May 19, 2010
Salazar splits MMS into three
Referring to the Minerals Management Service at a hearing yesterday on the Deepwater Horizon oil spill, Secretary of the Interior Ken Salazar said: "We must put that House in order."
Today he took a step in that direction. He signed a Secretarial Order that will lead to the fundamental restructuring of the MMS.
And while earlier reports had foreseen that MMS would be split in two, the new organization will see "the division of its three conflicting missions into separate entities with independent missions to strengthen oversight of offshore energy operations, improve the structure for revenue and royalty collections on behalf of the American people, and help the country build a clean energy future."
Here's an outline of the reorganization created by the Secretarial order
Bureau of Ocean Energy Management
Mission - Responsibly manage the sustainable development of the ocean's energy resources through renewable energy and offshore conventional energy
Office will perform the following functions:
Conduct five year planning processes
Process and approve leasing activities
Develop new structure of expanding renewable energy opportunities
Bureau of Safety and Environmental Enforcement
Mission -Assure highest level of safety and environmental standards and performance in the production of all offshore energy activities
Office would incorporate the following functions:
Creation of standards
Natural Resources Revenue Service
Mission: Assure full realization of value of public energy resources for the benefit of the American people
Existing revenue management function to be placed under the Assistant Secretary for Policy, Management and Budget (PMB)
Eliminates conflicts associated with revenue collection being commonly managed with resource management and safety and environmental enforcement
Greater operational alignment within PMB will support improved performance
Approach to Reform
Objective is to remove potential conflicts and enhance Interior's ability to pursue each element of the MMS mission:
Operational safety ;
Full and efficient collection of all payments due; and
Responsible and sustainable management of offshore energy development
Goal is to enhance Interior's performance and accountability through greater functional independence and oversight while maintaining an effective process.