PUBLIC LAW 103-73 —AUG. 11, 1993 107 STAT. 731 (ii) by adding a new clause (iii) to read as follows: "(iii) FUNDING METHOD. —In making awards under this subsection, the Secretary shall distribute funds in accordance with paragraphs (1), (2), and (4) of subsection (c), and subsection (d).". (i) GRANTS BY COMMISSIONER.— Section 722 (29 U.S.C. 796f- 1) is amended— (1) in subsection (c), by striking "is receiving funds under this part on" and inserting "has been awarded a grant under this part b)^"; (2) in subsection (d)(1), by inserting "proposing to serve such region" after "qualified applicant"; (3) by redesignating subsection (f) as subsection (g); and (4) by inserting after subsection (e) the following: "(f) NONRESIDENTIAL AGENCIES. — A center that provides or manages residential housing after October 1, 1994, shall not be considered to be an eligible agency under this section.". (j) GRANTS BY DESIGNATED STATE UNIT.— Section 723 (29 U.S.C. 796f-2) is amended— (1) in subsection (a)— (A) in paragraph (l)(A)(iii), by inserting before the period at the end the following: ", making such adjustments as may be necessary to accommodate State funding cycles such as 2-year funding cycles or State fiscal years that do not coincide with the Federal fiscal year"; and (B) in paragraph (3), by inserting "eligible agencies in" before "the State in accordance"; (2) in subsection (c), by striking "is receiving funds under this part on" and inserting "has been awarded a grant under this part bj^'; (3) by redesignating subsections (0, (g), and (h) as subsections (g), (h), and (i), respectively; (4) by inserting after subsection (e) the following: "(f) NONRESIDENTIAL AGENCIES.^A center that provides or manages residential housing after October 1, 1994, shall not be considered to be an eligible agency under this section."; (5) in subsection (g) (as redesignated by paragraph (3) of this subsection), in paragraph (2)(B), by strilang "(h)" each place the term appears and inserting "(i)"; and (6) in subsection (h) (as redesignated by paragraph (3) of this subsection), by striking the first sentence and inserting the following: 'The director of the designated State unit shall annually conduct onsite compliance reviews of at least 15 percent of the centers for independent living that receive funding under this section in the State.". (k) CENTERS OPERATED BY STATE AGENCIES. — Section 724(b)(1)(A) (29 U.S.C. 796f-3(b)(l)(A)) is amended by striking "fiscal year 1993" and inserting "the fiscal year". (1) STANDARDS AND ASSURANCES. —Section 725(b)(2) (29 U.S.C. 796f-4(b)(2)) is amended— (1) in the second sentence— (A) by inserting "severe" before "disabilities who are members of; and (B) by striking "Act" and inserting "title"; and (2) in the third sentence, by inserting "shall be determined by the center, and" before "shall not be based".