(a) Assistance authorized
The Secretary, subject to the availability of appropriations, may provide, to any State to which an obsolete ship is transferred under this chapter, financial assistance to prepare the ship for use as an artificial reef, including for—

(1) environmental remediation;

(2) towing; and

(3) sinking.

(b) Amount of assistance
The Secretary shall determine the amount of assistance under this section with respect to an obsolete ship based on—

(1) the total amount available for providing assistance under this section;

(2) the benefit achieved by providing assistance for that ship; and

(3) the cost effectiveness of disposing of the ship by transfer under this chapter and provision of assistance under this section, compared to other disposal options for that ship.

(c) Terms and conditions
The Secretary—

(1) shall require a State seeking assistance under this section to provide cost data and other information determined by the Secretary to be necessary to justify and document the assistance; and

(2) may require a State receiving such assistance to comply with terms and conditions necessary to protect the environment and the interests of the United States.

(d) Limitation
The Secretary may not provide assistance under this section to a foreign country to which an obsolete ship is transferred under this chapter.