Bureau or Account: Department-Wide Programs

Funding amount: $30,000,000

Period of Availability: Through September 30, 2030, for individual grant programs, though overall appropriation is available until expended.

Funding Mechanism: Direct Federal Spending, Grants to States and Tribes, technical assistance Funding to Interstate Oil and Gas Compact Commission

New Program: Yes

Recipients: Federal, State, Tribal

Description: 

Funding to administer a program for plugging wells on Federal land, and for issuing grants to States and Tribes on State, private, and Tribal land. Grants to States are available through three separate programs:
➢ Initial Grants: Either $5 million or $25 million to each qualifying State that
applies before May 14, 2022. Funding unobligated after 1 year must be returned.
➢ Formula Grants: $2 billion in total funding available to States that submitted a Notice of Intent to the Department of the Interior by December 30, 2021. The amount each State is eligible for under this program is determined by formula. Funding unobligated after 5 years must be returned.
➢ Performance Grants: $1.5 billion in discretionary grants to States that increase their own spending on well plugging, remediation, and reclamation, or improve the regulation of oil and gas wells within the State. 

Eligible Uses: 

Inventory, site characterization, down-hole well plugging, surface remediation, removal of surface equipment, restoration of native species habitat impacted by orphaned wells and associated infrastructure, measurement and tracking of air and water pollution due to orphaned wells, identification and remediation of disproportionate health and environmental impacts of orphaned wells on communities of color, low-income communities, and Tribal and indigenous communities. 

Next Milestone:  Estimated date for publication of state application guidance, March 2022.