(1) Reservations From the amount appropriated under section
6801 (a) of this title for each fiscal year, the Secretary shall reserve
(A) 0.5 percent or $5,000,000 of such amount, whichever is greater, for payments to eligible entities that are defined under section
6822 (a) of this title for activities, approved by the Secretary, consistent with this subpart;
(B) 0.5 percent of such amount for payments to outlying areas, to be allotted in accordance with their respective needs for assistance under this subpart, as determined by the Secretary, for activities, approved by the Secretary, consistent with this subpart;
(C) 6.5 percent of such amount for national activities under sections
6861 and
7013 of this title, except that not more than 0.5 percent of such amount shall be reserved for evaluation activities conducted by the Secretary and not more than $2,000,000 of such amount may be reserved for the National Clearinghouse for English Language Acquisition and Language Instruction Educational Programs described in section
7013 of this title; and
(D) such sums as may be necessary to make continuation awards under paragraph (2).
(2) Continuation awards
(A) In general Before making allotments to State educational agencies under paragraph (3) for any fiscal year, the Secretary shall use the sums reserved under paragraph (1)(D) to make continuation awards to recipients who received grants or fellowships for the fiscal year preceding any fiscal year described in section
6801 (b)(1)(A) of this title under
(i) subparts 1 and 3 of part A of title VII (as in effect on the day before January 8, 2002); or
(ii) subparts 1 and 3 of part B of this subchapter.
(B) Use of funds
The Secretary shall make the awards in order to allow such recipients to receive awards for the complete period of their grants or fellowships under the appropriate subparts.
(3) State allotments
(A) In general Except as provided in subparagraph (B), from the amount appropriated under section
6801 (a) of this title for each fiscal year that remains after making the reservations under paragraph (1), the Secretary shall allot to each State educational agency having a plan approved under section
6823 (c) of this title
(i) an amount that bears the same relationship to 80 percent of the remainder as the number of limited English proficient children in the State bears to the number of such children in all States; and
(ii) an amount that bears the same relationship to 20 percent of the remainder as the number of immigrant children and youth in the State bears to the number of such children and youth in all States.
(B) Minimum allotments
No State educational agency shall receive an allotment under this paragraph that is less than $500,000.
(C) Reallotment If any State educational agency described in subparagraph (A) does not submit a plan to the Secretary for a fiscal year, or submits a plan (or any amendment to a plan) that the Secretary, after reasonable notice and opportunity for a hearing, determines does not satisfy the requirements of this subpart, the Secretary
(i) shall endeavor to make the States allotment available on a competitive basis to specially qualified agencies within the State to satisfy the requirements of section
6825 of this title (and any additional requirements that the Secretary may impose), consistent with the purposes of such section, and to carry out required and authorized activities under such section; and
(ii) shall reallot any portion of such allotment remaining after the application of clause (i) to the remaining State educational agencies in accordance with subparagraph (A).
(D) Special rule for Puerto Rico
The total amount allotted to Puerto Rico for any fiscal year under subparagraph (A) shall not exceed 0.5 percent of the total amount allotted to all States for that fiscal year.
(4) Use of data for determinations
(A) In general
In making State allotments under paragraph (3), for the purpose of determining the number of limited English proficient children in a State and in all States, and the number of immigrant children and youth in a State and in all States, for each fiscal year, the Secretary shall use data that will yield the most accurate, up-to-date numbers of such children and youth.
(B) Special rule
(i) First 2 years In making determinations under subparagraph (A) for the 2 fiscal years following January 8, 2002, the Secretary shall determine the number of limited English proficient children in a State and in all States, and the number of immigrant children and youth in a State and in all States, using data available from the Bureau of Census or submitted by the States to the Secretary.
(ii) Subsequent years For subsequent fiscal years, the Secretary shall determine the number of limited English proficient children in a State and in all States, and the number of immigrant children and youth in a State and in all States, using the more accurate of
(I) the data available from the American Community Survey available from the Department of Commerce; or
(II) the number of children being assessed for English proficiency in a State as required under section
6311 (b)(7) of this title.