Smithtown has just received a grant from the federal government, and they have chosen to use the money to upgrade their recreational facilities. The grant allows them to determine how the money will be spent without the federal government getting involved. What type of grant has Smithtown received?

Question

Quizplus · Accepted Answer

A block grant is a type of grant that gives local governments more flexibility in how they use the funds, as opposed to a categorical grant which requires the funds to be used for specific purposes. In this scenario, Smithtown has the ability to decide how the funds will be used without federal government involvement, indicating that it is a block grant. Pell grants are specifically for college students, and there is no such thing as a recreational grant.

Smithtown Has Just Received a Grant from the Federal Government