592 



Pub. Law 94-370 



- 12 - 



July 26, 1976 



Criteria and pro- 

 cedures for repay- 

 ment. 



Interest rate. 



energy activity, and the related new population, who reside in 

 the respective coastal states. 



"(B) The standardized unit costs (as determined by the 

 Secretary by rule), in the relevant regions of such states, for 

 new or improved public facilities and public services which 

 are required as a result of such expected employment and the 

 related new population. 

 "(2) Criteria under which the Secretary shall review each 

 coastal state's compliance with the requirements of subsection 



(g)(2). 



"(3) Criteria and procedures for evaluating the extent to which 

 any loan or guarantee under subsection (d) (1) or (2) which is 

 applied for by any coastal state or unit of general purpose local 

 government can be repaid through its ordinary methods and rates 

 for generating tax revenues. Such procedures shall require such 

 state or unit to submit to the Secretary such information which 

 is specified by the Secretary to be necessary for such evaluation, 

 including, but not limited to — 



"(A) a statement as to the number of additional indi- 

 viduals who are expected to become employed in the new or 

 expanded coastal energy activity involved, and the related 

 new population, who reside in such state or unit; 



"(B) a description, and the estimated costs, of the new or 

 improved public facilities or public services needed or likely 

 to be needed as a result of such expected employment and 

 related new population ; 



"(C) a projection of such state's or unit's estimated tax 

 receipts during such reasonable time thereafter, not to exceed 

 30 years, which will be available for the repayment of such 

 loan or guarantee ; and 



"(D) a proposed repayment schedule. 

 The procedures requii'ed by this paragraph shall also provide for 

 the periodic verification, review, and modification (if necessary) 

 by the Secretary of the information or other material required 

 to be submitted pursuant to this paragraph. 



"(4) Requirements, terms, and conditions (which may include 

 the posting of security ) which shall be imposed by the Secretary, 

 in connection with loans and guarantees made under subsections 

 (d) (1) and (2), in order to assure repayment within the time 

 fixed, to assure that the proceeds thereof may not be iised to pro- 

 vide public services for an unreasonable length of time, and other- 

 wise to protect the financial interests of the United States. 



"(5) Criteria under which the Secretary shall establish rates 

 of interest on loans made under subsections (d) (1) and (3). Such 

 rates shall not exceed the current average market yield on out- 

 standing marketable obligations of the United States with 

 remaining periods to matvu-ity comparable to the maturity of 

 such loans. 

 In developing rules and regulations under this subsection, the Secre- 

 tary shall, to the extent practicable, request the views of, or consult 

 with, appropriate persons regarding impacts resulting from coastal 

 energy activity. 



"(f) (1) Bonds or other evidences of indebtedness guaranteed under 

 subsection (d) (2) shall be guaranteed on such terms and conditions 

 as the Secretary shall prescribe, except that — 



"(A) no guarantee shall be made unless the indebtedness 

 involved will be completely amortized within a reasonable period, 

 not to exceed 30 years ; 



90 STAT, 1024 



