876 



"(f) It is the intent of Congress that each state receiving any grant under 

 paragraph (1) or (2) of subsection (b) of this section shall, to the maximum 

 extent practicable, allocate all or a portion of such grant to any local government 

 thereof which has suffered or may suffer net adverse impacts resulting from 

 coastal energy activities and such allocation shall be on a basis which is propor- 

 tional to the extent of such net adverse impact. In addition, any coastal state 

 may, for the purpose of carrying out the provisions of subsection (b) of this 

 section, with the approval of the Secretary, allocate all or a portion of any grant 

 received to (1) any area wide agency designated under section 204 of the Demon- 

 stration Cities and Metropolitan Development Act of 1966, (2) any regional 

 agency, or (3) any interstate agency. No provision in subsection (b) of this 

 section shall relieve a state of the responsibility for insuring that any funds so 

 allocated to any local government or any other agency shall be applied in further- 

 ance of the purposes of such subsection. 



"(g) No coastal state is eligible to receive any payment under subsection (a) 

 of this section, or any grant under subsection (b) of this section unless such 

 state — 



"(1) is receiving a program development grant under section 305 of this title 

 or, is making satisfactory progress, as determined by the Secretary, toward the 

 development of a coastal zone management program, or has such a program ap- 

 proved pursuant to section 306 of this title ; and 



"(2) has demonstrated to the satisfaction of, and has provided adequate assur- 

 ance to the Secretary that the proceeds of any such payment or grant will be used 

 in a manner consistent with the coastal zone management program being devel- 

 oped by it, or with its approved program, consistent with the goals and objectives 

 of this title. 



"interstate coordination grants to states 



"Sec. 309. (a) The states are encouraged to give high priority (1) to coordinat- 

 ing state coastal zone planning, policies, and programs in contiguous interstate 

 areas, and (2) to studying, planning, and/or implementing unified coastal zone 

 policies in such areas. The states may conduct such coordination, study, plan- 

 ning, and implementation through interstate agreement or compact. The Secre- 

 tary is authorized to make annual grants to the coastal states, not to exceed 

 90 per centum of the cost of such coordination, study, planning, or implementa- 

 tion, if the Secretary finds that each coastal state receiving a grant under this 

 section will use such grants for purposes consistent with the provisions of sec- 

 tions 305 and 306 of this title. 



"(b) The consent of the Congress is hereby given to two or more states to 

 negotia'te and enter into agreements or compacts, not in conflict with any law or 

 treaty of the United States, for (1) developing and administering coordinated 

 coastal zone planning, policies, and programs, pursuant to sections 305 and 306 

 of this title, and (2) establishing such agencies, joint or otherwise, as the states 

 may deem desirable for making effective such agreements and compacts. Such 

 agreements or compacts shall be binding and obligatory upon any state or party 

 thereto without further approval by Congress. 



"(c) Each executive instrumentality which is established by an interstate 

 agreement or compact pursuant to this section is encouraged to establish a Fed- 

 eral-State consultation procedure for the identification, examination, and co- 

 operative resolution of mutual problems with respect to the marine and coastal 

 areas which affect, directly or indirectly, the applicable coastal zone. The Secre- 

 tary, the Secretary of the Interior, the Chairman of the Council on Environmental 

 Quality, and the Administrator of the Environmental Protection Agency, the 

 Administrator of the Federal Energy Administration, or their designated rep- 

 resentatives, are authorized and directed to participate ex officio on behalf of the 

 Federal Government, whenever any such Federal-Sta'te consultation is requested 

 by such an instrumentality. 



"(d) Prior to establishment of an interstate agreement or compact pursuant 

 to this section, the Secretary is authorized to make grants to a multistate instru- 

 mentality or to a group of states for the purpose of creating temporary ad hoc 

 planning and coordinating entities to — 



"(1) coordinate state coastal zone planning, policies, and programs in 

 contiguous interstate areas ; 



"(2) study, plan, and/or implement unified coastal zone policies in such 

 interstate areas ; and 



