Criteria for payment

§ 641. Criteria for payment (a) The Administrator shall pay each State at the annual rate of $700 for each veteran of any war cared for in a State home (whether or not he is receiving hospitalization or domiciliary care therein) in such State who is eligible for such care in a Veterans’ Administration facility; however, such payment shall not be more, in any case, than one-half of the cost of such veteran’s maintenance in such State home. (b) The amount payable on account of any State home pursuant to subsection (a) for any veteran cared for therein shall be reduced— (1) by one-half of any amounts retained by such home from any payments of pension or compensation made to such veteran; and (2) unless the widows or wives of veterans of any war are admitted and maintained in such State home, by any other amounts collected in any manner from such veteran to be used for the support of such State home. (c) No amounts shall be paid on account of any State home under this section if a bar or canteen is maintained therein where intoxicating liquors are sold.