34 States Receive $362 Million in First Half of 2000 as Share of Federal Mineral Revenues

The U.S. Department of the Interior's Minerals Management Service (MMS) today announced that it had distributed more than $362 million to 34 states during the first six months of 2000.

"This year’s halfway mark total far exceeds last year’s $242 million," stated MMS Director Walt Rosenbusch.

The MMS is responsible for collecting, accounting for, auditing and disbursing revenues associated with mineral leases on federal and American Indian lands. Disbursements are made to states on a monthly basis, as bonuses, rents, royalties and other revenues are collected.

A state is entitled to a share of the mineral revenues collected from federal lands located within that state’s boundaries. For the majority of federal lands, states and the federal government share the revenues: 50 percent to the state, 40 percent to the Reclamation Fund for water projects, and 10 percent to the U.S. Treasury. One exception, Alaska, gets a 90-percent share, as prescribed by the Alaska Statehood Act.

Certain coastal states with federal offshore tracts adjacent to their seaward boundaries receive 27 percent of those mineral royalties as well. Remaining offshore revenues are deposited in special accounts of the U.S. Treasury, including the General Fund and the Land and Water Conservation Fund.

"The amount distributed during the first six months of 2000 suggests that we will exceed the $541 million total for all of 1999," stated Director Rosenbusch.