Link to an amendment published at 89 FR 70335, Aug. 29, 2024.

If a program statute authorizes a State to make subgrants, the statute:

1. (a) Requires the State to use a formula to distribute funds;
2. (b) Gives the State discretion to select subgrantees through a competition among the applicants or through some other procedure; or

3. (c) Allows some combination of these procedures.

   (Authority: 20 U.S.C. 1221e-3, 3474, and 6511(a))

[45 FR 22517, Apr. 3, 1980. Redesignated at 45 FR 77368, Nov. 21, 1980, as amended at 54 FR 21776, May 19, 1989]