§7113 Transition payments to States

Summary

The Treasury Secretary must pay each covered State and its eligible counties a smaller, fixed payment for fiscal years 2008, 2009, and 2010. For 2008 the payment is 90 percent, for 2009 it is 81 percent, and for 2010 it is 73 percent of the total amounts that were paid in fiscal year 2006 under sections 102(a)(2) and 103(a)(2) as they were on September 29, 2006, but only for the counties that chose to get a share under section 7112(b). The covered States are California, Louisiana, Oregon, Pennsylvania, South Carolina, South Dakota, Texas, and Washington. Those payments replace the amounts that would otherwise have been paid under certain parts of section 7112(a) for 2008–2010. The money should be split among the counties in each covered State in the same share as in 2006. California’s payments under this rule, plus its county shares under section 7112 for fiscal years 2011–2015 and 2017–2026, must also be split among California’s eligible counties in the same way they were in 2006. Any payment made this way counts as a payment under section 7112(a).