B-249350: Mar 3, 1993

The Minerals Management Service (MMS) requested a decision on what interest rates and compounding periods it could use for compensating Outer Continental Shelf natural gas and oil lessees for cancelled leases. GAO held that: (1) in accordance with the Outer Continental Shelf Lands Act, MMS could establish any interest rate that was not arbitrary or inconsistent with the statute; and (2) MMS should...

B-249350: Mar 3, 1993

The Secretary may establish any interest rate that is not arbitrary or inconsistent with the statute. DECISION The Minerals Management Service of the Department of the Interior requests an opinion on what interest rates and compounding periods it may adopt in its regulations regarding compensation for lessees whose Outer Continental Shelf natural gas and oil leases are canceled. May use any intere...