632.171—Allocation of funds.
(a)
One hundred percent, except as provided in § 632.171(c), of the amount available for section 401 will be distributed by formula as follows:
(1)
Twenty-five percent of the available funds shall be allocated on the basis of the relative number of unemployed Indians and other Native Americans within the Native American grantee's geographic service area compared to the total number of unemployed Indians and other Native Americans in the United States.
(2)
Seventy-five percent of the available funds shall be allocated on the basis of the relative number of members of Indian and other Native Americans households, whose income is at or below the poverty level, within the Native American grantee's geographic service area compared to the total number of members of Indians and Native American households in poverty in the United States.
(b)
Commencing with Program Year 1985 and after consultation with Indian groups, the Department may reserve up to one percent of section 401 funds. These funds may be used for technical assistance to improve the program's overall performance.
(c)
In situations when the Department determines that the formula allocation will result in severe disruption from one year to the next, a hold harmless or other factor to minimize such disruptions may be used.