Block grants type of governmental transfer of funds gives states the most latitude in the use of the money.
Block grants are federal funds allocated to the specific state or local programs. Block grants are supported by federal funding, but local agencies are well-suited to address local issues and are therefore managed by the state or local government. Such programs are often aimed at strengthening social welfare programs.
Block grants can be set on a "per capita" basis or according to state needs. Countries need to close the funding gap if there is a gap between their spending and the amount set by the federal government. Block grants are controversial in the United States.
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