Page 621 TITLE 25—INDIANS § 2506

1See References in Text note below.

ter, and any transfer of the operation of a Bureau school made under subsection (b) of this

section, shall become effective beginning with

the academic year succeeding the fiscal year in

which the application for the grant or transfer is

made, or at an earlier date determined by the

Secretary.

(f) Denial of applications

(1) Whenever the Secretary declines to provide

a grant under this chapter, to transfer operation

of a Bureau school under subsection (b) of this

section, or determines that a school is not eligible for assistance under this chapter, the Secretary shall—

(A) state the objections in writing to the

tribe or tribal organization within the allotted

time,

(B) provide assistance to the tribe or tribal

organization to overcome all stated objections,

(C) provide the tribe or tribal organization a

hearing on the record, under the same rules

and regulations that apply under the Indian

Self-Determination and Education Assistance

Act [25 U.S.C. 450 et seq.], and

(D) provide an opportunity to appeal the objection raised.

(2) The Secretary shall reconsider any amended application submitted under this chapter

within 60 days after the amended application is

submitted to the Secretary.

(g) Report

The Bureau shall submit an annual report to

the Congress on all applications received, and

actions taken (including the costs associated

with such actions), under this section at the

same time that the President is required to submit to the Congress the budget under section

1105 of title 31.

(Pub. L. 100–297, title V, §5206, Apr. 28, 1988, 102

Stat. 388; Pub. L. 100–427, §11, Sept. 9, 1988, 102

Stat. 1608.)

REFERENCES IN TEXT

The Education Amendments of 1978, referred to in

subsecs. (a)(1)(A), (B), (b)(1), and (c)(1), is Pub. L. 95–561,

Nov. 1, 1978, 92 Stat. 2143, as amended. Title XI of the

Education Amendments of 1978 is classified principally

to chapter 22 (§2001 et seq.) of this title. For complete

classification of this Act to the Code, see Short Title

note set out under section 6301 of Title 20, Education,

and Tables.

The Indian Self-Determination and Education Assistance Act, referred to in subsecs. (a)(2) and (f)(1)(C), is

Pub. L. 93–638, Jan. 4, 1975, 88 Stat. 2203, as amended,

which is classified principally to subchapter II (§450 et

seq.) of chapter 14 of this title. For complete classification of this Act to the Code, see Short Title note set

out under section 450 of this title and Tables.

The title, referred to in subsec. (c)(2)(D), probably

should be ‘‘this part’’, meaning part B of title V of Pub.

L. 100–297, known as the Tribally Controlled Schools

Act of 1988, which is classified generally to this chapter. For complete classification of part B to the Code,

see Short Title note set out under section 2501 of this

title and Tables.

AMENDMENTS

1988—Subsec. (a)(1)(A), (B). Pub. L. 100–427, §11(a),

amended subpars. (A) and (B) generally. Prior to

amendment, subpars. (A) and (B) read as follows:

‘‘(A) was, on April 28, 1988, a school which received

funds under the authority of the Indian Self-Determination and Education Assistance Act (25 U.S.C. 450,

et seq.),

‘‘(B) was a school operated (as either an elementary

or secondary school or a combined program) by the Bureau and has met the requirements of subsection (b) of

this section,’’.

Subsec. (b)(1). Pub. L. 100–427, §11(b), in introductory

provisions, substituted ‘‘A school that was a Bureau

funded school under title XI of the Education Amendments of 1978 on April 28, 1988.’’ for ‘‘Any school that

was operated as a Bureau school on April 28, 1988’’.

Subsec. (c). Pub. L. 100–427, §11(c), substituted

‘‘school which is not Bureau funded school’’ for

‘‘schools that have not received Bureau funds’’ in heading and substituted ‘‘A school which is not a Bureau

funded school under title XI of the Education Amendments of 1978’’ for ‘‘A school for which the Bureau has

not provided funds’’ in par. (1).

Subsec. (d)(1). Pub. L. 100–427, §11(d), substituted ‘‘Bureau of Indian Affairs’’ for ‘‘Department of Education’’.

Subsec. (f)(1)(C). Pub. L. 100–427, §11(e), inserted ‘‘on

the record’’ after ‘‘hearing’’.

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 2506 of this title.

§ 2506. Duration of eligibility determination

(a) In general

If the Secretary determines that a tribally

controlled school is eligible for assistance under

this chapter, the eligibility determination shall

remain in effect until the determination is revoked by the Secretary, and the requirements of

subsection (b) or (c) of section 2505 of this title,

if applicable, shall be considered to have been

met with respect to such school until the eligibility determination is revoked by the Secretary.

(b) Annual reports

Each recipient of a grant provided under this

chapter shall submit to the Secretary and to the

tribal governing body (within the meaning of

section 1121(j) 1 of the Education Amendments of

1978) of the tribally controlled school an annual

report that shall be limited to—

(1) an annual financial statement reporting

revenue and expenditures as defined by the

cost accounting established by the grantee;

(2) a biannual financial audit conducted pursuant to the standards of the Single Audit Act

of 1984 [31 U.S.C. 7501 et seq.];

(3) an annual submission to the Secretary of

the number of students served and a brief description of programs offered under the grant;

and

(4) a program evaluation conducted by an

impartial entity, to be based on the standards

established for purposes of subsection

(c)(1)(A)(ii) of this section.

(c) Revocation of eligibility

(1)(A) The Secretary shall not revoke a determination that a school is eligible for assistance

under this chapter if—

(i) the Indian tribe or tribal organization

submits the reports required under subsection

(b) of this section with respect to the school,

and

(ii) at least one of the following subclauses

applies with respect to the school:
§ 2506 TITLE 25—INDIANS Page 622

2See References in Text note below.

(I) The school is certified or accredited by

a State or regional accrediting association

as recognized by the Secretary of Education,

or is a candidate in good standing for such

accreditation under the rules of the State or

regional accrediting association, showing

that credits achieved by students within the

education programs are, or will be, accepted

at grade level by a State certified or regionally accredited institution.

(II) A determination made by the Secretary that there is a reasonable expectation

that the accreditation described in subclause

(I), or the candidacy in good standing for

such accreditation, will be reached by the

school within 3 years and that the program

offered by the school is beneficial to the Indian students.

(III) The school is accredited by a tribal

department of education if such accreditation is accepted by a generally recognized

regional or State accreditation agency.

(IV) The school accepts the standards promulgated under section 1121 of the Education Amendments of 1978 [25 U.S.C. 2001]

and an evaluation of performance is conducted under this section in conformance

with the regulations pertaining to Bureau

operated schools by an impartial evaluator

chosen by the grantee, but no grantee shall

be required to comply with these standards

to a higher degree than a comparable Bureau

operated school.

(V) A positive evaluation of the school is

conducted once every 3 years under standards adopted by the contractor under a contract for a school entered into under the Indian Self-Determination and Education Assistance Act [25 U.S.C. 450 et seq.] (or revisions of such standards agreed to by the Secretary and the grantee) prior to April 28,

1988, such evaluation to be conducted by an

impartial evaluator agreed to by the Secretary and the grantee. If the Secretary and

a grantee other than the tribal governing

body fail to agree on such an evaluator, the

tribal governing body shall choose the evaluator or perform the evaluation. If the Secretary and a grantee which is the tribal governing body fail to agree on such an evaluator, this subclause shall not apply.

(B) The choice of standards employed for purposes of subparagraph (A)(ii) shall be consistent

with section 1121(e) 2 of the Education Amendments of 1978.

(2) The Secretary shall not revoke a determination that a school is eligible for assistance

under this chapter, or reassume control of a

school that was a Bureau school prior to approval of an application submitted under section

2505(b)(1)(A) of this title, until the Secretary—

(A) provides notice to the tribally controlled

school and the tribal governing body (within

the meaning of section 1121(j) 2 of the Education Amendments of 1978) of the tribally

controlled school which states—

(i) the specific deficiencies that led to the

revocation or resumption determination,

and

(ii) the actions that are needed to remedy

such deficiencies, and

(B) affords such authority an opportunity to

effect any remedial actions.

The Secretary shall provide such technical assistance as is necessary to effect such remedial

actions. Such notice and technical assistance

shall be in addition to a hearing and appeal to

be conducted pursuant to the regulations described in section 2505(f)(1)(C) of this title.

(d) Applicability of section pursuant to election

under section 2508(b)

With respect to a tribally controlled school

which receives assistance under this chapter

pursuant to an election made under section

2508(b) of this title—

(1) subsection (b) of this section shall apply;

and

(2) the Secretary may not revoke eligibility

for assistance under this chapter except in

conformance with subsection (c) of this section.

(Pub. L. 100–297, title V, §5207, Apr. 28, 1988, 102

Stat. 391; Pub. L. 100–427, §12, Sept. 9, 1988, 102

Stat. 1608.)

REFERENCES IN TEXT

Section 1121 of the Education Amendments of 1978, referred to in subsecs. (b) and (c)(1)(A)(ii)(IV), (B), (2)(A),

means section 1121 of Pub. L. 95–561, which was classified to section 2001 of this title, prior to the general

amendment of chapter 22 (§2001 et seq.) of this title by

Pub. L. 103–382, title III, §381, Oct. 20, 1994, 108 Stat.

3979. Pub. L. 103–382 enacted a new section 1121 of Pub.

L. 95–561 which is classified to section 2001 of this title

and which contains in subsecs. (f) and (k) provisions

similar to those contained in subsecs. (e) and (j), respectively, of former section 2001 of this title.

The Single Audit Act of 1984, referred to in subsec.

(b)(2), is Pub. L. 98–502, Oct. 19, 1984, 98 Stat. 2327, as

amended, which is classified generally to chapter 75

(§7501 et seq.) of Title 31, Money and Finance. For complete classification of this Act to the Code, see Short

Title note set out under section 7501 of Title 31 and

Tables.

The Indian Self-Determination and Education Assistance Act, referred to in subsec. (c)(1)(A)(ii)(V), is Pub.

L. 93–638, Jan. 4, 1975, 88 Stat. 2203, as amended, which

is classified principally to subchapter II (§450 et seq.) of

chapter 14 of this title. For complete classification of

this Act to the Code, see Short Title note set out under

section 450 of this title and Tables.

AMENDMENTS

1988—Subsec. (c)(1)(A)(ii)(I). Pub. L. 100–427, §12(a),

substituted ‘‘as recognized by’’ for ‘‘as determined by’’.

Subsec. (c)(1)(A)(ii)(V). Pub. L. 100–427, §12(b), inserted ‘‘(or revisions of such standards agreed to by the

Secretary and the grantee)’’ after ‘‘Education Assistance Act’’ and substituted ‘‘If the Secretary and a

grantee other than the tribal governing body fail to

agree on such an evaluator, the tribal governing body

shall choose the evaluator or perform the evaluation. If

the Secretary and a grantee which is the tribal governing body fail to agree on such an evaluator, this subclause shall not apply.’’ for ‘‘Upon failure to agree on

such an evaluator, the governing body of the tribe shall

choose the evaluator or perform the evaluation.’’

Subsec. (d). Pub. L. 100–427, §12(d), added subsec. (d).

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 2508 of this title.
Page 623 TITLE 25—INDIANS § 2508

§ 2507. Payment of grants; investment of funds

(a) Payments

(1) Except as otherwise provided in this subsection, the Secretary shall make payments to

grantees under this chapter in 2 payments, of

which—

(A) the first payment shall be made not later

than July 15 of each year in an amount equal

to one-half of the amount which the grantee

was entitled to receive during the preceding

academic year; and

(B) the second payment, consisting of the remainder to which the grantee is entitled for

the academic year, shall be made not later

than December 1 of each year.

(2) For any school for which no payment under

this chapter was made from Bureau funds in the

preceding academic year, full payment of the

amount computed for the first academic year of

eligibility under this chapter shall be made not

later than December 1 of the academic year.

(3) With regard to funds for grantees that become available for obligation on October 1 of the

fiscal year for which such funds are appropriated, the Secretary shall make payments to

grantees not later than December 1 of the fiscal

year.

(4) The provisions of chapter 39 of title 31 shall

apply to the payments required to be made by

paragraphs (1), (2), and (3).

(5) Paragraphs (1), (2), and (3) shall be subject

to any restriction on amounts of payments

under this chapter that are imposed by a continuing resolution or other Act appropriating

the funds involved.

(b) Investment of funds

(1) Notwithstanding any other provision of

law, any interest or investment income that accrues on any funds provided under this chapter

after such funds are paid to the Indian tribe or

tribal organization and before such funds are expended for the purpose for which such funds

were provided under this chapter shall be the

property of the Indian tribe or tribal organization and shall not be taken into account by any

officer or employee of the Federal Government

in determining whether to provide assistance, or

the amount of assistance, under any provision of

Federal law.

(2) Funds provided under this chapter may

be—

(A) invested by the Indian tribe or tribal organization only in obligations of the United

States or in obligations or securities that are

guaranteed or insured by the United States, or

(B) deposited only into accounts that are insured by an agency or instrumentality of the

United States.

(c) Recoveries

For the purposes of underrecovery and overrecovery determinations by any Federal agency

for any other funds, from whatever source derived, funds received under this chapter shall

not be taken into consideration.

(Pub. L. 100–297, title V, §5208, Apr. 28, 1988, 102

Stat. 393; Pub. L. 100–427, §13, Sept. 9, 1988, 102

Stat. 1609; Pub. L. 103–382, title III, §382(c), Oct.

20, 1994, 108 Stat. 4017.)

AMENDMENTS

1994—Subsec. (a). Pub. L. 103–382 amended heading

and text of subsec. (a) generally. Prior to amendment,

text read as follows:

‘‘(1) Except as otherwise provided in this subsection,

the Secretary shall make payments to grantees under

this chapter in two payments:

‘‘(A) one payment to be made no later than October

1 of each fiscal year in an amount equal to one-half

the amount paid during the preceding fiscal year to

the grantee or a contractor that has elected to have

the provisions of this chapter apply, and

‘‘(B) the second payment consisting of the remainder to which the grantee or contractor is entitled for

the fiscal year to be made by no later than January

1 of the fiscal year.

‘‘(2) For any school for which no payment was made

from Bureau funds in the preceding fiscal year, full

payment of the amount computed for each fiscal year

shall be made by January 1 of the fiscal year.

‘‘(3) Paragraphs (1) and (2) of this subsection shall be

subject to any restriction on amounts of payments

under this chapter that may be imposed by a continuing resolution or other Act appropriating the funds involved.’’

1988—Subsec. (a)(2). Pub. L. 100–427, §13(a), substituted ‘‘from Bureau funds’’ for ‘‘under this chapter’’.

Subsec. (a)(3). Pub. L. 100–427, §13(b), added par. (3).

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in title 20 section 8064.

§ 2508. Application with respect to Indian SelfDetermination and Education Assistance Act

(a) Certain provisions to apply to grants

All provisions of sections 5, 6, 7, 104, 105(f),

106(f), 109, and 111 of the Indian Self-Determination and Education Assistance Act [25 U.S.C.

450c, 450d, 450e, 450i, 450j(f), 450j–1(f), 450m, 450n],

except those provisions relating to indirect

costs and length of contract, shall apply to

grants provided under this chapter.

(b) Election for grant in lieu of contract

(1) Contractors for activities to which this

chapter applies who have entered into a contract under the Indian Self-Determination and

Education Assistance Act [25 U.S.C. 450 et seq.]

that is in effect on April 28, 1988, may, by giving

notice to the Secretary, elect to have the provisions of this chapter apply to such activity in

lieu of such contract.

(2) Any election made under paragraph (1)

shall take effect on the later of—

(A) October 1 of the fiscal year succeeding

the fiscal year in which such election is made,

or

(B) the date that is 60 days after the date of

such election.

(3) In any case in which the 60-day period referred to in paragraph (2)(B) is less than 60 days

before the beginning of the succeeding fiscal

year, such election shall not take effect until

the fiscal year after the fiscal year succeeding

the election. For fiscal year 1989, the Secretary

may waive this paragraph for elections received

prior to September 30, 1988.

(c) No duplication

No funds may be provided under any contract

entered into under the Indian Self-Determination and Education Assistance Act [25 U.S.C. 450

et seq.] to pay any expenses incurred in provid-