12 1 obligated by the center in the preceding fiscal year for its 2 operating expenses. 3 "(d) The costs for which grants may be made under 4 section 203 or 204 shall be determined in the manner pre5 scribed in regulations of the Secretary issued after consulta 6 tion with the National Advisory Mental Health Council. 7 8 "GRANTS FOR INITIAL OPERATION OF CENTERS "SEC. 203. (a) The Secretary may make grants to 9 public and nonprofit private community mental health cen10 ters to assist them in meeting their costs of operation during 11 the first five years (or eight years in the case of a community 12 mental health center providing services for persons residing 13 in an area designated by the Secretary as an urban or rural 14 poverty area) after their establishment. 15 "(b) Each grant under this section to a community 16 mental health center shall be made for the costs of its opera17 tion for the one year period beginning on the first day of the 18 first month for which such grant is made. No center may 19 receive more than five grants under this section unless the 20 center provides services for persons residing in an area desig21 nated by the Secretary as an urban or rural poverty area, 22 in which case it may receive not more than eight such grants. 2 23 24 "(c) (1) Except as provided in paragraph (2), the amount of any grant made under this section for a community 25 mental health center's costs of operation may not exceed 75 13 1 per centum of such costs for the first year of the center's 2 operation, 60 per centum of such costs for the second year 3 of its operation, 45 per centum of such costs for the third 4 year of its operation, 30 per centum of such costs for the 5 fourth year of its operation, and 15 per centum of such costs 6 for the fifth year of its operation. 7 "(2) In the case of any grant under the section for 8 a community mental health center providing services for 9 persons in an area designated by the Secretary as an urban 10 11 or rural poverty area, the amount of such grant for the center's costs of operation may not exceed 90 per centum 12 of such costs for the first year of its operation, 80 per centum 13 of such costs for the second year of its operation, 70 per centum of such costs for the third year of its operation, 60 14 15 per centum of such costs for the fourth year of its operation, 16 50 per centum of such costs for the fifth year of its operation, 17 40 per centum of such costs for the sixth year of its operation, 18 30 per centum of such costs for the seventh year of its opera 19 tion, and 15 per centum of such costs for the eighth year 20 of its operation. 21 "(d) No grant may be made under this section after 22 June 30, 1976, for the costs of operation of a community mental health center unless a grant was made under this 24 section before July 1, 1976, for such costs of such center. 33223 14 1 "GRANTS FOR CONSULTATION AND EDUCATION SERVICES 2 "SEC. 204. (a) The Secretary may make annual grants 3 to any community mental health center for the costs of pro4 viding the consultation and education services described in 5 section 201 (b) (1) (C) if the center (1) received for the 6 fiscal year ending June 30, 1974, a staffing grant under sec7 tion 220 of this title (as in effect before the date of the enact8 ment of the Community Mental Health Centers Amendments 9 of 1973) and may not because of limitations respecting the 10 period for which grants under that section may be made re11 ceive an additional grant under section 204 of such Amend12 ments, (2) received a continuation of such section 220 grant 13 under section 204 of such Amendments or is receiving such a 14 continuation grant under such section 204 and such grant 15 because of limitations respecting the period for which grants 16 under that section may be made is the last one which the 17 center may receive under that section, or (3) received a 18 grant under section 203 of this title as amended by such 19 Amendments or is receiving such a grant and such grant be20 cause of limitations respecting the period for which grants 21 under that section may be made is the last one which the 22 center may receive under that section. 22 23 "(b) The amount of any grant made under subsection 24 (a) shall be determined by the Secretary, but no such grant 25 to a center may exceed the lesser of 100 per centum of such 15 1 center's costs of providing such consultation and education 2 3. 4 5 6 7 8 9. 6 110 11 121 services during the year for which the grant is made or— "(1) in the case of each of the first two years for which a center receives such grant, the sum of (A) an amount equal to the product of $0.50 and the population of the center's catchment area, and (B) the lesser of (i) one-half the amount determined under clause (A), or (ii) one-half of the amount received by the center in such year from charges for the provision of such services; "(2) in the case of the third year for which a center receives such a grant, the sum of (A) an amount equal to the product of $0.50 and the population of the center's catchment area, and (B) the lesser of (i) one-half the 14 amount determined under clause (A), or (ii) one-fourth of the amount received by the center in such year from charges for the provision of such services; and 66 ‘(3) (A) except as provided in subparagraph (B), in the case of the fourth year and each subsequent year thereafter for which a center receives such a grant, the lesser of (i) the sum of (I) one-fourth of the amount determined under subparagraph (1)(A), and (II) one-fourth of the amount received by the center in such year from charges for the provision of such services, or (ii) $50,000; or 1 2 3 4 5 6 9 10 11 12 13 14 16 "(B) in the case of the fourth year and each subsequent year for which a center receives such a grant, the sum of (i) an amount equal to the product of $0.25 and the population of the center's catchment area, and (ii) the lesser (I) one-half of the amount determined under subparagraph (1) (A), or (II) one-fourth of the amount received by the center in such year from charges for the provision for such services if the amount of the grant received by the center under section 220 of this title as in effect before the date of the enactment of the Community Mental Health Amendments of 1973, section 204 of such Amendments, or section 203 of this title as amended by such Amendments, as the case may be, was determined on the basis of the center making services 15 16 available to persons in an area designated by the Secretary as urban or rural poverty area. 17 "GRANTS FOR DEVELOPMENT OF COMMUNITY MENTAL 18 19 20 HEALTH CENTER PROGRAMS FOR URBAN AND RURAL POVERTY AREAS "SEC. 205. (a) The Secretary may make grants to 21 public and nonprofit private entities to carry out projects 22 to develop community mental health center programs for 23 areas designated by the Secretary as urban or rural poverty 24 areas. In connection with such a project the grant recipient 25 shall (1) assess the needs of the urban or rural poverty area |