---
kind: "section"
citation: "31 U.S.C. § 6907"
title: "31"
title_heading: "Money and Finance"
number: "6907"
heading: "State legislation requiring reallocation or redistribution of payments to smaller units of general purpose government"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/31/6907"
units:
  - "Subtitle V — General Assistance Administration"
  - "Chapter 69 — Payment for Entitlement Land"
---

# §6907. State legislation requiring reallocation or redistribution of payments to smaller units of general purpose government

- (a) Notwithstanding any other provision of this chapter, a [State](/usc/31/6201.md?p=2) may enact legislation which requires that any payments which would be made to units of general [local government](/usc/31/6302.md?p=3) pursuant to this chapter be reallocated and redistributed in whole or part to other smaller units of general purpose government which (1) are located within the boundaries of the larger [unit of general local government](/usc/31/6501.md?p=10), (2) provide general [governmental services](/usc/31/6901.md?p=2-B) and (3) contain [entitlement lands](/usc/31/6901.md?p=1) within their boundaries. Such reallocation or redistribution shall generally reflect the level of services provided by, and the number of entitlement acres within, the smaller [unit of general local government](/usc/31/6501.md?p=10).
- (b) Upon enactment of legislation by a [State](/usc/31/6201.md?p=2), described in [subsection (a)](#a), the [Secretary](/usc/31/6401.md?p=6) shall make one payment to such [State](/usc/31/6201.md?p=2) equaling the aggregate amount of payments which he otherwise would have made to units of general [local government](/usc/31/6302.md?p=3) within such [State](/usc/31/6201.md?p=2) pursuant to this chapter. It shall be the responsibility of such [State](/usc/31/6201.md?p=2) to make any further distribution of the payment pursuant to [subsection (a)](#a). Such redistribution shall be made within 30 days after receipt of such payment. No payment, or portion thereof, made by the [Secretary](/usc/31/6401.md?p=6) shall be used by any [State](/usc/31/6201.md?p=2) for the administration of this subsection or [subsection (a)](#a).
- (c) Appropriations made for payments in lieu of taxes for a fiscal year may be used to correct underpayments in the previous fiscal year to achieve equity among all qualified [recipients](/usc/31/7501.md?p=a-17).

## Source credit

(Added Pub. L. 98–63, title I, July 30, 1983, 97 Stat. 324; amended Pub. L. 103–272, § 4(f)(1)(U)(ii), July 5, 1994, 108 Stat. 1362.)

## Notes

### Editorial Notes

### Amendments

1994—Pub. L. 103–272 inserted section catchline.