PUBLIC LAW 96-604—DEC. 28, 1980
94 STAT. 3517
"(ii) no part of such amount for any entitlement period beginning on or after October 1, 1980. "(B) LOCAL GOVERNMENT SHARE.—Of the amount allocated
to a State under section 106— 3i use 1225. "(i) for an entitlement period ending before October 1, 1980, two-thirds shall be allocated, as provided in section 108, among the units of local government of that State; 31 USC 1227. and "(ii) for any entitlement period beginning on or after October 1, 1980, all of such amount shall be allocated, as provided in section 108, among the units of local government of that State. "(2)
NONENTITLEMENT ALLOCATION TO STATES.—From
any
amount appropriated pursuant to section 105(d) for any entitle- 31 USC 1224. ment period described in section 105(d)(2), there shall be allocated to each State government an amount which bears the same ratio to the amount so appropriated for that period as the amount allocable to that State under section 1060b) bears to the 31 USC 1225. sum of the amounts allocable to all States under section 106(b), except that (A) no payment of any such allocation shall be made to any State unless the Secretary determines (in accordance with regulations prescribed by the Secretary) that such State has declined to receive or has refunded to the United States, from funds otherwise available to such State under any Federal categorical grant program (as identified in such regulations), an amount equal to such allocation, and (B) any funds which would otherwise be paid to a State but for clause (A) shall be transferred by the Secretary from the Trust Fund to the general fund of the Treasury in accordance with section 105(d).". (c) CONFORMING AMENDMENTS.—
(1) PAYMENTS.—Section 102(a)(1) of the Act is amended by 31 USC 1221. striking out "the entitlement" and inserting in lieu thereof "the allocation, if any,". (2) ADJUSTMENT OF LOCAL GOVERNMENT ENTITLEMENTS.—Sec- 3i use 1227.
tion 108 of the Act is amended— (A) by striking out "two-thirds o f in subsection (b)(6)(B); (B) by striking out subparagraph (C) of subsection (b)(7) and inserting in lieu thereof the following: "(C) ADJUSTMENT FOR APPLICATION OF LIMITATION.—In any
case in which the amount allocated to a unit of local government is reduced under paragraph (6)(C) by the Secretary, the amount of that reduction— "(i) in the case of a unit of local government (other than a county government), shall be added to and increase the allocation of the county government of the county area in which it is located, unless (on account of the application of paragraph (6)) that county government may not receive it, in which case the amount of the reduction shall be reallocated in accordance with subparagraph (D); and "(ii) in the case of a county government, shall be reallocated in accordance with subparagraph (D). "(D) REALLOCATION OF EXCESS AMOUNTS.—Amounts reallo-
cated under this subparagraph shall be added to and increase the entitlements—
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