Subgrants to local educational agencies

(a) Allocation of funds to local educational agencies (1) Allocation formula From funds reserved by a State under section 202(d)(1) for a fiscal year, the State educational agency shall allot to each of the eligible local educational agencies in the State for a fiscal year the sum of— (A) an amount that bears the same relationship to 20 percent of such funds for such fiscal year as the number of individuals aged 5 through 17 in the geographic area served by the local educational agency, as determined by the Secretary on the basis of the most recent satisfactory data, bears to the number of such individuals in the geographic areas served by all eligible local educational agencies in the State, as so determined; and (B) an amount that bears the same relationship to 80 percent of such funds for such fiscal year as the number of individuals aged 5 through 17 from families with incomes below the poverty line in the geographic area served by the local educational agency, as determined by the Secretary on the basis of the most recent satisfactory data, bears to the number of such individuals in the geographic areas served by all eligible local educational agencies in the State, as so determined. (2) Minimum local educational agency allocation No allocation to a local educational agency under this subsection may be made in an amount that is less than $10,000. (3) Ratable reduction If the amount reserved by the State under section 202(d)(1) is insufficient to make allocations to local educational agencies in an amount equal to the minimum allocation described in subsection (a)(3), such allocations shall be ratably reduced. (4) Administrative costs From the amount allotted under paragraph (1), a local educational agency may reserve not more than 1 percent of such amount for the direct administrative costs of carrying out the local educational agency’s responsibilities under this section. (b) Local applications (1) In general To be eligible to receive an allotment under this subsection (a), a local educational agency shall submit an application to the State educational agency at such time, in such manner, and containing such information as the State educational agency may reasonably require. (2) Contents of application Each application submitted under paragraph (1) shall include— (A) a description of the activities to be carried out by the local educational agency under this section; (B) a description of how the local educational agency will prioritize funds to schools served by the agency that are implementing comprehensive support and improvement activities and targeted support and improvement activities under section 1111(d) of the Elementary and Secondary Education Act of 1965 (20 U.S.C. 6311(d)); (C) a description of how the local educational agency will use data and ongoing consultation with experts and stakeholders to continually update and improve activities supported under this section; (D) a description of how the local educational agency will meaningfully collaborate with teachers, principals, other school leaders, paraprofessionals (including organizations representing such individuals), and other relevant stakeholders in school communities; and (E) any other information that the State educational agency may require. (c) Local uses of funds (1) In general A local educational agency that receives an allotment under subsection (a) shall develop, implement, select, and evaluate innovative learning models in schools served by such agency, which may be carried out— (A) through a grant or contract with a for-profit or non-profit entity; or (B) in partnership with an institution of higher education or an Indian Tribe or Tribal organization (as such terms are defined under section 4 of the Indian Self 7 Determination and Education Assistance Act (25 U.S.C. 450b)). (2) Types of activities The innovative learning models developed and implemented under this section shall be in accordance with the purpose of this title and shall address the learning needs of all students, including children with disabilities, English learners, gifted and talented students, and students who are otherwise at-risk. (d) Supplement, not supplant Grant funds provided under this section shall be used to supplement, not supplant, other Federal or State funds available to carry out activities related to the activities described in this section.