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U.S. Code as of:
01/19/04
Section 2712. Uses of Fund
(a) Uses generally
The Fund shall be available to the President for -
(1) the payment of removal costs, including the costs of
monitoring removal actions, determined by the President to be
consistent with the National Contingency Plan -
(A) by Federal authorities; or
(B) by a Governor or designated State official under
subsection (d) of this section;
(2) the payment of costs incurred by Federal, State, or Indian
tribe trustees in carrying out their functions under section 2706
of this title for assessing natural resource damages and for
developing and implementing plans for the restoration,
rehabilitation, replacement, or acquisition of the equivalent of
damaged resources determined by the President to be consistent
with the National Contingency Plan;
(3) the payment of removal costs determined by the President to
be consistent with the National Contingency Plan as a result of,
and damages resulting from, a discharge, or a substantial threat
of a discharge, of oil from a foreign offshore unit;
(4) the payment of claims in accordance with section 2713 of
this title for uncompensated removal costs determined by the
President to be consistent with the National Contingency Plan or
uncompensated damages;
(5) the payment of Federal administrative, operational, and
personnel costs and expenses reasonably necessary for and
incidental to the implementation, administration, and enforcement
of this Act (including, but not limited to, sections 1004(d)(2),
1006(e), 4107, 4110, 4111, 4112, 4117, 5006, 8103, and title VII)
and subsections (b), (c), (d), (j), and (l) of section 1321 of
this title with respect to prevention, removal, and enforcement
related to oil discharges, provided that -
(A) not more than $25,000,000 in each fiscal year shall be
available to the Secretary for operating expenses incurred by
the Coast Guard;
(B) not more than $30,000,000 each year through the end of
fiscal year 1992 shall be available to establish the National
Response System under section 1321(j) of this title, including
the purchase and prepositioning of oil spill removal equipment;
and
(C) not more than $27,250,000 in each fiscal year shall be
available to carry out subchapter IV of this chapter.
(b) Defense to liability for Fund
The Fund shall not be available to pay any claim for removal
costs or damages to a particular claimant, to the extent that the
incident, removal costs, or damages are caused by the gross
negligence or willful misconduct of that claimant.
(c) Obligation of Fund by Federal officials
The President may promulgate regulations designating one or more
Federal officials who may obligate money in accordance with
subsection (a) of this section.
(d) Access to Fund by State officials
(1) Immediate removal
In accordance with regulations promulgated under this section,
the President, upon the request of the Governor of a State or
pursuant to an agreement with a State under paragraph (2), may
obligate the Fund for payment in an amount not to exceed $250,000
for removal costs consistent with the National Contingency Plan
required for the immediate removal of a discharge, or the
mitigation or prevention of a substantial threat of a discharge,
of oil.
(2) Agreements
(A) In general
The President shall enter into an agreement with the Governor
of any interested State to establish procedures under which the
Governor or a designated State official may receive payments
from the Fund for removal costs pursuant to paragraph (1).
(B) Terms
Agreements under this paragraph -
(i) may include such terms and conditions as may be agreed
upon by the President and the Governor of a State;
(ii) shall provide for political subdivisions of the State
to receive payments for reasonable removal costs; and
(iii) may authorize advance payments from the Fund to
facilitate removal efforts.
(e) Regulations
The President shall -
(1) not later than 6 months after August 18, 1990, publish
proposed regulations detailing the manner in which the authority
to obligate the Fund and to enter into agreements under this
subsection shall be exercised; and
(2) not later than 3 months after the close of the comment
period for such proposed regulations, promulgate final
regulations for that purpose.
(f) Rights of subrogation
Payment of any claim or obligation by the Fund under this Act
shall be subject to the United States Government acquiring by
subrogation all rights of the claimant or State to recover from the
responsible party.
(g) Audits
The Comptroller General shall audit all payments, obligations,
reimbursements, and other uses of the Fund, to assure that the Fund
is being properly administered and that claims are being
appropriately and expeditiously considered. The Comptroller General
shall submit to the Congress an interim report one year after
August 18, 1990. The Comptroller General shall thereafter audit the
Fund as is appropriate. Each Federal agency shall cooperate with
the Comptroller General in carrying out this subsection.
(h) Period of limitations for claims
(1) Removal costs
No claim may be presented under this subchapter for recovery of
removal costs for an incident unless the claim is presented
within 6 years after the date of completion of all removal
actions for that incident.
(2) Damages
No claim may be presented under this section for recovery of
damages unless the claim is presented within 3 years after the
date on which the injury and its connection with the discharge in
question were reasonably discoverable with the exercise of due
care, or in the case of natural resource damages under section
2702(b)(2)(A) of this title, if later, the date of completion of
the natural resources damage assessment under section 2706(e) of
this title.
(3) Minors and incompetents
The time limitations contained in this subsection shall not
begin to run -
(A) against a minor until the earlier of the date when such
minor reaches 18 years of age or the date on which a legal
representative is duly appointed for the minor, or
(B) against an incompetent person until the earlier of the
date on which such incompetent's incompetency ends or the date
on which a legal representative is duly appointed for the
incompetent.
(i) Limitation on payment for same costs
In any case in which the President has paid an amount from the
Fund for any removal costs or damages specified under subsection
(a) of this section, no other claim may be paid from the Fund for
the same removal costs or damages.
(j) Obligation in accordance with plan
(1) In general
Except as provided in paragraph (2), amounts may be obligated
from the Fund for the restoration, rehabilitation, replacement,
or acquisition of natural resources only in accordance with a
plan adopted under section 2706(c) of this title.
(2) Exception
Paragraph (1) shall not apply in a situation requiring action
to avoid irreversible loss of natural resources or to prevent or
reduce any continuing danger to natural resources or similar need
for emergency action.
(k) Preference for private persons in area affected by discharge
(1) In general
In the expenditure of Federal funds for removal of oil,
including for distribution of supplies, construction, and other
reasonable and appropriate activities, under a contract or
agreement with a private person, preference shall be given, to
the extent feasible and practicable, to private persons residing
or doing business primarily in the area affected by the discharge
of oil.
(2) Limitation
This subsection shall not be considered to restrict the use of
Department of Defense resources.
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