CAES News
Vote YES on S. 3711 -- Why? Money for the Land and Water Conservation Fund Stateside Program
A mandatory, steady stream of revenue generated by new production leases will go to the Land and Water Conservation Fund (LWCF) Stateside program.
LWCF Stateside will receive up to $125 million per year, 12.5 % of the revenue from new areas of made available by S. 3711 beginning in FY 2007 (181 Area above the CBO baseline and 181 South Area); and
new leases in existing planning areas beginning in FY 2016 (Gulf of Mexico planning areas).
Under S. 3711, the LWCF state side program will continue to be eligible to receive funding in the appropriations process while it receives up to $125 million in new funding.
The mandatory funding does not replace appropriated funding, and does nothing to disadvantage the program in the appropriations process. Please remember that:
- In the last two fiscal years funding for Stateside has dropped from $91 million to $30 million.
- The budget request for Stateside for the past two years has been $0.
- The FY 2007 Interior Appropriations bill includes $30 million for Stateside, but the House bill zeroes
out the program for the second straight year.
How the Fund Works
The LWCF is a “trust fund” that accumulates revenues from federal outdoor recreation user fees, the federal motorboat fuel tax, and surplus property sales. To supplement these sources to reach the annual authorized level of $900 million, it accumulates revenues from oil and gas leases on the Outer Continental Shelf (OCS). During the past decade, the OCS revenues have accounted for more than 90% of the deposits each year (and almost 100% in most recent years).
The LWCF is not a true trust fund in the way “trust fund” is generally understood in the private sector. The fund is credited with revenues totaling $900 million annually, but Congress must appropriate funds; unappropriated funds remain in the U.S. Treasury and can be spent for other federal activities.
Interest is not accrued on the accumulated unauthorized balance that has been credited to the LWCF account. In addition, the LWCF is subject to earmarks and other directions from Congress during the annual appropriations process. From FY1965 through FY2005, $28.1 billion has been credited to the LWCF. However, only about half that amount — $14.3 billion — has been appropriated.
Land & Water Conservation Fund: Current Status and Issues, CRS Report for Congress, June 10, 2005
| By voting YES on S. 3711, the U.S. Senate can reverse a more than 25-year ‘Just Say No’ energy policy. We can safely access the abundant supplies of American energy on the Outer Continental Shelf (OCS). Some estimate that the OCS has enough oil to meet demand for 20 years and enough gas to heat our homes for 20 years. Congress holds the key to ending the current energy crisis in the U.S. VOTE YES ON S. 3711 – AMERICA IS COUNTING ON YOUR VOTE. |