Pass-Through and State Grants: Understanding the Difference

Even the federal government needs help from state governments to funnel grant money into public programs and projects. This is where pass-through grants come in. But how does this differ from state grants for similar good works? 

According to grants.gov, pass-through grants are funds issued by a federal agency to a state agency or institution that are then transferred to other state agencies, units of local government, or other eligible groups per the award eligibility terms. 
Wow, that's a mouthful! In simpler terms, pass-through grants are funds given by the federal government to state governments.  These funds are turned into sub-grants, then
“passed on” to another recipient, known as the sub-recipient. This process gives the state governments more flexibility and autonomy over the use of any federal grant funds.  

But why can’t the federal government simply award the grant itself? Why have a pass-through entity to deliver and monitor...
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