1. Presented By: Gareth Leonard (DEP) Presented To: Florida Oceans and Coastal Council Date: October 30, 2012 DRAFT

2. The RESTORE Act is part of the Surface Transportation Bill, H.R. 4348, which was signed by the President on July 6, 2012. The RESTORE Act allocates 80% of the Clean Water Act administrative and civil penalties from the Deepwater Horizon oil spill to the Gulf Coast Restoration Trust Fund (Trust Fund). These penalties will be paid by the responsible party(ies) pursuant to a court order, negotiated settlement or other instrument. DRAFT

3. The Clean Water Act allows the Federal Government to penalize the party(ies) responsible for discharging oil into or upon the navigable waters of the United States and adjoining shoreline. Baseline civil penalty is $1,100 per barrel of oil discharged. If gross negligence or willful misconduct is found, the civil penalty can be increased up to $4,300 per barrel of oil discharged. DRAFT

4. 80% of all administrative and civil penalties related to the Deepwater Horizon Oil spill that go into the Trust Fund will then be disbursed based on the following allocation: 35% of the money will go the State Allocation and Expenditure. 30% of the money will go to Council Establishment and Allocation. 30% of the money will go to Oil Spill Restoration Impact Allocation. 2.5% of the money will go to the Gulf Coast Ecosystem Restoration Science, Observation, Monitoring and Technology Program. 2.5% of the money will go to the Centers of Excellence Research Grants. DRAFT

5.  Within 180 days of the enactment of the RESTORE act (July 6, 2012) and after providing notice and an opportunity for public comment, the Department of the Treasury shall establish procedures as are determined necessary to deposit in and expend amounts from the Trust Fund, which shall include: ◦ Procedures to assess whether the programs and activities carried out achieve compliance with applicable requirements ◦ Auditing requirements ◦ Procedures for identification and allocation of funds that may be necessary to pay for the administrative expenses directly attributable to the management of the Trust Fund DRAFT

6. 35% of the money in the Trust Fund will be available to the five Gulf Coast states in equal shares for expenditures on ecological and economic restoration of the Gulf Coast ecosystem. Florida’s 7% share of the 35% of funds split between the Gulf Coast States will be distributed with: 75% going to the eight disproportionately affected counties (Escambia – Wakulla). The remaining 25% going to the non-disproportionately impacted Gulf coast counties. The counties will have full responsibility for their portion of funds received. DRAFT

7. The Gulf Coast Ecosystem Restoration Council (Council) will be allocated 30% of the money in the Trust Fund to develop and implement the Comprehensive Plan. The Council is comprised off the following members: Federal Members (6): Department of the Interior, Department of Commerce, Department of Agriculture, Environmental Protection Agency, Army and the Coast Guard State Members (5): Alabama, Florida, Louisiana, Mississippi, Texas Comprehensive Plan Within 180 days of enactment of the Restore Act, a proposed plan shall be published. Within 1 year of enactment of the Restore Act, an initial Comprehensive plan shall be published. DRAFT

8. 30% of the money in the Trust Fund shall be held in trust by the Council and disbursed to the five Gulf Coast states. After the Council has received and approved a Gulf Coast State’s plan for the expenditure of amounts allocated to the State under this section, the Council shall disburse the amounts to that respective Gulf Coast State in accordance with the formula in the act. Development of the Expenditure Plan: For the State of Florida, a consortia of local political subdivisions that includes at a minimum 1 representative of each affected county. DRAFT

9. 2.5% of the money in the Trust Fund shall be made available to the Gulf Coast Ecosystem Restoration Science, Observation, Monitoring and Technology (Program) to carry out research, observation and monitoring to support, to the maximum extent practicable, the long-term sustainability of the ecosystem, fish stocks, fish habitat and the recreational, commercial and charter fishing industry in the Gulf of Mexico. The Program will be established by NOAA, in consultation with USFWS. DRAFT

10. 2.5% of the money in the Trust Fund shall be allocated to the Center of Excellence Research Grants, with the money being split equally among the Gulf Coast States. In Florida, a consortium of public and private research institutions within the State, which shall include the Florida Department of Environmental Protection and the Florida Fish and Wildlife Conservation Commission (the Florida Institute of Oceanography) shall be the entity receiving the money. The Florida Institute of Oceanography shall use the amounts made available under this section to award competitive grants to nongovernmental entities and consortia in the Gulf Coast region (including public and private institutions of higher education) for the establishment of centers of excellence. DRAFT

11. The total amount made available for any fiscal year from the Trust Fund that is equal to the interest earned by the Trust Fund and proceeds from investments made by the Trust in the preceding year shall be distributed by: 50% divided equally between: Gulf Coast Ecosystem Restoration Science, Observation, Monitoring and Technology Program Centers of Excellence Research Grants 50% made available to the Council to carry out the comprehensive Plan. DRAFT