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U.S. Code as of:
01/19/04
Section 1774. Disbursement directly to schools or institutions
(a) The Secretary shall withhold funds payable to a State under
this chapter and disburse the funds directly to schools or
institutions within the State for the purposes authorized by this
chapter to the extent that the Secretary has so withheld and
disbursed such funds continuously since October 1, 1980, but only
to such extent (except as otherwise required by subsection (b) of
this section). Any funds so withheld and disbursed by the Secretary
shall be used for the same purposes, and shall be subject to the
same conditions, as applicable to a State disbursing funds made
available under this chapter. If the Secretary is administering (in
whole or in part) any program authorized under this chapter, the
State in which the Secretary is administering the program may, upon
request to the Secretary, assume administration of that program.
(b) If a State educational agency is not permitted by law to
disburse the funds paid to it under this chapter to any of the
nonpublic schools in the State, the Secretary shall disburse the
funds directly to such schools within the State for the same
purposes and subject to the same conditions as are authorized or
required with respect to the disbursements to public schools within
the State by the State educational agency.
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