be offered and shall be entitled to receive assistance for direct child care services in accordance with and subject to the requirements and limitations of this section. (e) Lead agency The Governor of a State or the head of a territory or Indian Tribe, desiring for the State, territory, or Indian tribe or a related tribal organization to receive a payment under this section, shall designate a lead agency (such as a State agency or joint interagency office) to administer the child care program carried out under this section. (f) Applications and state plans (1) Application To be eligible to receive assistance under this section, a State shall prepare and submit to the Secretary for approval an application containing a State plan that meets the requirements under paragraph (3) and contains that information. (2) Period covered by plan A State plan contained in the application shall be designed to be implemented during a period of not more than 3 years. (3) Requirements for State plans The Secretary shall award funds under this section to States with an approved application that contains a State plan, submitted under paragraph (1), at such time, in such manner, and containing such information as the Secretary shall by rule require, including, at a minimum, the following: (A) Payment rates and cost estimation (i) Payment rates The State plan shall certify that payment rates for the provision of direct child care services for which assistance is provided in accordance with this section for the period covered by the plan, within 3 years after the State first receives funds under this section— (I) will be sufficient to meet the cost of child care (including fixed costs such as rent or mortgage and salaries), and set (with pay being paid) in accordance with a cost estimation model or cost study described in clause (ii) that is approved by the Secretary