 
                CHAPTER 73--ADULT EDUCATION AND LITERACY
 
                    SUBCHAPTER II--GENERAL PROVISIONS
 
Sec. 9273. Incentive grants


(a) In general

    Beginning on July 1, 2000, the Secretary shall award a grant to each 
State that exceeds the State adjusted levels of performance for title I 
[29 U.S.C. 2801 et seq.], the adjusted levels of performance for title 
II [20 U.S.C. 9201 et seq.], and the levels of performance for programs 
under Public Law 105-332 (20 U.S.C. 2301 et seq.), for the purpose of 
carrying out an innovative program consistent with the requirements of 
any one or more of the programs within title I, title II, or such Public 
Law, respectively.

(b) Application

                           (1) In general

        The Secretary may provide a grant to a State under subsection 
    (a) of this section only if the State submits an application to the 
    Secretary for the grant that meets the requirements of paragraph 
    (2).

                          (2) Requirements

        The Secretary may review an application described in paragraph 
    (1) only to ensure that the application contains the following 
    assurances:
            (A) The legislature of the State was consulted with respect 
        to the development of the application.
            (B) The application was approved by the Governor, the 
        eligible agency (as defined in section 9202 of this title), and 
        the State agency responsible for programs established under 
        Public Law 105-332 (20 U.S.C. 2301 et seq.).
            (C) The State and the eligible agency, as appropriate, 
        exceeded the State adjusted levels of performance for title I 
        [29 U.S.C. 2801 et seq.], the expected levels of performance for 
        title II [20 U.S.C. 9201 et seq.], and the levels of performance 
        for programs under Public Law 105-332 (20 U.S.C. 2301 et seq.).

(c) Amount

                (1) Minimum and maximum grant amounts

        Subject to paragraph (2), a grant provided to a State under 
    subsection (a) of this section shall be awarded in an amount that is 
    not less than $750,000 and not more than $3,000,000.

                     (2) Proportionate reduction

        If the amount available for grants under this section for a 
    fiscal year is insufficient to award a grant to each State or 
    eligible agency that is eligible for a grant, the Secretary shall 
    reduce the minimum and maximum grant amount by a uniform percentage.

(d) Expected levels of performance as consideration

    Notwithstanding any other provision of this section, for fiscal year 
2000, the Secretary shall not consider the expected levels of 
performance under Public Law 105-332 (20 U.S.C. 2301 et seq.) and shall 
not award a grant under subsection (a) of this section based on the 
levels of performance for that Act.

(Pub. L. 105-220, title V, Sec. 503, Aug. 7, 1998, 112 Stat. 1244; Pub. 
L. 105-277, div. A, Sec. 101(f) [title VIII, Sec. 404(f)], Oct. 21, 
1998, 112 Stat. 2681-337, 2681-417; Pub. L. 106-246, div. B, title II, 
Sec. 2403(a)(1), July 13, 2000, 114 Stat. 555.)

                       References in Text

    Title I, referred to in subsecs. (a) and (b)(2)(C), is title I of 
Pub. L. 105-220, Aug. 7, 1998, 112 Stat. 939, which is classified 
principally to chapter 30 (Sec. 2801 et seq.) of Title 29, Labor. For 
complete classification of title I to the Code, see Tables.
    Title II, referred to in subsecs. (a) and (b)(2)(C), is title II of 
Pub. L. 105-220, Aug. 7, 1998, 112 Stat. 1059, as amended, known as the 
Adult Education and Family Literacy Act, which is classified principally 
to subchapter I (Sec. 9201 et seq.) of this chapter. For complete 
classification of title II to the Code, see Short Title note set out 
under section 9201 of this title and Tables.
    Public Law 105-332 (20 U.S.C. 2301 et seq.), referred to in subsecs. 
(a), (b)(2)(B), (C), and (d), is Pub. L. 105-332, Oct. 31, 1998, 112 
Stat. 3076, known as the Carl D. Perkins Vocational and Applied 
Technology Education Amendments of 1998. For complete classification of 
this Act to the Code, see Short Title of 1998 Amendment note set out 
under section 2301 of this title and Tables.


                               Amendments

    2000--Subsecs. (a), (b)(2)(B), (C). Pub. L. 106-246, 
Sec. 2403(a)(1)(A), substituted ``under Public Law 105-332 (20 U.S.C. 
2301 et seq.)'' for ``under Public Law 88-210 (as amended; 20 U.S.C. 
2301 et seq.)''.
    Subsec. (d). Pub. L. 106-246, Sec. 2403(a)(1)(B), added subsec. (d).
    1998--Subsec. (a). Pub. L. 105-277 substituted ``adjusted'' for 
``expected'' before ``levels of performance for title II''.

                  Section Referred to in Other Sections

    This section is referred to in sections 2321, 9211 of this title; 
title 29 sections 2801, 2821, 2871, 2919.
