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TeachMeFinance.com - explain Hatch Act of 1887 Hatch Act of 1887 The term 'Hatch Act of 1887 ' as it applies to the area of agriculture can be defined as ' The permanent statute (24 Stat. 440) authorizing federal funds to state agricultural experiment stations affiliated with the land grant colleges of agriculture. Congress last amended the act in 1955, adding a formula that USDA uses to allocate the annual appropriation among the states. The formula provides for each state to receive what it received in 1955 as a base amount. Sums appropriated in excess of the 1955 level are distributed as follows: 20% is allotted equally to each state; 52% is allocated on the basis of a state’s share of U.S. rural and farm population; a maximum of 25% is allocated to the states for research projects that involve more than one state; and 3% is reserved for administration. On average, Hatch Act formula funds constitute 10% of total funding for each experiment station'.
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