FEDERAL-STATE MEMORANDUM OF UNDERSTANDING
FOR ECONOMIC ADJUSTMENT AND COMMUNITY ASSISTANCE

I.   PARTIES

This is an agreement among ten parties:

• the Governor of the State of California;
• the Governor of the State of Oregon;
• the Governor of the State of Washington;
• the Multi-Agency Command established pursuant to the attached Interagency Memorandum of Understanding among federal entities;
• The Hon. Anna Sparks, Humboldt County Supervisor and the Hon. Francie Sullivan, Shasta County Supervisor, both representing affected communities in the State of California;
• The Hon. Michael J. Sykes, Columbia County Commissioner and the Hon. R. Charles Vars, Jr., Mayor of Corvallis, both representing affected communities in the State of Oregon; and -
• The Hon. Melissa Carlson-Price, Skamania County Commissioner and the Hon. Phyllis Schrauger, Mayor of Hoquiam, both representing affected communities in the State of Washington.

II.  PURPOSE

The purpose of this Memorandum is to improve cooperation among federal, state, and local entities in order to enhance the delivery, tracking, and evaluation of economic adjustment assistance to workers, families, businesses, and communities affected by the President's Forest Plan for the Pacific Northwest and northern California. This memorandum, in conjunction with the Interagency Memorandum of Understanding for Economic Adjustment and Community Assistance, establishes the principles that will guide the parties' cooperation in this undertaking, sets forth the objectives of this collaborative effort, and outlines the responsibilities of the parties. It also outlines the structure of federal coordination, which is designed to work closely with state and local governments, Tribal Nations, and others, in order to make the best use of federal resources. This memorandum complements the Memorandum of Understanding for Forest Ecosystem Management.

III.  STRUCTURE

A. Multi-Agency Command:  The Multi-Agency Command (MAC) consists of representatives of various federal entities as set forth in the attached Interagency Memorandum of Understanding.

B.  Regional Community Economic Revitalization Team:  As set forth more fully in the Interagency Memorandum of Understanding, the federal Secretaries and Administrators shall each designate one or more representatives to participate in the Regional Community Economic Revitalization Team (Regional CERT). The Regional CERT shall also include two representatives each from Oregon, Washington, and California. One of those two representatives shall be designated by the Governor, and the second representative shall be designated by the nonfederal members of the State CERT. The Secretary of Agriculture and the Secretary of the Interior shall designate two of the federal representatives to serve as Co-chairs of the Regional CERT.

The Regional Community Economic Revitalization Team, under the guidance of the Multi-Agency Command and the parties of the Interagency Memorandum of Understanding, shall have decision authority as consistent with federal law and the Strategic Plan described in Part IV, and subject to the limitations set forth in Part V. However, nothing in this Memorandum shall be construed to expand or diminish the authority of federal, state, or local officials participating in the Regional CERT. Matters unsettled or disputed within the Regional CERT shall be forwarded to the MAC for resolution.

C.  State Community Economic Revitalization Team: The parties to the Interagency Memorandum of Understanding and the Governors of Oregon, Washington, and California shall establish State Community Economic Revitalization Teams (State CERTs). Each State CERT should include representatives of each federal agency with program responsibility, and representatives of state government appointed by the Governor, and representatives of local government appointed by the Governor with the approval of local governmental organizations. The Chair of each State CERT shall be selected by its nonfederal members.

The State CERTs shall have daily authority to implement the Strategic and Implementation Plans as consistent with federal and state law. However, nothing in this memorandum shall be construed to expand or diminish the authority of federal, state, or local officials participating in the State CERTs. Matters unsettled or disputed with a State CERT shall be forwarded to the Regional CERT for resolution.

IV.  RESPONSIBILITIES OF THE PARTIES

In the development and execution of economic adjustment activities, state and local governments, Tribal Nations, and others shall play a critical role in determining how best to meet the needs of the affected communities. Federal officials in the MAC, Regional CERT, and State CERTs should resolve interagency differences, coordinate interagency activity, and work to remove any unnecessary regulatory impediments to economic adjustment and assistance. The Governors and State CERTs shall be responsible for coordinating and communicating with local governments and affected communities and resolving any intrastate differences. Block grant-style programs, such as CDBG, JTPA, and the Old Growth Diversification Program, which are now administered by state agencies shall remain with state agencies consistent with the Strategic Plan.

A.  Development of Strategic Plan

Working with state and local officials, representatives of the Tribal Nations, and other persons the parties to the Interagency Memorandum of Understanding deem appropriate, the Multi-Agency Command shall prepare a Strategic Plan for Economic Adjustment and submit that plan to the parties to the Interagency Memorandum of Understanding and the Governors of Oregon, Washington, and California within 45 days of the signing of that Memorandum. The Plan, which shall be consistent with the limitations set forth in Part V, shall address a three-year period and include:

• a detailed statement of the goals of the Plan;
   
• a streamlined process for the delivery of economic assistance and services;
   
• a detailed description of authority delegated to federal official in the region;
   
• quantifiable benchmarks of progress, such as new family wage jobs created, numbers of dislocated workers retrained, numbers of community facilities funded, capital investment levels, and related timetables; and
   
• a detailed description of the relationship among the federal, state, and local parties.

The parties to the Interagency Memorandum of Understanding and the Governors of Oregon, Washington, and California shall approve the Plan within 15 days of its submission.

B.  Development of Implementation Plan

Working with representatives of the State CERTs, the Tribal Nations and other persons the parties to the Interagency Memorandum of Understanding deem appropriate, the Regional CERT shall prepare an Implementation Plan and submit that plan to the MAC and the Governors of Oregon, Washington, and California within 45 days of the approval of the Strategic Plan. The Implementation Plan shall address a three-year period and include:

• a detailed plan for integrating and implementing the relevant programs and services of the Departments of Labor, Commerce, Interior, Agriculture, Housing and Urban Development, the Small Business Administration, and the Environmental Protection Agency;
   
• a detailed plan for a clearinghouse of services for state and local officials, individuals, and firms;
   
• a detailed and comprehensive list of temporary and permanent legislative and regulatory provisions necessary for the prompt and efficient delivery of assistance to affected communities and individuals;
   
• a plan for a uniform system for reporting to the MAC;
   
• dates for the final submission of projects, with deadlines for approval;
   
• limits on administrative expenses and overhead for services provided to workers, businesses, and communities; and
   
• a detailed plan and timetable for the actual receipt of assistance by affected communities and individuals.

The MAC and the Governors of Oregon, Washington, and California shall approve the Implementation Plan within 15 days of its submission.

C.  Execution

The MAC and the Governors shall make available the resources (including adequate personnel and support services) necessary to execute the Implementation Plan, including the financial resources set forth in Part V of the Interagency Memorandum of Understanding, and subject to the conditions set forth in Part V of the Interagency Memorandum of Understanding.

Working with state and local officials and other persons the parties to the Interagency Memorandum of Understanding deem appropriate, the State and Regional CERTs shall implement the three-year Implementation Plan as consistent with federal and state law.

The parties to this Memorandum agree:

(i) to seek an equitable interstate distribution of the total sum of federal monies made available under Part V the Interagency Memorandum of Understanding; the parties understand each State may have unique characteristics and needs which they agree to consider in seeking an equitable distribution of funds;

(ii) to cooperate so that residents of, or communities in, each State will receive no less than fifteen percent (15%) of the total sum of federal funds made available each federal fiscal year;

(iii) provided that, should any State fail, by the end of the fifth month of the relevant federal fiscal year, to file proposals for more than ten percent (10%) of the total sum of federal funds made available that federal fiscal year, section (ii) shall not apply.

As set forth in the Memorandum of Understanding for Forest Ecosystem Management, the Regional Executive Committee (REC) established for purposes of federal land management shall have the ultimate authority for the implementation of the watershed restoration projects and attendant "jobs in the woods" efforts. The Regional CERT and the REC shall work together to prepare a plan for implementing those projects that will ensure (i) creation of family-wage jobs, a preference for displaced timber workers, integration with job training and placement programs, and minimal administrative overhead; and (ii) integration of these employment criteria with environmental criteria.

The Regional CERT shall identify options for improving the Strategic Plan and recommend any such improvements to the Multi-Agency Command. The Multi-Agency Command, in consultation with the Governors of the three States, must act on any such suggestions within 30 days.

The Multi-Agency Command, working with appropriate local and state officials, shall review and evaluate the structure set forth in this Memorandum, determine whether that structure is appropriate for the continued delivery of economic adjustment assistance to the region, and develop and propose any revisions to the structure the MAC deems necessary. The MAC shall submit a report on these issues within six months of the approval of the Strategic Plan.

V.  REPORTS

Every six months, the Multi-Agency Command shall promptly prepare and file with the parties to the Interagency Memorandum of Understanding and the Governors of the three States an evaluation report which

• assesses the progress made in the preceding period toward the goals and objectives identified in the Strategic Plan; and
   
• suggests any adjustments in the cooperative relationship that the MAC considers desirable.

VI.  LIABILITY

This is not a legally binding or enforceable agreement. The matters covered in this memorandum are intended only to improve the coordinated delivery of economic adjustment assistance to the Pacific Northwest and northern California and are not intended to create any right or benefit, substantive or procedural, enforceable at law by a party against the United States or any State, any state or federal agencies, any state or federal official, any party to this agreement, or any person.

VII.  TERMS

The term of this agreement is forty months from the date of execution. At that time, the parties may, by unanimous action, extend this agreement for any additional period. This agreement may be amended by unanimous consent of the parties. Any party may terminate its participation in this agreement without cause.

AGREED:

/s/no signature, The Governor of California

/s/Barbara Roberts, The Governor of Oregon

/s/Mike Lourey, The Governor of Washington

/s/Bob J. Nusin??, Representing the Multi-Agency Command

/s/no signature, Representing local communities in California

/s/no signature, Representing local communities in California

/s/Michael J. Sykes, Representing local communities in Oregon

/s/R. Charles Vars, Jr., Representing local communities in Oregon

/s/Melissa Price, Representing local communities in Washington

/s/Phyllis N. Schrauger, Representing local communities in Washington

No date