of State aid per pupil with respect to the provision of free public education in that State for the preceding fiscal year was not less than the amount of such State aid per pupil for the second preceding fiscal year.

(20 U.S.C. 845(b), (e), 1232d)

§ 118.52 Reallotment.

(a) General. The amount of any State's allotment under Title III of the Act for any fiscal year which the Commissioner determines will not be required by such State for the period for which that amount is available shall be reallotted to other States. Funds may be reallotted from time to time, during the period for which they are available, on such dates as the Commissioner may determine, among other States in proportion to the amounts of their respective original allotments for that year, but with the proportionate amount for any of the other States being reduced to the extent it exceeds the sum the Commissioner estimates the respective State needs and will be able to use during the period for which the funds are available. Funds available due to such reductions may be similarly reallotted among the States whose proportionate amounts were not so reduced. Any amount reallotted to a State from funds appropriated pursuant to Section 301 of the Act for any fiscal year will be deemed to be a part of the amount allotted to it under Section 302 of the Act for that year.

(b) Statements of anticipated need. In order to provide a basis for reallotment of funds by the Commissioner pursuant to this section, each State agency shall, if requested, submit to the Commissioner, by such date or dates as he may specify, a statement or statements showing the anticipated need for the funds previously allotted during the period for which such funds are available, or any amount needed to be added thereto by reallotment. Such further information as the Commissioner may request for the purpose of making reallotments shall be reflected in such statements.

(20 U.S.C. 842c)

§ 118.53 Annual and other reports.

Pursuant to the provisions required for approval of the State plan under section 305(b)(11) of the Act and § 118.16 of this Part, the State educational agency shall make an annual report and such other reports containing such information as the Commissioner may reasonably require to carry out his functions under the Act and to determine the extent to which funds provided under the Act have been effective in improving the educational opportunities of persons in the areas served by programs or projects supported under the State plan and in the State-as-a-whole. The annual report shall include an evaluation made in accordance with objective measurements to determine the extent to which critical educational needs identified in the State plan have been met and an evaluation of the effectiveness of projects funded for that fiscal year under the Act. The State shall also keep such records and afford access thereto as the Commissioner may find necessary to assure the correctness and verification of such reports.

6.3 Staffing of evaluation.

6.4 The evaluation process.

6.5 The elements of an evaluation.

6.6 Stages of the evaluation process. 6.7 Criteria for determination of the adequacy of State provisions for evaluation. 6.8 State strategy to evaluate the effectiveness of Title III projects on persons served and on the State-as-a-whole.

Part 7-Validation of Educational Practices

7.1 An overview of validation. 7.2 The validation process.

Part 8-Dissemination

8.1 The purpose of dissemination activities. 8.2 The role of the State and local educational agencies, and the U.S. Office of Education.

8.3 Management implications.

8.4 Nature and assignment of dissemination responsibilities.

8.5 Criteria for determining adequacy of State plan provisions for dissemination. 8.6 Criteria for an effective dissemination program at the local level.

Part 9-Adoption

9.1 The importance of adoption.

9.2 Criteria for an effective adoption pro

gram.

2.1 Project period.

2.2 Grant terms and conditions.

PART 1-GUIDELINES

§1.1 Scope of guidelines.

(a) The guidelines contained in this document are recommendations and suggestions for meeting the legal requirements which apply to Federal assistance under the Elementary and Secondary Education Act, Title III, sections 301-308 (excluding Section 306). The legal requirements include the Act (20 U.S.C. 841-844a, 845-49) and the regulations (45 CFR 118). The guidelines are not to be construed as requirements. However, where the guidelines set forth a permissible means of meeting a legal requirement, the guidelines may be relied upon. Projects are not subject to termination proceedings or audit exceptions for conduct which is recommended or suggested in the guidelines.

(20 U.S.C. 1441; 113 Cong. Rec. 5936, 5939 (daily ed. May 23, 1967); United States v. Jefferson County Board of Education, 372 F.2d 836, 857 (1966))

(b) Where a guideline is issued in connection with or affecting a provision in the regulations, the pertinent regulation will be

cited after the citation of legal authority for the guideline, in the parentheses following the guideline. For example, if the legal authority for the guideline is Section 305(b)(11) of the Act (20 U.S.C. 844a(b)(11)), and the guideline affects § 118.16 of the regulations (45 CFR 118.16), the following citation will be placed on the line immediately following the guideline: (20 U.S.C. 844a(b)(11)); (45 CFR 118.16). If no particular section of the regulations is affected, no citation to the Code of Federal Regulations (CFR) will be made.

(20 U.S.C. 1232(a))

PART 2-THE PURPOSE AND PROGRAMS OF TITLE III

§ 2.1 Objectives.

The role of Title III of the Act in the improvement of American education is that of demonstrating the feasibility of innovations in a local context. These demonstrations should meet the criteria of having been field tested following research and development phases, usually under the auspices of State educational agencies, universities, foundations, or educational laboratories. They should be exemplary in that they will serve as models for other school systems that may wish to visit or replicate them, and they should hold promise of being economically feasible. In this manner, the Title III project bridges the research-to-practice gap by filling the diffusion role in the change continuum of research, development, evaluation, diffusion, and adoption.

(20 U.S.C. 841(a))

§ 2.2 Types of programs.

State educational agencies are authorized to make grants to local educational agencies for innovative and exemplary programs and projects which are designed to demonstrate ways of making a substantial contribution to the solution of critical educational problems. Title III grants should be made only to programs or projects which can be replicated elsewhere if evaluation proves them to be effective approaches to solving educational problems.

(20 U.S.C. 841(a))

§ 2.3 Program emphases.

(a) The flexibility of Title III of the Act allows its resources to be focused on virtually any major educational need. Title III can be used as an effective agent to develop strategies for designing innovative approaches that can be replicated by local educational agencies and for demonstrating exemplary programs to meet assessed needs. Title III of the Act furnishes the seed money to produce innovative solutions to

critical problems which are of concern to all or several States. In effect, this program offers money to plan and develop new programs, and to test their feasibility for dissemination innovation as model programs which may be adopted throughout the Nation to meet critical needs of public and private school children.

(b) In making long-range plans for improving education, States have the responsibility in cooperation with local education agencies for identifying their most critical educational needs with local educational agencies and for encouraging the development of local projects which demonstrate highly creative approaches to meeting these needs, with the ultimate aim of promoting widespread adoption, through other funding sources, of those programs which are judged to be the most promising. To summarize the primary aim of Title III is to design and demonstrate creative solutions of major educational problems which affect various States or the entire Nation, rather than to provide direct aid on a massive scale.

(20 U.S.C. 843(b), 844a(b)(1)(A)); (45 CFR 118.9, 118.22, 118.25)

CHAPTER II-STATE PLAN ADMINISTRATION

PART 1-ELIGIBILITY FOR PAYMENTS §1.1 Submission of State plans.

The Title III program in recent years has placed less emphasis on the State's preparing, and the Office of Education's approving a detailed description of the manner in which the program is to be conducted. More emphasis has been placed upon the State's developing a contemporary dynamic process for planning, evaluating, and managing federally supported educational programs. The State plan provides an annual set of assurances, except when otherwise required by law that certain provisions which a State is legally bound to follow in the administration of a program are set forth in the plan. But providing such assurances it does not replace the requirement for a State to develop a thorough and complete plan or to present such a plan in writing. The plan serves as a guide in the administration of any federally supported program. This State-developed management plan should be made available and on file for any person to review.

(20 U.S.C. 844a(a)(1), (b), 1232c(b)); (45 CFR 118.6)

§ 1.2 Calendar of suggested dates for submitting material to Office of Education.

PART 2-STATE ORGANIZATION AND FUNCTIONS

§2.1 State advisory council support staff. Staff members made available to assist the State advisory council may be employed on a full- or part-time basis and may include consultants highly trained in educational areas such as evaluation and statistics. Other support staff may include administrative assistants trained in data collection, editorial assistants, and clerical help. Council members ordinarily will serve on a part-time basis; however, a full-time person may be employed to serve in the capacity of Executive Secretary.

(20 U.S.C. 843(c), 844a(a)); (45 CFR 118.4(c)) §2.2 State agency staffing and functions.

(a) Staffing needs. The State educational agency staffing patterns for the administration of the Title III State plan may vary from State to State. The number of additional staff members needed will, of course, depend upon the amount of the allotment, the competencies of the present staff, and the kind of program to be developed within the State. In States where small numbers of projects are to be administered, additional staff members may be recruited on a parttime basis, and regular staff members in the agency may be called upon both for service functions and for administration, depending upon the need for their particular proficiencies.

(b) Staff functions. In determining staffing patterns for the Title III State plan program required by § 118.7(d) of the regulations, the State educational agency should consider carefully the following needs:

(1) Program coordination. A staff member to oversee the total program and to coordinate the activities of the advisory council and the panel of experts with those of the State educational agency staff, will be needed. This person will be responsible for the establishment and management of the staff serving the State advisory council as well as the Title III State educational

agency staff, and for coordinating their activities in connection of the program in the State;

(2) Program development. Personnel with expertise in such areas as early childhood education, education of children from minority groups, education of children from rural areas, education in inner cities, treatment of potential and actual dropouts, education of the handicapped, language arts, reading, bilingual education, individualized instruction, curriculum development, and other areas identified by the Statewide assessment of needs may be required. Such experts may already be on the staff of the State educational agency and, if so, may be called upon as appropriate. Such persons may be employed as full-time staff members to serve the Title III program, or may be employed on a part-time basis as needed. Their assignments might include providing consultation to local educational agencies in the development of projects; planning, developing, and conducting inservice training programs; gathering and disseminating information concerning research and innovation in their field; and serving in an advisory capacity to projects in operation;

(3) Project proposal review. Project proposals should be reviewed by persons having recognized expertise in the educational areas proposed for support. Reviewers should be able to judge, in their areas of specialization, whether: (i) a project is an innovation in the field, (ii) the available research has been studied, (iii) the idea is basically sound, (iv) the consultants named are competent in this field, and (v) the project is economically feasible;

(4) Program operation. Personnel are important to monitor and supervise the operation of approved projects. Projects may be assigned to personnel on the basis of area of specialization or, in the case of large States, on a regional basis. Such personnel should assist project directors in carrying out the proposed program;

(5) Evaluation. The requirements for evaluation both of local project design and of the program at the State level as set forth in § 118.22(d) of the regulations call for staff with expertise in this area. Evaluation specialists may be contracted on a team basis, or they may be a part of the staff. Their functions should be to assist local educational agencies in preparing evaluation designs and in evaluating projects at regular intervals. In addition, they should be called upon to evaluate the effectiveness of the total State Title III program;

(6) Dissemination. Personnel with experience in communications are important members of a staff. It should be their responsibility to disseminate information about the preparation and submission of projects, keep the local school districts informed about innovations in education,

by the programs or projects in which private school children are denied effective participation.

(c) In any case where the State alleges that no State agency is authorized by law to provide for the effective participation of private school children as required by §§ 118.10(a), 118.11(a), or 118.15 of this part, the State shall provide the Commissioner with a written statement signed by the State Attorney General or other appropriate State legal officer setting forth the constitutional and statutory provisions, and case law which, in his opinion, prevent the State from so serving private school children.

(d)(1) Any organization or individual may file a written complaint with the State educational agency setting forth: (i) an allegation that, with respect to a program or project under Title III of the Act being conducted or approved by the State educational agency to be conducted, eligible private school children cannot effectively participate on an equitable basis, and (ii) the facts on which such allegation is based.

(2) The State educational agency shall, within sixty days from the receipt of the complaint, file a report with the Commissioner, with a copy to the complainant, setting forth the nature of the complaint and the actions taken to resolve the matter.

(3) If after such sixty-day period has elapsed, either the State educational agency, the Commissioner, or the complainant feels that the problem has not been satisfactorily resolved, the Commissioner will review the matter and take appropriate action.

(e) In determining whether there has been a "substantial failure" under paragraphs (a) and (d) of this section, the following will be considered: all acts or omissions of the State, or a local educational agency, or other political subdivision thereof, or of any individual acting for or on behalf of such entities, in the process of assessing educational needs and planning, approving, conducting, and monitoring programs and projects under the Act and these regulations which have the effect of (1) preventing, discouraging, or otherwise limiting in any manner the effective participation by any eligible private school child in the oper

ation of the program or project serving the area in which his private school is located, or (2) not affording private school representatives of children the opportunity for effective participation in the planning and development of any program or project in which private school children are eligible to participate.

(20 U.S.C. 844(b)(2)(B), 845(f))

§ 118.20 Operational noncompliance.

Whenever the Commissioner, after affording the State educational agency reasonable notice and opportunity for a hearing, finds that in the operation or administration of its State plan there has been a failure to comply substantially with: (a) any provision of the Act and the regulations in this part, (b) any provision set forth in the plan of that State as approved under § 118.18 of this part, or (c) any provision set forth in an application of one of the State's local educational agencies as approved under § 118.23 of this part, he will notify the State educational agency that further payments will not be made to the State under the Act, or that the State educational agency may not make further payments under the Act to specified local educational agencies affected by the failure, until he is satisfied that there is no longer any such failure to comply.

(20 U.S.C. 844a(e)(2), 1232c(c))

Subpart D-Program Requirements § 118.21 Purpose.

This subpart sets forth various program requirements to which each State educational agency shall adhere in administering the educational programs described in its approved State plan and in implementing the provisions of such plan. The policies, procedures, and criteria developed by the State under this subpart shall be set forth in writing and shall be available for inspection at reasonable times and places by the Commissioner or his delegate and by interested parties in the general public.

(20 U.S.C. 843, 844, 844a(a)(1) and (b), 1232c(b))