HOLD HARMLESS PAYMENTS.

SEC. 60004. HOLD HARMLESS PAYMENTS. Section 8002(h)(1) of the Elementary and Secondary Education Act of 1965 (20 U.S.C. 7702(h)(1)) is amended— (1) in subparagraph (A), by striking “or” after the semicolon; (2) in subparagraph (B), by striking the period and inserting “; and”; and (3) by adding at the end the following: “(C) for fiscal year 1997 and each succeeding fiscal year through fiscal year 2000 shall not be less than 85 percent of the amount such agency received for fiscal year 1996 under subsection (b).”.