591 



July 26, 1976 



- 11 



Pub. Law 94-370 



both, which are required as a result of coastal energy activity. Such 

 loans shall be made solely pursuant to this title, and no such loan shall 

 require as a condition thereof that any such state or unit pledge its full 

 faith and credit to the repayment thereof. No loan shall be made under 

 this paragraph after September 30, 1986. 



"(2) The Secretary shall, subject to the provisions of subsection 

 (f), guarantee, or enter into commitments to guarantee, the payment 

 of interest on, and the principal amount of, any bond or other evidence 

 of indebtedness if it is issued by a coastal state or a unit of general 

 purpose local government for the purpose of providing new or 

 improved public facilities or public services, or both, which are 

 required as a result of a coastal energy activity. 



"(3) If the Secretary finds that any coastal state or unit of general 

 purpose local government is unable to meet its obligations pursuant to 

 a loan or guarantee made under paragraph (1) or (2) because the 

 actual increases in employment and related population resulting from 

 coastal energy activity and the facilities associated with such activity 

 do not provide adequate revenues to enable such state or unit to meet 

 such obligations in accordance with the appropriate repayment sched- 

 ule, the Secretary shall, after review of the information submitted by 

 such state or unit pursuant to subsection (e)(3), take any of the 

 following actions : 



"(A) Modify appropriately the terms and conditions of such 

 loan or guarantee. 

 "(B) Refinance such loan. 



"(C) Make a supplemental loan to such state or unit the pro- 

 ceeds of which shall be applied to the payment of principal and 

 interest due under such loan or guarantee. 



"(D) Make a grant to such state or unit the proceeds of which 

 shall be applied to the payment of principal and interest due 

 under such loan or guarantee. 

 Notwithstanding the preceding sentence, if the Secretary — 



"(i) has taken action under subparagraph (A), (B), or (C) 

 with respect to any loan or guarantee made under paragraph (1) 

 or (2), and 



"(ii) finds that additional action under subparagraph (A), 



(B), or (C) will not enable such state or unit to meet, within a 



reasonable time, its obligations under such loan or guarantee and 



any additional obligations related to such loan or guarantee; 



the Secretary shall make a grant or grants under subparagraph (D) 



to such state or unit in an amount sufficient to enable such state or 



unit to meet such outstanding obligations. 



"(4) The Secretary shall make grants to any coastal state to enable 

 such state to prevent, reduce, or ameliorate any unavoidable loss in 

 such state's coastal zone of any valuable environmental or recreational 

 resource, if such loss results from coastal energy activity, if the Secre- 

 tary finds that such state has not received amounts imder subsection 

 (b) which are sufficient to prevent, reduce, or ameliorate such loss. 



"(e) Rules and regulations with respect to the following matters 

 shall be promulgated by the Secretary as soon as practicable, but not 

 later than 270 days after the date of the enactment of this section : 



"(1) A formula and procedures for apportioning equitably, 

 among the coastal states, the amounts which are available for the 

 provision of financial assistance under subsection (d). Such for- 

 mula shall be based on, and limited to, the following factors: 



"(A) The number of additional individuals who are 

 expected to become employed in new or expanded coastal 



Rules and regu- 

 lations. 



Financial assist- 

 ance, formula 

 and procedures. 



90 STAT. 1023 



