118 STAT. 765 PUBLIC LAW 108–265—JUNE 30, 2004 July 1, 2005, the date that is 60 days after the beginning of the period under clause (i); or ‘‘(II) in the case of any subsequent followup review conducted by the State educational agency of the local educational agency under this section, the date that is 90 days after the beginning of the period under clause (i). ‘‘(5) USE OF RETAINED FUNDS.— ‘‘(A) IN GENERAL.—Subject to subparagraph (B), funds retained under paragraph (4) shall— ‘‘(i) be returned to the Secretary, and may be used— ‘‘(I) to provide training and technical assist ance related to administrative practices designed to improve program integrity and administrative accuracy in school meals programs to State edu cational agencies and, to the extent determined by the Secretary, to local educational agencies and school food authorities; ‘‘(II) to assist State educational agencies in reviewing the administrative practices of local edu cational agencies in carrying out school meals pro grams; and ‘‘(III) to carry out section 21(f); or ‘‘(ii) be credited to the child nutrition programs appropriation account. ‘‘(B) STATE SHARE.—A State educational agency may retain not more than 25 percent of an amount recovered under paragraph (4), to carry out school meals program integrity initiatives to assist local educational agencies and school food authorities that have repeatedly failed, as deter mined by the Secretary, to meet administrative perform ance criteria. ‘‘(C) REQUIREMENT.—To be eligible to retain funds under subparagraph (B), a State educational agency shall— ‘‘(i) submit to the Secretary a plan describing how the State educational agency will use the funds to improve school meals program integrity, including measures to give priority to local educational agencies from which funds were retained under paragraph (4); ‘‘(ii) consider using individuals who administer exemplary local food service programs in the provision of training and technical assistance; and ‘‘(iii) obtain the approval of the Secretary for the plan.’’. (2) INTERPRETATION.—Nothing in the amendment made by paragraph (1) affects the requirements for fiscal actions as described in the regulations issued pursuant to section 22(a) of the Richard B. Russell National School Lunch Act (42 U.S.C. 1769c(a)). (c) TRAINING AND TECHNICAL ASSISTANCE.—Section 7 of the Child Nutrition Act of 1966 (42 U.S.C. 1776) is amended— (1) in subsection (e)— (A) by striking ‘‘(e) Each’’ and inserting the following: ‘‘(e) PLANS FOR USE OF ADMINISTRATIVE EXPENSE FUNDS.— ‘‘(1) IN GENERAL.—Each’’; and 42 USC 1769c note.
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