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Land Entity White Paper November 30, 1999 <br />Regulations (CFR) does not set up an agreement process leading to funding of some joint entity. <br />It merely calls for using existing authorities cooperatively. <br />The ESA also calls for cooperation with the states, 16 U.S.C. Sec. 1535(a). The ESA <br />specifically authorizes the Secretary to enter into agreements with any state "for the <br />administration and management of any area established for the conservation of endangered and <br />threatened species." Sec. 1535(b). The ESA provides for "cooperative agreements" with the <br />states to establish and maintain and active program for the conservation of endangered species. <br />Sec. 1535(c). This provision does not appear to be related to ventures like the proposed <br />Program; it concerns federal assistance to a broad state endangered species program, which must <br />annually be certified adequate to address all resident listed species of fish or wildlife. <br />C. Constraints on Transferring Funds to a Program Land Entity and on the <br />Entity's Use of Funds <br />Federal funds can be transferred to a Land Entity either in the form of "assistance and <br />cooperation" under a cooperative agreement, or of a grant to another government or to a non- <br />profit corporation. Each of the four participating governments retains authority over its own <br />funds by virtue of its veto power in the Governance Committee, the decision - making body for <br />the proposed Program. Given that authority, and the four governments' ultimate authority to <br />withdraw from the Program, no government can ever be forced, or even asked, to provide funds <br />for an activity that it did not approve. As the Governance Committee, or any subcommittee or <br />entity assigned responsibilities by the Governance Committee, undertakes tasks that need <br />funding, those funds will need to be released (or to have already been transferred) under one or <br />more of four separate arrangements with the individual governments. When a Program Land <br />Entity and/or land management committee is in place, the governments will need a budget <br />oversight and approval process similar to the one that now precedes the transfer of state and <br />federal funds under the Cooperative Agreement. Presently, four separate agreement <br />administrators formally sign for their respective governments, authorizing the release of funds to <br />a contractor. <br />Many of the state and federal grant and/or contract issues were explored by the Finance <br />Committee in developing the relationship with the Nebraska Communities Foundation during <br />the term of the Cooperative Agreement. Presumably in the future, as now, the agreement <br />administrators will be the governments' representatives on the Governance Committee or <br />individuals working closely with the representatives. Given the multiple contracts or grants <br />involved in a single task, the only practical approach is for any issues that might stop payment <br />under a contract to be handled through the Governance Committee (or a finance subcommittee), <br />rather than separately between one government and the Program's committee or Land Entity. <br />This white paper does not attempt to reexamine in depth the requirements to receive state <br />or federal funds under a cooperative agreement, contract or grant; they are generally <br />implementation issues that will not affect the selection of a Land Entity, though they will affect <br />A- <br />