<P> For example, crime - prevention federal programs may be assigned to a State Attorney General's Office (AGO) (considered a State government). This State office may decide to assign part of its federal grant through sub-grants (also known as sub-awards) to cities and counties within the State (considered local governments) for crime - prevention activities such as neighborhood watch programs or supplying new equipment to police forces . The original recipient, the AGO, has become a Pass - through entity and the cities and counties have become "sub-recipients", all the while the assistance is still serving the federal program's purpose to prevent crime . </P> <P> Sub-recipients may in turn pass on the assistance to another sub-recipient to serve the purpose required by the federal program, for example if the cities mentioned above pass on part of their assistance to nonprofit organizations dedicated to patrolling neighborhoods at night . Therefore, a recipient may be considered a pass - through entity and a sub-recipient at the same time . </P> <P> Certain programs may require the original recipient to pass on the assistance to sub-recipients (i.e., the federal program requires that the assistance be provided to nonprofit neighborhood watch organizations, and the assistance passes recipient through recipient until it reaches them), while others may require that the recipient not pass on the assistance (i.e., State must use the assistance entirely on its own). Some programs award assistance to a pass - through entity who is neither the direct applicant nor the ultimate beneficiary, such as the Pell Grant program where students apply and receive the aid but it is the university's responsibility to receive and administer the applications and disburse the aid . </P> <P> Pass - through entities and sub-recipients are equally responsible for the management of federal aid received . The federal government monitors the federal aid provided to any recipient and requires all pass - through entities to monitor the aid they pass on . Noncompliance of a federal regulation on the part of the sub-recipient may also be attributed to the pass - through entity because it is still responsible for the funds it passed on . </P>

Laws passed by congress that appropriate money for local federal projects