Funds from this grant support a project by Resources for the Future (RFF) to assess the risks associated with increased shale gas development in the United States as viewed by both experts and the public. Primary focus will be on water scarcity and water, air, and soil quality issues associated with surface operations at well sites, vertical well drilling, horizontal drilling, deep hydraulic fracturing, and wastewater disposal. Expert views will be assembled from existing literature, recent government analyses, and interviews with selected experts. Public views will be determined by means of interviews with up to 100 people, four focus groups, and a survey of 1,500 randomly selected adults that will focus on public willingness to pay to reduce risks from shale gas development. Participants in the interviews, focus groups, and surveys will be drawn from residents in the western region of the United States, including Texas, where oil and gas production has a long history, and from the six-state eastern region of the Marcellus shale formation, where oil and gas production had not occurred for many years until recently and where shale gas production could be extensive in the near future. Subsequent to this research, RFF will identify, describe, and analyze the drivers of environmental risks associated with shale gas production and the policy levers potentially available to reduce these risks. RFF will describe and analyze current and prospective regulation and legislation at the national, river basin commission, and state levels, with some attention to the local level. Finally, RFF will put all of this together to develop recommendations for improvements in regulation and legislation.