Free-market groups call on Gulf Coast governors to use RESTORE Act wisely
WASHINGTON (Jan. 30, 2014) — Governors of the five Gulf Coast states – all Republicans – have a unique opportunity to ensure the windfalls those states are set to receive under the federal RESTORE Act are not used to grow the size of government, the R Street Institute and a coalition of eight other free-market groups wrote today.
Under terms of the Resources and Ecosystems Sustainability, Tourism Opportunities and Revived Economy Act, passed in 2012, 80 percent of all administrative and civil penalties paid pursuant to the Deepwater Horizon oil spill are dedicated to a trust fund for the purpose of environmental and economic rebuilding, with approximately 65 percent of those funds flowing to state and local governments in Texas, Louisiana, Mississippi, Alabama and Florida.
In the letter to Govs. Rick Perry, Bobby Jindal, Phil Bryant, Robert Bentley and Rick Scott, the groups note the legislation upholds federalism by devolving decision-making authority away from Washington. However, they said it is crucial that, RESTORE Act funds are subject to rigorous transparency requirements, directed toward projects that create broad value for taxpayers and do not create any ongoing liabilities by creating permanent programs that will place unknown burdens on future taxpayers.
“Fortunately, we’re largely seeing the Gulf Coast states take seriously their responsibility to implement the RESTORE Act in a way that maximizes environmental and economic benefits and provides real value for taxpayers,” said R Street State Projects Director Daniel M. Rothschild, co-author of a joint R Street-Pelican Institute paper on RESTORE Act implementation. “In particular, Louisiana has developed a process for RESTORE funding that can be a model for other states.”
Other signatories to the letter include Americans for Tax Reform, National Taxpayers Union, Taxpayers Protection Alliance, Campaign for Liberty, Americans for Prosperity, Council for Citizens Against Government Waste and Taxpayers for Common Sense.
Read the full text of the letter here:
http://www.rstreet.org/outreach/letter-to-gulf-coast-governors-on-restore-act/
