Expenditure of fund money.

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(a) The director may only expend money from the fund for post-spill activities when a discharge of oil has occurred, or the threat of a discharge has led the state to take appropriate response, or for pre-spill activities and research, development, and monitoring activities if the following determinations have been made:

(1) A responsible party does not exist or the responsible party is unable or unwilling to provide adequate and timely cleanup or to pay for the damages resulting from the spill. The director shall make a reasonable effort to have the responsible party remove the oil or agree to pay for any actions resulting from the spill that may be required by law.

(2) Federal oil spill funds are not available or will not be available in an adequate period of time. Notwithstanding this paragraph, the director may expend money from the fund for authorized expenditures when a reimbursement procedure is in place to receive reimbursements from federal oil spill funds.

(b) Disbursements may be made from the fund for the following purposes:

(1) Administrative expenses, personnel expenses and equipment costs of the department related to the enforcement of this chapter;

(2) All costs, including without limitation personnel undertaking oil spill response activities and equipment expenses, involved in the removal of oil, the abatement of pollution and the implementation of remedial measures including restoration of water supplies, related to the release of oil, petroleum products, and their by-products;

(3) Payment of all damage claims awarded in accordance with this section;

(4) Payment of costs of arbitration and arbitrators in accordance with this section;

(5) Payment of costs of insurance by the state to extend or implement the benefits of the fund; and

(6) Payment of costs for the collection of overdue reimbursements.

History of Section.
P.L. 1996, ch. 289, § 4; P.L. 2002, ch. 62, § 2; P.L. 2006, ch. 555, § 1; P.L. 2007, ch. 340, § 43.


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