42 U.S.C. § 300x–5: Restrictions on use of payments

(a) In generalA funding agreement for a grant under section 300x of this title is that the State involved will not expend the grant—(1) to provide inpatient services; (2) to make cash payments to intended recipients of health services; (3) to purchase or improve land, purchase, construct, or permanently improve (other than minor remodeling) any building or other facility, or purchase major medical equipment; (4) to satisfy any requirement for the expenditure of non-Federal funds as a condition for the receipt of Federal funds; or (5) to provide financial assistance to any entity other than a public or nonprofit private entity. (b) Limitation on administrative expensesA funding agreement for a grant under section 300x of this title is that the State involved will not expend more than 5 percent of the grant for administrative expenses with respect to the grant.