--- kind: "section" citation: "42 U.S.C. § 4766" title: "42" title_heading: "The Public Health and Welfare" number: "4766" heading: "Distribution of grants" release: "119-102" date: "2026-07-12" url: "https://uscodex.org/usc/42/4766" units: - "Chapter 62 — Intergovernmental Personnel Program" - "Subchapter IV — General Provisions" --- # §4766. Distribution of grants - (a) **State and local government allocations; equitable distribution—** The [Office](/usc/42/4762.md?p=1) shall allocate 20 per centum of the total amount available for grants under this chapter in such manner as will most nearly provide an equitable distribution of the grants among [States](/usc/42/4762.md?p=3) and between [State](/usc/42/4762.md?p=3) and [local governments](/usc/42/4762.md?p=4), taking into consideration such factors as the size of the population, number of employees affected, the urgency of the programs or [projects](/usc/42/13641.md?p=2), the need for funds to carry out the purposes of this chapter, and the potential of the governmental jurisdictions concerned to use the funds most effectively. - (b) **Weighted formula; minimum allocation; reallocation; “State” defined—** - (1) The [Office](/usc/42/4762.md?p=1) shall allocate 80 per centum of the total amount available for grants under this chapter among the [States](/usc/42/4762.md?p=3) on a weighted formula taking into consideration such factors as the size of population and the number of [State](/usc/42/4762.md?p=3) and [local government](/usc/42/4762.md?p=4) employees affected. - (2) The amount allocated for each [State](/usc/42/4762.md?p=3) under paragraph (1) of this subsection shall be further allocated by the [Office](/usc/42/4762.md?p=1) to meet the needs of both the [State](/usc/42/4762.md?p=3) government and the [local governments](/usc/42/4762.md?p=4) within the [State](/usc/42/4762.md?p=3) on a weighted formula taking into consideration such factors as the number of [State](/usc/42/4762.md?p=3) and [local government](/usc/42/4762.md?p=4) employees and the amount of [State](/usc/42/4762.md?p=3) and [local government](/usc/42/4762.md?p=4) expenditures. The [Office](/usc/42/4762.md?p=1) shall determine the categories of employees and expenditures to be included or excluded, as the case may be, in the number of employees and amount of expenditures. The minimum [allocation](/usc/42/2021b.md?p=2) for meeting needs of [local governments](/usc/42/4762.md?p=4) in each [State](/usc/42/4762.md?p=3) (other than the District of Columbia, the Commonwealth of Puerto Rico, Guam, American Samoa, and the Virgin Islands) shall be 50 per centum of the amount allocated for the [State](/usc/42/4762.md?p=3) under paragraph (1) of this subsection. - (3) The amount of any [allocation](/usc/42/2021b.md?p=2) under paragraph (2) of this subsection which the [Office](/usc/42/4762.md?p=1) determines, on the basis of information available to it, will not be used to meet needs for which allocated shall be available for use to meet the needs of the [State](/usc/42/4762.md?p=3) government or [local governments](/usc/42/4762.md?p=4) in that [State](/usc/42/4762.md?p=3), as the case may be, on such date or dates as the [Office](/usc/42/4762.md?p=1) may fix. - (4) The amount allocated for any [State](/usc/42/4762.md?p=3) under paragraph (1) of this subsection which the [Office](/usc/42/4762.md?p=1) determines, on the basis of information available to it, will not be used shall be available for reallocation by the [Office](/usc/42/4762.md?p=1) from time to time, on such date or dates as it may fix, among other [States](/usc/42/4762.md?p=3) with respect to which such a determination has not been made, in accordance with the formula set forth in paragraph (1) of this subsection, but with such amount for any of such other [States](/usc/42/4762.md?p=3) being reduced to the extent it exceeds the sum the [Office](/usc/42/4762.md?p=1) estimates said [State](/usc/42/4762.md?p=3) needs and will be able to use; and the total of such reductions shall be similarly reallocated among the [States](/usc/42/4762.md?p=3) whose proportionate amounts were not so reduced. - (5) For the purposes of this subsection, “[State](/usc/42/4762.md?p=3)” means the several [States](/usc/42/4762.md?p=3) of the United States, the District of Columbia, the Commonwealth of Puerto Rico, Guam, American Samoa, and the Virgin Islands. - (c) **Payment limitation—** Notwithstanding the other provisions of this section, the total of the payments from the appropriations for any fiscal year under this chapter made with respect to programs or [projects](/usc/42/13641.md?p=2) in any one [State](/usc/42/4762.md?p=3) may not exceed an amount equal to 12½ per centum of such appropriation. ## Source credit (Pub. L. 91–648, title V, § 506, Jan. 5, 1971, 84 Stat. 1927; Pub. L. 95–454, title VI, § 602(e), Oct. 13, 1978, 92 Stat. 1189; 1978 Reorg. Plan No. 2, § 102, eff. Jan. 1, 1979, 43 F.R. 36037, 92 Stat. 3783.) ## Notes ### Editorial Notes ### References in Text This chapter, referred to in subsecs. (a), (b)(1), and (c), means the provisions of subchapters I, II, III, and IV of this chapter. See section 4761 of this title. ### Amendments 1978—Subsec. (b)(2), (5). Pub. L. 95–454 inserted references to Commonwealth of Puerto Rico, Guam, American Samoa, and the Virgin Islands. ### Statutory Notes and Related Subsidiaries ### Effective Date of 1978 Amendment Amendment by Pub. L. 95–454 effective 90 days after Oct. 13, 1978, see section 907 of Pub. L. 95–454, set out as a note under section 1101 of Title 5, Government Organization and Employees. ### Executive Documents ### Transfer of Functions “Office”, meaning Office of Personnel Management, substituted for “Commission”, meaning Civil Service Commission, in subsecs. (a) and (b), pursuant to Reorg. Plan No. 2 of 1978, § 102, 43 F.R. 36037, 92 Stat. 3783, set out under section 1101 of Title 5, Government Organization and Employees, which transferred functions vested by statute in Civil Service Commission and Chairman thereof to Director of Office of Personnel Management (except as otherwise specified), effective Jan. 1, 1979, as provided by section 1–102 of Ex. Ord. No. 12107, Dec. 28, 1978, 44 F.R. 1055, set out under section 1101 of Title 5.