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31 U.S. Code § 6704. State area allocations; allocations and payments to territorial governments
(a)Formula Allocation by State.—For each payment period, the Secretary shall allocate to each State out of the amount appropriated for the period under the authority of section 6702(b) (minus the amounts allocated to territorial governments under subsection (e) for the payment period) an amount bearing the same ratio to the amount appropriated (minus such amounts allocated under subsection (e)) as the amount allocated to the State under this section bears to the total amount allocated to all States under this section. The Secretary shall—
(1)
determine the amount allocated to the State under subsection (b) or (c) of this section and allocate the larger amount to the State; and
(2)
allocate the amount allocated to the State to units of general local government in the State under sections 6705 and 6706.
(b)General Formula.—
(1)In general.—For the payment period beginning October 1, 1994, the amount allocated to a State under this subsection for a payment period is the amount bearing the same ratio to $5,300,000,000 as—
(A)
the population of the State, multiplied by the general tax effort factor of the State (determined under paragraph (2)), multiplied by the relative income factor of the State (determined under paragraph (3)), multiplied by the relative rate of the labor force unemployed in the State (determined under paragraph (4)); bears to
(B)
the sum of the products determined under subparagraph (A) of this paragraph for all States.