America's Gulf Coast

America’sAmerica’s GulfGulf CoastCoast A Long Term Recovery Plan after the Deepwater Horizon Oil Spill www.RestoreTheGulf.gov September 2010 Photos by U.S. Coast Guard and U.S. Navy "We need to understand that the environment and our lifestyle and our communities and the businesses that flourish down here must work together." (Town Hall Participant, Houma, Louisiana) The Deepwater Horizon oil spill was one of the worst man-made environmental disasters our country has ever experienced. The oil spill has dramatically affected the lives, jobs, and futures of millions of Gulf Coast residents. The Gulf of Mexico is a natural resource of vital importance which provides immeasurable benefits and services to citizens throughout the United States. The Gulf is also critical to nationwide commerce. Over time, the countless demands made on the region have critically impacted the entire Gulf environment. The most recent, and most damaging, of the impacts to the Gulf is Deepwater Horizon. Today, the well is dead, oil no longer flows into the Gulf, and the attention of the media and the public is beginning to shift elsewhere. But as the President said on June 15, 2010, we will not forget what occurred, and we will not forget the promise made to the people of the Gulf Coast to help them restore their ecosystems and economy to health. The effects of the oil spill may reverberate in the region and across the country for years to come. What happens in the Gulf of Mexico affects America. Nearly one third of the seafood harvested in the continental United States, as well as 30 percent of oil production and 13 percent of our natural gas production, come from the Gulf. The Gulf is an environmental treasure and central to the nation's economy. America needs the Gulf. America needs the Gulf to be clean. America needs the Gulf to be healthy. America needs the Gulf to be sustainable. For the past several months, at the President's direction, I have examined the question of what comes next. What can our country do to make good on our commitment to the region? This report is the result of that examination. It is the result of many trips to the Gulf Coast and meetings and conversations with fishermen; health officials; environmental workers; nonprofits and local leaders; scientists; members of the business community; elected officials; and thousands of Gulf Coast residents who expressed their opinions in meetings and town halls across all five states that touch the Gulf. Throughout, I heard several common themes expressed over and over again: the plans put in place to restore the Gulf must come from the people of the Gulf; they must be based on science and good research; and the responsible parties must pay for the effects of the oil spill. Additionally, people of the Gulf Coast believe the impacts of years of economic and environmental damage resulting from coastal erosion and environmental neglect should be addressed by those who have benefitted from the Gulfs resources. In a town hall in Ocean Springs, Mississippi, I heard the best expression of the plan that is needed: "Recovery and sustainability for the Gulf depends on three critical resources: our people; our environment; and our commerce. We need a recovery plan that brings these aspects back into balance." ~4 &. - I .." • • • I ~ --. '4,.; .. ~ . - - - --~ --.......~ =- - ___ -...5... - -_~-__ .-:-t __ ... .. -- •• ~ . ~ This report will focus on these three central requirements for recovery in the Gulf Coast: the environment; the economy; and health and human services. These three areas are inextricably linked - what happens to the ecosystem of the Gulf affects its economy and the welfare of all Gulf Coast residents. As the Gulf ecosystem is rebuilt, economic activity will rise, jobs will be created, and the region's health will improve. The report will also discuss the role of nongovernmental organizations and community service in addressing each of the three issue areas. During the town hall meetings, I heard one other theme: The need for dedicated recovery funding. As a gentleman told me in Theodore, Alabama: "I've seen so many starts, but then, because there wasn't a dedicated funding source, nothing happened. " A key recommendation of this report will be to call on Congress to dedicate a significant amount of any civil penalties obtained from parties responsible for the oil spill under the Clean Water Act to the recovery of the region that was damaged, and to those impacted by its effects. The report will outline a recommendation for establishment of a congressionally mandated governance structure to oversee and implement these and other sources of funding Congress may appropriate with the goal of a coordinated federal, state, and local long-term recovery strategy. It is clear that as we move forward, there must be a seamless transition from response to recovery. In the five months since the Deepwater Horizon tragedy, many effective mechanisms have been put in place to respond to the environmental, economic, and health impacts of the spill. What has already been done cannot be lost, but rather must be built upon and expanded. To accomplish this, the report recommends leadership in overseeing the transition as well as the immediate establishment of a new Gulf Coast Ecosystem Restoration Task Force. This intergovernmental structure will be lean, flexible, adaptive, and able to rapidly incorporate the ideas of the communities it is designed to serve. The task ahead is difficult and the actions recommended in this report will not resolve every problem faced but they can serve as building blocks for a better future in the Gulf. Our country has repeatedly faced big challenges, but it is exactly then that we display what is best about America. We never give up. We never give in. Instead, we band together to work toward a better future. Together, we will help make the Gulf of Mexico and the entire Gulf Coast whole again - for its citizens, and for all America. a s cretary of the Navy America’s Gulf Coast I. Introduction “This is a national issue to try to restore the Gulf. It’s not just the Gulf States that are at stake here.” (Town Hall Participant, Galveston, Texas) America’s Gulf Coast is a national treasure. Its natural resources are an important economic engine for the entire United States; its waters sustain a diverse and vibrant ecosystem; and the Gulf’s culture, natural beauty, and historic significance to the birth and growth of America are unique and priceless. Each year, millions of tourists visit the Gulf to vacation, swim, boat, fish, hunt, and birdwatch. Together, the Gulf’s tourism and commercial and recreational fishing industries contribute tens of billions of dollars to the U.S. economy.1 More than 90 percent of the nation’s offshore crude oil and natural gas is produced in the Gulf,2 and the federal treasury receives roughly $4.5 billion dollars every year from offshore leases and royalties.3 And it is in the Gulf of Mexico that nearly one third of seafood production in the continental U.S. is harvested.4 America needs a healthy and resilient Gulf Coast, one that can support the diverse economies, communities, and cultures of the region. In the wake of the Deepwater Horizon disaster, what has become clear is that the economy of the Gulf Coast and the health of its citizens are inextricably linked to the health of the Gulf’s waters and shoreline. A significant portion of the jobs in the region are connected to companies and small businesses involved in tourism; commercial and recreational fishing; and related services. Because of the spill, these industries have lost income as confidence in the safety of the Gulf’s beaches and seafood has fallen. Many tourists have chosen to vacation elsewhere and the Gulf’s beautiful coastline has been marred in the public eye by the constant television presence of orange oil booms and tar balls on the beaches. The spill has exacerbated the effects of a multitude of storms and years of environmental decline. Building on these earlier problems, the oil spill created economic uncertainty for hundreds of thousands of Americans, and its social consequences and behavioral health effects have stretched the capacity of nonprofit organizations and local governments. Moreover, local, state, and tribal governments face the prospect of diminished resources to deal with these issues due to lower tax revenues from lost economic activity and diminished property values. The Gulf Coast recovery process must address a range of effects of the oil spill. This report identifies these effects and provides recommendations for comprehensive Gulf Coast recovery. The report is not structured to distinguish between needs that may be addressed through legal claims brought by individuals, businesses, and governmental entities against the parties responsible for the spill and those that will need to be addressed through a combination of existing federal, state, and local programs and proposals for new congressional action. 1 | America’s Gulf Coast For example, the Oil Pollution Act of 1990 (OPA) provides for recovery by designated state and federal trustee agencies of natural resource damages to address injuries to natural resources resulting from oil spills. These funds must be spent in accordance with OPA’s directives. Therefore, damages recovered under this provision for injuries caused by the Deepwater Horizon spill may address many, but not all, of the natural resource needs identified in this report. Other existing funding sources may be available to aid in this effort, in accordance with governing statutes. 5 Integral to the recovery also must be the empowerment of the residents of the Gulf Coast.

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