Interior Dept Renews Bonding Info Collection for Appeals
Published Date: 4/21/2026
Notice
Summary
The Office of Natural Resources Revenue wants to keep collecting info from companies about their bonds or financial backup when they face suspensions while appealing. This helps make sure everyone plays fair and has the money to cover any issues. If you’re involved, you’ve got until May 21, 2026, to share your thoughts—no extra costs or big changes, just a paperwork update!
Analyzed Economic Effects
5 provisions identified: 1 benefits, 3 costs, 1 mixed.
Self-Bonding Option for Federal Leases
For Federal oil and gas leases (not Indian leases), an appellant may request to ‘self-bond’ instead of posting a surety, but must submit a consolidated balance sheet (subject to annual audit) and, in some cases, up to three years of tax returns. ONRR uses a $300,000,000 net worth threshold in its evaluation process.
Treasury-Backed Security Requirement for Appeals
An appellant may secure debts using a U.S. Treasury note or bond, but the Treasury Security must be book-entry, have maturity equal to or greater than one year, and equal 120 percent of the appealed amount plus one year of estimated interest.
Must Maintain Surety; ONRR Can Draw Down
When an appellant posts a surety or other acceptable instrument, it must maintain that surety until the appeal is resolved; ONRR will return it if the appellant prevails, but will draw down or collect the surety (including interest on the receivable) if the appellant fails to comply or the appeal is decided for ONRR.
Mandatory Bonding Paperwork for Appellants
If your company appeals an ONRR order, you must provide paperwork to post a surety or demonstrate financial solvency under 30 CFR part 1243. ONRR estimates 275 Federal or Indian appellants, 110 annual responses, 2 hours per response, and a total annual burden of 220 hours.
$56 Credit-Check Fee for Some Appellants
If an appellant does not have a consolidated balance sheet or does not meet the $300,000,000 net worth requirement, ONRR may obtain business or credit reporting data and charge the appellant $56 per review. ONRR estimates three appellants per year will pay this fee (total $168 per year).
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Key Dates
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