 CHAPTER 70--STRENGTHENING AND IMPROVEMENT OF ELEMENTARY AND SECONDARY 
                                 SCHOOLS
 
                     SUBCHAPTER V--PROMOTING EQUITY
 
          Part C--Assistance To Address School Dropout Problems
 
Sec. 7266. Distribution of assistance; limitation on costs


(a) Distribution of assistance

    The Secretary shall ensure that, to the extent practicable, in 
approving grant applications under this part--
        (1) grants are equitably distributed on a geographic basis 
    within each category set forth in section 7263(a) of this title;
        (2) the amount of a grant to a local educational agency or an 
    educational partnership for a fiscal year is proportionate to the 
    extent and severity of the local school dropout problem;
        (3) not less than 30 percent of the amount available for grants 
    in each fiscal year is used for activities relating to school 
    dropout prevention; and
        (4) not less than 30 percent of the amount available for grants 
    in each fiscal year is used for activities relating to persuading 
    school dropouts to return to school and assisting former school 
    dropouts with specialized services once school dropouts return to 
    school.

(b) Administrative costs

    Not more than five percent of any grant made under this part may be 
used for administrative costs.

(Pub. L. 89-10, title V, Sec. 5306, as added Pub. L. 103-382, title I, 
Sec. 101, Oct. 20, 1994, 108 Stat. 3706.)
