unit of State or local government or nongovernmental 
organization, if the coastal State is ultimately respon-
sible for ensuring that the property will be managed 
in a manner that is consistent with the purposes for 
which the land entered into the program. 
‘‘(3) A coastal State or a qualified holder des-
ignated by a coastal State may allocate to a unit of 
local government, nongovernmental organization, fish-
ing cooperative, or other entity, a portion of any 
grant made under this section for the purpose of car-
rying out this section, except that such an allocation 
shall not relieve the coastal State of the responsibility 
for ensuring that any funds so allocated are applied 
in furtherance of the coastal State’s approved working 
waterfront plan. 
‘‘(4) A qualified holder may hold title to or in-
terest in property acquired under this section, except 
that— 
‘‘(A) all persons holding title to or interest 
in working waterfront affected by a grant under 
this section, including a qualified holder, private 
citizen, private business, nonprofit organization, 
fishing cooperative, or other entity, shall enter 
into a working waterfront covenant; 
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‘‘(B) such covenant shall be held by the 
coastal State or a qualified holder designated 
under paragraph (2); 
‘‘(C) if the coastal State determines, on the 
record after an opportunity for a hearing, that 
the working waterfront covenant has been vio-
lated— 
‘‘(i) all right, title, and interest in and 
to the working waterfront covered by such 
covenant shall, except as provided in sub-
paragraph (D), revert to the coastal State; 
and 
‘‘(ii) the coastal State shall have the 
right of immediate entry onto the working 
waterfront; 
‘‘(D) if a coastal State makes a determina-
tion under subparagraph (C), the coastal State 
may convey or authorize the qualified holder to 
convey the working waterfront or interest in 
working waterfront to another qualified holder; 
and 
‘‘(E) nothing in this subsection waives any 
legal requirement under any Federal or State 
law. 
‘‘(h) MATCHING CONTRIBUTIONS.— 
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‘‘(1) Except as provided in paragraph (2), the 
Secretary shall require that each coastal State that re-
ceives a grant under this section, or a qualified holder 
designated by that coastal State under subsection (g), 
shall provide matching funds in an amount equal to 
at least 25 percent of the total cost of the project car-
ried out with the grant. 
‘‘(2) The Secretary may waive the application of 
paragraph (1) for any qualified holder that is an un-
derserved community, a community that has an in-
ability to draw on other sources of funding because of 
the small population or low income of the community, 
or for other reasons the Secretary considers appro-
priate. 
‘‘(3) A local community designated as a quali-
fied holder under subsection (g) may utilize funds or 
other in-kind contributions donated by a nongovern-
mental partner to satisfy the matching funds require-
ment under this subsection. 
‘‘(4) As a condition of receipt of a grant under 
this section, the Secretary shall require that a coastal 
State provide to the Secretary such assurances as the 
Secretary determines are sufficient to demonstrate 
that the share of the cost of each eligible project that 
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is not funded by the grant awarded under this section 
has been secured. 
‘‘(5) If financial assistance under this section 
represents only a portion of the total cost of a project, 
funding from other Federal sources may be applied to 
the cost of the project. Each portion shall be subject 
to match requirements under the applicable provision 
of law. 
‘‘(6) The Secretary shall treat as non-Federal 
match the value of a working waterfront or interest 
in a working waterfront, including conservation and 
other easements, that is held in perpetuity by a quali-
fied holder, if the working waterfront or interest is 
identified in the application for the grant and ac-
quired by the qualified holder within 3 years of the 
grant award date, or within 3 years after the submis-
sion of the application and before the end of the grant 
award period. Such value shall be determined by an 
appraisal performed at such time before the award of 
the grant as the Secretary considers appropriate. 
‘‘(7) The Secretary shall treat as non-Federal 
match the costs associated with acquisition of a work-
ing waterfront or an interest in a working waterfront, 
and the costs of restoration, enhancement, or other 
improvement to a working waterfront, if the activities 
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are identified in the project application and the costs 
are incurred within the period of the grant award, or, 
for working waterfront described in paragraph (6), 
within the same time limits described in that para-
graph. These costs may include either cash or in-kind 
contributions. 
‘‘(i) LIMIT
ON ADMINISTRATIVE COSTS.—No more 
than 5 percent of the funds made available to the Secretary 
under this section may be used by the Secretary for plan-
ning or administration of the program under this section. 
‘‘(j) OTHER TECHNICAL
AND FINANCIAL ASSIST-
ANCE.— 
‘‘(1) Up to 5 percent of the funds appropriated 
under this section may be used by the Secretary for 
purposes of providing technical assistance as de-
scribed in this subsection. 
‘‘(2) The Secretary shall— 
‘‘(A) provide technical assistance to coastal 
States and local governments in identifying and 
obtaining other sources of available Federal tech-
nical and financial assistance for the develop-
ment and revision of a working waterfront plan 
and the implementation of an approved working 
waterfront plan; 
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‘‘(B) provide technical assistance to States 
and local governments for the development, im-
plementation, and revision of comprehensive 
working waterfront plans, which may include, 
subject to the availability of appropriations, 
planning grants and assistance, pilot projects, 
feasibility studies, research, and other projects 
necessary to further the purposes of this section; 
‘‘(C) assist States in developing other tools 
to protect working waterfronts; 
‘‘(D) collect and disseminate to States guid-
ance for best storm water management practices 
in regards to working waterfronts; 
‘‘(E) provide technical assistance to States 
and local governments on integrating resilience 
planning into working waterfront preservation 
efforts; and 
‘‘(F) collect and disseminate best practices 
on working waterfronts and resilience planning. 
‘‘(k) REPORTS.— 
‘‘(1) The Secretary shall— 
‘‘(A) develop performance measures to 
evaluate and report on the effectiveness of the 
program under this section in accomplishing the 
purpose of this section; and 
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‘‘(B) submit to Congress a biennial report 
that includes such evaluations, an account of all 
expenditures, and descriptions of all projects car-
ried out using grants awarded under this sec-
tion. 
‘‘(2) The Secretary may submit the biennial re-
port under paragraph (1)(B) by including it in the 
biennial report required under section 316. 
‘‘(l) DEFINITIONS.—In this section: 
‘‘(1) The term ‘qualified holder’ means a coastal 
State or a unit of local or coastal State government 
or a non-State organization designated by a coastal 
State under subsection (g). 
‘‘(2) The term ‘Secretary’ means the Secretary, 
acting through the National Oceanic and Atmospheric 
Administration. 
‘‘(3) The term ‘working waterfront’ means real 
property (including support structures over water 
and other facilities) that provides access to coastal 
waters to persons engaged in commercial and rec-
reational fishing, recreational fishing and boating 
businesses, boatbuilding, aquaculture, or other water- 
dependent, coastal-related business and is used for, or 
that supports, commercial and recreational fishing, 
recreational 
fishing 
and 
boating 
businesses, 
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boatbuilding, aquaculture, or other water-dependent, 
coastal-related business. 
‘‘(4) The term ‘working waterfront covenant’ 
means an agreement in recordable form between the 
owner of working waterfront and one or more quali-
fied holders, that provides such assurances as the Sec-
retary may require that— 
‘‘(A) the title to or interest in the working 
waterfront will be held by a grant recipient or 
qualified holder in perpetuity, except as provided 
in subparagraph (C); 
‘‘(B) the working waterfront will be man-
aged in a manner that is consistent with the 
purposes for which the property is acquired pur-
suant to this section, and the property will not 
be converted to any use that is inconsistent with 
the purpose of this section; 
‘‘(C) if the title to or interest in the working 
waterfront is sold or otherwise exchanged— 
‘‘(i) all working waterfront owners and 
qualified holders involved in such sale or ex-
change shall accede to such agreement; and 
‘‘(ii) funds equal to the fair market 
value of the working waterfront or interest 
in working waterfront shall be paid to the 
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Secretary by parties to the sale or exchange, 
and such funds shall, at the discretion of the 
Secretary, be paid to the coastal State in 
which the working waterfront is located for 
use in the implementation of the working 
waterfront plan of the State approved by 
the Secretary under this section; and 
‘‘(D) such covenant is subject to enforcement 
and oversight by the coastal State or by another 
person as determined appropriate by the Sec-
retary. 
‘‘(m) AUTHORIZATION OF APPROPRIATIONS.—There is 
authorized to be appropriated to the Grant Program 
$12,000,000.’’. 
SEC. 3. WORKING WATERFRONTS PRESERVATION FUND; 
GRANTS. 
The Coastal Zone Management Act of 1972 (16 U.S.C. 
1451 et seq.) is further amended by adding at the end the 
following: 
‘‘SEC. 321. WORKING WATERFRONTS PRESERVATION LOAN 
FUND. 
‘‘(a) FUND.—There is established in the Treasury a 
separate account that shall be known as the ‘Working Wa-
terfronts Preservation Loan Fund’ (in this section referred 
to as the ‘Fund’). 
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‘‘(b) USE.— 
‘‘(1) Subject to the availability of appropria-
tions, amounts in the Fund may be used by the Sec-
retary to make loans to coastal States for the purpose 
of implementing a working waterfront plan approved 
by the Secretary under section 320(c) through preser-
vation, improvement, restoration, rehabilitation, ac-
quisition of working waterfront properties under cri-
teria established by the Secretary. 
‘‘(2) Upon enactment of this section, the Sec-
retary of Commerce shall conduct a feasibility study 
on the administration of the development and man-
agement of a Working Waterfronts Preservation Loan 
Fund. 
‘‘(3) Upon the completion of the study under 
paragraph (2), the Secretary shall establish a fund in 
accordance with the results of that study, and estab-
lish such criteria as referenced in subsection (c) in 
consultation with States that have a management 
program approved by the Secretary of Commerce pur-
suant to section 306 and local government coastal 
management programs. 
‘‘(c) AWARD CRITERIA.—The Secretary shall award 
loans under this section through a regionally equitable, 
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competitive funding process, and in accordance with the fol-
lowing: 
‘‘(1) The Governor, or the lead agency designated 
by the Governor for coordinating the implementation 
of this section, where appropriate in consultation 
with the appropriate local government, shall deter-
mine that an application for a loan is consistent with 
the State’s approved coastal zone plan, program, and 
policies prior to submission to the Secretary. 
‘‘(2) In developing guidelines under this section, 
the Secretary shall consult with coastal States, other 
Federal agencies, and other interested stakeholders 
with expertise in working waterfront planning. 
‘‘(3) Coastal States may allocate amounts loaned 
under this section to local governments, agencies, or 
nongovernmental organizations eligible for loans 
under this section. 
‘‘(4) In awarding a loan for activities in a 
coastal State, the Secretary shall consider— 
‘‘(A) the economic and cultural significance 
of working waterfront to the coastal State; 
‘‘(B) the demonstrated working waterfront 
needs of the coastal State as outlined by a work-
ing waterfront plan approved for the coastal 
State under section 320(c), and the value of the 
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proposed loan for the implementation of such 
plan; 
‘‘(C) the ability to successfully leverage loan 
funds among participating entities, including 
Federal programs, regional organizations, State 
and other government units, landowners, cor-
porations, or private organizations; 
‘‘(D) the potential for rapid turnover in the 
ownership of working waterfront in the coastal 
State, and where applicable the need for coastal 
States to respond quickly when properties in ex-
isting or potential working waterfront areas or 
public access areas as identified in the working 
waterfront plan submitted by the coastal State 
come under threat or become available; 
‘‘(E) the impact of the loan on the coastal 
ecosystem and the users of the coastal ecosystem; 
and 
‘‘(F) the extent of the historic connection be-
tween working waterfronts for which the loan 
will be used and the local communities within 
the coastal State. 
‘‘(d) LOAN AMOUNT AND TERMS.— 
‘‘(1) The amount of a loan under this section— 
‘‘(A) shall be not less than $100,000; and 
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‘‘(B) shall not exceed 15 percent of the 
amount in the Fund as of July 1 of the fiscal 
year in which the loan is made. 
‘‘(2) The interest rate for a loan under this sec-
tion shall not exceed 4 percent. 
‘‘(3) The repayment term for a loan under this 
section shall not exceed 20 years. 
‘‘(e) DEADLINE FOR APPROVAL.—The Secretary shall 
approve or reject an application for a loan under this sec-
tion within 60 days after receiving an application for the 
loan. 
‘‘(f) LIMIT
ON ADMINISTRATIVE COSTS.—No more 
than 5 percent of the funds made available to the Secretary 
under this section may be used by the Secretary for plan-
ning or administration of the program under this section. 
‘‘(g) DEFINITIONS.—The definitions in section 320(l) 
shall apply to this section. 
‘‘(h) AUTHORIZATION OF APPROPRIATIONS.—There is 
authorized to be appropriated to the Fund $12,000,000.’’. 
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