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``SEC. 10973. RURAL SCHOOL GRANTS.
- ``(a) Authority.--The Secretary is authorized to make grants to rural eligible local educational agencies, or State educational agencies in the case where the State educational agency is the local educational agency, for activities designed to assist in local school improvement efforts.
- ``(b) Award Rules.--
- ``(1) Less than $50,000,000.--If the amount made available to carry out this subpart for any fiscal year is less than $50,000,000, the Secretary shall award grants under this section on a competitive basis.
- ``(2) Equal to or greater than $50,000,000.--If the amount made available to carry out this subpart for any fiscal year is equal to or greater than $50,000,000, the Secretary shall award grants under this section so that a rural eligible local educational agency in each State receives such a grant.
- ``(c) Administrative Costs.--Not more than five percent of a grant awarded under section 10573 shall be used for administrative costs.
- ``(d) Duration.--Each grant under this section shall be awarded for a period of not more than five years.
SEC. 10972. PURPOSE.
SEC. 10974. USES OF FUNDS.