To require the Office of Management and Budget to prepare a crosscut budget for restoration activities in the Chesapeake Bay watershed, to require the Environmental Protection Agency to develop and implement an adaptive management plan, and for other purposes.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Chesapeake Bay Accountability and 
Recovery Act of 2008''.

SEC. 2. CHESAPEAKE BAY CROSSCUT BUDGET.

    (a) Crosscut Budget.--The Director, in consultation with the 
Chesapeake Executive Council, the chief executive of each Chesapeake 
Bay State, and the Chesapeake Bay Commission, shall submit to Congress 
a financial report containing--
            (1) an interagency crosscut budget that displays--
                    (A) the proposed funding for any Federal 
                restoration activity to be carried out in the 
                succeeding fiscal year, including any planned 
                interagency or intra-agency transfer, for each of the 
                Federal agencies that carry out restoration activities;
                    (B) to the extent that information is available, 
                the estimated funding for any State restoration 
                activity to be carried out in the succeeding fiscal 
                year;
                    (C) all expenditures for Federal restoration 
                activities from the preceding 3 fiscal years, the 
                current fiscal year, and the succeeding fiscal year; 
                and
                    (D) all expenditures, to the extent that 
                information is available, for State restoration 
                activities during the equivalent time period described 
                in subparagraph (C);
            (2) a detailed accounting of all funds received and 
        obligated by all Federal agencies for restoration activities 
        during the current and preceding fiscal years, including the 
        identification of funds which were transferred to a Chesapeake 
        Bay State for restoration activities;
            (3) to the extent that information is available, a detailed 
        accounting from each State of all funds received and obligated 
        from a Federal agency for restoration activities during the 
        current and preceding fiscal years; and
            (4) a description of each of the proposed Federal and State 
        restoration activities to be carried out in the succeeding 
        fiscal year (corresponding to those activities listed in 
        subparagraphs (A) and (B) of paragraph (1)), including the--
                    (A) project description;
                    (B) current status of the project;
                    (C) Federal or State statutory or regulatory 
                authority, programs, or responsible agencies;
                    (D) authorization level for appropriations;
                    (E) project timeline, including benchmarks;
                    (F) references to project documents;
                    (G) descriptions of risks and uncertainties of 
                project implementation;
                    (H) adaptive management actions or framework;
                    (I) coordinating entities;
                    (J) funding history;
                    (K) cost-sharing; and
                    (L) alignment with existing Chesapeake Bay 
                Agreement and Chesapeake Executive Council goals and 
                priorities.
    (b) Minimum Funding Levels.--The Director shall only describe 
restoration activities in the report required under subsection (a) 
that--
            (1) for Federal restoration activities, have funding 
        amounts greater than or equal to $100,000; and
            (2) for State restoration activities, have funding amounts 
        greater than or equal to $50,000.
    (c) Deadline.--The Director shall submit to Congress the report 
required by subsection (a) not later than 30 days after the submission 
by the President of the President's annual budget to Congress.
    (d) Report.--Copies of the financial report required by subsection 
(a) shall be submitted to the Committees on Appropriations, Natural 
Resources, Energy and Commerce, and Transportation and Infrastructure 
of the House of Representatives and the Committees on Appropriations, 
Environment and Public Works, and Commerce, Science, and Transportation 
of the Senate.
    (e) Effective Date.--This section shall apply beginning with the 
first fiscal year after the date of enactment of this Act for which the 
President submits a budget to Congress.

SEC. 3. ADAPTIVE MANAGEMENT PLAN.

    (a) In General.--Not later than 1 year after the date of enactment 
of this Act, the Administrator, in consultation with other Federal and 
State agencies, shall develop an adaptive management plan for the 
Chesapeake Bay Program and restoration activities that includes--
            (1) definition of specific and measurable objectives to 
        improve water quality, habitat, and fisheries;
            (2) a process for stakeholder participation;
            (3) monitoring, modeling, experimentation, and other 
        research and evaluation practices;
            (4) a process for modification of restoration activities 
        that have not attained or will not attain the specific and 
        measurable objectives set forth under paragraph (1); and
            (5) a process for prioritizing restoration activities and 
        programs to which adaptive management shall be applied.
    (b) Implementation.--The Administrator shall implement the adaptive 
management plan developed under subsection (a).
    (c) Updates.--The Administrator shall update the adaptive 
management plan developed under subsection (a) every 3 years.
    (d) Report to Congress.--
            (1) In general.--Not later than 60 days after the end of a 
        fiscal year, the Administrator shall transmit to Congress an 
        annual report on the implementation of the adaptive management 
        plan required under this section for such fiscal year.
            (2) Contents.--The report required under paragraph (1) 
        shall contain information about the application of adaptive 
        management to restoration activities and programs, including 
        programmatic and project level changes implemented through the 
        process of adaptive management.
            (3) Effective date.--Paragraph (1) shall apply to the first 
        fiscal year that begins after the date of enactment of this 
        Act.

SEC. 4. DEFINITIONS.

    In this Act, the following definitions apply:
            (1) Adaptive management.--The term ``adaptive management'' 
        means a type of natural resource management in which project 
        and program decisions are made as part of an ongoing science-
        based process. Adaptive management involves testing, 
        monitoring, and evaluating applied strategies and incorporating 
        new knowledge into programs and restoration activities that are 
        based on scientific findings and the needs of society. Results 
        are used to modify management policy, strategies, practices, 
        programs, and restoration activities.
            (2) Administrator.--The term ``Administrator'' means the 
        Administrator of the Environmental Protection Agency.
            (3) Chesapeake bay state.--The term ``Chesapeake Bay 
        State'' or ``State'' means the States of Maryland, West 
        Virginia, Delaware, and New York, the Commonwealths of Virginia 
        and Pennsylvania, and the District of Columbia.
            (4) Chesapeake bay watershed.--The term ``Chesapeake Bay 
        watershed'' means the Chesapeake Bay and the geographic area, 
        as determined by the Secretary of the Interior, consisting of 
        36 tributary basins, within the Chesapeake Bay States, through 
        which precipitation drains into the Chesapeake Bay.
            (5) Chief executive.--The term ``chief executive'' means, 
        in the case of a State or Commonwealth, the Governor of each 
        such State or Commonwealth and, in the case of the District of 
        Columbia, the Mayor of the District of Columbia.
            (6) Director.--The term ``Director'' means the Director of 
        the Office of Management and Budget.
            (7) Restoration activities.--The term ``restoration 
        activities'' means any Federal or State programs or projects 
        that directly or indirectly protect, conserve, or restore 
        living resources, habitat, water resources, or water quality in 
        the Chesapeake Bay watershed, including programs or projects 
        that promote responsible land use, stewardship, and community 
        engagement in the Chesapeake Bay watershed. Restoration 
        activities may be categorized as follows:
                    (A) Physical restoration.
                    (B) Planning.
                    (C) Feasibility studies.
                    (D) Scientific research.
                    (E) Monitoring.
                    (F) Education.
                    (G) Infrastructure Development.

Summary: Chesapeake Bay Accountability and Recovery Act of 2008 - Requires the Director of the Office of Management and Budget (OMB), in consultation with the Chesapeake Executive Council, the chief executive of each Chesapeake Bay state, and the Chesapeake Bay Commission, to submit to Congress a financial report containing: (1) an interagency crosscut budget for restoration activities that protect, conserve, or restore living resources, habitat, water resources, or water quality in the Chesapeake Bay watershed; (2) an accounting of funds received and obligated by all federal agencies for restoration activities; (3) an accounting from each state of all funds received and obligated from a federal agency for restoration activities; and (4) a description of each of the proposed federal and state restoration activities. Requires: (1) such report to describe only federal restoration activities that have funding amounts of at least $100,000 and state restoration activities that have funding amounts of at least $50,000; and (2) the Director to submit the report no later than 30 days after the submission of the President's annual budget to Congress.

Requires the Administrator of the Environmental Protection Agency (EPA) to develop and update every three years an adaptive management plan for the Chesapeake Bay Program and restoration activities that includes: (1) a definition of specific and measurable objectives to improve water quality, habitat, and fisheries; (2) a process for stakeholder participation; (3) monitoring, modeling, experimentation, and other research and evaluation practices; (4) a process for modification of restoration activities that have not attained or will not attain such objectives; and (5) a process for prioritizing restoration activities and programs to which adaptive management shall be applied. Sets forth reporting requirements.