U.S. Department of the Interior
Minerals Management Service
Office of Communications

37 States Receive $251 Million in First Half of 1996 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 $251 million to 37 states during the first half of 1996. The money represents the states' cumulative share of revenues collected for mineral production on federal lands located within their borders and from federal offshore natural gas and oil tracts adjacent to their shores.

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, the Land and Water Conservation Fund and the Historic Preservation Fund.

"The amount collected during the first six months of 1996 suggests that we will exceed the $473 million total collected for all of 1995," said MMS Director Cynthia Quarterman.

-MMS-

MMS Internet website address: http://www.mms.gov
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