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EMD-80-121 1 (1980-09-26)

handle is hein.gao/gaobabbbr0001 and id is 1 raw text is: 

                   S?4
                   UNITED STATES GENERAL PCCQUNTING OFFICE
                   WASHINGTON. D. 20548



ENERGY AND MINERALS
    DIVISION

    B-200507                                     SEPTEMBER 26,1980


    The Honorable James D. Santini
    Chairman, Subcommittee on Mines
      and Mining                                       il~III1111
    Committee on Interior and
      Insular Affairs                                     113409
    House of Representatives

    Dear Mr. Chairman:

          Subject: .Additional Information Requested Following
                     earing on Onshore Oil and Gas Leasing
                     (EM0121

          During our July 24, 1980, testimony before your Subcom-
    mittee on H.R. 4373 and H.R. 6882,1you requested that we pro-
    vide certain additional informatiorrfor the record. You also
    asked us to furnish a copy of our response to Secretary Andrus'
    letter to the Comptroller General in which he disagreed with
    certain aspects of our March 14, 1980, report entitled Impacts
    of Making the Onshore Oil and Gas Leasing System More Competi-
    tive (EMD-80-60).

          Questions posed by the Subcommittee and our responses
     are set forth below. Our response to Secretary Andrus' let-
     ter is enclosed.

          1. What administrative or regulatory changes to the on-
              shore oil and gas leasing system would be appropriate?

          We have stated in two recent reports, as well as in our
     July 24 testimony, that many of the actual or perceived prob-
     lems with the lottery system could be corrected through regula-
     tory and administrative changes without a major overhaul of a
     system which--despite certain flaws--has made an important
     contribution to domestic oil and gas development.I For example,
     our April 13, 1979, report (Onshore Oil and Gas Leasing--Who
     Wins the Lottery?, EMD-79-41) recommended certain actions to
     tighten controls to eliminate the possibility of the lottery

                                     .  .2/ , ..(008958)

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