this part. Your unsolicited request must contain
the following information:
(a) The area you are requesting for lease.
(b) A general description of your objectives and the facilities
that you would use to achieve those objectives.
(c) A general schedule of proposed activities including those
leading to commercial operations.
(d) Available and pertinent data and information concerning
renewable energy and environmental conditions in the area of interest,
including energy and resource data and information used to evaluate the
area of interest. BOEM will withhold trade secrets and commercial or
financial information that is privileged or confidential from public
disclosure under exemption 4 of the FOIA and as provided in Sec.
585.114.
(e) If available from the appropriate State or local government
authority, a statement that the proposed activity conforms with State
and local energy planning requirements, initiatives, or guidance.
(f) Documentation showing that you meet the qualifications to
become a lessee, as specified in Sec. 585.107.
(g) An acquisition fee, as specified in Sec. 585.502(a).
Sec. 585.231 How will BOEM process my unsolicited request for a
noncompetitive lease?
(a) BOEM will consider unsolicited requests for a lease on a case-
by-case basis and may issue a lease noncompetitively in accordance with
this part. We will not consider an unsolicited request for a lease
under this part that is proposed in an area of the OCS that is
scheduled for a lease sale under this part.
(b) BOEM will issue a public notice of a request for interest
relating to your proposal and consider comments received to determine
if competitive interest exists.
(c) If BOEM determines that competitive interest exists in the
lease area:
(1) BOEM will proceed with the competitive process set forth in
Sec. Sec. 585.210 through 585.225;
(2) If you submit a bid for the lease area in a competitive lease
sale, your acquisition fee will be applied to the deposit for your
bonus bid; and
(3) If you do not submit a bid for the lease area in a competitive
lease sale, BOEM will not refund your acquisition fee.
(d) If BOEM determines that there is no competitive interest in a
lease, we will publish in the Federal Register a notice of
Determination of No Competitive Interest. After BOEM publishes this
notice, you will be responsible for submitting any required consistency
certification and necessary data and information pursuant to 15 CFR
part 930, subpart D, to the applicable State CZMA agency or agencies
and BOEM.
(e) BOEM will coordinate and consult with affected Federal
agencies, State, and local governments, and affected Indian Tribes in
the review of noncompetitive lease requests.
(f) After completing the review of your lease request, BOEM may
offer you a noncompetitive lease.
(g) If you accept the terms and conditions of the lease, then we
will issue the lease, and you must comply with all terms and conditions
of your lease and all applicable provisions of this part and 30 CFR
part 285. If we issue you a lease, we will send you a notice with 3
copies of the lease form.
(1) Within 10 business days after you receive the lease copies you
must:
(i) Execute the lease;
(ii) File financial assurance as required under Sec. Sec. 585.515
through 585.537; and
(2) Within 45 days after you receive the lease copies, you must pay
the first 12 months' rent, as required in Sec. 585.503.
[[Page 6442]]
(h) BOEM will publish in the Federal Register a notice announcing
the issuance of your lease.
(i) If you do not accept the terms and conditions, BOEM will not
issue a lease and will not refund your acquisition fee.
Sec. 585.232 May I acquire a lease noncompetitively after responding
to a Request for Interest or Call for Information and Nominations?
(a) If you submit an area of interest for a possible lease and BOEM
receives no competing submissions in response to the RFI or Call, we
may inform you that there does not appear to be competitive interest,
and ask if you wish to proceed with acquiring a lease.
(b) If you wish to proceed with acquiring a lease, you must submit
your acquisition fee as specified in Sec. 585.502(a).
(c) After receiving the acquisition fee, BOEM will follow the
process outlined in Sec. 585.231(d) through (i).
Sec. Sec. 585.233-585.234 [Reserved]
Commercial and Limited Lease Terms
Sec. 585.235 If I have a commercial lease, how long will my lease
remain in effect?
(a) For commercial leases, the lease terms and applicable automatic
extensions are as shown in the following table:
------------------------------------------------------------------------
Lease term Automatic extensions Requirements
------------------------------------------------------------------------
(1) Each commercial lease If BOEM receives a The SAP must meet
will have a preliminary SAP that satisfies the requirements of
term of 12 months, within the requirements of Sec. Sec.
which the lessee must Sec. Sec. 585.605-585.613.
submit: (i) a SAP; or (ii) 585.605-585.613 or The SAP/COP must
a combined SAP and a SAP/COP that meet the
Construction and Operations satisfies the requirements of
Plan (COP). The preliminary requirements of Sec. Sec.
term begins on the Sec. Sec. 585.605-585.613 and
effective date of the lease. 585.605-585.613 and Sec. Sec.
Sec. Sec. 585.620-585.628.
585.620-585.628,
the preliminary
term will be
extended for the
time necessary for
us to conduct
technical and
environmental
reviews of the SAP
or SAP/COP.
(2) A commercial lease will If we receive a COP The COP must meet
have a site assessment term that satisfies the the requirements of
of five years to conduct requirements of Sec. Sec.
site assessment activities Sec. Sec. 585.620-585.628.
and to submit a COP, if a 585.620-585.628,
SAP/COP has not been the site assessment
submitted. Your site term will be
assessment term begins when automatically
BOEM approves your SAP or extended for the
SAP/COP. period of time
necessary for us to
conduct technical
and environmental
reviews of the COP.
(3) A commercial lease will .................... The lease renewal
have an operations term of request must meet
25 years, unless a longer the requirements in
term is negotiated by the Sec. Sec.
parties. A request for 585.425-585.429.
lease renewal must be
submitted two years before
the end of the operations
term. If you submit a COP,
your operations term begins
on the date that BOEM
approves the COP. If you
submit a SAP/COP, your
operations term begins on
the earliest of the
following dates: five years
after BOEM approves the SAP/
COP; when fabrication
begins; or, when
installation commences.
(4) A commercial lease may .................... NOTE: BOEM may also
have additional time added order or grant a
to the operations term suspension of the
through a lease renewal. operations term, as
The term of the lease provided in Sec.
renewal will not exceed the Sec. 585.415-
original term of the lease, 585.421 thereby
unless a longer term is effectively
negotiated by the parties. extending the term
The lease renewal term of the lease.
begins upon expiration of
the original operations
term.
------------------------------------------------------------------------
(b) If you do not timely submit a SAP, COP, or SAP/COP, as
appropriate, you may request additional time to extend the preliminary
or site assessment term of your commercial lease that includes a
revised schedule for submission of the plan, as appropriate.
Sec. 585.236 If I have a limited lease, how long will my lease remain
in effect?
(a) For limited leases, the lease terms are as shown in the
following table:
------------------------------------------------------------------------
Extension or
Lease term suspension Requirements
------------------------------------------------------------------------
(1) Each limited lease has a If we receive a GAP The GAP must meet
preliminary term of 12 that satisfies the the requirements of
months to submit a GAP. The requirements of Sec. Sec.
preliminary term begins on Sec. Sec. 585.640-585.648.
the effective date of the 585.640-585.648 of
lease. this part, the
preliminary term
will be
automatically
extended for the
period of time
necessary for us to
conduct a technical
and environmental
review of the plans.
(2) Each limited lease has We may order or ....................
an operations term of five grant a suspension
years for conducting site of the operations
assessment, technology term as provided in
testing, or other Sec. Sec.
activities. The operations 585.415-585.421.
term begins on the date
that we approve your GAP.
------------------------------------------------------------------------
(b) If you do not timely submit a GAP, you may request additional
time to extend the preliminary term of your limited lease that includes
a revised schedule for submission of a GAP.
[[Page 6443]]
Sec. 585.237 What is the effective date of a lease?
(a) A lease issued under this part must be dated and becomes
effective as of the first day of the month following the date a lease
is signed by the lessor.
(b) If the lessee submits a written request and BOEM approves, a
lease may be dated and become effective the first day of the month in
which it is signed by the lessor.
Sec. 585.238 May I develop my commercial lease in phases?
In your COP, you may request development of your commercial lease
in phases. In support of your request, you must provide details as to
what portions of the lease will be initially developed for commercial
operations and what portions of the lease will be reserved for
subsequent phased development.
Sec. 585.239 Are there any other renewable energy research activities
that will be allowed on the OCS?
(a) The Director may issue OCS leases, ROW grants, and RUE grants
to a Federal agency or a State for renewable energy research activities
that support the future production, transportation, or transmission of
renewable energy.
(b) In issuing leases, ROW grants, and RUE grants to a Federal
agency or a State on the OCS for renewable energy research activities
under this provision, BOEM will coordinate and consult with other
relevant Federal agencies, any other affected State(s), affected local
government executives, and affected Indian Tribes.
(c) BOEM may issue leases, RUEs, and ROWs for research activities
managed by a Federal agency or a State only in areas for which the
Director has determined, after public notice and opportunity to
comment, that no competitive interest exists.
(d) The Director and the head of the Federal agency or the Governor
of a requesting State, or their authorized representatives, will
negotiate the terms and conditions of such renewable energy leases,
RUEs, or ROWs under this provision on a case-by-case basis. The
framework for such negotiations, and standard terms and conditions of
such leases, RUEs, or ROWs may be set forth in a memorandum of
agreement (MOA) or other agreement between BOEM and a Federal agency or
a State. The MOA must include the agreement of the head of the Federal
agency or the Governor to assure that all subcontractors comply with
this part and 30 CFR part 285, other applicable laws, and terms and
conditions of such leases or grants.
(e) Any lease, RUE, or ROW that BOEM issues to a Federal agency or
to a State that authorizes access to an area of the OCS for research
activities managed by a Federal agency or a State must include:
(1) Requirements to comply with all applicable Federal laws; and
(2) Requirements to comply with these regulations and 30 CFR part
285, except as otherwise provided in the lease or grant.
(f) BOEM will issue a public notice of any lease, RUE, ROW issued
to a Federal agency or to a State, or an approved MOA for such research
activities.
(g) BOEM will not charge any fees for the purpose of ensuring a
fair return for the use of such research areas on the OCS.
Subpart C--Right-of-Way (ROW) and Right-of-Use and Easement (RUE)
Grants for Renewable Energy Activities
ROW Grants and RUE Grants
Sec. 585.300 What types of activities are authorized by ROW grants
and RUE grants issued under this part?
(a) A ROW grant authorizes the holder to install on the OCS cables,
pipelines, and associated facilities that involve the transportation or
transmission of electricity or other energy product from renewable
energy projects.
(b) A RUE grant authorizes the holder to construct and maintain
facilities or other installations on the OCS that support the
production, transportation, or transmission of electricity or other
energy product from any renewable energy resource.
(c) You do not need a ROW grant or RUE grant for a project easement
authorized under Sec. 585.200(b) to serve your lease.
Sec. 585.301 What do ROW grants and RUE grants include?
(a) A ROW grant:
(1) Includes the full length of the corridor on which a cable,
pipeline, or associated facility is located;
(2) Is 200 feet (61 meters) in width, centered on the cable or
pipeline, unless safety and environmental factors during construction
and maintenance of the associated cable or pipeline require a greater
width; and
(3) For the associated facility, is limited to the area reasonably
necessary for a power or pumping station or other accessory facility.
(b) A RUE grant includes the site on which a facility or other
structure is located and the areal extent of anchors, chains, and other
equipment associated with a facility or other structure. The specific
boundaries of a RUE will be determined by BOEM on a case-by-case basis
and set forth in each RUE grant.
Sec. 585.302 What are the general requirements for ROW grant and RUE
grant holders?
(a) To acquire a ROW grant or RUE grant you must provide evidence
that you meet the qualifications as required in Sec. 585.107.
(b) A ROW grant or RUE grant is subject to the following
conditions:
(1) The rights granted will not prevent the granting of other
rights by the United States, either before or after the granting of the
ROW or RUE, provided that any subsequent authorization issued by BOEM
in the area of a previously issued ROW grant or RUE grant may not
unreasonably interfere with activities approved or impede existing
operations under such a grant; and
(2) The holder agrees that the United States, its lessees, or other
ROW grant or RUE grant holders may use or occupy any part of the ROW
grant or RUE grant not actually occupied or necessarily incident to its
use for any necessary activities.
Sec. 585.303 How long will my ROW grant or RUE grant remain in
effect?
(a) Each ROW or RUE grant will have a preliminary term of 12 months
from the date of issuance of the ROW or RUE grant within which to
submit a GAP. The preliminary term begins on the effective date of the
grant. You must submit a GAP no later than the end of the preliminary
term for your grant to remain in effect. However, you may submit a GAP
prior to the issuance of your ROW or RUE grant.
(b) Except as described in paragraph (a) of this section, your ROW
grant or RUE grant will remain in effect for as long as the associated
activities are properly maintained and used for the purpose for which
the grant was made, unless otherwise expressly stated in the grant.
Sec. 585.304 [Reserved]
Obtaining ROW Grants and RUE Grants
Sec. 585.305 How do I request a ROW grant or RUE grant?
You must submit to BOEM one paper copy and one electronic copy of a
request for a new or modified ROW grant or RUE grant. You must submit a
separate request for each ROW grant or RUE grant you are requesting.
The request must contain the following information:
(a) The area you are requesting for a ROW grant or RUE grant.
[[Page 6444]]
(b) A general description of your objectives and the facilities
that you would use to achieve those objectives.
(c) A general schedule of proposed activities.
(d) Pertinent information concerning environmental conditions in
the area of interest.
Sec. 585.306 What action will BOEM take on my request?
BOEM will consider requests for ROW grants and RUE grants on a
case-by-case basis and may issue a grant competitively, as provided in
Sec. 585.308, or noncompetitively if we determine after public notice
that there is no competitive interest. BOEM will coordinate and consult
with relevant Federal agencies, with the Governor of any affected
State, and the executive of any affected local government.
(a) In response to an unsolicited request for a ROW grant or RUE
grant, BOEM will first determine if there is competitive interest, as
provided in Sec. 585.307.
(b) If BOEM determines that there is no competitive interest in a
ROW grant or RUE grant, we will publish a notice in the Federal
Register of such determination. After BOEM publishes this notice, you
will be responsible for submitting any required consistency
certification and necessary data and information pursuant to 15 CFR
part 930, subpart D, to the applicable State CZMA agency or agencies
and BOEM. We will establish terms and conditions for the grant in
consultation with you.
Sec. 585.307 How will BOEM determine whether competitive interest
exists for ROW grants and RUE grants?
To determine whether or not there is competitive interest:
(a) We will publish a public notice, describing the parameters of
the project, to give affected and interested parties an opportunity to
comment on the proposed ROW grant or RUE grant area.
(b) We will evaluate any comments received on the notice and make a
determination of the level of competitive interest.
Sec. 585.308 How will BOEM conduct an auction for ROW grants and RUE
grants?
(a) If BOEM determines that there is competitive interest, we will:
(1) Publish a notice of each grant auction in the Federal Register
describing auction procedures, allowing interested persons 30 days to
comment; and
(2) Conduct a competitive auction for issuing the ROW grant or RUE
grant. The auction process for ROW grants and RUE grants will be
conducted following the same process for leases set forth in Sec. Sec.
585.211 through 585.225.
(b) If you are the successful bidder in an auction, you must pay
the first year's rent, as provided in Sec. 585.316.
Sec. 585.309 When will BOEM issue a noncompetitive ROW grant or RUE
grant?
After completing the review of your grant request, BOEM may offer
you a noncompetitive grant.
(a) If you accept the terms and conditions of the grant, then we
will issue the grant, and you must comply with all terms and conditions
of your grant and all applicable provisions of this part and 30 CFR
part 285.
(b) If you do not accept the terms and conditions, BOEM will not
issue a grant.
Sec. 585.310 What is the effective date of a ROW grant or RUE grant?
Your ROW grant or RUE grant becomes effective on the date
established by BOEM on the ROW grant or RUE grant instrument.
Sec. Sec. 585.311-585.314 [Reserved]
Financial Requirements for ROW Grants and RUE Grants
Sec. 585.315 What deposits are required for a competitive ROW grant
or RUE grant?
(a) You must make a deposit, as required in Sec. 585.501(a),
regardless of whether the auction is a sealed-bid, oral, electronic, or
other auction format. BOEM will specify in the sale notice the official
to whom you must submit the payment, the time by which the official
must receive the payment, and the forms of acceptable payment.
(b) If your high bid is rejected, we will provide a written
statement of reasons.
(c) For all rejected bids, we will refund, without interest, any
money deposited with your bid.
Sec. 585.316 What payments are required for ROW grants or RUE grants?
Before we issue the ROW grant or RUE grant, you must pay:
(a) Any balance on accepted high bids to ONRR, as provided in the
sale notice.
(b) An annual rent for the first year of the grant, as specified in
Sec. 585.508.
Subpart D--Lease and Grant Administration
Sec. Sec. 585.400-585.404 [Reserved]
Designation of Operator
Sec. 585.405 How do I designate an operator?
(a) If you intend to designate an operator who is not the lessee or
grant holder, you must identify the proposed operator in your SAP
(under Sec. 585.610(a)(3)), COP (under Sec. 585.626(b)(2)), or GAP
(under Sec. 585.645(b)(3)), as applicable. If no operator is
designated in a SAP, COP, or GAP, BOEM will deem the lessee or grant
holder to be the operator.
(b) An operator must be designated in any SAP, COP, or GAP if there
is more than one lessee or grant holder for any individual lease or
grant.
(c) Once approved in your plan, the designated operator is
authorized to act on your behalf and required to perform activities
necessary to comply with the OCS Lands Act, the lease or grant, and the
regulations in this part.
(d) You, or your designated operator, must immediately provide BOEM
with a written notification of change of address of the lessee or
operator.
(e) If there is a change in the designated operator, you must
provide written notice to BOEM and identify the new designated operator
within 72 hours on a form approved by BOEM. The lessee(s) or grantee(s)
is the operator and responsible for compliance until BOEM approves
designation of the new operator.
(f) Designation of an operator under any lease or grant issued
under this part does not relieve the lessee or grant holder of its
obligations under this part or its lease or grant.
(g) A designated operator performing activities on the lease must
comply with all regulations governing those activities and may be held
liable or penalized for any noncompliance during the time it was the
operator, notwithstanding its subsequent resignation.
Sec. 585.406 Who is responsible for fulfilling lease and grant
obligations?
(a) When you are not the sole lessee or grantee, you and your co-
lessee(s) or co-grantee(s) are jointly and severally responsible for
fulfilling your obligations under the lease or grant and the provisions
of this part and 30 CFR part 285, unless otherwise provided in these
regulations.
(b) If your designated operator fails to fulfill any of your
obligations under the lease or grant and this part, BOEM may require
you or any or all of your co-lessees or co-grantees to fulfill those
obligations or other operational obligations under the OCS Lands Act,
the lease, grant, or the regulations.
(c) Whenever the regulations in this part require the lessee or
grantee to conduct an activity in a prescribed manner, the lessee or
grantee and operator (if one has been designated) are jointly and
severally responsible for complying with the regulations.
[[Page 6445]]
Sec. 585.407 [Reserved]
Lease or Grant Assignment
Sec. 585.408 May I assign my lease or grant interest?
(a) You may assign all or part of your lease or grant interest,
including record title, subject to BOEM approval under this subpart.
Each instrument that creates or transfers an interest must describe the
entire tract or describe by officially designated subdivisions the
interest you propose to create or transfer.
(b) You may assign a lease or grant interest by submitting one
paper copy and one electronic copy of an assignment application to
BOEM. The assignment application must include:
(1) BOEM-assigned lease or grant number;
(2) A description of the geographic area or undivided interest you
are assigning;
(3) The names of both the assignor and the assignee, if applicable;
(4) The names and telephone numbers of the contacts for both the
assignor and the assignee;
(5) The names, titles, and signatures of the authorizing officials
for both the assignor and the assignee;
(6) A statement that the assignee agrees to comply with and to be
bound by the terms and conditions of the lease or grant;
(7) The qualifications of the assignee to hold a lease or grant
under Sec. 585.107; and
(8) A statement on how the assignee will comply with the financial
assurance requirements of Sec. Sec. 585.515 through 585.537. No
assignment will be approved until the assignee provides the required
financial assurance.
(c) If you submit an application to assign a lease or grant, you
will continue to be responsible for payments that are or become due on
the lease or grant until the date BOEM approves the assignment.
(d) The assignment takes effect on the date BOEM approves your
application.
(e) You do not need to request an assignment for mergers, name
changes, or changes of business form. You must notify BOEM of these
events under Sec. 585.109.
Sec. 585.409 How do I request approval of a lease or grant
assignment?
(a) You must request approval of each assignment on a form approved
by BOEM, and submit originals of each instrument that creates or
transfers ownership of record title or certified copies thereof within
90 days after the last party executes the transfer agreement.
(b) Any assignee will be subject to all the terms and conditions of
your original lease or grant, including the requirement to furnish
financial assurance in the amount required in Sec. Sec. 585.515
through 585.537.
(c) The assignee must submit proof of eligibility and other
qualifications specified in Sec. 585.107.
(d) Persons executing on behalf of the assignor and assignee must
furnish evidence of authority to execute the assignment.
Sec. 585.410 How does an assignment affect the assignor's liability?
As assignor, you are liable for all obligations, monetary and
nonmonetary, that accrued under your lease or grant before BOEM
approves your assignment. Our approval of the assignment does not
relieve you of these accrued obligations. BOEM may require you to bring
the lease or grant into compliance to the extent the obligation accrued
before the effective date of your assignment if your assignee or
subsequent assignees fail to perform any obligation under the lease or
grant.
Sec. 585.411 How does an assignment affect the assignee's liability?
(a) As assignee, you are liable for all lease or grant obligations
that accrue after BOEM approves the assignment. As assignee, you must
comply with all the terms and conditions of the lease or grant and all
applicable regulations, remedy all existing environmental and
operational problems on the lease or grant, and comply with all
decommissioning requirements under 30 CFR part 285, subpart I.
(b) Assignees are bound to comply with each term or condition of
the lease or grant and the regulations in this part and 30 CFR part
285. You are jointly and severally liable for the performance of all
obligations under the lease or grant and under the regulations in this
part and 30 CFR part 285 with each prior and subsequent lessee who held
an interest from the time the obligation accrued until it is satisfied,
unless this part provides otherwise.
Sec. Sec. 585.412-585.414 [Reserved]
Lease or Grant Suspension
Sec. 585.415 What is a lease or grant suspension?
(a) A suspension is an interruption of the term of your lease or
grant that may occur:
(1) As approved by BOEM at your request, as provided in Sec.
585.416; or
(2) As ordered by BOEM, as provided in Sec. 585.417 or by BSEE as
provided in 30 CFR 285.417.
(b) A lease or grant suspension extends the term of your lease or
grant for the length of time the suspension is in effect.
(c) Activities may not be conducted on your lease or grant during
the period of a suspension except as expressly authorized under the
terms of the lease or grant suspension.
Sec. 585.416 How do I request a lease or grant suspension?
You must submit a written request to BOEM that includes the
following information no later than 90 days prior to the expiration of
your appropriate lease or grant term:
(a) The reasons you are requesting suspension of your lease or
grant term, and the length of additional time requested.
(b) An explanation of why the suspension is necessary in order to
ensure full enjoyment of your lease or grant and why it is in the
lessor's or grantor's interest to approve the suspension.
(c) If you do not timely submit a SAP, COP, or GAP, as required,
you may request a suspension to extend the preliminary or site
assessment term of your lease or grant that includes a revised schedule
for submission of a SAP, COP, or GAP, as appropriate.
(d) Any other information BOEM may require.
Sec. 585.417 When may BOEM order a suspension?
BOEM may order a suspension under the following circumstances:
(a) When necessary to comply with judicial decrees prohibiting some
or all activities under your lease; or
(b) When the suspension is necessary for reasons of national
security or defense.
Sec. 585.418 How will BOEM issue a suspension?
(a) BOEM will issue a suspension order orally or in writing.
(b) BOEM will send you a written suspension order as soon as
practicable after issuing an oral suspension order.
(c) The written order will explain the reasons for its issuance and
describe the effect of the suspension order on your lease or grant and
any associated activities. BOEM may authorize certain activities during
the period of the suspension, as set forth in the suspension order.
Sec. 585.419 What are my immediate responsibilities if I receive a
suspension order?
You must comply with the terms of a suspension order upon receipt
and take any action prescribed within the time set forth therein.
[[Page 6446]]
Sec. 585.420 What effect does a suspension order have on my payments?
(a) While BOEM evaluates your request for a suspension under Sec.
585.416, you must continue to fulfill your payment obligation until the
end of the original term of your lease or grant. If our evaluation goes
beyond the end of the original term of your lease or grant, the term of
your lease or grant will be extended for the period of time necessary
for BOEM to complete its evaluation of your request, but you will not
be required to make payments during the time of the extension.
(b) If BOEM approves your request for a suspension, as provided in
Sec. 585.416, we may suspend your payment obligation, as appropriate
for the term that is suspended, depending on the reasons for the
requested suspension.
(c) If BOEM orders a suspension, as provided in Sec. 585.417, your
payments, as appropriate for the term that is suspended, will be waived
during the suspension period.
Sec. 585.421 How long will a lease or grant suspension be in effect?
A lease or grant suspension will be in effect for the period
specified by BOEM.
(a) BOEM will not approve a lease or grant suspension request
pursuant to Sec. 585.416 for a period longer than 2 years.
(b) If BOEM determines that the circumstances giving rise to a
suspension ordered under Sec. 585.417 cannot be resolved within 5
years, the Secretary may initiate cancellation of the lease or grant.
Lease or Grant Cancellation
Sec. 585.422 When can my lease or grant be canceled?
(a) The Secretary will cancel any lease or grant issued under this
part upon proof that it was obtained by fraud or misrepresentation, and
after notice and opportunity to be heard has been afforded to the
lessee or grant holder.
(b) The Secretary may cancel any lease or grant issued under this
part when:
(1) The Secretary determines after notice and opportunity for a
hearing that, with respect to the lease or grant that would be
canceled, the lessee or grantee has failed to comply with any
applicable provision of the OCS Lands Act or these regulations; any
order of the Director; or any term, condition or stipulation contained
in the lease or grant, and that the failure to comply continued 30 days
(or other period BOEM specifies) after you receive notice from BOEM.
The Secretary will mail a notice by registered or certified letter to
the lessee or grantee at its record post office address;
(2) The Secretary determines after notice and opportunity for a
hearing that you have terminated commercial operations under your COP,
as provided in Sec. 585.635, or other approved activities under your
GAP, as provided in Sec. 585.656;
(3) Required by national security or defense; or
(4) The Secretary determines after notice and opportunity for a
hearing that continued activity under the lease or grant:
(i) Would cause serious harm or damage to natural resources; life
(including human and wildlife); property; the marine, coastal, or human
environment; or sites, structures, or objects of historical or
archaeological significance; and
(ii) That the threat of harm or damage would not disappear or
decrease to an acceptable extent within a reasonable period of time;
and
(iii) The advantages of cancellation outweigh the advantages of
continuing the lease or grant in force.
Sec. Sec. 585.423-585.424 [Reserved]
Lease or Grant Renewal
Sec. 585.425 May I obtain a renewal of my lease or grant before it
terminates?
You may request renewal of the operations term of your lease or the
original authorized term of your grant. BOEM, at its discretion, may
approve a renewal request to conduct substantially similar activities
as were originally authorized under the lease or grant. BOEM will not
approve a renewal request that involves development of a type of
renewable energy not originally authorized in the lease or grant. BOEM
may revise or adjust payment terms of the original lease, as a
condition of lease renewal.
Sec. 585.426 When must I submit my request for renewal?
(a) You must request a renewal from BOEM:
(1) No later than 180 days before the termination date of your
limited lease or grant.
(2) No later than 2 years before the termination date of the
operations term of your commercial lease.
(b) You must submit to BOEM all information we request pertaining
to your lease or grant and your renewal request.
Sec. 585.427 How long is a renewal?
BOEM will set the term of a renewal at the time of renewal on a
case-by-case basis.
(a) For commercial leases, a renewal term will not exceed the
original operations term unless a longer term is negotiated by the
applicable parties.
(b) For limited leases, a renewal term will not exceed the original
operations term.
(c) For RUE and ROW grants, a renewal will continue for as long as
the associated activities are conducted and facilities properly
maintained and used for the purpose for which the grant was made,
unless otherwise expressly stated.
Sec. 585.428 What effect does applying for a renewal have on my
activities and payments?
If you timely request a renewal:
(a) You may continue to conduct activities approved under your
lease or grant under the original terms and conditions for as long as
your request is pending decision by BOEM.
(b) You may request a suspension of your lease or grant, as
provided in Sec. 585.416, while we consider your request.
(c) For the period BOEM considers your request for renewal, you
must continue to make all payments in accordance with the original
terms and conditions of your lease or grant.
Sec. 585.429 What criteria will BOEM consider in deciding whether to
renew a lease or grant?
BOEM will consider the following criteria in deciding whether to
renew a lease or grant:
(a) Design life of existing technology.
(b) Availability and feasibility of new technology.
(c) Environmental and safety record of the lessee or grantee.
(d) Operational and financial compliance record of the lessee or
grantee.
(e) Competitive interest and fair return considerations.
(f) Effects of the lease or grant on generation capacity and
reliability within the regional electrical distribution and
transmission system.
Sec. Sec. 585.430-585.431 [Reserved]
Lease or Grant Termination
Sec. 585.432 When does my lease or grant terminate?
Your lease or grant terminates on whichever of the following dates
occurs first:
(a) The expiration of the applicable term of your lease or grant,
unless your term is automatically extended under Sec. 585.235 or Sec.
585.236, a request for renewal of your lease or grant is pending a
decision by BOEM, or your lease or grant is suspended or renewed as
provided in this subpart;
[[Page 6447]]
(b) A cancellation, as set forth in Sec. 585.422; or
(c) Relinquishment, as set forth in Sec. 585.435.
Sec. 585.433 What must I do after my lease or grant terminates?
(a) After your lease or grant terminates, you must:
(1) Make all payments due, including any accrued rentals and
deferred bonuses; and
(2) Perform any other outstanding obligations under the lease or
grant within 6 months.
(b) Within 2 years following termination of a lease or grant, you
must remove or dispose of all facilities, installations, and other
devices permanently or temporarily attached to the seabed on the OCS in
accordance with a plan approved by BOEM under subpart F of this part or
an application approved by BSEE under 30 CFR part 285, subpart I.
(c) If you fail to comply with your approved decommissioning plan
or application:
(1) BOEM may call for the forfeiture of your financial assurance;
and
(2) You remain liable for removal or disposal costs and responsible
for accidents or damages that might result from such failure.
Sec. 585.434 When may BOEM authorize facilities to remain in place
following termination of a lease or grant?
(a) In your decommissioning application that you submit to BSEE in
accordance with 30 CFR 285.902, you may request that certain facilities
authorized in your lease or grant remain in place for activities
authorized in this part, elsewhere in this subchapter, or by other
applicable Federal laws.
(b) BOEM may approve such requests on a case-by-case basis
considering the following:
(1) Potential impacts to the marine environment;
(2) Competing uses of the OCS;
(3) Impacts on marine safety and National defense;
(4) Maintenance of adequate financial assurance; and
(5) Other factors determined by the Director.
(c) Except as provided in paragraph (d) of this section, if BOEM
authorizes facilities to remain in place, the former lessee or grantee
under this part remains jointly and severally liable for
decommissioning the facility unless satisfactory evidence is provided
to BOEM showing that another party has assumed that responsibility and
has secured adequate financial assurances.
(d) In your decommissioning application, you may request that
certain facilities authorized in your lease or grant be converted to an
artificial reef or otherwise toppled in place. BOEM will evaluate all
such requests.
Lease or Grant Relinquishment
Sec. 585.435 How can I relinquish a lease or a grant or parts of a
lease or grant?
(a) You may surrender the lease or grant, or an officially
designated subdivision thereof, by filing one paper copy and one
electronic copy of a relinquishment application with BOEM. A
relinquishment takes effect on the date we approve your application,
subject to the continued obligation of the lessee and the surety to:
(1) Make all payments due on the lease or grant, including any
accrued rent and deferred bonuses;
(2) Decommission all facilities on the lease or grant to be
relinquished to the satisfaction of BSEE; and
(3) Perform any other outstanding obligations under the lease or
grant.
(b) Your relinquishment application must include:
(1) Name;
(2) Contact name;
(3) Telephone number;
(4) Fax number;
(5) Email address;
(6) BOEM-assigned lease or grant number, and, if applicable, the
name of any facility;
(7) A description of the geographic area you are relinquishing;
(8) The name, title, and signature of your authorizing official
(the name, title, and signature must match exactly the name, title, and
signature in BOEM qualification records); and
(9) A statement that you will adhere to the requirements of 30 CFR
part 285, subpart I.
(c) If you have submitted an application to relinquish a lease or
grant, you will be billed for any outstanding payments that are due
before the relinquishment takes effect, as provided in paragraph (a) of
this section.
Lease or Grant Contraction
Sec. 585.436 Can BOEM require lease or grant contraction?
At an interval no more frequent than every 5 years, BOEM may review
your lease or grant area to determine whether the lease or grant area
is larger than needed to develop the project and manage activities in a
manner that is consistent with the provisions of this part. BOEM will
notify you of our proposal to contract the lease or grant area.
(a) BOEM will give you the opportunity to present orally or in
writing information demonstrating that you need the area in question to
manage lease or grant activities consistent with these regulations.
(b) Prior to taking action to contract the lease or grant area,
BOEM will issue a decision addressing your contentions that the area is
needed.
(c) You may appeal this decision under Sec. 585.118.
Subpart E--Payments and Financial Assurance Requirements
Payments
Sec. 585.500 How do I make payments under this part?
(a) For acquisition fees or the initial 12 months' rent paid for
the preliminary term of your lease, you must make your electronic
payments through the Fees for Services page on the BOEM website at
https://www.boem.gov, and you must include one copy of the Pay.gov
confirmation receipt page with your unsolicited request.
(b) For all other required rent payments and for operating fee
payments, you must make your payments as required in 30 CFR 1218.51.
(c) This table summarizes payments you must make for leases and
grants, unless otherwise specified in the Final Sale Notice:
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Payment Amount Due date Payment mechanism Section reference
--------------------------------------------------------------------------------------------------------------------------------------------------------
Initial payments for leases
--------------------------------------------------------------------------------------------------------------------------------------------------------
(1) If your lease is issued Bid Deposit............. As set in Final Sale With bid............. Pay.Gov............ Sec. 585.501.
competitively. Notice/depends on
bid.
Bonus Balance........... ..................... Lease issuance....... 30 CFR 1218.51..... .......................
(2) If your lease is issued non- Acquisition Fee......... $0.25 per acre, With application..... Pay.gov............ Sec. 585.502.
competitively. unless otherwise set
by the Director.
[[Page 6448]]
(3) All leases.................... Initial Rent............ $3 per acre per year. 45 days after lease Pay.gov............ Sec. 585.503.
issuance.
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Subsequent payments for leases and project easements
--------------------------------------------------------------------------------------------------------------------------------------------------------
(4) All leases.................... Subsequent Rent......... $3 per acre per year. Annually............. 30 CFR 1218.51..... Sec. Sec. 585.503
and 585.504.
(5) If you have a project easement Rent.................... Greater of $5 per When operations term 30 CFR 1218.51..... Sec. 585.507.
acre per year or for associated lease
$450 per year. starts, then
annually.
(6) If your commercial lease is Operating Fee........... Determined by the Annually............. 30 CFR 1218.51..... Sec. 585.506.
producing. formula in Sec.
585.506.
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Payments for ROW grants and RUE grants \1\
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(7) All ROW grants and RUE grants. Initial Rent............ $70 per statute mile, Grant Issuance....... Pay.gov............ Sec. 585.508.
and the greater of
$5 per acre per year
or $450 per year.
Subsequent Rent......... ..................... Annually or in 5-year 30 CFR 1218.51..... .......................
batches.
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\1\ There is no acquisition fee for ROW grants or RUE grants.
Sec. 585.501 What deposits must I submit for a competitively issued
lease, ROW grant, or RUE grant?
(a) For a competitive lease or grant that we offer through sealed
bidding, you must submit a deposit of 20 percent of the total bid
amount, unless some other amount is specified in the Final Sale Notice.
(b) For a competitive lease that we offer through ascending
bidding, you must submit a deposit as established in the Final Sale
Notice.
(c) You must pay any balances on accepted high bids in accordance
with the Final Sale Notice, this part, and your lease or grant
instrument.
(d) The deposit will be forfeited for any successful bidder who
fails to execute the lease within the prescribed time, or otherwise
does not comply with the regulations concerning acquisition of a lease
or grant or stipulations in the Final Sale Notice.
Sec. 585.502 What initial payment requirements must I meet to obtain
a noncompetitive lease, ROW grant, or RUE grant?
When requesting a noncompetitive lease, you must meet the initial
payment (acquisition fee) requirements of this section, unless
specified otherwise in your lease instrument. No initial payment is
required when requesting noncompetitive ROW grants and RUE grants.
(a) If you request a noncompetitive lease, you must submit an
acquisition fee of $0.25 per acre, unless otherwise set by the
Director, as provided in Sec. 585.500.
(b) If BOEM determines there is no competitive interest, we will
then:
(1) Retain your acquisition fee if we issue you a lease; or
(2) Refund your acquisition fee, without interest, if we do not
issue your requested lease.
(c) If we determine that there is a competitive interest in an area
you requested, then we will proceed with a competitive lease sale
process provided for in subpart B of this part, and we will:
(1) Apply your acquisition fee to the required deposit for your bid
amount if you submit a bid;
(2) Apply your acquisition fee to your bonus bid if you acquire the
lease; or
(3) Retain your acquisition fee if you do not bid for or acquire
the lease.
Sec. 585.503 What are the rent and operating fee requirements for a
commercial lease?
(a) The rent for a commercial lease is $3 per acre per year, unless
otherwise established in the Final Sale Notice or lease.
(1) You must pay ONRR the initial 12 months' rent 45 days after you
receive the lease copies from BOEM in accordance with the requirements
provided in Sec. 585.500(a).
(2) You must pay ONRR, under the regulations at 30 CFR part 1218,
rent at the beginning of each subsequent 1-year period in accordance
with the regulations at 30 CFR 1218.51 for the entire lease area until
the facility begins to generate commercially, as specified in Sec.
585.506 or as otherwise specified in the Final Sale Notice or lease
instrument:
(i) For leases issued competitively, BOEM will specify in the Final
Sale Notice and lease any adjustment to the rent fee to take effect
during the operations term and prior to the commercial generation.
(ii) For leases issued noncompetitively, BOEM will specify in the
lease any adjustment to the rent fee to take effect during the
operations term and prior to the commercial generation.
(3) You must pay ONRR, under the regulations at 30 CFR part 1218,
the rent for a project easement in addition to the lease rent, as
provided in Sec. 585.507. You must commence rent payments for your
project easement upon our approval of your COP or GAP.
(b) After your lease begins commercial generation of electricity or
on the date specified by BOEM, you must pay operating fees in the
amount specified in Sec. 585.506:
(1) For leases issued competitively, BOEM will specify in the Final
Sale Notice and lease the date when operating fees commence; and
(2) For leases issued noncompetitively, BOEM will specify in the
lease the date when operating fee commences.
Sec. 585.504 How are my payments affected if I develop my lease in
phases?
If you develop your commercial lease in phases, as approved by us
in your COP under Sec. 585.238, you must pay ONRR, under the
regulations at 30 CFR part 1218:
(a) Rent on the portion of the lease that is not authorized for
commercial operations.
(b) Operating fees on the portion of the lease that is authorized
for commercial operations, in the amount specified in Sec. 585.506 and
as described in Sec. 585.503(b).
(c) Rent for a project easement in addition to lease rent, as
provided in Sec. 585.507. You must commence rent payments for your
project easement upon our approval of your COP.
Sec. 585.505 What are the rent and operating fee requirements for a
limited lease?
(a) The rent for a limited lease is $3 per acre per year, unless
otherwise established in the Final Sale Notice and your lease
instrument.
(b) You must pay ONRR the initial 12 months' rent 45 days after you
receive the lease copies from BOEM in accordance with the requirements
provided in Sec. 585.500(a).
[[Page 6449]]
(c) You must pay ONRR, under the regulations at 30 CFR part 1218,
rent at the beginning of each subsequent 1-year period on the entire
lease area for the duration of your operations term in accordance with
the regulations at 30 CFR 1218.51.
(d) BOEM will not charge an operating fee for the authorized sale
of power from a limited lease.
Sec. 585.506 What operating fees must I pay on a commercial lease?
If you are generating electricity, you must pay ONRR, under the
regulations at 30 CFR part 1218, operating fees on your commercial
lease when you begin commercial generation, as described in Sec.
585.503.
(a) BOEM will determine the annual operating fee for activities
relating to the generation of electricity on your lease based on the
following formula,
F = M * H * c * P * r,
Where:
(1) F is the dollar amount of the annual operating fee;
(2) M is the nameplate capacity expressed in megawatts;
(3) H is the number of hours in a year, equal to 8,760, used to
calculate an annual payment;
(4) c is the ``capacity factor'' representing the anticipated
efficiency of the facility's operation expressed as a decimal
between zero and one;
(5) P is a measure of the annual average wholesale electric power
price expressed in dollars per megawatt hour, as provided in
paragraph (c)(2) of this section; and
(6) r is the operating fee rate expressed as a decimal between zero
and one.
(b) The annual operating fee formula relating to the value of
annual electricity generation is restated as:
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M (nameplate H (hours per c (capacity r (operating fee
F (annual operating fee) = capacity) * year) * factor) * P (power price) * rate)
--------------------------------------------------------------------------------------------------------------------------------------------------------
--------------------------------------------------------------------------------------------------------------------------------------------------------
(c) BOEM will specify operating fee parameters in the Final Sale
Notice for commercial leases issued competitively and in the lease for
those issued noncompetitively.
(1) Unless BOEM specifies otherwise, in the operating fee rate,
``r'' is 0.02 for each year the operating fee applies when you begin
commercial generation of electricity. We may apply a different fee rate
for new projects (i.e., a new generation based on new technology) after
considering factors such as program objectives, state of the industry,
project type, and project potential. Also, we may agree to reduce or
waive the fee rate under Sec. 585.510.
(2) The power price ``P,'' for each year when the operating fee
applies, will be determined annually. The process by which the power
price will be determined will be specified in the Final Sale Notice
and/or in the lease. BOEM:
(i) Will use the most recent annual average wholesale power price
in the State in which a project's transmission cables make landfall, as
published by the DOE, Energy Information Administration (EIA), or other
publicly available wholesale power price indices; and
(ii) May adjust the published average wholesale power price to
reflect documented variations by State or within a region and recent
market conditions.
(3) BOEM will select the capacity factor ``c'' based upon
applicable analogs drawn from present and future domestic and foreign
projects that operate in comparable conditions and on comparable
scales.
(i) Upon the completion of the first year of commercial operations
on the lease, BOEM may adjust the capacity factor as necessary (to
accurately represent a comparison of actual production over a given
period of time with the amount of power a facility would have produced
if it had run at full capacity) in a subsequent year.
(ii) After the first adjustment, BOEM may adjust the capacity
factor (to accurately represent a comparison of actual generation over
a given period of time with the amount of power a facility would have
generated if it had run at full capacity) no earlier than in 5-year
intervals from the most recent year that BOEM adjusts the capacity
factor.
(iii) The process by which BOEM will adjust the capacity factor,
including any calculations (incorporating an average capacity factor
reflecting actual operating experience), will be specified in the
lease. The operator or lessee may request review and adjustment of the
capacity factor under Sec. 585.510.
(4) Ten days after the anniversary date of when you began to
commercially generate electricity, you must submit to BOEM
documentation of the gross annual generation of electricity produced by
the generating facility on the lease. You must use the same information
collection form as authorized by the EIA for this information.
(5) For the nameplate capacity ``M,'' BOEM will use the total
installed capacity of the equipment you install, as specified in your
approved COP.
(d) You must submit all operating fee payments to ONRR in
accordance with the provisions under 30 CFR 1218.51.
(e) BOEM will establish the operating fee in the Final Sale Notice
or in the lease on a case-by-case basis for:
(1) Activities that do not relate to the generation of electricity
(e.g., hydrogen production), and
(2) Leases issued for hydrokinetic activities requiring a FERC
license.
Sec. 585.507 What rent payments must I pay on a project easement?
(a) You must pay ONRR, under the regulations at 30 CFR part 1218, a
rent fee for your project easement of $5 per acre, subject to a minimum
of $450 per year, unless specified otherwise in the Final Sale Notice
or lease:
(1) The size of the project easement area for a cable or a pipeline
is the full length of the corridor and a width of 200 feet (61 meters),
centered on the cable or pipeline; and
(2) The size of a project easement area for an accessory platform
is limited to the aerial extent of anchor chains and other facilities
and devices associated with the accessory.
(b) You must commence rent payments for your project easement upon
our approval of your COP or GAP:
(1) You must make the first rent payment when the operations term
begins, as provided in Sec. 585.500;
(2) You must submit all subsequent rent payments in accordance with
the regulations at 30 CFR 1218.51; and
(3) You must continue to pay annual rent for your project easement
until your lease is terminated.
Sec. 585.508 What rent payments must I pay on ROW grants or RUE
grants associated with renewable energy projects?
(a) For each ROW grant BOEM approves under subpart C of this part,
you must pay ONRR, under the regulations at 30 CFR part 1218, an annual
rent as follows, unless specified otherwise in the Final Sale Notice:
(1) A fee of $70 for each nautical mile or part of a nautical mile
of the OCS that your ROW crosses; and
(2) An additional $5 per acre, subject to a minimum of $450 for use
of the entire affected area, if you hold a ROW grant that includes a
site outside the
[[Page 6450]]
corridor of a 200-foot width (61 meters), centered on the cable or
pipeline. The affected area includes the areal extent of anchor chains,
risers, and other devices associated with a site outside the corridor.
(b) For each RUE grant BOEM approves under subpart C of this part,
you must pay ONRR, under the regulations at 30 CFR part 1218, a rent
of:
(1) $5 per acre per year; or
(2) A minimum of $450 per year.
(c) You must make the rent payments required by paragraphs (a) and
(b) of this section on:
(1) An annual basis;
(2) For a 5-year period; or
(3) For multiples of 5 years.
(d) You must make the first annual rent payment upon approval of
your ROW grant or RUE grant request, as provided in Sec. 585.500, and
all subsequent rent payments to ONRR in accordance with the regulations
at 30 CFR 1218.51.
Sec. 585.509 Who is responsible for submitting lease or grant
payments to ONRR?
(a) For each lease, ROW grant, or RUE grant issued under this part,
you must identify one person who is responsible for all payments due
and payable under the provisions of the lease or grant. The responsible
person identified is designated as the payor, and you must document
acceptance of such responsibilities, as provided in 30 CFR 1218.52.
(b) All payors must submit payments and maintain auditable records
in accordance with guidance we issue or any applicable regulations in
subchapter A of this chapter. In addition, the lessee or grant holder
must also maintain such auditable records.
Sec. 585.510 May BOEM reduce or waive my lease or grant payments?
(a) The BOEM Director may reduce or waive the rent or operating fee
or components of the operating fee, such as the fee rate or capacity
factor, when the Director determines that it is necessary to encourage
continued or additional activities.
(b) When requesting a reduction or waiver, you must submit an
application to us that includes all of the following:
(1) The number of the lease, ROW grant, or RUE grant involved;
(2) Name of each lessee or grant holder of record;
(3) Name of each operator;
(4) A demonstration that:
(i) Continued activities would be uneconomic without the requested
reduction or waiver, or
(ii) A reduction or waiver is necessary to encourage additional
activities; and
(5) Any other information required by the Director.
(c) No more than 6 years of your operations term will be subject to
a full waiver of the operating fee.
Sec. Sec. 585.511-585.514 [Reserved]
Financial Assurance Requirements for Commercial Leases
Sec. 585.515 What financial assurance must I provide when I obtain my
commercial lease?
(a) Before BOEM will issue your commercial lease or approve an
assignment of an existing commercial lease, you (or, for an assignment,
the proposed assignee) must guarantee compliance with all terms and
conditions of the lease by providing either:
(1) A $100,000 minimum, lease-specific bond; or
(2) Another approved financial assurance instrument guaranteeing
performance up to $100,000, as specified in Sec. Sec. 585.526 through
585.529.
(b) You meet the financial assurance requirements under this
subpart if your designated lease operator provides a $100,000 minimum,
lease-specific bond or other approved financial assurance that
guarantees compliance with all terms and conditions of the lease.
(1) The dollar amount of the minimum, lease-specific financial
assurance in paragraphs (a)(1) and (b) of this section will be adjusted
to reflect changes in the Consumer Price Index-All Urban Consumers
(CPI-U) or a substantially equivalent index if the CPI-U is
discontinued; and
(2) The first CPI-U-based adjustment can be made no earlier than
the 5-year anniversary of the adoption of this rule. Subsequent CPI-U-
based adjustments may be made every 5 years thereafter.
Sec. 585.516 What are the financial assurance requirements for each
stage of my commercial lease?
(a) The basic financial assurance requirements for each stage of
your commercial lease are as follows:
------------------------------------------------------------------------
Before BOEM will . . . You must provide . . .
------------------------------------------------------------------------
(1) Issue a commercial lease or approve A $100,000 minimum, lease-
an assignment of an existing specific financial assurance.
commercial lease.
(2) Approve your SAP................... A supplemental bond or other
financial assurance, in an
amount determined by BOEM, if
upon reviewing your SAP, BOEM
determines that a supplemental
bond is required in addition
to your minimum lease-specific
bond, due to the complexity,
number, and location of any
facilities involved in your
site assessment activities.
(3) Approve your COP................... A supplemental bond or other
financial assurance, in an
amount determined by BOEM
based on the complexity,
number, and location of all
facilities involved in your
planned activities and
commercial operation. The
supplemental financial
assurance requirement is in
addition to your lease-
specific bond and, if
applicable, the previous
supplement associated with SAP
approval.
(4) Allow you to install facilities A decommissioning bond or other
approved in your COP. financial assurance, in an
amount determined by BOEM
based on anticipated
decommissioning costs. BOEM
will allow you to provide your
financial assurance for
decommissioning in accordance
with the number of facilities
installed or being installed.
BOEM must approve the schedule
for providing the appropriate
financial assurance coverage.
------------------------------------------------------------------------
(b) Each bond or other financial assurance must guarantee
compliance with all terms and conditions of the lease. You may provide
a new bond or increase the amount of your existing bond, to satisfy any
additional financial assurance requirements.
(c) For hydrokinetic commercial leases, supplemental financial
assurance may be required in an amount
[[Page 6451]]
determined by BOEM before FERC issues a license.
Sec. 585.517 How will BOEM determine the amounts of the supplemental
and decommissioning financial assurance requirements associated with
commercial leases?
(a) BOEM will base the determination for the amounts of the SAP,
COP, and decommissioning financial assurance requirements on estimates
of the cost to meet all accrued lease obligations.
(b) We determine the amount of the supplemental and decommissioning
financial assurance requirements on a case-by-case basis. The amount of
the financial assurance must be no less than the amount required to
meet all lease obligations, including:
(1) The projected amount of rent and other payments due the
Government over the next 12 months;
(2) Any past due rent and other payments;
(3) Other monetary obligations; and
(4) The estimated cost of facility decommissioning, as required by
30 CFR part 285, subpart I.
(c) If your cumulative potential obligations and liabilities
increase or decrease, we may adjust the amount of supplemental or the
decommissioning financial assurance.
(1) If we propose adjusting your financial assurance amount, we
will notify you of the proposed adjustment and give you an opportunity
to comment; and
(2) We may approve a reduced financial assurance amount if you
request it and if the reduced amount that you request continues to be
greater than the sum of:
(i) The projected amount of rent and other payments due the
Government over the next 12 months;
(ii) Any past due rent and other payments;
(iii) Other monetary obligations; and
(iv) The estimated cost of facility decommissioning.
Sec. Sec. 585.518-585.519 [Reserved]
Financial Assurance for Limited Leases, ROW Grants, and RUE Grants
Sec. 585.520 What financial assurance must I provide when I obtain my
limited lease, ROW grant, or RUE grant?
(a) Before BOEM will issue your limited lease, ROW grant, or RUE
grant, you or a proposed assignee must guarantee compliance with all
terms and conditions of the lease or grant by providing either:
(1) A $300,000 minimum, lease- or grant-specific bond; or
(2) Another approved financial assurance instrument of such minimum
level as specified in Sec. Sec. 585.526 through 585.529.
(b) You meet the financial assurance requirements under this
subpart if your designated lease or grant operator provides a minimum
limited lease-specific or grant-specific bond in an amount sufficient
to guarantee compliance with all terms and conditions of the limited
lease or grant.
(1) The dollar amount of the minimum, lease- or grant-specific
financial assurance in paragraph (a)(1) of this section will be
adjusted to reflect changes in the CPI-U or a substantially equivalent
index if the CPI-U is discontinued; and
(2) The first CPI-U-based adjustment can be made no earlier than
the 5-year anniversary of the adoption of this rule. Subsequent CPI-U-
based adjustments may be made every 5 years thereafter.
Sec. 585.521 Do my financial assurance requirements change as
activities progress on my limited lease or grant?
(a) BOEM may require you to increase the level of your financial
assurance as activities progress on your limited lease or grant. We
will base the determination for the amount of financial assurance
requirements on our estimate of the cost to meet all accrued lease or
grant obligations, including:
(1) The projected amount of rent and other payments due the
Government over the next 12 months;
(2) Any past due rent and other payments;
(3) Other monetary obligations; and
(4) The estimated cost of facility decommissioning.
(b) You may satisfy the requirement for increased financial
assurance levels for the limited lease or grant by increasing the
amount of your existing bond or replacing your existing bond.
(c) BOEM will authorize you to establish a separate decommissioning
bond or other financial assurance for your limited lease or grant.
(1) The separate decommissioning bond or other financial assurance
instrument must meet the requirements specified in Sec. Sec. 585.525
through 585.529.
(2) BOEM will allow you to provide your financial assurance for
decommissioning in accordance with the number of facilities installed
or being installed. BOEM must approve the schedule for providing the
appropriate financial assurance coverage.
Sec. Sec. 585.522-585.524 [Reserved]
Requirements for Financial Assurance Instruments
Sec. 585.525 What general requirements must a financial assurance
instrument meet?
(a) Any bond or other acceptable financial assurance instrument
that you provide must:
(1) Be payable to BOEM upon demand; and
(2) Guarantee compliance of all lessees, grant holders, operators,
and payors with all terms and conditions of the lease or grant, any
subsequent approvals and authorizations, and all applicable
regulations.
(b) All bonds and other forms of financial assurance must be on or
in a form approved by BOEM. You may submit this on an approved form
that you have reproduced or generated by use of a computer. If the
document you submit omits any terms and conditions that are included on
the BOEM-approved form, your bond is deemed to contain the omitted
terms and conditions.
(c) Surety bonds must be issued by an approved surety listed in the
current Treasury Circular 570, as required by 31 CFR 223.16. You may
obtain a copy of Circular 570 from the Treasury website at https://www.fms.treas.gov/c570/.
(d) Your surety bond cannot exceed the underwriting limit listed in
the current Treasury Circular 570, except as permitted therein.
(e) You and a qualified surety must execute your bond. When the
surety is a corporation, an authorized corporate officer must sign the
bond and attest to it over the corporate seal.
(f) You may not terminate the period of liability of your bond or
cancel your bond, except as provided in this subpart. Bonds must
continue in full force and effect even though an event has occurred
that could diminish or terminate a surety's obligation under State law.
(g) Your surety must notify you and BOEM within 5 business days
after:
(1) It initiates any judicial or administrative proceeding alleging
its insolvency or bankruptcy; or
(2) The Treasury decertifies the surety.
Sec. 585.526 What instruments other than a surety bond may I use to
meet the financial assurance requirement?
(a) You may use other types of security instruments, if BOEM
determines that such security protects BOEM to the same extent as the
surety bond. BOEM will consider pledges of the following:
(1) U.S. Department of Treasury securities identified in 31 CFR
part 225;
[[Page 6452]]
(2) Cash in an amount equal to the required dollar amount of the
financial assurance, to be deposited and maintained in a Federal
depository account of the U.S. Treasury by BOEM;
(3) Certificates of deposit or savings accounts in a bank or
financial institution organized or authorized to transact business in
the United States with:
(i) Minimum net assets of $500,000,000; and
(ii) Minimum Bankrate.com Safe & Sound rating of 3 Stars, and
Capitalization, Assets, Equity and Liquidity (CAEL) rating of 3 or
less;
(4) Negotiable U.S. Government, State, and municipal securities or
bonds having a market value of not less than the required dollar amount
of the financial assurance and maintained in a Securities Investors
Protection Corporation insured trust account by a licensed securities
brokerage firm for the benefit of BOEM;
(5) Investment-grade rated securities having a Standard and Poor's
rating of AAA or an equivalent rating from a nationally recognized
securities rating service having a market value of not less than the
required dollar amount of the financial assurance and maintained in a
Securities Investors Protection Corporation insured trust account by a
licensed securities brokerage firm for the benefit of BOEM; and
(6) Insurance, if its form and function is such that the funding or
enforceable pledges of funding are used to guarantee performance of
regulatory obligations in the event of default on such obligations by
the lessee. Insurance must have an A.M. Best rating of ``superior'' or
an equivalent rating from a nationally recognized insurance rating
service.
(b) If you use a Treasury security:
(1) You must post 115 percent of your financial assurance amount;
(2) You must monitor the collateral value of your security. If the
collateral value of your security as determined in accordance with the
31 CFR part 203 Collateral Margins Table (which can be found at https://www.treasurydirect.gov) falls below the required level of coverage, you
must pledge additional security to provide 115 percent of the required
amount; and
(3) You must include with your pledge authority for us to sell the
security and use the proceeds if we determine that you have failed to
comply with any of the terms and conditions of your lease or grant, any
subsequent approval or authorization, or applicable regulations.
(c) If you use the instruments described in paragraph (a)(4) or (5)
of this section, you must provide BOEM by the end of each calendar year
a certified statement describing the nature and market value of the
instruments maintained in that account, and including any current
statements or reports furnished by the brokerage firm to the lessee
concerning the asset value of the account.
Sec. 585.527 May I demonstrate financial strength and reliability to
meet the financial assurance requirement for lease or grant activities?
BOEM may allow you to use your financial strength and reliability
to meet financial assurance requirements. We will make this
determination based on audited financial statements, business
stability, reliability, and compliance with regulations.
(a) You must provide the following information if you want to
demonstrate financial strength and reliability to meet your financial
assurance requirements:
(1) Audited financial statements (including auditor's certificate,
balance sheet, and profit and loss sheet) that show you have financial
capacity substantially in excess of existing and anticipated lease and
other obligations;
(2) Evidence that shows business stability based on 5 years of
continuous operation and generation of renewable energy on the OCS or
onshore;
(3) Evidence that shows reliability in meeting obligations based on
credit ratings or trade references, including names and addresses of
other lessees, contractors, and suppliers with whom you have dealt; and
(4) Evidence that shows a record of compliance with laws,
regulations, and lease, ROW, or RUE terms.
(b) If we approve your request to use your financial strength and
reliability to meet your financial assurance requirements, you must
submit annual updates to the information required by paragraph (a) of
this section. You must submit this information no later than March 31
of each year.
(c) If the annual updates to the information required by paragraph
(a) of this section do not continue to demonstrate financial strength
and reliability or BOEM has reason to believe that you are unable to
meet the financial assurance requirements of this section, after notice
and opportunity for a hearing, BOEM will terminate your ability to use
financial strength and reliability for financial assurance and require
you to provide another type of financial assurance. You must provide
this new financial assurance instrument within 90 days after we
terminate your use of financial strength and reliability.
Sec. 585.528 May I use a third-party guaranty to meet the financial
assurance requirement for lease or grant activities?
(a) You may use a third-party guaranty if the guarantor meets the
criteria prescribed in paragraph (b) of this section and submits an
agreement meeting the criteria prescribed in paragraph (c) of this
section. The agreement must guarantee compliance with the obligations
of all lessees and operators and grant holders.
(b) BOEM will consider the following factors in deciding whether to
accept an agreement:
(1) The length of time that your guarantor has been in continuous
operation as a business entity. You may exclude periods of interruption
that are beyond the guarantor's control by demonstrating, to the
satisfaction of the Director, that the interruptions do not affect the
likelihood of your guarantor remaining in business during the SAP, COP,
and decommissioning stages of activities covered by the indemnity
agreement.
(2) Financial information available in the public record or
submitted by your guarantor in sufficient detail to show us that your
guarantor meets the criterion stated in paragraph (b)(4) of this
section. Such detail includes:
(i) The current rating for your guarantor's most recent bond
issuance by a generally recognized bond rating service such as Moody's
Investor Service or Standard and Poor's Corporation;
(ii) Your guarantor's net worth, taking into account liabilities
for compliance with all terms and conditions of your lease,
regulations, and other guarantees;
(iii) Your guarantor's ratio of current assets to current
liabilities, taking into account liabilities for compliance with all
terms and conditions of your lease, regulations, and other guarantees;
and
(iv) Your guarantor's unencumbered domestic fixed assets.
(3) If the information in paragraph (b)(2) of this section is not
publicly available, your guarantor must submit the information in the
following table, to be updated annually within 90 days of the end of
the fiscal year (FY) or as otherwise prescribed.
[[Page 6453]]
------------------------------------------------------------------------
Your guarantor must submit . . . That . . .
------------------------------------------------------------------------
(i) Financial statements for the most Include a report by an
recently completed FY. independent certified public
accountant containing the
accountant's audit or review
opinion of the statements. The
report must be prepared in
conformance with generally
accepted accounting principles
and contain no adverse
opinion.
(ii) Financial statement for completed Your guarantor's financial
quarter in the current FY. officer certifies to be
correct.
(iii) Additional information related to Your guarantor's financial
bonds, if requested by the Director. officer certifies to be
correct.
------------------------------------------------------------------------
(4) Your guarantor's total outstanding and proposed guarantees must
not exceed 25 percent of its unencumbered domestic net worth.
(c) Your guarantor must submit an agreement executed by the
guarantor and all parties bound by the agreement. All parties are bound
jointly and severally and must meet the qualifications set forth in
Sec. 585.107.
(1) When any party is a corporation, two corporate officers
authorized to execute the guaranty agreement on behalf of the
corporation must sign the agreement.
(2) When any party is a partnership, joint venture, or syndicate,
the guaranty agreement must bind each party who has a beneficial
interest in your guarantor and provide that, upon BOEM demand under
your guaranty, each party is jointly and severally liable for
compliance with all terms and conditions of your lease(s) or grant(s)
covered by the agreement.
(3) When forfeiture of the guaranty is called for, the agreement
must provide that your guarantor will either bring your lease(s) or
grant(s) into compliance or provide, within 7 days, sufficient funds to
permit BOEM to complete corrective action.
(4) The guaranty agreement must contain a confession of judgment,
providing that, if we determine that you are, or your operator or
operating rights owner is, in default, the guarantor must not challenge
the determination and must remedy the default.
(5) If you fail, or your operator or operating rights owner fails,
to comply with any law, term, or regulation, your guarantor must either
take corrective action or provide, within 7 days or other agreed upon
time period, sufficient funds for BOEM to complete corrective action.
Such compliance must not reduce your guarantor's liability.
(6) If your guarantor wants to terminate the period of liability,
your guarantor must notify you and us at least 90 days before the
proposed termination date, obtain our approval for termination of all
or a specified portion of the guarantee for liabilities arising after
that date, and remain liable for all your work performed during the
period the agreement is in effect.
(7) Each guaranty submitted pursuant to this section is deemed to
contain all the above terms, even if they are not actually in the
agreement.
(d) Before the termination of your guaranty, you must provide an
acceptable replacement in the form of a bond or other security.
Sec. 585.529 Can I use a lease- or grant-specific decommissioning
account to meet the financial assurance requirements related to
decommissioning?
(a) In lieu of a surety bond, BOEM may authorize you to establish a
lease-, ROW grant-, or RUE grant-specific decommissioning account in a
federally insured institution. The funds may not be withdrawn from the
account without our written approval.
(1) The funds must be payable to BOEM and pledged to meet your
lease or grant decommissioning and site clearance obligations; and
(2) You must fully fund the account within the time BOEM prescribes
to cover all costs of decommissioning including site clearance. BOEM
will estimate the cost of decommissioning, including site clearance.
(b) Any interest paid on the account will be treated as account
funds unless we authorize in writing that any interest be paid to the
depositor.
(c) We may allow you to pledge Treasury securities, payable to BOEM
on demand, to satisfy your obligation to make payments into the
account. Acceptable Treasury securities and their collateral value are
determined in accordance with 31 CFR part 203, Collateral Margins Table
(which can be found at https://www.treasurydirect.gov).
(d) We may require you to commit a specified stream of revenues as
payment into the account so that the account will be fully funded, as
prescribed in paragraph (a)(2) of this section. The commitment may
include revenue from other operations.
Changes in Financial Assurance
Sec. 585.530 What must I do if my financial assurance lapses?
(a) If your surety is decertified by the Treasury, becomes bankrupt
or insolvent, or if your surety's charter or license is suspended or
revoked, or if any other approved financial assurance expires for any
reason, you must:
(1) Inform BOEM within 3 business days about the financial
assurance lapse; and
(2) Provide new financial assurance in the amount set by BOEM, as
provided in this subpart.
(b) You must notify BOEM within 3 business days after you learn of
any action filed alleging that you, your surety, or third-party
guarantor, is insolvent or bankrupt.
Sec. 585.531 What happens if the value of my financial assurance is
reduced?
If the value of your financial assurance is reduced below the
required financial assurance amount because of a default or any other
reason, you must provide additional financial assurance sufficient to
meet the requirements of this subpart within 45 days or within a
different period as specified by BOEM.
Sec. 585.532 What happens if my surety wants to terminate the period
of liability of my bond?
(a) Terminating the period of liability of a bond ends the period
during which surety liability continues to accrue. The surety continues
to be responsible for obligations and liabilities that accrued during
the period of liability and before the date on which BOEM terminates
the period of liability under paragraph (b) of this section. The
liabilities that accrue during a period of liability include:
(1) Obligations that started to accrue before the beginning of the
period of liability and have not been met; and
(2) Obligations that began accruing during the period of liability.
(b) Your surety must submit to BOEM its request to terminate the
period of liability under its bond and notify you of that request. If
you intend to continue activities, or have not met all obligations of
your lease or grant, you must provide a replacement bond or alternative
form of financial assurance of equivalent or greater value. BOEM will
terminate that period of liability within 90 days after BOEM receives
the request.
Sec. 585.533 How does my surety obtain cancellation of my bond?
(a) BOEM will release a bond or allow a surety to cancel a bond,
and will
[[Page 6454]]
relieve the surety from accrued obligations only if:
(1) BOEM determines that there are no outstanding obligations
covered by the bond; or
(2) The following occurs:
(i) BOEM accepts a replacement bond or an alternative form of
financial assurance in an amount equal to or greater than the bond to
be cancelled to cover the terminated period of liability;
(ii) The surety issuing the new bond has expressly agreed to assume
all outstanding liabilities under the original bond that accrued during
the period of liability that was terminated; and
(iii) The surety issuing the new bond has agreed to assume that
portion of the outstanding liabilities that accrued during the
terminated period of liability that exceeds the coverage of the bond
prescribed under Sec. 585.515, Sec. 585.516, Sec. 585.520, or Sec.
585.521, and of which you were notified.
(b) When your lease or grant ends, your surety(ies) remain(s)
responsible, and BOEM will retain any financial assurance as follows:
(1) The period of liability ends when you cease all operations and
activities under the lease or grant, including decommissioning and site
clearance;
(2) Your surety or collateral financial assurance will not be
released until 7 years after the lease ends, or a longer period as
necessary to complete any appeals or judicial litigation related to
your bonded obligation, or for BOEM to determine that all of your
obligations under the lease or grant have been satisfied; and
(3) BOEM will reduce the amount of your bond or return a portion of
your financial assurance if we determine that we need less than the
full amount of the bond or financial assurance to meet any possible
future obligations.
Sec. 585.534 When may BOEM cancel my bond?
When your lease or grant ends, your surety(ies) remain(s)
responsible, and BOEM will retain any pledged security as shown in the
following table:
------------------------------------------------------------------------
Your bond will not
Bond The period of be released until .
liability ends . . . . .
------------------------------------------------------------------------
(a) Bonds for commercial When BOEM determines Seven years after
leases submitted under Sec. that you have met the lease ends, or
585.515. all of your a longer period as
obligations under necessary to
the lease. complete any
appeals or judicial
litigation related
to your bond
obligation. BOEM
will reduce the
amount of your bond
or return a portion
of your security if
BOEM determines
that you need less
than the full
amount of the bond
to meet any
possible future
obligations.
(b) Supplemental or When BOEM determines (1) Seven years
decommissioning bonds that you have met after the lease
submitted under Sec. all your ends, or a longer
585.516. decommissioning, period as necessary
site clearance, and to complete any
other obligations. appeals or judicial
litigation related
to your bond
obligation. BOEM
will reduce the
amount of your bond
or return a portion
of your security if
BOEM determines
that you need less
than the full
amount of the bond
to meet any
possible future
obligations; and
(2) BOEM determines
that the potential
liability resulting
from any undetected
noncompliance is
not greater than
the amount of the
lease base bond.
(c) Bonds submitted under When BOEM determines Seven years after
Sec. Sec. 585.520 and that you have met the limited lease,
585.521 for limited leases, all of your ROW, or RUE grant
ROW grants, or RUE grants. obligations under or a longer period
the limited lease as necessary to
or grant. complete any
appeals or judicial
litigation related
to your bond
obligation. BOEM
will reduce the
amount of your bond
or return a portion
of your security if
BOEM determines
that you need less
than the full
amount of the bond
to meet any
possible future
obligations.
------------------------------------------------------------------------
Sec. 585.535 Why might BOEM call for forfeiture of my bond?
(a) BOEM may call for forfeiture of all or part of the bond,
pledged security, or other form of guaranty if:
(1) After notice and demand for performance, you refuse or fail,
within the timeframe prescribed, to comply with any term or condition
of your lease or grant, other authorization or approval, or applicable
regulations; or
(2) You default on one of the conditions under which we accepted
your bond.
(b) We may pursue forfeiture without first making demands for
performance against any co-lessee or holder of an interest in your ROW
or RUE, or other person approved to perform obligations under your
lease or grant.
Sec. 585.536 How will I be notified of a call for forfeiture?
(a) BOEM will notify you and your surety, including any provider of
financial assurance, in writing of the call for forfeiture and provide
the reasons for the forfeiture and the amount to be forfeited. We will
base the amount upon an estimate of the total cost of corrective action
to bring your lease or grant into compliance.
(b) We will advise you and your surety that you may avoid
forfeiture if, within 10 business days:
(1) You agree to and demonstrate in writing to BOEM that you will
bring your lease or grant into compliance within the timeframe we
prescribe, and you do so; or
(2) Your surety agrees to and demonstrates that it will bring your
lease or grant into compliance within the timeframe we prescribe, even
if the cost of compliance exceeds the face amount of the bond.
Sec. 585.537 How will BOEM proceed once my bond or other security is
forfeited?
(a) If BOEM determines that your bond or other security is
forfeited, we will collect the forfeited amount and use the funds to
bring your lease or grant(s) into compliance and correct any default.
(b) If the amount collected under your bond or other security is
insufficient to
[[Page 6455]]
pay the full cost of corrective action, BOEM may take or direct action
to obtain full compliance and recover all costs in excess of the
forfeited bond from you or any co-lessee or co-grantee.
(c) If the amount collected under your bond or other security
exceeds the full cost of corrective action to bring your lease or
grant(s) into compliance, we will return the excess funds to the party
from whom the excess was collected.
Sec. Sec. 585.538-585.539 [Reserved]
Revenue Sharing With States
Sec. 585.540 How will BOEM equitably distribute revenues to States?
(a) BOEM will distribute among the eligible coastal States 27
percent of the following revenues derived from qualified projects,
where a qualified project and qualified project area is determined in
Sec. 585.541 and an eligible State is determined in Sec. 585.542,
with each term defined in Sec. 585.113. Revenues subject to
distribution to eligible States include all bonuses, acquisition fees,
rentals, and operating fees derived from the entire qualified project
area and associated project easements not limited to revenues
attributable to the portion of the project area within 3 miles of the
seaward boundary of a coastal State. The revenues to be shared do not
include administrative fees such as service fees and those assessed for
civil penalties and forfeiture of bond or other surety obligations.
(b) The project area is the area included within a single lease or
grant. For each qualified project, BOEM will determine and announce the
project area and its geographic center at the time it grants or issues
a lease, easement, or right-of-way on the OCS. If a qualified project
lease or grant's boundaries change significantly due to actions
pursuant to Sec. 585.435 or Sec. 585.436, BOEM will re-evaluate the
project area to determine whether the geographic center has changed. If
it has, BOEM will re-determine State eligibility and shares
accordingly.
(c) To determine each eligible State's share of the 27 percent of
the revenues for a qualified project, BOEM will use the inverse
distance formula, which apportions shares according to the relative
proximity of the nearest point on the coastline of each eligible State
to the geographic center of the qualified project area. If
Si is equal to the nearest distance from the geographic
center of the project area to the i = 1, 2, * * * nth eligible State's
coastline, then eligible State i would be entitled to the fraction
Fi of the 27-percent aggregate revenue share due to all the
eligible States according to the formula:
Fi= (1/Si) / ([Sigma]i=1 * *
*n(1/Si)).
Sec. 585.541 What is a qualified project for revenue sharing
purposes?
A qualified project for the purpose of revenue sharing with
eligible coastal States is one authorized under subsection 8(p) of the
OCS Lands Act, which includes acreage within the area extending 3
nautical miles seaward of State submerged lands. A qualified project is
subject to revenue sharing with those States that are eligible for
revenue sharing under Sec. 585.542. The entire area within a lease or
grant for the qualified project, excluding project easements, is
considered the qualified project area.
Sec. 585.542 What makes a State eligible for payment of revenues?
A State is eligible for payment of revenues if any part of the
State's coastline is located within 15 miles of the announced
geographic center of the project area of a qualified project. A State
is not eligible for revenue sharing if all parts of that State's
coastline are more than 15 miles from the announced geographic center
of the qualified project area. This is the case even if the qualified
project area is located wholly or partially within an area extending 3
nautical miles seaward of the submerged lands of that State or if there
are no States with a coastline less than 15 miles from the announced
geographic center of the qualified project area.
Sec. 585.543 Example of how the inverse distance formula works.
(a) Assume that the geographic center of the project area lies 12
miles from the closest coastline point of State A and 4 miles from the
closest coastline point of State B. BOEM will round dollar shares to
the nearest whole dollar. The proportional share due each State would
be calculated as follows:
(1) State A's share = [(\1/12\) / (\1/12\ + \1/4\)] = \1/4\.
(2) State B's share = [(\1/4\) / (\1/12\ + \1/4\)] = \3/4\.
(b) Therefore, State B would receive a share of revenues that is
three times as large as that awarded to State A, based on the finding
that State B's nearest coastline is one-third the distance to the
geographic center of the qualified project area as compared to State
A's nearest coastline. Eligible States share the 27 percent of the
total revenues from the qualified project as mandated under the OCS
Lands Act. Hence, if the qualified project generates $1,000,000 of
Federal revenues in a given year, the Federal Government would
distribute the States' 27-percent share as follows:
(1) State A's share = $270,000 x \1/4\ = $67,500.
(2) State B's share = $270,000 x \3/4\ = $202,500.
Subpart F--Plan Requirements
Sec. 585.600 What plans must I submit to BOEM before I conduct
activities on my lease or grant?
You must submit a SAP, COP, or GAP and receive BOEM approval as set
forth in the following table:
------------------------------------------------------------------------
You must submit and obtain
Before you: approval for your:
------------------------------------------------------------------------
(a) Conduct any site assessment SAP, according to Sec. Sec.
activities on your commercial lease. 585.605 through 585.613.
(b) Conduct any activities pertaining COP, according to Sec. Sec.
to construction of facilities for 585.620 through 585.628.
commercial operations on your
commercial lease.
(c) Conduct any activities on your GAP, according to Sec. Sec.
limited lease, ROW grant, or RUE grant 585.640 through 585.648.
in any OCS area.
------------------------------------------------------------------------
Sec. 585.601 When am I required to submit my plans to BOEM?
You must submit your plans as follows:
(a) You may submit your SAP or GAP prior to lease or grant
issuance, but must submit your SAP or GAP no later than 12 months from
the date of lease or grant issuance.
(b) If you intend to continue your commercial lease with an
operations term, you must submit a COP, or a FERC license application,
at least 6 months before the end of your site assessment term.
(c) You may submit your COP or FERC license application with your
SAP.
(1) You must provide sufficient data and information with your COP
for BOEM to complete the needed reviews and NEPA analysis; and
[[Page 6456]]
(2) BOEM may need to conduct additional reviews, including NEPA
analysis, if significant new information becomes available after you
complete your site assessment activities or you revise your COP. As a
result of the additional reviews, we may require modification of your
COP.
Sec. Sec. 585.602-585.604 [Reserved]
Site Assessment Plan and Information Requirements for Commercial Leases
Sec. 585.605 What is a Site Assessment Plan (SAP)?
(a) A SAP describes the activities (e.g., installation of
meteorological towers, meteorological buoys) you plan to perform for
the characterization of your commercial lease, including your project
easement, or to test technology devices.
(1) Your SAP must describe how you will conduct your resource
assessment (e.g., meteorological and oceanographic data collection) or
technology testing activities; and
(2) BOEM will withhold trade secrets and commercial or financial
information that is privileged or confidential from public disclosure
under exemption 4 of the FOIA and as provided in Sec. 585.114.
(b) Your SAP must include data from:
(1) Physical characterization surveys (e.g., geological and
geophysical surveys or hazards surveys); and
(2) Baseline environmental surveys (e.g., biological or
archaeological surveys).
(c) You must receive BOEM approval of your SAP before you can begin
any of the approved activities on your lease, as provided in Sec.
585.613.
(d) If you propose to construct a facility or combination of
facilities deemed by BOEM to be complex or significant, as provided in
Sec. 585.613(a)(1), you must also comply with the requirements of 30
CFR part 285, subpart G, and submit your safety management system as
required by 30 CFR 285.810.
Sec. 585.606 What must I demonstrate in my SAP?
(a) Your SAP must demonstrate that you have planned and are
prepared to conduct the proposed site assessment activities in a manner
that conforms to your responsibilities listed in Sec. 585.105(a) and:
(1) Conforms to all applicable laws, regulations, and lease
provisions of your commercial lease;
(2) Is safe;
(3) Does not unreasonably interfere with other uses of the OCS,
including those involved with national security or defense;
(4) Does not cause undue harm or damage to natural resources; life
(including human and wildlife); property; the marine, coastal, or human
environment; or sites, structures, or objects of historical or
archaeological significance;
(5) Uses best available and safest technology;
(6) Uses best management practices; and
(7) Uses properly trained personnel.
(b) You must also demonstrate that your site assessment activities
will collect the necessary information and data required for your COP,
as provided in Sec. 585.626(a).
Sec. 585.607 How do I submit my SAP?
You must submit one paper copy and one electronic version of your
SAP to BOEM at the address listed in Sec. 585.110.
Sec. Sec. 585.608-585.609 [Reserved]
Contents of the Site Assessment Plan
Sec. 585.610 What must I include in my SAP?
Your SAP must include the following information, as applicable.
(a) For all activities you propose to conduct under your SAP, you
must provide the following information:
------------------------------------------------------------------------
Project information: Including:
------------------------------------------------------------------------
(1) Contact information................ The name, address, e-mail
address, and phone number of
an authorized representative.
(2) The site assessment or technology A discussion of the objectives;
testing concept. description of the proposed
activities, including the
technology you will use; and
proposed schedule from start
to completion.
(3) Designation of operator, if As provided in Sec. 585.405.
applicable.
(4) Commercial lease stipulations and A description of the measures
compliance. you took, or will take, to
satisfy the conditions of any
lease stipulations related to
your proposed activities.
(5) A location plat.................... The surface location and water
depth for all proposed and
existing structures,
facilities, and appurtenances
located both offshore and
onshore.
(6) General structural and project Information for each type of
design, fabrication, and installation. facility associated with your
project.
(7) Deployment activities.............. A description of the safety,
prevention, and environmental
protection features or
measures that you will use.
(8) Your proposed measures for A description of the measures
avoiding, minimizing, reducing, you will use to avoid or
eliminating, and monitoring minimize adverse effects and
environmental impacts. any potential incidental take,
before you conduct activities
on your lease, and how you
will mitigate environmental
impacts from your proposed
activities, including a
description of the measures
you will use as required by 30
CFR part 285, subpart H.
(9) CVA nomination, if required........ CVA nominations for reports in
30 CFR part 285, subpart G, as
required by Sec. 285.706, or
a request to waive the CVA
requirement, as required by
Sec. 285.705.
(10) Reference information............. A list of any document or
published source that you cite
as part of your plan. You may
reference information and data
discussed in other plans you
previously submitted or that
are otherwise readily
available to BOEM.
(11) Decommissioning and site clearance A discussion of methodologies.
procedures.
(12) Air quality information........... Information as described in
Sec. 585.700.
(13) A listing of all Federal, State, A statement indicating whether
and local authorizations or approvals such authorization or approval
required to conduct site assessment has been applied for or
activities on your lease. obtained.
(14) A list of agencies and persons Contact information and issues
with whom you have communicated, or discussed.
with whom you will communicate,
regarding potential impacts associated
with your proposed activities.
[[Page 6457]]
(15) Financial assurance information... Statements attesting that the
activities and facilities
proposed in your SAP are or
will be covered by an
appropriate bond or other
approved security, as required
in Sec. Sec. 585.515 and
585.516.
(16) Other information................. Additional information as
requested by BOEM.
------------------------------------------------------------------------
(b) You must provide the results of geophysical and geological
surveys, hazards surveys, archaeological surveys (if required), and
baseline collection studies (e.g., biological) with the supporting data
in your SAP:
------------------------------------------------------------------------
Information Report contents Including
------------------------------------------------------------------------
(1) Geotechnical............ The results from the A description of all
geotechnical survey relevant seabed and
with supporting engineering data
data. and information to
allow for the
design of the
foundation for that
facility. You must
provide data and
information to
depths below which
the underlying
conditions will not
influence the
integrity or
performance of the
structure. This
could include a
series of sampling
locations (borings
and in situ tests)
as well as
laboratory testing
of soil samples,
but may consist of
a minimum of one
deep boring with
samples.
(2) Shallow hazards......... The results from the A description of
shallow hazards information
survey with sufficient to
supporting data. determine the
presence of the
following features
and their likely
effects on your
proposed facility,
including:
(i) Shallow faults;
(ii) Gas seeps or
shallow gas;
(iii) Slump blocks
or slump sediments;
(iv) Hydrates; and
(v) Ice scour of
seabed sediments.
(3) Archaeological resources The results from the (i) A description of
archaeological the results and
survey with data from the
supporting data, if archaeological
required. survey;
(ii) A description
of the historic and
prehistoric
archaeological
resources, as
required by the
National Historic
Preservation Act
(NHPA) of 1966, as
amended.
(4) Geological survey....... The results from the A report that
geological survey describes the
with supporting results of a
data. geological survey
that includes
descriptions of:
(i) Seismic activity
at your proposed
site;
(ii) Fault zones;
(iii) The
possibility and
effects of seabed
subsidence; and
(iv) The extent and
geometry of
faulting
attenuation effects
of geologic
conditions near
your site.
(5) Biological survey....... The results from the A description of the
biological survey results of a
with supporting biological survey,
data. including
descriptions of the
presence of live
bottoms; hard
bottoms;
topographic
features; and
surveys of other
marine resources
such as fish
populations
(including
migratory
populations),
marine mammals, sea
turtles, and sea
birds.
------------------------------------------------------------------------
(c) If you submit your COP or FERC license application with your
SAP then:
(1) You must provide sufficient data and information with your COP
or FERC license application for BOEM and/or FERC to complete the needed
reviews and NEPA analysis.
(2) You may need to revise your COP or FERC license application and
BOEM and/or FERC may need to conduct additional reviews, including NEPA
analysis, if new information becomes available after you complete your
site assessment activities.
Sec. 585.611 What information and certifications must I submit with
my SAP to assist BOEM in complying with NEPA and other relevant laws?
You must submit, with your SAP, detailed information to assist BOEM
in complying with NEPA and other relevant laws as appropriate.
(a) A SAP submitted for an area in which BOEM has not previously
reviewed site assessment activities under NEPA or other applicable
Federal laws, must describe those resources, conditions, and activities
listed in the following table that could be affected by your proposed
activities or that could affect the activities proposed in your SAP.
(b) For a SAP submitted for an area in which BOEM has previously
considered site assessment activities under applicable Federal law
(e.g., a NEPA analysis and CZMA consistency determination for site
assessment activities), BOEM will review the SAP to determine if its
impacts are consistent with those previously considered. If the
anticipated effects of your proposed SAP activities are significantly
different than those previously anticipated, we may determine that
additional NEPA and other relevant Federal reviews are required. In
that case, BOEM will notify you of such determination, and you must
submit a SAP that describes those resources, conditions, and activities
listed in the following table that could be affected by your proposed
activities or that could affect the activities proposed in your SAP,
including:
[[Page 6458]]
------------------------------------------------------------------------
Type of information: Including:
------------------------------------------------------------------------
(1) Hazard information....... Meteorology, oceanography, sediment
transport, geology, and shallow
geological or manmade hazards.
(2) Water quality............ Turbidity and total suspended solids from
construction.
(3) Biological resources..... Benthic communities, marine mammals, sea
turtles, coastal and marine birds, fish
and shellfish, plankton, sea grasses,
and other plant life.
(4) Threatened or endangered As required by the Endangered Species Act
species. (ESA) of 1973 (16 U.S.C. 1531et seq.).
(5) Sensitive biological Essential fish habitat, refuges,
resources or habitats. preserves, special management areas
identified in coastal management
programs, sanctuaries, rookeries, hard
bottom habitat, chemosynthetic
communities, calving grounds, barrier
islands, beaches, dunes, and wetlands.
(6) Archaeological resources. As required by the NHPA (16 U.S.C. 470et
seq.), as amended.
(7) Social and economic Employment, existing offshore and coastal
conditions. infrastructure (including major sources
of supplies, services, energy, and
water), land use, subsistence resources
and harvest practices, recreation,
recreational and commercial fishing
(including typical fishing seasons,
location, and type), minority and lower
income groups, coastal zone management
programs, and viewshed.
(8) Coastal and marine uses.. Military activities, vessel traffic, and
energy and non-energy mineral
exploration or development.
(9) Consistency Certification If required by CZMA, as appropriate:
(i) 15 CFR part 930, subpart D, if the
SAP is submitted prior to lease
issuance;
(ii) 15 CFR part 930, subpart E, if the
SAP is submitted after lease issuance.
(10) Other resources, As identified by BOEM.
conditions, and activities.
------------------------------------------------------------------------
Sec. 585.612 How will my SAP be processed for Federal consistency
under the Coastal Zone Management Act?
Your SAP will be processed based on whether it is submitted before
or after your lease is issued:
------------------------------------------------------------------------
Consistency review of your SAP
If your SAP is submitted: will be handled as follows:
------------------------------------------------------------------------
(a) Before lease issuance.............. You will furnish a copy of your
SAP, consistency
certification, and necessary
data and information pursuant
to 15 CFR part 930, subpart D,
to the applicable State CZMA
agency or agencies and BOEM at
the same time.
(b) After lease issuance............... You will submit a copy of your
SAP, consistency
certification, and necessary
data and information pursuant
to 15 CFR part 930, subpart E,
to BOEM. BOEM will forward to
the applicable State CZMA
agency or agencies one paper
copy and one electronic copy
of your SAP, consistency
certification, and necessary
data and information required
under 15 CFR part 930, subpart
E, after BOEM has determined
that all information
requirements for the SAP are
met.
------------------------------------------------------------------------
Sec. 585.613 How will BOEM process my SAP?
(a) BOEM will review your submitted SAP, and additional information
provided pursuant to Sec. 585.611, to determine if it contains the
information necessary to conduct our technical and environmental
reviews.
(1) We will notify you if we deem your proposed facility or
combination of facilities to be complex or significant;
(2) We will notify you if your submitted SAP lacks any necessary
information;
(b) BOEM will prepare NEPA analysis, as appropriate.
(c) As appropriate, we will coordinate and consult with relevant
Federal and State agencies, executives of relevant local governments,
and affected Indian Tribes and will provide to other Federal, State,
and local agencies and affected Indian Tribes relevant nonproprietary
data and information pertaining to your proposed activities.
(d) During the review process, we may request additional
information if we determine that the information provided is not
sufficient to complete the review and approval process. If you fail to
provide the requested information, BOEM may disapprove your SAP.
(e) Upon completion of our technical and environmental reviews and
other reviews required by Federal laws (e.g., CZMA), BOEM may approve,
disapprove, or approve with modifications your SAP.
(1) If we approve your SAP, we will specify terms and conditions to
be incorporated into your SAP. You must certify compliance with those
terms and conditions, required under 30 CFR 285.615(b); and
(2) If we disapprove your SAP, we will inform you of the reasons
and allow you an opportunity to submit a revised plan making the
necessary corrections, and may suspend the term of your lease, as
appropriate, to allow this to occur.
Activities Under an Approved SAP
Sec. 585.614 When may I begin conducting activities under my approved
SAP?
(a) You may begin conducting the activities approved in your SAP
following BOEM approval of your SAP.
(b) If you are installing a facility or a combination of facilities
deemed by BOEM to be complex or significant, as provided in Sec.
585.613(a)(1), you must comply with the requirements of 30 CFR part
285, subpart G, and also submit your Safety Management System required
by 30 CFR 285.810 before construction may begin.
[[Page 6459]]
Sec. 585.615 What other reports or notices must I submit to BOEM
under my approved SAP?
You must prepare and submit to BOEM a report annually on November 1
of each year that summarizes your site assessment activities and the
results of those activities. BOEM will withhold trade secrets and
commercial or financial information that is privileged or confidential
from public disclosure under exemption 4 of the FOIA and as provided in
Sec. 585.114.
Sec. 585.616 [Reserved]
Sec. 585.617 What activities require a revision to my SAP, and when
will BOEM approve the revision?
(a) You must notify BOEM in writing before conducting any
activities not described in your approved SAP, describing in detail the
type of activities you propose to conduct. We will determine whether
the activities you propose are authorized by your existing SAP or
require a revision to your SAP. We may request additional information
from you, if necessary, to make this determination.
(b) BOEM will periodically review the activities under an approved
SAP. The frequency and extent of the review will be based on the
significance of any changes in available information and on onshore or
offshore conditions affecting, or affected by, the activities conducted
under your SAP. If the review indicates that the SAP should be revised
to meet the requirements of this part, BOEM will require you to submit
the needed revisions.
(c) Activities for which a proposed revision to your SAP will
likely be necessary include:
(1) Activities not described in your approved SAP;
(2) Modifications to the size or type of facility or equipment you
will use;
(3) Changes in the surface location of a facility or structure;
(4) Addition of a facility or structure not contemplated in your
approved SAP;
(5) Changes in the location of your onshore support base from one
State to another, or to a new base requiring expansion;
(6) Changes in the location of bottom disturbances (anchors,
chains, etc.) by 500 feet (152 meters) or greater from the approved
locations. If a specific anchor pattern was approved as a mitigation
measure to avoid contact with bottom features, any change in the
proposed bottom disturbances would likely trigger the need for a
revision;
(7) Structural failure of one or more facilities; or
(8) Changes to any other activity specified by BOEM.
(d) We may begin the appropriate NEPA analysis and other relevant
consultations when we determine that a proposed revision could:
(1) Result in a significant change in the impacts previously
identified and evaluated;
(2) Require any additional Federal authorizations; or
(3) Involve activities not previously identified and evaluated.
(e) When you propose a revision, we may approve the revision if we
determine that the revision is:
(1) Designed not to cause undue harm or damage to natural
resources; life (including human and wildlife); property; the marine,
coastal, or human environment; or sites, structures, or objects of
historical or archaeological significance; and
(2) Otherwise consistent with the provisions of subsection 8(p) of
the OCS Lands Act.
Sec. 585.618 What must I do upon completion of approved site
assessment activities?
(a) If, prior to the expiration of your site assessment term, you
timely submit a COP meeting the requirements of this subpart, or a
complete FERC license application, that describes the continued use of
existing facilities approved in your SAP, you may keep such facilities
in place on your lease during the time that BOEM reviews your COP for
approval or FERC reviews your license application for approval.
(b) You are not required to initiate the decommissioning process
for facilities that are authorized to remain in place under your
approved COP or approved FERC license.
(c) If, following the technical and environmental review of your
submitted COP, BOEM determines that such facilities may not remain in
place, you must initiate the decommissioning process, as provided in 30
CFR part 285, subpart I.
(d) If FERC determines that such facilities may not remain in
place, you must initiate the decommissioning process as provided in 30
CFR part 285, subpart I.
(e) You must initiate the decommissioning process, as set forth in
30 CFR part 285, subpart I, upon the termination of your lease.
Sec. 585.619 [Reserved]
Construction and Operations Plan for Commercial Leases
Sec. 585.620 What is a Construction and Operations Plan (COP)?
The COP describes your construction, operations, and conceptual
decommissioning plans under your commercial lease, including your
project easement. BOEM will withhold trade secrets and commercial or
financial information that is privileged or confidential from public
disclosure under exemption 4 of the FOIA and in accordance with the
terms of Sec. 585.114.
(a) Your COP must describe all planned facilities that you will
construct and use for your project, including onshore and support
facilities and all anticipated project easements.
(b) Your COP must describe all proposed activities including your
proposed construction activities, commercial operations, and conceptual
decommissioning plans for all planned facilities, including onshore and
support facilities.
(c) You must receive BOEM approval of your COP before you can begin
any of the approved activities on your lease.
Sec. 585.621 What must I demonstrate in my COP?
Your COP must demonstrate that you have planned and are prepared to
conduct the proposed activities in a manner that conforms to your
responsibilities listed in Sec. 585.105(a) and:
(a) Conforms to all applicable laws, implementing regulations,
lease provisions, and stipulations or conditions of your commercial
lease;
(b) Is safe;
(c) Does not unreasonably interfere with other uses of the OCS,
including those involved with national security or defense;
(d) Does not cause undue harm or damage to natural resources; life
(including human and wildlife); property; the marine, coastal, or human
environment; or sites, structures, or objects of historical or
archaeological significance;
(e) Uses best available and safest technology;
(f) Uses best management practices; and
(g) Uses properly trained personnel.
Sec. 585.622 How do I submit my COP?
(a) You must submit one paper copy and one electronic version of
your COP to BOEM at the address listed in Sec. 585.110.
(b) You may submit information and a request for any project
easement as part of your original COP submission or as a revision to
your COP.
[[Page 6460]]
Sec. Sec. 585.623-585.625 [Reserved]
Contents of the Construction and Operations Plan
Sec. 585.626 What must I include in my COP?
(a) You must submit the results of the following surveys for the
proposed site(s) of your facility(ies). Your COP must include the
following information:
----------------------------------------------------------------------------------------------------------------
Information: Report contents: Including:
----------------------------------------------------------------------------------------------------------------
(1) Shallow hazards.................. The results of the shallow Information sufficient to determine the
hazards survey with presence of the following features and
supporting data. their likely effects on your proposed
facility, including:
(i) Shallow faults;
(ii) Gas seeps or shallow gas;
(iii) Slump blocks or slump sediments;
(iv) Hydrates; or
(v) Ice scour of seabed sediments.
(2) Geological survey relevant to the The results of the geological Assessment of:
design and siting of your facility. survey with supporting data. (i) Seismic activity at your proposed
site;
(ii) Fault zones;
(iii) The possibility and effects of
seabed subsidence; and
(iv) The extent and geometry of faulting
attenuation effects of geologic
conditions near your site.
(3) Biological....................... The results of the biological A description of the results of biological
survey with supporting data. surveys used to determine the presence of
live bottoms, hard bottoms, and
topographic features, and surveys of
other marine resources such as fish
populations (including migratory
populations), marine mammals, sea
turtles, and sea birds.
(4) Geotechnical survey.............. The results of your sediment (i) The results of a testing program used
testing program with to investigate the stratigraphic and
supporting data, the various engineering properties of the sediment
field and laboratory test that may affect the foundations or
methods employed, and the anchoring systems for your facility.
applicability of these (ii) The results of adequate in situ
methods as they pertain to testing, boring, and sampling at each
the quality of the samples, foundation location, to examine all
the type of sediment, and important sediment and rock strata to
the anticipated design determine its strength classification,
application. You must deformation properties, and dynamic
explain how the engineering characteristics.
properties of each sediment (iii) The results of a minimum of one deep
stratum affect the design of boring (with soil sampling and testing)
your facility. In your at each edge of the project area and
explanation, you must within the project area as needed to
describe the uncertainties determine the vertical and lateral
inherent in your overall variation in seabed conditions and to
testing program, and the provide the relevant geotechnical data
reliability and required for design.
applicability of each test
method.
(5) Archaeological resources......... The results of the A description of the historic and
archaeological resource prehistoric archaeological resources, as
survey with supporting data. required by the NHPA (16 U.S.C. 470et.
seq.), as amended.
(6) Overall site investigation....... An overall site investigation An analysis of the potential for:
report for your facility (i) Scouring of the seabed;
that integrates the findings (ii) Hydraulic instability;
of your shallow hazards (iii) The occurrence of sand waves;
surveys and geologic (iv) Instability of slopes at the
surveys, and, if required, facility location;
your subsurface surveys with (v) Liquefaction, or possible reduction
supporting data. of sediment strength due to increased
pore pressures;
(vi) Degradation of subsea permafrost
layers;
(vii) Cyclic loading;
(viii) Lateral loading;
(ix) Dynamic loading;
(x) Settlements and displacements;
(xi) Plastic deformation and formation
collapse mechanisms; and
(xii) Sediment reactions on the facility
foundations or anchoring systems.
----------------------------------------------------------------------------------------------------------------
(b) Your COP must include the following project-specific
information, as applicable.
[[Page 6461]]
------------------------------------------------------------------------
Project information: Including:
------------------------------------------------------------------------
(1) Contact information................ The name, address, e-mail
address, and phone number of
an authorized representative.
(2) Designation of operator, if As provided in Sec. 585.405.
applicable.
(3) The construction and operation A discussion of the objectives,
concept. description of the proposed
activities, tentative schedule
from start to completion, and
plans for phased development,
as provided in Sec. 585.238.
(4) Commercial lease stipulations and A description of the measures
compliance. you took, or will take, to
satisfy the conditions of any
lease stipulations related to
your proposed activities.
(5) A location plat.................... The surface location and water
depth for all proposed and
existing structures,
facilities, and appurtenances
located both offshore and
onshore, including all anchor/
mooring data.
(6) General structural and project Information for each type of
design, fabrication, and installation. structure associated with your
project and, unless BSEE
provides otherwise, how you
will use a CVA to review and
verify each stage of the
project.
(7) All cables and pipelines, including Location, design and
cables on project easements. installation methods, testing,
maintenance, repair, safety
devices, exterior corrosion
protection, inspections, and
decommissioning.
(8) A description of the deployment Safety, prevention, and
activities. environmental protection
features or measures that you
will use.
(9) A list of solid and liquid wastes Disposal methods and locations.
generated.
(10) A listing of chemical products A list of chemical products
used (if stored volume exceeds used; the volume stored on
Environmental Protection Agency (EPA) location; their treatment,
reportable quantities). discharge, or disposal methods
used; and the name and
location of the onshore waste
receiving, treatment, and/or
disposal facility. A
description of how these
products would be brought
onsite, the number of
transfers that may take place,
and the quantity that will be
transferred each time.
(11) A description of any vessels, An estimate of the frequency
vehicles, and aircraft you will use to and duration of vessel/vehicle/
support your activities. aircraft traffic.
(12) A general description of the (i) Under normal conditions.
operating procedures and systems. (ii) In the case of accidents
or emergencies, including
those that are natural or
manmade.
(13) Decommissioning and site clearance A discussion of general
procedures. concepts and methodologies.
(14) A listing of all Federal, State, (i) The U.S. Coast Guard, U.S.
and local authorizations, approvals, Army Corps of Engineers, and
or permits that are required to any other applicable
conduct the proposed activities, authorizations, approvals, or
including commercial operations. permits, including any
Federal, State or local
authorizations pertaining to
energy gathering, transmission
or distribution (e.g.,
interconnection
authorizations).
(ii) A statement indicating
whether you have applied for
or obtained such
authorization, approval, or
permit.
(15) Your proposed measures for A description of the measures
avoiding, minimizing, reducing, you will use to avoid or
eliminating, and monitoring minimize adverse effects and
environmental impacts. any potential incidental take
before you conduct activities
on your lease, and how you
will mitigate environmental
impacts from your proposed
activities, including a
description of the measures
you will use as required by
this part and 30 CFR part 285,
subpart H.
(16) Information you incorporate by A listing of the documents you
reference. referenced.
(17) A list of agencies and persons Contact information and issues
with whom you have communicated, or discussed.
with whom you will communicate,
regarding potential impacts associated
with your proposed activities.
(18) Reference......................... A list of any document or
published source that you cite
as part of your plan. You may
reference information and data
discussed in other plans you
previously submitted or that
are otherwise readily
available to BOEM.
(19) Financial assurance............... Statements attesting that the
activities and facilities
proposed in your COP are or
will be covered by an
appropriate bond or security,
as required by Sec. Sec.
585.515 and 585.516.
(20) CVA nominations for reports CVA nominations for reports in
required in 30 CFR part 285, subpart G. 30 CFR part 285, subpart G, as
required by Sec. 285.706, or
a request for a waiver under
Sec. 285.705(c).
(21) Construction schedule............. A reasonable schedule of
construction activity showing
significant milestones leading
to the commencement of
commercial operations.
(22) Air quality information........... As described in Sec. 585.700.
(23) Other information................. Additional information as
required by BOEM.
------------------------------------------------------------------------
Sec. 585.627 What information and certifications must I submit with
my COP to assist BOEM in complying with NEPA and other relevant laws?
(a) You must submit with your COP detailed information to assist
BOEM in complying with NEPA and other relevant laws. Your COP must
describe those resources, conditions, and activities listed in the
following table that could be affected by your proposed activities, or
that could affect the activities proposed in your COP, including:
[[Page 6462]]
------------------------------------------------------------------------
Type of information: Including:
------------------------------------------------------------------------
(1) Hazard information................. Meteorology, oceanography,
sediment transport, geology,
and shallow geological or
manmade hazards.
(2) Water quality...................... Turbidity and total suspended
solids from construction.
(3) Biological resources............... Benthic communities, marine
mammals, sea turtles, coastal
and marine birds, fish and
shellfish, plankton,
seagrasses, and plant life.
(4) Threatened or endangered species... As defined by the ESA (16
U.S.C. 1531et seq.).
(5) Sensitive biological resources or Essential fish habitat,
habitats. refuges, preserves, special
management areas identified in
coastal management programs,
sanctuaries, rookeries, hard
bottom habitat, chemosynthetic
communities, calving grounds,
barrier islands, beaches,
dunes, and wetlands.
(6) Archaeological resources........... As required by the NHPA (16
U.S.C. 470et seq.), as
amended.
(7) Social and economic resources...... Employment, existing offshore
and coastal infrastructure
(including major sources of
supplies, services, energy,
and water), land use,
subsistence resources and
harvest practices, recreation,
recreational and commercial
fishing (including typical
fishing seasons, location, and
type), minority and lower
income groups, coastal zone
management programs, and
viewshed.
(8) Coastal and marine uses............ Military activities, vessel
traffic, and energy and non-
energy mineral exploration or
development.
(9) Consistency Certification.......... As required by the CZMA
regulations:
(i) 15 CFR part 930, subpart D,
if your COP is submitted
before lease issuance.
(ii) 15 CFR part 930, subpart
E, if your COP is submitted
after lease issuance.
(10) Other resources, conditions, and As identified by BOEM.
activities.
------------------------------------------------------------------------
(b) You must submit one paper copy and one electronic copy of your
consistency certification. Your consistency certification must include:
(1) One copy of your consistency certification either under
subsection 307(c)(3)(B) of the CZMA (16 U.S.C. 1456(c)(3)(B)) and 15
CFR 930.76, or under subsection 307(c)(3)(A) of the CZMA (16 U.S.C.
1456(c)(3)(A)) and 15 CFR 930.57, stating that the proposed activities
described in detail in your plans comply with the State(s) approved
coastal management program(s) and will be conducted in a manner that is
consistent with such program(s); and
(2) ``Necessary data and information,'' as required by 15 CFR
930.58.
(c) You must submit your oil spill response plan to BSEE as
required by 30 CFR part 254.
(d) You must submit your safety management system to BSEE as
required by 30 CFR 285.810.
Sec. 585.628 How will BOEM process my COP?
(a) BOEM will review your submitted COP, and the information
provided pursuant to Sec. 585.627, to determine if it contains all the
required information necessary to conduct our technical and
environmental reviews. We will notify you if your submitted COP lacks
any necessary information.
(b) BOEM will prepare an appropriate NEPA analysis.
(c) If your COP is submitted after lease issuance, BOEM will
forward one copy of your COP, consistency certification, and associated
data and information under the CZMA to the applicable State CZMA agency
or agencies after all information requirements for the COP are met.
(d) As appropriate, BOEM will coordinate and consult with relevant
Federal, State, and local agencies and affected Indian Tribes, and
provide to them relevant nonproprietary data and information pertaining
to your proposed activities.
(e) During the review process, we may request additional
information if we determine that the information provided is not
sufficient to complete the review and approval process. If you fail to
provide the requested information, BOEM may disapprove your COP.
(f) Upon completion of our technical and environmental reviews and
other reviews required by Federal law (e.g., CZMA), BOEM may approve,
disapprove, or approve with modifications your COP.
(1) If we approve your COP, we will specify terms and conditions to
be incorporated into your COP. You must certify compliance with certain
of those terms and conditions, as required under 30 CFR 285.633(a); and
(2) If we disapprove your COP, we will inform you of the reasons
and allow you an opportunity to resubmit a revised plan addressing the
concerns identified, and may suspend the term of your lease, as
appropriate, to allow this to occur.
(g) If BOEM approves your project easement, BOEM will issue an
addendum to your lease specifying the terms of the project easement. A
project easement may include off-lease areas that:
(1) Contain the sites on which cable, pipeline, or associated
facilities are located;
(2) Do not exceed 200 feet (61 meters) in width, unless safety and
environmental factors during construction and maintenance of the
associated cables or pipelines require a greater width; and
(3) For associated facilities, are limited to the area reasonably
necessary for power or pumping stations or other accessory facilities.
Sec. Sec. 585.629-585.630 [Reserved]
Activities Under an Approved COP
Sec. 585.631 When must I initiate activities under an approved COP?
After your COP is approved, you must commence construction by the
date given in the construction schedule required by Sec.
585.626(b)(21), and included as a part of your approved COP, unless
BOEM approves a deviation from your schedule.
Sec. 585.632 What documents must I submit before I may construct and
install facilities under my approved COP?
(a) You must submit to BSEE the documents listed in the following
table:
------------------------------------------------------------------------
Document: Requirements are found in:
------------------------------------------------------------------------
(1) Facility Design Report................ 30 CFR 285.701.
(2) Fabrication and Installation Report... 30 CFR 285.702.
------------------------------------------------------------------------
[[Page 6463]]
(b) You must submit your Safety Management System, as required by
30 CFR 285.810.
(c) These activities must fall within the scope of your approved
COP. If they do not fall within the scope of your approved COP, you
will be required to submit a revision to your COP, under Sec. 585.634,
for BOEM approval before commencing the activity.
Sec. 585.633 [Reserved]
Sec. 585.634 What activities require a revision to my COP, and when
will BOEM approve the revision?
(a) You must notify BOEM in writing before conducting any
activities not described in your approved COP, describing in detail the
type of activities you propose to conduct. We will determine whether
the activities you propose are authorized by your existing COP or
require a revision to your COP. We may request additional information
from you, if necessary, to make this determination.
(b) BOEM will periodically review the activities conducted under an
approved COP. The frequency and extent of the review will be based on
the significance of any changes in available information, and on
onshore or offshore conditions affecting, or affected by, the
activities conducted under your COP. If the review indicates that the
COP should be revised to meet the requirement of this part, BOEM will
require you to submit the needed revisions.
(c) Activities for which a proposed revision to your COP will
likely be necessary include:
(1) Activities not described in your approved COP;
(2) Modifications to the size or type of facility or equipment you
will use;
(3) Change in the surface location of a facility or structure;
(4) Addition of a facility or structure not described in your
approved COP;
(5) Change in the location of your onshore support base from one
State to another or to a new base requiring expansion;
(6) Changes in the location of bottom disturbances (anchors,
chains, etc.) by 500 feet (152 meters) or greater from the approved
locations (e.g., if a specific anchor pattern was approved as a
mitigation measure to avoid contact with bottom features, any change in
the proposed bottom disturbances would likely trigger the need for a
revision);
(7) Structural failure of one or more facilities; or
(8) Change in any other activity specified by BOEM.
(d) We may begin the appropriate NEPA analysis and relevant
consultations when we determine that a proposed revision could:
(1) Result in a significant change in the impacts previously
identified and evaluated;
(2) Require any additional Federal authorizations; or
(3) Involve activities not previously identified and evaluated.
(e) When you propose a revision, we may approve the revision if we
determine that the revision is:
(1) Designed not to cause undue harm or damage to natural
resources; life (including human and wildlife); property; the marine,
coastal, or human environment; or sites, structures, or objects of
historical or archaeological significance; and
(2) Otherwise consistent with the provisions of subsection 8(p) of
the OCS Lands Act.
Sec. 585.635 What must I do if I cease activities approved in my COP
before the end of my commercial lease?
You must notify the BSEE, within 5 business days, any time you
cease commercial operations, without an approved suspension, under your
approved COP. If you cease commercial operations for an indefinite
period which extends longer than 6 months, we may cancel your lease
under Sec. 585.422 and, you must initiate the decommissioning process
as set forth in 30 CFR part 285, subpart I.
Sec. Sec. 585.636-585.639 [Reserved]
General Activities Plan Requirements for Limited Leases, ROW Grants,
and RUE Grants
Sec. 585.640 What is a General Activities Plan (GAP)?
(a) A GAP describes your proposed construction, activities, and
conceptual decommissioning plans for all planned facilities, including
testing of technology devices and onshore and support facilities that
you will construct and use for your project, including any project
easements for the assessment and development of your limited lease or
grant.
(b) You must receive BOEM approval of your GAP before you can begin
any of the approved activities on your lease or grant. You must submit
your GAP no later than 12 months from the date of the lease or grant
issuance.
Sec. 585.641 What must I demonstrate in my GAP?
Your GAP must demonstrate that you have planned and are prepared to
conduct the proposed activities in a manner that:
(a) Conforms to all applicable laws, implementing regulations,
lease provisions and stipulations;
(b) Is safe;
(c) Does not unreasonably interfere with other uses of the OCS,
including those involved with national security or defense;
(d) Does not cause undue harm or damage to natural resources; life
(including human and wildlife); property; the marine, coastal, or human
environment; or sites, structures, or objects of historical or
archaeological significance;
(e) Uses best available and safest technology;
(f) Uses best management practices; and
(g) Uses properly trained personnel.
Sec. 585.642 How do I submit my GAP?
(a) You must submit one paper copy and one electronic version of
your GAP to BOEM at the address listed in Sec. 585.110.
(b) If you have a limited lease, you may submit information on any
project easement as part of your original GAP submission or as a
revision to your GAP.
Sec. Sec. 585.643-585.644 [Reserved]
Contents of the General Activities Plan
Sec. 585.645 What must I include in my GAP?
(a) You must provide the following results of geophysical and
geological surveys, hazards surveys, archaeological surveys (if
required), and baseline collection studies (e.g., biological) with the
supporting data in your GAP:
[[Page 6464]]
------------------------------------------------------------------------
Information: Report contents: Including:
------------------------------------------------------------------------
(1) Geotechnical............ The results from the A description of all
geotechnical survey relevant seabed and
with supporting engineering data
data. and information to
allow for the
design of the
foundation for that
facility. You must
provide data and
information to
depths below which
the underlying
conditions will not
influence the
integrity or
performance of the
structure. This
could include a
series of sampling
locations (borings
and in situ tests)
as well as
laboratory testing
of soil samples,
but may consist of
a minimum of one
deep boring with
samples.
(2) Shallow hazards......... The results from the A description of
shallow hazards information
survey with sufficient to
supporting data. determine the
presence of the
following features
and their likely
effects on your
proposed facility,
including:
(i) Shallow faults;
(ii) Gas seeps or
shallow gas;
(iii) Slump blocks
or slump sediments;
(iv) Hydrates; or
(v) Ice scour of
seabed sediments.
(3) Archaeological resources The results from the (i) A description of
archaeological the results and
survey with data from the
supporting data, if archaeological
required. survey;
(ii) A description
of the historic and
prehistoric
archaeological
resources, as
required by NHPA
(16 U.S.C. 470et
seq.), as amended.
(4) Geological survey....... The results from the A report that
geological survey describes the
with supporting results of a
data. geological survey
that includes
descriptions of:
(i) Seismic
activity at your
proposed site;
(ii) Fault zones;
(iii) The
possibility and
effects of seabed
subsidence; and
(iv) The extent and
geometry of
faulting
attenuation effects
of geologic
conditions near
your site.
(5) Biological survey....... The results from the A description of the
biological survey results of a
with supporting biological survey,
data. including the
presence of live
bottoms, hard
bottoms, and
topographic
features, and
surveys of other
marine resources
such as fish
populations
(including
migratory
populations),
marine mammals, sea
turtles, and sea
birds.
------------------------------------------------------------------------
(b) For all activities you propose to conduct under your GAP, you
must provide the following information:
------------------------------------------------------------------------
Project information: Including:
------------------------------------------------------------------------
(1) Contact information................ The name, address, e-mail
address, and phone number of
an authorized representative.
(2) The site assessment or technology A discussion of the
testing concept. objectives; description of the
proposed activities, including
the technology you will use;
and proposed schedule from
start to completion.
(3) Designation of operator, if As provided in Sec. 585.405.
applicable.
(4) ROW, RUE or limited lease grant A description of the measures
stipulations, if known. you took, or will take, to
satisfy the conditions of any
lease stipulations related to
your proposed activities.
(5) A location plat.................... The surface location and water
depth for all proposed and
existing structures,
facilities, and appurtenances
located both offshore and
onshore.
(6) General structural and project Information for each type of
design, fabrication, and installation. facility associated with your
project.
(7) Deployment activities.............. A description of the safety,
prevention, and environmental
protection features or
measures that you will use.
(8) A list of solid and liquid wastes Disposal methods and locations.
generated.
(9) A listing of chemical products used A list of chemical products
(only if stored volume exceeds USEPA used; the volume stored on
reportable quantities). location; their treatment,
discharge, or disposal methods
used; and the name and
location of the onshore waste
receiving, treatment, and/or
disposal facility. A
description of how these
products would be brought
onsite, the number of
transfers that may take place,
and the quantity that will be
transferred each time.
(10) Reference information............. A list of any document or
published source that you cite
as part of your plan. You may
reference information and data
discussed in other plans you
previously submitted or that
are otherwise readily
available to BOEM.
(11) Decommissioning and site clearance A discussion of methodologies.
procedures.
(12) Air quality information........... As described in Sec. 585.700.
[[Page 6465]]
(13) A listing of all Federal, State, A statement indicating whether
and local authorizations or approvals such authorization or approval
required to conduct site assessment has been applied for or
activities on your lease. obtained.
(14) A list of agencies and persons Contact information and issues
with whom you have communicated, or discussed.
with whom you will communicate,
regarding potential impacts associated
with your proposed activities.
(15) Financial assurance information... Statements attesting that the
activities and facilities
proposed in your GAP are or
will be covered by an
appropriate bond or other
approved security, as required
in Sec. Sec. 585.520-.521.
(16) Other information................. Additional information as
requested by BOEM.
------------------------------------------------------------------------
(c) If you are applying for a project easement or constructing a
facility, or a combination of facilities deemed by BOEM to be complex
or significant, you must provide the following information in addition
to what is required in paragraphs (a) and (b) of this section and
comply with the requirements of 30 CFR part 285, subpart G:
------------------------------------------------------------------------
Project information: Including:
------------------------------------------------------------------------
(1) The construction and operation A discussion of the objectives,
concept. description of the proposed
activities, and tentative
schedule from start to
completion.
(2) All cables and pipelines, including The location, design,
cables on project easements. installation methods, testing,
maintenance, repair, safety
devices, exterior corrosion
protection, inspections, and
decommissioning.
(3) A description of the deployment Safety, prevention, and
activities. environmental protection
features or measures that you
will use.
(4) A general description of the (i) Under normal conditions.
operating procedures and systems. (ii) In the case of accidents
or emergencies, including
those that are natural or
manmade.
(5) CVA nominations for reports CVA nominations for reports in
required in 30 CFR part 285, subpart 30 CFR part 285, subpart G, as
G.. required by Sec. 285.706, or
a request for a waiver under
Sec. 285.705.
(6) Construction schedule.............. A reasonable schedule of
construction activity showing
significant milestones leading
to the commencement of
activities.
(7) Other information.................. Additional information as
required by the BOEM.
------------------------------------------------------------------------
(d) BOEM will withhold trade secrets and commercial or financial
information that is privileged or confidential from public disclosure
in accordance with the terms of Sec. 585.114.
Sec. 585.646 What information and certifications must I submit with
my GAP to assist BOEM in complying with NEPA and other relevant laws?
You must submit, with your GAP, detailed information to assist BOEM
in complying with NEPA and other relevant laws as appropriate.
(a) A GAP submitted for an area in which BOEM has not reviewed GAP
activities under NEPA or other applicable Federal laws must describe
those resources, conditions, and activities listed in the following
table that could be affected by your proposed activities or that could
affect the activities proposed in your GAP.
(b) For a GAP submitted for an area in which BOEM has considered
GAP activities under applicable Federal law (e.g., a NEPA analysis and
CZMA consistency determination for the GAP activities), BOEM will
review the GAP to determine if its impacts are consistent with those
previously considered. If the anticipated effects of your proposed GAP
activities are significantly different than those previously
anticipated, we may determine that additional NEPA and other relevant
Federal reviews are required. In that case, BOEM will notify you of
such determination, and you must submit a GAP that describes those
resources, conditions, and activities listed in the following table
that could be affected by your proposed activities or that could affect
the activities proposed in your GAP, including:
------------------------------------------------------------------------
Type of information: Including:
------------------------------------------------------------------------
(1) Hazard information....... Meteorology, oceanography, sediment
transport, geology, and shallow
geological or manmade hazards.
(2) Water quality............ Turbidity and total suspended solids from
construction.
(3) Biological resources..... Benthic communities, marine mammals, sea
turtles, coastal and marine birds, fish
and shellfish, plankton, sea grasses,
and other plant life.
(4) Threatened or endangered As required by the ESA (16 U.S.C. 1531et
species. seq.).
(5) Sensitive biological Essential fish habitat, refuges,
resources or habitats. preserves, special management areas
identified in coastal management
programs, sanctuaries, rookeries, hard
bottom habitat, chemosynthetic
communities, calving grounds, barrier
islands, beaches, dunes, and wetlands.
(6) Archaeological resources. As required by NHPA (16 U.S.C. 470et
seq.), as amended.
(7) Social and economic Employment, existing offshore and coastal
conditions. infrastructure (including major sources
of supplies, services, energy, and
water), land use, subsistence resources
and harvest practices, recreation,
recreational and commercial fishing
(including typical fishing seasons,
location, and type), minority and lower
income groups, coastal zone management
programs, and view shed.
(8) Coastal and marine uses.. Military activities, vessel traffic, and
energy and non-energy mineral
exploration or development.
[[Page 6466]]
(9) Consistency Certification If required by CZMA, as appropriate: (i)
15 CFR part 930, subpart D, if the GAP
is submitted prior to lease or grant
issuance; (ii) 15 CFR part 930, subpart
E, if the GAP is submitted after lease
or grant issuance.
(10) Other resources, As required by BOEM.
conditions, and activities.
------------------------------------------------------------------------
Sec. 585.647 How will my GAP be processed for Federal consistency
under the Coastal Zone Management Act?
Your GAP will be processed based on whether it is submitted before
or after your lease or grant is issued:
------------------------------------------------------------------------
Consistency review of your GAP will be
If your GAP is submitted: handled as follows:
------------------------------------------------------------------------
(a) Before lease or grant You will furnish a copy of your GAP,
issuance. consistency certification, and necessary
data and information pursuant to 15 CFR
part 930, subpart D, to the applicable
State CZMA agency or agencies and BOEM
at the same time.
(b) After lease or grant You will submit a copy of your GAP,
issuance. consistency certification, and necessary
data and information pursuant to 15 CFR
930, subpart E, to BOEM. BOEM will
forward to the applicable State CZMA
agency or agencies one paper copy and
one electronic copy of your GAP,
consistency certification, and necessary
data and information required under 15
CFR part 930, subpart E, after BOEM has
determined that all information
requirements for the GAP are met.
------------------------------------------------------------------------
Sec. 585.648 How will BOEM process my GAP?
(a) BOEM will review your submitted GAP, along with the information
and certifications provided pursuant to Sec. 585.646, to determine if
it contains all the required information necessary to conduct our
technical and environmental reviews.
(1) We will notify you if we deem your proposed facility or
combination of facilities to be complex or significant; and
(2) We will notify you if your submitted GAP lacks any necessary
information.
(b) BOEM will prepare appropriate NEPA analysis.
(c) When appropriate, we will coordinate and consult with relevant
State and Federal agencies and affected Indian Tribes and provide to
other local, State, and Federal agencies and affected Indian Tribes
relevant nonproprietary data and information pertaining to your
proposed activities.
(d) During the review process, we may request additional
information if we determine that the information provided is not
sufficient to complete the review and approval process. If you fail to
provide the requested information, BOEM may disapprove your GAP.
(e) Upon completion of our technical and environmental reviews and
other reviews required by Federal law (e.g., CZMA), BOEM may approve,
disapprove, or approve with modifications your GAP.
(1) If we approve your GAP, we will specify terms and conditions to
be incorporated into your GAP. You must certify compliance with certain
of those terms and conditions, as required under 30 CFR 285.653(b); and
(2) If we disapprove your GAP, we will inform you of the reasons
and allow you an opportunity to resubmit a revised plan making the
necessary corrections, and may suspend the term of your lease or grant,
as appropriate, to allow this to occur.
Sec. 585.649 [Reserved]
Activities Under an Approved GAP
Sec. 585.650 When may I begin conducting activities under my GAP?
After BOEM approves your GAP, you may begin conducting the approved
activities that do not involve a project easement or the construction
of facilities on the OCS that BOEM has deemed to be complex or
significant.
Sec. 585.651 When may I construct complex or significant OCS
facilities on my limited lease or any facilities on my project easement
proposed under my GAP?
If you are applying for a project easement, or installing a
facility or a combination of facilities on your limited lease deemed by
BOEM to be complex or significant, as provided in Sec. 585.648(a)(1),
you also must comply with the requirements of 30 CFR part 285, subpart
G, and submit your safety management system description required by 30
CFR 285.810 before construction may begin.
Sec. 585.652 How long do I have to conduct activities under an
approved GAP?
After BOEM approves your GAP, you have:
(a) For a limited lease, 5 years to conduct your approved
activities, unless we renew the term under Sec. Sec. 585.425 through
585.429.
(b) For a ROW grant or RUE grant, the time provided in the terms of
the grant.
Sec. 585.653 What other reports or notices must I submit to BOEM
under my approved GAP?
You must prepare and submit to BOEM annually a report that
summarizes the findings from any activities you conduct under your
approved GAP and the results of those activities. We will protect the
information from public disclosure as provided in Sec. 585.114.
Sec. 585.654 [Reserved]
Sec. 585.655 What activities require a revision to my GAP, and when
will BOEM approve the revision?
(a) You must notify BOEM in writing before conducting any
activities not described in your approved GAP, describing in detail the
type of activities you propose to conduct. We will determine whether
the activities you propose are authorized by your existing GAP or
require a revision to your GAP. We may request additional information
from you, if necessary, to make this determination.
(b) BOEM will periodically review the activities conducted under an
approved GAP. The frequency and extent of the review will be based on
the significance
[[Page 6467]]
of any changes in available information and on onshore or offshore
conditions affecting, or affected by, the activities conducted under
your GAP. If the review indicates that the GAP should be revised to
meet the requirement of this part, BOEM will require you to submit the
needed revisions.
(c) Activities for which a proposed revision to your GAP will
likely be necessary include:
(1) Activities not described in your approved GAP;
(2) Modifications to the size or type of facility or equipment you
will use;
(3) Change in the surface location of a facility or structure;
(4) Addition of a facility or structure not contemplated in your
approved GAP;
(5) Change in the location of your onshore support base from one
State to another or to a new base requiring expansion;
(6) Changes in the locations of bottom disturbances (anchors,
chains,etc.) by 500 feet (152 meters) or greater from the approved
locations. If a specific anchor pattern was approved as a mitigation
measure to avoid contact with bottom features, any change in the
proposed bottom disturbances would likely trigger the need for a
revision;
(7) Structural failure of one or more facilities; or
(8) Change to any other activity specified by BOEM.
(d) We may begin the appropriate NEPA analysis and any relevant
consultations when we determine that a proposed revision could:
(1) Result in a significant change in the impacts previously
identified and evaluated;
(2) Require any additional Federal authorizations; or
(3) Involve activities not previously identified and evaluated.
(e) When you propose a revision, we may approve the revision if we
determine that the revision is:
(1) Designed not to cause undue harm or damage to natural
resources; life (including human and wildlife); property; the marine,
coastal, or human environment; or sites, structures, or objects of
historical or archaeological significance; and
(2) Otherwise consistent with the provisions of subsection 8(p) of
the OCS Lands Act.
Sec. 585.656 What must I do if I cease activities approved in my GAP
before the end of my term?
You must notify the BOEM any time you cease activities under your
approved GAP without an approved suspension. If you cease activities
for an indefinite period that exceeds 6 months, BOEM may cancel your
lease or grant under Sec. 585.422, as applicable, and you must
initiate the decommissioning process, as set forth in 30 CFR part 285,
subpart I.
Sec. 585.657 What must I do upon completion of approved activities
under my GAP?
Upon completion of your approved activities under your GAP, you
must initiate the decommissioning process as set forth in 30 CFR part
285, subpart I. You must submit your decommissioning application as
provided in 30 CFR 285.905 and 285.906.
Cable and Pipeline Deviations
Sec. 585.658 Can my cable or pipeline construction deviate from my
approved COP or GAP?
(a) You must make every effort to ensure that all cables and
pipelines are constructed in a manner that minimizes deviations from
the approved plan under your lease or grant.
(b) If BOEM determines that a significant change in conditions has
occurred that would necessitate an adjustment to your ROW, RUE or lease
before the commencement of construction of the cable or pipeline on the
grant or lease, BOEM will consider modifications to your ROW grant, RUE
grant, or your lease addendum for a project easement in connection with
your COP or GAP.
(c) If, after construction, it is determined that a deviation from
the approved plan has occurred, you must:
(1) Notify the operators of all leases (including mineral leases
issued under this subchapter) and holders of all ROW grants or RUE
grants (including all grants issued under this subchapter) which
include the area where a deviation has occurred and provide BOEM with
evidence of such notification;
(2) Relinquish any unused portion of your lease or grant; and
(3) Submit a revised plan for BOEM approval as necessary.
(d) Construction of a cable or pipeline that substantially deviates
from the approved plan may be grounds for cancellation of the lease or
grant.
Sec. 585.659 [Reserved]
Environmental Protection Requirements Under Approved Plans
Sec. 585.700 What requirements must I include in my SAP, COP, or GAP
regarding air quality?
(a) You must comply with the Clean Air Act (42 U.S.C. 7409) and its
implementing regulations, according to the following table.
------------------------------------------------------------------------
If your project is located . . . You must . . .
------------------------------------------------------------------------
(1) in the Gulf of Mexico west of include in your plan any
87.5[deg] west longitude (western Gulf information required for BOEM
of Mexico). to make the appropriate air
quality determinations for
your project.
(2) anywhere else on the OCS........... follow the appropriate
implementing regulations as
promulgated by the EPA under
40 CFR part 55.
------------------------------------------------------------------------
(b) For air quality modeling that you perform in support of the
activities proposed in your plan, you should contact the appropriate
regulatory agency to establish a modeling protocol to ensure that the
agency's needs are met and that the meteorological files used are
acceptable before initiating the modeling work. In the western Gulf of
Mexico (west of 87.5[deg] west longitude), you must submit to BOEM
three copies of the modeling report and three sets of digital files as
supporting information. The digital files must contain the formatted
meteorological files used in the modeling runs, the model input file,
and the model output file.
Sec. 585.701 How must I conduct my approved activities to protect
marine mammals, threatened and endangered species, and designated
critical habitat?
(a) You must not conduct any activity under your lease or grant
that may affect threatened or endangered species or that may affect
designated critical habitat of such species until the appropriate level
of consultation is conducted, as required under the ESA, as amended (16
U.S.C. 1531et seq.), to ensure that your actions are not likely to
jeopardize a threatened or endangered species and are not likely to
destroy or adversely modify designated critical habitat.
(b) You must not conduct any activity under your lease or grant
that may result in an incidental taking of marine mammals until the
appropriate authorization has been issued under the Marine Mammal
Protection Act of 1972
[[Page 6468]]
(MMPA) as amended (16 U.S.C. 1361et seq.).
(c) If there is reason to believe that a threatened or endangered
species may be present while you conduct your BOEM-approved activities
or may be affected by the direct or indirect effects of your actions:
(1) You must notify us that endangered or threatened species may be
present in the vicinity of the lease or grant or may be affected by
your actions; and
(2) We will consult with appropriate State and Federal fish and
wildlife agencies and, after consultation, shall identify whether, and
under what conditions, you may proceed.
(d) If there is reason to believe that designated critical habitat
of a threatened or endangered species may be affected by the direct or
indirect effects of your BOEM-approved activities:
(1) You must notify us that designated critical habitat of a
threatened or endangered species in the vicinity of the lease or grant
may be affected by your actions; and
(2) We will consult with appropriate State and Federal fish and
wildlife agencies and, after consultation, shall identify whether, and
under what conditions, you may proceed.
(e) If there is reason to believe that marine mammals may be
incidentally taken as a result of your proposed activities:
(1) You must agree to secure an authorization from National Oceanic
and Atmospheric Administration (NOAA) or the U.S. Fish and Wildlife
Service (FWS) for incidental taking, including taking by harassment,
that may result from your actions; and
(2) You must comply with all measures required by the NOAA or FWS,
including measures to affect the least practicable impact on such
species and their habitat and to ensure no immitigable adverse impact
on the availability of the species for subsistence use.
(f) Submit to us:
(1) Measures designed to avoid or minimize adverse effects and any
potential incidental take of the endangered or threatened species or
marine mammals;
(2) Measures designed to avoid likely adverse modification or
destruction of designated critical habitat of such endangered or
threatened species; and
(3) Your agreement to monitor for the incidental take of the
species and adverse effects on the critical habitat, and provide the
results of the monitoring as required; and
(4) Your agreement to perform any relevant terms and conditions of
the Incidental Take Statement that may result from the ESA
consultation.
(5) Your agreement to perform any relevant mitigation measures
under an MMPA incidental take authorization.
Sec. 585.702 What must I do if I discover a potential archaeological
resource while conducting my approved activities?
(a) If you, your subcontractors, or any agent acting on your behalf
discovers a potential archaeological resource while conducting
construction activities, or any other activity related to your project,
you must:
(1) Immediately halt all seafloor-disturbing activities within the
area of the discovery;
(2) Notify BOEM of the discovery within 72 hours; and
(3) Keep the location of the discovery confidential and not take
any action that may adversely affect the archaeological resource until
we have made an evaluation and instructed you on how to proceed.
(b) We may require you to conduct additional investigations to
determine if the resource is eligible for listing in the National
Register of Historic Places under 36 CFR 60.4. We will do this if:
(1) The site has been impacted by your project activities; or
(2) Impacts to the site or to the area of potential effect cannot
be avoided.
(c) If investigations under paragraph (b) of this section indicate
that the resource is potentially eligible for listing in the National
Register of Historic Places, we will tell you how to protect the
resource, or how to mitigate adverse effects to the site.
(d) If we incur costs in protecting the resource, under section
110(g) of the NHPA, we may charge you reasonable costs for carrying out
preservation responsibilities under the OCS Lands Act.
Sec. 585.703 How must I conduct my approved activities to protect
essential fish habitats identified and described under the Magnuson-
Stevens Fishery Conservation and Management Act?
(a) If, during the conduct of your approved activities, BOEM finds
that essential fish habitat or habitat areas of particular concern may
be adversely affected by your activities, BOEM must consult with
National Marine Fisheries Service.
(b) Any conservation recommendations adopted by BOEM to avoid or
minimize adverse effects on essential fish habitat will be incorporated
as terms and conditions in the lease and must be adhered to by the
applicant. BOEM may require additional surveys to define boundaries and
avoidance distances.
(c) If required, BOEM will specify the survey methods and
instrumentations for conducting the biological survey and will specify
the contents of the biological report.
0
3. Add part 586 to subchapter B to read as follows:
PART 586--ALTERNATE USES OF EXISTING FACILITIES ON THE OUTER
CONTINENTAL SHELF
Subpart A--General Provisions
Sec.
586.100 Authority.
586.101 What is the purpose of this part?
586.102 What activities does this part regulate?
586.103 What are BOEM's responsibilities under this part?
586.104 When may BOEM prescribe or approve departures from the
regulations in this part?
586.105 What are my responsibilities under this part?
586.106 What happens if I fail to comply with this part?
586.107 Who can hold a grant under this part?
586.108 How do I show that I am qualified to be a grant holder?
586.109 When must I notify BOEM if an action has been filed alleging
that I am insolvent or bankrupt?
586.110 When must I notify BOEM of mergers, name changes, or changes
of business form?
586.111 How do I submit plans, applications, or notices required by
this part?
586.112 When and how does BOEM charge me processing fees on a case-
by-case basis?
586.113 Definitions.
586.114 How will data and information obtained by BOEM under this
part be disclosed to the public?
586.115 Paperwork Reduction Act statements--information collection.
586.116--586.117 [Reserved]
586.118 What are my appeal rights?
Subpart B--Issuance of Alternate Use RUEs for Energy- and Marine-
Related Activities Using Existing OCS Facilities
Requesting an Alternate Use RUE
586.200 What must I do before I request an Alternate Use RUE?
586.201 How do I request an Alternate Use RUE?
586.202 How will BOEM decide whether to issue an Alternate Use RUE?
586.203 What process will BOEM use for competitively offering an
Alternate Use RUE
586.204-586.209 [Reserved]
Alternate Use RUE Administration
586.210 How long may I conduct activities under an Alternate Use
RUE?
586.211 What payments are required for an Alternate Use RUE?
[[Page 6469]]
586.212 What financial assurance is required for an Alternate Use
RUE?
586.213 Is an Alternate Use RUE assignable?
586.214 When will BOEM suspend an Alternate Use RUE?
586.215 How do I relinquish an Alternate Use RUE?
586.216 When will an Alternate Use RUE be cancelled?
586.217 [Reserved]
586.218 Who is responsible for decommissioning an OCS facility
subject to an Alternate Use RUE?
586.219 What are the decommissioning requirements for an Alternate
Use RUE?
Authority: 43 U.S.C. 1337.
Subpart A--General Provisions
Sec. 586.100 Authority.
The authority for this part derives from subsection 8 of the Outer
Continental Shelf Lands Act (OCS Lands Act) (43 U.S.C. 1337). The
Secretary of the Interior delegated to the Bureau of Ocean Energy
Management (BOEM) the authority to regulate activities under section
1337(p)(1)(D) of OCS Lands Act.
Sec. 586.101 What is the purpose of this part?
The purpose of this part is to:
(a) Establish procedures for issuance and administration of right-
of-use and easement (RUE) grants for the alternate use of existing OCS
facilities for energy or marine-related purposes;
(b) Inform you and third parties of your obligations when you
undertake activities authorized in this part; and
(c) Ensure that activities involving the alternate use of OCS
facilities for energy or marine-related purposes are conducted in a
safe and environmentally sound manner, in conformance with the
requirements of subsection 8(p) of the OCS Lands Act, other applicable
laws and regulations, and the terms of your Alternate Use RUE grant.
(d) This part will not convey access rights for oil, gas, or other
minerals.
Sec. 586.102 What activities does this part regulate?
(a) This part provides the general provisions for authorizing and
regulating activities that use, or propose to use, an existing OCS
facility for energy- or marine-related purposes, that are not otherwise
authorized under any other part of this subchapter or any other
applicable Federal statute. Activities authorized under any other part
of this subchapter or under any other Federal law that use (or propose
to use) an existing OCS facility are not subject to this part.
(b) BOEM will issue an Alternate Use RUE for activities authorized
under this part.
(c) At the discretion of the Director, an Alternate Use RUE may:
(1) Permit alternate use activities to occur at an existing
facility that is currently in use under an approved OCS lease; or
(2) Limit alternate use activities at the existing facility until
after previously authorized activities at the facility have ceased and
the OCS lease terminates.
Sec. 586.103 What are BOEM's responsibilities under this part?
(a) BOEM will ensure that any activities authorized in this part
are carried out in a manner that provides for:
(1) Safety;
(2) Protection of the environment;
(3) Prevention of waste;
(4) Conservation of the natural resources of the OCS;
(5) Coordination with relevant Federal agencies (including, in
particular, those agencies involved in planning activities that are
undertaken to avoid conflicts among users and to maximize the economic
and ecological benefits of the OCS, including multifaceted spatial
planning efforts);
(6) Protection of National security interests of the United States;
(7) Protection of the rights of other authorized users of the OCS;
(8) A fair return to the United States;
(9) Prevention of interference with reasonable uses (as determined
by the Secretary or Director) of the exclusive economic zone, the high
seas, and the territorial seas;
(10) Consideration of the location of and any schedule relating to
a grant under this part for an area of the OCS, and any other use of
the sea or seabed;
(11) Public notice and comment on any proposal submitted for a
grant under this part; and
(12) Oversight, research, and monitoring of activities authorized
by a grant under this part.
(b) BOEM will require compliance with all applicable laws,
regulations, other requirements, and the terms of your grant and
approved plans under this part. BOEM will approve, disapprove, or
approve with conditions any plans, applications, or other documents
submitted to BOEM for approval under the provisions of this part.
(c) Unless otherwise provided in this part, BOEM may give oral
directives or decisions whenever prior BOEM approval is required under
this part. BOEM will document in writing any such oral directives
within 10 business days.
(d) BOEM will establish practices and procedures to govern the
collection of all payments due to the Federal Government, including any
cost recovery fees, rents, operating fees, and other fees or payments.
BOEM will do this in accordance with the terms of this part, the grant
under this part, and applicable Office of Natural Resources Revenue
(ONRR) regulations or guidance.
(e) BOEM will provide for coordination and consultation with the
Governor of any State, the executive of any local government, and the
executive of any Indian Tribe that may be affected by a grant issued
under this part. BOEM may invite any affected State Governor,
representative of an affected Indian Tribe, and affected local
government executive to join in establishing a task force or other
joint planning or coordination agreement in carrying out our
responsibilities under this part.
Sec. 586.104 When may BOEM prescribe or approve departures from the
regulations in this part?
(a) BOEM may prescribe or approve departures from these regulations
when departures are necessary to:
(1) Facilitate the appropriate activities on a grant under this
part;
(2) Conserve natural resources;
(3) Protect life (including human and wildlife), property, or the
marine, coastal, or human environment; or
(4) Protect sites, structures, or objects of historical or
archaeological significance.
(b) Any departure approved under this section and its rationale
must:
(1) Be consistent with subsection 8(p) of the OCS Lands Act;
(2) Protect the environment and the public health and safety to the
same degree as if there was no approved departure from the regulations;
(3) Not impair the rights of third parties; and
(4) Be documented in writing.
Sec. 586.105 What are my responsibilities under this part?
As an applicant, operator, or holder of an Alternate Use RUE grant,
you must:
(a) Design your projects and conduct all activities in a manner
that ensures safety and will not cause undue harm or damage to natural
resources, including their physical, atmospheric, and biological
components to the extent practicable; and take measures to prevent
unauthorized discharge of pollutants including marine trash and debris
into the offshore environment.
(b) Submit requests, applications, plans, notices, modifications,
and supplemental information to BOEM as required by this part;
[[Page 6470]]
(c) Follow-up, in writing, any oral request or notification you
made, within 3 business days;
(d) Comply with the terms, conditions, and provisions of all
reports and notices submitted to BOEM, and of all plans, revisions, and
other BOEM approvals, as provided in this part;
(e) Make all applicable payments on time;
(f) Comply with the DOI's non-procurement debarment regulations at
2 CFR part 1400;
(g) Include the requirement to comply with 2 CFR part 1400 in all
contracts and transactions related to a lease or grant under this part;
(h) Conduct all activities authorized by the lease or grant in a
manner consistent with the provisions of subsection 8(p) of the OCS
Lands Act;
(i) Compile, retain, and make available to BOEM representatives,
within the time specified by BOEM, any data and information related to
the site assessment, design, and operations of your project; and
(j) Respond to requests from the Director in a timely manner.
Sec. 586.106 What happens if I fail to comply with this part?
(a) BOEM may take appropriate corrective action under this part if
you fail to comply with applicable provisions of Federal law, the
regulations in this part, other applicable regulations, any order of
the Director, the provisions of a grant issued under this part, or the
requirements of an approved plan or other approval under this part.
(b) BOEM may issue to you a notice of noncompliance if we determine
that there has been a violation of the regulations in this part, any
order of the Director, or any provision of your grant or other approval
issued under this part. When issuing a notice of noncompliance, BOEM
will serve you at your last known address.
(c) A notice of noncompliance will tell you how you failed to
comply with this part or any order of the Director, and/or the
provisions of your grant or other approval, and will specify what you
must do to correct the noncompliance and the time limits within which
you must act.
(d) Failure of an operator or grant holder to take the actions
specified in a notice of noncompliance issued under this part within
the time limit specified provides the basis for cancellation of the
grant by the Secretary (Sec. 586.216).
(e) BOEM may assess civil penalties, as authorized by section 24 of
the OCS Lands Act, if you fail to comply with any provision of this
part or any term of a grant or order issued under the authority of this
part, after notice of such failure and expirations of any reasonable
period allowed for corrective action. Civil penalties will be
determined and assessed in accordance with the procedures set forth in
30 CFR part 550, subpart N.
(f) You may be subject to criminal penalties as authorized by
section 24 of the OCS Lands Act.
Sec. 586.107 Who can hold a grant under this part?
(a) You may hold a grant under this part if you can demonstrate
that you have the technical and financial capabilities to conduct the
activities authorized by the grant and you are a(n):
(1) Citizen or national of the United States;
(2) Alien lawfully admitted for permanent residence in the United
States as defined in 8 U.S.C. 1101(a)(20);
(3) Private, public, or municipal corporations organized under the
laws of any State of the United States, the District of Columbia, or
any territory or insular possession subject to U.S. jurisdiction;
(4) Association of such citizens, nationals, resident aliens, or
corporations;
(5) Executive agency of the United States as defined in section 105
of Title 5 of the U.S. Code;
(6) State of the United States; or
(7) Political subdivision of a State of the United States.
(b) You may not hold a grant under this part or acquire an interest
in a grant under this part if:
(1) You or your principals are excluded or disqualified from
participating in transactions covered by the Federal non-procurement
debarment and suspension system (2 CFR part 1400), unless BOEM
explicitly has approved an exception for this transaction;
(2) BOEM determines or has previously determined after notice and
opportunity for a hearing that you or your principals have failed to
meet or exercise due diligence under any OCS lease or grant; or
(3) BOEM determines or has previously determined after notice and
opportunity for a hearing that you:
(i) Remained in violation of the terms and conditions of any lease
or grant issued under the OCS Lands Act for a period extending longer
than 30 days (or such other period allowed for compliance) BSEE
directed you to comply; and
(ii) You took no action to correct the noncompliance within that
time period.
Sec. 586.108 How do I show that I am qualified to be a grant holder?
(a) You must demonstrate your technical and financial capability to
construct, operate, maintain, and terminate/decommission projects for
which you are requesting authorization. Documentation can include:
(1) Descriptions of international or domestic experience with
renewable energy projects or other types of electric-energy-related
projects; and
(2) information establishing access to sufficient capital to carry
out development.
(b) An individual must submit a written statement of citizenship
status attesting to U.S. citizenship. It does not need to be notarized
nor give the age of individual. A resident alien may submit a photocopy
of the U.S. Citizenship and Immigration Services form evidencing legal
status of the resident alien.
(c) A corporation or association must submit evidence, as specified
in the table in paragraph (d) of this section, acceptable to BOEM that:
(1) It is qualified to hold grants under this part;
(2) It is authorized to conduct business under the laws of its
State;
(3) It is authorized to hold grants on the OCS under the operating
rules of its business; and
(4) The persons holding the titles listed are authorized to bind
the corporation or association when conducting business with BOEM.
(d) Acceptable evidence under paragraph (c) of this section
includes, but is not limited to the following:
----------------------------------------------------------------------------------------------------------------
Requirements to qualify to hold grants on
the OCS: Corp. Ltd. prtnsp. Gen. prtnsp. LLC Trust
----------------------------------------------------------------------------------------------------------------
(1) Original certificate or certified copy XX ............ ............ ............ ............
from the State of incorporation stating
the name of the corporation exactly as it
must appear on all legal documents.
(2) Certified statement by Secretary/ XX ............ ............ ............ ............
Assistant Secretary over corporate seal,
certifying that the corporation is
authorized to hold OCS grants.
[[Page 6471]]
(3) Evidence of authority of titled XX ............ ............ ............ ............
positions to bind corporation, certified
by Secretary/Assistant Secretary over
corporate seal, including the following:
(i) Certified copy of resolution of ............ ............ ............ ............ ............
the board of directors with titles of
officers authorized to bind
corporation.
(ii) Certified copy of resolutions ............ ............ ............ ............ ............
granting corporate officer authority
to issue a power of attorney.
(iii) Certified copy of power of ............ ............ ............ ............ ............
attorney or certified copy of
resolution granting power of
attorney.
(4) Original certificate or certified copy ............ XX XX XX ............
of partnership or organization paperwork
registering with the appropriate State
official.
(5) Copy of articles of partnership or ............ XX XX XX ............
organization evidencing filing with
appropriate Secretary of State, certified
by Secretary/Assistant Secretary of
partnership or member or manager of LLC.
(6) Original certificate or certified copy ............ XX XX XX ............
evidencing State where partnership or LLC
is registered. Statement of authority to
hold OCS leases, certified by Secretary/
Assistant Secretary, OR original
paperwork registering with the
appropriate State official.
(7) Statements from each partner or LLC ............ XX XX XX ............
member indicating the following:
(i) If a corporation or partnership, ............ ............ ............ ............ ............
statement of State of organization
and authorization to hold OCS grants,
certified by Secretary/Assistant
Secretary over corporate seal, if a
corporation.
(ii) If an individual, a statement of ............ ............ ............ ............ ............
citizenship.
(8) Statement from general partner, ............ XX ............ ............ ............
certified by Secretary/Assistant
Secretary that:
(i) Each individual limited partner is ............ ............ ............ ............ ............
a U.S. citizen and;
(ii) Each corporate limited partner or ............ ............ ............ ............ ............
other entity is incorporated or
formed and organized under the laws
of a U.S. State or territory.
(9) Evidence of authority to bind ............ XX XX XX ............
partnership or LLC, if not specified in
partnership agreement, articles of
organization, or LLC regulations, i.e.,
certificates of authority from Secretary/
Assistant Secretary reflecting authority
of officers.
(10) Listing of members of LLC certified ............ ............ ............ XX ............
by Secretary/Assistant Secretary or any
member or manager of LLC.
(11) Copy of trust agreement or document ............ ............ ............ ............ XX
establishing the trust and all
amendments, properly certified by the
trustee with reference to where the
original documents are filed.
(12) Statement indicating the law under ............ ............ ............ ............ XX
which the trust is established and that
the trust is authorized to hold OCS
grants.
----------------------------------------------------------------------------------------------------------------
(e) A local, State, or Federal executive entity must submit a
written statement that:
(1) It is qualified to hold grants under this part; and
(2) The person(s) acting on behalf of the entity is authorized to
bind the entity when conducting business with us.
(f) BOEM may require you to submit additional information at any
time considering your bid or request for a noncompetitive grant.
Sec. 586.109 When must I notify BOEM if an action has been filed
alleging that I am insolvent or bankrupt?
You must notify BOEM within 3-business days after you learn of any
action filed alleging that you are insolvent or bankrupt.
Sec. 586.110 When must I notify BOEM of mergers, name changes, or
changes of business form?
You must notify BOEM in writing of any merger, name change, or
change of business form. You must notify BOEM as soon as practicable
following the merger, name change, or change in business form, but no
later than 120 days after the earliest of either the effective date, or
the date of filing the change or action with the Secretary of the State
or other authorized official in the State of original registry.
Sec. 586.111 How do I submit plans, applications, or notices required
by this part?
(a) You must submit all plans, applications, or notices required by
this part to BOEM at the following address: Office of Renewable Energy
Programs, 45600 Woodland Road, Sterling, VA 20166.
(b) Unless otherwise stated, you must submit one paper copy and one
electronic copy of all plans, applications, or notices required by this
part.
Sec. 586.112 When and how does BOEM charge me processing fees on a
case-by-case basis?
(a) BOEM will charge a processing fee on a case-by-case basis under
the procedures in this section with regard to any application or
request under this part if we decide at any time that the preparation
of a particular document or study is necessary for the application or
request and it will have a unique processing cost, such as the
preparation of an environmental assessment (EA) or environmental impact
statement (EIS).
(1) Processing costs will include contract oversight and efforts to
review and approve documents prepared by contractors, whether the
contractor is paid directly by the applicant or through BOEM.
(2) We may apply a standard overhead rate to direct processing
costs.
(b) We will assess the ongoing processing fee for each individual
application or request according to the following procedures:
[[Page 6472]]
(1) Before we process your application or request, we will give you
a written estimate of the proposed fee based on reasonable processing
costs.
(2) You may comment on the proposed fee.
(3) You may:
(i) Ask for our approval to perform, or to directly pay a
contractor to perform, all or part of any document, study, or other
activity according to standards we specify, thereby reducing our costs
for processing your application or request; or
(ii) Ask to pay us to perform, or contract for, all or part of any
document, study, or other activity.
(4) We will then give you the final estimate of the processing fee
amount with payment terms and instructions after considering your
comments and any BOEM-approved work you will do.
(i) If we encounter higher or lower processing costs than
anticipated, we will re-estimate our reasonable processing costs
following the procedures in paragraphs (b)(1) through (4) of this
section, but we will not stop ongoing processing unless you do not pay
in accordance with paragraph (b)(5) of this section.
(ii) Once processing is complete, we will refund to you the amount
of money that we did not spend on processing costs.
(5)(i) Consistent with the payment and billing terms provided in
the final estimate, we will periodically estimate what our reasonable
processing costs will be for a specific period and will bill you for
that period. Payment is due to us 30 days after you receive your bill.
We will stop processing your document if you do not pay the bill by the
date payment is due.
(ii) If a periodic payment turns out to be more or less than our
reasonable processing costs for the period, we will adjust the next
billing accordingly or make a refund. Do not deduct any amount from a
payment without our prior written approval.
(6) You must pay the entire fee before we will issue the final
document or take final action on your application or request.
(7) You may appeal our estimated processing costs in accordance
with the regulations in 43 CFR part 4. We will not process the document
further until the appeal is resolved, unless you pay the fee under
protest while the appeal is pending. If the appeal results in a
decision changing the proposed fee, we will adjust the fee in
accordance with paragraph (b)(5)(ii) of this section. If we adjust the
fee downward, we will not pay interest.
Sec. 586.113 Definitions.
Terms used in this part have the meanings as defined in this
section:
Affected local government means with respect to any activities
proposed, conducted, or approved under this part, any locality--
(1) That is, or is proposed to be, the site of gathering,
transmitting, or distributing electricity or other energy product, or
is otherwise receiving, processing, refining, or transshipping product,
or services derived from activities approved under this part;
(2) That is used, or is proposed to be used, as a support base for
activities approved under this part; or
(3) In which there is a reasonable probability of significant
effect on land or water uses from activities approved under this part.
Affected State means with respect to any activities proposed,
conducted, or approved under this part, any coastal State--
(1) That is, or is proposed to be, the site of gathering,
transmitting, or distributing energy or is otherwise receiving,
processing, refining, or transshipping products, or services derived
from activities approved under this part;
(2) That is used, or is scheduled to be used, as a support base for
activities approved under this part; or
(3) In which there is a reasonable probability of significant
effect on land or water uses from activities approved under this part.
Alternate Use refers to the energy- or marine-related use of an
existing OCS facility for activities not otherwise authorized by this
part.
Alternate Use RUE means a right-of-use and easement issued for
activities authorized under this part.
Archaeological resource means any material remains of human life or
activities that are at least 50 years of age and that are of
archaeological interest (i.e., which are capable of providing
scientific or humanistic understanding of past human behavior, cultural
adaptation, and related topics through the application of scientific or
scholarly techniques, such as controlled observation, contextual
measurement, controlled collection, analysis, interpretation, and
explanation).
BOEM means Bureau of Ocean Energy Management of the Department of
the Interior.
BSEE means Bureau of Safety and Environmental Enforcement of the
Department of the Interior.
Decommissioning means removing BOEM and BSEE approved facilities
and returning the site of the grant to a condition that meets the
requirements of this part.
Director means the Director of the Bureau of Ocean Energy
Management (BOEM), of the Department of the Interior, or an official
authorized to act on the Director's behalf.
Facility means an installation that is permanently or temporarily
attached to the seabed of the OCS. Facilities include any structures;
devices; appurtenances; gathering, transmission, and distribution
cables; pipelines; and permanently moored vessels. Any group of OCS
installations interconnected with walkways, or any group of
installations that includes a central or primary installation with one
or more satellite or secondary installations, is a single facility.
BOEM and BSEE may decide that the complexity of the installations
justifies their classification as separate facilities.
Governor means the Governor of a State or the person or entity
lawfully designated by or under State law to exercise the powers
granted to a Governor.
Grant means an alternate use right-of-use and easement issued under
the provisions of this part.
Human environment means the physical, social, and economic
components, conditions, and factors that interactively determine the
state, condition, and quality of living conditions, employment, and
health of those affected, directly or indirectly, by activities
occurring on the OCS.
Lease means an agreement authorizing the use of a designated
portion of the OCS for activities allowed under 30 CFR part 585. The
term also means the area covered by that agreement, when the context
requires.
Lessee means the holder of a lease, a BOEM-approved assignee, and,
when describing the conduct required of parties engaged in activities
on the lease, it also refers to the operator and all persons authorized
by the holder of the lease or operator to conduct activities on the
lease.
Income, unless clearly specified to the contrary, refers to the
money received by the project owner or holder of the lease or grant
issued under this part. The term does not mean that project receipts
exceed project expenses.
Marine environment means the physical, atmospheric, and biological
components, conditions, and factors that interactively determine the
productivity, state, condition, and quality of the marine ecosystem.
These include the waters of the high seas, the contiguous zone,
transitional and intertidal areas, salt marshes, and
[[Page 6473]]
wetlands within the coastal zone and on the OCS.
Natural resources include, without limiting the generality thereof,
renewable energy, oil, gas, and all other minerals (as defined in
section 2(q) of the OCS Lands Act), and marine animal and marine plant
life.
Operator means the individual, corporation, or association having
control or management of activities on the grant under this part. The
operator may be a grant holder or a contractor designated by the holder
of a grant under this part.
Outer Continental Shelf (OCS) means all submerged lands lying
seaward and outside of the area of lands beneath navigable waters, as
defined in section 2 of the Submerged Lands Act (43 U.S.C. 1301), whose
subsoil and seabed appertain to the United States and are subject to
its jurisdiction and control.
Person means, in addition to a natural person, an association
(including partnerships and joint ventures); a Federal agency; a State;
a political subdivision of a State; a Native American Tribal
government; or a private, public, or municipal corporation.
Project, for the purposes of defining the source of revenues to be
shared, means an Alternate Use RUE on which the activities authorized
under this part are conducted on the OCS. The term ``project'' may be
used elsewhere in this rule to refer to these same authorized
activities, the facilities used to conduct these activities, or to the
geographic area of the project, i.e., the project area.
Project area means the geographic surface leased, or granted, for
the purpose of a specific project. If OCS acreage is granted for a
project under some form of agreement other than a lease (i.e., a ROW,
or RUE, or Alternate Use RUE issued under this part or 30 CFR part
585), the Federal acreage granted would be considered the project area.
Renewable Energy means energy resources other than oil and gas and
minerals as defined in 30 CFR part 580. Such resources include, but are
not limited to, wind, solar, and ocean waves, tides, and current.
Revenues mean bonuses, rents, operating fees, and similar payments
made in connection with a project. It does not include administrative
fees such as those assessed for cost recovery, civil penalties, and
forfeiture of financial assurance.
Secretary means the Secretary of the Interior or an official
authorized to act on the Secretary's behalf.
Significant archaeological resource means an archaeological
resource that meets the criteria of significance for eligibility for
listing in the National Register of Historic Places, as defined in 36
CFR 60.4 or its successor.
We, us, and our refer to the Bureau of Ocean Energy Management of
the Department of the Interior, or its possessive, depending on the
context.
You and your means an applicant, the operator or designated
operator of an Alternate Use RUE, or an Alternate Use RUE grant holder
under this part, or the designated agent of any of these, or the
possessive of each, depending on the context. The terms you and your
also include contractors and subcontractors of the entities specified
in the preceding sentence.
Sec. 586.114 How will data and information obtained by BOEM under
this part be disclosed to the public?
(a) BOEM will make data and information available in accordance
with the requirements and subject to the limitations of the Freedom of
Information Act (FOIA) (5 U.S.C. 552) and the regulations contained in
43 CFR part 2.
(b) BOEM will not release such data and information that we have
determined is exempt from disclosure under exemption 4 of FOIA. We will
review such data and information and objections of the submitter to
determine whether release at that time will result in substantial
competitive harm or disclosure of trade secrets.
(c) After considering any objections from the submitter, if we
determine that release of such data and information will result in:
(1) No substantial competitive harm or disclosure of trade secrets,
then the data and information will be released.
(2) Substantial competitive harm or disclosure of trade secrets,
then the data and information will not be released at that time but
will be subject to further review every 3 years thereafter.
Sec. 586.115 Paperwork Reduction Act statements--information
collection.
(a) The Office of Management and Budget (OMB) has approved the
information collection requirements in this part under 44 U.S.C. 3501,
et seq., and assigned OMB Control Number 1010-0176. The table in
paragraph (e) of this section lists the subparts in the rule requiring
the information and its title, summarizes the reasons for collecting
the information, and summarizes how BOEM uses the information.
(b) Respondents are primarily Alternate Use RUE grant holders and
operators. The requirement to respond to the information collection in
this part is mandated under subsection 8(p) of the OCS Lands Act. Some
responses are also required to obtain or retain a benefit, or may be
voluntary.
(c) The Paperwork Reduction Act of 1995 (44 U.S.C. 3501 et seq.)
requires us to inform the public that an agency may not conduct or
sponsor, and you are not required to respond to, a collection of
information unless it displays a currently valid OMB control number.
(d) Comments regarding any aspect of the collections of information
under this part, including suggestions for reducing the burden, should
be sent to the Information Collection Clearance Officer, Bureau of
Ocean Energy Management, 45600 Woodland Road, Sterling, VA 20166.
(e) BOEM is collecting this information for the reasons given in
the following table:
------------------------------------------------------------------------
Reasons for collecting information and
30 CFR 586 subpart and title how used
------------------------------------------------------------------------
(1) Subpart A--General To inform BOEM of actions taken to comply
Provisions. with general operational requirements on
the OCS. To ensure that operations on
the OCS meet statutory and regulatory
requirements, are safe and protect the
environment, and result in diligent
development on OCS leases.
(2) Subpart B--Issuance of To enable BOEM to review information
Alternate Use RUEs for regarding the design, installation, and
Energy- and Marine-Related operation of Alternate Use RUEs on the
Activities Using Existing OCS, to ensure that Alternate Use RUE
OCS Facilities. operations are safe and protect the
human, marine, and coastal environment.
To ensure adherence with other Federal
laws, these regulations, the Alternate
Use RUE grant, and, where applicable,
the approved plan.
------------------------------------------------------------------------
[[Page 6474]]
Sec. Sec. 586.116-586.117 [Reserved]
Sec. 586.118 What are my appeal rights?
(a) Any party adversely affected by a BOEM official's final
decision or order issued under the regulations of this part may appeal
that decision or order to the Interior Board of Land Appeals. The
appeal must conform with the procedures found in part 590 of this
chapter and in 43 CFR part 4, subpart E. Appeal of a final decision for
bid acceptance is covered under paragraph (c) of this section.
(b) A decision will remain in full force and effect during the
period in which an appeal may be filed and during an appeal, unless a
stay is granted pursuant to 43 CFR part 4.
(c) Our decision on a bid is the final action of the Department,
except that an unsuccessful bidder may apply for reconsideration by the
Director.
(1) A bidder whose bid we reject may file a written request for
reconsideration with the Director within 15 days of the date of the
receipt of the notice of rejection, accompanied by a statement of
reasons, with one copy to us. The Director will respond in writing
either affirming or reversing the decision.
(2) The delegation of review authority given to the Office of
Hearings and Appeals does not apply to decisions on high bids for
leases or grants under this part.
Subpart B--Issuance of Alternate Use RUEs for Energy- and Marine-
Related Activities Using Existing OCS Facilities
Requesting an Alternate Use RUE
Sec. 586.200 What must I do before I request an Alternate Use RUE?
If you are not the owner of the existing facility on the OCS and
the lessee of the area in which the facility is located, you must
contact the lessee and owner of the facility and reach a preliminary
agreement as to the proposed activity for the use of the existing
facility.
Sec. 586.201 How do I request an Alternate Use RUE?
To request an Alternate Use RUE, you must submit to BOEM all of the
following:
(a) The name, address, email address, and phone number of an
authorized representative.
(b) A summary of the proposed activities for the use of an existing
OCS facility, including:
(1) The type of activities that would involve the use of the
existing OCS facility;
(2) A description of the existing OCS facility, including a map
providing its location on the lease block;
(3) The names of the owner of the existing OCS facility, the
operator, the lessee, and any owner of operating rights on the lease at
which the facility is located;
(4) A description of additional structures or equipment that will
be required to be located on or in the vicinity of the existing OCS
facility in connection with the proposed activities;
(5) A statement indicating whether any of the proposed activities
are intended to occur before existing activities on the OCS facility
have ceased; and
(6) A statement describing how existing activities at the OCS
facility will be affected if proposed activities are to occur at the
same time as existing activities at the OCS facility.
(c) A statement affirming that the proposed activities sought to be
approved under this subpart are not otherwise authorized by other
provisions in this subchapter or any other Federal law.
(d) Evidence that you meet the requirements of Sec. 586.107, as
required by Sec. 586.108.
(e) The signatures of the applicant, the owner of the existing OCS
facility, and the lessee of the area in which the existing facility is
located.
Sec. 586.202 How will BOEM decide whether to issue an Alternate Use
RUE?
(a) We will consider requests for an Alternate Use RUE on a case-
by-case basis. In considering such requests, we will consult with
relevant Federal agencies and evaluate whether the proposed activities
involving the use of an existing OCS facility can be conducted in a
manner that:
(1) Ensures safety and minimizes adverse effects to the coastal and
marine environments, including their physical, atmospheric, and
biological components, to the extent practicable;
(2) Does not inhibit or restrain orderly development of OCS mineral
or energy resources;
(3) Avoids serious harm or damage to, or waste of, any natural
resource (including OCS mineral deposits and oil, gas, and sulfur
resources in areas leased or not leased), any life (including fish and
other aquatic life), or property (including sites, structures, or
objects of historical or archaeological significance);
(4) Is otherwise consistent with subsection 8(p) of the OCS Lands
Act; and
(5) DOI can effectively regulate.
(b) Based on the evaluation that we perform under paragraph (a) of
this section, BOEM may authorize, reject, or authorize with
modifications or stipulations, the proposed activity.
Sec. 586.203 What process will BOEM use for competitively offering an
Alternate Use RUE?
(a) An Alternate Use RUE must be issued on a competitive basis
unless BOEM determines, after public notice of the proposed Alternate
Use RUE, that there is no competitive interest.
(b) We will issue a public notice in the Federal Register to
determine if there is competitive interest in using the proposed
facility for alternate use activities. BOEM will specify a time period
for members of the public to express competitive interest.
(c) If we receive indications of competitive interest within the
published timeframe, we will proceed with a competitive offering. As
part of such competitive offering, each competing applicant must submit
a description of the types of activities proposed for the existing
facility, as well as satisfactory evidence that the competing applicant
qualifies to hold a grant on the OCS, as required in Sec. Sec. 586.107
and 586.108, by a date we specify. We may request additional
information from competing applicants, as necessary, to adequately
evaluate the competing proposals.
(d) We will evaluate all competing proposals to determine whether:
(1) The proposed activities are compatible with existing activities
at the facility; and
(2) BOEM and BSEE have the expertise and resources available to
regulate the activities effectively.
(e) We will evaluate all proposals under the requirements of NEPA,
CZMA, and other applicable laws.
(f) Following our evaluation, we will select one or more acceptable
proposals for activities involving the alternate use of an existing OCS
facility, notify the competing applicants, and submit each acceptable
proposal to the lessee and owner of the existing OCS facility. If the
lessee and owner of the facility agree to accept a proposal, we will
proceed to issue an Alternate Use RUE. If the lessee and owner of the
facility are unwilling to accept any of the proposals that we deem
acceptable, we will not issue an Alternate Use RUE.
Sec. Sec. 586.204-586.209 [Reserved]
Alternate Use RUE Administration
Sec. 586.210 How long may I conduct activities under an Alternate Use
RUE?
(a) We will establish on a case-by-case basis, and set forth in the
Alternate Use RUE, the length of time for which you are authorized to
conduct activities approved in your Alternate Use RUE instrument.
[[Page 6475]]
(b) In establishing this term, BOEM will consider the size and
scale of the proposed alternate use activities, the type of alternate
use activities, and any other relevant considerations.
(c) BOEM may authorize renewal of Alternate Use RUEs at its
discretion.
Sec. 586.211 What payments are required for an Alternate Use RUE?
We will establish rental or other payments for an Alternate Use RUE
on a case-by-case basis, as set forth in the Alternate Use RUE grant,
depending on our assessment of the following factors:
(a) The effect on the original OCS Lands Act approved activity;
(b) The size and scale of the proposed alternate use activities;
(c) The income, if any, expected to be generated from the proposed
alternate use activities; and
(d) The type of alternate use activities.
Sec. 586.212 What financial assurance is required for an Alternate
Use RUE?
(a) The holder of an Alternate Use RUE will be required to secure
financial assurances in an amount determined by BOEM that is sufficient
to cover all obligations under the Alternate Use RUE, including
decommissioning obligations, and must retain such financial assurance
amounts until all obligations have been fulfilled, as determined by
BOEM.
(b) We may revise financial assurance amounts, as necessary, to
ensure that there is sufficient financial assurance to secure all
obligations under the Alternate Use RUE.
(c) We may reduce the amount of the financial assurance that you
must retain if it is not necessary to cover existing obligations under
the Alternate Use RUE.
Sec. 586.213 Is an Alternate Use RUE assignable?
(a) BOEM may authorize assignment of an Alternate Use RUE.
(b) To request assignment of an Alternate Use RUE, you must submit
a written request for assignment that includes the following
information:
(1) BOEM-assigned Alternate Use RUE number;
(2) The names of both the assignor and the assignee, if applicable;
(3) The names and telephone numbers of the contacts for both the
assignor and the assignee;
(4) The names, titles, and signatures of the authorizing officials
for both the assignor and the assignee;
(5) A statement affirming that the owner of the existing OCS
facility and lessee of the lease in which the facility is located
approve of the proposed assignment and assignee;
(6) A statement that the assignee agrees to comply with and to be
bound by the terms and conditions of the Alternate Use RUE;
(7) Evidence required by Sec. 586.108 that the assignee satisfies
the requirements of Sec. 586.107; and
(8) A statement on how the assignee will comply with the financial
assurance requirements set forth in the Alternate Use RUE.
(c) The assignment takes effect on the date we approve your
request.
(d) The assignor is liable for all obligations that accrue under an
Alternate Use RUE before the date we approve your assignment request.
An assignment approval by BOEM does not relieve the assignor of
liability for accrued obligations that the assignee, or a subsequent
assignee, fails to perform.
(e) The assignee and each subsequent assignee are liable for all
obligations that accrue under an Alternate Use RUE after the date we
approve the assignment request.
Sec. 586.214 When will BOEM suspend an Alternate Use RUE?
(a) BOEM may suspend an Alternate Use RUE if:
(1) necessary to comply with judicial decrees; or
(2) necessary for reasons of national security or defense.
(b) A suspension will extend the term of your Alternate Use RUE
grant for the period of the suspension.
Sec. 586.215 How do I relinquish an Alternate Use RUE?
(a) You may voluntarily surrender an Alternate Use RUE by
submitting a written request to us that includes the following:
(1) The name, address, email address, and phone number of an
authorized representative;
(2) The reason you are requesting relinquishment of the Alternate
Use RUE;
(3) BOEM-assigned Alternate Use RUE number;
(4) The name of the associated OCS facility, its owner, and the
lessee for the lease in which the OCS facility is located;
(5) The name, title, and signature of your authorizing official
(which must match exactly the name, title, and signature in the BOEM
qualification records); and
(6) A statement that you will adhere to the decommissioning
requirements in the Alternate Use RUE.
(b) We will not approve your relinquishment request until you have
paid all outstanding rentals (or other payments) and fines.
(c) The relinquishment takes effect on the date we approve your
request.
Sec. 586.216 When will an Alternate Use RUE be cancelled?
The Secretary may cancel an Alternate Use RUE if it is determined,
after notice and opportunity to be heard:
(a) You no longer qualify to hold an Alternate Use RUE;
(b) You failed to provide any additional financial assurance
required by BOEM, replace or provide additional coverage for a de-
valued bond, or replace a lapsed or forfeited bond within the
prescribed time period;
(c) Continued activity under the Alternate Use RUE is likely to
cause serious harm or damage to natural resources; life (including
human and wildlife); property; the marine, coastal, or human
environment; or sites, structures, or objects of historical or
archaeological significance;
(d) Continued activity under the Alternate Use RUE is determined to
be adversely impacting the original OCS Lands Act approved activities
on the existing OCS facility;
(e) You failed to comply with any of the terms and conditions of
your approved Alternate Use RUE or your approved plan; or
(f) You otherwise failed to comply with applicable laws or
regulations.
Sec. 586.217 [Reserved]
Sec. 586.218 Who is responsible for decommissioning an OCS facility
subject to an Alternate Use RUE?
(a) The holder of an Alternate Use RUE is responsible for all
decommissioning obligations that accrue following the issuance of the
Alternate Use RUE and which pertain to the Alternate Use RUE.
(b) The lessee under the lease originally issued under 30 CFR
chapter V will remain responsible for decommissioning obligations that
accrued before issuance of the Alternate Use RUE, as well as for
decommissioning obligations that accrue following issuance of the
Alternate Use RUE to the extent associated with continued activities
authorized under other parts of this title.
Sec. 586.219 What are decommissioning requirements for an Alternate
Use RUE?
(a) Decommissioning requirements will be determined by BOEM and
BSEE on a case-by-case basis and will be included in the terms of the
Alternate Use RUE.
(b) Decommissioning activities must be completed within 1 year of
termination of the Alternate Use RUE.
[[Page 6476]]
(c) If you fail to satisfy all decommissioning requirements within
the prescribed time period, BOEM will call for the forfeiture of your
bond or other financial guarantee, and you will remain liable for all
accidents or damages that might result from such failure.
[FR Doc. 2023-00871 Filed 1-30-23; 8:45 am]
BILLING CODE 4310-MR-P
