849 



(A) by striking out tlie period at the end of subsection (e) thereof and insert- 

 ing in lieu thereof the following " : And provided further, That tlie Secretary may 

 waive the application of the 10 per centum maximum requirement as to any grant 

 under this section when the coastal state is implementing a management program 

 pursuant to subsection (h) of this section.". 



(B) by redesignating subsection (h) thereof as subsection (i), and by inserting 

 immediately after subsection (g) the following: 



"(h) (1) The Secretary may make annual grants under this subsection to any 

 coastal state for not more than 80 per centum of the cost of implementing the 

 state's management program, if he preliminarily approves such program in ac- 

 cordance with paragraph (2) of this subsection. The limitation on the number of 

 annual development grants pursuant to subsection (c) of this section is not ap- 

 plicable to this subsection. States shall remain eligible for implementation grants 

 pursuant to this subsection until September 30, 1979. 



"(2) Before granting preliminary approval of a management program sub- 

 mitted by a coastal state pursuant to this subsection, the Secretary shall find 

 that the coastal state has — 



"(A) developed a management program which is in compliance with the rules 

 and regulations promulgated pursuant to this section but is not yet wholly in 

 compliance with the requirements of section 306 of this title, 



"(B) in consultation with the Secretary, specifically identified the deficiencies 

 in the program which would render the state ineligible for the Secretary's ap- 

 proval pursuant to section 306 of this title, and deficiencies such as the lack of 

 an adequate organizational network or the lack of sufficient state authority to 

 administer effectively the state's program have been set forth with particularity, 



"(C) has established a reasonable time schedule during which it can remedy 

 the deficiencies identified under subparagraph ( B ) of this subsection ; and 



"(D) has specifically identified the types of program management activities 

 that it seeks to fund pursuant to this subsection. 



"(3) The Secretary shall determine allowable costs under this subsection and 

 shall publish necessary and reasonable rules and regulations in this regard. 



"(4) Any state program funded under the provisions of this subsection shall 

 not be considered an approved program for the purposes of section 307 of this 

 title.". 



(9) Section 305(i) of such Act, as reflesignated by paragraph (8) (B) of this 

 section) is amended by deleting "June 30, 1977" and inserting in lieu thereof 

 "September 30, 1979.". 



(10) Section 306(a) of such Act (16 U.S.C. 1455(a)) is amended by deleting 

 "66%" and inserting in lieu thereof "80" ; and by deleting the last sentence 

 thereof. 



(11) Section 306(c) (2) (B) of such Act (16 U.S.C. 1455(c) (2) (B) ) is amended 

 by adding at the end thereof the following flush sentences : 



"No mechanism referred to in this paragraph for continuing consultation and 

 coordination shall be found by the Secretary to be effective unless such mecha- 

 nism includes, in addition to such other provisions as may be appropriate, pro- 

 visions under which : 



"(i) the management agency designated pursuant to paragraph (5) of this 

 subsection is required, before implementing any decision made by it to carry out 

 the management program, to send notice of such decision to any local govern- 

 ment which has land use or water use control powers within the area to which 

 such decision may apply ; 



"(ii) any such local government may, within thirty days after the date on 

 which such notice is received, request the management agency to hold a public 

 hearing regarding such decision ; 



"(iii) the management agency, upon receiving a request for a public hearing 

 as provided for in clause (ii), is required to hold such public hearing not sooner 

 than ninety days after the date on which notice of the decision is received by the 

 local government ; and 



"(iv) if a public hearing on any such decision is timely requested by any 

 local government, the management agency may not implement the decision until 

 after the public hearing is concluded. 



Funds which may be allocated to any local government pursuant to subsection 

 (f ) of this section may l)e used, in part, to defray expenses incurred by the local 

 government in preparing for any public hearing referred to in the preceding 

 sentence which is requested by it.". 



