Title 20EducationRelease 119-73

§7426 Integration of services authorized

Title 20 › Chapter CHAPTER 70— - STRENGTHENING AND IMPROVEMENT OF ELEMENTARY AND SECONDARY SCHOOLS › Subchapter SUBCHAPTER VI— - INDIAN, NATIVE HAWAIIAN, AND ALASKA NATIVE EDUCATION › Part Part A— - Indian Education › Subpart subpart 1— - formula grants to local educational agencies › § 7426

Last updated Apr 6, 2026|Official source

Summary

Allows eligible groups that get these federal Indian-education funds to submit a plan to combine the federal education and related services they provide to Indian students into one coordinated program. If the Secretary approves a good plan, the Secretary and the agencies that give money will let the group merge the covered federal programs and cut back on duplicate administration. The plan can include funds that only serve Indian children. An acceptable plan must say which programs or funding will be combined, match the law’s goals, explain the full set of services and how they will be integrated and delivered, show expected results and a single budget, name the state, tribal, or local partners, list any legal or policy waivers needed, set academic goals with timeframes, and have committee approval if a committee exists. The Secretary will consult with other federal departments and the group to identify needed waivers; each affected department can waive its own rules unless doing so would conflict with the law’s goals or specific Indian-student rules. The Secretary must approve or disapprove a plan in writing within 90 days and must explain any disapproval and allow the group to amend or ask for reconsideration. Federal agencies had to agree on how to run these demonstration projects no later than 180 days after December 10, 2015, and one agency will lead each project (Interior for contract or grant schools under Title XI, Education for others). The lead agency must create a single activity report, a single expenditure report, a single federal oversight system, and offer technical help (the group may accept or reject the help or provider). The single report must show the group met plan requirements, including student achievement and legal assurances. Participating groups will not get less federal money because of this consolidation. Funds may be moved between agencies to meet project goals. The group must be able to show funds were used for allowable activities, but does not have to keep separate local records tracing services to each original program or allocate every dollar back to a specific program. Administrative funds may be combined, and any extra used for allowed purposes will be treated as properly spent for audits. Required reports on implementation must be sent to specified House and Senate committees 2 years and 5 years after December 10, 2015. For these rules, “Secretary” means the Secretary of the Interior for Title XI contract or grant schools, and the Secretary of Education for all other entities.

Full Legal Text

Title 20, §7426

Education — Source: USLM XML via OLRC

(a)An entity receiving funds under this subpart may submit a plan to the Secretary for the integration of education and related services provided to Indian students.
(b)Upon the receipt of an acceptable plan under subsection (a), the Secretary, in cooperation with each Federal agency providing grants for the provision of education and related services to the entity, shall authorize the entity to consolidate, in accordance with such plan, the federally funded education and related services programs of the entity and the Federal programs, or portions of the programs, serving Indian students in a manner that integrates the program services involved into a single, coordinated, comprehensive program and reduces administrative costs by consolidating administrative functions.
(c)The funds that may be consolidated in a demonstration project under any such plan referred to in subsection (a) shall include funds for any Federal program exclusively serving Indian children, or the funds reserved under any Federal program to exclusively serve Indian children, under which the entity is eligible for receipt of funds under a statutory or administrative formula for the purposes of providing education and related services that would be used to serve Indian students.
(d)For a plan to be acceptable pursuant to subsection (b), the plan shall—
(1)identify the programs or funding sources to be consolidated;
(2)be consistent with the objectives of this section concerning authorizing the services to be integrated in a demonstration project;
(3)describe a comprehensive strategy that identifies the full range of potential educational opportunities and related services to be provided to assist Indian students to achieve the objectives set forth in this subpart;
(4)describe the way in which services are to be integrated and delivered and the results expected from the plan;
(5)identify the projected expenditures under the plan in a single budget;
(6)identify the State, tribal, or local agency or agencies to be involved in the delivery of the services integrated under the plan;
(7)identify any statutory provisions, regulations, policies, or procedures that the entity believes need to be waived in order to implement the plan;
(8)set forth measures for academic content and student academic achievement goals designed to be met within a specific period of time; and
(9)be approved by a committee formed in accordance with section 7424(c)(4) of this title, if such a committee exists.
(e)Upon receipt of the plan from an eligible entity, the Secretary shall consult with the Secretary of each Federal department providing funds to be used to implement the plan, and with the entity submitting the plan. The parties so consulting shall identify any waivers of statutory requirements or of Federal departmental regulations, policies, or procedures necessary to enable the entity to implement the plan. Notwithstanding any other provision of law, the Secretary of the affected department shall have the authority to waive any regulation, policy, or procedure promulgated by that department that has been so identified by the entity or department, unless the Secretary of the affected department determines that such a waiver is inconsistent with the objectives of this subpart or those provisions of the statute from which the program involved derives authority that are specifically applicable to Indian students.
(f)Within 90 days after the receipt of an entity’s plan by the Secretary, the Secretary shall inform the entity, in writing, of the Secretary’s approval or disapproval of the plan. If the plan is disapproved, the entity shall be informed, in writing, of the reasons for the disapproval and shall be given an opportunity to amend the plan or to petition the Secretary to reconsider such disapproval.
(g)Not later than 180 days after December 10, 2015, the Secretary of Education, the Secretary of the Interior, the Secretary of Health and Human Services, and the head of any other Federal department or agency identified by the Secretary of Education, shall enter into an interdepartmental memorandum of agreement providing for the implementation and coordination of the demonstration projects authorized under this section. The lead agency head for a demonstration project under this section shall be—
(1)the Secretary of the Interior, in the case of an entity meeting the definition of a contract or grant school under title XI of the Education Amendments of 1978 [25 U.S.C. 2001 et seq.]; or
(2)the Secretary of Education, in the case of any other entity.
(h)The responsibilities of the lead agency shall include—
(1)the use of a single report format related to the plan for the individual project, which shall be used by an eligible entity to report on the activities undertaken under the project;
(2)the use of a single report format related to the projected expenditures for the individual project which shall be used by an eligible entity to report on all project expenditures;
(3)the development of a single system of Federal oversight for the project, which shall be implemented by the lead agency; and
(4)the provision of technical assistance to an eligible entity appropriate to the project, except that an eligible entity shall have the authority to accept or reject the plan for providing such technical assistance and the technical assistance provider.
(i)A single report format shall be developed by the Secretary, consistent with the requirements of this section. Such report format shall require that reports described in subsection (h), together with records maintained on the consolidated program at the local level, shall contain such information as will allow a determination that the eligible entity has complied with the requirements incorporated in its approved plan, including making a demonstration of student academic achievement, and will provide assurances to each Secretary that the eligible entity has complied with all directly applicable statutory requirements and with those directly applicable regulatory requirements that have not been waived.
(j)In no case shall the amount of Federal funds available to an eligible entity involved in any demonstration project be reduced as a result of the enactment of this section.
(k)The Secretary is authorized to take such action as may be necessary to provide for an interagency transfer of funds otherwise available to an eligible entity in order to further the objectives of this section.
(l)(1)Program funds for the consolidated programs shall be administered in such a manner as to allow for a determination that funds from a specific program are spent on allowable activities authorized under such program, except that the eligible entity shall determine the proportion of the funds granted that shall be allocated to such program.
(2)Nothing in this section shall be construed as requiring the eligible entity to maintain separate records tracing any services or activities conducted under the approved plan to the individual programs under which funds were authorized for the services or activities, nor shall the eligible entity be required to allocate expenditures among such individual programs.
(m)The eligible entity may commingle all administrative funds from the consolidated programs and shall be entitled to the full amount of such funds (under each program’s or agency’s regulations). The overage (defined as the difference between the amount of the commingled funds and the actual administrative cost of the programs) shall be considered to be properly spent for Federal audit purposes, if the overage is used for the purposes provided for under this section.
(n)Nothing in this part shall be construed so as to interfere with the ability of the Secretary or the lead agency to fulfill the responsibilities for the safeguarding of Federal funds pursuant to chapter 75 of title 31.
(o)(1)Not later than 2 years after December 10, 2015, the Secretary of Education shall submit a preliminary report to the Committee on Education and the Workforce and the Committee on Resources of the House of Representatives and the Committee on Health, Education, Labor, and Pensions and the Committee on Indian Affairs of the Senate on the status of the implementation of the demonstration projects authorized under this section.
(2)Not later than 5 years after December 10, 2015, the Secretary of Education shall submit a report to the Committee on Education and the Workforce and the Committee on Resources of the House of Representatives and the Committee on Health, Education, Labor, and Pensions and the Committee on Indian Affairs of the Senate on the results of the implementation of the demonstration projects authorized under this section.
(p)For the purposes of this section, the term “Secretary” means—
(1)the Secretary of the Interior, in the case of an entity meeting the definition of a contract or grant school under title XI of the Education Amendments of 1978 [25 U.S.C. 2001 et seq.]; or
(2)the Secretary of Education, in the case of any other entity.

Legislative History

Notes & Related Subsidiaries

Editorial Notes

References in Text

The Education

Amendments

of 1978, referred to in subsecs. (g)(1) and (p)(1), is Pub. L. 95–561, Nov. 1, 1978, 92 Stat. 2143. Title XI of the Act is classified principally to chapter 22 (§ 2001 et seq.) of Title 25, Indians. For complete classification of this Act to the Code, see

Short Title

of 1978 Amendment note set out under section 6301 of this title and Tables.

Prior Provisions

A prior section 7426, Pub. L. 89–10, title VII, § 7116, as added Pub. L. 103–382, title I, § 101, Oct. 20, 1994, 108 Stat. 3723, related to applications for grants, prior to the general amendment of former subchapter VII of this chapter by Pub. L. 107–110.

Amendments

2015—Subsec. (d)(9). Pub. L. 114–95, § 6001(b)(6), made technical amendment to reference in original act which appears in text as reference to section 7424(c)(4) of this title. Subsec. (g). Pub. L. 114–95, § 6002(h)(1), in introductory provisions, substituted “
December 10, 2015” for “
January 8, 2002” and inserted “the Secretary of Health and Human Services,” after “the Secretary of the Interior,” and “and coordination” after “providing for the implementation”. Subsec. (o)(1). Pub. L. 114–95, § 6002(h)(2)(A), substituted “
December 10, 2015” for “
January 8, 2002”. Subsec. (o)(2). Pub. L. 114–95, § 6002(h)(2)(B), substituted “
December 10, 2015” for “
January 8, 2002” and struck out last sentence which read as follows: “Such report shall identify statutory barriers to the ability of participants to integrate more effectively their education and related services to Indian students in a manner consistent with the objectives of this section.”

Statutory Notes and Related Subsidiaries

Change of Name

Committee on Resources of House of Representatives changed to Committee on Natural Resources of House of Representatives by House Resolution No. 6, One Hundred Tenth Congress, Jan. 5, 2007.

Effective Date

of 2015 AmendmentAmendment by Pub. L. 114–95 effective Dec. 10, 2015, except with respect to certain noncompetitive programs and competitive programs, see section 5 of Pub. L. 114–95, set out as a note under section 6301 of this title.

Reference

Citations & Metadata

Citation

20 U.S.C. § 7426

Title 20Education

Last Updated

Apr 6, 2026

Release point: 119-73