 
 CHAPTER 70--STRENGTHENING AND IMPROVEMENT OF ELEMENTARY AND SECONDARY 
                                 SCHOOLS
 
         SUBCHAPTER VI--INNOVATIVE EDUCATION PROGRAM STRATEGIES
 
                Part D--General Administrative Provisions
 
Sec. 7372. Participation of children enrolled in private schools


(a) Participation on equitable basis

                           (1) In general

        To the extent consistent with the number of children in the 
    school district of a local educational agency which is eligible to 
    receive funds under this subchapter or which serves the area in 
    which a program or project assisted under this subchapter is located 
    who are enrolled in private nonprofit elementary and secondary 
    schools, or with respect to instructional or personnel training 
    programs funded by the State educational agency from funds made 
    available for State use, such agency, after consultation with 
    appropriate private school officials, shall provide for the benefit 
    of such children in such schools secular, neutral, and 
    nonideological services, materials, and equipment, including the 
    participation of the teachers of such children (and other 
    educational personnel serving such children) in training programs, 
    and the repair, minor remodeling, or construction of public 
    facilities as may be necessary for their provision (consistent with 
    subsection (c) of this section), or, if such services, materials, 
    and equipment are not feasible or necessary in one or more such 
    private schools as determined by the local educational agency after 
    consultation with the appropriate private school officials, shall 
    provide such other arrangements as will assure equitable 
    participation of such children in the purposes and benefits of this 
    subchapter.

                  (2) Other provisions for services

        If no program or project is carried out under paragraph (1) in 
    the school district of a local educational agency, the State 
    educational agency shall make arrangements, such as through 
    contracts with nonprofit agencies or organizations, under which 
    children in private schools in such district are provided with 
    services and materials to the extent that would have occurred if the 
    local educational agency had received funds under this subchapter.

                   (3) Application of requirements

        The requirements of this section relating to the participation 
    of children, teachers, and other personnel serving such children 
    shall apply to programs and projects carried out under this 
    subchapter by a State or local educational agency, whether directly 
    or through grants to or contracts with other public or private 
    agencies, institutions, or organizations.

(b) Equal expenditures

    Expenditures for programs pursuant to subsection (a) of this section 
shall be equal (consistent with the number of children to be served) to 
expenditures for programs under this subchapter for children enrolled in 
the public schools of the local educational agency, taking into account 
the needs of the individual children and other factors which relate to 
such expenditures, and when funds available to a local educational 
agency under this subchapter are used to concentrate programs or 
projects on a particular group, attendance area, or grade or age level, 
children enrolled in private schools who are included within the group, 
attendance area, or grade or age level selected for such concentration 
shall, after consultation with the appropriate private school officials, 
be assured equitable participation in the purposes and benefits of such 
programs or projects.

(c) Funds

              (1) Administration of funds and property

        The control of funds provided under this subchapter, and title 
    to materials, equipment, and property repaired, remodeled, or 
    constructed with such funds, shall be in a public agency for the 
    uses and purposes provided in this subchapter, and a public agency 
    shall administer such funds and property.

                      (2) Provision of services

        The provision of services pursuant to this subchapter shall be 
    provided by employees of a public agency or through contract by such 
    public agency with a person, an association, agency, or corporation 
    who or which, in the provision of such services, is independent of 
    such private school and of any religious organizations, and such 
    employment or contract shall be under the control and supervision of 
    such public agency, and the funds provided under this subchapter 
    shall not be commingled with State or local funds.

(d) State prohibition waiver

    If by reason of any provision of law a State or local educational 
agency is prohibited from providing for the participation in programs of 
children enrolled in private elementary and secondary schools, as 
required by this section, the Secretary shall waive such requirements 
and shall arrange for the provision of services to such children through 
arrangements which shall be subject to the requirements of this section.

(e) Waiver and provision of services

                        (1) Failure to comply

        If the Secretary determines that a State or a local educational 
    agency has substantially failed or is unwilling to provide for the 
    participation on an equitable basis of children enrolled in private 
    elementary and secondary schools as required by this section, the 
    Secretary may waive such requirements and shall arrange for the 
    provision of services to such children through arrangements which 
    shall be subject to the requirements of this section.

                    (2) Withholding of allocation

        Pending final resolution of any investigation or complaint that 
    could result in a determination under this subsection or subsection 
    (d) of this section, the Secretary may withhold from the allocation 
    of the affected State or local educational agency the amount 
    estimated by the Secretary to be necessary to pay the cost of those 
    services.

(f) Determination

    Any determination by the Secretary under this section shall continue 
in effect until the Secretary determines that there will no longer be 
any failure or inability on the part of the State or local educational 
agency to meet the requirements of subsections (a) and (b) of this 
section.

(g) Payment from State allotment

    When the Secretary arranges for services pursuant to this section, 
the Secretary shall, after consultation with the appropriate public and 
private school officials, pay the cost of such services, including the 
administrative costs of arranging for those services, from the 
appropriate allotment of the State under this subchapter.

(h) Review

                       (1) Written objections

        The Secretary shall not take any final action under this section 
    until the State educational agency and the local educational agency 
    affected by such action have had an opportunity, for not less than 
    45 days after receiving written notice thereof, to submit written 
    objections and to appear before the Secretary or the Secretary's 
    designee to show cause why that action should not be taken.

                          (2) Court action

        If a State or local educational agency is dissatisfied with the 
    Secretary's final action after a proceeding under paragraph (1), 
    such agency may, not later than 60 days after notice of such action, 
    file with the United States court of appeals for the circuit in 
    which such State is located a petition for review of that action. A 
    copy of the petition shall be transmitted by the clerk of the court 
    to the Secretary. The Secretary thereupon shall file in the court 
    the record of the proceedings on which the Secretary based this 
    action, as provided in section 2112 of title 28.

                       (3) Remand to Secretary

        The findings of fact by the Secretary, if supported by 
    substantial evidence, shall be conclusive; but the court, for good 
    cause shown, may remand the case to the Secretary to take further 
    evidence and the Secretary may make new or modified findings of fact 
    and may modify the Secretary's previous action, and shall file in 
    the court the record of the further proceedings. Such new or 
    modified findings of fact shall likewise be conclusive if supported 
    by substantial evidence.

                          (4) Court review

        Upon the filing of such petition, the court shall have 
    jurisdiction to affirm the action of the Secretary or to set such 
    action aside, in whole or in part. The judgment of the court shall 
    be subject to review by the Supreme Court of the United States upon 
    certiorari or certification as provided in section 1254 of title 28.

(i) Prior determination

    Any bypass determination by the Secretary under chapter 2 of title I 
of this Act (as such chapter was in effect on the day preceding October 
20, 1994) shall, to the extent consistent with the purposes of this 
subchapter, apply to programs under this subchapter.

(Pub. L. 89-10, title VI, Sec. 6402, as added Pub. L. 103-382, title I, 
Sec. 101, Oct. 20, 1994, 108 Stat. 3713.)

                       References in Text

    Chapter 2 of title I of this Act (as such chapter was in effect on 
the day preceding October 20, 1994), referred to in subsec. (i), means 
chapter 2 of title I of Pub. L. 89-10, as added by Pub. L. 100-297, 
title I, Sec. 1001, Apr. 28, 1988, 102 Stat. 203, as amended, which was 
classified generally to div. 2 (Sec. 2911 et seq.) of subchapter I of 
chapter 47 of this title prior to the general amendment of Pub. L. 89-10 
by Pub. L. 103-382, title I, Sec. 101, Oct. 20, 1994, 108 Stat. 3519.

                  Section Referred to in Other Sections

    This section is referred to in sections 7332, 7353 of this title.
