EPA 6-Month Update ARRA Letter

UNITED STATES ENVIRONMENTAL PROTECTION AGENCY
WASHINGTON, D.C. 20460

SEP - 2 2009

THE ADMINISTRATOR

The Honorable Brad Henry
Governor of Oklahoma
Office of the Governor
State Capitol Building, suite 212
Oklahoma City, Oklahoma 73105

Dear Governor Henry:

We have reached the six month mark for the implementation of President Obama's American Recovery and Reinvention Act (ARRA). This has been an exciting and challenging time for all of us and has pushed us to explore quicker and more efficient ways of doing our work. We have also looked to you, our state partners, to better understand your needs in terms of ARRA implementation. In response, we have developed guidance and training materials, and conducted numerous web based ARRA sessions for those receiving funds.

The first phase of our ARRA work is almost complete - EPA has obligated over 90% of our ARRA dollars. The second phase for EPA is to ensure that our state and other partners can take those obligated funds and turn them into funded projects. The heart of the Recovery Act is to jumpstart our economy by creating or saving jobs, sustaining our communities, enhancing environmental quality, and building or rebuilding the critical infrastructure of this great nation. I do not see a bright line that separates where EPA's work ends and where the work in Oklahoma begins. We are in this together, and our success will be a shared state-federal investment in American growth. Enclosed is a chart as of August 31, 2009 that specifically identifies the EPA
ARRA program funds obligated to Oklahoma and the current spending or outlays against those awards. We know these funds are vital to your state's economy and to improving basic infrastructure for your residents.

As you know, ARRA requires Clean Water and Safe Drinking Water State Revolving Funds be under contract or construction within 12 months of enactment. This means that if a State has not fulfilled this requirement by February 17, 2010, EPA must reallocate these appropriated funds, and the State loses that funding. EPA is committed to assisting States in meeting this and other deadlines. EPA has also provided funding for the Superfund, Leaking Underground Storage Tanks, Brownfields and Diesel Emissions Reduction (DERA) programs. These funds, like those provided to the water programs, have deadlines which must be met for outlays as well.

EPA would like to help facilitate the expenditure of ARRA funds. There are new reporting and tracking requirements associated with ARRA, and we are happy (0 provide assistance in understanding and meeting those requirements. We also recognize that a number of provisions, such as the Davis-Bacon Wage Act requirements and the Buy American requirements, could potentially slow expenditure of funds. We stand ready to help in any way we can.

Since the inception of ARRA, EPA has established a senior level Steering Committee that has worked to identify and address any issue or obstacle that could have been an impediment to our implementation of ARRA. This Committee includes senior Headquarters and Regional officials the Inspector General and representatives from the Office of Management and Budget. I have asked that Committee to also serve as an advisory group on state issues related to ARRA. I encourage you to contact me or have your staff contact Mr. Craig Hooks, Assistant Administrator for Administration and Resources Management and the Agency Senior Responsible Official for ARRA activities, if there are any issues we can help resolve. Mr. Hooks can be reached at (202)564-4600 or by email at hooks.craig@epa.gov.

Sincerely,
Original is signed
Lisa R. Jackson

Enclosure