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The Secretary shall allocate to each State agency from the amount described in paragraph (1)(A) an amount for costs of nutrition services and administration on the basis of a formula prescribed by the Secretary. Such formula—
(i) shall be designed to take into account— (I) the varying needs of each State; (II) the number of individuals participating in each State; and (III) other factors which serve to promote the proper, efficient, and effective administration of the program under this section;
(ii) shall provide for each State agency— (I) an estimate of the number of participants for the fiscal year involved; and (II) a per participant grant for nutrition services and administration for such year;
(iii) shall provide for a minimum grant amount for State agencies; and
(iv) may provide funds to help defray reasonable anticipated expenses associated with innovations in cost containment or associated with procedures that tend to enhance competition.
shall be designed to take into account—
(I) the varying needs of each State;
(II) the number of individuals participating in each State; and
(III) other factors which serve to promote the proper, efficient, and effective administration of the program under this section;
the varying needs of each State;
the number of individuals participating in each State; and
other factors which serve to promote the proper, efficient, and effective administration of the program under this section;
shall provide for each State agency—
(I) an estimate of the number of participants for the fiscal year involved; and
(II) a per participant grant for nutrition services and administration for such year;
an estimate of the number of participants for the fiscal year involved; and
a per participant grant for nutrition services and administration for such year;
shall provide for a minimum grant amount for State agencies; and
may provide funds to help defray reasonable anticipated expenses associated with innovations in cost containment or associated with procedures that tend to enhance competition.
(i) Except as provided in clause (ii) and subparagraph (C), in any fiscal year, the total amount allocated to a State agency for costs of nutrition services and administration under the formula prescribed by the Secretary under subparagraph (A) shall constitute the State agency’s operational level for such costs for such year even if the number of participants in the program at such agency is lower than the estimate provided under subparagraph (A)(ii)(I).
(ii) If a State agency’s per participant expenditure for nutrition services and administration is more than 10 percent (except that the Secretary may establish a higher percentage for State agencies that are small) higher than its per participant grant for nutrition services and administration without good cause, the Secretary may reduce such State agency’s operational level for costs of nutrition services and administration.
Except as provided in clause (ii) and subparagraph (C), in any fiscal year, the total amount allocated to a State agency for costs of nutrition services and administration under the formula prescribed by the Secretary under subparagraph (A) shall constitute the State agency’s operational level for such costs for such year even if the number of participants in the program at such agency is lower than the estimate provided under subparagraph (A)(ii)(I).
If a State agency’s per participant expenditure for nutrition services and administration is more than 10 percent (except that the Secretary may establish a higher percentage for State agencies that are small) higher than its per participant grant for nutrition services and administration without good cause, the Secretary may reduce such State agency’s operational level for costs of nutrition services and administration.