### §10007. Innovation Fund

#### (a) In general

#### (1) Eligible entities

For the purposes of this section, the term "eligible entity" means—

(A) a local educational agency; or

(B) a partnership between a nonprofit organization and—

(i) one or more local educational agencies; or

(ii) a consortium of schools.

#### (2) Program established

From the total amount reserved under section 10001(c) of this title, the Secretary may reserve up to $650,000,000 to establish an Innovation Fund, which shall consist of academic achievement awards that recognize eligible entities that meet the requirements described in subsection (b).

#### (3) Purpose of awards

The Secretary shall make awards to eligible entities in order to identify, document, and bring to scale innovative best practices based on demonstrated success, to allow such eligible entities to—

(A) expand their work and serve as models for best practices; and

(B) work in partnership with the private sector and the philanthropic community.

#### (b) Eligibility

To be eligible for such an award, an eligible entity shall—

(1)(A) have significantly closed the achievement gaps between groups of students described in section 6311(b)(2) 1 of this title; or

(B) have demonstrated success in significantly increasing student academic achievement for all groups of students described in such section;

(2) have made significant improvement in other areas, such as graduation rates or increased recruitment and placement of high-quality teachers and school leaders, as demonstrated with meaningful data; and

(3) demonstrate that it has established one or more partnerships with the private sector, which may include philanthropic organizations, and that the private sector will provide matching funds in order to help bring results to scale.

#### (c) Special rule

In the case of an eligible entity that includes a nonprofit organization, the eligible entity shall be considered to have met the eligibility requirements of paragraphs (1)(A) or (1)(B) and (2) of subsection (b) if the nonprofit organization has a record of significantly improving student achievement, attainment, or retention and shall be considered to have met the requirements of subsection (b)(3) if it demonstrates that it will meet the requirement relating to private-sector matching.

#### (d) Subgrants

In the case of an eligible entity that is a partnership described in subsection (a)(1)(B), the partner serving as the fiscal agent may make subgrants to one or more of the other entities in the partnership.

(Pub. L. 111–5, div. A, title XIV, §14007, Feb. 17, 2009, 123 Stat. 284; Pub. L. 111–117, div. D, title III, §307, Dec. 16, 2009, 123 Stat. 3271.)

#### **Editorial Notes**

#### References in Text

Section 6311 of this title, referred to in subsec. (b)(1)(A), was amended generally by Pub. L. 114–95, title I, §1005, Dec. 10, 2015, 129 Stat. 1820, and, as so amended, subsec. (b)(2) does not describe achievement gaps.

#### Amendments

2009—Subsec. (a)(3). Pub. L. 111–117, §307(1), amended par. (3) generally. Prior to amendment, text read as follows: "The Secretary shall make awards to eligible entities that have made significant gains in closing the achievement gap as described in subsection (b)(1)—

"(A) to allow such eligible entities to expand their work and serve as models for best practices;

"(B) to allow such eligible entities to work in partnership with the private sector and the philanthropic community; and

"(C) to identify and document best practices that can be shared, and taken to scale based on demonstrated success."

Subsec. (b). Pub. L. 111–117, §307(2), redesignated pars. (1), (2), (3), and (4) as (1)(A), (1)(B), (2), and (3), respectively, inserted "or" after semicolon in par. (1)(A), amended par. (1)(B) generally, and substituted "it has established one or more partnerships" for "they have established partnerships" in par. (3). Prior to amendment, par. (1)(B) read as follows: "have exceeded the State's annual measurable objectives consistent with such section 6311(b)(2) of this title for 2 or more consecutive years or have demonstrated success in significantly increasing student academic achievement for all groups of students described in such section through another measure, such as measures described in section 6311(c)(2) of this title;".

Subsec. (c). Pub. L. 111–117, §307(3), substituted "paragraphs (1)(A) or (1)(B) and (2) of subsection (b) if the nonprofit organization has a record of significantly improving student achievement, attainment, or retention and shall be considered to have met the requirements of subsection (b)(3) if it demonstrates that it will meet the requirement relating to private-sector matching" for "paragraphs (1), (2), (3) of subsection (b) if such nonprofit organization has a record of meeting such requirements".

Subsec. (d). Pub. L. 111–117, §307(4), added subsec. (d).

#### **Statutory Notes and Related Subsidiaries**

#### Grant Renewals

Pub. L. 113–76, div. H, title III, Jan. 17, 2014, 128 Stat. 392, provided in part: "That the Secretary may renew a grant made under section 14007 [20 U.S.C. 10007] for additional 1-year periods, for fiscal year 2014 and thereafter, if the grantee is meeting its performance targets, up to a total award period of 6 years".

1 See References in Text note below.