Volume III of a three-volume guide to school-based and school-linked health centers, this document notes that communities that wish to continue existing school-based health clinics or to start new ones may need to explore federal support for health center operations. This manual identifies federal health, education, and social programs which support the kinds of services provided by school health centers. Some of these programs described cover a broad array of health services; other cover specific types of services; still others support demonstration or model projects. For each of these programs, the manual identifies the program's purpose and structure, who may be served with the funds, what services they may receive, major programmatic and administrative requirements for funded service providers, application procedures, and a federal contact person for additional information. The 15 chapters in the manual focus on: (1) the flow of federal funds; (2) Health Care Block Grants; (3) Title V: Maternal and Child Health Services Block Grant; (4) Preventive Health and Health Services Block Grant; (5) Substance Abuse Prevention and Treatment Block Grant; (6) Community Mental Health Services Block Grant; (7) Medicaid; (8) Section 330: Community Health Centers; (9) Drug-Free Schools and Communities - state grants; (10) Title X: Family Planning Services; (11) Women, Infants, and Children (WIC) Program; (12) Social Services Block Grant; (13) Child Care and Development Block Grant; (14) direct grants for innovative, demonstration or special projects; and (15) three state case studies (New Jersey, New Mexico, and California). The manual focuses on requirements found in the federal law. Appendices include: (1) a list of acronyms; (2) a list of federal agencies with responsibility for adolescent services; (3) Medicaid federal financial participation rates by state; and (4) state contacts for selected federal programs. (NB)