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U.S. Department of Education: Promoting Educational Excellence for all Americans
Programs and Projects





Formula grant programs are allocations of money to states or their subdivisions in accordance with a distribution formula prescribed by law or administrative regulation for activities of a continuing nature not confined to a specific project.



Unlike a formula grant, a discretionary grant awards funds on the basis of a competitive process. RSA reviews applications in light of the legislative and regulatory requirements established for a program. This review process gives RSA discretion to determine which applications best address the program requirements and are, therefore, most worthy of funding.