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### §1791c. Use of incentive bonus funds

#### (a) In general

#### (1) Allocation

#### (A) Administrative costs

During any program year, the Governor may use an amount not to exceed 5 percent of the total bonus payments of a State for administrative costs incurred under this subchapter, including data and information collection and compilation, recordkeeping, or the preparation of applications for incentive bonuses.

#### (B) Distribution of payments

The amount of incentive bonus payments that remains after the deduction of administrative costs under subparagraph (A) shall be distributed to service delivery areas and Job Corps centers within the State in accordance with an agreement between the Governor and representatives of such areas and centers. Such agreement shall reflect an equitable method of distribution that is based on the degree to which the efforts of such area or center contributed to the qualification of the State for an incentive bonus payment under this subchapter.

#### (2) Special rule

Not more than 10 percent of the amounts received under this subchapter in any program year by each service delivery area and Job Corps center may be used for the administrative costs of establishing and maintaining systems necessary for operation of programs under this subchapter, including the costs of providing incentive payments described in subsection (b) of this section, technical assistance, data and information collection and compilation, management information systems, post-program followup activities, and research and evaluation activities. The balance of funds not so expended shall be used by each service delivery area for activities described in sections 1604 and 1644 of this title, and by each Job Corps center for activities authorized under part B of subchapter IV of this chapter.

#### (b) Incentive payments to service providers

Each service delivery area or Job Corps center may make incentive payments to service providers, including participating State and local agencies, and community-based organizations, that demonstrate effectiveness in delivering employment and training services to individuals such as those described in section 1791e of this title.

#### (c) Application of section relating to administrative adjudications

Section 1576 of this title (relating to administrative adjudication) shall apply to the distribution of incentive bonus payments under this section.

(Pub. L. 97–300, title V, §504, as added Pub. L. 100–628, title VII, §712(a)(3), Nov. 7, 1988, 102 Stat. 3249; amended Pub. L. 102–367, title V, §501, Sept. 7, 1992, 106 Stat. 1097.)

#### Prior Provisions

A prior section 504 of Pub. L. 97–300 was renumbered section 604 and is classified to section 1504 of this title.

#### Amendments

1992—Pub. L. 102–367 amended section generally, substituting provisions relating to the use of incentive bonus funds for provisions relating to additional eligibility requirements to receive incentive bonuses.

#### Effective Date of 1992 Amendment

Amendment by Pub. L. 102–367 effective July 1, 1993, see section 701(a) of Pub. L. 102–367, set out as an Effective Date of 1992 Amendment; Transition Provisions note under section 1501 of this title.