USES OF FUNDS; LIMITATIONS.

SEC. 117. USES OF FUNDS; LIMITATIONS. (a) State Uses of Funds.—The State educational agency may reserve, from funds made available to such agency under this subtitle— (1) not more than 5 percent of such funds for administrative costs for any fiscal year; (2) not more than 10 percent of such funds to build capacity through training, technical assistance, curriculum development, and coordination activities, described in section 111(a)(l); (3) not less than 60 percent of such funds to carry out school based service learning programs described in section 111(a)(2); (4) not less than 15 percent of such funds to carry out community-based service programs described in section 111(a)(3); and (5) not more than 10 percent of such funds to carry out adult volunteer and partnership programs described in section 111(a)(4). (b) Authorized Activities for Local Projects.— (1) In general.—Local projects may use funds made available under this subtitle for the supervision of participating students, program administration, training, reasonable transportation costs, insurance, and for other reasonable expenses. (2) Limitation.—Funds made available under this subtitle may not be used to pay any stipend, allowance, or other financial support to any participant, except reimbursement for transportation, meals, and other reasonable out-of-pocket expenses directly related to participation in a program assisted under this subtitle.