Section 157. Granting authority

The office of fire prevention and control,
  by and through the state  fire  administrator  or  his  duly  authorized
  officers  and  employees, shall administer, carry out and approve grants
  of funds from moneys allocated and appropriated therefor, for authorized
  arson, fire prevention and control expenditures as defined herein,  that
  are  conducted  by  municipal  corporations.    "Authorized  arson, fire
  prevention and  control  expenditures"  shall  mean  those  expenditures
  utilized  by  a municipal corporation for fire or arson prevention, fire
  or arson investigation and arson prosecution. No expenditure  which  has
  not  been  specifically  designated  by  the  local legislative body for
  arson, fire prevention and control and approved by the  office  of  fire
  prevention  and  control  pursuant  to rules and regulations promulgated
  thereby shall be considered an "authorized arson,  fire  prevention  and
  control  expenditure."  The  office of fire prevention and control shall
  adopt, amend and rescind such rules, regulations and guidelines  as  may
  be  necessary  for  the  performance of its functions, powers and duties
  under this section.  The office of fire  prevention  and  control  shall
  allocate  grants  under  this  article  among  the  municipalities whose
  applications have been approved in such a manner  as  will  most  nearly
  provide  an  equitable  distribution of the grants among municipalities,
  taking into consideration such factors as the level of  suspected  arson
  activity,  population and population density, the need for state funding
  to carry out local programs, and the potential of the municipalities  to
  effectively employ such grants.