(i) Each local educational agency in which the number of children determined under section 238(a) of this title amounts to at least 20 per centum of the total number of children who were in average daily attendance in the schools of such agency is in category (i).

(ii) Each local educational agency in which the number of children determined under section 238(a) of this title amounts to at least 15 per centum, but less than 20 per centum of the total number of children who were in average daily attendance in the schools of such agency is in category (ii).

(iii) Each local educational agency in which the number of children determined under section 238(a) of this title amounts to less than 15 per centum of the total number of children who were in average daily attendance in the schools of such agency is in category (iii).

(II) 15 per centum of entitlement to local educational agencies described in category (ii); and

(III) 10 per centum of entitlement to local educational agencies described in category (iii).

(iii) Any sums remaining after the allocation pursuant to clause (ii) shall be allocated as follows:

(I) 25 per centum of entitlement to local educational agencies described in category (ii); and

(II) 50 per centum of entitlement to local educational agencies described in category (iii).

(3)(A) For the purpose of allocating sums available for section 238(b) of this title for any fiscal year which remain after the allocation required by paragraph (1) and any allocation required by subsections (e) of this section and section 238(h) of this title for such fiscal year, the Secretary shall determine the category to which a local educational agency belongs as follows:

(i) Each local educational agency in which the number of children determined under section 238(b) of this title amounts to at least 20 per centum of the total number of

children who were in average daily attendance in the schools of such agency is in category (i).

(ii) Each local educational agency in which the number of children determined under section 238(b) of this title amounts to less than 20 per centum of the total number of children who were in average daily attendance in the schools of such agency is in category (ii).

the

(B) The Secretary shall allocate amounts described in subparagraph (A) according to the following schedule:

(i) A first allocation shall be made as follows:

(I) 20 per centum of entitlement to local educational agencies described in category (i); and

(II) 10 per centum of entitlement to local educational agencies described in category (ii).

(ii) Any sums remaining after the allocation pursuant to clause (i) shall be allocated as follows:

(I) 30 per centum of entitlement to local educational agencies described in category (i); and

(II) 5 per centum of entitlement to local educational agencies described in category

(ii).

(iii) Any sums remaining after the allocation pursuant to clause (ii) shall be allocated as follows:

(I) 50 per centum of entitlement to local educational agencies described in category (i); and

(II) 85 per centum of entitlement to local educational agencies described in category (ii).

(4) Whenever the additional amounts described in paragraphs (2)(A) and (3)(A) in each fiscal year are insufficient to provide the required percent of entitlement to each local educational agency under clause (ii) or (iii) of paragraph (2)(B), or clause (ii) or (iii) of paragraph (3)(B), respectively, the full amount which local educational agencies are entitled to receive under such clauses shall be ratably reduced. If additional funds become available for making such payments for any fiscal year during which the preceding sentence is applicable, such reduced amounts shall be increased on the same basis as they were reduced.

No allocation may be made pursuant to paragraph (2) and no payment may be paid on the basis of any such allocation unless allocations are made pursuant to paragraph (1) and payments are made on the basis of such allocations.

(d) Treatment of payments by States to determine eligibility for, and amount of, State aid; notice and opportunity for hearing; "State aid" and "equalize expenditures” defined; State equalization (1) Except as provided in paragraph (2), no payments may be made under this subchapter for any fiscal year to any local educational

agency in any State (A) if that State has taken into consideration payments under this subchapter in determining

(i) the eligibility of any local educational agency in that State for State aid for free public education of children; or

(ii) the amount of such aid with respect to any such agency;

during that fiscal year or the preceding fiscal year, or (B) if such State makes such aid available to local educational agencies in such a manner as to result in less State aid to any local educational agency which is eligible for payments under this subchapter than such agency would receive if such agency were not so eligible.

(2)(A) Notwithstanding paragraph (1) of this subsection, if a State has in effect a program of State aid for free public education for any fiscal year, which is designed to equalize expenditures for free public education among the local educational agencies of that State, payments under this subchapter for any fiscal year may be taken into consideration by such State in determining the relative

(i) financial resources available to local educational agencies in that State; and

(ii) financial need of such agencies for the provision of free public education for children served by such agency, provided that a State may consider as local resources funds received under this subchapter only in proportion to the share that local revenues covered under a State equalization program are of total local

revenues.

The increase in payments described in sections 238(d)(2)(B), 238(d)(2)(C), 238(d)(2)(D), and 238(d)(3)(B)(ii) of this title shall not be taken into consideration by the State for the purpose of this subparagraph. Whenever a State educational agency or local educational agency will be adversely affected by the operation of this subsection, such agency shall be afforded notice and an opportunity for a hearing prior to the reduction or termination of payments pursuant to this subsection.

(B) The terms "State aid” and “equalize expenditures" as used in this subsection shall be defined by the Secretary by regulation, after consultation with State and local educational agencies affected by this subsection, provided that the term “equalize expenditures" shall not be construed in any manner adverse to a program of State aid for free public education which provides for taking into consideration the additional cost of providing free public education for particular groups or categories of pupils in meeting the special educational needs of such children as handicapped children, economically disadvantaged, those who need bilingual education, and gifted and talented children.

(C) In the application of subparagraph (A) of this paragraph to any State having a program described in such subparagraph (A) in effect on October 12, 1976, no payment may be withheld from and no repayment may be required of any State or local educational agency for any period prior to promulgation of final regulations, or, if the State is not in conformance with such regulations, until July 1, 1977.

(C)3 (i) If a State desires to take payments under this section into consideration as provided in this paragraph for any fiscal year, that State shall, not later than sixty days prior to the beginning of such fiscal year, submit notice to the Secretary of its intention to do so. Such notice shall be in such form and be accompanied by such information as to enable the Secretary to determine the extent to which the program of State aid of that State is consistent with the provisions of subparagraph (A). In addition, such notice shall be accompanied by such evidence as the Secretary finds necessary that each local educational agency in that State has been given notice of the intention of the State. If the Secretary determines that the program of State aid of a State submitting notice under this subparagraph is consistent with the provisions of subparagraph (A), the Secretary shall certify such determination to that State.

(ii) Prior to certifying any determination under division (i) for any State for any fiscal year, the Secretary shall give the local educational agencies in that State an opportunity for a hearing at which such agencies may present their views with respect to the consistency of the State aid program of that State with the provisions of subparagraph (A).

(iii) The Secretary shall not finally deny to any State for any fiscal year certification of a determination under division (i) without first giving that State an opportunity for a hearing. (e) Discretionary allocations

(1)(A) For any fiscal year after September 30, 1988, the Secretary shall allocate to any local educational agency which received a payment under section 238(a) of this title in fiscal year 1987, an amount which is not less than the product of 100 per centum of the per pupil amount paid to such agency in fiscal year 1987 and the number of such children in average daily attendance for the fiscal year for which the determination is made under such subsection.

(B) For any fiscal year beginning after September 30, 1988, the Secretary shall allocate to any local educational agency which received a payment under section 238(b) of this title in fiscal year 1987 for children described in subsection (c)(3)(A)(i) of this section, an amount which is not less than the product of 100 per centum of the per pupil amount paid to such agency in fiscal year 1987 and the number of such children in average daily attendance in the fiscal year for which such determination is made.

(C) The provisions of subparagraphs (A) and (B) of this paragraph shall not apply to any local educational agency for which the factor in the determination of the local contribution rate described in section 238(d)(3)(A)(i) of this title in the year for which the determination is made is less than the amount for such factor for fiscal year 1987.

(D) The Secretary is authorized to modify the per pupil amount described in subparagraph

3 So in original. Probably should be "(D)".

(A) of this paragraph, in any case in which, in the fiscal year for which the determination is made a local educational agency is no longer an agency described in subsection (c)(2)(A)(i) of this section, or subsection (c)(2)(A)(ii) of this section, but is an agency described in subsection (c)(2)(A)(ii) of this section or subsection (c)(2)(A)(iii) of this section, as the case may be. (E) The provisions of subparagraph (B) of this paragraph shall not apply to any local educational agency which, in the fiscal year for which the determination is made, is not a local educational agency described in subsection (c)(3)(A)(i) of this section.

(2) If sums appropriated for any fiscal year for making payments under this section are not sufficient to pay in full the amount to which each local educational agency is entitled under the previous paragraph, such amounts shall be ratably reduced.

(3) In no event shall the amount allocated to any local educational agency in any fiscal year under paragraph (1) exceed the amount received by such agency in the fiscal year 1987. (f) Use of funds with respect to entitlements increased under section 238(d)(2)(C) of this title The amount of the payment to any local educational agency for any fiscal year which is attributable to a determination of children for increased payments under subparagraph (C) of section 238(d)(2) of this title shall be used by such agency for special educational programs designed to meet the special educational needs of children with respect to whom such determination is made.

(g) Hearing and review

Each local educational agency which is adversely affected or aggrieved by any action of the Secretary under this subchapter shall be entitled to a hearing on, and review of, such action in the same manner as if such agency were a person under the provisions of chapters 5 and 7 of title 5.

(h) Treatment of administrative school district within State as local educational agency for purpose of determining amount of payment; restrictions

If any legislation enacted after March 31, 1983, affects the determination of amounts of payments made on the basis of entitlements established under sections 237, 238, and 239 of this title by placing any additional restriction on payments based on the concentration of children counted under subsection (a) or (b) of section 238 of this title in the schools of a local educational agency, such rstriction shall be applied, in the case of any State (other than a territory or possession of the United States) within which there is only one local educational agency, by treating each administrative school district within such State as a local educational agency (solely for the purpose of computing the amount of such payments). Treating such an administrative school district as a local educational agency under the preceding sentence shall not result, during fiscal year 1984, 1985, or 1986, in an increase of more than 10 per centum in the amount of funds paid to such State above the amount which would otherwise be paid to such State for such fiscal year.

(Sept. 30, 1950, ch. 1124, title I, § 5, formerly § 5, 64 Stat. 1106; Aug. 8, 1953, ch. 402, §§ 6, 7, 67 Stat. 534; Aug. 3, 1956, ch. 915, title II, § 209, 70 Stat. 972; renumbered and amended Apr. 11, 1965, Pub. L. 89-10, title I, § 2, 79 Stat. 27; Nov. 3, 1966, Pub. L. 89-750, title II, §§ 202, 203, 80 Stat. 1211, 1212; Oct. 16, 1968, Pub. L. 90-576, title III, § 305(a), 82 Stat. 1097; Apr. 13, 1970, Pub. L. 91-230, title II, § 203(c)(4), 84 Stat. 156; June 23, 1972, Pub. L. 92-318, title IV, § 411(c)(1), 86 Stat. 338; Aug. 21, 1974, Pub. L. 93-380, title III, §§ 304(c)(1), (2), (d)(2), 305(a)(2), 88 Stat. 522, 523, 529; Apr. 21, 1976, Pub. L. 94-273, § 3(5), 90 Stat. 376; Oct. 12, 1976, Pub. L. 94-482, title III, § 330(a), (b)(1)-(3), 90 Stat. 2221; Nov. 1, 1978, Pub. L. 95-561, title X, §§ 1003(c), 1005, 1006(a), 1007, 1008, title XI, § 1101(b), (c), (e), 92 Stat. 2306-2309, 2313, 2315; Aug. 6, 1979, Pub. L. 96-46, § 3(b), 93 Stat. 342; Oct. 31, 1983, Pub. L. 98-139, title III, § 300, 97 Stat. 889; Dec. 8, 1983, Pub. L. 98-211, § 23, 97 Stat. 1419; Aug. 22, 1984, Pub. L. 98-396, title I, § 101, 98 Stat. 1393; Oct. 19, 1984, Pub. L. 98-511, title III, § 303(b)(1), 98 Stat. 2389; Apr. 28, 1988, Pub. L. 100-297, title II, §§ 2011(a)(1), (2), 2015, 102 Stat. 294, 296.)

REFERENCES IN TEXT

Section 1101(d) of the Education Amendments of 1978, referred to in subsec. (b)(3)(E), is section 1101(d) of Pub. L. 95-561, title XI, Nov. 1, 1978, 92 Stat. 2315, which is set out as a note below.

AMENDMENTS

1988-Subsec. (a). Pub. L. 100-297, § 2011(a)(1), substituted "Secretary" for "Commissioner" in three places.

Subsec. (b)(1). Pub. L. 100-297, § 2015(b), inserted "(1)" after subsec. designation and directed insertion at end thereof of provision relating to return of funds to the United States Treasury by the Secretary at the end of the fifth fiscal year following the end of the fiscal year for which the sums were appropriated, was executed by inserting the provision at end of par. (1) as the probable intent of Congress.

Pub. L. 100-297, § 2015(a), inserted ", rounded to the nearest whole dollar," after "agency".

Pub. L. 100-297, § 2011(a)(1), substituted "Secretary" for "Commissioner" in two places.

Subsec. (b)(2). Pub. L. 100-297, § 2015(c), amended par. (2) generally. Prior to amendment, par. (2) read as follows: "Not later than thirty days after the beginning of any fiscal year the Secretary shall, on the basis of any application for preliminary payment from any local educational agency which was eligible for a payment during the preceding fiscal year on the basis of entitlements established under section 237 or 238 of this title, make such a payment to such agency of not less than 75 per centum of the amount that such agency received during such preceding fiscal year."

Pub. L. 100-297, § 2011(a)(1), substituted "Secretary" for "Commissioner".

Subsec. (b)(3)(A), (C)(i), (ii), (v), (vi). Pub. L. 100-297, § 2011(a)(1), substituted "Secretary" for "Commissioner", wherever appearing.

Subsec. (b)(3)(C)(vii). Pub. L. 100-297, § 2011(a)(1), (2), substituted "Secretary" for "Commissioner" wherever appearing, and "Secretary's" for "Commissioner's".

Subsec. (b)(3)(C)(viii), (D), (E). Pub. L. 100-297, § 2011(a)(1), substituted "Secretary" for "Commissioner" wherever appearing.

Subsec. (c). Pub. L. 100-297, § 2015(e)(2)(B), which directed the amendment of the sentence following paragraph (2) of subsec. (c) “(as amended by subpara

graph (A))", by striking out "or (3)" was executed by striking out "or (3)" in sentence following paragraph (4) of subsec. (c), to reflect the probable intent of Congress.

Pub. L. 100-297, § 2015(e)(2)(C), struck out at end: "No allocation may be made pursuant to any clause of paragraph (2)(A) and no payment may be made on the basis of any such allocation unless allocations are made pursuant to all of the clauses of such paragraph and payments are made on the basis of such allocations."

Pub. L. 100-297, § 2011(a)(1), substituted "Secretary" for "Commissioner" in two places in introductory provisions.

Subsec. (c)(1). Pub. L. 100-297, § 2015(d), amended par. (1) generally. Prior to amendment, par. (1) read as follows: "He shall first allocate to each local educational agency which is entitled to a payment under section 237 of this title an amount equal to 100 per centum of the amount to which it is entitled as computed under that section for such fiscal year and he shall further allocate to each local educational agency which is entitled to a payment under section 238 of this title an amount equal to 25 per centum of the amount to which it is entitled as computed under section 238(d) of this title for such fiscal year."

Subsec. (c)(2). Pub. L. 100-297, § 2015(e)(1), amended par. (2) generally, revising and restating subpars. (A) and (B) relating to allocation of sums remaining after allocations under par. (1).

Subsec. (c)(3). Pub. L. 100-297, § 2015(e)(1), (2)(A), added par. (3) and struck out former par. (3) which read as follows: “Any sums remaining after allocations are made pursuant to paragraph (2) for any fiscal year shall be allocated by the Secretary among local educational agencies which have unsatisfied entitlements established under sections 238 and 239 of this title in proportion to the degree to which such entitlements are unsatisfied for that fiscal year, after allocations are made pursuant to paragraphs (1) and (2).”

Pub. L. 100-297, § 2011(a)(1), substituted "Secretary" for "Commissioner".

Subsec. (c)(4). Pub. L. 100-297, § 2015(e)(1), added par. (4).

Subsec. (d)(2)(A). Pub. L. 100-297, § 2015(f), inserted provision that increase in payments described in sections 238(d)(2)(B), 238(d)(2)(C), 238(d)(2)(D), and 238(d)(3)(B)(ii) of this title not be taken into consideration by the State for the purpose of this subparagraph.

Subsec. (d)(2)(B), (C). Pub. L. 100-297, § 2011(a)(1), substituted "Secretary" for "Commissioner" wherever appearing.

Subsec. (e). Pub. L. 100-297, § 2015(g), amended subsec. (e) generally. Prior to amendment, subsec. (e) read as follows:

“(1) In carrying out the required allocations under paragraph (2) of subsection (c) of this section, if any amount remains after making allocations under paragraph (2)(A) of such subsection, the Secretary shall allocate, from the amounts available under paragraph (2)(B) of such subsection, to each local educational agency described in the schedule in such paragraph (2)(A) an amount which shall not be less than 90 per centum of the amount paid to such agency under this section for the preceding fiscal year. If sums appropriated for any fiscal year for making payments under this section are not sufficient to pay in full the amount to which each local educational agency is entitled under the previous sentence, such amounts shall be ratably reduced.

"(2) Any sums which remain from the amounts available under paragraph (2)(B) of subsection (c) of this section after making payments required by the first sentence of paragraph (1) of this subsection shall be allocated by the Secretary among local educational agencies which have unsatisfied entitlements under sections 238 and 239 of this title in accordance with appropriations Acts."

Pub. L. 100-297, § 2011(a)(1), substituted "Secretary" for "Commissioner" in pars. (1) and (2).

Subsec. (g). Pub. L. 100-297, § 2011(a)(1), substituted "Secretary" for "Commissioner".

1984-Subsecs. (c), (h). Pub. L. 98-396 and Pub. L. 98-511 made identical amendments by designating as subsec. (h) former provisions of susec. (c) relating to legislation enacted after Mar. 31, 1983, which places an additional restriction on payments based on the concentration of children in the schools of a local educational agency and a limitation on the increase in the amount of funds paid to certain States in fiscal year 1984, 1985, or 1986.

1983-Subsec. (c). Pub. L. 98-211 inserted provision that if any legislation enacted after March 31, 1983, affects the determination of amounts of payments made on the basis of entitlements established under sections 237, 238, and 239 of this title by placing any additional restriction on payments based on the concentration of children counted under subsection (a) or (b) of section 238 of this title in the schools of a local educational agency, such restriction shall be applied, in the case of any State (other than a territory or possession of the United States) within which there is only one local educational agency, by treating each administrative school district within such State as a local educational agency (solely for the purpose of computing the amount of such payments), and that treating such an administrative school district as a local educational agency under the preceding sentence shall not result, during fiscal year 1984, 1985, or 1986, in an increase of more than 10 per centum in the amount of funds paid to such State above the amount which would otherwise be paid to such State for such fiscal year.

Pub. L. 98-139 temporarily amended subsec. (c) by inserting provision at end which was substantially identical to provisions added by Pub. L. 98-211. See Effective and Termination Dates of 1983 Amendment note below.

1979-Subsec. (b)(3)(C)(i). Pub. L. 96-46, § 3(b)(1), substituted “may, in its discretion and without regard to the requirements of any other provision of law, file" for "may file".

Subsec. (b)(3)(E), (F). Pub. L. 96-46, § 3(b)(2), added subpar. (E) and redesignated former subpar. (E) as (F). Subsec. (c)(2)(A)(v). Pub. L. 96-46, § 3(b)(3), substituted "clause (i)(II) of this subparagraph" for "clause (A)(ii) of this paragraph".

1978-Subsec. (a). Pub. L. 95-561, § 1101(b), struck out designation "(1)" before "Any local educational agency" and struck out par. (2) which related to applications submitted for payments on the basis of children who resided, or resided with parents employed, on Indian lands.

Subsec. (b). Pub. L. 95-561, §§ 1005, 1101(c), designated existing provisions as par. (1) and added pars. (2) and (3).

Subsec. (c). Pub. L. 95-561, §§ 1003(c), 1007(a), 1101(e), inserted subpar. designation “(A)” after existing par. (2) designation, redesignated existing subpars. (A)-(F) as cls. (i)(II) and (iii)-(vii), respectively, of redesignated par. (2)(A), added cls. (i)(I) and (ii) thereof, added par. (2)(B) following redesignated par. (2)(A)(vii), inserted reference to section 238(b)(3) of this title in redesignated par. (2)(A)(i)(II), inserted "(other than such children with respect to whom a payment is made under clause (A)(ii) of this paragraph)" after "section 238(b) of this title" in redesignated par. (2)(A)(v), substituted "amount equal to 65 per centum of the amounts described in the following schedule:" for "amount-" in provisions preceding redesignated par. (2)(A)(i), and, in provisions following par. (3), substituted "paragraph (2)(A)" for “paragraph (2)" the second place it appears.

Subsec. (d)(2)(C). Pub. L. 95-561, § 1006(a), added subpar. (C) relating to State equalization.

Subsec. (e). Pub. L. 95-561, § 1007(b), substituted provisions relating to the allocation of amounts remaining after making the allocations under subsec. (c)(2)(A) of this section for provisions setting limita

95-008 - 895 (Vol. 8): QL3

tions on payments with respect to children on, or residing with a parent employed on, Federal property described in section 244(1)(C) of this title.

Subsec. (g). Pub. L. 95-561, § 1008, added subsec. (g). 1976-Subsec. (c)(1). Pub. L. 94-482, § 330(b)(1), amended par. (1) generally, increasing the allocation under section 237 of this title from 25 to 100 per centum of the entitled amount.

Subsec. (c)(2)(G). Pub. L. 94-482, § 330(b)(2), struck out subpar. (G) relating to entitlement under section 237 of this title equal to 35 per centum of computed amount under such section.

Subsec. (c)(3). Pub. L. 94-482, § 330(b)(3), struck out reference to section 237 of this title.

Subsec. (d)(2)(C). Pub. L. 94-482, § 330(a), added subpar. (C).

Subsec. (e)(1). Pub. L. 94-273 substituted "October" for "July".

1974-Pub. L. 93-380, § 305(a)(2), in revising the section, effective on and with respect to appropriations for fiscal years beginning on and after July 1, 1975, substituted provisions of subsecs. (a) to (f) respecting: (a) applications to Commissioner, time of submission, form, information, and definition of "Indian lands"; (b) payments by the Commissioner; (c) adjustments where necessitated by appropriation; (d) treatment of payments by the State in determining eligibility for, and the amount of, State aid, notice and opportunity for hearing, and definitions of "State aid” and “equalize expenditures"; (e) limitations on payments with respect to children on, or residing with a parent employed on, Federal property described in section 244(1)(C) of this title; and (f) use of funds with respect to entitlements increased under section 238(d)(2)(C) of this title for prior provisions of subsecs. (a) to (d) respecting (a) submission of applications and definition of "Indian lands"; (b) payments; (c) adjustments where necessitated by appropriations; and (d) adjustments for reduction in State aid.

Subsec. (c)(1)(A). Pub. L. 93-380, § 304(d)(2), provided for determination of entitlement of local educational agencies to payments based on residence in a lowrent housing project assisted under certain Federal provisions "(other than any such property which is Federal property described in section 244(1)(A) of this title)".

Subsec. (d)(1). Pub. L. 93-380, § 304(c)(1), substituted, in subsec. (d)(2), “Except as provided in paragraph (3), no payments" for "No payments", effective for fiscal year 1975 only. Such provision redesignated and amended by Pub. L. 93-380, § 305(a)(2) to read “(d)(1) Except as provided in paragraph (2), no payments", effective on and with respect to appropriations for fiscal years beginning on and after July 1, 1975.

Subsec. (d)(2). Pub. L. 93-380, § 304(c)(2), added par. (3). Such par. (3) redesignated and amended by Pub. L. 93-380, 305(a)(2) to be par. (2) with the following changes: substitution in subpar. (A) “paragraph (1)” for "paragraph (2)” and “adversely affected by the operation of this subsection, such agency shall be afforded notice and an opportunity for a hearing prior to the reduction or termination of payments pursuant to this subsection" for "adversely affected by any decision of the Commissioner pursuant to this subsection, such agency shall be afforded notice and an opportunity for a hearing prior to the implementation of such decision" and in subpar. (B) “defined by the Commissioner by regulation, after consultation with State and local educational agencies affected by this subsection," for "defined by the Commissioner by regulation after consultation with State and local educational agencies affected", effective on and with respect to appropriations for fiscal years beginning on and after July 1, 1975.

1972-Subsec. (a). Pub. L. 92-318 designated existing provisions as par. (1) and added par. (2).

1970-Subsec. (c)(1). Pub. L. 91-230 designated existing provisions of first and second sentences as par. (1), and, among other changes, including phraseological changes, inserted cl. (A), designated existing provi

sions as cl. (B), inserting therein the exception provisions reading "except as otherwise provided in paragraph (3)" and "except that he shall not take into consideration any part of any entitlement determined under clause (A)” and inserted provision that “For the purposes of this paragraph, in determining the amount to which each local educational agency is entitled under section 238 of this title, he shall include any increases under paragraph (4) of subsection (c) thereof; but he shall exclude any part of any entitlement determined under clause (A) of this paragraph.” Subsec. (c)(2), (3). Pub. L. 91-230 added pars. (2) and (3).

Subsec. (c)(4). Pub. L. 91-230 designated existing provisions of third sentence as par. (4), and, among changes in language, substituted "allocated to a section under paragraph (1)”, “available for making payments under this subchapter", and "basis as is provided in paragraphs (1), (2), and (3)" for "so allocated", "available for carrying out such sections", and "basis as is provided above".

1968-Subsec. (d). Pub. L. 90-576 designated existing provisions as par. (1) and added par. (2).

1966-Subsec. (b). Pub. L. 89-750, § 202, inserted provision that sums appropriated pursuant to this chapter for any fiscal year shall remain available, for obligation and payments with respect to amounts due local educational agencies under this subchapter for such year, until the close of the following fiscal year. Subsec. (d). Pub. L. 89-750, § 203, added subsec. (d). 1965-Pub. L. 89-10 substituted "this title" for "this Act", and for purposes of codification, "this title" was changed to "this subchapter".

1956-Subsec. (c). Act Aug. 3, 1956, substituted "subsection (c)(4)" for "subsection (c)(2)" before "of section 238".

1953-Subsec. (b). Act Aug. 8, 1953, § 6, authorized payments to be made from time to time rather than on a quarterly basis, specifically provided that adjustments can be made for prior erroneous payments whether in same fiscal year or not, and struck out requirement of certification by Commissioner to Secretary of the Treasury of amounts to be paid.

Subsec. (c). Act Aug. 8, 1953, § 7, provided for proportionate allocation of the appropriations available among sections 237, 238, and 239(a) of this title.

EFFECTIVE DATE OF 1988 AMENDMENT

For effective date and applicability of amendment by Pub. L. 100-297, see section 6303 of Pub. L. 100-297, set out as an Effective Date note under section 2701 of this title.

EFFECTIVE DATE OF 1984 AMENDMENTS

Section 303(b)(2) of Pub. L. 98-511 provided that: "The amendment made by paragraph (1) of this subsection [amending this section] shall be effective December 8, 1983.”

Section 101 of Pub. L. 98-396 provided in part that: "This amendment [amending this section] shall be effective December 8, 1983."

EFFECTIVE AND TERMINATION DATES OF 1983
AMENDMENT

Section 300 of Pub. L. 98-139 provided in part that the amendment of subsec. (c) of this section by Pub. L. 98-139 by inserting the provision relating to additional restrictions on payments is effective for the duration of the provisions of Pub. L. 98-139, the Department of Education Appropriation Act, 1984, which covered the fiscal year ending Sept. 30, 1984, and further provided that "This provision shall no longer be in effect upon enactment into public law of similar language by the duly recognized authorization committees; further this provision shall not result in an increase to the State of Hawaii in an amount in excess of 50 per centum of that which the State would have received without the enactment of this provision." For enact