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HRD-85-33 1 (1985-02-11)

handle is hein.gao/gaobabexl0001 and id is 1 raw text is: inIl lUil ue S A BY THE COMPTROLLER GENERAL Report To The Congress OF THE UNITED STATES Block Grants Brought Funding Changes And Adjustments To Program Priorities Under block grants, states obtained greater decision-making authority to set program priorities and determine the use of funds than they had under the prior categorical programs. At the same time, federal appropriations to states under the block grants were generally less than under the former programs. In addition, states' increased programmatic discretion was tempered in some cases by legislative requirements that states continue to fund former grantees or allocate specific percentages of block grant funds to particular program areas. States employed three major strategies during 1982 and 1983 to mitigate the impact of initial federal funding reductions that occurred in most block grants. These included (1) taking advantage of available funds from the prior categorical programs, (2) transferring funds among block grants, and (3) increasing the use of state funds- However, the applicability and use of these strategies varied by block grant. Overall, program areas that had been funded under the categorical programs continued to receive support under the block grants. Although such continuity was evident, changes in funding patterns did emerge as states sought to establish their own priorities while dealing with limitations on available funds. States began to put their imprint on funding patterns, but changes varied among the block grants. 0um i GAO/HRD-85-33 FEBRUARY 11. 1965 003

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