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Overview of State Grants

Grants are financial assistance paid or services furnished by a state agency via a third party to an eligible recipient instead of acquiring by professional or technical contract, purchase, lease, or barter property or services for the direct benefit or use of the granting agency. Grants always involve three parties:

  1. the state agency with authority to make the grant,
  2. the outside entity that will administer the grant or deliver the service, and
  3. the final recipient of the service.


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