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Provides for reservation of funds for Indian tribes. Requires allocation of grant funds to eligible LEAs as follows: (1) 80 percent in proportion to the number of children from families with incomes below the poverty line in the school district served; and (2) 20 percent in proportion to relative enrollments in public and private schools within LEA boundaries. Authorizes the Secretary to impose sanctions on violators of this Act or regulations under it, including reimbursement or ineligibility for additional funds for a period of years, depending on the severity of the misuse of funds.
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