US Interior Dept dispenses $10.68 bln in 2009

By Jasmin Melvin

WASHINGTON, Nov 17 (Reuters) - States, Native Americans and others received more than $10.68 billion from energy revenues during fiscal year 2009, the U.S. Interior Department said on Tuesday.

The distributed funds came from royalties, rents, and bonuses the Minerals Management Service collected from companies for use of federal lands for onshore and offshore energy production.

Of the money dispensed in 2009, $1.99 billion went to states and local governments as their share of federal revenues from energy and mineral production within their borders. In all, 35 states received funds.

The U.S. Treasury received $5.74 billion from the funds, while $449 million was given to 34 Native American tribes and 30,000 Native American mineral owners.

In addition, $1.45 billion went to the Reclamation Fund for water projects, $899 million went to the Land and Water Conservation Fund, and $150 million went to the Historic Preservation Fund.

"The billions of dollars being disbursed will support much needed projects such as land and water conservation efforts around the United States, power and water projects in the West, critical infrastructure improvements, and funding for education," Interior Secretary Ken Salazar said in a statement.

The department's disbursement in 2009 fell steeply from the record $23.4 billion given out last year when record high energy prices boosted the energy revenues collected.

Distributed funds totaled $11.6 billion in fiscal 2007 and $12.8 billion in fiscal 2006, the second largest disbursement on record. (Reporting by Jasmin Melvin; editing by Jim Marshall)