31 U.S.C. § 6702 — Local Government Fiscal Assistance Fund

Page 537 TITLE 31—MONEY AND FINANCE § 6702 1 See References in Text note below. 2 So in original. Probably should be ‘‘632(p)’’. (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 appro- priated 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 gov- ernment. (f) EXPENDITURE WITH DISADVANTAGED BUSI- NESS 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 obli- gated by the unit for contracts and sub- contracts shall be expended with— (A) small business concerns controlled by socially and economically disadvantaged in- dividuals and women; (B) historically Black colleges and univer- sities 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 con- cerns. (2) EXCEPTION.—Paragraph (1) shall not apply to amounts paid to a unit of general local government to the extent the unit deter- mines that the paragraph does not apply through a process that provides for public par- ticipation. (3) DEFINITIONS.—For purposes of this sub- section— (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 subcon- tracting 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) 1 of the Small Busi- ness Act (15 U.S.C. 632(o) 2). (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 govern- ment for accounts serving eligible purposes under this chapter in the fiscal year imme- diately preceding receipt of a grant under this chapter shall be designated the ‘‘base level ac- count’’ 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 dol- lar basis to the extent that a unit of local gov- ernment reduces its base level account in that fiscal year. (Added Pub. L. 103–322, title III, § 31001(a), Sept. 13, 1994, 108 Stat. 1859; amended Pub. L. 105–135, title VI, § 604(e)(2), Dec. 2, 1997, 111 Stat. 2633.) Editorial Notes REFERENCES IN TEXT Sections 3 and 8(d) of the Small Business Act, re- ferred to in subsec. (f)(3), are classified to sections 632 and 637(d), respectively, of Title 15, Commerce and Trade. Section 3(p) of the Act was redesignated as sec- tion 31(b) by Pub. L. 115–91, div. A, title XVII, § 1701(a)(2), Dec. 12, 2017, 131 Stat. 1795, and is now clas- sified to section 657a(b) of Title 15. PRIOR PROVISIONS A prior section 6701, Pub. L. 97–258, Sept. 13, 1982, 96 Stat. 1010; Pub. L. 98–185, §§ 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, § 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, § 604(e)(2)(A), added subpar. (C). Subsec. (f)(3)(C). Pub. L. 105–135, § 604(e)(2)(B), added subpar. (C). Statutory Notes and Related Subsidiaries 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 Pub. L. 103–322, title III, § 31001(b), Sept. 13, 1994, 108 Stat. 1881, 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 regula- tions, to implement subsection (a) [enacting this chap- ter], 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 regula- tions.’’ § 6702. Local Government Fiscal Assistance Fund (a) ADMINISTRATION OF FUND.—The Depart- ment 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 ex- pended. Page 538 TITLE 31—MONEY AND FINANCE § 6703 1 See References in Text note below. (c) ADMINISTRATIVE COSTS.—Up to 2.5 percent of the amount authorized to be appropriated under subsection (b) is authorized to be appro- priated for the period fiscal year 1995 through fiscal year 2000 to be available for administra- tive costs by the Secretary in furtherance of the purposes of the program. Such sums are to re- main available until expended. (Added Pub. L. 103–322, title III, § 31001(a), Sept. 13, 1994, 108 Stat. 1861.) Editorial Notes 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, § 14001(a)(1), (e), Apr. 7, 1986, 100 Stat. 327, 329, eff. Oct. 18, 1986. Statutory Notes and Related Subsidiaries DEFICIT NEUTRALITY Pub. L. 103–322, title III, § 31001(c), Sept. 13, 1994, 108 Stat. 1881, provided that: ‘‘Any appropriation to carry out the amendment made by this subtitle [subtitle J (§§ 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 ap- propriations for that fiscal year.’’ § 6703. Qualification for payment (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 assist- ance provided shall be used, in amounts deter- mined by the unit, for activities under, or for activities that are substantially similar to an activity under, 1 or more of the following pro- grams 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 amend- ed 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 cer- tain Independent Agencies, for the fiscal year ending September 30, 1991, and for other pur- poses’’, approved November 5, 1990 (Public Law 101–509). (4) Programs under title I of the Workforce Innovation and Opportunity Act. (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 Op- portunities Act (Public Law 103–239). (7) Substance Abuse Treatment and Preven- tion 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 D. Perkins Ca- reer and Technical Education Act of 2006 (20 U.S.C. 2301 et seq.). (13) The demonstration partnership pro- grams including the community initiative tar- geted 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 pro- gram and the transitional living program for homeless youth under title III of the Juvenile Justice and Delinquency Prevention Act (Pub- lic Law 102–586). (15) After-school activities for school aged children under the Child Care and Develop- ment Block Grant Act (42 U.S.C. 9858 1 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 Depart- ment of Defense, or the Department of Hous- ing and Urban Development. (b) NOTICE TO AGENCY.—Upon receipt of notice under subsection (a) from an eligible unit of gen- eral local government, the Secretary shall no- tify 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 assist- ance 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 agen- cy 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 de- scribed 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 govern- ment that it intends to use assistance under this chapter for an activity other than an ac- tivity described in subsection (a) is deemed to describe an activity that is consistent with 1 or more of the purposes described in section