Section 585.107 - [Effective 7/15/2024] Who can acquire or hold a lease or grant under this part?(a) You may acquire or hold a lease or grant under this part if you can demonstrate that you have the technical and financial capabilities to conduct the activities authorized by the lease or grant and you are a(n): (1) Citizen or national of the United States;(2) Alien lawfully admitted for permanent residence in the United States as defined in 8 U.S.C. 1101(a)(20) ;(3) Private, public, or municipal corporations organized under the laws of any State of the United States, the District of Columbia, or any territory or insular possession subject to U.S. jurisdiction;(4) Association of such citizens, nationals, resident aliens, or corporations;(5) Executive agency of the United States as defined in 5 U.S.C. 105 ;(6) State of the United States; or(7) Political subdivision of a State of the United States.(b) You may not acquire or hold a lease or grant under this part or acquire an interest in a lease or grant under this part if:(1) You or your principals are excluded or disqualified from participating in transactions covered by the Federal nonprocurement debarment and suspension system ( 2 CFR part 1400 ), unless BOEM explicitly has approved an exception for this transaction;(2) BOEM determines or has previously determined after notice and opportunity for a hearing that you or your principals have failed to meet or exercise due diligence under any OCS lease or grant; or(3) After written notice and your opportunity to be heard, BOEM determines that:(i) You no longer meet the qualification requirements for acquiring or holding a lease or grant in paragraph (a) of this section.(ii) You have: (A) Violated an applicable law, regulation, order, lease or grant provision, approved plan, or the prohibitions prescribed in a final sale notice; or otherwise engaged in illegal activity, anti-competitive or collusive behavior, fraud, or misrepresentation; and(B) Failed to take timely remedial action as specified in the written notice provided by BOEM of the basis for the disqualification.(c) As long as a party is excluded or disqualified from acquiring or holding a lease or grant under this part, it is also ineligible to participate in BOEM's competitive and noncompetitive lease or grant issuance processes, including auctions, conducted under this part, even as an agent for another entity. A party can restore its eligibility by completing the remedial action specified in the notice of the proposed disqualification.(d) You may share ownership interests in a lease with one or more other persons, provided that all interest holders in the lease are eligible to hold a lease pursuant to this section and § 585.108 .88 FR 6430, 1/31/2023; 89 FR 42721, 7/15/2024