I believe, that all of the proceeds from production--from the gulf, from the Chukchi, from Bering, from Beaufort--all of those go to the Treasury of the United States.

Thank you, and I want to thank Deputy Secretary Hayes for his great work in this effort.

Thank you very much, Senator Johnson.

I want to welcome our witnesses to the subcommittee's oversight hearing on Federal offshore and onshore energy development programs within the Department of the Interior.

The President has been clear that the Congress needs to avoid a sequester by passing a balanced deficit reduction.

Well, you know, that was my presumption too. So I think if you could clarify that, that would be helpful to us.

This subcommittee can show that the Congress can still do some things well.

We increased inspection fees $62 million.

I've received letters from the directors of nine State environmental agencies, and I think Senator Murkowski and others have received the letters.

Even with such an increase, my presumption from what I have seen, would only cover a fraction of the BLM's cost to maintain this facility.

So there is a direct correlation between the increased fees and we hope the effectiveness of the inspections and the oversights, which after the Macondo spill, clearly, we need a more effective system.

Thank you and Ms. Bennett for your work with the coastal watersheds of Region 1, in particular, in Narragansett Bay.

What are the Environmental Protection Agency's (EPA) plans regarding the two proposed funding changes to the State and Local Air Quality Grants?

Very important and timely questions. In fact, let me just follow up.

Making sure that the right resources and policies are in place and that safe and responsible energy development on public lands is a significant part of this subcommittee's jurisdiction.

I am concerned that EPA proposed eliminating the Beach Grant Program in your fiscal year 2013 budget request.

And, frankly, they also, deserve the opportunity of, evaluating, and commenting on the procedures to insure that they are fair to all potential parties.

I thank you again for your continued support of the Department's mission.

I want to thank you both, Administrator Jackson and Ms. Bennett, for your personal attention to this issue.

My concern is that in Rhode Island we are really falling behind in the timing of the environmental assessment.

I would urge you again to expedite--Secretary Salazar has committed to expedite this draft environmental assessment.

One of the ways that you try to minimize the risk is hazardous fuels reduction.

The LWCF should be fully funded at $900 million annually--the congressionally authorized level.

Even though our budget was based upon an assumption that an increase of royalties would go to 18.75 percent for both oil and natural gas, let me just reassure the members of this subcommittee that that decision has not been reached.

I want to thank the witnesses for their excellent testimony and for your skillful leadership of your agencies.