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Categorical grants, also called conditional grants, are grants issued by the United States Congress which may be spent only for narrowly defined purposes. They are the main source of federal aid to state and local governments and can be used only for specified categories of state and local spending, such as education or roads.
[citation needed] These can be sub-categorized as either Categorical or Block: Categorical grants may be spent only for narrowly defined purposes and recipients often must match a portion of the federal funds. [citation needed] Block grants combine categorical grants into a single program. Examples of this type of grant includes the Community ...
In the United States, federal grants are economic aid issued by the United States government out of the general federal revenue. A federal grant is an award of financial assistance from a federal agency to a recipient to carry out a public purpose of support or stimulation authorized by a law of the United States.
President Reagan had requested the consolidation of 85 existing anti-poverty grants into seven categorical grants; Congress agreed to consolidate 77 grants into nine. The nine new block grants were budgeted about 25% less than the programs they replaced (Conlan, qtd. in [2]). The CSBG legislation was amended in 1998 by the Coats Human Services ...
Between 1783 and 1821, Spain offered land grants to anyone who settled in their colonies of Florida and Louisiana. [citation needed] When the United States acquired that land by treaties, it agreed to honor all valid land grants. As a result, years of litigation ensued over the validity of many of the Spanish land grants. [citation needed]
Consequently, the authors argue that block grants can achieve important outcomes, and that categorical grants are not necessary to force spending on particular issues. [27] However, block grant critics would likely argue that this 50% spending rate on ADHA is a sign of ineffectiveness, as it means that local governments are spending the rest of ...
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The CDBG program was enacted in 1974 by President Gerald Ford through the Housing and Community Development Act of 1974 and took effect in January 1975. Most directly, the law was a response to the Nixon administration's 1973 funding moratorium on many Department of Housing and Urban Development (HUD) programs.