In the News
Louisiana gets $94.7 million in offshore money for restoration, flood protectionLouisiana gets $94.7 million in offshore money for restoration, flood protection
Washington, DC,
April 26, 2019
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By Mark Schleifstein, NOLA.com | The Times-Picayune
Louisiana will get $94.7 million in fiscal year 2018 Gulf of Mexico offshore oil revenue, almost $12 million more than the previous year, the U.S. Department of the Interior announced Thursday (April 25). The state Coastal Protection and Restoration Authority will get $75.8 million of the money, which can be used for flood protection and coastal restoration projects. The state's 19 coastal parishes will distribute $18.9 million. The 2018 take – equivalent to 37.5 percent of federal revenue from oil and gas production in the Gulf – is still far short of the maximum $176 million per year that the state and local parishes could receive under the revenue-sharing formula in the federal Gulf of Mexico Energy Security Act. But it will provide a shot in the arm for both state and parish restoration and flood projects awaiting funding. This is the second year Louisiana will get that larger percentage of GOMESA revenue, which comes from newer oil and gas production in the Gulf. The state's share is expected to increase in future years as new oil and gas wells are discovered and developed. Louisiana receives by far the greatest share of the nearly $215 million in Gulf revenue shared with states. Alabama will receive $30.6 million, Mississippi's share is $31.7 million, and Texas will get $57.9 million. "Under President Trump's leadership, Interior continues to deliver on the promise of advancing American energy security and economic prosperity," said Interior Secretary David Bernhardt in a news release. "These disbursements shared directly with the Gulf producing states and local communities are a direct result of the responsible development of our energy resources." Louisiana Governor John Bel Edwards, in a statement, said: "This funding is critical to our efforts to restore and protect our coast and will allow the Coastal Protection and Restoration Authority to construct hurricane protection and coastal restoration projects that will better protect our communities, help restore our coast, and make our state more resilient." The distribution was praised by the state's congressional delegation. "Revenues from oil and gas activity in the Gulf of Mexico are vital to restoring our coast and protecting coastal communities, which is why I've fought to protect this revenue sharing from attempts to raid it," said House Minority Whip Steve Scalise, R-Jefferson, in a news release. "GOMESA revenue is essential to restore and protect Louisiana's coasts," said Sen. Bill Cassidy in a news release. "I thank the Trump administration for their support of this funding and will continue to work with them, and the entire Louisiana delegation, to preserve this important program." "Energy producing states along the Gulf Coast have waited a long time to start getting a fair share of offshore energy revenues, especially in Louisiana – where the Gulf has eroded over 2,000 square miles of our coast," said U.S. Rep. Garret Graves, R-Baton Rouge. "Every single penny of this funding will be invested in urgent coastal restoration and hurricane protection efforts to protect Louisiana lives, communities, culture and a nationally-important economic engine responsible for 80 to 90 percent of all offshore energy production in federal waters in the United States." In January, Edwards announced that the state would use GOMESA money from fiscal years 2017 and 2018 – and money from future years – for a variety of projects that will be included in the state's budgets for fiscal years 2020 to 2022, including:
Coastal parishes also have a variety of projects that will use a share of the offshore money. "These funds are encouraging to the partnership between the South Lafourche Levee District and Lafourche Parish Government which is focused on improving Louisiana Highway 1, the gateway to the Gulf of Mexico, to expand international energy supply," said Lafourche Parish President James Cantrelle. "Additionally, coastal projects with the North Lafourche Levee District such as the Grand Bayou Freshwater Reintroduction and the Lake Fields and Lake Long Restoration would not be possible without the support of GOMESA." "These revenue dollars are important to making the long term investments we'll need to restore our coast, keep our communities safe, and protect our unique culture and way of life," said Plaquemines Parish President Kirk Lepine. St. Bernard Parish President Guy McInnis said the funds will allow the parish to develop economic and environmental sustainability. As a life-long resident of this parish, it is gratifying to finally see energy resources playing a direct role in the conservation of the surrounding areas they extract from," McInnis said. The parish shares of the money include:
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