amendments to section 3

amendments to section 3 Sec. 201. Section 3 of the Act of September 30, 1950 (Public Law 874, Eighty-first Congress), as amended, is amended in the following respects: Providing an alternative means of meeting the eligibility requirement (a) (1) Section 3(c) (2) (B) is amended by inserting after “amount to” the following: “, whichever is the lesser, four hundred such children, or a number of such children equal to”. (2) Section 3(c) (5) is amended by striking out “percentage requirements for eligibility under paragraphs (2) and (4) of this subsection” and by inserting in lieu thereof “requirements for eligibility under paragraphs (2) (B) and 4(C) of this subsection”. Method of determining local contribution rate (b) Subsection (d) of section 3, relating to the computation of the local contribution rate, is amended as follows: (1) The first sentence of subsection (d) is amended by striking out “and the local educational agency”. (2) Clauses (1) and (2) of the first sentence of subsection (d) are amended to read: “(1) he shall place each school district within the State into a group of generally comparable school districts; and “(2) he shall then divide (A) the aggregate current expenditures, during the second fiscal year preceding the fiscal year for which he is making the computation, which all of the local educational agencies within any such group of comparable school districts made from revenues derived from local sources, by (B) the aggregate number of children in average daily attendance to whom such agencies provided free public education during such second preceding fiscal year.” (3) The third sentence of subsection (d) is amended by striking out “If, in the judgment of the Commissioner, the current expenditures in those school districts which he has selected under clause (1)” and substituting in lieu thereof “If, in the judgment of the Commissioner, the current expenditures in the school districts within the generally comparable group as determined under clause 80 Stat. 1211 (4) The next to the last sentence of subsection (d) is amended by inserting after “as the case may be,” the following: “plus any direct current expenditures by the States for the operation of such agencies”, and by inserting “either of” after “funds from which”. Providing that children of servicemen shall be deemed to reside with a parent employed on Federal property (c) (1) The first sentence of subsection (b) of section 3 is amended by— (A) inserting “(1)” before “resided on Federal property”, (B) inserting “(2)” before “resided with a parent”, and (C) inserting before the period at the end thereof “, or (3) had a parent who was on active duty in the uniformed services (as defined in section 102 of the Career Compensation Act of 1949)”. (2) The second sentence of subsection (b) is repealed. Children moving into an area as a result of an international boundary relocation (d) Such subsection (b) of section 3 is further amended by adding at the end thereof the following new sentence: “For the purpose of computing the amount to which a local educational agency is entitled under this section for the fiscal year ending June 30, 1967, the Commissioner shall also determine the number of children (other than children to whom subsection (a) or any other provision of this subsection applies) who were in average daily attendance at such schools and for whom such agency provided free public education, during such fiscal year, as a result of a change in residence from land transferred to Mexico as part of a relocation of an international boundary of the United States.” Providing that all Federal payments will be deducted from gross entitlements on the same basis (e) Subsection (e) of section 3 is amended to read as follows: “(e) In determining the total amount which a local educational agency is entitled to receive under this section (other than subsection (c)(4) thereof) for a fiscal year, the Commissioner shall deduct (1) such amount as he determines that agency derived from other Federal payments (as defined in section 2(b) (1)) but only to the extent such payments are not deducted under the last sentence of section 2(a), and only to the extent the payments are made with respect to property on which children, counted for purposes of this section, live or on which their parents work, and (2) such amount as he determines to be the value of transportation and of custodial and other maintenance services furnished such Agency by the Federal Government during such year. The Commissioner shall make no deduction under this subsection for any fiscal year in which the sum of the amounts determined under clauses (1) and (2) of the preceding sentence is less than $1,000.”