116 
or by State law as having authority and responsi-
bility to accept and to administer funds paid here-
under. No payment shall be made to any State until 
the State has agreed to provide such reports to the 
Administrator, in such form and containing such in-
formation, as may be reasonably necessary to enable 
the Administrator to perform the duties of the Ad-
ministrator under this title, and provide such fiscal 
control and fund accounting procedures as may be 
necessary to assure proper disbursement and ac-
counting for Federal revenues paid to the State 
under this title. 
(2) FAILURE TO MAKE SUFFICIENT PROGRESS 
AT
DEVELOPING
OR
IMPLEMENTING
A
REGIONAL 
OCEAN STRATEGIC PLAN.—At the end of each fiscal 
year, the Administrator shall return to the Fund any 
amount that the Administrator allocated, but did not 
disburse, in that fiscal year to a coastal State that, 
in the judgment of the Administrator, has failed to 
make sufficient progress in developing or imple-
menting a Regional Ocean Strategic Plan under title 
IV before the end of the fiscal year in which such 
grant is allocated, except that the Administrator 
shall hold in escrow until the final resolution of the 
appeal any amount allocated, but not disbursed, to 
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117 
a coastal State that has appealed the disapproval of 
such funding. 
(b) ALLOCATION AMONG COASTAL STATES.— 
(1) ALLOCABLE SHARE FOR EACH STATE.—For 
each coastal State, the Administrator shall deter-
mine the State’s allocable share of the total amount 
transferred from the Fund under section 501(b)(1) 
for each fiscal year using the following weighted for-
mula: 
(A) Thirty-five percent of such amount 
shall be allocated to each coastal State based on 
the ratio of each State’s shoreline miles to the 
shoreline miles of all coastal States. 
(B) Sixty-five percent of such amount shall 
be allocated to each coastal State based on the 
ratio of each State’s coastal population to the 
coastal population of all coastal States. 
(2) MINIMUM STATE SHARE.— 
(A) IN GENERAL.—The allocable share de-
termined by the Administrator under this sub-
section for each coastal State with a manage-
ment program approved by the Secretary of 
Commerce under the Coastal Zone Management 
Act of 1972 (16 U.S.C. 1451 et seq.), or that 
is making satisfactory progress toward one, 
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shall not be less in any fiscal year than 0.50 
percent of the total amount transferred by the 
Secretary of the Treasury to the Administrator 
for that fiscal year under section 501(b)(1). 
For any other coastal State the allocable share 
shall not be less than 0.25 percent of such 
transferred amount. 
(B) RECOMPUTATION.—If 1 or more coast-
al States’ allocable shares, as computed under 
paragraphs (1) and (2), are increased by any 
amount under this paragraph, the allocable 
share for all other coastal States shall be re-
computed and reduced by the same amount so 
that not more than 100 percent of the amount 
transferred by the Secretary of the Treasury to 
the Administrator for that fiscal year under 
section 501(b)(1) is allocated to all coastal 
States. The reduction shall be divided pro rata 
among such other coastal States. 
(c) PAYMENTS TO POLITICAL SUBDIVISIONS.—In the 
case of a coastal State, the Governor of the State shall 
hold 50 percent of the State’s allocable share, as deter-
mined under subsection (b), in a State ocean grants fund. 
The Governor or his designee shall award, on a competi-
tive basis, grants to coastal political subdivisions of the 
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State from the State ocean grants fund only for activities 
relating to the development and implementation of feder-
ally approved Regional Ocean Strategic Plans that are 
consistent with the standard set forth in subsection 
506(b). 
(d) TIME OF PAYMENT.—Payments to coastal States 
and coastal political subdivisions under this section shall 
be made not later than December 31 of each year from 
revenues received during the immediately preceding fiscal 
year. 
SEC. 506. APPROVAL OF STATE FUNDING AND SPENDING 
PLANS. 
(a) DEVELOPMENT AND SUBMISSION OF REGIONAL 
OCEAN STRATEGIC PLANS.—Each coastal State seeking 
to receive grants under this title shall participate in the 
development and implementation of Regional Ocean Stra-
tegic Plans under title IV. 
(b) STANDARD GOVERNING THE EXPENDITURE OF 
FUNDS.—All Funds disbursed to coastal States and polit-
ical subdivisions shall only be used for activities that— 
(1) develop or implement federally approved Re-
gional Ocean Strategic Plans, and 
(2) are consistent with the national standards 
set forth in section 101(b). 
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120 
(c) SUBMISSION OF SPENDING PLAN.—Each coastal 
State seeking funding under this title shall submit annu-
ally to the Administrator a spending plan for funds pro-
vided under this title. In addition to such other require-
ments as the Administrator by regulation shall prescribe, 
each State spending plan shall include— 
(1) The name of the State agency that will have 
the authority to represent and act for the State in 
dealing with the Administrator for purposes of this 
title. 
(2) A description of how funds provided under 
this title will be used to meet the State’s responsibil-
ities to develop and implement the applicable Re-
gional Ocean Strategic Plan. 
(3) A description of how the funds provided 
under this title will be used by coastal political sub-
divisions to develop and implement the applicable 
Regional Ocean Strategic Plan. 
(4) An analysis of how the funds provided 
under this title to both coastal States and coastal 
political subdivisions will be consistent with the 
standard set forth in subsection 506(b). 
(5) Certification by the Governor of the coastal 
State that all the funds provided under this title to 
coastal political subdivisions will be used to develop 
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and implement a Regional Ocean Strategic Plan in 
a manner that is consistent with the standard set 
forth in subsection 506(b). 
(d) APPROVAL OR DISAPPROVAL.— 
(1) REQUIREMENTS.—A coastal State shall re-
ceive funding under this title if, in consultation with 
the Committee on Ocean Policy, the Adminis-
trator— 
(A) certifies that such coastal State is par-
ticipating actively and sufficiently in the devel-
opment and implementation of a Regional 
Ocean Strategic Plan under title IV; 
(B) approves a spending plan submitted by 
such State that specifies how funds provided 
under this title will be used to meet the State’s 
obligations and responsibilities in developing 
and implementing a Regional Ocean Strategic 
Plan under title IV; and 
(C) ensures any payments under this title 
to coastal States and political subdivisions are 
used to develop and implement an approved Re-
gional Ocean Strategic Plan in a manner that 
is consistent with the standard set forth in sub-
section 506(b). 
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