§806 Rescission of Funds Declined by States, Territories, or Other Governmental Entities

Summary

If a State, territory, or other governmental entity tells the Secretary of the Treasury, in the way the Secretary requires, that it will decline all or part of the money it was to receive from these appropriations, the unaccepted amount will be taken back from the appropriation account as of the date of that notice. This does not apply to funds a State gets under section 803 to pass on to nonentitlement local governments. A sub‑State entity (like a city) may also give its own notice that it will decline funds, and a State cannot stop that. Money taken back must go into the Treasury’s general fund only to reduce the federal deficit. "State, territory, or other governmental entity" means any entity that can get a direct payment under this subchapter, except Tribal governments (see sections 801(g), 802(g), 804(d)) and eligible Tribal governments (see section 805(f)).