114 STAT. 2763A-90 PUBLIC LAW 106-554-APPENDIX A "(b) ELIGIBILITY. —^A local educational agency shall be eligible to use the applicable funding in accordance with subsection (a) if— "(1) the total number of students in average daily attendance at all of the schools served by the local educational agency is less than 600; and "(2) all of the schools served by the local educational agency are designated with a School Locale Code of 7 or 8, as determined by the Secretary of Education. "(c) APPLICABLE FLT^DING.—In this section, the term 'applicable funding* means funds provided under each of titles II, IV, and VI, except for funds made available under section 321 of the Department of Education Appropriations Act, 2001. "(d) DiSBURSAL.--Each State educational agency that receives applicable funding for a fiscal year shall disburse the applicable funding to local educational agencies for alternative uses under this section for the fiscal year at the same time that the State educational agency disburses the applicable funding to local educational agencies that do not intend to use the applicable funding for such alternative uses for the fiscal year. "(e) SUPPLEMENT NOT SUPPLANT. —Funds made available under this section shall be used to supplement and not supplant any other State or local education funds. "(f) SPECIAL RULE.— References in Federal law to funds for the provisions of law set forth in subsection (c) may be considered to be references to funds for this section. "(g) CONSTRUCTION. —Nothing in this subpart shall be construed to prohibit a local educational agency that enters into cooperative arrangements with other local educational agencies for the provision of special, compensatory, or other education services pursuant to State law or a written agreement from entering into similar arrangements for the use or the coordination of the use of the funds made available under this subpart. "SEC. 10975. COMPETITIVE GRANT PROGRAM AUTHORIZED. "(a) IN GENERAL.— The Secretary is authorized to award grants to eligible local educational agencies to enable the local educational agencies to carry out local activities authorized in part A of title I, section 2210(b), section 3134, or section 4116. "(b) ELIGIBILITY. —^A local educational agency shall be eligible to receive a grant under this section if— "(1) the total number of students in average daily attendance at all of the schools served by the local educational agency is less than 600; and "(2) all of the schools served by the local educational agency are designated with a School Locale Code of 7 or 8, as determined by the Secretary of Education. "(c) AMOUNT. — "(1) IN GENERAL.— The Secretary shall award a grant to a local educational agency under this section for a fiscal year in an amount equal to the amount determined under paragraph (2) for the fiscal year minus the total amount received under the provisions of law described under section 10974(c) for the fiscal year. "(2) DETERMINATION. —The amount referred to in paragraph (1) is equal to $100 multiplied by the total number of students in excess of 50 students that are in average daily attendance
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