If the Secretary determines that a State is not entitled to receive its allocation of the annual appropriation under subsection (c) of section 3195 of this title to carry out subsection (a) of such section because of its failure to satisfy requirements of this subchapter or regulations issued under it, the Secretary shall withhold such amount. The facts and reasons concerning the determination and withholding shall be reported to the President; and the amount involved shall be kept separate in the Treasury until the close of the next Congress. If the next Congress does not direct such sum to be paid, it shall be carried to surplus.