PAYMENTS TO STATES.

SEC. 104. PAYMENTS TO STATES. (a) In General.—Section 434(a) (42 U.S.C, 629d(a)) is amended— (1) by striking paragraph (2); (2) by striking all that precedes subparagraph (A) of paragraph (1) and inserting the following: “(a) Entitlement.—Each State that has a plan approved under section 432 shall be entitled to payment of the lesser of—”; and (3) by redesignating subparagraphs (A) and (B) of paragraph (1) as paragraphs (1) and (2), respectively, and by indenting the provisions 2 ems to the left. (b) Conforming Amendments.—Section 434(b) (42 U.S.C. 629d(b)) is amended— (1) in paragraph (1)— (A) by striking “paragraph (1) or (2)(B) of”; and (B) by striking “described in this subpart” and inserting “under the State plan under section 432”; and (2) in paragraph (2), by striking “subsection (a)(1)” and inserting “subsection (a)”.