MMS AWARDS CALIFORNIA FUNDS FOR STATE'S ASSISTANCE WITH
AUDITS(#30009)


FOR RELEASE:  March 1, 1993            CONTACT:   Tom DeRocco
                                               (202) 208-3983

               MINERALS MANAGEMENT SERVICE AWARDS CALIFORNIA
             FUNDS FOR STATE'S ASSISTANCE WITH AUDITS(#30009)

     The Department of the Interior's Minerals Management Service
(MMS) today announced that it is awarding the State of California
an added $487,500 to continue funding state audits of Federal
mineral leases on Federal lands within its boundaries.  The
funding brings the total earmarked for the program in California
this year to $750,000.

     The award provides funds for a work plan agreed to under
Section 205 of the Federal Oil and Gas Royalty Management Act
(FOGRMA) of 1982.  Under the agreement, state officials perform
audits and related reviews on Federal onshore oil, gas, coal and
other solid mineral or geothermal steam leases located in
California.

     The Cooperative and Delegated Audit program enables
participating states to audit revenues from leases within the
state.  MMS reimburses states for the costs of audits, such as
salaries and travel expenses.  Other participating states include
Colorado, Louisiana, Montana, North Dakota, Oklahoma, Texas, Utah
and Wyoming.

     Four Indian tribes--the Navajo Nation, the Ute, the Southern
Ute and the Ute Mountain Ute--are similarly reimbursed for audit
work on their respective tribal lands under Section 202 of
FOGRMA.

     "Last year, more than $3 million was awarded to states for
their help in auditing leases," Acting MMS Director Carolita
Kallaur said.  "Working together in this cooperative audit
program, we can ensure that states continue to receive money to
which they're entitled."

     MMS is responsible for collecting, accounting for, auditing
and disbursing revenues associated with mineral leases on federal
and Indian lands.  The agency handles nearly $4 billion in
revenues each year.

                                   -MMS-