; and (II) an agreement to collect data and provide reports under subsection (n). (C) Amount The Secretary shall make the payments to the territories, Indian Tribes, and Tribal organizations described in subparagraph (A) on the basis of their relative need. Each entity that is such a territory, Indian Tribe, or Tribal organization shall be entitled to such a payment as may be necessary to carry out the activities described in subsection (h), and to pay for the costs of administration incurred by the entity, which shall include costs incurred by the entity in carrying out the child care program, and which may include, at the option of the entity, costs associated with carrying out requirements, policies, and procedures described in section 658H of the Child Care and Development Block Grant Act of 1990. (h) Use of funds (1) In general Starting on October 1, 2024, a State shall use amounts provided to the State under subsection (g) for direct child care services (provided on a sliding fee scale basis), activities to improve the quality and supply of child care services consistent with paragraph (3), and State administration consistent with subsection (g)(1)(C). (2) Child care assistance for eligible children (A) In general For each of fiscal years 2024 through 2029, from payments made to the State under subsection (g) for that particular fiscal year, the State shall ensure that parents of eligible children can access direct child care services provided by an eligible child care provider under this section through a grant or contract as described in subparagraph (B) or a certificate as described in subparagraph (C). (B) Grants and contracts The State shall award grants or contracts to eligible child care providers, consistent with the requirements under this section, for the provision of child care services for eligible children under this section that, at a minimum, support providers’ operating expenses to meet and sustain health, safety, quality, and wage standards required under this section. (C) Certificates The