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U.S. Code

§ 3154c. Direct expenditure or redistribution by recipient

(a) In general
Subject to subsection (b) of this section, a recipient of a grant under section 3141, 3143, or 3147 of this title may directly expend the grant funds or may redistribute the funds in the form of a subgrant to other eligible recipients to fund required components of the scope of work approved for the project.
(b) Limitation
A recipient may not redistribute grant funds received under section 3141 or 3143 of this title to a for-profit entity.
(c) Economic adjustment
Subject to subsection (d) of this section, a recipient of a grant under section 3149 of this title may directly expend the grant funds or may redistribute the funds to public and private entities in the form of a grant, loan, loan guarantee, payment to reduce interest on a loan guarantee, or other appropriate assistance.
(d) Limitation
Under subsection (c) of this section, a recipient may not provide any grant to a private for-profit entity.
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