Grants to partnerships

(a) Grants (1) In general The Governor of a State that receives an allotment under section 5 shall use the funds made available through the allotment and not reserved under subsection (d) to award grants to eligible partnerships. The Governor shall award the grants for the purpose of assisting (which may include establishing or expanding) local or regional industry or sector partnerships that are identified in the application submitted under section 5(c), to carry out activities described in section 7. (2) Period and amount of grant A State may make a grant under this section for a period of 3 years, and in an amount of not more than $500,000. (3) Availability of funds The Governor of a State that receives an allotment under section 5 for a fiscal year may use the funds made available through the allotment during that year or the 2 subsequent fiscal years. (b) Eligibility To be eligible to receive a grant under this section, an industry or sector partnership described in subsection (a)(1) shall— (1) submit an application to the State at such time, in such manner, and containing such information as the State may require; and (2) designate a partner in the industry or sector partnership, to serve as the fiscal agent for purposes of the grant. (c) Awards of grants (1) Participation in multiple eligible partnerships Subject to paragraph (2), a State may award grants under this section in a way that results in an entity being represented in more than one partnership that receives such a grant. (2) Geographic diversity In making the grants, a State shall ensure that there is geographic diversity in the areas in which activities will be carried out under the grants. (d) Administration The State may reserve not more than 5 percent of the amount of an allotment under section 5 for the administration of the grants awarded under this section.