893 



"(1) include appropriate criteria for determining the amount of a grant 

 and the general range of studying and planning activities for which grants 

 will be provided under subsection (b)(1) of this section : 



"(2) specify the means and criteria by which the Secretary shall deter- 

 mine whether a state's coastal zone has, or will suffer, net adverse impacts ; 

 "(3) include criteria for calculating the amount of a grant under sub- 

 section (b) (2) of this section, which criteria shall include consideration of — 

 "(A) offsetting benefits to the state's coastal zone or a political sub- 

 division thereof, including but not limited to increased revenues, 



"(B) the state's overall efforts to reduce or ameliorate net adverse 

 impacts, including but not limited to, the state's effort to insure that per- 

 sons whose coastal energy activity is directly responsible for net adverse 

 impacts in the state's coastal zone are required, to the maximum extent 

 practicable, to reduce or ameliorate such net adverse impacts, 



"(C) the state's consideration of alternative sites for the coastal 

 energy activity which would minimize net adverse impacts; and 



"(D) the availability of Federal funds pursuant to other statutes, 

 regulations, and programs, and under subsection (a) of this section, 

 which may be used in whole or in part to reduce or ameliorate net 

 adverse impacts of coastal energy activity ; 

 In developing regulations under this section, the Secretary shall consult with 

 the appropriate Federal agencies, which upon request, shall assist the Secretary 

 in the formulation of the regulations under this subsection on a nonreimbursable 

 basis ; with representatives of appropriate state and local governments ; with 

 commercial, industrial, and environmental organizations ; with public and private 

 groups ; and with any other appropriate organizations and persons with knowl- 

 edge or concerns regarding adverse impacts and benefits that may affect the 

 coastal zone. 



"(d) All funds appropriated to carry out the purposes of subsection (b) of this 

 section shall be deposited in a fund which shall be known as the Coastal Energy 

 Activity Impact Fund. The fund shall be administered and used by the Secre- 

 tary as a revolving fund for carrying out such purposes. General expenses of 

 administering this section may be charged to the fund. Moneys in the fund may 

 be deposited in interest-bearing accounts or invested in bonds or other obliga- 

 tions which are guaranteed as to principal and interest to the United States. 



"(e) There are hereby authorized to be appropriated to the Coastal Energy 

 Activity Impact Fund such sums not bo exceed $125,000,000 for the fiscal year 

 ending September 30, 1977, and for each of the next four succeeding fiscal years, 

 as may be necessary, which shall remain available until expended. 



"(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 k>cal 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 adver.se impact. In addition, any coastal state 

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

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

 received to (1) any areawide agency designatetl 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 sec- 

 tion shall relieve a state of the respon.sibility for insuring that any funds so allo- 

 cated to any local government or any other agency shall be applied in furtherance 

 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 tliis section unless such 

 state — 



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

 title or, is making satLsfactory progress, as determinetl by the Secretary, 

 toward the development of a coastal zone management program, or has such 

 a program approved pursuant to .section 306 of this title ; and 



"(2) has demonstrated to the satisfaction of, and has providetl adequate 

 assurances to, the Secretary that the proceeds of any such payment or grant 

 will be used in a manner consistent with the cojistal zone management pro- 

 gram being developed by it, or with its approved program, consistent with 

 the goals and objectives of this title. 



