; or (iii) an amount equal to 60 percent of the area median income for the area in which the household is located. (4) Poverty level The term poverty level means the poverty line determined pursuant to section 673 of the Community Services Block Grant Act ( 42 U.S.C. 9902 ). (5) Public water system The term public water system has the meaning given the term in section 1401 of the Safe Drinking Water Act ( 42 U.S.C. 300f ). (6) Qualified nonprofit organization The term qualified nonprofit organization includes a nonprofit organization described in section 680(a)(3)(B) of the Community Services Block Grant Act ( 42 U.S.C. 9921(a)(3)(B) ). (7) Secretary The term Secretary means the Secretary of Health and Human Services. (8) State The term State means any of the 50 States, the District of Columbia, the Commonwealth of Puerto Rico, Guam, the United States Virgin Islands, American Samoa, and the Commonwealth of the Northern Mariana Islands. (9) Treatment works The term treatment works has the meaning given the term in section 212 of the Federal Water Pollution Control Act ( 33 U.S.C. 1292 ). (b) Establishment (1) In general The Secretary, in consultation with the Administrator, shall establish the Low-Income Household Water Assistance Program to award grants, in accordance with paragraph (3), to eligible entities described in paragraph (2) to provide funds to owners and operators of public water systems or treatment works to assist low-income households in paying arrearages and other rates charged to such households for drinking water or wastewater services. (2) Eligible entities An eligible entity described in this paragraph is a State, or Indian tribe, that is eligible to receive or previously received a grant under the Low-Income Home Energy Assistance Act of 1981 ( 42 U.S.C. 8621 et seq. ). (3) Formula In awarding grants under this subsection to eligible entities, the Secretary shall— (A) allot amounts made available for grants under this subsection to an eligible entity that is a State or Indian tribe based on—