((a)) ** Entitlement**

((1)) ** In general** In addition to any payment under , each State shall be entitled to—

((A)) 2 grants under this section for each qualified empowerment zone in the State; and

((B)) 1 grant under this section for each qualified enterprise community in the State.

((2)) ** Amount of grants**

((A)) ** Empowerment grants** The amount of each grant to a State under this section for a qualified empowerment zone shall be—

((i)) if the zone is designated in an urban area, $50,000,000, multiplied by that proportion of the population of the zone that resides in the State; or

((ii)) if the zone is designated in a rural area, $20,000,000, multiplied by such proportion.

((B)) ** Enterprise grants** The amount of the grant to a State under this section for a qualified enterprise community shall be ⁄ of $280,000,000, multiplied by that proportion of the population of the community that resides in the State.1

((C)) ** Population determinations** The Secretary shall make population determinations for purposes of this paragraph based on the most recent decennial census data available.

((3)) ** Timing of grants**

((A)) ** Qualified empowerment zones** With respect to each qualified empowerment zone, the Secretary shall make—

((i)) 1 grant under this section to each State in which the zone lies, on the date of the designation of the zone under part I of subchapter U of chapter 1 of the Internal Revenue Code of 1986; and

((ii)) 1 grant under this section to each such State, on the 1st day of the 1st fiscal year that begins after the date of the designation.

((B)) ** Qualified enterprise communities** With respect to each qualified enterprise community, the Secretary shall make 1 grant under this section to each State in which the community lies, on the date of the designation of the community under part I of subchapter U of chapter 1 of the Internal Revenue Code of 1986.

((4)) ** Funding** $1,000,000,000 shall be made available to the Secretary for grants under this section.

((b)) ** Program options** Notwithstanding :

((1)) In order to prevent and remedy the neglect and abuse of children, a State may use amounts paid under this section to make grants to, or enter into contracts with, entities to provide residential or nonresidential drug and alcohol prevention and treatment programs that offer comprehensive services for pregnant women and mothers, and their children.

((2)) In order to assist disadvantaged adults and youths in achieving and maintaining self-sufficiency, a State may use amounts paid under this section to make grants to, or enter into contracts with—

((A)) organizations operated for profit or not for profit, for the purpose of training and employing disadvantaged adults and youths in construction, rehabilitation, or improvement of affordable housing, public infrastructure, and community facilities; and

((B)) nonprofit organizations and community or junior colleges, for the purpose of enabling such entities to provide short-term training courses in entrepreneurism and self-employment, and other training that will promote individual self-sufficiency and the interests of the community.

((3)) A State may use amounts paid under this section to make grants to, or enter into contracts with, nonprofit community-based organizations to enable such organizations to provide activities designed to promote and protect the interests of children and families, outside of school hours, including keeping schools open during evenings and weekends for mentoring and study.

((4)) In order to assist disadvantaged adults and youths in achieving and maintaining economic self-support, a State may use amounts paid under this section to—

((A)) fund services designed to promote community and economic development in qualified empowerment zones and qualified enterprise communities, such as skills training, job counseling, transportation services, housing counseling, financial management, and business counseling;

((B)) assist in emergency and transitional shelter for disadvantaged families and individuals; or

((C)) support programs that promote home ownership, education, or other routes to economic independence for low-income families and individuals.

((c)) ** Use of grants**

((1)) ** In general** Subject to subsection (d) of this section, each State that receives a grant under this section with respect to an area shall use the grant—

((A)) for services directed only at the goals set forth in paragraphs (1), (2), and (3) of ;

((B)) in accordance with the strategic plan for the area; and

((C)) for activities that benefit residents of the area for which the grant is made.

((2)) ** Technical assistance** A State may use a portion of any grant made under this section in the manner described in .section 1397a(e) of this title

((d)) ** Remittance of certain amounts**

((1)) ** Portion of grant upon termination of designation** Each State to which an amount is paid under this subsection during a fiscal year with respect to an area the designation of which under part I of subchapter U of chapter 1 of the Internal Revenue Code of 1986 ends before the end of the fiscal year shall remit to the Secretary an amount equal to the total of the amounts so paid with respect to the area, multiplied by that proportion of the fiscal year remaining after the designation ends.

((2)) ** Amounts paid to the States and not obligated within 2 years** Each State shall remit to the Secretary any amount paid to the State under this section that is not obligated by the end of the 2-year period that begins with the date of the payment.

((e)) ** Reallocation of remaining funds**

((1)) ** Remitted amounts** The amount specified in for any fiscal year is hereby increased by the total of the amounts remitted during the fiscal year pursuant to subsection (d) of this section.section 1397b(c) of this title

((2)) ** Amounts not paid to the States** The amount specified in for fiscal year 1998 is hereby increased by the amount made available for grants under this section that has not been paid to any State by the end of fiscal year 1997.section 1397b(c) of this title

((f)) ** Definitions** As used in this section:

((1)) ** Qualified empowerment zone** The term “qualified empowerment zone” means, with respect to a State, an area—

((A)) which has been designated (other than by the Secretary of the Interior) as an empowerment zone under part I of subchapter U of chapter 1 of the Internal Revenue Code of 1986;

((B)) with respect to which the designation is in effect;

((C)) the strategic plan for which is a qualified plan; and

((D)) part or all of which is in the State.

((2)) ** Qualified enterprise community** The term “qualified enterprise community” means, with respect to a State, an area—

((A)) which has been designated (other than by the Secretary of the Interior) as an enterprise community under part I of subchapter U of chapter 1 of the Internal Revenue Code of 1986;

((B)) with respect to which the designation is in effect;

((C)) the strategic plan for which is a qualified plan; and

((D)) part or all of which is in the State.

((3)) ** Strategic plan** The term “strategic plan” means, with respect to an area, the plan contained in the application for designation of the area under part I of subchapter U of chapter 1 of the Internal Revenue Code of 1986.

((4)) ** Qualified plan** The term “qualified plan” means, with respect to an area, a plan that—

((A)) includes a detailed description of the activities proposed for the area that are to be funded with amounts provided under this section;

((B)) contains a commitment that the amounts provided under this section to any State for the area will not be used to supplant Federal or non-Federal funds for services and activities which promote the purposes of this section;

((C)) was developed in cooperation with the local government or governments with jurisdiction over the area; and

((D)) to the extent that any State will not use the amounts provided under this section for the area in the manner described in subsection (b), explains the reasons why not.

((5)) ** Rural area** The term “rural area” has the meaning given such term in section 1393(a)(2) of the Internal Revenue Code of 1986.

((6)) ** Urban area** The term “urban area” has the meaning given such term in section 1393(a)(3) of the Internal Revenue Code of 1986.