-CITE-

31 USC CHAPTER 67 - FEDERAL PAYMENTS 01/06/03

-EXPCITE-

TITLE 31 - MONEY AND FINANCE

SUBTITLE V - GENERAL ASSISTANCE ADMINISTRATION

CHAPTER 67 - FEDERAL PAYMENTS

-HEAD-

CHAPTER 67 - FEDERAL PAYMENTS

-MISC1-

Sec.

6701. Payments to local governments.

6702. Local Government Fiscal Assistance Fund.

6703. Qualification for payment.

6704. State area allocations; allocations and payments to

territorial governments.

6705. Local government allocations.

6706. Income gap multiplier.

6707. State variation of local government allocations.

6708. Adjustments of local government allocations.

6709. Information used in allocation formulas.

6710. Public participation.

6711. Prohibited discrimination.

6712. Discrimination proceedings.

6713. Suspension and termination of payments in

discrimination proceedings.

6714. Compliance agreements.

6715. Enforcement by the Attorney General of prohibitions on

discrimination.

6716. Civil action by a person adversely affected.

6717. Judicial review.

6718. Investigations and reviews.

6719. Reports.

6720. Definitions, application, and administration.

PRIOR PROVISIONS

A prior chapter 67, consisting of sections 6701 to 6724, related

to revenue sharing, prior to repeal by Pub. L. 99-272, title XIV,

Sec. 14001(a)(1), (e), Apr. 7, 1986, 100 Stat. 327, 329, eff. Oct.

18, 1986.

-SECREF-

CHAPTER REFERRED TO IN OTHER SECTIONS

This chapter is referred to in title 42 section 14214.

-End-

-CITE-

31 USC Sec. 6701 01/06/03

-EXPCITE-

TITLE 31 - MONEY AND FINANCE

SUBTITLE V - GENERAL ASSISTANCE ADMINISTRATION

CHAPTER 67 - FEDERAL PAYMENTS

-HEAD-

Sec. 6701. Payments to local governments

-STATUTE-

(a) Payment and Use. -

(1) Payment. - The Secretary shall pay to each unit of general

local government which qualifies for a payment under this chapter

an amount equal to the sum of any amounts allocated to the

government under this chapter for each payment period. The

Secretary shall pay such amount out of the Local Government

Fiscal Assistance Fund under section 6702.

(2) Use. - Amounts paid to a unit of general local government

under this section shall be used by that unit for carrying out

one or more programs of the unit related to -

(A) education to prevent crime;

(B) substance abuse treatment to prevent crime; or

(C) job programs to prevent crime.

(3) Coordination. - Programs funded under this title shall be

coordinated with other existing Federal programs to meet the

overall needs of communities that benefit from funds received

under this section.

(b) Timing of Payments. - The Secretary shall pay each amount

allocated under this chapter to a unit of general local government

for a payment period by the later of 90 days after the date the

amount is available or the first day of the payment period provided

that the unit of general local government has provided the

Secretary with the assurances required by section 6703(d).

(c) Adjustments. -

(1) In general. - Subject to paragraph (2), the Secretary shall

adjust a payment under this chapter to a unit of general local

government to the extent that a prior payment to the government

was more or less than the amount required to be paid.

(2) Considerations. - The Secretary may increase or decrease

under this subsection a payment to a unit of local government

only if the Secretary determines the need for the increase or

decrease, or the unit requests the increase or decrease, within

one year after the end of the payment period for which the

payment was made.

(d) Reservation for Adjustments. - The Secretary may reserve a

percentage of not more than 2 percent of the amount under this

section for a payment period for all units of general local

government in a State if the Secretary considers the reserve is

necessary to ensure the availability of sufficient amounts to pay

adjustments after the final allocation of amounts among the units

of general local government in the State.

(e) Repayment of Unexpended Amounts. -

(1) Repayment required. - A unit of general local government

shall repay to the Secretary, by not later than 15 months after

receipt from the Secretary, any amount that is -

(A) paid to the unit from amounts appropriated under the

authority of this section; and

(B) not expended by the unit within one year after receipt

from the Secretary.

(2) Penalty for failure to repay. - If the amount required to

be repaid is not repaid, the Secretary shall reduce payments in

future payment periods accordingly.

(3) Deposit of amounts repaid. - Amounts received by the

Secretary as repayments under this subsection shall be deposited

in the Local Government Fiscal Assistance Fund for future

payments to units of general local government.

(f) Expenditure With Disadvantaged Business Enterprises. -

(1) General rule. - Of amounts paid to a unit of general local

government under this chapter for a payment period, not less than

10 percent of the total combined amounts obligated by the unit

for contracts and subcontracts shall be expended with -

(A) small business concerns controlled by socially and

economically disadvantaged individuals and women;

(B) historically Black colleges and universities and colleges

and universities having a student body in which more than 20

percent of the students are Hispanic Americans or Native

Americans; and

(C) qualified HUBZone small business concerns.

(2) Exception. - Paragraph (1) shall not apply to amounts paid

to a unit of general local government to the extent the unit

determines that the paragraph does not apply through a process

that provides for public participation.

(3) Definitions. - For purposes of this subsection -

(A) the term "small business concern" has the meaning such

term has under section 3 of the Small Business Act;

(B) the term "socially and economically disadvantaged

individuals" has the meaning such term has under section 8(d)

of the Small Business Act and relevant subcontracting

regulations promulgated pursuant to that section; and

(C) the term "qualified HUBZone small business concern" has

the meaning given that term in section 3(p) of the Small

Business Act (15 U.S.C. 632(o) (!1)).

(g) Nonsupplanting Requirement. -

(1) In general. - Funds made available under this chapter to

units of local government shall not be used to supplant State or

local funds, but will be used to increase the amount of funds

that would, in the absence of funds under this chapter, be made

available from State or local sources.

(2) Base level amount. - The total level of funding available

to a unit of local government for accounts serving eligible

purposes under this chapter in the fiscal year immediately

preceding receipt of a grant under this chapter shall be

designated the "base level account" for the fiscal year in which

a grant is received. Grants under this chapter in a given fiscal

year shall be reduced on a dollar for dollar basis to the extent

that a unit of local government reduces its base level account in

that fiscal year.

-SOURCE-

(Added Pub. L. 103-322, title III, Sec. 31001(a), Sept. 13, 1994,

108 Stat. 1859; amended Pub. L. 105-135, title VI, Sec. 604(e)(2),

Dec. 2, 1997, 111 Stat. 2633.)

-REFTEXT-

REFERENCES IN TEXT

Sections 3 and 8(d) of the Small Business Act, referred to in

subsec. (f)(3), are classified to sections 632 and 637(d),

respectively, of Title 15, Commerce and Trade.

-MISC1-

PRIOR PROVISIONS

A prior section 6701, Pub. L. 97-258, Sept. 13, 1982, 96 Stat.

1010; Pub. L. 98-185, Secs. 2, 9(a), Nov. 30, 1983, 97 Stat. 1309,

1311, related to definitions and application of chapter, prior to

repeal by Pub. L. 99-272, title XIV, Sec. 14001(a)(1), (e), Apr. 7,

1986, 100 Stat. 327, 329, eff. Oct. 18, 1986.

AMENDMENTS

1997 - Subsec. (f)(1)(C). Pub. L. 105-135, Sec. 604(e)(2)(A),

added subpar. (C).

Subsec. (f)(3)(C). Pub. L. 105-135, Sec. 604(e)(2)(B), added

subpar. (C).

EFFECTIVE DATE OF 1997 AMENDMENT

Amendment by Pub. L. 105-135 effective Oct. 1, 1997, see section

3 of Pub. L. 105-135, set out as a note under section 631 of Title

15, Commerce and Trade.

REGULATIONS

Section 31001(b) of Pub. L. 103-322 provided that: "Within 90

days of the date of enactment of this Act [Sept. 13, 1994] the

Secretary shall issue regulations, which may be interim

regulations, to implement subsection (a) [enacting this chapter],

modifying the regulations for carrying into effect the Revenue

Sharing Act [former chapter 67 of this title] that were in effect

as of July 1, 1987, and that were published in 31 C.F.R. part 51.

The Secretary need not hold a public hearing before issuing these

regulations."

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 6703, 6705, 6708, 6720 of

this title.

-FOOTNOTE-

(!1) So in original. Probably should be "632(p)".

-End-

-CITE-

31 USC Sec. 6702 01/06/03

-EXPCITE-

TITLE 31 - MONEY AND FINANCE

SUBTITLE V - GENERAL ASSISTANCE ADMINISTRATION

CHAPTER 67 - FEDERAL PAYMENTS

-HEAD-

Sec. 6702. Local Government Fiscal Assistance Fund

-STATUTE-

(a) Administration of Fund. - The Department of the Treasury has

a Local Government Fiscal Assistance Fund, which consists of

amounts appropriated to the Fund.

(b) Authorization of Appropriations. - There are authorized to be

appropriated to the Fund -

(1) $270,000,000 for fiscal year 1996;

(2) $283,500,000 for fiscal year 1997;

(3) $355,500,000 for fiscal year 1998;

(4) $355,500,000 for fiscal year 1999; and

(5) $355,500,000 for fiscal year 2000.

Such sums are to remain available until expended.

(c) Administrative Costs. - Up to 2.5 percent of the amount

authorized to be appropriated under subsection (b) is authorized to

be appropriated for the period fiscal year 1995 through fiscal year

2000 to be available for administrative costs by the Secretary in

furtherance of the purposes of the program. Such sums are to remain

available until expended.

-SOURCE-

(Added Pub. L. 103-322, title III, Sec. 31001(a), Sept. 13, 1994,

108 Stat. 1861.)

-MISC1-

PRIOR PROVISIONS

A prior section 6702, Pub. L. 97-258, Sept. 13, 1982, 96 Stat.

1012, related to payments to governments, prior to repeal by Pub.

L. 99-272, title XIV, Sec. 14001(a)(1), (e), Apr. 7, 1986, 100

Stat. 327, 329, eff. Oct. 18, 1986.

DEFICIT NEUTRALITY

Section 31001(c) of title III of Pub. L. 103-322 provided that:

"Any appropriation to carry out the amendment made by this subtitle

[subtitle J (Secs. 31001, 31002) of title III of Pub. L. 103-322,

enacting this chapter] to title 31, United States Code, for fiscal

year 1995 or 1996 shall be offset by cuts elsewhere in

appropriations for that fiscal year."

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 6701, 6704, 6720 of this

title.

-End-

-CITE-

31 USC Sec. 6703 01/06/03

-EXPCITE-

TITLE 31 - MONEY AND FINANCE

SUBTITLE V - GENERAL ASSISTANCE ADMINISTRATION

CHAPTER 67 - FEDERAL PAYMENTS

-HEAD-

Sec. 6703. Qualification for payment

-STATUTE-

(a) In General. - The Secretary shall issue regulations

establishing procedures under which eligible units of general local

government are required to provide notice to the Secretary of the

units' proposed use of assistance under this chapter. Subject to

subsection (c), the assistance provided shall be used, in amounts

determined by the unit, for activities under, or for activities

that are substantially similar to an activity under, 1 or more of

the following programs and the notice shall identify 1 or more of

the following programs for each such use:

(1) The Drug Abuse Resistance Education Program under section

5122 of the Elementary and Secondary Education Act of 1965.

(2) The National Youth Sports Program under section 682 of the

Community Services Block Grant Act (Public Law 97-35) as amended

by section 205, Public Law 103-252.

(3) The Gang Resistance Education and Training Program under

the Act entitled "An Act making appropriations for the Treasury

Department, the United States Postal Service, the Executive

Office of the President, and certain Independent Agencies, for

the fiscal year ending September 30, 1991, and for other

purposes", approved November 5, 1990 (Public Law 101-509).

(4) Programs under title I of the Workforce Investment Act of

1998.

(5) Programs under subtitle C of title I of the National and

Community Service Act of 1990 (42 U.S.C. 12571 et seq.), as

amended.

(6) Programs under the School to Work Opportunities Act (Public

Law 103-239).

(7) Substance Abuse Treatment and Prevention programs

authorized under title V or XIX of the Public Health Services Act

(43 U.S.C. 201 et seq.).(!1)

(8) Programs under the Head Start Act (42 U.S.C. 9831 et seq.).

(9) Programs under part A or B of chapter 1 of title I of the

Elementary and Secondary Education Act of 1965.

(10) The TRIO programs under part A of title IV of the Higher

Education Act of 1965 (20 U.S.C. 1070 et seq.).

(11) Programs under the National Literacy Act of 1991.

(12) Programs under the Carl Perkins Vocational Educational and

Applied Technology Education Act (20 U.S.C. 2301 et seq.).

(13) The demonstration partnership programs including the

community initiative targeted to minority youth under section 203

(!1) of the Human Services Reauthorization Act of 1994 (Public

Law 103-252).

(14) The runaway and homeless youth program and the

transitional living program for homeless youth under title III of

the Juvenile Justice and Delinquency Prevention Act (Public Law

102-586).

(15) After-school activities for school aged children under the

Child Care and Development Block Grant Act (42 U.S.C. 9858 et

seq.).

(16) The community-based family resource programs under section

401 (!1) of the Human Services Reauthorization Act of 1994

(Public Law 103-252).

(17) The family violence programs under the Child Abuse

Prevention and Treatment Act Amendments of 1984.

(18) Job training programs administered by the Department of

Agriculture, the Department of Defense, or the Department of

Housing and Urban Development.

(b) Notice to Agency. - Upon receipt of notice under subsection

(a) from an eligible unit of general local government, the

Secretary shall notify the head of the appropriate Federal agency

for each program listed in subsection (a) that is identified in the

notice as a program under which an activity will be conducted with

assistance under this chapter. The notification shall state that

the unit has elected to use some or all of its assistance under

this chapter for activities under that program. The head of a

Federal agency that receives such a notification shall ensure that

such use is in compliance with the laws and regulations applicable

to that program, except that any requirement to provide matching

funds shall not apply to that use.

(c) Alternative Uses of Funds. -

(1) Alternative uses authorized. - In lieu of, or in addition

to, use for an activity described in subsection (a) and notice

for that use under subsection (a), an eligible unit of general

local government may use assistance under this chapter, and shall

provide notice of that use to the Secretary under subsection (a),

for any other activity that is consistent with 1 or more of the

purposes described in section 6701(a)(2).

(2) Notice deemed to describe consistent use. - Notice by a

unit of general local government that it intends to use

assistance under this chapter for an activity other than an

activity described in subsection (a) is deemed to describe an

activity that is consistent with 1 or more of the purposes

described in section 6701(a)(2) unless the Secretary provides to

the unit, within 30 days after receipt of that notice of intent

from the unit, written notice (including an explanation) that the

use is not consistent with those purposes.

(d) General Requirements for Qualification. - A unit of general

local government qualifies for a payment under this chapter for a

payment period only after establishing to the satisfaction of the

Secretary that -

(1) the government will establish a trust fund in which the

government will deposit all payments received under this chapter;

(2) the government will use amounts in the trust fund

(including interest) during a reasonable period;

(3) the government will expend the payments so received, in

accordance with the laws and procedures that are applicable to

the expenditure of revenues of the government;

(4) if at least 25 percent of the pay of individuals employed

by the government in a public employee occupation is paid out of

the trust fund, individuals in the occupation any part of whose

pay is paid out of the trust fund will receive pay at least equal

to the prevailing rate of pay for individuals employed in similar

public employee occupations by the government;

(5) all laborers and mechanics employed by contractors or

subcontractors in the performance of any contract and subcontract

for the repair, renovation, alteration, or construction,

including painting and decorating, of any building or work that

is financed in whole or in part by a grant under this title,

shall be paid wages not less than those determined by the

Secretary of Labor in accordance with sections 3141-3144, 3146,

and 3147 of title 40. The Secretary of Labor shall have the

authority and functions set forth in Reorganization Plan No. 14

of 1950 (15 FR 3176; 64 Stat. 1267) and section 3145 of title 40;

(6) the government will use accounting, audit, and fiscal

procedures that conform to guidelines which shall be prescribed

by the Secretary. As applicable, amounts received under this

chapter shall be audited in compliance with the Single Audit Act

of 1984;

(7) after reasonable notice to the government, the government

will make available to the Secretary and the Comptroller General

of the United States, with the right to inspect, records the

Secretary reasonably requires to review compliance with this

chapter or the Comptroller General of the United States

reasonably requires to review compliance and operations under

section 6718(b);

(8) the government will make reports the Secretary reasonably

requires, in addition to the annual reports required under

section 6719(b); and

(9) the government will spend the funds only for the purposes

set forth in section 6701(a)(2).

(e) Review by Governors. - A unit of general local government

shall give the chief executive officer of the State in which the

government is located an opportunity for review and comment before

establishing compliance with subsection (d).

(f) Sanctions for Noncompliance. -

(1) In general. - If the Secretary decides that a unit of

general local government has not complied substantially with

subsection (d) or regulations prescribed under subsection (d),

the Secretary shall notify the government. The notice shall state

that if the government does not take corrective action by the

60th day after the date the government receives the notice, the

Secretary will withhold additional payments to the government for

the current payment period and later payment periods until the

Secretary is satisfied that the government -

(A) has taken the appropriate corrective action; and

(B) will comply with subsection (d) and regulations

prescribed under subsection (d).

(2) Notice. - Before giving notice under paragraph (1), the

Secretary shall give the chief executive officer of the unit of

general local government reasonable notice and an opportunity for

comment.

(3) Payment conditions. - The Secretary may make a payment to a

unit of general local government notified under paragraph (1)

only if the Secretary is satisfied that the government -

(A) has taken the appropriate corrective action; and

(B) will comply with subsection (d) and regulations

prescribed under subsection (d).

-SOURCE-

(Added Pub. L. 103-322, title III, Sec. 31001(a), Sept. 13, 1994,

108 Stat. 1861; amended Pub. L. 104-316, title I, Sec. 115(j), Oct.

19, 1996, 110 Stat. 3835; Pub. L. 105-277, div. A, Sec. 101(f)

[title VIII, Sec. 405(c)(3), (d)(27), (f)(19)], Oct. 21, 1998, 112

Stat. 2681-337, 2681-417, 2681-424, 2681-432; Pub. L. 107-217, Sec.

3(h)(8), Aug. 21, 2002, 116 Stat. 1300.)

-REFTEXT-

REFERENCES IN TEXT

The Elementary and Secondary Education Act of 1965, referred to

in subsec. (a)(1), (9), is Pub. L. 89-10, Apr. 11, 1965, 79 Stat.

27, as amended. Parts A and B of chapter 1 of title I of the Act

were classified generally to parts A (Sec. 2711 et seq.) and B

(Sec. 2741 et seq.) of division 1 of subchapter I of chapter 47 of

Title 20, Education, prior to being omitted in the general

amendment of Pub. L. 89-10 by Pub. L. 103-382, title I, Sec. 101,

Oct. 20, 1994, 108 Stat. 3519. See part A (Sec. 6311 et seq.) and

subpart 3 (Sec. 6381 et seq.) of part B of subchapter I of chapter

70 of Title 20. Section 5122 of the Act was classified to section

3192 of Title 20 prior to being omitted in the general amendment of

Pub. L. 89-10 by Pub. L. 103-382. A new section 5122 of the Act,

relating to applications for assistance under educational reform

programs, was added by Pub. L. 107-110 and is classified to section

7213a of Title 20.

Section 682 of the Community Services Block Grant Act, referred

to in subsec. (a)(2), which was classified to section 9910c of

Title 42, The Public Health and Welfare, was omitted in the general

amendment of chapter 106 of Title 42, by Pub. L. 105-285, title II,

Sec. 201, Oct. 27, 1998, 112 Stat. 2728. A new section 682 of the

Act, containing similar subject matter, is classified to section

9923 of Title 42.

Public Law 101-509, referred to in subsec. (a)(3), is Pub. L.

101-509, Nov. 5, 1990, 104 Stat. 1389. For complete classification

of this Act to the Code, see Tables.

The Workforce Investment Act of 1998, referred to in subsec.

(a)(4), is Pub. L. 105-220, Aug. 7, 1998, 112 Stat. 936, as

amended. Title I of the Act is classified principally to chapter 30

(Sec. 2801 et seq.) of Title 29, Labor. For complete classification

of this Act to the Code, see Short Title note set out under section

9201 of Title 20, Education, and Tables.

The National and Community Service Act of 1990, referred to in

subsec. (a)(5), is Pub. L. 101-610, Nov. 16, 1990, 104 Stat. 3127,

as amended. Subtitle C of title I of the Act is classified

generally to division C (Sec. 12571 et seq.) of subchapter I of

chapter 129 of Title 42, The Public Health and Welfare. For

complete classification of this Act to the Code, see Short Title

note set out under section 12501 of Title 42 and Tables.

The School to Work Opportunities Act, referred to in subsec.

(a)(6), probably means the School-to-Work Opportunities Act of

1994, Pub. L. 103-239, May 4, 1994, 108 Stat. 568, which is

classified principally to chapter 69 (Sec. 6101 et seq.) of Title

20, Education. For complete classification of this Act to the Code,

see Short Title note set out under section 6101 of Title 20 and

Tables.

The Public Health Services Act, referred to in subsec. (a)(7),

probably means the Public Health Service Act, act July 1, 1944, ch.

373, 58 Stat. 682, as amended. Titles V and XIX of the Act are

classified generally to subchapters III-A (Sec. 290aa et seq.) and

XVII (Sec. 300w et seq.) of chapter 6A of Title 42, The Public

Health and Welfare. For complete classification of this Act to the

Code, see Short Title note set out under section 201 of Title 42

and Tables.

The Head Start Act, referred to in subsec. (a)(8), is subchapter

B (Secs. 635-657) of chapter 8 of subtitle A of title VI of Pub. L.

97-35, Aug. 13, 1981, 95 Stat. 499, as amended, which is classified

generally to subchapter II (Sec. 9831 et seq.) of chapter 105 of

Title 42. For complete classification of this Act to the Code, see

Short Title note set out under section 9801 of Title 42 and Tables.

The Higher Education Act of 1965, referred to in subsec. (a)(10),

is Pub. L. 89-329, Nov. 8, 1965, 79 Stat. 1219, as amended. Part A

of title IV of the Act is classified generally to part A (Sec. 1070

et seq.) of subchapter IV of chapter 28 of Title 20, Education. For

complete classification of this Act to the Code, see Short Title

note set out under section 1001 of Title 20 and Tables.

The National Literacy Act of 1991, referred to in subsec.

(a)(11), was Pub. L. 102-73, July 25, 1991, 105 Stat. 333, as

amended, which was repealed by Pub. L. 105-220, title II, Sec.

251(a)(2), Aug. 7, 1998, 112 Stat. 1079. For complete

classification of this Act to the Code, see Tables.

The Carl Perkins Vocational Educational and Applied Technology

Education Act, referred to in subsec. (a)(12), probably meant the

Carl D. Perkins Vocational and Applied Technology Education Act,

Pub. L. 88-210, Dec. 18, 1963, 77 Stat. 403, as amended, which was

classified generally to chapter 44 (Sec. 2301 et seq.) of Title 20,

Education, prior to being amended generally and renamed the Carl D.

Perkins Vocational and Technical Education Act of 1998 by Pub. L.

105-332, Sec. 1(b), Oct. 31, 1998, 112 Stat. 3076. For complete

classification of Pub. L. 88-210 to the Code, see Short Title note

set out under section 2301 of Title 20 and Tables.

Sections 203 and 401 of the Human Services Reauthorization Act of

1994 (Public Law 103-252), referred to in subsec. (a)(13), (16),

probably mean sections 203 and 401 of the Human Services Amendments

of 1994, Pub. L. 103-252, May 18, 1994, 108 Stat. 654, 666. Section

203 of Pub. L. 103-252 amended section 9910 of Title 42, The Public

Health and Welfare. Section 401 of Pub. L. 103-252 generally

amended subchapter III (Sec. 5116 et seq.) of chapter 67 of Title

42 and repealed sections 5106a-1 and 12339 of Title 42.

The Juvenile Justice and Delinquency Prevention Act, referred to

in subsec. (a)(14), probably means the Juvenile Justice and

Delinquency Prevention Act of 1974, Pub. L. 93-415, Sept. 7, 1974,

88 Stat. 1109, as amended. Title III of the Act is classified

generally to subchapter III (Sec. 5701 et seq.) of chapter 72 of

Title 42, The Public Health and Welfare. For complete

classification of this Act to the Code, see Short Title note set

out under section 5601 of Title 42 and Tables.

The Child Care and Development Block Grant Act, referred to in

subsec. (a)(15), probably means the Child Care and Development

Block Grant Act of 1990, subchapter C (Sec. 658A et seq.) of

chapter 8 of subtitle A of title VI of Pub. L. 97-35, as added by

Pub. L. 101-508, title V, Sec. 5082(2), Nov. 5, 1990, 104 Stat.

1388-236, as amended, which is classified generally to subchapter

II-B (Sec. 9858 et seq.) of chapter 105 of Title 42, The Public

Health and Welfare. For complete classification of this Act to the

Code, see Short Title note set out under section 9801 of Title 42

and Tables.

The Child Abuse Prevention and Treatment Act Amendments of 1984,

referred to in subsec. (a)(17), probably means the Child Abuse

Amendments of 1984, Pub. L. 98-457, Oct. 9, 1984, 98 Stat. 1749, as

amended. Title III of the Act, relating to family violence

programs, is classified generally to chapter 110 (Sec. 10401 et

seq.) of Title 42, The Public Health and Welfare. For complete

classification of this Act to the Code, see Short Title of 1984

Amendment note set out under section 5101 of Title 42 and Tables.

Reorganization Plan No. 14 of 1950, referred to in subsec.

(d)(5), is set out in the Appendix to Title 5, Government

Organization and Employees.

The Single Audit Act of 1984, referred to in subsec. (d)(6), is

Pub. L. 98-502, Oct. 19, 1984, 98 Stat. 2327, as amended, which is

classified generally to chapter 75 (Sec. 7501 et seq.) of this

title. For complete classification of this Act to the Code, see

Short Title note set out under section 7501 of this title and

Tables.

-MISC1-

PRIOR PROVISIONS

A prior section 6703, Pub. L. 97-258, Sept. 13, 1982, 96 Stat.

1012; Pub. L. 98-185, Sec. 3, Nov. 30, 1983, 97 Stat. 1309, related

to State and Local Government Fiscal Assistance Trust Fund, prior

to repeal by Pub. L. 99-272, title XIV, Sec. 14001(a)(1), (e), Apr.

7, 1986, 100 Stat. 327, 329, eff. Oct. 18, 1986.

AMENDMENTS

2002 - Subsec. (d)(5). Pub. L. 107-217 substituted "sections

3141-3144, 3146, and 3147 of title 40" for "the Act of March 3,

1931 (commonly known as the Davis-Bacon Act); as amended (40 U.S.C.

276a-276a-5)" and "section 3145 of title 40" for "section 2 of the

Act of June 1, 1934 (commonly known as the Copeland Anti-Kickback

Act), as amended (40 U.S.C. 276c, 48 Stat. 948)".

1998 - Subsec. (a)(4). Pub. L. 105-277, Sec. 101(f) [title VIII,

Sec. 405(f)(19)], added par. (4) and struck out former par. (4)

which read as follows: "Programs under title II or IV of the Job

Training Partnership Act or under title I of the Workforce

Investment Act of 1998."

Pub. L. 105-277, Sec. 101(f) [title VIII, Sec. 405(d)(27)], added

par. (4) and struck out former par. (4) which read as follows:

"Programs under title II or IV of the Job Training Partnership Act

(29 U.S.C. 1601 et seq.)."

Subsec. (a)(15) to (19). Pub. L. 105-277, Sec. 101(f) [title

VIII, Sec. 405(c)(3)], redesignated pars. (16) to (19) as (15) to

(18), respectively, and struck out former par. (15) which read as

follows: "The family support program under subtitle F of title VII

of the Stewart B. McKinney Homeless Assistance Act (42 U.S.C. 11481

et seq.)."

1996 - Subsec. (d)(6). Pub. L. 104-316 struck out "after

consultation with the Comptroller General of the United States"

after "by the Secretary".

EFFECTIVE DATE OF 1998 AMENDMENT

Amendment by section 101(f) [title VIII, Sec. 405(c)(3), (d)(27)]

of Pub. L. 105-277 effective Oct. 21, 1998, and amendment by

section 101(f) [title VIII, Sec. 405(f)(19)] of Pub. L. 105-277

effective July 1, 2000, see section 101(f) [title VIII, Sec.

405(g)(1), (2)(B)] of Pub. L. 105-277, set out as a note under

section 3502 of Title 5, Government Organization and Employees.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 6701, 6717, 6720 of this

title.

-FOOTNOTE-

(!1) See References in Text note below.

-End-

-CITE-

31 USC Sec. 6704 01/06/03

-EXPCITE-

TITLE 31 - MONEY AND FINANCE

SUBTITLE V - GENERAL ASSISTANCE ADMINISTRATION

CHAPTER 67 - FEDERAL PAYMENTS

-HEAD-

Sec. 6704. State area allocations; allocations and payments to

territorial governments

-STATUTE-

(a) Formula Allocation by State. - For each payment period, the

Secretary shall allocate to each State out of the amount

appropriated for the period under the authority of section 6702(b)

(minus the amounts allocated to territorial governments under

subsection (e) for the payment period) an amount bearing the same

ratio to the amount appropriated (minus such amounts allocated

under subsection (e)) as the amount allocated to the State under

this section bears to the total amount allocated to all States

under this section. The Secretary shall -

(1) determine the amount allocated to the State under

subsection (b) or (c) of this section and allocate the larger

amount to the State; and

(2) allocate the amount allocated to the State to units of

general local government in the State under sections 6705 and

6706.

(b) General Formula. -

(1) In general. - For the payment period beginning October 1,

1994, the amount allocated to a State under this subsection for a

payment period is the amount bearing the same ratio to

$5,300,000,000 as -

(A) the population of the State, multiplied by the general

tax effort factor of the State (determined under paragraph

(2)), multiplied by the relative income factor of the State

(determined under paragraph (3)), multiplied by the relative

rate of the labor force unemployed in the State (determined

under paragraph (4)); bears to

(B) the sum of the products determined under subparagraph (A)

of this paragraph for all States.

(2) General tax effort factor. - The general tax effort factor

of a State for a payment period is -

(A) the net amount of State and local taxes of the State

collected during the year 1991 as reported by the Bureau of the

Census in the publication Government Finances 1990-1991;

divided by

(B) the total income of individuals, as determined by the

Secretary of Commerce for national accounts purposes for 1992

as reported in the publication Survey of Current Business

(August 1993), attributed to the State for the same year.

(3) Relative income factor. - The relative income factor of a

State is a fraction in which -

(A) the numerator is the per capita income of the United

States; and

(B) the denominator is the per capita income of the State.

(4) Relative rate of labor force. - The relative rate of the

labor force unemployed in a State is a fraction in which -

(A) the numerator is the percentage of the labor force of the

State that is unemployed in the calendar year preceding the

payment period (as determined by the Secretary of Labor for

general statistical purposes); and

(B) the denominator is the percentage of the labor force of

the United States that is unemployed in the calendar year

preceding the payment period (as determined by the Secretary of

Labor for general statistical purposes).

(c) Alternative Formula. - For the payment period beginning

October 1, 1994, the amount allocated to a State under this

subsection for a payment period is the total amount the State would

receive if -

(1) $1,166,666,667 were allocated among the States on the basis

of population by allocating to each State an amount bearing the

same ratio to the total amount to be allocated under this

paragraph as the population of the State bears to the population

of all States;

(2) $1,166,666,667 were allocated among the States on the basis

of population inversely weighted for per capita income, by

allocating to each State an amount bearing the same ratio to the

total amount to be allocated under this paragraph as -

(A) the population of the State, multiplied by a fraction in

which -

(i) the numerator is the per capita income of all States;

and

(ii) the denominator is the per capita income of the State;

bears to

(B) the sum of the products determined under subparagraph (A)

for all States;

(3) $600,000,000 were allocated among the States on the basis

of income tax collections by allocating to each State an amount

bearing the same ratio to the total amount to be allocated under

this paragraph as the income tax amount of the State (determined

under subsection (d)(1)) bears to the sum of the income tax

amounts of all States;

(4) $600,000,000 were allocated among the States on the basis

of general tax effort by allocating to each State an amount

bearing the same ratio to the total amount to be allocated under

this paragraph as the general tax effort amount of the State

(determined under subsection (d)(2)) bears to the sum of the

general tax effort amounts of all States;

(5) $600,000,000 were allocated among the States on the basis

of unemployment by allocating to each State an amount bearing the

same ratio to the total amount to be allocated under this

paragraph as -

(A) the labor force of the State, multiplied by a fraction in

which -

(i) the numerator is the percentage of the labor force of

the State that is unemployed in the calendar year preceding

the payment period (as determined by the Secretary of Labor

for general statistical purposes); and

(ii) the denominator is the percentage of the labor force

of the United States that is unemployed in the calendar year

preceding the payment period (as determined by the Secretary

of Labor for general statistical purposes)

bears to

(B) the sum of the products determined under subparagraph (A)

for all States; and

(6) $1,166,666,667 were allocated among the States on the basis

of urbanized population by allocating to each State an amount

bearing the same ratio to the total amount to be allocated under

this paragraph as the urbanized population of the State bears to

the urbanized population of all States. In this paragraph, the

term "urbanized population" means the population of an area

consisting of a central city or cities of at least 50,000

inhabitants and the surrounding closely settled area for the city

or cities considered as an urbanized area as published by the

Bureau of the Census for 1990 in the publication General

Population Characteristics for Urbanized Areas.

(d) Income Tax Amount and Tax Effort Amount. -

(1) Income tax amount. - The income tax amount of a State for a

payment period is 15 percent of the net amount collected during

the calendar year ending before the beginning of the payment

period from the tax imposed on the income of individuals by the

State and described as a State income tax under section 164(a)(3)

of the Internal Revenue Code of 1986 (26 U.S.C. 164(a)(3)). The

income tax amount for a payment period shall be at least 1

percent but not more than 6 percent of the United States

Government individual income tax liability attributed to the

State for the taxable year ending during the last calendar year

ending before the beginning of the payment period. The Secretary

shall determine the Government income tax liability attributed to

the State by using the data published by the Secretary for 1991

in the publication Statistics of Income Bulletin (Winter

1993-1994).

(2) General tax effort amount. - The general tax effort amount

of a State for a payment period is the amount determined by

multiplying -

(A) the net amount of State and local taxes of the State

collected during the year 1991 as reported in the Bureau of

(!1) Census in the publication Government Finances 1990-1991;

and

(B) the general tax effort factor of the State determined

under subsection (b)(2).

(e) Allocation for Puerto Rico, Guam, American Samoa, and the

Virgin Islands. -

(1) In general. - (A) For each payment period for which funds

are available for allocation under this chapter, the Secretary

shall allocate to each territorial government an amount equal to

the product of 1 percent of the amount of funds available for

allocation multiplied by the applicable territorial percentage.

(B) For the purposes of this paragraph, the applicable

territorial percentage of a territory is equal to the quotient

resulting from the division of the territorial population of such

territory by the sum of the territorial population for all

territories.

(2) Payments to local governments. - The governments of the

territories shall make payments to local governments within their

jurisdiction from sums received under this subsection as they

consider appropriate.

(3) Definitions. - For purposes of this subsection -

(A) the term "territorial government" means the government of

a territory;

(B) the term "territory" means Puerto Rico, Guam, American

Samoa, and the Virgin Islands; and

(C) the term "territorial population" means the most recent

population for each territory as determined by the Bureau of

(!1) Census.

-SOURCE-

(Added Pub. L. 103-322, title III, Sec. 31001(a), Sept. 13, 1994,

108 Stat. 1864.)

-MISC1-

PRIOR PROVISIONS

A prior section 6704, Pub. L. 97-258, Sept. 13, 1982, 96 Stat.

1013; Pub. L. 98-185, Sec. 9(b), Nov. 30, 1983, 97 Stat. 1311,

related to qualifications of State or local governments for

payments under this chapter, prior to repeal by Pub. L. 99-272,

title XIV, Sec. 14001(a)(1), (e), Apr. 7, 1986, 100 Stat. 327, 329,

eff. Oct. 18, 1986.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 6705, 6706, 6709, 6720 of

this title.

-FOOTNOTE-

(!1) So in original. Probably should be "of the".

-End-

-CITE-

31 USC Sec. 6705 01/06/03

-EXPCITE-

TITLE 31 - MONEY AND FINANCE

SUBTITLE V - GENERAL ASSISTANCE ADMINISTRATION

CHAPTER 67 - FEDERAL PAYMENTS

-HEAD-

Sec. 6705. Local government allocations

-STATUTE-

(a) Indian Tribes and Alaskan Natives Villages. - If there is in

a State an Indian tribe or Alaskan native (!1) village having a

recognized governing body carrying out substantial governmental

duties and powers, the Secretary shall allocate to the tribe or

village, out of the amount allocated to the State under section

6704, an amount bearing the same ratio to the amount allocated to

the State as the population of the tribe or village bears to the

population of the State. The Secretary shall allocate amounts under

this subsection to Indian tribes and Alaskan native (!1) villages

in a State before allocating amounts to units of general local

government in the State under subsection (c). For the payment

period beginning October 1, 1994, the Secretary shall use as the

population of each Indian tribe or Alaskan native (!1) village the

population for 1991 as reported by the Bureau of Indian Affairs in

the publication Indian Service Population and Labor Force Estimates

(January 1991). In addition to uses authorized under section

6701(a)(2), amounts allocated under this subsection and paid to an

Indian tribe or Alaskan native (!1) village under this chapter may

be used for renovating or building prisons or other correctional

facilities.

(b) Newly Incorporated Local Governments and Annexed Governments.

- If there is in a State a unit of general local government that

has been incorporated since the date of the collection of the data

used by the Secretary in making allocations pursuant to sections

6704 through 6706 and 6708, the Secretary shall allocate to this

newly incorporated local government, out of the amount allocated to

the State under section 6704, an amount bearing the same ratio to

the amount allocated to the State as the population of the newly

incorporated local government bears to the population of the State.

If there is in the State a unit of general local government that

has been annexed since the date of the collection of the data used

by the Secretary in making allocations pursuant to sections 6704

through 6706 and 6708, the Secretary shall pay the amount that

would have been allocated to this local government to the unit of

general local government that annexed it.

(c) Other Local Government Allocations. -

(1) In general. - The Secretary shall allocate among the units

of general local government in a State (other than units

receiving allocations under subsection (a)) the amount allocated

to the State under section 6704 (as that amount is reduced by

allocations under subsection (a)). Of the amount to be allocated,

the Secretary shall allocate a portion equal to 1/2 of such

amount in accordance with section 6706(1), and shall allocate a

portion equal to 1/2 of such amount in accordance with section

6706(2). A unit of general local government shall receive an

amount equal to the sum of amounts allocated to the unit from

each portion.

(2) Ratio. - From each portion to be allocated to units of

local government in a State under paragraph (1), the Secretary

shall allocate to a unit an amount bearing the same ratio to the

funds to be allocated as -

(A) the population of the unit, multiplied by the general tax

effort factor of the unit (determined under paragraph (3)),

multiplied by the income gap of the unit (determined under

paragraph (4)), bears to

(B) the sum of the products determined under subparagraph (A)

for all units in the State for which the income gap for that

portion under paragraph (4) is greater than zero.

(3) General tax effort factor. - (A) Except as provided in

subparagraph (C), the general tax effort factor of a unit of

general local government for a payment period is -

(i) the adjusted taxes of the unit; divided by

(ii) the total income attributed to the unit.

(B) If the amount determined under subparagraphs (A)(i) and

(ii) for a unit of general local government is less than zero,

the general tax effort factor of the unit is deemed to be zero.

(C)(i) Except as otherwise provided in this subparagraph, for

the payment period beginning October 1, 1994, the adjusted taxes

of a unit of general local government are the taxes imposed by

the unit for public purposes (except employee and employer

assessments and contributions to finance retirement and social

insurance systems and other special assessments for capital

outlay), as determined by the Bureau of the Census for the 1987

Census of Governments and adjusted as follows:

(I) Adjusted taxes equals total taxes times a fraction in

which the numerator is the sum of unrestricted revenues and

revenues dedicated for spending on education minus total

education spending and the denominator is total unrestricted

revenues.

(II) Total taxes is the sum of property tax; general sales

tax; alcoholic beverage tax; amusement tax; insurance premium

tax; motor fuels tax; parimutuels tax; public utilities tax;

tobacco tax; other selective sales tax; alcoholic beverage

licenses, amusement licenses; corporation licenses, hunting and

fishing licenses; motor vehicle licenses; motor vehicle

operator licenses; public utility licenses; occupation and

business licenses, not elsewhere classified; other licenses,

individual income tax; corporation net income tax; death and

gift tax; documentary and stock transfer tax; severance tax;

and taxes not elsewhere classified.

(III) Unrestricted revenues is the sum of total taxes and

intergovernmental revenue from Federal Government, general

revenue sharing; intergovernmental revenue from Federal

Government, other general support; intergovernmental revenue

from Federal Government, other; intergovernmental revenue from

State government, other general support; intergovernmental

revenue from State government, other; intergovernmental revenue

from local governments, other general support;

intergovernmental revenue from local governments, other;

miscellaneous general revenue, property sale-housing and

community development; miscellaneous general revenue, property

sale-other property; miscellaneous general revenue, interest

earnings on investments; miscellaneous general revenue, fines

and forfeits; miscellaneous general revenue, rents;

miscellaneous general revenues, royalties; miscellaneous

general revenue, donations from private sources; miscellaneous

general revenue, net lottery revenue (after prizes and

administrative expenses); miscellaneous general revenue, other

miscellaneous general revenue; and all other general charges,

not elsewhere classified.

(IV) Revenues dedicated for spending on education is the sum

of elementary and secondary education, school lunch; elementary

and secondary education, tuition; elementary and secondary

education, other; higher education, auxiliary enterprises;

higher education, other; other education, not elsewhere

classified; intergovernmental revenue from Federal Government,

education; intergovernmental revenue from State government,

education; intergovernmental revenue from local governments,

interschool system revenue; intergovernmental revenue from

local governments, education; interest earnings, higher

education; interest earnings, elementary and secondary

education; miscellaneous revenues, higher education; and

miscellaneous revenues, elementary and secondary education.

(V) Total education spending is the sum of elementary and

secondary education, current operations; elementary and

secondary education, construction; elementary and secondary

education, other capital outlays; elementary and secondary

education, to State governments; elementary and secondary

education, to local governments, not elsewhere classified;

elementary and secondary education, to counties; elementary and

secondary education, to municipalities; elementary and

secondary education, to townships; elementary and secondary

education, to school districts; elementary and secondary

education, to special districts; higher education-auxiliary

enterprises, current operations; higher education-auxiliary

enterprises, construction; higher education, auxiliary

enterprises, other capital outlays; other higher education,

current operations; other higher education, construction; other

higher education, other capital outlays; other higher

education, to State government; other higher education, to

local governments, not elsewhere classified; other higher

education, to counties; other higher education, to

municipalities; other higher education, to townships; other

higher education, to school districts; other higher education,

to special districts; education assistance and subsidies;

education, not elsewhere classified, current operations;

education, not elsewhere classified, construction (!2)

education, not elsewhere classified, other capital outlays;

education, not elsewhere classified, to State government;

education, not elsewhere classified, to local governments, not

elsewhere classified; education, not elsewhere classified, to

counties; education, not elsewhere classified, to

municipalities; education, not elsewhere classified, to

townships; education, not elsewhere classified, to school

districts; education, not elsewhere classified, to special

districts; and education, not elsewhere classified, to Federal

Government.

(VI) If the amount of adjusted taxes is less than zero, the

amount of adjusted tax shall be deemed to be zero.

(VII) If the amount of adjusted taxes exceeds the amount of

total taxes, the amount of adjusted taxes is deemed to equal

the amount of total taxes.

(ii) The Secretary shall, for purposes of clause (i), include

that part of sales taxes transferred to a unit of general local

government that are imposed by a county government in the

geographic area of which is located the unit of general local

government as taxes imposed by the unit for public purposes if -

(I) the county government transfers any part of the revenue

from the taxes to the unit of general local government without

specifying the purpose for which the unit of general local

government may expend the revenue; and

(II) the chief executive officer of the State notifies the

Secretary that the taxes satisfy the requirements of this

clause.

(iii) The adjusted taxes of a unit of general local government

shall not exceed the maximum allowable adjusted taxes for that

unit.

(iv) The maximum allowable adjusted taxes for a unit of general

local government is the allowable adjusted taxes of the unit

minus the excess adjusted taxes of the unit.

(v) The allowable adjusted taxes of a unit of general

government is the greater of -

(I) the amount equal to 2.5, multiplied by the per capita

adjusted taxes of all units of general local government of the

same type in the State, multiplied by the population of the

unit; or

(II) the amount equal to the population of the unit,

multiplied by the sum of the adjusted taxes of all units of

municipal local government in the State, divided by the sum of

the populations of all the units of municipal local government

in the State.

(vi) The excess adjusted taxes of a unit of general local

government is the amount equal to -

(I) the adjusted taxes of the unit, minus

(II) 1.5 multiplied by the allowable adjusted taxes of the

unit;

except that if this amount is less than zero then the excess

adjusted taxes of the unit is deemed to be zero.

(vii) For purposes of this subparagraph -

(I) the term "per capita adjusted taxes of all units of

general local government of the same type" means the sum of the

adjusted taxes of all units of general local government of the

same type divided by the sum of the populations of all units of

general local government of the same type; and

(II) the term "units of general local government of the same

type" means all townships if the unit of general local

government is a township, all municipalities if the unit of

general local government is a municipality, all counties if the

unit of general local government is a county, or all unified

city/county governments if the unit of general local government

is a unified city/county government.

(4) Income gap. - (A) Except as provided in subparagraph (B),

the income gap of a unit of general local government is -

(i) the number which applies under section 6706, multiplied

by the per capita income of the State in which the unit is

located; minus

(ii) the per capita income of the geographic area of the

unit.

(B) If the amount determined under subparagraph (A) for a unit

of general local government is less than zero, then the relative

income factor of the unit is deemed to be zero.

(d) Small Government Allocations. - If the Secretary decides that

information available for a unit of general local government with a

population below a number (of not more than 500) prescribed by the

Secretary is inadequate, the Secretary may allocate to the unit, in

lieu of any allocation under subsection (b) for a payment period,

an amount bearing the same ratio to the total amount to be

allocated under subsection (b) for the period for all units of

general local government in the State as the population of the unit

bears to the population of all units in the State.

-SOURCE-

(Added Pub. L. 103-322, title III, Sec. 31001(a), Sept. 13, 1994,

108 Stat. 1867.)

-MISC1-

PRIOR PROVISIONS

A prior section 6705, Pub. L. 97-258, Sept. 13, 1982, 96 Stat.

1014, related to State government allocations, prior to repeal by

Pub. L. 99-272, title XIV, Sec. 14001(a)(1), (e), Apr. 7, 1986, 100

Stat. 327, 329, eff. Oct. 18, 1986.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 6704, 6706, 6707, 6708,

6709, 6720 of this title.

-FOOTNOTE-

(!1) So in original. Probably should be capitalized.

(!2) So in original. Probably should be followed by a semicolon.

-End-

-CITE-

31 USC Sec. 6706 01/06/03

-EXPCITE-

TITLE 31 - MONEY AND FINANCE

SUBTITLE V - GENERAL ASSISTANCE ADMINISTRATION

CHAPTER 67 - FEDERAL PAYMENTS

-HEAD-

Sec. 6706. Income gap multiplier

-STATUTE-

For purposes of determining the income gap of a unit of general

local government under section 6705(b)(4)(A),(!1) the number which

applies is -

(1) 1.6, with respect to 1/2 of any amount allocated under

section 6704 to the State in which the unit is located; and

(2) 1.2, with respect to the remainder of such amount.

-SOURCE-

(Added Pub. L. 103-322, title III, Sec. 301001(a), Sept. 13, 1994,

108 stat. 1871.)

-MISC1-

PRIOR PROVISIONS

A prior section 6706, Pub. L. 97-258, Sept. 13, 1982, 96 Stat.

1014, related to reductions in State government allocations, prior

to repeal by Pub. L. 99-272, title XIV, Sec. 14001(a)(1), (e), Apr.

7, 1986, 100 Stat. 327, 329, eff. Oct. 18, 1986.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 6704, 6705, 6709, 6720 of

this title.

-FOOTNOTE-

(!1) So in original. Probably should be section "6705(c)(4)(A),".

-End-

-CITE-

31 USC Sec. 6707 01/06/03

-EXPCITE-

TITLE 31 - MONEY AND FINANCE

SUBTITLE V - GENERAL ASSISTANCE ADMINISTRATION

CHAPTER 67 - FEDERAL PAYMENTS

-HEAD-

Sec. 6707. State variation of local government allocations

-STATUTE-

(a) State Formula. - A State government may provide by law for

the allocation of amounts among units of general local government

in the State on the basis of population multiplied by the general

tax effort factors or income gaps of the units of general local

government determined under sections 6705(a) and (b) (!1) or a

combination of those factors. A State government providing for a

variation of an allocation formula provided under sections 6705(a)

and (b) (!1) shall notify the Secretary of the variation by the

30th day before the beginning of the first payment period in which

the variation applies. A variation shall -

(1) provide for allocating the total amount allocated under

sections 6705(a) and (b); (!1) and

(2) apply uniformly in the State.

(b) Certification. - A variation by a State government under this

section may apply only if the Secretary certifies that the

variation complies with this section. The Secretary may certify a

variation only if the Secretary is notified of the variation at

least 30 days before the first payment period in which the

variation applies.

-SOURCE-

(Added Pub. L. 103-322, title III, Sec. 31001(a), Sept. 13, 1994,

108 Stat. 1872.)

-MISC1-

PRIOR PROVISIONS

A prior section 6707, Pub. L. 97-258, Sept. 13, 1982, 96 Stat.

1016; Pub. L. 98-185, Sec. 9(c), Nov. 30, 1983, 97 Stat. 1312,

related to State allocations for units of general local government,

prior to repeal by Pub. L. 99-272, title XIV, Sec. 14001(a)(1),

(e), Apr. 7, 1986, 100 Stat. 327, 329, eff. Oct. 18, 1986.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 6720 of this title.

-FOOTNOTE-

(!1) So in original. Probably should be "section 6705(a) and (c)".

-End-

-CITE-

31 USC Sec. 6708 01/06/03

-EXPCITE-

TITLE 31 - MONEY AND FINANCE

SUBTITLE V - GENERAL ASSISTANCE ADMINISTRATION

CHAPTER 67 - FEDERAL PAYMENTS

-HEAD-

Sec. 6708. Adjustments of local government allocations

-STATUTE-

(a) Maximum Amount. - The amount allocated to a unit of general

local government for a payment period may not exceed the adjusted

taxes imposed by the unit of general local government as determined

under section 6705(b)(3).(!1) Amounts in excess of adjusted taxes

shall be paid to the Governor of the State in which the unit of

local government is located.

(b) De Minimis Allocations to Units of General Local Government.

- If the amount allocated to a unit of general local government

(except an Indian tribe or an Alaskan native (!2) village) for a

payment period would be less than $5,000 but for this subsection or

is waived by the governing authority of the unit of general local

government, the Secretary shall pay the amount to the Governor of

the State in which the unit is located.

(c) Use of Payments to States. - The Governor of a State shall

use all amounts paid to the Governor under subsections (a) and (b)

for programs described in section 6701(a)(2) in areas of the State

where are located the units of general local government with

respect to which amounts are paid under subsection (b).

(d) De Minimis Allocations to Indian Tribes and Alaskan Native

Villages. -

(1) Aggregation of de minimis allocations. - If the amount

allocated to an Indian tribe or an Alaskan native (!2) village

for a payment period would be less than $5,000 but for this

subsection or is waived by the chief elected official of the

tribe or village, the amount -

(A) shall not be paid to the tribe or village (except under

paragraph (2)); and

(B) shall be aggregated with other such amounts and available

for use by the Attorney General under paragraph (2).

(2) Use of aggregated amounts. - Amounts aggregated under

paragraph (1) for a payment period shall be available for use by

the Attorney General to make grants in the payment period on a

competitive basis to Indian Tribes (!3) and Alaskan native (!2)

village (!4) for -

(A) programs described in section 6701(a)(2); or

(B) renovating or building prisons or other correctional

facilities.

-SOURCE-

(Added Pub. L. 103-322, title III, Sec. 31001(a), Sept. 13, 1994,

108 Stat. 1872.)

-MISC1-

PRIOR PROVISIONS

A prior section 6708, Pub. L. 97-258, Sept. 13, 1982, 96 Stat.

1017, related to county area and county government allocations,

prior to repeal by Pub. L. 99-272, title XIV, Sec. 14001(a)(1),

(e), Apr. 7, 1986, 100 Stat. 327, 329, eff. Oct. 18, 1986.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 6705, 6709, 6720 of this

title.

-FOOTNOTE-

(!1) So in original. Probably should be section "6705(c)(3)."

(!2) So in original. Probably should be capitalized.

(!3) So in original. Probably should not be capitalized.

(!4) So in original. Probably should be "villages".

-End-

-CITE-

31 USC Sec. 6709 01/06/03

-EXPCITE-

TITLE 31 - MONEY AND FINANCE

SUBTITLE V - GENERAL ASSISTANCE ADMINISTRATION

CHAPTER 67 - FEDERAL PAYMENTS

-HEAD-

Sec. 6709. Information used in allocation formulas

-STATUTE-

(a) Population Data for Payment Period Beginning October 1, 1994.

- For the payment period beginning October 1, 1994, the Secretary,

in making allocations pursuant to sections 6704 through 6706 and

6708, shall use for the population of the States the population for

1992 as reported by the Bureau of the Census in the publication

Current Population Reports, Series P-25, No. 1045 (July 1992) and

for the population of units of general local government the

Secretary shall use the population for 1990 as reported by the

Bureau of the Census in the publication Summary Social, Economic,

and Housing Characteristics.

(b) Data for Payment Periods Beginning After September 30, 1995.

- For any payment period beginning after September 30, 1995, the

Secretary, in making allocations pursuant to sections 6704 through

6706 and 6708, shall use information more recent than the

information used for the payment period beginning October 1, 1994,

provided the Secretary notifies the Committee on Government

Operations of the House of Representatives at least 90 days prior

to the beginning of the payment period that the Secretary has

determined that the more recent information is more reliable than

the information used for the payment period beginning October 1,

1994.

-SOURCE-

(Added Pub. L. 103-322, title III, Sec. 31001(a), Sept. 13, 1994,

108 Stat. 1873.)

-MISC1-

PRIOR PROVISIONS

A prior section 6709, Pub. L. 97-258, Sept. 13, 1982, 96 Stat.

1018; Pub. L. 97-452, Sec. 1(25), Jan. 12, 1983, 96 Stat. 2478;

Pub. L. 98-185, Sec. 9(d), Nov. 30, 1983, 97 Stat. 1312, related to

other local government allocations, prior to repeal by Pub. L.

99-272, title XIV, Sec. 14001(a)(1), (e), Apr. 7, 1986, 100 Stat.

327, 329, eff. Oct. 18, 1986.

-CHANGE-

CHANGE OF NAME

Committee on Government Operations of House of Representatives

treated as referring to Committee on Government Reform and

Oversight of House of Representatives by section 1(a) of Pub. L.

104-14, set out as a note preceding section 21 of Title 2, The

Congress. Committee on Government Reform and Oversight of House of

Representatives changed to Committee on Government Reform of House

of Representatives by House Resolution No. 5, One Hundred Sixth

Congress, Jan. 6, 1999.

-End-

-CITE-

31 USC Sec. 6710 01/06/03

-EXPCITE-

TITLE 31 - MONEY AND FINANCE

SUBTITLE V - GENERAL ASSISTANCE ADMINISTRATION

CHAPTER 67 - FEDERAL PAYMENTS

-HEAD-

Sec. 6710. Public participation

-STATUTE-

(a) Hearings. -

(1) In general. - A unit of general local government expending

payments under this chapter shall hold at least one public

hearing on the proposed use of the payment in relation to its

entire budget. At the hearing, persons shall be given an

opportunity to provide written and oral views to the governmental

authority responsible for enacting the budget and to ask

questions about the entire budget and the relation of the payment

to the entire budget. The government shall hold the hearing at a

time and a place that allows and encourages public attendance and

participation.

(2) Senior citizens. - A unit of general local government

holding a hearing required under this subsection or by the budget

process of the government shall try to provide senior citizens

and senior citizen organizations with an opportunity to present

views at the hearing before the government makes a final decision

on the use of the payment.

(b) Disclosure of Information. -

(1) In general. - By the 10th day before a hearing required

under subsection (a)(1) is held, a unit of general local

government shall -

(A) make available for inspection by the public at the

principal office of the government a statement of the proposed

use of the payment and a summary of the proposed budget of the

government; and

(B) publish in at least one newspaper of general circulation

the proposed use of the payment with the summary of the

proposed budget and a notice of the time and place of the

hearing.

(2) Availability. - By the 30th day after adoption of the

budget under State or local law, the government shall -

(A) make available for inspection by the public at the

principal office of the government a summary of the adopted

budget, including the proposed use of the payment; and

(B) publish in at least one newspaper of general circulation

a notice that the information referred to in subparagraph (A)

is available for inspection.

(c) Waivers of Requirements. - A requirement -

(1) under subsection (a)(1) may be waived if the budget process

required under the applicable State or local law or charter

provisions -

(A) ensures the opportunity for public attendance and

participation contemplated by subsection (a); and

(B) includes a hearing on the proposed use of a payment

received under this chapter in relation to the entire budget of

the government; and

(2) under subsection (b)(1)(B) and paragraph (2)(B) may be

waived if the cost of publishing the information would be

unreasonably burdensome in relation to the amount allocated to

the government from amounts available for payment under this

chapter, or if publication is otherwise impracticable.

(d) Exception to 10-Day Limitation. - If the Secretary is

satisfied that a unit of general local government will provide

adequate notice of the proposed use of a payment received under

this chapter, the 10-day period under subsection (b)(1) may be

changed to the extent necessary to comply with applicable State or

local law.

-SOURCE-

(Added Pub. L. 103-322, title III, Sec. 31001(a), Sept. 13, 1994,

108 Stat. 1873.)

-MISC1-

PRIOR PROVISIONS

A prior section 6710, Pub. L. 97-258, Sept. 13, 1982, 96 Stat.

1020, related to separate law enforcement officer allocations for

Louisiana, prior to repeal by Pub. L. 99-272, title XIV, Sec.

14001(a)(1), (e), Apr. 7, 1986, 100 Stat. 327, 329, eff. Oct. 18,

1986.

-End-

-CITE-

31 USC Sec. 6711 01/06/03

-EXPCITE-

TITLE 31 - MONEY AND FINANCE

SUBTITLE V - GENERAL ASSISTANCE ADMINISTRATION

CHAPTER 67 - FEDERAL PAYMENTS

-HEAD-

Sec. 6711. Prohibited discrimination

-STATUTE-

(a) General Prohibition. - No person in the United States shall

be excluded from participating in, be denied the benefits of, or be

subject to discrimination under, a program or activity of a unit of

general local government because of race, color, national origin,

or sex if the government receives a payment under this chapter.

(b) Additional Prohibitions. - The following prohibitions and

exemptions also apply to a program or activity of a unit of general

local government if the government receives a payment under this

chapter:

(1) A prohibition against discrimination because of age under

the Age Discrimination Act of 1975.

(2) A prohibition against discrimination against an otherwise

qualified handicapped individual under section 504 of the

Rehabilitation Act of 1973.

(3) A prohibition against discrimination because of religion,

or an exemption from that prohibition, under the Civil Rights Act

of 1964 or title VIII of the Act of April 11, 1968 (popularly

known as the Civil Rights Act of 1968).

(c) Limitations on Applicability of Prohibitions. - Subsections

(a) and (b) do not apply if the government shows, by clear and

convincing evidence, that a payment received under this chapter is

not used to pay for any part of the program or activity with

respect to which the allegation of discrimination is made.

(d) Investigation Agreements. - The Secretary shall try to make

agreements with heads of agencies of the United States Government

and State agencies to investigate noncompliance with this section.

An agreement shall -

(1) describe the cooperative efforts to be taken (including

sharing civil rights enforcement personnel and resources) to

obtain compliance with this section; and

(2) provide for notifying immediately the Secretary of actions

brought by the United States Government or State agencies against

a unit of general local government alleging a violation of a

civil rights law or a regulation prescribed under a civil rights

law.

-SOURCE-

(Added Pub. L. 103-322, title III, Sec. 31001(a), Sept. 13, 1994,

108 Stat. 1874.)

-REFTEXT-

REFERENCES IN TEXT

The Age Discrimination Act of 1975, referred to in subsec.

(b)(1), is title III of Pub. L. 94-135, Nov. 28, 1975, 89 Stat.

728, as amended, which is classified generally to chapter 76 (Sec.

6101 et seq.) of Title 42, The Public Health and Welfare. For

complete classification of this Act to the Code, see Short Title

note set out under section 6101 of Title 42 and Tables.

Section 504 of the Rehabilitation Act of 1973, referred to in

subsec. (b)(2), is classified to section 794 of Title 29, Labor.

The Civil Rights Act of 1964, referred to in subsec. (b)(3), is

Pub. L. 88-352, July 2, 1964, 78 Stat. 241, as amended, which is

classified principally to subchapters II to IX (Sec. 2000a et seq.)

of chapter 21 of Title 42, The Public Health and Welfare. For

complete classification of this Act to the Code, see Short Title

note set out under section 2000a of Title 42 and Tables.

Title VIII of the Act of April 11, 1968, referred to in subsec.

(b)(3), is title VIII of Pub. L. 90-284, Apr. 11, 1968, 82 Stat.

81, as amended, known as the Fair Housing Act, which is classified

principally to subchapter I (Sec. 3601 et seq.) of chapter 45 of

Title 42. For complete classification of this Act to the Code, see

Short Title note set out under section 3601 of Title 42 and Tables.

-MISC1-

PRIOR PROVISIONS

A prior section 6711, Pub. L. 97-258, Sept. 13, 1982, 96 Stat.

1021; Pub. L. 98-185, Sec. 4, Nov. 30, 1983, 97 Stat. 1309, related

to State variation of local government allocations, prior to repeal

by Pub. L. 99-272, title XIV, Sec. 14001(a)(1), (e), Apr. 7, 1986,

100 Stat. 327, 329, eff. Oct. 18, 1986.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 6712, 6713, 6714, 6715,

6716, 6718, 6719, 6720 of this title.

-End-

-CITE-

31 USC Sec. 6712 01/06/03

-EXPCITE-

TITLE 31 - MONEY AND FINANCE

SUBTITLE V - GENERAL ASSISTANCE ADMINISTRATION

CHAPTER 67 - FEDERAL PAYMENTS

-HEAD-

Sec. 6712. Discrimination proceedings

-STATUTE-

(a) Notice of Noncompliance. - By the 10th day after the

Secretary makes a finding of discrimination or receives a holding

of discrimination about a unit of general local government, the

Secretary shall submit a notice of noncompliance to the government.

The notice shall state the basis of the finding or holding.

(b) Informal Presentation of Evidence. - A unit of general local

government may present evidence informally to the Secretary within

30 days after the government receives a notice of noncompliance

from the Secretary. Except as provided in subsection (e), the

government may present evidence on whether -

(1) a person in the United States has been excluded or denied

benefits of, or discriminated against under, the program or

activity of the government, in violation of section 6711(a);

(2) the program or activity of the government violated a

prohibition described in section 6711(b); and

(3) any part of that program or activity has been paid for with

a payment received under this chapter.

(c) Temporary Suspension of Payments. - By the end of the 30-day

period under subsection (b), the Secretary shall decide whether the

unit of general local government has not complied with section

6711(a) or (b), unless the government has entered into a compliance

agreement under section 6714. If the Secretary decides that the

government has not complied, the Secretary shall notify the

government of the decision and shall suspend payments to the

government under this chapter unless, within 10 days after the

government receives notice of the decision, the government -

(1) enters into a compliance agreement under section 6714; or

(2) requests a proceeding under subsection (d)(1).

(d) Administrative Review of Suspensions. -

(1) Proceeding. - A proceeding requested under subsection

(c)(2) shall begin by the 30th day after the Secretary receives a

request for the proceeding. The proceeding shall be before an

administrative law judge appointed under section 3105 of title 5,

United States Code. By the 30th day after the beginning of the

proceeding, the judge shall issue a preliminary decision based on

the record at the time on whether the unit of general local

government is likely to prevail in showing compliance with

section 6711(a) or (b).

(2) Decision. - If the administrative law judge decides at the

end of a proceeding under paragraph (1) that the unit of general

local government has -

(A) not complied with section 6711(a) or (b), the judge may

order payments to the government under this chapter terminated;

or

(B) complied with section 6711(a) or (b), a suspension under

section 6713(a)(1)(A) shall be discontinued promptly.

(3) Likelihood of prevailing. - An administrative law judge may

not issue a preliminary decision that the government is not

likely to prevail if the judge has issued a decision described in

paragraph (2)(A).

(e) Basis for Review. - In a proceeding under subsections (b)

through (d) on a program or activity of a unit of general local

government about which a holding of discrimination has been made,

the Secretary or administrative law judge may consider only whether

a payment under this chapter was used to pay for any part of the

program or activity. The holding of discrimination is conclusive.

If the holding is reversed by an appellate court, the Secretary or

judge shall end the proceeding.

-SOURCE-

(Added Pub. L. 103-322, title III, Sec. 31001(a), Sept. 13, 1994,

108 Stat. 1875.)

-MISC1-

PRIOR PROVISIONS

A prior section 6712, Pub. L. 97-258, Sept. 13, 1982, 96 Stat.

1021, related to adjustments of local government allocations, prior

to repeal by Pub. L. 99-272, title XIV, Sec. 14001(a)(1), (e), Apr.

7, 1986, 100 Stat. 327, 329, eff. Oct. 18, 1986.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 6713, 6717, 6719 of this

title.

-End-

-CITE-

31 USC Sec. 6713 01/06/03

-EXPCITE-

TITLE 31 - MONEY AND FINANCE

SUBTITLE V - GENERAL ASSISTANCE ADMINISTRATION

CHAPTER 67 - FEDERAL PAYMENTS

-HEAD-

Sec. 6713. Suspension and termination of payments in discrimination

proceedings

-STATUTE-

(a) Imposition and Continuation of Suspensions. -

(1) In general. - The Secretary shall suspend payment under

this chapter to a unit of general local government -

(A) if an administrative law judge appointed under section

3105 of title 5, United States Code, issues a preliminary

decision in a proceeding under section 6712(d)(1) that the

government is not likely to prevail in showing compliance with

section 6711(a) and (b);

(B) if the administrative law judge decides at the end of the

proceeding that the government has not complied with section

6711(a) or (b), unless the government makes a compliance

agreement under section 6714 by the 30th day after the

decision; or

(C) if required under section 6712(c).

(2) Effectiveness. - A suspension already ordered under

paragraph (1)(A) continues in effect if the administrative law

judge makes a decision under paragraph (1)(B).

(b) Lifting of Suspensions and Terminations. - If a holding of

discrimination is reversed by an appellate court, a suspension or

termination of payments in a proceeding based on the holding shall

be discontinued.

(c) Resumption of Payments Upon Attaining Compliance. - The

Secretary may resume payment to a unit of general local government

of payments suspended by the Secretary only -

(1) as of the time of, and under the conditions stated in -

(A) the approval by the Secretary of a compliance agreement

under section 6714(a)(1); or

(B) a compliance agreement entered into by the Secretary

under section 6714(a)(2);

(2) if the government complies completely with an order of a

United States court, a State court, or administrative law judge

that covers all matters raised in a notice of noncompliance

submitted by the Secretary under section 6712(a);

(3) if a United States court, a State court, or an

administrative law judge decides (including a judge in a

proceeding under section 6712(d)(1)), that the government has

complied with sections (!1) 6711(a) and (b); or

(4) if a suspension is discontinued under subsection (b).

(d) Payment of Damages as Compliance. - For purposes of

subsection (c)(2), compliance by a government may consist of the

payment of restitution to a person injured because the government

did not comply with section 6711(a) or (b).

(e) Resumption of Payments Upon Reversal by Court. - The

Secretary may resume payment to a unit of general local government

of payments terminated under section 6712(d)(2)(A) only if the

decision resulting in the termination is reversed by an appellate

court.

-SOURCE-

(Added Pub. L. 103-322, title III, Sec. 31001(a), Sept. 13, 1994,

108 Stat. 1876.)

-MISC1-

PRIOR PROVISIONS

A prior section 6713, Pub. L. 97-258, Sept. 13, 1982, 96 Stat.

1022; Pub. L. 98-185, Secs. 5, 9(e), Nov. 30, 1983, 97 Stat. 1309,

1312, related to information used in allocation formulas, prior to

repeal by Pub. L. 99-272, title XIV, Sec. 14001(a)(1), (e), Apr. 7,

1986, 100 Stat. 327, 329, eff. Oct. 18, 1986.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 6712, 6717, 6719 of this

title.

-FOOTNOTE-

(!1) So in original. Probably should be "section".

-End-

-CITE-

31 USC Sec. 6714 01/06/03

-EXPCITE-

TITLE 31 - MONEY AND FINANCE

SUBTITLE V - GENERAL ASSISTANCE ADMINISTRATION

CHAPTER 67 - FEDERAL PAYMENTS

-HEAD-

Sec. 6714. Compliance agreements

-STATUTE-

(a) Types of Compliance Agreements. - A compliance agreement is

an agreement -

(1) approved by the Secretary, between the governmental

authority responsible for prosecuting a claim or complaint that

is the basis of a holding of discrimination and the chief

executive officer of the unit of general local government that

has not complied with section 6711(a) or (b); or

(2) between the Secretary and the chief executive officer.

(b) Contents of Agreements. - A compliance agreement -

(1) shall state the conditions the unit of general local

government has agreed to comply with that would satisfy the

obligations of the government under sections (!1) 6711(a) and

(b);

(2) shall cover each matter that has been found not to comply,

or would not comply, with section 6711(a) or (b); and

(3) may be a series of agreements that dispose of those

matters.

(c) Availability of Agreements to Parties. - The Secretary shall

submit a copy of a compliance agreement to each person who filed a

complaint referred to in section 6716(b), or, if an agreement under

subsection (a)(1), each person who filed a complaint with a

governmental authority, about a failure to comply with section

6711(a) or (b). The Secretary shall submit the copy by the 15th day

after an agreement is made. However, if the Secretary approves an

agreement under subsection (a)(1) after the agreement is made, the

Secretary may submit the copy by the 15th day after approval of the

agreement.

-SOURCE-

(Added Pub. L. 103-322, title III, Sec. 31001(a), Sept. 13, 1994,

108 Stat. 1877.)

-MISC1-

PRIOR PROVISIONS

A prior section 6714, Pub. L. 97-258, Sept. 13, 1982, 96 Stat.

1023; Pub. L. 98-185, Sec. 6, Nov. 30, 1983, 97 Stat. 1310, related

to public hearings, prior to repeal by Pub. L. 99-272, title XIV,

Sec. 14001(a)(1), (e), Apr. 7, 1986, 100 Stat. 327, 329, eff. Oct.

18, 1986.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 6712, 6713, 6719 of this

title.

-FOOTNOTE-

(!1) So in original. Probably should be "section".

-End-

-CITE-

31 USC Sec. 6715 01/06/03

-EXPCITE-

TITLE 31 - MONEY AND FINANCE

SUBTITLE V - GENERAL ASSISTANCE ADMINISTRATION

CHAPTER 67 - FEDERAL PAYMENTS

-HEAD-

Sec. 6715. Enforcement by the Attorney General of prohibitions on

discrimination

-STATUTE-

The Attorney General may bring a civil action in an appropriate

district court of the United States against a unit of general local

government that the Attorney General has reason to believe has

engaged or is engaging in a pattern or practice in violation of

section 6711(a) or (b). The court may grant -

(1) a temporary restraining order;

(2) an injunction; or

(3) an appropriate order to ensure enjoyment of rights under

section 6711(a) or (b), including an order suspending,

terminating, or requiring repayment of, payments under this

chapter or placing additional payments under this chapter in

escrow pending the outcome of the action.

-SOURCE-

(Added Pub. L. 103-322, title III, Sec. 31001(a), Sept. 13, 1994,

108 Stat. 1877.)

-MISC1-

PRIOR PROVISIONS

A prior section 6715, Pub. L. 97-258, Sept. 13, 1982, 96 Stat.

1024, related to prohibition on using payments to influence

legislation, prior to repeal by Pub. L. 99-272, title XIV, Sec.

14001(a)(1), (e), Apr. 7, 1986, 100 Stat. 327, 329, eff. Oct. 18,

1986.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 6719 of this title.

-End-

-CITE-

31 USC Sec. 6716 01/06/03

-EXPCITE-

TITLE 31 - MONEY AND FINANCE

SUBTITLE V - GENERAL ASSISTANCE ADMINISTRATION

CHAPTER 67 - FEDERAL PAYMENTS

-HEAD-

Sec. 6716. Civil action by a person adversely affected

-STATUTE-

(a) Authority for Private Suits in Federal or State Court. - If a

unit of general local government, or an officer or employee of a

unit of general local government acting in an official capacity,

engages in a practice prohibited by this chapter, a person

adversely affected by the practice may bring a civil action in an

appropriate district court of the United States or a State court of

general jurisdiction. Before bringing an action under this section,

the person must exhaust administrative remedies under subsection

(b).

(b) Administrative Remedies Required To Be Exhausted. - A person

adversely affected shall file an administrative complaint with the

Secretary or the head of another agency of the United States

Government or the State agency with which the Secretary has an

agreement under section 6711(d). Administrative remedies are deemed

to be exhausted by the person after the 90th day after the

complaint was filed if the Secretary, the head of the Government

agency, or the State agency -

(1) issues a decision that the government has not failed to

comply with this chapter; or

(2) does not issue a decision on the complaint.

(c) Authority of Court. - In an action under this section, the

court -

(1) may grant -

(A) a temporary restraining order;

(B) an injunction; or

(C) another order, including suspension, termination, or

repayment of, payments under this chapter or placement of

additional payments under this chapter in escrow pending the

outcome of the action; and

(2) to enforce compliance with section 6711(a) or (b), may

allow a prevailing party (except the United States Government) a

reasonable attorney's fee.

(d) Intervention by Attorney General. - In an action under this

section to enforce compliance with section 6711(a) or (b), the

Attorney General may intervene in the action if the Attorney

General certifies that the action is of general public importance.

The United States Government is entitled to the same relief as if

the Government had brought the action and is liable for the same

fees and costs as a private person.

-SOURCE-

(Added Pub. L. 103-322, title III, Sec. 31001(a), Sept. 13, 1994,

108 Stat. 1878.)

-MISC1-

PRIOR PROVISIONS

A prior section 6716, Pub. L. 97-258, Sept. 13, 1982, 96 Stat.

1024; Pub. L. 98-185, Sec. 9(f), (g), Nov. 30, 1983, 97 Stat. 1312;

Pub. L. 98-216, Sec. 1(8), Feb. 14, 1984, 98 Stat. 4, related to

prohibition of discrimination, prior to repeal by Pub. L. 99-272,

title XIV, Sec. 14001(a)(1), (e), Apr. 7, 1986, 100 Stat. 327, 329,

eff. Oct. 18, 1986.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 6714, 6718, 6720 of this

title.

-End-

-CITE-

31 USC Sec. 6717 01/06/03

-EXPCITE-

TITLE 31 - MONEY AND FINANCE

SUBTITLE V - GENERAL ASSISTANCE ADMINISTRATION

CHAPTER 67 - FEDERAL PAYMENTS

-HEAD-

Sec. 6717. Judicial review

-STATUTE-

(a) Appeals in Federal Court of Appeals. - A unit of general

local government which receives notice from the Secretary about

withholding payments under section 6703(f), suspending payments

under section 6713(a)(1)(B), or terminating payments under section

6712(d)(2)(A), may apply for review of the action of the Secretary

by filing a petition for review with the court of appeals of the

United States for the circuit in which the government is located.

The petition shall be filed by the 60th day after the date the

notice is received. The clerk of the court shall immediately send a

copy of the petition to the Secretary.

(b) Filing of Record of Administrative Proceeding. - The

Secretary shall file with the court a record of the proceeding on

which the Secretary based the action. The court may consider only

objections to the action of the Secretary that were presented

before the Secretary.

(c) Court Action. - The court may affirm, change, or set aside

any part of the action of the Secretary. The findings of fact by

the Secretary are conclusive if supported by substantial evidence

in the record. If a finding is not supported by substantial

evidence in the record, the court may remand the case to the

Secretary to take additional evidence. Upon such a remand, the

Secretary may make new or modified findings and shall certify

additional proceedings to the court.

(d) Review Only by Supreme Court. - A judgment of a court under

this section may be reviewed only by the Supreme Court under

section 1254 of title 28, United States Code.

-SOURCE-

(Added Pub. L. 103-322, title III, Sec. 31001(a), Sept. 13, 1994,

108 Stat. 1878.)

-MISC1-

PRIOR PROVISIONS

A prior section 6717, Pub. L. 97-258, Sept. 13, 1982, 96 Stat.

1025; Pub. L. 98-185, Secs. 7, 9(h), Nov. 30, 1983, 97 Stat. 1310,

1312, related to discrimination proceedings, prior to repeal by

Pub. L. 99-272, title XIV, Sec. 14001(a)(1), (e), Apr. 7, 1986, 100

Stat. 327, 329, eff. Oct. 18, 1986.

-End-

-CITE-

31 USC Sec. 6718 01/06/03

-EXPCITE-

TITLE 31 - MONEY AND FINANCE

SUBTITLE V - GENERAL ASSISTANCE ADMINISTRATION

CHAPTER 67 - FEDERAL PAYMENTS

-HEAD-

Sec. 6718. Investigations and reviews

-STATUTE-

(a) Investigations by Secretary. -

(1) In general. - The Secretary shall within a reasonable time

limit -

(A) carry out an investigation and make a finding after

receiving a complaint referred to in section 6716(b), a

determination by a State or local administrative agency, or

other information about a possible violation of this chapter;

(B) carry out audits and reviews (including investigations of

allegations) about possible violations of this chapter; and

(C) advise a complainant of the status of an audit,

investigation, or review of an allegation by the complainant of

a violation of section 6711(a) or (b) or other provision of

this chapter.

(2) Time limit. - The maximum time limit under paragraph (1)(A)

is 120 days.

(b) Reviews by Comptroller General. - The Comptroller General of

the United States may carry out reviews of the activities of the

Secretary, State governments, and units of general local government

necessary for the Congress to evaluate compliance and operations

under this chapter. These reviews may include a comparison of the

waste and inefficiency of local governments using funds under this

chapter compared to waste and inefficiency with other comparable

Federal programs.

-SOURCE-

(Added Pub. L. 103-322, title III, Sec. 31001(a), Sept. 13, 1994,

108 Stat. 1879; amended Pub. L. 104-316, title I, Sec. 115(k), Oct.

19, 1996, 110 Stat. 3835.)

-MISC1-

PRIOR PROVISIONS

A prior section 6718, Pub. L. 97-258, Sept. 13, 1982, 96 Stat.

1026; Pub. L. 98-185, Sec. 9(i), Nov. 30, 1983, 97 Stat. 1312,

related to suspension and termination of payments in discrimination

proceedings, prior to repeal by Pub. L. 99-272, title XIV, Sec.

14001(a)(1), (e), Apr. 7, 1986, 100 Stat. 327, 329, eff. Oct. 18,

1986.

AMENDMENTS

1996 - Subsec. (b). Pub. L. 104-316 substituted "may" for "shall"

before "carry" and "include".

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 6703 of this title.

-End-

-CITE-

31 USC Sec. 6719 01/06/03

-EXPCITE-

TITLE 31 - MONEY AND FINANCE

SUBTITLE V - GENERAL ASSISTANCE ADMINISTRATION

CHAPTER 67 - FEDERAL PAYMENTS

-HEAD-

Sec. 6719. Reports

-STATUTE-

(a) Reports by Secretary to Congress. - Before June 2 of each

year prior to 2002, the Secretary personally shall report to the

Congress on -

(1) the status and operation of the Local Government Fiscal

Assistance Fund during the prior fiscal year; and

(2) the administration of this chapter, including a complete

and detailed analysis of -

(A) actions taken to comply with sections 6711 through 6715,

including a description of the kind and extent of noncompliance

and the status of pending complaints;

(B) the extent to which units of general local government

receiving payments under this chapter have complied with the

requirements of this chapter;

(C) the way in which payments under this chapter have been

distributed in the jurisdictions receiving payments; and

(D) significant problems in carrying out this chapter and

recommendations for legislation to remedy the problems.

(b) Reports by Units of General Local Government to Secretary. -

(1) In general. - At the end of each fiscal year, each unit of

general local government which received a payment under this

chapter for the fiscal year shall submit a report to the

Secretary. The report shall be submitted in the form and at a

time prescribed by the Secretary and shall be available to the

public for inspection. The report shall state -

(A) the amounts and purposes for which the payment has been

appropriated, expended, or obligated in the fiscal year;

(B) the relationship of the payment to the relevant

functional items in the budget of the government; and

(C) the differences between the actual and proposed use of

the payment.

(2) Availability of report. - The Secretary shall provide a

copy of a report submitted under paragraph (1) by a unit of

general local government to the chief executive officer of the

State in which the government is located. The Secretary shall

provide the report in the manner and form prescribed by the

Secretary.

-SOURCE-

(Added Pub. L. 103-322, title III, Sec. 31001(a), Sept. 13, 1994,

108 Stat. 1879.)

-MISC1-

PRIOR PROVISIONS

A prior section 6719, Pub. L. 97-258, Sept. 13, 1982, 96 Stat.

1027, related to compliance agreements, prior to repeal by Pub. L.

99-272, title XIV, Sec. 14001(a)(1), (e), Apr. 7, 1986, 100 Stat.

327, 329, eff. Oct. 18, 1986.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 6703 of this title.

-End-

-CITE-

31 USC Sec. 6720 01/06/03

-EXPCITE-

TITLE 31 - MONEY AND FINANCE

SUBTITLE V - GENERAL ASSISTANCE ADMINISTRATION

CHAPTER 67 - FEDERAL PAYMENTS

-HEAD-

Sec. 6720. Definitions, application, and administration

-STATUTE-

(a) Definitions. - In this chapter -

(1) "unit of general local government" means -

(A) a county, township, city, or political subdivision of a

county, township, or city, that is a unit of general local

government as determined by the Secretary of Commerce for

general statistical purposes; and

(B) the District of Columbia and the recognized governing

body of an Indian tribe or Alaskan Native village that carries

out substantial governmental duties and powers;

(2) "payment period" means each 1-year period beginning on

October 1 of the years 1994 through 2000;

(3) "State and local taxes" means taxes imposed by a State

government or unit of general local government or other political

subdivision of a State government for public purposes (except

employee and employer assessments and contributions to finance

retirement and social insurance systems and other special

assessments for capital outlay) as determined by the Secretary of

Commerce for general statistical purposes;

(4) "State" means any of the several States and the District of

Columbia;

(5) "income" means the total money income received from all

sources as determined by the Secretary of Commerce for general

statistical purposes, which for units of general local government

is reported by the Bureau of the Census for 1990 in the

publication Summary Social, Economic, and Housing

Characteristics;

(6) "per capita income" means -

(A) in the case of the United States, the income of the

United States divided by the population of the United States;

(B) in the case of a State, the income of that State, divided

by the population of that State; and

(C) in the case of a unit of general local government, the

income of that unit of general local government divided by the

population of the unit of general local government;

(7) "finding of discrimination" means a decision by the

Secretary about a complaint described in section 6716(b), a

decision by a State or local administrative agency, or other

information (under regulations prescribed by the Secretary) that

it is more likely than not that a unit of general local

government has not complied with section 6711(a) or (b);

(8) "holding of discrimination" means a holding by a United

States court, a State court, or an administrative law judge

appointed under section 3105 of title 5, United States Code, that

a unit of general local government expending amounts received

under this chapter has -

(A) excluded a person in the United States from participating

in, denied the person the benefits of, or subjected the person

to discrimination under, a program or activity because of race,

color, national origin, or sex; or

(B) violated a prohibition against discrimination described

in section 6711(b); and

(9) "Secretary" means the Secretary of Housing and Urban

Development.

(b) Delegation of Administration. - The Secretary may enter into

agreements with other executive branch departments and agencies to

delegate to that department or agency all or part of the

Secretary's responsibility for administering this chapter.

(c) Treatment of Subsumed Areas. - If the entire geographic area

of a unit of general local government is located in a larger

entity, the unit of general local government is deemed to be

located in the larger entity. If only part of the geographic area

of a unit is located in a larger entity, each part is deemed to be

located in the larger entity and to be a separate unit of general

local government in determining allocations under this chapter.

Except as provided in regulations prescribed by the Secretary, the

Secretary shall make all data computations based on the ratio of

the estimated population of the part to the population of the

entire unit of general local government.

(d) Boundary and Other Changes. - If a boundary line change, a

State statutory or constitutional change, annexation, a

governmental reorganization, or other circumstance results in the

application of sections 6704 through 6708 in a way that does not

carry out the purposes of sections 6701 through 6708, the Secretary

shall apply sections 6701 through 6708 under regulations of the

Secretary in a way that is consistent with those purposes.

-SOURCE-

(Added Pub. L. 103-322, title III, Sec. 31001(a), Sept. 13, 1994,

108 Stat. 1880.)

-MISC1-

PRIOR PROVISIONS

Prior sections 6720 to 6724 were repealed by Pub. L. 99-272,

title XIV, Sec. 14001(a)(1), (e), Apr. 7, 1986, 100 Stat. 327, 329,

eff. Oct. 18, 1986.

Section 6720, Pub. L. 97-258, Sept. 13, 1982, 96 Stat. 1027,

related to enforcement by Attorney General of prohibitions on

discrimination.

Section 6721, Pub. L. 97-258, Sept. 13, 1982, 96 Stat. 1028,

related to civil action by person adversely affected.

Section 6722, Pub. L. 97-258, Sept. 13, 1982, 96 Stat. 1028,

related to judicial review.

Section 6723, Pub. L. 97-258, Sept. 13, 1982, 96 Stat. 1029; Pub.

L. 98-185, Sec. 8, Nov. 30, 1983, 97 Stat. 1310, related to audits,

investigations, and reviews.

Section 6724, Pub. L. 97-258, Sept. 13, 1982, 96 Stat. 1030,

related to reports to Congress.

-End-