Limitations on use of grant for matching under certain Federal transportation program
(1) Use limitations
(1)Use limitations#
A State to which a grant is made under section 603 of this title may not use any part of the grant to match funds made available under section 3037 of the Transportation Equity Act for the 21st Century, unless—
(A) the grant is used for new or expanded transportation services (and not for construction) that benefit individuals described in subparagraph (C), and not to subsidize current operating costs;
(B) the grant is used to supplement and not supplant other State expenditures on transportation;
(C) the preponderance of the benefits derived from such use of the grant accrues to individuals who are— (i) recipients of assistance under the State program funded under this part; (ii) former recipients of such assistance; (iii) noncustodial parents who are described in section 603(a)(5)(C)(iii) of this title ; and (iv) low-income individuals who are at risk of qualifying for such assistance; and
(D) the services provided through such use of the grant promote the ability of such recipients to engage in work activities (as defined in section 607(d) of this title ).
(1)(A)#
the grant is used for new or expanded transportation services (and not for construction) that benefit individuals described in subparagraph (C), and not to subsidize current operating costs;
(1)(B)#
the grant is used to supplement and not supplant other State expenditures on transportation;
(2)Amount limitation#
From a grant made to a State under section 603(a) of this title , the amount that a State uses to match funds described in paragraph (1) of this subsection shall not exceed the amount (if any) by which 30 percent of the total amount of the grant exceeds the amount (if any) of the grant that is used by the State to carry out any State program described in subsection (d)(1) of this section.
(3)Rule of interpretation#
The provision by a State of a transportation benefit under a program conducted under section 3037 of the Transportation Equity Act for the 21st Century, to an individual who is not otherwise a recipient of assistance under the State program funded under this part, using funds from a grant made under section 603(a) of this title , shall not be considered to be the provision of assistance to the individual under the State program funded under this part.