INFANTS AND TODDLERS WITH DISABILITIES.

SEC. 313. INFANTS AND TODDLERS WITH DISABILITIES. (a) Amendment.— Subsection (c) of section 684 of the Act (20 U.S.C. 1484) is amended— (1) by redesignating paragraph (2) as paragraph (6); (2) by amending paragraph (1) to read as follows: “(1) Except as provided in paragraphs (3), (4), and (5) from the funds remaining for each fiscal year after the reservation and payments under subsections (a) and (b), the Secretary shall first allot to each State an amount that bears the same ratio to the amount of such remainder as the number of infants and toddlers in the State bears to the number of infants and toddlers in all States.”; and (3) by inserting after paragraph (1) the following new paragraphs: “(2) For fiscal year 1995 only, the Secretary shall allot $34,000,000 of the remaining funds described in paragraph (1) among the States in proportion to their relative numbers of infants and toddlers with disabilities who— “(A) are counted on December 1, 1994; and “(B) would have been eligible to be counted under section 1221(c)(1) of the Elementary and Secondary Education Act of 1965 (as such section was in effect on the day preceding the date of the enactment of the Improving America’s Schools Act of 1994). “(3) Except as provided in paragraphs (4) and (5), no State shall receive an amount under this section for any fiscal year that is less than the greater of— “(A) one-half of one percent of the remaining amount described in paragraph (1), excluding any amounts allotted under paragraph (2); or “(B) $500,000. “(4) (A) Except as provided in paragraph (5), no State shall receive an amount under this section for any of the fiscal108 STAT. 3936 years 1995 through 1999 that is less than the sum of the amount such State received for fiscal year 1994 under— “(i) this part; and “(ii) subpart 2 of part D of chapter 1 of title I of the Elementary and Secondary Education Act of 1965 (as such subpart was in existence on the day preceding the date of enactment of the Improving America’s Schools Act of 1994) for children with disabilities from birth through age 2. “(B) If, for fiscal year 1998 or 1999, the number of infants and toddlers in any State, as determined under paragraph (1), is less than the number of infants and toddlers so determined for fiscal year 1994, the amount determined under subparagraph (A) for that State shall be reduced by the same percentage by which the number of those infants and toddlers so declined. “(5) (A) If the sums made available under this part for any fiscal year are insufficient to pay the full amounts that all States are eligible to receive under this subsection for such year, the Secretary shall ratably reduce the allocations to such States for such year. “(B) If additional funds become available for making payments under this subsection for such fiscal year, allocations that were reduced under subparagraph (A) shall be increased on the same basis as such allocations were reduced.”. (b) Effective Date.— Subsection (a) and the amendments made by subsection (a) shall take effect on October 1, 1994.