; and (B) may use grant funds to award subgrants to eligible institutions. (2) Grants to students A State awarded an incentive grant under this subpart shall establish a program to award grants to students that complies with the following: (A) The program is administered by a single State agency. (B) The program provides that an institution of higher education that had a student who received funds under this subpart at any time beginning on July 1, 2010, through the day before the date of enactment of the Partnerships for Affordability and Student Success Act and that is eligible to participate in a program authorized under this title, shall be eligible to participate under this paragraph. (C) The program provides that such grants to students will be in amounts not to exceed the student’s cost of attendance per academic year for attendance at an institution of higher education. Such grants, in combination with other State or Federal student assistance, shall not exceed the student’s cost of attendance in any given academic year. (D) The program provides for the selection of grant recipients on the basis of substantial financial need determined under part F and by the State. (E) The program provides that if the State’s allotment under this subpart is based, in part, on the financial need demonstrated by students who are independent students or attending the institution less than full time, a reasonable proportion of the State’s allotment shall be made available to such students. (F) The program will notify students receiving grants under this subpart that such grants are Federal-State partnership grants and are funded by the Federal Government and the State. (3) Subgrants to eligible institutions A State awarded an incentive grant under this subpart may establish a program to award subgrants to eligible institutions that complies with the following: (A) The program is administered by a single State agency. (B) The program provides for the selection of subgrant recipients based on criteria set by the State agency.