On September 13, 2018, the U.S.
Forest Service (USFS) proposed an update for existing regulations and
procedures codified at 36 CFR 228, Subpart E, relating to oil and gas resources
on national forest lands. The current rules are described as “outdated and
inefficient.” Existing regulations were first promulgated in 1990 and slightly
amended in 2007. USFS declared in a News Release that the proposed reforms
would “ensure the Forest Service and stakeholders have an efficient process to
support local economies and protect and conserve valuable environmental
resources.” Consequently, USFS published in the Federal Register an Advance
Notice of Proposed Rulemaking seeking public comment.
Existing regulations and procedures
set forth in 36
CFR 228, Subpart E govern the statutory responsibilities of USFS for
the issuance of federal oil and gas leases as well as the management of
subsequent oil and gas operations on national forest lands.
The proposed rulemaking is driven
by the need to streamline processes and reduce administrative burdens and costs
for energy-related projects, as required by the Trump administration. As stated
in the Advance Notice, “the intent of these potential changes would be to
decrease permitting times by removing regulatory burdens that unnecessarily
encumber energy production.” Specifically, USFS states that the proposed
revisions include “eliminating language that is redundant with the NEPA
process, removing confusing options, and ensuring better alignment with the BLM
regulations.”
As a primary matter, USFS will focus
on reforming its internal process for identifying National Forest System lands;
reviewing the regulatory provisions relating to lease stipulation waivers,
exceptions and modifications; improving the procedures for review and approval
of surface use plans of operations; clarifying operators’ responsibility in
protecting natural resources and the environment; improving language regarding
inspections and compliance; and developing procedures addressing
geophysical/seismic operations associated with oil and gas operations that will
be line with BLM regulations.
The American Petroleum Institute
(API) released its comments
on the proposed rulemaking and declared “strong support” for the current
efforts on the part of the Trump administration to reduce administrative
burdens and create an expedited environmental review process for energy-related
projects. Among its recommendations, API suggested that USFS and BLM work hand
in hand regarding the lease parcel review process. Furthermore, API stated that
“USFS field offices shall have the discretion to participate in a BLM
Interdisciplinary Parcel Review (IDPR) Team of resource specialists to review
lease sale parcels as part of compliance with NEPA and other legal and policy
requirements for adequate review of parcels.”
The public comment period on the
proposed rule closed on October 15, 2018. Stay tuned for further legal
developments!

This material is based upon work supported by the National Agricultural Library, Agricultural Research Service, U.S. Department of Agriculture
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