States and sub-grantees must require that their subgrantees' grant related income be used in either the matching or cost sharing alternative in 75.307(e)(3) or the additive alternative in §75.307(e)(2) or a combination of the two. The deductive alternative described in §75.307(e)(1) is not permitted.

[53 FR 33766, Aug. 31, 1988, as amended at 81 FR 3022, Jan. 20, 2016]