---
kind: "section"
citation: "42 U.S.C. § 290cc–31"
title: "42"
title_heading: "The Public Health and Welfare"
number: "290cc–31"
heading: "Failure to comply with agreements"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/42/290cc-31"
units:
  - "Chapter 6A — Public Health Service"
  - "Subchapter III–A — Substance Abuse and Mental Health Services Administration"
  - "Part C — Projects for Assistance in Transition From Homelessness"
---

# §290cc–31. Failure to comply with agreements

- (a) **Repayment of payments—**
  - (1) The [Secretary](/usc/42/201.md?p=c) may, subject to [subsection (c)](#c), require a [State](/usc/42/201.md?p=f) to repay any payments received by the [State](/usc/42/201.md?p=f) under [section 290cc–21 of this title](/usc/42/290cc–21.md) that the [Secretary](/usc/42/201.md?p=c) determines were not expended by the [State](/usc/42/201.md?p=f) in accordance with the agreements required to be contained in the application submitted by the [State](/usc/42/201.md?p=f) pursuant to [section 290cc–29 of this title](/usc/42/290cc–29.md).
  - (2) If a [State](/usc/42/201.md?p=f) fails to make a repayment required in [paragraph (1)](#a-1), the [Secretary](/usc/42/201.md?p=c) may offset the amount of the repayment against the amount of any payment due to be paid to the [State](/usc/42/201.md?p=f) under [section 290cc–21 of this title](/usc/42/290cc–21.md).
- (b) **Withholding of payments—**
  - (1) The [Secretary](/usc/42/201.md?p=c) may, subject to [subsection (c)](#c), withhold payments due under [section 290cc–21 of this title](/usc/42/290cc–21.md) if the [Secretary](/usc/42/201.md?p=c) determines that the [State](/usc/42/201.md?p=f) involved is not expending amounts received under such section in accordance with the agreements required to be contained in the application submitted by the [State](/usc/42/201.md?p=f) pursuant to [section 290cc–29 of this title](/usc/42/290cc–29.md).
  - (2) The [Secretary](/usc/42/201.md?p=c) shall cease withholding payments from a [State](/usc/42/201.md?p=f) under [paragraph (1)](#b-1) if the [Secretary](/usc/42/201.md?p=c) determines that there are reasonable assurances that the [State](/usc/42/201.md?p=f) will expend amounts received under [section 290cc–21 of this title](/usc/42/290cc–21.md) in accordance with the agreements referred to in such paragraph.
  - (3) The [Secretary](/usc/42/201.md?p=c) may not withhold funds under [paragraph (1)](#b-1) from a [State](/usc/42/201.md?p=f) for a minor failure to comply with the agreements referred to in such paragraph.
- (c) **Opportunity for hearing—** Before requiring repayment of payments under [subsection (a)(1)](#a-1), or withholding payments under [subsection (b)(1)](#b-1), the [Secretary](/usc/42/201.md?p=c) shall provide to the [State](/usc/42/201.md?p=f) an opportunity for a hearing.
- (d) **Rule of construction—** Notwithstanding any other provision of this part, a [State](/usc/42/201.md?p=f) receiving payments under [section 290cc–21 of this title](/usc/42/290cc–21.md) may not, with respect to any agreements required to be contained in the application submitted under [section 290cc–29 of this title](/usc/42/290cc–29.md), be considered to be in [violation](/usc/42/2000e–16a.md?p=c) of any such agreements by reason of the fact that the [State](/usc/42/201.md?p=f), in the regular course of providing [services](/usc/42/201.md?p=a) under [section 290cc–22(b) of this title](/usc/42/290cc–22.md?p=b) to [eligible homeless individuals](/usc/42/290cc–34.md?p=1), incidentally provides [services](/usc/42/201.md?p=a) to [homeless individuals](/usc/42/290cc–34.md?p=2) who are not [eligible homeless individuals](/usc/42/290cc–34.md?p=1).

## Source credit

(July 1, 1944, ch. 373, title V, § 531, as added Pub. L. 100–77, title VI, § 611(3), July 22, 1987, 101 Stat. 521; amended Pub. L. 101–645, title V, § 511, Nov. 29, 1990, 104 Stat. 4731.)

## Notes

### Editorial Notes

### Amendments

1990—Pub. L. 101–645 amended section generally, substituting provisions relating to failure to comply with agreements for provision relating to technical assistance.