US Code

Public Law 119-83 (04/13/2026)

42 U.S.C. § 4766

Distribution of grants

(a)

State and local government allocations; equitable distribution

The Office shall allocate 20 per centum of the total amount available for grants under this chapter in such manner as will most nearly provide an equitable distribution of the grants among States and between State and local governments, taking into consideration such factors as the size of the population, number of employees affected, the urgency of the programs or projects, the need for funds to carry out the purposes of this chapter, and the potential of the governmental jurisdictions concerned to use the funds most effectively.

(b)

Weighted formula; minimum allocation; reallocation; “State” defined

(1)
The Office shall allocate 80 per centum of the total amount available for grants under this chapter among the States on a weighted formula taking into consideration such factors as the size of population and the number of State and local government employees affected.
(2)
The amount allocated for each State under paragraph (1) of this subsection shall be further allocated by the Office to meet the needs of both the State government and the local governments within the State on a weighted formula taking into consideration such factors as the number of State and local government employees and the amount of State and local government expenditures. The Office shall determine the categories of employees and expenditures to be included or excluded, as the case may be, in the number of employees and amount of expenditures. The minimum allocation for meeting needs of local governments in each State (other than the District of Columbia, the Commonwealth of Puerto Rico, Guam, American Samoa, and the Virgin Islands) shall be 50 per centum of the amount allocated for the State under paragraph (1) of this subsection.
(3)
The amount of any allocation under paragraph (2) of this subsection which the Office determines, on the basis of information available to it, will not be used to meet needs for which allocated shall be available for use to meet the needs of the State government or local governments in that State, as the case may be, on such date or dates as the Office may fix.
(4)
The amount allocated for any State under paragraph (1) of this subsection which the Office determines, on the basis of information available to it, will not be used shall be available for reallocation by the Office from time to time, on such date or dates as it may fix, among other States with respect to which such a determination has not been made, in accordance with the formula set forth in paragraph (1) of this subsection, but with such amount for any of such other States being reduced to the extent it exceeds the sum the Office estimates said State needs and will be able to use; and the total of such reductions shall be similarly reallocated among the States whose proportionate amounts were not so reduced.
(5)
For the purposes of this subsection, “State” means the several States of the United States, the District of Columbia, the Commonwealth of Puerto Rico, Guam, American Samoa, and the Virgin Islands.
(c)

Payment limitation

Notwithstanding the other provisions of this section, the total of the payments from the appropriations for any fiscal year under this chapter made with respect to programs or projects in any one State may not exceed an amount equal to 12½ per centum of such appropriation.

Pub. L. 91–648, title V, § 50684 Stat. 1927 Pub. L. 95–454, title VI, § 602(e)92 Stat. 1189 92 Stat. 3783 (, , ; , , ; 1978 Reorg. Plan No. 2, § 102, eff. , 43 F.R. 36037, .)

Editorial Notes

References in Text

section 4761 of this titleThis chapter, referred to in subsecs. (a), (b)(1), and (c), means the provisions of subchapters I, II, III, and IV of this chapter. See .

Amendments

Pub. L. 95–4541978—Subsec. (b)(2), (5). inserted references to Commonwealth of Puerto Rico, Guam, American Samoa, and the Virgin Islands.

Statutory Notes and Related Subsidiaries

Effective Date of 1978 Amendment

Pub. L. 95–454section 907 of Pub. L. 95–454section 1101 of Title 5Amendment by effective 90 days after , see , set out as a note under , Government Organization and Employees.

Executive Documents

Transfer of Functions

92 Stat. 3783 section 1101 of Title 5section 1101 of Title 5“Office”, meaning Office of Personnel Management, substituted for “Commission”, meaning Civil Service Commission, in subsecs. (a) and (b), pursuant to Reorg. Plan No. 2 of 1978, § 102, 43 F.R. 36037, , set out under , Government Organization and Employees, which transferred functions vested by statute in Civil Service Commission and Chairman thereof to Director of Office of Personnel Management (except as otherwise specified), effective , as provided by section 1–102 of Ex. Ord. No. 12107, , 44 F.R. 1055, set out under .