617 



calculated, with respect to such state, pursuant 

 to subparagraphs (A), (B), (C), and (D) : 



(A) An amount which bears, to one-third of 

 the amount appropriated for the purpose of 

 funding grants under this subsection for such 

 fiscal year, the same ratio that the amount of 

 outer Continental Shelf acreage which is adja- 

 cent to such state and which is newly leased by 

 the Federal Government in the immediately pre- 

 ceding fiscal year bears to the total amount of 

 outer Continental Shelf acreage which is newly 

 leased by the Federal Government in such pre- 

 ceding year. 



(B) An amount which bears, to one-sixth of 

 the amount appropriated for such purpose for 

 such fiscal year, the same ratio that the volume 

 of oil and natural gas produced in the immedi- 

 ately preceding fiscal year from the outer Conti- 

 nental Shelf acreage which is adjacent to such 

 state and which is leased by the Federal Govern- 

 ment bears to the total volume of oil and natural 

 gas produced in such year from all of the outer 

 Continental Shelf acreage which is leased by the 

 Federal Government. 



(C) An amount which bears, to one-sixth of 

 the amount appropriated for such purpose for 

 such fiscal year, the same ratio that the volume 

 of oil and natural gas produced from outer Conti- 

 nental Shelf acreage leased by the Federal 

 Government which is first landed in such state 

 in the immediately preceding fiscal year bears 

 to the total volume of oil and natural gas pro- 

 duced from all outer Continental Shelf acreage 

 leased by the Federal Government which is first 

 landed in all of the coastal states in such year. 



(D) An amount which bears, to one-third of 

 the amount appropriated for such purpose for 

 such fiscal year, the same ratio that the number 

 of individuals residing in such state in the im- 

 mediately preceding fiscal year who obtain new 

 employment in such year as a result of new or 

 expanded outer Continental Shelf energy activi- 

 ties bears to the total number of individuals re- 

 siding in all of the coastal states in such year 

 who obtain new employment in such year as a 

 result of such outer Continental Shelf energy 

 activities. 



(3) (A) The Secretary shall determine annually 

 the amounts of the grants to be provided under 

 this subsection and shall collect and evaluate such 

 information as may be necessary to make such 

 determinations. Each Federal department, agency, 

 and instrumentality shall provide to the Secretary 

 such assistance in collecting and evaluating rele- 

 vant information as the Secretary may request. 

 The Secretary shall request the assistance of any 

 appropriate state agency in collecting and evalu- 

 ating such information. 



(B) For purposes of making calculations under 

 paragraph (2) , outer Continental Shelf acreage is 

 adjacent to a particular coastal state if such acre- 

 age lies on that state's side of the extended lateral 

 seaward boundaries of such state. The extended 

 lateral seaward boundaries of a coastal state shall 



be determined as follows: 



(i) If lateral seaward boundaries have been 

 clearly defined or fixed by an interstate com- 

 pact, agreement, or judicial decision (if entered 

 Into, agreed to, or issued before the date of the 

 enactment of this paragraph), such boundaries 

 shall be extended on the basis of the principles 

 of delimitation used to so define or fix them in 

 such compact, agreement, or decision. 



<ii) If no lateral seaward boundaries, or any 

 portion thereof, have been clearly defined or 

 fixed by an interstate compact, agreement, or 

 judicial decision, lateral seaward boundaries shall 

 be determined according to the applicable prin- 

 ciples of law, including the principles of the 

 Convention on the Territorial Sea and the Con- 

 tiguous Zone, and extended on the basis of such 

 principles. 



(iii) If, after the date of enactment of this 

 paragraph, two or more coastal states enter into 

 or amend an interstate compact or agreement 

 in order to clearly define or fix lateral seaward 

 boundaries, such boundaries shall thereafter be 

 extended on the basis of the principles of delimi- 

 tation used to so define or fix them in such com- 

 pact or agreement. 



(C) For purposes of making calculations under 

 this subsection, the transitional quarter beginning 

 July 1, 1976. and ending September 30, 1976, shall 

 be included within the fiscal year ending June 30, 

 1976. 



(4) Each coastal state shall use the proceeds of 

 grants received by it under this subsection for the 

 following purposes (except that priority shall be 

 given to the use of such proceeds for the purpose 

 set forth in subparagraph (A) ) : 



(A) The retirement of state and local bonds, 

 if any, which are guaranteed under subsection 

 (d) (2) ; except that, if the amount of such grants 

 is insufBcient to retire both state and local bonds, 

 priority shall be given to retiring local bonds. 



(B) The study of, planning for, development 

 of, and the carrying out of projects and programs 

 in such state which are — 



(i) necessary, because of the unavailability 

 of adequate financing under any other subsec- 

 tion, to provide new or improved public facili- 

 ties and public services which are required as 

 a direct result of new or expanded outer Con- 

 tinental Shelf energy activity; and 



(ii) of a type approved by the Secretary as 

 eligible for grants under this paragraph, ex- 

 cept that the Secretary may not disapprove 

 any project or program for highways and sec- 

 ondary roads, docks, navigation aids, fire and 

 police protection, water supply, "waste collection 

 and treatment (including drainage), schools 

 and education, and hospitals and health care. 



(C) The prevention, reduction, or amelioration 

 of any unavoidable loss in such state's coastal 

 zone of any valuable environmental or recrea- 

 tional resource if such loss results from coastal 

 energy activity. 



(5) The Secretary, in a timely manner, shall 



