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Program Assessment


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Minerals Management Service - Minerals Revenue Management

The Minerals Revenue Management Program manages nearly all of the revenue generated by Federal offshore and onshore leases as well as American Indian mineral leases. Revenues go to the Federal Government, states, and Indian Tribes and represent one of the larger sources of non-tax Federal revenue.


What This Rating Means

Moderately Effective

In general, a program rated Moderately Effective has set ambitious goals and is well-managed. Moderately Effective programs likely need to improve their efficiency or address other problems in the programs' design or management in order to achieve better results.
  • Since the last program assessment in 2003, the agency has developed and implemented new performance measures that provide a better understanding of how the program is performing. There continues to be room for improvement in some areas.
  • In 2006, the Department of the Interior's Inspector General performed an audit of the agency's compliance review process and provided several recommendations. A key finding was that the program needed a better basis for making decisions about which properties to review and/or audit to ensure that it is focusing on those properties at highest risk of underpayment of royalties.
  • The Government Accountability Office (GAO) is currently reviewing MRM royalty-in-kind (RIK) operations, at the request of Congress, in light of significant expansion of the RIK portfolio. In addition, MRM has not yet fully implemented GAO's May 2006 recommendations regarding geothermal royalties.

Improvement Plan

About Improvement Plans

We are taking the following actions to improve the performance of the program:

  • Improving the quality of compliance management information in response to the Inspector General's recommendations.
  • Developing and implementing a new risk-based compliance strategy and measure(s) based on the Inspector General's recommendations.
  • Implementing outstanding GAO recommendations regarding geothermal royalties.

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