42 U.S.C. § 1774 — Disbursement directly to schools or insti-

Page 5009 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 1776 such rule shall not take effect until sixty days after such notification.’’ REPORT TO CONGRESS OF NEEDS FOR ADDITIONAL FUNDS FOR SCHOOL BREAKFAST AND NONFOOD AS- SISTANCE PROGRAMS, FISCAL YEAR ENDING JUNE 30, 1972 Pub. L. 92–153, § 3, Nov. 5, 1971, 85 Stat. 420, provided that the Secretary of Agriculture determine imme- diately upon enactment of this resolution (Nov. 5, 1971) and report to Congress the needs for additional funds to carry out the school breakfast and nonfood assistance programs during the fiscal year ending June 30, 1972, at levels permitting expansion of the school breakfast and school lunch programs to all schools desiring such pro- grams as rapidly as practicable. TRANSFER OF FUNDS TO SCHOOLS IN NEED OF ADDI- TIONAL ASSISTANCE IN SCHOOL BREAKFAST PROGRAM Pub. L. 92–153, § 7, Nov. 5, 1971, 85 Stat. 420, provided that: ‘‘In addition to any other authority given to the Secretary he is hereby authorized to transfer funds from section 32 of the Act of August 24, 1935 [section 612c of Title 7, Agriculture], for the purpose of assisting schools which demonstrate a need for additional funds in the school breakfast program.’’ DIRECT DISTRIBUTION PROGRAMS FOR DIET OF NEEDY CHILDREN SUFFERING FROM GENERAL AND CONTINUED HUNGER; ADDITIONAL FUNDS Additional funds for direct distribution programs for diet of needy children suffering from general and con- tinued hunger and payment of administrative costs of State or local welfare agency carrying out such pro- grams, see section 6 of Pub. L. 92–32, set out as a note under section 612c of Title 7, Agriculture. § 1774. Disbursement directly to schools or insti- tutions (a) The Secretary shall withhold funds payable to a State under this chapter and disburse the funds directly to schools or institutions within the State for the purposes authorized by this chapter to the extent that the Secretary has so withheld and disbursed such funds continuously since October 1, 1980, but only to such extent (except as otherwise required by subsection (b)). Any funds so withheld and disbursed by the Sec- retary shall be used for the same purposes, and shall be subject to the same conditions, as appli- cable to a State disbursing funds made available under this chapter. If the Secretary is admin- istering (in whole or in part) any program au- thorized under this chapter, the State in which the Secretary is administering the program may, upon request to the Secretary, assume ad- ministration of that program. (b) If a State educational agency is not per- mitted by law to disburse the funds paid to it under this chapter to any of the nonpublic schools in the State, the Secretary shall dis- burse the funds directly to such schools within the State for the same purposes and subject to the same conditions as are authorized or re- quired with respect to the disbursements to pub- lic schools within the State by the State edu- cational agency. (Pub. L. 89–642, § 5, as added Pub. L. 97–35, title VIII, § 817(e), Aug. 13, 1981, 95 Stat. 532.) Editorial Notes PRIOR PROVISIONS A prior section 1774, Pub. L. 89–642, § 5, Oct. 11, 1966, 80 Stat. 887; Pub. L. 91–248, § 2, May 14, 1970, 84 Stat. 208; Pub. L. 92–433, § 6(a)–(d), Sept. 26, 1972, 86 Stat. 727; Pub. L. 93–326, § 5, June 30, 1974, 88 Stat. 287; Pub. L. 94–105, § 18, Oct. 7, 1975, 89 Stat. 525; Pub. L. 95–166, §§ 4, 20(3), (4), Nov. 10, 1977, 91 Stat. 1332, 1346; Pub. L. 95–627, § 6(b), Nov. 10, 1978, 92 Stat. 3620; Pub. L. 96–499, title II, § 211, Dec. 5, 1980, 94 Stat. 2603, made provision for food serv- ice equipment assistance program, prior to repeal by Pub. L. 97–35, § 805(b). Statutory Notes and Related Subsidiaries EFFECTIVE DATE Section effective Oct. 1, 1981, see section 820(a)(4) of Pub. L. 97–35, set out as an Effective Date of 1981 Amendment note under section 1753 of this title. REPORT TO CONGRESS OF NEEDS FOR EQUIPMENT TO BE SUBMITTED BY JUNE 30, 1973 Pub. L. 92–433, § 6(e), Sept. 26, 1972, 86 Stat. 729, di- rected Secretary, to assist Congress in determining amounts needed annually, to conduct a survey among States and school districts on unmet needs for equip- ment in schools eligible for assistance under former section 1774 of this title, results of such survey to be re- ported to Congress by June 30, 1973. § 1775. Certification to Secretary of the Treasury of amounts to be paid to States The Secretary shall certify to the Secretary of the Treasury from time to time the amounts to be paid to any State under sections 1772 through 1776 of this title and the time or times such amounts are to be paid; and the Secretary of the Treasury shall pay to the State at the time or times fixed by the Secretary the amounts so cer- tified. (Pub. L. 89–642, § 6, Oct. 11, 1966, 80 Stat. 888.) § 1776. State administrative expenses (a) Amount and allocation of funds (1) Amount available (A) In general Each fiscal year, the Secretary shall make available to the States for their administra- tive costs an amount equal to not less than 11⁄2 percent of the Federal funds expended under sections 4, 11, and 17 of the Richard B. Russell National School Lunch Act [42 U.S.C. 1753, 1759a, 1766] and 1772 and 1773 of this title during the second preceding fiscal year. (B) Allocation The Secretary shall allocate the funds so provided in accordance with paragraphs (2), (3), and (4) of this subsection. (2) Expense grants (A) In general Subject to subparagraph (B), the Secretary shall allocate to each State for administra- tive costs incurred in any fiscal year in con- nection with the programs authorized under the Richard B. Russell National School Lunch Act [42 U.S.C. 1751 et seq.] or under this chapter, except for the programs au- thorized under section 13 or 17 of the Richard B. Russell National School Lunch Act [42 U.S.C. 1761, 1766] or under section 1786 of this title, an amount equal to not less than 1 per- cent and not more than 11⁄2 percent of the