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(5) based on satisfaction of the conditions stated in paragraphs (1), 
(2), (3), and (4), the Secretary approves the plan. 
§ 302703. Apportionment of grant funds 
In consultation with interested Indian tribes, other Native American orga-
nizations, and affected State Historic Preservation Officers, the Secretary 
shall establish and implement procedures for carrying out section 
302902(c)(1)(A) of this title with respect to tribal programs that assume 
responsibilities under section 302702 of this title. 
§ 302704. Contracts and cooperative agreements 
At the request of an Indian tribe whose preservation program has been 
approved to assume functions and responsibilities pursuant to section 
302702 of this title, the Secretary shall enter into a contract or cooperative 
agreement with the Indian tribe permitting the assumption by the Indian 
tribe of any part of the responsibilities described in section 302304(b) of 
this title on tribal land, if— 
(1) the Secretary and the Indian tribe agree on additional financial 
assistance, if any, to the Indian tribe for the costs of carrying out those 
authorities; 
(2) the Secretary finds that the tribal historic preservation program 
has been demonstrated to be sufficient to carry out the contract or co-
operative agreement and this division; and 
(3) the contract or cooperative agreement specifies the continuing re-
sponsibilities of the Secretary or of the appropriate State Historic Pres-
ervation Officers and provides for appropriate participation by— 
(A) the Indian tribe’s traditional cultural authorities; 
(B) representatives of other Indian tribes whose traditional land 
is under the jurisdiction of the Indian tribe assuming responsibil-
ities; and 
(C) the interested public. 
§ 302705. Agreement for review under tribal historic preser-
vation regulations 
The Council may enter into an agreement with an Indian tribe to permit 
undertakings on tribal land to be reviewed under tribal historic preservation 
regulations in place of review under regulations promulgated by the Council 
to govern compliance with section 306108 of this title, if the Council, after 
consultation with the Indian tribe and appropriate State Historic Preserva-
tion Officers, determines that the tribal preservation regulations will afford 
historic property consideration equivalent to that afforded by the Council’s 
regulations. 
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§ 302706. Eligibility for inclusion on National Register 
(a) IN GENERAL.—Property of traditional religious and cultural impor-
tance to an Indian tribe or Native Hawaiian organization may be deter-
mined to be eligible for inclusion on the National Register. 
(b) CONSULTATION.—In carrying out its responsibilities under section 
306108 of this title, a Federal agency shall consult with any Indian tribe 
or Native Hawaiian organization that attaches religious and cultural signifi-
cance to property described in subsection (a). 
(c) HAWAII.—In carrying out responsibilities under section 302303 of 
this title, the State Historic Preservation Officer for Hawaii shall— 
(1) consult with Native Hawaiian organizations in assessing the cul-
tural significance of any property in determining whether to nominate 
the property to the National Register; 
(2) consult with Native Hawaiian organizations in developing the 
cultural component of a preservation program or plan for the property; 
and 
(3) enter into a memorandum of understanding or agreement with 
Native Hawaiian organizations for the assessment of the cultural sig-
nificance of a property in determining whether to nominate the prop-
erty to the National Register and to carry out the cultural component 
of the preservation program or plan. 
Chapter 3029—Grants 
Sec. 
302901.
Awarding of grants and availability of grant funds. 
302902.
Grants to States. 
302903.
Grants to National Trust. 
302904.
Direct grants for the preservation of properties included on National Register. 
302905.
Religious property. 
302906.
Grants and loans to Indian tribes and nonprofit organizations representing ethnic 
or minority groups. 
302907.
Grants to Indian tribes and Native Hawaiian organizations. 
302908.
Grants to the Federated States of Micronesia, the Republic of the Marshall Islands, 
and the Republic of Palau. 
302909.
Prohibited use of grant amounts. 
302910.
Recordkeeping. 
§ 302901. Awarding of grants and availability of grant funds 
(a) IN GENERAL.—No grant may be made under this division unless ap-
plication for the grant is submitted to the Secretary in accordance with reg-
ulations and procedures prescribed by the Secretary. 
(b) GRANT NOT TREATED AS TAXABLE INCOME.—No grant made pursu-
ant to this division shall be treated as taxable income for purposes of the 
Internal Revenue Code of 1986 (26 U.S.C. 1 et seq). 
(c) AVAILABILITY.—The Secretary shall make funding available to indi-
vidual States and the National Trust as soon as practicable after execution 
of a grant agreement. For purposes of administration, grants to individual 
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States and the National Trust each shall be deemed to be one grant and 
shall be administered by the Service as one grant. 
§ 302902. Grants to States 
(a) IN GENERAL.—The Secretary shall administer a program of matching 
grants to the States for the purposes of carrying out this division. 
(b) CONDITIONS.— 
(1) In general.—No grant may be made under this division— 
(A) unless the application is in accordance with the comprehen-
sive statewide historic preservation plan that has been approved by 
the Secretary after considering its relationship to the comprehen-
sive statewide outdoor recreation plan prepared pursuant to chap-
ter 2003 of this title; 
(B) unless the grantee has agreed to make reports, in such form 
and containing such information, as the Secretary may from time 
to time require; 
(C) unless the grantee has agreed to assume, after completion 
of the project, the total cost of the continued maintenance, repair, 
and administration of the property in a manner satisfactory to the 
Secretary; or 
(D) until the grantee has complied with such further terms and 
conditions as the Secretary may consider necessary or advisable. 
(2) WAIVER.—The Secretary may waive the requirements of sub-
paragraphs (A) and (C) of paragraph (1) for any grant under this divi-
sion to the National Trust. 
(3) AMOUNT LIMITATION.— 
(A) IN GENERAL.—No grant may be made under this division 
for more than 60 percent of the aggregate costs of carrying out 
projects and programs under the administrative control of the 
State Historic Preservation Officer as specified in section 302303 
of this title in any one fiscal year. 
(B) SOURCE OF STATE SHARE OF COSTS.—Except as permitted 
by other law, the State share of the costs referred to in subpara-
graph (A) shall be contributed by non-Federal sources. 
(4) RESTRICTION ON USE OF REAL PROPERTY TO MEET NON-FED-
ERAL SHARE OF COST OF PROJECT.—No State shall be permitted to 
utilize the value of real property obtained before October 15, 1966, in 
meeting the non-Federal share of the cost of a project for which a 
grant is made under this division. 
(c) APPORTIONMENT OF GRANT AMOUNTS 
(1) BASES FOR APPORTIONMENT.—The amounts appropriated and 
made available for grants to the States— 
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(A) for the purposes of this division shall be apportioned among 
the States by the Secretary on the basis of needs as determined 
by the Secretary; and 
(B) for projects and programs under this division for each fiscal 
year shall be apportioned among the States as the Secretary deter-
mines to be appropriate. 
(2) NOTIFICATION.—The Secretary shall notify each State of its ap-
portionment under paragraph (1)(B) within 30 days after the date of 
enactment of legislation appropriating funds under this division. 
(3) REAPPORTIONMENT.—Any amount of any apportionment that 
has not been paid or obligated by the Secretary during the fiscal year 
in which the notification is given or during the 2 fiscal years after that 
fiscal year shall be reapportioned by the Secretary in accordance with 
paragraph (1)(B). The Secretary shall analyze and revise as necessary 
the method of apportionment. The method and any revision shall be 
published by the Secretary in the Federal Register. 
(4) TRANSFER OF FUNDS TO CERTIFIED LOCAL GOVERNMENTS.— 
Not less than 10 percent of the annual apportionment distributed by 
the Secretary to each State for the purposes of carrying out this divi-
sion shall be transferred by the State, pursuant to the requirements of 
this division, to certified local governments for historic preservation 
projects or programs of the certified local governments. In any year in 
which the total annual apportionment to the States exceeds 
$65,000,000, 50 percent of the excess shall also be transferred by the 
States to certified local governments. 
(5) GUIDELINES FOR USE AND DISTRIBUTION OF FUNDS TO CER-
TIFIED LOCAL GOVERNMENTS.—The Secretary shall establish guide-
lines for the use and distribution of funds under paragraph (4) to en-
sure that no certified local government receives a disproportionate 
share of the funds available, and may include a maximum or minimum 
limitation on the amount of funds distributed to any single certified 
local government. The guidelines shall not limit the ability of any State 
to distribute more than 10 percent of its annual apportionment under 
paragraph (4), nor shall the Secretary require any State to exceed the 
10 percent minimum distribution to certified local governments. 
(d) ADMINISTRATIVE COSTS.—The total direct and indirect administra-
tive costs charged for carrying out State projects and programs shall not 
exceed 25 percent of the aggregate costs (except in the case of a grant to 
theFederated States of Micronesia, the Republic of the Marshall Islands, or 
the Republic of Palau). 
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