We inspected whether the Bureau of Land Management’s (BLM’s) implementation of its 2012 Idle Well Review and Data Entry policy reduced its number of idle wells in accordance with policy. Specifically, we assessed whether BLM: (1). maintained an accurate inventory of idle wells; (2) developed a clear strategy for reviewing idle wells; (3) ensured required idle well reviews, approvals, and tests were performed; and (4) maintained reliable idle well data.
Based on data received from BLM, we determined the Bureau did not reduce the number of idle wells from 2013 through August 2016. The number of reported idle wells in BLM’s inventory at the end of FY2013 was 4,546 and, as of August 2016, it was 4,618. These numbers, however, are hardly reliable because of BLM’s deficient implementation of IM 2012-181.
We found various program management issues that have contributed to BLM’s inability to reduce the number of its idle wells. Specifically, BLM has not applied the correct definition of an idle well, which makes it unable to maintain an accurate inventory of its idle wells. BLM also does not have a clear strategy for conducting idle well reviews, and has an ineffective process for monitoring the required well reviews and approvals. Further, BLM has not established all the guidance needed to manage its idle wells. Finally, BLM monitors its idle wells using a database that is unreliable due to inaccurate well status and absence of necessary data fields.
We made 11 recommendations to help BLM better determine, manage, and reduce its idle well inventory, thus reducing the potential liability.