State and within the lateral seaward boundaries 
of the State extended. 
‘‘(B) CONTENTS.—In any petition under 
subparagraph (A), the Governor shall include a 
detailed plan of the proposed exploration and 
extraction activities, as applicable. 
‘‘(3) ACTION BY SECRETARY.— 
‘‘(A) IN
GENERAL.—Subject to subpara-
graphs (B), (C), and (D), as soon as practicable 
after the date of receipt of a petition under 
paragraph (2), the Secretary shall approve or 
deny the petition. 
‘‘(B) REQUIREMENTS
FOR
EXPLORATION 
AND EXTRACTION.—The Secretary shall not ap-
prove a petition submitted under paragraph 
(2)(A) unless the State enacts a statute author-
izing the issuance of leases for exploration and 
extraction of oil and natural gas in the coastal 
zone of the State. 
‘‘(C) CONSISTENCY WITH LEGISLATION.— 
The plan provided in the petition under para-
graph (2)(B) shall be consistent with the stat-
ute described in subparagraph (B). 
‘‘(D) CONFLICTS
WITH
MILITARY
OPER-
ATIONS
AND
NATIONAL
SECURITY.—The Sec-
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retary shall not approve a petition for a drilling 
activity under this paragraph— 
‘‘(i) if the drilling activity would con-
flict with any military operation or na-
tional security, as determined by the Presi-
dent; or 
‘‘(ii) in any area that is withdrawn 
under section 12(a) for national security 
purposes. 
‘‘(4) DISPOSITION
OF
REVENUES.—Notwith-
standing section 9, for each applicable fiscal year, 
the Secretary of the Treasury— 
‘‘(A) shall deposit 30 percent of qualified 
revenues in a separate account in the Treasury, 
which— 
‘‘(i) shall be known as the Clean and 
Alternative Energy Fund; and 
‘‘(ii) shall be available to the Sec-
retary of Energy for making grants for re-
search and development of clean and alter-
native energy; 
‘‘(B) in the case of a lease tract any por-
tion of which is located within 50 miles of the 
coastline of one or more States that have a por-
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tion of such leased tract within the seaward lat-
eral boundaries of such State extended— 
‘‘(i) shall pay, in accordance with 
clause (ii), an amount equal to 40 percent 
of qualified revenues under such lease to 
the States with respect to which the lease 
tract is so located and that have enacted a 
statute that establishes a plan for expendi-
ture of those funds; and 
‘‘(ii) shall pay to each such State a 
portion of such amount that is propor-
tional to the portion of the lease tract that 
is so located with respect to the State; and 
‘‘(C) shall deposit the remainder of quali-
fied revenues in the general fund of the Treas-
ury. 
‘‘(r) PAYMENT OF REVENUES UNDER CERTAIN EX-
ISTING LEASES.—Of the funds that would be received by 
the United States as royalties under any Federal oil and 
gas lease of an area on the outer Continental Shelf located 
within 50 miles of the coastline of the State of Texas, Lou-
isiana, Mississippi, or Alabama that is in effect on the date 
of enactment of the DRILL NOW Act of 2009 the Sec-
retary of the Treasury— 
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