Hearings

1 ments to States for carrying out this section with respect to 2 expenditures under State plans approved under section 101, 3 and for carrying out section 111, the non-Federal share shall, 4 subject to such limitations and conditions as may be prescribed 5 in regulations of the Secretary, include contributions of funds 6 made by any private agency, organization, or individual to a 7 State or local agency to assist in meeting the costs of con8 struction or establishment of a public or nonprofit rehabilita9 tion facility, which would be regarded as State or local funds 10 except for the condition, imposed by the contributor, limiting 11 use of such funds to construction or establishment of such 12 facility.

13 (d) Whenever the Secretary determines that any

amount of an allotment to a State for any fiscal year will

not be utilized by such State in carrying out the purposes of 16 this title, he shall make such amount available for carrying

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

to the extent he determines such other State will be able to 19 use such additional amount during such year for carrying

out such purposes. Any amount made available to a State 21 for any fiscal year pursuant to the preceding sentence shall,

22 for the purposes of this Act, be regarded as an increase of 23 such State's allotment (as determined under the preceding 24 provisions of this section) for such year.

1 (e) The method of computing and paying amounts pur2 suant to subsection (a) shall be as follows:

3 (1) The Secretary shall, prior to the beginning of each 4 calendar quarter or other period prescribed by him, estimate 5 the amount to be paid to each State under the provisions of 6 such subsection for such period, such estimate to be based on 7 such records of the State and information furnished by it, 8 and such other investigation, as the Secretary may 9 necessary.

find

(2) The Secretary shall pay, from the allotment avail11 able therefor, the amount so estimated by him for such pe12 riod, reduced or increased, as the case may be, by any sum 13 (not previously adjusted under this paragraph) by which he 14 finds that his estimate of the amount to be paid the State for 15 any prior period under such subsection was greater or less 16 than the amount which should have been paid to the State 17 for such prior period under such subsection. Such payment 18 shall be made prior to audit or settlement by the General 19 Accounting Office, shall be made through the disbursing 20 facilities of the Treasury Department, and shall be made in 21 such installments as the Secretary may determine. 22 (f) From the amount allotted to each State under this 23 section, each State shall set aside 1 per centum of such allot24 ment for the purpose of establishing and maintaining the 25 State Advisory Council required by section 211 (b), and

1 shall expend from the sums so set aside such amount as is

2 needed to cover the costs of such activities, but in no event

more than $150,000 or less than $50,000. Amounts so set

4 aside and unexpended shall be available for carrying out the 5 plan approved under section 101.

(g) No payment may be made from an allotment under

7 this part relating to any cost with respect to which any 8 payment is made under any other part or title of this Act.

INNOVATION AND EXPANSION GRANTS

10 SEC. 111. (a) (1) From the sums available pursuant to 11 section 100 (b) for any fiscal year for grants to States to 12 assist them in meeting the costs described in paragraph (2) 13 of this subsection, each State shall be entitled to an allotment 14 of an amount bearing the same ratio to such sums as the

population of the State bears to the population of all the

States. The allotment to any State under the preceding sen

tence for any fiscal year which is less than $50,000 (or such

other amount as may be specified as a minimum allotment in

the Act appropriating such sums for such year) shall be in20 creased to that amount, and for the fiscal years ending

222

June 30, 1973, and June 30, 1974, no State shall receive less

than the amount necessary to cover 90 per centum of the cost

of continuing projects assisted under section 4 (a) (2) (A)

of the Vocational Rehabilitation Act, except that no such

project may receive financial assistance under both the Vo

1 cational Rehabilitation Act and this Act for a total period of 2 time in excess of three years. The total of the increases re3 quired by the preceding sentence shall be derived by propor4 tionately reducing the allotments to each of the remaining 5 States under the first sentence of this section, but with such 6 adjustments as may be necessary to prevent the allotment of 7 any of such remaining States from thereby being reduced to 8 less than $50,000.

(2) From each State's allotment under this section for 10 any fiscal year, the Secretary shall pay to such State or, at 11 the option of the State agency designated pursuant to sec12 tion 101 (a) (1) (A), to a public or nonprofit organization 13 or agency a portion of the cost of planning, preparing for, 14 and initiating special programs under the State plan approved pursuant to section 101 to expand vocational and comprehen16 sive rehabilitation services, including programs to initiate or 17 expand such services to severely handicapped individuals, or 18 of special programs under such State plan to initiate or ex

pand services to classes of handicapped individuals who have 20 unusual and difficult problems in connection with their 21 rehabilitation, particularly handicapped individuals who are 22 poor, and responsibility for whose treatment, education, and 23 rehabilitation is shared by the State agency designated in 24 section 101 with other agencies. The Secretary may require that any portion of a State's allotment under this section, but

1 not more than fifty per centum of such allotment may be 2 expended in connection with only such projects as have first 3 been approved by the Secretary. Any grant of funds under 4 this section which will be used for direct services to handi5 capped individuals or for establishing or maintaining facili6 ties which will render direct services to such individuals must have the prior approval of the appropriate State agency 8 designated pursuant to section 101.

9 (b) Payments under this section with respect to any 10 project may be made for a period of not to exceed three years 11 beginning with the commencement of the project as ap12 proved. Payments with respect to any project may 13 not exceed 90 per centum of the cost of such project. The 14 non-Federal share of the cost of a project may be in cash or 15 in kind and may include funds spent for project purposes by

a cooperating public or nonprofit agency provided that it 17 is not included as a cost in any other federally financed

vance or by way of reimbursement for services performed 21 and purchases made, as may be determined by the Secre

tary, and shall be made on such conditions as the Secretary 23 finds necessary to carry out the purposes of this section.

(d) Whenever the Secretary determines that any amount of an allotment to a State for any fiscal year will

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