1042 



Interior and the Committee on Commerce. The fact of the matter is 

 that when it comes to the Secretary of Commerce approving grants, I 

 quote Senator Johnston at page S12815, July 16, 1975, as saying: 



The bill also provides that when a State is eligible for this money that the 

 money should be paid, first, to retire locally issued bonds previously approved 

 by the Secretary of Commerce * * * 



I have no better, firmer language about funds being used first for 

 the payment of bonds. 



Our distinguished friend, the Senator from Washington, as chair- 

 man of the Subcommittee on Interior, at that time in the colloquy, 

 stated : 



Once actual production takes place, automatic aid will become available to re- 

 pay loans or retire the bonds. I am pleased that the compromise requires the 

 automatic grants must be expended for the purpose of reducing or ameliorating 

 adverse impacts. This requirement should eliminate any possibility that any state 

 will receive a windfall. 



There is a section in the 1975 Record about the wide discretion of 

 the Secretary of Commerce and the authority to promulgate rules 

 and regulations. Necessarily, the Secretary of Commerce had discre- 

 tion — under the bill of the Senator from Louisiana and the Interior 

 bill, S. 521. TheSecretary of Commerce has the same discretion under 

 S. 586 with respect to grants for public facilities development. 



But the discretion that had to be used was broad and it was referred 

 to by my distinguished friend, the Senator from Alaska, at S12813 of 

 July of last year where he said : 



Let me emphasize that. This is really a discretionary concept : because, under 

 the provisions of this bill, this money would revert to the Treasury, if it is not 

 used to meet impacts that have been approved under the plan or used to repay 

 bonds guaranteed by the Secretary of Commerce. I think the Secretary of Com- 

 merce will have a great deal of discretion in administering this concept. 



With that concern in mind, yes, the Secretary, Secretary Richard- 

 son, and his staff worked closely with the conferees. 



I ask unanimous consent, due to the lack of time, to ])rint in the 

 Record a staff estimate of the allocation of funds under the formula 

 grant subsection. 



There being no objection, the staff estimate was ordered to be printed 

 in the Record, as follows : 



FORMULA OCS GRANTS BY REGION 

 [Dollars in millions >l 



Atlantic Pacific Alaska 'Gulf Total 



1977 



1978 .__ 



1979 



1980 _._ 



1981 



1982.. 



1983 _ _. 



1984... 



Total 56.2 43.0 112.3 188.5 400 



' Above figures are estimates only, based upon the best available data pertaining to lease schedules, projected pro- 

 duction and employment. 



Sources; Department of the Interior, Federal Energy Administration, and Office of Management and Budget. Analysis 

 by House and Senate conferees' staff. 



