CIAP Background & Authorized Uses
The Coastal Impact Assistance Program authorizes the distribution of $250 million annually for federal fiscal years (FY) 2007 through 2010 to Outer Continental Shelf (OCS) oil and gas producing states to mitigate the impacts of OCS oil and gas activities. CIAP is administered by the United States Department of Interior, Bureau of Ocean Energy Management, Regulation and Enforcement (BOEMRE) and was established by Section 384 of the Energy Policy Act of 2005 (Act), which was signed into law on August 8, 2005.
CIAP funds are shared among six OCS producing states (Alabama, Alaska, California, Louisiana, Mississippi, and Texas) and their eligible coastal political subdivisions. Per the Act, 65% of a state’s allocation goes directly to the state and 35 % goes directly to the eligible coastal political subdivisions (CPSs) of the state. Alaska has eight eligible coastal political subdivisions.
Per the Act all CIAP funds must be used for one or more of the following authorized uses:
- Projects and activities for the conservation, protection, or restoration of coastal areas, including wetland.
- Mitigation of damage to fish, wildlife, or natural resources.
- Planning assistance and the administrative costs of complying with CIAP.
- Implementation of a federally-approved marine, coastal or comprehensive conservation management plan.
- Mitigation of the impact of OCS activities through funding of onshore infrastructure projects and public service needs.
The Department of Natural Resources/Division of Coastal and Ocean Management (DNR/DCOM) is the designated state agency that has the authority to represent and act for the state in dealing with MMS for CIAP purposes.
Allocation of CIAP Increased
Per the Act, MMS used qualified OCS revenues received in FY 2006 to determine annual funding allocations for FY 2007 and 2008, and used qualified OCS revenues received in FY 2008 to determine annual funding allocations for FY 2009 and 2010. Due to the 2008 Chukchi Lease Sale 193, Alaska’s share of CIAP increased significantly from about $2.5 million annually in FY 2007 and FY 2008 to about $37.4 million annually in FY 2009 and FY 2010.
The CIAP Plan
Before receiving CIAP funds, a state must first submit a plan to MMS describing how the state will manage their program, what projects the state will complete with the funds, and how the projects address an authorized use. MMS approved the Alaska CIAP Plan in September 2008. However, that plan was based on FY 2007 and FY 2008 allocations. DCOM provided MMS with a 2009 Amendment to the Alaska CIAP Plan in November 2009 based on the increased allocation. This amendment included 86 projects totaling $55,437,033.
DCOM will submit a second amendment in 2010. This 2010 Amendment to the Alaska CIAP plan will include an additional $24,356,719 in projects. Consistent with Alaska Senate Bill 75 (CSSB 75 (FIN)), signed into law May 21, 2009, the 2010 Amendment will include projects competitively solicited from the public and projects from 12 legislatively named municipalities and coastal resources service areas. The Department of Commerce, Community, and Economic Development (DCCED) is the lead agency responsible for the solicitation of these projects.