Oil industry funds additional staff at local BLM office
The Bureau of Land Management’s North Dakota field office is inundated with permit applications for drilling on federal lands.
One of the more simple solutions has been to have the oil industry — who both created the backlog, and would benefit most from winnowing it down — pay for more staff.
Through a memorandum of agreement, certain oil companies operating in the Bakken that want faster Application for Permit to Drill processing give money to North Dakota Petroleum Council, which then funds positions recommended by the BLM.
The partnership has been growing, from funding one position in 2012 to five this year.
To prevent any favoritism — like handling applications faster for a company that donated than for a company that didn’t — the field office never knows which companies gave the funds, and the memorandum is vetted by lawyers locally and federally.
The funding covers salaries and benefits for five employees involved in applications processing, like legal instruments examiners and archeologists. The BLM and the NDPC wouldn’t disclose the actual amount.
NDPC Vice President Kari Cutting would only say the employees paid based on BLM’s regular salary scale — and, she said, “they sure are worth more than they are paid.”
“Because of the activity that’s going on in western North Dakota and eastern Montana,” Cutting said, “and the fact that the Bureau of Land Management was not going to be able to get additional federal funding to help manage their workload, it seemed like an opportunity for everybody to work together and find solutions.”
According to the 2013 memorandum, the funding is to be spent on staffing for APD processing and related environmental analyses, and other oil-related tasks like sundry notices and well completion reports.
“They’re basically providing us a means to fill some of these positions so we can do the work coming in the door,” said Rick Rymerson, field manager at the Dickinson-based North Dakota field office.
The office struggles to keep up with the hundreds of permit applications it gets each year, and loses staff to industry or burnout.
As of Jan. 13, the North Dakota field office had about 450 applications pending, though that number includes permits awaiting action from other agencies, like the U.S. Forest Service or the Bureau of Indian Affairs.
On top of existing hiring obstacles, like the cost of living, the positions being just for a year at a time makes them hard to fill, said North Dakota assistant field manager Loren Wickstrom.
“You’re asking someone to come from out-of-state and move their family,” he said, and they may only be here a year.
Affected by staffing issues as a ripple effect of the Bakken boom and by budgeting restrictions, the Wyoming BLM district also gets help from that state’s oil industry, through the Petroleum Association of Wyoming.
There, the money goes to overtime and travel for temporary staff that come from other offices.
“It’s not like they’re paying for a particular person or a particular job series,” BLM spokeswoman Beverly Gorny said. “It’s merely the catch-up work.”
Watching out for favoritism
BLM and oil industry officials are quick to point out the agreements have protections against favoritism.
“Those employees that get hired are Bureau of Land Management employees, they’re not industry employees,” Eastern Montana/Dakotas district manager Diane Friez said.
“They get their assignment and direction from a BLM supervisor,” Friez said.
Cutting calls it an “arms-length” agreement.
The agreement does not provide “priority of service,” the memorandum states. “The NDPC understands and agrees that the BLM is responsible for all workload assignments, prioritization and resource decisions.”
The Wyoming office, which has been partnering with PAW or two years, also makes sure the money from a particular company doesn’t go toward just processing that company’s applications.
“We just deposit it,” Gorny said, “and it just becomes part of our regular day-to-day operations.”