# § 3029. Payments of grants or contracts
**(a)** **Advances or reimbursement; installments; assistance in development of State plan** section 3028 of this titlesection 3027 of this title
Payments of grants or contracts under this subchapter may be made (after necessary adjustments resulting from previously made overpayments or underpayments) in advance or by way of reimbursement, and in such installments, as the Assistant Secretary may determine. From a State’s allotment for a fiscal year which is available under the Assistant Secretary may pay to a State which does not have a State plan approved under such amounts as the Assistant Secretary deems appropriate for the purpose of assisting such State in developing a State plan.
**(b)** **Matching funds; percentage limitation**
**(1)** For each fiscal year, not less than 25 percent of the non-Federal share of the total expenditures under the State plan which is required by section 3024(d) of this title shall be met from funds from State or local public sources.
**(2)** Funds required to meet the non-Federal share required by section 3024(d)(1)(D) of this title, in amounts exceeding 10 percent of the cost of the services specified in such section 3024(d)(1)(D) of this title, shall be met from State sources.
**(c)** **Reduction of State allotment** section 3024 of this titlesection 3027 of this title
A State’s allotment under for a fiscal year shall be reduced by the percentage (if any) by which its expenditures for such year from State sources under its State plan approved under are less than its average annual expenditures from such sources for the period of 3 fiscal years preceding such year.
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**Source Credit**: (Pub. L. 89–73, title III, § 309, as added Pub. L. 95–478, title I, § 103(b), Oct. 18, 1978, 92 Stat. 1532; amended Pub. L. 98–459, title III, § 309, Oct. 9, 1984, 98 Stat. 1779; Pub. L. 100–175, title I, § 139, Nov. 29, 1987, 101 Stat. 944; Pub. L. 103–171, § 3(a)(13), Dec. 2, 1993, 107 Stat. 1990; Pub. L. 109–365, title III, § 308, Oct. 17, 2006, 120 Stat. 2545.)
## Editorial Notes
### Prior Provisions
A prior section 3029, , as added , , , related to transportation projects, prior to the general amendment of this subchapter by . See .
Provisions similar to those comprising this section were contained in , as added , , , which was classified to prior to repeal by .
### Amendments
2006—Subsec. (b)(2). substituted “10 percent of the cost of the services specified in such ” for “the non-Federal share required prior to fiscal year 1981”.
1993—Subsec. (a). substituted “Assistant Secretary” for “Commissioner” wherever appearing.
1987—Subsec. (c). substituted “its average annual expenditures from such sources for the period of 3 fiscal years preceding such year” for “its expenditures from such sources for the preceding fiscal year”.
1984—Subsec. (a). , substituted “as the Commissioner deems appropriate” for “as he deems appropriate”.
Subsec. (b)(2). , substituted “section 3024(d)(1)(D)” for “section 3024(d)(1)(B)”.
## Statutory Notes and Related Subsidiaries
### Effective Date of 1987 Amendment
Amendment by effective , except not applicable with respect to any area plan submitted under or any State plan submitted under and approved for any fiscal year beginning before , see section 701(a), (b) of , set out as a note under .
### Effective Date of 1984 Amendment
Amendment by effective , see , set out as a note under .
### Effective Date
Section effective at close of , see , set out as an Effective Date of 1978 Amendment note under .