Title 31, Money and FinanceRelease 119-102
§6304 Using Grant Agreements
Title 31 › SUBTITLE V — GENERAL ASSISTANCE ADMINISTRATION › CHAPTER 63 — USING PROCUREMENT CONTRACTS AND GRANT AND COOPERATIVE AGREEMENTS › § 6304
Summary
An executive agency must use a grant agreement when it gives money or other help to a State, local government, or other recipient so they can carry out a public purpose under federal law. Use a grant when the agency is not buying goods or services for the federal government and does not plan to be heavily involved in the work.
Full Legal Text
Title 31, §6304
Money and Finance, Source: USLM XML via OLRC
An executive agency shall use a grant agreement as the legal instrument reflecting a relationship between the United States Government and a State, a local government, or other recipient when—
(1)the principal purpose of the relationship is to transfer a thing of value to the State or local government or other recipient to carry out a public purpose of support or stimulation authorized by a law of the United States instead of acquiring (by purchase, lease, or barter) property or services for the direct benefit or use of the United States Government; and
(2)substantial involvement is not expected between the executive agency and the State, local government, or other recipient when carrying out the activity contemplated in the agreement.
Legislative History
Notes & Related Subsidiaries
Historical and Revision Notes
Revised SectionSource (U.S. Code)Source (Statutes at Large) 630441:504.Feb. 3, 1978, Pub. L. 95–224, § 5, 92 Stat. 4. The words “type of” are omitted as unnecessary. The words “money, property, services” are omitted as being included in “a thing of value”. The words “in order” are omitted as surplus. The words “law of the United States” are substituted for “Federal statute” for consistency.
Reference
Citations & Metadata
Citation
31 U.S.C. § 6304
Title 31, Money and Finance
Last Updated
Aug 21, 2026
Release point: 119-102