; and (B) 1.5 percent to provide assistance to grantees of the Native American programs under section 166 of the Workforce Investment and Opportunity Act to provide subsidized employment to low-income adults who are unemployed. (2) States After determining the amounts to be reserved under paragraph (1), the Secretary of Labor shall allot the remainder of the amounts described in subsection (a)(1) among the States as follows— (A) one-third shall be allotted on the basis of the relative number of unemployed individuals in areas of substantial unemployment in each State, compared to the total number of unemployed individuals in areas of substantial unemployment in all States; (B) one-third shall be allotted on the basis of the relative excess number of unemployed individuals in each State, compared to the total excess number of unemployed individuals in all States; and (C) one-third shall be allotted on the basis of the relative number of disadvantaged adults and youth in each State, compared to the total number of disadvantaged adults and youth in all States. (3) Definitions For purposes of the formula described in paragraph (2)— (A) Area of substantial unemployment The term area of substantial unemployment means any contiguous area with a population of at least 10,000 and that has an average rate of unemployment of at least 6.5 percent for the most recent 12 months, as determined by the Secretary. (B) Disadvantaged adults and youth The term disadvantaged adults and youth means an individual who is age 16 and older who received an income, or is a member of a family that received a total family income, that, in relation to family size, does not exceed the higher of— (i) the poverty line