20 USC 6337 - Education finance incentive grant program

U.S Code last checked for updates: Jan 18, 2025

§ 6337.

Education finance incentive grant program

(a)

Grants

(b)

Distribution based upon fiscal effort and equity

(1)

In general

(A)

In general

Except as provided in subparagraph (B), funds made available for any fiscal year to carry out this section shall be allotted to each State based upon the number of children counted under section 6333(c) of this title in such State multiplied by the product of—

(i)

the amount in section 6333(a)(1)(B) of this title for all States other than the Commonwealth of Puerto Rico, except that the amount determined under that subparagraph shall not be less that 34 percent or more than 46 percent of the average per pupil expenditure in the United States, and the amount in section 6333(a)(4) of this title for the Commonwealth of Puerto Rico, except that the amount in section 6333(a)(4)(A)(ii) of this title shall be 34 percent of the average per pupil expenditure in the United States; multiplied by

(ii)

such State’s effort factor described in paragraph (2); multiplied by

(iii)

1.30 minus such State’s equity factor described in paragraph (3).

(B)

State minimum

Notwithstanding any other provision of this section or section 6332 of this title, from the total amount available for any fiscal year to carry out this section, each State shall be allotted at least the lesser of—

(i)

0.35 percent of the total amount reserved under section 6332(a) of this title to carry out this section; or

(ii)

the average of—

(I)

0.35 percent of the total amount available to carry out this section; and

(II)

150 percent of the national average grant under this section per child described in section 6333(c) of this title, without application of a weighting factor, multiplied by the State’s total number of children described in section 6333(c) of this title, without application of a weighting factor.

(2)

Effort factor

(A)

In general

(B)

Commonwealth of Puerto Rico

(3)

Equity factor

(A)

Determination

(i)

In general

(ii)

Computation

(I)

In general

(II)

Variation

(III)

Number of pupils

(IV)

Enrollment requirement

(B)

Special rule

(c)

Use of funds; eligibility of local educational agencies

(1)

the number of children in the local educational agency counted under section 6333(c) of this title, before application of the weighted child count described in paragraph (3),1

 So in original. This subsec. does not contain a par. (3).

is at least 10; and

(2)

if the number of children counted for grants under section 6333(c) of this title, before application of the weighted child count described in paragraph (3),¹ is at least 5 percent of the total number of children aged 5 to 17 years, inclusive, in the school district of the local educational agency.

For any fiscal year for which the Secretary allocates funds under this section on the basis of counties, funds made available as a result of applying this subsection shall be reallocated by the State educational agency to other eligible local educational agencies in the State in proportion to the distribution of other funds under this section.

(d)

Allocation of funds to eligible local educational agencies

Funds received by States under this section shall be allocated within States to eligible local educational agencies on the basis of weighted child counts calculated in accordance with paragraph (1), (2), or (3), as appropriate for each State.

(1)

States with an equity factor less than .10

In States with an equity factor less than .10, the weighted child counts referred to in subsection (d) shall be calculated as follows:

(A)

Weights for allocations to counties

(i)

In general

(ii)

By percentage of children

The amount referred to in clause (i) is determined by adding—

(I)

the number of children determined under section 6333(c) of this title for that county who constitute not more than 15.00 percent, inclusive, of the county’s total population aged 5 to 17, inclusive, multiplied by 1.0;

(II)

the number of such children who constitute more than 15.00 percent, but not more than 19.00 percent, of such population, multiplied by 1.75;

(III)

the number of such children who constitute more than 19.00 percent, but not more than 24.20 percent, of such population, multiplied by 2.5;

(IV)

the number of such children who constitute more than 24.20 percent, but not more than 29.20 percent, of such population, multiplied by 3.25; and

(V)

the number of such children who constitute more than 29.20 percent of such population, multiplied by 4.0.

(iii)

By number of children

The amount referred to in clause (i) is determined by adding

(I)

the number of children determined under section 6333(c) of this title who constitute not more than 2,311, inclusive, of the county’s total population aged 5 to 17, inclusive, multiplied by 1.0;

(II)

the number of such children between 2,312 and 7,913, inclusive, in such population, multiplied by 1.5;

(III)

the number of such children between 7,914 and 23,917, inclusive, in such population, multiplied by 2.0;

(IV)

the number of such children between 23,918 and 93,810, inclusive, in such population, multiplied by 2.5; and

(V)

the number of such children in excess of 93,811 in such population, multiplied by 3.0.

(B)

Weights for allocations to local educational agencies

(i)

In general

(ii)

By percentage of children

The amount referred to in clause (i) is determined by adding—

(I)

the number of children determined under section 6333(c) of this title for that local educational agency who constitute not more than 15.58 percent, inclusive, of the agency’s total population aged 5 to 17, inclusive, multiplied by 1.0;

(II)

the number of such children who constitute more than 15.58 percent, but not more than 22.11 percent, of such population, multiplied by 1.75;

(III)

the number of such children who constitute more than 22.11 percent, but not more than 30.16 percent, of such population, multiplied by 2.5;

(IV)

the number of such children who constitute more than 30.16 percent, but not more than 38.24 percent, of such population, multiplied by 3.25; and

(V)

the number of such children who constitute more than 38.24 percent of such population, multiplied by 4.0.

(iii)

By number of children

The amount referred to in clause (i) is determined by adding—

(I)

the number of children determined under section 6333(c) of this title who constitute not more than 691, inclusive, of the agency’s total population aged 5 to 17, inclusive, multiplied by 1.0;

(II)

the number of such children between 692 and 2,262, inclusive, in such population, multiplied by 1.5;

(III)

the number of such children between 2,263 and 7,851, inclusive, in such population, multiplied by 2.0;

(IV)

the number of such children between 7,852 and 35,514, inclusive, in such population, multiplied by 2.5; and

(V)

the number of such children in excess of 35,514 in such population, multiplied by 3.0.

(2)

States with an equity factor greater than or equal to .10 and less than .20

In States with an equity factor greater than or equal to .10 and less than .20, the weighted child counts referred to in subsection (d) shall be calculated as follows:

(A)

Weights for allocations to counties

(i)

In general

(ii)

By percentage of children

The amount referred to in clause (i) is determined by adding—

(I)

(II)

the number of such children who constitute more than 15.00 percent, but not more than 19.00 percent, of such population, multiplied by 1.5;

(III)

the number of such children who constitute more than 19.00 percent, but not more than 24.20 percent, of such population, multiplied by 3.0;

(IV)

the number of such children who constitute more than 24.20 percent, but not more than 29.20 percent, of such population, multiplied by 4.5; and

(V)

the number of such children who constitute more than 29.20 percent of such population, multiplied by 6.0.

(iii)

By number of children

The amount referred to in clause (i) is determined by adding—

(I)

the number of children determined under section 6333(c) of this title who constitute not more than 2,311, inclusive, of the county’s total population aged 5 to 17, inclusive, multiplied by 1.0;

(II)

the number of such children between 2,312 and 7,913, inclusive, in such population, multiplied by 1.5;

(III)

the number of such children between 7,914 and 23,917, inclusive, in such population, multiplied by 2.25;

(IV)

the number of such children between 23,918 and 93,810, inclusive, in such population, multiplied by 3.375; and

(V)

the number of such children in excess of 93,811 in such population, multiplied by 4.5.

(B)

Weights for allocations to local educational agencies

(i)

In general

(ii)

By percentage of children

The amount referred to in clause (i) is determined by adding—

(I)

(II)

the number of such children who constitute more than 15.58 percent, but not more than 22.11 percent, of such population, multiplied by 1.5;

(III)

the number of such children who constitute more than 22.11 percent, but not more than 30.16 percent, of such population, multiplied by 3.0;

(IV)

the number of such children who constitute more than 30.16 percent, but not more than 38.24 percent, of such population, multiplied by 4.5; and

(V)

the number of such children who constitute more than 38.24 percent of such population, multiplied by 6.0.

(iii)

By number of children

The amount referred to in clause (i) is determined by adding—

(I)

the number of children determined under section 6333(c) of this title who constitute not more than 691, inclusive, of the agency’s total population aged 5 to 17, inclusive, multiplied by 1.0;

(II)

the number of such children between 692 and 2,262, inclusive, in such population, multiplied by 1.5;

(III)

the number of such children between 2,263 and 7,851, inclusive, in such population, multiplied by 2.25;

(IV)

the number of such children between 7,852 and 35,514, inclusive, in such population, multiplied by 3.375; and

(V)

the number of such children in excess of 35,514 in such population, multiplied by 4.5.

(3)

States with an equity factor greater than or equal to .20

In States with an equity factor greater than or equal to .20, the weighted child counts referred to in subsection (d) shall be calculated as follows:

(A)

Weights for allocations to counties

(i)

In general

(ii)

By percentage of children

The amount referred to in clause (i) is determined by adding—

(I)

(II)

the number of such children who constitute more than 15.00 percent, but not more than 19.00 percent, of such population, multiplied by 2.0;

(III)

the number of such children who constitute more than 19.00 percent, but not more than 24.20 percent, of such population, multiplied by 4.0;

(IV)

the number of such children who constitute more than 24.20 percent, but not more than 29.20 percent, of such population, multiplied by 6.0; and

(V)

the number of such children who constitute more than 29.20 percent of such population, multiplied by 8.0.

(iii)

By number of children

The amount referred to in clause (i) is determined by adding—

(I)

the number of children determined under section 6333(c) of this title who constitute not more than 2,311, inclusive, of the county’s total population aged 5 to 17, inclusive, multiplied by 1.0;

(II)

the number of such children between 2,312 and 7,913, inclusive, in such population, multiplied by 2.0;

(III)

the number of such children between 7,914 and 23,917, inclusive, in such population, multiplied by 3.0;

(IV)

the number of such children between 23,918 and 93,810, inclusive, in such population, multiplied by 4.5; and

(V)

the number of such children in excess of 93,811 in such population, multiplied by 6.0.

(B)

Weights for allocations to local educational agencies

(i)

In general

(ii)

By percentage of children

The amount referred to in clause (i) is determined by adding—

(I)

(II)

the number of such children who constitute more than 15.58 percent, but not more than 22.11 percent, of such population, multiplied by 2.0;

(III)

the number of such children who constitute more than 22.11 percent, but not more than 30.16 percent, of such population, multiplied by 4.0;

(IV)

the number of such children who constitute more than 30.16 percent, but not more than 38.24 percent, of such population, multiplied by 6.0; and

(V)

the number of such children who constitute more than 38.24 percent of such population, multiplied by 8.0.

(iii)

By number of children

The amount referred to in clause (i) is determined by adding—

(I)

the number of children determined under section 6333(c) of this title who constitute not more than 691, inclusive, of the agency’s total population aged 5 to 17, inclusive, multiplied by 1.0;

(II)

the number of such children between 692 and 2,262, inclusive, in such population, multiplied by 2.0;

(III)

the number of such children between 2,263 and 7,851, inclusive, in such population, multiplied by 3.0;

(IV)

the number of such children between 7,852 and 35,514, inclusive, in such population, multiplied by 4.5; and

(V)

the number of such children in excess of 35,514 in such population, multiplied by 6.0.

(e)

Maintenance of effort

(1)

In general

(2)

Reduction in case of failure to meet

(A)

In general

(B)

Special rule

(3)

Waiver

The Secretary may waive the requirements of this subsection if the Secretary determines that a waiver would be equitable due to—

(A)

exceptional or uncontrollable circumstances, such as a natural disaster or a change in the organizational structure of the State; or

(B)

a precipitous decline in the financial resources of the State.

(f)

Adjustments where necessitated by appropriations

(1)

In general

(2)

Additional funds

(3)

Hold-harmless amounts

For each fiscal year, if sufficient funds are available, the amount made available to each local educational agency under this section shall be—

(A)

not less than 95 percent of the amount made available for the preceding fiscal year if the number of children counted for grants under section 6333 of this title is not less than 30 percent of the total number of children aged 5 to 17 years, inclusive, in the local educational agency;

(B)

not less than 90 percent of the amount made available for the preceding fiscal year if the percentage described in subparagraph (A) is between 15 percent and 30 percent; and

(C)

not less than 85 percent of the amount made available for the preceding fiscal year if the percentage described in subparagraph (A) is below 15 percent.

(4)

Applicability

(Pub. L. 89–10, title I, § 1125A, as added Pub. L. 107–110, title I, § 101, Jan. 8, 2002, 115 Stat. 1525; amended Pub. L. 114–95, title I, § 1017, Dec. 10, 2015, 129 Stat. 1878.)

cite as: 20 USC 6337