USC Subpart 1

20 U.S.C. § 7345 Use of applicable funding

(a) Alternative uses(1) In generalNotwithstanding any other provision of law, an eligible local educational agency may use the applicable funding that the agency is eligible to receive from the State educational agency for a fiscal year to carry out local activities authorized under any of the following provisions:(A) Part A of subchapter I. (B) Part A of subchapter II. (C) Subchapter III. (D) Part A or B of subchapter IV. (2) NotificationAn eligible local educational agency shall notify the State educational agency of the local educational agency’s intention to use the applicable funding in accordance with paragraph (1), by a date that is established by the State educational agency for the notification. (b) Eligibility(1) In generalA local educational agency shall be eligible to use the applicable funding in accordance with subsection (a) if—(A)(i)(I) the total number of students in average daily attendance at all of the schools served by the local educational agency is fewer than 600; or (II) each county in which a school served by the local educational agency is located has a total population density of fewer than 10 persons per square mile; and (ii) all of the schools served by the local educational agency are designated with a locale code of 41, 42, or 43, as determined by the Secretary; (B) the agency meets the criteria established in subparagraph (A)(i) and the Secretary, in accordance with paragraph (2), grants the local educational agency’s request to waive the criteria described in subparagraph (A)(ii); or (C) the local educational agency is a member of an educational service agency that does not receive funds under this subpart and the local educational agency meets the requirements of this part. (2) CertificationThe Secretary shall determine whether to waive the criteria described in paragraph (1)(A)(ii) based on a demonstration by the local educational agency, and concurrence by the State educational agency, that the local educational agency is located in an area defined as rural by a governmental agency of the State. (c) Applicable funding definedIn this section, the term “applicable funding” means funds provided under any of the following provisions:(1) Part A of subchapter II. (2) Part A of subchapter IV. (d) DisbursementEach State educational agency that receives applicable funding for a fiscal year shall disburse the applicable funding to local educational agencies for alternative uses under this section for the fiscal year at the same time as the State educational agency disburses the applicable funding to local educational agencies that do not intend to use the applicable funding for such alternative uses for the fiscal year. (e) Applicable rulesApplicable funding under this section shall be available to carry out local activities authorized under subsection (a).

20 U.S.C. § 7345a Grant program authorized

(a) In generalThe Secretary is authorized to award grants to eligible local educational agencies to enable the local educational agencies to carry out activities authorized under any of the following provisions:(1) Part A of subchapter I. (2) Part A of subchapter II. (3) Subchapter III. (4) Part A or B of subchapter IV. (b) Allocation(1) Allocation(A) In generalExcept as provided in paragraphs (3) and (4), the Secretary shall award a grant under subsection (a) to a local educational agency eligible under section 7345(b) of this title for a fiscal year in an amount equal to the initial amount determined under paragraph (2) for the fiscal year minus the total amount received by the agency under the provisions of law described in section 7345(c) of this title for the preceding fiscal year. (B) Special determinationFor a local educational agency that is eligible under section 7345(b)(1)(C) of this title and is a member of an educational service agency, the Secretary may determine the award amount by subtracting from the initial amount determined under paragraph (2), an amount that is equal to that local educational agency’s per-pupil share of the total amount received by the educational service agency under the provisions described in section 7345(c) of this title, as long as a determination under this subparagraph would not disproportionately affect any State. (2) Determination of initial amount(A) In generalThe initial amount referred to in paragraph (1) is equal to $100 multiplied by the total number of students in excess of 50 students, in average daily attendance at the schools served by the local educational agency, plus $20,000, except that the initial amount may not exceed $60,000. (B) Special ruleFor any fiscal year for which the amount made available to carry out this part is $265,000,000 or more, subparagraph (A) shall be applied—(i) by substituting “$25,000” for “$20,000”; and (ii) by substituting “$80,000” for “$60,000”. (3) Ratable adjustment(A) In generalIf the amount made available to carry out this section for any fiscal year is not sufficient to pay in full the amounts that local educational agencies are eligible to receive under paragraph (1) for such year, the Secretary shall ratably reduce such amounts for such year. (B) Additional amountsIf additional funds become available for making payments under paragraph (1) for such fiscal year, payments that were reduced under subparagraph (A) shall be increased on the same basis as such payments were reduced. (4) Hold harmlessFor a local educational agency that is not eligible under this subpart due to amendments made by the Every Student Succeeds Act to section 7345(b)(1)(A)(ii) of this title but met the eligibility requirements under section 7345(b) of this title as such section was in effect on the day before December 10, 2015, the agency shall receive—(A) for fiscal year 2017, 75 percent of the amount such agency received for fiscal year 2015; (B) for fiscal year 2018, 50 percent of the amount such agency received for fiscal year 2015; and (C) for fiscal year 2019, 25 percent of the amount such agency received for fiscal year 2015. (c) DisbursementThe Secretary shall disburse the funds awarded to a local educational agency under this section for a fiscal year not later than July 1 of that fiscal year.