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What Is a Block Grant?

By , About.com Guide

Definition:

The Federal government awards block grants to state or local governments, in a lump sum for a specific issue or problem. The local/state governments set up more specific granting guidelines within their own jurisdictions, for making smaller grants to various agencies and nonprofits. The local government creates and manages a process to identify local needs and for coordinating the grantmaking process, monitoring and evaluating the outcomes.

Examples:
The federal government has awarded many block grants to states for drug addiction education.

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