108 STAT. 3564 PUBLIC LAW 103-382—OCT. 20, 1994 such year, the Secretary shall ratably reduce such amounts for such year. "(2) ADDITIONAL FUNDS.— If additional funds become available for making payments under subsection (c) for such fiscal year, amounts that were reduced under paragraph (1) shall be increased on the same basis as such amounts reduced. "(e) DEFINITION.— For the piupose of this section and sections 1124 and 1125, the term State means each of the 50 States, the District of Columbia, and the Commonwealtii of Puerto Rico. 20 USC 6333. "SEC. 1124. BASIC GRANTS TO LOCAL EDUCATIONAL AGENCIES. " (a) AMOUNT OF GRANTS.— " (1) GRANTS FOR LOCAL EDUCATIONAL AGENCIES AND PUERTO RICO. —The grant which a local educational agency in a State is eligible to receive under this subpart for a fiscal year shall (except as provided in section 1126), be determined by multiply- ing the number of children counted under subsection (c) by 40 percent of the amount determined under the next sentence. The amount determined under this sentence shall be the average per pupil expenditure in the State except that— "(A) if the average per pupil expenditure in the State is less than 80 percent of the average per pupil expenditure in the United States, such amount shall be 80 percent of the average per pupil expenditure in the United States; or "(B) if the average per pupil expenditure in the State is more than 120 percent of the average per pupil expenditure in the United States, such amount shall be 120 percent of the average per pupil expenditure in the United States. "(2) BASIS FOR CALCULATING GRANTS.— For fiscal years 1995 through 1998, grants shall be calculated by the Secretary on the basis of the number of children counted under subsection (c) for counties, and State educational agencies shall suballocate county amounts to local educational agencies, in accordance with regulations published by the Secretary. In any State in which a large number of local educational agencies overlap county boundaries, the State educational agency may apply to the Secretary for authority during any particular fiscal year to make the allocations under this part (other than section 1124A) directly to local educational agencies without regard to the counties. If the Secretary approves an apphcation of a State educational agency for a psirticular year under this subparagraph, the State educational agency shall provide assursinces that— "(A) such allocations wili be made using precisely the same factors for determining a grant as are used under this part; (B) such allocations will be made using alternative data approved by the Secretary that the State determines best reflects the distribution of children in poor families and is adjusted to be equivalent in proportion to the number of children determined in accordance with subsection (c); or "(C) such allocations will be made using data that the State educational agency submits to the Secretary for approval that more accurately target poverty.
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