The policy landscape around the program.

How LWCF Gets Funded and Allocated

LWCF receives $900 million annually from offshore oil and gas royalties — funding that is mandatory, not subject to the annual appropriations process. This was made permanent by the Great American Outdoors Act in 2020. But while the total amount is fixed, how that $900 million gets divided across LWCF's programs is determined annually through the federal budget process.

Each year, the Department of the Interior and the U.S. Forest Service propose how to split the $900 million across LWCF's various subprograms. The Office of Management and Budget (OMB) reviews these proposals and determines what is ultimately included in the President's Budget request to Congress. The Great American Outdoors Act requires the President's annual budget submission to include a proposed allocation of LWCF funding by account, program, and project for consideration as part of the annual appropriations process.

Statutory floors shape this allocation. At least 40 percent of LWCF funding must be used for federal purposes — primarily federal land acquisition by NPS, USFWS, USFS, and BLM. At least 40 percent must be used for financial assistance to states, which flows through the State and Local Assistance Program. The remaining 20 percent is allocated based on the proposals advanced through the budget process.

For Tribal Governments, this means two things. First, the total funding pool is stable — LWCF will receive $900 million each year regardless of administration. Second, how much flows into the programs Tribes can actually access (Stateside Formula, ORLP, and others) varies year to year based on federal budget decisions. Monitoring those allocations matters.

New Mexico S.B. 169 (2024)

In February 2024, New Mexico enacted Senate Bill 169 — becoming the first state to codify Department of the Interior guidance directing states to prioritize Tribal LWCF funding. The bill is significant both for what it does in New Mexico and as a model for what state-level reform can look like elsewhere.

Key provisions of S.B. 169

• Prioritizes funding requests from Pueblos, Tribes, and Nations within New Mexico's State Supplemental LWCF program;
• Eliminates the 50 percent matching fund requirement for Tribal applicants to the State Supplemental LWCF;
• Removes the political subdivision population cap that had previously limited eligibility;
• Authorizes up to 7 percent of New Mexico's federal LWCF allocation to be used for outreach and technical assistance to Tribes;
• Expands eligibility to rural and underserved communities.

For Tribal Governments outside New Mexico, S.B. 169 is useful as a reference point in conversations with state legislators, state LWCF liaisons, and conservation partners about what state-level Tribal LWCF reform can look like. Advocacy efforts in other states are tracking the New Mexico model.

More entries — including complementary federal programs (CDBG, RTP, BIA conservation funding), the proposed BIA Tribal LWCF Land Acquisition Program, and additional policy developments — will be added as content is finalized in coordination with project partners.