81_FR_75639 81 FR 75429 - Atlantic Wind Lease Sale 6 (ATLW-6) for Commercial Leasing for Wind Power on the Outer Continental Shelf Offshore New York-Final Sale Notice MMAA104000

81 FR 75429 - Atlantic Wind Lease Sale 6 (ATLW-6) for Commercial Leasing for Wind Power on the Outer Continental Shelf Offshore New York-Final Sale Notice MMAA104000

DEPARTMENT OF THE INTERIOR
Bureau of Ocean Energy Management

Federal Register Volume 81, Issue 210 (October 31, 2016)

Page Range75429-75438
FR Document2016-26240

This document is the Final Sale Notice (FSN) for the sale of one commercial wind energy lease on the Outer Continental Shelf (OCS) offshore New York, pursuant to 30 CFR 585.216. The Bureau of Ocean Energy Management (BOEM or ``the Bureau'') will offer Lease OCS-A 0512 for sale using a multiple-factor auction format. This FSN contains information pertaining to the area available for leasing, lease provisions and conditions, auction details, the lease form, criteria for evaluating competing bids, award procedures, appeal procedures, and lease execution. The issuance of the lease resulting from this sale would not constitute an approval of project-specific plans to develop offshore wind energy. Such plans, if submitted by the lease sale winner, would be subject to subsequent environmental and public review prior to a decision to proceed with development.

Federal Register, Volume 81 Issue 210 (Monday, October 31, 2016)
[Federal Register Volume 81, Number 210 (Monday, October 31, 2016)]
[Notices]
[Pages 75429-75438]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2016-26240]


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DEPARTMENT OF THE INTERIOR

Bureau of Ocean Energy Management

[Docket No. BOEM-2016-0071]


Atlantic Wind Lease Sale 6 (ATLW-6) for Commercial Leasing for 
Wind Power on the Outer Continental Shelf Offshore New York--Final Sale 
Notice MMAA104000

AGENCY: Bureau of Ocean Energy Management, Interior.

ACTION: Final sale notice for commercial leasing for Wind Power on the 
Outer Continental Shelf Offshore New York.

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SUMMARY: This document is the Final Sale Notice (FSN) for the sale of 
one commercial wind energy lease on the Outer Continental Shelf (OCS) 
offshore New York, pursuant to 30 CFR 585.216. The Bureau of Ocean 
Energy Management (BOEM or ``the Bureau'') will offer Lease OCS-A 0512 
for sale using a multiple-factor auction format. This FSN contains 
information pertaining to the area available for leasing, lease 
provisions and conditions, auction details, the lease form, criteria 
for evaluating competing bids, award procedures, appeal procedures, and 
lease execution. The issuance of the lease resulting from this sale 
would not constitute an approval of project-specific plans to develop 
offshore wind energy. Such plans, if submitted by the lease sale 
winner, would be subject to subsequent environmental and public review 
prior to a decision to proceed with development.

DATES: BOEM will hold a mock auction for the bidders starting at 8:30 
a.m. Eastern Standard (EST) on December 13, 2016. The monetary auction 
will be held online and will begin at 8:30 a.m. Eastern Standard Time 
(EST) on December 15, 2016. Additional details are provided in the 
section entitled, ``Deadlines and Milestones for Bidders.''

FOR FURTHER INFORMATION CONTACT: Wright Frank, New York Project 
Coordinator and Auction Manager, BOEM Office of Renewable Energy 
Programs, 45600 Woodland Road, VAM-OREP, Sterling, Virginia, 20166, 
(703) 787-1325 or [email protected].
    Background: BOEM proposed this lease sale on June 6, 2016, in 
Proposed Sale Notice (PSN) for Commercial Leasing for Wind Power on the 
Outer Continental Shelf (OCS) Offshore New York, which was published in 
the Federal Register with a 60-day public comment period (81 FR 36336). 
BOEM received 401 comment submissions in response to the PSN, which are 
available in the Federal Register docket (Docket ID: BOEM-2016-0027) 
through BOEM's Web site at: http://www.boem.gov/New-York/. BOEM has 
posted a document containing responses to comments submitted during the 
PSN comment period. The document, entitled Response to Comments, can be 
found at the following URL: http://www.boem.gov/New-York/.
    BOEM made several changes from the description of the New York 
lease sale that was published in the PSN. Three changes worth 
highlighting are: A 10% bidding credit for entities that establish that 
they are a ``government authority'' meeting the definition included in 
this notice, an adaptation to the auction format, and the removal of a 
small portion of the lease area. The auction format described here 
differs slightly from past lease sales in that bidders may have a 
``limited opportunity to revoke'' a provisionally winning bid without 
penalty if the next-highest bid was submitted by a governmental entity. 
An explanation regarding the reduction in the area of the LA relative 
to the area described in the PSN is provided in the section entitled 
``Area Offered for Leasing.''

Environmental Reviews

    On May 28, 2014, BOEM published a Notice of Intent (NOI) to Prepare 
an Environmental Assessment (EA) for commercial wind lease issuance and 
approval of site assessment activities on the Atlantic OCS offshore New 
York with a 45-day public comment period (79 FR 30643). In response to 
the NOI, BOEM received 32 comment

[[Page 75430]]

submissions, a link to which is available at http://www.boem.gov/New-York/. BOEM considered these comments in determining the scope of 
issues and alternatives analyzed in the EA.
    On June 6, 2016, in conjunction with the PSN, BOEM published an EA 
for public comment (81 FR 36344). BOEM received approximately 60 
submittals. Submittals included letters, emails, comment cards, and 
comments made to a court reporter at public meetings. BOEM identified 
300 discrete comments within the submittals received. Comments were 
received from various stakeholders, including private citizens, 
environmental groups, Federal agencies, trade associations, businesses, 
state agencies, universities, and Federal organizations.
    Concurrent with publication of this FSN, BOEM has published a 
Notice of Availability (NOA) for the revised EA and Finding of No 
Significant Impact (FONSI) for commercial wind lease issuance and site 
assessment activities on the Atlantic OCS offshore New York. The EA and 
FONSI are available at: http://www.boem.gov/New-York/.
    All consultations necessary to inform BOEM's lease issuance 
decision have been completed. BOEM completed consultations with the 
National Oceanic and Atmospheric Administration's National Marine 
Fisheries Service (NMFS) and the U.S. Fish and Wildlife Service (USFWS) 
under the Endangered Species Act (ESA). BOEM completed formal 
consultation with NMFS upon receipt of a Biological Opinion on March 
10, 2013, (revised on April 10, 2013). That consultation covered lease 
issuance and site characterization activities (i.e., high resolution 
geophysical surveys, biological surveys, and geotechnical sampling). On 
September 14, 2016, the USFWS concurred with BOEM's determination that 
such activities were not likely to adversely affect piping plovers, 
roseate terns, and red knots, and BOEM's determination of no effect on 
the northern long-eared bat for site characterization and assessment 
activities.
    BOEM also consulted with the State Historic Preservation Offices of 
New York and New Jersey, the National Park Service, and Monmouth County 
New Jersey under the National Historic Preservation Act. The Finding of 
No Historic Properties Affected for the Issuance of a Commercial Lease 
with in the New York Wind Energy Area on the Outer Continental Shelf 
Offshore New York can be found at: http://www.boem.gov/Renewable-Energy/Historic-Preservation-Activities/. In August 2016, the States of 
New York and New Jersey concurred with BOEM's consistency determination 
under the Coastal Zone Management Act.
    On July 11, 2016, NMFS provided comments on the EA pursuant to the 
Magnuson-Stevens Fishery Conservation and Management Act (MSFCMA) and 
recommended that BOEM coordinate with NMFS in the review of site-
specific survey plans and Site Assessment Plans (SAPs). Because of the 
programmatic nature of the essential fish habitat (EFH) assessment, 
NMFS elected not to provide any specific EFH conservation measures 
until such time as site-specific plans are received.
    For the issuance of a commercial lease, BOEM considers the 
environmental consequences of associated site characterization 
activities (i.e., biological, archeological, geological and geophysical 
surveys, and core sampling). Therefore, mitigation measures designed to 
reduce or eliminate impacts from survey activities will be included as 
stipulations in Addendum ``C'' of the lease (OCS-A 0512). If a lease is 
issued, BOEM will prepare additional environmental reviews upon receipt 
of the lessee's SAP and/or Construction and Operations Plan (COP). BOEM 
will continue to work with affected stakeholders and assess ongoing and 
future research relating to potential survey, site assessment, and 
construction and operations impacts, including potential mitigation 
measures.
    List of Eligible Bidders: BOEM has determined that pursuant to 30 
CFR 585.106 and 107, the following entities are legally, technically, 
and financially qualified to hold a commercial wind lease offshore New 
York, and therefore may participate in this lease sale as bidders 
subject to meeting the requirements outlined in this notice.

------------------------------------------------------------------------
                      Company name                          Company No.
------------------------------------------------------------------------
Avangrid Renewables, LLC................................           15019
CI-II NY Inc............................................           15063
Clean Power Northeast Development Inc...................           15064
Convalt Energy LLC......................................           15051
Deepwater Wind Hudson Canyon, LLC.......................           15028
DONG Energy Wind Power (U.S.) Inc.......................           15059
EDF Renewable Development, Inc..........................           15027
Energy Management, Inc..................................           15015
Fishermen's Energy, LLC.................................           15005
Innogy US Renewable Projects LLC........................           15061
New York State Energy Research and Development Authority           15062
Sea Breeze Energy LLC...................................           15044
Statoil Wind US LLC.....................................           15058
wpd offshore Alpha LLC..................................           15060
------------------------------------------------------------------------

    Deadlines and Milestones for Bidders: This section describes the 
major deadlines and milestones in the auction process from publication 
of this FSN to execution of leases pursuant to this sale. These are 
organized into various stages: The FSN Waiting Period; Conducting the 
Auction; and From the Auction to Lease execution.
     FSN Waiting Period
     Bidder's Financial Form (BFF): Each bidder must submit a 
BFF to BOEM in order to participate in the auction. BOEM must receive 
each bidder's BFF no later than November 14, 2016. BOEM will consider 
extensions to this deadline only if BOEM determines that the failure to 
timely submit a BFF was caused by events beyond the bidder's control. 
The BFF can be downloaded at: http://www.boem.gov/New-York/. Once the 
BFF has been processed, bidders may log into pay.gov and submit bid 
deposits. For purposes of this auction, BOEM will not consider any BFFs 
submitted by bidders for previous lease sales. BOEM will only accept an 
originally executed paper copy of the BFF. The BFF must be executed by 
an authorized representative as shown on the bidder's legal 
qualifications. Each bidder is required to sign the self-certification 
in the BFF, in accordance with 18 U.S.C. 1001 (Fraud and False 
Statements).
     Bid Deposits: Each bidder must provide a bid deposit of 
$450,000 no later than November 28, 2016, in order to participate in 
the mock auction and the monetary auction. BOEM will consider 
extensions to this deadline only if BOEM determines that the failure to 
timely submit the bid deposit was caused by events beyond the bidder's 
control. Further information about bid deposits can be found in the 
``Bid Deposit'' section of this notice.
     Non-Monetary Package: Each bidder must submit a non-
monetary package if it is applying for a credit as a governmental 
authority as described in the ``Auction Procedures: Credit Factors'' 
section of this notice. For bidders applying for a credit, BOEM must 
receive non-monetary packages no later than November 28, 2016. BOEM 
will consider extensions to this deadline only if BOEM determines that 
the failure to timely submit a non-monetary package was caused by 
events beyond the bidder's control. Non-monetary packages must be 
submitted in both paper and electronic formats. BOEM considers Adobe 
.pdf files stored on an

[[Page 75431]]

electronic media (i.e., flash drive) to be acceptable.
    Further information on this subject can be found in the section of 
this notice entitled,''Auction Procedures.''
     Reservation of Limited Opportunity to Revoke (RLOR): Under 
certain circumstances described in detail in this notice, a bidder that 
submits a provisionally winning bid may be afforded a one-hour 
opportunity to revoke its provisionally winning bid without penalty at 
the end of the auction. This opportunity will only be allowed if a 
governmental authority submitted the second-highest bid. In order to 
revoke a provisionally winning bid, a bidder must have reserved this 
opportunity in advance. BOEM must receive, no later than November 28, 
2016, a completed form that can be downloaded from BOEM's Web site at 
http://www.boem.gov/New-York/, called the ``Reservation of Limited 
Opportunity to Revoke'' (RLOR). BOEM will consider extensions to this 
deadline only if it determines that the failure to timely submit the 
RLOR was caused by events beyond the bidder's control. By ``opting-
in,'' the bidder will have an opportunity, if certain conditions are 
met, to revoke a provisionally winning bid without penalty during a 
short period of time following the auction. If the bidder does not 
``opt-in,'' the bidder will not have this opportunity, and refusal to 
execute a lease pursuant to a provisionally winning bid will result in 
the loss of the bidder's bid deposit.
     Panel Convenes to Evaluate Non-Monetary Packages: A short 
time before the auction, the panel described in the ``Auction 
Procedures'' section will convene to evaluate non-monetary packages. 
The panel is tentatively scheduled to meet on December 9, 2016, for 
this purpose. If BOEM has not received a non-monetary package by 
November 28, 2016, then the BOEM panel designated as responsible for 
determining bidder eligibility for the credit may not consider that 
bidder for a non-monetary auction credit. Once it has made its 
decisions, the panel will report determinations of eligibility to BOEM. 
BOEM will then inform each bidder by email of the panel's determination 
as to whether the bidder qualifies for a non-monetary bid credit. Mock 
Auction: BOEM will hold a Mock Auction on December 13, 2016, beginning 
at 8:30 a.m. EST. The Mock Auction will be held online. BOEM will 
contact each bidder that has timely filed a BFF and bid deposit and 
provide instructions for participation. Only bidders that have timely 
submitted BFFs and bid deposits will be permitted to participate in the 
Mock Auction.
     Conducting the Auction: BOEM, through its contractor, will 
hold an auction as described in this notice.
     Auction: On December 15, 2016, BOEM, through its 
contractor, will hold the auction. The first round of the auction will 
start at 8:30 a.m. EST. The auction will proceed electronically 
according to a schedule to be distributed by the BOEM Auction Manager 
at the time of the auction. BOEM anticipates that the auction may 
continue on consecutive business days, as necessary, until the auction 
ends in accordance with the procedures described in the ``Auction 
Format'' section of this notice. The monetary bidding will end in the 
first round where BOEM receives one or zero bids at the asking price.
    [cir] Limited Opportunity to Revoke (LOR) (if criteria met): If the 
highest bidder has reserved an LOR, and a government authority is the 
second highest bidder, BOEM will contact the provisionally winning 
bidder through the auction system's messaging platform and ask whether 
the bidder would like to revoke its provisionally winning bid without 
penalty. The bidder will have one hour from the time the message is 
sent to respond via the messaging system. If the bidder fails to 
respond within the allotted hour, BOEM will presume the bidder does not 
wish to exercise its revocation right, and the bidder will lose the 
right to revoke its provisionally winning bid without penalty. Further 
information can be found in the Auction Procedures section of this 
notice.
     Announce Provisional Winner: BOEM will announce the 
provisional winner of the lease sale after the auction ends and the 
one-hour LOR period, if applicable, has elapsed.
     Reconvene the Panel: The panel will reconvene after the 
bidding has concluded to verify auction results.
     From the Auction to Lease Execution
     Refund Non-Winners: Once the provisional winner has been 
announced and the panel has verified the auction results, BOEM will 
provide the non-winners a written explanation of why they did not win 
and return their bid deposits.
     Department of Justice (DOJ) Review: DOJ will have 30 days 
in which to conduct an antitrust review of the auction, pursuant to 43 
U.S.C Sec.  1337(c).
     Delivery of the Lease: BOEM will send three lease copies 
to the winner, with instructions on how to execute the lease. The first 
year's rent is due 45 calendar days after the winner receives the lease 
copies for execution.
     Return the Lease: Within 10 business days of receiving the 
lease copies, the auction winner must post financial assurance, pay any 
outstanding balance of its bonus bid (i.e., winning monetary bid minus 
applicable non-monetary credits and bid deposit), and sign and return 
the three executed lease copies.
     Execution of Lease: Once BOEM has received the lease 
copies and verified that all other required materials have been 
received, BOEM will make a final determination regarding its issuance 
of the lease and will execute the lease if appropriate.
    Area Offered for Leasing: The area available for sale will be 
auctioned as one lease, Lease OCS-A 0512 (New York LA). The New York LA 
consists of approximately 79,350 acres, which is reduced from the area 
originally proposed in the PSN. The reduction comprises five aliquots 
(sixteenths of an OCS block), which were removed in response to 
comments received from NMFS in response to the NOA of the EA and as 
part of consulations pursuant to the MSFCMA. A description of the final 
LA can be found in Addendum ``A'' of the lease, which BOEM has made 
available with this notice on its Web site at: http://www.boem.gov/New-York/.

Map of the Area Offered for Leasing

    A map of the New York LA and GIS spatial files can be found on 
BOEM's Web site at: http://www.boem.gov/New-York/.
    A large scale map of the area, showing boundaries of the area with 
numbered blocks, is available from BOEM upon request at the following 
address: Bureau of Ocean Energy Management, Office of Renewable Energy 
Programs, 45600 Woodland Road, VAM-OREP, Sterling, Virginia, 20166, 
Phone: (703) 787-1300, Fax: (703) 787-1708.

Potential Mitigation Measures and Restrictions on Development

    During the Area Identification (Area ID) process, BOEM identified 
three issues of concern associated with potential development of the 
New York Wind Energy Area (WEA): (1) Navigational safety; (2) 
commercial fishing; and (3) visual impacts to National Park Service 
lands and historic properties. Although BOEM did not remove any areas 
from leasing consideration during Area ID, potential bidders should be 
aware that future analysis of these or other issues could result in 
BOEM's requiring mitigation measures and/or development restrictions in 
all or part of the New York LA. In addition, mitigation measures and/or 
development restrictions could result from future BOEM environmental 
reviews and

[[Page 75432]]

consultations (e.g., future consultations under section 106 of the 
National Historic Preservation Act or future government-to-government 
consultations with federally recognized tribes).

Navigational Safety

    Potential bidders should note that future mitigation measures, 
including potential restrictions on the placement of structures, may be 
applied to development within all or portions of the New York LA to 
ensure navigation safety and the U.S. Coast Guard's (USCG's) ability to 
maintain mission readiness.
    The New York LA has been delineated to accommodate a setback of 1 
nautical mile (nmi) from the adjacent Traffic Separation Schemes (TSSs) 
for the Port of New York and New Jersey. This setback is consistent 
with BOEM's delineation of other lease and wind energy areas that are 
in close proximity to TSSs (e.g., the lease areas offshore 
Massachusetts, Rhode Island/Massachusetts, Delaware, and Maryland; and 
the Wilmington West Wind Energy Area offshore North Carolina), and is 
based on input provided by the USCG as a member of the BOEM New York 
Intergovernmental Renewable Energy Task Force during development of the 
2013 New York Request for Interest (RFI). As noted in the RFI, the LA 
includes aliquots that are transected by the 1 nmi setback line, and 
BOEM will require that no structures be installed on the portions of 
those aliquots located within the setback.
    In September 2015, BOEM received additional input from the USCG 
recommending a larger setback of 2 nmi from the TSSs and 5 nmi from the 
entry/exit points of the TSSs. USCG's correspondence to BOEM, which 
explains the recommendation, is available on BOEM's Web site at http://www.boem.gov/New-York/. In addition, on March 22, 2016, the USCG 
released its Final Report for its Atlantic Coast Port Access Route 
Study (ACPARS), available at http://www.uscg.mil/lantarea/acpars. The 
USCG's Marine Planning Guidelines, included as Enclosure 2 of the 
ACPARS, are consistent with its September 2015 recommendation to BOEM. 
Although BOEM did not adopt the USCG's recommendation during Area ID, 
BOEM may determine at a later stage in the process (e.g., after 
evaluating a Navigational Safety Risk Assessment that is submitted as a 
part of a COP) that, even with the application of mitigation measures, 
portions of the LA are not appropriate for the installation of wind 
facilities due to navigational safety concerns.

Commercial Fishing

    Potential bidders should note that future mitigation measures may 
be applied to development within all or portions of the New York LA due 
to the use of the area as a fishery.
    BOEM received fishery-related comments in response to the RFI, Call 
for Information and Nominations, NOI, NOA, and several public outreach 
meetings. Commenters included NMFS, the New England and Mid-Atlantic 
Fishery Management Councils, and several fishing industry groups, 
primarily representing members of the sea scallop and squid fisheries. 
BOEM also received comments from commercial and recreational fishermen 
during BOEM's November 2015 fisheries workshops. A meeting summary of 
BOEM's November 2015 fisheries workshops and comments associated with 
these workshops are available on BOEM's Web site at http://www.boem.gov/New-York/, along with those comments received in response 
to BOEM's Federal Register notices relating to the New York LA.
    BOEM has also gathered information regarding the use of the LA as a 
fishery through a joint study with NMFS. This data, specific to the New 
York LA, is included in the revised EA and is available on BOEM's Web 
site at http://www.boem.gov/Fishing-Revenue-NY-Call-Area/. The spatial 
dataset is available at http://www.boem.gov/Renewable-Energy-GIS-Data/. 
Potential bidders should be aware that BOEM will be gathering 
additional data and may require plan-specific mitigation measures to 
minimize impacts.
    Between 2012 and 2016, BOEM collaborated with numerous stakeholders 
in the fishing and offshore wind industries to develop best management 
practices (BMPs) in furtherance of its goal of minimizing potential 
multiple use conflicts between offshore renewable energy developers and 
the fishing industry. As a result of this effort, BOEM has concluded 
that there would be great merit in a lessee's utilizing a fisheries 
liaison and a fisheries representative during the lessee's plan 
development process. BOEM has also received comments from the public 
regarding the importance of ensuring effective communication between 
the lessee and the fishing community. As a result, BOEM has issued 
guidance to lessees for communicating with fisheries stakeholders 
regarding social and economic impacts of renewable energy development 
on the Atlantic Outer Continental Shelf: http://www.boem.gov/Social-and-Economic-Conditions-Fishery-Communication-Guidelines/. Further, 
BOEM is requiring in Addendum C of the lease that the lessee develop a 
Fisheries Communication Plan that includes the utilization of a 
fisheries liaison to facilitate communication with the fishing 
industry.

Visual Impacts to Historic Properties

    Potential bidders should note that future mitigation measures may 
be applied to development within all or portions of the New York LA to 
avoid, minimize, or mitigate adverse effects to historic properties or 
National Park Service (NPS) lands. The NPS, New York State Historic 
Preservation Office (NY SHPO), and New Jersey State Historic 
Preservation Office (NJ SHPO) have expressed concern regarding the 
potential for wind energy development within the New York WEA to cause 
adverse effects to onshore historic properties. Correspondence 
outlining these concerns is available on BOEM's Web site at http://www.boem.gov/New-York/.
    During the summer and fall of 2015, BOEM conducted stakeholder 
outreach with the NPS, NY SHPO, and NJ SHPO. BOEM also completed a 
study entitled, ``Renewable Energy Viewshed Analysis and Visualization 
Simulation for the New York Outer Continental Shelf Call Area'' to 
assist in this outreach effort and to provide scientific and technical 
information about visual impacts to inform its Area ID decision. 
Results of this study are available under the header ``Visual 
Simulations'' at http://www.boem.gov/New-York/.
    Withdrawal of Blocks: BOEM reserves the right to withdraw all or 
portions of the LA prior to executing the lease with the winning 
bidder, based upon relevant information provided to the Bureau.
    Lease Terms and Conditions: BOEM has included terms, conditions, 
and stipulations for the OCS commercial wind lease to be offered 
through this sale. After the lease is issued, BOEM reserves the right 
to require compliance with additional terms and conditions associated 
with approval of a SAP or COP.
    The lease is available on BOEM's Web site at http://www.boem.gov/New-York/. The lease includes the following seven attachments:
     Addendum ``A'' (Description of Leased Area and Lease 
Activities);
     Addendum ``B'' (Lease Term and Financial Schedule);
     Addendum ``C'' (Lease Specific Terms, Conditions, and 
Stipulations);
     Addendum ``D'' (Project Easement);

[[Page 75433]]

     Addendum ``E'' (Rent Schedule post COP approval);
     Appendix A to Addendum ``C'': (Incident Report: Protected 
Species Injury or Mortality); and
     Appendix B to Addendum ``C'': (Required Data Elements for 
Protected Species Observer Reports).
    Addenda ``A,'' ``B,'' and ``C'' provide detailed descriptions of 
lease terms and conditions. Addenda ``D'' and ``E'' will be completed 
at the time of COP approval or approval with modifications.
    The most recent version of BOEM's renewable energy commercial lease 
form (BOEM-0008) is available on BOEM's Web site at: http://www.boem.gov/BOEM-OCS-Operation-Forms/.
    Potential bidders should note that BOEM and the Bureau of Safety 
and Environmental Enforcement (BSEE) are in the process of reassigning 
regulations relating to safety and environmental oversight and 
enforcement responsibilities for offshore renewable energy projects 
from BOEM to BSEE. Once this administrative reassignment is finalized, 
BOEM may make ministerial and non-substantive amendments to the lease 
to conform it to regulatory revisions.
    Plans: Pursuant to 30 CFR 585.601, the lessee must submit a SAP 
within 12 months of lease issuance. If the lessee intends to continue 
its commercial lease with an operations term, the lessee must submit a 
COP at least 6 months before the end of the site assessment term.
    Financial Terms and Conditions: This section provides an overview 
of the annual payments required of the lessee that will be fully 
described in the lease, and the financial assurance requirements that 
will be associated with the lease.
    Rent: Pursuant to 30 CFR 585.224(b) and 585.503, the first year's 
rent payment of $3 per acre is due within 45 calendar days of the date 
the lessee receives the lease for execution. Thereafter, annual rent 
payments are due on the anniversary of the Effective Date of the lease 
(the ``Lease Anniversary''). Once commercial operations under the lease 
begin, BOEM will charge rent only for the portions of the lease not 
authorized for commercial operations, i.e., not generating electricity. 
However, instead of geographically dividing the LA into acreage that is 
``generating'' and ``non-generating,'' the fraction of the lease 
accruing rent will be based on the fraction of the total nameplate 
capacity of the project that is not yet in operation. This fraction is 
calculated by dividing the nameplate capacity not yet authorized for 
commercial operations at the time payment is due by the anticipated 
nameplate capacity after full installation of the project (as described 
in the COP). The annual rent due for a given year is then derived by 
multiplying this fraction by the amount of rent that would have been 
due for the lessee's entire LA at the rental rate of $3 per acre.
    For a 79,350 acre lease (the size of the New York LA), the rent 
payment will be $238,050 per year ($3 times 79,350) if no portion of 
the leased area is authorized for commercial operations. If 300 
megawatts (MW) of a project's nameplate capacity is operating (or 
authorized for operation), and the approved COP specifies a maximum 
project size of 500 MW, the rent payment will be $95,220. This payment 
is based on the 200 MW of nameplate capacity BOEM has not yet 
authorized for commercial operations. For the above example, this would 
be calculated as follows: 200MW/500MW x ($3/acre x 79,350 acres) = 
$95,220.
    If the lessee submits an application for relinquishment of a 
portion of its lease area within the first 45 calendar days following 
the date that the lease is received by the lessee for execution, and 
BOEM approves that application, no rent payment will be due on the 
relinquished portion of the LA. Later relinquishments of any portion of 
the LA will reduce the lessee's rent payments starting in the year 
following BOEM's approval of the relinquishment.
    The lessee also must pay rent for any project easement associated 
with the lease, commencing on the date that BOEM approves the COP (or 
modification thereof) that describes the project easement. Annual rent 
for a project easement is the greater of $5 per acre per year or $450 
per year.

Operating Fee

    For purposes of calculating the initial annual operating fee 
payment, pursuant to 30 CFR 585.506, an operating fee rate is applied 
to a proxy for the wholesale market value of the electricity expected 
to be generated from the project during its first twelve months of 
operations. This initial payment will be prorated to reflect the period 
between the commencement of commercial operations and the Lease 
Anniversary. The initial annual operating fee payment is due within 45 
days of the commencement of commercial operations. Thereafter, 
subsequent annual operating fee payments are due on or before each 
Lease Anniversary.
    The subsequent annual operating fee payments are calculated by 
multiplying the operating fee rate by the imputed wholesale market 
value of the projected annual electric power production. For the 
purposes of this calculation, the imputed market value is the product 
of the project's annual nameplate capacity, the total number of hours 
in a year (8,760), the capacity factor, and the annual average price of 
electricity derived from a historical regional wholesale power price 
index. For example, the annual operating fee for a 100 MW wind facility 
operating at a 40% capacity (i.e., capacity factor of 0.4) with a 
regional wholesale power price of $50/MWh and an operating fee rate of 
0.02 would be calculated as follows:
[GRAPHIC] [TIFF OMITTED] TN31OC16.006

    Operating Fee Rate: The operating fee rate is the share of imputed 
wholesale market value of the projected annual electric power 
production due to BOEM as an annual operating fee. For the New York LA 
to be offered in this sale, this fee is set at 0.02 (i.e., 2%) during 
the entire life of commercial operations.
    Nameplate Capacity: Nameplate capacity is the maximum rated 
electric output, expressed in MW, that the turbines of the wind 
facility under commercial operations can produce at their rated wind 
speed as designated by the turbine's manufacturer. The lessee will 
specify in its COP the nameplate capacity available at the start of 
each year of commercial operations on the lease. For example, if the 
lessee specifies 20 turbines in its COP, and each is rated by the 
manufacturer at 5 MW, the nameplate capacity of the wind facility would 
be 100 MW.
    Capacity Factor: The capacity factor compares the amount of energy 
delivered to the grid during a period of time to the amount of energy 
the wind facility would have produced at full capacity. The amount of 
power delivered will always be less than the theoretical 100% capacity, 
largely because of the variability of wind

[[Page 75434]]

speeds, transmission line loss, and down time for maintenance or other 
purposes.
    The capacity factor is expressed as a decimal between zero and one, 
and represents the share of anticipated generation of the wind facility 
that is delivered to the interconnection grid (i.e., where the lessee's 
facility interconnects with the electric grid) relative to the wind 
facility's generation at continuous full power operation at nameplate 
capacity. BOEM has set the capacity factor for the year in which 
commercial operations commence and the six full years thereafter at 0.4 
(i.e., 40%). At the end of the sixth year, BOEM may adjust the capacity 
factor to reflect the performance over the previous five full years 
based upon the actual metered electricity generation at the delivery 
point to the electrical grid. BOEM may make similar adjustments to the 
capacity factor once every five years thereafter. The maximum change in 
the capacity factor from one period to the next will be limited to plus 
or minus 10 percent of the previous period's value.
    Wholesale Power Price Index: Pursuant to 30 CFR 585.506(c)(2)(i), 
the wholesale power price, expressed in dollars per MW-hour, is 
determined at the time each annual operating fee payment is due, based 
on the weighted average of the inflation-adjusted peak and off-peak 
spot price indices. Typically, BOEM's commercial wind leases specify an 
electric region and a source for referencing price information. 
However, at the current time, it is uncertain where a project's 
transmission cable may make landfall, so BOEM decided not to specify 
the electric region and source of price information at the lease 
issuance stage. The electric region of the wholesale power price index 
will encompass the location where the cable makes landfall. BOEM will 
specify the referencing price information upon approval of the COP. The 
wholesale power price is adjusted for inflation from the year 
associated with the published spot price indices to the year in which 
the operating fee is to be due, based on the Lease Anniversary and 
using annual implicit price deflators as reported by the U.S. 
Department of Commerce Bureau of Economic Analysis.

Financial Assurance

    Within 10 business days after receiving the lease copies and 
pursuant to 30 CFR 585.515-.516, the provisional winner of the New York 
LA must provide an initial lease-specific bond or other approved means 
of meeting BOEM's initial financial assurance requirements. The 
provisional winner may meet financial assurance requirements by posting 
a surety bond or by setting up an escrow account with a trust agreement 
giving BOEM the right to withdraw the money held in the account on 
demand. BOEM encourages the provisionally winning bidder to discuss the 
financial assurance requirement with BOEM as soon as possible after the 
auction has concluded.
    BOEM will base the amount of all SAP, COP, and decommissioning 
financial assurance requirements on cost estimates for meeting all 
accrued lease obligations at the respective stages of development. The 
required amount of supplemental and decommissioning financial assurance 
will be determined on a case-by-case basis.
    The financial terms can be found in Addendum ``B'' of the lease, 
which BOEM has made available with this notice on its Web site at: 
http://www.boem.gov/New-York/.
    Bid Deposit: A bid deposit is an advance cash deposit submitted to 
BOEM in order to participate in the auction. Each bidder must submit a 
bid deposit of $450,000 no later than November 28, 2016. Any bidder 
that fails to submit the bid deposit by this deadline may be 
disqualified from participating in the auction. Bid deposits will be 
accepted online via pay.gov.
    Each bidder must fill out the BFF referenced in this FSN. BOEM has 
made a copy of the form available with this notice on its Web site at: 
http://www.boem.gov/New-York/. BOEM recommends that each bidder 
designate an email address in its BFF that the bidder will then use to 
create an account in pay.gov (if it has not already done so). Bidders 
may then use the Bid Deposit Form on the pay.gov Web site to leave a 
deposit.
    BOEM will not consider BFFs submitted by bidders for previous lease 
sales to satisfy the requirements of this auction. Further, BOEM will 
only consider BFFs submitted after the deadline if BOEM determines that 
the failure to timely submit the BFF was caused by events beyond the 
bidder's control. BOEM will only accept an original, executed paper 
copy of the BFF. The BFF must be executed by an authorized 
representative who has been identified in the qualifications package on 
file with BOEM as authorized to bind the company.
    Following the auction, bid deposits will be applied against bids or 
other obligations owed to BOEM. If the bid deposit exceeds a bidder's 
total financial obligation, the balance of the bid deposit will be 
refunded to the bidder. BOEM will refund bid deposits to non-winners 
once BOEM has announced the provisional winner.
    Bidders will forfeit their bid deposit if they are the 
provisionally winning bidder and they fail to execute a lease pursuant 
to their provisionally winning bid. Exercising the LOR pursuant to the 
rules described in this notice constitutes a limited exception to this 
rule, wherein if BOEM notifies a bidder that it may revoke its 
provisionally winning bid immediately following the lease sale, and if 
the bidder revokes such bid within the allotted time, then that bidder 
will not forfeit its $450,000 bid deposit. If a bidder exercises its 
LOR in this manner, BOEM will reoffer the lease to the government 
authority that is the second-highest bidder. In this case, the 
government authority would inherit the obligation to execute a lease 
pursuant to the government authority's now-provisionally winning bid, 
forfeiting its bid deposit if it does not execute the lease within the 
required timeframe.
    If BOEM offers a lease pursuant to a provisionally winning bid, and 
that bidder fails to timely return the signed lease form, establish 
financial assurance, or pay the balance of its bid, BOEM will retain 
that bidder's $450,000 bid deposit. BOEM reserves the right to 
reconvene the panel to determine which bidder would have won in the 
absence of the provisionally winning bid, and to offer a lease to that 
bidder.
    Minimum Bid: The minimum bid is the lowest bid price BOEM will 
accept as a winning bid, and it is where BOEM will start the monetary 
bidding. BOEM has established a minimum bid of $2.00 per acre for this 
lease sale. Accordingly, the minimum bid will be $158,700 for Lease 
OCS-A 0512.

Auction Procedures

Multiple-Factor Bidding

    As authorized under 30 CFR 585.220(a)(4) and 585.221(a)(6), BOEM 
will use a multiple-factor auction format, with a multiple-factor 
bidding system, for this lease sale. Under this system, BOEM may 
consider a combination of monetary and non-monetary factors, or 
``variables,'' in determining the outcome of the auction. BOEM will 
appoint a panel of BOEM employees to review the non-monetary packages 
and verify the results of the lease sale. BOEM reserves the right to 
change the composition of this panel at any time.

[[Page 75435]]

10% Non-Monetary Credit for Government Authorities

    In response to public comments on the PSN, BOEM is offering a 10% 
non-monetary bid credit in this lease sale for government authorities. 
In order to be considered for this non-monetary credit, BOEM must 
receive a bidder's non-monetary package no later than November 28, 
2016, establishing that the bidder meets the definition of a government 
authority, below:
    Government Authority: A governmental entity, political subdivision 
thereof, or public benefit corporation exercising executive and/or 
regulatory functions within the United States.
    If a bidder wishes to establish itself as a government authority 
for the purposes of the auction, it must timely submit a non-monetary 
package for approval by BOEM. The non-monetary package may consist of 
new information to help a bidder demonstrate its status as a government 
authority, and/or may reference materials that the bidder has already 
submitted to BOEM to establish that the bidder is legally qualified to 
participate in the sale. If bidders wish to review what materials they 
have already submitted, they should contact Gina Best at 703-787-1341, 
as soon as practicable.
    Prior to the date of the auction, the panel will determine which 
bidders, if any, have qualified for the non-monetary credit. Bidders 
will be notified by email prior to the date of the auction if they have 
been granted a non-monetary credit. If the panel determines that no 
bidder is eligible to bid as a government authority and receive a 
credit, the auction will proceed with each bidder registered with no 
imputed credit. Bidders will not be notified whether other bidders have 
qualified for a non-monetary credit until after the bidding has 
concluded.
    Under the format for this sale, in each round a bidder may submit a 
bid proposal, i.e., a multiple-factor bid, for the LA. The multiple-
factor bid made by a particular bidder in each round represents the sum 
of a non-monetary credit and a monetary (cash) amount. The non-monetary 
portion of the bid is represented by a 10% credit on the bid. This 
credit will be applied throughout the auction in each round as a form 
of imputed payment against the LA's asking price in a bidder's 
multiple-factor bid. The bid credit will be bundled into each bid. In 
each round, the auction system will show each bidder how their As-Bid 
auction price is affected by the credit imputed to its bid.

Reservation of Limited Opportunity To Revoke (RLOR)

    In response to public comments on the PSN, BOEM is introducing the 
LOR as a feature of the New York lease sale. Each bidder may download, 
complete, sign and return the RLOR form from BOEM's Web site at http://www.boem.gov/New-York/. BOEM must receive the completed, signed RLOR no 
later than November 28, 2016. If BOEM does not receive the form by that 
date, BOEM will presume that the bidder does NOT wish to reserve the 
LOR. BOEM will consider extensions to this deadline only if BOEM 
determines that the failure to timely submit an RLOR was caused by 
events beyond the bidder's control.
    If a bidder opts into an LOR, and then becomes the provisional 
winner of the auction, it will be given a short opportunity just after 
the auction to revoke its provisionally winning bid without forfeiting 
its bid deposit of $450,000, if the second-place bidder is a government 
authority. Alternatively, bidders may choose not to opt-in. If a 
provisionally winning bidder does not reserve the LOR, that bidder will 
not be given an opportunity to revoke its provisionally winning bid 
following the sale without jeopardizing its bid deposit of $450,000. If 
a bidder fails to return the form in a timely manner, absent any 
extension granted by BOEM, it will be deemed to have opted out of its 
LOR. More information on LOR can be found in the ``Determining 
Provisional Winner'' section below.

The Auction

    The auction will be conducted in a series of rounds. At the start 
of each round, BOEM will state an asking price for the LA. If a bidder 
is willing to meet that asking price for the LA, it will indicate this 
by submitting a bid equal to the asking price, i.e., a live bid. If the 
bidder has earned a non-monetary credit, it will meet the asking price 
by submitting a multiple-factor bid--that is, a live bid that consists 
of a monetary element (90%) and a non-monetary element (10%), the sum 
of which equals the asking price. Bidders without a non-monetary credit 
will submit a cash bid equal to the asking price.
    To participate in any round of the auction, a bidder must have 
submitted a live bid in the previous round. As long as there are two or 
more live bids for the LA, the auction proceeds to the next round. 
Between rounds, BOEM will raise the asking price for the LA by an 
increment that it determines appropriate. Asking price increments are 
within BOEM's sole discretion, but are based on a number of factors, 
including the number of bidders still active in the auction and BOEM's 
best estimate of how many rounds may remain before the auction is 
resolved. BOEM also reserves the right to increase or decrease bidding 
increments between rounds, if it determines that a different increment 
is warranted to enhance the efficiency of the auction process.
    As the auction proceeds, a bidder retains its eligibility to 
continue bidding as long as that bidder submitted a live bid on the LA 
in the previous round. Between rounds, BOEM will release information 
indicating the number of live bids for the LA in the previous round of 
the auction (i.e., the level of demand) and the asking price for the LA 
in the upcoming round of the auction. Bidders may be bound by any of 
their bids until the auction results are finalized.

Exit Bidding

    In any round after the first round of the auction, a bidder may 
submit an exit bid that is higher than the previous round's asking 
price, but less than the current round's asking price. An exit bid must 
consist of a single offer price. If a bidder submits an exit bid, it is 
not eligible to participate in subsequent bidding rounds of the 
auction. During the auction, exit bids will be seen only by BOEM and 
not by other bidders.
    If the LA receives only exit bids in a round, BOEM will not raise 
the price and start another round, because no bidders would be eligible 
to bid in the next round.

Determining the Provisional Winner

    The auction will end in the first round in which one or zero live 
bids is received. If one live bid is received, that bid is the 
provisionally winning bid. If no live bids are received, then the 
highest exit bid received is the provisionally winning bid. If there is 
a tie for the highest exit bid, BOEM's tie-breaking procedures will 
resolve the tie. If no live or exit bids are received, then there is a 
tie among all bidders that submitted live bids at the most recent 
asking price, and BOEM's tie-breaking procedures will determine the 
provisionally winning bid.

LOR

    As noted, in response to public comments on the PSN, this lease 
sale includes an LOR. Ordinarily, if a provisionally winning bidder 
does not execute a lease pursuant to that provisionally winning bid, 
that bidder will forfeit its bid deposit. In this lease sale, a 
provisionally winning bidder will have a chance to revoke its

[[Page 75436]]

provisionally winning bid without this penalty, but only under the 
following circumstances:
    1. The provisionally winning bidder reserved the right to a LOR 
through a timely-submitted RLOR in advance of the auction; and
    2. The second highest bid was submitted by a government authority.
    If these two elements are satisfied, then BOEM will offer the 
provisionally winning bidder one hour to revoke its provisionally 
winning bid. If there is a tie for the second highest bid, including a 
government authority, the tie will be resolved and an LOR will be 
offered only if the government authority has the second-place bid 
following resolution of the tie.
    The provisionally winning bidder will be given precisely one hour 
to revoke, using the messaging tool in the auction system. If that 
bidder wishes to revoke, the message should consist of the following 
statement:
    ``We hereby revoke our provisionally winning bid for ATLW-6, 
pursuant to the Reservation of Limited Opportunity to Revoke form 
submitted previously.''
    If the statement above is not included verbatim in the message a 
bidder uses to exercise its limited right to revoke, BOEM may not 
accept the LOR. Once BOEM receives this message, it will consider the 
provisionally winning bid to be revoked. If the provisionally winning 
bidder revokes its bid, the government authority will then become the 
new provisionally winning bidder and will be subject to the conditions 
in 30 CFR 585.224. In this case, the provisionally winning bid will be 
the government authority's last bid for the LA.
    If the provisionally winning bidder does not revoke its bid within 
the designated hour, BOEM's requirements for the bidder will be the 
same as it would be for a sale without the LOR. Pursuant to 30 CFR 
585.224, once BOEM sends the lease copies to the bidder, the bidder 
must timely pay the balance of its bid, establish financial assurance, 
and properly sign and return the lease copies. If the bidder fails to 
do so, then BOEM may not issue the lease to that bidder, in which case 
the bidder would forfeit its bid deposit. BOEM may consider failure of 
a bidder to timely pay the full amount due an indication that the 
bidder is no longer financially qualified to participate in other lease 
sales under BOEM's regulations at 30 CFR 585.106 and 585.107.
    If the highest bidder revokes its provisionally winning bid 
pursuant to an LOR, the government authority with the second-highest 
bid in the auction becomes the provisionally winning bidder and must 
follow all of BOEM's requirements contained in 30 CFR 585.224. The 
government authority would then need to execute a lease pursuant to its 
provisionally winning bid, or risk forfeiture of its bid deposit.
    BOEM will use its tie-breaking procedures to resolve any ties 
before determining whether the conditions have been met for offering a 
provisionally winning bidder a LOR. Ties are resolved by a random 
process. The auction system generates a random number for each bidder. 
In the event of a tie, these numbers are compared, and the bidder with 
the higher random number is deemed the provisional winner.
    Following the lease sale, the non-monetary panel will convene, 
review the auction record, and certify the results of the sale. Shortly 
thereafter, BOEM will notify the DOJ that it may begin its antitrust 
review pursuant to 43 U.S.C. 1337(c).
    If a bidder fails to execute a lease pursuant to a provisionally 
winning bid, BOEM may reoffer that lease to the next highest bidder. If 
the bidder that fails to execute is a government authority that had 
been declared the provisional winner after the exercise of a LOR, BOEM 
may first reoffer the lease to the bidder that had exercised the LOR. 
If BOEM reoffers the lease following a bidder's failure to execute a 
lease pursuant to a provisionally winning bid, the second bidder to 
which the lease is offered may decline the offer without forfeiting its 
bid deposit.

Additional Information Regarding the Auction Format

Bidder Authentication

    For the online auction, BOEM will require two-factor 
authentication. Prior to the auction, the Auction Manager will send 
several bidder authentication packages to the bidders shortly after 
BOEM has processed the BFFs. One package will contain digital 
authentication tokens allowing access to the auction Web site. The 
tokens will be mailed to the Primary Point of Contact indicated on the 
BFF. This individual is responsible for distributing the tokens to the 
individuals authorized to bid for that company. Bidders are to ensure 
that each token is returned within three business days following the 
auction. An addressed, stamped envelope will be provided to facilitate 
this process. In the event that a bidder fails to submit a bid deposit 
or does not participate in the auction, BOEM will de-activate that 
bidder's token and login information, and the bidder will be asked to 
return its tokens.
    The second package contains login credentials for authorized 
bidders. The login credentials will be mailed to the address provided 
in the BFF for each authorized individual. Bidders can confirm these 
addresses by calling 703-787-1320. This package will contain user login 
information and instructions for accessing the Auction System Technical 
Supplement and Alternative Bidding Form. The login information, along 
with the tokens, will be tested during the Mock Auction.

Timing of Auction

    The auction will begin at 8:30 a.m. EST on December 15, 2016. 
Bidders may log in as early as 8:00 a.m. on that day. We recommend that 
bidders log in earlier than 8:30 a.m. on that day to ensure that any 
login issues are resolved prior to the start of the auction. Once 
bidders have logged in, they should review the auction schedule, which 
lists the start times, end times, and recess times of each round in the 
auction. Each round is structured as follows:
     Round bidding begins;
     Bidders enter their bids;
     Round bidding ends and the Recess begins;
     During the Recess, previous Round results are posted;
     Bidders review the previous Round results and prepare 
their next Round bids; and
     Next Round bidding begins.
    The first round will last about 30 minutes, though subsequent 
rounds may be shorter. Recesses are anticipated to last approximately 
10 minutes. The descriptions of the auction schedule and asking price 
increments included with this FSN are tentative. Bidders should consult 
the auction schedule on the bidding Web site during the auction for 
updated times. Bidding will continue until about 6:00 p.m. each day. 
BOEM anticipates the auction will last one or two business days, but 
bidders are advised to prepare to continue bidding for additional 
business days as necessary to resolve the auction.
    BOEM and the auction contractors will use the auction platform 
messaging service to keep bidders informed on issues of interest during 
the auction. For example, BOEM may change the schedule at any time, 
including during the auction. If BOEM changes the schedule during the 
auction, it will use the messaging feature to notify bidders that a 
revision has been made, and direct bidders to the relevant page. BOEM 
will also use the messaging system for other changes and items of note 
during the auction.
    Bidders may place bids at any time during the round. At the top of 
the

[[Page 75437]]

bidding page, a countdown clock will show how much time remains in the 
round. Bidders have until the scheduled time to place bids. Bidders 
should do so according to the procedures described in this notice, and 
the Auction System Technical Supplement. No information about the round 
is available until the round has closed and results have been posted, 
so there should be no strategic advantage to placing bids early or late 
in the round.
    The timing of the auction will be elaborated on and clarified in 
the Auction System Technical Supplement available on BOEM's Web site 
at: http://www.boem.gov/New-York/. The Auction System Technical 
Supplement describes auction procedures that are incorporated by 
reference in this notice, unless the procedures described in the 
Auction System Technical Supplement directly contradict this notice. In 
the event of a contradiction, this FSN is controlling.

Prohibition on Communications Between Bidders During Auction

    During the auction, and including one hour after the auction if LOR 
is triggered, bidders are prohibited from communicating with each other 
regarding their participation in the auction. Additionally, during the 
auction, and including one hour after the auction if LOR is triggered, 
bidders are prohibited from communicating to the general public, 
including, but not limited to, through social media, updated Web sites, 
or press releases, regarding any aspect of their participation or lack 
thereof in the auction.

Alternate Bidding Procedures

    Alternate Bidding Procedures enable a bidder that is having 
difficulties accessing the Internet to submit its bid via fax using an 
Alternate Bidding Form available on BOEM's Web site at: http://www.boem.gov/New-York/.
    In order to be authorized to use an Alternative Bidding Form, a 
bidder must call the help desk number listed in the Auction Manual 
before the end of the round. BOEM will authenticate the caller to 
ensure he/she is authorized to bid on behalf of the bidder. The bidder 
must explain the reasons for which he/she is forced to place a bid 
using the Alternate Bidding Procedures. BOEM may, in its sole 
discretion, permit or refuse to accept a request for the placement of a 
bid using the Alternate Bidding Procedures.
    If bidders need to submit an Alternate Bidding Form, they are 
strongly encouraged to do so before the round ends.
    Rejection or Non-Acceptance of Bids: BOEM reserves the right and 
authority to reject any and all bids that do not satisfy the 
requirements and rules of the auction, the FSN, and all applicable 
regulations and statutes.

Anti-Competitive Review

    Bidding behavior in this sale is subject to Federal antitrust laws. 
Accordingly, following the auction, but before the acceptance of bids 
and the issuance of leases, BOEM will ``allow the Attorney General, in 
consultation with the Federal Trade Commission, 30 days to review the 
results of the lease sale.'' 43 U.S.C. 1337(c). If a bidder is found to 
have engaged in anti-competitive behavior in connection with its 
participation in the competitive bidding process, BOEM may reject the 
provisionally winning bid. Compliance with BOEM's auction procedures 
and regulations is not an absolute defense to violations of antitrust 
laws.
    Anti-competitive behavior determinations are fact-specific. 
However, such behavior may manifest itself in several different ways, 
including, but not limited to:
     An express or tacit agreement among bidders not to bid in 
an auction, or to bid a particular price;
     An agreement among bidders not to bid for a particular LA;
     An agreement among bidders not to bid against each other; 
or
     Other agreements among bidders that have the potential to 
affect the final auction price.
    BOEM will decline to award a lease if the Attorney General, in 
consultation with the Federal Trade Commission, determines that doing 
so would be inconsistent with the antitrust laws 43 U.S.C. 1337(c).
    For more information on whether specific communications or 
agreements could constitute a violation of Federal antitrust law, 
please see: http://www.justice.gov/atr/public/business-resources.html, 
or consult counsel.
    Process for Issuing the Lease: Once all post-auction reviews have 
been completed to BOEM's satisfaction, BOEM will issue three unsigned 
copies of the lease to the provisionally winning bidder. Within 10 
business days after receiving the lease copies, the provisionally 
winning bidder must:
    1. Sign the lease on the bidder's behalf;
    2. File financial assurance, as required under 30 CFR 585.515-537; 
and
    3. Pay by electronic funds transfer (EFT) the balance (if any) of 
the bonus bid (winning bid less the bid deposit). BOEM requires bidders 
to use EFT procedures (not pay.gov, the Web site bidders used to submit 
bid deposits) for payment of the balance of the bonus bid, following 
the detailed instructions contained in the ``Instructions for Making 
Electronic Payments'' available on BOEM's Web site at: http://www.boem.gov/New-York/.
    BOEM will not execute a lease until the three requirements above 
have been satisfied, BOEM has accepted the provisionally winning 
bidder's financial assurance pursuant to 30 CFR 585.515, and BOEM has 
processed the provisionally winning bidder's payment.
    BOEM may extend the ten business day deadline for executing the 
lease on the bidder's behalf, filing the required financial assurance, 
and/or paying the balance of the bonus bid if it determines the delay 
was caused by events beyond the provisionally winning bidder's control.
    If the provisionally winning bidder does not meet these 
requirements or otherwise fails to comply with applicable regulations 
or the terms of the FSN, BOEM reserves the right to not issue the lease 
to that bidder. In such a case, the provisionally winning bidder will 
forfeit its bid deposit.
    Within 45 calendar days of the date that the provisionally winning 
bidder receives copies of the lease, it must pay the first year's rent 
using the pay.gov Renewable Energy Initial Rental Payment form 
available at: https://pay.gov/paygov/forms/formInstance.html?agencyFormId=27797604. Subsequent annual rent 
payments must be made following the detailed instructions contained in 
the ``Instructions for Making Electronic Payments,'' available on 
BOEM's Web site at: http://www.boem.gov/New-York/.
    Non-Procurement Debarment and Suspension Regulations: Pursuant to 
regulations at 43 CFR part 42, subpart C, an OCS renewable energy 
lessee must comply with the Department of the Interior's non-
procurement debarment and suspension regulations at 2 CFR 180 and 1400. 
The lessee must also communicate this requirement to persons with whom 
the lessee does business relating to this lease, by including this term 
as a condition in its contracts and other transactions.
    Force Majeure: The Program Manager of BOEM's Office of Renewable 
Energy Programs has the discretion to change any auction details 
specified in the FSN, including the date and time, in case of a force 
majeure event that the Program Manager determines may interfere with a 
fair and proper lease sale process. Such events may include, but are 
not limited to: Natural disasters (e.g.,

[[Page 75438]]

earthquakes, hurricanes, floods, blizzards), wars, riots, acts of 
terrorism, fire, strikes, civil disorder or other events of a similar 
nature. In case of such an event, BOEM will notify all bidders via 
email, phone, or through the BOEM Web site at: http://www.boem.gov/Renewable-Energy-Program/index.aspx. Bidders should call 703-787-1320 
if they have concerns.
    Appeals: The appeals procedures are provided in BOEM's regulations 
at 30 CFR 585.118(c) and 585.225. Pursuant to 30 CFR 585.225:
    (a) If BOEM rejects your bid, BOEM will provide a written statement 
of the reasons and refund any money deposited with your bid, without 
interest.
    (b) You will then be able to ask the BOEM Director for 
reconsideration, in writing, within 15 business days of bid rejection, 
under 30 CFR 585.118(c)(1). We will send you a written response either 
affirming or reversing the rejection.
    The procedures for appealing final decisions with respect to lease 
sales are described in 30 CFR 585.118(c).

Protection of Privileged or Confidential Information

    Consistent with the Freedom of Information Act (FOIA), BOEM will 
protect privileged or confidential information that you submit. 
Exemption 4 of FOIA applies to ``trade secrets and commercial or 
financial information that you submit that is privileged or 
confidential.'' 5 U.S.C. 552(b)(4). If you wish to protect the 
confidentiality of such information, clearly mark it, ``Contains 
Privileged or Confidential Information,'' and consider submitting such 
information as a separate attachment. BOEM will not disclose such 
information, except as required by FOIA. Information that is not 
labeled as privileged or confidential will be regarded by BOEM as 
suitable for public release. Further, BOEM will not treat as 
confidential aggregate summaries of otherwise confidential information.

    Authority: This FSN is published pursuant to subsection 8(p) of 
the OCS Lands Act (43 U.S.C. 1337(p)) (``the Act''), as amended by 
section 388 of the Energy Policy Act of 2005 (EPAct), and the 
implementing regulations at 30 CFR part 585, including sections 211 
and 216.

    Dated: October 25, 2016.
Abigail Ross Hopper,
Director, Bureau of Ocean Energy Management.
[FR Doc. 2016-26240 Filed 10-28-16; 8:45 am]
 BILLING CODE 4310-MR-P



                                                                             Federal Register / Vol. 81, No. 210 / Monday, October 31, 2016 / Notices                                           75429

                                                Public. This survey will include                          • Ways to minimize the burden of the                DATES:  BOEM will hold a mock auction
                                                questions from the original surveys as                  collection of information on                          for the bidders starting at 8:30 a.m.
                                                well as updated questions that can be                   respondents.                                          Eastern Standard (EST) on December 13,
                                                used to provide views from a national                     Comments that you submit in                         2016. The monetary auction will be held
                                                audience concerning the current                         response to this notice are a matter of               online and will begin at 8:30 a.m.
                                                relevancy of the NPS that would                         public record. We will include or                     Eastern Standard Time (EST) on
                                                otherwise be unavailable.                               summarize each comment in our request                 December 15, 2016. Additional details
                                                   This request is to reinstate OMB                     to OMB to approve this IC. Before                     are provided in the section entitled,
                                                Control Number 1024–0254 in order to                    including your address, phone number,                 ‘‘Deadlines and Milestones for Bidders.’’
                                                pretest the survey and collection                       email address, or other personal                      FOR FURTHER INFORMATION CONTACT:
                                                methods before we ask OMB to review                     identifying information in your                       Wright Frank, New York Project
                                                for the consideration of approval the                   comment, you should be aware that                     Coordinator and Auction Manager,
                                                final version of the survey instrument.                 your entire comment, including your                   BOEM Office of Renewable Energy
                                                The new content is sufficiently different               personal identifying information, may                 Programs, 45600 Woodland Road,
                                                enough to necessitate this request to                   be made publicly available at any time.               VAM–OREP, Sterling, Virginia, 20166,
                                                pretest question, response choice                       While you can ask us in your comment                  (703) 787–1325 or Wright.Frank@
                                                wording, and survey length before                       to withhold your personal identifying                 boem.gov.
                                                requesting approval of the final survey.                information from public review, we                       Background: BOEM proposed this
                                                The purpose and intent of the final                     cannot guarantee that we will be able to              lease sale on June 6, 2016, in Proposed
                                                survey will be measure the awareness,                   do so.                                                Sale Notice (PSN) for Commercial
                                                engagement, values, and preferences of                    Dated: October 26, 2016.                            Leasing for Wind Power on the Outer
                                                both visitors and non-visitors. This                    Madonna L. Baucum,                                    Continental Shelf (OCS) Offshore New
                                                information will be used to assess the                  Information Collection Clearance Officer,             York, which was published in the
                                                relevancy of NPS as well as to assess                   National Park Service.                                Federal Register with a 60-day public
                                                change over time, which in turn will be                 [FR Doc. 2016–26151 Filed 10–28–16; 8:45 am]
                                                                                                                                                              comment period (81 FR 36336). BOEM
                                                used to evaluate the effectiveness of                   BILLING CODE 4310–EH–P
                                                                                                                                                              received 401 comment submissions in
                                                NPS efforts to increase its relevancy.                                                                        response to the PSN, which are
                                                                                                                                                              available in the Federal Register docket
                                                II. Data                                                                                                      (Docket ID: BOEM–2016–0027) through
                                                                                                        DEPARTMENT OF THE INTERIOR
                                                  OMB Control Number: 1024–0254.                                                                              BOEM’s Web site at: http://
                                                  Title: National Park Service                          Bureau of Ocean Energy Management                     www.boem.gov/New-York/. BOEM has
                                                Centennial National Household Survey.                                                                         posted a document containing responses
                                                                                                        [Docket No. BOEM–2016–0071]
                                                  Type of Request: Reinstatement with                                                                         to comments submitted during the PSN
                                                change to a previously approved                         Atlantic Wind Lease Sale 6 (ATLW–6)                   comment period. The document,
                                                collection.                                             for Commercial Leasing for Wind                       entitled Response to Comments, can be
                                                  Affected Public: Individuals and                      Power on the Outer Continental Shelf                  found at the following URL: http://
                                                households.                                             Offshore New York—Final Sale Notice                   www.boem.gov/New-York/.
                                                  Respondent Obligation: Voluntary.                     MMAA104000                                               BOEM made several changes from the
                                                  Frequency of Collection: One time.                                                                          description of the New York lease sale
                                                  Estimated Number of Annual                            AGENCY:  Bureau of Ocean Energy                       that was published in the PSN. Three
                                                Responses: 120.                                         Management, Interior.                                 changes worth highlighting are: A 10%
                                                  Annual Burden Hours: 54 hours.                        ACTION: Final sale notice for commercial              bidding credit for entities that establish
                                                  Estimated Annual Reporting and                        leasing for Wind Power on the Outer                   that they are a ‘‘government authority’’
                                                Recordkeeping ‘‘Non-Hour Cost’’: None.                  Continental Shelf Offshore New York.                  meeting the definition included in this
                                                                                                                                                              notice, an adaptation to the auction
                                                III. Comments                                           SUMMARY:   This document is the Final                 format, and the removal of a small
                                                  A notice was published in the Federal                 Sale Notice (FSN) for the sale of one                 portion of the lease area. The auction
                                                Register (80 FR 80384) on December 24,                  commercial wind energy lease on the                   format described here differs slightly
                                                2015, stating that we intended to submit                Outer Continental Shelf (OCS) offshore                from past lease sales in that bidders may
                                                an information collection OMB approval                  New York, pursuant to 30 CFR 585.216.                 have a ‘‘limited opportunity to revoke’’
                                                of the NPS Comprehensive Survey of                      The Bureau of Ocean Energy                            a provisionally winning bid without
                                                the American Public. In this notice, we                 Management (BOEM or ‘‘the Bureau’’)                   penalty if the next-highest bid was
                                                solicited public comment for 60 days                    will offer Lease OCS–A 0512 for sale                  submitted by a governmental entity. An
                                                ending February 22, 2016. We did not                    using a multiple-factor auction format.               explanation regarding the reduction in
                                                receive any comments in response to                     This FSN contains information                         the area of the LA relative to the area
                                                that notice that required changes to the                pertaining to the area available for                  described in the PSN is provided in the
                                                collection instruments.                                 leasing, lease provisions and conditions,             section entitled ‘‘Area Offered for
                                                  We again invite comments concerning                   auction details, the lease form, criteria             Leasing.’’
                                                this information collection on:                         for evaluating competing bids, award
                                                  • Whether or not the collection of                    procedures, appeal procedures, and                    Environmental Reviews
                                                information is necessary, including                     lease execution. The issuance of the                    On May 28, 2014, BOEM published a
                                                                                                        lease resulting from this sale would not              Notice of Intent (NOI) to Prepare an
sradovich on DSK3GMQ082PROD with NOTICES




                                                whether or not the information will
                                                have practical utility;                                 constitute an approval of project-                    Environmental Assessment (EA) for
                                                  • The accuracy of our estimate of the                 specific plans to develop offshore wind               commercial wind lease issuance and
                                                burden for this collection of                           energy. Such plans, if submitted by the               approval of site assessment activities on
                                                information;                                            lease sale winner, would be subject to                the Atlantic OCS offshore New York
                                                  • Ways to enhance the quality, utility,               subsequent environmental and public                   with a 45-day public comment period
                                                and clarity of the information to be                    review prior to a decision to proceed                 (79 FR 30643). In response to the NOI,
                                                collected; and                                          with development.                                     BOEM received 32 comment


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                                                75430                        Federal Register / Vol. 81, No. 210 / Monday, October 31, 2016 / Notices

                                                submissions, a link to which is available               and New Jersey concurred with BOEM’s                               Company name            Company No.
                                                at http://www.boem.gov/New-York/.                       consistency determination under the
                                                BOEM considered these comments in                       Coastal Zone Management Act.                              wpd offshore Alpha LLC .......         15060
                                                determining the scope of issues and                        On July 11, 2016, NMFS provided
                                                alternatives analyzed in the EA.                        comments on the EA pursuant to the                           Deadlines and Milestones for Bidders:
                                                   On June 6, 2016, in conjunction with                 Magnuson-Stevens Fishery                                  This section describes the major
                                                the PSN, BOEM published an EA for                       Conservation and Management Act                           deadlines and milestones in the auction
                                                public comment (81 FR 36344). BOEM                      (MSFCMA) and recommended that                             process from publication of this FSN to
                                                received approximately 60 submittals.                   BOEM coordinate with NMFS in the                          execution of leases pursuant to this sale.
                                                Submittals included letters, emails,                    review of site-specific survey plans and                  These are organized into various stages:
                                                comment cards, and comments made to                     Site Assessment Plans (SAPs). Because                     The FSN Waiting Period; Conducting
                                                a court reporter at public meetings.                    of the programmatic nature of the                         the Auction; and From the Auction to
                                                BOEM identified 300 discrete comments                   essential fish habitat (EFH) assessment,                  Lease execution.
                                                within the submittals received.                         NMFS elected not to provide any                              • FSN Waiting Period
                                                Comments were received from various                     specific EFH conservation measures                           • Bidder’s Financial Form (BFF):
                                                stakeholders, including private citizens,               until such time as site-specific plans are                Each bidder must submit a BFF to
                                                environmental groups, Federal agencies,                 received.                                                 BOEM in order to participate in the
                                                trade associations, businesses, state                      For the issuance of a commercial                       auction. BOEM must receive each
                                                agencies, universities, and Federal                     lease, BOEM considers the                                 bidder’s BFF no later than November 14,
                                                organizations.                                          environmental consequences of                             2016. BOEM will consider extensions to
                                                   Concurrent with publication of this                  associated site characterization                          this deadline only if BOEM determines
                                                FSN, BOEM has published a Notice of                     activities (i.e., biological, archeological,              that the failure to timely submit a BFF
                                                Availability (NOA) for the revised EA                   geological and geophysical surveys, and                   was caused by events beyond the
                                                and Finding of No Significant Impact                    core sampling). Therefore, mitigation                     bidder’s control. The BFF can be
                                                (FONSI) for commercial wind lease                       measures designed to reduce or                            downloaded at: http://www.boem.gov/
                                                issuance and site assessment activities                 eliminate impacts from survey activities                  New-York/. Once the BFF has been
                                                on the Atlantic OCS offshore New York.                  will be included as stipulations in                       processed, bidders may log into pay.gov
                                                The EA and FONSI are available at:                      Addendum ‘‘C’’ of the lease (OCS–A                        and submit bid deposits. For purposes
                                                http://www.boem.gov/New-York/.                          0512). If a lease is issued, BOEM will
                                                   All consultations necessary to inform                                                                          of this auction, BOEM will not consider
                                                                                                        prepare additional environmental                          any BFFs submitted by bidders for
                                                BOEM’s lease issuance decision have                     reviews upon receipt of the lessee’s SAP
                                                been completed. BOEM completed                                                                                    previous lease sales. BOEM will only
                                                                                                        and/or Construction and Operations                        accept an originally executed paper
                                                consultations with the National Oceanic                 Plan (COP). BOEM will continue to
                                                and Atmospheric Administration’s                                                                                  copy of the BFF. The BFF must be
                                                                                                        work with affected stakeholders and                       executed by an authorized
                                                National Marine Fisheries Service                       assess ongoing and future research
                                                (NMFS) and the U.S. Fish and Wildlife                                                                             representative as shown on the bidder’s
                                                                                                        relating to potential survey, site                        legal qualifications. Each bidder is
                                                Service (USFWS) under the Endangered                    assessment, and construction and
                                                Species Act (ESA). BOEM completed                                                                                 required to sign the self-certification in
                                                                                                        operations impacts, including potential                   the BFF, in accordance with 18 U.S.C.
                                                formal consultation with NMFS upon                      mitigation measures.
                                                receipt of a Biological Opinion on                                                                                1001 (Fraud and False Statements).
                                                                                                           List of Eligible Bidders: BOEM has                        • Bid Deposits: Each bidder must
                                                March 10, 2013, (revised on April 10,                   determined that pursuant to 30 CFR
                                                2013). That consultation covered lease                                                                            provide a bid deposit of $450,000 no
                                                                                                        585.106 and 107, the following entities                   later than November 28, 2016, in order
                                                issuance and site characterization                      are legally, technically, and financially
                                                activities (i.e., high resolution                                                                                 to participate in the mock auction and
                                                                                                        qualified to hold a commercial wind                       the monetary auction. BOEM will
                                                geophysical surveys, biological surveys,                lease offshore New York, and therefore
                                                and geotechnical sampling). On                                                                                    consider extensions to this deadline
                                                                                                        may participate in this lease sale as                     only if BOEM determines that the
                                                September 14, 2016, the USFWS                           bidders subject to meeting the
                                                concurred with BOEM’s determination                                                                               failure to timely submit the bid deposit
                                                                                                        requirements outlined in this notice.                     was caused by events beyond the
                                                that such activities were not likely to
                                                adversely affect piping plovers, roseate                                                                          bidder’s control. Further information
                                                                                                                 Company name                      Company No.
                                                terns, and red knots, and BOEM’s                                                                                  about bid deposits can be found in the
                                                determination of no effect on the                       Avangrid Renewables, LLC ..                       15019   ‘‘Bid Deposit’’ section of this notice.
                                                northern long-eared bat for site                        CI–II NY Inc ..........................           15063      • Non-Monetary Package: Each
                                                characterization and assessment                         Clean Power Northeast De-                                 bidder must submit a non-monetary
                                                activities.                                               velopment Inc ....................              15064   package if it is applying for a credit as
                                                   BOEM also consulted with the State                   Convalt Energy LLC .............                  15051   a governmental authority as described
                                                                                                        Deepwater Wind Hudson
                                                Historic Preservation Offices of New                                                                              in the ‘‘Auction Procedures: Credit
                                                                                                          Canyon, LLC .....................               15028
                                                York and New Jersey, the National Park                  DONG Energy Wind Power                                    Factors’’ section of this notice. For
                                                Service, and Monmouth County New                          (U.S.) Inc ...........................          15059   bidders applying for a credit, BOEM
                                                Jersey under the National Historic                      EDF Renewable Develop-                                    must receive non-monetary packages no
                                                Preservation Act. The Finding of No                       ment, Inc ...........................           15027   later than November 28, 2016. BOEM
                                                Historic Properties Affected for the                    Energy Management, Inc .....                      15015   will consider extensions to this deadline
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                                                Issuance of a Commercial Lease with in                  Fishermen’s Energy, LLC .....                     15005   only if BOEM determines that the
                                                the New York Wind Energy Area on the                    Innogy US Renewable                                       failure to timely submit a non-monetary
                                                                                                          Projects LLC .....................              15061
                                                Outer Continental Shelf Offshore New                    New York State Energy Re-
                                                                                                                                                                  package was caused by events beyond
                                                York can be found at: http://                             search and Development                                  the bidder’s control. Non-monetary
                                                www.boem.gov/Renewable-Energy/                            Authority ............................          15062   packages must be submitted in both
                                                Historic-Preservation-Activities/. In                   Sea Breeze Energy LLC ......                      15044   paper and electronic formats. BOEM
                                                August 2016, the States of New York                     Statoil Wind US LLC ............                  15058   considers Adobe .pdf files stored on an


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                                                                             Federal Register / Vol. 81, No. 210 / Monday, October 31, 2016 / Notices                                           75431

                                                electronic media (i.e., flash drive) to be                 • Conducting the Auction: BOEM,                    copies, the auction winner must post
                                                acceptable.                                             through its contractor, will hold an                  financial assurance, pay any
                                                   Further information on this subject                  auction as described in this notice.                  outstanding balance of its bonus bid
                                                can be found in the section of this                        • Auction: On December 15, 2016,                   (i.e., winning monetary bid minus
                                                notice entitled,’’Auction Procedures.’’                 BOEM, through its contractor, will hold               applicable non-monetary credits and bid
                                                   • Reservation of Limited Opportunity                 the auction. The first round of the                   deposit), and sign and return the three
                                                to Revoke (RLOR): Under certain                         auction will start at 8:30 a.m. EST. The              executed lease copies.
                                                circumstances described in detail in this               auction will proceed electronically                      • Execution of Lease: Once BOEM has
                                                notice, a bidder that submits a                         according to a schedule to be distributed             received the lease copies and verified
                                                provisionally winning bid may be                        by the BOEM Auction Manager at the                    that all other required materials have
                                                afforded a one-hour opportunity to                      time of the auction. BOEM anticipates                 been received, BOEM will make a final
                                                revoke its provisionally winning bid                    that the auction may continue on                      determination regarding its issuance of
                                                without penalty at the end of the                       consecutive business days, as necessary,              the lease and will execute the lease if
                                                auction. This opportunity will only be                  until the auction ends in accordance                  appropriate.
                                                allowed if a governmental authority                     with the procedures described in the                     Area Offered for Leasing: The area
                                                submitted the second-highest bid. In                    ‘‘Auction Format’’ section of this notice.            available for sale will be auctioned as
                                                order to revoke a provisionally winning                 The monetary bidding will end in the                  one lease, Lease OCS–A 0512 (New
                                                bid, a bidder must have reserved this                   first round where BOEM receives one or                York LA). The New York LA consists of
                                                opportunity in advance. BOEM must                       zero bids at the asking price.                        approximately 79,350 acres, which is
                                                receive, no later than November 28,                        Æ Limited Opportunity to Revoke                    reduced from the area originally
                                                2016, a completed form that can be                      (LOR) (if criteria met): If the highest               proposed in the PSN. The reduction
                                                downloaded from BOEM’s Web site at                      bidder has reserved an LOR, and a                     comprises five aliquots (sixteenths of an
                                                http://www.boem.gov/New-York/, called                   government authority is the second                    OCS block), which were removed in
                                                the ‘‘Reservation of Limited                            highest bidder, BOEM will contact the                 response to comments received from
                                                Opportunity to Revoke’’ (RLOR). BOEM                    provisionally winning bidder through                  NMFS in response to the NOA of the EA
                                                will consider extensions to this deadline               the auction system’s messaging platform               and as part of consulations pursuant to
                                                only if it determines that the failure to               and ask whether the bidder would like                 the MSFCMA. A description of the final
                                                timely submit the RLOR was caused by                    to revoke its provisionally winning bid               LA can be found in Addendum ‘‘A’’ of
                                                events beyond the bidder’s control. By                  without penalty. The bidder will have                 the lease, which BOEM has made
                                                ‘‘opting-in,’’ the bidder will have an                  one hour from the time the message is                 available with this notice on its Web site
                                                opportunity, if certain conditions are                  sent to respond via the messaging                     at: http://www.boem.gov/New-York/.
                                                met, to revoke a provisionally winning                  system. If the bidder fails to respond
                                                bid without penalty during a short                                                                            Map of the Area Offered for Leasing
                                                                                                        within the allotted hour, BOEM will
                                                period of time following the auction. If                presume the bidder does not wish to                     A map of the New York LA and GIS
                                                the bidder does not ‘‘opt-in,’’ the bidder              exercise its revocation right, and the                spatial files can be found on BOEM’s
                                                will not have this opportunity, and                     bidder will lose the right to revoke its              Web site at: http://www.boem.gov/New-
                                                refusal to execute a lease pursuant to a                provisionally winning bid without                     York/.
                                                provisionally winning bid will result in                penalty. Further information can be                     A large scale map of the area, showing
                                                the loss of the bidder’s bid deposit.                   found in the Auction Procedures section               boundaries of the area with numbered
                                                   • Panel Convenes to Evaluate Non-                    of this notice.                                       blocks, is available from BOEM upon
                                                Monetary Packages: A short time before                     • Announce Provisional Winner:                     request at the following address: Bureau
                                                the auction, the panel described in the                 BOEM will announce the provisional                    of Ocean Energy Management, Office of
                                                ‘‘Auction Procedures’’ section will                     winner of the lease sale after the auction            Renewable Energy Programs, 45600
                                                convene to evaluate non-monetary                        ends and the one-hour LOR period, if                  Woodland Road, VAM–OREP, Sterling,
                                                packages. The panel is tentatively                      applicable, has elapsed.                              Virginia, 20166, Phone: (703) 787–1300,
                                                scheduled to meet on December 9, 2016,                     • Reconvene the Panel: The panel                   Fax: (703) 787–1708.
                                                for this purpose. If BOEM has not                       will reconvene after the bidding has                  Potential Mitigation Measures and
                                                received a non-monetary package by                      concluded to verify auction results.                  Restrictions on Development
                                                November 28, 2016, then the BOEM                           • From the Auction to Lease
                                                panel designated as responsible for                     Execution                                                During the Area Identification (Area
                                                determining bidder eligibility for the                     • Refund Non-Winners: Once the                     ID) process, BOEM identified three
                                                credit may not consider that bidder for                 provisional winner has been announced                 issues of concern associated with
                                                a non-monetary auction credit. Once it                  and the panel has verified the auction                potential development of the New York
                                                has made its decisions, the panel will                  results, BOEM will provide the non-                   Wind Energy Area (WEA): (1)
                                                report determinations of eligibility to                 winners a written explanation of why                  Navigational safety; (2) commercial
                                                BOEM. BOEM will then inform each                        they did not win and return their bid                 fishing; and (3) visual impacts to
                                                bidder by email of the panel’s                          deposits.                                             National Park Service lands and historic
                                                determination as to whether the bidder                     • Department of Justice (DOJ) Review:              properties. Although BOEM did not
                                                qualifies for a non-monetary bid credit.                DOJ will have 30 days in which to                     remove any areas from leasing
                                                Mock Auction: BOEM will hold a Mock                     conduct an antitrust review of the                    consideration during Area ID, potential
                                                Auction on December 13, 2016,                           auction, pursuant to 43 U.S.C § 1337(c).              bidders should be aware that future
                                                beginning at 8:30 a.m. EST. The Mock                       • Delivery of the Lease: BOEM will                 analysis of these or other issues could
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                                                Auction will be held online. BOEM will                  send three lease copies to the winner,                result in BOEM’s requiring mitigation
                                                contact each bidder that has timely filed               with instructions on how to execute the               measures and/or development
                                                a BFF and bid deposit and provide                       lease. The first year’s rent is due 45                restrictions in all or part of the New
                                                instructions for participation. Only                    calendar days after the winner receives               York LA. In addition, mitigation
                                                bidders that have timely submitted BFFs                 the lease copies for execution.                       measures and/or development
                                                and bid deposits will be permitted to                      • Return the Lease: Within 10                      restrictions could result from future
                                                participate in the Mock Auction.                        business days of receiving the lease                  BOEM environmental reviews and


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                                                75432                        Federal Register / Vol. 81, No. 210 / Monday, October 31, 2016 / Notices

                                                consultations (e.g., future consultations               of wind facilities due to navigational                Continental Shelf: http://
                                                under section 106 of the National                       safety concerns.                                      www.boem.gov/Social-and-Economic-
                                                Historic Preservation Act or future                                                                           Conditions-Fishery-Communication-
                                                                                                        Commercial Fishing
                                                government-to-government                                                                                      Guidelines/. Further, BOEM is requiring
                                                consultations with federally recognized                    Potential bidders should note that                 in Addendum C of the lease that the
                                                tribes).                                                future mitigation measures may be                     lessee develop a Fisheries
                                                                                                        applied to development within all or                  Communication Plan that includes the
                                                Navigational Safety                                     portions of the New York LA due to the                utilization of a fisheries liaison to
                                                   Potential bidders should note that                   use of the area as a fishery.                         facilitate communication with the
                                                future mitigation measures, including                      BOEM received fishery-related                      fishing industry.
                                                potential restrictions on the placement                 comments in response to the RFI, Call
                                                of structures, may be applied to                        for Information and Nominations, NOI,                 Visual Impacts to Historic Properties
                                                development within all or portions of                   NOA, and several public outreach                         Potential bidders should note that
                                                the New York LA to ensure navigation                    meetings. Commenters included NMFS,                   future mitigation measures may be
                                                safety and the U.S. Coast Guard’s                       the New England and Mid-Atlantic                      applied to development within all or
                                                (USCG’s) ability to maintain mission                    Fishery Management Councils, and                      portions of the New York LA to avoid,
                                                readiness.                                              several fishing industry groups,                      minimize, or mitigate adverse effects to
                                                   The New York LA has been                             primarily representing members of the                 historic properties or National Park
                                                delineated to accommodate a setback of                  sea scallop and squid fisheries. BOEM                 Service (NPS) lands. The NPS, New
                                                1 nautical mile (nmi) from the adjacent                 also received comments from                           York State Historic Preservation Office
                                                Traffic Separation Schemes (TSSs) for                   commercial and recreational fishermen                 (NY SHPO), and New Jersey State
                                                the Port of New York and New Jersey.                    during BOEM’s November 2015                           Historic Preservation Office (NJ SHPO)
                                                This setback is consistent with BOEM’s                  fisheries workshops. A meeting                        have expressed concern regarding the
                                                delineation of other lease and wind                     summary of BOEM’s November 2015                       potential for wind energy development
                                                energy areas that are in close proximity                fisheries workshops and comments                      within the New York WEA to cause
                                                to TSSs (e.g., the lease areas offshore                 associated with these workshops are                   adverse effects to onshore historic
                                                Massachusetts, Rhode Island/                            available on BOEM’s Web site at http://               properties. Correspondence outlining
                                                Massachusetts, Delaware, and                            www.boem.gov/New-York/, along with                    these concerns is available on BOEM’s
                                                Maryland; and the Wilmington West                       those comments received in response to                Web site at http://www.boem.gov/New-
                                                Wind Energy Area offshore North                         BOEM’s Federal Register notices                       York/.
                                                Carolina), and is based on input                        relating to the New York LA.                             During the summer and fall of 2015,
                                                provided by the USCG as a member of                        BOEM has also gathered information                 BOEM conducted stakeholder outreach
                                                the BOEM New York Intergovernmental                     regarding the use of the LA as a fishery              with the NPS, NY SHPO, and NJ SHPO.
                                                Renewable Energy Task Force during                      through a joint study with NMFS. This                 BOEM also completed a study entitled,
                                                development of the 2013 New York                        data, specific to the New York LA, is                 ‘‘Renewable Energy Viewshed Analysis
                                                Request for Interest (RFI). As noted in                 included in the revised EA and is                     and Visualization Simulation for the
                                                the RFI, the LA includes aliquots that                  available on BOEM’s Web site at http://               New York Outer Continental Shelf Call
                                                are transected by the 1 nmi setback line,               www.boem.gov/Fishing-Revenue-NY-                      Area’’ to assist in this outreach effort
                                                and BOEM will require that no                           Call-Area/. The spatial dataset is                    and to provide scientific and technical
                                                structures be installed on the portions of              available at http://www.boem.gov/                     information about visual impacts to
                                                those aliquots located within the                       Renewable-Energy-GIS-Data/. Potential                 inform its Area ID decision. Results of
                                                setback.                                                bidders should be aware that BOEM will
                                                                                                                                                              this study are available under the
                                                   In September 2015, BOEM received                     be gathering additional data and may
                                                                                                                                                              header ‘‘Visual Simulations’’ at http://
                                                additional input from the USCG                          require plan-specific mitigation
                                                                                                                                                              www.boem.gov/New-York/.
                                                recommending a larger setback of 2 nmi                  measures to minimize impacts.                            Withdrawal of Blocks: BOEM reserves
                                                from the TSSs and 5 nmi from the entry/                    Between 2012 and 2016, BOEM
                                                                                                                                                              the right to withdraw all or portions of
                                                exit points of the TSSs. USCG’s                         collaborated with numerous
                                                                                                                                                              the LA prior to executing the lease with
                                                correspondence to BOEM, which                           stakeholders in the fishing and offshore
                                                                                                                                                              the winning bidder, based upon relevant
                                                explains the recommendation, is                         wind industries to develop best
                                                                                                                                                              information provided to the Bureau.
                                                available on BOEM’s Web site at http://                 management practices (BMPs) in                           Lease Terms and Conditions: BOEM
                                                www.boem.gov/New-York/. In addition,                    furtherance of its goal of minimizing                 has included terms, conditions, and
                                                on March 22, 2016, the USCG released                    potential multiple use conflicts between              stipulations for the OCS commercial
                                                its Final Report for its Atlantic Coast                 offshore renewable energy developers                  wind lease to be offered through this
                                                Port Access Route Study (ACPARS),                       and the fishing industry. As a result of              sale. After the lease is issued, BOEM
                                                available at http://www.uscg.mil/                       this effort, BOEM has concluded that                  reserves the right to require compliance
                                                lantarea/acpars. The USCG’s Marine                      there would be great merit in a lessee’s              with additional terms and conditions
                                                Planning Guidelines, included as                        utilizing a fisheries liaison and a                   associated with approval of a SAP or
                                                Enclosure 2 of the ACPARS, are                          fisheries representative during the                   COP.
                                                consistent with its September 2015                      lessee’s plan development process.                       The lease is available on BOEM’s Web
                                                recommendation to BOEM. Although                        BOEM has also received comments from                  site at http://www.boem.gov/New-York/.
                                                BOEM did not adopt the USCG’s                           the public regarding the importance of                The lease includes the following seven
                                                recommendation during Area ID, BOEM                     ensuring effective communication
sradovich on DSK3GMQ082PROD with NOTICES




                                                                                                                                                              attachments:
                                                may determine at a later stage in the                   between the lessee and the fishing                       • Addendum ‘‘A’’ (Description of
                                                process (e.g., after evaluating a                       community. As a result, BOEM has                      Leased Area and Lease Activities);
                                                Navigational Safety Risk Assessment                     issued guidance to lessees for                           • Addendum ‘‘B’’ (Lease Term and
                                                that is submitted as a part of a COP)                   communicating with fisheries                          Financial Schedule);
                                                that, even with the application of                      stakeholders regarding social and                        • Addendum ‘‘C’’ (Lease Specific
                                                mitigation measures, portions of the LA                 economic impacts of renewable energy                  Terms, Conditions, and Stipulations);
                                                are not appropriate for the installation                development on the Atlantic Outer                        • Addendum ‘‘D’’ (Project Easement);


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                                                                             Federal Register / Vol. 81, No. 210 / Monday, October 31, 2016 / Notices                                            75433

                                                   • Addendum ‘‘E’’ (Rent Schedule                      Thereafter, annual rent payments are                  relinquished portion of the LA. Later
                                                post COP approval);                                     due on the anniversary of the Effective               relinquishments of any portion of the
                                                   • Appendix A to Addendum ‘‘C’’:                      Date of the lease (the ‘‘Lease                        LA will reduce the lessee’s rent
                                                (Incident Report: Protected Species                     Anniversary’’). Once commercial                       payments starting in the year following
                                                Injury or Mortality); and                               operations under the lease begin, BOEM                BOEM’s approval of the relinquishment.
                                                   • Appendix B to Addendum ‘‘C’’:                      will charge rent only for the portions of               The lessee also must pay rent for any
                                                (Required Data Elements for Protected                   the lease not authorized for commercial               project easement associated with the
                                                Species Observer Reports).                              operations, i.e., not generating                      lease, commencing on the date that
                                                   Addenda ‘‘A,’’ ‘‘B,’’ and ‘‘C’’ provide              electricity. However, instead of                      BOEM approves the COP (or
                                                detailed descriptions of lease terms and                geographically dividing the LA into                   modification thereof) that describes the
                                                conditions. Addenda ‘‘D’’ and ‘‘E’’ will                acreage that is ‘‘generating’’ and ‘‘non-             project easement. Annual rent for a
                                                be completed at the time of COP                         generating,’’ the fraction of the lease               project easement is the greater of $5 per
                                                approval or approval with                               accruing rent will be based on the                    acre per year or $450 per year.
                                                modifications.                                          fraction of the total nameplate capacity
                                                   The most recent version of BOEM’s                    of the project that is not yet in                     Operating Fee
                                                renewable energy commercial lease                       operation. This fraction is calculated by                For purposes of calculating the initial
                                                form (BOEM–0008) is available on                        dividing the nameplate capacity not yet               annual operating fee payment, pursuant
                                                BOEM’s Web site at: http://                             authorized for commercial operations at               to 30 CFR 585.506, an operating fee rate
                                                www.boem.gov/BOEM-OCS-Operation-                        the time payment is due by the                        is applied to a proxy for the wholesale
                                                Forms/.                                                 anticipated nameplate capacity after full
                                                   Potential bidders should note that                                                                         market value of the electricity expected
                                                                                                        installation of the project (as described             to be generated from the project during
                                                BOEM and the Bureau of Safety and
                                                                                                        in the COP). The annual rent due for a                its first twelve months of operations.
                                                Environmental Enforcement (BSEE) are
                                                                                                        given year is then derived by                         This initial payment will be prorated to
                                                in the process of reassigning regulations
                                                                                                        multiplying this fraction by the amount               reflect the period between the
                                                relating to safety and environmental
                                                                                                        of rent that would have been due for the              commencement of commercial
                                                oversight and enforcement
                                                                                                        lessee’s entire LA at the rental rate of $3           operations and the Lease Anniversary.
                                                responsibilities for offshore renewable
                                                                                                        per acre.                                             The initial annual operating fee
                                                energy projects from BOEM to BSEE.
                                                Once this administrative reassignment                      For a 79,350 acre lease (the size of the           payment is due within 45 days of the
                                                is finalized, BOEM may make                             New York LA), the rent payment will be                commencement of commercial
                                                ministerial and non-substantive                         $238,050 per year ($3 times 79,350) if                operations. Thereafter, subsequent
                                                amendments to the lease to conform it                   no portion of the leased area is                      annual operating fee payments are due
                                                to regulatory revisions.                                authorized for commercial operations. If              on or before each Lease Anniversary.
                                                   Plans: Pursuant to 30 CFR 585.601,                   300 megawatts (MW) of a project’s                        The subsequent annual operating fee
                                                the lessee must submit a SAP within 12                  nameplate capacity is operating (or                   payments are calculated by multiplying
                                                months of lease issuance. If the lessee                 authorized for operation), and the                    the operating fee rate by the imputed
                                                intends to continue its commercial lease                approved COP specifies a maximum                      wholesale market value of the projected
                                                with an operations term, the lessee must                project size of 500 MW, the rent                      annual electric power production. For
                                                submit a COP at least 6 months before                   payment will be $95,220. This payment                 the purposes of this calculation, the
                                                the end of the site assessment term.                    is based on the 200 MW of nameplate                   imputed market value is the product of
                                                   Financial Terms and Conditions: This                 capacity BOEM has not yet authorized                  the project’s annual nameplate capacity,
                                                section provides an overview of the                     for commercial operations. For the                    the total number of hours in a year
                                                annual payments required of the lessee                  above example, this would be calculated               (8,760), the capacity factor, and the
                                                that will be fully described in the lease,              as follows: 200MW/500MW × ($3/acre ×                  annual average price of electricity
                                                and the financial assurance                             79,350 acres) = $95,220.                              derived from a historical regional
                                                requirements that will be associated                       If the lessee submits an application               wholesale power price index. For
                                                with the lease.                                         for relinquishment of a portion of its                example, the annual operating fee for a
                                                   Rent: Pursuant to 30 CFR 585.224(b)                  lease area within the first 45 calendar               100 MW wind facility operating at a
                                                and 585.503, the first year’s rent                      days following the date that the lease is             40% capacity (i.e., capacity factor of 0.4)
                                                payment of $3 per acre is due within 45                 received by the lessee for execution, and             with a regional wholesale power price
                                                calendar days of the date the lessee                    BOEM approves that application, no                    of $50/MWh and an operating fee rate
                                                receives the lease for execution.                       rent payment will be due on the                       of 0.02 would be calculated as follows:




                                                  Operating Fee Rate: The operating fee                 turbines of the wind facility under                   MW, the nameplate capacity of the wind
                                                rate is the share of imputed wholesale                  commercial operations can produce at                  facility would be 100 MW.
                                                market value of the projected annual                    their rated wind speed as designated by                 Capacity Factor: The capacity factor
                                                electric power production due to BOEM                   the turbine’s manufacturer. The lessee                compares the amount of energy
sradovich on DSK3GMQ082PROD with NOTICES




                                                as an annual operating fee. For the New                 will specify in its COP the nameplate                 delivered to the grid during a period of
                                                York LA to be offered in this sale, this                capacity available at the start of each               time to the amount of energy the wind
                                                fee is set at 0.02 (i.e., 2%) during the                year of commercial operations on the                  facility would have produced at full
                                                entire life of commercial operations.                   lease. For example, if the lessee                     capacity. The amount of power
                                                  Nameplate Capacity: Nameplate                         specifies 20 turbines in its COP, and                 delivered will always be less than the
                                                capacity is the maximum rated electric                  each is rated by the manufacturer at 5                theoretical 100% capacity, largely
                                                                                                                                                                                                            EN31OC16.006</GPH>




                                                output, expressed in MW, that the                                                                             because of the variability of wind


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                                                75434                        Federal Register / Vol. 81, No. 210 / Monday, October 31, 2016 / Notices

                                                speeds, transmission line loss, and                     may meet financial assurance                          bidder. BOEM will refund bid deposits
                                                down time for maintenance or other                      requirements by posting a surety bond                 to non-winners once BOEM has
                                                purposes.                                               or by setting up an escrow account with               announced the provisional winner.
                                                   The capacity factor is expressed as a                a trust agreement giving BOEM the right                  Bidders will forfeit their bid deposit
                                                decimal between zero and one, and                       to withdraw the money held in the
                                                represents the share of anticipated                                                                           if they are the provisionally winning
                                                                                                        account on demand. BOEM encourages
                                                generation of the wind facility that is                                                                       bidder and they fail to execute a lease
                                                                                                        the provisionally winning bidder to
                                                delivered to the interconnection grid                   discuss the financial assurance                       pursuant to their provisionally winning
                                                (i.e., where the lessee’s facility                      requirement with BOEM as soon as                      bid. Exercising the LOR pursuant to the
                                                interconnects with the electric grid)                   possible after the auction has                        rules described in this notice constitutes
                                                relative to the wind facility’s generation              concluded.                                            a limited exception to this rule, wherein
                                                at continuous full power operation at                      BOEM will base the amount of all                   if BOEM notifies a bidder that it may
                                                nameplate capacity. BOEM has set the                    SAP, COP, and decommissioning                         revoke its provisionally winning bid
                                                capacity factor for the year in which                   financial assurance requirements on                   immediately following the lease sale,
                                                commercial operations commence and                      cost estimates for meeting all accrued                and if the bidder revokes such bid
                                                the six full years thereafter at 0.4 (i.e.,             lease obligations at the respective stages            within the allotted time, then that
                                                40%). At the end of the sixth year,                     of development. The required amount of                bidder will not forfeit its $450,000 bid
                                                BOEM may adjust the capacity factor to                  supplemental and decommissioning                      deposit. If a bidder exercises its LOR in
                                                reflect the performance over the                        financial assurance will be determined                this manner, BOEM will reoffer the
                                                previous five full years based upon the                 on a case-by-case basis.                              lease to the government authority that is
                                                actual metered electricity generation at                   The financial terms can be found in                the second-highest bidder. In this case,
                                                the delivery point to the electrical grid.              Addendum ‘‘B’’ of the lease, which                    the government authority would inherit
                                                BOEM may make similar adjustments to                    BOEM has made available with this
                                                                                                                                                              the obligation to execute a lease
                                                the capacity factor once every five years               notice on its Web site at: http://
                                                                                                                                                              pursuant to the government authority’s
                                                thereafter. The maximum change in the                   www.boem.gov/New-York/.
                                                                                                           Bid Deposit: A bid deposit is an                   now-provisionally winning bid,
                                                capacity factor from one period to the
                                                next will be limited to plus or minus 10                advance cash deposit submitted to                     forfeiting its bid deposit if it does not
                                                percent of the previous period’s value.                 BOEM in order to participate in the                   execute the lease within the required
                                                   Wholesale Power Price Index:                         auction. Each bidder must submit a bid                timeframe.
                                                Pursuant to 30 CFR 585.506(c)(2)(i), the                deposit of $450,000 no later than                        If BOEM offers a lease pursuant to a
                                                wholesale power price, expressed in                     November 28, 2016. Any bidder that                    provisionally winning bid, and that
                                                dollars per MW-hour, is determined at                   fails to submit the bid deposit by this               bidder fails to timely return the signed
                                                the time each annual operating fee                      deadline may be disqualified from                     lease form, establish financial
                                                payment is due, based on the weighted                   participating in the auction. Bid                     assurance, or pay the balance of its bid,
                                                average of the inflation-adjusted peak                  deposits will be accepted online via                  BOEM will retain that bidder’s $450,000
                                                and off-peak spot price indices.                        pay.gov.                                              bid deposit. BOEM reserves the right to
                                                Typically, BOEM’s commercial wind                          Each bidder must fill out the BFF
                                                                                                        referenced in this FSN. BOEM has made                 reconvene the panel to determine which
                                                leases specify an electric region and a
                                                                                                        a copy of the form available with this                bidder would have won in the absence
                                                source for referencing price information.
                                                                                                        notice on its Web site at: http://                    of the provisionally winning bid, and to
                                                However, at the current time, it is
                                                uncertain where a project’s transmission                www.boem.gov/New-York/. BOEM                          offer a lease to that bidder.
                                                cable may make landfall, so BOEM                        recommends that each bidder designate                    Minimum Bid: The minimum bid is
                                                decided not to specify the electric                     an email address in its BFF that the                  the lowest bid price BOEM will accept
                                                region and source of price information                  bidder will then use to create an                     as a winning bid, and it is where BOEM
                                                at the lease issuance stage. The electric               account in pay.gov (if it has not already             will start the monetary bidding. BOEM
                                                region of the wholesale power price                     done so). Bidders may then use the Bid                has established a minimum bid of $2.00
                                                index will encompass the location                       Deposit Form on the pay.gov Web site                  per acre for this lease sale. Accordingly,
                                                where the cable makes landfall. BOEM                    to leave a deposit.                                   the minimum bid will be $158,700 for
                                                will specify the referencing price                         BOEM will not consider BFFs                        Lease OCS–A 0512.
                                                information upon approval of the COP.                   submitted by bidders for previous lease
                                                The wholesale power price is adjusted                   sales to satisfy the requirements of this             Auction Procedures
                                                for inflation from the year associated                  auction. Further, BOEM will only
                                                                                                                                                              Multiple-Factor Bidding
                                                with the published spot price indices to                consider BFFs submitted after the
                                                the year in which the operating fee is to               deadline if BOEM determines that the                    As authorized under 30 CFR
                                                be due, based on the Lease Anniversary                  failure to timely submit the BFF was                  585.220(a)(4) and 585.221(a)(6), BOEM
                                                and using annual implicit price                         caused by events beyond the bidder’s                  will use a multiple-factor auction
                                                deflators as reported by the U.S.                       control. BOEM will only accept an                     format, with a multiple-factor bidding
                                                Department of Commerce Bureau of                        original, executed paper copy of the                  system, for this lease sale. Under this
                                                Economic Analysis.                                      BFF. The BFF must be executed by an
                                                                                                                                                              system, BOEM may consider a
                                                                                                        authorized representative who has been
                                                Financial Assurance                                                                                           combination of monetary and non-
                                                                                                        identified in the qualifications package
                                                  Within 10 business days after                                                                               monetary factors, or ‘‘variables,’’ in
sradovich on DSK3GMQ082PROD with NOTICES




                                                                                                        on file with BOEM as authorized to bind
                                                receiving the lease copies and pursuant                 the company.                                          determining the outcome of the auction.
                                                to 30 CFR 585.515-.516, the provisional                    Following the auction, bid deposits                BOEM will appoint a panel of BOEM
                                                winner of the New York LA must                          will be applied against bids or other                 employees to review the non-monetary
                                                provide an initial lease-specific bond or               obligations owed to BOEM. If the bid                  packages and verify the results of the
                                                other approved means of meeting                         deposit exceeds a bidder’s total                      lease sale. BOEM reserves the right to
                                                BOEM’s initial financial assurance                      financial obligation, the balance of the              change the composition of this panel at
                                                requirements. The provisional winner                    bid deposit will be refunded to the                   any time.


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                                                                             Federal Register / Vol. 81, No. 210 / Monday, October 31, 2016 / Notices                                              75435

                                                10% Non-Monetary Credit for                             Reservation of Limited Opportunity To                 are based on a number of factors,
                                                Government Authorities                                  Revoke (RLOR)                                         including the number of bidders still
                                                                                                           In response to public comments on                  active in the auction and BOEM’s best
                                                  In response to public comments on                                                                           estimate of how many rounds may
                                                the PSN, BOEM is offering a 10% non-                    the PSN, BOEM is introducing the LOR
                                                                                                        as a feature of the New York lease sale.              remain before the auction is resolved.
                                                monetary bid credit in this lease sale for                                                                    BOEM also reserves the right to increase
                                                government authorities. In order to be                  Each bidder may download, complete,
                                                                                                        sign and return the RLOR form from                    or decrease bidding increments between
                                                considered for this non-monetary credit,                                                                      rounds, if it determines that a different
                                                BOEM must receive a bidder’s non-                       BOEM’s Web site at http://
                                                                                                        www.boem.gov/New-York/. BOEM must                     increment is warranted to enhance the
                                                monetary package no later than                                                                                efficiency of the auction process.
                                                November 28, 2016, establishing that the                receive the completed, signed RLOR no
                                                                                                                                                                 As the auction proceeds, a bidder
                                                bidder meets the definition of a                        later than November 28, 2016. If BOEM
                                                                                                                                                              retains its eligibility to continue bidding
                                                government authority, below:                            does not receive the form by that date,
                                                                                                                                                              as long as that bidder submitted a live
                                                  Government Authority: A                               BOEM will presume that the bidder
                                                                                                                                                              bid on the LA in the previous round.
                                                governmental entity, political                          does NOT wish to reserve the LOR.
                                                                                                                                                              Between rounds, BOEM will release
                                                subdivision thereof, or public benefit                  BOEM will consider extensions to this
                                                                                                                                                              information indicating the number of
                                                corporation exercising executive and/or                 deadline only if BOEM determines that
                                                                                                                                                              live bids for the LA in the previous
                                                regulatory functions within the United                  the failure to timely submit an RLOR
                                                                                                                                                              round of the auction (i.e., the level of
                                                States.                                                 was caused by events beyond the
                                                                                                                                                              demand) and the asking price for the LA
                                                                                                        bidder’s control.
                                                  If a bidder wishes to establish itself as                                                                   in the upcoming round of the auction.
                                                                                                           If a bidder opts into an LOR, and then
                                                a government authority for the purposes                                                                       Bidders may be bound by any of their
                                                                                                        becomes the provisional winner of the
                                                of the auction, it must timely submit a                                                                       bids until the auction results are
                                                                                                        auction, it will be given a short
                                                non-monetary package for approval by                                                                          finalized.
                                                                                                        opportunity just after the auction to
                                                BOEM. The non-monetary package may
                                                                                                        revoke its provisionally winning bid                  Exit Bidding
                                                consist of new information to help a
                                                                                                        without forfeiting its bid deposit of                    In any round after the first round of
                                                bidder demonstrate its status as a
                                                                                                        $450,000, if the second-place bidder is               the auction, a bidder may submit an exit
                                                government authority, and/or may
                                                                                                        a government authority. Alternatively,                bid that is higher than the previous
                                                reference materials that the bidder has
                                                                                                        bidders may choose not to opt-in. If a                round’s asking price, but less than the
                                                already submitted to BOEM to establish
                                                                                                        provisionally winning bidder does not                 current round’s asking price. An exit bid
                                                that the bidder is legally qualified to
                                                                                                        reserve the LOR, that bidder will not be              must consist of a single offer price. If a
                                                participate in the sale. If bidders wish
                                                                                                        given an opportunity to revoke its                    bidder submits an exit bid, it is not
                                                to review what materials they have
                                                                                                        provisionally winning bid following the               eligible to participate in subsequent
                                                already submitted, they should contact
                                                                                                        sale without jeopardizing its bid deposit             bidding rounds of the auction. During
                                                Gina Best at 703–787–1341, as soon as
                                                                                                        of $450,000. If a bidder fails to return              the auction, exit bids will be seen only
                                                practicable.
                                                                                                        the form in a timely manner, absent any               by BOEM and not by other bidders.
                                                  Prior to the date of the auction, the                 extension granted by BOEM, it will be                    If the LA receives only exit bids in a
                                                panel will determine which bidders, if                  deemed to have opted out of its LOR.                  round, BOEM will not raise the price
                                                any, have qualified for the non-                        More information on LOR can be found                  and start another round, because no
                                                monetary credit. Bidders will be                        in the ‘‘Determining Provisional                      bidders would be eligible to bid in the
                                                notified by email prior to the date of the              Winner’’ section below.                               next round.
                                                auction if they have been granted a non-
                                                monetary credit. If the panel determines                The Auction                                           Determining the Provisional Winner
                                                that no bidder is eligible to bid as a                     The auction will be conducted in a                    The auction will end in the first
                                                government authority and receive a                      series of rounds. At the start of each                round in which one or zero live bids is
                                                credit, the auction will proceed with                   round, BOEM will state an asking price                received. If one live bid is received, that
                                                each bidder registered with no imputed                  for the LA. If a bidder is willing to meet            bid is the provisionally winning bid. If
                                                credit. Bidders will not be notified                    that asking price for the LA, it will                 no live bids are received, then the
                                                whether other bidders have qualified for                indicate this by submitting a bid equal               highest exit bid received is the
                                                a non-monetary credit until after the                   to the asking price, i.e., a live bid. If the         provisionally winning bid. If there is a
                                                bidding has concluded.                                  bidder has earned a non-monetary                      tie for the highest exit bid, BOEM’s tie-
                                                  Under the format for this sale, in each               credit, it will meet the asking price by              breaking procedures will resolve the tie.
                                                round a bidder may submit a bid                         submitting a multiple-factor bid—that                 If no live or exit bids are received, then
                                                proposal, i.e., a multiple-factor bid, for              is, a live bid that consists of a monetary            there is a tie among all bidders that
                                                the LA. The multiple-factor bid made by                 element (90%) and a non-monetary                      submitted live bids at the most recent
                                                a particular bidder in each round                       element (10%), the sum of which equals                asking price, and BOEM’s tie-breaking
                                                represents the sum of a non-monetary                    the asking price. Bidders without a non-              procedures will determine the
                                                credit and a monetary (cash) amount.                    monetary credit will submit a cash bid                provisionally winning bid.
                                                The non-monetary portion of the bid is                  equal to the asking price.
                                                represented by a 10% credit on the bid.                    To participate in any round of the                 LOR
                                                This credit will be applied throughout                  auction, a bidder must have submitted                   As noted, in response to public
                                                the auction in each round as a form of                  a live bid in the previous round. As long             comments on the PSN, this lease sale
sradovich on DSK3GMQ082PROD with NOTICES




                                                imputed payment against the LA’s                        as there are two or more live bids for the            includes an LOR. Ordinarily, if a
                                                asking price in a bidder’s multiple-                    LA, the auction proceeds to the next                  provisionally winning bidder does not
                                                factor bid. The bid credit will be                      round. Between rounds, BOEM will                      execute a lease pursuant to that
                                                bundled into each bid. In each round,                   raise the asking price for the LA by an               provisionally winning bid, that bidder
                                                the auction system will show each                       increment that it determines                          will forfeit its bid deposit. In this lease
                                                bidder how their As-Bid auction price is                appropriate. Asking price increments                  sale, a provisionally winning bidder
                                                affected by the credit imputed to its bid.              are within BOEM’s sole discretion, but                will have a chance to revoke its


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                                                75436                        Federal Register / Vol. 81, No. 210 / Monday, October 31, 2016 / Notices

                                                provisionally winning bid without this                  bidder and must follow all of BOEM’s                    The second package contains login
                                                penalty, but only under the following                   requirements contained in 30 CFR                      credentials for authorized bidders. The
                                                circumstances:                                          585.224. The government authority                     login credentials will be mailed to the
                                                   1. The provisionally winning bidder                  would then need to execute a lease                    address provided in the BFF for each
                                                reserved the right to a LOR through a                   pursuant to its provisionally winning                 authorized individual. Bidders can
                                                timely-submitted RLOR in advance of                     bid, or risk forfeiture of its bid deposit.           confirm these addresses by calling 703–
                                                the auction; and                                           BOEM will use its tie-breaking                     787–1320. This package will contain
                                                   2. The second highest bid was                        procedures to resolve any ties before                 user login information and instructions
                                                submitted by a government authority.                    determining whether the conditions                    for accessing the Auction System
                                                   If these two elements are satisfied,                 have been met for offering a                          Technical Supplement and Alternative
                                                then BOEM will offer the provisionally                  provisionally winning bidder a LOR.                   Bidding Form. The login information,
                                                winning bidder one hour to revoke its                   Ties are resolved by a random process.                along with the tokens, will be tested
                                                provisionally winning bid. If there is a                The auction system generates a random                 during the Mock Auction.
                                                tie for the second highest bid, including               number for each bidder. In the event of
                                                a government authority, the tie will be                                                                       Timing of Auction
                                                                                                        a tie, these numbers are compared, and
                                                resolved and an LOR will be offered                     the bidder with the higher random                        The auction will begin at 8:30 a.m.
                                                only if the government authority has the                number is deemed the provisional                      EST on December 15, 2016. Bidders may
                                                second-place bid following resolution of                winner.                                               log in as early as 8:00 a.m. on that day.
                                                the tie.                                                   Following the lease sale, the non-                 We recommend that bidders log in
                                                   The provisionally winning bidder will                monetary panel will convene, review                   earlier than 8:30 a.m. on that day to
                                                be given precisely one hour to revoke,                  the auction record, and certify the                   ensure that any login issues are resolved
                                                using the messaging tool in the auction                 results of the sale. Shortly thereafter,              prior to the start of the auction. Once
                                                system. If that bidder wishes to revoke,                BOEM will notify the DOJ that it may                  bidders have logged in, they should
                                                the message should consist of the                       begin its antitrust review pursuant to 43             review the auction schedule, which lists
                                                following statement:                                    U.S.C. 1337(c).                                       the start times, end times, and recess
                                                   ‘‘We hereby revoke our provisionally                    If a bidder fails to execute a lease               times of each round in the auction. Each
                                                winning bid for ATLW–6, pursuant to                     pursuant to a provisionally winning bid,              round is structured as follows:
                                                the Reservation of Limited Opportunity                  BOEM may reoffer that lease to the next                  • Round bidding begins;
                                                to Revoke form submitted previously.’’                  highest bidder. If the bidder that fails to              • Bidders enter their bids;
                                                   If the statement above is not included                                                                        • Round bidding ends and the Recess
                                                                                                        execute is a government authority that
                                                verbatim in the message a bidder uses                                                                         begins;
                                                                                                        had been declared the provisional
                                                to exercise its limited right to revoke,
                                                                                                        winner after the exercise of a LOR,                      • During the Recess, previous Round
                                                BOEM may not accept the LOR. Once                                                                             results are posted;
                                                                                                        BOEM may first reoffer the lease to the
                                                BOEM receives this message, it will
                                                                                                        bidder that had exercised the LOR. If                    • Bidders review the previous Round
                                                consider the provisionally winning bid                                                                        results and prepare their next Round
                                                                                                        BOEM reoffers the lease following a
                                                to be revoked. If the provisionally                                                                           bids; and
                                                                                                        bidder’s failure to execute a lease
                                                winning bidder revokes its bid, the
                                                                                                        pursuant to a provisionally winning bid,                 • Next Round bidding begins.
                                                government authority will then become                                                                            The first round will last about 30
                                                                                                        the second bidder to which the lease is
                                                the new provisionally winning bidder                                                                          minutes, though subsequent rounds may
                                                                                                        offered may decline the offer without
                                                and will be subject to the conditions in                                                                      be shorter. Recesses are anticipated to
                                                                                                        forfeiting its bid deposit.
                                                30 CFR 585.224. In this case, the                                                                             last approximately 10 minutes. The
                                                provisionally winning bid will be the                   Additional Information Regarding the                  descriptions of the auction schedule and
                                                government authority’s last bid for the                 Auction Format                                        asking price increments included with
                                                LA.                                                                                                           this FSN are tentative. Bidders should
                                                   If the provisionally winning bidder                  Bidder Authentication
                                                                                                                                                              consult the auction schedule on the
                                                does not revoke its bid within the                         For the online auction, BOEM will                  bidding Web site during the auction for
                                                designated hour, BOEM’s requirements                    require two-factor authentication. Prior              updated times. Bidding will continue
                                                for the bidder will be the same as it                   to the auction, the Auction Manager will              until about 6:00 p.m. each day. BOEM
                                                would be for a sale without the LOR.                    send several bidder authentication                    anticipates the auction will last one or
                                                Pursuant to 30 CFR 585.224, once                        packages to the bidders shortly after                 two business days, but bidders are
                                                BOEM sends the lease copies to the                      BOEM has processed the BFFs. One                      advised to prepare to continue bidding
                                                bidder, the bidder must timely pay the                  package will contain digital                          for additional business days as
                                                balance of its bid, establish financial                 authentication tokens allowing access to              necessary to resolve the auction.
                                                assurance, and properly sign and return                 the auction Web site. The tokens will be                 BOEM and the auction contractors
                                                the lease copies. If the bidder fails to do             mailed to the Primary Point of Contact                will use the auction platform messaging
                                                so, then BOEM may not issue the lease                   indicated on the BFF. This individual is              service to keep bidders informed on
                                                to that bidder, in which case the bidder                responsible for distributing the tokens to            issues of interest during the auction. For
                                                would forfeit its bid deposit. BOEM may                 the individuals authorized to bid for                 example, BOEM may change the
                                                consider failure of a bidder to timely                  that company. Bidders are to ensure that              schedule at any time, including during
                                                pay the full amount due an indication                   each token is returned within three                   the auction. If BOEM changes the
                                                that the bidder is no longer financially                business days following the auction. An               schedule during the auction, it will use
                                                                                                        addressed, stamped envelope will be
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                                                qualified to participate in other lease                                                                       the messaging feature to notify bidders
                                                sales under BOEM’s regulations at 30                    provided to facilitate this process. In the           that a revision has been made, and
                                                CFR 585.106 and 585.107.                                event that a bidder fails to submit a bid             direct bidders to the relevant page.
                                                   If the highest bidder revokes its                    deposit or does not participate in the                BOEM will also use the messaging
                                                provisionally winning bid pursuant to                   auction, BOEM will de-activate that                   system for other changes and items of
                                                an LOR, the government authority with                   bidder’s token and login information,                 note during the auction.
                                                the second-highest bid in the auction                   and the bidder will be asked to return                   Bidders may place bids at any time
                                                becomes the provisionally winning                       its tokens.                                           during the round. At the top of the


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                                                                             Federal Register / Vol. 81, No. 210 / Monday, October 31, 2016 / Notices                                          75437

                                                bidding page, a countdown clock will                      Rejection or Non-Acceptance of Bids:                bidders used to submit bid deposits) for
                                                show how much time remains in the                       BOEM reserves the right and authority                 payment of the balance of the bonus bid,
                                                round. Bidders have until the scheduled                 to reject any and all bids that do not                following the detailed instructions
                                                time to place bids. Bidders should do so                satisfy the requirements and rules of the             contained in the ‘‘Instructions for
                                                according to the procedures described                   auction, the FSN, and all applicable                  Making Electronic Payments’’ available
                                                in this notice, and the Auction System                  regulations and statutes.                             on BOEM’s Web site at: http://
                                                Technical Supplement. No information                                                                          www.boem.gov/New-York/.
                                                about the round is available until the                  Anti-Competitive Review                                  BOEM will not execute a lease until
                                                round has closed and results have been                     Bidding behavior in this sale is                   the three requirements above have been
                                                posted, so there should be no strategic                 subject to Federal antitrust laws.                    satisfied, BOEM has accepted the
                                                advantage to placing bids early or late                 Accordingly, following the auction, but               provisionally winning bidder’s financial
                                                in the round.                                           before the acceptance of bids and the                 assurance pursuant to 30 CFR 585.515,
                                                  The timing of the auction will be                     issuance of leases, BOEM will ‘‘allow                 and BOEM has processed the
                                                elaborated on and clarified in the                      the Attorney General, in consultation                 provisionally winning bidder’s
                                                Auction System Technical Supplement                     with the Federal Trade Commission, 30                 payment.
                                                available on BOEM’s Web site at: http://                days to review the results of the lease                  BOEM may extend the ten business
                                                www.boem.gov/New-York/. The Auction                     sale.’’ 43 U.S.C. 1337(c). If a bidder is             day deadline for executing the lease on
                                                System Technical Supplement describes                   found to have engaged in anti-                        the bidder’s behalf, filing the required
                                                auction procedures that are                             competitive behavior in connection                    financial assurance, and/or paying the
                                                incorporated by reference in this notice,               with its participation in the competitive             balance of the bonus bid if it determines
                                                unless the procedures described in the                  bidding process, BOEM may reject the                  the delay was caused by events beyond
                                                Auction System Technical Supplement                     provisionally winning bid. Compliance                 the provisionally winning bidder’s
                                                directly contradict this notice. In the                 with BOEM’s auction procedures and                    control.
                                                event of a contradiction, this FSN is                   regulations is not an absolute defense to                If the provisionally winning bidder
                                                controlling.                                            violations of antitrust laws.                         does not meet these requirements or
                                                                                                           Anti-competitive behavior                          otherwise fails to comply with
                                                Prohibition on Communications                                                                                 applicable regulations or the terms of
                                                                                                        determinations are fact-specific.
                                                Between Bidders During Auction                                                                                the FSN, BOEM reserves the right to not
                                                                                                        However, such behavior may manifest
                                                   During the auction, and including one                itself in several different ways,                     issue the lease to that bidder. In such a
                                                hour after the auction if LOR is                        including, but not limited to:                        case, the provisionally winning bidder
                                                triggered, bidders are prohibited from                     • An express or tacit agreement                    will forfeit its bid deposit.
                                                communicating with each other                           among bidders not to bid in an auction,                  Within 45 calendar days of the date
                                                regarding their participation in the                    or to bid a particular price;                         that the provisionally winning bidder
                                                auction. Additionally, during the                          • An agreement among bidders not to                receives copies of the lease, it must pay
                                                auction, and including one hour after                   bid for a particular LA;                              the first year’s rent using the pay.gov
                                                the auction if LOR is triggered, bidders                   • An agreement among bidders not to                Renewable Energy Initial Rental
                                                are prohibited from communicating to                    bid against each other; or                            Payment form available at: https://
                                                the general public, including, but not                     • Other agreements among bidders                   pay.gov/paygov/forms/
                                                limited to, through social media,                       that have the potential to affect the final           formInstance.html?agency
                                                updated Web sites, or press releases,                   auction price.                                        FormId=27797604. Subsequent annual
                                                regarding any aspect of their                              BOEM will decline to award a lease                 rent payments must be made following
                                                participation or lack thereof in the                    if the Attorney General, in consultation              the detailed instructions contained in
                                                auction.                                                with the Federal Trade Commission,                    the ‘‘Instructions for Making Electronic
                                                                                                        determines that doing so would be                     Payments,’’ available on BOEM’s Web
                                                Alternate Bidding Procedures                            inconsistent with the antitrust laws 43               site at:
                                                  Alternate Bidding Procedures enable a                 U.S.C. 1337(c).                                       http://www.boem.gov/New-York/.
                                                bidder that is having difficulties                         For more information on whether                       Non-Procurement Debarment and
                                                accessing the Internet to submit its bid                specific communications or agreements                 Suspension Regulations: Pursuant to
                                                via fax using an Alternate Bidding Form                 could constitute a violation of Federal               regulations at 43 CFR part 42, subpart C,
                                                available on BOEM’s Web site at: http://                antitrust law, please see: http://                    an OCS renewable energy lessee must
                                                www.boem.gov/New-York/.                                 www.justice.gov/atr/public/business-                  comply with the Department of the
                                                  In order to be authorized to use an                   resources.html, or consult counsel.                   Interior’s non-procurement debarment
                                                Alternative Bidding Form, a bidder                         Process for Issuing the Lease: Once all            and suspension regulations at 2 CFR 180
                                                must call the help desk number listed in                post-auction reviews have been                        and 1400. The lessee must also
                                                the Auction Manual before the end of                    completed to BOEM’s satisfaction,                     communicate this requirement to
                                                the round. BOEM will authenticate the                   BOEM will issue three unsigned copies                 persons with whom the lessee does
                                                caller to ensure he/she is authorized to                of the lease to the provisionally winning             business relating to this lease, by
                                                bid on behalf of the bidder. The bidder                 bidder. Within 10 business days after                 including this term as a condition in its
                                                must explain the reasons for which he/                  receiving the lease copies, the                       contracts and other transactions.
                                                she is forced to place a bid using the                  provisionally winning bidder must:                       Force Majeure: The Program Manager
                                                Alternate Bidding Procedures. BOEM                         1. Sign the lease on the bidder’s                  of BOEM’s Office of Renewable Energy
                                                                                                                                                              Programs has the discretion to change
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                                                may, in its sole discretion, permit or                  behalf;
                                                refuse to accept a request for the                         2. File financial assurance, as required           any auction details specified in the FSN,
                                                placement of a bid using the Alternate                  under 30 CFR 585.515–537; and                         including the date and time, in case of
                                                Bidding Procedures.                                        3. Pay by electronic funds transfer                a force majeure event that the Program
                                                  If bidders need to submit an Alternate                (EFT) the balance (if any) of the bonus               Manager determines may interfere with
                                                Bidding Form, they are strongly                         bid (winning bid less the bid deposit).               a fair and proper lease sale process.
                                                encouraged to do so before the round                    BOEM requires bidders to use EFT                      Such events may include, but are not
                                                ends.                                                   procedures (not pay.gov, the Web site                 limited to: Natural disasters (e.g.,


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                                                75438                        Federal Register / Vol. 81, No. 210 / Monday, October 31, 2016 / Notices

                                                earthquakes, hurricanes, floods,                        DEPARTMENT OF THE INTERIOR                            offshore New York. A notice was
                                                blizzards), wars, riots, acts of terrorism,                                                                   published on June 6, 2016, to announce
                                                fire, strikes, civil disorder or other                  Bureau of Ocean Energy Management                     the availability of the EA and initiate a
                                                events of a similar nature. In case of                                                                        30-day public comment period (81 FR
                                                                                                        [Docket No. BOEM–2016–0066]
                                                such an event, BOEM will notify all                                                                           36344). Due to requests for extension,
                                                bidders via email, phone, or through the                Environmental Assessment for                          the public comment period closed on
                                                BOEM Web site at: http://                               Commercial Wind Lease Issuance and                    July 13, 2016. The EA was subsequently
                                                www.boem.gov/Renewable-Energy-                          Site Assessment Activities on the                     revised based on comments received
                                                Program/index.aspx. Bidders should                      Atlantic Outer Continental Shelf                      through Regulations.gov and at public
                                                call 703–787–1320 if they have                          Offshore New York; MMAA104000                         information meetings during the
                                                concerns.                                                                                                     comment period. The revised EA
                                                   Appeals: The appeals procedures are                  AGENCY:  Bureau of Ocean Energy
                                                                                                        Management (BOEM), Interior.                          provides updated environmental data,
                                                provided in BOEM’s regulations at 30                                                                          incorporates the results of consultations,
                                                CFR 585.118(c) and 585.225. Pursuant                    ACTION: Notice of availability of a
                                                                                                                                                              and reflects a change to the proposed
                                                to 30 CFR 585.225:                                      revised environmental assessment and a
                                                                                                                                                              lease area (i.e., removal of Cholera Bank
                                                   (a) If BOEM rejects your bid, BOEM                   finding of no significant impact.
                                                                                                                                                              sensitive habitat). The revised EA also
                                                will provide a written statement of the                 SUMMARY:    BOEM is announcing the                    includes a summary of comments
                                                reasons and refund any money                            availability of a revised environmental               received on the June 2016 EA and
                                                deposited with your bid, without                        assessment (EA) and finding of no                     BOEM’s responses to those comments.
                                                interest.                                               significant impact (FONSI) for                           In addition to the proposed action, the
                                                   (b) You will then be able to ask the                 commercial wind lease issuance, site                  revised EA considers two alternatives:
                                                BOEM Director for reconsideration, in                   characterization activities (geophysical,             (1) Restricting site assessment structure
                                                writing, within 15 business days of bid                 geotechnical, archaeological, and
                                                rejection, under 30 CFR 585.118(c)(1).                                                                        placement within 2 nm (3.7 km) of the
                                                                                                        biological surveys), and site assessment              traffic separation scheme, and (2) no
                                                We will send you a written response                     activities (including the installation and
                                                either affirming or reversing the                                                                             action. BOEM’s analysis of the proposed
                                                                                                        operation of a meteorological tower or
                                                rejection.                                                                                                    action and alternatives takes into
                                                                                                        buoys or both a tower and buoys) on the
                                                                                                                                                              account standard operating conditions
                                                   The procedures for appealing final                   Atlantic Outer Continental Shelf
                                                decisions with respect to lease sales are               offshore New York. The revised EA                     (SOCs) designed to avoid or minimize
                                                described in 30 CFR 585.118(c).                         provides a discussion of potential                    potential impacts to marine mammals
                                                                                                        impacts of the proposed action and an                 and sea turtles. The SOCs can be found
                                                Protection of Privileged or Confidential                                                                      in Appendix B of the revised EA.
                                                                                                        analysis of reasonable alternatives to the
                                                Information
                                                                                                        proposed action. In accordance with the                  BOEM will use the revised EA to
                                                   Consistent with the Freedom of                       requirements of the National                          inform its decisions regarding lease
                                                Information Act (FOIA), BOEM will                       Environmental Policy Act (NEPA) and                   issuance in the New York WEA and
                                                protect privileged or confidential                      the Council on Environmental Quality’s                subsequent review of site assessment
                                                information that you submit. Exemption                  (CEQ) regulations implementing NEPA                   plans in the lease area. The competitive
                                                4 of FOIA applies to ‘‘trade secrets and                at 40 CFR 1500–1508, BOEM issued a                    leasing process is set forth at 30 CFR
                                                commercial or financial information                     FONSI supported by the analysis in the                585.210–585.225. A future lessee may
                                                that you submit that is privileged or                   revised EA. The FONSI concluded that                  propose a wind energy generation
                                                confidential.’’ 5 U.S.C. 552(b)(4). If you              the reasonably foreseeable                            facility on its lease by submitting a
                                                wish to protect the confidentiality of                  environmental impacts associated with                 construction and operations plan (COP)
                                                such information, clearly mark it,                      the proposed action and alternatives, as              to BOEM. BOEM would then prepare a
                                                ‘‘Contains Privileged or Confidential                   set forth in the EA, would not
                                                                                                                                                              separate site- and project-specific NEPA
                                                Information,’’ and consider submitting                  significantly impact the quality of the
                                                                                                                                                              analysis of the activities proposed in the
                                                such information as a separate                          human environment; therefore, the
                                                                                                                                                              COP.
                                                attachment. BOEM will not disclose                      preparation of an environmental impact
                                                such information, except as required by                 statement is not required. This notice is               Authority: This notice of availability for
                                                FOIA. Information that is not labeled as                being published concurrently with the                 an EA is in compliance with the National
                                                privileged or confidential will be                      Final Sale Notice for the New York                    Environmental Policy Act (NEPA) of 1969, as
                                                regarded by BOEM as suitable for public                 Wind Energy Area (WEA). These                         amended (42 U.S.C. 4231 et seq.), and is
                                                release. Further, BOEM will not treat as                documents and associated information                  published pursuant to 43 CFR 46.305.
                                                confidential aggregate summaries of                     are available on BOEM’s Web site at                     Dated: October 25, 2016.
                                                otherwise confidential information.                     http://www.boem.gov/New-York/.                        Abigail Ross Hopper,
                                                  Authority: This FSN is published pursuant             FOR FURTHER INFORMATION CONTACT:                      Director, Bureau of Ocean Energy
                                                to subsection 8(p) of the OCS Lands Act (43             Michelle Morin, BOEM Office of                        Management.
                                                U.S.C. 1337(p)) (‘‘the Act’’), as amended by            Renewable Energy Programs, 45600                      [FR Doc. 2016–26237 Filed 10–28–16; 8:45 am]
                                                section 388 of the Energy Policy Act of 2005            Woodland Road, Sterling, Virginia
                                                (EPAct), and the implementing regulations at                                                                  BILLING CODE 4310–MR–P
                                                                                                        20166, (703) 787–1340 or
                                                30 CFR part 585, including sections 211 and             michelle.morin@boem.gov.
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                                                216.
                                                                                                        SUPPLEMENTARY INFORMATION: In June
                                                  Dated: October 25, 2016.                              2016, BOEM published an EA to
                                                Abigail Ross Hopper,                                    consider the reasonably foreseeable
                                                Director, Bureau of Ocean Energy                        environmental consequences associated
                                                Management.                                             with commercial wind lease issuance,
                                                [FR Doc. 2016–26240 Filed 10–28–16; 8:45 am]            site characterization activities, and site
                                                BILLING CODE 4310–MR–P                                  assessment activities within the WEA


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Document Created: 2018-02-02 12:13:24
Document Modified: 2018-02-02 12:13:24
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionNotices
ActionFinal sale notice for commercial leasing for Wind Power on the Outer Continental Shelf Offshore New York.
DatesBOEM will hold a mock auction for the bidders starting at 8:30 a.m. Eastern Standard (EST) on December 13, 2016. The monetary auction will be held online and will begin at 8:30 a.m. Eastern Standard Time (EST) on December 15, 2016. Additional details are provided in the section entitled, ``Deadlines and Milestones for Bidders.''
ContactWright Frank, New York Project Coordinator and Auction Manager, BOEM Office of Renewable Energy Programs, 45600 Woodland Road, VAM-OREP, Sterling, Virginia, 20166, (703) 787-1325 or [email protected]
FR Citation81 FR 75429 

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