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What will be the effect of transfers on the 1-year redistribution calculation?

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What will be the effect of transfers on the 1-year redistribution calculation?

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ARRA funds transferred to the Federal Transit Administration will NOT be subject to the 1-year redistribution. ARRA funds transferred to other agencies will be subject to the redistribution; States should ensure the receiving agency can obligate the funds prior to 11:59 PM EST on March 1, 2010. ARRA funds transferred to other States will be subject to the redistribution. For the purpose of determining what States will be ineligible to receive funds in the redistribution (see next question), the transferred funds will be counted as being those of the receiving State. For example, if State X transfers funds to State Y, the transferred funds will count against State Y when redistribution eligibility is determined. Receiving States should ensure they can obligate any transferred funding prior to 11:59 PM EST on March 1, 2010.

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