83 FR 27019 - Agency Information Collection Activities: Accounts Receivable Confirmations Reporting

DEPARTMENT OF THE INTERIOR
Office of Natural Resources Revenue

Federal Register Volume 83, Issue 112 (June 11, 2018)

In accordance with the Paperwork Reduction Act of 1995, we, the Office of Natural Resources Revenue (ONRR) are proposing to renew an information collection.

[Federal Register Volume 83, Number 112 (Monday, June 11, 2018)]
[Notices]
[Pages 27019-27020]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-12419]


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DEPARTMENT OF THE INTERIOR

Office of Natural Resources Revenue

[Docket No. ONRR-2011-0019; DS63644000 DR2000000.CH7000 189D0102R2, OMB 
Control Number 1012-0001]


Agency Information Collection Activities: Accounts Receivable 
Confirmations Reporting

AGENCY: Office of the Secretary, Office of Natural Resources Revenue, 
Interior.

ACTION: Notice of information collection; request for comment.

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SUMMARY: In accordance with the Paperwork Reduction Act of 1995, we, 
the Office of Natural Resources Revenue (ONRR) are proposing to renew 
an information collection.

DATES: Interested persons are invited to submit comments on or before 
August 10, 2018.

ADDRESSES: You may submit comments on this information collection 
request (ICR) to ONRR by using one of the following three methods. 
Please reference ``ICR 1012-0001'' in your comments.
     Electronically go to http://www.regulations.gov. In the 
entry titled ``Enter Keyword or ID,'' enter ``ONRR-2011-0019,'' then 
click ``Search.'' Follow the instructions to submit public comments. 
ONRR will post all comments.
     Email comments to Mr. Luis Aguilar, Regulatory Specialist, 
at [email protected].
     Hand-carry or mail comments, using an overnight courier 
service, to ONRR. Our courier address is Building 85, Entrance N-1, 
Denver Federal Center, West 6th Ave. and Kipling St., Denver, Colorado 
80225.

FOR FURTHER INFORMATION CONTACT: For questions on technical issues, 
contact Mr. Hans Meingast, Financial Services, Financial Management, 
ONRR, at (303) 231-3382 or email to [email protected]. For other 
questions, contact Mr. Luis Aguilar at (303) 231-3418, or email to 
[email protected]. You may also contact Mr. Aguilar to obtain 
copies (free of charge) of (1) the ICR, (2) any associated form(s), and 
(3) the regulations that require us to collect the information. You may 
also review the information collection request online at http://www.reginfo.gov/public/do/PRAMain.

SUPPLEMENTARY INFORMATION: In accordance with the Paperwork Reduction 
Act of 1995, we provide the general public and other Federal agencies 
with an opportunity to comment on new, proposed, revised, and 
continuing collections of information. This helps us assess the impact 
of our information collection requirements and minimize the public's 
reporting burden. It also helps the public understand our information 
collection requirements and provide the requested data in the desired 
format. We are soliciting comments on the proposed ICR that is 
described below. We are especially interested in public comment 
addressing the following issues: (1) Is the collection necessary to the 
proper functions of the ONRR; (2) will this information be processed 
and used in a timely manner; (3) is the estimate of burden accurate; 
(4) how might the ONRR enhance the quality, utility, and clarity of the 
information to be collected; and (5) how might the ONRR minimize the 
burden of this collection on the respondents, including through the use 
of information technology. Comments that you submit in response to this 
notice are a matter of public record. We will include or summarize each 
comment in our request to OMB to approve this ICR. Before including 
your address, phone number, email address, or other personal 
identifying information in your comment, you should be aware that your 
entire comment--including your personal identifying information--may be 
made publicly available at any time. While you can ask us in your 
comment to withhold your personal identifying information from public 
review, we cannot guarantee that we will be able to do so.
    Abstract: The Secretary of the United States Department of the 
Interior is responsible for collecting royalties from lessees who 
produce minerals from Federal and Indian lands and the Outer-
Continental Shelf (OCS). Under various laws, the Secretary is 
responsible to manage mineral resources from Federal and Indian lands 
and the OCS. One of the mineral responsibilities that ONRR performs on 
behalf of the Secretary is to collect the royalties and other mineral 
revenues due, which obligations are accounted for as accounts 
receivables with ONRR's Financial Management group. We have posted 
those laws pertaining to mineral leases on Federal and Indian lands and 
the OCS at http://www.onrr.gov/Laws_R_D/PubLaws/default.htm.

General Information

    When a company or an individual enters into a lease to explore, 
develop, produce, and dispose of minerals from Federal and Indian lands 
and the OCS, that company or individual agrees to pay the lessor a 
share in an amount or value of production from the leased lands. For 
oil, gas, and solid minerals, the lessee is required to report various 
types of information to ONRR relative to the disposition of the leased 
minerals. Specifically, companies submit financial information to ONRR 
on a monthly basis by submitting form ONRR-2014 [Report of Sales and 
Royalty Remittance for oil and gas reported in OMB Control Number 1012-
0004], and form ONRR-4430 [Solid Minerals Production and Royalty Report 
reported in OMB Control Number 1012-

[[Page 27020]]

0010]. These royalty reports result in accounts receivables and capture 
the vast majority of the mineral revenue collected by ONRR.
    The basis for the data that companies submit on forms ONRR-2014 and 
ONRR-4430 is generally available within the records of the lessee or 
others involved in developing, transporting, processing, purchasing, or 
selling such minerals. The information that we collect under the ICR 
includes data necessary to ensure that ONRR's accounts receivables are 
accurately based on the value of the mineral production, as reported to 
ONRR on forms ONRR-2014 and ONRR-4430.

Information Collections

    Every year, the Chief Financial Officer (CFO) under Chief Financial 
Officers Act of 1990, the Office of Inspector General, or its agent 
(agent), audits the accounts receivable portions of the Department's 
financial statements, which are based on ONRR forms ONRR-2014 and ONRR-
4430. Accounts receivable confirmations are a common practice in the 
audit business. Due to a continuous increase in scrutiny of financial 
audits, a third-party confirmation of the validity of ONRR's financial 
records is necessary.
    As part of the CFO audit, the agent selects a sample of accounts 
receivable items based on forms ONRR-2014 and ONRR-4430, and provides 
the sample items to ONRR. ONRR then identifies the company names and 
addresses for the sample items selected and creates accounts receivable 
confirmation letters. In order to meet the CFO requirements, the 
letters must be on ONRR letterhead and the Deputy Director for ONRR, or 
his or her designee, must sign the letters. The letter requests third-
party confirmation responses by a specified date on whether or not 
ONRR's accounts receivable records agree with royalty payor records for 
the following items: (1) Customer identification; (2) royalty invoice 
number; (3) payor assigned document number; (4) date of ONRR receipt; 
(5) original amount the payor reported; and (6) remaining balance due 
to ONRR. The agent mails the letters to the payors, instructing them to 
respond directly to the agent to confirm the accuracy and validity of 
selected royalty receivable items and amounts. In turn, it is the 
responsibility of the payors to verify, research, and analyze the 
amounts and balances reported on their respective forms ONRR-2014 and 
ONRR-4430.

OMB Approval

    We will request OMB approval to continue to collect this 
information. Not collecting this information would limit the 
Secretary's ability to discharge the duties of the office, could result 
in a violation of the Chief Financial Officers Act of 1990, and may 
also result in the inability to confirm the accuracy of ONRR's accounts 
receivables which are based on the accurate reporting of forms ONRR-
2014 and ONRR-4430. ONRR protects the proprietary information received 
and does not collect items of a sensitive nature.
    Title of Collections: Accounts Receivable Confirmations.
    OMB Control Number: 1012-0001.
    Form(s) Number: None.
    Type of Review: Extension of a currently approved collection.
    Respondent/Affected Public: Businesses.
    Total Estimated Number of Annual Respondents: 24 randomly-selected 
mineral payors from Federal and Indian lands and the OCS.
    Total Estimated Number of Annual Responses: 24.
    Estimated Completion Time per Response: We estimate that each 
response will take 15 minutes for payors to complete.
    Total Estimated Number of Annual Burden Hours: 6 hours.
    Respondent's Obligation: Voluntary.
    Frequency of Collection: Annual.
    Total Estimated Annual Nonhour Burden Cost: We have identified no 
``non-hour cost'' burden associated with this collection of 
information.
    An agency may not conduct or sponsor and a person is not required 
to respond to a collection of information unless it displays a 
currently valid OMB control number.
    The authority for this action is the Paperwork Reduction Act of 
1995 (44 U.S.C. 3501 et seq).

Gregory J. Gould,
Director for Office of Natural Resources Revenue.
[FR Doc. 2018-12419 Filed 6-8-18; 8:45 am]
 BILLING CODE 4335-30-P