Under Chapter 1 of the Education Consolidation and Improvement Act of 1981 (Chapter 1), the Secretary provides financial assistance to local educational agencies (LEAs) for projects designed to meet the special educational needs of:

(a) Educationally deprived children selected in accordance with Section 556 of Chapter 1; and

(b) Children in local institutions for neglected or delinquent children.

(Authority: Sec. 552, 20 U.S.C. 3801; Sec. 555, 20 U.S.C. 3804; Sec. 556, 20 U.S.C. 3805)

§ 200.2 Applicability of regulations in this part.

(a) The regulations in this part apply to projects for which the Secretary provides financial assistance to LEAS under Chapter 1.

(b) The regulations do not apply to Chapter 1 projects operated by State agencies for handicapped children, neglected or delinquent children, or migratory children of migratory agricultural workers or migratory fishermen. (Authority: Secs. 552-558, 20 U.S.C. 38013807)

§ 200.3 Definitions.

(a) The definitions in Section 595 of the Education Consolidation and Improvement Act of 1981 apply to the programs covered by this part.

(b) In addition to the definitions referred to in paragraph (a), the following definitions apply to this part:

"Attendance area" means, in relation to a particular public school, the geographical area in which the children who are normally served by that school reside. However, if a child's school attendance area cannot be determined on a geographical basis, the child is considered to be in the school attendance area of the school to which the child is assigned or would be assigned if the child were not attending a private school or another public school on a voluntary basis.

"Chapter 1" means Chapter 1 of the Education Consolidation and Improvement Act of 1981.

"Children" means persons:

(1) Up to age 21 who are entitled to a free public education not above grade 12; or

(2) Who are of preschool age.

"Educationally deprived children" means children whose educational attainment is below the level that is appropriate for children of their age.

"Fiscal year" means the Federal fiscal year-a period beginning on October 1 and ending on the following September 30-or another twelvemonth period normally used by the State educational agency (SEA) for recordkeeping.

"Institution for delinquent children" means, as determined by the SEA, a public or private residential facility that is operated for the care of children who have been determined to be delinquent or in need of supervision.

"Institution for neglected children" means, as determined by the SEA, a public or private residential facilityother than a foster home-that is operated for the care of children who have been committed to the institution- or voluntarily placed in the institution under applicable State lawbecause of the abandonment by, neglect by, or death of parents.

"Preschool children" means children who are:

(1) Below the age and grade level at which the LEA provides free public education; and

(2) Of the age or grade level at which they can benefit from an organized instructional program provided in a school or instructional setting.

"Private," as applied to an agency, organization, or institution, means that it is not under Federal or public supervision or control.

"Project area" means an attendance area in which a high concentration of children from low-income families reside, and that is selected by an LEA under Section 556(b) of Chapter 1, without regard to the locality of the project itself, as an area from which children are to be selected to participate in a Chapter 1 project.

"Public," as applied to an agency, organization, or institution, means under

§ 200.4 Amount of funds available for Chapter 1 grants.

(a) Grants to SEAS. The Secretary annually notifies an SEA of the amount of funds the SEA is eligible to receive for the next fiscal year for:

(1) Allocation to LEAs under paragraph (b) of this section; and

(2) State administration of Chapter 1 programs.

(b) Grants to LEAS. The SEA, on the basis of county allocations provided by the Secretary or, if necessary, on the basis of other data, shall annually:

(1) Determine, in accordance with §§ 200.21-200.23, 200.31, and 200.42, the amount of Chapter 1 funds that each LEA is eligible to receive under this part for the next fiscal year; and (2) Notify each LEA of the amount determined under paragraph (b)(1) of this section.

(Authority: Sec. 554, 20 U.S.C. 3803)

[47 FR 52343, Nov. 19, 1982. Redesignated at 51 FR 18409, May 19, 1986]

§§ 200.5-200.9 [Reserved]

APPLICATION PROCEDURE

§ 200.10 State assurances.

(a) A State that wishes to receive Chapter 1 funds for LEA projects designed to meet the special educational needs of educationally deprived children shall file with the Secretary as

surances that meet the requirements in Section 435 (b)(2) and (b)(5) of the General Education Provisions Act (GEPA) relating to fiscal control and fund accounting procedures.

(b) When an SEA files the assurances required in paragraph (a) of this section, the assurances will remain in effect for the duration of the SEA's participation in Chapter 1.

(Authority: Sec. 596(a), 20 U.S.C. 3876(a))

§ 200.11 Payments for State administration.

The Secretary pays each State an amount to be spent by it for the proper and efficient performance of its duties under Chapter 1, provided that the amount paid by the Secretary for any fiscal year does not exceed the limits imposed by Section 554 (b) and (d) of Chapter 1.

(Authority: Sec. 554(b), 20 U.S.C. 3803(b); Sec. 554(d), 20 U.S.C. 3803(d))

§ 200.12 LEAs that may receive Chapter 1 funds.

An LEA that is eligible to receive funds for a fiscal year may receive those funds through a grant from the SEA, if the LEA has on file with the SEA a Chapter 1 project application that:

(a) Describes the projects to be conducted with the Chapter 1 funds; and (b) Has been approved by the SEA. (Authority: Sec. 556, 20 U.S.C. 3805)

§ 200.13 Submission of LEA project applications to the SEA.

(a) Frequency of submission. An LEA shall submit to the SEA an application for a Chapter 1 project to be conducted during a period of not more than three fiscal years, including the first fiscal year for which a grant is made under that application.

(b) Contents of the application. The LEA's Chapter 1 project application must include:

(1) A description of the Chapter 1 project to be conducted;

(2) The assurances required under Section 556(b) of Chapter 1; and

(3) The assurances required by Section 436(b)(2) and (b)(3) of GEPA.