127 
be necessary. Such rules shall be in addition to other re-
quirements established regarding recordkeeping and the 
auditing of such expenditures under other authority of 
law. 
SEC. 804. MAINTENANCE OF EFFORT AND MATCHING FUND-
ING. 
(a) IN GENERAL.—It is the intent of the Congress 
in this Act that States not use this Act as an opportunity 
to reduce State or local resources for the programs funded 
by this Act. Except as provided in subsection (b), no State 
or local government shall receive any funds under this Act 
during any fiscal year in which its expenditures of non- 
Federal funds for recurrent expenditures for programs for 
which funding is provided under this Act will be less than 
its expenditures were for such programs during the pre-
ceding fiscal year. No State or local government shall re-
ceive funding under this Act with respect to a program 
unless the Administrator is satisfied that such a grant will 
be so used to supplement and, to the extent practicable, 
increase the level of State, local, or other non-Federal 
funds available for such program. 
(b) EXCEPTION.—The Administrator may provide 
funding under this Act to a State or local government not 
meeting the requirements of subsection (a) if the Adminis-
trator determines that a reduction in expenditures—
128 
(1) is attributable to a nonselective reduction in 
expenditures for the programs of all executive 
branch agencies of the State or local government; or 
(2) is a result of reductions in State or local 
revenue as a result of a downturn in the economy. 
(c) USE OF FUND TO MEET MATCHING REQUIRE-
MENTS.—All funds received by a State or local govern-
ment under this Act shall be treated as Federal funds for 
purposes of compliance with any provision in effect under 
any other law requiring that non-Federal funds be used 
to provide a portion of the funding for any program or 
project. 
SEC. 805. COMMUNITY ASSISTANCE FORMULA AND PAY-
MENTS. 
(a) 
CONSERVATION
PAYMENTS
TO
COASTAL 
STATES.— 
(1) GRANT PROGRAM.—Amounts transferred to 
the Administrator from the Fund under section 
801(b)(1) for purposes of making payments to coast-
al States under this title in any fiscal year shall be 
allocated by the Administrator among coastal States 
as provided in this section each such fiscal year. In 
each such fiscal year, the Administrator shall, with-
out further appropriation, disburse such allocated 
funds to those coastal States for which the Adminis-
129 
trator has approved a spending plan under section 
806 and that have met all other requirements of this 
title. Payments for all projects shall be made by the 
Administrator to the Governor of the State or to the 
State official or agency designated by the Governor 
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 ECOSYSTEM 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-
130 
menting a Regional Ocean Ecosystem Plan under 
title IV before the end of the fiscal year in which 
such grant is allocated, except that the Adminis-
trator shall hold in escrow until the final resolution 
of the appeal any amount allocated, but not dis-
bursed, to a coastal State that has appealed the dis-
approval 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 801(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-