 
           CHAPTER 31--GENERAL PROVISIONS CONCERNING EDUCATION
 
SUBCHAPTER III--GENERAL REQUIREMENTS AND CONDITIONS CONCERNING OPERATION 
AND ADMINISTRATION OF EDUCATION PROGRAMS: GENERAL AUTHORITY OF SECRETARY
 
                        Part 1--General Authority
 
Sec. 1231e. Use of funds withheld

    (a) At any time that the Secretary makes an allotment or reallotment 
to any State under any applicable program, the Secretary shall reduce 
such allotment or reallotment by such amount as the Secretary determines 
such allotment or reallotment would have been reduced, had the data on 
which such allotment or reallotment is based excluded all data relating 
to local educational agencies of the State that, on the date of the 
Secretary's action, are ineligible to receive the Federal financial 
assistance involved because of failure to comply with title VI of the 
Civil Rights Act of 1964 [42 U.S.C. 2000d et seq.], title IX of the 
Education Amendments of 1972 [20 U.S.C. 1681 et seq.], section 794 of 
title 29, or the Age Discrimination Act of 1975 [42 U.S.C. 6101 et 
seq.].
    (b) The Secretary may use any funds withheld under subsection (a) of 
this section--
        (1) to increase the allotments or reallotments of local 
    educational agencies within the State that are not described in 
    subsection (a) of this section, or the allotments or reallotment of 
    all States, in accordance with the Federal law governing the 
    program; or
        (2) for grants to local educational agencies of that State in 
    accordance with section 405 of the Civil Rights Act of 1964 [42 
    U.S.C. 2000c-4], or for any other program administered by the 
    Department that is designed to enhance equity in education or 
    redress discrimination on the basis of race, color, national origin, 
    sex, age, or disability.

(Pub. L. 90-247, title IV, Sec. 435, formerly Sec. 416, as added Pub. L. 
91-230, title IV, Sec. 401(a)(10), Apr. 13, 1970, 84 Stat. 168; 
renumbered Sec. 426, Pub. L. 92-318, title III, Sec. 301(a)(1), June 23, 
1972, 86 Stat. 326; renumbered Sec. 428, Pub. L. 93-380, title V, 
Sec. 508(a), Aug. 21, 1974, 88 Stat. 565; renumbered Sec. 435 and 
amended Pub. L. 103-382, title II, Secs. 212(b)(1), 245, Oct. 20, 1994, 
108 Stat. 3913, 3922.)

                       References in Text

    The Civil Rights Act of 1964, referred to in subsec. (a), is Pub. L. 
88-352, July 2, 1964, 78 Stat. 241, as amended. Title VI of the Civil 
Rights Act of 1964 is classified generally to subchapter V (Sec. 2000d 
et seq.) of chapter 21 of Title 42, The Public Health and Welfare. For 
complete classification of this Act to the Code, see Short Title note 
set out under section 2000a of Title 42 and Tables.
    The Education Amendments of 1972, referred to in subsec. (a), is 
Pub. L. 92-318, June 23, 1972, 86 Stat. 235, as amended. Title IX of the 
Act is classified principally to chapter 38 (Sec. 1681 et seq.) of this 
title. For complete classification of this Act to the Code, see Short 
Title of 1972 Amendment note set out under section 1001 of this title 
and Tables.
    The Age Discrimination Act of 1975, referred to in subsec. (a), is 
title III of Pub. L. 94-135, Nov. 28, 1975, 89 Stat. 728, as amended, 
which is classified generally to chapter 76 (Sec. 6101 et seq.) of Title 
42, The Public Health and Welfare. For complete classification of this 
Act to the Code, see Short Title note set out under section 6101 of this 
Title 42 and Tables.


                            Prior Provisions

    A prior section 435 of Pub. L. 90-247 was renumbered section 441, 
and is classified to section 1232d of this title.
    Another prior section 435 of Pub. L. 90-247 was renumbered section 
423, and is classified to section 1226a-1 of this title.
    Another prior section 435 of Pub. L. 90-247 was renumbered section 
445, and is classified to section 1233d of this title prior to repeal by 
Pub. L. 103-382.


                               Amendments

    1994--Pub. L. 103-382, Sec. 245, amended section generally. Prior to 
amendment, section consisted of single par. relating to use of funds 
withheld for failure to comply with title VI of the Civil Rights Act of 
1964.
