114 STAT. 1654A-386 PUBLIC LAW 106-398—APPENDIX emergency, as determined by the Secretary, and when the application was received. "(C) ALLOCATION; REPORTING REQUIREMENT.— "(i) ALLOCATION.— In awarding grants under this subsection to local educational agencies described in paragraph (2)(B)(ii), the Secretary shall consider all applications received from local educational agencies that meet the requirement of subsection (a)(2)(A) and local educational agencies that meet the requirement of subsection (a)(2)(B). " (ii) REPORTING REQUIREMENT.— "(I) IN GENERAL.—Not later than January 1 of each year, the Secretary shall prepare and submit to the appropriate congressional committees a report that contains a justification for each grant awarded under this subsection for the prior fiscal year. "(II) DEFINITION.— In this clause, the term 'appropriate congressional committees' means the Committee on Appropriations and the Committee on Education and the Workforce of the House of Representatives and the Committee on Appropriations and the Committee on Health, Education, Labor and Pensions of the Senate. "(D) CONSIDERATION FOR FOLLOWING YEAR. — A local educational agency described in paragraph (2)(B)(ii) that applies for a grant under this subsection for any fiscal year and does not receive the grant shall have the application for the grant considered for the following fiscal year, subject to the priority described in subparagraph (B). "(7) SUPPLEMENT NOT SUPPLANT.— An eligible local educational agency shall use funds received under this subsection only to supplement the amount of funds that would, in the absence of such Federal funds, be made available from non- Federal sources for the modernization of school facilities used for educational purposes, and not to supplant such funds.". SEC. 1812. STATE CONSroERATION OF PAYMENTS IN PROVIDING STATE AID. Section 8009 of the Elementary and Secondary Education Act of 1965 (20 U.S.C. 7709) is amended— (1) in subsection (a)(1), by striking "or under" and all that follows through "of 1994)"; (2) by amending subsection (b)(1) to read as follows: "(1) IN GENERAL.—^A State may reduce State aid to a local educational agency that receives a payment under section 8002 or 8003(b) (except the amount calculated in excess of 1.0 under section 8()03(a)(2)(B)) for any fiscal year if the Secretary determines, and certifies under subsection (c)(3)(A), that the State has in effect a program of State aid that equalizes expenditures for free public education among local educational agencies in the State."; and (3) in subsection (d)— (A) in paragraph (1)— (i) in the matter proceeding subparagraph (A), by striking "or under" and all that follows through "of 1994)"; and
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