ALLOCATION OF FUNDS.

SEC. 442. ALLOCATION OF FUNDS. (a) Updating the Base Period.— Section 442(a) (20 U.S.C. 2752(a)) is amended— (1) in paragraph (1), by striking “received and used under this part for fiscal year 1985” ana inserting “received under subsections (a) and (b) for fiscal year 1999 (as such subsections were in effect with respect to allocations for such fiscal year)”; (2) in paragraph (2)— (A) in subparagraphs (A) and (B), by striking “1985” each place the term appears and inserting “1999”; and (B) in subparagraph (C)(i), by striking “1986” and inserting “2000”. (b) Elimination of Pro Rata Share.— Section 442 is amended— (1) by striking subsection (b); (2) by redesignating subsections (c) through (f) as subsections (b) through (e), respectively; (3) in subsection (b)(1) (as redesignated by paragraph (2)), by striking “three-quarters of”; (4) in subsection (b)(2)(A)(i) (as so redesignated), by striking “subsection (d)” and inserting “subsection (c)”; (5) in subsection (c)(3) (as so redesignated), by striking “the Secretary, for academic year 1988–1989 shall use the procedures employed for academic year 1986–1987, and, for any subsequent academic years,”; and (6) in subsection (d)(1) (as so redesignated)— (A) by striking “10 percent” and inserting “5 percent”; (B) by striking “in community service” and inserting “in tutoring in reading and family literacy activities”; and (C) by striking “subsection (c)” and inserting “subsection (b)”. (c) Effective Date.— The amendments made by this section shall apply with respect to allocations of amounts appropriated pursuant to section 441(b) for fiscal year 2000 or any succeeding fiscal year.