ARCHIVED - 1999 Federal Regulations for 34 CFR Part 301, Preschool Grants for Children With Disabilities

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[Code of Federal Regulations]
[Title 34, Volume 2, Parts 300 to 399]
[Revised as of July 1, 1999]
From the U.S. Government Printing Office via GPO Access
[CITE: 34CFR301]
[Page 168]
 
                           TITLE 34--EDUCATION
 
PART 301--PRESCHOOL GRANTS FOR CHILDREN WITH DISABILITIES
 
                           Subpart A--General
   
Sec. 301.1  Purpose of the Preschool Grants for 
Children With Disabilities program.

	The purpose of the Preschool Grants for Children With Disabilities 
program (Preschool Grants program) is to provide grants to states 
to assist them in providing special education and related services--
	(a) To children with disabilities aged 3 through 5 years; and
	(b) At a State's discretoin, to two-year-old children with 
disabilities who will turn three during the school year.

Authority:  20 U.S.C. 1419(a))
 
Secs. 301.2-301.3  [Reserved]
Sec. 301.4  Applicable regulations.

    The following regulations apply to the Preschool Grants program:
    (a) The Education Department General Administrative Regulations 
(EDGAR) in title 34 of the Code of Federal Regulations--
    (1) Part 76 (State-Administered Programs) except Secs. 76.125-76.137 
and 76.650-76.662;
    (2) Part 77 (Definitions that Apply to Department Regulations);
    (3) Part 79 (Intergovernmental Review of Department of Education 
Programs and Activities);
    (4) Part 80 (Uniform Administrative Requirements for Grants and 
Cooperative Agreements to State and Local Governments);
    (5) Part 81 (General Education Provision Act--Enforcement);
    (6) Part 82 (New Restrictions on Lobbying); and
    (7) Part 85 (Governmentwide Debarment and Suspension 
(Nonprocurement) and Governmentwide Requirements for a Drug-Free 
Workplace (Grants)).
    (b) The regulations in this part 301.
    (c) The regulations in 34 CFR part 300.

(Authority: 20 U.S.C. 1419)

Sec. 301.5  Applicable definitions.

    (a) Definitions in EDGAR. The following terms used in this part are 
defined in 34 CFR 77.1:

Applicant
Application
Award
EDGAR
Fiscal year
Grant period
Secretary
Subgrant

    (b) Other definitions. The following definitions also apply to this 
part:
    Act means the Individuals with Disabilities Education Act, as 
amended.
    Part B child count means the child count required by section 
611(d)(2) of the Act.
    Preschool means the age range of 3 through 5 years.
    State means each of the 50 States, the District of Columbia, and the 
Commonwealth of Puerto Rico.

(Authority: 20 U.S.C. 1402, 1419)

Sec. 301.6  Applicability of part C of the Act to 2-year-old 
children with disabilities.

    Part C of the Act does not apply to any child with disabilities 
receiving a free appropriate public education, in

[[Page 169]]

accordance with part B of the Act, with funds received under the 
Preschool Grants program.

(Authority: 20 U.S.C. 1419(h))

               Subpart B--State Eligibility for a Grant.
 
Sec. 301.10  Eligibility of a State to receive a grant.


    A State is eligible to receive a grant if--
    (a) The State is eligible under 34 CFR part 300; and
    (b) The State demonstrates to the satisfaction of the Secretary that 
it has in effect policies and procedures that assure the provision of a 
free appropriate public education--
    (1) For all children with disabilities aged 3 through 5 years in 
accordance with the requirements in 34 CFR part 300; and
    (2) For any 2-year-old children, provided services by the SEA or by 
an LEA or ESA under Sec. 301.1.

(Approved by the Office of Management and Budget under control number 
1820-0030)

(Authority: 20 U.S.C. 1419 (a), (b))

Sec. 301.12  Sanctions if a State does not make a free appropriate 
public education available to all preschool children with disabilities.

    If a State does not meet the requirements in section 619(b) of the 
Act--
    (a) The State is not eligible for a grant under the Preschool Grant 
program;
    (b) The State is not eligible for funds under 34 CFR part 300 for 
children with disabilities aged 3 through 5 years; and
    (c) No SEA, LEA, ESA, or other public institution or agency within 
the State is eligible for a grant under Subpart 2 of part D of the Act 
if the grant relates exclusively to programs, projects, and activities 
pertaining to children with disabilities aged 3 through 5 years.

(Authority: 20 U.S.C. 1411(d)(2) and (e)(2)(B); 1419(b); 1461(j))

Sec. 301.20  Allocations to States.


    After reserving funds for studies and evaluations under section 
674(e) of the Act, the Secretary allocates the remaining amount among 
the States in accordance with Secs. 301.21-301.23.

(Authority: 20 U.S.C. 1419(c)(1))

                Subpart C--Allocation of Funds to States.
 
Sec. 301.21  Increase in funds.

    If the amount available for allocation to States under Sec. 301.20 
is equal to or greater than the amount allocated to the States under 
section 619 of the Act for the preceding fiscal year, those allocations 
are calculated as follows:
    (a) Except as provided in Sec. 301.22, the Secretary--
    (1) Allocates to each State the amount it received for fiscal year 
1997;
    (2) Allocates 85 percent of any remaining funds to States on the 
basis of their relative populations of children aged 3 through 5; and
    (3) Allocates 15 percent of those remaining funds to States on the 
basis of their relative populations of children described in paragraph 
(a)(2) of this section who are living in poverty.
    (b) For the purpose of making grants under this section, the 
Secretary uses the most recent population data, including data on 
children living in poverty, that are available and satisfactory to the 
Secretary.

(Authority: 20 U.S.C. 1419(c)(2)(A))

Sec. 301.22  Limitation.

    (a) Notwithstanding Sec. 301.21, allocations under that section are 
subject to the following:
    (1) No State's allocation may be less than its allocation for the 
preceding fiscal year.
    (2) No State's allocation may be less than the greatest of--
    (i) The sum of--
    (A) The amount it received for fiscal year 1997; and
    (B) One-third of one percent of the amount by which the amount 
appropriated under section 619(j) of the Act exceeds the amount 
appropriated under section 619 of the Act for fiscal year 1997;
    (ii) The sum of--

[[Page 170]]

    (A) The amount it received for the preceding fiscal year; and
    (B) That amount multiplied by the percentage by which the increase 
in the funds appropriated from the preceding fiscal year exceeds 1.5 
percent; or
    (iii) The sum of--
    (A) The amount it received for the preceding fiscal year; and
    (B) That amount multiplied by 90 percent of the percentage increase 
in the amount appropriated from the preceding fiscal year.
    (b) Notwithstanding paragraph (a)(2) of this section, no State's 
allocation under Sec. 301.21 may exceed the sum of--
    (1) The amount it received for the preceding fiscal year; and
    (2) That amount multiplied by the sum of 1.5 percent and the 
percentage increase in the amount appropriated.
    (c) If the amount available for allocation to States under 
Sec. 301.21 and paragraphs (a) and (b) of this section is insufficient 
to pay those allocations in full, the Secretary ratably reduces those 
allocations, subject to paragraph (a)(1) of this section.

(Authority: 20 U.S.C. 1419(c)(2)(B) and (C))

Sec. 301.23  Decrease in funds.

    If the amount available for allocations to States under Sec. 301.20 
is less than the amount allocated to the States under section 619 of the 
Act for the preceding fiscal year, those allocations are calculated as 
follows:
    (a) If the amount available for allocations is greater than the 
amount allocated to the States for fiscal year 1997, each State is 
allocated the sum of--
    (1) The amount it received for fiscal year 1997; and
    (2) An amount that bears the same relation to any remaining funds as 
the increase the State received for the preceding fiscal year over 
fiscal year 1997 bears to the total of those increases for all States.
    (b)(1) If the amount available for allocations is equal to the 
amount allocated to the States for fiscal year 1997, each State is 
allocated the amount it received for that year.
    (2) If the amount available is less than the amount allocated to 
States for fiscal year 1997, the Secretary allocates amounts equal to 
the allocations for fiscal year 1997, ratably reduced.

(Authority: 20 U.S.C. 1419(c)(3))

Sec. 301.24  State-level activities.

    (a) Each State may retain not more than the amount described in 
paragraph (b) of this section for administration and other State-level 
activities in accordance with Secs. 301.25 and 301.26.
    (b) For each fiscal year, the Secretary determines and reports to 
the SEA an amount that is 25 percent of the amount the State received 
under section 619 of the Act for fiscal year 1997, cumulatively adjusted 
by the Secretary for each succeeding fiscal year by the lesser of--
    (1) The percentage increase, if any, from the preceding fiscal year 
in the State's allocation under section 619 of the Act; or
    (2) The rate of inflation, as measured by the percentage increase, 
if any, from the preceding fiscal year in the Consumer Price Index For 
All Urban Consumers, published by the Bureau of Labor Statistics of the 
Department of Labor.

(Authority: 20 U.S.C. 1419(d))

Sec. 301.25  Use of funds for State administration.

    (a) For the purpose of administering section 619 of the Act 
(including the coordination of activities under Part B of the Act with, 
and providing technical assistance to, other programs that provide 
services to children with disabilities), each State may use not more 
than twenty percent of the maximum amount it may retain under 
Sec. 301.24 for any fiscal year.
    (b) Funds described in paragraph (a) of this section may also be 
used for the administration of part C of the Act, if the SEA is the lead 
agency for the State under that part.

(Authority: 20 U.S.C. 1419(e))

Sec. 301.26  Use of State agency allocations.

    Each State shall use any funds it retains under Sec. 301.24 and does 
not use for administration under Sec. 301.25 for any of the following:

[[Page 171]]

    (a) Support services (including establishing and implementing the 
mediation process required by section 615(e) of the Act), which may 
benefit children with disabilities younger than 3 or older than 5 as 
long as those services also benefit children with disabilities aged 3 
through 5.
    (b) Direct services for children eligible for services under section 
619 of the Act.
    (c) Developing a State improvement plan under subpart 1 of part D of 
the Act.
    (d) Activities at the State and local levels to meet the performance 
goals established by the State under section 612(a)(16) of the Act and 
to support implementation of the State improvement plan under subpart 1 
of part D of the Act if the State receives funds under that subpart.
    (e) Supplementing other funds used to develop and implement a 
Statewide coordinated services system designed to improve results for 
children and families, including children with disabilities and their 
families, but not to exceed one percent of the amount received by the 
State under section 619 of the Act for a fiscal year.

(Authority: 20 U.S.C. 1419(f))

      Subpart D--Allocation of funds to local educational agencies.
 
Sec. 301.30  Subgrants to local educational agencies.


    Each State that receives a grant under section 619 of the Act for 
any fiscal year shall distribute any funds it does not retain under 
Sec. 301.24 to local educational agencies in the State that have 
established their eligibility under section 613 of the Act.

(Authority: 20 U.S.C. 1419(g)(1))

Sec. 301.31  Allocations to local educational agencies.

    (a) Base payments. The State shall first award each agency described 
in Sec. 301.30 the amount that agency would have received under section 
619 of the Act for fiscal year 1997 if the State had distributed 75 
percent of its grant for that year under section 619(c)(3), as then in 
effect.
    (b) Base payment adjustments. For fiscal year 1998 and beyond--
    (1) If a new LEA is created, the State shall divide the base 
allocation determined under paragraph (a) of this section for the LEAs 
that would have been responsible for serving children with disabilities 
now being served by the new LEA, among the new LEA and affected LEAs 
based on the relative numbers of children with disabilities ages 3 
through 5 currently provided special education by each of the LEAs;
    (2) If one or more LEAs are combined into a single new LEA, the 
State shall combine the base allocations of the merged LEAs; and
    (3) If for two or more LEAs, geographic boundaries or administrative 
responsibility for providing services to children with disabilities ages 
3 through 5 changes, the base allocations of affected LEAs shall be 
redistributed among affected LEAs based on the relative numbers of 
children with disabilities ages 3 through 5 currently provided special 
education by each affected LEA.
    (c) Allocation of remaining funds. After making allocations under 
paragraph (a) of this section, the State shall--
    (1) Allocate 85 percent of any remaining funds to those agencies on 
the basis of the relative numbers of children enrolled in public and 
private elementary and secondary schools within the agency's 
jurisdiction; and
    (2) Allocate 15 percent of those remaining funds to those agencies 
in accordance with their relative numbers of children living in poverty, 
as determined by the SEA.
    (3) For the purpose of making grants under this section, States must 
apply on a uniform basis across all LEAs the best data that are 
available to them on the numbers of children enrolled in public and 
private elementary and secondary schools and the numbers of children 
living in poverty.

(Authority: 20 U.S.C. 1419(g)(1))

Sec. 301.32  Reallocation of local education agency funds.

    (a) If a SEA determines that an LEA is adequately providing a free 
appropriate public education to all children with disabilities aged 3 
through 5 residing in the area served by that agency

[[Page 172]]

with State and local funds, the SEA may reallocate any portion of the 
funds under section 619 of the Act that are not needed by that local 
agency to provide a free appropriate public education to other local 
educational agencies in the State that are not adequately providing 
special education and related services to all children with disabilities 
aged 3 through 5 residing in the areas they serve.
    (b) If a State provides services to preschool children with 
disabilities because some or all LEAs and ESAs are unable or unwilling 
to provide appropriate programs, the SEA may use payments that would 
have been available to those LEAs or ESAs to provide special education 
and related services to children with disabilities aged 3 through 5 
years, and to two-year-old children with disabilities receiving services 
consistent with Sec. 301.1 who are residing in the area served by those 
LEAs and ESAs.

(Authority: 20 U.S.C. 1414(d), 1419(g)(2))


Early Childhood Technical Assistance Center

  • CB 8040
  • Chapel Hill, NC 27599-8040
  • phone: 919.962.2001
  • fax: 919.966.7463
  • email: ectacenter@unc.edu

ECTA Center is a program of the FPG Child Development Institute of the University of North Carolina at Chapel Hill, funded through cooperative agreement number H326P170001 from the Office of Special Education Programs, U.S. Department of Education. Opinions expressed herein do not necessarily represent the Department of Education's position or policy.

Project Officer: Julia Martin Eile

  • FPG Child Development Institute
  • IDEAs that Work