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1 expenditures under State plan approved under section 105, 2 and for section 104, State funds shall, subject to such limita3 tions and conditions as may be prescribed in regulations of 4 the Secretary, include contributions of funds made by any 5 private agency, organization, or individual to a State to as6 sist in meeting the costs of construction or establishment of

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a public or other nonprofit rehabilitation facility, which

8 would be regarded as State funds except for the condition,

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imposed by the contributor, limiting use of such funds to 10 construction or establishment of such facility.

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(d) Whenever the Secretary determines that any amount of an allotment to a State for any fiscal year will 13 not be utilized by such State in carrying out the purposes of this title, he shall make such amount available for carrying

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out the purposes of this title to one or more other States

to the extent he determines such other State will be able to

use such additional amount during such year for carrying

out such purposes. Any amount made available to a State

for any fiscal year pursuant to the preceding sentence shall, 20 for the purposes of this Act, be regarded as an increase of

21 such State's allotment (as determined under the preceding

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provisions of this section) for such year.

(e) The method of computing and paying amounts pur

suant to subsection (a) shall be as follows:

(1) The Secretary shall, prior to the beginning of each

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1 calendar quarter or other period prescribed by him, estimate 2 the amount to be paid to each State under the provisions of 3 such section for such period, such estimate to be based on 4 such records of the State and information furnished by it, 5 and such other investigation, as the Secretary may find

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7 (2) The Secretary shall pay, from the allotment avail8 able therefor, the amount so estimated by him for such pe9 riod, reduced or increased, as the case may be, by any sum 10 (not previously adjusted under this paragraph) by which he finds that his estimate of the amount to be paid the State for

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any prior period under such section was greater or less than 13 the amount which should have been paid to the State for 14 such prior period under such section. Such payment shall be 15 made prior to audit or settlement by the General Accounting 16 Office, shall be made through the disbursing facilities of the 17 Treasury Department, and shall be made in such install18 ments as the Secretary may determine.

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19 GRANTS TO STATES TO INITIATE OR EXPAND SERVICES SEC. 104. (a) (1) From the sums available for any fiscal 21 year for grants to States to assist them in meeting the costs 22 described in paragraph (2) of this subsection, each State 23 shall be entitled to an allotment of an amount bearing the same ratio to such sums as the population of the State bears

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25 to the population of all the States. The allotment to any

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1 State under the preceding sentence for any fiscal year which 2 is less than $50,000 (or such other amount as may be speci3 fied as a minimum allotment in the Act appropriating such

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sums for such year) shall be increased to that amount, the 5 total of the increases thereby required being derived by pro6 portionately reducing the allotments to each of the remain7 ing States under the preceding sentence, but with such ad8 justments as may be necessary to prevent the allotment of 9 any of such remaining States from being thereby reduced to 10 less than that amount.

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(2) From each State's allotment under this section for

any fiscal year, the Secretary shall pay to such State or, at 13 the option of the State agency designated according to sec14 tion 105 (A) (1), to a public or private nonprofit organiza15 tion or agency a portion of the cost of planning, preparing 16 for, and initiating special programs under the State plan 17 approved pursuant to section 105 to expand vocational re18 habilitation services, or of special programs under such State 19 plan to initiate or expand services to classes of handicapped 20 individuals who have unusual and difficult problems in con21 nection with their rehabilitation, and responsibility for whose 22 treatment, education, and rehabilitation is shared by the State 23 agency designated in section 105 (a) (1) with other agencies. 24 Any grant of funds under this section which will be used 25 for direct services to handicapped individuals or for estab

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1 lishing or maintaining facilities which will render direct. 2 services to such individuals must have the prior approval of 3 the appropriate State agency designated in section 105 4 (a) (1).

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(b) Payments under this section with respect to any

project may be made for a period of not to exceed three years 7 beginning with the commencement of the project as ap8 proved, and sums appropriated for grants under this section 9 shall remain available for such grants through the close of 10 June 30, 1976. Payments with respect to any project may 11 not exceed 90 per centum of the cost of such project. The 12 non-Federal share of the cost of a project may be in cash or 13 in kind and may include funds spent for project purposes by a cooperating public or private agency provided that it is not 15 included as a cost in any other federally financed program.

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(c) Payments under this section may be made in advance or by way of reimbursement for services performed and

purchases made, as may be determined by the Secretary; and 19 shall be made on such conditions as the Secretary finds nec

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essary to carry out the purposes of this section.

(d) No payment may be made from an allotment under this section with respect to any cost with respect to which

any payment is made under section 103.

(e) Whenever the Secretary determines that any amount

of an allotment to a State for any fiscal year will not be

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1 utilized by such State in carrying out the purposes of this 2 section, he shall make such amount available for carrying out

3 the purposes of this section to one or more other States

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which he determines will be able to use additional amounts 5 during such year for carrying out such purposes. Any amount 6 made available to a State for any fiscal year pursuant to the 7 preceding sentence shall, for purposes of this Act, be re8 garded as an increase of such State's allotment (as deter9 mined under the preceding provisions of this section) for 10 such year.

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STATE PLANS

SEC. 105. (a) In order to be approved by the Secretary under this title, a State plan for vocational rehabilitation 14 services shall

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(1) (A) designate a State agency as the sole State agency to administer the plan, or to supervise its administration by a local agency, except that (i) where under the State's law the State blind commission or other agency which provides assistance or services to the adult blind, is authorized to provide them vocational rehabili

tation services, such commission or agency may be designated as the sole State agency to administer the part of the plan under which vocational rehabilitation services

are provided for the blind (or to supervise the adminis

tration of such part by a local agency and a separate

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