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Code of Federal Regulations Title 30. Mineral Resources § 30.1206.108 How do I request a valuation determination?

Current as of January 02, 2025 | Updated by Findlaw Staff

<For compliance date(s) of amendment(s) to section, see 86 FR 4612;  86 FR 20032.>
<Text of subsection (a) intro. par. effective until Nov. 1, 2021, as delayed by 86 FR 9286;  86 FR 20032.>

(a) You may request a valuation determination from ONRR regarding any oil produced. Your request must:

<Text of subsection (a) intro. par. effective Nov. 1, 2021, as delayed by 86 FR 9286;  86 FR 20032.>

(a) You may request a valuation determination from ONRR regarding any oil produced. Your request must comply with all of the following:

(1) Be in writing;

(2) Identify, specifically, all leases involved, all interest owners of those leases, the designee(s), and the operator(s) for those leases;

(3) Completely explain all relevant facts;  you must inform ONRR of any changes to relevant facts that occur before we respond to your request;

(4) Include copies of all relevant documents;

<Text of subsection (a)(5) effective until Nov. 1, 2021, as delayed by 86 FR 9286;  86 FR 20032.>

(5) Provide your analysis of the issue(s), including citations to all relevant precedents (including adverse precedents);  and

<Text of subsection (a)(5) effective Nov. 1, 2021, as delayed by 86 FR 9286;  86 FR 20032.>

(5) Provide your analysis of the issue(s);

(6) Suggest your proposed valuation method.

(b) In response to your request, ONRR may:

(1) Request that the Assistant Secretary for Policy, Management and Budget issue a valuation determination;

(2) Decide that ONRR will issue guidance;  or

(3) Inform you in writing that ONRR will not provide a determination or guidance. Situations in which ONRR typically will not provide any determination or guidance include, but are not limited to, the following:

(i) Requests for guidance on hypothetical situations

(ii) Matters that are the subject of pending litigation or administrative appeals

<Text of subsection (c) effective until Nov. 1, 2021, as delayed by 86 FR 9286;  86 FR 20032.>

(c)(1) A valuation determination that the Assistant Secretary for Policy, Management and Budget signs is binding on both you and ONRR until the Assistant Secretary modifies or rescinds it.

(2) After the Assistant Secretary issues a valuation determination, you must make any adjustments to royalty payments that follow from the determination and, if you owe additional royalties, you must pay the additional royalties due, plus late payment interest calculated under §§ 1218.54 and 1218.102 of this chapter.

(3) A valuation determination that the Assistant Secretary signs is the final action of the Department and is subject to judicial review under 5 U.S.C. 701–706.

<Text of subsection (c) effective Nov. 1, 2021, as delayed by 86 FR 9286;  86 FR 20032.>

(c)(1) A valuation determination that the Assistant Secretary for Policy, Management and Budget signs is binding on both you and ONRR until the Assistant Secretary modifies or rescinds it.

(2) After the Assistant Secretary for Policy, Management and Budget issues a valuation determination, you must make any adjustments to royalty payments that follow from the determination and, if you owe additional royalties, you must pay the additional royalties due, plus late payment interest calculated under §§ 1218.54 and 1218.102 of this chapter.

(3) A valuation determination that the Assistant Secretary for Policy, Management and Budget signs is the final action of the Department and is subject to judicial review under 5 U.S.C. 701–706.

(d) Guidance that ONRR issues is not binding on ONRR, delegated States, or you with respect to the specific situation addressed in the guidance.

<Text of subsection (d)(1) effective until Nov. 1, 2021, as delayed by 86 FR 9286;  86 FR 20032.>

(1) Guidance and ONRR's decision whether or not to issue guidance or request an Assistant Secretary determination, or neither, under paragraph (b) of this section, are not appealable decisions or orders under 30 CFR part 1290.

<Text of subsection (d)(1) effective Nov. 1, 2021, as delayed by 86 FR 9286;  86 FR 20032.>

(1) Guidance and ONRR's decision whether or not to issue guidance or request an Assistant Secretary for Policy, Management and Budget determination, or neither, under paragraph (b) of this section, are not appealable decisions or orders under 30 CFR part 1290.

(2) If you receive an order requiring you to pay royalty on the same basis as the guidance, you may appeal that order under 30 CFR part 1290.

<Text of subsection (e) effective until Nov. 1, 2021, as delayed by 86 FR 9286;  86 FR 20032.>

(e) ONRR or the Assistant Secretary may use any of the applicable valuation criteria in this subpart to provide guidance or to make a determination.

<Text of subsection (e) effective Nov. 1, 2021, as delayed by 86 FR 9286;  86 FR 20032.>

(e) ONRR or the Assistant Secretary for Policy, Management and Budget may use any of the applicable valuation criteria in this subpart to provide guidance or to make a determination.

<Text of subsection (f) effective until Nov. 1, 2021, as delayed by 86 FR 9286;  86 FR 20032.>

(f) A change in an applicable statute or regulation on which ONRR or the Assistant Secretary based any determination or guidance takes precedence over the determination or guidance, regardless of whether ONRR or the Assistant Secretary modifies or rescinds the determination or guidance.

<Text of subsection (f) effective Nov. 1, 2021, as delayed by 86 FR 9286;  86 FR 20032.>

(f) A change in an applicable statute or regulation on which ONRR or the Assistant Secretary for Policy, Management and Budget based any determination or guidance takes precedence over the determination or guidance, regardless of whether ONRR or the Assistant Secretary for Policy, Management and Budget modifies or rescinds the determination or guidance.

<Text of subsection (g) intro. par. effective until Nov. 1, 2021, as delayed by 86 FR 9286;  86 FR 20032.>

(g) ONRR or the Assistant Secretary generally will not retroactively modify or rescind a valuation determination issued under paragraph (d) of this section, unless:

<Text of subsection (g) intro. par. effective Nov. 1, 2021, as delayed by 86 FR 9286;  86 FR 20032.>

(g) ONRR or the Assistant Secretary for Policy, Management and Budget generally will not retroactively modify or rescind a valuation determination issued under paragraph (d) of this section, unless:

(1) There was a misstatement or omission of material facts;  or

(2) The facts subsequently developed are materially different from the facts on which the guidance was based.

(h) ONRR may make requests and replies under this section available to the public, subject to the confidentiality requirements under § 1206.109.

1  The reference to September 7, 2017, in this paragraph, should be to September 6, 2017, the published effective date of 81 FR 43338, and the corresponding date of the Court vacation.
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Cite this article: FindLaw.com - Code of Federal Regulations Title 30. Mineral Resources § 30.1206.108 How do I request a valuation determination? - last updated January 02, 2025 | https://codes.findlaw.com/cfr/title-30-mineral-resources/cfr-sect-30-1206-108/

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