Section 44.54 - What happens if a State repeals or amends distribution legislation?(a) If a State repeals or amends distribution legislation, the State must immediately notify the Department in writing of this fact and send the Department a copy of the new law.(b) When the Department receives a notification under paragraph (a) of this section, it must: (1) Determine if the State's process complies with 31 U.S.C. 6907 . If the Department determines that it does not, we must notify the designated State government office that the Department will disburse payment directly to the eligible local governments; and(2) Start the payments: (i) In the current Federal fiscal year, if the Department receives a copy of the State's amendatory legislation before July 1; or(ii) Start the payments in the next Federal fiscal year, if the Department receives a copy of the State's amendatory legislation after July 1.