grants made largely at the discretion of authorized individuals, usually trustees http://www.ncfp.org/resources/ask_the_center/discretionary_grants

Or

Unlike a formula grant, a discretionary grant awards funds on the basis of a competitive process. The department reviews applications, in part through a formal review process, in light of the legislative and regulatory requirements and published selection criteria established for a program. The review process gives the department discretion to determine which applications best address the program requirements and are, therefore, most worthy of funding.

http://www.ed.gov/fund/grant/about/discgrant.html