Document 2RVbL70kjX0dY25mQLd5xvQ37

Conversation Contents Fwd: BLM narrative Revised - Invitation to comment Attachments: /34. Fwd: BLM narrative_Revised - Invitation to comment/1.1 BLM narrative Revised.docx ll Bail, Kristin" <kbail@blm.gov> From: Sent: To: Subject: Attachments: "Bail, Kristin" <kbail@blm.gov> Wed Jul 19 2017 12:23:13 GMT-0600 (MDT) "Tryon, Steve" <stryon@blm.gov> Fwd: BLM narrative_Revised - Invitation to comment BLM narrative Revised.docx For info, I've attached what we sent to Peter today. Thanks again for your good edits. -K --------- Forwarded message ----------From: Wootton, Rachel <rwootton@blm.gov> Date: Wed, Jul 19, 2017 at 8:16 AM Subject: Re: BLM narrative_Revised - Invitation to comment To: Peter Mali <pmali@blm.gov> Cc: "Bail, Kristin" <kbail@blm.gov>. Timothy Spisak <tspisak@blm.gov>. Thomas Bartholomew <tbarthol@blm.gov> Hi Peter, Kristin, Tim, and Thomas, The edits are included in the google doc. Feel free to let me know if there is anything else I can help with. Per Kristin's email above, I included a comment for Tim to review. I can see he's in the document, which is great! We can delete that when you are done reviewing, Tim. Best, Rachel Rachel Wootton Planning and Environmental Specialist National Conservation Lands (WO-410) Bureau of Land Management 20 M Street SE Washington, DC 20003 rwootton@blm.gov desk - (202) 912-7398 cell - (202) 774-8791 Visit us online! On Wed, Jul 19, 2017 at 7:27 AM, Rachel Wootton <rwootton@blm.gov> wrote: Peter and Kristin, I would be happy to add the edits. I'll do it first thing this morning. I'll arrive in about 1/2 an hour. Have a great day! Best, Rachel Wootton Planning and Environmental Specialist National Conservation Lands Bureau of Land Management (202)912-7398 On Jul 19, 2017, at 6:10 AM, Peter Mali <pmali@blm.gov> wrote: Hi, Rachel: I did not incorporate Kristin's last night. It would be great if you could do so this morning. Thank you so much! Peter Peter Mali Acting Chief of Staff Bureau of Land Management Office: (202) 208-4586 Mobile: (202) 503-7460 Sent from my iPhone On Jul 18, 2017, at 10:53 PM, Rachel Wootton <rwootton@blm.gov> wrote: Hi Kristin, I would be happy to help. I think Peter may have already been able to incorporate your edits this evening, but if not, I would be happy to put them in! I'll check in with you on this in the morning, Peter. Best, Rachel Wootton Planning and Environmental Specialist National Conservation Lands Bureau of Land Management (202)912-7398 On Jul 18, 2017, at 6:55 PM, Bail, Kristin <kbail@blm.gov> wrote: Peter -- I am completely unfamiliar with Google Docs and was not able to insert the new text. I am cc'ing Rachel to see if she can assist in getting the text added for me. I am cc'ing Tim Spisak so he can review my proposed revision. --K 1. Anticipated Benefits. DELETE THE FOLLOWING: The primary benefits will be to bring BLM's policy guidance into compliance with Executive Order ADD THE FOLLOWING: Permanent Instruction Memorandum (IM) No. 2017-003 transmitted guidance related to the now-rescinded Council on Environmental Quality's (CEQ) August 2016 Guidance on Consideration of Greenhouse Gas Emissions and the Effects of Climate Change in National Environmental Policy Act Reviews. In addition to transmitting the CEQ guidance, the IM instructed BLM offices preparing NEPA analysis in support of oil, gas, and coal decisions to: use projected greenhouse gas emissions as a proxy for assessing potential climate change effects; quantify and disclose reasonably foreseeable direct and indirect GHG emissions; quantify downstream or end-use greenhouse gas emissions and compare GHG quantities across alternative scenarios; and determine the direct GHG emissions from extraction and the indirect GHG emissions from combustion of the resource. The calculation of indirect emissions is based on the proposed action and information about the likely resource production. If available data do not allow for a credible estimate of production, the IM instructed that the NEPA analysis must contain an explanation of why the available data is not adequate to permit quantification, as well as a qualitative analysis of the emissions. The IM also required that the NEPA analysis contain an explanation of why the available data is not adequate to permit quantification, as well as a qualitative analysis of the emissions. A re-issued Instruction Memorandum would clarify that downstream or indirect effects may be difficult to quantify, especially when production or modeling information is not available (such as with a lease sale in an exploratory area). Clarified guidance would reduce or eliminate speculative NEPA analysis in such situations. It would also relieve BLM offices of attempting to quantify downstream emissions that are completely outside of the BLM's jurisdictional authority; for example, refineries that process gas from a wide mix of sources, including non-Federal. By addressing these burdens the BLM can bring its policy guidance into compliance with Executive Order 13783, provide greater certainty for industry during the environmental review process, and stop unnecessary and speculative emissions scenarios from being produced. --------- Forwarded message ----------From: Rachel Wootton (via Google Docs) <drive-sharesnoreply@google.com> Date: Tue, Jul 18, 2017 at 4:05 PM Subject: BLM narrative_Revised - Invitation to comment To: kbail@blm.gov Cc: cmcalear@blm.gov. iscrivne@blm.gov. tspisak@blm.gov. pmali@blm.gov, smcginnis@blm.gov, nmoore@blm.gov Rachel Wootton has invited you to comment on the following document: 5 BLM narrative_Revised Chris, Nikki, Kristin, James, Tim, Peter, and Shelley, As per a request from Nikki and Chris, I have created this google document. Your edits should appear in track changes. Once it is complete, it can be easily exported to word using the file then export menu. Please let me know if you have any issues editing or accessing this document. Thank you! Best, Rachel Wootton Open in Docs Google Docs: Create and edit documents online. Google Inc. 1600 Amphitheatre Parkway, Mountain View, CA 94043, USA You have received this email because someone shared a document with you from Google Docs. Memorandum To: Office of the Executive Secretariat Through: Katharine S. MacGregor Acting Assistant Secretary, Land and Minerals Management From: Michael Nedd Acting Director, BLM Subject: BLM E.O. 13783 Energy Report I. Executive Summary Pursuant to the Associate Deputy Secretary's June 28, 2017, memorandum, the Bureau of Land Management describes below ## agency actions that potentially burden the development or use of domestically produced energy resources, and makes recommendations for alleviating such (b) (5) h ^Formatted: Font: Not Bold II. Recommendations for Alleviating or Eliminating Burdensome Actions A. Climate Change Actions Permanent Instruction Memorandum (Permanent IM) 2017-003 (Jan. 12, 2017) -- The Council on Environmental Quality Guidance on Consideration of Greenhouse Gas Emissions and the Effects of Climate Change in National Environmental Policy Act Reviews: 1. Description. This Permanent IM transmits the Council on Environmental Quality (CEQ) guidance on consideration of greenhouse gas (GHG) emissions and the effects of climate change in National Environmental Policy Act (NEPA) reviews. This Memorandum also provides general guidelines for calculating reasonably foreseeable direct and indirect GHG emissions of proposed actions 2. Opportunities to Address Burden or Other Issues of Concern. As the CEQ guidance was withdrawn pursuant to Section 3 of Executive Order 13783, the BLM Permanent IM will be rescinded. The BLM will consider issuing new guidance to its offices on approaches for calculating reasonably foreseeable direct and indirect GHG emissions of proposed and related actions. 3. Anticipated Benefits. The primary benefits will be to bring BLM's policy guidance into compliance with Executive Order 13 7783 ( Memorandum (IM) No. 2017-003 transmitterd guidance related to the now-rescinded 1 Council on Environmental Quality's (CEQ) August 2016 Guidance on Consideration of Greenhouse Gas Emissions and the Effects of Climate Change in National Environmental Policy Act Reviews. In addition to transmitting the CEQ guidance, the IM instructed BLM offices preparing NEPA analysis in support of oil, gas, and coal decisions to: o [quantify and disclose reasonably foreseeable direct and indirect GHG emissions; ]_________________ o [quantify downstream or end-use greenhouse gas emissions and compare GHG quantities across alternative scenarios; and |______________________ o [determine the direct GHG emissions from extraction and the indirect GHG emissions from combustion of the resource. The calculation of indirect emissions is based on the proposed action and information about the likely resource production. | 3. If available data do not allow for a credible estimate of production, the IM instructed that the NEPA analysis must contain an explanation of why the available data is not adequate to permit quantification, as well as a qualitative analysis of the emissions. The IM also required that the NEPA analysis contain an explanation of why the available data is not adequate to permit quantification, as well as a qualitative analysis of the emissions. A re-issued Instruction Memorandum would clarify that downstream or indirect effects may be difficult to Quantify, especially when production or modeling information is not available (such as with a lease sale in an exploratory area). Clarified guidance would reduce or eliminate speculative NEPA analysis in such situations. It would also relieve BLM offices of attempting to quantify downstream emissions that are completely outside of the BLM's jurisdictional authority; for example, refineries that process gas from a wide mix of sources, including nonFederal. By addressing these burdens the BLM can bring its policy guidance into compliance with Executive Order 13783, provide greater certainty for industry during the environmental review process, and stop unnecessary and speculative emissions scenarios from being developedproducedj_ 4. Measuring Success. The success measure in issuing new guidance will be consistent approaches for considering GHG emissions in NEPA reviews. 5. Interim Methods. The BLM is developing an Instruction Memorandum to replace Permanent IM 2017-003; this new IM will provide guidance on consideration of GHG emissions and the effects of climate change in NEPA reviews. The BLM is also developing a unified Air Resources Toolkit that can be used across all organizational levels to consistently calculate, as needed and appropriate, relevant air emissions for a variety of BLM resource management functions. Once available, this toolkit will expedite analysis of reasonably foreseeable GHG emissions associated with energy and mineral development. B. Mitigation Actions 2 Mitigation Manual Section (MS-1794) and Handbook (H-1794-1): 1. Description. The Mitigation Manual Section and Handbook provide direction on the use of mitigation, including compensatory mitigation, to support the BLM's multiple use and sustained yield mandates. The 2016 Manual and Handbook replaced several IMs (IM Numbers 2005-069, 2008-204, and 2013-14) issued by BLM for the same purpose. The 2016 Manual and Handbook encourage identification of mitigation standards that seek to achieve "no net loss" or "net benefit" for resources that BLM has determined are important, scarce, sensitive, or that have a protective legal mandate. A "net benefit" standard may burden development or use of domestically produced energy resources and may be appropriate only in limited circumstances, for example where it is voluntary or will clearly benefit BLM-managed resources, the states, local communities, industry, and other primary stakeholders. 2. Opportunities to Address Burden or Other Issues of Concern. This potential burden would be reduced or eliminated through revision of the Mitigation Manual and Handbook, specifically through identifying a mitigation standard that is generally not more protective than "no net loss." Other revisions, such as clarifying what resources require compensatory mitigation, and how to calculate the appropriate kind and amount of compensatory mitigation, may further reduce this potential burden. 3. Anticipated Benefits. A revised Manual and Handbook that address the issues identified above are expected to provide greater predictability (internally and externally), ease conflicts, and may reduce permitting/authorizations times. 4. Measuring Success. Measuring success would be largely quantitative. The BLM would continue to track impacts from land use authorizations and would also track the type and amount of compensatory mitigation implemented and its effectiveness, preferably in a centralized database. 5. Interim Methods. The BLM is drafting an IM that provides interim direction regarding new and ongoing mitigation practices while the Manual and Handbook are being reviewed and revised. Use of the existing Manual and Handbook would continue, as modified and limited by this IM, until they are superseded. BLM Manual 6220 - National Monuments, National Conservation Areas, and Similar Designations (07/13/2012)1 1. Description. Manual 6220 provides guidance for managing BLM National Conservation Lands designated by Congress or the President as National Monuments, National Conservation Areas, and similar designations (NM/NCA) in order to comply with the designating Acts of Congress and Presidential Proclamations, Federal Land Policy and Management Act (FLPMA), and the Omnibus Public Land Management Act of 2009 (16 U.S.C. 7202). Manual 6220 requires that when processing a new ROW application, to the greatest extent possible, through the NEPA process the BLM will determine the consistency of the ROW with the Monument or NCA's objects and values; consider routing or siting the ROW outside of the Monument or NCA; and consider mitigation of the impacts from the ROW. Land uUse pPlans must identify management actions, allowable uses, restrictions, management actions regarding any 3 valid existing rights, and mitigation measures to ensure that the objects and values are protected. The manual requires that a land use plan for a Monument or NCA should consider closing the area to mineral leasing, mineral material sales, and vegetative sales, subject to valid existing rights, where that component's designating authority does not already do so. (b) (5) --(b) lb) I 2. Opportunities to Address Burden or Other Issues of Concern. A review of Manual 6220 to identify where clarity could be provided for mitigation, notification standards, and compatible uses, may potentially reduce or eliminate burdens. (b) (5) --The BLM will review Manual 6220 following the proposed revisions to the BLM Mitigation Manual Section (MS-1794) and Handbook (H-1794-1) to ensure that Manual 6220 conforms to the BLM's revised mitigation guidance. 3. Anticipated Benefits. Addressing any potential issues, along with providing consistency with the BLM Mitigation Manual is expected to provide greater predictability (internally and externally), reduce conflicts, and may reduce permitting/authorizations times. (b) (5) 4. Measuring Success. Success will be measured in the BLM meeting legal obligations under the designating Act or Proclamation for each unit and the allowance of compatible multiple uses. 5. Interim Methods. N/A BLM Manual 6400 - Wild and Scenic Rivers, Policy and Program Direction for Identification, Evaluation, Planning, and Management (07/13/2012) -----Description. 1--Manual 6400 provides guidance for management of eligible and suitable wild and scenic rivers and designated wild and scenic rivers in order to fulfill obligations from the Wild and Scenic Rivers Act. Subject to valid existing rights, the manual, states that minerals in any Federal lands that constitute the bed or bank or are situated within lA mile of the bank of any river listed under Section 5(a) are withdrawn from all forms of appropriation under the mining laws, for the time periods specified in Section 7(b) of the WSRA (not a study river). The manual allows for new leases, licenses, and permits under mineral leasing laws be made, but requires that consideration be given to applying conditions necessary to protect the values of the river corridor. For wild river segments, the manual requires that new disposal of saleable mineral material or the extension or renewal of existing contracts should be 4 Formatted: Font: (Default) Arial, 11 pt Formatted: Indent: Left: 0.5", Space After: 0 pt, Add space between paragraphs of the same style, No bullets or numbering Formatted: Font: 11.5 pt Formatted: Highlight Formatted: Line spacing: Multiple 1.15 li, Widow/Orphan control Formatted: Highlight Formatted: Font: Not Bold Formatted: Font: Bold Formatted: Font: 7 pt avoided to the greatest extent possible to protect river values. 2. Opportunities to Address Burden or Other Issues of Concern. . Manual 6400 will Formatted: Highlight be reviewed following the proposed revisions to the BLM Mitigation Manual Section and Handbook to ensure it conforms to the BLM revised mitigation guidance. Although the requirements for minerals and mineral withdrawals are legally Formatted: Font: 7 pt, Not Bold Formatted: Font: Not Bold mandated under the mining and mineral leasing laws in Sections 9(a) and 15(2) of the Wild and Scenic River Act, Manual 6400 will be reviewed for opportunities to clarify discretionary decision-space. Formatted: Font: Bold ] expected to provide greater predictability (internally and externally), reduce conflicts, and may reduce permitting/authorizations times 4r5.Measuring Success. Success will be measured in terms of complying with the WSRA and identifying and allowing compatible multiple uses. r&Interim Methods. N/A BLM Manual 6280 - Management of National Scenic and Historic Trails and Trails under Study or Recommended as Suitable for Congressional Designation (09/14/2012) Description. Manual 6280 provides guidance for managing trails under study, trails recommended as suitable, and congressionally designated National Scenic and Historic Trails to fulfill the requirements of the National Trails System Act (NTSA) and the Federal Land Policy and Management Act. Manual 6280 identifies mitigation as one way to address substantial interference with the natural and for which a National Trail is designated. Formatted: Highlight Formatted: Font: Not Bold 5 (b) (5) will be reviewed following the proposed revisions to the BLM Mitigation Manual Section and Handbook to ensure it conforms to the BLM revised mitigation guidance. Although many of the requirements are legally mandated under the National Trails System Act, Manual 6280 will be reviewed for opportunities to clarify any discretionary decision-space to reduce or eliminate burdens. 3r2.Anticipated Benefits. Addressing any potential issues, along with providing consistency with the BLM Mitigation Manual is expected to provide greater predictability (internally and externally), reduce conflicts, and may reduce permitting/authorizations times. 4r3.Measuring Success. Success will be measured in terms of complying with the NTSATSA and identifying and allowing compatible multiple uses. 54.Interim Methods. N/A C. Coal-Related b 5 Formatted: Highlight 6 7 I 8 I I I ] H. Other Actions that Potentially Burden Develop or Use of Energy Regulation, Oil and Gas; Hydraulic Fracturing on Federal and Indian Lands, 80 Fed. Reg. 16128 I. I. Description. The review of the Hydraulic Fracturing regulation by the BLM is in response to Executive Order 13783. The BLM final rule on hydraulic fracturing serves as a complement to update existing regulations designed to ensure the environmentally responsible development of oil and gas resources and protection of other downhole zones on Federal and Indian lands. The BLM initiated the rule in response to the increasing use and complexity of hydraulic fracturing coupled with advanced horizontal drilling technology. This technology has opened large portions of Federal and Indian lands to oil and gas development. Some provisions of the rule add regulatory burdens that unnecessarily encumber energy production, constrain economic growth, and prevent job creation. Portions of the rule also overlap with current Environmental Protection Agency provisions. 9 2. Opportunities to Address Burden or Other Issues of Concern. Due to on-going litigation and court-ordered stay, this regulation has never gone into effect and therefore has not become a burden on energy-producers. This regulation will be rescinded. 3. Anticipated Benefits. In states that currently regulate hydraulic fracturing, proponents will be under only one set of regulations and, as such, the rule has the potential to offer a reduction in the regulatory burden by being under one regulation rather than two. Because this was a controversial rule-making, resulting in litigation on the part of states and industry, pulling this rule back may result in additional interest in oil and gas development on public lands, especially under higher commodity prices.. 4. Measuring Success. Since the regulation was never implemented, there is not prior regulations that have been in place for over twenty years. Economic analysis of the rescission of this nearly implemented policy will provide information on the likely costs to the oil and gas industry avoided by not putting the rule in place. 5. Interim Methods. The interim state is the status quo of the existing regulations. These are very simple regulations regarding hydraulic fracturing and no particular variances, waivers or interim compliance measures are required. Regulation, Oil and Gas; Waste Prevention, Production Subject to Royalties, and Resource Conservation, 81 Fed. Reg. 83008 1. Description. The "Venting & Flaring Rule," formally known as the "Waste Prevention, Production Subject to Royalties, and Resource Conservation" rule, replaced the requirements related to venting, flaring, and royalty-free use of gas contained in the 1979 "Notice to Lessees and Operators of Onshore Federal and Indian Oil and Gas Leases, Royalty or Compensation for Oil and Gas Lost" (NTL- 4A). The BLM codified the new rule at new 43 CFR subparts 3178 and 3179. In response to Executive Order 13783, the BLM is reviewing this rule for greater efficiencies and potential burdens to industry. Thise recent rulemaking includes provisions to make regulatory and statutory authority consistent with respect to royalty rates that may be levied on competitively offered oil and gas leases on Federal lands. Some provisions of the rule add regulatory burdens that unnecessarily encumber energy production, constrain economic growth, and prevent job creation. Portions of the rule also overlap with current Environmental Protection Agency | (EPA) provisions. 2. Opportunities to Address Burden or Other Issues of Concern. To reduce the regulatory burden on the energy industry, the BLM is revising the regulation to delay the phased-in implementation dates. This will provide industry additional time to plan for and engineer responsive infrastructure modifications that will comply with the regulation. The BLM expects to complete the revision of the regulation in the fourth quarter of FY 2018. Further, The BLM plans to modify the existing rule to^^-'-'^Formatted: Font: Not Bold eliminate overlap with EPA provisions and incentivize the capture of associated gas production from oil wells and other fugitive gas sources from Federal and Indian production. 10 3. Anticipated Benefits. Because the revised regulation will provide significant additional phase-in time to oil and gas operators, the BLM expects industry to have sufficient time to design and acquire compliant infrastructure that will lower the cost of compliance and spread that cost over more time. 4. Measuring Success. The BLM will measure success in reducing the burden from the Waste Prevention regulation by industry acceptance and work with industry to develop metrics, including key timelines or benchmarks and the reduction of flaring from Federal and Indian lands over time. 5. Interim Methods. The completed regulation provided a phase-in period for waste prevention requirements which has not expired. The revised regulation provides for a longer phase-in of the waste prevention requirements. No additional variances or waivers of interim measures are needed beyond those provided in the regulation. Policy, Oil and Gas; IM 2010-117, "Oil and Gas Leasing Reform - Land Use Planning and Lease Parcel Reviews" 1. Description. . The BLM has identified Policy IM 2010-117 for review under the Formatted: Font: Not Bold ] directives provided by Executive Order 13783. This policy will be replaced with revised guidance for the purpose of establishing greater efficiencies in the oil and gas leasing process. Policy This IM 2010-117 establisheds a process for I Formatted: Font: Not Bold -leasing of oil and gas resources on Federal lands. -- ihe BLM intended the IM to reduce the backlog of unissued leases. The IM has resulted in longer time frames to provide I analysis and responses to protests and appeals, as well as longer lead times for the BLM to clear parcels for sale. It has also resulted in increased workload and staffing needs to conduct additional upfront environmental analysis. 2. Opportunities to Address Burden or Other Issues of Concern. The BLM has undertaken an effort to revise the leasing reform policy and to streamline the process, from receiving an Expression of Interest to competitively offering the nominated acreage in a lease sale. Under leasing reform, the process can last up to 16 months and sometimes longer from acres nominated through offered at a lease sale. The BLM is examining ways to significantly reduce this time by as much as 8-10 months. The BLM plans to have completed revising the leasing process in the first quarter of FY 2018. 3. Anticipated Benefits. A shorter time interval from nomination to sale will reduce the amount of time that nominated acreage is in the BLM's hands and likely reduce the number of nominated acres awaiting competitive sale at any given moment. This will more quickly provide industry a level of certainty on the acreage they hold, allowing industry to plan exploration or production strategies earlier, and to be flexible in responding to changing market conditions. 4. Measuring Success. The reduction in the average time from acreage nomination to offering at sale will be BLM's measure of success. The BLM does not control what acreage industry nominates because industry market conditions can fluctuate 11 dramatically up and down; therefore, total nominated acreage awaiting sale is not likely to be a measure of success. 5. Interim Methods. Until the BLM can complete the policy revision, the BLM is setting quarterly lease sale acreage targets to address the acreage currently nominated. The BLM is also identifying ways to augment staff support for potential sales in those offices with the greatest numbers of acres nominated. Policy, Oil and Gas; IM 2013-101, "Oil and Gas Leasing Reform - Master Leasing Plans (MLPs)" 1. Description. This IM is under review by the BLM as directed by Executive Order 13783. The policy announceds the incorporation of Master Leasing Plans (MLP) in the oil and gas leasing process, further explained in Chapter V of the BLM Handbook H-1624-1, titled "Planning for Fluid Mineral Resources." The IM establishes a process for integrating an MLP into the land use planning process. The BLM has extended this IM several times while the BLM completes the public scoping and analysis for MLPs. An unintended consequence of this policy has been that (b) (5) , many areas |(b) (5) -open to oil and gas leasing have J^J-been deferred 1 from leasing |(b) (5) -while they await the completion of (b) (5) the MLP process. 2. Opportunities to Address Burden or Other Issues of Concern. The BLM has undertaken an effort to revise the leasing reform and MLP policy and to re-establish the BLM Resource Management Plans (RMP) as the source of lands available for fluid minerals leasing. The BLM is currently evaluating existing MLP efforts with the goal of ending this approach. The BLM expects to rescind this IM and complete the revision of the above BLM Handbook, as well as any other relevant BLM handbooks, in the first quarter of FY 2018. 3. Anticipated Benefits. Because this change will re-establish the RMP as the source of land allocation decisions for fluid minerals, it will result in less National Environmental Policy Act (NEPA) analysis and a shorter timeframe for acreage nominations to make it to a competitive lease sale. Since extra time and NEPA analysis adds to uncertainty for industry, removing these process steps has the effect of decreasing uncertainty. 4. Measuring Success. The primary measure of success in removing regulatory burden from the rescission of the MLP policy will be in the elimination of related nominated acreage sale deferral pending completion of NEPA. While there will continue to be acreage sale deferrals for various reasons, completion of MLP NEPA will no longer be one of them. The time frames will be shorter. 5. Interim Methods. There are no interim compliance requirements, waivers or variances needed or that would apply However, the BLM's review of MLP efforts will result in the cancellation of at least those in the very preliminary stage. Policy, Oil and Gas; IM 2013-177, "National Environmental Policy Act (NEPA) Compliance for Oil and Gas Lease Reinstatement Petitions" 12 1. Description. Policy IM 2013-177 is under review as directed by Executive Order Formatted: Font: Not Bold 13783. This IM directs all BLM oil and gas leasing Field Offices to: 1) ensure RMP conformance; 2) evaluate the adequacy of existing NEPA analysis and documentation; and 3) complete any necessary new or supplemental NEPA analysis and documentation before approving a Class I or Class II oil and gas lease reinstatement petition. This IM has resulted in additional analysis and review time that often involves another Surface Management Agency and, in some instances, has led to adding new lease stipulations prior to lease reinstatement. 2. Opportunities to Address Burden or Other Issues of Concern. The lease reinstatements were once at the level of a ministerial review. IM 2013-177 changed that in significant ways, resulting in additional NEPA review and significantly I greater timeframes for completing the reinstatement. Rescinding or modifying this policy will greatly reduce timeframes to make decisions on lease reinstatement I requests. The BLM expects to complete review of this policy in the first quarter of FY 2018. I 3. Anticipated Benefits. The BLM expects that changes to this policy will place the Formatted: Font: Not Bold emphasis back on existing NEPA analysis and information, which will significantly shorten the time it takes to consider a lease reinstatement request. The policy Formatted: Highlight changes will provide greater certainty and reduced expense for energy development [companies! and bring production from these leases on sooner., 4. Measuring Success. The BLM will measure the reduction in burden in terms of the average time it takes to consider a complete lease reinstatement request. Formatted: Highlight 5. Interim Methods. Similar to MLPs, in the interim, the BLM must identify and evaluate where each current lease reinstatement request is to understand the degree to Formatted: Font: Not Bold, Highlight which it is possible to expedite its consideration. There are no other interim measures, waivers or variances that are relevant to the process. Regulation, Oil and Gas; Onshore Orders Nos. 3, 4 and 5 1. Description. The burdens placed on industry through these three (b) (5) new regulations are being reviewed as directed under Executive Order 13783. These three concurrent rulemakings updated and replaced BLM's Onshore Orders for site security, oil measurement, and gas measurement regulations that had been in place since 1989. The recent rulemakings resulted in new site security, oil measurement, and gas measurement regulations for onshore Federal and Indian oil and gas production and are codified in the Code of Federal Regulations at 43 CFR part 3170. External and internal oversight reviews prompted these rulemakings and found that many of the BLM's production measurement and accountability policies were outdated and inconsistently applied. The new rules also address some of the Government Accountability Office concerns for high risk with regard to the Department's production accountability. Combined, the new regulations impact -the BLM's ability to ensure accurate measurement, accountability, and proper reporting of oil and gas produced from Federal and Indian land, to ensure that taxpayers and Indian tribes receive their fair share of royalty due. The regulations impose new cost burdens on operators for facilities infrastructure changes. The cost estimates for each individual rule are as follows: Order 3, Site Security: $31.2 13 million in one-time costs, plus an $11.7 million increase in annual operating costs. -Order 4, Oil Measurement: $3.3 million in one-time costs, plus a $4.6 million increase in annual operating costs. Order 5, Gas million one-time cost, plus $12.1 million increase in annual T_i'he new regulations also provide a process for approving new technology that meets defined performance goals. Some provisions of the rule may have added regulatory burdens that unnecessarily encumber energy production, constrain economic growth, and prevent job creation. 2. Opportunities to Address Burden or Other Issues of Concern. These new regulations provide a much-needed update of the prior regulations and Onshore Orders. While they do establish a cost burden on industry, it is important to note that there is a significant and direct benefit to the government's collection of oil and gas royalties., ( -The BLM is currently assessing the rules to determine if additional revision is needed beyond the already implemented phase-in period for certain provisions, the ability for industry to introduce new technologies through a defined process rather than through an exception request, and the built in waivers or variances. The BLM expects to complete its assessment of possible changes to alleviate burdens that may have added to constraints on energy production, economic growth and job creation by the end of the fourth quarter of FY 2017. 3. Anticipated Benefits. hese regulations are a significant step in addressing the "high risk" categorization of the BLM's oil and gas program, and will provide a stable and certain oil and gas measurement framework for many years into the future. Industry benefits from a new defined process through which they may introduce new technologies for acceptance rather than requesting an exception to government-specified solutions. This will provide a more rapid adoption of new oil and gas field technologies as they develop. 14 Onshore Order Number Measurement, provides greater flexibility for industry in the technology used to perform gas royalty measurements, encouraging industry innovation and cost savings. The three rules generally provide greater consistency and certainty to industry, economic benefits to the producers of oil and gas, and a phased approach to allow industry to spread the cost of compliance over multiple years. This phased-in approach provides industry the opportunity to plan the changes in concert with oil and gas development plans and budget cycles. 4. Measuring Success. The BLM will measure success over the phase-in period in terms of the production measurements, royalties paid, a reduction in under-reporting of production, and greater site security for production facilities. 5. Interim Methods. The BLM's establishment of a phase-in period for the new site security and production measurement regulations is an interim measure. The new regulations have built in any necessary waivers or variances. Policy, Oil and Gas: IM 2016-140, "Implementation of Greater Sage-grouse Resource Management Plan Revisions or Amendments - Oil & Gas Leasing and Development Sequential Prioritization" 1. Description. Policy IM 2016-140 is being reviewed for the purpose of enhancing Formatted: Font: Not Bold consistency and certainty for oil and gas development in areas of Sage-grouse habitat as directed by Executive Order 13783. This IM provides guidance on prioritizing Formatted: Font: Not Bold implementation decisions for BLM oil and gas leasing and development, to be consistent with Approved Resource Management Plan Amendments for the Rocky Mountain and Great Basin Greater Sage-grouse Regions and nine Approved Resource Management Plans in the Rocky Mountain Greater Sage-grouse Region (collectively referred to as the Greater Sage-grouse Plans). The IM applies to activities in the areas covered by both the Rocky Mountain and Great Basin Regions Records of Decision, issued by the BLM in September 2015, and also contains reporting requirements for communication between BLM State Offices and the WO. I The IM may have added administrative burdens since it requires additional analysis and staff time to screen parcels and weigh potential impacts to the Greater Sage-grouse before the parcels are offered for leasing. It also requires additional analysis and staff time to process drilling permit approvals near Greater Sage-grouse areas. 2. Opportunities to Address Burden or Other Issues of Concern. The BLM's effort to avoid listing of the sage-grouse as an endangered species has affected many programs and a large area geographically. With new technologies and capabilities, such as long-reach horizontal boreholes in the oil and gas industry, the impacts need I not be as significant as once perceived. Likewise, the administrative burden is better understood and is likely less than once thought. Efforts are underway to better understand these conditions and define ways in which energy production and sage-grouse protection may continue to co-exist. Greater consistency and predictability will provide greater stability for industry. The BLM is currently assessing the policy to determine what revisions are needed and expects to complete this review in the fourth quarter of FY2017. 15 3. Anticipated Benefits. When the BLM completes this effort, industry will have greater certainty in leasing, exploration and production activities due to availability of acreage for oil and gas development and a defined process and timeframe for consideration of Greater Sage-grouse impacts. 4. Measuring Success. The BLM will measure success will be industry's interest in nominating acreage for competitive sale and developing existing leases in areas affected by Greater Sage-grouse amendments to RMPs. As industry increases its understanding andgains confidence in the consistency and predictability of BLM actions relative to Greater Sage-grouse, then acreage nominations, permit requests, and development should stabilize and be tied to market forces rather than tied to BLM Greater Sage-grouse decisions. 5. Interim Methods. The BLM has been processing acreage nominations in Greater Sage-grouse areas and making them available for competitive sale. In addition, existing leases are being developed. This is evidence, in the interim, that both the BLM and industry are figuring out how to adapt energy development in light of Greater Sage-grouse protections. Land Use Planning and National Environmental Policy Act Policies and Procedures: 1. Description. The BLM's land use planning regulations and policies are outlined in 43 CFR subpart 1610, Resource Management Planning; BlM Manual Section 1601; and BLM Handbook 1601-1. The BLM's policies for complying with the National Environmental Policy Act (NEPA) are outlined in BLM Handbook 1790-1. Taken together, these regulations, manuals, and handbooks establish the policies and procedures the BLM follows when conducting land use planning and complying with NEPA, including with respect to energy and mineral development. 2. Opportunities to Address Burden or Other Issues of Concern. Pursuant to the Secretarial Memorandum of March 27, 2017, entitled "Improving the Bureau of Land Management's Planning and National Environmental Policy Act Processes," the BLM is identifying potential actions it could take to streamline its planning and NEPA review procedures. As part of this identification process, the BLM is working with state and local elected officials and groups, including the Western Governors' Association and the National Association of Counties, to engage and gather input. The BLM also has invited Tribes and the public to provide input on how the agency can make its planning and NEPA review procedures timelier, less costly, and more responsive to local needs. Pursuant to the Secretarial Memorandum, in September 2017, the BLM will submit a report to the Secretary outlining recommended actions. 3. Anticipated Benefits. Once implemented, the actions recommended in BLM's report should reduce the time and/or cost of complying with the BLM's statutory direction to conduct land use planning under section 202 of the Federal Land Policy and Management Act (FLPMA) and comply with NEPA when evaluating proposed actions. These recommendations also should lead to more standardized analyses in BLM's NEPA reviews at the land use plan and project level. 4. Measuring Success. The reduction in burden will be measured and evaluated in terms of processing times and/or costs of authorizing energy development. 16 5. Interim Methods. Some of the actions outlined in BLM's report to the Secretary will be actions that the BLM will be able to implement in the near future, such as improvements to business processes, or updates to internal manuals or handbooks. Other actions, such as new Categorical Exclusions, would require changes in statute or regulation, may depend on other agencies to act, or may require front-end investments in data or information technology. Greater Sage-Grouse Conservation Policies and Plans: 1. Description. In September 2015, the BLM incorporated Greater Sage-Grouse (GRSG) conservation measures into its land use plans within the range of the GRSG. In September 2016, the BLM issued a number of IMs to help guide the implementation of the GRSG plans. These GRSG plans and policies will affect where, when, and how energy and minerals are developed within the range of the GRSG. 2. Opportunities to Address Burden or Other Issues of Concern. Pursuant to Secretarial Order 3353, "Greater Sage-Grouse Conservation and Cooperation with Western States," a Department of the Interior (DOI) Sage-Grouse Review Team (Review Team) is working with the State-Federal Sage-Grouse Task Force to identify opportunities for greater collaboration, better align federal and state plans for the GRSG, support local economies and jobs, and consider new and innovative ways to conserve sage-grouse in the long-term. Pursuant to the Secretarial Order, in August 2017, the Review Team will submit a report to the Secretary summarizing their review and providing recommendations regarding next steps. 3. Anticipated Benefits. The BLM anticipates that the Review Team's report will identify a number of potential actions to enhance the coordination and integration of state and federal GRSG conservation efforts. The BLM also anticipates that the report will identify actions that could be taken to facilitate energy and mineral development within the range of the GRSG. 4. Measuring Success. Success will be measured and evaluated in terms of improved working relationship among local, state, tribal and Federal units of government and in terms of improved partner and stakeholder understanding of effective GRSG conservation measures and of the science underlying them. 5. Interim Methods. The BLM anticipates that some of the actions outlined in the Review Team's report to the Secretary could be implemented in the near future through changes in policy (through issuance of IMs, for example), technical assistance, or training. Other actions may require amending the land use plans. Depending on the scope and significance, such amendments could take upwards of 2 4 years to complete. 17