Sec. 206. Maintenance of equity
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Section 1118 of the Elementary and Secondary Education Act of 1965 ( 20 U.S.C. 6321 ) is amended by adding at the end the following: A State that reduced, for the preceding fiscal year, on a per-pupil basis, State funds for a fiscal year shall satisfactorily demonstrate to the Secretary that the State did not reduce State funding (as calculated on a per-pupil basis) for— any high-need local educational agency in the State by an amount that exceeds the overall per-pupil reduction in State funds, if any, for all local educational agencies in such State for such fiscal year; or any highest poverty local educational agency below the level of funding (as calculated on a per-pupil basis) provided to that local educational agency for such previous fiscal year.
A State educational agency receiving funds under this part for a fiscal year for which the State did not reduce per-pupil spending from State funds shall satisfactorily demonstrate to the Secretary that, for the preceding fiscal year, the State did not reduce State funding (as calculated on a per-pupil basis) for any highest poverty local educational agency or any high-need local educational agency by any amount. For purposes of paragraphs
(1)and (2), the Secretary may disregard a de minimis reduction in State funding to a local educational agency as the Secretary finds appropriate, including for those local educational agencies— with small enrollments that exhibit annual variation in per-pupil funding based primarily on their size; or that exhibit variation in per-pupil funding based on a State funding formula that accounts for the special cost differentials for certain student populations. In this subsection: The term highest poverty local educational agency means a local educational agency that is among the group of local educational agencies in the State that— in rank order, have the highest percentages of economically disadvantaged students in the State, on the basis of the most recent satisfactory data available from the Department of Commerce (or, for local educational agencies for which no such data are available, such other data as the Secretary determines are satisfactory); and collectively serve not less than 20 percent of the State’s total enrollment of students served by all local educational agencies in the State. The term high-need local educational agency means a local educational agency that is among the group of local educational agencies in the State that— in rank order, have the highest percentages of economically disadvantaged students in the State, on the basis of the most recent satisfactory data available from the Department of Commerce (or, for local educational agencies for which no such data are available, such other data as the Secretary of Education determines are satisfactory); and collectively serve not less than 50 percent of the State’s total enrollment of students served by all local educational agencies in the State. The term overall per-pupil reduction in State funds means, with respect to a fiscal year— the amount of any reduction in the total amount of State funds provided to all local educational agencies in the State for that fiscal year compared to the total amount of State funds provided to all local educational agencies in the State for the preceding fiscal year; divided by the aggregate number of children enrolled in all schools served by all local educational agencies in the State in the fiscal year for which the determination is being made. The term State means each of the 50 States, the District of Columbia, and the Commonwealth of Puerto Rico. . Section 8401(c) of the Elementary and Secondary Education Act of 1965 ( 20 U.S.C. 7861(c) ) is amended by inserting or maintenance of equity, including section 1118(e) before the semicolon at the end. The amendments made by subsections
(a)and
(b)shall take effect on October 1, 2023.
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