Formula grant

A '''formula grant''' is a United States federal grant specifying a precise formula in the legislation creating the program. Formula grants include quantifiable elements, such as population, amount of tax effort, proportion of population unemployed or below poverty level, density of housing, or rate of infant mortality.

The specified formula is a rule that tells potential recipient governments precisely how they can calculate the quantity of aid to which they are entitled under the provisions of law, as long as the recipient qualifies for such assistance under the stipulations of the program. Usually, the elements in the formula are chosen to reflect characteristics related to the purpose of the aid. Some factors in the formula are also likely to have political significance since there is no such thing as a neutral formula, as all formulas reward some states or localities more than others, depending on their relative standing given the formula specified.<ref>{{Cite book |last=Rosenstiel |first=Leah |url=https://press.uchicago.edu/ucp/books/book/chicago/P/bo265496791.html |title=Politics by Formula: How Congressional Policymaking Creates Disparities |publisher=University of Chicago Press |series=Chicago Studies in American Politics |location=Chicago, IL |language=en}}</ref>

== References == {{Reflist}} * {{cite book|author=Stillman II, Richard J.|title=Public Administration Concepts and Cases|edition=8th|publisher=Houghton Mifflin Co.|location=Boston, MA|date=2005|pages=132,133}}

== Further reading == * {{cite book|pages=[https://archive.org/details/howtograntsmanua00baue_2/page/79 79]|title=The "how To" Grants Manual|author=David G. Bauer|publisher=Greenwood Publishing Group|date=2007|isbn=9780275997908|url-access=registration|url=https://archive.org/details/howtograntsmanua00baue_2/page/79}} {{US-gov-stub}}

Category:Federal assistance in the United States