115 STAT. 1894 PUBLIC LAW 107-110—JAN. 8, 2002 "Subpart 2—Rural and Low-Income School Program 20 USC 7351. "SEC. 6221. PROGRAM AUTHORIZED. " (a) GRANTS TO STATES.— "(1) IN GENERAL.— From amounts appropriated under section 6234 for this subpart for a fiscal year that are not reserved under subsection (c), the Secretary shall award grants (from allotments made under paragraph (2)) for the fiscal year to State educational agencies that have applications submitted under section 6223 approved to enable the State educational agencies to award grants to eligible local educational agencies for local authorized activities described in section 6222(a). "(2) ALLOTMENT.— From amounts described in paragraph (1) for a fiscal year, the Secretary shall allot to each State educational agency for that fiscal year an amount that bears the same ratio to those amounts as the number of students in average daily attendance served by eligible local educational agencies in the State for that fiscal year bears to the number of all such students served by eligible local educational agencies in all States for that fiscal year. "(3) SPECIALLY QUALIFIED AGENCIES.— "(A) ELIGIBILITY AND APPLICATION. — If a State educational agency elects not to participate in the program under this subpart or does not have an application submitted under section 6223 approved, a specially qualified agency in such State desiring a grant under this subpart may submit an application under such section directly to the Secretary to receive an award under this subpart. "(B) DIRECT AWARDS. —The Secretary may award, on a competitive basis or by formula, the amount the State educational agency is eligible to receive under paragraph (2) directly to a specially qualified agency in the State that has submitted an application in accordance with subparagraph (A) and obtained approval of the application. "(C) SPECLU.LY QUALIFIED AGENCY DEFINED. — In this subpart, the term 'specially qualified agency' means an eligible local educational agency served by a State educational agency that does not participate in a program under this subpart in a fiscal year, that may apply directly to the Secretary for a grant in such year under this subsection. "(b) LOCAL AWARDS. — "(1) ELIGIBILITY. —^A local educational agency shall be eligible to receive a grant under this subpart if— "(A) 20 percent or more of the children ages 5 through 17 years served by the local educational agency are from families with incomes below the poverty line; and "(B) all of the schools served by the agency are designated with a school locale code of 6, 7, or 8, as determined by the Secretary. "(2) AWARD BASIS. —^A State educational agency shall award grants to eligible local educational agencies— "(A) on a competitive basis;
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