Final answer:
A block grant is a type of federal funding given to states for broad policy areas with fewer restrictions, allowing states some discretion in fund allocation to serve their local needs while still adhering to national objectives.
Step-by-step explanation:
A block grant is an allocation of funds by the federal government to states to implement broad areas of federal policy, such as welfare, criminal justice, or mental health. These funds allow states some discretion as to how the funds are spent. Block grants come with less stringent federal administrative conditions compared to categorical grants, providing recipients more flexibility over how to spend the funds. Notable examples include the Workforce Investment Act program and the Surface Transportation Program. The intention behind block grants is to recognize the sovereignty of states and to empower them to allocate resources in a manner that best fits their citizens' needs, albeit within the broader framework of national policy goals.