((a)) ** .—** The Maritime Administrator may make grants to, and enter into contracts and agreement with, eligible State and Tribal entities and eligible entities for—

((1)) the costs of capital projects to protect, repair, reconstruct, or replace equipment and facilities of the United States maritime transportation system that the Maritime Administrator determines is in danger of suffering serious physical damage, or has suffered serious physical damage, as a result of an emergency; and

((2)) eligible operating costs of United States maritime transportation equipment and facilities in an area directly affected by an emergency during—

((A)) the one-year period beginning on the date of a declaration of an emergency referred to in subparagraph (A) or (B) of subsection (j)(4); and

((B)) an additional one-year period beginning one year after the date of an emergency referred to in subparagraph (A) or (B) of subsection (j)(4), if the Maritime Administrator, in consultation with the Administrator of the Federal Emergency Management Agency, determines there is a compelling need arising out of the emergency for which the declaration is made.

((b))

((1)) ** .—** The Maritime Administrator shall determine an appropriate method for the equitable allocation and distribution of funds under this section to eligible State and Tribal entities and eligible entities.

((2)) ** .—** To the extent practicable, in allocating and distributing funds under this section, the Maritime Administrator shall give priority to applications submitted by eligible State or Tribal entities.

((c)) ** .—** An applicant for assistance under this section shall submit an application for such assistance to the Maritime Administrator at such time, in such manner, and containing such information and assurances as the Maritime Administrator may require.

((d))

((1)) ** .—** Funds appropriated to carry out this section shall be in addition to any other funds available under this chapter.

((2)) ** .—** The provision of funds under this section shall not affect the ability of any other agency of the Government, including the Federal Emergency Management Agency, or a State agency, a local governmental entity, organization, or person, to provide any other funds otherwise authorized by law.

((e)) ** .—** A grant awarded under this section that is made to address an emergency referred to in subsection (j)(4)(B) shall be—

((1)) subject to the terms and conditions the Maritime Administrator determines are necessary;

((2)) made only for expenses that are not reimbursed under the Robert T. Stafford Disaster Relief and Emergency Assistance Act ( et seq.) or any Federal, State, or local assistance program; and

((3)) made only for expenses that are not reimbursed under any type of marine insurance.

((f)) ** .—** The Federal share payable of the costs for which a grant is made under this section shall be 100 percent.

((g)) ** .—** Of the amounts available to carry out this section, not more than two percent may be used for administration of this section.

((h)) ** .—** The Maritime Administrator shall institute adequate policies, procedures, and internal controls to prevent waste, fraud, abuse, and program mismanagement for the distribution of funds under this section.

((i)) ** .—** On an annual basis, the Maritime Administrator shall submit to the Committee on Commerce, Science, and Transportation of the Senate and the Committee on Transportation and Infrastructure of the House of Representatives a report on the financial assistance provided under this section during the year covered by the report. Each such report shall include, for such year, a description of such assistance provided and of how such assistance—

((1)) affected the United States maritime transportation system;

((2)) mitigated the financial impact of the emergency on the recipient of the assistance; and

((3)) protected critical infrastructure in the United States.

((j)) ** .—** In this section:

((1)) ** .—** The term “eligible State or Tribal entity” means—

((A)) a port authority; or

((B)) a vessel owned and operated by a State or Tribal government and facilities associated with the operation of such vessel.

((2)) ** .—** The term “eligible entity” means a public or private entity that is created or organized in the United States or under the laws of the United States, with significant operations in and a majority of its employees based in the United States, that is engaged in—

((A)) vessel construction, transportation by water, or support activities for transportation by water with an assigned North American Industry Classification System code beginning with 3366, 483, 4883, or 6113, or in the case of such construction, transportation, or support activities conducted by a fish processing vessel, such an assigned code beginning with 3117; or

((B)) as determined by the Secretary of Transportation—

((i)) construction or water transportation related to activities described in subparagraph (A); or

((ii)) maritime education and training.

((3)) ** .—** The term “eligible operating costs” means costs relating to—

((A)) emergency response;

((B)) cleaning;

((C)) sanitization;

((D)) janitorial services;

((E)) staffing;

((F)) workforce retention;

((G)) paid leave;

((H)) procurement and use of protective health equipment, testing, and training for employees and contractors;

((I)) debt service payments;

((J)) infrastructure repair projects;

((K)) fuel; and

((L)) other maritime transportation system operations, as determined by the Secretary of Transportation;

((4)) ** .—** The term “emergency” means a natural disaster affecting a wide area (such as a flood, hurricane, tidal wave, earthquake, severe storm, or landslide) or a catastrophic failure from any external cause, that impacts the United States maritime transportation system and as a result of which—

((A)) the Governor of a State has declared an emergency and the Maritime Administrator, in consultation with the Administrator of the Federal Emergency Management Agency, has concurred in the declaration;

((B)) the President has declared a major disaster under section 401 of the Robert T. Stafford Disaster Relief and Emergency Assistance Act ();

((C)) national emergency declared by the President under the National Emergencies Act ( et seq.) is in effect; or

((D)) a public health emergency declared pursuant to section 319 of the Public Health Service Act () is in effect.