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(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 1101(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 
pay 50 percent of the State’s allocable share, as deter-
mined under subsection (b), to the coastal political sub-
divisions in such State. Such payments shall be allocated 
among such coastal political subdivisions of the State ac-
cording to an allocation formula that is based on the coast-
al population density of each coastal political subdivision. 
(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.
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SEC. 1107. APPROVAL OF STATE FUNDING AND SPENDING 
PLANS. 
(a) DEVELOPMENT AND SUBMISSION OF REGIONAL 
OCEAN ECOSYSTEM PLANS.—Each coastal State seeking 
to receive grants under this title shall participate in the 
development and implementation of Regional Ocean Eco-
system Plans required under title VII. 
(b) 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. Such spending plan shall describe 
how the funds provided under this title will be used by 
the State to implement the State’s responsibilities and ob-
ligations in developing and implementing a Regional 
Ocean Ecosystem Plan. 
(c) APPROVAL OR DISAPPROVAL.—
(1) REQUIREMENTS.—A coastal State shall re-
ceive funding under this title if, in consultation with 
the National Oceans Council, the Administrator—
(A) certifies that such coastal State is par-
ticipating actively and sufficiently in the devel-
opment and implementation of a Regional 
Ocean Ecosystem Plan under title VII; 
(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
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obligations and responsibilities in developing 
and implementing a Regional Ocean Ecosystem 
Plan under title VII; and 
(C) ensures any payments under this sub-
section to political subdivisions are consistent 
under title VII. 
(2) CONTENTS OF PLANS.—In addition to such 
other requirements as the Administrator by regula-
tion shall prescribe, each State spending plan shall 
include the following: 
(A) The name of the State agency that will 
have the authority to represent and act for the 
State in dealing with the Administrator for pur-
poses of this title. 
(B) A description of how funds provided 
under this title will be used to meet the State’s 
responsibilities to develop and implement the 
applicable Regional Ocean Ecosystem Plan. 
(C) A description of how the State will 
evaluate the effectiveness of its efforts to imple-
ment a Regional Ocean Ecosystem Plan. 
(D) Certification by the Governor of the 
State that ample opportunity has been accorded 
for public participation in the development and 
revision of the plan.
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(E) Measures for taking into account other 
relevant Federal resources and programs. 
(3) PROCEDURE AND TIMING; REVISIONS.—The 
Administrator shall approve or disapprove each 
spending plan submitted in accordance with this sec-
tion. If a State first submits a plan by not later 
than 90 days before the beginning of the first fiscal 
year to which the plan applies, the Administrator 
shall approve or disapprove the plan by not later 
than 30 days before the beginning of that fiscal 
year. 
(4) AMENDMENT OR REVISION.—Any amend-
ment to or revision of the plan shall be prepared in 
accordance with the requirements of this subsection 
and shall be submitted to the Administrator for ap-
proval or disapproval. Any such amendment or revi-
sion shall take effect only for fiscal years after the 
fiscal year in which the amendment or revision is ap-
proved by the Administrator. 
(5) PUBLIC
COMMENT.—Before approving or 
disapproving a spending plan of a State, amend-
ment, or revision to a plan, the Administrator shall 
provide for public comment on the State’s proposed 
expenditures for the forthcoming year.
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